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Recruitment Process Outsourcing (RPO)

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Recruitment Process Outsourcing
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Recruitment Process Outsourcing (RPO)

 

Recruitment Process Outsourcing (RPO) refers to an organization outsourcing all or portions of its recruiting process to an external service provider. RPO services can include the following:

 

  • Hiring manager training

  • Candidate research

  • Candidate sourcing

  • Recruitment automation

  • Audits and reporting

  • Compliance tracking

  • Technology consulting

  • Process mapping

  • Third-party vendor management

 

There are three types of RPOs:

 

  • Function-based RPO: The RPO provider handles certain parts of a company’s recruitment process.

  • On-demand RPO: Organizations outsource specific recruitment processes to the recruiter as needed.

  • Full RPO: An RPO provider takes care of all of the client’s recruitment funnel. 

 

Example:

 

For many organizations, outsourcing the recruitment process is a cost-effective way to bring talent on board. In other scenarios, a small company may lack the experience, skills, or time to handle its own recruitment. The employers may want to do their own interviewing but would like to outsource some of the other aspects of the recruitment funnel. 

 

Related Terms

RPO Provider

refers to a third-party company that handles recruitment process outsourcing for other organizations. RPO providers may use the client’s methodologies, technology, and staff or provide their own resources to manage the client’s recruiting process.

Business Process Outsourcing (BPO)

refers to a company contracting with a third-party service provider to fulfill non-essential business tasks. An example of a BPO relationship would be a company expanding its service offerings to other countries and providing customers in that location with a native customer service experience.
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