Your business needs high-quality employees in order to thrive. But finding these employees is an ongoing task that is very time consuming. As a business owner, manager or executive, you can choose to handle your own recruiting duties in-house, or you can choose to outsource them. Handling employee recruiting yourself or assigning staff may seem like the smart move, but is it the best use of time? This is debatable at best, and you may be surprised to find how much time you’re wasting on recruiting by handling it in-house.
Recruiting Costs You Lots of Time and Money
Recruiting a new employee costs a lot more than just his or her annual salary and benefits. You must factor in the hours spent creating job descriptions, posting openings on job boards, responding to applicants, conducting initial and second interviews and running background checks. Whether you’re handling it yourself or your staff is leading your recruiting efforts, you must remember that time is money.
If you’re the one handling the recruiting duties, the time you spend on these non-revenue-generating tasks is time that you can’t spend growing your business’s profitability. This is time you can’t spend with clients or exploring new revenue streams. If you have full-time employees taking care of your staffing needs, in addition to the salaries you have to pay them, you must also take into account benefits, office space, computers and software. That’s not to mention the cost of actually posting your openings on job-boards.
Are You Wasting Time on Employee Recruiting?
One could argue that hiring an all-star employee that helps your business for several years is anything but a waste of time. After all, it’s very difficult for most businesses to succeed without high-quality employees at critical positions. But there are certain areas of the process where inexperienced recruiters can waste a lot of unnecessary time.
1. No Talent Pipeline: For most in-house teams, recruiting is a reactive practice. A position comes open and a talent search begins. This is a potential time waster because you have to start from scratch every time. Recruiters with available talent pipelines are able to speed up the process because they already have candidates they can contact for interviews.
2. Searching for Unicorns: Everyone wants that perfect employee. But allowing your employee recruiting to run on for months while searching for this perfect worker is costing you more than you realize. First, your remaining staff will have to take on more work, productivity may suffer as a result, and over time, staffing shortages lead to lower employee morale and more employee turnover.
3. Applicant Overload: Sometimes less is more. You might feel happy that you received 300 responses to your job posting, but now you have to go through and review all of them. If you aren’t using an applicant tracking system (ATS), this could take you several hours, if not longer. Adding extra steps into your application process or using an ATS may help reduce some of this time.
4. Too Many Candidates: While you don’t want to waste too much time searching for “the one,” you also don’t want to invite everyone in for an interview either. Scheduling too many interviews is one of the biggest recruiting time wasters there is.
5. Bad Hires: Even the best recruiters make bad hires from time to time, but the most experienced and knowledgeable ones are usually better at finding successful employees. A hiring mistake costs at least 30 percent of the employee’s yearly salary. This does not include the impact it has on staff morale.
How A Staffing Company Can Help You Save Time
There’s a reason why thousands of companies around the U.S. rely on staffing companies for their short-term and long-term employment needs – staffing companies save them time and money. You may be asking yourself how a staffing company could possibly save you money when you have to pay them to handle your recruiting as opposed to doing it yourself. But as stated earlier, your time equals money. Imagine all of the things you could accomplish if you didn’t have to spend any time recruiting. How much would that be worth?
Ways That Staffing Companies Help You Save
- Better Internet Contracts: Every time you post a new open position on job boards like Monster.com or Indeed.com, you have to pay a fee. The more job postings you purchase, the better price per post you get. Since staffing agencies work with multiple companies, they will often have more cost-efficient Internet contracts with job boards.
- Available Talent: Staffing companies conduct interviews daily and potentially have dozens of employees to fill your openings at a moment’s notice. This means that a staffing agency can reduce the time in between a job coming open and then being filled.
- More Successful Hires: When all you do is recruit employees all day, every day, you become quite good at making the right hires. There’s a great chance that the recruiters at staffing agencies have more experience than you or your staff, so it’s more likely that they will be better at making superior hires.
- Filter Candidates: Rather than you wasting time going through all of your applications, conducting phone interviews and scheduling first and second in-person interviews, a staffing company will only send you vetted candidates who are ideal for your openings. This allows you to choose from the best of the best.
There are many ways that a staffing agency can help your company save time and money. TPG Staffing would love to explore all of the ways we can help your business improve its recruiting success, while also becoming more economically efficient. To begin the process, we encourage you to contact us today at 848-224-6249.