What is Recruitment Process Outsourcing (RPO)?
Recruitment Process Outsourcing (RPO) is a business model where all or part of the recruitment processes are managed by an external service provider. A company enters into an agreement with an RPO service provider to effectively manage and optimize their recruitment processes.
The primary objective of RPO is to make the company’s recruitment processes more efficient and improve hiring outcomes. However, the RPO service provider either takes over the role of the client company’s internal recruitment department or works in collaboration with them.
RPO services typically encompass the following areas:
- Job Posting and Advertising: Involves creating job postings, publishing them on relevant job boards, and managing candidate applications.
- Candidate Sourcing and Localization: Utilizing various sources to find potential candidates. This can include CV databases, job search websites, social media, professional networks, and other channels.
- Candidate Assessment and Screening: Involves screening and evaluating candidates through methods such as resume reviews, skills assessments, telephone interviews, or video interviews.
- Interview and Selection Process: Conducting interviews with candidates, performing reference checks, and managing the final selection process. The RPO service provider works in collaboration with the client company at specific stages or throughout the entire recruitment process.
- Recruitment Reporting and Analysis: Involves collecting, reporting, and analyzing data related to the recruitment process. This includes tracking metrics such as recruitment performance, candidate flow, time-to-fill, and cost analysis.
RPO provides companies with the opportunity to effectively manage their recruitment processes, reduce costs, accelerate talent acquisition, and improve the quality of hiring. It also frees up internal resources, allowing companies to focus on other strategic areas.