Annual salary surveys are a powerful tool, but they always have a lag time. Salary benchmarks can change a lot, especially in a fast-moving talent market like the one we are currently in. This leaves a lot of opportunities on the table for better talent market data.
Lucky for us, there is a solution to this. Since most recruiting activities are happening online, more data on talent demand, supply, and compensation are available than ever before. The best recruiting teams can incorporate this external data to inform their hiring strategies. For example, remote working and the proliferation of data make it possible for teams to use recruiting analytics to find talent arbitrage opportunities.
Recruiting analytics has many usages and their capability is growing over time with talent market intelligence. Here is the definition for talent market data along with five use cases of how talent market intelligence can be utilized in recruiting analytics.
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What is Talent Market Intelligence?
Talent market intelligence refers to the collection of external data on labor supply, demand, and salary benchmarks that teams can utilize to gain a competitive edge over their competitors. Below are the types of data that go into these datasets:
Job posting data on career sites
Job board data
National and regional salary surveys
Talent supply study
Most solutions in this space focus on providing access to a diverse set of talent market data that users can extract, download, and use at their own discretion. Users would have to do all their own data aggregation, cleaning, and analyses. This is the ideal solution for companies with a large, dedicated data science team since it offers a wide range of data and deployment options.
The other group of vendors integrates talent market data into their system and provides companies with access to a set of out-of-the-box analyses and reports. With this solution, users can significantly reduce the workload and time involved in the data preparation and analysis process. This type of solution is ideal for teams that are new to recruiting analytics and do not have the bandwidth to make this happen.
Use Case 1: View Hiring Trends by Job Position and Location
Having insights into hiring trends by job position and location allows recruiting teams to better allocate their time and effort in the market that would give them the best chance of success. Teams can use these data sources to respond quicker to the changes in the talent marketplace.
Use Case 2: Compare Talent Supply vs Talent Demand by Job Position
Being able to cross-compare talent supply and demand allows management to better adjust their workforce plan to address talent shortage issues.
Use Case 3: Find Cities with the Most Abundant Supply for a Job Position
Another high-value use case for talent market data is finding cities with the most supply and least demand for a specific job position. This is particularly useful when a company is creating hiring strategies for critical or hard-to-fill positions such as software engineer or registered nurse. Below is an example screenshot taken from SOLVE™️ Competitive Talent Intelligence.
Use Case 4: Compare Talent Supply and Demand Between Two Locations
When a company is looking to expand or relocate, Finance runs an extensive cost and benefit analysis that compares operational expenses, tax savings, and other financial costs to evaluate all of the options. However, talent supply, demand, and costs are often not included. This is major hindsight and happened due to the fact that teams did not have easy access to this type of data in the past.
Use Case 5: View and Track Competitor’s Hiring Activities
Talent market intelligence reveals strategic talent movements within companies. With this source of benchmark comes the ability to track when and where competitors are hiring or firing employees. This allows management to intervene quicker.
Talent Market Intelligence in the Future
Talent market intelligence is a remarkable data source that is often overlooked and not utilized to its maximum potential. This is because most recruiting teams do not have the technical knowledge and capability to bypass data integrity issues and incorporate analytics modeling for quick analyses. This has changed with the emergence of talent market data solutions like SOLVE™️ Competitive Talent Intelligence.