👉 Recruiting math involves calculating the number of new hires needed to achieve specific business goals, often focusing on filling open positions while maintaining a healthy employee-to-customer ratio or profit margin. It typically starts with forecasting future sales or revenue, then estimates the number of customers or units needed. From there, it determines the required headcount based on average sales per employee and desired profit margins. For example, if a company expects to sell 10,000 units at $50 each, generating $500,000 in revenue, and wants a 30% profit margin (adding $150,000), it needs 200 employees (to cover costs and generate desired profit). Adjustments are made for turnover, promotions, and varying productivity, ensuring the recruitment plan aligns with strategic business objectives.
