Recruitment agency vs. RPO - Which strategy to choose?

Cabinet recruitment vs. RPO

by

Olivia Canedo

le

17
August 2023
12
reading minutes

In the French and international Tech ecosystem's race for growth and innovation, identifying and acquiring the best talent is increasingly becoming a key success factor.  

As many entrepreneurs like to point out, the success of an innovative company lies not so much in the initial idea, however brilliant it may be, as in its execution. And for that, you need the resources and talents that make the difference.  

The good news is that there are several recruitment solutions available to you! But how do you choose the one that's right for you? Today, let's take a look at the differences between headhunting and RPO (Recruiting Process Outsourcing) recruitment

Each approach has its advantages and disadvantages. In this article, we'll take an in-depth look at both options to help you make the decision best suited to your specific needs. Let's dive into the subtleties of both methods to better understand how each can help boost your recruitment process and get the quality candidates you're looking for based on your objectives and context.

1. Recruitment Firms : Experts in Headhunting

When it comes to filling key positions within your company, a recruitment agency can be your greatest asset. These seasoned professionals specialize in sourcing and selecting specific talent for strategic, expert, managerial or C-Level and executive roles. Here are some highlights to consider: 

Advantage n°1 recruitment agency: in-depth expertise 

Recruitment agencies have in-depth knowledge of the job market, the skills in demand and industry trends. They are therefore well positioned to quickly identify potential candidates matching your needs. 

Recruitment agency advantage n°2: a vast network of contacts 

Thanks to their well-established networks, headhunters have access to active and passive candidates, including those who may not be visible on traditional job search platforms or CV libraries. As a result, they are highly responsive when it comes to direct recruitment of rare pearls difficult to find via traditional channels, or of employees who are not actively searching.

Recruitment agency advantage no. 3: significant time savings 

Recruitment firms are able to mobilize a whole team of specialized consultants to efficiently filter out skills from a vast panel of applications. They apply rigorous selection processes, including in-depth interviews , skills assessments and reference checks. They only present you with the candidates best suited to your company, so you don't have to mobilize your hiring managers unnecessarily.

Recruitment agency advantage n°4: judge but not party! 

A recruitment agency is a trusted third party that faithfully represents your company, but is not directly the future employer of the candidates it approaches. The difference is that candidates often feel freer to share their thoughts with a third party than with you directly. This transparency is very useful for both parties to make an informed choice. At the same time, the firm will be in a better position to highlight your strengths without coming across as a pushy, subjective salesman! 

Recruitment agency advantage n°5: a reassuring guarantee 

Most recruitment agencies offer you a recruitment guarantee, i.e. a free replacement profile in the event of non-validation of the trial period. When you consider the cost of poor recruitment, it's important to be able to count on this type of service, enabling you to react quickly.

Interview at a digital recruitment agency
Recruitment agency vs. RPO - Which strategy to choose?

2. RPO: Recruitment Process Outsourcing

Recruitment Process Outsourcing (RPO) is a more holistic approach where you integrate a consultant (or several) delegated to your company to conduct recruitment, and more, directly in-house within your premises. Here are the advantages of this approach: 

RPO Advantage #1: A global approach 

The delegated consultant will bring you all his know-how inidentifying and selecting candidates, and will take care of all the related "logistics"(publication of advertisements, management of applications to advertisements and unsolicited applications, organization of interviews, reception of candidates, drafting of job offers, closing...) and can help you with other aspects such as work on your employer brand, the choice of an ATS, process review... He can help you optimize your entire recruitment function. 

RPO benefit no. 2: optimizing the recruitment process

Outsourcing the recruitment process allows your in-house team to concentrate on the strategic aspects, while RPO experts take care of the more operational tasks. 

RPO advantage no. 3: tenfold attractiveness 

Sometimes the recruitment agency is seen by candidates as an extra step in a recruitment process that already demands a great deal of investment. An RPO doesn't make the process more cumbersome, because it acts as an internal HR resource. What's more, the consultant delegated in this way benefits from your employer brand's reputation to attract the candidates he/she approaches, which can be very useful in making the difference on highly sought-after profiles. 

RPO advantage no. 4: a flexible offer and controlled costs 

Most RPO offers are flexible and can be adapted to your changing needs. You can be accompanied by one consultant or an entire RPO team, choose their level of seniority, adapt the duration of the assignment or even have them work part-time. The cost is often calculated on an average daily rate (ADR ) basis, so the more adaptable the offer, the easier it is to control. What's more, you can often take full advantage of the tools offered by the firm delegating the consultant to you (CV library subscriptions, etc.). 

RPO advantage no. 5: a long-term investment 

RPO assignments are long-term and allow you to capitalize on all the work carried out by the consultant. In this way, he or she can build up a pool of quality CVs that will not all be recruited, of course, but which could prove very useful for a similar search in the future. Bringing in an external consultant can also be a good start to creating an internal recruitment function in the long term, especially as he or she can recruit, onboard and train your future Talent Acquisition Manager, and even ensure a handover before leaving. 

Two people interviewing at a digital recruitment agency
Cabinet vs RPO - How to choose?

3. Recruitment agency vs. RPO: criteria for choice

Criterion n°1: nature and volume of recruitment 

Use of a recruitment agency: This option is particularly recommended if you have a specific need for a strategic position within your top management or if your requirement involves the recruitment of complex or rare profiles requiring individual attention, a tailor-made approach and work dedicated to your company. 

RPO assignment: Opt for this solution when you need to manage a large number of vacancies, particularly if you need to fill a pipeline of similar positions (especially operational functions), whether as part of a recurring requirement or to absorb a recruitment peak linked to rapid growth in your company, for example. The RPO consultant can also manage a large number of different positions, but this will require greater rigor and experience, and therefore a more senior profile. 

Criterion n°2: the urgency of recruitment 

Recruitment agency: If you're faced with urgent recruitment needs, a recruitment agency can help, thanks to its dedicated team and fast turnaround. The average processing time is around 2 months. They'll save your HR team and hiring managers time by presenting them with a targeted shortlist of qualified candidates. What's more, recruitment is guaranteed.  

RPO mission: Although RPO consultants can also meet urgent deadlines and benefit from the attractiveness of your employer brand, they won't be as effective as an entire team. They complement an already well-developed in-house system, or help to create a long-term recruitment function. They also provide greater flexibility and can adapt to changing situations. 

Criterion no. 3: Your company's employer brand 

RPO mission: If your company's employer brand is strong and well established, the RPO consultant will be able to integrate all the more effectively into your team to attract candidates as a representative of your company, reinforcing your image as an attractive employer. 

Recruitment agency: If your employer brand lacks notoriety, the recruitment consultants of a specialized agency will be an asset in highlighting the position and the project, adopting a dual approach of seduction, to attract candidates, and selection. They'll work on the job pitch to be the most convincing to target candidates, and may convince candidates who wouldn't necessarily have been attracted to your position initially.  

Criterion no. 4: Scope of action

RPO assignment: This option is ideal for a broad scope of action, from strategic recruitment planning to theintegration of new employees. In addition to sourcing and recruiting your future employees, RPO consultants can be involved in defining your recruitment policy, managing your job offers, processing promises of employment and integrating new recruits, managing your HR tools, employer branding and HR marketing, and structuring your recruitment team. 

Recruitment agency: A recruitment assignment with a recruitment agency, on the other hand, focuses specifically on direct approach recruitment, in other words, the search for and selection of talent for a given position

Criterion 5: Level of control 

Recruitment agency: If you prefer to delegate responsibility for recruitment and concentrate on your core business, a recruitment agency offers a turnkey solution. With a 100% delegated sourcing and pre-selection process, you meet only the best profiles selected by the firm. 

RPO mission: If you want to retain total control over the recruitment process, opt for RPO support. You'll be able to supervise the quality of the process and the resources deployed by the RPO consultant or team throughout the process, as they'll be working directly with your team and on your premises. Like a fluid extension of your HR / Talent Acquisition team, they will be perfectly aligned with your corporate culture and values.  

Criterion 6: Budgetary factors 

RPO assignment: RPO generally enables us to reduce the unit cost per recruitment, as the RPO consultant can handle several recruitments during the course of an assignment. Costs are based on a TJM (or monthly flat rate) depending on the consultant's seniority, making the business model adaptable to the duration of the assignment

Recruitment agency: If you have a limited number of positions to fill, delegating an RPO consultant makes less sense, and opting for a recruitment agency may be more economical in terms of fees for a given assignment. What's more, a recruitment agency will offer you a guaranteed result for a given recruitment, whereas an RPO assignment will only involve the delegation of one or more consultants. The replacement guarantee offered by the recruitment firm can provide an interesting ROI dimension in a Tech sector where talent is highly volatile

 

In summary, the choice between a recruitment agency and an RPO consultant should be based on your company's specific needs and recruitment objectives. Whether you opt for a targeted approach with a recruitment agency or a broader outsourcing of the process with an RPO consultant or team, the ultimate goal is to find a solid solution tailored to the challenges of today's labor market. Make an informed decision based on your business context and talent aspirations. 

At Skillink, as a recruitment consultancy dedicated to Digital and Innovation, we provide our customers, both large corporations and startups, with 360° solutions to achieve all their recruitment objectives. Whether you're looking to recruit in shortage areas or rare profiles, surround yourself rapidly with strategic profiles, carry out a large-scale recruitment plan or build and train a team of internal recruiters, our solutions are adapted to all your digital recruitment challenges, whatever the profiles you're looking for, the context of your company and your issues. 

Find out more our RPO recruitment solution

Find out more our recruitment solution CabinetWe recruit your managers, experts and executives in the fields of Tech, Digital Marketing, Sales, Products and Data, in France and abroad.  

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