This is a comprehensive Q&A on all things recruitment process outsourcing (RPO).
Recruitment process outsourcing providers take on all or parts of a client’s recruitment function. RPO providers essentially act as an extension of the company's recruitment department, operating as a strategic partner to drive efficiencies and results.
RPO providers specialize in talent acquisition and have access to advanced processes, technologies, talent intelligence and expertise that many in-house teams lack. They add value by implementing comprehensive, strategic solutions and finding the right talent to meet business needs, allowing organizations to focus on core business activities.
Businesses of all sizes partner with RPO providers. They can supplement existing in-house teams or take on the entire talent acquisition process. RPO providers typically cover all industries as well, including healthcare, manufacturing, life sciences, financial services and FMCG.
Depending on your challenges and goals, there are multiple RPO solutions that can be customized to fit individual business needs.
Strategic enterprise RPO: RPO partners take on the responsibility for an organization's entire global recruitment function including sourcing, recruiting and onboarding high-quality, diverse talent.
Project-based RPO: Project-based RPO partnerships typically last between three and 12 months. Organizations have access to expert teams supported by the latest tech, workforce analytics and talent intelligence. Whether an organization has a new product launch, digital transformation project, business reorganization, or corporate spin-off planned, project RPO will ensure access to the talent needed to succeed.
Agile RPO: RPO teams work seamlessly in partnership with in-house teams to provide talent services that they don’t have the bandwidth or expertise for.
Strategic sourcing: RPO partners take care of the entire sourcing process, giving in-house recruiters and hiring managers more time to focus on their day-to-day.
Admin outsourcing: Admin teams take on the responsibility of job postings, interview scheduling, offer letter creation, pre-onboarding activities (coordinating background checks, drug screens/medical checks and pre-hire paperwork), reporting and ATS management, resume screening and basic behavioral phone screening.
Recruitment agencies fill open positions, while RPO partners provide a strategic approach to talent acquisition to deliver business-impacting results. From diversity hiring and employment branding to upgrading onboarding processes and deploying recruitment technology and talent intelligence, RPOs take a holistic view, elevating talent acquisition and increasing bottom line.
Primarily, RPO providers handle the entire recruitment process and offer additional business strategies to drive value, while managed service providers (MSP) typically support an organization's contingent workforce.
It can, but it doesn’t have to. RPO providers are flexible and can augment existing in-house teams to assist with improving screening processes, conducting strategic workforce planning, scheduling interviews, filling requisitions and more. With extensive in-market expertise, RPOs add considerable value and elevate talent acquisition.
How does an RPO partnership work?
RPO partnerships are highly customizable based on a company’s unique talent needs and goals. After identifying the needs an organization has, RPO providers develop talent solutions that drive individual hiring goals and align with the wider objectives of the business. The implementation phase is next. Regular calls, updates on ROI, and strategy sessions are then scheduled to further optimize and elevate talent acquisition.
How long does it take to get started with RPO?
While roadmaps vary by provider and organization size, once an organization has signed a contract, it can take anywhere between three and 12 weeks to fully implement depending on scope. This accounts for an initial discovery phase to allow a recruitment process outsourcing team to learn company requirements and systems.
What are the different pricing models for RPO?
RPOs have flexible pricing models according to a business’s needs, so scope and investment vary depending on what talent solutions are required. The value of RPO goes way beyond HR and talent acquisition and positively impacts bottom line.
What other services do RPO companies offer?
RPO providers often offer a wide variety of talent solutions outside of RPO, including:
When a business has the right people, everyone benefits. RPO partners supercharge recruitment processes and build next-gen workforces with diverse, high-quality talent to give organizations a competitive edge. In short, RPO providers elevate talent acquisition to ensure companies have the talent needed to meet their strategic objectives.
There isn't a one-size-fits-all answer when it comes to the best RPO provider. RPO providers should be evaluated based on individual business needs, objectives and cultural fit. Evaluating factors include industry expertise, track record, technology and talent intelligence capabilities and flexibility. The right RPO partner will continually advance talent strategy and ensure their clients have access to the talent they need to not just achieve but exceed their business goals.
Prepare these questions to start your decision-making process on which RPO provider to select:
Be sure to understand how quality is defined in a proposed RPO partnership through its entire lifecycle.
You should look for the following attributes in an RPO provider:
Of course, but you’ll need to look at your current agreement. Breaking contracts early can incur extra fees.
Performing due diligence before selecting an RPO provider can mitigate any risk. Be sure to clearly define expectations, SLAs and benchmark evaluations from the outset. This, coupled, with regular communication and performance reviews will ensure an RPO partnership continues to align with a company's talent acquisition requirements.