In executive search, you sometimes come across the term “SHREK firm” – a label used to describe several multinational executive search firms: Spencer Stuart, Heidrick & Struggles, Russell Reynolds Associates, Egon Zehnder, and Korn Ferry. These are the biggest names in the industry, and often the first that come to mind when companies are choosing a headhunting firm.
These firms are large in scale, well-established, globally recognized, and possess a solid client base. Like the fictional ogre, they’re difficult to ignore – but not always the most agile or responsive partner when it comes to executing a search effectively and quickly. This article analyses what it’s like working with these firms, identifies who SHREK firms are best suited for, highlights some of their negatives, and discusses the advantages of smaller boutique firms.
Where would SHREK firms be the right choice?
SHREK firms employ thousands of individuals worldwide, and their brand power is exceptionally strong. Forbes’ America’s Best Executive Recruiting Firms in 2025 lists all SHREK firms among the top rankings. Because their brand is so robust, they are most suited for CEO searches within large, global corporations. They have access to world-class CEOs who would typically not respond to cold approaches.
Stylistically, they are highly professional and typically employ high-quality talent. Due to their polished image, long history, and extensive networks, they are trusted by major corporations. This also works well when the perception of “brand” matters to stakeholders.
Some drawbacks of SHREK firms
Strong brands come with higher price tags, and SHREK firms are no exception. They typically charge high fees, and their fee structure is normally time-based. This means they charge you based on the time spent on projects, regardless of progress. In this sense, they might lack the incentive to close projects as quickly as possible.
They usually operate with a team comprising Partners, who sell the projects, and consultants and researchers, who actually deliver the work. This implies that those who sell you projects are not the ones who perform the actual work. Although you pay a high fee for the expensive Partners who “manage” the projects, your projects are often delegated to junior consultants in reality. Furthermore, due to their team structure and bureaucracy, they tend to be slower when unforeseen events occur in projects or when clients make ad-hoc requests. The complex team structure can sometimes lead to communication complexities and process delays.
They are also generalists by sector rather than specialists. Consequently, they sometimes lack deep domain knowledge. Their work tends to be formulaic and often rigid in terms of offer terms, process, etc., regardless of the client’s industry, size, or company culture.
Because they already have an established brand within the industry, they experience less pressure to deliver high-quality projects quickly. A significant portion of their work is inbound, which can sometimes lead to a sense of complacency; they may be less motivated to deliver for clients compared to smaller firms. You are often just one of many clients.
On top of that, from the candidate’s perspective, it is often the case that larger firms like SHREK firms may ghost candidates, or at least are less invested in communication because they already possess strong brands. The impact of a bad reputation caused by one consultant is not as significant as it would be for smaller firms.
Comparing SHREK and boutique executive search firms
| Feature | SHREK Firm | Boutique Firm |
|---|---|---|
| Incentive Model | Time-based fees | Milestone-based; tied to delivery |
| Who Delivers the Search | Junior team | Partners throughout |
| Sector Knowledge | Generalist | Deep specialism |
| Candidate Care | Variable | High-touch, reputation-driven |
| Motivation to Deliver | Brand strength = safety net | Reputation = must deliver every time |
| Pricing | Premium, inflexible | Competitive, tailored |
Working with boutique executive search firms
Working with boutique firms offers a contrasting experience. Their fees and offer terms are much more competitive because:
- Most clients of smaller boutique firms are entrepreneurial, cost-conscious companies.
- Their offer terms are more results-driven, based on milestones they meet (e.g., shortlist delivered), hence they are more motivated to secure placements.
- They are more reputation-conscious because they lack an established brand; a poor project means no next project.
- They do not spend heavily on marketing (think about how much of the fee you pay to SHREK firms might go towards their marketing budget).
As a result, boutique firms are “hungrier” in every aspect of projects—from fees and offer terms to the drive for placement.
In most cases, the Partners or founders who sell the projects also deliver them, which often leads to higher project quality than with larger firms like SHREK firms. Because they are smaller in size, they are also very agile and flexible based on clients’ needs. The simple structure also fosters transparency – fewer layers lead to more honest conversations with both clients and candidates.
Also, their style can be more “human”; they are invested in close communication because every search matters to them. For boutique search firms, each project and every engagement with a candidate matters. Strong client/candidate experiences lead to future projects because they are not relying on an established brand.
Moreover, many boutique firms are sector specialists and often have deeper networks in specific industries. Because they are specialists, their service is highly tailored to each sector and hiring need. They understand the industry very well and comprehend the culture of each company, finding not just someone qualified, but the right fit. They are agile, making them strong in emerging markets – boutique firms often know the “rising stars” not yet on the radar of larger firms.
Conclusion
When considering SHREK firms vs boutique search firms, it’s essential to weigh your company’s culture, budget, and expectations for service quality and delivery speed. SHREK firms certainly have their place – particularly for large corporates hiring top-level executives. But for ambitious, fast-moving businesses, they’re often expensive, slow, and not tailored to your needs. Boutique firms offer sector specialism, a more agile approach, and a stronger commercial incentive to deliver. If you want a search partner who’s as invested in the outcome as you are, a boutique firm may be the better choice.
See also:
Private Equity executive search guide
How the NED game changed
Working with executive search firms
About Neon River
Neon River is a boutique executive search firm that helps technology and digital companies hire exceptional leadership talent. We work across VC-backed scaleups, PE-owned businesses, and global tech companies, bringing deep sector expertise, high-touch service, and a track record of delivering outstanding candidates quickly and effectively.
Peter Franks
Peter has spent the last twenty years specializing in recruiting leaders for software, games, internet and broader technology companies. He has deep experience of working with venture capital and private equity backed businesses.