Global RPO Market Size Projected To Grow 17% By 2027
The global Recruitment Process Outsourcing (RPO) market is projected to grow at a compound annual growth rate of 17% to reach $21.69 billion by 2027, according to a new report. The two main factors driving the market growth are the need for an efficient recruitment process and to reduce overheads. Recruitment Process Outsourcing (RPO) service providers perform a number of tasks from candidate sourcing to recruiting quality selection and retention.
The cost reduction by streamlining the hiring process is notably driving the market growth. To constantly add business value and to cut operational costs wherever possible, Recruitment Process Outsourcing is required. Therefore, to reduce the cost per hire, companies are actively approaching RPO firms. When a business expands into another product category or another geographic region, recruiting needs to rise considerably. Consequently, during downturns, reduction of the workforce also needs to be done. Such imbalances can incur high costs for any company. RPO partners help to streamline the hiring process to reduce such market imbalances.
An RPO Partner can help you recruit top talent
The outsourcing of the recruitment process gives companies scope to share the price-associated risks with the RPO partner. The RPO solution provided by 360 Talent Avenue can help provide companies with on-site/off-site recruitment teams, qualitative and quantitative reporting solutions, applicant tracking systems, and vendor management services. Therefore, the need for various organizations to reduce their operating costs by streamlining the hiring process is expected to fuel the growth of the global RPO market during the forecast period.
To improve their skills, RPO’s use the latest technology for candidate sourcing. This includes self-scheduled interviews, and employee reference checking to streamline strategic workforce planning. In many cases, a service provider, such as 360 Talent Avenue, fully acts as a company’s talent acquisition department and provides a complete recruiting solution. Screening candidates, extending offers, and advertising/posting jobs are important stages of the recruitment process mostly covered by RPO services. RPO services are quickly becoming more common because they allow the client to focus on its core business while significantly reduce overhead costs.
RPO providers are unmatched in their ability to find and deliver quality talent to businesses due to the expertise of their recruiting staff. The best service providers invest heavily in training. Hiring managers must also have a positive experience. RPO providers achieve this through transparency, regular reporting and unrestricted access to recruiters. This, in turn, promotes the growth of the recruiting process outsourcing market.
How an RPO can help your company cut costs
Another major benefit of an RPO partnership is that it reduces the time it takes to find great talent. The longer the position is open, the more money or opportunity costs a company loses. The ability of RPO providers to reduce turnaround time is due to a combination of industry knowledge, technology and recruiting skills. A common mistake when calculating talent acquisition costs is to only consider costs associated with departmental budgets. It ignores the hard and soft costs hidden in cost centers and lines and must be taken into account when calculating total cost savings. RPO providers can significantly reduce costs by eliminating waste and improving overall organizational efficiency. This, in turn, promotes the growth of the recruiting process outsourcing market.
More and more small to medium-sized companies are turning to RPO services to move from traditional HR activities to strategic decision-making processes. RPO is growing in popularity as companies invest even more in talent acquisition and workforce planning to cover human resources.
360 Talent Avenue provides you with more than just a recruiting process by meeting your business strategies demands with recruiting solutions. You are given the opportunity to leverage our platforms, and experiences in conjunction with the best active search strategies. 360 can optimize your recruitment and hiring difficulties. We create a tailor made plan to specifically address the best practices that will add value to your organization. This will help execute your long- and short-term recruitment strategies to develop and deliver top talent. Contact us today to learn more about our RPO services.
Request a Call.
As your research and development partner, 360 is equipped to practically apply all industry knowledge into a plan that produces tangible results. Let us create a customized solution for you.Get Started