latest - mba (assignment)

Upload: auvanes

Post on 09-Apr-2018

273 views

Category:

Documents


2 download

TRANSCRIPT

  • 8/8/2019 Latest - MBA (Assignment)

    1/21

    INDENTIFY AND DISCUSS THE MAJOR ISSUES RELATED TO

    RECRUITMENT AND EXPLAIN HOW RECRUITMENT RELATED TO

    ORGANISTAION STRATEGIES

    ABSTRACT

    This essay discusses the fundamental issue related to recruitment in the present organization and

    how would recruitment allied to the organization strategic to achieve their definitive goal.

    Recruitment, as a human resource management task is one of the activities that oblige most

    significantly on the performance of an organisation.The recruitment process could be internal or

    external or could also be online and involves the stages of recruitment policies, advertising, job

    description, job application process, interviews, assessment, decision making, legislation

    selection and training (Korsten 2003, Jonesetal, 2006).While it is implicit and accepted that

    deprived recruitment decisions continue to influence organizational performance and limit

    aspiration triumph it is taking a long time for e agencies in many jurisdictions to identify and

    implement new, effective hiring strategies.People are the assets on which viable advantage is

    built, whether in the public or private sector, whether in the corporate world or in the world of

    education. In the words of the newest theory on human resource management, people are an

    unique asset.

    INTRODUCTION

    Recruiting and retaining high-quality talent is significant to an organisations success. As the job

    market becomes ever more aggressive and the obtainable skills grow more varied

    recruiters need to be more selective in their choices, since poor recruiting decisions can

    1

  • 8/8/2019 Latest - MBA (Assignment)

    2/21

    erect long-term unenthusiastic effects, among them high training and development costs

    minimizes the incidence of poor performance and high turnover which, in turn, impact staff

    confidence the production of high quality goods and services and the retention of

    organisational remembrance.

    Recruitment is however not just a simple selection process and requires management decision

    making and extensive planning to employ the most suitable manpower. Competition among

    business organisations for recruiting the best potential has increased focus on innovation, and

    management decision making and the selectors aim to recruit only the best candidates who

    would suit the corporate culture, ethics and climate specific to the organisation (Terpstra, 1994).

    This would mean that the management would specifically look for potential candidates capable

    of team work as being a team player would be crucial in any junior management position.

    HRM approaches within any business organisation are focused on meeting corporate objectives

    and realization of strategic plans through training of personnel to ultimately improve company

    performance and profits (Korsten, 2003). The process of recruitment does not however end with

    application and selection of the right people but involves maintaining and retaining the

    employees chosen. Despite a well drawn plan on recruitment and selection and involvement of

    qualified management team, recruitment processes followed by companies can face significant

    obstacles in implementation.

    2

  • 8/8/2019 Latest - MBA (Assignment)

    3/21

    Objectives of Recruitment

    1. To attract people with multi-dimensional skills and experiences that suits the present and

    future organizational strategies.

    2. To induct outsiders with a new perspective to lead the company.

    3. To infuse fresh blood at all levels of the organization.

    4. To develop an organizational culture that attracts competent people to the company,

    5. To search or head hunt people whose skills fit the company values.

    6. To devise methodologies for assessing psychological traits.

    7. To seek out non-conventional development grounds of talent.

    8. To search for talent globally and not just within the company.

    9. To design entry pay that competes on quality but not on quantum.

    10. To anticipate and find people for positions that does not exist yet.

    Sub-systems of Recruitment

    The recruitment consists of the following sub-functions;

    1. Finding out and developing the sources where the required number and kind of employees will

    be available.

    2. Developing suitable techniques to attract the desirable candidates.

    3. Employing the techniques to attract candidates.

    4. Stimulating as many candidates as possible and asking them to apply for jobs irrespective of

    number of candidates required.

    3

  • 8/8/2019 Latest - MBA (Assignment)

    4/21

    Management has to attract more candidates in order to increase selection ratio (i.e. number of

    applications per one job vacancy) in order to select the most suitable candidates out of the total

    candidates. Recruitment is positive as it aims at increasing the number of applicants and

    selection is somewhat negative as it selects the suitable candidates in which process the

    unsuitable are automatically eliminated. Though, the function of recruitment seems to be easy, a

    number of factors make performance of recruitment a complex one.

    Factors Affecting Recruitment

    Both internal and external factors affect recruitment. The external factors include supply of and

    demand for human resources, employment opportunities and/or unemployment rate, labor market

    conditions, political, legal requirement and government policies, social factors, information

    systems etc.

    The internal factors include the company pay package including salary, fringe benefits and

    incentives, quality of work life, organizational culture, career planning and growth opportunities,

    size of the company, company product/services, geographical spread of the company operations

    viz., local, national or global, company growth rate, role of trade unions and cost of recruitment.

    Complexity of the Function of Recruitment

    Performing the function of recruitment i.e. increasing the selection ratio is not as easy as it seems

    to be. This is because of the hurdles created by the internal factors and external factors which

    4

  • 8/8/2019 Latest - MBA (Assignment)

    5/21

    influence an organization. The first activity of recruitment i.e. searching for prospective

    employees is affected by many factors like:

    1. Organizational policy regarding filling up of certain percentage of vacancies by internal

    candidates.

    2. Local candidates (sons of soil).

    3. Influence of trade unions;

    4. Government regulations regarding reservations of certain number of vacancies to candidates

    based on community/region/ caste/ sex;

    5. Influence of recommendations, nepotism etc.

    As such, the management is not free to find out or develop the source of desirable candidates and

    alternatively it has to divert its energies for developing the sources within the limits of those

    factors though it cannot find suitable candidates for the jobs.

    The other activity of recruitment is consequently affected by the internal factors such as:

    1. Working conditions; and

    2. Promotional opportunities;

    3. Salary levels, type and extent of benefits;

    4. Other personnel policies and practices;

    5. Image of the organization;

    6. Ability and skill of the management to stimulate the candidates.

    5

  • 8/8/2019 Latest - MBA (Assignment)

    6/21

    It is also affected by external factors like:

    1. Personnel policies and practices of various organizations regarding working conditions, salary,

    benefits, promotional opportunities, employee relations etc.,

    2.Career opportunities in other organizations;

    3.Government regulations.

    The degree of complexity of recruitment function can be minimized by formulating sound

    policies. A few progressive companies in the world like Larsen & Toubro, Hindustan Lever,

    Procter & Gamble, Toyota and a few others have exemplary policies of recruitment which even

    International companies are trying to emulate. Of late multinationals have evolved their unique

    methodologies in fast recruitment and selection processes.

    Strategies

    Organizations tailor their recruitment strategies to the specific position(s) they are seeking to fill.

    These strategies may differ depending on the level of the position. The survey asked respondents

    what strategies they use and the level of effectiveness. Table 1 lists the percentage of

    organizations using each of the listed strategies, as well as the average effectiveness of each

    strategies.

    6

  • 8/8/2019 Latest - MBA (Assignment)

    7/21

    The Internet and employee referrals are the most popular and effective methods for recruiting .

    Internet allows organizations to reach large numbers of candidates easily and efficiently.

    Thousands of candidates can visit a company web site and submit an application. Similarly, web-

    based recruiting companies work with organizations to advertise jobs and screen candidates.

    Although job and company web sites are becoming hot new tools traditional recruiting methods

    7

  • 8/8/2019 Latest - MBA (Assignment)

    8/21

    such as employee referrals are not yet obsolete. Newspapers, job fairs, andprofessional organizations

    continue to be preferred methods and are used by well over half the survey respondents.

    Overwhelmingly, organizations rely on internal job postings and employee referrals to recruit

    candidates. Many companies also post job openings on the companys web site to attract

    candidates. These are relatively easy, yet very effective ways to identify candidates both in and

    outside of the company. In addition, posting jobs internally is an excellent method of offering

    promotion opportunities to all employees and minimizing employee complaints of unfair

    treatment and unlawful discrimination.

    Top ten barriers to effective recruiting and selection of candidates

    (Source from Development Dimension International collected data from 573 members of the

    Electronic Recruiting Exchange)

    8

  • 8/8/2019 Latest - MBA (Assignment)

    9/21

    Acquire

    Acquiring the best employees is the first step toward success in ensuring that we have the right

    people doing the right work at the right time. To achieve this goal:

    Work with our Human Resources colleagues, to develop a strategic sourcing plan for

    anticipated hard to fill jobs and for succession planning.

    Train supervisors how to effectively hire top talent. Develop a fair and effective selection

    and recruitment process that integrates diversity into our hiring practices.

    Develop a robust reference checking process.

    Develop new employee/manager orientation process.

    Development

    To ensure that employees have the skills and training they need to fulfill the mission of

    organisation and customer expectations and to close the skill gaps now and in the future In view

    of that the employees given appropriate training and to the extent possible, retraining to

    accommodate changing missions. This will be achieved through a number of exercises:

    To ensure that employees have the skills and training they need to fulfill the mission and

    customer expectations and to close the skill gaps now and in the future.

    To ensure that the employees are given appropriate training and to the extent possible,

    retraining

    To accommodate changing missions. This will be achieved through a number of

    exercises:

    Develop the manager and supervisor training series.

    9

  • 8/8/2019 Latest - MBA (Assignment)

    10/21

    Build a staff development and career development series.

    Succession Planning A critical piece of development is making sure we prepare

    tomorrows leaders today.

    An organisations vision, through these strategic initiatives, staff at all levels will see the direct

    link between the employers mission and managing the human capital. Human Capital Strategic

    Plan is intended to be a living document used on a regular basis to keep initiatives in line with

    strategic goals. In conclusion plan has to be updated annually to incorporate progress on

    initiatives and future priorities.

    Retaining Employee

    Companies today perceive themselves in terms of their competitiveness to attract

    and retain talent. Aberdeen Group surveyed companies on a spectrum of categories relevant to

    retention (Figure 1a to 1c) to get a baseline view toward key motivators and common

    complaints of executive and managerial employees in three areas. Although no survey is the

    entire truth, a snap-shot glance at the very good selections reveals a unique overview of the

    recent success and future needs for retention and succession planning capabilities.

    Corporate factors

    Companies believe they are most equipped to offer employees interesting work (57%) and good

    working conditions (41%), suggesting that companies rely on two very subjective factors across

    talent to diminish the risk of loosing talent. This is especially discouraging as many professional

    roles continue to migrate to remote or home-based office environments.

    10

  • 8/8/2019 Latest - MBA (Assignment)

    11/21

    Development factors

    Companies believe they are relying on work-life balance, manager-employee relationship, and

    recognition for work well done to develop talent. Setting aside the constant debate of balance,

    other Aberdeen key findings shared in this report present key challenges in training managers

    and funding recognition programs.

    Employee-company interaction factors

    Companies deem they are most excellent at providing sympathetic help on personal matters and

    their loyalty to workers. Both noble traits, but each more and more elusive given dramatic shifts

    in social and legal norms, not to mention generation X & Y interests. In the same regard, these

    companies admit being poor at involving employees in decision making. The specific issue most

    relevant to the post-boomer staff now entering managerial ranks.

    11

  • 8/8/2019 Latest - MBA (Assignment)

    12/21

    12

  • 8/8/2019 Latest - MBA (Assignment)

    13/21

    Case Study Best Practices in Employee Recruitment:

    How Toyota Created a World Class Workforce & Effective Recruitment that reflect the

    organizations business objectives and culture.

    13

  • 8/8/2019 Latest - MBA (Assignment)

    14/21

    TEMA History

    1987First US production facility in Georgetown, KY

    Brought standardized selection system used globally

    2001Start-up in Tijuana, Mexico-Realized they had to make significant changes in their

    approach to hiring

    2003Next Biggest Challenge was opening a facility in a metropolitan area (San Antonio, TX)

    April 1, 2006Manufacturing and Engineering became one company

    14

  • 8/8/2019 Latest - MBA (Assignment)

    15/21

    Detailed Application Process

    New generation assessment process adopted by TEMA

    Ability to handle mass volume applications

    Automated application entry; paperless-IVR -Interactive Voice Recognition-On-line

    Automated Scheduling and Scoring

    1 Production Simulation Package

    Consolidated Multi-Skilled Trades assessments

    15

  • 8/8/2019 Latest - MBA (Assignment)

    16/21

    Reduction to manpower to run the system

    Ability to simulate the work environment to allow candidates to self-select out

    Virtual Job Application

    Pre-screen Automated, interactive application process allowing candidates to apply via

    phone or internet

    Entire process lasts 10 minutes

    Screened out unqualified candidates, cutting costs in the next phase of the process

    Automatically schedules candidates for next step in the process if they pass.

    Virtual Job Assessment

    Web Based Assessment

    Measured basic competencies necessary for specific Toyota positions

    Computer game graphics provided a virtual simulation of job relevant tasks

    Production Exercise

    Candidates physically perform work related tasks in a proctored environment

    Able to see how candidates interact with others in team setting, handle daily tasks & deal

    with stressful situations.

    Virtual Job Interview

    Realistic Job Fit Questions

    Behavioral interview that allowed Toyota to identify the three main types of employee

    behaviors:

    16

  • 8/8/2019 Latest - MBA (Assignment)

    17/21

    1. Builder Proactive, high energy, positive attitude, committed

    2. Cutter Cynical, negative attitude, does the minimum required to get by, gossiper,

    makes excuses, takes credit for others work

    3. Maintainer Steadfast, dependable, very task focused, comfortable with status

    quo, not looking for promotion.

    Hiring Process Metrics

    17

  • 8/8/2019 Latest - MBA (Assignment)

    18/21

    Quality Candidates

    Time-to-Hire

    Cost-per-Hire

    Turnover

    Safety Incident Reporting

    Keeping to the Project Plan

    18

  • 8/8/2019 Latest - MBA (Assignment)

    19/21

    Sharing Successes

    Implementing the recruitment process to other facilities throughout North America

    Expanding the recruitment process globally into facilities in the United Kingdom and

    beyond

    Top 4 Red Flags for Toyota Recruitment Teams Aware of:

    1. Early planning

    2. Ability to understand the Local Market & Demographics

    3. Compressive research

    4. Hiring managers are trained in structured behavioral interviewing

    Top 4 Characteristics of a Best-in-Class Partner for Toyota Recruitment

    1. Strong Technology

    I/O Psychology Assessment Content

    IT Infrastructure

    2. Integrity

    3. Proper Project Management

    4.Flexibility

    19

  • 8/8/2019 Latest - MBA (Assignment)

    20/21

    CONCLUSION

    It is essential that recruitment be analysis strategically and that it reflect the organizations

    business objectives and vision. Thus, recruitment is means of delivering behaviors seen as

    necessary to support the organizations culture and strategies. Organizational strategies and

    culture determine whether the focus is on technical skills and formal qualifications or

    personality, the ability to fit in and the potential for development.This gives HRM on the

    apparatus to remain intact to and break out of the HR dilemma. The result is an HR function that

    succeeds not only on the usual benchmarks, but on the only one that really counts: pulling ahead

    of the competition, and staying there. Consequently, an organization can obliterate its unique

    competitive advantage if it ignores its strategic mission, objectives and culture in recruiting

    personal.

    REFERENCES

    Korsten A.D. (2003) Developing a training plan to ensure employees keep up with the dynamicsof facility management Journal of Facilities Management, Volume 1, Number 4, pp. 365-379(15)

    Terpstra D.E. (1994) HRM: A Key to Competitiveness Management Decision, Volume 32,Number 9, pp. 10-14(5)

    Korsten A.D. (2003) Developing a training plan to ensure employees keep up with the dynamics

    of facility management Journal of Facilities Management, Volume 1, Number 4, pp. 365-379(15)

    Retaining Talent: Retention and Succession in the Corporate Workforce (http://

    www.Aberdeen.com)

    Bernthal, P. R, & Wellins, R. S. (2001). Retaining talent: A benchmarking study. Pittsburgh, PA:

    Development Dimensions International.

    Byham, W. C. (1992). The assessment center method and methodology: New applications and

    technologies (Monograph VII). Pittsburgh, PA: Development Dimensions International

    20

    http://www.aberdeen.com/http://www.aberdeen.com/
  • 8/8/2019 Latest - MBA (Assignment)

    21/21

    Byham, W. C. (1989). Targeted selection: A behavioral approach to improved hiring decisions

    (Monograph XIV). Pittsburgh, PA: Development Dimensions International.

    Dipboye, R. L. (1992). Selection Interviews: Process Perspectives, p. 118. As cited in R. D.

    Gatewood & H. S. Field, Human Resource Selection (3rd Ed.). Orlando, FL: The Dryden Press.Pulakos, E. D., & Schmitt, N. (1995). Experience based and situational interview questions:

    Studies of validity. Personnel Psychology, 48, 289-30.

    How Toyota Created a World Class Workforce & Effective Recruitment that reflect the

    organizations business objectives and culture (http:// www.selectinternational.com &

    www.toyota.com)

    http://www.selectinternational.com/http://www.selectinternational.com/