How to Evaluate the Staffing Company before Hiring the Best?

By Published June 30, 2017

Business is largely a numbers game, regardless of what industry you are in. Numbers are everywhere, from improving process operations to tracking success and failures and analyzing the data. With all these numbers running around, it would be unwise to think that staffing companies are no less than a numbers game.

Today, increasing number of organizations are utilizing quality staffing agencies to implement a flexible workforce to improve business and operation agility.


According to CareerBuilder Survey, “51% of employers are planning to hire contract or temporary workers in 2017.”

All types of staffing requirements are taken care by such agencies even some organization outsource entire workforce including payroll services. Let’s take a look at primary types of positions that staffing companies help businesses fill:

1. Direct Hire – In this case, staffing agency merely acts as a recruiter. Direct hire is a permanent position in which candidate is hired on the company payroll and receive all the benefits as other employees.

2. Temporary Hire – It is also known as contract hire. Here candidate is hired for temporary projects and has pre-defined employment start and end date determined by the client of the staffing firm. Such employees remain on the payroll of staffing company and receive benefits for the duration of their contract.

3. Temp-to-Hire Clients of staffing firm contract employee and when the contract tenure ends client have an option to hire a person as a permanent employee on their payroll.

It is an excellent idea to outsource your workforce requirements right from sourcing to recruiting to payroll to exit formalities. There is a wide array of services offered by staffing firms nowadays. To get most out of your HR outsourcing, it is important first to outline your staffing needs.

Define your staffing requirements

Does your business looking for a full-time employee or just need short term help? Do you prefer any particular personality traits that work best in your company culture? Do you have a special project lined up that needs to be staffed temporary with highly skilled workers?

Besides these handful questions, organizations must brainstorm on their other staffing needs. Once they have a clear picture of their requirements better, they will be in hiring the right staffing firm.

Ask these six questions to evaluate prospective staffing companies

1. What services do they offer?

It is important to understand that prospective staffing firm’s services will meet your requirements. Apart from types of positions what others services they offer to their clients. Learning more about their services will help to decide better.

2. Do they specialize in any particular industry?

It is always a smart idea to work with specialized staffing firms when you have a more specific position to fill. This is also known as “niche staffing.” For instance, if you are actively seeking Data Scientist within your organization, it is best to work with a staffing firm that specializes in data science profiles. Such companies can provide you better quality as opposed to general staffing firms.

3. What is the attrition rate of agency’s recruiting staff?

It is a good question to assess the staffing firm’s performance of delivering quality candidates and long-term partnership with them. The recruiter who is working with an agency for long will certainly have more knowledge about the industry and vast pool of candidates. Such recruiters can quickly send you required talent even on short notice.

4. What is the qualification of their recruitment team?

It is always an excellent idea to perform due diligence with the staffing firm that asserts to have expertise in a given industry. To provide quality candidates to their clients, staffing firms must have relevant qualified backgrounds. It is imperative for them to stay up to date on changing trends and have substantial experience in the field for which you are hiring.

5. What screening methods do they use to qualify the candidates?

Quality is the top of all things you expect from hired staffing firm, right? Therefore, it is significant to learn about their recruitment and screening methods. Also, are they flexible in customizing these processes to your requirements? What kind of reference and background checks they use?

Ask them to review the results of candidate screening and selection tests to identify better whether the candidate is the best fit or not.

6. Is prospective staffing agency transparent about their fees?

Every service in every industry has standard pricing model, and same stays true for staffing solutions. Thus, any lowest priced staffing firm is not essentially the best option. It is important for businesses to make a value-based decision rather a cost-oriented venture.

Acquiring right candidate the first time always deliver the best Return on Investment rather employing low-cost staffing firm where contracted employees are getting replaced often.


To create a successful partnership with staffing firm organization must define their hiring requirements precisely. Also, provide greater access to partnered agency enabling them to understand your hiring needs and company culture. To create a win-win situation, it is important to value each of the parties involved in HR outsourcing – the client, the candidate and the staffing company.

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