Done Right, Direct Sourcing Will Deliver Top Talent. Here’s How.
Without a doubt, direct sourcing is a game changer for the way companies attract and acquire talent. The combination of sophisticated AI matching technology and a modern, candidate-friendly experience helps streamline the process, delivering more targeted results and making the entire process better for both candidates and hiring teams. Win. Win. Win.
But companies who (smartly) pursue a direct sourcing initiative should be aware that it can’t fix every hiring challenge. In fact, you can have solid opportunities, the most laser targeted job descriptions, and access to millions of candidates, and still not get the results you need.
What can cause that kind of drag on hiring outcomes? There are a few potential factors. Geographic challenges, for one. On-location jobs in remote and/or not ideal locations have a disadvantage right out the gate. And in some areas, there simply aren’t enough workers to fill the number of openings. But if these aren’t factors, and you’re still not getting results, there’s another likely culprit: pay rate.
It’s no secret that, these days, it’s a workers’ market. And while money may not be the only thing workers care about, it’s probably in the top three. When Opptly takes on a new direct sourcing client, we do our homework, researching not only what the client’s industry competitors are paying workers in similar roles, but what their geographic hiring competitors are paying.
Think about it. If you have 1,000 jobs to fill in a particular city, and you’re offering $16.50/hour while a neighboring company is offering $25.00/hour, you’re going to have an uphill battle filling those jobs.
Hang on, you say, we have way better benefits and higher job satisfaction than those other companies. That may be, but it’s likely the pay discrepancy will eclipse those other factors. In fact, your job postings may not even make it through a candidate’s own screening process. Fewer applicants means fewer qualified candidates and more unfilled jobs.
To best help companies succeed with their direct sourcing program, Opptly starts by pulling together essential data and reporting on critical criteria including:
- Number of posted jobs in the hiring city/region
- Number of active candidates
- Job-to-candidate ratios
- Top 5 competitors for candidates
- Pay rate variance between the client and their top 5 competitors
- Signing bonus info
- Work flexibility
We get it. Sometimes it’s just not feasible to go toe-to-toe on hourly rate with neighboring companies. At that point, you need to weigh the cost of paying a higher rate versus the cost of unmet production. In some cases, reducing that discrepancy steepness, even if you can’t match it, will at least keep your jobs from being filtered out. And perhaps consider other creative compensation or incentives that can be highlighted in the job description. Job satisfaction, as long as it can be quantified or backed up in some way, may be sufficient to attract candidates that might be scared off by negative press associated with your competitors.
It may be cliché, but it’s 100% true that your success is our success. Your Opptly team will create a direct sourcing program that’s built around your goals and needs. If, at the outset, we feel hindered by the criteria we’re working with, we’ll let you know and partner with you to make adjustments. Once launched, we’ll also closely monitor results and keep our finger on the pulse of the surrounding hiring environment, making updates as needed to ensure we’re delivering candidates that reflect both quantity and quality.
Is your company ready to talk about direct sourcing? Get in touch.