Fifty Shades of RPOFifty Shades of RPOLoving your RPO partner after the sexy sales team leaves town.

Presented by: Cory Kruse, COO and Jen Iliff, VP Marketing for NovotusWednesday, May 29, 2013

An RPOA Leadership Forum Presentation

About RPOA

• Nonprofit 501(3) organization founded in 2005 to serve RPO community

• New Board elected in January 2013

• Mission to “educate the market about RPO” and create standards

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• Request to present

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Fifty Shades of RPO: Loving your RPO partner after the sexy sales team leaves town.

Introductions

Cory KruseChief Operating OfficerNovotus

Jen IliffVP, MarketingNovotus

Lamees AbourahmaExecutive DirectorRPOA

About Novotus• Founded in 2002, located in Austin, Texas with remote recruiters

located throughout the U.S.• Largest Texas-based RPO provider• Management Team = 100 plus years experience• Founding Member of the Recruitment Process Outsourcing

Association (RPOA)• Consistent 35% annual growth with placements in 39 states and

10 countries in 2012. • Inavero/CareerBuilder’s Best of Staffing™ Client Satisfaction

award 3 years running• Telly Award™ winner for creation and production of corporate

career site video

Agenda

• Why is RPO so attractive?• The components of RPO• What qualities should I look for?

– Criteria for selecting an RPO partner

• Sign a pre-nup– Suggestions to help guarantee

success

RPO Market Growth

• Recruitment Process Outsourcing hit the radar just over 10 years ago.

• Stayed in infancy for a handful of years and in 2007 hit the emerging rapid growth phase.

• While the economy turned downward in 2008, RPO growth slowed but did not decline.

• According to a 2012 Everest Research Report, the RPO market is $1.4 billion U.S. Annualized spend with a growth rate of >25%.

Why is RPO so attractive?Why is RPO so attractive?

What’s not to love?• Increase Efficiency - Easy to submit applications made the

process overwhelming and unmanageable for existing HR teams.

• Cost Savings – RPO provided efficiency • Cost Management with Scalability. • Strategic Value – it’s all we do so our knowledge of best

practices and the ability to cross pollinate those in non-competing verticals…

• Metrics – RPO firms are quickly able to help companies gain insight into specific real-time reports that help also drive cost savings and efficiency.

• So many steps (and the continuing evolution of each) in the recruiting process, maintaining a level of on-staff expertise can be challenge.

Components of RPO

1. Create requisition2. Meet with the Hiring Manager (HM)3. Create the job description4. Build recruiting strategy5. Post, publish and brand the new position.

Phase I: The Beginning Determines the End - Strategy

Components of RPO

6. Begin sourcing7. Screen and rate resumes8. Communicate to de-selected candidates9. Conduct phone screens10. Communicate to de-selected candidates

Phase II: Candidate Intake

Components of RPO

11. Present candidate slate to HM12. Coordinate interview scheduling with

candidate & HM13. Prep HM with interview questions and

evaluation methods14. Post interview debrief with HM to select final

candidate15. Administer skills assessment

Phase III: Evaluation

Components of RPO

16. Conduct background checks17. Conduct reference checks18. Offer negotiation and acceptance19. Hire date confirmation20. Onboarding begins

Phase IV: Processing

Components of RPO

21. Survey hiring manager to determine level of satisfaction on recruiting work.

22. Scorecard results for reporting back to HR leadership and C-Suite.

23. Review quarterly results and set targets of efficiency and quality of hire improvement.

Phase IV: Post Hire

RPOA definition of RPO

• RPO definition by RPOA: "Recruitment Process Outsourcing is a form of business process outsourcing (BPO) where an employer transfers all or part of its recruitment processes to an external service provider. An RPO provider can provide its own or may assume the company’s staff, technology, methodologies and reporting. In all cases, RPO differs greatly from providers such as staffing companies and contingent/ retained search providers in that it assumes ownership of the design and management of the recruitment process and the responsibility of results." link here: http://rpoassociation.org/what-is-rpo

Example of process with RPOFront-End Sourcing Solution – RPO Drives Candidates into your recruiting pipeline.

1. Create requisition2. Meet with the Hiring Manager (HM)3. Create the job description4. Build recruiting strategy5. Post, publish and brand the new position.6. Begin sourcing7. Screen and rate resumes8. Communicate to de-selected candidates9. Conduct phone screens10. Communicate to de-selected candidates11. Present candidate slate to HM12. Coordinate interview scheduling with candidate & HM13. Prep HM with interview questions and evaluation methods14. Post interview debrief with HM to select final candidate15. Administer skills assessment16. Conduct background checks17. Conduct reference checks18. Offer negotiation and acceptance19. Hire date confirmation20. Onboarding begins21. Survey hiring manager to determine level of satisfaction on recruiting work.22. Scorecard results for reporting back to HR leadership and C-Suite.23. Review quarterly results and set targets of efficiency and quality of hire improvement.

Example of process with RPO

Flexibility and transition expertise allows RPO to help when needed and allows your recruiters/administrators to own various of the process.

1. Create requisition2. Meet with the Hiring Manager (HM)3. Create the job description4. Build recruiting strategy5. Post, publish and brand the new position.6. Begin sourcing7. Screen and rate resumes8. Communicate to de-selected candidates9. Conduct phone screens10. Communicate to de-selected candidates11. Present candidate slate to HM12. Coordinate interview scheduling with candidate & HM13. Prep HM with interview questions and evaluation methods14. Post interview debrief with HM to select final candidate15. Administer skills assessment16. Conduct background checks17. Conduct reference checks18. Offer negotiation and acceptance19. Hire date confirmation20. Onboarding begins21. Survey hiring manager to determine level of satisfaction on recruiting work.22. Scorecard results for reporting back to HR leadership and C-Suite.23. Review quarterly results and set targets of efficiency and quality of hire improvement.

Example of process with RPO

In this “end-to-end” RPO scenario, the RPO owns all steps of the hiring process with the exception of making the hiring decision (owned by HM).

1. Create requisition2. Meet with the Hiring Manager (HM)3. Create the job description4. Build recruiting strategy5. Post, publish and brand the new position.6. Begin sourcing7. Screen and rate resumes8. Communicate to de-selected candidates9. Conduct phone screens10. Communicate to de-selected candidates11. Present candidate slate to HM12. Coordinate interview scheduling with candidate & HM13. Prep HM with interview questions and evaluation methods14. Post interview debrief with HM to select final candidate15. Administer skills assessment16. Conduct background checks17. Conduct reference checks18. Offer negotiation and acceptance19. Hire date confirmation20. Onboarding begins21. Survey hiring manager to determine level of satisfaction on recruiting work.22. Scorecard results for reporting back to HR leadership and C-Suite.23. Review quarterly results and set targets of efficiency and quality of hire improvement.

Technology

• RPO firm is plugged into your ATS• In many cases, RPO will integrate other tools

to sourcing candidates (job posting automation, data warehouse of existing candidates, sourcing platforms etc.)

• Reports are generated through the combination of platforms.

• Real-time portals/dashboards provided to client.

Candidate Experience

• RPO firms and team members are trained specifically on the companies they serve so they can act and represent your organization.

• In some cases, the RPO provider is a silent partner. When on the phone with candidates, they act as XYZ company.

• Candidate experience improves because attention to detail is part of the RPO delivery.

What qualities should I What qualities should I look for in my partner?look for in my partner?

Selecting an RPO Partner

• Identify your weaknesses/pain points• Identify your objectives: project expansion,

recruiting structure reconfiguration, cost reduction, etc.

• Unsure? Many RPO firms offer consulting services that can help you evaluate your current structure and process and provide recommendations.

Key Considerations

• Experience– Not just # of years in service, look at the caliber of

recruiters on staff. Utilize LinkedIn to gain insight.– Geographic scope/Languages

• Size of Organization (bigger not always better)• Privately owned vs. publicly owned. • Sourcing and Research Experience

– social media, job boards, networking, etc.– geographic expertise, hard-to-fill expertise

Key Considerations (cont.)

• Implementation Process and Timeline• Learn about Team Structure -

– Governance and Issue Escalation– Call Center vs. dedicated team or combination.– On-site recruiters/staff or offsite

Date before you get married.

• Select a project or division to use as a test with the RPO firm.

• Ask if they will do this without a long-term commitment (a trial phase)

• Ask the potential firm if they will create a sourcing plan for one of your positions to give you insight into the process.

Sign a pre-nup

• Service Level Agreements (SLA) – set mutually agreed upon expectations. If the requirements aren’t met there are fees at risk.– Time to Fill– Time to present qualified candidates– Interview to hire ratio

• Key Performance Indicators (KPI) – Similar to SLA but do not have fees at risk. Used to indicate when a problem may exist (before an SLA is impacted).– Example: TTF SLA is 60 days. A KPI might be

Green/Yellow/Red indicator at 30, 40 and 50 days.

QuestionsQuestions

Where to find RPO providers?

• RPOA Buyer’s Guide: free, searchable list of verified RPO companies provided by RPOA.

• Access Buyer’s Guide: http://resources.rpoassociation.org/rpo-companies-buyers-guide

• Add your company: http://rpoassociation.org/add-your-company

• Upgrade your listing: http://rpoassociation.org/join

Upcoming RPOA Leadership Forum Presentations

• June 5: Amazing Charts and Stats About Candidate Sources for 2013.

• June 19: Setting up for success: What to look for in an RPO partner.

• July 10: Core RPO Services: It’s Not One Size Fits All.

• What the BLEEP is Recruitment Process outsourcing [webinar presented by a panel of top RPO leaders]

• Recruitment Process Outsourcing – The Good, the bad, and the ugly [white paper]

• Ten Things you need to know before you choose a recruitment process outsourcing partner [white paper]

• Skip this step and kill your brand – recruiting etiquette 101