The plan focuses on measuring key metrics crucial for talent acquisition success. "Time to hire" is a vital metric that ensures hiring efficiency, with a benchmark of 30-45 days, suggesting improvements like better job descriptions and the use of recruiting software. "Quality of hire" assesses the value added by new hires and aims for 80-90% satisfaction, emphasizing structured onboarding and continuous training.
"Offer acceptance rate" measures how appealing job offers are to candidates, targeting 80-90% acceptance. It suggests improvements in compensation packages and clear communication of company culture. "Cost per hire" aims to keep recruitment costs between $3,000 and $5,000, recommending the use of employee referrals and social media for hiring. Lastly, "employee retention rate" focuses on retaining new hires for at least one year, with benchmarks at 85-90%, underscoring robust onboarding programmes and career growth opportunities.
Top 5 metrics for Talent acquisition success
1. Time to hire
The average number of days taken to fill a job vacancy from when the job opening is posted to when the candidate accepts the offer
What good looks like for this metric: 30-45 days
How to improve this metric:- Streamline the interview process
- Use recruiting software to track applications
- Build a talent pipeline before positions open
- Improve job descriptions to attract qualified candidates
- Train hiring managers on effective interview techniques
2. Quality of hire
Measures the value a new hire adds to the company, often assessed by their performance ratings, retention rates, and manager satisfaction
What good looks like for this metric: 80-90% satisfaction rate
How to improve this metric:- Align hiring criteria with job performance
- Implement structured onboarding programs
- Collect feedback from multiple stakeholders
- Conduct regular performance reviews
- Provide continuous training and support
3. Offer acceptance rate
The percentage of job offers that are accepted by candidates out of the total number of offers extended
What good looks like for this metric: 80-90%
How to improve this metric:- Ensure competitive compensation packages
- Improve candidate experience during the interview process
- Communicate company culture clearly
- Address candidate concerns promptly
- Personalise offer communications
4. Cost per hire
The total amount of money spent to hire a new employee, including advertising, recruitment agency fees, referral bonuses, and internal hiring costs
What good looks like for this metric: $3,000 - $5,000 per hire
How to improve this metric:- Use cost-effective recruiting channels
- Encourage employee referrals
- Leverage social media for recruiting
- Automate repetitive hiring tasks
- Negotiate with recruitment agencies for better rates
5. Employee retention rate
The percentage of new hires who remain with the company for a certain period, typically one year
What good looks like for this metric: 85-90%
How to improve this metric:- Implement robust onboarding programmes
- Foster a positive work environment
- Offer competitive benefits and salaries
- Provide opportunities for career growth
- Conduct exit interviews to identify reasons for turnover
How to track Talent acquisition success metrics
It's one thing to have a plan, it's another to stick to it. We hope that the examples above will help you get started with your own strategy, but we also know that it's easy to get lost in the day-to-day effort.
That's why we built Tability: to help you track your progress, keep your team aligned, and make sure you're always moving in the right direction.
Give it a try and see how it can help you bring accountability to your metrics.
