3 Ways to Determine the ROI of Your Recruitment Technology Investment
Every agency wants to be successful—and profitable—but success in recruitment can take many forms. You might save time in the sourcing process through email automation and chatbot integration, or you could increase job page traffic by upping your demand gen activity. Even Implementing new software or a new process that makes your recruiters happier and more productive can feel like a huge success as well.
So, how can you measure success? To help our customers navigate Bullhorn’s open ecosystem of solutions, we’ve created a toolkit full of resource to help you answer exactly that question. Explore the toolkit here or read on for three ways to measure ROI.
How much time do you save?
One of the most quantifiable and tangible ways to measure success with a marketplace partner is looking at the hours you’ll save. Traditionally, this means automating manual work so that your team can spend more time building relationships, prospecting clients, or making placements.
Before you demo with such a solution, perform some timed tests to determine how long it takes to perform functions that you could automate with a partner. This will allow you to come into a demo with an exact understanding of how much their solution will impact the specific workflow of your firm.
Of course, many other types of marketplace partners can help you save time, too. This might mean outsourcing a function like marketing or it could mean that you improve your ramp-up time during onboarding—the majority of recruitment professionals say it takes more than a month until a new hire is effective. Whatever your goal, take note of how much time you allocate currently, and how much time you can save.
Does it improve your team’s product adoption?
Stepping up your team’s product adoption is one of the quickest ways to drive results. Solutions that elevate your team’s onboarding, training, and support will allow you to do more with what you have. Product adoption solutions help you get the most out of your tools by keeping you fully trained on all their features and functionality.
How can you measure the effectiveness of product adoption? Consider combining employee surveys and core performance metrics. Employee surveys help you ensure that the onboarding experience is useful and intuitive and performance metrics help you determine the impact on your bottom line. Some possible performance metrics to track:
- Job Coverage
- Pipeline Velocity
- Redeployment Rate
- Fill Rate
Does it increase team visibility into business performance?
Do you have insight into the metrics mentioned in the last section? Data is one of the most important assets you have as a recruitment business. Many partners allow you to capture, analyse, and visualise that data to help you better understand your business and how your teams are performing. We surveyed recruitment professionals to find out their most valuable performance metrics. Here are two of the top picks.
57 per cent of recruitment pros rank fill rate as a top metric. It’s hard to argue with the pros on this one—fill rate is essential for understanding your company’s efficiency. A low fill rate (job orders filled/job orders received) is a warning sign and an invitation to dig deeper into your metrics. Is there one weak link in your pipeline?
Is there one weak link in your pipeline? Are your submittals not resulting in hires? Do you have trouble finding candidates for a position? Is your team shorthanded? Answering these questions could help you discover a solution to your fill rate woes.
The submittal-to-hire ratio combines elements of both quantity and quality, so it’s particularly useful as a tool to explore your productivity. If your agency has a high ratio, more qualification may be needed prior to client submittal. A low ratio? That’s not necessarily a bad thing, but it may point to a weak pipeline.
The sweet spot appears to be submitting three to four candidates for every hire made. Forty per cent fall into that bucket, compared to 24 per cent who submit four to five candidates and the highly-effective firms (14 per cent) who only submit one to two candidates per hire.
Do you have insight into these metrics? Visibility into these metrics—and many more—allow you to make smart decisions about your business. Visibility is also about more than analytics. Having proper integration with your solutions and your ATS is crucial to understanding the performance of your business.
Ultimately, the value that a marketplace partner provides you will depend heavily on the unique circumstances of your business. If you have a strong understanding of your business now, you’ll be well-positioned to make the right decision for your firm.
To see how you can measure ROI with Bullhorn Partners, visit the Marketplace Partner Toolkit