A key tool to help position your HR department as a modern profit center rather than as an old-school cost center is to implement an Applicant Tracking System (ATS) –sometimes referred to as Talent Acquisition Software – specifically geared to support those organizations with high volume staffing needs.
According to a study by the Aberdeen Group, “a retail company with a 5% profit can potentially double its bottomline with an investment” in this type of technology.
Keep in mind that to get the most benefit, the ATS should offer end-to-end, fully integrated: applicant tracking, I9 compliance, tax credit and business incentives, sourcing, drug screening, assessments and HRIS integration. SAAS solutions offer an organization the ability to pick the "best in breed" among services and integrate, as well.
Better hiring choices means the new hire becomes productive faster. Staff who are a better fit for the position are also more likely to stay longer. Staff stability leads to managers who have more time to focus on strategic issues and customer service.
These improvements can be tracked in higher sales, lower shrinkage, and lower turnover – translating into a better experience for the customer, higher customer retention rates and higher morale for coworkers.
An hourly hiring management solution that screens out least qualified candidates because of skills, work history, or poor attitudes quickly generates a positive return on investment and an impact to your quarterly financials by accelerating “time to contribute”, thus reducing turnover and overtime. In a high-volume recruiting atmosphere where front line managers spend so much time screening, interviewing, selecting and training new hires, time saved on these tasks by hiring the bestqualified candidates directly impacts the bottom line.
In conclusion, as the economy limps along toward "recovery” and businesses look for every opportunity to generate more revenue, gain a competitive edge and contain expenses, human resources has a great opportunity to show that it can directly contribute to the company’s bottom line by “smart hiring.” An integral piece of the “smart hiring” process is a Talent Acquisition Software system that is specifically built to support a company’s business needs while simultaneously identifying tax creditsand business incentives. An effective strategy as described will drive positive business growth and turn HR into a profit center.