Last week news broke about a recently finalized acquisition in HR Technology: Candidate.Guru, a recruitment technology company that has raised more than $2MM in funding, has acquired Elevated Careers. eHarmony put the technology up for sale in January. The financial details between the two private companies were not disclosed. (1)
While we may not know the dollar amounts, we do know Dan Erickson, head of the Elevated Careers project at eHarmony, will join Candidate.Guru from Los Angeles. And he's not the only one. While eHarmony's Chief Data Scientist, Dr. Steve Carter, was recently recruited to Facebook, he will join Candidate.Guru's Board and act in an advisory capacity to their data science team.
For eHarmony's part, CEO Grant Langston says he believes this to be a good match. “We’re extremely happy that Candidate.Guru is going to continue on this mission we started 3 years ago.”
Chris Daniels, Candidate.Guru’s CEO, agrees. “With this acquisition, we are gaining cutting-edge employee/job candidate survey and matching technology, the perfect complement to the artificial intelligence technology Candidate.Guru has already developed to predict a culture fit between job candidates and companies.”
He and his Co-Founder, Steve Carter (not the same Steve Carter who created the algorithm at eHarmony), believe Elevated Careers will give Candidate.Guru what they need to provide the human resource industry deeper insights into the talent needed to drive performance in organizations.
While some have questioned whether Elevated Careers really had what it takes to go the distance, Carter believes it’s really a matter of positioning. “We did a very thorough due diligence of the product. While we saw the massive effort eHarmony made getting Elevated’s name into the marketplace as useful, the superior development of their technology is ultimately what drove our decision.” he said. “Our vision is to become the industry standard for employee engagement and culture engagement solutions." He believes this purchase will allow them to do just that.
Part of that positioning involves dropping the B2C focus and instead solely serving employers. Although the initial plan is to offer Elevated Careers as a separate product set, Daniels and Carter believe when paired with their existing product, organizations will be able to help companies achieve 4 things:
- quantifiably define the state of their culture,
- quickly predict who can fit into the existing culture,
- learn what drives people to be productive within their company and the existing behaviors that are hindering productivity
- how to make changes the workforce profile without sacrificing culture stability and productivity.
If successful, this could save their clients millions in productivity losses due to disengaged employees and regrettable attrition costs. That would make this a HR Technology match to die-for.
(1) As I have previously disclosed, eHarmony was a client and I worked with the Elevated Careers by eHarmony team as an advisor on product positioning and AOR for marketing. They are no longer a client; however, I still use the product with clients as part of our Employer Brand/Culture Marketing projects.