Online Technologies and Their Impact on Recruitment Strategies: Using Social Networking Websites To Attract Talent

©SHRM Introduction Building relationships and networking has always been one of the best ways for staffing professionals to source job candidates and for job seekers to find jobs. The technological frenzy of the 21 st century is having a profound impact on recruiting strategies, whilst still allowing the human element of relationships to remain at the core. This survey investigated how staffing professionals are using online technologies, specifically social networking sites, for recruitment and screening of job candidates. Social networking sites provide a unique method of allowing staffing professionals to source, contact and screen both active and passive job candidates. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)

©SHRM Figure 1: Recruiting Sources Primarily Used When Recruiting Job Candidates Note: Percentages do not total 100% because multiple response options were used. Respondents were asked to select their top three primary recruiting sources. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) n=571 National online job boards, employee referrals and the career section of an organization’s website, are the primary sources used for recruiting.

©SHRM Table 1: Influences on a Hiring Decision From Information Implicitly or Explicitly Found on an Applicant's Social Networking Profile Would be much less likely to hire Would be somewhat less likely to hire Would be neither more likely nor less likely to hire Would be somewhat more likely to hire Would be much more likely to hire Unusual hobbies (n=43)2%5%93%0% Information or pictures concerning romantic exploits (n=42) 26%21%52%0% Involvement in volunteer or civic groups (n=44) 0%2%36%52%9% Revealing private or confidential information about former or current employers (n=44) 52%41%7%0% Personal views, values, and/ or morals contradictory to your own organization (n=44) 11%43% 2%0% Involvement in professional societies or organizations (n=44) 2%0%30%59%9% Information on the applicant’s profile page contradicts that provided on the applicant’s resume, cover letter, or CV (n=44) 52%41%2%5%0% Note: Percentages may not total 100% due to rounding. A subset of participants were surveyed. Those who don’t currently use social networking sites to screen job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)

©SHRM Table 1: Influences on a Hiring Decision From Information Implicitly or Explicitly Found on an Applicant's Social Networking Profile (continued) Would be much less likely to hire Would be somewhat less likely to hire Would be neither more likely nor less likely to hire Would be somewhat more likely to hire Would be much more likely to hire Information on the applicant’s profile page supports that provided on the applicant’s resume, cover letter, or CV (n=44) 0%5%34%46%16% Slanderous or otherwise negative discussion of former or current employers (n=44) 43%50%5%2%0% Negative or slanderous discussion of the applicant’s friends, peers, or coworkers (former or current) (n=44) 41%46%11%2%0% Excessive alcohol use (n=44)41%39%21%0% Personal views, values, and/ or morals similar to your own organization (n=43) 2%5%51%37%5% Illegal drug use (n=44)80%18%2%0% Positive or complimentary discussion of former employers (n=44) 0%7%55%30%9% Negative information has a greater influence on hiring decisions, than positive information. Note: Percentages may not total 100% due to rounding. A subset of participants were surveyed. Those who don’t currently use social networking sites to screen job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)

©SHRM Figure 2: Usage of Social Networking Sites as an HR Tool Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Social networking sites are being used more frequently now as an HR tool, than they were two years ago.

©SHRM Figure 3: Usage of Online Search Engines as an HR Tool Note: Percentages may not total 100% due to rounding. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Online search engines are being used more frequently now as an HR tool, than they were two years ago.

©SHRM Figure 4: Average Number of Hours Spent per Week on Social Networking Sites Related to Recruiting and Screening Applicants Note: Percentages may not total 100% due to rounding. A subset of participants were surveyed. Those who don’t currently use social networking sites to screen or recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) A few hours a week are spent recruiting and screening applicants on social networking sites.

©SHRM Figure 5: Usage and Intention of Using Online Search Engines and Social Networking Sites to Screen Job Applicants at Any Point in the Hiring Process Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Most organizations do not use online search engines and social networking sites to screen applicants.

©SHRM Figure 6: Usage and Intention of Using Social Networking Sites to Recruit or Contact Potential Job Applicants n=371 Note: Percentages may not total 100% due to rounding. A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Close to one-half of organizations do not use social networking sites to recruit/contact applicants.

©SHRM Figure 7: Methods Used on Social Networking Sites to Recruit or Contact Potential Applicants n=103 Note: A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) For recruiting/contacting potential applicants, social networking sites are primarily used to search for passive applicants.

©SHRM Figure 8: Points in the Hiring Process Where Social Networking Sites are Used to Screen Applicants n=51 Note: Percentages may not total 100% due to rounding. A subset of participants were surveyed. Those who don’t currently use social networking sites to screen job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Social networking sites are mainly used prior to contacting the applicant for the first time, prior to an interview and before extending a formal offer to the applicant.

©SHRM Figure 9: Existence of a Formal Policy for Using Social Networking Sites to Screen Applicants n=471 Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Most organizations do not have a formal policy regarding the use of social networking sites for screening applicants.

©SHRM Figure 10: Intention to Implement a Formal Policy for Use of Social Networking Sites to Screen Applicants n=208 Note: A subset of participants were surveyed. Those who have a formal plan regarding the use of social networking sites were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Most organizations don’t plan to implement a formal policy for the use of social networking sites for screening applicants.

©SHRM Figure 11: Job Levels Social Networking Sites are Used for to Recruit or Contact Potential Applicants n=125 Note: Percentages may not total 100% because multiple response options were used. A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Social networking sites are primarily used to recruit exempt/non- management and middle management applicants.

©SHRM Table 2: Effectiveness of Social Networking Sites for Recruiting Applicants at Each Job Level in the Past 12 Months Very ineffective Somewhat ineffective Neither effective nor ineffective Somewhat effective Very effective Non-exempt employees/ Non- management (e.g., assistant, secretary, retail, hospitality, etc.) (n=60) 10%12%40%32%7% Exempt/ Non-management (e.g., coordinator, specialist) (n=86) 4%11%26%49%12% Middle management (e.g., director, manager, supervisor) (n=75) 4%9%23%44%20% Executive level (e.g., CEO, CFO) (n=52) 12%14%29%31%15% Social networking sites are effective in recruiting applicants of all job levels, they are most effective for exempt/non-management and middle management positions. Note: Percentages may not total 100% because multiple response options were used. A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)

©SHRM Figure 12: Why Organizations Use Social Networking Websites to Recruit or Contact Applicants n=125 Note: Percentages may not total 100% because multiple response options were used. A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) The number one reason social networking sites are used is to recruit passive applicants who might not otherwise apply or be contacted by an organization.

©SHRM Figure 13: Why Organizations Do Not Use Social Networking Websites to Recruit or Contact Applicants n=246 Note: Percentages do not total 100% because multiple response options were used. A subset of participants were surveyed. Those who currently used social networking sites to recruit job applicants were excluded. “Other” includes reasons such as IT restrictions on these sites, legal ramifications for using these sites and having not considered using them as an option. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Not having enough staff time to recruit via social networking sites and questions about the veracity of the information obtained, prevents organizations from using such sites for recruitment purposes.

©SHRM Figure 14: Why Organizations Use Social Networking Websites to Screen Applicants n=51 Note: Percentages may not total 100% because multiple response options were used. A subset of participants were surveyed. Those who don’t currently use social networking sites to screen job applicants were excluded. “Other” includes reasons such as discovering the applicant’s character. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Social networking sites are used for screening because compared to the information that is gained little time/effort is needed and more information is gained about an applicant than through traditional methods.

©SHRM Figure 15: Why Organizations Do Not Use Social Networking Websites to Screen Applicants n=337 Note: Percentages do not total 100% because multiple response options were used. A subset of participants were surveyed. Those who currently used social networking sites to screen job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Questions about the legality of using social networking sites and not being able to verify the information on applicant’s profile pages with confidence prevents organizations from using such sites for screening purposes.

©SHRM Figure 16: Percentage of Organizations Collecting Data on Quality/Quantity of Candidates Sources Through Various Methods Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) More organizations track the number of qualified candidates sourced through various methods rather than the quality of qualified candidates.

©SHRM Table 3: Comparison in Quality of Applicants Recruited From Social Networking Sites and Other Sources Much worse Somewhat worse Neither worse nor better Somewhat better Much better Direct hire agencies/ search firms (excluding temp agencies) (n=75) 7%28%43%13%9% Regional online job boards (n=74)3%14%51%24%8% Internal job postings (n=82)9%26%44%20%2% Radio advertising (n=41)0%7%63%22%7% Open house events (n=57)9%12%53%18%9% Print advertising (n=72)4%15%36%24%21% Industry-specific/ niche online job boards (n=84) 8%18%46%19%8% Informal networking (n=83)6%23%49%11% Temporary agencies (n=66)3%17%38%21% Trade publications (print & online) (n=65) 5%15%49%20%11% Research/ sourcing firms (n=74)1%24%50%14%11%

©SHRM Table 3: Comparison in Quality of Applicants Recruited From Social Networking Sites and Other Sources (continued) Much worse Somewhat worse Neither worse nor better Somewhat better Much better National online job boards (e.g., careerbuilder.com, hotjobs.com etc.) (n=85) 4%20%42%24%11% Career section of organization’s websites (n=86) 9%21%49%14%7% Employee referrals (n=85)15%37%33%9%6% Job fairs (n=79)4%17%48%20%11% Online college recruiting (n=64)6%9%56%23%5% On-campus college recruiting (n=66)11%24%38%20%8% TV advertising (n=40)3%5%68%15%10% The quality of applicant’s recruited from social networking sites is predominantly “neither worse nor better” than other recruiting methods. Note: Row percentages may not total 100% due to rounding A subset of participants were surveyed. Those who don’t currently use social networking sites to recruit job applicants were excluded. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)

©SHRM Figure 17: Do Applicant's Social Networking Site Profiles Provide Important Information About an Applicant's Work Related Potential or Performance? n=402 Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Three out of 10 recruiters agree that examining an applicant’s profile can provide important information about their work related potential or performance.

©SHRM Figure 18: Do Applicant's Social Networking Site Profiles Provide Important Information About Whether or Not an Applicant is a Good Fit for an Organization ? n=400 Note: Percentages may not total 100% due to rounding. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Four out of 10 recruiters indicate that examining an applicant’s profile can provide important information about whether or not an applicant is a good fit for an organization.

©SHRM Figure 19: Organizational Industry n=403 Note: Percentages do not total 100% because multiple response options were used. Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Several industries were represented, especially services (profit) and health. Organizational Industry Services (profit)15% Health13% Manufacturing (durable goods)7% Finance7% Educational services6% Government5% Wholesale/retail trade4% Manufacturing (nondurable goods)4% Insurance4% High-tech4% Construction & mining/oil & gas3% Transportation3% Services (nonprofit)2% Telecommunications2% Utilities2% Newspaper publishing/broadcasting1% Other18%

©SHRM Figure 20: Organizational Sector n=402 Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) Most organizations that participated in the survey were either privately owned for profit or publically owned for profit.

©SHRM Figure 21: Organization Staff Size n=386 Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September) One-half of organizations that participated in the survey had more than 500 employees.

©SHRM Methodology In May 2008, SHRM conducted a survey about the use of social networking web sites and recruitment. A sample of 3,000 HR professionals with the job function of recruiting/staffing was randomly selected from the SHRM membership database, which consisted of more than 225,000 members at the time the survey was conducted. Of these, 2,797 s were successfully delivered to the recipients, and 571 HR professionals responded, yielding a response rate of 20% (the number of respondents is indicated by “n” in figures and tables). Source: SHRM Staffing Research: Online Technologies and Their Impact on Recruitment Strategies (2008, July - September)