Finding and managing staff is a huge concern for Small to Medium-sized Enterprise (SME) businesses. Front-line employees are the face of your company, and you need people you can trust to manage and run your operations. However, managing the recruitment process can be a huge time drain for many SME businesses, and one that prevents them from focusing on growing their business.
Is it time to bring people in to manage recruitment on your behalf? Here are three reasons why you should consider outsourcing this important aspect of your business.
1. You can’t do everything
In the early stages of many SME businesses, the founder/business owner is at the heart of every decision. This is easy to achieve when a company is small but becomes increasingly difficult as it grows. Companies begin to suffer “founder dependence” when SMEs are unable to let go of or delegate certain parts of the business. This can have adverse effects on the company (as decisions become bottlenecked), but also on owners, who may be stretching themselves too thin.
Smart business owners look for people who can free up their time so they can focus on where they can make the biggest impact. For example, work with partners who can take recruitment off your plate so you don’t have to be involved day-to-day. Attracting, screening and qualifying job seekers probably isn’t your specialty, so let the experts handle it.
2. Your time spent on recruitment is money lost from the business
Recruiting for your SME business is often time-consuming, stressful, and expensive. Hiring a new employee can cost 1.5-3x the salary of the position—and that’s only considering direct costs such as taxes, benefits, equipment, and training. This figure doesn’t account for the opportunity costs that occur when a SMEs devotes their precious time and energy to managing HR and recruitment processes.
Often, SMEs may think that they’re keeping costs low by handling recruitment themselves. However, how much is your time worth? Break down your salary hourly and compare that to how many hours a month you spend recruiting. What improvements to the business are you not making because you’re so caught up in the whirlwind of hiring? The time you’re spending may, in fact, be costing your business more than the cost of working with an external partner.
3. External partners can bring efficiency and expertise to your recruitment processes
Some things run more smoothly at scale. In a recent report, small organizations (defined as having less than 250 employees) were shown to be at a disadvantage when hiring. Smaller organizations tended to interview more people but make fewer offers, meaning valuable time was spent on interviewing people who would not ultimately make the cut. It also took smaller businesses longer to fill their open positions.
Working with a recruitment partner like Mindfield can help you offset these recruitment challenges. With our scalable model and extensive database of qualified candidates, you can have all the benefits of a large-scale recruiting operation and the industry expertise and strategies, even when your business is still in growth mode.
Ready to have someone take recruiting off your plate? Learn more about how our solutions can help free up your time to grow your business.
Mindfield is a Recruitment Outsourcing solutions provider that partners with companies to create powerful hourly workforces. Our solutions combine a recruitment team, simple to use technology and a data-driven hiring strategy that promises to improve the quality of your hourly workforce. This approach focuses on tying business outcomes such as sales performance, tenure, and engagement to the selection, hiring and measurement of quality candidates.