6 Myths About Recruiting KPIs and Analytics You Need to Forget
There’s no denying that recruiting is both an art and a science. Many professionals who have been in the field for years may find the latter hard to accept. But just like other business functions, higher-ups in talent acquisition are starting to become more data-driven than ever before. They expect to see numbers guide action rather than simply gut feelings and subjectivity.
The idea of measurable improvements is very real, but improving performance isn’t something that happens over night. It’s a long-term strategy that requires having methods in place for capturing data, analyzing it, adapting to what it says, and then repeating those processes over time.
We understand many recruiting leaders are still hesitant when it comes to using data to inspire and guide action, and much of that hesitation seems to stem from outdated ways of thinking—or myths professionals have come to believe over time. In this post, we intend to debunk those myths so you can leave them in the past (where they belong).
1. Taking action now is more valuable than collecting and analyzing data
We talk a lot about proactive versus reactive recruiting strategies. The foundation of becoming more proactive is being able to make adjustments to your current recruiting strategy based on data, and that doesn’t necessarily have an immediate pay-off. It’s a long-term strategy that elevates performance week over week or month over month, and it all starts with collecting data.
Recruiting leaders need to stop thinking only in terms of quick wins, because it’s exactly that mindset that’s hurting performance in key metrics like time-to-fill, cost-per-hire, and overall quality of hire. A recent study showed only 22% of HR professionals considered themselves to be reactors, whereas 43% of senior leaders outside of the HR function considered HR to be reactive.
It’s difficult to get the respect needed with this type of disconnect in perceptions, and the quick-win mentality is one of the main causes.
2. It’s too technical and complex to get the recruiting data needed
In today’s connected world, there’s an abundance of data—in fact, according to IBM, almost 90% of the world’s data was created in the past two years.
The data is there, it’s just a matter of going out and finding it. If you’re starting out with a more manual approach to performance management, then it makes sense to dedicate time each week to collecting information, but in reality the short time that takes will be completely off-set by the benefits of doing it.
However, if you’re taking a more next-generation approach to performance management, you may leverage recruiting analytics software, which will automate data collection and leave more time for analysis. This virtually eliminates time required to collect data.
3. Only large companies benefit from recruiting metrics and analytics
Continuous improvement, the concept of making measureable gains over time, applies to companies and teams of all sizes.
If you’re investing resources into some strategy like social recruiting or a set of job boards, then there’s only one true way to understand the impact of or return on those investments. Taking the time to set a performance baseline and process for collecting and analyzing data is the gateway to getting more out of the resources—and that’s not limited to company size.
4. It takes too long to monitor and analyze recruiting metrics
Every company will have it’s own method for monitoring and analyzing performance, but ideally you’ll have a number of role-based and team-based metrics.
Role-based metrics may be used to inspect performance of an individual relative to his or her peers, which is often beneficial in situations like recruiting where numerous professionals have similar functions.
And team-based metrics can show trends in the collective efforts of individuals as well as the performance of your broader recruiting strategy and technology over time.
Again, the time taken to monitor and optimize recruiting KPIs is far outweighed by the benefits of doing so—and dedicated analytics tools can speed up the process.
5. Recruiting analytics are just for highlighting poor performance
Across business functions, some of the greatest hesitation around becoming more data-driven relates to fear that numbers will highlight poor performance of your team or individuals on the team. This is a backward way of thinking.
Recruiting metrics and analytics are far more likely to point out potential areas for improvement on a strategic or individual level than be used as a tool to put professionals on trial.
6. Recruiting analytics software is more trouble than it’s worth
One of the greatest challenges recruiters have is getting data out of their Applicant Tracking System (ATS). A recent study showed that Almost two in three (64%) express some dissatisfaction with or plan to replace their current applicant tracking system.
From timing out while running reports to being difficult to navigate, the back-office legacy software just isn’t cutting it for lots of today’s largest companies. There are recruiting analytics solutions that sit on top of the ATS. This allows the ATS to still be used as a system of record, but the analysis portion is done elsewhere, in a more user-friendly environment.
Benchmark Data: A good place to start with performance management
We’re on a mission to look deeper into the hesitation companies face with recruiting metrics and analytics. We recently teamed up with Beamery to launch a research study exploring the industry’s metrics and analytics maturity. It takes no more than two minutes start to finish, and by participating you’ll both help provide an industry benchmark and receive an eBook detailing the results in several months.
We appreciate you taking the time. All responses will be blinded and aggregated.
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