Why A Recruitment Agency Instead of In-house Staff?

There has to be a reason for their existence. Why have so many recruitment agencies formed and flourished over the last few years? Why has the industry grown so rapidly?

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Advantages of using a recruitment agency

First, larger firms have many reasons to use a recruitment agency. These firms have a lot of ongoing activities and they will need to hire a huge amount of manpower in order to manage the necessary workload. Hence, this might be a strain on the human resource department of the company. In addition, the HR department might be unable to find sufficient people in time for the company, resulting in a large amount of revenue being lost and profit being adversely affected. By using a recruitment agency, it will be much easier and more time constructive to find the required number of workers as long as sufficient notice is given in advance.

Next, recruitment experts have larger access to a greater pool of candidates (Hughes, 2019). These candidates are already in the network of the recruitment agency and the agency has accumulated this network over a long period of time. By collecting a vast amount of word of mouth and recommendations, the agency is able to further expand the network to friends and relatives of jobseekers. This is especially useful for large companies entering into a brand new country or region with no contacts or networks in place.

On top of that, the recruitment agency also has industry-specific knowledge that companies might not have. They have more distinct comprehension and know-how to sieve out the candidate with the most relevant experience and the most cohesive fit with the potential employers. This allows the recruitment agency to easily find the best candidate with the appropriate skills for the job. Moreover, it is vital for the recruitment agency to find the right candidate because if the candidate is deemed to be unsuitable or if the candidate quits the job within 6 months (Martic, 2018), the recruiter would be liable to find another contender for the position. As a result, there would be extra workload and additional costs incurred. So, the recruitment agency has a particular interest in ensuring the new hire succeeds in the workplace.

Lastly, a recruitment agency is able to provide a unique psychometric test for all candidates that reduces the chance of job mismatches. A psychometric test is defined as a standard questioning system based on measurable norms to quantify a candidate’s mental capabilities and behavioural style. It is based on both scientific and psychological research, and it accurately depicts how the candidate will handle specific responsibilities and situations in the work environment (Campling, 2019). Essentially, the ability to interpret the results is also crucial as candidates with negative traits, such as being easily distracted, can be eliminated right away. Candidates with traits essential for certain roles, such as having an eye for detail for an accounting job, could be shortlisted. Thus, this unique psychometric test is able to save time and it increases the probability of a job match significarntly. However, like all personality tests in the world, the psychometric test is not 100% accurate and it will be subjected to bias and inaccuracies if not properly administered. Candidates might choose the answer with the most logical option instead of choosing the option that they normally would in a given situation. They might not be able to control their emotions in certain real-life scenarios.

In conclusion, having a recruitment agency to aid in the hiring process will greatly help the company. This will allow the company to focus more intently on their main business instead of fretting over new hires. There is extraordinary potential for growth and development in the recruitment industry because many companies need help and facilitation in the hiring process. Yet, communication between the recruiter and hiring company is vital to ensure that the interests and goals align and the recruiter is able to clearly know the kind of candidate that the hiring company is looking for.

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