Why an Applicant Tracking System is More Important Than You Think

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Liz Strikwerda

Content strategist and corporate blogger (2000+ posts). Her work has been featured on G2's Learning Hub, Human Resources Today, Better Buys and over 500 business websites. She plays bluegrass mandolin and enjoys sailing her catamaran and hiking in the red rock wilderness of southern Utah. Connect with me on LinkedIn

Are you skeptical of applicant tracking systems? Misconceptions persist due to outdated stereotypes.

Today’s post is for business owners and HR professionals who have resisted using an ATS. Perhaps you had a bad experience with a first generation system. Maybe you’ve heard stories of ATSs that made hiring harder, not easier.

In this post, we are going to explain the advantages of applicant tracking systems.

First, let’s look at some key statistics. Then we will discuss how they relate to our objective: explaining why an ATS is a necessity.

5 Recruiting Statistics You Need To Know

  1. 75% of hiring professionals use an applicant tracking system.
  2. Of those, 94% believe that it has improved their processes. (Only 5% report a negative impact on their company.) (Capterra).
  3. 98% of Fortune 500 companies use an ATS. For all companies, that number drops to about 40%. (Harris survey for Glassdoor)
  4. 47% of companies have HR software that is over seven years old. (Bersin by Deloitte)
  5. 80% of surveyed HR employees found that using HR technologies improved employee attitude toward the company. (G2) 

Let’s discuss why these numbers matter to your organization.

Your competition is using an ATS…

Clearly the majority of companies use some type of hiring software. Most use an ATS combined with other HR applications. These hiring teams are more efficient and more effective than those who use manual processes.

..but it might be from the dark ages

A Deloitte study found that almost half of companies use HR software that is over seven years old! Companies with legacy systems that haven’t been updated are missing out. 2020 applicant tracking capability is light years ahead of 2013 premise-based technology. Cloud-based providers (like ApplicantStack) perform regular software updates. We also continually add new features requested by our customers.

The latest tools include texting, custom questionnaires, resume parsing, video interviews, and single signon job board posting.

Use a state-of-the-industry ATS to gain the competitive advantage.

Integrations expand ATS capabilities

Today’s ATSs also integrate with hundreds of other types of software and services. This allows you to find the perfect combination for your hiring needs.

Let’s talk about ApplicantStack integrations.

When new clients look into our software, the first thing they ask about is job boards. We integrate with the top job boards like Indeed, Monster, Google for Jobs, and Careerbuilder.

Social media sites are just as important to today’s job seeker and we have you covered there as well. Post to Facebook, Twitter, and LinkedIn from our platform.

Interviews are an important applicant touchpoint with your company. Many companies are having success with video interviews (we integrate with Spark Hire, a video interview service.)

For self-service interview scheduling, take your choice of Google Calendar or Office 365.

Trouble uploading a resume increases the risk of a candidate abandoning their application. Candidates can use Dropbox and Google Drive to upload to our system.

Assessments are becoming increasingly important in talent sourcing. Recruiters use assessments to measure a broader set of skills. These soft skills are difficult to convey in a resume.

Assessments allow companies to cast a wider net. They can look beyond the basic job requirements. If you are having trouble filling skilled positions, consider using assessments designed by experts in your industry. You can screen non-traditional candidates using the same technology used by mega-corporations.

Few hiring teams do in-house background checks. ApplicantStack partners with five background screening providers (for an additional fee). Background check services have access to multiple databases. It saves time and money to use your ATS integration for background screening.

8 Disadvantages of not using an ATS

Companies that don’t use an ATS will struggle to find quality candidates. Especially in highly competitive industries and job markets.

Not using an ATS has a negative impact on the following:

  1. Longer time to hire
  2. Lower quality of hire
  3. Higher cost per hire
  4. Poor applicant experience
  5. Negative employer brand
  6. Decreased onboarding effectiveness
  7. Longer new hire time to productivity
  8. Higher employer turnover

If you are using an old ATS that isn’t working for you, try ApplicantStack free for 15 days. Discover what current generation hiring technology can do for your organization.

By Liz Strikwerda

Simplify HR management today.

Simplify HR management today.

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