changing rapidly , particularly in the light of disruption caused by COVID-19 . But what are the key priorities for businesses when it comes to future workforce planning ? And where can RPO help ? Gary Bragar , HRO Research Director at NelsonHall , outlines key findings from its latest report .
Organisations globally are facing hugely complex talent challenges , from short-term concerns around hiring skilled talent to fill immediate vacancies , to longer-term strategic workforce planning for the next five years ( the blend of buying , borrowing and building of talent ). The role of RPO in changeable times is to help clients navigate through the uncertainties they will face in the coming decade .
Uncertainty is not new . The past 20 years have seen various turbulent forces affecting the hiring market , including the dot-com bubble , 9 / 11 , the Great Recession of 2008 and , most recently , COVID-19 . That ’ s at least four instances where hiring has plummeted . So , when outsourcing your recruitment , not only do you need a vendor that can quickly scale up to meet your hiring needs , you also need them to be able to scale down quickly where necessary .
During COVID , some areas such as food retail , healthcare and pharmaceuticals needed help to ramp up their hiring capabilities , while other industries , such as aviation , had to scale down . This is one of the major benefits that RPO partners can bring . From an organisational perspective , better to have a vendor on hand who can redeploy recruiters elsewhere than have to reduce your own internal HR team .
Complementing NelsonHall ’ s Market analysis , Evolution of RPO : Meeting Hiring Needs for the Workplace of the 2020s , is the NelsonHall Vendor Evaluation & Assessment Tool ( NEAT ) – an annual interviewbased survey which analyses the performance of vendors offering RPO services . We ask clients ( end users of RPO services ) to rate vendors based on importance and satisfaction , across a range of areas , on their ability to meet clients ’ current and future needs .
While key metrics have always included cost per hire and time to hire to evaluate the success of RPO vendors , we see clients increasingly focused on identifying and hiring the right talent – particularly in a market where identifying , growing and deploying the right skills and capabilities at speed is critical for success .
The future of work will include a high proportion of remote work that is highly distributed , combining a mix of permanent and contingent talent
Companies are looking for talent that is fluid : they want the right skills , when and where they are needed . In our 2020 NEAT interviews , clients identified the following areas as key requirements from their RPO partner , in order of importance , that include :
1 AGILITY
The impact of COVID-19 and associated restrictions on hiring externally has forced companies to look at their internal talent and how they can deploy this . Some 90 % of the major enterprises we interviewed recognise the need to embrace an holistic approach to talent acquisition – utilising a combination of permanent and contingent workers alongside internal talent .
Clients want their RPO partner to move quickly , easily and efficiently , adapting to the market and their own internal needs in an efficient way , to help them remain competitive . They are looking for their vendor partners to help them with their future staffing needs ; specifically , what is the right blend of contingent workers and permanent staff .
2 DIVERSITY
In the new era of work , organisations need more diverse candidates – not just in terms of aspects including race and ethnicity ; they need a diverse range of capabilities , experiences and perspectives which can come together to accelerate innovation and success .
COVID-19 has presented an opportunity for companies to look at ‘ boundaryless ’ talent – where individuals are based geographically is no longer as important as it once was – which means companies can reach out to a wider talent pool .
3
CANDIDATE
SATISFACTION
A key concern for some years , candidate experience is still a top priority . Good companies want to ensure they ’ re not just being polite and responsive in their recruitment process , but that they are communicating with candidates where they are at in every stage of the process .
AMS Hourly is a great example and tool which really helps candidates with their application journey – they can apply for jobs , take part in assessments and book interviews via their mobile quickly and easily . Candidates can see every step of their progression through the process so it eradicates the uncertainty of wondering if they have ‘ dropped off ’ the process .
4
DATA- AND ANALYTICS-DRIVEN INSIGHT
Clients are looking for a range of data , analytics and insights on talent patterns , trends and challenges in the marketplace and how to address them . Clients all want answers to the following questions : What skill sets are needed for the future in my business ? What ’ s the right mix of talent ? How do we hire a boundaryless workforce ? They are also looking for ongoing developments in prescriptive and predictive analytics .
When outsourcing your recruitment , it ’ s critical to conduct workforce planning with your recruitment vendor alongside your internal HR team . Business leaders need to define the type of positions required and the skill sets needed for these . As the workforce and technology evolve , the talent needed may change , so it must be a continual conversation . Set goals around that diversity mix of people . Arrange monthly operations meetings with the client and recruitment vendor to review metrics , track progress and assess how you are working towards your goals .
The future of work will include a high proportion of remote work that is highly distributed , combining a mix of permanent and contingent talent . Vendor partners will need to understand each client ’ s unique hiring needs and have a pipeline of talent available to scale quickly , as needed , to meet demand . Recruitment vendors and clients must embrace candidate-focused and employee-centric workplace cultures to attract and retain talent .
What is on organisations ’ priority list ?
96
%
AGILITY
94
%
DIVERSITY
92
%
CANDIDATE SATISFACTION
90
%
DATA- AND ANALYTICS- DRIVEN INSIGHT
Gary Bragar joined NelsonHall in 2007 and became HRO Research Director in 2010 . Gary helps to form effective client relationships and is widely known for his extensive practitioner , HRO buyer and HR services research experience . Prior to joining NelsonHall , he worked at AT & T where he gained extensive HR management experience including recruiting .