Before recruiting tech company Scout Exchange launched, there wasn’t an easy way for employers to find the right search firm recruiter for every open job.
That’s why many employers would resort to using search firm recruiters they already knew, or vendors their colleagues recommended — even if they had no idea how successful these firms would be in helping them identify the right candidates at the right time.
“While technology has streamlined many HR processes, corporate recruiting is still more difficult and time consuming than it should be, presenting real opportunity to disrupt the $500 billion global recruiting market,” said John Chuang, CEO of TRI Ventures, in a statement.
That’s why Chuang’s investment firm just tipped $100 million in funding into Scout Exchange, a Boston-based recruiting platform that’s quickly being adopted by hundreds of employers, including 50 Fortune 500 companies.
The funding will be used to accelerate the growth of Scout’s machine learning-powered recruitment marketplace, expand the tech company’s Boston team and enhance both its matching algorithms and analytics platform.
“By combining intelligent software with the proven efficiencies from B2B marketplaces, Scout is pushing the limits of what’s possible to create a new category of recruiting that’s much more efficient and effective than traditional approaches,” Chuang said in a statement.
As one of the earliest investors in home review marketplace Angie’s List, Chuang has a history of backing consumer and enterprise technology companies. Most recently, his investments have trended toward HR tech. Before leading TRI Ventures, Chuang creative staffing agency Aquent.
What sets Scout apart is that opposed to the traditional “1:1” recruiting model, which limits employers and search firm recruiters to working with people they already know, Scout harnesses machine learning and applies it to the recruiting marketplace to locate the best search firm recruiters to fill each job.
Tracking important recruiting data helps Scout build profiles and analytical models to track best recruiting practices and success indicators, which are then used to create more successful matches between employers and search firms.
Scout’s software also offers complimentary search firm vendor management, streamlined contract and invoicing, and recruiting performance reporting and analytics. Scout also handles onboarding and training for all employer users, as well as all new and existing firm users.
“By curating the best recruiters for each job, Scout ensures higher quality candidates, faster time to fill and reduced cost,” said Liz Bradley, director of communications for Scout Exchange.
Scout currently employs 100 in Boston, and is currently hiring for product, sales, marketing and engineering roles.