Would you want to reduce recruiting costs by 35%? Recruitment Processing Outsourcing does just that. Through recruiting analytics, strong candidate pipelines, proper sourcing, and reduced turnover, RPO frees up time and resources, allowing companies to focus on other high-priority initiatives. This is especially important when businesses may be experiencing budget decreases. Read on for a guide to RPO pricing and how it can save you money.
Recruitment Process Outsourcing pricing is usually based on a monthly management fee to manage the entire hiring function, but may also include some transactional fees such as cost-per-hire, cost-per-slate, or cost-per-transaction.
The first step to better recruiting is to understand exactly what it is costing you. Successful in-house recruiting costs assets like people, time, and money. This is especially true when hiring is decentralized and disorganized. The more your team is focused on recruiting, the less time they are focused on their core business functions. Resources used from other areas of the company, onboarding and development, quality of talent, and internal employees are all negatively impacted when recruitment costs climb.
In all, hiring a new team member costs far more than you might think. Both internal and external resources affect your cost-per-hire, making it an important recruitment metric to track for your in-house recruiting. Calculate your cost-per-hire here to better understand your recruiting budget needs and how RPO could stretch that budget even further while providing many advantages.
Recruitment Process Outsourcing reduces recruiting costs due to the fact that the services built into the scope of the engagement are generally rolled into a single cost. This allows companies to create a budget and forecast for future hiring needs. Typically, this fee typically ends up costing 60% to 75% less than the cost of engaging a traditional staffing firm.
As you can see from the Cost-per-Hire calculator, it is easy to get nickel-and-dimed when handling recruiting in-house. Each step in the process quickly adds up, especially when being handled by different people using different processes.
Another cost benefit is that with RPO you only pay for the services you are utilizing at the time. This scalability means you can predict your costs based on the complexity of your needs as opposed to being financially obligated to a fixed cost all the time.
Recruitment Process Outsourcing is a completely tailored talent solution. Whether you choose Enterprise, Project, or need Contingent RPO, outsourced recruiting offers significant cost savings thanks to scalability and customization. While most models utilize a monthly management fee, this fee can change depending on the agreement and variable factors like the number of hires needed. Enterprise RPO usually lends itself to a Management fee while Project RPO is often priced on a more transactional basis.
Discover the talent advantages and bottom-line wins of Orion's Recruitment Process Outsourcing (RPO). Contact us about RPO ⇓
For immediate assistance, please call Cory Kruse at (512) 904-1027.
If you have questions regarding an RPO Request for Proposal (RFP), please email Gilyn Gibbs.
Learn more about how RPO can work for your organization by viewing our guides, quizes, and other resources detailing the many facets of recruitment outsource processing.