Applicant Tracking System (ATS)

What is an ATS?

ATS stands for applicant tracking system. It’s a type of recruiting software that streamlines the hiring process from beginning to end. Some organizations may also refer to an ATS as a talent management system.

An applicant tracking system (ATS) typically handles recruitment tasks including:

• Posting job openings to multiple job boards
• Storing applicant data
• Screening applications for potential matches
• Documenting internal notes about candidates in a single database
• Producing data-driven insights into the hiring process
• Facilitating collaboration between recruiters, hiring managers, and other stakeholders

ATS software is designed to improve and speed up the hiring process for recruiters and candidates. With the right application tracking system, you can save money within the hiring budget and improve your net hiring score.

The benefits of an application tracking system

An application tracking system can have many benefits. Most importantly, it can consolidate hiring managers’ and recruiters’ feedback. When stakeholders can choose the best candidate efficiently, organizations don’t lose out on top talent, and candidates aren’t left wondering where they stand.

Many organizations also use applicant tracking systems to analyze and improve their hiring process. With the ability to generate reports on hiring data, recruiters can identify bottlenecks and drop-off points that may negatively affect the candidate experience.

Candidates who feel connected and informed are more likely to have a positive experience, regardless of whether they receive a job offer.

How does an ATS resume checker work?

Most candidate tracking systems automatically sift through resumes and applications to determine which candidates should move to the next phase of the hiring process. But every ATS system is different. Here’s an overview of how an ATS system can work:

Firstly, the hiring team enters the job description and details about the open role into the system. It scans incoming resumes, and the pool of applicants is tagged and labeled within the system—according to information on their resumes. Then, recruiters can filter through candidates based on:

• Relevant keywords
• Years of experience
• Required skills
• Professional certifications

The ATS system allows recruiters to communicate with the applicants and schedule interviews. After the interviews, the hiring team can submit feedback and add notes to the system. Scoring candidates can help decision-makers evaluate candidates and advance successful applicants faster.

Some applicant tracking systems, such as artificial intelligence and natural language processing, use advanced technology to screen applications.

CRM vs. ATS: What's the difference?

A  candidate relationship management system (CRM)  is software that attracts job candidates  before  there's a high demand to fill the position.

Recruiters typically use a CRM to sort through passive, qualified candidates, former job applicants, and active job applicants. A CRM can help recruiters build relationships so positions can be filled more quickly as hiring needs arise.

In contrast, an  application tracking system (ATS)  is designed to simplify the process of managing active job applicants. Its main purpose is to streamline the hiring process, with the goal of increasing efficiency when interviewing a large group of job candidates.

Which type of recruiting software should you choose?

Ideally, an ATS should be optimized to work together with a CRM. When the CRM and ATS are optimized, hiring teams can:

• Avoid mistakes
• Reduce the time to hire
• Cut down on the cost per hire
• Improve the quality of new hires
• Streamline the interview scheduling process

Some companies do not use ATS recruiting software—or choose to use a CRM or ATS exclusively—but this can lead to higher costs, communication stumbles, or even missed opportunities to hire top talent.