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Internal Recruitment V’s Recruitment Outsourcing?

Have you, or your organisation ever engaged a recruitment agency to find “staff”?

Recruitment outsourcing is a strategy used by many organisations which supposedly is cost effective, efficient and ensures the best quality candidates can be offered up to the client.

The cost for this service is calculated by taking a percentage (average being 15-18%) of the positions grossed up salary, which on a $100,000 gross wage, would fetch a $15,000 – $18,000 fee. Some would say this is good value. Others would say it’s extortion, considering agencies undertake the same process, and fish in the same talent pool as any other employer can if they have the resources and time to do so.

I have engaged such services before, as a client, and candidate seeking employment, and have had a mixed bag of experiences.

As a client, I have generally been provided with a reasonable selection of candidates, but the efficiency and communication (progress updates etc.) have been areas which required improved.

As a candidate, my experience has been quite different. Rarely would I receive an application acknowledgement from an agency posted vacancy, or get a returned called when seeking more information regarding a vacancy. If I did manage to get a screening interview, I would walk out of their expensive office address filled with confidence and promise from all their positive reinforcement, but later feel deflated when no further contact was made by the agency.

I may just be a poor candidate, but it does leave me questioning if external agencies really do find the best candidates for a client, or if they just forward what they have on the table. Also, an external recruiter is not fully aware of the structure, culture, values, business, and strategic direction of an organisation, so how can they find the best cultural fit for the role and organisation. Of all the less than satisfactory recruitment decisions, poor cultural fit with an organisations values and ethos is the most common and damaging to role and organisations success.

So whilst the most common and expensive recruitment outsourcing engagement will always be accessible and appropriate for some organisations, there may be other more cost effective and efficient alternatives out there for organisations who lack resources, are time poor and don’t have deep pockets.

4URecruitmentPlus is one such organisation which puts the employer in control of the recruitment process and doesn’t cost the earth. For more information email info@4urecruitmentplus.com.au or call Gillian on 0439 039 130 or Michael on 0478 803 704

Michael Scholz

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