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RECRUITMENT &

ONBOARDING TOOLS
USAGE TRENDS
REPORT | 2018-19

© 2018-19 HR Technologist. All rights reserved.


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Table Of Contents

Introduc on Page 1
1

Demographics Page 2 to 4
2

3 Survey Findings Page 5 to 18

4 About HR Technologist Page 19

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© 2018-19 HR Technologist. All rights reserved.


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Introduc on
HR Tech con nues to grow and spread into every single HR func on. This report seeks to present the sen ments of
users of Recruitment & Onboarding tools – the first stop in a full HR Tech stack.

We surveyed HR prac oners across North America, Europe and Asia, comprising talent acquisi on staff,
reten on managers, recruiters and consultants. The filters were quite strict, with only those who used
recruitment and/or onboarding technology being considered suitable for the findings report. Our findings
therefore arise from the responses of the 220 eligible respondents extracted from the overall survey responses.

Respondents were asked to share their feedback on the recruitment and onboarding tools they were currently
using, their views on the business impact of those tools, and the roadblocks they faced using RecTech
(Recruitment Technology) more strategically in their organiza ons. We also asked them to rate the most (and
least) useful features of their tools, and their future plans for RecTech priori es and investments. All this and more
are presented in this report.

Take-aways for readers:

— Trends in the deployment of recruitment and onboarding tools across organiza ons of varying sizes

— How these tools are being used in the industry

— The most useful features and func onali es of these tools

— Investment and priority areas for the future in the Recruitment and Onboarding space

Note: This report is vendor neutral.

“ The HR technology marketplace is fascina ng. With more than 12 million companies in the US alone
(employing more than 160 million people), the payroll market alone is over $1.7 trillion in spending.
Expanded around the world, these numbers are approximately four mes higher, and in emerging
countries like China and India the HR needs are explosive.
I’ve been studying this market for close to 20 years and it is now more confusing than ever. Not only do
we have an exploding number of core cloud-based HCM systems (payroll, HRMS, core HR transac on
processing), there are billions of dollars now being invested in new tools for recruitment, performance
management, engagement, training, inclusion, analy cs, and well-being. New solu ons for agile pay,
AI-based coaching and development planning, employee feedback and engagement, video learning

and interviewing, intelligent chatbots, and smarter analy cs are hi ng the market every week, and
their user experience, design, and intelligence is moving faster than ever.
- Josh Bersin, quoted from his website

© 2018-19 HR Technologist. All rights reserved. Page 1


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Demographics
Number of Employees in the Organiza on

70% 13% 6%

SMALL MID-SIZE LARGE


(< 250-500) (501-1000) (1001-2500)

11% 1% #employees

ENTERPRISE NOT SURE


(> 2500 employees)

Business Presence
North America
Europe Asia
(incl. the Middle East)
North America
65% and Europe
8%
4% 14%

© 2018-19 HR Technologist. All rights reserved. Page 2


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Role at Workplace

HR Manager 29%

HR Execu ve 21%

Talent Acquisi on Specialist 11%

Technologist 9%

HR Prac oner 8%

External (Staffing) Consultant 5%

Others (Directors, CEOs, MDs, etc.) 17%

Use of R&O Technology / Pla orm in the Organiza on

Recruitment only Both


27% 40%

Onboarding only None


10% 22%

*Base: Total Respondents

Around the Web


— 38% of companies are thinking about digital HR, but only 9% of them believe they are fully ready for it.
72% of organiza ons believe digital HR is an important priority and 32% say it is very important.
Source: Deloi e University Press

© 2018-19 HR Technologist. All rights reserved. Page 3


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

COMPANIES WITH AN
ENGAGING ONBOARDING
PROGRAM RETAIN

91%
OF THEIR
FIRST-YEAR WORKERS.
HRT’s Buyers Guide to
Recruitment & Onboarding
Technology can help you get there

DOWNLOAD NOW

© 2018-19 HR Technologist. All rights reserved. Page 4


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Survey Findings
Number of Years the So ware has been Deployed in the Organiza on

20%
< 3 years

3 to 5 years
61% 19% > 5 years

Around the Web


— Almost 60% of job seekers report having a poor candidate experience.
(Source: Future Workplace & CareerArc study via workplacetrends.com)

— Spending on cloud HR so ware is increasing faster than “spending on installed or on-premises HR


so ware”. HR cloud solu ons will cons tute 50% or more of all HR technology spending by 2017.
(Source: Gartner)

— 75% of hiring and talent managers use either applicant tracking or recrui ng so ware to improve
their hiring process. (Source: Capterra)

© 2018-19 HR Technologist. All rights reserved. Page 5


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Type of Recruitment / Onboarding Type of Recruitment / Onboarding


Tool Being Used – Across All Tool Being Used – by Mid-Large
Company Sizes Size Companies

16% 18%
Stand-alone Stand-alone
36% An all-in-one suite 34% An all-in-one suite

A custom / in-house A custom / in-house


developed tool developed tool
48% 48%

— A similar usage pa ern is observed across overall respondents, and only mid-to-large size companies,
when it comes to choice of deployment model, with stand-alone tools being the more popular choice.

Recruitment / Onboarding

© 2018-19 HR Technologist. All rights reserved. Page 6


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Reasons for Choosing Standalone R&O Tools


50 49%

40

32%
30
26%

20

11% 11%
10

2%
0
Features and Add-on tools and Be er Offers Pricing Other
func onali es customiza ons customer ver cal specific
have deeper more easily possible support versions
specializa on

Advantages Disadvantages

Makes sense for companies that have a core dependency on — Limited integra on.
and high volumes of recruitment and onboarding; and need
more specialised features to serve those needs op mally. — Mul ple vendor management.
— Contractual obliga ons.
— Features and func onali es are deeper and specialized:

— Many HRMS packages don’t provide applicant tracking, let


alone sophis cated gamifica on and social media op ons.

— Ver cal-specific versions for certain industries.

— Ease with which businesses can change configura on:

— Responding to business process changes needs less planning


with less direct impact on other systems.

— Add-on tools and customiza ons more easily possible.

— Flexibility with vendors – lower dependence on any one vendor.

— More focused and be er level of vendor support.

© 2018-19 HR Technologist. All rights reserved. Page 7


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Reasons for Choosing all-in-one R&O Suite


80
74%

62%
60
57%
43%
40

20

7%

0
Smoother Single Seamless Security Others
integra on and vendor support candidate experience compliance and control (Cost, etc.)
data flow considera ons

Advantages Disadvantages

Makes sense for employers who need a broad range of R&O systems — Vendor focus or strength
and for whom ongoing recruitment is neither core nor in high may not be R&O.
volumes.
— Depth of exper se is lower –
— Easier Onboarding – All-in-one approach makes switch limited customer support
from recruitment to onboarding ac vi es simpler. exper se on any one area.

— Consistent user experience & familiarity – The new hire is — Less customiza on possible,
already familiar with the look and feel of HR systems, via limited features and add-ons
their interac ons during recruitment. possible.

— Security – Data input is considerably more secure as there — R&O may be lower priority
are less external data transi on points. than other func onal
modules.
— Single system means less training for both HR staff and
employees.

— Single vendor support means there is only one Helpdesk


to contact for all exigencies.

© 2018-19 HR Technologist. All rights reserved. Page 8


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Maturity Level of Your Organiza on's R&O Technology

50% 26%

Just star ng On our way

14% 11%

Almost there Pro

Level of maturity of using R&O Technology

— These sta s cs indicate that nearly 80% companies will take some me to completely
understand R&O technologies, their usage and benefits.

© 2018-19 HR Technologist. All rights reserved. Page 9


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Most Useful Features of Your Recruitment Marke ng Module

44% 38% 9%
Employer branding Job pos ngs Candidate rela onship
management

5% 3% 2%
Employee referral Search engine Social media
marke ng marke ng

Employer Branding Job Pos ngs Candidate Rela onship


Management (CRM)

Top talent will gravitate Though tradi onal, this is As recrui ng becomes
towards Brands they s ll a high performance increasingly candidate
respect. Recruiters use this tac c when it comes to centric, the importance of
module to posi on the building awareness among proac ve rela onship
brand appropriately, candidates of specific open building with the universe
create credibility and catch posi ons – except the of prospec ve talent has
the a en on and system can now be become crucial.
interest of the most automated and scaled.
desirable talent.

Source: HRT Buyers Guide to Recruitment & Onboarding Tools

© 2018-19 HR Technologist. All rights reserved. Page 10


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

More Sta s cs on Employer Branding

1 2 3
Linkedin reports that 75% of job seekers 92% of candidates say they
companies that have a consider an employer’s would consider leaving their
stronger employer brand brand before even current jobs if a company
compared to those of their applying for a job. with an excellent corporate
compe tors on average reputa on offered them
see a 43% decrease in the another role.
cost per candidate they hire.

4 5 6
According to Linkedin, 94% of candidates are Companies with a strong
80% of talent leaders agree likely to apply for a job employer brand receive
that employer brand has if a company 50% more qualified
a significant impact on their ac vely manages its applica ons and take
ability to hire great talent. employer brand. 1-2x less me to hire the
right candidate.

Source: 10 Employer Branding Sta s cs HR Professionals Need To Know

More Sta s cs on Job Pos ng


— Job boards and job-aggregators are central to the recrui ng ecosystem because direct applicants
make up 48% of all hires*.
— In 2016, 58% of small businesses reported “hiring or trying to hire” and 52% reported scarcity or lack
of qualified applicants for their open posi ons**.
— It is becoming increasingly difficult to fill posi ons – 65% of recruiters claim talent shortage is the
biggest challenge in hiring**.
Source: *The 29 Top Recrui ng So ware Tools of 2018
**Recruitments Stats - Must Know

© 2018-19 HR Technologist. All rights reserved. Page 11


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Importance of Candidate Poor Candidate Experience


Rela onship Management and its Impact

of candidates believe interac ons of candidates who gave their interview


66% with employees are the best way 41% experience the lowest possible score
to get insights into a company*. said they would go to a compe tor**.

candidates are 2x more likely to accept job seekers say they would not re-apply
2X cold emails from recruiters if they have 80% to a company that didn’t no fy them of
interacted with your brand before*. their applica on status**.

of professionals are passive candidates. job seekers report never having been
75% Build your brand and engage with them 78% asked for feedback on their interview
proac vely!* experience**.

Source: *Candidate Rela onship Management (CRM),


**Biggest Recruitment Challenges, of job seekers report having a poor
***Future workplace and career arc via workplacetrends.com 60% candidate experience***.

© 2018-19 HR Technologist. All rights reserved. Page 12


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Most Useful Features of an Applicant Tracking System (ATS)

60% Resume parsing with advanced keyword search

17% Applicant workflow tracking

13% Talent assessment and screening

4% Candidate communica ons manager

3% Interview tools and management (incl. video interviews)

3% Background checks

1% Calendar management/scheduler

Resume Parsing with Applicant Workflow Talent Assessment


Advanced Keyword Search Tracking and Screening

Automa cally capture all Offers pre-determined By searching for and


data from CVs into workflow tracks for various matching pre-selected key
structured formats into a profiles, so the most words, the system
centralized and forma ed efficient recrui ng journey automa cally filters,
data repository for easy is followed in every matches and shortlists the
access, comparison, instance. best resumes for final
retrieval, and list manual comparison.
genera on.

Source: HRT Buyers Guide to Recruitment & Onboarding Tools

© 2018-19 HR Technologist. All rights reserved. Page 13


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Most Useful Features of Your Employee Onboarding So ware

71% Paperless onboarding

12% Customizable employee onboarding

9% Employment compliance

7% Pre-joining onboarding

1% Training and orienta on automa on

Benefits of Paperless / Digital Onboarding*


— Gives employees / clients a hassle-free onboarding experience across pla orms and at their convenience.
— Decreases onboarding me by reducing 90% of me by automa ng processes and collec ng
informa on in intui vely designed forms.
— Decreases up to 95% manual processing errors and process inefficiencies.
— Reduces up to 85% of onboarding cost by going completely digital.
— 100% safe and secure mode of document management designed to support business modules.
Source: *Paperless Onboarding Benefits

Around the Web


— ADP reports that 44% of HR Managers have trouble keeping up with ever-changing employment
laws*.
— Sta s cs compiled by Jury Verdict Research show that employment lawsuits have risen 400% in
the last 20 years, with the average compensatory reward in federal employment cases now exceeding
$490,000*.
Source: *HR Compliance

© 2018-19 HR Technologist. All rights reserved. Page 14


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Must-have Func onali es of Recruitment and Onboarding So ware

64% 20% 5%

Easy Integra ons Intui ve Repor ng Dashboards


and Data Flow User Interface and Visualiza ons

4% 4% 2%

Data Security and Mobile Languages and


Disaster Recovery Plan Accessibility Localiza on Op ons

Easy Integra ons Repor ng, Dashboards


Intui ve Interface
and Visualiza ons

An important Ease of use, UX ra ngs, Track performance


considera on while and user comfort are data including best-
choosing R&O so ware important performing candidate
is the integra ons they considera ons to sources, hiring velocity
provide so that the new op mize adop on of the and TATs, cost per hire,
tool will seamlessly fit
into exis ng HR so ware by HR health of the recrui ng
workflows. prac oners. pipeline, etc.

Source: HRT Buyers Guide to Recruitment & Onboarding Tools

© 2018-19 HR Technologist. All rights reserved. Page 15


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Roadblocks to Using HR Tech More Strategically

43% Lack of top 16% Budgetary constraints.


management support.

Inadequate features
8% and func onali es in the
8% Driving adop on across
the HR organiza on.
deployed tool.

7% Lack of Integra on with 6% Demonstra ng results


(ROI on tech) to
exis ng systems.
management.

5% Lack of vendor support.


2% Too many confusing
op ons to choose from.

Lack of tech skills in


2% Inability to leverage 2% HR team to use the
data and analy cs.
so ware.

Around the Web


— Of the 45% of HR managers who face obstacles in implemen ng new technologies, 2 in 5 said they don’t
have the C-suite’s buy-in to invest in be er tools and 1 in 5 said they can’t get support from their tech
teams to implement what they need.
— 27% of HR managers said integra ng disparate systems is a major concern for them and 24% said the
same for trying to pull consistent, meaningful data from various sources.
— 18% of HR managers are concerned about keeping up with required system upgrades or launching
features from new releases.
— More than a 3rd of HR managers s ll use Excel spreadsheets to keep track of job candidates, 40%
manually manage payroll and 60% manually administer benefits.
Source: HRTechoutlook.com, Major challenges

© 2018-19 HR Technologist. All rights reserved. Page 16


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

RecTech Budget Trends as We Head into 2020

42%
40%

13%
5%

Decrease Not sure Will remain Increase


the same

Around the Web


The global e-recruitment industry saw annual growth of 7% in 2016, and turnover for the U.S. market for online
recruitment alone is expected to surpass US $10 billion by the end of 2020. The big three markets in Europe are
Germany, France and the United Kingdom. Each of these is worth close to US $ 100 million. The world market has
been increasing at an average rate of 9% since 2014 in North America and most European countries.
Source: e-recruitment sta s cs

© 2018-19 HR Technologist. All rights reserved. Page 17


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

Key RecTech Ini a ves for 2019


What HR Leaders will focus on and priori ze in the coming year

56% Be er Candidate Sourcing tools

51% Improve skills to use analy cs and data be er

48% More efficient and effec ve Job Pos ng tools

38% Get serious about strategic onboarding

33% Upgrade Applicant Tracking System (ATS) module

29% Upgrade Recruitment Marke ng module

27% Go mobile

26% Explore AI and Machine Learning for talent acquisi on & reten on

24% Upgrade Candidate Rela onship Management (CRM) module

21% Get video interviewing tools

2% Other

Around the Web


— 59% of candidates use social media to research companies they are interested in*.
— 67% of candidates use Facebook compared to just 35% on Twi er*.
— Job posts get 36% more applica ons if accompanied by a recrui ng video*.
— Companies with an integrated approach to talent management have an 87% greater ability to hire
the best talent*.
— “Fewer than 20% of companies deploy their HR and employee produc vity solu ons on mobile apps
today”. (Source: Bersin by Deloi e).
— Mobile technology is used for coaching and performance management by 7% and 10% of companies
respec vely. (Source: Recruitments Stats - Must Know).
*Source: Be er Candidate Sourcing Tools.

© 2018-19 HR Technologist. All rights reserved. Page 18


RECRUITMENT & ONBOARDING TOOLS
USAGE TRENDS REPORT | 2018-19

About HR Technologist
HR Technologist is one of the fastest growing media brands providing unbiased news, in-depth research, expert
views and perspec ves on the growing HR technology space. Our community, of over 100,000 professionals,
includes highly engaged thought leaders and HR & technology experts, that regularly contribute and par cipate
on HR Technologist. Leading HR technology companies partner with HR Technologist to reach these highly
engaged audiences and drive improved awareness and growth.

Download the HR Technologist Media Kit (inclusive Editorial Calendar 2018) here.

For sales enquiries email Mukesh Rajpurohit ( VP Sales), at mukesh.rajpurohit@hrtechnologist.com

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