What is an RPO?
RPO is an external service provider that assumes all or part of its recruitment processes for a company. This partnership may be limited to staffing, but usually includes other efforts to optimize cost, quality, efficiency, and mitigate risk. Its programs may include: sourcing, screening, assessment administration, interview coordination, selection, pre-employment testing (background, drug, education, employment verification, and reference checking), offer administration, on-boarding, new hire care, and exit interviews.
Why Use an RPO?
Cost & Time Savings
Streamlining the recruitment process through an RPO can result in significant cost and time savings. They work to improve time-to-fill and hiring manager satisfaction while reducing cost-per-hire. They can also negotiate better rates with various service providers.
Seasonal demands, new projects, and new processes can create urgent hiring needs. Organizations can quickly find themselves understaffed which can lead to a number of costly consequences, including lost revenue due to lower production, excess overtime, and low staff morale. An RPO provides scalability to manage inevitable peaks and valleys in recruitment activity. It gives you access to the right talent precisely when you need it. This scalability also allows businesses to convert the fixed cost of in-house recruiting to a variable cost that adjusts as needed.
Access to Technology and Tools
There are a number of tools available to track the health and effectiveness of a company’s recruiting and hiring processes. RPO providers have access to the latest technology and job search tools to find the people you need. Their buying power can also allow you to get better prices and more integrated solutions, saving you time, money, and resources
Subject Matter Expertise
Recruiting, hiring, and onboarding the people you need to maintain and grow your business take time, effort, and skill; when faced with high-volume hiring, those requirements grow exponentially. An RPO’s core competency is recruiting. They are positioned to immediately address your recruiting and hiring needs.