HR Tech and The Ratings Economy by Simon Childs
Simon has a keen interest in HR tech, and has made a number of early-stage investments in the Asia HR tech scene. Simon was listed in Business Week as one of the World's Top 100 Head-hunters.
HR Tech and The Ratings Economy
Just about everything online these days has a rating attached to it. Google uses complex PageRank algorithms and paid ads to steer us towards higher ranked webpages. Many of us won’t see a movie without first checking the ratings on Rotten Tomatoes or IMBd, or take a trip without leaning on reviews at Trip Advisor, Booking.com or Airbnb. A lot of the self-discovery has gone out the window in favor of the aggregation of what others think guiding us in our decision making.
HR Tech is not immune to these trends and there are multiple rating businesses out there, which hold recruiters and other HR professionals accountable and help streamline HR processes.
The recruiting market has a low barrier to entry compared to some other professions, with no formal professional requirements needed, and no standardized training across the sector. This makes for disparate performance levels and inconsistent experiences for candidates and clients. One new product on the market by a Melbourne start-up, Recruiter Insider, is helping raise these experiences and standards by measuring and tracking candidate and client sentiment at every stage of the recruiting process. This allows recruiting owners and managers to improve candidates and client experiences, their consultant’s skills, and ultimately the bottom line. One of the key elements of their solution is that the whole platform is private, allowing for performance improvement to be focused internally, on each consultant, the way performance improvement and development should be.
Companies, too, are using gamification tools to assist their in-house recruiters to assess, measure and rate recruiters using many different criteria or KPI’s. I saw a live demo of this in Bangalore from a global tech business using Kahoot’s game-based learning tools.
Singapore-based HackerTrail uses gamified skills assessment, mixing competition and the lure of prizes with job offers to top-ranked engineering talent. In one campaign they ran for CapGemini, 10,000 people were reached in a matter of weeks, 1,000 went ahead to learn about the opportunity, 100 took the challenge, 30 were ranked and shortlisted, and 15 hires were made. It would be virtually impossible for an in-house recruiter to assess and accurately rank this vast pool of talent in the same cost-effective and time-sensitive way. In a similar vein, Hong Kong-based tech recruiter Terminal 1 has developed its own AI to assess, qualify, rank and shortlist engineers, increasing recruiter productivity through machine-based learning.
The executive coaching business has more than 100,000 corporations, spending over USD2 billion annually on coaching. CoachConnector, a Hong Kong-based on-line start-up, helps match coaches and coachees through an algorithm, and has an integrated ROI tool, for corporate clients and coach consultancies, to measure and rank the coaches they engage.
EngageRocket, a Singapore-based workplace analytics provider, uses advanced analytical techniques to measure and rank employee feedback in real-time and provide bite-sized suggestions to support leadership and enhance employee engagement.
The ratings economy is not going away any time soon. Recruit Holdings acquisitions of Indeed.com and Glassdoor offers a glimpse into what lies ahead once the integration of job postings and employer ratings start to align.
Black Mirror comes to life!