2024 seems to be flying by at record pace. At bpesearch, we’ve had 6 months that we can gladly label as positive, more so in some verticals than others, whilst continuing to see further green shoots on the horizon. More pleasingly, the sentiment from clients and some of our industry peers, suggests that the market continues to be heading towards a healthier and more certain footing, which if sustained, would prove yet again, that, the recruitment industry appears as resilient as it’s ever been
Here, we’re going to reflect on H1 as well as consider some of our predictions for the remainder of 2024.
The role of AI in recruitment
AI in recruitment is a hot topic that continues to gain traction in 2024. There seems to be an advent of more experts in the area than you can shake a stick at, so selecting the right information becomes a continuous challenge. That “challenge” as we say, will be in leveraging AI to enhance efficiency without losing the all important human touch.
We are aware that personal interaction, be that a search firm and their client / candidate relationships, or employers looking to engage new talent directly, it’s going to be increasingly important for businesses to consider how they are leveraging technology and data to enhance the recruitment process as opposed to simply interacting less with the people who matter. This is particularly the case in executive search, where any headhunter worth their salt will always be taking a long-term view on the relationships that they’ve built and nurtured over the years. Experience, conversation and connections mean so much in this world, more so now than ever before.
So, what technology have we seen a rise in:
Applicant Tracking System (ATS)
An ATS offers a comprehensive suite of features for managing candidate data and automating numerous tasks. From posting job listings and filtering resumes to identifying the most qualified applicants, an ATS can be indispensable for modern recruitment. These tend to be applied to recruitment activity with a high volume element.
Comprehensive Data Analytics
A robust data analytics system enables HR & Talent teams to track key metrics such as the number of applicants, the number of interviews conducted, and the sources of the best candidates. By analysing the data, it can provide useful insights, providing HR the means to potentially refine and improve the recruitment process in real time.
Emerging AI-Powered Tools
AI technologies are introducing new capabilities and deeper insights into the recruitment process. Key tools include:
Machine Learning (ML): Machine learning helps HR departments assess whichat aspects of their recruitment process are effective orand which are not. Since many HR teams lack the time and resources for thorough analysis, ML provides invaluable insights from theinto recruitment data, facilitating better decision-making in shaping future thinking.
AI-Based Automation: AI automation streamlines the onboarding process, saving People teamsHR departments significant time and effort. AI-powered tools can personalise the onboarding experience, guiding new hires through the process using natural language processing and adaptive AI.
Predictive AI: Predictive AI is used to develop ideal candidate profiles, assess future talent needs, and gain deeper insights into employee performance. It also helps make equitable, industry-based decisions on compensation, enhancing the overall recruitment strategy.
By integrating these advanced tools and technologies, companies can optimise their recruitment processes, making them more efficient and effective whilst still maintaining a personalised touch.
A shift in the flexible working narrative
With the “working from home conversation” accelerating four and a half years ago as a result of the global pandemic, it would appear it’s here to stay, in some fashion or other. In fact, legislation passed earlier this year helped in reinforcing employees rights when it comes to flexible working and variable working patterns. The new Flexible Working Bill builds upon existing legislation, granting employees the right to request flexible working arrangements from the onset of their employment. This includes options such as part-time work, flexitime, compressed hours, and varied working locations. The changes have been implemented to positively impact all employees, and all potential employees of a business, however, when it comes to who will need to manage this, it’s most likely going to impact HR, people managers and business leaders.
Research conducted earlier this year by Vitality shows that 52% of business leaders believe that hybrid working is the most supportive environment for employee productivity. A further 47% of female office workers and 44% of male office workers believe hybrid working is better for their mental health and 53% of business leaders believe hybrid working helps employees better manage the costs associated with work. One can argue if these figures are on an upward trend, or that opinion and viewpoints are more deeply rooted. Time will tell, but there is a sense from some in our senior exec network of a growing desire for their teams to be together in the office more frequently to drive collaboration and subsequently, business performance.
Given that 82% of people believe their employer now has a greater responsibility to offer health and wellbeing programmes post-pandemic, it’s crucial that organisations are aware and consider how different or flexible working environments can impact people’s mental health. So here, we are predicting that those businesses who choose to focus & prioritise wellbeing in the workplace, will be more likely to reap the rewards later down the line.
Recruitment in 2024 is likely to continue a trend towards being increasingly data-led, with increased AI adoption, a focus on talent pool building and pipelining, alongside an ironing out of company policy on flexible working continuing into 2025/26. Predictions at the moment are just that, predictions. With a new government now in place (who didn’t see that coming?!), we wait with baited breath to see if an uptick in the economy occurs and a busier market for hiring talent follows closely behind. Whatever the varying opinions about the state of play, quite simply, no one can make concrete statements without a degree of uncertainty. If there is one thing that will remain more certain than almost anything else, it’s that uncertainty will remain for some time and likely to already have become in part wired into how communities and families are beginning to approach their day to day lives. When you start to pull together a few thoughts on what people are contending with, directly or indirectly, it’s mind boggling when compared to 5 – 10 years ago. Be it inflation, interest rates, the global cost of living crisis, the climate emergency, brexit, environmental & social migration, cyber crime & security, potential global impact of certain general elections, political extremism, Russia’s invasion of Ukraine or the simmering heat in the middle east… the list goes on… on Meanwhile, recruiters and Exec Search professionals continue to navigate each right hook or upper cut that comes their way, in order to provide the best possible outcomes for their clients and broader networks.
What remains vital therefore, is for recruitment leaders to operate with the ability to pivot AS the need arises. Some trends we can predict with a degree of reliability, but having either the foresight or mindset to quickly and nimbly adjust recruitment strategies will be a growing theme for the rest of 2024 and beyond.
