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Finding an Applicant Tracking System That’s Right for You
 

When it comes to recruiting new employees, the Internet is a valuable resource, allowing organizations to reach a greater number of candidates through more diverse and economical means. On the other hand, it has caused many new headaches for human resource professionals. With a simple click, candidates can instantly apply for any number of positions, and organizations are receiving more applications than ever before—sometimes several hundred applications for a single opening.

To better manage the flow, many HR professionals are turning to applicant tracking systems (ATSs). ATSs allow candidates to apply online (either directly on the company’s website or through integration with job boards). Once an application is in the system, recruiters and hiring managers are able to track its progress and better communicate with one another regarding its status.

Most systems also offer the following:

• Prescreening questions to narrow the candidate field
• Keyword searching
• E-mail/letter templates and the ability to mass communicate with applicants
• Reporting tools

If your organization is exploring an ATS, you should take into consideration the following factors as you research vendors:

• What are the particular needs of your company? That is, how many employees do you have? How many people do you hire on average each year? How many staff members will need to use the system, and how many of them are HR staff who will need to use it frequently as opposed to hiring managers who may need to use it only once or twice a year? Many vendors base pricing on the size of the company, the number of users, and/or the number of applicants, so it is important to know this information.

• How much are you willing and able to pay for an ATS? The costs of ATSs vary, anywhere from a few thousand dollars to tens of thousands of dollars annually. Determine your budget, and before you spend too much time researching a particular product, be sure it falls within your price range. Be sure to ask about setup fees, upgrade costs, and any other service charges. Many vendors charge a la carte for services and features, so it’s a good idea to ask for a detailed pricing sheet or quote.

• Do you want the vendor to host the ATS on its own server, or do you want to host it yourself? Having the vendor host the ATS frees up space on your server, and it saves your IT staff the trouble of upgrades and other maintenance. You make have good reasons for wanting to host it yourself, though. Nearly all vendors host for you, but a few don’t—so it’s worth asking.

• How easily does the ATS integrate with job boards? Most ATSs integrate with larger boards, but if you’re looking at a less-expensive product, it may not have the capability, or you may have to pay an additional fee. If you regularly recruit on specialized job boards, ask the vendors if they can integrate with them and how much it will cost.

• Does the system integrate with your organization’s e-mail and calendaring software? Many ATSs integrate with Outlook, fewer with Lotus Notes. Some don’t integrate at all but use their own e-mail and calendaring systems. This is worth exploring because it affects the way you’ll communicate with candidates and hiring managers.

• Does the ATS integrate with other systems you use, such as payroll software or an HRIS? Does the vendor offer additional services such as onboarding or performance management programs? The goal is to find an ATS that blends well with programs you’re currently using and allows for growth as your business needs change. Some vendors offer a full package of services, while others team with outside providers and integrate the different software programs. Consider your current and future needs and plan accordingly, seeking out as flexible a system as possible.

• How much customization does the ATS allow? Because your organization has unique needs, it might be useful for you to customize your data collection and reporting. Some ATSs allow more of this than do others, so be sure to check.

These are just a few of the considerations you’ll want to take into account as you search for a suitable ATS. While most vendors will be similar, you might not find any that meets all your needs—so be sure to prioritize them. And don’t hesitate to test the product! You’ll likely invest thousands of dollars into your ATS each year, so you should thoroughly explore each system. Ask a sales representative to walk you through a live demo, and be sure to ask questions. Consider the look, feel, and ease of use for each system, and with a good amount of research, you’ll find an ATS that works for your organization.

 
HR Industry Resources
Society of Human Resource Management (SHRM)
www.shrm.org
American Society for Training and Development (ASTD)
www.astd.org
Workforce Management
www.workforce.com
US Department of Labor
www.dol.gov
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