recruitment management-ch 9 recruitment strategies

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CHAPTER NINE CHAPTER NINE RECRUITMENT STRATEGIES RECRUITMENT STRATEGIES 1 1 Learning Objectives Learning Objectives Understand the factors to be considered Understand the factors to be considered while developing the Recruitment team while developing the Recruitment team Explain the parameters governing team Explain the parameters governing team structuring. structuring. Outline the points for team selection. Outline the points for team selection. Discuss recruitment strategies across Discuss recruitment strategies across levels. levels.

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Whatever be the source of recruitment , the job advertisement has to be drafted with care to ensure that it not only attracts the potential employees but also the clients, shareholders, customers and others. The efforts of selecting the right medium, and right day is wasted if the ad is not well designed.To get more such innovative knowledge on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/Y1BAo6

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Page 1: Recruitment Management-Ch 9 Recruitment Strategies

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Learning ObjectivesLearning Objectives

Understand the factors to be considered Understand the factors to be considered

while developing the Recruitment teamwhile developing the Recruitment team

Explain the parameters governing team Explain the parameters governing team

structuring.structuring.

Outline the points for team selection.Outline the points for team selection.

Discuss recruitment strategies across Discuss recruitment strategies across

levels.levels.

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Learning ObjectivesLearning Objectives

Specify the emerging importance of Specify the emerging importance of

global global recruitment. recruitment.

Pinpoint the guidelines for effective Pinpoint the guidelines for effective

global recruitment.global recruitment.

Assess the success of the recruitment Assess the success of the recruitment

strategy. strategy.

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StructureStructure

9.19.1 IntroductionIntroduction

9.29.2 Developing the Recruitment Developing the Recruitment TeamTeam

9.39.3 Structuring the TeamStructuring the Team

9.49.4 Team Selection.Team Selection.

9.59.5 Managing Recruitment Budgets.Managing Recruitment Budgets.

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StructureStructure

9.69.6 Recruiting Across levelsRecruiting Across levels

9.79.7 Global Recruitment.Global Recruitment.

9.89.8 Measuring the Success of Measuring the Success of Recruitment Recruitment Strategy.Strategy.

9.99.9 Recruitment Process Recruitment Process Outsourcing [RPO] Outsourcing [RPO]

9.109.10 SummarySummary

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9.19.1 IntroductionIntroduction

If you do not have proper recruitment If you do not have proper recruitment

strategy in details; strategy in details;

* * You may end up hiring 20 candidates at You may end up hiring 20 candidates at

the end of the day, when requirement was the end of the day, when requirement was

for 200!for 200!

** Or put up detailed job description on Or put up detailed job description on

a job portal for positions that were a a job portal for positions that were a

part of strictly confidential hiring plan part of strictly confidential hiring plan

of your marketing function! of your marketing function!

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9.2 Developing the 9.2 Developing the Recruitment TeamRecruitment TeamRecruiting is not a sole HR function, it is Recruiting is not a sole HR function, it is

akin to sales , in the sense it requires akin to sales , in the sense it requires a considerable amount of selling skills.a considerable amount of selling skills.

TodayToday’’s recruiter needs to be :s recruiter needs to be :--* * techtech--savvy to use advanced tools.savvy to use advanced tools.** innovative to develop recruitment innovative to develop recruitment strategies.strategies.* * skilled in networking, vendor skilled in networking, vendor management, negotiation, multitasking management, negotiation, multitasking etc. etc.

Team management skills are necessary with Team management skills are necessary with career progression.career progression.

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9.3 9.3 Structuring the TeamStructuring the TeamStructuring the team has to be in line with Structuring the team has to be in line with

business goals.business goals.

If the business plans do not call for If the business plans do not call for recruitment of large numbers on a recruitment of large numbers on a frequent basis, a structure with frequent basis, a structure with Recruitment Head at corporate Office, at Recruitment Head at corporate Office, at a middle management level, guiding HR a middle management level, guiding HR managers at each location, for managers at each location, for recruitment in their operations would be recruitment in their operations would be appropriate say for Manufacturing or appropriate say for Manufacturing or Engineering firms. Engineering firms.

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9.39.3 Structuring the TeamStructuring the Team

Large IT, ITES and Large IT, ITES and BPOsBPOs, with business plans , with business plans that incorporate recruitment of large that incorporate recruitment of large numbers, find a centralized structure numbers, find a centralized structure Headed by senior level General Manager Headed by senior level General Manager ––Recruitment / Talent Acquisition; Recruitment / Talent Acquisition; supported by individual Recruitment supported by individual Recruitment Managers for eManagers for e--recruitment, campus recruitment, campus recruitment, Search Firms etc. is most recruitment, Search Firms etc. is most suitable. suitable.

Both these structures have merit and Both these structures have merit and demerits which need to be weighed for demerits which need to be weighed for each organization.each organization.

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9.39.3 Structuring the TeamStructuring the TeamCentralized Recruitment :Centralized Recruitment :--

A good model for an organization in the A good model for an organization in the start up or in high growth mode.start up or in high growth mode.Ensures consistency in communication of Ensures consistency in communication of employee proposition.employee proposition.Ensures equal recruitment efforts across Ensures equal recruitment efforts across business verticals, regions, brands etc.business verticals, regions, brands etc.Allows HR to move resources dynamically Allows HR to move resources dynamically to suit changing business demands.to suit changing business demands.Enables the line managers of various Enables the line managers of various units and zones to concentrate on their units and zones to concentrate on their operational activities as they are freed operational activities as they are freed from recruitment functions.from recruitment functions.

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9.39.3 Structuring the TeamStructuring the TeamDecentralized Recruitment :Decentralized Recruitment :--

A good model for mature organization A good model for mature organization where consistent recruitment policies where consistent recruitment policies have been established.have been established.Empowers business units to invest in Empowers business units to invest in talent acquisition as needed.talent acquisition as needed.Attracts more suitable candidates from Attracts more suitable candidates from local markets..local markets..Good corporate governance required to Good corporate governance required to avoid development of own models by avoid development of own models by regions /units. HR must serve interests regions /units. HR must serve interests of the organization and not of units.of the organization and not of units.

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9.39.3 Structuring the TeamStructuring the TeamBest practices suggest the organization Best practices suggest the organization

needs to be flexible to adapt both needs to be flexible to adapt both models.models.

Key decision factors are :Key decision factors are :--

►► identify the most important role identify the most important role recruiting plays in the organization.recruiting plays in the organization.

►► metrics for measurementmetrics for measurement

►► number of repetitive hires.number of repetitive hires.

►► employment brandemployment brand

►► cost per hire.cost per hire.

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9.9. 4 Team Selection4 Team SelectionSelecting a recruitment and selection team Selecting a recruitment and selection team

is not easy as there is no standard is not easy as there is no standard certification available in this area. certification available in this area.

As a result each manager has to be well As a result each manager has to be well trained in selection techniques. But in trained in selection techniques. But in reality they rely on self training.reality they rely on self training.

In the BPO industry recruitment numbers are In the BPO industry recruitment numbers are fairly large, still recruiters do not, as fairly large, still recruiters do not, as a rule, invest time in own self a rule, invest time in own self development.development.

Job rotations need to be frequent in the Job rotations need to be frequent in the recruitment team so that each member has recruitment team so that each member has first hand knowledge of each facet of the first hand knowledge of each facet of the process. process.

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9.4 Team Selection9.4 Team SelectionRecruiter can have educational and Recruiter can have educational and

professional qualifications in HR, sales professional qualifications in HR, sales or even Customer Relations.or even Customer Relations.

A good recruiter must possessA good recruiter must possess

1. excellent understanding of industry. 1. excellent understanding of industry.

2. excellent knowledge of the 2. excellent knowledge of the organization.organization.

3. ability to understand the various job 3. ability to understand the various job descriptions.descriptions.

4. target orientation 4. target orientation

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9.4 Team Selection9.4 Team Selection

5. ability to use technology. 5. ability to use technology.

6. excellent communication skills.6. excellent communication skills.

7. ability to elicit information from the 7. ability to elicit information from the

candidates.candidates.

8. unbiased approach.8. unbiased approach.

9. vendor management skills. 9. vendor management skills.

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9.5 Managing Recruitment Budgets.9.5 Managing Recruitment Budgets.

Usually managers are not content with the Usually managers are not content with the budgeted costs allotted to their budgeted costs allotted to their function. Finance Managers always function. Finance Managers always consider Recruitment Budgets as costs, consider Recruitment Budgets as costs, and want the recruitment team to reduce and want the recruitment team to reduce them.them.

Managements normally experiment with various Managements normally experiment with various strategies to keep the costs at the strategies to keep the costs at the optimum level.optimum level.

Large organizations find in house Large organizations find in house recruitment team, using job portals, cost recruitment team, using job portals, cost effective while, smaller businesses effective while, smaller businesses prefer outsourcing to recruitment firms. prefer outsourcing to recruitment firms.

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9.5 Managing Recruitment Budgets.9.5 Managing Recruitment Budgets.

A few pointers to prepare recruitment A few pointers to prepare recruitment budget:budget:--

* prepare a business plan & back it up * prepare a business plan & back it up with numbers that would result in with numbers that would result in savings, productivity or a boost to savings, productivity or a boost to bottom line.bottom line.* explain return on investment in the * explain return on investment in the form of increase in number of recruitment form of increase in number of recruitment or decrease in TAT.or decrease in TAT.** provide metrics for anticipated ROI, provide metrics for anticipated ROI, and qualitative improvements in the and qualitative improvements in the process. process.

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9.6 Recruiting Across levels9.6 Recruiting Across levels

It will be suicidal for recruiter to use one It will be suicidal for recruiter to use one methodology for recruiting positions methodology for recruiting positions across all levels of management. across all levels of management.

Each level of management level demands its Each level of management level demands its own sources, advertisement content, own sources, advertisement content, application , short listing , selection application , short listing , selection and closure methods.and closure methods.

Three distinct methodologies need to be Three distinct methodologies need to be designed and applied for Junior, Middle designed and applied for Junior, Middle and Senior levels of management. and Senior levels of management.

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9.6 Recruiting Across levels9.6 Recruiting Across levelsJob Descriptions / Person SpecificationsJob Descriptions / Person Specifications

Junior Junior Very task oriented. Clearly Very task oriented. Clearly defined defined KRAsKRAs. High team management . High team management skills may not be required. skills may not be required.

MiddleMiddle Mix of tasks & strategy. Mix of tasks & strategy. KRAsKRAsdefined for jobs but loose for defined for jobs but loose for strategic responsibility. strategic responsibility. Competent Competent team management skills.team management skills.

SeniorSenior Highly strategic. Highly strategic. KRAsKRAs not sharply not sharply defined. Team management skills is defined. Team management skills is the key.the key.

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9.6 Recruiting Across levels9.6 Recruiting Across levelsSources of RecruitmentSources of Recruitment

Junior Junior Print Ad, Recruitment firm Print Ad, Recruitment firm --Emphasis on costs, Job portals, Emphasis on costs, Job portals, WalkWalk--in, Job fairs, Referrals. in, Job fairs, Referrals.

MiddleMiddle National Print Ad, Executive National Print Ad, Executive search firms, Job portals, search firms, Job portals, Referrals .Referrals .

SeniorSenior National Print Ad, Retained National Print Ad, Retained search firms, Web 2.0 processes, search firms, Web 2.0 processes, Selective job portals and Selective job portals and referrals.referrals.

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9.6 Recruiting Across levels9.6 Recruiting Across levelsSensitivity /ConfidentialitySensitivity /Confidentiality

Junior Junior Medium to low. Medium to low.

MiddleMiddle High to medium.High to medium.

SeniorSenior Extremely highExtremely high

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9.6 Recruiting Across levels9.6 Recruiting Across levelsInitial ShortInitial Short--listinglisting

JuniorJunior [Aptitude, Skill] Tests, [Aptitude, Skill] Tests,

Educational qualificationsEducational qualifications

MiddleMiddle Resumes, Career progression, Resumes, Career progression,

Career achievements.Career achievements.

SeniorSenior Resumes, Career progression, Resumes, Career progression,

Career achievements Career achievements

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9.6 Recruiting Across levels9.6 Recruiting Across levelsSelection MethodsSelection Methods

JuniorJunior Group discussions, Assessment Group discussions, Assessment centres, Tests of aptitude, centres, Tests of aptitude, personal [panel] interviews.personal [panel] interviews.

MiddleMiddle Tests of aptitude & Tests of aptitude & achievement, Work simulation achievement, Work simulation tests, Multiple levels of tests, Multiple levels of personal interviews.personal interviews.

SeniorSenior Tests of Tests of achievement, Work achievement, Work simulation tests, Multiple simulation tests, Multiple levels of levels of personal personal Interviews.Interviews.

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9.6 Recruiting Across levels9.6 Recruiting Across levelsVerificationsVerifications

JuniorJunior Background screening, Background screening, Academic references, Academic references, Medicals.Medicals.

MiddleMiddle Background screening, Background screening, Professional references, Professional references, Medicals.Medicals.

SeniorSenior Background screening, Background screening, Professional references, Professional references, MedicalsMedicals

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9.6 Recruiting Across levels9.6 Recruiting Across levelsSpecial CareSpecial Care

SeniorSenior Handling with finesse Handling with finesse Head hunter & not placement Head hunter & not placement firm / portalfirm / portalNeutral venue for meetings /Neutral venue for meetings /interviewsinterviewsVery senior level Very senior level interviewer.interviewer.Questions asked by the Questions asked by the candidate assume importance.candidate assume importance.

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9.7 Global Recruitment 9.7 Global Recruitment With globalization of economy, Indian With globalization of economy, Indian

companies are opening offices all over companies are opening offices all over the world. Indian recruiters have to be the world. Indian recruiters have to be ready to recruit at such overseas ready to recruit at such overseas locations. This requirement cannot be locations. This requirement cannot be fully met by transferring persons from fully met by transferring persons from India. Plus local laws at these India. Plus local laws at these destinations require a certain % of destinations require a certain % of employees working there to be from the employees working there to be from the country of operation.country of operation.

The recruitment process inherently remains The recruitment process inherently remains same for global recruitment, except same for global recruitment, except dealing with global sensitivities is an dealing with global sensitivities is an additional factor affecting the process. additional factor affecting the process.

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9.7 Global Recruitment 9.7 Global Recruitment Global recruitment is not limited to Global recruitment is not limited to

recruiting from the country of origin or recruiting from the country of origin or operation, but selecting the best operation, but selecting the best candidate through search that is world candidate through search that is world wide.wide.

Guidelines :Guidelines :--* * use local & global recruiting firms.use local & global recruiting firms.* * campus recruitment strategies must campus recruitment strategies must include partnership with colleges across include partnership with colleges across the globe.the globe.* * fully consider cultural differences and fully consider cultural differences and the recruitment laws in various the recruitment laws in various countries.countries.

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9.7 9.7 Global RecruitmentGlobal RecruitmentGuidelines :Guidelines :-- contd.contd.

* * establish the prevailing labour establish the prevailing labour conditions by using government reports.conditions by using government reports.* implement applicant tracing system that * implement applicant tracing system that can be used globally.can be used globally.* * ensure that recruitment ad focuses on ensure that recruitment ad focuses on global nature of the business.global nature of the business.* strengthen recruitment effort by hiring * strengthen recruitment effort by hiring retired government officers with retired government officers with considerable overseas exposure.considerable overseas exposure.* Train recruitment team in local * Train recruitment team in local culture, business practices and even, culture, business practices and even, languages. languages.

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9.8 9.8 Measuring the Success of Recruitment StrategyMeasuring the Success of Recruitment Strategy

To evaluate the success of the talent To evaluate the success of the talent acquisition team and strategy, acquisition team and strategy, recruitment metrics need to be used.recruitment metrics need to be used.

Such metricsSuch metrics** demonstrate actual value of the demonstrate actual value of the recruitment process employed.recruitment process employed.* supply vivid picture of the costs * supply vivid picture of the costs incurred; andincurred; and* outcomes from these costs; and* outcomes from these costs; and* a snapshot of how the whole * a snapshot of how the whole organization has changed over time.organization has changed over time.

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9.89.8 Measuring the Success of Recruitment Measuring the Success of Recruitment StrategyStrategy

Such metricsSuch metrics

** must be predictive and actionable.must be predictive and actionable.* should indicate trends* should indicate trends* be tracked over a time to provide * be tracked over a time to provide internal benchmarks and analysis of internal benchmarks and analysis of performanceperformance* should include both quantitative and * should include both quantitative and qualitative aspects. Time and costs qualitative aspects. Time and costs constitute the first and productivity, constitute the first and productivity, retention, efficiency and candidate retention, efficiency and candidate performance the latter aspect.performance the latter aspect.

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9.8 Measuring the Success of Recruitment 9.8 Measuring the Success of Recruitment StrategyStrategy

Commonly used metricsCommonly used metrics

** Cost per Hire.Cost per Hire.

* Time to fill measurements ; TAT. * Time to fill measurements ; TAT.

* Performance / quality of hire. * Performance / quality of hire. ––assess new recruit after 6 / 12 months assess new recruit after 6 / 12 months on preferred criteria on a scale of 1 on preferred criteria on a scale of 1 to 5. to 5.

* Manager Satisfaction * Manager Satisfaction –– obtain feedback obtain feedback from managers involved in the process.from managers involved in the process.

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9.8 Measuring the Success of Recruitment 9.8 Measuring the Success of Recruitment StrategyStrategy

Commonly used metrics Commonly used metrics –– contd.contd.

** Source of Recruitment. The yield.Source of Recruitment. The yield.

* Referral Rates. This is the short * Referral Rates. This is the short listing [by recruiter] to selection [by listing [by recruiter] to selection [by line manager] ratio.line manager] ratio.

* Candidate Satisfaction. Through * Candidate Satisfaction. Through employee survey. employee survey.

* Pipeline Development. Number of * Pipeline Development. Number of potential candidates for key positions. potential candidates for key positions.

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9.9 Recruitment Process Outsourcing 9.9 Recruitment Process Outsourcing -- RPORPORPO is a form of business process RPO is a form of business process

outsourcing [BPO] where an employer out outsourcing [BPO] where an employer out sources or transfers all or a part of its sources or transfers all or a part of its recruitment activities to an external recruitment activities to an external service provider.service provider.

When entire activity is out sourced the RPO When entire activity is out sourced the RPO providers manage the entire recruiting providers manage the entire recruiting process from job profiling through the process from job profiling through the onon--boarding of the new hire, including boarding of the new hire, including staff, technology, method and reporting. staff, technology, method and reporting.

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9.9 Recruitment Process Outsourcing 9.9 Recruitment Process Outsourcing -- RPORPOA properly managed RPO A properly managed RPO

1] improves TAT, 1] improves TAT,

2] increases quality of candidate pool, 2] increases quality of candidate pool, 3] provides verifiable metrics, 3] provides verifiable metrics,

4] reduces cost and 4] reduces cost and

5] improves government compliance. 5] improves government compliance.

Compared to RPO, temporary, contingency and Compared to RPO, temporary, contingency and executive search services are more executive search services are more analogous to outanalogous to out--tasking, cotasking, co--sourcing, or sourcing, or just sourcing. just sourcing.

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9.9 Recruitment Process Outsourcing 9.9 Recruitment Process Outsourcing -- RPORPORPO needs to be managed diligently as RPO needs to be managed diligently as

1] If the recruitment strategy is not 1] If the recruitment strategy is not correctly defined , RPO may fail to correctly defined , RPO may fail to meet companymeet company’’s needs.s needs.

2] Continuous monitoring required to 2] Continuous monitoring required to ensure results.ensure results.

3] Costs of RPO may exceed those of 3] Costs of RPO may exceed those of internal recruitment department.internal recruitment department.

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9.9 Recruitment Process Outsourcing 9.9 Recruitment Process Outsourcing -- RPORPO

4] Relying on a single agency 4] Relying on a single agency eliminates benefits of competition among eliminates benefits of competition among recruitment agencies.recruitment agencies.

5] RPO cannot help if Organization is 5] RPO cannot help if Organization is perceived negatively by potential perceived negatively by potential employees.employees.

To sum up organizations with efficient To sum up organizations with efficient hiring process that are viewed as hiring process that are viewed as employers of choice by potential employers of choice by potential

staff may stand to gain staff may stand to gain negligible benefits from RPO. negligible benefits from RPO.

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9.109.10 SummarySummary““Strategy without tactics is the slowest Strategy without tactics is the slowest

route to victory. Tactics without route to victory. Tactics without strategy is the noise before defeat. [Sun strategy is the noise before defeat. [Sun Tzu]Tzu]

It is imperative that the recruitment It is imperative that the recruitment strategy suits the organization needs . strategy suits the organization needs . Strategy needs to be dynamic. The Strategy needs to be dynamic. The recruiting model is as important as any recruiting model is as important as any other facet of business. If the strategy other facet of business. If the strategy is not devised properly, it is difficult is not devised properly, it is difficult to achieve business goals.to achieve business goals.

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9.109.10 SummarySummary

Growing organizations need Growing organizations need

to remain competitive and to remain competitive and

cannot afford to undercannot afford to under--invest invest

in talent acquisition in talent acquisition

resources or tools. resources or tools.

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This brings us to the end of our This brings us to the end of our 99thth session!session!

Nest we move to session TEN on Nest we move to session TEN on ““Offer of EmploymentOffer of Employment””

Contained in the Chapter 10Contained in the Chapter 10Best Luck!Best Luck!