Companies Want More From Talent Acquisition

Companies Want More From Talent Acquisition

by Natalie Morera | Talent Management

 

Nearly half of companies are considering switching talent acquisition providers, according to a recent study, but some providers are maintaining their optimism.

 

The Bersin & Associates study, titled "Talent Acquisition Systems 2011: Market Realities, Implementation Examples and Solution Provider Profiles," included responses from HR practitioners and recruiters from organizations across multiple industries. It found that organizations are considering switching as a result of enhanced capabilities their current provider may lack.

 

Most contracts with acquisition providers last three to five years, a point that will be reached within the next year or two, explained Sarah White, principal analyst of talent acquisition at Bersin & Associates, a research and consulting firm. Over that time, organizations will have had the opportunity to understand and restructure their recruiting process.

 

It's not that companies are falling behind on what is needed in terms of talent acquisition - they just may not be utilizing the right systems. "The same provider can be very good for one organization and not the right fit for another organization," White said.

 

"The process and the technology [companies] use are also going to need to evolve," she said. "They're no longer just buying a talent acquisition [system]. They're really buying and having that solution as the center hub and buying all of the different spokes around to make the process work most effectively."

 

In addition to talent acquisition systems or applicant tracking systems, some companies are bringing on supplemental solution providers, such as sourcing products, video interviewing products and onboarding technologies. Some of these services are being provided by nontraditional vendors or companies that were smaller players in the market two or three years ago, White said.

 

These technologies, along with mobile capabilities, social media and sourcing analytics, are being sought after by companies, and talent acquisition providers may have to jump onboard if they haven't already.

 

At a time when customer satisfaction is statistically low, talent acquisition vendors need to do more.

 

"Overall, the corporate clients are very unhappy with their solutions," White said. "They're not getting the support they need. They're not getting the advancements they need. [The solutions are] just not working quite as well as they used to for [clients] and for their needs."

 

Charles Jones, chairman and CEO of talent management company Peopleclick Authoria, notes that integrating new technologies has benefitted his company.

 

"For us, this is really an opportunity - we have the largest segment of our total businesses in recruiting," Jones said, adding that this is an opportunity for the company to offer other functions to its clients. "We see it [as] much less of a threat given our suite capability and much more of an opportunity."

 

Currently, Peopleclick Authoria scored its highest retention rate for clients and it has also experienced the highest renewal rate with clients in the first quarter. Clients have renewed their contracts from anywhere between two and three years, Jones explained.

 

Similarly, Kenexa is focusing on having a total talent acquisition and talent management suite.

 

Keeping up with the latest technology, such as mobile technology, is advantageous for the company, explained Dyke Debrie, director of implementation services at Kenexa, a provider of business solutions for human resources.

 

"Organizations are now looking for partners that can help them with business growth - understanding their talent, understanding their data - and have a full suite to carry them through that," Debrie said.

 

 

[About the Author: Natalie Morera is an associate editor for Talent Management magazine.]