Latin America, with over 600 million people, offers a vast and diverse talent pool. Countries like Mexico and Brazil, have large and skilled workforces while others may lack certain skill sets. Therefore, businesses must analyze local talent markets to identify regions that provide the necessary skills and experience.
Meike Niessen – Account Director
A 2023 Deloitte report highlights that strategic sourcing is becoming increasingly important in Latin America due to the region’s growing economies and increased competition. To remain competitive, companies must improve their talent procurement processes. Building a sustainable candidate pipeline for volume-based roles and recurring hires is critical to these efforts.
In this article, we will try to answer one critical question:
To attract and retain top talent, firms must embrace strategic sourcing. They cannot afford to underestimate the essential role of a sourcer – it’s not just an entry-level position anymore. Employers need to move beyond simply filling vacancies. Instead, they should position themselves as an employer of choice by harnessing the skills and expertise of experienced sourcers.
Effective talent acquisition strategies include partnering with local staffing agencies, investing in employer branding, and leveraging digital technologies. Social media and online platforms are vital for attracting talent, as are relationships with universities and schools.
Strategic talent sourcing in Latin America allows businesses to tap into the region’s diverse talent pool. By sourcing talent from different countries and backgrounds, companies can create a multicultural workforce that combines various skills, perspectives, ideas, and approaches. To succeed in the LATAM market you need a structured approach to identifying, attracting, and engaging talent.
Let’s explore the benefits of strategic sourcing in Latin America, and how an experienced Recruitment Process Outsourcing (RPO) provider can support you.
In-country targeted sourcing campaigns can be an effective way to find high-quality permanent workers in Latin America. These campaigns involve partnering with local recruiting agencies or using branding and streamlined employer value props on social media and job boards to target specific regions or niche talent.
A specialised sourcing function adds value to every step in the candidate journey. For best results, this strategic element must not be siloed but integrated into your total talent acquisition strategy. Having an end-to-end recruiter who understands the hiring manager’s experience and provides white-glove service is key.
Moreover, coordinating with key stakeholders with different skill sets helps identify the right talent based on specific needs and criteria. An experienced partner can help amplify your talent goals by targeting a particularly skilled population – all that while combining your employer value prop with best-in-class recruiting.
One of the primary benefits of sourcing full-time talent in Latin America is the lower labour costs compared to other regions. Salaries and living costs make Latin America an attractive option for businesses looking to reduce operational costs for both on-site and remote work.
However, while some LATAM countries, such as Peru and Colombia, have relatively low labour costs, others, such as Chile and Argentina, may be more expensive. Companies need to weigh the cost of labour against the benefits of sourcing permanent workers in a particular location to ensure they make the most cost-effective decision.
Strategic sourcing can also help organisations meet government requirements for diversity and inclusion. By identifying and targeting underrepresented groups, companies can ensure they create a more inclusive workforce.
However, it’s important to remember that laws and regulations in Latin America vary depending on the country. To remain fully compliant, companies need to understand these nuances. Strategic talent sourcing in LATAM involves working with talent partners who are up to date with local regulatory environments.
This brings us to the next topic:
Pontoon delivers Recruitment Process Outsourcing solutions across Argentina, Brazil, Chile, and Mexico, piloting engagement for change management in the region. We leverage grassroots campaigns and marketing materials, implementing recruitment processes tailored to each client’s brand.
Through targeted sourcing, we help clients deliver on their DEI & ESG commitments. The goal is to empower industry leaders to tap into highly skilled individuals with unique perspectives and experiences that may have been previously overlooked.
For example, when a Brazilian IT company wanted to enhance female candidate diversity in the technology sector, we created a multi-channel marketing campaign. We attracted untapped talent through social campaigns featuring female influencers, local non-profit collaborations, and innovative media strategies. With a focus on relationship management and skill-building, we sourced 200 female-identifying IT professionals in only four months, significantly increasing gender diversity for our client.
Ready to tap into Latin America’s diverse talent pool? Don’t underestimate the vital role of a sourcer. Let’s discuss how our candidate sourcing strategies can help you hire the best permanent workers for your organisation, in LATAM and beyond.
