RPO - Recruiter Process Outsourcing: Good for Hiring Corporations?

As I've mentioned in previous ranting, I think RPO will become a major option for companies having trouble hiring large numbers of new employees.  The issues stem from the differences between HR departments strengths and true recruiting companies strengths. 

HR Departments are good at negotiating corporate and legal policies. 

Recruiting companies know how to source, interview and build relationships with large numbers of candidates quickly.

What a great combination when you're needing to staff up, Mr. Corporate America!  But now comes the real problems.  How do I pick the best Outsourcer? How do I get my HR department on board without threaten their role within the corporation?  How do I judge if I'm getting my money's worth?   

Some key factors with to look at for Outsourcers:

1) A solid, repeatable, documented process.

2) Experienced recruiters and sourcers on staff.

3) A management team that has recent and front line recruiting experience.

4) A good tool set (ATS) that assists the recruiters working with a high volume of candidates and keeps good metrics.

Some key factors with HR departments:

1) 99 out 100 times, the candidate interview/decision process MUST BE RE-ENGINEERED.  Focus the changes to stream line the movement of candidates through  interviews and hold hiring managers accountable to make timely and realistic decisions. 

2)  Use the HR departments as the facilitator not a roadblock. 

3)  Define job descriptions with realistic expectations and salary ranges.

4)  Have a high level management sponsorship and involvement in the execution/status meetings.

5)  Have performance based rewards and penalties.  Remember, the more the vendor and individual recruiters are able to make a fair profit from the relationship, the more they will take a real, personal interest in it's success.

I have sent out questionnaires to a few RPO firms and will pass along their responses.  The RPO option is a tremendous way for corporations needing to win in the battle for new talent.

Comments

[Ken Jenkins]

The RPO approach is a good option for companies looking to hire large numbers of people. However, some companies choosing this approach are under the false impression that this will meet all their recruiting needs; eliminating the services of the independent headhunter for those hard to fill positions.

I recently had a discussion with a client who is taking the RPO approach. He was very frustrated with the inability to quickly move on local hard to find talent.

I often come across talented candidates who will not speak with anyone except myself. The top talent is often discreet and unwilling to engage with larger recruiting firms for fear of losing confidentiality.

As recruiting evolves with new and exciting applications, the ability to develop candidate trust will still be the foundation for developing successful recruiting practices.