May 20, 2024
How Deloitte could save 7 figures on hiring costs with SheetsInterview
Kevin Peters
Founder of sheetsinterview.com
Background
Deloitte, a global leader in professional services, employs approximately 408,000 people worldwide. Among these, around 1% are accountants, translating to roughly 3,800 professionals dedicated to maintaining financial accuracy and compliance within the organization. Given the high standards and rigorous hiring process Deloitte upholds, ensuring the best talent is both essential and resource-intensive.
Hiring accountants is a complex and costly process. Apart from meeting the demands of growth and industry standards, Deloitte faces the challenge of replacing departing accountants due to turnover. Assuming an annual turnover rate between 10% and 15%, Deloitte likely needs to hire between 380 and 570 accountants per year to maintain its workforce.
Traditional Hiring Costs and Time
The average time to hire for accountants in the US is 21 days. The process involves multiple steps, each consuming significant time and financial resources. Let us break down the typical costs associated with hiring a single accountant at Deloitte:
| Name | Min. duration | Max. duration |
|---|---|---|
| Job Posting and Initial Screening | 2.5 hours | 5 hours |
Interview Process | 3.5 hours | 7.5 hours |
| Evaluation and Decision-Making | 1 hour | 2 hours |
| Job Offer and Acceptance | 1 hour | 1 hour |
| Notice Period and Onboarding | 1 hour | 2.5 hours |
Assuming hourly wages for recruiters range from $25 to $40, and hiring managers from $50 to $75, let us calculate the cost estimates:
| Step | Lower range costs | Upper range costs | Average costs | From total (average) |
|---|---|---|---|---|
| Job Posting and Initial Screening | $62.50 | $200.00 | $131.25 | 28.00% |
| Interview Process | $87.50 | $262.50 | $175.00 | 37.33% |
| Evaluation and Decision-Making | $25.00 | $75.00 | $50.00 | 10.67% |
| Job Offer and Acceptance | $25.00 | $75.00 | $50.00 | 10.67% |
| Notice Period and Onboarding | $25.00 | $100.00 | $62.50 | 13.33% |
| Total | $225.00 | $712.50 | $468.75 | 100.00% |
In addition to these direct costs, job postings range from $100 to $500, and if a recruitment agency is involved, the fee is typically 15-25% of the first-year salary, potentially adding $10,500 to $17,500 per hire.
Reducing the costs with SheetsInterview
SheetsInterview offers a streamlined approach to assessing Excel skills, a crucial competency for accountants, significantly reducing the time and cost associated with the hiring process. SheetsInterview also focuses on evaluating the candidates which means the solution focuses on more than 50% of the hiring process for accountants.
Savings in time and net spend
Using SheetsInterview, Deloitte can expect the following reductions in time:
| Name | Min. duration | Max. duration |
|---|---|---|
| Job Posting and Initial Screening | 2.5 hours | 5 hours |
Interview Process | 1.5 hours from (3.5) | 3 hours (from 7.5) |
| Evaluation and Decision-Making | 0.5 hour | 1 hour |
| Job Offer and Acceptance | 1 hour | 1 hour |
| Notice Period and Onboarding | 1 hour | 2.5 hours |
This would lead to the following costs to hire an accountant with SheetsInterview:
| Step | Lower range costs | Upper range costs | Average costs | From total (average) |
|---|---|---|---|---|
| Job Posting and Initial Screening | $62.50 | $200.00 | $131.25 | 38.60% |
| Interview Process | $37.50 | $105.00 | $71.25 | 20.96% |
| Evaluation and Decision-Making | $12.50 | $37.50 | $25.00 | 7.35% |
| Job Offer and Acceptance | $25.00 | $75.00 | $50.00 | 14.71% |
| Notice Period and Onboarding | $25.00 | $100.00 | $62.50 | 18.38% |
| Total | $162.50 | $517.50 | $340.00 | 100.00% |
| Step | Lower range costs | Upper range costs | Average costs | From total (average) |
|---|---|---|---|---|
| Total before | $225.00 | $712.50 | $468.75 | 100.00% |
| Total after | $162.50 | $517.50 | $340.00 | 100.00% |
When we compare the data we can see that on average we save $128.75 per accountant that gets hired. And this does not even include all the rejected candidates.
Considering Deloitte should hire 380 and 570 accountants per year. This would result in cost savings:
$48,925.00when considering the lower bound of accountants hired$73,387.50when considering the lower bound of accountants hired
Rejected Candidates
The average application success rate at Deloitte is around 3.7%.
This means that for every accountant hired, there are 27 applications. And overall this means that Deloitte will get:
- 27 * 380 = 10260 to
- 27 * 570 = 15390
applications per year for accountants alone.
| Range | Applications | Success Rate | Hired accountants |
|---|---|---|---|
| Lower | 10,260 | 3.70% | 380 |
| Upper | 15,390 | 3.70% | 570 |
Considering with SheetsInterview we save time and money only at the Interview Process and Evaluation and Decision-Making, we can reuse the numbers from the previous chapter. Per accountant’s interview process we would save $128.75. With 27 interviews per accountant, Deloitte would be able to save $3,476.25 per position that was filled. Scaling that to their yearly hiring needs result in this table:
| Range | Applications | Cost savings / application | Success Rate | Hired accountants | Cost savings |
|---|---|---|---|---|---|
| Lower | 10,260 | $128.75 | 3.70% | 380 | $1,320,975.00 |
| Upper | 15,390 | $128.75 | 3.70% | 570 | $1,981,462.50 |
Additional Benefits of Using SheetsInterview
Reduced Time to Hire
Implementing SheetsInterview can significantly shorten the hiring process by automating and streamlining the assessment of key skills, such as proficiency in Excel. Traditional hiring processes, especially for technical roles like accountants, involve multiple stages of interviews and evaluations, which can be time-consuming. With SheetsInterview as a inexpensive solution, the initial assessment is automated, reducing the time needed for initial screenings and narrowing down the candidate pool more quickly. This allows hiring managers to focus on interviewing only the most qualified candidates, thus cutting down the overall time to hire. This efficiency can lead to faster onboarding and filling of crucial positions, helping companies like Deloitte maintain operational efficiency and reduce downtime associated with vacant roles.
Increased Accuracy
One of the most significant advantages of using SheetsInterview is the objective evaluation of candidates' Excel skills. Traditional methods often rely on resumes and interviews, which can be subjective and prone to biases. SheetsInterview provides a standardized testing environment where candidates are evaluated based on their actual performance on relevant tasks. This ensures that hiring decisions are made based on concrete evidence of skills and competencies, rather than impressions formed during interviews. Increased accuracy in assessing candidate skills leads to higher quality hires, which is particularly important for roles that require strong technical expertise, such as accounting and financial analysis.
Scalability
Scalability is a crucial benefit for large organizations like Deloitte, which hires thousands of employees annually. Traditional hiring processes can become cumbersome and inefficient when dealing with large volumes of candidates. SheetsInterview addresses this issue by providing a platform that can handle a high volume of assessments simultaneously without compromising the quality of evaluations. This allows companies to efficiently assess a large number of candidates, ensuring that all potential hires are given equal opportunity to demonstrate their skills. Moreover, the scalability of SheetsInterview means that companies can quickly adapt to increasing hiring demands without the need for additional resources or significant changes to their existing recruitment infrastructure.
Conclusion
By leveraging SheetsInterview, Deloitte can optimize its hiring process for accountants, saving both time and money while enhancing the accuracy and scalability of candidate assessments. This streamlined approach aligns with Deloitte's commitment to technological innovation and operational efficiency, ensuring that the company continues to attract and retain top talent in the industry.
For more information or to try SheetsInterview for free, visit sheetsinterview.com. Save time, reduce costs, and hire the best talent efficiently with SheetsInterview.