RPO MADE SIMPLE
YOUR GUIDE TO RECRUITMENT OUTSOURCING
Companies need workforces ready to adapt to the challenges of tomorrow. However, in an era of stagnating productivity levels, tightening budgets and increasing talent mismatch between the skills required and those available, it’s not always easy to keep pace.
Outsourcing all or part of your recruitment process to external suppliers through an RPO solution can be a solution. But how to get started? What different solutions and models are available? How to win over decision makers and build a business case? And how to select the right provider?
This page and our RPO playbook will help you get started.
RPO - WHAT IS IT, AND WHEN IS IT USEFUL?
Recruitment Process Outsourcing (RPO) is a solution whereby a recruitment service provider supplements your Talent Acquisition (TA) function according to your needs. This is a strategic partnership that enhances your capacity to attract, engage and hire perfect-fit candidates at scale, helping you to meet and beat your business objectives.
The RPO solution provider becomes an integral part of your business, working closely with your hiring managers to handle all aspects of talent acquisition.
You don't have the resources to manage an increasing hiring demand or a demand for specific personnel? Do you frequently use recruitment agencies? Do you often have significant peaks and troughs in recruitment? Or do you need to significantly reduce time-to-fill for open positions? If so, an RPO may be useful for your company.
THE BENEFITS OF RPO
Access to Talent: RPO providers are equipped with a team of recruitment professionals with in-depth knowledge and expertise across industries, geographies and job functions. Their job is to ensure that your organisation gains access to skilled talent that aligns with your unique business needs, as and when needed.
Market Insights and Talent Analytics: An RPO provider will equip you with market insights, leverage talent analytics to enhance workforce planning and help you stay proactive.
Scalability and Flexibility: Do you somtimes require a surge in hiring during a rapid expansion phase or a temporary reduction in recruitment activity? RPO providers can adapt their services accordingly so you can keep agile and optimise costs.
Improved Candidate Experience: RPO providers prioritise delivering a positive and engaging candidate experience throughout the recruitment journey. They can provide prompt communication, personalised interactions, and a seamless candidate journey, enhancing your employer brand.
Knowledge of employment laws, regulations and hiring policies: RPO providers offer in-depth knowledge of employment laws and regulations, ensuring your recruitment practices comply with legal requirements.
FINDING THE RIGHT MODEL
Each organisation has a unique way of outsourcing its recruitment needs, so no solution ever looks the same. An RPO provider can support your Talent Acquisition in many ways.
First, ask yourself a few questions:
- Why do you need support with Talent Acquisition? What are your pain points?
- How many people do you need to hire? Where? When? And what skill sets/job titles?
- What is your current recruitment process and infrastructure?
There are several models:
Enterprise RPO: A comprehensive end-to-end outsourcing solution that covers the entire recruitment process for an organisation. Suitable for organisations with high-volume hiring needs or complex talent acquisition requirements.
Hybrid RPO: The organisation retains some of the recruitment process in-house while outsourcing specific locations, business units, functions, components or tasks to an RPO provider.
Project RPO: Typically supports a particular hiring project for a defined period, for example, the setting up of a new business unit. Often an opportunity to test whether an RPO solution is a good fit for your business.
Modular RPO: An approach where specific components or processes of the recruitment function are outsourced to an RPO provider rather than outsourcing the entire recruitment process.
Staff Augmentation: Staff augmentation, often called ‘Recruiter On Demand’, is commonly used by organisations to supplement their existing workforce with external RPO resources, which are then integrated into the organisation’s current teams.
Location Strategy Projects: Location Strategy projects are when an RPO organisation provides talent insights to help organisations make informed decisions about the best locations to establish their presence.
MAKING A BUSINESS CASE
Winning over key decision-makers and creating a compelling business case for outsourcing your recruitment processes requires a strategic approach. Here are some key considerations that may help build your business case for change.
Understand Stakeholder Needs: Thoroughly understand key decision makers’ pain points, challenges, and organisational goals. Customise your approach to address specific stakeholder needs and highlight tangible benefits.
Showcase Expertise and Experience: Demonstrate the expertise and experience of the chosen RPO provider or provide an overview of multiple RPO providers you may invite to tender.
Align with Business Strategy: Show how RPO aligns with business goals such as growth, expansion into new markets, or enhancing employer brand reputation.
Financial Analysis and ROI: Conduct a thorough financial analysis to demonstrate RPO’s ROI. Compare the costs of implementing and managing an in-house recruitment function with the cost structure of an outsourced solution.
Address Potential Concerns: Anticipate and address potential concerns or objections that key decision-makers may have.
Present a Comprehensive Plan: Craft a comprehensive plan that outlines the implementation process, timelines, key milestones, and performance metrics for measuring success. Include a detailed breakdown of the scope of services provided by the RPO provider and how they align with the organisation’s specific needs.
SELECTING THE RIGHT PARTNER
Selecting the right Recruitment Process Outsourcing (RPO) provider is of course crucial for a successful partnership. Some important considerations:
- Assess the expertise and experience of the RPO provider in your industry and the specific recruitment areas you require support in: consider their track record, client testimonials, case studies, and references.
- Consider the cultural fit between your organisation and the potential RPO provider. Ensure that their values, working style, and approach align with your company culture.
- Assess their ability to handle fluctuations in recruitment demands and adapt to changing market dynamics.
- Evaluate the technology and tools utilised by the RPO provider. Prioritise providers that use advanced recruitment technology.
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