How to Calculate ROI on Recruitment Software?

Return on Investment (ROI) is the profit or loss incurred on an investment, which you receive on an annual basis. It usually calculated on investments like property, gold, stocks, etc. While calculating the ROI, the gain from an investment is divided by the total cost of investment. The result is expressed in the form of a percentage or ratio.

If you are into the business of recruitment, investing in a quality recruitment software could earn you more than 200% ROI. Wondering how you can calculate this accurately? Well, it’s pretty simple. The easiest method adopted to calculate ROI is to divide the profits derived by the total cost of investment.

There are a number of factors on which the ROI on recruitment software that you earn would depend on. The advantages of automating your hiring processes using recruitment software are what contribute towards this high ROI. Some of these factors are listed below:

• Recruitment software helps close more positions in less time, thereby decreasing the cost per hire.
• A centralized database ensures that resumes are made available to all recruiters, so that positions can be closed faster. This also reduces the cost involved in job portal subscriptions.
• Recruiter efficiency and productivity is increased as automating recruitment helps them carry out mundane tasks faster and focus on recruiting quality talent.
• Automating recruitment using recruitment software makes the entire process paperless and less manual.
• Extra revenues can be generated due to owner's ability to see the bigger picture and re-prioritize efforts on a daily basis.

Investing in recruitment software can surely earn you a better ROI if it is leveraged appropriately. To check your ROI, you can download a recruitment software ROI calculator from our website, plug in your own numbers and check the returns. Download the calculator from http://www.nitman.co.in/docs/Talentscout%20Pro%20ROI%20Calculator.xls