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  2. 2. 1. Discuss the advantages and disadvantages of recruiting internal verses external and briefly discussed any two external methods of recruitment? Internal recruitment Advantages  * Lower cost, because not paying external agency to recruit for you  * May improve morale of existing staff  * Recognition and reward of the good performance of internal staff  * Reinforces & supports the company’s succession planning strategies  * Internal staff are a ‘known’ quantity with existing information available about their skills Disadvantages  * Can reinforce existing negative culture  * Run the risk of 'in breeding'  * Those that are not promoted can become discontent  * A strong performance management system is required * Can encourage political 'in-fighting' for promotions among internal staff Typically, if internal strategies are widely used by an organization, then the majority of outside recruitment only takes place for lower level jobs, which then serve as an entry point into that organization. This strategy works particularly well in organizations that have an embedded and effective succession planning process in place. The disadvantage of these internal strategies is that vacancies often will attract applications from staff that are clearly not qualified or unsuitable for the position, even though they may be otherwise thought of as valued employees. How to manage potential 'fall out' and sustain staff morale in the face of unsuccessful job applications needs to be managed carefully by the organization.
  3. 3. External recruitment Advantages *Avoids the risk of creating resentment by promoting 'favorites' from the inside * Outsiders bring in fresh ideas, skills and knowledge * Forces internal staff to 'compete' & update their skills, education, etc * Helps to facilitate change in culture * New blood' & more dynamic workforce Disadvantages *New appointee may not fit the existing culture within the organization * May affect the morale of internal staff who have been over-looked * Require a longer period of induction and orientation * May take longer to fill the vacancy * May create resentment from existing employees Many organizations may seek to fill a vacant position internally in the first instance, and then follow through with an external campaign if no suitable inside staff are identified. To avoid resentment among existing staff, the organization must be clear and consistent in communicating the corporate recruitment policy as it relates to sourcing suitable staff. The major disadvantage in an external job search campaign is that it can be time consuming and costly, particularly in a full employment economy. Organizations need to be wary of the state of the labor market as it relates to the particular vacancy at hand, so that an effective external recruitment strategy can be clearly thought through and put into place. For example, sales jobs are notoriously difficult to fill but are usually 'mission critical' to an organization, given that they are integral to securing a company's income. In such instances, and in order to fill the vacancy quickly, the nature and extent of advertising (e.g. local, national or overseas advertising) will need to be taken into consideration. On the other hand, when there is high unemployment, a smaller and less costly campaign may be sufficient.
  4. 4. Methods of External Recruitment 1. Campus Recruitment Many entry-level professional and managerial jobs require a college degree. Each year employers spend thousands of dollars to send recruiters to college campuses around the nation. Campus recruitment programs account for more than 50 percent of “college-educated talent hired each year”. Campus recruiters serve two functions. They act as the organization’s representatives to individuals who typically have no firsthand knowledge of the firm, as well as first-level screening agents for the organization. Thus they are part of both the recruitment and the selection process. 2. Special Events On occasion, an employer may wish to recruit applicants at special events such as job fairs. Job fairs may be sponsored by a chamber of commerce, educational institution, or government agency. These special events not only offer a potential source of applicants for the employer but also serve as a good public relations gesture. They represent an opportunity for an employer to become better known in the community and to link that employer’s name with a well-respected sponsor. In addition, some organizations may hold open houses for the community. These open houses provide an opportunity to demonstrate community involvement, as well as to make employment possibilities more obvious and attractive to attendees
  5. 5. 2. Define the term recruitment and selection, Describe the linkage between business strategy and effectiveness of the recruitment and selection process ? RECRUITMENT Meaning of Recruitment A process of finding and attracting capable applicants for employment. The process begins when new recruits are sought and ends when their applications are submitted. The result is a pool of applications from which new employees are selected. It is the process to discover sources of manpower to meet the requirement of staffing schedule and to employ effective Measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient working force. Recruitment of candidates is the function preceding the selection, which helps create a pool of prospective employees for the organisation so that the management can select the right candidate for the right job from this pool. Definitions According to Edwin B. Flippo, recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation". Recruitments the activity that links the employers and the jobseekers. A few definitions of recruitment are: The main objective of the recruitment process is to expedite the selection process. Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified applicants for the future human resources needs even though specific vacancies do not exist. Usually, the recruitment process starts when a manger initiates an employee requisition for a specific vacancy or an anticipated vacancy.
  6. 6. RECRUITMENT NEEDS ARE OF THREE PLANNED 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. The Purpose and 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.  Determine present and future requirements of the organization in conjunction with its personnel planning and job analysis activities.  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 by decreasing number of visibly under qualified or overqualified job applicants.  Help reduce the probability that job applicants once recruited and selected will leave the organization only after a short period of time.  Meet the organizations legal and social obligations regarding the composition of its workforce.  Begin identifying and preparing potential job applicants who will be appropriate candidates.  Increase organization and individual effectiveness of various recruiting techniques and sources for all types of job applicants
  7. 7. SOURCES OF RECRUITMENT Internal Sources of Recruitment 1. Promotions : Promotion means to give a higher position, status, salary and responsibility to the employee. So, the vacancy can be filled by promoting a suitable candidate from the same organisation. 2. Transfers: Transfer means a change in the place of employment without any change in the position, status, salary and responsibility of the employee. So, the vacancy can be filled by transferring a suitable candidate from the same organisation. 3. Internal Advertisements: Here, the vacancy is advertised within the organisation. The existing employees are asked to apply for the vacancy. So, recruitment is done from within the organisation. 4. Retired Managers: Sometimes, retired managers may be recalled for a short period. This is done when the organisation cannot find a suitable candidate.
  8. 8. 5. Family and Friends of Employee: This source is usually one of the most effective methods of recruiting because many qualified people are recruited at a very low cost to the company. 6. Recall from Long Leave : The organisation may recall a manager who has gone on a long leave. This is done when the organisation faces a problem which can only be solved by that particular manager. After he solves the problem, his leave is extended. External Sources of Recruitment 1) Advertisements: Advertisement in local or national newspapers and trade and professional journals is generally used when qualified or experienced personnel are not available from other sources. Advertisement gives the management a wider range of candidates from which to choose. (2) Educational Institutions: Direct recruitment from educational institutions for jobs which require technical or professional qualifications has become a common practice. the company and educational institutions helps in getting suitable candidates to man various positions. This is also known as `Campus Recruitment'. 3) Professional or Trade Associations: Many associations provide placement services for their members. These services may consist of compiling job seeker's lists and providing access to members during regional or national conventions. Professional or trade associations are particularly useful for attracting highly educated, experienced or skilled personnel. 4) Management Consultants: Management consultancy firms help the organisations to recruit technical, professional and managerial personnel. They specialize in middle-level and top-level executive placements.
  9. 9. 5) Write-ins are those who send written enquiries. These job seekers are asked to complete application forms for further processing 6) Recommendations: The organisation may also recruit candidates based on the recommendations received from existing managers or from sister companies. 7) Deputation Personnel: The organisation may also recruit candidates who are sent on deputation by the Government or Financial institutions or by holding or subsidiary companies. Recent Trends in Recruitment OUTSOURCING In India, the HR processes are being outsourced from more than a decade now. A company may draw required personnel from outsourcing firms. The outsourcing firms help the organisation by the initial screening of the candidates according to the needs of theorganisation and creating a suitable pool of talent for the final selection by theorganisation. Outsourcing firms develop their human resource pool by employing people for them and make available personnel to various companies as per their needs. In turn,the outsourcing firms or the intermediaries charge the organisations for their services. SELECTION Introduction The size of the labour market, the image of the company, the place of posting, the nature of job, the compensation package and a host of other factors influence the manner of aspirants are likely to respond to the recruiting efforts of the company. Through the process of recruitment the company tries to locate prospective employees and encourages them to apply for vacancies at various levels. Recruiting, thus, provides a pool of applicants for selection.
  10. 10. Definition Selection is the process of picking individuals who have relevant qualifications to fill jobs in an organisation. The basic purpose is to choose the individual who can most successfully perform the job from the pool of qualified candidates. Process Selection is usually a series of hurdles or steps. Each one must be successfully cleared before the applicant proceeds to the next one. The time and emphasis place on each step will definitely vary from one organisation to another and indeed, from job to job within the same organisation. The sequence of steps may also vary from job to job and organisation to organisation. For example some organisations may give more importance to testing while others give more emphasis to interviews and reference checks. Similarly a single brief selection interview might be enough for applicants for lower level positions, while applicants for managerial jobs might be interviewed by a number of people. Recruitment Vs Selection Both recruitment and selection are the two phases of the employment process. The differences between the two are: 1.The recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation WHEREAS selection involves the series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts .2. The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best candidates for the organisation, by attracting more and more employees to apply in the organisation WHEREAS the basic purpose of selection process is to choose the right candidate to fill the various positions in the organisation. 3. Recruitment is a positive process i.e. encouraging more and more employees to apply WHEREAS selection is a negative process as it involves rejection of the unsuitable candidates. 4. Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned with selecting the most suitable candidate through various interviews and tests. 5. There is no contract of recruitment established in recruitment WHEREAS selection results in a contract of service between the employer and the selected employee
  11. 11. Business strategy and Effective Recruitment and selection process To build an effective recruitment and selection process for your company, first align the executive team with a clear vision, values, and mission of your company as well as a clear business strategy. For example, most companies want to have X revenue and Y employees in Z number of years. To make sure that your vision and business strategy makes for an effective recruitment and selection process, make sure they are realistic. Executives should not set themselves or have someone else set them a $2 million quota if it is not even possible they will reach it. Although shooting high is great, a lack of realistic goals will result in poor morale and countless other negative effects. The business strategy needs to actually create a proper expectation. This doesn’t mean that you won’t miss the mark by a little bit. However, make sure it is within your reach. Look over problems you might encounter that will keep your company from reaching these goals and ask yourself what it is going to cost if you make the wrong hires. Benchmark Your Employees To develop an effective recruitment and selection process in each department, benchmark all of your current employees (assuming your company is big enough to have employees) and find the common denominators between your star players and between the poor performers. It is crucial that you take a look at all employees and factor in all qualities relevant to success in their position. For example, if your company has a team of eight programmers and three of them are star performers, most recruiters will only take a look at the three star performers and try to duplicate their common denominators The Hiring Profile Put together a hiring profile, factoring in your business strategy as well as the common denominators between both the star performers and the poor performers. Develop a list of questions that recruiters can ask for each position that will clearly uncover whether the potential hires are a great fit with your business strategy and the common denominators. Put together scorecards with each important quality that employees should have and rank each quality on the scorecard in low, medium, or high importance. In the interview process, rank each applicant from one to five in each of these qualities. This way, you will have a record of all the people that are interviewing for each position and you can compare them in an objective manner. It is important to conduct your recruitment and selection process in this objective way, instead of relying on a gut feeling.
  12. 12. 3. Discuss the detail how the internet have changed the way companies recruit an enumerate advantages and disadvantages of e-recruitment? E - Recruitment E - Recruitment is also known as “Online recruitment”, it is the use of technology or the web based tools to assist the recruitment processes. E-recruiting, embracing the term web-based recruiting can be described as any recruiting processes that a business organization conducts via web-based tools, such as a firm’s public Internet site or its corporate intranet. We use the terms online recruitment, Internet recruitment, and e-recruitment interchangeably We are living in the computer age and organizations are beginning to increasingly depend on the Internet for all types of business activities including online recruitment of candidates – more popularly referred to as E-recruitment. The human resources departments are taking advantage of the advancing technology and deploying web-based tools for inviting and comparing resumes. The term e-recruitment means using information technology (IT) to speed up or enhance parts of the recruitment process. It ranges from the applicant interface for advertising vacancies and making job applications, to the back office processes, which allow aliaison between human resources (HR) and line managers to set up a talent pool or database of potential recruits. Many big and small organizations are using Internet as a source of recruitment. They advertise job vacancies through worldwide web. The job seekers send their applications or curriculum vitae (CV) through an e-mail using the Internet. Alternatively job seekers place their CV’s in worldwide web, which can be drawn by prospective employees depending upon their requirements. There is growing evidence that organisations are using Internet technology and the World Wide Web as a platform for recruiting and testing candidates. E-recruitment is the latest recruitment trend and is increasingly being adopted by small and large corporate as well as placement firms. Advantages of E-Recruitment 1. No intermediaries. 2 . Reduction in the time for recruitment (over 65 percent of the hiring time). 3. Facilitates the recruitment of right type of people with the required skills.
  13. 13. 4. Gives a 24*7 access to an online collection of resumes. 5. Cost efficient: Advertisements in internet when compared to newspaper, magazines, and employment agencies is considerably cheap. As in the other sources continuously one has to revise the advertisement, for example a company wanted their ad to appear on every Sunday for a month thus was suppose to pay for four advertisements. But for internet it is not applicable. 6. Time saving device: Time to deliver; to communicate is minimized by this. Response is direct and immediate without any delay. Beforehand the postal services, fax was one way communication and was time consuming. Phones provided two way communications but resume management, communicating worldwide were not possible. 7. Widens the search: In the era of globalization the reach cannot be restricted at one place. It provides global reach that also within a fraction of second. Truly the process supports the definition of recruitment by creating a vast pool of potential candidates. 8. Scope for better match: Information in detail is provided with clarity therefore suitable candidate match is possible. The search is widened link with other websites are possible, these attracts the candidates and after the job profile matches, the candidates apply. 9. Standardization: The information of the candidates is collected in a standard format. Besides collecting the data it also consolidates information received from various sources. 10. Reservoir: It acts as the reservoir of information. From the job profile to candidate profile is available along with past applicant data. 11. Lessen paper work: As the data collection, filing, administrative work are done electronically thus paper work or documentation has been lessened. 12. Lower costs to the organization. Also, posting jobs online is cheaper than advertising in the newspapers. Disadvantages of E-Recruitment: Apart from the various benefits, e-recruitment has its own share of shortcomings and disadvantages. Some of them are: 1. Screening and checking the skill mapping and authenticity of millions of resumes is a problem and time consuming exercise for organizations 2. There is low Internet penetration and no access and lack of awareness of internet in many locations across India. 3. Organizations cannot be dependant solely and totally on the online recruitment methods.
  14. 14. 4. In India, the employers and the employees still prefer a face-to-face interaction rather than sending e-mails. 5. Require being computer savvy: The process is restricted within computer savvy candidates. As the search is based on various websites, their screening, keywords application demands for a computer savvy person and company. 6.Legal consequences: Alike other recruitment sources this source also should be aware o f the words used in the advertisements otherwise it may lead to the charge of discrimination. For example, Disney World was sued for screening the resumes preferring the key words used by whites. 7. Vast pool of applicants: This benefits the Organizations as well as it is disadvantage to them also. Because the huge database cannot be scanned in depth. Either first few candidates are called for interview or the resumes are screened based on some key words. On the other hand applicants also face global competition.