How to Reduce IT Hiring Costs by 40% with Recruitment Process Outsourcing (RPO)
π₯ Who this guide is for: Business owners, HR managers, IT directors, and startup founders looking to hire IT talent efficiently.
π In this guide: What is RPO? | Two simple pricing models | Direct Hire (12% of CTC) | Contract Deployment (monthly billing) | Real example | FAQ
Hiring IT talent in India is expensive. Between recruiter fees, job board costs, and screening time, costs add up quickly.
Recruitment Process Outsourcing (RPO) is a simple concept: You tell us what you need. We find, screen, and shortlist candidates. You interview and say "yes" or "no". You pay only when you hire.
π The Numbers
Two Simple Engagement Models
Model 1: Direct Hire
What happens: Candidate joins directly on your payroll. You manage employment, compliance, and benefits.
We do: Sourcing, screening, initial interviews.
You do: Final interview, offer, payroll, daily management.
Payment: 12% of candidate's annual CTC (one-time). Invoice raised upon joining. Payment due within 30 days.
Replacement: One free replacement within 90 days if candidate leaves.
Best for: Full-time, long-term roles.
Model 2: Contract Deployment
What happens: Engineer remains on our payroll. We handle compliance, PF, ESI, TDS, and notice period.
We do: Sourcing, screening, BGV, compliance, payroll, notice period management.
You do: Provide laptop/tools, manage daily delivery.
Payment: Monthly billing based on mutually agreed rate (based on candidate's expected monthly salary + our margin). Invoice raised at end of billing cycle. Payment due within 7 days.
Replacement: One free replacement within 90 days if engineer leaves.
Best for: Project-based, temporary, or seasonal needs.
π‘ How pricing works in Model 2 (Contract Deployment): You tell us your monthly budget for the role (e.g., βΉ80,000 per month). We find a candidate within that budget. You pay that amount monthly + our margin (built into the rate). No hidden costs. Transparent.
Real Example: How a Pune Startup Used RPO to Hire 4 Engineers in 3 Months
Client: Pune-based SaaS Startup (20 employees, growing to 30)
Challenge: Needed 4 engineers (2 ServiceNow, 2 Azure) in 3 months. No internal HR team. Founders were spending 10+ hours/week screening resumes.
Solution: RPO engagement β Direct Hire model (12% of CTC per hire).
Process:
- Week 1: Understood requirements, shared 8-10 pre-screened profiles per role
- Week 2-3: Founders interviewed shortlisted candidates
- Week 4: Offers rolled out to 3 candidates
- Month 2-3: Remaining positions filled
Result:
- 4 engineers hired in 2.5 months
- Founders saved 100+ hours of screening time
- Total RPO fee: 12% of total CTC (approx βΉ4.8 lakhs for all 4 hires)
- All 4 candidates completed 6 months (no replacement needed)
Which Model Should You Choose?
Technologies We Cover
Why Choose Anvigya Digital Services for RPO?
Frequently Asked Questions
β When is the placement fee due? (Direct Hire)
Invoice raised upon candidate joining. Payment due within 30 days.
β What if the candidate leaves within 3 months?
One free replacement provided within 90 days for both Direct Hire and Contract Deployment.
β What is the billing cycle for Contract Deployment?
Monthly billing. Invoice raised at end of billing cycle. Payment due within 7 days.
β What is the typical monthly rate for Contract Deployment?
You tell us your monthly budget for the role. We find candidates within that budget. Example: Budget βΉ80,000/month β we find an engineer at that rate. No hidden margins β fully transparent.
β Do you provide contract-to-hire?
Yes. Start with Contract Deployment, convert to Direct Hire anytime.
β Do you sell software licenses?
No. You purchase licenses directly from ServiceNow, BMC, Atlassian, or Microsoft. We only provide staffing/RPO services.
β What is your replacement policy if the candidate is not a good fit?
If a candidate leaves or is terminated (not performance-related) within 90 days, we provide one free replacement.
β Important disclaimer: We are an independent RPO and staffing service provider. We are not affiliated with, endorsed by, or partnered with ServiceNow, BMC, Atlassian, or Microsoft unless explicitly stated in a separate agreement.
Ankush Vig
Founder, Anvigya Digital Services. 18+ years of enterprise IT leadership across ServiceNow, BMC, and cloud platforms. MSME and GeM registered.
Ready to Reduce Your IT Hiring Costs?
Direct Hire (12% of CTC) or Contract Deployment (monthly billing). Pay after joining. One free replacement within 90 days.
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