HRM Section 3 Recruitment & Selection.ppt

8/13/2019 HRM Section 3 Recruitment & Selection.ppt

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RECRUITMENT

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Recruitment and selection

Recruitment

is the process of generating a pool of capable people

to apply for employment to an organization.

Selection

is the process by which managers and others use

specific instruments to choose from a pool of

applicants a person or persons most likely to succeed

in the jobs, given management goals and legalrequirements.


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Recruitment and selection are vital to the formation ofa positive psychological contract, which provides the

basis of organizational commitment and motivation.

The attraction and retention of employees is part of

the evolving employment relationship, based on a

mutual and reciprocal understanding of expectations.


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There are wide variations in recruitment and selectionpractices, reflecting an organizations strategy and its

philosophy towards the management of people.

Progressive HR practices are crucial to a positive

psychological contractthis includes attention to

effective recruitment and selection practices.


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Factors Governing Recruitment - External

Supply & Demand

Unemployment Rate

Labour MarketPolitical-legal

Sons of Soil

Image

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Factors Governing Recruitment - Internal

Recruitment Policies

HRP

SizeCost

Growth & Expansion

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The Selection Process

The most important HR decision iswhom to hire

Initial

Selection

Substantive

Selection

ContingentSelection

Applicants who dont meet

basic requirements are

rejected.

Applicants who meet basic

requirements, but are less

qualified than others, are

rejected.

Applicants who are among

best qualified, but who fail

contingent selection, are

rejected.

Applicant receives job

offer.


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Stage 1: Initial SelectionInitial selection devices are used to

determine if basic qualifications for

the job are met

Devices include: Application Forms

Good initial screen

Must be careful about questions asked legal issues


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Stage 2: Substantive SelectionThese devices are the heart of the

selection process Written Tests

Testing applicants for: intelligence or cognitive ability,personality, integrity, and interests

Intelligence tests are the best predictor across all jobs

Performance Simulation Tests Based on job-related performance requirements

Work Sample Tests

Creating a miniature replica of a job to evaluate theperformance abilities of job candidates

Assessment Centers

A set of performance-simulation tests designed toevaluate a candidates managerial potential


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Another Substantive Selection DeviceInterviews

Are the most frequently used selection tool Carry a great deal of weight in the selection process Can be biased toward those who interview well

Types of Interviews Unstructured (randomly chosen questions)

Most common, least predictive, and prone to bias Structured (standardized sets of questions) More predictive of job success; less chance for bias

Behavioral structured (asking how specific problems werehandled in the past) Past behaviors may be good predictors of future behavior

Interviews most often used todetermine organization-individual fit


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Stage 3: Contingent SelectionFinal checks before hiring

Background Checks Most employers want reference information, but

few give it out litigation worries

Letters of recommendation are of marginal worth May use criminal record or credit report checks

Drug testing Controversial: perceived to be unfair or invasive

U.S. Supreme Court ruled that this is not aninvasion of rights

Expensive but accurate

Alcohol not generally tested for


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Recruitment Planning Recruiting Yield

An example

Initial Contacts : 2000

Invited for Screening Interviews : 200 ( 10:1)

Invited for Final Interview : 40 ( 5:1)

Job Offers : 30 ( 4:3)

Joinees : 20 ( 3:2)

Yield ratio is 2000: 20 : 100:1

The yield ratios will differ from company to company, position to

position

The yield ratios would also depend on the market situation, e.g.,booming market, recessionary market etc.


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Recruitment SourcesHaving arrived at number of contacts to

be made, the Recruitment team has to

decide on sources of contacts

External Sources : Advertising Advertising Media :

Print Media - Newspapers, Magazines, Hoardings etc

Internet Portals like Naukri, Monster, Jobstreet etc.

Electronic Media TV, Radio

Inserts Target Localities

Cafes, Restaurants How?


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Recruitment SourcesEmployment Agencies & Search Firms

Have a large pool of resources Capable of headhunting

Can Target specific organizations

Costs vary from 1 months salary going upto even 25% ofannual CTC

Post the recession hiring organizations are negotiating lowerfees

Good Agencies have networks with other agencies andshare the fees

Number of international search firms are in India now

Pitfalls The agency should Understand the job description well

Be able to screen

Should not be forwarding CVs downloaded from portals


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Recruitment Sources Contractors

They keep people on their roles and offer them to thecompanies at a monthly fee

At times there is a hire clause, say after six months ofcontracting with or without a fee

Disadvantages in India

Good candidates may not like to get attached to acontractor

Some low end contractors pay out salaries based on cashflow from their customer in India a contractor wouldtypically need around three months salary as working

capital

Very popular in the US / Europe

Some overseas companies (clients/contractors)popularizing this in India


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Recruitment Sources Employment Exchanges

Around 1000 exchanges exist in India All set up under The Employment Exchanges

(Compulsory Notification of Vacancies) Act, 1959

Act requires all Industrial Establishments to notify thevacancies before they are filled in

Particularly useful in recruiting blue collar, white collarand technical workers

In 2003, 945 exchanges had a total no. of:

5.46 M registered applicants

Placed 0.15 M (8.1%) Had 0.26 M vacancies notified (60.5% filled)


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Recruitment Sources Professional & Trade Associations

Good Source for domain / technology based hiring The entire membership community of the association

can be targeted through this means

Job openings can be communicated through:

Advertisement in Association Publications

Advertisement in the Associations Web Page

Setting up a counter in an Associations exhibition

Posters / Fliers in Associations events like seminars /conferences

Useful for highly qualified and trained resources Very useful for hard-to-fill technical positions


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Recruitment SourcesJob Fairs

Usually hosted by a Recruitment Agency or Print Media,e.g., The Hindu Job Fair, Times Jobs etc.

Sponsored by large organizations who see it as abranding exercise also

Tests / Interviews are conducted in the fair itself andeven offers made in some cases

Very useful for filling entry level positions like ITESexecutives etc.

For lateral hires, recruiters use this forum to do the

initial screening and shortlisting for further processing For certain levels of hiring very cost effective


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Recruitment SourcesEmployee Referrals

Through an internal posting existing employees areencouraged to refer candidates from their friendscircle etc.

For a successful hire, the referring employee is paid

an incentive Works very well in most organizations

The referring employee knows the requirements andculture of the company well and hence is able tocommunicate that to the referred candidate

Screening requirements are much less

Attrition of selected candidates is less

Does not work well in a situation where the existingemployees are not happy


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Recruitment SourcesCampus Hiring

Primarily used for hiring freshers In some campuses lateral hiring can also be done

Steps:

Pre-Placement Presentation

Notification of openings

Receipt of Applications

Initial Screening

Selection Tests

Interviews

Offers

Care has to be taken in choosing colleges, getting an earlyslot

Best to avoid agents

The recession effect on Campus Hiring


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Recruitment SourcesCampus Hiring

Companies very successful in this method are HindustanUnilever, TCS, Infosys, WIPRO, HCL, ICICI Bank, MNC Banksand Financial Institutions

Bigger companies have a Campus Connect program

Getting involved in various exchange programs with few

selected colleges Programs to provide specific training inputs to faculty

Weekend training programs for selected students helps inreducing training costs post their joining

Post joining deployment of Campus Hires have to be wellplanned to avoid high bench costs

Some organizations like Oracle India run Off-Campus hiringprograms through walk-ins

Captive campus hiring from specialized training institutesfor industries like airlines, hospitality etc.


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Recruitment Sources Other Sources

Outplacement Firms New in India. They normally providefree job postings on their websites.

Direct Mails mailing list is a bottleneck

Former Applicants Database is always a problem.Companies do not want to invest in Database upkeep

Former Employees Good idea to check the exit interview Interns/ Summer Trainees potential pool

Special Interest groups like older workers, housewives,physically challenged people

Internal Sources Word of mouth Reference from previous or existing manager

For wider coverage best done through Internal Job Posting

Scanning the present bench strength for AFDs


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Recruitment Sources Erecruitment

Companys own website.

Make Job Listings easily accessible

Keep Postings current

Avoid slow-to-load images

Make the site navigable with hypertexts, e.g., an opening for a ProductManagers position can have a hypertext link to the Product details and

markets page in the website Respond to applicants quickly

Screen out unqualified candidates, e.g., Texas Instruments performs aFit Check for all on-line applicants and recruiters proceed afterreviewing the Fit Check results

Allow multiple job application options like on-line resume builder, Cut

and Paste options, Resume Upload etc. Provide information about the organization, its products & services, the

work culture, the benefits of working here

Provide other information like location of job, health cover, conveyance,housing, schools, recreational & cultural activities etc.


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Job Portals

Used by recruiters to download relevant resumes based on theirselection criterion

Used by companies to advertise open positions normally has a link tothe companys website

Pitfalls of CVs in portals is the age of the CV

Some portals offer services to aspiring candidates for resume writing,forced push to 500 1000 recruiters and tailored weekly emailshighlighting the weeks new openings in the candidates area ofinterest.

Some portals provide paid screening services to their clients for an

additional fee.

While postings jobs on these portals the same guidelines discussedearlier for Company portals need to be followed

Can be used by organizations to convey general messages, e.g., the HCLmessage on fraudulent mails


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Social Networking Sites

Linkedin, Facebook and Twitter are three of the best known

Recruiters have to tread carefully because of Privacy policies

Useful for sourcing resumes of people who are not looking for a change

Recruiter has to register as a user

Locate a profile and seek permission for getting included in the network

If the target candidate agrees then the recruiter becomes part of thenetwork and then can approach the target candidate for possibleinterest.

The other way is to request a networked person to recommend to thetarget person to include the recruiter in the network

Linkedin is, construct wise, the best.

A new method is to create interest groups in Facebook or Twitter andget people to enrol as fans or followers Viral Marketing

HRM Section 3 Recruitment & Selection.ppt

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