Disadvantages of an Internal Agency

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NASES Agency Working Party
Conference Workshop
8th & 9TH July 2014
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Introductions
How is the Student Employment Sector Growing
Getting Started - things to think about
Case study – University of Derby
Ask the Expert....
How the sector is changing
Mode of operation
Job centre style only
Job centre style and internal agency
Job centre style, internal agency and external agency
Internal agency only
Job centre style and external agency
External agency only
Internal agency and external agency
Number of job shops
37
15
7
5
3
3
2
Advantages of an Internal Agency
• Ability to support emergency cover
• Builds greater relationships with students & internal departments
• Pool of skilled student labour to tap into
• Can monitor students working more effectively
• Will enhance university PR and support the University being the
destination of choice for applicants
• Can measure success effectively and produce effective MI
• Students working on campus are higher alumni donators
• Reduces the time to hire window, as can bi-pass lengthy HR process’s
Advantages of a Commercial Agency style service
• Income generation geared towards covering operational costs and profit
• Allows for growth and planning
• Potential to develop service
• Can be competitive with high street agencies
Disadvantages of an Internal Agency
• Influencing institution to convert to in-house service
• Convincing Departments to use service if there is no formal policy in
place
• Convincing departments to pay for an internal service
• May increases admin procedures / systems
• More resource required for a recruitment service
• Threat of external agencies
Disadvantages of a Commercial Agency style service
• University may not be geared to commercial market / services
• Students commitments will restrict your market
• Service may need competitive resources
• Financial liabilities – credit control and management
• Management of recruitment agency legislation
• Needs to be competitive and have a strong brand and USP’s
How is the Student Employment Sector Growing?
impact – examples of what services are achieving
• £ million pound wage mark hit earlier in the term
each year
• Increase in numbers of students working
• Greater number of Students engaged into casual work
year on year
Getting Started – Things to think about
Ensure a Successful start
Form a Steering group of Key
Stakeholders in your
University that are able to
make decisions.
Chair
Person
Legal
HR Director
Finance
Assistant
Director
Agency
IT
Operational
Manager
Careers
Procurement
Location
• High student footfall is useful…not essential
• Virtual Presence essential
Staffing
• Depends on budgets and operation style
• Are you front facing or on-line service?
• Business development role generating business and
Admin/filler role matching vacancies and doing back
office roles
• Student staff ideal solution as business develops
Recruitment software
A range of options exist depending on requirements &
budget:
In-House Solution
Thinking about Finance
Financial Planning / Budgets
• Useful to have finance person onboard
• Straight re-charge?
• Admin fee on top of hourly rate?
Wage rates
• Needs discussion with your HR department and
Union reps
Pricing Policy - Rate calculator Average rates
Pay rate + overheads + admin charge = charge rate
Holiday pay
• Time sheets
• Manual v on-line
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Payroll invoicing
Think about Cash flow
Payment Terms and Credit Control
Payroll - who will do this
• Ideally an internal solution linked to Recruitment
Software
• Needs to be an on-line system for large payrolls
• On-line mechanism saving time and staff time
• Weekly/Monthly
• External solutions available
How will you operate?
Registering students
• On-line
• Per vacancy or bank applications
• As an employer you must check all students’ eligibility
to work and retain copied documentation
• You need to recheck eligibility on an annual basis,
coming soon the need to check term dates for
students
Getting started – the basics
Registering clients/vacancies
• When accepting new clients general paper work
should be completed
• Depending on your insurance /university
requirements certain checks should be made
Employability Links
• Work with Careers/Employability to impact student
employability
• Internal clients – guidance on good recruitment
practice, giving references etc
• Recruitment basics inc interviewing/short listing
guides
Case Study 2 University of Derby
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Brief history of the Student Employment Agency
(SEA)
Rationale behind developing the external market
for the SEA
Vision: To be the first choice agency for
employers seeking student employment
Understanding the Market Place
• Competitor analysis – benchmarking
• Knowing who your competitors are
• External Influences – PEST analysis
Political Factors
Economic Factors
Social-Cultural Factors
Technological Factors
SWOT
Strengths:
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Wide pool of skilled students
Small, flexible and agile
Prominent location on campus
Very short to long-term employment
SWOT
Weaknesses:
• Overly dependent on internal client base
• Location for external business
• Brand awareness externally
SWOT
Opportunities:
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Strengthen relations through networking
External Marketing campaigns
Projected growth as economy recovers
Joined up working
SWOT
Threats:
• High street competition
• Employment legislation
• Un-realistic targets
Operations Management
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Use and recording of data
Location
Efficiencies
Capacity and demand
Structure
Ask the expert
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