RECRUITMENT AND

SELECTION
Zunaira Saqib
NBS

AGENDA OF THE WEEK

Discuss Course Outlines
Any Improvements / Amendments in the
Course or Evaluation Criteria
Introduction to Recruitment and Selection

HUMAN RESOURCE
MANAGEMENT
Human Resource Management
Recruitment and Selection
Compensation
Training and Development
Performance Appraisals
Retention
Downsizing / Firing

RECRUITMENT AND SELECTION:

WHAT IS IT?
Recruitment can be defined as searching for and
obtaining a pool of potential candidates with the
desired knowledge, skills and experience to allow an
organisation to.
Select the most appropriate people to fill job
vacancies against defined position descriptions and
specifications.

R & S MODEL
Intro, Needs & Costs
Job Analysis

Advertisement and Shortlisting

Resume, CV, Cover Letter

R & S Model

Personality and Subject Based Tests

Work Sampling and Assessment Centers

Interviews
Other ways of recruitment
Orientation

R & S RIGHT PRACTICES, WHAT

DIFFERENCE IT MAKE?
Hire the wrong person for the job: Experience high
turnover (PTCL)
Hire the wrong person for the job: Experience
unethical practices: Kweku Adoboli, 1.4 billion, Swiss
bank UBS Global Synthetic Equities Trading team in
London
Waste time with useless interviews (Gvt Dep in Open
Houses)
Have your firm in court because of discriminatory
actions (British airways case)
Have some employees think their salaries are unfair
and inequitable relative to others in the organization
(women vs. men salaries)

MICROSOFT
Total Market Value
$412 Billion

Total Value of all Physical Assets (buildings, equipment, and furniture)

$24 Billion

Where is the extra $388 Billion coming from?

Intangible Assets
Brand Names
Intellectual Capital
Patents
Human Resource

A LOOK AT PAKISTAN LABOR

MARKET
2013 Statistics according to Pakistan Bureau of
Statistics
Labour force participation rate
53.1% Both
81.1% Male
24.1% Female

THE PROBLEMS/CHALLENGES OF R
AND S
Getting the JOB Requirements right
Getting the right person
Attracting the best talent always
Saving Costs
Avoid Turnover
Avoiding Legal Issues

THE CHALLENGES OF R & S IN

PAKISTAN

Equal Opportunity
Location Based Problems (War, Terrorism,
Culture)
Globalization
Changing work and changing workforce

5 JOBS THAT DID NOT EXIST 10

YEARS AGO
1.

App Developer

2.

Data Miners

3.

Admission Consultants

4.

Generational Expert (Age Gaps)

5.

Chief Listening Officer (Twitter , Facebook, Youtube)

http://www.forbes.com/sites/meghancasserly/2012/05/11/10-jobs-that-didnt-exist-10-years-ago/3/

5 EDUCATION CHOICES THAT WERE

NOT VERY POPULAR 10 YEARS AGO

PAKISTAN SERVICES SECTOR

Increased from 39 percent of GDP in 1960-61 to 53.3 percent of GDP in 200910
Largest contributor in the GDP of Pakistan

Transport
Storage
Communications
Wholesale, Retail Trade and Hotels and Restaurants
Financial Institution
Entertainment and Recreation

WORKFORCE AND DEMOGRAPHIC

TRENDS
Demographic Trends

Generation Y
Trends Affecting
Human Resources
Retirees

Nontraditional Workers

WHAT DOES THE WORKFORCE

LOOK LIKE TODAY?
Baby boomers , born between 1946 and
1964

Generation X, born 1965 to 1977

Gen Y , born 1978 to 1994

TABLE 11

Demographic Groups as a Percent of the Workforce, 19862016

TOP 10 COUNTRIES BY LABOR

FORCE
Half the population below 20 years

60 percent below 30 years

Workforce growing at a faster rate than total population
Youth literacy is about 70%
Source: http://www.defence.pk/forums/economy-development/137335-pakistans-opportunity-reap-demographicdividend.html#ixzz2KCd8abFC

THE COSTS OF R & S

The Finances Matter Specially after Financial Crunch
Human resource accounting
Measuring an quantifying the qualitative data of Human Resource of your
organization

THE COSTS OF R & S

Can you Value an Employee Put a Figure against it? HOW?
Expenses

Recruitment Cost
Salary
Benefits
Training + Expense during stay in office

Value
Productivity
What is it?

Employees from other industries information technology employees,

accountants, graphic artists, human resources personnel and other
knowledge workers, the calculation is more difficult because the productivity
of these employees cannot be given a specific, accurate number. Arbitrary
productivity values must be assigned to each such employee.

THE COSTS OF R & S

Replacements Costs
Measures only the cost of replacing the employee.
Replacement Costs Include

Recruitment
Selection
Compensation
Training cost (income forgone during the training period)

 Cost of an Employees Annual Salary

THE COSTS OF R & S

THE COSTS OF R & S

Measuring HR Performance
Metrics

A set of quantitative
performance measures that HR
managers use to assess their
operations
E.g. of HR Metrics

Absence Rate
[(Number of days absent in month)
(number of employees during mo.)
(number of workdays)] 100

THE COSTS OF R & S

Metrics
Cost per Hire
(Advertising + Agency Fees +
Employee Referrals + Travel cost of
applicants and staff + Relocation
costs + Recruiter pay and benefits)
Number of Hires

THE COSTS OF R & S

Metrics
Turnover Rate
Number of separations during the
month / average number of
employees during month * 100

THE COSTS OF R & S

Health Care Costs per Employee

Total cost of health care Total Employees

HR Expense Factor
HR expense Total operating
expense

Sources: Robert Grossman, Measuring Up, HR Magazine, January 2000, pp. 2935; Peter V. Le Blanc, Paul Mulvey, and Jude T.
Rich, Improving the Return on Human Capital: New Metrics, Compensation and Benefits Review, January/February 2000, pp. 13
20;Thomas E. Murphy and Sourushe Zandvakili, Data and Metrics-Driven Approach to Human Resource Practices: Using Customers,
Employees, and Financial Metrics, Human Resource Management 39, no. 1 (Spring 2000), pp. 93105; [HR Planning, Commerce
Clearing House Incorporated, July 17, 1996;] SHRM/EMA 2000 Cost Per Hire and Staffing Metrics Survey; www.shrm.org.