Asked to nominate their tools of choice, more than half (55%) of respondents pointed to Generative AI tools such as ChatGPT. AI-powered candidate matching tools were nominated by 21% while AI-based assessments were named by 18% of respondents.

“The results confirm the rapid update of AI technology across the recruitment sector,” said Richard Lewis-Jones, VP Asia Pacific, SmartRecruiters.  “Clearly, leading recruitment firms understand the value the tools can deliver and the ways in which they can streamline the entire process.”

When asked which emerging recruitment technologies or trends they were exploring to remain competitive, more than half (53%) of respondents named AI-based sourcing. This was beaten only by skills-based hiring tools which was nominated by 56% of respondents.

Respondents were also asked to name the technologies and tools they have found to be of most value when it comes to talent acquisition. Application Tracking Systems (ATS) were nominated by 79% while AI-powered recruitment tools were nominated by almost a quarter (24%) of respondents.

“There is a hunger for technology among recruiters who continue to have to work in a constrained market for talent,” said Lewis-Jones. “As the power of tools continues to increase, we are likely to see their usage increase even further.”

Achieving a better candidate experience

The survey results echo other industry research that has found effective usage of digital technologies is high on priority lists across the sector. According to a recent report from KPMG, 77% of Australian talent leaders say talent acquisition, retention, and re-skilling was a top challenge during 2023 and 61% expect this to continue for at least the next three years.

“Getting the right people to perform the most effective tasks with the most efficient tools is more complex than it sounds, and this is no more evident than in the quest to create a positive candidate experience,” said Lewis-Jones. “Talent acquisition teams are not alone in the talent shortage, and many need to do more with fewer staff which means using technology to fill the gap.”

Lewis-Jones said the rapid uptake of AI-powered tools was unlikely to slow during 2024 as more firms come to understand the benefits they can deliver.

“Just as AI is reshaping many areas of business, it will continue to drive change across the recruitment sector,” Lewis-Jones said. “It will be fascinating to watch how things evolve during the coming year.”

The SmartRecruiters survey, which was conducted in November 2023, also found that talent acquisition managers are focusing their key initiatives in 2024 on improving time to fill positions and improving the quality of hires.

About SmartRecruiters

SmartRecruiters enables Hiring Without Boundaries™ by freeing talent acquisition teams from legacy applicant tracking software. SmartRecruiters' next-generation platform serves as the hiring operating system for 4,000 customers like Bosch, LinkedIn, Skechers, and Visa. Companies with business-critical hiring needs turn to SmartRecruiters for best-of-breed functionality, world-class support, and a robust ecosystem of third-party applications and service providers.

For more information visit www.smartrecruiters.com or www.linkedin.com/company/smartrecruiters.

https://kpmg.com/au/en/home/insights/2023/01/australian-business-leader-challenges-2023.html

https://kpmg.com/au/en/home/insights/2023/01/australian-business-leader-challenges-2023.html