Hiring the Wrong People is So expensive
An Oil & Gas firm gets over 500 resumes in a month, for various vacant positions. Their HR team will most likely make interview decisions based on a cursory view of the CV headline and the company stands to lose out on good hires in this process.
Also the CVs are randomly stored in a file on some server, or worse deleted, without being properly classified for your future reference.
Obviously this is not a great hiring strategy, especially at a time when firms are shelling out more than $3,500/year for every new hire; making the cost of hiring the wrong person higher than ever. But what could a company do with the sheer volumes of CVs they receive on various job posting, and limited capabilities of their HR team?
What if a computer system not only did the ‘resume scanning’, but also put up the job postings and archived other CVs? Rejoice – this imaginary concept exists in real life; for such is the sheer processing capability of an Applicant Tracking Software.
Whether your firm is big or small, it would do a world of good to have an ATS to manage the hiring process. A global 2015 survey, conducted by Linkedin Talent Solution, reported that talent specialists saw a 27% success rate in sourcing high quality white collar professionals through ATS. Also, reports estimate that more than 60% of all companies have some type of ATS.
Thus, the need for this HR tool is only set to peak in near future, especially with the prophesied workforce crisis of 2030, and a growing awareness about the tool.
So, what exactly is Applicant Tracking Software?
In the US and globally, leaders in the recruitment space believe that sourcing skilled talent is essential for any business to be successful. If you are looking for a software platform that allows your organization’s HR team to manage recruitment, most efficiently; then look no further than an Applicant Tracking System.
With this HR management tool, you can:
- Publish job vacancies on your company’s website
- Collect and manage applications for jobs vacancies
- Search for resumes on the basis of keywords
- Enable hiring managers to identify qualified candidates
Is it for Large Businesses or Small Ones?
If you are part of a large corporation, an ATS is critical in maintaining the quality of hires, as you have multiple job vacancies and thousands of resumes to sieve through. Most HR professionals seem to agree with this sentiment, as a study revealed that 75 per cent of big companies use an ATS before a resume gets in the hands of a recruiter.
ATS also resonates well with the need for your businesses to have error-free and processes-oriented HR systems.
On the other hand, if you are a small and medium business (SME) owner, the need to invest in an ATS could be lower, owing to the belief that you can manage without it. However, the same problem applies here; of managing a large resume database and sorting through innumerable job applications.
A well-designed ATS can seem ‘god-sent’ and bring about the much-required streamlining of your company’s recruitment process. At the same time, it helps you save a huge amount of time and effort spent on administrative work.
How do I Benefit from a recruiting software?
Though the main aim of ATS is to allow for recruitment database management, it is not limited to this function. ATS also provides your business with the potential to automate the recruitment process by using a defined workflow.
An automated recruiting software can be customized to suit the needs of your organisation. Some of the defined benefits of applicant tracking system are:
Streamline Applicant Sourcing, Filtering and Tracking: Now you can streamline each stage of your hiring process and reach out to the right candidates. It also allows your hiring managers to accept, review, and manage a high volume of resumes and job postings; by automating the recruitment process.
Link to Social Media get access Larger Applicant Pool: Know who is looking for jobs and build a wide talent pool by using ATS to integrate the career portal of your organization with social community portals.
Job Postings for both Internal and External Candidates: You can make publishing job vacancies for internal and external candidates snappy with ATS. In addition, you can publish job listings on various career portals, social media sites, third party job boards, and staffing partners to collect more resumes in a short time-period.
Better Candidate Management: You can reduce candidate management effort, by using ATS to search for the ideal interviewees on the basis of keywords. Some ATS systems are configurable to your hiring needs; you can design it to include or exclude resumes on the basis of factors such as their last updated date.
Recruitment Analysis: You can now gather recruitment metrics and analyse which source is bringing maximum returns on your recruitment efforts with ATS.
Also, the system allows you to measure factors such as – cost-per hire, time-to-fill, retention, turnover, and performance. Such thorough analysis of recruitment metrics allows you to improve your future recruitment campaigns.
Is Applicant Tracking Software Affordable?
Most companies state the cost of ATS as one of the reasons for insufficient adoption rates. But there is good news! It’s more affordable than ever before!
Here is how investing in ATS has recently become more cost effective for your enterprise:
- Your business can avail Applicant Tracking systems, both as a part of a comprehensive HR software and also as dedicated/stand-alone systems. A small company, which does not want to invest in an ‘all-frills’ integrated HR software, can subscribe to the standalone ATS.
- With the advent of cloud based technologies, the price of these recruitment tool has dropped considerably. Thus, it would be much more cost effective than paying a recruiting firm to locate candidates for you.
Therefore, businesses of any size and industry can now utilize a cloud based software to manage the recruitment process in their organization and build a stronger organization.
Applicant tracking system is a cloud based system that allows you to manage hiring in your organization with the use of a workflow. It is very user-friendly, easy to configure, and available as a standalone system or as a part of an integrated HR software.