Sg Cowen: New Recruits

Case Study Analysis: SG Cowen – New Recruits

SG Cowen is a boutique-size firm planning on building up its investment banking and M&A advisory services. SG Cowen’s investment bankers focus on emerging growth companies in two volatile but highly profitable areas, health care and technology. It has to make hiring decisions to fill a new class of associates who will begin in the summer.

SG Cowen finished its Super Saturday recruiting event and has do decide which of the applicants will receive an offer. The company wants to start its summer associate program with 30 candidates. SG Cowen extended 15 offers to internal and already decided on 18 more external candidates. The company has two more positions left and 4 possible candidates.

The protagonist is Chip Rae, director of recruiting at SG Cowen. Also he does not make the final decisions by himself; he makes up the strategy and sets the rules of the hiring process. Additionally, he leads the decisions progress after the Super Saturday recruiting event. The bankers who actually interview the candidates make the hiring decision. Mr. Chip uses grid sheets for the bankers to fill out and having them vote and make a case on behalf of their candidates.

Mr. Chip looks for loyal and committed candidates with a strong cultural fit. In his view, long-tern success does not come from building models, it comes from loving the work, loving to teach and sell, and loving to hunt. The successful banker has to feel the excitement of serving clients and the excitement of competing at the highest level. Candidates have three possibilities to receive an offer from SG Cowen. SG Cowen offers positions to internal candidates without a business degree but with previous work experience at SG Cowen, as well as to summer interns. SG Cowen recruits from its “core business schools” and candidates from none core business schools can apply. The “core business schools” include the top business school ranked 10 to 25. Mr. Chip’s...