RPO: Reduce Hiring Costs and Improve Efficiency in Your HR Department

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What could be more important than your role as gatekeeper of the culture and soul of your company? Determining how to attract and hire the finest talent is one of the most critical business decisions …

What could be more important than your role as gatekeeper of the culture and soul of your company? Determining how to attract and hire the finest talent is one of the most critical business decisions you’ll ever make. Yet, regardless of the hiring process you adopt, its greatest value to your company occurs only during the final interviewing phase, when you and your team can look candidates square in the eye and ultimately decide whether they are the right fit for your company. The rest of the process is simply a means to an end. Learn how you can reduce your recruiting costs by 15-40% and transform recruiting from a staff function to a strategic advantage by thinking outside the box in your recruiting process.

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  • In Hiring, how is your time and money stolen?
  • Fear is a great motivator Maybe these companies weren’t thinking about the right things. Weren’t using their time effectively.
  • Couldn’t find logo for Avondale Mills or Graniteville Mills
  • 30,000 employees gone
  • 30,000 employees gone
  • How much time could you save by outsourcing a function to someone else How much time does your company spend on non-core activities? How many hours are spent?How much money could you save by outsourcing a function to someone else? How much money is your company spending now doing non-core functions? How many dollars are spent?
  • MAU: 19 StepsClient: 6 Steps
  • Real TimeCross Trained
  • How to Get Started
  • How much time could you save by outsourcing a function to someone else How much time does your company spend on non-core activities? How many hours are spent?How much money could you save by outsourcing a function to someone else? How much money is your company spending now doing non-core functions? How many dollars are spent?

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  • 1. Reduce Costs andImprove Efficiency in Your HR Department Presented by Randall W. Hatcher Information in this presentation is property of MAU Workforce Solutions
  • 2. A Crime has been Committed Something has been StolenInformation in this presentation is property of MAU Workforce Solutions
  • 3. Precious Limited FOCUS Information in this presentation is property of MAU Workforce Solutions
  • 4. BankruptciesInformation in this presentation is property of MAU Workforce Solutions
  • 5. ClosingsInformation in this presentation is property of MAU Workforce Solutions
  • 6. Bethlehem Steel Then… Chrysler Building Information in this presentation is property of MAU Workforce Solutions
  • 7. Bethlehem Steel Now… Sands Casino Information in this presentation is property of MAU Workforce Solutions
  • 8. Bethlehem Steel Now… Sands Casino Information in this presentation is property of MAU Workforce Solutions
  • 9. Information in this presentation is property of MAU Workforce Solutions
  • 10. Core/NoncoreInformation in this presentation is property of MAU Workforce Solutions
  • 11. The Employment Function Internal ExternalMovement Movement Information in this presentation is property of MAU Workforce Solutions
  • 12. The Employment Function • Promotions Internal • Transfers • Job, Shift, LocationMovement • Absenteeism Information in this presentation is property of MAU Workforce Solutions
  • 13. The Employment Function• Full-Time Regular Direct Hire• Part-Time External• Temporary Workers• Outsourced Workers Contingent Movement• Co-ops & Interns Workforce Information in this presentation is property of MAU Workforce Solutions
  • 14. The Employment Function Internal ExternalMovement Movement Information in this presentation is property of MAU Workforce Solutions
  • 15. Internal Movement Promotions & Transfers Requisition Qualification/Posting Interview Post Interview/Hire Post-interview Forward qualified meeting Position Qualification applicants to Hiring Manager Revise job posting and Route Approval to send to Hiring Hiring Manager Employ paperworkRequisition Approved Manager provides feedback to MAU Extend offer to Hiring Manager candidate Log in requisition Schedule telephone approves interview Communicate startRoute for HRL approval Post position internally Hiring Manager date internally conducts interviewRoute for VP approval Collects bids Schedule plant interview Coordinate relocation Screen bids Coordinate travel New hire orientation Send letters to non- Conduct plant qualified applicants interview Internal transfer starts Information in this presentation is property of MAU Workforce Solutions
  • 16. Internal Movement Promotions & Transfers Requisition Qualification/Posting Interview Post Interview/Hire Post-interview Forward qualified meeting Position Qualification applicants to Hiring Manager Revise job posting and Route Approval to send to Hiring Hiring Manager Employ paperworkRequisition Approved Manager provides feedback to MAU Extend offer to Hiring Manager candidate Log in requisition Schedule telephone approves interview Communicate startRoute for HRL approval Post position internally Hiring Manager date internally conducts interviewRoute for VP approval Collects bids Schedule plant interview Coordinate relocation Screen bids Coordinate travel New hire orientation Send letters to non- Conduct plant MAU: 19 Steps qualified applicants interview Internal transfer starts Client: 6 Steps Information in this presentation is property of MAU Workforce Solutions
  • 17. Internal Movement• Planned Absenteeism• Unplanned Absenteeism Information in this presentation is property of MAU Workforce Solutions
  • 18. Planned Internal Movement: Absenteeism• Vacation• Holidays• Personal Time• Leave 4-8% Fixed Costs Information in this presentation is property of MAU Workforce Solutions
  • 19. UnplannedInternal Movement: Absenteeism 7:00am • Holdover • Call in • O. T. • Shut Down • Fixed Cost • Premium Pay Information in this presentation is property of MAU Workforce Solutions
  • 20. UnplannedInternal Movement: Absenteeism 4-8% Absenteeism Pool Fixed Cost Variable Cost Information in this presentation is property of MAU Workforce Solutions
  • 21. The Employment Function Internal ExternalMovement Movement Information in this presentation is property of MAU Workforce Solutions
  • 22. External MovementFull Time Regular Direct Hire RPO Hire: Part TimeCo-Ops/Interns Temporary Contingent Workers Outsourced One Stop Shop Information in this presentation is property of MAU Workforce Solutions
  • 23. External Movement RPO• What does it look like?• Why RPO?• How to Manage?• How to Measure?• Obstacles• It’s a Journey Information in this presentation is property of MAU Workforce Solutions
  • 24. External Movement RPO RM coordinates candidate travel (if necessary) Conduct Interview #6 with VP NA Sales, National Sales Director & 2 others RECRUITMENT Conduct Field Ride Interview #4 Interviewers complete Candidate Evaluation Contact appropriate search firm(s) Complete Field Ride Form Form and route to area office and RM Recruit candidates Provide feedback to Recruiter Client: RM provides feedback to Recruiter Schedule Area Office Interview #5 with Area 42 Steps Send qualified resumes to Region Manager Director and Operations Manager OFFER Provide feedback to Recruiter RM coordinates candidate travel (if necessary) RM extends verbal offer contingent upon Recruiter SCREENING Conduct Interview #5 – Area Office background check and drug screen 2 Steps Schedule screening interview #1 with Provide feedback to Recruiter Completed background returned to HRAA Region Manager RM completes and routes candidate overview and Conduct screening interview #1 pre-offer packet to Area Office. Debbie sends formal offer package to candidate including HR paperwork Provide feedback to Recruiter Total: Area office reviews and routes candidate overview and pre-offer packet to client. Candidate accepts offer Schedule Interview # 2 with Region 44 Steps Manager to use Initial Interview Guide Pre-offer approved Conduct Interview # 2 EEOC Tracking HRAA sends background check paperwork Drug screen via Choicepoint Provide feedback to Recruiter HRAA schedules Interview #6 E-Memo generated by Region Manager Schedule Interview # 3 (face-to-face) with Region Manager to use Second Interview Area AA distributes interview packets Guide BID number generated by KCPC Candidate completes and returns background Conduct Interview # 3 paperwork Area AA generates PCN RM coordinates candidate travel Candidate starts work Provide feedback to Recruiter Background paperwork sent to Global Security and Complete quarterly EEOC applicant flow log Schedule Field Ride Interview #4 Vereda and route to HRInformation in this presentation is property of MAU Workforce Solutions
  • 25. External Movement RPO Pre-offer approved SCREENING Client: Background paperwork sent to Global Security Schedule screening interview (face-to-face) with and Vereda 13 Steps Region Manager Completed background returned to Recruiter Candidate returns paperwork package #1 MAU: Conduct screening interview OFFER 19 Steps Provide feedback to Recruiter Extend formal offer package to candidate including HR paperwork Schedule Field Ride Interview Candidate accepts offer Total: Coordinate candidate travel (if necessary) 32 Steps EEOC Tracking Conduct Field Ride Interview Drug screen via Choicepoint Complete Field Ride and provide feedback Region Manager generates E-Memo Schedule Interview with Area Director, Region Manager & Operations Manager Client generates BID number RECRUITMENT Coordinate candidate travel (if necessary) Area AA generates PCN Recruit candidates Send candidate paperwork package # 2 Candidate returns completed HR paperwork Review Results Conduct Area Office Targeted Selection Panel Candidate starts workSend qualified resumes to Region Manager Interview Send Post Fill survey to hiring manager Provide feedback to Recruiter Conduct post interview assessment Complete quarterly EEOC applicant flow log and route to HR Send candidate paperwork package #1 Complete pre-offer Information in this presentation is property of MAU Workforce Solutions
  • 26. The Goal Information in this presentation is property of MAU Workforce Solutions
  • 27. Savings Per Hire Time Reduction 70% Cost Salaries Reduction $2625Information in this presentation is property of MAU Workforce Solutions
  • 28. Pricing Model Management Fee • Monthly Flat Recruitment Fee • 35-50% less Consolidation of Recruiters • 15 -> 5 • 10 -> 2Information in this presentation is property of MAU Workforce Solutions
  • 29. Why RPO?Economic• Reduce recruiting costs 15-40%• Convert fixed to variable costsStrategicOperationalFlexibility and ScalabilityTechnologyFocus Information in this presentation is property of MAU Workforce Solutions
  • 30. Why RPO?EconomicStrategic• Strategic Advantage vs. Staff Function• Improve talent base and bench strengthOperationalFlexibility and ScalabilityTechnologyFocus Information in this presentation is property of MAU Workforce Solutions
  • 31. Why RPO?EconomicStrategicOperational• Metrics and quantifiable results drive• Vendor OptimizationFlexibility and ScalabilityTechnologyFocus Information in this presentation is property of MAU Workforce Solutions
  • 32. Why RPO?EconomicStrategicOperationalFlexibility and Scalability• Respond quicker and with improved resultsTechnologyFocus Information in this presentation is property of MAU Workforce Solutions
  • 33. Why RPO?EconomicStrategicOperationalFlexibility and ScalabilityTechnology• Gain access to the best recruiting technology solutionsFocus Information in this presentation is property of MAU Workforce Solutions
  • 34. Why RPO?EconomicStrategicOperationalFlexibility and ScalabilityTechnologyFocus• Strategic workforce planning and management Information in this presentation is property of MAU Workforce Solutions
  • 35. How to Manage RPO Job Data Process Management Open Orders Transparency Current Openings External Process Cycle MAU Client MAU Client MAU Client Client 8 Days 2 Days 2 Days 5 Days 8 Days 2 Days 1.5 Days 4 Days 15 Days 47.5 Days Current Resume External External Post Interview REQ. # Position Dept Manager Days in Candidate Submittal Date Feedback Phone Interview Feedback Date On-site interview Offer Extended Offer Accepted Start Date Time to Comments Search Date Assessment Process Date Fill30014844 Devlopment Eng ECH Johanek 47 4/26/2005 Mike Hudik 4/28/2005 5/4/2005 5/5/2005 5/9/2005 Not interested - has another offer Christina Kramer 4/28/2005 5/4/2005 5/6/2005 5/9/2005 removed herself from process Nathan Buescher 5/17/2005 5/18/2005 5/23/2005 5/23/2005 Delayed due to thesis Everitt Doddington 5/18/2005 5/18/2005 5/19/2005 5/20/2005 5/25/2005 5/26/2005 5/31/2005 6/3/2005 7/6/2005 51 completion position reposted in plant30048494 Development Eng. ENT Schmidt 42 3/7/2005 4/21/05 Jared Garder 3/7/2005 3/8/2005 better fit for test position decided to pursue internal Jerome Burke 4/8/2005 candidate decided to pursue internal Chris Andrews 3/15/2005 3/17/2005 candidate30033170 Assoc Mfg Eng MOE2 Denk 21 5/19/2005 Matthew Raplenovich 5/19/2005 5/20/2005 5/20/2005 5/20/2005 6/1/2005 6/1/2005 6/9/2005 6/17/2005 7/11/2005 36 Delayed due to relocation30048488 IDP/MOE4 MOE4 Widmann 15 6/1/2005 Preston Bakaric 6/14/2005 6/16/2005 no secured a job with Lear Joshua Stidman 6/16/2005 6/20/2005 6/21/2005 waiting on feedback30033132 Purchasing Eng/Sr PUR3 Kaelber 21 6/6/2005 Matt Fennell 6/8/2005 6/9/2005 6/10/2005 6/10/2005 6/20/200530033147 Quality Engineer/Sr QAM 3 Evans 32 5/17/2005 Terry Zimmerman 5/25/2005 5/25/2005 n/a n/a 5/20/2005 6/15/2005 pursuing a stronger candidate Paul Montaturo 5/25/2005 5/31/2005 n/a n/a 6/8/2005 6/15/2005 accepted another position Fernando Pinelo 5/31/2005 6/3/2005 6/6/2005 6/8/2005 6/10/2005 6/15/2005 will receive an offer MAU Client Information in this presentation is property of MAU Workforce Solutions
  • 36. How to Manage RPO Job Data Process Management Open Orders Transparency Current Openings External Process Cycle MAU Client MAU Client MAU Client Client 8 Days 2 Days 2 Days 5 Days 8 Days 2 Days 1.5 Days 4 Days 15 Days 47.5 Days Current Resume External External Post Interview REQ. # Position Dept Manager Days in Candidate Submittal Date Feedback Phone Interview Feedback Date On-site interview Offer Extended Offer Accepted Start Date Time to Comments Search Date Assessment Process Date Fill30014844 Devlopment Eng ECH Johanek 47 4/26/2005 Mike Hudik 4/28/2005 5/4/2005 5/5/2005 5/9/2005 Not interested - has another offer Christina Kramer 4/28/2005 5/4/2005 5/6/2005 5/9/2005 removed herself from process Nathan Buescher 5/17/2005 5/18/2005 5/23/2005 5/23/2005 Delayed due to thesis Everitt Doddington 5/18/2005 5/18/2005 5/19/2005 5/20/2005 5/25/2005 5/26/2005 5/31/2005 6/3/2005 7/6/2005 51 completion position reposted in plant30048494 Development Eng. ENT Schmidt 42 3/7/2005 4/21/05 Jared Garder 3/7/2005 3/8/2005 better fit for test position decided to pursue internal Jerome Burke 4/8/2005 candidate decided to pursue internal Chris Andrews 3/15/2005 3/17/2005 candidate30033170 Assoc Mfg Eng MOE2 Denk 21 5/19/2005 Matthew Raplenovich 5/19/2005 5/20/2005 5/20/2005 5/20/2005 6/1/2005 6/1/2005 6/9/2005 6/17/2005 7/11/2005 36 Delayed due to relocation30048488 IDP/MOE4 MOE4 Widmann 15 6/1/2005 Preston Bakaric 6/14/2005 6/16/2005 no secured a job with Lear Joshua Stidman 6/16/2005 6/20/2005 6/21/2005 waiting on feedback30033132 Purchasing Eng/Sr PUR3 Kaelber 21 6/6/2005 Matt Fennell 6/8/2005 6/9/2005 6/10/2005 6/10/2005 6/20/200530033147 Quality Engineer/Sr QAM 3 Evans 32 5/17/2005 Terry Zimmerman 5/25/2005 5/25/2005 n/a n/a 5/20/2005 6/15/2005 pursuing a stronger candidate Paul Montaturo 5/25/2005 5/31/2005 n/a n/a 6/8/2005 6/15/2005 accepted another position Fernando Pinelo 5/31/2005 6/3/2005 6/6/2005 6/8/2005 6/10/2005 6/15/2005 will receive an offer MAU Client Information in this presentation is property of MAU Workforce Solutions
  • 37. How to Measure RPO CustomerFirst Pass Yield Time to Fill Satisfaction Index Exempt Exempt Exempt Hiring Goal: 90% Goal: 9.5 Weeks Weight: 30% Process Weight: 30% Goal: 90% Time to First Cost Per Hire Submittal Exempt Exempt Goal: $22,500 Goal: < 8 days Weight: 10% Weight: 30% Information in this presentation is property of MAU Workforce Solutions
  • 38. Information in this presentation is property of MAU Workforce Solutions
  • 39. Information in this presentation is property of MAU Workforce Solutions
  • 40. Information in this presentation is property of MAU Workforce Solutions
  • 41. Information in this presentation is property of MAU Workforce Solutions
  • 42. Information in this presentation is property of MAU Workforce Solutions
  • 43. Information in this presentation is property of MAU Workforce Solutions
  • 44. Obstacles Status Quo is okay Too expensive Internal cultural issues Unable to measure Lack of internal expertise Knowledge levelCant find a good outsourcing partner 0% 10% 20% 30% 40% 50% 60% 70% 80% Information in this presentation is property of MAU Workforce Solutions
  • 45. It’s a Journey 1999 1999 2000 2002 2002 2005 RPO: Co-ops and Contract Temporary Outsourced AbsenteeismExternal & Professionals Workers Assembly Pool Interns Internal Information in this presentation is property of MAU Workforce Solutions
  • 46. A Day in the Life… 8:10am 8:20am 9:00am Two associates call Five employees Production schedule out sick. Need transferred to second change – need 20 backfills shift employees now 6:00-7:00pm Strategy 10:00am Relocation and Transfer Package 4:00pmHeadcount Analysis due 11:15am 3:10pm 2:00pm Annual Co-op Strategy Good News! Manager is On–Site Interviews for Meeting promoted Five Engineers Information in this presentation is property of MAU Workforce Solutions
  • 47. Headcount Transfer Co-Op Programs Analysis Absenteeism 18 Steps 20 Steps 45 Steps 15 Steps Backfills On-Site 25 Steps Interviews Relocation Promotion 20 Steps 35 Steps 10 Steps Production Change 30 Steps218 Steps -> 1 Call Information in this presentation is property of MAU Workforce Solutions
  • 48. FOCUSInformation in this presentation is property of MAU Workforce Solutions
  • 49. Never Waste a CrisisInformation in this presentation is property of MAU Workforce Solutions
  • 50. The Birth of A New Workforce Follow blog at: www.mau.com/blog Order more at: www.thebirthofanewworkforce.com Information in this presentation is property of MAU Workforce Solutions