ATS and other digital recruitment tools are becoming increasingly important for hiring qualified candidates for an organization. In this competitive job market, digital hiring tools make the recruitment process more efficient with automation, bias-free selection, and improved candidate experience.
Applicant Tracking Systems (ATS) software helps in the recruitment and hiring process. The role of an ATS in recruiting is to share job postings, filter, and track candidates, centralize candidate information, facilitate communication between candidates and internal stakeholders, and provide valuable insights into recruitment.
This article will guide businesses in selecting the right ATS by sharing tips and essential features that an ATS should have.
Factors to Consider Before Investing in an ATS
When considering an ATS, organizations should consider several key factors, such as understanding hiring volume and process complexity. Companies that frequently hire for a large number of positions must choose an ATS with robust candidate management and automation features. Hiring for complex roles involves multiple stages of the hiring process. Businesses that need to hire in a complex role should choose an ATS with features like interview scheduling and assessment tools.
Small businesses often have simpler hiring needs; hence, user-friendly and affordable ATS options are more suitable for them. Larger companies may require more sophisticated features in their ATS to manage more applicants and complex hiring processes. Thus, being aware of the applicant tracking system requirements for your organization before investing in it comes with an added advantage.
Another crucial factor to consider is comparing the company budget and ROI. They should assess the ATS’s integration capabilities with HRIS, CRM, and other systems and features to fit specific processes and customizable workflows. Choosing an ATS that both recruiters and candidates can easily use will improve efficiency and facilitate a positive candidate experience. Scalability, flexibility, regulatory compliance with GDPR, CCPA, etc., and data security are other vital points that organizations should not ignore.
Essential ATS Features
The key features of ATS are integration capabilities, analytics and reporting, automation, scalability, security, and more.
Integration Capabilities
A company can only optimize its hiring processes and ensure data consistency if the ATS seamlessly integrates with its existing HR systems. It allows for a smooth flow of information between different HR functions, such as candidate tracking, onboarding, and performance management. Integrating the ATS with HR software enables companies to centralize employee data and track performance.
Companies using multiple ATS systems require integration to manage all job openings and candidates from a single platform. ATS software must also integrate with onboarding software for automated onboarding and a smooth transition for new hires. Its integration with CRM helps track interactions with potential candidates and nurture relationships with communication tools.
Automation
Automation is an indispensable part of modern Applicant Tracking Systems (ATS). It automates repetitive tasks such as job postings, candidate sourcing from the talent pool, resume screening, interview scheduling, email notifications, etc., saving recruiters time and effort. Besides making the hiring process efficient, ATS ensures consistency in candidate communication. It also makes recruiting process more targeted and effective by identifying top-tier candidates based on specific criteria.
Analytics and Reporting
Applicant tracking systems for recruiting agencies must come with analytics and reporting features to help recruiters make data-driven decisions by providing valuable insights into the recruitment process. It tracks KPIs such as time-to-hire, applicant source, and candidate conversion rates. These data allow companies to identify areas for improvement and develop or optimize recruitment strategies. Reports are also helpful in communicating with the stakeholders better.
Customization
With the customization features, ATS allows organizations to modify the software according to their needs. Its various aspects include:
- Creating custom job posting templates aligning with branding and specific organizational requirements for different job sites and social media platforms.
- Providing email templates that recruiters can use to communicate with the candidates quickly.
- Defining the stages of the hiring process, including applicant screening, interviewing, and onboarding.
- Adding or removing ATS software fields to capture the relevant information.
- Generating personalized reports and analytics to track key hiring metrics.
The benefits of a customizable ATS include task automation that aligns with unique workflows, reduced manual effort, and relevant metrics tracking to gain valuable insights into the hiring process. It creates a personalized candidate experience reflecting company culture and configures the system according to industry regulations and compliance standards.
Scalability
A scalable ATS can easily adapt to the needs of a growing organization so the companies do not have to switch to another software to accommodate growth. It handles the increased workload without compromising the performance of the hiring process, even during periods of rapid growth. It accommodates a larger volume of applicants for multiple teams, integrates seamlessly with other HR systems, and accommodates new applicant tracking system features according to the organization’s evolving needs.
If a business fails to choose a scalable ATS, it can fall into a risky position. As the ATS becomes overburdened, the hiring process becomes inefficient and delayed. The company fails to attract and retain top talent and requires frequent upgrades or replacements, causing increased costs and operational disruptions. Hence, companies can future-proof their hiring process by investing in a scalable ATS.
Security and Compliance
Security and compliance are must-haves for applicant tracking systems (ATS). Security breaches in a company lead to financial losses, legal consequences, and loss of company reputation. At the same time, non-compliance with local and international laws and regulations may incur fines and penalties.
Due to the amount of sensitive personal data ATS handles, it has been the target of several data breach cases. In 2018, a major healthcare provider experienced a data breach through its ATS, exposing the personal information of thousands of job applicants. A year later, the ATS of a US university suffered from a data breach attack. It compromised the personal information of applicants and current students.
A robust ATS plays a vital role in helping organizations comply with employment laws by centralizing data, ensuring secure storage, and maintaining transparency throughout the entire process. It protects businesses from legal liabilities, ensuring compliance with data protection and privacy laws such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). Hence, businesses can protect their sensitive data and mitigate risks by investing in an ATS.
User-friendly Interface and Mobile Accessibility
An ATS with a user-friendly and easy-to-navigate interface is highly effective in enhancing the recruiter and candidate experience. It enables recruiters to quickly access and manage candidate information to make informed decisions.
A mobile-friendly ATS is essential for accessing the system on the go. Thus, candidates can easily apply for jobs from their smartphone or tablet, while recruiters can always stay connected to the hiring process, improving responsiveness and time-to-hire.
Quick Data Migration
A smooth data migration from an old system to the new ATS allows minimal disruption to the hiring operations of an organization while maintaining data integrity. For this reason, companies must select an ATS that can quickly and seamlessly migrate existing data. Businesses with large databases or complex hiring processes need an ATS with an easy data migration process to reduce the time and effort to move existing candidate and job data into the new ATS.
Quick data transfer also minimizes downtime and helps the recruiting team to continue working without significant interruptions. A robust data migration also ensures data integrity and accuracy while maintaining compliance with regulations. For this reason, ask the ATS vendors about their data migration capabilities and supported tools.
Resume Storage Features
Every ATS for recruiters needs a robust resume storage system to be fully effective. It functions as the central repository for candidate data for easy management and retrieval. The storage should provide quick and easy access to candidate resumes so the recruiters can efficiently locate and review applications.
It must employ necessary security measures, such as encryption and access controls, to protect highly sensitive data from unauthorized access. The ATS should also allow easy organization and categorization, with tagging and filtering, to identify qualified candidates based on specific criteria.
Vendor Support
A reliable and responsive vendor provides necessary guidance, assistance, and training to ensure long-term success through ATS implementation and getting the most out of your investment.
From a trusted ATS vendor, businesses usually get support on onboarding, which usually includes training materials, webinars, or dedicated support representatives. ATS vendors also provide ongoing support, such as troubleshooting, technical support, and assistance with configuration changes. Many of them also offer regular training sessions such as workshops, webinars, or on-site training.
It is also important to watch for the warning signs about the vendors, such as vendors taking too long to respond or offering limited support options. Poor or inadequate training and hidden feed associated with support are also red flags companies should be aware of.
Tips on Selecting the Right ATS for Your Organization
Here are the following tips to consider before selecting ATS for your organization.
Consult Multiple Vendors
It is not a good idea to jump to the conclusion about an ATS. Always engage with multiple vendors to ensure you select the best ATS systems for your organization. Thus, one can perform ATS comparisons regarding the features, pricing, and customer support facilities of several ATSs. You can even prepare a questionnaire for the vendors like the one below:
- What are the core features of your ATS?
- How does your ATS ensure data security and regulatory compliance?
- Is there any hidden cost to the ATS?
- Can your ATS handle a large number of applicants and complex hiring? If yes, how?
- Has any similar organization successfully used your ATS?
- How can your ATS align with our specific hiring needs?
Besides, tell the vendors about real-life scenarios from your organization’s hiring process to make them understand ATS requirements. See if the vendors can provide tailored solutions to address your unique challenges. By evaluating multiple vendors based on the answers, organizations can ease the process of selecting the best ATS.
Assess Costs and ROI
During the ATS evaluation process, companies should consider the cost of ownership and potential return on investment. This will help businesses determine whether an ATS is a worthwhile investment.
To calculate the total cost of ownership, companies need to consider setup and maintenance fees. Setup fees include implementation costs, data migration fees, and customization charges, while maintenance costs involve all ongoing expenses such as subscription fees, software updates, and technical support. For ATS with a learning curve, the cost of training your recruiting team on the ATS is also a part of the setup cost.
To determine the return on investment (ROI), consider the time saved by automating recruitment-related tasks, such as resume screening, candidate communication, and scheduling interviews. Also, the time taken to hire employees through the ATS should be evaluated. The impact of the ATS on employee retention and the associated turnover costs are also part of the ROI calculation.
Get a Demo
A demo or trial of the ATS software helps companies assess its usability, features, and integration through a hands-on experience. During the demo, users should look closely at the user interface to understand how intuitive and navigable the system is. Look for customization options to tailor the ATS to business-specific processes and workflows. A free trial allows companies to see how the ATS will function within the organization.
Map Out Implementation Timeline
Organizations should develop an implementation timeline for a successful ATS deployment, considering factors such as system complexity, data migration, and user training.
The ATS deployment timeline depends on the organization’s size, the complexity of the ATS, and the extent of customization. The implementation process may take only a few weeks in smaller organizations with less complex systems. However, larger organizations with extensive data migration and customization needs may require several months to complete the implementation.
To map out the implementation timeline, consider the time it would take to transfer existing candidate data to the new ATS. Data quality and the complexity of the company’s current system will affect the migration timeline. The customization process and hands-on training period for the recruiting team will also add to the implementation time.
Do not forget that challenges may arise during the implementation process, such as technical difficulties during installation, configuration, and integration with other systems. Ensuring the entire recruiting team is fully on board and capable of using the software to its full potential can be challenging.
Seek Client Feedback and Reviews
Gathering insights from real-world users is the best way to understand how well an ATS works. Check out client feedback and reviews for valuable information about ATS’s functionality, reliability, and overall user satisfaction. As you learn from the experiences of other organizations, especially those in your industry, it will become easier to make informed decisions about the best ATS for your needs.
Third-party review sites, forums, and online communities are the best places to find genuine ATS reviews. These platforms offer unbiased opinions, and a company can look for reviews addressing specific features, ease of use, customer support, and overall value. Carefully analyze client feedback to gain a deeper understanding of the strengths and weaknesses, which is helpful for comparing applicant tracking systems.
Ensure Flexibility and Regular Upgrades in Your ATS
Before buying an ATS permanently, one must ensure it can adapt to evolving technological advancements and business requirements. Flexibility ensures that ATS remains a valuable asset to the company over time. Try choosing an ATS with a modular design that lets users add or remove features without disrupting the existing processes. This ensures the ability to accommodate future growth and changes in the organization.
An ATS vendor committed to providing regular updates demonstrates its dedication to offering a cutting-edge solution. These updates can include new features, performance enhancements, and bug fixes. By choosing such an ATS, organizations can stay ahead of the curve and leverage the latest technologies.
Ensure Data Security and Privacy
An ATS deals with sensitive candidate details, including personal information, resumes, and potentially confidential documents, making it crucial to protect it against unauthorized access, data breaches, and data loss. While selecting an ATS, companies must prioritize data security and privacy to protect the company’s reputation and become a trusted name among the candidates.
For data security, the ATS should adhere to relevant data privacy laws, such as GDPR and CCPA, which outline methods for handling, storage, and protection of data. It should also employ strong encryption algorithms to secure candidate data at rest and in transit. Even if some unauthorized persons gain access to the data, it will remain unintelligible.
The ATS must offer granular access controls to restrict access to specific data based on roles and permissions. It enables organizations to maintain data integrity and prevent unauthorized information disclosure.
Final Words
Applicant tracking systems (ATS) are crucial in helping businesses hire the right candidates for their open roles. However, companies should know their specific feature requirements, hiring volume, and process complexity before investing in an ATS. The preferred ATS should have all the crucial features such as automation, customization, integration, scalability, data security, secure compliance storage, compliance, and vendor support. To save time, here is a checklist for interested organizations:
- Identify your company’s specific hiring needs and goals
- Shortlist some ATS software with essential features after going through online reviews
- Check if the ATS integrates seamlessly with your existing HR systems and tools
- Find out about the scalability and user-friendly interface of the ATS
- Evaluate the total cost of ownership and compare it against ROI
- Assess the quality of vendor support and customer service
Are There ATS Systems Specifically Designed for Small Businesses or Niche Industries?
Yes, there are ATS systems designed for small businesses and niche industries. The applications have tailored features to cater to the unique needs of these organizations. For example, ATS systems dedicated to small businesses have core recruitment features, user-friendly interfaces, and affordable pricing. Thus, small businesses can manage their hiring process without overwhelming their resources.
ATS systems designed for niche industries, such as healthcare or technology, come with specialized features, such as pre-built templates, industry-based skill assessments, and compliance tools to perform industry-specific tasks. By offering custom solutions to specific businesses, these ATS systems provide valuable support to organizations.
What Is the Average Cost of an ATS?
The average cost of an ATS varies depending on company size, subscription plan, and features. While there is free ATS software, some ATS applications can be as costly as several thousand dollars per month.
What are the Mistakes to Avoid While Buying an ATS?
Here are the mistakes an organization should avoid while buying an ATS system.
- A lack of clear ideas about the company’s requirements leads to investing in an unsuitable ATS.
- Overlooking integration support for existing business stack cause data silos.
- Ignoring scalability and customization limits companies to accommodate future growth and unique workflows.
- Neglecting user experience makes it difficult for recruiters and candidates to use the ATS.
- Ignoring data security puts sensitive candidate profiles and business information at risk.
- Rushing the decision can lead to a poorly informed choice.
- Overlooking mobile optimization can lead to a poor candidate experience.