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    The Metrics That Matter: What HR Leaders Need to Know to Track Progress in 2024

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    Though promises of efficiency, productivity, and experience boosts may have served as initial motivators for HR leaders’ investments in connected technology, there’s another benefit that is slowly but surely stepping into the spotlight: objectivity. As digital toolsets expand and their capabilities grow, talent acquisition (TA) teams are increasingly recognizing the value that comes with quantifying outcomes—especially in a field in which “success” often feels like a moving target.
    That said, not all data is created equal. Some metrics prove more valuable to teams than others, and knowing which ones speak to your organization’s goals is critical to benchmarking performance and making progress. As recruiting’s digital transformation journey continues, learning about the metrics that digital suites can provide—and which matter in the context of your optimization journey—is critical to improving outcomes.
    Seeking success with statistics
    Employ’s recent Recruiter Nation study aimed to get to the heart of the matter, asking participating practitioners to rank key TA performance metrics by their value. Here’s what they said…

    Quality of hire: Quality of hire was overwhelmingly cited as the most valuable metric TA teams use to evaluate success, with nearly one-third (31%) of respondents putting it at the top of their lists and 73% ranked it in their top five. This metric takes into account employee productivity, engagement, culture fit, and other performance feedback to try to add color to recruiter and TA team performance. It also helps teams correlate skills and qualities with successful hires to build more precise profiles for different roles.
    Time to fill: Time to fill reflects the timeline of the average hire, from the day the listing posts to the day a candidate accepts the offer. More than half (59%) of practitioners put time to fill in their top five metrics of value, with 14% saying it is the most valuable metric they use. This information can help highlight opportunities to improve sourcing and interview processes by department, role, or sector.

    At present, the average time to fill across industries, business size, and roles is 47.5 days, but it can vary wildly across industries. At one end of the spectrum are things like media roles, which take an average of 62.21 days to fill in today’s market. Healthcare roles, which are on the other end, take just 38.23 days on average. Knowing the timeframe for your industry critical to planning, as is seeing how your company compares to others.

    Cost per hire: Cost per hire uses operational data to estimate how much it costs to fill a given role. This metric ranks just behind time to fill, with 12% of respondents ranking it in the top spot and 57% putting it among their top five. Knowing the cost of each hire helps teams contextualize recruitment spending and find opportunities to cut waste by adjusting processes to avoid superfluous costs.
    Retention rate: It’s no secret that retention is a top priority in modern businesses, and retention rate data was an easy choice for respondents’ top five lists. Despite only 11% of respondents saying it’s the most valuable metric in their operations, 62% put it in their top five and 14% cited it as their second-most valuable data point.

    To determine retention rates, teams calculate the percentage of employees meeting specific criteria that remain employed over a set period. This exercise can help reveal the characteristics that may lead to employees staying at your company for the long haul and signs that someone might be gearing up to leave.

    Hiring manager satisfaction: Hiring manager satisfaction rounded out respondents’ top five metrics of value, with 53% of practitioners citing it among their top choices (7% said it was their most valuable). This measures managers’ overall satisfaction with the hires made on their behalf using data from qualitative and quantitative surveys. With this information, acquisition teams visualize performance, evaluate progress, and learn from feedback about areas they could improve.

    Of course, all of the above metrics can function at various levels of the business to provide different types of insights and speak to different opportunities for improvement. For example, one company may look at retention rates by department while another may look at this measure through the lens of the recruiter that conducted the search. The former can give insight into ways to improve department-level management practices, while the other may speak to the performance of the TA team member.
    The same is true for any of the metrics noted above—and others. As teams filter results down by various criteria, they are able to find patterns, identify correlations, and identify and test possible solutions.
    What matters to you
    Perhaps the most notable insight is the lack of alignment on the issue overall. Yes, some metrics—like quality of hire—stood out as clear frontrunners. Still, though, none of the options presented were seen as unanimously without value. Even those that scored lower overall were at the top of someone’s list, which speaks to a truth about measuring progress: The perceived value in any metric is directly linked to organizational goals. In short, the difference isn’t between having data and not having it; it’s how you use the data that makes the real difference within an organization.
    Candidate relationship management (CRM) platforms, applicant tracking systems (ATSs), and recruitment marketing software (RMS) all serve as records of past successes and failures. For companies that are used to having “lifers” among their ranks, a metric like retention rate may not be important. But for someone else, finally putting retention performance into tangible, quantifiable terms may yield the insight they’ve been missing.
    Because the possible variations, combinations, and applications of data made available by CRM, ATS, RMS, and other connected platforms are near infinite, it’s up to each company to identify what matters to them. That’s the beauty of connected operations; if you can capture it, you can track it and measure against it. That’s what allows you to experiment with new approaches and find solutions that move the needle for your business, whatever they may be.
    By Josh Jones, talent acquisition manager at Employ Inc.
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      How to Use Your Employer Brand to Reduce Hiring Costs

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      The success of every company hinges on its people. But attracting the best talent isn’t always an easy feat. Companies often invest significant amounts of money into the bottom of the recruitment process — job boards and recruiters. But at Flexa, we’ve found that a great employer brand can reduce hiring costs whilst attracting the high-quality candidates your company needs to grow.
      At its simplest, employer branding is a combination of:

      Your employee value proposition (EVP), which will probably centre around your working environment and flexible working policies

      Your company culture

      Your employees’ voices.

      And then, importantly, knowing exactly how and where to shout about all this hard work!
      Here’s how it’s done.
      1. Identify your Employee Value Proposition
      A strong employer brand is built on authenticity, transparency, and a positive reputation. Start by working out what you want to be known for, what you represent, and what you can offer employees that other companies can’t (this is your EVP). This is the perfect time to identify any areas for improvement that don’t reflect positively on your brand. It’s never too late to shake up company culture to attract and retain a happy team.
      When setting out your EVP, make sure to be authentic. There’s no point in making promises you can’t keep, as this only leads to disgruntled new hires later on.
      Once you’ve identified your EVP and what makes you unique, you can start shouting about it.
      2. Leverage social media
      Social media is an indispensable tool for employer branding. Create a strong presence on relevant platforms (at Flexa we love LinkedIn) and consistently share content that reflects your company’s culture, values, and employee achievements. Engage with potential candidates through relevant hashtags and participate in industry discussions (hosting your webinars can be a great way to draw people in). By utilizing these platforms effectively, you can reach a broader talent pool and reduce reliance on expensive recruitment agencies or job boards by having talent excited to be part of your company when you are ready to hire.
      3. Encourage employee advocacy
      There are no better advocates for your company than those who already work for you. They’re your biggest ambassadors and the most authentic marketing tool. Encourage employees to share their positive experiences and wins on social media; and amplify their stories through company channels and website testimonials. At Flexa, our team often posts about how they’re making the most of flexible work.
      By leveraging employee voices, you can tap into the networks of trusted employees whilst giving potential candidates an invaluable window into your world, so they can make an educated decision about whether you’re the right fit for them.
      Remember though, this needs to be authentic: people are smart; they can tell when someone has been told to post something nice about a company. The real stories from real employees will have a much more significant impact!
      4. Shake up your success metrics
      Many companies will measure their employer brand’s success using applications and hires alone. But your employer brand is far more extensive than that, so you need to evolve the marketing metrics you use to measure it.
      Employer brand is a strategic marketing effort. Therefore, when starting out, consider measuring the success of your efforts using metrics like reach (impressions/profile views on company and employee pages), engagement (company saves/likes/subscribes/ speculative interest), and audience relevance (diversity/geography/ skills of candidates coming through the pipeline).
      Lower down the funnel, you need to measure applications and hires, as well as things like alignment and diversity. If you focus on getting maximum relevant reach to start with, you will drive down your ultimate cost to hire.
      5. Foster positive candidate experiences
      Treating candidates with respect and providing them with a positive experience during the hiring process can significantly impact your employer brand. Maintain clear communication throughout the process, provide timely feedback, and offer a smooth and efficient application process. Even if a candidate is not selected, leaving them with a positive impression can lead to recommendations or future applications. This approach helps build a strong employer brand and reduces the need for extensive and costly recruitment efforts in the future.
      6. Don’t just focus on employer brand when you’re hiring
      An employer brand doesn’t just need your attention when you’ve got roles to fill. If you want to build a strong talent pipeline, you need to have a true focus on your employer brand all year round.
      Rather than forcing applications reactively when you have vacancies, focus on proactively nurturing relationships with potential candidates and engaging with passive candidates online, on platforms like Flexa, and at networking events and conferences all year round. Maintain regular communication with these individuals using the free channels at your disposal. Being consistent in these efforts will pay dividends when it comes to bringing great talent through the pipeline and reducing your cost to hire.
      Employer branding should be an essential part of your talent attraction and marketing strategy. If you’re not doing it, take a few steps to get started. It’s easy once you know how.
      By Beth Carter, Head of Growth at Flexa.
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      in Talent Acquisition

      The Marketing Metrics that Matter for Recruitment Brands

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      When it comes to crafting and delivering an email marketing campaign that attracts candidates and encourages them to find out more about the latest vacancy, measuring how each piece of content has done can help recruiters to truly understand if what they’re saying is hitting the mark.
      As 300 billion marketing emails are sent to people’s inboxes every single day – on a global scale – it’s often difficult to not only achieve the desired cut-through when there’s so much competition from brands, but also know how well it’s been received… or not.
      To overcome this hurdle, many recruiters might take this opportunity to analyze open and click-through rates to determine the success or failure of their latest email campaign – after all, many free email marketing platforms have this insight available at the click of a button. However, while these measurements are giving some of the detail, are they really telling the full story? Perhaps not.
      That’s because this data doesn’t delve into the fact that several recipients might’ve seen the email and given it a short glance, but then hit ‘delete’ without truly engaging with it. Others could’ve accidentally clicked on the comms before discarding it altogether.
      The point is, open and click-through rates never truly tell the whole tale. Yes, they might show how the latest email campaign has achieved above-industry rates because recipients have opened it, but there’s no bearing of the level of engagement that’s also been involved. And, for a savvy recruiter, they want to know that their vacancy or top tips email is driving the type of interaction that helps to get the right person into the right job.
      So, while other recruiters are still accessing these so-called ‘vanity metrics’, forward-thinking professionals – who want to get ahead of the competition – should be exploring another form of analysis to truly cut through the online noise. That means plugging in marketing automation and tapping into the powers of lead scoring.
      What is lead scoring?
      This is where imaginary numbers are placed above the heads of every individual who has engaged with the recruiter. For those who have interacted with the brand lots – for example, downloaded a guide on interview techniques or spent time on a specific webpage covering a sector they’re interested in – they’re classed as being the ‘hottest leads’ and could therefore have a figure of ‘9’ or ‘99’ attached to them.
      These individuals are the ones recruitment firms should be prioritizing with hyper-personalized comms because they’re already ‘bought in’ to what the organization has to say. What that results in is typically a greater level of engagement too because they want to hear from the company.
      By focusing on those who are the most interactive, there is also a greater chance of a conversion-rich opportunity via a human touchpoint – such as a one-on-one phone call – and this can go a lot further than sending an irrelevant message that’s loosely received by all.
      Always segment the audience
      Technically this isn’t a metric, however, it plays a pivotal role in exactly how a recruiter analyses if their latest campaign delivers the correct message to the desired person, at the perfect time.
      Segmenting individuals into specific groups based on their of-the-moment interests and interactions with the brand means that recruiters can send hyper-relevant content the recipient wants to read, rather than what the organization thinks they might be interested in.
      This is a great way for recruiters to have a laser-beam focus on who to speak to, and when – all of which can be made possible in minutes, rather than hours, via savvy marketing automation.
      Web engagement can tell a far greater story
      Having discussed the powers of lead scoring and the importance of segmentation, another step recruiters should take if they’re to evaluate their campaigns effectively is via website interactions.
      For example, is a candidate viewing videos on the ‘most frequently asked questions in an interview’? Or maybe they’re trawling a top tips guide on how to craft a must-see cover letter. These are critical areas that a recruiter can respond to in terms of personalizing their content. If they’re not tracking this type of activity, it’s a missed opportunity.
      Plugging in marketing automation and accessing website data can equip recruitment brands with a deeper level of insight from each individual’s online experience, and provide detail into what they’re most interested in, in real-time.
      While these metrics only scratch the surface at to what recruiters can do when armed with marketing automation, the important thing for them to remember is that they must be responsive to what the data is telling them. And, while it might seem disheartening to have unsubscribers or discover a piece of digital comms has received little engagement, it often tells a lot about a contact base – from the level of interaction to identifying whether they need to address the ‘send frequency’ or refresh content… before a competitor does.
      About Sam Duggan: Head of marketing for marketing automation platform Force24, Sam has a laser-beam focus on driving bottom-line revenues by utilizing customer data. 
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      in Talent Acquisition

      Seven Tips to Measure If Your Talent Acquisition is Working

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      Attracting the best people into a business is one of the biggest challenges facing many companies, however, while most employers understand the need for an effective talent acquisition process to attract and hire the right people, many haven’t developed a way for evaluating its effectiveness.
      If companies fail to measure the success of their recruitment strategy, they will waste time and money recruiting people with the wrong skills and attitudes, but not understand why.
      As we move through the COVID-19 pandemic it is going to be essential to have the right people in roles to ensure the business can recover quickly.
      According to Gartner one of the top three priorities for HR leaders in 2021 is to build critical skills and competencies. Other data from Gartner TalentNeuron™ shows that the total number of skills required for a single job is increasing by 10% year over year, and one-third of the skills present in an average 2017 job posting won’t be needed by 2021.
      Here are seven metrics, which can give businesses deep insight into the performance and impact of their talent acquisition process:
      1. Time to hire
      This is the number of days between the start of the recruitment process and the moment a candidate gets hired. Most talented people are off the market in 10 days, so having a shorter process gives companies a better chance at attracting and hiring top talent.
      To optimize the time to hire, companies need to break down the hiring process and measure how much time it took to move candidates from one stage to another.
      2. Cost per Hire
      Companies need to understand the money they are spending to make a new hire including all costs related to recruitment, such as the purchase of equipment, onboarding, administration, and benefits. It can vary enormously depending on the company’s size, the seniority of the position, and the number of recruitment channels used.
      There are many strategies companies can use to reduce their cost per hire and optimize the recruitment process such as building a talent pipeline; allowing employee referrals; using social media to create a strong employer brand, and using an ATS to streamline and expedite the recruitment process.
      3. Qualified Candidates per Opening
      A “qualified candidate” is anyone who passes the application screening process and moves to the next stage of the recruitment process. This metric is more meaningful than the number of applicants, as it shows recruiters how good the candidates they are attracting are. This is an important metric because if a company is attracting unsuitable candidates, they will not fill a position but can set new strategies to attract better candidates.
      4. Sourcing
      This refers to the performance of the channels, job boards, or social media platforms where jobs are advertised. Companies need to understand which channels work best. To calculate this, candidates need to be tagged according to the acquisition source when they submit their application or to where the recruiter found the profile (LinkedIn, Employee referral, Internal, Facebook, Indeed, etc). Understanding the most effective source of talent ensures the best ROI on time and investment spent on recruiting.
      5. Quality of Hire
      Quality of hire is at the top of the list of useful performance KPIs for most companies, as it measures the value new hires bring to a company. Hiring quality employees means less turnover, more productivity, better culture, and greater overall success for the company.
      As quality is quite hard to evaluate, some quantifiable recruitment metrics can be used, such as new hire performance metrics such as sales targets or achieving good customer satisfaction ratings, turnover and retention metrics, hiring manager satisfaction ratings, or the percentage of new hires promoted within a certain time frame.
      Improving the quality of hire requires alignment with leadership to define the factors that make a quality hire and to set the strategies that will help hire the right people.
      6. Offer-Acceptance Rate
      The percentage of job offers accepted is a good indicator of how well the hiring practices are working. Although candidates can decline a job offer due to external reasons (counteroffer from a current employer, etc.), they can also refuse the company’s offer due to reasons related to the company culture, unattractive compensation, or job duties mismatch which could have been detected and managed by the recruitment team. It can be useful to send out a survey to candidates about their specific reasons behind their refusal.
      7. Satisfaction Rate
      Although this metric often gets ignored, satisfaction ratings allow companies to understand how candidates are experiencing the hiring process. To measure it, companies can survey candidates and new recruits. It is essential to understand what may be causing high numbers of interview cancellations, no shows, or high turnover rates in new hires.
      Build a survey that is easy and quick to answer, focusing only on key satisfaction aspects regarding the recruitment process, to get more answers. Also, do not forget to protect the candidates’ privacy.
      To Conclude
      Evaluating a talent acquisition strategy with a data-driven approach will give companies a more holistic view of how talent acquisition is impacting the business strategy and how they can improve it so that they can consistently attract and hire the best talent.
      By Nicolas Speeckaert, co-founder and director of skeeled. 

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