How is the Yield Ratio calculated in recruitment?

Boost your success rate for the SHRM Talent Acquisition Test. Study with flashcards and multiple-choice questions, each question includes hints and explanations. Get ready for your exam!

The Yield Ratio in recruitment is a crucial metric used to assess the efficiency of the hiring process at various stages. When looking at option B, "Number of applicants completing the stage divided by total applicants," it correctly reflects how the Yield Ratio provides insights into the effectiveness of the recruitment process. This specific calculation helps organizations evaluate how many candidates progress through different stages of recruitment, such as application to interview or interview to offer.

Calculating the Yield Ratio at different stages allows HR professionals to identify bottlenecks or strengths in their hiring process. For instance, a low yield ratio from interview to offer could indicate that the selection process needs refinement, while a high yield ratio from application to interview might show that the applicant pool is generally strong.

Other options, while they involve relevant recruitment metrics, do not align with the standard definition of the Yield Ratio. For instance, calculating the number of candidates hired divided by total candidates gives a final yield rather than addressing stages of the recruitment pipeline. Similarly, focusing on the number of job offers made versus total applications or interview rounds completed lacks a comprehensive view of attrition at key recruitment stages, failing to provide a nuanced understanding of candidate progress through the hiring funnel. Thus, option B correctly captures the essence of the Yield Ratio as

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