According to a recent survey of 1000 executives in Germany, the shortage of skilled workers is one of the top 3 critical blockers of the growth of companies. Particularly vacancies lead to an additional burden on existing employees and the rejection of profitable orders.

In particular, demographic change (Generation Y/Z), as well as ever-faster Internet speeds,home office and high competition in attracting skilled workers force companies in a real battle for good talent. One solution to this could be the digitization of the HR process. In the following, I would like to show a new HR funnel, which I have built up together with clients during my time as a consultant.

Difference from classic recruiting

In traditional recruiting, applicants were selected with the help of job advertisements in such a way that only suitable applicants apply for suitable job advertisements. Unfortunately, applicants have often sent out numerous applications. The result is numerous job interviews, which cost the company time and block executives.

The HR-Funnel in this article is intended to discuss the typical behavior of digitization:

Simply apply without obligation and quickly and let’s see what happens like this.

A representative of Generation Z

Let us not deceive ourselves: our world is faster and more non-binding. The classic selection and the high matching process is far too complex in a digital world. In order to start the high number of applicants, the process is to be supported by technology.

HR-Funnel

In the following I used the typical Sales Funnel, which selects customers like a funnel. The goal is to attract as many interested people as possible and to select potential interested people through various steps. In the following i explain the process for the HR process and explain it in more detail below. Basically, the statement of the picture is that we draw the attention of as many potential candidates as possible to us and that they are encouraging them to apply. We then examine its suitability and persuade them to sign a contract.

Sales Funnel changed to the HR process

Step 1: Awareness

The first step is to send and alert as many applicants as possible to the company’s website by using digital media such as job portals and social networks. In addition, you should also use analog media such as employee recommendations and job fairs. To do this, define your channels and set the HR team to alert people to applicants full-time.

Important: It’s not about finding the right people, but simply getting many candidates to go to the website and apply. Mass instead of class!

Representation of different channels for the acquisition of employees

Step 2: Interest

Now you have managed to get numerous applicants to your website. They now want professionals to apply quickly and easily. Use a one-click application without a cover letter. Simply using Xing or using a PDF CV.

The advantage of the one-click application is that you quickly receive many applications, as the production of documents for applicants in addition to the job is often perceived as too expensive. The disadvantage is that you have to check numerous applications afterwards. This disadvantage should be compensated in step 3.

One-Click applications at Xing and Stellenanzeigen.de

Step 3: Match

After a successful one-click application, send applicants a link to the online assessment. Through various questions, you check whether the applicant fits the company both humanly and professionally.

In doing so, you compensate for the numerous job interviews that you would normally have to conduct. Especially because you receive massively unstructured applications through the first two steps, it is impossible to check them by hand.

Online assessments at Allianz and T-Mobile (Screenshots)

Step 4: Action

The few remaining applicants now invite you to an interview. As a result, they are conducting significantly fewer job interviews than before. You can also be sure that the invited applicants will fit the company. It is important that you easily qualify the applicants by division beforehand and then hire them in an appreciative conversation. Since most applicants do not start in the company until 3 months later, you have enough time to find a job at a later date.

Invite applicants to work in your company – keyword: company as host

Conclusion

I would like to give a few figures in conclusion. My experience is that out of 100 applicants, which we have convinced at trade fairs etc., about 50% have really applied with the one-click application. Of this, about 10 go into the match process. We often reject 50%, i.e. 5 applicants. We then invite the remaining 5 and set 2 of them.

Statistics based on the own measurement of the effectiveness of the HR funnel

In order to enable you to use the applicants flexibly, you should also establish new structures in the company. The idea is that, for example, as an IT service provider, you simply hire good applicants and then decide in which team they work. This means that you remain flexible, as often no one knows exactly what an applicant who will start in 3 months will do exactly in the company. I recommend the approach of the Spotify model.

Reading Tip: Spotify Model

Image source: https://pixabay.com/de/photos/job-interview-h%C3%A4ndedruck-handschlag-4131482/

Genderhinweis: Ich habe zur leichteren Lesbarkeit die männliche Form verwendet. Sofern keine explizite Unterscheidung getroffen wird, sind daher stets sowohl Frauen, Diverse als auch Männer sowie Menschen jeder Herkunft und Nation gemeint. Lesen Sie mehr dazu.

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I blog about the impact of digitalization on our working environment. For this purpose, I present content from science in a practical way and show helpful tips from my everyday work. I am a manager in an SME myself and I wrote my doctoral thesis at the University of Erlangen-Nuremberg at the chair of IT Management.

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