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Rethinking Recruitment Process Outsourcing for Competitive Advantage

Market Analysis

by Nikki Edwards

published on Jun 12, 2019

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Report Overview:

NelsonHall's market analysis of the Recruitment Process Outsourcing industry and trends consists of 107 pages.

Who is this Report for:

NelsonHall’s “Next Generation Recruitment Process Outsourcing” report is a comprehensive market assessment report designed for:

  • Sourcing managers investigating sourcing developments within recruitment process outsourcing
  • HR decision makers exploring the benefits and inhibitors of Recruitment Process Outsourcing as evidenced by the clients and vendor capability
  • Vendor marketing, sales and business managers developing strategies to target BPO service opportunities within recruitment process outsourcing
  • Financial analysts and investors specializing in the IT services and BPO sector, including recruitment process outsourcing.

Scope of this Report:

The report analyzes the worldwide market for recruitment process outsourcing (RPO) and addresses the following questions:

  • What is the market size and projected growth for the global RPO market by geography?
  • What is the profile of activity in the global RPO market by industry sector?
  • What are the top drivers for adoption of recruitment process outsourcing?
  • What factors are inhibiting successful recruitment process outsourcing partnerships with vendors?
  • Who are the leading RPO vendors globally and by geography?
  • What combination of service models/services are typically provided within RPO contracts and what new service models/services are being added?
  • What is the current pattern of delivery location used for RPO services and how is this changing?
  • What are the challenges and success factors within recruitment process outsourcing?

Key Findings & Highlights:

NelsonHall's market analysis of the Recruitment Process Outsourcing industry and trends consists of 107 pages.

The Recruitment Process Outsourcing (RPO) market remains buoyant in 2019, with vendors expecting double-digit growth.  PESTLE factors, the maturity of RPO markets, and the blurring of talent models make a complicated talent landscape.

In a bid to better compete for talent in a tight market, vendors have built their expertise to such a level that offering a broad range of services, often packaged under a “consultancy” umbrella (and sometimes sold as separate revenue-generating services) is the new norm. With new vendors emerging in the RPO market, filling gaps in provision, there is/will continue to be more differentiation, as vendors choose to focus on geographies, industries, skillsets, size of client organization, high-volume or niche hiring, fully-automated tech or tech with touch, RPO or broader talent acquisition (TA) model types, and so on.    

With data/analytics and technology/tools being the enablers of RPO/TA services, vendors continue to invest significantly in growing their tech capability (in team size and knowledge). Multifunctional or unified platforms continue to evolve, with better integration, more automation and more use of AI.

To save internal operational costs/client organizational spend on RPO services, vendors continue to evolve their service delivery. 2018 has seen a limited expansion of delivery infrastructure, more consolidation of shared service centers, a change of strategy around onshoring/ nearshoring, and offshoring, an increase in blended delivery, and more tailored delivery to meet client needs.

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Recruitment Process Outsourcing

published 2019-07-09 | Project by Nikki Edwards

This NelsonHall Vendor Evaluation & Assessment Tool (NEAT) analyzes the performance of vendors offering RPO services. The NEAT tool allows strategic sourcing managers to assess the capability of vendors across a range of criteria and business situations and identify the best performing vendors overall, and with a specific focus on sourcing candidates, candidate experience, technology innovation, geographic footprint & scalability, and services delivery innovation. Vendors evaluated for this NEAT are: ADP, Alexander Mann Solutions, Avencia, Cielo, Hudson, IBM, KellyOCG, Korn Ferry, ManpowerGroup Solutions, PeopleScout, PeopleStrong, Personify, Pontoon, Resource Solutions, Sevenstep, talentCRU, TalentRISE, and WilsonHCG. To find out more, contact Guy Saunders at [email protected].
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