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How do you Improve your Recruiting ROI with Artificial Intelligence?

Artificial intelligence has proven its capabilities in the HR Tech realm. Studies have shown how HR leaders and teams can boost their hiring revenue and ROI by driving initiatives using AI-powered HR Tech.

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Every organizations initiatives and models are being driven by advancements in digital transformation today, CHROs too have to be at the forefront to use newer technologies and capabilities to shape hiring models that can help business hire talent that specifically help them succeed.

The Need to Drive Long-term Recruitment Results with AI

AI and Machine learning backed HR platforms can help improve recruiting processes and bring greater contextual insight into global hiring programs, especially beneficial for widely distributed teams. Existing recruiting strategies aren’t delivering the desired outcomes and results. According to an earlier Allied’s Workforce Mobility Survey on Onboarding and Retention, businesses lose an average 23% of new hires before their one-year anniversaries. According to another report by Harris Interactive, 28% of open roles are not always filled.

An end to end recruitment process is not one that is superficial, it has to dive deep into employee best practices, behaviors, interests, skill sets to help hire the best-fit talent and also retain them. A balanced hiring process helps ensure that new hires are shaped into their roles and retained for a significant period of time thereby helping to deliver adequate ROI on initial hiring, training, remuneration and other costs.

Key Areas Where AI Can Drive Return on Recruiting Investments

Defining ideal candidate profiles, matching profiles based on it:

There are several attributes that define the success of a hire, reviewing a resume is not enough. With AI-powered tools, hiring teams can search for multiple profiles at scale based on an ideal candidate profile of an existing (high-performing!) employee persona. AI-powered platforms combine analysis of publicly available data, other internal data repositories, HCM systems, ATS tools, and spreadsheets, then create shortlists based on this specific criteria laid down by the organization.

Ensuring access to updated candidate data:

AI-based platforms that allow autonomous updating of candidate databases so that candidate profiles can be continuously refreshed using external data sources and data gathering, without the need for applicants to reapply can help hiring teams reduce the time spent on looking for their most recent job profiles or work experience / other professional updates.

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Gaining better insights or signals on hires that have higher potential to excel in each position:

Team leaders and business heads spend a significant amount of time training new hires and shaping their core strengths to suit the company’s core role and goals. If business leaders or trainers spend that time on new hires, this training ROI has to pay off in the long-term. AI-powered tools that allow HR and business heads, especially of larger teams to help identify these insights will allow business heads to improve how they shape and delegate tasks while restructuring their teams in the future.

Reducing time taken to hire:

Finding the best talent pipeline is one part of the battle. Once business leaders of various departments identify the vacancies on each team, it is the duty of hiring teams and HR heads to help fill those positions sooner rather than later. According to an earlier Workable Study, results revealed that closing open positions for in-demand roles like Engineers takes about 58 days. AI-powered platforms help teams sift through multiple kinds of profiles including multiple best-fit profiles to help reduce the time taken to identify talent. When there is a steady in-flow of talent profiles to assess, hiring teams can easily improve their hiring process to ensure that every position is closed as quickly as possible.

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AI-based platforms can provide true assessments of several candidate’s accomplishments, capabilities, experiences, and strengths at scale. Data plays the role of being the best equalizer here to help reduce conscious and unconscious biases from final hiring decisions. The future of recruiting will be one where hiring teams and business heads rely on a continuous stream of rich, real-time data on applicants powered by AI.