Recruiting data – love it or hate it – is the gold of the hiring world. From internal to social data, there’s plenty out there. But quantity doesn’t always lead to quality. Bullhorn shared in a blog post last year that “27% of company leaders aren’t sure how much of their company data is accurate and can reduce company revenue by 12%.”
Why Does Recruiting Data Matter?
It’s simple: Decisions are made better by data. Hiring decisions are no exception.
Quality of Hire
Recruiting data can help you find candidates similar to your top performers. It can also help you understand what exactly makes a quality hire. This knowledge will support any of your quality of hire goals.
When the quality of data is good, the quality of hire can soar right along with it.
We’ve talked about recruiting efficiency before, and quality data is the reason efficiency can exist. Whether you have information on how many qualified candidates you already have in your database or you’ve normalized every data point, data used well leads to making better decisions faster.
Identify Growth Opportunities
That’s what we call problems: growth opportunities. No recruiting process or database is perfect, but understanding your data can identify the places where your team needs to grow. You can determine gaps in your diversity recruiting goals or where you may need to head to social media to track down some new potential candidates. Just like data can show you what you have, it can also show you what you’re lacking.
The Cost of Bad Recruiting Data
Can insufficient data really be that much of a liability to your team?
Bad data costs your team time and money that it can’t afford to lose. In the world of The Great Resignation and new work cultures recruiting teams are trying to do more with less. Any and all roadblocks are unwelcome.
In fact, after reviewing over 62 million data points, we found some shocking statistics around the quality of data within talent acquisition databases.
Bad Data Can Equal Bad Hires
Great hires can be made without great data, but good data will set your team up for success. Bad hires can cost companies upwards of a quarter of a million dollars, which doesn’t even touch on the morale and company culture costs. For staffing companies, bad hires can also translate to reputation damage. No one will continue hiring you if every person you place is less-than-ideal.
Costly and Inefficient Recruiting Processes
We’ve found that 40-60% of all qualified candidates already exist in internal databases (ATS, CRM, etc.). If your team cannot access those candidates and therefore heads out externally for every requisition, there’s a good chance that they are wasting their time, budget, and effort.
The Role of Search in Actually Using Recruiting Data
Let’s be honest: Your database isn’t helping anyone if it can’t be searched and the data used.
How does your team search your databases?
Too many teams are still relying on outdated search mechanisms (think Boolean – a great tool but a pain to learn, modify, and manage). We’ve had users who (pre-implementation of HiringSolved) were able to search only by job title or name, and some users who just couldn’t search.
Even if you bring in optimized search, it only works with normalized, clean, and quality data.
Shon Burton, one of our fearless founders, recently went over everything you need to know about data health and search in talent acquisition. He shares 4 game-changing insights HiringSolved has learned in nearly a decade of data experience along with 3 key ways your current process is setting you up to fail, 2 ways to invest in the future of your recruiting success, and the one thing that all successful organizations have in common when it comes to their data.
You can watch the full webinar here, but check out the video below for a sneak peek!
Ultimately, managing, using, and optimizing recruiting data is a long-term project that deserves time and attention. But there’s no doubt that investment will be returned in the value that your team receives.