Sources of Recruitment Sources of Recruitment 11Chapter ThreeChapter Three

Learning ObjectivesLearning Objectives

Explain the three stages of recruitment Explain the three stages of recruitment process.process.

Describe the various sources of Describe the various sources of recruitment.recruitment.

Assess the impact of a particular Assess the impact of a particular recruitment source.recruitment source.

Analyze the most effective source of Analyze the most effective source of recruitment for various scenarios.recruitment for various scenarios.

Arrive at some innovative recruitment Arrive at some innovative recruitment solutions for various scenarios.solutions for various scenarios.

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StructureStructure

1.1. Recruitment ProcessRecruitment Process

2.2. Sources of recruitment Sources of recruitment –– Classification.Classification.

3.3. Internal sources.Internal sources.

4.4. ExternalExternal sourcessources

1.1. AdvertisementsAdvertisements

2.2. Job Portals / Organizational WebsitesJob Portals / Organizational Websites

3.3. Recruiting Firms.Recruiting Firms.

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StructureStructure

4. 4. External sourcesExternal sources-- contd.contd.

4. Campus Recruitment.4. Campus Recruitment.

5. Job Fairs / Exhibitions.5. Job Fairs / Exhibitions.

6. Employment Exchanges.6. Employment Exchanges.

5.5. Other SourcesOther Sources

6.6. Summary. Summary.

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3.1 Recruitment Process3.1 Recruitment Process

Recruitment Process

Planning Strategy Development

Evaluation of Process

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3.1 Recruitment ProcessPlanningPlanning involves the translation of likely involves the translation of likely

job vacancies into a set of objectives job vacancies into a set of objectives that specify the number and type of that specify the number and type of applicants to be contacted. The type of applicants to be contacted. The type of people to be targeted for recruitment is people to be targeted for recruitment is determined by the job description & determined by the job description & person specification.person specification.

Recruitment yield measures the success of Recruitment yield measures the success of recruitment strategies. A yield ratio is recruitment strategies. A yield ratio is % of job applicants from a particular % of job applicants from a particular source that make it to the next stage in source that make it to the next stage in selection process.selection process.

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3.1 Recruitment Process

A yield A yield ratio =ratio =

persons qualified for the positionpersons qualified for the position___________________________________________________________________________________________________________________________________________________________ _____________________________________________________ x 100x 100

persons applied for the positionpersons applied for the position

To determine which of your recruitment To determine which of your recruitment sources is most effective at attracting sources is most effective at attracting qualified candidates, calculate , and qualified candidates, calculate , and then compare , the various sourcesthen compare , the various sources’’ yield yield ratios. The source with the highest ratio ratios. The source with the highest ratio

is most effective. is most effective.

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3.1 Recruitment Process

Strategy developmentStrategy development is to decide , how is to decide , how where and at what cost to look for where and at what cost to look for suitable candidates. Organizations can suitable candidates. Organizations can decide to use outside firms for decide to use outside firms for recruitment or train their own staff for recruitment or train their own staff for the task.the task.

If decision is for recruitment firms several If decision is for recruitment firms several effective options are available. effective options are available.

Evaluation of processesEvaluation of processes is an ongoing is an ongoing exercise. exercise.

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3.1 Recruitment Process

Continuous evaluation of the process ensures Continuous evaluation of the process ensures that the recruitment cycle time is that the recruitment cycle time is reduced as are the costs incurred. reduced as are the costs incurred. Measurable factors include number ofMeasurable factors include number of

[i] applications received.[i] applications received.

[ii] candidates short listed at each [ii] candidates short listed at each stage of the process.stage of the process.

[iii] candidates recruited and[iii] candidates recruited and

[iv] candidates retained over six [iv] candidates retained over six months.months.

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3.1 Recruitment ProcessGetting the right person for a job is an Getting the right person for a job is an

arduous task.arduous task.

Organization must have a recruitment plan Organization must have a recruitment plan each year that dovetails into its each year that dovetails into its business plan. Fair implementation of business plan. Fair implementation of succession plan assures better quality of succession plan assures better quality of HR plan from where recruitment plan is HR plan from where recruitment plan is available. available.

Next organization needs to choose an optimum Next organization needs to choose an optimum source for recruitment which meets source for recruitment which meets parameters of time, cost and parameters of time, cost and confidentiality.confidentiality.

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3.2 Sources of Recruitment - Classification

External - AdvertisementsRecruiting firms

internal - Promotions,Transfers

Others - EmployeeReferrals , Gate Notice

Sources of Recruitment

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3.3 Internal Sources

Here vacancy is filled with a current employee. For this employee is either promoted or provided a {location or functional} transfer.

Vacancies are internally notified, and selection arranged from responses received.

This process is a great motivator and encourages current employees to constantly upgrade their skills. Robust internal recruitment reduces attrition.

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3.3 Internal Sources

This process reduces cost of recruitment, selection and induction. Risk factors associated with new recruits are eliminated.

But internal recruitment limits the choice of candidates. The process has to implemented with meticulous care and fairness. Otherwise it can generate disgruntle among employees & demoralize them.

Internal recruitment, further, cannot get fresh blood into organization to bring in new perspectives.

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3.4 External Sources 3.4.1 Advertisement

Print Media:This is of the most used sources of

recruitment. Advertisements can be via Print Media or Electronic Media.

Print media is the oldest choice. There are many recruitment campaigns in print and organizations use them as an opportunity for brand building.

These ads are eye catching, stylish, creative and colorful.

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3.4 External Sources

Print Media:

Extreme care needs to be exercised in choosing the correct media so as to reach focused or larger numbers quickly.

Print media suffers from a few drawbacks –

◘ initial costs are high and there is a poor return on investment. ◘ audience addressed is diffused.◘ huge efforts are required to sort out responses.

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3.4 External Sources

Electronic Media:

Very effective means as in terms of sheer reach it is unmatched. It is most favored when recruiting non-technical staff. One can attract non-active job seekers through this media. It can also be used for brand building.

Like Print media this is also a fairly diffused media with returns on investments not at high levels desired.

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3.4 External Sources Electronic Media:

Online Advertising

Here jobs are just a click away!

e-recruitment advertisements costs are 80% less than print ads and 10 times cheaper than consultants.

Online advertising falls into three distinct categories –

♦ Banner Advertising♦ Job Portals and Organizational

Websites♦ Social / Business networking websites

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3.4 External Sources ♦ Banner Advertising

Banner advertising is a form of online advertising that entails embedding an advertisement into a web page. These web pages are the most visited web sites. {Mail service providers, entertainment portals etc.}

This method was very popular in the late 90s and the early part of the century, but with emergence of other forms of online advertising , banner advertisement is not very widely used.

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3.4 External Sources3.4.2 Job Portals

A job portal is essentially a medium which helps bring employers and job seekers together. Most prospective candidates use internet to find out what is new in the job market. Catching them on to spot an online recruitment are much better than through print or electronic media.

Naukri, monsterindia or timesjobs are popular portals and they offer attractive packages to recruiters.

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3.4 External Sources♦ Job Portals

Amazing progress in technology allows the employers to computerized resume scans , hold online interviews and conduct psychometric tests and cut the recruitment cycle by 50%.

“Job Alerts” tool permits employer to drop job ad in suitable candidate’s mail box directly, thus ensuring focused targeting.

Candidates also can update their resumes online without any difficulty.

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3.4 External Sources♦ Organizational Websites

There is an increasing trend of companies to set up their own websites for attracting candidates. Apart from brand building , these offer the employee to have a better understanding of the organizational culture, before applying online

.Many companies like ICICI have a separate

career website.

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3.4 External Sources♦ Social / Business Networking Sites

Apart from business networking sites like linkedin.com, recruiters are using social networking sites like facebook, orkut etc. to reach out to potential employees. This is a great tool to reach “non-active” job seekers; especially in senior roles. These site protect the confidentiality of these candidates as they are not essentially job portals.

Candidates can further use this as a positioning tool by providing exclusive information which normally does not form a part of resume.

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3.4 External Sources3.4.2 Recruiting Firms

Recruiting Firms

Executive Search Head Hunters

Employment AgencyPlacement Firms

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3.4 External Sources3.4.2 Recruiting Firms

There are two types of recruiting firms There are two types of recruiting firms generally classified according to the generally classified according to the level of positions handled. Placement level of positions handled. Placement firms are used for junior level, mass, firms are used for junior level, mass, semisemi--skilled positions.skilled positions.

Executive search firms focus on professional Executive search firms focus on professional openings. Typically they specialize in a openings. Typically they specialize in a particular industry or role.particular industry or role.

Recruiter must check the credentials of the Recruiter must check the credentials of the firm, ask for references and ensure firm firm, ask for references and ensure firm is competent to handle the job before is competent to handle the job before selection. selection.

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3.4 External Sources3.4.2 Recruiting Firms

Recruiters find it advantageous to form a Recruiters find it advantageous to form a long term relationship with recruiting long term relationship with recruiting firm as it acts as an extended Public firm as it acts as an extended Public Relations arm of the organization. It Relations arm of the organization. It must know the culture of the organization must know the culture of the organization and full job description to select the and full job description to select the right candidates from companies that right candidates from companies that would be preferred by the recruiter. would be preferred by the recruiter.

Clarity has to established regarding payment Clarity has to established regarding payment of fees to the firm in case of fees to the firm in case selctedselctedcandidate does not join or quits within a candidate does not join or quits within a few months after joining. few months after joining.

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3.4 External Sources3.4.2 Recruiting Firms

Recruitment Agencies Role & Payments.Recruitment Agencies Role & Payments.

Success OnlySuccess Only RetainedRetained

* Payment after * Payment after Part payment upfrontPart payment upfrontcandidate joins. balance in stages. candidate joins. balance in stages. * Candidates not* Candidates not candidates screenedcandidates screenedScreened & approved.Screened & approved.* Suitable for* Suitable for suitable for nichesuitable for nicheMultiple positions senior positionsMultiple positions senior positionsJunior positionsJunior positions* Fee structure from* Fee structure from

5 to 20% of 20 to 33%5 to 20% of 20 to 33%Cost To CompanyCost To Company

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3.4 External Sources3.4.4 Campus Recruitment

Campus Recruitment is the main source for Campus Recruitment is the main source for recruiting newly educated and skilled recruiting newly educated and skilled candidates. Institutions that offer candidates. Institutions that offer professional courses {engineering, professional courses {engineering, management, hotel management, legal, management, hotel management, legal, secretarial} are an important source for secretarial} are an important source for employers to recruit management trainees employers to recruit management trainees who can be trained to suit the who can be trained to suit the organizational needs. Basic skills of organizational needs. Basic skills of these graduates are guaranteed these graduates are guaranteed aandaandaptitude tests, group discussions & aptitude tests, group discussions & personal interviews are enough for the personal interviews are enough for the final selection. final selection.

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3.4 External Sources3.4.5 Job Fairs / Exhibitions

A job or Career fair is an exposition for A job or Career fair is an exposition for employers to meet prospective job employers to meet prospective job seekers. They usually seekers. They usually consisconsis of of organization booths or tables where organization booths or tables where resumes can be collected.resumes can be collected.

Sometimes an initial interview or screening Sometimes an initial interview or screening is also arranged. These are exploited by is also arranged. These are exploited by IT/ITES sectors as well as hospitality, IT/ITES sectors as well as hospitality, construction and retail industries.construction and retail industries.

With new technology online job fairs are With new technology online job fairs are becoming common as they have larger reach becoming common as they have larger reach and may be less costs. and may be less costs.

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3.4 External Sources

3.4.6 Employment Exchanges

Under the Employment Exchanges Under the Employment Exchanges {Compulsory Notification of Vacancies} {Compulsory Notification of Vacancies} Act, 1959, it is compulsory for Act, 1959, it is compulsory for industrial establishments, employing more industrial establishments, employing more than 25 workers, to notify vacancies than 25 workers, to notify vacancies before they are filled .before they are filled .

Employment exchanges are useful in Employment exchanges are useful in recruiting technical workers. recruiting technical workers.

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3.4 External SourcesFew Innovative Methods of sourcing.

®® BPOsBPOs tied up with a premium yellow pages tied up with a premium yellow pages company. When one called for assistance company. When one called for assistance companycompany’’s job advertisement would be s job advertisement would be heard first.heard first.

®® Another company had a mobile recruitment Another company had a mobile recruitment van called van called ““Careers on wheelsCareers on wheels””. .

®® An IT company developed the course An IT company developed the course material of colleges to suit their material of colleges to suit their organizational needs. Thus Graduates organizational needs. Thus Graduates turned into ready to hire candidates.turned into ready to hire candidates.

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3.5 Other SourcesEmployee Referrals

This old source was structured by the This old source was structured by the phenomenal growth of the IT sector. Is phenomenal growth of the IT sector. Is now used across the industries. Employees now used across the industries. Employees are encouraged to become are encouraged to become ““Internal Head Internal Head HuntersHunters”” are rewarded financially. are rewarded financially.

Candidates appointed through employee Candidates appointed through employee referrals tend to stay longer with the referrals tend to stay longer with the companies and cost of recruitment is much companies and cost of recruitment is much less for this source. Success depends on less for this source. Success depends on speed with which internal recruitment is speed with which internal recruitment is carried and employees rewarded.carried and employees rewarded.

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3.5 Other SourcesAdvertisement on the Gates.

The source is used to recruit for factories and in retail trade

Notices are posted on the entrances Notices are posted on the entrances providing details of the vacancies. providing details of the vacancies. Effective for junior jobs requiring Effective for junior jobs requiring normal skills.normal skills.

Recruitment costs of the source are lowest. Recruitment costs of the source are lowest.

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3.5 Other SourcesExpat Hiring.

The last decade has witnessed an increase in the number of expatriate executives across sectors such as retail, telecom and aviation, which required efficiencies in the systems and processes and best business practices.

Organizations chose to recruit Organizations chose to recruit expatsexpats as as there was no ready supply of talent there was no ready supply of talent available in the country. Reliance, available in the country. Reliance, Vodafone and Jet Air recruited Vodafone and Jet Air recruited expatsexpats for for key positions.key positions.

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3.6 Summary

Reaching out to the right candidates is easy if the right source of recruitment is used. Each source has its own advantages and disadvantages. And none of them can be used in isolation to meet recruitment needs of the entire organization. With cost being a factor, the smart recruiter needs to understand the ramifications of each source and uses a mix that suits the urgency and uniqueness of their requirements.

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3.6 Summary

A print recruitment advertisement no longer ensures quality responses. The smart recruiter uses multiple channels and the recruiting strategy includes all or any of the recruitment sources.

Continuous monitoring of the process ensures effectiveness.

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Thus we have come to an end to this session # 03Thus we have come to an end to this session # 03

In the fourth session that follows In the fourth session that follows

we learn we learn

““ Recruitment from Advertisement to Recruitment from Advertisement to Short List Short List ““

Chapter Four.Chapter Four.Good Luck!Good Luck!