What’s selection ratio?

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The recruitment ratio is used by HR professionals to make better hiring choices. A low ratio allows for selectivity, but may result in rejecting qualified candidates. Accurate testing methods combined with a low ratio can lead to a high success rate for new employees.

The recruitment ratio is a concept used by corporate HR professionals to help make better choices about hiring candidates for job positions. Calculating the recruitment ratio involves dividing the number of candidates that business plans hire by the total number of candidates for open positions. Personnel specialists and HR managers prefer a low hiring ratio as this means they can afford to be judicious during the hiring process. A low ratio, however, also increases the chance that strong, qualified candidates will be rejected.

HR managers take great care in the hiring process, since a company is usually only as productive as the employees who work there. While hiring can be a long and arduous process, deliberation is absolutely necessary to ensure the right candidates are chosen. Hiring managers often try to use methods for testing candidates that are as accurate as possible in terms of predicting job success. In many cases, your best chance of hiring good candidates depends on achieving a good hiring ratio.

As an example of the recruitment report, imagine that a company decides to open a new branch which requires the hiring of 20 new workers. This number becomes the numerator in the ratio equation. Once the positions are published, 100 people apply for the jobs. 100 is now the denominator. 20 divided by 100 leaves a ratio of, in this case, 0.2, meaning 20 percent of all applicants will be hired.

HR professionals prefer a low hiring ratio because it means they can be highly selective in their hiring. A low ratio can be achieved by taking only a few positions or by getting a large number of applicants. As the number of open jobs and the number of applicants get closer, the ratio increases. This in turn increases your chances of hiring people who may not have the most desirable candidates.

By using certain accurate testing methods for hiring and combining them with a low hiring ratio, corporate HR professionals can virtually be guaranteed a high success rate for their new employees. If, however, a low ratio is accompanied by inaccurate test methods, it can be problematic for HR professionals because it leaves less room for error. This could result in the rejection of qualified candidates in favor of unqualified candidates, significantly impacting overall production and business success.




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