Recruiting new talent is an essential and costly process for any company. Many organisations find themselves grappling with the high expenses associated with hiring managers and recruiters, promoting available roles, as well as the extensive time and effort involved in screening, interviewing, and decision-making. In this piece, we will explore the various costs incurred by companies when they handle recruitment in-house.
The cost of internal hiring managers, recruiters salary and bonuses
Employing dedicated hiring managers and recruiters requires a significant financial investment. Their salaries, bonuses, and benefits can quickly add up, especially when you consider the expertise and experience required for effective talent attraction and acquisition. By outsourcing recruitment to a specialised agency, you can eliminate these fixed costs and instead opt for a flexible fee structure.
Hiring managers doing their own candidate sourcing on LinkedIn
Hiring managers often turn to platforms like LinkedIn to source candidates, which may involve additional expenses such as paid subscriptions or premium features. These costs, combined with the time required to search and identify potential candidates, can significantly impact productivity, hinder the hiring process, or create lengthy timelines for sourcing the right company fit. A recruitment agency's access to an extensive network of pre-screened candidates eliminates the need for individual sourcing efforts.
Screening hundreds of advert responses
Posting job advertisements can result in a flood of applications, requiring hiring managers to spend considerable time reviewing and assessing each one. This task can be time-consuming and inefficient, taking focus away from other crucial responsibilities. Recruitment agencies streamline this process by pre-screening candidates, presenting only the most qualified and suitable applicants for consideration, which allows organisations to head to the interview stage.
Conducting dozens of 1st stage screening interviews
First-stage screening interviews are necessary to determine a candidate's suitability for a particular role and to see if their personality and values fit your company culture. However, hiring managers often find themselves spending hours interviewing individuals who may not be the right fit. Recruitment agencies alleviate this burden by conducting initial screenings, presenting only the top candidates for further consideration, saving valuable time for hiring managers.
Total hours spent on interviewing
The hours invested in interviewing candidates for multiple roles 365 days of the year can be staggering as your organisation shifts and grows. When hiring managers and other team members are consistently engaged in the interview process, their productivity in other areas of their job may suffer. Outsourcing recruitment to a specialised recruitment agency allows internal staff to focus on their core responsibilities, increasing the overall efficiency and effectiveness of their role.
Multiple decision makers involved in the interview process
In many organisations, decision-making involves multiple stakeholders who must provide input during the interview process. Coordinating and aligning the schedules of these decision-makers can be challenging, resulting in delays and extended timelines. Recruitment agencies streamline the decision-making process by managing the coordination of interviews and post interview feedback efficiently, leading to quicker and more decisive outcomes and clearer communication through every step of the hiring process.
Lengthy interview processes
Some companies have interview processes that involve numerous stages, spanning months. Prolonged processes increase the risk of losing qualified candidates due to disinterest or to competitors with less rigorous interview processes. Recruitment agencies are skilled at optimising the interview process, ensuring communications remains efficient, concise, and timely in a competitive job market.
Going back to the drawing board
When feedback and decisions regarding candidates take too long, there is a higher chance of losing top talent to other job offers. If the interview process is not well-managed internally, it may result in the need to restart the recruitment process from scratch. Recruitment agencies expedite the decision-making process, ensuring candidates are engaged through numerous touchpoints and they will chase to make sure offers are made promptly, minimising the risk of you losing out on the best talent.
The cost of a bad hire
Hiring the wrong candidate can be extremely costly for a company. Apart from the monetary expense, which includes recruitment fees, onboarding, training, and potential severance costs, a bad hire can have a detrimental impact on team morale, productivity, and overall company performance. Specialist agencies like WRS mitigate this risk by employing rigorous screening processes, assessing candidate qualifications, skills, and cultural fit, ultimately reducing the likelihood of a bad hire.
Bring the experts on board
While internal recruitment can seem like a cost-saving measure, the cumulative expenses and potential risks associated with it can far outweigh the investment in a specialist recruitment agency. At WRS our teams expertise, industry knowledge, and extensive network of pre-screened candidates, ensures that your company makes the right hire. By partnering with us, you can streamline your hiring process, reduce costs, minimise risks, and ultimately achieve better results for your organisation.
Together we can help you secure top industry talent and ensure that throughout every stage of the hiring process that everyone’s needs are met.
Need help with your recruitment? Get in touch with our team today.
