Recruitment and Selection
Human Resource Planning
 Human resource planning (HRP) is the process an
organization uses to ensure that it has the right
amount and the right kind of people to deliver a
particular level of output or services in the future.
 The first HRP activity entails forecasting labor
demand.
 The second part of HRP entails estimating labor
supply.
 After estimating labor demand and supply for a
future period, a firm faces one of the three
conditions, each of which requires a different set
of responses.
o The first condition is when the labor demand
exceeds labor supply.
o The second condition is when labor supply
exceeds labor demand.
o The third condition is when labor demand
equals labor supply.
The Hiring Process
Recruitment
 The process of generating a pool of qualified
candidates for a particular job; the first step in the
hiring process.
Selection
 The process of making a "hire" or "no-hire" decision
regarding each applicant for a job; the second step
in the hiring process.
Socialization
 The process of orienting new employees to the
organization and the unit in which they will be
working; the third step in the hiring process.
An Approach to Recruitment
 Go to where the customers are
o Go to social media like Facebook, Twitter, and
Linkedin
 What do they want and what do you have to offer?
o People join organizations for a variety of
reasons, some of which include working
atmosphere, career opportunities, work-life
value, job characteristics, and pay.
 Treat applicants like customers
o Do your job applicants feel like they were
treated as customers? Applicants who have a
positive experience are more likely to pursue
employment with an organization.
Sources of Recruitment
 Current employees
 Referrals
 Former employees
 Former military
 Customers
 Print and radio advertising.
 Internet advertising
 Career sites and social media
 Employment Agencies
 Temporary Workers
 College Recruiting
 Nontraditional Recruting
Current employment Employment Agencies
 Many companies have policies about job openings
before recruitment to the outside sources.
 Internal job postings give current employees the
opportunity to move into the firm's more desirable
jobs.

Referrals
 employees who were hired through referrals from
successios tended to stay with the organization
longer and displayed greater loyalty and job
satisfaction.

Former employees
 A firm may decide to recruit employees who
previously worked for the organization those
people who were laid off.

Former military
Print and radio advertising
 Since 2001, there has been a pool of former
military personnel to hire.
Some organizations believe that hiring a former
military person means hiring a more consistent
job performer.

Customers
 Customers can be a convenient and cost-effective
source of employees.
Customers are already familiar with the
organization's products and services, recruiting
can capitalize on this familiarity.

Career sites and social media

Internet advertising
 Web as a recruitment tool because online ads are
relatively cheap, more dynamic, and can produce
faster results.

Temporary Workers
 Provide employers the flexibility to quickly meet
fluctuating demands.

College Recruiting
 Most schools have a job placement service office
that helps students make contacts with employers.
 Many companies seek college placement services
to find job candidates.
Nontraditional Recruiting
 Includes labor pools such as prisoners, welfare
recipients, senior citizens, and workers from
foreign countries.
These can be an excellent source of untapped
labor for certain jobs.
 Going to the places where these people are most
likely found (professional organizations, colleges,
etc.) is a good way to seek these candidates.
Selection
 The process of making a "hire" or "no-hire" decision
regarding each applicant for a job; the second step
in the hiring process.

Internal vs. External Candidates Process of Selection

Internal Recruitment  Inviting Applications
Advantages  Receiving of Applications
 Better selection (foreknowledge of candidates'  Scrutiny of Applications
strengths and weaknesses)  Employment Test
 Increases employee morale  Employment Interview
 Adaptability (less training & orientation required)  Checking References
 Cost effective  Physical Examination
 Final Selection
Disadvantages
 Limited choice Two important concepts for selection tools
 Failed applicants become discontented
 Time wasted interviewing inside candidates who Reliability
will not be considered  Deficiency error
 In-breeding of status quo  Contamination error
 Current employees
The consistency of measurement, usually across time
but also across judges. If a measure produces perfectly
External Recruitment consistent results, the measure is perfectly reliable.
Advantages However, perfect reliability is rarely achieved.
 Greater choice for selection Measurement almost always involves some form of
 Balanced HR mix error or "noise" or unreliability.
 Fairness
 Environmental adaptability Deficiency error occurs when a component of the
domain being measured is not included in the measure.
Disadvantages
 High cost Contamination error occurs when a measure includes
 Adaptability problems unwanted influences.
 Wrong selection
Validity
Protected Class  Content
 An important recruitment initiative is to actively  Empirical (concurrent and predictive)
attract and recruit women, minorities, and persons
with disabilities. The extent to which the technique measures the
intended knowledge, skills, or ability. In the selection
 A good rule of thumb is to target potential recruits context, it is the extent to which scores on a test or
through media or recruitment methods aimed at interview correspond to actual job performance.
the protected class.
 Content validity assesses the degree to which the
content of the selection method is representative of job
content.
Empirical validity (criterion-related: two types, either
concurrent or predictive) is a strategy that demonstrates
the relationship between the selection method and job
performance.
• Concurrent validity indicates the extent to which
scores on a selection measure are related to job
performance levels.
• Predictive validity indicates the extent to which
scores on a selection measure correlate with
future job performance.
Selection Tool
Letters of Recommendation
• A content approach to considering letters of
recommendation can increase the validity of this
selection tool. Assessment is done in terms of the
traits the letter writer attributes to the job
candidate.
Application Forms
• Organizations often use application forms as a
screening device to determine whether a
candidate satisfies minimum job specifications,
particularly for entry-level jobs. The forms typically
ask for information regarding past jobs and
present employment status.
Ability Tests (Cognitive and Physical)
• Various tests measure a wide range of abilities,
from verbal and qualitative skills to perceptual
speed.
Cognitive ability tests measure a candidate's
capability in certain area, such as math, and are
valid predictors of job performance when the
abilities tested are based on a job analysis.
Physical ability tests are used by police and fire
departments and measure strength and
endurance.
Personality Tests
• Assess traits of individual workers' characteristics
that tend to be consistent and enduring.
Personality tests have been widely used since the
1940s. The "Big Five" factors:
I. Extroversion - talkative, sociable, active, aggressive,
and excitable
II. Agreeableness - trusting, amiable, generous,
tolerant, honest, cooperative, and flexible.
III. Conscientiousness - dependable and organized
and conforms and perseveres on tasks.
IV. Emotional stability - secure, calm, independent, and
autonomous
V. Openness to experience - intellectual, philosophical,
insightful, creative, artistic, and curious.
Honesty Tests
• Because employee theft is a serious and costly
problem, honesty tests have become important.
Honesty tests are designed to identify job applicants
who are likely to engage in theft and other
undesirable behavior.
Interviews
• Even though studies have shown that interviewers
do not agree (biases and human judgment) with one
another on candidate assessments, interviews are
still widely used today. We’ll now look at the
structured interview.
Structured Interviews
Structured interviews—Job interviews based on a
thorough job analysis, applying job-related
questions with predetermined answers consistently
across all interviews for a job.
The three types of questions commonly used in
structure interviews are as follows:
Situational—these questions try to elicit from
candidates how they would respond to particular
work situations.
Job knowledge—the questions assess whether
candidates have the basic knowledge needed to
perform the job.
Worker requirements—these questions assess
candidate's willingness to perform under prevailing
job conditions.
Interviewer Don'ts Socialization
• Don't ask applicants if they have children • The process of orienting new employees to the
• Don't ask applicant's age organization and the unit in which they will be
• Don't ask applicants whether they have a physical working; the third step in the hiring process.
or mental disability
• Don't ask for height or weight on an application
• Don't ask a female candidate for her maiden name
• Don't ask about citizenship
• Don't ask applicants about their arrest records
• Don't ask applicants if they smoke
• Don't ask applicants if they are HIV positive or
have AIDS

Selection Tool
Assessment Centers
• A set of simulated tasks or exercises that
candidates are asked to perform. This is usually
done with manager candidates. These can be Managing Employee Separations, Downsizing, and
simulation types of assessments, work-related Outplacement
types of activities, and scenario-based assessments
(problem-solving). What Are Employee Separations?

Drug Tests Employee Separation

• Pre-employment drug testing typically requires job
applicants to undergo urinalysis as a part of
routine selection procedures.
Reference Checks
• One of the best methods of predicting the future
success of prospective employees regarding their
past employment record.
Background Checks
• Can be distinguished from reference checks and
can include criminal background checks,
verification of academic achievement, driving
histories, immigration status checks, and social
security checks.
Employee ceases to be a member of the
organization.
Turnover rate
Measure of the rate at which employees leave the
organization.
Costs of Employee Separations
Some studies predict that every time a business
replaces a salaried employee, it costs 6 to 9 months'
salary on average.
A conservative estimate of turnover costs is from
25% to 300% of the lost employee's annual
compensation.

Handwriting Analysis Recruitment Costs

• Graphology, the study of handwriting for the • Advertising
purpose of measuring personality or other • Campus visits
individual traits, is routinely used to screen job • Recruiter time
applicants in Europe, the birthplace of the • Search firm fees
technique. Graphology is not yet considered a valid Selection Costs
measure of performance. • Interviewing
• Testing
• Reference checks
 • Relocation
Error that oc Retirement—differs from quits in that it usually
Training Costs occurs at the end of the employee's work life.
• Orientation
• Direct training costs Involuntary - occur when management decides to
• Trainer's time terminate its relationship with an employee due to
• Lost productivity during training (1) economic necessity or (2) a poor fit between the
employee and organization.
Separation Costs
• Separation pay Discharge — take place when management decides
• Benefits that there is a poor fit between employee and the
• Unemployment insurance cost organization
• Exit interview
• Outplacement Layoffs — usually due to economic downturn
• Vacant position circumstances or restructuring of the organization
with need to change or eliminate positions.
Benefits of Employee Separation
Managing Early Retirement
Reduced Labor Costs  Financial Package Incentives
• The will affect the bottom line. Not only are the o make it attractive for senior employees to retire
salary savings earned, but also all costs earlier than planned.
associated with providing benefits and other  Short Eligibility Window
processing of that employee. o restricts eligibility to a fairly short period of time
(incentives not available after window).
Replacement of Poor Performers  Reduce the Size of the Organization
• If poor-performing employees do not turn  Must Be Managed Carefully
around performance, it may be best to
terminate.

Increased Innovation
• Separations create advancement opportunities
for high-performing individuals and also open
up entry-level positions. New hires can fill
those open positions and offer a fresh
perspective.

Opportunity for Diversity

• Separations can offer opportunities to hire
diverse employees with varied backgrounds,
knowledge, skills, and abilities.

Types of Employee Separation

Voluntary — occur when an employee decides, for
personal or professional reasons, to end the
relationship with the company.
Quits—employee leaves the company for either a
more attractive job alternative or is dissatisfied
with job.
Avoiding Problems with Early Retirement
 Too many employees take retirement option
 Desired employees may leave
 Perception of forced leave
 Age discrimination complaints
 scrutiny.
Alternatives to Early Layoffs
Employment Policies  Maintaining Security
• Reduction through attrition o Company property, including virtual
• Hiring freeze information, is important to secure before layoff
• Cut part-time employees plans. Password deactivation and key protection
• Cut internships or co-ops of property are extremely important because
• Give subcontracted work to in-house sometimes people react very negatively toward
employees layoff situations
• Voluntary time off
• Leaves of absence  Coordinating Media Relations
• Reduced work hours o A good plan for communication to employees is
important, but also the message to the outside
Changes in Job Design community because the company's image in
• Transfers how it handles this situation is under scrutiny.
• Relocation
• Job sharing  Maintaining Security
• Demotions o Company property, including virtual
information, is important to secure before layoff
Pay and Benefits Policies plans. Password deactivation and key protection
• Pay freeze of property are extremely important because
• Cut overtime pay sometimes people react very negatively toward
• Use vacation and leave days layoff situations
• Pay cuts
• Profit sharing or variable pay  Reassuring Survivors

Training
• Retraining
Implementing Layoffs
 Notifying Employees
o Worker Adjustment and Retraining Notification
(WARN) Act 60 -ay notice
 Developing Layoff Criteria
o Seniority or Employee Performance
 Communicating to Laid-Off Employees
o done face to face and during the middle of the
week.
o communicate with exiting employees in the
most professional, humane, and sensitive way
 Coordinating Media Relations
o A good plan for communication to employees
is important, but also the message to the
outside community because the company's
image in how it handles this situation is under
Effects of Layoffs on Survivors
 Increased absenteeism and turnover
 Lower productivity and poorer job satisfaction
 Increased sabotage
After a layoff, it's very important for the organization to
display an upbeat and positive atmosphere and to
clearly communicate with employees as a way of
building trust.
Outplacement
program created to help separated employees deal
with the emotional stress of job loss and to provide
assistance in finding a new job. Outplacement
activities are normally handled by an outside firm.
Goals of Outplacement:
 Reduce morale problems
 Minimize litigation
 Assist laid-off employees
Outplacement Services:
 Emotional support
 Job-search assistance