Sunday, July 27, 2008
Selective RPO
With all the attention given to Recruitment Process Outsourcing (RPO), expect the next big thing to be Selective RPO. That is, instead of outsourcing the entire effort, organizations will maintain aspects they are good at, and outsource components where they're weak.
The first big round of RPO has not been a success. Not for the clients, and not for the vendors. Clients miss the in-house familiarity they expect, and providers aren't making money. Many clients feel they threw the baby out with the bathwater in order to get a better handle on their costs. And, while costs are better measured, the job isn't getting done.
The next iteration will consist of companies realizing their recruiters do some things well - like posting jobs, working with hiring managers, etc., but are not so good at others. In particular, sourcing passive candidates. In an effort to play to their strengths, they'll maintain these efforts and outsource weak areas. Overall, they'll have better control and better results.
The first big round of RPO has not been a success. Not for the clients, and not for the vendors. Clients miss the in-house familiarity they expect, and providers aren't making money. Many clients feel they threw the baby out with the bathwater in order to get a better handle on their costs. And, while costs are better measured, the job isn't getting done.
The next iteration will consist of companies realizing their recruiters do some things well - like posting jobs, working with hiring managers, etc., but are not so good at others. In particular, sourcing passive candidates. In an effort to play to their strengths, they'll maintain these efforts and outsource weak areas. Overall, they'll have better control and better results.