Guest Post Provided by iSmartRecruit
RPO, or recruitment process outsourcing, is when a company delegates the responsibility of hiring and recruiting new employees to another company. This agreement could be a one-time deal or a long-term commitment.
Their services can include posting the job opening, promoting it, screening resumes, conducting interviews, and finally recruiting and hiring the best candidate for the job. This procedure may also include training for the new employee.
So, how does RPO service benefit staffing firms? In terms of staffing companies looking to expand, here are some of the advantages your company may enjoy.
RPO services introduce diversity to your company
There is no doubt that diversity is appealing in any workplace. It promotes a healthy competitive environment that motivates employees to perform better. Because everyone comes from a different background, they all have unique perspectives that can benefit any company. The discussions are more important because everyone provides feedback that helps the company improve.
Though many consider it normative, recent research has shown that it is highly beneficial to a company. Other studies have also proved that many employees in the pro-diversity regions such as Western Europe and the United States prefer working in diverse environments. In a survey involving 1000 participants, more than 67% of those seeking jobs consider workforce diversity before accepting a job offer.
RPOs have processes with in-built diversity initiatives and considerations; thus, they can provide your staffing company with diverse candidates to fill open positions. Hence, your business performance will improve across the board due to the diversity because everyone brings something substantial to the table.
RPOs can help in employer branding
Employer branding is the process by which a company promotes itself as the employer of choice. This way, the target audience is attracted, applying promptly, hoping to secure a position. More and more people will want to work for you if you have a strong Employer brand.
Job seekers today rely on career review websites, social media platforms, and ever-evolving technology. So much so that if you post a job opening on any of those platforms, you will fill it quickly and with the best candidate for the job.
There is existing evidence that suggests that many people tend to work for companies they admire, respect, and have values that echo their own. 84% of those seeking jobs agree that a company’s reputation is essential in their decision-making process, and 50% will not work for a company with a bad reputation no matter the pay. Research also shows that 9 out of 10 candidates will only apply for a job from employers whose brands are actively maintained.
However, branding involves a lot of outreach, marketing, and investment. Worse, the return on the investments made is always minimal since they are reflected in the quality and size of your candidate pool. Your staffing company hence should consider the RPO services since they will perform all the outreach for you. More essentially, the RPOs will do this under your name; therefore, you will enjoy the outreach and branding benefits without investing in them.
RPOs are consistent in filling different job titles
According to studies, more than 90% of businesses have varying and inconsistent hiring needs. That is why your staffing firm should think about hiring an RPO because they are always consistent whenever you need them to handle hiring different job titles.
You can retain them to conduct recruitments on an as-needed basis. It saves you the trouble of having to restart your recruitment process over and over again. They will always provide you with interested candidates who meet your requirements as soon as you request them, whoever is hired as the best candidate for the job.
RPOs take time to analyze candidates
The hiring process can be time-consuming. It necessitates that you spend time conducting personality assessments, skill assessments, and obtaining a history of education and experience for each candidate with whom you work. According to statistics, more than 80% of businesses do not complete this process and end up hiring the wrong candidates.
RPOs, on the other hand, are constantly actively recruiting for positions similar to those that your staffing firm has open. RPOs carefully read resumes, noting any industry trends that may improve their techniques for recruiting better employees. Instead of starting from scratch, they will ensure that your screening process is streamlined down to the few specifics of your staffing company. They essentially lay out the procedure for you to follow.
RPOs provide analytics and data
It is critical to collect data at every stage of your hiring process. It ensures that the process runs smoothly and efficiently. However, gathering and analyzing this data from various sources can take time. It is not enough to collect data; you also need a mechanism to help you interpret and apply this information. Approximately 60% to 80% of staffing firms will skip this critical step in the hiring process. It puts them at risk of losing their clients’ trust and missing out on significant industry trends.
Contracting an RPO can be advantageous in two ways. First, their highly dedicated team will conduct data analysis, which your staffing firm may not be able to afford. Second, they analyze data from a more extensive data set than your staffing firm could ever hope to access. And they use this data to fine-tune their systems before even considering hiring. They begin at a higher level than your staffing firm would spend years attempting to achieve.
RPOs will help your staffing company reach a vast pool of talents
According to statistics, more than 78 percent of small businesses lack the resources needed for the hiring process. The fee paid for brand advertising to attract candidates for interviews is one example of such a resource. A lack of such resources results in a smaller pool of talented and experienced candidates showing up.
RPOs concentrate their efforts on shaping their candidate pools as much as possible. They can reach areas and communities that your staffing firm may not be able to. Furthermore, they can contact candidates who were unaware that your company existed. All of this will result in a larger talent pool and a more significant number of qualified candidates for the open position in your company.
RPO services are affordable
PROs are a cost-effective option because they give the client the freedom to choose which service to hire and pay for. This means that the majority of the funding generated by your company is directed to other sectors of the business that are vital for revenue generation.
The take away.
Hiring an RPO to streamline your hiring process is the best decision you will have made so far. Your hiring strategy will be faster and more efficient, ensuring that only the most qualified candidates fill the roles that have been assigned to them.