Why companies outsource their requirement to consultancies even though they have separate dept for recruitment? - CiteHR
Rajat Joshi
Hr Consulting ,trainer -creative Thinking
Anilanand
Service
Kavuri
Recruiter - It/non It
Bnair
Hr Manager

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Hi to all, Why companies outsource their requirement to consultancies eventhough they have seperate dept for recruitment and have access to corporate job sites :?: Kavuri :)
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Dear Kavuri,
Companies usually outsource employees in the post of receptionists/office assistants/ recruitment officers etc for the following reasons,
1. The core competency of the employee is different from the company's business philosophy
2. The attendance of that particular employee is vital and his/her absence causes disturbance in job flow. In this case a replacement is opted from the consultantcy.
3. To eventually retain the best work force , outsourced employees whose job performance is not satisfactory can be easily replaced through the consultancy.
4. When the employment is only for a short period.
Dear kavuri

In the present day scenario companies do outsource their requirements to consultancy services even though they have access to corporate job sites as well as the recruitment staff / department is existing. The reasons are based on company to company but the following are the following in general reasons for the above.

1. Recruitment is a lengthy process. If you follow the process of calling application for recruitment through publication of requirement in Newspaper or weekly magazines, it again involves a number of sub excercises e.g

a) Selection of Newspaper / magazine.

b) Designing of Advertisement.

c) Contents of advertisement .

d) Language to be used.

e) Font to be used.

f) Assessment of circulation of newspaper or magazine.

g) Cost of Advertisement. etc.

Besides the above there are other hidden factors which generally put a company in a fix, if they follow the above procedeure. These are

a) You have to wait for receiving the response till the time you have mentioned in Advt.

b) Sorting of applications of potential candidates. By going through each and every CV you received.

c) Prepration and dispatch of interview call letters.

d)Call to senior officials of company for undue recommendation of particular candidate.

e) Undue pressure from all other sources.

Further you have to make arrangements for called candidates with respect to their sitting on office , Lunch , Hotel facility etc. Even after that you are not sure how many candidates will appear for the interview.

THis lengthy time consuming excercise has ben taken over by Consultants specialized in this field. When you put forward your requirement to to consultants, then you become very specific. Your words become small for your big requirements e.g when we put forward our requirement, we do this and mention to consultant

a)Candidates required for Post

b) Qualification with Experience for -- No. of years.

c) Exposure to specific field or from specific field.

d) Experience of particular type of company / trade.

e) In between age group.

f) We will pay between ...... to .......

g) - No. of Candidates required for interview on .................

In this case consultant has taken over much of the company's work. Agency will do the preliminary interview and forward only candidates who fits the requirement and you receive candidates on specified date for finalisation of best among the shorlisted and recommended by consultant.

You see how easy it looks and it is easy also.

2. Another reason may that the manpower available for above excercise is not very competent and trustworthy.

3. Management wants to save time and also wants to complete the recruitment excercise with candidates from specific trade / field.

4. Consultants are specialized and have bigger data bank. They take care of every requirement.

5. It is cost effective and also guaranteed for specific period by some consultants.

6. It saves all the sub excercises involved in recruitment.

7. In a single Payment to consultant other accounting entries such as reimbursement of travel expenses or other allied expenses to candidates are saved and it saves time of seniors also.

8. Consultant can provide latest industrial trend and other valuable knowledge.

I belive these are common reasons for approaching a consultant by a company.





Regards

Anil Anand
Dear Anand,
Thank you very much really you have given valuable information. Mr. Anand can you tell me how far a consultant can wait for feed back from Clients for the profile the consultants have sent to Client. Whay iam asking this question is iam working in a consultancy. Some of the Clients never give quick feed back, some times they take 3-4 months also.
Dear Kavuri

Since you yourself is a consultant, then you have to understand the psychology of your client. every individual works in his / her way but organisations always work in goal oriented ways. I suggest you to consider the following :

1. Every requirement which has been forwarded to you by a client need to be evaluated very seriously. Be thorough and specific on the requirement.

2. You have to visualize the requirement and person who will handle the job.

3.Basics of job profile must be clear to you before you proceed.

4.You need to discuss the requirement with your client in brief but very specifically.

5.Your data bank should be made in such a manner that matching

data should only be available.

6. Provide information to your client in a manner which gives maximum out put and takes minimum time.

7. Do not forward vaguely matched resumes. It gives very bad impression and also effects credibility.

8. Come forward and discuss with your client after you do not receive response from the client. Help him to sort out his difficulties. You are being paid for your services and it is your service which will help the client to concentrate on other major issues.

9. Make your client dependant by providing best services and best knowledge but at the same time you need to update yourself also.

10. If possible do prelimery interview at your office premises and help candidates with good interview tips.Keep in mind they are your product and you are going to earn from them.

11. If your client is not responding ,Follow up and regular in touch are best marketing stratergies to be supported by best product. I am sure if all above components are available the product can be sold like hot cakes.

Good luck

Anil Anand
Dear Anand,
We thank you for taking time out of your busy schedule & sharing your valuable experience..indeed your answers to this post was excellent & well thought out!!
Great Keep it up!!
Cheers,
Rajat
It seems you are talking about RPO (Recruitment Process outsourcing), then I will tell their work in brief. RPO becomes partner in recruitment. There are general steps -
- RPO team sits with employer to decide JDs (job descriptions).
- RPO sources relevant candidates for the post (from portals, databases, referrals etc.).
- RPO filters profiles as per pre-decided guidelines.
- Technical Interviews: RPO waits for availability of team from employer to take interviews of filtered candidates. This is the bottle neck. But, nowadays this problem is solved by Interview outsourcing companies. Read to understand why to outsource interviews. Visit CANGRA Talents (https://www.cangra.com)to know their interview outsourcing solution.
- HR Interview: After technical assessment and filtering, best candidates come to HR round(by employer).
- Salary negotiation and Offer letter: RPO helps in salary negotiation with selected candidates and release offer letter.
- Optional Payroll management: Some RPOs take employees on their payroll and manage their growth in future. This reduces employer’s responsibilities to some extent.
Hope you understands the process of RPO.
Benefits of Interview Outsourcing: https://www.cangra.com/why-to-outsource-interview.html
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