What is an Applicant Tracking System (ATS)?

ATS does everything from posting jobs to handing out offer letters to speed up the hiring process.
ATS does everything from posting jobs to handing out offer letters to speed up the hiring process.

Applicant Tracking System or ATS is a software application that streamlines the recruitment process by automating the various stages of hiring, including, the creation and distribution of job descriptions, shortlisting of applicant CVs, managing the interview process & releasing offer or regret letters.

ATS does everything from posting jobs to handing out offer letters to speed up the hiring process.
ATS streamlines the hiring process for companies.

Most modern enterprises are using ATS’s today to streamline their hiring. Typically adopting an ATS has been a complex and expensive matter. However, products like PyjamaHR are disrupting the same by offering a solution that is 100% free and easy to get started with.

How Does an Applicant Tracking System (ATS) Work?

An applicant tracking system or ATS is a recruiting and hiring tool that assists HRs and corporate recruiters in electronically sorting hundreds of applicant resumes to find the best talent or the most suitable candidate for the post. An ATS divides the resume’s content into categories and then scans it for specific keywords to help determine if the job application should be passed on to the recruiter. 

Its purpose is to eliminate unqualified applicants so that the recruiter saves time and evaluates the candidates suitable for the position. Depending on the system, it does so by storing, ranking, and scoring resumes based on keywords, relevant job titles, formatting, and other factors.

Why Do Businesses Need an Applicant Tracking System (ATS)?

The use of technology eases the burden on HR. Therefore, electronic handling of candidate data helps in:

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  • Narrowing down the applicant pool

With several applications submitted on the job search engines, it becomes pretty overwhelming for recruiters to handle the data. To overcome this time-consuming process, businesses use ATS. It eliminates the unqualified candidates narrowing down to the competitive resumes.

Benefits of ATS
ATS efficiently narrows down the applicant pool.
  • An ATS saves business time and money

The applicant tracking system allows electronic handling of the candidate data, saving time and money on the hiring process. Modern ATS’s such as PyjamaHR are enabled with AI and can speed up the shortlisting process through smart shortlisting.  

An ATS, can also smoothly coordinate interview schedules by integrating with the interviewer calendar. This coordination historically has been traditionally painful and time-consuming. Goes without saying that large-scale companies, that have multiple job openings, benefit the most by adopting an ATS. 

  • To maintain the  applicant records and information

ATS is compliant with the internet applicant rule, i.e., to enforce strict record keeping of employees recruited via electronic means. All businesses employing 100 or more employees are required to annually report their employee’s demographic recruiting information. ATS helps in storing this information and makes the reporting process much more manageable.

How to Choose an Applicant Tracking System that Works for You?

It is necessary to choose the right Applicant Tracking System for the organization. To select an ATS, these pointers should be kept in mind:

  • Know the purpose 

The most important thing is to know the purpose that ATS needs to solve. Before making the purchase, it is essential to understand product pricing such as job postings and other candidate management details as these factors ultimately decide the investment. 

  • Understand the recruiting requirements

Every organization has a different hiring process, and enough time should be invested in knowing the company’s hiring needs. Scheduling trials with shortlisted ATSs, reading reviews of the ATSs, and product comparisons can benefit.

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  • Assess the software

It is essential to evaluate multiple recruiting software solutions. Trials and demos offered by cloud-based software can help narrow down the most suitable ATS. 

  • Mobile version of the ATS

It is necessary to check that the ATS system has a mobile version so that easier to post jobs and connect with candidates anytime. It also makes the entire process handier. 

  • Data Security

Data security is critical in any ATS. Since a lot of sensitive information of the company and candidate is stored in the database, it is essential to see that the data is secure and complies with the Privacy Policy framework.

Top Features of a successful Applicant Tracking System (ATS)

A good ATS reduces recruitment costs, streamlines the entire recruitment process, facilitates talent pipeline management, improves overall efficiencies, and more. Here are some best practices for the successful implementation of ATS:

ATS enables overall efficiancy by automating the entire recruitment process
ATS effectively automates the hiring process.
  • Candidate Sourcing

The first thing is to source candidates from career sources that work the best for the company’s needs. Sources such as career sites, social networks, and internal referrals help the hiring team broaden its talent pool. This allows the career advertisement to be visible to more candidates.

  • Data Sourcing

After gathering a targeted group of candidates, the next step is to source data, the primary location of where the data is stored. It gives HR an idea of how much time it will take to fill the positions and the number of candidates for each post. 

  •  Applicant communication

The automated follow-ups and thankyou emails save the time of HR and also fosters a positive relationship between the company and the candidates.

  • Using keywords 

Using a broad range of keywords helps in accessing suitable resumes making the hiring process efficient. 

  • Providing an accurate job description

It is essential to include critical information such as the job role and responsibilities and other important information in the job ads to maintain transparency between the candidate and the company. A good ATS helps improve the hiring process.

Applicant Tracking Systems are Here to Stay

During earlier times, employers were flooded with many applications and wanted features to filter out unqualified candidates. This resulted in the advent of the Applicant Tracking System. ATS is a very effective hiring solution that most recruiters utilize. 

Without an ATS, there is a good chance that moving applicants through different stages can become very difficult. Lack of communication can also spoil the name of a company’s hiring process leading to good candidates not taking openings by the company, seriously. We have built  PyjamaHR to provide a free and smart alternative to traditionally expensive and bulky Application Tracking Systems. So, irrespective of your company size, you can now smarten your recruitment process with minimum effort and almost no investment.

Frequently Asked Questions(FAQ)

What is the purpose of an ATS?

An applicant tracking system (ATS) helps companies organize candidates for hiring and recruitment purposes. These systems allow businesses to collect information, organize prospects based on experience and skill set, and filter applicants.

What is ATS in simple words?

An applicant tracking system (ATS) is software that manages the recruiting and hiring process, including job postings and job applications. It organizes information about job seekers and makes it searchable. As its name implies, an ATS tracks candidates through the hiring process.

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