Why should use recruitment agency? Is a Recruitment Agency the Right Choice for Companies Looking to Build Their Dream Team?
There are many opinions suggesting that companies should not use recruitment agencies. Reasons include concerns about high costs, reluctance to pay a retainer, a preference for using their own networks, previous bad experiences, and the belief that it doesn’t support employer branding, among others.
However, Leamar does not want these subjective opinions to influence your decision, as hiring the right talent is a very challenging task. That’s why in this blog post, we have addressed 5 reasons why should use recruitment agency. Let’s explore with Leamar Hiring!
1. Wider Reach for Top Talent
Firstly, one of the most important reasons why should use recruitment agency is that they have wider reach for top talent. Recruitment agencies are designed to fill specific market needs, allowing them to specialise and build a deep understanding of their chosen fields. This specialisation helps them cultivate a vast pool of candidates, including those not easily accessible to companies using only their internal resources.
By partnering with a recruitment agency, businesses increase their chances of reaching top job-seekers. Many candidates actively seeking new opportunities tend to register with agencies, leveraging their efficiency and extensive job board postings. Agencies possess valuable insights into market trends and candidate preferences that can enhance recruitment efforts.
Moreover, not all high-calibre candidates are actively looking for new roles; these “passive talents” often require a more nuanced approach to engage. Recruitment firms excel in this area, utilising their extensive networks to identify and connect with these individuals. Experienced recruiters know how to reach out and motivate potential candidates to consider new opportunities.
At Leamar Hiring we pride ourselves on having a vast and diverse network of candidates across Asia. Our extensive reach allows us to tap into a rich pool of talent, ensuring that you have access to applicants with various skills and backgrounds. Whether you’re looking for seasoned professionals or emerging talent, our connections enable us to match you with candidates who not only meet your technical requirements but also align with your company culture. This breadth of our network ensures that you can find the right fit for your team.
2. Ability to Identify Talent
Recruiting agencies have a unique advantage as they bridge the gap between companies seeking talent and individuals looking for job opportunities. This dual perspective allows them to act as informed brokers, possessing valuable insights into both sides of the hiring equation.
Recruitment consultants have access to critical information, such as candidate qualifications and compensation expectations. This knowledge enables them to match companies with the right talent effectively. Often, the ideal candidate is someone who isn’t actively job hunting but is open to new opportunities if approached correctly. Recruiters excel at identifying and engaging these passive candidates through their extensive networks.
Additionally, recruitment agencies leverage their deep understanding of specific industries and labour markets. They keep abreast of current trends, expectations, and goals from potential employers, which allows them to source qualified individuals who not only fit the job requirements but also align with the company culture and objectives. This targeted approach enhances the chances of successful placements, benefiting both the employer and the candidate.
3. Faster Hiring – The biggest reason why should use recruitment agency
In business, the phrase “time is money” holds especially true, and hiring a recruitment agency can save both. For most positions, such as HR, Technical Lead, and Executive Director, recruitment often becomes a secondary responsibility. This can lead to hasty decisions and the risk of missing out on top candidates. By outsourcing the recruitment process, hiring managers can focus on their primary roles, ensuring they perform at their best.
Recruitment agencies simplify the process by conducting preliminary screenings to filter out unsuitable candidates, ensuring that only the most relevant CVs are sent to the hiring manager. This means you can avoid spending days sifting through applications and instead focus on the candidates worth considering.
The support doesn’t stop there; recruitment agencies also organise interviews, allowing you to prepare and participate without worrying about logistics. They handle all administrative tasks, including communication with successful candidates, notifying those who weren’t selected, and verifying qualifications and references.
By choosing to work with a recruitment agency, businesses can significantly reduce the time and internal resources dedicated to recruitment. This not only speeds up the process of filling vacancies but also enhances the overall efficiency of the organisation.
Leamar Hiring offer personalised recruitment processes, prioritising specialised positions and leveraging a vast pool of candidates, ensuring a shorter hiring timeline and optimised costs.
4. Saving on Hiring Costs
When engaging a recruitment agency, one of the most appealing aspects is the payment structure. Typically, fees are only incurred when the agency successfully places a candidate in your organization. These fees generally range from 15-25% of the candidate’s first-year annual salary. This performance-based model ensures that you are only paying for results, which can significantly mitigate the financial risk associated with the hiring process.
In addition to the percentage fee, there may be other costs associated with agency services, such as administrative fees or costs related to candidate assessments. However, these expenses are often outweighed by the value that agencies provide through their expertise, access to a broader candidate pool, and streamlined processes. Agencies often have established networks and resources that allow them to source candidates quickly, which can reduce time-to-hire—a crucial factor in today’s competitive job market.
Furthermore, when you use a recruitment agency, you gain access to specialized knowledge and industry insights. Agencies often stay abreast of market trends, salary benchmarks, and candidate expectations, enabling them to provide valuable advice on how to attract top talent.
Cost Comparison Between Hiring a Recruitment Agency and Using In-House Recruiters:
- Costs When Hiring a Recruitment Agency: Typically, you only pay fees when the recruitment agency successfully finds a suitable candidate. This fee usually ranges from 15-25% of the candidate’s annual salary. This means you only incur costs when you achieve results.
- Costs When Using In-House Recruiters:
- Office Space Costs: You need to allocate workspace for in-house recruiters, which can lead to additional significant expenses for the company.
- Compensation Packages: In-house recruiters need to be paid salaries, which may include bonuses, benefits, and other perks, thereby increasing the total recruitment costs.
- Training Time: In-house recruiters may require time to understand the company’s needs and culture, leading to a longer hiring process.
Reducing costs is indeed the biggest reason to answer the question of why you should use a recruitment agency. If you still have concerns about the cost issue, please read more in the article : Cost of hiring recruitment agency
5. Long-lasting Relationships
Recruitment agencies are client-focused, and they are experts at dealing with people. This means that over time, long-lasting relationships are formed between clients, candidates, and consultants.
This can work in the business’s favour in more ways than one. If a manager has used a recruitment agency before and enjoyed working with them, it usually means that they will know exactly who to go to if they have another job opening in the future, and they will already know and understand the business.
Consultants develop strong relationships with their candidates, which is also beneficial, as they will usually stay in contact with them and place them in a variety of roles throughout their career. This kind of knowledge and these types of relationships can only be found in a recruitment agency, and a specialist agency will be able to take this to the next level.
Here are five reasons why should use recruitment agency for your company. You should start by thoroughly understanding and defining your needs before making a choice. Finding the right recruitment agency and the right talent is always a challenging task.
At Leamar Hiring, we specialise in understanding the unique requirements of your business and aligning our recruitment strategies with your company’s culture and vision. We are dedicated to helping you build your dream team, ensuring that every candidate not only possesses the necessary skills but also fits seamlessly into your organisational environment.
If you’re looking to optimise your hiring process and make informed decisions, contact Leamar Hiring today. Let us be your trusted partner in achieving your IT recruitment goals! Additionally, don’t forget to explore our article on the best recruitment agency in 2024
