First things first, at SocialTalent we’re all about investing in talent. We love making good people great. We’ve helped businesses all over the world train the recruitment teams that make the world’s most successful companies succeed. Tesla? Yep, we help them! Oracle, sure thing! Intel, you can bet there are some talented sourcing Ninjas in there! We take a look at why we think investing in your team is better than outsourcing
Recruitment Process Outsourcing (RPO) is a highly implemented approach corporations use to lower the costs of finding great and talented people around the globe. Most of the time, it works like a charm, providing successful results through improved performance, but sometimes, this process fails to deliver, and projects get closed too fast.
So what causes RPO to malfunction? Well, the problem begins with several mistakes commonly made during the opening stage.
1. Unforeseen Costs
The number one reason why this procedure fails is due to the unforeseen costs of labour. In some cases, businesses might discover that the HR metrics used for recruiting cost more than originally planned. From there on, the issues from both sides regarding the delivery of service rise, since the deals have fallen short.
However, this situation can be blamed on companies. With too much focus on reducing costs, they tend to forget to look at the bigger picture. If choosing only the cheapest candidates, organizations lose out on quality, whereas selecting the best vendor for the opening position pays off in expertise and ensured profit in the long run.
2. Lack of Communication
Frequently, the company’s goals and the job description are not well-defined. But, if the vendor doesn’t have a clear image of what is expected of him, the chances are that the work will not be compiled according to the client’s intentions.
Although the work is outsourced, that doesn’t mean that the cooperation ends there. Recruitment Process Outsourcing requires regular employee-superior communication in real-time, as the vendor should be treated as a valuable part of a team.
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3. Bad Management
The lack of communication leads to a problem overload. Employees who are working closely in the office quickly develop a professional interaction. On the other hand, remote workers are not obliged to regularly come in-house.
This has a strong effect on the workforce because it affects the existing corporate culture. To deal with this problem, companies need to ensure effective governance relationships with their RPO service provider.
4. Productivity Impairment
It is already familiar that businesses lose focus on current tech and employee engagement trends. While some of the most proactive outsource solutions suggest looking for fresh individuals to boost motivation and offer some clever ideas, the companies impair productivity with high turnovers.
Another recurring issue, especially for outsourced IT departments, is allowing the risks of a total network system crash. People experience a significant loss in productivity mainly to lower customer service and poor technology.
5. Sudden Growth
It’s easy to believe the business has achieved what was previously intended when noticing rapid growth. Nonetheless, every company experiences seasonal spices, but it doesn’t necessarily mean the organization has fulfilled the main goal.
First of all, a measure must be implemented to track the completion. Otherwise, these successful periods could represent a problem by making in-house recruiting challenging, as the sudden increase can make it difficult for a business to meet the recruiting requirements, so they outsource this instead.
During these crises, organizations tend to concentrate more on the process and lose perspective when hiring. This is when the second biggest mistake occurs, as companies create a gap between the only two people who matter – a hiring manager and the most talented candidate.
RPO is the most effective technique successful companies use to gain profit while cutting costs. Still, for a business to flourish, the plan must be well-developed and concise. Saving on quality directly affects productivity and a good corporate culture. So, mistakes should be avoided by all, by respecting and working tightly on the project with a new service provider.
If you feel like you have an amazing in-house team already and want to invest in them try the SocialTalent platform and watch your team develop sourcing superpow.
Catherine Park is a professional Content Writer. She is an expert in writing exclusive content on business and technologies that are helpful for large enterprises, SMEs and business startups. Follow her on Twitter & Facebook for upcoming articles!