CIEL believes, this metric is very important for the roles which are hired in large numbers.
Ciel’s Recommended formula: ROI = Impact/Cost
Impact is the revenue that is assignable to the efforts of the person over a period of time, the length of which depends upon the industry sector and the level of the role in the organization. Cost here has two components: Direct and Indirect.
The direct costs are those incurred on advertising, recruiting agency fees, travel and stay etc. Indirect costs are the cost of effort and time spent in the recruiting cycle, right from defining the requirement, broadcasting it, reviewing incoming applications till the person completes onboarding and training.
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Source : https://www.linkedin.com/pulse/hiring-roi-set-become-benchmark-recruitment-aditya-mishra?trk=pulse_spock-articles