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With tech companies under more pressure than ever before, HR departments need to move fast. From attracting top talent to creating competitive job offers and ensuring a seamless candidate process, there’s a lot to achieve in a short space of time.
One way HR departments can streamline their planning to optimise recruitment and retention is to make the most of the data from their chosen salary benchmarking tool. In this blog, we’ll explore three of the main ways this data can be used to give your planning a boost.
3 ways salary benchmarking can supercharge your organisation
HR tech tools and solutions are becoming a key component for forward-thinking companies, with 68% of HR leaders using this technology to improve efficiency and streamline their recruitment and compensation strategies. Here are three ways the data from your salary benchmarking tool can be used to get ahead of the competition.
#1 Save time collecting benchmarking data
Collecting your own data to benchmark wages can take a significant amount of time.
From reaching out to recruitment firms to collaborating with colleagues at other companies or even asking candidates themselves, collating these results takes time. Once you’ve collected your salary benchmark data, you need to work out a way to store and analyse it effectively. But before you’re even finished, your results are probably out of date.
By using a salary benchmarking tool, you can have immediate access to high-quality, up-to-date data from a wide range of sources. This data can then be used to create competitive job offers and salary reviews in less time than before.
For example, Figures compensation data is drawn from a large number of companies across a wide range of geographical regions. By filtering this down to specific industries, seniority levels, and locations, it’s possible to quickly develop attractive salary offers that still fits your budget.
#2 Create competitive job offers
Tech candidates aren’t sitting around waiting to accept your job offer. If your time to hire is too long, the chances are the top talent will have accepted a job offer from another company before you’ve even sent a letter of offer.
LinkedIn reports that the average hiring process across all industries is 36 days — but 55% of candidates think an offer should be made in less than two weeks from a first interview.
What about top talent?
They’re usually off the market within just 10 days. Recruitment tech like a salary benchmarking tool can help you quickly establish a competitive (but realistic) offer so you can optimise your time to hire and secure the best candidates before anyone else. More candidates are also pushing back on offers, with 75% of recruiters saying they’re seeing an increase in salary negotiations. The data from your salary surveys can be used to set a competitive offer that still allows room for negotiation.
When real estate agency MeilleursAgents experienced rapid growth, they needed to combine hiring top talent with promoting employee loyalty. To achieve these goals, they were looking for a source of reliable and up-to-date compensation data that was also easy and intuitive to use. Enter Figures. Thanks to our salary benchmarking data, MeilleursAgents were able to secure the top talent with appropriate offers, increase employee retention, and set salaries in less time than previously possible.
#3 Retain top talent with salary reviews
Employee turnover within the tech industry is higher than average, with a lack of salary reviews being one of the main reasons employees may start looking for another role. Offering regular performance reviews can help retain employees in addition to boosting engagement and satisfaction. When employees feel like they’re being fairly compensated for their time, effort, and expertise, they’re more likely to remain with a company.
But finding the data to back up any salary review decisions can take a lot of time to collate, which means salary reviews might not happen as often as they should.
Using a salary benchmarking tool with accurate, up-to-date data is a powerful way to elevate employee reviews and offer competitive salary increases in line with performance, while also taking into account market adjustments. Rather than relying on out-of-date data and instinctive decisions, switching to an informed strategy using the average salary survey data from a benchmarking tool is the way to go. Doing so also promotes a culture of trust and openness, because you can easily show how and why each decision is made.
Take organisation to the next level, with pay benchmarking
How organised (or not!) your HR department is has a direct impact on both your hiring processes and people management. And in turn, these have a huge impact on employee retention and satisfaction. Investing in new technology is one of the best ways to improve HR efficiency to create a productive, engaged workplace.
Join Figures now and improve your internal organisation thanks to our intuitive and easy-to-use compensation platform.
Looking for more resources, tools and content?
That's why we created Figures, you don't need to be a compensation expert, we are. With our an all-in-one compensation platform updated in real-time, expert HR and People insights, we want to make your job more efficient and power more fair decisions.
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