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Chapter 4

Chapter 4. Personnel Planning and Recruiting. Outline of Chapter 4. Employment planning and forecasting How to forecast personnel needs Trend analysis Ratio analysis The scatter plot Using computers to forecast personnel requirements Managerial judgment. Outline of Chapter 4.

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Chapter 4

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  1. Chapter 4 Personnel Planning and Recruiting

  2. Outline of Chapter 4 • Employment planning and forecasting • How to forecast personnel needs • Trend analysis • Ratio analysis • The scatter plot • Using computers to forecast personnel requirements • Managerial judgment

  3. Outline of Chapter 4 • Forecasting the supply of inside candidates • Manual systems and replacement charts • Computerized information systems • The matter of privacy • Forecasting the supply of outside candidates

  4. Outline of Chapter 4 • Effective recruiting • The recruiting yield pyramid • Research insight • Line and staff cooperation • Internal sources of candidates • Finding candidates • Hiring employees – the second time around • Succession planning

  5. Outline of Chapter 4 • Outside sources of candidates • Advertising • Placing the ad • Constructing the ad • Being creative

  6. Outline of Chapter 4 • Employment agencies • Public agencies • Nonprofits • Private agencies • Temporary agencies and alternative staffing • Benefits and costs • Guidelines for success

  7. Outline of Chapter 4 • Outside sources of candidates • Executive recruiters • Entrepreneurs and HR • College recruiting • Recruiting goals • On site visits • Internship • Referrals and walk-ins • Internet recruiting

  8. Outline of Chapter 4 • Recruiting a more diverse workforce • Recruiting single parents • Older workers as a source of candidates • Recruiting minorities and women • Welfare to work • Global talent search

  9. Outline of Chapter 4 • Developing and using application forms • Purpose of application forms • Equal opportunity and application forms • Alternative dispute resolution • Using application forms to predict job performance

  10. What You Should Be Able to Do • Explain the main techniques used in employment planning and forecasting • Name and describe the main internal sources of candidates • List and discuss the main outside sources of candidates • Explain how to recruit a more diverse workforce • Develop an application blank

  11. Steps in Recruitment and Selection Process Employment planning and forecasting Recruiting builds pool of candidates Applicants complete application form Selection tools like tests screen out most applicants Supervisors and others interview final candidates to make final choice

  12. EMPLOYMENT PLANNING AND FORECASTING Definition • Employment or personnel planning is the process of deciding what positions the firm will have to fill, and how to fill them.

  13. How to Forecast Personnel Needs • Project revenues first then estimate the size of the staff required to achieve it • Staffing plans also must reflect: • Projected turnover • Quality and skills of your employees • Strategic decisions • Technological and other changes • Financial resources

  14. Methods to Predict Employment Needs • Trend analysis • Ratio analysis • Scatter plot • Managerial judgment plays a big role

  15. Using Computers to Forecast Personnel Requirements Definition • Computerized forecast • Determination of future staff needs by projecting sales, volume of production, and personnel required to maintain this volume of output, using software packages

  16. Forecasting the Supply of Inside Candidates Definition • Qualifications inventories • Manual or computerized records listing employees’ education, career and development interests, languages, special skills, and so on, to be used in selecting inside candidates for promotion

  17. Manual Systems and Replacement Charts • Personnel inventory & development record help track employee qualifications • Personnel replacement charts are often used for filling a company’s top positions

  18. Forecasting the Supply of Inside Candidates Definition • Personnel replacement charts • Company records showing present performance and promotability of inside candidates for the most important positions

  19. Forecasting the Supply of Inside Candidates Definition • Position replacement card • A card prepared for each position in a company to show possible replacement candidates and their qualifications

  20. Work experience codes Product knowledge Industry experience Formal education Training courses Foreign language skills Relocation limitations Career interests Performance appraisals Skills Computerized Information Systems

  21. Management Replacement Chart

  22. The Matter of Privacy • Several things make it important to protect employee information: • Computerized information systems • Network access makes this information available • Legislation • Federal Privacy Act of 1974 • New York Personal Privacy Act of 1985 • Access matrices may help

  23. Forecasting the Supply of Outside Candidates • Monitoring general economic conditions • Business Week, Fortune, Economist and Wall Street Journal • U.S. Government

  24. New hires Offers made (2 : 1) Interviewed (3 : 2) Invited (4 : 3) Leads generated (6 : 1) Effective Recruiting: The Yield Pyramid

  25. Internal Sources of Candidates • No substitute for knowing a candidate’s strengths and weaknesses • Inside candidates may be more committed to the company and can increase morale • Can backfire • Can promote inbreeding

  26. Finding Candidates • Job posting • publicizing the open job to employees and listing its attributes like qualifications, supervisor, work schedule, and pay rate • Rehiring former employees • an option today due to the tight labor market

  27. Finding Internal Candidates • Succession planning: ensuring a suitable supply of successors for future senior jobs • Planning includes: • Determine projected need • Audit current talent • Planning career paths • Career counseling • Accelerated promotions • Performance related training • Planned strategic recruitment • Filling

  28. Outside Sources of Candidates • Advertising – the advertising media and ad content • Select the best media – local paper, WSJ, TV, or internet depending on the position

  29. Outside Sources of Candidates American Psychologist THE WALL STREET JOURNAL

  30. Ad Construction • Use the AIDA guide (attention, interest, desire, and action) to construct ads • Be creative - use of ad agencies might help develop and promote a companies image

  31. Employment Agencies • Types of agencies: • Public agencies and non profit • Private agencies

  32. How to Avoid Problems With Employment Agencies • Provide full and accurate job description • Specify the screening tools to use • Review data on candidates accepted or rejected by your firm and by the agency • Develop a long-term relationships with one or more agencies • Screen the agency

  33. Temp Agencies • Alternative staffing often used to supplement a permanent workforce • One year 100,000 people found temp work in engineering, science and management support

  34. Guidelines for Success • Dehumanized • Insecure • Worried • Misled • “Underemployed” • Angry • Some temp workers felt

  35. Guidelines for Temp Workers • Honest information • Policies for fair treatment • Use independent contractors and permanent part-time workers • Consider impact on permanent workers • Provide training and orientation • Beware of legal snares in your payroll decisions

  36. Policies to Use With Agencies • Invoicing • Time sheets • Temp-to-perm policy • Recruitment of and benefits for temp employees • Dress code • EEO statement • Job description information

  37. Executive Recruiters • Headhunters • Special employment agencies used to seek out top management and technical talent • Internet databases have shortened time required to find talent • Online executive recruiting firm futurestep

  38. Tips on Choosing a Recruiter • Ask about the cost • Be sure you can trust them with privileged information • Talk to prior clients • Can they conduct a thorough search? • Meet individual who will handle the search

  39. Outside Hiring • College recruiting goals are: • Attract good candidates • Cull candidates for further consideration • Onsite visits • Internships • Referrals and walk-ins

  40. Campus Interview Report Name of person interviewed Applying for position Department Qualifications Excellent Satisfactory Poor Communication Education Related Experience Interpersonal Skills Problem Solving Skills Adaptable to change Comments: Completed by

  41. Recruiting on the Net • Many companies are turning to the Internet as a recruiting tool • Corporate and employment web pages are one approach • Internet recruiting is cost effective and timely careerbuilder

  42. Network Recruiting Resources • Visit these sites. computerjobs.com

  43. Internet Recruiting • While monster.com may have 5 million online resumes there may be 2-3x that on the internet • Go to • Conduct searches for specific areas and talents • Tripod and Yahoo also search resume databases for locating possible employees

  44. Recruiting High-tech • GE medical is an industry leader which illustrates the best practices of recruiting high-tech workers • GE medical applies benchmarked purchasing techniques to dealing with recruiters • Recruitsoft powers enterprise recruiting

  45. Recruiting a More Diverse Workforce • Recruiting single parents – you must understand their concerns • Older workers – 80% of baby boomers will work beyond retirement age • Check policies – don’t force oldsters to leave • Use flexible work options • Remake suitable jobs • Offer customized benefit plans

  46. Older Workers As a Source of Candidates • Supply and demand • Retirees will double to 4 million • Fewer young people entering the workforce • Practicality • Physical and cognitive abilities • Drop in absenteeism

  47. Recruiting a More Diverse Workforce • Recruiting minorities and women – formulate comprehensive plans • Welfare-to-work – the key is training • Searching globally – many global companies actively recruit foreign nationals

  48. Developing Application Forms • Application forms provide 4 types of info Does candidate have the necessary education or experience ? Provides applicants previous progress and growth Provides previous work record to assess the applicants suitability Application data can determine if applicant will succeed

  49. Developing Application Forms • Must NOT have questions in an application form to be EEO compliant • Education dates • Arrest record • Relationship of a “notify in case of emergency” • Membership in organizations • Physical handicaps • Marital status • Housing status

  50. Sample Applications • Governor's Job Bank • South Carolina State Government Application for Employment • Federal Employment Application

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