The economic downturn that lasted most of 2001, and pretty much to date, has clearly had a dampening effect on the demand for most job skill levels, including executives.

Most executive search firms are now reporting reduced revenues in 2001 off 10-20%; reports of 20-30%, or more, are not uncommon.

That's what it has looked like in the recent past, but what does it look like right now and looking forward in 2002? My own experience working with current clients, although anecdotal, is that the market for executive talent is starting to improve. More opportunities, and better opportunities are starting to emerge. I have the sense that as soon as employers start to see more positive signal from the economy, even more hiring activity will occur. There has been a pent-up need for talent, but some reluctance to take action until I expect a virtual flurry of hiring to occur as early as the first quarter of 2002, and certainly as we move into the second quarter. The recovery, if not of the economy as a whole, but with respects to hiring-particularly key executives could very well be rather quick and rather steep. More like a "V" than a "U".

A recent survey of several hundred executives conducted by ExecuNet, reveals that most executives expect the employment market to improve.

"Among executives that are actively managing their careers, there's a growing consensus that the light at the end of the tunnel represents opportunity and not an oncoming train," says Mark Anderson, President of ExecuNet. "In order to take advantage of a stronger employment market in the near future, now is the time to be building a stronger network, identifying the industries that are best poised for growth, and improving your skill set."

I agree. Now is the time to prepare to leverage the recovery from this most recent employment slump. Build your network, update your resume and be prepared to take advantage of what I hope and expect will be an upturn.

—Ed Kelleher is Founder and President of Kelleher Associates, Inc. (KAI), a Wayne, PA-based career management firm providing career coaching and transition services to executives and professionals. For the last several years KAI has facilitated monthly ExecuNet meetings in the Philadelphia region at The Gregg Conference Center, American College, Bryn Mawr, PA. For more information on Kelleher Associates or ExecuNet, contact us.