Bagali, MM, HR, HRD, HRM, MBA, Research, India

1. Get connected
M M Bagali, PhD in HR
Professor of Management and Human Resources,
Coordinating, Research in Management,
JAIN University
319 / 17TH CROSS / 25TH MAIN / 6th PHASE / JP NAGAR,
Jain University/ Bengalore -560 078 / India
Tel: 80 43430400 / Fax: 080 26532730
mm.bagali@jainuniversity.ac.in
http://in.linkedin.com/in/mmbagali

2. mm.bagali@jainuniversity.ac.in

3. You listen or hear some people speaking
Gone
could not make it
Was tough
Was really unexpected

4. Also, you listen
Yahoo……
Did well
Sure will have it
Made it
Cooolllllll
Top of world…….

5. When do you hear to listen such reactions……

7. Module 4
Recruitment
Hiring the Right Person

8. Nature of work of HR
HR responsibilities:
HR is a strategic partner in company planning
HR monitors current trends and legal developments
HR disseminates information to the organization
HR communicates with and supports employees at
different physical locations

9. % of work of HR
• Training 20
• R/S 40
• Performance Management 20
• Others 20

10. As HR students
• importance of recruitment
• calculate costs associated
• understand all steps followed in an effective
recruitment process

11. – Methods used by organizations to recruit
and select employees.
– Legal issues that affect recruitment and
selection
– HR’s role in the recruitment and selection
process

12. • analyze requirements and create competence
map formats
• screen and shortlist application to lower short
term attrition using motivational and image
checkpoints
• conduct behavioral & functional Interviews
efficiently & effectively

13. Why is Recruitment considered critical

14. considered critical

15. Employers Are Looking for New Ways to Make Work
―Work‖ — to Create More Effective Workplaces
• Meet the changing workforce and workplace dynamics
• Increase employee commitment and engagement
• Improve retention
• Continue to meet organizational goals and objectives

16. Rationale
• Acquiring and retaining high-quality talent is critical
• Job market becomes increasingly competitive
• Poor recruiting decisions can produce long-term
negative effects
• High training and development costs to minimize

17. “You need to have the right person at the right
place and right time to get the work right and
in the right fashion”

18. • Recruitment is the Process by which
organizations locate and attract to fill job
vacancies through discovering Manpower
• Recruitment is identifying and attracting
qualified person to apply for vacant
position in an organization

19. Recruitment is described as “the set of
activities and processes used to legally obtain
a sufficient number of qualified people at the
right place and time so that the people and
the organisation can select each other in their
own best short and long term interests”

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

21. Criticality of Talent Acquisition
It is estimated that at least 1/3 of business
failures are due to poor hiring decisions and
inability to attract and retain the right talent

22. • The average cost of replacing a manager or
professional is 1.5 to 4 times salary
• The cost of working around an under-
performer can run as high as six figures
• Each vacant position costs your organization
Rs. 60,000 on average. For some management
positions, it can easily run into six figures.

23. Recruitment Process
23

24. • Job Open
• Advertisement
• Accepting Application
• Application Review
• Lining-up Candidates
• Walk-in
• Written Testing
• Oral Interaction
24

25. Cont:
• Interview
• Final Interview
• Selection
• Test
• Medical
• Other
Call Letter
References
25

26. Sources of recruitment

27. National online job boards (e.g. careerbuilder.com, hotjobs.com etc.) 48%
Employee referrals 43%
Career section of organization's website 35%
Internal job postings 16%
Industry-specific/ niche online job boards 13%
Print advertising 12%
Job fairs 8%
On-campus college recruiting 8%
Regional online job boards 5%
Direct hire agencies/ search firms (excluding temp agencies) 5%
Informal networking 3%
Temporary agencies 3%
Social networking sites (Facebook, M ySpace, Friendster) 3%
Online campus recruiting 2%
Trade publications (print & online) 1%
Open house events 1%
Research/ sourcing firms 1%
Online job boards, employee TV advertising 0%
referrals and the career Radio advertising 0%
section of an organization’s
website, are the primary Other 3%
sources used for recruiting.
0% 10% 20% 30% 40% 50% 60%

28. Sources of recruitment
• Internal :
– Job Posting
– Employee Referrals
– Current employees
– Former employees
• Transfer
• Deputation
• Lien
• Word of Mouth

29. • 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.

30. Sources of recruitment :
External Sources
• Employment agencies
• Executive search firms
• In-house recruiters
• Local advertising:
– Newspaper
– Multimedia
• Internships
• Job fairs
• College recruiting
• Walk-in candidates

31. Types of Applicants
Active applicants:
– Present favorable organization image
– Provide access
– Job sites and postings
Passive applicants:
– Best people often are not looking for jobs
– Recruiter has to actively search for the person
– Search engines provide information
– Social networking sites provide access

32. Other Methods used for Recruitment
• Traveling Recruiters
• Walk in application
• Employee referrals
• Newspaper
• Journals/ Magazine
• TV/Radio
• Emails/ Website
32

33. Cont:
Employment Services (Exchange)
Search firms
Trade fair / Education Fair
Employee Referrals
Succession Planning
Government Agencies
Career Advisors
Students Societies
33

34. Technology and Recruiting
Job search sites
• General sites:
– Monster.com
– Careerbuilder.com
– Snagajob.com
• Microsites:
– Boeing http://www.boeing.com/employment/
– McDonalds http://www.mcdonalds.com/usa/work.html
– Proctor and Gamble (P&G) http://www.pg.com/jobs/sectionmain.shtml

35. Technology and Recruiting
Video recruiting decisions
• Involve IT department:
– To help decide where and how videos will be posted
– YouTube
• Options for video production:
– Check for resources in the organization
– Marketing department
– Employee involvement:
• Employee contests

36. Recruiting Passive Applicants
• Networking is an important source of leads
about passive applicants.
• Social networks:
• LinkedIn.
• Facebook.
• MySpace.
©SHRM 2009 36

37. Guidelines for Recruiting and Selection
• Remember that nondiscrimination rules apply.
• Documentation and support for decisions.
• Privacy protections need to be in place.
• Time and access requirements.
• Consider the job.
©SHRM 2009 37

38. Why Google is the best: Talent Acquisition Strategy

39. That “worth 300 times more than average”

40. Detect talents in its infancy
• Their recruitment methodology used
• Contests and mathematical problems placed
in technology magazines universities
• Answers along with their resumes

41. Challenging interviews and selection process
• Several weeks
• Technical questions are alternated with “brain
teasers” as curious as how many golf balls fit
in a school bus? Or how much would you
charge for cleaning all windows in Seattle?

42. Speed up the on boarding process
• Culture transfer
• With Seniors very close
• 20% on own projects

43. BAD RECRUITMENT

44. We say bad recruitment occurs in three
situations
• Can not do: The person lacks the skills
required
• Will not do: The person lacks the attitude
• Does Not Know what to do: The person lacks
the Knowledge

45. Bad Recruitment Costs
Normally costs of bad recruitment vary
between 1-2 years of salary for executives and
1-4 years of salary in case of managers

46. Direct Recruitment Costs (3-6 months)
• Advertising
• Travel and stay
• Time costs of people concerned

47. Induction Costs (1-2 months)
• Administrative costs
• Relocation costs

48. Stabilization costs (2-6 months)
• Learning time
• Mentoring and Team time

49. De-motivation Costs (1-2 years)
• Unproductive time
• Other People leaving
• Team Loss

50. Client Related (1-2 years)
• Internal / External Client loss
• Future business loss

51. Leaving Costs (1 month)
• Other people leaving
• Redundancy costs
• Handover costs

52. Why Bad Recruitment happens

53. • Poor analysis of job function- / Job
description
• A through JD of each job

54. • Poor analysis of necessary personality-skill
profile

55. • Inadequate initial screening- skills required to
screen

56. • Inadequate interviewing techniques-
methodology

57. • Inadequate questioning techniques-skills

58. • Poor utilization of second opinions-any other
ways

59. • References were not checked- how to go
about

60. OVERVIEW OF HIRING PROCESS
Determining
requirements
Sourcing & Shortlisting
Assessment Techniques
Interview Methods
Non Interview
Methods
Selection & Reference
Check

61. Determining
requirements
Do you require …..
Technical skills? Communication skills?
Creative Skills? Public Speaking Skills?
Law Skills? ………
Marketing / HR / Finance / Consultancy / Research ………

62. Sourcing and Short listing
• Mode of getting the CV
• Checklist for shortlist

63. Assessment Techniques
• Interview and Non Interview

64. Selection and Reference check
• Rules/ Code/ Standing Orders
• Mode to get info

65. RECRUITMENT METRICS

66. Efficiency Metric
The extent to which time or effort is well used
for the intended task or purpose
Ratio of output to input, terms of:
Time
Cost
Speed

67. The formula
• Cost per Job filled
• Time Per job filled
• Actual time spent in interviews and the
selected process
– CV screening
– Committee
– Logistic
– Outscored, if any

68. Effectiveness Metric
whether the process is successful in producing
suitable candidates for the desired positions
effectiveness metrics are more goal oriented

69. The formula
Retention Rate in the first 6 months
Number of jobs filled
No of candidates applying
No of candidates shortlist versus selection
Job satisfaction – 3 months later
Satisfaction of hiring manager with person recruited

70. YIELD RATES PYRAMID
New Hires
Offers made (2:1)
Candidates interviewed
(3:2)
Candidates invited (4:3)
Leads Generated (6:1)

71. Case
Calculate the cost of bad recruitment and
group them under major heads:

72. Case
• The resignation of a project leader in an organization has created a vacancy in
the organization, which has to be filled up immediately. The HR Manager
sought the help of the placement consultants who were not able to help him
find the candidate. The HR manager advertised in the appointment columns of
the leading news paper across the country which resulted in many applications
pouring in from different cities.
• After a thorough scrutiny of the applications the HR Manager had to interview
many candidates at different locations. After three days of intensive
interviewing they were able to finalize a candidate by name A paying him a
salary of 50,000 USD per annum.
• The Technical Manager spent three weeks inducting Amit into the organization
and handed over the project to him. After taking up the job Amit was a habitual
latecomer and also a regular absentee. He started showing negative impact on
the team he was leading. The relationship he maintained with his subordinates
was poor, which forced two senior software engineers to look out for a better
opening with a competitor. The project eventually got delayed which frustrated
Amit and he resigned without handing over the project to a competent person
this further delayed the project.

73. • Total Cost for Head 1 :
• Total Cost for Head 2 :
• Total Cost for Head 3 :
• Total Cost for Head 4 :
• Total Cost for Head 5 :
• Total Cost for Head 6 :
• Total Cost for Bad Recruitment :

74. Cost Heads……
• Direct Recruitment Cost
• Reference/ Consultants/ Agencies
• Advertisement
• Training Costs
• Coaching
• Induction Cost….. Outside experts/ insider trainers
• Relocation costs/ Leaving costs
• Joining Bonus…. Dues from old company to fix
• Interview costs
• Process / Operational cost
• Clients related costs
• Infrastructure costs

75. • Stabilization costs
• Socialization process
• Finding feet in the process
• Comfort level efforts
• Demotivation cost's
• Brand lose
• Cost in/ for ……
– Attitude
– Clients not happy
– Project delay/work delay
– Oppournities costs

76. • Perceptual Metrics
Candidates and new employees perceive
about the recruitment process

77. The Formula
• Perception of new joinees towards the system, organization
and environment
• Candidate perception about the process
• Employment branding leading to preferential treatment by
colleges/ institutions
• Referrals by candidates

78. Six Sigma in Recruitment Process
• systematic, scientific, data driven approach
that leads to the best possible process
• set defined measures and actions while
conducting the recruitment process

79. i. Understanding of hiring needs from departments properly
ii. Identifying the right approach for recruitment drive
iii. Selecting the message (including introduction to company and career
prospects)
iv. Selecting the right media and short-listing mechanism for recruitment
vi. Making the offer with terms and conditions
vii. On-boarding and induction process

80. Suggested Readings
Recruitment: Science and Practice
By James A. Breaugh, PWS-Kent Pub. Co.
Hire With Your Head: Using POWER Hiring to
Build Great Companies, By Lou Adler, John
Wiley and Sons

81. • Session 2
• Requirement Analysis

82. • What is competency
• Competency iceberg model
• Why competency based recruitment
• Motivational job specification
• Creation of functional specification
• Creating behavioral specification
• Threshold trait analysis
• Definitions of Quan-com