Introduction

Recruitment Process Outsourcing (RPO) is one of the fastest growing Single Process HRO markets with a growth rate of over 25% to reach US$1.4 billion in annualized spend. The accelerated adoption is not only restricted to the traditional western markets, but is fast expanding into the emerging markets as well. On the flip side, however, there are some key challenges that the industry needs to address to sustain the growth momentum. Buyers increasingly look to achieve business impact beyond cost savings and efficiency gains. On the service provider side, the competitive environment remains intense. The providers' ability to meet buyers' current and future needs and building long-term relationships with them will determine their true success in the long run.

In this research study, we analyze the RPO market across various dimensions:

• Market overview and key business drivers
• Buyer adoption trends
• Solution and  transaction trends
• Service provider landscape
• Outlook for 2012 

Scope of analysis

• RPO deals in which a minimum of four or more recruitment processes are included
• The RPO deal is active and is at least one year in contract length
• Service providers that offer RPO as a stand-alone outsourcing service
• The deal scope should not be limited to temporary hires only
• All geographies and industries

Content

This research report provides a comprehensive coverage of the 2011 RPO market and analyzes it across various dimensions such as market overview and key business drivers, buyer adoption trends, solution and transaction trends, and service provider landscape. Additionally, it includes predictions for market size, buyer adoption, solution and transaction trends and service provider landscape for the 2012 RPO market. Some of the findings in this report, among others, are:

• Beyond cost savings and efficiency, buyers increasingly aim for business impact through RPO. The current economic and business environment is also aiding the growth
• The high interest around multi-country RPO is finally translating into actual adoption. Significant traction witnessed for global RPO
• Stabilization of deal size and length witnessed in 2011, after successive decline in the last two years
• The competitive environment remains intense with several providers competing fiercely to gain market share
• Limited providers, however, have meaningful experience in the specialized and complex areas, such as multi-country RPO and blended RPO