The role of data in modern IT recruiting: No more gut feeling — this is how you make well-founded decisions!
Why data is essential in IT recruiting:
- Objectivity instead of subjectivity: Data provides measurable facts and reduces dependence on subjective assessments. This leads to fairer and more precise decisions in the selection process.
- Increasing efficiency: By analyzing data, you can identify and optimize bottlenecks in the recruiting process. Where is it stuck? Which channels are most effective?
- Cost efficiency: Data helps you use your budget more effectively and invest in the channels that deliver the best results. Scattering losses are minimized.
- Improved candidate experience: Analyzing applicant data can reveal how satisfied candidates are with your process. Optimizations based on this feedback strengthen your employer brand.
- Forecasts and trend analysis: Data enables you to identify future trends in the talent market and adjust your recruiting strategies at an early stage.
- Measurable ROI: By tracking KPIs, you can specifically demonstrate the return on investment (ROI) of your recruiting activities.
The most important KPIs in IT recruiting:
Which key figures should you keep an eye on? Here is a selection of the most important KPIs in IT recruiting:
- Time-to-hire: The time from posting the job to hiring a candidate. A long time-to-hire can indicate inefficiencies.
- Cost per hire: The average costs of filling a position (including internal costs, advertising, agency fees, etc.).
- Source of Hire: Where do your successfully hired candidates come from? (e.g. job boards, LinkedIn, employee referrals). This data helps identify effective channels.
- Application completion rate: The percentage of candidates who completely complete the application process. A low rate may indicate usability issues.
- Candidate conversion rate: The percentage of candidates who move on from one phase of the recruiting process to the next (e.g. from application to interview)
- Offer Acceptance Rate: The percentage of candidates who received and accepted a job offer. A low rate may indicate problems with the offer or the process.
- Quality of Hire: A more complex KPI that measures the performance, satisfaction, and length of stay of hired employees.
- Retention rate: The length of time new hires stay over a specific period of time. An important indicator of the quality of your hiring decisions.
- Diversity Metrics: Key figures on the diversity of your applicants and attitudes (e.g. gender, ethnic origin).
- Hiring Manager Satisfaction: The satisfaction of hiring managers with the recruiting process and the candidates presented.
How you can actually use data in IT recruiting:
- Implement tracking systems: Use an Applicant Tracking System (ATS) or other tools to collect relevant data throughout the recruiting process.
- Define your key KPIs: Identify the metrics that are most relevant to your specific goals and challenges.
- Collect and analyze data: Make sure that your tracking systems provide accurate and complete data. Use analysis tools to identify patterns, trends, and optimization potential.
- Visualize your data: Create dashboards and reports to clearly present and share your KPIs and key insights with your team.
- Make data-driven decisions: Base your strategic and operational decisions on the insights you have gained. Test new approaches and measure their success based on your KPIs.
- Continuous improvement: Recruiting is an ongoing process. Review your data regularly and continuously adjust your strategies to optimize your results.
