IMPORTANCE OF

EFFECTIVE
RECRUITMENT
Human Resources Management
Mohamed Nasir

MOHAMED LISAAM
BACHELOR’S OF BUSINESS ADMINISTRATION
MI COLLEGE
 CONTENTS

INTRODUCTION................................................................................................................................. 2
WHAT IS RECRUITMENT? .............................................................................................................. 3
MODERM APPROACHES OF RECRUITMENT ........................................................................... 4
PROCESS OF RECRUITMENT ........................................................................................................ 5
FACTORS INFLUENCING RECRUITMENT PROCESS ............................................................. 6
ADVANTAGES OF EFFECTIVE RECRUITMENT STRATEGY ................................................ 7
RESULT OF INEFFECTIVE RECRUITMENT .............................................................................. 8
CONCLUSION ..................................................................................................................................... 9
REFERENCE ...................................................................................................................................... 10

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 INTRODUCTION
This is the first assignment in Human Resources Management module. In this
assignment I will be focusing on the importance of effective recruitment for the success of the
organization, how effective recruitment can support the to reach the goals of the organization
and what will happen if there is no effective way of recruiting employees to the organization.
When we look into history of recruitment we can see that the concept of recruitment dates back
to 55 B.C. and leads us to the Roman Army. In this year Julius Cesar signed a decree that stated
that any solider who brought another solider into the Roman Army would earn a reward of 300
sestertii. This is an extremely generous reward, considering it made up 30% of the soldier’s
annual pay. This was how the first employee referral program was born.
However, it was 1940, that we saw a more modern birth of the staffing industry. During
the start of WWII many employees’ positions were vacated when they left to join the military.
The extreme lack of talent and increase of open positions created a need for the first-ever
staffing agencies. These companies operated in many different industry spaces.
Recruitment agents worked tirelessly to connect available people with open positions.
In this current market, the staffing agency was more about finding eligible workers (who were
not shipped off to war) than finding high quality talent.
Since the market has changed a lot since then, in today’s world we are looking for
highly qualified talented workers rather than just some worker who can fill the vacancies.

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 WHAT IS RECRUITMENT?
Attaining and retaining high-quality talent is critical to an organization’s success. As
the job market becomes increasingly competitive and the available skills grow more diverse,
recruiters need to be more selective in their choices. Since poor recruiting decisions can
produce long-term negative effects. Some of those are high training and development costs to
minimize the incidence of poor performance and high turnover. In turn, impact
staff morale, the production of high quality goods and services and the retention of
organizational memory. At worst, the organization can fail to achieve its objectives
thereby losing its competitive edge and its share of the market.
According to the oxford dictionary “The action of finding new people to join an
organization or support a cause.” is the best definition for recruitment.
According to Edwin B. Flippo, “It is a process of searching for prospective employees
and stimulating and encouraging them to apply for jobs in an organization.”
In the words of Dale Yoder, Recruitment is the 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.”
From these definitions itself we know the recruiting is much more than just selecting a
staff to fill a post. It is important to select a staff who is best fit for the job with appropriate
talent. According to a recent survey done by Robert Half showed that one-third (36%) of 1,400
executives surveyed felt the top factor leading to a failed hire, aside from performance issues,
is a poor skills match. The second most common reason (30%) was unclear performance
objectives. So it’s very important to have effective good recruitment strategies as staffs with
best potential can help the organization to reach its goals. If we are just selecting staffs without
an effective recruitment process the organization will face lots of problems leading to more
recurrent recruitments in search for best employees.

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 MODERM APPROACHES OF RECRUITMENT
According to a member of the Society of Professional Journalists and the L.A. Press
Club Susan S. Davis (2017) there are many modern approaches the recruiters are using to bring
the best employees to the company. Some of the main approaches are as follows.

 OUTSOURCING: The practice in which an individual or company performs tasks,

provides services or manufactures products for another company -- functions that could
have been or is usually done in-house. Outsourcing is typically used by companies to
save costs.
 POACHING/RAIDING: The practice of employing a competent and experienced
person already working with another reputed company in the same or different industry.
 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.

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 PROCESS OF RECRUITMENT
Recruitment is an essential part of the gaining function of human resource management
that can be defined as the process of creating a pool of candidates interested in a job and
choosing the best-qualified ones from within. As Smirti.C (2016) explains the recruitment
process is based on 5 different processes. The five processes and included below

1. Recruitment Planning: planning involves to draft a comprehensive job specification

for the vacant position, outlining its major and minor responsibili-ties; the skills,
experience and qualifications needed; grade and level of pay; starting date; whether
temporary or permanent; and mention of special conditions, if any, attached to the job
to be filled.
2. Strategy Development: The strategic considerations to be considered may include
issues like whether to prepare the required candidates themselves or hire it from outside,
what type of recruitment method to be used, what geographical area be considered for
searching the candidates, which source of recruitment to be practiced, and what
sequence of activities to be followed in recruiting candidates in the organization.
3. Searching: This step involves attracting job seekers to the organization.
4. Screening: The purpose of screening is to remove from the recruitment process at an
early stage, those applicants who are visibly unqualified for the job. Effective screening
can save a great deal of time and money. Care must be exercised to assure that
potentially good employees are not lost.
5. Evaluation and Control: It is necessary as considerable costs are incurred in the
recruitment process. Statistical information should be gathered and evaluated to know
the suitability of the recruitment process.

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 FACTORS INFLUENCING RECRUITMENT PROCESS
Size of the Enterprise
The size of the firm is important factor in recruitment process. If the organization is
planning to increase its operation and expand its business, it will think of hiring more personnel
which will handle its operations. One of best examples of this is Collins Brothers Moving
Corporation which was found in the year 1910 by Mr. William Collins. In 1972, the business
was purchased by Frank E. Webers. It consisted of three employees and two vans at the time.
Today the company has over 300 pieces of equipment and 275 employees.
Employment Conditions
The employment conditions in an economy greatly affect recruitment process. In under-
developed economies, employment opportunities are limited and there is no shortage of
prospective candidates. At the same time suitable candidates may not be available because of
lack of educational and technical facilities. If the availability of persons is more, then selection
from large number becomes easy. On the other hand, if there is a shortage of qualified technical
persons, then it will be difficult to locate suitable persons.
Salary Structure and Working Conditions
The wages offered and working conditions prevailing in an enterprise greatly influence
the availability of personnel. If higher wages are paid as compared to similar concerns, the
enterprise will not face any difficulty in making recruitments. An organization offering low
wages can face the problem of labor turnover. The working conditions in an enterprise will
determine job satisfaction of employees. An enterprise offering good working conditions like
proper sanitation, lighting, ventilation, etc. would give more job satisfaction to employees and
they may not leave their present job. On the other hand, if employees leave the jobs due to
unsatisfactory working conditions, it will lead to fresh recruitment of new persons.
Growth and Expansion
Organization will think or employ more personnel’s if they are planning of expanding.

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 ADVANTAGES OF EFFECTIVE RECRUITMENT STRATEGY
According to Jean Gamble (founder of Jean Gamble & Associates), the key to
successful recruiting process is to provide a clear definition of responsibilities for the job as
well as the personality characteristics required for communication and success. It’s also
important to determine in advance, which employees will be involved in interviews, how
information is collected and interpreted about the interviews, and ultimately who has the
authority to make the hire.
If there is an effective recruiting process within the organization, it is going to bring a
lot of development to that organization. It is going to help the organization to reach to its goals
and bring maximum potential of the employees in the company. When looking for sources of
staff recruitment, it should be considered both internal and external to the enterprise labor
markets .In general, intra-plant engagement should be considered the best, as the opinion is
strengthened that one can get an increase at one's own enterprise. A recruitment strategy can
have benefits for businesses and organizations in a wide range of different industries. Some of
these advantages include identifying potential gaps or areas of weakness ahead of time so they
don’t become major issues, taking a proactive approach to finding and recruiting high quality
employees, which can ultimately lead to better long-term hiring decisions. Also determining a
budget, which allows your organization to keep on top of recruitment costs and ensuring all
staff members who are involved in the recruitment process take the same approach and some
of the advantages of having aa good recruitment strategy. Having a recruitment strategy can
help your business in a number of different ways. Many organizations struggle to find high
quality employees and by identifying a strategy to help you find and hire the best, you can have
a much better chance of success than if you adopt a reactive approach and only look for new
employees as roles become vacant. When you are creating your recruitment strategy make sure
you spend some time deciding how you are going to measure your results. If you don’t have
measurable outcomes, you won’t be able to tell whether or not your strategy is working.
When you effectively recruit and select the right employee, there is a domino effect.
Your new hire will do her job well. Employees will see that you make wise decisions. You will
gain respect from your workforce, and you will get higher productivity as a result of that
respect. This positive attitude will affect the quality of your products or services, and
ultimately, your customers' perceptions of your company.

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 RESULT OF INEFFECTIVE RECRUITMENT
Effective recruitment policies and strategies are the only way we can manage to hire
most suitable candidate for the job. But if we don’t have a good strategy for hiring then it can
impact the company in many ways. While the financial impact is quantifiable a bad hire's effect
on company culture echoes beyond the employee's tenure. Poor performers lower the bar for
other employees, and bad habits spread like a virus. These three consequences from the Robert
Half Management Insights report How to avoid common hiring mistakes reveal what your
business may encounter. They are:
1. Lost productivity
If you have a bad hire, and the employee can't do their job effectively, or as well as the
person they replaced, it means wasted time. The organization may be investing the same
amount of resources in the staff member, but seeing significantly less output in return. Over a
period of time, this can have a real impact on results and the overall performance of the team.
When faced with a struggling colleague, other employees may start assuming other duties
which aren't really in their job description.
2. Lower staff morale
If a bad hire is working at below capacity - due to a lack of skills or motivation - this
can quickly have a knock-on effect to the rest of the workforce. One of the first things to take
a hit may be staff morale. If employees are asked to do more to cover for a struggling colleague,
yet still receive the same salary, it can cause tension and potentially conflict.
3. Monetary costs of finding a replacement
It costs money to hire employees and the replace them. Organizations need to create
job descriptions, advertise roles, read through CVs and application forms and carry out
interviews. All the while, they may be operating short-staffed due to a lack of capacity in the
office. Even after the new employee joins a company, there is onboarding expenditure to
consider, plus the fact the recruit may not be as productive as the experienced person they
replaced. To overcome a wrong hiring mistake, it may be necessary to reallocate people and
resources, invest in further training, or in the most serious instances, let the employee go. Even
then there are further costs to be incurred, in terms of re-recruiting for the position. Essentially
you are back to square one, with a position still to fill.

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 CONCLUSION
Recruitment, as a human resource management function, is one of the activities that
impact most critically on the performance of an organization. While it is understood and
accepted that poor recruitment decisions continue to affect organizational performance
and limit goal achievement, it is taking a long time and lots of resources to overcome the bad
hire done. The Harvard Business Review points out that as much as 80% of employee turnover
is due to bad hiring decisions. According to a study by the Society for Human Resources
Management (SHRM), it could cost up to five times a bad hire’s annual salary. SHRM also
found that the higher the person’s position and the longer they remain in that position, the more
it will cost to replace him or her. This is going to hold the company from reaching its maximum
potential. As I have mentioned above there are several major consequences which a company
has face due to bad hire. For every company or organization, it is very important to have good
hiring strategies to get the best candidate from the job pool for we can reach the goals of the
company as a fast and short period of time.

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 REFERENCE

Fatemi, F. (2016, September 28). The True Cost Of A Bad Hire -- It's More Than You Think.
Retrieved from www.forbes.com:
https://www.forbes.com/sites/falonfatemi/2016/09/28/the-true-cost-of-a-bad-hire-its-
more-than-you-think/#1f8710ee4aa4
Sull, D. (JULY–AUGUST 1999). Why Good Companies Go Bad. Harvard Business Review,
40-43.
Zimmerman, E. (JAN. 5, 2011). How Six Companies Failed to Survive 2010. SMALL
BUSINESS.

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