Large Increase in Outsourcing Recruitment Function

Posted on
Share on Google+Share on LinkedInShare on FacebookShare on RedditTweet about this on TwitterEmail this to someone

<p><strong>St. Petersburg, Fla. &mdash; April 11</strong><br />According to a recent survey conducted by the Institute for Corporate Productivity (i4cp &ndash; formerly HRI), more than a third (34.4 percent) of companies surveyed have outsourced portions of their recruiting function compared with 15.4 percent in 2005. </p><p>The positions leading the way in third-party sourcing are executives (56.5 percent) and experienced professionals (43.5 percent). The least-outsourced function is supervisors at 14.5 percent. <br /><br />While outsourcing has doubled, the survey found the total number of staff members devoted to recruitment after outsourcing did not decrease. In fact, in most cases, it increased. </p><p>&ldquo;This actually makes a lot of sense,&rdquo; said Jay Jamrog, i4cp senior vice president of research. &ldquo;We&rsquo;ve all heard about the &lsquo;war for talent&rsquo; and seen the demographic projections. As talent becomes a scarce commodity, companies are naturally applying more resources, both internal and external, to solve the problem.&rdquo;<br /><br />When it comes to rating the outsourcing recruiting vendors, DDI received the highest marks. </p><p>Survey respondents were asked to rate vendors on a 1-to-5 scale, with 5 being &ldquo;most satisfied.&rdquo; </p><p>DDI garnered an average rank of 4.00, with Ceridian coming in second at 3.86.<br /><br />The survey also found most companies today identify which recruiting measurements are most valuable and regularly report on them. </p><p>The majority, however, do not bother to benchmark their recruiting metrics versus those of similar companies, their vertical industry or globally. </p><p>When measurement is conducted, the study found 75.5 percent of responding companies feel measuring total job openings is most valuable, and more than 71 percent report on their metrics either monthly or quarterly. </p><p>Almost 66 percent use their measurements for planning and budgeting purposes.<br /><br />&ldquo;It&rsquo;s surprising to see that while so many organizations are able to identify and report on key metrics, they fail to benchmark them against other organizations in their industries,&rdquo; Jamrog said. &ldquo;Tracking historical data and benchmarking the efficiency and effectiveness of the function is critical when it comes to identifying and fixing the problem areas within your recruiting process. And measurement of the recruiting process is becoming even more critical, given the tight labor market today and the looming skill crisis.&rdquo;<br /><br />The Recruiting Function Practitioner Consensus Survey was conducted by i4cp, in conjunction with, in March 2007. A total of 188 organizations responded.</p>

Share on Google+Share on LinkedInShare on FacebookShare on RedditTweet about this on TwitterEmail this to someone


Posted in Archive|