The ultimate fight for efficiency in recruitment.
There's a fierce competition raging in the HCM technology space. Organizations are promptly evaluating and implementing the latest tools to manage everything from talent acquisition and onboarding, through workforce management and payroll. Smart companies realize in order to attract and keep top talent, and convert job applicants to happy employees they must adopt solutions that ensure a quality candidate experience while streamlining the recruiting process in totality.
Applicant Tracking Systems provide HR with:
- A software application that manages candidate recruitment.
- Automation done with less manpower
- More filtered data in less time
- Saves effort, time and money
- Develops a talent acquisition road map
- Successfully develops a recruiting road map
Automation done with less manpower
Implementing a quality ATS can help reduce manual tasks required by the HR team and automate a vast majority of the hiring process. Recruiters can post a job in the ATS once, and mass distribute the opening to job boards and social media channels. Once a job is saved to the system, copying the job and reposting can be as simple as clicking a button. Candidates automatically receive an email when they complete an online application and can receive email updates as they move through the evaluation, interview, and onboarding stages. Internal team members can easily send, track and manage candidate and hiring manager communications in the ATS.
More data in less time
This empowers employees and managers with useful information, allows HR to quickly and efficiently manage high volume candidate-flow, and weeds out those candidates who are not suitable for the posted job, automatically. The real end-result of automation is to improve data quality and make organizations more effective by delivering better reporting and analytics.
Saves effort, time and money
It's no secret that a modern applicant tracking system makes posting, maintaining, and managing requisitions a simple process. Cross-posting jobs on multiple internet sites, job boards and social media sites like LinkedIn, Facebook, and Twitter are integrated to save time and reduce costs.
Develops a talent acquisition road map
The ATS enables HR to define the recruiting process, as it relates to direct candidate applicants. Flexibility in the cloud allows company recruiters to work from anywhere with direct access to the system. Processes are defined for repeated use and ongoing efficiency.
Vendor Management Systems provide HR with:
- A web-based system to manage relationships and candidates submitted by third-party recruitment/staffing companies.
- Immediate reduction to the bottom-line costs associated with outsourced talent acquisition.
- Relief from Vendor cold calls and unnecessary communication that disrupt HR workflow.
- Streamline the recruiting process interface with Vendors.
- Ensures organizational legal compliance while mitigating risk
- Complete management of the recruitment function.
When implementing a VMS, organizations can effectively decrease the expense of working with staffing agencies through the standardization of their contracts and pre-negotiated terms. When a Vendor logs in to the vendor management portal, they gain immediate access to full-fee job orders, and can submit their best matching candidates. Employers can review applicants through the system, and provide feedback to their Vendors without picking up the phone. The status of candidates is quickly updated within the VMS, so recruiting Vendors remain aware of the process, every step of the way.
Relief from disruptions in HR’s workflow
Nothing brings progress to a halt like unnecessary phone calls and emails. Companies who implement a Vendor Management System are excited about the profound effect usage has on HR department productivity. By leveraging a VMS, human resources has more time to focus on other important activities and remains on top of pressing tasks.
Streamline the recruiting process interface with Vendors
Can you describe your recruiting process in one sentence? How many decision makers are involved in working with a new staffing agency? Who are candidates submitted to, and how long does feedback take? When you implement a VMS, your company drives the process-instead of allowing your Vendors. As the employer, you log in to one portal to review and evaluate resumes, accept or reject them, and move candidates through the hiring process. Vendors have the same, markedly improved streamlined experience.
Mitigate risk and maintain legal compliance
Working through most VMS providers ensures organizations maintain OFCCP and EEOC compliance. Since Vendors must agree to the hiring company’s terms and conditions, the legal department and corporate attorneys are happy.
Complete management of the recruitment process
An ATS helps companies manage their candidates and maintain a simplified and automated means to hire. The VMS serves as part of a two tiered approach to a more comprehensive recruiting process. Many vendor management systems integrate with applicant tracking systems, but the key is to find a service provider that works in tandem with it, without high upfront costs.
What are the top drivers of Human Capital Management Technology Adoption?
According to a recent study conducted by the Brandon Hall Group, 45% of all organizations implement either an ATS or VMS to alleviate the burden of manual tasks from HR, and 41% do so to gain access to more useful reporting/analytics. The fact that these technologies drive the costs of delivering HR services was important to 34% of the companies surveyed.
Reasons to Implement and Best Practices
|Applicant Tracking System
||Vendor Management System
|When setting up your ATS, remember that
EXPERTS ARE KEY. Have an expert on your team who can design workflows and who has field experience.
|Keeps your process Vendor neutral
|Write your ATS workflows with the end in mind.
||Lines of communication are open between the Vendor and HR/Hiring Manager, once candidate meets minimum requirements
|Setting up your ATS requirements too rigid and marking specific fields as “required” might compromise finding the perfect candidate and deter the apply process from completion.
||Cost savings are the result in improved back office efficiencies instead of using the VMS systems to drive down bill rates to unworkable levels. (Drives competition for top talent)
|Allow for automated requisition approval and job posting.
||Don’t allow the system to overly reward quick submittals and the number of submittals.
|Top ATSs now offer "social registration," which allows candidates to login using their Facebook, LinkedIn, or other social credentials. Not only does this save time in keeping track of passwords, but it also can parse many of the required fields such as name, title, and even employer history.
||Put Service Level Agreements (SLA’s) in place with the hiring managers. Managers should be required to provide proper feedback within a specified time period. Otherwise recruiters are reluctant to work on these openings.
|ATS providers offer parsing services to extract information.
||Enter only real and thorough Job Orders.
- They must be funded and ready to be filled.
- Must contain details on the required skill set and the desired skill set.
- Must contain rate/duration if contract, and salary/career path if perm.
|Proper configuration of the ATS can have a big impact on the apply process.
- Must be kept up-to-date. If you think you have enough submittals, put the position on hold. Close the position once a candidate has been identified.
|Automate approvals, screenings, notifications, routing to managers, and rejections.
||Advertise your success and let the vendors know what happened with a position.
ATS vs. VMS – A fight to the finish, or a comprehensive two-tiered recruitment system?
Companies looking for ways to increase productivity and move ahead of their competition in the war on talent should institute both an ATS and VMS. Both increase organizational effectiveness and empower companies to recruit better, faster, and more efficiently.
It’s not a question of whether your business needs an ATS or VMS, it's about finding complimentary systems that will catapult your company’s recruitment process to its most efficient state. According to the experts, consumer-driven trends like social, cloud and easy-to-use analytics are impacting human capital management. Progressive employers realize that it’s not simply a choice between implementing an applicant tracking system or a vendor management system—it’s about finding the right two systems that drive business results and put them ahead of their competition in the war for talent. When evaluating the two systems, evaluate the cost associated in usage and implementation, review features and benefits, and make a sound business decision that will benefit the size and scope of your organization.
Research Summary: HCM Technology Trends 2015 / Brandon Hall Group Member Center (Research Summary: HCM Technology Trends 2015 / Brandon Hall Group Member Center)