Ethical AI in Talent Acquisition
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By AMS

In today’s uncertain economy, HR professionals are facing a tougher-than-ever talent market. As hiring fluctuates, businesses are necessarily downsizing their talent acquisition teams, only to be met with a sudden need to rapidly assemble a larger talent function. What’s more, a global talent shortage is making the right candidates harder to find.

Now more than ever, organizations need to do more with less. They need a more strategic, more holistic, and more innovative approach to recruiting and retaining talent. They also must be agile in their own teams – ready to scale up or down when the market demands it.

Thankfully, this is not a challenge that organizations need to tackle alone. A recruitment process outsourcing (RPO) partner can help to supercharge your talent acquisition processes and optimize your hiring power in an increasingly competitive market.

But exactly how does the recruitment process outsourcing work? What is the difference between RPO and in house recruitment? What about the different types of RPO models, best practices in RPO, and the benefits of working with an RPO partner?

This guide to RPO covers all this and more.

What is Recruitment Process Outsourcing?

What is Recruitment Process Outsourcing?

Recruitment Process Outsourcing (RPO) is a form of outsourcing in which an employer transfers part or all or part of its recruitment processes to a third-party provider. To complement your RPO strategy with Managed Service Provider (MSP) solutions, explore our options.

  • RPO services provides assistance with:
  • Advertising roles
  • Resume screening
  • Candidate sourcing
  • Candidate interview
  • Candidate hiring

An RPO partner may be responsible for managing your applicant tracking system, coordinating with the hiring manager, and ensuring legal compliance. They may support all or just a few of the above areas, depending on your needs. In most cases, they will manage all pathways to talent.

In recent years, RPO has evolved beyond simply supporting foundational hiring processes. Today, many RPO providers have more holistic expertise that ranges from Talent Acquisition advisory, to employer branding, and diversity, equity and inclusion (DEI).

How does Recruitment Process Outsourcing work?

How does Recruitment Process Outsourcing work?

RPO providers act as an extension of a business's HR team to become an integral part of your talent acquisition function. With the right RPO partner neither your team nor your candidates will feel as if your recruitment is outsourced. Instead, it will feel like your team's expertise has grown, and the RPO provider will become embedded in your organization. This is a requirement as an RPO partner will need deep knowledge of your culture and will aim to build real relationships to understand the pain points and opportunities in your recruitment process.

What is the difference between RPO and in-house recruitment?

The difference between RPO and in-house recruitment is that an RPO partner is an external vendor who is embedded within your organization. An RPO partner will be immersed in your business and collaborate closely with your HR and talent acquisition team.

What are the key performance indicators of RPO?

RPO providers use key performance indicators (KPIs) to measure their performance. Some of the most most commonly used KPIs for RPO are:

  • Improved candidate quality
  • Improved time to hire
  • Reduced costs
  • Candidate and hiring manager satisfaction rates

An RPO partner’s goal is not simply to fill headcount. Armed with an in-depth understanding of your business and unmatched expertise in the talent market, they will work rigorously to secure the very best people for it – whether that’s filling current vacancies or building your future talent pipeline – as efficiently and cost-effectively as possible.

What are the different types of RPO models?

What are the different types of RPO models?

When it comes to the simple question, ‘how does RPO work?’, there is no one-size-fits-all answer. While there are three main RPO models, all can be tailored to meet your unique needs. An RPO provider will work alongside you to determine which model best suits your organization.Here is an overview of the different models you may encounter. For a more detailed review, check out this article: What are the different types of Recruitment Process Outsourcing (RPO) models?

RPO Model Duration Description
Enterprise RPO Over two years Long-term partner handling all recruitment, ideal for ongoing, high-volume hiring needs. Enterprise RPO manages the recruitment lifecycle.
On-demand RPO (or Project RPO) Six months to two years Agile solution for short-term recruitment projects. It provides flexibility to adapt to changing business demands and bridges talent gaps.
Hybrid RPO Custom Tailored mix of Enterprise and On-demand RPO, adapting to different needs across the business for varied support where needed.

Benefits of Recruitment Process Outsourcing

Benefits of Recruitment Process Outsourcing

Working with an RPO partner means harnessing decades of market expertise across a wide range of global industries and recruitment campaigns. Whether you are hiring for a team of thousands or just a few, if you are seeking permanent or contingent, hourly or executive talent, your RPO partner has seen it all.

Rather than replacing your TA team, partnering with a trusted RPO provider will future-proof and supercharge your existing in-house capabilities. If you need support in just one or all the below areas, outsourcing your recruitment process offers a range of benefits:

  • Increase agility
  • Reduce costs
  • Access the best and widest talent pool
  • Discover more diverse talent
  • Improve your employer brand
  • Build the right tech stack
  • Craft the best candidate experience
  • Reduce time to hire

Increase agility

To mitigate the uncertainty caused by a fluctuating talent landscape, RPO partners are masters of scalability. They can support HR departments in managing these peaks and troughs – moments of high growth or a hiring surge, followed by periods of employee reduction – at speed.

Crucially, an RPO partner will also take on internal hiring risks, allowing businesses to scale their own TA capabilities as the market demands. This helps avoid any rapid decreases or increases in team headcount, which can be a hit to brand reputation.

Working closely with an RPO expert, you can always be ready for what’s next.

Reduce costs

The built-in agility afforded by an RPO partner allows businesses to scale cost up and down in line with demand, as well as your TA function. As a result, organizations typically find that they make significant savings with recruitment outsourcing, especially against the use of a staffing agency, due to improved processes, economies of scale, and the ability to leverage lower-cost recruiting channels and technology.

Access the best and widest talent pool

RPO providers have access to an expanded talent pool. Their extensive network of expert recruiters can quickly source, engage, and hire the right people for the right roles.

An RPO partner will also help organizations tap into hidden talent streams. These include existing internal networks – nurturing and upskilling talent already inside the organization. They will also have data-led insights on different industries that are ripe with skills-adjacent talent, which your TA team may not have considered before.

Rethinking internal mobility and bringing in more strategic, skills-based hiring practices has huge advantages in terms of loyalty and recruitment cost, leading to increased productivity and reduced turnover. An RPO provider will be a close advisor in the journey towards a more skills-focused talent function.

Discover more diverse talent

Many RPO providers have in-depth expertise in DEI. They help businesses find talent by proactively considering underrepresented groups and overlooked audiences.

A close RPO partner can review your current attraction strategies and routes to market against in-depth market data to pinpoint exactly where this diverse talent is. What’s more, they have access to sourcing channels that are specifically aimed at minority groups.

With a partner that is truly experienced in DEI, inclusive recruitment becomes standard for your business. RPO providers can also help to implement any changes made to your DEI strategy, and ensure they are long-lasting with real impact.

Improve your employer brand

Having a strong, well-defined employee value proposition (EVP) has been linked to everything from decreased attrition to better productivity and bottom-line impact.  But in a tough talent market where candidates are examining organizations with even greater scrutiny, standing out has never been more critical.

Many RPO providers can improve employer brand as part of their expert service. An RPO partner knows how to develop an authentic and compelling EVP. Fully immersing themselves in an organization’s brand, they can communicate your story in a way that is compelling and resonates with candidates.

Build the right tech stack

With thousands of different talent technology solutions available, it can be difficult to identify which are right for your business.

A qualified RPO partner will identify the best technology stack for your business goals, whether that's streamlining candidate processing, or insight-led sourcing. RPO providers regularly trial, rate and rank new solutions on behalf of their clients, giving them deep insight into the talent tech landscape. They can also train TA teams on using the resources if businesses decide to embed them in house.

Craft the best candidate experience

The experienced recruiters that come with working alongside an RPO partner will expertly navigate candidates through every stage of the hiring process. While accessing powerful talent technology is important, RPO partners understand that technology alone will not help you hire better – optimizing how people use it will.

With the right mix of tech and touch, RPO services allow you to find candidates quickly and efficiently, without missing out on the real, human connection that attracts them to your business. Many RPO partners have expert teams dedicated to candidate experience advisory services.

Reduce time to hire

A wider and more diverse talent pool. A streamlined, tech-focused strategy. Data-led market insights. Up-to-the-minute sourcing methods. Expert employer brand advisory teams.

All of the above means that organizations partnering with RPO experts typically find that time to hire comes down. Working with a close partner on these key business elements allows you to find the right candidates faster and move them into roles with ease.

Why hire an RPO?

Why hire an RPO?

A recruitment process outsourcing (RPO) partner is a cost-effective, scalable solution to recruiting, hiring and onboarding talent. An RPO partnership is one that can act as an extension of your HR team to enhance your team's agility and responsiveness to market conditions.

If you are unsure whether you should partner with an RPO provider, it’s helpful to ask the following questions:

  • Do you find your hiring constantly fluctuating with business demand?
  • Do you have hard-to-fill roles?
  • Is time to hire and cost to hire going up?
  • Do you receive complaints from hiring managers about candidate quality?
  • Do you have a retention challenge?
  • Are you looking for data and insights to inform your hiring process?
  • Do you want to take a more data-driven approach to your hiring?
  • Are you struggling to meet your DEI targets?
  • Do you struggle to keep up with the fast-moving talent technology landscape?
  • Are you looking to build a more effective and agile talent acquisition team?

If the answer to any of the above is ‘yes’, an RPO partner can be an invaluable addition to your talent team. Discover how to build a business case for RPO in your organization today.

For more information on RPO, or for dedicated support from an outsourcing partner you can trust, contact us today.

Frequently Asked Questions About Recruitment Process Outsourcing

How is RPO different from recruiting?

Traditional recruitment is managed by the company's HR team, while Recruitment Process Outsourcing (RPO) involves working with a third party partner who becomes an extension of your team. An RPO partner will handle everything a typical HR team would handle, from sourcing candidates to onboarding.

What is the difference between recruitment process outsourcing and staffing?

Recruitment Process Outsourcing (RPO) involves outsourcing the entire recruitment process to a third party as a long term partner. By contrast, staffing agencies help with the recruitment of temporary or permanent employees on an as-needed basis without becoming part of your internal team. RPO partners work more like traditional HR teams by helping with the entire recruitment process from start to finish.

What is the difference between RPO and HRO?

RPO (Recruitment Process Outsourcing) involves outsourcing part or all of the recruitment process to an external provider. HRO (Human Resources Outsourcing) covers a broader range of HR functions, including payroll, benefits administration, and employee relations.

What is the difference between a contract recruiter and an RPO?

A contract recruiter is hired temporarily to help with immediate, short-term recruiting needs and may work independently or within your team. An RPO provider is an external partner that will take over the entire recruitment process, offering an approach that helps your team from the recruiting stage to onboarding new employees.

What are the different types of RPO models?

There are three main RPO models: Enterprise RPO, On-demand RPO, and Hybrid RPO. Enterprise RPO manages all recruitment needs on a long-term basis, On-demand RPO supports short-term projects, and Hybrid RPO combines both to offer tailored support as required. Learn more about each model in this article: What are the different types of Recruitment Process Outsourcing (RPO) models?

What is the difference between MSP and RPO recruiting?

MSP (Managed Service Provider) manages the contingent workforce, including temporary staffing and vendor management. RPO (Recruitment Process Outsourcing) handles the recruitment process for permanent positions, providing end-to-end hiring solutions.

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By AMS

Working with a Recruitment Process Outsourcing (RPO) partner means harnessing decades of market expertise across a wide range of global industries and recruitment campaigns. Whether you are hiring for a team of thousands or just a few, if you are seeking permanent or contingent, hourly or executive talent, your RPO partner has seen it all.

Rather than replacing your talent acquisition team, partnering with a trusted RPO provider will future-proof and supercharge your existing in-house capabilities. If you need support, you should consider the benefits of RPO such as:

  • Increase agility
  • Reduce costs
  • Access the best and widest talent pool
  • Discover more diverse talent
  • Improve your employer brand
  • Build the right tech stack
  • Craft the best candidate experience
  • Reduce time to hire

RPO can increase your agility

To mitigate the uncertainly caused by a fluctuating talent landscape, RPO partners are masters of scalability. They can support HR departments in managing these peaks and troughs – moments of high growth or a hiring surge, followed by periods of employee reduction – at speed.

Crucially, an RPO partner will also take on internal hiring risks, allowing businesses to scale their own talent acquisition capabilities as the market demands. This helps avoid any rapid decreases or increases in team headcount, which can be a hit to brand reputation.

One of the top reasons to work with an RPO expert is that you will always be ready for what is next.

Reduce costs with an RPO strategy

The built-in agility afforded by an RPO partner allows businesses to scale costs up and down in line with demand, as well as your talent acquisition function. As a result, organizations typically find that they make significant savings with recruitment outsourcing, especially against the use of a staffing agency, due to improved processes, economies of scale, and the ability to leverage lower-cost recruiting channels and technology.

Reducing costs is one of the most common reasons for working with an RPO company.

RPO companies provide access the best and widest talent pool

RPO providers have access to an expanded talent pool. Their extensive network of expert recruiters can quickly source, engage, and hire the right people for the right roles.

An RPO partner will also help organizations tap into hidden talent streams. These include existing internal networks – nurturing and upskilling talent already inside the organization. They will also have data-led insights on different industries that are ripe with skills-adjacent talent, which your talent acquisition team may not have considered before.

Rethinking internal mobility and bringing in more strategic, skills-based hiring practices has huge advantages in terms of loyalty and recruitment cost, leading to increased productivity and reduced turnover. An RPO provider will be a close advisor in the journey towards a more skills-focussed talent function.

Discover more diverse talent

Many RPO providers have in-depth expertise in Diversity, Equity, and Inclusion (DEI). They help businesses find talent by proactively considering underrepresented groups and overlooked audiences.

A close RPO partner can review your current attraction strategies and routes to market against in-depth market data to pinpoint exactly where this diverse talent is. What’s more, they have access to sourcing channels that are specifically aimed at minority groups.

With a partner that is truly experienced in DEI, inclusive recruitment becomes standard for your business. RPO providers can also help to implement any changes made to your DEI strategy, and ensure they are long-lasting with real impact.

Improve your employer brand

Having a strong, well-defined employee value proposition (EVP) has been linked to everything from decreased attrition to better productivity and bottom-line impact. But in a tough talent market where candidates are examining organizations with even greater scrutiny, standing out has never been more critical.

Many RPO providers can improve employer brand as part of their expert service. An RPO partner knows how to develop an authentic and compelling EVP. Fully immersing themselves in an organization’s brand, they can communicate your story in a way that is compelling and resonates with candidates.

An RPO partner like AMS becomes an extension of your team, and can help you improve your brand.

Build the right tech stack with an RPO partner

With thousands of different talent technology solutions available, it can be difficult to identify which are right for your business.

A qualified RPO partner will identify the best technology stack for your business goals, whether that's streamlining candidate processing, or insight-led sourcing. RPO providers regularly trial, rate and rank new solutions on behalf of their clients, giving them deep insight into the talent tech landscape. They can also train talent acquisition teams on using the resources if businesses decide to embed them in house.

RPO companies know how to craft the best candidate experience

The experienced recruiters that come with working alongside an RPO partner will expertly navigate candidates through every stage of the hiring process. While accessing powerful talent technology is important, RPO partners understand that technology alone will not help you hire better – optimizing how people use it will.

With the right mix of tech and touch, RPO services allow you to find candidates quickly and efficiently, without missing out on the real, human connection that attracts them to your business. Many RPO partners have expert teams dedicated to candidate experience advisory services.

Reduce time to hire with an RPO partner

A wider and more diverse talent pool. A streamlined, tech-focussed strategy. Data-led market insights. Up-to-the-minute sourcing methods. Expert employer brand advisory teams.

All of the above means that organizations partnering with RPO experts typically find that time to hire comes down. Working with a close partner on these key business elements allows you to find the right candidates faster and move them into roles with ease.

Why do companies use RPO?

Working with an RPO partner is a cost-effective way to augment and enhance your recruiting process. The reason why many companies are now working with RPO partners is that they can get specialized expertise and access to a vast network of candidates at a fraction of the cost of traditional, in-house talent acquisition solutions.

RPO partners, however, are not meant to displace existing talent acquisition teams within your company. Partners like AMS seek to become an extension of your team, and add to your existing capabilities. This provides built-in agility and expertise that benefits your company through improved brand affinity and by ensuring an enjoyable candidate experience.

Is outsourcing recruitment with an RPO partner right for me?

If you are unsure whether you should partner with an RPO provider, it’s helpful to ask the following questions:

  • Do you find your hiring fluctuating constantly with business demand?
  • Do you have hard-to-fill roles?
  • Is time to hire and cost to hire going up?
  • Do you receive complaints from hiring managers about candidate quality?
  • Do you have a retention challenge?
  • Are you looking for data and insights to inform your hiring process?
  • Do you want to take a more data-driven approach to your hiring?
  • Are you struggling to meet your DEI targets?
  • Do you struggling to keep up with the fast-moving talent technology landscape?
  • Are you looking to build a more effective and agile talent acquisition team?

If the answer to any of the above is ‘yes’, an RPO partner can be an invaluable addition to your talent team. Discover how to build a business case for RPO in your organization today.

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By AMS

The greatest part of Early Careers and Campus hiring is building relationships with candidates – kickstarting the success stories for fresh, new talent. But as the competition for graduates heats up, the most successful campus hiring teams are taking the candidate experience to a whole new level.

Early Careers and Campus recruitment is an entirely different industry than it was a few years ago. While attracting the best young minds remains key to building a future-fit talent pipeline, students are now demanding higher salaries, and are more discerning about the roles and organizations they want to take on. With employers looking to hire at least 30% more graduates this year, competition is fierce and talent have more options to choose from. This means that, when it comes to candidate experience, there is zero room for error.

Your competitive edge? Creating meaningful, personalized experiences with the wow factor. But how?

Know your audience

To build a truly personal connection with candidates, you should understand what makes them tick. At a broad level it’s clear that Gen Z talent are deeply tapped into key social issues, such as diversity, equity, and inclusion (DEI), and climate change. 69% of millennials and Gen Z-ers reported to be more likely to work for an employer for over five years if their workforce was diverse. 76% of job seekers said they consider a diverse workforce an important factor when evaluating offers. And 26% of Gen Z-ers cite the environment as a top concern.

If you can demonstrate a deep knowledge of your company culture and policy when it comes to DEI and the environment– right down to the granular detail – it shows students that your values are aligned with theirs. Research from Deloitte shows that this is what 77% of Gen Zers are after.

“Students want to know about a company’s global sustainability policy, what they do to reduce their carbon footprint,” says Terina Matthews-Davis, Client Director, Innovation and Early Careers & Campus at AMS. “I’ve had students ask whether the coffee cups used in a breakroom are biodegradable, or if it had a composting area … These are all things that companies need to be thinking through as they’re recruiting their young talent.”

77% of Gen Zers want to work for an organization whose values align with their own
Deloitte

But while understanding the overall generation you are trying to engage is helpful, Matthews-Davis emphasises that, to achieve meaningful connections with candidates, the research can’t stop there.

To set yourself apart, you have to dig deeper on the specific groups and student organizations that match your company culture and make the effort to learn about them.

“It’s about finding out what’s important to that student population on that campus,” says Matthews-Davis. “Partner with a variety of student clubs and organizations... Let them be the ones who are pulling you in, as opposed to you pushing yourself in.”

 Form meaningful partnerships with students by making it clear why they are being invited to a particular event. Create an explicit connection between their community and your employer brand. “Students want to feel special,” says Matthews-Davis. “Tell them, ‘you were invited to our campus event because you’re part of one of the clubs or organizations that we value and are aligned with. That’s where the buy-in comes from.”

Make events something to remember

No one wants to be 1 of 200 people at a campus recruitment event anymore.

Today, it’s about crafting niche events and white glove experiences that your candidates will be desperate to attend. Armed with your in-depth knowledge of a student population, you can take advantage of this expertise and create events that will make you stand out from competitors.

When asked about ‘the best event they’ve ever attended’, graduates will always recall those that well and truly went the extra mile.

“It’s always the companies that took them somewhere they wouldn’t get to go on their own,” says Matthews-Davis. “During my time in New York, it was a company that hosted an event at the Met Gala. When I was at a major investment bank, 10 female students were invited to a private lunch on the office rooftop terrace with a female Managing Director.”

“Then, when I worked in Ohio, graduates were invited to dinner in a suite at the Ohio Stadium.  In Ohio, the football stadium is like a shrine. As a student, you’re usually lucky to get in the stands, much less a suite. For a company to host 20-30 select candidates in such a historical space, that was incredibly special and memorable.”

Exceptional events can have the biggest impact on candidate experience. Take the time to plan something your graduate pool will never forget.

“Give candidates options not only to engage with your organization, but also the city they’re going to be living and working in.”

Give them face time with your senior leaders

In the classroom environment, students rarely have the opportunity to interact with real people who work in the organizations they are being recruited into. One of the best ways to capture the attention of young talent is by giving them the chance to meet and be inspired by full-time professionals.

Students want a full mix. They need to interact with people who are doing the job they are interviewing for, as well as employees who started in those roles and then moved up the ladder. Graduates also want the opportunity to engage with their future managers and see what good looks like. Allow them to imagine their own professional future, with real rolemodels in mind.

“It’s about inviting them to those private, intimate meetings with business leaders,” says Matthews-Davis. “The best salesperson is someone who came directly from that student’s community. Who went to their university, who was also an intern, and who worked their way up to become a VP or senior VP. That’s a true story.”

Students are  eager to hear anything about the ins and outs of their future worklife from business leaders – the skills they use on a daily basis, the challenges they face, what their undergraduate studies taught them that they still use. “They’ll be hanging on every word.”

From a diversity, equity and inclusion (DEI) perspective, these meetings are also a perfect opportunity to ensure candidates from diverse backgrounds feel represented, and increase their sense of belonging in the workforce. “Use previous diverse interns [and full-time employees] to serve as ambassadors when engaging with new grads. Representation also matters” says Matthews-Davis.

“You can never give a student too many opportunities to engage with your organization.”

Mentor and coach them

Recruiters are in a unique position to guide and mentor young talent. Helping them make the transition from college to corporate life is an simple but effective way to enhance the candidate experience.

Offer them support on understanding the nuances of workplace behavior. Early careers candidates may not yet be up to speed with basic professional culture competencies, such as how to interact in a corporate environment, how to conduct themselves in a meeting, or how to write a professional email.

“Help them go from ‘backpack to briefcase,’” says Matthews-Davis. “Some graduates need to know the small things, like not saying ‘Hey’ to your boss in an email.”

Have a keep warm strategy

 If all of the above has resulted in an offer being accepted, that is a success worth celebrating. But recruiting doesn’t stop after a candidate accepts a position. You need a ‘keep warm’ strategy of consistent, meaningful communication to make sure they stay engaged.

The key to standing out? Don’t be predictable. There is no such thing as overcommunication in early careers hiring, but you should make every touchpoint with candidates special. Use your knowledge of what’s important to them and personalize every interaction to make graduates feel part of the company culture and community.

Students respond to a mix of communication through a variety of channels, whether it’s a survey about what they want from their new role, a newspaper article about the business or, better yet, a personalized gift. Matthews-Davis says tailored brand merchandice is one of the best ways for companies to set themselves apart when engaging today’s top talent.

“The more personalized you can make the experience, the better,” she says. “I once had a candidate who loved to hike, so we sent them a list of the best places to hike in the U.S. In certain sectors, like financial services, it’s a badge of honor to have a backpack, vest or socks branded with a company logo … It’s the little things. They want to be able to show people on the subway or on the street, ‘I work for this big bank,’ or ‘I work for this organization.”

However, when it comes to gifts, staying on top of current trends is key. Brands that were in high demand in 2020 may not be now. Don’t be afraid to directly ask students what they want, so you get it just right.

Personalized gifts are also another opportunity to prove how your values align with those of graduates. “Gifting reusable and high-end waterbottles to reduce plastic use is a great example of how companies can highlight their sustainability policy to students,” says Matthews-Davis. “Those things go really far with this generation.”

“The more personalized you can make the experience, the better.”

Harness the value of internships

One of the most powerful tools for early careers hiring is still internships. Becoming part of an organization at the intern level directly engages graduates in a company’s culture and ways of working. Interns feel very valued, because they’re seeing how their work will impact the business.

“As an employer, you have a summer to ‘try before you buy’. You can bring in 100 students for 50 roles if you want, as long as you share upfront the conversion opportunity.” says Matthews-Davis. “Although bear in mind, the higher the conversion opportunity from intern to full-time job, the more valuable the employer will be to the student population.   

For the interns that do convert into permanent positions, use your ‘keep warm’ strategy to maintain enagagement throughout their senior year when they’re back on campus. Support students to continue some of the work they were doing for the business during their internship. This keeps talent focussed on your company before their full-time role begins, so they’re less likely to seek out other opportunities in the meantime.

66% of interns convert into full-time employees
National Associate of Colleges and Employers

Avoid the common pitfalls

Of course, creating stand-out, specially tailored events and personalized ‘keep warm’ strategies won’t help you if you don’t get the basics right. Avoid these two pitfalls that graduate recruiters often fall into:

  • Being slow to respond. More than ever, moving candidates through the process at speed is crucial. Your response time between interview stages must be timely (two weeks or under).
  • Relying too heavily on tech. Candidates will expect you to have a social media presence on Twitter, Instagram and TikTok, and be responsive on these platforms. They will also expect that the bulk of their application process is completed online. But it’s easy to lean too heavily on tech. You must find a healthy balance between social platforms and traditional modes of interaction like personal emails and phone calls. Texting a contract may be a step too far.

In today’s competitive market, securing the best new talent is all about one thing: going the extra mile. A memorable, thoughtful and personalized candidate experience is your greatest strength.

If you need support with candidate experience for Early Careers and Campus talent, speak to one of our experts today.

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By AMS

When it comes to the simple question, ‘how does RPO work?’, there is no one-size-fits-all answer. There are three main recruitment process outsourcing (RPO) models, and each one can be tailored to meet your unique needs. The best option is to work with an RPO provider to work with your team to determine which model best suits your organization.

In this article, we're going to provide an in-depth overview of the three different types of RPO models and how they can help your organization.

How many types of RPO are there?

There are three types of recruitment process outsourcing models: Enterprise RPO, On-demand RPO, and Hybrid RPO. Each model has its own unique strengths and approach. For more details on how RPO recruitment process outsourcing works, visit our guide.

Here is a comparison table for each of the RPO models.

Comparison Table of RPO Models

Criteria Enterprise RPO On-demand RPO (Project RPO) Hybrid RPO
Definition Comprehensive outsourcing of all recruitment processes. Short-term or project-specific recruitment services. Combination of enterprise and on-demand RPO services.
Scope of Services End-to-end recruitment: strategy, sourcing, screening, onboarding, etc. Specific recruitment projects or bursts of hiring needs. Flexible mix of full-scale and project-based services.
Duration Long-term (often years) Short-term (often months) Varies (can be long-term with short-term elements)
Flexibility Adaptable to long-term needs Adaptable to immediate needs Highly flexible, adaptable to various needs
Cost Structure Typically higher, often fixed or subscription-based Variable, often based on project scope Variable, depends on the mix of services used
Implementation Time Longer setup time Quick setup and deployment Varies, generally quicker than full Enterprise RPO
Ideal Use Cases Large organizations needing ongoing recruitment Companies needing rapid hiring for specific projects Organizations needing both sustained and project-based recruitment
Client Size Medium to large enterprises Small to large, depending on project Small to large enterprises
Customization Highly customizable Customizable to specific project needs Customizable with both extensive and project-specific options
Technology Integration High integration with client systems Can use client or provider’s systems Integrated with client systems, adaptable to project needs
Talent Pool Access Extensive, ongoing talent pool management Access to talent pools for specific needs Combines long-term talent pool access with project-specific searches
Service Level Agreement Detailed SLAs with comprehensive metrics SLAs focused on project outcomes SLAs that cover both long-term and project-specific outcomes
Deliverables Full recruitment lifecycle management, regular reports Project completion reports, short-term hiring metrics Combination of full lifecycle management and project-based reports
Geographic Reach Often global Can be local, national, or international Varies based on specific needs
Compliance and Risk Comprehensive compliance management and risk mitigation Focused on project-specific compliance Balanced approach, covering both long-term and project-specific compliance

Enterprise RPO

Types of RPO - Enterprise RPO

Enterprise RPO, sometimes called Traditional RPO or Full-Service RPO, involves a long-term RPO partner taking on all your recruitment needs. This model is best suited to businesses looking for support with complex, long-term talent acquisition strategies and/or high-volume recruitment. Enterprise RPO services will see your outsourcing partner manage the entire recruitment process from start to finish.

Scalability and Agility

One of the benefits of Enterprise RPO is the ability to be scalable and agile. RPO partners are able to scale recruitment efforts based on fluctuating hiring demands. If your team needs to suddenly hire a large number of employees, then it's possible for your RPO partner to scale accordingly. For instance, at AMS, we supported a global e-commerce company to hire 175,000 US-based warehouse employees within just six weeks, demonstrating the scalability of an RPO model.

Skills-Based Hiring

Enterprise RPO providers excel in skills-based hiring. They use their industry knowledge and market insights to identify and attract talent with the right skills. They often have access to a wider talent pool and use unique approaches, such as recruiting from adjacent industries. This can allow RPO partners to find people with the necessary skills to meet your strategic staffing goals.

Internal Mobility and Talent Development

Internal mobility has the dual benefit of increasing employee engagement and retention while also filling skill gaps. The right RPO partner can play a key role in accelerating internal mobility. Despite a decreasing trend in internal hiring, RPO providers can assist with creating internal mobility programs and make it easier for existing employees to find new, rewarding roles within the organization.

Employee Value Proposition (EVP)

A strong Employee Value Proposition (EVP) helps to attract and retain top talent. Enterprise RPO providers help develop and communicate an authentic and compelling EVP, which can significantly improve the quality of hire and reduce attrition rates. For example, AMS helped Synchrony establish their reputation as a top employer by focusing on their culture and candidate experience.

Diversity, Equity, and Inclusion (DEI)

DEI is a fundamental aspect of modern recruitment strategies. RPO partners provide the insights and expertise needed to build a more diverse and inclusive workforce. They conduct DEI diagnostics to identify areas for improvement and implement inclusive recruiting practices to ensure diverse candidate slates.

Technology Integration

RPO providers use the most modern HR and recruiting technologies, such as AI technology. Since your RPO provider is specialized in the recruitment space, they will have strategies, training, and experience to use that technology to your advantage. At AMS, we helped McDonald’s innovate with a voice-activated job search, reducing application times and positioning McDonald’s as a tech-savvy employer. An RPO provider comes equipped with the latest technology and training to accelerate recruitment.

Improved Hiring Metrics

Improving key hiring metrics like time-to-hire, cost-per-fire, and quality of hire is the goal of Enterprise RPO. Drawing on a wealth of experience and specialized resourcing, RPO providers adopt a data-driven approach to insights and use advanced source techniques. By working with an RPO provider, you get the benefit of access to a wider, more diverse talent pool, streamlined processes, and achieve better hiring outcomes.

For more information on how Enterprise RPO can optimize your recruitment strategy, explore our digital whitepaper, 'Partner Up to Power Up,' or contact us today for dedicated support from an outsourcing partner you can trust.

On-demand RPO (or Project RPO)

Types of RPO - On-Demand RPO

On-demand RPO is an agile and flexible alternative designed for organizations not looking for a lengthy outsourcing partnership commitment. Typically lasting between six months to two years, On-demand RPO partnerships address short-term talent needs on a project-to-project basis amid rapidly changing business demands. This may be to quickly bridge an internal talent resource gap during uncertain times when hiring is fluctuating, or to support with a specific urgent request – like staffing up a newly-opened office.

Agility and Flexibility

A key benefit of Project RPO is its agility. It allows organizations to scale recruitment efforts up or down based on immediate needs without requiring a long-term commitment. This type of flexibility is a benefit to businesses facing hiring surges, expanding into new markets, or experiencing high growth. In a recent case study, we found that 75% of companies using Project RPO were able to fill positions in under 30 days, significantly reducing the time-to-fill compared to traditional hiring methods​​.

Efficiency and Cost-Effectiveness

If you're looking for a  cost-effective recruiting solution should consider Project RPO. You benefit from the expertise and resources of an established RPO provider without requiring a long-term commitment. This can be critical during periods of growth or change when internal recruiting teams may be overwhelmed and understaffed, but hiring additional internal resources doesn't make sense long-term.

Support for Market Expansion and High-Growth Goals

When it comes to market expansion or high-growth goals, Project RPO can be an ideal solution. Businesses benefit from the deep domain expertise that an RPO provider can provide – this applies to various industry, geographies, and skill-based recruiting. For example, during a hiring surge, AMS helped a global company fill positions in under 30 days, significantly improving their time-to-fill metrics.

Building Long-Term Capability

Project RPO may be optimal for short-term hiring needs, it can also be used to build long-term capabilities within an organization. Internal recruiting and HR teams can learn from Project RPO specialists, gaining valuable insights and experience that can be applied to future efforts. You should aim to find an RPO partner focused on a collaborative approach that not only fills current positions but also helps the over talent acquisition function at your organization.

For more information on how Project RPO can solve your short-term hiring challenges and create long-term value, explore our digital whitepaper or contact us today for dedicated support from an outsourcing partner you can trust.

Hybrid RPO

Types of RPO - Hybrid RPO

This model offers a tailored combination of both Enterprise and Project RPO services across the business depending on specific needs. It is quite common for an outsourcing partner to provide shorter-term, project-based support in one business unit or location, and full-service support in others. Hybrid RPO provides a versatile approach, allowing organizations to scale their recruitment efforts dynamically in response to changing business demands.

Tailored Flexibility

Combining elements of both Enterprise and Project RPO can benefit your organization by responding to the varying levels of recruiting needs across different departments or locations. One part of the business may require full-service for ongoing, high-volume recruit, while another business unit has an immediate, short-term requirement. Working with an RPO provider you can tailor the approach to allocate resources where and when you need them.

Scalability and Agility

Short-term demands don't need to overshadow long-term, strategic objectives. A best-in-class RPO provider will be able to balance short-term requirements, such as a surge hiring, while providing high quality support and expertise characteristic of Enterprise RPO models. For example, if a company faces a sudden hiring surge in one department, Hybrid RPO can deploy additional resources rapidly to manage the increased demand while maintaining recruitment support in other areas of the business​​.

Efficiency and Cost Management

The Hybrid RPO model offers some of the cost-efficiency benefits of Project RPO while ensuring strategic depth and support of the Enterprise RPO model. Striking a balance between these two aspects can help hit tactical, near-term hiring needs but still remaining strategic with continuous recruitment efforts.

Selecting the right RPO model

Choosing the right RPO model is a decision that can significantly improve your organization's talent acquisition strategy. Each model—Enterprise RPO, On-demand RPO/Project RPO, and Hybrid RPO—are useful in different situations and offer strengths that can cater to your business needs.

If you're looking for an RPO partner who you can trust, you should consider AMS. Contact us today to learn more about how can help your organization.

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By AMS

In today’s uncertain economy, HR professionals are facing a tougher-than-ever talent market. As hiring fluctuates, businesses are necessarily downsizing their TA teams, only to be met with a sudden need to rapidly assemble a larger talent function. What’s more, a global talent shortage is making the right candidates harder to find.

Now more than ever, organizations need to do more with less. They need a more strategic, more holistic, and more innovative approach to recruiting and retaining talent. They also must be agile in their own teams – ready to scale up or down when the market demands it.

Thankfully, this is not a challenge that organizations need to tackle alone. An RPO partner can help to supercharge your TA processes and optimise your hiring power in an increasingly competitive market.

But exactly how does RPO work, and why should you consider outsourcing recruitment to an RPO partner?

What is RPO?

The acronym ‘RPO’ can have several different meanings when used across a range of industries. But what does RPO stand for in the recruitment space?

Put simply, Recruitment Process Outsourcing (RPO) is a form of outsourcing in which an employer transfers part or all or part of its recruitment processes to a third-party provider.

RPO services can include everything from advertising roles and resume screening, to candidate sourcing, interviewing, and hiring. An RPO partner can be responsible for managing your applicant tracking system, coordinating with hiring managers, and ensuring legal compliance. They may support all or just a few of the above areas, depending on your needs. In most cases, they will manage all pathways to talent.

But in recent years, RPO has evolved beyond simply supporting foundational hiring processes. Today, many RPO providers have more holistic expertise that ranges from Talent Acquisition advisory, to employer branding, and diversity, equity and inclusion (DEI).

How does RPO work?

RPO providers act as a seamless extension of a business’ HR team to become part of your TA function. Having the right RPO partner will not feel as if your recruitment is being outsourced, but rather that your own team’s expertise has simply grown. They will become embedded in your organization to form a deep knowledge of your culture and build a real relationship to fully understand the pain points and gaps in your recruitment processes.

This level of immersion and collaboration means an RPO provider becomes a true talent partner –crafting an optimized talent acquisition function that creates tangible value for your business. This is measured against a clear Scope of Service, with defined SLAs and KPIs in areas such as:

  • Improved candidate quality
  • Improved time to hire
  • Reduced costs
  • Candidate and hiring manager satisfaction rates

An RPO partner’s goal is not simply to fill headcount. Armed with an in-depth understanding of your business and unmatched expertise in the talent market, they will work rigorously to secure the very best people for it – whether that’s filling current vacancies or building your future talent pipeline – as efficiently and cost-effectively as possible.

For more information on RPO, or for dedicated support from an outsourcing partner you can trust, contact us today.

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In an increasingly complex and ever-evolving talent landscape, contingent worker program and service procurement leaders are having to grapple with a new set of talent strategies.

While rethinking and reconfiguring talent management is essential to attract today’s workers and get ahead of competitors, the deficiency of skilled talent is a pressing issue – one that topped the list (69%) in Everest Groups’ 2022 Key Issues Study. In the same study, which surveyed 200+ enterprises, a staggering 71% of leaders have plans to enlarge their contingent workforce needs over the next 12-18 months.

Direct Sourcing programs, which target contingent professionals, arise as one of a number of strategic blueprints to address talent scarcity and wider business disruptions. But what is Direct Sourcing? Beyond filling contingent roles with high quality professionals, Direct Sourcing has the potential to help an organization’s talent capability blossom, keeping them at the frontier of agility and flexibility. Direct Sourcing follows a three-pronged approach that focuses on leveraging the organizations brand, centralizing the talent experience, and a digital and data-enabled solution.

For Direct Sourcing to function effectively, however, it requires two key elements: the right tech platform, and a curation partner to drive talent to the tech platform.

Although high-level tech tools are vital to Direct Sourcing, we have observed several organizations miss out on a key piece of the puzzle – curation. Why are organizations bypassing the curation stage? The answer could lie in many not being aware that Direct Sourcing technology exists hand-in-hand with a curatorial solution.

With this in mind, let’s uncover why the Direct Sourcing model is empowered by both tech and curation.

Direct Sourcing tech: A gateway to hiring success  

There is an abundance of Direct Sourcing tools on the market. Some providers use intelligence technology to segment data into ideal talent topographies, while others embed sophisticated automation frameworks to create an all-encompassing solution. From accessing real-market data sets, candidate pairing technology, to gaining total visibility of the talent lifecycle, it’s easy to find an integrated workforce management program to match.

It is no doubt that innovative talent technology has been the gamechanger to create an expedited searching solution, giving organizations access to the contingent talent they need to be better positioned for growth. However, if a Direct Sourcing program is fit for purpose, there needs to be a robust tech component as well as long-established curatorial expertise. Without the latter, organizations might be confronted by various pitfalls during pre- and post-implementation, which will lead to disappointing results or at worst, destabilize the talent system already in place.

Plug in curation, power talent transformation

To maximize Direct Sourcing’s full potential, an embedded and empowered curation partner is imperative.

As organizations carve out a Direct Sourcing roadmap, start with ‘why’ and ‘where’ curation partners can slot in. The role of a managed contingent curation expert is to entirely speak a brand’s language and thereby assess their unique requirements in terms of size, cost, and efficiency. Whilst ensuring a clear Contingent Value Proposition (CVP) is upheld, Direct Sourcing partners have a proficient talent team with eyes and ears in the contingent labor market – strengthening talent pool growth. Combining a totally immersed service and business-nuanced talent expertise, curation specialists make transitioning to the Direct Sourcing model smooth and seamless.

As for ‘where’ a curation partner is most valuable, we argue their offering is fundamental in the decision-making process. Talent and program leaders should consult with a full-service curation advisor before adopting talent technology, as going platform first could act as a barrier to success missing out the curation step in the selection process. Those that lean on a curation partner before and during the decision process benefit from a whole suite of solutions which are an amalgamation of talent, technology, and advisory expertise. Tapping into this breadth of knowledge and experience helps organizations filter through an array of talent technology to identify a future-proofed platform tailored to their specific needs.

The curation layer makes all the difference to Direct Sourcing. With a clear partnership between the curation and technology providers, organizations can leverage their joint expertise to reduce time-to-hire, push the DEI needle forward, develop a Total Talent Acquisition (TTA) strategy, enhance cost savings and better worker utilization, among others. It’s clear that the benefits are incomparable, but how do organization’s know which curation advisor will deliver the most quantifiable value?

AMS: The intersection of tech and touch

As an internationally renowned curation specialist, AMS partners with enterprises to solve their talent challenges and an meet their contingent workforce objectives. Through an approach that we like to call ‘tech and touch’, AMS merges our deep-rooted knowledge of digital talent tools and technology with a human capability, so you get the most out of a Direct Sourcing program.

Whilst ensuring you have access to a leading-edge advisory service before making a decision about a Direct Sourcing tech platform, with AMS Verified, we have made it easy to navigate the talent technology market with speed, agility, and precision. Our newest proprietary technology platform compiles the latest market intel, meticulous product information, and side-by-side product comparisons all in one interface.

Are you looking for a curation partner to guide on the best talent technology while also helping to develop and manage your contingent community? Get in touch with the dedicated AMS Direct Sourcing team today to elevate your contingent workforce capabilities.

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By AMS

Enterprise leaders continue to feel the squeeze in today’s talent market, from navigating the shift to home working, the Great Resignation, to the looming skills shortage.

For Heads of Talent Acquisition specifically, there is no silver bullet for talent challenges. Confronted with many obstacles, which might include an inability to hire qualified professionals, mounting agency costs, lengthy time-to-hire, or insufficient candidate experiences, the to-do list often feels exhaustive.

To overcome these workplace hurdles, many have joined forces with a Recruitment Process Outsourcing (RPO) expert. Understanding the rpo meaning recruitment can help build a strong business case. Enhance your strategy with our Contingent Workforce Solutions. The proposition of an RPO solution isn’t simply to fill headcount. RPO provides strategic value that can support exponential growth; helping firms design, build, and manage a talent acquisition ecosystem to reframe their future success. It’s no surprise then, that the global RPO market is primed for strong growth and projected to swell with a CAGR of 13.9% from 2022-2030. This growth is being catalysed by mature and emerging markets, and by small to medium enterprises that are opting for RPO services over a strictly in-house or agency approach.

In this article, we will be delving deep into how to build the business case for RPO. Over a two-fold approach, discover why you should capitalise on RPO, and how to go about pitching an RPO model to your CHRO or executive team.

The benefits of outsourced recruitment services: level up from transactional to transformational

What are the benefits of recruitment process outsourcing? RPO delivers significant and palpable value, with its business case founded on hard cost savings and qualitative gains.

RPO makes commercial sense. The program could be calibrated and scaled up or down, preventing your talent budget from stretching unnecessarily. Not only can processes be redesigned to boost efficiency, but talent acquisition leaders have immediate access to wage arbitrage, which markedly drives down costs in the short term.

Taking a look at the qualitative gains, it’s clear that RPO engagements help companies leapfrog ahead of their competitors. Whether it’s reshaping an organisation’s immature TA capability, or deploying a specialist team of recruiters to engage with hiring managers, RPO is a custom-fit talent solution sculpted to suit business demands. This means the best option is the one that best aligns to your requirements.

To achieve seismic transformation, cutting-edge technology underpins and empowers the RPO model. Digital-driven RPO programs aren’t only about identifying sector professionals. They are an enabler for decision making and allow for real-time reporting and advanced data tracking. From automating processes in interview scheduling, to discovering the best-in-class talent through sophisticated sourcing tools, RPO technology helps organisations make competitive industry strides.

However, it’s important to note that talent software configuration also requires the right expertise. A recruitment process outsourcing partner can consult and advise enterprises on what innovative technology stack to select, carve out the best approach for integration, and advise on cost of implementation. What’s more, applicant tracking systems (ATS) are often costly, so bundling this technology into an RPO solution dramatically reduces expenditure.

How to build your RPO business case for your executive team

There’s no doubt that RPO is an impetus for organisational change. Alongside the above benefits, let’s uncover how to create a comprehensive business case step by step, so you can take RPO to your CHROs or the C-Suite.

1. Conduct an introspective inspection of your talent function

RPO providers offer a sophisticated suite of services, but these are often nuanced and range widely depending on an organisation’s needs. That’s why, before making any decisions, it’s crucial to internally assess your business’ specific conditions to map out where a recruitment process outsourcing expert slots in and provides value-add.

Start by examining your talent metrics. These might include your length of tenure ratio, time-to-fill on open roles, offer acceptance scale, and hiring speed. By getting pen to paper, this helps to display the whole picture to both your business’ executive team and to an RPO provider, so you can begin working together to plug those missing gaps and spark new opportunities.

2. Put your talent budget under the microscope

Combining the value an RPO provider brings with calculated costs makes for a stronger business case. To measure your talent management expenditure, consider two notable elements.

Firstly, raise the question: how much are you currently spending on external vendors? By examining overall staffing costs, this quantifies efficiency and outlines whether investing in agencies is really the best way to acquire new talent.

Next, take into account the budget you’ll need to set aside for RPO. An RPO partnership could include a variety of changing models, which range from management charges, transactional fees, hybrid pricing models (a combination of management and transactional) as well as fees that might be applied for gainshare mechanisms, advisory work, service expansions, among others.

For a more in-depth analysis of RPO funding models to help support your business case, discover the new report from AMS, Navigating the Challenge of TA Funding Models

3. Getting Executive RPO solution buy-in

Presenting your case to executives and CHROs is only one fragment of the task; ensuring they are onboard is fundamental. Stakeholders may have varying perspectives on how best to approach an RPO project and how much they would incorporate this into the wider business. To navigate these potential queries, learn what each executive’s mission is within the company and align this to what an RPO capability solves. Bringing stakeholders along once you have evaluated total expenditure, budgets, and talent metrics will help to guarantee success of the project.

Comparing RPO to alternatives

To make your business case stronger, consider presenting the pros and cons of each type of recruiting solution. Here's a table that breaks this down for you.

Criteria RPO (Recruitment Process Outsourcing) In-House Recruiting Staffing Agency
Cost Efficiency High - economies of scale, bundled services reduce overall costs. Medium - fixed costs associated with full-time staff and resources. Low - high fees for placements, often percentage-based.
Scalability High - can easily scale up or down based on client needs without the overhead. Low - scaling requires significant internal changes and possible delays. Medium - can be scaled, but often limited by the agency’s capacity.
Control and Integration Medium - tailored to fit within existing corporate structures but operated externally. High - full control over the recruitment process and integration with company culture. Low - limited control, as the process is largely external.
Expertise and Specialization High - access to recruiters with specific industry knowledge and advanced recruiting technologies. Medium - depends on the ability to hire and retain experienced recruiters. Medium to High - varies widely depending on the agency’s focus and resources.
Speed High - streamlined processes and extensive networks reduce time-to-hire. Medium - efficiency depends on internal resources and processes. High - quick placements, but may sacrifice quality for speed.
Strategic Value High - partners in strategic planning, not just filling positions; can help shape long-term HR planning. Medium - strategic input depends on the skills and experience of the in-house team. Low - focus is typically on filling positions quickly rather than long-term planning.
Technology and Innovation High - often use the latest recruiting technologies and methodologies. Low to Medium - investment in new technologies can be limited by budgets. Medium - some agencies invest in technology, but the focus is on client management more than innovation.
Long-Term Partnership High - RPO providers work as a strategic partner aiming for long-term collaboration. Medium - in-house teams are naturally aligned with company goals. Low - relationship often transactional and vacancy-driven.
DEI (Diversity, Equity, and Inclusion) High - can implement sophisticated DEI strategies across the recruiting process. Medium - effectiveness varies by the commitment and resources of the in-house team. Low to Medium - depends on the agency’s commitment to DEI practices.

 

AMS RPO: Unlock advisory expertise

At AMS, our RPO capabilities are far-reaching and multi-layered, so it’s easy to find a solution that’s right for you. We are the global RPO partner of choice to market-leading players and enterprises. At the core of our permanent workforce solutions is a tailored talent service. Our RPO offering is not one-size-fits-all, but it can be moulded and reshaped to unleash the hiring and workforce power for our clients.

As well as tapping into deep expertise, by partnering with AMS, you gain access to our unrivalled advisory services. Our model never stands still, so if you’re looking to enter a new market, we are armoured with specific tools and resources to set you up for success. Whilst improving the internal business discipline, we shine a spotlight on external brand identity. From researching competitor positioning to getting the messaging right, your robust employer branding strategy is in safe hands.

When it comes to meaningful and measurable business impact, our RPO services help corporations put a DEI foot forward. By working with us, the door to a diverse pool of talent and diverse workforce infrastructure opens. We advance anything from identifying problematic language in job descriptions, removing unconscious bias in the screening process, to creating inclusion and retention strategies. A service offering that places organisations on the right path to achieve quantifiable progress and greater DEI parity.

It’s time to optimise your talent trajectory. Download AMS’ Enterprise RPO paper for a deeper look at why RPO exists at the leading-edge of business today

Speak to AMS, your strategic advisory experts, to learn more about our RPO services.

RPO Business Case FAQ

Why do companies use RPO?

Using an RPO provider offers cost-effectiveness by scaling services to match hiring needs, ultimately saving your company money. Additionally, RPO providers handle sourcing, screening, and onboarding, ensuring access to top talent and maintaining ready-made talent pools for future vacancies.

What is an RPO agreement?

An RPO agreement is a business model where a company transfers the management of its recruitment process, fully or partially, to a third-party specialist. This agreement aims to improve cost efficiency, quality of hires, scalability, and overall recruitment effectiveness.

What is the role of an RPO?

The role of an RPO is to create strategic recruitment solutions that help organizations quickly and efficiently find the best candidates. RPO providers handle various aspects of the recruitment process, including candidate sourcing, recruitment marketing, screening, interviewing, testing, salary negotiation, background checks, and onboarding.

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Organisations are under immense pressure to scale their hiring needs quickly in response to new challenges, pressures, and priorities. Not only are Chief Human Resource Officers (CHROs) and talent acquisition (TA) teams changing the way they compete for talent, but there is also a strong push to focus on greater efficiency and look for more ways to build talent pipelines.

We sat down with our Regional Managing Directors (RMDs) to discuss the challenges CHROs and TA teams are facing and how they can address them. Throughout our discussions, it became clear that no matter where you might be in the world, the challenges are largely aligned.

Talent Acquisition: four major challenges in the new talent marketplace

Agility. Organisations are realising they must be agile in order to grow. With constant fluctuating demand, it’s crucial that companies are able to respond quickly to changing market conditions – whether that’s scaling up, deploying the right people when and where they are needed, or scaling down.

Skills. Skills is a hot topic right now, and for good reason. CHROs and TA teams must ensure they have the right skills in their organisation today and in the future, and talent development is crucial. The market for skills has changed beyond recognition over the last two years. People are prioritising lifestyle choices, location is becoming less of an issue, and demand for skills in some categories is far outstripping supply. This impacts traditional recruitment practices that are no longer effective. Coupled with salaries to attract certain skills escalating dramatically, this results in significant commercial pressure.

Attraction. Many business leaders are asking, how do we attract top talent into our organisation quickly? And how do we secure high calibre and diverse professionals in a market that has never been more competitive? Even organisations that would traditionally rely on their brand because they're at the cutting edge in the industry are facing attraction issues against this competitive talent market.

Technology. Most organisations quickly invested in a technologically nimble infrastructure in 2020 when they moved to remote work overnight. Now, organisations have these technologies in place but are unable to measure ROI and see if they are optimised for all employees.

So, how do CHROs and TA teams solve these issues?
We sat down with our Regional Managing Directors for their insights.

 

Nicola Hancock, RMD Americas

  • Build a strong skills strategy. Acquiring talent is top of mind for many organisations, but reskilling entry level professionals and existing employees is key to a sustainable and future-fit workforce.
  • Put people, processes, and technology (PPT) first. To compete in attracting and retaining talent, HR functions should examine their PPT framework both interchangeably and as mutually exclusive components. Ensuring a straight-forward user experience is crucial.
  • Invest in sustainable long-term hiring strategies. This means looking at the whole package: an employee value proposition (EVP), salaries, bonus schemes, benefits packages, flexible working arrangements, values, and culture. While employers evaluate prospective employees to see if they’re the right fit, talent will also place a business and its processes under the microscope. Having a comprehensive offering is critical to landing top talent.

Roop Kaistha, RMD APAC

  • Boost employee engagement. Regardless of what work arrangements a company decides to put in place, it’s crucial to equip professionals with the right tools to stay engaged in both a remote and in-person setting.
  • Be strategic when assessing future needs by using market data analysis, skills mapping, DE&I, technology, and talent engagement. Implement sustainable recruitment plans and embed the right technology within the TA processes to make better, faster hiring decisions.
  • Create cross-functional teams to problem solve and, when needed, leverage expert partners to advise on strategy or technology. This can feed into re-implementation strategies, help to configure technology into the right processes, and optimise internal change management.

Maxine Pillinger, RMD EMEA

  • Build the workforce of the future. There’s a massive demographic shift emerging from the horizon and organisations need to consider what skills they need. Hiring for potential, reskilling and upskilling, and early career programs are imperative.
  • Outline the current skills in an organisation, build strategies to plug any gaps, then layer these with DE&I strategies – this can help future-proof a business for the long term.
  • Move away from tactical job filling to become a location agnostic. With location no longer a limitation due to hybrid working, this makes hiring skills in different locations much easier.

Sharon Bagshaw, RMD UK&I

  • Introduce comprehensive reskilling initiatives. Target both existing members of an organisation and new recruits to upskill their knowledge into a completely new discipline. The foundation for success here is to have a clear understanding of the skills required to meet the current and future needs of the business.
  • Implement focused, effective TA processes for both permanent and contingent workers with consumer-level experience for all stakeholders and a clearly communicated, authentic EVP to speak to relevant markets.
  • Use technology to automate tasks. This can help firms make competitive industry strides by enabling employees to concentrate on the value, facilitating a more effective ‘always on’ TA function that can interact with candidates when it suits, and garnering a rich understanding of an organisation – its culture and what it’s like to work there day-to-day

 

How AMS can transform your talent acquisition strategy 

We live in a constantly evolving world. From how organisations recruit and retain top talent, to how and where we conduct business, to the wants and needs of our people – the organisation of the future will not, and should not, look like the one that existed before. Instead, enterprise leaders must look to the future and prioritise initiatives that strengthen their organisation’s purpose, culture, diversity, and overall employee experience.

At AMS, we partner with organisations across the globe to help them navigate through the uncertainty of changing hiring needs, challenges, and talent availability, and together we create an industry-leading strategy that will see them thrive in the coming years.

Want to learn more about how an RPO partner can help tackle your Talent Acquisition challenges? Get your copy of our latest paper, Partner Up to Power Up, today.

It is time to elevate your talent strategies, before the dust settles and it’s too late.

To learn more, please contact us.

Talent is our world.

Discover how we can help you build a world-class workforce.

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By AMS

Businesses across the globe are seeing a recruitment boom as post-pandemic growth continues, and many have faced this shift with under-resourced recruitment teams. An organization might be launching a new product, expanding into a new market, or experiencing rapid growth – all of which result in immediate and urgent hiring needs. In many of these cases, we find that Flexible RPO or RPO On-Demand can help organizations achieve their short-term hiring goals while helping to prepare for the future.

What is Flexible Recruitment Process Outsourcing (RPO)?

Flexible Recruitment Process Outsourcing (RPO) is an RPO model where companies can work with a provider on an as-needed basis. Flexible RPO is often referred to as Project RPO or On-Demand RPO. This model allows companies to scale their recruitment services according to demand – increasing services during periods of peak demand and decreasing services during hiring lulls.

Flexible RPO vs Enterprise RPO

Flexible RPO differs from traditional, full-service RPO in a few ways, primarily in the key drivers and length of engagement. A traditional RPO engagement often lasts more than two years as companies look for continuous support with both tactical and strategic recruitment. Flexible or Project RPO, on the other hand, is most commonly from four to six months, and sometimes up to a year or two.

Additionally, traditional RPO is an option for companies looking to support complex, long-term talent acquisition strategies, while Flexible RPO offers more flexibility to support distinct and immediate needs.

Benefits of Flexible RPO

Flexible RPO offers many benefits to companies looking for options tailored to their recruiting needs. Benefits of flexible RPO include:

  • Rapid scalability
  • Cost-effective
  • Access to expertise
  • Agility in hiring
  • Building long-term capacity
  • Access to a broad talent pool

Rapid scalability

With flexible RPO, you have the ability to rapidly scale your recruitment efforts based on current needs. If you have a project that needs immediate staffing, you can scale up efforts. Once those needs are met, you can reduce your commitment and reduce costs accordingly.

Cost-effective

This model is a cost-effective solution to meet short-term recruitment needs while still partnering with an expert-level RPO provider. It allows you to get the best of both worlds – short-term recruiting with the experience and expertise of an established RPO consultancy.

Access to expertise

By working with an established RPO service provider like AMS, you get access to world-class expertise to meet your project's needs. This allows you to be strategic in your approach while leveraging a partner whose experience and skills can enhance the recruiting process.

Agility in hiring

If a project suddenly gets funding or you experience rapid-growth, a flexible RPO model provides you with the ability to scale on-demand.

Building long-term capacity

One of the main benefits of flexible RPO is the ability to build up long-term capacity with your RPO partner. Not only can you meet short-term needs, but you can consider long-term, strategic recruiting objectives. With flexible RPO you can work on recruiting strategies, onboarding, and retention strategies while meeting needs as they arise.

Access to a broad talent pool

A challenge of the 'do-it-yourself' approach to recruiting is that you have limited access to talent. Flexible RPO gives you the ability to tap into a broader, more diverse talent pool through your RPO provider.

How Flexible RPO works

Flexible RPO works by establishing a strategic partnership between your company and the RPO service provider to address some or all parts of your recruitment process. At AMS, we've worked with clients to pull together hiring teams from our existing bench of experts who are immersed in talent acquisition best practices.

A good example is our relationship with a global leader in medical technology, service and solutions. We were already working with them on Enterprise RPO when they came to us looking to recruit for a new product launch. They needed a sales team of 55 people for launch and wanted the team ready within six months. We started the assignment straight away, bringing together a team of four experienced recruiters.

Within a month, we began posting adverts for the roles using social media where we shared information about the jobs and why the client was an attractive employer. We made these articles easily shareable and ensured the application process was mobile-friendly in order to drive candidate engagement. We successfully completed the hiring process on time and the client was able to get the project live as scheduled.

Flexibility in hiring

Another reason for the huge volume of recruiting is that many organizations have a backlog of hiring. The pandemic meant many positions were made redundant and hiring was paused, but as the world came back online so did recruitment. Organizations are trying to meet current needs and backfill roles that were lost in the past several years. This is where the flexibility of Project RPO can really help organizations that need to recruit at scale quickly.

A good example is our relationship with a global sportswear company. Before COVID-19, we would help the client recruit 300-400 employees per month using a team of more than 20 people. When the pandemic hit, recruitment dropped by 90%, with the company only hiring 10-12 people per month. We had to reduce our team drastically to accommodate for the change, but we didn’t make any redundancies. Instead, we moved these people to other projects within our organization. As the economy rebounded, the client’s hiring went back up to 100-200 people per month and now the volume is even higher – at more than 400 people per month. We were able to move our people back to working with the client as the volume grew to meet the demand.

This example fully showcases our flexibility. Had the client had their own people in recruitment, they would have had to make redundancies and then rehire quickly. By using AMS, they were able to flex with the downturn and alter recruitment needs effectively.

New talent pools

The rapid rise in headcount among organizations globally means businesses have had to look beyond traditional talent pools. In the past, it has been easy to simply look at hiring from direct competitors. However, in a booming recruitment situation, that might not always work as they are likely facing the same challenges.

With Project RPO we have the sourcing expertise to talk to our clients about being more creative with their hiring pools. For example, financial services organisations often want to hire bankers from their competitors. But could they look for similar skill sets in other industries and then train those people for the knowledge needed in finance? If connections to wealthy individuals or businesses are needed, perhaps look to luxury sales or property and train people with experience there in finance. In addition, we advise HR and line managers to be more open-minded about work locations.

The pandemic has shown that remote working can succeed, so could organizations broaden their talent pools by looking to new locations or populations they normally don’t immediately think to hire, such as returning mothers or retirees? By becoming more open-minded about talent pools outside the usual suspects, our clients can gain more success across their talent acquisition needs.

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By AMS

8 June 2022 — In our recent blogs, Recruiting for transferable skills and Diversify talent to diversify the energy mix, we shared two key strategies we feel are needed to meet the ambitious growth of the renewable energy sector. We talked about recruiting for transferable skills and dropping the notion that prior experience in the sector is required to succeed. And, to stand any chance of tripling the headcount, which is needed to keep to the IRENA's World Energy Transitions Outlook: 1.5°C Pathway, we will need to significantly diversify the sectors from which the renewables sector sources talent.

In this series’ third and final blog, we explore the relative attractiveness of the renewables sector to talent, as without it being an appealing option to those from other sectors, it will simply not be possible to enact the two strategies that we explored in our blogs.  

The recent Most Attractive Employer Report (2021) from Universum shows that the top five aspects of employer attraction for engineering students are those that offer: 

  1. High future earnings
  2. Training and development
  3. Leadership opportunities
  4. Secure employment 
  5. Competitive salary

The Universum data demonstrates that the case for engineering students to consider the renewables sector for future employment is very strong. Any sector that will be in high demand will need to compete for talent, which will likely lead to competitive salaries being offered.

As the renewables sector grows and new technologies emerge, the need to train and develop staff will be high, and as experience is built in a sector that needs to triple in size over the next decade to achieve the 1.5°C Pathway, inevitable leadership opportunities will present themselves to those disposed towards managing and leading others. #

More leadership opportunities further reinforce the likelihood of high future earnings. Crucially, the renewables sector is seen as the long-term solution to our energy needs, and as a result, it offers highly secure employment. So, you could say things are looking positive for the renewables sector in terms of its general propensity to be deemed attractive. 

Further analysis carried out by AMS on the engineering community in the UK is very reassuring. When looking at how satisfied engineers are in their sector that they work, the energy/renewable/nuclear sector (excluding oil and gas) comes out on top. In all three categories of ‘salary satisfaction’, ‘job satisfaction’ and ‘feeling valued in job’, no other sector comes out more strongly than energy/renewable/nuclear. As table 1 below shows, this is overwhelmingly positive for the industry: 

Table 1: In which sectors are engineers most happy? 

 NB: Data has been heat-mapped to represent the most attractive (green) to least attractive (red).  
Source: djsresearch.co.uk 

“Engineers in the renewables sector are more satisfied with their salaries, their jobs and their sense of value than in all other sectors of engineering” 

The keen-eyed of you will also notice that not only do engineers seem very satisfied in the energy/renewable/nuclear sector, but they are also one of the least likely to be considering a change of job. It may surprise some that the oil and gas sector was where engineers are least likely to be considering a change of job, given the much-needed phase-out of fossil fuels to enable the energy transition.

However, according to the ‘Preparing for an Aging Workforce’ report, approximately one-quarter of the current energy sector workforce (the majority of whom are in oil and gas roles) is over 55 and, within seven years, will retire. Therefore, it may be that engineers in oil and gas may just be sitting tight, knowing they can see themselves through to retirement. 

Our analysis also confirms that salary is another crucial factor in determining whether engineers in certain sectors are likely to consider a job change. As we have seen with the Universum data, money is still a significant consideration in terms of the attractiveness of employers and sectors, and as the table below shows, the energy sector is leading the way as a whole. 

 

Table 2: In which sectors are engineers paid the most?  

NB: Data has been heat-mapped to represent the most attractive (green) to least attractive (red).  
Source: djsresearch.co.uk  

Once again, this is very encouraging for the overall attractiveness of the renewables sector (and, of course, explains why engineers in oil and gas seem less likely to change jobs, despite feeling undervalued with relatively low job satisfaction).

And whilst oil and gas engineers may be well paid, satisfaction levels in the renewables sector are very favourable in comparison, as Chart 1 below shows: 

 Chart 1: Average sentiment – Oil and Gas vs. Renewables   

 

Source: djsresearch.co.uk 

To back up the analysis above, according to the 2020 “Clean Jobs, Better Jobs” report, which details job outlook, salary and benefits within the renewables sector, benefits in this area outperform those in traditional energy.  

“Employees within the renewables sector approve of their CEO 9% more and would recommend their company 7% more than their oil and gas counterparts” 

All this analysis suggests that renewables is very attractive and potentially quite lucrative as a sector. Therefore, there are many reasons for talent acquisition teams globally to play their part in accelerating the energy transition. They can do this by changing the mindset of hiring managers and convincing them to consider candidates with transferable skills and from a much more diverse range of sources. 

While this is encouraging, without significant movement on some of the more powerful enablers of the energy transition, such as transformational policy change, government-funded training/investment schemes and strategic reskilling programmes, there is only so much that can be achieved.

These enablers require huge investment and political will, with bulletproof business cases to secure the necessary funds. Talent acquisition teams can play their part, but much more is needed for the sector to achieve its ambitions. 

With the geopolitical instability we see in the world right now, we are already witnessing new global dynamics in the energy sector. Let’s hope that the people in power can make the right decisions on our behalf and for our future so we can accelerate the energy transition for the benefit of everyone. 

If you would like to talk to us about recruiting for the energy or renewables sector, please get in touch.

 

Authors:

Lynne Gardner

Sector Managing Director

Lauren Cunningham, Client Services Manager

David Ingleson

Client Director

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Talent is our world.

Discover how we can help you build a world-class workforce.

Talk to us