Recruitment Process Outsourcing (RPO) involves contracting recruitment functions to a specialized third party. The provider acts as an extension of the company's HR team, managing some or all hiring activities. This differs from using staffing agencies for individual positions.
RPO Models
RPO arrangements vary in scope. End-to-end RPO covers the entire recruitment lifecycle. Project RPO handles specific hiring initiatives. Selective RPO manages particular functions like sourcing or screening. The right model depends on hiring volume, complexity, and internal capabilities.
Benefits
RPO can reduce cost per hire, improve time to fill positions, enhance candidate quality, provide scalability for hiring fluctuations, and bring specialized expertise. Providers often have advanced recruitment technology and broader sourcing reach.
RPO vs. EOR
RPO and EOR serve different purposes. RPO handles finding and selecting candidates. EOR handles employing them compliantly. Companies expanding internationally might use both: RPO for recruitment and EOR for employment. Some providers offer integrated solutions.