Higher Business Notes

Internal Recruitment

Recruiting people from within the organisation.

Advantages

The employee knows the organisation, so they do not have to carry out induction training which takes up time and money.

The organisation knows the employee so they can be trusted to do a good job.

The space can be filled quickly

The organisation saves money and time on external advertisements

Employees are motivated as they see that there is a chance for promotion.

Disadvantages

Can cause resentment towards the employee who got promoted and a breakdown of relationships.

There is a limited pool of candidates so the best person for the job may not be selected

The organisation misses out on the opportunity to bring in new skills and ideas.

Creates a vacancy in the old job

External Recruitment

Recruiting people outside of the organisation

Advantages

Fresh new skills and ideas are brought into the organisation.

There is a wide pool to choose from, so the best person for the job will be selected.

Avoids creating a further vacancy like internal

Avoids resentment and a breakdown of relationships, jealousy

Disadvantages

A wide pool of candidates means that it takes a long time to select the right candidates

Employees are demotivated as there is no chance of promotion

The employee does not know the organisation so they need to carry out induction training.

The organisation do not know the employee so they may not do a good job or not be trusted, risk

Interviews

Allow an employees answers to be compared against a set criteria. Are with a manager (one-to-one), one manager after another (successive) or a panel.

Advantages

Get to see how an employee performs under pressure

Give an indication of an applicants personality and character

Disadvantages

Highly stressful, so a well rounded candidate who may be suitable for the job may not be selected.

People can prepare for interviews, questions which the organisation want to hear and they may not be the best person for the job.

Higher Business