Is your recruitment agency using the wrong software?

What’s the big deal about software for recruitment agencies?

The software market is a little bewildering. No matter what industry you are in, the ‘app culture’ that surrounds our use of smartphones and other mobile devices seems to mean that ‘there’s an app for that.’ The main source of bewilderment is that there is so much software for recruitment agencies to choose from.

For industries, like recruitment, an entire segment of the software industry now exists, with the most successful companies specialising in meeting the needs of recruiters with tailored solutions.

The globalised nature of business means that the best software packages are able to support global recruiters operating on the international stage across multiple territories such as EMEA, APAC and the Americas.

For use in Australia, recruitment software needs to support the Australian tax system and Australian Taxation Office (ATO)  requirements for reporting, as well as applicable employment laws.

What software do recruitment agencies use?

Based on the core processes that underpin temporary recruitment, it is possible to categorise temporary recruitment agency software.

• CRM – Often thought of as the contact database, today’s leading recruitment CRM tools are highly sophisticated. Whether you are dealing with clients or candidates, recruitment-specific CRM should contain contact information for every appropriate channel as well as the contact history, and key elements such as CVs, result of applications, interviews and tests. It is also useful for it to hold copies of identity documents, qualifications and certifications. In short, the answer to the question of ‘Does my recruitment agency need a CRM?’ is a resounding YES!
• ATS – An Applicant Tracking System is essential for effectively and fairly processing the large volumes of applications that we often see today. Scanning CVs and applications to identify key qualifying criteria saves recruiters an awful lot of time. ATS should then provide the means to manage every applicant through the shortlisting and final selection process.
• Timesheets – Paper timesheets are the source of many inefficiencies; one of the keys to streamlining processes and reducing costs is to eliminate paper, especially timesheets. Good timesheet software automates processing, reducing the need for human intervention. That said, paper timesheets still have their place and the best temporary recruitment agency software will be able to cater for paper timesheets when they are necessary.
• Invoicing – Invoicing clients is the key revenue stream for temp recruiters and specialist temporary recruitment software should pay close attention to the invoicing process.
• Payments – Paying agency supplied staff in a timely and efficient manner is essential and the processing of payments through the banking system should be seamless with the right payment tools.

It is worth noting that the boundaries between categories can be blurred because many specialist applications have been designed with the recruitment line of business in mind. This means they may cut across category boundaries, so ATS may be blended with CRM.

Similarly, the close relationship between timesheets, invoicing and payments means that there are opportunities to condense these three functions using specialised recruitment back office software.

Make sure you use the right software for recruitment agencies with ETZ

The main consideration about whether you are using the right or the wrong temporary recruitment software is whether you are using an app designed for the recruitment industry. Generally, the best ones will have been purpose-built for recruitment. Those that are designed as general purpose tools that are then customised by service providers or end user companies for their own purposes are best avoided.

ETZ’s leading timesheet, invoicing and payment platform is purpose-built to streamline the recruitment back office. To find out more about releasing efficiency in the back office and unleashing the potential of your agency data, call us on +61 (0) 405 458 821 or book a demo.