Looking at this year’s trends, it’s clear that AI tools in recruiting are still on the rise. As it stands, most of the world’s economic titans use AI tools for talent acquisition. Some studies showed that 99% of Fortune 500 companies use an ATS, with 55% of HR leaders in the U.S. using predictive algorithms to support hiring. Another 81% have explored or implemented AI solutions to improve process efficiency within their organizations. In this blog, we’ll define AI tools in HR and highlight three companies that use an AI tool for recruiting, revealing how it contributes to their success.
What are AI tools in Human Resources?
An AI tool is any software application that utilizes artificial intelligence to perform specific functions and tasks. In HR, AI is doing two key things: analysis and engagement. AI improves recruitment by analyzing resumes and matching them to a job description. It can also analyze video content, making it easier for recruiters to narrow the candidate pool to the most qualified candidates.
But it can also do more than that. In the case of pandoIQ, it can also intelligently automate the job advertising process. This is critical for talent acquisition teams because it takes the guesswork out of the process by improvising decision-making with AI to help them optimize campaigns. This not only helps them increase ROI and more effectively manage budgets, but it also helps them find the right candidates on the right sites for the right price.
AI can also analyze other HR tasks, such as aggregating performance review data to build reports, analyze the results of an employee engagement initiative, or provide recommendations to employees to bring clarity to their career trajectories. In sum, if there’s data to be analyzed, AI can extract actionable insights faster to help HR teams work with greater impact and efficiency.
AI chatbots have also caught on, empowering employees and candidates in recruitment. Candidates have a 24/7 assistant they can engage with to ask questions about the role. Pandologic’s conversational AI has helped organizations streamline this hiring workflow, integrating directly into ATS software, including Bullhorn, Greenhouse, and GR8 People. In turn, it frees the recruitment team to focus on more strategic tasks without sacrificing the candidate experience.
Now, let’s look at how three companies use AI for their HR needs today.
Domino’s Pizza Reduces Cost Per Applicant by Nearly 86%
The transformative journey of NRV Pizza, a Domino’s location, in the recruitment landscape showcases the power of intelligent automation. Before the integration of pandoIQ, their recruitment process was tedious, less effective, and financially draining. Domino’s diversified its recruitment sources by leveraging PandoLogic’s robust programmatic job advertising platform.
The platform’s automation capabilities significantly increased job ad visibility across relevant sites, ensuring each advertisement reached the most suitable candidates. This strategic optimization eliminated the need for manual intervention and prevented unnecessary expenditure, culminating in a staggering 472% surge in applicant volume and a drastic 85.8% reduction in the cost per applicant.
The impact of deploying PandoLogic for Domino’s hiring strategy was swift and significant. Without increasing the advertising budget, their applicant volume soared, and within a mere five weeks of using the service, Domino’s expanded its workforce by 15%. This rapid influx of new employees was critical in addressing the heightened demand and maintaining the high level of service that Domino’s customers had come to expect, especially during unpredictable times.
I.K. Hofmann Increased Traffic by 344% with 33% Less Spend
Multinational staffing agency I.K. Hofmann faced a critical challenge with longstanding partnerships with major job boards becoming a fiscal burden and new platform requirements hindering operations. Their established advertising methods resulted in soaring costs and a diminished return on investment, signaling an urgent need for a revamped approach in a fluctuating labor market. Recognizing the need for a more streamlined and cost-effective solution, I.K. Hofmann turned to PandoLogic. This move aimed to consolidate their efforts under a single, powerful programmatic job advertising and recruitment platform that promised to enhance process management, optimize staffing, and achieve performance targets within a stable budgetary framework.
The decision to integrate pandoIQ revolutionized I.K. Hofmann’s recruitment methodology. With PandoLogic’s sophisticated AI tools, they experienced an exponential increase in recruitment efficiency and cost-effectiveness. In just the initial months following the adoption of pandoIQ, I.K. Hofmann witnessed a 344% surge in monthly candidate volume while also seeing an 81% reduction in cost per applicant.
This impressive performance was made possible by pandoIQ’s dynamic bidding and intelligent budget allocation features, which not only fast-tracked the hiring process but did so with remarkable financial prudence. As a result, I.K. Hofmann not only upheld but also propelled the founder’s vision forward, achieving success for both candidates and employers and reaffirming their status as a leader in the staffing and recruitment industry, with a now significantly bolstered capacity to mobilize talent across over 90 cities in the United States.
Nomad Health Increased Applicant Engagement by 252%
In response to the exacerbated healthcare staffing shortages brought on by the COVID-19 pandemic, Nomad Health faced a critical challenge in recruiting travel nurses. The single job board approach that had once catapulted them to success was no longer sufficient as their job volume surged by 40%. Hospitals and care centers in dire need of personnel increasingly relied on the traveling nurse sector, and Nomad Health, dedicated to resolving this staffing crisis, recognized the urgency to adapt.
They turned to PandoLogic, shifting from a previously successful yet now limiting strategy to a more sophisticated, AI-driven approach. The pandoIQ platform transformed Nomad’s recruitment process by segmenting campaigns according to the nuances of each U.S. state market, redirecting financial resources to the most effective areas, and broadening their reach with strategic job title expansions.
The innovative strategy advanced Nomad’s mission to end healthcare staffing shortages and marked a significant upturn in its campaign performance. By harnessing the power of pandoIQ, Nomad experienced a 120% increase in applicant volume, translating to a 252% year-over-year rise in engagement with their application process. Additionally, the statewide job expansion approach executed by PandoLogic optimized overall campaign performance by 83%, signifying a notable success in Nomad’s investment outcomes. This enabled Nomad Health to fine-tune their recruitment campaigns, align budgets more effectively with their objectives, and focus on tangible results rather than getting lost in the less relevant details that often cloud the initial stages of the hiring funnel.
The Future of AI Tools in Recruitment
AI in recruitment is not just a fleeting trend but a transformative force. These companies, among many others, have harnessed the power of AI tools to overhaul their hiring processes, leading to significant improvements in efficiency, cost savings, and scalability. The integration of AI in HR practices, exemplified by the success of these organizations, underlines a broader shift in the industry towards data-driven and technologically advanced talent acquisition strategies.
As AI continues to reshape the recruitment landscape, it’s evident that the organizations that embrace this technology are setting a new standard in efficiency and strategic human resource management. The agility and precision offered by AI recruitment tools will become an industry staple, ensuring that firms attract top talent and do so in the most innovative and cost-effective ways possible.