Understanding Applicant Tracking Systems: A Guide for Freshers

Are you a fresher wondering why your resume isn’t getting through to recruiters despite your qualifications? The answer might lie in how Applicant Tracking Systems (ATS) work. Many companies rely on ATS to simplify and manage their recruitment process. For those just starting their careers, understanding the workings of ATS can significantly enhance your chances of being noticed by recruiters.

In this article, I will answer most common questions about ATS and share practical tips to help your resume stand out.

1. Does every company use an ATS?

ATS is commonly used by large organizations, especially Fortune 500 companies, to manage high volumes of applications. According to recent studies, 98% of Fortune 500 companies and approximately 66% of large companies use ATS. However, smaller companies and startups are also starting to use these systems to streamline their hiring.

2. Do ATS automatically reject resumes without specific keywords?

Modern ATS systems use AI to understand context, not just keywords. They don't automatically reject resumes, they might prioritize certain keywords. but hiring managers can still review resumes that aren't ranked at the top.

3. Should I include every keyword from the job description in my resume?

Keep it natural. Stuffing your resume with keywords might help with ATS, but it'll look forced to human readers. There is also a chance that modern AI powered ATS can detect this practice. Find the sweet spot between optimization and readability.

4. Are resumes with images or graphics likely to be rejected by ATS?

Yes, most ATS struggle with complex designs. Stick to simple, text based formatting to ensure your resume is parsed correctly. According to ATS providers, even tables and columns can cause parsing errors in 25-40% of cases.

5. Does ATS rank candidates?

Some ATS have ranking features based on how well your resume matches the job description. However, ranking depends on the specific system and settings used by the employer.

6. Is it true that ATS cannot read PDF resumes?

No, Most ATS can read PDFs but it depends on the specific ATS. some older systems may struggle with PDFs, to be safe, it’s better to use a Word document unless the job posting specifically requests a PDF.

7. Are headers and footers a problem for ATS?

Yes, some ATS may not read information placed in headers and footers. Keep all critical details in the main body of your resume. Tests show that 80% of ATS systems have trouble accurately parsing headers and footers.

8. Does tailoring my resume for each job application really matter?

Yes, tailoring your resume increases your chances of passing ATS filters and catching the recruiter’s attention. Most ATS systems track application patterns and can detect generic resumes.

9. Do spelling errors affect ATS screening?

Not directly, as ATS may not catch them, but they can create a poor impression on recruiters who review your resume. As per studies, 77% of hiring managers reject resumes with typos.

10. Do freshers have fewer chances of getting shortlisted by ATS compared to experienced professionals?

No, ATS evaluates resumes based on relevance to the job description, not experience. Modern ATS systems evaluate based on skills match rather than years of experience. Many now include algorithms to identify potential in entry level candidates through academic projects and internships.

11. Do ATS systems favor longer resumes?

No, ATS does not prioritize length. Focus on concise, relevant information tailored to the job description. Studies show that resumes between 475-600 words have the highest success rate with ATS systems while remaining readable for recruiters.

12. Does ATS automatically reject resumes without human involvement?

No, ATS ranks and scores resumes but does not outright reject them. Most companies configure their ATS to rank rather than reject. Industry data shows that 99% of Fortune 500 companies have human review as part of their process.

Tips to Optimize Your Resume for ATS

• Use Keywords Wisely: Extract relevant keywords from the job description and incorporate them seamlessly into your resume.
• Stick to Standard Formatting: Use simple bullet points and standard section headings like “Work Experience” and “Skills.”
• Tailor Your Resume: Customize your resume for each job application to highlight the most relevant skills and experiences.
• Keep It Simple: Avoid images, tables, and unconventional fonts. Use common fonts like Arial or Calibri and avoid decorative elements.
• No space for errors: Proofread thoroughly to ensure your resume is error free.
• Include Relevant Information: Highlight relevant internships, certifications, and academic projects.
• Test Your Resume: Use various tools to check if your resume is ATS friendly and aligned with the job description.

Understanding how ATS works is the first step toward creating a resume that gets noticed. By optimizing your resume and tailoring it to each job application, you increase your chances of landing an interview. Feel free to share your thoughts or questions in the comments.

Note: This information is collected from industry experts and hiring managers in my friends circle and from data available on the web. ATS systems are continuously evolving. So always check specific company guidelines for the most current requirements.