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Management and Organizational Studies 1021A/B Chapter Notes -Pay Commission, Extraversion And Introversion, Substance Abuse


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Management and Organizational Studies
Course Code
MOS 1021A/B
Professor
Prof

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CH 4 Human Resource Planning,
Recruitment, and Selection
Human resource planning:
Strategic plans: boarder in scope, longer in time frames, provide overall direction, apply to entire
organization
Company’s strategy determine key goals and action need to take achieve goals
Line manager link goals to skills of people
Definition: Process that the people required to run company are being used as effectively as
possible, where and when they are needed, in order to accomplish organization’s goals
Manpower planning or employment planning
Linking HR planning to strategic planning
Strategic planning involves allocation of resources (human resources); HR planning has to align to
ensure objectives are met
Succession planning: companies focus on training and development programs so leaders have
competencies necessary that can keep pace with direction of organization. Specialized work, can’t
post job opening and expect potential candidates.
Importance of planning for staffing needs
Dramatic shifts in composition of labor force require managers more involved in planning staffing
needs, changes affect employee recruitment, methods of employee selection, training,
compensation, and motivation
HR planning approaches
Forecast demand for employees
Quantitative approaches: trend analysis
Qualitative approaches: management forecasts
Trend analysis : forecast employment requirements on some type of organizational index. E.g.
Sales, units of production
Management forecasts : opinions and judgments of people who are knowledgeable about
organization’s future needs will develop scenarios that can be used for planning purposes
Companies need to look at supply of employees: Internally: in organization; externally: larger labor
market
Also identify key skills/ core competencies necessary for organizational success
Staffing tables : graphic representations of all organizational jobs, with #s of employees currently
occupying those jobs
Markov analysis : shows % and actual # of employees who remain in each job one year to next,
proportions of those who are promoted, demoted, transferred, or leave company. It’s like a staffing
table over time.
Skills inventory : info about education, experiences, skills, ect. of staff
HR planning steps
Step 1 Forecast demand for labor
Step 2 Determine supply of labor—external and internal
Step 3 Identify gap between demand and supply
Step 4 Develop action plans to eliminate gap
- OVERSUPPLY: Attrition; Leave of absence without pay; Job sharing; Reduced hours
- SHORTAGE: Hire full time/part time; Lease employees; Use overtime; Retention strategies
Results of HR Planning
Achieve useable balance between demand and supply of employees
D and S is function of economic environment
Deal with oversupply:
Attrition: natural departure of employees through quitting, retiring, or dying
High turnover-bad; replace employee costly and time consuming
Most organizations don’t stop hiring because of economic pressures
Means too many people in one area of business not enough in another
Deal with shortages:
Need for additional employees may be short-term/temporary extra hours instead hiring
Recruitment:
Process of locating and encouraging potential applicants to apply for existing or anticipated job
openings
Focus on employee retention and accessing new talent
Branding : have uniform image come into prospective employees’ minds and existing employees
when company name is mentioned
Recruitment process
1. Planning for staffing needs
2. Identification of current future job openings
3. Getting individual job info (job description and job specifications)
4. Determining recruitment method (internal or external)
5. Creating pool of potential applicants
Recruiting within organization
Fill job vacancies above entry-level position through promotions and transfers
Capitalize on investment it has made in recruiting, selecting, training, and developing current
employees
Boosts moral; Reduce or eliminate training and orientation costs; decision based on better data;
multiple sources
Advantages of recruiting within
Promotion
Reward employees for past performance, encourage them to continue efforts
Promotion makes use of people already know organization and contribution they have made
Encourage other employees improve morale
Transfer
Protect employees from layoff
Broaden job experiences
Transferred employee’s familiarity with organization and operations eliminate orientation and
training costs recruitment from outside would entail
Transferee’s performance record likely more accurate predictor of candidate’s success than data
gained about outside applicants
Methods of locating qualified internal job candidates
Computerized record systems
Internal job postings
1. HRIS
Human resource information systems
Databases contain complete records and qualifications of each employee within organization
managers access info and identify potential candidates
Resume tracking systems allow managers query outline database of resumes
Used to predict career paths of employee and anticipate when and where promotion opportunities
may arise
Needs to be up-to-date
2. Succession planning
Identify, develop, tracking key employees for future promotions
When vacancy, make use of succession planning
Rely upon organization identifying long-term goals, outlining competencies required to achieve
goals, employee is developed to assume other roles and take other responsibilities
3. Internal job posting
Past: posting vacancy notices on company employment boards in HR department or common
room
Company’s intranet, emails, internal memos, company newsletters
Benefits realized when employees believe process is being administered fairly
More effective when internal job posting is part of career development program employees are
made aware of opportunities available to them
Limitation of recruiting from within
Certain jobs requrie specialized training and experience cannot be filled from within must be filled
from outside: small organizations
Potential candidates from outside should be considered prevent inbreeding of ideas and attitudes
New ideas, latest knowledge acquired from previous employers
Risk of “employee cloning”
Gain secrets and managerial talent from competitors by hiring away their employees
Recruiting outside of organization
External recruitment organized and coordinated by HR department with line manager giving
suggestion where to recruit
No HR department, then line manager
Bring new ideas, different styles, and new energy
Advantage of external recruitment
Brings certain unique skills
Variety of different experiences and perspectives
Disadvantage of external recruitment
Lack of solid info about person’s performance on job
Only through 2nd hand sources
May not know industry/company, more extensive orientation and training
Constraints in organization prevent organization from accessing large pool of applicants
Significant costs (non-trivial): time, cost of ad, cost of familiarizing person with company
Legislative requirements lead to certain applicant pools
Labor market
Area from which applicants are recruited
Vary with type of position and amount of compensation
High degree of knowledge and skills larger area
Condition of labor market help determine which recruiting sources an organization will use
High unemployment: just resume
Low unemployment: heavy advertising
How successful organization has been reaching employment equity goals is another factor
determining sources from which to recruit
Canada relied on immigrants to meet demand for labour
Health care workers and skilled trades, highly recruited for in other countries
Outside sources of recruitment