What does yield ratio measure in the recruitment process?

The yield ratio is a critical metric in the recruitment process as it measures the effectiveness of the recruitment strategy by assessing the recruitment funnel. Specifically, it quantifies the proportion of candidates that move through each stage of the selection process, starting from the initial pool of applicants to those who are actually hired. By focusing on the number of applicants who successfully progress through multiple selection stages, this metric provides insights into the quality and effectiveness of both the recruitment methods and the selection criteria used.

A high yield ratio typically indicates that the recruitment sources are effective in attracting suitable candidates who represent the desired qualities needed for the job. It can also highlight areas in the hiring process that may require improvement, such as candidate screening or assessment methods. This metric allows HR professionals to make data-driven decisions to optimize their recruitment strategies and enhance overall talent acquisition.