Understanding ATS and AI-Based CV Scoring

Abhishek Kundu

1/17/20255 min read

Candidates often prepare their CVs or resumes with great care, ensuring they highlight their skills and experience effectively. However, many candidates rely heavily on AI-powered websites to check their resume’s ATS score, believing that it gives an accurate reflection of how well their resume will perform in the job application process. Unfortunately, this approach is based on a misunderstanding of how Applicant Tracking Systems (ATS) work and how AI scoring systems differ from actual ATS functionality.

In this article, we will break down the key differences between AI resume scoring tools and ATS systems, and explain why candidates need to understand these differences in order to improve their chances of landing a job.

1. What is ATS?

ATS (Applicant Tracking System) is software used by employers and hiring organizations to streamline the recruitment process.
ATS helps employers manage large volumes of applications by filtering, sorting, and ranking resumes based on specific job criteria.

Example: A company might use an ATS to automatically sort resumes and rank them based on how well the resume matches the job description, using keywords such as specific skills, qualifications, and experience.

2. What is AI Resume Scoring?

AI resume scoring tools are third-party websites or applications that provide feedback on resumes by analyzing them against a set of predefined algorithms specified only for their websites.
These tools often analyze resumes based on factors like keywords, formatting, and readability as per their pre-decided algorithm..

Example: A resume may receive a high score on an AI website if it includes keywords such as “project management” or “data analysis,” even if the job role doesn’t require those specific skills.

3. How Does ATS Work in Hiring?

ATS works by comparing resumes to the job description to see how well they match the required skills and qualifications.
The ATS scans resumes for keywords, experience, education, and skills mentioned in the job listing.

Example: If the job description mentions "Java programming" and "team leadership," the ATS will prioritize resumes that mention these exact terms, increasing the chances of those resumes moving forward in the hiring process.

4. AI Resume Scoring and ATS Are Not the Same

AI resume scoring tools and ATS use different algorithms and methods for evaluating resumes.
AI scoring tools focus on optimizing resumes for basic readability and keyword usage, while ATS focuses on job relevance based on keywords and specific job requirements.

Example: A resume may score well on an AI tool due to its perfect formatting and keyword density, but an ATS might rank it poorly if the keywords don’t match the job description exactly.

5. Why AI Resume Scores Are Not Accurate Indicators of ATS Success

AI tools provide an estimated score based on pre-defined algorithms, not on how an actual ATS would evaluate your resume.
ATS systems are customized by each company based on their specific needs and job descriptions, meaning they may prioritize different factors than AI tools do.

Example: An AI tool may suggest you add “leadership” to your resume to boost your score, but if the job doesn’t specifically require leadership experience, the ATS may not give this term much weight.

6. ATS Requires Specific Keywords Tailored to the Job Description

ATS systems use specific keywords from the job description to assess the relevance of your resume.
The keywords in your resume must match those in the job listing to increase the chances of your resume being shortlisted.

Example: If a job listing requires “SQL” and “data visualization,” and your resume mentions “data analysis” but not “SQL,” the ATS might overlook your resume despite the relevant experience.

7. The Importance of Customizing Your Resume for Each Job

To pass through ATS, candidates should customize their resumes for each job they apply for, ensuring that job-specific keywords are incorporated.
A generic resume that works for AI scoring may not necessarily perform well in an ATS system.

Example: If you’re applying for a “Data Scientist” role, your resume should include keywords like “machine learning,” “data modeling,” and “Python,” as these are likely to be the keywords the ATS will be looking for.

8. AI Tools Can Help with Formatting and Readability

While AI resume scoring tools are not a reliable way to gauge ATS compatibility, they can still help improve only basic resume formatting and readability.
These tools can suggest improvements in font size, structure, and clarity to make your resume more appealing to human recruiters but these are not the ultimate. There are many crucial structuring needed for drafting a professional resume.

Example: An AI tool might recommend removing excessive bullet points or adjusting font size to improve the visual appeal of your resume, which can make a difference when hiring managers manually review it.

9. ATS Focuses on Keywords, Not Visual Appeal

ATS does not care about how your resume looks in terms of design or formatting.
The content of your resume—specifically, the keywords—is what matters most to an ATS.

Example: Even if your resume has a sleek design with color-coded sections, the ATS may ignore these elements and focus only on the text, such as job titles, skills, and education.

10. AI Scoring Tools May Overemphasize Certain Factors

AI resume scoring tools may overemphasize factors such as keyword density or resume length, which may not be as important to an ATS.
The focus should be on relevant job experience and accurate keyword usage rather than just trying to optimize the resume for a higher AI score.

Example: An AI tool might suggest adding more keywords like “project management” to your resume, even if the job doesn’t require this skill, leading to a mismatch with the ATS’s evaluation criteria.

11. AI Resume Scoring Is Not a Substitute for ATS Testing

The only way to know how your resume will perform in an ATS is to apply for a job and see how it ranks.
Employers use the genuine version of ATS with job-specific algorithms, which means AI resume scoring cannot give an authentic assessment of your resume’s compatibility.

Example: If you apply for a job, the ATS will scan your resume and rank it based on how well it matches the job description. No AI tool can replicate this process exactly.

12. The Role of Job-Specific Customization in ATS Success

Candidates should carefully read the job description and tailor their resumes to include the exact keywords and skills required for the role.
This customization increases the chances of passing ATS filters and getting noticed by hiring managers.

Example: If a job requires “customer relationship management (CRM)” experience, be sure to mention CRM tools you’ve worked with, like Salesforce, to match the job description.

13. ATS Can Reject Resumes That Don’t Match Job Criteria

ATS is designed to filter out resumes that don’t meet the job’s criteria, meaning resumes that lack relevant keywords may never even be seen by a human recruiter.
Simply adding keywords without context or relevance won’t help your resume pass ATS filters.

Example: If you apply for a “Marketing Manager” position and your resume only mentions “sales” but not “marketing,” the ATS might reject your resume for not aligning with the job description.

14. AI Resume Scoring Is Just One Step in the Job Search Process

AI resume scoring tools can be a helpful only at the starting point, but they should not be relied upon exclusively.
Candidates should also focus on networking, interview preparation, and researching companies to increase their chances of success.

Example: While an AI tool might help you optimize your resume, attending a networking event or learning about the company’s culture could provide you with a competitive edge in the hiring process.

15. The Importance of Keywords Beyond Just AI Scoring

Using industry-specific terminology and action verbs can help your resume resonate better with both ATS and human recruiters.
Focus on including skills and qualifications that directly relate to the job you are applying for.

Example: For a software development role, including terms like “agile development,” “Java,” and “software architecture” can help your resume pass through both ATS and human recruiters.

The Takeaway

ATS and AI resume scoring tools are different, and candidates should understand these differences when preparing their resumes.
Customizing your resume to match the job description and keywords is crucial for passing ATS filters.
AI tools can help improve readability & formatting, but they cannot replace the real-world evaluation done by an ATS.
The key to success is personalization, keyword optimization, and a strategic approach to resume writing.

In the end, while AI resume scoring tools can be helpful, they should not be your sole measure of success. Understanding the role of ATS and focusing on the actual job requirements will ultimately give you a better chance of landing an interview.