EXECUTIVE RECRUITMENT

Reasons for Outsourcing Recruitment
By Regina Alvarez

Recruiting is the single most expensive function for most corporations’ human resource division. With complaints about quality from hiring managers, companies hope to improve with third party assistance.   

Companies have begun to increase their investment in recruitment solutions and technology, mainly because attracting and retaining quality talent are two critical aspects for their success. 

Recruitment Process Outsourcing (RPO) is a form of Business Process Outsourcing (BPO) where an employer entrusts all or part of its recruitment activities to an external service. Human resource is a term which in most organizations encompasses a company’s workforce performance, employee relations, and resource planning. Basic functions would entail, among others, hiring, firing, training, and other issues directly or indirectly related to the personnel of every organization. It is responsible for employee selection, development, evaluation, compensation and employee relations.

The role of Human Resource management is being increasingly affected and reshaped by the growing diversity of the workforce, multinational and local financial packages, and legal/ethical issues. The Human Resource department of an organization is continuously and consistently being challenged with balancing its responsibilities towards the organization it serves as well as the entity of which it is an integral part of the corporate world.

Recruitment or head hunting is a complex process that requires clear understanding of an organization’s corporate strategy. Organizations are composed of people, the main asset of every corporation, and Human Resource is entrusted with the responsibility of finding the best people for the jobs so that the organization can gain a competitive advantage in the marketplace.

Human Resources is effective only when it contributes to the firm’s strategic goals. Interviewing, selection, and placement are crucial parts of recruiting and knowledge of the techniques involved is very important. Hiring the wrong people can lead to consequences which may turn out to be extremely expensive.

Therefore, if recruiting is a major function, it may be in the company's best interest to have a professional recruiter take over this role. This would allow the HR department to focus on the needs and management of existing employees and concentrate more on retention and training and continuous learning and development, employee communications, workforce analysis, data records and management, job/compensation evaluation, policy and legal compliance,  administrative support, labor and employee relations, among others.