We all know that hiring can be stressful, complex and time consuming, which is why so many businesses turn to recruitment agencies for help. However, with fees averaging 15-20% of an employee’s salary, this service can certainly take a toll on finances. Minimising recruitment agency usage can help you not only save money but also protect your firm’s most valuable asset – your people. During a time of severe skills shortages and heightened competition for talent, businesses can’t risk bad partnerships which may hinder the candidate experience. Here’s how you can increase autonomy and bring talent acquisition in-house.
Why you should minimise recruitment agency usage
As good employees are often the reason for a company’s success, making sure that you have the right people onboard is a priority. Other than drastically reducing costs, eliminating third-party recruiters can also ensure that you hire the very best applicants and that there are no threats to the candidate experience. Finding the perfect applicant requires someone who is passionate, understands the company’s culture and future plans and willing to go above and beyond. That’s why minimising recruitment agency usage is so important.
How you can reduce recruitment agency dependency
If you intend to cut back on your agency usage, you must plan in advance how you will access new talent when needed. By putting the right processes in place that encourage direct candidates, you can ensure that there will be a supply of skilled professionals when needed. There are several ways of achieving this. In fact, we have a dedicated blog on this topic, but here are a few steps that you can take now.
Assess your suppliers
If you haven’t done so already, it’s crucial to set aside time to assess your recruitment suppliers. When there is no central depository, spend is not monitored effectively. If you’re a large company, understandably it can be difficult to keep up with all activity. However, by prioritising analysis of your existing agencies, you’ll be able to identify which approaches are no longer supporting growth. This will enable you to cut back on spending and invest in methods that lead to more successful hires. It’s important to always know where you are spending and also why. One of the best ways of managing this is assembling a group which will be responsible overseeing recruitment spending and agency usage.
Tiered supplier list
Creating a tiered supplier list can help you identify which agencies are providing you with the greatest results. It’s important to find out if you are paying the rate card and if so to negotiate terms. By reducing the number of recruitment partners, every existing supplier receives a larger slice of the pie – and is therefore more likely to be open to reducing rates.
Strategic workforce planning
Businesses can effectively determine and plan to overcome skill gaps with strategic workforce planning. An in-depth and continuous review of current processes can reveal when and where talent must be hired. By staying one step ahead of your recruitment needs, you can give yourself enough time to source the very best people, and the exact professionals you need to boost productivity.
By ensuring that the right people are in the right place at the right time, you can reduce reliance on external recruitment agencies, saving time and money in the process.
How Consult Inhouse can help you
At Consult Inhouse, our purpose is to help you hire top talent required to fulfil your company objectives, but in doing so, we encourage you to think differently about your recruitment function. We aim to eliminate the recruitment challenges and pain points faced by businesses by providing a smarter approach to talent acquisition. We provide a platform of best-in-class services, meaningful information and deep insights to turbocharge your talent hiring strategy.
To find out how we can help you, get in touch today.