The Impact Of Recruitment Commerce Essay

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According to Sheila M. Rioux, Ph.D., and Paul Bernthal, Ph.D., Recruitment & Selection Practices Survey Report (1999), recruitment is the process of identifying and attracting potential candidates from within and outside an organization to begin evaluating them for future employment. Once candidates are identified, an organization can begin the selection process. This includes collecting, measuring, and evaluating information about candidates' qualifications for specified positions. Organizations use these processes to increase the likelihood of hiring individuals who possess the right skills and abilities to be successful at their jobs. Nowadays employees are treated as human capital and they are considered as core competency of organization's performance and driving factor behind the success.

Recruitment is a continuous process because of staff departure, changes in business requirement; changes in business location and promotion. There are two kinds of recruitment channels ie Internal recruitment and external recruitment. There are so many changing trends in the industry to cater to the needs of the clients. Recruitment is a very challenging job due to changing business scenarios. There are lot of things involved in recruiting a candidate involving mapping the requirements, strategizing the mode of recruitment and staffing, analyzing the candidate's CV and understanding the job fitment criteria of the profile.

The stakes and the risk involvement are very high depending on the criticality of the job nature and the clientele. So, it is very important to choose right mode of recruitment through known internal source or through an external source with thorough knowledge of the industry who understand the seriousness of the job nature.

Problem Statement

Recruitment is a function that requires business perspective, expertise, ability to find and match the best potential candidate for the organization, diplomacy, marketing skills (as to sell the position to the candidate) and wisdom to align the recruitment processes for the benefit of the organization. The HR professionals - handling the recruitment function of the organization - are constantly facing new challenges in Recruitment. The biggest HR challenge in Recruitment for such professionals is to source or recruit the best people or potential candidate for the organization. In the last few years, the job market has undergone some fundamental changes in terms of technologies, sources of recruitment, competition in the market etc. In an already saturated job market, where the practices like poaching and raiding are gaining momentum.

HR professionals are constantly facing new challenges in one of their most important function-recruitment. They have to face and conquer various challenges to find the best candidates for their organization. The modes of recruitment is through external and internal channels, but these have its own set of disadvantages, which is leading to major human resource challenges like decreased productivity, high attrition, absenteeism, and lack of motivation. Internal recruitment also has some drawbacks. The major disadvantage is that it reduces the innovation and creative ideas in the organization.

External recruitment is a cost and time consuming activity due to prolonged recruitment, selection, and appointment in nature. There can be difficulty in assessing the suitability of the candidates. New employees recruited outside the reach of organization take time for orientation and adjusting to the organizational culture. Internal recruitment also results in the biased behavior of the management and partiality. Lack of creative and fresh ideas from the job market cannot be hired. There can be disturbance in the working environment due to recruitment or rejection of one's referred candidates.

So, there is a clear need to find out what is the impact of recruitment and selection practice of candidates on company's performance in these two modes and to find out which is effective and efficient mode of recruitment in terms of performance of the recruited candidates and company's performance due to the chose mode of recruitment.

Purpose of the study

The purpose of the study is to assess what is the impact of recruitment and selection practice of candidates on company's performance considering modes of recruitment ie internal and external. How the company's are impacted due to chosen mode of recruitment and how employee's perform depending on the recruitment channel.

Objectives

To assess the current recruitment and selection practices of companies under study

To examine the causes for the deciding a particular recruitment and selection process

To assess the impact of recruitment and selection practice on performance of the companies

Research Questions

What are the current recruitment and selection practices followed by the companies?

What are the factors determining the choice of a recruitment process?

How recruitment and selection process help in effectiveness of the company's performance?

Scope And Limitations

The researcher's focus is only on assessment on the impact of recruitment and selection practices impact on company's performance. This does not cover other factors like rewards, recognition, career progression, growth, motivation, job satisfaction, attitude, and perception of the employees, team building, and individual behavior that contributes to the performance of the company.

CHAPTER-2

LITERATURE REVIEW

There is lot of information available about the best recruitment practices and its impacts, current and future trends. The traditional recruitment practices are sidelined and new methods like e-recruitment, job portal, outsourcing, and temping have significantly changed the recruitment practices. The challenges, opportunities, and new practices have been the areas of focus in major articles, journals, and white papers in human resource functional units. Numerous reports and analysis are published by many scholars. Human resource staffing consultants like Ma Foi consultants and others have published many articles based on the survey conducted time-to-time to analyze the industry and extent of successfulness of the recruitment practices.

2.1. Conceptual Review:

According to Binod Kumar Sinha, 2009, Recruitment is a process of finding and attracting potential candidates for the job available. Recruitment is a set of activities an organization uses to attract job candidates who have the abilities and attitude needed to help the organization achieve its objectives. There are three stages of recruitment process-identify and define the recruitment, attract potential employees, select and employ appropriate people from job applicants. Recruitment is a continuous process because of staff departure, changes in business requirement; changes in business location and promotion. There are two kinds of recruitment i.e. internal recruitment and external recruitment. Recruitment and Selection plays key role in the development of an organization.

1Binod Kumar Sinha, (2009), Trends and issues in recruitment and selection, a critical analysis

This is one of the important HR components in developing Indian Economy, which is growing at the rapid pace.  Today's, where demand of qualified and experienced people is high, the white collar salaries are increasing, every day one MNC is adding presence in Indian market, the pool of experienced professionals are smaller than it large population of our country, attrition rate is quite high ranging from 20-60%, HR professionals are struggling to attract good employees despite fierce competition. Therefore the Trends and Issues in recruitment and selection is has taken paradigm shift. Employment has undergone a transformational change in most sectors especially in banking, finance, retail, pharmaceutical, and insurance.

Identify current organizational practices to recruit and select employees

Determine the effective recruitment and selection practices

Determine how the recruitment and selection practices impact organizational outcomes.

Strategize recruitment process

Current and future modified recruitment and selection practices.

Feasibility of outsourcing recruitment and selection process.

Barriers for execution of effective recruitment and selection strategy.

The recruitment and selection process needs keen and thorough assessment for its implementation successfully. According to Public Service Commission's "A Toolkit on Recruitment & Selection" (2008), discussing about the management of the recruitment and selection process, a thorough step-by-step instruction are provided. Enhancement of management of recruitment and selection, analysis, and strategizing the execution is very challenging. Recruitment and selection is a line management responsibility. It is the responsibility of line managers to ensure that posts are filled and to obtain the assistance of departmental HR Components in this regard. Line managers are also responsible for the overall management of the recruitment and selection process. They should ensure that all relevant activities, whether handled by themselves or by their HR components, are managed effectively and efficiently within reasonable time frames. To do this, a clear demarcation of tasks and responsibilities is necessary, so that line managers are in control of the entire process and are in a position to question activities if reasonable time frames are exceeded.

Each recruitment and selection phase should be finalized before moving on to the next phase.

Recruitment and selection consists of different phases (advertising, screening, shortlisting etc) which are integrated with, and follow one another in a specific order. This implies that each phase has to be finalized before the next phase commences. Each of these phases represents a selection process. Applicants who are eliminated are out of the process. Nothing prohibits departments, therefore, to inform these applicants accordingly and to see to it that all relevant documentation is placed on record straight away. Departments therefore do not have to wait for the whole process to be finalized before informing unsuccessful applicants accordingly. This will also spread the administrative burden attached to each phase over time. The outcome of the screening process needs to be submitted for the approval of the executing authority or his or her delegate. There are thus obvious benefits to be derived from finalizing phases while moving on to the subsequent phases.

Reasonable time frames should be allocated to the execution of each phase. Since the filling of a post has major cost implications (also hidden costs), it is essential that this be undertaken in the shortest possible time. Reasonable time frames. Important Points of Departure should therefore be allocated to the various phases, taking into account the type and number of activities that have to be executed in respect of each phase. These time frames should be known to all role-players involved and adhered to as far as possible. The HR Component should monitor and report any deviations from policies and procedures not properly sanctioned to the head of department via approved channels of communication, with a view to proactive redress.

According to University of Sunderland's Recruitment Handbook, 2009 establishing whether recruitment is the only available solution or availability of other alternatives like deployment from other units of verticals of the process along with the options of appointing a project consultant restricted to the scope and duration of the project can also be considered, if the task required to be completed is timely. This process should begin as early as possible (e.g. as soon as a resignation is received, a job move agreed or the need for a new task to be completed is identified). Suitable alternatives to recruitment should be considered and Human Resources can provide detailed advice and guidance on a number of possible options, including reorganizing work distribution, increasing an existing employee's responsibilities, redesigning or automating job tasks, restructuring within the related area or department, reviewing the current working arrangements of the post to consider part time or job share as appropriate options. Possibilities of secondment opportunities or using a contractor/agency temporary staff for short-term assignments should also be considered.

In cases of short-term appointments of less than three months duration, where it may not be deemed appropriate to follow the full Recruitment and Selection Procedure, the advice of Human Resources should be sought as to the most appropriate cost-effective method of meeting short-term requirements. It is possible to recruit to a suitable 'pool' of candidates in areas where there is an on-going requirement to fill vacant posts at 'short notice'. For example, this may include Academic Tutor appointments where they may be called upon to teach to cover unexpected absences. However, all candidates who are appointed to a 'pool' must have been selected in accordance with this Procedure. After choosing to recruit then a job analysis should be done to set expectations on the desired profile and on the candidate. Consideration should be given to exactly why the job exists and what the job entails. This will involve carrying out an analysis of the current job and the context in which the job is done. This may involve identifying the purpose of the job within the related area or department, identifying the key tasks, duties and level of responsibilities of the job, discussing the role with the current job holder or line manager, examining the related area or department to identify possible minor internal adjustments.

The Key Recruiter is responsible for drafting the information to be included in the further particulars, which are made available to applicants for a post. The further particulars must include:

The job description: this describes the post itself, its responsibilities and duties, and its setting in the department. For appropriate posts, the generic role descriptions will also be included with the job description.

The person specification: this describes the person who is required to fill the post - experience, education and training, knowledge, skills and attributes. These should be rated as essential or desirable.

These must be used as a basis for shortlisting and interviewing so that it can be demonstrated that selection has been undertaken using measurable, objective and justifiable criteria. Careful consideration should be given to how each aspect will be assessed.

Proper job analysis should be done on the following roles and responsibilities,

-Job Title;

- Reporting Line;

- Grade; (Human Resources will assign an appropriate grade to all new roles)

- Working Hours;

- Faculty / Service;

- Location;

- Main Purpose of the role;

- Key Accountabilities;

- Special Circumstances attached to the job, such as shift-working or that criminal record checking is required.

According to Public Service Commission, discussing about important recruitment and selection activities they have mentioned that, advertisement plays a major role in increasing the possibility of the getting right candidates. The aim of an advertisement is to reach the broadest possible pool of candidates within a specifically targeted domain. For example, there is no sense in advertising a post to people who do not have the knowledge, skills and competencies to perform the job. Naturally, this does not apply to entry-level or trainee posts and care must be taken that the principle of free competition is not compromised. It is therefore vital that an advertisement clearly sets out what the requirements are that have to be met by applicants. This will enable them to do self-selection where they can compare their candidature to what is required. Further to this, it will assist in reducing the number of non-qualifying applications. The content of advertisements ultimately represents the selection criteria applicable to the filling of the post. It therefore stands to reason that the better the effort that goes into the content of the advertisement, the easier subsequent processes will be and the better the quality of the outcome. The aforementioned, however, require departments to apply their minds fully to the formulation of advertisements. An advertisement is not an object on its own, but is a tool to satisfy an objective at a much higher level, i.e. at a strategic HR planning level, where thorough consideration has to be given to the need for knowledge obtained by means of tertiary education and/or skills and competencies obtained in practice. This implies that a department has to apply its mind to what is required on person specification level before it compiles an advertisement. This will ensure that the advertisement will allow for flexibility during the recruitment and selection process.

In practice this is often not done and departments only realize, whilst busy with the selection process, that they would want to opt for a candidate that does not possess, for example, the type of tertiary qualifications advertised, but who has acquired the very skills and competence required through other means. In order to appoint such a candidate, they have to waive the qualification requirement at this very late stage. This is not desirable, since it compromises the accessibility to such posts by other candidates who did not apply on the basis of the specific qualification requirements set in the advertisement. According to University of Sunderland the options of various advertisement channels can be considered to publish the vacancy

Options may include one or more of the following:-

- Reviewing whether the vacancy provides a suitable redeployment opportunity for an existing member of staff;

- Weekly internal advertising on the company's intranet and staff vacancy bulletin

- Internet advertising - including specialist web sites;

- External advertising in appropriate press or trade journals;

- Sending out appropriate information to specific groups of potential applicants where specialist skills may be required;

- Briefing recruitment agencies or executive search organizations on preferred supplier list as necessary;

- Reviewing 'speculative' applications or candidates that have recently been interviewed, and considered appoint able, for similar posts;

- Participating in regional recruitment fairs and arranging 'open days' for potential candidates;

- Deciding whether to issue application packs to candidates and what information would be appropriate for inclusion in the application pack.

According to the University of Sunderland, 2009, the composition of the Selection Panel should be determined as soon as possible, and certainly before the selection criteria are agreed. Once the membership of the Panel has been determined, it should, if at all possible, meet to plan the whole recruitment and selection process. Where this cannot be arranged, the Key Recruiter should discuss each issue with as many Panel members as possible.

There are some basic principles which Selection Panels should take account of like no recruitment and selection should be undertaken by just one individual. Wherever possible, Departments should identify a core team of people who can assist in all their recruitment and selection exercises to increase expertise and ensure consistency and continuity. It is essential that at least one member of every selection panel, ideally the Key Recruiter, will have successfully completed the company's training course on recruitment and selection. If it is not possible to establish a panel where at least one person has had the relevant training, a request should be made for a member of staff from the Human Resources Department to join the panel. Wherever possible, the full Selection Panel should follow the recruitment and selection process from start to finish. If not, a minimum of two members, including the Key Recruiter, should be involved at every stage, and the views of other members sought as appropriate. Panel members must not discuss matters related to the job vacancy privately with actual or prospective candidates, either internal or external. If a member of a Selection Panel knows one or more of the candidates, they should declare this to the other panel members as early as possible in the selection process

Selection Panels should aim to have a diversity of perspectives and backgrounds represented on the panel, and to be appropriately diverse to fairly judge the candidates being interviewed. The intention is to ensure that no candidate feels disadvantaged by the make-up of the Panel and the maximum breadth of experience is represented on the Panel. If it is difficult to find this diversity within a department, a member of a related department or the Human Resources Department could be invited to join the Panel. Large Selection Panels should be avoided wherever possible as they may be intimidating for candidates, and can be counterproductive as they may result in superficial questioning and less than rigorous scrutiny at interview.

Shortlisting must be based on the information provided by the candidate in the application form, CV, statement and any other material provided, and personal knowledge of any candidate should not be used to fill in any gaps in the application. Recruiters should take care not to make assumptions about information presented in the applications, e.g. on the basis of age, gender or ethnicity, as this could lead to discriminatory decisions. Candidates with qualifications above the minimum stated as essential should not be either penalized or advantaged in the process. All applications should be assessed first against the essential criteria in the Employee Specification and only applicants who meet all of the essential criteria should be considered for interview. Use the desirable criteria when there are more candidates who meet the essential criteria than can be interviewed. New criteria must not be introduced at the shortlisting stage. It is the responsibility of the Key Recruiter to arrange the interviews, and ensure that they are well-prepared, structured and focused, and conducted in such a way that all candidates feel they have had a fair hearing.

It is good practice to interview no more than five or six candidates, and normally all the interviews should be held on the same day. If this is not possible, the time between them should be minimized and the same panel should interview on each occasion.

After the assessment, the Recruitment Panel members should review candidates' performances during the selection process and reach their decision based on the evidence gathered. The decision should be reached systematically and objectively, on the basis of evidence obtained throughout the selection process, without making assumptions or stereotyping. Keeping all the information in context and not focusing only on one or two issues the decisions must be taken.

Selection decisions recorded on the Interview/Assessment Report Form must be fair and objective, based on the requirements of the job, as specified in the Role Profile. After selection, compensation can be discussed. A decision to make an offer may be made at this stage. If there are several suitable candidates, it may be appropriate to "hold" rather than reject these until the outcome of the offer to the most suitable candidate is known. All unsuccessful candidates should be notified of the outcome appropriately and are provided with feedback, if requested, by the Chair of the Recruitment Panel. If ability tests or personality questionnaires are used, feedback on these should always be offered to all candidates by a suitably qualified Adviser or Administrator within Human Resources.

Before determining appropriate salary package and compensation, human resources must be consulted to provide detailed guidance and advice on determining appropriate offer salary levels within the grade. When deciding upon an appropriate salary to be offered, consideration will normally be given to the following objective criteria,

The level, breadth, depth and complexity of the individual's knowledge and understanding of different aspects of the job and, as appropriate, expert, professional and theoretical knowledge.

The level and breadth of existing relevant skills

Qualifications and length of relevant experience of the successful candidate

Current salary and monetary benefits (e.g. bonus) of successful candidate

Comparative salaries of existing employees in similar roles/grades within the unit, department, and designation

Equal pay principles that all staff should receive equal pay for the same or broadly similar work, for work rated as equivalent and for work of equal value.

As a last step of recruitment and selection procedure evaluation and key performance indicators (KPI) must be drafted. Human Resources will endeavor to monitor and evaluate the effectiveness of the recruitment and Selection Procedure and may use the following key performance

Indicators:

a. Agreed Time-scales

A time-scale for the procedure will be agreed during Stage 2 of the process and adherence to this will be used as a measure of evaluation by Human Resources.

b. Unfilled Vacancies

The % of vacancies unfilled for more than 90 days will be subject to examination and investigation by Human Resources on a regular basis.

c. Feedback

Any feedback received, during or after the process, from the Faculty/Service, Recruitment Panel Chairperson or internal/external candidates will be used, wherever possible, to evaluate the effectiveness of the process.

d. Statistical Analysis

Where practicable, statistical analysis of the process will take place and be reported upon by Human Resources on a regular basis. This may include cost-effectiveness analysis of recruitment process, effectiveness of recruitment advertising, statistical validation of assessment methods, and equal opportunities monitoring.

The effective and efficient management of the various recruitment and selection activities is dependent on all role-players having a holistic view of what the process entails on the next page). They should have a thorough grasp of what the different activities are, what the interdependencies between these activities are and what the role-players' responsibilities entail. The entire recruitment process can be divided into six distinct phases, starting off with job evaluation and ending up with the final selection of the most successful candidate(s). Each phase consists of a number of activities that have to be executed before role-players can commence with the next phase.

2.2. Contextual Review:

Recruitment is of the most crucial roles of the human resource professionals. The level of performance of and organization depends on the effectiveness of its recruitment function. Organizations have developed and follow recruitment strategies to hire the best talent for their organization and to utilize their resources optimally. A successful recruitment strategy should be well planned and practical to attract more and good talent to apply in the organization.

Recruitment is distinct from employment and selection, once the required number and kind of human resources are determined, the management has to find the places where required human resources are or will be available and also find the means of attracting them towards the organization before selecting suitable candidates for jobs. All this process is generally known as recruitment. Some people use the term recruitment for employment. These two are not one and the same. Recruitment is only one of the steps in the entire employment process. Some others use the term recruitment for selection. These two terms are not one and the same either.

Technically speaking the function of recruitment precedes the selection function and it includes only finding, developing the sources of prospective employees and attracting them to apply for jobs in an organization, whereas the selection is the process of finding out the most suitable candidate to the job out of the candidates attracted. Formal definition of recruitment would give clear cut idea about the function of recruitment.

Recruitment is defined as, a process to discover the sources of manpower to meet the requirements of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient workforce. Those definitions can be analyzed by discussing the processes of recruitment through systems approach.

Objectives of Recruitment

To attract people with multi-dimensional skills and experiences that suits the present and future organizational strategies.

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

http://recruitment.naukrihub.com/recruitment-process.html accessed on September 2010

To infuse fresh blood at all levels of the organization.

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

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

To devise methodologies for assessing psychological traits.

To seek out non-conventional development grounds of talent.

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

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

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

Sub-systems of Recruitment

The recruitment consists of the following sub-functions,

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

Developing suitable techniques to attract the desirable candidates.

Employing the techniques to attract candidates.

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

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.

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 influence an organization. The first activity of recruitment i.e. searching for prospective employees is affected by many factors like

http://www.citeman.com/317-recruitment-is-distinct-from-employment-and-selection/ accessed on Sep 2010

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

Local candidates (sons of soil).

Influence of trade unions

Government regulations regarding reservations of certain number of vacancies to candidates based on community/region/ caste/ sex.

Influence of recommendations, and 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.

For formulating an effective and successful recruitment strategy, the strategy should cover the following elements:

Identifying and prioritizing jobs, recruitment keep arising at various levels in every organization; it is almost a never ending process. It is impossible to fill all the positions immediately. Therefore, there is a need to identify the positions requiring immediate attention and action. To maintain the quality of the recruitment activities, it is useful to prioritize the vacancies whether to focus on all vacancies equally or focusing on key jobs first.

Candidates to target, the recruitment process can be effective only if the organization completely understands the requirements of the type of candidates that are required and will be beneficial for the organization. This covers the following parameters as well:

Performance level required: Different strategies are required for focusing on hiring high performers and average performers.

Experience level required: the strategy should be clear as to what is the experience level required by the organization. The candidate's experience can range from being a fresher to experienced senior professionals.

Category of the candidate: the strategy should clearly define the target candidate. He/she can be from the same industry, different industry, unemployed, top performers of the industry etc.

Sources of recruitment, the strategy should define various sources (external and internal) of recruitment. Which are the sources to be used and focused for the recruitment purposes for various positions. Employee referral is one of the most effective sources of recruitment.

Trained recruiters, the recruitment professionals conducting interviews and the other recruitment activities should be well-trained and experienced to conduct the activities. They should also be aware of the major parameters and skills (e.g.: behavioral, technical etc.) to focus while interviewing and selecting a candidate.

How to evaluate the candidates, the various parameters and the ways to judge them i.e. the entire recruitment process should be planned in advance. Like the rounds of technical interviews, HR interviews, written tests, psychometric tests etc.

Recruitment needs are of three types

Planned - The needs arising from changes in organization and retirement policy.

Anticipated - Anticipated needs are those movements in personnel, which an organization can predict by studying trends in internal and external environment.

Unexpected - Resignation, deaths, accidents, illness give rise to unexpected needs.

The recruitment and selection is the major function of the human resource department and recruitment process is the first step towards creating the competitive strength and the recruitment strategic advantage for the organizations. Recruitment process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and requires many resources and time. A general recruitment process is as follows:

Identifying the vacancy: The recruitment process begins with the human resource department receiving requisitions for recruitment from any department of the company. These contain,

Posts to be filled

Number of persons

Duties to be performed

Qualifications required.

Preparing the job description and person specification.

Locating and developing the sources of required number and type of employees (Advertising etc).

Short-listing and identifying the prospective employee with required characteristics.

Arranging the interviews with the selected candidates.

Conducting the interview and decision making

Every organization has the option of choosing the candidates for its recruitment processes from two kinds of sources: internal and external sources. The sources within the organization itself (like transfer of employees from one department to other, promotions) to fill a position are known as the internal sources of recruitment. Recruitment candidates from all the other sources (like outsourcing agencies etc.) are known as the external sources of The recruitment.

Sources of Recruitment:

Internal: Transfers, promotions, upgrading, demotion, retired employees, retrenched employees, dependents and deceased employees' relatives (only in case of government and PSU jobs only)

External: Advertisements, college placement committee, consultancies, and employee referrals

The recruitment function of the organizations is affected and governed by a mix of various internal and external forces. The internal forces or factors are the factors that can be controlled by the organization. And the external factors are those factors which cannot be controlled by the organization.

Factors affecting recruitment function of an organization:

External Factors: New projects or new divisions of a company are started, organizational branding, and cheap labor during economic downturns such as recession.

Internal Factors: Recruitment policy, growth, expansion of the organization, and diversification, size of the firm, and cost of recruitment.

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.

It is also affected by external factors mentioned below:

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 India like Larsen & Toubro, Hindustan Lever, Procter & Gamble and a few others have exemplary policies of recruitment which even international companies are trying to emulate. Of late Indian BPO and multinationals have evolved their unique methodologies in fast recruitment and selection processes.

Identify Vacancy

¯

Prepare Job Description and person Specification

¯

Advertise

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Managing the Response

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Short-listing

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