future of online recruitment in pakistan 2010

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Online Recruitment Future of Online Recruitment in Pakistan Noor-ul-Ain 1 , Warda Bukhari 2 , Mariam Hadi Ali 3 Saher Khushi M. 4 , Asma Nasir 5 M.Com (Hons.), University of the Punjab, Quaid-e-Azam Campus, Lhr., Pakistan. 1 [email protected] 2 [email protected] 3 [email protected] Abstract This paper aims to conduct a study on future of online recruitment in Pakistan. It discusses the importance of online recruitment, factors, methods and barriers which employees consider while applying online, and these are also identified in literature. The results provide clear evidence that majority of factors, methods and barriers identified in literature are experienced by Pakistani employees and help to lay foundation for future research. Keywords

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Page 1: Future Of Online recruitment in Pakistan 2010

Online Recruitment

Future of Online Recruitment in Pakistan

Noor-ul-Ain1, Warda Bukhari2, Mariam Hadi Ali3

Saher Khushi M.4, Asma Nasir5

M.Com (Hons.), University of the Punjab, Quaid-e-Azam Campus, Lhr., Pakistan.

1 [email protected]

2 [email protected]

[email protected]

Abstract

This paper aims to conduct a study on future of online recruitment in Pakistan. It discusses the

importance of online recruitment, factors, methods and barriers which employees consider while

applying online, and these are also identified in literature. The results provide clear evidence that

majority of factors, methods and barriers identified in literature are experienced by Pakistani

employees and help to lay foundation for future research.

Keywords

Internet recruiting; online recruiting; web recruiting; recruitment websites.

1.0 Introduction

Recruitment is a process which involves those activities and actions that must be carried out with

the sole purpose of attracting experienced, qualified and skilled potential employees. It is such an

action through which we can acquire the best pool of candidates and as a result able to hire the

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finest candidate for our organization. Organizations should design their recruitment process in

such a way that would help them to attract more knowledgeable candidates and applicants.

For this purpose management hires HR specialists to design more sophisticated recruitment and

selection process. Now a days organizations are using many recruitment and selection processes,

broadly they are:

Internal recruitment - seeking candidates within the organization and we can get them by

three sources-promotions, transfers and re employment of ex- employees.

External recruitment - in which we seek candidates outside the organization and we can

get them by number of sources like advertisement, employment agencies, educational

institutions, recommendations, online , college recruitment, job fair etc.

With the advancement in technology recruitment process is also becoming more classy, refined

and sophisticated. Now organizations use international network i.e. INTERNET to hire potential

and prospective applicants. Recruiting staff is some what complicated and time consuming

process, where an inappropriate recruitment choice can lead to shattered costs, dissatisfied clients

and discontented colleagues. Following are the key drivers of e-recruitment:

Cut down the recruitment costs.

Expanding the selection pool.

Escalating the speed of time to hire.

Flexibility for candidates.

Intensification of the employer brand.

As awareness about internet is increasing, companies are now accepting applications through

email. The organizations have developed their own websites by which people can apply online

by completing a form. We are living in 21st century there are number of methods to do the

business. In today’s rapidly changing environment, where everything is uncertain and everyone

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wants the things to be done in most effective and quickly basis so that they can have a pace with

rest of the world.

Job seekers use recruitment websites or electronic recruitment (e-recruitment) services to collect

job related information and post their resumes or CVs on online with the help of Internet

technology. Job seekers can send their applications by electronic means to large databases that

can be browsed by recruiters and head hunters. Online hiring reduces application costs for

applicants by allowing them to directly put forward application stuff online.

It provides candidates with the opportunity to apply in national and international companies

sitting at their home PC in just single click. In Pakistan companies use both conventional and

non-conventional methods to hire qualified people but here trend of online recruitment is also

growing. Due to its comparatively low costs e-recruitment has become a more powerful and

important tool in the current economic environment.

One of the famous and well-known recruiting agencies in Pakistan is Rozee.pk, Bayrozgar.pk

and Apka Mustaqbil.pk. Rozee.pk includes approximately, 31,577 leading companies post jobs

here. It is the leading Job portal by all metrics where 1,407,725 professionals are registered.

Almost, 31577 employers are hired by Rozee. And there are 110 + job openings daily. Over,

8.43 Million Job applicants processed and 4.8 Million Unique Visitors are recorded each year.

ROZEE.PK has larger viewers than any English newspaper or magazine in Pakistan

(www.rozee.com.pk).

This study aims to conduct a survey which will help us to know how employees perceive about

online recruitment in Pakistan’s scenario. What kind of barriers, factors and methods employees

consider and face while applying online.

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2.0 Literature Review

Recruitment includes those practices carried out by the organization with the primary purpose of

identifying and attracting potential employees (Breaugh & Starke, 2000). The internet first came

out as a hiring tool in the mid-1990s and was hailed by the popular media as the driver behind a

“recruiting revolution” due to the benefits it could bring to recruiters (Boydell, 2002).

The term online recruitment, e-recruiting, cyber recruiting or internet recruiting indicates the

formal sourcing of online job information. The first reference to online recruitment appears in

the articles of mid 1980’s (Genter, 1981 and Casper, 1985), while systematic reference to the

online recruitment in the human resource journals begins almost a decade later, in the mid

1990s, when IT companies and universities begin to use internet extensively (Galanaki E, 2002).

It was expected that the recruitment agencies’ “future is on the net” (Edgeley, 1995) and that the

internet had brought “radical change to corporate recruiting” (Cappelli, 2001). Online

recruitment has really grown swiftly over the past ten years and is now extensively used by both

recruiters and job seekers all over the world. The popularity of corporation web sites surely

cannot be deprived of with one study in the USA reporting that 88% of Global 500 Corporations

having employment sections to their company web sites (Lievens and Harris, 2003). Further,

another US survey found that across 9 larger American companies, 16 percent of all subsequent

hires originally applied through the company’s Internet recruitment sites (Maher and Silverman,

2002).

Online recruitment is a very cheap mode of Job search, not only for the Job seeker but for

Employer as well. (Robert Kraut, 2004). With the passage of time E-recruitment is becoming

more popular and the success rate can be further enhanced by word of mouth spread by early

adopters of such service. Steve Smethrust (2004) reported that there are many intentions behind

using online recruitment agencies by organization but one of the main objectives might be cost

effectiveness. Traditional mode of advertisements is more costly as compared to Non-traditional.

Since the use of online recruitment has been increasing up till now, many managers found that

using online recruiting is very beneficial as it involves lesser costs associated with the

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recruitment process, the increasing pace of using online recruitment shows that in future most of

employers are likely to take it over sooner or later.

Cober and Brown (2006) found that in the USA, over 50 per cent of new hires were sourced

from the internet and this was expected to increase. Crispin and Mehler (2006) found that 20 %

external hires were from company web sites and further 13% were from jobs boards. Smyth et al.

(2002) explained online recruitment services are the most popular techniques of recruitment

which are used on internet among all other techniques of recruitment.

Many organizations are facilitating the use of online recruitment by providing Guidelines in

tabulated form. All these efforts are being put in order to attract and addict users to rely on use of

online job vacancies. (Eurapean Cental Bank, 2008). An article from Western Cape Corporate

placement suggests that the trend towards online recruitment and social networking website will

increase in future. (General marketing trends for 2008).

Many of the organizations today are using their corporate website to collect Candidate data to

keep in CV bank. Later on, HR manager chooses the most appropriate candidate for the as per

job Specification and call him for interview. Candidates from different Cities, regions and even

at time countries are called for the job interview. Online recruitment and selection method

provide a very big pool of Candidates belonging to different ethnicity and regions. Internet

recruitment seems to be more attractive to certain types of job-seekers e.g. highly educated

professionals, people who frequently change the job, as well as those already in employment: a

state of affair that may affect fair play of employment access and promotes diversity within

organisations. (Michelle Dzulynsky, Jessica Mahoney, and Bryant Mullaney).

Most companies are heading towards the Online recruitment and leaving traditional ways of job

advertisement and hiring to keep up pace with the Country’s changing E-Environment.

Traditional hiring is a time taking and effort requiring mode and hence companies are opt to

move towards online recruitment by one or other way. (Dr. Rolandas Markevičius, 2000).

Braddy, Thompson, Wuensch, & Grossnickle (2003) stated that the overall amount of

information on an official organizational recruitment website is much greater than from a job

advertisement alone. As noted by Rynes and Cable (2003), organizational characteristics can be

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important in recruitment process via website because individuals may be more concerned to

employers with firm characteristics.

The success factor in online recruitment through a corporate website includes the richness of

webpage in information, interactivity and easiness to use, clarity, page should depict

organization’s environment, should clearly define the job characteristics and needs. Such a

webpage will help in deterring unwanted candidates to apply for the job. A good website should

attract the job seekers to get engaged with Website activities. Build a relationship between

Corporate and web surfer. (Steven D. Maurer, Yuping Liu, 2007). Lohse and Spiller (1998)

claimed that designing online web sites with effective edges has a significant influence on

applicant traffic. Gehrke and Turban (1999) explained that a user interface is the main factor that

determines applicant’s willingness to apply via Internet. Cober, Brown, Blumental, Doverspike,

and Levy (2000) developed a model of online recruitment usefulness in which they projected that

recruitment web site usefulness is influenced by the structural design of the web site, referring to

the type of information provided on the web site and the manner in which the information is

displayed, and the extent to which the web site shapes potential applicant’s perceptions of fit

with the hiring company.

Tong (2002) reported that while seeking for a job, internet is a big source for it which offers free

job searches and resume posting. During last few years job recruitment web sites had passed

through a tremendous growth and a large number of job seekers are searching jobs over the

internet. Bartram (2000) suggests a sequence of three events involved in internet recruitment and

selection processes: attraction, recruitment and selection. Initially, only attraction and

recruitment was recommended to play a key role in e-Recruiting, but selection tasks are

increasingly influenced by e-Recruiting processes.

Helen Verhoeven & Sue Williams (2008) stated that there are some of the advantages and disadvantages

of internet recruitment these include: geographical extend, larger users, less invasive, greater chance to

find right candidate, time and cost saving, higher quality of applicants, positive affect on corporate image,

one stop-shop place, efficiency gains, less number of unqualified candidates, and more opportunities for

smaller companies are some of it advantages. Andre O’Callaghan (2008) internet recruitment has many

advantages and disadvantages but biggest disadvantage may be that it is inaccessible for those who do not

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have computer literacy and internet facility available. In a country like Pakistan, due to energy Crisis and

load shedding, the use of internet recruitment might not prove to b a very efficient tool of Recruitment

both for job seeker and employer.

Tong et al., (2005) stated that through the use of online recruitment seems to be increasing with the

passage of time, corporate are becoming more paperless. Yet, some evidences show that a large pool of

CVs contains many unsuitable and undesired applicants which make the task of differentiating between

suitable and unsuitable candidates difficult. Hence, online recruitment does have some unavoidable flaws

which make it un- reliable to some extent. Generally the recruitment services which are provided on the

websites are free for the job seeker but for employers normally have to pay a subscription charges in

order to take advantage of the recruitment services.

Job seekers can send their applications or resumes by electronic means to large databases and

websites that can be browsed by employers, and head hunters. The Factors behind using E-

Recruitment may include reducing recruitment costs, increasing speed of time to hire greater

flexibility and ease for candidates, strengthening employer brand and broadening the selection

pool. (Andre O’Callaghan, 2008). Online recruiting reduces application costs for job seekers by

allowing them to directly submit application material online (Cappelli, 2001; Zusman & Landis,

2002).

Cober et al., (2000) and Marcus (2001) stated that web recruiting can lessen costs, reduce the

amount of time required to successfully engage candidate. Online recruiting lessens application

costs for job seekers by permitting them to directly submit application online (Cappelli, 2001;

Zusman & Landis, 2002).

Baron & Austin (2000) and Brooks (2000) suggested technology is responsible for changing in

internet recruitment and selection process. Worldwide web is acting as stage for internet

recruitment and create the perception that companies who use online recruiting are

technologically savvy (Fister, 1999).

Though Internet recruitment is much convenient for employers, at the same time it provides

much flexibility and convenience to job seekers in many ways. It provides candidates with the

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opportunity to apply in national and international companies sitting at their home pc in just

single click. Also, other technologies like use of video interview and scanned Photos has reduced

the distance between the employer and job seeker and international hiring has become possible

for many multi nationals outs sourcing and off shoring in different countries.( NEW YORK, Mar

12, 2003 BUSINESS WIRE). Recruitment Websites display Success stories and profiles of

Employees who have been able to get a better job after using the Job Recruitment website

service. (Hsiu-Fen Lin).

3.0 METHODOLOGY

We used survey methodology and comprehensive questionnaire from “Future of online

recruitment in India” (Roy 2009). The questionnaire contains mainly closed ended questions

which are either of scale or ranking type. The questionnaire was divided into six parts, first part

contains three questions asking the respondents about the importance of online recruitment in

Yes or No form, second part was composed of five statements and respondents were asked to

evaluate the online recruitment on Likert scale. The next part was about the consideration of

factors that the respondents consider while selecting an online recruitment method and this part

was composed of six items. Likert scale was used in this part also. The next part look into the

motivations of respondents to use e-recruitment and it contain six items using Likert scale. The

next part having six items seeks to explore the barriers to pursue recruitment using Likert scale.

In the last part respondents were asked to rank the best source of recruitment according to their

order of preference. The sample size was of 120 randomly selected from the target population.

Simple descriptive were used to analyze and interpret responses generated from the target

population which was professionals working in a reputable firms.

4.0 DISCUSSION OF FINDINGS

As awareness about internet and online job searches is increasing among Pakistani nationals,

most of the employees use online methods for searching the job. When asked about that “Is

online recruitment important?” 93% of respondent answered in yes and 87% of respondents were

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of view that online recruitment is going to stay in Pakistan while 50% consider it more effective

that paper and print recruitment.

Table 4.1 Evaluation of Online Recruitment

Descriptive Statistics

N Mean Std. Deviation

Online Recruitment is cheap as

compared to other sources120 3.47 1.107

Online Recruitment Consumes

lesser time120 3.82 .953

Online Recruitment require

simple use of technology120 3.37 1.092

Online Recruitment Gives

Rapid search and multiple

options

120 3.75 1.110

There is quick response for the

applied job120 3.45 1.122

Valid N (list wise) 120

Table 4.1 presents the descriptive about how respondents evaluated different characteristics of

the online recruitment. A total of 5 characteristics were provided to the respondents and they

were asked to rate them on Likert scale 1 being the strongly disagree and 5 being the strongly

agree. On the average respondents tend to agree that all five characteristics namely it is cheaper

as compared to other sources, it consumes lesser time, requires simple use of technology,

provides rapid search and last is quick response for the applied job are important. Respondents

rated all the characteristics above 3 that shows they somewhat agree that these are all important

characteristics of online recruitment. The characteristics that online recruitment consumes lesser

time and it provides rapid search and multiple options secured higher rating more than 3.5 and

thus we may argue that these two characteristics are dominating features of online recruitment.

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Table 4.2 Factors consideration while selecting online recruitment method

Descriptive Statistics

N Mean Std. Deviation

Cost consideration 120 3.23 1.088

popularity of portal

consideration120 3.48 .987

technology consideration 120 3.34 1.057

Number of job openings

Consideration120 3.43 1.035

user interface Consideration 120 3.37 1.144

Relevance of job Consideration 120 3.38 .936

Valid N (list wise) 120

Table 4.2 presents the descriptive about which factors respondents consider while applying

online. They were asked to rate them on likert scale 1 being the not important and 5 being the

essential. On the average respondents tend to agree that all six characteristics namely cost,

popularity of job portal, technology, and number of job openings, user interface and last one is

number of relevance of job are important. Respondents rated all the characteristics above 3 that

shows they somewhat agree that these are all important characteristics of online recruitment. The

characteristics that popularity of job portal and number of job openings secured higher rating

more than 3.4 and thus we may argue that these two characteristics are dominating features of

online recruitment.

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Table 4.3 Drivers behind Using e- Recruitment

Descriptive Statistics

N Mean Std. Deviation

E recruitment better tool for

finding job120 3.30 1.105

E recruitment Cost

Consideration120 3.18 .860

E recruitment Time for Job

searching120 3.36 1.035

E recruitment Volume of job

openings120 3.55 .942

E recruitment Wide Reach 120 3.47 1.037

E recruitment Target

Companies120 3.57 1.150

Valid N (list wise) 120

Table 4.3 illustrates the descriptive about major drivers behind using e-recruitment. The drivers

behind e-recruitment which we considered are better tool for finding suitable job, Cost, time

taken to search a job, volume of job openings, wide reach and target companies. In this part

respondents were asked to rate all of them on a likert scale 1 being the not important and 5 being

the essential. Most of them rated all the drivers above average this shows that in their view all of

the drivers are important but target companies and volume of job openings are most important

one.

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Table 4.4 Barriers for applying online

Descriptive Statistics

N Mean Std. Deviation

Barrier not to response 120 3.27 1.083

Barrier irrelevant job openings 120 3.27 1.002

Barrier too many applicants 120 3.32 1.070

Barrier already known

companies120 3.37 1.045

Barrier overloaded question 120 2.98 .953

Barrier Extra Effort 120 3.33 1.231

Valid N (list wise) 120

Table 4.4 points up the descriptive of major barriers which respondents face when they are going

to apply online. the major barriers which we get hold of in our questionnaire are lack of

response, irrelevant job openings, too many applicants, already known companies, overloaded

with questions and extra effort requirement. Here again likert scale was used 1 being the not

important and 5 being the essential. In respondents point of view almost all the barriers are

significant but the already known companies and extra effort required to find a suitable job are

major barriers when they apply online.

Best Source of Recruitment

In order to find best source of recruitment we ranked different sources like ads in specialist

newspaper, ads in general newspaper, job centers, employment agencies, word of mouth, internet

and link with educational institutions from most important to least important.

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Chart 4.1 Ads in Specialist Newspaper

The chart 4.1 shows the ranking of ads in specialist news paper here 1 being the most important

and 7 being the least important. We get the average response, a number of regard as important

and few as least important. So over all we can say people still stick to the traditional methods of

recruitment and consider it as important source of recruitment.

Chart 4.2 Ads in General Newspaper

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Chart 4.2 is an evidence for ranking of ads in general newspaper here again 1 is taken as most

important and 7 as least important. Here the majority of the respondents consider it as an

important source of recruitment and only a small number view it as least important.

Chart 4.3 jobs Center

Chart 4.3 exhibits ranking of job centers. Here again the ranking style is same as above, but the

results differ majority of the respondents consider job centers as least important source of

recruitment.

Chart 4.4 Employment Agencies

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Chart 4.4 shows the ranking of employment agencies. Here we asked the respondents to rank it

from 1 as most important to 7 as least important. From the above chart it is evident that most of

the respondents view employment agencies as least important.

Chart 4.5 Word of Mouth

Chart 4.5 illustrates the ranking of word of mouth as a best source of recruitment method. Here 1

is being important and 7 as least important. It is clearly evident from the chart that respondents

do not consider word of mouth as an important mean of recruitment.

Chart 4.6 Internet

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Chart 4.6 exhibits ranking of internet as a best source of recruitment. Here ranking style is same

as above but results show remarkable inclination of respondents towards internet as a best source

of recruitment. So we can say that trend is changing and people are moving from traditional

methods of recruitment to internet.

Chart 4.7 Links with Educational Institutions

Chart 4.7 demonstrates the ranking of links with educational institution as a best source of

recruitment. Ranking is from 1 to 7. 1 is considered as most important and 7 as least important. It

is clear from the chart that a large number of respondents are in view that links with educational

institutions are not an important source of recruitment.

5.0 Conclusion:

Although traditional mode of recruitment is still important in country like Pakistan yet our

survey shows that that the trend is changing and employees are moving from traditional methods

of searching for jobs to most sophisticated methods which are less time consuming and easily

approachable.

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Our results indicated that job seekers In Pakistan are opting for both traditional and non-

traditional ways of seeking job. Job seekers in Pakistan use newspapers, ads in general and

specialist newspapers to seek jobs. High percentage of population in Pakistan faces

inaccessibility to internet and computers. Those who can access such sources are discouraged

due to energy crises. The reason associated with online recruitment is consumption of lesser

time, simple use of technology and popularity of portals .The online methods are simple to use

and even a lay man can learn to use such mode to apply for the job. In Pakistan the job seekers

use that portal which is famous for providing greater range of job openings.

However the percentage is increasing more for online recruitment methods: This means that job

seekers will ultimately rely more on online recruitment due to availability of better jobs through

online sources. Companies will rely more on online mode of advertisement to avail benefits

associated with online recruitment and to pace up with the country’s changing E-environment.

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