Human Resource Management

Lecture slides:
Assessment criteria 2.3, 2.4

Learning Outcomes
LO2- Understand how to recruit employees

By the end of the session students will be able to:
compare the recruitment and selection process in two
organisations
evaluate the effectiveness of the recruitment and
selection techniques in two organisations

SHRM 2008 3
Learning Objectives
At the end of this module, students will
understand the:
Methods used by organizations to recruit
and select employees.
Legal issues that affect recruitment and
selection.
HRs role in the recruitment and selection
process.
Role of supervisors and peers in the
recruitment and selection of team members.
SHRM 2008 4
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.




RECRUITMENT
RECRUITMENT refers to the processes followed by
organisations when they wish to attract applicants for
vacant or new positions.
Recruitment involves (Compton & Nankervis, 1998):
recruitment preparation,
applicant sources,
employment consultants,
legislative considerations,
vacancy promotion, and
application types.


SHRM 2008 6
Recruitment Issues
Alternatives to recruitment:
Outsourcing.
Contingent labour.
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.
When HR planning indicates the need for additional labour,
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 labour.
It may be practical for an organization to consider
alternatives to recruiting such as outsourcing or
contingent labour.
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.
SELECTION
SELECTION follows the recruiting process with the
appointment of the most suited applicant to the
position. This involves:
reviewing the applications,
reviewing resumes,
short listing applicants who fit the job description,
interviewing the applicants,
making an appointment, and
orientating the successful appointee.

Recruitment and Selection
Distinguishing between the different processes
Recruitment:
attracting a field of suitable applicants

Selection:
choosing a candidate for appointment


10
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.
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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.

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External Environment
Labor market conditions:
Strong economy = difficulty hiring.
Weak economy = too many applicants.



The strength of the economy and labour
market conditions will significantly affect your
organizations 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.
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Discrimination Issues in Recruiting
Civil Rights Act of 1964.
Age Discrimination in Employment Act
of 1967.
Pregnancy Discrimination Act of 1975
Disabilities Act of 1990.
See handout
discrimination in employment
http://www.youtube.com/watch?v=hHfS
gLzd3Hs

http://www.youtube.com/watch?v=yMTt
Iw7R2HY

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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 distrust 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.

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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.

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External Recruitment
Employment agencies.
Executive search firms.
In-house recruiters.
Local advertising:
Newspaper.
Multimedia.
Internships.
Job fairs.
College recruiting.
Walk-in candidates.
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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.
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HR Dilemma: Employee Referrals (Group
Discussion)

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?
http://www.businessmanagementdaily.com/272/overrelying-on-employee-referrals-beware-of-the-legal-
risks
http://www.eeoc.gov/eeoc/newsroom/release/9-7-04.cfm



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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.
Drivers license information, unless driving is a job requirement.
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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.
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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
SHRM 2008 24
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 candidates
truthfulness .
SHRM 2008 25
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 candidates
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.
SHRM 2008 26
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.
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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?
Recruitment
http://www.youtube.com/watch?v=N-
3j8fWMyE8

See case studies - Asda and Tesco
recruitment
Exercise case study
Read through the case study of the
organisations provided, compare and
contrast their recruitment and selection
process.
Evaluate the effectiveness of their
recruitment and selection process
SHRM 2008 30

CONGRATULATIONS!
You have a new employee!