Applicant Tracking Systems: The Gatekeeper

THE APPLICANT TRACKING SYSTEM (ATS)

99% of Forbes 500 companies use applicant tracking systems.

70% of large companies use ATS

75% of recruiters use ATS.

Here’s another statistic for you, though: Only 15% of resumes make it past the ATS to be viewed by hiring managers.

It’s kind of like a digital bouncer that decides who gets to enter the MEET WITH A REAL PERSON PUB & TAVERN.

But how many job seekers are actually taught the ins and outs of applicant tracking systems? How they work and, just as importantly, how they don’t work?

In other words: How many are taught the basic ways to beat the odds?

In this post, we’ll take a look at how ATS works, why it’s used, and how you can better optimize your resume to beat that 15% threshold.

This won’t cover a lot of other important resume advice (such as tailoring each resume to a specific job or company, etc.) but will rather focus on some basic technical aspects of this.

WHAT IS ATS

To put it simply, ATS is software used by employers to streamline the recruitment process by scanning resumes for specific keywords and qualifications that match the job description.

Here’s the thing: recruiters are getting huge amounts of applications—sometimes thousands for an entry-level job. These systems help with volume management, as well as speed and efficiency (in theory, at least).

Let’s look a bit more closely at how these systems work. I’ll try not to get too into the weeds with other important details around this software like security and compliance, system integrations, etc. None of these are the exact same.

Here’s the process in a nutshell:

Job Requisition and Profile Creation

  • Job Requisition Entry: Recruiters input job details into the ATS, including title, skills, and qualifications.

  • Profile Creation: The ATS creates an ideal candidate profile based on the job requisition.

Resume Submission and Parsing

  • Resume Submission: Candidates submit resumes via company websites, job boards, or email.

  • Resume Parsing: The ATS extracts and structures key information from resumes, such as contact details, work experience, and skills.

Keyword Matching and Ranking

  • Keyword Search: The ATS scans resumes for keywords matching the job description.

  • Ranking and Sorting: Resumes are scored and ranked based on keyword relevance and qualifications.

Candidate Filtering and Tracking

  • Initial Filtering: The ATS filters out resumes that don't meet minimum criteria.

  • Candidate Tracking: The system tracks candidates through various hiring stages, from application to selection.

WHAT DOES THIS MEAN FOR YOU?

It means you need to play the game and put yourself in the best possible position to be picked up in the digital sieve that sifts through hundreds—thousands—of candidates like you.

In this case, simple is better. Let’s break the ATS optimized resume down into three core parts:

  1. Keywords

  2. Formatting

  3. ATS-optimized Content

Let’s look at Keywords, Formatting, and Optimization a bit more closely.

Use the Right Keywords

  • Analyze Job Descriptions: Carefully read the job descriptions for positions you are interested in. Identify the keywords and phrases that are frequently mentioned, such as specific skills, qualifications, and job titles.

  • Incorporate Keywords Naturally: Integrate these keywords into your resume in a natural way. Focus on including them in the sections for work experience, skills, and summary.

Use Standard Format

  • Choose a Standard Layout: Use a reverse chronological format, which is the most ATS-friendly. This format lists your most recent job experience first and works backward.

  • Use Standard Fonts: Stick to standard fonts like Arial, Calibri, or Times New Roman. Avoid decorative fonts that might not be read correctly by ATS.

  • Avoid Complex Formatting: Do not use tables, text boxes, images, or graphics. These elements can confuse ATS software.

  • Consistent Headings: Use clear, standard headings such as "Work Experience," "Education," "Skills," and "Certifications."

  • Avoid Headers and Footers: Place important information like contact details within the main body of the resume, as some ATS cannot read headers and footer

Optimize Content

  • Bullet Points: Use bullet points to list your achievements and responsibilities. This makes the information easy to scan for both ATS and human readers.

  • Quantify Achievements: Whenever possible, quantify your achievements (e.g., "Increased sales by 20%," "Managed a team of 10").

  • Action Verbs: Start bullet points with strong action verbs (e.g., "Developed," "Managed," "Led").

Other Things to Consider:

  • Plain-Text Conversion: Convert your resume to a plain-text file to check if all information is intact and correctly formatted

  • ATS Scanners: Use online tools like Jobscan to run your resume through an ATS scanner, which will provide feedback on its compatibility and suggest improvement

Fair or not, creating an ATS-friendly resume is essential in today’s job market. Using the right keywords, maintaining a simple format, and avoiding elements that ATS might struggle to interpret, you can significantly improve your chances of passing the initial screening and securing an interview.

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