Recruitment Metrics You Should Track in 2022-2023

Recruitment is a long and drawn-out but entirely necessary process that every company has to go through every year. Companies invest a lot of their time and resources into the recruitment process, hoping to hire the best talent. However, some are more successful in this endeavor than others. The reason behind this success is the use of tools such as recruitment metrics. Recruitment metrics are used to make the hiring process more efficient, by scoring individual candidates, documenting the hiring process, or in some other manner.

The last two years saw a complete shift in how people and companies approach recruitment. Due to the Covid-19 Pandemic and the subsequent lockdowns, companies had to find new and innovative ways to not only hire new people but also to help them adjust while still maintaining the SOPs. Research conducted revealed that the companies which employed the help of recruitment metrics are more likely to reach or even surpass their recruitment goals as compared to those companies that do not use these tools. This is a clear indicator of the importance of recruitment metrics and here are some of the most important recruitment metrics at the moment:

Important Recruitment Metrics:

There are numerous recruitment metrics that companies should consider to make their recruitment process more efficient. Some of the most important ones are:

#1 Interview Time:

Interviewing is one of the most important steps of the recruitment process as it helps the recruiter get a first-hand idea about the candidate, their strengths and weaknesses, whether they would fit into the company or whether they can efficiently contribute to the pre-existing system. Nevertheless, each job requires a different amount of time for an interview. For instance, to hire a server or a waiter, you may need to interview for around 10 minutes, but if you want to hire someone for a managerial or executive position, then it is of paramount importance to conduct a more detailed interview, which would take up more time.

This Recruitment Metric doesn’t just include the interview time itself, but rather the period from when the candidate submitted their resume to the initial interview. The Average time of every hiring cannot be put in the same box. The reason for this is that some positions take a rather short time to fill while others have a more detailed recruitment process. For example, research conducted by Glassdoor revealed that while the average hiring time for a waiter is 8 days, it takes almost 60 days to hire a skilled professional.

Using the recruitment metrics to calculate this average time can help the companies in monitoring and documenting the hiring process, as well as find ways to make it more efficient and remove any hurdles in the way of recruitment.

#2 Cost per Hire:

Hiring a new employee can be quite expensive. A lot of money goes into posting and advertising the job opening, screening the resumes, conducting interviews, and then training the new employees. Companies need to look at this expenditure and calculate how much of a strain it is on the business itself. They also need to consider ways to make the hiring process more efficient so that the company does not have to spend an exuberant number of resources on it. Some companies also include the visa, travel, and moving costs, if they live in another city or country, of the new employee into the recruitment cost.

#3 Time to Fill:

Time to fill is the total time from the initial resume submission to the final recruitment. It covers all the steps that are involved in the recruitment process. Calculating this period can help increase the efficiency of the recruitment process, by pointing out the extra steps and unnecessary procedures. The company can then review its recruitment process and upgrade it to minimize time and resource wastage. In addition, there are so many companies that have long and drawn-out recruitment processes. Candidates, oftentimes, tire of these lengthy procedures or are recruited by other companies before the company can decide whether or not the candidate should be hired.

#4 Acceptance Rate:

Acceptance rate refers to the percentage of candidates that accept the job offer given to them by the company. These recruitment metrics are the perfect judge of how attractive the company is and what it has to offer. If a company has a high acceptance rate, then that means that the job offer it puts forward is attractive and is beneficial for the candidates. On the other hand, if a company has a low acceptance rate, it means that the job offer put forward is either too demanding or does not provide much benefit to the candidate in which case the company may review its policy or the offer it presents to the candidates.

#5 Percentage of Probations Passed:

While many recruitment metrics measure and calculate the efficiency of the recruitment process, there aren’t many that look at the performance of the candidates post-recruitment. For instance, according to research, one out of five candidates either leave the company during the probation period or have it extended. It is, therefore, vital to calculate the percentage of candidates that can complete their probation periods.

If this percentage is low, that means that the company is not hiring the right candidates and it needs to review its recruitment policy. Whereas a high percentage of passed probations means that the company is on the right track and has a good recruitment policy.

Conclusion:

To put it simply, numerous recruitment metrics help companies gain insight into the effectiveness of their recruitment process and whether or not they are on the right track. These metrics calculate the percentage of efficiency of a variety of steps and aspects, such as the time taken to hire or interview, resources spent during hiring, successful hirings, and much more. Companies can improve their recruitment processes and save time and money through the use of these recruitment metrics and it can help them in the long run.