Embedded Hiring Helps Construction SaaS Solve Client Productivity Problems

Technology has overwhelmingly helped most industries become more productive. McKinsey data found the overall global economy has become 2.8% more productive each year over the past 20 years. However, the construction industry only becomes 1% more productive annually, with an estimated $1.6 trillion in value lost yearly because of this slow growth.

The construction industry has long grappled with productivity challenges, with numerous factors contributing to the problem. One crucial aspect that often goes unnoticed is the significance of hiring the right employees. In recent years, construction technology vendors have recognized the potential of embedded hiring solutions for addressing productivity concerns.

In this blog, we’ll explore how embedded hiring can help construction SaaS solve construction’s productivity problem and drive positive change in the industry.

Studies by The Construction Industry Training Board and McKinsey found that the quality of labor can influence construction productivity. 

The Productivity Problem in Construction 

While there are myriad reasons why the construction industry’s productivity is hampered, ranging from a reluctance to adopt new technology to supply chain issues, employment issues have long been a boon to the industry and one that can quickly and efficiently be remedied by more construction organizations adopting recruiting technology. 

Some key labor factors affecting productivity include: 

Skilled Labor Shortages

The construction industry often needs more skilled workers, making it challenging for companies to find qualified talent. 

High Employee Turnover

Frequent turnover from hourly staff often disrupts workflows and hampers productivity. Finding and retaining reliable employees is a persistent challenge for construction companies. 

The construction industry has a 68% average turnover rate, higher than most industries and a significant impediment to productivity.

How Embedded Hiring Can Help Construction SaaS

Embedded hiring refers to integrating innovative recruitment and talent management solutions within construction SaaS platforms. By incorporating hiring capabilities directly into their software, construction SaaS enable construction companies to streamline their hiring process and make more informed decisions. Here’s how embedded hiring can help solve construction’s productivity problem: 

• Technology Helps Productivity
• Enhanced Candidate Sourcing
• Skills and Assessment Training
• Improved Retention Strategies

Technology Helps Productivity (and Profits) 

Technology helps productivity: The World Economic Forum reports successfully adopting new technology can reduce project costs by 20%, and construction needs to work on embracing new technology.

While hiring is just one aspect of digitizing the industry, it’s an easy first step for many tech-adverse organizations since hiring is an evergreen challenge built to be automated. 

“Through our analysis of more than $1 trillion worth of capital projects over the past five years, we have found that improving “basic” project-management skills offers the most potential to improving site performance.” - McKinsey’s The Construction Productivity Imperative.  

Enhanced Candidate Sourcing

Construction SaaS with embedded hiring capabilities provides access to a broader pool of qualified candidates. They leverage advanced algorithms, standardizations, and ranking systems to identify potential hires efficiently.

Skills Assessments and Trainings

Integrated hiring solutions allow for comprehensive pre-employment testing. By accurately evaluating candidates' skills, companies can identify the most suitable individuals and provide targeted training to fill gaps, ensuring a more productive workforce. 

Improved Retention Strategies

Embedded hiring platforms offer features that assist in employee retention efforts. They facilitate performance tracking, feedback, mechanisms, and career development plans, fostering a positive work environment and reducing turnover. Additionally, best-fit candidates are less likely to turn over quickly. 

The Productivity Advantages of Embedded Hiring for Construction Companies 

Embedded hiring offers numerous productivity benefits to construction companies, including:

• Time and Cost Savings
• Increased Efficiency 
• Talent Pipeline Development 

Time and Cost Savings 

Streamlining the hiring process through construction software platforms reduces administrative burdens, minimizes manual tasks, and saves time and money traditionally spent on recruitment. We got into this at a more granular level in the last blog in our construction series, You Can’t Do Workforce Management Without Hiring. However, automating hiring can help save construction organizations time and money, boosting productivity. 

Increased Efficiency

By leveraging embedded hiring capabilities, construction companies can quickly identify qualified candidates, match them with suitable positions, and onboard them seamlessly. This efficiency translates into improved project timelines and overall productivity. 

Talent Pipeline Development 

Embedded hiring solutions enable construction companies to build and maintain a robust talent pipeline. By nurturing relationships with potential candidates, companies can fill vacancies promptly and reduce downtime. 

Embedded Hiring Gives Construction Software a Significant Advantage by Helping Productivity Increase

Embedded hiring is a game-changer for construction SaaS and the construction industry. By embracing innovative hiring solutions, construction companies can help begin overcoming some of the productivity challenges they face. As the industry evolves, embracing embedded hiring will be crucial for construction companies to stay competitive and thrive and a differentiator for construction SaaS looking to stand out. 

HiringThing is the creator of embeddable hiring solutions that SaaS companies use to offer proprietary recruiting solutions to their clients. Set up a chat with one of our business development representatives to learn more about giving your construction SaaS a new competitive edge. 

About HiringThing

HiringThing is a modern recruiting platform as a service that creates seamless hiring experiences. Our private label applicant tracking system and open API enables technology and service providers to add hiring capabilities to their solution. Approachable and adaptable, their platform empowers anyone, anywhere, to hire their dream team.