Data management has always been a fundamental element of recruitment; however, with the rise of new wave technology and impending arrival of GDPR it is critical that all data is managed correctly throughout all functions and levels of the organisation.
The rise of automation and AI has introduced a variety of tools to the recruitment industry that make administration and other low-level tasks that much easier, freeing up consultants to focus on doing what they do best – building relationships. That said, this new technology relies on big data to operate, and the success of this technology relies on getting the data management function right. Furthermore, GDPR will introduce new regulations regarding data sharing, security, and individuals’ data rights; which will have a significant impact on how candidate and client data is processed.
With several individuals at various levels of the business entering data on to a centralised CRM system, ensuring data is accurate and compliant is essential at point of entry. Good quality data benefits all areas of the business; including but not limited to decision making, productivity, compliance and marketing. Alternatively, bad quality data will lead to overlooked candidates and leads, lost revenue due to those missed opportunities, and potential reputational damage.
So, what is essential when it comes to data management in recruitment?
- Explicit consent – from candidates and clients to share information when necessary
- Source – where information is coming from and why
- CVs – awareness and consent must precede any revisions made
- Job titles, categorisation and skills – data accuracy is important for searching and matching, if it’s not correct it can lead to overlooked candidates who may be a good match for a job!
- Notes and emails – craft content in a way that you would want to be spoken about if you were the subject (or on the receiving end)
- Housekeeping – report inaccuracies, duplicate profiles, and errors immediately
And the cost of bad data?
- Loss of 12% or more of annual revenue; with the biggest contributing factors including duplicate data, incomplete data and outdated data
- 1-10-100 rule – refers to the hidden costs associated with poor quality, remediation costs more than prevention, and failure costs more than remediation
If client and candidate data isn’t gathered, used, stored and disposed of in a way that adheres to GDPR, businesses can face fines of up to 2% of their annual turnover not to mention the knock off effects. It is therefore imperative to conduct a data audit, make any necessary revisions to data policies, and get your team up to speed. It’s fair to say that one day all data management functions will be automated; however in the meantime it is important that all business entities get on board with high quality data management before issues arise. Ultimately, you should treat candidate and client data the way you would want your own data to be treated!
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