ATS Guide

Understanding ATS: How Applicant Tracking Systems Really Work

Demystify the black box of applicant tracking systems. Learn how these systems scan resumes, what keywords matter, and how to ensure your resume passes the initial screening.

Resume Revise Team
January 25, 2025
12 min read

The ATS Reality

99%
of Fortune 500 companies use ATS
75%
of resumes never reach human recruiters
7.4 sec
average time spent reviewing resumes that pass ATS
250+
applications per job posting on average

What Is an Applicant Tracking System?

An Applicant Tracking System (ATS) is software used by employers to collect, sort, scan, and rank job applications. Think of it as a digital gatekeeper that stands between your resume and human recruiters. Before any human eyes see your application, it must first pass through this automated screening process.

Originally designed to manage large volumes of applications, ATS technology has evolved into sophisticated systems that can parse resume content, extract key information, and score candidates based on how well they match job requirements. Understanding how these systems work is crucial for modern job seekers.

How ATS Systems Scan Your Resume

1

Document Parsing

The ATS converts your resume into plain text, extracting information from different sections. Complex formatting can disrupt this process, causing important details to be missed or misinterpreted.

2

Keyword Matching

The system searches for specific keywords and phrases from the job description. It looks for exact matches, synonyms, and related terms to determine relevance to the position.

3

Scoring and Ranking

Based on keyword matches, experience levels, education, and other criteria, the ATS assigns a score to your resume. Only the highest-scoring candidates typically move forward.

4

Human Review

Only resumes that meet the ATS threshold are forwarded to human recruiters. These recruiters then conduct a quick visual scan before deciding whether to move candidates to the next stage.

Common ATS Mistakes to Avoid

Using Creative Formats

Graphics, tables, and unusual fonts confuse ATS systems.

Solution: Stick to simple, clean formatting with standard fonts.

Wrong File Format

PDFs can sometimes cause parsing issues in older ATS.

Solution: Use .docx when possible, or test both formats.

Non-Standard Headers

Creative section names like 'My Journey' instead of 'Experience'.

Solution: Use conventional headers: Experience, Education, Skills.

Missing Keywords

Not including terms from the job description.

Solution: Mirror the language used in the job posting exactly.

ATS Optimization Checklist

✅ Do This

Use standard section headers (Experience, Education, Skills)
Include keywords from the job description
Use simple, clean formatting
Save as .docx or .pdf
Use bullet points for easy scanning

❌ Avoid This

Graphics, images, or charts
Tables or columns
Headers or footers
Creative fonts or colors
Abbreviations without spelling out

Master ATS Optimization with AI

Understanding ATS systems is just the beginning. Manually optimizing your resume for every job application while keeping track of all these rules can be overwhelming and time-consuming.

Resume Revise's AI automatically handles ATS optimization for you. Our system ensures your resume uses the right keywords, proper formatting, and ATS-friendly structure while maintaining readability for human reviewers.

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