Applicant Tracking Systems (ATS) Explained

Did you know that a whopping 99% of Fortune 500 companies are using an Applicant Tracking System (ATS) to filter candidate resumes? Sounds pretty impressive, doesn’t it? Yet, that's not all; even 70% of large businesses and 20% of SMBs are joining the bandwagon.

If such a large number of world-class companies are ditching their outdated hiring systems to track the right talent in a new way, don’t you think you must try that out yourself? Applicant Tracking System is a gem that streamlines the hiring process way better than the older methods and helps you locate and onboard top talent.

However, what exactly is ATS? Don’t worry, we have got you covered! Let’s have a closer look at this system and understand what a brilliant helping hand it is for your hiring teams. Ready to know more?  

Read on!
 

What Are Applicant Tracking Systems?

 
Applicant Tracking System (ATS) is a fancy term for software applications that companies use to structure and customize their hiring process. It's like having a super-powered recruiter working for you around the clock. With an ATS, recruiters and hiring managers can attract, source, evaluate and hire successfully.

ATS can help HR teams and recruiters forego the messed-up process of manually filtering applications and candidates do not have to fill in 3 forms asking for the same information. It's a win-win situation for everyone involved!

Think of the ATS as the ultimate job matchmaker, too. It helps companies sift through a large volume of applications quickly, while also making sure that the most qualified candidates get noticed. With an ATS in place, companies can streamline their hiring process, save time and optimize resources used in onboarding. Even for an applicant, it is good news as your application has a better chance of being seen by the right people.

Yet, this change did not happen overnight – here's how it came about.
 

Where Did Applicant Tracking Systems (ATS) Come From?

Back in the 90s, tracking job applicants was an exercise in paper cuts and filing duties. HR departments were flooded with piles of paper applications, post-it notes and newspaper clippings of job openings. If you were lucky, you might have had a trusty cabinet for the files, a phone and a Rolodex to keep things organized.

However, something miraculous happened, as it always does with technology. The 1990s brought us the Applicant Tracking System (ATS). It revolutionized recruiting by automating the storage and processing of resumes. #NoMorePaperCuts

As online job boards exploded in popularity, print media struggled to keep up. Recruiting advertising moved online, creating a global platform for job ads and candidate applications. This forced recruiters to adopt e-recruitment systems to help automate candidate processing. Here comes the superhero entry: ATS. It became the go-to for screening out irrelevant candidates with branched screening questions. By 2005, using an Applicant Tracking System was the #newnormal

Nonetheless, let's be real, the early ATS experience was clunky and frustrating for everyone involved. Applicants were forced through a bureaucratic online process that left much to be desired in terms of candidate experience. It was like trying to navigate a maze blindfolded!

Fortunately, ATS vendors have made great strides in recent years to improve the candidate experience and streamline the hiring process. So, while the early days of ATS were pretty bumpy, we can all appreciate the convenience and efficiency it brings to the hiring process today. Also, don’t forget that it’s still becoming a better version of itself every day!

Now, let’s track down the working of an ATS, shall we?
 

How Do Applicant Tracking Systems (ATS) Work?

   
Applicant Tracking System is one of those nifty software applications that help streamline the hiring process for companies, making it easier to find the best candidate for the job. However, how do they work? Let's dive in and find out!
 

• Mention The Job Details

  First, the hiring company creates a job listing with all the qualifications and skills needed for the position. The human resource team enters all the details about the job in the ATS; think of it as a dating profile but for a job!

• Create The Profile

  Next, the Applicant Tracking System uses its algorithmic magic to create an ideal candidate profile based on the job listing. It's like swiping through potential matches on a dating app but for recruiters!

• Time To Sort

  As job seekers submit their resumes, the ATS analyzes and sorts them based on how well they match the ideal candidate profile. It's like the ATS is playing Cupid and trying to find the perfect match!

• Selecting The Best Match

  Finally, the Applicant Tracking System presents a list of top candidates who are the best match for the job. The ATS handpicks the cream of the crop for recruiters. Based on the candidate hired, the software becomes even more efficient and effective in its operation.

Now do you see why ATS has become so critical. If you’re still an old-school HR person, the next section will convince you!
 

Why Do We Need Applicant Tracking Systems (ATS)?

To answer this question, here’s one for you - are you tired of sifting through stacks of resumes and cover letters, trying to find that needle in a haystack of job applicants?

Enter Applicant Tracking Systems (ATS)! This technological wonder makes the hiring process faster, easier and more efficient for everyone involved.

Wait, that’s not all! With ATS, recruiters can now spend less time on the mind-numbing task of organizing paperwork and more time on the fun stuff like interviewing candidates to find their preferences and curating the perfect fit for the job. Plus, candidates can have a better experience during the hiring process because of the automated and streamlined processes.

Gone are the days of using outdated HR technology that makes you want to scream into a pillow. Modern recruitment software, like ATS, has revolutionized the SaaS market and become a game-changer for companies looking to attract and retain top talent. Thanks to cloud computing, AI and other powerful processing technologies, the recruitment process has become more advanced than ever before.

If you’re wondering how these technologies come together to create the perfect recruiting tool, read on!
 

What Are The Features Of Applicant Tracking Systems (ATS)?

   
Here are some fun ways an Applicant Tracking System (ATS) helps businesses in the application process:
 

• Analyzing Resumes

  It's like a #digitalmagician that extracts all the important details from resumes, such as contact information, experience, qualifications, skills, etc., without any hocus pocus!

• Filters The Applications

  With this super-tool, you can filter through applications faster than a speeding bullet. Search by preferred skills, related keywords, job descriptions, work history, education and more to find the perfect candidate in a flash.

• Find The Best Candidate

  Think of this as your personal detective! You can actively search for, identify and reach out to potential candidates for open positions. Who needs Sherlock Holmes when you have an ATS?

• Works With CRM

  This feature allows recruiters to use ATS as a personal assistant who takes care of everything! ATS has built-in CRM (Customer Relationship Management Software) to cover all your needs in one platform. No more juggling multiple systems and tools - it's all in one place!

• Templatized Workflow

  Say goodbye to writer's block! Most ATS offer email templates to ensure that all your correspondence with candidates is consistent and professional. It's like having your own writer at your fingertips!

• Advanced Data Features

  Imagine having your own personal data scientist. With detailed reports on job seekers, hiring trends and other data, you can make informed decisions and take your hiring strategy to the next level using ATS.

• Software Integrations

  This feature of ATS helps connect with different types of software, such as email marketing software, accounting software and CRM systems. It's like a Swiss Army knife for your hiring process!

• Interview Scheduling

  This feature is like having a personal scheduling assistant to automate interviews. You won't have to waste time rescheduling, sending out reminders or coordinating multiple calendars!

• Collaborating In Real-time

  People from different teams within the organization can get involved in the sourcing, screening and decision-making regarding new hires through this feature. It's like a virtual brainstorming session where everyone's ideas can come to life!

Moving on, let’s have a look at how every HR would be relieved to have such tools in their office. Dig a little deeper and know what advantages it brings!
 

Why Are Applicant Tracking Systems Good For Your Business?

Applicant Tracking System is indeed like a magic tool that makes every HR’s life easier. It is not just about having the right talent for your company but making the entire process seamless. To understand it, let’s dive into the benefits of ATS:
 

• Saves Time & Effort

  An ATS streamlines your recruiting process, so you don't have to waste time and resources on the tedious stuff.

• Keeps Everything Organized

  Keep all your candidate information in one central location, making it easy to filter, view and generate reports for candidate feedback.

• Posts Job Listings Effortlessly

  An ATS allows you to cast a wide net by publishing job openings to multiple platforms simultaneously. So sit back, relax and watch the perfect candidates come rolling in.

• Reduces Paperwork

  An ATS digitizes paperwork and stores it all in one place, so you can say goodbye to stacks of forms and hello to streamlined processes. With e-signatures and e-verification, you can reduce paperwork stress and save time and money on administrative tasks.

• Stay Compliant

  An ATS automates various administrative tasks, so you can avoid fines and stay in compliance with laws and regulations. With a centralized dashboard, you can easily keep track of completed forms, training enrollment and policies like overtime. Plus, you can focus on more pressing tasks like strategy, training and engagement.

If that impressed you, wait till you hear about the future of ATS!
 

What Is The Future Of Applicant Tracking Systems (ATS)?

 
Are you curious about the future of Applicant Tracking Systems (ATS)? Well, the ATS market is booming, with more than 90% of Fortune 500 companies hopping on the bandwagon. It was valued at a whopping USD 2.3 billion in 2021 and is projected to reach approximately USD 3.2 billion in the next five years. That's a lot of money, folks!

So, what can we expect from the future of ATS? First up, ATS is shedding its old-school database image and evolving into a social network-like platform. Candidates will soon be able to upload their photos, flesh out their experiences and showcase their qualifications in much more detail. Plus, thanks to the rise of AI-based ATS, HR professionals will navigate the hiring process with greater ease, from scheduling live interviews to giving better job recommendations.

With these exciting advancements, modern-day HR managers will easily source top talent, fill vacant positions faster and significantly reduce bias in the hiring process. The future of ATS is looking pretty bright, wouldn't you say?
 

To Sum It Up

An Applicant Tracking System helps recruiters and hiring managers to identify the best candidates quickly, just like the showrunners tracked Truman inside the dome. With the evolution of technology, ATS is becoming more user-friendly, resembling social networks and using AI to remove bias and optimize the recruitment process. Who knew job hunting could be so exciting?