Robots vs Recruiters: AI and the Future of Talent Acquisition

As technology advances, many in our industry wonder whether or not artificial intelligence (AI) will replace recruiters or, at the very least, how it will impact what we do and how we do it.

Is the death of the recruiter finally here? 

Our sold out and much anticipated #NextGenTA MeetUp on June 8th covered this topic thoroughly through a panel discussion and audience questions. We wanted to ask some of the industry’s best and brightest where they thought AI would take us and what kinds of obstacles and opportunities might be presented along the way.  

At the MaRS Discovery District, we sat down with Kevin Grossman, President of Global Programs, Talent Board, Victoria Reynolds, Head of Talent Acquisition at Capital One, Chris Brown, Director of Talent Solutions, Canada at LinkedIn and Sara Cooper, Talent Director at Omers Ventures. Here are just some of the highlights from our conversation and insights these talent leaders provided to the packed house at MaRS: 

Q: Is AI the death of the recruiter?

Sara answered: “No, I read this 10 years ago and we’re still here. It will however transform HR and recruiting. A good recruiter uses tools to be better and faster. If a transactional recruiter is just posting jobs and waiting for applicants, then AI might be the death of that recruiter. If you believe in building relationships then AI will only help you be a better advisor and elevate your career.”

Q: Kevin, what are your thoughts on AI’s impact on recruiters and the candidate experience?

“Relax, the robots aren’t taking over. I came into the HR tech space in 1999. AI had a job matching algorithm, which was solid technology at the time. I haven’t seen a lot of change until very recently. Like Sara said, AI helps empower recruitment. Where we will likely see the most impact (and potential job loss or restructuring) will be in sourcing and administrative tasks. Companies that win, will invest in leveraging new technology to drive efficiencies and provide better feedback loops through people.”

Q: Chris, what is AI and how is it being used today in recruitment?

It’s important to frame the different types. The term “artificial intelligence” is fairly generic. In recruitment, a lot of AI is heavily focused on matching and resume parsing. What we’re seeing now is a transition to more intelligent learning. For example, AI becomes very interesting regarding speech recognition. It’s working towards learning - using AI technology in a customer service chat bot, perhaps moving to interviewing, and face recognition. Sourcing, however, is where we might lose jobs. We can’t comprehend how fast it changes because it will almost certainly occur faster than humans can adapt to it.”

Q: Victoria, what are your thoughts? What happens if companies don’t adapt? 

“We need to find balance. We’re make progress using predictive analytics, using data to cut down on both the recruiter and candidate time. At Capital One, we’ve looked into chat bots for credit card customers - can we apply this to the recruiting experience? We’ve also looked at building an application for scheduling and aiding candidates in their preparation. We chose to build this in-house as our teams know culture and we believe that can’t be taught unless you’ve lived it.” 

Q: Sara, how has technology modified the role of the recruiter? Have we raised the bar to strategic thinking?

Recruiters don’t have the best reputation – you just have to read Linkedin to know that. They have to be better at adding value and being proactive and AI will allow them to do that. AI will separate the great recruiters from the rest because it will free them up to focus on strategic work. Recruiters who will survive are the ones who can meet the needs of the business not just today but six months or even years from now. If we are going to prep our business for our CEO stepping aside five years from now, we need to start building a pool of potential replacements today. Those relationships need to start today. That’s something that AI can’t do, at least not right now.

Q: Kevin, based on candidate experience benchmarks, where do recruiters win?

“The one thing we measure is the potential business impact of how candidates are treated. If candidates are treated fairly, communicated with, and given closure, 64% of the time they will apply again, refer others, and buy your stuff. 43% of candidates who have a bad experience will sever that relationship. This is significant for a consumer based business.” It comes down to respect for the candidates time, no amount of automation can fix that.

Sara jumped in on this one: “Always remember that declined candidates are future customers. We need to better predict with accuracy what we may need - perhaps AI will help us do a better job at workforce planning.”

Back to Kevin: “There is a speed aspect that AI can help with. Often candidates withdraw due to the length of the recruitment process.”

 

Q: Chris, what’s happening with LinkedIn right now when it comes to AI? What can we expect as it relates to Talent Solutions? 

“AI exists today on LinkedIn with features such as “jobs you are interested in” and “people you may know”. As engagement improves, AI does the heavy lifting to get you more value. LinkedIn Recruiter is still restricted to skills and keywords but it’s moving toward social cues like a LinkedIn user’s affinity to the company or brand, or intent. Our AI technology will celebrate what we do for both companies and candidates. AI will help us move from just finding people to real recruiting which goes beyond just finding people but to attracting and engaging those with the right skills and affinity to your brand.”

Q: Victoria, are we going to create bias through machine learning and AI?

“Humans are biased. Machine learning can highlight whether or not there is bias. The more technology we use to identify unconscious bias, the better off our recruitment processes will be. The robots might actually help.”

To gain the full Next Generation Talent Acquisition experience - awesome panelists and thought leaders, sponsor rewards and networking - keep an eye out for our next MeetUp announcement for September 19th! The topic: Diversity. Not a member? Join here.

Thanks again to our panelists!

Lastly, this event would not be possible without our awesome sponsors. Thank you to XRefIdealTalentMinded and ViziRecruiter for not JUST sponsoring the event but sending your awesome teams to join in on the fun and add value to the conversation. 

If you are interested in speaking, sponsoring or have a topic that you would like to see us tackle please contact Kim Benedict, kim@talentminded.ca.

Have a wonderful summer #NextGenTA friends - we’ll see you in September!

Why talking about career growth opportunities is essential in getting the right candidates

Published by Stephanie Heisz, Talent Advisor, TalentMinded Inc.

Most job ads are boring and generic; a sea of sameness.  But what do candidates really want to know? What would make the best talent take notice of your job opportunity?

One common theme that almost always comes up during the interview process is career growth. What’s the next natural progression from the role they are interviewing for? Yet for many firms this almost never makes it into the job ad, let alone the screening process.

A question we like to ask candidates is “if you were offered the job, what factors will you use to determine if this role is the ‘right job’ for you? 80% of the time career growth makes it to the top of the priority list.

Don’t get me wrong - the culture of the company has influence over the candidate’s decision, however we find that ‘what’s the career path?’ gets asked the most. 

This raises the question - why don’t more companies ‘talk’ about (and promote) the opportunity for career advancement in their job ads?

I was at a tech social recently and asked people – ‘when you are reading a job ad, what entices you the most to apply to the job?’ When talking to people it became clear that opportunities for career advancement was huge!  People want to be challenged, promoted, valued, on a mission and progressing their own goals as much as the companies they work for. Win-win.

Yet, as we are all too well aware – many companies are still posting job ads that list what the person will do – not what they will become (Lou Adler).

Here are some real live examples, tips and job ad excerpts from some of our favorite clients and most admired brands on how they address career advancement opportunities in their job communications:

  • “Why join our team? This is your opportunity to learn the business from the ground up, and eventually take those skills and apply them in a more senior position at the company.”
  • Prove it. Share statistics about promotions within the company – “In 2015 we had 40 in-house promotions - once you join our company you won’t want to leave. We’ll provide you the opportunity to move-up.”
  • “But know this. If you do decide to apply for this position, and we agree that this is the right job for you, you'll be supported by a plethora of internal programs whose only focus is the continued progress of your career.”
  • “People in our career track drive delivery and capability excellence through the design, development and/or delivery of a solution, service, capability or offering. They grow into delivery-focused roles, and can progress within their current role, laterally or upward.”
  • Be authentic. If there’s no fast track growth plan, then don’t make it up.  Candidates trust and are attracted to authenticity.
  • Provide mentorship. If the growth opportunity isn’t readily available or yet defined, providing mentoring or coaching can be a great alternative to finding and keeping great people.
  • All of this ties back to job seekers thinking the grass is always greener on the other side, and that in order to advance they will likely need to move to a different company. If you address areas of growth within the company early on, it could help keep employees around longer. We suggest that hiring managers map out at least the next logical career progression for someone entering into a role at their company.

Paint a picture of where your ideal candidate is currently and what are they not getting that you can offer them and then advertise that.  And if/when the question of career progression comes up in the interview phase, and it will, at least you would have a well thought out answer.

What the best companies do better than everyone else (on candidate experience)

Co-authored with Candice Sommers, Project Analyst, TalentMinded.

Every year we encourage our TalentMinded team members, clients and HR community to participate in the Candidate Experience Awards to drive best practices in their recruiting programs.  At a recent workshop hosted by Achievers and facilitated by the Talent Board we learned more about what it takes to provide a truly positive candidate experience - and the results might be different from what you think!

Here’s a summary of what we know about what the best companies do better than everyone else: 

  • They pay attention to job descriptions - they create unique, compelling job ads 
  • They invest in the right channels to attract more of the right people
  • They invest in their careers site and technology to enable the process
  • They include employee testimonials in their content & invest in referral programs
  • Their recruitment process is mobile compatible and responsive
  • They make it is easy to provide status updates and communicate to candidates often
  • Acknowledge candidate skills and experience throughout the process
  • Provide agendas to interviewees
  • They provide feedback and follow up no matter what the outcome
  • Provide clarity on the process and explain decisions 
  • Ask relevant questions at every stage of the interview process
  • Ask for candidate feedback 

Providing a consistent and positive candidate experience doesn’t have to be a daunting task nor is it all about expensive swag or extravagant tactics. While ‘Candidate Charters’ and ‘Concierge Teams’ can be awesome, focusing on these simple best practices have proven to help companies raise the bar. 

In our next blog we’ll share our favorite candidate feedback survey questions and tips on how to implement some of these improvements.

TalentMinded helps companies scale through better talent acquisition programs. We offer the best in people, process, tools, technology and brand for one monthly fixed price.  You don't just need a recruiter, you need a recruitment solution.  Call or email to learn more - kim@talentminded.ca, 416.587.1283.

Don't Underestimate the Phone Interview

By Liya Adessky, Talent Advisor, TalentMinded

It’s 9 PM, you’ve had one too many coffees, and you’re staring at the computer hoping you’ve convinced one or more of the 20 companies that received your application that you’re qualified for an interview. We’ve all been there! Looking for a job can be extremely stressful and time consuming. Applications can go into a black hole and in some cases, it’s a hyper-competitive, saturated job market. In many sectors there are few jobs, and lots of people looking to fill them. In 2015, “only four provinces registered job gains” (Kirby, Macleans, 2016) and even those gains weren’t all that impressive. For the job seeker, that means first impressions count more than ever.

People put tons of energy into crafting the perfect job application, and rightfully so. What you may not always consider is just how fierce the competition is right from the get-go. As a recruiter, I can often receive upwards of 300 applications for a single vacancy. With that in mind, it’s important to optimize your chances at every stage of a company’s recruitment process.

If your resume is indeed “screened in” for the job, the likelihood is that you’re moving onto a telephone interview first and foremost. Most companies require a “phone screen” or prequalification stage before you’re invited to meet a hiring manager in person.  Some companies even require video interviews before moving to a face-to-face interview.

In order to get to that all-important in-person interview you have to “pass” the phone screen, an often underestimated part of the process. We find that people often don’t take as much time or put as much emphasis on their preparation for this stage of the recruitment lifecycle. This can be a costly mistake. 

The candidate pool may be smaller once you’ve made it to a phone interview, but it’s still a tight race at the top of the candidate pipeline. According to a recent article by Peter Harris for Workopolis (2015), “98% of job seekers are eliminated at the initial resume screening and only the ‘top 2%’ of candidates make it to the interview”.  

As a recruitment partner for companies both local and abroad, my days revolve around conducting and assessing phone interviews. Peter’s statistics are bang on.  Though I may schedule 10 phone interviews any given week for any given role, only 2-3 candidates may be submitted as a result. In other words, a solid resume does not guarantee a home run or in-person interview.

Here are some ways in which you can improve your chances to move from the phone interview to the next interview round:

  • Be on time: Much like an in-person job interview, recruiters place a lot of value on a candidate being on time for the conversation scheduled. It shows respect and says a lot about what it’s like to work with you. If you’re going to be late, be sure to send an e-mail ahead of time to and explain why you may not make it on time. To that end, try to avoid this scenario altogether by not scheduling back-to-back meetings or other important calls before or after.

 

  • Study your resume: Knowing your resume backwards and forwards may seem obvious, but many candidates often confuse items listed there. If it’s on your resume you should be prepared to answer questions about it. It’s the recruiter’s job to validate the information presented and/or uncover gaps in your employment history. Even if it’s simple forgetfulness, being unable to address previous jobs on your resume, and why you may have left certain roles, will not come across well and may cost you the next round.

 

  • Know the role: And more importantly, know why you’re the right person for it. Prepare yourself to answer the question: Why this job, and why this company? If you can’t articulate why this job will make you jump out of bed in the morning, then the recruiter may question how much you know about the company or how you will impact the organization.

 

  • Exude energy: What you hear is what you get in a phone interview. Unfortunately we can’t meet everyone in person. Be sure to stay alert, energetic, and enthusiastic over the phone at all times. Companies today are looking for passion and purpose. If you’re not excited about the opportunity, then that may be the difference between you moving forward over your competition.

 

  • Answer questions succinctly: It’s a red flag for any interviewer when a candidate can’t stay on topic. This may suggest to the interviewer that you’re not actually listening or that you are, but choose to talk about something else anyways, which is just as problematic. Phone interviews are opportunities to showcase not only your listening skills but your ability to be succinct. It’s not always just your answer to the question that is being assessed.  Stay on point.

While phone interviews may appear to limit candidates, in some ways they are an innate part of the recruitment process.  As recruiters and the companies we work for, we take this part of the process seriously and so should you. This means you may need to work that much harder to demonstrate why you’re a fit. Don’t take a phone interview for granted, and you may just see better results. 

Liya Advessky, Talent Minded

Why referrals (especially in start-ups) should be a top priority

Why Referrals should be top priority

Why Referrals should be top priority

Why referrals (especially in start-ups) should be a top priority

Author: Stephanie Heisz, Talent Advisor, TalentMinded

From the time that I got my first “real job” I learned quickly about the power that employee referrals can have on a company and its culture. As well, after working in the start-up world, I have seen first hand how important it is to tap into the pool of talent in your network to hire people who believe in your company and mission. 

As it turns out, I found my current employment through a referral.  It’s easy to see why my employer is tapping into their referral network before posting positions online–hiring through an employee referral is faster, more cost effective and generally a better culture fit–and I’m living proof! I would also go as far to say that the majority of people I know found their first and often second job through a referral. 

It’s important for companies, especially tech start-ups, to understand the end-to-end value of an employee referral. Here are some of the reason employee referrals should be your number one, if not only source of hire when you are in the early stages of growing your business–and they may be different than you think.

JOB HOPPING HAS BECOME THE NORM

“Job hopping” has become the new norm; 91% of millennial workers only anticipate spending 3 years or less at one company. With so many options out there for a lot of skilled talent, especially in tech, it’s easy to keep fast tracking your career forward with great leaders and great companies.

Being a millennial I can attest to this myself and I see it happening within my network all the time. We have the mindset of always thinking about the next best thing. When I talk to people in my network about their current jobs, the majority are not planning to grow their career within the current employer or foresee the opportunity to do so. 

So there are two key points to this: 

1.       Given millennials may move jobs more often, having someone you trust refer them into your company can be a good sign.  Often times we dismiss ‘job hoppers’ thinking they can’t hold down jobs or get fired.

2.       Cutting through the noise on job boards and inmail ‘spam’ or avoiding it all together by going direct to your immediate referral network can be a key competitive advantage especially in a tight labour market. 

EMPLOYEE REFERRALS = HIGHER RETENTION RATES

We have entered into a time where it is easier than ever to apply to jobs and find them online – or the jobs find you! With tools like LinkedIn and Indeed, people can apply to multiple jobs with ease and/or receive daily notifications about jobs that match their search criteria. When applying to, and getting jobs, is this easy, it is essential for employers to look at other methods of employee retention.

Employers who have employee referral programs have 25% higher retention rates of employees after two years than those who do not. When you already have the inside scoop on a company, and know people who you respect within the company, it helps in making a smooth transition. Employers who use their network for referrals, and not just internal employees, have a better chance at extending their reach into the labour market and attracting talent who are pre-qualified ‘fits’ for the company.

My first experience with this was when I worked at a bank during my undergraduate degree. After my first year of employment, I referred two people to the company–one that I had worked with, and one a fellow student. At this bank, culture fit was very important, and since I had a great sense of what it was really like to work there, everyone I referred was hired and stayed and moved up in the company.

When you think about companies who have had success in hiring through employee referrals, like my current employer TalentMinded, the ROI is in employee engagement, retention, lower cost and time to hire and company growth.  

SO HOW CAN YOU INCREASE EMPLOYEE REFERRALS?

A lot of companies, especially start-ups, give employees perks for referring people to the company. It’s standard to have some sort of monetary compensation or tangible reward to motivate employees to tap their networks. We find most companies offer a minimum of $1500 per hire paid out after 3 months or half and half during the probationary period.

There are other things companies are trying in an attempt to fill their pipeline with quality referrals for hire.  I have a friend who works for a company that is doing some cool things with their referral strategies and its working. For example, they give their employees extra vacation days if they hire your referral.  They also take the employee and their referral out for lunch the first week the referral starts and make sure they publically recognize the employee’s contribution through a monthly newsletter and townhalls.  

Another way to increase your referrals and get your employees jazzed about digging deeper into their networks is to give it a brand of its own.  Try creating a sub-brand for your program with a logo and tagline to match.  This will help get your employees rallying behind something more tangible and visible then just an email reminder from time to time.

The ‘ask’ for more effort and energy in driving an increase in qualified referrals should also come from the top down.  A message from the CEO can be more powerful than a standard HR policy announcement or poster in the lunch room.

Lastly, consider rewarding your brand ‘ambassadors’ beyond your company walls.  Encourage referrals from external networks and people who know you and the company well.  Being a start-up usually means your small, so why not reward ALL the people that care about your success.  Extend your reach by expanding your rewards to other raving fans around you.  And as we mentioned, it doesn’t have to all be all about the dollars and cents. As stated in one of our earlier posts, “Why don’t companies reward the people who care about them”, it’s the thought that counts – don’t underestimate how far a $25.00 Starbucks card can go in helping you build your brand!

Essentially I am a firm believer in employee referrals based on what I have experienced personally as well as the success I have witnessed through my network and their career paths. Having some sort of employee referral system in place, that employees will actually pay attention to and action, should be a top priority when crafting your recruitment strategy.

Please feel free to share some of the things that your company does to drive referrals!

Author, Stepahnie Heisz, Talent Advisor, TalentMinded

 

 

 

 

If your recruiting is failing, what can you do about it?

A collaborative blog post with Pete Smith.

In our last blog, we asked: 'How do you know your recruiting is failing?'  In that post, we provided six metrics for a CEO to test whether their recruiting process was performing adequately.

Recruitment is hard and it’s only going to get harder. Albert Einstein said the definition of insanity is doing the same thing over and over again and expecting different results. If what you have been doing isn’t working, what should you do differently?

Let’s revisit our six metrics:

1.       Is your time-to-hire more than 52 days?

If it is taking longer than 52 days to source and hire the right people, then there’s a good chance there’s a gap in your process.  While sourcing and screening inefficiencies can cause a long time-to-hire, we also see challenges from other problem areas, most notably wait time. Time kills candidates. Long waits between steps in the recruitment process dilute candidate enthusiasm and lose you great candidates.

We recommend conducting an audit on your process to identify areas where you can drive efficiencies.  Usual problem areas include the headcount approval process, offer letter generation, interview scheduling and changes in job specifications or hiring priorities.  As well, nothing will kill a good candidate’s desire to work for you than a lousy recruiting experience caused by unprepared hiring managers, delays in the process, lack of communication, feedback and nurturing and generally being treated as a commodity.

2.       Are 90% of the applicants for any open position unqualified for the job?

If you receive hundreds of applications and spend hours upon hours screening just to get to a handful of applicants that you are willing to engage in a screening interview, something in your process is failing.  Many companies think that’s just the way it is. We say different. Generic job descriptions don’t tell candidates what they truly need or want to know about the role, environment, and company. They also generate unnecessary volumes of applications putting the onus on the company to do all the work. This makes no sense! Creative and compelling job ads increase candidate quality by better illustrating the role and allowing the individual to self-qualify in or out of the process.  The best prospects are looking not just what skills they need to be considered a qualified contender, but “why should I?” Stop thinking of you job posting as a qualifications list and start thinking of it as a piece of marketing collateral that sells the candidate on your company.

3.       Are less than 20% of your job applicants coming from referrals?

Have you asked your employees to encourage their friends and former work colleagues to apply? Your employees should be your biggest and most enthusiastic fans. Better yet, provide incentives to turn your employees into an extension of your recruiting team. Incentives aren’t just cash rewards for a successful recruit. They also encompass elements that make it easy for employees to see open positions and know what type of candidates you are looking for, as well as a streamlined VIP process that prioritizes referrals. The last thing you want is for an employee to be embarrassed by the experience their friend or former colleague has in your recruiting process.  Recruitment tools such as Jobvite make it easy to communicate job openings through employees’ social networks at a click of a button.

4.       Do you interview more than ten short-listed people for any role?

This is a downstream problem in the process that starts at the front end. Have you defined the correct job, with a realistic set of expectations compared to what is available in the market and at the correct compensation? The higher the bar for qualifications, the more likely the successful candidate will come from the ranks of passive candidates that you need to go out and find. Is your job ad compelling? Have you communicated why a unique candidate would want to disrupt their life and invest time in even talking to your recruiting team? Everything needs to be aligned in your recruiting efforts: expectations; messaging; process; communications between recruiters, hiring managers and candidates; the compensation and benefits being offered; and the technology used in your recruiting process. These are all points of failure, and we recommend taking time upfront to plan properly to avoid waste down the line.  “Hurry up and post the job” is not a strategy.

5.       Are 20% or more of your job offers declined?

Do you measure which of your hiring managers are most successful? If so, why are some more successful than others? We see big differences in success rates between hiring managers. Some just aren’t engaged and hiring is their last priority, regardless of what they say. Others just can’t inspire people to join. There are always superstars (especially at the executive level) that tell such a compelling story about your company that candidates are excited to accept a job offer. Identify these people and use them as your closers, just like you use your best sales folks to close big deals.

6.       Is your Glassdoor score higher or lower than 3.1?

Bad reviews about your company culture, or no reviews at all, can turn off candidates right out of the gate. But even if all of your reviews aren’t glowing, there are lots of ways to leverage the good, the bad and the ugly on Glassdoor.  Good places to start include responding to bad reviews to show that you’re listening, asking new employees to write reviews as part of their onboarding process, and sharing fun photos from your holiday party and other employee events that show insights into how you celebrate being your accomplishments.

Calisi.jpg

Pictures like this say something about your company culture.  Calisi’s first day at work at Seradex.

Also, don’t forget about LinkedIn. Check the analytics on your company page. Posting jobs and employee events on your company feed should result in greater engagement and click-throughs than most of your marketing content. If your own employees aren’t liking and sharing insights into your company culture, including job postings, then why should anyone else care?

If you aren’t meeting your hiring targets or attracting the right candidates, these are fixable problems. But, like anything else, change in recruitment takes focus, time, research, and ownership of the problem. Start with an audit of your current processes against target metrics. Follow-through with an analysis of where your process is breaking. Commit resources, identify owners, and assign responsibility to fix the breaks and fill the gaps. Finally, bake your metrics into your business just like you manage any other process.

These actions will help get you one step closer to winning the talent war.

Kim Benedict                                           Peter Smith

CEO / Co-Founder,                                 Managing Partner, 

TalentMinded Inc                                   The Meaford Group Inc

How do you know if your recruiting strategy is about to fail?

A collaborative blog post with Pete Smith.

Before the holidays, we were talking to a manager who was bemoaning their workload. On top of everything else, they were conducting candidate screening interviews because they had four open positions and their internal HR team was too busy to get the screening interviews done. Kudos to the manager for picking up the slack—but as a CEO, is this how you want to run your company? 

In our last post, we asked: Would you run your sales process like you run recruiting? We are in a talent war. Tech CEOs know this, yet most lack metrics to understand whether their recruiting process is working well, about to fail, or already on life-support.

No CEO runs their business by periodically looking at their financial results to see how they performed. Instead they use forward-looking metrics and trends such as size of their sales pipeline, average time to close a deal, average deal size, and the trends underlying these metrics to predict their future financial performance.

The same goes for recruiting. If you aren’t already tracking, measuring, and diagnosing your future recruitment success, here are six metrics to get you started.

1.      Is your time-to-hire more than 52 days?

52 days is the average time-to-hire, and that metric hasn’t changed much over the past ten years. Obviously there will be outliers (such as an average of more than 250 days to hire a sales rep in San Francisco), but this 52-day benchmark provides a good diagnostic to understand whether your recruiting team and hiring managers are executing well.

2.      Are 90% of the applicants for any open position unqualified for the job?

This metric is the ratio of applicants rejected prior to screening interviews divided by the total number of candidates who have applied. Beyond the obvious waste of time in filtering, a too-large applicant pool makes it difficult to pick the best fit candidates. Hiring managers should spend 20-30% of their week recruiting, but not on filtering applicants. This time is best used on networking, generating referrals, having ‘coffee’ conversations with passive prospects to build future talent pipelines, and of course interviewing only the most qualified (short-listed) candidates. If you can’t map these tasks to your hiring managers’ activities, you have a problem.

3.      Are less than 20% of your hires coming from employee referrals?

If less than 20% of your hires come from referrals, then you may not be tapping into the best talent pool.  Multiple studies show that employee referrals are better quality candidates, take less time to hire and are happier and more productive than other sources of hire.

4.      Do you interview more than ten short-listed candidates for any role?

A 10:1 ratio is very generous. Ideally five short-listed candidates should yield a good hire if your process is working. This metric is calculated from the ratio of candidates hired to the total number of applicants that pass the screening interviews and are recommended for further interviews by hiring managers. Interviewing more than ten short-listed candidates either means that your recruiters and hiring managers aren’t aligned on the job requirements, or that they can’t tell the candidate a compelling story about the position and why they should want it. It could also mean that you are mostly interviewing active job seekers and not searching out enough passive candidates (which are often the stronger candidate). Five short-listed candidates or fewer per hire is a good metric.

5.      Are 20% or more of your job offers declined?

If more than 20% of the offers you extend are declined, you’ll never be able to keep pace with your growth. This may indicate that your compensation and benefits package is not competitive, or reveal that the candidate experience during the interview process is turning off short-listed candidates. Bad reviews on sites such as Glassdoor, especially recent ones that go unaddressed, can also have a big impact in the eleventh hour. 

6.      Is your Glassdoor score higher or lower than 3.1?

If your score is lower than the state average of 3.1 (according to Bersin by Deloitte) your company will raise a red flag in the candidate’s mind. A higher score, coupled with authentic, positive, and engaging employee comments, can mean the difference between a passive candidate rejecting or accepting your request to talk. Current stats show that approximately 67% of candidates use Glassdoor as part of their decision making process, and on average a candidate will use up to 14 different pieces of online information to assist in deciding whether to accept an offer with your company.

If you like our benchmarks, feel free to use them in your business. If your metrics aren’t measuring up, our next post will tell you what you can do to change the game.

 

Kim Benedict                                           Peter Smith

CEO / Co-Founder,                                 Managing Partner, 

TalentMinded Inc                                                   The Meaford Group Inc

Forgot the December Slowdown: Keep Recruiting on Track

Many people make the mistake of thinking that recruiting slows down in December and January. They put their hiring activities on hold, waiting for budgets and workforce plans to be reviewed and approved. What a loss!

Just think: the global average time-to-fill for a vacancy is currently 68 days, and still increasing. Finding the right people takes time—and the more challenging the role, the longer the recruitment cycle.

If you press pause on your recruiting activities this December, waiting until people are back from the holidays, then the earliest you could make your first hire of 2016 could be mid-March. That’s the entire first quarter gone!

Then if you think how long it takes to onboard and bring a new employee up to speed—about 60 days on average for a Sales Rep, for example—well, you can do the math. That’s a significant loss of time, productivity, and potential revenue.

While you may not be sourcing new candidates on December 24th, there are plenty of strategic recruiting activities that you can tackle this upcoming holiday season to help reduce your time to source for new roles in the New Year. According to Jennifer Bouyoukos, VP, Talent Management at Argus Software, "This time of year is the most strategic.  Now is the opportunity to execute on some of the most important elements of recruitment like branding, workforce planning and mapping critical talent".  

Here are five ideas to help get you started:

  1. Build Talent Pools: If your company is looking to grow, you’ll already have some idea of the ideal profile for the type of people you want to add to your team. Now’s your opportunity to use tools like LinkedIn to start researching and building talent pools for upcoming vacancies. Look for benchmarks at organizations that hire like you, and save potential candidate profiles in a folder. If you want to be proactive reach out to your connections who know these individuals and ask for a warm introduction. One networking coffee date could be your next awesome hire.
  2. Activate or Refresh Your “Free” Internet Real Estate: Candidates—especially those who are “window shopping” over the holidays—will be searching the web for more information on your company, your culture, and what makes you a great employer. What are they going to find? Sites like GlassdoorIndeed, and Stack Overflow allow you to post pictures, write reviews, and share what it’s like to work for your firm. It’s imperative that you monitor these sites regularly and refresh the content on an ongoing basis, especially when you are ramping up hiring. Sites like Glassdoor also provide analytics for who’s viewing your company profile—average age, education, and much more. Use these insights to begin to plan your recruiting strategy and craft the right message for your audience.
  3. Get Published/Create Content: Even if you’re not planning to hire until the New Year, write and share an article or blog post. You can talk about how you grew your culture, how you’re creating or disrupting a market, how your workplace is different—or whatever it is that makes you great and that potential job seekers may find compelling. Articles and blog posts are also a great way to support your recruitment messaging, build buzz, and expand your social media reach.
  4. Rewrite Your Job Postings: The pressure is always on to ‘hurry up and just post the job!’  The result—no time to be creative and out goes a stale job ad that attracts all the wrong candidates. 

Boring ads don’t create enthusiasm in potential candidates or your referral network. We can’t stress it enough—the best candidates crave something new and different from employers. Get ahead and start working on your posting strategy. Be bold. Tell a story. To start, take a look at your old job ad and ask yourself, “Why is this important?” after each line five times. For example, “We have been in business for 20 years” – why is this important? Stability. Why is stability important? And so on. This will help you drill down to your real messaging, and help you gain a fresh perspective  on how to communicate with your target audience.  

 According to Rob McDougall, President/CEO at Upstream Works Software, “Our [TalentMinded] job ads generated higher quality candidate  applications all around. As a result, we tapped into new talent pools and found the right fit for our company fast.”

5.  Sharpen Your Interview Skills: “Slow” times are the best times to brush up your skills—and the skills of your hiring managers. Identify skills gaps and create a plan to address those areas through targeted training workshops or programs. For example, TalentMinded offers a two-hour Interviewing Skills Workshop that helps managers improve their probing and assessment skills, and enables them to make better hiring decisions. This interactive training is loaded with creative activities and role-play, and makes a real difference in hiring managers’ effectiveness. 

Still stuck? Check out this blog—Think about your recruitment process like sales and marketing. What activities are happening in your sales and marketing departments right now that you can mirror in recruitment?

Recruitment shouldn’t slow down during the holidays. Careful planning and strategic thinking now will pay off in increased productivity and better metrics in the New Year.

At TalentMinded we help companies scale through better talent acquisition programs.  We provide a monthly managed recruitment platform that includes people, process, tools and technology at a fraction of the cost of staffing firms. Our solutions are more strategic and insightful than traditional in-house models and can scale with you.  Find out more about why our clients rave about being more TalentMinded.  

Need more insights and ideas - drop me a line - kim@talentminded.ca