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How to Calculate Your Tech Recruitment ROI

How to Calculate Your Tech Recruitment ROI

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Ruehie Jaiya Karri
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December 3, 2021
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3 min read
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The demand for technical talent is higher than ever. Our brand new edition of the State Of Developer Recruitment survey reports that over 30% of respondents are expecting to hire over 100 developers in 2022.Frantically sinking resources into hiring at scale when there are chances that several employees will quit before their first-year mark is your sign to stop and evaluate your tech recruiting ROI; especially when the cost of a bad hire is an expensive mistake to make.

The tech industry already has a high rate of attrition with costs of bad hires skyrocketing. It cannot afford any further delays due to hiring slips and misses. Keeping certain performance indicators in mind will help you assess what is working for you and what needs to be tweaked.

What is Recruitment ROI?

Recruitment ROI (Return on Investment) is a performance measure used to evaluate the efficiency of an organization’s hiring process. It helps businesses and HR professionals determine the value and effectiveness of their recruitment strategies. Simply put, Recruitment ROI gauges the benefits (qualified candidates, successful hires) against the costs (advertising expenses, recruiter salaries, interview expenses, etc.) involved in the recruitment process.

Understanding this metric helps companies allocate their resources more efficiently, ensuring that every dollar spent on hiring brings the maximum possible value to the organization.

7 metrics to monitor tech recruiting ROI

Metric to calculate your tech recruiting ROI

Time to hire

On average, it takes 42 days to fill an open position. Right from posting a new job opening to hiring a candidate for that role constitutes the time to fill metric. It takes time to complete the process right from sourcing, recruitment marketing, screening to interviewing. It is every recruiter’s goal to reduce the time to fill by as much as possible but it is increasingly difficult to do so when recruiting technical talent.

Coupled with the usual sourcing and interviewing phases, you also need to carry out skills assessments, which only prolongs the time to hire. If this area needs to be optimized, it is time to streamline your hiring processes. Cut down on the several phases of the interview; assess your candidate with a skills assessment instead of a phone interview.

Quality of hire

This recruitment metric is vital to evaluating whether the newly employed candidate is a good hire or a bad hire. You need to assess how much value the new hire contributes to the team and what is their impact on the long-term success of the company. This is subjective and varies from company to company as performance/culture fit can’t just be confined to scores or numbers.

Improving the quality of the source from where you’re hiring directly improves the quality of the candidates. Instead of relying on high-volume recruitment tactics, where you get plenty of leads of under-qualified candidates limit your talent pool. Set aside applicants that are a right fit for the role. Also, assess the ratio of passive to active candidates in your talent pool and work on improving this.

Cost per hire

The simplest way to measure return on investment for your tech recruiting is to calculate how much you’re spending for each hire. What costs are you running up for the entire talent acquisition process? Can you switch to a new tool that is not such a drain on the resources without compromising on its performance? How much are you spending on recruitment marketing?

Tracking the cost per hire helps you analyze where you’re spending more money than you should, how to reduce it, and provides an opportunity for you to spend it elsewhere.

Candidate experience

63% of job seekers will likely reject a job offer because of poor candidate experience, and you certainly don’t want that. If your hiring procedures are clunky and long, you decrease your chances of attracting top talent by a lot. Find the gaps in your tech recruitment processes to make them candidate-friendly and improve your employer brand.

Getting a candidate on board is not the end game. You have to keep an eye on how the early days of the new hire are going, ensure that they are satisfied with the job, and meet expectations of the role.

Recommended read: 5 Reasons For Bad Candidate Experience In Tech Interviews

First-year attrition

A new hire will take a minimum of one year to settle down and begin producing their best work, especially in an engineering team. If your candidates are leaving before they complete a year with you, you never have a chance of getting back what you invested in them. Talent acquisition costs will add up and affect your company’s bottom line.

Unclear expectations and poor performance lead to first-year attrition. When candidates are met with unrealistic expectations that don’t necessarily align with the job requirements, it’s more likely they’ll quit the position within a year. And when you hire an unsuitable candidate for the job, performance will suffer and you may have to let the employee go. Take care to clearly communicate what is expected out of the candidate for the position and ensure they have enough resources to maximize their performance.

Offer acceptance rate

An offer acceptance rate (OAR) determines the percentage of candidates who have accepted a formal job offer letter from your organization. This measurement ought to be vigorously depended on as a sign of a recruiter’s competence.

It is indicative of the recruiter’s ability to trace out the candidate’s priorities, needs, and major issues before an offer is extended. It is no mean feat to arrive on an offer that hits the sweet spot for both the applicant and the organization.

Application completion rate

Another important metric to track is the number of individuals who finish your application form. Low application completion rates mean that individuals drop off midway by as much as 60% according to a CareerBuilder survey — because it’s too lengthy, is tedious, or complicated.

It could also show some sort of technical issue. Investigate low application completion rates right away. Your entire hiring process is hindered until you do, especially as this is the first step in a series of rounds.

Formula for calculating Recruitment ROI

To calculate the ROI of your recruitment process, you can use the following formula:

Recruitment ROI = ((Benefits of Hiring−Cost of Recruitment)/Cost of Recruitment)×100

where,

Benefits of Hiring is the monetary value that a new hire brings to the organization. This could be measured in terms of the new hire’s revenue generation, cost savings, or any other financial metric deemed relevant,

and,

Cost of Recruitment is the cumulative of expenses associated with the recruitment process. This includes advertising costs, recruiter salaries, interview expenses, onboarding costs, training costs, and any other relevant expenses.

By calculating Recruitment ROI, you can determine the percentage return on the investments made to hire.

Challenges in measuring Recruitment ROI

Measuring Recruitment ROI is undeniably complex, but by understanding and addressing these challenges, organizations can gain a clearer picture of their hiring process‘s efficiency and effectiveness. Some of the common challenges faced while measuring this metric are listed below:

1. Quantifying intangible benefits is hard: Unlike direct costs, benefits like improved team synergy, cultural fit, or long-term potential of a recruit can be challenging to quantify.

2. Variable costs can affect standardization: Costs can vary widely between hiring campaigns, making it challenging to maintain a standard measure for ROI calculations.

3. There is usually no immediate ROI: The true ROI of a recruit might be realized only after a significant amount of time, especially if the position requires extensive training or has a longer gestation period for maximum productivity.

4.Speed of hiring can affect ROI: It’s essential to balance the quality of hires with the number of hires. An organization might make many inexpensive hires quickly, but if those hires are not a good fit, the long-term ROI may be negative.

5. Indirect costs might be hard to quantify: There are hidden costs associated with recruitment, such as the time managers spend on interviews, which might not be easily accounted for.

6. ROI can change if the business goals change: As business objectives shift, the value or “benefit” expected from a hire might change, affecting the perceived ROI.

7. External factors: Economic changes, industry trends, and labor market shifts can all impact the cost or value of a new hire, complicating ROI calculations.

How we calculate recruiting ROI at HackerEarth

HE's Tech Recruiting ROI Calculator

We designed an ROI Calculator that simulates the potential amount of time you could save if you use HackerEarth’s offerings in your tech hiring process. This would directly lead to a significant decrease in the cost per hire metric. That’s why they say, “Time is of the essence when it comes to making quality hires!”

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Author
Ruehie Jaiya Karri
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December 3, 2021
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3 min read
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How I used VibeCode Arena platform to build code using AI and leant how to improve it

I Used AI to Build a "Simple Image Carousel" at VibeCodeArena. It Found 15+ Issues and Taught Me How to Fix Them.

My Learning Journey

I wanted to understand what separates working code from good code. So I used VibeCodeArena.ai to pick a problem statement where different LLMs produce code for the same prompt. Upon landing on the main page of VibeCodeArena, I could see different challenges. Since I was interested in an Image carousal application, I picked the challenge with the prompt "Make a simple image carousel that lets users click 'next' and 'previous' buttons to cycle through images."

Within seconds, I had code from multiple LLMs, including DeepSeek, Mistral, GPT, and Llama. Each code sample also had an objective evaluation score. I was pleasantly surprised to see so many solutions for the same problem. I picked gpt-oss-20b model from OpenAI. For this experiment, I wanted to focus on learning how to code better so either one of the LLMs could have worked. But VibeCodeArena can also be used to evaluate different LLMs to help make a decision about which model to use for what problem statement.

The model had produced a clean HTML, CSS, and JavaScript. The code looked professional. I could see the preview of the code by clicking on the render icon. It worked perfectly in my browser. The carousel was smooth, and the images loaded beautifully.

But was it actually good code?

I had no idea. That's when I decided to look at the evaluation metrics

What I Thought Was "Good Code"

A working image carousel with:

  • Clean, semantic HTML
  • Smooth CSS transitions
  • Keyboard navigation support
  • ARIA labels for accessibility
  • Error handling for failed images

It looked like something a senior developer would write. But I had questions:

Was it secure? Was it optimized? Would it scale? Were there better ways to structure it?

Without objective evaluation, I had no answers. So, I proceeded to look at the detailed evaluation metrics for this code

What VibeCodeArena's Evaluation Showed

The platform's objective evaluation revealed issues I never would have spotted:

Security Vulnerabilities (The Scary Ones)

No Content Security Policy (CSP): My carousel was wide open to XSS attacks. Anyone could inject malicious scripts through the image URLs or manipulate the DOM. VibeCodeArena flagged this immediately and recommended implementing CSP headers.

Missing Input Validation: The platform pointed out that while the code handles image errors, it doesn't validate or sanitize the image sources. A malicious actor could potentially exploit this.

Hardcoded Configuration: Image URLs and settings were hardcoded directly in the code. The platform recommended using environment variables instead - a best practice I completely overlooked.

SQL Injection Vulnerability Patterns: Even though this carousel doesn't use a database, the platform flagged coding patterns that could lead to SQL injection in similar contexts. This kind of forward-thinking analysis helps prevent copy-paste security disasters.

Performance Problems (The Silent Killers)

DOM Structure Depth (15 levels): VibeCodeArena measured my DOM at 15 levels deep. I had no idea. This creates unnecessary rendering overhead that would get worse as the carousel scales.

Expensive DOM Queries: The JavaScript was repeatedly querying the DOM without caching results. Under load, this would create performance bottlenecks I'd never notice in local testing.

Missing Performance Optimizations: The platform provided a checklist of optimizations I didn't even know existed:

  • No DNS-prefetch hints for external image domains
  • Missing width/height attributes causing layout shift
  • No preload directives for critical resources
  • Missing CSS containment properties
  • No will-change property for animated elements

Each of these seems minor, but together they compound into a poor user experience.

Code Quality Issues (The Technical Debt)

High Nesting Depth (4 levels): My JavaScript had logic nested 4 levels deep. VibeCodeArena flagged this as a maintainability concern and suggested flattening the logic.

Overly Specific CSS Selectors (depth: 9): My CSS had selectors 9 levels deep, making it brittle and hard to refactor. I thought I was being thorough; I was actually creating maintenance nightmares.

Code Duplication (7.9%): The platform detected nearly 8% code duplication across files. That's technical debt accumulating from day one.

Moderate Maintainability Index (67.5): While not terrible, the platform showed there's significant room for improvement in code maintainability.

Missing Best Practices (The Professional Touches)

The platform also flagged missing elements that separate hobby projects from professional code:

  • No 'use strict' directive in JavaScript
  • Missing package.json for dependency management
  • No test files
  • Missing README documentation
  • No .gitignore or version control setup
  • Could use functional array methods for cleaner code
  • Missing CSS animations for enhanced UX

The "Aha" Moment

Here's what hit me: I had no framework for evaluating code quality beyond "does it work?"

The carousel functioned. It was accessible. It had error handling. But I couldn't tell you if it was secure, optimized, or maintainable.

VibeCodeArena gave me that framework. It didn't just point out problems, it taught me what production-ready code looks like.

My New Workflow: The Learning Loop

This is when I discovered the real power of the platform. Here's my process now:

Step 1: Generate Code Using VibeCodeArena

I start with a prompt and let the AI generate the initial solution. This gives me a working baseline.

Step 2: Analyze Across Several Metrics

I can get comprehensive analysis across:

  • Security vulnerabilities
  • Performance/Efficiency issues
  • Performance optimization opportunities
  • Code Quality improvements

This is where I learn. Each issue includes explanation of why it matters and how to fix it.

Step 3: Click "Challenge" and Improve

Here's the game-changer: I click the "Challenge" button and start fixing the issues based on the suggestions. This turns passive reading into active learning.

Do I implement CSP headers correctly? Does flattening the nested logic actually improve readability? What happens when I add dns-prefetch hints?

I can even use AI to help improve my code. For this action, I can use from a list of several available models that don't need to be the same one that generated the code. This helps me to explore which models are good at what kind of tasks.

For my experiment, I decided to work on two suggestions provided by VibeCodeArena by preloading critical CSS/JS resources with <link rel="preload"> for faster rendering in index.html and by adding explicit width and height attributes to images to prevent layout shift in index.html. The code editor gave me change summary before I submitted by code for evaluation.

Step 4: Submit for Evaluation

After making improvements, I submit my code for evaluation. Now I see:

  • What actually improved (and by how much)
  • What new issues I might have introduced
  • Where I still have room to grow

Step 5: Hey, I Can Beat AI

My changes helped improve the performance metric of this simple code from 82% to 83% - Yay! But this was just one small change. I now believe that by acting upon multiple suggestions, I can easily improve the quality of the code that I write versus just relying on prompts.

Each improvement can move me up the leaderboard. I'm not just learning in isolation—I'm seeing how my solutions compare to other developers and AI models.

So, this is the loop: Generate → Analyze → Challenge → Improve → Measure → Repeat.

Every iteration makes me better at both evaluating AI code and writing better prompts.

What This Means for Learning to Code with AI

This experience taught me three critical lessons:

1. Working ≠ Good Code

AI models are incredible at generating code that functions. But "it works" tells you nothing about security, performance, or maintainability.

The gap between "functional" and "production-ready" is where real learning happens. VibeCodeArena makes that gap visible and teachable.

2. Improvement Requires Measurement

I used to iterate on code blindly: "This seems better... I think?"

Now I know exactly what improved. When I flatten nested logic, I see the maintainability index go up. When I add CSP headers, I see security scores improve. When I optimize selectors, I see performance gains.

Measurement transforms vague improvement into concrete progress.

3. Competition Accelerates Learning

The leaderboard changed everything for me. I'm not just trying to write "good enough" code—I'm trying to climb past other developers and even beat the AI models.

This competitive element keeps me pushing to learn one more optimization, fix one more issue, implement one more best practice.

How the Platform Helps Me Become A Better Programmer

VibeCodeArena isn't just an evaluation tool—it's a structured learning environment. Here's what makes it effective:

Immediate Feedback: I see issues the moment I submit code, not weeks later in code review.

Contextual Education: Each issue comes with explanation and guidance. I learn why something matters, not just that it's wrong.

Iterative Improvement: The "Challenge" button transforms evaluation into action. I learn by doing, not just reading.

Measurable Progress: I can track my improvement over time—both in code quality scores and leaderboard position.

Comparative Learning: Seeing how my solutions stack up against others shows me what's possible and motivates me to reach higher.

What I've Learned So Far

Through this iterative process, I've gained practical knowledge I never would have developed just reading documentation:

  • How to implement Content Security Policy correctly
  • Why DOM depth matters for rendering performance
  • What CSS containment does and when to use it
  • How to structure code for better maintainability
  • Which performance optimizations actually make a difference

Each "Challenge" cycle teaches me something new. And because I'm measuring the impact, I know what actually works.

The Bottom Line

AI coding tools are incredible for generating starting points. But they don't produce high quality code and can't teach you what good code looks like or how to improve it.

VibeCodeArena bridges that gap by providing:

✓ Objective analysis that shows you what's actually wrong
✓ Educational feedback that explains why it matters
✓ A "Challenge" system that turns learning into action
✓ Measurable improvement tracking so you know what works
✓ Competitive motivation through leaderboards

My "simple image carousel" taught me an important lesson: The real skill isn't generating code with AI. It's knowing how to evaluate it, improve it, and learn from the process.

The future of AI-assisted development isn't just about prompting better. It's about developing the judgment to make AI-generated code production-ready. That requires structured learning, objective feedback, and iterative improvement. And that's exactly what VibeCodeArena delivers.

Here is a link to the code for the image carousal I used for my learning journey

#AIcoding #WebDevelopment #CodeQuality #VibeCoding #SoftwareEngineering #LearningToCode

The Mobile Dev Hiring Landscape Just Changed

Revolutionizing Mobile Talent Hiring: The HackerEarth Advantage

The demand for mobile applications is exploding, but finding and verifying developers with proven, real-world skills is more difficult than ever. Traditional assessment methods often fall short, failing to replicate the complexities of modern mobile development.

Introducing a New Era in Mobile Assessment

At HackerEarth, we're closing this critical gap with two groundbreaking features, seamlessly integrated into our Full Stack IDE:

Article content

Now, assess mobile developers in their true native environment. Our enhanced Full Stack questions now offer full support for both Java and Kotlin, the core languages powering the Android ecosystem. This allows you to evaluate candidates on authentic, real-world app development skills, moving beyond theoretical knowledge to practical application.

Article content

Say goodbye to setup drama and tool-switching. Candidates can now build, test, and debug Android and React Native applications directly within the browser-based IDE. This seamless, in-browser experience provides a true-to-life evaluation, saving valuable time for both candidates and your hiring team.

Assess the Skills That Truly Matter

With native Android support, your assessments can now delve into a candidate's ability to write clean, efficient, and functional code in the languages professional developers use daily. Kotlin's rapid adoption makes proficiency in it a key indicator of a forward-thinking candidate ready for modern mobile development.

Breakup of Mobile development skills ~95% of mobile app dev happens through Java and Kotlin
This chart illustrates the importance of assessing proficiency in both modern (Kotlin) and established (Java) codebases.

Streamlining Your Assessment Workflow

The integrated mobile emulator fundamentally transforms the assessment process. By eliminating the friction of fragmented toolchains and complex local setups, we enable a faster, more effective evaluation and a superior candidate experience.

Old Fragmented Way vs. The New, Integrated Way
Visualize the stark difference: Our streamlined workflow removes technical hurdles, allowing candidates to focus purely on demonstrating their coding and problem-solving abilities.

Quantifiable Impact on Hiring Success

A seamless and authentic assessment environment isn't just a convenience, it's a powerful catalyst for efficiency and better hiring outcomes. By removing technical barriers, candidates can focus entirely on demonstrating their skills, leading to faster submissions and higher-quality signals for your recruiters and hiring managers.

A Better Experience for Everyone

Our new features are meticulously designed to benefit the entire hiring ecosystem:

For Recruiters & Hiring Managers:

  • Accurately assess real-world development skills.
  • Gain deeper insights into candidate proficiency.
  • Hire with greater confidence and speed.
  • Reduce candidate drop-off from technical friction.

For Candidates:

  • Enjoy a seamless, efficient assessment experience.
  • No need to switch between different tools or manage complex setups.
  • Focus purely on showcasing skills, not environment configurations.
  • Work in a powerful, professional-grade IDE.

Unlock a New Era of Mobile Talent Assessment

Stop guessing and start hiring the best mobile developers with confidence. Explore how HackerEarth can transform your tech recruiting.

Vibe Coding: Shaping the Future of Software

A New Era of Code

Vibe coding is a new method of using natural language prompts and AI tools to generate code. I have seen firsthand that this change makes software more accessible to everyone. In the past, being able to produce functional code was a strong advantage for developers. Today, when code is produced quickly through AI, the true value lies in designing, refining, and optimizing systems. Our role now goes beyond writing code; we must also ensure that our systems remain efficient and reliable.

From Machine Language to Natural Language

I recall the early days when every line of code was written manually. We progressed from machine language to high-level programming, and now we are beginning to interact with our tools using natural language. This development does not only increase speed but also changes how we approach problem solving. Product managers can now create working demos in hours instead of weeks, and founders have a clearer way of pitching their ideas with functional prototypes. It is important for us to rethink our role as developers and focus on architecture and system design rather than simply on typing c

Vibe Coding Difference

The Promise and the Pitfalls

I have experienced both sides of vibe coding. In cases where the goal was to build a quick prototype or a simple internal tool, AI-generated code provided impressive results. Teams have been able to test new ideas and validate concepts much faster. However, when it comes to more complex systems that require careful planning and attention to detail, the output from AI can be problematic. I have seen situations where AI produces large volumes of code that become difficult to manage without significant human intervention.

AI-powered coding tools like GitHub Copilot and AWS’s Q Developer have demonstrated significant productivity gains. For instance, at the National Australia Bank, it’s reported that half of the production code is generated by Q Developer, allowing developers to focus on higher-level problem-solving . Similarly, platforms like Lovable or Hostinger Horizons enable non-coders to build viable tech businesses using natural language prompts, contributing to a shift where AI-generated code reduces the need for large engineering teams. However, there are challenges. AI-generated code can sometimes be verbose or lack the architectural discipline required for complex systems. While AI can rapidly produce prototypes or simple utilities, building large-scale systems still necessitates experienced engineers to refine and optimize the code.​

The Economic Impact

The democratization of code generation is altering the economic landscape of software development. As AI tools become more prevalent, the value of average coding skills may diminish, potentially affecting salaries for entry-level positions. Conversely, developers who excel in system design, architecture, and optimization are likely to see increased demand and compensation.​
Seizing the Opportunity

Vibe coding is most beneficial in areas such as rapid prototyping and building simple applications or internal tools. It frees up valuable time that we can then invest in higher-level tasks such as system architecture, security, and user experience. When used in the right context, AI becomes a helpful partner that accelerates the development process without replacing the need for skilled engineers.

This is revolutionizing our craft, much like the shift from machine language to assembly to high-level languages did in the past. AI can churn out code at lightning speed, but remember, “Any fool can write code that a computer can understand. Good programmers write code that humans can understand.” Use AI for rapid prototyping, but it’s your expertise that transforms raw output into robust, scalable software. By honing our skills in design and architecture, we ensure our work remains impactful and enduring. Let’s continue to learn, adapt, and build software that stands the test of time.​

Ready to streamline your recruitment process? Get a free demo to explore cutting-edge solutions and resources for your hiring needs.

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