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Enhancing HR Performance Through Recruitment Outsourcing
Working closely with key managers in the firm, Spherion's top-level multi-disciplinary team worked to reengineer the employment process to yield greater efficiencies, minimize the cost per hire and reduce cycle time.
s a leading hospitality services company in North America, this food and
facilities management expert employs 130,000 people to prepare meals, manage
buildings, clean offices, maintain grounds, and provide a myriad of other
facilities-management services for its clients. The company is big, diversified
and growing very quickly.
Business Challenge
With thousands upon thousands of people at the heart of every service this
company provides, it faced a number of recruiting challenges. Even if associate
turnover was tightly controlled, the sheer number of employees needed clearly
demanded an ongoing and efficient system of talent replacement. Moreover, the
company’s mandate to become a world-class service provider meant it had to find
a way to fill both new and vacant positions promptly, effectively and with the
best possible candidates.
Exacerbating the situation were both the vastness and the very nature of its
decentralized operation. While some of its far-flung locations employed as many
as 400 people at a time, others only called for 10 employees; it was difficult
if not impossible for its human resources department to take a centralized,
consistent approach to employment processing.
Partnering with Spherion ®
But that was exactly what this company was determined to do. So, focusing
first on its non-food operations, it brought in Spherion and asked it to
reengineer the recruitment function so that it would be more efficient and more
cost-effective. In addition to reducing cycle time--something it believed would
not only cut expenses but increase the potential for revenue generation--the
company hoped Spherion would establish a larger pool of management candidates on
a regional basis, while balancing internal and external recruitment efforts.
Working closely with key managers in the firm, Spherion’s top-level
multi-disciplinary team worked to reengineer the employment process to yield
greater efficiencies, minimize the cost per hire and reduce cycle time. At the
same time, the team identified and brought up-to-speed a seasoned recruitment
team--within Spherion--that could quickly assimilate client culture while
producing qualified candidates.
Measurable Results
Spherion, from the beginning, had specified measurable objectives through
which its client could judge the program’s effectiveness. These included such
standard metrics as cycle time (which Spherion brought in 50% faster than the
client requirement), internal/external hire ratio (Spherion’s external/internal
placement ratio was 1:1) and cost per hire (which was reduced by up to 140%).
And, confronting the geographic problem head on, Spherion employed a targeted
recruitment strategy focused on attracting talent within specific geographic
regions and developing a region-specific candidate database; this reduced
average annual relocation spend from $3.5 million to $212,000.
What made the real difference was a focus-by both the client and Spherion-on
the project’s outcome. "From Spherion’s point of view," says Diane Shelgren,
senior vice president of product management for Spherion, "this focus set
everything in motion. If we aren’t delivering a significant outcome, we haven’t
done our job," she says. As for the client, "While we might not have anticipated
outsourcing our recruitment process," said its senior vice president of HR, "we
knew what we needed to achieve and were willing-and able-to do whatever was
necessary to achieve those objectives."
(c) 2003 Spherion Pacific Enterprises LLC. All rights reserved. Spherion
and the Spherion logo are registered service marks of Spherion Pacific
Enterprises LLC.
Workforce, July 2003, p. 76 -- Subscribe Now!
Next Article: 10. Walgreens Health Initiatives PBM Program Applauded by School District
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