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Building a Business Case to Support Your RPO Decision

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This webinar explores key RPO business case concepts and showcase an innovative recruiting cost modeler to help you overcome challenges associated with creating a holistic business case for recruitment process outsourcing (RPO).
Webinar highlights:
• Provides a holistic analysis of your current state recruiting program
• Contributes to the development of a solid Recruitment Process Outsourcing (RPO) business case
• Provides a step by step approach to streamlining your communication for your RPO business case to leaders within your organization
• Uses intellectual capital and solution architect expertise gained over numerous RPO solutions and implementations
Presenters:
• Dawn Pellar, Global RPO consultant currently a member of IBM’s Global Process Services Group for HRO
• Valerie Egan, Head of Resourcing-North America for Linde

Published in: Business, Technology
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Building a Business Case to Support Your RPO Decision

  1. 1. © 2013 IBM Corporation 1Building a business case to support your Recruitment ProcessOutsourcing (RPO) decisionDawn Pellardpellar@us.ibm.com+1 248 979 5950As an IBM solution architect and certified personnelconsultant, Dawn brings 25 years of experience in the HRindustry.Dawn acts as a worldwide consultant designing globalrecruiting solutions, working with a network of globalcolleagues and clients. She has developed and leads aglobal RPO exchange that shares best practices andlessons learned from around the world. This powerfulglobal RPO “think tank” meets regularly with RPO subjectmatter experts to discuss RPO trends.Dawn is a graduate of Ferris State University and hascompleted the executive training course at the FuquaSchool of Business at Duke University. She also has aGlobal Business Management degree from the Universityof Phoenix. Dawn and her family reside in Murrells Inlet,South Carolina.Val Eganvalerie.egan@linde.com+1 908-771-1915Valerie Egan is Head of Resourcing, North America forLinde, formerly BOC, a leading gases and engineeringcompany. In this role, she manages the staffing functionas well as provides oversight to an outsourced vendor.Prior to Linde, Valerie Egan was AVP, EmploymentOperations with Aon Human Capital Services. In thiscapacity, she supported AT&T for 7 years and specializedin management recruitment, college/university relations andnon management staffing. Prior to joining AT&T, Valerieworked for Merrill Lynch in New York City for 18 years invarious human resources capacities, primarily specializingin technology recruitment, college recruiting and employeerelations.She holds a B.S. in Marketing Management from St.Peters College and a Masters of Business Administrationfrom Pace University.Valerie has been a member of the Morris County NewJersey Chapter of SHRM for the past 10 years where shehas held various leadership positions. She currently holdsthe Board position of Past President.She has also spent many years as a tutor for LiteracyVolunteers of America.Welcome to today’swebinar hosted by theHROA!We’ll get started in a few minutes
  2. 2. © 2013 IBM Corporation 2Building a business case to support your Recruitment ProcessOutsourcing (RPO) decisionDawn Pellardpellar@us.ibm.com+1 248 979 5950As an IBM solution architect and certified personnelconsultant, Dawn brings 25 years of experience in the HRindustry.Dawn acts as a worldwide consultant designing globalrecruiting solutions, working with a network of globalcolleagues and clients. She has developed and leads aglobal RPO exchange that shares best practices andlessons learned from around the world. This powerfulglobal RPO “think tank” meets regularly with RPO subjectmatter experts to discuss RPO trends.Dawn is a graduate of Ferris State University and hascompleted the executive training course at the FuquaSchool of Business at Duke University. She also has aGlobal Business Management degree from the Universityof Phoenix. Dawn and her family reside in Murrells Inlet,South Carolina.Val Eganvalerie.egan@linde.com+1 908-771-1915Valerie Egan is Head of Resourcing, North America forLinde, formerly BOC, a leading gases and engineeringcompany. In this role, she manages the staffing functionas well as provides oversight to an outsourced vendor.Prior to Linde, Valerie Egan was AVP, EmploymentOperations with Aon Human Capital Services. In thiscapacity, she supported AT&T for 7 years and specializedin management recruitment, college/university relations andnon management staffing. Prior to joining AT&T, Valerieworked for Merrill Lynch in New York City for 18 years invarious human resources capacities, primarily specializingin technology recruitment, college recruiting and employeerelations.She holds a B.S. in Marketing Management from St.Peters College and a Masters of Business Administrationfrom Pace University.Valerie has been a member of the Morris County NewJersey Chapter of SHRM for the past 10 years where shehas held various leadership positions. She currently holdsthe Board position of Past President.She has also spent many years as a tutor for LiteracyVolunteers of America.
  3. 3. © 2013 IBM Corporation 3Agenda► Welcome and introductions► Talent acquisition trends► Challenges in building a business case► Collecting and understanding your data► Goal alignment and sponsorship► Effective communication
  4. 4. © 2013 IBM Corporation 4Registration questions summarized:Thank you for your answers!► 69% of Attendees are RPO or HRO providers► 31% of Attendees are HR practitioners, of these:o 8% are 1stgeneration RPO buyerso 11% are 2ndgeneration RPO buyerso 19% have a hybrid talent acquisition modelo 62% have not participated in an RPO in the past but areconsidering one
  5. 5. © 2013 IBM Corporation 5Polling question► What is the total number of annualhires for your organization (exempt,non-exempt, university andexecutive)?1. 0-5002. 501-10003. 1001-20004. 2001-50005. 5001+
  6. 6. © 2013 IBM Corporation 6Recruitment transformation: client trends (from 1sttime RPO Buyers)► Client conversations– Discussions HRO and RPO buyers► Conversation RPO trends– Recruiting “noise”• Not the right talent (quality and quantity)• Process is flawed (time, steps, technology, etc)• Candidate campaigns inadequate for focus skills (critical jobs going unfilled)• Employment brand inconsistencies (consistent, extension of culture)• Are candidates finding us versus are we finding candidates?– RFI / RFP initiative– Embedded in larger initiative• Process is imperfect• Talent Management is broader interest• Business case is not developed• Lack of sponsorship• No decision
  7. 7. © 2013 IBM Corporation 7Recruitment transformation: client solution► Response– Provide a guideline• White paper and recruiting cost modeler– Smarter workforce initative► Preparation– Understand your business costs– Goal alignment– Executive sponsorship– Implications for TA team members– Impact on your business and geographical units► How do you create and evaluate a business case to address these issues?
  8. 8. © 2013 IBM Corporation 8► Your business case has a direct impact on your RFP► Prospective providers need appropriate levels of information on how businessneeds are connected to the broader strategic vision► When objectives lack specificity, RFP responses are not as refined as theyshould be► Providers resort to submitting basic answers with generic lessons learned, asopposed to more dynamic solutions tailored to your business needs► What will your recruiting organization look like in 5 or 10 years? The impact of yourdecisions today will shape your processes in the future.► What roles will my key players have after transformation?► Am I aligned with senior executives vision of my organization’s future?The importance of a holistic business case forrecruitment transformation
  9. 9. © 2013 IBM Corporation 9Ten factors to consider when developing an RPObusiness case1. Set realistic expectations around the time and budget commitments needed to develop abusiness case2. Identify an executive sponsor for the projecta) An executive sponsor for the project orb) A Steering Committee of Key Stakeholdersi. Design & Implement a Mini Voice of the Customer to define key issuesii. Involve Steering Committee in the key issues to be addressed in the RFPiii. After down selecting to finalists, have them present to Steering Committeeiv. Allow Steering Committee to take part in the final decision3. Recruiting is more than just technology4. Understand how your retained organization’s role will evolve5. Consider the impact of RPO across multiple business units and geographies6. Ask yourself detailed questions to arrive at detailed objectives7. Utilize an RPO cost analysis modeler8. Use industry best practices to help evaluate what processes to retain vs. what processes tooutsource9. Align the ultimate goals of your business case align with the C-suite’s business objectives10. Internal support for your business case increases the likelihood for a successful conclusion toyour RFP
  10. 10. © 2013 IBM Corporation 10Understanding your data – the IBM RecruitingCost Modeler► How can you improve what you haven’tor can’t measure?– Provides a holistic analysis of yourcurrent-state recruiting program– Contributes to the development of a solidrecruitment process outsourcingbusiness case– Provides unique data (yours) to measureagainst in a credible process in which tobase decisions for recruiting– Leverages intellectual capital and solutionarchitect expertise gained over numerousengagements
  11. 11. © 2013 IBM Corporation 11Overview and demonstration of the IBM RecruitingCost ModelerHR cannot conduct this effort alone – you are going to need input!Importance of data collection, the value of analyticsand being able to run “what if” scenariosTalent acquisition Business leaders Procurement Marketing and IT► Hiring volume bylocation► Number of resourcesthat affect therecruiting process withsalary information► Hiring forecasts► Referral programdetails► Segment hiring intofour categories:university, hourly,salary, executive► Hiring forecasts► Critical job categoriesand key skills neededfor growth► Core competencies fornew hires► New market growthgoals► List of agencies withterms► Technology contracts(job boards, applicanttracking systemcontracts, sourcingcontracts, etc.)► Travel agreements (todetermine costs for jobfairs)► Marketing materialcosts for job fairs► Display costs► IT considerations► Maintenance costs forATS and recruitingtechnology► Report writing costs forhiring analytics
  12. 12. © 2013 IBM Corporation 12Polling question► Do you know the cost per hire foryour organization?1. Yes2. No
  13. 13. © 2013 IBM Corporation 13Demonstration of the IBM Recruiting Cost Modeler
  14. 14. © 2013 IBM Corporation 14Summary of benefits to the IBM RecruitingCost Modeler► Provides a holistic analysis of your current recruiting program► Contributes to the development of a solid recruitment process outsourcingbusiness case► Leverages intellectual capital and solution architect expertise gained overnumerous engagements► Logically analyzes costs in your recruiting organization– Hiring data– Recruiting costs– Staffing► Provides you internal and external benchmarking options► Builds a detailed view of people, process and technology► Presents actionable outcomes
  15. 15. © 2013 IBM Corporation 15Polling question► How do you benchmark your costs perhire?1. We benchmark internally2. We benchmark with external research3. We do not benchmark
  16. 16. © 2013 IBM Corporation 16Talent acquisition transformation: How good do I needto be?1. Talent acquisition process– Meeting the needs of the business– Adjust for varying business needs (white glove, volume hiring projects)– Cost per hire1. Talent acquisition staff– The right resource for the activity– Strategic versus tactical– Involvement with business decisions1. Technology– Enablement for recruiting– Create a technology eco-system that helps you run talent acquisition
  17. 17. © 2013 IBM Corporation 171. Aligning talent acquisition to company goals– Do we have a sustainable / flexible talent acquisition model?– Do we have an integrated technology platform?– Have we leveraged innovation to streamline processes?1. Cost savings– Do we have a clear understanding of where are costs are today?– Do we understand the impact of building a new infrastructure?– Can we show year-over-year cost savings as the new model is implemented?1. Process efficiency– Do we have the “right” resources doing the work?– Do we have harmonized systems?– Are we leveraging technology and innovation?How to present efficiencies and cost savingsto leadership
  18. 18. © 2013 IBM Corporation 18Val EganDawn Pellardpellar@us.ibm.com+1 248 979 5950Question and answer exchangeQuestions?‫أسئلة؟‬问题吗 ?Fragen?Le domande?¿Las preguntas?Frågor?
  19. 19. © 2013 IBM Corporation 19About HROA► Founded in 2003 - Global association► Open to anyone in the HR Outsourcing andTransformation industry anywhere in the world:practitioner, buyer, provider, technology firm, advisor,consultant, or academic.► Mission to be the single recognized community forimproving the quality, effectiveness, and efficiencyof outsourcing as part of an overall HR service deliverystrategy.► www.hroa.org

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