Calling in the Experts
Benefits of outsourcing the recruitment process
I’ll start with a disclaimer. I’m an accountant – not a recruiter. Like you, I’m responsible for keeping costs down. But I also recognise the importance of ROI and spending money to make more money. That’s why I’ve written this blog – because I think even the most prudent accountants will see the value in spending money to hire the best quality staff.
Deciding to outsource to specialists or keep processes in-house is a common business decision. It often comes down to whether the benefits received will outweigh the costs. Deciding to use a recruitment agency for your next hire is one of these situations.
Firstly, there’s a difference between a recruitment agency and a specialist recruitment agency. Compared to an internal recruitment team, a recruitment agency provides expertise and a network of candidates. A specialist agency goes one step further. By focussing on just one industry or profession, all their efforts are targeting those excellent people you want in your team. Specialist agencies won’t be able to hire all your staff – but the ones they do hire will be exactly what you want. It’s like the difference between a handyman and a specialist electrician – you want the latter if you have a very specific need.
With every new hire, costs vary and are dependent on a myriad of factors such as salary, employee benefits, role type, the experience of the candidate and the calibre of the recruitment agency you are working with.
Employing the services of a specialist recruitment agency can reap benefits that far outweigh these costs. The key is using an agency which specialises in a specific profession or industry. While some benefits may be obvious, there are other gains to be made that may be slipping under your radar.
Here are five great benefits of using a specialist recruitment agency.
IMPROVING COMPETITIVE ADVANTAGE
Excellent people can be a sustainable source of competitive advantage. They can lead a business to excel over its competitors and overcome macro challenges. Excellent people can be hard to find – in our experience they often use a specialist agency to work on their behalf, rather than them applying directly on job boards. When your competitors are wanting to hire the best people too, it makes it so important to use an agency with the best networks and experience to find a candidate which fits your requirements.
Using a specialist agency can fill your team with the best people to drive your business. And at the same time, those excellent people aren’t working for your competitor. A specialist agency in this case, compared to a generic agency, understands the market that little bit more and may mean the difference between a good fit and an excellent fit.
SCALING HEADCOUNT UP AND DOWN
Business activity can fluctuate – either through cycles or volatility. Staff resource requirements can peak and trough accordingly. Hiring on a temporary or contract basis means more flexibility to quickly scale your employee numbers up or down.
Contracts are usually on an ‘ongoing and as needed’ basis. This provides you with flexibility around employee cost management. Hiring from a recruitment agency’s pool of temporary contractors gives you an adaptability edge in an often-unpredictable market.
RECRUITERS ARE NOSY
Yes, this is a benefit! If a recruiter comes across as nosy, this is a good thing. They’re an inquisitive bunch. They make it their business to know your business, This means they can source and place a candidate who will be the best fit for your company. There is nothing worse than being presented with candidates that are just not what you are looking for. So, if a recruiter starts asking you questions – give them as much information as you can and reap the benefits.
ACCESS TECHNOLOGY AND SPECIALISED EXPERTISE
Recruiters meet candidates every day – so they naturally require the best software to manage their database of talent. The recruitment software in the market today is sophisticated. It allows recruiters to efficiently manage the best quality applicants for the job at hand which streamlines the process. However, a good recruiter will not just rely on the latest tech. They will already have a bunch of candidates in mind before they start trawling through databases. This technology (and the data within it) and specialised expertise helps ensure the calibre of the candidates you are presented with are top-notch.
ECONOMIES OF SCALE
Economies of scale are cost advantages that arise as operational efficiencies occur with an increasing business scale. Interviews, employment contracts, rate negotiations, holiday pay, sign on costs, payroll – these are just some of the processes that are core, day-to-day business functions for recruitment agencies. Tapping into the candidate market via a recruitment agency allows you to benefit from the economies they create by recruiting on a large scale. This saves you time and frees you up to focus on your own core business functions – or sip on a pina colada, whatever takes your fancy.
Next time you’re needing to hire a new person remember the massive range in financial return for the business between an average person and an excellent person. Sure, the better person may come with a placement fee, but that will soon pay for itself with their superior performance.
And as accountants, nothing sounds better than that.
Looking to hire someone excellent? Talk to us so we can bring in the best person for your team.