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Key Considerations for Selecting the Best Staffing Agency Software in 2022

Almost half (40%) of fast growth staffing agencies strongly believe recruiting automation will transform the industry.  In the same way that Tinder and the world of modern dating apps once irreversibly transformed our approach to dating, the unprecedented workforce shifts of 2020-21 are forcing a dramatic evolution of approaches to recruiting. Let’s explore this metaphor further.  The past decade has seen 21st century daters transition from a reliance on face to face chemistry to AI powered tech. Similarly, post pandemic recruiting successes will see a departure from leveraging personal networks and manual practices to a deeper reliance on digital recruiting systems that capitalize on contingent and flexible workforce trends. Future facing software for staffing agencies will need to better enable virtual hiring, the search for qualified candidates, candidate engagement, automation and last but not least, DEI (Diversity, Equity and Inclusion).

But… isn’t the big quit or ‘great resignation’ ultimately going to make recruiting easier for staffing agencies? Yes, although there is a caveat.  Staffing agencies that are successful in this markedly changed world will possess the right engine to power their results. How will you know if you have that engine? Successful software selection.

This guide will cover the following 6 key considerations for selecting the software that will set your staffing agency up for post pandemic contingent hiring success:

  1. Will the software streamline your recruiting practices?
  2. In what ways does the software better support virtual recruiting?
  3. How does it enable hiring of best fit candidates?
  4. How can LiveHire help deliver a leading candidate experience? 
  5. Does it enable scalability without compromising on candidate experience?
  6. Can it strengthen DE&I hiring?   

Staffing Agency Software Snapshot

But first, let’s take a moment to examine the context of staffing agency software for contingent hiring. Why? A quick snapshot of the industry will help you gain clarity on where it’s headed and where the opportunities exist for your organization.

Currently valued at US$130 billion this rapidly expanding market is quickly evolving. Innovators in the space are developing leading edge managed direct sourcing platforms, such as LiveHire, designed to fastback and optimize contingent hires. Regardless of the route taken, staffing software has become an indispensable tool for most staffing agencies. Staffing software manages the entire recruitment process from end to end and includes candidate relationship management, data capture and automation. However, many traditional Applicant Tracking System and CRM solutions are not built with a flexible enough architecture to support the agility staffing companies will require moving forward. The new frontier of staffing agency software is designed with the flexibility to drive growth and profitability in the post pandemic recruiting climate.

Let’s break down the 6 key factors to look for in your next staffing software purchase.

1.  Will the software streamline your recruiting practices?

An effective staffing agency software should simplify your recruiting processes and boost efficiency to enable you to deliver better outcomes for clients and accelerated business growth.

The time to fill a contingent job varies in accordance with the role but most roles should be filled within days, rather than weeks, as compared to a lengthier average time to fill permanent roles of  45-50 days.  Thus, a system that enables hiring speed is paramount for attracting top contingent talent in today’s competitive contingent workforce climate.

Using LiveHire’s talent acquisition software, Raise Recruiting teamed up with Canada’s Ontario Ministry of Health to help them achieve their escalating employee hiring targets during the height of the pandemic.  Using Livehire’s software to manage their talent pooling and centralize workflow, they hired and on-boarded over 300 staff within the first few weeks, reducing their median time-to-submit to just 3 days.

Key features to look for:

  • Can the software be integrated with your website and all other existing platforms, including social media?
  • Is it mobile-optimized?
  • Is it designed to create live talent pools to build a pipeline of candidates before a hiring need arises?
  • In what ways will it deliver a tailored blueprint to accelerate your workflow and drive team efficiencies ?
  • Does it enable responding to requisitions instantly? For example, LiveHire’s mobile-enabled user experience and personalized job invitations are proven to create rapid candidate engagement.
  • Is it AI-powered to  maximize talent matching potential?
  • Does the system allow you to touch base with candidates via any form of communication to boost your chance of connecting with top tier candidates?

2. In what ways does the software better support virtual recruiting for staffing agencies?

A key global trend to emerge from 2020-21 is an acceleration of virtual recruiting, with 7 out of 10 organizations continuing to conduct virtual interviews in 2021 in line with increasing hybrid and contingent workforce hires. The US is leading the way in terms of integrating virtual recruiting into everyday recruiting practices – however, many recruiters and candidates alike are struggling with finding ways to assess culture and value alignment virtually. Thus, professional staffing firms can set themselves apart by reliably identifying candidates who can work independently without constant supervision, are tech savvy, and consistently deliver high quality outputs on demand.

Key features to look for:

  • Date driven candidate profiles that can identify the best candidates suited to remote work. For example, LiveHire’s AI powered SAAS solution features candidate profiles that contain deep data on specialties, experience, and preferences for job matching enabling identification of suitability for remote work.
  • AI-powered matching that mines your chosen web platforms for prospective applicants with suitable skills and experience for each role. LiveHire’s AI-powered candidate matching finds the right skills and experience for each role, making it easier to screen candidates.
  • Global hiring capability aligned with key principles for global privacy standards

3. How does it enable your hiring process to select the best fit candidates?  

Chart of difficulty businesses experience in finding qualified workers

According to Glassdoor, 76% of organizations in 2021 list attracting well-qualified candidates as their biggest hiring challenge. The term ‘fit’ refers to the process of finding the right candidate for the right job within the right time frame. Spurred on by the pandemic, the challenge of ‘fit’ is further driving the need for digital recruitment and systems with faster, more efficient processes which can identify ideal candidates for a given role.

Raise Recruiting recently partnered with LiveHire to deliver direct sourcing solutions designed to drive better hiring outcomes.

“We partnered with LiveHire to proactively build talent pools of pre-qualified candidates for our clients. When a job requisition arises, the unique 2-way SMS functionality allows us to rapidly engage with candidates who are interested in contract work and fill roles quickly.” Edwin Jansen, Head of Corporate Development, Raise Recruiting.

Key features to look for:

  • Talent pool growth and ongoing management. Here at LiveHire, our clients and partners create and manage live talent pools to build a pipeline of candidates before a hiring need arises, thus significantly fast-tracking hiring processes.
  • Talent Cloud targeted searching. LiveHire software enables quick Talent Cloud filtering and segmentation for accurate pre-qualification of suitable candidates.

4. How can LiveHire help deliver a leading candidate experience?

60% of candidates that drop out of the recruiting process do so due to an overly complex and time-consuming application process.  Research indicates 84% of applicants now expect an initial response early in the recruitment process even if it’s in the form of an automated email. Further, companies who boosted their candidate experience by automating stages of their recruiting process, achieved a 15% higher conversion rate on their career sites accompanied with a 23% decrease in cost per hire. If you’re not yet convinced of the business case for implementing a leading edge staffing software, let those figures settle in for a moment.

Software that yields a strong Net Promoter Score (NPS) is paramount. For instance, LiveHire’s platform delivers a 96% positive candidate satisfaction rating. As such, our clients have achieved the highest candidate NPS globally.

Average Net Promoter Scores for Staffing Agencies in 2021 – State of Staffing Industry Report

Average Net Promoter Score of businesses in 2021

How is a high NPS achievable? Modern staffing software is designed with the candidate at the center on the basis that candidates should be treated in much the same way as 21st century customers. So what does swapping out your old systems for a modern consumer-grade tech look like? See our shortlist of features to look out for.

Key features to look for:

  • Delivers a frictionless and seamless communication experience. For example, LiveHire features a 2 way text messaging system which has resulted in a 17 minute median candidate acceptance time through SMS to submittal invites.
  • Produces targeted job invitations and personalized, mobile communication.
  • Enables easy-to-use electronic contract management.

5. Does it enable scalability without compromising on candidate experience?   

According to SIA, 69.6% of agencies were expected to grow by 11% or more in 2021. During the ‘war for talent’ era, growth is achievable with the right technology. Software that leverages scale to drive greater productivity and top-line revenue is a must. However, as discussed, candidate experience must be kept at the forefront for results that are sustainable.

Global staffing firm, ASK Consulting were looking for an innovative direct sourcing platform to provide a seamless and aligned experience for clients and candidates alike. “LiveHire is by far the most innovative technology leader in the market offering an effective and reliable Direct Sourcing tool. Their customer service is unmatched. The UX/UI is so clean, neat and intuitive, and allowed our recruiters to get ramped up in no time. The partnership has been seamless, and our experience with them has shown how truly passionate they are about their software.” -ASK Consulting

Key features to look for:

  • Recruitment automation
  • Reporting and analytics to enable continuous improvements
  • Open APIs for seamless technology integrations
  • Mechanisms to collect candidate feedback

6. Can it strengthen DE&I hiring?

In 2021, 45% of candidates expect to be told about a company’s diversity and inclusion status. Moreover, for the vast majority of employees, diversity and inclusion are key factors influencing whether to take a job offer. However,  40% of companies do not have a formalised diversity, equity and inclusion (DE&I) strategy in place. The bottom line is DE&I is of growing importance to both candidates and employers. Modern staffing agency solutions can enable organizations to strengthen their overall hiring, attracting consistently top tier talent, via diverse and equitable hiring. In fact, LiveHire clients consistently achieve 15% better diversity hiring outcomes than industry peers.

Key features to look for:

  • Ability to attract and engage a more diverse workforce via authentic candidate relationships.
  • Customisable notifications to tailor the recruitment experience and remind interviewers about the importance of adhering to DE&I policies.

Final thoughts…

The time to act is now. Research indicates the majority of staffing agencies believe the biggest areas of opportunity for driving growth right now are automation and technology. In fact, there has never been a more critical time in recruiting history to respond quickly to changing market conditions and new developments. By adopting a leading staffing agency software built to respond to these emerging contingent workforce trends you will be ready to deliver sustainable growth into the future.  For more info on LiveHire….

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