HUMAN

RESOURCE
MANAGEMENT
After studying this chapter, you should be able to:

1. Explain the main techniques used in employment

planning and forecasting.
2. List and discuss the main outside sources of
candidates.
3. Effectively recruit job candidates.
4. Name and describe the main internal sources of
candidates.

5–2
Brain storming:
• What should we consider while recruiting?

5–3
Activity:
Identify the way of screening for a particular
industry:
1. Appointment of a doctor
2. Accountant in a bank.
3. Teacher in a college
4. HR head in MNC organization
5. Pilot in airline industry

5–4
The Recruitment and Selection Process
1. Decide what positions to fill through personnel planning
and forecasting.
2. Build a candidate pool by recruiting internal or external
candidates.
3. Have candidates complete application forms and
undergo initial screening interviews.
4. Use selection tools to identify viable candidates.
5. Decide who to make an offer to, (by having the
supervisor and others interview the candidates).

5–5
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.

5–6
Overview:
• Recruitment and selection ideally starts with
workforce planning, because without that you
cant be able to identify the need of employees.

5–7
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?
– Personnel needs (Demand)
– The supply of inside candidates
– The supply of outside candidates

5–8
Case Link..,
• Valero Energy (listed in fortune 500
international manufacturer, US based
companies):

• One Manager took over staffing responsibility.

He reviewed certain things: Company’s
demographics, growth plan and turnover
history.

5–9
 Forecasting Personnel Needs

Forecasting
Tools

Trend Analysis Ratio Analysis Scatter Plotting

5–10
Cont..
• Trend analysis: trend analysis means studying
the variations in the firm’s employment level
over the last few years. (initial estimation)
• Ratio analysis/metrics means making forecasts
based on the historical ratio between factors
and number of employees (cost per hire, time to
fill. Quality if hire).
• A scatter plot shows graphically how two
variables such as sales and your staffing levels
are related.

5–11
FIGURE 5–3
Determining the
Relationship
Between Hospital
Size and Number
of Nurses

Note: After fitting the

line, you can project
how many employees
you’ll need, given your
projected volume.

Size of Hospital Number of

(Number Registered
of Beds) Nurses
200 240
300 260
400 470
500 500
600 620
700 660
800 820
900 860

5–12
Shortcomings of Traditional Forecasting
Techniques

• Strategic Shift
• Technological Advancement
• Implications of Forecasting

5–13
Forecasting the Supply of
Inside Candidates

Qualification
Inventories

Manual
Computerized
Systems and
Information
Replacement
Systems
Charts

5–14
FIGURE 5–4
Management
Replacement
Chart Showing
Development
Needs of
Potential Future
Divisional Vice
Presidents

5–15
Forecasting Outside Candidate Supply
• Factors In Supply of Outside Candidates
 General economic conditions
 Expected unemployment rate

• Sources of Information
 Periodic forecasts in business publications
 Online economic projections

5–16
Effective Recruiting
• External Factors Affecting Recruiting
 Supply of workers
 Outsourcing of white-collar jobs
 Fewer “qualified” candidates
• Other Factors Affecting Recruiting
 Consistency of recruitment with strategic goals
 Successful prescreening of applicants
 Public image of the firm

5–17
Measuring Recruiting Effectiveness

Evaluating
Recruiting
Effectiveness

What to How to
Measure? Measure?

5–18
Recruiting Yield Pyramid

5–19
Internal Candidates: Hiring from Within

Advantages Disadvantages
• Foreknowledge of • Failed applicants become
candidates’ strengths and dissatisfied
weaknesses • Time wasted interviewing
• More accurate view of inside candidates who will
candidate’s skills not be considered
• Candidates have a
stronger commitment to
the company
• Increases morale of other
employees
• Less training and
orientation required

5–20
Finding Internal Candidates

Rehiring Former
Job Posting
Employees

Hiring from
Within

Succession
Planning

5–21
Outside Sources of Candidates

Locating Outside Candidates

Executive (top management

1 Recruiting via Internet 6
talent) Recruiters

2 Advertising 7
College Recruiting

3 Employment Agencies
8 Referrals and Walk-ins
Temp workers/agency and
4
Alternative Staffing

5 Offshoring/Outsourcing

5–22
 Recruiting A More Diverse Workforce

Single Parents

The Disabled Older Workers

Socially and
economically Minorities and
backward social Women
sections

5–23
Developing and Using Application Forms

Uses of Application
Information

Applicant’s Applicant’s Applicant’s Applicant’s

education and progress and employment likelihood of
experience growth stability success

5–24
 Application Forms and the Law

Education
Achievements

Housing Arrest
Arrangements Record

Areas of Personal
Information Notification in
Marital
Case of
Status
Emergency

Physical Memberships in
Handicaps Organizations

5–25
Task:
• Assignment discussion and article reading.

5–26