Five strategies for talent acquisition success
New findings from our research at The Josh Bersin Company should sound a wake-up call to any HR leader fearful of the current wave of employee job change.
The research, based on more than 600 responses from HR professionals around the world, found that old-style job posting, advertising and traditional interviewing are among the least impactful recruitment practices in today’s competitive labour market when it comes to meaningful business and workforce outcomes, and that companies need to change. And swiftly.
The data shows that 75% of companies fail to recruit effectively. When one in five companies have more than a thousand open job requisitions, and in healthcare, retail, hospitality and distribution hiring is a source of operational crisis, this is clearly a recipe for disaster.
Yet, despite the urgency, the research shows that only one in four employers design jobs with clear opportunities for skill development and variety, to attract and retain talent. The research also reveals that only 11% of companies promote a culture of internal mobility, and only 8% actively recruit from underrepresented groups.
The maturity of talent acquisition (TA) technology was the lowest-scoring element in the research. A few companies – about 20% – have found success with talent marketplaces and are automating basic activities like scheduling interviews. Only 8% of companies employ artificial intelligence and chatbots in their end-to-end recruitment process today.
The study also found that companies that leverage the right recruiting strategies aren’t just winning the war for talent. They’re also twice as likely to exceed their financial targets and five times more likely to delight their customers. So how do you start turning your talent acquisition process around?
Five strategies for achieving talent acquisition success
The study found a number of essential strategies for achieving TA success.
- A complete and integrated employee value proposition (EVP) should be the number one area of focus for TA success
When the employment brand is strong candidates feel a sense of purpose, and if the organisation listens to its workforce companies are 5.4 times more likely to exceed financial targets, 6.1 times more likely to delight customers and 7.4 times more likely to innovate effectively.
- Retain great recruiters
One of the most important takeaways from the research and the second strategy of TA success is that, even in the 2020s and for all the importance of technology, great recruiters hire great people. While the demand for jobs continues to surge, finding and keeping great recruiters is an issue, so investment in the recruitment team is key. In fact, companies that properly cultivate their recruiting expertise are 3.9 times more likely to be leaders in innovation and 4.5 times more likely to achieve high levels of customer retention.
- Take an agile approach to internal mobility
The research shows that a linear approach to internal mobility is not effective and that a more agile process closely linked to work design is better. A third strategy is to work with the business and actively look to create lots of internal temporary roles, project-based work, rotational assignments and internal mentoring for more effective TA. At the same time, cultural barriers that hinder hiring from within need to be addressed. When companies go beyond the basic practice of posting jobs on an internal portal and encourage a culture of movement and growth, they are 3.7 times more likely to see innovation rise and nearly 5 times more likely to be recognised as a great place to work.
- Put skills and capabilities at the heart of your TA strategy
A fourth finding is that to be successful and escape the worst consequences of the Great Resignation, organisations need to put skills and capabilities at the heart of any new TA strategy. Our research shows that when companies hire for behavioural skills in addition to a strong slate of technical expertise, there’s notable performance improvement in both the short and long term. Companies bringing these capabilities into their workforce are 5.7 times more likely to be innovation leaders.
- Choose the right technology
Finally, the right HR tech is key to TA success. The CHROs we spoke to consistently said that when they employ AI throughout their recruitment processes they are four times more likely to boast a strong candidate pipeline. Likewise, those who leverage a variety of digital-hiring solutions, such as online assessments, virtual interview platforms and pre-hire chatbots, are twice as likely to be able to attract and recruit the right talent.
Companies who rethink TA will thrive
Finally, it’s important to note that the case for evolving the recruiting function beyond its legacy approach has never been clearer. In our increasingly volatile and uncertain world, old tried-and-true practices are not going to be enough to build and maintain a talented workforce that is innovative and engaged.
In conclusion, it’s clear that the most successful companies right now are the ones rethinking TA. They’re putting people at the centre, boldly experimenting with new strategies and applying technology in smart ways to unlock innovation throughout the process.
Creative, innovative TA sets your company up for success—not just today, but in the future. It doesn’t just help you bring in new talent; it empowers and inspires your workforce to stay and do their best work, unlocking new ways to delight your customers and grow the business.
Josh Bersin, pictured below, is an internationally recognised analyst, educator,and thought leader in the global talent market. Explore his analysis of talent acquisition in greater detail in the new The Josh Bersin Company report on this trend The Definitive Guide to Recruiting: Human-Centered Talent Acquisition