Is an ATS the same as a CRM? Understanding the key differences

Is an ATS the same as a CRM? Understanding the key differences

How to choose the right system for recruitment and business growth

3 min read

Oct 18, 2025

Is an ATS the same as a CRM? Understanding the key differences

How to choose the right system for recruitment and business growth

3 min read

Oct 18, 2025

In the realm of modern recruitment, understanding whether to invest in an Applicant Tracking System (ATS) or a Candidate Relationship Management (CRM) system is vital for any business. Especially for companies active in IT outsourcing, IT consulting, recruitment, and HR management, choosing the right tool can make a real difference in efficiency, quality of hire, and scalability.

 

In this article, we unpack the key differences between an ATS and a CRM, highlight where each fits in a business strategy, and explain how using the right system can lead to stronger hiring outcomes for your management teams.

 

 

What exactly is an ATS versus a CRM?

 

An ATS is designed primarily to manage open roles: job postings, application screening, interview scheduling, and hiring workflows. According to industry research, “an ATS primarily focuses on filling current positions, while a CRM focuses on maintaining a candidate pool for future vacancies".

In contrast, a CRM is built to nurture relationships with talent (especially passive candidates) and to support longer-term pipelines and employer-brand management. 

 

One summary puts it this way:

  • ATS = a reactive tool for when you have an immediate vacancy. 
    TechTarget
  • CRM = a proactive tool for building and maintaining engagement with candidates even when you don’t have roles open. 

 

For businesses in IT outsourcing, IT consulting, or general recruitment and business management settings, being clear about these roles matters because each system supports different parts of the talent-acquisition lifecycle.

 

For companies in IT outsourcing or IT consulting, where the talent competition is intense and specialist skills are required, the value of a CRM becomes greater, but only once you have an ATS delivering your core hiring needs effectively. Industry data shows that usage of CRM is rising: “Research shows that 61% of companies now spend more on CRM software than standalone ATS systems".

 

 

Why it matters for recruitment and your business strategy

 

When your business is engaging in HR management, recruitment, and building teams in complex fields such as IT, using the right system means:

  • Reduced time-to-hire because an ATS automates screening, scheduling, and tracking. According to one source, an ATS can reduce time to fill by up to 60%.
  • Improved candidate experience, which reinforces your employer brand and helps with retention and referrals.
  • Better management of candidate data: rather than managing spreadsheets or disconnected pipelines, the right system centralises information.
  • Strategic talent-pooling: a CRM lets you engage with high-potential candidates ahead of need: this is key in fast-moving sectors such as IT outsourcing, where skill gaps may emerge quickly.
  • Alignment with business goals: whether your business is scaling, managing multiple clients, or entering new geographies, your recruitment tech must support both operational hiring and strategic talent planning.

 

 

Choosing the right path: ATS, CRM, or both?

 

Here are some practical guidelines for your decision-making:

  • If your immediate need is to fill open roles efficiently and ensure your recruitment process is robust, start with an ATS.
  • If you already have high-volume hiring, stable workflows, and want to build a competitive advantage via talent-pipelining and employer-brand engagement, then adding or integrating a CRM is wise.
  • In many mature businesses, the answer isn’t one or the other, it’s both. A combined ATS + CRM solution (or an integrated platform) often yields the best long-term results. 
  • Consider your current pain-points: is your issue slow hires and process inefficiency (ATS problem) or lack of candidate engagement, repeated empty job-slots, and weak brand presence (CRM problem)?
  • Ensure any system you choose supports your specific domain: for example, in IT outsourcing and IT consulting, candidate availability, skill matching, compliance, and global deployment are important factors.

 

 

If your business operates in IT outsourcing, IT consulting, recruitment, or broader HR management, and you are evaluating whether an ATS, a CRM, or an integrated solution is right for you, then Fullsight is the ATS you need. With Fullsight, you get a powerful tool designed to optimize business performance, improve the quality of hires, and support long-term growth.

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