Investigating the role of ATS systems

Should the core of an ATS system lie in matching? And what type of matching works best? Many systems focus on job vacancies, matching candidates with a vacancy's criteria. It's a shame, because by focusing on the qualities and attributes of candidates, you achieve a much stronger and more sustainable match between contractor and client. And isn't that the core of an intermediary?

We believe the candidate should be more central. Job vacancies should be shaped around them by focusing on their needs. From our experience and expertise in developing temp and flex platforms, we were curious about how the employment mediation industry views this. That's why we conducted research on the use of ATS systems. We share the results with you below.

The Use of ATS Systems in the Industry

Our research included 51 respondents, all with experience in ATS systems, ranging from employment agencies, platform owners, employers, and recruitment agencies. There are, of course, many different ATS available. The systems from Carerix, Recruitnow, and Salesforce proved to be the most popular. In the table below you can see they are used for various functionalities.

Naturally, we see that creating job vacancies within an ATS is important for all respondents. Furthermore, there are many other functionalities that are important to have in an ATS. Features like time registration, planning, and billing are considered much less important by respondents and are barely mentioned in our research.

Focus on Vacancy or Candidate?

The majority of respondents (61%) also believe that the focus of an ATS should be on the candidate. The responses show that the tight labor market plays a significant role in this, as candidates call the shots. Companies realize they need to satisfy candidates' needs, or they won't attract valuable candidates. For example, respondent A says: “The human being is central; in a tight labor market, you want that too. You need to look more at which job/organization fits the current and future wishes of the candidate if you want to keep binding a candidate to you.” Respondent B shares this view: “In a tight labor market, the focus should be much more on the candidate, and the recruiter should also place them at the center. Thinking from the candidate's perspective—what can and does the candidate want—could lead to a match much sooner than strictly adhering to the job vacancy requirements.” Moreover, respondents believe this approach would also lead to a better candidate experience. As respondent C describes, this is very valuable in this tight labor market: “Focusing on the candidate ensures better, broader, and more personal matching.”

However, the other 39% of our respondents do not share our opinion. They prefer a focus on the job vacancy in an ATS. The responses suggest that recruiters find it hard to fill vacancies if candidates have specific wishes and that a customer promise of 100% must be delivered. An interesting comment: “I can still influence candidates to choose a vacancy. The other way around is more challenging because a vacancy is usually as it is to a certain extent.” The convenience for the recruiter also plays a role: “This way you more easily choose the best match from a list of potential candidates.”

Employee Retention

Our research shows that the majority agrees with our thoughts on ATSs. But there is also a group that thinks differently. We are used to putting the job vacancy at the center, but nowadays, this no longer seems to be the best way. It is time for companies to realize that candidates' needs must be fulfilled to bind them to your company. The expectation is that the tight labor market will continue for a long time. Therefore, a focus on employee retention is more important. Good employees are hard to find, and once you have them, it's vital to ensure they stay. It really is about fulfilling the candidate's needs and wants. It makes little sense to steer the candidate in a certain direction because those are not where their needs lie. Furthermore, the chances of retention decrease if candidates don't get what they are looking for and will sooner or later look elsewhere. This incurs a lot of effort, time, and costs, especially in acquiring employees. That's why your company benefits much more from binding candidates to itself. As respondent D states: “You differentiate yourself from other recruiters who focus on a vacancy. Such an outdated thought.”

We incorporate this input into our decisions when developing digital platforms for the employment mediation industry. We will continue to focus on fulfilling and centralizing user needs with the goal of a flexible and user-friendly ATS for the end-user, allowing a sustainable relationship to be built between employee and employer.