The Banking and Financial Services industry (BFSI) is undergoing a digital transformation, spurred by the next-generation requirements for fintech. The COVID-19 pandemic has also changed the way we work, with the banking industry being no exception to that.
The resurgence of economic activity has led to increased hiring in BFSI. Competency requirements have changed for this sector, and there is a need to recruit candidates who are technically, behaviorally and digitally competent.
Recruitment in banking — a complicated conundrum
Hiring in the banking sector can be a complex and long-drawn process.
Public sector banks in India publish notifications regarding availability of positions, well in advance. In India, there are various examinations held for banking recruitment. Exams conducted by State Bank of India (SBI), Institute of Banking Personnel Selection (IBPS), Reserve Bank of India (RBI), India Post Payments Bank (IBPP) and National Bank for Agriculture and Rural Development (NABARD) are some of the prominent ones for public sector banks. Depending on the bank and position, the mode of selection includes tests, interviews and, possibly, group discussions. Private sector banks have their own criteria for recruitment and selection. Banking recruitment is characterised by large-scale and high-volume hiring.
Digital transformation has led to a revolution in banking operations, and brought in new skill requirements. Like most other sectors, BFSI faces a skill gap, in terms of both technical and digital competencies. Banks also face competition from other industries such as the IT industry. Banks and financial institutions have new emerging roles — data scientists, software engineers, customer relationship managers who can analyse customer preferences and so on. Traditional entry-level roles at banks are also undergoing changes, and candidates are now required to be multi-skilled.
Large-volume recruitment also means that HR teams in banks struggle with traditional recruitment processes such as reaching out to candidates, administering tests and organising multiple interviews. Manual processes lead to long waits, which could lead to job offers being turned down by selected candidates. These challenges are compounded by the remote and hybrid system of working.
Benefits of virtual hiring in banks
To attract a young workforce and draw top talent, banks need to revisit traditional hiring practices. A virtual hiring platform can mitigate several recruitment challenges for banks.
Virtual recruitment offers several advantages for BFSI. Some of these are:
- Virtual hiring is eminently suited to large-volume recruitment, as is done in the banking sector. Psychometric testing for personality, numericals or reasoning, and skills-based assessments can be conducted virtually, with automated online proctoring and AI-based identity verification. This can prove to be a huge cost and time saver.
- Virtual recruitment provides access to a wider candidate pool, and allows banks to recruit candidates in remote locations, constrained by travel requirements.
- Video conferencing and video interviews help recruiters easily connect with candidates, putting them at ease, and saving travel-related cost and time for the organisation. Asynchronous interviews let candidates record their responses to standardised questions, which, in the process, provide candidates both comfort and flexibility.
- A virtual hiring platform can greatly reduce the waiting time, and speeden up the recruitment process, with online tests and video interviews eliminating the need for travel. The platform offers an enhanced candidate experience that greatly reduces the possibility of drop-offs by selected candidates.
- Virtual hiring lets banks easily adapt to the environment. They can rescale or descale recruitment, based on need. It offers HR and recruitment teams more flexibility.
- With AI technology, banks can easily identify “right-fit” candidates based on automated match of requirements and skills, leading to a far more efficient process and saving valuable recruiter time.
- Virtual hiring platforms greatly reduce bias during recruitment by using standardised interview questions, predictive analytics to find truefit candidates and collaborative decision making with multiple rounds of interviews. The interviews can be recorded and played back if necessary.
- A virtual hiring platform offers end-to-end automation of recruitment processes, along with integration of backend systems, leading to higher efficiency and productivity for HR teams and the organisation as a whole.
HirePro’s virtual hiring platform is a complete automated remote recruitment solution, right from candidate sourcing to onboarding. Suitable for high-volume hiring, the platform offers automated screening, fraud-proof assessments, automated detection and ID verification, prevention of impersonation, flawless video interviews, offer management and virtual onboarding.
For banks, the ongoing digital transformation that requires new skills, and a changing work environment with remote and hybrid workplaces coming into play, a virtual hiring platform would streamline talent acquisition and help build a nimble, agile and innovative workforce.