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Recruitment Process Outsourcing is basically a subset of Business Process Outsourcing (BPO), where the entire recruitment process is the outsourced part. In this process, the employer assigns its recruitment process to a third party service provider.
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Differences Between RPO Providers and Traditional Staffing Agencies
The simplicity and familiarity of using are the main two reasons making traditional staffing popular amongst the recruiters. However, in this technological era, the simple hiring and staffing process is not sufficient to acquire efficient talent. Recruitment Process Outsourcing is basically a subset of Business Process Outsourcing (BPO), where the entire recruitment process is the outsourced part. In this process, the employer assigns its recruitment process to a third party service provider. Usually, the external provider will be a well-experienced company with effective knowledge and expertise in HR and Recruitment procedures.
RPO not only finds the perfect employees but also improves the organization's recruiting culture. It is more strategic than the traditional staffing. The best RPO providers focus on effectively partnering with employers. They provide effective people-process-technology solutions to find and employ top talents and operate in a custom manner fit for the employer needs.
How is RPO better than traditional staffing? Along with hiring, RPO also looks after turn over rates, scalability, and efficiency of the employees. They will be equipped with effective measures and strategies that will ease up the recruitment process for the whole team. Most RPOs work with their clients for the long term. They improvise the organization's recruiting processes on the go. Hence it is more reliable and cost-effective for the long term. Data processing, Process Mapping, Change Management and Training are the basic process stages followed by most of the RPOs. By following these structured procedures, employers are benefited with scalable and flexible solutions, reduced hiring time and cost, quality hiring and analysable results with the help of optimum analytics and reporting. Because of its increasing popularity and resilient advantages, RPOs are becoming the new norm in the industry.
Common RPO Models On-demand model This model is perfect for companies having immediate hiring needs. RPO providers will have an efficient workforce who can fulfil the requirements promptly. This model is highly cost-effective and time-saving when compared with any other hiring methods. Function-based model In this model, the company will outsource for specific projects or divisions on high priority. The rest of the hiring needs will be taken care of by the inside HR team.
In the traditional staffing method, a dedicated in-house hiring team or recruitment manager works on the entire process of hiring. In the RPO model, the outsourced agency or team takes ownership of the entire recruitment process. This includes looking out for possible leads, listing and filtering talented candidates, filling open roles, and keeping best choices for future needs. Although RPOs seem expensive than the traditional staffing, it is cost-effective and time-saving in the long run. An efficient RPO can improvise your company culture and help in increasing the employee retention rate. Choosing the right employees and retaining them properly are in direct proportion with company outcomes. If you choose your people right, they will do the work for you.
