Chapter 5

PERSONNEL PLANNING
AND RECRUITING
 STEPS IN RECRUITMENT AND
SELECTION PROCESS

The recruitment and selection process is a series of hurdles

aimed at selecting the best candidate for the job.
 PLANNING AND
FORECASTING
• Employment or personnel planning
• The process of deciding what positions
the firm will have to fill, and how to fill
them.
• Succession planning
• The process of deciding how to fill the
company’s most important executive jobs.
• What to forecast?
• Overall personnel needs
• The supply of inside candidates
• The supply of outside candidates
 FORECASTING
PERSONNEL NEEDS
• Trend analysis
• The study of a firm’s past employment needs over a
period of years to predict future needs.
• Ratio analysis
• A forecasting technique for determining future staff
needs by using ratios between a causal factor and
the number of employees needed.
• Scatter plot
• A graphical method used to help identify the
relationship between two variables
 USING COMPUTERS TO FORECAST
PERSONNEL REQUIREMENTS
• Computerized forecasts
• The use software packages to determine of future
staff needs by projecting sales, volume of production,
and personnel required to maintain a volume of
output.
• Generates figures on average staff levels required
to meet product demands, as well as forecasts for
direct labor, indirect staff, and exempt staff.
• Typical metrics: direct labor hours required to
produce one unit of product (a measure of
productivity), and three sales projections—
minimum, maximum, and probable.
 COMPUTERIZED
INFORMATION SYSTEMS
• Human Resource Information System (HRIS)
• Computerized inventory of information
that can be accessed to determine
employees’ background, experience, and
skills that may include:
• Work experience codes
• Product or service knowledge
• Industry experience
• Formal education
 EFFECTIVE RECRUITING
• External factors affecting recruiting:
• Looming undersupply of workers
• Lessening of the trend in outsourcing of
jobs
• Increasingly fewer “qualified” candidates
• Internal factors affecting recruiting:
• The consistency of the firm’s recruitment
efforts with its strategic goals
• The available resources, types of jobs to be
recruited and choice of recruiting methods
• Line and staff coordination and cooperation
EFFECTIVE RECRUITING
(CONT’D)
• Advantages of centralizing recruitment
• Strengthens employment brand
• Ease in applying strategic principles
• Reduces duplication of HR activities
• Reduces the cost of new HR technologies
• Builds teams of HR experts
• Provides for better measurement of HR
performance
• Allows for the sharing of applicant pools
 FINDING INTERNAL
CANDIDATES
• Job posting
• Publicizing an open job to employees (often by literally posting it on
bulletin boards) and listing its attributes.
• Rehiring former employees
• Advantages:
• They are known quantities.
• They know the firm and its culture.
• Disadvantages:
• They may have less-than positive attitudes.
• Rehiring may sent the wrong message to current employees about
how to get ahead.
 FINDING INTERNAL
CANDIDATES (CONT’D)
• Succession planning
• The process of ensuring a suitable supply of
successors for current and future senior or
key jobs.
• Succession planning steps:
• Identifying and analyzing key jobs.
• Creating and assessing candidates.
• Selecting those who will fill the key
positions.
 OUTSIDE SOURCES OF
CANDIDATES
• Advertising
• The Media: selection of the best medium depends on the
positions for which the firm is recruiting.
• Newspapers (local and specific labor markets)
• Trade and professional journals
• Internet job sites
• Constructing an effective ad
• Wording related to job interest factors should evoke the
applicant’s attention, interest, desire, and action (AIDA) and
create a positive impression of the firm.
 OUTSIDE SOURCES OF
CANDIDATES (CONT’D)
• Types of employment agencies:
• Public agencies operated by federal,
state, or local governments
• Agencies associated with nonprofit
organizations
• Privately owned agencies
 OUTSIDE SOURCES OF
CANDIDATES (CONT’D)
• Reasons for using a private employment agency:
• When a firm doesn’t have an HR department and is not geared to
doing recruiting and screening.
• The firm has found it difficult in the past to generate a pool of
qualified applicants.
• The firm must fill a particular opening quickly.
• There is a perceived need to attract a greater number of minority or
female applicants.
• The firm wants to reach currently employed individuals, who might
feel more comfortable dealing with agencies than with competing
companies.
• The firm wants to cut down on the time it’s devoting to recruiting.
 OUTSIDE SOURCES OF
CANDIDATES (CONT’D)
• College recruiting
• Recruiting goals
• To determine if the candidate is worthy of further consideration
• To attract good candidates
• On-site visits
• Invitation letters
• Planned interviews
• Timely employment offer
• Follow-up
• Internships
 OUTSIDE SOURCES OF
CANDIDATES (CONT’D)
• Employee referrals
• Applicants who are referred to the organization by current employees
• Referring employees become stakeholders.
• Referral is a cost-effective recruitment program.
• Referral can speed up diversifying the workforce
• Walk-ins
• Direct applicants who seek employment with or without
encouragement from other sources.
• Courteous treatment of any applicant is a good business practice.
 OUTSIDE SOURCES OF
CANDIDATES (CONT’D)
• Recruiting via the Internet
• More firms and applicants are utilizing the Internet in the
job search process.
• Advantages of Internet recruiting
• Cost-effective way to publicize job openings
• More applicants attracted over a longer period
• Immediate applicant responses
• Online prescreening of applicants
• Links to other job search sites
• Automation of applicant tracking and evaluation
 ISSUES IN RECRUITING A
MORE DIVERSE WORKFORCE
• Single parents
• Providing work schedule flexibility.
• Older workers
• Revising polices that make it difficult or unattractive
for older workers to remain employed.
• Recruiting minorities and women
• Understanding recruitment barriers.
• Formulating recruitment plans.
• Instituting specific day-to-day programs.
 ISSUES IN RECRUITING A MORE
DIVERSE WORKFORCE (CONT’D)

• Welfare-to-work
• Developing pre-training programs to overcome
difficulties in hiring and assimilating persons
previously on welfare.
• The disabled
• Developing resources and policies to recruit and
integrate disable persons into the workforce.
THANK YOU 