Recruitment System: Next Generation Recruitment Is Hype & Not Substance
The next generation recruitment system approach, like traditional human recruitment is broken and flawed:
Next generation recruitment system is dressed up to be trans-formative and innovative, but it’s neither…
We are supposed to be impressed because it’s driven by AI; and supposedly smarter, better, faster than us mere humans.
However, when you tear away at the surface…
…when you read the senseless techno speak…
…when you look past the flashy advertising pics of smart robots doing complex math…
…when you examine the investor hype about AI…
You realise that next generation recruitment is just the same bog standard recruitment soap opera we have all become sadly accustomed to.
Is a new recruitment system approach – actually that innovative?
Next generation recruitment system approach is a red herring for businesses:
- It can inadvertently exclude people that may be a good match for the role when seeking talent.
- It cannot validate whether someone’s social media avatar is authentic or not.
- It is automating a large broken recruitment model riddled with bias and errors from all angles.
AI recruitment, like the traditional recruitment model, is very transactional. It is built on the same myopic assumption that sourcing people, rather than objectively and accurately selecting people is the most difficult aspect of recruitment.
Thinking there is a shortage of talent is incorrect and the wrong way to view and drive recruitment (thanks McKinsey for starting this insidious business myth).
Thinking recruitment is a numbers game is not the complete story either…
There are actually tons of talented people out there and perfect for your businesses. The real problem is that you just don’t know what good looks like anymore.
Taylor Wells believes that next generation recruitment system (no matter how you dress it up) is perpetuating hiring failure, not fixing the problem.
Our research shows that investors’ money in AI is being mis-directed because of this myth:
- There is an over-supply of people and fewer and fewer jobs on offer.
- New roles are becoming more challenging
- Old jobs and skills are becoming redundant.
- There are substantial capability gaps in highly specialised areas like pricing and revenue management.
- Businesses are struggling to position new roles and teams correctly within an organisation
- Business leaders do not have the tools and frameworks to put into operation new organisational structures capable of dealing with changing work requirements.
The real problem with recruitment system issues is not sourcing or bringing people and businesses together – this was yesterday’s recruitment problem. (Things have moved on: there are already too many people and not enough jobs as it is – a problem only going to continue with AI.)
The real problem with recruitment is that it is founded on poor and antiquated principles, models and processes: i.e., selection criteria, assessment methodology and conventional thinking that does not work.
AI recruitment has done little to solve the recruitment debacle we continue to experience as businesses and candidates.
95 per cent of the effort and money spent in the current recruitment market is wasted even with the introduction of AI.
95 per cent of both of business and candidate efforts are going on filtering each other, not finding each other.
Over 50% of hiring decisions end in failure and regret. Businesses are still struggling to hold onto to talented people. Quality people keep leaving their jobs. Engagement figures are the worst in working history.
How we recruit and set up our teams is to blame for serious organisational health and performance issues.
It’s time to stop recruiting like we’ve already done and re-assess the purpose and function of recruitment before we invest anymore money into the recruitment tech industry.
Let’s figure out a better answer to the problem first before we get engineers to create yet more algorithms that don’t work.
At Taylor Wells talent advisory firm our pricing team skills and capability research recommends making sure HR, IT, and recruiters are involved in the development and continuous re-evaluation of their recruiting technology systems and processes in order to ensure that their recruitment programs are identifying high quality pricing and revenue management people as intended and not “learning” the organisation’s pre-existing biases.
See our blog on how recruitment costs can be minimised!
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