The human resource department has its own functions and roles to play that can impact the overall performance of the business. One such function it needs to overlook is recruitment and like any other work or process, recruitment has to be measured for productivity.
So, how do you go about measuring the productivity of the recruitment process?
Recruitment metrics demonstrate the actual value of the entire process which is being employed and how it allows the business to perform in the near future.
Let’s take a quick look at the 10 recruitment metrics that matter the most.
Cost Per Hire
Businesses and companies allocate recruitment budget and without knowing the cost per hire it is hard to decide the recruitment budget. There are various factors that fall into this segment like the advertisement cost, agency fees, recruiter time, the amount of time manager spends on interviewing, candidate recruitment test expenses, lost productivity from the open position and the training cost of the new trainees.
Number of Candidates Hired
If the manager interviews 5-10 candidates per week and still hasn’t found the right candidates, then it indicates that there is something wrong with the recruitment process. Hiring manager usually should see two to three candidates for high-level positions to get the right candidate.
Source of Hire
The source of hire is also one of the important recruitment metrics that can influence the recruitment process. Recruiters must know from where the right candidates are coming, so they can spend their money on certain recruitment sources to get better results.
Recruitment Application Time
Bulky application forms can directly impact the number of candidates interested. It is recommended that you keep your application form short and crisp and focus only on certain information that you need.
Candidate Conversion Rate
When we talk about recruitment metrics, candidate conversion rate is usually taken for granted. A good recruiter is the most important person that should talk to candidates to determine if the candidate is right or wrong for the available position. The recruiter can make use of recruitment test and analysis techniques to improve company’s ability to maximize the quality of hire.
Overall Candidate Experience
Very few companies actually bother to understand and find out about candidate experience. Understanding how the candidates felt when going through the recruitment process & recruitment test can help you improve recruitment metrics in a better way. This can be done through surveys and email feedback and getting a negative feedback generally means that your recruitment process needs to be improved.
Time to Hire
How long does it take your organization to hire candidates? Most recruitment teams hire slowly and cautiously because they don’t want to make mistakes, but if your organization takes too long to hire a candidate chances are that the candidate might apply somewhere else in the meantime.
Are employees leaving the organization in 5-6 months? Employee retention metrics determine the recruiter’s ability to screen and hire the right candidates and setting job expectations early on.
Recruitment Test & Analysis
Recruitment test is also one of the critical recruitment metrics that matter because the test should be able to gauge the requisite knowledge, skills, expertise and experience of the candidates. These tests also focus on the areas of improvement and the basic behavior and competencies of the candidate.
Job Advertisement Effectiveness
How many candidates actually visit your firm’s career page? How many candidates apply for the job when you post information online? Compelling job postings with crisp and precise information can improve the quantity and quality of candidates you receive and is one of the important recruitment metrics that matter.
These 10 recruitment metrics provide a snapshot of a company’s recruitment and hiring process and allow firms to improve their overall recruitment process.