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We train People to make their Lives! FOR MORE INFORMATION PLEASE CONTACT 0522-2442879 Website – www.cdi.co.in , www. cdilucknow.blogspot.com REGISTRED BRANCH – 1 ST FLOOR NEAR K.A.K.A MARKET, ANY QUERIES MAIL US [email protected] CAREER DEVELOPMENT INSTITUTE Confidence, Fluency & Personality! MEANING OF RECRUITMENT According to Edwin B. Flippo, recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization‛. Recruitment is the activity that links the employers and the job seekers. A few definitions of recruitment are: A process of finding and attracting capable applicants for employment. The process begins when new recruits are sought and ends when their applications are submitted. The result is a pool of applications from which new employees are selected. It is the process to discover sources of manpower to meet the requirement of staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient working force. Recruitment of candidates is the function preceding the selection, which helps create a pool of prospective employees for the organization so that the management can select the right candidate for the right job from this pool. The main objective of the recruitment process is to expedite the selection process. Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified applicants for the future human resources needs even though specific vacancies do not exist. Usually, the recruitment process starts when a manger initiates an employee requisition for a specific vacancy or an anticipated vacancy. RECRUITMENT NEEDS ARE OF THREE TYPES PLANNED - i.e. the needs arising from changes in organization and retirement policy. ANTICIPATED - Anticipated needs are those movements in personnel, which an organization can predict by studying trends in internal and external environment. UNEXPECTED - Resignation, deaths, accidents, illness give rise to unexpected needs. PURPOSE & IMPORTANCE OF RECRUITMENT Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants.

A Complete Recruitment Manual - English Speaking Course (CDI) Lucknow

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Dear Colleague, It gives me a great pleasure to introduce the first branch of CDI (CAREER DEVELOPMENT INSTITUTE) at Lucknow which has been a fantastic and rewarding experience for me.I have received a great response from the people including you.Your continued support and and suggestions have help me grow into a better Training & Development Institute. Thank you so much! I look forward to continuing to work for you for years to come. For all the updates of Institute and to be the part of the learning circle please read and follow the daily Newsletter send by CDI, you can also bookmark the following blog address if you miss any of the mails. Career Development Institute Blog Address - http://cdilucknow.blogspot.com/ Regards, Shop No 2,3 - 1st Floor Near K.A.K.A Market Telibagh Bazar Lucknow Career Development Institute ( CDI ) www.cdilucknow.blogspot.com

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Page 1: A Complete Recruitment Manual - English Speaking Course (CDI) Lucknow

We train People to make their Lives! FOR MORE INFORMATION PLEASE CONTACT – 0522-2442879

Website – www.cdi.co.in , www. cdilucknow.blogspot.com REGISTRED BRANCH – 1

ST FLOOR NEAR K.A.K.A MARKET, ANY QUERIES MAIL US – [email protected]

CAREER DEVELOPMENT INSTITUTE Confidence, Fluency & Personality!

MEANING OF RECRUITMENT

According to Edwin B. Flippo, recruitment is the process of searching the candidates for

employment and stimulating them to apply for jobs in the organization‛. Recruitment is the

activity that links the employers and the job seekers. A few definitions of recruitment are:

A process of finding and attracting capable applicants for employment. The process begins

when new recruits are sought and ends when their applications are submitted. The result is

a pool of applications from which new employees are selected.

It is the process to discover sources of manpower to meet the requirement of staffing

schedule and to employ effective measures for attracting that manpower in adequate

numbers to facilitate effective selection of an efficient working force.

Recruitment of candidates is the function preceding the selection, which helps create a pool of

prospective employees for the organization so that the management can select the right candidate

for the right job from this pool. The main objective of the recruitment process is to expedite the

selection process.

Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified

applicants for the future human resources needs even though specific vacancies do not exist.

Usually, the recruitment process starts when a manger initiates an employee requisition for a

specific vacancy or an anticipated vacancy.

RECRUITMENT NEEDS ARE OF THREE TYPES

PLANNED - i.e. the needs arising from changes in organization and retirement policy.

ANTICIPATED - Anticipated needs are those movements in personnel, which an organization

can predict by studying trends in internal and external environment.

UNEXPECTED - Resignation, deaths, accidents, illness give rise to unexpected needs.

PURPOSE & IMPORTANCE OF RECRUITMENT

Help increase the success rate of selection process by decreasing number of visibly under

qualified or overqualified job applicants.

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Help reduce the probability that job applicants once recruited and selected will leave the

organization only after a short period of time.

Meet the organizations legal and social obligations regarding the composition of its

workforce.

Begin identifying and preparing potential job applicants who will be appropriate

candidates.

Increase organization and individual effectiveness of various recruiting techniques and

sources for all types of job applicants

The Purpose and Importance of Recruitment are given below:

Attract and encourage more and more candidates to apply in the organization.

Create a talent pool of candidates to enable the selection of best candidates for the

organization.

Determine present and future requirements of the organization in conjunction with its

personnel planning and job analysis activities.

Recruitment is the process which links the employers with the employees.

Increase the pool of job candidates at minimum cost.

RECRUITMENT PROCESS

The recruitment and selection is the major function of the human resource department and

recruitment process is the first step towards creating the competitive strength and the recruitment

strategic advantage for the organizations. Recruitment process involves a systematic procedure

from sourcing the candidates to arranging and conducting the interviews and requires many

resources and time. A general recruitment process is as follows:

Identifying the vacancy:

The recruitment process begins with the human resource department receiving requisitions for

recruitment from any department of the company. These contain:

Posts to be filled

Number of persons

Duties to be performed

Qualifications required

Preparing the job description and person specification.

Locating and developing the sources of required number and type of employees

(Advertising etc).

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Short-listing and identifying the prospective employee with required characteristics.

Arranging the interviews with the selected candidates.

Conducting the interview and decision making

Identify vacancy

Prepare job description and person specification

Advertising the vacancy

Managing the response

Short-listing

Arrange interviews

Conducting interview and decision making

The recruitment process is immediately followed by the selection process i.e. the final interviews

and the decision making, conveying the decision and the appointment formalities.

SOURCES OF RECRUITMENT

Every organization has the option of choosing the candidates for its recruitment processes from

two kinds of sources: internal and external sources. The sources within the organization itself (like

transfer of employees from one department to other, promotions) to fill a position are known as

the internal sources of recruitment. Recruitment candidates from all the other sources (like

outsourcing agencies etc.) are known as the external sources of the recruitment.

SOURCES OF RECRUITMENT

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INTERNAL SOURCES OF RECRUITMENT

Some Internal Sources Of Recruitments are given below:

1. TRANSFERS

The employees are transferred from one department to another according to their efficiency and

experience.

2. PROMOTIONS

The employees are promoted from one department to another with more benefits and greater

responsibility based on efficiency and experience.

3. Others are Upgrading and Demotion of present employees according to their performance.

4. Retired and Retrenched employees may also be recruited once again in case of shortage of

qualified personnel or increase in load of work. Recruitment such people save time and costs of

the organizations as the people are already aware of the organizational culture and the policies

and procedures.

5. The dependents and relatives of Deceased employees and Disabled employees are also done

by many companies so that the members of the family do not become dependent on the mercy of

others.

External Sources of Recruitment

1. PRESS ADVERTISEMENTS

Advertisements of the vacancy in newspapers and journals are a widely used source of

recruitment. The main advantage of this method is that it has a wide reach.

2. EDUCATIONAL INSTITUTES

various management institutes, engineering colleges, medical Colleges etc. are a good

source of recruiting well qualified executives, engineers, medical staff etc. They provide

facilities for campus interviews and placements. This source is known as Campus

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Recruitment.

3. PLACEMENT AGENCIES

Several private consultancy firms perform recruitment functions on behalf of client

companies by charging a fee. These agencies are particularly suitable for recruitment of

executives and specialists. It is also known as RPO (Recruitment Process Outsourcing)

4. EMPLOYMENT EXCHANGES

Government establishes public employment exchanges throughout the country. These

exchanges provide job information to job seekers and help employers in identifying

suitable candidates.

5. LABOUR CONTRACTORS

Manual workers can be recruited through contractors who maintain close contacts with the

sources of such workers. This source is used to recruit labor for construction jobs.

6. UNSOLICITED APPLICANTS

Many job seekers visit the office of well-known companies on their own. Such callers are

considered nuisance to the daily work routine of the enterprise. But can help in creating the

talent pool or the database of the probable candidates for the organization.

7. EMPLOYEE REFERRALS / RECOMMENDATIONS

many organizations have structured system where the current employees of the

organization can refer their friends and relatives for some position in their organization.

Also, the office bearers of trade unions are often aware of the suitability of candidates.

Recruitment Management can inquire these leaders for suitable jobs. In some organizations

these are formal agreements to give priority in recruitment to the candidates recommended

by the trade union.

8. RECRUITMENT AT FACTORY GATE

Unskilled workers may be recruited at the factory gate these may be employed whenever a

permanent worker is absent. More efficient among these may be recruited to fill permanent

vacancies.

Factors Affecting Recruitment

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The recruitment function of the organizations is affected and governed by a mix of various

internal and external forces. The internal forces or factors are the factors that can be controlled by

the organization. And the external factors are those factors which cannot be controlled by the

organization. The internal and external forces affecting recruitment function of an organization

are:

FACTORS AFFECTING RECRUITMENT

Internal Factors Affecting Recruitment

The internal factors or forces which affecting recruitment and can be controlled by the

organization are

1. RECRUITMENT POLICY

The recruitment policy of an organization specifies the objectives of recruitment and provides a

framework for implementation of recruitment programme. It may involve organizational system

to be developed for implementing recruitment programmes and procedures by filling up

vacancies with best qualified people.

2. FACTORS AFFECTING RECRUITMENT POLICY

Organizational objectives

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Personnel policies of the organization and its competitors.

Government policies on reservations.

Preferred sources of recruitment.

Need of the organization.

Recruitment costs and financial implications.

2. HUMAN RESOURCE PLANNING

Effective human resource planning helps in determining the gaps present in the existing

manpower of the organization. It also helps in determining the number of employees to be

recruited and what qualification they must possess.

3. SIZE OF THE FIRM

The size of the firm is an important factor in recruitment process. If the organization is

planning to increase its operations and expand its business, it will think of hiring more

personnel, which will handle its operations.

4. COST

Recruitment incur cost to the employer, therefore, organizations try to employ that source

of recruitment which will bear a lower cost of recruitment to the organization for each

candidate.

5. GROWTH AND EXPANSION

Organization will employ or think of employing more personnel if it is expanding its

operations.

External Factors Affecting Recruitment

The external factors which affecting recruitment are the forces which cannot be controlled by the

organization. The major external forces are:

1. SUPPLY AND DEMAND

The availability of manpower both within and outside the organization is an important determinant in the

recruitment process. If the company has a demand for more professionals and there is limited supply in the

market for the professionals demanded by the company, then the company will have to depend upon

internal sources by providing them special training and development programs.

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2. LABOUR MARKET

Employment conditions in the community where the organization is located will influence the recruiting

efforts of the organization. If there is surplus of manpower at the time of recruitment, even informal

attempts at the time of recruiting like notice boards display of the requisition or announcement in the

meeting etc will attract more than enough applicants.

3. IMAGE / GOODWILL

Image of the employer can work as a potential constraint for recruitment. An organization

with positive image and goodwill as an employer finds it easier to attract and retain

employees than an organization with negative image. Image of a company is based on what

organization does and affected by industry. For example finance was taken up by fresher

MBA’s when many finance companies were coming up.

4. POLITICAL-SOCIAL- LEGAL ENVIRONMENT

Various government regulations prohibiting discrimination in hiring and employment have

direct impact on recruitment practices. For example, Government of India has introduced

legislation for reservation in employment for scheduled castes, scheduled tribes, physically

handicapped etc. Also, trade unions play important role in recruitment. This restricts

management freedom to select those individuals who it believes would be the best

performers. If the candidate can’t meet criteria stipulated by the union but union

regulations can restrict recruitment sources.

5. UNEMPLOYMENT RATE

One of the factors that influence the availability of applicants is the growth of the economy

(whether economy is growing or not and its rate). When the company is not creating new

jobs, there is often oversupply of qualified labour which in turn leads to unemployment.

6. COMPETITORS

The recruitment policies of the competitors also effect the recruitment function of the

organisations. To face the competition, many a times the organisations have to change their

recruitment policies according to the policies being followed by the competitors.

Recruitment Policy Of a Company In today’s rapidly changing business environment, a well defined recruitment policy is necessary for

organizations to respond to its human resource requirements in time. Therefore, it is important to have a

clear and concise recruitment policy in place, which can be executed effectively to recruit the best talent

pool for the selection of the right candidate at the right place quickly. Creating a suitable recruitment

policy is the first step in the efficient hiring process. A clear and concise recruitment policy helps ensure a

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sound recruitment process.

It specifies the objectives of recruitment and provides a framework for implementation of recruitment

programme. It may involve organizational system to be developed for implementing recruitment

programmes and procedures by filling up vacancies with best qualified people.

COMPONENTS OF THE RECRUITMENT POLICY

The general recruitment policies and terms of the organisation

Recruitment services of consultants

Recruitment of temporary employees

Unique recruitment situations

The selection process

The job descriptions

The terms and conditions of the employment

A recruitment policy of an organisation should be such that:

It should focus on recruiting the best potential people.

To ensure that every applicant and employee is treated equally with dignity and respect.

Unbiased policy.

To aid and encourage employees in realizing their full potential.

Transparent, task oriented and merit based selection.

Weightage during selection given to factors that suit organization needs.

Optimization of manpower at the time of selection process.

Defining the competent authority to approve each selection.

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Abides by relevant public policy and legislation on hiring and employment relationship.

Integrates employee needs with the organisational needs.

FACTORS AFFECTING RECRUITMENT POLICY

Organizational objectives

Personnel policies of the organization and its competitors.

Government policies on reservations.

Preferred sources of recruitment.

Need of the organization.

Recruitment costs and financial implications.

Recent Trends in Recruitment The following trends are being seen in recruitment:

OUTSOURCING

In India, the HR processes are being outsourced from more than a decade now. A company may

draw required personnel from outsourcing firms. The outsourcing firms help the organisation by

the initial screening of the candidates according to the needs of the organisation and creating a

suitable pool of talent for the final selection by the organisation. Outsourcing firms develop their

human resource pool by employing people for them and make available personnel to various

companies as per their needs. In turn, the outsourcing firms or the intermediaries charge the

organisations for their services.

Advantages of outsourcing are:

1. Company need not plan for human resources much in advance.

2. Value creation, operational flexibility and competitive advantage

3. turning the management's focus to strategic level processes of HRM

4. Company is free from salary negotiations, weeding the unsuitable resumes/candidates.

5. Company can save a lot of its resources and time

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POACHING/RAIDING

‚Buying talent‛ (rather than developing it) is the latest mantra being followed by the

organisations today. Poaching means employing a competent and experienced person

already working with another reputed company in the same or different industry; the

organisation might be a competitor in the industry. A company can attract talent from

another firm by offering attractive pay packages and other terms and conditions, better

than the current employer of the candidate. But it is seen as an unethical practice and not

openly talked about. Indian software and the retail sector are the sectors facing the most

severe brunt of poaching today. It has become a challenge for human resource managers to

face and tackle poaching, as it weakens the competitive strength of the firm.

E-RECRUITMENT

Many big organizations use Internet as a source of recruitment. E-recruitment is the use of

technology to assist the recruitment process. They advertise job vacancies through

worldwide web. The job seekers send their applications or curriculum vitae i.e. CV through

e mail using the Internet. Alternatively job seekers place their CV’s in worldwide web,

which can be drawn by prospective employees depending upon their requirements.

Advantages of recruitment are:

o Low cost.

o No intermediaries

o Reduction in time for recruitment.

o Recruitment of right type of people.

o Efficiency of recruitment process.

E-Recruitment The buzzword and the latest trends in recruitment is the ‚E-Recruitment‛. Also known as ‚Online

recruitment‛, it is the use of technology or the web based tools to assist the recruitment processes. The tool

can be either a job website like naukri.com, the organisation’s corporate web site or its own intranet. Many

big and small organizations are using Internet as a source of recruitment. They advertise job vacancies

through worldwide web. The job seekers send their applications or curriculum vitae (CV) through an e-

mail using the Internet. Alternatively job seekers place their CV’s in worldwide web, which can be drawn

by prospective employees depending upon their requirements.

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The internet penetration in India is increasing and has tremendous potential. According to a study

by NASSCOM – ‚Jobs is among the top reasons why new users will come on to the internet,

besides e-mail.‛ There are more than 18 million resume’s floating online across the world.

The two kinds of e-recruitment that an organisation can use is –

Job portals – i.e. posting the position with the job description and the job specification on the

job portal and also searching for the suitable resumes posted on the site corresponding to the

opening in the organisation.

-

Companies have added an application system to its website, where the ‘passive’ job seekers can

submit their resumes into the database of the organisation for consideration in future, as and

when the roles become available.

Resume Scanners: Resume scanner is one major benefit provided by the job portals to the

organisations. It enables the employees to screen and filter the resumes through pre-defined

criteria’s and requirements (skills, qualifications, experience, payroll etc.) of the job.

Job sites provide a 24*7 access to the database of the resumes to the employees facilitating the just-

in-time hiring by the organisations. Also, the jobs can be posted on the site almost immediately

and is also cheaper than advertising in the employment newspapers. Sometimes companies can

get valuable references through the ‚passers-by‛ applicants. Online recruitment helps the

organisations to automate the recruitment process, save their time and costs on recruitments.

Online recruitment techniques

Giving a detailed job description and job specifications in the job postings to attract

candidates with the right skill sets and qualifications at the first stage.

E-recruitment should be incorporated into the overall recruitment strategy of the

organisation.

A well defined and structured applicant tracking system should be integrated and the

system should have a back-end support.

Along with the back-office support a comprehensive website to receive and process job

applications (through direct or online advertising) should be developed.

Therefore, to conclude, it can be said that e-recruitment is the ‚Evolving face of recruitment.‛

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There are many benefits – both to the employers and the job seekers but the e-recruitment is not

free from a few shortcomings. Some of the advantages and the disadvantages of e-recruitment are

as follows:

Advantages of E-Recruitment are:

advertising in the

newspapers.

recruitment process.

automated way.

offered by the competitors etc. which helps the HR managers to take various HR decisions like

promotions, salary trends in industry etc

Disadvantages of E-Recruitment

Apart from the various benefits, e-recruitment has its own share of shortcomings and

disadvantages. Some of them are:

Screening and checking the skill mapping and authenticity of million of resumes is a

problem and time consuming exercise for organisations.

There is low Internet penetration and no access and lack of awareness of internet in many

locations across India.

Organisations cannot be dependant solely and totally on the online recruitment methods.

In India, the employers and the employees still prefer a face-to-face interaction rather than

sending e-mails

Recruitment Vs Selection Both recruitment and selection are the two phases of the employment process. The differences between the

two are:

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1. The recruitment is the process of searching the candidates for employment and stimulating them to

apply for jobs in the organisation WHEREAS selection involves the series of steps by which the candidates

are screened for choosing the most suitable persons for vacant posts.

2. The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best

candidates for the organisation, by attracting more and more employees to apply in the organisation

WHEREAS the basic purpose of selection process is to choose the right candidate to fill the various

positions in the organisation.

3. Recruitment is a positive process i.e. encouraging more and more employees to apply WHEREAS

selection is a negative process as it involves rejection of the unsuitable candidates.

4. Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned

with selecting the most suitable candidate through various interviews and tests.

5. There is no contract of recruitment established in recruitment WHEREAS selection results in a contract of

service between the employer and the selected employee.

Types Of Job Seekers Types Of Job Seekers

1. Quid Pro Que

These are the people who say that ‚ I can do this for you, what can you give me‛ These people value high

responsibilities, higher risks, and expect higher rewards, personal development and company profiles

doesn’t matter to them.

2. I will be with you

These people like to be with big brands. Importance is given to brands. They are not bothered about work

ethic, culture mission etc.

3. I will do you what you want

These people are concerned about how meaningful the job is and they define meaning parameters criteria

known by previous job.

4. Where do you want me to come

These people observe things like where is your office, what atmosphere do you offer. Career prospects and

exciting projects don’t entice them as much. It is the responsibility of the recruiter to decide what the

employee might face in given job and thus take decision. A good decision will help cut down employee

retention costs and future recruitment costs.

Recruitment Management System

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Recruitment management system is the comprehensive tool to manage the entire recruitment processes of

an organisation. It is one of the technological tools facilitated by the information management systems to

the HR of organisations. Just like performance management, payroll and other systems, Recruitment

management system helps to contour the recruitment processes and effectively managing the ROI on

recruitment.

The features, functions and major benefits of the recruitment management system are explained

below:

Structure and systematically organize the entire recruitment processes.

Recruitment management system facilitates faster, unbiased, accurate and reliable

processing of applications from various applications.

Helps to reduce the time-per-hire and cost-per-hire.

Recruitment management system helps to incorporate and integrate the various links like

the application system on the official website of the company, the unsolicited applications,

outsourcing recruitment, the final decision making to the main recruitment process.

Recruitment management system maintains an automated active database of the applicants

facilitating the talent management and increasing the efficiency of the recruitment

processes.

Recruitment management system provides and a flexible, automated and interactive

interface between the online application system, the recruitment department of the

company and the job seeker.

Offers tolls and support to enhance productivity, solutions and optimizing the recruitment

processes to ensure improved ROI.

Recruitment management system helps to communicate and create healthy relationships

with the candidates through the entire recruitment process.

The Recruitment Management System (RMS) is an innovative information system tool which

helps to sane the time and costs of the recruiters and improving the recruitment processes.

Before making any investment, every organisation would want to evaluate the investment by

answering the following questions in quantifiable terms:

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pected returns of the investment?

-back period of the investment?

An organisation makes a tremendous amount of investment in its recruitment processes.

A lot of resources like time and money are spent on recruitment processes of an organisation. But

assessing or quantifying the returns on the recruitment process, or, calculating the return on

investment (ROI) on recruitment is a complicated task for an organisation. Indeed, it is difficult to

judge the success of their recruitment processes. Instead, recruitment is one activity that continues

in an organisation without anyone ever realizing its worth or measuring its impact on the

organisation’s business.

According to a survey, 38 % of organisations do not prepare or produce any kind of documents or

reports on their The recruitment processes, and there is no accountability of the HR department

for the costs incurred and the opportunities missed.

With the increasing strategic focus on the human resources, more and more organisations are

adopting one or the other way for calculating the ROI on its recruitments. Many organisations are

examining their HR functions and processes and are trying to quantify their results and returns.

A recruitment professional or manager can calculate and maximize the return on investments on

its organisation’s recruitment by

Clear definition of the results to be achieved from recruitment.

Developing methods and ways measuring the results like the time – to – hire, cost-Per-Hire

and effectiveness of the recruitment source etc.

Estimating the costs associated with the recruitment project

Estimating the tangible and intangible benefits to the organization including the payback

period of the recruitments.

Providing and ensuring proper training and development of the recruitment professionals.

Assessing the ROI on recruitments can assist an organisation to strengthen its HR processes,

improving its recruitment function and to build a strategic human resource advantage for the

organisation.

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Outsourcing Recruitment Outsourcing Recruitment is the human resource (HR) processes is the latest practice being followed by

middle and large sized organizations. It is being witnessed across all the industries. In India, the HR

processes are being outsourced from nearly a decade now. Outsourcing industry is growing at a high rate.

Human Resource Outsourcing refers to the process in which an organisation uses the expert services of a

third party (generally professional consultants) to take care of its HR functions while HR management can

focus on the strategic dimension of their function. The functions that are typically outsourced are the

functions that need expertise, relevant experience, knowledge and best methods and practices. This has

given rise to outsourcing the various HR functions of an organisation. HR Consultancies such as Ma Foi

and Planman Consulting provide such services through expert professional consultants. Human resources

business process outsourcing (HR BPO) is a major component of the worldwide BPO market. Performance

management outsourcing involves all the performance monitoring, measurement, management being

outsourced from a third party or an external organisation.

Many organizations have started outsourcing its recruitment process i.e. transferring all or some part of its

recruitment process to an external consultant providing the recruitment services. It is commonly known as

RPO i.e. recruitment process outsourcing. More and more medium and large sized organizations are

outsourcing their recruitment process right from the entry level jobs to the C-level jobs.

The present value of the recruitment process outsourcing industry (RPO) in India is estimated to be $2.5

billion and it is expected to grow at the annual rate of 30-40 per cent for the next couple of years. According

to a recent survey, only 8-10 per cent of the Indian companies are complete recruitment processes.

However, the number of companies outsourcing their recruitment processes is increasing at a very fast rate

and so is the percentage of their total recruitment processes being outsourced.

Outsourcing organizations strive for providing cost saving benefits to their clients. One of the major

advantages to organizations, who outsource their recruitment process, is that it helps to save up to as much

as 40 per cent of their recruitment costs. With the experience, expertise and the economies of scale of the

third party, organizations are able to improve the quality of the recruits and the speed of the whole process.

Also, outsourcing enables the human resource professionals of organizations to focus on the core and other

HR and strategic issues. Outsourcing also gives a structured approach to the whole process of recruitment,

with the ultimate power of decision making of recruiting with the organisation itself. The portion of the

recruitment cycle that is outsourced range from preparing job descriptions to arranging interviews, the

activities that consume almost 70 per cent of the time of the whole recruitment process.

Outsourcing the recruitment processes for a sector like BPO, which faces an attrition of almost 50-60 per

cent, can help the companies in BPO sector to save costs tremendously and focus on other issues like

retention. The job seekers are also availing the services of the third parties (consultants) for accessing the

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latest job opportunities.

In India, the trend of outsourcing recruitment is also catching up fast. For example: Vodafone outsources

its recruitment activities to Alexander Mann Solutions (RPO service provider). Wipro has outsourced its

recruitment process to MeritTrac. Yes bank is also known to outsource 50 per cent of its recruitment

processes.

Advantage Of Outsourcing Recruitment Traditionally, recruitment is seen as the cost incurring process in an organization. HR outsourcing helps the

HR professionals of the organisations to concentrate on the strategic functions and processes of human

resource management rather than wasting their efforts, time and money on the routine work.

Outsourcing the recruitment processes helps to cut the recruitment costs to 20 % and also provide

economies of scale to the large sized organizations.

The major advantages of outsourcing recruitment performance management are:

Outsourcing is beneficial for both the corporate organisations that use the outsourcing services as

well as the consultancies that provide the service to the corporates. Apart from increasing their

revenues, outsourcing Process provides business opportunities to the service providers, enhancing

the skill set of the service providers and exposure to the different corporate experiences thereby

increasing their expertise.

The advantages accruing to the corporates are:

turning the management's focus to strategic level processes of HRM

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accessibility to the expertise of the service providers

freedom from red tape and adhering to strict rules and regulations

optimal resource utilisation

structured and fair performance management.

a satisfied and, hence, highly productive employees

value creation, operational flexibility and competitive advantage

Therefore outsourcing helps both the organisations and the consultancies to grow and perform

better.

Changing Role of Recruitment Intermediaries Recruitment intermediaries, consultancies or agencies are witnessing a boom in the demand of their

services, both by the employers and the job seekers. With an already saturated job market, the recruitment

intermediaries have gained a vital position acting as a link between the job seekers and the employers.

But at the same time, one of the major threats faced by this industry is the growing popularity of e-

recruitment. With the changing demand, technologies and the penetration and increasing use of internet,

the recruitment consultancies or the intermediaries are facing tough competition. To retain and maintain

their position in the recruitment market, the recruitment intermediaries or consultants (as they are commonly

known) are witnessing and incorporating various changes in terms of their role, functions and the services.

According to a survey amongst top employers, most of them agree with the growing influence of

technology and the Internet on the recruitment processes. 70 per cent of employers reported the use of

application portal on their company’s official website. Apart from that, the emerging popularity of the job

portals is also growing.

But the fact that the intermediaries or the consultants are able to provide their expert services, economies

of scale, up to 40 percent savings in the recruitment costs, knowledge of the market, the candidates,

understanding of the requirements, and most importantly, the assess to the suitable and talented

candidates and the structured recruitment processes. The recruitment intermediaries save the

organisations from the tedious of weeding out unsuitable resumes, co-coordinating interviews, posting

vacancies etc. give them an edge over the other sources of recruitment.

To retain their position as the service providers in the recruitment market, the recruitment intermediaries

are providing vale added services to the organisations. They are incorporating the use of internet and job

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portals, making their services more efficient.

Despite of the growing use of the internet, the recruitment intermediaries are predicted to continue

dominating the recruitment market in the anticipated future.

Outsourcing Process

How To Select A Recruitment Consultant If an organisation decides to outsource its recruitment processes or activities, it is very important

to find and select a suitable recruitment consultant or consultancies, which can deliver results

according to the needs of the organisation. Today, there are thousands of consulting firms

(consultancies) as well as freelance consultants working independently. An organisation looks for

various considerations and qualities before selecting the suitable recruitment consultant.

reputation of the consulting firm in the job market (based on expertise and experience).

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Consultant’s expertise and experience (from how long has he/firm been in the business)

Does the recruitment consultant have the requisite resources to complete the targets on

time?

Get the idea of the effectiveness and the services of the recruitment consultant from its

current and past clients.

Qualities of an independent recruitment consultant:

Some of the qualities or characteristics looked in recruitment consultants are:

Marketing skills

Flexibility and adaptability

Wisdom

Exuberance

Ability to prioritise

Ambition

Resourcefulness

Diplomacy/ delicacy

Selecting the right recruitment consultant is essential for the effective recruitment processes. A

successful Recruitment consultant is someone who is determinative, focused, and able to create

opportunities for him, works harder and smarter than competitors and continually set and achieve

higher standards.

Recruitment Strategies Recruitment is of the most crucial roles of the human resource professionals. The level of performance of

and organisation depends on the effectiveness of its recruitment function. Organisations have developed

and follow recruitment strategies to hire the best talent for their organisation and to utilize their resources

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optimally. A successful recruitment strategy should be well planned and practical to attract more and good

talent to apply in the organisation.

For formulating an effective and successful recruitment strategy, the strategy should cover the

following elements:

1. Identifying and prioritizing jobs

recruitment keep arising at various levels in every organisation; it is almost a never-ending

process. It is impossible to fill all the positions immediately. Therefore, there is a need to

identify the positions requiring immediate attention and action. To maintain the quality of

the recruitment activities, it is useful to prioritize the vacancies whether to focus on all

vacancies equally or focusing on key jobs first.

2. Candidates to target

The recruitment process can be effective only if the organisation completely understands

the requirements of the type of candidates that are required and will be beneficial for the

organisation. This covers the following parameters as well:

o Performance level required: Different strategies are required for focusing on hiring

high performers and average performers.

o Experience level required: the strategy should be clear as to what is the experience

level required by the organisation. The candidate’s experience can range from being

a fresher to experienced senior professionals.

o Category of the candidate: the strategy should clearly define the target candidate.

He/she can be from the same industry, different industry, unemployed, top

performers of the industry etc.

3. Sources of recruitment

The strategy should define various sources (external and internal) of recruitment. Which

are the sources to be used and focused for the recruitment purposes for various positions.

Employee referral is one of the most effective sources of recruitment.

4. Trained recruiters

The recruitment professionals conducting the interviews and the other recruitment

activities should be well-trained and experienced to conduct the activities. They should also

be aware of the major parameters and skills (e.g.: behavioural, technical etc.) to focus while

interviewing and selecting a candidate.

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5. How to evaluate the candidates

The various parameters and the ways to judge them i.e. the entire recruitment process

should be planned in advance. Like the rounds of technical interviews, HR interviews,

written tests, psychometric tests etc.

How To Select A Recruitment Consultant If an organisation decides to outsource its recruitment processes or activities, it is very important

to find and select a suitable recruitment consultant or consultancies, which can deliver results

according to the needs of the organisation. Today, there are thousands of consulting firms

(consultancies) as well as freelance consultants working independently. An organisation looks for

various considerations and qualities before selecting the suitable recruitment consultant.

are the consultant’s or firm’s past and present clients?

Consultant’s expertise and experience (from how long has he/firm been in the business)

Does the recruitment consultant have the requisite resources to complete the targets on

time?

Get the idea of the effectiveness and the services of the recruitment consultant from its

current and past clients.

Qualities of an independent recruitment consultant:

Some of the qualities or characteristics looked in recruitment consultants are:

Marketing skills

Flexibility and adaptability

Wisdom

Exuberance

Ability to prioritise

Ambition

Resourcefulness

Diplomacy/ delicacy

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Selecting the right recruitment consultant is essential for the effective recruitment processes. A

successful Recruitment consultant is someone who is determinative, focused, and able to create

opportunities for him, works harder and smarter than competitors and continually set and achieve

higher standards.

HR Challenges In Recruitment Recruitment is a function that requires business perspective, expertise, ability to find and match the best

potential candidate for the organisation, diplomacy, marketing skills (as to sell the position to the

candidate) and wisdom to align the recruitment processes for the benefit of the organisation. The HR

professionals – handling the recruitment function of the organisation- are constantly facing new challenges

in Recruitment. The biggest HR challenge in Recruitment for such professionals is to source or recruit the

best people or potential candidate for the organisation.

In the last few years, the job market has undergone some fundamental changes in terms of technologies,

sources of recruitment, competition in the market etc. In an already saturated job market, where the

practices like poaching and raiding are gaining momentum.

HR professionals are constantly facing new challenges in one of their most important function-

recruitment. They have to face and conquer various challenges to find the best candidates for their

organisations.

The major challenges faced by the HR in recruitment are:

Adaptability to globalization – The HR professionals are expected and required to keep in

tune with the changing times, i.e. the changes taking place across the globe. HR should

maintain the timeliness of the process

Lack of motivation – Recruitment is considered to be a thankless job. Even if the

organisation is achieving results, HR department or professionals are not thanked for

recruiting the right employees and performers.

Process analysis – The immediacy and speed of the recruitment process are the main

concerns of the HR in recruitment. The process should be flexible, adaptive and responsive

to the immediate requirements. The recruitment process should also be cost effective.

Strategic prioritization – The emerging new systems are both an opportunity as well as a

challenge for the HR professionals. Therefore, reviewing staffing needs and prioritizing the

tasks to meet the changes in the market has become a challenge for the recruitment

professionals.

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Recruiting Expatriates Expatriate is a person who leaves his country to work and live in a foreign country. Generally, expatriates

are the nationals from the other countries than the host and the MNC’s parent country, i.e. expatriates are

the third country nationals.

The unavailability of the required skills and talents takes the organisation to source talent from other

countries. The procedures and processes of recruiting and selecting the human resources are never uniform

even within a single organisation. The procedures vary according to the post, the skill set required, the

nature of work etc. More of it is seen in the case of recruitment of expatriates. The recruitment and selection

procedures and considerations are drastically different for expatriates than that of the domestic employees.

Recruitment of expatriates involves greater time, monetary resources and other indirect costs. Improper

recruitment and selection can cause the expatriates to return hastily or a decline in their performance.

A mismatch between job (its requirements) and people can reduce the effectiveness of other human

resource activities and can affect the performance of the employees as well as the organisation.

Recruiting expatriates require special considerations and skills to select the best person for the job. Except

for a few expatriate selection policies, the expatriate selection criterion is generally organisation and nation

specific.

The recruiters for recruiting the expatriates should be carefully selected and trained. The recruitment

strategies for expatriates should be aligned with requirements of the job. The interviews of expatriates are

designed in a manner to judge their:

Adaptability to the new culture

Intercultural interaction

Flexibility

Professional expertise

Past international work experience

Tolerance and open-mindedness

Family situation

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Language ability

Attitude and motivation

Empathy towards local culture

A few researches in this field also suggest that women are morel likely to be successful in certain

positions as expatriates as they are more sensitive towards new culture and people. recruitment of

expatriates should be followed by cultural and sensitivity training, and language training.

Head Hunting Headhunting refers to the approach of finding and attracting the best experienced person with the required

skill set. Headhunting is also a recruitment process involves convincing the person to join your

organization.

Headhunting Process

Forms Of Recruitment The organisations differ in terms of their size, business, processes and practices. A few decisions

by the recruitment professionals can affect the productivity and efficiency of the organisation.

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Organisations adopt different forms of recruitment practices according to the specific needs of the

organisation. The organisations can choose from the centralized or decentralized forms of

recruitment, explained below:

CENTRALIZED RECRUITMENT

The recruitment practices of an organisation are centralized when the HR / recruitment

department at the head office performs all functions of recruitment. Recruitment decisions for all

the business verticals and departments of an organisation are carried out by the one central HR (or

recruitment) department. Centralized from of recruitment is commonly seen in government

organisations.

Benefits of the centralized form of recruitment are:

Reduces administration costs

Better utilization of specialists

Uniformity in recruitment

Interchangeability of staff

Reduces favoritism

Every department sends requisitions for recruitment to their central office

DECENTRALIZED RECRUITMENT

Decentralized recruitment practices are most commonly seen in the case of conglomerates

operating in different and diverse business areas. With diverse and geographically spread

business areas and offices, it becomes important to understand the needs of each department and

frame the recruitment policies and procedures accordingly. Each department carries out its own

recruitment. Choice between the two will depend upon management philosophy and needs of

particular organization. In some cases combination of both is used. Lower level staffs as well as

top level executives are recruited in a decentralized manner.

Equal Employment Opportunity Equal employment opportunity refers to the approach of the employers to ensure the practice of being fair

and impartial in the employment process. *The term "Equal Opportunity Employment" was first given by

President Lyndon B. Johnson when he signed Executive Order 11246 which was created to prohibit federal

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contractors from discriminating against employees on the basis of race, sex, creed, religion, color, or

national origin*. The scope of the order also covered the discrimination on the basis of the minority status.

Discrimination in employment

Discrimination refers to the any kind of prejudice, biasness or favoritism on the basis of

disability

race

age

sex

sexuality

pregnancy

Marital status

in employment. No person should be treated less favourably than any other on the basis of the

specified issues above. Many countries (like SA) have already implemented Equal Opportunity

Act, making it against the law to treat anybody unfairly.

Diversity in workforce

With the globalization and the increasing size of the organisations, the diversity in the workforce

is increasing i.e. people from diverse backgrounds, educational background, age groups, race,

gender, abilities etc come together to work for one organisation and common objectives.

Therefore, it is the responsibility of the employer to create an equality-based and discrimination-

free working environment and practices.

Equal opportunity means treating people equally and fairly irrespective of their race, religion, sex,

age, disability etc. Giving women an equal treatment and access to opportunities at the workplace.

Any employee should be ill-treated or harassed by the employer or other employees.

Equal Employment Opportunity principles help to realize and respect the actual worth of the

individual on the basis of his knowledge, skills, abilities and merit. And the policy should cover

all the employees of an organisation whether permanent or temporary, contractual etc.

Equal employment opportunity is necessary to ensure:

To give fair access to the people of all development opportunities

To create a fair organisation, industry and society.

To encourage and give disadvantaged or disabled people a fair chance to grow with the

society