How to Choose the Right Healthcare ATS: FAQ for Facilities
An applicant tracking system (ATS) is software used to organize and streamline the hiring process. In healthcare, ATS software has specialized functions related to reducing time-to-hire, credentialing, and compliance. For example, it can be used to automatically screen hundreds of nurse applicants for qualification matches, and then verify that top candidates have active and clear licenses — all while producing a record to satisfy compliance requirements.
Finding the right ATS product for your facility can be challenging. There are many options, all with different capabilities, features, and price points. We’ll answer key questions about this software and how it’s used in healthcare, and give you practical ways to analyze options before investing. You’ll learn about key healthcare-related features to ask about when you talk with representatives or demo products. Our breakdown of typical subscription models and financial considerations will help you judge how an ATS will affect your budget.
What Is an ATS Service?
Applicant tracking systems are software applications designed to streamline, organize, and report on the hiring process, from posting an initial job to onboarding. They typically include automated workflows (such as sending personalized communication to candidates) and analytical capabilities.
Applicant tracking systems can take two forms:
- Specialized, stand-alone software: These are platforms dedicated to the hiring process. Functions center around recruitment, interviewing, and onboarding.
- A feature within a larger, HR software suite: This is an ATS module within a broader platform that performs a variety of HR functions, such as time tracking and payroll.
The software is typically offered in a software-as-a-service (SaaS) model, meaning it’s subscription-based and accessed via a web browser.
Do Healthcare Applicant Tracking Systems Use AI?
Yes. The majority of the products on the market were built as databases and subsequently enhanced to include features with artificial intelligence (AI) capabilities. Some of the newer products are referred to as AI-native, because they’ve been built from the ground up with AI. With some exceptions, ATS systems leverage AI and automation to efficiently process high volumes of applications.
Is ATS Software Common in Healthcare?
If you’re a healthcare facility leader looking to add ATS software to your technology stack, you’re in good company. ATS products have been widely adopted in the industry, often viewed as a necessity rather than a convenience. For large facilities in particular, ATS systems are imperative for managing multiple active job openings and high volumes of provider applications.
What Are Common Features of Healthcare Applicant Tracking Systems (ATS)?
ATS products built for healthcare are specialized to meet the demands of hiring that are specific to the industry. Here are some common features:
| Credential Verification Processes | Designed to automatically check licensure status and background history of applicants, and provide alerts about soon-to-expire licenses |
| Compliance Tools | Designed to meet oversight agency regulations (such as The Joint Commission, OSHA, and HIPAA standards) and provide audit readiness |
| Data Security | Built-in, HIPAA-compliant safeguards |
| Resume Parsing | Uses natural language processing (NLP) to extract relevant healthcare qualifications from resumes, such as “wound care nurse” or other specialties |
| AI-Powered Qualification Matching Capabilities | Uses keywords and other data points to rank candidates |
| Automated Communication Functions | Sends instant, personalized responses and updates to candidates throughout the hiring process |
What Are the Pros and Cons of Using an ATS in Healthcare?
While there are some common threads, the exact benefits and challenges you encounter will depend on the ATS platform’s unique strengths and weaknesses. For example, an ATS platform with a one-click application submission process may improve candidate engagement, while another with a complex and lengthy application process could deter candidates. With that in mind, here are some important pros and cons to consider:
| Can handle high volumes of applications
Can reduce time-to-hire, cutting vacancy costs for facilities and improving team morale and patient care Reduces administrative burden related to mundane and repetitive tasks May improve candidate engagement (for example, by instantly letting a nurse candidate know that their application was received, or updating a top-tier candidate about next steps) Improved audit readiness |
Entails either up-front or (more commonly) subscription fees
May overlook qualified candidates (for example, a rigid keyword-matching algorithm may not pick up on a nurse’s ICU experience if it’s stated as “provided care to critically ill patients”) Algorithms may promote a candidate who looks great on paper, but lacks the emotional intelligence and compassion necessary for good bedside care Can lead to candidate drop-off (for example, if the application portal requires creation of an account and password, a busy nurse may abandon the process and apply elsewhere) Hiring staff may resist adoption due to the learning curve involved |
What Is a Typical Cost Breakdown for an ATS Service?
There is a wide variety of pay structures used for ATS products, but the most typical model is subscription-based. These fees may vary based on the scale of use and number of features included.
In addition to the variety of subscription models listed below, some companies offer one-time license fees that offer perpetual access to their ATS software.
| Per-User | The fee is based on the number of hiring managers, recruiters, and HR staff members who have administrative access to the software. |
| Per-Vacancy | The fee is based on the number of active job openings per month. |
| Flat Rate | The fee is consistent, typically paid monthly or annually, and may offer unlimited administrative access and job postings. |
| Per-Feature (or Tier-based) | The fee is dependent on the modules selected for use, such as access to advanced credentialing functions. |
What Are the Key Factors to Consider When Selecting an ATS for a Healthcare Facility?
When deciding on the ATS software that will best suit your facility’s needs, consider the size of your organization and the existing pain points in your hiring process. Small clinics have very different hiring needs and processes than large hospitals, for example. The exact combination of challenges you’re facing is likely unique.
In addition, you’ll want to examine your main objective and conduct a cost analysis to see if meeting that objective justifies the additional expense. For example, a hospital’s hiring team may identify the goal of reducing RN time-to-hire by 30%. They calculate the potential cost-savings of meeting that objective, then compare that to the subscription fees of their top-choice ATS platforms to decide on a service that is sustainable for their budget.
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