RPO case study: maintain smooth recruiting during a company demerger.

June 28, 2019

As a leading auto parts supplier transitions into two separate companies, RPO helps promote separate employment brands, attract the right talent and deliver a positive candidate experience.

Randstad Sourceright RPO  case study automotive demerger

 

| 3 min read |

maintaining stability in the face of change

Any time a company makes a major transition, they have one chance to do things right. So, when a leading auto parts supplier separated into two new companies, ensuring both businesses had the infrastructure and resources in place to succeed was a priority. HR leaders needed the space to focus on strategic initiatives, but not at the cost of putting talent attraction and retention at risk.

During the transition, HR leaders needed to focus on change management and separating its previously connected processes and systems. They also had to consider how the present workforce would be allocated among the two new companies. With varying goals and talent demands, the two businesses also sought to promote distinct employment brands to ensure they attract the best talent going forward.

Despite the major change, it was very important to both companies that these staffing activities could be executed seamlessly. Minimal disruption for the business and an optimal experience for candidates and hiring managers would help each organization attract and retain great people during and after the transition.

RPO drives talent strategy during business disruption 

Given the transition, the HR teams had several priorities, such as rewriting their hiring practices, distinct brands and guiding employees through the cultural shift. To ease the transition and ensure talent acquisition and talent management weren’t put on the backburner during this change, leaders expanded their existing recruitment process outsourcing (RPO) program. This strategy provides continuity for both businesses during this time of business disruption.

With HR focusing on key critical tasks, the RPO ensures that both employers attract the talent they need for their different roles. Since the mobility technology company is involved with developing self-driving cars, dashboard displays and other high-tech features, it relies on a high number of software engineers. Meanwhile, the aftermarket solutions company seeks more mechanical and electrical engineers.

The RPO not only helped to divide existing employees among the two companies, but also assists in recruiting additional talent for both companies. Additionally, Randstad Sourceright helped to implement separate systems — including applicant tracking systems (ATS), TalentRadar talent analytics and billing systems — for the two companies to conduct their recruitment initiatives independently going forward.

Also, a significant key to success is a strong communications strategy. This was crucial during a time of immense change and especially for candidates already in the process prior to the demerger. Randstad Sourceright manages this aspect of the recruitment process. The RPO team communicates with talent, guides them through the transition, explains the changes taking place and clarifies what those changes mean for them.

Given the high-level support from the RPO, both businesses seek to expand their use of the RPO program. For example, they are exploring how new technologies can drive further efficiencies in the recruitment process and engage the right talent sooner.

recruiting success with minimal disruption 

The company split-up could have been disruptive to the recruitment function and both organizations’ ability to attract and retain talent moving forward. The RPO programs, however, ensure that both businesses continue their recruiting successfully. This approach has resulted in 646 hires for the mobility technology business and 297 for the aftermarket solutions company in 2018.

Overall, utilizing an RPO program through this transition helped to keep talent acquisition on track for both businesses. The effectiveness of the program is highlighted by the positive candidate and hiring manager satisfaction scores throughout the process. New hire satisfaction scores average at 3.6 out of 4 for the aftermarket solutions business. Both companies also continue to meet or exceed key goals around time to fill. It takes fewer than 30 days on average for the mobility technology business — compared to the target KPI of 50 days.

While maintaining an effective recruitment strategy in the midst of enormous organizational change could be a daunting task, the two companies have achieved success throughout the demerger. Assisted by external expertise and advanced recruiting technologies, both companies are better equipped to hire top talent as they continue to grow and evolve.

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