Businesses often look to slash overhead costs via BPO (Business Process Outsourcing). There are several types of business processes that can be outsourced.
Among all the types of BPOs, many companies prefer RPO (Recruitment Process Outsourcing). Considering the challenges faced by companies to find the right talent, RPO can be beneficial.
The global RPO industry is expected to grow with a CAGR of more than 18% for the next 4-5 years. More and more companies are shifting their focus toward strengthening their hiring process with RPO. Let’s dive in to learn the pros of RPO and how to choose a reliable RPO provider.
Understanding Recruitment Process Outsourcing
RPO helps a company transfer some or a part of their permanent recruitment to an external provider. An RPO provider will extend its support to manage the permanent recruitment of its client.
RPO providers usually act as an extension of the HR department of any company. Usually, they offer on-site services to improve the permanent recruitment strategy within an organization. A company can depend on its internal resources or demand the right resources for recruitment from the RPO provider.
An RPO provider has the power to deliver the necessary staff and technology for permanent recruitment. One should not confuse RPO providers with staffing firms. With RPO, you will no longer have to worry about the management and recruitment results. All things will be managed by a reliable RPO provider working on behalf of your company.
Pros of Recruitment Process Outsourcing in 2022
Some advantages of outsourcing the recruitment process in 2022 are as follows:
1. Slash hiring costs
Every business wants to slash overhead costs and invest them in expanding the business. An RPO provider can help you get the right talent without spending more funds.
RPO providers also focus on cost-of-hire instead of concentrating on time-to-hire and quality-of-hire. Their main focus is to close job vacancies quickly. Every day a job vacancy is open, the company has to incur recruitment costs.
Furthermore, RPO providers help companies avoid recruitment mistakes and complete the process with limited funding.
2. Get the right talent
Companies race against each other to acquire the best talent available in the industry. If you wait much longer, you might not get your hands on the top talent available.
An RPO provider ensures that you get the best talent depending on your needs. Even if the market/industry experiences a skill gap, RPO providers help acquire the best permanent talent.
Often, RPO providers have a ready-to-go talent pool. If a new job vacancy is opened, RPO providers already have a line of talent waiting to join your company. Thus, with RPO, a company can look after passive and unnoticed talent pools for permanent recruitment.
3. Compliant with hiring laws
Compliance may not look like an exciting benefit of RPO to businesses. However, it is crucial to follow compliance laws regarding permanent recruitment.
Employment laws are dynamic and change at frequent intervals. Ignoring the local laws can invite legal hassles for a company.
Following compliance laws is even more difficult for an international company recruiting in multiple jurisdictions. For each country/state, you may need a different hiring approach based on the compliance structure.
An RPO provider can help you develop a compliance culture for the hiring process.
4. Slash job advertising costs
After announcing a job opening, a company often looks to promote it. Every company wants more and more applications for job openings, as it helps them choose the best talent.
Job advertisements are sometimes expensive for attracting more applicants. By outsourcing your recruitment process, you don’t have to worry about job advertisements.
An RPO provider will take the necessary measures to enhance the reach of your job openings via digital mediums.
5. Permanent recruitment
Most businesses aren’t in favor of hiring employees on an ad hoc basis. Usually, companies opt for ad hoc recruitment only when they lack funds.
If everything is up to the mark, companies look to recruit permanent employees that could work for a longer tenure.
A company needs employees that can go on a business journey with them. With the help of an RPO provider, you can hire permanent employees for your company.
6. Leverage the latest recruitment technology
Several technology solutions are used by companies for permanent recruitment. One of the common examples of recruitment technology is ATS (Applicant Tracking System).
As more and more businesses believe in digital transformation, the need for recruitment technology is increasing. HRs may find it challenging to keep up with the latest recruitment technology and innovations in the industry.
One of the main jobs of an RPO provider is to offer the right technology and boost the recruitment process.
7. Enhance applicant engagement
CX (Candidate Engagement) is a key point for HR professionals during the recruitment process. However, boosting the CX can be challenging for HR professionals. They might drift away from their primary objective by looking for a way to boost candidate engagement.
An RPO provider has the required expertise and in-house professionals to boost the candidate experience. When you boost candidate engagement, you also boost brand/business reputation.
8. Well-organised recruitment process
A large business organization may approach different recruitment processes individually. Instead, all the recruitment processes should be streamlined to provide better results.
All the hiring processes should be centralized and controlled by a single department. An RPO provider will help you streamline the recruitment processes to attract the best talent.
General Steps in Recruitment Process Outsourcing for Companies
The steps to effectively outsource your recruitment process to a reliable provider are as follows:
- The first step is to draft your RPO needs. Before you partner with an RPO provider, you need to determine your recruitment needs. You may need access to a vast talentpool or hire the best talent in the industry for high-profile jobs. Whatever your recruitment needs are, you need to draft them beforehand.
- The next step is to partner with an RPO provider. To discover the right RPO provider, you need to consider their experience and reputation. Do take a note of their past clients before partnering with them.
- Maintain proper communication with the RPO provider to know the status of your permanent recruitment process. In addition, brainstorming sessions with the RPO provider can help you form better recruitment strategies.
- Track the performance of the RPO provider at frequent intervals.
By outsourcing their recruitment processes, a company can free its HR professionals to focus on strategic goals and boost business continuity.
Not to forget, RPO also helps in boosting employer branding. Outsource your recruitment processes in 2022 for better results!