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CHAPTER 8:
STAFFING
Copyright © 2005 South-Western. All rights reserved.
Copyright © 2005 South-
Western. All rights reserved. 1–2
Staffing
• Staffing
– Process of recruiting & selecting prospective
employees
– Has significant impact on organization’s bottom line
• Requires staffing process to become strategically
focused
– Recruitment & selection activities offer organization
numerous choices to find & select new employees
– Staffing decisions need to ensure employees fit
organization’s culture
Copyright © 2005 South-
Western. All rights reserved. 1–3
Recruiting
• Temporary versus permanent employees
– Increase headcount temporarily or permanently
should be strategically-driven
– Basis for decisions is HR forecast
– Temporary employees less costly
– Temporary headcount increases can be obtained
from specialized agencies
– Headcount increases can be avoided by
subcontracting work
Copyright © 2005 South-
Western. All rights reserved. 1–4
Exhibit 8-1
Advantages & Disadvantages of Internal &
External Recruiting
Copyright © 2005 South-
Western. All rights reserved. 1–5
Recruiting
• When & how extensively to recruit
– When do recruiting efforts need to begin?
– How large an applicant pool needed?
– Data from past recruiting efforts utilized
• To answer questions where feasible
• Adjust for changed conditions
• Yield ratios
– Offer information on how many applicants eliminated/remain
at each step in recruitment process
– Can determine proper or necessary size of applicant pool
Copyright © 2005 South-
Western. All rights reserved. 1–6
Exhibit 8-2
Recruiting Pyramid
Copyright © 2005 South-
Western. All rights reserved. 1–7
Exhibit 8-3
Recruiting Timeline
Copyright © 2005 South-
Western. All rights reserved. 1–8
Methods of Recruiting
• Informally or formally
• Internally or externally
• Targeted advertising in selected media
• Recruiting on Internet
• Outsourcing to staffing agencies
• Private Industry Councils (PICs)
• Executive search firms
• On-campus recruiting
Copyright © 2005 South-
Western. All rights reserved. 1–9
Recruiting on Internet
• One of fastest-growing recruitment methods
• More cost-effective than newspaper advertising
• Low cost, speed, & ability to target applicants
with technical skills
• Allows applicants to assess interests & needs with
employer’s offerings
• Global exposure to potential applicants
• Can cut search process time by as much as 75%
Copyright © 2005 South-
Western. All rights reserved. 1–10
Recruiting on Internet
• Some potential challenges
– Ensuring security
– Viruses
– Access to unauthorized areas
– Disparate impact against certain protected
classes
– Can complicate reporting of data related to
compliance with federal & state laws
Copyright © 2005 South-
Western. All rights reserved. 1–11
Selection Process Issues
• Reliability
– Consistency of measurement
– Screening criteria should elicit same results
in repeated trials across time & evaluators
– Reliability influenced by criterion deficiency &
contamination errors
– Reliability is prerequisite for validity
Copyright © 2005 South-
Western. All rights reserved. 1–12
Selection Process Issues
• Validity
– Degree to which what is assessed is related to actual
performance
– Ability to establish job-related validity is crucial to employers
in defending themselves in discrimination allegations
– Content validity illustrates that measure or criterion is
representative of actual job content or knowledge
– Criterion (empirical) validity demonstrated by relationship
between screening criteria & job performance
Copyright © 2005 South-
Western. All rights reserved. 1–13
Interviewing Process Issues
• Who should be involved?
– Prospective supervisors, peers, subordinates
• Which interview format?
– Individual or group interviews
• Common interviewer errors
– Similarity errors
– Contrast errors
– First impression
– Halo errors
– Personal biases
Copyright © 2005 South-
Western. All rights reserved. 1–14
Behavioral Interviewing
• Used with experienced & inexperienced
applicants
• Asks about situations candidate is likely to
face on job
• Candidates can present real-life situations
they were involved in & how they handled
them
Copyright © 2005 South-
Western. All rights reserved. 1–15
Testing
• Work sample tests
– Ask applicant to complete representative sample of
actual work
• Trainability tests
– Measure
• Aptitude in certain areas
• Ability to understand critical job components that
firm will teach new hires
Copyright © 2005 South-
Western. All rights reserved. 1–16
Testing
• Realistic job previews
– Make applicants aware of both positive & negative
aspects of job
– Decrease likelihood new employee will become
dissatisfied
– Increase likelihood of candidate’s self-selecting out
of position
• Personality testing is useful in anticipating
how applicants are likely to behave
Copyright © 2005 South-
Western. All rights reserved. 1–17
Exhibit 8-4
The Big Five Personality Dimensions
Personality Dimension
Characteristics of Person Scoring
Positively on Dimension
1) Extraversion Outgoing, talkative, social, assertive
2) Agreeableness Trusting, good-natured, cooperative,
soft-hearted
3) Conscientiousness Dependable, responsible,
achievement-oriented, persistent
4) Emotional stability Relaxed, secure, unworried
5) Openness to experience Intellectual, imaginative, curious,
broad-minded
Copyright © 2005 South-
Western. All rights reserved. 1–18
Other Testing Methods
• Personality testing
– Useful to anticipate how applicants likely to behave
– Few, if any, jobs require specific personality type
– Have been successfully challenged in court
• Physical testing
– Restricted under ADA to testing only for specific
critical job-related physical performance
requirements
Copyright © 2005 South-
Western. All rights reserved. 1–19
Other Testing Methods
• Honesty testing
– Declined since passage of Polygraph Protection
Act in 1988
• Drug testing
– Challenged in courts as invasion of privacy
• References
– Little information available due to former employer
fears of liability for libel, slander & defamation
Copyright © 2005 South-
Western. All rights reserved. 1–20
Selection for International Assignments
• Reasons for failure on international
assignments
– Interpersonal & acculturation abilities
– Rarely technical skills
• Test employees’ adaptability, open-
mindedness, ability to tolerate uncertainty
& ambiguity & independence
• Interview & screen family members who
would accompany employee
Copyright © 2005 South-
Western. All rights reserved. 1–21
Exhibit 8-4
Strategic Issues in Staffing
Copyright © 2005 South-
Western. All rights reserved. 1–22
Reading 8.1
Hiring for Organization, Not Job
• New model of selection geared toward hiring
“whole” person who fits into organization’s
culture
• “Strong situation”
– Intensity of situation suppresses variation in behavior
attributable to person
• “Weak situation”
– Allows range of employee responses to work requirements
• In organizations that are “weak situations”
– More important to do good job of hiring right people
Copyright © 2005 South-
Western. All rights reserved. 1–23
Reading 8.1
Hiring Process for Person-Organization Fit
• Assess overall work environment
– Job analysis
– Organizational analysis
• Infer type of person required
– Technical knowledge, skills & abilities
– Social skills
– Personal needs, values & interests
– Personality traits
Copyright © 2005 South-
Western. All rights reserved. 1–24
Reading 8.1
Hiring Process for Person-Organization Fit
• Design “rites of passage” for organization entry
that allow both organization and applicant to
assess their fit
– Tests of cognitive, motor & interpersonal abilities
– Interviews by potential coworkers & others
– Personality tests
– Realistic job previews, including work samples
• Reinforce person-organization fit at work
– Reinforce skills & knowledge through task design & training
– Reinforce personal orientation through organization design
Copyright © 2005 South-
Western. All rights reserved. 1–25
Reading 8.1
Potential Benefits & Problems with Hiring
for Person-Organization Fit
• Potential benefits
– More favorable employee attitudes
– More desirable individual behaviors
– Reinforcement of organizational design
• Potential problems
– Greater investment of resources in hiring process
– Relatively undeveloped & unproven supporting selection
technology
– May be difficult to use full model where payoffs are greatest
– Lack of organizational adaptation
Copyright © 2005 South-
Western. All rights reserved. 1–26
Reading 8.2
Reasons for Expatriate Early Departure
• Not performing job effectively 48.4%
• Received other, more rewarding offer (other co.) 43.7%
• Expatriate or family not adjusting 36.6%
• Expatriate or family missing home 31.0%
• Received more rewarding offer (current co.) 17.2%
• Unable to adjust to deprived living standards 10.3%
• Concerned with problems of safety & health 10.3%
• Believed children’s education was suffering 7.1%
• Feared assignment would slow career advance 7.1%
• Spouse wanted career 6.1%
• Compensation package inadequate 0.0%
Copyright © 2005 South-
Western. All rights reserved. 1–27
Reading 8.3
Frequently Mentioned Obstacles to Global
Staffing System
• Legal requirements across
countries/regions
• Education system across
countries/regions
• Economic conditions across
countries/regions
• Ability to acquire & use
technology
• Labor market variations
• Value differences across
cultures
• Availability of off-the-shelf
translated tools
Level of HR experience varies
across regions
Role of HR in hiring varies across
regions
Familiarity with a tool or practice
varies
Misperceptions that something is a
cultural difference
Limited local resources for
implementation
Beliefs about whether a global
system is US-centric or
imposed
Copyright © 2005 South-
Western. All rights reserved. 1–28
Reading 8.3
Frequently Mentioned Benefits to Global Staffing
System
• Global database of qualified
talent
• Quick identification of
candidates to meet needs of
specific location
• Provision of consistent message
about company to candidates
worldwide
• Quality of all hires is ensured
• Better understanding of
country/regional needs by all
HR
Global succession planning is
enabled
Global HR personnel have access
to the latest versions of
products/tools
Shared vision of HR globally
Comparisons of staffing results
across locations
Global database as internal
benchmark of achievement in
different parts of world

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Strategic Staffing.ppt

  • 1. CHAPTER 8: STAFFING Copyright © 2005 South-Western. All rights reserved.
  • 2. Copyright © 2005 South- Western. All rights reserved. 1–2 Staffing • Staffing – Process of recruiting & selecting prospective employees – Has significant impact on organization’s bottom line • Requires staffing process to become strategically focused – Recruitment & selection activities offer organization numerous choices to find & select new employees – Staffing decisions need to ensure employees fit organization’s culture
  • 3. Copyright © 2005 South- Western. All rights reserved. 1–3 Recruiting • Temporary versus permanent employees – Increase headcount temporarily or permanently should be strategically-driven – Basis for decisions is HR forecast – Temporary employees less costly – Temporary headcount increases can be obtained from specialized agencies – Headcount increases can be avoided by subcontracting work
  • 4. Copyright © 2005 South- Western. All rights reserved. 1–4 Exhibit 8-1 Advantages & Disadvantages of Internal & External Recruiting
  • 5. Copyright © 2005 South- Western. All rights reserved. 1–5 Recruiting • When & how extensively to recruit – When do recruiting efforts need to begin? – How large an applicant pool needed? – Data from past recruiting efforts utilized • To answer questions where feasible • Adjust for changed conditions • Yield ratios – Offer information on how many applicants eliminated/remain at each step in recruitment process – Can determine proper or necessary size of applicant pool
  • 6. Copyright © 2005 South- Western. All rights reserved. 1–6 Exhibit 8-2 Recruiting Pyramid
  • 7. Copyright © 2005 South- Western. All rights reserved. 1–7 Exhibit 8-3 Recruiting Timeline
  • 8. Copyright © 2005 South- Western. All rights reserved. 1–8 Methods of Recruiting • Informally or formally • Internally or externally • Targeted advertising in selected media • Recruiting on Internet • Outsourcing to staffing agencies • Private Industry Councils (PICs) • Executive search firms • On-campus recruiting
  • 9. Copyright © 2005 South- Western. All rights reserved. 1–9 Recruiting on Internet • One of fastest-growing recruitment methods • More cost-effective than newspaper advertising • Low cost, speed, & ability to target applicants with technical skills • Allows applicants to assess interests & needs with employer’s offerings • Global exposure to potential applicants • Can cut search process time by as much as 75%
  • 10. Copyright © 2005 South- Western. All rights reserved. 1–10 Recruiting on Internet • Some potential challenges – Ensuring security – Viruses – Access to unauthorized areas – Disparate impact against certain protected classes – Can complicate reporting of data related to compliance with federal & state laws
  • 11. Copyright © 2005 South- Western. All rights reserved. 1–11 Selection Process Issues • Reliability – Consistency of measurement – Screening criteria should elicit same results in repeated trials across time & evaluators – Reliability influenced by criterion deficiency & contamination errors – Reliability is prerequisite for validity
  • 12. Copyright © 2005 South- Western. All rights reserved. 1–12 Selection Process Issues • Validity – Degree to which what is assessed is related to actual performance – Ability to establish job-related validity is crucial to employers in defending themselves in discrimination allegations – Content validity illustrates that measure or criterion is representative of actual job content or knowledge – Criterion (empirical) validity demonstrated by relationship between screening criteria & job performance
  • 13. Copyright © 2005 South- Western. All rights reserved. 1–13 Interviewing Process Issues • Who should be involved? – Prospective supervisors, peers, subordinates • Which interview format? – Individual or group interviews • Common interviewer errors – Similarity errors – Contrast errors – First impression – Halo errors – Personal biases
  • 14. Copyright © 2005 South- Western. All rights reserved. 1–14 Behavioral Interviewing • Used with experienced & inexperienced applicants • Asks about situations candidate is likely to face on job • Candidates can present real-life situations they were involved in & how they handled them
  • 15. Copyright © 2005 South- Western. All rights reserved. 1–15 Testing • Work sample tests – Ask applicant to complete representative sample of actual work • Trainability tests – Measure • Aptitude in certain areas • Ability to understand critical job components that firm will teach new hires
  • 16. Copyright © 2005 South- Western. All rights reserved. 1–16 Testing • Realistic job previews – Make applicants aware of both positive & negative aspects of job – Decrease likelihood new employee will become dissatisfied – Increase likelihood of candidate’s self-selecting out of position • Personality testing is useful in anticipating how applicants are likely to behave
  • 17. Copyright © 2005 South- Western. All rights reserved. 1–17 Exhibit 8-4 The Big Five Personality Dimensions Personality Dimension Characteristics of Person Scoring Positively on Dimension 1) Extraversion Outgoing, talkative, social, assertive 2) Agreeableness Trusting, good-natured, cooperative, soft-hearted 3) Conscientiousness Dependable, responsible, achievement-oriented, persistent 4) Emotional stability Relaxed, secure, unworried 5) Openness to experience Intellectual, imaginative, curious, broad-minded
  • 18. Copyright © 2005 South- Western. All rights reserved. 1–18 Other Testing Methods • Personality testing – Useful to anticipate how applicants likely to behave – Few, if any, jobs require specific personality type – Have been successfully challenged in court • Physical testing – Restricted under ADA to testing only for specific critical job-related physical performance requirements
  • 19. Copyright © 2005 South- Western. All rights reserved. 1–19 Other Testing Methods • Honesty testing – Declined since passage of Polygraph Protection Act in 1988 • Drug testing – Challenged in courts as invasion of privacy • References – Little information available due to former employer fears of liability for libel, slander & defamation
  • 20. Copyright © 2005 South- Western. All rights reserved. 1–20 Selection for International Assignments • Reasons for failure on international assignments – Interpersonal & acculturation abilities – Rarely technical skills • Test employees’ adaptability, open- mindedness, ability to tolerate uncertainty & ambiguity & independence • Interview & screen family members who would accompany employee
  • 21. Copyright © 2005 South- Western. All rights reserved. 1–21 Exhibit 8-4 Strategic Issues in Staffing
  • 22. Copyright © 2005 South- Western. All rights reserved. 1–22 Reading 8.1 Hiring for Organization, Not Job • New model of selection geared toward hiring “whole” person who fits into organization’s culture • “Strong situation” – Intensity of situation suppresses variation in behavior attributable to person • “Weak situation” – Allows range of employee responses to work requirements • In organizations that are “weak situations” – More important to do good job of hiring right people
  • 23. Copyright © 2005 South- Western. All rights reserved. 1–23 Reading 8.1 Hiring Process for Person-Organization Fit • Assess overall work environment – Job analysis – Organizational analysis • Infer type of person required – Technical knowledge, skills & abilities – Social skills – Personal needs, values & interests – Personality traits
  • 24. Copyright © 2005 South- Western. All rights reserved. 1–24 Reading 8.1 Hiring Process for Person-Organization Fit • Design “rites of passage” for organization entry that allow both organization and applicant to assess their fit – Tests of cognitive, motor & interpersonal abilities – Interviews by potential coworkers & others – Personality tests – Realistic job previews, including work samples • Reinforce person-organization fit at work – Reinforce skills & knowledge through task design & training – Reinforce personal orientation through organization design
  • 25. Copyright © 2005 South- Western. All rights reserved. 1–25 Reading 8.1 Potential Benefits & Problems with Hiring for Person-Organization Fit • Potential benefits – More favorable employee attitudes – More desirable individual behaviors – Reinforcement of organizational design • Potential problems – Greater investment of resources in hiring process – Relatively undeveloped & unproven supporting selection technology – May be difficult to use full model where payoffs are greatest – Lack of organizational adaptation
  • 26. Copyright © 2005 South- Western. All rights reserved. 1–26 Reading 8.2 Reasons for Expatriate Early Departure • Not performing job effectively 48.4% • Received other, more rewarding offer (other co.) 43.7% • Expatriate or family not adjusting 36.6% • Expatriate or family missing home 31.0% • Received more rewarding offer (current co.) 17.2% • Unable to adjust to deprived living standards 10.3% • Concerned with problems of safety & health 10.3% • Believed children’s education was suffering 7.1% • Feared assignment would slow career advance 7.1% • Spouse wanted career 6.1% • Compensation package inadequate 0.0%
  • 27. Copyright © 2005 South- Western. All rights reserved. 1–27 Reading 8.3 Frequently Mentioned Obstacles to Global Staffing System • Legal requirements across countries/regions • Education system across countries/regions • Economic conditions across countries/regions • Ability to acquire & use technology • Labor market variations • Value differences across cultures • Availability of off-the-shelf translated tools Level of HR experience varies across regions Role of HR in hiring varies across regions Familiarity with a tool or practice varies Misperceptions that something is a cultural difference Limited local resources for implementation Beliefs about whether a global system is US-centric or imposed
  • 28. Copyright © 2005 South- Western. All rights reserved. 1–28 Reading 8.3 Frequently Mentioned Benefits to Global Staffing System • Global database of qualified talent • Quick identification of candidates to meet needs of specific location • Provision of consistent message about company to candidates worldwide • Quality of all hires is ensured • Better understanding of country/regional needs by all HR Global succession planning is enabled Global HR personnel have access to the latest versions of products/tools Shared vision of HR globally Comparisons of staffing results across locations Global database as internal benchmark of achievement in different parts of world