Every growing company comes to a point when it needs to fill multiple positions at once or urgently fill a certain position. To make that happen, someone needs to write job descriptions, source candidates, arrange interviews and prepare offers. Companies that don’t have a recruitment team set in place are often faced with a difficult question – should they outsource their recruitment efforts or grow their in-house recruitment team?

There is no definitive answer to which option is better – agency recruitment vs. in-house recruitment. The final decision depends on current company needs as well as plans for the future.

In this article, we explore the difference between in-house recruitment vs. agency recruitment to help your company decide which option is best.

Agency Recruitment vs. In-House Recruitment: What’s the Difference?

Agency recruiters work in an agency (obviously) dedicated to sourcing and hiring candidates for multiple clients, often on a very diverse portfolio of roles and drastically different markets.

On the other hand, in-house recruiters work for one company and their main task is to source and hire candidates for multiple roles within their companies, focusing on their company’s growth and culture.

Teaming up with a recruitment agency does not mean that in-house recruiters are not delivering enough value. Quite the opposite; in-house recruiters are an invaluable part of the hiring process, as they are more aware of the company culture and requirements than agency recruiters, despite their experience.

Companies often hire agency recruiters as consultants or additional support for their in-house recruiters who are overwhelmed with their current tasks. With the help of a recruitment agency, in-house recruiters can focus on the selection process instead of sourcing candidates.

Now, let’s explore the differences between agency recruiters and in-house recruiters, as well as how they can contribute to your company.

Speed vs. Precision

The greatest benefit of teaming up with agency recruiters is that they move fast. They are quite likely to already have a database of candidates ready to be contacted. Also, they will probably present their client with a few candidates as soon as they sign a contract.

In-house recruiters, on the other hand, tend to be more meticulous as they are more focused on the people aspect of recruitment. In-house recruiters have a better understanding of company culture and what it takes for a candidate to be successful in their company. With the quality of hires foremost in their mind, they can take longer to find suitable candidates but their retention stats tend to be better.

Technical Understanding vs. Organizational Understanding

Recruitment agencies tend to specialize in certain industries or roles. This makes agency recruiters more likely to identify candidates with the right skills and backgrounds faster. Working with the right recruiting agency can be especially beneficial when hiring for technical roles and difficult-to-fill positions where qualified candidates are lacking.

In-house recruiters tend to be generalists, as they do hiring for a variety of roles across the different departments in a company. However, what makes them stand out is organizational understanding. In-house recruiters have deep knowledge of company values in every employment, making them a better choice for companies that have long-term growth plans.

Compensation

Sometimes, the decision between agency recruitment vs. in-house recruitment comes down to what the company can afford. A recruiting agency is almost always less costly, as they can be hired on an as-needed basis. Pricing schemes may differ from agency to agency, but mostly they charge a percentage of the newly hired employee’s salary. Also, recruiting agencies charge only when the hiring takes place.

In-house recruiters become full-time employees, meaning a company has to pay them a salary and ensure all the benefits such as vacation time, bonuses, and so on. They are a better choice for companies that plan to hire frequently and regularly.

When to Hire an Agency Recruiter?

• You need to fill a position quickly and don’t have time to source, screen, and interview multiple candidates.
• Your company is hiring for a technical or difficult-to-fill position and needs a recruiter with a deep understanding of the role.
• Your company hasn’t yet defined its culture and is only concerned with skills and experience when hiring.
• You can’t afford or don’t need a full-time in-house recruiter.
  
  

When to Hire an In-House Recruiter?

• Your company has a clear culture and wants to hire employees who fit in with the wider staff.
• Your company has long-term hiring plans and needs an internal recruiter to lead the effort.
• Your company wants a recruiter who will work closely with hiring managers to identify the right candidates.
• Your company has a definite need and budget for an in-house recruiter.

Teaming up with a recruitment agency or hiring an in-house recruiter is an easy choice, as long as the company is aware of its needs.

Are you struggling with a position that’s difficult to fill? Do you need to scale your team all of a sudden? Or, maybe you’re looking to build a satellite team?

Popcorn Recruiters are there to help!

How Can Popcorn Recruiters Help You?

Do you need to grow your team? But, your in-house recruiters are already overwhelmed with current positions? Or, you’re looking to explore new markets and set up offices in new locations? We’ve got you covered!

As a recruitment agency, we’re always ready to step in and help out with your recruiting tasks while your recruiters take the time to focus on projects that are already in progress.

Popcorn Recruiters are always ready to answer any of your questions and help you find the ideal candidate for your company.

From market analysis to reducing your time to hire, we’re here to support your hiring process. Get in touch with our team!