Healthy savings for Ministry
Government spending was a hot topic leading up to the election and it’s likely to remain in the spotlight for some time. One area that’s likely to come under fire is spending on recruitment, and TalentPoint managing director, Craig McGrory, says recruitment process outsourcing (RPO) is the obvious solution.
It worked for the Ministry of Health. In the last 18 months the Ministry has saved over $2.3million by using TalentPoint RPO for the information directorate alone. “Using a traditional agency would normally take around six to eight weeks per hire to find the kind of specialised personnel we needed,” says former Ministry strategy and change manager, Helmut Modlik (pictured). “But with RPO recruiting we cut that time to around two weeks per hire.”
RPO delivers improved efficiencies and reduced management time spent on the recruitment process and hiring issues. That reduction in time to hire meant the cost per hire for the Ministry went from around $20,000 to $3,200.
But cost is not the only driving factor for companies who opt for the RPO model. Attracting quality recruits and retaining them once hired is an important draw card.
“Some of the specific competencies and skill sets we needed were in very short supply, but the RPO process meant we had experienced RPO consultants on tap,” says Helmut. “They worked alongside us every day and really knew our business, so they were able to forecast and progress recruitment quickly.”
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Gross savings as a result of not using a traditional agency - $2.3million in under 18 months |
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Cost per hire - $3,218 (pre-RPO $18,000 - $20,000 per hire) |
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Placements direct via the RPO model - 82% |
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Time to hire - 16.1 days (pre-RPO 30 - 40 days) |
Crazy though it may seem,
that’s the message from
David Maister, who was in
New Zealand recently
presenting at seminars in
Wellington and Auckland.
He says intelligence is not
always a key factor in
getting the best from
people, or for having them
do the ‘right’
things.
He said enthusiasm and morale are critical to performance and
he noted some tips that all good managers and people leaders
know, but many often fail to act on:
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Talk to people about their goals - not yours. |
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Keep your word. |
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Give staff confidence they can achieve. |
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Never point out people's flaws/failings. |
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Get staff to set their own stretch goals. |
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Help them get started. |
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Talk to staff informally about their performance. |
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Establish consequences for non-compliance. |
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Identify staff early who don't fit the mould and fire them. They will undermine the team. |
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Acknowledge staff's efforts early – even small ones. |
“The job of a good manager is to make other people successful,”
he said.
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