As a leader in today’s complex business environment, you are constantly being asked for ideas on how to leverage the talent in your organization. Whether you work in an SME company where the right talent to grow is not in place, or a larger company whose recruiting costs have saddled the business with too much overhead, the opportunity to optimize your recruitment supply chain is significant. If this is the case for you then you should consider whether outsourcing recruitment to an outside company like National Talent is a potential solution.
- A Definition of Recruitment Process Outsourcing
“Recruitment Process Outsourcing is a form of business process outsourcing (BPO) where an employer transfers all or part of its recruitment processes to an external service provider. An RPO provider can provide its own or may assume the company’s staff, technology, methodologies and reporting. In all cases, RPO differs greatly from providers such as staffing companies and contingent/retained search providers in that it assumes ownership of the design and management of the recruitment process and the responsibility of results”
Given today’s economic environment, greater operational cost efficiency is an organizational imperative. Following are three ways that outsourced recruitment can help to reduce costs while adding business value.
- Cost Reduction Through Shared Risk
When a business downturn hits and recruiting needs suddenly drop, so does a company’s need for recruiting staff. Likewise, when the business is expanding into another product category or region of the world, recruiting needs may suddenly spike. Outsourcing the recruitment function allows a company to pass along the cost risk of those resources to the business partner.
- Faster Time to Hire
Time is money and hiring new professional level employees takes a lot of both. From sourcing resumes to conducting interviews and negotiating offers, acquiring a new employee taxes your internal resources. Plus, each day a job requisition remains unfilled, your business loses the benefit of that employee’s contribution and wastes recruiting and budgetary resources that could be dedicated to other initiatives.
- Streamlined Recruitment Processes
One of the most common problems we see with the recruitment life cycle is that it’s a disjointed and un-coordinated multitude of practices across different departments, divisions and regions. Often, this causes overlap in advertising purchases, agency costs, training and on-boarding procedures, as well as poorer hiring decisions and ultimately higher operational costs.
Procuring an RPO project with National Talent gives you the opportunity to rethink these processes. National Talent will help examine your recruitment process workflow(s) to determine where overlap, excessive cost, and inefficient practices may exist. Then, an outsourced model can be created for you, providing you with service levels and success metrics that exceed your current performance.
All of these factors contribute to achieving much lower cost per hire – your ultimate goal.