The differences between RPO and traditional hiring solutions

Most businesses will have to recruit at some point in their lifetime, irrespective of size or industry. Every business approach for recruitment slightly differs from each other. While big companies may have an in-house recruitment team, others may hire recruitment agencies to handle their recruitment needs. Usually, businesses who look to fill 20+ roles in a year will engage in Recruitment Process Outsourcing agencies (RPO).

But what is Recruitment Process Outsourcing (RPO) and how is it different from traditional staffing solutions recruiting?

Overview of RPO and Traditional Staffing Solutions

While the Recruitment Process Outsourcing industry has emerged from traditional recruiting, both have a few fundamental differences. In Recruitment Process Outsourcing, companies transfer all or part of their recruitment processes to an external service provider. Wherein the RPO provider has to deploy its own staff, technology, methodologies, and reporting.

Differences in Approach

RPO focuses on streamlining and optimizing recruitment processes

Recruitment outsourcing is all about giving a part or whole of the recruitment processes to an external service provider. RPO solutions are designed to help businesses optimize their recruitment processes, reduce costs, and improve the quality of their hires.

RPO is Cost-Effective for those businesses that want to do bulk hiring. They are designed in such a way as to help businesses reduce their recruitment costs and achieve a great return on investment. RPO’s focus is on streamlining and optimizing recruitment processes through high scalability and customized recruitment solutions for the changing needs of clients. Over the past few years, RPO has been trickling down into the smaller and middle market domains as outsourced recruiting becomes applicable. As a result, smaller, agile RPOs and staffing and recruiting companies are rising into the higher ranks of strategic recruiting partners and carving their unique niche in the talent acquisition marketplace

Traditional Staffing focuses on filling individual job openings

Traditional staffing focuses on recruiting delivered by recruitment agencies that work via a much more simplistic business model. Recruitment agencies focus on traditional way of staffing methods to work on a more transactional basis. Businesses often put vacancies out to multiple recruitment agencies simultaneously to get the best candidate for their company by competing for the same talent.

Traditional staffing recruitment has followed the same standard for candidate placement for a long time. Their recruitment generally starts with an open job position and a recruiter who searches for candidates with the right skills to fit that position. It also means that, in some cases, positions go unfilled if the exact skills match is not found at the right place and time. There have been many changes in the field of recruiting over the last several years in traditional staffing methods.

Differences in Scope

Let us see the difference between RPO vs staffing companies and how they work

RPO’s comprehensive coverage

When you work with a Recruitment Process Outsourcing company, it becomes much more involved with your business. It works with your organization for a longer period and on a long-term agreement. An RPO takes out time to learn as much as possible about your company and the kind of candidate that would fit into your company for open positions. An RPO’s role goes beyond just filling vacancies on a transactional basis. They take more time to understand the business first by adding greater structure to your existing recruitment process and help shape up your future hiring plans and increase recruitment success. It works comprehensively for your company and takes care of it overall.

Traditional Staffing’s limited involvement in the recruitment process

The major difference between RPO and traditional recruiting is that RPO (recruitment process outsourcing) can provide a more strategic and overarching approach than the traditional approach of writing a job description and posting it online. A recruitment process outsourcing firm will then customize the recruiting process for the candidate’s skills, qualifications, values, and if they will fit into office culture, rather than hiring for a one-size-fit approach.

Differences in Control and Flexibility

RPO’s cost-effective approach

By having someone else carry out your company’s recruitment process, you get more time to focus on other HR processes. Which includes training and development or other operational activities. Having an RPO can help to reduce other recruitment costs. It is effective when an employee suddenly leaves the company and there is a need for urgent recruitment.

Traditional Staffing’s per-hire pricing model

Depending on the company’s requirements, RPO can work within the existing recruitment processes and optimize them or create an entirely new recruitment process by charging the company per-hire pricing model. The RPO agency may carry out the recruitment process independently or with their team who can help with company implementation.

Advantages of RPO over Traditional Staffing

RPO solutions are designed to help companies save their recruitment costs. RPO recruiters work closely with clients and understand their requirements to provide them with customized solutions that meet their unique recruitment needs.

Additionally, some RPO providers also offer Partial Recruitment Process Outsourcing wherein the solutions cover specific parts of the recruitment process, like sourcing or screening candidates. At the same time, the recruiters work closely with clients to identify the recruitment areas that need improvement and provide solutions to address those areas.

Conclusion

NLB Services is dedicated to delivering exceptional RPO solutions to clients in various sectors. Our team of experts holds multiple years of experience and a deep understanding of the latest recruitment tactics that help them to cater to various industries’ demands. Our team of experts has a better understanding of the challenges organizations face in their recruitment process, and hence, we help them to find the right talent.

Our comprehensive RPO solutions that are tailored to meet your specific needs ensure your recruitment process is as efficient and effective in your company. Partner with NLB Services for your RPO needs and experience the difference that comes from working with a team of experts who cares about your company’s success.