Mullins L.J. Management and organisational behaviour, Seventh edition

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A lot of us, when evaluating job candidates, tend

to be so impressed by braininess, by what’s

inside a person’s head, that we seriously

undervalue the passion that person brings to an

enterprise.

Mark McCormack

McCormack on Managing, Century (1955)

The first part of choosing great people is to

analyse your own strengths and weaknesses.

That gives you an idea of where your needs are

greatest. The goal is to balance your weaknesses

with the strengths of others, then to evaluate the

team overall.

Rudolph Giuliani

Leadership, Time Warner (2002)

Whatever the nature of an organisation, the

effectiveness of its operations and functions

inevitably depends very largely upon the staff it

employs. All managers are concerned with the

success of the human resources function in

their own department and with the

management of their staff. Managers should

recognise the importance of a planned and

systematic approach to resourcing the

organisation, and to the recruitment, selection

and induction of staff.

LEARNING OUTCOMES

After completing this chapter you should be able to:

 explain the value of, and main stages in, human

resource planning;

 detail the main stages in a planned and systematic

approach to recruitment and selection;

 examine the process of job analysis, and the prepara-

tion of job descriptions and person specifications;

 explain the importance of the selection process and

outline different methods of staff selection;

 assess the value of the selection interview and the

nature of interviewing style;

 suggest how the effectiveness of the recruitment and

selection process might be evaluated;

 review the importance to all managers of effective

resourcing of the organisation.

RESOURCING THE

ORGANISATION

Photo: Chris Windsor/Getty Images

Most managers are likely to be faced with the frequent need to recruit and select staff.

Effective resourcing of the organisation is a central part of human resource management

(HRM) and the personnel function. Whatever the organisation of the HRM function, it is

only right and sensible that managers and supervisors have at least some say in the

appointment of their own staff or those staff whose work they have to supervise. Unit

managers/supervisors would be expected to consult with the HR department and to seek

specialist knowledge and advice. The recruitment and selection of staff can rightly be

regarded as a specialist activity, but all managers and supervisors should be well

acquainted with the basic procedures and skills involved. In smaller organisations it is

likely that unit managers will have a greater responsibility for staffing the organisation.

The message for all managers is to:

■ recognise the importance of recruitment and selection;

■ assess the effectiveness of present policies and procedures; and

■ improve methods, skills and techniques of selection.

The manner in which staff are appointed is a major factor in determining the quality

of product produced and/or service offered, and the behaviour and performance of the

workforce, and in meeting satisfactorily the objectives of the organisation. As a major

study undertaken for the CIPD confirms: ‘employees’ skills are best acquired by effec-

tive recruitment and selection’.

Top management have overall control for personnel policies and final responsibility for

their success. The style and effectiveness of recruitment and selection are influenced by

the underlying philosophy of top management and the attitude which is brought to

bear upon the development and maintenance of a good working climate in the partic-

ular organisation.

Procedures for recruitment and selection must themselves be put into an organisa-

tional context. The prerequisites of an effective recruitment and selection policy

include:

■ the clarification of corporate objectives;

■ design of an effective structure – the allocation of work and network of jobs – in

order to achieve these objectives; and

■ a system of human resource planning – providing the link between objectives and

organisation structure, and a framework within which personnel policies, including

a systematic approach to recruitment and selection, are planned and operated.

For example, according to Riches:

If your organisation is to become the employer of choice the answer does not lie in strong recruit-

ment practices and appropriate reward strategies alone – though these are vital. The real

response is holistic or systemic. Getting every part of your organisation in sync with this goal ...

At the organisational level, it includes looking at all our HR, HRD and OD systems and strategies

to make sure they are working together to create an environment in which our best people not

only survive, but thrive. We also need to ensure that these strategies are tightly aligned and

linked to the overall corporate plan and strategic priorities.

In recent years increasingly more attention has been given to the importance of plan-

ning human resources as well as other economic resources such as capital, materials,

machinery and equipment. At both the national and the organisational level it is

essential that human resources are utilised as effectively as possible. At the national

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PART 7 MANAGEMENT OF HUMAN RESOURCES

THE CONCERN OF ALL MANAGERS

Organisational

context

HUMAN RESOURCE PLANNING

level, the basic aim is to review performance in different industries in line with antici-

pated future economic growth. Government action is geared towards overcoming

problems of overstaffing/understaffing and the movement (redeployment) of workers

accordingly, and support into areas of skills gaps, for example IT training. But our con-

cern here is with human resource planning at the organisational level.

Human resource planning (HR planning) is a strategy for the acquisition, utilisation,

improvement and retention of an enterprise’s human resources. Whatever the nature

of the organisation, HR planning should not be regarded in isolation but as an integral

part of the broader process of corporate planning. HR planning is linked to the devel-

opment of the organisation as a whole, and should be related to corporate objectives

and to an organisation structure capable of achieving those objectives. It should also

be related to the nature of the organisational culture and climate. Rabey refers to the

changing nature of the employment market and the importance of workforce plan-

ning. Uncertainty is a constant, and stability is giving way to the need to adapt quickly

and flexibly to meet changing situations. The problem of meeting both the demand

from employers for sustained performance and concerns from job seekers for future

employability is complex and organisations are only now feeling their way towards

flexible and adaptable solutions. Managers must maintain both their short- and longer-

term planning in the belief they will continue successfully operating in the face of this

continuous change.

The organisation will need to clarify the extent and scope of the HR plan; the target

date, that is the length of the forecasting period; the types of occupations and skills for

which forecasts are to be made; and the amount of information and detail required.

Whatever the scope and nature of the HR plan, it is possible to identify at least four

main stages (see Figure 20.1):

■ An analysis of existing staffing resources. This requires an effective system of per-

sonnel records and a staffing inventory including, for example, details of gender and

age. In larger organisations a computerised HR database will be required.

■ An estimation of likely changes in resources by the target date. This includes

consideration of changes and losses to the organisation; incremental improvements

in staff performance and current programmes of staff development; and external

environmental factors such as the likely availability of labour, areas of potential new

developments or markets, and changes in legislation. This determines the supply

forecast.

■ A forecast of staffing requirements necessary to achieve corporate objectives by

the target date. This determines the demand forecast.

■ A series of measures to ensure that the required staffing resources are available

as and when required. This reconciliation of supply and demand is the basis of the

HR plan and the personnel management action programme.

However, Holloway suggests that companies often fall into the trap of failing to check

on their own staff. ‘Look inside almost every annual report and you’ll find the phrase,

“People are our greatest asset,” or something like it. Yet few executives have any idea

what skills their own team possesses. Never mind how well they manage, sell or type.

What raw talents do they have that can be tapped more productively and profitably?’

The HR planning process should also take account of broader environmental factors,

such as: changes in population trends (for example, ageing workforce, less young

people entering straight from school); patterns of employment, for example, more flex-

ible structures of work organisation; level of competition from other organisations for

labour; changes in the educational system; government initiatives on employment,

training or enterprise programmes, and employment legislation; developments in

information technology and automation.

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Main stages in

HR planning

The concepts of HR planning are basically straightforward and so are most of the

methods involved. However, a number of more sophisticated statistical and quantita-

tive techniques have been developed. Computer programs are also available for more

complex models of manpower planning. These techniques can be helpful but should

be applied only as appropriate to the amount of detail and accuracy required. What is

most important is recognition of the need for effective HR planning to suit the require-

ments of the particular organisation.

HR planning involves considerable uncertainty; it is not a science, and mistakes are

bound to occur. However, it can assist organisations to foresee changes and identify

trends in staffing resources, and to adopt personnel policies which help to avoid major

problems. A human resource plan provides the trigger for a personnel management

action programme aimed at reconciling differences between supply and demand. It

provides a framework in which action can be taken to help overcome staffing difficul-

ties facing the organisation. HR planning is a continuous process which seeks to ensure

flexible resourcing related to internal and external environmental influences.

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PART 7 MANAGEMENT OF HUMAN RESOURCES

Corporate

objectives

Analysis of

existing resources

Estimation of

changes by

target date

Supply

forecast

Design of

organisation

structure

plan

Demand

forecast

Personnel management action programme

Ta r get date

Recruitment

and selection

Training

Management

development

Transfers and

redeployment

Anticipated

redundancies

Reconciliation of supply and demand

Figure 20.1 Main stages in human resource planning

THE VALUE OF HUMAN RESOURCE PLANNING

Effective HR planning can help anticipate potential future difficulties while there is

still a choice of action. Forward planning should enable the organisation to develop

effective strategies related to such activities as: recruitment, selection and induction;

training and retraining; management development and career progression; transfers

and redeployment; early retirements; wage/salary levels; anticipated redundancies; and

accommodation requirements. It can help provide a framework for the effective man-

agement of people.

Coupled with good communications, and meaningful consultation and participa-

tion with staff involved, including where appropriate union and/or staff association

representatives, effective HR planning should help alleviate potentially harmful effects

to individual members of staff or to the performance of the organisation. Although

raising some doubts about the current relevance of HR planning, Beardwell, Holden and

Claydon suggest that it can be perceived to have a number of distinct advantages. It can

help to reduce uncertainty as long as plans are adaptable. ‘Other advantages relate to

the contribution of planning to organisational performance. For example, the plan-

ning process can make a significant contribution to the integration of HR policies and

practices with each other and with the business strategy, i.e. horizontal and vertical

integration.’

According to ACAS, management is responsible for producing the human resource

plan, senior manager for supporting it. Implementation is likely to be most effective if

it carries the support of the workforce, normally achieved through consultation with

trade union or other employee representatives. However, a human resource plan need

not be highly complicated. A straightforward plan will help organisations to:

■ assess future recruitment needs;

■ formulate training programmes;

■ develop promotion and career development policies;

■ anticipate and, where possible, avoid redundancies;

■ develop a flexible workforce to meet changing requirements;

■ control staff costs while ensuring salaries remain competitive;

■ assess future requirements for capital equipment, technology and premises.

However, Torrington et al. maintain that ‘while there may be some strong arguments

identifying the potential value of HR planning, concerns have always been raised

about its feasibility. These focus on the nature of the human resource, the nature of the

planning in an uncertain environment and the difficulty of implementing plans.’

A survey of a range of 92 business organisations in the United Kingdom looked in

detail at the steps taken to overcome human resource problems. There was a correla-

tion with number of employees. Less than half the organisations with under 4000 staff

use HR planning, compared with 85 per cent of those above that size. For most organi-

sations the planning process looked between two and five years ahead. The five most

important planning issues were identified as succession planning, recruitment prob-

lems, expected skills shortages, changing skills requirements, and retention difficulties.

The report concluded that much greater priority needed to be given to human resource

planning and management, since people will become central to the organisation’s cor-

porate plans. Organisations will need to restructure to make best use of available skills,

and to develop human resources policies aimed at maintaining competitiveness in the

labour market and to meet evolving employee aspirations. This will provide major

challenges in terms of recruitment, selection, remuneration, training and develop-

ment, and employee relations.

Human resource planning clearly plays a large part in any organisation. However,

with the Internet, employees do not have to wait for HR managers to speak with them,

they can just log into the company HR website and, through internal communications,

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799

Overcoming

HR problems

find out just about anything from the employee handbook to company policies. The

intranet reduces internal costs enormously. Thus, intranet communication lets organi-

sations do the most with the least head count.

There are three important and fundamental considerations which should underlie the

recruitment and selection of staff.

1 Recruitment and selection should not be considered in isolation, that is simply find-

ing someone to do a particular job, but in the context of the overall HR plan and

personnel management action programme. For example, it will be necessary to

investigate the potential of the persons appointed for training, development and

future promotion; and their flexibility and adaptability to possible new methods,

procedures or working conditions.

2 It is necessary to consider not just technical competence and the ability to perform

certain tasks but also, and equally important, sociability. It is necessary to consider

how new members of staff will fit into the cultural and social structure of the organ-

isation. There is nothing to be gained by appointing someone who although

competent and technically efficient is unlikely to work in harmonious relations with

other staff, customers or suppliers; or who is likely to upset the cohesiveness of work

groups. Indeed, if such is the case, there is plenty that the organisation can lose in

terms of its overall performance and effectiveness. Sociability may be of particular

significance in certain jobs or in certain types of organisations, but it is an impor-

tant consideration in any work organisation. This is another reason for close

involvement of the immediate head of department, and where appropriate the sec-

tion leader/supervisor, in the recruitment and selection procedure.

3 It is necessary to comply fully with all legal requirements relating to employment

and equal opportunities, to follow recommended codes of practice and to ensure

justice and fair treatment to all applicants/candidates. Recent extensions to employ-

ment rights including reduction in the qualifying period for unfair dismissal claims

and the raising of maximum compensation payments (no maximum payment in

cases of discrimination) have further highlighted the need to employ the right

people and to create an employment relationship based on ‘best practice’.

Importance of effective recruitment and selection

The importance of effective recruitment and selection is (hopefully) obvious but is

emphasised by, for example, ACAS.

Recruiting people who are wrong for the organisation can lead to increased labour turnover,

increased costs for the organisation, and lowering of morale in the existing workforce. Such

people are likely to be discontented, unlikely to give of their best, and end up leaving voluntarily

or involuntarily when their unsuitability becomes evident. Theywill not offer the flexibility and

commitment that many organisations seek. Managers and supervisors will have to spend extra

time on further recruitment exercises, when what is needed in the first place is a systematic

process to assess the role to be filled, and the type of skills and abilities needed to fill it.

One of the many adverse consequences of poor recruitment and selection is the possi-

bility of a high level of staff turnover. Not only does this lead to increased direct costs

including advertising, interview time and administrative expenses, and supervision

and training; it also has a disruptive effect on the use of managerial time. Other costs

include lost production, increased overtime and possibly added wastage. In addition, a

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PART 7 MANAGEMENT OF HUMAN RESOURCES

RECRUITMENT AND SELECTION OF STAFF

Staff turnover

very important intangible cost is the effect of high staff turnover on the morale, moti-

vation and job satisfaction of staff, and on the level of organisational performance and

customer satisfaction.

So what can be done to select the best available staff in the first place and to retain

them for a reasonable length of time? The need is for a planned and systematic

approach.

When selecting staff, managers should ask themselves two basic questions.

1 If you do not know what you are looking for, how will you recognise a suitable

person when you see one?

2 If you do not know what you want your staff to do, how can you judge their ability

to do a good job, effectively train or develop them, or assess their performance?

The need is for a planned and systematic approach to recruitment and selection. (See

Figure 20.2.) Such an approach involves at least five main stages.

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801

A planned and

systematic

approach

Figure 20.2 A systematic approach to recruitment and selection

■ The need to know about the job to be filled. Is the job really necessary or can it be

covered adequately by reorganising or reallocating other jobs? If the job is necessary

what does it entail? What are the duties and responsibilities attached to the job?

■ The need to know about the type of person to do the job. What qualities and

attributes are required for a person to perform the job effectively?

■ The need to know the likely means of best attracting a range of suitable appli-

cations. Is it necessary to recruit outside the organisation? If so where are suitable

applicants most likely to be found? Which are the best sources of labour and meth-

ods of recruitment?

■ The need to know how best to assess the candidates’ likely suitability for the

job. How best to collect information about the candidates. How to plan the selec-

tion process. What are the most appropriate methods of selection?

■ The need for induction and follow-up. How best to undertake the socialisation

process. How to introduce new members of staff to the policies, procedures and

working practices of the organisation.

However, as Senter, for example, reminds us, recruitment is hardly an exact science. It

grapples with the irrational and intangible, and hiring the right person for the job is

no easy task and mistakes will occur. But it is the careful preparation and harnessing of

the tools available to aid the recruitment process that is important and will help to

minimise the risk.

Central to a planned and systematic approach is job analysis. The use of terms varies

but it is generally agreed that job analysis is the total process by which you derive, first,

a job description, leading to, second, a person specification. Sometimes the term ‘job eval-

uation’ is preferred as this covers attaching the monetary/benefits package to the job.

A job description tells you about the total requirements of the job: exactly what it

is; its purpose; what it entails; the duties, activities and responsibilities attached to it;

and its position within the formal structure of the organisation. It may also include a

note about any particular features of the working environment. The scope of the job

description, and the amount of detail it gives, may vary among different jobs and dif-

ferent organisations. An example of a possible list of contents is given in Figure 20.3.

Sometimes a rider is added to the job description, often along the lines of ‘Such

additional and/or alternative duties as may be assigned by your head of department’.

One can probably understand the reasoning behind such a statement and if the

description is drawn up in terms of the general scope and level of the job, it might per-

haps be considered appropriate. However, where the description provides precise and

detailed information about the job then one might well question the purpose and

value of such a statement.

Although the job description can be a valuable aid for recruitment and selection it

should not be drawn up in such a rigid, bureaucratic manner as to imply a lack of flexi-

bility, imagination or initiative on the part of the job-holder.

Townsend refers to job descriptions as straitjackets, and makes the following observa-

tion:

Great for jobs where the turnover is high and the work is largely repetitive … (Insane for the more

highly paid jobs.) Judgement jobs are constantly changing in nature and the good people should

be allowed to use their jobs and see how good they are. At best, job description freezes the job

as the writer understood it at a particular instant in the past. At worst, they’re prepared by per-

sonnel people who can’t write and don’t understand the jobs. Then they’re not only expensive to

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PART 7 MANAGEMENT OF HUMAN RESOURCES

JOB ANALYSIS

Drawing up a

job description

prepare and regularly revise, but they’re important morale-sappers … To be satisfying, a job

should have variety, autonomy, wholeness and feedback. In other words, no job description.

The role and value of job descriptions are also questioned by Belbin. He suggests that

job descriptions can be a hindrance to progress and lead to either a lack of co-opera-

tion (that’s not my job) or to a claim for increased pay on the grounds of additional

responsibility. They can also present a problem in terms of the movement against

departmentalism and towards the increased demand for teamwork.

While [job descriptions] imply a definite work territory, the boundaries of that territory are not

sufficiently clear-cut to avert disputes on the interpretation of duties between neighbouring

workers. Since the Job Description is tailored for the individual, it cannot readily serve the func-

tion of dealing with the duties and activities of the dynamic group.

Peters suggests that while a case could perhaps be made for job descriptions in a stable,

predictable and vertically oriented organisation, it is imperative today that managers

and non-managers continually cross boundaries as a matter of course and standing on

the formality of a written job description is a guaranteed strategy for disaster.

Such criticisms clearly have some validity but should not detract from the potential

value of the process of job analysis as an aid to the recruitment and selection process.

There are many ways in which a job description can be prepared. For example, as sug-

gested in Figure 20.3, depending on the nature of the job it may be appropriate to set

out only the general scope and level of duties and responsibilities, perhaps in terms of

key result areas. As another example instead of jobs being described traditionally in

terms of the duties, tasks or activities to be undertaken, job descriptions can be written

in terms of results. This should help to make people feel important and to let them

know why they do what they do, why their work is important to the organisation and

what it is intended to accomplish.

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803

Figure 20.3 Possible list of contents for job description

Job title (whether a new position or replacement appointment)

Department/section and location

Wage/salary range

Function of the department and main purpose of the job

Duties and responsibilities – including ad hoc or occasional requirements. It may be appropriate

here to give precise and detailed information. Or it may only be necessary to set out the general

scope and level of the job, perhaps in terms of key result areas. Details may be quantified wherever

possible. Duties and responsibilities can also be broken down into approximate percentage of time

likely (or expected) to be devoted to each main activity over the average of, say, a week or month.

Specific limitations on authority – for example, in terms of financial expenditure or decision-

making without prior approval of superior.

Responsible to – i.e., the job title of immediate superior.

Responsible for – i.e., the number and job titles of direct subordinates. (Sometimes an organisa-

tion chart, or relevant extract, is included.)

Specific functional contacts – including main lateral communications and working relationships

with staff in other departments/sections and contacts with external bodies.

Signature of head of department/section

Date job description prepared

Reference to indicate author of job description

The person specification is an extension of the job description. It not only tells you about

the job but also provides a blueprint of the ‘ideal’ person to do that job. The person

specification details the personal attributes and qualities associated with successful per-

formance of the job; for example, experience, technical skills, physical characteristics,

health and appearance, motivation, intellectual ability, formal qualifications, personality

and temperament, and any special requirements, such as the need for mobility. In draw-

ing up the specification, particular regard must be given to all legal requirements.

An important and fundamental feature of effective HR policies and management is

that of ensuring equal opportunities in employment. The Equal Opportunities

Commission is an independent statutory equality body charged with enforcing, pro-

moting and developing equality of opportunity between men and women. Its primary

responsibilities include: to work towards the elimination of discrimination; to review

the working of equality legislation; and to act as an advisory and information service

for the public. The Employment Department point out the need to make the most of

the talents of all people and why equality of opportunity is good for business and a

natural and integral part of good management practice. Successful employers tune

their personnel policies and practices to make the most of their present employees, and

by recruiting the best available people to meet staff turnover and increased demands

for labour in the future. The department has developed a Ten Point Plan to give practi-

cal advice to employers on how to offer equality of opportunity to people from ethnic

minorities, women and people with disabilities. The principles also hold good for other

groups such as older workers, or ex-offenders.

However, by signing to the EU Directive on Equal Treatment in October 2000, the

government committed itself to introduce legislation on age within six years. From

October 2006 age limits for jobs will be unlawful and employees will be able to bring

tribunal age-bias claims with the prospect of unlimited compensation. It is also pos-

sible that terms such as ‘energetic’ or ‘dynamic’ may be subject to challenge by older

workers unsuccessful in a job application. Employers need to think about the impact of

future legislation on their working practices and business opportunities that an age-

diverse workforce can bring.

You are, of course, unlikely to find the perfect or absolutely ideal candidate. The person

specification should therefore be written in a practical way and not unduly restrict the

possible need for flexibility. The process of job analysis should provide you with a real-

istic set of objectives for the requirements of the job and the person to do it. It may be

helpful to consider persons you have known to perform the job successfully and to

analyse their attributes and qualities. ‘Exit’ interviews with staff can often yield useful

information on the actual nature and requirements of the job.

Consider the type of people you need to make your organisation challenging and innovative, not

just the jobs you need to fill.

The job description and person specification are even more meaningful if they include

the ‘difficulties’ and ‘distastes’ of the job.

Difficulties and distastes may often go

together but this is not necessarily the case.

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PART 7 MANAGEMENT OF HUMAN RESOURCES

PERSON SPECIFICATIONS

Attention

to equal

opportunities

Preparation of

a person

specification

DIFFICULTIES AND DISTASTES OF THE JOB