On-Demand Recruiting or RPO: Selecting a Recruitment Augmentation Strategy
Recruiting is one of the most critical functions of any company, yet finding the right solution can be overwhelming. If you’re struggling to meet your hiring needs or plan for the year ahead, consider two popular options: on-demand recruiting and recruitment process outsourcing (RPO). Let’s look at these options and which is right for your organization.
On-Demand Recruiting: Fast and Flexible
On-demand recruiting is a flexible, external option for companies that need to hire employees quickly. This service acts like any other contractor – the recruiter works with you on a project or time-and-materials basis, and your interaction with them ends when the hiring project is done. The most common process includes a consultation to understand your hiring needs and obstacles, followed by a recruiter identification process, which may take just a few days.
On-demand recruiting has some unique traits that make it ideal in certain situations. For example, it supplements your internal HR roles without hiring more managers and teams. It can be used only when needed, allowing quick hires ideal for seasonal hiring and other staffing fluctuations. On-demand recruiting also provides flexible hiring processes to help you manage your budget better.
However, on-demand recruiting does have some downsides. For example, there might be no longer-term relationship outside of each project, and recruiting teams may not get to understand your culture or mission. There may be less collaboration between managers, employees, recruiters, and HR teams.
Recruitment Process Outsourcing: A Partner for the Long Term
Recruitment process outsourcing, or RPO, is an option for companies that want more control over their hiring and staffing practices and don’t mind (typically) a much longer-term engagement. These outside teams or agencies can assist you with as much of your hiring as you want, from sourcing or recruiting to consulting with your internal teams. RPO providers consult with you in a more engaged and prolonged fashion, striving to understand your current hiring processes, challenges, and goals. They collaborate with your teams throughout the talent acquisition and can provide metrics to help you continually adapt your hiring practices.
The benefits of RPO solutions include potentially better hires from understanding your employer branding and goals, a long-term partnership for all your ongoing staffing needs, and flexible, scalable benefits you can use as you see fit. End-to-end recruiting support is also a perk of RPO.
However, RPO services can be more expensive and require more involvement from your company. When you add in the agency’s onboarding, they may take longer to hire. But while they many times lock you into a longer-term contract, RPO services can also be flexible and provide scalability so you can increase or decrease their involvement. They may even be considered an official part of your team.
When to Choose On-Demand vs. RPO
On-demand recruiting is more “on or off,” like a faucet that you turn on and off depending on your hiring needs, flexing with your demand nimbly. It is ideal for those who need a quick talent volume bump or are uncertain about their longer-term hiring demand or plans.
RPO services provide scalability and longer-term stability, and you may be able to increase or decrease their involvement as needed. They are always there in some capacity and can help relieve your team of their heavy hiring tasks. RPO providers can even lend expertise to your internal processes and help analyze skill gaps.
The Bottom Line
Whether you choose on-demand recruiting or RPO services, each has unique benefits and downsides. You must consider your hiring goals and how you see them evolving over the long term. On-demand recruiting is ideal for flexible support of your recruiting function, while RPO services are more like an overall business consultant that can help your company achieve long-term goals. Choose the option that best fits your needs and budget.