Human Resource Management: Recruitment and Selection, Slides of Human Resource Management

Download Human Resource Management: Recruitment and Selection and more Slides Human Resource Management in PDF only on Docsity!

City College of Angeles Institute of Education, Arts, and Sciences

Strategic Human Resources

Prepared by: Mahayana M. Gerolangin, MA Psy

The Purpose of this Module:

The intent is to provide students with the background to be successful HRM professionals, to manage human resources effectively, and to be knowledgeable consumers of HRM products. Also, this is intended primarily for students who are being exposed to HRM for the first time. It is designed to put them in touch with the field through the use of numerous examples and company material and will reinforce the notion that, by definition, all managers are necessarily involved with HR. The module provides helpful insights for those students who aspire to management positions.

Objectives:

At the end of the semester, the students should be able to:

1. Understand and differentiate Human Resource Management and Strategic Human Resource Management.
2. Interpret and integrate human resources management into the strategic thinking, direction setting, planning and operation of the organization.
3. Assess the role of human resource management in contributing to an organization’s sustainable competitive advantage and corporate strategy. 4.To understand performance outcomes associated with different forms of strategic HRM. 5.To understand the link between HR policies and practices with the strategic management process of the organization. 6.Analyze and integrate the human resource management functions of job analysis, human resource planning, recruitment and selection, performance management, training and development, compensation and benefits, employee relations, maintenance and separation, and human resource information systems and assess their contribution to organizational effectiveness.

The Human Resource Recruitment Process Human Resource Recruitment is defined as any practice or activity carried on by the organization with the primary purpose of identifying and attracting potential employees. It thus creates a buffer between planning and actual selection of new employees. Finding the appropriate way of encouraging qualified candidates to apply for employment is extremely important, however, because recruiting costs can be expensive. Thus, a properly functioning recruiting program can have a major impact on the bottom line of a company. Company’s ability to recruit and manage talent has become the measure for the overall health and longevity of the organization. It is estimated that just the cost of replacing an employee alone when a bad decision is made is two to three times the employee’s annual salary. Therefore, it is crucial to have a finely tuned recruitment process if the selection process is to function properly. Recruitment Process When human resource planning indicates a need for employees, the firm may evaluate alternatives to hiring. Frequently, recruitment begins when a manager initiates an employee requisition , a document that specifies job title, department, the date the employee is needed for work, and other details. The next step in the recruitment process is to determine whether qualified employees are available within the firm (the internal source) or if it is necessary to look to external sources, such as colleges, universities, and other organizations. Because of the high cost of recruitment, organizations need to use the most productive recruitment sources and methods available. Recruitment sources are where qualified candidates are located, such as colleges or competitors. Recruitment methods are the specific means used to attract potential employees to the firm, such as online recruiting. When a firm identifies the sources of candidates, it uses appropriate methods for either internal or external recruitment to accomplish recruitment objectives. A candidate responds to the firm’s recruitment efforts by submitting professional and personal data on either an application for employment or a résumé, depending on the company’s policy.

Sample Requisition Form

company. The firm supplies employees with simple business cards that do not contain names or positions. Instead, these cards have a message similar to: “We are always looking for great. For additional information, log on to our Web site.” Recruiters can often obtain referrals from new employees when they first join the firm. These new hires may provide leads regarding other candidates that have the skills and competences that the organization needs. Information from such candidates is often easy to obtain because the new hire is excited about joining the company and would like to have their friends and associates join them. Recruiters may simply ask: “Do you know anyone in your field who might like to work here?” A capable recruiter can then develop a list of good candidates with special skills who can be recruited. External Recruitment Sources At times, a firm must look beyond its own borders to find employees, particularly when expanding its workforce. External recruitment is needed to (1) fill entry-level jobs; (2) acquire skills not possessed by current employees; and (3) obtain employees with different backgrounds to provide a diversity of ideas. High school & Vocational Schools Organizations concerned with recruiting clerical and other entry-level employees often depend on high schools and vocational schools. Many of these institutions have outstanding training programs for specific occupational skills, such as home appliance repair and small engine mechanics. (i.e. TESDA) Community Colleges Community colleges have two-year programs designed for both a terminal education and preparation for a four-year university degree program. Colleges and Universities Colleges and universities represent a major recruitment source for potential professional, technical, and management employees. Placement directors, faculty, and administrators can be helpful to organizations in their search for recruits; “on-campus recruitment”. (CCA, AUF, HAU) Competitors in Labor Market Poaching - dramatic way to say hiring current or former employees from a competitor or similar company. Poaching employees in not illegal by law at a broad level. Unemployed The unemployed often provide a valuable source of recruits. Qualified applicants join the unemployment rolls every day for various reasons. Companies may downsize their operations, go out of business, or merge with other firms, leaving qualified workers without jobs. Employees are also fired sometimes merely because of personality differences with their bosses.

Military Personnel Hiring former service members makes sense to a lot of employers because many of these individuals have a proven work history and are flexible, motivated, and drug-free. Self-employed Worker The self-employed worker may also be a good potential source. These individuals may be true entrepreneurs who are ingenious and creative. For many firms, these qualities are essential for continued competitiveness. Ex-offenders Some organizations have found it beneficial to hire ex-offenders. ( Not applicable to Philippine setting). Recruiting Technology The use of mobile (smartphone) technology and online methods has revolutionized the way companies recruit employees and job seekers search and apply for jobs. Mobile Recruiting The world of recruiting via mobile technology is moving at lightning speed. More and more people are adopting mobile technology, and many organizations are trying to figure out how to use mobile devices in the recruiting process. Recruiters use mobile apps to post jobs, run text message–based recruiting campaigns, create online communities for potential new hires to learn about their companies, monitor social networks for news about industries they hire for, and keep in touch with staff and outside agencies. Internet Recruiter This is also known as cyber recruiter, is a person whose primary responsibility is to use the Internet in the recruitment process. Most companies currently post jobs on their corporate career Web site. Individuals must be in place to monitor and coordinate these activities. The more companies recruit on the Internet, the greater the need for Internet recruiters. Currently, high-tech firms have the greatest needs. Corporate Career Web sites Corporate career Web sites are job sites accessible from a company home page that list the company positions available and provide a way for applicants to apply for specific jobs. They have become a major resource for both job seekers and companies seeking new employees. Weblogs Weblogs, or blogs, have changed the ways in which individuals access information. Google or a blog search engine such as Technorati.com can be used. All a person has to do is type in a key phrase like marketing jobs. The blogs themselves make it pretty easy to find, with names like HRJobs.com, AttorneyJobs.com, and SalesJobs.com. Some employers and employment agencies have also discovered that blogging is a way to do detailed and stealthy background checks.

Hourly Worker’s Site After years of focusing primarily on professionals and their prospective employers, job sites are now available to attract blue-collar and service workers. Traditionally, there have been major differences between the ways hourly and salaried workers look for jobs. Most hourly workers pursue jobs by filling out applications rather than creating and sending out résumés. So, sites allow job seekers to build an application that can be viewed by employers. Traditional External Recruitment Methods Although online recruiting has greatly impacted how recruiting is accomplished, traditional methods are not dead. Media Advertising communicates the firm’s employment needs to the public through media such as newspapers, trade journals, radio, television, and billboards. A traditional common form of advertising that provides broad coverage at a relatively low cost is the newspaper ad. Firms using the newspaper ad attempt to appeal to the self-interest of prospective employees, emphasizing the job’s unique qualities. Recently, the use of newspaper advertising has declined because other recruiting methods are more effective and less expensive. Certain media attract audiences that are more homogeneous in terms of employment skills, education, and orientation. Private employment agencies, often called “headhunters,” are best known for recruiting white collar employees and offer an important service in bringing qualified applicants and open positions together. Firms and job hunters use private employment agencies for virtually every type position. Public employment agencies have become increasingly involved in matching people with technical, professional, and managerial positions. They typically use computerized job-matching systems to aid in the recruitment process, and they provide their services without charge to either the employer or the prospective employee. Executive search firms are used by some firms to locate experienced professionals and executives when other sources prove inadequate. The key benefit of executive search firms is the targeting of ideal candidates. In addition, the executive search firm can often find passive candidates, those not actively looking for a job.

There are two types of executive search firms: contingency and retained: Contingency search firms receive fees only on successful placement of a candidate in a job opening while Retained search firms are considered consultants to their client organizations, serving on an exclusive contractual basis, and typically recruit top business executives. Recruiters Recruiters most commonly focus on technical and vocational schools, community colleges, colleges, and universities. The key contact for recruiters on college and university campuses is often the student placement director. Job Fair A job fair is a recruiting method engaged in by a single employer or group of employers to attract a large number of applicants to one location for interviews. Internship An internship is a special form of recruitment that involves placing a student in a temporary job with no obligation either by the company to hire the student permanently or by the student to accept a permanent position with the firm following graduation. Event Recruiting An event recruiting involves having recruiters go to events being attended by individuals the company is seeking. Sign-on Bonuses Employers use sign-on bonuses to attract top talent, particularly in high-demand fields such as health care, sales, marketing, and accounting. Bonuses allow a firm to pay a premium to attract individuals without dramatically upsetting its salary scale.

Employee Selection

Selection is the process of choosing from a group of applicants the individual best suited for a particular position and the organization (optimal types and levels of human capital). Properly matching people with jobs and the organization is the goal of the selection process. If individuals are overqualified, underqualified, or for any reason do not fit either the job or the organization’s culture, they will be ineffective and probably leave the firm, voluntarily or otherwise.

Selection Process

Companies make selection decisions to determine whether individuals who were identified through the selection process will be offered employment. This process typically begins with preliminary screening. Next, applicants complete the firm’s application for employment or provide a résumé. Then they progress through a series of selection tests, one or more employment interviews, and pre-employment screening, including background and reference checks. The hiring manager then offers the successful applicant a job, subject to successful completion of a medical examination. Notice that an applicant may be rejected or opt out at any time during the selection process. To a point, the more screening tools used to assess an applicant, the greater the chance of making a good selection decision.

Preliminary Screening In employee selection, a review to eliminate those who obviously do not meet the position’s requirements. Review of Applicants and Resume Having the candidate complete an application for employment is another early step in the selection process. This may either precede or follow preliminary screening. The employer then evaluates it to see whether there is an apparent match between the individual and the position. A résumé is a goal-directed summary of a person’s experience, education, and training developed for use in the selection process. Professional and managerial applicants often begin the selection process by submitting a résumé. Some human resources (HR) professionals suggest that a professional summary at the beginning of the résumé is more useful to the recruiter. However, young job seekers with little work experience may be best served by using a career objective statement. The remainder of the résumé should be directed toward showing how a person has the skills and competencies necessary to accomplish the position identified in the career objective statement. Historically, a one-page résumé was the standard that applicants were told to use. Selection Tests Tests are essential components of employee selection. There are many considerations, including advantages and disadvantages, property of tests, validation approaches, and test type. Preliminary Considerations Recognizing the shortcomings of other selection tools, many firms have added selection tests to their hiring process. These tests rate factors such as aptitude, personality, abilities, and motivation of potential employees, allowing managers to choose candidates according to how they will fit into the open positions and corporate culture. However, tests alone are not enough to make a sufficient evaluation of a candidate because they are not fool proof. Advantages and Disadvantages of Selection Test Organizations use tests to identify attitudes and job-related skills that interviews cannot recognize. Also, the cost of employment testing is small in comparison to ultimate hiring costs. They are a more efficient way to get at information that results in better-qualified people being hired. Selection tests may accurately predict an applicant’s ability to perform the job, the “can do,” but they are less successful in indicating the extent to which the individual will be motivated to perform it.

Test Validation Approaches Criterion-related Validity Test - validation method that compares the scores on selection tests to some aspect of job performance determined, for example, by performance appraisal. Content Validity - Test validation method whereby a person performs certain tasks that are actually required by the job or completes a paper-and-pencil test that measures relevant job knowledge. Construct Validity- Test validation method that determines whether a test measures certain constructs, or traits, that job analysis finds to be important in performing a job. Employment Tests Individuals differ in characteristics related to job performance. Broadly, tests fall into one of two categories: aptitude tests and achievement tests. ▪ Aptitude Test – measure how well a person can learn or acquire skills or abilities. ▪ Achievement Test - assess a person’s current knowledge and skills. Cognitive Ability Test - Tests that determine general reasoning ability, memory, vocabulary, verbal fluency, and numerical ability. Psychomotor Ability Test - refer to the capacity to connect brain or cognitive functions and functions of the body such as physical strength. Personality Test - Self-reported measures of temperaments, or dispositions. Job-Knowledge Tests - Tests designed to measure a candidate’s knowledge of the duties of the job for which he or she is applying. Work-Sample Tests- tests that require an applicant to perform a task or set of tasks representative of the job. Assessment Center Selection technique that requires individuals to perform activities similar to those they might encounter in an actual job.

Employment Interview Goal-oriented conversation in which an interviewer and an applicant exchange information. Interview Planning Interview planning is essential to effective employment interviews. General Types of Interviews Types of interviews are often broadly classified as structured, unstructured, behavioral, and situational. A discussion of the differences follows. ▪ unstructured interview ▪ structured interview ▪ behavioral interview Methods of Interviewing Organizations conduct interviews in several ways. The level of the open position and the appropriate labor market determine the most fitting approach. A discussion of these methods follows: ▪ one-on-one interview ▪ group interview ▪ panel interview ▪ multiple interview ▪ stress interview Potential Interviewing Problems ▪ inappropriate questions ▪ non-job related permission ▪ interviewer bias ▪ interviewer denomination ▪ lack of training ▪ non-verbal communication Pre-employment Screening and Background Checks Background investigation is more important than ever because of the rise in negligent hiring. Background investigations involve obtaining data from various sources, including previous employers, business associates, credit bureaus, government agencies, and academic institutions. Reference Checks. Validations from individuals who know the applicant that provide additional insight into the information furnished by the applicant and verification of its accuracy. They are a valuable source of information to supplement the background investigation. Applicants are often required to submit the names of several references who can provide additional information about them.

4. Explain the significance of employee selection.
5. Explain the importance of using psychological test when conducting the recruitment and selection process.
6. Articulate and discuss how should an HR practitioner conduct a background investigation to a potential applicant.

Critical Thinking Questions

1. As an HR Practitioner, how would you conduct an employment investigation when hiring?
2. You were newly hired as an HR Manager in a family business of 5 years but the attrition rate or the employee turnover seems high. How would you address this employee turnover issues?
3. As an interviewer and examiner in filtering potential applicants, should you use structured or unstructured type of interview? Why or why not?