High Volume Sourcing Trends: Harnessing the power of CRM and Talent Communities

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Presentation from Sourcecon 2011 Fall, presented by Carl Kutsmode.

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High Volume Sourcing Trends: Harnessing the power of CRM and Talent Communities

  1. 1. High Volume RecruitingStrategic Sourcing + CRM Best Practices SourceCon October 12-14, 2011 – Santa Clara, Ca Helping Companies Achieve Competitive Advantage Through Talent People - Process – Technology – Strategy - Compliance
  2. 2. 2About talentRISE talentRISE Carl Kutsmode, PartnerA management consulting firm that helps Over 18 years experience helping employers gain competitive advantage employers optimally leverage the through talent Internet and technology to recruit and retain “top talent”• Founded in 2008 - Growing consistently every year • Extensive recruitment process and technology re-• Re-align clients changing business strategies with engineering experience. their operational capabilities needed to address future talent needs • Early adopter / pioneer in online recruitment• Assess HR / Talent Management related • Industry expertise in Professional Services, operational gaps related to systems, processes, Financial Services, Energy, Healthcare, CPG, strategies and compliance Hospitality, Retail and Mfg.• Implement scalable, sustainable solutions that • Managed hundreds of project based outsourced optimize corporate talent acquisition, talent recruiting projects for companies ranging from management and retention practices startup to global organizations• Provide “On-Demand” contract recruiting and • Nationally known speaker and writer on online Retained Executive Search services to address “ Top Talent” acquisition, management and strategic internal recruiting capability gaps retention best practices
  3. 3. 4What are YOUR Common CHALLENGES in HighVolume Recruiting? + Hiring Managers
  4. 4. 5What Sourcing / Recruiting Model Do You Have?- Centralized Sourcing Vs. Full Life Cycle Recruiters Full Life Cycle Recruiter Sourcing Team Support Centralized Sourcing Team
  5. 5. 6Centralized Sourcing Vs. Full Life Cycle Full Life Cycle Model Centralized Model• All recruiters are not equally good at sourcing • Sourcing recruiters become experts at and most spend less than 15% on proactively sourcing and spend 100% of their time sourcing the best talent – Highly impacted by focused on it and can easily be scaled or re- Req Loads deployed to focus on more challenging needs• Most spend the majority of their time or assist with spikes screening unqualified APPLICANTS out of • More time available to creatively identify new consideration sources and target top talent at competitors• When multiple recruiters recruit as a team to • No redundancy in sourcing time spent as each fill the same positions, they are more likely to sourcer is dedicated to support recruiters by redundantly source AND contact the same geography, profile or dept candidates • Fewer resume database licenses needed and• May have to time-share resources to keep the tools are used optimally ( Saved searches, resume database license costs low and some etc) may not use the tools optimally ( Saved • There is only one person contacting them searches, etc) about new opportunities –As relationship is• Multiple recruiter contacts impacts ability to created, referrals build over time form a solid candidate referral relationship
  6. 6. 7What Sources Do You Rely on MOST to fill HighVolume, Ongoing Need or Difficult to Fill Jobs FAST? • Mainly ACTIVE Candidates – No time to source passive candidates out of competitors ▫ Employee Referrals ▫ Job Board Postings (FREE and PAID) ▫ College Alumni and Recent Grads ▫ Job fairs /Open Houses ▫ Daily Resume Database Mining ▫ Email blasts via college and job board resume databases ▫ Craigslist Posting and Resume Mining ▫ Local outreach – churches, job networking groups ▫ Unemployment office postings ▫ Social Media Status Updates and Postings (Facebook, Linkedin , Twitter )Anyone also using…print; direct mail; billboards, mall kiosks and movie theatreadvertising; radio and TV; temp to hire through third parties?
  7. 7. 8What’s Your EEO + OFCCP Compliance StrategyTo Reach a Diverse Pool of Candidates Who MayNot Be Online?“Only 45% of households withincome less than $50,000 haveinternet access in their home”MAXOutreach® targets hard-to-reach applicants, who often rely oncommunity-based organizations forjob assistance and referrals, ratherthan internet job boards.
  8. 8. Understanding Strategic “Relationship Centric”Social Sourcing & Networking: How Do People Use Social Networks to Find Jobs? A MAJORITY of people report they have found jobs on social networks by being FOUND and approached with a job by a recruiter Less than 5% report they have found a job by clicking on a banner ad or job posting link posted on a social network
  9. 9. Are You Leveraging the Power of SEO to Make Your Company a MAGNET for Top Talent Online! Top Talent Your Company
  10. 10. What are your Hardest to Fill and Ongoing HighVolume Hiring Needs? Do They Come up on the FIRST PAGE Results of a Google Job Search?
  11. 11. What is Your Social Network Referral Networkingand Direct Sourcing Strategy? Current ? Best Practice• Redundant Candidate Contact Effort • Strategic and Integrated Approach• Inconsistent Candidate Experience • Consistent Candidate Experience• Poor Employment Brand Use • Consistent Company Branding• Recruiter Owned Network / No Metrics • Company Owned Network / Metrics• Loss of Recruiter Rolodex / Turnover • Network Retention / Turnover
  12. 12. 13 “Relationship” Sourcing Best Practice- Build & Leverage Talent Communities Retail Industry Direct Inside Sales Competitor Reps Top Sales Managers Competitor Key Execs CRM
  13. 13. Starting Point: Engaging Top TalentOn Your Company Website or Talent Community Think like a job seeker! 1. Do a keyword job search on Google to test the search engine ranking of your jobs 2. Compare your current online job posting and website messaging to your top 3 TALENT competitors 3. Search and apply to one of your own jobs and a competitors job Source: Corporate Recruiting Benchmark Study – Staffing.org 2010
  14. 14. 15Targeted Sourcing- Talent Supply / Demand and Competitor Analysis Central NJ ( Trenton-Ewing-Princeton) Engineering Managers
  15. 15. Your Strategic Sourcing and Talent Community Goal- Build Talent Pipelines AND Relationships in Advance of Need
  16. 16. What About Mobile?- The Benefits of Mobile to Build Talent Communities • 91% of Americans are now wireless subscribers • Mobile is personalized and private • Mobile is timely and flexible – goes with you everywhere ! • Mobile SMS has a 95% read rate • SMS campaigns have a 15-20% response rate vs 1% for traditional media and marketing campaigns • Easy to do group broadcast – events, notifications, jobs • Easily measured • Very cost effective over traditional mediums Source: Michael Marlatt – Slideshare / “Mobile Recruiting – Are we there?” 2010
  17. 17. Are You Using predictive “Job Fit” Assessments”to ensure consistent Talent Quality? www.profilesinternational.com
  18. 18. 19Hourly Hire Sample Assessment Output www.degarmogroup.com
  19. 19. 21Traditional Recruiting Workflowvs. CRM Sourcing Workflow Traditional “ATS” Centric / Just in Time Approach Reactionary = Fill Open Jobs Review Open Mass (Optional) ACTIVE Job Phone Hire / New Job Post + Job Fit Applicants Pre- Screen Interview Reject Req Source Assessment Website + for Job Fit ATS CRM – Proactive / “Relationship” Centric Approach Strategic Pipeline Sourcing = Fill FUTURE and Current Needs Capture Engage Passive Build Relationships Define Target Interest Invite to Apply Candidate Info  Campaigns to Candidate Targeted  Segmented Network Current  Website + ATS Population Advertising & Talent Job Openings Sourcing CommunitiesNOTE – Post online application (Optional) Phone Pre-status steps are typically tracked Job Fit Interview Hire / Reject Screenin your ATS to maintain OFCCP + AssessmentEEO compliance.
  20. 20. Managing the Process - ATS vs CRM Key Differences ATS CRMJust-in-Time, Reactive Model – Fill current needs only Strategic, Targeted Pipeline Model – Fill Current and FUTURE needsFormal, (Compliance driven) Hiring Process Pre-Formal Hiring Process – Sourcing -No EEO neededRequisition centric – processing people linked to Relationship centric - an intense and constant focus onrequisitions understanding, servicing, and communicating with candidatesCandidates linked to open positions Candidates linked to segmented talent pools or communities (Internal and External)Metrics compared to historical data around time and Metrics forecasting future hire readiness (pipelinecost reduction health), aligned to WF planUsed by full lifecycle recruiters Used by sourcing recruiters and full lifecycle recruitersDesigned to “Process” mainly active candidates Designed for proactively finding and engaging passiveresponding to job postings / ads or mined in resume candidates and engaging both passive and activedatabases candidates in a relationshipAttraction - Company Career Portal for posting open Attraction – Outreach sourcing tools, role/skill specificjobs micro-sites, and quick registration portal pages into talent communitiesShort term goals based on filling current needs Short and Long term goals are balanced
  21. 21. 23Typical “Active” Candidate- High Volume “ATS” Centric Process Results Company Website Multiple Job Multi-Page Board Interested Online Postings + Applicants Application Resume DB in ATS with EEO Mining •Apply Now ? •Complete Most Recent Search Jobs? Application Postings Get Most Applicants Learn About • Not looking but Interested in future? • Waiting for a Company? Response Highly Competitive Interested in Future Not Targeted Opportunities? Only about 10% of Generally less than Mainly Active Job Avg 50% Drop Off 5% of Site Visitors Seekers in Site Visitors Site Visitors start the application complete the Clicking to Search application process Jobs process
  22. 22. 24Best Practice Example“Active”Job Board Candidate http://jobs.nalco.com Viral Referrals to Passive Candidates Active Job Seekers
  23. 23. 26Typical “Passive” Candidate- High Volume “Relationship” Centric Process Talent Community Talent Community Micro-Site / Registration + CRM Relationship Page Mgmt Sourced Push Emails Contacts To Talent Community Interested Referral - Networking Applicants Networking in ATS -Targeted Open (Job Postings) Jobs Regular email Complete Application Targeted Candidates Engage Interest Sourced By Recruiters communications to build relationship or network Waiting for a Response Capture email and Supplement with optionally some basic jobs Postings Info and Future job/Career Interests Emails have link to jobs on company website/ATS 20-30% Complete Improved Quality Info online applications 50% will complete the when invited to apply Mainly Passive 100% Register an for an actual Candidates email with the Site brief Profile Request of Future Interest opportunity in future
  24. 24. 27Best Practice Example“Passive Talent Community” http://jobs.nalco.com Passive Job Seekers “Register” future Interest + Setup Job “Agents” Active Job Seekers No Need to Track EEO Compliance Stats!
  25. 25. 28Reported ROI of Employers using a “TalentCommunity” + CRM Sourcing Strategy • Cost reduction against retained and contingent search compared to internal costs reduced by 79% • Marketing and advertising, including job board spend, reduced by 65% • Time to fill dropped by 25% • Average age of requisitions reduced by 7% • Agency use down 50% • Application to interview conversion ratio increased by 70% • Interview to hire ratio decreased by 40% • Candidates were 33% more likely to be diverse as opposed to agency hires Source: 2009 Avature CRM customer survey
  26. 26. The Big PictureBuilding Talent Communities Strategically Engage Top Talent - Register in Talent Communities Managed by an Online Social Recruitment Marketing Vendor + CRM Build and Cultivate Relationships Using a CRM System Tool Passive Candidates Are Invited to Apply for Future Open Jobs  WebsiteATS
  27. 27. Your New “Talent Magnet” Sourcing Model - Key Components Online Social Recruitment Marketing Platform + SEO Vendor Channels & Talent Branding Job Social Platforms Communities & Campaigns Publishing Networks Search Shared Targeted Job Job Posting Social Pages Engine SEO Referrals Marketing Distribution Social College & Recruiting Job Social Apps Recruiting Interns Campaigns Aggregators Critical / Mobile College, Niche Job Social API Hard to Fill Recruiting Roles Diversity Boards Integration Industry Job Feeds Recruiting Relationship Job Boards Experienced Talent Events (RSS/XML) Mgmt Register in Talent Communities / CRM  Source Metrics Tracking / Analytics Website Careers Pages ATS/Online Application/ EEO = Qualified / Interested Job Applicant
  28. 28. Your NEW “Strategic Pipeline Sourcing Toolbox” Job Advertising & PR / Awareness Leveraging Contacts & Cultivating Relationships / Communities Distribution Conduits Employment Branding – Media & SEO Optimized Content + Metrics Content Sharing Tracking + CRM
  29. 29. 32Measuring Success:- Sourcing & Pipeline Dashboard & Metrics
  30. 30. Pipeline & Source Metrics Tracking - What the REAL Metrics Tell You! BENCHMARK Career Site Search Engines Job Aggregators Major Boards Niche Boards Social Media Visit 337.2 464.5 # 1,740.4 1,054.8 of Visitors: 633.9 826.0 785.3 Click to Apply 43.3 45.8 # of Applications 288.5 166.7 90.6 Started: 163.4 139.5 Complete Application 33.0 32.1 Applications Completed: 120.9 # of 115.9 219.3 75.5 116.0 Qualified Applicant 4.7 # of Qualified Applicants: 4.2 11.2 18.5 9.1 9.9 10.4 Interview 2.4 # of Interviews: 2.2 3.7 5.4 4.6 4.0 3.5 Offer Made 1.2of Offers Made: # 1.2 1.2 1.2 1.2 1.2 1.2 Hire 1.0 1.0 For Every Hire 1.0 1.0 1.0 1.0 1.0 Based on 2010 results for select key clients providing ATS applicant status full year data. Includes 14.3 million visitors, 1.3 million completed applications & 26,000 hires.
  31. 31. Full Line of Sight Source Analytics are Key to Success! (Drill Down to Specific Sources by Job Category) Metrics by Source Employer ATS Applicant Status Source Costs Having access to this level of data helps you Most Hires = Career Site Services strategically shift your sourcing budgets to Most Applies = Pay Per Click SEO those sources generating the highest number of Best ROI = Career Site Services applicants ( Apply’s) and Hires, at the Best ROI (635 Hires / $12.35/hire) (NOT LOWEST) cost per hire!
  32. 32. 35 Measuring Centralized Sourcing Success - What Metrics Matter Most?• Quality of candidates – Funnel ratios and volume of candidates through the recruiting funnel by source• Sourcer & Recruiter accountability – Activity in the system (Login time); Avg. time candidate is in status steps – makes recruiters and sourcers mutually accountable for their role in the process for steps they respectively own.• Quality and number of candidates hired by source – Measured by ratios of candidates interviewed to hired and first year retention and performance ratios by source• Talent Pool Growth and Quality Reporting - # of identified, qualified, high potentials, short term availability vs. long term availability• Recruiter Sourcing Activity Score Card – New records created, emails sent, phone screens completed – workflow, timely step updates• Source Usage, Cost and Performance Tracking – manage ROI by source used – Applies to Hires
  33. 33. 36Recap: Building a Strategic, Targeted, “Relationship Centric” High Volume (and Critical Hire) Pipeline Sourcing Strategy Identify + Connect: Build talent communities by leveraging blogs, website content, SEO, Mobile & social media technology to target, attract and engage TOP TALENT Pitch: Leverage email campaigns and online content to foster regular communications, “Profile” your talent communities interests and create long term candidate relationships through engagement Qualify: Invite formerly Passive candidates you have already begun to establish a relationship with to consider new opportunities as they open up by asking them to review the opportunity and forward on to others if not interested OR click the link to the job and your online application if they are interested. Measure: Using a CRM tool to track quality of talent communities, source funnel metrics, conversion readiness and conversion ratios and costs from application to interview and hire.
  34. 34. 37Case Study
  35. 35. 38High Volume Sourcing – Entry Level Sales- Case Study Overview • Our client’s full life cycle recruiting team were struggling to meet their hiring goal to fill scheduled training classes every 6 weeks with entry level sales hires in 3 critical markets during the year end holiday season. • Nearly 50% of positions are typically filled with employee referrals. Most external sourcing was targeting ACTIVE and IMMEDIATELY AVAILABLE candidates from postings, recent grads or referrals who were immediately available • Weak candidate pool quality – interview to hire ratio ranged from 5-10:1 depending upon market. • Hiring Managers revenue forecasts and income was heavily weighted on all training classes being filled • 2 of the 3 markets were located in non-major metro locations with a small talent pool and/or poor quality entry level talent TalentRISE was first engaged 3 weeks prior to the hiring cutoff dates to providetargeted, centralized sourcing assistance to the clients full life cycle recruiters where needed so that the hiring goals would not be missed
  36. 36. 39Activity / Candidate / Metrics Tracking-Before talentRISE Dedicated Sourcing + CRM Recruiters manually tracking all candidates in Excel and send to sourcing team lead each night Daily am spreadsheet merge by Sourcing Team Lead before 9am status calls Lots of data normalization and clean up by client team lead daily Pipeline metrics not real-time or 100% accurate
  37. 37. 40talentRISE SolutionCentralized Sourcing + CRM Process Overview Targeted Online Invite Qualified Client Recruiter Sourcing, Email Candidates to Apply Phone Interview Networking + Posting on Career Site PASS  Tracked in CRM Job Preview Video Manager Interview  TR Recruiter Phone  Online Application + Screen & Sell Oppty “Sales Fit” Assessment Hire 2:1- Dedicated, centralized - Close partnership with client - Shared success in 100% filledsourcing team: 2 recruiters recruiters classesassigned to focus 100% onsourcing to assist recruiters - Eliminated duplicate sourcing - Growing Pipeline of candidateswhere needed efforts using a source/screen moved forward to next class; and handoff to FLC client accelerated initial hires- Focused on 3 challenging recruitermarkets with smaller talent pools - Source tracking & refinementor lower talent quality - Real-time pipeline metrics via ongoing + Optimized recruiter time CRM generated reports
  38. 38. 43View Into Talent Pipeline Sourcing MetricsReal-time Tracking / CRM Reporting
  39. 39. 44Case Study- Results / Hiring Metrics• First classes were filled at 98% of goal (53/54 Hired) - Prior client full life cycle team approach filled classes in difficult markets at 70-85% on average depending upon market• Second round of classes 6 weeks later were filled at 96% of goal (101/105) = Consistent fill ratio• Over 1200 previously sourced talent pipeline candidates were able to be re-contacted in the CRM by a single email blast for the second class following the cutoff dates to fill the first class. ▫ The first 7 of the initial second class hires came from the first class candidate pool pipeline and email blasts = value of the talent pipeline and original relationships built during the first class recruiting effort.
  40. 40. 45The Final Numbers:- Cumulative Metrics (Both Classes) Source Analysis 20% TalentRISE Sourcing Team +47% Employee Referrals +33% Client Recruiting Team - Ad postings - Website Career Site - ATS Past Candidates - College relationships - Local referral networks
  41. 41. The Final Numbers- Metrics Analysis / Quality 1. First Class strategy focused more heavily on driving awareness and applicant volume due to urgency & timing 1 2. Second Class strategy changed to focus more on quality over quantity: 3. Improved invite to apply / passed assessment ratio indicates improved quality ( From 21% to 43%) 4. Consistent hiring manager interview to hire ratios = 2:1 is significantly better than best 2 practice for entry level hiring = 5:1 3 4
  42. 42. 47Dedicated Sourcing + CRM ApproachIntangible Value Add• Consistent and targeted company branding driving passive and active candidates to the CLIENT website – Over 8000 candidates sourced + nearly 7500 contacts attempted• Recruiter bandwidth scalability to redirect more resources or underutilized bandwidth as needed to address more difficult to fill markets – High income, less populated, lower quality pool• 100% dedicated focus on high volume, creative sourcing, email and phone outreach to passive and active candidates - supplements Client recruiters available sourcing time so they can focus more on employee referrals and driving the interview to hire process forward• Sourcers provide additional points of contact communications with all top, potential candidates creating possible current and future interest, referrals and hires for sales and other opportunities as they arise. -- Nearly 100 candidates were flagged too experienced and recommended to apply for experienced sales positions and 75 candidates were flagged to be considered for future opportunities.• Sourcer proactive candidate phone follow up on invitations to apply and resolving issues with broken assessment links or online application glitches creates a positive Client employment experience
  43. 43. Corporate Sourcing Strategy Future Trends Past or Current 2-3 Year Evolution Reduce Time To Fill & Costs First Step Goal S E S O E O
  44. 44. 49What Is Your 2012 StrategicHigh Volume Recruiting Plan?
  45. 45. 50QuestionsCarl KutsmodePartnerPh 773 509 6801carlkutsmode@talentrise.com www.talentRISE.com “Helping employers achieve competitive advantage through talent” We Align People, Processes, Strategies and Technologies to Meet Changing Business Talent Needs

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