Role of Predictive Analytics in Recruitment
Continuous innovation in technology is changing the way recruitment works nowadays. Along with artificial intelligence (AI), Predictive Analytics is another key drivers in the overall hiring process, which is significantly redefining the recruitment domain.
Gone are the days when hiring was handled based on intuitive instincts. Today, predictive analytics is helping organizations to carry out the assessment and evaluation of candidates’ behaviors based on the actual data rather than falling back on any assumptions. Most large size organizations are already making data-driven decisions when it comes to recruitment.
What is Predictive Analytics?
In simple terms, Predictive Analytics (PA) is the use of historical data to predict future events. This means you analyze the past information to determine the likelihood of a future outcome.PA implements many techniques such as statistical modeling, data mining, machine learning, and AI to analyze historical data and make predictions.
Predictive Analytics in Recruitment
The adoption of PA in recruitment is growing rapidly, and the potential is endless. Almost every aspect of hiring from advertising jobs to the selection process to onboarding can be streamlined and optimized with a relevant PA-driven recruitment solution.Three major ways in which predictive analytics benefits recruitment are listed below:
1. Enhances the Quality of the Hiring Process
There is no denying the fact that predictive analytics enhances the quality of hiring and shortlisting candidates. The conventional way of hiring is replaced by data analytics-driven approach. When you combine your recruitment process with an employee lifecycle data such as performance management data, engagement survey information, attrition data; you get a comprehensive prototype that may predict the potential future performance of a candidate. This substantially helps in the overall hiring process as long as you keep making constant adjustments to your talent acquisition model. Many tech recruitment companies are using PA to offer suggestions regarding the right hiring mediums and budget based on a specific role.
2. Effective Sourcing and Outreach
In today’s competitive world, recruiters face a tough time sourcing the right candidate for an open position. This is where predictive analytics comes to their rescue. PA enables collating sufficient candidates’ data from hundreds of thousands of records to identify the right fit and eliminates the ineffective conventional sources of manual hiring. You can also apply such methods to improve your in-house recruitment practices and job-boards among other sources. According to a Recruitment Marketing Survey in 2017, 55% of organizations have already implemented predictive analytics effectively to improve their sourcing mechanism.
3. Faster and Highly Targeted Hiring
Predictive analytics helps to substantially improve the speed of hiring and can save up to 23 person-hours a week, according to ideal. Once the hiring model evolves and becomes more fine-tuned, this is when you save additional business costs and select the best-fit candidates. This is beneficial from recruiter’s perspective, where they can quickly move forward with targeted hiring and close key positions in real quick time.
To Sum Up
Predictive analytics has become more than just a buzzword given the number of PA tools available in the market. It is the next technology innovation impacting recruitment in a bigger and better way. Going forward, you will see many organizations leveraging the power of predictive analytics to meet their hiring goals. This will ensure that their businesses work out to its fullest potential. Eventually, it is all about transforming recruitment through technology.