Home HR library Return on Investment (ROI) of an ATS guide

Discover the potential return on investment (ROI) of an ATS

What are the actual time and cost savings your organization can achieve by implementing applicant tracking software? This short, practical guide tells you everything you need to know about the return on investment of an ATS, backed by concrete data and expert advice.

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ROI Guide

Why download the guide?

Calculating the return on investment (ROI) of an ATS is an essential step before submitting a budget request to your management. Our tool helps you quantify the actual benefits (in terms of time, money, and hire quality) to build a strong and convincing case.

Frequently Asked Questions: ROI of an ATS

Get quick answers to your questions.

How do I calculate the cost of an ATS for my organization?

Start by mapping your current costs: hours spent manually managing applications, job board subscriptions, time spent scheduling interviews, and the cost of screening mistakes. Then estimate the time savings an ATS would generate, convert those hours into dollars using average salary rates, and subtract the software cost to get your ROI.

What costs should I include in an ATS justification case?

A complete case should account for direct costs (job board subscriptions, communication tools, screening error corrections) and indirect costs (recruiter time on administrative tasks, slow candidate response times, cost of prolonged open positions). Indirect costs are often underestimated and typically represent the greatest savings opportunity.

How long does it take to break even on an ATS investment?

Organizations with high hiring volumes or heavily manual processes often see a return within the first quarter after go-live. For most companies, the break-even point is reached within 4 to 6 months — sometimes sooner when factoring in reduced time-to-hire and improved candidate quality.

Is an ATS suitable for SMBs, or only large entreprises?

An ATS is often even more impactful for SMBs, where every hire directly affects team performance. Small businesses rarely have a dedicated recruitment team, making the automation of repetitive tasks (job posting, application sorting, candidate communications) especially valuable and cost-effective.

What's the difference between an HRIS and an ATS?

An ATS (Applicant Tracking System) focuses specifically on recruiting: application management, job postings, and interview workflows. An HRIS covers the full employee lifecycle from hire to departure. Some platforms like Folks combine both, delivering an even higher ROI by centralizing all HR processes on a single platform.

Discover the potential ROI of an ATS