When you've spent years developing and growing your business, letting go and letting someone else take the reins of something like your recruitment is a challenge - but here’s why you should do it anyway.
Outsourcing your recruitment can help you achieve business growth at a reasonable cost. It eliminates the cost of having an in-house recruitment function.
And of course, there’s the cost of the in-house recruiters themselves. On average, your business would need two in-house recruiters to be effective. Even if you hire entry-level recruiters, you still have to front substantial costs like:
- Recruitment time
- Onboarding time
- Sick days, training and assessment days, courses and holidays
- Management and support time, bonuses and employee benefits
Taking all those costs into account, the actual cost of one recruiter is at least 2.5 times the basic salary as a minimum – and that’s without really taking all your overhead and reinvestment costs into consideration.
But, here’s the thing – outsourcing your recruitment isn’t just about saving money, it can help you better manage your other costs, improve the efficiency and it lets you focus on running your business.
Better Cost Management
Cash-flow, not cash itself is the real king in the world of small-medium enterprise. That’s why for an SME, outsourcing some functions like talent acquisition can help keep your business afloat.
Random and unexpected expenses can cripple a small business and companies with internal talent acquisition can find it difficult to manage their finances. Outsourcing your recruitment makes it easier for you to keep cash flow positive because it’s a consistent and controlled monthly expense. You can work with your recruitment partner to develop a support plan that fits your budget, and they will help you manage your spend.
If your company doesn’t specialize in recruitment, your in-house team are more likely to make mistakes. From the beginning, outsourced recruitment services can bring their experience to bear. They know their methods and know the most prudent and effective ways to identify and onboard talent. Outsource to experts who can advise you on best practices.
Better Use of Your Talent and Resources
In business time is money. If you spend all your time handling recruitment related issues you get nothing done. All the while your competitors are focusing on their product, customer services or marketing which can see them dominate your market.
Outsourcing your recruitment makes better use of your resources by improving efficiency. This makes sense given the rapid pace of the recruitment market and the link between improved efficiency and productivity. If you don’t keep up, your business might fall behind.
This is difficult to achieve if recruitment isn’t your day job. Even if you have one person in charge of all recruitment they won’t be able to handle every situation while improving recruitment capability.
Outsourcing your recruitment allows you to make better use of your resources. You can be more efficient while receiving all the help and innovation needed to improve recruitment outcomes. This allows you to spend more time and energy on the things that matter, like growing your business.
Access to Market Expertise
67% of UK companies are planning big data or analytics projects in the next year. But 70% of executives say they are struggling to find the talent able to do this.
If your business could benefit and grow through data insights, you should use outsourced recruitment services. They can provide access to technology and market insights previously unavailable to you, allowing you to understand the availability of talent, compensation and stay competitive.
Management will always be one of the most important things within a business, there’s no denying that. But that doesn’t mean you have to do everything. The peace of mind found through outsourced recruitment support allows for better cost control, increased efficiency, and access to expertise which can benefit your business.