Human resources plays vital role in success of the commercial entity. Business organizations are required to analyze work environment in an appropriate manner to identify requirement of human resources for accomplishment of operational activities. For this aspect, organizations can do job analysis by using proper method. With this analysis, management will be able to define duties which are required to be fulfilled for each of the company's job.
For the completion of demand of human resource, recruitment is done by management of the entities. It can be defined as process in which qualified candidates is selected for the completion of organizational tasks. For this purpose, sourcing is done by business organizations. Sourcing can be termed as use of one or more strategies to identify candidates and to attract them for fulfilling job vacancies.
Organization can fulfill their requirement of human resources by using both internal and external recruitment method. Each method has its own advantages and disadvantages. Management of the corporate entities is required to consider these aspects to make selection of appropriate method for recruitment. With the use of appropriate method, they will be able to select qualified candidate for the work practices along with minimum consumption of cost and time.
Present project report is based on the significance of the job analysis to identify requirement of human resources in workplace in order to accomplish operational duties in a better manner. Further, critical analysis of internal and external recruitment methods will be done by considering pros and cons of each method. For this aspect, secondary data will be used by the researcher. By considering previous researches, description of job analysis will be provided. This research will assist the commercial entities in selecting appropriate method for recruitment of candidates in order to achieve their aims and objectives in an effective manner.
Literature review & Critical analysis
Job analysis is a procedure used for the identification and detailing of job duties and requirements along with its significance. In accordance with the view point of Lou (2007), in this process judgment is provided regarding data collected on a job (Lou, 2007). This analysis is conducted to document the crucial aspects regarding employment procedures in a work place. It includes information regarding training, selection, monetary compensation policy and criteria for performance appraisal. Pattanayak (2005) had stated that, performance of operational tasks and fulfilling duties is basic unit of job. Due to this aspect, it is essential for commercial entities to analyze duties and tasks required to be fulfilled by potential candidates prior to the initiation of process of recruitment (Pattanayak, 2005). As per the study of Prince (2011), effective job analysis comprises description of KSA (knowledge, skills and abilities) required for the performance of job.
According to Itika (2011), job analysis helps in recruiting right candidate for the operational activity. In addition to this, it assists in determination of compensation packages, incentives and additional perks required to be provided for particular position. Furthermore, right fit is created by job analysis between job and employees.
Recruitment and selection process
Recruitment is a complete procedure used for the attracting potential candidates for the selection of qualified candidates for the job practices of a business organization. According to the Condrey and Ledvinka, (2010), it is a process used to discover manpower to meet demand of staffing schedule. Along with this, it also involves employment of effective measures to attract potential candidates in sufficient number for the facilitation of effective selection (Condrey and Ledvinka, 2010). In this aspect, Ledvinka had stated in their research that, recruitment process is affected by various factors such as size of organization, employment conditions, past efforts of recruitment, workplace policy and future expansion plans. In order to fulfill requirement of human resources in workplace, management of entity can select candidates through both internal and external sources.
Internal sources of recruitment
According to the previous research studies, the best workers can be identified in workplace only. For this aspect, management is required to provide opportunity to the existing employees who are already registered in pay roll. Description of methods of recruitment through internal sources is enumerated below-
1.Transfers- As per the study of Altman (2009), transfer is a process in which one employee is shifted from existing job to another similar job. In this transfer process responsibilities, rank and prestige of employee is not affected. Along with this, there is no variation in number of employees who are employed by business with transfer (Altman, 2009).
2.Promotion- In this source, individual is shifted to the better position in the organization. Holbeche (2009) had stated that, promotion increases prestige, duties and monetary compensation (Holbeche, 2009). Along with this, promotion also imposes higher obligations for the contribution in the success of business. According to the view point of Elvira (2014), it will also motivate employees to improve their performance to achieve promotion (Elvira and Davila, 2014).
3.Present employees- Organization can inform present employees regarding vacant position in the workplace. Current employees will communicate this information to their relatives and acquaintances. As per the study of Pynes (2013), this source comprises of negligible cost and time consumption. In addition to this, management of the entity is relieved from looking out prospective candidates (Pynes, 2013). According to the research of Pynes, recommended candidates by employees will be suitable for operational practices because present employees are aware about requirements of vacant positions. In addition to this, existing workers will take responsibilities of recommended person for the assurance of appropriate behavior and work performance.
4.Other options- Along with the above described options, organization can provide internal advertisement and can recall retired managers. With this source, they will be able to recruit trustworthy and experience employees to accomplish work practices in a better manner.
Advantages and disadvantages of internal sources of recruitment
Advantages of internal sources
According to the Rasmussen and Nielsen (2011), recruitment through internal sources is an effective way to boost morale of employees. It is because, promotion of existing employees set example of reward for effective performance by which other workers are motivated to provide better performance (Rasmussen and Nielsen, 2011). Recruitment from internal sources reduces the possibility of error. It is because candidate is selected from internal sources by which organization will be able to judge them in a better manner. In this aspect, Wilton (2010) had stated that, internal sources of recruitment promotes loyalty in the workplace as employees feel secured for the opportunities of advancement (Wilton, 2010). Furthermore, there are fewer chances of wrong decision because company can easily rely on them. As per the study of Strange (2012), use of internal sources in recruitment process reduces the requirement of training procedures. It is because employees are aware about the operational processes and work practices (Strange, 2012).
Disadvantages of internal sources
Disadvantages are also associated with the internal sources of recruitment along with the above described advantages. As per the point of view of Wirtz, Heracleous and Pangarkar (2008), major disadvantages of internal sources is that, it discourages potential candidates outside the firm to join the concern. Along with this, entire vacancies cannot be fulfilled with the internal sources (Wirtz, Heracleous and Pangarkar, 2008). In this aspect, Wirtz had said that for innovative and creative job internal sources are not adequate. It is because, old employees will work in accordance with the traditional approach and they will not be able to promote innovation in work place. These sources may also lead to the practices of favoritism and nepotism which will promote negativity in the work environment.
External sources of recruitment
Business entities are required to make use of external sources of recruitment for fulfilling vacancies of higher position. Generally, management of organizations makes use of these sources in situation where existing employees are not qualified for the vacant position or there is requirement of more employees for expansion policies such as merger. External sources of recruitment which can be used by business organizations is as follows-
1.Public advertisements- Human resource department of the organization can provide public advertisements by making use of media sources such as newspaper, magazines and internet regarding available vacancies. According to the Philips (2008), in order to attract potential candidates, company is required to provide sufficient information such as job profile and work in advert (Philips and Little, 2008).
2.Campus recruitment- Organization can also make campus placement to recruit qualified individuals. In accordance with the research of Holbeche (2009), suitable candidates are selected by commercial entity by considering academic records, skills and intelligence of students (Holbeche, 2009).
3.Management consultants- This option is selected in situation where recruitment is required to be done for selecting higher level employee. These consultants act as an employer in order to make necessary arrangements.
4.Recommendation- As per the research of Itika (2011), candidates are also selected on the basis of recommendations of existing employees and sister companies in order to fill vacancies in less time and in minimum cost (Itika, 2011).
Advantages and disadvantages of external sources of recruitment
Advantages of external sources
By considering viewpoint of previous researches there are various benefits of recruitment through external sources. According to the Nehles (2006), major advantage of external sources is that it motivates youth to enter into organization with new ideas and approaches. Along with this, external sources offer wider scope for the selection of qualified employee (Nehles and et. al. 2006). In this source, there are fewer chances of partiality thus there is no requirement of maintaining confidential records.
Disadvantages of external sources
As per the study of Robins (2007), there are several disadvantages of recruiting through external sources. Main disadvantage of this source is that, it requires high consumption of time and financial resources (Robins, 2007). It is because selection process is quite lengthy and it requires advertisements, examination and other formalities to be conducted. In this aspect, Sparrow (2013) had stated that, it enhances problem of adjustment as new employees are not able to adjust in work environment (Sparrow, 2013).
In accordance with the present study, conclusion can be drawn that recruitment is vital process for selection of qualified candidate for the work practices. Organization is required to select appropriate sources for the recruitment process by considering their requirement and business conditions. Each source of recruitment has its own pros and cons. Business entities are required to consider these aspects prior to the selection of sources. External sources are suitable for business in situation where entity is planning for expansion of business practices or existing employees are not qualified for the vacant position. On the other hand, internal sources of recruitment are appropriate where organization requires candidate for the similar job or for higher profile linked to the current prospects. Recruiting from internal sources is also beneficial in situation where vacancy is required to be fulfilled quickly. It is because; recruitment from external sources is time consuming for entities.
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