Greetings from GroupHR!!!!
Manpower outsourcing is one of the buzzwords of these days. In practical terms, it refers to transferring a preliminary set of activities to vendors for an agreed fee. Although, in broader terms, it has large implications such as placing employees on the vendor's payroll.
In the whole recruitment process, the most time-consuming activity is sourcing profiles for a defined skill set. This is where manpower outsourcing chips in. They provide you with the best possible profiles from various sources so that the company can concentrate on more meaningful things such as the interview of a limited number of candidates for a defined skill set.
In the bargain, vendors charge a certain fee which may vary according to the hierarchy level and the reputation of the firm. However, there is a market rate of 8.33% of CTC + applicable taxes if the vendor is small or medium-sized. Such a fee is payable upon the candidate sourced by the vendor joining the organization, and there is also a minimum stay period which, if not met, implicates a reversal of the fee.
While choosing a vendor, one can keep certain points in mind such as:
1. The vendor has enough competence to source profiles.
2. It should have prior experience, and if that is not there, the vendor should exhibit knowledge about your industry.
3. Should have a team of recruiters, etc.
As far as steps are concerned, it is nothing more than signing a contract with the vendor.
Hope this will help you.
Do respond.
Regards,
Team GroupHR
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