Networking may be creepy but it works

Western banks cannot compete with such nepotism. However, NM Rothschild's annual report for 2002 shows that four out of 43 directors have the surname Rothschild.

Abigail Johnson, president of the fund management arm of Fidelity Investments, is the daughter of Edward Johnson, Fidelity's chairman, and there are many other examples.

In the quest for career success, the right connections do no harm. If you are not a relative then be a friend or, at least, a friend of a friend.

Which is where networking comes in. Many people need no instruction in how to do this, such as the London School of Economics student who rang up a fixed-income senior manager after seeing his name in a Financial News article. The call led to an offer of an internship.

However, others find it painfully difficult to lift the phone even to someone they know well and then have little idea of what to say.

Though networking sounds a wishy-washy concept, outplacement firms and careers advisers preach its virtues with zeal and run courses for redundant bankers on how to do it.

DBM, a global outplacement provider, says 64% of the people it looks after in financial services return to employment through personal connections as opposed to just 5% through print advertisements.

At a recent seminar run by DBM's Stephanie Peckham in the City of London, redundant staff discussed networking. One described it as being similar to stalking. Another said it was almost impossible to do without sounding creepy. Another said that at her previous firm she had perfected a technique of hanging around by the lifts waiting until someone important appeared and then getting in with them to make conversation. It had not helped her keep her job.

Peckham asked everyone to spend a minute writing down the names of people they knew. Each member of the group came up with between six and 18 people. A good way to start networking was to spend longer producing a more extensive list of people they knew or remembered meeting, Peckham suggested.

"If your list has fewer than 100 people, then you haven't tried hard enough. This does not mean you are going to see everyone but, with a target of 100, you will really have challenged your memory. Noting one name often sparks others."

Absolutely anyone might turn out to be useful, she stressed. Even your dentist - his brother might work for a bank.

Some practical advice followed on how to approach contacts. For a telephone call to someone you do not know, Peckham advised preparing an opening gambit lasting 30 seconds. When meeting someone face to face, she suggested it should last longer as you can hold someone's attention for longer when making eye contact. Both introductions should be practised meticulously beforehand.

The crucial point to get across is that you are not asking directly for a job. This can cause embarrassment on both sides. Say instead that you are looking for information or advice that might lead you to a job.

Peckham says: "There is no point in pretending you are not looking for work. It may be obvious that you are, in which case you would look foolish. Or if it's not obvious, they would not understand why you wanted to talk to them."

Requests for a meeting, or even advice, are often met with immediate rejection. Peckham has some tips on how to overcome this. "I really don't have time to meet you; why don't you just send me your CV?" can be dealt with by immediate agreement, followed by: "I'll phone again in a few days once you've had time to look at it."

A recommendation to contact the human resources department (often the kiss of death for any job search, says Peckham) can be countered with: "But I understand you're the best person to talk to about the area you work in." Flattery sometimes does not go amiss.

One trick to catch the attention of someone senior is to write a short letter that does not contain a CV. Those with CVs are likely to be rerouted to HR by a well-trained underling before the senior person sees it. The letter should say that you will call in a few days to ask for advice.

It is worth ensuring that you are in a positive frame of mind before lifting the phone, Peckham advises. Even what you are wearing is important. She says that she once tried making networking calls from home in her nightdress but decided it was more effective to be fully dressed.

Some people will always be awkward networkers, but if you are offered a job as a minister in the Kuwaiti government then you will know that you have cracked it.