hrm - excel books - chapter 06

8/9/2019 HRM - Excel Books - Chapter 06

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RECRUITMENT

EXCEL

BOOKS

6-1

6

Chapter


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Recruitment

ANNOTATED OUTLINE

6-2

INTRODUCTION

Recruitment is the process of locating and encouraging potentialapplicants to apply for existing or anticipated job openings

Certain influences, however, restrain a firm while choosing arecruiting source such as:

Poor image

Unattractive job

Conservative internal policies

Limited budgetary support

Restrictive policies of government


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Recruitment

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Recruitment: matching the needs of

applications and organisations

Or is tif r i

q litl s

t ti llic ts

f rs it l

I t r l A lic ts

E ir t:

Ec ic S ci l,T c l ic l litic l

I f r ti Fl


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Recruitment

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Economic factors

Social factors

Technological factors Political factors

Legal factors

The Factories Act

The Apprentices Act

The Employment Exchanges Act

The Contract Labour Act

Bonded Labour System Act

The Child Labour Act

The process of recruitment is influenced by a variety of environmentalfactors.

Situational factors impacting recruitment


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Recruitment

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Merits and demerits of hiring people from

within Merits(i) Economical: The cost of recruiting

internal candidates is minimal. Noexpenses are incurred onadvertising.

(ii) Suitable: The organisation can pickthe right candidates having the

re uisite skills. The candidates canchoose a right vacancy where theirtalents can be fully utilised.

(iii) Reliable: The organisation hasknowledge about the suitability of acandidate for a position. Knowndevils are better than unknown

angels!.(iv) Satisfying: policy of preferringpeople from within offers regularpromotional avenues for employees.It motivates them to work hard andearn promotions. They will workwith loyalty, commitment andenthusiasm.

Demerits

(i) Limited choice: The organisation isforced to select candidates from a limitedpool. It may have to sacrifice uality andsettle for less ualified candidates.

(ii) Inbreeding: It discourages entry oftalented people, available outside an

organisation. xisting employees may failto behave in innovative ways and injectnecessary dynamism to enterpriseactivities.

(iii) Inefficiency: Promotions based on lengthof service rather than merit, may prove tobe a blessing for inefficient candidates.They do not work hard and prove their

worth.(iv) Bone of contention: Recruitment fromwithin may lead to infighting amongemployees aspiring for limited, higher-levelpositions in an organisation. s years rollby, the race for premium positions mayend up on a bitter note.


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Merits and demerits of hiring people

from outsideMeritsWide choice: The organisation has thefreedom to select candidates from alarge pool. Persons with re uisiteualifications could be picked up.

Injection of fresh blood: People withspecial skills and knowledge could be

hired to stir up the existing employeesand pave the way for innovative ways ofworking.Motivational force: It helps inmotivating internal employees to workhard and compete with externalcandidates while seeking career growth.

uch a competitive atmosphere would

help an employee to work to the best ofhis abilities.Long term benefits: Talented peoplecould join the ranks, new ideas could findmeaningful expression, a competitiveatmosphere would compel people to giveof their best and earn rewards, etc.

DemeritsExpensive: Hiring costs could go upsubstantially. Tapping multifarious sourcesof recruitment is not an easy task, either.

Time consuming: It takes time toadvertise, screen, to test and to select

suitable employees. Where suitable onesare not available, the process has to berepeated.Demotivating: xisting employees whohave put in considerable service mayresist the process of filling up vacanciesfrom outside. The feeling that theirservices have not been recognised by the

organisation, forces them to work with lessenthusiasm and motivation.Uncertainty: There is no guarantee thatthe organisation, ultimately, will be able tohire the services of suitable candidates. Itmay end up hiring someone who does notfit and who may not be able to adjust inthe new set-up.


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Internal methods

Methods Of Recruitment

Promotions and transfers: Promotion is the movement of an

employee from a lower level position to a higher level position with

increase in salary

Transfer, on the other hand, is a lateral movement within the same

grade, from one job to another.

Job posting: It is a method of publicising job openings on bulletin

boards, electronic media and similar outlets by a company.

Employee referrals: It is a kind of recommendation from a current

employee regarding a job applicant.


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Possible benefits and costs ofemployee referrals

Recommender gives a realistic picture about the job. The applicant can

weigh the pros and cons carefully before handing over the CV. The

applicant is more likely to accept an offer if one is made and once

employed, to have a higher job survival.

Its an excellent means of locating potential employees in thosehard-to-fill positions. The recommender earns a reward and the

company can avoid expensive recruiting search in case the

candidate gets selected.

Recommenders may confuse friendship with job competence.

actors such as bias, nepotism, and eagerness to see theirfriends in the company may come in the way of hiring a suitable

candidate.


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Direct methods

Campus recruitment

It is a method of recruiting by visiting and participating in college

campuses and their placement centres. Possibly the most popular

way of hiring the best brains in the country, this method has to be

used with lot of care and caution. Campus hiring, of course, is noteasy.


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Common Mistakes made in campusrecruiting

Failure to utilise a full-time professional recruiter: Often recruitment is used asa training experience for new employees. This results in rapid turnover in therecruitment office.

The recruiter is not professionally trained in interviewing: Professionallytrained as used here means a minimum training period of three days of principlesand practices using live interviews that are audio or videotaped and criti ued.

The recruiter does not have the authority to make decisions with regard to

hiring: Often this is reserved for the boss, who does not know how to conduct anevaluation interview.

The actual plant visit is mishandled: Recruits are left waiting for scheduledappointments, constant interruptions occur during the visit, arrangements by theinstitute may not be upto the mark, prior shortlisting of students is not arranged,

etc.

The recruiter does not get involved in the development of the new

employee: Because the recruiter often has the best rapport with the newemployee, he or she should become involved.


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Guidelines for campus recruiting

Shortlist campuses

Choose recruiting team carefully

Pay smartly, not highly

Present a clear image

Do not oversell yourself

Get in early

Not everyone fits the bill


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Indirect methods

Newspaper advertisements

Television and radio advertisements

Third party methods

Private employment search firms

mployment exchanges

Gate hiring and contractors

Unsolicited applicants/walk-ins

Internet recruiting


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Recruitment

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Alternatives to recruiting

Overtime: Short term fluctuations in work volume could best be solved through

overtime. The employer benefits because the costs of recruitment, selection and training

could be avoided. The employee benefits in the form of higher pay. However, an

overworked employee may prove to be less productive and turn out less than optimal

performance. mployees may slow down their pace of work during normal working

hours in order to earn overtime daily. In course of time, overtime payments become uite

routine and if, for any reason, these payments do not accrue regularly, employees

become resentful and disgruntled.

Subcontracting: To meet a sudden increase in demand for its products and services,

the firm may sometimes go for subcontracting instead of expanding capacities

immediately. xpansion becomes a reality only when the firm experiences increased

demand for its products for a specified period of time.M

eanwhile, the firm can meetincreased demand by allowing an outside specialist agency to undertake part of the

work, to mutual advantage.

Cont


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Temporary employees: Employees hired for a limited time to perform a specific job

are called temporary employees. They are particularly useful in meeting short term

human resource needs. short term increase in demand could be met by hiring

temporary hands from agencies specialising in providing such services. Its a big

business idea in United States these days ($3-$4 billion industry). In this case the firm

can avoid the expenses of recruitment and the painful effects of absenteeism, labour

turnover, etc. It can also avoid fringe benefits associated with regular employment.

However, temporary workers do not remain loyal to the company; they may take more

time to adjust and their inexperience may come in the way of maintaining high uality.

Employee leasing: Hiring permanent employees of another company who possess

certain specialised skills on lease basis to meet short-term re uirements although

not popular in India is another recruiting practice followed by firms in developed

countries. In this case, individuals work for the leasing firm as per the leasing

agreement/arrangement. Such an arrangement is beneficial to small firms because it

avoids expense and problems of personnel administration.


Cont


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Outsourcing: Any activity in which a firm lacks internal expertise and re uires on

unbiased opinion can be outsourced. Many businesses have started looking at

outsourcing activities relating to recruitment, training, payroll processing, surveys,

benchmark studies, statutory compliance etc., more closely, because they do not

have the time or expertise to deal with the situation. HR heads are no longer

keeping activities like resume management and candidate sourcing in their daily

scrutiny. This function is more commonly outsourced when firms are in seasonal

business and have cyclical stuffing needs.



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Time lapse data: they show the time lag between the date of

re uisition for manpower supply from a department to the actual

date of filling the vacancies in that department

Yield ratios: they show the number of contacts re uired to

generate a given number of hires at a point of time.

Surveys and studies: they could be carried out to find out the

suitability of a particular source for certain positions.

Evaluation of the sources ofrecruitment


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Recruitment Policies And Procedures

A recruitment policy indicates the organisations code of conduct in aspecific area.

Recruitment policy statementIn its recruitment activities, the company will:

Advertise all vacancies internally

Reply to every job applicant promptly

Inform job applicants the basic details and job conditions of every jobadvertised

Process all applications with efficiency and courtesy

Seek candidates on the basis of their ualifications

Aim to ensure that every person invited for interview will be given a fairand thorough hearing

Cont


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The company will not:

Discriminate unfairly against potential applicants on the basis of sex, race,religion, caste, etc.;

Knowingly make any false or exaggerated claims in its recruitmentliterature or job advertisements

A recruitment procedure will lay down a clear path to be followed by

the HR department while hiring people. Of course, the procedures

have to be framed in a flexible manner so as to permit the HR

department to respond to the re uests made by various departments

and by potential candidates uickly.

Recruitment Policies And Procedures


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Questions to be asked while hiringpeople

Has the vacancy been agreed by a responsible manager?

Is there an up-to-date job description for the vacancy?

What are the conditions of employment for the vacancy (salary, hours of work,fringe benefits, per uisites, holidays, etc.)?

Has a personnel specification/candidates profile (in terms of physi ue,intelligence, aptitude, ualifications experience, etc.) been prepared?

Has a notice of the vacancy been circulated internally?

Has a job advertisement been agreed? Have details of the vacancy beenforwarded to relevant agencies?

Do all potential candidates (internal or external) know where to apply and in whatform?

What are the arrangements for drawing up a shortlist of candidates?

What about the interviewing dates and arrangements for selection of candidates? Have the shortlisted candidates or waitlisted candidates been informed

sufficiently in advance and asked to furnish detailed references?

Have unsuitable candidates or waitlisted candidates been informed of theirposition in a polite way thanking them for their interest and attendance?


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Recruitment: Indian Experiences

Recruitment of trainees:expectations of Indian companies

Pepsi: Pepsi is a flat organisation. There are a maximum of four reporting levels.

Executives here emphasise achievement, motivation, the ability to delivercome what may. As the Personnel Manager of Pepsi oods remarked we

hire people who are capable of growing the business rather than just growing

with the business. Recruitees must be capable of thinking outside the box,

cutting the cake of conventional barriers whenever and wherever necessary.

They must have a winners mindset and a passion for creating a dynamic

change. They must have the ability to deal with ambiguity and informality.

Cont


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Reebok: As Reeboks customers are young, the company places emphasis on

youth. The average age at Reebok is 26 years. Employees are

expected to have a passion for the fitness business and reflect the

companys aspirations. Recruitees should be willing to do all kinds of job

operations. The willingness to get ones hands dirty is important. They must

also have an ability to cope with informality, a flat organisation and be able to take

decisions independently and perform consistently with their clearly defined goals.

Indian Hotels: The Taj group expects the job aspirants to stay with the

organisation patiently and rise with the company. Employees must be

willing to say yes sir to anybody. Other criteria include: communication

skills, the ability to work long and stressful hours, mobility, attention to

personal appearance and assertiveness without aggression.

Recruitment of trainees:expectations of Indian companies


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Recruiters these days expect B-school graduates to possess certain

skills:

1. Ability to work in a team

2. Analytical and problem solving skills3. Communication and other soft skills

4. Creativity and resourcefulness

5. Leadership potential

6. General Managerial skills

7. Entrepreneurial skills

Skills recruiters want in India

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