Why It Is Important For An Organisation To Have Effective Processes Business Essay

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‘Critically discuss why it is important for an organisation to have effective processes for recruitment and selection’- cRITICALLY DISCUSS THE QUOTATION’

To analyse whether there is an importance for effective processes for recruitment and selection, the processes of them firstly needs to be assessed.

The process of recruitment generally involves employers producing a job analysis, then a job description which specifies the type of employee they are looking for and the information detailing the work involved. The next process thereafter involves, determining whether the application format should be either electronically or by formal application. Next the employers publically advertise the job advert either internally or externally. Alternatively employees could advertise it to an outsourcer who provides them with freelance staff or they could choose to advertise to a third party organisation such as a job agency. Nevertheless, these processes attract potential candidates to apply and compete for the job that is advertised.

Subsequently after the recruitment process, the selection procedure begins. The selection process involves the employers obtaining the applications that have been received by prospective candidates and then start the procedure of shortlisting potential candidates. After completion of shortlisting candidates, the interviewing stage proceeds and thus after completion of interviews and other forms of testing, a selection of successful candidates is made.

The recruitment and the selection process in any company are important as it helps determine the right candidates to work for their company. Having an effective R&S (recruitment and selection) process provides the company with the work force needed to maintain the companies’ objectives. The success of the company lies in the hand of its workforce. Bratton and Gold (2003, p107) described recruitment as: ‘the process of generating a pool of capable people to apply for employment to an organization’. Along with the recruitment process, the right person needs to be selected from within this process. Bratton and Gold (2003) furthermore described selection as the ‘process by which managers and others use specific instruments to choose from a pool of applicants’. Arguably, good selection assessment is valuable to managers as it can provide the company with new staff with the additional skills required.

The R&S process is effective to the aspect that it allows an organisation to plan its labour force needs, thus matches it with the available supply against the forecast demand. Arguably, for many organizations, employing the finest people for the job can be a beneficial factor for the company, as it can lead to an enhanced service, better productivity and even improved motivation within the workforce. Thus, this can arguably only be done by having a firm structured R&S process, as it allows employers to be critical when selecting the right candidate. For example: Enterprise Rent-A-Car aims to sustain high levels of customer satisfaction by selecting and hiring the right employees with the right communication and customer skills suited for the company. As a result of their thorough hire and selection process, they argue that this has rewarded them with their award winning customer service. However on the other hand, it can be argued that not all R&S processes are effective enough or they are too critical when selecting the best candidates. For example, from previous experience; the Boots pharmaceutical online application system automatically rejects candidates who have previously applied for a position at Boots, but failed to proceed further than the application stage. Thus the system rejects candidates regardless of their development since the previous time that they applied for that job.

This links to the point that, recruitment processes like the online applications systems can be automated to be highly critical to the extent that, many applications are rejected without thorough inspection from a human source. Thus, on one hand it is advantageous using online application systems is less time consuming and cost effective in comparison to manual selection and shortlisting of candidates. But on the other hand, it is disadvantageous because vital skills and information about the candidate that might be required by the company can be lost through because of the online application sieving systems. Nonetheless, effective processes should not in any way discriminate people. Thus, this is an area of improvement needed within the R&S process by introducing double checking systems.

Another argument supporting the point that effective recruitment and selection is important; is that by being selective when recruiting can lead to lower turnover of the workforce, this is dependent on whether staff choose to stay in that post for longer. Staff that stay on longer are more likely to be experienced in comparison to their newer colleagues, thus overall it will reduce the future costs for companies when recruiting and training replacement staff.

However on the other hand, by having an effective recruitment and selection process doesn’t necessarily mean that a staff will be there for a long time. People are inclined to move to jobs that provides them more financially, mentally and gives them more satisfaction Thus, it is important that the course after the recruitment and selection made; there needs to be training, motivation and appraisal provided within the organisation in order to sustain company staff.

The LMA (League managers association) found that football managers in the football league do not last no longer on average than 2 years in their post. This is because of the competitive nature of the football league, in addition to the scrutiny given by the media and the high pressure to succeed. Football managers who stay at a club tend to be there short term. Thus, it’s important that LMA attract managers with this highly intense calibre. This can be done by providing managers with the skills and training required in addition with appraisal and via motivation. The LMA try to select and recruit managers with good leadership, excellent communication skills and that he/she must be able to handle immense pressure. One good example of good recruitment and selection is Alex Ferguson; the manager of Manchester united FC. He was recruited and selected on the basis of his leadership skills and his ability to perform under pressure, thus, as a result of careful selection by the club, he remains one of highest paid managers and has been at the club for over 25 years, successfully pushing the team to win many championship cups over the years.

Having effective recruitment processes is important in attracting candidates. Thus it’s important from the ‘go-set’ that the job advertised is in such a public domain that everyone is able to access the advert in one way or another. The more visible the advert is, the higher response received. The bigger the organization is, the more recruitment and selection processes it needs, in identifying key candidates perfect for the company, thus a strategy is required when producing a job description. If a job requires a more skillful candidate, it sets out key competencies required from applicants

Because we live in an economic time of the, ‘war for the talent’s. (CIPD, 2009). Employees are valued as important resources of the organization and thus the recruitment process is one of the paramount tools in this ‘war for talents’. Companies want employees to be there in the long term as the cost to hire is expensive, in comparison to the cost of retaining staff. Choosing the right people, training them and appraising them, not only provides the company success, but employees are likely to stay longer. E.g. Starbucks do this by building a good relationship with its staff. Investing on efficient staff can be an ongoing reward for companies’ reputation. Subsequently this can be a motivational factor for candidates to apply knowing that the company has a good reputation amongst its employee. The better the company’s reputation amongst its employee. Then, the better chance that more employees are likely to apply for a position at the company. Incidentally, the more applications they receive, the more variety they have to choose from and thus the higher the criteria they are able to set when selecting a potential employee. Attracting candidates are most effective whereby you advertise widely. The company advertises through a number of media sources such as: newspapers, internet sites, job agencies, job fairs etc. Attraction can be made furthermore by providing alongside the job; good incentives, a good salary, and offers training etc.

Alternatively, another importance of effective selection processes is, it allows the employers of the company to assess the maturity, intelligence and the skills of the candidate via instrumental tools. Employing candidates merely based on their application is not enough to determine whether they are well suited to adjust to the working environment and requirements of the company. That is why such processes like interviews are effective in that it can evaluate the candidate face to face.

Assessment methods within the recruitment and selection process are important instrumental tools in analyzing and shortlisting candidates. Such tests like competency tests, psychometrics tests and psychological disposition testing are all ways which assesses the individuals’ intellectual and individual differences. For example, psychometric testing is a tool used to assess cognitive ability and personality. (People management, 2003; income data services). They found that this was an important tool as around half a million tests of this kind are completed each year by potential applicants. This tool is widely used in the selection process in many organisations from Asda to Vodaphone. However, using such selection tools such as psychometric testing may not be useful, as people can lie about certain aspects of their personality just to make themselves appear more likeable to the employer. (Crowne and Marlowe 1964) described this as ‘faking to look good’, also known as social desirability. Especially in this economic climate, people are boasting about themselves in order to look attractive to employers. To avoid situations of ‘faking’, it’s important that tests of any kind are through the use of ‘forced choice answering’, (Matthewman et al 2009). Hence, effective instrumental tools for selection through the use of psychometric tests need to be constructed in such a way that it avoids people being ‘fake’ but instead creates a true picture of the person. This can be done via constructed questions that give limited answers.

The same problem lies similarly to psychological disposition. Psychological disposition aims to codify characteristics of the candidate through self report. From this report they predict where the applicant will fit within the companies work environment. Such tools like these are important and are the most effective, for companies where they need to eliminate and choose the right candidate. An advantage of psychometric testing and psychological disposition is, that it provides insights to a candidate that a normal interview and application would not have. Nevertheless, these tools can be selective in what it’s looking for and thus could discriminate against genders or people race therefore its validity in selecting candidates effectively is a question of debate. Another assessment tool used in providing selection is via competency tests. This tests people’s numerical, mechanical, and verbal and abstract reasoning. These are useful for highly competitive job positions, where they want not only skilled employees but also employees with the tacit knowledge required when performing a job. Arguably, poor choices at the recruitment and selection stage can prove expensive. The company must evaluate the candidate’s competence beforehand. For example, if an employee constantly fails to turn up to work, the company loses both time and money.

The importance of having effective R&S processes ensures that it provides fairness within the system. Through the use of correct procedure decisions, it should explore a candidate’s skills, merit and competency efficiently before any shortlist is made. Effective R&S processes should take into account the legal liability to make sure that no discrimination happens within process. Under the Employment equality regulation 1976 and other regulations set. Equality has become a fundamental part of the recruitment and selection process, and should offer training and support to under-represented groups. For examples, application support should be provided to those whose English is not there first language. And, it should provide management training, for women who are currently underrepresented in the managerial work force. However despite these laws being put in place, certain discrimination still occurs. For example, women are still being paid less than men on an equal basis job. Thus, further implementation of equality needs to be continued within the R&S processes, such as advertising a job that provides equal pay for both men and women.

In conclusion, the general importance of R&S processes cannot be ignored as they provide organisation instruments in recruiting and selecting employees for their organisation. An effective R&S process, not only saves money, but allows employers to select the best candidates. Simple instruments can be argued to be great importance in selecting vital employees. The controversial competency tests may on one hand be argued as a tool of testing ones weakness but it also, it is a tool which evaluates key skills that organisation are searching for in the work force. With the use of rich marketing sources, organisations are able to be critical when selecting potential candidates. Overall, effective and good R&D not only saves time but it points out the potential workers that they seek to carry the objectives that organisations require. As previously mentioned, workers are the key to an organisations success.