Global Recruitment Process Outsourcing (RPO) Market Size, Status and Forecast 2021-2027

Recruitment Process Outsourcing Market

The global Recruitment Process Outsourcing (RPO) market size is projected to reach US$ 21690 million by 2027, from US$ 7228.2 million in 2020, at a CAGR of 17.0% during 2021-2027.

The necessity for an efficient hiring procedure and a decrease in overhead expenses are the two main drivers influencing market expansion. From applicant sourcing to selection and recruitment quality management, Recruitment Process Outsourcing (RPO) service providers handle a variety of tasks. Modern tools like artificial intelligence (AI) and machine learning (ML) are being used by service providers to upgrade their skills in self-scheduling interviews and automated CV screening. Service providers are using chatbots and other evaluation technologies as extra channels to increase applicant involvement.

The employment market is expected to undergo a change thanks to AI. It automates a number of procedures, including candidate sourcing, applicant rediscovery, employee reference verification, and diversity recruiting, to improve strategic personnel planning.

Trends Influencing the Growth of the Global Recruitment Process Outsourcing Market

The capacity of RPO providers to locate and provide firms with top-notch personnel is unmatched. One of the main causes of this is the skill of their recruiters. The greatest service providers invest considerably in their education and employ recruitment specialists. A favorable experience is also required for hiring supervisors. Transparency, regular reporting, and unlimited access to recruiters are how RPO providers do this. The market for recruitment process outsourcing is then anticipated to develop as a result of this.

The fact that it cuts down on the time it takes to discover top people is another important benefit of an RPO relationship. Your organization loses more money or opportunity costs the longer a position is available. The capacity of RPO providers to decrease time-to-fill is a result of a combination of recruitment know-how, technology, and industry understanding. A common mistake in talent acquisition cost calculations is to just take into account expenses related to department budgets. This fails to account for the hidden hard and soft expenses in cost centers and line items that must be taken into account when estimating overall cost savings. By minimizing waste and raising general organizational effectiveness, RPO providers will be able to considerably cut expenses. This in turn is expected to drive the growth of the Recruitment Process Outsourcing market. 

A common mistake in talent acquisition cost calculations is to just take into account expenses related to department budgets. This fails to account for the hidden hard and soft expenses in cost centers and line items that must be taken into account when estimating overall cost savings. By removing waste and enhancing general organizational efficiency, your RPO provider will be able to considerably save prices. This in turn is expected to drive the growth of the Recruitment Process Outsourcing market. 

An effective function for acquiring talent must be able to react rapidly to the needs of the business. With an RPO partner, you can scale your recruitment team up or down without having to deal with laying off workers or hiring and training new ones. Many talent acquisition teams have been disoriented in their pursuit of this innovation, focusing more on automated tools than on honing their fundamental hiring abilities. As a result, they are lagging behind in acquiring elite talent, which is their primary goal. RPO providers will integrate cutting-edge methods and technologies into your business, so you won't have to choose between efficiency and capacity expansion.

RPO services are being used by small and medium-sized enterprises to make the switch from routine HR tasks to strategic decision-making procedures. As businesses concentrate more emphasis on workforce planning and talent acquisition to address the challenges of maintaining human resources, RPO is growing in popularity. On the other hand, large businesses choose a single solution to address all of their HR requirements. These elements are anticipated to fuel the market for recruitment process outsourcing to develop.

Recruitment Process Outsourcing Market Share

30% of the global market is anticipated to come from North America.

By Type

• Permanent Workforce
• Flexible Workforce

The permanent workforce segment is expected to account for the larger share of the global market in 2019.

By Application

• BFSI
• Telecom
• Healthcare
• Energy
• Manufacturing

The manufacturing segment is expected to account for the larger share of the global market in 2019.

By Region

• North America
• US.
• Canada
• Europe
• Germany
• France
• UK.
• Italy
• Russia
• Nordic
• Rest of Europe
• Asia-Pacific
• China
• Japan
• South Korea
• Southeast Asia
• India
• Australia
• Rest of Asia
• Latin America
• Mexico
• Brazil
• Rest of Latin America
• Middle East & Africa
• Turkey
• Saudi Arabia
• UAE
• Rest of MEA

By Company

• Alexander Mann Solutions
• Randstad
• Adecco
• Manpower Group
• Allegis Group
• KORN FERRY
• ADP
• KellyOCG
• Hays
• Hudson