What Is an ATS (Applicant Tracking System)?

An Applicant Tracking System (ATS) is software used by employers to manage and streamline the recruitment process. It acts as a digital gatekeeper, processing incoming job applications and helping hiring teams identify the most qualified candidates. ATS software automates tasks like posting job openings, collecting resumes, sorting applications, and even scheduling interviews.

The ATS scans resumes for keywords, phrases, and relevant information to match them with the job description. It ranks and organises applicants based on how closely their resumes match the job requirements, allowing recruiters to quickly assess the most suitable candidates.

An ATS follows a set of algorithms to evaluate candidate resumes. Here’s how the process works:

1. Job Posting: Employers use the ATS to post job openings on job boards and company websites.
2. Application Submission: Job seekers submit their resumes, often through an online portal or email.
3. Resume Parsing: The ATS extracts key information from the resume, such as personal details, work history, education, and skills.
4. Keyword Matching: The system compares keywords in the resume with those in the job description. The more relevant keywords found, the higher the applicant’s ranking.
5. Ranking and Shortlisting: Based on the ATS algorithms, candidates are ranked according to how well their resume matches the job description.

By automating these tasks, an ATS helps hiring teams save time, improve efficiency, and focus their efforts on the best-fit candidates.

When selecting an ATS software for your recruitment needs, it's important to choose a system that provides all the necessary features to enhance the hiring process. While every ATS platform is different, the following features are essential for streamlining the recruitment process and improving candidate selection.

One of the primary functions of an ATS is to parse resumes and match them with job descriptions. Resume parsing allows the ATS to extract key information, such as work experience, education, skills, and certifications. This feature is vital for recruiters as it helps quickly identify candidates who meet the basic requirements of a job.

The keyword matching functionality is also crucial. ATS systems scan resumes for specific keywords, phrases, and terms related to the job. The more accurately a candidate’s resume aligns with these keywords, the better their chances of being shortlisted.

Top ATS software allows recruiters to create customisable job requisition templates. These templates enable recruiters to standardise job descriptions, making it easier to compare candidates and manage the recruitment process. Customisable templates also help maintain consistency in job postings and improve communication across teams.

A great ATS system integrates with multiple job boards, such as LinkedIn, Indeed, or Glassdoor. This integration allows employers to post job openings to multiple platforms with just one click, saving time and effort in sourcing candidates. Some ATS platforms also have built-in tools for passive candidate sourcing, allowing recruiters to reach out to potential candidates who may not have applied for a job but are a good fit.

The ability to rank and screen applicants is one of the most powerful features of an ATS. By evaluating resumes based on their relevance to the job description, the ATS can automatically rank candidates and filter out those who don’t meet the minimum qualifications. This feature is particularly useful for companies that receive a large number of applications for a single job opening, helping recruiters quickly focus on the best candidates.

Some ATS platforms also include knockout questions or pre-screening questionnaires, which automatically reject candidates who do not meet certain non-negotiable criteria, such as specific certifications or years of experience.

Effective communication with candidates is crucial for a smooth recruitment process. Top ATS systems offer integrated candidate communication tools that allow recruiters to easily send emails, schedule interviews, and keep candidates informed about their application status. Automated emails and interview reminders can save time, ensuring that no candidate slips through the cracks.

Interview scheduling can be one of the most time-consuming aspects of recruitment. The best ATS software includes scheduling tools that integrate with calendars and allow recruiters to book interviews with just a few clicks. Some systems also provide collaborative tools, enabling team members to leave notes, rate candidates, and share feedback on candidates’ performance during interviews.

Reporting and analytics tools are essential for tracking the effectiveness of the recruitment process. Many ATS systems come with built-in dashboards that provide recruiters with real-time insights into key metrics, such as the number of applicants per job, the average time to hire, and the source of candidates. These analytics help hiring teams identify bottlenecks in the hiring process and optimise their strategies for future recruitment efforts.

With the growing use of mobile devices, the best ATS software includes mobile-friendly features. This includes mobile access for both recruiters and candidates, allowing recruiters to review applications, schedule interviews, and communicate with candidates on the go. For candidates, mobile compatibility ensures they can easily apply for jobs and track their application status from their smartphones.

To ensure your resume passes through ATS filters and reaches human recruiters, job seekers must create an ATS-friendly resume. Here are some tips for optimising your resume for ATS software:

ATS systems rely heavily on keywords to match resumes with job descriptions. Carefully read the job description and include relevant keywords and phrases that align with the role you’re applying for. This could include specific skills, qualifications, and job titles.

Make sure these keywords appear naturally throughout your resume.

ATS systems can struggle with resumes that have complex formatting, graphics, or unusual fonts. To increase your chances of passing through the ATS filters, use a simple, traditional format with clear headings like "Work Experience," "Skills," and "Education." Stick to common fonts such as Arial or Calibri, and avoid using tables, text boxes, or images.

While it may be tempting to use the same resume for multiple job applications, it's essential to tailor your resume to each job. An ATS-friendly resume should align closely with the specific job description, so make sure to adjust your skills and experiences based on the role you're applying for.

ATS systems often scan resumes for specific hard skills (e.g., software knowledge or certifications) and soft skills (e.g., teamwork or communication).

Make sure to include both types of skills in a dedicated “Skills” section.

Most ATS systems prefer resumes in Word (.docx) or text-based PDF formats. Avoid submitting your resume in formats that ATS software might have trouble reading, such as image-based PDFs or .jpg files.

An ATS resume is crucial because it helps job seekers avoid the automatic rejection that many resumes face when they’re not optimised for ATS. Since ATS systems are used by most large employers and many small businesses, an optimised resume significantly improves a candidate’s chances of getting noticed.

An ATS-friendly resume is one that is specifically formatted to pass through Applicant Tracking Systems. It uses simple formatting, includes relevant keywords, and follows ATS guidelines to ensure it can be accurately parsed and understood by ATS algorithms. An ATS-friendly resume increases the likelihood of getting past the system and into the hands of a recruiter.

Final Thoughts: Navigating the Future of Recruitment with ATS

As the recruitment landscape continues to evolve, Applicant Tracking Systems will remain an integral part of the hiring process. Understanding how ATS systems work, the features they offer, and how to optimise your resume for these systems is essential for both job seekers and recruiters.
For job seekers, leveraging an ATS resume checker and following ATS best practices can significantly improve the chances of securing an interview. For recruiters, using the best ATS software with robust features like resume parsing, keyword matching, and candidate ranking can streamline the hiring process and ensure you find the best candidates for the job.

In today’s job market, understanding the applicant tracking system is no longer optional – it’s essential. By embracing ATS technology, you can improve your recruitment efforts, optimise your application process, and increase your chances of success.