What is RPO in Recruitment ?

Recruitment Process Outsourcing (RPO) is when a company uses third-party services to handle the recruitment function as a whole or partially. With the help of RPO, you can get experts to take care of sourcing, screening, hiring or onboarding of talents while focusing on the core business areas.

Such recruitment solutions make use of talent analytics, recruitment technology and effective sourcing strategies to make sure you get the best candidates. Engaging the services of an RPO provider can bring down the hiring time by 40% and cost savings by up to 50%. The external recruitment specialists take into account your requirements, company goals and all other recruitment challenges you may be facing before zeroing in on the right resource.

Research shows that around 43% of top companies are likely to partner with an RPO provider and that they see it as a strategic partnership for talent acquisition.2 The RPO solution can give your company a competitive edge if implemented in the right manner.

When the recruiting and hiring process is seamless, you can ensure that the right people are in the right position. This creates a work culture and environment that is conducive to growth. In this way, your company is better poised for success.

Different Types of RPO models

Companies usually decide to opt for RPO when they are met with challenges like a sudden rise in recruitment demand, the technical complexity of roles, lack of geographical coverage or performance issues within the internal recruitment team. The key thing to understand is that recruitment process outsourcing is not a one-size-fits-all hiring solution.

There are various RPO models that you can consider. The particular RPO model that you decide to go with should be in line with the needs of your company. Let’s look at some of the most popularly seen RPO models out there:

  • On-demand model: used to meet the immediate hiring needs of a company. Companies can save a lot of money and time when they entrust this with an RPO provider that is already familiar with the company processes.
  • Function or project-based model: when the hiring is outsourced for a particular division or for a new project. This end-to-end approach can be specifically used for a new product launch or the opening of a new branch.
  • Full RPO model: when the RPO acts like an internal recruiting team and takes care of all the hiring decisions, processes or strategies.
  • Selective RPO model: In this model, only specific components of your internal recruitment process will be effectively taken care of by the RPO provider say just sourcing, screening or candidate management.

What do RPO services include?

Under recruitment process outsourcing, the scope of services can vary according to the needs of your company and as per the RPO model that you choose to go with. Some of the services can include:

  • Workforce Planning
  • Strategic Sourcing
  • Pre-employment Screening
  • Talent Engagement
  • Candidate Management
  • Recruitment Analytics Support
  • Compliance
  • Risk Management