The Value of Applicant Tracking Systems
in Your Business
The secret to a successful business is the individuals within it. They’re individually responsible for turning a cog that keeps the business machine running successfully. It’s no surprise that there are a lot of people out in the world currently looking for jobs and, as an organization, it’s essential to find the creme de la creme - the top talent available.
Applicant tracking systems can be integral to your recruitment process and ensure you’re finding the right candidates who possess the soft skills and experience needed to fulfill the role. Hiring the wrong person is likely to hinder the success of the business and cost your organization a lot of money as a result.
With a wave of millennials entering the work market, competition is becoming fiercer, and it is proving equally difficult for companies to hire suitable candidates for their roles. In this article, we’ll look at the value of applicant tracking systems within your business and how they could be critical to helping scale up the business and provide growth in the right direction.
What is an applicant tracking system?
The purpose of an applicant tracking system is to use it as a tool to find the best candidates for your business. Through screening and monitoring their performance during the hiring process, you’ve got a much better chance of finding the right fit the first time.
A bad hire is costly to a business and on average could cost up to 30% of the employee’s first-year earnings, according to the U.S Department of Labor. The candidate might have impressed you with their interview performance but if you’ve not checked references or done pre-employment checks, you could have someone with all talk but no walk.
Making sure the candidate has the soft skills needed to do the job or the experience prior to the one they’re applying for with your company is the difference between a good hire and a bad one.
With applicant track systems in place, you can streamline the hiring process. From automating tasks to reviewing resumes, they are highly effective when you have a large volume of applicants to go through.
How an ATS can help you focus on finding the right candidates
As a business, you should have identified certain criteria that your potential candidates need to fulfill. A lot of businesses will struggle to find candidates who are qualified for the job and instead opt for someone who might be the best of a bad bunch. Here are a few ways that this tracking system can benefit your hiring process.
Focus on candidates with the right soft skills
With hundreds of resumes, you can end up spending hours having to filter through them all to whittle them down to the best candidates. With an ATS in place, you can pinpoint the candidates who have the soft skills that the role requires, or at least have the basics that the individual needs in order to develop those skills within the company.
Some applicants can be lazy and end up applying for roles that don’t even align with their skillset or experience. With applicant tracking systems, you can hone in on the candidates that you should be focused on.
Save time by automating key tasks
Tasks such as checking resumes, screening candidates, and sending out interview requests can be automated in many ATS software systems.
Automation is a game-changer for many businesses and, within the area of recruitment, it can help those responsible for hiring to focus on assessing the candidate’s skillset. According to one study, 86% of employees believe automation helps with work efficiency, improving productivity and growth.
These tracking systems are a worthwhile contribution to hiring, simply for their automation features alone.
Monitor where a candidate is in the hiring process
Being able to monitor the candidate’s progress within the hiring process provides them with a better experience. Not only that but it can give your hiring team the best insight into how to approach each candidate in the right manner.
When hiring, you may get lucky and have a handful of top talent for the role. However, without careful monitoring, you could lose this talent in the noise of resumes. Not only that but you may end up offering too many interviews or doing something that puts the talent off your business. Remember this - the candidate doesn’t have to say yes to your job offer!
Improve employee retention
One of the major, long-lasting benefits of an ATS to your business is that it retains your employees for longer. With the best candidates put in the roles that are a perfect fit for them, they’re more likely to stick around for longer within the company.
Combine that with a good employee package and positive work environment and you have the recipe for employee happiness.
How to select the right applicant tracking system
There are lots of applicant tracking systems out there to choose from and each one differs slightly. Whether you’re looking for budget-friendly options or ones that offer more complex features, there are some good examples like that of Recruitee applicant tracking systems.
What should you be looking for when it comes to the right ATS for your business?
1. Identify the employment challenges your business faces.
It’s important to consider the needs of your business when buying any software as your own requirements will be different to others. In relation to ATS software, what employment challenges do you currently face?
Perhaps it’s a lack of diversity and so equality monitoring may be a feature you’d strongly benefit from? Understanding what you need to improve upon when it comes to hiring is going to help you find the best ATS to suit your needs as a business so that the best hires can be made moving forward.
2. Check reviews from current users of the software.
Customer reviews and testimonials are the best way of identifying a good software option. With 93% of customers reading online reviews before buying a product, it’s beneficial to look at what’s being said about the options you’re considering for your business. If they lack customer reviews, then identify why that may be so.
In this day and age, reputation and building reputation is a priority for most businesses.
3. Consider the costs and potential ROI for the business.
What are the costs expected for the ATS? Some may be highly valuable in regards to the potential ROI it brings for the business, such as reducing the cost of the recruitment drive in general. However, some may end up being more costly to operate than your business can afford, so it’s good to consider the financial burden it could have on the business.
4. Try a free demo or trial of the software before buying.
Before you go spending your company’s budget on recruitment, be sure to try a free demo or trial the software before you commit to buying it fully. This can help test the waters and ensure you’ve found the right software that caters to your needs.
What other tools and tips can help improve hires for your business?
There are a number of tips and tools that are worth remembering when it comes to improving hires for your business. Applicant tracking systems are just one element that can enhance the quality of your hires for the business.
Advertise on the right platforms
Spending your advertising budget wisely and in the most cost-efficient manner is going to help you target the right candidates. Advertising on the right platforms is a hurdle that some businesses or recruitment teams can fall at due to it entertaining the wrong type of candidates who may be on these sites.
Pre-employment tests can help to filter out the white lies from the truth. Not every candidate is truthful on their resume so pre-employment tests can be highly effective in finding the right individuals who have the soft skills and experience desired.
Streamline the hiring process for candidates
Finally, be sure to streamline the hiring process for candidates. Don’t waste your time or that of those applying for the role by having several interview stages. It’s unnecessary and will likely put off the talent from continuing or accepting the job offer if they receive one.
Appreciate the value that an ATS can bring to your recruitment drives
The value of applicant tracking systems in business is something that you would be remiss to consider. They are important to the hiring process and can help track the right candidates for the role you’re recruiting for.
About the Author
Natalie Redman is a freelance writer with two years of copywriting experience across multiple industries. She’s also an owner of two blog websites and a YouTube content creator.