1. HR SYSTEM
Staffing System
The most valuable tool for workforce management is a well-constructed HR staffing system that
meets the needs of your company and its workforce. An effective HR staffing system consists of
much more than technology; the human side is equally important. The goals of an HR staffing
system are recruiting great talent, developing and retaining your existing workforce, and building
your reputation as an employer of choice. Critical elements of an effective HR staffing system
range from advertising career opportunities to creating a succession plan.
Recruitment and Selection
A full-cycle recruitment and selection process includes every step between advertising career
opportunities, sourcing candidates, and processing new hire and orientation materials. A clear
understanding of the job description and qualifications is fundamental to selecting the right
candidate "Time invested in thoughtfully planning the recruitment and selection process can
make the difference between a good or poor hiring decision."
Compensation and Benefits
Monitoring compensation and benefits factors into your HR staffing system. Your ability to
attract superbly qualified candidates depends, in part, on your ability to pay competitive wages
and offer attractive benefits. "Compensation policy is continuously reviewed to ensure our pay
strategies and practices are motivated by competitive salaries and other incentive rewards based
on one's ability to contribute to the success of the company."
Performance Management
When you hear the human resources term "performance management," what usually comes to
mind is an annual employee evaluation or performance appraisal. However, performance
management includes all employment actions from communicating job expectations to
developing talent for promotion.
A strong performance management program is an important element of an effective HR staffing system. It
ensures that employees understand job expectations, performance standards and professional development
opportunities. A strong performance management program also recognizes employees for their expertise
and contributions, and removes poor performers from the workforce.
Development and Promotion
Professional development opportunities range from providing job skills training, to cultivating
employees who demonstrate leadership potential. Succession planning involves recognizing and
developing talent, and charting a career track based on employees' continued contributions, as
well as the company's workforce needs and growth potential. Promotion from within builds a
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2. company's reputation inside and outside the workplace. This ensures that employees and
prospective applicants perceive your organization as an employer of choice.
REWARDS AND COMPENSATION SYSTEM
An accepted view of strategic human resource management (SHRM) is that there is a large
positive relationship between organization effectiveness (OE) and HRM practices.
Employment is typically characterised as an exchange relationship. Employees provide
organisations with something of value (their labour) and in return receive something of value.
Work can offer many valuable outcomes to employees, including the opportunity to use their
abilities, to make a contribution, are compensated and rewarded through this exchange process.
Compensation refers to all forms, returns and tangible services and benefits employees receive as
part of an employee relationship as discussed above. On the other hand reward management
system according to Armstrong , is concerned with the formulation and implementation of
strategies and policies, the purpose of which are to reward people fairly, equitably and
consistently in accordance with their value to the organisation and thus help the organisation to
achieve its strategic goals.
Thomason (1988), classified reward package in three categories.
a) Direct Financial Benefit. It focuses on two elements of remuneration which are directly related
to performance. These are the basic pay rate and any additional bonus which is paid for
individual or group performance above this standard.
b) Indirect Financial Benefit: Consists of those regular or intermittent payments (not related
directly to performance made for a variety of contributions such as suggestion for improvement
of production or employee loyalty or commitment such as high base rates, pension schemes etc.
c) Non – Financial benefit schemes which will increase the morale of employees, such as job
enlargements, job enrichment.
It is however, worthy to note that there are often a variety of payment systems within one
employing organisation, each system being appropriate to a particular group of employees which
have come into being as part of a conscious management strategy. In doing so, an employing
organization has to be aware of its objectives in relation to the use of pay as a control
mechanism, the constraints which apply to its choices, the financial objectives of its employees
and their representatives and the relationship of the payment system or systems to the total
personnel policy of the organisation,
Compensation:-“All forms of financial returns and tangible services and benefits
employees receive as part of an employment relationship”
Attract and retain high-quality employees
Help maintain positive moral among employees by maintaining perceptions of fairness
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3. Create an environment for producing high-quality products, services and customer
satisfaction
Pay Level: Maintaining External Competitiveness in Compensation
1)Meet 2)Lag 3) Lead
Meet
1. Employee dissatisfaction would result from failure to match competitor’s pay rates
2. The firm’s ability to attract employees would be limited by lower pay rates
3. Managers feel somehow obligated to pay prevailing rates
Lag
1. They provide other desirable outcomes to employees, such as advancement and training
opportunities
2. They find other ways to encourage high levels of individual effort, such as creating
performance-reward connections by putting large amounts of pay at risk
Lead
1. Attract the cream of the crop from the labor market
2. Produce high levels of employee satisfaction
3. Ability to retain outstanding employees
4. Can offset undesirable features at work, such as lack of opportunities for advancement, poor
working conditions, or undesirable geographic location
PERFORMANCE MANAGEMENT SYSTEM
"Performance management is not an end in itself. It's one of a set of tools, a way of working, that helps
you to identify what needs doing, a means to deliver improvement and a way to maintain high quality
services."
"Both private and public sector organisations face increasing demands to demonstrate improvements in
their performance. This requires a strong understanding of past and present performance, enabling the
appropriate actions to be taken to ensure organisational aims are achieved. In short, performance
management is taking action in response to actual performance to make outcomes better than they would
otherwise be."
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4. "Performance management is a process which contributes to the effective management of individuals and
teams in order to achieve high levels of organisational performance. As such, it establishes shared
understanding about what is to be achieved and an approach to leading and developing people which will
ensure that it is achieved."
"The term performance management system can be misleading. It can give the impression that it is
something separate, something in addition to what goes on in the day to day planning and management of
the authority. Rather than being separate, effective performance management arrangements can help
integrate planning, review, financial management and improvement systems, to enable managers to make
informed decisions and improve services."
"Managing performance is about more than having an effective performance management system. The
elements of performance management, targets, indicators, plans and so on, are important, but they are not
enough by themselves. In councils that are good at managing their performance, the people involved,
councillors and staff, have a shared understanding of the Council's priorities and of what they need to do
to realise those priorities. Because people know what matters most, they can solve problems and
overcome barriers quickly. They recognise that the point of managing performance is not to hit targets
and fulfil plans as ends in themselves, but to do so in a way that produces high-quality services for local
people.
Performance management is therefore a process, not an event, which operates as part of a continuous
business planning cycle. It does not work in isolation, but rather in a holistic fashion, pervading every
aspect of the organisation. In performance management terms, the aim should be to create a culture where
high standards and quality of service are part of everyday life of the organisation.
A 'culture' may be defined as a pattern of shared beliefs, values and assumptions which are acquired over
time and which shape behaviour within an organisation. But policing is dynamic and cannot sit back and
wait for something to develop. A conscious effort is required to make it happen. If people are the key to
service delivery and improvement, leadership is arguably the driving force towards achieving it, through
actively seeking to establish and reinforce the supporting performance culture and empowering them to
act where appropriate.
Performance measurement consists of the collection and collation of quantitative and qualitative data and
information relating to performance, the processing of the data and its presentation in the form of reports,
figures and charts. Performance indicators ( PIs) feature heavily in this process
Performance monitoring involves examining the results of performance measurement, assessing any
variations in performance indicators and making value judgements about performance, for example, good,
bad, indifferent, better, worse, unchanged.
Performance management, as noted above, is a process aimed at improving or maintaining performance
and depends heavily on performance measurement and monitoring.
A performance management system establishes a framework for planning, monitoring and revising what
an organisation does, towards achieving improvement.
Building Blocks for an Effective Performance Management System
Having established that a performance management system is a framework, what might it look like and
how might this approach assist in structuring this report?
There is a plethora of performance management models and general guidance, produced both by
academics and, notably, in the public sector.
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5. This model is also advocated in A Manager's Guide to Performance Management, and Choosing the Right
Fabric, a Framework for Performance Information and has its origins in Meeting the Challenge.
While the terminology is different, the key features are broadly similar:
aspirations align with an organisational vision and priorities
coherent performance measures and targets provide the basis of management information
ownership and accountability and rigorous review are self evident
reinforcement equates to leadership driving a performance culture.
PMS is achieved across the organisation through 3 headings, each of which sub-divide into some of the
more detailed characteristics:
processes - includes clarity of roles at all levels, integrated planning and performance, leadership
and review
people - includes establishing an improvement culture, clearly articulated priorities with
individual appraisal linked to performance against priorities
data and systems - includes the need for timely, accurate and relevant data which is easily
captured and reported.
An authority, which secures Best Value, will be able to demonstrate:
commitment and leadership
responsiveness and consultation
sound governance (including performance management systems)
sound management of resources
use of review and options appraisal
competitiveness and trading
sustainable development
equal opportunities
joint working
accountability.
There is currently no single accepted model of a performance management system .Systems will vary
across and evolve over time to reflect different circumstances. From the foregoing examples, it is
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6. however possible to identify a number of key 'building blocks', common to each, which are critical to an
effective performance management system.
HMIC considers there are 5 common building blocks or characteristics which provide a useful core
template against which to assess the current state of performance management
Leadership (leadership) - how the behaviour and actions of management at all levels
inspires, promotes and supports a culture of continuous improvement.
Planning and priority setting (policy and strategy, partnerships and resources) - how the
organisation determines its priorities, including the use of local consultation.
Ownership and accountability (people and processes) - how the organisation itself is
accountable to the public and how priorities are communicated to individuals who are
held accountable for delivery and given empowerment to act.
Review (people and processes) - how performance review structures which challenge and
support staff and processes are replicated from top to bottom in the organisation.
Meaningful data capture and analysis (processes and results) - how timely, robust and
easily captured performance data is used to inform decision making at all levels of the
service.
Objectives of performance appraisal system
• An Objective Method To Decide On Compensation/Benefits
• Identify Areas Where Development/Training Is Required
• Criterion On Which Selection Programs Are Validated
• Less Need to Micro Manage
• Greater Employee Commitment
• Greater Employee Engagement
• Increased ease and comfort around Performance Appraisals
• Better Coordination Between Company, Department and Individual’s Performance
•
Linkage Between:
• Efforts And Performance
• Performance And Rewards
Definition of Performance Appraisal:
Is A Structured Formal Interaction Between A Subordinate And The Supervisor That Usually
Takes A Form Of Periodic Interview In Which Work Performance Of The Subordinate Is Examined And
Discussed With A View To Identify Weaknesses And Strengths, Opportunities For Skill Development
Methods Of Appraisal:
• Graphic Rating Scales
1. Quality (Accuracy, Thoroughness,
Acceptability Of Work Performed)
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7. 2. Productivity
3. Job Knowledge
4. Reliability
5. Availability
6. Independence
• Paired Comparison Method
• Forced Distribution Method
• Critical Incident Method
• Narrative/Essay Method
• BARS Method (Behaviorally Anchored Rating Scales)
Virtual Appraisals
EMPLOYEE CAREER DEVELOPMENT
A human resources professional can effectively manage human resources if, and only if, he or she has a
clear picture of this emerging and ongoing trend in employee career planning. Understanding emerging
trends in employee career patterns is essential for people in human resources jobs because without
knowing about the latest career trends, it is impossible to assess individual career objectives and the
career-related stress employees experience.
Emerging Changes in Employer Organizational Structure and Attitudes
Over the past few decades, a number of factors have compelled organizations to reorganize themselves.
Some of these factors are:
a changing economic environment
changing technology
increased competition
a surplus of workers from the baby-boomer generation
rising labor costs
In response to these factors, organizations have often restructured, downsized, or right-sized themselves
by:
reducing their numbers of permanent, full-time employees
stepping up hiring of temporary workers
starting to outsource work
increasing opportunities for part-time employment
discarding the pyramid structure in favor of flatter organizational structures, which has led them
to reduce their numbers of entry-level and middle-level managers
In general, the employer's attitude toward employees has shifted. Rather than expecting to provide
lifelong employment in return for reliable service, the employer promises job security only as long as the
individual employee's contribution is necessary to the business's success.
Organizational restructuring and massive layoffs have destroyed employee faith in the employer as a
source of long-term security. Additionally, the reduction of opportunities for vertical advancement within
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8. "flattened" organizations and increased competition have forced the modern-day employee to become
more versatile and develop alternatives to the outdated linear career model.
The Three New Career Paths
For enlightened employees in the 21st century, the definition of career success has changed to include
career objectives other than prestige and wealth. Employees now prioritize more than ever things like skill
development, self-satisfaction, work-life balance, and self-actualization. The result is that in today's
world, instead of only following the linear-path model for career success, employees have accepted three
more career-path models. These include:
1. The Expert Career Path: This career path rewards the development of skills in a specific field of
expertise without making it necessary to move upward into management levels. Posts without managerial
responsibilities that include hierarchies of designations (trainee, associate, junior, senior, etc.) have
become common in organizations that employ knowledge-based workers and have changed core,
"trusted" workforces into higher-skilled, transitory workforces.
2. The Spiral Career Path: The spiral career path allows the employee to make a series of lateral moves
between different functional areas within the same organization. It allows people in human resource jobs
to retain talent by continuously challenging employees with new tasks and broadening their experience
while at the same time depriving them of swift hierarchical progress.
3. The Transitory Career Path: The hallmark of the modern-day employee, the transitory career path
usually evolves in a way that allows the employee to avoid depending on any single organization. The
employee on the transitory career path usually builds and maintains a portfolio of competencies that allow
him or her to respond quickly to changes in the job market. The employee moves in and out of
organizations and occupations in search of better jobs, building up an arsenal of skills in the process.
Although from a human resources point of view career guidance and planning are critical for transitory
employees, such employees rarely rely on formal employer-provided career planning; instead, they
manage their own careers.
People in human resource jobs still need to address the prevailing and outdated "up-or-out" culture of
business organizations that defines lack of upward movement as career failure. Since metamorphoses of
organizations have reduced options for linear career planning, it is more crucial than ever for employers
to initiate creative career planning for effective utilization of human resources. To be successful in a
human resource job, the contemporary human resources professional needs to offer a balanced mix of all
four career paths (linear, expert, spiral, and transitory) in order to recruit and retain skill and talent and
meet the human resources requirements of his or her employer's organization.
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9. The challenges associated with the changing nature of work and the workplace environment are as real for
the campus as elsewhere. Rapid change requires a skilled, knowledgeable workforce with employees who
are adaptive, flexible, and focused on the future.
The Philosophy of Human Resources Management (Appendix B) states that you can:
"Encourage growth and career development of employees by coaching, and by helping employees
achieve their personal goals and beyond...[you can develop] human resources by providing adequate
training... encouragement of staff development, and opportunities for growth."
Employee development requires a shared responsibility among the organization, manager, and the
employee. In this partnership:
The organization
Ensures that policies and programs facilitate the continuing development of staff
Manager
Work with staff to: assess and provide feedback on their skills and interests; select training and
development activities that match their career development objectives and job needs; use the
Development & Training catalog as a tool to tell employees about training and development opportunities
on campus and to create an annual development plan; stay informed of current policies and practices that
support employee development; follow up with employees after a learning activity to integrate new skills
and knowledge into their responsibilities
The employee
Takes initiative to assess skills and interests and seek development activities that match needs; works with
you to identify training and development objectives
Most employee development and training programs fall under the following categories:
Management Development; Career Development; Basic Skills; Professional Skills; Technical Training;
Supervisory Skills
Managers support of training and development creates a "Win" for the employee and for workplace. We
will have:
Employees with upgraded skills, working to their full potential and equipped to deal with the changing
demands of the workplace; employees with higher morale, career satisfaction, creativity, and motivation;
increased productivity and responsiveness in meeting departmental objectives
Career Development
Management Development
Other Resources
Career Development
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10. Career development is the ongoing acquisition or refinement of skills and knowledge, including job
mastery and professional development, coupled with career planning activities. Job mastery skills are
those that are necessary to successfully perform one's job. Professional development skills are the skills
and knowledge that go beyond the scope of the employee's job description, although they may indirectly
improve job performance.
Since career development is an ongoing, dynamic process, employees may need encouragement and
support in reviewing and re-assessing their goals and activities. You are in a key position to provide
valuable feedback and learning activities or resources. Formal training and classes away from the job are
effective in providing new information, but adult learners also need to practice new skills. Therefore, you
can contribute significantly to your staff member's career development by supporting career development
activities within your department.
Guiding Principles
Managers support for career development is important because:
Current information about the organization and future trends helps employees create more
realistic career development goals
Focus on skill development contributes to learning opportunities
Opportunities for promotion and/or lateral moves contribute to the employee's career satisfaction
A greater sense of responsibility for managing one's own career contributes to self-confidence
Career planning and development clarifies the match between organizational and individual
employee goals
It's cost-effective to use your own staff talent to provide career development opportunities within
your department
Career development increases employee motivation and productivity
Attention to career development helps you attract top staff and retain valued employees
Supporting career development and growth of employees is mandated by the Philosophy of
Human Resources Management
How to Support Career Development
Refer to the Employee Development & Training catalog for the career development course
listings.
Annually, conduct an individual development plan and career discussion with employees and
require other supervisors in your department to do the same.
Hold supervisors in your department accountable for supporting employee development efforts.
Create programs and activities to provide skill development, such as job rotation, cross-training,
mentoring, internships, coaching, and career strategy groups.
Recognize that your role includes providing support and/or release time for staff members'
development beyond their current jobs. Refer to the Education and Development Leave policy
and the Flextime Scheduling: Guidelines and Procedures policy.
Support requests for alternate work schedules from staff members.
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11. Serve as a role model by participating in career and professional development opportunities
yourself.
See staff members' applications for other positions as a healthy sign of a dynamic workplace.
Support lateral moves within your organization.
Refer employees to the Staff Internship Program to explore opportunities to apply for career
development internships or self-initiate an internship in an area of special interest.
Create job vacancy listings that allow for the most diverse applicant pool while honoring
transferable skills.
Roles Managers Can Play
COACH: Helps employees identify strengths, weaknesses, interests, and values by maintaining open,
effective communication and ongoing encouragement. You can improve your coaching by:
Encouraging two-way dialogue
Showing employees how to identify their skills, interests, and values
Scheduling uninterrupted career development discussions
ADVISOR: Provides organizational information, realities, and resources to employees. You can improve
your advising by:
Helping employees develop realistic career goals based on your department's needs and their
individual development plans
Helping employees understand the current opportunities and limitations on the campus
Advising employees on the feasibility of various career options
APPRAISER: Evaluates employees' performance in an open, candid way and relates this to potential
opportunities. You can improve your appraisal skills by:
Providing frequent feedback in a way that fosters development
Conducting performance appraisals that define strengths, weaknesses, and career development
needs
Relating current performance to future potential in realistic ways
Using an individual development plan as a tool for continual feedback and development
REFERRAL AGENT: Helps employees meet their goals through contacts with people and resources.
You can improve your referral agent skills by:
Helping employees formulate development plans and consulting on strategies
Providing opportunities for experience, exposure, and visibility, such as committees and task
forces)
Using personal resources who you know and what you know to create opportunities
Assisting in seeking employees' placement lateral or vertical
Management Development
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12. The management and leadership development process is flexible and continuous, linking an individual's
development to the goals of the job and the organization. Management development programs on campus
give you the opportunity to develop a broad base of skills and knowledge that can be applied to many jobs
on campus
Guiding Principles
Management development activities can:
Encourage growth and career development of employees as stated in the Philosophy of Human
Resources Management
Improve skills and knowledge that can be immediately applied at work
Increase motivation and job satisfaction
Create a network of colleagues for problem-solving and support
Promote communication and planning throughout campus and department networks
How to Support Management Development
Model the behavior you are encouraging; don't neglect your own development.
Discuss and create a development plan during the performance planning cycle.
Endorse employees attending classes and activities that support development plans and goals.
Discuss what the employee learned in classes and support integrating new ideas/methods.
Provide timely behavioral feedback on performance and discuss ways to improve and develop
further.
Provide opportunities for your employees to develop through mentoring, cross-training,
internships, campus staff organizations, professional associations, committee and task force
assignments, skill assessment programs, and university degree and extension programs.
Staffing System:-
Staffing System
A staffing system is integral to the way companies manage their employees and ensure that their
personal and collective interests align with corporate objectives. The system is a hodgepodge of
processes, people and state-of-the-art technology a company relies on to evaluate whether the
favorable trends it sees in employee performance reviews are real, or whether these trends
ultimately would peter out. The tools of the trade include enterprise resource planning software,
human resources management applications, personnel scheduling software, content work-flow
programs, project management software, and calendar and scheduling applications.
Staffing system management deals with how an organization comes up with better, effective ways
to deal with employee attrition. This is the rate at which personnel leave the company every year.
It also indicates how long, on average, employees stay after hire. Staffing program administration
also helps top leadership have a clear visibility on the thorny issues that could hamper employee
productivity. For example, human resources managers may say that employee morale is high and
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13. keeps growing over time -- but company executives may doubt the trend can really last in light of
the high attrition rate the organization is coping with.
Significance
A company that effectively manages its staffing system is more likely to know, at any given
point, how many people it employs, their job descriptions and their performance levels over
specific periods -- say, the last five or 10 years. With this knowledge, top leadership can adeptly
tackle the tough problems of profitability management and expense reduction. For example,
senior managers can calculate the company's expense-by-headcount ratio to determine how much
a worker costs and evaluate overall productivity in a department or business unit.
Geography
Perhaps staffing system management benefits stalwart multinational companies’ more than
smaller domestic players. In the modern economy, the advent of technology has gradually
whittled away at the significance of localized business management. Companies now can
leverage computer software to effectively monitor their personnel in all operational aspects,
whether it is in far-flung manufacturing work streams or suburban administrative operations. A
staffing program makes top leadership's control job easier, because it enables senior executives to
mount a global personnel-management strategy that aligns with domestic realities and
international conditions
BENEFITS OF A GOOD STAFFING SYSTEM:-
A human resource department is responsible for ensuring an appropriate staffing system within an
organization. Staffing systems support the needs of the company by building up the workforce through
recruitment, management and retention activities
Productivity
An under-staffed organization faces productivity challenges. With fewer employees to perform
the work, a company cannot produce products or offer services the way it is intended to.
Accordingly, a loss of productivity impacts a company's profitable gain. Staffing systems help
organizations implement recruitment activities to fill empty positions. Operating at full capacity
abets productivity and profitability.
Quality
An effective staffing system increases the chances of hiring the right people for the job, according
to the Human Resource Planning Society. With the right people comes quality work performance
and the potential for long-term retention. Hiring the wrong people, however, can sometimes result
in a lot of turnover or terminations.
Saves Money
An effective staffing system saves companies money. When the right people are hired and stay
with the company for a while, the organization does not need to pay for printed advertisements,
job fairs and the expense of other types of recruitment activities. That money can then be
reinvested back into the company.
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14. An effective human resources staffing system contains several key factors. This system defines
what an ideal candidate looks like, including specific qualities and behaviors. Recruiting and
identifying a pool of these qualified applicants is another key factor for your staffing system.
Screening and then interviewing these candidates is another important element, and it must also be
standardized in order to ensure all factors are met. The final key factor includes making the hiring
decision, as well as checking references and other important administrative functions.
Identifying the Ideal Candidate
Any successful human resources staffing system begins with defining the ideal candidate. You
must ask yourself what the perfect candidate would look like if he walked through the door.
Define exactly what behaviors and skills that candidate would possess and how you know that
she has those abilities. Develop a profile based on those skills and behaviors and be certain that
all recruiters and interviewers know how to recognize those skills in a candidate. Numerous
computer-based programs are available from vendors to assist you with this process.
Recruiting
Recruiting systematically is a key factor for successful human resources staffing. Determine how
you want to recruit and where you hope to find your pool of qualified candidates. There are many
online recruiting websites, which provide a large number of candidates for you to review. If you
seek quantity for your recruiting system, this is one of the best methods. You can also use
professional trade associations for your recruiting efforts. Decide which recruiting services best
suit your needs and then use the ones that can provide you the most qualified pool of candidates.
Interviewing
Interviewing may be the most important factor for your human resources staffing system. Using
your list of qualified candidate behaviors, develop a list of interview questions designed to
uncover those behaviors and skills. Behavioral questions should be used for your interviewing
process. Behavioral questions are those that ask candidates to describe specifically actions they
have taken in the past that demonstrate the use of your ideal behaviors. Once these questions are
finalized, train all interviewers how to use these questioning techniques to ensure that everyone is
properly using the same process.
Hiring
The final key for an effective human resources staffing system is the hiring process. After you
have interviewed all applicants, you are ready to make your decision. Begin by comparing the
results of your interviews to the list you created that details behaviors your ideal candidate must
possess. Review the responses from each applicant and make your decision to hire based on the
applicants' answers during the interviewing process. Check references and other documents
provided and prepare your job offer for that candidate. Your staffing system has just produced
your most qualified new employee.
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