Applicant Tracking System Guide 2006


Applicant Tracking System GuideAn Independent Analysis of Leading ATS Software Providers2006

The 2006 Applicant Tracking System Guide (ATS Guide) was developed’s Strategic Services Group in partnership with The Code Works, Inc., a SiliconValley based software consulting and development firm, specializing in custom applicationdevelopment and integration.About’s Strategic Services GroupThe Strategic Services Group provides independent analysis and consulting services to assistorganizations of all sizes and industries in the selection and implementation of recruitment technologysolutions. To inquire about our services, please contact us via email at The Code WorksThe Code Works ( consults on all aspects of the software developmentlifecycle, including technology strategy, requirements gathering, software selection, design andimplementation of custom software and application integration. The Code Works currently services anumber of clients in the HR and staffing industry and are recognized thought leaders in the areas of web based candidate and client portals, services e procurement, vendor management systems and HR XML based integration. 2006 LLC All Rights Reserved.All information provided by LLC in any form is proprietary to LLC,and is protected by U.S. and foreign laws governing intellectual property.The information contained in this publication may not be reproduced or redistributed in any form withoutthe prior written consent of LLC200 North LaSalleSuite 1100Chicago, Illinois 60601773.527.3600www.careerbuilder.com2 2006 LLC. All rights reserved.

Requests for quotes, excerpts or interviews should be submitted to of ContentsForward. 4Introduction . 5Executive Summary. 8Market Trends . 8Vendor Overview. 10Vendor Comparison. 12Vendor Details. 15Advanced Personnel Systems, Inc.Bernard Hodes GroupBrassRing Systems LLCCeridian (formerly Recruiting Solution International, ereless SystemsRecruiternet, Inc.Recruitmax Software, Inc.SilkRoad Technology, Inc.SonicRecruitTaleo Corporation (formerly Recruitsoft)VirtualEdge CorporationWebhire, Inc.WetFeetAutomated Sourcing Solutions. 140AIRSData FrenzySample RFI . 142Glossary of Terms . 1553 2006 LLC. All rights reserved.

ForwardIt is my pleasure to present our 2006 Applicant Tracking SystemGuide. We first released this guide in 2003 at the same time we launched our StrategicServices Group. The positive response we received was overwhelming.Since this time, we have expanded the depth and breadth of our services to includetechnology integration, source tracking, career site hosting and much more to ourstandard products.There are a number of similar publications out there, but is the only resource to offer acompletely independent and unbiased review. Due to our vast experience working with ATS vendors andtheir systems, our Integration Services Specialists have first hand knowledge of these products and ourclients’ experiences with them. We do not invest in or offer our clients a single ATS solution nor do wepartner with any providers or accept commissions or referral fees. Instead we invest our time and energyinto being the leader in our industry, offering our clients a total recruiting solution that continuouslydelivers goes beyond what you would expect from an online recruiting resource, helpingcompanies save time, reduce costs and improve efficiency. Whether you just need the basics on ATS orneed to put together an RFP, you’ll find everything you need in this easy to read guide. We are confidentthat you will find this to be a valuable tool regardless of what stage your organization is in the technologypurchasing process.Matthew FergusonChief Executive Officer4 2006 LLC. All rights reserved.

IntroductionWhether you are considering a new Application Tracking System (ATS) or upgrading your current system,the ATS Guide provides you with a comprehensive tool to analyze key features from19 leading solutions.Since the 1980’s, ATS’ have gained tremendous momentum. The rapid pace of technology has led tonewer, more advanced versions. Growing from a stand alone product, current ATS solutions usually fallinto one of four general groups:····An addition to an ERP/HRMS,part of a Talent Management Suite,part of a Talent Acquisition Suite, oran e recruitment toolATS’ were initially offered as stand alone installations. Today, Application Service Provider (ASP)model/hosted solutions are available in addition to on site licensing. In the on site licensing model, theapplication is housed on a server at the customer’s location and the software is licensed from the vendorfor a fee. With the ASP model, the customer pays a subscription fee and system performance is managedto a service level agreement (SLA).What exactly is an Applicant Tracking System?Applicant tracking software covers a gamut of functions that allow companies to streamline and automaterecruiting processes to increase efficiency, improve accountability, expand reach and reduce costs. Corefunctionality offered by most ATS’ includes:····Job requisition process automation (e.g., creating the job requisition, posting the requisition oninternal and external websites such as job boards and college campus resources)Sourcing automation (e.g., tracking resumes from their source through the recruiting process,collecting resumes from email, hard copy, etc. and detecting duplicate resumes)Candidate prescreening and interview collaboration, scheduling and communicationsReporting and analytics (e.g., key metrics, compliance and other analytics)“We think in generalities, but we live in detail”1The above quote applies when looking at ATS’. On a broad level, all ATS’ offer very similar capabilities;however, when exploring the details, we find differences among the systems whether it be in theworkflow, approach or design. This ATS Guide identifies the key differences among these systems,allowing you to identify which vendors will ultimately meet your most important needs. Furthermore, thisguide serves as a resource, helping you to make better informed decisions when it comes to streamliningyour recruiting process.1Alfred North Whitehead (1861 – 1947), English mathematician and philosopher5 2006 LLC. All rights reserved.

What is the purpose of this guide?Our goal is to provide you with insight into the key areas that differentiate current ATS’ and to empoweryou with information about the many choices available. Questions like how long the company has been inbusiness and what is a vendor’s financial status provide insight into the vendor’s stability and likelihood ofbeing in business five or ten years down the road. Additionally, understanding the differences between afull product suite offering and a streamlined, user friendly product, allow you to decide which system bestsuits your corporate culture and business methodology.This guide provides you with an opportunity to compare a number of different ATS solutions to help younarrow down your criteria, to better propose RFIs and perhaps demo the products and develop RFPs. Toassist you, we’ve included a sample RFI. Upon reviewing the information contained in this guide, weencourage you to contact a Integration Services specialist to assist you with decidingwhich products to pursue.Which vendors are covered in this guide?This guide includes profiles of 19 leading solutions that serve a range of companies across a variety ofindustries. They include:Advanced Personnel Services, Inc.SmartSearch OnlinePereless SystemsPereless System i7 (Enterprise)Bernard Hodes GroupHodes iQRecruiternet Inc.ProjectixBrassRing Systems LLCEnterprise 7.5Recruitmax Software, Inc.Recruitmax Corporate EditionCeridian(formerly Recruiting Solution International, Inc.)Ceridian Recruiting SolutionsSilkRoad Technology, Inc.OpenHire Applicant Tracking it Applicant TrackingHRLogixJobLogixTaleo Corporation(formerly Recruitsoft)Taleo ProfessionalHRsmartATsmartVirtualEdge CorporationVirtualEdge Enterprise Staffing SuiteiCIMSiRecruiterTMWebhire, Inc.Webhire RecruiterKenexaKenexa Recruiter Applicant Tracking SystemWetFeetWetFeet RecruiterPeopleclickPeopleclick Recruitment Management System (RMS)The following pages contain a comprehensive analysis of each company’s core solution along with asnapshot of each system’s unique features. Additionally, we provide you with detailed information oneach company, including key clients and a financial overview. We also include information on twospecialized, automated sourcing solutions that support ATS’ — AIRS and Data Frenzy.6 2006 LLC. All rights reserved.

What methodology was used?An independent resource, The Code Works Inc. compiled profiles on each vendor from data gatheredthrough questionnaires, live product demonstrations and conversations with vendor personnel.Which vendor is the best match for my needs?Because each company’s recruiting needs are unique, it is nearly impossible to find an ATS that will meetall of your requirements. Before diving into the software, review your recruiting processes and workpractices and identify the most critical business requirements. From there, you will be well positioned toidentify “must have” ATS features and to evaluate how well an ATS will fit into your recruitingenvironment. Questions to ask during your software evaluation should include:·····Does the ATS integrate with my pre existing HRMS system?Does the ATS reduce redundant resumes?Does the ATS improve searching for applicants within the system?How easy is the ATS to use?Are there customized or improved reporting capabilities such as applicant source tracking?Identify a short list of vendors that offer a feature set that is aligned with your business needs and fits intoyour technical environment. This approach will allow you to make the best decision as well as shortenyour decision making timeframe.What else is included in this guide?In addition to detailed vendor information, this guide highlights key trends and gives you an executive level overview of our results. At the end of this guide, you will also find a helpful list of questions to includein your RFI/RFP and a glossary of acronyms that you may encounter during your ATS research.7 2006 LLC. All rights reserved.

Executive SummaryThis guide reviews 19 leading ATS solutions. Although a few vendors have industry specialties, such ashealthcare, all are capable of supporting a wide array of industries. After a thorough review, it is clear thateach software solution possesses unique strengths.Please refer to the Vendor Overview and Vendor Comparison charts, beginning on page 10, for a high level summary overview of each company and its system’s features. The Vendor Details section providesadditional information about each vendor’s core product.As you review this guide, keep in mind that new software features and versions are constantly beingrolled out. Consider using the guide as a starting point for your research and contact Integration Services specialist who can assist in your ATS selection process.Market TrendsThe ATS market is ever consolidating and continuously producing newer versions of software, taking ATScapabilities to new levels. By 2008, market forces will cause 25 percent of the e recruitment vendors to goout of business or be acquired (0.7 probability).2To differentiate themselves, ATS vendors are automating more of the e recruitment process. ATSvendors are joining forces with third parties to strengthen their feature set and to offer additional, value added services. Integration with value added service providers enables recruiters to reduce time to fill byautomating common recruiting tasks like background checks, skill assessments and job board posting. Itis also common for ATS vendors to embed leading edge technology within their ATS such as resumeparsing tools and best of breed search engines. New technologies and industry standards (e.g. webservices, HR XML) have enabled ATS vendors to quickly integrate with other service and solutionsproviders to seamlessly offer additional features and to automate a greater portion of the end to end e recruiting process.The scope of e recruiting solutions is expanding. There are two key areas where ATS’ are consistentlyincreasing their scope. The first is assessment. ATS and third party vendors are offering a variety ofassessment methods to reduce hiring costs and improve retention rates and other key metrics. Whetherdoing online technical skills assessment, simulations or other methods of checking a candidate’s potentialfit, the ability to correctly staff an individual into a position is becoming more and more important.Second, resume parsing capabilities are included in all leading solutions. Resume parsing offers clearbusiness benefits for companies of any size. ATS are able to accept a wide variety of resume formatsand automatically populate required fields with a high degree of accuracy.ATS have also expanded their scope in terms of the type of candidate hires they support. Traditionally,ATS have focused on automating the placement of permanent employees. ATS solutions have started tosupport a broader range of employment types, especially the hiring of temporary employees. ATSvendors are extending their solutions to provide Vendor Management System (VMS) functionality. VMSsoftware enables hiring companies to publish job requisitions to multiple staffing companies and managetheir candidate submissions to reduce time to fill and encourage competitive pricing. Extending ATS toinclude VMS functionality helps companies manage and report on permanent and temporary hiring withina single system.2J. Holincheck, “E Recruitment Software Market Trends, 4Q04,” G00124531, Gartner Research, November 20048 2006 LLC. All rights reserved.

As ATS extend the scope of business process they support, a new set of acronyms has been introduced.ATS that incorporate contingent and permanent workforce procurement are also known as TalentAcquisition Suites (TAS). Talent Management Suites (TMS), another related term and technology, takeTAS one step further by integrating broader HR functions such as performance management, careerdevelopment, succession planning, and learning and compensation management. Taking it one stepfurther are Talent Workforce Acquisition (TWA) systems, which are evolving to integrate the end to endstaffing process. Currently no company provides this type of solution; however, it appears as if the marketis heading in this direction.3 TMS, TAS and TWA provide the opportunity for in depth and consolidatedreporting for a increasing broader view of the recruiting process, which may be difficult to obtain if multiplesystems are used.3Allen Schweyer, “Total Workforce Acquisition: Integrated Technologies to Support the Entire Staffing Cycle,” Human CapitalInstitute/Peopleclick, October 20049 2006 LLC. All rights reserved.

Vendor OverviewThe following table provides a high level overview of each vendor to help focus your research. Each vendor has a more detailed profile beginning on page 16.Client Base Size(% of employees)Company NameProduct NameYears inBusiness(as of 2006)CompanyTypeCompany HQ# ofEmployeesActiveClients 5,0005,000 20,000 20,000Advanced PersonnelSystems, Inc.SmartSearch Online21PrivateOceanside, CA 5072235200Bernard Hodes GroupHodes IQ36PublicNew York, NY 750234532185BrassRingBrassRing Enterprise7PrivateWaltham, MA 30056035185CeridianCeridian RecruitingSolutions74*PublicMinneapolis, MN , TX 15033283465HRLogixJobLogix5PrivateOklahoma City, OK25702010150HRsmartATsmart12PrivateRichardson, TX 100108010460iCIMSiRecruiter7PrivateHazlet, NJ 10075205250KenexaKenexa RecruiterApplicant TrackingSystem19PrivateWayne, PA 600255025160PeopleclickPeopleclick RecruitmentManagement System11PrivateRaleigh, NC 31047282521010 2005 LLC. All rights reserved.

Vendor Overview (cont’d.)Client Base Size(% of employees)Company NameProduct NameYears inBusiness(as of 2006)CompanyTypeCompany HQ# ofEmployeesActiveClients 5,0005,000 20,000 20,000Pereless SystemPereless Systems i76PrivateShrewsbury, NJ 10030601082RecruiternetProjectix7PrivatePortland, ME 1002060201203503040301000Recruitmax SoftwareRecruitmax CorporateEdition10PrivatePonte Vedra Beach,FL, North America /London, UK – EMEA/Sydney, Australia,Asia PacificSilkRoad Technology,Inc.OpenHire ApplicantTracking10PrivateWinston Salem, NC 50305020 20011PublicEmeryville, CA 1004040201507PublicSan Francisco, CA 550154045265Taleo CorporationSonicRecruit ApplicantTrackingTaleo ProfessionalVirtualEdgeCorporationVirtualEdge EnterpriseStaffing Suite8PrivateYardley, PA 10036333190WebhireWebhire Recruiter24PublicLexington, MA 10081163 200WetFeetWetFeet Recruiter12PrivateSan Francisco, CA 10074111638SonicRecruit* Note: Company has been in business for 73 years but began offering the recruiting product in 1998.Key: approximately less than greater thann/a not available* See notes11 2005 LLC. All rights reserved.

Vendor ComparisonThe following chart provides a quick comparison of each vendor’s solution. For in depth information, please see individual reviews beginning on page 16.Company NameProduct NameDemand &SupplyPlanningExternal stemReplacement &Data MigrationInterfaceTypeAverage TimeRequiredDouble ByteCharactersAvailableAverage TimeRequiredMajor SoftwareReleasesClient VersionsSupportedAdvancedPersonnelSystems, Inc.SmartSearchOnlineYDirect &Third party2 6 weeksInDevelopment1 8 weeksEvery 14monthsSingle versionBernard HodesGroupHodes iQNDirect4 5 weeksY12 weeksAnnuallySingle versionBrassRingBrassRingEnterpriseYDirect &Third party8 weeksN8 10 weeksTwice a year1 release prior tocurrent versionCeridianCeridianRecruitingSolutionsYDirect &Third party4 20 weeksNUnder 1 week 4 weeksQuarterlySingle versionHire.comHireEnterpriseYDirect &Third party4 12 weeksN2 4 weeksInformation NotProvidedInformation NotProvidedHRLogixJobLogixNThird partyInformationNot ProvidedYApproximately8 weeksAnnuallyInformation NotProvidedHRsmartATsmartYDirect &Third party4 6 weeksInDevelopmentApproximately5 weeksAnnuallyAll versionsiCIMSiRecruiterNDirect &Third partyTypically 1 2weeksY*2 4 weeksQuarterlySingle versionKenexaKenexaRecruiterApplicantTrac

Ceridian (f ormerly Recruiting Solution International, Inc.) Ceridian Recruiting Solutions HireEnterprise HRLogix JobLogix HRsmart ATsmart iCIMS iRecruiterTM Kenexa Kenexa Recruiter Applic