High Volume Light Industrial Hiring: How to Increase Applicant Flow and Reduce Fallout
December 13, 2017

With today's low unemployment rates, businesses often struggle to attract and hire talent regardless of position. Many companies are finding that for high-volume, hourly hiring in particular, where technology driven applicant flow models once provided sufficient talent, they can no longer meet their hiring needs. Companies are challenged with attracting more candidates to apply and reducing the fallout of candidates once they enter the application process.

In capacity constrained markets, reducing candidate fallout is often the only feasible approach to meeting hiring goals without compromising quality of hire or resorting to much more costly recruiting strategies such as increased wage rates or relocation programs. With over 50% of our headcount focused on hourly hiring, PSG Global Solutions works with our clients in capacity constrained markets to attract additional applicants and reduce fallout.

Increasing Hires Using the Existing Talent Pool

Fallouts are not a deficiency of the workforce itself, but simply a byproduct of the "War for Talent". While qualified talent is available in many metropolitan labor pools, these candidates often have multiple offers from competing employers, resulting in increased fallout as the candidate progresses through each prospective employer's recruiting processes.

Some large organizations react to the problem by attempting the difficult feat of adding more candidates to the top of the funnel. A more effective approach is to increase the efficiency of the funnel while building and nurturing relationships with each applicant to reduce fallout as they progress through the recruiting funnel.

Strategically investing in activities designed to keep candidates interested and ultimately get them hired faster can drive down a company's overall cost per hire and prove more effective than simply expanding candidate sourcing at the top of the funnel.

One of our Fortune 50 clients was having difficulty nurturing industrial workers through the hiring lifecycle to fill close to 5,000 open positions for an anticipated production surge. The client contemplated investing more money into their baseline process flow to add more candidates to the funnel, but the projected costs were far beyond their desired budgets. Working with PSG Global Solutions to reduce candidate fallout, they were able to fill their open positions at well below anticipated costs.

Before using PSG's support, bringing 5,000 candidates through the hiring lifecycle would have cost close to $1M. Once we worked with the client to design a new process for managing candidates through the application and placement process, our team of offshore recruiters was able to implement recruitment funnel strategies that onboarded the necessary additional hires at a cost per incremental hire 40% lower than their baseline cost per hire. Being more attentive to candidate engagement allowed us to meet hiring targets and save close to $350K in a capacity constrained market moving more candidates successfully through the funnel, meeting client hiring goals, and saving our client money.

Funnel management activities for this client included the following activities:

New Approaches to Increase Applicant Pool

Keeping your recruitment funnel supplied with hourly professionals is becoming more challenging. Marketing campaigns, job postings, and hiring events that once guided a regular supply of hourly workers into large and well-respected companies now fail to yield the required volume of applicants. Many of the sourcing techniques that were once exclusive to the realm of professional staffing are now needed to fill industrial recruiting pipelines. These strategies include both active and passive sourcing on job boards as well as multi-channel candidate engagement to generate interest and drive increased applicant flow.

If done onshore, these sourcing techniques can significantly increase the cost per hire for applicants added to the funnel with active and passive sourcing techniques. By leveraging offshore resources and multi-channel candidate engagement techniques, companies can drive down the cost per hire by over 50% compared to onshore resources using more traditional sourcing and screening techniques.

Some approaches PSG has developed working with our clients include the following:

By implementing funnel management activities and new strategies in candidate attraction, companies can meet hiring needs in a low unemployment environment while realizing a better ROI for their investments.

Want to increase the effectiveness of your applicant driven recruiting process while lowering your cost per hire?

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