Chapter 4:

Recruitment

Keeping Up with Growth 4.1 The Recruitment Process

Over the last two years, the company where Melinda works LEARNING OBJECTIVES
as HR manager, Dragon Enterprises, has seen plenty of
1. Discuss the need for forecasting human resource needs
growth. Much of this growth has created a need for a
and techniques for forecasting.
strategic, specific recruiting processes. In the past, Dragon
2. Be able to explain the steps to an effective recruitment
Enterprises recruited simply on the basis of the applications
strategy.
they received, rather than actively searching for the right
3. Be able to develop a job analysis and job description.
person for the job. The first thing Melinda did when arriving
at the company was to develop a job analysis questionnaire,
The recruitment process is an important part of human
which she had all employees fill out using the website
resource management (HRM). It isn’t done without proper
SurveyMonkey. The goal was to create a job analysis for each
strategic planning. Recruitment is defined as a process that
position that existed at the company. This happened to be the
provides the organization with a pool of qualified job
point where the organization started seeing rapid growth, as
candidates from which to choose. Before companies recruit,
a result of increased demand for the types of parts the
they must implement proper staffing plans and forecasting to
company sells. Luckily, since Melinda followed the industry
determine how many people they will need. The basis of the
closely and worked closely with management, part of her
forecast will be the annual budget of the organization and the
strategic outline planned for the hiring of several new
short- to long-term plans of the organization—for example,
positions, so she was mostly ready for it. Keeping in mind the
the possibility of expansion. In addition to this, the
Equal Employment Opportunity Commission (EEOC) laws
organizational life cycle will be a factor. Forecasting is based
and the company’s position on a diverse workforce, Melinda
on both internal and external factors. Internal factors include
set out to write new job descriptions for the job analysis she
the following:
had performed. She knew the job analysis should be tied to
1. Budget constraints
the job description, and both of these should be tied to the
2. Expected or trend of employee separations
job qualifications. Obviously, to recruit for these positions,
3. Production levels
she needed to develop a recruitment plan. Over the next year,
4. Sales increases or decreases
the organization needed to hire three more floor
5. Global expansion plans
management positions, three office positions, and fifteen
6. External factors might include the following:
factory floor positions. Next, she needed to determine a time
7. Changes in technology
line to recruit candidates and a method by which to accept
8. Changes in laws
the applications she would receive. After sharing this time
9. Unemployment rates
line with her colleague, the chief operating officer, she went
10. Shifts in population
to work recruiting. She sent an e-mail to all employees asking
11. Shifts in urban, suburban, and rural areas
them to refer a friend and receive a $500 bonus. Next, part
12. Competition
of her strategy was to try to find very specialized talent in
management to fill those positions. For this, she thought
Once the forecasting data are gathered and analyzed, the HR
working with a recruiting company might be the best way to
professional can see where gaps exist and then begin to
go. She also used her Twitter and Facebook accounts to
recruit individuals with the right skills, education, and
broadcast the job openings. After a three-week period,
backgrounds. This section will discuss this step in HR
Melinda had 54 applications for the management positions,
planning.
78 for the office positions, and 110 for the factory floor
positions. Pleased with the way recruiting had gone, she
Recruitment Strategy
started reviewing the résumés to continue with the selection Although it might seem easy, recruitment of the right talent,
process. at the right place and at the right time, takes skill and practice,
but more importantly, it takes strategic planning. An
understanding of the labor market and the factors
determining the relevant aspects of the labor market is key to Once these tasks are accomplished, the hope is that you will
being strategic about your recruiting processes. have a diverse group of people to interview (called the
selection process). Before this is done, though, it is important
Based on this information, when a job opening occurs, the to have information to ensure the right people are recruited.
HRM professional should be ready to fill that position. Here This is where the job analysis and job description come in.
are the aspects of developing a recruitment strategy:
1. Refer to a staffing plan. Job Analysis and Job Descriptions
2. Confirm the job analysis is correct through The job analysis is a formal system developed to determine
questionnaires. what tasks people actually perform in their jobs. The purpose
3. Write the job description and job specifications. of a job analysis is to ensure creation of the right fit between
4. Have a bidding system to recruit and review internal the job and the employee and to determine how employee
candidate qualifications for possible promotions. performance will be assessed. A major part of the job analysis
5. Determine the best recruitment strategies for the includes research, which may mean reviewing job
position. responsibilities of current employees, researching job
6. Implement a recruiting strategy. descriptions for similar jobs with competitors, and analyzing
any new responsibilities that need to be accomplished by the
The first step in the recruitment process is acknowledgment person with the position. According to research by Hackman
of a job opening. At this time, the manager and/or the HRM and Oldham, [1] a job diagnostic survey should be used to
look at the job description for the job opening (assuming it diagnose job characteristics prior to any redesign of a job.
isn’t a new job).
Figure 4.1 Process for Writing the Job Analysis
Assuming the job analysis and job description are ready, an
organization may decide to look at internal candidates’
qualifications first. Internal candidates are people who are
already working for the company. If an internal candidate
meets the qualifications, this person might be encouraged to
apply for the job, and the job opening may not be published.
Many organizations have formal job posting procedures and
bidding systems in place for internal candidates. For example,
To start writing a job analysis, data need to be gathered and
job postings may be sent to a listserv or other avenue so all
analyzed, keeping in mind Hackman and Oldham’s model.
employees have access to them. However, the advantage of
Figure 4.1 "Process for Writing the Job Analysis “shows
publishing open positions to everyone in and outside the
the process of writing a job analysis. Please note, though,
company is to ensure the organization is diverse.
that a job analysis is different from a job design. Job
design refers to how a job can be modified or changed to be
Then the best recruiting strategies for the type of position are
more effective—for example, changing tasks as new
determined. For example, for a high-level executive position,
it may be decided to hire an outside head-hunting firm. For technology becomes available.
an entry-level position, advertising on social networking
The information gathered from the job analysis is used to
websites might be the best strategy. Most organizations will
use a variety of methods to obtain the best results. develop both the job description and the job specifications.
A job description is a list of tasks, duties, and responsibilities
Another consideration is how the recruiting process will be of a job. Job specifications, on the other hand, discuss the
skills and abilities the person must have to perform the job.
managed under constraining circumstances such as a short
The two are tied together, as job descriptions are usually
deadline or a low number of applications. In addition,
written to include job specifications. A job analysis must be
establishing a protocol for how applications and résumés will
be processed will save time later. For example, some HRM performed first, and then based on that data, we can
successfully write the job description and job specifications.
professionals may use software such as Microsoft Excel to
Think of the analysis as “everything an employee is required
communicate the time line of the hiring process to key
and expected to do.”
managers.
Two types of job analyses can be performed: a task-based of the organization. A job analysis questionnaire usually
analysis and a competency- or skills-based analysis. A task- includes the following types of questions, obviously
based analysis focuses on the duties of the job, as opposed to depending on the type of industry:
a competency-based analysis, which focuses on the specific 1. Employee information such as job title, how long in
knowledge and abilities an employee must have to perform position, education level, how many years of experience
the job. An example of a task-based analysis might include in the industry
information on the following: 2. Key tasks and responsibilities
1. Write performance evaluations for employees. 3. Decision making and problem solving: this section asks
2. Prepare reports. employees to list situations in which problems needed to
3. Answer incoming phone calls. be solved and the types of decisions made or solutions
4. Assist customers with product questions. provided.
5. Cold-call three customers a day. 4. Level of contact with colleagues, managers, outside
vendors, and customers
With task job analysis, the specific tasks are listed and it is 5. Physical demands of the job, such as the amount of
clear. With competency based, it is less clear and more heavy lifting or ability to see, hear, or walk
objective. However, competency-based analysis might be 6. Personal abilities required to do the job—that is,
more appropriate for specific, high-level positions. For personal characteristics needed to perform well in this
example, a competency-based analysis might include the position
following: 7. Specific skills required to do the job—for example, the
1. Able to utilize data analysis tools ability to run a particular computer program
2. Able to work within teams 8. Certifications to perform the job
3. Adaptable
4. Innovative Once all employees (or the ones you have identified) have
completed the questionnaire, you can organize the data,
You can clearly see the difference between the two. The focus which is helpful in creating job descriptions. If there is more
of task-based analyses is the job duties required, while the than one person completing a questionnaire for one job title,
focus of competency-based analyses is on how a person can the data should be combined to create one job analysis for
apply their skills to perform the job. One is not better than one job title. There are a number of software packages
the other but is simply used for different purposes and available to help human resources perform this task, such as
different types of jobs. For example, a task-based analysis AutoGOJA.
might be used for a receptionist, while a competency-based
analysis might be used for a vice president of sales position. Once the job analysis has been completed, it is time to write
Consider the legal implications, however, of which job the job description and specifications, using the data you
analysis is used. Because a competency-based job analysis is collected. Job descriptions should always include the
more subjective, it might be more difficult to tell whether following components:
someone has met the criteria. 1. Job functions (the tasks the employee performs)
2. Knowledge, skills, and abilities (what an employee is
Once you have decided if a competency-based or task-based expected to know and be able to do, as well as personal
analysis is more appropriate for the job, you can prepare to attributes)
write the job analysis. Of course, this isn’t something that 3. Education and experience required
should be done alone. Feedback from managers should be 4. Physical requirements of the job (ability to lift, see, or
taken into consideration to make this task useful in all levels hear, for example)
of the organization. Organization is a key component to
preparing for your job analysis. For example, will you Once the job description has been written, obtaining
perform an analysis on all jobs in the organization or just approval from the hiring manager is the next step. Then the
focus on one department? Once you have determined how HR professional can begin to recruit for the position. Before
you will conduct the analysis, a tool to conduct the analysis we discuss specific recruitment strategies, we should address
the law and how it relates to hiring.
should be chosen. Most organizations use questionnaires
(online or hard copy) to determine the duties of each job title.
Some organizations will use face-to-face interviews to
perform this task, depending on time constraints and the size
 [1] J. Richard Hackman and Greg R. Oldham, “Motivation through the
TIPS TO WRITING A GOOD JOB DESCRIPTION Design of Work: Test of a Theory,” Organizational Behavior and Human
Performance 16, no. 2 (August 1976): 250–79.
 Be sure to include the pertinent information:
Title
Department 4.2 The Law and Recruitment
Reports to LEARNING OBJECTIVE
Duties and responsibilities
1. Explain the Immigration Reform and Control Act
terms of employment
qualifications needed (IRCA), Patriot Act, and equal employment opportunity
(EEO) laws and how they relate to recruiting.
Think of the job description as a snapshot of the job.
Communicate clearly and concisely. One of the most important parts of HRM is to know and
Make sure the job description is interesting to the right apply the law in all activities the HR department handles.
candidate applying for the job. Specifically with hiring processes, the law is very clear on a
Avoid acronyms. fair hiring that is inclusive to all individuals applying for a job.
Don’t try to fit all job aspects into the job description. The laws discussed here are applied specifically to the
Proofread the job description. recruiting of new employees.
HUMAN RESOURCE RECALL
Immigration Reform and Control Act
Does your current job or past job have a job description? Did The Immigration Reform and Control Act (IRCA) was
it closely match the tasks you actually performed? adopted by Congress in 1986. [1] This law requires employers
KEY TAKEAWAYS to attest to their employees’ immigration status. It also makes
it illegal to hire or recruit illegal immigrants. The purpose of
 The recruitment process provides the organization with this law is to preserve jobs for those who have legal
a pool of qualified applicants. documentation to work in the United States. The
 Some companies choose to hire internal candidates— implications for human resources lie in the recruitment
that is, candidates who are already working for the process, because before entering employees into the selection
organization. However, diversity is a consideration here process (interviewing, for example), it is important to know
as well. they are eligible to work in the United States. This is why
 A job analysis is a systematic approach to determine what many application forms ask, “Are you legally able to work in
a person actually does in his or her job. This process the United States?” Dealing with the IRCA is a balancing act,
might involve a questionnaire to all employees. Based on however, because organizations cannot discriminate against
this analysis, an accurate job description and job legal aliens seeking work in the United States.
specifications can be written. A job description lists the
components of the job, while job specifications list the The IRCA relates not only to workers you hire but also to
requirements to perform the job. subcontractors. In a subcontractor situation (e.g., your
EXERCISES organization hires an outside firm to clean the building after
hours), your organization can still be held liable if it is
1. Do an Internet search for “job description.” Review determined your organization exercises control over how and
three different job descriptions and then answer the when the subcontractors perform their jobs. In 2005,
following questions for each of the jobs: undocumented janitorial workers sued Walmart, arguing that
a. What are the job specifications? the contracting company they worked for didn’t pay them a
b. Are the physical demands mentioned? minimum wage. [2] Because the retailer controlled many of the
c. Is the job description task based or competency details of their work, Walmart was considered to be a co-
based? employer, and as a result, Walmart was held responsible not
d. How might you change this job description to obtain only for back wages but for the fact their subcontractor had
more qualified candidates? hired undocumented workers.
Why do the five steps of the recruitment process
require input from other parts of the organization? How HR professionals must verify both the identity and
might you handle a situation in which the employees or employment eligibility of all employees, even if they are
management are reluctant to complete a job analysis? temporary employees. The INS I-9 form (Employment
Eligibility Verification form) is the reporting form that HOW WOULD YOU HANDLE THIS?
determines the identity and legal work status of a worker. Wrong Job Description
If an audit is performed on your company, you would be Aimee, a highly motivated salesperson, has come to you with a complaint.
required to show I-9 forms for all your workers. If an She states that she had her performance evaluation, but all the items on
employer hires temporary workers, it is important to manage her evaluation didn’t relate to her actual job. In the past two years, she
data on when work visas are to expire, to ensure compliance. explains, her job has changed because of the increase of new business
Organizations that hire illegal workers can be penalized $100 development using technology. How would you handle this?
to $1,000 per hire. There is a software solution for How Would You Handle This?
management of this process, such as HR Data Manager.
Once all data about workers are inputted, the manager is sent EEO Set of Laws
reminders if work authorization visas are about to expire. The Equal Employment Opportunity Commission (EEOC)
Employers are required to have the employee fill out the I-9 is a federal agency charged with the task of enforcing federal
form on their first day of work, and the second section must employment discrimination laws. While there are restrictions
be filled out within three days after the first day of on the type of company covered (companies with at least
employment. The documentation must be kept on file three fifteen employees), the EEOC requires collection of data and
years after the date of hire or for one year after termination. investigates discrimination claims, again, for organizations
Some states, though, require the I-9 form be kept on file for with more than fifteen employees.
as long as the person is employed with the organization.
Under EEO law related to the recruitment process,
In 2010, new rules about the electronic storage of forms were employers cannot discriminate based on age (forty years or
developed. The US Department of Homeland Security said older), disability, genetic information, national origin, sex,
that employees can have these forms electronically signed and pregnancy, race, and religion. In a job announcement,
stored. organizations usually have an EEO statement. Here are some
examples:
Patriot Act 1. (Company name) is fully committed to Equal
In response to the September 11, 2001, terrorist attacks Employment Opportunity and to attracting, retaining,
against the United States, the Patriot Act was signed, developing, and promoting the most qualified
introducing legislative changes to enhance the federal employees without regard to their race, gender, color,
government’s ability to conduct domestic and international religion, sexual orientation, national origin, age, physical
investigations and surveillance activities. As a result, or mental disability, citizenship status, veteran status, or
employers needed to implement new procedures to maintain any other characteristic prohibited by state or local law.
employee privacy rights while also creating a system that We are dedicated to providing a work environment free
allowed for release of information requested by the from discrimination and harassment, and where
government. employees are treated with respect and dignity.
2. (Company name) does not unlawfully discriminate on
The act also amended the Electronic Communications the basis of race, color, religion, national origin, age,
Privacy Act, allowing the federal government easier access to height, weight, marital status, familial status,
electronic communications. For example, only a search handicap/disability, sexual orientation, or veteran status
warrant is required for the government to access voice mail in employment or the provision of services, and
and e-mail messages. provides, upon request, reasonable accommodation
including auxiliary aids and services necessary to afford
The act also amended the Foreign Intelligence Surveillance individuals with disabilities an equal opportunity to
Act. The government is allowed to view communications if participate in all programs and activities.
an employee is suspected of terrorism, and the government 3. It is the policy of (college name), in full accordance with
does not have to reveal this surveillance to the employer. the law, not to discriminate in employment, student
It is prudent for HR professionals and managers to let admissions, and student services on the basis of race,
potential employees know of these new requirements, before color, religion, age, political affiliation or belief, sex,
the hiring process begins. national origin, ancestry, disability, place of birth, general
education development certification (GED), marital
status, sexual orientation, gender identity or expression,
 veteran status, or any other legally protected Other aspects to consider in the development of the job
classification. (College name) recognizes its description are disparate impact and disparate treatment.
responsibility to promote the principles of equal These are the two ways to classify employment
opportunity for employment, student admissions, and discrimination cases. Disparate impact occurs when an
student services taking active steps to recruit minorities organization discriminates through the use of a process,
and women. affecting a protected group as a whole, rather than
4. (Company name) will not discriminate against or harass consciously intending to discriminate. Some examples of
any employee or applicant for employment on the basis disparate impact might include the following:
of race, color, creed, religion, national origin, sex, sexual 1. Requirement of a high school diploma, which may not
orientation, disability, age, marital status, or status with be important to employment, could discriminate against
regard to public assistance. (Company name) will take racial groups
affirmative action to ensure that all practices are free of 2. A height requirement, which could limit the ability of
such discrimination. Such employment practices include, women or persons of certain races to apply for the
but are not limited to, the following: hiring, upgrading, position
demotion, transfer, recruitment or recruitment 3. Written tests that do not relate directly to the job
advertising, selection, layoff, disciplinary action, 4. Awarding of pay raises on the basis of, say, fewer than
termination, rates of pay or other forms of five years of experience, which could discriminate
compensation, and selection for training. against people older than forty

In addition to including the EEO policy in the job Disparate treatment, when one person is intentionally treated
announcement, HR is required to post notices of EEOC differently than another, does not necessarily impact the
policies in a visible part of the work environment (such as the larger protected group as a whole, as in disparate impact. The
break room). challenge in these cases is to determine if someone was
treated differently because of their race or gender or if there
Although the EEOC laws in hiring are clear about was another reason for the different treatment. Here are two
discrimination, an exception may occur, called the examples:
bona fide occupational qualification (BFOQ). BFOQ is a 1. Both a male and a female miss work, and the female is
quality or attribute that is reasonably necessary to the normal fired but the male is not.
operation of the business and that can be used when 2. A company does not hire people of a certain race or
considering applicants. To obtain a BFOQ exception, a gender, without a BFOQ.
company must prove that a particular person could not
perform the job duties because of sex, age, religion, disability, HUMAN RESOURCE RECALL
and national origin. Examples of BFOQ exceptions might Can you think of other examples of disparate impact that
include the following: might affect a certain protected group of people under
1. A private religious school may require a faculty member EEOC?
to be of the same denomination. KEY TAKEAWAYS
2. Mandatory retirement is required for airline pilots at a
certain age.  IRCA stands for Immigration and Reform Act. This law
3. A clothing store that sells male clothing is allowed to hire requires all employers to determine eligibility of an
only male models. employee to work in the United States. The reporting
4. If an essence of a restaurant relies on one sex versus form is called an I-9 and must be completed and kept on
another (e.g., Hooters), they may not be required to hire file (paper or electronic) for at least three years, but some
male servers. states require this documentation to be kept on file for
the duration of the employee’s period of employment.
However, many arguments for BFOQ would not be  The Patriot Act allows the government access to data that
considered valid. For example, race has never been a BFOQ, would normally be considered private—for example, an
nor has customers’ having a preference for a particular employee’s records and work voice mails and e-mails
gender. Generally speaking, when going through the (without the company’s consent). The HR professional
recruitment process and writing job descriptions, assuming a might consider letting employees know of the
BFOQ would apply might be a mistake. Seeking legal counsel compliance with this law.
before writing a job description would be prudent.
 Figure 4.5 Overview of the Steps to the Recruitment Process
 The EEOC is a federal agency charged with ensuring
discrimination does not occur in the workplace. They
oversee the equal employment opportunity (EEO) set of
laws. Organizations must post EEO laws in a visible
location at their workplace and also include them on job
announcements.
 Related to the EEOC, the bona fide occupational
qualification (BFOQ) makes it legal to discriminate in
hiring based on special circumstances—for example,
requiring the retirement of airline pilots at a certain age
due to safety concerns.
 Disparate impact refers to a policy that may limit a
protected EEO group from receiving fair treatment.
Disparate impact might include a test or requirement that
negatively impacts someone based on protected group
status. An example is requiring a high school diploma,
which may not directly impact the job. Disparate
treatment refers to discrimination against an individual,
such as the hiring of one person over another based on
race or gender.
EXERCISES

1. Describe the difference between disparate treatment and

disparate impact.
2. Explain a situation (other than the ones described in this
section) in which a BFOQ might be appropriate. Then
research to see if in the past this reasoning has been
accepted as a BFOQ.

[1] U.S. Citizenship and Immigration Services website. Accessed January

17,
[Link]://[Link]/portal/site/uscis/menuitem.5af9bb95919f35e
66f614176543f6d1a/?vgnextchannel=b328194d3e88d010VgnVCM100000
48f3d6a1RCRD&vgnextoid
=04a295c4f635f010VgnVCM1000000ecd190aRCRD.
[2] Zavala v. Wal-Mart, No. 03-5309, DC NJ (2005).

4.3 Recruitment Strategies

LEARNING OBJECTIVE

1. Explain the various strategies that can be used in

recruitment.

Now that we have discussed development of the job analysis,

job description, and job specifications, and you are aware of
the laws relating to recruitment, it is time to start recruiting.
It is important to mention, though, that a recruitment plan
should be in place. This plan can be informal, but you should
outline where you plan to recruit and your expected time to a trade publication website, you should know their
lines. For example, if one of your methods is to submit an ad deadlines. Also of consideration is to ensure you are
recruiting from a variety of sources to ensure diversity. Lastly,
consider the economic situation of the country. With high
unemployment, you may receive hundreds of applications for of recruiter may be focused on a specific area, such as
one job. In an up economy, you may not receive many technical recruiting.
applications and should consider using a variety of sources. 4. A contingent recruiter is paid only when the recruiter starts
working, which is often the case with temporary
Some companies, such as Southwest Airlines, are known for recruitment or staffing firms. A retained recruiter gets
their innovative recruitment methods. Southwest looks for paid up front (in full or a portion of the fee) to perform
“the right kind of people” and are less focused on the skills a specific search for a company.
than on the personality of the individual. [1] When Southwest
recruits, it looks for positive team players that match the While the HR professional, when using recruiters, may not
underdog, quirky company culture. Applicants are observed be responsible for the details of managing the search process,
in group interviews, and those who exhibit encouragement he or she is still responsible for managing the process and the
for their fellow applicants are usually those who continue recruiters. The job analysis, job description, and job
with the recruitment process. This section will discuss some specifications still need to be developed and candidates will
of the ways Southwest and many other Fortune 500 still need to be interviewed.
companies find this kind of talent.
FORTUNE 500 FOCUS
Recruiters In 2009, when Amazon purchased Zappos for 10 million
Some organizations choose to have specific individuals shares of Amazon stock (roughly $900 million in 2009), the
working for them who focus solely on the recruiting function strategic move for Amazon didn’t change the hiring and
of HR. Recruiters use similar sources to recruit individuals, recruiting culture of Zappos. Zappos, again voted one of the
such as professional organizations, websites, and other best one hundred companies to work for by CNN Money
methods discussed in this chapter. Recruiters are excellent at [2] believes it all starts with the people they hire. The
networking and usually attend many events where possible recruiting staff always asks, “On a scale of 1–10, how weird
candidates will be present. Recruiters keep a constant pipeline do you think you are?” This question ties directly to the
of possible candidates in case a position should arise that company’s strategic plan and core value number three, which
would be a good match. There are three main types of is “create fun and a little weirdness.” Zappos recruits people
recruiters: who not only have the technical abilities for the job but also
1. Executive search firm. These companies are focused on are a good culture fit for the organization. Once hired, new
high-level positions, such as management and CEO employees go through two weeks of training. At the end of
roles. They typically charge 10–20 percent of the first the training, newly hired employees are given “the offer.” The
year salary, so they can be quite expensive. However, offer is $2,000 to quit on the spot. This ensures Zappos has
they do much of the upfront work, sending candidates committed people who have the desire to work with the
who meet the qualifications.
organization, which all begins with the recruiting process.
2. Temporary recruitment or staffing firm. Suppose your
receptionist is going on medical leave and you need to Campus Recruiting
hire somebody to replace him, but you don’t want a Colleges and universities can be excellent sources of new
long-term hire. You can utilize the services of a candidates, usually at entry-level positions. Consider technical
temporary recruitment firm to send you qualified colleges that teach cooking, automotive technology, or
candidates who are willing to work shorter contracts. cosmetology. These can be great sources of people with
Usually, the firm pays the salary of the employee and the specialized training in a specific area. Universities can provide
company pays the recruitment firm, so you don’t have to people that may lack actual experience but have formal
add this person to your payroll. If the person does a good training in a specific field. Many organizations use their
job, there may be opportunities for you to offer him or campus recruiting programs to develop new talent, who will
her a full-time, permanent position. Kelly Services, eventually develop into managers.
Manpower, and Snelling Staffing Services are examples
of staffing firms. For this type of program to work, it requires the
3. Corporate recruiter. A corporate recruiter is an employee establishment of relationships with campus communities,
within a company who focuses entirely on recruiting for such as campus career services departments. It can also
his or her company. Corporate recruiters are employed require time to attend campus events, such as job fairs. IBM,
by the company for which they are recruiting. This type for example, has an excellent campus recruiting program. For
 IBM, recruiting out of college ensures a large number of which are inexpensive. The downside to this method is the
people to grow with the organization. [3] immense number of résumés you may receive from these
websites, all of which may or may not be qualified. Many
Setting up a formal internship program might also be a way organizations, to combat this, implement software that
to utilize college and university contacts. Walgreens, for searches for keywords in résumés, which can help combat
example, partners with Apollo College to recruit interns; this this problem. Some examples of websites might include the
can result in full-time employment for the motivated intern following:
and money saved for Walgreens by having a constant flow of  Your own company website
talent.  Yahoo HotJobs
 Monster
Professional Associations  CareerBuilder
Professional associations are usually nonprofit organizations  JobCentral
whose goal is to further a particular profession. Almost every
profession has its own professional organization. For Social Media
example, in the field of human resources, the Society for Facebook, Twitter, LinkedIn, YouTube, and MySpace are
Human Resource Management allows companies to post excellent places to obtain a media presence to attract a variety
jobs relating to HR. The American Marketing Association, of workers. In 2007, Sodexo, which provides services such as
also a professional organization, allows job postings as well. food service and facilities management, started using social
Usually, there is a fee involved, and membership in this media to help spread the word about their company culture.
association may be required to post jobs. Here are some Since then, they have saved $300,000 on traditional recruiting
examples of professional associations: methods. [4] Sodexo’s fifty recruiters share updates on Twitter
1. Professional Nursing Association about their excellent company culture. Use of this media has
2. Society of Women Engineers driven traffic to the careers page on Sodexo’s website, from
3. International Federation of Accountants 52,000 to 181,000.
4. Institute of Management Consultants
5. United Professional Sales Association The goal of using social media as a recruiting tool is to create
6. National Lawyers Guild a buzz about your organization, share stories of successful
7. National Organization of Minority Architects employees, and tout an interesting culture. Even smaller
8. International Federation of Journalists (union) companies can utilize this technology by posting job
9. International Metalworkers Federation (union) openings as their status updates. This technique is relatively
10. Association of Flight Attendants (union) inexpensive, but there are some things to consider. For
example, tweeting about a job opening might spark interest
Labor unions can also be excellent sources of candidates, and in some candidates, but the trick is to show your personality
some unions also allow job postings on their website. The key as an employer early on. According to Bruce Morton of
to using this as a successful recruitment strategy is to identify Allegis Group Services, using social media is about getting
the organizations that relate to your business and to develop engaged and having conversations with people before they’re
relationships with members in these organizations. This type even thinking about you as an employer. [5] Debbie Fisher, an
of networking can help introduce you to people in your HR manager for a large advertising agency, Campbell Mithun,
industry who may be looking for a job or know of someone says that while tweeting may be a good way to recruit people
who needs a job. who can be open about their job hunt, using tools such as
LinkedIn might be a better way to obtain more seasoned
HUMAN RESOURCE RECALL candidates who cannot be open about their search for a new
What do you think is the best way to determine the right set job, because of their current employment situation. She says
of recruitment methods for your organization? What that LinkedIn has given people permission to put their
methods would be best for your current job? résumé online without fear of retribution from current
employers.
Websites
If you have ever had to look for a job, you know there are Creativity with a social media campaign also counts.
numerous websites to help you do that. From the HR Campbell Mithun hired thirteen interns over the summer
perspective, there are many options to place an ad, most of using a unique twist on social media. They asked interested
candidates to submit thirteen tweets over thirteen days and  American Marketing Association Global Marketing
chose the interns based on their creativity. SIG
 Special Interest Group for Accounting Information
Many organizations, including Zappos, use YouTube videos Systems (SIG-ASYS)
to promote the company. Within the videos is a link that  Junior Lawyer SIG
directs viewers to the company’s website to apply for a  Recruiting using SIGs can be a great way to target a
position in the company. specific group of people who are trained in a
specific area or who have a certain specialty.
Facebook allows free job postings in Facebook Marketplace,
and the company Facebook page can also be used as a Referrals
recruiting tool. Some organizations decide to use Facebook Most recruiting plans include asking current employees,
ads, which are paid on a “per click” or per impression (how “Who do you know?” The quality of referred applicants is
many people potentially see the ad) basis. Facebook ad usually high, since most people would not recommend
technology allows specific regions and Facebook keywords someone they thought incapable of doing the job. E-mailing
to be targeted. [6] Some individuals even use their personal a job opening to current employees and offering incentives
Facebook page to post status updates listing job to refer a friend can be a quick way of recruiting individuals.
opportunities and asking people to respond privately if they Due to the success of most formalized referral programs, it
are interested. is suggested that a program be part of the overall HRM
strategic plan and recruitment strategy. However, be wary of
Events using referrals as the only method for recruitment, as this can
Many organizations, such as Microsoft, hold events annually lead to lack of diversity in a workplace. Nepotism means a
to allow people to network and learn about new technologies. preference for hiring relatives of current employees, which
Microsoft’s Professional Developer Conference (PDC), can also lead to lack of diversity and management issues in
usually held in July, hosts thousands of web developers and the workplace.
other professionals looking to update their skills and meet
new people. For example, the University of Washington offers $1,200 any
time a current employee successfully refers a friend to work
Some organizations, such as Choice Career Fairs, host job at their medical centers. Usually, most incentives require the
fairs all over the country; participating in this type of job fair new employee to be hired and stay a specified period of time.
may be an excellent way to meet a large variety of candidates. Some examples of incentives that can be used to refer a friend
Other events may not be specifically for recruiting, but might include the following:
attending these events may allow you to meet people who  A gift card to the employee
could possibly fill a position or future position. For example,  A financial incentive
in the world of fashion, Fashion Group International (FGI)
 Raffles for most referrals
hosts events internationally on a weekly basis, which may
allow the opportunity to meet qualified candidates.
These types of programs are
called employee referral programs (ERPs) and tend to
Special/Specific Interest Groups (SIGs) generate one of the highest returns on investment per hire.
Special/specific interest groups (SIGs), which may require [7] To make an ERP program effective, some key
membership of individuals, focus on specific topics for
components should be put into place:
members. Often SIGs will have areas for job posting, or a
1. Communicate the program to existing employees.
variety of discussion boards where jobs can be posted. For
2. Track the success of the program using metrics of
example, the Women in Project Management SIG provides
successful hires.
news on project management and also has a place for job
3. Be aware of the administrative aspect and the time it
advertisements. Other examples of SIGs might include the
takes to implement the program effectively.
following:
4. Set measureable goals up front for a specialized program.
 Oracle Developer SIG
 African American Medical Librarians Alliance SIG
 Table 4.1 Advantages and Disadvantages of Recruiting Methods
Recruitment Method Advantages Disadvantages

Expensive

Outside recruiters, executive search firms, and Less control over final candidates to
temporary employment agencies Can be time saving be interviewed

Can hire people to grow with the organization Time consuming

Only appropriate for certain types of

Campus recruiting/educational institutions Plentiful source of talent experience levels

Industry specific May be a fee to place an ad

Professional organizations and associations Networking May be time-consuming to network

Diversity friendly Could be too broad

Low cost
Be prepared to deal with hundreds
Websites/Internet recruiting Quick of résumés

Time consuming

Social media Inexpensive Overwhelming response

Can be expensive

Events Access to specific target markets of candidates May not be the right target market

Research required for specific SIGS

SIG Industry specific tied to jobs

Higher quality people Concern for lack of diversity

Referrals Retention Nepotism

Inexpensive, especially with time-saving keyword résumé search

Unsolicited résumés and applications software Time consuming

Internet and/or traditional advertisements Can target a specific audience Can be expensive

For smaller organizations, it means someone does not have to

administer compensation and benefits, as this is handled by leasing
company Possible costs

Can be a good alternative to temporary employment if the job is Less control of who interviews for
Employee leasing permanent the position

The potential ability to recruit a more diverse workforce

No cost, since it’s a government agency

May receive many résumés, which
Public employment agencies 2,300 points of service nationwide can be time-consuming

May not apply to some jobs or

industries; Builds relationship
Labor unions Access to specialized skills

Accenture recently won the ERE Media Award for one of with the reward the employee receives. Instead of offering
the most innovative ERPs. Its program has increased new personal financial compensation, Accenture makes a
hires from referrals from 14 percent to 32 percent, and donation to the charity of the employee’s choice, such as a
employee awareness of the program jumped from just 20 local elementary school. Their program also seeks to decrease
percent to 99 percent. [8] The uniqueness of their program lies casual referrals, so the employee is asked to fill out an online
 form to explain the skills of the individual they are referring. occur. Part of the plan should also include the expected
The company has also developed a website where current cost of recruitment.
employees can go to track the progress of referrals. In  Many organizations use recruiters. Recruiters can be
addition, employee referral applications are flagged online executive recruiters, which means an outside firm
and fast-tracked through the process—in fact, every referral performs the search. For temporary positions, a
is acted upon. As you can see, Accenture has made their ERP temporary or staffing firm such as Kelly Services might
a success through the use of strategic planning in the be used. Corporate recruiters work for the organization
recruitment process. and function as a part of the HR team.
 Campus recruiting can be an effective way of recruiting
Costs of Recruitment for entry-level positions. This type of recruiting may
Part of recruitment planning includes budgeting the cost of require considerable effort in developing relationships
finding applicants. For example, let’s say you have three with college campuses.
positions you need to fill, with one being a temporary hire.  Almost every profession has at least one professional
You have determined your advertising costs will be $400, and association. Posting announcements on their websites
your temporary agency costs will be approximately $700 for can be an effective way of targeting for a specific job.
the month. You expect at least one of the two positions will  Most companies will also use their own website for job
be recruited as a referral, so you will pay a referral bonus of postings, as well as other websites such as Monster and
$500. Here is how you can calculate the cost of recruitment CareerBuilder.
for the month:  Social media is also a popular way to recruit. Usage of
websites such as Twitter and Facebook can get the word
cost per hire = advertising costs + recruiter costs + referral out about a specific job opening, or give information
costs + social media costs + event costs. about the company, which can result in more traffic being
directed to the company’s website.
$400 + $700 + $500 = $1600/3 = $533 recruitment cost per  Recruiting at special events such as job fairs is another
hire. option. Some organizations have specific job fairs for
their company, depending on the size. Others may attend
In addition, when we look at how effective our recruiting
industry or job-specific fairs to recruit specific
methods are, we can look at a figure called the yield ratio.
individuals.
A yield ratio is the percentage of applicants from one source
 SIGs, or special/specific interest groups, are usually very
who make it to the next stage in the selection process (e.g.,
specialized. For example, female project managers may
they get an interview). For example, if you received two
have an interest group that includes a discussion board
hundred résumés from a professional organization ad you
for posting of job announcements.
placed, and fifty-two of those make it to the interview state,
this means a 26 percent yield (52/200). By using these  Employee referrals can be a great way to get interest for
calculations, we can determine the best place to recruit for a a posted position. Usually, incentives are offered to the
particular position. Note, too, that some yield ratios may vary employee for referring people they know. However,
for particular jobs, and a higher yield ratio must also consider diversity can be an issue, as can nepotism.
the cost of that method, too. For an entry-level job, campus  Our last consideration in the recruitment process is
recruiting may yield a better ratio than, say, a corporate recruitment costs. We can determine this by looking at
recruiter, but the corporate recruiter may have higher cost per the total amount we have spent on all recruiting efforts
hires. compared to the number of hires. A yield ratio is used to
determine how effective recruiting efforts are in one area.
After we have finished the recruiting process, we can begin For example, we can look at the number of total
the selection process. applicants received from a particular form of media, and
divide that by the number of those applicants who make
KEY TAKEAWAYS it to the next step in the process (e.g., they receive an
interview).
 HR professionals must have a recruiting plan before EXERCISES
posting any job description. The plan should outline
where the job announcements will be posted and how the 1. Perform an Internet search on professional associations
management of candidate materials, such as résumés, will for your particular career choice. List at least three
 associations, and discuss recruiting options listed on their form is called an I-9 and must be completed and kept on
websites (e.g., do they have discussion boards or job file (paper or electronic) for at least three years, but some
advertisements links?). states require this documentation to be kept on file for
2. Have you ever experienced nepotism in the workplace? the duration of the employee’s period of employment.
If yes, describe the experience. What do you think are the  The Patriot Act allows the government access to data
upsides and downsides to asking current employees to that would normally be considered private, for example,
refer someone they know? an employee’s records and work voice mails and e-mails
(without the company’s consent). The HR professional
[1] W. P. Carey, “Employees First: Strategy for Success,” Knowledge @ W. might consider letting employees know of the
P. Carey, W. P. Carey School of Business, Arizona State University, June compliance with this law.
26, 2008, accessed July 11,
2011,[Link]
 The Equal Employment Opportunity Commission
[2] Cheryl Sowa, “Going Above and Beyond,” America’s Best, (EEOC) is a federal agency charged with ensuring
September/October 2008, accessed July 11, discrimination does not occur in the workplace. They
2011, [Link] oversee the EEO set of laws. Organizations must post
[Link].
[3] “University Students,” IBM, n.d., accessed January 17,
EEO laws in a visible location at their workplace and
2011, [Link] also include them on job announcements.
[4] Sodexo, “Sodexo Earns SNCR Excellent Award for Innovative Use of  Related to the EEOC, the bona fide occupational
Social Media,” news release, December 2, 2009, accessed January 17, 2011,
qualification (BFOQ) makes it legal to discriminate in
[Link]
[Link]. hiring based on special circumstances, for example,
[5] Anna Lindow, “How to Use Social Media for Recruiting,” Mashable, requiring the retirement of airline pilots at a certain age
June 11, 2011, accessed July 12, due to safety concerns.
2011, [Link]
[6] Tiffany Black, “How to Use Social Media as a Recruiting Tool,” Inc.,
 Disparate impact refers to a policy that may limit a
April 22, 2010, accessed July 12, protected EEO group from receiving fair treatment.
2011, [Link] Disparate impact might include a test or requirement
[7] Dave Lefkow, “Improving Your Employee Referral Program and that negatively impacts someone based on protected
Justifying Your Investment,” [Link], February 21, 2002, accessed July 12,
2011, [Link]
group status. An example is requiring a high school
program-and-justifying-your-investment. diploma, which may not directly impact the job.
[8] John Sullivan, “Amazing Practices in Recruiting—ERE Award Winners Disparate treatment refers to discrimination against an
2009,” pt. 1, [Link], April 13, 2009, accessed July 12, individual, such as the hiring of one person over another
2011, [Link]
based on race or gender.
ere-award-winners-2009-part-1-of-2.
 HR professionals must have a recruiting plan before
4.4 Cases and Problems posting any job description.
CHAPTER SUMMARY  Many organizations use recruiters. Recruiters can be
executive recruiters, which means an outside firm
 The recruitment process provides the organization with performs the search. For temporary positions, a
a pool of qualified applicants. temporary or staffing firm such as Kelly Services might
 Some companies choose to hire internal candidates— be used. Corporate recruiters work for the organization
that is, candidates who are already working for the and function as a part of the HR team.
organization. However, diversity is a consideration here  Campus recruiting can be an effective way of recruiting
as well. for entry-level positions. This type of recruiting may
 A job analysis is a systematic approach to determine require considerable effort in developing relationships
what a person actually does in his or her job. This with college campuses.
process might involve a questionnaire to all employees.  Almost every profession has at least one professional
Based on this analysis, an accurate job description association. Posting announcements on their websites
and job specifications can be written. A job description can be an effective way of targeting for a specific job.
lists the components of the job, while job  Most companies will also use their own website for job
specifications list the requirements to perform the job. postings, as well as other websites such as Monster and
 IRCA stands for Immigration and Reform Act. This law CareerBuilder.
requires all employers to determine eligibility of an
employee to work in the United States. The reporting
 Westover — Strategic Human Resource Management — 14

 Social media is also a popular way to recruit. Usage of from your HRM class in college. After reviewing the data in
websites such as Twitter and Facebook can get the word your book, you feel confident to analyze these numbers.
out about a specific job opening, or give information Please go ahead and perform calculations on these numbers,
about the company, which can result in more traffic then provide answers to the questions that follow.
being directed to the company’s website.
 Recruiting at special events such as job fairs is another Table 4.2 Tally Group Recruiting Numbers, 2012
option. Some organizations have specific job fairs for Total Number Yearly Cost
their company, depending on the size. Others may Method Recruited ($)
attend industry or job specific fairs to recruit specific
Temporary placement
individuals.
firms 8 3,200
 SIGs or special/specific interest groups are usually very
specialized. For example, female project managers may Campus recruiting 2 1,500
have an interest group that includes a discussion board
Professional association
for posting of job announcements. ads 10 4,500
 Employee referrals can be a great way to get interest for
a posted position. Usually, incentives are offered to the Social media/company
employee for referring people they know. However, website 33 300
diversity can be an issue, as can nepotism. Job fair 3 500
 Our last consideration in the recruitment process is
recruitment costs. We can determine this by looking at Referrals 26 26,000
the total amount we have spent on all recruiting efforts 1. Prepare a report summarizing your findings for the
compared to the number of hires. A yield ratio is used to recruitment cost per hire and yield ratio for each type of
determine how effective recruiting efforts are in one recruiting method.
area. For example, we can look at the number of total 2. Make a recommendation to your human resource
applicants received from a particular form of media, and director on where the department should spend more of
divide that by the number of those applicants who make its time recruiting.
it to the next step in the process (e.g., they receive an TEAM
interview). ACTIVITIES

1. Students should be in teams of four or five. Choose a

CHAPTER CASE
recruitment method from Table 4.2 "Tally Group
Recruitment Statistics Recruiting Numbers, 2012"and perform research on
As the assistant to the human resources director at Tally additional advantages and disadvantages of that method
Group, you normally answer phones and set appointments and then present ideas to the class.
for the director. You are interested in developing skills in 2. Visit the Dictionary of Occupational Titles
HRM, and one day, your HR director presents you with a ([Link] and view the list of
great opportunity for you to show what you can do. She asks job titles presented on the website. Create a sample job
you to analyze last year’s recruitment data to determine which description for a job title of your team’s choice.
methods have worked best. As you look at the data, you
N
aren’t sure how to start, but you remember something on this

Leading Innovative Organizations Series