How To Outsource Recruitment Services

Recruiting the right person is a tedious task. As a businessperson, you want to focus on doing what you should be doing — grow your business. For this reason, you need to learn how to outsource recruitment and free some of your time to being IN the business rather than ON it.

Recruitment helps you find the right candidate to fill vacant positions in your company. Maybe you have a new client or project that requires manpower. The first thing that will come to your mind is fill it up with one of your current employees. The problem is that they may become overwhelmed and may no longer become effective in their core task.

Another reason why you may need to hire new people is because you relocated and need re-staffing. You may already be tied up with running your business and may not be able to fulfill the requirement without outside help.

Outsourcing recruitment can help you find the right people to fill up your vacancies and focus on the core activities of your business. If you are just getting started with outsourcing to a provider, this article will guide you on how to effectively and successfully implement outsourcing.

This article will cover the following:

  1. Signs You Need To Outsource Recruitment
  2. Advantages and Disadvantages of Outsourcing
  3. In-House Recruitment vs Outsourcing: Which is Better?
  4. Steps in Outsourced Recruitment

Signs You Need To Outsource Recruitment

Making the decision to consider recruitment outsourcing isn’t an easy one. There are certain factors you need to consider before partnering with a provider. But when is it time to hire a third-party provider for hiring people for your team?

1. Little or No Recruiting Strategy

Your recruitment partner has knowledge of industry best practices and knows how to optimize the speed of your current talent acquisition by identifying and streamlining any gaps in the process.

2. Recruiters are bogged down

3. Need A Cost-Effective Scalable Recruiting Solution

4. Lack of Recruiting Metrics

5. New Recruiting Industry And/Or Geography

Advantages and Disadvantages of Outsourcing Recruitment

Reduce Overall Costs

Another cost that needs to be considered is the cost per hire. By outsourcing recruitment, both the cost-per-hire and time-to-hire is greatly reduced. This is because the provider will use dedicated resources, share the risk, and streamline the process.

Increased Recruiting Effectiveness

With recruitment outsourcing, the provider has the ability to reach out to additional candidates, engage even with passive candidates and bring more effectiveness in the recruiting process.

Focus on Core Business

With outsourcing, there will be no interference to main corporate actions. It allows employers to pursue their best talents without distracting their current business operations.

High Turnover Ratio

87% of employers said that improving retention is their top priority. High turnover can put a strain on company resources. Once this happens, outsourcing is a faster and affordable way to break employee turnover.

Improved Growth and Competitive Advantage

If you are just a small business and don’t have similar expertise resources of your larger competitor, outsourcing will provide highly qualified candidates to build your company with key employees and even sustain it with additional resources.

Improved Hiring Manager Satisfaction

Superior Employment Brand

If your hiring managers are happy and working in a stable way with the outsourcing agency with a healthy recruitment process, the individuals who have gone through the process can only say better things about your company.

Disadvantages of Outsourcing Recruitment

Deficiencies in Company Knowledge

Information Leak

Dependency and Loss of Control

If you are considering recruitment outsourcing, you may opt for a short-term contract or one without excessive penalties for canceling or changing providers if things don’t work out.

Impact on Employee Morale

In-House Recruitment vs Outsourcing: Which Is Better?

Scope of responsibilities

With in-house recruitment, your team will have an edge over knowing your company culture, industry fit, and specific hiring needs. Your recruitment team works in different areas of responsibility such as workforce planning and development, employee and labor relations, risk management, employee engagement, and recruitment.

Outsourcing

With outsourced recruitment, the provider can be flexible with managing responsibilities. They can guide you on effective workforce planning, employer branding, training and development, building long-term talent pools, and others.

If your in-house team is already loaded with other HR responsibilities, they may not be able to handle recruitment tasks. In addition, recruitment may take away their valuable time from their other HR responsibilities. If you are just a small business, outsourcing recruitment may be your best option.

Cost Savings

Hiring in-house employees comes with a price. You have to deal with financial challenges like fixed HR expenses and intangible costs. In addition, you also have to pay them benefits, provide training, and other overhead costs.

Outsourcing

Recruitment outsourcing reduces your costs significantly. Also, you don’t have to pay monthly fees on the recruitment platforms and tools. The provider will cover all the associated hiring costs while controlling recruitment spend.

Again, if you are managing a small business, you will have to cover all the expenses. In this case, outsourcing may be your best option.

Scalability

Hiring in-house could come in handy when business is booming. But what if you realize that you need to downgrade after a few months? Your company could be left with dents in finances and a surplus of resources. Scaling your business at a short notice can be challenging for an in-house recruitment team.

Outsourcing

With outsourcing, you can expand the size of your team at an affordable rate. You can focus on more important business while ramping up your team.

Outsourcing to a provider offers a more scalable approach for small businesses against having your own internal recruit team. If you’re planning to scale your business, outsourcing is the best option.

Degree of Control

When you have an internal recruiting team, you have full control of your team because they are focusing on your small business. You can easily delegate tasks and set priorities and workplace practices they can follow.

Outsourcing

When you outsource, the provider may have other clients and you may end up fighting for their time. In the end, you may end up working with maintenance people whose only job is to keep the lights on.

In this area, you can work hand-in-hand with the provider. You can focus on strategic initiatives and internal affairs. The provider, on the other hand, can focus on hiring qualified candidates and the entire hiring process.

Expertise

Surely, you wouldn’t hire an internal recruitment team that isn’t an expert in your field. However, some may not have experience in certain areas such as managing all the elements of recruitment, which is necessary to give your business a competitive edge.

Outsourcing

An outsourced provider will utilize technologies that provide audit trails, comprehensive management information, better analysis, forecasting, and reporting for strategic headhunting.

Outsourcing providers have broader knowledge and spend more time in the job market looking for the right talent for their clients. They have an idea on what the perfect candidate looks like.

Steps In Ensuring Recruitment Outsourcing Success

Choose The Services Carefully

Transition Tasks Gradually

Make Outsourcing An Ongoing Effort

airisX provides business services: from onshore, nearshore, and offshore services to contract manufacturing to warehousing and fulfillment.

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