CHAPTER 8: STAFFING Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Staffing Staffing Process of recruiting & selecting prospective employees Has significant impact on organization’s bottom line Requires staffing process to become strategically focused Recruitment & selection activities offer organization numerous choices to find & select new employees Staffing decisions need to ensure employees fit organization’s culture Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Recruiting Temporary versus permanent employees Increase headcount temporarily or permanently should be strategically-driven Basis for decisions is HR forecast Temporary employees less costly Temporary headcount increases can be obtained from specialized agencies Headcount increases can be avoided by subcontracting work Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Exhibit 8-1 Advantages & Disadvantages of Internal & External Recruiting Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Recruiting When & how extensively to recruit When do recruiting efforts need to begin? How large an applicant pool needed? Data from past recruiting efforts utilized To answer questions where feasible Adjust for changed conditions Yield ratios Offer information on how many applicants eliminated/remain at each step in recruitment process Can determine proper or necessary size of applicant pool Copyright © 2005 South-Western. All rights reserved.

Exhibit 8-2 Recruiting Pyramid Copyright © 2005 South-Western. All rights reserved.

Exhibit 8-3 Recruiting Timeline Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Methods of Recruiting Informally or formally Internally or externally Targeted advertising in selected media Recruiting on Internet Outsourcing to staffing agencies Private Industry Councils (PICs) Executive search firms On-campus recruiting Copyright © 2005 South-Western. All rights reserved.

Recruiting on Internet One of fastest-growing recruitment methods More cost-effective than newspaper advertising Low cost, speed, & ability to target applicants with technical skills Allows applicants to assess interests & needs with employer’s offerings Global exposure to potential applicants Can cut search process time by as much as 75% Copyright © 2005 South-Western. All rights reserved.

Recruiting on Internet Some potential challenges Ensuring security Viruses Access to unauthorized areas Disparate impact against certain protected classes Can complicate reporting of data related to compliance with federal & state laws Copyright © 2005 South-Western. All rights reserved.

Selection Process Issues Reliability Consistency of measurement Screening criteria should elicit same results in repeated trials across time & evaluators Reliability influenced by criterion deficiency & contamination errors Reliability is prerequisite for validity Copyright © 2005 South-Western. All rights reserved.

Selection Process Issues Validity Degree to which what is assessed is related to actual performance Ability to establish job-related validity is crucial to employers in defending themselves in discrimination allegations Content validity illustrates that measure or criterion is representative of actual job content or knowledge Criterion (empirical) validity demonstrated by relationship between screening criteria & job performance Copyright © 2005 South-Western. All rights reserved.

Interviewing Process Issues Who should be involved? Prospective supervisors, peers, subordinates Which interview format? Individual or group interviews Common interviewer errors Similarity errors Contrast errors First impression Halo errors Personal biases Copyright © 2005 South-Western. All rights reserved.

Behavioral Interviewing Used with experienced & inexperienced applicants Asks about situations candidate is likely to face on job Candidates can present real-life situations they were involved in & how they handled them Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Testing Work sample tests Ask applicant to complete representative sample of actual work Trainability tests Measure Aptitude in certain areas Ability to understand critical job components that firm will teach new hires Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Testing Realistic job previews Make applicants aware of both positive & negative aspects of job Decrease likelihood new employee will become dissatisfied Increase likelihood of candidate’s self-selecting out of position Personality testing is useful in anticipating how applicants are likely to behave Copyright © 2005 South-Western. All rights reserved.

Exhibit 8-4 The Big Five Personality Dimensions Characteristics of Person Scoring Positively on Dimension 1) Extraversion Outgoing, talkative, social, assertive 2) Agreeableness Trusting, good-natured, cooperative, soft-hearted 3) Conscientiousness Dependable, responsible, achievement-oriented, persistent 4) Emotional stability Relaxed, secure, unworried 5) Openness to experience Intellectual, imaginative, curious, broad-minded Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Other Testing Methods Personality testing Useful to anticipate how applicants likely to behave Few, if any, jobs require specific personality type Have been successfully challenged in court Physical testing Restricted under ADA to testing only for specific critical job-related physical performance requirements Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Other Testing Methods Honesty testing Declined since passage of Polygraph Protection Act in 1988 Drug testing Challenged in courts as invasion of privacy References Little information available due to former employer fears of liability for libel, slander & defamation Copyright © 2005 South-Western. All rights reserved.

Selection for International Assignments Reasons for failure on international assignments Interpersonal & acculturation abilities Rarely technical skills Test employees’ adaptability, open-mindedness, ability to tolerate uncertainty & ambiguity & independence Interview & screen family members who would accompany employee Copyright © 2005 South-Western. All rights reserved.

Exhibit 8-4 Strategic Issues in Staffing Copyright © 2005 South-Western. All rights reserved.

Reading 8.1 Hiring for Organization, Not Job New model of selection geared toward hiring “whole” person who fits into organization’s culture “Strong situation” Intensity of situation suppresses variation in behavior attributable to person “Weak situation” Allows range of employee responses to work requirements In organizations that are “weak situations” More important to do good job of hiring right people Copyright © 2005 South-Western. All rights reserved.

Reading 8.1 Hiring Process for Person-Organization Fit Assess overall work environment Job analysis Organizational analysis Infer type of person required Technical knowledge, skills & abilities Social skills Personal needs, values & interests Personality traits Copyright © 2005 South-Western. All rights reserved.

Reading 8.1 Hiring Process for Person-Organization Fit Design “rites of passage” for organization entry that allow both organization and applicant to assess their fit Tests of cognitive, motor & interpersonal abilities Interviews by potential coworkers & others Personality tests Realistic job previews, including work samples Reinforce person-organization fit at work Reinforce skills & knowledge through task design & training Reinforce personal orientation through organization design Copyright © 2005 South-Western. All rights reserved.

Copyright © 2005 South-Western. All rights reserved. Reading 8.1 Potential Benefits & Problems with Hiring for Person-Organization Fit Potential benefits More favorable employee attitudes More desirable individual behaviors Reinforcement of organizational design Potential problems Greater investment of resources in hiring process Relatively undeveloped & unproven supporting selection technology May be difficult to use full model where payoffs are greatest Lack of organizational adaptation Copyright © 2005 South-Western. All rights reserved.