Recruitment and selection
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  • 1. 1
  • 2. 2
  • 3. Introduction The employment function of personnel programencompasses: HR planning Recruitment Selection Placement Changes of employment status This chapter discusses recruitment and selection An understanding of the concepts of labour market andlabour supply provides a foundation for our examination ofrecruitment and selection3
  • 4. Recruitment and Selection Labour Market considerations Recruitment and selection policy issues The employment process Sources of people The selection process Selection procedure Auditing the recruitment and selection effort4
  • 5. Labour Market Considerations Different from financial and product markets –unstructured and unorganized Recruitment and job seeking is highly variable Diversity of wage rates: Employers ability to pay Productivity Management attitude toward wage levels Nonwage factors like job security, benefits andenvironment Lack of labour mobility5
  • 6. Labour Market Considerations Labour supply to the company is influenced by: Population in the labour market Attractiveness of the jobs The company’s reputation, wage rate, benefits, security Amount of unemployment in the labour market Commuting patterns Particular skills needed in relation to their availability Times of high and low demand6
  • 7. Recruitment and Selection Policy Issues Fill vacancies from within or from outside? Advantages of policy of promotion from within: High morale Succession of individual advancements Management can accurately apprise the candidates Recruitment and selection is simplified; a few entry jobs Problems of policy of promotion from within: Elaborate training programs are required Hired personnel should have aptitude and potential Disappointment of left over employees Perpetuate outdated practices7
  • 8. Recruitment and Selection Policy Issues Fill vacancies from within or from outside? Advantages of policy of promotion from within: High morale Succession of individual advancements Management can accurately apprise the candidates Recruitment and selection is simplified; a few entry jobs Problems of policy of promotion from within: Elaborate training programs are required Employees should have aptitude and potential Disappointment of left over employees Prevents infusion of new ideas and knowledge8
  • 9. Recruitment and Selection Policy Issues Equal employment opportunity There ought to be no discrimination Plan to hire and promote protected groups Adverse impact9
  • 10. Recruitment and Selection Policy Issues Selection standards – credentials barriers Qualification requirements lack proven relationship withsuccess or failure Education as a screening device has disadvantages: Automatically eliminate underprivileged who drop out of school Some brilliant people did poorly at school Educational establishments tend to homogenize students Some percentage can be hired with less formal educationbut showing promise10
  • 11. Recruitment and Selection Policy Issues The lie detector Actually there is no true lie detector Polygraph (accuracy rate 75 %) measures: Rate of breathing Heart beat Changes in blood pressure Skin current Galvanic skin response No simple correlation between symptoms and truthfulness Pathological liars Civil liberties11
  • 12. Recruitment and Selection Policy Issues Privacy of employee records Family and medical information of job applicants Personality tests Line and operating managers’ access to personal records Information of personal nature is not available to outsidewithout employee’s consent Other policy issues: Relatives Quality of persons hired12
  • 13. The Employment ProcessHR PlanIdentification ofneed for peopleJobRequirements, descriptions andspecificationsRecruitmentInternal andexternal sourcesPool of candidatesSelectionComparison ofcandidates withjob requirementsAcceptedcandidatesRejectedcandidatesJob placementorientation, training andprobation13
  • 14. Sources of People Sources are of two categories: Inside sources Outside sources Inside sources – three procedures: Informal search Skill inventory Job posting14
  • 15. Sources of People Options for obtaining people from outside: Employment agencies State employment agency Private employment agencies Executive recruitment firm Unsolicited applicants Labour unions Professional associations Schools and colleges Advertising Employee referrals15
  • 16. The Selection Process Recruitment tends to be positive whereas selection issomewhat negative Common approach Employment requisition, with job specifications, is initiatedby some operating manager Matching a person to the job Certain good candidates are rejected Another approach Basic entrance standards are established Those who meet or exceed the minimum requirement arefurther considered Large organizations like military16
  • 17. The Selection Process Considerations in making the selection decision: Organizational and social environment Successive hurdles and multiple correlation Successive hurdles technique Applicants must successively pass each screening device Selection device having highest correlation with job success isplaced first Time and expense is saved Multiple correlation approach A person is routed through all the selection steps before a decision Deficiency in one factor can be counterbalanced in another Composite test score index is compiled Which selection method is better?17
  • 18. Selection Procedure Thoroughness of the procedure depends on: Consequence of faulty selection which is influenced by: Length of training period Money invested in the new employee Level and complexity of the job Possible damage to the organization Company policy and top management attitude18
  • 19. Selection Procedure A proposed selection procedure with ten basic steps: Reception in employment office Preliminary interview Application blank Selection tests Main employment office interview Investigation of applicant’s background Final selection interview by manager or supervisor Medical examination Induction Probation19
  • 20. Selection Procedure Major selection devices: Application blank Questions related to identity, education, skills and experience Items are chosen judgementally based on past experience Skilled interviewer draws tentative inferences Weighted application blank Weights are assigned to the questions in accordance to theirpredictive power Reliance on statistics can result in false predictions Appropriate where: large number of candidates are involved Turnover has been high Rate of failure of new employees has been excessive Less sophisticated methods have no yielded good results20
  • 21. Selection Procedure Major selection devices: A biographical information blank Similar to weighted application blank Includes items probing deeper into individual’s life Utilize multiple choice answer format – a specific score is attachedto each choice which is unknown to the applicant Greater predictive power than both intelligence and personalitytests21
  • 22. Selection Procedure Selection tests Usually constructed by industrial psychologists Widespread use commenced in World War-I with ArmyAlpha Test Picked up momentum within the two wars Time consuming and costly Required to be tailor made for an organization22
  • 23. Selection Procedure Interview Single most important tool in hiring program Primarily an art Subjective Trained interviewers using sound procedures can do good23
  • 24. Selection Procedure Medical examination Serves four major purposes: To reject those whose physical qualifications are insufficient To obtain a record of the physical condition To prevent employment to those with contagious diseases To assign specific jobs to handicapped Job analysis should identify and record the specific physicaldemands of various jobs24
  • 25. Selection Procedure Background investigation It requires time and money but the trouble is generally wellworth the effort The best guide to what a person will do in the future is whathe has done in the past Sources of background information: School and collage officials Previous employers Character references supplied by the applicant Other sources such as neighbours, police and so on25
  • 26. Selection Procedure Responsibilities of line management Line manager or the supervisor makes the initial decision toadd someone to the payroll as well as conducts the finalselection Because line or operating managers are responsible forefficient operation of their units Employment is a two way process – candidates have a rightto interview future boss26
  • 27. Selection Procedure Rejecting applicants False hopes In case of expected openings Interviewer has threefold objectives: Maintaining the person’s ego and self concept Maintaining goodwill towards the organization Letting the applicant know that he or she is rejected There may be some mismatch with the existing jobspecifications If there is no mismatch then diplomatic skills27
  • 28. Auditing the Recruitment and SelectionEffort Have well defined recruitment and selection policies andprocedures been developed? Do wage rates, employee benefits and level of employeesatisfaction have a positive effect upon the ability toattract qualified people? Does the program meet equal employment opportunityand affirmative action standards? Is there a sufficient pool of applicants from which to draw Is there a delay in filling job openings? Is the recruitment effort selective. Do those who applypossess the necessary skills?28
  • 29. Auditing the Recruitment and SelectionEffort Which source provide the most qualified people? What percentage of those who apply are hired? What percentage of those hired resign or are dischargedduring the probationary period? What is the cost of recruitment and selection per personhired? How well do the predictions derived from each of theselection techniques correlate with job performance?How well do those hired perform on the job? Has feedback been obtained from applicants regardingtreatment received throughout the employment process?29
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