Introduction

Unilever, one of the world’s largest consumer goods companies with over 400 brands, transformed its recruitment process through strategic outsourcing, achieving significant cost savings while improving candidate quality and diversity.

Challenge

By 2018, Unilever was facing several critical recruitment challenges:

  • Inconsistent hiring practices across 190+ countries
  • Average time-to-hire of 92 days for mid-level positions
  • Recruitment costs averaging €18,000 per hire
  • Limited candidate diversity (especially in technology roles)
  • Poor candidate experience driving away top talent
  • Inefficient recruiter-to-hire ratio of 1:22

Strategy Adopted

Unilever implemented a comprehensive Recruitment Process Outsourcing (RPO) strategy:

  • Global partnership with Randstad Sourceright as primary RPO provider
  • Regional specialist partnerships with Alexander Mann Solutions (APAC) and Cielo (Americas)
  • Creation of four global talent acquisition hubs (London, Rotterdam, Singapore, Sao Paulo)
  • AI-powered candidate screening and digital interviewing platform
  • Gamified assessment processes for entry-level positions
  • Centralised applicant tracking system integrated with workday HRIS
  • Talent pool development and candidate relationship management

Implementation Process

  • Discovery and assessment phase: 3 months
  • RPO provider selection and contract negotiation: 4 months
  • Technology implementation and integration: 5 months
  • Pilot program in UK, Netherlands, and Singapore: 3 months
  • Global rollout in four waves: 14 months
  • Continuous optimisation and refinement: Ongoing
  • Total implementation time: 29 months (2018-2020)

Results Achieved

  • Reduced time-to-hire from 92 to 36 days (61% improvement)
  • Decreased cost-per-hire by 52% to approximately €8,700
  • Improved candidate NPS score from +12 to +45
  • Increased diversity hiring by 37% across senior roles
  • Reduced recruiter-to-hire ratio to 1:48
  • 94% hiring manager satisfaction rate
  • Annual recruitment cost savings of €32 million
  • 87% reduction in recruitment agencies used (from 250+ to 32)

Lessons Learnt

  1. Cultural alignment is critical: Unilever invested significant time ensuring RPO partners understood their employer value proposition and corporate values.
  2. Technology integration requires careful planning: Initial compatibility issues between systems caused delays that could have been prevented.
  3. Change management cannot be underestimated: Resistance from hiring managers required additional training and communication.
  4. Data governance needs clear ownership: Establishing global data standards early prevented later compliance issues.
  5. Regional customisation balances global consistency: Allowing for cultural adaptations while maintaining core processes proved essential.