RPO itself has evolved
What drives a company to embrace recruitment process outsourcing (RPO)? Quite often, employers are motivated by a desire to reduce costs and uncover new efficiencies. As talent becomes more scarce, and the resources dedicated to procuring that talent become more and more stretched, working with an RPO provider provides a cost-effective and convenient way to attract individuals with needed skills. But as many organizations find, the business benefits of RPO extend well beyond the recruiting budget.
Today’s sophisticated RPO programs have evolved past the goal of filling seats as soon as possible. An RPO acts as a true extension of the business and a key partner in determining a strategy to achieve company goals. From helping to shape a company’s employer brand and attracting more great talent, to using talent analytics to continually improve and streamline the hiring process, RPO can have a positive and transformational impact on the entire business. Whether new to RPO, or looking to get even more value out of an existing program, here are some of the numerous benefits the right RPO program can deliver.
1. expanded talent pool.
Today’s market is plagued by talent scarcity, making it more difficult to engage with and attract qualified candidates, especially those coveted passive candidates. Global RPO providers typically have extensive databases of candidates, enabling greater accessibility to the in-demand talent a company needs to achieve its objectives.
But it’s not just improved access to more individuals; RPO providers have the sourcing expertise and proven methodologies to ensure quality candidates are matched to their clients’ crucial positions.
2. employer branding expertise.
Still, getting access to quality talent is only part of the equation; just as important is projecting the company in ways that make the right candidates want to work there. HR leaders might not always have the time and resources to clarify their company’s employee value proposition (EVP), or they may lack the internal expertise to deliver a robust employer brand strategy.
RPO providers can fill this void, researching a company’s brand and competitor positioning, aligning employer brand strategy with company brand and vision, and developing recruitment communications tailored to that messaging.
3. ensuring compliance and mitigating risk.
Complying with existing regulations around the hiring process – and staying up to date with any changes – can be a challenge for any
busy organization. At the same time, things like neglecting to train hiring managers on how to conduct an interview properly can have significant repercussions on the business, both financially and in the company’s overall ability to attract talent.
RPO helps in this regard by mitigating many of the risks that can result from non-compliant hiring practices. With an understanding of local and international labor laws, RPO providers are well versed in navigating complex legal requirements and helping employers develop compliance-focused, low-risk hiring strategies.
4. best practices for greater efficiency.
Centralizing processes through an RPO program can also bring a rigor and effectiveness around recruiting that might not be achieved through internal resources alone.
As RPO providers work with clients across the globe, they understand the best practices to drive optimal results, such as making Six Sigma training a standard part of the talent acquisition function, encouraging more diverse hiring and creating a personalized approach to deliver a more positive candidate experience.
5. enhanced speed of hire.
According to the 2016 SHRM Human Capital Benchmarking Report, the average time to fill for an open position is 42 days. The more positions that remain unfilled, the less equipped a company is to execute on business objectives, respond to shifting market conditions and keep up with or surpass the competition.
RPO providers solve this challenge by working closely with hiring managers to understand specific job requirements, while also implementing service level agreements (SLAs) requiring requisitions be processed within tight time frames. Combined with rigorous screening and assessment, as well as streamlined offer presentations and onboarding, the result is a quick and efficient hiring process.
6. benefit from the latest technologies.
One of the most important priorities for talent leaders today is to keep up with talent innovation. Randstad Sourceright’s 2018 Talent Trends Report found that 87% of organizations say talent innovation has enhanced the attraction, engagement and retention of talent. Yet, limited budget and resources can prevent employers from benefitting from new technological advancements.
RPO providers deliver on this imperative, as they are in tune with the latest technologies to enhance hiring outcomes and continually invest in new solutions and platforms to help their clients find needed talent.
7. greater flexibility and scalability.
Hiring needs fluctuate throughout the year, and RPO providers are geared to scale their solution models accordingly.
As a result, arrangements like project RPO or recruiter on demand (ROD) continue to account for a significant portion of the RPO market, especially for organizations that find it difficult to forecast their needs or those experiencing rapid growth.
8. improved workforce diversity.
Research from Harvard Business Review shows companies that focus on diversity tend to perform better, with 45% reporting market share growth from the previous year and 70% capturing a new market.
RPOs can help businesses create more diverse workforces, enabling companies to benefit from the different backgrounds and life experiences of their employees, and the resulting new ideas and innovative practices.
9. better insight through analytics.
Adjusting talent strategy with business growth and demand is crucial to a successful hiring program, and RPO partners have the sophisticated technology and data science experience to deliver on this need. Through predictive talent analytics, RPO providers can apply historical data to reveal future trends and needs, while also helping businesses understand performance metrics, conduct more effective talent supply and demand modeling, and correlate metrics to business performance outcomes.
As a result, an RPO can transform talent data into business intelligence, ensuring employers will fill positions with right-fit candidates and helping inform business decisions – such as where to open new operations – that depend on availability of resources.
elevating recruitment through RPO.
Cost efficiency has long been the main priority in recruiting programs, and a key reason businesses choose to adopt the RPO model. But as companies often find, the advantages of RPO include much more than financial savings. RPO has the power to fundamentally transform each stage of the talent acquisition process, resulting in a streamlined, efficient and fully optimized recruiting strategy that drives measurable business impact.
To learn more about how RPO can help transform your recruiting strategies, download Randstad Sourceright's RPO Playbook, a practical guide to answer your questions and help you get started.