Recruiters and hiring managers often struggle to build and scale bigger and better teams while also enabling objective hiring that is free from bias and prejudice.
Given the number of people that are part of the hiring process in any organization, manual processes, the over-reliance on siloed tools and systems, and the personal dispositions can all wreak havoc on the hiring function. Since hiring requires substantial time, money, and resources to sift through thousands of CVs and conduct hundreds of interviews, missing out on quality hires due to human errors and bias is a global problem.
Predictive analytics and its role in the hiring process
As data becomes the new fuel, HR teams can benefit greatly from analyzing the massive volumes of data about candidates, company needs, industry trends, and more. Acting as a gold mine of valuable information, taking a data-driven approach to hiring is an absolute must in today’s dynamic environment where they struggle to plug the skills gap is rampant.
Predictive analytics offers a great way to hire the best candidates for new openings consistently and efficiently. It offers endless benefits over traditional hiring practices. Right from providing insight into the effectiveness and value of recruitment processes to keeping track of high-potential candidates, actively nurturing future hires to creating a robust pool of skilled talent – predictive analytics plays a profound role in the hiring process.
The benefits it brings
Saving time and curtailing costs are two primary goals of any hiring manager. And that’s what predictive analytics helps accomplish.
Platforms with built-in analytics capabilities offer a great way to save significant time and cost of hiring while maintaining objectivity. Using advanced algorithms to source, score, and rank talent, predictive analytics helps in identifying the best-fit candidate for each role.
Here are 8 benefits that predictive analytics brings to the hiring process:
- Minimize human errors: Predictive analytics, along with smart built-in automation, helps in removing bias and human errors from traditional hiring processes. Instead of relying on human perception and judgment, predictive analytics makes use of candidate data to evaluate their skills and capabilities and align them with the requirements of the role.
- Maintain objectivity: Instead of relying on human emotions or perceptions to recruit candidates, analytics allows for candidate CVs to be assessed on different parameters to determine how the profile matches the job at hand. At the same time, it aids in assessing candidate performance capabilities and their career trajectory and benchmarking them against peers from similar job categories.
- Recruit best-fit candidates: Recruiting platforms with predictive analytics allows companies to source and recruit the best-fit candidates for different roles. When armed with candidate sourcing capabilities, recruiters can access millions of profiles from different platforms and use analytics to funnel the best ones directly into their ATS – thus ensuring quick and accurate hiring.
- Predict candidate retention and performance: Predictive analytics can not only help in bringing the best people on board; it can also predict candidate retention and performance, allowing recruiters to make the best-informed hiring decisions. By assessing candidates on their length of job tenures and benchmarking them against industry standards, predictive analytics can better understand the industry and geographic variations and showcase factors that are likely to influence turnover in the future.
- Ensure inclusive hiring: Since predictive analytics helps in removing bias from the hiring process, it paves the way for inclusive hiring: right from diversity hiring to hiring the best cultural fit. When combined with ethical AI capabilities, analytics can reduce up to 80% of biases, opening the door to diversity and inclusion in HR practices.
- Enable job matching: Instead of simply discarding profiles that do not match current openings, predictive analytics can allow companies to tap into their talent pool and rediscover candidates that fit current or future role requirements. They can then retarget candidates that are a strong fit for open roles in the company and improve hiring quality and efficiency – while constantly keeping track of high-potential candidates and actively nurturing possible future hires.
- Unearth recruitment roadblocks: Analytics also plays a huge role in unearthing recruitment roadblocks and inefficiencies. By constantly analyzing tasks and activities, predictive analytics can deliver objective insight into the effectiveness of recruitment while empowering managers to take steps to improve processes.
- Ensure timely hires: Given how complex and time-consuming the hiring process is, predictive analytics paves the way for proactive recruitment – rather than reactive. For instance, if an employee has put down his/her papers, analytics can empower recruitment managers to float the opening in internal or external job portals and find a replacement – much before the current employee has left – giving sufficient time for knowledge sharing.