How RPO Solutions Can Mitigate Your Hiring Risks During Recession

How RPO Solutions Can Mitigate Your Hiring Risks During Recession

RPO - Sustainable Staffing Solutions
RPO - Sustainable Staffing Solutions

How RPO Solutions Can Mitigate Your Hiring Risks During Recession

As the world anticipates a recession, hiring has slowed down in many industries and companies are struggling to maintain the productivity of their talent acquisition teams. Though the situation may not be as dire as during the pandemic, we face many of the same challenges. And that’s where RPOs (Recruitment Process Outsourcing) come in as a lifeline!

 

Towards the end of 2020, iPlace worked hand-in-hand with many clients, both corporations and staffing firms, as they bounced back from the global pandemic. We augmented and diversified our expertise and services to sustain, and we helped our clients – old and new – do the same. One such new client, a leading US staffing company, had a tough project requiring volume hiring, and they successfully navigated through their challenges by partnering with iPlace.

Keeping client confidentiality, I’ll call the client June Staffing. June operates across the United States and generates annual revenue over $100 million. They provide staffing services to a range of industries such as engineering, finance, light industrial, manufacturing, and technology.

 

June acquired a large hiring project requiring 5,000 contact center representatives and managers in six months for the holiday season of 2020. The project appeared doable initially; however, as they ended the first month of the project, June’s in-house recruiting team had hired only 300 professionals. Low productivity led to the biggest hiring challenge on this project – slow turnaround time. Moreover, if June did not meet the project timeline, they would exceed their hiring costs targets and incur penalties lowering revenue. 

 

June Staffing now needed 4,700 hires in the remaining five months (940 per month)! If June decided to expand their in-house team, they would spend more time and money to hire additional recruiters and then would need to train those recruiters in volume hiring. Both these factors would lead to a significant increase in their cost-of-hire. But an even bigger challenge was what they would do with the excess in-house recruiters after the project was wrapped.

 

After considering all the problems with implementing the project internally, the management team at June Staffing decided to hire an RPO provider, and that’s where iPlace came in. Our RPO service offered a solution to each of their problems. And one of the service differentiators that June was most thrilled about was scalability and flexibility – the ability to scale up the assigned recruiting team as per their hiring needs and scale down if not needed after the project ended. It was the perfect cost-effective solution for their project! 

 

After understanding the project requirements and studying the job market, the iPlace team developed a customized hiring strategy to help June achieve its targets. By the end of the first week, we scaled up the iPlace team to 100 and set up a control room to closely monitor hiring speed, success rates, closures, and budget. The assigned team included experienced sourcers and recruiters specializing in high-volume hiring and surge hiring and dedicated account managers to ensure a seamless recruiting process. 

 

Using our resources and relationships with staffing technology providers, we developed an automated system to attract and engage potential candidates. We implemented a batch processing system to process and onboard candidates. Our team of account managers, sourcers, and recruiters worked relentlessly (including most weekends). Within two weeks of starting the project, we helped June decrease its turnaround time by 80%  and increase productivity by 400% to 350 hires per week – approximately one candidate joining every seven minutes! June Staffing completed the project well within the allotted time and with budget to spare. 

 

The success helped June acquire five additional projects with the client, cementing a long-term partnership with iPlace. Starting as a short-term engagement, our team grew to encompass up to 200 resources in 2022, working on multiple projects with June’s top clients! The upcoming recession has had an impact, resulting in the downsizing of our team below 100. But we are ready for June Staffing to land a large project soon that can scale up our team back to 200 recruiters.

As an RPO solution provider, iPlace offers a range of benefits to our staffing and corporate clients, as you read in June Staffing’s success story. Some of our other benefits include:

  • Industry Expertise: iPlace works in all industries. Our dedicated, trained resources are experts in hiring for specific industries like IT and healthcare.
  • Global Coverage: iPlace has delivery centers in India and the Philippines with our sourcers and recruiters working the local hours of our clients. This enables us to provide services to clients worldwide.
  • Short-term Contracts: We offer flexibility and customization in contracts as per the client’s requirements.

Well, friends, 2023 will continue to be a year of disruptions and uncertainties! But being with iPlace for over a decade, I have seen the company withstand the worst global recession and the most severe global pandemic, and we are prepared to help our clients and partners navigate the current situation too.

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