Transcript Chapter 7 Learning Objectives

Chapter 7
Recruitment
McGraw-Hill/Irwin
Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
1. Discuss how to develop an effective recruiting
program for an organization.
2. Describe the recruiting process: who does it, how
recruiters do it, and where do they find recruits.
3. Differentiate between realistic and unrealistic job
previews.
4. Determine a cost-benefit analysis of a recruiting
program.
5. Analyze different strategies that organizations might
use to recruit blue-collar, white-collar, managerial,
technical, and professional applicants.
7-2
Recruitment includes all activities that…
Influence the number and types of applicants
who apply for a job
Create a positive first impression with
prospective employees
Affect whether the applicants accept
the jobs that are offered
7-3
During the coming years, the
importance of recruitment will
increase
• A tight labor market will plague organizations
of all sizes
• Driven by retiring boomers and fewer young
people entering the workforce
• Many companies have developed retention
strategies
7-4
Before an organization can fill a job
vacancy, it must find people who
• Are qualified for the position
• Want the job
7-5
Whether people respond to the recruiting effort
depends on the attitudes they have
Toward the tasks
Toward the organization
How difficult the recruiting job is depends on
External Factors
Government and union restrictions
The labor market
Internal Factors
The employer’s requirements
Candidates’ preferences
7-6
To determine if an organization has violated the law,
government agencies review…
Recruitment sources
Recruiting advertising
Estimates of employment needs for the coming year
Number of applicants by demographic and job category
The evidence used to verify the legal right to work
7-7
7-8
The Immigration Reform and
Control Acting (IRCA) of 1986
requires employers to:
• Screen applicants’ eligibility
for employment
• Maintain records demonstrating
employment authorization
The Employer is the chief
enforcer under the IRCA, not
the Government
7-9
Recruiting, hiring,
or continuing
to employ
unauthorized aliens
Discrimination
on the basis of
citizenship
or national origin
IRCA Categories
Illegal aliens eligible
for temporary or
permanent
resident status
Verifying the identity
and work
authorization of
new employees
7-10
 All
employees are required to complete a
Form I-9 and file it with the employer to verify
their citizenship
 “E-Verify” system has been established to
allow employers to check employees’
immigration status
 Enforcement of the IRCA occurs through
payroll audits of employers by U.S.
Immigration and Customs Enforcement (ICE)
 Penalties for violations include fines, civil
penalties, and criminal penalties
A surplus of labor
means that even
informal recruiting
attempts will attract
sufficient applicants
Near full employment, skillful &
prolonged recruiting may be needed
The state of the economy affects how
many applicants are available
Boards and journals
Researching the
current employment
picture
State divisions of employment
security and labor
Federal Department of Labor
7-12
As legal requirements increase, it becomes more
important to analyze workforce composition
• Determine if employment practices are
discriminatory
• The number of minorities in the workforce affects
the number of minorities in the labor market
An aggressive diversity management program
is essential
• Diversity leads to enhanced competitiveness,
higher productivity, and increased customer
satisfaction
7-13
There is a complex interaction
between job applicants and
the organization trying to hire
them
• Techniques used and
sources of recruits vary
with the job
• Applicant’s abilities and past
work experience affect how
they seek a job
7-14
Things that affect recruiting
Recruiting
requirements
set
Organization
policies,
procedures
Organization
image
7-15
The process begins with a detailed job
description and job specification
• Without these, it is impossible for recruiters to
determine how well any applicant fits the job
• The recruiter must know which requirements are
essential and which are merely desirable
 This helps avoid unrealistic expectations
7-16
HRM policies, practices
can affect recruiting
• Recruiting from outside
only at the initial hiring
level
• Hiring only on referral
• Favoring disabled,
veterans, or ex-convicts
• Nepotism
7-17
It is easier for an organization with a
positive image to attract and retain
employees
 Recruitment is also easier for
organizations with a strong community
presence or positive name recognition

7-18
Job specifications may have to be
adjusted to meet realities of…
Government or union
The labor market
restrictions
Company policies
The company image
and procedures
If too few high-quality people apply for a job
Adjust the job to fit
the best applicant
Increase recruiting
efforts
7-19
The applicant’s abilities, attitudes,
and preferences are based on:
• Past work experiences
• The influence of parents, teachers, and others
These factors affect recruits in two
ways
• How they set their job preferences
• How they go about seeking a job
7-20
Recruits often have a set of job
preferences
Education and skill levels
Geographic location
Salary levels
Advancement opportunities
These recruits may not find the “ideal” job
7-21
Economic conditions
Barriers to finding
the “ideal” job
Government/union restrictions
Organizational
policies/practices
1. Choose an occupation
Making a job
selection
2. Choose an organization
7-22
Occupational choice is most heavily
influenced by parents, followed by
•
•
•
•
Teachers
Career counselors
Friends
Relatives
Organizational choice is influenced
by:
• Corporate image and size
• Satisfaction with recruitment
7-23
People who successfully find the
“right job” tend to follow similar job
search processes
• Self-assessment
• Information gathering
• Networking
• Targeting specific jobs
• Successful self-presentation
7-24
Information gathering and networking
can generate lists of potential employers and jobs
Newspapers, trade publications, college recruitment
offices, organizational “insiders,” and the Internet
The purpose of self-assessment is to recognize…
• Career goals, Interests and values, Preferred
lifestyles
7-25
When the job seeker has decided where to
send a resume, self-presentation becomes
critical
• Recruiters want resumes and cover letters that
are tailored to the position and are truthful
The cover letter and resume should include
1.The position you seek
2.Your specific job objectives
3.Your career objectives
4.The reason you seek employment
5.An indication that you know something about the
organization
7-26
 The
probability of success in an interview can
be increased using the techniques of
Impression Management
Self Presentation
Smiling
Making Eye Contact
Positive Tone of Voice
Appropriate Dress
High Level of Energy
Other-Enhancement
Doing Favors for Others
Using Flattery
Showing Interest in Others
Being an Active Listener
Agreeing With Others’ Opinions
Not all job seekers provide a truthful resume
Up to 95% of college students are willing to be
less than truthful when searching for a job
In the long run, little can be gained; falsification of
an application is typically grounds for dismissal
Successful job seekers prepare carefully for
interviews
Learn as much about the company as possible
Use “impression management” tactics
7-28
Most organizations must use
both internal and external
sources to find enough
applicants
• The choice of a recruiting
method can make all the
difference in the success
of the recruiting effort
7-29
Skills inventory
• Can be used to identify internal applicants for job
vacancies
Posting and bidding
• Bulletin boards and company publications
• Computerized posting accessible to employees via
the company’s intranet
 Software allows employees to match an available job
with their skills and experience
 It may also highlight where gaps exist
7-30
Inside Moonlighting
Used when
there
is a short-term
shortage
or no great
amount of
additional work
Workers can
be enticed to
take a
“second” job
with bonuses
So common
that some HR
departments
issue
moonlighting
policies
7-31
Employees’ Friends
Before
recruiting
outside, many
organizations
ask employees
to encourage
friends and
relatives to
apply
Some offer
“finders fees”
for successful
referrals
Referrals
should be used
cautiously,
especially if the
workforce is
already racially
or culturally
imbalanced
7-32
Walk-ins
• An important source of applicants
• As labor shortages increase, recruiting efforts
must be more proactive
External recruiting
•
•
•
•
•
•
Media advertising
E-recruiting
Employment agencies
Executive search firms
Special-events recruiting
Internships
7-33
Newspapers
Billboards
Trade/professional
publications
Subway and bus
cards
Telephone
Radio
Television
7-34
When developing a recruitment advertisement,
begin with the corporate image
• Effective recruiting is consistent with overall
corporate image
• Recorded want ads are an innovative way to
attract applicants
Help-wanted ads must be carefully prepared
• Media must be chosen, coded for study, and
analyzed for impact afterward
• Including diversity in ads helps attract applicants
from diverse populations
7-35
7-36
Over 95 percent of U.S. companies use
the Internet for recruitment activities
30,000 websites are devoted to job
posting activities
However, 71 percent of all job listings
are on a handful of the “big boards”
Monster, CareerBuilder,
Americas Job Bank
7-37
The Internet is a Popular Recruitment Tool
Relatively inexpensive
Immediate access to thousands of prospective applicants
Allows searches over broad geographic areas
Specialized sites focus on particular fields or areas
Some online services catalog traditional
newspaper recruiting ads
Having an HR Web page is an effective addition
to overall recruitment strategy
7-38
Focus on higher-level managerial positions
with salaries of $50,000+
Executive
Search Firms
Are on retainer
Charge higher fees
Employment
Agencies
Deal with middle-level
management and below
Are paid only when they
provide a new hire
7-39
Job fairs
Speeches
Hospitality
suites
Open house
Special
events
attract
applicants
Visit to
headquarters
Informative
literature
7-40
Especially useful for
smaller, less well
known employers
Can reduce
recruiting costs by up
to 80%
Job Fairs
Appeals to job
seekers who wish to
be in a particular
area or who want to
minimize travel and
interview time
May be held on
holidays or
weekends to reach
college students and
the currently
employed
7-41
Organizations
hire students as
interns during
the summer or
part time during
the school year
Use of interns is dramatically increasing
1 in 3 students at four-year universities will
intern before graduating
Organizations can get specific projects done
Exposes organizations to talented, potential
employees who may become “recruiters” at
school
Internship
programs have
a number of
purposes
Provides trial-run employment
Can attract the best people where
there are labor shortages
Can improve diversity
7-42
May offer
course credits
Student’s
point of
view
Using one’s
talent in
realistic environ
A job with pay
(maybe)
Real work
experience
Potential of
future job
7-43
There are costs to internships
• Interns take up a lot of supervisory time
• Their work is not always the best
Some students expect everything to be
perfect
• When it is not, they become disillusioned
• Disillusioned students become reverse recruiters
7-44
Typical Recruiting Sequence
Students register at the college placement office
During the recruiting season, candidates
are told of scheduled visits
At the placement service, they reserve interviews
and pick up brochures/literature about the firms
Preliminary interviews are held
Before leaving campus, recruiter invites
chosen candidates to make a site visit
7-45
Students who are invited to the site
• Are given more job information
• Meet potential supervisors and other executives
• Are entertained
• May be tested
If the visit goes well
• The student is given an offer
• Bargaining may take place on salary and
benefits
• The candidate accepts or rejects the offer
7-46
Characteristics of
a good recruiter
Characteristics students
prefer in a recruiter
Outgoing, self-motivated,
and a good salesperson
Work experience in their
specialties
Has well-developed
interpersonal skills
Personal knowledge
of the university
Is familiar with the
company they represent
Friendly, knowledgeable
Personal interest in
the applicant
Truthfulness
Enthusiastic communicator
7-47
Major flaws students find in recruiters
Lack of interest in the applicant
Lack of enthusiasm
Interviews that are stressful or too personal
Insufficient time allocation
7-48
Recruitment is more effective when realistic
job previews (RJPs) are used
Pertinent
information
about the job
is given,
without
distortion or
exaggeration
Most jobs
have
unattractive
features; the
RJP presents
the full picture
Realistic
expectations
about the job,
results in
lower turnover
of new
employees
7-49
7-50
Newly hired employees who received RJPs…
Have a
higher rate
of job
survival
Have higher
job
satisfaction
Set job
expectations
at realistic
levels
RJPs do not reduce the flow of capable applicants
7-51
Overtime
Organizations avoid the cost of
recruiting and having additional
employees
Employees earn additional income
Potential problems include fatigue,
higher accident rates, and
increased absenteeism
Continuous overtime often results
in higher labor costs and
reduced productivity
7-52
Outsourcing
Involves paying a fee to a leasing company
or professional employer organization
(PEO) to handle payroll, benefits, and
routine HRM functions
Can save 15-30% of benefit costs
Very attractive to small and midsize firms
that can’t afford a full-service HR
department
Exercise care when choosing a leasing
company; many are financially unstable
7-53
Temporary
employment
One of the most noticeable effects of
the downsizing epidemic and labor
shortages of the past two decades
“Just-in-time” employees staff
all types of jobs
There are nearly 7,000 temporary
employment agencies in the U.S.
7-54
Advantages of
using
temporary
workers
Relatively low labor costs
Accessible source of experienced labor
Flexibility
Fringe benefits
Training
Temporary
workers do
not receive
A compensation and career plan
7-55
Many aspects of recruitment can be
evaluated
• Recruiters can be assigned goals by type of
employee
• Sources of recruits can be evaluated
• Recruiting methods can be evaluated along
various dimensions, such as the cost of the
method divided by the number of job offer
acceptances
7-56
The quality of a new hire can be
evaluated using the formula QH = (PR +
HP + HR)/N
QH = quality of recruits hired
PR = average job performance ratings
HP = % of new hires promoted within one year
HR = percent of hires retained after one year
N = number of indicators used
Use caution when using the quality-ofhire measure to evaluate the recruitment
strategy
• Good employees can be lost for reasons that have
nothing to do with recruiter effectiveness
7-57
1. Discuss how to develop an effective recruiting
program for an organization.
2. Describe the recruiting process: who does it, how
recruiters do it, and where do they find recruits.
3. Differentiate between realistic and unrealistic job
previews.
4. Determine a cost-benefit analysis of a recruiting
program.
5. Analyze different strategies that organizations
might use to recruit blue-collar, white-collar,
managerial, technical, and professional applicants.
7-58