Unit 2: Acquiring Human Resources

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Unit 2

ACQUIRING HUMAN
RESOURCES
HUMAN RESOURCE PLANNING

INTRODUCTION
Human Resource Planning is concerned with the planning the future manpower requirements
in the organization. HR manager ensures that the company has the right type of people in the
right number at the right time and place, who are trained and motivated to do the right kind of
work at the right time.

Human Resource planning is the process by which a management determines how an

organization should move from its current manpower position to its desired manpower

position.
HUMAN RESOURCE PLANNING
DEFINITIONS
1.Human resources planning is the process by which management ensures
that it has the right personnel, who are capable of completing those tasks
that help the organization reach its objectives. It involves the forecasting of
human resources needs and the projected matching of individuals with
expected vacancies.
-----International Labour Organization

According to Dale S. Beach,


2. "Human resource planning is a process of determining and assuring that
the organisation will have an adequate number of qualified persons,
available at the proper times, performing jobs which meet the needs of the
enterprise and which provide satisfaction for the individuals involved."
The Human Resource Planning is the process of finding the right number of
people for the right kind of a job, at a right time and the right place, by
forecasting the organization’s demand for and supply of human resources in the
near future.
In other words,

Human Resource Planning is responsible for arranging the right people for the right

job from all the available sources. And not only this, it also anticipates the vacancy

arising due to the promotion, transfer, retirement, termination, of an employee

and thus, plans for the manpower accordingly.

Immediate filling of vacancies reduces the idle time caused due to an employee

turnover, and hence the functioning of the business process remains unaffected.
This planning is generally done to enable an organization to move from the current

manpower position to the desired manpower position. The human resource planning

begins with the enterprise’s estimation for the manpower requirement and then sources

are found from where this need can be fulfilled.

The Human Resource Planning should not focus only on filling the vacant positions, but

should emphasize on hiring the right person for the right job. It also focuses on

developing the skills of an existing employee through an interactive training program,

with the intention to make them well equipped with the skills required in the future, for

the attainment of the organization’s objectives.


OBJECTIVES OF HRP
 To recruit and maintain the HR of requisite quantity and quality.

 To predict the employee turnover and make the arrangements for minimizing
turnover and filling up of consequent vacancies.

 To meet the requirements of the programmes of expansion, diversification etc.

 To anticipate the impact of technology on work, existing employees and


future human resource requirements.
 To progress the knowledge, skill, standards, ability and discipline etc.

 To appraise the surplus or shortage of human resources and take actions


accordingly.

 To maintain pleasant industrial relations by maintaining optimum level and


structure of human resource.

 To minimize imbalances caused due to non-availability of human resources of


right kind, right number in right time and right place.

 To make the best use of its human resources; and

 To estimate the cost of human resources.


1.Determining the Objectives of Human
Resource Planning:
The foremost step in every process is the determination of the objectives for which the

process is to be carried on. The objective for which the manpower planning is to be done

should be defined precisely, so as to ensure that a right number of people for the right kind of

job are selected.

The objectives can vary across the several departments in the organization such as the

personnel demand may differ in marketing, finance, production, HR department, based on

their roles or functions.


2.Analyzing Current Manpower
Inventory:
The next step is to analyze the current manpower supply in the organization through the
stored information about the employees in terms of their experience, proficiency, skills, etc.
required to perform a particular job.

Also, the future vacancies can be estimated, so as to plan for the manpower from both the
internal (within the current employees) and the external (hiring candidates from outside)
sources. Thus, it is to be ensured that reservoir of talent is maintained to meet any vacancy
arising in the near future.
3.Forecasting Demand and Supply of
Human Resources:
Once the inventory of talented manpower is maintained; the next step is to match the

demand for the manpower arising in the future with the supply or available resources

with the organization.

Here, the required skills of personnel for a particular job are matched with the job

description and specification.


4.Analyzing the Manpower Gaps:
After forecasting the demand and supply, the manpower gaps can be easily

evaluated. In case the demand is more than the supply of human resources, that

means there is a deficit, and thus, new candidates are to be hired.

Whereas, if the Demand is less than supply, there arises a surplus in the human

resources, and hence, the employees have to be removed either in the form of

termination, retirement, layoff, transfer, etc.


5.Employment Plan/Action Plan:

Once the manpower gaps are evaluated, the action plan is to be

formulated accordingly. In a case of a deficit, the firm may go

either for recruitment, training, interdepartmental transfer

plans whereas in the case of a surplus, the voluntary retirement

schemes, redeployment, transfer, layoff, could be followed.


6.Training and Development:

The training is not only for the new comers but also for the

existing employees who are required to update their skills from

time to time.

After the employment plan, the training programmes are

conducted to equip the new employees as well as the old ones

with the requisite skills to be performed on a particular job.


7.Appraisal of Manpower Planning:
Finally, the effectiveness of the manpower planning process is to be

evaluated. Here the human resource plan is compared with its actual

implementation to ensure the availability of a number of employees

for several jobs.

At this stage, the firm has to decide the success of the plan and

control the deficiencies, if any.


Thus, human resource planning is a continuous process that

begins with the objectives of Human Resource planning and

ends with the appraisal or feedback and control of the planning

process.
BENEFITS OF HRP
 The human resource planning helps in forecasting the future
needs of the manpower and not only this, but it also helps in
anticipating the vacancies arising in the near future.

 It is cost effective, i.e. the enterprise can anticipate the shortage


and surplus of manpower and can control the imbalance, that
may become unmanageable or expensive.

 Better planning for the employee development. Through


human resource planning, the skills of the existing employees
can be improved by giving them timely training and
development opportunities.
 Training programs become more effective since the
manpower gaps, arising out of shortage or surplus, can be
determined through the manpower planning and the training
can be imparted accordingly.

 It helps to make the strategic decisions related to the


hiring and training of the manpower, in the case of shortage
and layoff, termination or replacement of the manpower, in a
case of surplus.

 Through Human Resource planning, the idle arising out of


vacancy can be reduced and thus the overall performance of
the business remains unaffected.
Limitations of Human Resource Planning
The Human Resource Planning is concerned with maintaining and recruiting the human
resources with the requisite quantity and the quality, to fulfill the demand and supply arising in
the near future.

 The future is uncertain. There are several external factors viz. Technological, political,
cultural, etc. that affects the employment opportunities. Therefore, the management can
consider the human resource planning as a guiding factor and can not rely completely on
it.

 With the surplus manpower, the companies try to remove this imbalance using
termination, layoff, removal of the existing employees. This could create a sense of
insecurity among them, and that would result in the loss of their faith in the company.
 The human resource planning is time-consuming since it collects
the complete information regarding the personnel requirements of
each department and then finds the suitable sources to satisfy the
needs.
 The human resource planning is an expensive process. All the
activities carried out from the time the manpower need arises till
the final placement of employees, consumes lot of time and is very
expensive.
JOB ANALYSIS

JOB DESCRIPTION JOB SPECIFICATION

 JOB TITLE  QUALIFICATIONS


 JOB LOCATION  EXPERIENCE
 JOB SUMMARY  TRAINING
 REPORTING TO  SKILLS
 WORKING CONDITIONS  RESPONSIBILITIES
 JOB DUTIES  EMOTIONAL
 MACHINES TO BE USED CHARACTERISTICS
 HAZARDS  SENSORY DEMANDS
JOB ANALYSIS: INTRODUCTION
Job analysis, contains a simple term called "analysis", which means
detailed study or examination of something (job) in order to
understand more about it (job). therefore job analysis is  to
understand more about a specific job in order to optimize it. Job
analysis is a systematic process of collecting complete
information pertaining to a job. Job analysis is done by job analyst
who is an officer have been trained for it.

DEFINITION:
In the words of Edwin B. Flippo,

"Job analysis is the process of studying and collecting information


relating to the operations and responsibilities of a specific job.”
Job analysis is a procedure through which you determine the duties
and responsibilities, nature of the jobs and finally to decide
qualifications, skills and knowledge to be required for an
employee to perform particular job. Job analysis helps to
understand what tasks are important and how they are carried on. Job
analysis forms basis for later HR activities such as developing
effective training program, selection of employees, setting up of
performance standards and assessment of employees ( performance
appraisal)and employee remuneration system or compensation plan.
Job analysis is a detailed examination of

(1) tasks that make up a job (employee role),


(2) conditions under which an employee performing his/her
job, and
(3) what exactly a job requires in terms of aptitudes
(potential for achievement), attitudes (behavior
characteristics), knowledge, skills, educational
qualifications and the physical working condition of the
employee.
.
objectives include
(a) to determine most effective methods for performing a job.

(b) to increase employee job satisfaction.

(c) to identify core areas for giving training to employees and to find out best

methods of training.

(d) development of performance measurement systems, and

(e) to match job-specifications with employee specifications while selection of

an employee
1.PLANNING THE JOB ANALYSIS

2.PREPARING AND COMMUNICATING THE JOB


ANALYSIS

3.CONDUCTING THE JOB ANALYSIS

4.DEVELOPING JOB DESCRIPTIONS AND JOB


SPECIFICATIONS

5.MAINTAINING AND UPDATING JOB DESCRIPTIONS AND


JOB SPECIFICATIONS
1. Planning the Job Analysis
It is crucial that the job analysis process be planned before beginning the gathering of data
from managers and employees. Probably the most important consideration is to identify the
objectives of the job analysis. Maybe it is just to update job descriptions. Or, it may include
as an outcome revising the compensation programs in the organization. Another objective
could be to redesign the jobs in a department or division of the organization. Also, it could be
to change the structure in parts of the organization to align it better with business strategies.

Whatever the purpose identified, it is vital to obtain top management support. The backing of
senior managers is needed as issues arise regarding changes in jobs or the organizational
structure. Support from even the highest levels of management helps when managerial and
employee anxieties and resistance arise.
2. PREPARING AND
INTRODUCING/COMMUNICATING THE JOB
ANALYSIS

Preparation begins by identifying the jobs under review. For example, are the jobs to be
analyzed hourly jobs, clerical jobs, all jobs in one division, or all jobs in the entire
organization? In this phase, those who will be involved in conducting the job analysis and
the methods to be used are identified.

Another task in the identification phase is to review existing documentation. Existing job
descriptions, organization charts, previous job analysis information, and other industry-
related resources all may be useful to review. Having details from this review may save
time and effort later in the process.
3. CONDUCTING THE JOB ANALYSIS

With the preparation completed, the job analysis can be conducted. The methods selected

will determine the time line for the project. Sufficient time should be allotted for obtaining

the information from employees and managers. If questionnaires are used, it is often helpful

to have employees return them to supervisors or managers for review before giving them

back to those conducting the job analysis. The questionnaire should be accompanied by a

letter explaining the process and instructions for completing and returning the job analysis

questionnaires.
Once data from job analysis has been compiled, it should be sorted by job, the job
family, and organizational unit. This step allows for comparison of data from
similar jobs throughout the organization. The data also should be reviewed for
completeness, and follow-up may be needed in the form of additional interviews or
questions to be answered by managers and employees.

Job families are groupings of jobs related by common


vocations/professions. Accordingly, they have many
similarities. Jobs in a job family are similar in that they:
Require similar knowledge, skills and abilities
(competencies).
4. Developing Job Descriptions and Job
Specifications
At this stage the job analysts will prepare draft job descriptions and job specifications. 
The purpose here is to emphasize that the drafts should be relatively complete and
identify areas where additional clarifications are needed.

Generally, organizations have found that having managers and employees write
job descriptions is not recommended for several reasons. First, there is no
consistency in format and details, both of which are important given the legal
consequences of job descriptions. Second, managers and employees vary in their
writing skills. Also, they may write the job descriptions and job specifications to
reflect what they do and what their personal qualifications are, not what the job
requires.
Once the drafts are completed, they should be reviewed by managers.

It is important that each supervisor or manager review the completed

description with individual employees so that there is  understanding

and agreement on the content that will be linked to performance

appraisals, as well as to all other HR activities.


5. Maintaining and Updating Job Descriptions and
Job Specifications

 Once job descriptions and specifications have been completed and


reviewed by all appropriate individuals, a system must be developed for
keeping them current. 

 Someone in the HR department usually has responsibility for ensuring that


job descriptions and specifications stay current. Employees performing the
jobs and their managers play a crucial role because, as those closest to the
jobs, they know when changes occur
 For many organizations, a complete review is made once every
three years, or as technology shifts occur, and more frequently when
major organizational changes are made.
Job Description
A job description is a written statement of the duties, responsibilities,

required qualifications and reporting relationships of a particular job.

The job description is based on objective information obtained through job analysis.

Job description acts as an important resource for


 Describing the job to potential candidates
 Guiding new hired employees in what they are specifically expected to
do
 Providing a point of comparison in appraising whether the actual duties
align with the stated duties.
Example of Job Description
Job specification
Components of a Job Specification
Experience: Number of years of experience in the job you are
seeking to fill. Number of years of work experience required for
the selected candidate. Note whether the position requires
progressively more complex and responsible experience, and
supervisory or managerial experience.

Education: State
what degrees, training, or certifications are
required for the position.
Required Skills, Knowledge and Characteristics:
 State the skills, knowledge, and personal characteristics of individuals who
have successfully performed this job. Or, use the job analysis data to
determine the attributes you need from your “ideal” candidate. Your
recruiting planning meeting or email participants can also help determine
these requirements for the job specification. 
Example of Job Specification
JOB DESIGN

Definition: The Job Design means outlining the task, duties,

responsibilities, qualifications, methods and relationships required to perform the

given set of a job. In other words, job design encompasses the components of the

task and the interaction pattern among the employees, with the intent to satisfy both

the organizational needs and the social needs of the jobholder.


The objective of a job design is to arrange the work in such a manner so

as to reduce the boredom and dissatisfaction among the employees,

arising due to the repetitive nature of the task.

Job Redesign involves changing work responsibilities, duties,


activities, and tasks.
Methods or Techniques of Job Design

 JOB ROTATION

 JOB ENLARGEMENT (HORIZONTAL EXPANSION OF JOB)

 JOB ENRICHMENT (VERTICAL EXPANSION OF JOB)


Definition: 
Job Rotation is the management technique wherein an employee is
shifted from one job role to the other, with the purpose of familiarizing
him with all the verticals of an organization.

Generally, the management trainees who are a fresher


in the business world are shifted to different job
positions to make them understand the functions of
business more precisely. The purpose of a job rotation
is to reduce the monotony of work and letting an
employee to acquire multi skills required for
performing different tasks in the organization.
Advantages of Job Rotation

 Reduces the monotony of work


 Broadens one’s knowledge and skills
 Helps the management to explore the hidden talent of an
individual
 Helps an individual to realize his own interest
 Helps in creating the right employee job fit
 Developing a wider range of experience
Disadvantages of Job Rotation
 Reduces uniformity of work

 Fear of performing another task ineffectively

 Frequent interruptions in the work

 Misunderstanding between the team members or union.

 Difficulty in coping with other team members

 Fear of getting more tedious or a hectic work


JOB ENLARGEMENT
Definition: The Job Enlargement refers to the horizontal expansion of
jobs wherein more and more activities, and tasks are added to the existing job
scope at the same level in the organization.

In other words, job enlargement means increasing the scope of duties and

responsibilities of an individual by adding the related activities to his existing

job profile and generally without any change in his authority and his level in the

hierarchy in the organization


Job enlargement can be explained with the help of the following
example –
If Mr. A is working as an executive with a company and is
currently performing 3 activities on his job, after job enlargement
or through job enlargement we add 4 more activities to the existing
job so now Mr. A performs 7 activities on the job.

 It must be noted that the new activities which have been added
should belong to the same hierarchy level in the organization
Job enlargement is doing different tasks and not just
the same thing all the time.

 Job enlargement contradicts the principles of


specialization and the division of labour whereby
work is divided into small units, each of which is
performed repetitively by an individual worker
Job enlargement
ADVANTAGES DISADVANTAGES
1. Variety of skills 1.Increases work burden

2.Increasing frustration of employees


2. Improves earning capacity
3.Problems with union members
3. wide range of activities
Advantages of job enlargement 
Variety of skills :- Job enlargement helps the organization
to improve and increase the skills of the employee due to
organization as well as the individual benefit.

Improves earning capacity :- Due to job enlargement


the person learns many new activities. When such people apply
for jobs to other companies they can bargain for more salary.

Wide range of activities :- Job enlargement provides wide


range of activities for employees. Since a single employee
handles multiple activities the company can try and reduce the
number of employees. This reduces the salary bill for the
company.
Disadvantages of job enlargement 
Increases work burden :- Job enlargement increases the work of

the employee and not every company provides incentives and extra salary for extra
work. Therefore the efforts of the individual may remain unrecognized .

Increasing frustration of the employee :- In many cases


employees end up being frustrated because increased activities do not
result in increased salaries.

Problem with union members :- Many union members may


misunderstand job enlargement as exploitation of worker and may
take objection to it.
JOB ENRICHMENT

Definition: The Job Enrichment is the job design


technique used to increase the satisfaction among the
employees by delegating higher authority and responsibility to
them and thereby enabling them to use their abilities to the
fullest.
In other words, job enrichment is the opportunity given to the
employees to explore their abilities when some tough task is assigned
to them. The job enrichment is the vertical restructuring of moral
excellence in which more authority, autonomy, control is given to the
employees to perform a given set of a jobs.

The central focus of job enrichment is giving people more control


over their work (lack of control is a key cause of stress, and therefore
of unhappiness.) Where possible, allow them to take on tasks that are
typically done by supervisors. This means that they have more
influence over planning, executing, and evaluating the jobs they do. 
Advantages of job enrichment
Interesting and challenging job :- When a certain amount of power
is given to employees it makes the job more challenging for them,
we can say that job enrichment is a method of employee
empowerment.
Improves decision making :- Through job enrichment we can improve the
decision making ability of the employee by asking him to decide.

Reduces work load of superiors :-Job enrichment reduces the work


load of senior staff. When decisions are taken by juniors the seniors work load is reduced.
Disadvantages of job enrichment

1.Job enrichment is based on the assumptions that workers have complete knowledge to
take decisions and they have the right attitude. In reality this might not be the case due to
which there can be problems in working.

2.Job enrichment has negative implications i.e.. along with usual work decision making,
work is also given to the employees and not many would be comfortable with this.

3.Superiors may feel that power is being taken away from them and given to the juniors.
This might lead to ego problems

4.Some people are internally dissatisfied with the organization. For such people no
amount of job enrichment can solve the problem.
JOB EVALUATION
Job evaluation is the process of analyzing and assessing various jobs
systematically to ascertain their relative worth in an organization.

DEFINITION OF JOB EVALUATION 


In the words of Edwin B. Flippo,
"Job evaluation is a systematic and orderly process of determining the
worth of a job in relation to other jobs."
Features of Job Evaluation 
 To supply bases for wage negotiation founded on facts rather than on
vague intermediate ideas.
 It attempts to assess jobs, not people.
 Job evaluation is the output provided by job analysis.

 Job evaluation determines the value of job. Further the value of each of
the aspects such as skill and responsibility levels are also related and
studied in connection with the job.
 Job evaluation helps the management to maintain high levels of employee
productivity and employee satisfaction.
objectives of job evaluation
 To establish an orderly, rational, systematic structure of jobs based
on their worth to the organization.
 To justify an existing pay rate structure or to develop one that
provides for internal equity.
 To assist in setting pay rates that are comparable to those of in
similar jobs in other organizations to compete in market place for
best talent.
 To provide a rational basis for negotiating pay rates when bargaining
collectively with a recognized union.
 To ensure the fair and equitable compensation of employees in
relation to their duties.
JOB EVALUATION METHODS

Quantitative methods Non Quantitative methods

 FACTOR COMPARISON
 JOB RANKING

 POINT RATING
 JOB CLASSIFICATION OR GRADING
Advantages of Job evaluation
Reduction in inequalities in salary structure  - It
is found that people and their motivation is dependent upon how well they are
being paid. Therefore the main objective of job evaluation is to have external
and internal consistency in salary structure so that inequalities in salaries are
reduced.

Specialization - Because of division of labour and thereby


specialization, a large number of enterprises have got hundred jobs and many
employees to perform them. Therefore, an attempt should be made to define a
job and thereby fix salaries for it. This is possible only through job evaluation.
Helps in selection of employees - The job evaluation
information can be helpful at the time of selection of candidates. The factors that
are determined for job evaluation can be taken into account while selecting the
employees.

Harmonious relationship between employees


and manager - Through job evaluation, harmonious and congenial
relations can be maintained between employees and management, so that all kinds
of salaries controversies can be minimized
Limitations:
 Though there are many ways of applying job evaluation in a flexible manner, rapid

changes in technology and in the supply of and demand for particular skills, create

problems of adjustment that may need further study.

 When job evaluation results in substantial changes in the existing wage structure,

the possibility of implementing these changes in a relatively short period may be

restricted by the financial limits within which the firm has to operate.
Definition and Meaning of Recruitment

According to Edwin B. Flippo,“ Recruitment is the process of


searching the candidates for employment and stimulating them to
apply for jobs in the organization ”

Meaning:
 Recruitment is the activity that links the employers and the job
seekers.
 A process of finding and attracting capable applicants for
employment
Recruitment needs are of three types
PLANNED
The needs arising from changes in organization and retirement
policy.
ANTICIPATED
Anticipated needs are those movements in personnel, which an
organization can predict by studying trends in internal and
external environment.
UNEXPECTED
Resignation, deaths, accidents, illness give rise to unexpected
needs.
IMPORTANCE OF RECRUITMENT
• Attract and encourage more and more candidates to apply in
the organisation.
• Create a talent pool of candidates to enable the selection of
best candidates for the organisation.
• Recruitment is the process which links the employers with the
employees.
• Increase the pool of job candidates at minimum cost.

• Help increase the success rate of selection process.


Recruitment process
Recruitment process is a process of identifying the jobs vacancy,
analyzing the job requirements, reviewing applications, screening,
shortlisting and selecting the right candidate.
1.Recruitment Planning
Recruitment planning is the first step of the recruitment process, where the
vacant positions are analyzed and described. It includes job specifications
and its nature, experience, qualifications and skills required for the job, etc.
 Identifying Vacancy

 Job Analysis

 Job Description

 Job Specification

 Job Evaluation
2.Recruitment Strategy
Recruitment strategy is the second step of the recruitment process, where a

strategy is prepared for hiring the resources. After completing the


preparation of job descriptions and job specifications, the next step is to decide
which strategy to adopt for recruiting the potential candidates for the
organization. While preparing a recruitment strategy, the HR team considers the
following points −
 Make or buy employees
 Types of recruitment
 Geographical area
 Recruitment sources
3.Searching the Right Candidates
Searching is the process of recruitment where the resources are sourced depending
upon the requirement of the job. After the recruitment strategy is done, the searching of
candidates will be initialized.
This process consists of two steps −

Source activation − Once the line manager verifies and permits the existence of the
vacancy, the search for candidates starts.

Selling − Here, the organization selects the media through which the communication of
vacancies reaches the prospective candidates.
Searching involves attracting the job seekers to the vacancies. The sources are
broadly divided into two categories: 

Internal Sources and External Sources.


Internal Sources
Internal sources of recruitment refer to hiring employees within the organization through

Promotions
Transfers
Former Employees
Internal Advertisements (Job Posting)
Employee Referrals
Previous Applicants
External Sources
External sources of recruitment refer to hiring employees
outside the organization through −
 Direct Recruitment
 Employment Exchanges/ Recruitment consulting
companies
 Advertisements
 Campus Recruitment
 Word of Mouth
4.Screening / Shortlisting
Screening starts after completion of the process of sourcing the candidates.
Screening is the process of filtering the applications of the candidates for further
selection process.

Screening is an integral part of recruitment process that helps in removing


unqualified or irrelevant candidates, which were received through sourcing.

The screening process of recruitment consists of three steps −

1.Reviewing of Resumes and Cover Letters


2.Conducting Telephonic or Video Interview
3.identifying the top candidates.
1.Reviewing of Resumes and Cover Letters
Reviewing is the first step of screening candidates. In this
process, the resumes of the candidates are reviewed and
checked for the candidates’ education, work experience, and
overall background matching the requirement of the job.
While reviewing the resumes, an HR executive must keep the
following points in mind, to ensure better screening of the potential
candidates −

 Reason for change of job


 Longevity with each organization
 Long gaps in employment
 Job-hopping
While reviewing the resumes, an HR executive must keep the
following points in mind, to ensure better screening of the potential
candidates −

 Reason for change of job


 Longevity with each organization
 Long gaps in employment
 Job-hopping
2.Conducting Telephonic or Video Interview
Conducting telephonic or video interviews is the second step of screening candidates. In
this process, after the resumes are screened, the candidates are contacted through phone
or video by the hiring manager. This screening process has two outcomes −

 It helps in verifying the candidates, whether they are active and


available.
 It also helps in giving a quick insight about the candidate’s
attitude, ability to answer interview questions, and
communication skills.
3.Identifying the top candidates
Identifying the top candidates is the final step of screening the
resumes/candidates. In this process, the cream/top layer of resumes are
shortlisted, which makes it easy for the hiring manager to take a
decision. This process has the following three outcomes −

 Shortlisting 5 to 10 resumes for review by the hiring managers

 Providing insights and recommendations to the hiring manager

 Helps the hiring managers to take a decision in hiring the right

candidate.
5.Evaluation and Control
Evaluation and control is the last stage in the process of
recruitment. In this process, the effectiveness and the validity of
the process and methods are assessed. Recruitment is a costly
process, hence it is important that the performance of the
recruitment process is thoroughly evaluated.
The costs incurred in the recruitment process are to be
evaluated and controlled effectively.

.
These include the following −
Salaries to the Recruiters

Advertisements cost and other costs incurred in


recruitment methods, i.e., agency fees.

Time spent by the Management and the Professionals


in preparing job description, job specifications, and
conducting interviews
SOURCES OF RECRUITMENT
INTERNAL SOURCES
Internal sources of recruitment refer to hiring employees within
the organization internally. In other words, applicants seeking for
the different positions are those who are currently employed with
the same organization.
 Promotions  Transfers  Recruiting Former Employees

 Internal Advertisements (Job Posting)

 Employee Referrals

 Previous Applicants
1.promotions
Promotion refers to upgrading the cadre of the employees by
evaluating their performance in the organization. It is the
process of shifting an employee from a lower position to a
higher position with more responsibilities, remuneration,
facilities, and status. Many organizations fill the higher vacant
positions with the process of promotions, internally.
2.TRANSFERS
Transfer refers to the process of interchanging from one job to

another without any change in the rank and responsibilities. It can

also be the shifting of employees from one department to another

department or one location to another location, depending upon the

requirement of the position.


3.FORMER EMPLOYEES
Recruiting former employees is a process of internal sources of

recruitment, wherein the ex employees are called back

depending upon the requirement of the position. This process

is cost effective and saves plenty of time. The other major

benefit of recruiting former employees is that they are very well

versed with the roles and responsibilities of the job and the

organization needs to spend less on their training and

development.
4.Internal Advertisements (Job Posting)

Internal Advertisements is a process of posting/advertising jobs within the

organization. This job posting is an open invitation to all the employees

inside the organization, where they can apply for the vacant positions. It

provides equal opportunities to all the employees working in the

organization. Hence, the recruitment will be done from within the

organization and it saves a lot of cost.


5.Employee Referrals
Employee referrals is an effective way of sourcing the right candidates at a low

cost. It is the process of hiring new resources through the references of

employees, who are currently working with the organization. In this process,

the present employees can refer their friends and relatives for filling up the

vacant positions.

Organizations encourage employee referrals, because it is cost effective and

saves time as compared to hiring candidates from external sources. Most

organizations, in order to motivate their employees, go ahead and reward them

with a referral bonus for a successful hire.


6.PREVIOUS APPLICANTS
Here, the hiring team checks the profiles of previous
applicants from the organizational recruitment
database. These applicants are those who have
applied for jobs in the past. These resources can be
easily approached and the response will be positive
in most of the cases. It is also an inexpensive way of
filling up the vacant positions.
PROS AND CONS OF INTERNAL SOURCES
The advantages are as follows

 It is simple, easy, quick, and cost effective.


 No need of induction and training, as the candidates
already know their job and responsibilities.
 It motivates the employees to work hard, and increases
the work relationship within the organization.
 It helps in developing employee loyalty towards the
organization.
DRAWBACKS
 It prevents new hiring of potential resources. Sometimes, new
resources bring innovative ideas and new thinking onto the table.
 It has limited scope because all the vacant positions cannot be
filled.
 There could be issues in between the employees, who are
promoted and who are not.
 If an internal resource is promoted or transferred, then that
position will remain vacant.
 Employees, who are not promoted, may end up being unhappy and
demotivated.
EXTERNAL SOURCES
External sources of recruitment refer to hiring employees outside the
organization externally. In other words, the applicants seeking job
opportunities in this case are those who are external to the
organization.
Direct Recruitment

Employment Exchanges

Advertisements

Campus Recruitment

Word of Mouth Advertising


Direct Recruitment
Direct recruitment refers to the external source of recruitment

where the recruitment of qualified candidates are done by placing

a notice of vacancy on the notice board in the organization. This

method of sourcing is also called as factory gate recruitment, as

the blue-collar and technical workers are hired through this proces
EMPLOYMENT EXCHANGES
As per the law, for certain job vacancies, it is mandatory that the
organization provides details to the employment exchange.
Employment exchange is a government entity, where the details
of the job seekers are stored and given to the employers for filling
the vacant positions. This external recruitment is helpful in hiring
for unskilled, semi-skilled, and skilled workers.
Advertisements
Advertisements are the most popular and very much
preferred source of external source of recruitment. The job
vacancy is announced through various print and
electronic media with a specific job description and
specifications of the requirements. Using advertisements is
the best way to source candidates in a short span and it
offers an efficient way of screening the candidates’ specific
requirements.
Campus Recruitment
Campus recruitment is an external source of
recruitment, where the educational institutions such as
colleges and universities offers opportunities for hiring
students. In this process, the organizations visit
technical, management, and professional institutions
for recruiting students directly for the new positions.
Word of Mouth Advertising
Word of mouth is an intangible way of sourcing the
candidates for filling up the vacant positions. There are many
reputed organizations with good image in the market. Such
organizations only need a word-of-mouth advertising
regarding a job vacancy to attract a large number of
candidates.
Pros and Cons of External Sources of Recruitment
External sources of recruitment, i.e., hiring employees outside an
organization, has both its benefits and drawbacks.
The benefits are as follows −
 It encourages new opportunities for job seekers.
 Organization branding increases through external sources.
 There will be no biasing or partiality between the employees.
 The scope for selecting the right candidate is more, because of the
large number candidates appearing.
The disadvantages of recruiting through external sources are as follows −

 This process consumes more time, as the selection process is


very lengthy.
 The cost incurred is very high when compared to recruiting
through internal sources.
 External candidates demand more remuneration and benefits.

To conclude, the HR department should be flexible enough to


choose between internal or external methods of recruitment,
depending upon the requirement of the organization.
Selection
Selection is the process of picking or choosing the right
candidate, who is most suitable for a vacant job position in an
organization. In others words, selection can also be explained as
the process of interviewing the candidates and evaluating their
qualities, which are required for a specific job and then choosing
the suitable candidate for the position.
The selection of a right applicant for a vacant position will be an
asset to the organization, which will be helping the organization in
reaching its objectives.
SELECTION PROCEDURE
1.Preliminary Interview: The preliminary interview is
also called as a screening interview wherein those candidates are
eliminated from the further selection process who do not meet the
minimum eligibility criteria as required by the organization. Here, the
individuals are checked for their academic qualifications, skill sets,
family backgrounds and their interest in working with the firm. The
preliminary interview is less formal and is basically done to weed out
the unsuitable candidates very much before proceeding with a full-
fledged selection process.
2.Receiving Applications: Once the individual qualifies

the preliminary interview he is required to fill in the application

form in the prescribed format. This application contains the

candidate data such as age, qualification, experience, etc. This

information helps the interviewer to get the fair idea about the

candidate and formulate questions to get more information about

him.
3.Screening Applications: Once the applications are
received, these are screened by the screening committee, who then prepare a

list of those applicants whom they find suitable for the interviews. The

shortlisting criteria could be the age, sex, qualification, experience of an

individual. Once the list is prepared, the qualified candidates are called for

the interview either through a registered mail or e-mails.


4.Employment Tests: In order to check the mental ability

and skill set of an individual, several tests are conducted. Such as

intelligence tests, aptitude tests, interest tests, psychological tests,

personality tests, etc. These tests are conducted to judge the

suitability of the candidate for the job.


5.Employment Interview: The one on one session with the
candidate is conducted to gain more insights about him. Here, the

interviewer asks questions from the applicant to discover more about

him and to give him the accurate picture of the kind of the job he is

required to perform.
6.Checking References: The firms usually ask for the
references from the candidate to cross check the authenticity of the
information provided by him. These references could be from the
education institute from where the candidate has completed his studies
or from his previous employment where he was formerly engaged.
These references are checked to know the conduct and behavior of an
individual and also his potential of learning new jobs.
7.Medical Examination: Here the physical and

mental fitness of the candidate is checked to ensure that he

is capable of performing the job. In some organizations, the

medical examination is done at the very beginning of the

selection process while in some cases it is done after the

final selection.
8.Final Selection: Finally, the candidate who
qualifies all the rounds of a selection process is

given the appointment letter to join the firm.


Significance of Selection
The company should follow a proper selection procedure as huge amount of money is
invested in selecting the right candidate for the job. Also, the cost incurred in training
and induction programme is too high that the wrong selections could lead to a huge
loss to the employer in terms of the time, effort and money.

Absenteeism and labour turnover are the grim situations for any organization and if
the candidates are not selected appropriately, then these problems will increase and
the overall efficiency of the organization will go down.
RECRUITMENT VS SELECTION
Recruitment selection

Searching for sources of labour and Selection of right candidates.


stimulating people to apply for job.

It is a positive process It is a negative process.

It creates a large pool of candidates. It screens out unsuitable candidates.

It is relatively simple process. It is complex and time consuming


process.
Meaning of Placement:
The selection procedure ends with the placement of a worker to the
job. Placement is the process of assigning a specific job to each one of
the selected candidates.

In very simple words placement means sending the newly employed


person to some department for work. It also implies assigning a
specific rank and responsibility to an individual. Matching the
requirements of the job with the qualifications of a candidate is the
essence of placement.
Principles of Placement:
1. Man should be placed on the job according to the requirements of the job.

The job should not be adjusted according to the qualifications or


requirements of the man. Job first; man Next should be the principle of
placement.
2. The job should be offered to the man according to his qualifications. The
placement should neither be higher nor lower than the qualifications.

3.While introducing the job to the new employee, an effort should be made
to develop a sense of loyalty and cooperation in him so that he may realise
his responsibilities better towards the job and the organisation.
PROCESS OF PLACEMENT:
 COLLECT –Gathering employee data to identify skills,
qualification, interests and abilities of existing workforce.
 EVALUATE-Evaluating employee competencies to define what
kind of Job every employee fits best into.
 PLACE- Allocating employees to relevant and best fitting jobs.
 CONTROL- Monitoring and measuring performance of
employees at their workplaces.
Employee Induction
Orientation is the process of acquainting new employees with the
organization. Orientation topics range from such basic items as the
location of the company cafeteria to such concerns as various career
paths within the firm.

Hence we can say that induction or orientation is the process through


which a new employee is introduced to the job and the organization.
DEFINITION

In the words of Armstrong, induction is "the process of

receiving and welcoming an employee when he first joins a

company and giving him the basic information he needs to settle

down quickly and start work.


Steps In Induction Programme
 Welcome to the organization
 Explain about the company.
 Show the location, department where the new recruit will work. .

 Give the company's manual to the new recruit.


 Provide details about various work groups .
 Give details about pay, benefits, holidays, leave, etc. Emphasize the
importance of attendance or punctuality.
 Explain about future training opportunities and career prospects.
 Clarify doubts, by encouraging the employee to come out with questions.
Problems of Orientation
Too much paperwork
high Cost to company
Only expenditure no income
Information overload
Too much “selling” of the organization
Too much one-way communication
Difficult for the employee to relate

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