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Whether you’re looking to get started with recruiting software for the first time or are switching to a new solution, here are our top tips for choosing a recruiting software that’s best for you:
- Set and stick to your budget, preferably finding a solution that can scale with you as your workforce and its needs grow.
- Determine your “must-have” features vs. “nice-to-have” features.
- Test the software for overall functionality and user-friendliness before you commit to a purchase.
- Consider software that can be customized to accommodate your organization’s specific needs, for example, in reporting, job requisitioning and white-labeled career pages.
- Choose recruiting software that integrates easily with other software and apps you use.
- Verify that the software assures an unbiased recruiting process and promotes diversity and inclusion through features like anonymous screening and interview scorecards.
Top Recruiting Software Features
The features you’ll need in your recruiting software will depend on your specific needs. Companies with modest hiring programs typically only require basic features, such as job posting and candidate tracking. Enterprise-level organizations and recruiting agencies with more sophisticated recruitment needs require a wider variety of features—like automated sourcing and candidate matching—to handle the recruitment process from job requisition through onboarding.
Here are popular features you can expect to see in the best recruiting software:
- Job requisition management. In most organizations, you can only conduct a candidate search once the position is approved. That’s why it’s helpful if your recruiting software provides job requisition management, preferably as a customizable option, so you can adjust the software to align with your organization’s exact requisition process.
- Job posting. Most recruiting software solutions let you choose where and how your jobs are posted online. Many, such as ZipRecruiter, allow you to post jobs on more than 100 job boards with just one click.
- Automated sourcing. Recruiting software with this feature can help you locate qualified candidates using intelligent sourcing algorithms, employee referral programs and social media sourcing, especially LinkedIn.
- Automated candidate matching. This feature pairs your requirements with the most qualified applicants often through automated resume parsing. This saves the recruiting team the time and effort of sifting through applications to find qualified candidates.
- Individual candidate tracking. Every interaction with each candidate needs to be timely, consistent and stored for easy access and viewing. Keeping thorough records on your recruiting and hiring efforts not only promotes a favorable candidate experience but also keeps your company compliant with employment law.
- Pre-employment testing. Some organizations require applicants to complete assessments or perform other pre-employment testing to further narrow down the applicant pool. This is helpful for companies that post jobs yielding a high number of applicants.
- Background screening. Applicant background screening is conducted through a native background check tool in a recruiting software solution or, more often, from a third-party provider. The findings should be securely stored, and many recruiting software options allow you to do this manually or by integrating with a third-party screening app.
- Reference check. Contact names, dates of contact and findings from reference checks should be documented, so it’s helpful to choose a software solution where you can facilitate electronic reference checks and store documentation.
- Electronic forms and signatures. If you plan to have candidates complete any form, such as nondisclosure agreements, noncompete agreements or job offer acceptance letters, it’s helpful if your software can handle this process electronically. This mitigates the frustration of back-and-forth communication and the chance that files get lost.
- Onboarding tools. Recruiting software that moves new hires into an onboarding process helps them get off to a strong start with your organization. Look for a solution with built-in, customizable onboarding features, such as welcome messaging, first-week goals, app and tech provisioning, benefits information and any pertinent training.
Software Integrations
The best recruiting software can be even more effective through third-party software integrations. For example, you may want your recruiting software to integrate with your current email, calendar, video meetings or project management tools. When selecting recruiting software, be sure to double-check whether it integrates seamlessly with the software you already use.
Recruiting Software Cost
Recruiting software costs range from $0 to $719 per month, though solutions that are incorporated into human resources management and human capital management platforms can easily cost thousands. The amount you’ll pay varies by the provider you choose, job posting volume, number of users and the length of time you want your jobs posted.
Most recruiting software providers offer month-to-month and annual pricing plans. You’ll typically save 10% or more by entering a yearly contract.
You don’t necessarily have to go with a monthly or yearly plan; a few other pricing models are available. For example, LinkedIn has a recruiting option based on a pay-per-click basis; you set a custom budget and only pay when someone clicks on your posts. SimplyHired charges on a pay-per-contact basis where you post unlimited jobs for free and only pay a fee when you want to contact an applicant.
Before investing in a recruiting solution, take advantage of free trials so you fully understand what each software brings to the table. You may find lower-priced software fits your needs just as well or even better than higher-priced options.
The best way to keep costs down for recruiting software is to understand your options in light of your recruiting needs. There’s no need to commit to a long-term contract for short-term recruiting needs. It’s also unwise to go with a short-term contract if your recruiting needs are ongoing or growing. Most importantly, choose a solution that’s in your budget and has the most or all of your “must-have” features.
Business Size Considerations
The differences in recruiting needs for small and large businesses are considerable. Small organizations who don’t have the staff for hiring or the budget for recruiting software turn to staffing agencies. Otherwise they use a simple software solution or recruit independently, using social media, for example.
As a company grows in locations and head count, it’ll need a scalable solution to help a business owner or a small hiring team handle the hiring influx. Automations and an applicant tracking system will become must-have features.
Larger organizations require far more robust recruiting software with features that help streamline the process of managing multiple job candidates for multiple positions. Large employers and large recruiting agencies will want to ensure the following features are included in the recruiting software they select:
- Résumé parsing. If you’re managing a large number of job applicants, you’ll want recruiting software that comes with résumé parsing. Parsing is an automated process that quickly identifies and extracts relevant information from résumés and cover letters, such as job-related keywords, experience levels, work history and other indicators that suggest an applicant might be a strong candidate for an open position.
- Candidate pool tracking. Recruiting software should track every candidate for each open role as well as their current status in the recruitment process. For example, it’s helpful when you can look at a dashboard and quickly see what stage each application is at in the hiring process.
- Document management. You need a central place where those involved in the recruiting process can view recruitment-related documents, such as job descriptions, applicant cover letters and résumés. Access to some of these documents, such as those with confidential personal details or salary information, may require user permission controls.
- Role and access management. Not all information in the recruiting process should be shared with all parties involved in the recruiting effort. Therefore, recruiting software that offers user access control on a feature-by-feature basis is preferred by many organizations.
- Interview scheduling and management. Scheduling and managing interviews can get complicated, especially when multiple interviewers need to meet with candidates on different dates. Also, group interviewing is becoming more popular, so integrated calendar coordination in a recruiting software solution is helpful for finding open time slots across multiple schedules.
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