Can a recruitment system pay off?
We sometimes hear the HR manager say "We don't have the budget for a recruitment system", and wonder how this can be? Is it because recruitment costs are not as visible as marketing costs? In this article, we will try to shed some light on the hidden costs when you recruit as a company.
A time saving of 50%.
One of our customers commented not long ago:
"Well, if you say that it used to take two days to recruit in the past, we spend a maximum of one day on it today. If not less!"
Afterwards, he described the days when recruitment was done by email and Excel was the primary recruitment tool. How long columns of applicants had to be kept track of and handled differently according to their qualifications. And how the job posting had to be manually placed on the website and removed again when the posting expired. It all took time!
When these non-value-adding processes are digitized, you can focus on value-adding tasks instead.
Examples of savings when recruitment is digitized
- Shortening time-to-hire
Typically, you can shorten the recruitment process by 10-15 days by streamlining workflows.
In a company that hires 35 employees annually, that's 350 days of additional production! That's more than a year's extra capacity! - Lower employee turnover
If we assume an average start-up period of 1 month, 3 months' notice and a monthly salary of DKK 35,000, an expected reduction in employee turnover (quitting) due to improved start-up will result in significant savings:
Value: 2 employees x DKK 35,000 x 4 months = DKK 280,000 saved (excl. lost revenue)
- In-sourcing of recruitment tasks
- With a system for handling tasks, you can often handle tasks yourself that were previously outsourced.
Price per external course: DKK 40,000
Value: 2 tasks x DKK 40,000 = DKK 80,000 saved - Time savings
24 minutes per candidate! This figure is based on analysis of our existing customer portfolio when including job creation, publishing, communication with candidates,
screening, interview calls and internal communication across the organization.
Value: 35 annual positions x 24 minutes x 45 applicants = 630 hours saved annually
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