sourcing

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Sourcing - Value & Impact

What questions will we answer?

What is the role of a Sourcer?

What does good look like?

What are the metrics that matter?

Perspective

Talent Acquisition’s Top 3 Pain Points

Consistent Delivery

Recruiters

Technology

Recruiters

Technology

Channels

Recruiters

Technology

Channels

Sourcers

Increased # hires from SourcingDecreased Time to FillIncreased Candidate SatisfactionMarket Mapping & Intelligence,Lower candidate attraction cost

Recruiters

Technology

Channels

Sourcers

Perception

Perception

Hiring Manager Wants resources, and thinks candidates are lined up outside waiting for jobs

Recruiter Wants the visibility and control

Sourcer Wants acknowledgement and equality

Candidate Wants a job (& a good experience)

Perceptions of Sourcing

Sourcers don’t consult with business leaders to bring market insights, supply & demand data, competitor EVP, pay parody and assumptions versus marketplace reality

Sourcing is perceived by stakeholders as largely, if not completely, tactical

Sourcing is often invisible…

What is the role of a Sourcer?

Sourcing Defined

What do We Mean by Sourcing?

External candidate focus Passive candidate identification Talent Pooling (build & manage) Specialist knowledge of industry and associated skills, nomenclature

and competition Possess tools and capability to locate & engage talent Sells the client brand & engages with candidates Builds and executes a Sourcing strategy Understand and contextualizes requisition and candidate’s job

qualifications Candidate Management – expectation management Brand champion – brand custodian

Sourcing is Not

Int Sched/ Admin Not Dealing with Internal

Candidates Not Respones mgt (job

posting or career site responses)

No competency-based Interviews

Not Managing Agency Candidates

Responding to email queries

Preparing reports & analysis

Posting & Praying “Faceless” Doing a recruiters admin An optional resource

What does good look like?

Recruitment Journey (Process) by Key Tasks, Including Sourcing

0 2 4 6 8 10 12 14 16 18 20

Requi

sitio

n Brie

fing

with

Hiri

ng M

anag

er

Posts

/Adv

ertis

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ole

or M

aint

ains

Pos

tings

Searc

h ATS

for C

andi

date

s

Exter

nal S

earc

h fo

r Can

dida

tes

Scree

ns fo

r min

imum

qua

lific

atio

ns

Build

s an

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aint

ains

CRM

Build

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aint

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tale

nt p

ools

Rejec

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on’t

qual

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ules

dee

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Condu

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deep

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one

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Rejec

ts a

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Sends

can

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iring

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evie

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Sched

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iew

Exten

ds o

ffer t

o ca

ndid

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Keeps

ATS

up

to d

ate

Who Should do What?

Other

Research

Recruiter

Both

Sourcer

No One0 2 4 6 8 10 12 14 16 18 20

Sourcing Selection

Task ownership by resource – Specialist process

Sourcing SelectionWhat Good Looks Like

Company 1

Company 2

Company 3

Company 4

Company 5

Company 6

Company 7

Company 8

Company 9

Company 10

Company 11

Company 12

Company 13

Company 14

Company 15

Company 16

Company 17

Company 18

Company 19

Company 20

Map and compare Volume, Specialist & Internal processes

What are the metrics that matter?

Number of Requisitions Number of PositionsNumber of Key PositionsNumber of New RequisitionsNumber of Replacement RequisitionsNumber of Open RequisitionsNumber of Open Aged Requisitions (0-30 days)Number of Open Aged Requisitions (30-60 days)Number of Open Aged Requisitions (60-90 days)Number of Open Aged Requisitions (90-120 days)Number of Open Aged Requisitions (120+ days)Number of Open Aged Requisitions (0-30 days) (%)Number of Open Aged Requisitions (30-60 days) (%)Number of Open Aged Requisitions (60-90 days) (%)Number of Open Aged Requisitions (90-120 days) (%)Number of Open Aged Requisitions (120+ days) (%)Number of "On-hold" RequisitionsNumber of Cancelled RequisitionsNumber of Pending RequisitionsNumber of Filled RequisitionsNumber of Remaining Positions to FillRequisitions-To-Recruiter ratio (%)Number of RecruitersNumber of Offers ExtendedNumber of Offers AcceptedNumber of Offers Declined by CandidateDeclined Offers Reasons Mix (%)Number of Offers Cancelled by Hiring CompanyNumber of Offers "On-hold" by Hiring CompanyInterview-to-Offer ratio (%)Offers-to-Recruiter ratio (%)Offer Acceptance rate (%)Number of HiresNumber of "no-shows"Number of Pending HiresNumber of Pending Hires (<1 month)Number of Pending Hires (1-2 months)Number of Pending Hires (3+ months)Number of Starters (Contingent)Number of Finishers (Contingent)Number of Extensions (Contingent)Number of CandidatesNumber of Internal CandidatesNumber of External CandidatesNumber of Contract Extensions (Contingent)Number of Activities Number of Applications Number of Sourcing & screening activities Number of HM (Hiring Manager) review Number of First Interviews Number of Second Interviews Number of InterviewsNumber of Offers Requested Number of Offers Extended (** included in Offers **) Number of Offers Accepted (** included in Offers **) Number of Hires (** included in Hires **)Applications-to-Hiring Manager review ratio (%)HM review-to-First Interview ratio (%)First-to-Second Interview ratio (%)Second Interviews-to-Offers extended ratio (%)Offer Requests-to-Offer Extended ratio (%)CV's-to-First Interviews ratio (%)First Interviews-to-Verbal Offer Accepted ratio (%)Candidates per Hire ratio (%)Interviews per Hire ratio (%)Hires-to-Recruiter ratio (%)Source Mix of Candidates (%)Source Mix of Internal Candidates (%)Source Mix of External Candidates (%)Source Mix of Agency Candidates (%)Source Mix of Hires(%)Number of ReferralsNumber of Sourced CandidatesReferral Conversion Rate (%)Referral Rate (%)Volume Source MixDirect Mix (%)Sourcing Channel CostSourcing Channel Cost Mix (%)Sourcing Channel UsageSourcing Channel-to-Hire ratio (%) Sourced Candidate Acceptance ratio (%)Sourcing Pipeline Average Agency Costs/FeesAMS Costs/FeesRequisition CostCost-per-CandidateAverage Cost-per-HireCost on "empty seat"Total Hiring CostsCost per Candidate per Recruitment StepRecruitment Expense BreakdownAverage Hire Starting SalaryContractor Salary (Contingent)Contractor Daily Rate (Contingent)Fees billed against cancelled requisitionsApplication Cycle TimeRequisition Cycle timeTime-To-SourceTime-to-ShortlistTime-to-ApproveTime-to-HireTime-to-OfferTime-to-StartTime-to-FillTime-to-First CSW ActionTime-to-accept (in working days)Time-to-accept (in calendar days)Time-to-Last Position AcceptedContracted Time to StartTime-to-Offer ApprovedTime-Interview-to-OfferTime-Offer-to-AcceptTime-Offer-to-ApproveTime-Offer-to-StartTime-to-First-CVTime-to-First-InterviewTime-to-First-Verbal-AcceptedTime-to-First-Verbal-OfferTime-Interview-to-OfferTime Requisition on holdHiring Manager Satisfaction Survey Response Rate (%)Internal Candidate Satisfaction Survey Response Rate (%)External Candidate Satisfaction Survey Response Rate (%)Hiring Manager Overall Satisfaction level (1-5 rating)Internal Candidate Overall Satisfaction level (1-5 rating)External Candidate Overall Satisfaction level (1-5 rating)Employee Retention (%)> Employee Retention (at 3 months service) (%)> Employee Retention (at 6 months service) (%)> Employee Retention (at 9 months service) (%)> Employee Retention (at 12 months service) (%)> Employee Retention (at 24 months service) (%)Employee Promotion Rate (%)Number of Candidates: WomenNumber of Candidates: MenNumber of Hires: WomanNumber of Hires: MenAverage Starting Salary: WomenAverage Starting Salary: MenNumber of Offers Extended: WomenNumber of Offers Extended: MenNumber of Reports DeliveredNumber of Automated Delivered ReportsNumber of Partial Automated Delivered ReportsNumber of Manual Delivered Reports% Manual Reports delivered% Automated Reports delivered% Partial Automated Reports deliveredNumber of Ad-Hoc Reports DeliveredNumber of Report Changes RequiredNumber of Team Members producing reportsAverage Report LoadingNumber of Complaints Received% Complaints ReceivedNumber of Reports Delivered within SLA (date defined reports)Number of Simple Ad-hoc Reports Delivered (<1 day)Number of Complex Ad-hoc Reports Delivered (<3 days)Number of Highly Complex Ad-hoc Reports Delivered (<5 days)% Number of Complaints (< 1%) Employee HeadcountEmployee Average Tenure in Company (in years)Employee Average Tenure in Position (in years)Employee Average Tenure in Job (in years)Employee Average Tenure in Grade (in years) Talent Group HeadcountTalent Group Headcount (%)Talent Headcound: WomenTalent Headcound: Women (%)Number fo Key PositionsTalent Group ResignationsTalent Group Involuntary TerminationsTalent Achieving PromotionExpatriate TalentTalent "Ready for International Assignement"Key Positions filledKey Positions filled (by identified Successors)Key Positions filled (by external Candidates)SuccessorsSuccessors for Key PositionsSuccessors: Ready NowSuccessors: Ready in 1 yearSuccessors: Ready in 2+ yearsSuccessors for Key Positions: Ready NowSuccessors for Key Positions: Ready in 1 yearSuccessors for Key Positions: Ready in 2+ yearsTalent Gender DiversityTalent Average TenureTalent PromotionsTalent Demotions Learning & Development HoursLearning & Development Hours (in-house hours)Learning & Development Hours (external hours)Learning & Development Hours per FTELearning & Development Hours (in-house hours) per FTELearning & Development Hours (external hours) per FTEEmployees attending at least 2 training daysNumber of PromotionsNumber of Demotions Performance Rating Distribution (%)Mid-Year Performance Reviews Conducted (%)Year-End Performance Reviews Conducted (%)

Metrics =

Cost Per Hire

Cost-Per-Hire (CPH) is a measure of the effort exerted, defined in financial terms, to staff an open position in an organization.

In February, 2012 the American National Standards Institute (ANSI) in partnership SHRM defined COST-PER-HIRE for several key hiring categories, Including External, Internal and Contingent hires

Sourcing: By the Numbers

Great salespeople — and great Sourcers — know their conversion rates. At minimum, they know:

% of suspects they are able to convert to become prospects; % of prospects they are able to convert to become candidates; % of candidates they are able to convert to being sent to hiring

managers; % of candidates sent to hiring managers receive offers; and, % of candidates who receive offers accept and become

employees

Question:

Sourcing Funnel

Source: Mary Parks. ERE Article

Know your conversion rates

Example: Cold Call conversion rates show A 30% call back rate & 33% net of qualified candidates

Total Dials Total Call Backs (30%)N Qualified Candidates

(33%)

10 3 1

100 30 10

200 60 20

300 90 30

Cold Calls:

Other Important Metrics

Qualitative: Weekly submittals

Quantitative Percentage of

candidates accepted

Talent Pool health Hires (value)

Value and Impact

The Original Ulrich Model

HR Concept: Differentiates between transactional and transformational. Emphasizes understanding the business agenda and how your skills can help deliver it.

Where do you spend your time?

Strategic

Transactional

Process People

3 4

1 2

Every role is necessary but –

Which person has the most direct hires?

Who has the most impact?

Who is perceived as adding the most value?

Transactional vs. Transformational Sourcing

Str

ate

gic

Tra

ns

act

ion

al

Process

Strategic Expert:Adept with tools and techniques

Admin Expert:Completes

tasksefficiently

People

Change Agent:Finds and

engages talent

Champion:Strong

relationships

No real surprises here.

How do we make it happen?

ImpactS

tra

teg

icT

ran

sa

ctio

na

l

Process

Strategic Expert

Admin Expert

People

Change Agent

Champion

Ulrich Model and Sourcing

Strategic Expert

Admin Expert

Change Agent

Champion

Identify and find sourcing tools

Find passive candidates Know your industry Know the skills you source

Build and execute strategy Engage candidates Personify the brand Expert candidate matching Gathers & Communicates

market insight

Communicate honestly and manage expectations

Makes talent pool feel like a talent community

Manages talent pool data – Everything’s complete and correct

Value of Sourcing

*channels: ROI by region, skill, industry, geography, device

Channel Effectiveness: Media

Both companies use the same media but their channel mix is very different

Channel Mix Comparison

Agency Job Board Careers Site Internal Referral Other Talent Pool

Levers to Improve Performance

Set target to improve weekly output

Example 20+ 7+17= avg of 14.6 Submittals Per Week (SPW) 16+18+17= avg. 17.0 SPW [=120 MORE subs per year!]Must be measured in the context of “quality” [target +/- 85% Recruiter acceptance]

If you work as part of a team, set a weekly team goal for submittals and have the team members flex to meet the goal each week; regardless of difficult requisitions or team members on sick leave or vacation

Levers to Improve Performance

Really “know” the EVP of the company you represent (and your competitors)

Know the competitive landscape of your industry; leverage the strong points and compensate for the weaker points

Master the art of Engagement!!! Drastically improve your candidate conversion rate Drastically improve your networking Referrals Build your pipeline

Increase your sector & domain knowledge Remember: Consistently good wins!!!!

Levers to Improve Quality

Understand “what good looks like” in your environment

Be present & take the lead in the Hiring Manager requisition briefing, and bring insight and data

Improve your sector domain knowledge

Work in partnership with your Recruiting counterparts and as strategic advisors to your stakeholders

Levers to Control Cost

HAVE A PLAN! Use a structured project plan for the roles you source and

follow it Track and measure the ROI on the channels you use Impact the candidate experience (and measure it in

surveys) **Capture relevant information from prospects and

candidates (what’s going on out there? Who’s hiring? What is the competition paying? Why are/aren’t you interested in working here? What would need to change for you to become interested?

Dos and Don’ts

Do Don’t Have a plan Pick up the phone and connect

with people Change mind-set from one of

“finding” to “engaging” Leverage market insights to

bring value to the conversations with stakeholders

Know the value you bring to the business

Hide behind technology & email

Waste time and money on channels that don’t perform

Waste your time Act passively Be invisible Be lame

Final thoughts….

Through the “glitz” of toys and tricks, we may have hidden the meaning and purpose of Sourcing

If Sourcing (and Sourcers) are so good, why are there still recruiting agencies [and new ones every day]?

We need to get back to basics We, as a Sourcing community,

need to ask “what can we do”? What can be outsourced will be

Thank You

Adam Lawrence

[email protected]

sourcing - value & impact by adam lawrence

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