What are the best ways to measure talent acquisition?

1 Time to Hire

Time to hire is the average number of days it takes to fill a vacant position, from the moment the job is posted to the moment the offer is accepted. It is a simple and straightforward metric that reflects the efficiency and speed of your hiring process. A shorter time to hire can indicate a more agile and responsive talent acquisition team, a more attractive employer brand, and a lower risk of losing candidates to competitors. However, time to hire should not be the only metric you use, as it does not capture the quality or fit of the hires, nor the cost or satisfaction of the process.

2 Cost per Hire

Cost per hire is the total amount of money spent on hiring a new employee, divided by the number of hires made in a given period. It includes both internal and external costs, such as advertising, recruitment software, screening, interviewing, testing, travel, relocation, and training. Cost per hire is a useful metric to measure the budget and resources allocated to talent acquisition, and to compare the return on investment (ROI) of different hiring strategies and sources. A lower cost per hire can indicate a more efficient and economical hiring process, but it should not compromise the quality or diversity of the talent pool.

3 Quality of Hire

Quality of hire is the most important but also the most challenging metric to measure talent acquisition. It is the degree to which the new hires meet or exceed the expectations and requirements of their roles and the organization. Quality of hire can be measured by various indicators, such as performance ratings, productivity, retention, turnover, engagement, feedback, and referrals. Quality of hire is a comprehensive and long-term metric that reflects the impact and value of your talent acquisition efforts on your organization's goals and culture. A higher quality of hire can indicate a more effective and aligned hiring process, a better fit between candidates and roles, and a stronger employer brand.

4 Source of Hire

Source of hire is the origin or channel from which you find and attract candidates for your open positions. It can be classified into different categories, such as job boards, social media, employee referrals, career fairs, agencies, or direct applications. Source of hire is a helpful metric to measure the reach and effectiveness of your sourcing strategies and tools, and to identify the best sources for different types of roles and candidates. A more diverse and targeted source of hire can indicate a more proactive and creative talent acquisition team, a wider and richer talent pool, and a more optimized hiring funnel.

5 Candidate Experience

Candidate experience is the perception and impression that candidates have of your organization and your hiring process, from the moment they discover your job opportunity to the moment they receive the hiring decision. It is influenced by various factors, such as the clarity and attractiveness of your job description, the ease and speed of your application process, the communication and feedback from your recruiters, the fairness and relevance of your assessment methods, and the respect and professionalism of your hiring team. Candidate experience is a vital metric to measure the reputation and image of your employer brand, and the engagement and satisfaction of your potential hires. A positive candidate experience can indicate a more respectful and humanized talent acquisition team, a more loyal and enthusiastic candidate pool, and a higher acceptance and referral rate.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?