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Is the Recruitment Outsourcing Process Really Beneficial for Your Business?

March 01,2022

Something is stirring across the world of business in general and hiring agencies in particular. The trend: outsourcing. And what is it that job seekers and employers must urgently focus on? Recruitment outsourcing of course. But today, popularity is no longer the issue. What is important is that you learn exactly what recruitment outsourcing can do for your business. You must know about the true impact of hiring agencies outsourcing on your business and the reasons why you should consider hiring a reputable agency.

So, if you have been trying to figure out if the recruitment outsourcing process is indeed a good idea for your business, this article will help you make the decision.

In-House Recruitment Vs. Recruitment Process Outsourcing: How Are They Different?

In-house recruitment is a recruitment process that takes place in the company. The company itself is responsible for recruiting and hiring employees, which includes creating job ads, searching for candidates, interviewing, and evaluating candidates.

Whereas, Recruitment Process Outsourcing is a business process in which a company decides to delegate or outsource all or part of its recruitment processes to an external service provider. The company may assign the whole recruitment process to an external service provider (full RPO) or part of it (partial RPO).

Although they have different approaches to recruiting new employees, they have one thing in common: they both strive to hire top talent. So what’s the difference between them?

The most obvious difference between the two is that an in-house team works directly for your company, while an RPO firm is a vendor that helps you find and hire candidates.

The biggest difference between the two, though, is how they fit into your company’s strategy. When you work with an internal team, it’s likely integrated into your company’s long-term goals. In contrast, RPO focuses on filling specific roles at a specific time.

Hence, it may seem like there’s no clear winner when it comes to comparing RPO vs. in-house recruitment, but there are some key differences between the two that will help you decide which one is right for you:

  • RPOs are specialists

    While most RPOs serve a wide variety of industries and positions, they’re recruitment experts. They know how to get the best talent for your company, and they have the processes in place to ensure that every hire fits your hiring criteria. RPOs bring a wealth of experience and expertise to help you fill your immediate needs and prepare for future growth.

  • In-house recruiters wear many hats

    In-house recruiters might be responsible for more than just recruiting new employees. They might also have other duties within the HR department like training, payroll, or benefits administration. This means that they don’t specialize in recruitment alone, so they may not have all the knowledge and experience needed to find top talent.

How Recruitment Outsourcing Beneficial for Your Business: Top Seven Reasons That Prove It!

When it comes to recruitment, outsourcing is one of the best alternatives that a business can choose. In fact, according to a survey, 78% of companies have positive feelings towards their recruitment partners. And approximately every year, 300,000 jobs get outsourced from the US. Hence, if you are also looking to outsource your recruitment and selection needs, you must consider some benefits that your business can derive from this process.

  • Enhances Decision Making Based on Actionable Data and Insights

    Recruitment outsourcing companies have established processes that are designed to deliver quality results. These processes can provide you with actionable data and insights to make better business decisions with these processes in place. They have all the necessary tools to track and monitor employee performance in all aspects of recruiting, including candidate sourcing, onboarding, and retention.

  • Leverages Psychometric Testing and Performance-Based Assessments

    Psychometric tests are one of the best ways to evaluate a candidate’s skills and capabilities before hiring. These tests give you an insight into their personality traits and behavioral patterns. You can figure out their strengths, weaknesses, and areas of interest. The test also helps you identify whether a candidate will perform his job efficiently and effectively or not.

    So, recruitment outsourcing agencies use psychometric tests to screen candidates and provide you with quality candidates who are perfect for your job role.

  • Automates the Screening Process Through AI-Based Solutions

    With recruitment outsourcing, you can automate the screening process through AI-based solutions. The agencies have their own set of AI-based tools and software to help you with candidate screening. You don’t have to go through hundreds of applications manually before selecting one candidate for the interview process. Hence, saving you time and effort in finding an ideal match for your organization’s requirements.

  • Helps in Lowering Employee Turnover Rate

    One of the biggest challenges every organization faces is the high employee turnover rate. Many companies, who do not have a proper recruitment system, face this problem more often.

    If your company faces this problem, you must consider outsourcing your recruitment needs, as these agencies have extensive experience in the recruitment industry. That can offer excellent advice on getting the right people for your business, which eventually helps you lower your employee turnover rate by finding suitable candidates for your open positions.

  • Optimizes the Available Resources

    Most businesses do not have the luxury of a dedicated resource for hiring. You cannot hire a dedicated HR professional or a recruiter just for one or two requirements. At best, you would share them between different departments, and sometimes they would be working on other functions of HR as well.

    Outsourcing your hiring allows you to access domain experts who can assist in sourcing, screening, and interviewing candidates without having to shoulder the cost of hiring an in-house team.

  • Ensures Cost-Effective Recruitment Process

    Recruitment outsourcing ensures that you have a cost-effective recruitment process. Recruitment agencies can help you with different aspects of recruitment and help you save money on advertising and searching for new candidates. As a result, you will be able to spend less on your HR department and focus on the core functions of your business.

  • Offers Scalable and Personalized Solutions

    Many companies face the issue of fluctuating job requirements throughout the year. The work can increase or decrease, depending on the projects. But it is challenging to create a team each time the recruitment needs change. This is where recruitment outsourcers can come in handy. They offer scalable solutions that cater to your changing needs and ensure high satisfaction among employees.


Completing a recruitment outsourcing process can be a huge win for your business. But to make that happen, you need to partner with the best in the industry. Many companies promise you the world but don’t deliver. Collar Search has the expertise and experience to assure you of its commitment and ability to provide the results you need. We help their clients identify specific candidate requirements to create detailed talent acquisition strategies that support their overall business strategy.

Employ the services of Collar Search today for Perfect Recruitment Outsourcing Solutions.