Podcast
Questions and Answers
What percentage of organizations utilize outside recruiting sources?
What is the primary goal of private employment agencies and executive search firms?
Which type of employment agency is operated by state and local public agencies?
What distinguishes public employment agencies from private employment agencies?
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Which of the following statements is true regarding the use of employment agencies?
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What characterizes noncompetitive promotions?
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Which of the following examples illustrates competitive promotions?
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What is a potential result of a career progression promotion?
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How do competitive promotions differ from noncompetitive promotions?
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Which statement accurately describes the process of career progression in academic settings?
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How does the selection process information in job ads influence applicant behavior?
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What was a significant outcome of On-Line Software's use of creative advertising?
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What was the cost-effectiveness of Hyundai’s advertising campaign?
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Which recruitment approach did FH Company take in their job advertisement?
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Why might the use of high-energy advertisements be appealing for organizations?
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Study Notes
Outside Recruiters
- More than 75% of organizations use outside recruiting sources, including private employment agencies, public employment agencies, and executive search firms.
- Private employment agencies and executive search firms are profit-driven organizations.
- Public employment agencies, operated by state and local public agencies, are strictly nonprofit organizations.
Employment Agencies and Search Firms
- Employment agencies are designed to make a profit from recruitment activities.
- Executive Search Firms are designed to make a profit from recruitment activities.
- Public employment agencies are operated by state and local public agencies and are strictly nonprofit.
Noncompetitive Promotions
- Involve career progression positions where employees move up in levels of experience and knowledge.
- promotions are unlimited and employees do not compete with one another.
- Examples include:
- Engineer I to Engineer II to Engineer III in engineering
- Assistant Professor to Associate Professor to Professor in academia
- Typically involve a change in title and salary increase.
Competitive Promotions
- Several internal applicants compete (sometimes with external applicants) for a limited number of higher positions.
- Example: 20 Walmart employees competing for an assistant manager position.
Advertising and Recruitment
- Ads containing information about the selection process affect the probability of applicants applying for a job.
- Ads stating that an in-person interview will be used result in higher application rates than those stating GPA will be a factor.
- Creative and high-energy ads can be significantly effective:
- On-Line Software tripled the number of applicants for secretarial positions using innovative advertising
- Hyundai’s innovative ad cost only $5,000 and had almost 2,000 responses to advertised positions.
- Some organizations use humorous ads to attract unique candidates.
Employment Agencies
- Employment Agencies specialize in finding jobs for applicants and finding applicants for organizations.
- May charge either the company or the applicant when the applicant accepts the job.
- Fees range from 10% to 30% of the applicant's first-year salary.
- Organizations using agencies that charge the applicant have lower risk, as they only pay if they find a qualified candidate.
- Useful for overloaded HR departments or when organizations lack the expertise for selecting employees.
- Disadvantage: companies lose control over their recruitment process and may end up with undesirable applicants.
Recruitment Methods
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Structured Interviews:
- Using a structured interview and a panel of interviewers reduces bias in the process.
- Each competency is identified and measured, questions are developed.
- Panel members interview applicants and take notes to complete a standard rating sheet.
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Employee Referrals:
- Employee referrals are more likely to be hired and have longer tenure than those recruited through other means.
- Referrals from successful employees have a greater likelihood of success than those from unsuccessful employees.
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Blogging:
- Allows recruiters to informally discuss an organization’s career opportunities and corporate culture with potential applicants.
- Blogs usually include links to the organization’s official employment website.
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Recruiting Videos:
- Posted on platforms like YouTube to provide applicants with information about an organization and its culture.
Job Boards
- Private companies that list job openings for various organizations and candidate profiles.
- Indeed (the largest internet recruiter) had over 36 million unique US visitors per month in 2013.
- Larger organizations are more likely to use job boards than smaller ones.
Advantages of Job Boards
- Cost: Cheaper than traditional newspaper ads, especially in densely populated areas.
- Reach: Access to a larger pool of candidates.
- Specificity: Ability to target specific skills and experience needed for the position.
- Convenience: Easier and faster to post and update job advertisements.
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Description
This quiz covers the various types of employment agencies, including private, public, and executive search firms. It highlights the differences in profit orientation and the roles these organizations play in recruitment practices. Test your knowledge on how these agencies operate and their significance in the job market.
