HR Challenges: Recruitment and Selection:Hiring the Right Person - SHRM India


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The process of attracting individuals in sufficient numbers with the right skills and at appropriate times to apply for open positions within the organization.

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  • Thank you SHRMindia! This was very helpful! Resume keywords are way more important than resume formats. Because recruiters conduct keyword searches during the initial sourcing process in Applicant Tracking Systems. You're not found if your resume doesn't contain the exact keywords. But it's a pain to find those keywords from the job descriptions. I found the site Jobscan that identify keywords for your. All you do is paste in your resume plus the job description, then Jobscan analyzes your job description for you automatically and identify the most important keywords for you. It literally takes seconds and it so worth the copy and paste. Saved me so much time AND I got more interviews using Jobscan! I recommend it as well.
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  • When HR planning indicates the need for additional labor, organizations have a number of choices to make. This may be the first step in a full-scale recruitment and selection process but sometimes hiring additional employees is not the best method to obtain additional labor. It may be practical for an organization to consider alternatives to recruiting such as outsourcing or contingent labor. If this is a temporary fluctuation in work volume, the simplest solution may be part-time labor or overtime by existing employees. Since the costs of recruitment and selection can be staggering, hiring new employees should occur only after careful consideration and only when the organization anticipates a long-term need for additional labor. Estimates of the cost to replace supervisory, technical and management employees run from 50 percent to several hundred percent of their salaries (SHRM White paper, Employee Turnover Hurts Small and Large Company Profitability, Richard Galbreath, SPHR, 2000).
  • Advantages: Many organizations use promotion from within as a motivation tool and reward for good work or longevity with the employer. When employees see their co-workers being promoted, they become more aware of their own career opportunities and they are likely to plan accordingly.
    Disadvantages: The promoted person will leave a staffing gap in their former position, so there is still a position to be filled. The organization loses out on the chance for new ideas and the creativity that can come from a new person entering the organization for the first time. You may have individuals that believe they should have gotten the promotion instead of the individual promoted.
  • Be careful of civil rights violations. In many states, it is illegal to discriminate in hiring practices based on a person’s marital status. Many organizations have nepotism policies, so find out where your employer stands on the issue. When hiring relatives, most employers require family members to work in different areas to prevent issues of favoritism and possible morale problems among other employees. It is never appropriate for family members to be in supervisory positions where they are required to manage their own relatives.
  • The strength of the economy and labor market conditions will significantly affect your organization’s ability to attract and retain top-level employees. When the economy is strong with little unemployment, you may have to compete with other employers for a limited number of skilled employees. This may require increased compensation or benefit incentives to attract quality applicants. The reverse may be true in a soft economy with high levels of unemployment. The problem then is not a shortage of qualified applicants; instead, the problem is managing a huge number of applications that must be pared down to find a few potential good hires.
  • Job posting is the process of announcing job openings to all employees. Some organizations have developed computerized versions of job announcements that are sent out as e-mails to all employees and some publish employment newsletters or flyers. The announcement should contain information about the position, the required qualifications and instructions for applying.
    The important issue in job posting is that the job announcement is made available to all employees. Adequate job posting can ensure that minority workers and other disadvantaged groups are aware of opportunities within the organization. HR must ensure that all employees have an equitable opportunity to apply for the jobs that are available. Employee cynicism can occur when jobs are posted but the organization has already selected a strong internal candidate for the position. Such practices create resentment and mistrust among employees when they believe the job posting is just a formality with little real opportunity for advancement.
    Employee Referrals: Current employees can play an important role in recruiting new employees and some organizations pay a bonus to employees for successful referrals. There is a downside to extensive use of employee referrals. The EEOC compliance manual issued in 2006 updated guidance on the prohibition of discrimination under Title VII of the Civil Rights Act of 1964. The manual clearly warns that relying on word-of-mouth recruiting may generate applicant pools that do not reflect the diversity of the labor market. Therefore, it would seem prudent to use employee referral sparingly.
  • Private agencies and executive search firms are most commonly used to recruit white-collar employees, however they can be used for virtually any type of position. Using job criteria provided by your organization, an agency will generate the applicant pool and do the preliminary interviews, thereby screening out unqualified candidates and sending to you only those who are actually qualified for the position.
    Large organizations often have in-house recruiters whose sole focus is to generate qualified candidates for open positions. Recruiters are generally used in high-tech industries and they focus their efforts on technical schools, community colleges and universities.
    You may choose to advertise the open position in local newspapers, trade journals, radio and television. Advertising can range from a simple help wanted ad in the classifieds to an extensive multimedia campaign. Traditionally, local newspaper advertising has been the common method of recruitment, particularly for entry-level positions, as it is low cost and can generate a good number of applicants.
    An internship is a special form of recruitment where a student is placed temporarily in a position with no obligation by either the student or the organization to make this a permanent position. The internship may be a summer or part-time job while the student is in school, enabling the student to learn the organization and try out the job before settling into a career. It also enables the organization to try out a possible future employee before making a job offer.
    Depending on the nature of the job you are hiring for, you may also get some unsolicited, walk-in applicants.
  • Many organizations recognize the inherent advantage of a diverse workforce. Diverse employees bring increased creativity to the organization and the ability to help the firm expand into global markets.
    Employers who wish to develop a diverse workforce must ensure the use of recruiting methods that generate applications from a variety of individuals. It is important that recruiters receive training in the use of objective standards, as these individuals occupy a unique position in terms of encouraging or discouraging diverse individuals to apply for positions with the organization. Recruitment flyers can include pictures of minority and disabled employees, advertisements can be bi-lingual and interviews can be conducted using translators if appropriate.
  • Instructor’s note: This is a good place to get the class talking. Ask for discussion about this dilemma. What would students suggest?
    If the use of employee referrals does not generate a diverse applicant pool, the organization may be guilty of adverse impact discrimination. “A potential disadvantage of referrals is that employees tend to refer others who are similar in age, gender, ethnicity, and religion. If relied on too heavily, this recruiting method may be detrimental to equal employment opportunity goals. Minority employees may refer only minority candidates and non-minorities may refer only other non-minorities.” Jackson, Susan E., Schuler, Randall S. and Werner, Steve. (2009). Managing Human Resources, 10e. (p. 204) South-Western CENGAGE Learning.
    See also EEOC vs. Carl Buddig.
  • The employment application form should include sections for the applicant’s name, address, telephone number, education, military background, work experience and reference information. There should be a place for the applicant to sign and a preprinted statement that the applicant’s signature indicates their verification that everything on the form is true; if found otherwise, the candidate can be released. When it is not prohibited by state law, many organizations include a statement of employment at will, reminding employees that either the employer or the employee can terminate the employment relationship at any time. And finally, the form should contain a statement from the applicant giving permission to have references checked.
    Avoid requesting information on gender, race, national origin, education dates and disabilities. The most commonly found inappropriate questions involve past salary levels, age and driver’s license information. Questions about past salary are considered inadvisable since they can perpetuate the existence of lower salaries for women and minorities as compared to white males. If employers base a starting salary on an applicant’s prior earnings, minorities and women will likely be offered less pay. Although the majority of applications do not explicitly ask about age, many contain inquires about an applicant’s education dates (year of high school graduation) which can be used to infer an applicant’s age. Driver’s license information can be used to obtain demographic (and possibly discriminatory) information about an applicant.
  • Screening interviews are usually conducted by telephone. The interviewer asks a few straight-forward questions to further determine the candidate’s job qualifications and appropriateness for the open position. If it is determined that the applicant is not appropriate for the position in question, the interviewer can steer them to another open position within the organization if there is something available that matches the applicant’s skills. If there is nothing else available and the candidate is obviously unqualified for the position, the process ends there, thereby saving both the candidate and the organization the time and expense of going further into the selection process.
  • Selection Test: Selection tests are used to identify applicant skills that cannot be determined in an interview process. Using a variety of testing methods, applicants are rated on aptitude, personality, abilities, honesty and motivation. Tests are generally administered and evaluated before interviewing candidates. Testing applicants has two major advantages: test results are objective and free from personal bias and test results are usually expressed numerically so they can be validated by statistical analysis. Employers often use tests to determine the applicant’s knowledge level or proficiency in required job skills.
    Standardization : The processes used to test applicants must be as identical as possible. The content of a test, the instructions and the time allowed must be the same for all candidates.
    Reliability: A test’s reliability should be questioned if it does not generate consistent results each time it is administered. For example, if a person scores 125 on an intelligence test one week and only 80 on the same test the following week, we should assume that the testing instrument was not reliable.
    Validity: The skills tested in a selection instrument should be the same skills used on the job. Therefore, we can assume that higher test scores would correlate to higher success in job performance.
  • In the past, the supervisor may have been the only person interviewing a candidate but now most organizations use an interview team consisting of representatives from the various areas of the organization. Multiple interviewers represent broader areas of interest and when interviewing is completed, there is more than one person to make the selection decision. The downside to team interviews is that the larger the team, the more difficult it will be to find a time and a place in everyone’s schedule to make the interview happen. In addition, candidates are likely to find a panel interview more stressful than an interview by a single person.
    In a structured or patterned interview, the interviewer follows a pre-set list of questions that are asked of all candidates. This allows for consistency in the process, ensures that important questions are not left out and helps guarantee that all candidates are assessed by the same standards.
    The nondirective interview is conducted with a minimum of questions asked by the interviewer and questions are not always planned in advance. This technique involves open-ended questions such as “tell me about the work you do in your field,” allowing the candidate to express his or her thoughts and feelings that might be relevant to the job and allowing the interviewer to follow the direction set by the candidate.
    Situational interviewing is characterized by questions like, “what would you do in this situation?” allowing the candidate to speculate on how they would handle a particular job problem.
    Behavioral interviewing asks the candidate to “describe what you did in a particular situation?” It requires the candidate to give real examples of past actions and results and it is based on the theory that past behavior is a good predictor of future behavior. Generally, behavioral questions are more likely to give real-world information that may be relevant in making a good selection decision.
  • According to ADP Screening and Selection Services, 40 percent of applicants lie about their work histories and educational backgrounds and about 20 percent present false credentials and licenses. Nationwide, an estimated 30 percent of job applicants make material misrepresentations on their resumes (P. Babcock, “Spotting Lies,” HRMagazine; October 2003). Another survey found that 95 percent of college students said they would lie to get a job and 41 percent said that they had already done so. One survey of top executives found that 15 percent admitted falsifying resume information. (“Avoiding Truth or Dare in Reference Checks.” HR Focus; May 2000).
  • The job offer may be extended by phone, letter or in person; whatever is customary in your organization. Most commonly, the job offer is handled by the HR department. At this time. salary and benefits are discussed and the prospective employee is told of any further conditions that must be met. If your organization requires a physical examination or a drug screen, arrangements should be made for completing the process. If the candidate needs time to think over the job offer, a time should be established for notification.
    At this point you need to ensure that your potential new hire receives a realistic job preview. Tell him or her everything they need to know about the job; the bad as well as the good.
    Avoid quoting an annual salary. Quote compensation by the hour or the month, whichever is appropriate. Annual salary quotes have sometimes been interpreted by the courts as a contract for employment for a minimum of one year. If the employee is let go before the completion of that first year, you are looking at a potential lawsuit.
    The Immigration Reform and Control Act requires employers to hire only American citizens and aliens who are legally authorized to work in the United States. Eligibility for employment must be verified for all new hires within three days after he or she starts work. Both the employee and the employer must complete and sign the I-9 form with the employee presenting the necessary documents to verify identity and legal right to work in the United States. The form indicates which documents have been presented and the employer’s signature verifies that the documents appear to be genuine. The I-9 form must be retained by the employer for at least three years.
  • Most organizations keep at least minimum statistical information on their recruitment and hiring process. You will want to evaluate the process to ensure that it was cost effective and timely. Information gathered may be invaluable for further recruiting as your organization grows.
  • This presentation provides several important ideas that can be applied in particularly difficult conflict situations.
  • HR Challenges: Recruitment and Selection:Hiring the Right Person - SHRM India

    1. 1. Recruitment and Selection: Hiring the Right Person Staffing Management • Myrna L. Gusdorf, MBA, SPHR • 2008
    2. 2. For more on Indian HR industry, click here © SHRM 2008 2 Hiring the Right Person: Recruitment • RECRUITMENT > The process of attracting individuals in sufficient numbers with the right skills and at appropriate times to apply for open positions within the organization.
    3. 3. For more on Indian HR industry, click here © SHRM 2008 3 Recruitment Issues • Alternatives to recruitment: > Outsourcing. > Contingent labor. > Part-time employees. > Overtime. • Costs of recruitment and selection: > Replacing supervisory, technical and management personnel can cost from 50 percent of salary to several hundred percent of salary.
    4. 4. For more on Indian HR industry, click here 4 Internal Environment • Promotion from within: > Advantages: • Promotion as a reward for good work. • Motivational tool for other employees. • Promoted employee gets up to speed must faster in his or her new job. > Disadvantages: • Must fill the position vacated by the promoted employee. • Lack of new ideas and creativity that may come from a new person. • Jealousy from those not promoted. © SHRM 2008
    5. 5. For more on Indian HR industry, click here © SHRM 2008 5 Internal Environment • Nepotism: Hiring relatives. > Does your organization have a policy on nepotism? > May be discriminatory. > Must ensure individuals are not in supervisory positions managing their own relatives. > May create issues of favoritism.
    6. 6. For more on Indian HR industry, click here © SHRM 2008 6 External Environment • Labor market conditions: > Strong economy = difficulty hiring. > Weak economy = too many applicants.
    7. 7. For more on Indian HR industry, click here © SHRM 2008 7 Internal Recruitment • Job Posting: The process of announcing job openings to employees. > Job information must be made available to all employees. > Ensure minority workers and disadvantaged individuals are aware of job opportunities. > Employee cynicism occurs when there is not “equal” opportunity for open positions. • Employee Referrals: > Some believe this is the route to the best employees. > Can perpetuate discriminatory hiring practices.
    8. 8. For more on Indian HR industry, click here © SHRM 2008 8 External Recruitment • Employment agencies. • Executive search firms. • In-house recruiters. • Local advertising: > Newspaper. > Multimedia. • Internships. • Job fairs. • College recruiting. • Walk-in candidates.
    9. 9. For more on Indian HR industry, click here © SHRM 2008 9 Internet Recruiting • Advantages: > Inexpensive. > Quick and easy to post announcement. > Responses arrive faster and in greater quantity. > Will generate a wider range of applicants. > Applicants can be screened by computer. > Some selection tests can be administered by computer. > Automated applicant tracking. • Disadvantages: > Ease of submission will result in a lot of applicants, many whom are not qualified. > May take more HR time to sort through the greater quantity of applicants.
    10. 10. For more on Indian HR industry, click here 10 Recruitment for Diversity • An ethnically diverse workforce enhances creativity and may facilitate expansion into global markets. • Recruiting must generate applicants from a wide variety of individuals. • Train recruiters to use objective standards. • Include pictures of minority and disabled employees on recruitment flyers. • Make sure ads and interviews are bi-lingual. © SHRM 2008
    11. 11. For more on Indian HR industry, click here © SHRM 2008 11 HR Dilemma: Employee Referrals An organization starts an employee referral program to find employees for its assembly plant. The program is very effective, but no candidates from protected groups are referred or hired. 1. Could the organization be guilty of discrimination? 2. Should the organization abandon its referral program?
    12. 12. For more on Indian HR industry, click here © SHRM 2008 12 The Employment Application • Applications must include: > Applicant information. > Applicant signature certifying validity of information. > Statement of employment at will, if permitted. > Permission from the applicant for reference check. • Avoid the following: > Discriminatory information. > Disability information. > Past salary levels. > Birth date or education dates. > Driver’s license information, unless driving is a job requirement.
    13. 13. For more on Indian HR industry, click here © SHRM 2008 13 Screening Interview • Usually conducted by telephone. • Not done in all organizations. • A few straight-forward questions. • Can eliminate those less qualified early in the selection process.
    14. 14. For more on Indian HR industry, click here © SHRM 2008 14 Selection Tests • SELECTION TEST: Any instrument that is used to make a decision about a potential employee.(1) • STANDARDIZATION: Uniformity of procedures and conditions related to administering tests.(2) • RELIABILITY: The extent to which a selection test provides consistent results.(2) • VALIDITY: The extent to which a test measures what it claims to measure.(2) Do higher test scores relate to higher success on the job? (1) Myrna L. Gusdorf (2) R. Wayne Mondy
    15. 15. For more on Indian HR industry, click here © SHRM 2008 15 Kinds of Selection Tests • Cognitive aptitude tests measure reasoning, vocabulary, verbal and numeric skills. • Job knowledge tests measure knowledge regarding a particular job. • Work sample tests allow candidates to demonstrate how they would work on the job. • Psychomotor abilities tests assess the skill level of tasks required on the job. • Personality tests assess traits and personal characteristics. They are used to determine if the applicant is the right fit for the organization. • Vocational interests tests identify occupations in which the candidate is most interested. • Honesty and integrity tests try to measure a candidate’s truthfulness .
    16. 16. For more on Indian HR industry, click here © SHRM 2008 16 Interviewing Candidates • Team or individual interviewer? • Structured or patterned interview: > Pre-set questions asked of all candidates. • Nondirective interview: > Minimum of questions, not planned in advance. > Open-ended questions; interviewer follows the candidate’s lead. • Situational and problem-solving interview: > Candidate describes how he or she would solve a problem. • Behavioral interview: > Candidate describes how he or she responded to a specific situation.
    17. 17. For more on Indian HR industry, click here © SHRM 2008 17 Background Verification and Reference Checks • The importance of checking: > 40 percent of applicants lie about work histories and educational backgrounds. > 20 percent of applicants falsify credentials and licenses. > 30 percent of applicants make misrepresentations on their resumes.
    18. 18. For more on Indian HR industry, click here © SHRM 2008 18 The Job Offer • Making the job offer: > May be done by phone, letter or in person. > Make arrangements for further conditions: • Physical exam and drug screen. > Discuss salary and benefits: • Avoid quoting an annual salary. > Realistic job preview, > Verify employment eligibility: • I-9 form.
    19. 19. For more on Indian HR industry, click here © SHRM 2008 19 Evaluating the Recruitment and Selection Process • Cost: > Did you stay within your recruitment budget? • Time: > How long did it take you to fill the position? • Quality: > Were your applicants well qualified for the job? • Longevity: > What about turnover? Do your new hires stay for the long term?
    20. 20. For more on Indian HR industry, click here © SHRM 2008 20 CONGRATULATIONS! You have a new employee!
    21. 21. Thank You! For more on Indian HR industry, click here Resource made available by SHRM US