Tata Steel Journey Through Excellence in Talent Acquisition

TATA STEEL

Tata Steel Limited, part of the Tata Group, is a multinational steel-making company  headquartered in Mumbai, India. It is one of the world’s leading steel producers and ranks  among the top global steel companies with a notable presence in Europe as well as Asia. Tata  Steel has manufacturing operations in 26 countries, including India, Netherlands, and the UK,  and employs over 80,000 people worldwide. 

In the past two to three years, especially during and after the pandemic, their methods of hiring  have undergone a considerable transformation. Prior to the pandemic, most recruitment  processes and touchpoints were predominantly managed offline, which was heavily manual.  This approach often led to an inefficient recruitment process. 

Tata Steel Limited, a leading global steel producer, overhauled its recruitment process to address inefficiencies and adapt to a digital-first approach post-pandemic. Their challenges included inadequate demand forecasting, a manual tracking system, dependency on traditional sourcing methods, lack of a passive talent pool, and high candidate drop-out rates.

To tackle these issues, Tata Steel adopted systems thinking principles and focused on three key objectives: Efficiency, Effectiveness, and Experience and enhancing candidate experience through a streamlined four- stage process .

Tata Steel partnered with Ripple Hire TA Suite to implement advanced technology solutions, including an Applicant Tracking System (ATS), AI-driven tools for demand forecasting and talent mapping, and a passive talent pool.

 

The transformation has resulted the following benefits:

The transformation has brought about remarkable benefits, including:

  • Boosted operational efficiency
  • Improved candidate experience
  • Strengthened employer brand
  • Outstanding improvements in Recruitment Metrics

Tata Steel’s innovative approach and exceptional vision have inspired others to explore new possibilities in hiring. 

Read further to know the story of Tata Steel’s dedication, and willingness to push the boundaries of traditional hiring practices.

Tata Steel's dedication, and willingness to push the boundaries of traditional hiring practices
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Navigating the Post-Pandemic Shift in Recruitment  Strategies 

Challenges in data visibility and reporting were significant, resulting in an inconsistent candidate  experience. Additionally, effectively communicating their employer brand posed a significant  challenge, and the average time to hire was high. To concisely summarize, the following were  their primary pain points: 

  • Inadequate Demand Forecasting: They faced difficulties in accurately forecasting talent  requirements on a quarterly or yearly basis. This lack of planning often led to last-minute  hiring, which strained resources and potentially compromised the quality of candidates  selected. 
  • Manual, Excel-Based Tracking System: Relying heavily on a manual, Excel-based  application tracking system meant a high degree of manual intervention. This method  was not only time-consuming but also prone to errors, leading to inefficiencies in the  recruitment process. 
  • Dependence on Traditional Sourcing Methods: They primarily relied on traditional  sourcing methods, such as job portals like Naukri and a few consultants. This limited  approach may have overlooked a broader talent pool, especially those not actively  seeking new opportunities but who might be ideal candidates. 
  • Lack of a Passive Talent Pool: The absence of a passive talent pool meant they were  missing out on potential candidates who were not actively job hunting but would be open  to new opportunities. This limited their reach to only those actively seeking employment,  thereby narrowing their candidate base.
  • Candidate Drop-Outs Post Offer Acceptance: A significant issue they faced was  candidates dropping out after accepting job offers. This not only disrupted the  recruitment cycle but also led to a waste of resources and time spent in the hiring  process. 

The need for transformation was evident at every touchpoint of their recruitment process. This  period marked a pivotal point in their approach to talent acquisition, prompting them to  reevaluate and innovate their strategies to better align with the evolving landscape of hiring and  candidate expectations. The pandemic-induced shift to more digital and streamlined processes  was not just a temporary adjustment but a fundamental change in how they approached talent  acquisition. 

Integrating Systems Thinking and Technology for Enhanced  Talent Acquisition 

In addressing their recruitment challenges, they adopted Systems Thinking principles, focusing  on solving each component while maintaining a holistic view.  

Systems Thinking is a holistic approach that considers the entire process and how each part  interacts with others. Instead of merely solving one problem at a time in isolation, they looked at  how changes in one area of the recruitment process might impact other areas. By doing this,  they aimed to create solutions that are more effective overall and lead to sustainable  improvements across the entire recruitment system. 

Their strategy centered around improving three key areas, referred to as the 3E objectives: 

  • Efficiency: They aimed to optimize the end-to-end process turnaround time (TAT). This  involved streamlining processes, reducing manual interventions, and automating  repetitive tasks. By doing so, they could speed up the recruitment cycle, ensuring timely  hiring without compromising on quality. 
  • Effectiveness: Their goal was to hire the right talent for the right role at the right time and  ensure they were set up for success. This required a better understanding of their talent  needs, more precise targeting in their sourcing strategies, and a robust evaluation  process to ensure a good fit for both the role and their company culture. 
  • Experience: Improving the user experience for candidates, business users, and other  stakeholders was a crucial part of their transformation. They focused on creating a more  engaging and seamless experience throughout the recruitment process, which included  improving communication channels, providing transparent and timely feedback, and  using technology to enhance interaction at every touchpoint. 

Recognizing the crucial role of technology in achieving these objectives, they identified that the  most important lever they required was technological advancement.  

Ripple Hire TA Suite became a pivotal partner in their journey of transformation.

By implementing technology at various touchpoints, they were able to address specific  challenges effectively.  

For instance, an advanced Applicant Tracking System (ATS) by RippleHire replaced their  manual, Excel-based processes, significantly reducing errors and increasing efficiency. AI driven tools were introduced for better demand forecasting and talent mapping, ensuring that  they were proactive rather than reactive in their hiring approach. 

Additionally, they leveraged technology to build a passive talent pool, engaging potential  candidates through various digital platforms and keeping them interested in future opportunities.  This not only expanded their talent reach but also reduced dependency on traditional sourcing  methods. 

 

Tata Steel’s Innovative Four-Stage Hiring Process 

Tata Steel has redefined its recruitment strategy with a comprehensive four-stage process,  leveraging technology and innovative practices to streamline hiring and enhance candidate  experience. 

This transformation has not only improved operational efficiency but has also positively  impacted their employer brand. 

 

Here’s a closer look at each stage of their cutting-edge recruitment process: 
Stage 1: Demand Planning and Request Raising 

At Tata Steel, they simplified their recruitment process by consolidating multiple steps into a  single, user-friendly interface. What used to take 2 to 3 days just to start the process, can now  be accomplished in a matter of minutes with a few clicks. This enhancement has not only  improved the hiring experience for their business teams but also introduced greater  transparency, relying more on the system rather than individual recruiters. 

 

Stage 2: Talent Sourcing & Screening 

Their integration of the Applicant Tracking System (ATS) with various job portals made sourcing  much simpler. All applications now funnel into one central point. The launch of a Referral portal  for internal employees further bolstered their sourcing pipeline, eliminating repetitive tasks like  posting the same job on different portals. Advanced features like Boolean search, AI-enabled  CV-to-job matching, and generative AI for job description creation have reduced their sourcing  efforts by 66%. They’re also planning to evolve this area further by incorporating analytics to  understand and engage passive applicants who visit their site. 

 

Stage 3: Candidate Assessment and Selection 

On the panel front, Tata Steel introduced a Recruiter Certification Program to ensure structured  and effective interviews. Recognizing the importance of candidate experience, they’ve used 

technology to provide timely updates and feedback after each interview round, keeping  candidates engaged and informed. This approach not only enhances the candidate experience  but also turns them into brand ambassadors, irrespective of the selection outcome. With  technological aids, everything from scheduling to assessment is now just a click away, cutting  down the entire selection process time by 50%. 

 

Stage 4: Offer and Onboarding 

Understanding that candidates value both tangible and intangible aspects of a job offer, Tata  Steel’s Ripple Hire Dream Offer module creates a memorable moment for candidates. It  features personalized messages from leadership, a glimpse into the company culture, and a  detailed outline of benefits and compensation. This approach has resulted in a 96% acceptance  ratio in the first half of the financial year. Additionally, processes like documentation and  background verification have been greatly streamlined, with custom documentation functionality  reducing completion time by over 70%. 

 

Ripple Hire ATS Drives Remarkable Efficiency and Candidate  Satisfaction 

Following the implementation of Ripple Hire Applicant Tracking System (ATS), a remarkable  transformation in the recruitment process has unfolded. Key metrics indicate significant  enhancements in efficiency, candidate experience, and overall recruitment effectiveness:  

  • Reduction in Median Job Cycle Time by Almost 15 Days: This indicates that the average  time taken to complete the recruitment process for a job position has been reduced by  approximately 15 days. This is a significant improvement in efficiency, indicating faster  sourcing, screening, interviewing, and hiring processes. 
  • 48% of All Jobs are Closed Within 30 Days: Previously, only 22% of job positions were  filled within a 30-day period. Post-implementation, this number has more than doubled to  48%. This shows a substantial increase in the speed of the hiring process, meaning that  nearly half of all open positions are now being filled within a month. 
  • Conversion Rate of 95%: This refers to the success rate in converting job applicants to  actual hires. A 95% conversion rate is remarkably high, suggesting that the vast majority  of candidates who enter the recruitment process are eventually hired. 
  • Candidate Experience Score of 4.8 Rating: This is a measure of candidates’ satisfaction  with the recruitment process. A score of 4.8 out of 5 is excellent and indicates a very  positive experience for candidates, which can enhance the company’s reputation and  attract more quality applicants. 
  • Managing Sourcing Ratio and Reducing Dependency on External Consultants: This  improvement suggests that they have become more self-reliant in sourcing candidates, 

reducing the need to rely on external recruitment agencies or consultants. This could  mean better control over the recruitment process and potentially reduced costs. 

  • Referral Portal and Campaigns Encouraging Employees to Refer: The implementation of  a referral portal and related campaigns has made it easier and more motivating for  current employees to refer potential candidates for open positions. Employee referrals  are often a highly effective way of sourcing quality candidates. 
  • Reporting and Monitoring Around Various Metrics Have Become Quite Easy: With the  new system, the ability to track and report on various recruitment metrics (like time-to-hire, cost-per-hire, source effectiveness, etc.) has become more straightforward and  efficient. This ease of monitoring allows for better analysis and continuous improvement  in the recruitment process. 

Overall, these improvements point to a more efficient, effective, and user-friendly recruitment  process, benefiting both the organization and its potential employees. 

 

Road Ahead  

Talent management is a field that’s always changing and improving. Making a company’s brand  stronger is crucial for attracting and hiring the best talent. TATA Steel is now focused on making  sure candidates have a great experience and that they’re hiring the right people for the job.  

In the future, they’re planning to use AI technologies and digital tools to better match candidates  with the right jobs.  

They want to make the whole hiring process more fun and interesting for both the candidate and  our team. To make sure they’re on the right track they’ll keep an eye on key performance  indicators (KPIs) to ensure our brand is attractive enough to bring in the right talent, both in  terms of quality and quantity.

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