Significance of Applicant Tracking System in HRM

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Human Resource Management (HRM) plays a pivotal role in driving organizational success. Efficiently managing the recruitment process is vital for any HR department, and this is where the HRM system comes into the spotlight. An Applicant Tracking System (ATS) is a powerful tool that has transformed the way companies attract, screen, and hire top talent. In this article, we delve into the significance of HRM and its indispensable role in modern recruitment strategies, with a specific focus on the importance of implementing an Applicant Tracking System to streamline the hiring process. 


Why Applicant Tracking Systems are Essential for HR Management

Recruiting and hiring processes are becoming more challenging in today’s competitive job market. Organizations are seeking qualified candidates to fill their job openings and face challenges in attracting and selecting the best candidates. Using an Applicant Tracking System (ATS) has become essential for HR Management to streamline and optimize the recruiting process.


Importance Of Applicant Tracking System In HRM

An ATS is a software application that manages and automates the recruitment process. It allows recruiters to post job openings, screen resumes, and track candidates’ progress throughout the hiring process. An ATS is a crucial tool for HR Management. Here are a few reasons why:

Automating the Recruiting Process

The recruiting process can be tedious and time-consuming, especially for organizations that receive hundreds or thousands of applications for each job opening. An ATS (Applicant Tracking System) streamlines various recruitment tasks, including resume screening, interview scheduling, and sending rejection letters. This automation saves HR professionals significant time and allows them to focus on other critical HR functions.

Share on Job Boards

ATS makes sharing job openings on various job boards, social media sites, and other online platforms easier. This increases the visibility of job postings, attracting a more extensive pool of candidates. It also allows recruiters to post jobs on niche job boards, reaching a specific audience of potential candidates.

Record Interviews

With an ATS, HR professionals can record interviews, which can help track the candidate’s progress throughout the hiring process. They can serve as a reference for hiring managers and recruiters. With this feature, HR professionals can share interviews with other hiring team members absent during the initial interview.

Streamline your Hiring Process

An ATS can simplify the hiring process for HR professionals by efficiently tracking and managing applicants. It eliminates the need for manual resume tracking and reduces the risk of errors, ultimately improving recruitment efficiency. Additionally, it allows HR professionals to maintain a centralized database of all candidate information, making it easier to search for and identify qualified candidates.

Enhancing Candidate Screening and Shortlisting

Applicant Tracking Systems (ATS) enhance candidate screening and shortlisting by automating the initial review of applications. HR professionals can set specific criteria and keywords relevant to the job, allowing the ATS to filter and rank applicants based on their qualifications quickly. This efficient process saves time, identifies top candidates faster, and ensures that only the most suitable applicants move forward in the hiring process.

Posting Jobs on Social Media Sites

As social media plays a more significant role in recruitment, an ATS can advertise job openings on popular platforms like LinkedIn, Facebook, and Twitter. This feature boosts the visibility of job postings and can attract more candidates who are active on social media.

Valuable Insights on KPIs

An ATS provides valuable insights on key performance indicators (KPIs) related to the recruiting process, such as time-to-fill, cost-per-hire, and applicant source. By providing this information, HR professionals can pinpoint areas that need improvement and use data to make informed decisions that will enhance the recruitment process.

Improved Candidate Experience

To enhance the candidate experience, an ATS can offer a simple and easy-to-use application process, send prompt updates on communication, and provide feedback on the candidate’s application status. This approach can boost candidate satisfaction and increase the chances of the candidate accepting the job offer.


Examples of ATS

ATS can be divided into two main categories: AI-powered and non-AI-powered ATS.

Artificial Intelligence (AI) powered ATS

Artificial Intelligence (AI) powered ATS is a type of Applicant Tracking System that leverages machine learning algorithms to automate and optimize the recruiting process. It offers advanced features beyond the essential functions of non-AI-powered ATS.

The main features of AI-powered ATS include resume parsing, candidate matching, predictive analytics, video interviewing, natural language processing, etc. AI-powered ATS offers several advantages over non-AI-powered ATS. Its advanced features can significantly improve the efficiency and effectiveness of the recruiting process. 

By automating tasks such as resume parsing and candidate matching, AI-powered ATS can save HR professionals significant time. Its predictive analytics can also help organizations make data-driven decisions and optimize their recruiting process.

Non-AI powered ATS

Non-AI powered ATS is a type of Applicant Tracking System that does not use machine learning algorithms to automate and optimize the recruiting process. It is a more straightforward solution that offers basic features for managing the recruiting process, such as resume screening, interview scheduling, candidate tracking, etc. 

Additionally, non-AI-powered ATS can help organizations maintain a centralized database of candidate information, making it easier to track candidates and communicate with them throughout the hiring process.

However, non-AI-powered ATS does not offer advanced features such as candidate matching or predictive analytics that can help organizations identify the best-fit candidates for the job. It may also not integrate with other HR management software, which can limit its functionality.


Transform Your HR Process with Oorwin

Oorwin is an all-in-one HR management software with an advanced ATS solution that helps organizations streamline HR processes and improve efficiency. Its features include job posting, resume parsing, candidate matching, interview scheduling, communication tools, analytics and reporting, and candidate experience.


Frequently Asked Questions

What is an Applicant Tracking System?

An Applicant Tracking System (ATS) is a software tool utilized in Human Resources Management (HRM) for automating recruitment processes. It allows for the automated tracking, sorting, and organizing of digital job applications, allowing HRM to work more efficiently. 

What are the features of an Applicant Tracking System?

Applicant Tracking Systems typically offer features such as candidate tracking, job posting, job and candidate analysis, interview scheduling, and more. 

What benefits can Applicant Tracking Systems offer?

Applicant Tracking Systems can offer various benefits, including streamlining recruiting processes, automating HRM tasks, and helping companies meet their individual needs and demands.

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