Professional Documents
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3.-HRM 03 HRP-Recruitment
3.-HRM 03 HRP-Recruitment
Course Facilitator
Dr. Anupam Kumar Das
Assistant Professor
Department of Management studies
University of Chittagong
email : dasanupam@cu.ac.bd
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Chapter: 3
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After studying this chapter, you should be
able to….
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The Recruitment and Selection Process
Decide what positions have to fill through personnel
planning and forecasting.
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The Recruitment and Selection Process
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Workforce Planning and Forecasting
The recruitment and selection process starts with employment or
personnel planning.
Employment or Personnel Planning:
The process of deciding what positions the firm will
have to fill, and how to fill them
Embraces all future positions, form maintenance clerk to
CEO
Linked to the organization’s overall strategy to compete
domestically and globally.
Translated into the number and types of workers needed.
Should flow from the firm’s strategic plans.
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Linking Organizational Strategy to HR Planning…
FIGURE 5–2 Linking Employer’s Strategy to Plans
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Planning and Forecasting…
Succession planning
The process of deciding how to fill the company’s
most important executive jobs
What to Forecast?
Like all good plans, personnel plans require some forecasts
or estimates, in this case, of three things:
Forecasting Tools
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Forecasting Personnel Needs…
Trend analysis
The study of a firm’s past employment needs over a period
of years to predict future needs.
Studying the variations in your firm’s employment levels
over the last few years.
But employment levels rarely depend just on the passage of
time. Other factors (like changes in sales volume and
productivity) also affect staffing needs.
For example, you might compute the number of employees
in your firm at the end of each of the last five years or
perhaps the number of each subgroup like sales, production,
administrative etc.
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Forecasting Personnel Needs…
Ratio analysis
A forecasting technique for determining future staff
needs by using ratios between a causal factor(like sales
volume) and the number of employees needed(number
of sales people).
For example, suppose a sales person traditionally
generates $500,000 in sales. If the sales revenue to
salespeople ratio remains the same, you would require
six new sales person next year (each of whom produces
an extra $500,000) to produce a hoped for extra $3
million in sales.
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Forecasting Personnel Needs…
The Scatter Plot
Shows graphically how two variables—such as sales
and your firm’s staffing levels—are related. If they are,
and then if you can forecast the business activity (like
sales), you should also be able to estimate your
personnel needs.
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FIGURE 5–3 Determining the Relationship Between
Hospital Size and Number of Nurses
200 240
300 260
400 470
500 500
600 620
700 660
800 820
900 860
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Forecasting Personnel Needs…
Markov Analysis
Employers also use a mathematical process known as
Markov (named after Russian mathematician Andrei
Andreyevich Markov) analysis (or “transition analysis”)
to forecast availability of internal job candidates.
Markov analysis involves creating a matrix that shows
the probabilities that employees in the chain of feeder
positions for a key job (such as from junior engineer, to
engineer, to senior engineer, to engineering supervisor, to
director of engineering) will move from position to
position and therefore, be available to fill the key
position.
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Drawbacks to Traditional Forecasting
Techniques
They focus on projections and historical relationships.
They do not consider the impact of strategic initiatives on
future staffing levels.
They support outdated compensation plans that reward
managers for managing ever-larger staffs.
They tend to “bake in” the idea that staff increases are
inevitable.
They tend to validate and institutionalize present planning
processes and the usual ways of doing things in the face of
rapid change.
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Using Computers to Forecast Personnel
Requirements (Improving Productivity Through HRIS)
Computerized Forecasts
Computerized forecasts enable managers to build more
variables into their personnel projections.
Software that estimates future staffing needs by:
Projecting sales, volume of production, and personnel required to
maintain different volumes of output.
Forecasting staffing levels for direct labor, indirect staff, and exempt
staff.
Creating metrics for direct labor hours and three sales projection
scenarios—minimum, maximum, and probable.
It also accommodates age, tenure, turnover rate, and time to train new
employees.
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Forecasting the Supply of Inside Candidates
Qualifications inventories
Manual or computerized records listing employees’
employees’ education,
career and development interests,
languages,
special skills, and so on, to be used in selecting inside candidates for
promotion.
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Forecasting the Supply of Inside Candidates
Qualification Inventories
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Manual Systems and Replacement Charts
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FIGURE 5–4 Management Replacement Chart Showing Development
Needs of Potential Future Divisional Vice Presidents
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Computerized Skills Inventories
Survey Analytics’s Skills Inventory Software
Computerized inventory of information that can be accessed to
determine employees’ background, experience, and skills that
may include:
Work experience codes
Product or service knowledge
Industry experience
The employee’s level of familiarity with the employer’s product
lines or services
Formal education
The usual process is for the employee, the supervisor, and
human resource manager to enter information about the
employees’ background, experience, and skills via the system.
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The Matter of Privacy (Keeping the Information Private)
The employer should secure all its employee data. Much of the
data is personal (such as Social Security numbers and illnesses).
Legislation gives employees legal rights regarding who has
access to information about them. Employers should keep their
manual records under lock and key.
Ensuring the Security of HR Information
Control of HR information through access matrices
Access to records and employee privacy
Legal Considerations
The Federal Privacy Act of 1974
New York Personal Privacy Act of 1985
HIPAA (regulates use of medical records)
Americans with Disabilities Act
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Forecasting the Supply of Outside Candidates
If there won’t be enough inside candidates to fill the anticipated
openings (or you want to go outside for another reason), you will
turn to outside candidates.
Factors In Supply of Outside Candidates
General economic conditions
Expected unemployment rate
Sources of Information
Periodic forecasts in business publications
Online economic projections
U.S. Congressional Budget Office (CBO)
U.S. Department of Labor’s O*NET™
Bureau of Labor Statistics (BLS)
Other federal agencies and private sources
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Recruitment
Recruiting
The process of attracting
qualified persons to apply for
the jobs that are open. It is the
process of seeking sources for
job candidates.
It is a process of discovering
potential candidates for
actual or anticipated
organizational vacancies.
Finding and/or attracting
applicants for the employer’s
open positions.
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Recruitment
Recruiting Goals
The first goal of recruiting is to communicate the position
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Relationships among Job Analysis, Human Resource
Planning, Recruitment, and Selection
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The Need for Effective Recruiting
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What Makes Recruiting A Challenge?
Recruiting Challenges
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Effective Recruiting
External Factors Affecting Recruiting
Looming undersupply of workers
Lessening of the trend in outsourcing of jobs
Increasingly fewer “qualified” candidates
Other Factors Affecting Recruiting Success
Consistency of recruitment with strategic goals
Types of jobs recruited and recruiting methods
Nonrecruitment HR issues and policies
Successful prescreening of applicants
Public image of the firm
Employment laws
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Organizing How You Recruit
Should you centralize your firm’s recruitment efforts,
or let each plant or office do their own recruiting?
Reasons for doing so appear on this slide.
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Organizing How You Recruit…
The Supervisor’s Role:
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Measuring Recruiting Effectiveness
What to measure?
How many qualified applicants were attracted from
each recruitment source?
If more applicants are generated than positions to fill, the firm
can be more selective
More is not always better. The employer needs qualified,
hirable applicants.
How to measure?
Assessing both the quantity and the quality of the applicants
produced by a source.
Using simple prescreening selection devices.
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Internal Sources of Candidates
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Internal Sources of Candidates…
Advantages Disadvantages
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Internal Sources of Candidates…
Finding Internal Candidates
Hiring-from-Within Tasks
Job Posting
A method of informing employees of job vacancies by
posting a notice in central locations and giving a specified
period to apply. or
Publicizing an open job to employees (often by literally
posting it on bulletin boards) and listing its attributes.
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Internal Sources of Candidates…
Rehiring:
Rehire someone who left company. It has Pros and
Cons
– Advantages:
• They are known quantities.
• They know the firm and its culture.
– Disadvantages:
• They may have less-than positive attitudes.
• Rehiring may sent the wrong message to current
employees about how to get ahead.
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Internal Sources of Candidates…
Succession Planning
Succession planning involves developing workforce
plans for the company’s top positions.
The ongoing process of systematically identifying,
assessing, and developing organizational
leadership to enhance performance by practicing
“Talent Management”
Succession planning steps:
Identifying and analyzing key jobs/needs.
Develop inside candidates.
Assess and Selecting those who will fill the key
positions.
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Internal Sources of Candidates…
2. Employee referrals/recommendations
Current employees can be asked to
recommend recruits.
Advantages include:
the employee’s motivation to make a good
recommendation
the availability of accurate job information
for the recruit
Disadvantages include:
the possibility of friendship being confused
with job performance
the potential for nepotism
the potential for adverse impact
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Outside Sources of Candidates…
On Demand Recruiting
2 Advertising 7
Services (ODRS)
5 Offshoring/Outsourcing
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FIGURE 5–7 Some Top Online Recruiting Job Boards
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Recruiting via the Internet
Advantages
Cost-effective way to publicize job openings
More applicants attracted over a longer period
Immediate applicant responses
Online pre-screening of applicants
Links to other job search sites
Automation of applicant tracking and evaluation
Disadvantages
Exclusion of older and minority workers
Unqualified applicants overload the system
Personal information privacy concerns of applicants
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Advertisement
While Web-based recruiting is rapidly replacing help wanted ads,
a glance at any paper or business or professional magazine will
confirm that print ads are still popular.
• The Media Choice
Selection of the best medium depends on the positions for which
the firm is recruiting.
Newspapers: local and specific labor markets
Trade and professional journals: specialized employees
“Next Key Player”
Internet job sites: global labor markets “Are you looking to make an
impact”
• Constructing (Writing) Effective Ads “Travel or challenge”
“Call today” or “please
forward your resume”
Create attention, interest, desire, and action (AIDA).
Create a positive impression (image) of the firm
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FIGURE 5–8 Help Wanted Ad that Draws Attention
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Employment Agencies
Types of Employment
Agencies
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Employment Agencies
Public or Non-Profit agencies: focus on helping
unemployed individuals with lower skill levels
to find jobs
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Employment Agencies
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Temp Agencies and Alternative Staffing
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Temp Agencies and Alternative Staffing
Benefits of Temps
Increased productivity—paid only when working
Allows “trial run” for prospective employees
No recruitment, screening, and payroll
administration costs
Costs of Temps
Increased labor costs due to fees paid to temp
agencies
Temp employees’ lack of commitment to the firm
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Temp Agencies and Alternative Staffing
Concerns of Temp Employees (WHAT SUPERVISORS
SHOULD KNOW ABOUT TEMPORARY EMPLOYEES CONCERNS)
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Offshoring and Outsourcing Jobs
Outsourcing and offshoring are perhaps the most extreme
examples of alternative staffing. Rather than bringing people in
to do the firm’s jobs, outsourcing and offshoring send the jobs
out.
Outsourcing means having outside vendors supply services (such as
benefits management, market research, or manufacturing) that the
firm’s own employees previously did in-house.
Offshoring is a narrower term. It means having outside vendors or
employees abroad supply services that the firm’s own employees
previously did in-house.
Outsourcing and offshoring are both contentious. Particularly in
challenging economic times, employees, unions, legislators, and
even many business owners feel that shipping jobs out (particularly
overseas) is ill-advised.
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Offshoring and Outsourcing Jobs
Resentment and
Cultural
anxiety of U.S.
misunderstandings
employees/unions
Outsourcing/
Offshoring
Customers’ securing
Costs of foreign Issues and privacy
workers
concerns
Foreign contracts,
Special training of
liability, and legal
foreign employees
concerns
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Executive Recruitment
Executive Recruiters (Headhunters)
Executive recruiters (also known as headhunters) are special
employment agencies retained by employers to seek out top-
management talent for their clients. For executive positions,
headhunters may be your only source of candidates.
The employer always pays the fees.
Guidelines for Choosing a Recruiter
1. Make sure the firm is capable of conducting a thorough search.
2. Meet individual who will actually handle your assignment.
3. Ask how much the search firm charges.
4. Make sure the recruiter and you agree on what sort of person you need
for the position.
5. Never rely solely on the recruiter to do reference checking.
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On-Demand Recruiting Services (ODRS)
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College Recruiting
Sending an employer’s representatives to college campuses to
prescreen applicants and create an applicant pool from the
graduating class—is an important source of management trainees
and professional and technical employees.
On-campus recruiting goals On-site visits
To determine if the candidate is Invitation letters
worthy of further consideration Assigned hosts
To attract good candidates Information packages
Planned interviews
Timely employment offer
Follow-up
Internships
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Employee Referrals and Walk-ins
Employee Referrals
Referring employees become stakeholders.
Referral is a cost-effective recruitment program.
Referral can speed up diversifying the workforce.
Relying on referrals may be discriminatory.
Walk-ins
Seek employment through a personal direct approach to
the employer.
Courteous treatment of any applicant is a good business
practice.
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Improving Productivity Through HRIS:
An Integrated Approach to Recruiting
Elements of an HRIS
Requisition
Recruiting Screening Hiring
management
solution services management
system
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Recruiting A More Diverse Workforce
Recruiting a diverse workforce isn’t just socially responsible.
Given globalization and the rapid increase in minority, older
worker, and women candidates, it is a necessity.
Single parents
Minorities and
Welfare-to-work
women
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Developing and Using Application Forms
With a pool of applicants, the prescreening process can begin.
The application form is usually the first step in this process
(some firms first require a brief, prescreening interview or
online test). A filled-in application provides four types of
information listed in the slide.
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FIGURE 5–9 FBI Employment Application
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