Have you ever wondered why your recruitment team is not able to fill the positions on time? Are there parameters that can be monitored and the results be improved?
There are many metrics on the basis of which recruitment progress can be measured. But, working and measuring each recruitment metric could be a tricky and full-time job. As we know most recruiters do not have the bandwidth to dedicatedly work on these metrics reports.
While maintaining and working on the recruitment metrics is one aspect, identifying the right metrics to track is another. Let us look at a few which are direct indicators of your hiring team’s health.
1. Time-to-Fill Report
Time to fill measures the timeline which is needed right from raising job requisition to candidate offer acceptance. The average time to fill is 41 days across all industries. But for any start-up or SMB to stay on top of it, you would require to fill the positions as soon as possible.
Do we have any parameter which is in the recruiter’s hand? Yes, it is. How?
• Candidate sourcing channels
• Candidate profile screening time
• Arranging interview tests and face-to-face rounds quickly
• Following up with the candidate on a regular basis
• Getting candidate feedback on time
• Offering offer letter on time
Working on these parameters consciously and making it possible to get this done in lesser time controls time to fill. To be on top of the tab, it is essential to maintain a record of each piece of data manually or with the help of a recruitment automation platform.
2. Attrition within the First Year
Onboarding the right candidate is important but setting up the right expectation is equally important. It is important to track the attrition rate within the first year. Along with candidate experience surveys and quarterly meetings with new employees, the attrition rate is a clear indicator of whether there is a gap between expectation and reality.
Every organization spends an ample amount of time and money to hire the right candidate. After hiring company spends on training and things which are required to perform their job. So, a higher employee turnover rate can mean higher costs and lost productivity for an organization.
How do you measure employee retention rate? Here are things that can be followed
• Turnover by department
• Turnover by role
• Turnover within a year of joining
• Turnover by retirement
• Turnover by position
• Voluntary turnover
• Involuntary turnover
So, it is important to focus on employee engagement. It is observed that engagement makes employees up to five times less likely to quit.
3. Cost of Hire
Cost of hire is crucial and helps an organization to be on track. If you aren’t tracking the cost of hire then there are chances that you might be losing on an important parameter of hiring.
Cost per hire can vary from organization to organization but it is stated by SHRM that the average cost per hire could be just under $4700. Sometimes, it can be higher based on the position they are hiring.
So, how do you calculate the cost of hire? There are multiple parameters that need to be considered which can be internal or external.
• Job board advertisements like sponsored posts etc.
• Job posting on various channels
• Maintenance of social channels i.e. Facebook, Twitter, and LinkedIn
• Recruitment automation platforms
• Assessment platforms
• Time spent on conducting the interview process
• Third-party recruitment agencies
• Background checks
Regular monitoring of these metrics can be eye-opening for the whole recruitment team and decision-makers.
Recruitment is dynamic in nature and attracting the right talent becomes equally important to them. To ensure recruitment is on track it is required to measure each action and analyze with data points. Every time this data provides actionable insights to remove obstacles and streamline the entire hiring process. Based on the given metrics it becomes easy to take data-driven decisions.