Chapter 1 - An Introduction to Recruitment and Selection PDF

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Chapter 1 - An Introduction to Recruitment and Selection
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Chapter 1: An Introduction to Recruitment and Selection

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Chapter 1: An Introduct ntroduction ion to Recr ecruitment uitment and Selectio election n •

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Signs that you made a bad hire – the cost of a bad hire can be extensive as it may be five times the bad hire’s salary, or even higher depending on the position. pectted: The bad hires are unsure how to do the necessary tasks o Not ha ving the skills, you ex pec associated with their job, or how to operate essential equipment. Constantly ntly compla complains: ins: The bad hires complain about everything from the work environment to the o Consta nature of the work and coworkers. They are always negative. Conflicts icts wi with th coworkers: The bad hires clash with other employees and do not fit the organizational o Confl culture. They are incompatible with other members of the team. Misse se sed d de deaadlines: New employees may take longer to perform a task and may miss a deadline; o Mis however, constantly missing deadlines may indicate a more serious problem indicating that they are incapable of doing their job. ualit lit lity: y: After an initial learning curve, the bad hires constantly make mistakes. Repeating o Poor work qua errors after being corrected suggests they cannot learn how to do the job. Att endanc endancee pro problems: blems: Continually being late, taking extended lunch breaks or unexpected time off o Attendanc may indicate the employees are dissatisfied with their job and that the work is not their priority. nder er erper per perffor orma ma manc nc nce: e: Asking questions is important but constantly asking the same questions about o Und their job or role may impede the work and productivity of their coworkers. ecrea rea reasse in mor oraale: Poor interpersonal relationships with other team members leads to a decrease o Dec in unit morale. The bad hires blame coworkers for the problems they are having. They get into arguments with coworkers about anything and everything. Unhappiness: ppiness: The employee’s unhappiness may be reflected in constantly criticizing management o Unha and coworkers, wasting time on the phone and the Internet, and making unreasonable demands, among others. o Alw Alwaays on your mind: You are always thinking about the problem hire, even at night in bed. You are losing sleep because you are worried what that person will do next. If you decide to terminate the new hire, you must begin the recruitment and selection process again, including learning what went wrong with the bad hire.

Why Recrui Recruitment tment aand nd Selec Selection tion Mat Matter ter • Best practices are valid, reliable, and legally defensible. They are supported by empirical evidence that has been accumulated through accepted scientific procedures. • Best practices involve the ethical treatment of job applicants throughout the recruitment and hiring process. • Best practices result from HR professionals following the accepted standards and principles of professional associations. o The inability to defend recruitment and selection practices before a judicial tribunal may have serious financial consequences for an organization. • People are an organization’s most important asset, those responsible for recruiting and selecting personnel must be capable of finding the best person for each position in the organization.

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HR is a very broad field – this figure shows some of the major HR functions within an organization. o While not complete, its purpose is to emphasize that recruitment and selection are one component of the HR system. Talent management is an organizations commitment to recruit, retain, and develop the most talented and superior employees. o The figure (below) are functions grouped around the broader functions of talent management. Talent management gives the line manager a significant role and responsibility in the recruitment, selection, retention, and development of superior employees with less involvement of HR. Talent management is a business strategy directed at ensuring the attraction of top talent to the organization. Part of talent management involves developing an employee’s career across the organization and knowing when suitable positions become available in the organization. Larger organizations rely on Human Re sourc source e s Info nformation rmation System Systemss (HRIS) which are computer-based systems that track employee data, the needs of HR, and the requirements and competencies needed for different positions, among other functions. For the recruitment and selection functions of talent management to be effective, they should follow from an organization’s strategic plan.

Recruitm Recruitment ent is the generation of an applicant pool for a position or job in order to provide the required number of candidates for a subsequent selection or promotion program. o Recruitment is done to meet management goals and objectives for the organization and must also meet current legal requirements (human rights, employment equity, labour law, and other legislation).

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Selec Selection tion is the choice of job candidate from a previously generated applicant pool in a way that will meet management goals and objective as well as current legal requirements. o It may involve any of the following functions: hiring at the entry level from applicants external to the organization, promotion, or lateral transfer of people within the organization, and movement of current employees into training and development programs. Effective recruitment and selection practices can mean the difference between an organization’s success or failure. Differences in skills among job candidates translate into performance differences on the job that have economic consequences for an organization. o Hiring people with the right skills or the highest levels of those skills leads to positive economic outcomes for the organization. Effective recruitment and selection practices identify job applicants with the appropriate level of knowledge, skills, abilities, and other requirements needed for successful performance in a job or an organization. Effective recruitment and selection strategies flow from an organization’s strategic objectives.

Recruitment and Selection as Strategic Obje bjectives ctives •

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There are two basic principles that underlie the Human Resource System: o HRM must carefully coordinate its activities with the other organizational units and people if the larger system is to function properly. o HRM must think strategically in system terms and have the welfare of the whole organization in mind. The role of HR is to support line units pursuing the central mission of the organization. Recruitment and selection must be carried out in the context of the organization’s strategy.

Vis Vision, ion, Mis issio sion and Va lue Sta tatements tements •

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The vision and mission statements of organizations are prominently displayed on their websites. o Vision statements present an organizations future aspiration – they describe a future level of excellence or quality that serves to influence the organizations behaviour. o A mission statement should accurately and briefly explain why an organization exists and what it hopes to achieve in the future. o Mission statements are statements of the core purpose of the organization; they define the organization’s business; and they are the guiding force that provides employees with a direction, purpose, and context for their activities. The vision and mission statements lead to a set of values, which are the principles or beliefs that guide an organization’s work. o A value statement is an expression of a company’s core beliefs. Companies write the statement, so the company’s staff and clients are aware of the priorities and goals of the company. o Values are the principles that drive the organization and the strategic objectives that flow from the principles.

Dev evelo elo elop p Str traa teg tegiic Ob Objjec ecttives

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Strategy is the formulation of organizational objectives, competitive scopes, and action plans for gaining advantage. Strategic objectives or activities that flow from the organization’s values guide the work of the organization over a period of time. In HR, the strategic objective with respect to selection and recruitment of employees is to obtain the best talent in accordance with the organization’s values.

Ana nallyz yzee the Ext xter er erna na nall Envi nvironme ronme ronment nt •

HR managers must be aware of threats and opportunities in the external environment if they are to accomplish their strategic objectives. This process is sometimes referred to as an environmental scan. o review of technology, laws and regulations, technology, social cultural factors, and changing work force demographics, among other factors.

Leg Legisla isla islative tive EEnviron nviron nvironme me ment nt • • • •

Legislative environment is a major determinant of an organization’s strategic planning. These include concerns for the human and legal rights of job applicants and employees. Employers cannot discriminate against existing or potential employees with respect to non-jobrelated characteristics. Employers must hire on the basis of an applicant possessing the knowledge, skills, and abilities or other characteristics that are necessary to perform a job.

Globa Globall Com ompetitio petitio petition n • • • • • •

Canada now participates in the North American Free Trade Agreement (NAFTA) and is considering joining the Trans-Pacific Trade partnership, and a trade agreement with the European Union. The KOF Swiss Economic Institute produces an annual globalization index of all countries in the world. It ranked Canada as the 10th most globalized country in the world out of the 207 countries it studied. There has been a continual increase in globalization since 1970. The index is based on economic, social, and political globalization. The social dimension of globalization reflects the extent of the dissemination of information and ideas, whereas the political dimension shows the degree of political cooperation between countries. Canada was near the top 5 percent of countries on the social and political globalization scales, but in only the top 20 percent for economic globalization. Increasing globalization has changed the level of competition as new players enter international markets and trade barriers between countries are softened.

The EEcon con conomic omic Clima limate te •

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The state of the economy has a profound effect on staffing. Economic booms bring with them skilled labour shortages, so recruitment and retention take on strategic importance and are given high priority. Economic slowdowns or recessions generally lead to cutbacks in jobs, pay, and benefits, or hiring freezes. If there are critical shortages of skilled labour or professionals, more emphasis must be placed on recruitment, and companies may become less selective.

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Ra Rapid pid Adva dvances nces in Technolo Technologg y and the Int Inteernet • •

Smart phones have had a tremendous influence on how we communicate with each other and the world. The benefits of e-recruiting are access to a larger pool of candidates, lower recruiting costs, elimination of printing costs and print media deadlines, and the capability for the immediate tracking of results.

Cha Chang ng nging ing Work Forc rcee Demog Demogra ra raphi phi phiccs • • • •

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Those of working age 18–64 comprised 68.9 percent of the population with 42.4 percent between ages 45 and 64. The working population is getting older with fewer younger workers available. One of the most significant changes in the Canadian work force has been the abolition of mandatory retirement at age 65 in most provinces and territories. In an expanding economy, the addition of a significant number of older workers can be absorbed without much impact on unemployment rates, but in times of recession, the addition of post-65 workers leaves less room for hiring new entry-level employees. The Canadian work force is also more gender balanced, comprising 70.3 percent of males aged 15–65 and 68.5 percent of women aged 15–65. The work force is also more highly educated, with 64.1 percent of those between ages 25 and 65 holding a certificate, diploma, bachelor’s, or postgraduate degree from a trade school, college/CEGEP, or university. Visible minorities comprise 19.07 percent of the Canadian population, and Aboriginal people make up 4.26 percent. HR departments will need to recognize the changing face of the Canadian labour market in the recruitment, selection, and evaluation of older workers, younger workers, women, visible minorities, Aboriginal people, and people with disabilities.

Types of Orga nizatio nizatio Types tions ns • • • •

The public sector, both federal and provincial, tends to have more formalized recruitment and selection systems. Public services tend to be highly unionized (70 percent versus 20 percent in the private sector) and to follow negotiated processes for recruitment and selection. In the private sector, recruitment and selection procedures may vary by the type and size of the business or industry. The challenge for HR is to increase the use of best practices regardless of sector or the size of an organization.

Org Orgaaniza nizatio tio tiona na nall Restru tructurin cturin cturingg • •

At the same time that technology is reducing the need for labour, organizations must cope with a large segment of their work force that is approaching retirement. To cope with these changes, employers have implemented non-age-related layoffs and earlyretirement incentive packages and have restructured or downsized their enterprises.

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In a seller’s market, more emphasis will have to be placed on recruiting, as more organizations compete to hire fewer qualified candidates.

Rede Redefini fini fining ng Jobs • •

In today’s information era, workers are required to apply a wider range of skills to an ever-changing series of tasks. Younger workers today, unlike their parents, rarely expect to spend their entire working life with the same organization

Unionized Work Environments • • •

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Approximately 30 percent of employees in Canada work in a unionized environment. This figure compares to about 12 percent in the United States and over 70 percent in Europe. In Canada about 20 percent of private organizations are unionized compared to over 70 percent of the public sector. Most agreements require the employer to post any job vacancies in the unit covered by the collective agreement before they can be advertised more broadly. o The agreements may also specify how competitions for vacant positions are carried out, including the selection procedures. HR practitioners working in a unionized environment must know the requirements of any applicable collective agreement with respect to recruitment and selection procedures. o Failure to follow the procedures outlined in the agreement may lead to grievances and arbitration.

Ident entiify the Compet petiitive Edg dgee •

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Organizations using effective recruitment and selection practices gain a competitive advantage in the marketplace. Organizations that are better able to attract, select and retain the best talent will be more competitive and successful. A two-year study by the Work Foundation, in England, established that businesses with integrated HR practices, including recruitment and selection, enjoyed higher profit margins and productivity than those without. In addition, progressive HR practices lead to greater organizational commitment on the part of employees and motivate them to exhibit proper role behaviour, resulting in lower compensation costs, higher-quality work, and higher productivity.

Det eterm erm ermiine the Com ompet pet petiitive Position •

To win, companies must get the right people in place; without them, all the clever business strategies and technologies are ineffective.

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One way of obtaining a competitive advantage is to employ the best practices in recruiting and selecting staff.

Bes estt Practic ices es •

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Organizations must have in place HR strategies for recruiting, identifying, and selecting employees who will contribute to the overall effectiveness of the organization. Old practices may also lead an employer astray of new legal requirements as well as to an underperforming organization.

Impl plem em emen en entt the Stra teg tegyy •

HR must outline the steps that are needed to get the job done.

Recruitment and Selection and the HR Profession • HR staff are professionals who must keep abreast of developments in their field through continuous learning. HR staff are responsible for knowing the latest legal and scientific information with respect to recruitment and selection. • Recruitment and selection activities within HRM are frequently carried out by in-house HR staff, sometimes assisted by consultants from management consulting firms. • Many practitioners and consultants involved in HRM hold membership in one or more professional associations and may be certified or registered with an association or professional licensing body in their area of specialization. o With membership in these associations come certain rights and obligations, including adherence to ethical codes or standards. • Today there is an increasing emphasis on HR professionals holding the Chartered Professional in Human Resources (CPHR) designation.

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Maintaining memberships in professional associations keeps the HR professional from becoming isolated and provides assistance when the practitioner encounters ethical difficulties

An Introd Introduction uction to Et Ethical hical Issues and Pro Professional fessional Standa Standards rds • • • •

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Ethics are the means by which we distinguish what is right from what is wrong, what is moral from what is immoral, what may be done from what may not be done. Ethics is a difficult subject because it deals with the large grey area between those behaviours that society punishes as illegal and those that everyone readily agrees are noble and upright. Profess Professional ional standar tandards ds follow from a code of ethics and provide guidance on how members should behave in certain situations. Ethical standards regulate the behaviour of those using employment tests. In the case of psychologists, the Canadian Code of Ethics for Psychologists* specifies four principles on which ethical behaviour is based: 1. Respect for dignity of the persons and peoples 2. Responsible caring 3. Integrity in relationships 4. Responsibility to society These ethical standards cover issues such as confidentiality of test...