8 Reasons Recruitment Process Outsourcing (RPO) Works
Recruitment process outsourcing (RPO) is rising in popularity because it has a lot to offer to companies that need help with their hiring, but may not need or want traditional recruiting services. Here are 8 top reasons RPO works.
Reason #1: Cost-Effective
RPO saves companies money because they only pay for the services they use. This could mean paying by the hour or by the task rather than paying a percentage of the new hire’s salary, which can be cost-prohibitive for some. Companies also save money by not having to hire more HR staff when they might only need part time or piecemeal help.
Reason #2: Enhanced Quality of Candidates
RPO providers have access to diverse and proprietary talent pools that will give companies a chance to hire better quality talent. Hiring better talent will help companies earn more money and grow larger, faster. This is all without the need to hire additional staff or pay traditional recruiting fees.
Reason #3: Scalability
Because RPO only provides the services companies need and because the recruiting company’s resources are used, RPO is highly scalable. If you need to hire a larger number of workers for a particular season, your needs can be met easily because the resources are there. If your hiring needs are slower at other times, your costs will be lower to match those needs.
Reason #4: Reduces Time-to-Hire
RPO also reduces time to hire in many cases because service providers can source candidates quickly and can manage the hiring process in less time than your HR department or current staff. When an IT company decides to use RPO services for hiring, for example, there may already be candidates in the RPO provider’s talent pool that would be a good fit. They may even be prescreened and ready to jump straight to the interview. This saves time and money.
Reason #5: Access to Recruitment Technology
Because they are focused on recruiting, RPO providers use all the latest recruitment technologies such as AI sourcing tools, screening tools, and other software to automate the hiring process. Recruitment technology not only saves time, which saves money, but it can also be helpful for diversity and inclusion practices by taking human bias and error out of the process.
Reason #6: Compliance and Risk Management
One aspect most people don’t think about regarding RPO services is that they can provide compliance and risk management services. Many fields like government services companies and health care require these services, and they can be time consuming and expensive. Outsourcing them to an RPO provider can ensure the continued smooth running of the company without devoting company resources to these requirements.
Reason #7: Improved Employer Branding
RPO goes beyond traditional recruiting services and can help companies develop their employer branding in addition to direct hiring tasks. Employer branding is essential in developing top talent because it gives the brand a positive reputation and attracts quality workers who want to be part of it.
Reason #8: Focus on Core Business
Sometimes companies just don’t have the resources to properly focus on their core business tasks and practices while conducting the hiring processes they need to maintain their staffing at optimum levels. These companies benefit greatly from RPO services because they can outsource their hiring needs and keep their focus where it needs to be.
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