Everything You Need to Know About Applicant Tracking Systems (ATS)

What is an ATS?

An ATS is software that many companies use to manage job applications. When you apply online, your resume often goes through an ATS before a human ever sees it. Here’s what it does:

  • Collects all the resumes submitted for a job
  • Scans them for keywords that match the job description
  • Filters out resumes that don’t meet the basic requirements
  • Tracks where each applicant is in the hiring process

Who Uses Applicant Tracking Systems?

ATS are commonplace in hiring, in fact, 98.4% of Fortune 500 companies use an ATS. They aren’t alone though, ATS are used by a wide range of organizations, including:

  • Staffing agencies
  • Government organizations
  • Mid-sized companies
  • Small businesses
  • Nonprofits & NGOs

How it Works

When a company posts a job, recruiters enter key info—like required skills, job titles, and experience—into the ATS. Then, when you apply:

  • The ATS scans your resume and cover letter for keywords that match the job.
  • It may rank applicants based on how well their materials match the job description.
  • It filters out resumes that don’t meet the basic requirements.
  • Recruiters can then search the system for strong candidates using keywords or review the top-ranked ones

That’s why it’s important to customize your resume for each job—so the ATS can recognize you as a strong match.

How to Optimize Your Resume for the ATS

Use the same language as the job posting. This means using similar words and phrases to describe your skills and experience—this is called tailoring your resume.

Pick out key words and skills from the job description and work them naturally into your resume and cover letter.

Match your materials to what recruiters search for. That includes skills, majors, job titles, certifications, and experience. The closer your resume matches the job, the more likely it is to get noticed.