Are you planning to expand your workforce owing to significant demand?
At some point in your journey of scaling a business, you may come to a point where you’ve to decide between hiring in-house or outsourcing the process. Finding and retaining top talent is extremely important for the long-term sustainability of any company. We have witnessed the case during the COVID outbreak that brought uncomfortable changes in the economy and job market.
However, the pandemic necessitated businesses to uncover new ways of recruiting a workforce where job applicants altered their recruitment expectations. Although various companies still opted for in-house recruitment in 2021, furthermore, they started embracing a new method- RPO.
Be it in-house recruitment or hiring RPO, each option offers a unique set of advantages and the most strategic decision depends on the requirement and situation of your organization.
Let’s throw some light on the pros and cons for a better understanding and quick decision-making:
What is in-house recruitment?
In-house recruitment refers to hiring a full-time employee who will recruit candidates exclusively for your company to take care of your talent acquisition needs.
Pros of in-house recruitment
1. Recruiters you can control and trust
In-house recruiters work dedicatedly for your company. They let you customize various processes within your hiring model as and when needed. Moreover, in-house recruiters are well-versed in the company culture, workplace standards, and how they run your recruitment campaign.
2. Better communication
You don’t need proper timing to communicate with in-house recruitment. You can discuss with them at any time and are in a better position to collaborate and communicate with other departments. This becomes quite easy when you strategize to come up with a new recruitment strategy.
3. Your very own talent pool
Yes, you’ve your own talent pool. Those who didn’t make the cut in one campaign can still work with you in other vacancies. Also, your company solely conducts the recruitment and selection process so you can maintain a detailed database of shortlisted candidates. You can leverage that to develop long-term recruitment plans for your company and in case of immediate hiring.
Cons of in-house recruitment
1. Too expensive
The cost, effort, and time involved in acquiring and maintaining the candidates for the organization become quite a challenging and costly affair. You will have to spend a lot of bucks on training and arranging for tools like computers, office supplies, desks, and software purchases.
2. Unclarity in job roles
In-house employees have unclear job roles. And, due to that, they may not dedicatedly perform their main role. Another scenario is, having one or more full-time recruiters doesn’t make sense when you’re hitting your milestone. But, in case of downtime, you may end up laying off those employees.
3. Lack of technology and expertise
In-house recruiters may not have anything new to bring to the table. But, when you work with an external party, you get a second opinion and relevant expertise. They stay abreast with the latest technologies and can significantly bolster your existing knowledge assets to the next best level.
What is recruitment process outsourcing (RPO)?
Recruitment processing outsourcing (RPO) refers to outsourcing or transferring your recruitment process to an external party who is specialized in this service. The RPO provider may take responsibility for negotiating the offers, workforce planning, and onboarding the new employees as per the contract made.
Pros of Recruitment Process Outsourcing
1. Decisions are based on actionable data and insights
RPO staffing firms rely on actionable data and insights when making any hiring or recruitment decisions instead of gut instincts. They provide real-time analytics and metrics including no. of candidates hired, data on applications processed, and time to fill. You can expect data insights on every stage of the process for concrete decision-making.
2. Done in no time
With an experienced recruitment outsourcing company, you don’t have to spend much time managing your recruiters. Reputable firms like Relig Global have meticulous and robust processes and the latest technology support to minimize time-to-hire and deliver top-notch results.
3. Won’t break the bank
When you outsource your recruitment processes to a professional RPO firm, you don’t have to break the bank during a hiring surge or recruitment downtime. They temporarily bring more people into the campaign and that doesn’t disturb your business even during inflation or recession.
4. Work with champions
Contracting with an RPO Company in New York gives you an opportunity to work with the champions. Most of their team members must have earned specialized certifications and degrees in recruitment processing.
Importantly, they have broader networks and worked with different industry verticals over time. Being a well-informed firm, Relig Global employs the latest recruitment technology and is always ready to confront any complexities during the contracting period of a campaign.
Cons of recruitment process outsourcing
1. Less control
RPO works with various clients at one point in time. So, you may have to vie for their attention. Also, you may have to give up control over a huge part of the recruitment process. This could be discomforting but, you should trust the process.
When figuring out the better option for your recruitment solutions, ensure there’s an element of technological advancement that can scale up your business. However, everything boils down to your affordability and business needs. Although companies should look for work with RPO firms because of their professionalism and deployment of the latest software and system.