We have successfully navigated through the first quarter of 2023 without the possible recession. However, businesses have continued to prioritize cost-cutting measures to prepare for what is approaching. For many organizations, cutbacks simply mean tightening of the budgets. Unfortunately, recruitment is often the primary area to take a hit when budgets are stringent.

61% of business leaders anticipate hiring or retention program budget reductions this year.

Acquiring the right talent is vital for organizational success. However, the temptation to expedite the hiring process is common in today's fast-paced business landscape. This rushed approach may offer temporary relief by filling open positions quickly, but it can result in long-term consequences known as "recruiting debt." The primary objective of recruitment should be to attract highly skilled professionals in the industry who can contribute to the company's success. Despite the influx of applicants on a daily basis, it is crucial for recruitment processes to be discerning in order to identify the most qualified candidates.

However, there is a silver lining. You don't have to resort to extreme measures like hiring freezes or layoffs to stay within your budget; you can always opt for cost-effective recruiting practices. Here are seven strategies to help you recruit more efficiently and cost-effectively, regardless of the economic climate. Dive into the below session to learn more.

Examining each applicant thoroughly to determine their suitability, as well as investing in their training and orientation, can put a strain on the company's financial resources. Thus, there exists a delicate equilibrium between the expenses associated with recruitment and the extent to which the company is willing to invest in securing top-tier talent.

7 Cost-Effective Recruiting Tips for Your Business 

• Advertise where it's worth it

  Adopting effective advertising strategies is crucial to enhance the cost-effectiveness of your hiring efforts. Utilizing data analysis, you can identify the recruitment channels that have proven efficient in attracting highly qualified candidates, enabling you to allocate your job advertising budget wisely.

  By investing in the appropriate advertising platforms, you can optimize your budget allocation. An effective approach is to explore programmatic job advertising.

  ---

  Programmatic job advertising has the potential to reduce your cost-per-applicant by over 30%.

  ---

  Furthermore, it is essential to acknowledge the evolving labor market dynamics, mainly due to the COVID-19 crisis, which has significantly increased unemployment rates. As a result, you are likely to receive a higher volume of applications without having to invest heavily in advertising as extensively as before.

• Emphasizing internal mobility as a strategy to address skill shortages

  Internal mobility programs offer a cost-effective solution for reducing recruiting expenses. By motivating employees to explore new opportunities within the organization, companies can benefit in various ways, particularly during times of economic uncertainty. To establish a successful internal mobility program, foster a culture that values internal job transitions. Start by performing an internal audit to identify skills gaps and leverage existing team members to fill those gaps. This assessment will also help determine which skills need to be sourced externally.

  However, despite the advantages of internal talent mobility, many companies struggle to get it right.

  ---

  Nearly half of all companies (49%) express concern about their internal systems' capability to identify and transition employees into different positions effectively.

  ---

  To overcome this, develop structured internal recruitment processes that promote career development and mentorship. This approach not only enhances internal mobility but also boosts employee retention rates.

  ---

  94% of employees are more likely to stay with a company that invests in their growth.

  ---

  You may also consider hiring high-performing interns for entry-level positions within the organization.

• Encourage employee referrals

  Employee referral is a highly effective way to find qualified candidates who align with the company culture.

  ---

  69% of organizations have a formal employee referral program in place.

  ---

  The advantages are evident:

  • Leveraging your employees' connections enables you to make exceptional hires at a reduced cost.
  • Referred candidates tend to complete training faster and reach peak productivity sooner.
  • They are five times more likely to be hired, with one in five referrals receiving a job offer.
  • Referred employees often prove to be a long-term fit as they come recommended by individuals who already know and appreciate the company culture.

  Establishing or enhancing your employee referral program to achieve cost-effective recruiting is crucial. You can accomplish this by incentivizing employee referrals through incentives like retail gift cards or cash bonuses. Additionally, tapping into the organization's external network and identifying suitable colleagues can yield positive results.

Also Read: Recruitment Process Outsourcing | Trends for 2023 and Why Your Business Needs it.

• Use recruiting automation

  ---

  Companies with a time to hire of three weeks or more spend approximately $3,000-$4,000 per hire, whereas those with a time to hire under three weeks experience a significant 50% cost reduction.

  ---

  Automating manual and repetitive hiring tasks minimizes labor hours, leading to financial savings and enhanced recruitment operations. Several steps in the recruitment processes can benefit from automation to optimize cost-effectiveness, including:

  • Advertising open roles
  • Tracking job applicants
  • Scheduling job interviews
  • Recruiting on social media
  • Pre-screening candidates
  • Rediscovering past candidates
  • Nurturing job candidates
  • Conducting background checks

  By implementing recruiting automation, businesses can achieve efficient and budget-friendly hiring practices while saving valuable time and resources.

• Adopt remote interviewing

  Remote interviewing has become increasingly popular, primarily due to the COVID-19 pandemic, which has made in-person interviews difficult. According to a survey, 63% of companies have used video interviews in their hiring process, and this trend continues to grow as more organizations adopt virtual interviewing.

  The advantages of remote interviewing are evident.

  • It reduces time to hire, minimizes unconscious biases in hiring decisions, simplifies scheduling, and ultimately lowers hiring costs.
  • Companies that utilize virtual interviews are 2.7 times more likely to improve their cost per hire compared to those that don't.
  • Leading companies are 61% more likely to use video interviewing tools than others.

  To streamline the interviewing process and save labor hours, one-way video interviews can be used for candidate screening instead of phone calls. Later stages of the candidate journey can include live virtual interviews, which can be easily scheduled with the help of an interview scheduling tool.

  In response to COVID-19, many companies are also opting for virtual job fairs for recruitment. These virtual fairs are more cost-effective to organize and participate in than physical job fairs.

• Use recruitment analytics and track results.

  Recruitment analytics is a game-changer for organizations seeking smarter, cost-effective recruiting.

  ---

  By 2025, 84% of recruiters predict data-driven hiring decisions to be the norm.

  ---

  Utilizing these analytics enhances hire quality, process efficiency, and cost optimization. However, not all metrics hold equal value. Selecting the right metrics is crucial for effective recruitment analytics. While time to hire, cost per hire, and retention rate is commonly tracked, other metrics offer powerful insights, including:

  • Source of hire
  • Retention rate
  • Candidate quality
  • Turnover rate
  • Quality of hire
  • Applicant-to-hire
  • Application completion rate

• Use social media and other digital channels.

  Social recruiting has gained immense popularity lately as organizations incorporate it into their hiring strategies.

  ---

  According to a survey, 70% of hiring managers have achieved successful hires through social media, while 71% have found it effective in reducing the time to fill positions.

  ---

  Leveraging digital platforms such as social media, company blogs, websites, job portals, and job alerts can enhance visibility, lower recruitment expenses, and strengthen your sourcing approach. It's important to note that social media platforms are free to use, presenting an opportunity to enhance your employer brand simultaneously. It's a win-win situation!

Conclusion 

Making wise hiring decisions is crucial for both cost-cutting and retaining top talent. However, having the apt knowledge and tools to foster efficient and cost-effective recruiting processes is vital. Exela HR Solutions is a market leader in providing HR outsourcing services. We at Exela HR Solutions take care of your entire hiring process, from finding the right talent suitable to your business requirements to hiring to onboarding new hires. If you are struggling with costly and time-consuming recruitment processes, get in touch with our experts to design and deliver a cost-effective recruiting strategy for your business. Speak with our experts at Exela HR Solutions today!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

Recruitment Process Outsourcing (RPO) has come a long way since its inception in the 1940s, evolving from manual, paper-based processes to automated and highly efficient systems. In 2023, amidst a dynamic economic landscape, businesses recognize the importance of considering RPO as a strategic solution for their talent acquisition needs. As the Recruiting Insights and Employment Trends Report for April 2023 highlights, concerns of an impending recession loomed over 2022, creating uncertainty in the job market. However, as we progress into the second quarter of 2023, there are signs of a potential soft landing. With economists offering divergent opinions on the economic trajectory, businesses find themselves in a state of flux, seeking the best approach to recruitment and talent acquisition.

What is RPO? 

In its essence, Recruitment Process Outsourcing (RPO) involves hiring an external company, such as Company B, to swiftly identify and attract top talent on behalf of Company A.

RPO providers stand out from other outsourcing firms due to their accountability for delivering outcomes. They design and manage the entire recruitment process, streamlining the hiring system and expediting access to talented individuals. By implementing controlled recruitment processes, businesses can enhance productivity, align prospective employees with their strategic goals, and improve internal recruitment practices.

What Drives the RPO Market & Key Trends in 2023 

The RPO market is driven by several factors contributing to its growth. Cost savings achieved through economies of scale and optimized recruitment processes enable businesses to allocate resources efficiently. Partnering with specialized recruitment firms and utilizing their extensive networks provides organizations with improved access to top talent. RPO enhances recruitment efficiency by reducing time-to-hire and streamlining the process.

Additionally, the scalability and flexibility offered by RPO allow businesses to align their recruitment resources with fluctuating needs, optimizing their workforce accordingly. Outsourcing non-core recruitment functions allows organizations to focus on their core competencies, leading to overall operational effectiveness.

In order to stay ahead in the RPO landscape, businesses need to be aware of key trends. Integrating AI and automation in recruitment processes, such as using chatbots for initial candidate screening and video interviewing platforms, revolutionizes talent sourcing and assessment. Emphasizing diversity and inclusion in recruitment helps address talent gaps and ensures unbiased candidate selection. Employer branding and candidate experience are gaining increasing importance as they play a crucial role in attracting and retaining top talent. Additionally, data-driven recruitment strategies, utilizing analytics to identify trends and optimize sourcing channels, are on the rise, empowering organizations to make well-informed decisions.

RPO Market Restraints 

While RPO offers significant advantages, it is crucial to consider potential restraints.

• Concerns may arise over losing control and transparency in the recruitment process when working with external service providers.
• Cultural and communication challenges can also be encountered, requiring effective collaboration and understanding.
• Data security and confidentiality concerns may arise due to the sharing of sensitive candidate information.
• Resistance to change within organizations and reluctance to outsource critical HR functions can pose additional hurdles.
• Alternative recruitment models and solutions, such as in-house recruitment teams or job portals, may deter organizations from considering RPO.

Let's explore some of the key benefits of RPO and why more businesses are embracing it.

What are the Biggest Benefits of RPO?

With each passing year, the number of companies showing interest in outsourcing their recruitment process grows significantly. Why is this happening? Why is the internal recruitment process slowly dying? Here’s a look

• Risk Mitigation & Compliance

  Adhering to labor laws and regulations can be complex, especially in different regions or countries. Partnering with an RPO service provider ensures compliance and minimizes legal risks. These providers possess extensive knowledge of national and international labor laws, safeguarding your business from unintended violations.

• Access to Exclusive Talent Pool

  One of the biggest challenges in today's labor market is finding suitable candidates for crucial positions. RPO providers maintain comprehensive databases of hard-to-reach, highly qualified professionals. Their proven track record and exclusive access to top talent enable them to efficiently connect client companies with in-demand candidates.

• Flexibility and Scalability

  Business needs and hiring requirements fluctuate throughout the year. RPO providers excel at adapting to changing circumstances, such as market events or unforeseen challenges. They can hire employees on a project-based or on-demand basis, ensuring flexibility and scalability while optimizing workforce management.

• Highly Insightful RPO Analytics

  RPO companies possess vast talent databases, allowing them to analyze and predict future trends that impact your business. They leverage this data to provide valuable insights, advise employers, and balance the supply and demand for key positions. By partnering with an RPO provider, you can access efficient recruitment systems driven by data analysis, fostering your organization's progressive growth.

• Quicker Talent Acquisition & Boost in Efficiency

  In today's fast-paced business environment, hiring skilled talent promptly is crucial for staying competitive. Outsourcing the recruitment process to an RPO provider ensures access to high-quality candidates in a timely manner. According to a 2015 Deloitte poll, recruiting scientists, engineers, and researchers takes an average of 94 days. RPO can significantly reduce this timeline, giving you a competitive advantage.

New positions take an average of 42 days to fill.

- 20 Essential Recruitment Statistics for 2023 | NorthOne

• Reduced Burden on the Internal HR Department

  RPO doesn't mean eliminating your internal HR personnel. By outsourcing recruitment functions, you can alleviate the workload of your HR department, allowing them to focus on other critical tasks like employee development and retention. Professional RPO providers enhance efficiency and productivity, enabling HR departments to tackle internal issues effectively.

• Employer Branding

  Upholding your company's reputation and image is essential in attracting talented candidates. RPO providers engage in effective hiring conversations that reflect your brand, making your company an attractive choice for potential employees. Whether you aim to expand your HR department or attract external talent, an RPO provider acts as a brand ambassador, conveying the right message to the market.

Also Read: The Most Common Recruitment Process Challenges Hindering Business Growth

What are the Types of RPO? 

RPO providers do not follow any single, specific model. In general, RPO offers three types of engagement models to cater to your specific needs:

• Full RPO: Where the RPO provider offers full internal recruitment outsourcing capabilities for your company, including access to their extensive resources.
• Role-based RPO: In this arrangement, the RPO provider will assume full control of any one specific department or division of a company. For example, the marketing department or the entire sales division of the company.
• RPO On-Demand: This is purely contractual and has an end date. For example, hire three managers and 75 customer support specialists before the next quarter ends.

Is RPO Right for your Organization in 2023? 

The recruitment market has become increasingly complex in today's business landscape. Organizations must navigate a highly competitive job market to attract and hire top talent, leverage relevant technologies to streamline processes, and effectively guide and mentor candidates. Recruitment Process Outsourcing (RPO) companies specialize in these areas, making talent acquisition their core competency. They possess the necessary resources to refine their hiring skills, adapt to the ever-changing hiring environment, and stay abreast of the latest techniques to meet their client's needs. RPO firms also provide valuable statistical data for high-quality talent acquisition.

An RPO solution can offer several benefits based on your organization's requirements, including:

• Reduction in hiring costs: By engaging an RPO provider, organizations can save costs in their recruitment efforts.

• Increased reliance on delivery companies: Collaborating with RPO firms enhances the efficiency and productivity of hiring managers.

• Decreased downsizing times: RPO services can expedite the process of downsizing, minimizing disruption to the organization.

• Enhanced hiring alerts: RPO firms can improve the effectiveness of hiring alerts, ensuring timely and relevant notifications.

• Improved candidate experience: With the expertise and resources of RPO providers, organizations can enhance the overall experience for candidates throughout the recruitment process.

• Streamlined and optimized ordering process: RPO solutions simplify and optimize the ordering process, reducing administrative burden and ensuring a smooth workflow.

• Opportunity cost and increased focus on important tasks: By leveraging RPO services, organizations can redirect their resources and focus on other critical tasks, maximizing their productivity.

In the past, RPO was primarily accessible to large companies, providing them with a higher hiring rate at a lower cost than alternative hiring options. However, RPO has evolved over the years to offer flexible strategic hiring solutions that cater to the needs of small businesses as well. Small businesses face their own unique challenges, such as changing requirements and limited internal resources. In addition to recruitment and hiring, HR staff in small businesses often handle various functions, including employee relationship management, training, payroll, compensation, and benefits. Furthermore, fluctuating workforce sizes throughout the year can challenge internal teams to meet hiring demands. RPO provides small businesses with scalability and cost variability in their recruitment processes.

Why Choose RPO Over Other Options?

Traditionally, companies choose from one of three talent sourcing options: internal recruiters, staffing companies, and contractors. Until recently, few companies knew that outsourcing the hiring process could be a viable hiring solution. Unlike other outsourcing models, the outsourcing process is a strategic partnership that adds value in the following ways:

• Assessment of candidates: RPO providers look after candidates, guide them through the hiring process, and ensure they have the basic skills, abilities, and motivation to do the job.
• Job Marketing: RPO providers can market their clients; work through billboards, social media, referrals, and networks, making it easier to connect with a wider pool of talent.
• Planning & Analysis: When implemented effectively, RPO providers work with their customers to understand the business aspects of their goals. This allows them to anticipate staffing needs and plan ahead to meet those requirements to achieve all business goals.
• Applicant Care & Sourcing: It is important to manage the candidate’s experience to reflect the employer’s brand. RPO providers help clients care for applicants and manage their experience, whether in an interview, hiring review, or job search. In addition to sourcing talent, RPO providers develop brand awareness and job placement opportunities and connect with future potential talent through our talent communities and talent channel. On the other hand, candidates can also evaluate some of the arguments and find out in advance if the company is a good fit or not.

Exela HR Solutions, a leading provider of Recruitment Process Outsourcing (RPO) services, stands at the forefront of the industry. With a global clientele, we offer a fast and efficient talent acquisition process, encompassing requisition management, applicant tracking, interview assessments, and comprehensive onboarding support. Our dedicated team of HR professionals ensures that all your HR tasks are handled meticulously and punctually, backed by best HR practices and robust technology that minimizes employment-related risks. We excel in building strong networks to swiftly identify the right talent for your business. In addition, our powerful HR technology facilitates global payroll processing, timely payouts, and full employee benefits administration. With our HR and Business Partner Services, your employees receive dedicated support for grievance management, leave management, engagement activities, travel and expense management, rewards and recognition, coaching and mentoring, and more.

Experience the difference with Exela HR Solutions and optimize your recruitment process today!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

In today's ever-evolving business world, competition is fierce. To attract, hire, and retain the best talent, organizations are striving to out-complete others in their industry. Hiring has become a tough nut to crack - irrespective of the fact whether you're hiring a mill worker or a CEO for a big giant - the challenge is industry-agnostic and universal. Attracting and convincing more senior talent, such as VPs, CTOs, or other C-suites, is more challenging these days; organizations have to take support from a plethora of executive search agencies - solely specializing in finding leaders. There are several other techniques to lure and hire the best talent for your company. While you struggle to fill roles and wonder how to make the top candidates lists, ensure your recruitment processes are well-organized and smooth.

74% of employers have hired the wrong person due to ineffective recruitment practices.

There are multiple reasons why traditional recruitment processes can go wrong. First, most companies often tend to pay more attention to the revenue-generating teams, completely freezing out human resources. This way, you never get to acknowledge the challenges your recruitment teams are facing. So, here's a list of challenges faced by the company's recruitment processes that will give you a comprehensive view of potential growth areas.

The most common challenges in the recruitment processes

Employee recruitment processes are the most complex processes human resource professionals have to deal with. From creating strategies to plans for recruitment, every action has an equal impact on the business's progress, for better or worse. There are employee recruitment tools and recruitment process outsourcing firms that make the process smoother. However, it is crucial to understand the challenges first. Here are some of the common challenges faced by the company's recruitment processes.

• Forgetting about the measurable goals and metrics
• Every recruitment process has one wholesome goal – to onboard more top talent. Having this goal is crucial, but it has one fundamental flaw - it has no numbers. As a result, it is challenging to find weak points if you don't have enough recruitment metrics around your hiring process. For instance, if you don't have measurable goals, you can't find the root cause of challenges - whether a lack of job seekers is because of a complicated application process, low traffic on the career page, or a lackluster job description.
• Your recruitment processes should follow an intelligent framework that is measurable, attainable, relevant, specific, and time-based. You can use metrics such as job posting views, traffic to your career page, hiring rates, the number of applicants, time to hire, time to interview to streamline your processes, etc. These numbers can be tracked from your website analytics or an applicant tracking system.
• Promoting the wrong brand image through recruitment marketing and the careers page
• Now more than ever, employees look for employer brands that align with their needs and values. Some of the top contributing factors to why most employees leave their jobs include fewer opportunities for advancement, low pay, and a disrespectful work environment.

• ---

  75% of job seekers consider the employers' brand before even applying for a job.

  ---

• Employees are more likely to discard job applications or reject the job offer if they don't like what they see.

• ---

  75% of employees would not take a job from a company having a bad reputation - even if they were unemployed!

  ---

• Your recruitment marketing, LinkedIn, job board listings, social posts, appropriate job materials, and career pages must communicate your company culture, values, and benefits. You can even opt for testimonials or positive stories from your existing employees to share what they enjoy and love most about your company.

Also Read: Withholding HR and payroll data from employees? Unnecessary!

• Not using the 'social' part of social media
• Most recruitment processes make the biggest mistake of using social media as just another job announcement platform instead of using it as a community-building space. There are multiple other ways to have one-way communication, from your website to job posting sites. But, you must use social media to go social.
• Use your best content strategies to start conversations, gather views, enhance engagement, and attract more candidates. People are more likely to confront your content if they can see personal values in it. Moreover, you can get more views when your posts get more interactions, as social media algorithms prioritize engagement. Enhancing engagement with your community is also a great way to stay in touch with passive candidates.

• ---

  70% of the global workforce is comprised of passive talent who aren't actively looking for a job.

  ---

• And the good news is that 90% of these passive candidates are interested in hearing about new job opportunities.
• Inconvenient application process
• A cumbersome application process can give candidates a poor first impression of your brand. In addition, if people find it difficult to interact with your brand from the get-go, they may feel it will be a headache working with you full-time. Outsourcing your recruitment processes or using efficient recruiting software can help streamline your hiring processes with automation, mobile-friendly applications, applicant tracking, and more.

• ---

  76% of hiring managers admit that attracting suitable job candidates is their greatest challenge.

  ---

• To ensure you have a convenient and efficient application process, compare the metrics, find the root cause, and work toward betterment. You can also take the help of your existing employees to understand the ways you can improve your application process.
• Absence of an employee referral program
• As they say, "Family and friends are hidden treasures; seek them out and enjoy their riches" - reach out to your family first. You can always get better leads from your current employee base. Sometimes referral incentives do wonders in encouraging employees to reach out to their connections and share job listings. However, relying entirely on more significant bonuses to drive referrals isn't a good idea. Instead, get to know your employees through surveys or questionnaires and find out what you can do to address any hesitation in referring. Moreover, give them easy ways, incentives, and bonuses to promote job postings.
• Impersonal communication
• Everyone wants to feel appreciated – at the workplace, in homes, or in public areas – and candidates are no different.

• ---

  81% of candidates say that better communication would immensely improve their overall candidate experience.

  ---

• Most employees expect personalized communication that respects their ideas and values. However, creating a personalized experience at scale can sometimes become tricky and overwhelming; this is where automation and templates come into the picture. An outstanding and unique interview invitation email can set your company apart from the others. Consider sharing short videos, testimonials, or employee experiences with new hires to make the recruitment process more exciting and encouraging.

The Bottom Line

If you are still using age-old techniques, recruiting processes can be challenging. Siloed processes tend to hinder organizational growth and must be acknowledged on priority. The above-listed challenges will help you get a comprehensive view of areas with scope for improvement. If you are still facing issues getting past these recruiting process challenges, you can opt to outsource your hiring practices to hire and retain the best talent. Exela HR Solutions is an exceptional HR outsourcing service provider that will help you attract, hire, and retain the best talent for your organizational requirements. Speak with our experts at Exela HR Solutions today and learn more about transforming your HR functions and maximizing ROIs!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

HR and payroll data – every salaried professional is well aware of these terms, but how many of these professionals have access to it? It might vary from enterprise to enterprise. But isn’t the employee data supposed to be shared transparently with employees? Of course, yes! Yet, many organizations hide HR and payroll data from employees.

It can be problematic for employees when they are kept in the dark about their own data. There are many instances where employees get stuck into unnecessary jams or get stranded by payroll errors or HR management mistakes – just because they don’t have access to their personal employment data. Picture this – your employees are getting into critical medical situations and have no idea about insurance policies or deductions. Or, they have to chase HR professionals to correct some information; or even worse, employees find out they have been shorted on their check without knowing deductions.

An ineffective knowledge-sharing culture can cost large companies over $47 million in lost productivity annually.

All of this can be sorted with just one solution – let your employees access, update, and manage their own HR and payroll processing data. Built-up communication and transparency are perhaps the most valuable features of a successful work environment.

Companies with a high-trust environment gain two to three times higher stock returns and have 50% lower turnover rates than competitors.

The high-trust environment is where employees can collaboratively and transparently share knowledge. But, as simple as it sounds, many firms aren’t still on board. Here’s why organizations try to keep HR and payroll processing data from employees and how they can stop information from withholding.

The numbers

These numbers are everything you need to see and understand why it’s crucial to effectively and transparently share HR and payroll processing data with employees:

• Delayed salaries can adversely affect the job satisfaction and personal financial outlook of 70% of people.
• Allowing employees to verify payroll processing data before it gets credited helps employees (35%) plan finances more efficiently, (28%) trust their employer even more, and (24%) better plan for changes in wages.
• 30% of employees wish to review the accuracy of their pay before it hits their salary accounts.
• 90% of employees find it beneficial to have 24/7 access to their HR data, including payroll, in one place.
• 77% of employees are frustrated with the outdated technologies they use at work, and 67% would instead take a pay cut for something twice as good.

Also Read: Employee Engagement Starts with Accurate Payroll Outsourcing

Why do organizations keep HR and payroll data from employees

After going through all the numbers showing how adversely hiding employee data can affect both the organization and employees, the most obvious question that arises is why do most organizations hide employee information? According to a survey, the reason could be the fear of losing power or having the leverage to know unique information.

Other reasons might also include the following:

• Identifying knowledge as our own property.
• Worrying that we will be judged on the basis of what we know.
• Disliking or distrusting those who ask us.

In a nutshell, organizations hide information because they fear the potential costs of sharing it. But does information hiding really benefit organizations? Of course not!

According to a survey, people who engage in knowledge hiding are over 17% less likely to thrive at work or experience growth and learning.

Knowledge or information withholding from peers does not actually result in a competitive advantage. It instead makes employees feel psychologically unsafe. It is evident that without psychological safety, employees find it challenging to focus on work, develop meaningful relationships, or explore new working styles without worrying about failures or mistakes. Under such circumstances, employees often struggle to maintain a positive attitude and engage in learning opportunities.

How can organizations stop withholding HR and payroll data from employees?

The HR department has one unique mission to work toward employees’ needs and wants. On top of that, some companies solely work to simplify your HR processes by providing best-in-class HR services – including payroll. Hiding employment data from employees with a negative attitude is only going to harm. Organizations must establish cultures where employees feel comfortable expressing their concerns. Addressing employee issues that are making them feel cynical can help you gain back their trust and help alleviate that cynicism.

Third-party, anonymous surveys can also do wonders in helping you figure out why your HR and payroll management professionals hold cynical attitudes. The results will help you design and implement targeted practices to ensure the workplace is fair, hopeful, and trustworthy for everyone. Moreover, you can also arrange workshops or training for HR management and payroll management teams on understanding employee behavior.

Lastly, HR and payroll outsourcing can essentially turn out to be beneficial. You wouldn’t have to worry about sensitive employee data getting lost or stolen and still can effectively and transparently share with employees. HR outsourcing services ensure that all the records are secure and provide best-in-class platforms where employees can easily access, maintain, or change their HR or payroll data.

Though all of these changes seem easy, implementing those won’t be. Withholding HR and payroll data from employees is widely prevalent in the workplace, which will take time to fix. However, being patient and acknowledging reality can be your first step toward developing an ideal workplace.

Conclusion

Most organizations that provide HR services or payroll processing services are aware of the fact that they are dealing with the most sensitive part of an organization – people. Employees are the most valuable asset that companies can have; thus, it is incredibly critical to help them feel satisfied and happy – which directly affects employee productivity and engagement. While all of this is well communicated, most organizations still make the common mistake of hiding HR and payroll data from employees. This makes your employees feel insecure and less satisfied with the work culture.

Exela HR Solutions is a leader in HR outsourcing and payroll outsourcing services that can help simplify all your HR processes, manage data securely, and implement practices to make your workplace ideal. Our experts provide the best-in-class, unified platform where your employees can easily access and manage all their data. Talk to our experts to discuss your requirements and solution for the same. Get Exela HR Solutions today!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

Even as technology cements its crucial role in business, the real driving force behind success today lies in having the right people. In this era of digital industry, the digital IQ of leaders and their teams becomes paramount, impacting revenue and overall organizational performance.

What is the Biggest Challenge Manufacturers face today?

Without the right talent, even the most advanced technologies can fall short of their potential. The success of manufacturing companies hinges on their ability to attract and retain skilled individuals who can navigate the complexities of the evolving industry. The competitive and dynamic nature of today's markets underscores the importance of strategic talent acquisition.

As a cornerstone of global economies, the manufacturing industry faces distinctive challenges in talent acquisition. The sector demands a workforce with specialized skills, adaptability to technological advancements, and a keen understanding of industry-specific processes. Staffing agencies operating in manufacturing recruitment find themselves navigating through a complex web of requirements, often struggling to match the right talent with the specific needs of their clients.

The Rise of RPO in Manufacturing

Against the backdrop of these challenges, a standardized approach within Recruitment Process Outsourcing (RPO), emerges as a strategic solution that is gaining traction in the manufacturing sector. RPO establishes a collaborative partnership between manufacturing companies and specialized providers, typically third-party staffing agencies. These providers seamlessly take over the entire recruitment process, offering a customized and flexible approach to talent acquisition.

This standardized approach represents a departure from the traditional, fragmented recruitment methods, offering a cohesive and consistent strategy. By adopting standardized RPO practices, staffing agencies can overcome the hurdles inherent to manufacturing hiring and usher in a transformative era of efficiency, quality, and strategic alignment. As we delve deeper into this exploration, it becomes apparent that the convergence of RPO and standardized methodologies holds the potential to redefine the landscape of manufacturing recruitment.

As of 2023, the global RPO market size has witnessed significant growth, reaching USD 6098.9 million in 2021 and expected to expand at a CAGR of 6.62% through 2027. This surge in popularity underscores the undeniable benefits that RPO brings to workforce management in the manufacturing industry.

Let us do a deep dive, particularly in the hiring challenges faced by the manufacturing industry.

The Manufacturing Hiring Challenges

1. Unique Demands of Manufacturing Industry

   The manufacturing sector stands as a pillar of the global economy, contributing significantly to employment and production. However, recruiting for manufacturing roles presents a distinct set of challenges. Positions in this industry often require specialized skills, ranging from machine operation and maintenance to quality control and logistics. Moreover, the rapid technological advancements in manufacturing necessitate a skilled and adaptable workforce to evolving processes and automation.

2. Common Recruitment Challenges for Staffing Agencies

   Staffing agencies operating in the manufacturing domain grapple with multifaceted challenges. Identifying candidates with the right technical proficiencies, ensuring compliance with industry regulations, and addressing the industry’s seasonality and cyclicality are just a few hurdles. The high demand for skilled labor and a limited pool of qualified candidates exacerbate the competition among staffing agencies. The traditional recruitment approaches often fail to provide timely and practical solutions to these challenges.

3. Need for Innovation in the Hiring Process

   In an era marked by technological advancements and evolving workforce expectations, the need for innovation in the manufacturing hiring process is more critical than ever. Staffing agencies must move beyond conventional methods to navigate the complexities of talent acquisition in the manufacturing sector.

   The urgency to find skilled workers quickly, coupled with the requirement for a workforce capable of embracing Industry 4.0 technologies, underscores the necessity for a revolutionary approach—one that can only be addressed by the likes of RPO’s standardized methodologies. The challenges posed by manufacturing hiring are the catalysts driving the paradigm shift toward innovative and standardized recruitment solutions.

Understanding RPO and Its Standardized Approach

1. Definition and Core Principles of RPO

   Recruitment Process Outsourcing (RPO) is a strategic partnership between organizations and external service providers dedicated to handling all or part of the recruitment process. This collaboration aims to enhance the efficiency and effectiveness of talent acquisition. RPO providers bring specialized expertise, technology, and resources to streamline recruitment workflows, improve candidate quality, and align hiring strategies with organizational goals. The core principles of RPO include scalability, flexibility, and a focus on long-term strategic talent management.

2. Traditional vs. Standardized RPO Models

   Traditional RPO models often involve customized solutions for each client, resulting in a lack of consistency across different recruitment processes. The standardized RPO approach, however, revolves around the implementation of uniform methodologies and best practices. By establishing standardized procedures, RPO providers can achieve greater efficiency, reduce errors, and ensure a more seamless experience for both clients and candidates. This shift from a bespoke approach to a standardized model is particularly crucial in manufacturing industries where consistency and precision are paramount.

3. Key Components of a Standardized RPO Approach

   The standardized RPO approach encompasses several key components to ensure a cohesive and efficient recruitment process. This includes the development of standardized workflows, job descriptions, and assessment criteria. Standardization extends to the use of technology, where data-driven insights and analytics play a pivotal role in optimizing recruitment strategies. Additionally, the standardization of communication channels and candidate interactions contributes to a more transparent and positive recruitment experience. As staffing agencies embrace this standardized approach, they equip themselves with a powerful tool to revolutionize manufacturing hiring practices.

Also read our latest blog: How to Create an HR Strategy That Aligns With Your Business Goals

The Role of Standardization in Manufacturing Hiring

1. Importance of Consistency in Talent Acquisition

   In manufacturing hiring, where precision and reliability are paramount, the importance of a standardized approach cannot be overstated. Standardization ensures a consistent and uniform application of recruitment processes, from candidate sourcing to onboarding. This uniformity is crucial in manufacturing roles, where specific skills, certifications, and qualifications are non-negotiable. By maintaining consistency, RPO providers can minimize errors, reduce time-to-fill, and enhance the overall quality of candidates brought into the manufacturing workforce.

2. Addressing Industry-Specific Challenges

   The manufacturing industry comes with its own set of challenges, including the need for specialized technical skills, adherence to safety regulations, and, often, the requirement for candidates with experience in a highly regulated environment. A standardized RPO approach allows staffing agencies to systematically create tailored solutions that address these industry-specific challenges. From developing standardized job descriptions that accurately reflect manufacturing requirements to implementing uniform assessment processes, standardization becomes a linchpin in overcoming the complexities of manufacturing recruitment.

3. Improving Efficiency and Streamlining Processes

   Efficiency is a critical driver in manufacturing, and the hiring process is no exception. Standardized RPO methodologies introduce efficiency by streamlining processes, reducing redundancies, and accelerating time-to-fill. With standardized workflows, RPO providers can quickly adapt to the dynamic demands of manufacturing clients, ensuring that the suitable candidates are identified and placed promptly. This efficiency benefits staffing agencies by optimizing their operations and adds tangible value to manufacturing clients seeking a swift and effective recruitment solution.

Conclusion

The standardized RPO approach reshapes manufacturing hiring, bringing consistency, adaptability, and efficiency to the forefront.

Staffing agencies are urged to adopt standardized RPO practices for sustained success in the dynamic landscape of manufacturing recruitment.

RPO’s standardized approach isn’t just for today—it’s a blueprint for the future, ensuring effective and future-proof hiring in manufacturing.

Exela HR Solutions is the partner of choice, leveraging technology and industry expertise to help organizations navigate the unique challenges of manufacturing hiring, ensuring success in talent acquisition. Get Exela HR Solutions now!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

Few industries of the economy play as paramount a role in creating new valuable job opportunities as the manufacturing sector, and fewer even can successfully embody the rapidly evolving workplace following the pandemic. Yet, the manufacturing industry was one of the few sectors that performed an expert pivot and managed to, at times, even profitably, hold the fort.

While this rapid growth is, as many will bear witness, a good problem to have, a manufacturing business must fill several roles to ensure smooth functioning, for example, machine operators, management, packers, shippers, and many others with varying pay scales. The sheer volume of employee and payroll management that manufacturing industries need is a definite HR nightmare. One must also consider aspects of the administration process, such as different pay cycles, different rate calculations, and the breakdown of various labor when handling payroll for businesses in the manufacturing industry. To summarize, dealing with the intricacies of payroll for the manufacturing industry should be efficient and adaptable. To establish a working payroll system in the manufacturing industry, one must first understand the industry’s main challenges or payroll issues.

Payroll processing challenges in the manufacturing industry

• Compliance

  Compliance is one of the foremost issues organizations face today, especially in manufacturing. Different countries and states have their own set of labor laws and regulations. Such laws concerning employee rights, worker unions, and business authorization must also be considered when dealing with payroll processing. Global payroll processing units must be up-to-date with the changes in laws to keep up with the edicts of the land. Organizations must establish a payroll process incorporating any major or minor change in the legislation to ensure compliance.

• Taxation

  Most companies are responsible for deducting applicable taxes before making payments and managing employee expenses. The tax department makes modifications on a regular basis to ensure the country’s economic health. To prevent penalties and additional effort, such changes must be put into the payroll system within the timeframe to maintain compliance. In the manufacturing industry, this is even more complicated due to the substantial volume of levels and tax brackets that employees and staff fall under.

• Accuracy

  Several factors influence an employee's pay scale. If you are processing payroll manually with spreadsheets and basic tools, your calculations are at risk of human errors, not to mention time-consuming. According to a survey, half of the analyzed small manufacturing companies stated manual data entry to be one of their biggest challenges. With an increasing number of employees, the level of complexity also upturns. Moreover, if the tax organizations notice inconsistencies in your tax returns or if there is a substantial understatement of the taxes owed, your organization can even face penalties. Furthermore, you might also get a penalty for submitting incorrect amounts. In a nutshell, any small error in payroll can cost you a fortune – and only automation can save you from this.

• Privacy and security

  In today’s ever-evolving business world, privacy and data protection concerns are more significant than ever. The frequency of data breaches and cyber-attacks is increasing by folds. Today, businesses have access to sensitive data that cannot be misplaced or misused. A payroll system also deals with highly sensitive data like bank account numbers, addresses, etc., making it even more crucial for organizations to add security and confidentiality to the payroll records. A leak at this stage can wreak havoc on your reputation, negatively impact production, and even cost you a fortune. So, ensure your payroll records are handled, maintained confidentially, and stored in a secure environment. In the case of the absence of privacy legislation, employers are encouraged to put together a detailed privacy policy to minimize the risk of security breaches.

Also Read: 5 Trends that are Like to Shape the Future of Payroll Processing

• Technology integration

  Technology can be your savior in any kind of job by eliminating manual tasks, integrating automation, and streamlining processes. While we understand how the manufacturing industry works, most processes are still manual and follow traditional work cultures. Small companies work under stringent budgets and higher pressures, restricting them from transforming or automating processes. In such cases, it can get really overwhelming to do tasks such as data transfers, calculating wages, hiring new employees, keeping records of every transaction, managing work hours, and more. This is where you can bring technology into the picture – technology integration not only helps streamline these tasks but also helps you stay ahead of the curve. In addition, it can benefit your payroll processing tremendously, eliminating errors, reducing time and effort, and increasing efficiency.

• Misclassification

  Irrespective of the size, manufacturing businesses today have a mix of full-time employees, part-time employees, independent contractors, seasonal contractors, or gig workers. Classifying the type of employees correctly is a crucial part of the payroll process. Misclassification, such as incorrectly categorizing employees, can cause serious issues for the business and the employees. For instance, contractors or gig workers are entitled to weekly or monthly payments, while employees are entitled to monthly payouts. In addition, certain employment benefits or unemployment compensation only apply to full-time employees. Even if you, as an organization or small business, do not take misclassification seriously, tax authorities definitely will. In a nutshell, correctly classifying your workforce is beneficial and critical for companies.

Recruitment process outsourcing (RPO)

The skills gap, privacy and security concerns, or other payroll challenges affecting the manufacturing industry make it imperative to attract talent, fill jobs, and retain them. Manufacturing RPO (Recruitment Process Outsourcing) provides recruitment expertise and scalability from requisition to onboarding, completely aligned with your organizational goals and culture. Recruitment Process Outsourcing arms the manufacturing industry with the tools and technologies they need to ensure robust HR processes. If your organization struggles to keep up with payroll processing and accelerating recruitment efforts, consider a recruitment partner that manages your recruitment processes end-to-end, from hiring to payroll. Here’s what you get when you outsource HR services:

• Instant Access to a larger talent pool
• Lower labor costs
• Reduced hiring TATs
• 100% accuracy in processes
• Zero security or privacy concerns.

Why Exela HRO?

The future of manufacturing faces numerous challenges due to accelerated technological advancements, consumer expectations, and emerging markets. As the obstacles intensify, the need for the right talent also upsurges. Pretty soon, it will be imperative to have a talent partner who can promptly mobilize in response to your organizational requirements. At Exela, our human resource experts provide an agile solution tailored to your company’s needs.

Our experts help clients align their priorities, performance, business values, and human resources with in-depth industrial expertise, robust data analysis, and powerful insights. Exela HRO can help you build technology-driven HR strategies to fuel business growth. If you struggle to get through your payroll or streamline other HR processes, get help from Exela HR solutions offering world-class global payroll processing, recruitment, HRBP services, and compensation and benefits. Talk to our experts today to know more!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

The pandemic, its after-effects, how it has altered businesses and industries worldwide, how it has led to rapid digitization and technological innovations and challenges alike, and more – we’ve witnessed it all over the last couple of years. However, one crucial aspect hasn’t changed – people will always remain the most crucial asset of an organization, and this is evident in how companies prioritize their workforce over profit margins. There has been a sea of changes in human resource management. At the same time, technological advancements are opening a new frontier of opportunities for organizations to amplify their HR functions – including recruitment.

New-age, technology-backed recruitment tools help attract, source, and employ better-qualified and worthy candidates, relieving recruiters of the pressure, and saving time and money for businesses. However, the availability of diverse tools and platforms working towards better recruitment has made it tricky to differentiate between each and narrow down the right one for your recruitment needs. Thus, having a better knowledge of the available tech and building a tech stack will help you improve your talent acquisition. Dive below to learn what exactly a tech stack is and how to build the ultimate one.

Recruitment tech stack – a new buzzword or a lifesaver?

With the hybrid and remote work cultures coming to light, it has become unimaginable to recruit employees without the help of technology. However, with new recruitment solutions popping up almost every day, it can get overwhelming for recruiters to select the right digital solutions for their hiring needs. Moreover, despite their best efforts, many recruiters find themselves armed with solutions that aren’t a good fit for their particular needs. This is where a recruitment technology stack comes into the picture. It is a combination of applications, tools, and platforms used to find, attract, and hire talent. Having the ultimate recruitment tech stack handy enhances the overall hiring process, enabling you to hire more qualified and worthy candidates – definitely a lifesaver for HR teams and professionals!

As there is no universal solution available or a recruitment tech stack that will work for every organization out there, you need to build your own. Although each company has its own unique hiring needs, it is possible to pinpoint certain commonalities to help organizations put together the right mix of tools and technologies that will work for them. Here are steps to consider while building your own ultimate recruitment tech stack.

Also Read: HR Software for Remote Employee Management – 5 Must-have Features

Steps to building an ultimate recruitment tech stack

A sound understanding of what a tech stack is can help you build a compelling one. Consider these steps to get an edge in the competitive recruitment world.

Asking these questions will help you understand whether the current solution is working to your advantage and what you should consider while buying new technology for your hiring needs.

• Identify needs and challenges

  Every great thing starts with a roadmap. To understand the solutions that will work best for your recruitment needs, you must have a robust plan in place. First, outline your entire hiring process and note the changes you need to make, such as particular business needs to be addressed, challenges faced by your human resource teams, and problems that require a solution. This will give you a thorough picture of what needs to be done and why. Once you know your destination, you can quickly get on the way.

• Create a technology backbone

  Building a tech stack needs a technology backbone to rely on. The solutions you choose should fulfill specific criteria, such as easy integration with other applications, strong built-in analytics, should be mobile-friendly, etc. Many recruiters agree with the fact that an Applicant Tracking System (ATS) is the foundation of the recruitment technology stack. It allows you to leverage data collection and automation to optimize the hiring process. It is an end-to-end HR software that automates the entire hiring process, helping HR teams manage their recruitment function better.

• Review the available solutions

  The technology landscape seems overwhelming when it comes to recruitment, with countless options available for different functions. However, your unique hiring needs decide the solutions you should be addressing. Here are the tools for various functions that you can consider while building your recruitment tech stack.

  • Sourcing
  • Recruitment marketing
  • Candidate screening
  • Candidate assessment
  • Onboarding
  • Other solutions

• Make key considerations

  While making a purchase, it is a normal human tendency to assess the product with some considerations in mind. Recruiting technology is no exception – your past experiences, challenges, and performance decide the next purchase. Here are things to consider while buying new tools for the best recruiting.

  • Can your team use the current tool without any prior training?
  • Has the performance changed after integrating the solution?
  • Can the solution be integrated with other applications?
  • On what scale did the tool optimize your processes?
  • How was the overall recruiting experience?
  • What needs to be enhanced?
  • Did you use all the features provided by your solution provider?
  • What is the one feature that would have made your experience better?

• Optimize the stack

  Once you embrace the new technology, start experimenting to get acquainted with the tool. Meanwhile, ensure to find ways to improve your tech stack. Analyze if you are meeting the desired results. And if not, what is the one thing holding you back? Even if you are completely satisfied with the technology you have bought, a future-centric point of view would definitely help. Your business needs and organizational environment will never be the same; ensure you get along well with the changes over time.

5 Must-have tools for your recruitment tech stack

Recruiting is far more than just filling empty seats – it’s a strategic imperative. Attracting new mindsets, not only benefits the company but the whole administration. Consider these tools while building your tech stack.

• Applicant Tracking System (ATS)

  The first thing you need to consider for your recruitment tech stack is an Applicant Tracking System (ATS) for managing the flow of candidates. ATS helps consolidate candidate information, track the source platform, and help employers stay compliant with EEOC policies. As a result, you can easily create and nurture a pool of candidates to call upon in the future.

• AI Sourcing Tool

  To fill open roles, sourcing is the first step where the awareness of company and open positions is built. It is also considered one of the most time-consuming tasks in a hiring funnel. AI sourcing tools automate the candidate search and streamline the process, ensuring the right candidates come across the right positions available.

• Candidate Relationship Management (CRM) Software

  CRMs organize the candidate data in a searchable database, send automated emails, and analyze the success rates of different recruiting strategies. In many cases, CRMs also allow scheduling calls to plan interviews seamlessly.

• Recruiting Chatbot

  It is a conversational interface that helps screen candidates answer queries, schedule interviews, and more. Some chatbots also allow checking the application status. In a nutshell, recruiting chatbots modernizes the candidate experience helping you hire the best talent.

• Virtual Assessment Tool

  Virtual assessment tools help speed up the application reviewing process. The modernized versions with AI allow the evaluation of writing samples, telephonic interviews, video calls, and virtual skill tests. Furthermore, predictive analytics, machine learning, and virtual assessment tools can help evaluate the skills and aptitude personalities of candidates.

The bottom line

It’s always a wise decision to put employees first while building a recruitment tech stack. The better the candidate experience you provide, the longer you will be able to retain candidates in your organization. With the technology landscape continuously evolving, partnering with an experienced talent partner like Exela HR Solutions can help you build a robust tech ecosystem that works to meet all your HR needs and helps you prepare for what the future holds.

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

The hospitality industry has been one of the worst affected economies since the onset of COVID. What was once brimming with opulent grandeur became crippled with the inability to invite, access, or entertain patrons. Some found solace in transitory business models with slender margins requiring high volumes, such as cloud kitchens and food deliveries. However, not many successfully tapped into these markets as the horror prevailed incessantly. Now that the hospitality industry has opened up in most locations worldwide, hospitality staffing faces another unexpected challenge in recruiting hospitality professionals.

Strange, isn’t it? With so many layoffs and retrenchments, you’d expect hospitality professionals to queue up with high hopes after the lull. But, what we’re witnessing is contradictory to the usual supply and demand laws. HR professionals are busy attempting to excavate skilled talent, but experienced hospitality professionals are either scarce or shying away from returning to the grind. Disconcerting? Sure! So, let's delve deeper to comprehend why it has become such a mighty task to attract hospitality professionals and the ways to combat these recruitment challenges.

The hospitality sector consists of four sub-industries. These are:

1. Food and Beverage (F&B)
2. Lodging and Accommodation
3. Travel and Tourism
4. Recreation and Events

If you analyze, you’ll realize none of these industries were spared. Thus, hospitality professionals were compelled to re-skill in order to adapt. Unfortunately, limited employment opportunities, a global recession, and volatile markets accompanied by deep-rooted fear cornered these employees into accepting diverse job roles. As a result, former hospitality professionals headed for greener pastures. Although many are hopeful about returning to refill vacant positions, a proportional rise in demand leads to competition among hirers. Hence, intermittent turnovers, market volatility, and cut-throat competition are some of the hospitality recruitment challenges 2022 faces. Let's break these into points to strategize effective HR solutions that can help this sector cope.

Hospitality Recruitment Challenge Number 1: Inability to Attract Suitable Candidates

• Most of the recruitment hurdles the hospitality industry must overcome lie in attracting quality talent. Indeed, this challenge is not limited to hospitality recruitment alone, and HR professionals are constantly on the lookout for ways and means to combat this hurdle.

HR Solution: Be as precise as possible while posting for vacancies. Even prior to scheduling any interviews, ensure you send out a basic questionnaire to applicants. That's how you segregate the wheat from the chaff, and you'll be left with a more suitable pool of talent to choose from, saving you much time, effort, and disdain.

• In this digital era, professionals seeking jobs always conduct a survey before accepting any job offer. Poor work culture and negative reviews may dissuade top-quality talent.

HR Solution: You can commence by requesting your loyal staff to publish reviews about your establishment's work culture and perks. However, this in no way implies that you intimidate your present employees or connivingly coerce them into posting exceptional reviews. Simultaneously work on improving overall working conditions. Also, remember that an interview is not just a one-way street. It provides potential staff the opportunity to understand your values and goals. Be courteous and create a lasting impression by engaging with the candidates who turn up. The fact is, it is a buyer's market, and there are several doors to knock on. Hence, top-quality hospitality professionals are likely to attend recruitment calls from multiple establishments. Matching industry standards as far as remuneration is considered tops the list of priorities; but, apart from that, applicants seek to relate to your company, the brand, and your work ethics. You must maintain an unblemished record of awarding promotions and placements based on merit. Nepotism, favoritism, and a biased workforce have the potential to crumble your entire recruitment ecosystem. Instead of spending extra bucks on an in-house HR, outsource the recruitment process to reliable RPO service providers to avoid such issues.

Also Read: RPO: Is It Right For Your Business?

Hospitality Recruitment Challenge Number 2: Combating Turnover

Did you know the turnover in the hospitality industry is twice and thrice more than other sectors? Leaving aside the pandemic and its constricting tentacles, even under normal circumstances, many employees leave within the probation period itself.

HR Solution: Recruiting quality talent is just one part; ensuring they stick around is just as crucial. The buck doesn't stop at recruitment. Invest time and effort in engaging activities and creating a nurturing work atmosphere, so your team is happy to return to the same workplace day in and day out. While interviewing candidates, be honest about your expectations, growth prospects, and the responsibilities associated with the job you are offering. Scout for talent willing to imbibe your work ethics and fit into your organization's culture. By doing so, you are buffering them against shocks that may provoke separation later.

Hospitality Recruitment Challenge Number 3: Location-specific Hurdles

The hospitality industry has many big players and MNCs. But, local managers conduct ground-to-mid-level interviews, if not all. This compresses the pool of talent you can attract.

HR Solution: Centralizing talent acquisition workflows enables you to reach out to a larger audience. Not just that, it also takes care of diversity and inclusion goals. Besides, recruitment becomes fairer, and the ability to maintain standards and consistency across branches becomes more feasible. Additionally, dynamic markets have lesser impacts on centralized hiring systems. This also means you can scale up hiring or turn it a notch down as per your needs. RPO service providers are your best bet to achieve this objective because they not only maintain an organized pool of candidates, but also provide vast flexibility in unpredictable hiring patterns.

Hospitality Recruitment Challenge Number 4: Lockdown-facilitated Influences

Unfortunately, sustenance measures forced employers to let go of a multitude of loyal staff, making them feel dejected and apprehensive about re-entering the arena. As a result, they either suffered without financial support or were re-skilled to qualify for other roles that mushroomed during pandemic’s peak. Additionally, these lockdowns evoked a paradigm shift in work environment models. Before COVID, not many hospitality professionals had even heard of remote work. But, after being coerced to take over available roles that offered the comfort of working from home, many no longer wish to apply for on-site jobs anymore.

HR Solution: Instead of reaching out to freshers and unknown applicants, why not give preference to those staff welcoming them with an apology? This will instill some confidence in them while earning you some goodwill among both internal as well as external customers. Begin with those who put in the most years to the least-experienced team member you had to let go of. This way, you are reinstilling their faith in professional loyalty. While most hospitality professionals are required to be present at the job location, you can offer hybrid work models where they may complete certain portions of their duties location-agnostically. If that is not a practical option, you can provide more flexibility concerning food, lodging, and travel. Much of these can be achieved in-house or through alliances that do not incur additional cost-to-company and can be offered with an understanding between you and your staff that these shall be applicable depending upon operational feasibility. By doing so, you are inadvertently offsetting the disadvantages of commuting to work regularly. Also, as and when possible, use virtual communication tools instead of insisting on the traditional in-person team meets.

While all this holds true, the fact remains that there is much competition in hospitality recruitment at present. But, this fact does not reduce the stress of recruitment. You still have to find a way to resolve this by scouting for proficient staff. Instead of letting this burden weigh you down, it's a whole lot easier, cheaper, and more productive to let recruitment experts handle this task. Yes, RPO service providers are adept at hiring hospitality professionals and bringing them to your doorstep without you having to do much. So let the professionals do what they do best while you concentrate on delighting your patrons.

With streamlined processes and seasoned staff adept at handling the entire recruitment cycle, Exela HR Solutions efficiently manages all your recruitment needs. Whether you seek contractual, part-time, or full-time employees, Exela brings you the most appropriate talent. Exela is a market leader in Business Process Automation. With end-to-end solutions and customized plans available, we take just as much delight in supplying you with the best talent as you do in enchanting your customers! Sample how we cater to your recruitment needs! Get on a call with us today!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

Think back to the coolest job you've ever had. What made it such a memorable experience? Those unforgettable recollections are most likely a result of the positive interactions you and your teammates had.

That is the foundation of team building! Employers must understand that employees who trust one another and communicate well are more likely to be satisfied with their employment and perform well. While only a few teams are lucky to have excellent communication, it is more commonly the case that companies must implement initiatives aimed at increasing teamwork skills.

Team-building activities for employees directly lead to enhanced morale, motivation, and enthusiasm. This can include activities that improve communication, trust, and problem-solving. When conducted with the right zest and with a clear aim in mind, the Human Resource department can get much out of team building activities. Participants often find these activities challenging and fun, giving them a break from otherwise stressful, high-energy environments. Without further ado, here's a brief guideline on how to increase your employee morale.

If good employees are the key to your success, employee morale is the door!

8 Best Ways to Boost Employee Morale

Maintain Good Communication

Enhancing your employee communication can pay off big time. Begin by initiating specific, achievable goals for every employee. Then, you can schedule one-on-one meetings to track their progress and clear up any disturbances. Make sure to communicate at every point! Share positive company alerts and updates, such as a new product in development or an excellent client review.

You should also connect with your team members regularly and ask them the following questions:

• How do you feel about your job, learning & development management programs, and co-workers?
• Do you have any problems? How can I help you?
• Are you happy with your work? How can I support you?

Maintaining open and consistent communication with your employees is key to developing employee morale. Through open and clear communication, you can keep them involved in the challenges and achievements of the company, which also leads to attentive and keen employees.

Be Open and Clear

Make every effort as transparent as possible. When morale is down, don't try to hide problems or postpone talks. Your employees will value your transparency as you work together to resolve challenges. Notify them of company developments, new protocols, client feedback, and other relevant facts.

Get Employee Feedback

Gathering employee input through your Human Resource teams is an excellent approach to enhancing morale. When you show that you listen to your employees, they will feel appreciated and are significantly more likely to be motivated. But remember, simply collecting feedback isn't enough; you also need to act on it.

Offer Employee Growth

Boost your employee morale by providing your employees with a sense of purpose – either a goal to strive for or something to look forward to. Employee growth must not be limited to a job promotion. Your HR Team, along with your Learning & Development team, can study data and mutually integrate to offer professional development courses to improve the skills of your employees. Incentives that enhance employee skills are a win-win situation for you and your employees!

Maintain a Calm, Healthy, and Organized Workplace

Driving yourself and your team to the limit may seem like the correct thing to do and may even be inspirational, but it will not work long term. Instead, your aim should be to decrease stress, maintain an excellent work-life balance, and operate a healthy, well-organized firm.

Provide an EAP (Employee Assistance Program) to aid employees in dealing with challenges and stress, whether at work or home. An EAP aims to assist your staff in resolving difficulties that may be impacting their health and vigor or even their work routine.

Plan Team-Building Events

Plan team-building activities that are both pleasant and informative; this is an excellent approach to boosting employee morale. Your Human Resource team can conduct games like office trivia competitions, treasure hunts, etc., or even align with your Learning & Development department to create online quizzes and contests.

Offer Fun Rewards

This isn't a long-term solution, but providing entertaining employee rewards can help when morale is low. For example, give out some scratch-offs, allow employees to work from home for the day, distribute some office freebies – it's surprising what simple employee incentives can achieve.

Snack Buggy

Encourage your employees to take a quick snack break from their desks every hour. Encourage them to grab a cup of tea or coffee, go for a walk outdoors to get some fresh air, stretch their muscles, etc. When you make this a routine, your employees will feel happy and rejuvenated, and, as a result, will be able to contribute more.

According to a few studies, the longer you stay at work, the more important it is to step out of the office, even if it's only for a few minutes.

Also Read: Employee Suggestion Box – Helping Human Resource Teams boost Employee Experiences!

Why Is Employee Morale Crucial for Remote Workers?

With social distancing becoming the norm after the COVID-19 pandemic, remote work has become the new way of life for businesses and employees worldwide. As a result, the strategies you used to inspire your in-house staff will no longer work for your remote workforce. Although it has its own set of distinct advantages, remote work can get boring and monotonous and make employees feel disconnected.

As a manager/HR, you must create ways to inspire and appreciate your remote team members. Here are a few examples of how you may implement this:

• Simplify communication
• Encourage feedback by being transparent
• Involve remote employees in announcements and updates
• Utilize a communication app
• Make it easy to link remote and in-office workers through scheduling
• Be explicit about your expectations
• Implement remote team-building activities and games
• Concentrate on results
• Don't micromanage; trust that they'll get the job done
• Establish a positive corporate culture
• Recognize and even train remote team leaders
• Establish clear communication channels

“Employees are The Company’s Greatest Asset”! - Anne.M

How Does Employee Morale Impact Your Business?

• Positive employee morale may have a strong influence on your company's success.
• Numerous studies have found a clear association between high employee morale and higher productivity.
• When employee ratings of your corporate culture suggest excellent morale, you will have a better chance of attracting talented employees.
• High morale generates a more collaborative workplace in which team members are more motivated to work and assist one another on critical projects.
• Employee engagement rises when morale is high, and they are more satisfied with the work they do.

Because of the multiple advantages of solid employee morale, you must take a proactive approach to this part of your company culture. The suggestions above will help you raise morale and keep your employees happy and inspired.

Survey Questions to Monitor Employee Morale

Extremely low team morale and extremely high morale are relatively easy to identify. However, to determine the actual status of employee morale in your organization, you must survey your employees.

By conducting a survey, you can determine how your employees act and better understand their participation and morale levels.

Here are some of the queries you can ask while testing employee morale:

• Do you enjoy going to work?
• What do you like the most?
• What do you feel about your workplace?
• How close do you feel to your colleagues?
• Do you think the office/ HR department environment is friendly?
• What are the values of our company?
• Do you believe our company's beliefs reflect your values?
• What causes you to lose motivation at work?
• Do you believe your co-workers and superiors appreciate your work?
• Are you aware of how you contribute to the success of this company?
• Do you think you are appreciated at work?
• Do you feel our organization genuinely cares about you?
• How likely would you suggest this organization to your friends and co-workers? Why?
• What initiatives do you believe our organization could take to boost employee morale?
• Do you think you receive adequate feedback on your work?
• How important do you find your work?
• Do you have a good work-life balance?

Finally,

The most helpful thing you can do for your organization and HR team is to accept changes that benefit everyone before poor morale sets in. It is no secret that keeping employee morale high is vital for a successful business. Exela HR Solutions has decades of experience in helping businesses scale their HR functions and enhance overall business productivity. Find out more about what Exela HR Solutions can do for your business by clicking here.

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.

It is said that employees are an organization's biggest asset. Whilst this statement is true, it holds good only if the people you hire are productive and efficient. A proficient workforce gives you that competitive edge in the market. Seasoned HR professionals are minutely aware of this crucial quality. Hence, it’s no surprise that they look high and low in pursuit of the best talent. But, although there could be hundreds applying for a vacant position, not every candidate can do justice to the role. Apart from critical skills and qualifications required for a specific job, candidates must have the aptitude, dexterity, and an undefined 'X' factor that gives them an edge over numerous other applicants.

I am convinced that although training and development are important, recruitment and selection are much more important. – Stephen R. Covey, author of ‘Seven Habits of Highly Effective People.’

It takes talent to recognize talent! Of course, skilled HR recruiters may have the knack. But, not everyone has access to the advanced technology or resources to hunt for the proverbial, diamond in the rough. Thus, after investing hard work and relentless searching, companies are still disappointed with limited or insufficient suitable candidates.

Industrialists and entrepreneurs have realized the potential benefits of delegating functions to external agencies that deliver top-quality services and help ease internal workflows to operate more efficiently. Amongst the list of the most outsourced B2B services, recruitment has fast gained popularity. An efficient RPO management service can ensure that all your recruitment needs are fulfilled within your pre-defined expectations and criteria such as quality, time, and budget.

Do what you do best; outsource the rest. – Peter Drucker

Since COVID-19 disrupted markets and industries globally, uncertainties have affected all businesses. In-house HR departments of large enterprises and SMBs alike have been unable to keep up with these drastic changes in the employment demand and supply chain. However, companies that switched to RPO service providers managed to tackle fluctuations, bulk, and sudden recruitment requirements across their departments. Having said that, every business is distinct with unique needs.

The following questionnaire will help you discover if outsourcing the recruitment process is right for your business:

• Have you had to compromise on the quality of your recent recruits?
• Does it take your company long to fill in job vacancies?
• Are you unable to justify your cost per hire?
• Are you unable to find candidates with the skills and qualifications required for specific or unique positions?
• Is the recruitment process stealing the focus away from your core functions?
• Is your HR department in a nascent stage and understaffed or unable to manage recruitment?
• Is your team not large enough to manage recent, additional or fluctuating recruitment demands and associated responsibilities?
• Are you in the habit of engaging several different recruiting agencies to find suitable candidates?
• Do you not have an in-house HR department but intend to begin hiring soon?
• Does your demand for labor seem higher than the supply you can get?
• Do you have expansion plans that rely heavily on hiring a competitive workforce?

Also Read: How to Find the Most Reliable Payroll Outsourcing Service in 2022

If your replies to the above questions tilt towards the affirmative, hiring a reputed RPO service provider can solve all your problems, including saving your company a lot of time and money while bringing you high-quality talent, leading to optimum productivity.

Initially, you may be skeptical about outsourcing such a significant task, but once you are familiar with the process and realize the advantages, delegating can enable you to focus better on your core functions instead. It goes without saying that your success in this endeavour will only be certain if you select the right service plan and provider. So, let's simplify this task and look at the available options. This knowledge can help you choose the most appropriate recruitment plan for your company.

1. End-to-end RPO

solutions In this option, the RPO service provider manages the overall employee hiring cycle. This includes sourcing, screening, tracking, acquisition, interview scheduling, coordinating, background verification, assessments, offer letter management, and onboarding.

2. Project Specific RPO

With a project-specific contract, you can engage the services of an RPO agency for certain portions of the recruitment cycle or fulfill a specific recruitment demand. This is preferable if you do not anticipate a surge of demand in your recruitment needs within a particular year or tenure. You can convey your needs to the RPO service provider and pay per head, function, or project-wise.

3. Management RPO

Management RPO provides maximum flexibility and convenience to business owners. With an external RPO agency handling all of your recruitment needs throughout the duration of an agreement. You can depend solely on your service provider to bring in appropriate talent whenever needed. The onus of the responsibility lies entirely on the agency you team up with.

It is crucial to pick a reliable Recruitment Process Outsourcing company for whichever plan you choose. Trusting an external agency with your most important asset is a big leap of faith. Exela HR Solutions provides unmatched recruitment process services to large enterprises and small companies, alike, across all industries. With years of expertise in recruitment management, Exela ensures no disparities between expectations and delivery. With systematic workflows, advanced technology, and a dedicated team that regularly engages with clients for feedback, Exela HR Solutions is undoubtedly the best RPO.

With streamlined processes and seasoned staff adept at handling the entire recruitment cycle, Exela HR Solutions efficiently manages all your recruitment needs. Whether you seek contractual, part-time, or full-time employees, irrespective of the industry or field, Exela excavates the most appropriate talent for your business, every time! Exela is a market leader in Business Process automation and digital transformation. With end-to-end solutions and customized plans available, our only job is to help you succeed with the best talent available! Find out more about what Exela HR Solutions can do for your business today!

DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.