Automation and digital transformation are remarkably transforming the staffing industry worldwide. A considerable fraction of staffing partners are truly leveraging the power of the most intelligent technologies to fully digitalize their way of working. Why is automation such a sensational topic in resource staffing? How agencies responsible for staffing workforce are upgrading their performance through automation technology?  

In this blog, we are going to answer these frequently asked questions. Let's explore and understand the automation-driven changing face of the staffing industry.  

The Transforming Priorities of Today's Staffing Industry  


Sourcing is one of the topmost challenges of the recruitment lifecycle. The 2022 Global Recruitment Insights & Data Trends Report by Bullhorn, the staffing CRM leader, states that candidate acquisition has been identified as the #1 challenge for recruitment agencies worldwide. They came up with this result after surveying over 4,000 respondents across 12 countries. This report shows a clear shift in the priorities of recruitment companies; they are not prioritizing only business development anymore.  

Digital Transformation is the second most disturbing challenge in the staffing industry now. Workforce management agencies are acutely aware that they must digitize and automate their business process to stay up to date in today's competitive market. This topic is 3x more in demand in just the last two years. For example, only 25% of staffing firms reported digital transformation and automation as their key goals in 2020, and the number is more than 80% in the year 2022! 

To fight against these challenges, staffing agencies are leveraging technology and automation better than ever. The best talent management companies are taking advantage of the latest innovative technologies like Artificial Intelligence and their full digital potential.  

48% of respondents in the study we mentioned above stated that they are remarkably improving their candidate outsourcing via automation in 2022. As outsourcing candidates is staffing companies' top strategic priority now, automation plays a significant role here. 

How is Automation Making the Staffing Industry Future-Ready?  


In 2022, technological innovations and automation are constantly revolutionizing how staffing companies do their jobs. While leveraging the power of automation, recruiters ensure they find perfect candidates for different roles. And this is just one of the myriads of possible uses of automation in the staffing industry.  

While many staffing firms have already adopted automation to run their businesses, many are yet to take this leap in their performance. Is your staffing company one among them? Then you need to buck up soon!  

Here are the most significant ways how automation is taking the modern staffing industry to the next level. 

1. Smartly Identify Available and Passive Candidates   


Do you think it is easy to source interested passive candidates? Considering the latest US unemployment rate of 3.6%, the answer is, unfortunately, NO! Because the best candidates for a role are not necessarily those looking for a new job. Statistics reveal that 70% of the global workforce consists of passive candidates. So, to source them, you must have an out-of-the-box strategy.  

Here, automation is now helping to streamline the process. With the help of automation-powered ATS, staffing firms are effortlessly sorting through a vast applicant pool of candidates today. What's more, the power of automation to screen passive candidates effectively will improve more with time.  

Automation can help screen passive candidates who are most likely to respond based on their tenure in a specific role. Also, a few other determining factors for automation to find the best passive candidates are: if they have been promoted recently or at all, the performance of the firm where they are working, and so on. Automation is also helpful in removing any potential for bias while hiring candidates.  


2. Enhance Candidate Experience with Automation  


If there is no efficient and seamless recruitment process, recruiters risk losing some of the best and most efficient candidates. However, implementing an automated recruitment solution can help recruiters engage and nurture potential hires. This ensures an overall memorable candidate experience.  

With automated recruiting, staffing agencies are improving different capabilities to reduce hiring time and guarantee better candidate satisfaction. From easy application procedures to helping applicants with their status in a timely fashion, automation does everything in the recruitment process. 


3. Better Retention with Automated Recruiting 


While the power of Human Intelligence can never be ignored, automated software can be a cherry on the cake here. The innovative AI-driven software can boost recruiters' understanding of candidates. With the help of predictive analytics, those software can predict candidates who seem to be most successful in a role.  

According to a recent study by the National Bureau of Economic Research, algorithms can significantly boost humans' hiring decisions. In this study, 30,000 hires across 15 companies have been analyzed. And it was found that the candidates' retention rate was more by 15% when an algorithm worked hand-in-hand with the hiring managers to decide.  

Has your staffing agency not yet utilized the power of automation for better candidate retention? Be proactive and take the right step now!  


4. Automated Staffing Saves a Lot of Time  


Time-saving is perhaps one of the most obvious benefits of implementing business automation solutions in any industry. And staffing industry is no different! In this industry, automation significantly improves the quality of recruiters' work. An average recruiter spends 40 to 60% of their workday looking for new candidates. However, while automating the initial screening, recruiters can save that time and spend it doing other tasks requiring a human touch. 


5. Anticipate the Shift in the Demand for Skills in the Market 


Technological innovations and automation are not only transforming the nature of work in the staffing industry but also can determine the skills that will be in demand in the future. The staffing industry is leveraging automation to analyze market behaviors and environmental situations to predict better what skills will be in demand and at what locations. 

The experts believe that while anticipating enough the set of skills in demand, staffing agencies will soon be able to fulfil the need for a particular job before there is a shortage for it. Moreover, along with predicting market uncertainty, automation in the recruitment industry can also expect how likely an employee can quit their job. These next-generation abilities of automation are making the staffing industry brighter than ever. The staffing professionals can now quickly determine what jobs are open and who is ready to fill them.  


In a Nutshell  


Automation is incredibly evolving in today's staffing industry. It will continue to change how staffing professionals and recruiters work in the coming years. By embracing the next generation of automated solutions, skilled professionals in the staffing industry will do brilliant work and free up many hours in their day. They can further utilize this time to shift their focus to building authentic relationships, which automation alone can never do.  


So, ready to take your recruitment strategies to the next level with automation? 

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