Chapter 5:

Recruiting

Job

Candidates

The Recruiting Process

• Matches employees with jobs and creates a reasonable pool of qualified candidates for a job opening.

• Process should be efficient because costs of recruiting, selecting, and training are often more than 100% of employees’ annual salaries.

• Thumb rule: 15 to 25 qualified candidates for each job opening.

2Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

External Forces Acting On

Recruiting Efforts• Labor Market

– The external pool of candidates from which recruits are drawn.

• Supply and Demand and the Unemployment Rate– If unemployment is high, the job of recruiting is generally

easier.

• Competitors– A high number of competitors means a more difficult

recruiting environment.

• Social and Legal Environments– The social environment affects the ability to recruit new

people.

– The legal environment requires abiding by all EEO laws.

3Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Organizational Recruiting

Considerations

• What Policies to Set: The policies will determine the actions on the four other recruiting considerations.

• When to Recruit: We recruit when we need someone to fill a job.

• Alternatives to Recruitment: Do we have a viable and financially feasible way to solve our shortage other than recruitment?

4Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Organizational Recruiting

Considerations

• Reach of the Recruiting Effort: We need

to identify our effective labor market.

• Social Media Recruiting: Social media

can provide recruiters with much more

reach.

5Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Internal Recruiting

• Internal Recruiting: Filling job openings

with current employees or individuals

known by current employees

• Internal Recruiting Sources

– Promotions or lateral moves from within

– Promotions leave vacancies that may

need to be recruited externally

– Employee referrals

6Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Internal Recruiting:

Advantages

• Promotions and requested lateral moves increase organizational commitment and job satisfaction

• Recruits know the “back channels” of the organization.

• Recruit has interest in organization, knowledge of operations and processes, and comfort continuing to work in the company.

7Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Internal Recruiting:

Advantages

• Organization has existing knowledge of

internal employees.

• Internal is usually quicker than external

recruiting and saves money.

8Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Internal Recruiting:

Disadvantages

• Applicant pool is significantly smaller.

• Hiring from within opens another position to

fill.

• Success in one job doesn’t mean success in

a different job.

• External candidates may have better

qualifications.

9Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Internal Recruiting:

Disadvantages

• Internal employees may feel entitled to the

job.

• It may create or perpetuate resistance to

change.

• It may stifle creativity and innovation if the

individual is already immersed in the

organization’s culture.

10Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

External Recruiting

• External Recruiting: Engaging

individuals from labor market outside

the firm to apply for a job.

• It can be accomplished in an open or

targeted manner.

11Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

External Recruiting Sources

• Walk-ins

• Educational institutions

• Employment agencies

– Temporary agencies

– Public (state employment) agencies

– Private agencies• General

• Contingency and retained agencies

• Retained search firms/executive recruiters

• Advertising

12Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Exhibit 5-2 Major Recruiting Sources

13

Lussier and

Hendon,

Fundamentals of

Human Resource

Management. ©

2017, SAGE

Publications.

External Recruiting:

Advantages

• Avoids creating or perpetuating

resistance to change

• Finds individuals with complex skill sets

who are not available internally

• Lowers training costs by hiring

someone with the requisite skills

• Increases organizational diversity

14Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

External Recruiting:

Disadvantages

• Disruption of introducing different ways of operating

• Takes more time and training costs

• May adversely affect current employees’ motivation and satisfaction due to a perceived inability to move up in the organization

• External hires have no history with the firm

15Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Challenges and Constraints

in Recruiting

• Budgetary Constraints

• Policy Constraints and Organizational

Image

• Job Characteristics and Realistic Job

Previews (RJP)

• The Recruiter – Candidate Interaction

16Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.

Exhibit 5-2: Evaluation of Recruiting Programs

17

Lussier and

Hendon,

Fundamentals of

Human Resource

Management. ©

2017, SAGE

Publications.

Trends and Issues in HRM

• Talent Wars

– A global war for talent has become a

reality.

• Global Knowledge Workers

– We will increasingly see a much larger

number of contingent workers as a

segment of the overall workforce.

18Lussier and Hendon, Fundamentals of Human Resource Management. © 2017, SAGE Publications.