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Rise of Blended RPO - Addressing the Total Talent Acquisition Need

ID: EGR-2011-3-R-0597
September 2011
13 pages

Summary

With the rising importance of contingent workforce, organizations need to employ the same kind of rigor in their hiring as they do in the case of permanent employees, and find better ways to engage this section of the workforce. A total talent acquisition approach, where both contingent and permanent hiring find inclusion under one single, integrated hiring program, can answer some of these needs.

While outsourcing has emerged as an efficient and effective way to manage both contingent and permanent hiring requirements; to date, organizations largely followed a silo-based approach. One service provider manages contingent hiring, commonly known as Managed Service Provider (MSP), while another manages permanent hiring, commonly known as Recruitment Process Outsourcing (RPO), with non-existent collaboration and visibility across these two arrangements. In order to capture the value proposition of a total talent acquisition approach, organizations need to evaluate an integrated outsourcing model called “Blended RPO”.

Our analysis reveals that the blended RPO approach can yield significant benefits to buyers in terms of financial, business, and strategic impact over and above that of an independent MSP and RPO arrangement. However, there are some practical challenges that both buyers and service providers need to overcome to accelerate the adoption levels and realize the full potential of blended RPO.

This research report highlights:

  • What are the drivers for a total talent acquisition approach?
  • What are the financial, business, and strategic impacts that a blended RPO can create?
  • What are some of the major challenges in adoption of a blended RPO model?
  • What are the key considerations for buyers to realize the enhanced value proposition?