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Acquiring the Employees

Author: Sophia

what's covered
How does a business know who to hire? How does a company go about hiring employees to make sure it is hiring the right people? This tutorial will cover the topic of acquiring the employees, explaining how businesses recruit and hire employees. Our discussion breaks down as follows:

Table of Contents

1. Job Analysis

The job analysis is performed for all jobs within an organization. It includes:

  • Job description, such as the duties, the working conditions, and the responsibilities associated with a particular role or job
  • Job specification, meaning the skills, abilities, education, and experience that an employee will need in order to fill a particular role well
Now, an organization should only hire employees that are meeting its needs, and having a job analysis is quite useful in this particular role--making sure the organization only hires the folks that it needs.

EXAMPLE

It wouldn't make much sense to hire a dairy farmer who has no experience in high-tech or coding to work at Apple making new apps for the app store.

Sometimes small businesses fail in this endeavor. They don't take time to analyze their specific needs, and unfortunately, this often leads to incorrectly hiring people for a particular role. Then, the business ends up with someone who doesn't quite fit the job that they were hoping to fill.


2. Recruiting

Recruiting is defined as the process of locating and selecting people who would suit the personnel needs of an organization. There are two types of recruiting:

  • Internal recruiting
  • External Recruiting
term to know
Recruiting
To locate and select people who would suit the personnel needs of an organization.

2a. Internal Recruiting

Internal recruiting, more specifically, is locating and selecting people from within the organization who would better suit the needs of a different position within that organization. So, with internal recruiting, a company is hiring from within. It is seeking people who are already inside the company, who understand some of the quirks, perhaps, about the organization itself.

Pros and Cons of Internal Recruiting
Pros Cons
Builds morale within the organization because there's a chance for employees to move up and around within an organization in order to play a bigger role.

Organizations know what type of employee they are hiring
Potential lack of innovative and fresh ideas within an organization because you're hiring from within, and everybody is speaking the same language. This can be a problem, especially within an innovative sector like IT.

Creates a job opening in another part of the organization

term to know
Internal Recruiting
To locate and select people from within the organization who would better suit the needs of a different position within the organization.

2b. External Recruting

External recruiting refers to locating and selecting people who would suit the personnel needs of an organization from outside the organization. This involves going outside, to the general public, and hiring someone who doesn't already have a position within the organization.

Pros and Cons of External Recruiting
Pros Cons
Brings new perspectives to a company.

Example: Alan Mulally is the retiring CEO of Ford Motor Company. A lot of people didn't think he was right for the job because he wasn't an auto guy. He came from Boeing and was an engineer who made aircraft. Well, it turns out, hiring him at the time they did was great for Ford because he literally turned the company around--and a lot of this success was due to new perspectives that he brought to the business.
Higher cost and a longer onboarding process. The company will have to spend time looking outside the organization, and it will take longer to get people acclimatized to what they're doing and the culture of the company that they're being brought into.

May cause resentment among the employees inside the organization, wondering, "If I'm qualified, why didn't I didn't get that job?"

term to know
External Recruiting
To locate and select people who would suit the personnel needs of an organization from outside the organization.


3. Hiring Methods

Human resources have a wide variety of methods to review and select people in order to hire to fill the different positions.

Hiring Method Pros vs. Cons
Application Forms Pros: They are easily organized and searchable.

Cons: Not everybody is honest on an application form. The employee or the person filling out the application may be dishonest. Also, a form doesn't necessarily show the character or personal skills of that particular person--it's simply a piece of paper with a list of qualifications.
Testing Pros: Testing can be great for evaluating skills. In some cases, like the MBTI test, it allows employers to assess a potential hire's personality to make sure that his or her personality is going to fit with the organization.

Cons: Many people have test anxiety which can affect the results of the test, and therefore render the test inaccurate.
Interviews Pros: Interviews are great for getting to know a person--those attitudes or the motivation that a person would bring to a job within an organization.

Cons: Interviews can be quite time-consuming. If you have a lot of different people to get through, you have to take that allotted amount of time for the interview process for each person along the way. Also, discrimination may become more likely as you have these face-to-face meetings with two different people. Historically, interviews can be a very poor predictor of success, especially if the person doing the interviewing doesn't have the proper interviewing skills to do it successfully.
References Pros: References can provide verified background information. You know who you're hiring because someone else told you all about this particular person.

Cons: Sometimes people tend to give glowing references and only talk about the positive because they don't want to talk about possible negative character traits. Therefore, you have a stellar recommendation that doesn't always fit who the person really is. It can affect the hiring decision, and you may end up with the wrong person down the line.

summary
Today we learned about the job analysis and how important it is to understand the job that an organization is trying to fill. We also learned about recruiting, including internal and external recruiting. Lastly, we learned about the different hiring methods that human resource managers can use, and the pros and cons of each.

Good luck!

Source: adapted from sophia instructor james howard

Terms to Know
External Recruiting

To locate and select people who would suit the personnel needs of an organization from outside the organization.

Internal Recruiting

To locate and select people from within the organization who would better suit the needs of a different position within the organization.

Recruiting

To locate and select people who would suit the personnel needs of an organization.