EFFECTIVENESS OF RECRUITMENT PROCESS


This paper focus on Effectiveness of Recruitment process.Reruitment is a process to discover the source of manpower to meet the requirement of the staffing and to employ effective measures for attracting that manpower in adequate number to facilitate effective selection of on efficient workforce. 

            The process of searching for prospective employees and stimulating them to apply for jobs in the organization


Recruitment forms the first stage in the process, which continues with selection and ceases with the placement of the candidate. It is the next step in the procurement function, the first being the manpower planning. Recruitment makes it possible to acquire the number and types of people necessary to ensure the continued operation of the organization. Recruiting is the discovering of potential applicants for actual or anticipated organization vacancies. In other words, it is a ‘linking activity’ bringing together those with jobs and those seeking jobs. 

Companies are now looking out for new ways of giving themselves a competitive advantage. New product, new image& new marketing idea are some of the ways this can be achieved but enlightened and successful companies look towards their people to provide the leading edge.

Herein lies the important once of recruitment and staffing- getting the right people for right job. 


According to Edwin B flippo “Recruitment is a process of searching for prospective employees and stimulating them to apply for jobs in an organization. It is often termed positive in that it stimulates people to apply for jobs to increase the selection ratio. Selection on the other hand tends to be negative because it rejects a good number of those, who apply, leaving only the best to be hired.”



  Internal Sources include personnel already on the pay-roll of the                   organization. Whenever any vacancy arises, somebody from within the organization may  be looked into:

    • Internal promotions
    • Referrals
    • Former employees


    • It improves the morale of employees, for they are assured of the fact that they would be preferred over outsiders when vacancies occur
    • The employers are in a better position to evaluate those presently employed than outside candidates. This is because the company maintains a record of the progress, experience and service of its employees
    • It promotes loyalty among the employees, for it gives them a sense of job security and opportunities for advancement
    • As the person in the employment of the company are fully aware of, and well acquainted with, its policies and know its operating procedures, they require little training, and the chances are that they would stay longer in the employment of the organization than a new outsider would
    • It is less costly than going outside to recruit.


    • It often leads to inbreeding, and discourages new blood from entering an organization
    • There are possibilities that internal sources may “dry up”, and it may be difficult to find the requisite personnel from within an organization
    • Since the learner does not know more than the lecture, no innovation worth the name can made. Therefore, on jobs which require marginal thinking, this practice is not followed
    • As promotion is based on seniority, the danger is that really capable hands may not be chosen.


External Sources of recruitment refer to Prospective candidates outside   the enterprise. They usually include new entrants to the labor force.

       The external sources are

    • Advertisement in newspapers
    • Campus and Online recruiting
    • Casual job seekers
    • Consultants and Job fair


    • .External sources provide the requisite type of personnel for an organization, having skill, training and education up to the required standard
    • Since persons are recruited from a large market, the best selection can be made without any distinctions of caste, sex or color
    • In the long run, this source proves economical because potential employees do not need extra training for their job


However, this system suffers from what is called “brain drain,” especially when experienced persons are raided or hunted by sister concerns. 



 These techniques are classified as traditional techniques and modern techniques.

v     Traditional Techniques include:

  • Promotion
  • Transfers and
  • Advertising

Promotion: Most of the internal candidates would be stimulated to take up higher responsibilities and express their willingness to be engaged in the higher level jobs if the management gives them the assurance that they will be promoted to the next higher level.

  Transfers: Employees will be stimulated to work in the new   sections or places if the management wishes to transfer them to the place of their choice.

Advertising: Advertising is a widely accepted technique of recruitment, though it mostly provides one way communication. It provides the candidates in different sources, the information about the job and company and stimulates them to apply for job. It includes advertising through different media like newspaper, magazines of all kinds radio, television etc.

      The technique of advertising should aim at 1) attracting attention of the prospective candidates: 2) creating and maintaining interest and 3) stimulating action by the candidates. 

v     Modern techniques:

Modern recruitment techniques to stimulate prospective employees to apply for jobs in the company include: 

            1) Scouting

            2) Salary and perks and

            3) ESOPs


It means sending the representations of the organizations to various sources of recruitment with a view to persuading or stimulating the candidates to apply for jobs. Salary and perks:

      Companies stimulate the prospective candidates by offering higher-level salary, more perks, quick promotions etc. 


      Companies recently started stimulating employees by offering stock ownership to the employees through their employees stock ownership programmes



The process can be separated into three components:

  • The process starts with job planning, which among other things involves analysis of the present and future needs for personnel with different kinds of competence and for different tasks. This first component of the process may result in a decision to prepare for new jobs and announce job opportunities.
  • In the second step of the search process after a vacancy has been defined on the basis of job planning, the employer has to make his choice between alternate ways to spread and formulate information about the vacant position. He can, for example choose between different ways to formulate the information about what experience and personal abilities of the potential employee, etc.,
  • The third and final search decision confronting the employer is to determine which one of the applicants to hire for the job opening.

  Basically, employers’ decisions regarding the use of different search channels and judgments regarding the suitability of job applicant relate to the problems of asymmetric information; job applicants have more knowledge of their capabilities than the prospective employers do. The interaction of productivity difference among job applicants and employers’ uncertainty as regards the productive capabilities of individuals may explain decisions taken by the employers both in steps two and three of the recruitment process. Hiring is a decision under uncertainty in the sense that the productivity of job applicants in not directly observable. Therefore the employers are interested in obtaining information that can serve as good statistic for applicant’s job capabilities. 

The probability that a job seeker and employer shall find each other and that an agreement about employment shall be reached, depends on the behavior of both agent and on their characteristics. In the traditional search theory regarding value of his/her lifetime income, the reservation wage is important for the probability that a person shall get a job within a given period of time and thereby for the expected length of the unemployment spell.

In a corresponding way, the concept of reservation productivity can be used for employers’ recruitment of personnel. The assumption regarding employers is that they try to maximize their profit by employing persons with a value of their expected marginal product that is higher than or equal to their expected total wage or cost. Everything else being equal higher requirements put on the process to be employed means lower probability to find competent job seekers and longer expected vacancy durations. Efforts to maximize income and profit also influence their choice of search channels.

A job seeker can be assumed to have higher probability to find a job soon, when actively using several different search channels and an employer can be assumed to rise that planning in general is significant. The efficient utilization of organizational resources-human, capital and technological does not just happen without the continual estimation of future requirements and the development of systematic strategies designed toward goal accomplishments. 

The HR planning is the preliminary step of recruitment process. It is the process by which an organization should move from its current manpower position to its desired manpower position. It may be viewed as for seeing the human resource requirements of as organization an its feature supply making necessary adjustments between the two organizational plans and also foreseeing the possibility of developing the supply of human resources in order to match it with the requirements by introducing necessary changes in the functions of HR. 


All organizations, large are small, have to engage in recruitment. Some of them delegate the job to HR Managers, while others involve the HR Managers directly on the job. The element conditions in the community where the organization is located may be a factor for attracting potential job applicants. Here, certain geographic factors and location advantages play a important role.

The effect of past recruiting efforts, which shows the organizations ability to locate and keep good people, is another criterion. For example, if an organization follows the promotional policy of recruiting from within, the employees will be motivated to continue in such an organization. Also, the compensation and benefits package offered by an organization influence and attract employees.


Recruitment has always been a never-ending process in the organization scenario. Significant transitions have been brought in the long run of recruitment but the major concentration has always been engaging persons in employment and the initial setup for this. Recruitment is followed in the all-different sector, be it manufacturing concern or a service sector. Recruitment is not just confined to its sense it covers the aspects from selection to training. Despite the usage of various terminologies describing each step of the recruitment process, it is a chain link where the start is not distinct.

Recruitment involves seeking and attracting a pool of people from which qualified candidates for job vacancies can be chosen. Recruitment system can be subdivided into 4 major sub systems.

  • Finding out and developing sources
  • Developing techniques to attract candidates
  • Employing the techniques
  • Stimulating the candidates and making for apply for jobs.


The first requirement is to have a continually expanding list of prospects, persons who can be approached for insurance. These are names of people within reach, obtained from acquaintances, newspapers reports, directories, contracts at parties, meetings, seminars, etc.

Those in the qualified prospect list have to be met. A sale results when the salesman takes the prospect through well defined steps. The steps are not separate and clear-cut but blend into one integrated process. The steps are 

  • Pre-approach
  • Approach
  • Interview
  • Objections
  • Close  

Pre-approach means preparing to approach the prospect. The requires forming some idea as to how the interview could begin and proceed, for which you require basic information regarding his income, his habits, his concerns, his interests, his saving capacity, his family position, etc. These facts can be had from a variety of sources, and you may even have to make a personal call on the man himself, and get from him the facts you need to persuade him in taking a decision.  

The information collected during pre-approach will provide a reasonable idea of the prospect’s financial position and his needs and concerns, and help to make the sale first in your mind, you will find it easy to make the sale to the prospect. 

It is advisable to write down the proposal. The advantages of a written proposal are 

  • Details are not missed by either the agent or the prospect.
  • This impression is more lasting.
  • The prospect can go back to earlier data on his own.
  • The prospect can understand, at his own pace.
  • It is easy to stop at any point, clarify questions and continue further without losing the trend.  

When you knock on the prospect’s door and are face to face with him, the dynamic phase of sales begins. You should make known to the prospect, at the very earliest, that you are calling on him for life insurance. The agent has to believe that he is calling on the prospect to render him the valuable service of ensuring financial security for him and his family.

The agent should open the talk by explaining the purpose of his call in such a way so as to arouse enough interest. Otherwise, he may not pay attention to the proposal. In most of the cases, the situation may arise where the prospect will come out with a ‘No’. At this juncture of approach, when the prospect says ‘No’, the agent should not be in a hurry to convert the ‘No’ into ‘Yes’. The purpose of the approach stage is not to sell insurance, but to sell an interview, which gives him the opportunity to talk about what he wants the prospect to think about. 


The interview should first of all, make the prospect listen. This happens if the agent refers to things which interest him, his needs, and lot of things that matter to him, without making it appear like patronizing or flattering. Any hint that the prospect’s decisions of the (relating to insurance or investments) appropriate or need to be changed, will have the opposite effect. The proposal being made by the agent should be seen as beneficial and complimentary to the existing arrangements.

The agent should follow some simple rules like the ones mentioned below

  • Do not talk more than necessary.
  • Ask questions, and make the prospect talk. Make it interactive.
  • Create doubts and get him to ask questions for clarification.
  • Listen to the prospect’s point of view carefully. Do not interrupt, contradict or argue. People feel good when they are listened too any then they listen better.
  • Make your talk interesting. Tell a true story of how life insurance has helped families in various situations and how families have suffered without it. Make the story have a personal appeal. Use names for his children or relatives. That will make the story more appealing.
  • Use pictorial aids, graphics and written presentations. If you have a lap top use Power Point presentation.
  • Let the prospect write down the figures of his needs, of his liabilities, of benefits of the insurance plan and of the premium. This ensures concentrated attention.
  • Let your advice be in the best interest of the prospect not your interest.

Successful agents prepare their presentations carefully every time.  They rehearse in their minds the way the interview should proceed. This ensures that they do not fumble for ideas or the right words. The ideas, too, come in the most natural and logical sequence. Lastly, a prepared sales talk conveys more enthusiasm and conviction than a talk without preparation. A well prepared approach ensures a favorable interview.


Prospects will raise objections, one after another. Objections are a part of every sale. If prospects did not object, there would be no need for salesmen. People would buy on their own. Also, if the prospect remained silent, you will not know how his mind is working. The objection is his way of referring to the further information that he needs.

The entire selling process is, therefore, interspersed with objections. At the stage of approach itself the prospect may say –‘I do not believe in life insurance’, ‘I do not need life insurance’, and the like. Such objections are not against life insurance but rather against  the agent whom he wants to put off gracefully, or signs of indecision, or of a fear of being “forced” into buying.

Then there are objections raised at the closing stage, such as, ‘I will think it over’, ‘I will consult my father’, ‘See me next month when I get my confirmation/increment/ promotion’, etc. these objections reveal an inability to take a major decision.


The ‘close’ has to be sensed and timed, because very few prospects will , of their own accord, say ‘I will insure’. The agent sensing the close, takes the prospect’s positive decision for granted by asking for his implied (not direct) consent. “Will you pay the premium by cash or cheque?” do you have your school certificate at hand now or can you give it tomorrow?” (Affirmative choice). A positive answer to any of these questions is an indication to go ahead. If the interview does not end with a close and is put off to another time, the interview will have to be gone through all over again.

In selling life insurance, an appeal to the heart of the prospect is more useful than an appeal to the head. Life insurance is bought for the prime reason of protecting the loved ones, affording a good start in love to the children, duty to aged parents, or perhaps a desire for self –preservation in old age. So a sale can be accomplished only when an appeal is made to one of these motives; an appeal to sentiments of love, of affection and of concern. The agent need not be an expert in psychology to do this. 


  From this I conclude Recruitment is one of the main departments which place the right candidates to the right job. The recruiters should identify the best candidates from different sources and job sites .Recruiters should identify the problems faced during recruitment and find an alternative to make work efficiently.




2. P.Joythi. DN Venkatesh, HUMAN RESOURCE MANAGEMENT, Oxford 2006

 3. Dr.p.subba Rao, PERSONNEL AND HUMAN RESOURCE MANAGEMENT, Himalaya publishing House











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