The Importance of HR Market Research

The Importance of HR Market Research

Why HR Market Research Is Importnat before starting Recruitment Process

A HR market research is the first stage of every big project. The Human Resources are important part of the business plans and having realistic expectations will facilitate the business taking the right decisions.
Recruitment and HR consulting firms can greatly benefit by conducting market research. It helps you understand the current and local market trends. Moreover it also provides an insight into how and to attract new talents.
Searching for top talent in today’s competitive recruitment market takes more than an attractive job description and a strong sense of company culture. With high unemployment rates, targeting quality job applicants requires an in-depth understanding of your job market – an area that many employers often disregard.

Here are five ways HR market research can support your recruitment process:

  • 1. Talent Pool

The number of professionals appropriate for the researched positions is hard to be identifyed. However a HR and recruitment firm could outline representative limits, which are good starting point for any hiring activities.
Moreover, HR market research helps you understand what factors drive people when they apply for a job. It can even help you identify different ways candidates seek employment.

  • 2. Market salary levels

Payment range are among the most important research directions. HR market research from recruitment agency like Horizons Bulgaria provides average limits for the research profesiionals and their current payment and expectations.
The focus here is the market. Keep in mind, each market varies greatly and could require significantly higher or lower salary range to capture talent. Many employers make the mistake of looking at national salary averages for a position to determine what they should be paying.

  • 3. Recruitment specifics and challenges

The qualifications and desired skill set of a position can make it harder or easier to fill. It depends on your market and the talent available. Assessing the hiring difficulty can give you a realistic idea of whether or not your position requirements align with similar positions in your market and how long it will take to fill. There are many factors to consider when assessing hiring difficulty. Some of them are number of current openings that share your target candidate pool within your market, potential candidates in the workforce and their number and unemployment rate.

 

Depending on insights provided by the HR market research, you may need to modify your job description or enlist the help of a third-party recruitment agency that specializes in hard-to-fill positions.

Such specific research shows that the explored market is particularly challenging, considering other market locations to attract top talent may be your best option. Understanding where talent resides outside of your local market supports with determining where you want to target your recruitment efforts. If you decide to concentrate recruitment efforts outside of your market, be prepared to help with relocation.

  • 4. Competitive Analysis

It is an important part of the overall research, which gives a frame of realistic HR expectations for the local market and outlines comparissons and assumptions regarding future business aims.
When multiple employers compete for talent, job seekers often have stronger negotiating power. Be informed what your competition will offer and be ready to give something just as appealing.
Evaluating employers who are currently hiring for similar roles and employers who have hired for similar roles in the past will give you a better understanding of where your company falls in terms of benefits and attractiveness compared to the competition.

  • 5. Statistics Data

Be informed that The Bulgarian Statistics Institute maintains data of regular surveys covering major aspect and they will be included in the HR marker analysis on Labor Market, Average annual wages and salaries and others.

Takeaways

Understanding the factors that drive candidates’ decisions is critical to your recruitment success in today’s competitive recruitment market. Having an in-depth HR market analysis can help you craft the right employment offering and reduce your time to fill.
HR Market research helps you to hire smartly and efficiently. You can leverage the data obtained through market research and tackle various hiring problems. Analyze the information and use it to create your hiring strategy.

If you are wondering how to choose who to trust for HR market research partner, trust Horizons Bulgaria. More about the conditions and other information about the this service offered by us here.

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