Recruitment companies have long been a popular option for businesses looking to fill vacant positions, but like any service they have limitations in what they are able to deliver. It's important for businesses to understand both the pros and cons of recruitment companies and if a different solution like a global teams provider may be a better fit for their needs.
Did you know that the average time-to-fill a vacant position is 44 days? A key benefit of recruitment companies is that they take on the workload of sourcing and screening candidates. By bringing pre-screened candidates to the table, recruitment companies allow businesses to devote their limited resources to other priorities rather than the drawn out recruitment process.
Recruitment companies also provide expertise in assessing candidates that a typical hiring manager may lack. With recruiting as their full-time focus, agencies develop advanced screening techniques to filter out applicants that don’t meet requirements and identify the top talent. This level of candidate evaluation helps businesses hire the right people faster.
Opening doors to a skilled talent pool
Recruitment companies hold the keys to an extensive network of professionals. They scout, screen, and connect businesses with candidates from various backgrounds. This opens up a realm of possibilities for companies seeking specialised skills and diverse perspectives.
Streamlined hiring process
Navigating the hiring process can be a labyrinth of paperwork, interviews, and negotiations. Recruitment companies are adept at streamlining this journey. They handle the nitty-gritty details, presenting you with a curated list of candidates who align with your requirements.
Expertise in industry knowledge
Recruitment agencies often have a deep understanding of specific industries. This means they can provide valuable insights into market trends, salary expectations, and skill requirements. They can be strategic partners in shaping your workforce.
While there are definite advantages, recruitment companies do have some significant limitations. Their involvement adds costs in the form of placement fees that are sometimes as much as 30% of the annual salary for the role. For small businesses and start-ups in particular, these fees can blow budgets and eat into profits.
Recruitment companies also have less skin in the game after making the placement. Once a candidate is hired, the agency's involvement ends and any onboarding, training or issues that arise become the hiring company's problem. This lack of ongoing support can result in a higher turn-over rate for placed candidates.
As the hiring landscape has evolved, the value proposition of traditional recruitment agencies has declined for some businesses. Many companies now turn to alternatives like applicant tracking systems, global teams providers and social media platforms that allow sourcing at a lower cost.
Lack of support
Once a candidate is placed, a recruitment company's involvement typically ends, leaving the hiring company to handle onboarding, training, and any issues that arise. This can be a strain on your resources with placed candidates feeling frustrated, leading to higher turnover rates.
High costs and hidden fees
Traditional recruitment can come with hefty price tags. On top of base fees, there may be additional charges for various services. This can strain your budget, especially for startups and scale-ups.
The cookie-cutter approach
Sometimes, recruitment companies adopt a one-size-fits-all approach. They might not fully grasp the nuances of your business, leading to mismatched candidates. This can be a costly and time-consuming affair.
As an alternative, global teams providers like Patona offer a more tailored solution beyond just placement services. Patona was founded by experienced entrepreneurs who understand the challenges of managing global teams from their own start-up journeys.
Rather than focusing solely on placements, Patona takes a holistic approach working with clients to define goals, recommend skills needed, and set measurable KPIs to ensure teams are productive.
Understanding your unique needs
We know that one size definitely does not fit all. Patona takes the time to understand your business inside and out. This personalised approach ensures that the candidates we recommend are not just qualified on paper, but are a cultural fit and possess the drive to power your success.
Onboarding made seamless
Recruitment and onboarding can be a daunting process. We take the reins, setting you up with local, onshore talent managers. These dedicated professionals ensure that the transition is seamless, and you hit the ground running from day one.
Setting clear pathways to success
It’s not just about finding the right people; it’s about setting clear, measurable Key Performance Indicators (KPIs). Imagine the power of having well-defined targets, like the completion of 30 Jira cards per week. This level of precision is what will set your teams up for success.
Investing in people, not just resumes
A staggering culture score of 93% speaks volumes about the environment we’ve created. Happy staff means low turnover, and ultimately, happy clients. This investment in our team ensures that you’re working with motivated, committed professionals.
Fortified security measures
At a time where data security is paramount, Patona leaves no stone unturned. We’re not just PCI certified; we’re also in the process of becoming ISO 27001 certified. This level of dedication to safeguarding your information sets a new standard in trust.
An unmatched track record
Patona brings a wealth of experience to the table having built and advised a number of tech start-ups. Our current team of specialists boasts an impressive track record in delivering top-notch solutions, helping businesses raise capital and get profitable faster.
While recruitment companies can be effective for sourcing candidates, they have limitations in ongoing support and high placement fees that can be a financial strain on start-ups. Alternative options like global teams providers offer solutions tailored for the full team lifecycle at a lower overall cost. For growing companies managing global workforces, providers like Patona may prove a better long term fit.
We know that talent knows no borders, and we want to open doors to a skilled global talent pool, while offering you a seamless onboarding experience, and setting you up for long-term development with clear KPIs. Our investment in people and a steadfast commitment to security makes us more than just a recruitment agency — we’re a trusted partner in your journey to success.
Get in touch to learn more about how Patona can help you hire staff, manage teams and pay skilled talent from around the world.