recruitment-cost

All you need to know about cost per hire and how to calculate it.

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Organisations are continually trying to enhance their processes to achieve higher efficiency and productivity. With advanced analytics at their disposal, organisations are increasingly making use of metrics and key performance indicators towards this effect. Apart from being objective about the processes, these metrics can also help in making informed decisions. One of the most crucial areas where such analytics can make a huge difference in recruitment. While it is one of the most significant elements of an organisation’s success, recruitment is also one of the costliest ones. Cost per hire is valuable in evaluating the efficiency of hiring at an organisation. It helps organisations with a bird’s eye view of the wellbeing of their recruitment function.

Hiring a new employee involves several direct as well as indirect costs. For instance, work hours, advertisement costs, candidate travel expenses are a few direct costs. On the other hand, are expenses like work hours lost in interviewing or onboarding the candidates that comprise the indirect expenses. Keeping a tab on cost per hire can allow the organisations to spend their money in the right places.

As per a survey by SHRM, recruitment accounts for 15% of all HR expenses. Cost per hire becomes all the more relevant in light of such high costs that are attributed to hiring new employees. Apart from being easy to track, the metric also helps in understanding the ROI of recruitment efforts.

What is the cost per hire?

In simple terms, cost per hire is the average amount that an organisation spends on hiring a new employee. Earlier, organisations followed different formulae and processes to calculate this metric. However, SHRM proposed a standard formula in 2012 in association with the American National Standards Institute to calculate cost per hire. 

cost per hire

Here is a breakdown of what constitutes internal and external recruiting costs.

Internal Costs of Recruiting

As the name suggests, the internal costs of recruiting refer to the in-house expenses incurred by an organisation for hiring new employees. It is a sum of the resources and efforts that a hiring department spends on recruitment.

It may include the following:

  • Salaries of the permanent and contractual recruitment team members.
  • Learning and development costs of the hiring team.
  • Incentives for referrals.
  • Total work-hours spent by the hiring managers in recruitment. For instance, if the hiring managers spend 15% of their time in hiring, you may include 15% of their salaries for this calculation.

External Costs of Recruiting

An organisation may liaise with various vendors for efficient and productive hiring. The external cost of recruitment includes the expenses that an organisation incurs to work with these vendors. Here are a few examples of such external costs.

  • The expenses incurred for working with recruitment consultants who support in fulfilling the organisation’s hiring mandates.
  • Hiring may become an arduous task without software like Applicant Tracking System and Candidate Relationship Management System. You may add the price of software and the amount you spend on their maintenance to the external costs. Chatbots are the latest AI-powered tools that are helping companies reach their hiring goals. For instance, chatbots offered by Impress can fast-track the applicant screening process and also identify the most qualified candidates..
  • Expenses incurred on candidate background and health checks.
  • Occasionally, organisations have to spend extra time and resources to lure the candidates. While one candidate may be looking for relocation expenses, another may want a signing bonus. All such expenses come under this header.
  • Travel costs for hiring managers and candidates are also included in external costs.

At times, candidates need some training to excel in their respective roles. Campus-hire training program is an example of this. However, such training costs are not added to the recruitment costs.

How much should be the cost per hire?

Well, there is no standard or ideal response to this. The cost of hire may vary depending upon your location, job role, leadership level, and the hiring source. Or else, it could be specific to your organisational products and services. However, as per a survey by SHRM, the average cost of hire is somewhere around $4,425. The amount can go up in case of hiring for leadership positions. Firstly, they are harder to find and convince. Secondly, they may have to meet multiple people for organisational buy-in. Thus, a company must not strive for a lower cost per hire. Instead, the aim should be to arrive at a cost per hire which can give you the best recruitment results. For instance, it may make more sense to opt for an expensive vendor who facilitates the most qualified candidate with a faster turnaround time. Although the initial expenses may seem more, the long-term returns will be much higher in such cases.

Why is it important to calculate the cost per hire?

As seen above, the intention to calculate the cost per hire is not to reduce it. However, it is a metric that finds its use in calculating the recruitment budget. It can help in workforce planning at the start of a year. It is particularly handy in the scenario when the business is expecting a slowdown. The company can work out the hiring numbers, and not strain the overall financials.

Moreover, you can also follow a few best practices and use cost per hire to improve your processes and boost your strategic planning. 

  • Always include the same set of variables while calculating the cost per hire. This practice will give you more clarity when you compare the year-on-year costs. For instance, several companies encourage their business managers or leadership to visit business campuses to promote their employer brand. If it is a new program, it is advisable to refrain from including it. 
  • Don’t get hassled if you see a considerable increase or dip in your cost per hire. The sharp increase could be due to a new software investment. On the other hand, the steep decline could be due to a hiring freeze. Instead, make it a practice to measure the cost per hire regularly. You can either choose to do it quarterly or yearly depending upon the size of your organisation and the quantum of hiring efforts.
  • Use these reports for defining your hiring strategy. It may make more sense to use this cost per hire with other key metrics like quality of hire and time to hire. Consider it to be a positive trend if you see your cost per hire is increasing and the quality of hire is improving. It is perfectly reasonable if you are spending more money to hire better-quality candidates. Such a trend would mean that your organisation is spending less money in the long term. 
  • Evaluate and analyse your cost per hire according to departments and levels. Niche roles and higher levels will generally have a higher cost per hire. The trends may help in strengthening your processes to hire for these particular areas. For instance, one sourcing method may give you better quality candidates for a particular department at a lower cost per hire. Such analysis will help you in selecting the best sourcing avenue for that department. Similarly, you can calculate the cost per hire as per different variables for an impactful strategy.

To conclude

Cost per hire is an important metric that can give you deeper insights into your hiring strategy. Firstly, it encourages you to account for all the internal and external costs that go into hiring employees. You may be in for a surprise if you haven’t been tracking them before. Secondly, it can help in rationalising the leadership expectations from the hiring team. It is often seen that there is high pressure on the recruitment team to reduce the costs while ensuring the quality of new hires. Such metrics may provide more clarity and set their expectations.

The goal here is not to reduce the cost per hire. Instead, the focus should be on using the metrics to improve the current process. For greater efficiency, it is advisable to use cost per hire with other metrics to identify the weak areas in the hiring process. The final aim should be to optimise costs keeping in view the quality as well as the time of hire.

Impress AI chatbots can considerably optimise your cost per hire while improving the quality of hire. Firstly, the chatbot can be used to screen every applicant who applies for the job and identify the most qualified candidates. You can significantly reduce your work-hours as the hiring team won’t have to manually sift through all the resumes. Moreover, the chatbot can manage candidate queries and free your hiring team to focus more on the strategic aspect of their jobs. The chatbot is customisable to handle your organisation-specific or role-specific requirements.

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10 Recruiting Trends for 2020

top 10 recruiting trends for 2020

In the ever-changing world of HR and Recruitment, 2020 is going to be a remarkable year. The current landscape of fierce hiring competition and the millennial workforce will call for a fresh perspective at recruitment strategies. AI and automation are no longer matters of the future. They are here, and the early-adopters will begin to reap their benefits. It will also clear the path for the recruiters to contribute more strategically in their jobs. The recruiting trends for 2020 will also focus on innovative solutions to make up for the prevalent skills shortage in the market.

Impressive candidate experience

The candidates today expect to be treated at par with the customers. They seek a high level of engagement with frequent two-way communication. Recruiters will have to relook at the hiring journey and ensure that it is a convincing one. Better candidate experience will not only help in engaging passive candidates but also reduce the voluntary dropout rates. 

2019 survey tried to explore the expectations of the candidates when they apply for a job. Firstly, the candidates expect an easy, quick and straightforward application process. A lot of candidates are known to quit the application process if it too lengthy or cumbersome. Secondly, the survey indicates the growing acceptance and comfort with video interviews among the candidates. Lastly, the candidates expect a high level of engagement from the recruiters. They want deeper conversations about the roles and the organisations. Moreover, they also want regular updates about their application status.

More and more organisations will take to automation and technology for creating a seamless and satisfying candidate experience. Impress AI is a powerful tool that can help organisations in this regard by enabling intuitive chatbot conversations and video interviews. Both these features can be customised as per organisation-specific requirements. The intelligent chatbot can handle complex queries regarding the company and the job. Moreover, it can be used to evaluate and rank qualified candidates. The platform can be linked with video interview platforms for adding another level of online assessments. It can assist in creating a highly-efficient and automated screening system. You can click here to request a demo.

enhance candidate experience impress.ai


Greater flexibility 

Employees expect organisations to be more accommodating and want more flexibility at their workplace. A survey found that 80% of employees would be more loyal to their companies if they were offered flexible jobs. They cite different reasons for this, ranging from maintaining a better work-life balance, avoiding office distractions and reducing the office commute stress. Candidates view their recruitment experience as a precursor to their time as an employee. For this reason, it becomes imperative for organisations to offer a certain degree of flexibility in the recruitment process. For instance, Impress AI offers a high level of versatility in the hiring process. It enables the candidates to take the online assessment at the place and time of their convenience. Moreover, they can stop the interview and restart at a later point in time.

Company culture will take the centre-stage

For long, organisations have focused on customers and providing the best services to them. However, 2020 will call for a change in their outlook as they will explore the idea of becoming more employee-centric. 

In these times of talent wars, candidates have easy and quick access to employee reviews on the internet. Most candidates prefer to visit these websites when they come across a lucrative job opening. As per a survey, Glassdoor found that 77% of candidates would consider a company’s culture when they are keen on applying for a role. Moreover, 73% of these candidates would proceed with the application process only if the organisational values align with their own. In this scenario, it has become imperative for organisations to revisit their mission statements and culture to deliver value to the employees. We are not talking about free lunches or ping-pong tables in the break-out zone. It is more about empowering the employees and giving them growth opportunities. This 2020 recruiting trends will require the C-suite executives to redefine their mission and culture statements.

Personalise Technology in HR

Every candidate is different, and so is every organisation. One technology or platform cannot suit every organisation’s objectives. For instance, one organisation may need technology to simplify its mass recruitment. Another organisation may need a platform for shortlisting relevant candidates for its niche positions. Impress AI has collaborated in the past with organisations to build chatbots specific to their roles and requirements. 

This initiative will again co-relate to enhancing the candidate experience as personalisation will become a major recruiting trend for 2020.

Automation will bring a strategic change

For long, recruiters have spent the majority of their time in operational tasks. These manual activities would leave them with little time to contribute strategically to their jobs. Automation, which is a significant recruiting trend for 2020, will shift the focus of recruiters to strategic aspects of their jobs. For instance, Impress AI chatbot can evaluate all the candidates who apply for a role and rank them as per their qualifications. It can drastically reduce the workload of recruiters and also improve the quality of hire. 

The recruiters will find more bandwidth for more meaningful work like building relationships with the hiring managers. More often than not, hiring managers can sense the disengagement of team members who are planning to leave. They can work with recruiters in advance to create a talent pipeline for crucial positions. Moreover, recruiters will also have more time for engaging candidates and deducing meaningful information from data.

Internal mobility

 Traditionally, recruiters have focused on external candidates to fill their open roles. However, as the skills shortage is becoming more prominent in the market, recruiters will have to assess the possibilities of internal hiring. Apart from keeping a track of candidates who show the promise of adaptability, recruiters will have to keep them warm for any future openings. External candidates may sometimes take 2-3 years to become productive in their jobs. In this scenario, companies will look internally for crucial roles that will require the incumbent to step up quickly. This strategy will also require closer collaboration between recruitment and talent management.

A data-driven approach to recruitment

One of the main recruiting trends for 2020 is the intelligent usage of predictive analytics to make crucial decisions. In fact, 71% of organisations already see the use of analytics as a high priority. In simple terms, predictive analysis refers to using past data to predict future hiring trends. For instance, it can be used to predict future hiring and skill requirements. Moreover, it can be used to evaluate the screening sources to indicate the most effective ones. Predictive analysis can also give accurate visibility of roadblocks that seem to be impairing the recruitment process. The main advantage of predictive analysis is the elimination of human error or biases from the recruitment process. Also, it will help in aligning an organisation’s people strategy to the overall goals. 

Collaborative hiring

One 2020 recruitment trend that is highly expected is the shift from traditional hiring towards team-based hiring. It is a type of recruitment in which cross-functional teams come together to hire an employee. It includes several stages of interviews in which the candidates meet members from other teams that they will be working with. This process not only improves the quality of hires but also bring everyone on the same page. Moreover, it will give a realistic picture of the talent market to the hiring manager. When multiple people are involved in the hiring process, candidates will also get a better picture of the organisation and its culture. 

Employee referrals

As recruiters will go back to the board to revisit their recruiting strategies, employee referrals will emerge to be one of the major recruiting trends for 2020. In a survey conducted by Careerbuilder, 82% of employers rated employee referrals above all other recruitment sources. They also said that employee-referrals gives them the best return on investment. Candidates referred by current employees not only tend to stay longer but also perform better. Organisations will work towards developing fast and easy employee referral processes to attract their employees to contribute more. Moreover, they will extend their referral programs to social media to maximise their reach.

Organisations will contemplate hiring for soft skills

For long, organisations have hired mainly for hard or technical skills. However, as markets foresee a considerable skills shortage by 2030, soft skills will become a 2020 recruiting trend to look out for. To account for this skill gap, organisations will shift their focus on hiring candidates who show a higher propensity to adapt. Organisations will have to consider the option of hiring for competencies such as collaboration, teamwork, agility that will uproot the system of hiring for the experience. We live in times when technology and roles tend to evolve quickly and an employee who is not able to adapt may not be able to deliver. Besides, as AI and automation will replace hard skills, organisations will be in a greater need for soft skills that cannot be emulated by machines. In order to propose and deliver new services to the customers, organisations will additionally lookout for skills like imagination, creativity and curiosity.

Recruitment is a constantly evolving field where it is necessary to react as per the market. These recruiting trends for 2020 will pave the way for future hiring processes and systems. However, enhanced candidate experience is something that will define this year as exceptional. 

Online interview preparation – Tips for achieving success

online interview preparation
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Online interviews have taken over the world of recruitment by a storm. There is a good chance of coming across them if you are looking out for a job currently. As opposed to face-to-face conversations, online interviews may seem like a different ball game altogether. Especially if it is your first one. It may seem awkward, and you may be afraid of goofing up your candidature. Well, you don’t have to be as here is a complete guide for mastering them.

What are online interviews? 

An online interview is a remote assessment where the applicant reads pre-programmed questions and submits the answers. Online interviews may use chat or video as the primary means of communication.

Off late, online interviews have become extremely popular with organizations due to the several benefits they bring to the table. Recruiters can program a set of questions into the system to assess the candidates who apply for a given role. The system evaluates the applications based on the responses and gives them a score. Recruiters can use these scores to shortlist the most qualified candidates.

Their main advantage is that they can considerably reduce the screening time. Since it is automated, every candidate who applies for the job gets an opportunity to appear for the first round of interviews.

What is the main objective of online interviews?

The principal idea behind online interviews is to identify the most qualified candidates from a sea of applicants. As per glassdoor, every job opening attracts around 250 resumes. Recruiters may not get the time to go through every application in detail.

An online interview is an automated process to assess certain competencies of the applicants. When these online interviews are coupled with AI, it can lead to tremendous results. 

What is the process of an online interview?

Online assessments are timed evaluations. It is advisable to begin the process only when the candidate is free from all distractions. Once the process starts, the candidate gets time to read the questions. The next step is to submit the answers in a limited time frame. Some platforms and organizations will give you only one chance to give your answers. However, a few others like Impress AI may allow you more attempts while giving answers. It is advisable to carefully read the instructions so that you don’t miss out any details.

How can you prepare for an online interview?

Just like a face-to-face interview, you need to prepare for an online interview as well. You may need to plan more things if this is your first experience with a digital interview. Don’t worry as we have this aspect covered for you. Read the tips given below to ace this round and progress to the next level of your dream job.

Know the company

In general, it is always a good idea to read about what a company does before you apply for a job. However, if you couldn’t do it then, make sure you do so before your online interview. Hiring managers always appreciate it if you come prepared for the interviews. Certain interview platforms like Impress AI go the extra step and share company details with the candidates. For instance, the candidate can get a link, videos or information about company goals, vision, and mission, Although it is part of their employer branding exercise, such information can be extremely helpful for the applicants.

Study the products and services that the company offers to its customers. Besides, you can also study the competitors to understand the competitive advantage that this organization has. You will easily get most of the information on the company’s website. Also, try to read up the blog posts to comprehend what is happening in the industry and how they are managing change with their new offerings.

You can also set Google alerts to stay updated with the latest news about the company. It will also help to read what the customers are saying about the company’s products.

Studying these aspects will make you sound like an informed candidate. Correlate how your qualities will support the organization’s vision. Try to quote examples from your research to clear this round with flying colours. Such inputs will make you seem like a qualified candidate who is well-informed and perceptive. 

Understand the culture

Learning about an organization’s existing culture is highly recommended to ensure that you are a good fit. This activity may seem time-consuming but will save you making a wrong career move. Besides, hiring managers prefer to select candidates whose goals and ambitions align with that of an organization. For instance, a company may be aggressive towards achieving its targets. This aggression may trickle down the ladder. The managers may expect similar behavior from their team members. In another case, a product-based IT company may value creativity and out of the box thinking to resolve their challenges. 

To know more about a company’s culture, you can visit online review sites. Of course, such reviews should always be taken with a pinch of salt. However, if there is a common sentiment running through the reviews, you may consider it to be a red flag. Another simple tactic is to go through your LinkedIn connections and contact the ones who have experience with the place. You can freely ask them questions to figure out if it is the right workplace for you.

Besides, online platforms such as Impress helps the candidates with a glimpse into an organization’s culture. The candidate can direct questions about the work-life balance, working hours, etc. to the recruitment chatbots on the platform and get relevant answers.

Appreciate the opportunity

As per a survey by Jobvite, only 1 in 6 candidates who apply for a job get the chance to make it to the interview. The concept of online interviews may seem new to you and in certain cases, unnecessary. However, these digital interviews provide every single candidate with a chance to make a solid case for the candidature. In several cases, the resume may not indicate if the applicant is qualified for the role on offer. In such situations, online interviews help applicants with an avenue to share their expertise and skills.

It is our suggestion to welcome the change and embrace the opportunity. Try to use these online interviews to your advantage by flaunting your skills. Give it your best shot and plan well to make it a success.

Understand the objective of the online interview

Consider an online interview as a primary assessment tool. Your resume may not do justice to your profile and capabilities. An online assessment is your window to flaunt and elaborate on your skills. The main purpose of online interviews is to reach out to every candidate to shortlist the most suitable ones for the next round. Video assessments may be used to understand if you are confident and can express your viewpoints cohesively and quickly. 

Prepare for the questions

Online interviews are structured interviews. These are the same set of questions that are administered to several candidates like you. Depending upon the role, these questions may want to check your managerial or technical skills. Here is a sample list for an online interview, although not a comprehensive one, to give you an idea.

  1. Educational Background
  2. Work experience related to the role
  3. Skills and expertise
  4. Notice period

Although the questions are pretty straightforward, it is a good idea to rehearse them before you submit your answers. After all, you wouldn’t want to miss out on any crucial details related to your candidature. It will also help to read your reply before pressing the ‘enter’ button. This can ensure that you provide complete information and your responses are free from any grammatical and spelling errors. Moreover, it is advisable to answer to the point to enhance your chances of success.

Other aspects

Chat interviews offer a lot of flexibility to the candidates and can be taken from anywhere. Most of the candidates use their mobile devices to take the test and answer the questions. If there is an additional video assessment, platforms like Impress AI ask the candidate if they would like to continue with it. The applicant is directed to the video platform only when the candidate hits the button to proceed. 

We would suggest you to pick the right spot if you are appearing for a video assessment. Make sure that it is free from any noise and visual distractions. To make sure that your video is perfect, you can make a trial video before you appear for the actual interview. Try to rehearse your answers in this practice session to understand if you are going wrong somewhere.

Another aspect worth paying attention to is your clothes. It is advisable to wear business formals to indicate your seriousness about the job. Of course, you don’t have to go overboard and can choose something modest and suitable for a business meeting.

Due to their several advantages, online interviews are here to stay. We encourage you to utilize this opportunity to your advantage. It is your chance to show that you are a deserving candidate. Use the tips given above to ace your online interviews with the utmost confidence and ease. 

hiring millennials

7 Strategies for Attracting and Hiring Millennials

hiring millennials

The millennials are considerably different than their baby boomer parents. They are far more ambitious and want much more from their lives. For instance, they do not comply with the traditional ways of working with one employer until retirement or compromising with their work-life balance. They also want to have a constant dialogue about their development and want to climb the corporate ladder more quickly. In the current scenario, this generation, born between the early 1980s and the mid-1990s, forms a significant portion of the workforce at an organisation. As companies work hard for retaining and hiring millennials, they often meet fresh challenges that throw them a curve. 

Let’s look at a few strategies that can help your organisation nail down this problem of millennial hiring.

1. Have a positive and wider online presence

Millennials spend almost 27 hours a week using online media. They do everything right from ordering their food to booking their rides using their phones. They trust user-driven content, and the situation is no different when it comes to applying for a job. They prefer reading feedback on employer review sites before making their decisions. They research these sites to understand what the current and previous employees are saying about the pay scale, benefits and the work culture of an organisation. While positive reviews may give them strong reasons to apply, negative comments may dissuade them from going ahead with their application.

So, how to hire millennials? For starters, you will have to make it a priority to have a positive and broader online presence of your organisation. You can even have a dedicated person to evaluate and respond to online reviews. There are several reviews out there that are entirely untrue or do not come from a past or current employee. In such cases, you can report them and have them removed. Secondly, as an employer, you get the opportunity to respond to these reviews. Your official reply will communicate a sense of responsibility to the readers. State a few action items that you will undertake to resolve the negative opinions and reviews. Lastly, these reviews can work as inputs for your HR initiatives. They are not very different from exit feedback as they can give you insights about your company’s culture. If the reviews have a common sentiment, you must treat it as an opportunity to learn and grow.

2. Offer a comprehensive package

Millennials are competitive, but they don’t value money much while accepting a job offer. They appreciate intangibles that a company has to offer. For instance, they will be more keen on benefits like extended paternity leave than perks like a car allowance. They look for a job that offers flexibility and work-life balance. They believe they should get paid leaves or the flexibility to leave on time if they perform well. Besides, this generation is also waking up to the issue of mental health and appreciate an organisation that supports this cause. Other than this, you can also offer better experiences within the office premises like beer bashes, cooking classes, yoga etc. for attracting millennials to your company. In short, as an employer, you need to talk their language to connect on a deeper level.

3. Personal and professional growth

Millennials are more willing to join an organisation that allows them to grow and invest in their growth. Millennials are liberal and not averse to taking risks. It is the main reason why so many of them are turning into entrepreneurs. They are more prepared to change their career paths if they see an opportunity.

Give them the chance to grow both vertically as well as laterally. Another thing that may help you is to understand that they do not respond well to the traditional way of receiving feedback two times a year. They want more consistent and constructive feedback discussions with their managers. It is even better if they can get a mentor who can guide them to grow in their roles. They feel more engaged and productive when they are moving forward and making progress. It may even help to support them financially for higher studies. With these changes, you will not only succeed at attracting millennials to your company but also win their loyalty.

4. Transform your work culture

Gone are the days when employees would punch in their cards or work minimum hours a week or were comfortable with hierarchy in their organisation. An open and flexible culture matters more to a millennial in the workforce.

Transform into a more casual culture where employees can move beyond hierarchies. You can also try to make your office space more inviting and comfortable. Encourage open discussions on an internal platform. Furthermore, millennials do not like being restricted to formal workwear. Allow them to wear business casuals on more days to see a difference. Try to build a culture of trust and self-management.

Millennials are a generation that takes its own decisions and dislikes micro-management. They will also be more attracted to a workplace that gives them the liberty to work from remote locations and deliver at their chosen hours. 

As per a Linkedin survey, the number one thing millennials want to know about your company is your culture and values. The survey also found that a staggering 93% of millennials are open to hearing about job opportunities, and 66% are willing to talk to a recruiter. It will help to include your culture and values in the first-time conversations to develop their interest in your organisation. 

5. Embrace Transparency

Millennials like transparency and appreciate being involved in strategy discussions. They also want to know how they are instrumental in their organisation’s growth. You can achieve this by communicating frequently and holding town hall discussions with the C-suite leaders.

As per a survey by LinkedIn, millennials like to work under strong leadership. 87% of the respondents said it matters to them if they can take pride in their employer. 70% of ones who said they weren’t proud of their organisations cited weak leadership for their negative answer. They will gain more confidence in their leaders if they can get free access to them and know what they are thinking about the future.

6. Change your recruitment process

Modifying your recruitment process and adopting a customer-centric approach can help you significantly in recruiting millennials. They like to be treated as customers as they are shopping around for jobs. These talented individuals know their value in the market and may lose interest if they are not engaged.

Firstly, they do not like lengthy or cumbersome application processes. Moreover, they prefer to be engaged right from the first phone call until they are on-boarded. Recruiters are under so much pressure of transactional work that they hardly get the time to invest in building relationships.

You can resolve this problem by using AI-powered tools to enhance your hiring experience. For instance, chatbots can answer applicant queries and provide all the right information. Applicants won’t have to wait for the recruiter to return their calls if they want to know something. Moreover, these tools can send them constant updates about the status of their application. Impress provides such tools that can not only ensure a better applicant experience but also reduce your recruiters’ workload.

7. Innovate

Millennials appreciate more efficient and streamlined processes. They prefer having information on their fingertips instead of having to contact someone and waiting for their response. It means you may have to revamp your finance, operations and HR processes. Provide your employees with a platform that supports self-service. Having information on their desktops will not only engage them but also enhance their productivity. You can also adopt the mobile-first trend. If there is an app for learning or improving processes, millennials are more likely to use it instead of the traditional methods. 

Apart from these, millennials appreciate genuine workplaces. They will see through it if an employer does not walk the talk. If you promise them something in your vision or mission and do not adhere to it, they are likely to get disappointed by that. To attract them, give them a complete package of attractive benefits, offer them an open culture and show your genuine interest in their growth. They will not only join your organisation but even spread a good word about you in their respective networks.

AI for recruiting – Your complete guide

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. 

What is AI for recruiting?

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.

  1. 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.

  2. 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. 

  3. 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 AI 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 AI 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.

  4. 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. 

  5. 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 AI can integrate with third party video interview platforms for these assessments and provides scores in real-time.

  6. 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 rate.
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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 AI 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.

Everything you need to know about Recruitment Chatbots

Technology is so intricately intertwined with human lives these days that it is difficult to imagine one without the other. It won’t be unfair to say that technology dominates our lives in ways one couldn’t have imagined earlier. With new advancements and cutting-edge innovations, technology is beginning to emulate the human mind and behaviour. Alan Turing, who is considered to be the father of computer science and artificial intelligence, once said that a computer would deserve to be called intelligent if it could deceive a human into believing that it was human. With intuitive chatbots, we can safely say that the time has come. Chatbots are being used in businesses in scenarios that were hitherto unheard of. More specifically, chatbots are helping in the growth of enterprises.

Apart from their various uses in transforming businesses, chatbots have found a special place in recruitment. Hiring, which was till recently, a conservative sector, has evolved in this new age of technology. Earlier the process involved the recruiters to write job descriptions, post on job boards and interview candidates. Applicants, on the other hand, had little say in the entire process and would have to wait endlessly to hear from the recruiter. However, in recent times the power needle has taken a full 180-degree turn and how. Companies are trying hard to woo skilled candidates to build a talented workforce. As per a survey by SHRM, a staggering 83% of HR professionals said they were facing troubles in finding the right candidate. 

In this scenario, when businesses are competing to attract talent, candidates expect a high level of engagement. They expect a seamless hiring process with complete transparency and regular feedback. Recruitment chatbots, coupled with AI, are supporting recruiters in improving the overall hiring scene. Let’s dig deeper to understand what recruitment chatbots are, how they work and the benefits they bring to the table.

What is recruitment chatbot?

A recruitment chatbot is an AI-powered tool that can converse like a human with the candidates. It can be defined more accurately as a conversational agent or a recruiter’s assistant. It is a software application that uses natural language processing and machine learning to understand a conversation and respond appropriately. 

Here are the tasks that it can do on behalf of a recruiter.

  • Greet a candidate on the company’s website and ask if the visitor is looking for any specific information.
  • Ask for personal information from the applicant so that the recruiter can contact at a convenient time.
  • Answer candidate queries and provide general information. The chatbot can be equipped to handle more complex queries about work-life balance, office timings etc.
  • Assist in the recruitment process by asking relevant questions related to experience and interest. This can be used to pre-qualify the candidates.
  • Scheduling the first round of interview.

What are the benefits of recruitment chatbots for an enterprise organisation?

Enterprise organisations have an immense scope of expansion. Needless to say, they cannot grow unless there is a corresponding growth in their workforce. This growth has to be both qualitative and quantitative for the organisation to become a market leader. This puts tremendous pressure on the HR department to recruit and retain a talented workforce. 

However, it is also a fact that HR professionals find it difficult to run HR processes efficiently due to lack of resources. SHRM corroborated this in their survey report of 2016.

A recruiter’s work responsibilities include a host of activities like:

  • Writing attractive and accurate job descriptions.
  • Screening a vast number of applications to pin down the most qualified candidates.
  • Scanning the market to find passive candidates who can perfectly fit into the open positions.
  • Engaging the candidates right from the first point of interaction until they are on-boarded.
  • Completing operational tasks like scheduling interviews, negotiating offers, rolling out offer letters and ensuring a smooth onboarding.

Amidst all this, the recruiter gets little time to give strategic inputs at the workplace. Moreover, candidates expect constant engagement or they may lose interest in the job. As per a study by CareerBuilder, 78% of candidates said they use their hiring experience to gauge how the company will treat them. In this scenario, one can only imagine the immense workload that recruiters get buried under.

Enterprise organisations, that at are the cusp of expansion, can benefit from chatbots in the following ways.

  • Saving time – Since a recruiter is burdened with so many tasks, there may be no time to engage prospective candidates and build relationships. As per Fornstack, 55% of recruiters lose 8 hours in a week to manual and administrative tasks. Chatbots can ease this challenge by taking on several of these tasks. For instance, it can handle candidate queries and schedule interviews. They can also be customised to take preliminary interviews and qualify candidates. This can, in turn, increase the productivity of recruiters.
  • Enhanced candidate experience – As per a survey by Allegis, 58% of candidates are comfortable interacting AI apps during the initial stages of the hiring process. Since the chatbot will be available 24X7, a candidate will always have “somebody” to talk to. This can drastically improve the candidate experience who regularly complain about low levels of communication. 
  • Reduced time to hire – The Allegis survey also found that 66% of candidates were comfortable with a chatbot scheduling their interviews. Considering this benefit, coupled with the previous one, the time to hire can be reduced drastically. 

Intelligent chatbot can be developed on Impress platform that can give you several benefits along with the ones mentioned above.

What are the challenges of using recruitment chatbots?

  • Language differences – People may use slangs or short forms while texting. It can become challenging to program a chatbot to understand all these variations. Impress, however, has solutions to cater to such localisation of the language.
  • Lack of emotional quotient – A robotic chatbot may defeat the purpose of using them. To bring in a human context, there has to be a mix of humour and slangs for building a better connect with the candidates. Digging deeper into this issue, Impress has personalised chatbots to deliver an emotional connect.
  • Unknown situations – Although chatbots can learn from their past experiences, they may still encounter unknown situations. They may not know how to respond in such circumstances and may even spoil the candidate experience. However, such occurrences may be far and few.

How are organisations using recruitment chatbots?

Impress has collaborated with esteemed organisations to develop their custom chatbots. Two such cases have been illustrated below. 

  • JIM – DBS along with Impress developed JIM to hire wealth managers more efficiently. Short for Job Intelligence Maestro, JIM has automated a significant portion of the hiring process by reviewing applications and collecting applicants’ responses for pre-screening questions. Besides, JIM can also conduct psychometric profiling assessments for further information. The main objective was to reduce the workload of recruiters so that they can give more strategic contribution and also to fulfil the demand for a vast number of wealth managers. This initiative saw a huge positive response from the candidates where 90% of them were satisfied with its performance. 
  • EVA – Impress worked with Ngee Ann Polytechnic to develop EVA to assess candidates in the early stages of the application process. The colleges receive about 4000 applications every year and it would take around 470 man-hours to go through the individual write-ups. EVA has reduced this time to 2 hours and simplified the screening process 

Apart from other benefits, Impress chatbot can offer further advantages like:

  • Scalability – Since it is based on technology, the chatbot can be empowered to hold several simultaneous conversations. This is an outstanding feature as a human can only talk to one person at a time. 
  • Eliminating human bias – Hiring managers and recruiters can inadvertently bring in an element of unconscious bias in the recruitment process. Such bias can cost hugely by losing some really talented candidates. Chatbots can remove human bias and support in building a diverse and inclusive workforce
  • Real-time response – As per careerarc, 65% of applicants said they rarely or never receive any information about their application. 51% of those who did say the response takes more than a month to come their way. Chatbots can give real-time responses and resolve such alarming situations. 
  • Automating FAQs – Candidates hesitate to ask certain questions to a human face. However, they are more comfortable talking to a bot that they know won’t judge them. Thus chatbots can effectively handle queries about working hours, work-life balance, leadership and culture.
  • Customisable – When it comes to bots, one size does not fit all. For instance, volume hiring is significantly different than niche recruitment. Impress allows you to customise your bots as per your role and organisation.

Impress has improved the hiring process considerably by achieving the following metrics*.

  • 75% reduction in time to qualify for a candidate.
  • 30% reduction in the cost of hire.
  • 30 minutes screening process instead of 7 days.
  • Increases the quality of hire by 2 times.
  • 95% of candidates had a positive recruitment experience.

Recruitment chatbots, with their several advantages, are here to stay. They are fast, intuitive and can certainly support an organisation’s recruitment strategies. We are still at a nascent stage in this technology and with time, chatbots are slated to get only better. 

* These metrics are based on the data collected from internal clients of Impress.

5 Tips for Recruiters to make Interviews more effective.

Organisations depend a great deal on recruiters in attracting and retaining the right talent. They play a pivotal role in bridging the talent gap and propelling the organisation towards success. Out of their several responsibilities, conducting interviews is perhaps the most crucial part of a recruiter’s job. An interview is a short window where the recruiter has to assess if the candidate is the right fit for the job and the organisation. Secondly, it is also the opportunity for the recruiter to promote the employer’s brand in the external world. 

tips-to-make-interviews-effective

Interviews are important as they give a glimpse of the organisational culture to the candidates and can influence their decision to join the firm. As per a survey, a staggering 83% of candidates said that they may not go ahead with a job offer after a negative interview experience. A negative experience can, thus not only dissuade a well-qualified candidate but also, land the recruiter back on square one. While a new recruiter certainly has a lot to learn, even a seasoned recruiter can benefit from adopting a fresh take on interviews. Here are a few ways in which a recruiter can prepare and conduct effective interviews.

1. Prepare for the interview

The life of a recruiter is constantly buzzing. Writing attractive job descriptions, engaging passive candidates, scheduling interviews, negotiating the offer and convincing the candidates. These are just a few responsibilities of a recruiter. Despite running such a busy schedule, a recruiter should always enter an interview well-prepared. Here is what goes into the interview preparation.

The life of a recruiter is constantly buzzing. Writing attractive job descriptions, engaging passive candidates, scheduling interviews, negotiating the offer and convincing the candidates. These are just a few responsibilities of a recruiter. Despite running such a busy schedule, a recruiter should always enter an interview well-prepared. Here is what goes into the interview preparation.

  • Clarity about the role on offer – It may help to spend some time with the hiring manager to understand the job responsibilities and expectations. It is a good practice to set a weekly calendar with the hiring manager to make this an ongoing process. This will help you in asking the right questions to ascertain if the candidate is the right fit for the job. Secondly, the recruiter must know the team structure to answer any hierarchy-related questions from the candidate. Lastly, it will help in understanding how the role will contribute towards larger goals of the organisation. Candidates always appreciate such transparency.
  • Study the candidate’s profile – As per a Careerbuilder study, 64% of candidates research about a company when they see a job posting. Since most candidates are walking-in prepared, they would appreciate a similar approach from you. Impress AI can provide deep insights about a candidate through their chatbot conversations and video interviews. For instance, the recruiter can go through the chat transcript to understand the candidate’s motivation to change the current job. Video interviews can give a glimpse of the candidate’s communication skills. These inputs can drastically reduce a recruiter’s efforts.
  • Prepare answers for possible candidate queries – Most common questions could relate to the financial compensation, work-life balance and growth opportunities. 
  • Know the next steps in the interview process – Let the candidate know if there are any online assessments, assignments or further rounds of interviews. This will help the candidate to work out his calendar in the following days.

2. Opt for structured interviews

Let’s be honest. One hour is not enough to gauge how the candidate will perform on the job. It becomes all the more difficult when recruiters and hiring managers step inside the interview room unprepared. There is no greater folly than relying on one’s judgement to assess a candidate. Secondly, several biases can also lead to wrong decisions. Recruiters can eliminate these problem areas from the interview process through structured interviews. This approach will allow you to be more objective and ask the same set of questions to every candidate. To make it more effective, you can note down the responses and evaluate the applicants relatively. Google, known for its hiring success, has been using this technique for years now.

3. Ask open-ended questions

Interview is not the right method to assess candidate on-the-job performance. Instead, the main focus of the recruiter should be to understand the behavioural aspects of the candidates. For instance, the motivation to change the current job, teamwork capabilities and communication skills. The best way to assess such qualities is by asking open-ended questions. Ask for instances to know about past experiences and performance. Often, the recruiters may have to read between the lines and get the answers they are looking for.

4. Be engaged during the interview

The recruiter carries a huge responsibility of being the face of the organisation to industry talent. Thus it is all the more essential for the recruiter to foster a positive interview experience. This cannot be achieved unless the recruiter is present, both physically and mentally, throughout the interview process. First and foremost, the recruiter must turn off the cell phone to give full attention to the candidates. Secondly, the recruiter should practice becoming an active listener. This will help in asking follow-up questions and expressing a genuine interest in the candidate’s application. Most candidates will come prepared for the opening questions. However, it is the follow-up questions that can give more clarity about the candidate’s behaviour patterns. Thirdly, the recruiter should be enthusiastic and display a passion for the job and organisation. This will leave a positive impression on the candidate and enhance the prospect of job offer acceptance.

5. Prepare the offer

If you are gearing up for the last round of interview, it would be a good idea to have a ballpark figure in your mind. Discuss the offer with the hiring manager before the interview so that both are on the same page. To arrive at a reasonable and acceptable offer, ask for all the relevant documents and understand the candidate’s expectations.

These simple tips can make a huge difference in making interviews more effective and garnering positive outcomes. Besides, they will also help the recruiters to gain valuable experience and accelerate their growth.

How can technology help in building a Diverse and Inclusive workforce?

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The last couple of years have seen a singular focus on diversity and inclusion in this highly-volatile business world. And for good reason. A diverse and inclusive workforce can improve profitability and deliver better business results. Besides, it can drive a company’s innovative strategies and give it a competitive advantage.

This is the reason why all the major financial hubs like London, Singapore, New York, etc. have outperformed other urban cities. They enjoy extraordinary diversity as their population is a mix of different ethnicities and nationalities. Such a diverse mix brings enhanced creativity and economic results to these cities.

Boston Consulting Group surveyed 1700 organizations in 8 countries and found that diversity is picking up fast in the business world. They also found that companies with diverse management teams earned 19% higher revenues as compared to those with homogenous workforces.

Apart from achieving outstanding business results, organizations also view diversity as their way of giving back to society. Salesforce was the first to lead the pack when it appointed its first Chief Equality Officer. The motive was to give unadulterated focus on creating a diverse workforce and removing all kinds of biases. 

What is Diversity?

Workplace diversity refers to the practice of hiring a mixed workforce with employees belonging to different races, nationalities, genders and ages. It also means not discriminating employees based on their sexual orientations and disabilities. 

Diversity also means valuing different perspectives, experiences and knowledge bases. It is these differences that can pave the path for a company’s innovation and growth.

However, hiring a diverse set of employees is only a part of the strategy. The bigger challenge lies in making them feel comfortable and valued in the larger scheme of things. 

What is inclusion?

Inclusion refers to developing an environment of acceptability. It is valuing each person’s opinions and abilities. Inclusion also refers to creating a workplace that is free of any discrimination. The aim should be to encourage the employees to participate and contribute to their full potential.

Diversity and inclusion is a top-to-bottom strategy and must percolate from the top management. In recent times, it has become a key priority for business leaders. As per a study by Mckinsey, diverse companies outperform their industry by a huge differential of 35%.

How can technology help in Diversity and Inclusion?

Technology and AI are leading workplace innovations and more so, in HR. In this data-driven business world, technology has become the backbone for an effective and efficient HR department. Let’s look at how it can enhance the diversity and inclusion initiatives of an organization.

  • Eliminating Recruitment Bias – The biggest challenge of creating a diverse workforce is the bias that comes from the hiring managers. There are good chances that these biases are subconscious and they warm up to applicants who they can relate to. For instance, they could favour a candidate who belongs to their state or share the same political views. Since the interview process is largely subjective, it may be difficult to eliminate such prejudices. Technology-powered hiring tools can help in eradicating this issue. Firstly, these tools can scan a pool of applications and find the most perfect matches for the job. Secondly, video interview software can assess the candidates without any biases. Thirdly, chatbots can give behavioural insights about the candidates. These tools can flag any potential problems in the early stages of the hiring process and also make the entire process more effective.
    Having workplace diversity also gives an added advantage of higher offer acceptance. As per a survey by Glassdoor, this was an important criterion for both active and passive candidates. 
eliminate bias from hiring. impress.ai
  • Better Communication – When it comes to promoting diversity, employees need to know that they are being valued. They need to know their problems are being heard and that their ideas are not being shot down. It is only then that they will participate, come up with creative ideas and give innovative solutions. Technology can help in listening to their problems and understanding their motivations. Besides, digital spaces can help in the exchange of ideas and creating an inclusive environment.
  • Pay Parity – Gender pay disparities have rocked the entire business universe in current times. While some renowned business giants have come out and spoken about their internal pay gaps, the issue is more deeply rooted. To build a diverse workplace, it is crucial that every individual’s efforts are appreciated and rewarded appropriately. Data-driven tools can analyze and monitor the pay scales and flag such inconsistencies. Secondly, there are tools that study market data to understand the right salary ranges. This can help in eliminating pay scale differences between genders and ethnicities. However, technology can only give insights and patterns. Diversity initiatives can survive only when a cultural transformation is brought about.
  • Talent Management – One of the most crucial HR agenda is talent management. Right from figuring out the next line of managers to creating a succession line, these discussions can span over days. The biggest challenge is to not rely on gut feeling or letting internal biases come into the picture. The employees must be duly rewarded for their performance and potential. AI can analyze the data and give data points for crucial decisions.

Diversity and Inclusion is the way forward for organizations if they want to stay ahead and increase their profitability. Technology can play an important role in achieving this leadership agenda. However, the key is to bring a cultural change step-by-step. Although it has to come from the top, the role of middle management must not be neglected. After all, it is they who are involved in all the decisions ranging from hiring to promotions. They can become true change-agents towards building a diverse environment.

How can you change your Full-Cycle Recruitment with Artificial Intelligence

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What would you say if I were to ask you about the main drivers of your organisation? Some of you would say exceptional leadership drives your organisation’s agendas. A few others may say a disruptive strategy is what differentiates you in the market. However, if there is one driver that everyone will agree to, it is talent. Human capital can make a lot of difference in achieving your organisational goals. Perhaps, this is the reason why every company is on a fire-fighting mode to attract the best talent. Artificial intelligence has changed the game of recruitment and has resulted in a faster turnaround. With intuitive and smarter tools entering the market, hiring has become even more competitive. In this scenario, it has become crucial to relook at your full-cycle recruitment and adjust it to the changing environment.

What is Full-Cycle Recruitment?

As the name suggests, it consists of all the stages during the hiring process, right from identifying the talent gap to on-boarding the talent. Also known as 360-degree recruitment cycle, it consists of six stages – evaluating talent gaps, sourcing, screening, selecting, hiring and onboarding.

Large organisations have large teams that work together to handle this process. There are different recruiters to handle separate aspects of hiring. For instance, one person could be responsible for sourcing while another could be rolling out the offers. In the case of Small and Medium Enterprises, recruiters handle every step of the hiring process. Also known as full-cycle recruiters, they perform a whole lot of tasks in order to hire the best candidates. A full-cycle recruiter engages with a candidate right from the time a job is posted till the time the candidate joins the company. In short, they are solely responsible to engage the candidates and give them the best hiring experience. Full-cycle recruiters can play an important role in making the candidates productive from day one and also in their retention. 

Candidates start evaluating an organisation right from the time they view the job posting. The way the job description is drafted to the amount of information it gives to a prospective candidate can make a lot of difference. Similarly, every other step in the hiring process can either leave them with a lasting impression or disengage them.

Full-cycle recruiters, thus, have huge responsibilities on them. They have to prepare attractive job descriptions and post them on relevant job sites. They have to engage passive candidates and convince them to come for an interview. In addition to all this, they have to screen and shortlist other candidates, draft offer letters and ensure smooth onboarding. 

Unfortunately, recruiters spend a lot of time on transactional processes like scheduling and screening. They are left with little or no bandwidth for more strategic inputs. They cannot focus on enhancing the candidate experience by having more deeper conversations with them. As per a report from Careerswiki, 68% of hiring managers spend less than 2 minutes looking at a resume. Since recruiters are swamped with operational work, they cannot concentrate on these other aspects.

How AI is changing Full-Cycle Recruitment

AI is bringing a sea change in the hiring process by automating a large part of it. Secondly, data-driven projections and intuitive algorithms are ensuring future-readiness of the organizations. This has improved the hiring efficiency of organisations in two ways. Firstly, all recruiters are becoming full-cycle recruiters and secondly, they have more time to focus on the strategic aspects of their jobs.

Let’s look at how AI is changing every step of the full-cycle recruitment process.

A. Identifying the talent gap 

As per Mckinsey, one-third of senior leaders consider finding the right talent as a major challenge. 

This problem can be solved partly by predicting future needs and pro-actively scouting for talent. Talent gaps occur when existing employees leave your organisation. In other cases, the expansion plans of your company may result in additional requirements.

Then, there are predictive tools that monitor employees’ behaviours to predict their chances of leaving the organisation. These tools can be used to accurately spot the skills and talent gaps that may arise in the future. The idea here is to effectively plan for your future talent needs.

B. Sourcing 

Finding the right talent is a challenging job. For every job opening, the recruiters get a huge number of applications. It is humanly not possible to go through every application and assess them on the required skills. Secondly, there are several passive candidates out there who may be the more fit for the role. It can be quite challenging to engage these candidates who are satisfied with their current jobs. Both these challenges can restrict the talent pool.

AI-enabled sourcing tools allow the recruiters to easily identify the best possible matches in terms of skills and experience. AI makes it simpler to access a wider pool of candidates and recruiters can connect with them on the platforms that they prefer. Besides, AI-powered chatbots can handle candidate queries and result in better engagement rates. impress.ai offers highly-customizable chatbots that can also effectively humanize the conversations.

C. Screening

Having a larger pool of candidates is only half the problem solved. Recruiters need an effective way to skim through the huge number of applications and find the right candidates. AI-powered tools can also help in singling out the right person-organisation matches. Besides, chatbots can give a deeper understanding of the candidates’ motivation to join the company. Recruiters can look at these chatbot conversations to get a deeper understanding of their personalities.

impress.ai chatbots are intelligent and can be customised as per the recruiter’s requirements. The candidate responses captured on these chatbots can be used to know more about them.

D. Selecting

The traditional process of interviews is no longer the most effective way of finding the right candidates. At times, the hiring manager’s biases may hinder the selection process. Also, there are many under-qualified candidates with charming personalities who may come across as the right fit. Besides, interviewer biases can interfere while selecting the right candidate. impress.ai platform can help in eliminating these biases from the hiring process.

Selecting the right candidates requires an objective tool that can find a person with the right skill-set. Today’s times also demand a procedure to test if the candidate is the right organisational fit.It involves evaluating shortlisted candidates post-screening. AI tools aid the selection process through tests, gamified evaluations and personality questionnaires.

E. Hiring

When it comes to hiring the candidates, recruiters need to have a deeper understanding of their motivators. For instance, some candidates may be looking for better compensation while others may want a fast-track career. Personality questionnaires and chatbots can give a better understanding of this aspect.

F. Onboarding

Smooth onboarding can lead to higher productivity of the candidates. They will feel welcome into the organisation and will be more willing to contribute to their roles. They would like to come to a place that is prepared for them. This includes having a dedicated desk and a system. AI-powered tools can engage the candidates even before they join by giving them an e-tour of processes and organizational frameworks. However, the onus would lie with the recruiter and the hiring manager to bring in the human element in welcoming them with open hands.

These are dynamic times and there is no dearth of exciting opportunities for talented candidates. They will be drawn towards organisations that looks more promising in terms of culture and values. They appreciate if an organisation gives more consideration to their interests. With AI-powered tools, recruiters can engage with them on a much better level and offer what they are looking for.