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How e�cient is your recruitment?
TalentSpotting carried out in Jan - Feb 2016 a research on recruitment practices and trends on the Romanian market, designed to help companies increase the e�ciency of their recruitment departments.
Recruitment in Romania - Practices and Trends2016
Executive Summary
All the companies identi�ed as best in class for recruitment satisfaction and for recruitment channels e�ciency measure their candidates’ team and culture �t and their results orientation. Interestingly enough, the majority of companies appreciate �exibility more than previous job experience.
In what concerns recruitment departments KPIs, the majority of the companies measure closing time for the vacancies, while over half of them consider mainly the quality of their hires.
Business from IT / Telecom, Call-center / BPO, Commerce / Retail measure closing time, while Banking / Financial Services / Insurance, Professional Services and Health companies consider mainly the quality of hire. Manager satisfaction is important for organizations from Automotive, Advertising, Media, IT / Telecom, BFSI, Media and Professional services.
Identifying quality candidates remains a challenge for most of the companies, regardless of the industry, alongside unreasonable salary expectations, talent competition and the need to reach a large enough pool of candidates for each position.
Businesses are searching most often for specialists, with an annual average of 50 hires, while delays are reported by 1 in 10 companies, at all seniority levels. Recruitment agencies report the biggest delays on the market, and their average delay rate amouts to 8% for all positions, with top hiring lags for managers.
Companies expect recruitment to become more and more di�cult and most of them regard social networks as the future of recruitment, next to referrals. These two recruitment channels are intensely used by the organizations identi�ed as best in class in what concerns recruitment satisfaction and the e�cient use of recruitment channels.
When it comes to professional pro�les that are di�cult to �nd, most issues arise when recruiting IT software experts, who are hard to recruit according to 60% of the respondents. These are followed by IT hardware professionals, technical engineers and sales professionals.
Most of the respondent companies assess their capacity of identifying quality candidates as good and very good. In addition, they are satis�ed with their use of social and professional networks in recruitment and with their ability to reach marginal candidates through their own channels.
However, less than half of the respondent organisations are content with their overall recruitment results. Approximately 65% of the companies scored below their average industries scores in terms of recruitment satisfaction.
The power of social recruitment
The collected data also reveals that there are no signi�cant di�erences in the recruitment challenges based on company industry. It seems that we are all dealing with the same predicaments when faced with attracting the best talent for our organizations.
Contents
Recruitment Channels ................................................................................................................ 1Recruitment Challenges.............................................................................................................2Recruitment Departments and Vacancies............................................................................3Average Closing Time................................................................................................................. 4Di�cult to Fill Positions............................................................................................................. 4 Delays in Recruitment................................................................................................................ 5Time Consuming Factors .......................................................................................................... 6Company Expectations..............................................................................................................7Evaluating Recruitment ............................................................................................................. 8Recruitment Satisfaction ......................................................................................................... 12Recruitment Satisfaction Scores ........................................................................................... 13Recruitment Rating Scores...................................................................................................... 14Recruitment Trends ................................................................................................................... 15Best in Class Companies..........................................................................................................16Industry Focus - IT&C ............................................................................................................... 21Respondent Companies ......................................................................................................... 23
The power of social recruitment
Recruitment Channels
Over 40% of the respondent companies are using their own recruitment team. Social and professional networks (28%) and internal referrals (22%) are among the most used recruitment channels.
27.55 %Social networks
21.70%Referrals
8.56 %Events
40%
Internal recruitment teams
Top recruitment channels
In addition, 9% of the companies rely mainly on events in recruitment.
1
The power of social recruitment
?Did you know that referrals are the #1 source in hiring volume?
Identifying quality candidates
Unreasonablesalary expectations
from candidates
Talent competition
Identifying a large enough pool of candidates for
each pro�le
Recruitment challenges
When invited to acknowledge their recruitment challenges, most companies report di�culties in identifying quality candidates (62%).
Unrealistic salary expectations make recruitment more di�cult for 39% of the respondents, while 32% of them see the biggest challenge in the competition for talent.
Identifying a large enough pool of candidates for each position, next to candidate attraction and engagement in the recruitment process are also serious challenges for employers.
Biggest recruitment challenges
1 2 3 461.96% 27.61%31.90%38.65%
2
The power of social recruitment
?Did you know that referrals are the #1 source for new hire quality?
Recruitment departments and vacancies
Most of the respondent companies have specialists vacancies, with an annual average of 50 hires. Blue collar and sales vacancies follow, with 24 and 20 hire averages per year.
50
24
20
Specialists hired / year
Blue collar hired / year
Sales hired / year
The average number of recruiters amounts to 3 in 80% of the companies, while 6% of the organisations do not have recruitment departments.
79.14%
8.59%6.13%
3
Average number of recruiters
3 recruiters 8 recruiters No recruiters
Average number of recruited positions / year
The power of social recruitment
Average closing time
The average closing time for top management positions amounts to 3.4 months, and 2.7 months for middle management positions.
The average closing time is 2.4 months for specialist positions, and 1.3 months for entry level ones.
Specialist
Entry level
2.40 months
1.33 months
Top management
Middle management
3.42 months
2.72 months
Di�cult to Fill Positions
The collected data shows that companies encounter the biggest di�culties in recruiting IT software (60%) experts, independent of the industry of the company.
IT hardware (21%) professionals, technical experts and engineers (20%) come next, followed by sales professionals (18%), accountants (11%) and customer support experts (10%).
IT Software IT HardwareEngineering -
Technical Sales
58.28% 20.86% 19.02% 17.79%
4
Specialists
Entry level
Pro�les with di�culties in recruitment
The power of social recruitment
Delays in recruitment
Companies report delays at all seniority levels. However, specialist (10%) and manager (5%) positions are �lled with the largest delays.
Thus, 35% of the respondent companies declare recruitment delays for over 15% of their specialist positions. Similarly, 10% of the companies report delays in �lling more than 15% of their management positions.
0
2,75%
5,5%
8,25%
11%
Board members Directors Managers Specialists Administrative Internship/Graduates Blue collar Other
Industry
Recruitment Agencies
Agriculture/Food
IT / Telecom
Commerce / Retail
Professional services
BFSI*
Automotive
Call-center / BPO
Advertising / Marketing
% of all recruited positions
7.97%
6.11%
3.68%
2.92%
2.77%
2.42%
2.29%
2.05%
1.88%
Top delays for
Managers
Specialists
Specialists
Other positions
Graduates / Interns
Specialists
Workers
Other positions
Specialists
5
Delays in recruitment by seniority
Recruitment agencies report the biggest delays on the market, with an average delay rate of 8% for all positions and top hiring lags for managers. Businesses in Agriculture follow with a 6% delay rate and IT / Telecom companies, with a 4% annual delay average for all their positions. In both cases, the biggest delays are declared for specialist positions.
*Business, Financial Services and Insurance
The power of social recruitment
?Did you know that referrals are the #1 fastest time to �ll?
Time Consuming Factors
Almost 74% of the companies spend most of their recruitment time trying to identify suitable candidates. At the same time, 32% of employers invest a lot of time in identifying a large enough pool of candidates for each pro�le.Low show-up rates for interviews are also time consuming for 23% of the respondent organisations.
73.62%
30.67%
23.31%
11.66%10.43%
1.84%
Identifying suitable candidates
Identifying a large enough number of candidates
Low show-up rates
Candidate communication
Sending candidate feedback & status updates
Other (lack of quality candidates)
6
Most time consuming
The power of social recruitment
Companies from industries like Transportation, Health, Agribusiness, Automotive, BFSI, IT and Professional Services invest between 50% and 100% of their recruitment time in identifying suitable candidates.
Transportation / Logistics / Import - Export
Media / Internet
Medical / Health
Recruitment Agencies
Agriculture / Agribusiness / Food
Automotive
BFSI
IT / Telecom
Commerce / Retail
Professional services
Advertising / Marketing / PR
Call-center / BPO
0% 25 50 75 100%
Time spent to identify suitable candidates vs. industry
Identifying a large number of candidates takes also a lot of the recruitment time of Transportation companies, followed by those from Media and Health industries.
Media / Internet
Medical / Health
Recruitment Agencies
Agriculture / Agribusiness / Food
Automotive
BFSI
0% 12,5 25 50 60%
Transportation / Logistics / Import - Export
7
Time spent to identify a large number of candidates for each position vs. industry
The power of social recruitment
Company expectations
Candidates’ team and culture �t - or congruence between the norms and values of the person and those of the organization - is valued by 60% of the companies, alongside results orientation (59%). The ability to work under stress and to deal with continuous change is regarded as important by 43% of the companies.
Flexibility is also appreciated - to a higher extent than previous job experience.
59.51%
Team and culture �t
58.90%
Results orientation
42.94%
Ability to work under stress and deal with continuous change
29.45%
Flexibility
26.99%
Previous job experience
16.56%
Creativity
1.84%
Other*
* initiative, curiosity and technical skills, the desire to develop within the organisation and advanced knowledge of foreign languages
8
The power of social recruitment
Media / Internet
Medical / Health
Agencies
Professional services
Automotive
Commerce / Retail
BFSI*
Call-center / BPO
Agriculture / Agribusiness / Food
IT / Telecom
Advertising / Marketing / PR
0 25 50 75 100
Results orientation vs. industry
Team and culture �t is another essential performance criteria for these companies. In fact, it is more appreciated than previous experience by all the companies, regardless of industry.
Transportation / Logistics / Import - Export
Medical / Health
Automotive
Commerce / Retail
Agriculture / Agribusiness / Food
BFSI
Call-center / BPO
IT / Telecom
Advertising / Marketing / PR
Professional services
Recruitment agencies
Media / Internet
Team and culture �t vs. previous job experience
0%
66.67%
33.33%
11.11%
55.56%
22.22%
10%
40%
25%
16.67%
33.33%
100%
66.67%
66.67%
66.67%
66.67%
60%
60%
58.33%
50%
41.67%
33.33%
42.86% 0%
9
Results orientation is a fundamental performance criteria according to a series of companies from di�erent industries. All the respondents from Transportation, Media and Health use it, alongside the majority of the respondents from Automotive, Commerce, Call-center and IT / Telecom.
The power of social recruitment
*Business, Financial Services and Insurance
Team and culture �tPrevious job experience
Evaluating recruitment
Closing time for the vacancies is a KPI for 68% of the respondent organizations when evaluating the e�ciency of their recruitment departments.
In turn, quality of hire is taken into account by 58% of the companies; it is a top KPI for respondends from Media, Transportation, BFSI, Health and Professional services.
Manager satisfaction - measured after 3 or more months from hire start - is an important KPI for 45% of the respondents. Most of them represent industries like Automotive, Advertising, Media, IT / Telecom, BFSI and Professional services.
Manager satisfaction
Closing time for the vacancies
Quality of hire
Costs
Performance rating
Churn / Attrition / Turnover
Others*
0% 17,5% 35% 52,5% 70%
* Number of interviews per pro�le; the evolution within the organization; internal recruitment
10
Recruitment departments KPIs
The power of social recruitment
Costs are an important KPI for 17% of the participating companies - speci�cally for organisations from Agribusiness and BFSI.
11
Manager satisfaction
Closing time for the vacancies
Quality of hire
Costs
Performance ratings
Churn
0 % 25 % 50 % 75 % 100 %
Manager satisfaction
Closing time for the vacancies
Quality of hire
Performance ratings
Churn
0 % 17,5 % 35 % 52,5 % 70 %
Manager satisfaction
Closing time for the vacancies
Quality of hire
Performance ratings
Churn
0 % 15 % 30 % 45 % 60 %
Agriculture / Agribusiness / Food
IT / Telecom
Call-center / BPO
Manager satisfaction
Closing time for the vacancies
Quality of hire
Performance ratings
Churn
0 % 15 % 30 % 45 % 60 %
Commerce / Retail
Manager satisfaction
Closing time for the vacancies
Quality of hire
Costs
Performance ratings
0 % 20 % 40 % 60 % 80 %
BFSI
The power of social recruitment
Almost 47% of the companies are satis�ed and very satis�ed with their recruitment results, while 12% are little or not satis�ed at all.
46.63%
Satis�ed and
very satis�ed
12.27%
Little or not satis�ed at all
In turn, referral programs are assessed as weak by 27% of the respondents, who are also dissatis�ed with their candidate attraction and engagement in the recruitment process (16%).
Most of the respondents assess their capacity of identifying quality candidates (90%) as good and very good, next to recruitment through social and professional networks (88%) and their ability to reach marginal candidates through their own channels (83%).
Good and very good
Identifying quality candidates
Social and professional network recruitment
Reaching quality candidate through company owned channels 89.57%
88.34%
83.44%
Weak
Reaching quality candidate through company owned channels
Candidate attraction and engagement in the recruitment process
Referral programs e�ciency 26.99%
15.95%
14.11%
12
Recruitment Satisfaction
The power of social recruitment
Average Recruitment Satisfaction Scores
Recruitment Satisfaction Scores
Respondent companies were invited to evaluate their level of satisfaction in what concerns recruitment using a 1 to 5 scale.
Average recruitment satisfaction scores (ARSS) calculated per industry indicate that companies from Automotive, Transportation, Advertising, Professional services and BFSI, IT / Telecom - among others - are some the most satis�ed in terms of recruitment.
Automotive
Transportation / Logistics
Recruitment agencies
Advertising / Marketing / PR
Professional services
BFSI
IT / Telecom
Agriculture / Agribusiness / Food
Commerce / Retail
Medical / Health
Media / Internet
Call-center / BPO
Constructions
Pharma
0,0 1,0 2,0 3,0 4,0
43,56%
49,69%
Companies above industry ARSS
Companies below industry ARSS
13
43,56%
The power of social recruitment
Recruitment Rating Scores
Respondent companies also rated the e�ciency of their recruitment channels using a 1 to 3 scale.
Collaboration with recruitment agenciesIdentifying marginal candidates through your own channelsReferral programs e�ciencyIdentifying quality candidatesCandidate attraction and engagement in the recruitment processCandidate communicationSocial and professional network recruitmentJob sites recruitmentMass recruitment events participationTargeted events
Average Recruitment Rating Scores (ARRS) calculated per industry show that companies from industries like Automotive, BFSI and Call Center assess their recruitment as e�cient and top e�cient.
0 0,65 1,3 1,95 2,6
Electronics
Oil & gas
Media / Internet
Automotive
Tourism / Hospitality
BFSI
Call-center / BPO
Professional services
Energy
Environment protection
Medical/Health
Commerce/Retail
IT / Telecom
Agriculture/Agribusiness/Food
Recruitment Agencies
Education / Training
Constructions
Pharma
Sports/beauty
Advertising / Marketing / PR
Transportation / Logistics
Textiles
Library
Other
While average recruitment satisfaction scores suggest that almost half of the participant companies are satis�ed with their recruitment, average recruitment rating scores show that the majority are discontented with the e�ciency of their recruitment channels.Thus, 64.42% of the respondent companies scored above their industries averages, while 29.45% obtained scores above their market results.
64,42%
Companies above industry ARSS
Companies below industry ARSS
14
29,45%
The power of social recruitment
Recruitment trends
Most of the companies anticipate that recruitment will become more and more di�cult (72%) and expect social and professional networks (74%) to become the trend in recruitment.
Referral programs (50%) and targeted events (37%) are also seen as the future of recruitment channels.
Social and professional networks
Referral programs
Targeted recruitment events
Job sites
Job fairs
Others
20%
1%
3%9%
40%
27%
(open days, employer branding, events)
Industry
IT/Telecom
Call Center / BPO
BFSI
Commerce / Retail
Automotive
Agencies
Referral (1 to 3 scale)Social networks (1 to 3 scale)
1.4
1.7
1.53
1.67
2
1.08
0.82
2.2
2.07
2
2.17
2.33
15
Trending: social networks vs. referral ratings
Trending recruitment channels
The power of social recruitment
Best in class companies use mainly social and professional networks in recruitment (34%) and referrals (26%).
When it comes to evaluating employee performance, companies with the best recruitment results consider their team and culture �t (58%) and their employees’ ability to work under stress and continuous change (50%).
Best in class organisations also appreciate their candidates' results orientation and �exibility (42%).
Average number of recruiters in best in class companies: 4.36
Best in class companies
Best in class for recruitment satisfaction
These are companies from a series of industries, satis�ed and very satis�ed with their recruitment results. Total best in class companies for recruitment satisfaction: 12
Average Recruitment Satisfaction Score: 4,25
Industries:
IT-Telecom
Call Center / BPO
Commerce / Retail
Automotive
Human ResourcesBFSI (Business, Financial Services and Insurance)
1 2 3 4 5
1 2 3 4 5
16
The power of social recruitment
Top recruitment channels for best in class companies according to recruitment satisfaction
Social and professionalnetworks
Referrals
34%
26%
RecruitmentAgencies
11%
Events
10%
Top performance criteria for best in class companies according to recruitment satisfaction
Team and culture �t Ability to work under stress
Results orientation Flexibility
58% 50% 42% 42%
17
The power of social recruitment
?Did you know that 46% of all hires at top performing companies are referrals?
29,45%Closing time for the vacancies is the most important metric when evaluating the e�ciency of Recruitment departments (83%) in best in class companies according to recruitment satisfaction. Churn / attrition rates come next (33%), followed by quality of hire (25%).
Closing time for the vacancies
Churn
Quality of hire
Performance ratings
Costs83%
33%
25%17%
8%
Best in class companies expect social and professional networks to dominate among recruitment trends (75%), alongside referral programs (25%).
Social and professional networks
Referrals
Job sites
Job fairs
Targeted events
75%
25%
17%
8%
8%
18
The power of social recruitment
Best in class for recruitment rating
Six companies were identi�ed as best in class among those that rated their use of recruitment channels as good and very good in the same group of industries: IT-Telecom, Call Center / BPO, BFSI, Commerce / Retail, Automotive and Human Resources. These organizations positively rate their recruitment according to their use of recruitment channels.
Social and professional networks, next to referral programs, are top recruitment channels for these companies and are used by roughly 30% of the respondents identi�ed as best in class for recruitment rating.
Average recruitment rating scores: 2.74
Social and professionalnetworks
Referrals
31%
29%Agencies
23%
Events
14%
Top recruitment channels
Team and culture �t (70%) are the most important performance criteria for best in class companies according to recruitment rating, followed by results orientation and the ability to work under stress, which are simultaneously used by half of these companies.
70%
50%
50% 50%
Team and culture �t Results orientation
Ability to work under stress
Flexibility
19
1 2 3
Average numbers of recruiters: 3.83
1 2 3 4
Top recruitment channels simultaneously used by best in class companies for recruitment rating
The power of social recruitment
Best in class companies mainly consider closing time for their vacancies and performance ratings when evaluating their recruitment departments.
They also employ KPIs like churn rates and costs.
83%33%
33% 17%Social and professional networks
Job sites
Customized events
Job fairs
33%
Referrals
Top recruitment trends* for best in class companies according to recruitment rating
33%
50%17%
Churn
Performance ratings
Costs
50%
Closing time for the vacancies
Top KPIs for best in class companies for recruitment rating
33%
Quality of hire
Best in class companies for recruitment rating see the use of social and professional networks as the main trend in recruitment. In addition, they expect referrals, job sites and customized events to also be a part of recruitment trends.
20*Simultaneously expected
The power of social recruitment
21
Industry Focus - IT&C
Average number of employees % of total IT / Telecom
25 15.00%
75 21.67%
200 28.33%
400 10.00%
750 5.00%
2000 16.67%
3000 3.33%
60 respondent companies
Company average sizes
Top locations
Bucharest38.89%
Cluj - Napoca14.44%
Timisoara38.89%
Averagenumbers of
recruitersin companies
5.55
Top categories recruited per year Recruited Positions
Specialists
68Graduates / internship
27Managers
5
Average delay rate in IT / Telecom: 3.68%
Specialists
17%Managers
4%Other positions
3%
Total average number: 100
Most employed performance criteria
Team and culture �t
58.33%Results orientation
51.67%Previous job experience
40%
Top Delays
The power of social recruitment
Top challenges
Identifying quality candidates
61.67%Unreasonable salary expectations from
candidates
48.33%Competition
45%
Most time consuming activities in recruitment
Identifying suitable candidates
Identifying a large enough number of candidates
Low show-up rates
75%
46.67%
20%
Most used KPIs for recruitment departments
Closing time for the vacancies
Quality of hire
Performance ratings
58.33%
46.67%
41.67%Manager satisfaction
33.33%Churn
21.67%
Average closing time in the industry: 2.09 months
Average closing time per position
Top management
Manager
Specialist
3.6months
2.1months
1.8months
Entry Level
1.2months
Average recruitment satisfaction rate in the industry (1 to 5 scale): 3.38
1 2 3 4 5
22
Top recruitment trends according to industry respondents
Social and professional networks
Referral programs
Personalised recruitment events
75%
57.67%
43.33%
1month
2month
3month
The power of social recruitment
Respondent companies
The representatives of 163 companies participated to the research - most of them from Bucharest (64%), followed by Cluj-Napoca (11%) and Timisoara (8%). The majority of the respondent companies (66%) have over 100 employees.
Most of the companies represent the IT / Telecom industry (37%), followed by Recruitment Agencies (7%) and Call-center / BPO, Banking / Financial Services, Commerce / Retail and Agriculture / Agribusiness (6% each).
IT / Telecom46,81
%Recruitment
Agencies
7,36%
Call-center / BPO6,13
%
Agriculture / Agribusiness /
Food
5,52%
Banking / Financial Services
5,52%
Commerce / Retail
5,52%
Most of the respondents are specialists (45%), mainly from Recruitment departments (88%), followed by junior managers (20%), senior managers (14%), directors (10%), and boardmembers (6%).
SpecialistJunior managerSenior manager
Bucuresti
Cluj
Timisoara
Brasov
Iasi
Sibiu
0 % 2,75 % 5,5 % 8,25 % 11 %
63,8%
23
10,43%
7,98%
1,84%
1,48%
1,84%
Top respondents’ locations
44.79% 19.63% 13.50% 9,82% 5,52%
Director Board member
The power of social recruitment
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