Internal and External Recruitment

 


A source of recruitment can be described as avenue through which a prospective employer can organize a pool of prospective job applicants or job seekers. Basically, there are two avenues preferably described as sources of recruitment (Otoo, Assuming and Agyei, 2018).

In deciding whether to hire from within or outside the firm, employers should consider the nature and level of the job, characteristics of the firm and industry, and a firm’s system of human resource management policies, such as intensive recruitment and screening policies and training. (DeVaro, 2016).

 

Internal Recruitment

The internal sources of recruitment are present employees, employee referrals (Absar, 2012)

According to Armstrong (2014), first consideration should be given to internal candidates. In addition, it is always worth trying to persuade former employees to return to the organization or obtain suggestions from existing employees (referrals) (Armstrong, 2014).

Internal hiring should be preferred to external hiring when knowledge and skills specific to the firm are important, when promotions are crucial for motivating current workers, when the costs of a hiring mistake are particularly large, and when an additional vacancy (created when a worker switches jobs internally) is not too costly (DeVaro, 2016).

By the following table, DeVaro (2016), summarizes the advantages and disadvantages of Internal recruitment.

 

Figure 1.0 Advantages and Disadvantages of Internal Recruitment











Source: (De Varo, 2016)

 

External Recruitment

According to Kleynhans et al. (2006), External recruitment is needed;

-        -  to fill entry-level jobs

-       -  to obtain skills that the current employees do not have, and

-        -  to get employees with different backgrounds so that there is a wide variety of ideas or input into the organization.

External sources of recruitment are the professional associations, newspaper advertisements, campus recruiting, unsolicited applicants, management consulting firms, and internet (Absar, 2012).

 

Advantages and Disadvantages of External Recruitment are elaborated in the following figure by Fried & Fottler, (2011)

Figure 2.0 Advantages and Disadvantages of External Recruitment


 














Source: (Fried & Fottler, 2011)


State- owned Commercial Corporation that I serve for, concerns for external recruitments for the initial level of Senior Level Executives with the intention of attracting professionally and academically qualified young blood to the organization (i.e. Chartered Accountants & Chartered Engineers), whilst also a proportionate being allowed for the internally qualified employees to climb up the ladder of hierarchy through promotions, in order to encourage the existing employees.

 

References

  • Absar, M., (2012). Recruitment & selection practices in manufacturing firms in Bangladesh. Indian journal of industrial relations. 47. 436-449.
  • DeVaro, J., (2016). Internal hiring or external recruitment? IZA World of Labor, ISSN 2054-9571, Institute for the Study of Labor (IZA), Bonn, Iss. 237, http://dx.doi.org/10.15185/izawol.237
  • Fried B.J. & Fottler M.D., (2011) Fundamentals of Human Resources in Healthcare. Health Administration Press, Chicago, IL.
  • Klementová, V., Hvolková, L. and Klement, L., (2015). Recruitment and Employment of Human Resources in Slovak Enterprises
  • Aswegen, S.V., Kleynhans, R., Meyer, W., and Markham, L., (2006). Human Resource Management: Fresh Perspectives. Pearson Education South Africa, 2006. 310 p. ISBN 978-1-86891-417-3.
  • Otoo, I. C., Assuming, J. and Agyei, P. M., (2018) “Effectiveness of Recruitment and Selection Practices in Public Sector Higher Education Institutions: Evidence from Ghana”, European Scientific Journal, ESJ, 14(13), p. 199. doi: 10.19044/esj.2018.v14n13p199.

Comments

  1. Agreed with your points and adding to that, Organizations must be very vigilant in deciding whether they recruit internally or externally. Many organizations prefer internal recruitment first and then external recruitment only if internal recruitment does not succeed. Internal recruitments are less expensive (SHRM, 2021).

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    1. Thank you Nivethini. According to Armstrong (2014), first consideration should be given to internal candidates. If these approaches do not work, the sources of candidates are online recruiting, social media, advertising, recruitment agencies, job centres, consultants, recruitment process outsourcing providers and direct approaches to educational establishments.

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  2. Agreed, Employers should not be afraid to think outside the box for nontraditional recruitment strategies. Often, these unique recruitment tactics net well-qualified candidates and set an employer apart from the competition (SHRM,2021).

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    1. Thank you Indeevari. Adding to your point, Employers generally use some combination of internal and external recruitment tactics. Both approaches have certain basics in common: A foundation in rigorous job analysis; well-crafted job descriptions; and compliance with applicable laws, especially equal employment opportunity laws (SHRM,2021).

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  3. Further recruitment sources can be categorized in to two, formal sources and informal sources. Formal sources use formal intermediaries while informal sources do not use formal intermediaries between candidates and organization (Griffeth, Tenbrink and Robinson, 2014).

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    1. Thanks Chanaka. Adding to that, the findings indicate that promotion, contingent rewards, operating conditions and nature of work had a significant effect with formal recruitment whereas pay, supervision, fringe benefits, coworker’s attitude and communication had a significant effect with Informal recruitment (Sameen, 2016).

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  4. It is a true fact that recruitment and selection process is one of the most vital HR processes of an organization. If the management of an organization fills a vacancy through promotion or transfer with one of its own staff, the opportunity to fill the vacancy with a new recruit from outside will be waived. This will be a disadvantage if the outsiders highly talented than the insiders. However, organizations frequently have a bias favoring insiders (DeVaro, 2016).

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    1. Agree on the point Oshadee. Recruitment is a process of attracting and identifying the prospective group of candidates for the job from internal sources or external sources on the other hand the selection is the process of selecting the best candidate from the recruited candidates for the position advertised (Arthur, 2001).

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  5. In addition, recruitment methods are impacted by internal factors such as HR policies, Size of the organization, Budget, Reputation, Age of the firm together with external factors such as Unemployment rate, Labor laws and Demand (Ahmed, 2019).

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    1. Agree Arjun, internal forces that affect recruitment, too. It's important that you don't overlook them because the more you know and understand, the better able you will be to confront them, head-on and with determination (Wroblewski, 2019).

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  6. Agreed with you and adding to that,
    This relates to fill vacancies by members of the organization by promoting a better job. In this case, take the form of advance recruitment, promotion, a wheelwright or transfer from one job to another (Muscalu, E. 2015, p 353).

    This method used when it is considered that the interior cannot provide a suitable candidate for a particular job. External recruitment must be well planned and coordinated and is especially needed fast growing organizations or those for which a keen interest from highly qualified labor force (Muscalu, E. 2015, p 355).

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    1. Thank you and agree with you Eranda, the employee selection process is as unique as an organization itself, and the best format for yours depends on many things. You need to find the selection methods that are reliable, predictive and best suited for the roles you need to hire for (Heather, 2020).

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