Why Legacy RPO Models Are Failing Today’s Hiring Demands

Why Legacy RPO Models Are Failing Modern Hiring Needs

Everyone is talking about AI.
And in every conversation, one theme keeps coming up:

AI will automate repetitive recruiting tasks so humans can finally focus on strategic work.

And honestly? I agree.

So I decided to do some strategic work and turn the spotlight back onto our own industry — Recruitment Process Outsourcing (RPO).

I asked ChatGPT a simple question:

“What are RPOs getting wrong today?”

Then I compared the AI’s answers with what I’ve seen in the field and what we’re doing right at People Science.

The contrast was not surprising from where I sit.

Because let’s be candid: traditional RPOs earned their reputation.

  • One-size-fits-all processes
  • Slow adoption of new technology
  • Rigid delivery models
  • Long contracts with low flexibility
  • Trying to replace TA teams instead of supporting them

This is why so many companies question whether RPO is still the right solution.

In Part One of this series, we’re breaking down what AI — and reality — says most RPOs are getting wrong today.


Top 5 Things RPOs Get Wrong Today

When I asked ChatGPT, it originally gave me ten.
For the sake of time (and scrollability), here are the five that matter most.

1. Treating Recruiting as a Volume Game Instead of a Value Game

Big headcounts. Fancy tech stacks. Long contracts.

Clients often feel lost in the crowd.

Most RPOs still focus on activity-based metrics (submittals, time-to-fill) instead of business outcomes:

  • Quality of hire
  • Retention
  • Team performance
  • Long-term ROI

Volume is not value — but many RPOs haven’t made that shift.


2. Failing to Understand the Client’s Business Deeply

Too many RPOs show up to “take over” instead of integrating.
They skip the essentials:

  • Embedding in the culture
  • Learning business drivers
  • Understanding the success profile for each role

Good supplemental RPO works with TA teams,  not around them.
This is where many fall apart.


3. Using Outdated Delivery Models

Many RPOs promise customization, then deliver a plug-and-play playbook they’ve used for everyone else.

Not because it works.
Because it’s easy.

Recruiting today requires:

  • Agility
  • Specialization
  • Personalization
  • Faster pivots

Companies don’t need a conveyor-belt operation; they need a partner who adapts with them.


4. Underutilizing AI or Misusing It

RPOs tend to fall into two failing camps:

Camp 1: Not using AI at all

Still relying on:

  • Manual sourcing
  • Manual screening
  • Manual reporting

This is no longer competitive.

Camp 2: Using AI in the wrong places

For example:

  • Cheap resume matching instead of meaningful insights
  • Generic automated outreach
  • Ignoring compliance, bias, or data quality
  • Replacing judgment with automation

When misused, AI becomes a gimmick or cost-cutter instead of a strategic advantage.


5. Treating Talent Like Transactions

I used to say this all the time:
The client is our partner. The candidate is our “Boss.”

But many RPOs still deliver:

  • Slow response times
  • Generic outreach
  • Long, rigid processes
  • Minimal communication

This damages:

  • Employer brand
  • Funnel conversion
  • Candidate experience
  • Quality of hire

Recruiting is a human-centered function.
You can’t automate your way out of caring.


The Industry Wake-Up Call

Companies don’t want massive outsourcing structures.
They want:

? surge support
? niche expertise
? flexibility
? transparency
? a partner willing to roll up their sleeves

In other words: a partner, not a takeover artist.

The future of RPO isn’t ownership,  it’s partnership.
The winners won’t be the biggest.
They’ll be the ones who show up differently.

You don’t need to ask ChatGPT if your RPO is failing you.
You already know.

Don’t miss Part Two to learn what a modern Recruitment Process Partner (RPP) can do for your team, your hiring strategy, and your ROI.

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