Welcome

To
A Session
On
Recruiting in Labor Markets
 Human
Human Resource
Resource SECTION
SECTION 22
Staffing
Staffing the
the
Management
Management Organization
Organization

TENTH
TENTHEDITON
EDITON

Robert L. Mathis ⏐ John H. Jackson

Chapter 7

Recruiting
Recruiting in
in Labor
LaborMarkets
Markets

PowerPoint
PowerPoint Presentation
Presentation
© 2003 Southwestern College Publishing. All rights reserved.
by
by Charlie
Charlie Cook
Cook
 Learning
Learning Objectives
Objectives

After you have read this chapter, you should be

able to:
– Identify different ways that labor markets can be
identified and approached.
– Describe the phases in strategic recruiting and the
decisions made in each phase.
– Discuss the advantages and disadvantages of
internal versus external recruiting.
– Identify three internal sources for recruiting and
issues associated with their use.

© Dr. M.S. A. Khandakar 7–3

 Learning
Learning Objectives
Objectives (cont’d)
(cont’d)
– Discuss why Internet recruiting has grown and how
employers are conducting it.
– List and briefly discuss five external recruiting
sources.
– Discuss three factors to consider when evaluating
recruiting efforts.

© Dr. M.S. A. Khandakar 7–4

What
What are
are the
the key
key terms
terms used
used in
in recruiting
recruiting and
and
labor
labor markets
markets ??

© Dr. M.S. A. Khandakar 7–5

 What
What is
is meant
meant by
by recruiting?
recruiting?

Recruiting is the process of developing a pool of

qualified applicants who are interested in working
for the organization and from which the
organization might reasonably select the best
individual or individuals to hire for employment.
It may also be defined as ‘the process of
generating a pool of qualified applicants for
organizational jobs’.

© Dr. M.S. A. Khandakar 7–6

 Recruiting
Recruiting

Recruiting is a two-way street. Organizations are

looking for qualified applicants and applicants are
looking at potential employment opportunities.

© Dr. M.S. A. Khandakar 7–7

 Labor
Labor Market
Market Components:
Components: Key
Key Terms
Terms
▪ Labor Markets
– The external supply pool from which organizations
attract their employees
▪ Labor Force Population
– All individuals who are available for selection if all
possible recruitment strategies are used.
▪ Applicant Population
– A subset of the labor force that is available for
selection using a particular recruiting approach.
▪ Applicant Pool
– All persons who are actually evaluated for selection

© Dr. M.S. A. Khandakar 7–8

 What
What are
are the
the recruiting
recruiting decisions
decisions that
that affect
affect
reaching
reaching the
the applicant
applicant population
population ??

• Recruiting method
• Recruiting message
• Applicant qualifications required
• Administrative procedures

© Dr. M.S. A. Khandakar 7–9

 What
What are
are the
the labor
labor market
market components
components ??

© Dr. M.S. A. Khandakar 7–10

 Labor
LaborMarket
MarketComponents
Components

Figure 7–1
© Dr. M.S. A. Khandakar 7–11
 Labor
Labor Markets
Markets and
and Recruiting
Recruiting Issues
Issues

Labor
Labor Markets
Markets

Geographic
Geographic Industry
Industry Educational
Educational
Local and
and and
and
Local
Regional Occupational
Occupational Technical
Technical
Regional
National
National KSAs Qualifications
Qualifications
International KSAs
International

© Dr. M.S. A. Khandakar 7–12

 What
What are
are strategic
strategic recruiting
recruiting stages
stages ??

© Dr. M.S. A. Khandakar 7–13

 Strategic
Strategic
Recruiting
Recruiting
Stages
Stages

Figure 7–2
© Dr. M.S. A. Khandakar 7–14
 What
What is
is the
the typical
typical division
division of
of HR
HR
responsibilities
responsibilities of of recruiting
recruiting ??

© Dr. M.S. A. Khandakar 7–15

 Typical
Typical Division
Divisionof
ofHR
HRResponsibilities
Responsibilities

Figure 7–3
© Dr. M.S. A. Khandakar 7–16
What are organizational and individual
recruiting goals ?

© Dr. M.S. A. Khandakar 7–17

Organizational and Individual Goals in Recruiting

•Attract a pool of qualified applicants

Organizational •Keep pool at manageable size
Goals
•Provide realistic job previews

? ?
•Meet work-related goals
Individual •Meet personal goals
Goals
•Address personal needs

© Dr. D. Bhattacharjee 7–18

 What
What are
are organizational
organizational recruiting
recruiting
activities?
activities?

© Dr. M.S. A. Khandakar 7–19

 Organizational
Organizational Recruiting
RecruitingActivities
Activities

Recruiting
Recruiting
Image
Image

Recruiting
Recruiting Effective
Effective
Presence
Presence Recruiting
Recruiting

Training
Trainingof
of
Recruiters
Recruiters

© Dr. M.S. A. Khandakar 7–20

 What
What are
are strategic
strategic recruiting
recruiting
decisions
decisions ??

© Dr. M.S. A. Khandakar 7–21

 Strategic
Strategic Recruiting
Recruiting Decisions
Decisions

Organizational-
Organizational-
Based
Basedvs.
vs.
Outsourcing
Outsourcing

Recruiting
Recruiting
Source
SourceChoices:
Choices:
Strategic
Strategic Regular
Regularvs.
vs.
Internal
Internalvs.
vs. Recruiting
Recruiting Flexible
FlexibleStaffing
Staffing
External
External

Recruiting
Recruitingand
and
EEO/Diversity
EEO/Diversity
Considerations
Considerations

© Dr. M.S. A. Khandakar 7–22

 What
What are
are various
various recruiting
recruiting methods?
methods?

• Internal recruiting
• External recruiting

What is meant by internal recruiting?

Internal recruiting is the process of looking
inside the organization for existing qualified
employees who might be promoted to higher-
level position.

© Dr. M.S. A. Khandakar 7–23

 What
What is
is meant
meant by
by external
external recruiting?
recruiting?

External recruiting is the process of looking

to sources outside the organization for
prospective employees.

© Dr. M.S. A. Khandakar 7–24

 What
What are
arevarious
variousinternal
internal recruiting
recruitingmethods?
methods?

• Organizational databases
• Job postings system
• Promotion and transfers
• Current employee referrals
• Re–recruiting former employees

© Dr. M.S. A. Khandakar 7–25

 EEO
EEO and
andDiversity
Diversity Considerations
Considerations

Figure 7–4
© Dr. M.S. A. Khandakar 7–26
 Advantages
AdvantagesandandDisadvantages
Disadvantagesofof
Internal
Internal and
andExternal
External Recruiting
Recruiting Sources
Sources

Figure 7–5
© Dr. M.S. A. Khandakar 7–27
 What
What are
are internet
internet recruiting
recruiting methods?
methods?

Job
JobBoards
Boards

Internet
Internet
Professional/
Professional/ Recruiting
Recruiting
Career
CareerWeb
WebSites
Sites Methods
Methods

Employer
EmployerWeb
WebSites
Sites

© Dr. M.S. A. Khandakar 7–28

 What
What are
are advantages
advantages andand disadvantages
disadvantages of
of
internet
internet recruiting?
recruiting?

▪ Advantages
– Recruiting cost savings
– Recruiting time savings
– Expanded pool of
applicants
– Morale building for current
employees
▪ Disadvantages
– More unqualified
applicants
– Additional work for HR
staff members
– Many applicants are not
seriously seeking
employment
– Access limited or
unavailable to some
applicants

© Dr. M.S. A. Khandakar 7–29

 What
What are
are different
different external
external sources
sources
available
available for
for recruiting?
recruiting?

© Dr. M.S. A. Khandakar 7–30

 External
External Recruiting
Recruiting

College and High Schools and

University Technical Schools
Recruiting

Media External
Sources Labor
Recruiting Unions
and Job Fairs
Sources

Competitive Employment
Sources Agencies
and Search Firms

© Dr. M.S. A. Khandakar 7–31

 Internet
Internet Job
Job Searching
Searching

Source: Based on data from Greenfield Online

(www.greenfieldonline.com), as presented in The
Wall Street Journal, November 27, 2000, R32. Figure 7–7
© Dr. M.S. A. Khandakar 7–32
 What
What to
toInclude
Includein
in an
an Effective
EffectiveRecruiting
RecruitingAd?
Ad?

Figure 7–8
© Dr. M.S. A. Khandakar 7–33
How would you evaluate recruiting
efforts?

© Dr. M.S. A. Khandakar 7–34

 Evaluating
Evaluating Recruiting
Recruiting

Evaluating
EvaluatingRecruiting
Recruiting
Efforts
Efforts

Evaluating
Evaluating Evaluating
Evaluating Evaluating
Evaluating
Recruiting
Recruiting Time
Time Recruiting
Recruiting
Costs
Costsand
and Required
Requiredtoto Quality
Qualityand
and
Benefits Fill
Benefits FillOpenings
Openings Quantity
Quantity

© Dr. M.S. A. Khandakar 7–35

 Recruiting
Recruiting Evaluation
Evaluation
▪ General Areas for Evaluating Recruiting
– Quantity of applicants
– EEO goals met
– Quality of applicants
▪ Yield ratios
– A comparison of the number of applicants at one
stage of the recruiting process to the number at the
next stage.
▪ Selection rate
– The percentage hired from a given group of
candidates

© Dr. M.S. A. Khandakar 7–36

 Recruiting
RecruitingEvaluation
EvaluationPyramid
Pyramid

Figure 7–9
© Dr. M.S. A. Khandakar 7–37
 Selection
Selection Methods
Methods
▪ Yield ratios
– A comparison of the number of applicants at one
stage of the recruiting process to the number at the
next stage
▪ Selection rate
– Percentage hired from a given group of candidates
▪ Acceptance Rate
– Percentage of rejected job offers
▪ Success Base Rate
– Comparing percentage rate of past applicants who
were good employees to that of current employees.

© Dr. M.S. A. Khandakar 7–38

 What are the alternatives to
recruiting?

© Dr. M.S. A. Khandakar 7–39

 Alternatives to Recruiting

Ov y ee
ert plo ng
i me Em easi
L

Help
Wanted

y Pa
ar rt-
por Wo Tim
em e rs rke e
T rk rs
Wo

© Dr. M.S. A. Khandakar 7–40

 Alternatives for Recruiting
▪ Overtime – an alternative in which current
employees are asked to work extra hours.
▪ Temporary workers – join the organization to
work a specific period of time, rather than with
the expectation of permanent or continued
employment.
▪ Employee leasing is where the organization pays
a fee to a leasing company that provides a pool
of employees to the firm.
▪ Part-time workers are those who routinely expect
to work less than forty hours a week.

© Dr. M.S. A. Khandakar 7–41

 Thank You
For
Attending the Session

© Dr. M.S. A. Khandakar 7–42