Recruiting in China

It is estimated that 85 percent of all U.S. companies outsource some of their human resources functions, most notably those dealing with employee recruitment, called recruitment process outsourcing (RPO).

Can human resources outsourcing (HRO) and its more specialized technique of recruitment process outsourcing (RPO) be of use here in Gwinnett? Absolutely. Experts say it's the way of the future, and if you're not on board with it now, you should be.

HR outsourcing allows companies to focus on their particular areas of expertise and their bottom line while relying on HRO specialists to take care of some or all of the functions of the company's HR needs, without the necessity of having an on-site HR staff within the company.

Employee benefits, hiring, training, administration, payroll and even total on-boarding of new hires can be monitored by HROs. Business owners need no longer worry about open enrollment periods or benefits paperwork when they have off-site specialists to do this job for them. Employees need only call an 800 number or visit the appropriate HRO Web site to answer questions they may have. While this may be tough to get used to at first, most employees grow to love the service.

One of the fastest-growing sectors of HRO is recruitment process outsourcing (RPO), where specifically only the hiring and other recruitment processes for a company are outsourced to an RPO specialist. What makes RPO different from an executive recruitment firm? A few key functions:

First, typically (but not always) RPO recruiting is for a temporary (long or short-term) job situation. Basically, it's a "pay as you go" service, thereby allowing for cost benefits to the employer. In a seasonal business, for example, RPO can obtain the qualified talent you need for the time you need it.

Next, RPO is a measurable, or scalable, process. An updated version of employee leasing, an RPO specialist acts as a partner in the growth of a company's bottom line. All recruiting, training and paperwork for the company's RPO hires are handled off-site by the RPO provider. The RPO model is methodologically modeled to be scalable. In the event of a sudden need for talent, say a company is launching a new product, or a company is opening a new division, or the company performs seasonally, the formula for talent created by the RPO specialist is scalable to all potential hires of the client's company. Fifty qualified people can be hired as easily as five, all in a remarkably quick time table. RPO providers have talent from which they can draw in a short amount of time. Speed is of the essence.

Naturally, RPO rules out C-level or Board-level hires, and even most executive hires as well. Again, the HR function of recruiting, or an RPO solution, is an extension of the company for which it is being utilized, handling administrative tasks and on-boarding. As you can see, this is not the same as an executive recruitment agency, although some recruiters are currently implementing RPO models themselves.

Bear in mind, RPO is not for broken companies. It cannot act in the manner of glue or tape to mend a cracked system. Since the hires are technically under the employ of the HR outsourcer, their loyalty lies with the person who signs their paycheck and this is not you. Sometimes it may be best to call in a business consultant or even an executive recruiter and see whether a new permanent position needs to be created within your company. Generally, however, with the economy running hot, businesses are staffing up. RPO may be your answer if your employee needs are of an urgent, perhaps temporary or seasonal, mid-level nature.