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  • Writer's pictureHospitalityHR

KPIs of Hospitality Staffing Agencies

The hospitality industry is highly competitive, and attracting the best talent is critical to success. Therefore, it is essential to know the key performance indicators (KPIs) of hospitality staffing agencies to measure the effectiveness of your recruitment process. KPIs provide insight into the effectiveness of the hiring process and help identify areas for improvement. In this article, we'll discuss some of the key KPIs for hospitality staffing.

Key aspects in hospitality staffing:

There are 4 main KPIs of a hospitality recruitment agency:

Below we will take a closer look at each of them.

hospitality recruiters

List of KPIs in hospitality staffing

Time to Hire (TTH)

The time to hire is the time it takes to fill a vacancy from the moment it is opened to the moment the candidate accepts the offer. The longer the time to hire, the higher the cost of recruiting and the greater the burden on existing employees. Measuring time to hire can help identify inefficiencies in the hiring process and allow companies to simplify and optimize the process. If your recruiting company is taking a long time to fill a vacancy, it may be an indicator of inefficiency. HospitalityHR, for example, fills 45% of its clients' vacancies within 1 week.

To improve their TTH KPI, recruitment agencies can streamline the recruitment process by automating certain tasks, such as resume review or interview scheduling. In addition, consider building a talent pool by regularly attending job fairs and networking with local universities and vocational schools.

Offer Acceptance Rate (OAR)

The Offer Acceptance Rate (OAR) KPI measures the percentage of job offers that are accepted by candidates. In the hospitality industry, where turnover rates can be high, it is important to not only attract top talent but also to convince them to accept the job offer. A low OAR can indicate that your job offers are not competitive enough compared to those of your competitors.

For improving the OAR KPI, the responsibility may lie with you, consider revising your compensation package or offering additional incentives such as employee discounts or professional development opportunities. Also, make sure that your job descriptions accurately reflect the job responsibilities and company culture to avoid any misunderstandings or miscommunications.

Cost Per Hire (CPH)

The Cost Per Hire (CPH) KPI measures the amount of money spent on recruitment per hire. This includes any costs associated with job postings, advertising, recruiting events, and any other costs incurred during the hiring process. In the hospitality industry, where profit margins can be low, it's important to keep recruitment costs low while still attracting the best talent.

Hospitality staffing agencies often use free or low-cost platforms to post job openings, such as social media or local job boards. They may also suggest implementing employee referral programs to encourage current employees to refer their friends and colleagues to open positions.

Quality of Hire (QOH)

The Quality of Hire (QOH) KPI measures the overall performance and fit of candidates hired for a particular position. In the hospitality industry, where customer service and guest satisfaction are paramount, it's important to hire employees who not only have the right skills but also fit well with the company culture.

Conducting pre-employment assessments or skills tests is a common practice for hospitality staffing agencies to ensure that candidates have the necessary skills and qualifications for the job. Additionally, thorough reference and background checks may be conducted to ensure that candidates have a good track record and fit well with the corporate culture.


Main Highlights

The hospitality industry is highly competitive, and in order to attract and retain the best talent, it's important to have a robust recruitment process in place. By measuring key performance indicators (KPIs) such as time to hire (TTH), offer acceptance rate (OAR), cost per hire (CPH), and quality of hire (QOH), you can determine whether your hospitality recruitment agency is performing well. By continuously tracking key performance indicators, you can ensure that your recruitment process is efficient, effective, and aligned with your business goals.

Ultimately, investing in your recruitment process can have a significant impact on the success and growth of your hospitality business. Don’t hesitate to contact us if you need additional information or are interested in our recruitment services!


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