© 2008 Prentice Hall, Inc. All rights reserved.5–1 Internal Candidates: Hiring from Within Foreknowledge of candidates’ strengths and weaknesses More accurate view of candidate’s skills Candidates have a stronger commitment to the company Increases employee morale Less training and orientation required Failed applicants become discontented Time wasted interviewing inside candidates who will not be considered Inbreeding strengthens tendency to maintain the status quo AdvantagesDisadvantages

© 2008 Prentice Hall, Inc. All rights reserved.5–2 Finding Internal Candidates Hiring from Within Job Posting Succession Planning (HRIS) Rehiring Former Employees

© 2008 Prentice Hall, Inc. All rights reserved.5–3 Outside Sources of Candidates Advertising Recruiting via the Internet Employment Agencies Temp Agencies and Alternative Staffing Offshoring/Outsourcing On Demand Recruiting Services (ODRS) Executive Recruiters College Recruiting Referrals and Walk-ins Locating Outside Candidates

© 2008 Prentice Hall, Inc. All rights reserved.5–4 Outside Sources of Candidates (cont’d) Recruiting via the InternetRecruiting via the Internet  Advantages  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  Disadvantages  Exclusion of older and minority workers  Excessive number of unqualified applicants  Personal information privacy concerns of applicants

© 2008 Prentice Hall, Inc. All rights reserved.5–5 FIGURE 5–8 Top Job Boards Ranked According to Average Number of Job Listings Source: Workforce Management, May 22, 2006, p. 12.

© 2008 Prentice Hall, Inc. All rights reserved.5–6 FIGURE 5–9Ineffective and Effective Web Ads Source: Workforce, December 2001, © Crain Communication, Inc. Reprinted with permission.

© 2008 Prentice Hall, Inc. All rights reserved.5–7 Advertising for Outside Candidates The Media ChoiceThe Media Choice  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: specialized employees  Internet job sites: global labor markets Effective AdsEffective Ads  Create attention, interest, desire, and action (AIDA).  Create a positive impression of the firm.

© 2008 Prentice Hall, Inc. All rights reserved.5–8 FIGURE 5–10Help Wanted Ad That Draws Attention Source: The New York Times, May 13, 2007, Business p. 18.

© 2008 Prentice Hall, Inc. All rights reserved.5–9 Employment Agencies Public Agencies Private Agencies Types of Employment Agencies Nonprofit Agencies

© 2008 Prentice Hall, Inc. All rights reserved.5–10 Outside Sources of Candidates (cont’d) Why Use a Private Employment AgencyWhy Use a Private Employment Agency  No HR department: firm lacks recruiting and screening capabilities.  To attract a pool of qualified applicants.  To fill a particular opening quickly.  To attract more minority or female applicants.  To reach currently employed individuals who are more comfortable dealing with agencies.  To reduce internal time devoted to recruiting.

© 2008 Prentice Hall, Inc. All rights reserved.5–11 Outside Sources of Candidates (cont’d) Avoiding Problems with Employment AgenciesAvoiding Problems with Employment Agencies  Provide the agency with accurate and complete job descriptions.  Make sure tests, application blanks, and interviews are part of the agency’s selection process.  Review candidates accepted or rejected by your firm or the agency for effectiveness and fairness of agency’s screening process.  Screen agency for effectiveness in filling positions.  Supplement the agency’s reference checking by checking the final candidate’s references yourself.

© 2008 Prentice Hall, Inc. All rights reserved.5–12 Temp Agencies and Alternative Staffing Benefits of TempsBenefits of Temps  Increased productivity—paid only when working  Allows “trial run” for prospective employees  No recruitment, screening, and payroll administration costs Costs of TempsCosts of Temps  Increased labor costs due to fees paid to temp agencies  Temp employees’ lack of commitment to the firm

© 2008 Prentice Hall, Inc. All rights reserved.5–13 Concerns of Temp Employees Dehumanizing, impersonal, and discouraging treatment by employers.Dehumanizing, impersonal, and discouraging treatment by employers. Insecurity about employment and pessimism about the future.Insecurity about employment and pessimism about the future. Worry about the lack of insurance and pension benefits.Worry about the lack of insurance and pension benefits. Being misled about job assignments and whether temporary assignments are likely to become full-time positions.Being misled about job assignments and whether temporary assignments are likely to become full-time positions. Being “underemployed” while trying return to the full- time labor market.Being “underemployed” while trying return to the full- time labor market. Anger toward the corporate world and its values; expressed as alienation and disenchantment.Anger toward the corporate world and its values; expressed as alienation and disenchantment.

© 2008 Prentice Hall, Inc. All rights reserved.5–14 FIGURE 5–11Guidelines for Using Temporary Employees Source: Adapted from Bohner and Selasco, “Beware the Legal Risks of Hiring Temps,” Workforce, October 2000, p Do not train your contingent workers. Ask their staffing agency to handle training. 2.Do not negotiate the pay rate of your contingent workers. The agency should set pay. 3.Do not coach or counsel a contingent worker on his/her job performance. Instead, call the person’s agency and request that it do so. 4.Do not negotiate a contingent worker’s vacations or personal time off. Direct the worker to his or her agency. 5.Do not routinely include contingent workers in your company’s employee functions. 6.Do not allow contingent workers to utilize facilities intended for employees. 7.Do not let managers issue company business cards, nameplates, or employee badges to contingent workers without HR and legal approval. 8.Do not let managers discuss harassment or discrimination issues with contingent workers. 9.Do not discuss job opportunities and the contingent worker’s suitability for them directly. Instead, refer the worker to publicly available job postings. 10.Do not terminate a contingent worker directly. Contact the agency to do so.

© 2008 Prentice Hall, Inc. All rights reserved.5–15 Working with a Temp Agency Invoicing. Make sure the agency’s invoice fits your company’s needs.Invoicing. Make sure the agency’s invoice fits your company’s needs. Time sheets. The time sheet is a verification of hours worked and an agreement to pay the agency’s fees.Time sheets. The time sheet is a verification of hours worked and an agreement to pay the agency’s fees. Temp-to-perm policy. What is the policy if you want to hire a temp as a permanent employee?Temp-to-perm policy. What is the policy if you want to hire a temp as a permanent employee? Recruitment of and benefits for temp employees. How does the agency plan to recruit and what sorts of benefits it will it pay?Recruitment of and benefits for temp employees. How does the agency plan to recruit and what sorts of benefits it will it pay? Dress code. Specify the attire at each of your offices or plants.Dress code. Specify the attire at each of your offices or plants. Equal employment opportunity statement. Get a statement from the agency that it does not discriminate when filling temp orders.Equal employment opportunity statement. Get a statement from the agency that it does not discriminate when filling temp orders. Job description information. Ensure that the agency understands the job to be filled and the sort of person you want to fill it.Job description information. Ensure that the agency understands the job to be filled and the sort of person you want to fill it.

© 2008 Prentice Hall, Inc. All rights reserved.5–16 Offshoring/Outsourcing White-Collar and Other Jobs Political and Military Instability Cultural Misunderstandings Customers’ security and privacy concerns Foreign contracts, liability, and legal concerns Special training of foreign employees Costs of foreign workers Resentment and anxiety of U.S. employees/unions Main Issues

© 2008 Prentice Hall, Inc. All rights reserved.5–17 Outside Sources of Candidates (cont’d) Executive Recruiters (Headhunters)Executive Recruiters (Headhunters)  Contingent-based recruiters  Retained executive searchers  Internet technology and specialization trends Guidelines for Choosing a RecruiterGuidelines for Choosing a Recruiter 1. Make sure the firm is capable of conducting a thorough search. 2. Meet individual who will handle your assignment. 3. Ask how much the search firm charges. 4. Never rely solely on the recruiter to do reference checking.

© 2008 Prentice Hall, Inc. All rights reserved.5–18 Outside Sources of Candidates (cont’d) College RecruitingCollege Recruiting  On-campus recruiting goals  To determine if the candidate is worthy of further consideration  To attract good candidates  On-site visits  Invitation letters  Assigned hosts  Information packages  Planned interviews  Timely employment offer  Follow-up  Internships

© 2008 Prentice Hall, Inc. All rights reserved.5–19 Outside Sources of Candidates (cont’d) Employee ReferralsEmployee Referrals  Referring employees become stakeholders.  Referral is a cost-effective recruitment program.  Referral can speed up diversifying the workforce.  Relying on referrals may be discriminatory. Walk-insWalk-ins  Seek employment through a personal direct approach to the employer.  Courteous treatment of any applicant is a good business practice.

© 2008 Prentice Hall, Inc. All rights reserved.5–20 FIGURE 5–12Best Recruiting Sources Percentage of employers reporting best-performing sources for hiring without regard to cost, Source: Workforce Management, December 2004, p. 98. Note: Survey of 2,294 organizations.

© 2008 Prentice Hall, Inc. All rights reserved.5–21 Improved Productivity Through HRIS: An Integrated Technology Approach to Recruiting Requisition Management System Integrated Recruiting Solution Screening Services Hiring Management Integrated Employee Recruitment System

© 2008 Prentice Hall, Inc. All rights reserved.5–22 Recruiting A More Diverse Workforce Single Parents Older Workers Welfare-to-Work Minorities and Women The Disabled

© 2008 Prentice Hall, Inc. All rights reserved.5–23 Developing and Using Application Forms Applicant’s education and experience Applicant’s likelihood of success Applicant’s progress and growth Uses of Application Information Applicant’s employment stability

© 2008 Prentice Hall, Inc. All rights reserved.5–24 FIGURE 5–13 Employment Application

© 2008 Prentice Hall, Inc. All rights reserved.5–25 Application Forms and the Law Education Achievements Arrest Record Notification in Case of Emergency Memberships in Organizations Physical Handicaps Marital Status Housing Arrangements Areas of Personal Information

© 2008 Prentice Hall, Inc. All rights reserved.5–26 K E Y T E R M S employment or personnel planning trend analysis ratio analysis scatter plot computerized forecast qualifications inventories personnel replacement charts position replacement card recruiting yield pyramid job posting succession planning alternative staffing on demand recruiting services (ODRS) application form