Why Outsource Staffing

Why Your Company Should Outsource Staffing and Recruitment

Outsourcing allows you to delegate your HR functions, saving you crucial time and resources. Learn more about it here.

Why Your Company Should Outsource Staffing and Recruitment

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Recruitment is one of the most tedious parts of running a company. Admittedly, it’s also very costly, costing anywhere from $3,000 to $5,000 per hire, according to the Society of Human Resources Management

Considering this, it’s no surprise that plenty of companies simply do not have the bandwidth or resources to handle their recruitment needs. But that doesn’t mean they’re left without relief. 

This is where outsourcing staffing comes in. By delegating their hiring process and recruitment efforts to a third-party provider, they can relieve themselves of the burden of hiring new full-time employees and focus on the core aspects of their business. 

What Is Outsourcing Staffing? 

Outsource staffing is a business practice of paying or hiring an external party to perform hiring processes and other HR responsibilities for them. It’s a good option for organizations that don’t have the resources to handle their recruiting needs independently. 

Instead, they can delegate the task to providers who are experts in hiring and recruitment and can set up the infrastructure needed and oversee the whole recruitment operation for their clients.

Outsourced staffing can also follow the offshoring model, where the provider and the company are based in different locations and geographically far away from each other. This setup allows the company to enjoy more cost savings while accessing overseas talent. 

What Are the Benefits of Outsourcing Staffing?

Benefits of outsourcing infographic
Source: Visually

Companies without their own HR teams to handle their recruitment needs are outsourcing staffing to carry out HR functions. They reap a range of benefits, which include the following:

Help in company growth

By hiring an outsourced staffing provider, you are delegating HR functions to a team of experts who can handle the job excellently and efficiently on top of direct hire options. They can help you find and attract suitable candidates. 

Working with an outsourced staffing provider levels the playing field and gives you someone to represent your business effectively. 

Higher quality candidates

As mentioned before, outsourced staffing providers are experts in their field. Backed by experience and training, they know how to find the best candidates to fill your vacant positions. They know exactly where to look, what qualities to look for, how to approach the candidates and entice them to accept the job offer, and train them to perform the roles that you require. 

Working with an outsourced recruitment agency ensures that you are supported by professionals in the recruitment industry who can help you find and access top-quality talent. 

Focus on core activities

Recruitment is a time-consuming and costly endeavor that places stress on corporate resources. And for small companies that take on it themselves, they effectively take time and money away from core areas of their business. Their employees become so focused on hiring and other HR aspects like staff contracts, recruitment, and payroll that they might overlook daily tasks important for company growth. 

Outsourcing your staffing needs can help you free up time and allocate your resources to more critical matters that align with your business functions and goals and can drive your company toward growth and success. 

Cost savings

graph of observed cost saved from outsourcing
Source: Sia Partners

It costs significantly cheaper to outsource your staffing needs than to hire, train, and onboard a new employee yourself. According to data, outsourced staffing can cut down business costs by as much as 64%. 

For one, you don’t have to sign up for job listing sites to access the talent market or pay to advertise your open positions. 

A staffing company will already have a pool of candidates ready to apply for jobs that align with their skills and experience. They will also handle all costly HR functions for you, from training and onboarding to setting up payroll, deals on employee benefits, and tax compliance. 

When Should Your Company Outsource Staffing?

Outsourcing your staffing needs is a cost-efficient and effective way to get high-quality candidates to fill your open positions and reduce the time and money you spend on HR functions. So, when is the right time to outsource your staffing needs? Here are four instances: 

Expected rapid growth

When your company is expected to grow rapidly in the next couple of years, business leaders will need a lot of workforce to back up operations and keep up with the demands of rapid growth. But the recruitment process can take a while, and when time is of the essence, you need a recruitment consultant to assist with staffing quickly. 

Recruitment agencies have a talent pool ready to be onboarded into your company. All they need to do is filter them out according to your requirements, find the best and most qualified talent for your business, and get started making a placement. 

High employee turnover

The lack of time and resources to carry out HR functions also leads to the loss of your ability to take care of your employees and ensure they are engaged and satisfied with their jobs. An outsourced staffing provider can help you improve employee retention as they maintain relationships with your employees and conduct regular assessments with them. 

Hard-to-fill roles

If your company requires talent to fill high-level or specialized roles and you just can’t seem to find suitable candidates for the job, you can hire an outsourced staffing provider. These professionals can provide their expertise and connections to various talent pools to find candidates with the qualifications you are looking for. 

Temporary positions

Your company might only need workers to help you with a temporary project. And in that case, you don’t have to spend much money and effort trying to find a candidate yourself. Outsourced staffing providers can help you fill temporary roles and discuss the project parameters with your candidates. 

How To Outsource Staffing?

Process of outsourcing staffing
Source: Apollo Technical 

Ready to outsource your staffing needs? Before you go ahead and hire a provider, make sure you take these steps first. 

1. Determine the company’s staffing needs

First, you should know how the staffing provider can help you. Determine what roles you’re looking to fill (temporary workers or full-time resources), and the qualifications you require, such as educational background, tech stacks, experience levels, and other things important for your business, like testing skills through competency tests. 

2. Search for a suitable outsource staffing provider

Now it’s time to find an outsourcing provider to accommodate those needs. One of the most important things to consider is their experience and staffing services in providing hiring support for your industry. For example, if you belong to the tech industry, you need a provider who has worked with tech companies so you’re assured they know your niche's requirements. 

Near provides a solution to your outsourced staffing needs. We offer you access to talent in Latin America with our in-depth knowledge of the region’s talent market and tailor-made hiring processes that suit your business needs and goals. We can guarantee fast placements that can onboard your remote employee in as fast as 21 days. 

3. Set expectations with outsourced staff

When you’re ready to hire your outsourced employees, you must set expectations from the get-go to ensure that you’re aligned about their roles and your company’s goals. Your staffing agency should have a dedicated recruiter to help you with the hiring and interview process. 

Near offers ongoing support for all its clients. You can always ask us for advice or guidance, and our industry expertise allows us to share our resources, best practices, and information about hiring and onboarding trends in Latin America. 

4. Monitor performance

Working with remote workers requires you to continuously monitor their performance to ensure they are doing what is expected of them. This calls for regular performance reviews and huddles focusing on receiving and providing feedback. 

Should your candidate perform differently from your needs and expectations, Near offers a replacement guarantee, finding you a new candidate for no additional cost. 

Conclusion

Outsourcing your staffing needs can help you save time, money, and effort on recruitment. Leave the hiring to the experts to ensure employer compliance and receive high-quality placements while focusing on the growth-building aspects of your business. 

If you’re ready to start working with an outsourced staffing provider, begin interviewing candidates from Latin America with Near.

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