subject: Recruitment Process Of Outsourcing [print this page] Recruitment Process Of Outsourcing Recruitment Process Of Outsourcing
Due to increasing lack of talent worldwide, global productivity remains a major problem for companies, governments and individual business owners.
Now with Recruitment Process Outsourcing or RPO, the three parties can trim down the resources they need in employing and spend more time on core competencies.
So having said this, what is exactly is RPO?
Basically, it is business type of outsourcing whereby companies turn over all or some of its recruitment functions to a external service provider.
Based on the recent statement issued by RPO Association, recruitment process outsourcing usually starts when the service provider is appointed by the company as its internal recruiter and responsible for all or some of the job openings.
The primary role of RPO service provider is to manage all recruitment matters ranging from personal profiling to shortlisting of candidates. It is a role similar to a typical Human Resource Department.
Under the agreement with the company, it also has the right and authority to increase the recruitment time, improve the quality of candidates, have demonstrable metrics available, reduce overheads and enhance legal compliance.
Intermittent recruitment support such as transitory, contingency and decision-making are more comparable to co-sourcing, out-tasking, or simply sourcing. In this case in point, the external service provider is in charge of most types of hiring functions
The main difference between conventional recruiting and RPO is that the latter assumes possession of process while the former is just a part of the process being handled by the company.
Promoters of RPO ensure that the solution tenders enhancement in quality, service, speed and costs. Other than that, the cost benefits of the company which are also economies of trade enable them to offer staffing services at much lower rate without compromising their quality.
Economies of both scale and scope are believed to emerge from a bigger team of recruiters, records of applicant resumes, and venture in recruitment networks and tools.
The solutions offered by RPO are also deemed to alter present investment costs into flexible overheads in recruitment activity. Businesses may bear the costs via transaction instead of by team member. By doing these, it will effectively stay away from underuse or costly discharge of recruitment personnel when activity is sluggish.
Having mentioned the advantages, there are disadvantages of RPO as well.
For instance if the company is unsuccessful in defining its overall recruitment strategies, any future recruitment will fall short of meeting the company's requirements. It may only succeed in the context of a well-delineated business and recruitment drive.
Like all assignments being outsourced, a company should supervise its RPO operations. Such as making preliminary guidance and continuous monitoring.
Another disadvantage is that RPO involves excess expenditure meant for staffing transactions. The total amount may exceed the actual costs of inhouse recruitment.
Overall, outsourcing to parties may pose a considerable challenge concerning management. It may turn out to be successful or unsuccessful depending on the adequacies of the organization. Thus, an inappropriately executed RPO could also lead to diminished recruitment efficiency.
