Measuring the Return on Investment evaluates the cost-effectiveness of an investment, enabling a demonstration of the financial and timely benefits to implementing a new service or product and the same argument applies when reviewing your recruitment software and tools.
Whether you are looking to reduce agency dependence and cost, or implement technology to centralise processes and maximise the power of automation, the decision making process relies on demonstrating and measuring your recruitment software return on investment.
Understanding the measurable benefits of recruitment software
Applicant Tracking Software (ATS) is designed to provide HR and In-house recruitment teams with the tools they need to automate, simplify and speed up the entire recruitment process. Improving your hiring outcomes is the overall gain of using an ATS, but recruitment software is best demonstrated by it’s ability to to improve your time-to-hire, cost-per-hire and quality-of-hire.
With the use of an ATS, your business could see a reduction in external recruitment costs. Stakeholders may be concerned about the initial cost of implementing a new recruitment system, but it has the potential to save a business time and money in the long run. Using an ATS increases access to a greater talent pool, targeting relevant individuals with your opportunities without the need for increased spend on agency support and advertising.
The ultimate goal of using an ATS is to hire and retain talented individuals through an increased access to talent pools, improving visibility amongst the type of candidates you want to attract. The improved visibility allows you to identify and hire the best candidates quickly before they’re lost to competition. With a streamlined, intuitive process for both the business and the candidate, not only will you hire great talent, but retain it. Improved retention rates not only reduce retraining and re-advertising costs, but ensure great skills remain in the business for longer.
Organisations that use an ATS are able to spend less time doing administrative duties and paperwork and spend more time on the phone with candidates actually filling vacancies. Accessing candidate information is achievable on one system, by all users. You are able to easily track applications from source through to offer in a centralised, controlled place, with the peace of mind that all data is securely managed.
Why utilise an ATS in your business?
Every business is different and it is important to understand why an ATS would benefit your business, in order to demonstrate the return on investment. There are various qualitative and quantitative factors to consider; advertising costs, direct sourcing, candidate experience and administrative burden.
Tighten budgets and agency reliance
Are you recruiting your employees through a 3rd party source such as via a recruitment agency? Stakeholders may have concerns regarding the initial costs for implementing an ATS, but an organisation can see significant savings per candidate when using an ATS compared to using a recruitment agency.
You may also be spending a considerable amount on advertising costs using platforms which may not be suitable for your organisation and/or job role vacancies? The majority of organisations spend money on advertising their job roles in an attempt to attract a high number of candidates. The use of an ATS allows an organisation to build up a pool of quality candidates reducing the need to advertise roles ultimately reducing costs on advertising.
Deliver a great candidate experience
Creating the greatest candidate experience is key to attracting top talent. Using professional technology will have a positive impact on the opinion of a candidate on your business. Not only does this support you in hiring quality candidates, but intuitive technology ensures all legal compliances are met such as GDPR.
Attracting the right type of people, who will want to stay and grow with the business will save you time and money ensuring you won’t be hiring again for roles.
Understanding the benefits an ATS can bring to your organisation will be useful when writing your ROI business case to overcome any challenges faced.
Demonstrating a return on investment for your Applicant Tracking and recruitment process goes a long way beyond numbers, including qualitative measurements in quality and retention, but there are clear quantitative benefits too with time and cost savings.
With a wealth of knowledge, networx are able to provide HR and In-house recruitment teams with the tools they need to speed up time to hire, reduce costs, improve quality and efficiency and control across every stage of the recruitment process.