5 Personnel Planning and Recruiting

5 Personnel Planning and Recruiting
This chapter explains the process of forecasting personnel requirements, discusses the pros and cons of methods used for recruiting job candidates, describes how to develop an application form, and explains how to use application forms to predict job performance. The Internet has changed the face of recruiting, particularly in advertising for applicants. Employers can now reach more potential applicants in less time and at less expense. However, this tool has generated some challenges. Employers may get too many applicants, or fail to reach certain segments of the population. Copyright © 2015 Pearson Education, Inc.

Copyright © 2015 Pearson Education, Inc.
Learning Objectives Explain the main techniques used in employment planning and forecasting. Explain and give examples for the need for effective recruiting. Name and describe the main internal sources of candidates. After studying this chapter, you will be able to: 1. Explain the main techniques used in employment planning and forecasting. 2. Explain and give examples for the need for effective recruiting. 3. Name and describe the main internal sources of candidates. Copyright © 2015 Pearson Education, Inc.

Learning Objectives List and discuss the main outside sources of candidates. Explain how to recruit a more diverse workforce. Developing and Using Application Forms: Discuss practical guidelines for obtaining application information. After studying this chapter, you will be able to: 4. List and discuss the main outside sources of candidates. 5. Explain how to recruit a more diverse workforce. 6. Developing and Using Application Forms: Discuss practical guidelines for obtaining application information. Copyright © 2015 Pearson Education, Inc.

Explain the main techniques used in employment planning and forecasting. Workforce (or employment or personnel) planning is the process of deciding what positions the firm will have to fill, and how to fill them. We’ll discuss some of the principle techniques used in planning and forecasting. Copyright © 2015 Pearson Education, Inc.

Introduction Job analysis identifies the duties and human requirements for each of the company’s jobs. The next step is to decide which of these jobs you need to fill, and to recruit and select employees for them. The traditional way to envision recruitment and selection is as a series of hurdles (Figure 5-1): 1. Decide what positions to fill, through workforce/personnel planning and forecasting. 2. Build a pool of candidates for these jobs, by recruiting internal or external candidates. 3. Have candidates complete application forms and perhaps undergo initial screening interviews. 4. Use selection tools like tests, background investigations, and physical exams to screen candidates. 5. Decide who to make an offer to by having the supervisor and perhaps others interview the candidates. We will see in this and the next two chapters that employers increasingly conduct activities 1 through 5 electronically. Copyright © 2015 Pearson Education, Inc.

Workforce Planning and Forecasting
Workforce planning ideally precedes recruitment and selection Differs from succession planning Workforce (or employment or personnel) planning is the process of deciding what positions the firm will have to fill, and how to fill them. It embraces all future positions, from maintenance clerk to CEO. (However, most firms call the process of deciding how to fill executive jobs succession planning.) We will see that workforce planners use various tools in their analyses. For example they scan employees’ current skills based on employee biographical records, and conduct skills shortage analyses, succession planning, cross-training, and recruitment and mentoring programs. However, analyses aside, judgment should play a big role in workforce planning. Be prepared to modify any analysis based on subjective factors. Towers Watson’s Internet software (“Towers Watson Workforce MAPS”) helps clients manage this workforce planning process. It has dashboards (see the following four exhibits) for monitoring key metrics, for instance on recruiting and retention; a workforce scan that provides detailed analysis of the client’s current workforce and historical workforce trends; a workforce projection showing projected employment and skill levels given the “status quo”; scenario modeling to let the employer compare “what if” scenarios; and an external labor scan for analyzing how the external labor market impacts the employer’s workforce. Copyright © 2015 Pearson Education, Inc.

Workforce Planning and Forecasting
Strategy and workforce planning Forecasting personnel needs (labor demand) Trend analysis Ratio analysis The scatter plot Like all plans, personnel plans require some forecasts or estimates. In this case, the forecasts involve: personnel needs, the supply of inside candidates, and the likely supply of outside candidates. The basic workforce planning process is to forecast the employer’s demand for labor and supply of labor. Next, identify supply-demand gaps and develop action plans to fill the projected gaps. Trend analysis means studying variations in the firm’s employment levels over the last few years. Another simple approach, ratio analysis, means making forecasts based on the historical ratio between two variables. One example might include some causal factor (like sales volume) and the number of employees required (such as number of salespeople). A scatter plot shows graphically how two variables—such as sales and your firm’s staffing levels—are related. Markov analysis involves creating a matrix that shows the probabilities that employees in a chain of feeder positions for a key job. “Feeder” positions are those to which a job incumbent may likely be promoted. For example a junior engineer is a feeder position for an engineer. An engineer is a feeder position for a senior engineer who might be promoted to engineering supervisor, and so forth. Copyright © 2015 Pearson Education, Inc.

Forecasting the Supply of Inside Candidates
Manual systems and replacement charts Computerized skills inventories Privacy Manual systems are used primarily for smaller employers. For example, a personnel inventory and development record form compiles qualifications information on each employee. It will show the present performance and promotability for each position’s potential replacement. Larger firms obviously can’t track the qualifications of hundreds or thousands of employees manually. Larger employers therefore computerize this information. One software system is Survey Analytics’ Skills Inventory Software. Markov analysis involves creating a matrix that shows the probabilities that employees in a chain of feeder positions for a key job. “Feeder” positions are those to which a job incumbent may likely be promoted. For example a junior engineer is a feeder position for an engineer. An engineer is a feeder position for a senior engineer who might be promoted to engineering supervisor, and so forth. As far as keeping information secure the employer should secure all its employee data. Much of the data are personal (such as Social Security numbers and illnesses). Legislation gives employees legal rights regarding who has access to information about them. The legislation includes the Federal Privacy Act of 1974 (for federal workers), the New York Personal Privacy Act of 1985, HIPAA (regulates use of medical records), and the Americans with Disabilities Act. Employers should keep their manual records under lock and key. Computerized records have been known to be compromised by hackers so high levels of system encryption, hashing or other tight security measures are critical. Copyright © 2015 Pearson Education, Inc.

Forecasting the Supply of Outside Candidates
Talent management Action planning for labor supply and demand Succession Planning A talent management philosophy requires paying continuous attention to workforce planning issues. Managers call this newer, continuous workforce planning approach predictive workforce monitoring. Workforce planning should logically culminate in a workforce action plan. This lays out the employer’s projected workforce demand–supply gaps, as well as staffing plans for filling the necessary positions. Succession planning involves developing workforce plans for the company’s top positions. Succession planning is the ongoing process of systematically identifying, assessing, and developing organizational leadership to enhance performance. It entails three steps: identify key needs, develop inside candidates, and assess and choose those who will fill the key positions. Copyright © 2015 Pearson Education, Inc.

IMPROVING PERFORMANCE: HR Practices Around the Globe
Valero Energy created a “labor supply chain” for improving the efficiency of its workforce planning, recruiting, and hiring process. Analytic tool now predicts Valero’s labor needs based on past trends. Predicting Labor Needs Valero Energy created a “labor supply chain” for improving the efficiency of its workforce planning, recruiting, and hiring process. It includes an analytic tool that predicts Valero’s labor needs based on past trends. And, it includes computer screen “dashboards” that show how components in the staffing chain, such as ads placed on job boards, are performing according to cost, speed, and quality. Before implementing the labor supply chain system, it took 41 pieces of paper to bring on board an employee and more than 120 days to fill a position; each hire cost about $12,000. The new system eliminated most of the paper forms needed to hire an employee, time-to-fill fell below 40 days, and cost per hire dropped to $2,300. Discussion Question 5-1: Explain how Valero might use the Towers Watson workforce planning process on pages 122–123. Copyright © 2015 Pearson Education, Inc.

Review Forecasting Manual vs. computerized systems Managing talent Action planning To have an effective and efficient recruiting and hiring program, proper forecasting is important. Many employers use a tracking system to help them align their actions with the firm’s strategic and operating plans. Such a system may be manual or computerized. Computerized systems are used more frequently within larger companies. Managing talent effectively requires an almost predictive action planning approach wherein monitoring and tracking help with future replacements, or workforce growth or shrinking. Copyright © 2015 Pearson Education, Inc.

Explain and give examples for the need for effective recruiting.
Assuming the company authorizes you to fill a position, the next step is to build up, through recruiting, an applicant pool. Employee recruiting means finding and/or attracting applicants for the employer’s open positions Copyright © 2015 Pearson Education, Inc.

Why Effective Recruiting Is Important
The need for effective recruiting What makes recruiting a challenge? Organizing how you recruit The supervisor’s role Recruiting pyramid Effective recruiting allows a company to fill open positions while their competitors may have missed solid opportunities. If, for example, you fill open positions 50% faster than industry average, you are more likely to get better talent onboard more quickly. Effective recruiting is a challenge for several reasons. First, some recruiting methods are superior to others. Second, the success you have recruiting depends on non-recruitment issues and policies. Third, employment law prescribes what you can and cannot do when recruiting. For many firms, it’s simply much easier to recruit centrally now that so much recruiting is on the Internet. Face-to-face interviewing is the usual culmination of the preliminary recruiting done through the internet. With respect to the role of the supervisor in recruiting, the HR manager charged with filling an open position is seldom very familiar with the job itself. Someone has to tell this person what the position really entails, and what key things to look or watch out for. Only the position’s supervisor can do this. The recruiting yield pyramid is based on experience and solid record-keeping. In our example, if a company needs 50 entry-level accountants, using the pyramid, it will need to generate approximately 1,200 leads to fill the new-hire requirement. Copyright © 2015 Pearson Education, Inc.

Review Importance Challenge Organizing Hiring better talent than your competitors more quickly will make important inroads in your marketplace. The challenges to effective recruiting include the type of recruiting methods used, your company’s policies and employment law. Finally, being organized and using experience and tracking systems to aid your decision-making will enable you to use the internet more effectively. Copyright © 2015 Pearson Education, Inc.

Name and describe the main internal sources of candidates. Recruiting typically brings to mind LinkedIn, employment agencies, and classified ads, but internal sources—in other words, current employees or “hiring from within”—is often the best source of candidates. Copyright © 2015 Pearson Education, Inc.

Internal Sources of Candidates
Using internal sources Finding internal candidates Rehiring Job posting means publicizing the open job to employees (usually by literally posting it on company intranets or bulletin boards). These postings list the job’s attributes, like qualifications, supervisor, work schedule, and pay rate. Ideally, the employer’s system therefore matches the best inside candidate with the job. In practice, this doesn’t always happen. For better or worse internal politics and having the right connections may well lead to placements they seem (and indeed may be) unfair and less than optimal. Some advantages of internal recruiting include the following: Current employees may be more committed Morale may go up since other employees will know about your policy Current employees may require less orientation and training than new hires The disadvantages, however, include: employees may become discontented if they apply for jobs and do not get them. There also is a potential for inbreeding–maintaining the status quo–to occur. To be effective, promotion from within requires using job analysis and posting, using personnel records, and maintaining current skill banks. Rehiring former employees has its pros and cons also. On the positive side, they are known quantities and are already familiar with the organization. But former employees may return with negative attitudes. Copyright © 2015 Pearson Education, Inc.

Review Internal sources Finding internal candidates Rehiring For this learning objective, remember that there are pros and cons with respect to using internal candidates. Some of the advantages and disadvantages occur with respect to other employees. That is, if an internal candidate is reasonably well qualified but does not get the job, he or she is likely to be disappointed. To be effective, hiring an internal candidate must be based on a solid job analysis, proper and widely understood posting policies and the like. Employers can reduce potential problems. Inquire (before rehiring) about what they did during the layoff and how they feel about returning. After a probationary period, credit them with the years of service they had accumulated before they left. Copyright © 2015 Pearson Education, Inc.

List and discuss the main outside sources of candidates.
Firms can’t always get all the employees they need from their current staff, and sometimes they just don’t want to. We’ll look at the sources firms use to find outside candidates next. Copyright © 2015 Pearson Education, Inc.

Outside Candidates Informal Recruiting and the Hidden Job Market Job openings aren’t publicized Jobs are created and become available when employers come across the right candidates The author of Unlock the Hidden Job Market estimates that perhaps half of all positions are filled informally (without formal recruiting). Similarly, one survey found that 28% of those surveyed found their most recent job through word-of-mouth. Nineteen percent used online job boards, 16% direct approaches from employers and employment services, 7% print ads, and only 1% social media sites (although 22% used sites like LinkedIn to search for jobs). Copyright © 2015 Pearson Education, Inc.

Outside Candidates Internet recruiting Online recruiting Texting Dot-jobs Virtual job fairs Tracking Effectiveness Advertising – media For most employers and for most jobs, Internet-based recruiting is by far the recruiting source of choice. Most employers find that the Internet is their best choice for recruitment efforts. Social networking also provides recruiting assistance, especially for mid-level and higher management positions. Advantages – The Web is cost efficient, generating more responses more quickly and providing exposure for a longer time at less cost. Disadvantages – Gathering applications online may exclude more mature applicants and certain minorities. There are also other web recruiting practices that include networking sites, texting, an organization’s personal recruiting website, and virtual job fairs. These can generate more responses more quickly and for less cost. However, they have their disadvantages, such as less diversity of applicants. Disadvantages - Online recruiting has two potential problems. First, older people and some minorities are less likely to use the Internet, so online application gathering may inadvertently exclude disproportionate numbers of older applicants (and certain minorities). To prove they’ve complied with EEO laws, employers should keep track of each applicant’s race, sex, and ethnic group. The EEO says that, to be an “applicant,” he or she must meet three conditions: he or she must express interest in employment, the employer must have taken steps to fill a specific job, and the individual must have followed the employer’s standard application procedure. The second problem is Internet overload: Employers end up deluged with résumés. Self-screening helps: The Cheesecake Factory posts detailed job duties listings, so those not interested needn’t apply. Another approach is to have job seekers complete a short online prescreening questionnaire, then use these to identify those who may proceed in the hiring process. Sutter Health contracted with Taleo Corporation, a recruiting applications service provider that is part of Oracle. Taleo’s system screens incoming résumés, compares them with Sutter’s job requirements, and flags high priority applicants. This helped Sutter cut its typical recruiting process from weeks to days. One survey of Web-based recruiting uncovered alumni from graduate business schools objections: Lack of relevant information Using mandatory formatting for resumes Privacy issues Poor graphics and difficulty in using the site Slow feedback from employers Advertising – While the internet is used a great deal, there are still reasons for using print-based ads. The best medium (internet, newspaper, etc.) should be selected based on the positions for which you are recruiting. For example, if you are seeking a highly specialized researcher, then advertising in the appropriate professional journal is your best bet. Copyright © 2015 Pearson Education, Inc.

Writing the Ad Attention Interest Desire Action Experienced advertisers use the guide AIDA (attention, interest, desire, action) to construct ads. First, you must attract attention to the ad, or readers may ignore it. Why does the ad in Figure 5-9 attract attention? The phrase “next key player” helps. Next, develop interest in the job. For instance, “are you looking to make an impact?” Create desire by spotlighting words such as travel or challenge. As an example, having a graduate school nearby may appeal to engineers and professional people. Finally, the ad should prompt action with a statement like “call today.” Copyright © 2015 Pearson Education, Inc.

Employment Agencies Public Nonprofit agencies Private agencies There are three main types of employment agencies: public agencies operated by federal, state, or local governments; agencies associated with nonprofit organizations; and privately owned agencies. Copyright © 2015 Pearson Education, Inc.

Temp Agencies and Alternative Staffing
Pros and cons What supervisors should know about temporary employees’ concerns Legal guidelines Alternative staffing The benefits of contingency staffing include increases in overall productivity, and time and expenses saved by not having to recruit, train, and document new employees. Some of the major concerns of temporary employees include being treated in a dehumanizing and discouraging way and worrying about the lack of insurance and pension benefits. Understanding the difference between contract workers and employees is very important. Let the temp agency assume as much responsibility for the temporary employee as possible. This helps to create a clear line between temps and employees at the worksite. Alternative staffing, such as temporary employees, refers to the use of nontraditional recruitment sources. Copyright © 2015 Pearson Education, Inc.

Outside Candidates Offshoring and Outsourcing Jobs Executive Recruiters Referrals and Walk-Ins On-Demand Recruiting Services College Recruiting Telecommuters Rather than bringing people in to do the company’s jobs, outsourcing and offshoring send the jobs out. Outsourcing means having outside vendors supply services (such as benefits management, market research, or manufacturing) that the company’s own employees previously did in-house. Offshoring means having outside vendors or employees abroad supply services that the company’s own employees previously did in-house. Rising wages in China and India, coupled with reputational issues and a desire to invest more in local communities, is prompting employers to bring jobs back. Several U.S. employers including Apple and Microsoft are shifting jobs back to the United States. Executive recruiters (also known as headhunters) are special employment agencies employers retain to seek out top-management talent for their clients. The percentage of your firm’s positions filled by these services might be small. However, these jobs include key executive and technical positions. For executive positions, headhunters may be your only source of candidates. The employer always pays the fees. A recent trend is to save the cost of these fees. Employers ranging from General Electric to Sears, PepsiCo, and Campbell Soup now have their own internal executive recruiting offices handling most of their own management recruiting. A SHRM survey found that of 586 employer respondents, 69% said employee referral programs are more cost effective than other recruiting practices and 80% specifically said they are more cost-effective than employment agencies. On average, referral programs cost around $400–$900 per hire in incentives and rewards. Particularly for hourly workers, walk-ins—direct applications made at your office—are a big source of applicants. Sometimes, posting a “Help Wanted” sign outside the door may be the most cost-effective way of attracting good local applicants. On-demand recruiting services (ODRS) are recruiters who are paid by the hour or project, instead of a percentage fee, to support a specific project. For example, when the human resource manager for a biotech firm had to hire several dozen people with scientific degrees and experience in pharmaceuticals, she used an ODRS firm. A traditional recruiting firm might charge 20% to 30% of each hire’s salary. The ODRS firm charged by time, rather than per hire. It handled recruiting and prescreening, and left the client with a short list of qualified candidates. College recruiting—sending an employer’s representatives to college campuses to prescreen applicants and create an applicant pool from the graduating class—is an important source of management trainees and professional and technical employees. Internships Internships can be win–win situations. For students, they can mean being able to hone business skills, learn more about potential employers, and discover their career likes (and dislikes). And employers can use the interns to make useful contributions while evaluating them as possible full-time employees. A recent study found that about 60% of internships turned into job offers. Unfortunately, some internships turn into nightmares. Many interns, particularly in industries like high-fashion and media, report long unpaid days doing menial work. The New York Times recently quoted one company’s manager as saying “we need to hire a 22—22—22,” in other words a 22-year-old willing to work 22 hour days for $22,000 a year. Telecommuters do all or most of their work remotely, often from home, using information technology. Copyright © 2015 Pearson Education, Inc.

IMPROVING PERFORMANCE: HR as a Profit Center Cutting Recruitment Costs GE Medical hires about 500 technical workers a year Cut its hiring costs by 17% GE is also using more recruitment process outsourcers GE Medical hires about 500 technical workers a year to design sophisticated medical devices such as CT scanners. It has cut its hiring costs by 17%, reduced time to fill the positions by 20% to 30%, and cut in half the percentage of new hires who don’t work out. GE Medical’s HR team accomplished this in part by applying its purchasing techniques to its dealings with recruiters. For example, it called a meeting and told 20 recruiters that it would work with only the 10 best. To measure “best,” the company created measures inspired by manufacturing techniques, such as “percentage of résumés that result in interviews” and “percentage of interviews that lead to offers.” Similarly, GE Medical discovered that current employees are very effective as references. For instance, GE Medical interviews just 1% of applicants whose résumés it receives, while 10% of employee referrals result in actual hires. So GE Medical took steps to double the number of employee referrals. It simplified the referral forms, eliminated bureaucratic submission procedures, and added a small reward like a Sears gift certificate for referring a qualified candidate. GE also upped the incentive—$2,000 if someone referred is hired, and $3,000 if he or she is a software engineer. GE is also using more recruitment process outsourcers. Recruitment process outsourcers are special vendors that handle all or most of an employer’s recruiting needs. They usually sign short-term contracts with the employer, and receive a monthly fee that varies with the amount of actual recruiting the employer needs done. This makes it easier for an employer to ramp up or ramp down its recruiting expenses, as compared with paying the relatively fixed costs of an in-house recruitment office. Large RPO providers include Manpower Group Solutions, IBM, and Randstad Sourceright. Discussion Question 5-3: What other tools described in this chapter could GE Medical use to Improve recruiting efficiency? Copyright © 2015 Pearson Education, Inc.

Other Issues Recruiting source use and effectiveness Measuring recruiting effectiveness Small employers may spend tens of thousands of dollars per year in recruiting. One survey found that only about 44% of the 279 firms surveyed made formal attempts to evaluate their recruitment efforts. In terms of what to measure, one question is “How many applicants did we generate through each of our recruitment sources?” The problem is that generating more applicants is not always better. The employer needs qualified, hirable applicants, not just applicants. The applicant tracking system should help compare recruiting sources. However, about 30% of them lack the necessary tools to effectively pinpoint source of hire. Copyright © 2015 Pearson Education, Inc.

Review Internet recruiting Advertising Media The CareerBuilder.com iPhone application offers a unique way to search nearly 2 million jobs on CareerBuilder.com, the largest U.S. job site. For most employers and for most jobs, Internet-based recruiting is by far the recruiting source of choice. This is especially true for entry-level positions up through mid-management. Recruiting for professionals and managers is shifting from online job boards to social networking sites such as Facebook and LinkedIn. The right advertising media should be chosen based on the job to be filled. Copyright © 2015 Pearson Education, Inc.

Review Writing the ad Employment agencies Temp agencies, alternative staffing Other sources of candidates Recruiting Measuring effectiveness Ads are written best by using the following steps: Attention Interest Desire Action The types of employment agencies include: Public Nonprofit agencies Private agencies For temp agencies we discussed pros and cons, what supervisors should know about temporary employees’ concerns, legal guidelines, and alternative staffing. For other sources of candidates, we discussed: Offshoring and outsourcing jobs Executive recruiters On-demand recruiting services College recruiting For recruiting purposes, referrals and walk-ins, using telecommuters, and hiring ex-military personnel can be excellent sources of potential employees. Recruiting effectiveness and measurement also is important to all employers. Copyright © 2015 Pearson Education, Inc.

Explain how to recruit a more diverse workforce.
Recruiting a diverse workforce isn’t just socially responsible. Given the rapid increase in minority, older worker, and women candidates, it is a necessity. Let’s see how we can do that. Copyright © 2015 Pearson Education, Inc.

Recruiting a More Diverse Workforce Recruiting women Single parents Older workers Recruiting minorities Disabled workers Recruiting a diverse workforce isn’t just socially responsible. Given the rapid increase in minority, older worker, and women candidates, it is a necessity. Formulating an intelligent program for attracting single parents should begin with understanding the considerable problems they often encounter in balancing work and family life. With the entire population aging, many employers are encouraging retirement-age employees not to leave. They may also actively recruit employees who are at or beyond retirement age. Sometimes, there is no substitute for experience. Recruiting minorities requires employers to tailor their way of thinking and to design HR practices that make their firms attractive to minority workers. Employers can do several things to tap into the huge potential workforce of disabled individuals. The Department of Labor’s Office of Disability Employment Policy offers several programs. All states have local agencies that provide placement services and other recruitment and training tools. Copyright © 2015 Pearson Education, Inc.

Review Recruiting a more diverse workforce Developing and using application forms With respect to this learning objective, we discussed: Single parents Older workers Recruiting minorities Welfare-to-work Disabled workers A crucial element of the hiring process, employers use application forms to quickly collect data. This allows an employer to request detailed information about each prior employer. Such employers must ensure they comply with equal employment laws. Some firms use application forms to predict which candidates will be successful. Finally, binding arbitration is often a requirement to settle disputes that may arise in the future. Copyright © 2015 Pearson Education, Inc.

Developing and Using Application Forms: Discuss practical guidelines for obtaining application information. We will discuss guidelines for obtaining application information. Copyright © 2015 Pearson Education, Inc.

Application Information Copyright © 2015 Pearson Education, Inc.
Purpose of Application Forms Application Forms and Predicting Job Performance Application Forms and EEO law Application forms are a good way to quickly collect verifiable and fairly accurate historical data from the job candidate. Organizations should request detailed information about each prior employer. This should include the name of the supervisor, address and phone number. Such information is essential for reference checking. Also, in signing the application, the applicant should certify his or her understanding that falsified statements may be cause for dismissal. Employers should carefully review their application forms to ensure they comply with equal employment laws. Questions to review include those asking about: dates of graduation arrest records emergency contacts physical disabilities marital status housing arrangements. Some firms use application forms to predict which candidates will be successful. They also try to find the relationship between: responses on the application form, and measures of success on the job. Many employers, to avoid the high cost of lawsuits, require applicants to agree to binding arbitration to settle disputes. Copyright © 2015 Pearson Education, Inc.

IMPROVING PERFORMANCE: HR Tools for Line Managers and Entrepreneurs
Application Guidelines “Employment History” section, request information on each prior employer Signing the application, the applicant should certify falsified statements may be cause for dismissal Application Guidelines Ineffective use of the application can cost the employer dearly. Managers should keep several practical guidelines in mind. In the “Employment History” section, request detailed information on each prior employer, including the name of the supervisor and his or her address and telephone number; this is essential for reference checking. In signing the application, the applicant should certify that falsified statements may be cause for dismissal, that investigation of credit and employment and driving record is authorized, that a medical examination and drug screening tests may be required, and that employment is for no definite period. Estimates of how many applicants exaggerate their qualifications range from 40% to 70%. The most common concerns are education and job experience. A majority of graduating seniors reportedly believe that employers expect a degree of exaggeration on résumés. Much of this exaggeration occurs on résumés, but may occur on application forms too. Therefore, make sure applicants complete the form and sign a statement on it indicating that the information is true. The court will almost always support a discharge for falsifying information when applying for work. Finally, doing a less-than-complete job of filling in the form may reflect poor work habits. Some applicants scribble “see résumé attached” on the application. This is not acceptable. You need the signed, completed form. Some firms no longer ask applicants for résumés at all, but instead request and then peruse Web presence links, such as Twitter or LinkedIn accounts. Discussion Question 5-4: Review several employers’ online applications. Do they conform to the guidelines in this feature? Copyright © 2015 Pearson Education, Inc.

Review Practical Guidelines Application Forms and EEO Mandatory Arbitration Ineffective use of the application can cost the employer dearly. Managers should keep several practical guidelines in mind. In the “Employment History” section, request detailed information on each prior employer, including the name of the supervisor and his or her address and telephone number; this is essential for reference checking. In signing the application, the applicant should certify that falsified statements may be cause for dismissal, that investigation of credit and employment and driving record is authorized, that a medical examination and drug screening tests may be required, and that employment is for no definite period. Application forms must comply with equal employment laws. Many employers, aware of the high costs of employment litigation, require applicants to agree to on their applications to mandatory arbitration should a dispute arise. Copyright © 2015 Pearson Education, Inc.

Improving Performance at Copyright © 2015 Pearson Education, Inc.
The Hotel Paris Given the hotel’s required personnel skills, what recruiting sources would you have suggested they use, and why? What would a Hotel Paris help wanted ad look like? The Hotel Paris’s competitive strategy is “To use superior guest service to differentiate the Hotel Paris properties, and to thereby increase the length of stay and return rate of guests, and thus boost revenues and profitability.” HR manager Lisa Cruz must now formulate functional policies and activities that support this competitive strategy and boost performance, by eliciting the required employee behaviors and competencies. After 6 months with these and other recruitment function changes, the number of applicants was up on average 40%. Lisa and her team were now set to institute new screening procedures that would help them select the high-commitment, service-oriented, motivated employees they were looking for. Discussion Question: How would you suggest they measure the effectiveness of their recruiting efforts? Copyright © 2015 Pearson Education, Inc.

5 Personnel Planning and Recruiting

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