Recruiting Strategies: 5 Stats to Keep In Mind In 2016
2015 was an exciting year for recruiting strategies and technologies. But what should talent acquisition leaders be prepared for in the new year? Recruitment data and tools will continue to advance, but your strategies shouldn’t lose sight of your primary targets: people.
Talent acquisition is experiencing a massive shift in the way people are sourced, measured, reviewed, and ultimately hired. In 2016, recruiters will need to focus not just on finding candidates, but, as the research below will show, also the relationships these people have with their new employer.
The renewed emphasis on human resources is highlighted by research from LinkedIn Talent Solutions. Their Global Recruiting Trends 2016 report singles out many important issues for recruiters in the year ahead. The survey included 3,894 talent acquisition decision-makers in corporate HR departments around the world. In this post we’ll examine five key figures from the report that any recruiter would find useful as we approach 2016.
1. 39% of respondents agreed quality of hire is the most valuable performance metric
LinkedIn Talent Solutions asked, quite simply, “What is the single most valuable metric that you use to track your recruiting team’s performance today?” And quality of hire quickly stood out as the top choice. Time to fill was the second most popular answer (28%), followed by hiring manager satisfaction (21%). Quality of hire can be measured differently depending on your organization, but it’s usefulness for your recruitment team’s performance cannot be overstated.
Quality of hire can demonstrate the value of new employees in a simple figure, and helps portray the overall success of your hiring team. Plus, it’s a good indicator of the maturity of your talent acquisition strategy. But the LinkedIn report also found that only 33% of respondents agreed they were using quality of hire effectively. As we go into 2016, more HR leaders will need to ensure they’re measuring quality of hire in the right way, and using that data to drive their recruitment strategies.
2. 32% said employee referral programs are a top source of quality hires
Speaking of quality of hire, where do those highly desirable candidates come from? Social professional networks (e.g. LinkedIn) was actually the top source respondents identified (43%) in this study. And online job boards have also proved effective for quality hires (42%). But the importance of employee referrals has been growing, and more talent acquisition leaders now see the benefit of asking their existing staff for help when sourcing qualified applicants.
New staff referred by existing employees are typically hired after shorter time to fill periods and stay in their job longer. Not to mention they tend to be of better quality than candidates sourced elsewhere. As talent acquisition leaders emphasize quality of hire and improve retention in 2016, employee referrals will become an even more important tool in your overall recruiting strategy.
3. 62% expect their company’s hiring volume to rise, but only 42% say their recruitment budget will increase
Last year we saw job openings rise and in 2016 we can expect that trend to continue. That figure was more or less the same in last year’s LinkedIn report, but it’s a clear increase from 2012 and 2013 when less than half of respondents expected their hiring volume to go up. The job market is undoubtedly improving from workers’ perspectives, but not every recruitment team will keep pace in the new year.
The gap between hiring volume and recruitment budgets has been consistent in our post-recession economy. It’s an imbalance that will hurt some talent acquisition teams more than others. Those HR departments that do not have the budget to upgrade their career websites, candidate-facing ATS UX and UI, and mobile recruiting techniques will fall behind their competitors with deeper pockets in 2016.
4. 59% are investing more in their employer brand compared to previous years
Among LinkedIn’s survey respondents who have some wiggle room in their recruitment budgets, more than half said they will be allocating more resources to their employer brand. And 62% also described employer brand as a top priority for their organization. This will result in more proactive employer brand strategies in 2016, as recruiters develop their presence on online professional networks and other social media sites.
It was no surprise that two thirds agreed their company website is the most effective employer branding tool, but 61% also highlighted online professional networks. Sites like LinkedIn will continue to serve as all-purpose job boards, employer platforms, and employee resumes rolled into one.
5. 39% agreed utilizing social and professional networks is the most essential and long-lasting trends in recruiting
LinkedIn asked respondents to choose three top trends in recruitment for the long term. While employer branding (38%) and better ways to source passive candidates (28%) also proved popular, the rise of social and professional networks was clear. And recruiters are not just using online networks to get candidates to apply to open positions. Social media serves as a platform for your employer brand, and as a screening tool for recruiters sifting through applicants.
So what should talent acquisition leaders take away for 2016? A well developed quality of hire measurement paired with employee referral programs will likely give you a stronger pipeline of qualified, committed workers. Your hiring volume has a two-thirds chance of increasing, and your recruitment budget will likely not keep up. So strategic investments in employer branding (e.g. careers site, social networks) will help stretch your resources in the right way. And throughout the year, the relationships you build with potential, new and existing employees will be crucial to your success.