Top 4 Challenges of In-House Recruiting

One of the most difficult decisions a company has to make when recruiting is deciding whether to recruit in-house or work with a recruitment agency. Where recruiting in-house has a few advantages, it also comes with a lot of challenges that may be costly for the company in the long run.

Take a look at 4 of the challenges that a company may encounter if they decide to recruit in-house:

1. Too Many Applicants, Not Enough Quality

Advertising a new position will result in an inundation of CV’s from job seekers. Where a large amount of CV’s can be seen as a positive, for a company who is unfamiliar with how to cope with the volume, it can be very difficult to spot the great CV’s and separate the best candidates.

A good recruitment agency will have a great database with a quality candidate pool. It is the job of a well-trained recruitment consultant to headhunt the right candidate specifically for your role. Companies can further benefit by using a specialist recruitment agency who have the extra advantage of market expertise.

2. Keeping Recruitment Costs Down

Cost is always a large factor in the recruitment decision. Hiring managers tend to have a tight budget as companies want to keep costs as low as possible. Companies need to consider all costs involved, including time, systems and job boards. Some companies believe the quicker they recruit the lower the cost. Where this can be true, a quick hire can lead to hiring the wrong employee for your business. Arranging and conducting several interviews to determine if the candidate is right for the job is not a task that should be taken lightly.

Agencies use multiple methods to advertise the role. In addition to a great database and headhunting candidates – as we mentioned earlier in this article, job vacancies are also advertised on job boards, social media and their own personal website. Agency websites are more likely to generate a larger amount of traffic than a company website. Due to on-going costs, the process may end up costing more for a company than if they decided to use an agency that specialises in the role they require.

3. Lack of Time and Resources

Recruiting can be extremely time consuming and when running a business, it shouldn’t consume valuable time. As recruiting is not the main priority, companies run the risk of missing out on a great employee. The lack of resources can have a negative effect on recruitment. Response times can be less than adequate, quality candidates can be missed in the abundance of CV’s and not enough time will be spent vetting candidates.

Trusting a recruitment agency allows the company to focus on the business at hand. Great recruitment agencies will respond to every CV and spot the great candidates to follow up with. The seamless process lets company employees focus on meeting business objectives and leaves the recruitment agency to find the company a talented employee.

4. Recruitment Systems Not Good Enough

Most companies are unlikely to have a recruitment system in place. As a result, the lack of ability to effectively and efficiently manage the recruitment process and candidate flow can lead to a poor outcome and damage the company brand. Job seekers need to have the right information and be kept in regular communication regarding their application. Without a recruitment system, it can difficult to keep on top of processing applications, inviting, rejecting and reporting them.

Recruitment agencies are well equipped to deal with the whole process. Agencies have better systems that can produce automated flows to ensure candidates are receiving the correct information in a timely manner.

MRK Associates is a recruitment and career advisory company specialising in finance and revenue management jobs.

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