How Technology in Recruitment Has Shaped The Hiring Process

Technology is a vital part of the recruitment sector. Recently, the conception of platforms like Monster, LinkedIn and Freelancer have revolutionised how recruiters find and interview staff on behalf of their clients. However, the use of technology in recruitment is nothing new. Recruiters have been using technology long before social media was invented to source and hire talent. In this article we recount the history of technology in recruitment and discuss its impacts on the hiring process.

Whereas nowadays finding a job or sourcing talent is as easy as being referred by a contact or using online advertisements, it wasn’t always this easy.
Recruitment technology can be classified into three ‘waves’ of disruption.
1. The first wave, from 1999-2004 was classified by the emergence of online job boards, applicant tracking systems (ATS 1.0) and agency recruiters.
2. The second wave, from 2005-2011 was hallmarked by job aggregators like Seek and Indeed, internal sourcing via professional networks and ATS 2.0 (Sales as a solution (SaaS) systems).
3. Finally, the third wave, from 2012-2016 saw independent recruiters gaining access to resources that allowed them to work by themselves within online channels.

Over time, the overall recruitment process has remained much the same. It involves finding candidates, tracking progress and doing the process. The three ‘waves’ of technological development can be further segmented into the three different phases of recruitment.
1. Finding Candidates
Historically, finding candidates was done by taking out an advertisement in the local paper. Then, the increasingly widespread proliferation of the internet saw online job boards come into existence. Sites like Monster, CareerBuilder and Craiglist totally disrupted traditional recruitment models. In the second wave of disruptive technology came job aggregators. Sites like Seek and Indeed built upon expensive online job boards to incorporate pay-per-click advertising models. LinkedIn was totally revolutionary and allowed anyone to search for candidates in any field for free! These platforms quickly took over the market and are used to a large extent today.
2. Tracking Progress
Tracking progress throughout all three waves has been done via ATS systems. Resume storage, interview progress and notes from the interviewer and client have been recorded digitally using these systems. ATS systems emerged as a software category in the early ‘90’s, when Taleo was invented. ATS systems were first installed on client servers, but moved to web-based technology in the second wave. During wave three, ATS systems became user-friendly, mobile-first and brutally competitive due to market saturation.
3. Doing The Process
The first wave of recruitment technology saw the conception of agency recruiters. Proprietary databases meant recruitment companies could charge a premium for their services. However, with the advent of job aggregators in wave two, clients were able to recruit far more affordably by hiring internal recruitment teams. Corporate recruiting teams were created and used job aggregators to source potential candidates. However, during the second phase outsourcing recruitment remainder popular because pay-per-click advertisements were more affordable than paying an internal team’s salary. Finally, the third wave of recruitment has seen innovation explode within the tech sector and allow independent recruiters to enjoy success with little overhead. Independent recruiters now have more options to work for themselves, can use new tools and platforms to source and interview candidates and may charge a variety of fees. This has reduced costs for clients and has increased flexibility within the hiring process.

Today, the recruitment sector uses technology more than ever to source candidates. Professional networks and referrals are a popular way to source clients, yet online job advertisements have never been more affordable and keeping track of candidates’ progress has never been simpler. AI algorithms match the skills talent have with those required by a job and remote technology like Zoom allows people to interview from home. The evolution of technology in recruitment has certainly been revolutionary and it is now easier than ever to find employment using companies like Advanced Group Services.

If you are looking to hire talent in the labour sector in Sydney this Winter, contact Advanced Group Services to talk to one of our professional labour hire experts about what we have on offer. We will be able to assist in finding the best match for your project. We hire specialised trades workers across the entire construction industry. Call us during business hours on +61 1300 299 818 or reach out via our contact page to have a chat about what we can do to find the right candidate for your next project.