Recruitment must be a core strategic asset if people are truly contributors to competitive advantage. Many organizations depend heavily on having the right people in the right place at the right time. Recruiting process efficiency and effectiveness are very important to any organization. The goal is to reduce hiring costs and hire quality resources.
Efficiency is a measure of speed and cost. Hiring more people in less time is critical to fulfill the company/project immediate resource needs. This can improve the critical metrics of recruitment success like Hiring Cost, Time to Hire, etc. The following metrics are useful for executives/managers to assess the efficiency of their hiring process.
Reports like the sample report below help executives and managers to evaluate how efficiently the recruitment process is being executed.
How efficient are we at each recruitment step?
Are there any stages having bottlenecks (based on certain thresholds)?
What is the candidate total experience? etc.
Effectiveness is a measure of quality. Recruitment always carries a cost and depends on the ability to gain a returns on the recruitment investment by hiring quality candidates. The following metrics are useful to assess the quality of new hires.
The following dimensions associated with the above metrics are useful for hiring managers and recruiting managers to improve the strategy of recruitment.
Hiring effectively is often more important than hiring efficiently to gain more return-on-investment (ROI). Efficiency vs. effectiveness challenges often do exist and depend on certain recruiting situations.
Examples:
The following Requisition process metrics are also being used to evaluate efficiency vs. effectiveness.
Ramesh Ponaganti is Business Intelligence Architect at KPI Partners. He has specialized in the Oracle BI Applications and his work has been recognized with an Oracle Excellence Award. Check out Ramesh's blog at KPIPartners.com. |