Four things: it parses your resume into structured fields, ranks or sorts candidates, filters lists by criteria, and makes everything searchable so recruiters can query it later. Notice what is missing from that list. It does not read for quality, and it does not silently reject you over formatting.
Consider the practical consequences one function at a time. Parsing means your layout has to survive extraction, because the recruiter sees the parsed record. Search means the words in your resume are the handles a recruiter can grab, which is why matching the vocabulary of the posting helps you get found.
Filtering and knockout questions are where automatic rejection actually lives, and those run on your application answers, not your resume margins. So the job is plain: parse clean, use the words from the posting, answer the questions with care, and give the human a readable page.
“It is a database with opinions about spreadsheet columns, not a bouncer with opinions about you.”
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