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Personnel Planning and Recruiting. Chapter-5. Personnel Planning. Personnel planning is the first step in the recruiting and selection process.
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Personnel Planning and Recruiting Chapter-5 www.AssignmentPoint.com
Personnel Planning • Personnel planning is the first step in the recruiting and selection process. • It is the process of determining an organization’s human resource needs. By such planning an organization ensures that it has right number and kinds of people. • Employment or personnel planning is the process of deciding what positions the firm will have to fill and how to fill them. • However, most firms call the “process through which senior-level openings are planned for and eventually filled” as succession planning. www.AssignmentPoint.com
Forecasting Personnel Needs • Trend Analysis • Ratio Analysis • Scatter Plot • Using computer to forecast personnel requirements www.AssignmentPoint.com
Recruitment • Recruitment is the process of finding and attractingqualified applicants for employment. It is the discovering of potential candidates for actual or anticipated organizational vacancies. • The process begins when new recruits are sought and ends when their applications are submitted. • The result is the pool of qualified applicants from which new employees are selected. www.AssignmentPoint.com
Effective Recruiting • The effectiveness of recruiting lies initially with the number of applicants generated by the recruitment process. The more applicants you have, the more selective you can be in your hiring. • Recruitment is a more complex activity than most managers think it is. www.AssignmentPoint.com
Sources of recruitment • There are basically two sources of supply from where potential employees can be drawn. These are- • Internal Sources • External sources • Internal Sources: Internal sources indicate recruiting qualified people from within the organization itself. • Whenever any vacancy occurs, someone from within the organization is upgraded, promoted or transferred to another department. • It uses internal circulation of job vacancy notice, reference from employees, job rotation or transfer. • It is a no cost source and it provides dependable candidate information. www.AssignmentPoint.com
Advantages of Internal recruitment • There is really no substitute for knowing a candidate’s strengths and weaknesses. So, it is often safer to promote employees from within since we have more accurate view of the person’s skills. • It is motivating to employees as they are preferred over outsiders when the vacancies occurs. • Inside candidates may be more committed to the company and improves employees morale. • It provides opportunity for advancement. • It improves the image of the organization and Improves the probability of better performance. www.AssignmentPoint.com
Demerits of internal recruitment • The promotion may be biased in nature and based on seniority rather than merit. • Possible morale problem of those who are not promoted. • Political infighting for promotion. • This source discourages new blood from entering the organization. • Inhibits innovation and creativity. www.AssignmentPoint.com
Sources of Recruitment External sources of recruitment: Recruiting from outside the organization is known as external source. It uses advertising, job agencies, educational and vocational institutes etc. Advantages of External Recruitment: • Bringing some new and fresh ideas into the organization by utilizing the skills of external candidates. • Improving the knowledge and skills of the organization. • Improving and sustaining competitive advantage. • Economical in the long run. www.AssignmentPoint.com
Sources of Recruitment • External recruitment is a form of communication whereby the organization projects its image to potential employees, customers and others outside the organization. Disadvantages of External Recruitment • Costly • Cause brain drain due to fear of lack of growth potential. • Demoralization of existing employees for alleged double standard and favor shown towards new recruitment from outside by offering better position and pay. www.AssignmentPoint.com
Most widely used channels for external recruitment • Walk-ins and write-ins • Employee referrals • Advertising • Professional or executive search firms • Educational institution • Labour union • Internet recruiting • Internship • Open house www.AssignmentPoint.com
Selection • Recruitment and Selection are not synonymous. • Recruitment means announcing job opportunities to the public in such a way that a good number of suitable applicants will apply for them. • Once a pool of suitable applicants are created through recruiting, the process of selecting applicants begin. • Selection is the process of choosing the best one from among a number of alternatives. • The process begins when recruits apply for employment and ends with the hiring decision. www.AssignmentPoint.com
Selection • The objectives of selection process are to select a candidate whose success probability in the job is the highest, and motivate right candidates to opt for vacancy by proper presentation of the organization to the potential candidates. www.AssignmentPoint.com
Recruitment and Selection Procedure • Selection is a decision making process. More or less companies follow the following recruitment and selection steps: • Organizations make a work plan for Human Resources at the beginning of the year in accordance with the approved business Plan and budget provisions. • Then each division submits their month wise recruitment plan to HR for the whole year and on the basis of such requirement HR Division prepares the upcoming recruitment plan of each Division/Department. www.AssignmentPoint.com
Recruitment and Selection Procedure • Based on the HR Planning, respective Division/Department Head will inform HR on personnel requirement through Manpower Requisition Form after obtaining necessary approvals from the Managing Director. • In the manpower requisition form it must be stated how the vacancy has arisen and how it has to be filled up. • Then job profile for the position to be filled up should be created in consultation with the departmental manager concerned. • Man profile should be developed with the assistance of the concerned manager. Contd. www.AssignmentPoint.com
Recruitment and Selection Procedure • HR department prepares an advertisement and arrange to send it to the newspaper. • After preliminary reception of the applications, HR department shortlist the applications on the basis of the factors like- academic background, desired age group, experience etc. This initial screening is based on the specific position requirement. • Issue letter or make phone calls to the short-listed candidates asking them to appear for an interview which may include written test. • For vacancies at senior level, it is advisable not to take a written test. Contd. www.AssignmentPoint.com
Recruitment and Selection Procedure • After the preliminary interview, the suitable candidates should be called for final interview. For selecting at entry level, the final interview may contain some exercises like- individual presentation or group discussion etc. • After the group exercise, the candidates should be interviewed by the selectors on a one to one basis. • While the interview session, the selectors record observations and ratings at each stage of interview. On the basis of this record, candidates are selected. Contd. www.AssignmentPoint.com
Recruitment and Selection Procedure • After comprehensive interview, the selected candidates background investigation has to be done. The process of verifying information of those applicants who appear to offer potential as employees is called background investigation. • HR department make conditional job offer to the selected candidates. If the candidate accepts the offer, he must be sent for medical check up and become permanent after passing required medical tests. • HR department will place the newly appointed man in the job for which he has been selected. • Finally, when the new man is confirmed, the role of HR department regarding recruitment and selection is over. www.AssignmentPoint.com