Masters of Business Administration (MBA)

July Intake 2021

Second Semester

Assignment 2
Human Resource Management
Briefly explain the different sources of Recruitment

Submitted By: Submitted To:

Rajesh Shrestha Keshav Khadka
Submitted for the partial fulfillment of the assignment of Human Resource Management
(MBA)

Date: 27th September 2022

 Acknowledgement

I am delighted to bring out this summary of an assignment entitled "Human Resource

Management" as part of the MBA 2nd Semester.

This assignment is designed to meet the requirements for the second semester degree of
Master of Business Administration (MBA) under the Faculty of Management,
Infrastructure University, Kuala Lumpur, Malaysia.

I would like to thank the Himalayan College of Management for giving me the opportunity
to exchange practical experiences in various activities in a practical environment that will
be fruitful and beneficial for the future.

In this assignment, I have explained the different sources of recruitment.

I would like to thank Mr. Keshav Khadka Sir, Course Instructor of Human Resource
Management for providing me this opportunity to develop my knowledge and
understanding of HRM.

I would also like to thank the team of Himalayan College of Management for their
assistance for preparing this assignment.

Finally, I would like to thank all those who have contributed directly and indirectly to this
Assignment.

With Sincere thanks,

Rajesh Shrestha

MBA 2nd Semester, 2022

Himalayan College of Management

 Table of Contents

Sources of Recruitment ...................................................................................................................... 1

Internal Sources of Recruitment ........................................................................................................ 1

Merits and Demerits of Internal Sources of Recruitment .................................................................. 2

Merits of Internal Sources of Recruitment ................................................................................ 2

Demerits of Internal Sources of Recruitment ............................................................................ 2

External Sources of Recruitment........................................................................................................ 2

Merits and Demerits of External Sources of Recruitment ................................................................. 3

Merits of External Sources of Recruitment ............................................................................... 4

Demerits of External Sources of Recruitment ........................................................................... 4

Alternatives to Recruitment ............................................................................................................... 4

Conclusion .......................................................................................................................................... 5

References: ......................................................................................................................................... 5
Sources of Recruitment
Recruitment refers to the process of actively searching for, locating, and employing people for a
certain post or employment. The term "recruitment" refers to the complete recruiting procedure,
from the first stages through the integration of the hire into the business.

Various methods of linking job searchers with organizations that have vacancies for eligible
candidates can be seen as sources of recruitment. Simply said, it acts as a channel for
communicating or promoting the open jobs inside the company to elicit interest from candidates.
Recruiters must use extreme caution when choosing a certain source of hiring.

The number of workers to be employed, the expense associated with each source, the accessibility
of the candidates, the educational level of the employees to be hired, corporate policy, etc. all play
a role in the decision of which source of recruitment to choose.

The different recruiting sources may be generally classified into two categories, which are further
described below:
1. Internal Sources
2. External Sources

Internal Sources of Recruitment

To find individuals from within the company to fill a position, one uses internal sources of
recruiting. Since internal recruiting is less expensive and results in workers who are more familiar
with the company and its regulations, many businesses view it as a terrific alternative.
The following methods can be used for internal recruitment:
• Former Applicants: The cheapest and quickest method of hiring is to phone or email
applicants who have previously submitted an application to the company in order to fill any
imminent vacancy.
• Current Employees: As an alternative to hiring new workers, the recruiter may decide to
promote current employees (to a higher position) or transfer them (across departments or
branches).
• Employee referrals: In some cases, a firm will recruit individuals who were recommended
by current workers on the grounds that they are more dependable and trustworthy.

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 • Former Employees: A few companies provide their former employees the chance to
reapply for employment. They also take into account retired workers who are prepared to
provide the company with full- or part-time services.

Merits and Demerits of Internal Sources of Recruitment

For a small business with a narrow product range that doesn't require a lot of skill, internal sources
of recruiting can be helpful. Technology updates shouldn't be introduced to the enterprise too
frequently.

Merits of Internal Sources of Recruitment

The benefits of hiring from internal sources include the following:
• Internal hiring encourages workers to improve performance and advance.
• Employees typically create a strong bond with the company and show devotion to it over
time.
• These resources are low-cost and rely on internal advertising and word-of-mouth promotion.
• It is a simpler approach that doesn't call for a lot of experience.
The company may rely on the hired employees since they are already accustomed to the company,
which saves time on later application evaluation, training, and orientation.

Demerits of Internal Sources of Recruitment

Although internal recruiting also has significant disadvantages. Below is a discussion of them:
• It might be difficult to bring in fresh, unconventional resources for the business due to
internal recruitment.
• Bias and partiality in promotion or transfer decisions are occasionally seen by employees,
which causes unhappiness.
• It is not appropriate for all job postings.
• When one employee receives a promotion and the other does not, problems arise.

External Sources of Recruitment

When an employee is hired from an external source, it means they have never worked for the
company before. For the business to succeed and to stay competitive, it has to hire new and fresh
personnel. Large enterprises mostly rely on outside sources for hiring.
The different external sources listed below are how the organization obtains fresh resources:

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 • Advertisements: The corporation posts job opportunities in the newspaper, in the media, in
corporate bulletins, on social networking sites like Facebook, LinkedIn, and Twitter, and on
employment portals, among other places.
• Campus Recruitment: By completing the hiring process on the relevant college campus,
the company works in partnership with educational institutions and colleges to fill
employment openings with their students.
• E-Recruitment: The company employs web-based technologies as a source for hiring that
includes video interviews, online competency tests, online background checks, and
electronic screening of individuals.
• Employment Exchange: The business registers itself with the job exchange, a government-
connected entity that maintains a database of numerous potential applicants. In an effort to
find better career prospects, these hopefuls sign up with such employment exchanges.
• Outsourcing Consultancies: On behalf of the company, certain private consultancies are
diligently striving to hire staff. To find the ideal human resource, the company employs such
consultants on a commission basis.
• Walk-ins and Write-ins: When job searchers submit their CVs, firms automatically get
applications at random. Either by physically visiting the firm, submitting a letter and CV
online, or mailing the CV to the company's email.
• Contractors: For a specific project, the organization contracts with a provider of temporary
labor known as casual workers, who are not included in the company's records.
• Acquisition and Mergers: The business must fire some employees as well as hire fresh
talent when it merges with or acquires another business. The corporate structure undergoes
a significant transformation.
• Professional Associations: Through advertisements in their journals or periodicals,
professional groups help the organization replace the empty post. It also presents career
prospects for highly educated, competent, or experienced personnel who are authorities in
their professions and members of such groups.

Merits and Demerits of External Sources of Recruitment

The ideal method for hiring new staff in big or medium-sized businesses that are diverse across
numerous business lines is through external recruitment. The advantages and disadvantages of using
external sources of recruiting have been addressed in more detail.

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Merits of External Sources of Recruitment
Let's examine its advantages to better grasp why external hiring is necessary:
• External hiring allows candidates an equal opportunity to compete and land a job with the
firm.
• It guarantees openness and is not a confidential procedure.
• External hiring stimulates and promotes the organization's intake of new and fresh talent.
• It is broadly relevant to job openings in many types of departments for various company
processes.
• The hired personnel will have fresh, original ideas as well as knowledge of cutting-edge
technology and capabilities. This all starts the organizational success.

Demerits of External Sources of Recruitment

Despite offering the company a variety of applications, external sources can have certain
disadvantages
• The current workers can feel underappreciated and defeated, and they might even resign.
• From determining the need for human resources to reviewing applications, external
recruiting is a time-consuming procedure.
• It entails significant expenditures for consulting services, job exchanges, and ads.
• If a senior position is filled by an outsider, the existing staff members become unhappy and
demotivated.
• Current employees worry that if they don't meet performance expectations, they'll lose their
jobs or be replaced.

Alternatives to Recruitment
There are certain drawbacks to recruitment, such as the fact that it is a time-consuming and
inefficient procedure. As a result, many businesses use different strategies to complete the task
rather than recruiting people, even though some of these strategies only provide short-term relief.
Let's now discover more in-depth about a few of the available hiring options:
• Outsourcing: When a position becomes available, the company contracts with a third party
that specializes in recruiting services to handle the hiring process.
• Employee Overtime: The company requires overtime from the workers in exchange for
higher pay during the peak period, when output steadily grows.
• Temporary Employees: The company occasionally hires temporary workers through
employment agencies to handle the burden during busier periods. These workers might be

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 CEOs, professionals, technicians, or any other skilled workers who are willing to work for
less money.
• Employee Leasing: The leasing firms rent the organization's staff members' services. They
manage the payroll for the staff members and are compensated by the company.

Conclusion
Everyone desires a job in the modern world, regardless of their gender or caste. The job hunt has
become much easier thanks to technology.
The advent of the internet age has made it easier for job seekers to locate new positions anytime,
anywhere. Even businesses now have access to more effective methods of hiring new employees
and a wider range of global talent searches.
To ensure that the recruiting process is successful, firms must carefully choose their sources of
hiring.

References:

Class Slides: Keshav Khadka (Lecturer- Human Resource Management Lecturer)

Learning resources and slides of Human Resources
theinvestorsbook.com