Most RPO relationship failures are directly related to something structural, procedural, or contractual. More specifically, these are six of the main reasons that RPO relationships typically fail:
- Process Mismatch
One of the biggest reasons that RPO relationships fail is that a company has a process for recruiting and hiring that focuses on the process itself and not the hiring. Hiring processes should focus on the two important players in the process – the hiring manager and the best possible candidate. The rest is just hinderance
- Lack of Top Level Involvement
No matter the type of RPO relationship, Top Management Involvement and belief in the RPO engagement is essential. When the relationship is not managed by an executive who can oversee and adopt processes and changes necessary for the RPO relationships success, the relationship fails.
- Lack of internal co-ordination
One thing that successful RPO providers will do when entering into a relationship or engagement is to determine the level of engagement and involvement of the internal hiring managers and interview teams. Failure results when these internal resources are not appropriately engaged into the recruiting and hiring processes.
- Treating RPO as a commodity and going for the lowest bidder.
RPO is not a commodity, and trying to go for up-front savings in an RPO engagement can have negative long-term consequences. The lowest cost provider won’t do the best job, and what you save on the initial RPO investment you will lose when the results of the engagement aren’t what you need. Who you hire and your recruiting function is directly tied to your success or failure as a business. RPO is not an area that you want to skimp on.
- Lack of Vision and success measuring Indices
For an RPO engagement to be successful, companies and RPO providers alike need to go into the relationship knowing what success looks like. Once that goal is determined, there needs to be a way to measure whether or not it has been achieved.
RPO can be a huge advantage to your HR and recruiting functions, and to your company as a whole. However, this can only happen when the relationship is a true partnership, with buy-in and engagement from client company’s executives and internal resources, processes and technologies that are tested and appropriate for the situation at hand. When these items are in place and goals are identified and incentivized, recruitment process outsourcing can function as an extension of a client’s own team, returning results in the form cost savings and great new hires.