MODULE:2 HUNAN RESOURCE

PLANNING
HRP: CONCEPT, NEED, PROCESS AND IMPORTANCE OF HRP, Factors affecting Manpower
planning, Obstacles in manpower planning, Advantages, Obstacles in Manpower planning

RECRUITMENT: CONCEPT, SOURCES AND METHODS OF RECRUITMENT

SELECTION: CONCEPT AND PROCESS OF SELECTION, TYPES OF SELECTION TESTS AND

SELECTION INTERVIEW
HUMAN RESOURCE PLANNING
CONCEPT
 Human resources undoubtedly play the most important part in the functioning of an organization. The
term ‘resource’ or ‘hu­man resource’ signifies potentials, abilities, capacities, and skills, which can be
developed through continuous interaction in an organizational setting. Human Resource Planning is the
planning of Human Resources. It is also called manpower planning/ personnel planning/ employment
planning. It is only after Human Resource Planning that the Human Resource department can initiate
the recruitment and selection process. Therefore Human Resource Planning is a sub-system of
organisational planning.

 Human Resource Planning is a process of forecasting and strategizing to meet the organization’s
demand and supply of manpower needs in the present and future. It is a process to ensure that you have
the right people with the right skillset in your team thereby building a strong workforce capability in
your organization.
DEFINTION

 E.W. Vetter viewed human resource planning as “a process by which an organisation

should move from its current manpower position to its desired manpower position.
Through planning, management strives to have the right number and right kind of
people at the right places at the right time, doing things which result in both the
organisation and the individual receiving maximum long-run ben

 Dale S. Beach has defined it as “a process of determining and assuring that the
organisation will have an adequate number of qualified persons available at the proper
times, performing jobs which meet the needs of the enterprise and which provide
satisfaction for the individuals involved.”
Need for Human Resource Planning(HRP)

 The need for Human Resource Planning (HRP) are as follows-

 1. Identification of the right person in the right place: The Right person is identified
and placed in the right place according to the knowledge and skills he acquired, and
work towards the achievement of organizational objectives.
2. Technological changes in a rapid way: Technology is changing with the lightning
speed. Therefore, It is must for the organization to hire fresh talent who knew about the
current trends in technology and have the necessary skills to work on it.
CONT…

 . Shortage of employees & skills: HRP helps to fill the gap of employees and skills in
the organization with quality manpower to achieve goals faster.

4. Replacement of persons: By identifying the right person at the right time and at the
right place, HRP provides the best replacement of persons in the organization.

 5. Labour turnover: HRP reduce the labour turnover by providing the best manpower
in the organization also inspiring the existing ones to perform with their full efficiency
to survive and grow in the competitive environment.
CONT…

 6. Improvement in quality of life & quality of work life: Organization plans and
provides its employees with the best quality tools, equipment, machines and
environment possible to enhance the quality of their life. With the help of human
resource planning, organizations do it for their employees.

7. Proper evaluation and appraisal system: HRP provides a proper evaluation and
appraisal system which helps to check the status of work of employees. With this
system, efficient employees are praised for their work and inefficient employees are
trained to achieve more.
Process of HRP

 1. Analyze organizational objectives and plans

 Success in HR planning relies on its connection to business goals, so you must start with a
final purpose in mind. Determine what the organization wants to achieve in the future, how it
intends to accomplish this, and how HR efforts will contribute to it.

 Each department will have unique objectives that HR will need to be involved in. Ideally, HR
works very closely with management and has a clear grasp of what every area of the company
is aiming for. Once you know that, you can ascertain how HR will meet those needs. For
example, some departments may need you to focus on recruiting, while others may need to be
downsized and reassign some current employees.
2.Forecasting Demand and Supply

 1. Demand Forecasting
 With the ever-changing environment, the HR demand varies from time to time. We must
anticipate the future HR requirements to achieve multiple goals.
 The managers find out the number of people with adequate skills to develop a staff mix.
 In this stage, we can make projections regarding:

• Addition of new job roles.

• Creation of Vacancies.

• Prevent a shortage of people.

• Number and kind of personnel required for production and management.

• Right quantity of personnel to meet business long-term goals, etc.

CONT…

 Techniques for Demand Forecasting:

1. Managerial Judgement

2. Ratio/Trend Analysis

3. Regression Analysis

4. Work-study Techniques

5. Delphi Technique

6. Flow Model
CONT…
 Supply Forecasting

 After demand forecasting, we must assess the firm’s capabilities to supply the required workforce. Managers may procure personnel from

within and outside the firm.

 An alternative name for supply forecasting is Bench Forecasting.

 Sources of human resources supply:

1. Existing Workforce

2. Internal Supply

3. External Supply

 We must analyze the sufficiency of the existing workforce first. After that, go for the internal and external sources of supply.

 Supply forecasting helps in estimating:

• Staff mixes for the future.

• It helps to prevent excess or shortage of manpower.

• The number of personnel required to fill the planned positions.

Cont…

 Techniques for Supply Forecasting:

1. Staffing Tables

2. Markov Analysis

3. Skills Inventory

4. Replacement Chart
4. HR PROGRAMMING

 Once an Organization’s personnel demand and supply are forecast ,the two must be
reconciled or balanced in order that vacancies can be filled by the right employees at
the right time . HR Programming, the third step in the planning process.
HR Plan Implementation

 Implementation requires converting an HR plan into action. A series of action

programmes are initiated as a part of HR implementation . Some Such programmes are
recruitment, selection and placement, training and development, retraining and
redeployment, the retention plan, the redundance plan and the succession plan.

 The human resource plan depends on whether there is deficit or surplus in the
organization. Accord­ingly, the plan may be finalized either for new recruitment,
training, interdepartmental transfer in case of deficit of termination, or voluntary
retirement schemes and redeployment in case of surplus.
Control and Evaluation Programme

 It mainly involves implementation of the human resource action plan. Human resources
are allocated according to the requirements, and inventories are updated over a period.
The plan is monitored strictly to identify the deficiencies and remove it. Comparison
between the human resource plan and its actual implementation is done to ensure the
appropriate action and the availability of the required number of employees for various
jobs.
IMPORTANCE OF HRP

 I. Assessing Future Personnel Needs:

 Whether it is surplus labour or labour shortage, it gives a picture of defective planning

or absence of planning in an organization. A number of organizations, especially public
sector units (PSUs) in India are facing the problem of surplus labour.

 It is the result of surplus labour that the companies later on offer schemes like
Voluntary Retirement Scheme (VRS) to eliminate surplus staff. Thus, it is better to plan
well about employees in advance. Through HRP, one can ensure the employment of
proper number and type of personnel.
CONT..

 II. Foundation for Other HRM Functions:

 HRP is the first step in all HRM functions. So, HRP provides the essential information
needed for the other HRM functions like recruitment, selection, training and development,
promotion, etc

 III. Coping with Change:

 Changes in the business environment like competition, technology, government guidelines,

global market, etc. bring changes in the nature of the job. This means changes in the
demand of personnel, content of job, qualification and experience needed. HRP helps the
organization in adjusting to new changes.
CONT..

 IV. Investment Perspective:

 As a result of change in the mindset of management, investment in human resources is

viewed as a better concept in the long run success of the enterprise. Human assets can
increase in value as opposed to physical assets. Thus, HRP is considered important for the
proper planning of future employees.

 V. Expansion and Diversification Plans:

 During the expansion and diversification drives, more employees at various levels are
needed. Through proper HRP, an organization comes to know about the exact requirement
of personnel in future plans.
CONT…

 VI. Employee Turnover:

 Every organization suffers from the small turnover of labour, sometime or the other.
This is high among young graduates in the private sector. This necessitates again doing
manpower planning for further recruiting and hiring.

 VII. Conformity with Government Guidelines:

 In order to protect the weaker sections of the society, the Indian Government has
prescribed some norms for organizations to follow. For example, reservations for
SC/ST, BC, physically handicapped, ex-servicemen, etc. in the jobs. While planning for
fresh candidates, HR manager takes into consideration all the Government guidelines
CONT..

 VIII. International Expansion Strategies:

 International expansion strategies of an organization depend upon HRP. Under International

Human Resource Manage­ment (IHRM), HRP becomes more challenging. An organization
may want to fill the foreign subsidiary’s key positions from its home country employees or
from host-country or from a third country. All this demands very effective HRP.

 IX. Having Highly Talented Manpower Inventory:

 Due to changing business environment, jobs have become more challenging and there is an
increasing need for dynamic and ambitious employees to fill the positions. Efficient HRP is
needed for attracting and retaining well qualified, highly skilled and talented employees.
Factors Affecting Human Resource Planning

 HRP is influenced by several considerations. The more important of them are:

 (i) type and strategy of organization,

 (ii) organizational growth cycles and planning,

 (iii) environmental uncertainties,

 (iv) time horizons,

 (v) type and quality of forecasting information,

 (vi) labor market.

Type and Strategy of Organization

 The type of organization is an important consideration because it deter­mines the

production processes involved, number and type of staff needed, and the supervisory
and managerial personnel required. Manufacturing organizations are more complex in
this respect than those that render services.

 The strategic plan of the organization defines the organization’s HR needs. For
example, a strategy of organic growth means that additional employees must be hired.
Acquisitions or mergers, on the other hand, probably mean that the organization will
need to plan for layoffs, since mergers tend to create, duplicate or overlapping positions
that can be handled more efficiently with fewer employees.
Organizational Growth Cycles and Planning

 The stage of an organization’s growth can have considerable influence on human resource
planning. Small organizations in the embryonic stage may not have personnel planning.

 Need for planning is felt when the organization enters the growth stage. HR forecasting
becomes essential. Internal development of people also begins to receive attention in
order to keep up with the growth.

 A mature organization experiences less flexibility and variability. Growth slows down.
The workforce becomes old as few younger people are hired. Planning becomes more
fonnalised and less flexible and innovative. Issues like retirement and possible
retrenchment dominate planning.
Cont…

 Finally, in the declining stage, human resource planning takes a different focus.
Planning is done for layoff, retrenchment and retirement. Since decisions are often
made after serious financial and sales shocks are experienced by the organization,
planning is often reactive in nature.
Environmental Uncertainties

 HR managers rarely have the privilege of operating in a stable and predictable

environment. Political, social and economic changes affect all organizations. Personnel
planners deal with environmental uncertainties by carefully formulating recruitment,
selection, and training and development policies and programmes. Balancing
mechanisms are built into the HRM programme through succession planning,
promotion channels, layoffs, flexitime, job sharing, retirement, VRS and other
personnel related arrangements.
Time Horizons

 Yet another major factor affecting personnel planning is the time horizon. A plan cannot be
for too long on a time horizon as the operating environment itself may undergo charges. On
one hand, there are short-term plans spanning six months to one year. On the other hand,
there are long-term plans -which spread over three to twenty years. The exact time span,
however, depends on the degree of uncertainty prevailing in an organization’s environment.

 Plans for companies operating in an unstable environment, computers for example, must be
for a short period. Plans for others where environment is fairly stable, for example a
university plan, may be long-term. In general, the greater the uncertainty, the shorter the
plan’s time horizon and vice-versa.
Type and Quality of Information

 The information used to forecast personnel needs originates from a multitude of sources. A
major issue in personnel planning is the type of information which should be used in making
forecasts.

 Closely related to the type of information is the quality of data used. The quality and accuracy
of information depend upon the clarity with which the organizational decision makers have
defined their strategy, organizational structure, budgets, production schedules and so forth. In
addition, the HR department must maintain well-developed job-analysis information and HR
information systems (HRIS) that provide accurate and timely data. Generally speaking,
organizations operating in stable environments are in a better position to obtain comprehensive,
timely and accurate information because of longer planning horizons, clearer definition of
strategy and objectives, and fewer disruptions.
Labor Market
 Labor market comprises people with skills and abilities that can be tapped as and when the need arises. Thanks to the mushrooming
of educational, professional and technical institutions adequately trained human resource is always available on the market.
Nevertheless, shortages do occur. For example, the Confederation of Indian Industry (CII) estimates that by 2015, India will be
requiring 30 million additional skilled workers in sectors such as health care, banking and financial services, retail, auto and
construction. It is doubtful whether so many skilled workers would be available in the country.

 When one talks about labor supply, the following deserve due consideration:

 • The size, age, sex and educational composition of the population

 • The demand for goods and services in the country

 The nature of production technology

 • Employability of the people

Obstacles in HRP

 1. Resistance by Employer

 2. Resistance by Employee

 3.Inadequacies in quality of Information

 4. Uncertainties

 5. Time and Expense

RECRUITMENT

 Recruitment is the process of choosing the right person for the right position and at the
right time. Recruitment also refers to the process of attracting, selecting, and appointing
potential candidates to meet the organization’s resource requirements.

 Recruitment inspires the potential candidates to fill the application form for
employment. It is the process of bringing together those who are offering jobs and
those who are seeking jobs. After estimating the need and requirement of human
resource in an organization, the HR manager proceeds with the identification of sources
of HR, which is termed as recruitment.
Definition
 According to Edwin B. Flippo, “It is a process of searching for prospective employees and
stimulating and encouraging them to apply for jobs in an organisation.” He further elaborates it,
terming it both negative and positive.

 He says, “It is often termed positive in that it stimulates people to apply for jobs, to increase the
hiring ratio, i.e. the number of applicants for a job. 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. ”

 In the words of Dale Yoder, Recruitment is the process to “discover the sources of manpower to
meet the requirements of the staffing schedule and to employ effective measures for attracting that
manpower in adequate numbers to facilitate effective selection of an efficient working force.”

 Kempner writes, “Recruitment forms the first stage in the process which continues with selection
and ceases with the placement of the candidates.”
SOURCES OF RECRUITMENT

 Sources of recruitment refers to various modes of connecting with the job seeker for completing the
task of finding potential employees. In simple words, sources of recruitment is the medium through
which communication regarding the vacant positions is made aware to the prospective candidates.

 There are generally recognized two sources of recruitment, which are internal and external sources.
Let us discuss these sources in detail in the following lines.

 Internal Sources

 Internal sources of recruitment refers to the recruitment of employees who are already a part of the
existing payroll of the organization. The vacancy for the position can be informed to the employee
through internal communication.
CONT….
 There are different types of internal hiring in the organization and they are as follows:

 1. Promotion: Promotion is referred to as the change of designation of the employee. It

involves shifting of the existing employee to a higher position within the organization
and providing that employee with more responsibility and a raise in pay.

 Promotion helps in motivating the other employees of the organization to work hard so
that they also become eligible for promotion.

 2. Transfer: Transfer refers to the shifting of an existing employee from one department
to another department in an organization.
CONT..
 3. Employee Referrals: It can happen that the organisation in an effort to cut down costs on
hiring is looking for employee referral. The employees are well aware of the job roles in the
organisation for which manpower is required. These employees will refer potential candidates
by screening them based on their suitability to the position.

 4. Former employees: Some organisations have the provision of hiring retired employees
willing to work part time/full time for the organisation.
External sources

 External sources of recruitment signify the hiring of those employees who have never
been associated with the organization before.

 The organization needs to include new and fresh talent to become successful and to
survive in the competition. Large organizations mostly depend on external sources of
recruitment.

 Following are the various external sources through which the organization acquire new
resources:

 Advertisements: The organization advertises the job openings in the newspaper,

media, company’s bulletin, social networking sites (Facebook, LinkedIn, Twitter), job
portals, etc.
CONT..
 Campus Recruitment: The organisation collaborates with the educational institutes and colleges

to hire their students for the available job vacancies, by conducting the recruitment process in the

respective college campus.

 Employment Exchange: The organization gets itself registered with the employment exchange,

i.e. a government-affiliated agency who have a database of many prospective candidates. These

candidates register with such employment exchanges in search of better job opportunities.

 Walk-ins and Write-ins: The organizations without any effort, get random applications when the

job seekers submit their CV. Either by visiting the organisation, posting the letter with CV or

mailing the CV on the company’s mail id.

CONT..

 E-Recruitment: The organisation uses the web-based software as a source of

recruitment involving electronic screening of candidates, online skill test, online profile
checks and interviews on video-conferencing.

 Competitors:

 By offering better terms and conditions of service, the human resource managers try to
get the employees working in the competitor’s organization.
CONT..
 Recruitment process is a process of identifying the jobs vacancy, analyzing the job
requirements, reviewing applications, screening, shortlisting and selecting the right
candidate.

 Recruitment process is the first step in creating a powerful resource base. The process
undergoes a systematic procedure starting from sourcing the resources to arranging and
conducting interviews and finally selecting the right candidates.
Recruitment Planning

 Recruitment planning is the first step of the recruitment process, where the vacant
positions are analyzed and described. It includes job specifications and its nature,
experience, qualifications and skills required for the job, etc.

 A structured recruitment plan is mandatory to attract potential candidates from a pool of

candidates. The potential candidates should be qualified, experienced with a capability to
take the responsibilities required to achieve the objectives of the organization.
CONT…

 Identifying Vacancy

 The first and foremost process of recruitment plan is identifying the vacancy. This
process begins with receiving the requisition for recruitments from different department
of the organization to the HR Department, which contains −

• Number of posts to be filled

• Number of positions

• Duties and responsibilities to be performed

• Qualification and experience required

CONT..
 When a vacancy is identified, it the responsibility of the sourcing manager to ascertain
whether the position is required or not, permanent or temporary, full-time or part-time,
etc. These parameters should be evaluated before commencing recruitment. Proper
identifying, planning and evaluating leads to hiring of the right resource for the team
and the organization.

 Job Analysis

 Job analysis is a process of identifying, analyzing, and determining the duties,

responsibilities, skills, abilities, and work environment of a specific job. These factors
help in identifying what a job demands and what an employee must possess in
performing a job productively.
CONT…
 Job analysis helps in understanding what tasks are important and how to perform them.
Its purpose is to establish and document the job relatedness of employment procedures
such as selection, training, compensation, and performance appraisal.

 The following steps are important in analyzing a job −

• Recording and collecting job information

• Accuracy in checking the job information

• Generating job description based on the information

• Determining the skills, knowledge and skills, which are required for the job

 The immediate products of job analysis are job descriptions and job specifications.
 CONT….
 Job Description

 Job description is an important document, which is descriptive in nature and contains the final statement of the job
analysis. This description is very important for a successful recruitment process.

 Job description provides information about the scope of job roles, responsibilities and the positioning of the job in the
organization. And this data gives the employer and the organization a clear idea of what an employee must do to meet
the requirement of his job responsibilities.

 Job description is generated for fulfilling the following processes −

• Classification and ranking of jobs

• Placing and orientation of new resources

• Promotions and transfers

• Describing the career path

• Future development of work standards

CONT….
 A job description provides information on the following elements −
• Job Title / Job Identification / Organization Position
• Job Location
• Summary of Job
• Job Duties
• Machines, Materials and Equipment
• Process of Supervision
• Working Conditions
• Health Hazards
 Job Specification
 Job specification focuses on the specifications of the candidate, whom the HR team is going to

hire. The first step in job specification is preparing the list of all jobs in the organization and its

locations. The second step is to generate the information of each job.

 This information about each job in an organization is as follows −

• Physical specifications

• Mental specifications

• Physical features

• Emotional specifications

• Behavioral specifications

 A job specification document provides information on the following elements −

CONT…

• Qualification

• Experiences

• Training and development

• Skills requirements

• Work responsibilities

• Emotional characteristics

• Planning of career
CONT…

 Job Evaluation

 Job evaluation is a comparative process of analyzing, assessing, and determining the

relative value/worth of a job in relation to the other jobs in an organization.

 The main objective of job evaluation is to analyze and determine which job commands
how much pay. There are several methods such as job grading, job classifications, job
ranking, etc., which are involved in job evaluation. Job evaluation forms the basis for
salary and wage negotiations.
CONT…
 Recruitment Strategy

 Recruitment strategy is the second step of the recruitment process, where a strategy

is prepared for hiring the resources. After completing the preparation of job

descriptions and job specifications, the next step is to decide which strategy to adopt

for recruiting the potential candidates for the organization.

 While preparing a recruitment strategy, the HR team considers the following points −

• Make or buy employees

• Types of recruitment

• Geographical area

• Recruitment sources
CONT..

 The development of a recruitment strategy is a long process, but having a right strategy is

mandatory to attract the right candidates. The steps involved in developing a recruitment strategy

include −

• Setting up a board team

• Analyzing HR strategy

• Collection of available data

• Analyzing the collected data

• Setting the recruitment strategy

CONT…

 Searching the Right Candidates

 Searching is the process of recruitment where the resources are sourced depending upon
the requirement of the job. After the recruitment strategy is done, the searching of
candidates will be initialized. This process consists of two steps −

• Source activation − Once the line manager verifies and permits the existence of the
vacancy, the search for candidates starts.

• Selling − Here, the organization selects the media through which the communication of
vacancies reaches the prospective candidates.

 Searching involves attracting the job seekers to the vacancies. The sources are broadly
divided into two categories: Internal Sources and External Sources.
CONT..

 Screening / Shortlisting

 Screening starts after completion of the process of sourcing the candidates. Screening is
the process of filtering the applications of the candidates for further selection process.

 Screening is an integral part of recruitment process that helps in removing unqualified

or irrelevant candidates, which were received through sourcing. The screening process
of recruitment consists of three steps −
CONT..
 Reviewing of Resumes and Cover Letters

 Reviewing is the first step of screening candidates. In this process, the resumes of the
candidates are reviewed and checked for the candidates’ education, work experience, and
overall background matching the requirement of the job

 While reviewing the resumes, an HR executive must keep the following points in mind, to
ensure better screening of the potential candidates −

• Reason for change of job

• Longevity with each organization

• Long gaps in employment

• Job-hopping

• Lack of career progression

Evaluation and Control

 Evaluation and control is the last stage in the process of recruitment. In this process, the effectiveness and the
validity of the process and methods are assessed. Recruitment is a costly process, hence it is important that the
performance of the recruitment process is thoroughly evaluated.

 The costs incurred in the recruitment process are to be evaluated and controlled effectively. These include the
following −

• Salaries to the Recruiters

• Advertisements cost and other costs incurred in recruitment methods, i.e., agency fees.

• Administrative expenses and Recruitment overheads

• Overtime and Outstanding costs, while the vacancies remain unfilled

• Cost incurred in recruiting suitable candidates for the final selection process

• Time spent by the Management and the Professionals in preparing job description, job specifications, and
conducting interviews.
SELECTION CONCEPT

 Employee selection can range from a very simple process to a very complicated
process depending on the firm hiring and the position. No organization can function
efficiently without right number and kinds of people. Hence, selection function of
employment process helps in obtaining the best and qualified manpower for a particular
vacant position in the organization.

 The purpose of the selection process is to pick up the most suitable candidate who
would meet the requirements of the job in an organization best, to find out which job
applicant will be successful if hired. Selection is one of the functions of employment,
which begins as soon as the recruitment process ends..
Definition

 The Selection is the process of choosing the most suitable candidate for the vacant
position in the organization. In other words, selection means weeding out unsuitable
applicants and selecting those individuals with prerequisite qualifications and
capabilities to fill the jobs in the organization.

 “Selection is the process of choosing from the candidates, from within the organization
or from outside, the most suitable person for the current position or for the future
positions.”

 -Harold Koontz
Selection Process

 Every organization creates a selection process because they have their own
requirements. Although, the main steps remain the same. So, let’s understand in brief
how the selection process works.
CONT…

• Preliminary Interview

• This is a very general and basic interview conducted so as to eliminate the candidates
who are completely unfit to work in the organisation. This leaves the organisation with
a pool of potentially fit employees to fill their vacancies.

• Receiving Applications

• Potential employees apply for a job by sending applications to the organisation. The
application gives the interviewers information about the candidates like their bio-data,
work experience, hobbies and interests.
CONT…

• Screening Applications

• Once the applications are received, they are screened by a special screening committee
who choose candidates from the applications to call for an interview. Applicants may
be selected on special criteria like qualifications, work experience etc.

• Employment Tests

• Before an organisation decides a suitable job for any individual, they have to gauge
their talents and skills. This is done through various employment tests like intelligence
tests, aptitude tests, proficiency tests, personality tests etc.
Cont…

• Employment Interview

• The next step in the selection process is the employee interview. Employment
interviews are done to identify a candidate’s skill set and ability to work in an
organisation in detail. Purpose of an employment interview is to find out the suitability
of the candidate and to give him an idea about the work profile and what is expected of
the potential employee. An employment interview is critical for the selection of the
right people for the right jobs.
Cont…

• Checking References

• The person who gives the reference of a potential employee is also a very important
source of information. The referee can provide info about the person’s capabilities,
experience in the previous companies and leadership and managerial skills. The
information provided by the referee is meant to kept confidential with the
HR department.
CONT…

• Medical Examination

• The medical exam is also a very important step in the selection process. Medical exams help the employers know if
any of the potential candidates are physically and mentally fit to perform their duties in their jobs. A good system of
medical checkups ensures that the employee standards of health are higher and there are fewer cases of absenteeism,
accidents and employee turnover.

• Final Selection and Appointment Letter

• This is the final step in the selection process. After the candidate has successfully passed all written tests, interviews
and medical examination, the employee is sent or emailed an appointment letter, confirming his selection to the job.
The appointment letter contains all the details of the job like working hours, salary, leave allowance etc. Often,
employees are hired on a conditional basis where they are hired permanently after the employees are satisfied with
their performance.
Selection Test

 “A test is a systematic procedure for comparing the behavior of

two or more persons.”

 The selection tests aim at measuring such skills and abilities in a

worker that are decided by job analysis to be essential for
successful job performance.
1. Ability Test

 Though a number of ability tests have been developed so far for the use of
employee selection, important among these are the following:

 1. Aptitude Tests:

 Aptitude tests measure ability and skills of the testee. These tests measure and indicate
how well a person would be able to perform after training and not what he/she has
done^. Thus, aptitude tests are used to predict the future ability/performance of a
person.

 There are two objectives of the aptitude tests. One to advise youth or jobseekers
regarding field of activities in which they are likely to succeed. This is called
‘vocational guidance’. Second, to select best persons for jobs where, they may
succeed. This test is called ‘vocational selection’.
2. Achievement Tests
 Achievement tests measure a person’s potential in a given area/job. In other words,
these tests measure what a person can do based on skill or knowledge already acquired
by him/her. Achievement tests are usually used for admission to specific courses in the
academic institutions.

 In these tests, grades in previous examinations are often used as indicators of achieve­
ment and potential for learning. Indian industries have now started conducting these
tests to judge for themselves the level of proficiency attained rather than believing their
scores in academic examina­tions. Achievement tests are also known by the names,
proficiency tests, performance, occupational or trade tests.
CONT..

 3. Intelligence Tests:
 Intelligence tests measure general ability for intellectual performance. The core concept underlying in
intelligence test is mental age. It is presumed that with physical age, intelligence also grows. Exceptions to
this may be there. So to say, if a five year old child does the test, for six years or above his/her mental age
would be determined accordingly.

 Mental age is generally indexed in terms of Intelligence Quotient (IQ) and calculated by using the
following formula:

 IQ = Mental Age/Actual Age × 100

 It means that the intelligence quotient is a ratio of mental age to actual age multiplying by 100(to remove
decimal).

 IQ levels may vary because of culture and exposure.

CONT…

 4. Judgment Tests

 These tests are designed to know the ability to apply knowledge

in solving a problem.
Personality Tests

 Personality tests are also called personality inventories. These tests measure
predispositions, motivations and lasting interests of the people.

 Personality tests are subsumed under four broad categories as given below:

 1. Interest Tests:

 These tests are designed to discover a person’s area of interest, and to identify the
kind of work that will satisfy him. Interest is a prerequisite to successfully perform
some task. These tests owe their origin to the vocational efforts. The most widely
used interest test is Kuder Reference Record. It consists of three forms.
CONT…

 The first form measures vocational interest such as mechanical, computational, artistic,
literary, musical and clerical interest. Interests in personal areas such as group
activities, avoiding conflicts etc., are measured by the second form of interest tests. The
third form of interest test measures preference reactions to particular occupations like
accountant, salesman, farmer, etc. The best known among these three forms of interest
test is the Kuder Preference Record i.e. vocational test.
CONT..

 2. Personality Tests:

 These tests are also known as ‘personality inventories’. These tests are designed to
measure the dimensions of personality i.e., personality traits such as interpersonal
competence, dominance- submission, extroversions-introversions, self-confidence,
ability to lead and ambition. The most well known names of personality tests are the
Minnesota Multiphasic Personality Inventory (MMPI), FIRO, and California
Personality Inventory.
CONT…

 3. Projective tests:

 These tests are based on pictures or incomplete items. The testee is asked to narrate or
project his own interpretation on these. The way the testee responds reflects his /her
own values, motives, attitude, apprehensions, personality, etc. These tests are called
projective because they induce the testee to put himself/herself into the situation to
project or narrate the test situation.
CONT..

 4. Attitude Tests:

 These tests are designed to know the teste's tendencies towards favoring or otherwise to
people, situations, actions, and a host of such other things. Attitudes are known from
the responses of the tastes / respondents because emotional overtones involved make it
difficult to directly observe or measure attitude of the testee. Test of social desirability,
authoritarianism, study of values, Machiavellianism and employees morale are the
well-known examples of attitude tests.
Employment and Selection Interview

 The interview comes from French word “Entre Voir” means to see each other.

 It is a procedure designed to obtain information from a person through oral responses to

oral inquires.

 Interview is formal, in-depth conversation conducted to evaluate the applicant’s

acceptability. It is considered to be excellent selection device. It is face-to-face exchange
of view, ideas and opinion between the candidates and interviewers. Basically, interview
is nothing but an oral examination of candidates. Interview can be adapted to unskilled,
skilled, managerial and profession employees.
Why Interview are Conducted
 To find if the candidate has right attitude and fits the requirement and company culture.

 To find the best candidate to fill a vacancy.

• Helps obtain additional information from the applicants

• Facilitates giving general information to the applicants such as company policies, job,
products manufactured and the like

• Helps build the company’s image among the applicants.

Types of Selection Interview

 Following are the various types of interview used in the

employee selection process:

 Based on Structure

 Based on Purpose

 Based on Conduct

 Based on Content

 Others
1. Based on Structure
 A. Structured or Directive or Guided Interview

 In this type, the interview is designed and detailed in advance. A structured interview is
pre-planned, accurate, and consistent in hiring the candidates.

 B. Unstructured or Non- Directive Interview

 This type of interview is an unplanned one, where the interview questionnaire is not
prepared. Here, the effectiveness of the interview is very less and there is a tremendous
waste of time and effort of both the interviewer and the interviewee.

 C. Semi Structured Interview

 Broad topics are structured but the questions is not predecided Some question are
structured and some are unstructured.
2. Based on Purpose

 A.Stress Interview

 Stress interview creates discomfort in you and the main purpose of stress interview is to
give you stress and difficult situation. This type of interview is to test the candidate’s
ability in stress situations. The interviewer’s may try to introduce stress by asking
continuous questions without giving time to think and answer the questions. Starting
you might be asked to wait in the waiting room for an hour before the interview. The
interviewer might openly challenge your believes or judgment. You might be called
upon to perform an impossible task on convincing the interviewer to exchange. Answer
each question in calm as it comes.
Cont…

 Appraisal / Assessment Interview

 A discussion following a performance appraisal. Suggestions are given on
how to improve the performance.

 Exit Interview
 Exit interviews are conducted for those employees who want to
leave the organization. The importance of the exit interview is to
discover why an employee wants to leave his job.
Based on Conduct
 1. One on One Interview: on-1 interviews are interviews that are in person and
occur between one interviewer and the interviewee. The format of these
interviews is typically rather straight-forward, and this style tends to be more
of what applicants are expecting when called in for an interview.

 2. Sequential Interview: A sequential, or serial, interview consists of several

interviews that take place in succession. This type of interviewing situation
can be tiring and repetitive, points out Even though you interview with
different people, you may be asked the same questions over and over.
Cont…
 3. Group Interview Group interviews are conducted by some large companies for graduates who are all

interviewed at one time. They may give some exercises to solve in a group and observes how the candidates

react with other people. The group interview will show the candidates

 Knowledge level

 Leadership qualities

 Communication skill

 Team work Listening Capacity

 Reaction under stress

 In group interview express your opinion confidently and allow others to speak. Don’t interfere while other

candidates speak. After the interview send at least one thank you letter, to the head of the committee
Cont..
 4. Panel Interview

 In Panel interviews or Committee interviews candidates will meet several higher authorities and
this method is used to hire for advanced positions. Questions may be asked by all panel members
and you can expect any type of critical questions from them. Try to answer for all questions and be
sure to impress all of the interviewers. The Panel members may be:
 The supervisor
 The manager
 The human resource officer
 The union representative Employees who are in recruiting team

 Make eye contact with each member of the panel while you answering the question. Preparing best
before the interview will succeed you in this type of interview.
4. Based on Content

 1.Situational Interview

 2. job Related Interview

 3. Behavioral Interview

 4. Phycological Interview
Situational Interview

 In a situational interview, you ask the candidate what his or her beha­vior
would be in a given situation. For e.g., you may ask the candidate to set in a
situation where his subordinate always comes late in the office. Thus, in this
kind of interview the interviewer checks the reac­tion of the interviewee in a
given hypothetical situation.
Job Related Interview

 Here the interviewer tries to deduce what the applicant’s on-the-job performance will
be, based on his or her answers to questions about past behaviours. The questions do
not revolve around hypothetical situ­ations, instead they are job related e.g. “which is
you favourite machine handling experience in the old job?” Or, “which course in the
engineer­ing was your favourite?”
Behavioral Interview

 Behavioral Interview In behavioral interviews, candidates are asked to explain their

skills, experience, activities, hobbies, school projects, family life – anything really – as
examples of your past behavior. The purpose of this type of interview is to predict
future based on past experiences. This interview shows the candidates willingness in
learning, willingness to travel, self-confidence and Creativity. Listen each question
carefully, and give an example that provides an appropriate description of how you
demonstrated the desired behavior.
Difference between Recruitment & Selection
Basis Recruitment Selection
Meaning It is an activity of establishing It is a process of picking up
contact between employers and more competent and suitable
applicants. employees.

Objective It encourages large number of It attempts at rejecting

Candidates for a job. unsuitable candidates.

Process It is a simple process. It is a complicated process.

Hurdles The candidates have not to cross Many hurdles have to be

over many hurdles. crossed.

Approach It is a positive approach. It is a negative approach.

Sequence It proceeds selection. It follows recruitment.
Economy It is an economical method. It is an expensive method.

Time Consuming Less time is required. More time is required.