A report published by the Recruitment and Employment Confederation (REC), CIPD and the Chartered Institute for Recruitment and Supply (CIPS) has urged organisations to review the recruitment supply chain holistically if they are to maintain positive candidate experiences as well as reduce costs and time to hire.
The research paper Chain Reaction: Making Recruitment Supply Chains Work surveyed 272 employers to review the effectiveness of resourcing relationships throughout the supply chain by assessing the use of preferred supplier lists, recruitment process outsourcing, and vendor neutral and master vendor models.
HR and procurement professionals were asked to rank the top three factors they consider when choosing a supply model. Two thirds of respondents (67%) were in agreement that the priority was to "attract the right people into the role", but the remaining top two priorities differed between respondents.
“Selecting a recruitment model is often determined by the need to establish cost savings, but while these can be fairly quickly achieved, the legacy of a resourcing model is much longer lasting,” said Peter Cheese, Chief Executive of CIPD.
“Talent, capability and culture are critical factors in delivering the capacity and agility needed for organisations to thrive, and the recruitment process is the starting point on this journey. Recruiting the right people is the critical outcome, and to attract the necessary talent, organisations need to place the candidate experience on an equal footing with improvements to cost and time to hire when considering their preferred resourcing model.”
The research indicated that procurement professionals are more likely to be concerned with efficiency metrics, with "reducing the cost of recruitment" (46%) and "reducing time to hire" (44%) scoring second and third in importance. HR professionals, however, prioritised "retaining staff" (44%) and "reducing the cost of recruitment" (34%) after finding the right candidate.
The report highlighted how it can be difficult for HR, recruitment and procurement professionals to align goals and priorities, particularly when involved in large-scale hiring operations, and emphasised that all parties need to “take a more rounded approach” to ensure that employer branding and retention efforts are not compromised.
The REC’s chief executive Kevin Green said: “An over-emphasis on cost and time to hire risks over-commodification of the supply chain. This can often lead to unintended consequences, such as the candidate’s experience of the recruitment process being poor. In the end, getting that right will improve outcomes like finding and retaining the right staff and employer reputation. We want to see recruiters seek to influence their clients’ supply chain by providing more strategic advice in areas such as workforce planning, innovation around attracting candidates and helping to shape their longer-term workforce strategy.”
Click here to access the infographic and download the report in full.