Predictive Analytics in Recruitment

What Is Predictive Analytics in Recruitment?

Recruitment analytics uses data analysis systems to find trends and patterns within candidates' data and predict the types of people who will be hired. This method assesses diverse components such as candidate qualifications, skills, previous performance, and personalities to give an idea of the best-fit person for a given role or a perfect match for an organizational culture.

By combining historical data from previous hiring processes and candidates' data, predictive analytics is an efficient tool for recruiters and hiring managers to make more balanced decisions, increasing the chances of hiring the best candidates. It covers areas such as identifying top-tier candidates during the hiring process, anticipating which candidates are highly likely to accept the job offer and, in some cases, forecasting future employee performance and retention.

Eventually, predictive analytics helps organizations keep their recruitment strategies in order, automatize the hiring process, reduce the time and cost of searching best candidates, and ultimately build a better workforce. It is a way to make information more impactful for managers by giving them information based on data that will lead to decisions aimed at achieving the organizational targets.

Example of Predictive Analytics in Recruitment

A good illustration of predictive analytics in recruitment may be a retailer utilizing historical data on employee performance, including sales metrics, duration, and training records. While compiling this data and critiquing the candidate profiles, the firm will be able to create predictive models to identify individuals with the same traits suitable for sales positions. The talent management system allows recruiting managers to filter out candidates who do not have a higher probability of success and, as a result, contribute to a better and more prompt hiring process and workforce efficiency. Moreover, if the company relies on the analysis of historical turnover trends, it becomes possible for the company to identify any upcoming turnover problem, hence allowing the organization to deal with the turnover problems proactively, which will also allow the organization to optimize the workforce and promote business growth.