The hiring frenzy has slowed, red flags abound. Corporations are not only laying off, some have halted hiring all together. In the wake of such cutbacks, it is only natural to worry that demand for recruiters will fall flat. How can you stay productive in tight times? What do you do when the job orders start to dry up?

As a recruiter in a slowdown, your top priority will be adding value. To prevent a downward spiral from taking hold, you must keep your ear to the ground and make the most of what you have to offer. When speaking with your client, try and get a feel for the direction their company is going in. Provide better and more extensive evaluation resources. Inquire about hiring plans for the coming months. As in any relationship, when communication declines, negative speculation may open the door for competition...including more opportunities for you. Your job is to be there to recognize emerging opportunities and make the most of them.

Following are some tips to help you stay competitive in a down market:

Diversify your client portfolio

Make sure your client base is diverse in terms of geography, industry and areas of expertise. By expanding your services and industry expertise, you will open up more opportunities, making yourself less vulnerable to the ups and downs of a single industry. For instance, if you are a recruiter in the dot-com industry, you should diversify into other technologies or industries -- anything to avoid going down with the ship.

Some easy things you can do to diversify:

• Consider providing your current clients with different and/or additional professional services.
• Approach employers in other markets or industries with candidates from your current industry. Skills are often transferable and will be attractive to companies experiencing demand for talent.

Include More Product

In tight times, your clients are expected to do more with less; they will expect the same of you. Reinforce your value by going the extra mile to provide the services your clients need. For example, if you are conducting a CFO search, offer in-house interviewing. Provide the hiring company with additional candidates for a reduced fee. Forward resumes not useful to you free of charge. Common courtesy, honestly, respect and hard work will guarantee loyalty and make a recruiter an invaluable and irreplaceable supply partner.

Establish Partnerships

Establish a reliable network of peer recruiters that you can count on for splits. If you haven't had to count on splits in the past, remember, half a fee is a lot better than no fee at all. Don't be left without anyone to turn to when your search hits a brick wall.

Evaluate Work Processes

Evaluate your internal systems and processes. When things slow down, take the time to analyze how you work. Review your routine and make the necessary changes to boost efficiency.

Milk Loyalties

Rely on the client and vendor loyalties you generated during the economic boom of the past 7-8 years. If you did right by your contacts in the past, they will not abandon you now.

Promote Your Successes

Who can argue with results? In tight times, your track record can be your best ally. By consistently producing qualified, top notch talent a recruiter makes it virtually impossible for competitors to break in. Having a retainer may also ensure greater commitment.

Read Part I of this series: Dealing with an Increase in Job Candidates

Christine Hirsch is a founder and director of RecruitersWorld.com. With over 20 years of recruiting, executive search, and corporate human resources experience, Ms. Hirsch has positively impacted the recruiting functions of several Fortune 1000 companies and consulting firms. For the past 16 years, Ms. Hirsch has headed her own recruitment consulting firm, Chicago Resources. During that time, she has become recognized as a subject-matter expert in the recruitment field.