Deciding When – And When Not – To Outsource Applicant Tracking and Recruiting Functions
Many HR departments struggle with the question: When does it make sense to outsource? While the ideal might be to keep recruiting functions in the safety of the corporations processes, there are times when it makes sense to entrust internet-based HR recruiting processes to outside sources. Medzilla asks the experts why and when they outsource key recruiting processes, and what criteria they use in making the decision to outsource.
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Deciding When – And When Not – To Outsource Applicant Tracking and Recruiting Functions
Marysville, WA (prweb) October 24, 2003 – Many human resources managers struggle with whether it makes sense to outsource key Internet-based recruiting functions. While theres no absolute answer, experts say managers should employ a healthy skepticism" to ensure efficiency and confidentiality.
Keeping proprietary information in-house, such as that gathered by an applicant tracking system, is the ideal, says Frank Heasley, PhD, president and chief executive officer of MedZilla.com, a leading Internet recruitment and professional community that targets job seekers and HR professionals in biotechnology, pharmaceuticals, health care and science.
It is important to be careful with your company's business information. Trusting outside sources can lead to problems," Dr. Heasley says. Weve found that outsourced solutions often fall short of their sales pitches and most successful businesses have the corporate philosophy that it is better to own their processes. There are times, however, when it makes sense to outsource. When you're recruiting, for example, it makes sense to publish your job requirements and use media outlets where you can reach more candidates that are qualified. That means using job boards, because your corporate web site will not nearly have the same candidate traffic level as a good job board in your niche."
On the other hand, an ATS is like one of your production processes, Heasley says. It is a processing system that deals with your company's proprietary information – your candidates, their private resumes and information, and ultimately your companys employees.
Dr. Heasleys point of view can be characterized as healthy skepticism," says Fred P. Lange, president of HR Architect, an HR solutions consulting firm. According to Lange, who has more than 20 years industry experience, If it's your expertise … then Id say yes, keep it in-house. But if its not, Im much more a proponent of outsourcing."
Lange says that a high level of due diligence is necessary when considering any service provider. And while in-house ATS processes might be safe, they might not be as up-to-date as outsourced options.
Susan Taylor, vice president human resources, at Miami, Fla.-based Kos Pharmaceuticals, says Kos uses its own applicant tracking software through a fully integrated in-house HR system.
The advantage of having that kind of system is that you can also go into a quasi kind of outsourcing, which is what we call a ‘shared services model," she explains. Thats where we share the job functions between in-house and outsourced firms . . . and that is something that were actually looking at for the future to supplement our in-house recruiting staff."
Taylor looks at integrating outsourced services as a synergized process to leverage the resources that an outsourcing company can provide. As a result, Kos – a specialty pharmaceutical company engaged in developing, manufacturing and marketing proprietary prescription products for the treatment of chronic diseases – can focus its in-house resources on its core competencies and to drive its business goals.
Of course there are all kinds of confidentiality statements and disclaimers and things of this nature that go into the contracts that are involved with an applicant tracking system that is outsourced," she says. So it obviously makes sense to know your vendor and to make sure that its a vendor that you trust with that information and that is reliable in providing that resource."
On the other hand, Lange says that whether or not to outsource is not so much a question when it comes to using job boards. Rather than an either-or" question, he believes companies should post positions on both their corporate web sites (since people check specific companies for openings) and on job boards to access tens of thousands of additional candidates.
Taylor agrees and says Kos uses job boards as just one of the mechanisms to attract candidates. As a business seeking the best candidates, she says, Kos wants to reach the widest possible audience, and job boards play a key role.
To make sense, outsourced Internet-based HR recruiting functions have to meet certain criteria, Dr. Heasley says. Your company needs to have easy access to your information, you need to be confident that your information is secure, and that your provider is both reliable and credible," he notes. In making the decision of whether or not to outsource your ATS function, you need to consider both the risks and the costs. You need to ask: Do the benefits outweigh the risks to your organization's information?"
About MedZilla.com
Established in mid 1994, MedZilla is the original web site to serve career and hiring needs for professionals and employers in biotechnology, pharmaceuticals, medicine, science and healthcare. MedZilla databases contain about 10,000 open positions, 13,000 resumes from candidates actively seeking new positions and 50,000 archived resumes.
Medzilla® is a Registered Trademark owned by Medzilla Inc. Copyright ©2003, MedZilla, Inc. Permission is granted to reproduce and distribute this text in its entirety, and if electronically, with a link to the URL www.medzilla.com. For permission to quote from or reproduce any portion of this message, please contact Michele Groutage, Director of Marketing and Development, MedZilla, Inc. Email: mgroutage@medzilla.com.
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