Chapter 1

Sunday, 8 October 2023 10:26 pm

HRM

DEFINITION
- is the process of managing people in organizations in a structured and thorough manner.
- A strategic and coherent approach to the management of an organization’s most valued assets – the
people working there who individually and collectively contribute to the achievement of its
objectives.

NATURE
1. Inherent part of management
: This function is performed by all the managers throughout the organization rather than
by the personnel department only. If a manager is to get the best of his people, he must
undertake the basic responsibility of selecting people who will work under him.
2. People-centered
: Blue-collar workers - working in machines, loading, unloading, etc.
: White-collar workers - managerial and non-managerial personnel, etc.
: Professionals - accountant, secretary, lawyer, non-pro personnel etc.
3. Pervasive Function
: It is performed by all managers at various levels in the organization. He may secure
advice and help in managing people from experts who have special competence in
personnel management and industrial relations.
4. A continuous process
: not a “one shot” function. It must be performed continuously if the organizational
objectives are to be achieved smoothly
5. Development Oriented
: It provides suitable training and development program to make the employee competent
enough to achieve organizational goal
6. Based on Human Relations
: It stresses the solution of personnel problems for the achievement of both organizational
goals and employees’ personal goals
7. Integrating Mechanism
: It helps in maintaining warm and cordial relationships between people working at various
departments and levels in the organization.

SCOPE
1. Human resources planning - process to identify the number of jobs vacant, whether the
company has excess staff or shortage of staff and to deal with this excess or shortage
2. Job analysis design - gives a detailed explanation about each and every job in the company.
Advertisements are based here.
3. Recruitment and selection - A number of applications are received after the advertisement is
published
4. Orientation and induction - employees are informed about the background of the company. They are
told about the organizational culture and values and work ethics and introduce to the other employees
5. Training and development - is one area were the company spends a huge amount. Refresher training -
for staff with experience
6. Performance appraisal - Once the employee has put in around 1 year of service. Based on this, future
promotions, incentives, increments in salary are decided
7. Compensation planning and remuneration - various rules regarding compensation and other benefits
8. Motivation, welfare, health and safety - important to sustain the number of employees in the
company. certain health and safety regulations have to be followed for the benefits of the employees
9. Industrial relations - to prevent strikes lockouts and ensure smooth working in the company

OBJECTIVES
i. To establish and use a workforce that is able and motivated, in order to achieve the goals of an
organization.
ii. To create the desirable organizational structure and working relationships among all the members of the
organization.
iii. To integrate individuals and/or groups within the company by matching their goals with those of the
company.
iv. To ensure individuals and groups have the right opportunities to develop and grow with the organization.

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 iv. To ensure individuals and groups have the right opportunities to develop and grow with the organization.
v. To use what human resources a company has in the most effective way to achieve organizational goals.
vi. To ensure wages are fair and adequate and provide incentives and benefits thereby satisfying both
individuals and groups. Also, to ensure ways of allowing recognition for challenging work, prestige,
security and status.
vii. To have continual high employee morale and good human relations by establishing and improving
conditions and facilities within the organization
viii. To improve the human assets by providing appropriate training programs on a continual basis
ix. To try to effect socio-economic change in areas such as unemployment, under-employment and
inequality by distributing income and wealth. This way society can benefit. Added employment
opportunities for women and the disadvantaged will also be impacted in a positive way
x. To offer opportunities for expression
xi. To ensure that the organizational leadership works in a fair, acceptable and efficient manner
xii. To ensure a good working atmosphere and employment stability by having proper facilities and working
conditions.

FUNCTIONS/ROLES
• Ensure the organization has the right talent to achieve its strategic goals
• Develop people-related structures, policies, and procedures
• Ensure compliance with internal policy
• Ensure compliance with relevant federal and state legislature

HR professionals are guardians and champions! They practice and promote the type of
behavior that leads to a healthy and productive culture.

ESSENTIAL SKILLS
1. Strategic and Innovative
2. Mastery of HR Systems
3. Communication Skills
4. Conflict Management and Problem-Solving
5. Ethical Approach
6. Develop Training Programs
7. Data and Tech Savvy

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Chapter 2
Sunday, 8 October 2023 10:56 pm

Developing and Implementing Strategic HRM Plans

WHAT IS STRATEGIC PLANNING?

art of creating specific business strategies, implementing them, and evaluating the results of executing
the plan, in regard to a company’s overall long-term goals or desires

STRATEGIC PLAN HR PLAN

major objectives the organization wants to specific activities carried out to achieve the strategic plan
achieve
may include long-term goals may include short-term objectives that are tied to the overall
strategic plan

STRATEGIC PLANNING
1. Staffing - development of a strategic plan to determine how many people you might need to hire
2. Basic workplace policies - development of policies to help reach the strategic plan’s goals is the job
of HRM
3. Compensation and benefits - plans, health benefits, and other perks are usually the responsibility of
an HR manager
4. Retention- Assessment of employees and strategizing on how to retain the best employees
5. Training and development - Determination of training needs and development and implementation
of training programs
6. Regulatory issues and worker safety - Keeping up to date on new regulations relating to
employment, health care, and other issues

HRM VS. PERSONNEL MANAGEMENT

HRM PERSONNEL MANAGEMENT
1. FOCUS Helping to achieve strategic goals through Administering of policies
people
Programs are integrated with company's Stand-alone programs like training
mission and values
Line managers share joint responsibility in all Department responsible for managing people
areas of people hiring management
Contributes to the profit objectives of org Creates cost within an org
2. APPROACH Modern approach of managing people and is Traditional approach of managing people and
concern of managing managers of all level is concern of personnel department
3. NATURE Strategic function Routine function
4. FOCUS Human values and individual needs are Efficient management is priority
priority
5. FUNCTION Acquisition, development, utilization, and Personnel administration, labor relation, and
maintenance of HR employee welfare
6. OBJECTIVE Determines HR needs and formulate policies Manages people in accordance with org goals
by matching individual's needs with org
needs
7. PERSPECTIVE Regards people as strategic and valuable Regards people as basic input to make
resource to make desired output desired output
8. JOB DESIGN Designed on basis of teamwork On basis of division of labor
9. INTEREST Interest of org and employee are harmonized Org interest valued the most
10. ORIENTATIO Development oriented, provides space for Discipline, direction, and control oriented
N employee involvement, performance, growth
11. COMMUNIC Open Limited, sometimes restricted
ATION

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 ATION
12. EMPHASIS Emphasizes on combination of human Emphasizes on adherence of rules and
energies and competencies regulations and their implementation
13. BENEFITS - Committed HR - Disciplined employees
- Readiness to change - Increased production
- Increased production
- Increased profit
- Quality of worklife
14. RESULT Organizational goal is achieved and both Organizational goal is achieved and
employers and employees are satisfied employers are satisfied

THE ULRICH HR MODEL

- started the movement that changed the view of HR; no longer merely a functional area, HR became
more of a partnership within the organization
1. Strategic partner. Partnership with the entire organization to ensure alignment of the HR
function with the needs of the organization.
2. Change agent. The skill to anticipate and respond to change within the HR function, but as a
company as a whole.
3. Administrative expert and functional expert. The ability to understand and implement
policies, procedures, and processes that relate to the HR strategic plan.
4. Human capital developer. Means to develop talent that is projected to be needed in the
future.
5. Employee advocate. Works for employees currently within the organization.

4 ASPECTS FOR CREATING GOOD HRM STRATEGIC PLAN USING ULRICH MODEL
1. Make it applicable. A good strategic plan should be the guiding principles for the HRM
function. It should be reviewed and changed as aspects of the business change.
2. Be a strategic partner. Alignment of corporate values in the HRM strategic plan should be a
major objective of the plan.
3. Involve people. An HRM strategic plan cannot be written alone. The plan should involve
everyone in the organization
4. Understand how technology can be used. Organizations oftentimes do not have the money or
the inclination to research software and find budget-friendly options for implementation.

The Steps to Strategic Plan Creation

1. Conduct a Strategic Analysis
a. Understanding of the company mission and values.
b. Understanding of the organizational life cycle. An organizational life cycle refers to the
introduction, growth, maturity, and decline of the organization, which can vary over
time
2. Identify Strategic HR Issues - HRM professionals will analyze the challenges addressed in the
first step. Uses SWOT analysis

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 first step. Uses SWOT analysis
3. Prioritize Issues and Actions - An important aspect of this step is the involvement of the
management and executives in the organization
4. Draw Up an HRM Plan - An HRM manager should always refer to the overall strategic plan
before developing the HRM strategic plan and HR plans

WRITING THE HRM PLAN

1. Determine human resource needs. This part will consist of determining how many people
are needed.
a. Were enough people hired?
b. Did you have to scramble to hire people at the last minute?
c. What are the skills your current employees possess?
d. What skills do your employees need to gain to keep up with technology?
e. Who is retiring soon? Do you have someone to replace them?
f. What are the sales forecasts? How might this affect your hiring?
2. Determine recruiting strategy. Once you have a plan in place, it’s necessary to write down a
strategy addressing how you will recruit the right people at the right time.
3. Select employees. The selection process consists of the interviewing and hiring process. “the
majority of studies say it costs an average of $45,000 to hire a new manager.”
4. Determine compensation. determine pay scales and other compensation such as health care,
bonuses, and other perks.
5. Develop training. One way we can ensure success is by training our employees in three main
areas.
a. Company culture. A company culture is the organization’s way of doing things.
b. Skills needed for the job. E.g., If your company uses particular software, training is
needed in this area.
c. Human relations skills. These are non-job-specific skills your employees need not only
to do their jobs but also to make them all-around successful employees.
6. Appraise performance. Sets of standards need to be developed so you know how to rate the
performance of your employees and continue with their development.
a. Employee appraisal
b. Performance review
c. 360 review
d. Career development review

Tips in HRM Planning

1. Link HRM Strategic Plan to Company Plan
Understanding the nature of the business is key to being successful in creating a
strategic plan for HRM. Because every business is different, the needs of the business
may change, depending on the economy, the season, and societal changes in our
country.
2. Monitor the Plan Constantly
Developing the plan and then making changes as necessary are important to making it a
valuable asset for the organization. A strategic plan should be a living document, in
that it changes as organizational or external factors change. People can get too
attached to a specific plan or way of doing things and then find it hard to change. The
plan needs to change constantly or it won’t be of value.
3. Measure It
A good strategic plan and HR plan should discuss the way “success” will be measured.
4. Sometimes Change Is Necessary
By monitoring the changes constantly (usually done by asking lots of questions to other
departments), you can be sure you are able to change your strategic plan as they come.
5. Be Aware of Legislative Changes
Because most budgets are based on certain current laws, knowing when the law
changes and how it will affect department budgets and planning (such as compensation
planning) will create a more solid strategic plan.

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Chapter 3
Sunday, 8 October 2023 11:50 pm

Job Analysis, and The Talent Management Process

JOB - a group of homogeneous tasks related by similarity of functions. When performed by an employee in
exchange for pay, a job consists of duties, responsibilities, and tasks (performance elements) that are:
- defined and specific, and
- can be accomplished, quantified, measured, and rated
- Group of tasks, duties, and responsibilities an individual performs that make up his or her total work
assignment

JOB FAMILY - Grouping of related jobs with broadly similar content

TASK - specific statement of what a person does, with similar tasks grouped into a task dimension (i.e., a
classification system)
For example: A technical service job family, for example, could be identified as follows:
○ Job family. Technical Service.
○ Job. Technical service representative.
○ Task. Provides technical support to customers by telephone

JOB ANALYSIS - “It is the process of analyzing a job on the basis of which job descriptions and job specifications
are developed.”

JOB DESCRIPTION - in writing the duties and responsibilities of employee, job requirements, functions, duties,
location, environment, conditions, and other aspects of jobs

JOB SPECIFICATION - A list of a job’s “human requirements”: the requisite education, skills, knowledge, and so
on

USES OF JOB ANALYSIS

to establish and document the 'job relatedness' of employment procedures such as
a. Human Resource Planning (HRP) - determines how many and what type of personnel will be needed in
the coming period
b. Recruitment and Selection – helps the human resource manager locate places to obtain employees for
openings anticipated in the future
a. job duties that should be included in advertisements of vacant positions;
b. appropriate salary level for the position to help determine what salary should be offered
to a candidate
c. minimum requirements (education and/or experience) for screening applicants;
d. interview questions;
e. selection tests/instruments (e.g., written tests; oral tests; job simulations);
f. applicant appraisal/evaluation forms;
g. orientation materials for applicants/new hires
c. Training and Development - Job Analysis can be used in training/"needs assessment" to identify or
develop
○ training content
assessment tests to measure effectiveness of training

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 ○ assessment tests to measure effectiveness of training
○ equipment to be used in delivering the training
○ methods of training (i.e., small group, computer-based, video, classroom)
d. Job Evaluation – involves determination of relative worth of each job for the purpose of establishing
wage and salary differentials. Relative worth is determined mainly on the basis of job description and
job specification. It helps in determining wage and salary grades for all the jobs.
e. Remuneration - Remuneration involves fringe benefits bonus and other benefits. It must be based on
the relative worth of each job. Ignoring this basic principle results in inequitable compensation.
f. Performance Appraisal – Job analysis facilitates performance appraisal in as much as it helps fix
standards for performance is relation to what actual performance of an employee is compared and
assessed.
g. Safety and Health - job analysis provides an excellent opportunity to uncover and identify hazardous
conditions and unhealthy environmental factors like heat, noise, fumes and dust, so that corrective
measures can be taken to minimise and avoid the possibility of human injury.

Steps in Job Analysis

STEP 1: Determine the purpose of conducting job analysis
○ The purpose should be connected to the organizations success and strategic goal.
○ e.g., Rapid organizational expansion often necessitates the creation of new types of positions,
which require the creation of job descriptions.
STEP 2: Identify the jobs to be analyzed
○ it can be determined which jobs should be included in the job analysis.
○ Time and resource constraints, on the other hand, frequently limit the overall number of jobs
that can be included in the process.
STEP 3: Explain the Process
○ Study the previous work and previously updated data.
○ Understand the jobs responsibilities and how they fit into the overall work process is aided by
workflow analysis.
STEP 4: Plan and execute the job analysis project
○ A project action plan with project activities and deadlines must be designed and the most
applicable data-gathering methodologies.
○ The next part discusses data collection methods.
STEP 5: Write the job description and job specifications
○ job descriptions, and job specifications must be developed after the data has been collected and
analyzed.
○ Before these documents are finalized, a representative sample of affected employees and their
managers should review them.
STEP 6: Periodic review
○ Engaging in a systematic periodic evaluation of job descriptions and job specifications is good HR
practice.
○ Many companies employ a rotating process, in which a component of the organization is
reviewed each year, with the entire organization being reviewed once every three, four, or five
years.

What to Collect during Job Analysis?

• JOB CONTENT
It offers details about the numerous job tasks that are part of a specific job. It is a detailed list of tasks that
an employee must complete during their employment. A job analyst will need to gather the following
information:
1. Duties of an employee
2. What an employee does
3. Machines, tools, and equipment to be used while performing a specific job
4. Additional tasks involved in a job
5. Desired output level (What is expected of an employee?)
6. Type of training required
• JOB CONTEXT
The situation or condition in which an employee performs a specific job is referred to as job context.
The following information will be gathered:
1. Working Conditions

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 1. Working Conditions
2. Risks involved
3. Whom to report
4. Who all will report to them
5. Hazards
6. Physical and mental demands
7. Judgment
• JOB REQUIREMENTS
These are the basic yet specific qualifications that an applicant must meet to be considered for a
certain position. The following information is to be gathered:
1. Basic information or knowledge required to complete a job properly
2. Communication skills, IT skills, operational skills, motor skills, processing skills, and so on
are all examples of specific talents.
3. Aptitude, thinking, manipulative talents, handling abrupt and unexpected events, problem-
solving ability, mathematical abilities, and so on are all examples of personal abilities.
4. Degrees, diplomas, certifications, and licenses are examples of educational qualifications.
5. Personal characteristics include adaptability to various environments, endurance,
willingness, work ethic, passion to learn and understand things, behavior toward
coworkers, subordinates, and seniors, sense of belonging to the organization, etc.

Job Analysis Methods

• Open-ended questionnaire: Job incumbents and/or managers fill out questionnaires about the KSAs
necessary for the job. HR compiles the answers and publishes a composite statement of job
requirements. This method produces reasonable job requirements with input from employees and
managers and helps analyze many jobs with limited resources.
• Highly structured questionnaire: These questionnaires allow only specific responses aimed at
determining the frequency with which specific tasks are performed, their relative importance and the
skills required. The structured questionnaire is helpful to define a job objectively
• Interview: In a face-to-face interview, the interviewer obtains the necessary information from the
employee about the KSAs needed to perform the job. The interviewer uses predetermined questions,
with additional follow-up questions based on the employee's response. This method works well for
professional jobs.
• Observation: Observation provides a realistic view of the job's daily tasks and activities and works best
for short-cycle production jobs.
• Work diary or log: A work diary or log is a record maintained by the employee and includes the
frequency and timing of tasks. The employee keeps logs over a period of days or weeks. HR analyzes the
logs, identifies patterns and translates them into duties and responsibilities.
• Behavioral event interview: focuses solely on the evaluation of tasks, duties and responsibilities. In
behavioral event interviewing:
○ A team of senior managers identifies future performance areas critical to the organization's
business and strategic plans.
○ HR assembles panels composed of individuals who are knowledgeable about the organization's
jobs. These groups may be employees, managers, supervisors, trainers and others.
○ A facilitator interviews panel members to obtain examples of job behaviors and actual
occurrences on the jobs.
○ The facilitator develops detailed descriptions of each identified competency, including descriptive
phrases for clarity.
○ HR rates the competencies, and panel members identify KSAs required to meet them.
○ HR identifies performance standards for each job. The organization must develop and implement
selection, screening, training and compensation instruments, or processes that focus on
competencies.

Writing Job Description

JOB TITLE
1. Make your job titles specific. Targeted job titles are more effective than generic ones, so be precise by
including key phrases that accurately describe the role.
2. Avoid internal lingo that may confuse the job seeker. Stick to standard experience levels like “Senior”
rather than “VI” or other terms people are less likely to look for. The language of your job description
should be as inclusive as possible.
JOB SUMMARY
1. Open with a strong, attention-grabbing summary. Your summary should provide an overview of your

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 1. Open with a strong, attention-grabbing summary. Your summary should provide an overview of your
company and expectations for the position.
2. Hook your reader with details about what makes your company unique. Include details about your
company culture to sum up why a candidate would love to work for you.
3. Include an exact job location. Provide an exact job location to optimize your job posting so it appears
higher in job search results.
RESPONSIBILITIES & DUTIES
1. Outline the core responsibilities of the position. Make sure your list of responsibilities is detailed but
concise. Also emphasize the duties that may be unique to your organization.
2. Highlight the day-to-day activities of the position. This will help candidates understand the work
environment and the activities they will be exposed to on a daily basis.
3. Specify how the position fits into the organization. Indicate who the job reports to and how the person
will function within your organization.
QUALIFICATIONS AND SKILL
1. Include a list of hard and soft skills. the job description should specify education, previous job
experience, certifications and technical skills required for the role. The soft skills may be like
communication and problem solving, as well as personality traits that you envision for a successful hire.
2. Keep your list concise. identify the must-haves vs nice-to-have skills and qualifications for the role to
encourage a more diverse set of candidates to apply
SALARY & BENEFITS
1. Include a salary range. Quality candidates look for opportunities that meet their salary needs. Stand out
from other employers by adding the salary band to your job description to help attract best fit
candidates.
2. List out your top perks and benefits. Most jobseekers (83%) agree that a company’s benefits and perks
have a significant impact on their decision of whether or not to accept a job offer there.
Importance of Job Analysis
• It is the foundation for anticipating a company's human resource demand and supply.
• Job analysis aids in defining the individual necessary to carry out a specific task.
• It also aids in selecting training content, tools, and equipment to be utilized during training and training
methodologies.
• The approach assists HR managers in determining an employee's worth for a specific job position.
• Position analysis aids in the evaluation of employee performance by establishing specific performance
standards for each job.
• Job analysis gives vital information about an incumbents duties and responsibilities. It also specifies the
jobs content and skill requirements.
• It aids in identifying dangerous environments and the implementation of corrective steps to ensure
proper safety and avoid unhealthy circumstances.
• It aids in the design, redesigning, enriching, reviewing, and reducing and adding extra duties in a
particular job.

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 Chapter 4
Monday, 9 October 2023 12:27 am

BA 105 – HUMAN RESOURCE MANAGEMENT

RECRUITMENT

A. WHAT IS RECRUITMENT?

▪ The Recruitment is the process of identifying and analyzing the job requirements, and then finding the
prospective candidates, who are then encouraged and stimulated to apply for the job in the
organization.
▪ Recruitment is defined as a process that provides the organization with a pool of qualified job
candidates from which to choose.
“Before companies recruit, they must implement proper staffing plans and forecasting to determine how many
people they will need. The basis of the forecast will be the annual budget of the organization and the short- to long-
term plans of the organization—for example, the possibility of expansion.”
Forecasting is based on both internal and external factors.
Internal factors include the following:

a. Budget constraints
b. Expected or trend of employee separations
c. Production levels
d. Sales increases or decreases
e. Global expansion plans

External factors might include the following:

a. Changes in technology
b. Changes in laws
c. Unemployment rates
d. Shifts in population
e. Shifts in urban, suburban, and rural areas
f. Competition

Often Recruitment and Selection are interchangeably used and confused but there is a
marked difference between the two words, as recruitment itself is a positive term
because it only stimulates people to apply for the job to increase the hiring ratio ie.
more number of applicants apply for the job. While selection is the negative term
because it involves elimination during its process rejecting a number of candidates,
leaving only those who are appropriate to be hired.

B. PURPOSE AND IMPORTANCE OF RECRUITMENT:

The importance of recruitment in the organization is as:

1. It helps to determine the present and future requirements of the organization in concurrence
with personnel planning and job analysis activities
2. It increases the pool of job candidates ie giving more options to the organization to select
from the pool the right candidate for the organization.
3. It hereby increases the success rate of selection process by reducing number of under-
qualified or over-qualified applications.
4. It helps to reduce the prospect of the job applicants once selected would leave shortly
5. It helps to meet legal and social obligations
6. It helps to identify and prepare potential job applicants
7. Evaluate the effectiveness of different recruitment techniques and sources for job applicants.

C. THE RECRUITMENT PROCESS

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1. Stage 1 - Identify the vacancy
Vacancies can become available in a business when:

• Someone leaves,
• When someone moves job (job transfer or promotion)
• When a business grows

2. Stage 2 - Carry out a job analysis

When a vacancy becomes available in an organization it is important that the tasks and
skills required for the position are identified. This is known as a job analysis.

• It can be used to identify whether a vacancy needs to be filled or whether the tasks and duties can be
redistributed to other staff.
• It is used to help write the job description and person specification.

3. Stage 3 - Create a job description

A job description is a list of tasks, duties, and responsibilities of a job.
Tips to Writing a Good Job Description:

▪ Be sure to include the pertinent information:

✓ Title
✓ Department
✓ Reports to
✓ Duties and responsibilities
✓ terms of employment
✓ qualifications needed
▪ Think of the job description as a snapshot of the job.
▪ Communicate clearly and concisely.
▪ Make sure the job description is interesting to the right candidate applying for the job.
▪ Avoid acronyms.
▪ Don’t try to fit all job aspects into the job description.
▪ Proofread the job description.

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▪

4. Stage 4 - Create a job specification

A job specification is a document that states the skills and qualifications needed to do the
job. These skills and qualities can be listed as either essential or desirable. This will
provide a series of measures against which the organization can judge people who might
take on the vacancy.

5. Stage 5 - Advertise the job

A job can be advertised either internally or externally.

Sources of Definition Method of advertising

Recruitment
Internal When you promote or move a Company intranet, noticeboard
recruitment person who is already working for
the company
External When you employ a person from National press, local press,
recruitment outside the organization recruitment agencies, job centres,
online advertisement

6. Stage 6 - Send out application forms or request CVs

Application forms are sent out to candidates who wish to apply for the position. Or
alternatively a curriculum vitae (CV) will be requested.

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 alternatively a curriculum vitae (CV) will be requested.
▪ Application forms consist of pre-prepared questions set by the organization.
▪ Curriculum vitae (CVs) presents a full history of your academic credentials, so the length of the
document is variable.
▪ Resume presents a concise picture of your skills and qualifications for a specific position, so length
tends to be shorter and dictated by years of experience (generally 1-2 pages).

D. SOURCES OF RECRUITMENT
The sources of recruitment are broadly divided into two categories: internal
sources and external sources. Both the methods have their own merits and
demerits. They include shown in table

Internal Sources External Sources

• Present Employees • Direct Recruitment
• Past Employees • Employment Exchanges
• Employee Referrals • Employment Agencies/ Professional
• Previous Applicants Associations/Consultants
• Advertisements
• Walk ins
• Campus Recruitment
• Word of mouth advertising
• Labor Contractors
• Job Fairs
• Outsourcing
• Poaching/Raiding
• E- Recruitment

INTERNAL SOURCES OF RECRUITMENT: Internal sources of recruitment refer to hiring

manpower from within the organizationie internally. This means, applicants applying for the
different positions are those who are already working within the same organization. This is
an important source of recruitment, as it provides the opportunities for the development and
utilization of the existing resources within the organization as performance of employees,
selected is already known to the organization. Let us discuss different methods of the
internal sources. It includes:
1. Present Employees: It includes:
a. Promotions: Promotion involves upward movement, ie upgrading the employees by
evaluating their performance in the organization. It involves shifting an employee from a
lower position to a higher position with more responsibilities, salary, facilities, and status.
b. Transfers: Transfer involves lateral movement, ie process of interchanging from one job to
another without any change in the rank and responsibilities. It generally involves the shifting
of employees from one department to another department or one location to another
location, depending upon the requirement of the organization.
c. Job Posting (Internal Advertisements): Job posting/ Internal Advertisements is a process
of posting/advertising jobs only within the organization for example in chain groups etc. This
job posting act as is an open invitation to all the employees working within /inside the
organization, they can only apply for the vacant positions. It provides equal opportunities to
all the employees working in the organization. Thus, the recruitment will be done from within
the organization and it is cost saving too.
2. Past Employees:
a. Recruiting Former Employees: Recruiting former employees is another method of internal
sources of recruitment, in this the ex-employees who are either retired or have resigned from
the organization due to some reasons are called back for rejoining as per the requirement of
the job and performance of the past employee. The benefit of this method is that it is cost
effective, time saving and most important is that the employee is well equipped with the roles
and responsibilities of the job so the organization is not required to spend time and money
on their training and development.
3. Employee Referrals - In this method new candidates are hired through the references of
employees, who are currently working within the same organization. In this process, the
present employees are encouraged to refer their friends and relatives for filling up the vacant

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 present employees are encouraged to refer their friends and relatives for filling up the vacant
positions. Most of the organizations, in order to motivate their employees, to suggest
referrals even provide with a referral bonus etc for a successful hire. (This concept is much
popularized by BPO‘s or call center)
4. Previous Applicants - In this method the Hiring team plays the major role they as per the
requirement of the organization checks the profiles of previous applicants from the
organizational recruitment database. These applicants are basically those who have applied
for jobs earlier in the past but could not get selected due to one or other reason, their CV‘s
are kept with HR department in the form of database.

Merits & Demerits of Internal Sources of Recruitment:

The advantages are as follows:

▪ It is simple, easy, quick, time saving and cost-effective method of recruitment.
▪ There is no need of induction and training, as the candidates are already aware of their job
and responsibilities.
▪ It motivates the employees to work hard, and increases the work relationship within the
organization.
▪ It helps in developing loyalty of the employee towards the organization.
The disadvantages are as follows:
▪ It stops the new innovative ideas and thinking to come into the organization which a new
blood otherwise would have brought with him, as employee who are already working will
have their own old ways of working.
▪ It has limited scope because all the vacant positions cannot be filled through this method.
▪ There are more chances of biasness or partiality while recruiting
▪ It sometimes develops Jealousy as there could be issues in between the employees, who
are promoted and who are not.
▪ It may become the cause of disturbing the harmony of the organization.
▪ If an internal resource is promoted or transferred, then that position will remain vacant.
▪ Employees, who are not promoted, may end up being unhappy, rejected, and demotivated.
EXTERNAL SOURCES OF RECRUITMENT: External sources of recruitment refer to hiring
employees from outside the organizationexternally. It suggests that, here the applicants
seeking for the job are those who are external to the organization. Let us discuss different
methods of the external sources:
1. Direct Recruitment: In this method a notice of vacancy is placed on the notice board of the
organization and the suitable candidates can approach the concerned person, this method
of sourcing is also called as factory gate recruitment, as the blue-collar and technical
workers are hired through this process.
2. Employment Exchanges: Employment exchange is a government entity, where the details of
the candidates’ requiring jobs are stored and are given to the employers for filling the vacant
positions, As per the law, for certain job vacancies, it is mandatory that the organization
provides details to the employment exchange. This external recruitment method is helpful in
hiring employees at all levels.
3. Employment Agencies/ Professional Associations/Consultants: Employment agencies /
Professional Associations/Consultants are other good source of external recruitment.
Employment agencies can be private, public, or government owned. They act as a link
between the prospective candidates and employer. As they hold a database of qualified
candidates and provide it to the organization as and when required by them at some cost
who then select from among it. They provide unskilled, semi-skilled and skilled resources as
per the requirements of the organization.
4. Advertisements: Advertisements are the most popular and very much preferred source of
external source of recruitment as they can reach to huge masses within same time and its
proven fact that response through advertisement is most of the time positive. In this the job
vacancy is announced through various print and electronic media – newspaper, radio etc
with all the details like specific job description and specifications of the requirements.
5. Walk ins: This is the most common and least expensive method for candidates as in this the
job seekers submit unsolicited applications or letters or resume or biodata to the
organization and directly come for the selection process as its similar to ‗open for all‘ and
even preferred by employers as they get a wider choice for selection for the post and

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 even preferred by employers as they get a wider choice for selection for the post and
moreover it is free from hassles associated with other methods of recruitment.
6. Campus Recruitment: This is another most popular source of external recruitment, where the
educational institution such as colleges and universities offer opportunities to the
organization for hiring their students. In this process, the organizations visit technical,
management, and professional institutions for recruiting students directly for the new
positions.
7. Word of Mouth Advertising: Word of mouth is purely an intangible way of sourcing the
candidates for filling up the vacant positions. As there are many reputed organizations with
such high and good image in the market. That these organization names are more than
enough for the job seekers. Such organizations only need a word-of-mouth advertising
regarding a job vacancy to attract a large number of candidates.
8. Labor Contractors: Manual workers or Daily wage labors can be recruited through
contractors who maintain close association with the sources of such workers. This source is
used to recruit labor for construction jobs.
9. Job Fairs: Job fairs are conducted by different companies to attract candidates for entry level
jobs. In this all the organization having vacancy collects at one place and organize a fair for
the job seekers who can directly go to the desired counter of organization and can apply for
the respective post and company, it is another good method of external recruitment as
through this company can get wider choices as well as good for job seeker as get all the big
brands /non brands at one place so they can choose among it and beside that its less costly
than advertisements.
10. Outsourcing: Outsourcing method involves hiring the candidates from different organization
for the work and in return the organization has to pay for their services. It is similar to
contractual service as for example: In India, the HR processes are being outsourced from
more than a decade now. Outsourced HR Firm help the organization to create and screen
the candidates for the organization for the final and further selection by the candidates for
which HR firm will be paid for the services.
11. Poaching/Raiding: This is the latest method of external recruitment being followed by the
organizations today. Poaching means hiring a competent and experienced person already
working in another reputed company in the same or different industry; the organization might
be a competitor in the industry. For this a company can attract talent from another company
by offering attractive pay packages and other terms and conditions, better than the current
employer of the candidate.
12. E-Recruitment: E-Recruitment or recruitment through internet is the use of technology to
assist the recruitment process. It is gaining popularity from past few years. In this they
advertise job vacancies through worldwide web. The job seekers send their applications or
curriculum vitae (CV) through an e-mail using the Internet.

Merits & Demerits of External Sources of Recruitment:

The advantages are as follows:

▪ It encourages new opportunities for the job seekers.
▪ It helps in increasing the branding of the organization
▪ There are less chances of biasness or partiality between the employees.
▪ There is wide scope for selecting the right candidate, because of the large number of
candidates appearing.
▪ It brings in new ideas and innovative thinking with new blood coming in the organization.
▪
The disadvantages are as follows:
▪ This process is time consuming, as the selection process is very lengthy.
▪ Highly Expansive as compared to recruiting through internal sources.
▪ External candidates sometimes even demand more remuneration and benefits.
▪ De-motivating for the existing employees leading to poor productivity and high labor turnover
▪ Less Loyalty of employees towards the organization.
▪ Requires training
▪ Requires more time to adjust with the environment of the organization

E.

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E. TIPS FOR EFFECTIVE RECRUITING
▪ Look internally before externally: there’s a good chance the best candidate for your position is
already working for your organization. Internal candidates are already familiar with and contributing to
your corporate culture and goals. Given their past success within your organization, it is reasonable to
expect they will continue to excel in a new position.
▪ Reach out to “passive” candidates: there is a good chance your ideal candidate is not actively
looking for a new job and will not respond to your job board ad. effective recruiting requires you to
look outside of your applicant pool for top talent.
▪ Hire the sure thing: according to two authors and experts, you should hire the person who is already
excelling doing the exact job in your industry. Past success, in other words, is the best indicator of
future success.

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 Chapter 5
Monday, 9 October 2023 12:28 am

BA 105 – HUMAN RESOURCE MANAGEMENT

Chapter 5
SELECTION

A. WHAT IS SELECTION

The selection process refers to the steps involved in choosing people who have the right
qualifications to fill a current or future job opening.

• The selection process is expensive.

• The time for all involved in the hiring process to review résumés, weight the applications, and
interview the best candidates takes away time (and costs money).

The selection process consists of five distinct aspects:

1. CRITERIA DEVELOPMENT. The first aspect to selection is planning the interview process, which
includes criteria development. Criteria development means determining which sources of information
will be used and how those sources will be scored during the interview.

• The criteria should be related directly to the job analysis and the job specifications.
• Include things like personality or cultural fit, which would also be part of criteria development.

By setting criteria ahead of time, the hiring team has a clear picture of exactly what
qualifications they are looking for. As a result, it is easier to determine who should move
forward in the selection process.

2 Important Qualities of Selection Instrument (Validity and Reliability)

▪ Validity: The validity refers to how useful the tool is to measure a person’s attributes for a specific job
opening.

▪ Reliability: refers to the degree in which other selection techniques yield similar data over time.

2. APPLICATION AND RÉSUMÉ REVIEW. Once the criteria have been developed (step one),
applications can be reviewed. Reviewing may vary such as:
▪ All the hiring decision makers may review all résumés, list the people they would like to meet in
person, and then compare the lists.
▪ Rate each candidate and interview only those above a certain score.

When looking at résumés to determine whom to interview, a manager should be

concerned with the concepts of:
a. Disparate impact is unintended discrimination against a protected group as a whole through the use
of a particular requirement. It may be present in the interviewing process, as well as other
employment-related processes such as pay raises and promotions.

b. Disparate treatment in hiring might include not interviewing a candidate because of one’s perception
about the candidate’s age, race, or gender. The last consideration is the hiring of internal versus
external candidates.

For example:
A bidding process may occur to notify internal candidates of open positions. This
way, an HR professional can be assured that disparate treatment does not occur
because of favoritism.
3. INTERVIEWING. After the HR manager and/or manager have determined which applications meet
the minimum criteria, he or she must select those people to be interviewed. Interview processes can
be time-consuming, so it makes sense to choose the right type of interview(s) for the individual job.

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 be time-consuming, so it makes sense to choose the right type of interview(s) for the individual job.

• In an unstructured interview, questions are changed to match the specific applicant; for example,
questions about the candidate’s background in relation to their résumé might be used.

• In a structured interview, there is a set of standardized questions based on the job analysis, not on
individual candidates’ résumés. The expected or desired answers are determined ahead of time,
which allows the interviewer to rate responses as the candidate provides answers.

Types of Interviews
a. Traditional interview. This type of interview normally takes place in the office. It consists of the
interviewer and the candidate, and a series of questions are asked and answered.
b. Telephone interview. A telephone interview is often used to narrow the list of people receiving a
traditional interview.
c. Panel interview. A panel interview occurs when several people are interviewing one candidate at the
same time.
d. Information interview. Informational interviews are usually used when there is no specific job opening,
but the candidate is exploring possibilities in a given career field.
e. Meal interviews. Many organizations offer to take the candidate to lunch or dinner for the interview.
This can allow for a more casual meeting where, as the interviewer, you might be able to gather more
information about the person, such as their manners and treatment of wait staff.
f. Group interview. In a group interview, two or more candidates interview at the same time. This type of
interview can be an excellent source of information if you need to know how they may relate to other
people in their job.
g. Video interviews. are the same as traditional interviews, except that video technology is used. This
can be cost saving if one or more of your candidates are from out of town.
h. Nondirective interview (sometimes called an unstructured interview). In a nondirective interview, the
candidate essentially leads the discussion. Some very general questions that are planned ahead of
time may be asked, but the candidate spends more time talking than the interviewer. The questions
may be more open ended.

Interview Questions
a. A situational interview is one in which the candidate is given a sample situation and is asked how he
or she might deal with the situation.

Examples:
1. If you saw someone stealing from the company, what would you do?
2. One of your employees is performing poorly, but you know he has some personal home issues
he is dealing with. How would you handle complaints from his colleagues about lack of
performance?
3. A coworker has told you she called in sick three days last week because she actually decided to
take a vacation. What would you do?

4. In a behavior description interview, the candidate is asked questions about what he or she
actually did in a variety of given situations. The assumption in this type of interview is that
someone’s past experience or actions are an indicator of future behavior.

Types of interview questions that would be considered illegal.

▪ National origin. You cannot ask seemingly innocent questions such as “That’s a beautiful name,
where is your family from?” This could indicate national origin, which could result in bias.

▪ Age. You cannot ask someone how old they are, and it is best to avoid questions that might indicate
age.

▪ Marital status. You can’t ask direct questions about marital status or ages of children.

▪ Religion. It’s illegal to ask candidates about their religious affiliation or to ask questions that may
indicate a religion-affiliated school or university.

▪ Disabilities. You may not directly ask if the person has disabilities or recent illnesses. You can ask if
the candidate is able to perform the functions of the job with or without reasonable accommodations.

▪ Criminal record. While it is fine to perform a criminal record check, asking a candidate if they have
ever been arrested is not appropriate.

▪ Personal questions. Avoid asking personal questions, such as questions about social organizations or
clubs, unless they relate to the job.

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 clubs, unless they relate to the job.

Types of interview bias

Interview bias is when an interviewer makes assumptions about the candidate that may
not be accurate. These assumptions can be detrimental to an interview process
▪ Contrast bias is a type of bias that occurs when comparing one candidate to others.
▪ A gut feeling bias is when an interviewer relies on an intuitive feeling about a candidate.
▪ Generalization bias can occur when an interviewer assumes that how someone behaves in an
interview is how they always behave.
▪ Cultural noise bias occurs when a candidate thinks he or she knows what the interviewer wants to
hear and answers the questions based on that assumption.
▪ Nonverbal behavior bias occurs when an interviewer likes an answer and smiles and nods, sending
the wrong signal to the candidate.
▪ A similar to me bias (which could be considered discriminatory) results when an interviewer has a
preference for a candidate because he or she views that person as having similar attributes as
themselves.
▪ Recency bias occurs when the interviewer remembers candidates interviewed most recently more so
than the other candidates.

Interview Process

Once the criteria have been selected and interview questions developed, it is time to start
interviewing people. Your interviewing plan can determine the direction and process that should
be followed:

1. Recruit new candidates.

2. Establish criteria for which candidates will be rated.
3. Develop interview questions based on the analysis.
4. Set a time line for interviewing and decision making.
5. Connect schedules with others involved in the interview process.
6. Set up the interviews with candidates and set up any testing procedures.
7. Interview the candidates and perform any necessary testing.
8. Once all results are back, meet with the hiring team to discuss each candidate and make a
decision based on the established criteria.
9. Put together an offer for the candidate.

Tips to consider when working with the interview process:

o Make sure everyone is trained on the interviewing process.

o Listen to the candidate and try to develop a rapport with them.
o Be realistic about the job.
o Be aware of your own stereotypes and do not let them affect how you view a potential
candidate.
o Watch your own body language during the interview and that of the candidate.
o Stick to your criteria for hiring.
o Learn to manage disagreement and determine a fair process

4. TEST ADMINISTRATION. Any number of tests may be administered before a hiring decision is
made. These include drug tests, physical tests, personality tests, and cognitive tests. Some
organizations also perform reference checks, credit report checks, and background checks.

The major categories of tests include the following:

1. A cognitive ability test can measure reasoning skills, math skills, and verbal skills.
2. Aptitude tests can measure things such as mechanical aptitude and clerical aptitude. Usually,
an aptitude test asks specific questions related to the requirements of the job. The test
measures cognitive skills and observational skills (aptitude test) required for the job.

○ Intelligence Tests: These tests try to measure the overall intelligence of the person to do
the job and solve various problems that he/she might encounter while doing the job.
▪ Verbal Ability Tests – These tests measure spelling, grammar, ability to understand
analogies and follow detailed written instructions.
▪ Numeric Ability Tests – These tests measure basic arithmetic, number sequences,
simple mathematics, and numerical critical reasoning questions.
▪ Abstract Reasoning Tests – These measure and identify the underlying logic of a
pattern and then determine the solution.
○ Mechanical Aptitude Tests: They measure orientation of a person to perform a
mechanical job.

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 ○
mechanical job.
○ Skill Tests: Such tests attempt to determine whether the skill of the person in doing a
particular job is at compilation (just acquired skill) or at automaticity (expertise) level.
3. Personality test. Some employers use personality test to ensure a better candidate-job fitment.
The “Big Five” personality test looks at extroversion, agreeableness, conscientiousness,
neuroticism, and openness. Self-assessment statements might include the following:
• I have an assertive personality.
• I am generally trusting.
• I am not always confident in my abilities.
• I have a hard time dealing with change.
4. Physical ability test. Physical ability tests need to show direct correlation with the job duties.
5. A job knowledge test measures the candidate’s level of understanding about a particular job.
6. Work sample tests ask candidates to show examples of work they have already done. These
work samples can often be a good indicator of someone’s abilities in a specific area.

Reference checking is essential to verify a candidate’s background. It is an added assurance that

the candidate’s abilities are parallel with what you were told in the interview. Some of these questions
might include the following:
1. What was the title and responsibilities of the position the candidate had while at your company?
2. Do you think the candidate was qualified to assume those responsibilities?
3. Does this person show up on time and have good attendance?
4. Would you consider this person a team player?
5. What are the three strongest and weakest characteristics of this candidate?
6. Would you rehire this person?
▪ Criminal background checks
▪ Credit checks
▪ Drug testing } other forms of tests/checking
▪ Physical examination
▪ Honesty test

Selection Method
▪ A clinical selection approach it involves all who will be making the decision to hire a candidate.
The decision makers review the data and, based on what they learn from the candidate and the
information available to them, decide who should be hired for a job.
▪ In the statistical method, a selection model is developed that assigns scores and gives more
weight to specific factors, if necessary.

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 ▪ A multiple cutoff model requires that a candidate has a minimum score level on all selection
criteria.
▪ In multiple hurdle model, only candidates with high (preset) scores go to the next stages of the
selection process.

5. MAKING THE OFFER. The last step in the selection process is to offer a position to the chosen
candidate. Making the offer to the chosen candidate can be equally as important as the interview
process.
▪ Once you have determined in the interview process that the salary expectation is in the range of
what you can offer, the first step is to make the offer as soon as the decision is made.
▪ Once the offer has been made, it is reasonable to give the candidate some time to decide, but
not too long, as this can result in losing other candidates should this candidate reject the job
offer.

Some tips to successfully negotiate are included below

1. Be prepared. Know exactly what you can and can’t offer.
2. Explain the career growth the organization can provide.
3. Address the benefits of the candidate’s joining the organization.
4. Discuss the entire offer, including other benefits offered to the employee.
5. View the negotiation as a win-win situation.
6. Be able to provide salary research of similar positions and competitors for the same job title.
7. Use the trading technique.

▪ Once the phone call is made and the candidate accepts the offer, an e-mail or formal letter
should follow, outlining details of the employment agreement. The employment agreement or
offer letter should include the following:
i. Job title
ii. Salary
iii. Other compensation, such as bonuses or stock options
iv. Benefits, such as health-care coverage, 401(k)
v. Vacation time/paid holidays
vi. Start date
vii. Non-compete agreement expectations

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 vii. Non-compete agreement expectations
viii. Additional considerations such as relocation expenses

▪ Once the pay and benefits package has been successfully negotiated and the offer letter (or e-
mail) sent, you should clarify acceptance details in writing and receive confirmation of the start
date.

B. 3 TRADITIONAL METHODS FOR PERSONNEL SELECTION

1. Phrenology: One of the most popular techniques for personnel selection during nineteenth century
was phrenology which is concerned with identification of mental abilities, perception, and
characteristics.

2. Physiognomy: is the art of judging character from appearance specially the face. It is based on the
assumption that face is an index of mind.

3. Graphology is the art of estimating a person’s character, etc. from his handwriting. It was used by
Chinese in eleventh century to predict personality characteristics based on handwriting.

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