How to Calculate and Reduce Time to Fill Metrics

In recruitment, hiring managers are not only tasked with sourcing the best candidate for a role. They also need to build an efficient strategy to maintain the workforce plans and hiring timeline.

Time to fill metrics can be a major help in maintaining the hiring efficiency, allocation of recruitment costs, and overall performance of the hiring team.

To know more about this metric, read on as we discuss how it works, its distinction from time to hire, its importance, and how to calculate and reduce it for a better hiring experience.

What is time to fill?

Time to fill is a metric that shows how long a vacant job position gets filled, from job requisition to candidates accepting the role. Its formula is (Date of Job Acceptance – Date of Job Posting) = Time to Fill.

A company's average time to fill metrics varies based on factors like company size, industry, and location. Larger companies tend to have shorter duration to fill due to more resources, and industries with higher demands of workers also have less duration to fill.

To find out how market competitors are recruiting based on industry and location, Real-time Job Posting Salary Data Solution has access to millions of job postings that will help you benchmark competitive pay and recruiting strategies, leading to a more effective time to fill.

How does time to fill work?

Time to fill metrics is used to show how long it takes to complete the hiring process. This helps determine how and when to endorse open roles, attract qualified candidates, and hire employees.

A longer duration to fill a position might indicate that the hiring strategy is not as efficient and needs revision. Meanwhile, a shorter duration might mean that the company is right on track with its talent acquisition strategies.

Once a time to fill benchmark is established, the company will have significant insights on when to start the job requisition to fill roles in a timely manner, provide an informative timeline on the expected acquisition of talents, and allocate a proper budget.

Differences between time to fill vs time to hire

While they are often used interchangeably, there is a difference between time to fill vs time to hire, and it lies on their definition, duration, and purpose.

	Time to Fill	Time to Hire
Definition	It measures how long the hiring process takes to complete.	It measures how fast you find a selected candidate.
Duration	It starts when the job requisition is approved and ends when the candidate accepts the job offer.	It starts when the candidate applies and ends when the candidate accepts the offer.
Purpose	It can be used for business planning and the improvement of the hiring process.	It can be used to determine candidate experience and to optimize the recruitment process.

Importance of time to fill metrics

Time to fill metrics is not only a measurement of how long the hiring process is. It also has significant indications that can help companies optimize their talent strategies. Here is the importance of the metrics:

• Opportunity to plan better recruitment

  In understanding the length of your hiring process, you can anticipate when to start hiring for a role on time, revise workforce planning to shorten lengthy time, and effectively manage proper turnover and onboarding procedures.

• Measure of performance

  The duration to fill a role can indicate the progress and execution of the recruitment team. It gives the company a key performance indicator (KPI) that evaluates the success of the entire recruiting process and uses it for improvement.

• Recruitment cost reduction

  Vacant positions cost money due to payments for job ads and employee overtime to fill roles for the meantime. The time to fill metrics is used to minimize the hiring cost by optimizing the duration of job postings and hastening talent acquisition appropriately.

How to calculate time to fill

Here is a step-by-step process of calculating time to fill:

1. Step 1: Determine job posting and job acceptance dates.

   Example: A content writer job position was posted on March 7. Applicant A applied and got accepted on March 20.

2. Step 2: Subtract job posting date from job acceptance date.

   Formula: Date of Job Acceptance – Date of Job Posting = Time to Fill

   Calculation: March 20 – March 7 = 13 days

   The time to fill for the content writer job position was 13 days.

3. Step 3: Calculate average time to fill.

   Example: Company A posted 3 job positions and were filled within certain periods. The time to fill metrics for Job Position 1: 10 days, Job Position 2: 3 days, Job Position 3: 7 days.

   Formula: (Time to Fill 1 + Time to Fill 2 + Time to Fill 3) ÷ Number of Job Opening in a Period

   Calculation: (10 days + 3 days + 7 days) ÷ 3 = 6.66 days

   The average time to fill for Company A was 6.66 days.

   One way to establish shorter time to fill metrics is by having competitive job ads and compensation that attract top talent. Real-time Job Posting Salary Data Solution showcases benchmarked advertising and compensation offers, reflecting current market conditions and the emerging needs of candidates.

How to reduce time to fill

As mentioned above, a longer duration to fill a position indicates that there might be inefficiencies in the company’s hiring strategies. This can lead to higher recruitment costs and unsatisfactory candidate experience.

To avoid these repercussions, here are measures you can use to reduce time to fill:

1. Establish a referral program.

   A referral program is useful for encouraging employee engagement and disseminating job descriptions and postings to hasten the hiring process. The program motivates workers to attract potential candidates as they get incentives, making way for a brief time to fill.

2. Build a talent pipeline.

   A talent pipeline gives you a list of past candidates who have advanced to the last stage of hiring but were not accepted. This talent pool helps in minimizing the time it takes to choose candidates since you already have a database of their credentials.

3. Dissect the hiring process.

   Assess what part of the recruitment process takes unnecessary time. It could be various aspects like the interview stage or passive communication between the company and the recruitment agency. Once analyzed, revise hiring steps to improve.

4. Utilize recruitment technology.

   To provide a more seamless hiring process, use software that helps you manage job postings with ease, access important key job metrics, and use AI technology to understand hiring activities and stay ahead of recruiting trends.

Real-time Job Posting Salary Data Solution has essential job posting features that will not only provide you with competitive market insights but can also optimize your workforce planning through reduced time to fill metrics.