How do you measure recruitment success? Is it as simple as filling the job and recording application rates, or do you need to look deeper?
As recruiting talent becomes more challenging recruitment teams need to track and measure more metrics in order to develop winning recruiting strategies.
To help you decide which stats you should be measuring we’ve pulled together a list of the top 10 recruiting metrics we believe you should be tracking.
10 Recruiting metrics you should be measuring
Recruiting metrics are an essential part of data-driven hiring and recruitment analytics, but let’s face it there are so many layers of metrics that you could measure, and we are recruiters, not statisticians. So which metrics should you be measuring to ensure you are on top of your recruitment strategy. Below we list the top 10 metrics we believe you should be tracking now and moving forward into 2019. If you’re using an ATS or some form of recruitment marketing software these stats should be easy to measure, regardless of how you collate your stats, it is important to put them into context and look at both long-term and short-term patterns.
1) Time to hire
Time to hire is the number of days between the moment a candidate starts their application or is invited to apply and the moment they accept your job offer. In other words, it measures the time it takes for someone to move through the hiring funnel once they’ve actually applied. Time to Hire enables you to measure performance within your recruitment team, to set targets & KPIs.
2) Time to Fill
Not to be confused with time to hire which applies to applicant’s average time in the recruitment funnel. Time to fill measures the number of days between publishing a job opening and hiring the candidate. Time to fill is influenced by supply and demand ratios for specific jobs, such as unemployment rate and talent shortages. Measuring patterns in time to fill enables recruiters to set realistic timescales for replacing employees who leave, ensuring your business is prepared to cover ‘gaps’ between hires.
3) Source of Hire
Tracking the sources which attract new hires to your organisation is one of the most popular recruiting metrics. This metric also helps to keep track of the effectiveness of different recruiting channels. With changing trends in recruitment marketing and the rise of PPC advertising job boards it is important for recruiters to know not just where their advert is seen but also which sources are returning completed applications & ultimately which source delivers hires.
4) Advert Engagement Rate
Advert engagement rate measures the ‘effectiveness’ of your advert. How many of the potential applicants who view your advert actually engage and consider applying for your job. Take the number of people who have viewed your online advert, divided by the number who start the application process to find your engagement rate. This is much easier to measure if you have an online application process and can also be known by some software providers as the conversion rate.
A low engagement rate can indicate that there is a problem with the wording of your advert, or it could be a sign that you are advertising via the wrong media or to the wrong demographic. Having these stats in real time can enable you to make instant changes to your adverts, try new advertising channels & try new methods to increase the rate of engagement.
5) Application Rate
Views are one thing but getting applicants to click and apply is what really keeps us recruiters up at night. Application rate takes engagement rate one step further, it is a key metric to measure how effective not only your advert is but how engaging your application process is. A good ATS will provide you with real-time stats, so you can not only instantly track where applications are originating from, but also which adverts are performing in relation to clicks versus application ratios.
A large number of applicants could indicate a high demand for jobs in that particular area or a job description that’s too broad. There are many factors to consider that will impact on the number of applications, but having real-time insights into how an advert is performing will enable you to effectively change it quickly.
Measuring closely applicant rate against engagement rate will help you identify drop out trends, where & why applicants are dropping out of the process. Otherwise recorded as the applicant completion rate, what percentage of your applicants actually finish their application journey. Be careful not to get too caught up in over analysing drop off rates, losing candidates during the recruitment process could simply be a sign of applicants deselecting themselves because they realise the job is not for them.
6) Offer Acceptance Rate
The offer acceptance rate compares the number of candidates who successfully accepted a job offer with the number of candidates who received an offer. If you have a high rate of offer rejections this could be indicative of several factors that need to be addressed, most obviously compensation problems and not just salary, but additional benefits and ‘perks’ that many candidates expect when accepting a job offer.
When these problems occur and are identified as a pattern, you can address them earlier in the recruitment process by being transparent about your compensation package to reduce the number of rejections later in the process.
7) Candidate Experience
When we talk about recruiting metrics, candidate experience should not be overlooked. Candidate experience otherwise referred to as the applicant journey, is the way that job seekers perceive an employer’s recruitment and onboarding process. How the candidate’s rate their experience can have a major impact on the longevity of the hire. Applicants who have a smooth recruitment journey are more likely to stay with the organisation long-term and make a greater contribution. On the other hand, applicants who have a poor experience may not accept your offer or are more likely to leave within 12 months.
A positive applicant journey also impacts the quality of your talent pool. Applicants who’ve been placed in your talent pool for future hires are more likely to consider any future offers of employment you may make.
8) Mobile Application Rate
Increased use of mobile devices has given a new dimension to the job search. Today, large numbers of people across the globe are searching and applying for jobs on the go from their mobile devices and tablets. Expect this trend to develop further as more and more candidates will resort to mobile job search to search for their next job opportunity. Tracking mobile application rates and designing a process that is mobile optimised will help you determine how to engage more potential candidates in the future.
With 56% of Facebook users logging in via a mobile device expect social media and mobile to become interdependent to each other. With the emergence of millennials in the global workforce, social sharing of opportunities will become more widespread and mobile application rate will continue to rise.
9) Diversity Stats
Workplace diversity has become a hot-button issue and a top priority for recruitment departments. A recent survey by the Society for Human Resource Management (SHRM) found that 57% of recruiters say their talent acquisition strategies are designed to attract diverse candidates.
Diversity in the workplace as a business strategy maximizes productivity, creativity and loyalty of employees while meeting the needs of clients and customers. Measuring diversity stats ensures transparency, highlights gaps in your organisation and enables recruiters to develop strategies to build a stronger more diverse workforce in the future.
10) Recruitment Funnel Ratios
The recruitment process can best be described as a funnel which begins with sourcing and ends with an offer accepted and a signed contract. By measuring the effectiveness of all the different stages in the funnel, you can specify a yield ratio per stage, for stat geeks, this makes for excellent metrics.
Recruitment funnel ratios simply summarise many of the metrics you look at throughout the recruitment stage such as Engagement Rate, Application Rate and Hire Rates. All important in their own right but together give you a firm understanding of how your recruitment strategy is performing.
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