RPO, Recruitment Process Outsourcing, Outsourced Recruiting, whatever you call it, outsourcing all or part of your company's recruiting functions can be controversial. Once thought of as a company's dirty little secret, the RPO engagements of today are working with, not against the organization to deliver top-level business and recruiting objectives.
Recruitment Process Outsourcing (RPO) refers to the process by which a company outsources part or all of its recruitment functions to a third party vendor. This includes a wide range of operations; such as candidate sourcing, screening, interview scheduling and logistics, offer execution, system compliance, and HRIS (human resources information systems) data entry.
What RPO Isn't
We are going to dive into this topic in greater detail in an upcoming webinar, but in short, it's important to note the distinction between HRO, or Human Resources Outsourcing, and RPO solutions. While both fall under the Business Process Outsourcing (BPO) umbrella, HRO refers to the outsourcing of certain Human Resource functions such as HR system input, paperwork processing, benefits management, compensation, and performance management.
What RPO Is
Recruitment Process Outsourcing (RPO), on the other hand, is a viable option for companies that simply stated, are short on internal recruiting resources. It it important to note, some RPO companies offer full scale RPO solutions. Where other RPO companies, like Yoh, provide a variety of customizable and scalable solutions to meet the client's recruiting and business objectives.
Because RPO companies can leverage economies of scale to reduce the cost per hire, cost is certainly a driving factor for the adoption of RPO solutions. But, truly successfully RPO partnerships offer benefits well beyond cost-savings.
The Benefits of Recruitment Process Outsourcing
Whether selecting what is typically known as a full service RPO solution or project-based RPO, in either event, outsourcing recruitment enables the company to re-focus HR managers and other internal HR staff members on other initiatives.
- Quality and Speed to Talent. Utilizing a team of experienced, professional recruiters can increase the quality of hire and the speed with which you fill open positions.
- Tackle Anticipated or Unanticipated High Volume Staffing Needs. RPO companies can help satisfy seasonal or cyclical hiring needs, and ramp your staff up or down at a fair cost.
- Consistent Tracking and Compliance. An RPO partner can handle and assure adherence to all necessary compliance measures within the sourcing, recruiting, and hiring process.
- Employment Brand. A candidate's experience applying and interviewing for a job at your organization has a direct impact on its employment brand. Your internal HR department is likely being pulled in myriad directions at any given time. A dedicated RPO partner, however, can focus on ensuring a positive experience for candidates.
Just one warning: If your company's internal recruiting strategy is failing, it can't be assumed that outsourcing the function will resolve the issues. To truly be successful the RPO relationship must be a partnership in every sense of the word. All of a company's key stakeholders need to be brought and bought into the arrangement and work together to accomplish the organization's recruitment goals.
This blog was written by Matt Rivera. Matt serves as Vice President, Marketing and Communications and is responsible for overseeing all aspects of Yoh’s marketing and brand communications. Matt holds a degree in Journalism/Public Relations and has been working in the staffing industry for more than 25 years. Prior to this role, Matt held many different roles from branch recruiting and proposal writing to technology management and online marketing.