Category: Talent Acquisition Strategy

What is Recruitment Process Outsourcing?

Posted on by epadmin

So, what is recruitment process outsourcing (RPO), and why should companies use it? RPO can boost your talent acquisition by optimizing processes amid fierce competition. Whether you’re exploring RPO or want to learn more about maximizing it, this guide will provide valuable insights. Understand how partnering with an RPO can boost your talent acquisition outcomes.

This overview explains RPO, answering common questions, including:

  • How RPO works
  • Types of RPO
  • The benefits of outsourcing recruitment
  • What to look for when selecting an RPO partner

👉 Get our RPO buyer’s guide.

What is Recruitment Process Outsourcing?

Recruitment process outsourcing (RPO) is a type of business process outsourcing (BPO) in which an external organization (RPO provider) supports an employer’s talent acquisition function by assuming responsibility for some or all facets of the talent acquisition function to support some or all of an employer’s hiring needs.

For example, an RPO engagement may only cover sourcing and screening candidates (partial-cycle RPO) or it may cover the entire recruitment lifecycle from receiving hiring manager’s requisitions all the way to presenting and negotiating job offers to candidates (full-cycle RPO). An RPO provider works closely with an organization’s internal talent acquisition team, either remotely or on-site.

Why Do Companies Choose to Outsource Recruitment?

Below, we highlight a few high-level reasons why organizations seek RPO providers, and conversely, when RPO may not be a good fit:

REASONS TO ENGAGE AN RPO PROVIDER:

  • If your organization is looking for more speed, agility and flexibility in your recruiting processes
  • If you are looking to improve the quality of candidates applying to your positions or struggle to attract the right talent
  • If your organization is looking for a more cost-effective and standardized recruiting process
  • If your organization’s current use of recruitment technology isn’t up to par and you are seeking a variety of digital upgrades specific to your organization’s recruiting objectives
  • If your organization is looking to increase diversity hiring, RPO providers can help you uncover new diverse talent recruitment sources and strategies
talent recruitment

REASONS NOT TO ENGAGE AN RPO PROVIDER:

  • If your company culture is not ready for outsourcing talent recruitment
  • If you just need a vendor to fill a quick requisition or two as opposed to a partner to support your talent acquisition strategy
  • If your organization isn’t open to optimizing your recruiting processes and tech stack

Remember, these reasons are not set in stone. Only you and your organization can assess if you are in need of an RPO partner’s services. An RPO partner should customize their solution to match your needs and offer flexible options to support for peak hiring, hard-to-fill positions, compressed time frames and more—however it works best for you.

👉 Are you Ready for RPO? Ask Yourself These Three Questions.

How Does RPO Work?

During an RPO engagement, the RPO provider’s team works closely with their client’s talent acquisition team and hiring managers to learn the organization’s long-term talent acquisition strategy, hiring challenges and goals.

The RPO provider then designs a customized recruiting program tailored to support the client’s specific needs. RPO is not a one-size-fits-all solution. A leading RPO partner will customize its service to match your requirements, which could include any or all of the following talent acquisition activities:

RPO Process

👉 Learn more about what to expect in an RPO partnership.

What is the Difference Between an RPO Provider and a Staffing Agency?

An RPO provider is distinct from a staffing agency or headhunter. Staffing agencies identify candidates, obtain their résumés or CVs and submit them to the client.

An RPO partnership brings a higher level of engagement. Your RPO provider will do a deep dive into your talent acquisition goals and challenges and then create and execute a customized recruitment program—and report back on the results. An RPO partner is a trusted advisor who can help you gain agility and future-proof your business.

👉 Learn the top differences between an RPO and a staffing agency.

What are the Types of RPO Models?

Designed for flexibility, RPO can be customized to meet your needs. Fully outsourcing recruitment may not make sense for all organizations. But that doesn’t mean RPO won’t provide value if you’re not ready to go all in. RPO teams are often used alongside existing in-house recruitment teams. The RPO can complement your current recruitment program by handling recruiting for specific job groups, locations or business units.

Here are various types of RPO that are commonly available:

Full-Cycle RPO

The RPO partner owns the entire recruitment cycle from opening requisitions all the way to presenting and negotiating the job offer—and all activities in between. This solution offers the client the full benefit of the RPO partner’s expertise which most organizations don’t have in-house, including value-added services like market insights, recruitment technology and employer brand consulting.

Partial Cycle RPO

The RPO partner covers certain parts of the recruitment process to boost internal recruitment resources. For example, the RPO partner might source and screen candidates and then hand them over to the in-house recruitment team to schedule interviews and manage offers.

Recruiter On-Demand

Recruiter On-Demand engagements are typically fixed-term contracts meant to address specific recruitment challenges such as seasonal hiring peaks, hard-to-fill positions, compressed timeframes and more. The RPO is there to augment the in-house team, often due to rapid growth. These engagements kick off quickly, and the required positions are filled within a few months.

👉 Learn more about recruiter on-demand.

Modular RPO

Modular RPO, or variable RPO, is a strategic approach to managing the recruitment process in an ultra-focused manner. It involves outsourcing specific components of the recruitment process to an RPO provider, or as a supplement to an existing outsourced recruitment engagement, providing quick access to targeted and customized recruitment support. With a modular or à la carte approach, you choose from a range of services based on your requirements.

👉 Learn more about modular RPO.

High-Volume RPO

High-volume RPO involves sourcing, screening, interviewing and hiring large numbers of applicants for similar openings or job types. It requires a tricky balance of keeping substantial quantities of job applicants moving through the recruitment process at speed. Plus, throughout the year it requires talent acquisition teams to scale up quickly to meet seasonal demand, like for holiday shopping periods or during peak travel times.

👉 Learn how to overcome high-volume hiring challenges.

Recruitment Cost Per Hire

What are the Benefits of RPO?

Now that you can answer the question, “What is recruitment process outsourcing?”, you may be wondering why organizations engage an RPO provider. Partnering with an experienced RPO gives you access to extensive recruitment knowledge across industries, roles and regions. RPOs have managed every type of hiring campaign imaginable. Whether you need help with one function or end-to-end recruiting, RPO offers advantages including:

Minimize Costs

Every day a role goes unfilled, your organization loses productivity, which can lead to losses in revenue and profits. Plus, inefficiencies in your organization’s hiring processes can result in lost revenue and more hours spent recruiting. And, if your organization hires the wrong person, you’ll spend even more time and money recruiting and training a replacement for the bad hire. By streamlining and optimizing recruitment processes, improving the time-to-hire and retention rates, RPO providers can increase your recruiting return on investment and deliver real cost savings to your bottom line. In fact, Everest Group states that organizations can expect a 45% to 55% annual savings with RPO compared to in-house recruitment.

Access Higher Quality Talent Faster

As skills shortages and talent scarcity becomes more challenging, having an RPO team digging into passive sourcing to access niche skills sets will boost time to hire and improve quality-of-hire. RPO providers leverage their comprehensive talent networks and effective screening and assessment tools to produce stronger candidates and more diverse talent pools. This keeps hiring managers happy and helps your organization achieve its goals.

Agility & Scalability

A leading RPO provider should flex to meet your requirements. Your organization can scale the amount of work your RPO provider performs to better manage your recruitment cost-per-hire goals and recruiting budget. When you have an increased demand for talent, an RPO provider can promptly scale up your team of dedicated recruiters to keep on top of your increased demands. This works the other way around as well: when there is less demand, we can scale down, saving you recruitment spend, and you avoid layoffs in your talent acquisition team during low demand periods.

Enhanced Candidate Experience

You want your recruitment process to leave every applicant, regardless of whether they get the job, with a positive experience. Your RPO partner can advise on ways to improve the candidate experience including career site audits, job application recommendations and how to leverage technology to speed up the process and reduce friction.

👉 Get Inside the Candidate Experience with our exclusive research report.

Best-Fit Technology

RPO providers can help you implement technology solutions that balance human expertise with automation. RPO partners have expertise with platforms across the HR and talent acquisition tech ecosystem and can make recommendations to help you attract and engage talent more effectively. PeopleScout’s total talent suite, Affinix® proprietary total talent suite of AI-powered tools, connecting applicant tracking, candidate relationship management, recruitment marketing, digital interviewing and talent analytics.

Access More Expertise

Partnering with an RPO means you gain important talent acquisition expertise without having to invest in internal resources. RPO partners have developed a depth and breadth of experience from working across many clients, industries, job types and regions. While they offer recruitment sourcing best practices, they also offer value-added services that will optimize and streamline each phase of the recruiting process like employer branding, recruitment marketing, skills assessment, market insights, specialist sourcing solutions and more.

Improve Diversity

Through experience collected over many client engagements, RPO teams are knowledgeable about different talent attraction options and can help you expand to new job boards, social media groups, online forums and events to engage a more diverse workforce. Plus, RPOs understand the regional nuances of DE&I issues. For example, in some countries like Poland, it is not legal to ask candidates their ethnicity, gender, etc.

Workforce Planning Strategy

Leading RPO providers can provide labor market insights, talent intelligence and benchmarking data. With access to these insights, you have the data you need to support your workforce strategy as well as tactical business decisions. You can capitalize on the latest market analysis, thought leadership and competitive intelligence to inform your talent strategy. Your RPO partner can provide analytics to help you understand what’s working so you can maximize your ROI.

Global Reach

Leading organizations are taking a much more holistic view of the talent landscape and are looking for ways to standardize across regions. Working with a single partner for multi-country RPO eliminates the need for multiple relationships and saves time and money—while raising the quality of your hires. An RPO provider can be your most valuable partner in global expansion, because they bring a wealth of knowledge and experience gained through working with clients in different industries around the world.

Seamless Compliance

A significant aspect of recruiting is dealing with the multitude of compliance requirements that vary by jurisdiction. Your partner should help you navigate the labor laws and compliance issues that accompany any sourcing program. An RPO provider’s rigorous processes ensure a legally compliant hiring process and streamlined responses to audits. Additionally, a partner can help you anticipate any communication and training issues so that you can tackle them head-on.

What Should I Look for in an RPO Company?

If you’ve decided that RPO will be a good fit for your organization, you may be wondering how you go about choosing the best provider. Here are just three things to consider in order to make RPO a truly transformational model for your business.

Partnership

The best RPO partners understand that each company has unique needs. Look for an RPO partner that is collaborative, that will listen to your ideas and take the time to truly understand your business and pain points. Avoid providers with a one-size-fits-all approach. The right partner balances consistency with customization.

At PeopleScout, for 30 years we’ve built our services on integrity. We won’t say one thing during the sales pitch only to reset expectations after the ink is dry. We won’t make you comply with a cookie-cutter recruitment process. If we mess up, we’ll make it right. That’s why we have some of the longest running client relationships in the RPO space. 

Talent Advisory Solutions

A strong employer brand is key to recruitment success. The right RPO partner offers talent advisory solutions to develop your employer brand, EVP, recruitment marketing approaches, candidate assessments and more.

Companies often use separate agencies for recruitment marketing and RPO. This siloed approach means less accountability. The agency is less likely to be held accountable for their campaigns leading to high quality candidates entering later candidate journey stages. On the other side, the RPO partner has limited means to provide feedback on the campaigns and the impact the ads have on recruitment outcomes.

Look for an RPO with in-house expertise (not one who outsources to an external agency) to consult on your entire talent program, not just filling roles. A holistic approach attracts and hires quality candidates.

👉 Debunk common RPO myths.

Technology Acquisition Technology

HR tech is rapidly evolving, and RPO partners are well positioned to advise on tools like AI and analytics to improve recruiting. Your RPO partner should offer expertise on talent tech. Others have their own proprietary talent acquisition platforms. Look for an RPO partner who will support a modular approach, so you can continue to benefit from existing investments and grow your recruitment tech stack as your needs change.

👉 Get the most out of RPO with this podcast.

talent acquisition recruiter

What is Recruitment Process Outsourcing? The Keys to RPO Success

The most important key to successfully engaging an RPO provider for services is to have a clear understanding of what your organization is trying to achieve. Then, you can choose an RPO provider that best meets your needs.

One thing to keep in mind on your RPO journey: RPO engagements are not only about outsourcing your recruiting, they are also about finding the best partner to help manage the people, process, technology and strategy of your talent acquisition function.

There is no single best option, only the option that best aligns with your organizational needs. To determine if RPO is right for your organization, take an audit of what your organization’s specific recruitment and sourcing challenges are and if you have the internal capabilities to overcome your challenges.

Recruiting Registered Nurses for Aged Care

Posted on by akessler
Recruiting Registered Nurses for Aged Care

Aged Care Recruitment

Recruiting Registered Nurses for Aged Care

An Australian aged care provider needed to source critical healthcare roles in their most hard-to-fill locations. PeopleScout’s sourcing expertise and EVP insights helped them exceed their targets in one of the tightest candidate markets in memory.

600 + candidates screened
No drop outs occurred across the entire recruitment process
4 months to fill critical vacancies

Challenge

The client is one of Australia’s largest aged care operators, with 72 residential aged care homes in South Australia, Victoria, New South Wales and Queensland, Australia. The aged care sector in Australia is suffering from a major skills shortage as a result of the COVID-19 pandemic, international border closures and a large number of workers leaving the sector.

The aged care provider turned to PeopleScout for project recruitment process outsourcing (RPO) to support the recruitment of registered nurses and support staff across a number of critical locations where they were getting little to no response to their vacancies. 

Solution

Two senior recruitment business partners supported the client across five locations who drove passive and active recruitment for registered nurses and aged care workers. PeopleScout researched the client’s target market to understand what motivates workers in the healthcare sector to accept a role. Following this, our team provided recommendations on the lifestyle bonuses they could offer as incentives for workers to travel to their locations. We also coached the client on how to boost their employer brand to raise awareness of their opportunities, which has delivered a long-term impact within a challenging market.

Results

PeopleScout worked within the aged care provider’s existing ATS system and screened over 600 candidates. We were able to speed up the process for successful candidates and in a number of locations achieved zero dropouts throughout the screening and background check process.

Over a 4-month period, our team placed 14 permanent positions across:

  • Registered Nurses
  • Personal Care Workers
  • Hospitality Support

With a large worker exodus across the sector, recruitment in the aged care sector in Australia is still an ongoing challenge. However, PeopleScout has proven our ability to make a significant impact in a short period of time.

At a Glance

  • COMPANY
    Aged care provider
  • INDUSTRY
    Healthcare
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing, Talent Advisory
  • ABOUT THE CLIENT
    This healthcare provider manages 72 residential aged care homes across Australia, supporting over 8,000 residents and their families at an important time in their lives.
Let’s Connect

Healthcare RPO: What to Expect from Your Prospective Partner

Posted on by epadmin

For most healthcare organizations, staffing is a major operational challenge. During the COVID-19 pandemic, over 100,000 registered nurses left the field, and even several years laters, almost 800,000 nurses intend to leave the workforce by 2027 because of stress, burnout or retirement. These healthcare talent shortages and increased competition necessitate a more robust talent acquisition strategy. To overcome recruiting roadblocks, healthcare organizations can partner with a recruitment process outsourcing (RPO) partner to supplement internal recruiting teams and create sustainable talent acquisition strategies. When implemented correctly, a healthcare RPO program enhances recruiting effectiveness, attracts top talent and reduces cost, providing healthcare organizations with a competitive advantage.

In this post, we highlight six things healthcare organizations should expect from an RPO partnership.

What to Expect From Your Healthcare RPO Partnership

When you enter into an RPO partnership, you will find that a successful relationship is based on collaboration between your RPO provider and internal team, who need to work together to make the engagement a success.

Dig Deeper

How RPO Can Solve The Top Challenges In Healthcare Talent Acquisition

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Expect Seamless Integration Between Your Healthcare RPO & Internal Recruiting Teams

An ideal RPO partner should have a well-developed practice for integrating into a client’s organization and working with a client’s recruiters, hiring managers and leadership teams. During the implementation process, your healthcare RPO partner should conduct a needs assessment to understand your healthcare recruiting requirements. They will then develop a custom solution that meets the needs of your organization and business model.

Engaging an RPO partner is an opportunity to create change in the way you recruit talent across your organization. Changes in the recruiting process can include training hiring managers to be better interviewers, implementing new recruiting technology tools and establishing a unified message and employer brand.

This is the time to take the recruiting process seriously and bring attention to it internally. Your RPO partner will work with you to be an agent of change in your organization in order to successfully implement new tools and processes.

Expect Value-Added Recruiting Functions

As talent acquisition becomes more sophisticated, organizations are looking for additional services from an RPO partner such as employer branding capabilities, advanced analytics and new technology. When considering healthcare RPO partners, look for capabilities that will add value while improving your recruiting processes.

For instance, if your organization is anticipating a merger and requires a solution to swiftly ramp up your current healthcare workforce, talent acquisition services such as social media sourcing, video interviewing and recruitment marketing provide additional value by improving the candidate experience and your position in the talent market.

To determine which value-added services would most benefit you, audit your current recruiting processes and performance to identify where your in-house teams excel and where outside expertise can make a positive impact.

Expect In-Depth Program Analysis and Reporting

You should expect that your RPO partner will provide you with a complete analysis of your healthcare recruitment processes’ strengths, weaknesses and challenges.

This assessment should include:

  • Detailed process mapping before, during, and after implementation
  • Understanding gaps and opportunities within your program
  • Visibility into real-time workforce data and analytics

From this deep-dive, your RPO partner should develop customized solutions for your immediate and long-term talent needs and consult with stakeholders on ways to improve your program.

Recruiting metrics and analytics are powerful tools. When an RPO partner dives into the data, they can provide guidance on big and small recruitment changes that will lead to improved hiring metrics.

Expect Accountability and Transparency

Accountability and transparency are key factors in a successful RPO partnership. As the client, you should be able to ask your RPO partner any question you can conceive of, and in turn, your RPO partner should be able to provide you with satisfactory answers.

To ensure accountability, your RPO provider should work with you to establish mutually agreed upon Service Level Agreements (SLAs). SLAs should be established during the partner selection process, and their governance should be clearly outlined during contract negotiations.

SLAs establish how you and your RPO provider will work together and can cover items like terms, liability, billing and payment, confidentiality, solicitation, insurance, warranties and employment relationships.

Before you draft SLAs, you need to assess your recruitment performance prior to working with your RPO partner. This can prove challenging, especially if your internal recruitment processes do not track and benchmark data. If you do not have benchmarks, your healthcare RPO provider should be able to provide benchmarking data based on their work with other clients in the healthcare space.

When setting up SLAs, make sure they are realistic, achievable and meet your organization’s recruiting needs. RPO SLAs often include the following metrics:

  • Time-to-fill: Time-to-fill measures how long it takes recruiters to fill an open role.
  • Hiring manager satisfaction: You can measure hiring manager satisfaction through a survey, for example.
  • Candidate experience and satisfaction: You can conduct surveys with every candidate, not just ones who are hired, to better understand the impact of your candidate experience.
  • Interview-to-offer ratio: This metric is the ratio of the number of interviews to the number of candidates that are given an offer and can help determine the quality of candidates.
  • Diversity of candidate: This is the percentage of candidates considered or self-identified as “diverse,” and can be used to track different groups of candidates like women or veterans.

The right mix of service-level controls can help ensure a successful partnership.

Expect to Be Supplied with References

You would not hire a doctor or nurse without checking their references, and the same applies when partnering with an RPO provider. An RPO partner can always tell you about their solutions, skills and expertise. However, to get a real sense of an RPO partner’s true capabilities, you need to speak to their clients and hear success stories directly.

You should receive references from organizations that the RPO partner has worked with, ideally in the healthcare space, that have dealt with similar challenges as you, so you can really understand how the RPO has delivered effective solutions in the past. For example, if your organization is having a difficult time sourcing healthcare talent in a rural community, your RPO partner should provide you with a reference that illustrates their ability to source candidates in lean talent markets.

Expect Effective Recruiting Technology

Your RPO partner should be deploying the most current and best-in-class recruiting technologies to access and leverage data, attract and source candidates, automate recruiting processes, and screen and shortlist candidates. For instance, an RPO partner equipped with an experienced team of recruiters trained in using advanced tools and resources can use AI and predictive analytics to quickly find candidates with the skills and qualifications you’re looking for.

The right talent acquisition technology tool can also help provide a superior candidate experience, including:

  • AI-enabled sourcing tools help recruiters find the best candidates faster.
  • A streamlined application process can allow candidates apply with just one click.
  • Personalized recruitment marketing tools like chatbots, SMS messages, email campaigns and individualized landing pages provide candidates with the consumer-like experience they have come to expect online.

Healthcare RPO partners should also be able to help you quickly implement the best recruiting technologies into your talent acquisition program that can save both time and money.

Healthcare RPO from PeopleScout

Selecting the right RPO partner is a big decision for any healthcare organization and outsourcing recruitment processes can have a tremendous business impact. Your healthcare RPO partner should possess the ability to understand the capabilities and reach of the latest emerging talent tools can provide both significant costs savings and a competitive advantage and provide you access to talent, quality of hires, process efficiencies and workforce management support.

Learn more about PeopleScout’s healthcare RPO serivces by connecting with one of experts.

Securing Software Engineers for a Healthcare Tech Pioneer

Posted on by akessler
Securing Software Engineers for a Healthcare Tech Pioneer

Tech Recruiting in Healthcare

Securing Software Engineers for a Healthcare Tech Pioneer

A global healthcare technology company turned to PeopleScout to find much-needed tech talent to grow their healthcare data and analytics services.

97 % Offer Acceptance Rate
Implemented SMS Text Screening
Implemented SMS Text Screening
20 % Exceeded Submittal-to-Interview Ratio Goal by 20%

Situation 

A healthcare technology company approached PeopleScout to help with their hard-to-fill software engineering and niche technology positions. With demand for tech and digital skills on the rise across all industries, the client was struggling to fuel their business growth.  

Solution 

PeopleScout implemented a partial-cycle recruitment process outsourcing (RPO) program for the client. Our dedicated delivery team consisted of tenured recruiters who had at least five years of software engineering recruitment experience. We established a multi-channel sourcing process, screening, scheduling interviews and completing the hiring process for the client.  

The PeopleScout RPO team partnered closely with hiring managers to brainstorm creative solutions to particularly hard-to-fill roles and to provide talent intelligence and detailed compensation information that they could take back to their leadership. 

We also implemented new technology that allowed us to screen candidates via two-way SMS texting to speed up screening time, improve candidate engagement and reduce fallout. Hiring manager surveys were also rolled out to gain more feedback, and reporting and analytics were set up to measure SLAs. 

Results 

PeopleScout effectively hired candidates for the organization’s niche technology roles, while exceeding time to fill expectations. Our recruiters thoroughly sourced against the role requirements, assuring candidates met the client’s standards. As a result, 77% of hires made were externally sourced candidates, and we increased the submittal to interview ratio to 54%, exceeding our target by over 20%. The offer-acceptance rate grew to 97%, well above the industry average of 70%.  

Following this success, the RPO program expanded from roles within the U.S. to also cover recruiting tech roles in the UK and Ireland. 

At a Glance

  • COMPANY
    Healthcare technology company
  • INDUSTRY
    Technology
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing, Affinix
  • ANNUAL HIRES
    250
  • LOCATIONS
    U.S., expanding to UK and Ireland
  • ABOUT THE CLIENT
    This healthcare technology company provides data, analytics and software for healthcare and government social services. The organization works with healthcare providers, health plans, governments and life sciences companies to get more from their health data, using artificial intelligence, data analytics, cloud computing and other advanced information technology.
Let’s Connect

Healthcare Talent Shortage: Changing Demographics, Growing Demand & Shifting Skills

Posted on by epadmin

As the world of work transforms, the healthcare industry is at the epicenter of change. The industry is growing rapidly and facing a healthcare talent shortage and skills gaps. At the same time, the accelerating pace of medical and technological advancements means medical professionals must constantly adapt to new breakthroughs and changing expectations. Talent acquisition and HR professionals need to be ready to meet the growing challenge. To do so, they must understand the full picture of the healthcare talent landscape.

Is a Generational Change Creating a Healthcare Talent Shortage?

The industry is facing challenges in both supply and demand. Hospitals and Health Networks magazine calls the generational change “the most powerful force operating in our health system right now.”

On the supply side, the baby boomer generation is reaching retirement age, and according to Becker’s Hospital Review, one-third of practicing physicians are more than 55-years old and nearing retirement. Replacing doctors and surgeons who have decades of experience is challenging, as those earlier in their careers lack the years of training, education and on-the-job hours. The next generation in the workforce, Generation X, is relatively small. While the millennial generation is the largest generation in the workforce, the oldest millennials are nearly 40 years old, and some of Gen Z are too young even to start medical school. As baby boomers retire, these generations will have to fill that gap.

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On the other side of this equation, the overall population is aging, with 10,000 Americans turn 65-years-old every day. Caring for an aging population will require even more healthcare professionals.

As baby boomers age, the demand for healthcare is increasing, including home health services, long-term and aged care. Chronic conditions like heart disease, diabetes, cancer are becoming more common with nearly half of the American population suffering from a chronic illness. According to a study JAMA Internal Medicine, , baby boomers have a longer lifespan but higher rates of hypertension, high cholesterol, diabetes and obesity. This means the largest generation to reach retirement age will likely also need more healthcare than any previous generation

The Healthcare Talent Shortage

The aging baby boomer generation is fueling industry growth. The healthcare industry is predicted to be the largest driver of growth in the U.S. economy through most of the next decade. Yet, most healthcare organizations continue to experience strains as the healthcare talent shortage increases. This is a multi-pronged issue driven by increased demand, retirement, burnout and a lack of new healthcare professional entering the field complicating healthcare recruitment.

And experts predict the healthcare talent shortage will only get worse. The Bureau of Labor Statistics (BLS) projects that the country will face a shortage of 195,400 nurses by the year 2031. While doctors and nurses are the most visible employees in the healthcare industry, growth in the industry will impact positions throughout the sector. An increase in patients, hospital visits and appointments will call for more support staff, like clinic support, medical technicians, billing and coding professionals and even non-clinical hospital staff like janitorial and food service.

Laboratory technicians are facing many of the same labor challenges as physicians and nurses. Many are reaching retirement age, and retirements are expected to accelerate. Replacing them will tough, as the number of students graduating from laboratory technician programs is declining.

Plus, due to a shift towards home-based care, home health aide shortages are projected to grow significantly. The BLS predicts that the number of openings for home health and personal health roles will increase 37% by 2028.

Healthcare Talent Shortage

Less visible roles are also impacted by healthcare talent shortages. The medical coding profession has been plagued for years by a shortage of coders. Job growth for the position accelerated after the implementation of the Affordable Care Act, and experts expect that growth to continue along with the rest of the industry.

A Transforming Workplace

In addition to the healthcare staffing challenges, the healthcare industry is not immune to the changes impacting organizations across the country—like the digitization of services and the growing gig economy. The healthcare industry is always experiencing change due to technological advancement, medical research and new regulations. However, to adapt to these trends, organizations will need to seek out talent in different ways and find people with new skill sets.

Use of telemedicine and virtual care expanded during COVID-19 and are continuing to rise as a way to improve access. Jobs in these types of workplaces require different technology and communication skills than more traditional hospital and clinic jobs.

While many think of the gig economy as a place for creatives or rideshare drivers, the contingent workforce is taking on a greater role in healthcare. SIA reports that hospitals are turning to contract physicians and traveling nurses to deal with the talent shortage. Some practitioners are turning to this freelance work to boost their earning potential, and the system helps increase staffing at rural healthcare facilities that struggle with healthcare recruiting.

Large hospitals are also bringing in a greater share of doctors due to consolidation within the industry. Since 2019, over 100,000 private practice doctors have transitioned into employees of larger corporate healthcare organizations. Nearly three-quarters of physicians are part of larger healthcare systems in the U.S., a record high.

A Necessary Response

To remain competitive in this challenging talent landscape, healthcare organizations must take a proactive approach to planning their workforces, sourcing and recruiting talent, retaining workers and appealing to millennials and Generation Z workers who will fill the roles of retiring baby boomers.

Areas across the United States are already feeling the impact of the healthcare talent shortage, and experts say the pressure will only grow. Organizations need to respond now to prepare. Here are some steps companies in the healthcare industry should take to manage skills shortages and how technology can help.

Skills Shortage in Healthcare: Tackling the Lack of Healthcare Professionals

Posted on by epadmin

Healthcare organizations face a number of unique recruitment challenges compared to other industries. Finding and attracting candidates with the specific clinical, medical, and administrative skills required is an ongoing battle, especially for critical roles like nurses, physicians and specialist practitioners. With a large portion of the healthcare workforce reaching retirement age, an older population demanding more healthcare services, and new technology shifting the skills needed in the healthcare workforce, a skills shortage in healthcare is growing rapidly.

Healthcare organizations must plan now for the future by undertaking comprehensive workforce planning, establishing a robust talent pipeline, focusing on retaining their current workers and appealing to the younger generations to step into those roles.

The Healthcare Talent Landscape

The healthcare industry faces an uphill battle when it comes to recruitment and staffing. A perfect storm of factors, including an aging population, workforce shortages across multiple disciplines, and a global pandemic that has stretched resources to the breaking point, has created immense challenges. Healthcare organizations must navigate a highly competitive recruitment landscape to attract and retain top talent. Additionally, new healthcare roles are emerging that require specialized skill sets, further complicating hiring efforts. In this constantly evolving climate, understanding the current healthcare recruitment landscape is crucial for organizations looking to build a strong, sustainable workforce.

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How RPO Can Solve The Top Challenges In Healthcare Talent Acquisition

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Demographic Shifts Are Increasing Demand

People are living longer, and as Baby Boomers age, the demand for health services, including home health services, long-term and aged care, is increasing. Chronic conditions like heart disease, diabetes, cancer are becoming more common with nearly half of the American population suffering from a chronic illness.

An older and sicker population is putting pressure on healthcare workers, especially those in clinical roles like nurses, physicians, health aides and therapists. Plus, demand is high for cardiovascular technologists, clinical lab technicians and other allied healthcare professionals who operate specialized equipment to diagnose and treat chronic conditions. Attracting and retaining top healthcare talent has never been more competitive, with demand increasing in both acute care and community settings, including large health systems, public health organizations, tech companies moving into healthcare, travel nursing firms, long-term care facilities, the military, healthcare research, mental health agencies, insurance and managed care companies, and even other industries.

Talent Supply Can’t Keep Up with Demand

The increase in demand seems to coincide with a healthcare talent shortage. The Bureau of Labor Statistics (BLS) projects that the country will face a shortage of 195,400 nurses by the 2031. Plus, a shift towards home-based care means the shortage of home health aides is projected to grow significantly. The BLS predicts that the number of openings for home health and personal health roles will increase 37% by 2028.

With home-based and long-term care growing, the U.S. healthcare system is also experiencing shortages for occupations like physical therapists and occupational therapists. Plus, these facilities find recruiting and retaining nursing assistants, care aides and direct care workers increasingly difficult due to low wages, demanding work and limited career advancement opportunities.

Retirement and Burnout Create Retention Issues

The challenges surrounding the skills shortage in healthcare are exacerbated by healthcare professionals exiting the workforce in droves. Experienced nurses, doctors and other clinicians are retiring and leaving patient care roles, resulting in the loss of crucial knowledge and experience for healthcare systems.

According to the American Association of Colleges of Nursing the median age of a Registered Nurse (RN) is 46 years old. Plus, more than a quarter of RNs report they plan to retire or leave nursing over the next five years. The rates of RN turnover in the United States have ticked up over recent years, growing from 17% in 2017 to 26% by 2021.

Driven by the strain of the pandemic and a shrinking workforce, many healthcare workers are experiencing burnout. According to the Medscape National Physician Burnout and Suicide Report, the average burnout rates for nurses and physicians in the US is 40%.

Burnout also has an impact on patient care. According to Nursing Times, about half of midwives say they’re afraid of making a mistake because they’re exhausted.

Innovation is Shifting the Skills Shortage in Healthcare

As care delivery models have shifted, there is a growing need for nurses and staff with specialized skills and experience. Use of telemedicine and virtual care expanded during COVID-19 and is continuing to rise as a way to improve access to healthcare. Digital disruptor Amazon recently completed an acquisition of One Medical and is now offering a new model of digital “concierge” or “membership” healthcare.

In addition, new innovations in digital health (think personal health tracking apps or wearables), med-tech, genomics, precision medicine, AI and more are transforming healthcare and shifting the necessary skills in the healthcare workforce.

Rising Labor Costs are Adding to the Strain on Healthcare Organizations

With nationwide labor shortages and inflation, healthcare organizations face rising costs for salaries, benefits and contract staffing. In all industries, workers are requiring more competitive compensation, benefits and perks to be enticed. This puts a particular strain on healthcare organizations where staffing is literally a matter of life and death.

High turnover among certified nursing assistants drives up costs for long-term care facilities and impacts quality of care. In order to keep high patient care standards and staff shortages, the U.S. healthcare system relies heavily on costly contract and travel nurses and other providers which further drives up labor costs for hospitals. In fact, contract labor expenses have risen more than 250% over the past three years.

Addressing the Skills Shortage in Healthcare

Addressing the skills shortage in healthcare requires a multi-pronged approach—improving workforce planning, enhancing recruitment and retention efforts, and elevating the perception of healthcare careers for the next generation.

Workforce Planning

To effectively respond to the changing healthcare talent landscape, organizations must take proactive steps to plan for their future needs. The future will look different for every organization. Healthcare organizations in Florida and the Southwest, where there are large numbers of retirees, will have different staffing needs than organizations in trendy urban areas in the Pacific Northwest or East Coast where the population tends to be younger and healthier. Region also makes a difference in attracting candidates, as rural health systems are already struggling to fill positions. Healthcare organizations should know what their needs will be in the coming years and what challenges they’ll face attracting workers.

Data analytics is a valuable tool for workforce planning. The American Hospital Association recommends that organizations analyze data including current workforce demographics, potential future workforce requirements, and factors impacting the data, like the increasing popularity of walk-in clinics, telehealth services and digital healthcare models. Predictive and prescriptive analytics tools can help healthcare organizations plan for future needs and evaluate how different decisions will impact those hiring needs. According to SHRM, this type of workforce planning can save money by eliminating issues with understaffing and overstaffing. Predictions can provide organizations with a clearer view of how and when different talent gaps will impact them. Armed with that information, healthcare organizations can make informed decisions when it comes to forming partnerships, increasing retention and reaching out to younger workers.

Building Talent Pipelines

A key strategy for combating the the skills shortage in healthcare will be convincing more people to enter the healthcare industry. Too often, HR leaders at organizations only think of potential candidates through a narrow lens. They focus on the people who already work in the industry and who already have the education and skills to be a nurse, medical technician or phlebotomist. There aren’t enough people already in those pipelines to fill the talent gap. Healthcare organizations need to think broad and start focusing on the young people who are considering a career in healthcare. They need to start marketing to these candidates earlier than ever before.

The American Hospital Association recommends that healthcare organizations establish community pipelines by partnering with high schools, colleges and other academic institutions. Through these partnerships, healthcare organizations can start engaging with future candidates earlier than ever and help drive young people to the healthcare industry. Partnerships can also create more candidates in a geographical region with a specific set of skills. According to the American Association of Colleges of Nursing, a partnership in Minnesota between the University of Minnesota and the VA Healthcare system helped expand enrollment in the university’s nursing program and increased the program’s focus on veteran care. The program ensures more graduates in Minnesota with the skills necessary to care for veterans. Healthcare organizations should form these partnerships strategically, using their workforce planning predictions to understand which types of positions will have the greatest demand and where these partnerships can have the biggest impact.

skills shortage in healthcare

Focusing on Retention

HR leaders at healthcare organizations are grappling with the stresses the skills shortage in healthcare is creating for their current employees . Understaffing creates larger workloads and longer hours. According to CareerBuilder, 70% of nurses say they feel burnt out in their current job and more than half rate their stress level as “high.” According to Medscape, only 56% of nurses would choose their career if they had a chance to start over again. If current health care workers are stressed, burned out and regretting their career choice, that could harm the talent pipeline. Healthcare organizations cannot afford to lose younger nurses due to stress or burnout.

Healthcare organizations will have to face the challenges of burnout head on to retain their workers. Healthcare Dive offers tips for ways HR professionals can help, including making your staff aware of the signs of burnout and teaching self-care strategies. Wellness among the healthcare workforce must be a priority. Some healthcare organizations have created quiet rooms stocked with yoga mats and massage chairs where nurses can go during their shifts to take a break. CareerBuilder recommends offering a flexible work environment, encouraging exercise, establishing an open-door policy, offering mental health tools and focusing on continued education.

While an expensive option, contract healthcare providers can also help ease the burden on understaff facilities. PRN, or “pro re nata,” positions are growing in popularity throughout the entire healthcare industry. The positions are typically part-time, as needed, and many healthcare workers are turning to these roles for the flexibility, rather than taking full-time positions. Healthcare organizations can use PRN workers to cover understaffed shifts, which can lift some of the burden on permanent employees.

Appealing to Younger Workers

Healthcare organizations are competing for the best of the limited talent pool. To succeed in attracting candidates, healthcare organizations must build a strong employer brand and meet the needs of millennial and Generation Z workers.

What do millennials want? Countless writers have tried to answer that question, but Harvard Business Review reports millennials aren’t necessarily all that different from older generations. They want good managers, interesting work and the opportunity to learn and grow. Like many other generations, they want to make a positive impact and help solve social and environmental challenges. By its nature, a career in healthcare can provide that. One thing that does set millennials apart from earlier generations is an increased debt burden due to higher education costs. Some financial experts recommend that organizations consider new benefits packages that offer student debt repayment to lure millennial workers.

As for Generation Z, the oldest members are just starting to enter the workforce, but experts say to be prepared for a cohort of workers well versed in technology. According to Forbes, in addition to being technologically savvy, members of Gen Z are also entrepreneurial and serious-minded after watching the impact of the Great Recession, so organizations should expect creativity and offer continuing educational opportunities. Harvard Business Review recommends reaching Gen Z candidates where they are—on mobile devices. Authenticity and personalization are also important to this segment of the workforce, as they’ve grown up bombarded with personalized advertisements online.

Engaging an Expert to Tackle the Skills Shortage in Healthcare

As they work to manage the growing skills shortage in healthcare, healthcare organizations are turning to experts in healthcare RPO, MSP and Total Workforce Solutions for healthcare staffing support. As you plan for the future, a talent partner can help provide a view of the whole talent spectrum, finding the right mix of both full-time and contingent workers. As the gig economy grows in popularity and more healthcare workers turn to contingent work, a talent acquisition partner can also ensure compliance on legal issues. Healthcare organizations should seek out partners with the right experience to tackle the specific needs of the industry.

A partner with a depth of data analytics experience can help develop a unique plan that addresses the needs, region and demographics of your individual healthcare organization. Data expertise can also help organizations determine why current employees leave and predict which changes could make the biggest differences in employee retention.

Healthcare organizations should also look for a partner with strong experience in building candidate-centered application processes and employer branding. As healthcare organizations compete for talent, a candidate-centered process and strong employer brand will help bring in the millennial and Gen Z workers.

Ultimate Recruitment Process Outsourcing Toolkit

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Ultimate RPO Toolkit

Not sure recruitment process outsourcing (RPO) is for you? Think your organization is too small for RPO? Think outsourcing doesn’t fit your company culture?

Think again.

Our complete six-piece toolkit gives talent acquisition leaders the essential information on how RPO can boost their recruitment outcomes.

In this toolkit, you’ll get:

  • Our comprehensive buyer’s guide for RPO—everything you need to know
  • A guide for building a business case for RPO (including a free template!)
  • Conversation starters to help you create buy-in for RPO at your organization

Learn how RPO can unlock the full potential of your talent strategy. Download your kit now.

Recruitment Process Outsourcing (RPO) Buyer’s Guide

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Recruitment Process Outsourcing (RPO) Buyer’s Guide

In this challenging landscape, talent acquisition leaders are increasingly turning to recruitment process outsourcing (RPO) to gain the flexibility, scalability and agility they need to hire the best talent.

So, how do you know if outsourcing to an RPO partner is right for you? Our RPO Buyer’s Guide provides an in-depth exploration of RPO and how it can help you achieve your recruitment goals.

In this ebook, you’ll learn:

  • What RPO is and the benefits it can bring to your business
  • Whether RPO is right for you and the benefits of selecting an RPO partner
  • What to expect at each stage of your RPO partnership

 

Navigating Security and Compliance Checks in Recruitment for Enhanced Efficiency and Candidate Experience

Posted on by akessler

By James Chorley, EMEA Talent Solutions Director, RPO

In an era where security and compliance checks are taking center stage in corporate priorities, it is crucial to recognize their impact on strategic recruitment campaigns. The meticulous efforts of recruitment marketing and employer value proposition (EVP) teams can easily be compromized by a convoluted recruitment process, potentially driving away top-tier candidates.

In fact, recent surveys highlight that three-quarters of job seekers abandon lengthy recruitment processes. This underscores the urgency for organizations to optimize security and compliance checks to prevent potential top-tier candidates from losing interest.

Compliance Challenges for Lean Teams in High-Volume Recruitment

Devising a recruitment strategy requires careful consideration of security and compliance checks, documentation, and candidate data requirements. While experienced recruiters navigate vetting processes adeptly, lean teams face challenges in high-volume recruitment scenarios. Establishing clear guidelines becomes essential to ensure a seamless candidate journey, preventing dropouts and optimising the recruitment process.

Case Study: Transforming the Onboarding Process at International Airport

For this major international airport, entry-level security employees undergo a comprehensive onboarding process, necessitating the submission of detailed job and address histories spanning five years before the vetting commences. When airports resumed operations post-pandemic, as the airport’s recruitment process outsourcing (RPO) partner, PeopleScout’s focus shifted to streamlining this process, ensuring swift candidate progression and minimising post-offer dropouts.

Candidate Hub Development

At the core of our candidate-focused recruitment journey was the creation of a candidate hub, featuring a unique section for individuals who had passed the initial stages of the airport application. This hub aimed to guide candidates through every step of their journey while emphasising early preparation for the extensive onboarding requirements.

Streamlining Communication

To address the issue of candidates dropping out post-offer, we sought to reduce the volume of emails and attachments. Introducing a video-led section, we enhanced inclusivity by providing a clear understanding of the process. These videos, presented by actors and co-created with the airport’s resourcing team, humanized each stage, informing candidates about what to expect and what actions were required.

Improving Accessibility and Understanding

The video-led approach not only simplified the onboarding process but also contributed to a 36% increase in the weekly volume of offers. By focusing on documentation and key information required for onboarding, candidates were equipped with clear instructions, fostering a sense of inclusivity and understanding.

Enhancing Candidate Engagement

A key objective was to ensure a welcoming candidate journey. We achieved this by implementing regular check-ins over the phone, personalized messaging, and managing individual queries. Additionally, informative webinars were conducted to provide candidates with a seamless experience.

Exceptional Candidate Feedback

The impact of our efforts was reflected in exceptional candidate feedback, with a Net Promoter Score (NPS) of plus 70. This underscored the success of our strategy in creating a more efficient, engaging, and inclusive hiring process at one of Europe’s busiest airports.

Dos and Don’ts for Managing New Hire Security Vetting Processes

To help you understand best practices for creating a friction-free vetting process while ensuring compliance, we’ve included practical tips to set clear expectations, provide context, and offer guidance, while avoiding overwhelming candidates with information.

Do:

  1. Set Clear Expectations Early: Clearly outline vetting requirements in the job ad or as part of initial pre-screen questions.
  2. Provide Context: Explain why specific checks are necessary for the role, helping candidates understand their relevance.
  3. Be Transparent about Onboarding Timelines: Inform candidates of the expected duration for the vetting process, ensuring alignment with their commitment levels.
  4. Guide Candidates: Offer advice on where candidates can obtain the necessary data, simplifying the information-gathering process.

Don’t:

  1. Overwhelm with Information: Avoid bombarding candidates with numerous emails and attachments all at once during the vetting stage.
  2. Neglect Reinforcement: Don’t go silent on candidates at this stage. Continually reinforce the reasons they applied and accepted the offer, emphasizing the value of the opportunity.
  3. Assume Uniform Understanding: Recognize that individuals process instructions differently, and provide information in a variety of formats, like bulleted lists and videos, to accommodate diverse learning styles.

Onboarding, Compliance and RPO

Crafting a considerate approach to security and compliance checks in recruitment becomes instrumental in fostering an exceptional candidate experience. Through proactive management of vetting requirements, transparent communication, and clear guidance, organizations fortify their defenses against talent loss. Even in high-volume scenarios, this approach ensures that the recruitment process remains not only efficient but also centered around the candidate’s needs.

At PeopleScout, we seamlessly integrate your go-to-market strategy with tailor-made solutions, ensuring candidates navigate the vetting process successfully. Our award-winning candidate experience solutions, combined with our renowned marketing strategies, form an ideal synergy. This powerful combination not only streamlines your pipeline but significantly enhances the efficiency of your funnel metrics.

PeopleScout Recruiter On-Demand™

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Recruiter On-Demand™: Flexible Project-Based Recruitment Solutions

In today’s tumultuous economy, organizations are seeking ways to create a more agile workforce.

Download this fact sheet to learn how PeopleScout’s Recruiter On-Demand solution is helping our clients stay ahead without a long-term commitment.

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Learn more about PeopleScout’s Recruiter On-Demand solution and get answers to frequently asked questions (FAQs).

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5 Ways Project RPO Can Boost Your Talent Acquisition Program Right Now [Infographic]

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Recruiter On-Demand™: How Project RPO Can Solve Your Toughest Talent Challenges
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Recruiter On-Demand™: How Project RPO Can Solve Your Toughest Talent Challenges

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