An important part in any business organization is the recruitment process. However, this step towards the growth of an organization can be more challenging to some than others. Regardless, there’s a few good reasons why businesses are outsourcing the acquisition of skilled workers.
Recruitment process outsourcing (RPO) has recently become a trend. This proves both the significance and need of more focus towards onboarding of employees.
While an organization can do this process on its own, modernization and fierce competition makes it harder for a company to acquire key individuals.
Here are the 3 top reasons businesses are outsourcing their recruitment process:
Focus Will Remain on Business
Every move you make towards the growth of your business requires time, attention and resources. Putting much focus on recruiting people can result to lower productivity in other tasks that needs to be done to run the business operation.
While it is important to hire skilled workers, it is also crucial that the quality of the business operation remains consistent. Outsourcing the recruitment process will give you the benefit of keeping your focus mainly on your business.
According to a study conducted by Deloitte’s Global Outsourcing Survey, 57% of businesses stated that their reason for outsourcing is to keep their focus on the core operation of the business.
Recruitment process outsourcing helps you with:
- Interviews and Testing
- Employer Branding
- Workforce Planning Initiatives
- Process Reviews and Recommendation
- Candidate Offer Management
- Candidate Sourcing Strategies
Moreover, recruitment process outsourcing can also help you with reducing costs.
Acquisition of Quality Talent
Companies that offer recruitment process outsourcing have excellent connections to highly skilled workers. They also have good targeted sourcing initiatives that enable them to locate and find exactly the type of people that you need.
The full spectrum of the hiring process becomes a branch of your company without you not having to worry about much of it. Here are more benefits why businesses are outsourcing the recruitment process:
- Progressive Diversity Initiatives
- Innovative Technology
- Flexibility and Scalability
- Improved Time to Hire
- Deep Analytics
- Access to Quality Talent
- Targeted Sourcing
Keeping Up with Growth and Demand
A sudden need for a company to keep up with demand or growth will require some volumes of recruitment. During this phase, focus on the business operation is critical and it’s ideal to delegate or outsource the recruitment process.
Companies that specialize in recruiting process work just as hard and are just as focused as you are with your business. You can be rest assured that while you are handling the operation of your business, the recruitment process is also excellently being worked on.
With recruitment process outsourcing, you can a workforce with quality, faster rate of recruitment and you don’t have to juggle your focus between still having to recruit and running your company.
The Impact of Recruitment Process Outsourcing to Your Business
During the end of 2017, the unemployment rate dropped to 4.1% from 4.8% during the start of the year. This was according to the Bureau of Labor Statistics (BLS). This year, 2019, the unemployment rate plummeted to 3.6%.
What does this statistic have to do with recruitment? The drop in unemployment rating means that growth in the job market is happening rapidly. This means that competition for employers are at an all time high.
Doing the hiring process on your own may no longer be the ideal action to take to acquire experienced workers. In fact, it may also no longer be the more cost-efficient method.
According to a survey, 59% of businesses do outsourcing to reduce costs. The same is true for recruitment process outsourcing. Statistics have also shown the effectiveness of outsourcing the recruitment process.
According to a survey conducted by Deloitte, 78% of businesses feel positive about outsourcing. Furthermore, businesses are rapidly shifting to outsourcing their processes including recruitment each year.
Each year, billions of dollars are being invested on outsourcing. In 2018 alone, the cost of outsourcing in the global market was $85.6 billion. More reasons why businesses are outsourcing their recruitment process is because of the hiring mistakes they commit if they do it on their own.
In fact, these are surprising numbers about hiring:
- 84% of companies hire because of the urgent need to fill skill gaps in their organization.
- 78% of companies do not have access and fail to hire skilled individuals.
Recruitment process outsourcing is not even a luxury but it is a need to stay competitive in the job market.
When you’re trying to decide if you should start outsourcing your hiring process, remember these top 3 reasons why businesses are outsourcing their recruitment process:
- Focus will remain on business
- Acquisition of better talent
- Keeping up with growth and demand
Those are but the top 3 but we’ve also dealt with much of the other benefits when outsourcing the hiring process. If you’re in need of quality talents for your organization, you now know what to do. Consider outsourcing your hiring process as more than half of all companies have.