Establishing hiring practices, recruiting, filling positions, and growing teams are all challenges that most businesses face. While there have been some good solutions in the past, such as outsourcing to professional recruiters or restructuring job positions, data science now provides a more promising long-term alternative. Many companies are now using big data to create a more robust company culture and develop improvements in how they manage and grow their teams. In fact, a Global Recruiting Trends survey revealed that 50% of business owners consider big data to be the most effective hiring method. Additionally, data can help improve retention by 56% and better clarify skills gaps by 50%.
Keep reading to learn more about how data science could save your team by speeding up the recruitment process, lowering employee turnover, and more.
Finding the Right Candidate
Years ago (and currently for some companies), hiring managers had to read through dozens or hundreds of cover letters and resumes to find prospective candidates. Not only time consuming, this process is rife for human error such as overlooking the ideal candidate. But data tools such as predictive analytics can filter candidates based on a number of factors including experience, job titles, qualifications, and skills, and compare these to current job descriptions and even existing employee data. Once those comparisons are made, it then ranks a candidate’s suitability for the job and how likely they are to succeed in the role. This can exponentially speed up the hiring process and virtually do half the work for you when selecting a candidate. Predictive analysis also eliminates human bias and uncertainties, ultimately leading to smarter decisions in the hiring process.
Outsourcing is perhaps one of the fastest-growing industries in recent years. In the US alone, more than 300,000 jobs are outsourced every year because of how beneficial it is for most companies, including freeing up time for in-house staff to do what they do best. If you’re considering outsourcing, you can leverage data science to identify any weak points in your organization where outsourcing would help the most. You can quickly identify any obstacles or problems and ensure a more flexible, effective, and productive outsourcing arrangement. By using accurate data and insights, you’ll make the most out of your outsourcing arrangement and make even more strategic decisions to ensure the project’s success.
One good application of data science is project management software that features service level agreements, benchmarks, and metrics that all contain valuable information you can use to further improve your processes. Finally, having the ability to see real-time reports on how your team is performing, whether they’re in-house or outsourced, will help you make adjustments on the fly to ensure productivity isn’t disrupted.
Replacing an employee is never easy and is usually costly. On average, it costs around six to nine months’ worth of salary for a business to replace an employee. So for an employee that makes $60,000 annually, recruiting and onboarding fees cost anywhere from $30,000 to $45,000. That’s a huge chunk of money to spend on finding a new employee for one position. That’s why doing everything you can to retain your employees is a smart business decision for any company.
Data analytics can play a significant role in helping an organization retain employees by providing a clear picture of their interests, skills, strengths, and expertise. Those crucial pieces of information can allow you to think of better ways to engage and challenge your employees and keep them interested in their job. Employees who feel valued, challenged, and engaged are less likely to leave and will be more productive – a win-win for any business.
Big data has the potential to streamline and improve any business’s hiring, recruiting, and retention processes. From finding the perfect candidate to better outsourcing to minimizing employee turnover, leveraging the power of data science can save your organization time, money, and hassle.
If your company is looking to leverage the power of data for hiring or any other business process, reach out to Gemini Data. Our single platform works for many use cases and can help you understand the story behind your data.