Recruitment management systems: definition and tips

By Indeed Editorial Team

Published 13 November 2022

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.

Businesses often implement recruitment management systems (RMS) to hire and manage staff to maintain productivity and efficient workflows. These systems help businesses find and recruit the best talent in a streamlined fashion, which can save money and reduce staff turnover rates. Understanding more about these systems can help you select and implement one that best suits the needs of the organisation you work for. In this article, we explore what recruitment management systems are, what they do and what features they have, provide tips for implementing one and explore the benefits of using such a system.

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What is a recruitment management system?

Recruitment management systems perform the basic function of helping recruiters find candidates, review applications and onboard them by using data that optimises the process. These systems not only help the hiring process for businesses but also streamline and improve it in various ways. Applicant tracking systems are a common feature, and these organise all the items relating to the applications of candidates, like CVs and cover letters. They may also capture contact details so businesses can notify relevant candidates when positions become available.

These systems help businesses and recruitment staff organise the hiring process, collect and manage data and automate repetitive, time-consuming tasks. Below, you can find a list of the potential benefits businesses can experience by using RMS:

  • The software can conduct targeted searches to find candidates with the right credentials.

  • Managers can track the progress of applications throughout the hiring process.

  • Businesses can store applications on a centralised record.

  • Recruiters and candidates can receive automatic reminders about important tasks and actions.

  • Secure storage of all important documents can allow for easy retrieval.

Related: 6 stages of an effective recruitment process

What are the features and functions of a RMS?

RMS vary in their exact features and functionalities, but they all simplify the hiring process in some way. They typically receive data input, such as job applications and details of vacant positions, then they connect suitable candidates to positions automatically. Recruiters can track the progress of applications, enter information about jobs, manage recruitment processes and communicate easily with candidates. Because the software finds the most relevant people for open positions, it can help businesses reduce their staff turnover rate. They also offer tools for the ongoing management of staff, like analytics and performance review tools.

The needs of each business determine what they require from their RMS, so systems differ greatly in their features. They may include CV uploading functions, a way to send tailored messages to applicants and features for automating tasks like interview scheduling and email responding. When selecting a system for the business you work for, ensure you thoroughly understand what the company requires so you can choose a software package that can deliver it. You can explore the features of the various products online, as there are many articles reviewing these software programs and the developer websites also share information.

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How does an RMS work?

Recruitment processes can often be slow due to the number of physical and digital documents recruiters sort through when searching for suitable candidates. These systems can make this process much more efficient by removing unsuitable applications and highlighting suitable ones. These systems use data analytics tools, cloud-based software and customer relationship management features to streamline and enhance the hiring process. Here are some typical features you can find in RMS:

  • the ability to search for candidate profiles that match job description criteria

  • the function to create and manage job listings

  • the tools for scheduling meetings and interviews

  • a way to view a representation of the entire recruiting process of a business

  • the capabilities for processing background checks

Related: How to become a recruitment specialist (Plus definition)

Who uses RMS?

The vast majority of organisations can benefit from using a system such as this, with the only exceptions being companies that don't recruit people. Any organisation that can benefit from task automation, deadline reminders and time management tools in relation to hiring, can benefit from an RMS. For these reasons, organisations in all sectors make use of them. Because they help businesses cope with busy seasons, they're very popular with recruiters who hire multiple people simultaneously and don't want to sacrifice proper vetting. Here are some different types of professionals that often use these systems in their day-to-day activities:

  • Human resources directors or coordinators: A human resources (HR) department may use an RMS more often than other employees to review candidates' profiles and onboard new employees.

  • Hiring managers: Managers who want to hire employees within their departments may also use these systems to select their best choices before contacting HR personnel who make final decisions.

  • Department leaders: Some department leaders may also use these systems to input their opinions into their company's hiring process and may filter applicants accordingly.

  • Staff members: Current staff members within a company may also use these systems to apply for an internal position or to reference their job description or onboarding paperwork.

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Tips for choosing the right RMS

When looking for a suitable RMS, consider the needs of the company you work for, what you want to achieve by implementing the system and any specific features you require. For example, if you need a feature that lets you integrate the system with your existing applications or allows you to send automatic responders to candidates, look for a product that offers that. If you're unsure about anything, you can contact the software developers directly and ask them about specific details. They may be happy to discuss their offerings with you and help you find something suitable.

If you're interested in recruiting with an efficient system, here are some key features to consider when choosing one:

  • Communication: This includes sending emails and messages to candidates, tracking how many times candidates view job offers and monitoring when candidates accept offers.

  • Selection: The right recruiting software can help introduce your job posting to candidates who match your requirements.

  • Compatibility: It's also important to ensure that the software you select is compatible with your computer network and is easily accessible while travelling or working remotely.

Once you have chosen a system for your business, consider running a training session that teaches managers and staff how to use it effectively. This can help them acclimatise to the new system and ensure they use it properly from the outset.

Related: 10 common recruitment challenges for HR professionals

Benefits of RMS

Implementing a system to help manage recruitment can be highly beneficial for businesses. Here are just some of the potential benefits you can find in using RMS:

Improves recruitment efficiency

These systems can enhance the efficiency of the recruitment process in various ways, such as by reducing the amount of time staff spend sorting through CVs and individually responding to emails. By automating several time-consuming tasks, RMS can free up time for staff and managers, who can then spend that time in other productive ways. They can also assess multiple candidates at the same time whilst also maintaining proper assessment standards. This boosts the efficiency and productivity of recruitment, saving businesses time and money.

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Offers useful data insights

One of the most valuable aspects of these systems is their ability to produce data on the recruitment process that professionals can use to optimise it. After HR staff onboard new recruits, the system can track their performance to see how effective the hiring process is and how good a match the candidate is for the position. This offers a way to measure how effective recruitment processes are within organisations and see the effects of the new system. Data insights can also reveal ways to further improve efficiency by revealing any wasted time and resources and identifying opportunities for improvement.

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