Site Search
 
 
Hudson RPO blog
 

Advantages of a Consistent Hiring Process

Reduce Your Average Cost Per Hire

Reduce Your Average Cost Per Hire

An RPO solution provides the overall benefit of CONSISTENCY OF PROCESS when it comes to hiring for an organisation. This not only provides transparency into your recruitment outcomes, but it allows for cost savings and provides assurance that your brand is being consistently represented in the market.

Consistency in hiring and HR practices can be a challenge for companies recruiting in complex Asian markets. The MOM in Singapore has increased its commitment to ensuring locals are not unfairly disadvantaged through revised TAFEP guidelines and processes due to take full effect in August. Having reliable data from an RPO provider can provide the workforce planning insights many clients crave when adding headcount to emerging markets. Using one dependable RPO company for your hiring needs can provide peace of mind that you are in compliance with the government requirements, as well as providing a consistent message to your talent pools and internal stakeholders.

Case Study

Our client is a global investment banking and diversified financial services group, providing banking, financial advisory and investment and funds management services to institutional, corporate and retail clients around the world.

CHALLENGE

  • In Asia, the firm had an ad-hoc approach to recruitment, with some business group hiring managers going out to market directly, and other groups being supported by a mixture of HR Business Partners and dedicated Recruitment Administration staff.
  • Asia agency usage was fragmented with over 140 unique vendors and as a consequence, there was little control across costs, risk and management of the client employment brand in the local market.
  • Multi-country jurisdiction meant that there was a lack of consistency in quality of selection process and brand messaging.
  • Candidate referrals were untracked and recruitment database unmined and underutilised.
  • Third party agency spend in Asia exceeded AUD11 million, with an average cost per hire in front-office roles over five times higher than any peers.

SOLUTION

The client hired Hudson RPO and we created a solution to deliver:

  • Clear accountability for recruitment and consistent articulation of brand to market
  • Proven direct sourcing model, reducing third party reliance and spend
  • Targeted sourcing and candidate talent pipelining
  • Selection process management by trained experts in interview and assessment methodologies
  • Improved candidate experience through single contact point and consistent brand messaging
  • Improved hiring manager experience through provision of unbiased and relevant market intelligence and ‘trusted advisor’ relationship
  • Better quality hires, reduced time-to-fill and improved retention
  • Standardised reporting of recruitment metrics and analytics to measure effectiveness and drive improvement initiatives

RESULTS

  • Since implementation in March 2012, Hudson RPO’s on-site team has filled 531 positions, achieving 81% direct hiring for permanent recruitment.
  • Reduction in third party vendor usage – 2012 resourcing spend for the client’s Asian operations (including Hudson RPO cost) showed a 90% reduction vs the same period in 2011.
  • Average cost per hire is now 33% of what it was pre-implementation.
  • Hiring an employee via the Hudson RPO onsite team is 14% of the cost of hiring via a third party vendor
  • Significant reductions in the average cost per hire have been achieved. The cost to fill a vacancy is now 33% of what it was pre-implementation.
  • Active marketing of Employee Referral Program increased hires via this source from 12% to 20% of 2013 total hiring volumes, generating further cost savings of HKD4m.
  • ATS (Page Up) completely optimised to provide a platform for efficient candidate management, talent pool management, vacancy management and reporting

For more information on how your company will benefit from an RPO solution, contact Hudson RPO today.

 
 
 

Corporate Identity in Southeast Asia

Scalable Sourcing Innovation

Corporate Identity

“The war for talent is over, and the talent won.”

That’s a quote from Bersin by Deloitte’s “Predictions for 2014: Building a Strong Talent Pipeline for the Global Economic Recovery” report. The report lists the need to “reinvent and expand focus on talent acquisition” as one of the top 10 predictions for 2014. Specifically:

“As the economy improves you will need to more aggressively and intelligently source and recruit… integrate talent acquisition teams, develop a global strategy, and expand the use of analytics, BigData, and social networks. Your employment brand now becomes more strategic than ever… Today your ability to recruit is directly dependent on your engagement and retention strategy – what your employees experience is what is communicated in the outside world.”

In Southeast Asia, stiff competition exists for the best talent. It’s not only critical that you have an advanced sourcing strategy to uncover the best candidate, but also that you have a strong employer brand to attract and retain new employees. Asian candidates, in particular, hold the company brand in high esteem when selecting an employer. Combine this with the fact that Southeast Asian hiring needs can fluctuate quickly – it’s no wonder that Southeast Asia is such an exciting yet challenging market for talent.

Scalability

The bottom line with scalability is that you pay for the recruiters you actually use during downtimes, and not the full recruitment bench you need to keep during busy periods.

  • Hudson RPO has the ability to increase or decrease the number of recruiters we deploy to a client depending on their recruitment volumes.
  • As the recruitment volumes go up, we grow the number of recruiters deployed.
  • As the recruitment volumes go down, we deploy the recruiters to other solutions we manage, thereby reducing the cost for the client.

Sourcing Innovation

An advanced sourcing strategy gets into the minds’ of your ideal candidates and determines where and how best to find those candidates. The right RPO provider has internet search experts who know advanced web search techniques. The firm will also create a strategic sourcing plan that addresses the following:

TALENT POOL

  • Talent pool diagnostic & development
  • CRM & engagement strategy design

DIVERSITY

  • Diversity attraction strategies
  • Developing diversity messaging and creative collateral

SOCIAL RECRUITING

  • Social audit of current channels
  • Online & offline communication channel strategy
  • Support the development of online voice, risk management and time management strategies
  • To learn more about Hudson RPO’s Brand & Sourcing Innovation team, click here.

Strong Corporate Identity

A 2011 study of 2,250 corporate recruiters conducted by LinkedIn revealed the value of a corporate identity on the perceived employee value proposition. For companies with strong employer brands, their cost per hire was more than two times lower. And these same employers had 28 percent lower turnover rates.

The market perception of your corporate identity is the sum of what your firm offers its employees:

  • Attractive compensation and benefits
  • Values and culture
  • Learning and development
  • Stimulating work environment
  • Leadership effectiveness
  • Products, service, support and financials
  • Career diversity and promotion


An RPO solution will work with you to evaluate and strengthen your corporate brand.  Plus, working with one provider, as opposed to multiple agencies, ensures that your firm presents a consistent employer brand message to the market place.

To view Hudson RPO’s Employer Brand Engagement Model, click here.

For more information on how your company will benefit from an RPO solution, contact Hudson RPO today.

 
 
 

Hiring Manager Skills Impact Quality of Hire

Hiring Manager Skills Impact Quality of Hire

IMPROVE PRODUCTIVITY AND REDUCE TURNOVER COSTS

In the Hudson RPO/SharedXpertise Hiring for Success report, the vast majority (97%) of firms surveyed admit that measuring quality of hire is important, but remarkably more than two-thirds (69%) have not implemented a plan to do so.

The bottom line: if you want to improve productivity and reduce turnover costs, you must focus on hiring quality.

Boosts Productivity

In our Hiring for Success report, 70% of companies that measure quality of hire reported that doing so has resulted in a marked increase in productivity.

The McKinsey & Company study “Winning the Talent War in Local Markets by Staying Global” reported that quality of hire programs boosted productivity. The results were undeniable:

  • In operations roles productivity increased by 40%
  • In General Management roles productivity increased by 49%
  • In Sales productivity soared by 67%

Cuts Turnover Costs

Turnover is a drag on morale and damages team effectiveness and project momentum. In real dollars, the Society for Human Resource Management (SHRM) reports that replacing a professional-level employee costs 6 to 9 months’ of the person’s salary on average. For a manager making $40,000 a year, that's $20,000 to $30,000 in recruiting and training expenses. Hiring the right person the first time eliminates these unwanted costs.

Improves Hiring Manager Skills

In Hudson RPO & SharedXpertise’s joint quality of hire study, 61% of global HR respondents cited hiring manager skills as having a very significant impact on the hiring quality.

When selecting an RPO provider to institute a quality of hire program, bear in mind that the best programs include formal training in recruitment skills, especially interviewing techniques. Other techniques for enhancing hiring manager skills include:

  • Pairing the least skilled managers with the most skilled recruiters for co-interviewing and one-to-one coaching

Creating competition by sharing quality of hire results and other hiring metrics across relevant peer groups so hiring managers understand how they are performing relative to others.

For more information on how your company will benefit from an RPO solution, contact Hudson RPO today.

 
 
 

Search

 
 
 
 
 

GET RPO UPDATES

 
 

Twitter

 
HUDSON - FROM GREAT PEOPLE TO GREAT PERFORMANCE®

Hudson (NASDAQ: HSON) offers highly specialized professional recruitment, recruitment outsourcing, talent management and related staffing services and solutions. Hudson RPO manages the people, processes and technology associated with recruitment on a fully outsourced or project basis. A global force in talent solutions, Hudson RPO designs, implements and manages custom recruitment process outsourcing programs for mid- to large-cap multi-national companies. Hudson RPO was named in HRO Today’s 2010, 2011, 2012 and 2013 Baker’s Dozen list, recognizing the top recruitment process outsourcing providers worldwide.