Recruiting for a new employee is an exciting time. But it’s also time consuming and expensive. In the competitive landscape today, it can take anywhere from 37 to 58 days to find and hire the right employee. According to the Australian Financial Review, each vacant position can cost the company upward of $500 a day. That’s some serious time and money.
Why is this the case?
For one, companies are more aware today of the cost of a bad hire and are taking more time to find “the one” perfect candidate. At the same time, potential candidates are also being more selective about who they work for. It’s a competitive market and the good ones get snapped up quick. Another reason is the use of manual processes to recruit. This dramatically slows down how fast HR is able to hire a new employee.
How can you reduce your recruitment time and cost?
- Streamline the approval processes – This includes all of the approvals that go into the decision to hire. You’ll want to limit the number of approvals for the position itself, for next stages of interviews and even for candidate approvals. Having fewer people who need to approve, and fewer steps will allow you to make decisions more quickly and get the right recruit before they are hired elsewhere.
- Automate the recruitment process- An automated system will cut down the time usually spent on paperwork, and the right system can even include a customisable approval workflow to assist you in step 1. You can use technology to filter out candidates who don’t fit your criteria while at the same time track the progress of candidates who make the next stages. All of this will help avoid bottlenecks in the process and get your new hire started that much faster.
- Speed up candidate screening – Use employee referrals. Many times these are quality leads that have a faster hire rate than candidates found elsewhere. Advertise the position on social media, and make sure you have a clear job description. You can see who is looking at the ad and with LinkedIn use their profile to get a good idea of their work history. Once you have a few candidates in mind for next steps, make sure you cut down on the number of interviews needed to progress to the next stage. Often too many rounds of interviews can drag out the recruitment timeline by an extra week or two.
By implementing these strategies, you can drastically reduce the amount of time spent on recruitment while at the same time saving your company a lot of money.