Gone are the days of recruiters just posting and praying. Data-driven recruitment powered by performance-based products and services has arrived, bringing an onslaught of new industry buzzwords: programmatic, machine learning, and A.I. to name just a few.
Sure, they all sound impressive but what do they mean to the recruitment industry? Every recruiter needs to fully understand these terms to identify what is essential and what is just a passing trend.
We have pulled together and defined the top buzzwords in data-driven recruitment that we know are here-to-stay. To make sure you stay up-to-date on current recruitment lingo, browse our glossary of these highly technical terms with translations humans can understand.
Top Data-Driven Recruitment Terms Defined
1. Al·go·rithm
noun: algorithm
A process or set of rules to be followed in calculations or other problem-solving operations. Algorithms put predictive analytics to work; applying the insights from the data and putting it into action.
H.R. Speak – An intelligent time-saver. Super cool technology that automates all the manual tasks (we don’t want to do) based on data (we don’t have time to research), such as where to advertise jobs, how much to spend, and when not to spend at all.
2. Ar·ti·fi·cial In·tel·li·gence (A.I.)
noun: artificial intelligence
The intelligence demonstrated by machines. It controls machine learning and algorithms. Abbreviation: AI, A.I.
H.R. Speak – Your hardest working employee. A.I. is making the world of recruiting a better place, not because machines are smarter, but they don’t have to sleep or eat and don’t need a work/life balance.
3. Big Da·ta
noun: big data
Data sets that are so large and complex that traditional data processing software is not adequate to deal with them.
H.R. Speak – Big data is big data. It is used to connect all those different stats that alone make no sense but when used the right way to identify those things we never knew meant anything. Ditch trying to merge those spreadsheets and let Big Data show you the way.
4. Cost-per-ac·tion (CPA) and Cost-per-click (CPC)
noun: cost-per-action and cost-per-click
A method of advertising billing based on the number of times a visitor clicks on an advertisement (CPC) or based on completing a specific task in a session (CPA) starting with a click on an advertisement.
H.R. Speak- The new standard in job posting pricing. Very common in performance-based job advertising taking over the old flat-rate “post and pray” job postings of yesteryear.
5. Ma·chine Learn·ing
noun: machine learning
The ability for a computer to learn without being programmed, build trends in data, and add to algorithms.
H.R. Speak- Your second hardest working employee. Machine learning identifies job seeker patterns and trends over time based on tons of data points (think the type of jobs viewed, candidate experience, location, time-of-day, type of job site, etc.) that may be available on the user as well as online behavior that can be used (number of clicks or even apps not completed) to improve how algorithms work and how candidates are targeted on the Web.
6. Per·for·mance-Based Re·cruit·ment Ad·ver·tis·ing
noun: performance-based recruitment advertising
A data-driven recruitment advertising strategy that uses pay-for-performance advertising technologies such as programmatic job ad campaigns, SEO, SEM, and real-time performance monitoring to increase ad performance and R.O.I. from the recruitment spend.
H.R. Speak- “Post-and-know what you get.” Used by employers who want to know they are getting what they pay for! But, buyer beware! Sometimes getting tons of views doesn’t mean tons of applicants. That’s why you need a solution that helps you optimize your budget and provides the right insights instead of leaving you empty-handed and broke.
7. Pre·dic·tive An·a·lyt·ics
noun: predictive analytics
The use of machine learning techniques and large historical data to analyze current trends to make predictions about the future.
H.R. Speak- A recruiting crystal ball. Before a job is even posted, it shows expected performance over a period so the algorithms and employers can make the best decisions on how to fill different types of jobs fast. Currently, only pandoIQ has the power to predict!
8. Pro·gram·mat·ic Ad·ver·tis·ing
noun: programmatic advertising
The process of automating the decision-making of where ads will display, when, and how much you need to bid to target specific audiences, demographics, and sites. The same process can be applied to job postings.
H.R. Speak- An efficient time-saver. Most commonly used by larger employers who have complex hiring needs such as a wide variety of different job types that require different strategies. Who has time to track and analyze how every job performs on every site?
9. Dy·na·mic Bud·get Al·lo·ca·tion
noun: dynamic budget allocation
An auction-based approach used to buy or sell impression-level ad inventory based on real-time competitive bids for the impression.
H.R. Speak- A money saver. Only used by the most sophisticated programmatic advertising platforms because, to bid correctly on the spot, requires a super-fast thinker or brilliant algorithms.
10. Job Ad Tar·get·ing
noun: job ad targeting
An automated job classification technology that combines a comprehensive taxonomy of job types, skills, and synonyms with sophisticated natural language processing (NLP) algorithms that parse job descriptions, interpret the context and accurately classify job ads to predict performance and create targeted campaigns.
H.R. Speak- Job ad targeting is making it easier for employers to connect with the right talent and vice versa. So, when you call it a Chief People Person, the technology knows you mean Head of HR or even CHRO.
11. Tax·on·o·my
noun: taxonomy
A scheme of classification of related terms. Pertaining to data-driven recruitment, it is a classification and categorization of job titles, skills, synonyms and common search terms for the job and used as the basis for job matching and classification.
H.R. Speak- A job description decoder. Recruitment platforms with a taxonomy automatically parse job descriptions full of crazy job titles and buzzwords and accurately classify the type of job and even level of seniority based on the contents of the ad so the right job seekers can be targeted across the Web.