Anyone who’s ever sat in the seat of a hiring manager, is no stranger to the overwhelming task of sorting through hundreds, if not thousands, of resumes for a single job opening. The recruitment process is crucial, but it can also be incredibly time-consuming. This is where an Applicant Tracking System (ATS) comes in, transforming how you manage applications and streamline hiring.
In this article, we’ll explore eight essential things you need to know about ATS, including what they are, how they function, and how they can make your recruitment process more efficient and effective.
What is an Applicant Tracking System?
An Applicant Tracking System (ATS) is a software tool designed to simplify the recruitment process by automating the collection, sorting, and filtering of resumes. It allows you to manage large volumes of applications with ease, ensuring that only the most qualified candidates make it to your desk.
With an ATS, you can create a digital profile of the ideal candidate for each position. The system then compares incoming resumes against this profile, ranking them based on how well they match the job requirements. This automation not only saves time but also helps ensure a consistent and objective screening process.
How does an Applicant Tracking System work?
Understanding the inner workings of an ATS is crucial for optimizing your hiring process. Here’s a basic overview:
- Job Requisition: You input the job requisition into the ATS, detailing the role, required skills, and experience.
- Candidate Profile: The ATS creates a profile of the ideal candidate based on the information provided.
- Resume Parsing: As resumes come in, the ATS scans and parses the information, organizing it into structured data.
- Ranking and Filtering: The system ranks candidates by how closely their resumes match the ideal profile, allowing you to quickly identify top contenders.
One key advantage of using an ATS is the ability to perform keyword searches to filter resumes. For example, if you’re hiring for a “Sales Manager” role, you can search for resumes that specifically mention “Sales Manager,” ensuring you focus on candidates with the most relevant experience.
Key Features of an Applicant Tracking System
ATS software offers a range of features designed to enhance the recruitment process, making it more efficient and effective. Some of the most valuable features include:
- Resume Parsing: Automatically extracts and organizes candidate information, such as contact details, work history, and skills, into a structured format.
- Advanced Search: Allows you to filter candidates by specific keywords, job titles, skills, experience, and more.
- Candidate Sourcing: Enables you to search for and engage with potential candidates across multiple platforms, including job boards and social media.
- Interview Scheduling: Automates the coordination of interviews, saving time and reducing scheduling conflicts.
- Collaboration Tools: Facilitates real-time collaboration between different team members involved in the hiring process.
- Analytics and Reporting: Provides insights into hiring trends, candidate sources, and other key metrics to help refine your recruitment strategy.
These features not only streamline your workflow but also improve the quality and speed of your hiring decisions.
When to get an Applicant Tracking System
ATS systems are widely used across organizations of all sizes, particularly in large companies that handle high volumes of applications.
The primary reasons for using ATS are efficiency and consistency. By automating the initial stages of the recruitment process, ATS allows you to focus your time and attention on the most promising candidates. Additionally, it helps standardize the evaluation process, reducing the potential for bias and ensuring a fairer assessment of all applicants.
Here are just a few other scenarios when an ATS might come in handy:
- Streamlined Recruitment: To automate and manage various stages of the hiring process, ensuring consistency and compliance.
- Data Management: To centralize candidate information, making it easily accessible and searchable for future openings.
- Reporting and Analytics: For generating recruitment reports and analyzing metrics to improve hiring strategies.
- Collaboration: When multiple stakeholders (recruiters, hiring managers, HR personnel) need to collaborate on hiring decisions.
Research by JobScan shows that over 97% of Fortune 500 companies use ATS, and adoption is growing among smaller businesses as well.
How to pick an ATS
- Ease of Use: The interface should be user-friendly for both recruiters and candidates.
- Customization: Ability to tailor workflows, application forms, and communication templates to fit specific needs.
- Integration: Compatibility with other HR tools and software, such as job boards, social media, and HRIS.
- Compliance: Features that ensure adherence to legal and organizational hiring standards.
- Analytics and Reporting: Robust reporting capabilities to track key metrics and improve hiring processes.
- Candidate Experience: Ensure the application process is smooth and user-friendly for candidates.
Top ATS Systems We Recommend
1. Workday
Workday Recruiting is a part of the comprehensive Workday Human Capital Management suite. It offers a unified solution for recruiting, HR, and talent management, making it suitable for large enterprises with complex HR needs.
Pros
- Comprehensive HR suite integration
- Robust reporting and analytics
- Highly customisable workflows
Cons
- Expensive compared to other ATS solutions
- Steep learning curve and complex setup
2. Greenhouse
Greenhouse is a leading ATS known for its user-friendly interface and strong focus on enhancing the candidate experience. It offers powerful integration capabilities and is popular among mid-sized to large companies.
Pros
- Strong integration capabilities
- User-friendly interface
- Excellent candidate experience
Cons
- Expensive compared to other ATS solutions
- Steep learning curve and complex setup
3. Lever
Lever is designed to streamline the entire recruiting process with a focus on collaboration and data-driven hiring. It is known for its ease of use and strong analytics features, making it ideal for companies looking to improve their hiring workflows.
Pros
- Easy to use and intuitive interface
- Great collaboration features
- Strong analytics and reporting capabilities
Cons
- Limited customisation options
- Can be pricey for smaller organisations
FAQs
The primary function of an ATS is to automate and streamline the recruitment process, from job postings to candidate selection.
Yes, a well-designed ATS can simplify the application process and ensure timely communication, enhancing the overall candidate experience.
An ATS can track and store all candidate interactions and data, ensuring that recruitment processes comply with legal and organizational standards.
While not essential, an ATS can significantly improve efficiency and organization, even for small businesses, especially if they handle multiple job openings.
Yes, most modern ATS solutions offer integrations with various HR tools, such as HRIS, job boards, and social media platforms.
An ATS provides analytics and reporting features that help track metrics like time-to-hire, source of hire, and candidate quality, enabling more informed hiring decisions.