RPO (Recruitment Process Outsourcing) engagements often fail because they fail to synchronize with business goals. While the whole organization aligns its strategy to changing business goals, RPO partners are often dwelling in transactions and seldom attempt to understand impact of changing business goals on their engagement leading to them being seem as a disengaged partner who needs constant direction and hand holding. For a RPO partner to engage on strategic level, it’s imperative to have in-depth understanding of its process and set their process levers aligned to business needs. This is only possible when RPO delivery metrics are aligned to business metrics which in turn are aligned to business goals and a manager constantly engages with all stakeholders to ensure everyone complies to changes needs. This effort will have in coupling recruitment performance to business performance. This blog deals with how we reached a seamless integration of goals to achieve a highly strategic engagement with our client.
Understand Parameters You Control: Often RPO partners work on number of resume that needs to be pushed on top of recruitment funnel to ensure open positions close. But companies often have much more leverage than the number of resumes sourced. On a broad level, these could be your recruiter quality, Recruiter numbers, Screening capabilities, Scheduling capacities, Sourcing methodologies, Partners and so on! On a more work level there are several leverage points such as number of work days in a week.
Calibrate Parameters to Business Outcomes: One must monitor each of these parameters and measure their impact on recruitment performance such as recruitment cost, TAT, quality of hire, early attrition etc. Effect of the recruitment performance should be calibrated against business performance parameters. These business parameters may be business attrition, Training performance, performance ratings. The business parameters are extremely company dependent and should be discovered for every company.
The company may already have understanding on how business parameters affect business strategy and thus the business goals.
Constant Management of Alignment: Some RPO partners do the above points however they fail to systematize the constant attempt of aligning RPO activities to changing business goals. Consistent communication and regular meetings with business leaders allow understanding of changing business needs and goals and these should be backed by actionable that are measured and demonstrated to leaders as a feedback. This constant tweaking rationale should be communicated to the team in order to ensure the changes are seen as a requirement to ensure client observes the RPO engagement as a competitive advantage.
Top Three Benefits of Strategic Alignments:
- The company as a whole becomes more agile and stays competitive which is need of the market in todays rapidly changing business environment
- The RPO partners often are directed by several client SPOCs. This sometimes results in changing actions that are not aligned. Goal level alignment results in actions in right direction.
- Often continues improvement hits road blocks when it comes to changing process at client end. However when changes have definite positive results on client objectives, change is better accepted.
Although I wrote this blog, the idea isn’t mine. I dedicate this blog to the very successful person who shared this concept with me and will remain an inspiration to me.