Recently, I heard a commercial from Indeed.com. The ad was aimed at candidates, not employers, and focused on the ways Indeed can help candidates find the best employer. Candidates now have more choices than ever before. A growing abundance of remote and freelance work in many professions means that geography is no longer a restriction and workers have more flexibility when choosing work.
The way we search for jobs has changed. Websites like Indeed.com, Salary.com, and Glassdoor.com all help candidates research the culture, salaries, benefits, and reputation of companies they are considering before filling out an application. Candidates (and often, your existing employees) are armed with more information and are using it to be selective.
In this new employment landscape, what can firms do to adapt to this changing employer-employee relationship? Start by assessing your existing Human Capital Management Strategy and begin thinking about how to integrate technology.
Here are three key places you can integrate technology to have a big impact on your firm’s talent:
Acquisition & Onboarding
When treated as a strategic function, talent acquisition can have a profound effect on your ability to influence company culture, establish an employer brand, and ultimately make your firm more attractive to prospective candidates.
Organizations typically just don’t have the bandwidth to achieve this without the support of an applicant tracking system (ATS). An ATS can free your organization from the repetitive, administrative tasks associated with recruiting, which can make it difficult to provide a top-notch applicant experience.
An applicant’s experience during the interview process can be the difference between a great candidate accepting your offer or going to the competition. But even after an offer letter is signed, much more needs to happen to reaffirm that choosing your company was a wise decision.
Onboarding is a critical first step in the employee lifecycle, but few organizations have a thorough strategy in place to integrate new hires into the company in a way that supports retention and engagement. When you create an onboarding strategy that includes your new hires’ needs and integrates collaborative planning for development, you’ll set your employees on a path toward long-term engagement and success within the company.
Post-Hire Professional Development
Talent acquisition is one of the most expensive business processes in any organization. It’s time to start talking about how to reduce acquisition costs by investing in post-hire human capital management initiatives that develop and retain existing employees.
Your employees want opportunities to develop and tend to stay with an organization longer when this investment is made. Unlike throwing additional funds at the acquisition process, spending on learning initiatives for your workforce is mutually beneficial for employers and employees. Increasing employee engagement is shown to have very positive effects on business performance. For example, according to recent Gallup research, the behaviors of highly engaged business units result in 21% greater profitability. It’s worth noting that not every resource problem in your organization is an acquisition problem. Sometimes the problem may be repetitively hiring for the same role or a failure to identify the next great leader. Most of the time, due to manual processes, businesses can struggle to predict future needs and end up scrambling.
According to multiple bodies of research, including Deltek’s own Clarity surveys, many organizations have a partial succession plan in place, but the majority are not prepared for expected or unexpected turnover. Whether the role is a leadership position or an important individual contributor, thorough succession plans are a must to help businesses weather the churn created by employee turnover.
It’s not enough for succession plans to live inside the brain of a single individual. By using the latest succession planning tools available through your talent management software, you can develop, maintain, and test succession plans to ensure that future leaders are ready to advance when you need them most.
Tracking Key Performance Indicators
Even less data-driven companies are beginning to track key performance indicators (KPIs) related to talent management–but the problem is that many are not tracking the right metrics.
Some metrics, like voluntary and involuntary turnover rates, are really just numbers. They fail to provide companies with the information needed to craft, implement and measure a more effective human capital management strategy.
Using a talent management solution to track metrics like Time to Start, Lead Time to Billable, and Talent Acquisition Sourcing Channel, your company will generate more sophisticated and actionable insights. Here is a closer look:
- Time to Start: the amount of time it takes to bring a new hire on board from the moment the position is first publicized. This KPI determines the overall success of your acquisition strategy.
- Lead Time to Billable: use this metric to assess the efficiency and effectiveness of the onboarding process. The more quickly a new hire is assigned to billable project work, the sooner that employee is contributing to revenue.
- Talent Acquisition Sourcing Channel: how effective are the job boards and social media sites on which you advertised open positions? By monitoring this metric, you will be able to determine which sources are the most effective for specific job categories and for your organization more generally.
Using technology to help you track, benchmark, and eventually predict metrics will help HR professionals to position human capital management as a strategic cornerstone for their organization.
For most organizations, a lack of integrated technology bogs down HR with administrative work and limits time for value-added activities such as strategic talent acquisition, retention and development. It prevents HR from being seen as a key contributor to strategic planning by limiting the analytics and insights they can provide at the executive level.
HR needs to partner with other functions within the organization, such as IT and Finance, to develop and then implement an HR technology roadmap. Human capital management solutions are the most powerful when they are integrated with the existing enterprise resource planning (ERP) solutions used by your organization. All of the above challenges can be addressed and improved by the effective use of digital human capital management solutions.