Five reasons to use an in-house recruitment team over an agency

May 7, 2024

In today’s dynamic job market, finding the right talent is crucial for the success of any business. When it comes to hiring new employees, companies often face the decision between using an external recruitment agency or an in-house talent acquisition team.

While both options have their advantages, there are many reasons why in-house recruitment can be the better choice. Here are five reasons why you might want to consider steering clear of recruitment agencies and utilise an in-house team instead.

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1. Better understanding of company culture

In-house recruiters have a front-row seat to the company culture, values, and goals. This knowledge allows them to identify candidates who not only have the required skills but also align with the organisation’s ethos.

By understanding the nuances of the workplace setting, in-house recruiters can ensure that new hires seamlessly integrate into the team, fostering a positive and productive work environment.

2. Cost efficiency

While external recruitment agencies provide a valuable service, their fees can add up quickly. In-house recruitment can significantly reduce hiring costs by eliminating the need to pay hefty agency fees.

In the majority of cases, agency placement fees are calculated as a percentage of not only the candidate’s base salary but any benefits (such as car allowance or bonuses) that come with the role, too. Hence organisations can easily be stung by a large invoice, especially those that need to fill more senior or C-Suite level vacancies.

3. Enhanced candidate experience

The recruitment experience plays a significant role in shaping candidates’ initial perceptions of a company. In-house recruiters have the advantage of providing a personalised and tailored experience throughout the hiring process.

From the first point of contact to the final interview, in-house teams can offer insights into the company culture, provide transparent communication, and address candidates’ concerns promptly – leaving a positive impression. This, in turn, can contribute to a candidate’s final decision if faced with multiple job offers. After all, research shows that a positive experience makes a candidate 38% more likely to accept a job offer from a company.

4. Greater control of the process

In-house recruitment puts the control firmly in the hands of the hiring organisation. Companies have the flexibility to adapt their recruitment strategies based on evolving needs and changing market dynamics. Whether it’s refining job descriptions or adjusting screening criteria, in-house recruiters can pivot quickly to meet differing demands, ensuring a strong talent pipeline remains.

Some companies work with outsourced providers for HR tasks including recruitment, where they act just as an in-house talent acquisition team would. In these cases, good providers utilise Applicant Tracking Systems (ATS) to ensure the hiring organisation continues to have a transparent view of all candidates and retains full control of the recruitment process throughout.

5. Shorter time-to-hire

In-house recruiters are solely dedicated to the hiring needs of their organisation, allowing for a faster turnaround time in filling vacancies. Without the need to coordinate with external agencies and face potential delays (while they’re busy juggling many other clients), in-house teams can accelerate the hiring process, ensuring that critical roles are filled promptly.

This is particularly beneficial in competitive industries where talent acquisition is time-sensitive. In addition, a reduced time-to-hire can lead to higher acceptance rates, along with enabling the organisation to see the return on investment and value from the new starter, quicker.

In-house recruitment vs. recruitment agency?

While external recruitment agencies undoubtedly offer valuable services, in-house recruitment teams provide unique advantages that cater specifically to the needs and priorities of the hiring organisation.

With a deeper understanding of company culture and optimising cost and efficiency, companies can build high-performing teams that drive sustainable growth and success.

 

If you’d like to learn about our recruitment specialists and how they become an extension of your team to provide the benefits of an in-house recruitment department, get in touch today.

 

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