RecRuitment business contingent Human caReeR tRansition executive
pRocess pRocess woRkfoRce ResouRces & oRganisational seaRcH
outsouRcing outsouRcing outsouRcing consulting effectiveness
Think ouTside.
global RPo
RePoRT 2009


global 01 07
(3) (16–19)
RPo RePoRT Preface The decision
to outsource
2009 02
08
(4-5)
contents executive summary (20)
estimating the real
03 cost of recruitment
(7)
a profile of respondents
09 (22)
04 Respondents
(8–10)
– country of residence
The recruiting challenge
10
05 (23)
(11–13)
about sponsors
global hiring intentions
06 (14–15)
internal recruitment
functions
graphs g7 g10
g1 g13
(12) Main job categories to be filled, (15) % of recruitment team solely
(7) Number of employees (19) Outsourced hiring program
g2 2008 and 2009 recruiting
(8) Hiring challenges, by region expectations
g8 g11 (16) Outsourcing part or all of the
g3 g14 (19) Why firms don’t outsource
(13) How organisations plan to use
(9) Conditions slowing hiring, by region
g4 g15 (20) Average cost per hire
recruitment firms HR function, by region
(10) Conditions slowing hiring, by size
g9 g12 (18) Provider selection criteria
g5 (14) Number of internal recruitment
(11) Plan to hire 100+
g6 staff, by size
(11) Plan to hire


global RPo RePoRT 2009 | 3
01 preface Claus-Peter sommer, Vice-President, Center of excellence – RPo, kellyoCg 01 Preface
Richard J. Crespin, global executive director, hRoa 02 executive
summary
03 a profile of
environment to enable organisations
Despite the short-term gloom, there
Following on from the
➔ respondents
to respond rapidly will be, if anything,
are some fundamentals which this
outstanding feedback from the 04 The recruiting
challenge
even more pronounced.
research seems to reinforce. The
2008 survey, it gives us great
05 global hiring
awareness of RPO continues to
pleasure to introduce the Global intentions
That is why, even in the current
grow throughout the world, with a
RPO Report 2009. 06 internal
climate, there remains a recognition recruitment
pronounced lift in the Europe, Asia & functions
and underpinning sense of
This survey was conducted in the Middle East (EMEA) and Asia-Pacific 07 The decision
fundamental shift towards the to outsource
final quarter of 2008, a time of regions. And whilst staffing volumes
strategic outsourcing of recruitment 08 estimating
great tumult and change across the will be significantly impacted by the the real cost
processes. As we move through
world’s employment markets. As of recruitment
crisis, the strategic intent of many
this downturn, it seems likely that 09 Respondents
we write this preface, each week organisations remains focused on the – country of
the rate of movement towards this
brings dramatic announcements of residence
longer-term.
model will accelerate as companies 10 about
staff redundancies from a wide range
sponsors
who have weathered the storm
When the current events pass, as
of iconic global businesses. Much
seek to capitalise on their
they will, the war for skills and talent
of the world is in recession, and
growth opportunities.
shortages will return in even more
business confidence shows no signs
dramatic forms. HR departments
of evening out in the short-term.
■■■
which have been downsized in the
This survey then, represents a lean times will be overwhelmed
view of a rapidly shifting trend at with the complexities of identifying
a unique snapshot in time. Clearly and onboarding the quality and
many organisations’ 2009 staff quantity of talent they need to fuel
hiring strategy and needs will be their company’s renewed growth.
dramatically impacted by the current The value recruitment process
environment. Just how dramatically outsourcing can play in such an
remains to be determined.


global RPo RePoRT 2009 | 4
02 executive A shortage of skilled staff is the key
The Global RPO Report
➔ 01 Preface
recruiting challenge for many (82
2009, now in its second year, was 02 executive
summary summary
percent), significantly outstripping the
carried out by Kelly Outsourcing
03 a profile of
next closest challenge, uncompetitive
and Consulting Group (KellyOCG) respondents
salary (35 percent). Challenges that
and the HROA in September 04 The recruiting
challenge
slow the hiring process are much
and October 2008 to continue to
05 global hiring
less clear. Whilst more than half of
explore the views and practices intentions
respondents point to quality of hire,
related to recruiting and recruitment 06 internal
recruitment
the next most commonly cited brake
process outsourcing (RPO) among functions
on the hiring process are broadly
global business leaders. Our 614 07 The decision
to outsource
spread: time to hire (37 percent),
respondents were a global set, at
08 estimating
cost to hire (28 percent), and hiring
companies ranging in size from fewer the real cost
of recruitment
manager satisfaction (27 percent).
than 1,000 employees to more than
09 Respondents
50,000 and representing a spectrum – country of
In comparing results from the 2008 residence
of industries.
10 about
and 2009 studies, hiring is expected
sponsors
to fall off in the coming year; those
Last year we noted that the buoyant
anticipating hiring 100+ permanent
world economy was having a
employees have fallen from 43
negative impact on recruitment, as
percent to 36 percent. However,
70 percent of respondents reported
2009 still looks to be an active hiring
recruitment difficulties. The recent
year, with a similar percentage of
global economic situation appears
organisations expecting to engage in
to be having, expectedly, impact, as
recruiting/hiring.
well, with many fewer respondents
(54 percent) experiencing recruitment
difficulties. The EMEA region is faring
worst with 67 percent reporting
experiencing hiring troubles.


global RPo RePoRT 2009 | 5
02 Less than half of respondents (43
The majority of respondents – 01 Preface
percent) say they are outsourcing part
66 percent – are currently using 02 executive
summary
or all of their HR function. Among
recruitment firms, down from 2008’s
03 a profile of
those who are outsourcing HR
78 percent. EMEA organisations, respondents
functions, recruitment and payroll are
at 78 percent, are much more 04 The recruiting
challenge
most common, at 65 percent and 54
likely than their American and Asia
05 global hiring
percent respectively.
Pacific counterparts to make use of intentions
recruitment firms, as are the largest 06 internal
recruitment
Familiarity with RPO appears to be
employers – those with 50,000+ functions
on the rise; 62 percent say they are
employees – 85 percent of which are 07 The decision
to outsource
familiar or very familiar with RPO
using recruitment firms.
08 estimating
versus 56 percent last year.
the real cost
By far the most common use of of recruitment
Just under a quarter of respondents 09 Respondents
recruitment firms is for sourcing,
– country of
say they are outsourcing all or part
screening and testing, with over 90 residence
of their recruitment process. This 10 about
percent of these respondents making
sponsors
experience is most common in
use of those services. Half of these
EMEA (35 percent), followed by
respondents are using these firms
the Americas (23 percent) and the
for reference checking. Two thirds of
Asia Pacific region (17 percent).
those using recruitment firms fill less
RPO is also much more common in
than a quarter of their job vacancies
companies with 50,000+ employees,
that way. EMEA organisations,
40 percent of which report engaging
however, make the greatest use of
in RPO.
these firms; 42 percent say they use
them to fill between a quarter and
The three main priorities of RPO
half of vacancies.
are reducing time to hire, lowering
cost of recruitment, and integrating
multiple sourcing channels.
■■■


FamiliaRiTy wiTh RPo
aPPeaRs To be on The Rise;
62 PeRCenT say They aRe
FamiliaR oR VeRy FamiliaR
wiTh RPo VeRsus 56 PeRCenT
lasT yeaR.


global RPo RePoRT 2009 | 7
03 a profile of Manufacturing, IT&T, Banking &
European respondents are more Just under half of the respondents (46 01 Preface
Finance, Health, Retail/Wholesale,
likely to have multinational roles percent) represent organisations with 02 executive
respondents summary
Government
than their American or Asia Pacific fewer than 1,000 employees, and
03 a profile of
counterparts; half all the European about a third work in organisations respondents
Education, Bureau/Outsourcer,
respondents report having a of 1,000 to 10,000 employees. The 04 The recruiting
challenge
Transport, Construction, Utilities,
multinational role, as compared to remaining 20 percent work in the very
05 global hiring
Insurance, FMCG / Consumer
29 percent of American respondents largest organisations – those with intentions
Products, Hospitality, Non - Profit /
and 20 percent of Asia Pacific more than 10,000 employees. 06 internal
recruitment
Religious Organisations.
respondents. functions
The results represent views from
The survey was undertaken
➔ 07 The decision
■■■
to outsource
Most respondents (61 percent) are a broad spectrum of industries,
by Kelly Outsourcing and Consulting
08 estimating
responsible for only one country, including Professional Services,
Group (KellyOCG) and the HROA the real cost
and just under a third (28 percent) of recruitment
in September and October 2008
09 Respondents
are responsible for 2 to 10 countries.
to continue our exploration – – country of
Only 11 percent are responsible for residence
commenced the previous year - of number of employees
1
10 about
11 or more countries. For the most
the attitudes and practices of global
sponsors
part respondents have responsibility
organisations relating to recruitment
for recruiting within their own regions,
generally and recruitment process
12%
with only 18 percent of respondents
outsourcing (RPO) specifically.
Less than 1,000
overall saying they have global 8%
1,000 to 10,000
The respondent pool is truly global, recruiting responsibilities. EMEA 46%
10,000 to 50,000
with 41 percent located in the respondents are the most likely to More than 50,000
Americas, 37 percent in the Asia have global recruiting responsibility
34%
Pacific region and the remaining (26 percent), followed closely by
22 percent in EMEA. Respondents American respondents (22 percent)
generally have a national role within and then Asia Pac respondents (9
their organisations – 70 percent say percent).
their role is mostly national, whilst
30 percent say their role is mostly
multinational. Not surprisingly,


global RPo RePoRT 2009 | 8
04 the recruiting Just over half of all of respondents in the Americas (43 salary) by more than two times. Whilst
➔ 01 Preface
respondents (54 percent) say they percent) say they are experiencing respondents in all regions agreed 02 executive
challenge summary
are experiencing difficulties in difficulties in recruiting staff, whilst that the skilled staff shortage was
03 a profile of
recruiting staff. This number is down 60 percent of Asia Pacific and 67 a significant challenge, American respondents
fairly significantly from last year’s 69 percent of EMEA respondents respondents ranked uncompetitive 04 The recruiting
challenge
percent who indicated they were indicate recruiting challenges. salary the lowest of all challenges
05 global hiring
having difficulties in hiring. (with 19 percent selecting it), below intentions
A shortage of skilled staff is by far location and the current recruitment 06 internal
recruitment
At the same time, the data point the most significant reason cited for process. functions
out potential regional differences in recruiting difficulties, beating out the
07 The decision
to outsource
recruiting challenges. Less than half next closest challenge (uncompetitive
08 estimating
the real cost
of recruitment
09 Respondents
hiring challenges, by region
2 – country of
residence
Hiring challenges by region
10 about
sponsors
Shortage of skilled staff
Salary uncompetitive
Location
Current recruitment processes
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Americas
APAC
EMEA


global RPo RePoRT 2009 | 9
04 Respondents cite a variety of hiring manager satisfaction (27 significant problem in the Asia Pacific 01 Preface
challenges that are slowing the hiring percent), performance monitoring region than it is in the Americas 02 executive
summary
or EMEA, time to hire is a more
process, the most common of which, (21 percent), quality of recruiters (18
03 a profile of
significant problem among EMEA
quality of hires, at 54 percent is the percent). respondents
respondents, and poor processes is
only one selected by more than half 04 The recruiting
challenge
Whilst there is general agreement more significant among American
of all respondents. Following that,
05 global hiring
among respondents from different respondents than it is for respondents
challenges include, time to hire (37 intentions
regions as to the main inhibitors in other regions.
percent), cost to hire (28 percent), 06 internal
recruitment
to hiring, quality of hires is a more
functions
07 The decision
to outsource
Conditions slowing hiring, by region
3 08 estimating
the real cost
Conditions slowing hiring, by region
of recruitment
09 Respondents
Quality of hires
– country of
residence
Time to hire
10 about
sponsors
Hiring manager satisfaction
Cost to hire
Quality of recruiters
Performance monitoring
Poor processes
Technology effectiveness
0% 10% 20% 30% 40% 50% 60%
Americas
APAC
EMEA


global RPo RePoRT 2009 | 10
04 On the other hand, cost to hire
The impact of some of these employees than it is for larger firms. 01 Preface
appears to be less noteworthy for
challenges is also influenced by Hiring manager satisfaction, poor 02 executive
summary
company size. Quality of hires is processes, and especially technology the largest organisations, as is hiring
03 a profile of
manager satisfaction for the smallest.
a more significant challenge for effectiveness are more significant respondents
organisations with less than 100 issues for the largest companies. 04 The recruiting
■■■
challenge
05 global hiring
intentions
Conditions slowing hiring, by size
4 06 internal
recruitment
Conditions slowing hiring, by size
functions
07 The decision
Quality of hires
to outsource
08 estimating
Cost to hire the real cost
of recruitment
09 Respondents
Time to hire
– country of
residence
Hiring manager satisfaction
10 about
sponsors
Performance monitoring
Quality of recruiters
Poor processes
Technology effectiveness
0% 10% 20% 30% 40% 50% 60%
Less than 1,000
1,000 to 10,000
10,000 to 50,000
More than 50,000


global RPo RePoRT 2009 | 11
05 global hiring The impact of the current that number dropped to 36 Unlike last year, and again not
➔ 01 Preface
global economic situation can be percent. Likewise, the percentage surprising given the economic 02 executive
intentions summary
seen in the anticipated number of of respondents who say they plan to challenges of the past year, the
03 a profile of
hires in 2009 versus the prior year. hire more than 100 temporary and anticipated hiring focus for 2009 is respondents
In 2008, 43 percent of respondents graduate employees also dropped in replacing existing positions, rather 04 The recruiting
challenge
anticipated hiring more than 100 from the 2008 to the 2008 survey, than filling new ones.
05 global hiring
permanent employees; in 2009, from 33 percent to 20 percent and 18 intentions
Nearly half (48 percent) of
percent to 13 percent respectively. 06 internal
recruitment
organisations are recruiting for five or
functions
However, whilst the number of fewer locations; EMEA firms are most
Plan to hire 100+
5 07 The decision
to outsource
anticipated hires appears to be often (84 percent) recruiting for one
Plan to hire 100+
08 estimating
declining, respondents anticipate to 10 locations, whilst both American
the real cost
Permanent
an active hiring year, with those of recruitment
and Asia Pacific firms are more
09 Respondents
expecting to make some number broadly spread from one to 20-plus
Temporary
– country of
of permanent and graduate hires locations. residence
Graduate
10 about
increasing over the prior year.
sponsors
0% 10% 20% 30% 40% 50%
2008
2009
Plan to hire
6
Plan to hire
Permanent
Temporary
Graduate
0% 20% 40% 60% 80% 100%
2008
2009


global RPo RePoRT 2009 | 12
05 As we found last year, when asked The majority of respondents (66 recruiting firms to aid them – 78 counterparts; just over half of the 01 Preface
smallest firms (fewer than 1,000
about the job categories they will fill percent) use recruiting firms to aid percent of EMEA respondents versus 02 executive
summary
employees) use recruiting firms, while
in the next year, the top categories in their hiring efforts, although this 67 percent of American and 59
03 a profile of
are business operations support number is down slightly from last percent of Asia Pacific respondents. 85 percent of the largest (more than respondents
50,000 employees) do.
and mid-level executives, both at 74 year’s 71 percent. Organisations 04 The recruiting
challenge
Larger firms, too, are more likely
percent of all respondents, although in EMEA are more likely than their
05 global hiring
to seek the assistance of recruiting
in general slightly lower numbers counterparts in the Americas or intentions
companies than are their smaller
than the prior year. the Asia Pacific region to call on 06 internal
recruitment
functions
07 The decision
to outsource
main job categories to be filled, 2008 and 2009
7
08 estimating
Main job categories to be filled, 2008 and 2009 the real cost
of recruitment
Senior Exec 09 Respondents
– country of
residence
Mid-level
10 about
Business Ops Support sponsors
Administrative
Contact Centre
Trades
Other
0% 20% 40% 60% 80%
2008
2009


global RPo RePoRT 2009 | 13
05 Most organisations – 83 percent –
Of those organisations that use third-party providers. Just as EMEA 01 Preface
will use cross border recruitment
recruiting firms, 90 percent use them organisations are more likely to make 02 executive
summary
to fill up to 25% of their vacancies.
for sourcing, screening and testing, use of recruiting firms, they rely on
03 a profile of
Only 7 percent will use this method
and half use them for reference them to fill more positions as well; respondents
to fill more than 50 percent of their
checking. the highest percentage of EMEA 04 The recruiting
challenge
vacancies.
respondents (42 percent) say they
05 global hiring
Two thirds of the companies that fill between a quarter and a half of intentions
use recruiting firms say they fill 25 ■■■
all vacancies through third-party 06 internal
recruitment
percent or fewer vacancies through providers. functions
07 The decision
to outsource
08 estimating
how organisations plan to use recruitment firms
8
the real cost
How organisations plan to use recruitment firms of recruitment
09 Respondents
Sourcing, screening, testing – country of
residence
Reference checking 10 about
sponsors
Applicant and recruitment performance tracking
Vendor management
On-boarding
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%


global RPo RePoRT 2009 | 14
06 internal recruitment. Asia Pacific firms are
Our 2009 survey found as organisation size grows; nearly
➔ 01 Preface
most likely to have centralised
that slightly fewer than half of three quarters (73 percent) of firms 02 executive
recruitment summary
recruitment functions (56 percent)
the respondents (49%) have of 50,000+ employees are have 20+
03 a profile of
and least likely to outsource
decentralised recruitment processes, recruitment staff. respondents
functions (1 percent).
and another 43% are centralised, 04 The recruiting
challenge
Similarly, decentralised organisations
whilst 4% are outsourced. (The
05 global hiring
Most recruitment departments generally have larger recruitment
remainder use a broader hybrid of intentions
(61 percent) in our survey are staff sizes, but that difference is likely
arrangements.) American and EMEA 06 internal
recruitment
operating with five or fewer internal owing to the fact that larger firms are
organisations follow similar patterns functions
recruitment staff. It’s no surprise more likely to be decentralised.
with more reporting decentralised 07 The decision
to outsource
that internal recruitment size grows
08 estimating
the real cost
of recruitment
number of internal recruitment staff, by size
9
09 Respondents
Number of internal recruitment staff, by size – country of
residence
10 about
Less then 1,000 sponsors
1,000 to 10,000
10,000 to 50,000
More than 50,000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
1 to 5
6 to 10
11 to 20
More than 20


global RPo RePoRT 2009 | 15
06 of respondents say they have HR/
Not only are many recruiting Respondents indicate that they use 01 Preface
recruitment staff that are dedicated to
functions limited in size, but few a wide range of technologies to 02 executive
summary
recruitment duties 75 to 100 percent
HR/recruitment staff are dedicating source and track candidates. The
03 a profile of
of their time. This is often the case
significant time to recruitment most popular are online applications respondents
with larger organisations, 36 percent
functions. The highest percentage and assessment (73%) and applicant 04 The recruiting
challenge
(the highest total percentage among
of respondents – 37 percent – say tracking (66%) programs, both of
05 global hiring
firms of 50,000+ employees) of
less than 10 percent of their internal which are used more than twice as intentions
whom say 76 to 100 percent of their
HR/recruitment team perform often as the next most common 06 internal
recruitment
internal HR/recruitment team perform
recruitment duties only. On the technologies. functions
recruitment duties only.
opposite end of the scale, 20 percent 07 The decision
to outsource
■■■
08 estimating
the real cost
of recruitment
% of recruitment team solely recruiting
10 09 Respondents
– country of
% of recruitment team solely recruiting
residence
Less than 10% 10 about
sponsors
10% to 25%
26% to 50%
51% to 75%
76% to 100%
0% 10% 20% 30% 40%


global RPo RePoRT 2009 | 16
07 the decision to be on the rise. Whilst last year
Our survey asked The most commonly outsourced
➔ 01 Preface
56 percent of respondents were
respondents about their use of HR processes among respondents 02 executive
to outsource summary
familiar or very familiar with RPO,
any outsourcing within their HR. who do outsource are recruitment
03 a profile of
this year that number has climbed
According to their responses, less respondents
(65 percent of those outsourcing HR
to 62 percent. Still 9 percent (about
than half (43 percent) are outsourcing 04 The recruiting
functions) and payroll (54 percent challenge
the same as last year) are not at all
part or all of their HR function.
of those outsourcing HR functions). 05 global hiring
familiar with RPO; the remaining 29
These numbers vary significantly intentions
These two HR functions are more
percent are somewhat familiar with
by region, with EMEA firms (at 63 06 internal
recruitment
than twice as likely to be outsourced
it. Familiarity is somewhat higher in
percent) considerably more likely functions
as are any other. EMEA (69 percent) and the Americas
than American (46 percent) and Asia 07 The decision
to outsource
(66 percent) than in the Asia Pacific
Pacific (27 percent) organisations to
Familiarity with recruitment 08 estimating
region (53 percent).
be outsourcing HR functions. the real cost
outsourcing in particularly appears of recruitment
09 Respondents
– country of
residence
outsourcing part or all of the hR function, by region
11
10 about
Outsourcing part or all of the HR function by region sponsors
APAC
EMEA
AMERICAS
0% 10% 20% 30% 40% 50% 60% 70%


global RPo RePoRT 2009 | 17
07 23 percent of American respondents processes are doing so as part of a
The largest firms (more than 50,000 be using RPO to recruit graduates. 01 Preface
and 17 percent of Asia Pacific larger HR outsourcing contract.
employees) are more likely to be 02 executive
When asked about future plans, summary
respondents say they are involved in
familiar or very familiar (53 percent)
03 a profile of
A little over a third (36 percent) of across all respondents, 48 percent
outsourcing recruitment or hiring.
with RPO than are smaller firms, respondents
those who are engaged in RPO are say they would consider outsourcing
which range from 32 percent to 38 04 The recruiting
challenge
With 40 percent saying they are outsourcing company wide. Other recruitment processes. Of those not
percent.
05 global hiring
engaged in recruitment/hiring than that, their organisations are currently outsourcing any part of
intentions
outsourcing, the largest organisations using RPO in a wide variety of ways,
Among all respondents, 24 percent their recruitment process, 41 percent
06 internal
recruitment
are about twice as likely as smaller with just over a quarter saying they
say they are outsourcing some part say they would consider it; those
functions
ones to be outsourcing in that area. are using RPO in the following job
of the recruitment/hiring process. numbers do not vary significantly
07 The decision
to outsource
types: administrative, contingent,
Those numbers vary significantly by by region. However, the larger the
About a third of those who are 08 estimating
temporary, business units, and
region, with 35 percent in EMEA organisation, the more likely they are
the real cost
outsourcing recruitment/hiring professional. Firms are least likely to
saying they’re involved in RPO, while to consider RPO, with 35 percent of of recruitment
09 Respondents
– country of
residence
10 about
sponsors


global RPo RePoRT 2009 | 18
07 the smallest firms and 47 percent of recruitment in the future. The vast The recruitment processes (26 percent considering versus 01 Preface
the largest firms saying they would majority of the largest companies organisations would consider 13 percent currently outsourcing). 02 executive
summary
consider it. that are currently outsourcing would outsourcing in the future are not
03 a profile of
As we found last year, recruiter quality
consider it in the future (90 percent), significantly different than those that respondents
Interestingly, of those who say they (77 percent), industry knowledge
but that number drops to two-thirds are currently outsourced, with the 04 The recruiting
challenge
are currently outsourcing recruiting, (63 percent) and cost (53 percent)
of all companies smaller than exception that twice as many would
05 global hiring
nearly a third (31 percent) say they were the top three criteria for
50,000 employees. consider outsourcing recruiting for intentions
would not consider outsourcing selecting an RPO partner.
the business unit than currently do 06 internal
recruitment
functions
07 The decision
to outsource
Provider selection criteria 08 estimating
12
the real cost
Provider selection criteria of recruitment
09 Respondents
Recruiter quality – country of
residence
Industry knowledge
10 about
sponsors
Cost
Years of RPO experience
Technology
Global Reach
International
0% 10% 20% 30% 40% 50% 60% 70% 80%


global RPo RePoRT 2009 | 19
07 The majority of organisations (69 percent). Program expectations looking to the vendor to manage 01 Preface
(86 percent) would expect a partner fall off after that, with less than half or limit the number of third-party 02 executive
summary
to speed hire times if they outsourced (46 percent) expecting partners to providers, and less than a quarter
03 a profile of
their hiring programs, followed next integrate multiple sourcing channels, (21 percent) seeking to gain access to respondents
by lowering the cost of recruitment just over a quarter (29 percent) technology. 04 The recruiting
challenge
05 global hiring
Among those who would not
intentions
outsourced hiring program expectations
13 consider outsourcing recruitment,
06 internal
Outsourced Hiring Program Expectations recruitment
nearly three-quarters (74 percent)
functions
say outsourcing is unnecessary
Faster time to hire
07 The decision
to outsource
because they are confident in their
Lower cost of recruitment
08 estimating
own capabilities. The next most
Integrate multiple sourcing channels the real cost
commonly reported reasons firms of recruitment
Manage or limit number of third party providers
09 Respondents
do not outsource recruitment are
– country of
Gain access to technology
because outsourcing is viewed as residence
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 10 about
too expensive (41 percent) and for
sponsors
internal cultural issues (35 percent).
why firms don’t outsource
14 ■■■
Why firms don’t outsource
Not necessary as we do a good job ourselves
Outsourcing is too expensive
Internal cultural issues
Unable to measure the financial benefits
Lack of internal expertise
Knowledge of outsourcing
Unable to identify a good potential outsourcing partner
0% 10% 20% 30% 40% 50% 60% 70% 80%


global RPo RePoRT 2009 | 20
08 estimating Across all respondents, the just under a quarter, indicated that
➔ 01 Preface
average cost per hire is between average cost of recruitment is 500 02 executive
the cost of summary
1,801 Euros and 2,500 Euros Euros to 1,000 Euros (US$700 to
03 a profile of
(US$2,501 and US$3,500). However, US$1,400). respondents
recruitment the largest number of respondents, 04 The recruiting
■■■
challenge
05 global hiring
intentions
average cost per hire
15 06 internal
recruitment
Average cost per hire
functions
07 The decision
500 to 1,000
to outsource
1,001 to 1,800
08 estimating
the real cost
1,801 to 2,500
of recruitment
Euros
2,501 to 3,500 09 Respondents
– country of
3,501 to 5,000 residence
10 about
5,001 to 10,000
sponsors
More than 10,000
0% 5% 10% 15% 20% 25%


The ThRee main
PRioRiTies oF RPo aRe
ReduCing Time To
hiRe, loweRing CosT
oF ReCRuiTmenT, and
inTegRaTing mulTiPle
souRCing Channels.


global RPo RePoRT 2009 | 22
09 respondents 01 Preface
Argentina Hungary Poland
02 executive
– country of Australia India Qatar summary
03 a profile of
Austria Indonesia Romania respondents
residence Belgium Iraq Russia 04 The recruiting
challenge
Brasil Ireland Saudi Arabia
05 global hiring
intentions
Bulgaria Israel Singapore
06 internal
Canada Italy Slovakia recruitment
functions
Chile Japan South Africa
07 The decision
to outsource
China Luxembourg South Korea
08 estimating
Czech Republic Macedonia Spain the real cost
of recruitment
Cuba Malaysia Switzerland 09 Respondents
– country of
Denmark Mexico Taiwan residence
Egypt Morocco Turkey 10 about
sponsors
France Netherlands United Arab Emirates
Germany New Zealand United Kingdom
Greece Nigeria United States
Guatemala Norway Venezuela
Hong Kong Philippines Vietnam
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global RPo RePoRt 2009 | 23
10 about the HRoa
Kelly oCg – RPo Practice ➔
➔ 01 Preface
02 executive
The HROA is the definitive
KellyOCG’s RPO Practice has been
sponsors summary
independent organization for all
an industry leader in Recruitment
03 a profile of
those who purchase, provide, or
Process Outsourcing (RPO) since respondents
04 the recruiting
participate in HR transformation
1995. Building a global footprint
challenge
and outsourcing. Our membership
with the combination of the HRfirst
05 global hiring
intentions
encompasses over 7,500 HR
and Access AG business units,
06 Internal
executives, including the largest
KellyOCG’s RPO Practice provides
recruitment
50 buyers, the top 30 providers,
businesses around the world with functions
07 the decision
the leading sourcing advisors and
strategies to optimise recruiting
to outsource
attorneys, and the best thought
efficiency, while attracting the highest
08 estimating
the real cost
leaders in HR Transformation. The
calibre of talent to organisations.
of recruitment
HROA brings its diverse membership
09 Respondents
together to set standards and – country of
residence
practices, provide peer networking,
10 about
and maintain a robust curriculum. sponsors
kellyocg.com hroa.org
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