A Comparative Study: Recruitment Process Outsourcing and in House Recruitment

Topics: Business process outsourcing, Recruitment, Recruitment Process Outsourcing Pages: 20 (5115 words) Published: September 13, 2009

Recruitment is an important part of an organization’s human resource planning and their competitive strength. Competent human resources at the right positions in the organization are a vital resource and can be a core competency or a strategic advantage for it. The objective of the recruitment process is to obtain the number and quality of employees in order to help the organization to achieve its goals and objectives. With the same objective, recruitment helps to create a pool of prospective employees for the organization so that the management can select the right candidate for the right job from this pool.

According to Edwin B. Flippo, “Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization”. Recruitment is the activity that links the employers and the job seekers. Recruitment of candidates is the function preceding the selection, which helps create a pool of prospective employees for the organization so that the management can select the right candidate for the right job from this pool. The main objective of the recruitment process is to expedite the selection process. Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified applicants for the future human resources needs even though specific vacancies do not exist. Usually, the recruitment process starts when a manger initiates an employee requisition for a specific vacancy or an anticipated vacancy.

Sources of Recruitment:

Advantages of using Internal Sources:
Filling vacancies in higher jobs within the organization or through internal transfers has various advantages such as: Employees are motivated to improve their performance.
Moral of the employees is increased.
Industrial peace prevails in the enterprise because of promotional avenues. Filling of jobs internally I cheaper as compared to getting candidates from external sources. A promotion at higher levels my led to a chain of promotion at lower levels in the organization. This motivates employees to improve their performance through learning and practice. Transfer or job rotation is a tool of training the employees to prepare them for higher jobs. Transfer has the benefit of shifting workforce from the surplus departments to those where there is shortage of staff. Drawbacks of Internal Sources:

Internal sources of recruitment have certain drawbacks such as: When vacancies are filled through internal promotions, the scope for fresh talent is reduced. The employees may become lethargic if they are sure of time bound promotions. The spirit of competition among the employees may be hampered. Frequent transfers of employees may reduce the overall productivity of the organization. Advantages of using External Sources:

The merits of external sources of recruitment are:
Qualified Personnel: By using external sources of recruitment, the management can make qualified and trained people to apply for vacant jobs in the organization. Wider Choice: When vacancies are advertised widely, a large number of applicants from outside the organization apply. The management has a wider choice while selecting the people for employment. Fresh Talent: The insiders may have limited talents. External Sources facilitate infusion o fresh blood with new ideas into the enterprise. This will improve the overall working of the enterprise. Competitive Spirit: If a company can tap external sources, the existing staff will have to compete with the outsiders. They will work harder to show better performance. Drawbacks of External Sources:

The demerits of filling vacancies from external sources of recruitment are: Dissatisfaction among Existing Staff: External recruitment may lead to dissatisfaction and frustration among existing employees. They may feel that their chances of promotion are reduced. Lengthy...
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