9 Reasons Why Businesses Need an Applicant Tracking System

Finding highly skilled employees for your company is essential to keep your business’s growth steady. If you have been hiring for a while, you might have already experienced the consequences of recruiting bad hires and how they affect everything around them.

This is why large organizations invest in HR management tools such as attendance management software to automate time tracking, payroll management to eliminate human errors in processing, and applicant tracking systems to streamline the recruitment process. Today we share nine reasons why every business should have an applicant tracking system for their HR department.


Understand that what might be working for one business in retail, might not have the same effect for a company in manufacturing. This happens because each business has different needs, which cannot be fulfilled with a generic HR management tool. Having an applicant tracking system eliminates this limitation as it enables businesses to customize their tools based on their business needs.

Save Time

Time is a valuable resource for a business. On average, it takes a company 40-50 days to find, filter, interview, and recruit a candidate. Applicant tracking systems are built to work around this limitation.

Since the software can automate most of the repetitive processes, such as job listings on multiple platforms, screening applications, and arrange interviews, your business should significantly cut down on time it takes to hire a candidate.

Reasons Why Businesses Need an Applicant Tracking System
Applicant Tracking System

Automate Job Listings

One of the major challenges HR departments face is determining the right platform to post job listings. It is crucial to post on platforms where your business can find the ideal candidate. Posting repeatedly on a platform that hasn’t offered valuable candidates in the past is a waste of resources.

An applicant tracking system helps identify the right platforms where your business will find ideal candidates and automates job listing.

Automate Filtering

Checking every application for a position becomes unproductive for HR after a while. It’s repetitive and might take a long time to go through each one. Missing out on a good candidate application is quite possible when your hiring managers use manual and outdated methods.

An applicant tracking system offers automated filtering and screening candidate applications, eliminating the unnecessary burden on your hiring managers.

Improves Cost per Hire

Hiring the wrong resources can significantly cost a loss of time and money to a business. Not only the workflow is affected, but the company will need to repeat the recruitment process all over again. This means wasting all the resources that went into the first approach.

Applicant tracking systems are built with precision and efficiency in mind, ensuring only the right candidates are screened and pushed forward for an interview.

Quality Hires

Finding top candidates is a goal for many businesses, but it is often impossible to find the best ones as they never appear in the market. Leading organizations have invested in modern applicant tracking systems to hire these candidates as soon as they become available. This not only improves the cost per hire but also enables businesses to find top-quality candidates.

Better Retention

Employee retention is crucial for the survival of a business. Continuously missing out and losing on best performers can severely damage the reputation and success of your company. With an applicant tracking system, your business can hire the candidates who prove to be a perfect choice for the job.

When employees are happy, they are content with where they are, ensuring fewer people leaving the company. Further, good hires are also beneficial for peer to peer relation within the workplace.

Better Reach

With more people using smartphones than computers for content consumption and other activities these days, having a mobile-friendly recruitment tool is crucial. This ensures your job listings have better reach, which yields more candidate options to hire. A bigger pool ensures that hiring managers will find the right candidate without spending too many resources.

Talent Pools

Going through the same process of finding a candidate each time a position is vacant is an inefficient hiring method. It’s repetitive and consumes resources that could be saved otherwise.

An Applicant tracking system can create talent pools that store the candidate applications and information for the future. So the next time you need a candidate, you do not have to go through the whole process again.

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