Personnel Planning and Recruiting: Human Resource Management

5 Personnel Planning
and Recruiting
Human Resource
Management
4-
Gary Dessler
Copyright © 2015 Pearson Education Ltd.

5-1
Steps in Recruitment and Selection Process?
The recruitment and selection process is a series of hurdles aimed at selecting the best candidate for the job.
5–3
Linking Employer’s Strategy to Plans
5–5
Planning and Forecasting
• Employment or Personnel Planning
➢ The process of deciding what positions
the firm will have to fill, and how to fill them.
• Succession Planning
➢ The process of deciding how to fill the
company’s most important executive jobs.
• What to Forecast?
➢ Overall personnel needs
➢ The supply of inside candidates
➢ The supply of outside candidates
5–6
How Do You Forecast Personnel Needs
Forecasting Tools
Trend analysis Ratio analysis Scatter plotting
5–8
Trend analysis can provide an initial estimate of
future staffing needs, but employment levels
rarely depend just on the passage of time. Other
factors (like changes in sales volume and
productivity) also affect staffing needs.
Ratio analysis provides forecasts based on

the historical ratio between (1) some causal
factor (like sales volume) and (2) the number
of employees required (such as number of
salespeople).
A 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.
5–9
Determining the Relationship Between Hospital Size and Number of Nurses
Hospital Size Number of

(Number Registered
of Beds) Nurses
200 240
1.2
300 360
400 470
500 500
1
600 620
700 660
800 820
0.9 900 860
Note: After fitting the line,

you can project how many
employees are needed,
given your projected volume.
5–10
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 compensation plans that reward managers
for managing ever-larger staffs.
• They “bake in” the idea that staff increases are
inevitable.
• They validate and institutionalize present planning
processes and the usual ways of doing things.
5–11
Using Computers to Forecast Personnel
Requirements
• Computerized Forecasts
➢ 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 and indirect staff
❖ Creating metrics for direct labor hours and three sales
projection scenarios—minimum, maximum, and probable.
5–12
Managerial Judgment
Managers obviously need to consider other factors too.

These include
• Projected turnover,
• decisions to upgrade (or downgrade) products or
services,
• productivity changes, and
• financial resources.
5–13
Computerized forecasts enable the
manager to build more variables into his
or her personnel projections. Newer
systems particularly rely on
mathematically setting clear goals.
Whichever forecasting tool you use,
managerial judgment should play a big
role. It’s rare that any historical trend,
ratio, or relationship will simply continue.
You will therefore have to modify the
forecast based on subjective factors—
such as the feeling that more employees
will be quitting—you believe will be
important.
5–14
Forecasting the Supply of
Inside Candidates
Qualification
Inventories
Manual systems and Computerized skills

replacement charts inventories
5–15
Management Replacement Chart Showing Development Needs of
Potential Future Divisional Vice Presidents
5–16
The Matter of Privacy
• Ensuring the Security of HR Information
➢ Control of HR information through access matrices
➢ Access to records and employee privacy
5–17
Measuring Recruiting Effectiveness
Evaluating Recruiting
Effectiveness
What to How to
measure measure
Measuring recruiting effectiveness requires

deciding what recruiting outcomes to
measure and how to measure them.
5–18
Recruiting Yield Pyramid
●
50% ● ●
67% ● ● ●
75% ● ● ● ●
16% ● ● ● ● ● ●
The Figure illustrates an example of an

employer’s use of a recruiting yield
pyramid to calculate the number of
applicants they must generate to hire the
required number of new employees.
5–19
All rights reserved. No part of this publication may be reproduced,
stored in a retrieval system, or transmitted, in any form or by any
means, electronic, mechanical, photocopying, recording, or
otherwise, without the prior written permission of the publisher.
Printed in the United States of America.
5–20
6 Employee Testing
and Selection
Human Resource
Management
4-
Gary Dessler
Copyright © 2015 Pearson Education Ltd. 6-21

LEARNING OUTCOMES
1. Explain what is meant by reliability ‫ الموثوقيه‬and validity
‫الصالحيه‬.
2. Explain how you would go about validating a test.
3. Give examples of some of the ethical and legal
considerations in testing.
4. Explore tests you could use for employee selection and
how you would use them.
5. Explain the key points to remember in conducting
background investigations.

6–23
Why Careful Selection is Important
The Importance of Selecting

the Right Employees
Organizational Costs of recruiting Legal obligations

performance and hiring and liability

6–24
Basic Testing Concepts
• Reliability ‫الموثوقيه‬
➢ Describes the consistency of scores obtained by the same
person when retested with the identical or alternate forms of the
same test.
➢ Are test results stable over time?
• Validity ‫الصالحيه‬
➢ Indicates whether a test is measuring what it is supposed to be
measuring.
➢ Does the test actually measure what it is intended to
measure?

6–25
Perception

6–26
Intelligent Quotient
• Quotient = Ratio
• Score / Age x 100

6–27
Intelligences
6–28
Types of Validity
Types of
Test Validity
Criterion validity Content validity

‫المعيار‬ ‫المحتوى‬
Predictor of job performance Fair sample of job content

6–29
TESTING ADMINISTRATION
GUIDELINES
Copyright © 2011 Pearson Education 6–30

Testing Program Guidelines
1. Use tests as supplements.

2. Validate the tests.
3. Monitor your testing/selection program.
4. Keep accurate records.
5. Use a certified psychologist (when needed).
6. Manage test conditions.
7. Revalidate periodically.

6–31
Test Takers’ Individual Rights
and Test Security?
• Under the APA’s standard for educational and
psychological tests, test takers have the following
rights:
➢ The right to the confidentiality of test results.
➢ The right to informed consent regarding use of these results.
➢ The right to expect that only people qualified to interpret the
scores will have access to them, or that sufficient information
will accompany the scores to ensure their appropriate
interpretation.
➢ The right to expect the test is fair to all. For example, no one
taking it should have prior access to the questions or
answers.

6–32
All rights reserved. No part of this publication may be reproduced,
stored in a retrieval system, or transmitted, in any form or by any
means, electronic, mechanical, photocopying, recording, or
otherwise, without the prior written permission of the publisher.
Printed in the United States of America.

6–33

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5 Personnel Planning

Copyright © 2015 Pearson Education Ltd.

Trend analysis Ratio analysis Scatter plotting

Ratio analysis provides forecasts based on

A scatter plot shows graphically how two

Hospital Size Number of

Note: After fitting the line,

❖ Projecting sales, volume of production, and personnel

Managers obviously need to consider other factors too.

Manual systems and Computerized skills

➢ Access to records and employee privacy

Measuring recruiting effectiveness requires

The Figure illustrates an example of an

Copyright © 2015 Pearson Education Ltd. 6-21

Copyright © 2015 Pearson Education Ltd.

The Importance of Selecting

Organizational Costs of recruiting Legal obligations

Copyright © 2015 Pearson Education Ltd.

Copyright © 2015 Pearson Education Ltd.

Copyright © 2015 Pearson Education Ltd.

• Score / Age x 100

Copyright © 2015 Pearson Education Ltd.

Criterion validity Content validity

Predictor of job performance Fair sample of job content

Copyright © 2015 Pearson Education Ltd.

Copyright © 2011 Pearson Education 6–30

1. Use tests as supplements.

Copyright © 2015 Pearson Education Ltd.

Copyright © 2015 Pearson Education Ltd.

Copyright © 2015 Pearson Education Ltd.

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