Category Archives: Recruiting Technology

Investing in Recruitment Marketing?

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“Over 70% of companies are planning to invest in solutions with recruitment marketing capabilities over the next 12 months.”

This is one of the opening quotes in Aptitude Research’s Recruitment Marketing Index 2017, a comprehensive review of the world of recruitment marketing. It’s fascinating.

The report, focused on providing essential information to enable the understanding of the recruitment marketing vendor space, doesn’t rank providers. Rather, it shines a light on the space and provides some organizing principles for understanding what’s happening in this dynamic and competitive space.

The report starts with an overview of the top 10 trends in recruitment marketing – and they may not be what you expect:

  1. The need for greater simplicity

  2. The opportunity in the mid-market

  3. The cost is justified

  4. Artificial intelligence is a must-have

  5. A different set of metrics

  6. ATS satisfaction increases with an RMP investment

  7. Services take two forms

  8. Recruitment marketing is an experience solution

  9. Companies want more use cases

  10. Inbound marketing is a differentiator

Early in the report, Madeline Laurano, Co-Founder & Chief Research Officer, defines a recruitment marketing platform as a platform that “manages outbound sourcing, inbound recruitment marketing, and employer branding. A recruitment marketing platform includes capabilities that maintain the employer brand, foster candidate relationships, and enhance messaging and communication efforts. The most critical capabilities in these systems include: Career Site, SEO, Employee Referrals, and Talent Communities/Networks.”

Simply put, it opens the top of the funnel and manages the interactions with talent in a robust and clear way that creates rather than destroys relationships.

The top four priorities of talent acquisition leaders when contemplating investments in their practices are these:

Aptitude Research 2

So, providers need to ensure that these four bases are covered. Thanks to Aptitude’s research, you can clearly understand which providers offer which capabilities. It is not surprising that improving the candidate experience is the top of the wish list – and a capability that is no long a “nice-to-have” feature.

The report is hefty, at 90 pages, but it’s a primer on recruitment marketing. If hiring more people – and more people who fit your organization better – is part of your remit, this report will give you the foundation you need to begin to put your strategies and plans in place. As usual, the Aptitude Research team has done a great job of both analyzing a critical part of the market, as well as  educating the HR professional on providers to consider.

 

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Filed under Aptitude Research Partners, China Gorman, Data Point Tuesday, Madeline Laurano, Recruiting Technology, Recruitment Marketing

The State of the Recruitment Industry

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I recently ran across this:  Global Staffing Trends 2017:  The State of the Recruitment Industry. This little report from LinkedIn would be easy to dismiss, but I encourage you to take a look. It’s written for search/staffing firms. Not for corporate or in-house talent acquisition folks. So unless you’re a third-party staffing firm, not so interesting, right? Well, I’d encourage you to take a look.

I’ve had issues with LinkedIn’s research before, but this is a pretty straight-forward and easy to consume report. Won’t take you 10 minutes to read. But if you’re an in-house talent acquisition professional, you should read this. The trend information is pretty interesting.

Here are the top 4 takeaways as LinkedIn defines them:

Staffing firms expect to grow in 2017.

68% of staffing firms expect the size

of their firm to increase in 2017. They

intend to hire more recruiters, sourcers,

marketers, and coordinators during the

course of the next year.

 

The volume of placements will increase.

79% of staffing firms will see an increase in

the volume of candidates placed in 2017.

Despite this, an overwhelming number of

recruitment firms say that they still place

candidates in 2 months or less.

 

Budget goes to traditional tactics, but

branding tops investment wish list.

While nearly 50% of budget goes to

traditional sources, if given unlimited

funds, staffing firms would prioritize

business development, branding and

investing in better sourcing tools.

 

Social recruiting, candidate diversity,

and screening automation are the trends

defining the future of recruiting.

Using social and professional networks to

generate new business and recruit more diverse

candidates are on top of recruiters’ wish list.

Another prominent trend is the automation of

the screening and hiring process.

So why should you care?

Well, staffing firms think you’re going to be hiring more people in 2017 and that you’ll use their services more than you did in 2016. That means they think their businesses are going to grow year-over-year. They are staffing up to meet your growing demand for their services and that could mean they’ll have fewer experienced and proven professionals working on your searches. You may need to stay closer to those firms and the assignments you give them to ensure that your brand is being represented well in the talent marketplace.

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While staffing firms think business will grow next year, they still expect to complete their assignments in two months or less. That’s interesting. Even if they do hire additional experienced staff, is it realistic to expect fast, great talent matches in the same period of time? Maybe. Maybe not.

Staffing firms would also really like to beef up their business development investments as a priority. So that means you’ll be called on more frequently by firms you’ve not engaged with previously. Gird yourselves for a sales and marketing onslaught.

And finally, understand what new kinds of technology your third-party recruiting firms are using to ensure that your brand is being cared for appropriately. Are you OK with the most of the steps in the funnel being automated? If you’re not, your search firm needs to know that. And if you are, how automated are those steps? And will they promise to eliminate the black hole in the search process?

If you use third-party recruiters, this report is interesting. How often do you get to see inside the budgets, investments, strategies and business planning of your providers? I think this information will help you manage these relationships and contracts, and help you create a win-win relationship with these mission critical partners. And make no mistake, any provider/partner/vendor who touches your talent is mission critical.

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Filed under China Gorman, Data Point Tuesday, Linkedin, Recruiting, Recruiting Technology, Recruiting Trends

Talent Acquisition Systems

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Aptitude Research Partners recently published a thorough analysis of the Talent Acquisition landscape. It is a thing of beauty. If you’re looking for an ATS, if you’re thinking about your talent acquisition processes, if you’re wondering who does what to whom in the talent acquisition space, this report is a must-read. It’s meaty, it’s thorough, it’s a complete overview of the providers in the space.

It identifies 10 trends that you must know if you’re tinkering with your processes and systems:

  1. The need for simplicity
  2. Interview scheduling is a “must have”
  3. Do not leave the platform
  4. Recruitment marketing is a critical investment
  5. Not enough candidate feedback
  6. Reporting must be simple
  7. Services integrated into the technology deal
  8. More collaboration between recruiters and managers
  9. High volume is still a differentiator
  10. The marketplace is confusing

While some of those topics are a little opaque, you’ll be glad you investigated them.

But my favorite part of the report was the graphic showing the full HR technology landscape. Take a look:

Aptitude Research 1

This is one of the best one picture overviews of the HCM landscape. While you’re working on the talent acquisition sliver. Don’t lose sight of the rest of the pie!

Madeline Laurano and her analysts have outdone themselves. And they’ve done you a big solid. Take a look at the full report. You’ll be glad you did.

 

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Filed under Aptitude Research Partners, China Gorman, Data Point Tuesday, HR Technology, HRM Technology, Madeline Laurano, Mollie Lombardi, Recruiting Technology, Talent Acquisition

It’s All About the Recruiters

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Jobvite’s annual Recruiter Nation Survey is out today. In its eighth year, the survey was conducted in July 2015 and completed by 1,404 recruiting and human resources professionals in a wide range of industries.

Much of the survey data is not surprising: use of social media tools by recruiters is strong and growing; referrals are still the most effective source of quality hires; hiring activity is up; the hunt for talent will remain or get more competitive in the next 12 months. No surprises here.

Here’s a surprise, though: only 4% of recruiters DON’T use social media tools in the recruiting process. But the tools used go way beyond Linkedin, Facebook and Twitter.

Jobvite 1 Sept 2015

While referrals continue to be the most effective source of good hires, the frequency that other sources provide similar results is interesting. It looks like job boards are the Scott Walker of candidate sources – they started out strong (57% of recruiters reported using them in the 2009 report) but are fading as time passes.

Jobvite 2 Sept 2015Buried on the last page of the survey analysis is some data that I found interesting having to do with what recruiters are putting in their budgets. With the rise of the RPO sector, and a seemingly robust executive search/staffing sector, only 13% of recruiters are increasing their spend in the use of outside agencies. That seems counterintuitive to me. Employment branding is the other category surprise with fully 46% of internal recruiters increasing their spend. That verifies that employment branding is a thing.

Jobvite 3 Sept 2015There are lots of vendor whitepapers out there. Many do a good job of sharing useful data and analysis that prove to be useful at the practitioner level while burnishing their corporate brand. This one does both. It also has some pretty terrific graphics and the visual style is engaging. It’s 16 pages long and is a quick read. Download it here.

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Filed under China Gorman, Data Point Tuesday, Employee Referrals, JobVite, Recruiting, Recruiting Technology, Social Media, Social Recruiting

The 2020 Workforce: Misconceptions Between Management and Employees

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Oxford Economics and SAP recently released the report “Workforce 2020: The Looming Talent Crisis” aimed at understanding the opportunities and challenges of the evolving workforce. The research is based on survey responses from over 2,700 executives and more than 2,700 employees in 27 countries. Understanding the core characteristics of “the new face of work,” as SAP puts it, is an important step in recognizing the opportunities and challenges that will come with it. SAP and Oxford Economics’ research identifies several key characteristics of the 2020 workforce, including that it will be an increasingly flexible one. Of executives surveyed, 83% cited that they plan to increase use of contingent, intermittent, or consultant employees in the next three years and 58% say that this requires changing HR policy. In addition to being flexible, the 2020 workforce will be increasingly diverse, and SAP advises that because of this HR leaders will need to become more evidence-based to deal with these realities. As of now, only 50% of HR departments state that they use quantifiable metrics and benchmarking in workforce development and only 47% say they know how to extract meaningful insights from the data available to them. This is likely part of what influences the reported lack of progress towards meeting workforce goals that many executives cite. Just 33% stated that they have made “good” or “significant” progress towards workforce goals.

SAP identifies technology as a key need for the evolving workforce that organizations are unprepared for. While this may seem obvious, in the U.S. just 39% of employees report getting ample training on workplace technology and only 27% report access to the latest technology. While it’s understandable that not all organizations can offer the most cutting edge technologies, a lack of sufficient training for the technologies that are in place could be seriously affecting employee productivity. Aside from technology, misconceptions about Millennials are another trend of the evolving workforce that SAP points out (and with the expectation that this generation will make up more than 50% of the workforce by 2020, any misconceptions are noteworthy). The research points out that while Millennials are different than other generations, they may not be as different as they are typically portrayed. According to executives surveyed, 60% believe Millennials are frustrated with manager quality but only 18% of Millennials say that they actually are. Additionally, 62% of executives report that Millennials will consider leaving their job due to a lack of learning and development, but just 31% of Millennials say they have considered this.

millenial-misconception

In terms of the emerging workforce, there may also be gaps between what companies believe employees want from them and what employees actually want.

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Perhaps not surprisingly, the most important incentive to U.S employees is competitive compensation (84%) followed by retirement plans (75%), and vacation time (62%). 39% of employees say higher compensation would increase loyalty and engagement with their current job. When it comes to attributes that employees think are most important to their employer, job performance and results is number one (46%), followed by the ability to learn and be trained quickly (29%), and loyalty and long-term commitment to the company (28%). This differs however, from what employers deem most important. The top three attributes executives want in employees are a high level of education and/or institutional training (33%), loyalty and long-term commitment 32%), and the ability to learn and be trained quickly (31%).

What executives and employees do agree on is that organizations are not focused enough on developing future leaders. Only 51% of U.S. executives say their company plans for succession and continuity in key roles and 47% say their plans for growth are being hampered by lack of access to the right leaders. Employees agree that leadership is a problem area, with just 51% of employees stating that leadership at their company is equipped to lead the company to success. Better learning and education opportunities will be key to bridging this talent gap. The need for technology skills in particular will increase in demand (e.g. cloud and analytics), although SAP’s data states that just 33% of employees expect to be proficient in cloud in three years. This statistic is slightly better when it comes to analytics, with 43% expecting proficiency in three years and almost 50% expecting proficiency in mobile, social media, and social collaboration. In terms of training programs, only about half (51%) of American executives say their company widely offers supplemental training programs to develop new skills. This aligns with employees’ perceptions toward training, with 51% reporting that their company provides the right tools to help them grow and improve job performance. Additionally, about half (52%) of employees say their company encourages continuing education and training to further career development.

Take a look at the graphic below that highlights the five major labor market shifts discussed. Are you beginning to think about shifting workforce development strategies for the future? Are you really sure what your employees think? Or are you making assumptions based on popular press reports that may not be founded on fact?

labor-market-shifts

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Filed under #HRTechTrends, 100 Best Companies to Work For, Leadership Aspiration, Leadership Challenges, Learning/Development, Millennials, Recruiting, Recruiting Technology, SAP

What are your Sources of Hire?

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A recent report from CareerXroads, “Sources of Hire 2014: Filling the Gaps” by Gerry Crispin and Mark Mehler, aims to continue the conversation about the data collection issues, source of hire trends, and challenges related to the recruiting supply chain. The report looks at 50 large firms (all with well-known brands) that filled 507,425 openings in the U.S. last year. This was the work of ~6000 recruiters and sourcers (80+ openings filled by each).

  • 4% of these companies had fewer than 1,500 full time U.S employees,
  • 8% had between 1,005-5,000 employees
  • 18% between 5,001-10,000 employees
  • 28% between 10,001-25,000 employees
  • 10% between 25,001-50,000 employees
  • 14% between 50,001-100,000 employees
  • 8% between 10,001-200,000 employees
  • 10% had more than 200,000 employees

An initial trend observed was that at 40% of these firms the Talent Acquisition function does not match the full ‘Scope’ of full time hiring. While 62.5% of the surveyed firms’ Talent Acquisition functions agree that they “touch or know about EVERY F/T hire or move,” 8.3% don’t hire for union positions, 18.8% don’t hire hourly workers in their manufacturing facilities, 16.7% don’t hire hourly workers for store level, 14.6% don’t hire for every function (i.e. field sales), 10.4% don’t hire for every location, and 8.3% don’t hire for every division.

Additionally, when asked about employees that are not full time (i.e. contract or contingent workers) firms noted that 1 in 6 employees (or 17.7%, weighted average) were contingent and generally not tracked by talent acquisition or talent management. We’ve seen the hiring and retention of contract workers increasing at many organizations, and while whether this is a positive or negative trend can really only be decided by how a company manages its contingent workers, CareerXroads does pose the question: “Do we even know where purchasing ‘sourced’ these ‘not-employees’? How can employers build strategy without oversight of ALL those who work at the firm?” If you’re at an organization that hires many contingent workers, it’s a good question to ask.

In terms of who is recruiting talent for organizations, recruitment process outsourcing seems to be a popular choice for organizations today. Over 50% of the firms surveyed in CareerXroad’s report stated that they use RPO services in some form:

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Are companies hiring globally? 80% of the firms surveyed report that they do hire globally, though only 41% state that they have access to source of hire information that would allow them to benchmark by country.

The #1 source of hire for organizations, though, is through internal promotion and movement. 41.9% of all openings are filled this way. Of the firms surveyed in 2013, 191,425 openings were filled internally. Interns are another interesting source of hire. Surprisingly, CareerXroads data highlight that organizations aren’t exactly seeing a strong ROI in this area. Only 32% of all interns organizations would want to hire after their internships accept positions. Other hiring trends that are continuing include incorporating sourcing (60.5% of organizations stated that they do have a separate full time sourcing group) and social media. With the rise of social media (and LinkedIn specifically) use of resume databases has declined. When looking at LinkedIn’s impact by sources of hire, it is perceived as a vital sourcing tool:

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Like the title of their report, CareerXroads offers some good data here to help “fill the gaps.” Keep this in mind when considering you organization’s approach to talent acquisition, talent management, and sources of hire.

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Filed under CareerXroads, China Gorman, Data Point Tuesday, Hiring, HR, Recruiting, Recruiting Technology, Talent Acquisition

Voice of the Candidate: Is Anyone Listening?

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Vendor survey results, reports and whitepapers are self-serving. We know that, right? But vendor survey results, reports and whitepapers can also be sources of insight for HR professionals – as long as they understand that there’s an agenda behind the publication.

I read a SilkRoad report on some survey results last week that I thought was interesting. I don’t know anyone at SilkRoad but they sent me a link and I clicked on it. And found this:  2013 Employment Marketplace Survey Results: The Candidate’s Perspective. And I found that their results line up well with the work that Elaine Orler and Gerry Crispin’s Talent Board is doing with the Candidate Experience Awards* (CandEs).

The “Voice of the Candidate” is getting more and more powerful. And it’s clear from these results – and others – that organizations winning the talent game are listening to that voice. Those that aren’t listening are missing out on some great talent.

The report is a quick read but here are a couple of highlights:

SilkRoad 1c

Companies that invest in the commonly accepted components of “engagement” are more likely to catch the attention of job seekers. Period. The top five selected (this was a “check your top three” questions) characteristics are typically found in definitions of engagement. For good reason, as it turns out.

And this:

SilkRoad 2

The report describes the results of this question as the “halo effect” of web-based recruiting technology. It’s not just about the efficiencies of using the web for recruiting – it’s also about the assumptions candidates make about the use of web-based recruiting technology. According to the results, the majority of survey participants indicated that they believe the use of web-based recruiting technology means that the employer is innovative and progressive.

There certainly are a number of HCM providers with web-based recruiting technology solutions – and more being introduced nearly every day. If an employer has the dual purpose of increasing talent acquisition efficiency as well as improving the candidate experience, then listening to the “Voice of the Candidate” is the right place to start.

*The CandEs will be announced at the HR Technology Conference, October 7-9, 2013 at the Mandalay Bay in Las Vegas.

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Filed under CandE Awards, China Gorman, Data Point Tuesday, Elaine Orler, Gerry Crispin, HR Technology Conference, Recruiting, Recruiting Technology, SilkRoad