BITS Pilani
Hyderabad Campus
Chapter-6
Recruiting Human Resources
Learning Objectives
Understand recruitment process
Various recruitment methods
Matching sources with methods
How to make effective advertisement
Recruitment source effectiveness
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Cisco Case
Sources : active seekers, passive seekers, senior engineers,
marketing professionals, internet savy manger, people from silicon
valley
Consumer behaviour analysis(market research): how sources
spend free time, websites they visit, how they felt about job hunting
Friend suggestions ; word of mouth, corporate dilbert ; www.
Travelquest .com;
make friends @ Cisco
Profiler tool (Oh No! My boss is coming!
Amazing people- referal program
Convenience for new employee: fast start assign New Buddy; 2
days workshop in Cisco Business essentials
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Nature and Purposes of
Recruitment
Recruitment is the process of searching for and
obtaining applicants for jobs
Qualified job candidate is your customer when you are trying to sell
the job to him or her: some key questions to be answered by
everyone involved in recruiting process is
Your target market source;, consumer behaviour; methods;
positioning
Do you treat applicants as your customer
Would applicants describe their visit as positive and pleasant.
What are the most important things the applicant is looking for in a
job,?
Are interview scheduled around the applicants preference?
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Recruitment process
Recruitment planning (yield ratio; make-buy skill )
Employee
requisition
Recruitment
Internal sources
Internal methods
External sources
External methods
Recruited individuals (prescreening)
Recruitment Yield Pyramid
Offer Acceptance
20
Offers/Acceptance
(3:2)
Job Offer
Invited for Final
Interview
Invited to
Screening
Interview
Initial Contacts
30
Interview/Offers (4:3)
40
Screening/Invites
(5:1)
200
Contacts/Screens
(10:1)
2000
Internal recruitment methods
Source: where qualified candidates are located, such as
college, competitors
Internal source: current employees
Internal methods: job posting ( bulletin board, intranet,
internet, company's online news letter, email alerts)
Employee Referrals
Applicants who are referred to the organization by current
employees
Referral is a cost-effective recruitment program.
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Internal Sources of Candidates: Hiring from Within
Advantages
Foreknowledge of
candidates strengths and
weaknesses
More accurate view of
candidates skills
Candidates have a
stronger commitment to
the company
Increases employee
morale
Less training and
orientation required
.
Disadvantages
Failed applicants
become discontented
Time wasted
interviewing inside
candidates who will not
be considered
Inbreeding of the status
quo
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External recruitment sources
Vocational schools
College & universities
Competitors in labour market
Former employees
Unemployed
Military personnel
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External recruitment methods
Media advertising
Employment agencies
Job fairs
Internships
Walk-in interviews
Event recruiting
E-recruitment
Employee Referrals
Applicants who are referred to the organization by current
employees
Referral is a cost-effective recruitment program.
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External recruitment methods
Employment agencies: Organization that helps firms
recruit employees and at same time aids individual in
their attempt to locate jobs
Job Fair: recruiting method engaged in by a single
employer or group of employers to attract a large
number of applicants to one location for interviews.
Event recruiting: Recruiters going to events where
individuals the company is seeking to attend. Eg cisco
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External recruitment methods
Advertising
The Media: selection of the best medium depends on the
positions for which the firm is recruiting.
Newspapers (local and specific labor markets)
Trade and professional journals
Internet job sites
Marketing programs
Constructing an effective ad
Wording related to job interest factors should evoke the
applicants attention, interest, desire, and action (AIDA) and
create a positive impression of the firm.
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Designing advertisement
When drafting your recruitment advertisements, bear in mind the following points which are universally applicable job
advertisement should be:
eye-catching (Wherever you advertise, have a bold heading. You can use the job title itself if it sounds impressive or is
unusual..Alternatively, you might prefer to put the name of your company across the top of the advertisement. Do this if it is both
well known and has a good reputation locally or nationally, as appropriate. )
concise (Once the potential applicant has seen the recruitment advertisement, lie must study it. To encourage this, the text
should be brief and to the point. Supply key information as succinctly as possible. Use compact paragraphs and short
sentences. Stick to plain English, avoiding fancy and confusing phrases. If details are not relevant, cut them out. Should your
words not be absolutely clear, change them. Otherwise, the reader will lose interest and look at the next advertisement instead. )
logical (Similarly, set out the text in a sensible and progressive order (job duties, salary, fringe benefits and so on). Jumping
back and forth to and from different subjects is discouraging. Each paragraph should deal with one, self contained topic. Every
sentence should make one simple point Do not cover the same topic or points again. Never repeat yourself)
humour-free (Although humour can be very effective in some advertising campaigns, steer clear of it in recruitment
advertisements. Most people view job hunting as a serious matter-they could be unemployed with a mortgage to pay and
children to support- and might be alienated by comments which they regard as flippant or patronizing. Also, everyones sense of
humour is different. Funny ha-ha to one person may be funny peculiar to another. )
non-discriminatory (As always, you should avoid discriminating on the grounds of sex, marital status or race. The
presentation and phrasing of your advertisements must not imply that only people of a particular sex, marital status or racial
group should apply for the job. Be especially careful of your job title. Replace the discriminatory Barmaid or Salesman with
Bar Person and Sales Person. Put Typist (Male or Female) and Car Mechanic (Male or Female). Should you use a personal
pronoun, state He/She or He or She? The Equal Opportunities. It is worth adding here that you should encourage suitable
people with disabilities to contact you too. Perhaps add a phrase such as We welcome applications from disabled persons.
This will help to ensure that you are seen as a company which offers fair and equal opportunities to all suitably qualified
applicants.)
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Help
Wanted Ad
Figure 57
Source: The Miami Herald, March 24, 2004, p. SF.
514
Tailoring recruitment methods to sources
External
source
Ext
ern
al
me
tho
ds
campus
intervie
w
int
ern
shi
p
referrals Head
hunti
ng
Professio
nal
associat
ed
Employ
ment
agenci
es
colleges
Competitor
s/other
firms
unemploye
d
High
schools
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Recruitment cost
Cost per hire= AC+ AF+RB+TC+RE+RC
H
AC- Advertisement cost
AF- agency fees
RB- referral bonus
TC- travel cost
RE- relocation cost
RC- recruiter costs
H- no. of hires
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Assessing effectiveness of recruitment source
(example)
Source
No. of
employm
ent offers
No. of
Total
acceptan cost
ces
Turnove Average
r after
performa
1 year
nce rating
at 1 year
College
recruitm
ent
referrals
Erecruitin
g
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BITS Pilani, Hyderabad Campus
Cisco Case
Methods adopted:
Corporate website
Advertisement
Referral program (Amazing people)
Job fair (event recruiting)
BITS Pilani, Hyderabad Campus
Assessing effectiveness of recruitment source (Cisco)
Source
No. of
employm
ent offers
No. of
Total
acceptan cost
ces
Corporat
e
website
8000(81%) 66%
referrals
Twice then
average
Turnove Average
r after
performa
1 year
nce rating
at 1 year
Reduce by Retentio
40%
n (6.3%)
high
Reduction in hiring cycle from 68 days to 45
days
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Summary
Recruitment is sales activity
Yield ratio
Internal source and internal methods
External source and external methods
Mapping of source with method
Cost per hire
Measure of effectiveness of recruitment process
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BITS Pilani
Hyderabad Campus
Chapter 7: Selecting Human Resources
Chapter 7
Selecting Human Resources
BITS Pilani, Hyderabad Campus
Learning Objectives
Understand the nature of
selection and appreciate its role
Describe the selection process
Identify new methods of selection
Evaluation of Selection Program
BITS Pilani, Hyderabad Campus
Selection
Selection is the process of picking individuals (out
of the pool of job applicants) with requisite
qualifications and competence to fill jobs in the
organization.
It is the process of differentiating between
applicants in order to identify (and hire) those
with a greater likelihood of success in a job.
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Why is Careful Selection
important?
The Importance of Selecting
the Right Employees
Organizational
Performance
Costs of Recruiting
and Hiring
Legal
Obligations and
Liability
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Legal
Obligations and Liability
Negligent hiring ; hiring workers with
questionable backgrounds without proper
safeguards
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Selection Decision Outcomes
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Selection Process
External Environment
Internal Environment
Preliminary Interview
Selection Tests
Rejected Applicants
Employment Interview
Reference and
Background Analysis
Selection Decision
Physical Examination
Job Offer
Employment Contract
Evaluation
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Basic Testing Concepts
Reliability
The consistency of scores obtained by the same
person when retested with the identical or equivalent
tests.
Are the test results stable over time?
Test validity
The accuracy with which a test, interview, and so on
measures what it purports to measure or fulfills the
function it was designed to fill.
Does the test actually measure what we need for it to
measure?
.
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Types of validity
Test validity
Criterion
validity
Content
validity
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Types of Validity
Criterion validity : a type of validity based on showing that
scores on the test (predictors) are related to job
performance (criterion)
Content validity: a test that is content valid is one that
contains a fair sample of the tasks and skills actually
needed for the job in question.
BITS Pilani, Hyderabad Campus
How to Validate a Test
Step 1: Analyze the job
Predictors: job specification (KSAOs)
Criterion: quantitative and qualitative measures of job
success
Step 2: Choose the tests
Test battery or single test?
Step 3: Administer the test
Concurrent validation
Current employees scores with current performance
Predictive validation
Later-measured performance with prior scores
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How to Validate a Test (contd)
Step 4: Relate Test Scores and Criteria
Correlation analysis
Actual scores on the test with actual performance
Expectancy chart
Step 5: Cross-Validate and Revalidate
Repeat Step 3 and Step 4 with a different sample of employees.
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Selection test
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Cognitive ability test
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Job knowledge test
Which gear will turn the same way as the driver?
Source: Reproduced by permission. Copyright 1967, 1969 by The Psychological Corporation, New York, NY. All
rights reserved. Authors note: 1969 is the latest copyright on this test, which is still the main one used for this
purpose.
Figure 65
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Personality test
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Measuring Personality and Interests
Personality tests
Tests that use projective techniques and trait inventories
to measure basic aspects of an applicants personality,
such as introversion, stability, and motivation.
Disadvantage
Personality testsparticularly the projective type
are the most difficult tests to evaluate and use.
Advantage
Tests have been used successfully to predict
dysfunctional job behaviors and identify successful
candidates for overseas assignments.
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Interest inventory test
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Integrity test
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Structured interview test
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Work sample test
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Assessment center
( A set of stimulated tasks
or exercise that candidates (usually for managerial positions)
are asked to perform)
Human Resource Management, 5E
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Physical ability test
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Other selection Tests
Graphology test is designed to analyse the handwriting of
an individual. It has been said that an individuals
handwriting can suggest the degree of energy, inhibitions
and spontaneity, as well as disclose the idiosyncracies,
and elements of balance and control.
Polygraph tests are designed to ensure accuracy of the
information given in the applications. Department stores,
treasury offices and jewellery shops that is those highly
vulnerable to theft or swindling may find polygraph
tests useful
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Methods of Interviews
(a) One-to-One Interview
(b) Sequential Interview
(c) Panel Interview
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Kinds of Interview
Type
Type of Questions
Field(s) where applicable
Structured
A preset checklist of
questions usually asked
from all the applicants
Useful for getting valid
results especially when
dealing with large number
of applicants
Unstructured
Few planned questions.
Questions are framed during
the course of interview
Applied when interviewer
wishes to validate and
confirm certain facts
Mixed
Combination of structured
and unstructured questions.
Realistic approach that
yields comparable answers
plus in-depth insights.
Behavioural
Framing questions for the
hypothetical situation
created in interview and
evaluating on the basis of
solution and approach
offered by applicant
Useful in exploring
personality make-up,
abilities, and other
psychological variables
related to employment
Stressful
A series of harsh, rapid fire
questions intended to upset
the applicant
Useful in assessing
candidates for stressful jobs
like handling customer
complaints etc.
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Shortcomings of interviews
Absence of reliability
Lack of validity
Biases of interviewers
Common interview problem:
Halo effect: occurs when an interviewer judges an
applicants entire potential for job performance on basis
of single trait, such as how applicant dresses or talks.
Contrast effect :
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Three Ways to Make the
Interview Useful
Structure the interview to
increase its validity
Making the
Interview
Useful
Carefully choose what sorts
of traits are to be assessed
Beware of committing
interviewing errors
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Creating Effective Interview
Structures
Base questions on actual job duties.
Use job knowledge, situational or behavioral questions, and
objective criteria to evaluate interviewees responses.
Use the same questions with all candidates.
Use descriptive rating scales (excellent, fair, poor) to rate
answers.
If possible, use a standardized interview form.
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Sample Interview Evaluation
form
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Background Investigations &
Reference Checks
Investigations and Checks
Reference checks
Background employment checks
Criminal records
Driving records
Credit checks
Why?
To verify factual information provided by applicants.
To uncover damaging information.
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Reference & Background Checks
The importance of checking:
40 percent of applicants lie about work histories
and educational backgrounds.
20 percent of applicants falsify credentials and
licenses.
30 percent of applicants make misrepresentations
on their resumes.
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Reference Checking Form
Source: Society for
Human Resource
Management,
2004. Reproduced
with permission of
Society for Human
Resource
Management in the
Format Textbook
via Copyright
Clearance Center.
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Background Investigations and
Reference Checks (contd)
Former Employers
Current Supervisors
Sources of
Information
Commercial Credit
Rating Companies
Written References
Social Networking Sites
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The Job Offer
Making the job offer:
May be done by phone, letter or in person.
Make arrangements for further conditions:
Physical exam and drug screen.
Discuss salary and benefits:
Avoid quoting an annual salary.
Realistic job preview,
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Job offer is made through a letter of appointment.
Decency demands that the rejected applicants be informed
about their non-selection.
Contracts of Employment:
Job titles, duties, date of joining, salary, method of
payment, working hours, holidays, notice period.
Human Resource Management, 5E
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Evaluation of selection program
Human Resource Management, 5E
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KEY TERMS :Please read
notes uploaded
Ability Test
Aptitude Test
Behavioral Interview
Content validity
Criterion validity
Halo Effect
Intelligence Test
Concurrent validation
Predictive validation
Reliability
Accept Error
Reject error
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