Recruitment Process Outsourcing (RPO) has been loosely defined to name several traditional recruitment outsourcing solutions, including recruitment contractors or employment agencies. True RPO differs from both in several ways.
The term RPO defines outsourcing the entire recruitment department, including people, technologies, infrastructure and processes.
One of the key differences is that similar to your employees, recruiters in the RPO solution report to you and provide key performance indicator reports. Traditional outsourcing solutions price their offering based on a percentage of the new hire’s salary, hourly consulting fees or bonuses, which can be variable and add up to a substantial sum.
Contrarily, RPO is a fixed cost solution, like employee salaries, and gives greater control to HR managers and better forecasting of recruitment spending.
In summary, true RPO is a fixed cost solution, which offers expertise, advanced recruitment automation technologies and best practice methodologies, all without any loss of control.