Recruitment Process Outsourcing
What is RPO?
RPO is an acronym for Recruitment Process Outsourcing, a rapidly growing segment of the Human Resources Outsourcing industry (HRO), which in turn is a subset of the Business Process Outsourcing (BPO) industry.
RPO partners become a virtual extension of the client’s Human Resources department. The RPO provider offers high volume, end-to-end recruitment services. The RPO is often involved in the full lifecycle of recruitment, from when the requisition first opens through post-hire activities, ultimately impacting employee retention.To drive interest and attract quality talent, the RPO provider brands all recruitment activities as the client company. An RPO provider takes ownership of the entire recruitment process, generating savings for the client in time, efficiency, and resources.
Why would I use an RPO?
Companies who engage an RPO provider seek to streamline their recruitment process, decrease cycle times and costs, increase candidate quality, improve compliance, and measure results. RPO is particularly suited to companies with ongoing, high volume recruitment needs.
Partnering with leaders within the organization, an RPO provider analyzes the recruitment function from a strategic perspective, recommending and implementing adjustments where necessary. By outsourcing recruitment to an expert source, the company is able to fully focus on strategic, revenue-generating activities. To ensure efficiency and performance, the company’s RPO partner should provide periodic reporting to measure the program’s success.
RPO is best suited for companies requiring scalable recruitment resources or lacking of centralization within their recruitment function. An RPO can efficiently provide expanded resources, expertise, best practices, and process consistency—all translating into cost savings and efficiency. By implementing a consistent process across recruitment initiatives, a company can also ensure legal compliance and aid decision-making. With an RPO provider in place, the client may then dedicate resources to strategic business initiatives, rather than administrative or transactional recruitment functions.
How is an RPO different from using a staffing firm?
While staffing firms source, qualify, and fill open positions, they do not provide the scope of service that an RPO might, because they typically do not fill a high volume of open positions. Executive search firms, similarly, do not focus on high volume roles. Instead, an executive search partner is better suited to strategic positions at the management level and above.
RPO is particularly suited for high volume recruitment for entry to mid-level roles and companies seeking better predictable hiring costs.
The service provider consults with the client and designs a customized process, before recruitment activities even begin. Recruitment advertising (including online career centers) may be branded as the client company, as opposed to the staffing firm, strengthening the client’s employer value proposition and lending transparency to the recruitment process. This transparency is apparent in all stages of the recruitment process, creating a positive candidate experience.
Outsourcing Positions to an RPO Reduces Fees
As companies outsource a volume of open positions to an RPO, they may also see immediate results through reduced fees and scalable resources. While staffing firms often charge a percentage of the new hire’s estimated annual salary, an RPO bases pricing not only on volume of hires, but especially on increased process efficiencies. Clients may see a significant savings on job board expenses, recruitment fees, among others.
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What to look for in an RPO:
Before engaging an RPO provider, consider the following questions:
- Why is your company hiring? Are positions open due to expansion, turnover, or other factors?
- How many positions are you looking to fill?
- What are your current metrics for recruitment success? What are your goals for improvement?
- Will hiring increase, decrease, or remain the same over the course of the year?
- Is hiring affected by seasonality?
- What does your recruitment process currently look like? What are its strengths and weaknesses?
- What is your timeline for hiring?
- How are you currently finding talent? What’s working and not working?
- What are the costs associated with recruitment, including job boards, traditional media advertising, search firms, and special events? What are your soft costs, such as job vacancy, turnover, and training?
- How does technology integrate with your recruitment process? Can it assist with maintaining legal compliance?
- How is your company measuring success?
ACA Talent: Your Partner Throughout the Recruitment Process
With your answers to these questions in mind, a well-developed RPO program should address any current hiring weaknesses and bolster current strengths. Your RPO provider should be a partner throughout the entire recruitment process – not just a vendor. As you engage with an RPO provider, your partner should consult on your unique hiring challenges and make recommendations for overall process improvement. Your RPO provider should also have proven implementation and recruitment strategies, integrated technologies, and benchmarks for success.
Who is ACA Talent?
Optimized Recruitment Process
ACA Talent’s menu of services features end-to-end, personalized RPO solutions that manage the entire candidate life-cycle. Through an optimized recruitment process and ongoing metrics monitoring, we ensure program integrity, candidate quality, and efficient hiring. Clients may also integrate individual services and further personalize their programs.
In addition to reducing your cost-per-hire and hiring cycle time, our process captures every activity associated with recruitment, providing the client with opportunities for continuous improvement through quality feedback, without compromising the integrity of the program.
As a trusted strategic partner, we provide comprehensive solutions and scalable infrastructure, which quickly becomes cohesive parts of your Human Resources practice group. Our program provides strong account leadership that adapts to the demands of a thriving organization.