In a challenging labor market, the latest feature to be added to talent acquisition ecosystems gives employers access to a wider pool of applicants via an open marketplace. As an alternative to scouring traditional recruitment agencies for job candidates, the crowdstaffing tool enhances HR sourcing by simplifying the process of attracting and hiring employees. For smaller companies, swapping an in-house team for outsourced solutions can be a more efficient and cost effective strategy. However, whether HR is managed by an external provider or remains in-house, its strategies can be improved with the use of shared tools and expertise that help to reduce the costs of workforce management and the risks associated with recruitment.
Enhancing the Procurement Procedure
A recent survey carried out by the managed service provider Parsec, found that over 50 percent of UK organizations plan to outsource more business processes in 2025. In addition to cutting costs, hiring a specialist third party for HR functions can help to reduce compliance risks and minimize errors in payroll. Companies can ask third parties to pitch for business in workforce management or employee engagement with a template for a request for proposal (RFP). In order to match with the most appropriate service vendor, RFPHub recognizes the need for companies to focus on customizing their own specific requirements. Supporting clients with regularly updated and comprehensive templates can help to minimize misunderstandings with potential vendors, ensure healthy competition and improve the efficiency of the whole selection process.
Managing Expenditure Through Collaboration
Even if HR remains in-house, this doesn’t mean that it has to act alone. While the personnel department has talent acquisition and workforce management covered, sharing expertise with financial departments can help to ensure its compliance with regulations and adherence to a suitable budget. As the strength of procurement lies in expense and supply management, a collaboration with this internal department can result in greater cost and operational efficiency. With greater experience in negotiating with third party vendors, procurement can also help to ensure that contractual terms are followed correctly.
Streamlining Recruitment Processes with AI
The Parsec survey revealed that businesses thinking about outsourcing processes are also more aware of the opportunities to save money and improve their services with innovative technology. AI is increasingly used in recruitment strategies where its objective evaluation of applicants promotes fairness as it removes the risk of human biases. When large numbers of candidates are involved, AI is a useful tool for screening and conducting initial interviews especially for smaller companies who are in the process of scaling up their recruitment. Every candidate has the opportunity to showcase their abilities while HR is able to focus only on the most promising candidates.
While smaller companies might choose to completely outsource recruitment and other HR responsibilities, any competitive business can enhance their strategies for recruitment and personnel management when they reach beyond their own capacity to access a growing number of tools and resources that can help them to improve efficiency, cut costs and reduce the risk of non-compliance with contractual requirements.
