An employee referral software allows current employees to refer friends, families and other acquaintances for open job vacancies within the organization in exchange for rewards. Companies can build a huge talent pool in a short span of time just by connecting with their employees’ professional network. This article will shed some light on the various advantages of deploying a tried and tested employee referral software to help you make the right decision.
What are the advantages of having an employee referral software?
It has become imperative for modern-day businesses to opt for an employee referral management tool to hire the best talent in the market. Without employing technological HR solutions, companies can have a difficult time sourcing candidates. So, let us take a brief look at the various advantages of having an employee referral software.
- Employee Referral Tool leads to reduced hiring time
- Employee Referral Software helps in employee engagement
- A Referral Management Tool cuts down recruiting costs
- Employee Referral Software leads to increased employee retention
- Employee Referral Solution helps source passive candidates
- Referral Software leads to boost in employer branding
- Employee Referral tool improves conversions
Employee Referral Tool leads to reduced hiring time
Nowadays, saving time in the recruiting process has become a top priority for most companies. Since employees are already well-versed with the job requirements, they can recommend the most suitable candidates for the position. For this reason, hiring referred candidates can not only help eliminate additional screening steps but can also speed up the entire recruitment process. In addition to all this, the candidate applications you receive through employee referral software are usually qualified leads. With an employee referral solution, you can streamline the recruitment process and reduce the total amount of time spent on hiring activities.
Employee Referral Software helps in employee engagement
Employees like to actively participate in decision-making that has a notable impact on the organization. So whenever a company asks employees to recommend the best talent, it invokes a sense of participation and makes them feel more empowered. Additionally, the potential incentives that candidates receive for successful referrals also make them feel appreciated. Lastly, the best way to enhance employee engagement is to make effective use of an employee referral software.
A Referral Management Tool cuts down recruiting costs
One cannot deny that the recruitment process is quite expensive as it involves a number of stakeholders and resource costs. In fact, companies spend a great deal of money while hiring potential candidates. Nonetheless, you can easily cut down on unwanted recruiting costs by investing in an employee referral software and integrating it into your company’s ATS solution. Since your employees will get you in touch with relevant candidate profiles, you will not have to spend a lot of money on other recruitment channels such as traditional job advertisements etc. The only expense that you will have to bear is for the bonus that you will give to employees for successful referrals.
Employee Referral Software leads to increased employee retention
The overall success of a company can be determined by looking at how well it retains its employees. It is a known fact that the best talent comes into an organization either through employee referrals or internal hires. Candidates hired via employee referral software tend to remain employed in a company for a longer time period as compared to those hired through other recruitment channels. With a new age employee referral software like Naukri RMS, you can increase employee retention by many times.
Employee Referral Solution helps source passive candidates
One of the greatest advantages of an employee referral management tool is its ability to source passive candidates. Such candidates are usually satisfied with the current job they have but they are open for better opportunities. Since they do not sift through job postings online, it can be extremely difficult for recruiters to get in touch with them whenever there is a vacant position. However, such passive job seekers are likely to take notice when they are recommended to a company by a friend or family member.
Referral Software leads to boost in employer branding
In today’s competition-driven job market, employer branding is of utmost importance. A great benefit of employee referral software is that it helps your company grow as a brand as more and more people come to know about your business. Whenever you request your employees to spread the word about new job openings, it significantly improves your brand visibility. The best part is that such an advertisement generates a lot of referral traffic as well as direct traffic which in turn boosts your employer branding.
Employee Referral tool improves conversions
It is often seen that candidates selected through employee referrals prove to be a good fit for the company. This is because, established employees can recommend candidates who are well-suited for the job position and the company’s culture. Hence, job applications received through employee referrals software usually have a better conversion rate.
Hiring and retaining the best talent is crucial for an organization’s growth. With the effective utilization of an employee referral software, companies can find talented candidates simply through a recommendation from employees. Not only that, whenever employees are asked to participate in the recruitment process and rewarded for qualified referrals, they feel more valued by the company. So, if you want to build a successful employee referral program, make sure that you opt for the best employee referral software in the market in order to boost your recruitment efforts instantly.