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Recruiting includes: for which jobs; supply and demand; methods; to fill current
vacancies; to supply future demands;
Unacceptable
Acceptable
candidate
candidate
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 3
Technology has progressed to such an extent that you employment agencies can display their vacancies and
can even interview people online and select the work-seekers can enter their CV’s on the World Wide
suitable person from anywhere in the world. Online Web at a relatively inexpensive price. There are some
recruiting has in fact made the world a global village. disadvantages that will be discussed later in this
Reports suggest that around 60 percent of software article.
engineers recruited in United States is from Installations of software like ‘active recruiter’ have
developing countries especially from India and they helped Nike to completely change their recruitment
were interviewed through online testing and video process to make it more effective. According to
conferencing. This has made it very convenient to Willenbrock (2005) previously it took 62 days to fill
select a person with the best skills and experience vacant positions, but now, with the help of online
from around the world. It is an effective way for recruitment, it has been reduced to 42 days. With the
recruiting staff for jobs with a technical nature in introduction of e-recruitment line managers got rid of
particular. However, this is not a very suitable method most of the paperwork and seldom loose information,
when it comes to jobs where the applicant needs to because thousands of résumés can easily be stored
have face to face interaction with the clients (Coleman, and retrieved from different countries in other words
2006). The focus is now on e-recruitment. globally. At the Nike headquarters they consider each
and every application as a prospective employee and
E-recruitment they do not want to miss the opportunity to get the
most talented person. Therefore each and every
What is electronic recruitment? This is a question résumé has to be taken care of. Software like ‘active
often asked by people who are unaware of the capacity recruiter’ has made that process easy for the company.
of Internet and computers. Rudman (2010) and Härtel ‘Active recruiter’ is a part of the recruitment process
& Fujimoto (2010) explain that electronic recruitment from the beginning. Applicants post their résumés on
is the selection of prospective candidates applying for the company website after filing their profile. Once
a job via the Internet (external) and Intranet that is done a major part of the work is done (Nike’s,
(internal). E-recruitment is also known as online 2005).
recruitment. Using this method, a candidate who is The paper copy résumés are something of the past and
applying for an advertised position forwards their CV all the résumés are now stored on the database and
and a covering letter electronically to the advertiser’s the line managers can view the short-listed employees
website. That particular CV is retrieved by the whenever they wish to do so. In addition to this, the
advertiser and screened among the other CV’s system shortlists candidates, according to their skills
received from different candidates (Finn, 2000). and experiences. The rest of the applicants are stored
One of the main advantages of electronic recruiting in the databases for future references. By doing this an
methods is the accessibility. Anyone from anywhere organisation does not have to rely on agencies when
can apply for an advertised job. It does not matter if future job openings arise as they have their own pool
the applicant is located in Timbuktu and the employer of interested applicants on their database already.
is in Sydney. The system is available for both parties Another special feature of the e-recruiting system used
24/7, which in turn is another advantage. Gone are the by Nike is that it sends automatic messages to
days when you had to send your CV to an advertiser registered applicants in Nike every six months to
and had to wait for the reply for days or even weeks. renew their details. With the use of e-recruiting Nike
More than a decade ago already Bemus, Henle & has saved around 54 percent of their recruitment cost
Hogler (1998) referred to this system in that the and has got 8500 interested applicants in their
advertiser having received the application could database (Nike’s, 2005).
screen it and the applicant would then receive
feedback immediately regarding their possible success Benefits
for the job.
Du Plessis (2012; 2007) and Rudman (2010) support The potential benefits of e-recruitment are:
the fact that technology is an invaluable tool for most
HRM processes to execute its tasks in an organisation. Unlimited exposure of advertisements for local,
It not only streamlines the processing of employee national and international markets
data, but it is also useful in the recruiting process. It is Less advertising costs such as using seek.com and
also very effective and quick, therefore it is in vogue in others
all countries and by more and more recruiters. E- Vacancies are immediately accessible for 24 hours
recruitment is growing exceptionally fast as more and a day
more of the population gains access to technology. Unlimited length of the advertising material unlike
Even those who do not possess their own personal news papers costly small ads
computers are able to utilize this means for a job Employer and candidate can interact utilising
search by using cyber-cafes. Organisations and
online communication devices
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 4
The recruitment system can be integrated with Don’t expect too much
other computerised HR functions such as payroll Check the confidentiality of the site
and databases (via human resource information Don’t post personal details such as address,
systems [HRIS]). although you may leave a phone number
Think carefully about sending your résumé , as
When applying online, applicants immediately enter having your résumé on too many sites can make
their details into the database, and can then apply for you look desperate
as many jobs as they wish. E-recruitment provides the Re-post your résumé regularly so that it appears
automation and efficiency of information near the top of any research
management, reduces costs to recruiters and increases
the choice of jobs to candidates. It also removes the Figure 2, below, depicts how external factors could
need to manage mail-outs of recruitment forms and influence the recruitment process, one of HRM’s
receipt of completed applications (Furness, 2007; functions. The economic and business demands
Härtel et al, 2010). determine who should be recruited whereas cultural
Online recruitment is becoming more and more and social factors have an influence on the employees’
attractive as traditional companies create their own cultural and societal backgrounds to be taken into
web sites and form strategic partnerships with online consideration when recruitment is taking place. A
job boards. An example of this is Careerjunction.com, change in government could have different political
which is part of the Johnnic group and which ideologies with a direct influence on businesses, the
consequently benefits from liaising with Times Media. economy of the country and the legal aspects such as
In terms of applying for jobs online Stone (2008:201) new legislation, trade agreements and so forth. The
advises job seekers to do the following: demographic factor is all about location. The
characteristics of the population or part of it, the
Research carefully to find the right sites growth, density and distribution are the main role
Check if the site belongs to a head-hunter or a players to consider in this instance.
recruitment site
Check that job adverts are updated regularly
Figure 2: External influences on workforce recruiting
Political
Cultural Social
(HRM function)
Economic Technology
Business’ Legal
Demographic
demands
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 5
the data, we arrived at 529 businesses in the Rosebank What can these data tell us about Rosebank’s
population of businesses. We conducted face-to-face trajectory as a skilled business cluster and about its
interviews with 102 companies within that future workforce requirements (recruitment)?
population. We used a 36-question questionnaire and What recruitment method would be most suitable and
employed random stratified cluster sampling. We effective for the different job categories?
divided the population into “Industry” and “Firm Size” The present research examines the gaps between how
groupings to establish desired representative Rosebank businesses actually recruit and what the
proportions based on Statistics New Zealand (2006). workforce presently provides and what recruitment
We selected a random sample from the members of method would be suitable and effective.
each grouping. The grouping was treated as the We want to uncover recruitment strategies and
sampling unit and analysis was done on a population policies that local economic development
of groupings. If after polling we did not reach the organisations might use to overcome these possible
required level of representation in a particular gaps in their recruitment.
grouping, then we went back to that grouping for more
respondents. ANALYSIS OF THE RESULTS
The sampling frame was owner-managers (and
sometimes senior, non-shareholding managers) of Industry composition
firms within the ARBP. This analysis is of firms, not
individuals. We are ethically bound to confidentiality We used the Australian and New Zealand Standard
and anonymity by Unitec New Zealand’s Research Industrial Classification (ANZSIC) categories
Ethics Committee (UREC registration number (Australian Bureau of Statistics, 2006). The sampled
2008.797). companies comprised 33% manufacturing firms
(Table 1, below). Wholesaling and retailing taken
Research questions together accounted for 36% of the responding firms.
There are significant groups of small
Our research questions were: accommodation/café/ restaurant businesses at 5%,
transport & storage 3%, construction 5%, and
Is there a skills match between the present-day property & business services 8%.
workforce and actual business needs over the medium
term? (What recruitment will be necessary)
Rosebank has its own complexion compared to the and insurance sector. We found many more
demographic characteristics for West Auckland, based Manufacturing and Wholesale Trade firms than in the
on Statistics New Zealand (2006). For example, we general West Auckland population. We found few
could not find any firms in the fast growing finance respondents in the communication services industry.
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 7
The one hundred firms in this sample were employing term is in sales & service of 34% (Figure 4, below).
1714 full-time employees (FTE). Respondents Unskilled workers were next with a decline of 24.9%,
expected a decline of 1.8% in job numbers over the followed closely by clerical staff with 23.6%. “Others”
next year but a 1% increase by 2011, bringing the total were at an 18.2% decline, then managers with 15.6%
decline in employee numbers to just less than 1% and finally machine operators at a 4.6% decline.
within three years. In other words, within the bounds Not all was doom and gloom. The need for tradesmen
of confidence, ARBP owner/managers are predicting a (applied technologies and trades) is expected to
steady rate of employment. However, it is important increase sharply by 80.4%, followed by a gain for
to note that a quarter of respondents were not able or technicians at 23.1% and professionals by 12.84%. We
did not want to predict three years into the future. The also researched the number of part-time employment
outcome and recommendations of this study can at these firms. In addition to the 1714 full-time
therefore have an influence on their method of employees in the sample, there were an additional 174
recruiting for the near future. The respondents could part-time employees. Part-timers are anticipated to
compare the different recruiting methods, as per this drop by 10.9% in a year and a further 8.4% by 2011
study. What method was the most successful for what bringing the total decline in part-timers to 19.3%. As
job categories and then use the most effective and companies employ fewer technicians and
suitable recruiting method to ensure they recruit the professionals, it is clear that there is an acute shortage
best possible candidate.The biggest decline in of trades-people over the next three years.
employment over the medium
Figure 4: Employee growth/decline by job category, full-time employees
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 8
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Fifty-two percent of employers stated that the easiest followed by 32.7% for clerical staff and unskilled
category to recruit for was sales & service staff workers at 32.4% (Figure 6, below).
Figure 6: Job categories that are easy or very easy to recruit for, percentage of responding firms
Figure 7: Job categories that are difficult or very difficult to recruit for, percentage of responding firms
When asked which job categories were difficult or most frequently used by respondents with 27.6%, but
very difficult to recruit, the firms had a slightly its failure rate was relatively high at 69% (Error!
different view (Figure 7, above). The most difficult Reference source not found., below). Recruitment
category to recruit was professionals, at almost two- agencies were the second most popular recruiting
thirds of employers (64.50%) saying so. The method at 25.3%, and their success rate was the
tradesmen category, where employers see an 80.4% highest at 41%. Media channels were used less than
employment increase over three years, received the recruitment agencies, web/online, and the word of
next highest measure of 60%. Management was next mouth, but they had one of the highest success rates.
at 56.7% followed by technicians, sales & service, Our data show that Work and Income New Zealand
machine operators, unskilled and clerical which was (WINZ) (a government agency) and trade fairs were
considerably lower for unskilled at 28.8%. Of the used less than other channels and had the lowest
various recruitment channels, word of mouth was success rates. WINZ had a success rate of only 27%.
Delving deeper, we also see that different job service found this channel successful for at about a
categories used different recruitment channels and third of the time. This channel was not at all useful for
had differing degrees of success. In this category we recruiting management and professionals.
examine media recruitment channels by their success Recruitment agencies were the second most popular
rate of the job categories. recruitment channel and the most successful overall at
Word of mouth was the most successful for machine 41% (see Table 2, above). In the figures below we give
operators followed by tradesmen (Figure 8, below). the reader information regarding recruitment and the
Unskilled labour, clerical staff, technicians and sales & success of the different recruitment methods.
Figure 8: How successful was word of mouth for different job categories?
Recruitment agencies were particularly successful for and unskilled labour (40%). It was also successful a
attracting tradesmen at 80%, and technicians at 60% third of the time for professionals and sales & service
(Figure 9, below). They were also very good for staff. The lowest score was for management at 20%.
recruiting clerical staff (45.5%), technicians (44.44%),
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 11
Web/online was the third most used recruitment (37.5%). It was successful a third of the time for
channel and the third most successful (Figure 10, technicians, clerical staff, and management. It was the
below). It was most successful for recruiting sales & least successful for tradesmen at 28.6%. It wasn’t at all
service staff at 41.6% followed by professionals successful for machine operators and unskilled labour.
Figure 10: How successful was Web/online for different job categories?
Media channels such as billboards and newspaper advertisements in local and regional newspapers. This
advertisements had perhaps the most mixed results channel was, however, very successful for recruiting
(Figure 11, below). This channel was used only 19.9% tradesmen (61.5%) and unskilled labour (50%). It was
by respondents but was the second most successful at also successful one third of the time for sales & service
40%. It was not at all successful for recruiting staff, technicians, and machine operators. Clerical staff
management and professionals, which is somewhat followed closely at 28.6%.
perplexing considering the plethora of recruitment
Figure 11: How successful were media channels for different job categories?
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 12
Figure 12: How successful was Work and Income New Zealand for different job categories?
WINZ was only used by 4.2% of the respondents but haven’t considered this channel?
had a success rate of 27% (Figure 12, above). It was We examined job categories by the success rate of
most successful for recruiting unskilled staff (66.66%) various recruitment channels. The most successful
and technicians (50%). It was not successful for any channel for the recruitment of professionals was the
other category Trade fairs were practically never used web/online (37.5%) i.e. e-recruitment, followed by
and were not successful when they were used. Does recruitment agencies (33%) (Figure 13, below). No
this reflect poorly on trade fairs or does it just mean other method was successful in recruiting
our respondents professionals.
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 13
Considering that tradesmen were the second most channels (31%) and the web/online (e-recruitment)
difficult category to recruit, a success rate of 80% for (28.5%) were also relatively successful considering
recruitment agencies is impressive (Figure 14, below). the difficulty in recruiting.
Word of mouth was also very good at 44.5%. Media
Management positions may be somewhat difficult to recruitment agencies surprisingly far behind at 20%
recruit for, but the most successful recruiting channel (Figure 15, below). No other channel was successful in
is web/online (e-recruitment) at 33.33% and recruiting managers.
Technicians are most likely to be recruited by recruitment channel. Not too much emphasis can be
recruitment agencies with a high success rate of 80% placed on this channel for the recruitment of
(Figure 16, below). Much less, but still very good, was technicians as it was used by only 4.2% of
the use of Work and Income New Zealand as a respondents.
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 14
Figure 17: Which channel most successful for recruiting Sales & Service?
For recruitment of sales and service staff, web/online recruit, machine operators were most likely to be
(e-recruitment), recruitment agencies, word of mouth, recruited by recruitment agencies (60%) followed by
and media channels were all more or less equally the word of mouth method (50%), and media channels
successful (Figure 17, above).One of the easiest to (33.33%) (Figure 18, below).
Figure 18: Which channel most successful for recruiting Machine operators?
The most successful channel for the recruitment of success such as media channels (50%), recruitment
unskilled staff was WINZ (67%); however a variety of agencies (40%), and word of mouth (35.7%) (Figure
channels were used to recruit unskilled staff with 19, below).
Figure 19: Which channel most successful for recruiting unskilled workers?
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 15
One of the easiest to recruit, clerical staff were most recruitment agencies, word of mouth, and media
likely to be recruited by the Web/online (e- channels were also successful.
recruitment) (Figure 20, below). However,
Figure 20: Which channel most successful for recruiting Clerical staff?
This survey revealed that the most neglected method answer is that it depends on which job category they
for attracting employees was through trade fairs and are recruiting and which recruitment channel they are
conferences. Companies have little time and money using. Table 3 below presents a way to measure the
for these channels. “power” of the different recruitment channels for the
To sum up recruitment practices as used by Rosebank different job categories.
firms, what are the lessons for owner/managers? The
Our research shows that the most frequently used machine operators; it is more helpful for unskilled
recruitment method overall was word of mouth, but employees to get somebody (agencies) to complete the
its power score of 6 was mid-rank. It was successful documentation for them. Web/online (e-recruitment)
only for the lower job categories. Recruitment was just behind recruitment agencies with a power
agencies were the most powerful by this measure with score of 10, not successful at all for unskilled and
a score of 11; they were used for every type of machine operators. It can be deduced that e-
employee but were most successful for tradesmen and recruitment is actually the most successful
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 16
recruitment channel because unskilled labour and applications and information and to integrate payroll
even operators are unlikely to use Web/online and other human resource systems. E-recruitment
because they are most likely illiterate to a large extent could actually do “web interviewing” which again
as well. Media channels had mid-rank score of 6, were screens out candidates who would be a waste of
used frequently but were not at all successful for money and time if they go forward to the next level of
unskilled workers and machine operators. Work and the interviewing process (Salmond, Cramption and
Income New Zealand was excellent for unskilled Atkinson, 2007; Ray and Thomas, 2000).
workers and helpful for technicians but not at all Along with this, organisations can find out if the
useful for the other categories. candidate will fit into the organisational culture and
whether the person, for example, likes a fast paced
Some advantages of e-recruitment environment or not. The advantage is that consistent
information is obtained from all candidates as the
A major advantage of e-recruitment is the speed with same questions are asked to each candidate; this
which all activities takes place. Many retailers face the allows the legal requirement of equal treatment of
problem of quickly getting additional staff during peak applicants. Additionally, e-recruitment software posts
seasons, especially during Christmas. Everything job vacancies in thousands of websites and jobsites
happens so fast that it is hard for them to manage all which in turn save money by not putting
aspects sequentially. advertisement in print. E-recruitment provides
Under the ‘conventional’ method it was quite difficult organisations with a competitive edge in the labour
to process the applications as retailers had to market (Marzulli, 2002; Sayles, 2003). Pre-screening
concentrate on the business whilst recruiting their software used are great time-savers for employers and
staff as well. With e-recruitment applicants can candidates as well. They can help recruiters to design
register for seasonal work and whenever an individual online questionnaires for specific job
opportunity arises they can be offered a position. To requirements. With the help of this software,
assist in this there are online tests and screening employers can easily separate the good from the bad,
options for selecting the right person. Most of the and potential applicants learn quickly whether or not
retailers look for young people aged between 18 and they are actually qualified or not for the job being
23 for seasonal work which, fortunately, is the age advertised. The software also allows the recruiter to
group primarily looking for jobs on the Internet. In get the applicant's past information which is usually
this way applicants get the job without much hassle not found in any résumés (Dysart, 2006).
and the employer gets suitable candidates within a Cullen (2001a) says that e-recruiting is like the first in
short duration of time, with less hassle in the selection a string of firecrackers. Its explosive success ignites a
process. This is a win-win for both parties (Trapp, series of explosions throughout the HR departments of
2002). the so-called “best-in-class” companies. It shows how
Along with speed comes the aspiration of getting the HR has moved to a whole new level of integration
best employee. Engaging the best is at times a big which will help management to move faster and make
challenge for the HR department. Getting the wrong more accurate decisions. The new technology has
person can be a waste of money, resources and time. saved HR a lot of money and time, which is vastly
With the help of e-recruitment, employers can easily advantageous for companies (Cullen, 2001).
search for the person best suited for a particular job.
Most e-recruitment websites and software have filters Some disadvantages of e-recruiting
which help businesses get what they want; rather than
wasting their time going through a lot of unnecessary With smiles comes tears, with every action comes an
applications as was the case in the past. Certainly e- equal and opposite reaction. Some managers and
recruitment has become bigger than any form of paper recruiters think that e-recruitment has allowed them
publication (Schoen, 2002). to get applicants faster and cheaper but it has equally
E-recruitment is not only helping people in the private reduced the applicant’s ability to express his or her
sector but also the institutions in public sectors. Every individuality and character, and most of the time these
poor or wrong judgment in selecting a person incurs are things that companies should look for in an
costs, both direct and indirect costs. Direct costs applicant (Corsini & Skip, 2001).
include the cost incurred in recruiting, interviewing Online résumé builders and profile editors have
and training. Indirect costs include damaging largely eliminated peoples’ thinking ability and
reputation, influence on morale, absenteeism and creativity. Everything is readily available on the net
productivity. E-recruitment assists organisations with and applicants don’t spend time on thinking about
multiple branches in one market to allocate the what skills they have got and what they can actually
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 17
do. They simply cut, copy and paste someone else’s Another issue faced by e-recruitment is that it is not
work, but they have not mentioned any of their own quite as useful for certain job categories in the local
qualities. In a way they are cheating the companies by market as was found in our research above. There is
making false claims. Companies have to take steps to little point advertising a job on the Internet when the
overcome this situation by including psychometric applicant needed is in a specific job category such as
testing and other kinds of aptitude tests before unskilled workers in the local area.
physically interviewing people. A further negative point is that many unnecessary
Online recruitment services have now become the résumés could be received for an advertised position
most common applications on the Internet. Every day from people who actually do not qualify. In this way a
millions of people search the Internet around the company may waste a lot of time going through all the
world to browse for their dream jobs. There are so non- qualified résumés unless they employ good
many people browsing the same applications on the filtering software. In addition, since everyone does not
Internet that system crashes are becoming a regular have access to Internet, it will not reach all potential
phenomenon. The main problem is the query key; candidates. This is one of the biggest drawbacks of e-
most of the users search through hundreds and recruiting. This means that certain job categories
thousands of jobs for a particular query and that advertised on the Internet must be advertised in the
overloads the system. Most of the time the user gets newspapers as well. This reduces the chances of the
the query right but at times the wrong information is prospective employee not seeing the job advert but
passed on. Two users doing the same query can get will increase the costs of recruiting; e-recruiting could
different results (Bradley, Rafter & Smyth, 2002). release a company’s strategic plans to their
Although e-recruitment methods have helped us in opposition.
several ways, these types of minor blemishes can put a
black mark on the whole industry. Query keys are one IMPLICATIONS FOR MANAGEMENT
of the major areas when it comes to e-recruitment.
Both the employer and the candidate rely on the The advent of e-recruitment means that the
search keys. If the search keys malfunction, neither management of such a system necessarily has to
employer nor candidate will be able to access the change. Traditionally management was focused on
information they need. The whole system will have to ensuring advertisements were ready for print to meet
be either improved or upgraded to meet market needs. media deadlines. Part of this was the preparation for
Another e-recruiting problem is whether everything is phone contact, and postal responses. If electronic
done according to the relevant legislation. Whether scanning was used it was hand fed into a scanner for
the job is advertised on the web or in the newspaper, comparison. In its effort to shift to e-recruitment
legislation surrounding both is the same and all organisations are investing heavily in the e-
procedures have to be maintained. Online advertising recruitment market. Managers need to be trained for
is different from newspaper advertising. With online these changes because it can save a lot of money on
advertising thousands of résumés and feedbacks are advertisements; the savings could be used to develop
received by organisations, but when it comes to careers or training for employees.
newspaper advertisements there are only a few and it Managers are also pushing for the whole recruitment
is easy to maintain. When using e-recruitment, people system to be redesigned (Cullen, 2001a). The use of e-
often forget to follow the right procedures. Most of the recruitment methods have advanced so much that in
time the volume is so great that even non-HR the future, companies will have to have automated
professionals has to assist to go through it. résumé screening and searching equipment to remain
According to the legislation in some countries, every competitive in their respective industries. It will
company has to comply with their Privacy Act. They become a must in every company along with printers,
need to get permission from the applicant before scanners and copiers. Résumé screening machines will
storing their information on their databases. But most make screening, organising, and finding résumés
of the time it does not happen and an applicant’s easier. E-recruitment is revolutionising the way
privacy are at stake, unless efforts are made to purge managers hire employees (May, 2006).
the data bases of unsuccessful applications. From an There are two types of e-recruiting systems that
employer’s point of view it can take the benefits away managers will have to get used to. An “applicant
of low-cost, handy, and pioneering to appeal to tracking system” tracks demographics and
prospective recruits. However, because there are no information, as well as the skills of the candidate to be
clear rules to ensure that Internet recruiting complies interviewed. This system then selects candidates on
with civil rights laws, recruiters need to use this tool pre-defined criteria and sends letters to both qualified
cautiously (Stone 2008; Rudman 2010). and unqualified applicants. The second system is
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 18
called the “hiring management” system (HMS). The definitely great potential in e-recruitment as
main difference between HMS and the “application evidenced by the emergence of international
tracking” system is that it goes to job boards and companies in this field, and with news papers entering
corporate websites to create a match from the into the electronic recruitment to offset their decline
applicants. The company receives an e-mail when a in paper advertising business (Dowling and Welch,
matching résumé comes into the system. This helps 2004).
the company to speed up the interview and selection Our research done in ARBP revealed that e-
process so that the particular candidate does not get recruitment was successful for certain job categories
employed by the competitors (Bussler & Davis, 2001). and for categories such as tradesmen media channels
were more successful. Professionals were best
RECOMMENDATION recruited by e-recruitment because they have the
“luxury” of the internet and computer access.
The above discussion and analysis of the research data Tradesmen were best recruited through recruitment
leads to a number of possible actions for managers. It agencies and word of mouth; managers by e-
shows that careful consideration should be given to recruitment followed by recruitment agencies;
which job categories need to be recruited in the technicians through recruitment agencies and WINZ;
traditional style and which could be conducted sales & service by e-recruitment; machine operators
electronically. A considerable effort must be made to by recruitment agencies, unskilled workers through
efficiently allocate funds to measure the performance WINZ; and clerical staff by e-recruitment.
of e-based systems. There could also be great gains by
integrating the e-recruiting to production planning REFERENCES
systems in order to foretell of changes in employment
levels within the organisation. 1. Australian Bureau of Statistics (2006). Australian and
HR managers will have to be alert to all information New Zealand Standard Industrial Classification
provided from the applicants’ résumés so that they (ANZSIC). www.abs.gov.au
don’t waste money on interviewing the wrong
2. Bemus, C., Henle, C. & Hogler, R. L. (1998). Internet
candidates. They will have to align the HR objectives recruiting and employment discrimination: a legal
with the organisational objectives to ensure that they perspective. Human Resource Management Review, 8, 2,
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right job.
How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126
Science Journal of Business Management ISSN: 2276-6316 19
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How to Cite this Article: Dr. A J du Plessis, Prof. Howard Frederick , “Effectiveness of e-recruiting: empirical evidence from the Rosebank business cluster in Auckland, New
Zealand ” Science Journal of Business Management, Volume 2012, Article ID sjbm-126, 21 Pages, doi: 10.7237/sjsa/126