Workforce expansion is an inevitable part of business growth. Scaling up your business requires your internal processes to be efficient and timely for you to be able to compete with your competitors.
With globalization at the forefront of growth, expanding into new markets is the inevitable next step. Establishing your presence globally needs you to step outside your current local talent pool and reach out to international employees.
However, recruitment is not a straightforward process. It takes an established process, a deep network, and extensive knowledge of local laws and taxes to recruit the top international talents right for your business. You may find yourself allocating more time and resources than you’re willing to hire top talents outside of your country.
If you’re unsure of the international hiring processes then you may need to employ Recruitment Process Outsourcing (RPO).
What is Recruitment Process Outsourcing?
Recruitment Process Outsourcing (RPO) is a business model where a company outsources the recruitment processes to a third-party company. The RPO service providers simplify global recruitment management for the company with a blend of human resource specialists and advanced technology catering to bespoke recruitment needs.
RPOs act as an external arm for your recruitment needs helping you attract the top talents you need for your company.
Benefits of RPO
By simplifying the recruitment process for your company, RPOs can bring ample benefits to make your business competitive in the global landscape. Here is a look at the major benefits of RPO for your organization.
Cut Down Costs
With an RPO, you attain access to global pools of talent abling you to recruit the best candidates for the roles you need. You can avail of cost-effective services facilitated by recruitment specialists with access to the latest industry trends and technologies.
Keeping track of the latest amendments and tax regulations is the strength of RPOs. Service providers have up-to-date knowledge of countries in their reach. You don’t have to worry about legal compliance as the RPO specialists have the expertise traversing these requirements.
As your recruitment process outsourcing service provider takes care of your global recruitment management for your company, you get more time for your core business activities. This way, you can engage more prospects to support your innovation strategies to keep your business’ competitive advantage at the forefront of your industry.
What are the models of RPO?
Enterprise RPO (Full)
Enterprise RPO or Full RPO covers everything you need for recruitment. The full process of recruitment services is offered from the initial stage of planning, sourcing candidates, to assessment processing, interviewing and up until onboarding. Your RPO will serve as an internal department fully responsible for the recruitment process. This is perfect for medium to large enterprises that have a limited budget for full-time recruitment employees.
Modular RPO (Partial)
Modular RPO or Partial RPO (also sometimes called Hybrid RPO) offers limited services as a way to complement your needs for recruitment. More often than not, RPOs will handle the marketing and sourcing of your candidates along with the initial screening and assessments. However, the services provided will be based on the services you avail. This type of service is ideal for companies with internal HR departments that need to offload their recruitment processing to focus more on essential business processes for more cost-effective work.
Project RPO (Agile)
Project RPO or sometimes called Agile RPO is a service provided in a limited time frame. This service focuses on rapid recruitment strategies for the positions you need to fill as soon as possible. Project RPO is often times contractual and can last from weeks to months at a time. You can avail of full recruitment processing from sourcing until onboarding but it depends on what your vendor can provide you. This type of service is perfect for companies who need specialized skills for sudden expansion or to plug in holes within the workforce.
How is RPO different from traditional recruitment?
Traditional recruitment firms only source and find the right candidates for the position as opposed to RPO providers which fully spearhead the design and execution of the recruitment process. RPOs in essence act as full-time HR departments within the company without hiring full-time staff members under your company.
The employees under RPO services are specialized in recruitment processing, possess deep industry knowledge, and are equipped with the latest technology.
In many ways, RPO service providers overlap with traditional recruitment firms. However, RPOs are usually more entrenched with their clients, delivering focused and high-quality services than traditional recruitment firms.
Difference between Human Resource Outsourcing (HRO) and RPO
Human Resource Outsourcing (HRO), as opposed to RPO, takes most or all of the company’s HR functions. Although HRO and RPO functionalities sometimes intersect, HROs provide more stable and in-house services for the companies as listed below:
- Payroll management
- Training and evaluation
- Exit Interviews
As for RPOs, service providers offer external assistance strictly in the whole recruitment process. This business process is often transferred directly by the vendor’s services such as:
- Planning and strategy
- Recruitment marketing and development
- Screening and interviewing
- Consultation on the selection process
Functions available for service will depend on the agreements you made with your vendor or what type of services they can provide.
Typical RPO services
RPOs provide streamlined recruitment processes ready for integration within companies. Typical RPO services include:
- Recruitment Planning
- Recruitment Marketing
- Candidate Screening
- Recruitment Sourcing
- Candidate Assessment
The services listed above are the full recruitment process. However, you can avail of a part of RPO services depending on what you need and what your vendors can provide.
Technologies used in RPO solutions
Recruitment processing today has vastly changed because of the technology available. The advancements in connectivity has made it easier for recruiters to attract and manage candidates from the other side of the world with technologies listed below.
Candidate Relationship Management System
Using programs or SaaS for CRM, you can store databases for seamless access and use it for better communications management with your prospective candidates.
Using Microsoft Teams, Google Meets, or Telegram to conduct initial interviews, screening, or assessments of the candidates.
Social Media Networks
Recruiters utilize social media networks such as LinkedIn to find prospective candidates and market their job openings.
How to choose the right RPO
Choosing the right RPO for you requires a thorough understanding of the needs of your company. You have to know whether you need a full RPO service to take over your HR or just have a streamlined recruitment process. This way you’ll be cost-effective in availing services your company needs.
You also have to take into consideration the RPO’s reputation and services. Great RPOs offer comprehensive strategies and efficient frameworks pushing your competitive advantage forward. They treat their clients with enough attention and care to deliver that sometimes they can be a seamless addition to your company.
Questions you need to ask for choosing the best RPO for you.
- Do they hire with quality data on-hand?
- Do they use up-to-date technology and techniques?
- Do they value their client company’s values, culture, and branding?
Integrating RPOs that fit your company remarkably well provides hassle-free and time-saving processes. With their help, your company will be able to recruit the best possible candidate for the role you need without any headaches.
Cost of an RPO solution
RPO pricing solutions depend on the needs of your company and are priced according to the models used. RPO companies provide different services and have strengths that others do not have. Below are examples of some of the models you can base on depending on the budget you have at hand.
- Cost Per Hire Model
- Pro benefit
- Management fee model
- Management fee and Cost per-hire model
- Cost-per-slate model
You can find more about the cost of RPO solutions here.
How Multiplier Simplifies Global Recruitment Process
Multiplier is a recruitment process outsourcing service provider trusted by businesses across the world. Our technology-powered platform ensures 100% statutory compliance at all times making the international employee onboarding process seamless for your organization.
While we handle HR management for you, you can easily monitor the process using our real-time insights. We make it possible for you to streamline global HR management without having to spend all your valuable time on them.
We understand your employees are your asset. To stand by what we say, we provide you with 100% employee ownership while we only onboard and manage them for you.
Are you bothered about the complexities involved in payroll processing? Take a chill pill. We can take care of it for you. While we process payroll for your company, you are still the decision-maker of your HR wing. Our platform comes with an all-new one-click to remind you of it every time. Yes, everything happens with your approval and you can signal it to us with just a click.
Want to get a closer look at how we do what we do for businesses like yours? Feel free to get in touch with Team Multiplier