{"id":1192,"date":"2012-08-01T17:42:19","date_gmt":"2012-08-01T17:42:19","guid":{"rendered":"https:\/\/www.bullhorn.com\/?p=1192"},"modified":"2019-03-02T08:50:41","modified_gmt":"2019-03-01T21:50:41","slug":"activity-ratios-math-thats-actually-useful","status":"publish","type":"post","link":"https:\/\/www.bullhorn.com\/au\/blog\/activity-ratios-math-thats-actually-useful\/","title":{"rendered":"Activity Ratios: Math That’s Actually Useful"},"content":{"rendered":"

Remember calculus? When\u2019s the last time you pointed at a placement you made and said \u201csee that? Calculus!\u201d Probably just a handful of times, right? Maybe some of the math you slept through in high school isn\u2019t completely relevant to your current profession, but let\u2019s take a closer look at one area of math that might help you close more deals: Ratios. \u201cIn mathematics, a ratio is a relationship between two numbers of the same kind, usually expressed as \u201ca to b\u201d or a:b.\u201d –<\/em> Wikipedia<\/a> In theory, ratios show you a comparison of two things. In practice, it can look like this:<\/p>\n\"Activity\n

The ratios of your various recruiting activities are important barometers of how efficiently you are working, as well as actionable information to improve your bottom line. Let\u2019s look at a couple ways that Activity Ratios<\/strong> can help you find wins. \u201cWhere\u2019s the easy money?\u201d<\/strong> Remember back during elementary school (or Freshman year, I won\u2019t judge) when you realized that 6+6+6+6+6 was the same as 6×5? Life got easier, didn\u2019t it? Ratios can make your life easier too by revealing how you can work smarter, not harder. Below is a sample data set of how many placements resulted from each client: As you can see, Verizon Communications is beating out AT&T to provide the most number of placements. So they\u2019re the best client for your business, right?<\/p>\n

Well, let\u2019s throw in a ratio of Job Orders to Placement<\/strong> on this chart:<\/p>\n\"Activity\n

 <\/p>\n\"Activity\n

Now you see how high that ratio is for Verizon compared to AT&T. It takes a lot more Job Orders for every placement made, meaning you have to work a lot harder for Verizon placements. So if you knew you had to work twice as hard for one client than for another, and deal revenue being equal, where would you want to spend more of your time? How much more effectively could you be working if you spent time on lower JO:placement ratio clients instead? \u201cWhy isn\u2019t Frank closing as many deals as Joe?\u201d<\/strong> Remember when you and your friends tried to copy off the smart kid in math class to ace that algebra test? Back then, that\u2019s called cheating. These days, seeing how your best employee works and copying his\/her methodology is just good business. Ratios can illuminate\u00a0their best work habits and give you tangible examples of why they are winning. Below is a chart of employee activity:<\/p>\n\"Activity\n

Zachary Taylor is neck and neck with\u00a0Herbert Hoover in terms of placements made. Let\u2019s take a look at their efficiency, again Job Order to Placement:<\/p>\n

 <\/p>\n\"Activity\n

Not only is Hoover winning in total placements, his efficiency is much better than Taylor. In fact, Taylor\u2019s JO:placement ratio is much higher than the rest of your employees. He\u2019s just not being that efficient. Clearly, Taylor is a good employee; he\u2019s second in placements made. But let\u2019s say he had the efficient ratio of Hoover, or any other employee. His numbers would be much higher. In seconds, you\u2019ve identified a very specific problem area in one of your best employees, giving him actionable advice that he can use to close more deals. Also note the legend in the charts above letting you see many other ratios including Sendout to First Interview, First Interview to Placement, etc, allowing you to pinpoint areas of inefficiency. Know Your Ratios<\/strong> With a clear view of your ratios, you can answer a slew of business questions to improve your process, including:<\/p>\n