1. Expanding the Talent Pool: Recruitment and Careers
The Challenges of Human Resources Management

2. Chapter Objectives After studying this chapter, you should be able to
Describe how a firm’s strategy affects its recruiting efforts.
Outline the methods by which firms recruit internally.
Outline the methods by which firms recruit externally.
Explain the techniques organizations can use to improve their recruiting efforts.
Explain how career management programs integrate the needs of
individual employees and their organizations.
Explain why diverse recruitment and career development activities are important to companies.
LEARNING OUTCOME 1
LEARNING OUTCOME 2
LEARNING OUTCOME 3
LEARNING OUTCOME 4
LEARNING OUTCOME 5
LEARNING OUTCOME 6

3. Strategic Aspects of Recruiting
Decisions about talent — regardless of whether they pertain to recruiting, transferring, promoting, developing, or deploying people—need to be considered within the context of a business’s strategies and priorities.
The broad factors that can affect a firm’s recruiting strategy include a firm’s
Recruiting abilities,
whether to recruit externally versus internally,
the labor market for the types of positions it is recruiting for, including global labor markets, and
the strength of a firm’s employment “brand.”

4. Who Should Do the Recruiting?
HR recruiters or generalist (large firms)
Managers and/or Supervisors (smaller firms)
Work Teams, or
Recruiting Process Outsourcing (RPO)
The practice of outsourcing an organization’s recruiting function to an outside firm.

5. International Recruiting Issues
Global Labor Markets
Why Recruit Globally?
To develop better products via a global workforce
To attract the best talent wherever it may be
International Recruiting Issues
Local, national, and international laws
Different labor costs
Different pre-employment and compensation practices
Cultural differences
Security
Visas and work permits

6. Should a Firm Recruit Internally or Externally?
Most managers try to follow a policy of filling job vacancies above the entry-level position through promotions and transfers. By filling vacancies in this way, an organization can capitalize on the investment it has made in recruiting, selecting, training, and developing its current employees, who might look for jobs elsewhere if they lack promotion opportunities.
There are Advantages and Disadvantages to both.

7. Factors determining the relevant labor market:
Labor Markets
Labor Market
Area from which applicants are to be recruited.
Tight market: high employment, few available workers
Loose market: low employment, many available workers
Factors determining the relevant labor market:
Skills and knowledge required for a job
Level of compensation offered for a job
Reluctance of job seekers to relocate
Ease of commuting to workplace
Location of job (urban or nonurban)

8. Recruiting Internally
Internal Job Postings
Identifying Talent through Performance Appraisals
Skills Inventories and Replacement Charts

10. Warning Signs of a Weak Talent “Bench”

11. Recruiting Externally
Advertisements
Walk-Ins and Unsolicited Applications and Résumés
The Internet, Social Networking, and Mobile Recruiting
Job Fairs
Employee Referrals
Re-recruiting
Executive Search Firms
Educational Institutions

13. Recruiting Externally (cont.)
Professional Associations
Labor Unions
Public Employment Agencies
Private Employment and Temporary Agencies
Employee Leasing

14. Major Temporary Help Agencies in the United States

15. Improving the Effectiveness of Recruiting
Using Realistic Job Previews
Surveys
Recruiting Metrics
Surveys
Recruiting Metrics
Effectiveness of Recruitment
Realistic Job Previews

16. Quality of Fill Statistics Quality of Hire = (PR + HP + HR) / N
Recruiting Metrics
Quality of Fill Statistics
Quality of Hire = (PR + HP + HR) / N
PR = Average job performance rating of new hires
HP = % of new hires reaching acceptable productivity with acceptable time frame
HR = % of new hires retained after one year
N = number of indicators

17. Recruiting Metrics (cont.)
Example:
PR = Average 3.5 on a 5.0 scale = 70%
HP = Of 100 hires made one year ago, 75 are meeting acceptable productivity levels = 75%
HR 5 20% turnover = 80% HR
N = 3
Quality of Hire = ( ) / 3 = 75
The result is a quality level of 75 percent for new employees hired during the year.

18. Recruiting Metrics (cont.)
Time to Fill
refers to the number of days from when a job opening is approved to the date the person ultimately chosen for the job is selected
Yield Ratios
The percentage of applicants from a recruitment source that make it to the next stage selection process

19. Time-to-Fill Calculations

20. Cost of Recruitment (per employee hired)
Costs of Recruitment
Cost of Recruitment (per employee hired)
SC = source cost
AC = advertising costs, total monthly expenditure (example: $32,000)
AF = agency fees, total for the month (example: $21,000)
RB = referral bonuses, total paid (example: $2,600)
NC = no-cost hires, walk-ins, nonprofit agencies, etc. (example: $0)
H = total hires (example: 119)
Cost to hire one employee = $467.23

21. Career Management: Developing Talent over Time

22. Blending the Goals of Individual Employees with the Goals of the Organization

23. Identify Job Progressions and Career Paths

25. Recognize Different Career Paths
Promotion
A change of assignment to a job at a higher level in the organization
Transfer
Placement of an individual in another job for which the duties, responsibilities, status, and remuneration are approximately equal to those of the previous job
Consider Dual Career Paths for Employees
Consider the Boundaryless Career
Help Employees Progress beyond Career Plateaus

26. Human Capital Profiles for Two Different Careers

27. Successful Career-Management Practices
Placing clear expectations on employees.
Giving employees the opportunity for transfer.
Providing a clear and thorough succession plan
Encouraging performance through rewards and recognition.
Giving employees the time and resources they need to consider short- and long-term career goals.
Encouraging employees to continually assess their skills and career direction.

28. Successful Career-Management Practices (cont.)
Lack of time, budgets, and resources for employees to plan their careers and to undertake training and development.
Rigid job specifications, lack of leadership support for career management, and a short-term focus.
Lack of career opportunities and pathways within the organization for employees.

29. Career Plateau Questions

31. Mentoring Functions

32. Developing a Diverse Talent Pool
Recruiting and Developing Women
Eliminating Women’s Barriers to Advancement
Advancing Women to Management
Accommodating Families
Recruiting and Developing Minorities
Providing Minority Internships
Advancing Minorities to Management

33. Other Important Talent Concerns
Recruiting the Disabled
Employing the Older Workforce
Employing Dual Career Couples

34. Key Terms applicant tracking system branding assessment center
career counseling
career networking
career paths
career plateau
dual career partnerships
employee leasing
employee profile
fast-track program
global sourcing
internal labor market
job progressions
mentors
nepotism
9-box grid
outplacement services
passive job seekers
promotion
recruiting process outsourcing
(RPO)
realistic job preview (RJP)
relocation services
rerecruiting
sabbatical
transfer
yield ratio

35. Chapter 5 - Learning Outcomes
Learning Outcome Statements
Related Outcomes from Body of the Text 1
Describe how a firm’s strategy affects its recruiting efforts.
This section describes some of the major factors that can affect a firm’s recruiting. What other factors might play a role? Hint: Refer to Chapter 1. 2
Outline the methods by which firms recruit internally.
Sometimes firms do not post internal openings for which anyone may apply. Instead, they select someone to promote. Why might a firm do this and what drawbacks could result? 3
Outline the methods by which firms recruit externally.
If you were a small business owner, how would you go about attracting top external candidates to your firm? 4
Explain the techniques organizations can use to improve their recruiting efforts.
If you’re employed, ask your boss what methods he or she has most successfully used to recruit employees. Compare your findings with your classmates. Does the recruiting source seem to depend upon the type of job? 5
Explain how career management programs integrate the needs of individual employees and their organizations.
Why should both employees and their employers be concerned about career management programs? 6
Explain why diverse recruitment and career development activities are important to companies.
How are the career challenges of minorities both similar to and different from those of women in your opinion?