Is your team tracking any recruitment metrics? Yes? How many? Which ones? To what effect?
Hiring is an expensive affair. Having a hiring strategy works fine until you discover that it’s more harmful than beneficial for you in the long run. You need an idea of if and how your recruiting process, HR plans, and business goals align. Otherwise, you might as well be throwing millions down the drain.
Now, are you worried about tracking recruiting metrics? After all, there are so many of them.
Well, don’t be. We have five recruitment metric and performance benchmarks which you may want to pay extra attention to in 2018.
- Average Hire Time
From the moment a job is open to when a candidate signs the offer letter is your hire time. Consider it for every vacancy in your organization in any duration, and that’s the average you’re looking to analyze.
At present, the hire time falls between 27-68 days for many organizations. Also, the top candidates for any job are recruited within ten days.
Do you infer where I’m headed with this?
If you can somehow decrease your average hire time, the chances of you bagging the best employees rise significantly. It’s been done before. Shipt, for instance, digitalized its hiring process, reduced it to three days, and drove its growth 300% up.
- Dropped Applications Rate
Officevibe reports that 60% of candidates left after applying because the process took too long. Why do you think that’s so?
At present, nobody like an application form that isn’t responsive, asks irrelevant or too personal questions, and takes too long to fill completely. Design yours accordingly.
- Quality of Hire
Let’s say you are functionally capable of hiring within 10 days. Now, what should be your aim?
To hire the best and loyal candidates from the talent pool.
If recruiters can only bring in mediocre talent, the hiring managers would still be wasting time, resources, and money filtering through the pool which possibly has neither quality nor loyal candidates worth employing.
Digital transformation, AI-operated models specifically, can be trained using the performance data of best employees. An initial recruitment assessment based on this model can help separate candidates per talent. Develop it yourself or ask a recruiting company (like Multi Recruit, you know!) to do it for you.
Unilever tried it and saved $1 million a year, 83% of its hiring time, and got a pretty rep with millennial job seekers.
- Offer to Joining Ratio
If your Offer to Joining ratio is falling through the floor, i.e. you only managed to secure an almost hire, the money you put in sourcing, assessment, and background verification is lost.
47% candidates declined an offer because they accepted another, reports MRINetwork. Many candidates drop after the offer has been made because of mismatched expectations, like role, salary, and location. Talk about realistic expectations at the beginning, Ola Cabs and Daily Hunt suggest.
- Sourcing to Offer Ratio
You proactively invest resources searching for qualified talent. 45% employers report that the Time to Hire has grown since 2014, a DHI study says. Out of every 72 sourced candidates, only one is hired, reports LinkedIn. But, how many of your sourcing discoveries end up converted into offers?
A high Sourcing to Offer ratio is alarming. It indicates wasted resources and a possible flaw in the recruitment system.
- Gender Diversity Ratio
At a time when even Google failed to impress when its male to female workforce ratio changed from 70:30 in 2015 to 69:31 in 2016, it’s critical to pay attention to gender diversity metrics.
Equal opportunities are a make-or-break factor in making job decisions at present. Modify your recruitment team & hiring process accordingly so that your workplace culture comes off as balanced and equal.
The list doesn’t end here. Of course, you have other recruitment metrics to consider, like Cost per Hire, Repeat Hire Rate, Retention Rate, Productivity, Tenure, Satisfaction, etc. however, the practices mentioned here are quite crucial in the present market.