5 Recruiting Metrics That Every Growing Business Should Track

Introduction

Measuring recruiting performance is crucial for growing businesses aiming to attract top talent efficiently. By tracking the right metrics, companies can make data-driven decisions, optimize hiring processes, and improve candidate quality. This post outlines five essential recruiting metrics that every growing business should monitor.

1. Time-to-Hire

Time-to-Hire measures the average duration between posting a job and hiring a candidate. A long time-to-hire can signal inefficiencies, slow decision-making, or insufficient candidate engagement. Data from Workable indicates that high-growth companies that reduce time-to-hire by 20% see faster onboarding and increased productivity.

2. Cost-per-Hire

Cost-per-Hire includes advertising, recruiter fees, onboarding costs, and internal HR time. Tracking this metric ensures recruiting budgets are used efficiently. According to SHRM, the average cost-per-hire in the U.S. is $4,129, but efficient startups can lower costs by leveraging employee referrals and automation.

3. Source of Hire

Understanding which channels produce the best candidates helps allocate resources effectively. Track applications, interviews, and hires from job boards, social media, referrals, and career fairs. Data shows employee referrals often yield higher-quality hires and faster integration into the company.

4. Candidate Quality

Candidate quality measures how well new hires perform relative to expectations. It can be evaluated using performance reviews, retention rates, and manager feedback. A high-quality hire leads to better productivity and reduces turnover costs, making this metric a critical component of recruiting analytics.

5. Candidate Experience

Candidate experience affects employer branding and referral likelihood. Measure satisfaction through surveys, application drop-off rates, and interview feedback. Glassdoor reports that 69% of job seekers are less likely to accept an offer from a company with poor candidate experience, emphasizing the importance of this metric.

Implementing Metric Tracking

1. Leverage an ATS: Use applicant tracking systems to automatically gather and analyze recruitment data.
2. Standardize Processes: Structured interviews and consistent evaluation criteria improve metric accuracy.
3. Regular Reporting: Monitor metrics monthly or quarterly to identify trends and optimize hiring strategies.

Conclusion

Tracking these five recruiting metrics enables growing businesses to make data-driven hiring decisions, optimize costs, enhance candidate quality, and improve overall recruitment efficiency. By combining technology, structured processes, and continuous monitoring, companies can attract the right talent while building a scalable recruitment strategy that supports long-term growth.