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Recruitment and Selection
Outside Sources of Recruitment
• Advertisements              • Labour unions
• Unsolicited applications    • Public employment
  and resumes                   agencies
• Internet recruiting         • Private employment
• Employee referrals            agencies
                              • Temporary help agencies
• Executive search firms
• Educational institutions
• Professional associations
Improving the Effectiveness of External Recruitment

• Yield Ratio
    Percentage of applicants from a recruitment source
     that make it to the next stage of the selection process.

• Cost of Recruitment (per employee hired)

                   SC AC + AF + RB + NC
                     =
                   H          H
    SC   = source cost
    AC   = advertising costs, total monthly expenditure (example: $28,000)
    AF   = agency fees, total for the month (example: $19,000)
    RB   = referral bonuses, total paid (example: $2,300)
    NC   = no-cost hires, walk-ins, nonprofit agencies, etc. (example: $0)
    H    = total hires (example: 119)
    Cost to hire one employee = $414
Improving the Effectiveness of External Recruitment          (cont’d)



 • Train Recruiters regarding:
     Knowledge of the job’s requirements and the organization
     Effective interviewing (starts with the person’s KSAs)


 • Realistic Job Previews (RJP)
     Informing applicants about all aspects of the job, both
      desirable and undesirable facets, produces realistic job
      expectations that result in:
        Improved employee job satisfaction
        Reduced voluntary turnover
Recruiting Talent Internally
• Advantages of a promotion-from-within policy:
   Capitalizes on past investments (recruiting, selecting,
    training, and developing) in current employees.
   Rewards past performance and encourages
    continued commitment to the organization.
   Signals to employees that similar efforts by them will
    lead to promotion.
   Fosters advancement of members of designated
    groups within an organization.
Recruiting Talent Internally        (cont’d)


• Limitations of a promotion-from-within policy:
   Current employees may lack the knowledge,
    experience or skills needed for placement in the
    vacant/new position.
   The hazards of inbreeding of ideas and attitudes
    (“employee cloning”) increase when no outsiders are
    considered for hiring.
   The organization wants to hire employees from
    competitors to gain their valued secrets
Other Important Talent Concerns
• Recruitment of Older People
   Increasingly returning to the workplace
   Have valued knowledge, experience, flexibility and
    reliability as employees

• Differences in goals, values etc. of Traditionalists,
  Baby Boomers, Gen X and Y

• Dual-Career Couples
   Couples in which both members follow their own careers
      Flexible work schedules, leave policies,
       telecommuting, on-site daycare, etc. are important

                                            5–7
Employee Selection
Matching People and Jobs

• Selection
   The process of choosing individuals who have
    relevant qualifications to fill existing or projected job
    openings.
• Selection Considerations
   Person-job fit: job analysis identifies required
    individual competencies (KSAs) for job success.
   Person-organization fit: the degree to which
    individuals are matched to the culture and values of
    the organization.
The Selection Process

• Obtaining Reliable and Valid Information
   Reliability
        The degree to which interviews, tests, and other
         selection procedures yield comparable data over time
         and alternative measures.
   Validity
        Degree to which a test or selection procedure measures
         a person’s attributes.
Sources of Information about Job
Candidates
• Application Forms          • Integrity and Honesty
• Online Applications          Tests

• Biographical Information   • Graphology
  Blanks (BIB)
• Background                 • Employment Tests
  Investigations
                             • Interviews
• Polygraph Tests
Biographical Information Blanks (BIB)
• Sample Questions:
   At what age did you leave home?
   How large was the town/city in which you lived as a
    child?
   Did you ever build a model airplane that flew?
   Were sports a big part of your childhood?
   Do you play any musical instruments?

 Difficult to “fake”. If have predictive validity, BIBs
 are very useful.
Polygraph Tests (Lie detector)

• Check provincial legislation before considering
  use of the polygraph.



Graphology
  The use of a sample of an applicant’s handwriting to
  make an employment decision.
  Used primarily in Europe. Shows promise re
  personality traits vs. psychological testing; questionable
  re prediction of performance
Honesty and Integrity Test Question Examples




                                               Figure 6.5
Employment Tests
• Employment Test
  An objective and standardized measure of a sample
   of behaviour that is used to gauge a person’s
   knowledge, skills, abilities, and attitudes (KSAs) in
   relation to other individuals.
Classification of Employment Tests

• Cognitive Ability Tests
   Aptitude tests
        Measures of a person’s capacity to learn or acquire
         skills.
   Achievement tests
        Measures of what a person knows or can do right now.
• Personality and Interest Inventories
   “Big Five” personality factors:
        Extroversion, agreeableness, conscientiousness,
         neuroticism, openness to experience.
CPI Personality Facets and Sample Items


• Agreeableness
   Trust—I believe people are usually honest with me.
• Conscientiousness
   Attention to detail—I like to complete every detail of tasks
    according to the work plans.
• Extroversion
   Adaptability—For me, change is exciting.
• Neuroticism
   Self-confidence—I am confident about my skills and abilities.
• Openness to Experience
   Independence—I tend to work on projects alone, even if others
    volunteer to help me.
                                                                   Figure 6.7
Classification of Employment Tests (cont’d)

• Physical Ability Tests
   Must be related to the essential functions of the the
    job.
• Job Knowledge Tests
   An achievement test that measures a person’s level
    of understanding about a particular job.
• Work Sample Tests
   Require the applicant to perform tasks that are
    actually a part of the work required on the job.
The Employment Interview
• Why the interview is so popular:
   It is especially practical when there are only a small
    number of applicants.
   It serves other purposes, such as public relations.
   Interviewers maintain great faith and confidence in
    their judgments.
Interviewing Methods (hint)

• Nondirective Interview
   The applicant determines the course of the
    discussion, while the interviewer refrains from
    influencing the applicant’s remarks.
• Structured Interview
   An interview in which a set of standardized questions
    are used. An established set of answers against
    which to rate responses may be used.
Interviewing Methods (cont’d)
• Situational Interview
   An interview in which an applicant is given a
    hypothetical incident and asked how he or she would
    respond to it.
• Behavioural Description Interview (BDI)
   An interview in which an applicant is asked questions
    about what he or she actually did in a given situation.
• Panel Interview
   An interview in which a board of interviewers
    questions and observes a single candidate.
Highlights in HRM




                    Highlights 6.3
Interviewing Methods (cont’d)

• Computer Interview
   Using a computer program that requires candidates to
    answer a series of questions tailored to the job.
   Answers are compared to an ideal profile or with profiles
    developed on the basis of other candidates’ responses.
• Video Interviews
   Using video conference technologies to evaluate job
    candidates’ technical abilities, energy level, appearance,
    etc. before incurring the costs of a face-to-face meeting.
• Simulations and Games
   On-line work simulations, e.g. strategies, customer
    interactions
Ground Rules for Employment Interviews
• Establish an interview plan
• Establish and maintain rapport
• Be an active listener
• Pay attention to nonverbal cues
• Provide information as freely and honestly as possible
• Use questions effectively
• Separate facts from inferences
• Recognize biases and stereotypes
• Control the course of the interview
• Standardize the questions asked
Medical examination
• To ensure health and fitness of applicants
• Provides a baseline against which subsequent
  exams can be compared (good for workers’
  compensation cases)

• BUT, can only be conducted after an offer of
  employment has been made and can only
  assess abilities to perform essential job duties
Drug Testing

• The following types of testing are not allowed:
   Pre-employment drug testing
   Pre-employment alcohol testing
   Random drug testing, and
   Random alcohol testing in non-safety sensitive
    positions (U.S. very different than Canada)
Reaching a Selection Decision
• Selection Considerations:
   Should individuals to be hired according to their highest potential
    or according to the needs of the organization?
   At what grade or wage level to start the individual?
   Should selection be for employee- job match, or should
    advancement potential be considered?
   Should those not qualified but qualifiable be considered?
   Should overqualified individuals be considered?
   What effect will a decision have on meeting employment equity
    plans and diversity considerations?
Staffing/Selection


                          Performance
                        Hi            Low
             Fail




                    False negative         Hit
Prediction
             Pass




                         Hit         False positive
Selection Decision Models
• Compensatory Model
   Permits a high score in one area to make up for a
    low score in another area.
• Multiple Cutoff Model
   Requires an applicant to achieve a minimum level
    of proficiency on all selection dimensions.
• Multiple Hurdle Model
   Only applicants with sufficiently high scores at each
    selection stage go on to subsequent stages in the
    selection process.

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Recruiting 101

  • 2. Outside Sources of Recruitment • Advertisements • Labour unions • Unsolicited applications • Public employment and resumes agencies • Internet recruiting • Private employment • Employee referrals agencies • Temporary help agencies • Executive search firms • Educational institutions • Professional associations
  • 3. Improving the Effectiveness of External Recruitment • Yield Ratio  Percentage of applicants from a recruitment source that make it to the next stage of the selection process. • Cost of Recruitment (per employee hired) SC AC + AF + RB + NC = H H SC = source cost AC = advertising costs, total monthly expenditure (example: $28,000) AF = agency fees, total for the month (example: $19,000) RB = referral bonuses, total paid (example: $2,300) NC = no-cost hires, walk-ins, nonprofit agencies, etc. (example: $0) H = total hires (example: 119) Cost to hire one employee = $414
  • 4. Improving the Effectiveness of External Recruitment (cont’d) • Train Recruiters regarding:  Knowledge of the job’s requirements and the organization  Effective interviewing (starts with the person’s KSAs) • Realistic Job Previews (RJP)  Informing applicants about all aspects of the job, both desirable and undesirable facets, produces realistic job expectations that result in:  Improved employee job satisfaction  Reduced voluntary turnover
  • 5. Recruiting Talent Internally • Advantages of a promotion-from-within policy:  Capitalizes on past investments (recruiting, selecting, training, and developing) in current employees.  Rewards past performance and encourages continued commitment to the organization.  Signals to employees that similar efforts by them will lead to promotion.  Fosters advancement of members of designated groups within an organization.
  • 6. Recruiting Talent Internally (cont’d) • Limitations of a promotion-from-within policy:  Current employees may lack the knowledge, experience or skills needed for placement in the vacant/new position.  The hazards of inbreeding of ideas and attitudes (“employee cloning”) increase when no outsiders are considered for hiring.  The organization wants to hire employees from competitors to gain their valued secrets
  • 7. Other Important Talent Concerns • Recruitment of Older People  Increasingly returning to the workplace  Have valued knowledge, experience, flexibility and reliability as employees • Differences in goals, values etc. of Traditionalists, Baby Boomers, Gen X and Y • Dual-Career Couples  Couples in which both members follow their own careers  Flexible work schedules, leave policies, telecommuting, on-site daycare, etc. are important 5–7
  • 9. Matching People and Jobs • Selection  The process of choosing individuals who have relevant qualifications to fill existing or projected job openings. • Selection Considerations  Person-job fit: job analysis identifies required individual competencies (KSAs) for job success.  Person-organization fit: the degree to which individuals are matched to the culture and values of the organization.
  • 10. The Selection Process • Obtaining Reliable and Valid Information  Reliability  The degree to which interviews, tests, and other selection procedures yield comparable data over time and alternative measures.  Validity  Degree to which a test or selection procedure measures a person’s attributes.
  • 11. Sources of Information about Job Candidates • Application Forms • Integrity and Honesty • Online Applications Tests • Biographical Information • Graphology Blanks (BIB) • Background • Employment Tests Investigations • Interviews • Polygraph Tests
  • 12. Biographical Information Blanks (BIB) • Sample Questions:  At what age did you leave home?  How large was the town/city in which you lived as a child?  Did you ever build a model airplane that flew?  Were sports a big part of your childhood?  Do you play any musical instruments? Difficult to “fake”. If have predictive validity, BIBs are very useful.
  • 13. Polygraph Tests (Lie detector) • Check provincial legislation before considering use of the polygraph. Graphology The use of a sample of an applicant’s handwriting to make an employment decision. Used primarily in Europe. Shows promise re personality traits vs. psychological testing; questionable re prediction of performance
  • 14. Honesty and Integrity Test Question Examples Figure 6.5
  • 15. Employment Tests • Employment Test  An objective and standardized measure of a sample of behaviour that is used to gauge a person’s knowledge, skills, abilities, and attitudes (KSAs) in relation to other individuals.
  • 16. Classification of Employment Tests • Cognitive Ability Tests  Aptitude tests  Measures of a person’s capacity to learn or acquire skills.  Achievement tests  Measures of what a person knows or can do right now. • Personality and Interest Inventories  “Big Five” personality factors:  Extroversion, agreeableness, conscientiousness, neuroticism, openness to experience.
  • 17. CPI Personality Facets and Sample Items • Agreeableness  Trust—I believe people are usually honest with me. • Conscientiousness  Attention to detail—I like to complete every detail of tasks according to the work plans. • Extroversion  Adaptability—For me, change is exciting. • Neuroticism  Self-confidence—I am confident about my skills and abilities. • Openness to Experience  Independence—I tend to work on projects alone, even if others volunteer to help me. Figure 6.7
  • 18. Classification of Employment Tests (cont’d) • Physical Ability Tests  Must be related to the essential functions of the the job. • Job Knowledge Tests  An achievement test that measures a person’s level of understanding about a particular job. • Work Sample Tests  Require the applicant to perform tasks that are actually a part of the work required on the job.
  • 19. The Employment Interview • Why the interview is so popular:  It is especially practical when there are only a small number of applicants.  It serves other purposes, such as public relations.  Interviewers maintain great faith and confidence in their judgments.
  • 20. Interviewing Methods (hint) • Nondirective Interview  The applicant determines the course of the discussion, while the interviewer refrains from influencing the applicant’s remarks. • Structured Interview  An interview in which a set of standardized questions are used. An established set of answers against which to rate responses may be used.
  • 21. Interviewing Methods (cont’d) • Situational Interview  An interview in which an applicant is given a hypothetical incident and asked how he or she would respond to it. • Behavioural Description Interview (BDI)  An interview in which an applicant is asked questions about what he or she actually did in a given situation. • Panel Interview  An interview in which a board of interviewers questions and observes a single candidate.
  • 22. Highlights in HRM Highlights 6.3
  • 23. Interviewing Methods (cont’d) • Computer Interview  Using a computer program that requires candidates to answer a series of questions tailored to the job.  Answers are compared to an ideal profile or with profiles developed on the basis of other candidates’ responses. • Video Interviews  Using video conference technologies to evaluate job candidates’ technical abilities, energy level, appearance, etc. before incurring the costs of a face-to-face meeting. • Simulations and Games  On-line work simulations, e.g. strategies, customer interactions
  • 24. Ground Rules for Employment Interviews • Establish an interview plan • Establish and maintain rapport • Be an active listener • Pay attention to nonverbal cues • Provide information as freely and honestly as possible • Use questions effectively • Separate facts from inferences • Recognize biases and stereotypes • Control the course of the interview • Standardize the questions asked
  • 25. Medical examination • To ensure health and fitness of applicants • Provides a baseline against which subsequent exams can be compared (good for workers’ compensation cases) • BUT, can only be conducted after an offer of employment has been made and can only assess abilities to perform essential job duties
  • 26. Drug Testing • The following types of testing are not allowed:  Pre-employment drug testing  Pre-employment alcohol testing  Random drug testing, and  Random alcohol testing in non-safety sensitive positions (U.S. very different than Canada)
  • 27. Reaching a Selection Decision • Selection Considerations:  Should individuals to be hired according to their highest potential or according to the needs of the organization?  At what grade or wage level to start the individual?  Should selection be for employee- job match, or should advancement potential be considered?  Should those not qualified but qualifiable be considered?  Should overqualified individuals be considered?  What effect will a decision have on meeting employment equity plans and diversity considerations?
  • 28. Staffing/Selection Performance Hi Low Fail False negative Hit Prediction Pass Hit False positive
  • 29. Selection Decision Models • Compensatory Model  Permits a high score in one area to make up for a low score in another area. • Multiple Cutoff Model  Requires an applicant to achieve a minimum level of proficiency on all selection dimensions. • Multiple Hurdle Model  Only applicants with sufficiently high scores at each selection stage go on to subsequent stages in the selection process.