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HUMAN RESOURCES
PLANNING AND
RECRUITMENT
| RACHELLE E. RONA
C H A P T E R 5
LEARNING
|PLANNING PROCESS
❶Learn the Steps in Developing & Implementing a Human
Resource Plan
|RECRUITMENT PROCESS
❷Understand the Process by which individuals find and choose
jobs and the Role of Personnel Recruitment in Reaching these
individuals and Shaping their choices
Object
ives
PLANNING
Proce
ss
Human ResourceForecast of
Labor surplus
or shortage
Goal Setting and
Strategic
Planning
Program
Implementation
and Evaluation
HR Manager
ascertain the
supply of and
demand for
various type of
Human Resources
STEP
1#
Forecast of
Labor surplus
or shortage
Goal Setting and
Strategic
Planning
Program
Implementation
and Evaluation
(Merriam-Webster)
Forecast
-to calculate or predict (some
future event or condition )
usually as a result of study and
analysis of pertinent data
Go
alTo predict areas within the
organization where there will
be future labor shortages or
surpluses
FORECASTING
FORECASTING
❶Statistical
❷Judgmental
❸Balanced Approached
Metho
ds
Ascertaining
Labor
Surplus or
Shortages
Determining
Labor
Demand
Determining
Labor
Supply
VS.
FORECASTING
Proces
s
STEP
2#
Forecast of
Labor surplus
or shortage
Goal Setting
and Strategic
Planning
Program
Implementation
and Evaluation
|Specific quantitative
|Should come directly from
the analysis of labor supply
and labor demand
|Should include:
❶Specific figure for what
should happen with the
job category or skill area
❷Specific timetable for
when results should be
achieved.
Goal Setting
Purpo
se
Focus attention
on the problem
|Choosing from the many different strategies
available for redressing labor shortages and
surpluses.
|Critical stage because the many choices available differ
widely in their:
❶Expense
❷Speed
❸Effectiveness
❹Amount of Human Suffering
❺Revocability ( How easily the change can be
undone)
Options for Reducing an
Expected Labor Suplus
OPTION SPEED HUMAN
SUFFERING
① Downsizing Fast High
②Pay reduction Fast High
③ Demotions Fast High
④ Transfers Fast Moderate
⑤ Work Sharing Fast Moderate
⑥ Hiring Freeze Slow Low
⑦ Natural Attrition Slow Low
⑧ Early retirement Slow Low
⑨ Retraining Slow Low
Options for Avoiding an
Expected Labor Shortage
OPTION SPEED REVOCABILITY
❶ Overtime Fast High
❷ Temporary employees Fast High
❸ Outsourcing Fast High
❹ Retrained transfers Slow High
❺ Turnover reductions Slow Moderate
❻ New external hires Slow Low
❼ Technological
innovation
Slow Low
Provide a benchmark for determining
the relative success of any programs
aimed at addressing a pending labor
shortage or surplus.
STRATEGIC CHOICE
STAGE
Purpo
se
❷Early Retirement Program and buy-outs
❶Downsizing
❸Employing Temporary Workers
❹Outsourcing, Off shoring, and Immigration
❺Altering Pay and Hours
-Planned
elimination of
large numbers
of personnel.
❶Downsizing
General Purpose:
| To enhance organizational
effectiveness.
Specific Purpose:
❶To reduce cost
❷Reduced need for labor
❸Changing Location
Short-term suffering to Employees
Pay Financial Bankruptcies
Benefits Physical Sickness
Meaningful
Work
Psychological Depression
Long-term suffering to Employees
Can stigmatized the individual
Many laid-off workers will take any work
within their area.
❶When not
complemented with
changes in nature of
work roles
performance tends to
suffer.
❷Devastating impact on
productivity.
Negative Effects on the
Long-term Organizational
Effectiveness
Key to Avoiding
❶Ensure the need for lay-
off is well-explained.
❷Procedures for
implementing the lay-off
is fair.
Reputation Damage
❷Early
Retirement
Program
and
buy-outs|.
Old Employees
Problems posed:
|Higher Seniority + Higher
Medical Costs + Higher
Pensions Contributions
|Sometimes prevent the hiring
or block the advancement of
younger workers
Buy-outs
|Specific workers that
have nothing to do
with age.
❸Employing
Temporary
Workers
Afforded firms the flexibility
needed to operate efficiently in
the face of swings in the demand
for goods and services.
ADVANTAGES DISADVANTAGES
❶Frees the firm from
many administrative tasks
and financial burdens
associated with being the
“employer of record”.
❶Low levels of
commitment to the
organization and its
customers on the part of
temporary employees
❷Those who can’t afford
own testing programs get
employees who have been
tested by temporary
agencies.
❷There is often tension
between a firm’s
temporary employees and
its full-time employees.
❸Reduces training costs.
❹Brings objective
perspective to the
organization’s problems.
Employing
Temporary
Workers
How to deal with
these problems:
Key to
Managing
❷ “Non-Threatening” Temporaries
❶ Organization needs to have bottomed out in terms of
any downsizing effort before it starts bringing in
temporaries.
❸Ensure temporary agency provides benefits to the
temporaries that are at least minimally comparable to
those employed by the fulltime workers.
Outsourcing Off shoring Immigration
Logical choice when a
firm simply does not
have certain expertise
and is not willing to
invest time and effort
into developing it.
special case of
outsourcing where
the jobs that move
actually leave one
country and go to
another.
if one cannot take the
work overseas, but still
wishes to tap into less
expensive global talent
to fill a labor shortage,
then one might simply
bring foreign workers
into the country.
❹Outsourcing, Off
shoring, and Immigration
√Altering Pay √Altering Hours
sometimes avoid lay-offs if
they can get their
employees to take pay
cuts or reduce the number
of hours of all the
workers.
Garnering more hours out
of the existing labor force.
-see this as preferable to
hiring and training new
employees.
❺ Altering Pay and
Hours
Problem with this:
Employees experience stress
and frustrations from being
overworked in this manner
STEP
3#
Forecast of
Labor surplus
or shortage
Goal Setting and
Strategic
Planning
Program
Implementation
and Evaluation
Program
Implementation
and
Evaluation
putting plans into practice.
Program Implementa
important to have regular progress
reports to be sure that all programs
are in place by specified times.
HR PLANNING PROCESSPART I
FORCASTING
Labor Demand vs.
Labor Supply
Labor Shortage or
Labor Surplus
GOAL SETTING &
STRATEGIC PLANNING
Labor Surplus Responses
Downsizing
Earl Retirement Progs
/Buyouts
Employing Temporaries
Outsourcing/Offshoring/
Immigration
Altering pay and hours
PROGRAM
IMPLEMENTATION &
EVALUATION
1
2
3
Personnel requirement
Forecast
Personnel supply
Forecast
Comparison
Differences
Yes No
Personnel
Surplus
(100-125)
Personnel
Shortage
(100-75)
Lay-off
Termination
Over-time
Recruitment/hiring
Subcontracting
|Any practice or
activity carried on
by the
organization with
the primary
purpose of:
Identifying and
attracting
potential
Employees
|Creates buffer
between planning
and selection
Recruitment
Proce
ss
Human Resource
Recruitment
Depths:
❶Not simply to
generate
large numbers
of applicants
❷Its not only to
finely discriminate
among reasonably
qualified applicants
|It is a complex process
|Have to make decisions in
three areas of recruiting
❶Personnel Policies
❷Recruitment Sources
❸Characteristics and
Behaviors of the Recruiters
Recruiting
3
Areas
❶Internal Vs. External
Recruiting
❷Extrinsic Vs. Intrinsic
Rewards
❸Image Advertising
①Personnel Policies
|Organizational
Decisions that
affect the nature
of the vacancies
for which people
are recruited
❶Internal Vs. External
❷Direct Vs. Referrals
❸Advertisements:
Newspapers and
Periodicals
❹Electronic Recruiting
❺Public and Private
Employment Agencies
❻Colleges and Universities
Critical
Aspects of HR
General
Recruitment
Strategy
②Recruitment
Source
s
❶Internal Vs. External
Advantages: (Internal)
①Generates a sample of applicants
who are well-known to the firm.
②These applicants are relatively
knowledgeable about the company
vacancies which minimizes the
possibility of inflated expectations
about the job.
③Generally cheaper and faster to fill
vacancies internally
Reason for Using: (External)
①For entry level position
②For some specialized upper level
positions
❷Direct Vs.
Referrals
people who apply
for a vacancy
without prompting
from the
organization
People who are
prompted to
apply by
someone within
the organization.
❸Advertisements:
Newspapers and
Periodicals
2 most important questions
to be asked:
① What do we need to say?
②To whom do we need to say it?
❹Electronic
Recruiting
Ways to use the web:
①E-cruiting
②Interact with the
large well-known job site
③Social Networking
❺Public and Private
Employment Agencies
Public Employment
Agencies
Private Employment
Agencies
|makes referrals to the
organizations at no charge,
and these individuals can
be interviewed or tested by
the employer for potential
vacancies.
|charge the organization for
referrals.
|serve primarily the blue-
collar labor market
|serve for the white-collar
labor market.
❻Colleges and Universities
Have placement services that seek
to help their graduates obtain
employment.
Programs:
①College internship.
②University Job fairs
Evaluating The quality of source
Means of Evaluation:
- Develop and compare yield ratios
for each source to determine which
is best or most efficient for the type
of vacancy being investigated
Yield Ratio
-Express the percentage of
applicants who successfully move
from one stage of the recruitment
and selection process to the next.
❷Traits
2 traits that stand out when applicants’ reaction to
recruiters are examined:
①Warmth
-Reflects the degree to which the recruiter seems to
care about the applicant and is enthusiastic about her
potential to contribute to the company.
②Informativeness
③Recruiters
❶Functional Area: HR Specialist vs. Experts at
particular jobs
-applicants find a job less attractive and the recruiters
less credible when he is personnel specialist.
-specialist need to take extra steps to ensure
❹Enhancing Impact
Steps to increase the impact of recruiters on recruits
①Provide timely Feedback
-delays make unwarranted feedback
②Recruiting can be done in teams rather than by individuals.
√Line personnel
-Job incumbent or supervisor
-viewed as more credible than personnel specialists
-perceived recruiting as a small part of their “real” job.
√Personnel Specialist
-Have knowledge that is not shared by line personnel
❸Realism
-there must be a realistic job previews
There are pressure to exaggerate the positive features of the
vacancy while down playing the negative features.
③Recruiters
Reference:
Q

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HR Planning, Recruitment & Evaluation

  • 1. HUMAN RESOURCES PLANNING AND RECRUITMENT | RACHELLE E. RONA C H A P T E R 5
  • 2. LEARNING |PLANNING PROCESS ❶Learn the Steps in Developing & Implementing a Human Resource Plan |RECRUITMENT PROCESS ❷Understand the Process by which individuals find and choose jobs and the Role of Personnel Recruitment in Reaching these individuals and Shaping their choices Object ives
  • 3. PLANNING Proce ss Human ResourceForecast of Labor surplus or shortage Goal Setting and Strategic Planning Program Implementation and Evaluation
  • 4. HR Manager ascertain the supply of and demand for various type of Human Resources STEP 1# Forecast of Labor surplus or shortage Goal Setting and Strategic Planning Program Implementation and Evaluation (Merriam-Webster) Forecast -to calculate or predict (some future event or condition ) usually as a result of study and analysis of pertinent data
  • 5. Go alTo predict areas within the organization where there will be future labor shortages or surpluses FORECASTING
  • 8. STEP 2# Forecast of Labor surplus or shortage Goal Setting and Strategic Planning Program Implementation and Evaluation
  • 9. |Specific quantitative |Should come directly from the analysis of labor supply and labor demand |Should include: ❶Specific figure for what should happen with the job category or skill area ❷Specific timetable for when results should be achieved.
  • 11. |Choosing from the many different strategies available for redressing labor shortages and surpluses. |Critical stage because the many choices available differ widely in their: ❶Expense ❷Speed ❸Effectiveness ❹Amount of Human Suffering ❺Revocability ( How easily the change can be undone)
  • 12. Options for Reducing an Expected Labor Suplus OPTION SPEED HUMAN SUFFERING ① Downsizing Fast High ②Pay reduction Fast High ③ Demotions Fast High ④ Transfers Fast Moderate ⑤ Work Sharing Fast Moderate ⑥ Hiring Freeze Slow Low ⑦ Natural Attrition Slow Low ⑧ Early retirement Slow Low ⑨ Retraining Slow Low
  • 13. Options for Avoiding an Expected Labor Shortage OPTION SPEED REVOCABILITY ❶ Overtime Fast High ❷ Temporary employees Fast High ❸ Outsourcing Fast High ❹ Retrained transfers Slow High ❺ Turnover reductions Slow Moderate ❻ New external hires Slow Low ❼ Technological innovation Slow Low
  • 14. Provide a benchmark for determining the relative success of any programs aimed at addressing a pending labor shortage or surplus. STRATEGIC CHOICE STAGE Purpo se
  • 15. ❷Early Retirement Program and buy-outs ❶Downsizing ❸Employing Temporary Workers ❹Outsourcing, Off shoring, and Immigration ❺Altering Pay and Hours
  • 16. -Planned elimination of large numbers of personnel. ❶Downsizing
  • 17. General Purpose: | To enhance organizational effectiveness. Specific Purpose: ❶To reduce cost ❷Reduced need for labor ❸Changing Location
  • 18. Short-term suffering to Employees Pay Financial Bankruptcies Benefits Physical Sickness Meaningful Work Psychological Depression Long-term suffering to Employees Can stigmatized the individual Many laid-off workers will take any work within their area.
  • 19. ❶When not complemented with changes in nature of work roles performance tends to suffer. ❷Devastating impact on productivity. Negative Effects on the Long-term Organizational Effectiveness
  • 20. Key to Avoiding ❶Ensure the need for lay- off is well-explained. ❷Procedures for implementing the lay-off is fair. Reputation Damage
  • 21. ❷Early Retirement Program and buy-outs|. Old Employees Problems posed: |Higher Seniority + Higher Medical Costs + Higher Pensions Contributions |Sometimes prevent the hiring or block the advancement of younger workers
  • 22. Buy-outs |Specific workers that have nothing to do with age.
  • 23. ❸Employing Temporary Workers Afforded firms the flexibility needed to operate efficiently in the face of swings in the demand for goods and services.
  • 24. ADVANTAGES DISADVANTAGES ❶Frees the firm from many administrative tasks and financial burdens associated with being the “employer of record”. ❶Low levels of commitment to the organization and its customers on the part of temporary employees ❷Those who can’t afford own testing programs get employees who have been tested by temporary agencies. ❷There is often tension between a firm’s temporary employees and its full-time employees. ❸Reduces training costs. ❹Brings objective perspective to the organization’s problems. Employing Temporary Workers
  • 25. How to deal with these problems: Key to Managing ❷ “Non-Threatening” Temporaries ❶ Organization needs to have bottomed out in terms of any downsizing effort before it starts bringing in temporaries. ❸Ensure temporary agency provides benefits to the temporaries that are at least minimally comparable to those employed by the fulltime workers.
  • 26. Outsourcing Off shoring Immigration Logical choice when a firm simply does not have certain expertise and is not willing to invest time and effort into developing it. special case of outsourcing where the jobs that move actually leave one country and go to another. if one cannot take the work overseas, but still wishes to tap into less expensive global talent to fill a labor shortage, then one might simply bring foreign workers into the country. ❹Outsourcing, Off shoring, and Immigration
  • 27. √Altering Pay √Altering Hours sometimes avoid lay-offs if they can get their employees to take pay cuts or reduce the number of hours of all the workers. Garnering more hours out of the existing labor force. -see this as preferable to hiring and training new employees. ❺ Altering Pay and Hours
  • 28. Problem with this: Employees experience stress and frustrations from being overworked in this manner
  • 29. STEP 3# Forecast of Labor surplus or shortage Goal Setting and Strategic Planning Program Implementation and Evaluation Program Implementation and Evaluation
  • 30. putting plans into practice. Program Implementa
  • 31. important to have regular progress reports to be sure that all programs are in place by specified times.
  • 32. HR PLANNING PROCESSPART I FORCASTING Labor Demand vs. Labor Supply Labor Shortage or Labor Surplus GOAL SETTING & STRATEGIC PLANNING Labor Surplus Responses Downsizing Earl Retirement Progs /Buyouts Employing Temporaries Outsourcing/Offshoring/ Immigration Altering pay and hours PROGRAM IMPLEMENTATION & EVALUATION 1 2 3 Personnel requirement Forecast Personnel supply Forecast Comparison Differences Yes No Personnel Surplus (100-125) Personnel Shortage (100-75) Lay-off Termination Over-time Recruitment/hiring Subcontracting
  • 33. |Any practice or activity carried on by the organization with the primary purpose of: Identifying and attracting potential Employees |Creates buffer between planning and selection Recruitment Proce ss Human Resource Recruitment
  • 34. Depths: ❶Not simply to generate large numbers of applicants ❷Its not only to finely discriminate among reasonably qualified applicants
  • 35. |It is a complex process |Have to make decisions in three areas of recruiting
  • 36. ❶Personnel Policies ❷Recruitment Sources ❸Characteristics and Behaviors of the Recruiters Recruiting 3 Areas
  • 37. ❶Internal Vs. External Recruiting ❷Extrinsic Vs. Intrinsic Rewards ❸Image Advertising ①Personnel Policies |Organizational Decisions that affect the nature of the vacancies for which people are recruited
  • 38. ❶Internal Vs. External ❷Direct Vs. Referrals ❸Advertisements: Newspapers and Periodicals ❹Electronic Recruiting ❺Public and Private Employment Agencies ❻Colleges and Universities Critical Aspects of HR General Recruitment Strategy ②Recruitment Source s
  • 39. ❶Internal Vs. External Advantages: (Internal) ①Generates a sample of applicants who are well-known to the firm. ②These applicants are relatively knowledgeable about the company vacancies which minimizes the possibility of inflated expectations about the job. ③Generally cheaper and faster to fill vacancies internally Reason for Using: (External) ①For entry level position ②For some specialized upper level positions
  • 40. ❷Direct Vs. Referrals people who apply for a vacancy without prompting from the organization People who are prompted to apply by someone within the organization.
  • 41. ❸Advertisements: Newspapers and Periodicals 2 most important questions to be asked: ① What do we need to say? ②To whom do we need to say it?
  • 42. ❹Electronic Recruiting Ways to use the web: ①E-cruiting ②Interact with the large well-known job site ③Social Networking
  • 43. ❺Public and Private Employment Agencies Public Employment Agencies Private Employment Agencies |makes referrals to the organizations at no charge, and these individuals can be interviewed or tested by the employer for potential vacancies. |charge the organization for referrals. |serve primarily the blue- collar labor market |serve for the white-collar labor market.
  • 44. ❻Colleges and Universities Have placement services that seek to help their graduates obtain employment. Programs: ①College internship. ②University Job fairs
  • 45. Evaluating The quality of source Means of Evaluation: - Develop and compare yield ratios for each source to determine which is best or most efficient for the type of vacancy being investigated Yield Ratio -Express the percentage of applicants who successfully move from one stage of the recruitment and selection process to the next.
  • 46. ❷Traits 2 traits that stand out when applicants’ reaction to recruiters are examined: ①Warmth -Reflects the degree to which the recruiter seems to care about the applicant and is enthusiastic about her potential to contribute to the company. ②Informativeness ③Recruiters ❶Functional Area: HR Specialist vs. Experts at particular jobs -applicants find a job less attractive and the recruiters less credible when he is personnel specialist. -specialist need to take extra steps to ensure
  • 47. ❹Enhancing Impact Steps to increase the impact of recruiters on recruits ①Provide timely Feedback -delays make unwarranted feedback ②Recruiting can be done in teams rather than by individuals. √Line personnel -Job incumbent or supervisor -viewed as more credible than personnel specialists -perceived recruiting as a small part of their “real” job. √Personnel Specialist -Have knowledge that is not shared by line personnel ❸Realism -there must be a realistic job previews There are pressure to exaggerate the positive features of the vacancy while down playing the negative features. ③Recruiters