Your organization will not likely be ready to embrace the change required to move the needle

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There are many articles, blog posts and opinions about the impact our recruiting approaches, strategies, tactics, candidate care, their experience and speed of recruiting has on our employment brands. Taking these notions a step further, our employment brand has a direct impact on our ability to hire top talent and maximize retention. Yet, somehow, few organizations have truly embraced these readily available ideas because there is a lack of demonstrable ROI.

Until there’s a direct financial impact that’s identifiable by the C-Suite,
Considerable research exists on the financial impact different corporate functions have on an organization. A recent study by Boston Consulting Group (BCG) discovered that top companies “Delivering on Recruiting” had 3.5 times the revenue growth and 2.0 times the profit margin of bottom companies that were not.


To put that into perspective, let’s say a mid-sized firm with a mediocre recruiting macedonia phone number resource function has $500M in revenue and a $50M in profit. Instead of growing at 5% annually, that firm could grow at 17.5% annually and catapult the profit to $100M. Can you imagine revenue growing from $25M to $87.5M Year over Year due to your ability to effectively recruit?

Yes, I’m oversimplifying however if half of the improvement is realistic, doesn’t some investment in your recruitment and retention strategies make sense? Isn’t this the kind of ROI that will raise awareness and buy-in at your leadership’s table?

Identifying and quantifying Return on Investment (ROI) into your recruitment probably seems overwhelming, and frankly akin the age-old question; “How do you eat an elephant?” Let’s look at a couple bite-sized areas that we can use to illustrate the impact recruitment effectiveness can have on your company’s results.

Time to Productivity
For most of us who have been around recruiting for a while, the link between speed of hire and impact on the business is likely obvious. Whether the position is revenue generating or not, filling a position quickly means that the work that needs to be done is getting done sooner. If we include a quality component to the mix and focus on “time to productivity” instead of raw speed of hire, the financial impact becomes tangible. Let’s look at examples of time to productivity impact: