Reduce Time to Hire: 9 Effective Strategies for HR Professionals

Hiring is time-consuming — and time is money. According to 2022 data from SHRM, bringing a new employee onboard and bringing them up to speed can cost between three to four times their salary.

A prolonged time-to-hire adds to this burden, straining your team's resources and potentially impacting productivity. So, how to reduce time to hire?  

To reduce time to hire, you can start by creating inclusive job adverts. Along with that, you can build a talent pipeline and keep that engaged while you can also opt for social media campaigns and referrals. Moreover, investing in a good applicant tracking system and using assessment software can improve your time to hire. 

Here we have curated a comprehensive 9 strategies to reduce time to hire, helping HR professionals streamline their recruitment process while maintaining high standards of quality and diversity. 

Now, let’s head on to the details -   

Understanding Time to Hire 

Time to hire is a key recruitment metric that measures the number of days between a candidate applying for a job and accepting a job offer. So, what are the benefits of reducing time to hire? 

Reducing time to hire allows you to secure top talent before competitors. Apart from this some other benefits of decreasing time to hire includes improving candidate experience, reducing recruitment costs, and enhancing team productivity. A faster hiring process prevents highly qualified candidates from losing interest or accepting other job offers, while also decreasing the workload on existing staff covering open positions. This efficiency not only boosts your company's reputation but also accelerates the integration of new employees, contributing to overall organizational success. 

9 Strategies of Decreasing Time to Hire

Till now, we have discussed about the overall concept of time to hire and why reducing that is important. Now, let's jump to the 9 strategies for lowering time to hire-

Strategy 1: Create More Inclusive Job Adverts 

Your job advert is the first point of contact with potential candidates. To attract a diverse and qualified pool of applicants quickly, ensure your job descriptions are inclusive and free from biased language. This approach not only widens your talent pool but also helps in reducing time to hire by attracting the right candidates from the start. 

Tips for Inclusive Job Adverts: 

- Use gender-neutral language. 

- Highlight your organization's commitment to diversity. 

- Clearly state the essential qualifications and avoid unnecessary requirements. 

Strategy 2: Focus on Creating Inclusive Employer Branding 

An inclusive employer brand attracts a wider range of applicants, thereby reducing the time needed to fill open positions. Showcase your commitment to diversity, equity, and inclusion (DEI) through your website, social media, and job postings. 

How to Enhance Employer Branding: 

- Feature diverse employees in your marketing materials. 

- Share stories and testimonials from current employees about your inclusive culture. 

- Engage with communities and organizations that support diversity. 

Strategy 3: Be Transparent on Compensation and Pay 

Transparency in compensation is becoming increasingly important to candidates. Being upfront about salary ranges and benefits in your job postings can streamline the hiring process by setting clear expectations from the start. 

Benefits of Pay Transparency: 

- Reduces time spent on candidates who may reject offers due to salary mismatches. 

- Builds trust and shows your commitment to equity. 

Being transparent on compensation and pay is an excellent way to improve time to hire. 

Strategy 4: Train Interviewers to Lead a Structured Interview Process 

Structured interviews are proven to be more effective and less biased. Training your interviewers to follow a structured process ensures consistency and fairness, which can speed up the decision-making process. 

Components of a Structured Interview: 

- Pre-defined questions that are asked to all candidates. 

- Scoring systems to evaluate responses objectively. 

- Training for interviewers to recognize and mitigate biases. 

Strategy 5: Leverage Social Media and Employee Referrals 

Social media platforms and employee referral programs are powerful tools for reducing time to hire. They allow you to reach a broader audience quickly and leverage your current employees' networks to find suitable candidates. 

Strategies for Social Media and Referrals: 

- Actively post job openings on LinkedIn, Facebook, and industry-specific platforms. 

- Offer incentives for employees who refer successful candidates. 

Strategy 6: Establish a Structured Hiring Process  

A well-defined hiring process reduces delays and ensures that every candidate moves through the stages efficiently. This includes clear guidelines for each step, from initial application screening to final decision-making. 

Key Elements of a Structured Hiring Process: 

- Defined roles and responsibilities for hiring team members. 

- Timelines for each stage of the recruitment process. 

- Automated tools to track progress and ensure adherence to schedules. 

Strategy 7: Build a Talent Pipeline Ahead of Time  

Maintaining a talent pipeline allows you to have a pool of potential candidates ready for when a position opens up. This proactive approach significantly reduces time to hire. 

Building a Talent Pipeline: 

- Engage with potential candidates through networking events and professional platforms. 

- Keep a database of past applicants and interested candidates. 

- Regularly communicate with potential hires to keep them engaged. 

Strategy 8: Invest in a Good Applicant Tracking System (ATS)  

An efficient ATS can automate many time-consuming tasks, such as resume screening and interview scheduling. This technology not only reduces time to hire but also improves the overall candidate experience. 

Features of a Good ATS: 

- User-friendly interface for both recruiters and candidates. 

- Automated communication tools to keep candidates informed. 

- Analytics to track recruitment metrics and identify bottlenecks.  

Strategy 9: Use Pre-Employment Assessment Software  

Pre-employment assessments can quickly identify the most qualified candidates by evaluating their skills, cognitive abilities, and cultural fit. These assessments save time by filtering out unsuitable candidates early in the process. 

Advantages of Pre-Employment Assessments: 

- Objective evaluation of candidate skills and abilities. 

- Reduces the number of interviews needed. 

- Provides data-driven insights to support hiring decisions. 

What is the Time to Hire Benchmark? 

Time to hire benchmarks vary by industry and role, but the general goal is to reduce this metric as much as possible to stay competitive. For instance, the average time to hire across industries is around 24 days. However, certain sectors like technology or healthcare may have shorter or longer benchmarks due to the specific demands of those fields. 

Time to Hire KPIs 

Only knowing the benchmark isn’t enough for reducing time to hire. To fully achieve your goals, you have to cater to some related key point indicators. Here are some we recommend to track - 

Related KPIs to Time to Hire: 

• Time to Fill: This measures the entire recruitment cycle, from opening the job requisition to a candidate accepting the offer. 

• Time to Offer: This tracks how long it takes from posting the job to extending an offer. 

• Time to Start: This calculates the duration between offer acceptance and the first workday. 

• Candidate Pipeline Velocity: This analyzes the speed at which candidates progress through the recruitment stages (application, screening, interviewing, offer). 

• Interview to Offer Ratio: This indicates the average number of interviews before extending an offer. 

• Offer Acceptance Rate: This measures the percentage of offers that are accepted by candidates. 

• Source of Hire: This tracks the effectiveness of different recruitment channels (job boards, social media, etc.). 

• Recruiter Workload: This monitors the number of open positions handled by a recruiter at any given time. 

• Candidate Drop-Off Rate: This identifies the percentage of applicants who exit the process at various stages. 

• Hiring Manager Satisfaction: This gathers feedback on the quality and timeliness of the recruitment process from hiring managers. 

• Candidate Experience: This seeks feedback from candidates on their overall experience throughout the hiring process.  

So, what do these indicators tell us about the time to hire? In other words, how to use these indicators to adjust our hiring strategy?  

Let’s explore each of these -  

• Time to Offer: Focus on improving this KPI by streamlining candidate screening and interview scheduling. This can involve using skills assessments, pre-recorded interviews, or implementing clear interview structures. 

• Candidate Pipeline Velocity: Monitor this KPI to identify bottlenecks in your recruitment process. Are applications taking too long to review? Are there delays between interview stages? By identifying these slowdowns, you can take steps to speed them up. 

• Interview to Offer Ratio: Analyze this KPI to optimize the number of interviews needed. Are multiple interviews revealing the same information? Can some stages be combined? Streamlining the interview process can save valuable time. 

• Offer Acceptance Rate: Improve this KPI by ensuring competitive compensation packages, clear communication throughout the process, and a positive candidate experience. Offer letters that clearly outline details and a quick follow-up after interviews can also help. 

• Source of Hire: Focus on identifying the most successful recruitment channels that bring in qualified candidates quickly. By investing resources in these channels, you can attract top talent faster. 

• Recruiter Workload: Monitor and adjust recruiter workloads to ensure they can focus on critical tasks that impact Time to Hire. This may involve delegating tasks, prioritizing high-value candidates, or hiring additional recruiters when necessary. 

• Candidate Drop-Off Rate: Analyze this KPI to understand why candidates are leaving the process. Are application forms too lengthy? Are communication gaps causing frustration? Addressing these issues can help maintain a steady flow of talent. 

Remember, reducing time to hire isn't just about speed. It's about finding the right balance between efficiency and quality. By focusing on these key KPIs and implementing targeted strategies, you can streamline your recruitment process without compromising on finding the best talent for your company. 

Bonus Point: Time to Hire vs. Time to Fill 

Understanding the difference between time to hire and time to fill is essential for HR professionals aiming to optimize their recruitment process. While both metrics are crucial, they measure different aspects of the hiring timeline. 

Time to Hire and Time to Fill are two closely related but distinct metrics in the recruitment process. Time to Hire measures the duration from when a candidate applies for a position to when they accept the job offer, focusing on the candidate's experience and the efficiency of hiring stages like screening, interviewing, and decision-making. In contrast, Time to Fill encompasses a broader timeframe, measuring the total time from when a job opening is posted until the candidate accepts the offer. This metric includes additional steps such as approving the job requisition, posting the job, and attracting candidates.  

While Time to Hire primarily reflects the efficiency of the selection process, Time to Fill provides a more comprehensive view of the entire recruitment cycle, including the initial stages of job creation and candidate sourcing. 

Key Differences: 

- Focus: Time to hire centers on the candidate's journey, while time to fill covers the entire recruitment cycle. 

- Measurement: Time to hire is a subset of time to fill, providing more specific insights into the efficiency of the selection process. 

Importance of Both Metrics: 

- Monitoring both metrics helps identify bottlenecks in the recruitment process. 

- Improving these metrics can lead to faster hiring, reduced costs, and a better candidate experience. 

FAQs 

How can I improve time to hire in my organization? 

Implement inclusive job adverts, structured interview processes, and leverage technology like ATS and pre-employment assessments. 

What is the difference between time to fill and time to hire? 

Time to fill measures the total time from job requisition to job offer acceptance, while time to hire focuses on the duration from application to acceptance. 

How does pay transparency affect time to hire? 

Pay transparency can reduce time to hire by ensuring candidates have clear expectations about compensation, reducing the likelihood of salary-related rejections. 

Why is employer branding important in reducing time to hire? 

A strong, inclusive employer brand attracts a diverse pool of candidates, making it easier and faster to find the right fit for open positions. 

How do social media and employee referrals help reduce time to hire? 

Social media broadens your reach to passive candidates, while employee referrals bring in candidates who are often a better cultural fit and quicker to hire.  

Parting Words 

Reducing time to hire is essential for maintaining an efficient and cost-effective recruitment process. By implementing these nine strategies, HR professionals can streamline their hiring processes, attract diverse talent, and fill positions faster. Start applying these steps today to see a significant improvement in your organization's time to hire. 

Reducing your time-to-hire and cost-per-hire doesn’t need to be at odds with your DEI strategy. When done well, a more inclusive hiring process can actually help you source more underrepresented talent, because it naturally opens you up to a more diverse talent pool.