expanding the talent pool: recruitment and careers

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Expanding the Talent Pool:Recruitment and Careers

1–1

The Challenges of Human Resources Management

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Strategic Aspects of Recruiting

• Decisions about talent—regardless of whether they pertain to recruiting, transferring, promoting, developing, or deploying people—need to be considered within the context of a business’s strategies and priorities.

• The broad factors that can affect a firm’s recruiting strategy include a firm’s Recruiting abilities, whether to recruit externally versus internally, the labor market for the types of positions it is

recruiting for, including global labor markets, and the strength of a firm’s employment “brand.”

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Who Should Do the Recruiting?

• HR recruiters or generalist (large firms)

• Managers and/or Supervisors (smaller firms)

• Work Teams, or

• Recruiting Process Outsourcing (RPO) The practice of outsourcing an organization’s recruiting

function to an outside firm. Staff One

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Global Labor Markets

• Why Recruit Globally? To develop better products via a global workforce To attract the best talent wherever it may be

• International Recruiting Issues Local, national, and international laws Different labor costs Different pre-employment and compensation practices Cultural differences Security Visas and work permits

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Should a Firm Recruit Internally or Externally?

• Most managers try to follow a policy of filling job vacancies above the entry-level position through promotions and transfers. By filling vacancies in this way, an organization can capitalize on the investment it has made in recruiting, selecting, training, and developing its current employees, who might look for jobs elsewhere if they lack promotion opportunities.

• There are Advantages and Disadvantages to both.

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Labor Markets

• Labor Market Area from which applicants are to be recruited.

– Tight market: high employment, few available workers– Loose market: low employment, many available workers

• Factors determining the relevant labor market: Skills and knowledge required for a job Level of compensation offered for a job Reluctance of job seekers to relocate Ease of commuting to workplace Location of job (urban or nonurban)

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Recruiting Internally

• Internal Job Postings

• Identifying Talent through Performance Appraisals

• Skills Inventories and Replacement Charts

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Warning Signs of a Weak Talent “Bench”

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Recruiting Externally

• Advertisements• Walk-Ins and Unsolicited Applications and Résumés• The Internet, Social Networking, and Mobile Recruiting• Job Fairs• Employee Referrals• Re-recruiting• Executive Search Firms• Educational Institutions

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Recruiting Externally (cont.)

• Professional Associations

• Labor Unions

• Public Employment Agencies

• Private Employment and Temporary Agencies

• Employee Leasing

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Major Temporary Help Agencies in the United States

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Improving the Effectiveness of Recruiting

• Using Realistic Job Previews• Surveys• Recruiting Metrics

Effectiveness of

Recruitment

Realistic Job Previews

Surveys Recruiting Metrics

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Recruiting Metrics

• Quality of Fill Statistics

• Quality of Hire = (PR + HP + HR) / N PR = Average job performance rating of new hires HP = % of new hires reaching acceptable productivity with

acceptable time frame HR = % of new hires retained after one year N = number of indicators

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Recruiting Metrics (cont.)

• Example: PR = Average 3.5 on a 5.0 scale = 70% HP = Of 100 hires made one year ago, 75 are

meeting acceptable productivity levels = 75% HR 5 20% turnover = 80% HR N = 3 Quality of Hire = (70 + 75 + 80) / 3 = 75

The result is a quality level of 75 percent for new employees hired during the year.

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Recruiting Metrics (cont.)

• Time to Fill Refers to the number of days from when a job

opening is approved to the date the person ultimately chosen for the job is selected

• Yield Ratios The percentage of applicants from a

recruitment source that make it to the next stage selection process

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Time-to-Fill Calculations

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• Cost of Recruitment (per employee hired)

Costs of Recruitment

HNCRBAFAC

HSC

SC = source costAC = advertising costs, total monthly expenditure (example: $32,000)AF = agency fees, total for the month (example: $21,000)RB = referral bonuses, total paid (example: $2,600)NC = no-cost hires, walk-ins, nonprofit agencies, etc. (example: $0)H = total hires (example: 119)

Cost to hire one employee = $467.23

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25 Career Mistakes to Banish for 2013

To access this interesting article click on the following link: • http://

money.usnews.com/money/careers/slideshows/25-career-mistakes-to-banish-for-2013/3

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Career Management: DevelopingTalent over Time

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Blending the Goals of Individual Employeeswith the Goals of the Organization

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Identify Job Progressions and Career Paths

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Recognize Different Career Paths

• Promotion A change of assignment to a job at a higher level in

the organization• Transfer

Placement of an individual in another job for which the duties, responsibilities, status, and remuneration are approximately equal to those of the previous job

• Consider Dual Career Paths for Employees• Consider the Boundaryless Career• Help Employees Progress beyond Career Plateaus

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Human Capital Profiles for Two Different Careers

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Successful Career-Management Practices

• Placing clear expectations on employees.

• Giving employees the opportunity for transfer.

• Providing a clear and thorough succession plan

• Encouraging performance through rewards and recognition.

• Giving employees the time and resources they need to consider short- and long-term career goals.

• Encouraging employees to continually assess their skills and career direction.

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Successful Career-Management Practices (cont.)

• Lack of time, budgets, and resources for employees to plan their careers and to undertake training and development.

• Rigid job specifications, lack of leadership support for career management, and a short-term focus.

• Lack of career opportunities and pathways within the organization for employees.

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Career Plateau Questions

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Mentoring Functions

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Developing a Diverse Talent Pool

• Recruiting and Developing Women• Eliminating Women’s Barriers to Advancement

Advancing Women to Management Accommodating Families

• Recruiting and Developing Minorities• Providing Minority Internships• Advancing Minorities to Management

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Other Important Talent Concerns

• Recruiting the Disabled

• Employing the Older Workforce

• Employing Dual Career Couples

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Key Terms

applicant tracking systembrandingassessment centercareer counselingcareer networkingcareer pathscareer plateaudual career partnershipsemployee leasingemployee profilefast-track programglobal sourcinginternal labor marketjob progressions

mentorsnepotism9-box gridoutplacement servicespassive job seekerspromotionrecruiting process outsourcing (RPO)realistic job preview (RJP)relocation servicesrecruitingsabbaticaltransferyield ratio

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Expanding the Talent Pool:Recruitment and Careers

1–37

The Challenges of Human Resources Management

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Recruiting Yield Pyramid

16% ● ● ● ● ● ●

75% ● ● ● ●

67% ● ● ●

50% ● ●

●

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Internal Sources of Candidates

• Foreknowledge of candidates’ strengths and weaknesses

• More accurate view of candidate’s skills

• Candidates have a stronger commitment to the company

• Increases employee morale

• Less training and orientation required

• Failed applicants become discontented

• Time wasted interviewing inside candidates who will not be considered

• Inbreeding strengthens tendency to maintain the status quo

Advantages Disadvantages

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Finding Internal Candidates

Posting open job positions

Rehiring former employees

Hiring-from-Within Tasks

Succession planning (HRIS)

Sample Job Posting at Xerox

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Outside Sources of Candidates

1

2

3

4

5

Advertising

Recruiting via the Internet

Employment Agencies

Temp Agencies and Alternative Staffing

Offshoring/Outsourcing

6

7

8

9

On Demand Recruiting Services (ODRS)

Executive Recruiters

College Recruiting

Referrals and Walk-ins

Locating Outside Candidates

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Some Top Online Recruiting Job Boards

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Recruiting via the Internet

• Advantages• Cost-effective way to publicize job openings• More applicants attracted over a longer period• Immediate applicant responses• Online prescreening of applicants• Links to other job search sites• Automation of applicant tracking and evaluation

• Disadvantages• Exclusion of older and minority workers• Unqualified applicants overload the system• Personal information privacy concerns of applicants

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Ineffective and Effective Web Ads

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Advertising for Outside Candidates

• The Media Choice– Selection of the best medium depends on the

positions for which the firm is recruiting.• Newspapers: local and specific labor markets• Trade and professional journals: specialized employees• Internet job sites: global labor markets

• Constructing (Writing) Effective Ads– Create attention, interest, desire, and action (AIDA).– Create a positive impression (image) of the firm.

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Help Wanted Ad that Draws Attention

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A Help Wanted Ad That Creates Interest

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Another Ad

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A Couple More Ads

1–51

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Recruiting a CEO for Ben & Jerry’s

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Employment Agencies

Public agencies

Private agencies

Types of Employment

Agencies

Nonprofit agencies

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Why Use a Private Employment Agency?

• No HR department: firm lacks recruiting and screening capabilities to attract a pool of qualified applicants.

• To fill a particular opening quickly.

• To attract more minority or female applicants.

• To reach currently employed individuals who are more comfortable dealing with agencies than competing companies.

• To reduce internal time devoted to recruiting.

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Avoiding Problems with Employment Agencies

• Give agency an accurate and complete job description.

• Make sure tests, application blanks, and interviews are part of the agency’s selection process.

• Review candidates accepted or rejected by your firm or the agency for effectiveness and fairness of agency’s screening process.

• Screen agency for effectiveness in filling positions.• Supplement the agency’s reference checking by

checking the final candidate’s references yourself.

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Specialized Staffing and Recruiting

• Alternative Staffing– In-house contingent (casual, seasonal, or temporary)

workers employed by the company, but on an explicit short-term basis.

– Contract technical employees supplied for long-term projects under contract from outside technical services firms.

• On-Demand Recruiting Services (ODRS)– Provide short-term specialized recruiting to support

specific projects without the expense of retaining traditional search firms.

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Temp Agencies and Alternative Staffing

• Benefits of Temps– Increased productivity—paid only when working– Allows “trial run” for prospective employees– No recruitment, screening, and payroll

administration costs

• Costs of Temps– Increased labor costs due to fees paid to temp

agencies– Temp employees’ lack of commitment to the firm

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Working with a Temp Agency• Time sheets. The time sheet is a verification of hours worked and an

agreement to pay the agency’s fees.

• Temp-to-perm policy. What is the policy if you want to hire a temp as a permanent employee?

• Recruitment of and benefits for temp employees. How does the agency plan to recruit and what sorts of benefits will it pay?

• Dress code. Specify the attire at each of your offices or plants.

• Equal employment opportunity statement. Get a statement from the agency that it does not discriminate when filling temp orders.

• Job description information. Ensure that the agency understands the job to be filled and the sort of person you want to fill it.

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Concerns of Temp Employees

• Dehumanizing, impersonal, and discouraging treatment by employers.

• Insecurity about employment and pessimism about the future.

• Worry about the lack of insurance and pension benefits.• Being misled about job assignments and whether

temporary assignments are likely to become full-time positions.

• Being “underemployed” while trying to return to the full-time labor market.

• Anger toward the corporate world and its values; expressed as alienation and disenchantment.

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Ten Things Managers Should Avoid WhenSupervising Temporary Employees

1. Train your contingent workers. Ask their staffing agency to handle training.2. Negotiate the pay rate of your contingent workers. The agency should set pay.3. Coach or counsel a contingent worker on his/her job performance. Instead, call

the person’s agency and request that it do so.4. Negotiate a contingent worker’s vacations or personal time off. Direct the worker

to his or her agency.5. Routinely include contingent workers in your company’s employee functions.6. Allow contingent workers to utilize facilities intended for employees.7. Let managers issue company business cards, nameplates, or employee badges

to contingent workers without HR and legal approval.8. Let managers discuss harassment or discrimination issues with contingent

workers.9. Discuss job opportunities and the contingent worker’s suitability for them

directly. Instead, refer the worker to publicly available job postings.10. Terminate a contingent worker directly. Contact the agency to do so.

Do Not:

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Executive Recruitment• Executive Recruiters (Headhunters)

– Contingent-based recruiters– Retained executive searchers– Internet technology and specialization trends

• Guidelines for Choosing a Recruiter1. Make sure the firm is capable of conducting a thorough

search.2. Meet individual who will handle your assignment.3. Ask how much the search firm charges.4. Make sure the recruiter and you agree on what sort of

person you need for the position.5. Never rely solely on the recruiter to do reference checking.

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College Recruiting• On-campus recruiting goals

– To determine if the candidate is worthy of further consideration

– To attract good candidates

• On-site visits– Invitation letters– Assigned hosts– Information packages– Planned interviews– Timely employment offer– Follow-up

• Internships

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Job Fairs from a Candidate’s Perspective

• SE students sometimes not happy with campus job fair

• Louisiana Tech U. → Grambling State U.

5–63

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Sources of Outside Applicants

Employee referrals Walk-ins Telecommuter

s

Other Sources of Outside Applicants

Military personnel

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Employee Referrals and Walk-ins

• Employee Referrals– Referring employees become stakeholders.– Referral is a cost-effective recruitment program.– Referral can speed up diversifying the workforce.– Relying on referrals may be discriminatory.

• Walk-ins– Seek employment through a personal direct approach to

the employer.– Courteous treatment of any applicant is a good business

practice.

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Relative Recruiting Source Effectiveness Based on New Hires

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Improving the Effectiveness of Recruiting

• Using Realistic Job Previews• Surveys• Recruiting Metrics

Effectiveness of

Recruitment

Realistic Job Previews

Surveys Recruiting Metrics

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RJP: AutoZone

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Recruitment Research Findings: Practical Applications for Managers

Recruitment Research Finding Practical Applications for Managers The recruitment source affects the characteristics of applicants you attract.

Use sources such as referrals from current employees that yield applicants more likely to be better performers.

Recruitment materials have a more positive impact if they contain more specific information.

Provide applicants with information on aspects of the job that are important to them, such as salary, location, and diversity.

Organizational image influences applicants’ initial reactions.

Ensure all communications regarding an organization provide a positive message regarding the attractiveness of the organization as a place to work.

Applicants with a greater number of job opportunities are more attentive to early recruitment activities.

Ensure initial recruitment activities (e.g., Web site, brochure, on-campus recruiting) are attractive to candidates.

Realistic job previews that highlight both the advantages and the disadvantages of the job reduce subsequent turnover.

Provide applicants with a realistic picture of the job and organization, not just the positives.

Applicants will infer (perhaps erroneous) information about the job and company if the information is not clearly provided by the company.

Provide clear, specific, and complete information in recruitment materials so that applicants do not make erroneous inferences about the job or the employer.

Recruiter warmth has a large and positive effect on applicants’ decisions to accept a job.

Choose individuals who have contact with applicants for their interpersonal skills.

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25 Career Mistakes to Banish for 2013

To access this interesting article click on the following link: • http://

money.usnews.com/money/careers/slideshows/25-career-mistakes-to-banish-for-2013/3