The skills shortage remains the primary concern of talent leaders and the biggest threat to a successful talent acquisition strategy, affecting both productivity and profit, according to a recent survey.
The development of a high impact talent acquisition function supported by HR technology can overcome these challenges but differentiating between talent acquisition and recruitment is needed to achieve this.
Recruitment usually applies to a short-term response to the need to fill open jobs. It is normally a reactive process.
Talent acquisition requires a longer term approach to source, attract, hire and retain qualified candidates. Talent acquisition should be an ongoing strategy, regardless of whether your organisation has specific jobs to fill. It is invaluable for companies in sectors where skills are in short supply – but all businesses will benefit from a commitment to developing an effective, high impact talent acquisition strategy.
Why it matters
Best practice in talent acquisition offers clear benefits. According to the report:-
- High impact talent acquisitions functions help to shape business decisions. 31% of companies with mature hiring functions operate at maximum productivity.
- 68% of companies with mature hiring functions reported an increase in profits last year.
- Low impact talent acquisition strategies have immature hiring processes and ineffective measurement. Only 4% of companies in this category claim to operate at maximum productivity.
Despite these benefits, employers remain reluctant to change one aspect that would enable HR to achieve a high impact hiring process - investment in technology.
Recruitment software enables HR to addresses the key obstacles to creating a streamlined hiring process. Understanding where those areas are weakest in your business is a good starting point.
The following were highlighted by talent leaders as needing specific attention:-
Retention of new hires : Retention of new hires remains a concern for nearly a third (29%) of businesses as the wrong person is hired for two out of every five vacancies. By automating repetitive processes, reducing your time to hire, expanding your talent pool and carrying out effective background checks, HR can take steps to reduce the chances of a bad hire and improve your talent acquisition success.
Recruitment techniques : Telephone and video interviews were two problematic areas identified during screening and a new report suggests that nearly half of candidates now reject job offers based on poor recruitment. Successful hiring is enhanced with recruitment technology which ensures an objective and consistent experience during screening - and beyond - including the integration of asynchronous video interviews and Situational Judgement Tests (SJTs) through applicant tracking software.
The onboarding gap : A third of talent leaders identified the time between selection and start date as a significant barrier to improving their talent acquisition process. The issue lies in ongoing communication. 60% of candidates continue to apply for jobs and attend interviews after accepting a job offer, while 40% believe there is insufficient communication during this period. Automating basic elements of your background check through your ATS, including reference requests and mandatory checks, frees up HR’s time to engage with their new recruit and focus on onboarding at this critical time.
Don’t become a bottleneck
HR must take ownership of its data in order to create an agile, high impact recruitment process which will ultimately improve productivity and boost engagement. That must begin with understanding what is happening in your hiring process.
According to Bersin by Deloitte, however, ‘basic data literacy among HR practitioners is a bottleneck’. Understanding your recruitment metrics is a given to create a streamlined hiring process. Investing in recruitment software is your first step towards gaining data literacy and developing a mature hiring strategy.
Create a high impact talent acquisition function with Kallidus Recruit.
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Learn more about how an ATS can take the strain from your hiring process and allow HR to create a high impact talent acquisition function.