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 How to know it’s time to outsource staffing and recruitment: 5 signs to watch out for

How to know it’s time to outsource staffing and recruitment: 5 signs to watch out for

Is your business ready to outsource employee recruitment? Here are five tell-tale signs that you need to outsource your staffing and recruitment to an agency. 

US statistics indicate that over 41 million people are involved in the job market in a year. The industry is worth $200 billion. These figures explain why any outsource staffing and recruitment agency wants a share of the huge market.

On the other hand, hiring managers have to opt between outsourcing or doing the staffing themselves.

The choice between the two options depends on a myriad of factors. If you choose to do the staffing and recruitment yourself, you will spend an average of 27.5 days on interviews. The days eat into company time that otherwise would be more productive if used otherwise. On the other hand, outsourcing the services means you need to have a budget.

Time is money. As the decision-maker and hiring manager, these are the two competing options at your disposal. Will you save time and lose the money or keep the money and lose time?

In this dilemma, which are the tell-tale signs that you need an outsource staffing and recruitment agency over internal processes? 

1. High staff turnover 

A high employee turnover is an indication of bad hiring decisions. The remedy is to get professional help in recruitment and hiring. The high turnover contributes to low staff morale aggravating the situation further.

Other negative impacts of high staff turnover include;

  • Reduced productivity
  • Low service or product quality
  • Loss of high-level talent
  • Increased operating costs emanating from replacements and training
  • Risk of losing company ‘inside wires’ to competitors

One way to reduce the high turnover and subsequent adverse impacts are to let staffing and recruitment agencies work. The budget emanating from constant recruitment, hiring, training would be better utilized in other areas of the organization.

2. Rapid company growth

If you need to spur your business growth, one important catalyst is having suitable and matching talents.

Some of the signs to look out for that indicate your business is growing and needs particular restructuring in talent acquisition include;

  • Increased capital turnover
  • Frequent need to create new positions
  • Increased traffic in your online platforms
  • A high number of inquiries and referrals

From a flooded pool of talents and many candidates having similar qualifications, wading through may be an arduous task. Furthermore, you do not have the time to sift through millions of applications. 

Your core task is the development of growth strategies and implementation. Therefore, let the recruitment agencies do this for you while you concentrate on the core mission.

3. High-end positions needing specialized skills

Fishing for the ideal candidate with highly-sought out specialized skills is not an easy task. 

Many organizations report losing would-be employees because of the long hiring and recruitment process. 

Some of these prospective employees possess the skills you need. Losing them because of your internal problems will leave you blaming yourself.

When you find yourself in such a position where you need specialized skills, you need the hand of an outsource staffing and recruitment agency.

4. Need to save money 

Do you need to save and do not know the areas to cut the expenditure? The hiring and recruitment process is an area that is easily ignored but can help in saving.

Many hiring managers confess that it costs them a fortune to train a new candidate. Further, organizations lose millions of dollars when hiring. The loss comes when you and a few employees leave your core functions and engage in the recruitment process.

Engaging the services of an outsider is the best step to take. Despite paying for these services, the long-run benefits outweigh the short-run conveniences.

5. A decline in employee productivity

Specific indicators guide performance in any organization. When employee performance starts declining, a keen relook and revision of its performance indicators is a necessity.

Match the organization’s mission and goals versus an individual’s job description. By doing this, you eliminate unnecessary and unproductive tasks and seal loopholes that hemorrhage productivity and capital. 

Get your ideal candidates today

Hiring, staffing, and recruitment is continuous company culture – as well as firing. The difference is in the process. Some companies do it internally while others outsource. Just as a baby outgrows clothes, organizations outgrow internal staffing and recruitment processes, creating a gap filled by agencies.

As the hiring manager, you need to know when you have outgrown and need the services of these agencies. 

Many organizations have adapted and embraced the remote working culture, especially during the current pandemic. The adaptation has changed recruitment and staffing methods, but the end goals remain the same.

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