As a recruitment director, your main focus is on people rather than software. However when your software begins to slow your workforce down it may be time to think about upgrading, to improve your company’s performance.
New recruitment start-ups are reluctant to make the commitment to recruitment software such as CRM from the offset. Many prefer to use excel spreadsheets and note pads to keep track of their clients and candidates. The downside of this is when you begin to outgrow your spreadsheets it can be overwhelming to move onto a CRM database. This can also cause cashflow issues if your business grinds to a halt during the migration process.
High set up costs and long contracts often put new recruitment businesses off investing in CRM. Stewart Olsen highlights that when he set up Orb Recruitment he found the internal infrastructure in terms of CRM was quite costly and this could take many by surprise. On the other hand, he also suggests that having those internal processes in place from the beginning can greatly benefit your company.
Many companies such as Talisman offer introductory offers for small businesses, without contracts or high set up costs. You can often end up paying more for migrating your excel data into a CRM than for taking out a small contract with a provider from the beginning.
For established companies already using recruitment technology, it can be difficult to upgrade or move to a new provider.
Some signs that you have outgrown your technology are:
- Lack of functionality. Technology is a powerful tool for recruiters and it can be difficult to know what functionalities you don’t have at your disposal. For any director, it is essential to educate yourself and see what new technology and functionalities are on the market. If your provider begins to lack in these functionalities, it may be time to start shopping around.
- Lack of tailoring. For many the out of the box technology works, a bit like MS Word what you see is what you get. However, for larger companies, this just isn’t suitable. You may have some large clients who need specific documents or have a detailed recruitment process which standard CRM and other software just can’t support. This is when you need to start thinking about approaching a new provider which focuses on tailoring/developing specific modules just for your business. Investing in recruitment technology, long term, can have huge benefits.
- Lack of support from your vendor. If you are frequently contacting your technology vendor with little response this may be a signal that it’s time to move on. Some vendors become so large that they are just unable to provide support to all of their clients and tend to only give support to the largest. Whilst being with a well known and highly regarded technology vendor can be beneficial, if you are not as large as their other clients you can find yourself almost forgotten when you need help the most. Always ask about a vendors support process and keep this at the front of your mind when choosing a new vendor.
Getting ready to switch technology vendors.
- Understand exactly what your current provider isn’t providing you with. Whether its lack of functionalities, support or tailoring. This will help you look for a vendor which can fill in these gaps as well as improve on the others.
- Have a clear business goal. Look for a vendor which is in line with your goals and will help you achieve yours.
- Don’t rush. There are thousands of providers out there, don’t feel pressured to go for the first one. Have as many demos as it takes for you to feel like you’ve found the “one”, a bit like a wedding dress!
- Consult with your employees. Ultimately they are the ones who will be using the software day in and day out. It may be good to invite one of them to have a demo with you and find out more about what would help them succeed.
- Don’t be afraid to compare and get the best deal. Gather all your quotes together and go back to your favourite. If their price is a bit high or their contract length is too long, try negotiating with them. There’s no harm in asking.
- Be prepared. Plan for the migration process and training on the new software. Keep everyone in the business informed.