Recruitment&selection

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Recruiting and Selection Problems

RECRUITING : ALL ACTIVITIES INVOLVED IN SECURING INDIVIDUALS WHO WILL APPLY FOR THE JOB.

Lack of resources

Lack of job specification and qualifications

Qualifications not objectively established

Lack of managerial training

Personal prejudices

Search for managerial talent

Costly – Effort required, Lengthy Process, Ineffective employee

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Sales Force Staffing Process: Plan for Recruiting & Selection

Establish Responsibility for Recruiting, Selection

and Assimilation

Determine Number of

People Wanted

Conduct Job Analysis

Prepare Job Description

Recruit Applicants

Select ApplicantsDesign a

System For Measuring Applicants

Hire The People

Assimilate New People Into Sales Force

Determine Hiring Qualifications

Measure Applicants Against Hiring Qualifications

Make Selection Decisions

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Workload AnalysisNumber of reps needed = Total workload in market

Workload one rep can handle Market workload:

Customer Number of Calls Total class accounts per year calls

x =

A 400 20 8,000

B 600 10 6,000

14,000

One rep’s workload:

Calls/day x Selling days/week x Working weeks/year = Annual workload 5 x 5 x 50 = 1250

Number of reps needed = = 112 reps

14,000

1250

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1 Determining the Number

of Salespeople Needed

Strategic Plans

New - Eliminated/ + Promo- + Retirements + Terminations/ = Total new territories combined tions resignations reps needed territories

Expansion MN and RI 2 promo 2 retirements 1 termination New repsinto Texas. Territories expected expected expected needed

4 - 1 + 2 + 2 + 1 = 8

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1Job Analysis

• What constitutes a job.

• Specific tasks to be performed.

• Critical activities for success.

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1Job Description

• Title

• The nature of the product or service to be sold

• Type of customers to be called on,

frequency of calls, and types of personnel to be contacted

• Specific tasks and responsibilities – planning, actual selling, customer servicing tasks.

• Organizational relationships - Reporting

• Mental and physical demands of the job

• Environmental pressures and constraints that might affect the job.

• Hiring specifications/ eligibility criteria

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Fig. 5-4

Ten traits and abilities of top salespeople

Trait Related Ability

Ego strength To handle rejection

Sense of urgency To complete the sale

Ego drive To persuade people

Assertiveness To be firm in negotiations

Willingness to take risks To be innovative

Sociability To build relationships

Abstract reasoning To sell ideas

Sense of skepticism To question, to be alert

Creativity To sell complex products and ideas

Empathy To understand customer needs

Source: Erika Rasmusson, “The 10 Traits of Top Salespeople, “ Sales & Marketing Management, August 1999, pp. 34-37.

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1Traits Required

• Mental and Analytical abilities.

• Physical characterisitics

• Experience.

• Education

• Personality Traits – Adaptiveness, Persuasiveness.

• Skills – Communication, Interpersonal, Technological

• Socio- environmental Factors – Activities, Intersets

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Recruiting Sources of Sales Reps

Source Comment

Referrals: Candidates and position are known to person making referral. Existing Job

Sales force is an excellent source for referrals as they know their requirements and can identify good matches.

Current employees Company employees know the company and its products.

Other Companies:

Competitors Competitors know the customers and are familiar with your products.

Customers Customers know your products and your company.

Suppliers Suppliers know your company and your products.

The Internet Recruits may come through the company’s own website – or specialized Internet recruiting sites, such as Monster.com.

Educational institutions Primarily used when recruiting inexperienced people. Students areusually actively involved in a job search.

Advertisements Produces the greatest number of candidates, but the average quality is sometimes lower.

Employment agencies The agency is often more costly than other methods, but it willdo a large part of the initial screening.

Part-time workers These workers are easy to contact, readily available, and canwork flexible hours. This is a good source for in-home selling.

Voluntary applicants These applicants are interested in your firm and probably possessa high degree of self-confidence, self-reliance, and initiative.

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1Recruiting Evaluation Matrix

Evaluation Criteria

Consistent with strategic planning?

Number recruits

Number hired

Percent retained after 3 years

Cost Frequency of use

Rep’s per-formance after 2 yrs.

Recruiting sources

Within company: Sales force Other departments

Competitors Customers Noncompetitors

Educational institutions

Advertisements

Employment agencies

Voluntary applicants

Computerized databases

Other companies:

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Selecting and HiringApplicants

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Salesperson Selection Tools References and credit reports

Psychological tests

Application blanks

Personal interviews

Assessment Centers

Organizational Design

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Application Blank Information

Personal History

Personal Experience Physical Environmental

Name Work Ability to perform Membership in job-related social and service Address & Phone

Education physical activities organizations

Health Outside interests

Reason for seeking particular job

Personal goals

References

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Xerox Campus Interview-Evaluation Report

EVALUATION (Circle Level)

(Does Not Meet Xerox Standards)

(Meets Xerox Standards)

(Exceeds Xerox Standards)

Aggressiveness and Enthusiasm

1 2 3 4 5

Communication Skills

1 2 3 4 5

Record of Success

1 2 3 4 5

Rational Thought Process

1 2 3 4 5

Maturity 1 2 3 4 5

Overall Evaluation

1 2 3 4 5

Summary of Applicant’s Qualifications

Apparent Strengths:

Apparent Weaknesses:

Areas Requiring Clarification:

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Suggestions for Improving Interviewing Effectiveness

Have specific job specifications and qualifications clearly

in mindEstablish specific interviewing objectivesProvide some degree of structure (guidelines, probing

questions)Allow adequate timeBe very familiar with application or resume informationUse standardized rating sheets after each interviewUse multiple interviews – initial screening, telephonic, Provide training and practice for the interviewersRemember, the interview is an opportunity to learn more

about the candidate as well as to sell your company

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1Does Image Matter?

What type of sales rep would you avoid hiring?

80% Anyone who was a sloppy dresser

78% Anyone who used salty language

77% Anyone who has visible body piercings or tatoos

51% Anyone who looked unstylish

Sourse: Adapted from Melinda Ligos, “Does Image Matter? “ Sales & Marketing Management, March 2001, p. 55

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Selection and Hiring Are Not SynonymousCOMPANY A DISLIKES ANN ANN DISLIKES COMPANY

A

NO OFFER EXTENDED

COMPANY B LIKES ANN ANN DISLIKES COMPANY B

OFFER EXTENDED, BUT NOT ACCEPTED

ANN LIKES COMPANY C

OFFER EXTENDED & ACCEPTED

COMPANY A LIKES ANN

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Who is Responsible for Recruiting?

Depends on size of sales force and kind of selling involved

First-level sales managers often handle recruiting for: Straightforward sales jobs Jobs where new recruits need no special qualifications Jobs where turnover rates are high

When a firm must be selective a recruiting specialist may assist in the recruitment process

If the sales force prepares individuals to be sales or marketing managers, personnel executives or top-level managers often assist with recruitment

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Job Analysis and Selection Criteria

Conduct a job analysis to determine what activities, tasks, responsibilities and environmental influences are involved

Write a job description that details the findings of the job analysis

Develop a statement of job qualifications describing the personal traits and abilities needed to perform in the job

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Content of the Job Description

Nature of the product(s) or service(s) being sold

Types of customers

Specific tasks and responsibilities

Relationship between the sales position and other positions within the organization

Mental and physical demands of the job

Environmental pressures and constraints

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Determining Job Qualifications and Selection

Criteria This is the most difficult part of the recruitment and

selection process

Need specific criteria to guide the selection

Methods deciding on criteria include:

Examining the job description Evaluating personal histories of the

current sales force to identify differentiating characteristics among high performers

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Characteristics of Salespeople who Fail

Instability of residence

Failure in business within the past two years

Unexplained gaps in the person’s employment record

Recent divorce or marital problems

Excessive personal indebtedness; for example, bills could not be paid within two years from earnings on the job

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1Recruiting Applicants

Successful firms depend upon a well-planned and effectively implemented recruiting effort.

Recruiting should be step one in the selection process. Internal sources of candidates consist of employees in

other departments within the firm. External sources of candidates include:

people in other firms educational institutions others attracted through advertising or employment agencies.

Recruiting issues facing sales managers grow exponentially as companies expand globally and seek salespeople in new international markets.

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1Inside Recruiting

Advantages:Company employees have established performance

records and present themselves as a known entity

Recruits from inside require less orientation and training due to familiarity with current products, policies and operations

Recruiting within bolsters company morale because employees see opportunities for advancement

Facilitating internal recruiting starts with fully informing human resources of sales staff needs

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Selection Tools and Procedures

Application blanks

Personal interviews

Reference checks

Physical examinations

Psychological tests

intelligence

personality

aptitude/skills

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Selection Tools and Procedures

Composites of psychological test scores offer the greatest assessment validity and predictive value for evaluating a candidate’s potential and possible future job performance.

Personal interviews offer the lowest predictive potential but often carry the greatest weight.

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1Personal Interviews

Structured interviewapplicants are asked the same predetermined

questionspotential weakness is that interviewer may fail to

identify or probe a candidate’s unique qualities or limitations

Unstructured interview induces free discussion on wide ranging topics afford the applicant opportunity to talk freely

with minimal direction and may yield unexpected insight

requires experienced interviewers with interpretative skills

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1Behavior Based Interviews

Traditional Vs Behavior Based Do you get along with people?

Tell an incidence where you had a conflict with a customer?

What is your biggest weakness?

Tell me about your biggest failure?

What qualities do you think are important for success in this job?

Give me a specific example where you have demonstrated your problem solving skills.

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1Performance based Interview

Ask candidates to perform exercises simulating selling situations.

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1Stress Interviews

Interviewer intentionally places the applicant under stress.

Brainteasers.

A man and a woman went to the beach one day. There, they saw a teenage girl walking up to people and talking to them. Some replied heatedly, and some took what she had to give. The man and the woman suspected that she was selling drugs, so they decided to take it to the police. But when they were about to do so, the woman discovered that the girl only walked up to people with electric supplies. So the next time they went to the beach, they brought a Juke box along. The woman went swimming, and the girl walked up to the man. What did she sell?

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1Psychological Testing

Mental Intelligence Test IQ Test

Aptitude test – Sales Aptitude Test

Interest Test

Personality Test

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1Physical Examinations

Sales jobs require sound basic health, stamina and the physical ability to withstand stress

Caution should be exercised in requiring medical examinations and other specific tests for such things as drug use or the HIV virus

A physical exam can be performed only after extending a job offer

Managers deem using a standard physical examination for all positions ill-advised

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1Tests

Well designed, validated and administered tests provide a valid selection tool Intelligence Aptitude Personality

Possible reasons to use test cautiously Tests may not validly predict future success in a specific

firm Some creative and talented people may deviate from

expected norms Intelligent and “test-wise” individuals may be able to

manipulate results Some tests may discriminate against people of different

races, genders, et al – thus becoming illegal

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Illegal/Sensitive Questions

Nationality or race

Religion

Sex and marital status

Age

Physical characteristics

Height and weight

Financial situation

Arrests and convictions

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1References

Background Checks – Credit check