An RPO can solve many typical hiring problems:
Hiring Volume: This solution is designed to handle high volume recruiting and staffing. A contingency recruiter may take weeks or even months to fill a mid-level role. This service offering caters to the company that needs to fill 10-50 positions in a short amount of time.
Sourcing / Candidate Supply: An RPO team will have access to all of the sources available to a recruiting/staffing firm, but the difference is that they dedicate a team specifically to your company, from 1 to as many as 10 people, 40 hours a week. Regular contingency recruiters might have 100 openings at 100 different companies to work on, and nothing motivates them to work on yours.
High Recruitment Costs: Recruitment is a significant cost to HR, billing in at typically 20%-30% of each first-year salary. If you have to hire 20 people with an average of $75k salary, it’s nearly half a million dollars if you intend to pay a fee to a contingency or retained firm. An RPO works as a seamless extension of your company, billing you hourly for each recruiter. Instead of working on other company positions, you get dedicated workers full time at a fraction of the cost.
Prolonged Hiring Process: The process from opening a job until it is filled can take up to a year to complete on average. By using an RPO, this time can be cut to less than 3 months. The team will ensure that all candidates meet the hiring requirements by going through extensive interviews and skills tests.
Pitfalls of Going In-House: Some companies, worried about the high cost of a retained or contingency search firm, hire a Talent Acquisition Manager or team in-house. However, those team members need training, onboarding, and ramp-up periods. They require benefits, cost money in payroll, and bring a litany of risks inherent with W2 employees. An RPO hits the ground running, already trained on your requirements, doesn’t cost more money, and can be scaled back vs. up as necessary, without the hassle of recruiting, onboarding, hiring, and firing.