Talenya: Why We Invested
Ask any CEO what her or his biggest challenge in scaling their company is and you invariably get the same answer: Talent.
In our global economy, quality talent is the one economic input that cannot be commoditized, and as such technology that improves the organizational efficiency of identifying and recruiting talent is likely to command a significant premium for long-time. More and more industries are going through a transformation where knowledge is the driving force, and not labor — where data is the new oil, and talent is the new gold.
Even though we are in the age of Big Data, Machine Learning and AI, the CV still remains the main reference point for most companies and recruiters. Even with a CV that “checks all the boxes”, generalist recruiting agencies inherently lack subject matter expertise, field experience, and the ability to do proper diligence on a candidate before introducing to a hiring manager. Specialist recruiting agencies charge higher fees & create additional back-office overhead that adds unnecessary cost to the recruitment process. We think this model is ready to be flipped on its head.
Enter Talenya, led by Gal Almog and Doron Segal. Gal previously built and grew RealMatch which became the largest job listings network in the U.S. Doron graduated from the elite Talpiot technology unit of the Israeli military, and previously served as CTO of Mind CTI (NASDAQ: MNDO). We feel lucky to be working shoulder-to-shoulder with two experienced and seasoned entrepreneurs this early in their venture.
Talenya brings a disruptive approach to the $60b U.S. recruiting market based on two innovative pillars.
First, Talenya’s algorithms create comprehensive candidate profiles using public & private data sources and rank each profile in terms of fit to a specific position. Talenya then goes one step further, crunching more than 60 signals to predict the likelihood that a given candidate is interested in a new opportunity. Using machine learning to refine this process over time, Talenya creates an ever-increasing competitive advantage over traditional recruiting agencies in terms of speed and quality.
Second, Talenya is building the largest recruitment agent network in the world. By automatically curating a list of qualified, domain specific candidates, Talenya enables subject matter expert to become independent recruiters in their spare time. These experts, like a VP R&D on a maternity leave, a semi-retired CTO, or an ex-VP Sales looking for a new challenge, have the unique combination of skills to qualify, engage, and place candidates, in ways internal HR & generalist agencies do not.
In a 2016 survey by PricewaterhouseCoopers, 65% of U.S. workers aged over 50 said they had a strong desire to work as independent contractors rather than employees, and Intuit predicts that 40% of the U.S. workforce will be freelance by 2020. The gig economy is thriving.
Combining a unique technology foundation with a crowdsourced “Talent Experts” community puts Talenya in a position to disrupt the entire recruitment value chain, similar to how Uber and Gett disrupted the entire value chain in their domain.
The Bottom Line
We are excited to partner a top-notch team that built a great technology foundation and a unique business approach. Moreover, we are excited with their ambitious plan to disrupt this industry and to do good on the way by creating a whole new ecosystem for any professional to become a talent expert on Talenya’s platform and use their own expertise to build a new sustainable income source.
If your company is looking to expedite hiring cycles, or you are a VC focused on helping portfolio companies find the right talent — don’t hesitate to contact Talenya here.