Recruitment and Selection
By Paul R. Bernthal, Ph.D. In partnership with: employment. Once these candidates are identified, the process of selecting appropriate employees for employment can begin. This means collecting, measuring, and evaluating information about candidates’ qualifications for specified positions. Organizations use these practices to increase the likelihood of hiring individuals who have the right skills and abilities to be successful in the target job.
Part I: Overview
The objectives of this study were to: • Identify general practices organizations use to recruit and select employees. • Determine which recruitment and selection practices are most effective. • Determine how the practices affect organizational outcomes. DDI collected data from 573 members of the Electronic Recruiting Exchange. Most respondents performed functions related to the recruitment and selection of employees. They were asked to respond to questions related to the following issues: • Profile of recruitment and selection strategies. • Use of specific recruitment and selection practices. • Barriers to effective recruitment and selection. • Outcomes of recruitment and selection practices.
Finding 1: When filling a mid- or senior-level leadership position, organizations are more likely to hire an external candidate than an internal candidate. • In general, external candidates were selected more often than internal candidates. External candidates sometimes bring skills that cannot be found within the organization’s current workforce. • In organizations filling a greater number of positions, the percentage of mid- and senior-level positions filled by internal candidates increases (see Figure 1). Those organizations filling more positions (i.e., larger organizations) might have a better chance of finding qualified candidates within their current workforce. Additionally, larger organizations might be more likely to have well-defined succession management systems to prepare internal candidates for promotion. Finding 2: Most organizations plan to increase the money spent on both recruiting and selecting candidates. • On average, 33 percent of organizations’ HR budget is allocated specifically to recruitment and 18 percent is allocated specifically to selection.
This report focuses on recruiting and selecting individuals for employment in an organization. Recruitment is the process of identifying and attracting a group of potential candidates from within and outside the organization to evaluate for
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DEVELOPMENT DIMENSIONS INTERNATIONAL
Figure 1: Percentage of Leadership Positions Filled by Internal Candidates 60% Percentage Internal Candidates Selected
30% 20% 10%
1 to 5 6 to 10 11 to 50 51 to 100 101 to 200 201 to 500 501 to 1,000 More than 1,000
Number of Hires in One Year
• Over the next two years, most organizations will increase the amount of money they will spend on recruitment and selection. When adjusting for normal increases due to cost inflation, 31 percent of organizations plan to increase spending for recruitment and 22 percent for selection. • Almost half the respondents (46 percent) indicated that it is easier to recruit people today compared to one year ago. Less than one quarter (22 percent) feel that recruiting has become more difficult. Finding 3: In the next year, organizations are likely to change their approach to recruitment. Selection practices are not...