Talent Intelligence is the final frontier of business intelligence, but it won’t just transform recruiting and human resources. No, talent Intelligence will transform every aspect of your business operations. As companies gain the ability to conduct immediate skills gap analysis and ongoing workforce planning in-house, they’ll be able to create their ideal workforce from within, and do so while creating significant talent cost savings.
Below is a list of the many ways that using Talent Intelligence reduces hiring and talent costs:
Improved Internal mobility
Keeping current employees happy costs a lot less than hiring replacements. But did you know that it’s also more cost-efficient to use internal talent to fill roles in your organization? Internally sourced candidates cost 18% less than an external hire.
But just because internal candidates cost less, retain institutional knowledge and read productivity twice as fast than new hires, internal mobility doesn’t come without challenges. The biggest of these challenges is finding and promoting these candidates (when their managers may not want them to leave), and finding the time to balance internal mobility with passive sourcing and inbound candidate review.
This is one area where Talent Intelligence software provides a major benefit. It allows companies to review all talent in one slate, including passive talent and current employees.
Greater Upskilling Opportunities
Similarly, TI can provide the critical data and unbiased insight needed to identify upskilling opportunities. Upskilling is the process of learning the skills to stay competitive in the current economy, and those your team will need in the future.
Bigger Impact with Passive Talent
Passive candidates are another elusive talent pool that delivers great results such as increased engagement and shorter onboarding, but they too can be hard (and expensive to find). Using talent Intelligence can dramatically increase your talent ROI by decreasing the hard-costs associated with using recruiters and networking site seats.
Here are just a few examples of the hard cost and efficiency savings our customers have won by adding Talent Intelligence to their ATS and HCMS instances.
Reduced Turnover and Attrition
The average turnover rate in corporations can feel overwhelming. Some report numbers as high at 40% annually. But both Talent Intelligence and Workforce Intelligence can help prevent attrition. Through the platform, TI can identify individuals who may be on the bubble and wondering if they should begin to look elsewhere. It will give you the edge to know when to offer a promotion or upskilling opportunities.
Fewer Bad Hires Due to Improved Candidate Matching
The actual cost of a bad hire isn’t just the salary that you’re paying them. The late Zappos CEO Tony Hsieh, once stated that bad hires cost the company well over $100 million. From start to finish, the hiring process and lost productivity adds up, and each of these figures should be considered when looking at turnover in your company. The best way to avoid bleeding money is to hire right the first time.
Increased Recruiter Efficiency
While artificial intelligence can’t replace human interaction, tools such as TI can enhance the efficiency of recruiters. Recruiters can spend up to eight hours a week on repetitive administrative tasks. By automating aspects of the hiring process, you not only eliminate bias from the talent search, but free up your recruiter’s time for the most important part of their jobs: communicating with top talent.
In Summary: Improving ROI with Talent Intelligence
80% of the top challenges faced by CEOs today are related to hiring. By improving aspects such as internal mobility, upskilling, targeting passive talent, reducing bad hires, and increasing recruiter efficiency, your business can save money throughout a candidate’s entire lifecycle at your company. And reducing cost isn’t the only benefit of an improved hiring process. It also directly impacts employee satisfaction and retention, driving even greater results.
Download our in-depth study to learn more about reducing hiring and talent costs and improving your talent ROI.