Unit 2 Notes
Unit 2 Notes
Unit 2 Notes
Meaning:
In HRM, recruitment refers to the process of attracting, screening, and selecting qualified
candidates for a job opening. It involves identifying the job requirements, sourcing
candidates, screening resumes, interviewing candidates, and selecting the best person for the
job.
Internal Factors
Organizations have control over the internal factors that affect their recruitment
functions. The internal factors are −
Size of organization
Recruiting policy
Image of organization
Image of job
Size of Organization
The size of the organization is one of the most important factors affecting the recruitment
process. To expand the business, recruitment planning is mandatory for hiring more
resources, which will be handling the future operations.
Recruiting Policy
Image of Organization
Organizations having a good positive image in the market can easily attract competent
resources. Maintaining good public relations, providing public services, etc., definitely
helps an organization in enhancing its reputation in the market, and thereby attract the best
possible resources.
Image of Job
Just like the image of organization, the image of a job plays a critical role in recruitment.
Jobs having a positive image in terms of better remuneration, promotions, recognition, good
work environment with career development opportunities are considered to be the
characteristics to attract qualified candidates.
External Factors
External factors are those that cannot be controlled by an organization. The external
factors that affect the recruitment process include the following −
Labor market − Labor market controls the demand and supply of labor. For example, if
the supply of people having a specific skill is less than the demand, then the hiring will need
more efforts. On the other hand, if the demand is less than the supply, the hiring will be
relative easier.
Labor laws − Labor laws reflect the social and political environment of a market, which
are created by the central and state governments. These laws dictate the compensation,
working environment, safety and health regulations, etc., for different types of
employments. As the government changes, the laws too change.
Legal considerations − Job reservations for different castes such as STs, SCs, OBCs are
best examples of legal considerations. These considerations, passed by government, will
have a positive or negative impact on the recruitment policies of the organizations.
Competitors − When organizations in the same industry are competing for the best
qualified resources, there is a need to analyze the competition and offer the resources
packages that are best in terms of industry standards.
SOURCES OF RECRUITMENT:
Sources of recruitment refers to various modes of connecting with the job seeker for
completing the task of finding potential employees. In simple words, sources of recruitment
is the medium through which communication regarding the vacant positions is made aware to
the prospective candidates.
Internal Sources
Internal sources of recruitment refers to the recruitment of employees who are already a part of
the existing payroll of the organisation. The vacancy for the position can be informed to the
employee through internal communication.
There are different types of internal hiring in the organisation and they are as follows:
Promotion helps in motivating the other employees of the organisation to work hard so that
they also become eligible for promotion.
2. Transfer: Transfer refers to the shifting of an existing employee from one department to
another department in an organisation.
3. Employee Referrals: It can happen that the organisation in an effort to cut down costs on
hiring is looking for employee referral. The employees are well aware of the job roles in the
organisation for which manpower is required. These employees will refer potential candidates
by screening them based on their suitability to the position.
4. Former employees: Some organisations have the provision of hiring retired employees
willing to work part time/full time for the organisation.
1. The organisation saves money on hiring programmes which translates to higher revenue for
business.
3. Internal source of recruitment serves as a morale booster for the existing employees.
4. It provides a sense of loyalty towards the business which results in improved productivity.
5. As existing employees will be aware of the working pattern of the organisation, therefore it
will take much less time for the re-hires to get adapted to working conditions.
1. Internal recruitment causes reduction in the morale of those employees who are not selected
or considered for appraisal.
3. It can lead to conflict if one employee is selected for promotion, while the others are not
considered.
External Sources
External sources of recruitment seek to employ candidates that have not been recruited anytime
before in the organisation.
Introduction of fresh talent among the workforce leads to growth and development of the
business.
3. Employment portals: In this age of technology, development in the field of hiring has taken
place. Nowadays many employment portals are open where one can find information about job
openings.
2. There will be availability of new ideas from employees hired using external sources.
3. The employees join as knowledgeable persons which reduces the training time required for
new hires.
2. It can lead to lack of cooperation between the new hires and the existing employees.
3. It is a lengthy process where the employee needs to appear for many rounds.
RECRUITMENT PROCESS:
The recruitment process is a systematic approach that organizations follow to identify, attract,
and select qualified candidates for job vacancies within their organization. While specific steps
may vary between organizations, the general recruitment process typically includes the
following stages:
1. Identify Job Vacancy: The process begins by determining the need for a new position or
identifying a vacant position within the organization. The hiring manager or relevant
stakeholders define the job requirements, responsibilities, and qualifications for the position.
2. Job Description and Job Advertisement: A detailed job description is created, outlining
the key responsibilities, required skills, qualifications, and any other relevant information about
the position. This information is used to create a job advertisement or posting that will be used
to attract potential candidates. The job advertisement may be posted on the organization's
website, job boards, social media, or other relevant platforms.
3. Candidate Sourcing: This stage involves actively searching for potential candidates.
Various methods are used to source candidates, including online job portals, social media
platforms, recruitment agencies, employee referrals, university campuses, and industry-
specific events. The goal is to attract a diverse pool of qualified candidates.
4. Resume Screening: The received applications and resumes are reviewed and screened to
identify the candidates who meet the minimum requirements outlined in the job description.
This step helps to narrow down the candidate pool to a more manageable number for further
evaluation.
5. Candidate Evaluation: The evaluation stage may include multiple steps, such as:
a. Interviews: Candidates who pass the initial resume screening are typically invited for
interviews. Depending on the organization, this may involve a phone screening, video
interview, or face-to-face interview. The interviews may be conducted by HR professionals,
hiring managers, or a panel of interviewers. The purpose is to assess the candidates'
qualifications, skills, experience, cultural fit, and overall suitability for the position.
b. Assessments and Tests: Some organizations may administer tests, assessments, or skills
evaluations to assess specific abilities or competencies required for the job. These assessments
can include cognitive tests, technical skills assessments, personality tests, or work simulations.
c. Reference Checks: Reference checks involve contacting the provided references to
gather insights about a candidate's past work performance, character, and qualifications. This
step helps to verify the candidate's background and validate the information provided in the
application.
6. Selection Decision: After evaluating and assessing the candidates, the hiring team or the
designated decision-makers review the collected information and make a selection decision.
The most suitable candidate(s) are identified based on their qualifications, interview
performance, assessment results, and references.
7. Job Offer: Once the selected candidate is identified, a job offer is extended. The offer
typically includes details about compensation, benefits, start date, and any other relevant terms
and conditions of employment. Negotiations may occur at this stage before reaching a final
agreement.
8. Onboarding: Once the candidate accepts the job offer, the onboarding process begins.
This involves completing any necessary paperwork, conducting background checks,
providing orientation and training, and integrating the new employee into the organization.
It's worth noting that the recruitment process can vary in complexity and duration based on the
organization's size, the level of the position, industry-specific requirements, and other factors. It is
important for organizations to ensure fairness, transparency, and compliance with relevant laws and
regulations throughout the recruitment process.
TYPES OF RECRUITMENT:
Recruitment is the process of finding and attracting qualified individuals to fill job vacancies
within an organization. There are various types of recruitment methods used by organizations
to source and select candidates. Here are some common types of recruitment:
1. Internal Recruitment: This involves filling job positions with existing employees of the
organization. It can be done through internal job postings, employee referrals, or promotions.
Internal recruitment helps in employee development, retention, and motivation.
2. External Recruitment: External recruitment focuses on attracting candidates from outside
the organization. It can be done through various channels, such as job advertisements, career
fairs, online job portals, social media, and recruitment agencies. External recruitment expands
the talent pool and brings in fresh perspectives and skills.
3. Online Recruitment: This method involves utilizing online platforms and tools for
recruiting candidates. It includes online job portals, company websites, social media
platforms, and professional networking sites. Online recruitment provides wider reach,
convenience, and efficiency in candidate screening and communication.
4. Campus Recruitment: Also known as campus hiring, this method targets students andfresh
graduates directly from educational institutions. Employers visit colleges and universities to
conduct recruitment drives, presentations, and interviews. Campus recruitmentenables organizations to
tap into young talent and groom them as future employees.
5. Executive Search: This type of recruitment is specifically used for hiring top-level or
executive positions. It involves engaging professional executive search firms or headhunters
who specialize in identifying and attracting highly skilled and experienced candidates for
senior roles.
6. Temporary or Contract Recruitment: In situations where organizations require
employees for a fixed duration or for specific projects, temporary or contract recruitment is
used. Temporary employees are hired for a short period, whereas contract employees work
for a defined project or timeframe.
7. Referral Recruitment: Referral recruitment relies on the recommendations and referrals
made by existing employees. The organization encourages its employees to refer qualified
candidates from their networks. Referral recruitment often leads to higher-quality candidates
and better cultural fit.
8. Recruitment Agencies: Organizations may engage external recruitment agencies or
staffing firms to assist in the recruitment process. These agencies have their own candidate
databases and expertise in sourcing, screening, and shortlisting candidates for various
positions.
SELECTION
MEANING:
Selection, in the context of human resource management, refers to the process of choosing the
most suitable candidate from a pool of applicants who have applied for a job vacancy within
an organization. It involves assessing and evaluating candidates' qualifications, skills,
experience, and other relevant factors to determine their fit for the position and the
organization.
NEEDS FOR SELECTION:
The selection process is essential for organizations to ensure that they hire the right candidates
who possess the necessary qualifications, skills, and potential to succeed in a particular job role.
Here are some key needs for the selection process:
1. Identifying the Best Fit: The selection process helps organizations identify candidates who
are the best fit for the job role and the organization's culture. It allows recruiters to assess the
candidates' qualifications, skills, experience, and potential to determine if they align with the
job requirements and organizational needs.
2. Predicting Job Performance: By evaluating candidates through interviews, assessments,
and reference checks, the selection process aims to predict their potential job performance. It
helps to determine if candidates have the necessary competencies, knowledge, and abilities to
perform effectively in the role.
3. Minimizing Hiring Mistakes: Effective selection processes help minimize the risk of
making hiring mistakes. By thoroughly evaluating candidates, organizations can make
informed decisions and reduce the chances of hiring individuals who are not suitable for the
job or do not meet the organization's requirements.
4. Improving Employee Retention: The selection process plays a crucial role in selecting
candidates who are likely to be satisfied and successful in their roles. By identifying candidates
with the right skills and fit, organizations can increase the likelihood of retaining employees,
reducing turnover rates, and ensuring long-term organizational stability.
5. Enhancing Team Dynamics: The selection process allows organizations to assess
candidates' compatibility with the existing team and work environment. Hiring individuals who
complement the team dynamics and culture can contribute to a positive work atmosphere,
collaboration, and productivity.
6. Meeting Organizational Objectives: The selection process is aligned with the
organization's strategic goals and objectives. By hiring candidates who possess the required
skills, knowledge, and potential, organizations can ensure that they have the workforce
necessary to achieve their business goals.
7. Legal Compliance: The selection process helps organizations ensure compliance with legal
and regulatory requirements, including equal employment opportunity (EEO) laws and
antidiscrimination regulations. By following fair and unbiased selection practices,
organizations can mitigate legal risks and maintain a diverse and inclusive workforce.
8. Managing Recruitment Costs: Effective selection processes help optimize recruitment
costs. By carefully evaluating candidates, organizations can reduce the need for additional
recruitment cycles and the associated expenses.
Overall, the selection process is crucial for organizations to make informed hiring decisions,
identify the most qualified candidates, and align their workforce with their strategic objectives. It
ensures that organizations select individuals who have the potential to contribute to the
organization's success and maintain a high-performing workforce.
While recruitment and selection are separate processes, they are closely connected. The
effectiveness of the selection process depends on the success of the recruitment process in
generating a pool of qualified candidates. The two processes work together to ensure that the
organization attracts suitable candidates and makes informed hiring decisions.
TRAINING
NEEDS OF TRAINING:
Training refers to the process of acquiring knowledge, skills, and competencies through
structured learning and development activities. It is designed to enhance an individual's
performance, capabilities, and proficiency in a particular area or job function.
Training needs refer to the gap between the knowledge, skills, and competencies required for
effective job performance and the current capabilities of employees or the organization as a
whole. Identifying training needs is a crucial step in designing and implementing targeted
training programs that address specific areas for improvement.
Here are some common methods and indicators used to assess training needs:
1. Performance Appraisals: Regular performance evaluations can provide insights into
areas where employees may require additional training or development. By reviewing
performance against job expectations, supervisors can identify skill gaps or areas for
improvement.
2. Skills Assessments: Conducting skills assessments, such as proficiency tests or self-
assessment questionnaires, helps identify specific skills that may be lacking or require
improvement. These assessments can be job-specific or cover general skills relevant to the
organization.
3. Job Analysis: Analyzing job roles and responsibilities can reveal the knowledge, skills,
and competencies necessary for successful performance. This analysis helps identify specific
training needs required for each job or job category.
4. Employee Surveys and Feedback: Surveys and feedback mechanisms, such as
suggestion boxes or one-on-one discussions, allow employees to express their training needs
or highlight areas where they feel additional training would be beneficial.
5. Organizational Goals and Strategic Initiatives: Aligning training needs with
organizational goals and strategic initiatives ensures that training programs focus on areas
critical to the organization's success. For example, if the organization is expanding into a new
market, employees may need training on cultural awareness or market-specific skills.
BENEFITS OF TRAINING:
Training offers numerous benefits to both individuals and organizations. Here are some
key advantages of training:
PROMOTION
Promotion, in the context of career and business, refers to the advancement of an individual to a
higher position or rank within an organization. It is a recognition of an employee's performance,
competence, and potential, leading to increased responsibilities, authority, and often a higher
salary or benefits
PROMOTION PROS AND CONS:
Promotions are an important aspect of career growth and development. They come with both
advantages and disadvantages. Let's explore some of the pros and cons of getting promoted:
Pros of Promotion:
1. Increased Salary: Promotions often come with a higher salary or wage, allowing you to earn
more money and potentially improve your financial situation.
2. Career Advancement: A promotion represents a step up the career ladder, providing
opportunities for greater responsibilities and more challenging tasks.
3. Recognition and Validation: Being promoted can be a form of recognition for your hard
work, skills, and contributions to the organization.
4. Enhanced Job Security: Higher positions often come with greater job security and stability
within the organization.
5. Opportunities for Skill Development: A promotion might require you to learn new skills
and gain expertise in different areas, which can be beneficial for your personal and
professional growth.
6. Increased Benefits and Perks: Along with a higher salary, promotions may come with
improved benefits packages, such as better health insurance, retirement plans, and more
vacation days.
7. Boost to Self-Esteem and Confidence: Achieving a promotion can boost your self-esteem
and confidence, making you feel more valued and motivated in your role.
Cons of Promotion:
1. Increased Responsibilities: With a higher position, you'll likely have more
2. Work-Life Balance: More responsibilities might require you to invest more time and effort
into your job, potentially affecting your work-life balance.
3. Higher Expectations: Promotions often come with higher expectations from management
and colleagues, which could increase performance pressure.
4. Transition Challenges: Adjusting to a new role and its demands may take time, and you
might face challenges in adapting to the changes.
5. Loss of Previous Benefits: Depending on the organization's policies, you may lose some
benefits from your previous position, such as flexible working hours.
6. Office Politics: Sometimes, promotions can create tension among colleagues who were also
vying for the same position, leading to office politics and strained relationships.
7. Potential Failure: There's always a risk that you may not perform as expected in the new
role, leading to stress and potential consequences on your career path.
It's essential to carefully weigh these pros and cons when considering a promotion to make an
informed decision that aligns with your career goals and personal aspirations. Additionally,
seeking feedback from mentors or colleagues can help you gauge whether a promotion is the right
move for you at a given point in your career.
TRANSFER:
In the context of employment and organizational management, a transfer refers to the movement
of an employee from one position, department, location, or branch of a company to another while
retaining the same level of responsibility and pay. Transfers can be initiated by either the employer
or the employee and are often carried out for various reasons, such as meeting organizational
needs, employee development, or accommodating personal circumstances.
Types of Transfers:
1. Departmental Transfer: This type of transfer involves moving an employee from one
department to another within the same organization. It can be done to fill a position, utilize the
employee's skills in a different area, or support cross-functional collaboration.
2. Interlocation Transfer: An interlocation transfer involves moving an employee from one
geographical location or branch of the company to another. This could be to meet staffing
requirements, support business expansion, or fulfill specific project needs.
3. Position Transfer: A position transfer occurs when an employee moves to a different role
within the same organizational level or job family. It might involve a lateral move, where the
responsibilities and compensation remain similar, or a vertical move, where the employee
takes on a higher or lower-level position.
4. Temporary Transfer: Temporary transfers involve moving an employee to another position
or location for a specific period, after which they return to their original position. This type of
transfer is often used for short-term projects or to provide developmental opportunities.
5. Promotional Transfer: A promotional transfer is a move to a higher-level position within the
organization. It usually involves increased responsibilities, higher pay, and better career
prospects for the employee.
6. Demotion Transfer: A demotion transfer occurs when an employee is moved to a lower-
level position, usually due to performance issues or organizational restructuring. It often
results in reduced responsibilities and pay.
7. Shift Transfer: In industries with multiple shifts (e.g., manufacturing or healthcare), an
employee might be transferred to a different shift schedule while maintaining the same job
role.
Transfers can be a useful tool for organizations to meet changing needs, utilize employee skills
effectively, and provide developmental opportunities. However, they should be managed carefully
to ensure they align with both the organizational and employee's goals and avoid potential
negative effects on morale and performance.