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Strategies for Improving Candidate Communication

Conversational AI: Transforming Talent Acquisition
Conversational AI: Transforming Talent Acquisition

Every candidate deserves a fair, consistent, and human experience. Candidates want to know that they are being considered for a role, and they want to receive feedback on where they stand in the process. At a very basic level, candidates want to be treated like people. Unfortunately, companies do not always have time to engage with candidates in a way that is consistent and fair. As a result, most of today’s challenges with candidate experience start with communication.  Communication should be consistent across your hiring process, from pre-application to onboarding. The good news is that companies can improve communication by using a mix of automated tools and human interaction (especially in later stages).

I am looking forward to presenting some of our research on candidate communication and the impact on talent acquisition during a webinar with Clinch tomorrow. Below are a few topics we will cover:

  • Omni-Channel Communication: Most companies rely on email as their primary form of communication in talent acquisition. Yet, mobile usage has increased over the past year and 43% of candidates do not always open their emails. Email limits how a company can engage with talent, slowing down time to fill, and providing a negative experience for both recruiters and candidates. Companies must consider an omni-channel email approach that includes text, messaging, and conversational AI.
  • Measuring Communication Efforts: Communication efforts can make a significant improvement on candidate engagement and overall TA efficiency. Companies should consider measuring traditional metrics as well as response times, time to respond, and engagement levels.
  • Candidate Expectations Have Shifted: Candidates expect consistent communication throughout the entire TA process. Communication does not happen at one stage in talent acquisition. It must be a constant throughout the candidate journey.
  • Mobile Comes First: Candidate behavior has changed since the pandemic. More people are working remotely, and candidates rely on their mobile device to research jobs, connect with brands, and apply for a job. According to this study, 62% of candidates are using their mobile device more this year than last. Candidates want to be able to use one device to communicate with a potential employer, and text meets the needs of the mobile-only mindset by providing faster response and personalized engagement in real-time.

I am looking forward to sharing new research and trends on candidate communication tomorrow. I hope you can join!

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Countdown to HRTech: Recruitment Marketing and CRM

The last trend I will share in this countdown to the HR Technology Conference focuses on CRM and recruitment marketing. CRM is one of the core systems of a TA tech stack. It is designed to improve the front-end of the recruiting process and tackles most of what the ATS just doesn’t do…engaging with individuals before they apply for a job. The majority of enterprise companies are buying, replacing, or using a CRM this year. And while 81% of companies stated that recruitment marketing looked different since COVID-19, 66% of companies are unhappy with their efforts today (Aptitude Research).

This market is crowded and confusing. A few years ago, we referred to these systems as recruitment marketing platforms, with CRM being the core. Today, companies often refer to CRM and career sites as two distinct investments with different add-ons. Providers and their capabilities are not apples to apples like the ATS market. Every provider seems to be moving in a different direction, creating an even bigger gap between what customers want and what they get. And a few providers seem to be moving far away from CRM and recruitment marketing altogether.

Full disclosure…I love the CRM market, and I love talking about recruitment marketing. We found that 67% of companies spend more on their CRM than on their ATS, which is the most critical investment for some companies. It includes core capabilities (“must-haves”) and advanced capabilities that may or may not be core to the platform (“nice-to-haves”). The most critical capabilities in these systems include career sites, CRM, analytics, apply, job distribution, talent networks, candidate communication, events management, internal mobility, automated scheduling, and employee referrals. These systems have matured over the past few years with intelligent workflows, personalized content driven by AI, omnichannel communication, and more automation.

We are publishing our next Index report this fall on the CRM market and including extensive profiles of the following leading providers: Avature, Beamery, Clinch, Eightfold, Employ, GR8 People, Phenom, Radancy, and Symphony Talent.

Below are some of the findings:

  • Adoption is Low: Adoption is low for many of these systems. A few years ago, we found that only 2% of companies use all the capabilities in their CRM. Not much has changed today. And the fault is not always on the provider. Many companies invest in these systems without considering the resources they need internally, including creative support, administrators, and dedicated recruitment marketing professionals. Companies should consider their target audiences, overall goals and objectives, and key performance indicators before investing in technology. A CRM is not a quick fix. It is a long-term commitment to shifting how companies can engage with talent.
  • Partnerships Matter: A CRM won’t solve every recruitment marketing challenge. And companies have to look at additional support in areas such as programmatic job advertising, employer branding, content management, and conversational AI. Most providers are partnering with an ecosystem of providers and will even white-label some of these partnerships. Companies should carefully consider what and who they are buying. But, customers can also work closely with providers to help influence future partnerships.
  • Career Sites are a Differentiator: Companies looking to invest or replace a CRM often start with the career site. Career sites are an immediate need, and many companies are losing talent at this stage. Career sites may seem like table stakes in recruitment marketing but not every provider offers personalized, dynamic career sites. Also, not every provider includes creative services and these expenses can add up quickly. Some companies are even going to RFP separately for their career site, and CRM needs. There is even a market for providing more engagement on career sites. Providers like Dalia have emerged to help capture talent leaving a career site and send job alerts to keep them engaged.
  • Marketing Automation is a Game Changer: Marketing automation helps companies better engage and nurture talent by automating marketing tasks and letting companies know which candidates are cold, warm, and “ready-now.” It sits at the top of the funnel and manages all interactions with talent, including when they visit a career site, open an email, open a job advertisement, etc. It solves what the ATS, LinkedIn, and CRM cannot do – informing recruiters when someone is ready to be hired and engaging that individual in a meaningful way. Integrating CRM and marketing automation software can increase a company’s recruitment marketing capabilities and improve the experience. Candidate.ID (an iCIMS company) leads the way in recruitment marketing, and they will also be profiled in this report.
  • Sourcing is an Area to Watch: Sourcing providers such as HireEZ , Aliro, and Findem are expanding into outbound recruitment, employee referrals, internal mobility, rediscovery, and candidate outreach in a major way this year. In addition, these providers offer sourcing and engagement solutions that may be an alternative to a traditional CRM.

Only one week left until HRTech. Looking forward to seeing everyone!

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Countdown to HRTech: Acquisitions

The TA tech market is not slowing down even during the dog days of summer.

My latest blog in the countdown to #HRTechConf focuses on acquisitions. Just a few weeks ago, I was wondering if we would see any big announcements this month, and then, three major (and surprising) acquisitions were announced. Acquisitions are a natural part of any industry. Providers are looking for partners to help expand their global footprint, customer base, or product portfolio. And, sometimes, they are just simply about revenue. In 2020 and 2021, conversational AI, automation, analytics, video, and branding drove many of these decisions. Each of the acquisitions below enhanced the capabilities of the providers and offered customers something more across TA.

Some of the acquisitions from the past two years include:

This month, acquisitions look a little different. Some were a last-ditch effort to stay afloat, and others were a doubling down of similar solutions.

Here are my initial thoughts about some of the most recent acquisitions:

Employ Acquires Lever

Employ (owned by private equity firm K1 Investments) announced the acquisition of ATS provider Lever. Employ is the combination of Jobvite, JazzHR, and NXTThing but also includes the acquisitions of Talemetry, Talentgy, Canvas, and Rolepoint. The addition of Lever gives the Employ umbrella three ATSs, 2 CRMs, employee referral capabilities, communication, analytics, and an RPO. It is one of the largest end-to-end talent acquisition platforms, but each product and brand will remain separate.

If you are confused, you are not alone.

This is not the first time we have seen ATSs buying ATSs. Typically, one ATS will replace or complement the other, but in this case, three separate ATSs. The plan is to have JazzHR support SMB, Lever the mid-market, and Jobvite the enterprise.

Below are my thoughts on the acquisition:

  • Lever is a solid ATS. I like Lever, and I think Lever is a great ATS for mid-market and high-growth companies. With over 3,000 customers and some big tech brands. Lever’s differentiators include its investment in analytics this year. It offers visual insights and integration with Tableau and other analytics plugins to help companies understand their data and take action. One thing that sets Lever apart from other providers in this report is its company culture. It is the only provider in this report founded by a woman with the highest Glassdoor ratings. It values customer feedback and tries to work that into product enhancements. Was Lever a smart company to acquire? Yes, but the confusing piece is the overlap with Jobvite.
  • Jobvite is not currently an enterprise ATS. Jobvite supports mid-market and a few enterprise clients but does not truly compete against global enterprise ATS providers. Making the jump from mid-market to enterprise is no small task and requires a different approach to sales, marketing, and product.

SilkRoad Acquires Entelo

Onboarding provider, SilkRoad, acquired Entelo, a sourcing provider. This acquisition was the most surprising to me. SilkRoad was once a leading talent management provider that could check every box from recruiting to performance management to compensation. Does anyone remember the Red Carpet? But, what SilkRoad did better than anything else was onboarding. It was one of the first providers to offer forms compliance, tasks management, and a new hire portal. I made a bold decision around six years ago to ditch its talent management suite and focus solely on onboarding and employee experience/transitions. It has remained relatively quiet until this month. The Entelo acquisition puts SilkRoad back in the talent acquisition market with a top-of-the-funnel solution.

Here are my thoughts:

  • Robert Tsao is the right choice. Robert Tsao (ironically was at Jobvite previously) will take over as CEO of SilkRoad. Robert was Entelo’s CEO for the past few years and deeply understands TA tech.
  • Market perception will be a challenge. The market perception of both companies is that they are no longer relevant. Entelo, at one time, was a leading sourcing provider that seemed to lose its way. Customers started looking at providers like SeekOut and HireEZ as better alternatives. The team will have to work on the product and marketing to shift some of this perception and make Entelo relevant again.
  • Not the last stop. My guess is that SilkRoad won’t stop at Entelo, and we will see another acquisition to complete its TA tech portfolio further.

Harver Acquires Pymetrics

This acquisition makes the most sense to me out of the three this month. Pymetrics is a leading assessment provider with some large customers, including Unilever. And Harver has been building a hiring experience empire over the past few years. It made several strategic acquisitions over the past few years, including WePow, Checkster, FurstPerson, and Launch Pad. Its combined offerings include unique differentiators such as a strong experience, a comprehensive suite of solutions, and feedback. Unlike other solutions that stop at the offer, Outmatch includes a feedback loop on hiring decisions to have post-hire data and AI-driven insights to help companies make better decisions for the future. With over 1200 customers across a wide range of industries, Outmatch is best suited for enterprise and global enterprise customers.

Only 4 weeks until the HR Technology Conference! Hope to see you there!

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Countdown to HRTech: Total Talent and Contingent Workforce Management

worker jotting down notes in a notebook during a meeting

One trend I will discuss next month at the HR Technology Conference is total talent and contingent workforce management. This topic is not new in TA tech, but companies now have better technology options to support both traditional and contingent workers. With changes in hiring activities, the shift to remote work, and changing business priorities, the demand for a more flexible workforce has never been greater. According to Aptitude Research, 80% of companies are leveraging contingent workers, and one in three companies increased their investment in 2021. A total talent strategy helps companies fill critical talent gaps, reduce costs, and increase overall productivity. In a year when agility is becoming table stakes for businesses, alternative work arrangements are critical to the future of the workplace.

But, even with the increased investment in contingent labor, companies still face many of the same challenges. Most companies lack visibility into the use, spend, and performance of this workforce segment. And, cost control and fee models are a concern as companies question their staffing agencies and technology partners’ lack the expertise in-house. For most companies, it remains unclear who owns total talent strategies. The approach to contingent workers has been reactionary, with companies responding to immediate needs and ignoring long-term implications. As a result, the question, “Are we doing this right?” is becoming even more difficult.

Several trends are influencing total talent this year:

  • Thirty-four percent (34%) of companies are shifting their technology for contingent workers this year. Companies are looking at other options for technology to manage contingent workers better.
  • One in two companies doesn’t know what they spend on contingent workers. Companies lack visibility into contingent workers. Spend is a significant challenge for companies as they increase investment.
  • One in four companies states that technology is their biggest challenge in managing contingent workers. Companies are shifting their strategies and ownership from procurement to HR yet still rely on legacy and outdated systems to manage these workers.

The traditional technology market for contingent workforce management is not designed for talent acquisition or HR. The VMS remains the bread and butter of contingent workforce management, but only 29% of companies are satisfied with their existing provider. Fortunately, companies have better technology options, including talent marketplaces to connect workers with employers, total talent solutions, and extended workforce solutions. These providers are looking to disrupt the contingent model and offer better solutions and experiences. And most RPOs are doubling down on their total talent offerings this year.

Below are a few providers helping companies improve their approach to total talent and contingent workforce management (alphabetically).

Beamery: Beamery’s recent acquisition of Flux, an internal mobility platform, has strengthened its talent marketplace to support internal, external, and contingent/gig workers. It identifies skills and adjacent skills so contingent workers can learn and companies can upskill talent.

Eightfold: Eightfold Talent Flex is an AI-powered solution for HR and procurement to efficiently source and manage high-quality contingent workforces based on capabilities and potential. It helps companies find the best channels, reduce costs, and stay compliant.

GR8 People: GR8 People is one of the few CRM and ATS providers that can support total talent. It provides one platform and a simple and efficient experience for every type of talent. For this reason, it is the preferred partner for many of the leading RPOs.

HiredScore: HiredScore’s AI brings together talent acquisition and extended workforce to help companies find the best talent in a fair, supplier-neutral, and efficient way. It automatically routes talent to the best role, including rehires, so that companies can minimize the cost per vacancy.

Utmost: Utmost is a Workday partner and an extended workforce platform that supports the entire workforce and provides complete visibility into all workers — be it full-time, contractor, independent contractor, gig workers, freelancers, and more. It provides consistency in areas such as total talent, spend on workers, classification of workers and worker type, strategic workforce planning, total DEI impact on all workers, and risk mitigation.

Companies like Relode and Bounty Jobs also support total talent needs by offering a platform for contingent and direct hires.

As HR and talent leaders are responsible for total talent, this will be an important trend to follow. I am looking forward to seeing many of these providers at HR Tech!

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New Research: Onboarding and the New Hire Experience

Onboarding is a critical aspect of any talent strategy. It is the first impression between an employee and employer and the transition between talent acquisition and talent management. According to our latest research, onboarding has a significant impact on retention, employer branding, and quality of hire.

Retention: Eighty-six percent (86%) of employers believe that new hires make the decision to stay at a company in their first 90 days.

Employer Branding: Three-quarters (75%) of new hires share their first day of work experience on social channels.

Quality of Hire: Eighty-three percent (83%) of employers believe managers know if a new hire is a quality hire within the first 90 days.

But, as companies prepare for the future of work and invest in talent transformation, onboarding is often overlooked. Companies are twice as likely to spend on talent acquisition and employee experience than onboarding, and 42% of companies do not have a dedicated onboarding solution. Only 26% of companies are fully automating the onboarding process. Lack of clear ownership, limited technology capabilities, and poorly defined metrics make it difficult for companies to adjust their onboarding strategies. If companies want to maximize their investment in talent acquisition and employee experience, onboarding must be a priority.

On August 11, I am sharing our latest research on this topic with Clickboarding. Here are some of the key findings:

Companies are not investing enough in onboarding. While 73% of companies have increased their investment in talent acquisition technology over the past year and 64% have increased their investment in employee experience, less than 30% are increasing their investment in onboarding solutions. Many of these companies are relying on traditional technology that does not support the future of work or changing expectations of new hires. This disconnect between the importance of onboarding and the willingness to invest in solutions results in a process that is inconsistent and transactional.

Onboarding is not orientation. Onboarding needs to start before day one and extend beyond 30 days. Unfortunately, for many companies, onboarding is still an orientation. One in five companies stated that they have employees that do not show up on day one, and half stated that they had new hires not show up on day two. These individuals are often deciding about an employer even before they start. Companies can provide communication, forms, and information before someone joins so they are engaged before day one. Additionally, companies must extend onboarding beyond the first 30 days. Forty-nine percent (49%) of companies only include onboarding for two weeks.

Technology can impact engagement and compliance. Companies using technology are three times more likely to improve first year retention and two times more likely to improve new hire engagement. When considering capabilities, companies focus more on forms and compliance when evaluating providers than the new hire experience. Companies should not have to sacrifice one for the other.

Automation provides consistency. Automation enables onboarding for everyone. Hourly workers and gig workers get the same personalized experience and dedication as senior executives and the same opportunities to receive communication and stay connected to their employer. 76% of companies believe automation would significantly improve the new hire experience, yet only 20% of companies are automating all aspects of onboarding.

I hope you can join us for the webinar on August 11. Everyone that attends will get a copy of the report.

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Countdown to HR Technology Conference: High-Volume Recruiting

Only six weeks until the HR Technology Conference, and one trend that we have focused on over the past two years is high-volume hiring. We found that 65% of companies have high-volume recruitment needs today. And this percentage continues to increase. Unfortunately, high volume is one area most traditional ATS systems fail to address. Instead, they focus on professional hiring and ignore the experience, capabilities, and solutions needed to attract, recruit, and hire this forgotten workforce. For example, in our high-volume research this year, only 27% of companies know if their hourly workers have transportation to an interview. Only 33% know if candidates have access to a laptop. Yet, most solutions do not consider the unique needs of these candidates.  

High-volume companies must find quality talent while managing hundreds, or even thousands, of applicants. Unlike traditional corporate hiring, high-volume needs are extremely time-sensitive with speed-defining success. Over the past year, high-volume hiring intensified as many companies were forced to reduce time to fill from several weeks to several days. The experience needs to be simple, frictionless, and mobile-first.

Fortunately, some technology providers are focused on improving high-volume recruiting – this is where we see most of the disruption in talent acquisition. Paradox is one provider that offers a completely reimagined experience for high-volume candidates. Through conversational AI, it provides an alternative to an ATS. It allows companies to advertise jobs, engage with talent, offers a simple apply process, screen candidates, schedule interviews, assess candidates, and initiate onboarding all through a single, mobile-first experience. Paradox is also hosting a career site for companies, including McDonald’s.

AMS Hourly, Fountain, and TalentReef also offer a better alternative for high-volume hiring needs and include end-to-end capabilities from recruitment marketing to onboarding.

Text recruiting is another way that companies are improving high volume hiring. Candidate behavior has changed since the pandemic and 62% of candidates are using their mobile device more this year than last. Hourly candidates want to be able to use one device to communicate with company, and text meets the needs of the mobile-only mindset by providing faster response and personalized engagement in real-time. Providers like Emissary offer simple end-to-end text recruiting solutions that integrate with ATS providers.

Programmatic job advertising is another TA technology category that improves high-volume recruiting. It streamlines and automates advertising of jobs and provides visibility into how companies should spend their advertising dollars- a huge expense for high-volume industries. It saves hiring teams time, reduces costs, and helps to target the right talent. Some of the leading providers include Appcast, Joveo, and Pandologic.

And, there is even a HRMS focused on high-volume that will be at HR Tech...Harri.

These are just a few of the providers improving high-volume hiring. Here are a few trends impacting high-volume recruiting:

“High Volume” Is a Broad Category: The greatest confusion around high-volume recruitment is the definition. Companies often consider a narrow definition of high-volume recruitment limited to hourly or gig workers. For example, one in three companies defines “high volume” as hourly recruitment. The reality is that high-volume hiring is broader and impacts 65% of companies. It includes any company filling over 1,000 positions in a short period of time. As hiring ramps up this year, this study found that companies in various industries (including aerospace and defense, financial services, technology, and healthcare) identified high-volume needs.

A Traditional ATS Is Not Enough: Sixty-five percent (65%) of companies with high-volume recruitment needs are not satisfied with their current ATS. Most traditional ATS systems are designed for corporate hiring and lack capabilities to support high-volume recruitment such as programmatic advertising, scheduling, or communication. High-volume recruitment technology must be simple, intuitive, and mobile responsive. Eighty-two percent (82%) of companies with high-volume hiring needs are increasing their investment in technology this year.

Quality Is as Important as Efficiency: Companies face pressure to fill high-volume positions as quickly as possible. As a result, efficiency becomes the priority for many organizations with high-volume needs. They want to improve and streamline the talent acquisition process to reduce time to fill. Despite this focus on efficiency, 61% of companies stated that quality of hire is the most critical metric for success. Companies must ensure they are engaging and hiring the right talent as they focus on improving the time it takes to fill positions.

High volume is a critical topic in talent acquisition, especially as companies prepare for more change next year. I look forward to learning more about how companies tackle their challenges and new technology providers in this space.

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Countdown to the HR Technology Conference: Interviewing and Assessments

Yello and WayUp Merger: A New Look at Early Talent
Yello and WayUp Merger: A New Look at Early Talent

Only seven more weeks until the HR Technology Conference, I am finalizing my presentation and thinking through the constant change in our industry. Over the past year, one trend that has emerged is the increased investment in hiring experience platforms (interviewing and assessment). This category has exploded over the past few years- partly because of the push for remote work and the need to reduce bias and improve decision-making. Companies spend millions of dollars on recruitment marketing and EVP strategies and often neglect interviews. Our latest interview study found that 1 in 2 companies lost quality talent due to poor interview processes.

Providers such as Modern Hire, HireVue, and Outmatch helped to define this category by offering a suite of solutions (through some acquisitions) that include everything from first interview to assessment to offer. Some of these providers are even expanding into onboarding. But, over the past few years, this category has been growing as companies recognize hiring decisions will not come from an ATS. Providers such as Sapia, Humanly, Wedge, CodeSignal, Talview, and Vervoe provide companies with interviewing and assessment solutions that improve experience, quality, and efficiency. Paradox (through the acquisition of Traitify) offers capabilities to schedule interviews and provide a validated, candidate-friendly assessment all through conversational AI.

Although every provider seems to call the interview to assessment offering something different, hiring experience is a category to watch.

Here are a few trends I will cover:

One in four candidates drops off at the interview stage. Companies that improve candidate engagement and the application process will still see candidates drop off if hiring is a negative experience. Companies must provide consistency, transparency, and fairness throughout the hiring process to ensure that candidates are not dropping off at this stage. Delays and poor communication can result in companies losing quality talent. Aptitude Research found that 52% of companies have an interview process that lasts four to six weeks.

Companies do not trust the data to inform hiring. Companies are dissatisfied with their data’s quality, accuracy, and integrity. One reason is that companies are not starting with the right data and rely solely on resumes or candidate profiles to inform decisions. Fifty-seven percent (57%) do not have the data they need to decide on talent. They need a consistent process and quality data to gain deeper insights into candidates and make smarter, confident, and bias-free talent decisions. Data to drive hiring decisions will come from interviewing and assessment providers.

Companies use too many systems: Most companies leverage multiple solutions to support hiring activities, and 62% use two or more assessment providers. These systems provide different experiences and data management. Companies cannot make decisions on talent when they do not have consistent data to support those decisions.

The ATS is not enough. Companies are looking outside of their ATS for hiring support. Traditional recruitment technology focuses on compliance and applicant workflow. It does not always support hiring activities. As a result, companies invest in several solutions to support hiring or rely on a manual process to make hiring and selection decisions. Companies identified lack of integration, issues with data quality, and lack of candidate insights as the top frustrations with technology that supports hiring.

Companies are relying on interview and assessment data more this year. Companies are using interview and assessment data to inform decisions more in 2022 than in 2020. Unfortunately, this data is often inconsistent or only available for some candidates. Companies rely less on the resume as the primary data source but must continue to draw deeper insights and more consistent data.

AI is changing hiring. AI is fundamentally changing every aspect of HR, and there is growing curiosity and appetite to understand it. According to Aptitude Research, 63% of companies are investing or planning to invest in AI solutions this year, compared to 42% in 2020.AI can play a critical role in helping companies use data to inform decision-making and even humanize the process. Recruiters and candidates are becoming more comfortable using AI in talent acquisition and the impact on hiring.

As companies look at their TA tech stack, hiring experience platforms are becoming a core investment area along with an ATS and CRM. I look forward to meeting with some of these providers at the HR Technology Conference.

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Countdown to the HR Technology Conference: Skills-Based Hiring

It is hard to believe that the HR Technology Conference is only 8 weeks away. I love this conference and the opportunity to reconnect with friends and learn about new (and old) technology providers. I am thrilled to be presenting new research at the event and I will be posting a series of blogs leading up to September on TA tech trends.

This first post will focus on a topic that is gaining momentum in talent acquisition… skills-based hiring. Every provider seems to be using skills in their marketing messaging, but few providers have invested in a robust skills ontology and capabilities to improve both the employer and candidate experiences.

Skills are quickly becoming the currency for the future of work. A skills-based approach can help connect talent to the right opportunities, personalize the experience, and provide more visibility into the capabilities of the workforce. Employers benefit from improved efficiency and stronger talent pools, while individuals benefit from greater opportunities to control their career paths. Skills provide a roadmap for the future and a bridge between talent acquisition and talent management.

We published a study (in partnership with Beamery) and found that companies that invest in skills development are:

  • Twice as likely to improve retention
  • Thirty-four percent (34%) more likely to improve quality of hire
  • Twenty-eight percent (28%) more likely to improve DEI initiatives

Skills level the playing field for both internal and external talent. Evaluating skills means looking      beyond what is found on a resume or employee profile to get deeper insights about the individual. But, many companies are not always clear where to start with skills development. Lack of ownership and confusion around how technology fits in have added to this uncertainty. Talent marketplaces are gaining momentum as the vehicle to deliver a skills-based approach, yet not every company understands the impact of these solutions. For companies to compete for talent and provide fair and equitable experiences, skills must be part of the equation.

Here are some of the key findings from our research…

The Demand for Skills Is Being Driven From the Top: The focus on skills development is being driven by executives and CHROs. According to this study, 65% of CHROs say that upskilling and reskilling is the most important priority for 2022. CHROs are two times more likely to be involved in technology decisions that focus on skills than other areas of TA technology and 75% are interested in talent marketplaces to deliver on a skills strategy. CHROs are setting the course but oftentimes, talent acquisition and talent management must execute the strategy. Realistic expectations and clear communication will help these leaders achieve results and provide a more successful approach to skills.

Skills Unify a Talent Strategy: With equal pressure to recruit and retain, talent acquisition and talent management often still operate in silos with competing interests. A skills-based approach helps unify talent acquisition and talent management initiatives – providing consistency in data and experiences. Companies must empower their talent teams with a focus on skills. According to this study, companies with a skills-based approach see greater collaboration between talent acquisition and talent management.

Not All Providers Are Approaching Skills the Same Way: Technology allows companies to scale their approach to skills, provide opportunities and personalization to every individual, and leverage artificial intelligence (AI) and machine learning (ML) to draw deeper insights. Most importantly, it provides context to skills by inferring insights about the individual and employer. Although several technology solutions are aiming to address skills today, not every solution provides value. A successful skills-based approach requires a commitment from a solution provider to build a skills ontology, invest in talent intelligence, and apply AI inference so that skills are dynamic and personalized. With companies increasing their investment in skills, they must carefully consider providers that demonstrate expertise.

A Skills-Based Approach Benefits Employers and Individuals: Skills are not just a benefit to an organization. They give employees the resources they need to manage their careers and provide more opportunities for personalization and inclusivity. To truly understand an individual, however, companies should not stop with skills. They should consider the qualities that will make someone successful and happy in the work they are doing.

Skills Can Greatly Impact Internal Mobility Efforts:  The most obvious use case for a skills-based approach is internal mobility. Companies are looking for better ways to promote and develop their workforce while supporting talent acquisition initiatives. With 70% of companies increasing their investment in internal mobility efforts, many are just promoting jobs or leveraging internal career sites. Skills offer a more substantial approach to internal mobility by providing employers with a deeper understanding of their workforce and empowering individuals with the tools they need to be successful.

Providers to watch (in alphabetical order): Beamery, Boostrs, Eightfold, HiredScore, Oracle, TaTio, TechWolf, Workday

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Blog Talent Acquisition Technology

A Week in Review: Acquisitions, Jobs Report, and Rebrands

Last week, someone asked me if the momentum and investment in TA tech and HR tech will continue in 2022. And, the answer seems to be YES. This week included acquisitions, investment announcements, and even a rebranding. It is an exciting time to be in this market for providers, buyers, and even analysts. We found that over 60% of companies are increasing their investment in TA tech this year, and buyers are looking closely at what solutions will help them attract, recruit, and hire talent.

A few of the big announcements include:

SmartRecruiters Acquires Attrax: A career site can make or break a company’s ability to attract and convert talent. And, not all career sites are designed the same. ATS providers have invested in career sites over the past few years, but most enterprise companies still need to look at third-party options to build dynamic and engaging career sites. This acquisition of Attrax, a leading career site provider, further strengthens SmartRecruiters’ recruitment marketing capabilities with personalized and engaging career sites.

Phenom Acquires Tandemploy: Phenom has expanded beyond talent acquisition and offers an experience platform for the entire employee lifecycle. Tandemploy is a Berlin-based HR tech company focused on solving key problems associated with employee experiences. This addition enhances the capabilities of Phenom’s AI-powered Talent Experience Management (TXM) platform and grows the company’s presence in Europe.

Hiretual Rebrands to HireEZ: This week, Hiretual rebranded to HireEZ and hosted an analyst day to announce this news and $26M of investment. HireEZ’s vision is to create a new category around Outbound Recruiting. Some of my brilliant analyst friends (George LaRocque, Trish McFarlane and Steve Boese, Tim Sackett) did great covering this announcement.

January Jobs Report: The January Jobs Report came out today, and Andrew Flowers, Chief Economist of Appcast, did a great job covering this news and its implications on the labor market. With 467,000 jobs added and unemployment holding steady at 4%, the job growth trajectory is looking up. Despite 15 million people with COVID, the labor market is not slowing down. According to the report:

Retail accelerating thru January

Restaurants & bars not as affected by Omicron as they were by Delta

 Healthcare, transportation & warehousing are steady

Manufacturing slowing

2022 is off to a busy start, and looking forward to what this year brings. We are about to publish two new studies on humanity in the workforce and data-driven hiring. Stay tuned!

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Blog Talent Acquisition Technology

2022 Talent Trends: Care and Humanity

If 2021 was the year of rethinking the approach to talent, 2022 is the year for rebuilding it. Companies are facing intense pressure to both recruit and retain talent today. The pandemic has changed the relationship between employer and employee, and many companies are looking for ways to engage their workforce better.

Over the past two years, the focus on care has helped to improve this relationship by providing more empathy and understanding to the employee and candidate experiences. But, unfortunately, care and humanity are not priorities for every company. According to Aptitude Research, only 22% of companies stated that humanity is part of their company culture, and only 10% of companies have a clear idea of what they need to do to bring more humanity and care into their work environment.

Companies in the process of evaluating their talent processes and technology must lead with care.

I am excited to discuss the future of care and humanity on a webinar with Misha Chakrabarti, Product Marketing Specialist at Avature, on January 20 at 11 am EST.

Below are a few themes that we will discuss:

  • Skills, AI and Automation: Many companies embrace AI to improve efficiency and save recruiters’ and managers’ time. But, AI and a skills-based approach to talent can also provide greater humanity. It allows companies to understand candidates and employees better, connect them with the right opportunities, and provide a fair and inclusive process. AI can lift the administrative burden placed on recruiters and managers and allow them to focus on relationship building.
  • Diversity, Equity, and Inclusion: Over the past year, companies increased their investment in services and technology to support DEI initiatives. While technology can help to reduce bias in the talent acquisition and talent development processes, it is not a fix-all. Companies need to consider what changes they need to make to their culture and talent practices to provide a safe and inclusive work environment. Companies committed to care will start by looking internally before investing in technology.
  • Communication: Care is only possible through strong communication. Companies must consider the tone of their communication with candidates and employees and the communication methods. Communication must be frequent and meaningful, but companies must reach talent where they live and spend their time, including text, messaging, chat, and video.
  • Agility: Every company proved to be flexible and agile during the pandemic. Companies had to adapt in a short period of time. Agility helps companies respond to immediate needs but also prepare for the future.
  • Hybrid Work Model: Not every company is clear on their future workforce model, and 2022 will likely bring more change and uncertainty. Companies that listen to their employees, adjust to the unknown, and provide transparency will build better relationships with talent.

2022 is a year where these ideas and concepts of care will be tested. For companies committed to recruiting and retaining talent, a focus on care and humanity is the only way. I am excited to share some of our research on these topics. I hope you can join us!

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