How a digital-first RPO partner can elevate your hiring outcome
RPO & Remote work – made for each other?
August 30, 2023
How a recruitment partner can strengthen your Diversity & Inclusion strategy
August 30, 2023
The global Recruitment Process Outsourcing (RPO) market size in 2022 was $8.38 Billion, and is expected to reach $36.07 Billion in 2032, according to Reports and Data. The report mentions demand for affordable and effective hiring processes as one of the top factors driving this. In India too, the demand for RPO is on the rise, spurred by the talent gaps generated by rapid growth in many sectors. A key factor driving this RPO industry growth is the rising technology adoption by RPO providers, enhancing hiring efficiency and effectiveness.
If you go by a recent report from the RPO Association, there is more as to why RPO is in demand. It states 80% of organisations felt their RPO partner helped them understand the impact of hiring on business outcomes.
Some techniques RPO providers employ to achieve this are:
- Using tools to gain in-depth knowledge of potential candidates
- Writing engaging job descriptions that eliminate biases
- Identifying and tracking key metrics
- Staying on top of industry trends
Let's now take a look at the role of technology in hiring.
A recent McKinsey report titled, HR rewired: An end-to-end approach to attracting and retaining top tech talent, proposes the use of digital tools by HR leaders across all hiring stages for:
- Identifying suitable sourcing avenues
- Using psychometrics, gamification, etc., in assessments to accelerate the process
- Leveraging insights gathered during interviews to personalise employee training
How do such strategies impact hiring? A Gartner article on HR’s role in digitisation mentions that use of technology led to a whopping 75% reduction in ‘regretted’ hiring decisions.
RPO and digitisation are a potent combination perfectly complementing each other. Organisations gain many benefits, such as cost and time-effectiveness, compliance, enhanced candidate experiences, and diversity goals through digital-first RPO.
The writing on the board is: A digital-first RPO partner helps achieve better outcomes.
Let's glance at these outcomes to appreciate them better.
Quantifiable savings (time and money)
Intelligent use of technology by the RPO providers helps organisations save time and money in quantifiable terms. Some examples of these across various hiring stages are:
- Programmatic ads to target and source more suitable candidates
- Automated screening to filter candidates efficiently
- Vetted talent pools and video interviews to accelerate the process
- Customised reports and analytics to make informed hiring decisions
The McKinsey article quoted above showcases a digital hiring case study on how a company realised over $1 million in annual cost savings and a 90% reduction in time to hire. Another revolutionary innovation is the use of digital wallets in hiring. These wallets contain pre-verified credentials of candidates, saving time and effort. It also enhances the credibility of hire, with assured data privacy and security.
Becoming truly inclusive
D&I (Diversity and Inclusivity) is a key hiring goal that most industry leaders focus on today. Many studies have established that D&I positively impacts productivity, innovation, and profitability. A statistic from a recent RPO Association report confirms the role of digital-first RPOs in helping organisations achieve their D&I goals. It says over 50% of organisations who avail diversity recruitment support have partnered with an RPO for two years or less. The McKinsey case study mentions a 16% increase in the number of women in the talent pipeline as an outcome of investing in hiring technology.
Reduced drop-off rates
Effective employer branding through a compelling Employee Value Proposition (EVP) is a must to attract great talent. To convey the EVP effectively in your hiring process, you need a credible digital-first RPO partner like Careernet. Such partnerships help reduce bias through data driven decision-making in RPO. You can also be assured of enhanced candidate experiences as digitised tools like chatbots ensure constant engagement. RPO partners can also help decide the industry-benchmark compensation and ensure brand recall. Collectively, these help reduce drop-off rates of quality candidates.
Improved retention
When you hire right through digital-first RPO partners, the quality of hire and fitment enhances greatly owing to their streamlined processes and expertise. Such candidates are less likely to quit as they undergo a 360-degree vetting. These days internal mobility is a must and it needs focussed strategies. If you have a strong RPO partner handling recruitment, you can have greater focus on internal mobility to ensure employee retention.
There is no better way than tying up with a digital-first RPO partner like Careernet to elevate your hiring outcomes. Whether improving the quality of hire, achieving cost and time savings, hitting diversity goals or more, digital-first RPO paves the way.
References:
