Overview of Applicant Tracking Systems
An applicant tracking system (ATS) is a software application designed to manage the recruitment and hiring process. It provides recruiters and hiring managers with an automated way of sorting, tracking, and organizing job applicants, their resumes, cover letters, applications, and other related documents. The main purpose of using an ATS is to streamline the HR recruitment process. By automating many of the tedious tasks associated with recruiting new employees—such as posting job ads online, collecting applications from various sources, and organizing candidates into categories—ATS can make it easier for employers to reduce costs by eliminating manual labor and increasing efficiency during the recruitment process.
At its most basic level, an ATS allows employers to search for job seekers based on criteria such as keywords or skills. For example, if you’re looking for a software engineer in New York City then you could use an ATS to find qualified candidates who have experience in that field in that location. Additionally, some advanced ATS systems can be used to track candidates throughout the entire screening and interviewing process all the way through onboarding a new employee, ensuring a smooth transition no matter how long it takes.
On top of just helping employers identify suitable candidates quickly and efficiently, most ATS also include features such as data analysis capabilities so they can look at stats like time-to-fill metrics (or how long it takes to hire someone) or cost-per-hire metrics (how much money was spent per person hired). This allows them to better understand which methods are working best when trying to fill positions within their organization.
Other useful features common among ATS include applicant “dashboards” where they can track their progress through the hiring process; notifications when job openings become available; automated emails sent out after interviews or status changes; resume parsing tools that break down each candidate’s information into easily digestible chunks; background checks; and more.
Ultimately, whether you’re looking for ways to simplify your HR processes or just want a few extra bells and whistles added onto your existing system, an applicant tracking system can help streamline every step of your recruitment journey while saving time and money in the long run.
Reasons To Use Applicant Tracking Systems
- Increased Efficiency: Applicant tracking systems automate the recruitment process and make it easier for recruiters to organize, track, and manage all applications in one place. This reduces time spent on manual administrative tasks, freeing up more time to focus on interviewing successful candidates and developing innovative recruiting strategies.
- Improved Organization: ATSs are equipped with search capabilities that allow recruiters to quickly filter through thousands of applications with greater ease. Terminology and keyword-based searching make it easy for recruiters to identify applicants who possess the desired qualifications and skills needed for specific positions.
- Enhanced Relevancy: With an ATS in place, the candidate pool is narrowed down exponentially as only relevant resumes can be filtered through the system’s search engine based on keywords or preset criteria defined by the recruiter(s). Essentially this eliminates resumes from being included in the recruitment process that does not meet those exact criteria defined by the recruiter(s).
- Reduced Costs: By streamlining your recruiting process with an applicant tracking system, organizations are able to save a great deal of money on costs associated with unwanted job postings such as newspaper ads, database subscriptions etc., which can add up significantly over time. Additionally, most applicant tracking systems have a built-in feature allowing you to post your jobs directly onto various job boards and social media networks – providing even more cost savings opportunities while also extending your reach even further when sourcing applicants.
- Improved Communication: Most ATSs have communication portals within the software allowing each party involved (the employer/recruiter and potential candidate) to communicate easily via email or SMS text messages without ever having to leave their inboxes. This is a great way to ensure that everyone involved remains up-to-date throughout each stage of the hiring process.
Why Are Applicant Tracking Systems Important?
Applicant Tracking Systems (ATS) is essential in the job market today. ATS software streamlines the recruitment process, making it easier for employers to manage a high volume of job applications. The software helps recruiters quickly identify which candidates have the right qualifications and experience by automatically filtering and organizing application data. This saves time and money while shortening the recruitment process.
An Applicant Tracking System’s primary purpose is to reduce the manual effort involved in receiving, screening, and evaluating applicants. In addition to saving time, ATS also reduces associated costs such as mailings and phone calls for background checks. By automating administrative tasks, Applicant Tracking Software ensures that employers are able to use their resources efficiently in recruiting top-level candidates for open roles in their organization.
The sorting capabilities offered by Applicant Tracking Systems enable recruiters to pre-screen resumes to determine if an individual possesses the necessary skills and qualifications for an open position before inviting them for an interview or further assessment tests. By utilizing keyword searches, applicant tracking systems can filter resumes based on related terms, enabling recruiters to quickly find appropriate candidates without having to read through every submission manually.
Additionally, these systems provide reporting capabilities that allow hiring managers to track performance metrics such as candidate sources, applicant conversions, frequency of openings filled within predetermined timelines, etcetera. This allows organizations more effective analysis through quantitative insight into their recruitment processes so they can fine-tune efforts as needed.
To sum up, Applicant Tracking Systems are essential tools that help eliminate inefficient hiring practices while providing valuable insights into an organization’s recruitment performance. They make it possible for employers to reduce time spent on recruiting while finding highly qualified individuals who possess relevant skillsets quickly and accurately.
What Features Do Applicant Tracking Systems Provide?
- Automated Job Search: Applicant tracking systems provide automated job search capabilities that allow employers to post job openings and identify potential candidates who match those openings. This makes it easier to find the right applicant faster by narrowing the number of applicants that need to be reviewed manually.
- Resume Parsing: Resume parsing is a feature of applicant tracking systems that automatically reads resumes and extracts information from them. This data is then stored in a database which allows employers to quickly analyze and compare multiple resumes at once in order to find the best matches for their job postings.
- Customizable Workflows: Applicant tracking systems provide customizable workflows which allow employers to define step-by-step processes for managing their hiring activities such as screening, interviewing and onboarding new employees. They also enable recruiters to keep track of where each candidate is in the process, ensuring a smoother transition from one stage to the next.
- eSignature Support: Many applicant tracking systems support eSignatures, which greatly simplifies the process of recruiting new employees by allowing them to digitally sign paperwork without requiring manual signatures or physical delivery of documents. This can save time and costs associated with traditional document signing methods while also providing added convenience for both employers and candidates alike.
- Reporting & Analytics Capabilities: Applicant tracking systems offer reporting and analytics capabilities that allow employers to gain valuable insights into their recruitment processes, such as how many applications are being received for each job opening, how quickly candidates are moving through the hiring funnel, or what sources are generating the most quality leads for their business needs. These insights help employers make informed decisions on how they can optimize their recruitment strategies in order to hire better talent faster while saving money in the long run.
Who Can Benefit From Applicant Tracking Systems?
- Recruiting Professionals: Applicant tracking systems (ATS) enable recruiters and human resources employees to more efficiently manage the hiring process. With an ATS, recruiters have a centralized database for storing records of job openings, candidate applications, applicant communications, and other information needed for a successful recruitment process.
- Hiring Managers: Hiring managers have an easier time finding the right candidates with ATS software because it automates many features in the pre-screening and selection process. This allows them to quickly find applicants who are qualified for specific positions and focus their efforts on those applicants.
- Candidates: For job seekers, applicant tracking systems allow them to register online profiles so that they can be discovered by recruiters who use the system. Job seekers also benefit from being able to easily track their application progress, receive feedback on their résumés and applications, and keep updated on when new job postings become available.
- Third-Party Vendors: Third-party vendors such as background check companies or external recruiting agencies can use ATS technology to submit candidate information directly into the recruitment database without having to manually enter data. This makes it easier for both parties to keep track of all pertinent data during a recruitment process.
- IT Professionals: IT professionals are responsible for making sure that the applicant tracking system is always up-to-date with current regulations pertaining to hiring practices in order to maintain compliance within organizations. They must also ensure that any upgrades or changes are always implemented properly so as not to disrupt any processes currently in place.
How Much Do Applicant Tracking Systems Cost?
The cost of an Applicant Tracking System (ATS) can vary widely depending on the size and complexity of the system, as well as the features that you need. Generally speaking, however, basic ATS systems can range from $1,000 - $20,000 initially, with additional costs for customization or extended functionality. For larger companies or those needing more complex systems, costs can range into six figures.
When researching applicant tracking systems and their associated costs, it is important to factor in all aspects of implementation including additional software purchases to support the software, fees associated with installation or configuration services and potential training/education fees. Additionally, certain ATS may require extra services such as creating custom reporting structures or integrating with other third-party applications. All these items should be taken into consideration when budgeting for an ATS system.
Ultimately it is important to consider not just the initial purchase price but also ongoing maintenance costs for upgrades and support services throughout the life-cycle of the system in order to ensure maximum utility from your investment and to ensure seamless operation within your organization’s existing infrastructure.
Applicant Tracking Systems Risks
- Data security breaches: Applicant tracking systems typically store sensitive personal data about applicants, including social security numbers and bank information. If a hacker were to gain access to this data, it could give them the ability to steal identities or commit fraud.
- Discrimination claims: If an applicant feels that they have been discriminated against in any way during the recruitment process, such as being passed over for a position based on their race or gender, they could file a discrimination complaint against the organization.
- Legal implications: Organizations using applicant tracking software must stay up-to-date with federal and state regulations regarding employment practices, such as Equal Employment Opportunity laws, anti-discrimination laws, and record-keeping requirements. Failure to do so could result in legal action being taken against the organization.
- Malware infection: Malicious software can easily be injected into an applicant tracking system via email attachments or online forms filled out by applicants. This could allow hackers to gain access to private information stored within the system or even potentially shut it down completely.
- System failures: In rare cases, the entire system may experience a technical failure due to hardware malfunctions or software bugs. This could cause significant delays in recruiting processes and potentially put organizations at risk of losing valuable candidates due to time constraints.
What Do Applicant Tracking Systems Integrate With?
Applicant tracking systems can integrate with a variety of software types, including those related to communication and scheduling, human resources management, job posting, recruitment marketing, and even analytics. Communications software such as email and text messaging platforms are often integrated with applicant tracking systems so that recruiters can communicate with applicants quickly and easily. Scheduling software is especially useful for coordinating interviews between numerous hiring teams and candidates in an efficient way. Human Resources Management Software may also be linked to the ATS in order to support the onboarding process after a successful hire. Job posting software helps streamline the recruiting process by allowing companies to publish jobs directly from their ATS on multiple different job boards or through social media channels. Furthermore, recruitment marketing tools allow organizations to better track each applicant's journey through automated workflows and personalized campaigns that increase success rates. Finally, analytics software can provide valuable insights into recruiting performance metrics such as source-of-hire data or time-to-fill analysis. All of these various types of software can be linked together with an applicant tracking system to create a more comprehensive hiring experience for both employers and applicants alike.
Questions To Ask When Considering Applicant Tracking Systems
- What features does the system offer?
- Is it easy to use and navigate?
- How much does the system cost?
- Does it integrate with other systems such as HR, payroll, or recruitment software?
- Can candidates apply for positions through the system?
- Does the system allow for automated applicant screening processes, like video interviews and skill tests?
- What reporting capabilities does the system have?
- Does it provide insights on candidate behavior, such as time-to-hire metrics or source-of-hire data?
- Are there any fees associated with using the software beyond a subscription cost?
- Is support included in the subscription fee and is there an additional cost for training users on how to utilize the software effectively?