The Importance of Candidate Relationship Management in the Hiring Process
This blog discusses how Candidate Relationship Management(CRM) helps build relationships with potential job candidates to convert more applicants into hires. It explores how CRM integrates with applicant tracking systems to streamline communications.
Hiring top talent is crucial for any organization’s success, but finding and attracting qualified candidates can be a challenge. According to a survey by LinkedIn, 69% of recruiters say their biggest challenge is identifying quality candidates. One way companies are streamlining their hiring processes is through the implementation of candidate relationship management (CRM) systems. CRM integrates with applicant tracking systems (ATS) to help organizations strategically build relationships with potential job candidates from initial application through onboarding.
What is Candidate Relationship Management?
Candidate relationship management, also known as CRM, is a recruitment strategy focused on nurturing ongoing connections with job applicants. With CRM, recruiters can customize outreach and communications based on a candidate’s profile, skills, and interests. The goal is to convert more passive candidates into active job seekers by keeping companies top of mind for future role opportunities. According to Ideal, 72% of recruiters say CRM systems are crucial for maintaining long-term relationships with candidates.
CRM systems allow hiring managers to track all touchpoints with candidates from the earliest stages of interest. Recruiters can document phone calls, emails, in-person meetings, and more to get a holistic view of the rapport and relationship being built over time. Integrating CRM with an applicant tracking system streamlines data sharing so candidate profiles don’t fall through the cracks between different stages of the recruiting funnel. According to Aberdeen Group, companies see a 12% increase in qualified candidates through CRM adoption.
Building Rapport from Application to Onboarding
Many recruiters solely focus on candidates immediately needed to fill open job requisitions. But with CRM, the goal shifts to developing longer-term relationships that may result in future hires down the road. Some ways organizations use CRM to nurture rapport include:
According to a survey by LinkedIn, 69% of recruiters say their biggest challenge is identifying quality candidates.
- Acknowledging all applications: Sending auto-reply emails confirming receipt of each submission shows candidates their interest is appreciated, even if no roles fit their current experience. According to CareerBuilder, 75% of candidates want acknowledgement of receiving an application.
- Customized correspondence: Based on their profile, recruiters can identify common interests or background with certain candidates to personalize outreach through relevant conversation. According to LinkedIn, 80% of candidates are more likely to consider a company if communications are personalized.
- Sharing additional opportunities: For candidates who may not be the right fit now but seem a potential match later, recruiters inform them of new roles via email or LinkedIn as they become available. According to IBM, passive candidates are up to 70% more likely to be high performers compared to active applicants.
- Offering informational interviews: For passive candidates open to learning more about the company culture, recruiters host informal zooms or coffees to keep the conversation going. The Muse finds that 79% of employees say understanding company culture was very important in their job search.
- Onboarding touchpoints: Even after being hired, new employees appreciate internal references or check-ins from the original recruiters who helped land them the job. Forbes reports that 90% of employees surveyed said a great onboarding experience makes them more likely to stay with a company.
Measuring CRM Success
Advanced CRM systems integrate robust reporting capabilities that provide recruiting metrics on activities like:
- Conversion rates from initial contact to application, then application to interview, and interview to hire
- Number of passive candidates converted to active job seekers over time
- Volume of applications and hires sourced via CRM and customized outreach campaigns
- Average time spent per candidate relationship and touchpoints throughout the funnel
- Feedback and satisfaction scores from candidates and hiring managers on the CRM experience
By tracking these key performance indicators, recruiting teams can optimize CRM strategies to improve applicant quality, hiring velocity, and overall talent acquisition outcomes. The right CRM implementation helps develop a talent pipeline instead of treating hiring as unrelated sequential events. According to Oracle, 57% of candidates say their perception of a company improves after CRM outreach during the hiring process.
In closing, candidate relationship management is a valuable recruitment methodology when integrated thoughtfully with applicant tracking. CRM fosters ongoing connections that convert more qualified professionals into future team members, strengthening an organization’s talent brand and long-term success.
