Recruitment Process Outsourcing (RPO) is a mature business model in Western markets that involves outsourcing recruitment processes to specialist agencies. A typical RPO service covers 74 processes across 7 master processes. RPO aims to improve hiring manager productivity by having an RPO program office manage all interactions with agencies and clients. Costs include fixed costs based on infrastructure and staffing needs, and variable transaction costs that are optimized due to higher transaction volumes over time guided by a strict service level agreement. Savings of 15-20% in recruitment costs are estimated through streamlining hiring processes across client divisions and reducing acquisition costs while optimizing service quality.
2. Closer Look
RPO an accepted & mature business model in the West
A typical RPO service includes 7 major master processes, covering a
total of 74 processes
RPO Approach
RPO Programme offices manages all interactions with agencies and
hiring parties- hiring managers improve their productivity.
Cost consist of two elements:
fixed cost- (People/Infrastructure)- based on business needs
Variable Cost - Transaction cost optimised due to higher transaction
over time
The above would be guided by a strict SLA agreed .
Savings in the range of 15% to 20% in cost of acquisition
envisaged
3. Deliverables
The streamlining of the Hiring process across various
divisions, units of the Client
The reduction in manpower acquisition costs, whilst
optimizing service quality
Uniform Technology platform to improve efficiencies in the
hiring process and help in enhanced management reporting
To deliver the capability, via the credentials of the Best in
class technology
5. Benefits of RPO
Reduced Spend Process Optimization Compliance Assurance
Budgets Enforced
Managed
Rates/Markup
Eliminate Off-
Contract Spend
Overtime Controls
Real-time Spend
Lockdown
Automated
workflows
streamline
procurement
cycle times
Supplier
Connectivity
Efficiency through
process
standardization
Automated
Monitoring
for company &
regulatory
compliance:
SLAs, Contracts,
SOWs
Regulatory & Legal
Budget Accountability
Contract Performance
Supplier Performance
