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Amy Giessinger

Insourcing vs. Outsourcing | Choosing the Best Recruitment Strategy for Your Business

Updated: Jun 14, 2022


Weighing the Pros and Cons of Both Hiring Avenues for Your Business

Determining your hiring approach is a complex, multi-faceted decision for many businesses. Balancing the daily tasks involved in the recruiting and onboarding process on top of other human resources responsibilities can be difficult. Depending on the hiring needs of your business, it may be time to consider outsourcing your recruiting efforts. However, there are benefits and drawbacks to both processes; so how can you determine the best strategy for your company? Consider these key aspects of each process to determine which is the right fit for your workforce needs.


Insourcing

FULL CONTROL

  • You and your HR Team will have full control of the hiring process, allowing you to thoroughly ensure the process and candidates meet your company standards.

  • Your team will be able to conduct candidate assessments and evaluations at the level of your choosing before making a hiring decision.

  • With your proximity to the business and direct understanding of the company’s hiring goals, you can forecast and determine needs more quickly.

BUILD COMPANY CULTURE

  • Direct handling of the recruitment process allows you to share and promote your company culture with candidates at any stage of the hiring process.

  • You and your HR Team have a thorough understanding of your company’s culture, allowing you to quickly determine the best fit candidate with your existing team dynamics.

  • The hands-on approach of your HR Team can strengthen the connection between them and you.

INCREASED COSTS

  • Because of the direct control of your team, you many need to consider hiring additional HR members to assist with the workload of recruiting, sourcing, paperwork, interviews, etc. while also managing the other day-to-day HR tasks for the company.

  • Insourcing means candidates will directly roll to your payroll and create less flexibility with your company’s personnel assets and their financial impact.


Outsourcing

INDUSTRY EXPERTISE

  • Agencies, such as Doherty, have a talent network of candidates available to be called upon when opportunities fitting their skills are available. This network allows your positions to be filled effectively and efficiently.

  • Employment agencies often specialize in specific areas of business or industries such as light industrial, technology, skilled trades, and more. Their direct understanding of your business process and goals allows them to determine the best candidates for your needs.

  • An external agency brings knowledge and outside networks to your company that may not otherwise be available to you. These networks are especially beneficial for filling roles in highly specialize fields.

RESOURCES

  • Tools, technology, and partnerships that may not be available or financially feasible for a single business are more accessible through an employment agency.

  • Your partnership with an employment agency could introduce you to new platforms or methods of attracting candidates that you many not have reached otherwise.

SCALABILITY

  • Hiring through an employment agency allows your company to maintain flexibility with your payroll and cut back on internal labor expenses while still finding the right candidates for your positions.

  • Employment agencies are readily available to assist your company and adjust your HR strategies when you need to scale back or quickly ramp up your workforce.



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