Human Resource Management

HUMAN
RESOURCE
MANAGEMENT
HUMAN RESOURCE MANAGEMENT
Unit - 2
 Recruitment Process

Course
Selection Process
Outline
Training & Development
Introduction
 Introduction

Definition
 RECRUITMENT

The Process of generating a pool of qualified candidates for a

particular job.

OR

The Process of discovering potential candidates.

 RECRUITMENT

Definition:
Recruitment is the process of searching for prospective
employees and stimulating them to apply for jobs in the
organizations.
Selection starts where
recruitment ends.
RECRUITMENT GOALS
1

Attract the Qualified Applicants.

Encourage Unqualified Applicants to self-

select themselves out.
RECRUITMENT IS A TWO-WAY STREET
Applicants are Looking
Organization is Looking
for the Potential
for a Qualified RECRUITMENT Placement's
Applicants
Opportunities
Recruitment Needs
 Recruitment Needs

1. Planned: The employment needs arising from changes

in organization and retirement policy.

2. Anticipated: Anticipated needs are those movements in

personnel, which an organization can predict by
studying trends in internal and external environment.

3. Unexpected: Resignation, Deaths, Accidents, Illness

give rise to unexpected needs.
Nature of Recruitment
Nature of Recruitment

❖First step of appointment.

❖Continuous process ( identifying sources of human force, attracting

and motivating them to apply for the jobs in organizations.)

❖Positive process.

❖Fulfills both present and the future needs.

Importance of Recruitment
 Importance of Recruitment
❑ Recruitment process attracts and encourages more and more candidates to
apply in the organization.

❑ A good recruitment process can minimize the time involved in the

searching, interviewing, hiring and training.
❑ Recruitment provides organization with a pool of qualified candidates.

❑ The more qualified the pool the better the success rate in selection of
qualified employees.

❑ Recruitment can increase organizational effectiveness.

 Importance of Recruitment
The number should neither be too large nor small as:

a. Attracting too many candidates requires sorting out large number of

applications which is time consuming and also costly, and

b. Attracting too few applicants limits the choice for the suitable candidate.
Recruitment Process
 RECRUITMENT PROCESS
ORGANIZATION CANDIDATE

Receive Education and choose

Vacant or New position occurs
Occupation

Generate candidate pool via internal

Acquire Employment Experience
or external recruitment methods

Evaluate Candidates via Selection

Search for Job Openings
process

Impress Candidates Apply for jobs

Impress Company during Selection

Make Offer
process

Evaluate Jobs and Companies

Accept or Reject Job Offers

 Recruitment Process

A recruitment process is an organized

approach towards searching new talent and
introducing them to the organization.
In the absence of a systematic recruitment
process, the cost of employee acquisition
will rise.
The steps involved in the recruitment
process:
 Recruitment Process
Identifying Job Requirement:
The recruiter first recognizes the job opening regarding the department in which the
vacancy is, number of vacancies and urgency of hiring.

Preparing Job Description and Job Specification:

The next step is making a job description disclosing the job-related details like
designation, location, duties to be performed and required experience. The recruiter
also chalks out the job specification having information regarding the skills,
qualification, the area of expertise, etc.
 Recruitment Process

Advertising the Vacant Position: A job vacancy is advertised through

newspapers, brochures, job portals, consultancies, etc. It ensures that the
maximum number of relevant candidates can apply for the job.

Attracting Candidates to Apply for Job: The recruiter needs to provide

proper assistance and guidance to the candidates willing to apply for the
job.
 Recruitment Process

Managing Applications: The recruiter has to arrange the applications in an orderly

manner to simplify the task of scrutinizing them.

Scrutinising Applications: Next step is the initial investigation of the applications

to go through the candidate’s profile thoroughly.

Shortlisting Candidates: By scrutinizing the applications, candidates with the

matching profile are picked out for the process of selection.
Sources of Recruitment
Sources of Recruitment
Sources of Recruitment
Internal Sources of Recruitment
 Internal
Recruitment

Internal recruitment is the process

of filling job openings within a
company by considering current
employees who might be a suitable
fit for these roles.
 Promotions

Promotions involve moving an

employee to a higher position with Pros Cons
increased responsibilities, usually Can create competition
Increases employee
and tension among
motivation and loyalty.
accompanied by a pay raise. employees.
Encourages other Risk of promoting
Example: Promoting a team leader to employees to work beyond an employee’s
a department manager. towards promotions. level of competence.
 Transfers

Transfer involves shifting of persons Pros Cons

from present jobs to other similar
Provides employees Can be disruptive to
jobs. These do not involve any with new challenges the employee’s
change in rank, responsibility or and experiences. personal life.
prestige. The numbers of persons do
not increase with transfers. Helps fill vacancies Might lead to a
and balance temporary decrease in
workloads across the productivity as the
organization. employee adjusts.
Example: Transferring a branch manager to a
different branch.
 Job Posting

Posting notice of job openings on company

bulletins boards, email, intranet,newsletter
is an effective internal recruiting method.

It informs employees about openings &

required qualifications & invites qualified
employees to apply.
 Departing Employees
Departing employees are those who leave
the organization because they can no
longer work the traditional forty-hour
workweek, childcare needs, education or
others are the common reasons.
Retirement

The retired employees may be given

the extension in their service in case of
non- availability of suitable
candidates for the post
 INTERNAL SOURCES
ADVANTAGES DISADVANTAGES
➢Morale of Promotee ➢Possible morale
➢Better assessment of abilities
problems of those not
➢Lower cost for some jobs
promoted
➢Motivator for good performance
➢ “Political” infighting
➢ Causes a succession of
for promotions
promotions
➢Need for management-
➢Have to hire only at entry level Development program
External Sources of
Recruitment
 External Sources of
Recruitment

External recruitment refers to the practice

of hiring individuals from outside the
organization to fill open positions.

This method is designed to attract a diverse

range of candidates through channels such
as job boards, social media, referrals, and
recruitment agencies.
Advertisement
Print, radio and TV advertising

When an organization wishes to

communicate to the public that it has a
vacancy then advertisement is one of
the popular method used.

Want ad describes the job, the benefits

and tells those who are interested how
to apply.
Advertisement
Print, radio and TV advertising

Pros: Cons:
•Can be industry targeted •Advertising can be very expensive

•Wide audiences •Time consuming

•Can target your local area •May receive large numbers of

unsuitable applications
 Employee Referrals/Recommendations:

Recommendation from a current employee refers

to employee referrals. An employee will
recommend if he believe the individual can
perform adequately. Employee referrals also may
have acquired more accurate information about
their potential jobs than could be conveyed
through employment agencies or newspaper
advertisement.
 Recruitment Agencies

Established recruitment
agencies with a well-developed
reputation can draw on their existing
candidate base, as well as advertise
for additional candidates, to help you
connect with top-caliber jobseekers.
 Recruitment Agencies

Cons:
Pros:
•Can be expensive
•Faster process
•May miss candidates not
•Sifting and shortlisting is done by the agency registered with an agency

•Only pay for successful hires •Lack of in-depth knowledge of

your business
Professional Associations

It includes labor unions; operate placement services for the benefit

of their members. The Professional organizations include such
varied occupations as industrial engineering, psychology,
accounting, legal, academics.
 Professional Associations

Pros: Cons:
•Membership allows you access to directories •Can be time consuming

•Can target to specific professions •May have to rely on an employee’s

membership to gain access
•Raises your business profile within specific
professions •Association memberships can be expensive
 Whatever the educational level required for the
On-campus college job involves a high-school diploma, specific
recruiting
vocational training, or a college background with
a bachelor’s, post-graduation, or doctoral
degree, educational institutions are an excellent
source of potential employees.

Sending an employer’s representatives to college

campuses to pre-screen applicants and create an
applicant pool from the graduating class.
 On-campus college recruiting

Pros: Cons:
•Allows you to connect with potential •Candidates may use their first role as a
candidates early steppingstone

•Enables you to source qualified candidates •Recruits will require opportunities to

for entry-level positions develop their professional skills

•Enhances your business name and brand in •High competition from other recruiters
the job market
 Temporary Helps Service

These types of different organization can be a source of employees

when individuals are needed on a temporary basis. Temporary
employees are particularly valuable in meeting short-term
fluctuations in HRM needs.
 Unsolicited Application
Casual Callers

Many job seekers visit the office of well-known companies on their own.

Moreover, without encouragement from other sources applicants go

directly to the organization. In addition, courteous treatment of any
applicant is a good business practice.
 Labor Union

In certain occupations like construction, hotels, maritime industry etc., (i.e., industries
where there is instability of employment) all recruits usually come from labor union.

It is advantageous from the management point of view because it saves expenses of

recruitment.

However, in other industries, unions may be asked to recommend candidates either as a

goodwill gesture or as a courtesy towards the union
 EXTERNAL SOURCES
ADVANTAGES DISADVANTAGES
➢ New “blood” brings new ➢ May not select someone who will
perspectives “fit” the job or organization
➢ Cheaper and faster than training ➢May cause morale problems for
➢ Professionals internal
➢No group of political supporters in ➢ Candidates not selected
company ➢Longer “adjustment” or orientation
➢ Organization already time
➢ May bring new industry insights
RECENT TRENDS IN RECRUITMENT
 RECENT TRENDS IN RECRUITMENT
E-RECRUITMENT

➢ Internet as a source of
recruitment.

➢ The job seekers send their

applications or curriculum vitae
i.e. CV through e mail.

➢ Alternatively, job seekers place

their CV’s in worldwide web.
 Advantages of e-recruitment

• Low cost
• No intermediaries
• Reduction in time for recruitment
• Recruitment of right type of people
• Efficiency of recruitment process
 RECENT TRENDS IN RECRUITMENT

OUTSOURCING

➢A company may draw required personnel from outsourcing firms.

➢The outsourcing firms conducts the initial screening of the candidates
according to the needs of the organization.
➢In turn, the outsourcing firms charge the organizations for their services.
 RECENT TRENDS IN RECRUITMENT
Advantages of Outsourcing

➢Company need not plan for human resources much in advance.

➢Value creation, operational flexibility and competitive advantage.
➢Company is free from salary negotiations, weeding the unsuitable
resumes/candidates.
➢Company can save a lot of its resources and time.
POACHING / RAIDING

Illegal hunting or capturing of wild animals

 animal
POACHING / RAIDING

Buying talent rather than

developing it is the new
mantra of the corporate world.
Offering attractive pay packages,
higher perks and better terms
and conditions.
Factors Influencing Recruitment
Internal Factors
 Internal Factors

Size of the Organization

The organization’s size and the number of employees employed are the
most important factors affecting the recruitment process. If the
organization is planning to increase its operations and expand its business,
it will think of hiring more personnel, which will handle its operations.
Generally larger organizations find recruitment less problematic than
organizations with smaller in size. Besides this the growth and expansion
plans of the organization also affect recruitment process.
 Internal Factors

Human Resource Planning

Effective human resource planning helps in determining the gaps

present in the existing manpower of the organization.
It also helps in determining the number of employees to be
recruited and what qualification they must possess.
 Internal Factors

Recruitment Policy

The recruitment policy of the organization i.e. recruiting from internal sources and
external also affect the recruitment process.
The recruitment policy of an organization specifies the objectives of recruitment
and provides a framework for implementation of recruitment program.
It may involve organizational system to be developed for implementing recruitment
programs and procedure by filling up vacancies with best qualified people.
 Internal Factors

Organizational objectives.

Personnel policies of the

Factors organization.
Affecting Government policies on
reservations.
Recruitment
Policy Preferred sources of recruitment.

Recruitment costs and financial

implications.
 Internal Factors

Image of the Organization

Organization’s image has its impact and influence on its recruitment process.
Good image of the organization helps in attracting and stimulating potential
and competent candidates to apply for the organization.

Managerial overt and covert actions such as good public relations, rendering
public services like building roads, hospitals, schools and public parks earn
image and goodwill for organization.
 Internal Factors

Image of Job

Just like the image of organization, the image of a job plays a critical role in
recruitment.

Jobs having a positive image in terms of better remuneration, promotions,

recognition, and good working environment with career development
opportunities are the characteristics to attract qualified candidates.
 Internal Factors

Cost Involved In Recruitment

Cost of recruiting is yet another internal factor that must be considered. Recruiting costs are
calculated per new hire and the figure is considerable nowadays. Recruiters must, therefore,
operate within budgets. Careful HRP and forethought by recruiters can minimize
recruitment costs.

The best solution is to use proactive personnel practices to reduce employee turnover, thus
minimizing the need for recruiting. Evaluating the quality, quantity and costs of recruitment
helps ensure that it is efficient and cost-effective.
 Internal Factors

Growth and Expansion

Organization will employ or think of employing more personnel if it is

expanding its operations.
External Factors
 External Factors

Demographic Factors

Demographic compositions such as age,

education, literacy rate, economic status of
the society and nation have profound
influence on recruitment process of any
organization.
 External Factors

Unemployment Situation

The unemployment rate is another important

external factor that influences recruitment process.
When the rate of employment is high in a locality, the
recruitment process becomes simpler and easier
because of abundant availability of best-qualified
applications and recruitment process tends to
become difficult with low rate of employment.
 External Factors

Supply and Demand

If the demand for a specific skill in the labor market is high relative to the supply, an
extraordinary recruiting effort may be needed.

For instance, the demand for programmers and financial analysts is likely’ to be higher
than their supply, as opposed to the demand- supply relationship for non-technical
employees.
 External Factors

Labor Laws

There are quite a good number of labor laws and regulations formulated
and implemented by the central and state governments such as the
Company Act, 1991, and the Mines Act, 1952 etc. deal with recruitment
and govern employment conditions and living conditions of employees etc.
 EVALUATION OF A
RECRUTIMENT PROGRAM
 EVALUATION OF A
RECRUTIMENT PROGRAM

• The recruitment policies, sources &

methods must be evaluated from time
to time.
• Successful recruitment program shows
✓ No. of successful placements
✓ No. of offers made
✓ No. of applicants
✓ Cost involved
✓ Time taken for filling up the position
 RECRUITING EVALUATION

Quality of
Quantity of
Applicants Applicants

As the goal of a good recruitment In addition to quantity, the issue arises as to

program is to generate a large pool whether or not the qualifications of the applicant
pool are sufficient to fill the job openings. Do the
of applicants from which to choose,
applicants meet job specification and do they
quantity is a natural place to begin perform the jobs well after hire?
evaluation

Evaluating Recruiting
Yield Ratio Costs and Benefits

A comparison of the number of In a cost/benefit analysis to evaluate recruiting

efforts, costs may include both direct costs
applicants at one stage of the
(advertising, recruiters’ salaries, travel, agency
recruiting process to the number at fees, telephone) and the indirect costs
the next stage. (involvement of operating managers, public
relations, image).
 RECRUITING EVALUATION Cont . . .

Using Yield Ratios to Determine Needed Applicants:

300 Applicants
Initial Contacts/Final Interview
(Yield ratio = 3:1)

100 Final Interviews

Final Interview/Offers
(Yield ratio = 2:1)

50 Offers
Offers/Hires
(Yield ratio = 2:1)

25 Hires
THANK YOU

Madhukumar.K
Faculty of Law
madhukumar@pes.edu
+91 80 2672 9559 Extn: 377