Startup or MNC? Which is Right for Your Career in Singapore?
Building an illustrious career requires intention. Your choices can determine your trajectory.
People typically explore two paths. Startups VS MNCs (Multinational Corporations). Traditionally, people favor the stability and established names on their resume. However, startups have since risen to become a popular alternative.
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What is The Difference Between MNC and Startup?
Multinational Corporations (MNCs) are large, well-established companies that operate in multiple countries and have a global presence. They typically have a hierarchical structure, established processes, and a focus on stability and growth within their existing markets. MNCs often have significant resources, brand recognition, and a diverse range of products or services.
On the other hand, startups are newly founded companies that aim to develop and bring innovative products or services to the market. They are typically small, agile, and focused on rapid growth and disruption. Startups often operate in a fast-paced and dynamic environment, with a flat organizational structure and a strong emphasis on innovation and risk-taking.
Which One is Better? Startup or MNC?
The decision to pursue a career at a startup or a multinational corporation (MNC) is a highly personal one that depends on various factors. Both paths offer unique advantages and challenges, and there is no one-size-fits-all answer. Before making this pivotal choice, it’s crucial to carefully evaluate your priorities, goals, and preferences. The following factors will help you weigh the pros and cons of each option and determine the best fit for your career aspirations and lifestyle.
1. Remuneration Package
At the end of the day, the job has to pay the bill and understanding how to secure a job in either environment is crucial. With MNCs, they have the dough to offer better financial benefits. You can expect to negotiate a higher base salary with additional incentives like commission and bonuses. If you are headhunted, they may be willing to offer stock options to sweeten the deal.
You can expect better employee welfare with big corporations. Some of these generous benefits include:
14-28 days of annual leave.
Medical insurance for out-patient and hospitalization.
Discounted insurance premium for spouse and children.
Leisure/recreational allowance.
In contrast, startups generally offer a lower salary; especially if they are in the early stage of securing funding (Seed/Series A). Having said, you can still get paid fairly with the influx of angel investors nowadays.
Bonuses are uncommon. Most of the revenue will be put into developing the business. However, some startups do offer a carrot – stock options. While little in value early on, these stocks rise in their intrinsic value when the company expands or gets acquired.
The young nature of startups allows more space for negotiation. Startups compensate for their lack in monetary rewards with better welfare like leadership opportunities, extra days off, flexible work arrangements, and personalized training and development.
Culture plays an important role in talent acquisition and retention especially when considering mental health in the workplace. Whether someone stays or leaves, depends if they resonate with the company’s beliefs and culture. Here are four characteristic cultures you want to consider before joining a company.
a. Clan Culture
Interpersonal relationships matter. Employees are treated inclusively as part of a bigger family where communication and collaboration are often emphasized. Employees have a strong sense of belonging and resonate with the company’s vision. (E.g. Walt Disney, Tom’s of Maine, Whole Foods, & TOMS shoes).
b. Adhocracy Culture
Everyone has a big appetite for risk. Leaders are eager to challenge assumptions and venture into uncharted waters. Regardless of their position, everyone is encouraged to contribute to innovation. (E.g. Facebook, Google).
c. Market Culture
Getting the job done is number one. Often these results oriented environments are highly competitive. But it pushes a person beyond their current limitations. Best for an accelerated career growth. (E.g. GSK, Tesla, & Amazon).
d. Hierarchical Culture
Processes and procedures are highly valued. There is an established chain of command with every employee tasked with their specific role. You will see this in many Japanese companies as well as the oil and gas, finance, aviation, and government industries. (E.g. Tesco, MUFG Bank & SIA).
According to a University of Phoenix survey, 64% of working adults report having limited opportunities in their current companies. Hence, most people leave their current post to break out of the stagnation, contributing to the great resignation wave in Singapore. Good news is whether it is a start-up or MNC, you can expect growth. These two offer significantly contrasting experiences and challenges.
With MNCs, your daily activities revolve around a specific job scope. Give it a year or two, you will be the expert in the matter. However, there is unlikely any chance for growth in skills beyond your assigned scope.
Meanwhile at startups, you wear many hats. You will be exposed to many aspects that you are unfamiliar with. Majority of your work will be outside of your expertise. Things can be changing so fast that you will be unlearning and relearning. Adaptability in this ever-changing environment is key to your success.
Having leadership qualities is one skill employers look out for. The ability to manage people requires experience. Here’s where you come in.
At startups, you will have more opportunities to lead. Most of the hires tend to be young and inexperienced. They require more handholding and guidance from you. On top of that, you don’t have to worry about plateauing as startups now dedicate resources to send their leaders to be trained and updated in their management skills.
In contrast, you may be competing in an overcrowded market for managerial roles at MNCs. Also, established companies have developed management associate programs to groom their own talents. Unless you have a stellar record, it is not easy to land a managerial role there.
Since MNCs and startups have different systems and work culture, it is important to consider if you are a good fit in these companies. You want a place where your values and interests are aligned with what you do. Ask yourself these questions to help you make a decision.
Do you like a sense of belonging? At startups, you have a greater opportunity to contribute and be a part of the company’s success.
Will you be doing something you love? Maybe you like to be more hands-on in developing a product. At startups, you are more likely to be personally involved than working at MNCs.
Want to be a mentor to younger voices? At startups, colleagues can tap on your experience and knowledge. Company culture is more malleable here than at a MNC. Your decisions will have a huge influence on where the company heads toward.
Do you prefer stability in your career? Here’s some realistic figures: 90% of startups fail. If you are looking for a good career progression, MNCs definitely have your professional growth charted out for you.
Conclusion
The landscape of startup work has evolved significantly in recent years. While startups once faced certain disadvantages, today they often offer opportunities for versatility and personal growth. However, working at a multinational corporation (MNC) can also provide unique advantages, such as exposure to a broader industry perspective.
Ultimately, the best choice for your career depends on your individual goals and aspirations. If you’re unsure which path to take, consider consulting with a reputable recruitment agency in Singapore. Our experienced consultants can provide personalized guidance and help you make informed decisions about your career.
10 Know-How to Negotiate A Higher Salary During An Interview!
Ever felt at loss or embarrassed when negotiating your salary during an interview? Want a higher salary but not sure how to approach the matter? You are not alone. 1 in 4 candidates doesn’t know how despite 70% of managers expecting them to be capable of doing so.
This is due to a lack of knowledge of negotiation skills and familiarity in such situations. Therefore, being ignorant about asking for more money only puts you at the losing end.
You don’t want to be facing that down the road. Equip yourself today with these salary negotiation techniques and put yourself in an advantageous position.
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1. Don’t Undermine Yourself When Asking For Higher Salary
For starters, be confident. Before any negotiation, people automatically discount themselves when they feel lacking in one area or another. This inferiority can influence your negotiation ability for the worse.
A worker is worth his wages. Here’s how you can justify a higher salary:
Find out what is the industry benchmark for your qualifications and experience. You can start your research at platforms like PayScale and Glassdoor.
List down your strengths. Demonstrate how your experience and expertise are relevant to the job you are applying for.
Assess your shortcomings and detail how you plan to compensate. For instance, if you have an extended period of unemployment, show how you spent that time productively to value-add to your marketable skills (e.g. taking up courses, learning a new language, or upskilling in Singapore).
Another effective salary negotiating tactic is to create a personal rapport with the interviewer. This is so that he/she doesn’t see you as another cog in the wheel.
Be intentional in your conversations. Look up more about the management profile on the company’s website or LinkedIn. Find common topics you can bond over (e.g. company history, interests, etc).
Nowadays, virtual interviews are your main point of contact with your interviewer. Hence, it is good to take note of the following:
Smile. Be friendly and approachable.
Engage in small talk for a start.
Mirror the interviewer’s expressions.
Nod when you agree with the points made.
3. Wait For The Opportune Moment
Timing is everything. According to the best-selling job-hunting book “What Colour Is Your Parachute”, the best time to negotiate salary is when the company decides that they want you. Here’s a clue. The interviewer would mention that you would be a great fit and extend the offer.
Avoid negotiating early in the interview process. This would signal to most interviewers that you are more focused on the money than the job. It can also trap you within a salary ballpark; making it difficult to negotiate for significantly more.
Be patient and wait till the offer has been communicated. Here’s when you are best primed to bargain. Start discussing the terms and conditions of your salary package.
4. Make Your Remuneration Requests Clear
When negotiating, categorise your requests and ask for them accordingly. Items in your offer should be divided into direct and indirect compensation.
Negotiate the monetary compensation first. After reaching an agreement on those, move on to the non-monetary items. Do keep an open mind to suggestions that the employer offers. Certain forms of compensation like free meals may not be something you have thought about. However, it may be worthwhile to you.
5. Anchor The Discussion In Your Favor
Start the discussion by proposing a pay range. Never state a fixed amount. For instance, you find yourself deserving of a salary range of $60,000 to $70,000. However, you feel that the next tier is within reach.
You can frame your proposition as, “Correct me if I’m wrong, but I understand that people with my experience typically fetch $70,000 to $80,000.”
This is a humble yet assertive statement. People usually make estimates by starting from an initial value that is then adjusted to yield the final answer. Therefore, the $70,000 to $80,000 range is a powerful anchor. It acts as a reference point that could steer your salary upwards.
6. Read The Room
Was your potential employer taken aback by your opening offer? Reduce the tension by lightening the mood. A Havard study concluded that humour, used appropriately, can be effective to negotiate salary.
In this case, diffuse tensions by making a joke. Laugh it off and interject with something more light-hearted like, “I’m sorry, I know that figure is too high.” However, your counterpart can take the joke the wrong way. Hence, humour should be kept as a last resort.
Our advice – tactfully navigate your opening offer.
7. Manage Your Emotions
Feeling like the conversations are heating up? Consciously remind yourself to be courteous at all times. Every touchpoint is an opportunity to develop a relationship and build your reputation with your potential new employer.
Here are some suggestions:
When faced with a low offer, show your gratitude first. Then justify why you deserve better terms.
Frame your requests in an understanding manner. Use phrases like “I’m wondering”, “if you could share with me”.
Propose alternatives. When facing an impasse, you can suggest arranging a bi-annual performance review to be drafted into your contract.
Your polite demeanor and maturity will leave a good impression on your potential employer. It may well be the deciding factor in the success of your salary negotiation.
8. Don’t Just Talk, Listen Attentively
When seeking clarification, pay close attention to what the interviewer is saying. Incorporate his/her needs to develop a win-win solution for both parties. This would communicate to them that they are being heard. Active listening means paraphrasing, inquiring, and acknowledging.
Paraphrasing – Catch the key terms used by your interviewer and incorporate them into your replies. Start your sentences with phrases that show him/her that you heard them. (E.g. if I understand correctly or you’re concerned with)
Inquiring – Probe further. Start your reply with phrases that induce the interviewer to elaborate more: ‘help me understand’ or ‘let’s talk more about’.
Acknowledging – Let the interviewer know that you’re conscious of his/her concerns by including phrases like, ‘it sounds like’, ‘so much so that you have serious concerns’.
Now, assert your viewpoint and propose a creative solution that satisfies everyone.
9. Never Settle For Too Low A Salary
Although you have been negotiating for some time, there is still no consensus. Don’t settle, push through. The risks are worth it. Those willing to take risks tend to be better negotiators especially when understanding how to secure a job in today’s competitive market.
A Harvard study on salary negotiation showed that being competitive when asking for a higher salary is an effective strategy. Those who did so increased their starting pay by an average of $5,000.
Emphasize the benefits you bring to the table. Tensions may be high when you continue bargaining. However, if you’re not asking for something ludicrous, there’s a chance you get the salary you want.
10. Put It In Writing
Having settled on a remuneration package, it is vital to ask for written documentation. Besides the basic salary amount, you should include other forms of remunerations such as bonuses or stock options. Non-monetary benefits like flexi-work arrangements and parental/childcare leave should also be in writing.
Ensure that these statements are in print when you and your prospective employer sign the contract.
Conclusion
Now that you’ve learned how to negotiate a higher salary, it’s time to put those skills into practice. By utilizing the tactics and techniques discussed, you can increase your chances of securing the compensation you deserve.
If you’re looking for additional guidance on salary negotiation or need assistance with your overall career development, consider partnering with a reputable recruitment company in Singapore. Understanding recruitment and talent acquisition processes can also give you an edge in negotiations. Our experienced consultants can provide personalized advice and support to help you achieve your career goals.
Benefits of Recruitment Agencies: 5 Reasons to Use Them!
In today’s dynamic job market, finding the right talent remains a critical challenge for businesses of all sizes. While digital platforms have transformed the recruitment landscape, traditional recruitment agencies continue to offer unique advantages that can’t be replicated by technology alone.
As we navigate the post-pandemic era and beyond, these agencies have adapted their strategies and services to provide invaluable solutions for employers facing an ever-changing workforce landscape.
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The Evolving Recruitment Landscape
The global job market has undergone significant changes since 2020, with the COVID-19 pandemic acting as a catalyst for transformation across industries. The rise of flexible work arrangement, remote work, accelerated digital transformation, and shifting industry demands have fundamentally altered the way we approach hiring and retention. Despite these changes, the core challenge remains: how to efficiently find and secure the best talent for your organization in a competitive and rapidly evolving market.
As we move further into the 2020s, the importance of agile and strategic hiring practices cannot be overstated. Businesses must navigate a complex landscape of skill shortages, changing worker expectations, and the need for diverse, adaptable teams. It’s in this context that recruitment agencies have reinvented themselves, offering services that go far beyond simple job matching.
1. Adaptability to the Current Hiring Climate, Trends, and Market Demands
In an era where agility is crucial, recruitment agencies have proven their worth by quickly adapting to new hiring trends and market demands. This adaptability is not just about keeping up with changes; it’s about anticipating them and helping clients stay ahead of the curve.
Recruitment agencies have become experts in placing candidates for remote and hybrid work environments, a trend that shows no signs of slowing down. They understand the unique challenges of hiring for distributed teams and can help companies navigate the complexities of building a cohesive workforce across different locations and time zones.
Moreover, these agencies have shifted their focus to identify candidates with strong soft skills and adaptability. In a world where job roles are constantly evolving, the ability to learn quickly and adapt to new situations has become just as important as technical skills. Recruitment agencies use sophisticated assessment tools and techniques to evaluate these crucial attributes, ensuring that candidates are not only qualified on paper but also have the resilience and flexibility needed to thrive in modern workplaces.
The growing demand for in demand jobs in Singapore, particularly in emerging technologies is another area where recruitment agencies excel. Fields like artificial intelligence, blockchain, and cybersecurity are evolving rapidly, and the skills gap is widening, making upskilling crucial. Many recruitment agencies have developed deep expertise in these niche markets, maintaining networks of highly skilled professionals and staying abreast of the latest developments. This specialized knowledge allows them to connect companies with hard-to-find talent that may not be actively looking for new opportunities.
2. Access to High-Quality, Pre-Screened Candidates
While job boards might flood you with applications, recruitment agencies offer a curated approach that emphasizes quality over quantity. In today’s age, this benefit has become more valuable than ever as companies struggle to manage the sheer volume of applications generated by online job postings.
Recruitment agencies employ a multi-faceted approach to candidate screening that combines cutting-edge technology with human expertise. Many agencies now use AI-powered initial screening tools to efficiently filter out unqualified applicants. These tools can analyze resumes, cover letters, and even online portfolios to identify candidates who best match the job requirements. However, unlike purely automated systems, recruitment agencies don’t stop there.
Experienced recruiters conduct in-depth interviews with promising candidates, assessing not just their skills and experience but also their career goals, work style, and cultural fit. This human touch is crucial in identifying the intangible qualities that can make the difference between a good hire and a great one.
Furthermore, thorough background and reference checks are standard practice for reputable agencies. They verify candidates’ credentials, employment history, and professional references, providing an additional layer of security for hiring companies. This comprehensive vetting process ensures that you only see candidates who are genuinely qualified, interested, and have been thoroughly assessed for suitability.
By presenting a shortlist of high-quality candidates, recruitment agencies save businesses significant time and resources. Hiring managers can focus their energy on evaluating the best fits rather than sifting through hundreds of unqualified applications.
Trust Recruit offers a customized recruitment plan to ensure only quality candidates are shortlisted for the interview process. Learn more here to find out about our recruitment process and HR services.
3. Flexibility in Hiring: From Contract to Permanent Roles
The gig economy and project-based work continue to grow, reflecting a broader shift in how businesses approach staffing. Recruitment agencies have positioned themselves at the forefront of this trend, offering unparalleled flexibility in hiring solutions.
Whether a company needs short-term contractors for a specific project, is looking to fill temp-to-perm positions as a way to “try before you buy,” or requires specialized talent for a fixed-term engagement, recruitment agencies have the networks and expertise to deliver. This flexibility allows businesses to scale their workforce efficiently, adapting to market demands without necessarily committing to long-term employment arrangements.
For short-term contracts, agencies can quickly mobilize pre-vetted professionals who are accustomed to hitting the ground running. This is particularly valuable in industries with cyclical demands or for companies undergoing rapid changes or expansions.
Temp-to-perm positions offer a unique opportunity for both employers and employees to assess fit before committing to a long-term arrangement. Recruitment agencies manage this process seamlessly, handling the initial temporary placement and facilitating the transition to permanent status if both parties are satisfied.
For specialized project-based roles, agencies tap into their networks of skilled professionals who may not be actively job-seeking but are open to interesting short-term opportunities. This allows companies to access top-tier talent for critical initiatives without the need for a permanent hire.
The ability to offer this range of employment types not only provides businesses with staffing flexibility but also opens up access to a wider talent pool, including highly skilled professionals who prefer non-traditional work arrangements.
4. Data-Driven Insights for Informed Recruitment Decisions
In the age of big data, recruitment agencies offer more than just candidate matching – they provide valuable insights that can inform and enhance your overall hiring strategy. This data-driven approach has become increasingly sophisticated, offering businesses a competitive edge in talent acquisition and management.
Salary benchmarking and market rate information are crucial in today’s competitive job market. Recruitment agencies have access to real-time data on compensation trends across various industries and roles. This information helps companies set competitive salaries that attract top talent while ensuring they’re not overpaying. Moreover, it provides valuable context for negotiations, both with candidates helping candidates understand how to negotiate a higher salary and when reviewing compensation for existing employees.
Insights into industry-specific hiring trends go beyond just salary data. Recruitment agencies can provide information on skills that are in high demand, emerging job roles, and shifts in candidate preferences. This knowledge is invaluable for companies looking to stay ahead of the curve in their hiring practices and workforce planning.
Predictive analytics for long-term workforce planning is perhaps one of the most valuable services offered by modern recruitment agencies. By analyzing historical hiring data, industry trends, and economic indicators, agencies can help businesses anticipate future talent needs. This foresight allows companies to develop proactive recruiting strategies, identify potential skill gaps before they become problematic, and make informed decisions about training and development programs for existing staff.
These data-driven insights enable businesses to make strategic decisions that align their hiring practices with both current needs and future goals. By leveraging this information, companies can build more resilient and adaptable workforces, better positioned to navigate the challenges and opportunities of the evolving business landscape.
5. Enhanced Employer Branding and Candidate Experience
In an era where company culture and values play a crucial role especially regarding mental health in the workplace in attracting top talent, your company’s reputation as an employer is more important than ever. Recruitment agencies act as brand ambassadors, effectively communicating your company’s unique value proposition to potential candidates.
Experienced recruiters take the time to deeply understand not just the job requirements but also your company’s culture, values, and long-term vision. They use this knowledge to present your organization in the best possible light to potential candidates, highlighting what makes your company a great place to work. This is particularly valuable for smaller or less well-known companies that may struggle to compete with big-name employers for top talent.
The application and interview process itself is a crucial touchpoint for employer branding. Recruitment agencies provide a professional and streamlined experience for candidates, reflecting positively on your company. They manage communications, schedule interviews, and provide timely updates, ensuring that candidates remain engaged and have a positive impression of your organization, regardless of the outcome.
Furthermore, reputable agencies offer valuable feedback to both successful and unsuccessful candidates. For those who don’t get the job, constructive feedback can leave them with a positive view of your company, potentially keeping them interested in future opportunities. For successful candidates, this feedback can help set expectations and facilitate a smoother onboarding process.
This approach not only helps in securing top talent for current openings but also in building a positive employer brand in the competitive job market. A strong employer brand can lead to a larger pool of high-quality candidates for future positions, reduced time-to-hire, and even improved employee retention.
While digital platforms have their place in the modern hiring landscape, recruitment agencies offer a strategic advantage that goes far beyond what technology alone can provide. They combine human expertise with technological tools to deliver a service that is both high-touch and high-tech, addressing the complex needs of today’s employers.
For businesses looking to stay competitive, partnering with a recruitment agency like Trust Recruit (a recruitment agency in Singapore) can be the key to building a robust, skilled, and adaptable workforce. Our tailored approach ensures that you not only find the right talent for today’s needs but also prepare for the challenges and opportunities of tomorrow.
Ready to elevate your hiring strategy and gain a competitive edge in talent acquisition? Contact Trust Recruit today to discover how our expertise can transform your recruitment process and drive your business forward!
