Digital solutions and AI has revolutionised the business landscape in the last decade. Organisations are using smart digital solutions for achieving higher productivity at reduced costs. One area where AI is significantly making its presence felt, is recruitment. The Applicant Tracking System (ATS) was the most basic level of using AI for recruiting. Since its inception, the ATS has helped the recruiters by making their jobs easier and faster. It allowed them to track their open positions more efficiently.
The recent innovations in this field have gone up by several notches. These solutions leverage AI and machine learning to target the key pain points of recruitment.
Let’s look at some facts to understand the problems faced by organisations in hiring the right people.
- As per a survey by Careerbuilder, 50% of recruiters said they were facing difficulties in finding the right people with desired skills for their open positions.
- It is a misconception that open positions save money by reducing your payroll expenses. On the contrary, each open position can cost you $500 per day.
- As per Careerbuilder, recruiters receive around 250 resumes for each open position. Let’s assume that a recruiter has ten open positions to fill. Going by this figure, the recruiter would have to scan 2500 resumes! And we all know that ten is a conservative number for a recruiter’s job.
In this scenario, a recruiter’s job is not only stressful but can also cost the organisation a lot of money, if not done well.
The recent application of artificial intelligence in human resources has targeted these problem areas. The resultant solutions aim at automating a large part of a recruiter’s work which is repetitive and transactional. Due to this, the recruiter can focus more on the strategic aspects of the job. For instance, the recruiter gets more time to evaluate the candidates and build relationships with the hiring managers. More often than not, recruiters do not have an adequate understanding of the role as they do not spend enough time with the hiring managers.
What is AI for recruiting?
Artificial Intelligence for recruiting is the application of machine-learning and problem-solving in the process of hiring. The main objective is to automate repetitive tasks and streamline the process for a faster and efficient result.
With such transformative solutions, recruiters often wonder if AI will make their jobs redundant. The fact, however, is that AI cannot replace the human connection, which is an important element of recruitment. For instance, engaging passive candidates or expressing empathy can go a long way in filling those open positions with the right talent. Machines may become super-smart but cannot fulfil these requirements.
Uses of AI for recruiting
Several organisations around the globe are using AI for achieving astounding success in recruitment. Here is how AI is changing the face of hiring.
- Improving online applications – As per CareerBuilder, 60% of candidates quit their online application if it is too long. This defeats the purpose of using an online application platform. AI-powered conversational platform can resolve this problem by giving smart and intelligent features to the candidates. Moreover, AI-powered online management systems use keywords and word flows to enable enhanced tracking. These intelligent systems can easily sort through hundreds of applications and rank the resumes based on skills and experience. Due to this, recruiters can save several man-hours on manually scanning every resume.
- Identify the best candidates – Hiring the wrong candidate can prove costly to the organisation. The new-hire must not only be the right fit for the role but also for the organisation. Any lapses in judgement can cause reduced productivity and engagement. AI-powered tools that use gamified experience, predictive analysis and personality assessment can resolve this situation. For instance, predictive analysis can indicate the motivation of the employee to join the organisation. Similarly, personality assessments can help in assessing if the candidates align with the organisation’s culture and values.
- Expedite the shortlisting process – AI-backed solutions can act as virtual recruitment assistants. One of the ways of doing this is by using recruitment chatbots. These bots can be programmed to handle all kinds of candidate queries and increase the application rate. For example, a prospective candidate may want to know about the work-life balance before applying to an open position. The candidate may not want to ask such questions to a recruiter for the risk of being judged. Secondly, chatbots can be programmed to assess candidate profiles.
Impress has gone a step ahead in evaluating candidates using chatbots. Impress chatbots talk to each candidate after they apply to a position. The chatbot then ranks these candidates, thereby, reducing a considerable time and efforts on the part of recruiters. Impress chatbots can integrate with your existing systems and supercharge your current ATS. You can either push or pull real-time data by integrating the two systems. You can place a chatbot link on the job listing page of your careers website and take the candidate to the Impress platform for evaluation. The scores are then pushed back to the ATS.
- Hire remote workers – In search of better talent, several organisations are adapting to remote working. However, companies need to take extra precautions when hiring a remote workforce. They need advanced solutions to determine if these candidates can be trusted and have good work ethics. AI tools can effectively solve this problem by identifying potential threats. Some of these tools scan the candidate’s social media profiles and detect early warning signals.
- Video interviews – AI-powered tools can schedule and hold the first round of video assessments. The recruiters can program these systems to ask profile-specific questions. Based on the responses, these tools can shortlist the relevant candidates. The recruiters can go through the interviews at their convenient time, and gauge the candidate’s communication skills and expertise in the domain. This can considerably reduce the workload of recruiters. Impress can integrate with third party video interview platforms for these assessments and provides scores in real-time.
- Advanced analytics for better hiring decisions – Apart from automation, analytics is another solution for effective hiring. Analytics can give valuable insights to make hiring more effective. For instance, analytics can be used to identify the best sourcing channels. Or, it can recognise the best consultants who deliver with the best turnaround times. Such data-driven inputs can help in making crucial hiring decisions for a higher success rateI
How can AI transform the role of a recruiter?
For long, recruiters have worked with a long list of endless tasks. They have to write and post job descriptions, engage candidates, schedule interviews, roll out offers and onboard the new-hires. Through automation and smart features, AI can become a recruiter’s friend. AI-backed tools can reduce their workload by taking care of repetitive and volume-heavy tasks.
As a result, a recruiter’s role will grow and focus more on the strategic aspects of the job. They can even help the line managers in making better hiring decisions through their insights and knowledge of the industry.
What are the benefits of AI for recruiting?
- The first major advantage is that AI will transform the role of recruiters. In due course of time, recruiters will start focusing more on pro-active hiring and add more value to their organisations.
- Secondly, businesses will value the contributions of recruiters even more. Analytics such as ‘quality of hire’ or ‘best places to hire’ will further strengthen the relationships between hiring managers and recruiters.
- AI can eliminate unconscious bias in the workplace. More often than not, hiring managers and recruiters are not aware of these biases that impact the selection of the right candidates. For instance, Impress uses a system where each candidate is assigned a number and is unable to differentiate based on gender or caste.
- AI-powered tools can be used to share regular status updates with the candidates. Applicants appreciate when they are in the loop and know what is going on. Regular updates can keep up their engagement can increase the conversion rate.
The use of AI for recruiting is leading to a breakthrough transformation in the field of hiring. The recruiters’ role will evolve to have a more strategic bent. Moreover, organisations will be able to hire the best candidates at reduced costs.