New research provided by a leading global provider of cloud-based talent management solutions shows if you are doing your business right your costs for hiring new employees plunges.  This is good news for the CFO’s on your team as well as HR.

SR-Soure-of-Hire-2014

Research from SilkRoad, reveals that employee referrals generated the most hires overall.  The results came from mining the company’s vast employee recruiting database to reveal the most successful sources for generating candidate interviews and hires. While online sources, led by Indeed.com, provide increasingly high volumes of applications, employee referrals continue to result in the highest source of hire.

“Too many organizations are casting a wide net, placing expensive job ads, and hoping they’ll attract the best talent”

Click here to download the complete report. MostEffectiveRecruitingSources 2014 Abstract

“Too many organizations are casting a wide net, placing expensive job ads, and hoping they’ll attract the best talent,” said John Shackleton, President and Chief Executive Officer, SilkRoad. “With sound data, HR teams can focus their valuable recruitment resources toward the best sources of hire.”

Findings & Trends

  • Internal sources deliver the most hires: Employee referrals continue to produce the most hires overall (59 percent), up from 58 percent in 2012.
  • Internal and External sources evenly split (50-50) as sources of interviews: In 2013, External sources accounted for 50 percent of interviews, 6 percent less than in 2012.
  • Online sources are crucial: Online sources (both internal and external) generated the highest number of applicant’s year over year, the source of 58% of all interviews. The top online sources are Indeed.com and company websites.
  • Job site performance: Indeed.com (39 percent) was the top job board, producing 26 percent more applicants than the runner-up, CareerBuilder (13 percent), as well as 32 percent of hires (14 percent higher than the next two runners up combined).

The report findings are based on data within SilkRoad Life Suite’s OpenHire® applicant tracking system (ATS) and represents 1,140 companies. The participating companies ranged in size from as few as 100 employees to mid-market and large employers. For all of 2014, the data included almost 10 million applicants, over 150,000 interviews, and in excess of 150,000 hires. Examples of external sources include specific job search engines, branded and unspecified job boards, print advertising, TV/Radio advertising, job fairs, campus recruiting and agencies. Examples of internal sources include recruiter sourced (employer sourcing), company career sites (employer websites), employee referrals, current employees and inside hires.

So what your employees say about you is very very important!