Applicant Tracking System: What Is It and How to Use It Effectively

Hiring the right person can be tough, especially when you’re sorting through a mountain of resumes.

Imagine running a small business in Malaysia and needing to fill a position quickly. You post a job and get over 200 applications in a week. Going through each one manually would take days, maybe weeks. That’s where an Applicant Tracking System (ATS) comes in. 

ATS is a tool that helps you manage the entire hiring process, from posting job ads to shortlisting candidates, all in one place. 

If you’ve never used one before, don’t worry because it’s not as complicated as it sounds. With an ATS, you can save time, stay organized, and find top talent faster. Plus, it’s a great way to avoid getting buried under paperwork. 

What is an Applicant Tracking System?

An Applicant Tracking System (ATS) is software that helps businesses manage their hiring process. 

Think of it as a digital assistant for recruitment. It keeps all your hiring tasks, like collecting resumes, tracking candidates, and scheduling interviews, in one place. Instead of juggling emails, spreadsheets, and paper documents, an ATS organizes everything for you. 

Key features of an ATS

An ATS comes with powerful tools to make hiring faster and easier:

• Resume parsing. This feature automatically scans resumes to extract key information, like work experience, skills, and education. No more manually reviewing each CV.

• Candidate tracking. You can follow a candidate’s progress from application to hire. It shows which stage they’re in, applied, shortlisted, interviewed, or hired. 

• Automated filtering. ATS can filter out unqualified candidates based on your job criteria, like required skills or certifications. 

• Job posting integration. You can post job ads on multiple platforms (like Maukerja, Ricebowl, Epicareer, or LinkedIn) directly through the ATs. 

• Interview scheduling. It syncs with calendars to make scheduling interviews a breeze. 

• Analytics and reporting. ATS provide insights like time-to-hire and the number of applications, so you can improve your hiring strategy. 

Why is ATS relevant in Malaysia’s job market?

Malaysia’s job market is highly competitive. For every open position, employers often receive hundreds of applications. Without the right tools, sorting through them can take forever. An ATS helps you manage this efficiently by:

• Saving time. ATS automates repetitive tasks, like screening resumes, so you can focus on finding the right fit. 

• Improving candidate experience. In a competitive market, job seekers expect quick responses. An ATS lets you communicate faster and more professionally. 

• Complying with Malaysian law. Hiring involves sensitive data. ATS helps you stay compliant with the Personal Data Protection Act (PDPA) by securely storing candidate information. 

• Managing diverse hiring needs. Malaysia’s workforce is diverse. ATS can help you manage multilingual job postings and cater to different industries, whether it’s tech, retail, or manufacturing. 

Why do employers need an Applicant Tracking System?

Using an ATS offers several advantages that make the recruitment process more efficient, effective, and stay compliant with labor laws.. Here’s why you should consider adopting it:

1. Streamlined recruitment process

An ATS automates many of the repetitive tasks like resume screening and interview scheduling, saving you time. In fact, recent studies from Select Software Reviews indicate that an effective ATS can decrease the average hiring cycle by as much as 60%. It organizes candidate information in one system, making it easy to compare and track applicants.

2. Reduced hiring costs

By cutting down manual effort, an ATS helps reduce hiring costs. It saves time on each hire, making the recruitment process more efficient.

While posting job ads across platforms becomes easier, employers can also enhance the value of recruitment agencies by streamlining collaboration, ensuring quicker placements, and reducing time-to-hire.

3. Improved candidate experience

ATS ensures quicker responses and smoother communication with candidates, like automated interview invites and updates. This keeps candidates engaged and shows professionalism. 

4. Better collaboration and communication

With an ATS, your team can easily share feedback and collaborate on hiring decisions in one platform. Automated updates keep candidates informed, ensuring consistent communication.

5. Enhanced talent pool management

An ATS helps you build a database of potential candidates, even if they’re not hired for the current role. You can easily reach out to them for future job openings. 

6. Compliance with Malaysian labor laws

An ATS helps ensure compliance with local labor laws, including

• Data protection (PDPA compliance). Securely stores candidate information and ensures compliance with Malaysia’s Personal Data Protection Act (PDPA).

• Equal opportunity compliance. Helps eliminate bias by focusing on qualifications, supporting diversity, and ensuring fair hiring practices. 

• Record-keeping for audits. Keeps detailed records of the hiring, making it easy to demonstrate compliance during audits or inquiries. 

• Adhering to labor regulations. Ensures job postings meet local labor standards and aligns with regulation like the Employment Act and Industrial Relations Act. 

How to use an Applicant Tracking System effectively

Using an ATS effectively requires more than just installing the software. Here’s a step-by-step guide to help you get the most out of your ATS and improve your recruitment process. 

1. Choosing the right ATS

Select an ATS based on your company size, hiring needs, and budget:

• Small businesses: Look for simple, affordable solutions.
• Larger companies: Opt for advanced features like team collaboration, multi-job posting, and analytics.

Ensure the system is scalable to grow with your company. The right ATS streamlines recruitment, prevents overspending, and avoids outgrowing the system too quickly.

Some of the top ATS providers in Malaysia include Maukerja, Ricebowl, and international options like Workday and Bullhorn. Each has its unique features, so explore different options to find one that fits your recruitment goals. 

2. Setting up your ATS

A well-configured ATS maximizes efficiency:

1. Import candidate data: Upload resumes from past job postings to build a talent pool.
2. Customize workflows: Tailor processes for each role, such as coding tests for tech jobs or communication tasks for sales roles.

Proper setup ensures consistent, efficient hiring aligned with job-specific needs.

3. Optimizing job postings

Make job ads ATS-friendly:

• Use clear language, relevant keywords, and bullet points.
• Avoid jargon, complex fonts, and graphics. Stick to standard job titles.

4. Screening and filtering candidates

ATS tools save time with:

• Keyword filters: Search for specific skills, qualifications, or experience to rank candidates.
• Automation: Schedule interviews and send reminders, keeping the process smooth and organized.

Focus on top candidates without sifting through every resume manually.

5. Analyzing and improving recruitment

Use ATS analytics to track metrics like time-to-hire, cost-per-hire, and candidate sources.

• Identify areas for improvement, such as speeding up slow hiring processes or focusing on successful job boards.
• Make data-driven adjustments to refine your recruitment strategies.

Continuous analysis ensures smarter hiring decisions and process improvements.

Frequently Asked Questions (FAQs)

1. Can small businesses in Malaysia benefit from ATS?

Yes, small businesses in Malaysia can greatly benefit by automating resume screening, managing candidate data, and reducing the time spent on administrative tasks. This helps them focus on finding the best talent while saving time and resources. 

2. How much does an ATS typically cost?

ATS pricing can range from RM500 to RM 2,500 per month for small businesses, depending on features and the provider. Larger companies may pay more for advanced capabilities. 

3. How does ATS improve the candidate experience?

ATSstreamlines the application process, provides faster response, and keeps candidates informed with automated updates. It also ensures a smoother and more consistent application experience across platforms. 

Have some questions about HR management?

AJobThing HR forum allows you to connect with HR professionals and discuss your specific needs. Additionally, our comprehensive HR library offers a wealth of resources to address all your HR requirements.

Hire with AJobThing's Instant Job Ads

In today's competitive job market, attracting top talent efficiently is crucial. By connecting with qualified candidates swiftly through AJobThing, you not only streamline your hiring process but also enhance your chances of finding the right fit for your team. Try AJobThing's instant job ad now! Get your open positions seen by qualified candidates quickly and easily.