Time Warner Inc. TWX +0.70% has filled thousands of senior spots during the past seven years—but used an executive-search firm only once. The reason? The media conglomerate prefers to use its own recruiters to find executives in more than 30 countries.
Time Warner is one of many U.S. companies that have slashed spending on outside recruiters and appointed a head of executive recruitment instead. The approach improves retention and saves time, companies say. The shift also reflects management’s belief that internal recruiters are better equipped to find hires who fit a company’s culture and keep attractive prospects in the pipeline.