© 2003 Prentice Hall, Inc.
4-1
Chapter 4
Personnel Planning and
Recruiting
Instructor presentation questions: docwin@tampabay.rr.com
© 2003 Prentice Hall, Inc.
4-2
Outline of Chapter 4
 Employment planning and
forecasting

How to forecast personnel
needs
 Trend analysis
 Ratio analysis
 The scatter plot
 Using computers to forecast
personnel requirements
 Managerial judgment
© 2003 Prentice Hall, Inc.
4-3
Outline of Chapter 4

Forecasting the supply of inside candidates
Manual systems and replacement charts
 Computerized information systems
 The matter of privacy
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Forecasting the supply of outside
candidates
© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
 Effective recruiting
 The recruiting yield pyramid
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Research insight
Line and staff cooperation
 Internal sources of candidates
 Finding candidates
 Hiring employees – the second time around
 Succession planning
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© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
 Outside sources of candidates
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Advertising
Placing the ad
 Constructing the ad
 Being creative
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© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
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Employment agencies
Public agencies
 Nonprofits
 Private agencies
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Temporary agencies and
alternative staffing
Benefits and costs
 Guidelines for success
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© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
 Outside sources of candidates
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Executive recruiters
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College recruiting
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Entrepreneurs and HR
Recruiting goals
On site visits
Internship
Referrals and walk-ins
Internet recruiting
© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
 Recruiting a more diverse workforce
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Recruiting single parents
Older workers as a source of candidates
Recruiting minorities and women
Welfare to work
Global talent search
© 2003 Prentice Hall, Inc.
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Outline of Chapter 4
 Developing and using application forms
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Purpose of application forms
Equal opportunity and application forms
Alternative dispute resolution
Using application forms to predict job
performance
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© 2003 Prentice Hall, Inc.
What You Should Be Able to
Do
 Explain the main techniques used in
employment planning and forecasting
 Name and describe the main internal sources
of candidates
 List and discuss the main outside sources of
candidates
 Explain how to recruit a more diverse
workforce
 Develop an application blank
© 2003 Prentice Hall, Inc.
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Employment
planning and
forecasting
Steps in Recruitment and
Selection Process
Recruiting
builds pool of
candidates
Applicants
complete
application
form
Selection tools like
tests screen out
most applicants
Supervisors and
others interview final
candidates to make
final choice
© 2003 Prentice Hall, Inc.
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EMPLOYMENT PLANNING
AND FORECASTING
 Employment or
personnel planning is
the process of
deciding what
positions the firm will
have to fill, and how to
fill them.
© 2003 Prentice Hall, Inc.
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How to Forecast
Personnel Needs
 Project revenues first then estimate the
size of the staff required to achieve it
 Staffing plans also must reflect:
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Projected turnover
Quality and skills of your employees
Strategic decisions
Technological and other changes
Financial resources
© 2003 Prentice Hall, Inc.
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Methods to Predict Employment
Needs
Scatter plot shows projected staff size
1400
Number of nurses
 Trend analysis
 Ratio analysis
 Scatter plot
Managerial
judgment plays a
big role
1200
1000
800
600
400
200
0
0
500
1000
Hospital size (# of beds)
1500
© 2003 Prentice Hall, Inc.
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Using Computers to Forecast
Personnel Requirements
 Computerized forecast

Determination of future staff
needs by projecting sales,
volume of production, and
personnel required to
maintain this volume of
output, using software
packages
© 2003 Prentice Hall, Inc.
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Forecasting the Supply of
Inside Candidates
 Qualifications inventories

Manual or computerized records listing
employees’ education, career and
development interests, languages, special
skills, and so on, to be used in selecting
inside candidates for promotion
© 2003 Prentice Hall, Inc.
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Manual Systems and
Replacement Charts
 Personnel inventory &
development record help
track employee
qualifications
 Personnel replacement
charts are often used for
filling a company’s top
positions
© 2003 Prentice Hall, Inc.
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Forecasting the Supply of
Inside Candidates
 Personnel replacement charts

Company records showing present
performance and promotability of inside
candidates for the most important positions
© 2003 Prentice Hall, Inc.
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Forecasting the Supply of
Inside Candidates
 Position replacement card

A card prepared for each position in a
company to show possible replacement
candidates and their qualifications
© 2003 Prentice Hall, Inc.
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Computerized Information
Systems
 Work experience
codes
 Product knowledge
 Industry experience
 Formal education
 Training courses
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Foreign language skills
Relocation limitations
Career interests
Performance
appraisals
 Skills
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© 2003 Prentice Hall, Inc.
Management Replacement
Chart
© 2003 Prentice Hall, Inc.
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The Matter of Privacy
 Several things make it important to protect
employee information:
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Computerized information systems
Network access makes this information available
Legislation
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Federal Privacy Act of 1974
New York Personal Privacy Act of 1985
 Access matrices may help
© 2003 Prentice Hall, Inc.
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Forecasting the Supply of
Outside Candidates
 Monitoring general
economic conditions
 Business Week,
Fortune, Economist
and Wall Street Journal
 U.S. Government
© 2003 Prentice Hall, Inc.
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Effective Recruiting: The
Yield Pyramid
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New hires
Offers made (2 : 1)
Interviewed (3 : 2)
Invited (4 : 3)
Leads generated (6 : 1)
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© 2003 Prentice Hall, Inc.
Internal Sources of
Candidates
 No substitute for knowing a candidate’s
strengths and weaknesses
 Inside candidates may be more
committed to the company and can
increase morale
 Can backfire
 Can promote inbreeding
© 2003 Prentice Hall, Inc.
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Finding Candidates
 Job posting

publicizing the open job to employees and
listing its attributes like qualifications,
supervisor, work schedule, and pay rate
 Rehiring former employees

an option today due to the tight labor market
© 2003 Prentice Hall, Inc.
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Finding Internal Candidates
 Succession planning: ensuring a suitable
supply of successors for future senior jobs
 Planning includes:
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Determine projected need
Audit current talent
Planning career paths
Career counseling
Accelerated promotions
Performance related training
Planned strategic recruitment
Filling
© 2003 Prentice Hall, Inc.
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Outside Sources of
Candidates
 Advertising – the
advertising media and ad
content
 Select the best media –
local paper, WSJ, TV, or
internet depending on the
position
© 2003 Prentice Hall, Inc.
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Outside Sources of Candidates
American
Psychologi
st
THE WALL STREET JOURNAL
© 2003 Prentice Hall, Inc.
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Ad Construction
 Use the AIDA guide
(attention, interest,
desire, and action) to
construct ads
 Be creative - use of ad
agencies might help
develop and promote a
companies image
© 2003 Prentice Hall, Inc.
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Employment Agencies
 Types of agencies:
Public agencies and
non profit
 Private agencies
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© 2003 Prentice Hall, Inc.
How to Avoid Problems With
Employment Agencies
 Provide full and accurate job description
 Specify the screening tools to use
 Review data on candidates accepted or
rejected by your firm and by the agency
 Develop a long-term relationships with
one or more agencies
 Screen the agency
© 2003 Prentice Hall, Inc.
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Temp Agencies
 Alternative staffing often used to
supplement a permanent workforce
 One year 100,000 people found temp
work in engineering, science and
management support
© 2003 Prentice Hall, Inc.
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Guidelines for Success
• Some temp workers felt
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Dehumanized
Insecure
Worried
Misled
“Underemployed”
Angry
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© 2003 Prentice Hall, Inc.
Guidelines for Temp Workers
 Honest information
 Policies for fair treatment
 Use independent contractors and permanent
part-time workers
 Consider impact on permanent workers
 Provide training and orientation
 Beware of legal snares in your payroll
decisions
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© 2003 Prentice Hall, Inc.
Policies to Use With
Agencies
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Invoicing
Time sheets
Temp-to-perm policy
Recruitment of and benefits for temp
employees
 Dress code
 EEO statement
 Job description information
© 2003 Prentice Hall, Inc.
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Executive Recruiters
 Headhunters
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Special employment agencies used to seek
out top management and technical talent
 Internet databases have shortened time
required to find talent
 Online executive recruiting firm
futurestep
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© 2003 Prentice Hall, Inc.
Tips on Choosing a
Recruiter
Can they conduct a thorough search?
Meet individual who will handle the search
 Ask about the cost
 Be sure you can trust them
with privileged information
 Talk to prior clients
© 2003 Prentice Hall, Inc.
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Outside Hiring
 College recruiting goals are:
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Attract good candidates
Cull candidates for further
consideration
 Onsite visits
 Internships
 Referrals and walk-ins
© 2003 Prentice Hall, Inc.
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Campus Interview Report
Name of person interviewed
Applying for position
Department
Qualifications
Excellent
Satisfactory
Communication
Education
Related Experience
Interpersonal Skills
Problem Solving Skills
Adaptable to change
Comments:
Completed by
Poor
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© 2003 Prentice Hall, Inc.
Recruiting on the Net
•Many companies are turning to the Internet as a
recruiting tool
• Corporate and employment web pages are one approach
• Internet recruiting is cost effective and timely
careerbuilder
© 2003 Prentice Hall, Inc.
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Network Recruiting
Resources
 Visit these sites.
computerjobs.com
© 2003 Prentice Hall, Inc.
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Internet Recruiting
 While monster.com may have 5
million online resumes there
may be 2-3x that on the internet
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Go to
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Conduct searches for specific areas
and talents
Tripod and Yahoo also search
resume databases for locating
possible employees
© 2003 Prentice Hall, Inc.
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Recruiting High-tech
 GE medical is an industry leader which
illustrates the best practices of recruiting
high-tech workers
 GE medical applies benchmarked
purchasing techniques to dealing with
recruiters
 Recruitsoft powers enterprise recruiting
© 2003 Prentice Hall, Inc.
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Recruiting a More Diverse
Workforce
 Recruiting single parents – you
must understand their concerns
 Older workers – 80% of baby
boomers will work beyond
retirement age
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Check policies – don’t force
oldsters to leave
Use flexible work options
Remake suitable jobs
Offer customized benefit plans
© 2003 Prentice Hall, Inc.
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Older Workers As a Source
of Candidates
 Supply and demand
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Retirees will double to 4 million
Fewer young people entering the workforce
 Practicality
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Physical and cognitive abilities
Drop in absenteeism
4-47
© 2003 Prentice Hall, Inc.
Recruiting a More Diverse
Workforce
 Recruiting minorities and women
– formulate comprehensive plans
 Welfare-to-work – the key is
training
Searching globally – many global
companies actively recruit foreign nationals
4-48
© 2003 Prentice Hall, Inc.
Developing Application
Forms
 Application forms provide 4 types of info
Does candidate have the necessary education or
experience ?
Provides applicants previous progress and growth
Provides previous work record to assess the applicants
suitability
Application data can determine if applicant will succeed
© 2003 Prentice Hall, Inc.
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Developing Application
Forms
 Must NOT have questions in an application
form to be EEO compliant
Education dates
 Arrest record
 Relationship of a “notify in case of emergency”
 Membership in organizations
 Physical handicaps
 Marital status
 Housing status
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© 2003 Prentice Hall, Inc.
Sample Applications
 Governor's Job Bank
 South Carolina State Government
Application for Employment
 Federal Employment Application
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© 2003 Prentice Hall, Inc.
Applications to Predict Job
Performance
 Much like screening, some firms use job
applications as a tool to predict future
performance
 They conduct statistical studies to find
relationships between responses and
success
 Risk here is asking overly intrusive
question
© 2003 Prentice Hall, Inc.
4-52
Summary Slide
 Steps in recruitment and selection
process
 Employment planning and forecasting
 How to forecast personnel needs
 Methods to predict employment needs
4-53
© 2003 Prentice Hall, Inc.
Summary Slide (Cont.)
 Using computers to forecast personnel
requirements
 Forecasting the supply of inside
candidates
 Computerized information systems
 Management replacement chart
4-54
© 2003 Prentice Hall, Inc.
Summary Slide (Cont.)
 Forecasting the supply of outside
candidates
 Effective recruiting: the yield pyramid
 Internal sources of candidates
 Finding internal candidates
 Outside sources of candidates
4-55
© 2003 Prentice Hall, Inc.
Summary Slide (Cont.)
 Employment agencies
 How to avoid problems with employment
agencies
 Temp agencies
 Guidelines for success
 Guidelines for temp workers
 Policies to use with agencies
4-56
© 2003 Prentice Hall, Inc.
Summary Slide (Cont.)
 Executive recruiters
 Tips on choosing a recruiter
 Outside hiring
 Internet recruiting
 Recruiting high-tech
 Recruiting a more diverse workforce
 Older workers as a source of candidates
© 2003 Prentice Hall, Inc.
4-57
Summary Slide (Cont.)
 Developing application
forms
 Sample applications
 Applications to predict job
performance