Why companies are dissolving their in-house recruiting departments

Recruiting is what makes the world go round: if it weren't for the experts that scout talent and fill vacant positions, especially in management and the C-suite, the economy would not be nearly as dynamic or powerful as it is. Recruiters are an irreplaceable aspect of the workforce, yet organizations' typical methods for filling open positions have been changing in recent years. As the 21st century has progressed, so too has the face of recruiting. 

The fall of in-house recruiting

In-house recruiting is a practice we are all familiar with. This method is popular because it allows the company to set the agenda and have control over all aspects of the process. However,  this can sometimes work a little too well: internal recruiting may become so narrowly focused that its goals shift from quality to quantity, and in the long run, this means recruiters aren't being used to the fullest extent of their skill sets. 

This problem with job recruitment is, at times, only further exacerbated by the capabilities of the internet Online job boards have transformed the field, with algorithms and software now dominating the process. Job postings are fine-tuned for keywords, and applications are weeded out by a program based on how good of a "match" the applicant is. The vast majority of job applications are never seen by a real person: According to Glassdoor, the average corporate job opening attracts 250 applicants, but thanks to selection software, as few as 4 to 6 will receive an interview or even a phone call. This also means the role of recruiters has shifted dramatically – instead of using their interpersonal and networking skills, they are instead more working more on administrative and supportive tasks.

Most job applications are now done through the internet.Most job applications are now done through the internet.

Abolishing the recruiting department

As a result, organizations have started a new trend: abandoning all in-house recruiting efforts. Instead of continuing down an inefficient path, many are reaching out to dedicated recruiting agencies to fill their open positions. External recruitment firms have several advantages over internal teams – most relevantly, they allow companies to save money by not paying their own team of recruiters for jobs that don't use them to their full potential. Additionally, according to LinkedIn, agencies focus more on quality than quantity, seeking out candidates based on their merits as assessed by professional recruiters, and not a computer program. External recruiting firms also can keep up with issues such as high turnover and explosive growth much better than an internal team could.

YES Partners will make the transition to agency-based recruiting a simple one. The company has the worldwide reach, expertise and diverse breadth of services to help organizations in their efforts find the executives and additional talent they need to stay on top in this dynamic economy. To see some of the roles that YES Partners has already successfully placed, click here.

Finding people is easy, but finding the RIGHT people is not. YES Partners helps companies FIND the right people for all company functions, across many industries.

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