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Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management of Human Resources Second Canadian Edition
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Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

Dec 21, 2015

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Page 1: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

Chapter Four

Human ResourcesPlanning and Recruitment

© 2007 Pearson Education Canada 4-1

Dessler, Cole, Goodman, and SutherlandIn-Class Edition

Management of Human ResourcesSecond Canadian Edition

Page 2: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-2

The Strategic Role of Human Resources Planning

HR Planning

–review human resources requirements to ensure:

• the necessary number of employees• the necessary employee skills• to meet organizational goals

HR Planning

–review human resources requirements to ensure:

• the necessary number of employees• the necessary employee skills• to meet organizational goals

Page 3: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-3

The Strategic Role of Human Resources Planning

-plan staffing and development activities

–achieve economies in hiring

–anticipate and avoid staff shortages/surpluses–establish employment equity goals/timetables

-plan staffing and development activities

–achieve economies in hiring

–anticipate and avoid staff shortages/surpluses–establish employment equity goals/timetables

Importance of HR Planning

Page 4: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-4

The Strategic Role of Human Resources Planning

HR PlanningHR Planning Strategic PlanningStrategic Planning

–reciprocal and interdependent relationship–environmental scanning critical for both

–reciprocal and interdependent relationship–environmental scanning critical for both

Page 5: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-5

The HR Planning Process

2. Forecast Future Internal/External Candidates (Supply)

1. Forecast Future HR Needs (Demand)

3. Balance Supply and Demand

Page 6: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-6

Forecasting Future HR Demand

Forecasting based on:

–quality and nature of employees–decisions regarding product quality–plans for technological change–financial resources

Forecasting based on:

–quality and nature of employees–decisions regarding product quality–plans for technological change–financial resources

Page 7: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-7

Forecasting Future HR Demand

Trend analysis: review past employment levels

Ratio analysis: ratio of business activity/employees

Scatter plot: graph of business activity/employees(regression or forecasting software can enhance

the scatter plot)

Trend analysis: review past employment levels

Ratio analysis: ratio of business activity/employees

Scatter plot: graph of business activity/employees(regression or forecasting software can enhance

the scatter plot)

Quantitative Approaches

Page 8: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-8

Forecasting Future HR Demand

1. Nominal Group Technique–experts meet face-to-face–group discussion facilitates exchange of ideas–possible subjectivity, group pressure

2. Delphi Technique–experts work independently–wide range of views–difficult to integrate diverse opinions

1. Nominal Group Technique–experts meet face-to-face–group discussion facilitates exchange of ideas–possible subjectivity, group pressure

2. Delphi Technique–experts work independently–wide range of views–difficult to integrate diverse opinions

Qualitative Approaches

Page 9: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-9

Forecasting Future HR Supply(Internal Candidates)

–manual or computerized records–used to identify internal candidates for transfer or promotion–summary of each employee’s:

• education• experience• interests• skills

–manual or computerized records–used to identify internal candidates for transfer or promotion–summary of each employee’s:

• education• experience• interests• skills

Skills Inventories

Page 10: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-10

Forecasting Future HR Supply

–visual representations of likely internal replacement employees for each position

–data on each candidate includes:• age• present performance rating• promotability status

–visual representations of likely internal replacement employees for each position

–data on each candidate includes:• age• present performance rating• promotability status

Replacement Charts

Page 11: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-11

Forecasting Future HR Supply

Succession Planning

–plans to fill key executive positions

–maintains a supply of successors for current and future jobs

–balances organization's needs for top managers with the potential and aspiration of internal candidates

–support individual career development

Page 12: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-12

Forecasting Future HR Supply(External Candidates)

–general economic conditions–national labour market conditions–local labour market conditions–occupational market conditions

–general economic conditions–national labour market conditions–local labour market conditions–occupational market conditions

Page 13: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-13

Balancing Supply and Demand

Dealing with a Labour Surplus

–hiring freeze–attrition–buy-out and early retirement programs–reducing hours (job sharing, reduced workweek, part-time work, work sharing)–layoffs–termination with outplacement assistance

–hiring freeze–attrition–buy-out and early retirement programs–reducing hours (job sharing, reduced workweek, part-time work, work sharing)–layoffs–termination with outplacement assistance

Page 14: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-14

Balancing Supply and Demand

Dealing with a Labour Shortage

–overtime–hiring temporary employees–subcontracting work–external recruitment–transfers–promotions

–overtime–hiring temporary employees–subcontracting work–external recruitment–transfers–promotions

Page 15: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-15

Recruitment

–process of managing a labour shortage by

searching for job candidates:• adequate number• qualified

from whom to select staff needed to meet

job requirements

–process of managing a labour shortage by

searching for job candidates:• adequate number• qualified

from whom to select staff needed to meet

job requirements

Page 16: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-16

Recruitment

–generate adequate pool of candidates at minimum cost

–increase success rate of selection process

–achieve employment equity goals

–attract qualified candidates suited to organizational culture

–generate adequate pool of candidates at minimum cost

–increase success rate of selection process

–achieve employment equity goals

–attract qualified candidates suited to organizational culture

Purposes of Recruitment

Page 17: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-17

The Recruitment Process

Identifying job openings

Specify job requirements

Select methods of recruitment

Generate pool of qualified candidates

Page 18: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-18

Constraints on the Recruitment Process

–organizational policies and plans

–job specifications

–inducements of competitors

–environmental factors

–organizational policies and plans

–job specifications

–inducements of competitors

–environmental factors

Page 19: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-19

Recruiting Within the Organization

–enhanced morale if competence is rewarded

–more commitment to company goals

–longer-term perspective on business decisions

–more accurate assessment of candidate’s skills

–less orientation required

–enhanced morale if competence is rewarded

–more commitment to company goals

–longer-term perspective on business decisions

–more accurate assessment of candidate’s skills

–less orientation required

Advantages

Page 20: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-20

Recruiting Within the Organization

–discontent of unsuccessful candidates

–time consuming to post and interview all

candidates if one is already preferred

–employee dissatisfaction with insider as new

boss

–possibility of “inbreeding”

–discontent of unsuccessful candidates

–time consuming to post and interview all

candidates if one is already preferred

–employee dissatisfaction with insider as new

boss

–possibility of “inbreeding”

Disadvantages

Page 21: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-21

Recruiting Within the Organization

Job

Posting

Job

PostingSkills

Inventories

Skills

Inventories

Requirements

Human

Resources

Records

Human

Resources

Records

Page 22: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-22

Recruiting Outside the Organization

–larger, more diverse pool of qualified candidates

–acquisition of new skills and knowledge for

creative problem solving

–elimination of rivalry for transfers/promotions

–cost savings from hiring skilled individuals with

no need for training

–larger, more diverse pool of qualified candidates

–acquisition of new skills and knowledge for

creative problem solving

–elimination of rivalry for transfers/promotions

–cost savings from hiring skilled individuals with

no need for training

Advantages

Page 23: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-23

Recruiting Outside the Organization

Yield Pyramid

50

100

150

200

1200

New hires

Offers made (2:1)

Candidates interviewed (3:2)

Candidates invited (4:3)

Leads generated (6:1)

Page 24: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-24

Recruiting Outside the Organization

–online recruiting

–print advertising

–private employment agencies

–executive search firms

–educational institutions

–other (walk-ins, employee referrals, HRDC etc)

–online recruiting

–print advertising

–private employment agencies

–executive search firms

–educational institutions

–other (walk-ins, employee referrals, HRDC etc)

Methods

Page 25: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-25

Recruiting Outside the Organization

–temporary help agencies

–contract workers

–employee leasing

–outsourcing/subcontracting

–temporary help agencies

–contract workers

–employee leasing

–outsourcing/subcontracting

Non-Permanent Staff

Page 26: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-26

Recruiting Outside the Organization

Three approaches:

1. Internet job boards

2. Company Website and intranet

3. Application Service Provider software rental

Three approaches:

1. Internet job boards

2. Company Website and intranet

3. Application Service Provider software rental

Online Recruiting

Page 27: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-27

Recruiting Outside the Organization

–media to be used depends on:

• type of position

• type of candidate

–construction of the ad:

• AIDA (attention; interest; desire; action)

• want ads vs. blind ads

–media to be used depends on:

• type of position

• type of candidate

–construction of the ad:

• AIDA (attention; interest; desire; action)

• want ads vs. blind ads

Advertising

Page 28: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-28

Recruiting Outside the Organization

–no HR department

–past difficulty in generating pool of qualified

candidates

–position must be filled quickly

–desire to recruit designated group members

–no HR department

–past difficulty in generating pool of qualified

candidates

–position must be filled quickly

–desire to recruit designated group members

Use of Private Employment Agency

Page 29: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-29

Recruiting Outside the Organization

–often specialize in particular type of talent

–adept at approaching employed candidates

not currently looking for a job

–confidentiality

–often specialize in particular type of talent

–adept at approaching employed candidates

not currently looking for a job

–confidentiality

Executive Search Firms

Page 30: Chapter Four Human Resources Planning and Recruitment © 2007 Pearson Education Canada 4-1 Dessler, Cole, Goodman, and Sutherland In-Class Edition Management.

© 2007 Pearson Education Canada 4-30

Recruiting a More Diverse Workforce

– older workers

– younger workers

– designated group members:

• women

• visible minorities

• disabled

• Aboriginal

– older workers

– younger workers

– designated group members:

• women

• visible minorities

• disabled

• Aboriginal