GLOSSARY
RPO (Recruitment Process Outsourcing)
RPO is the complete or partial outsourcing of a company's recruitment process to a specialized provider. Used mainly by large companies to scale recruiting.
IN DEPTH
RPO (Recruitment Process Outsourcing) is a model where a company delegates all or part of its recruitment process to an external provider. Unlike traditional success-based recruiting, RPO involves a dedicated team (on-site or remote), often with performance KPIs, for 1-3 year duration. Typical scope: sourcing, screening, interviewing, coordination, reporting. Global RPO leaders: Cielo, Korn Ferry RPO, AMS, PeopleScout. Cost: 5-15% of recruited payroll, or per-placement fee. Used mainly by large companies (>1,000 employees) with high recruiting volume (>100 hires/year). More recent: Project RPO, one-off outsourcing for a specific recruitment project (product launch, site opening). AI-first platforms like Cobalt allow RPOs to operate with 40-60% fewer recruiters while maintaining quality.
Frequently asked questions
Recruitment agency is paid on success per position (15-25% of gross annual salary). RPO is a long engagement (1-3 years) with dedicated team and recurring pricing. RPO fits high volumes, agencies fit rare or urgent positions.
5-15% of recruited payroll, or €3,000-8,000/placement depending on complexity. Large RPO contracts (>1,000 hires/year) drop to €2,500-4,000/placement thanks to mutualization.
Related terms
- ATS (Applicant Tracking System)An ATS is a candidate management software that centralizes, sorts and advances candidates through a recruitment process, from application to hire.
- Talent PoolThe talent pool is the qualified talent database a staffing firm or agency has already identified and maintains relationship with. 80% of placements at top firms come from it.
- Time-to-fillTime-to-fill measures days between a position opening and a candidate's placement. Median 2026: 45 days for an IT consultant. Top 10% staffing firms: 18 days.
- Freelance ManagementFreelance management encompasses sourcing, contracting, onboarding and tracking practices for freelance consultants on short or long missions.
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