Business innovation for recruitment industry

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Business Innovation
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    14-Sep-2014
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Transcript of Business innovation for recruitment industry

Page 1: Business innovation for recruitment industry

Business Innovation

Page 2: Business innovation for recruitment industry

Why Innovate• Increased competition• Cost concerns • Globalization• Rapidly growing internet technologies – the

social media network

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Page 3: Business innovation for recruitment industry

Digital Imperative• Web 2 and the proliferation of internet

technology – the big bang theory

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Page 4: Business innovation for recruitment industry
Page 5: Business innovation for recruitment industry

Traditional Business Model for Recruitment Companies

Transaction Based, No Major DifferentiatorKey Need – Cost Optimization and Process Efficiency

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Page 6: Business innovation for recruitment industry

Why Offshore Outsourcing • Global offshore outsourcing business for IT

and other services is estimated at $55 Billion – 2008

• Estimated annual growth rate 20%+ over the next five years

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Page 7: Business innovation for recruitment industry

Why Outsource

6%

3%

8%

6%

17%

3%

16%

12%

3%

12%

2%

2%

4%

5%

0% 5% 10% 15% 20%

Take Advantage of Capabilities

Share Risks

Resources not available internally

Reduce time to market

Reduce and control operating costs

Make capital funds available

Improve company focus

Gain access to wold classcapabilities

Function difficult to manage or outof contro.l

Free resources for other purposes

Cash influsion

Asset transfer

Accelerate re-engineering benefits

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Page 8: Business innovation for recruitment industry

Processing Costs when

performed in-house

Off-shore Processing

Cost

Additional Cost for Remote Services

Total Cost for Off-shoring

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Page 9: Business innovation for recruitment industry

How can it be made

successful

4%

5%

4%

3%

10%

8%

2%

14%

12%

7%

5%

21%

5%

0% 5% 10% 15% 20% 25%

Near Term Financial Justification

Cultural Compatibility

Access to Outside Expertise

Open Communication with AffectedIndividuals and Groups

Understanding Your Firms Goalsand Objectives

Strategic Vision and Plan

Careful Attention to Personal Issues

Ongoing Management ofRelationships

Properly Structured Contract

Proper Mix of Retained InhouseStaff and OS Operations

Senior Executive Support andInvolvement

Selecting the Right Vendor

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Page 11: Business innovation for recruitment industry

What is being outsourced

68%

48%

46%

21%

19%

13%

12%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Payroll

Tax Compliance

Benefits & Claims Administration

Internal Auditing

Accounting

Human Resources

Asset Management

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Page 12: Business innovation for recruitment industry

Changing Role of Staffing Companies

Vendor Approach

Demand Based

Generalist

Database & Active Candidate Mode

REACTIVE STRATEGY

Partnership Approach

Planning Based

Specialist

Research & Passive Candidate Mode

PROACTIVE STRATEGY

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Page 13: Business innovation for recruitment industry

About IMS

Page 14: Business innovation for recruitment industry

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