7/28/2019 Shah Mahmood HR Practices
1/73
A PROJECT REPORT ON
Study of Recruiting & Selection
Practices in NGOs in AfghanistanA Case Study of the
Swedish Committee for Afghanistan (SCA)
BY
SHAH MAHMOOD
Term: C, BBA EveningReg #: 302-061114
(2006 2010)
Submitted to
7/28/2019 Shah Mahmood HR Practices
2/73
Name of Discipline
Name of Supervisor Signature of Supervisor
Name of Head of the department Signature of Head of the department
Name of vice Chancellor Signature of Vice Chancellor
Thesis Approval Form
The undersigned certify that they have read the following thesis and are satisfied with the overall exam
performance, and recommend the thesis to the Faculty of business Administration for acceptance:
Study of Recruiting & Selection Practices in NGOs in
Afghanistan
Submitted By: SHAH MAHMOOD Registration #: 302-061114
Bachelor of Business Administration (BBA)
___________________________________
______________________________ ______________________________
_____________________________ ______________________________
______________________________ ______________________________
_______________________
Date
i
7/28/2019 Shah Mahmood HR Practices
3/73
Declaration Form
I Shah Mahmood
Son of Abdul Salam
Registration # 302-061114
Discipline BBA
Candidate of Bachelor of Business Administration (BBA) at the Kardan Institute of Higher
Education Kabul, Afghanistan do hereby declare that the thesis Study of Recruiting& Selection Practices in NGOs in Afghanistan submitted by me in partialfulfillment of BBA (HONS) degree, is my work, and has not been submitted or published
earlier. I also solemnly declare that it shall not, in future, be submitted by me for obtainingany other degree from this or any other university or institution.
4th April, 2010 Signature of Candidate
ii
7/28/2019 Shah Mahmood HR Practices
4/73
Acknowledgment
First of all I would thank Almighty ALLAH who has guided me the way for a bright future.
It is not possible to prepare a project report without the assistance & encouragement of
other people. This one is certainly no exception.
On the very outset of this report, I would like to extend my sincere & heartfelt
obligation towards all the personages. Without their active guidance, help, cooperation &
encouragement, I would not have made headway in the project.
I would like to express my sincere thanks to Swedish Committee for Afghanistan
(SCA) who gave me the opportunity to work with such an esteemed organization.
I owe profound sense of regards & gratitude towards (Manager - HR) who has
Continuously guided me & supported in all the tasks by giving me valuable insight into
issues like the meaning of HR practices, its uses, objectives and tools as well as steps
to be considered in developing and studying g an organizational structure.
I owe debt of gratitude to SCA management who have given me enough support
& cooperation to me by finding time from their hectic schedule. I also thank them for
guiding me, clearing the doubts & advising me in the right time to make this project a real
learning experience. I am thankful to the entire employees at SCA for their cooperation
during writing this project.
I would like to acknowledge the help provided by my teacher to make this project a success.My teacher Mr. Mohammad Sultan provided guidance and learning at every step of the
project, which helped me, a lot in the questioning, data collection and preparation of this
report. He always gave full energy and showed willingness in my project.
I am also thankful to my parents who accommodated me during those long hours of work in
my project development and all the friends and colleagues who equally encouraged me.
Thanking you:
Shah Mahmood
iii
7/28/2019 Shah Mahmood HR Practices
5/73
Executive Summary
The importance of personnel management is being increasingly realized in Governmental,
non-governmental, industrial and non-industrial organization both in Afghanistan and
abroad. The realization has come about because of increasing complexity of the tasks of
managers and administrators. Today, in every organization personnel planning as an activity
is necessary. It is an important part of an organization. Human Resource Planning is a vital
ingredient for the success of the organization in the long run. There are certain ways that are
to be followed by every organization, which ensures that it has right number and kind of
people, at the right place and right time, so that organization can achieve its planned
objective. The objectives of human resource department are human resource planning,
recruitment and selection, training and development, career planning, transfer and promotion,
risk management, performance appraisal and so on. Each objective needs special attention
and proper planning and implementation.
For every organization it is important to have a right person on a right job. Recruitment and
selection plays a vital role in this situation. Shortage of skills and the use of new technology
are putting considerable pressure on how employers go about recruiting and selecting staff. It
is recommended to carry out a strategic analysis of recruitment and selection procedure.
In most organizations the problems of getting the competent and relevant people, retaining
them, keeping up their motivation and morale, and helping them to both continuouslygrow and contribute their best to the organizations, are now viewed as the most critical
problems. So with this reference the project titled has been conducted, based on the primary
research in Swedish Committee for Afghanistan (SCA), and literature review and secondary
data from various sources. Division has been prepared to get a better insight into the
management practices adopted by SCA with reference to HR Policies prepared by the HR
department in organization. With reference to this context, this project is been prepared to
put a light on recruitment and selection process. This project includes meaning and definition
of recruitment and selection, need and purpose of recruitment, evaluation of recruitment
process, recruitment tips, sources of Recruitment through which an organization gets suitable
application, , right manpower, job analysis, which gives an idea about the requirement of the
job. Next is Selection process, which includes steps of selection, types of test, and types of
interview.
Table of Contentsiv
7/28/2019 Shah Mahmood HR Practices
6/73
Thesis Approval Form......................................................................................................i
Declaration Form.............................................................................................................ii
Acknowledgment.............................................................................................................iii
Executive Summary........................................................................................................iv
1. CHAPTER 1 INTRODUCTION............................................................................1
1.1 Introduction................................................................................................................11.2 Research Question......................................................................................................3
1.3 Objective of the Project.............................................................................................3
1.4 Limitation of the Study..............................................................................................4
1.5 Significance of the Study............................................................................................5
1.6 Scheme of the study....................................................................................................5
2. CHPTER 2 LETRATURE RIVIEW......................................................................6
2.1 Managing and Definition of Human Resource Management.................................6
2.1.1 Characteristics of Human Resource Management................................................7
2.1.2 Objectives of Human Resource Management.......................................................8
2.1.3 Functions of Human Resource Management........................................................92.1.4 Human Resource Management Environment......................................................12
2.1.5 Functional Areas/ Scope of Human Resource Management...............................14
2.2 RECRUIMENT AND SELECTION......................................................................14
2.2.1 Human Resource Planning..................................................................................14
2.2.2 Meaning of Human Resource Planning ..............................................................15
2.2.3 Strategies for Manpower Planning......................................................................15
2.2.4 Reasons for Human Resource Planning..............................................................16
2.3 The HR Planning Process........................................................................................162.3.1 Situation analysis and Environmental scanning..................................................17
2.3.2 Forecasting future demand for employees ........................................................17
2.3.3 Analysis of the supply of current Employees......................................................17
2.3.4 Action decisions in Human Resource Planning..................................................17
Variances.........................................................................................................................19
End 19
If surplus.......................................................................................................................19
If Shortage....................................................................................................................19
Layoff, Redundancy, Termination...............................................................................19
End 19
End 19
2.4 Job Analysis..............................................................................................................19
2.4.1 Job Description...................................................................................................20
2.4.2 Job Specification.................................................................................................20
v
7/28/2019 Shah Mahmood HR Practices
7/73
2.4.3 Purpose and Uses of Job Analysis.......................................................................20
2.4.4 Steps in Job Analysis process..............................................................................22
2.5 Recruitment..............................................................................................................24
2.5.1 Objectives of recruitment....................................................................................28
2.5.2 Factors affecting Recruitment.............................................................................29
2.5.3 Sources of Recruitment.......................................................................................31
Form Manpower Addition Plan....................................................................................33
Identify Campuses to Recruit on..................................................................................33
Conduct pre-placement Tasks ......................................................................................34
Check application form of candidates..........................................................................34
Cross check for inconsistencies....................................................................................34
Make job offers............................................................................................................34
2.5.4 Modern sources or techniques of Recruitment....................................................35
2.6 SELECTION.............................................................................................................37
2.6.1 Selection Procedure.............................................................................................37
2.6.2 Application Form ...............................................................................................38
2.6.3 Written Examination: .........................................................................................38
2.6.4 Preliminary Interview .........................................................................................38
2.6.5 Group Discussions ..............................................................................................39
2.6.6 Tests.....................................................................................................................39
2.6.7 Interview (Mutual exploration)...........................................................................41
2.6.8 Types of Interview...............................................................................................41
2.6.9 Reference Checks ...............................................................................................44
2.6.10 Medical Examination .......................................................................................44
2.6.11 Job Offer: ..........................................................................................................44
3 CHAPTER 3 METHDOLOGY OF THE STUDY.............................................45
3.1 Target Population.....................................................................................................45
3.2 Sampling Technique ................................................................................................45
3.3 Sample Size...............................................................................................................453.4 Procedure..................................................................................................................45
3.5 Time Frame...............................................................................................................45
3.6 Research Tools..........................................................................................................45
3.6.1 Primary Data........................................................................................................45
3.6.2 Secondary Data....................................................................................................46
3.7 Data Presentation.....................................................................................................46
4. CHAPTER 4 ANALYSIS AND FINDINGS........................................................46
4.1 Recruiting and Selection Process at SCA...............................................................46vi
7/28/2019 Shah Mahmood HR Practices
8/73
47
4.1.2 Vacancies.............................................................................................................47
4.1.3 Vacancy Announcements....................................................................................47
4.1.4 Receiving of Applications...................................................................................48
4.2 Selection.....................................................................................................................48
4.2.1 Processing of Applications..................................................................................48
4.2.2 Employment Committee......................................................................................48
4.2.3 Sifting of CVS/ Rsums..................................................................................49
4.2.4 Written Exams.....................................................................................................52
4.2.5 Interview..............................................................................................................52
4.2.6 Practical Preparation for Interview......................................................................53
4.2.7 Candidates Expenses..........................................................................................534.2.8 Final Selection.....................................................................................................54
4.2.9 References...........................................................................................................54
4.2.10 Medical Check-up.............................................................................................55
4.2.11 Job Offer............................................................................................................55
4.2.12 Employment Contract........................................................................................55
4.3 Staff Induction & Mentorship.................................................................................56
4.3.1 The main objectives of Induction at SCA...........................................................57
4.4 Findings.....................................................................................................................615. CHAPTER 5 CONCLUSION AND RECOMMENDATIONS .........................62
5.1 Conclusion.................................................................................................................62
5.2 Recommendations....................................................................................................63
5.3 References.................................................................................................................65
vii
7/28/2019 Shah Mahmood HR Practices
9/73
1. CHAPTER 1 INTRODUCTION
1.1 Introduction
With arrival into the final semester of (BBA), the researcher enthusiastically started waiting
for the time to come to undergo a project. Being a student of Management specialization, theresearcher was very much interested to write something about NGOs in Afghanistan which
are involved in development sector. As per the researcher interest and guidance of respected
supervisor, the researcher started his project on Non Government Organization usually called
NGO.
The NGOs sector is playing an increasingly larger role in providing social services to poor
rural and urban communities of the country. These nonprofit development organizations
from formal to non formal schools, to hospital to health care centers, to homes and
emergency services, to community micro-creditors and neighborhood associations, and many
more reflect a keen desire for brining about a social renewal change but they also face major
challenges in doing so.
During this project, the researcher found that Swedish Committee for Afghanistan (SCA) is a
learning organization; where currently he is working as Human Resource Senior Officer. I
saw how do the organization cope and tackle crucial situations at challenging moments. It
was a great chance to explore human minds and human behaviors. SCAs staff is supportive
and cooperative. I tried my level best to incorporate the entire and fundamental aspects of my
learning in the recruitment and selection practices, of Human Resource section of SCA in the
project report.
Recruitment and selection are two of the most important functions of personnel management.
Recruitment precedes selection and helps in selecting a right candidate.
Recruitment is a process to discover the sources of manpower to meet the requirement of the
staffing schedule and to employ effective measures for attracting that manpower in adequate
numbers to facilitate effective selection of efficient personnel.
Staffing is one basic function of management. All managers have responsibility of staffing
function by selecting the chief executive and even the foremen and supervisors have a
staffing responsibility when they select the rank and file workers. However, the personnel
manager and his personnel department is mainly concerned with the staffing function.
1
7/28/2019 Shah Mahmood HR Practices
10/73
Every organization needs to look after recruitment and selection in the initial period and
thereafter as and when additional manpower is required due to expansion and development
of business activities.
Right person for the right job is the basic principle in recruitment and selection. Ever
organization should give attention to the selection of its manpower, especially its managers.
The operative manpower is equally important and essential for the orderly working of an
enterprise. Every business organization/ unit needs manpower for carrying different business
activities smoothly and efficiently, and for this recruitment and selection of suitable
candidates is essential. Human resource management in an organization will not be possible
if unsuitable persons are selected and employment in a business unit.
The success of any organization or business depends as much on appropriate, effective, well-
communicated, HR and business practices as it depends on meeting the requirements of
mandated laws and regulations. In fact, good planning and the development of effective
practices make regulatory compliance much easier.
HR practices helps in increasing the productivity and quality, and to gain the competitive
advantage of a workforce strategically aligned with the organizations goals and objectives.
The best practices in the management of human resources are the ones which optimize a
workforce so that it can not only get work done, but also ensure a greater level of
efficiency, timeliness and quality as it accomplishes increases productivity overall.
Hence the job of the best practices human resources firm is to make sure that these benefits
and pay scales meet the companys budget while remaining attractive and competitive
enough to pull in the very best talent possible. We should know that these figures put the
organization in a good light while also presenting themselves as engaging and competitive
for companys recruitment efforts.
The main objective of HR Practices is to differentiate the organization from its competitors
by effective and efficient HR Practices. By following this, the organization does its whole
work process. The objective of HR Practices is to increase productivity and quality, and to
gain the competitive advantage of a workforce strategically aligned with the organizations
goals and objectives.
2
7/28/2019 Shah Mahmood HR Practices
11/73
1.2 Research Question
To study and understand what is the current recruiting and selection practices at SCA? What
are the possible flaws and recommending ways to improve there practices
1.3 Objective of the ProjectAs we know the whole function of HR department depends upon the HR Practices of the
organization. The HR management is done according to the HR Practices of the company.
Which things to be done and which things should not be done depend upon this only. It also
helps the organization to achieve the target of the organization.
So the study of the Recruiting & Selection Practices means basically the brief study of all
the steps involved in the process and which is carried out by the organizations. I believe the
HR Practices especially the recruitment and selection process is a fundamental and essential
activity of an organization, which helps the organization to achieve the goal of the
organization.
All NGOs are having their recruiting and selection process, but the company who is having
the best, is the most successful organization among its competitors. So the company can get
success within its competitors by applying best, and effective HR Practices.
The main objective of the project is:
o Understanding of the non-profit civil society organizations that are moving beyond,
concentrating on relief related activities.
o To provide a backdrop of requirements and concerns leading to the formation of
Human Resource activities in SCA.
o To understand the recruitment and selection practices in NGOs followed
o To understand how the organization would achieve its goals by having and
implementing good recruiting and selection practices.
o To understand the work culture of NGOs.
HR function is very important in every organization. It helps the organization to manage not
only the people of the organization but to manage all the working processes in it also. The
HR department is a strategic partner for the organizations management. The HR department
is a key player in organizational changes.
3
7/28/2019 Shah Mahmood HR Practices
12/73
HR has a prominent role in creating a bridge that links the employees with the organization
and vice versa, working in a consultative manner and developing the Human Resource
processes.
Recruiting people and further developing their skills are two of the major functions of HR
that are essential for achieving the organizations objectives. In this regard it is important to
ensure that the right professional people are assigned to the right jobs, and that relevant
training programs are provided to maximize the input of every employee.
Fundamental to the HRM policy is a focus on equal opportunity and non discrimination. This
should be reflected in recruitment, work environment, training and career development
opportunity.
At present, HR at NGOs has a direct service function role mainly engaged in staffing,
training and development, motivation and maintenance of the staff members.
Another focus in NGOs HR departments work is an ambition to create a participatory,
transparent and a good work atmosphere in a multicultural environment.
As a Sum we can define HR as follow:
o HRM is concerned with the people dimensions in management. Since every
organization is made up of people, acquiring their services, developing their skills,
motivating them to higher levels of performance and ensuring that they continue to
maintain their commitment to the organization are essential for achieving
organizational objectives.
o HRM is planning, organizing, directing and controlling, development, compensation,
integration, maintenance and separation of human resources to the end so that
individual, organizational and social objectives are accomplished.
1.4 Limitation of the Study
SCA is running four major programs, its working area covers almost the programs in the
fields of Disability, Education, Health, and Rural Development, and so I just confined myself
to the activities of HR section. The information regarding the programs is not in detail
because of the vast activities of the programs implemented by SCA.
4
7/28/2019 Shah Mahmood HR Practices
13/73
The time factor is also a major reason for the limitation, as I am the economic supporter of
my family, with it was a short span of time to analyze the activities in depth. There are many
other NGOs also working on the same approaches, so I just confined my self with SCA. It
was not possible to state or collect data about the rest of the NGOs. However an analysis
about the overall operations and activities of the Recruitment & Selection Practices is made
The other major constraint was, the contradiction between the opinions of managers and
other staff during the interview
1.5 Significance of the Study
The task performed and accomplished will benefit all the students in general and particularly
Human Recourse students. Further the management SCA and the NGOs can also use the
information, which will guide them in their course of duty and supervision.
1.6 Scheme of the study
The research report has been divided into five chapters regarding different topics
o Chapter 1: covers the overview and background of the study in order to create an
interest of the readers to further continue the study. Limitation of the study is also
included in this chapter
o Chapter 2: is specified for literature review
o Chapter 3: comprises research methodology and design
o Chapter 4: covers the analysis in which the recruiting and selection practices in SCA
is discussed
o Chapter 5: this chapter contains the discussion, conclusion, and recommendations of
the researcher
5
7/28/2019 Shah Mahmood HR Practices
14/73
2. CHPTER 2 LETRATURE RIVIEW
2.1 Managing and Definition of Human Resource Management
Human Resource Management means:
The management of human resources is viewed as a system in which participants seeks toattain both individuals of group goals.
If an analysis is made of this definition it will be seen that personnel management involves
procedures and practices through which human resources are managed (i.e. organized and
directed) towards the attainment of the individual, social and organizational goals. By
controlling and effectively using manpower resources, management tries to produce goods
and services for the society.
Definitions:
Human Resource Management involves all management decisions and practices that directly
affect or influence the people, or human resources, who work for the Organization. An
organizations employees enable an Organization to achieve its goals, and the management
of these human resources is critical to an organizations success.
According to Process Systems View Human Resource Management means:
The systematic planning, development, and control of a network of inter related processesaffecting and involving all members of an Organization.
Key Terms used in this definition:
Process: Process is an identifiable flow of interrelated events moving towards some goal,
consequence and end. An example of the human resource management is the staffing
process, a flow of events that results in the continuous filling of positions within the
Organization. These events include such activities as recruiting applicants, making hiring
decisions, and managing career transitions such as transfers and promotions.
o Flow: Flow implies movement through time and in the direction of a result
o Inter-related: implies interaction within the process and between events
o Goal and Consequence (Purpose): suggest a human objective
o Events: are activities, happenings or change
6
7/28/2019 Shah Mahmood HR Practices
15/73
o End: implies some conclusion or consequence that may not necessarily be sought or
planned by man.
System: System is a particular set of procedures or devices designed to control a process in a
predictable way e.g. Staffing System of the Organization.
As a process HR practice includes:
1) Human Resource Planning
2) Job and Work Design
3) Staffing
4) Training and Development
5) Performance Appraisal and Review
6) Compensation and Reward
7) Employee protection and representation
8) Organization Improvement
Human Resource Management is the planning, organizing, directing and controlling of the
procurement, development, compensation, integration, maintenance and separation of human
resources to the end that individual, organizational and societal objectives are
accomplished."1
This definition is a comprehensive and covers both the management functions and the
operative functions. The purpose of all these functions is to assist in the accomplishment of
basic objectives.
2.1.1 Characteristics of Human Resource Management
1) Human Resource Management is concerned with managing people at work. It covers
all levels of personnel, including blue collared employees and white collared
employees;
2) It is concerned with employees, both as individuals as well as group
3) Human Resource Management is concerned with helping the employees to develop
their potentialities and capacities to the maximum possible extent, so that they may
derive great satisfaction from their jobs
1 By Edward Flippo7
7/28/2019 Shah Mahmood HR Practices
16/73
4) It is a major part of the general management function and has roots and branches
extending throughout and beyond each Organization
5) Human Resource Management is of a continuous nature
6) Human Resource Management attempts at getting the willing co-operation of the
people for the attainment of the desired goals.
HRM can be of full value to an Organization only when it is consistently throughout out and
applied at all levels and to all management functions; in corporate policies, in the systems,
procedures and in employment practices, etc. this integrative aspect of HRM is, therefore, of
vital importance.
2.1.2 Objectives of Human Resource Management
Objectives are pre-determined ends or goals at which individual or group activity in an
Organization is aimed. Objectives can be divided in to two parts:
Primary Objectives:
1) HRMs main goal is the creation of a workforce with the ability and motivation to
accomplish the basic organizational goals;
2) They relate to the satisfaction of the personal objectives of the members of an
Organization through monetary and non monetary devices;3) They relate to the satisfaction of community and social objectives, such as serving the
customers honestly, promoting a higher standard of living in the community, bringing
comfort and happiness to the society, protecting women and children and providing
for aged personnel;
4) To utilize human resource effectively;
Employee
Relations
Employee
Relations
Industrial
Relations
Industrial
Relations
Personnel
Administration
Personnel
Administration
HRMHRM
8
7/28/2019 Shah Mahmood HR Practices
17/73
5) To establish and maintain a productive and self respecting relationship among all
members of an Organization;
6) To establish and maintain an adequate organizational structure;
7) To bring about maximum individual development of the members of an
Organization;
8) to maintain a high morale and better human relations inside an Organization by
sustaining and improving the conditions which have been established so that
employees may stick to their jobs for a longer period;
Secondary Objectives
The secondary objectives aim at achieving the primary objectives economically, efficiently
and effectively.
2.1.3 Functions of Human Resource Management
According to different authors HRM functions can be divided in to different categories.
Some of the categories are as follows:
1. General and Specific functions;
2. Personnel administration and Industrial relations functions.
3. Managerial and Operative functions
1) General and Specific functions
A) General Functions:
o To conduct personnel research
o To assist in the programs of personnel administration
o To develop appraisal plans
o To launch education and training programs
o To develop a competent work force
o To establish and administer varied personnel services delegated to personnel
department
B) Specific Functions:
o Employment
o Safety
o Wage and salary
9
7/28/2019 Shah Mahmood HR Practices
18/73
o Benefit Schemes
o Community relations and
o Advice and counseling the employees
2) Personnel Administration and Industrial Relations Functions
A) Personnel Administration:
These functions relate to the function of managing people from the lower to the upper level
of the Organization and embraces policy determination as well as implementation of policies
by the personnel at the lower levels;
B) Industrial Relations Functions
These functions relate to interactions between the management and the representatives of the
unions. Such functions involve all activities of employer employee relationship, such as
Organization of the union members, negotiations of contracts, collective bargaining,
grievance handling, disciplinary actions, arbitration etc- the purpose of all these being to
prevent conflict between two parties.
3) Managerial and Operative Functions
A) Managerial Functions
Management is Personnel administration. It is the development of the people and not the
direction of the things. Managing people is the heart and essence of being a manager. Thus, a
Human Resource Manager is a manager and as such he performs the basic functions of
management.
Inputs
Human and
EconomicResources
interacting
withenvironment
al changes
Planning
Determination
of short to
long range
plans to
Organizing
Development
of the
organization.
structure
Directing
Stimulation
andmotivation of
Organization
personnelaccording to
predetermined
lans
Controlling
Assurance that
directed actionis taking place
according to
predeterminedplans.
10
7/28/2019 Shah Mahmood HR Practices
19/73
Feedback of significant deviations from planned performance
B) Operative Functions
These functions are concerned with the activities specifically dealing with procuring,
developing, compensating and maintaining an efficient work force. These functions are also
known as service functions.
o Procurement Function
o Development function
o Compensating function
o Integrating function
o Maintenance function
Functions of Personnel Office/ Personnel Management
Functions of Personnel Office
Outputs
Goods and
services needed
by theorganization
customers
11
7/28/2019 Shah Mahmood HR Practices
20/73
Managerial Functions Operative Functions
PlanningOrganizing Directing Controlling
Employment HRD Compensation Human Relations Placement
H R P
Recruitment
Selection
Induction
Performance appraisal
Wages
Mgt development
Career planning
Job evaluation
Wages & salary
Quality circles
Motivation
Morale
Organization change &
development
2.1.4 Human Resource Management Environment
HR manager cant perform his/ her job in a vacuum as a number of environmental factors
affect the HRM. In fact, these factors influence the Organization through human resources.Environment (with special reference to Human Resource Management): means the
totality of all factors, which influence both the Organization and HRM sub system.
Environmental Scanning of HRM
External environment
TechnologicalMarketing
Government & Legal Customers
Organization Politics Production
Political Trade Unions
Finance Organization Structure
Economic Social & Religious
The environment furnishes the macro context and the Organization is the micro unit. The
external environment is comprised of those factors, which affect an organizations human
resources from outside the Organization. Important among them are:
Economic
Social
HRM
12
7/28/2019 Shah Mahmood HR Practices
21/73
Political
Governmental
Legal
Technological
Manpower in the country
Tradition and culture
Customers
Other organizations
Trade Unions in other organizations
Internal Environment
The internal environment also affects the job of a personnel manager. The internalenvironmental factors include Organization objectives, policies, organizational structure, and
the functional areas of the Organization with which the personnel manager works
continuously like finance, marketing and production. Impact of internal environment factors
is profound as they frequently and closely interact with HRM function in an Organization.
External Environment
The influence of external environment on HRM is also equally important, though the severity
is comparatively less. People are essentially self-managing. In other words, while people
manage other resources, they manage personnel. People themselves decide about the nature,
time, and place of their employment. And people react to the changing conditions and to the
techniques of management unlike money, material and machine. The changes includes in the
external environment are:
Technological obsolescence;
Cultural and social changes;
Changes in the policies of government
Politics and the like
With the result, the work environment changes thereby affecting their productivity level.
Considering the complexities and the challenges in the HRM now and in near future
management has to develop sophisticated techniques and efficient specialists to among the
personnel on sound lines
13
7/28/2019 Shah Mahmood HR Practices
22/73
2.1.5 Functional Areas/ Scope of Human Resource Management
1) Organizational planning, development and task specification
2) Staffing and Employment
3) Training and Development
4) Compensation, Wage and Salary administration
5) Motivation and Incentives
6) Employee services and Benefits
7) Employee records
8) Labor and Industrial Relations
9) Personnel Research and Personnel Audit
2.2 RECRUIMENT AND SELECTION
2.2.1 Human Resource Planning
Planning has been visualized as a thought proper to action, embracing a scheme of action
involving the determination of the strengths and weaknesses in the choice of the best course
of action from the standpoint of strategy and programs.
14
7/28/2019 Shah Mahmood HR Practices
23/73
The term Plan is defined as a forecast of future attainment and forms a written statement of
what will be the outcome of this action specifying a time period ranging from one year to
five years.
2.2.2 Meaning of Human Resource Planning
It is the process used by organizations for assessing the supply and demand for future human
resources. In addition, an effective HR plan also provides the mechanisms that will be used
to eliminate any gaps that may be exist between supply and demand. Thus HR planning is
process that is used to determine the number of employees to be recruited in to the
organization or the phased out of it.
Human Resource Planning as a process involving the following activities:
1. Forecasting of future human resource requirements
2. Task of inventorying present resources and assessing the extent to which these resources
are optimally utilized
3. Anticipation of human resources problem
4. Planning of necessary human resource program
2.2.3 Strategies for Manpower Planning
Manpower planning involves the application of a set of 9 strategies
1) Collect, maintain and interpret relevant information regarding human resources
2) Report periodically manpower objectives, requirements and existing employment and
allied features of manpower
3) Develop procedures and techniques to determine the requirements of different types
of manpower over a period of time from the standpoint of organizational goals and
modify these goals, if they make unrealistic demands for human resources
4) Develop measures of manpower utilization as a component of forecasts of manpower
requirements along with if possible- independent validation
5) Employ- if suitable- techniques leading to effective allocation of work with a view to
improving manpower utilization;
6) Conduct research to determine factors hampering the contribution of the individuals
and groups to the organization with a view to modifying or removing these handicaps
7) Develop and employ methods of economic assessment of human resources reflecting
its features as income generator and cost and accordingly improving the quality of
decisions influencing manpower
15
7/28/2019 Shah Mahmood HR Practices
24/73
8) Evaluate the procurement, promotion and retention of the effective human resources
in the context of the forecast requirements of the enterprise; &
9) Analyze the dynamic process of recruitment, promotion and loss to the organization
and control these processes and organization structure with a view to encouraging the
maximum individual and group performance without involving excessive costs.
2.2.4 Reasons for Human Resource Planning
All organizations perform human resource planning, either formally or informally. The major
reasons for employment planning are:
1) More effective and efficient use of human resources
Human resources planning should precede all other HRM activities. Careful analysis
of all HRM activities shows that their effectiveness and efficiency, which result in
increased productivity, depend on human resource planning.
2) More satisfied and better developed employees
Employees who work for organizations that use good human resource planning
systems have a better chance to participate in planning their own careers and to share
in training and development experiences. Thus they are likely to feel their talents are
important to the employer, and they have a better chance to utilize those talents;
3) More effective equal employment opportunity planning
The govt. has increased its demands for equal employment opportunities. In sum,
effective human resource planning ensures that HRM activities and program will be
built on a foundation of good planning. Proper planning should cut down on the
number of surprises that occurs involving human resource availability, placement and
orientation.
2.3 The HR Planning Process
HR Planning involves four distinct phases or stages
1) Situation analysis or environmental scanning;
2) Forecasting human resource records
3) Human resource supply analysis
4) Action plan development
16
7/28/2019 Shah Mahmood HR Practices
25/73
2.3.1 Situation analysis and Environmental scanning
The first stage in HR Planning is where the HRM function and strategic planning initially
interact. The strategic plan must adapt to environmental circumstances, and the HRM
function is one of the primary mechanisms that an organization can use during the adaptation
process. For e.g. rapid changes in the technological environment can force an organization to
quickly identify and hire employees with new skills that previously werent needed by the
organization.
Without an effective HR plan to support the recruitment and selection function in the
organization, it will be impossible to move fast enough to stay competitive. Thus,
organizations are becoming more dependent on an ability to gather relevant information
about their environment and to react to this information.
2.3.2 Forecasting future demand for employees
The next phase of an effective HR Planning process is estimating not only how many but
what kinds of employees will be needed in the future. Forecasting yields these advanced
estimates or calculations of the organizations staffing requirement. Although there are many
quantitative tools to help with forecasting, it isa process that involves a great deal of human
judgment. In addition, many successful HR planners also rely heavily on their gut instincts
about future conditions. For e.g. planners at Unilever attribute much of their global successes
to such instincts.
2.3.3 Analysis of the supply of current Employees
The third phase of HR Planning id designed to answer the question How many and what
kind of employees do I currently have in terms of the skills and training necessary for the
future? It should be obvious that this phase of HR Planning involves much more that simply
counting the number of current employees in the organization.
The major tool used to assess the current supply of employees is the Skill Inventory. It is a
list of names, certain characteristics and skills of the people working for the organization. It
provides a way to acquire these data and makes them available where needed in an efficient
manner.
2.3.4 Action decisions in Human Resource Planning
After the HR Planning system has analyzed both the supply of and demands for future
workers, these two forecasts are compared to determine what, if any, action should be taken.
17
7/28/2019 Shah Mahmood HR Practices
26/73
Whenever there is a discrepancy between these two estimates, the organization needs to
choose a course of action for elimination the gap.
No matter how good the HR Planning system is, an exact match between supply and demand
forecasts is rare. Even when overall estimates are similar, there are frequently important gaps
in certain subgroups. These data become inputs to facilitate decisions about training,
promotion, demotion and similar decisions.
Action decisions with a shortage of employees
When employment specialists comparing demand to supply find the supply of workers is less
than the demand, several possibilities are open to the organization. If the shortage is small
and employees are willing to work overtime, it can be filled with present employees. If there
is shortage of highly skilled employees, training and promotions of present employees,
together with the recruitment of lower skilled workers, are possibilities.
Action decisions in surplus conditions
When comparison of employee demand and supply indicates a surplus, the alternative
solutions include attrition, early retirements, demotions, layoffs, and terminations. Employee
decisions in surplus conditions are some of the most difficult decisions managers must make,
because the employees who are considered surplus are seldom responsible for the conditions
leading to the surplus. A shortage of raw material such as fuel or a poorly designed or
marketed product can cause an organization to have a surplus of employees.
Human Resource Planning Process
Strategic Management Human Resource Human ResourceDecisions Demand Supply
Technological Forecasts
Economic Forecasts
Market Forecasts
Organizational Planning
Investment Planning
Annual Operating Plans
Annual Employment
Requirements
Numbers
Skills
Occupational Categories
Existing Employment
Inventory
After Application of
Expected Loss and Attrition
rates
18
7/28/2019 Shah Mahmood HR Practices
27/73
Comparison
If None
In short, Human Resource Planning is a process by which the management of an
organization ensures that it has the right number and kind of people at the right places and at
the right times to successfully achieve its overall objectives. Human Resource planning
differs from Manpower Planning in the sense that the former is primarily concerned with the
human aspects of people, the latter mainly concentrates on the power of the people.
2.4 Job Analysis
Job Analysis is one of the most important functions of Human Resource Manager.
Performance Appraisal, Job Designing, Personnel selection, employee training, career
development and planning are among the many activities that depends upon the information
gathered in the job analysis.
Job Analysis is a written record of actual requirements of the job activities.
Definitions:
Job Analysis is the process of determining and reporting pertinent information relating to
the nature of a specific job (Bayers and Rue)
It is the determination of tasks, which comprise the job of the skills, knowledge, abilities, and
responsibilities required of the holder for the successful job performance. Putting it in other
words it is the process of getting information about the job incumbents skills, education and
training to carry out the job effectively and terms on time for completion, performance
standard.
Variances End
If surplus
Layoff, Redundancy,
Termination
End
If Shortage
Overtime, Part time
workers, Hiring
End
19
7/28/2019 Shah Mahmood HR Practices
28/73
It is procedure by which pertinent information is obtained about a job, i.e. it is detailed and
systematic study of information relating to the operations and responsibilities of a specific
job.
A job analysis results in two important documents:
Job Description;
Job Specification.
2.4.1 Job Description
Job description is written record of the duties, responsibilities and requirements of particular
jobs. It is concerned with the job itself and not with the work. It is a statement describing the
job in such terms as its title, location, duties, working conditions and hazards. In other words,
it tells us What to be done, and how it is to be done and why. It is a standard of function, in
that it defines the appropriate and authorized contents of a job.
2.4.2 Job Specification
Job specification is a standard of personnel and designates the qualities required for an
acceptable performance. It is a written record of the requirements sought in an individual
worker for a given job. In other words, it refers to a summary of the personnel characteristics
required for a job. It is a statement of the minimum acceptable human qualities necessary for
the proper performance of a job.
2.4.3 Purpose and Uses of Job Analysis
Job Analysis is not useful but an essential part of organizational strategies to serve the
following purposes:
o Organization and Manpower Planning
o Recruitment and Selection
o Wage and Salary Administration
o Job Re-Engineering
o Employee Training and Management Development
o Performance Appraisal
o Health and Safety
o Employee Orientation
20
7/28/2019 Shah Mahmood HR Practices
29/73
o Utilizing Personnel
1) Organization and Manpower Planning: It is helpful in organization planning, for it
defines labor needs in concrete terms and coordinates the activities of the work force,
and clearly divides duties and responsibilities;
2) Recruitment and Selection: By indicating the specific job requirements of each job
(i.e. the skills and knowledge), it provides a realistic basis for the hiring, training,
placement, transfer and promotion of personnel. Basically, the goal is to match the
job requirements with a workers aptitude, abilities and interests. It also helps in
charting the channels of promotion and in showing lateral lines of transfer;
3) Wage and Salary Administration: By indicating the qualification required for doing
a specified job and the risks and hazards involved in its performance, it helps in
salary and wage administration. Job analysis is used as a foundation for job
evaluation;
4) Job Re-Engineering: Job Analysis provides information, which enables us to change
jobs in order to permit their being managed by personnel with specific characteristics
and qualification.
5) Employee Training and Management Development: Job Analysis provides the
necessary information to the management of training and development programmes.
It helps to determine the content and subject matter of in training courses. It alsohelps in checking application information, interviewing, weighing test results, and in
checking references.
6) Performance Appraisal: It helps in establishing clear cut standards which may be
compared with the actual contribution of each individual;
7) Health and Safety: It provides an opportunity for identifying hazardous conditions
and unhealthy environmental factors so that corrective measures may b taken to
minimize and avoid the possibility of accidents.
8) Employee Orientation: Effective job orientation cannot be accomplished without a
clear understanding of the job requirements. The duties and responsibilities of a job
must be clearly defined before a new employee can be taught how to perform the job.
9) Utilizing Personnel: Job Analysis information can help both employees and
managers, pinpoint the root of a problem if employee functions are not adequate.
21
7/28/2019 Shah Mahmood HR Practices
30/73
In sum, it may be noted that job analysis is a systematic procedure for securing and
reporting the information, which defines a specific job.
2.4.4 Steps in Job Analysis process
The major steps to be followed in carrying out job analysis in an organization can be
described as follows:
Contents of Job Analysis
Develo a ob s ecification
Develo a ob descri tion
Collection of ob anal sis data
Review & U date of information
22
7/28/2019 Shah Mahmood HR Practices
31/73
Step 1: Studying job vis a vis the organization:
Review the available background information through organization workflow or process
charts. Studies the job inter relationships. Often, a restructuring, down sizing, merger, or
rapid growth will initiate this review.
Step 2: Selection of uses of job analysis information:
Be selective regarding the future uses of job analysis. The employee or the manager may
request a job analysis to determine the appropriate compensation, but they also be interested
in formally documenting changes in recruitment, placement and training for a particular job.
Step 3:Identify the job to be analyzed:
It is always advisable to choose flow representative and key positions for job analysis, thus
avoiding unnecessary time and financial expenditure.
Step 4: collection of Job Analysis data:
Manager should consider using a number of different methods of data collection because it is
unlikely that any one method will provide all the necessary information needed. Three of the
most popular form of data collection is:
o Observation of tasks and behavior with the job incumbent i.e. both physical and
mental activities
o Interviews
o Questionnaires and checklists
Step 5: Develop a Job Description:
Highlight the major tasks, pertaining to effective job performance through the written
description;
Identif the ob to be anal zed
Selection of uses of ob anal sis information
Stud in ob vis a vis the or anization
23
7/28/2019 Shah Mahmood HR Practices
32/73
Step 6: Develop a Job Specification:
Transcript the information obtained after step 4 highlights what personal qualities, trait,
skills, and background is necessary for optimal job performance.
Job Performance
Observation Degree of
Interview interactionCritical incident technique with personal
Data Collection methods Questionnaires
Diary methodTraining material
Dictionary of occupation
Step 7: Review and update of information:
If no major changes have occurred in the organization, then a complete review of all jobs
should be performed every three years.
A job Analysis provides the following information:
1. Job Identification
2. Significant characteristics of a job
3. What the typical worker does
4. Which materials and equipment of a worker uses
5. How a job is performed
6. Required personnel attributes
7. Job relationship
It is obvious from the foregoing that a job analysis is usually a clear indication of a job
description and job specification.
2.5 Recruitment
Successful human resource planning should identify our human resource needs. Once we
know these needs, we still want to do something about meeting them. The next step in the
acquisition function, therefore, is recruitment. This activity makes it possible for us to
acquire the number and types of people necessary to ensure the continued operation of the
organization.
24
7/28/2019 Shah Mahmood HR Practices
33/73
Recruitingis the discovering of potential candidates for actual or anticipated organizational
vacancies or from other perspective, it is a linking activity- bringing together those with jobs
to fill and those seeking jobs.
Recruitment a process to discover the sources of manpower to meet the requirements of the
staffing schedule and to employ effective measures for attracting that manpower in adequate
numbers to facilitate effective selection of an efficient working force (Yoder & others)
OR
It is a process of searching for prospective employees and stimulating and encouraging them
to apply for jobs in an organization. It is often termed positive in that it stimulates people to
apply for jobs to increase the hiring ratio (i.e. number) of applicants for a job. (Flippo)
If we technically discuss, the function of recruitment precedes the selection function and it
includes only finding, developing the sources of prospective employees and attracting them to
apply for jobs in an organization, whereas the selection is the process of finding out the most
suitable candidate to the job out of the candidates attracted (recruited).
One of the most important decisions for many recruiters or people in positions who have to
recruit is to find the best candidates for the jobs they have.
It is a very costly exercise to recruit and destructive if the wrong candidates are found. Since
one is dealing with humans, and all humans being different, this makes this challenge even
more hard but very rewarding.
Careful planning and implementation of a well-structured recruitment campaign is the main
way todays managers and human resource teams can hope to find the best.
Analyzing the position
Before you can even attempt to recruit you need to review the job in question. The objective
being to get enough information on the skills and knowledge that is required to perform the
job. Here are a few suggestions for you to ponder and act on:
Take a close look at the official job description, paying attention to established performance
standards
25
7/28/2019 Shah Mahmood HR Practices
34/73
Consider the environment in which the job is performed. Are there any special skills
required? E.g. A sales position will require somebody with strong interpersonal and
questioning skills.
Determine the product produced by the job and what is requires ensuring consistent quality
of that product
Examine future business plans for the organization. One of my colleagues joined a
company and within 6 months was asked to relocate. He was also told his job role would
slightly change to more office base work rather than field work. However, at the time of
interview he was not told this, hence he left.
Always get the supervisors input into the position
Talk with others who interact with the person who runs the position
If possible, talk to those who ran the job in the past. What skills they feel are required to
perform the job.
The above technique is known as introspective investigation. By doing this we gather the
required information for hiring. There are no shortcuts, but if you we serious about matching
the right person for the right job, we must invest time at the initial stages of the process
leading to fruitful results.
Once we have finished our investigations, we need to now list our skills and competencies
we have found. Split these up into groups to make it easier for yourselves.
(a) Technical Competencies
(b) Functional Skills
(c) Self Management Skills
(d) Interpersonal Skills
(e) Requirements of Corporate Culture
(a) Technical Competencies
Includes things like certificates, degrees, licenses, experience and so on, for example an
accountant may need a business degree and human resources manager may need personnel
management degree.
26
7/28/2019 Shah Mahmood HR Practices
35/73
(b) Functional Skills
Skills that are required to help function effectively on the job; below are some common
examples of functional skills:
Communication Management Analysis Supervision
Leadership Delegation listening ability Independence
Risk taking Attention to detail Judgment Initiative
Resilience Flexibility Adaptability Innovation
Negotiation Planning Training Sales ability
Stress Mgt Team work Presentations Motivating
The functions required in organizations vary depending on the job. For example a sales
executive position may require someone with above average communication skills as well as
being very well organized.
Remember, these skills can be learnt. In fact, when recruiting, one has to bear in mind, can
the candidate whose skills may not fit the bill, attain these skills over a specific period of
time through training and courses.
(c) Self Management Skills
Self-management refers to personal characteristics that enhance ones ability to do the job.
We might want to look at some of the following:
Creativity Appearance Ethics Competence Loyalty
Accountability Reliability Popularity Honesty
Helpfulness
Unlike functional skills, self-management skills are acquired over a period of time and often
have been rooted at a young age. Self-management skills are an important part of the overall
hiring.
(d) Interpersonal Skills
These are people skills. How people get along with others, including how they
communicate, a very important concern for all of us recruiters out there.
Good interpersonal skills include:
Ability to respect others
To be empathetic and caring
To listen attentively and respond accordingly
27
7/28/2019 Shah Mahmood HR Practices
36/73
To maintain objectively and refrain from emotionalism
And to communicate accurately and appropriately
People with the above skills enjoy interacting with people. They recognize conflict to be
natural and normal. They will be ready to deal with conflict head on and find it a challenge.
Interpersonal skills are extremely helpful in any position. For some jobs, it is critical. For
someone like the bean counter, who sits in the corner of the office counting money all day
long with minimal human interaction it will not be. However, going back to the sales
executive, who is at the forefront of creating a positive company image as well as trying to
sell companys products day in day it is vital.
(e) Corporate Culture
Consider other organizational cultural factors. Every organization has a unique culture. A
manager was recruited to manage the customer service team. He was inclined towards
wearing suits. To cut a long story short, he did not see eye to eye with his staff and them with
him, therefore left. A costly experience in every sense of the word
Another cultural expectation may be that the candidate is expected to join in the voluntary
work schemes. Candidates who do not seem to conform to the culture, will not last long and
before you know will be an outcast. Like it or not, thats the way it is! Therefore, the
organizational culture is sacred and it must be taken into account when hiring a new recruit.2.5.1 Objectives of recruitment
o To attract people with multi dimensional skills and experience that suit the present
and future organizational strategies;
o To induct outsiders with a new perspective to lead the company
o To infuse fresh blood at all levels of the Organization
o To develop an organizational culture that attracts competent people to the company
o
To search or head hunt/ head pouch people whose skills fit the companys values;o To devise methodologies for assessing psychological traits
o To seek out non-conventional development grounds of talent
o To search for talent globally and not just with in the company
o To design entry pay that competes on quality but not on quantum
o To anticipate and find people for positions that does not exist yet
28
7/28/2019 Shah Mahmood HR Practices
37/73
2.5.2 Factors affecting Recruitment
The numbers of factors that affect recruitment are broadly classified in to two categories:
1) Internal Factors
2) External Factors
External Factors: The external factors include supply of and demand for human resources,
employment opportunities and /or unemployment rate, labor market conditions, political and
legal requirement and govt. Policies, social factors, information systems etc.
External factors:
o Socio Economic factors
o Supply and Demand factors
o Employment Rate
o Labor Market Conditions
Recruiting and other Human Resource Management Activities
Which Provides New
Employees for
HR
Planning Recruiting
Job
Applications Selection
Orientation
Training &Development;
Etc.
29
7/28/2019 Shah Mahmood HR Practices
38/73
o Political, Legal and Governmental factors
o Information Systems
Internal Factors:The internal factors include the companys pay package including salary,
fringe benefits and incentives, quality of work life, organizational culture, career planning,
growth opportunities, size of the company, companys product and services, companys
growth rate, role of trade unions and cost of recruitment.
Internal factors:
o Companys Pay Package
o Quality of Work-life
o Organizational Culture
o Career Planning and Growth
o Organizations Size
o
Companys Products and Serviceso Geographical Spread of the Companys Operations
o Companys Growth Rate
o Role of Trade Unions
o Cost of Recruitment
o Organizations Name and Fame.
External Environmental Influences
The Union
Government Requirements,
regulations and laws
Economic Conditions
Composition of the labor force
Location of the Organization.
Internal Environmental Influences
Strategy
Goals
Organizational Culture
Nature of the Task
Work Group
Leaders Style and Experience
HRM activities:
Equal employment opportunities
Job analysis
Recruitment
Planning
Selection
Training and development
Career planning and development
Benefits and services
Discipline
Labor relations
People
Abilities
Attitudes
Preferences
Motivation
Effectiveness Criteria
Performance
Satisfaction
Absenteeism
Turnover
Scrap rates
Grievance rates
Accident rates
Organization EndResults
Competitive Products
Competitive Services 30
7/28/2019 Shah Mahmood HR Practices
39/73
2.5.3 Sources of Recruitment
Recruitment is more likely to achieve its objectives if recruiting sources reflect the type of position to
be filled. Sources are those where prospective employees are available like employment exchanges
while techniques are those, which stimulate the prospective employees to apply for jobs like
nomination by employees, advertising, promotion etc. Certain recruiting sources are more effective
than others for filling certain types of jobs are.
The sources of recruitment are broadly classified in to two sources
o Internal sources
o External sources
Internal Sources:
The sources within organizational pursuits it includes:
a) Present permanent employees
b) Present temporary/ casual employees
c) Retrenched or retired employees
d) Dependents or deceased, disabled, retired and present employees
e) Promotions
f) Transfers
Present Permanent Employees:
Organizations consider the candidates from this source for higher-level jobs due to: (1)
availability of most suitable candidates for jobs relatively or equally to the external source,
(2) to meet the trade unions demands; (3) to the policy of the Organization to motivate the
present employees.
Present temporary or casual employees:
Organizations find this source to fill the vacancies relatively at lower levels owing to the
availability of suitable candidates or trade and pressures or in order to motivate them on
the present job.
Retrenched or Retired employees:
31
7/28/2019 Shah Mahmood HR Practices
40/73
Generally a particular Organization retrenches the employees due to lay-off. The
Organization takes of the candidates for employment from the retrenched employees due
to obligation, trade union pressure and the like. Sometimes the organizations prefer to re
employ their retired employees as a token of their loyalty to the Organization or to
postpone some inter personal conflicts for promotion etc.
Dependents of Deceased, Disabled, Retired and Present Employees:
Some organizations with a view to developing the commitment and loyalty of build up
image provide employment to the dependent(s) of deceased, disabled and present
employees. Such organizations find this source as an effective source of recruitment.
Promotions:
Most of the internal candidates would be stimulated to take up higher responsibilities and
express their willingness to be engaged in the higher level jobs if management gives them
the assurance that they will be promoted to the next higher level.
Transfers:
Employees will be stimulated to work in the new sections or places if management wishes
to transfer them to the places of their choice.
Why do organizations prefer Internal Source?
o Internal recruitment can be used as a technique of motivation
o Morale of the employees can be improved
o Suitability of the internal candidates can be judged better than the external candidates
as known devils are better than unknown angles
o Loyalty, commitment, a sense of belongings and security of the present employees
can be enhanced
o Employees psychological needs can be met by providing an opportunity for
advancement
o Employees economic needs for promotion, higher income can be satisfied
o Cost of selection can be minimized;
o Cost of training, induction, orientation, period of adaptability to the Organization can
be reduced
o Social responsibility towards employees may be discharged
o Stability of employment can be ensured
Why organizations dont prefer internal sources?32
7/28/2019 Shah Mahmood HR Practices
41/73
o It often leads to inbreeding and discouraging new blood from entering in an
Organization
o There are possibilities that internal source may dry up, and it may be difficult to
find the requisite personnel from within an Organization
o Since the learner does not know more than the lecturer does, no innovations worth
the name can be made. Therefore, on jobs which require original thinking (such as
advertising, style designing and basic research), this practice is not followed
o As promotion is based on seniority, the danger is that really capable hands may not
be chosen. The likes and dislikes of the management may also play an important role
in the selection of personnel
External Sources
External Sources are those sources, which are outside the organizational pursuits. These
sources include:
o Campus Recruitment
o Private Employment Agencies/ Consultants
o Public Employment Exchanges
o Professional Associations
o Data Banks
o Casual Applications
o Similar Organizationso Trade Unions
o Advertisements
o Employee Referrals
Campus Recruitment:
Different types of organizations like industries, business firms, and service
organizations, social or religious organizations can get inexperienced candidates of
different types from various educational institutions like colleges and universities
imparting education in science, commerce, arts, engineering and technology,
agriculture. Medicines from the training institutes Most of the universities and institutes
imparting technical education in various disciplines provide facilities for campus
recruitment and selection.
Process of Campus Recruitment
Form Manpower Addition Plan Identify Campuses toRecruit on
33
7/28/2019 Shah Mahmood HR Practices
42/73
Employment Agencies:
These agencies or consultants perform the recruitment function on the behalf of a client
company by charging fee. Line mangers are relieved from recruitment functions so they can
concentrate on their operational activities and recruitment functions are entrusted to a private
agency or consultants. These agencies are also calledExecutive Search Companies.
Public Employment Agencies:
The govt. set up Public Employment exchanges in the country to provide information about
vacancies to the candidates and to help the organizations in finding out suitable candidates.
Public sector and private sector industries have to depend on public employment exchanges
for the specified vacancies.
Professional Organizations:
Professional organizations maintain complete data of their members and provide the same to
various organizations on requisition. They also act as anexchange between their members
and recruiting firms in exchanging information, clarifying doubts etc.
Data Banks:
The management can collect the bio data of the candidate from different sources like
employment exchanges, educational Training Institutes; candidates etc. and feed them in the
Conduct pre-placement Tasks Secure place in the queue on
each campus
Check application form of candidates
Conduct written test for
knowledge
Interview intensively for
competence
Cross check for inconsistencies Identify suitable candidates
Make job offers
Advice through
final yearsspecialization
Stay in touch with those who
accept
Provide support
to ease stress
Continue
informalinteraction
34
7/28/2019 Shah Mahmood HR Practices
43/73
computer. It will become another source and the company can get the particulars as and
when they need.
Casual Applicant:
Depending upon the image of the Organization, its prompt response, participation of the
Organization in the local activities, level of unemployment, candidates apply casually for the
jobs through mail or hand over the applications in Personnel Department. This would be a
suitable source for temporary and lower level jobs.
Trade Unions:
Generally, unemployed or underemployed persons or employees seeking change in
employment put a word to the trade union leader with a view to getting suitable employment
due to latters intimacy with management.
Similar Organizations:
Generally, experienced candidates are available in organizations producing similar products
or are engaged in similar business. The management can get most suitable candidates from
this source. This would be the most effective source for executive positions and for newly
established organizations or diversifies or expanded organizations.
Advertising:
Advertising is widely accepted technique of recruitment, though it mostly provides one-way
communication. It provides the candidates in different sources, the information about the job
and company and stimulates them to apply for jobs. It includes advertising through different
media like newspapers, magazines of all kinds, radios, television etc.
Employee referrals:
Friends and relatives of present employees are also a good source from which employees
may be drawn. When the labor market is very tight, large employers frequently offer their
employees bonuses or prizes for any referrals that are hired and stay with the company for a
specific length of time.
2.5.4 Modern sources or techniques of Recruitment
o Walk In
o Consult In
o Head Hunting
o Body shopping
o Tele Recruitment
35
7/28/2019 Shah Mahmood HR Practices
44/73
o Business Alliances
Walk In
The busy organizations and the rapid changing companies do not find time to perform
various functions of recruitment. Therefore, they advise the potential candidates to attend for
an interview directly and without a prior application on a specified place. The suitable
candidates among the interviewees will be selected for appointment after screening the
candidates through tests and interviews.
Consult In
The busy organizations encourage the potential job seekers to approach them personally and
consult them regarding the jobs. The companiesselect the suitable candidates from among
such candidates through the selection process.
Head Hunting
The companies request the professional organizations to search for the best candidates
particularly for the senior executive positions. The professional organizations search for the
most suitable candidates and advise the company regarding the filling up of the positions.
Headhunters are also called search consultants.
Body shoppingProfessional organizations and the hi-tech training institutes develop the pool of human
resources for the possible employment. The prospective employers contact these
organizations to recruit the candidates. Otherwise, the organizations themselves approach the
prospective employees to place their human resources. These institutions are called body
shoppers and these activities are known as body shopping.
Business Alliances
Business alliances like acquisitions, mergers, and takeovers help in getting human resources.
In addition, the companies do also have alliances in sharing their human resources on ad-hoc
basis.
Tele Recruitment
The technological revolution in the Tele communication helped the organizations to use
Internet as a source of recruitment. Organizations advertise the vacancies through the World
36
7/28/2019 Shah Mahmood HR Practices
45/73
Wide Web (www) Internet. The job seekers send their applications through e-mail or
Internet.
2.6 SELECTION
Selection procedure is concerned with securing relevant information about an applicant. The
objective of the selection decision is to choose the individual who can most successfully
perform the job from the pool of qualified candidates.
OR
The selection procedure is the system of functions and devices adopted in a given company
to ascertain whether the candidates specifications are matched with the job specifications
and requirements or not.
The selection procedure cannot be effective until and unless:
1) Recruitments of the job to be filled, have been clearly specified (Job analysis, etc.
2) Employee specifications (physical, mental, social, behavioral, etc.) have been clearly
specified;
3) Candidates for screening have been attracted.
2.6.1 Selection Procedure
There is no standard selection process that can be followed by all organizations in all the
areas. Organizations may follow different selection techniques or methods depending upon
the size of the company, nature of the business, kind and numbers of persons to be employed,
government regulations to be followed etc.
Selection Process
Application Form
Written Examination
Preliminary Interview
Group Discussion
Tests
Final Interview
37
7/28/2019 Shah Mahmood HR Practices
46/73
2.6.2 Application Form
Also known as application blank, this technique is widely accepted for securing information
from the prospective candidates. It can also be used as a device to screen the candidates at
the preliminary stage. Information is generally required on the following items in the
application forms:
a) Personal background information
b) Educational attainments
c) Work experiences
d) Salary
e) Personal details
f) References
2.6.3 Written Examination:
The organizations have to conduct examination for the qualified candidates after they are
screened on the basis of the application blanks so as to measures the candidates ability in
arithmetical calculations, to know the candidates attitude towards the job, to measure the
candidates aptitude, reasoning, knowledge in various disciplines, general knowledge and
English language.
2.6.4 Preliminary Interview
The Preliminary interview is to solicit necessary in formation from the prospective applicants
and to assess the applicants suitability to the job. This step is useful as a process of
eliminating the undesirable and unsuitable candidates.
Temporary Job Offer
Reference Checks
Medical Examination
Job Offer
38
7/28/2019 Shah Mahmood HR Practices
47/73
2.6.5 Group Discussions
The technique of group discussion is used in order to secure further information regarding
the suitability of the candidates for the j