MANPOWER PLANNING RECRUITMENT AND SELECTION

MANPOWER PLANNING

Forecasting Demand Forecasting Supply

Gaps/ Glut Problem (Demand and Supply Gap)

HRP: Supply - Demand Analysis

Buffer

(t) = Demand (t) Supply (t) Buffer (t) = Undergoing raining ! Benc" Demand (t) = f#(gro$t"% tec"nology) Supply (t) = f&(educational instt' supply% peer cos'% referrals% trained manpo$er% producti(ity% promotions% attrition% lea(es% absenteeism%)

Was a!e "# A #i i"n

Promotion s out

ransfer in

S )*+

,etirements Dismissals -oluntary $astage

,ecruits

Promotion s in

.ttrition or turno(er during a period/ -oluntary $astage/ a(g' number of employees in t"at period'

Was a!e Ra es $ Su#%i%"# &un' i"n : T#a'(in! A #i i"n

#11

*o"ort 0et"od

23

5 age sur( i(in g

31 &3 1
yr# yr&

*ensus 0et"od
enure 9o at yr beginning :eft during yr ;astage rate Sur(i(al rate Sur(i(or function 16# #1 & 1'& 1'< 1'< #6& 73 3

1 #3

3 4rs of Ser(ice

#1

&67 && 7 1'#8 1'<= 1'3>

768 #8 # 1'12 1'>7 1'33

1'#8 1'<= 1'=>

HRP: C"s - )ene*i analysis

,eplacement *osts = Separation cost !.ttraction/ selection costs! ?nitial raining ! Benc" cost ! :o$er initial producti(ity Burnout/ :o$ morale *osts' ,etention *osts = *areer gro$t" (?n(estment in education% training% rotation costs )! Salary' .ttrition *osts = otal strengt"@ .ttrition rate @9et ,eplacement costs ! *ost of Permanent loss of Auman capital' 9et ,eplacement costs = ,eplacement *osts 6 ,etention *osts

Op imal Tenu#e "# A #i i"n Ra e

B' ;"en $ill firm reco(er its cost sunC in recruitmentD

9et ,eplacement *ost = Delta Producti(ity@time in Eob after ne$ employee attains standard producti(ity le(el

B' ;"en ideally a firm $ill liCe to fire an employeeD

Producti(ity = ;age or salary 0arginal Producti(ity = 0arginal *ost or $"en one unit increase in producti(ity is eFual to one unit increase in cost or salary'

*osts/Producti(ity
,G S *osts Delta P

?nitial trg' G benc" cost

Producti(ity cur(e

Salary

enure ,etention costs t

Delta P

C"s s "* W#"n! Sele' i"n and Re+e' i"n

Selection Hrror/ Hrror by selecting $rong candidate' ,eEection Hrror/ Hrror by reEecting rig"t candidate' *ost of selection error and *ost of reEection error' otal cost of selection= *ost of rig"t selection and reEection ! *ost of $rong selection or reEection Some ,esults Screening applicants is more profitable $"en t"e selection costs are small' Screening applicants is more profitable $"en employing t"ose targeted by screening $ould be costly to t"e firm' )t"er$ise you lea(e it to self selection

E'"n"mi's "* Sele' i"n

c =n@p@*s ! n(#6p)I*s!*se!*reJ ?f *re=1K "en c/n = tc = *s!(#6p)*se Substituting *s= CpK *se= l/p (C G l constt') tc= ICpL&6 lp !lJ/p c= otal cost of selection procedure for n candidates' tc= .(erage cost of conducting t"e selection procedure' p= Probability of rig"t selection or rig"t reEection' *s= *ost of conducting t"e selection process per candidate' *se= *ost of selection error (Producti(ity losses)' *re= *ost of reEection errors'

Minimum '
d(tc)/

dp = 1 p = (l/C)L1'3 tc min= & (Cl)L1'36 l

E'"n"mi's "* Sele' i"n

tc

tcmin

pcr = (l/C)L1'3

p
pmaM= #

RECRUITMENT
.ttraction

Strategies

*ompensation ;orC ?tself Hmployer Branding (Great Places to ;orC)

,ealistic

Nob Pre(ie$

ACCENTURE SUR,EOPresented belo$ in t"e order of importance are t"e eMpectations of candidates $it" regards to prospecti(e employers/ P *ompensation/ salary (<& percent) P ?nteresting and c"allenging $orC (22 percent) P "e opportunity to gain global eMperience (=7 percent) P Prestigious company name (3> percent) P Formal training (33 percent) P FleMible $orC "ours (38 percent) P "e companyQs reputation as an employer (3& percent) P Social atmosp"ere (31 percent) P Benefits suc" as "ealt" insurance (8& percent) P "e super(isor $"o $ill mentor and coac" (73 percent) P )pportunity to tra(el (78 percent)R Source / "ttp///$$$'rediff'com/geta"ead/&11</Eun/17grad'"tm

RECRUITMENT
Sources

?nternal and HMternal ?nternet ,ecruitment *onsultants *ampus 9on raditional

Source

H(aluation

INTERNAL ,S E.TERNAL

?nternal (s HMternal Decision6 Fit $it" t"e *onteMt' ?:0

Hntry :e(el Airing Succession Planning Promotions ransfers HMpatriation Hntry le(el and :ateral Airing

H:0

TALE O& TWO MAR/ETS

?nternal :abor 0arCets

.d(ancement/ ournaments )rganiSational *ommitment *radle to Gra(e *ontract *areer De(elopment/ )rganiSational ,esponsibility .d(ancement/ Nob Aopping *areer or Professional *ommitment Boundary less *areers *areer De(elopment/ ?ndi(idual ,esponsibility

HMternal or )pen :abor 0arCet

SELECTION

,ecruiter6 *andidate ?nformation .symmetry in Selection Process' Signaling and Screening

Signaling/ Seller signaling to buyer a pri(ate information critical for selling t"e product% e'g' student signaling t"eir abilities by acFuiring furt"er education in labor marCet' Screening/ Buyer uneart"ing a critical pri(ate information about seller important for buying t"e product e'g' recruiters uneart"ing t"e information about candidate t"roug" selection met"ods'
Airing for .ttitude or SCill (P6) and P6N fit) .ttitudes become difficult to e(aluate and may reFuire eMpensi(e selections met"ods *ompetencies
"res"old Differentiating

Selection *riteria

Selection Decision 0aCers/ *onstitution of panel may include line managers and A, managers'

Fit $it" t"e *onteMt

SELECTION
0et"ods

Pre placement offers Probations G ?nterns"ip ?nter(ie$s .bility ests Personality ests .ssessment *enters *ombining 0et"ods

(.ptitude G .c"ie(ement ests)

E**i'a'y "* R $ S P#"'esses

,ecruitment

Signaling
9umber of applications/ cost of ad(ertisement 9umber of s"ortlisted/ otal applications

Screening

Selection Processes

0ultiple Aurdle
9umber of selected/ total e(aluated

Self Selection
,eEected offers/ otal offers Buits during probation

?mportance of *riteria

.ttitude (s tec"nical sCills and competencies