GROUP PROJECT - MGHA12 Topic: Recruitment Company: Microsoft GROUP 17 Group members (names as on Quercus): Advika Biju Thottingal- - 1010641968 Connie Chen - 1009460101 Vincent Kwong - 1008207771 Akul Veauli - 1009712483 Hailey Vu - 1010576093 Xinru Eva Zhao-1007132407 OVERVIEW OF RECRUITMENT AT MICROSOFT Microsoft is always a benchmark in the dynamic and innovative technology industry. In 1975, Microsoft was a small software company founded by Bill Gates and Paul Allen (Bellis, n.d.). Then, it grew into one of the most influential companies in the world over generations. Nowadays, it offers a variety of products and services, including laptops, operating systems, cloud computing, hardware, and more. Meanwhile, Microsoft operates in over 190 countries worldwide (Bellis, n.d.). Under the dynamic and innovative background, recruitment plays a crucial role in sustaining Microsoft's position. The process of recruitment includes attracting, selecting, and assigning. In the tech industry, the competition for top talent is fierce. For Microsoft, recruitment is not just about filling vacancies; it's about identifying and bringing on board individuals who can contribute to and thrive in Microsoft's culture of continuous learning and innovation. GENERAL DESCRIPTION OF MICROSOFT’S RECRUITMENT POLICIES Microsoft follows a seven-step recruitment process to hire employees. The first step would be for the potential candidates to browse through various job options and select one that is the most suited for them and for which they possess the required qualifications. The second is applying for the job post of their choice online, which requires them to fill out the required details in an application form, after which they may receive a confirmation mail stating that their application has been received and will be processed. This step is followed by the application review, which determines who is eligible to progress to the interview stage. When there is an influx of applications, the hiring team may conduct a brief screen, which involves a faster evaluation of candidates, however, this limits their ability to provide individual feedback to unsuccessful candidates. After this stage is completed, the successful candidates are invited for a one-hour interview, which usually consists of two interviewers and is held virtually or in person. Potential employees are asked questions that may pertain to their resume and how their performance would enhance the productivity of the company, or demonstrate the qualifications and skills required for the job. Successful candidates are later sent an offer after the interviewers and hiring team finalize their decision, who are obligated to specify the terms of the work agreement, any insurance provided (for example, health and wellness benefits), and the newly 1 recruited employees are asked to solidify their acceptance of the job offer within a specified date. The manager contacts those who have accepted the offer and provides them with information about any tasks they might have to undertake before their first day. Microsoft is committed to providing accommodation throughout the recruitment process after potential employees submit a support form to provide tailored assistance. This could be through providing a Sign Language Interpreter, additional time to complete an online technical screen, and providing content in an accessible format. A skilled employee will be assigned to a new employee to aid them during the first few months on the job. ASSESSMENT Microsoft’s current plans are appropriate, however, they can be improved. A notable competitor of Microsoft is Google. When Google recruits employees, their process includes a step where applicants are expected to go through an assessment called Google Hiring Assessment. Google uses its Hiring Assessment, virtual chats, and work projects before pushing a candidate into the interview phase. Microsoft only has a step where they assess applications and move straight into the interviews. Although Google’s method may be costly as well as time-consuming, it overall allows them to recruit the best people suited for the job as well as be able to provide feedback to applicants. In the future, Microsoft will most likely stick to the interview approach that they have kept for the past few decades. As they have kept this format for so long, they will not change their hiring process unless something unforeseen happens and forces them to adjust their approach. However, it is substantial to mention that in the past, Microsoft has changed some of their interview processes to match Amazon’s and Apple’s recruitment policies, as these companies focused on hiring based on behavioral competencies. Instead of simply asking questions about qualifications, Microsoft started focusing on inquiring candidates about how they would solve problems or execute strategies. Based on this, Microsoft will most likely adjust its hiring process in response to the practices of its competitors. Nowadays, many organizations, such as IBM and Amazon, utilize the wide range of benefits that come with AI. This technology is very good at completing repetitive and time-consuming tasks. In the future, Microsoft may fully utilize AI to help with screening when they have an influx of applications as well as conduct AI interviews as the technology will be able to employ voice and 2 facial expression analysis to assess a candidate's tone, mannerisms, and emotions. Additionally, AI will not have biases when assessing candidates and will be more cost-efficient. PEER-REVIEWED JOURNALS Article #1: Microsoft should adopt AI into their HR hiring process due to the company’s traits (High industry Uncertainty & High Asset Specificity) Using AI to formulate a TOE (Technology, Organization, Environment) model that focuses on absorptive capacity, which is the ability to learn and apply new knowledge from external environments. The model can improve an organization’s internal resource database. Such information gained can be used to internally evaluate employees, market pay rates, and continuously update job postings to the latest information. This assists in reducing organizational adjustments and hiring contract negotiations which are additions to cost reduction. A study was conducted on various HR managers from diverse sectors to measure which companies should implement AI into their HR recruiting process, and the results highlight that companies with high asset specificity and high uncertainty are the ones that should adopt AI usage. Assets refer to an applicant and the complexity of a job post, and high uncertainty refers to an industry’s sector and organizational context. Microsoft has both qualities, due to being in a rapidly changing industry (high uncertainty) and filling jobs that require immense background skills and requirements needed to find a successful candidate (high asset specificity). Article #2: Microsoft should promote content marketing to brand a positive company image to develop a qualified cultured-catered application pool Digital Marketing can be a crucial tool to create a company’s image to improve the recruitment process. Based on a study conducted that interviewed job applicants of different backgrounds, from master students, interns, and current employees regarding their opinions of what types of online content influence their job search, many have noted that they were willing to apply to companies that have a positive background image. Digital marketing also allows companies to attract a certain demographic accurately which is useful for recruiting well-qualified applicants that meet specific criteria. Job applicants can evaluate a 3 company’s culture and judge whether they are a culture fit or not, improving the quality of the application pool that’s catered to the company. RECOMMENDATIONS Integrate AI-powered tools: According to journals and assessments, integrating AI into the hiring process enormously improves efficiency and transparency. For the initial application screening round, AI-powered software or Natural Language Processing (NLP) algorithms can skim through a large number of applications to find the most suitable applicants in a fast and unbiased manner. AI-powered chatbots can also be included in the recruiting system to offer real-time support. AI-powered tools and algorithms can also be utilized to analyze the candidates’ performance during interviews and reduce unconscious bias since people’s judgments, either desirable or undesirable, will have some sense of bias. Finally, AI algorithms can give recruiters and applicants feedback on areas for improvement to ensure a better recruiting process in the future. Provide personalized feedback: Throughout the recruiting process, from the initial resume screening to interviews, Microsoft only informs successful candidates and does not notify unsuccessful ones. Even though it is time-saving, it hinders the company’s ability to provide personalized feedback to unsuccessful candidates. Implementing a feedback system can assist unsuccessful candidates in identifying areas for development and raise the company's image, all of which are good in the long run as it increases the chances the potential applicants reapply. Expand interview formats: At the moment, Microsoft only conducts one round of interviews with applicants regarding their resumes and qualifications, with two interviewers. Even though this can save time, it reduces the ability to evaluate a candidate thoroughly. Instead, Microsoft can diversify interview questions to include behavioral questions, as they are currently following in the footsteps of Amazon and Apple. Moreover, having only two interviewers increases the likelihood of unconscious bias; therefore, Microsoft should consider incorporating different forms of interviews, such as panel or competency-based interviews for a fair and transparent hiring outcome. Focus on digital marketing - boost online presence: As the world revolves around technology and more people have access to digital content, Microsoft must keep up with this change. 4 Creating a strong corporate image online will allow the company to reach a larger audience and potential candidates. This can be achieved through targeted advertising - segmenting and targeting demographics with relevant skills to job positions on digital channels such as LinkedIn and Facebook. SUMMARY AND CONCLUSION Microsoft is a prominent player in the technology industry, continually innovating and expanding. Its recruitment process is crucial to maintaining its competitive edge by hiring the best human capital. Analyzing Microsoft's current human resource policies, it can be seen that the company prioritizes hiring the best candidates while keeping up with the ever-changing industry standards and practices. Microsoft follows a seven-step recruitment process in which prospects are critiqued based on criteria related to their resume and analytical questions. This criteria has been helpful for Microsoft, however, due to the intense competition, it should adjust its recruitment measures to remain competitive, as human resources is a crucial part of its business. The difference between Microsoft and its competitors is its lack of artificial intelligence for recruitment. Although Microsoft has recently purchased OpenAI and utilized its benefits across company offerings, they have yet to integrate AI into the recruitment processes. The key recommendation for Microsoft is the complete integration of AI into their recruitment. By heeding these suggestions, Microsoft can improve hiring, however, as discussed in the assessment section, they may adhere to their current practice, as they do not change unless there is an unforeseen event, such as the current AI situation. As for the rest of the recommendations, it is difficult to predict if Microsoft will include them as they are not the leader in recruitment policies. If Microsoft uses these recommendations, it will propel the quality of human capital to new heights in their industry. 5 REFERENCES/APA CITATIONS Agouridis, A. (2023, December 1). AI in recruitment - everything you need to know. Jobylon. https://www.jobylon.com/blog/how-ai-is-transforming-the-world-of-recruitment Bellis, M. (2020, January 10). Who founded Microsoft and what made it so successful?. ThoughtCo. https://www.thoughtco.com/microsoft-history-of-a-computing-giant-1991140 Google. (n.d.). Our hiring process. Google Careers. https://www.google.com/about/careers/applications/how-we-hire/ Hasan, S. M., Ahmadi, H., Sekhon, H., Mortimer, G., Sadiq, M., Kharouf, H., & Abid, M. (2022, May 11). The role of green innovation and hope in employee retention. https://onlinelibrary.wiley.com/doi/full/10.1002/bse.3126 Microsoft Careers. Hiring tips | Microsoft Careers. (n.d.). https://careers.microsoft.com/v2/global/en/hiring-tips Pan, Y., Froese, F. J., Liu, N., Hu, Y., & Ye, M. (2021, February 21). The adoption of artificial intelligence in employee recruitment: The influence of contextual factors. Yonsei University. https://yonsei.elsevierpure.com/en/publications/the-adoption-of-artificial-intelligence-in-emplo yee-recruitment-t Rodrigues, D., & Martinez, L. F. (2019). The influence of digital marketing on recruitment effectiveness. https://www.emerald.com/insight/content/doi/10.1108/EJMS-09-2020-002/full/pdf The evolution of Microsoft Hiring Processes. Carrus. (n.d.). https://www.carrus.io/blog/the-evolution-of-microsofts-hiring-process-from-an-ex-microsofthiring-manager Thammala, R. (2023, October 17). These 7 companies using AI for recruitment (+key takeaways). WebPipl. https://webpipl.com/companies-using-ai-for-recruitment 6