RATIONALIZING HR & SELECTION

Chapter 4

Introduction
Employees well selected and well placed will efficiently contribute to the orgn + act as potential for future replacement.
Recruitment = engaging the required no. of. People + measuring their quality Not only satisfying company needs but also shapes the company future. Job Analysis HRP Recruitment (Job definition, Job Spec, Publishing job opprt) Receiving applications Short listing Interviewing Selection

Advantages of systematic & Planned Recruitment

Self Selection process Motivated employees Culture of committed way of work life Letting employees know their capabilities high degree of satisfaction raise he morale higher level of commitment and productivity. Avoids cost of selecting wrong person and losing right person Image of impartiality attracts more qualified and better candidates to the orgn. Maintain database for personal audit and research, potential for upward mobility in the orgn.

Difference between Recruitment & Selection

1. The recruitment is the process of searching the candidates for employment

and stimulating them to apply for jobs in the organisation WHEREAS

selection involves the series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts. 2. The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best candidates for the organisation, by attracting more and more employees to apply in the organisation WHEREAS the basic purpose of selection process is to choose the right candidate.

3 Stages of Selection
Selection Screening Recruitment Recruitment: Make the vacancies known to a large no. of. People and opportunities that the orgn offer. Process of attracting people to apply is called recruitment Choosing a few among those who have been attracted is called selection. Selection ratio = People selected / those applied Selection ratio = Selection efficiency

Need for Recruitment

Transfer, promotion, retirement, termination, permanent disability or death mobility of human assets Expansion, diversification, growth or job reclassification - due to business growth.

Recruitment Methods
Compulsory Notification of Vacancies Act, 1959

Employment Agencies
Advertisement Campus Recruitment Deputation Professional Association

Word of Mouth
Casual Applications Raiding

Compulsory Notification of Vacancies Act, 1959

The National Commission of Labour (1969) the main source of labour for Industries are the rural area surrounding the Industries (recruitment through Jobbers and Contractors) Compulsory Notification of Vacancies Act of 1959 (Employment Exchange Act). The act does not apply to the following vacancies: Employment related to agriculture except farm machine operatives. Domestic services, total employment duration is less than 3 months unskilled office work, staff of parliament. Vacancies to be filled through promotions, absorption of surplus staff in department or branch of the same organisation. Recommendation of independent agencies (union / State Public service commission) Employment with remuneration <R. 60/- per month. Employers should inform the interview result within 15 days to employment agencies and should submit quarterly returns and once in 2 years failing which show cause notice will be issued.

Employment Agencies
Maintains database of the candidate Recruitment done by either disclosing / not disclosing the identity of the orgn. Consultancies short listing the candidates Organizations Final decision on selection Sometimes representatives from consultancies will also sit in the panel for final interview
ADVANTAGES

Cheaper in terms of time and man-hours Orgn identity remains unknown up to a certain point
DISADVANTAGES

Risk of losing out some person whom the orgn would have liked to meet

Advertisement
Widely used method, reach very wide Journals and magazines The quality of the advertisement needs to be in such a way so that self selection among applicants takes place Ambiguously worded and broad based advertisements irrelevant applications increase the cost.
Good Advertisement should contains Company name with certification if any, job title, JD, JS, Qualifications, Age Compensation details Selection procedure Address and contact details of the orgn. A good, carefully worded advertisement can also help in building the image of the orgn.

Campus Recruitment
Placement offices maintains profile of graduating students and help the visiting company representatives in administrative details.
ADVANTAGES

Low cost Can arrange interviews at short notice Can meet teaching faculty Opportunity to sell the orgn to large student body Establish a goodwill through presentation and distribution of company material.

LIMITATIONS

All candidates will possess similar experience and education.

Deputation
Sending an employee to another orgn. for a short duration of 2/3 yrs. Common methods of recruitment in public sector orgns and govt, agencies in India.

ADVANTAGES Provides ready expertise to the orgn Initial cost of Induction and training the employee is less.

Professional Association
Egs: Institution of Engineers, India Medical Association, All India Management Association Applications routed through these associations perhaps, be better in terms of qualification (because of preliminary screening) Limitations Not a common practice in India Associations are not able to generate a large no. of. applications

Word of Mouth
Economical in terms of time and money Can be through individual employee / unions Serves the purpose of keeping the union involved in recruitment and ensuring industrial harmony.

Casual Applications
Self-solicited applications
DISADVANTAGES Such candidates apply to no. of. Orgns and whenever needed, either they are absorbed by other orgns/ not interested in the position On the Gate Recruitment for blue collar employees Temporary recruitment in situation of strike, go slow etc.

Raiding
Employees working else where are attracted to join the orgn.

Orgn look out for qualified employees offer them a better deal if
they make the switch. Professionally very competent but dissatisfied employees form the

easy group to attract.

Equally competent but quite satisfied with their present position to attract them, orgn has to offer very lucrative package of perquisites It is an unethical practice and not openly talked about.

Screening
Screening (reducing the no. of. Applications) Recruitment
eligibility suitability (min. qual.) (skill set)

Preliminary Applications Tests of deselection:

Using psychological test Tests on intelligence and envt. Awareness Cutoff point (manageable size) = no. of. Vacancies * 4 Interviews, group discussions

Screening Interview:
Short duration interview (if the no. of candidates is not large) Used mainly in Campus Interview

Selection
Choosing a few from those who applied
APPLICATION BLANKS Common method to collect information from applicants PURPOSES Preliminary screening, aid in interview and a selection device Provides candidate formal introduction to the company Data in uniform formats (easy for cross comparision) Basis to initiate a dialogue in the interview To develop databank Direct feeding into computer (to maintain HRIS) To identify the presentation skills, drafting ability and written expression (any other comments / information's) Weighted application blanks (weighted average)

Content of Application Blanks

Personal data

marital data
Physical data Educational data Employment data Extra academic data

References 2 major problems

Favorable references referee may not have enough information about the applicant

Kinds of Application Blanks

Preliminary / letter of application / hand written / typed one page personal history Seeks information on personal, educational qualifications & experience Used to shortlist the candidates Comprehensive Application Blanks Seeks detailed information from those who was shortlisted in the preliminary screening. It includes language proficiency, detailed study information, complete details of employment record including salary, responsibilities, reporting relations, durations, promotions, training courses attended etc + several unstructured questions + references to assess the suitability of the applicant to the job

Interview
Most widely used method of selection (99% of orgn) Candidates comes face to face with the representatives of the orgn. Participation of Interviewer and Interviewee
ADVANTAGES OF FACE TO FACE INTERVIEW

Verification of information given in application blank To evaluate motivation, commitment, hopes and aspirations Applicant also explain certain information which he may not like to put on paper Opportunity to 2 way interaction Overall picture of the applicant (provide insight into the personality of the applicant)

Different Methods of Interview (vary according to

purpose of interview and nature of position)

Preliminary interview Patterned interview

Stress interview
Depth interview

Preliminary Interview / Screening Interview

Receives applicants preliminary information Vary according to job to job & orgn to orgn.
It includes: Applicants ability to perform job related tasks. Eliminates non-essential personality characteristics Identify areas needs to be further explored by line managers Provides information about job and orgn. Done by HR personnel and technical head (for technical jobs) Objective:

Preliminary Interview (HR/ technical head / both)

Comprehensive Interview (panel with HR + technical head)

Patterned / Structured Interview (ordered

questionnaire)

Characteristics: Based on job duties & requirements critical for job performance Selection test where response can be written / oral / physical. Structured / predetermined questionnaire and answers are rated on a point scale Ensures objectivity by having multiple raters who finalize the results by discussion Consistency is important (same committee , questions) Inter applicant comparisons are easy Easy to apply sophisticated statistical tools to make final decisions. Disadvantages: Flexibility is lost due to monotonous nature of interview. Previous applicant might discuss the questions Interrogative but not interactive discussion Applicant has no opportunity to know about interviewers, job, orgn and growth prospects.

Stress Interview (to asses the personality characteristics)

Jobs require a person to cope with unknown data, information's, situations etc. (eg. PRO) Stress interview provides useful information to assess the stress level of the individual. Attempts to create tension and pressure in an applicant Stress is induced by not allowing him to complete the answer / too many questions are asked in quick succession. Interviewer should doubt on the validity of the answer, try to belittle, humiliate, questions and frustrate the applicants to create uncertainty. The reaction may be cool and relaxed or sharp.
CHARACTERISTICS OF STRESS INTERVIEW:

Trained professionals in Human Psychology, should stop stressing the candidate before he reaches the tolerance level. Should debrief the interview at the end of the session, should not send out the candidate with stress. Applicants with psychological problems should not be subjected to stress interview. Job related stress needs to be provided.

Depth Interview (not a most prevalent method of selection)

Objective: to understand the depth personality Frozen aspects
(education, birth, early childhood experience etc) ADVANTAGES

Flexible aspects
(hobbies, interests, goals, etc.)

Getting a complete understanding of the applicant, suitable for executive selection than white collar / blue collar job.
LIMITATIONS

Time consuming.

Skills of an Interviewer
Art of asking questions and derive meaning. Ability to analyze the candidates about his true self behind the mask
HOW TO CONDUCT INTERVIEW Convert JD into questions Creating a pleasant environment for better interaction Developing rapport with the applicant by asking neutral questions Simple questions to difficult questions to know the highest competency level Ask for open ended questions with examples of real life Avoid asking debatable questions Provide +ve feedback, to encourage him to talk Provide sufficient time to answer each question Avoid showing your feelings through body language Terminate the interview naturally

Others methods of Selection

e-Recruitment (posting jobs at internet) Business Games

Group Discussion
Physical Examination

e Recruitment (Internet Recruitment)

Using Internet for attracting and retaining job seekers. Its used for advertising the vacancies, posting job applications and screening instrument (process of deletion)
ADVANTAGES

Reach a larger population Time and cost saving. Have mixed candidates from different geographical areas. Generate talent pool for future vacancies Reduces dependencies from recruitment agencies or middlemen Builds brand image of the organization

DISADVANTAGES

Exclude the potential who does not have access to internet

Business Games
To test decision making ability of the applicants through simulated exercise Example: In basket Technique providing applicants with background information of the organization which includes information about a set of problems in a way of memos, letters and reports related to the master plan Based on the decision taken by the applicant, his judgment and performance is evaluated Power technique for managerial cadre (to asses the ability and behavior)
DISADVANTAGES

Time consuming Due to less applicant evaluation will be judgmental rather than statistical Reliability and validity can not be determined until evaluated by the no. of. judges.

Group Discussion
For selection of supervisory and management staff. Group should contain 6 10 members and provided with a company situation / a topic Discussion is preceded by a preparation time Unstructured no predetermination of who will perform what role? Quality of the content, delivery, time management, interpersonal competence and behaviour in the group are assessed by the interview panel GD provides point during face to face interview. Most widely used method
ADVANTAGES

Time saving

Physical Examination
Used where physical strength is most important or where physically handicapped person are employed. In India many organizations will, protect themselves by employing

them to avoid employees filing compensation claims for injuries

caused by pre existing ailments Medical Examination are done in order to prevention infection in the work environment.

Selection Decision
Two way decision making process where organization and applicants match talent with requirements of the job.

Multiple hurdle Profile matching Multiple cut off

Multiple regression

Multiple hurdle
Decision is taken sequentially All methods of Selection are hurdles that have to be crossed till it completes the last

Advantages:
Progressive reduction in the number of applicants and also reduce costs of
selection

Disadvantages:
Danger of losing some capable applicants on earlier hurdles Deciding cut off score is difficult for a fresh position

Profile Matching
Cut off score would be the ideal profile of a successful employee,

which will be defined by the employer

The method of Selection is to see whose profile is closest to the ideal profile Calculated using statistical technique of correlation of co efficient Successful candidate does not need to be the one who has done

exceptionally well

Profile Matching

C B A

A B

Application rating score

Test Score

Group Discussion

Interview Score

Multiple Cut off

The applicant has to score above the ideal score on all the methods of selection Solved by giving weight average to each segment Disadvantages: Ranking cannot be defined as two applicants may get the same total because of variations elsewhere

Weightages in each segment is time consuming

Multiple Regression
Multiple regression method taking into considerations the relative contribution of all segments This technique assumes that each score on the selection method is

linearly related to the performance score

High score in one makes up for the low score in other

SELECTION:A look ahead

It is an attempt to improve to some extents for the issues and concern in the field of selection to ensure selection of the right person for the right job

Some of the important themes are listed below:

Selection and labor laws

Reservation in employment
Increased professionalization Job Description Training of professionals

Selection and Labour Laws

Selection is India to some extent is governed by labor legislations Employment Exchanges Act 1959 provide opportunities to certain positions to abolish so called official recruiters of the Industry (eg. Textile) ILO and report of the Royal Commission on labour highlights the exploitation of rural folks thus labour officers were appointed (man of integrity).

Factories Act 1948 influenced selection for women and child above 14 yrs
Industrial dispute act 1947 makes it compulsory to absorb the retrenched employee on a first come first absorbed basis The Apprentice Act 1961 selecting the apprentice to reduce the training cost It guides HRM to take well informed decisions Proper attention to these laws help to meet the social obligations and

Advantages:

responsibilities to society

Reservation in employment
Equality before law no equality of opportunities among the unequals. To avoid discrimination of employment in terms of age, gender, caste, creed, religion, place of birth, residence etc. This law states 15 % of reservation for SC and 7 % for ST (by lowering the qualification, age relaxation etc) Disability Act 1995 3% reservation for disabled in the govt. (out of 70 lakhs disabled in India, only 1 lakh are gainfully employed) HR Manager holds responsibility to implement the Act as long as the disability does not interfere with the demands of work, the disabled person should be treated as normal person.

Increased Professionalization
Newer techniques of selection for supervisory position includes Peer rating Vs Performance measures (regional supervisor rating after 6 months of placing the employee on the job) Functional efficiency (through test) Vs Performance Personal Reference method Assessment Center assessment by a highly trained professionals Strategic selection system includes 4 components such as Job Specification,

Job Description, dimensions of effectiveness and assessment techniques. This

method is used during expansion, diversification, liquidation, redeployment, acquisition etc.

Job Description
Starting point for selection. Sets standards to evaluate the performance of the individual 2 basic questions: How far a job can be described?

Easy for blue collared when com[pared to white collared employees.

How much of a job description would the organization like to have? Shall include clause like any other duty assigned by the supervisor

Training of Professionals
Selection is a Science which requires expert in Psychology, Psychometric testing and Interview Interview should be unbiased, impartial and objective Interview judgment is made by identifying the gap between the standard (anchor) and the actual performance observed by the interviewer about the employee during the interview Evaluation of applicant can be affected by the relative suitability of the immediate proceeding applications Judgment cannot be absolutely objective and hence can not be fully reliable If the interviewer has decided to reject an applicant the conversation will be less and less friendly with the applicant.

Testing in Industry
( evolved during World War II for military personnel recruitment) Age of psychological tests is as old as 75 years Test is a standardized objective measure(procedure of administrating the test, environment & method of calculation of scores) of a sample of behavior Three assumptions are to be made for a significant decision Concept of testing is based on the assumption that people are different The projection for sample of behavior to totality is based on the assumption that tests is valid(measures what it is supposed to measure) and reliable( shows

consistency in measurement)
It is assumed that ability exists in all people where it varies in degree where few possesses the ability minimally and few maximally while the large percentage falls between the two anchor points to form a normal distribution

Reliability & Validity

Reliability = consistency over time Validity = relevance of the tests items to the abilities under study Reliability & Validity cannot be measured accurately but probabilistic generalization can be made using certain statistical tools such as correlation of coefficient

Reliability
Refers to the consistency of scores obtained by the same person when tested

over time on the same test

Helps in identifying the errors in case of difference in scores Four types of errors

Due to inadequate sampling

Due to chance response tendencies indicating guessing or random responding to the items Due to testing environment ( physical conditions) Due to the mindset, health, fatigue, mood etc

Validity
Validity involves whether a test of any other measuring instrument is

measuring what it is supposed to measure.

If a person has done well both in test and subsequently on the job performance (called criterion), the test of selection would be accepted as

valid instrument for selection

Three methods to demonstrate the validity of the selection test Content Validity Criteria related validity Construct Validity

Types of tests
Ability Tests
(measures achievements, aptitude & intelligence) Objective- problem stated with alternative answers It has correct answer choice Time bound Negative marking for wrong answer Assess maximum performance

Personality Tests
(measures personality dimensions) Testee has to agree/ disagree the opinion or statement No defined correct answer No time constraint No such facility as there is no correct answer Assess typical behaviour

Similarities Has to be developed and executed by trained professional having psychology & psychometric knowledge Both can be performance type(task/activity to be performed) or paper pencil type Can be practiced to individual as well as group

Ability Tests
Aptitude tests
Achievement tests Intelligence tests

Aptitude tests
To predict the future achievement and not the past achievement
To measure special abilities - mechanical aptitude tests, clerical aptitude tests, artistic aptitude tests of creativity, musical aptitude tests, differential aptitude tests

Achievement Tests
Technically resembles aptitude tests but diff lies in the usage of results

Measure the level of proficiency that a person has been able to achieve
The measurement of past performance is achievement

The achievement tests are usually administered for admission to academic institutions

Intelligence Tests
Tests that measures general ability for intellectual performance are

called intelligence tests and the basic concept behind intelligence is

mental age Mental age is indexed in terms of IQ (Intelligence quotient)
IQ= (Mental age/actual age) * 100

The rate of mental growth is not fixed, it may be faster in one year but

may not be in the next year

Personality Tests
Measures characteristic way of reacting to a variety of situations.

Four broad categories of personality tests

Interest tests Personality inventories Projective tests Attitudes and value tests

Interest Tests
Most used interest test is Kuder reference record which measures

vocational interest, personal interest & measures preference reactions

to particular occupations like accountant/ salesman / farmer

Personality Inventories
Measures variety of dimensions such as introversion extroversion, dominance- submission, self confidence, social maturity, interpersonal relations, authoritarian attitudes etc. using questionnaires technique

Projective Tests
Usually consists of pictures/ incomplete items and the testee is asked

to narrate about it, thus we can find out the motives/ attitudes/
frustrations/ aspirations/ apprehensions..etc Two Kinds Unstructured (Meaningless situation) Eg. Ink blot test Structured (Meaningful which is reliable) eg. Thematic apperception test & picture frustration tests

Attitudes & value Tests

Attitudes are tendencies to act favourable or otherwise to people,

situations, actions, phenomena and the host of other such things.

Attitude cannot be directly observed or measured but can be inferred from the responses Value referred to the concept of desirability

Uses of Tests
All tests serves the following three purposes

1. Prediction how well a person would perform if he is offered

employment. 2. Diagnosis identifying the causative factors leading to a particular behavior(to understand the human variables) 3. Research- neither tell us what causes behavior nor predict

behavior

Issues in any testing program

Following issue are important

1. Usage of test
2. Lack of professional approach 3. Maintenance of ethical standards-responsibility, competence, confidentiality, test security 4. Test anxiety Vs test wiseness

5. Test Validity

Thank You