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Recruitment Automation Acquiring Talent for High Volume Hourly Positions. Introduction. Kim Davis Industry pioneer Founder, President and CEO of DreamJobs 3 rd recruitment firm…AIM Executive, TalentTrack & DreamJobs DreamJobs is changing the way companies optimize their talent

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introduction
Introduction

Kim Davis

  • Industry pioneer
  • Founder, President and CEO of DreamJobs
  • 3rd recruitment firm…AIM Executive, TalentTrack & DreamJobs
  • DreamJobs is changing the way companies optimize their talent
  • Former Executive Board Member of RPO-Alliance
  • Recipient of the E&Y Entrepreneur of the Year Award (2006)
introduction1
Introduction

Nan Zieleniec

  • President Zieleniec Consulting LLC
  • SVP of HR – Operations at Resilience Management LLC
  • Over 30 years of broad corporate HR leadership experience in both public and private sectors
  • YWCA Woman of Professional Excellence (2009)
  • Active in a variety of industry and non-profit boards
the key point of change
The Key Point of Change
  • The 2008/2009 recession
  • Dow Jones Industrial Average declined 54% from

14,164 - November 11, 2007 to

6,443 - March 6, 2009

  • National unemployment rate hit 10%in October 2009
  • Hiring became anemic…it stopped!!
  • 60%of all recruiters were furloughed
today s environment
Today’s Environment

Today’s World

  • Dow Jones recorded record high - 16,629 on January 7th
  • December Unemployment rate @ 6.7% (recession all but ended)
  • Employment expected to grow by 10.8% lead by healthcare
  • 58% of businesses report recruiting difficulty
  • Baby boomers are un-retiring
  • More jobs are part time - contract labor
  • More under employed & lower paid work
  • 2/3’s of college graduates are returning home
  • More diversified workplace (global market)
key data points
Key Data Points

2012 worker productivity improved for the 1st time in 5 years

  • People are the #1 asset
  • Firms that are best @ talent acquisition are industry leaders
  • Examples: Google, Zappos, Mercedes, CHG

Employee retention is a major organization challenge

60% of CEOs expect HR to advance company’s business values (HR is part of executive suite)

slide7

Do more with less (reduce fixed expenses)

  • More sourcing options – more candidate traffic
  • More initial phone interviews/more 2nd interviews
  • Web based screening questionnaires
  • Formal assessments (77%)
  • Video interviewing (gaining popularity)
  • 25% have a 1 week onboarding process; 24% have 1 day
  • The next generation of ATS(requiring new skills)

The Recruitment Evolution

How can we do all of this?

the importance of communication
The Importance of Communication

Need to sell as much as we screen…

good candidates have options!!!

baseline sourcing data
Baseline Sourcing Data
  • Craigslist reported 2.8 million advertised jobs/Qtr.
  • LinkedIn advertised 260,000 jobs/Qtr.
  • Monster is great for manufacturing
  • CareerBuilder leads retail, financial services & insurance verticals
  • SimplyHired & Indeed aggregators scrape websites, job boards & dominate key word search for free; 435,000 jobs
  • Social Media – 259 million LinkedIn members & 80% not looking to make a job change (92% of all recruiters are on LinkedIn); 40,000 new Twitter members per day/646 million registered users

So Many Choices!

how jobs are filled
How Jobs Are Filled

42% Placements are through networking referrals

22% Are attributed to employer websites

4% Candidate response rate to job postings

3% Of all candidates that go to the website actually apply

1 st question is there a talent war
1st Question“Is There a Talent War?”
  • Depends
  • 38 million shortage in college degreed workers (13%)
  • 45 million GAP in secondary educated workers (15%)
  • 49% of employers are struggling to fill mission critical positions (Manpower 2012)
  • 35 million baby boomers could retire in the next 5 years
where the market is headed
Where the Market is Headed
  • New recruitment ‘Tool Box’
  • Less fixed expense/pay for performance model
  • Smaller internal recruitment team
  • Staff augmentation/complimentary services
  • Variable resources - scalability…on & off or up & down
  • Alternatives to spend less & be more effective
alternative 1 high volume hiring
Alternative #1High Volume Hiring
  • Recruitment Automation (with integrated candidate sourcing…new)
  • High volume hourly/nonexempt hiring
    • Automated process
    • Efficient/effective/predictable/repeatable
    • 24/7 candidate apply process
    • Configured candidate sourcing by market
    • Enhanced candidate experience
    • Better fit candidates & hires
    • Automate (3,200 state & federal tax credit programs)
    • Turn on & off or scale up & down
    • Configured by client (menu based)

Examples : call centers, service workers, warehousing, operations, retail, banking

recruitment automation solution ras
Recruitment Automation Solution (RAS)

Technology Fully Branded and Configured

Menu Driven: Pick and Choose Features

case study recruitment automation
Case Study Recruitment Automation
  • Hourly/low paid jobs ($9/hr)
  • Hard manual jobs…climb up to 28 feet, crawl under homes & lift up to 75 lbs.
  • Fluctuating work schedule
  • Up to 6 day work week (46 hour work week)
  • Billable positions
  • 6 weeks of training
  • High new hire turnover (9 months >90%)
  • Lack of candidate traffic/hire warm bodies

Cable Installation Provider

600 to 800 annual hiring needs (multiple markets; national firm)

case study
Case Study

Strategy

Prior to RAS

  • Use Career Builder and Craig’s List postings to drive candidate traffic
  • Experiment (ran trial) with Snag-a-Job
  • Some markets had minimal candidate traffic
  • No “day in the life” video profile
  • No assessment tools
  • Lengthy candidate apply/registration process (up to 20 minutes)
  • Used ATS, but manual process
  • Little performance reporting
  • High no show up rates for candidate interviews
  • High interview to hire ratio (>4:1)
  • 92% new hire attrition rate
case study1
Case Study

RAS Solution

  • Reconfigured/branded the technology (client’s ATS - Taleo)
  • Mapped out all recruitment processes
  • Configured brand messaging by market (in process of developing a “day in the life” video profile)
  • Configured candidate sourcing by market
    • Instant success - Example: Outer Banks, North Carolina had 18 openings & no real candidate traffic
    • Identified 795 targeted candidates in 3 days
    • Filled 12 of the openings in 10 days
case study2
Case Study

RAS Solution (continued)

  • Reduced time for initial registration and application process
  • Configured a web based screening questionnaire for basic skill fit
  • Activated candidate self-scheduling interview tool
  • Automated tax credit function (3,200 different state & federal programs) resulting in over $250,000 tax credit savings for 2013
  • Success will be measured by:
    • Interview show up rate
    • Turnover
    • Cost per hire
    • Quality of work
alternative 2 scalable rpo new
Alternative #2 Scalable RPO (new)
  • Staff augmentation…compliment, not just replace
  • Scalability
    • Turn on & off
    • Scale up & down
    • All based on real hiring requirements
  • No minimums
    • No monthly management fee
    • No minimum hiring requirements
    • Shorter term contracts
  • Flexibility

- Augment/compliment what already exists

- Perform different tasks/jobs based on real needs

- Full life cycle/select process

  • Transition and/or transform (may include technology)

Example: hiring exceeds capacity/capabilities (short term & ongoing)

3 rd party search
3rd Party Search
  • Fees can be 20%...25%...30%
  • Retained Search can be 33 1/3%
  • Why so high
      • Many cases lack partnership
      • Reward the wrong behavior
      • Minimal accountability
      • Fill 6% of the jobs (written)
  • Is this a provider only problem
    • Attempt to fill jobs through other means
    • Multiple firms working the assignment…(why)

Example: difficult-to-fill positions; limited candidate universe; lack expertise & time

on demand search
On Demand Search
  • Based on retained search principles
  • Partnered approach…shared ownership & shared responsibilities (skin in the game)
  • Structured delivery process with a dedicated delivery team (recruiter + researcher)
  • Process starts with in-depth intake call
  • All candidate submittals include resume, candidate write up, & video profile
  • 5 or fewer candidate interviews = Hire
  • 90% plus fill ratio with 50% lower fees

How can the pricing be so different & deliver a better result?

closing statements
Closing Statements
  • The World of Recruitment is Evolving
  • Traditional recruiting methods will always exist & have a place
    • Internal recruitment teams
    • Job postings & media advertising
    • Contingency search
    • Retained search
    • Temp staffing
  • Social recruiting is hot but not mastered
    • LinkedIn, facebook, blogs, tweets…
    • Requires special recruitment skills to engage, interact & maximize
closing statements continued
Closing Statementscontinued
  • RPO is still growing

- 12% in 2012

- Dominated by big players

- High volume hiring needs/multi year contracts

- Not for everybody

  • New ‘Tool Box’
    • Scalable RPO
    • High Volume Hiring (recruitment automation)
    • Candidate Sourcing (on demand search)
slide27

“Think differently

Get rid of the box!”

Thank you

slide28

Thank You

Kim Davis

P: 855-38-DREAM

E: Info@DreamJobsna.com

Nan Zieleniec

P: 216.225.7217

E: Nzieleniec@resiliencecapital.com

.