RPO recruitment models
The following RPO recruitment models are available:
End-to-end RPO - this is where companies outsource the full recruitment lifecycle for a specific market, country, region or division.
It is the most complex RPO recruitment model to implement, but can lead to the greatest savings and best hiring outcomes.
Project RPO – this RPO recruitment model would see a company engage a provider for a specific need or project, e.g. the opening of a new office.
Project RPO is an effective RPO recruitment model if you need the benefits of an end-to-end approach for a defined project, but want to maintain internal recruitment capabilities for day-to-day hiring.
Managed Service Programme (MSP) and Total Talent – as organisations increasingly make use of the contingent workforce, many are looking for specialist expertise to help them attract and manage non-permanent resources.
This can be taken one step further by combining contingent and permanent workforces, and creating a Total Talent approach.
Selective RPO – this addresses specific parts of a company’s internal recruitment process.
With selective RPO, organisations receive best practices for those specific services, such as the screening process.
Recruiter on demand (ROD) – this RPO recruitment model allows recruiters to help address spikes in hiring or new business initiatives.
Contingent ROD provides greater agility to bring additional recruiting resources in quickly, helping companies meet business demand at speed.
RPO pricing models
Economies of scale are key to RPO arrangements, with cost reduction and quality enhancement at their heart.
Each RPO recruitment model comes with different pricing frameworks and structures in place to make sure each solution aligns with the most important objectives.
In an end-to-end solution, you would usually guarantee a minimum volume of hires to provide a baseline cost, with an incremental charge added for each placement.
A project RPO model may be similarly priced but, as the scope and volume are usually well defined, a provider may be able to provide a more specific estimate.
Selective RPO fees can be determined by volume or for specific projects, but what is common in all RPO recruitment models is that costs tend to be lower.
The hybrid approach to RPO
Hybrid RPO recruitment models are commonly used, helping you and your supplier reach specific objectives.
With a hybrid RPO recruitment model, a provider complements an organisation’s recruitment process via a dedicated team of recruiters who will live and breathe that company’s culture.
This solution brings great flexibility, allowing for talent acquisition activity to be scaled up.
Staff augmentation vs RPO
Staff augmentation offers the addition of a recruiter to an existing team who would not work independently, but under the direction and supervision of your client.
Though very different to an RPO solution, staff augmentation is a great starting point if you’re looking to see the value of recruitment outsourcing.
After understanding the value of the service and strategic orientations of an RPO provider through staff augmentation, this will enable you to understand the benefits of a more robust, longer-term outsourcing arrangement and the value it can add to your organisation.