1. Human Resource Management MBA & BBA
Recruitment
Lectures 13,14,15
Course Lecturer: Farhan Mir

2. Recruitment
Any activity carried on by the organization with the primary purpose of identifying and attracting potential employees
Organizational activities that influence:
The number and types of applicants who apply for a job
Whether the applicants accept jobs that are offered
Directly related to HR planning and selection
Represents the first contact between organizations and prospective employees
Goal of Recruitment
to ensure that when a vacancy occurs, the organization has a number of reasonably qualified applicants to choose from

3. External Influences on Recruitment
Government and
Union Restrictions
Labor Market
Conditions
Composition of
the potential
Labor Force
Location of the
Organization 4

4. Who: Responsibilities for Recruiting
In larger organizations, the HR department does the recruiting
In smaller organizations, multipurpose HR people or operating managers recruit and interview applicants
The Clerical Staff may filter out applications initially on given criteria & requirements by the organization

5. Recruitment Sources

6. Internal Methods of Locating Qualified Job Candidates
Human Resources Information Systems (HRIS)
Database systems containing the records and qualifications of each employee that can be accessed to identify and screen candidates for an internal job opening.
Job Posting and Bidding
Posting vacancy notices and maintaining lists of employees looking for upgraded positions.

7. External Recruiting Media Advertising E-recruiting Employment Agencies
Executive Search Firms
Special Events Recruiting
Summer Internships
College Recruiting

9. Internal Recruiting
Internal recruiting—recruiting source seeking applicants for positions from among the ranks of those currently employed.
advantages
better assessment of candidates
reduces training time
faster
cheaper
motivates employees
High Performance Work System characteristic
disadvantages
creates vacancies
stifles diversity
insufficient supply of candidates

10. External Recruiting
External recruiting—recruiting source seeking applicants for positions from outside the organization.
advantages
increases diversity
facilitates growth
shortens training time
A theory that you get new/novel problem solving (not proven)
disadvantages
expensive
slower
less reliable data
stifles upward movement of personnel

11. Effectiveness of Recruitment Sources
Source: David E. Terpstra, “The Search for Effective Methods.” Reprinted from HRFocus, May © 1996 American Management Association International. Reprinted by permission of American Management Association International, New York, NY. All rights reserved.
Figure 4.9

12. Realistic Job Preview
Provides prospective employee with pertinent information about the job without distortion or exaggeration
Presents the full job picture (“warts” and all)
Telling almost everything about job and just not the extra-ordinary benefits or challenges

13. Typical Consequences of Job Preview Procedures: Traditional Preview
Sets initial job expectations too high
Job is typically viewed as attractive, stimulating, and challenging
High rate of acceptance of job offers
Work experience disconfirms expectations
Dissatisfaction and realization that job is not matched to needs
Low job survival, dissatisfaction, frequent thoughts of quitting

14. Typical Consequences of Job Preview Procedures: Realistic Preview
Sets job expectations realistically
Job may or may not be attractive, depending on individual’s needs
Some accept, some reject job offer
Work experience confirms expectations
Satisfaction; needs matched to job
High job survival, satisfaction, infrequent thoughts of quitting

15. External Recruitment Considerations
Yield Ratio
Percentage of applicants from a recruitment source that make it to the next stage of the selection process.
100 resumes received, 50 found acceptable = 50% yield.
Cost of Recruitment (per employee hired)
SC = source cost
AC = advertising costs, total monthly expenditure (example: $28,000)
AF = agency fees, total for the month (example: $19,000)
RB = referral bonuses, total paid (example: $2,300)
NC = no-cost hires, walk-ins, nonprofit agencies, etc. (example: $0)
H = total hires (example: 119) Cost to hire one employee = $414

16. Summary
A better job of recruiting and matching employees to jobs will mean:
Lower employee turnover
Greater employee satisfaction and organizational effectiveness
The Internet is revolutionizing organizational recruitment

17. Hot Recruiting Sites Career Builder: http://www.careerbuilder.com
Carries its own listings and offers links to sixteen specialized career sites.
Employment Guide:
Another leading career resource site, has thousands of job listings from hundreds of major companies.
FlipDog:
Features more than 400,000 jobs and 57,000 employers in 3,700 locations.
HotJobs:
Owned by Yahoo, offers advanced management features and smart agents to streamline the recruiting process.
HRM 6

18. Hot Recruiting Sites JOBTRAK: http://www.jobtrak.com
A leading college recruiting site, has more than 40,000 listings and links to 750 campuses in the United States.
JobWeb:
A college recruiting site run by the National Association of Colleges and Employers.
Monster.com:
One of the oldest and largest general recruiting sites on the Internet, with more than 50,000 listings.
Net-Temps:
The web’s leading site for recruiting temps
Spherion (formerly E. Span):
One of the largest and best-known web recruiting sites.
HRM 6

19. Best and Worst Majors for Job-Hunting Graduates
Source: Patrick Scheetz, Employment Research Institute, Michigan State University.
Figure 4.11

20. Human Resource Management MBA & BBA
Selection
Lectures 16,17,18
Course Lecturer: Farhan Mir

21. Objectives Explain the objectives of the personnel selection process.
Identify the various sources of information used for personnel selection.
Compare the value of different types of employment tests.
Illustrate the different approaches to conducting an employment interview.
Describe the various decision strategies for selection.

22. Matching People and Jobs
Selection
The process of choosing individuals who have relevant qualifications to fill existing or projected job openings.
Selection Considerations
Person-job fit: job analysis identifies required individual competencies (KSAOs) for job success.
Person-organization fit: the degree to which individuals are matched to the culture and values of the organization.

23. The Goal of Selection: Maximize “Hits”
MISS
Inaccurate prediction (Person would have succeeded on the job)
HIT
Accurate prediction (Person succeeds on the job)
Accurate prediction (Person would not have succeeded on the job)
Inaccurate prediction (Person fails on the job)
Predicted Success
Job Performance
Low
High

24. Steps in the Selection Process
Hiring decision
Medical exam/drug test
Supervisor/team interview
Preliminary selection in HR department
Background investigation
Employment testing (aptitude, achievement)
Initial interview in HR department
Note: Steps may vary. An applicant may be rejected after any step in the process.
Completion of application

25. The Selection Process Obtaining Reliable and Valid Information
Reliability
The degree to which interviews, tests, and other selection procedures yield comparable data over time and alternative measures.
Validity
Degree to which a test or selection procedure measures a person’s attributes.

26. Reliability as Stability over Time
HIGH RELIABILITY TEST RETEST
APPLICANT SCORE SCORE
Smith 90 93
Perez 65 62
Riley
Chan 80 78
VERY LOW RELIABILITY TEST RETEST
APPLICANT SCORE SCORE
Smith 90 72
Perez 65 88
Riley
Chan

27. Validation Approaches
Criterion-related Validity
The extent to which a selection tool predicts, or significantly correlates with, important elements of work behavior.
A high score indicates high job performance potential; low score is predictive of low job performance.
Concurrent Validity
The extent to which test scores (or other predictor information) match criterion data obtained at about the same time from current employees.
High or low test scores for employees match their respective job performance.

28. Correlation : A Method of Assessment

29. Validation Approaches
Content validity
The extent to which a selection instrument, such as a test, adequately samples the knowledge and skills needed to perform a particular job.
Example: typing tests, driver’s license examinations
Construct validity
The extent to which a selection tool measures a theoretical construct or trait.
Are difficult to validate
Example: creative arts tests, honesty tests

30. Validation Approaches
Cross-validation
Verifying the results obtained from a validation study by administering a test or test battery to a different sample (drawn from the same population).

31. Steps in Validating a Test (Criterion-Related Validity)
Examination of the job Job analysis/specifications
Selection of criteria
Selection of tests for tryout
Alternative/ optional
Collect criterion data (concurrent method)
Collect criterion data (predictive method) OR
Administer tests
Relate test scores to criterion data, then cross validate
Plan research for test (continuing cross validation)
Interpret results for operational use of tests
Include test(s) in selection process (operational)
Analyze follow-up data
Revise operational program

32. The Base of Selection: Sources of Information about Job Candidates
Application Forms
Online Applications
Biographical Information Blanks (BIB)
Background Investigations
Polygraph Tests
Integrity and Honesty Tests
Graphology
Medical Examinations
Employment Tests
Interviews

33. The Effectiveness of Selection Methods
In a survey of 201 HR executives, participants were asked which selection methods produce the best employees. The mean rating for nine methods on a 5-point scale (1 = not good, 3 = average, 5 = extremely good):
Work samples 3.68
References/recommendations 3.49
Unstructured interviews 3.49
Structured interviews 3.42
Assessment centers 3.42
Specific aptitude tests 3.08
Personality tests 2.93
General cognitive ability tests 2.89
Biographical information blanks 2.84
Source: David E. Terpstra, “The Search for Effective Methods.” Reprinted from HRFocus, May © 1996 American Management Association International. Reprinted by permission of American Management Association International, New York, NY. All rights reserved.

34. How HR Uses Background Investigations
Percentage of respondents conducting the following checks:
Contact references provided by candidate 75%
Verify schools attended and degrees earned 62%
Contact people suggested by references 42%
Check driving records 41%
Verify reference letters provided by candidate 30%
Run credit checks 25%
Source: Society for Human Resource Management (SHRM).

35. Application Forms Application date Educational background Experience
Arrests and convictions
Country of citizenship
References
Disabilities

36. Biographical Information Blanks
Sample Questions:
At what age did you leave home?
How large was the town/city in which you lived as a child?
Did you ever build a model airplane that flew?
Were sports a big part of your childhood?
Do you play any musical instruments?

37. Background Investigations
Checking References
Letters of reference
Mail and telephone checks
Specific job-related information
Family Educational Rights Privacy Act of 1974 (FERPA)
Requires signed requests for reference letters and signed consent to background checks.
Applies to both educational and private employers.
Failure to Check References
Negligent hiring liabilities

38. Background Investigations & Others
Graphology
The use of a sample of an applicant’s handwriting to make an employment decision.
Medical Examinations
Given last as they can be costly.
Ensure that the health of an applicant is adequate to meet the job requirements.
Provides a baseline for subsequent examinations
ADA requires all exams be job-related and conducted after an employment offer is made.

39. Drug Testing Drug-Free Workplace Act of 1988 Effects of Testing
Testing for illegal drugs is required applicants and employees of federal contractors.
Effects of Testing
Questions about the accuracy of results.
Applicants testing positive are generally not hired.
Current employees testing positive are referred to employee assistance programs for rehabilitation.

40. Employment Tests Employment Test
An objective and standardized measure of a sample of behavior that is used to gauge a person’s knowledge, skills, abilities, and other characteristics (KSAOs) in relation to other individuals.

41. Classification of Employment Tests
Cognitive Ability Tests
Aptitude tests
Measures of a person’s capacity to learn or acquire skills.
Achievement tests
Measures of what a person knows or can do right now.
Personality and Interest Inventories
“Big Five” personality factors:
Extroversion, agreeableness, conscientiousness, neuroticism, openness to experience.

42. Classification of Employment Tests (cont’d)
Physical Ability Tests
Must be related to the essential functions of the the job.
Job Knowledge Tests
An achievement test that measures a person’s level of understanding about a particular job.
Work Sample Tests
Require the applicant to perform tasks that are actually a part of the work required on the job.

43. Interviewing Methods Nondirective Interview Structured Interview
The applicant determines the course of the discussion, while the interviewer refrains from influencing the applicant’s remarks.
Structured Interview
An interview in which a set of standardized questions having an established set of answers is used.

44. Interviewing Methods (cont’d)
Situational Interview
An interview in which an applicant is given a hypothetical incident and asked how he or she would respond to it.
Behavioral Description Interview (BDI)
An interview in which an applicant is asked questions about what he or she actually did in a given situation.
Panel Interview
An interview in which a board of interviewers questions and observes a single candidate.

45. Interviewing Methods (cont’d)
Computer Interview
Using a computer program that requires candidates to answer a series of questions tailored to the job. Answers are compared either with an ideal profile or with profiles developed on the basis of other candidates’ responses.
Video interviews
Using video conference technologies to evaluate job candidates’ technical abilities, energy level, appearance, and the like before incurring the costs of a face-to-face meeting.

46. Sample Situational Interview Question
It is the night before your scheduled vacation. You are all packed and ready to go. Just before you get into bed, you receive a phone call from the plant. A problem has arisen that only you can handle. You are asked to come in to take care of things. What would you do in this situation?
RECORD ANSWER:
SCORING GUIDE:
Good: “I would go in to work and make certain that everything is O.K. Then I would go on vacation.”
Good: “There are no problems that only I can handle. I would make certain that someone qualified was there to handle things.”
Fair: “I would try to find someone else to deal with the problem.”
Fair: “I would go on vacation.”

47. Variables in the Employment Interview
Context
Purpose of the interview
Law and regulations
Economic issues
Physical settings
Interview structure
Applicant
KSAOs
Education
Experience
Interests
Perceptions
Nonverbal cues
Age, sex, race, etc.
INTERVIEW __________________
Process
_____________________
Outcome (Hiring Decision)
Interviewer(s)
Experience/training
Age, sex, race, etc.
Perceptions
Nonverbal cues
Goals

48. Ground Rules for Employment Interviews
Establish an interview plan
Establish and maintain rapport
Be an active listener
Pay attention to nonverbal cues
Provide information freely
Use questions effectively
Separate facts from inferences
Recognize biases and stereotypes
Control the course of the interview
Standardize the questions asked

49. Reaching a Selection Decision
Selection Considerations:
Are individuals to be hired according to their highest potential or according to the needs of the organization?
At what grade or wage level to start the individual?
Should selection be for employee- job match, or should advancement potential be considered?
Should those not qualified but qualifiable be considered?
Should overqualified individuals be considered?
What effect will a decision have on meeting affirmative action plans and diversity considerations?

50. “Can-Do”and “Will-Do”Factors in Selection Decisions
______________________________
Knowledge
Skills
Abilities
Job Performance
“Will Do”
______________________________
Personality
Values
Motivation

51. Selection Process (cont’d)
Final Decision
Selection of applicant by departmental or immediate supervisor to fill vacancy.
Notification of selection and job offer by the human resources department.

52. Human Resource Management MBA (IT) 4th
Supplementary Cases (Selection)
Lectures 16,17,18
Course Lecturer: Farhan Mir

53. Interviews at Thompson Manufacturing
Need for more standard and Productive Selection tools

54. Thomson Manufacturing
Introduction
Founded in 1982 the company produces and sells quality printing machines and equipments
The company expanded it’s sales from smaller and medium size organizations to larger concerns
For example sells it’s printing facilities to the large Printing Press in the area of Detroit

56. The Selection Process at Thompson
At Thompson the Production Manager is the final authority for making any selection at his plant
The HR Manager screens out the applicants and sends the most appropriate candidate towards the production manager for interview

57. An Example
Jack the production manager received a call from his HR manager regarding a post vacant as line supervisor
He wanted to send that young man for a final interview
Jack being the production manager was definitely overloaded with tasks and responsibilities but agreed for a session with the applicant

58. An Example
The new applicant arrived at Jack’s office and stayed there for almost 1 hour
During the stay the production manager was busy in telephonic calls and was interrupted by many people with serious problems
Finally he went away to pick his wife from her office to his home
The interview session ended and jack asked the applicant to ring him later

59. Story unfolds realities
Such Interviews are not fruitful in all cases and may effect the organization in the longer run
Organizations could avoid such interviews by developing a mechanism (Structured Method)
Should the Interview be taken by the Production Manager or by the HR Manager Why or Why not?

60. Selection at Quality Printing Company

61. Quality Printing Company
Introduction
A Company with a small premises
A manager Owner (Bill) with few employees
The work on printing machines to printed items for personal and industry usage
The company gained reputation through it’s quality products and services
Within years it’s products sales increased within state and interstate as well

62. Selection at Quality Printing Company
The Company’s business increased in the recent past and the current employees were overloaded with work
Bill the owner manager decided to have another employee
Posted an Ad in the news paper and out of the applicants invited three people for interviews
One of the applicant looked a close match

63. Selection at Quality Printing Company
Bill wanted to evaluate Mark (one of the applicant in closest contention)
First he did a background check by calling his last employer in Detroit
They reported him as competent and hardworking and honest employee but also reported about Mark’s divorce and the fall in his performance lately
Bill called Mark and checked his performance on a printing machine and found him competent
Bill immediately decided to hire Mark as his new employee

64. Selection at Quality Printing Company
Identify the Selection tools used by Bill and his company
Do you agree with the selection methodology and the final Decision?