Technological innovation has had a great effect on businesses, it influences the way organisations are run. It has brought vital changes to all functions of a business, such as new production lines for operations, or intelligent software to calculate financial data. Choosing the right people to operate these highly advanced equipments become a crucial factor of Personnel, regardless of the size or the structure of the organisation.
Not only does new technology emphasise the importance of recruiting the best people for new or existing positions, it also helps finding them. The Internet has changed the way of staffing forever. Parallel with conventional methods, online, or e-recruitment is used more and more increasingly, reducing the length and the cost of recruitment. However, there is still some debate about the use and effectiveness of this sophisticated method of recruitment and selection. The aim of this essay is to assess the value of online recruitment to organisations.
After introducing the main methods of recruitment, particularly the online way, the essay focuses on the key advantages and disadvantages of e-recruitment, and the possible solutions for the problems. Some relevant case study can be found in the Appendices. After contacting a wide range of sources, I found that online recruitment is developing at such high speed, even two-year-old books seem to be out of date. Therefore I used my own work experience, interviewed a specialist, and extracted the most useful points of the issue from recent specialist journals, printed and online magazines and the CIPD’s website.
They are listed in the Bibliography at the end of the essay. Several analysts, including Armstrong (2001) argue that the aim of the recruitment and selection process is to find quality staff to fulfil new or existing positions that occur at a company. Recruiting staff is extremely expensive, therefore it is crucial to get it right the first time. To find the best applicant for a role, a firm has to define a job description, a person specification, and then attract candidates by using the most appropriate sources.
Cheatle (2001) suggest that organisations should be able to determine the best recruitment method by focusing on several key points: the type of job, whether it is managerial, executive, or clerical, the number of people they want to employ, the speed they want to fill the position, and of course, the budget available. The first step for many organisations is to use internal sources, to find someone within the company before considering external resources. This is a very cost efficient and fast way of recruiting.
If this way is not successful, the most commonly used external sources are advertising, outsourcing, educational sources, and the most recent method of attracting candidates, online recruitment. The Internet is a system that connects computers all around the world, no matter how far individuals are from each other. The number of Internet users increases significantly day by day, more and more people get familiar with it, and exploit it in many different ways, such as keeping touch with friends via email, for shopping, online banking, or other private or professional business use.
To attract candidates for recruitment purposes by using this technology is called online, or e-recruitment. According to the specialist journal, the Recruitment Consultant (Issue 31), a 2005 NORAS (National Online Recruitment Audience Survey) survey shows that 64% of those applying for a job found online were invited to an interview, and 51% of the interviewed people got the job. There are several ways how companies and jobseekers can use the Internet. From the jobseekers’ point of view, many of them post their CV on the web, and wait for responses.
From an organisation’s point of view, there are several directions they can use regarding recruitment. Not only can they advertise vacancies online, but also can manage the applications, and select candidates via the Internet. These steps can be done through the companies own website, or using specialised jobsites, such as totaljobs. com, or monster. co. uk. Leading recruitment companies, such as Reed or Blue Arrow, offer online services as well as traditional for both employers and candidates.
Armstrong (2001) suggest that Media Sites like Times 100 can draw the attention of job seekers by containing a copy of the traditional newspaper advertisement, or providing a link to the companies website. Choosing one of these methods of recruitment can be highly beneficial for organisations. Many recruitment specialists and the Chartered Institute of Personnel and Development (CIPD) agrees that the main advantages of online recruitment are that it is quicker, and reaches a wider range of jobseekers than traditional advertising.
It is also cheaper, as companies can minimise printing and postage costs. It has global coverage 24 hours a day, and gives organisations an up-to-date image (Hogg 2000). Many businesses already have a more or less sophisticated website, where they can introduce the company, give detailed information about their services, their views, get messages across the world, or advertise vacancies. The more experience they gain, the more efficient website they can create.
The keywords are being quick, and up-to-date, meaning that using websites require regular maintenance, otherwise they could lose their validity. Having an Internet connection at home is not a luxury anymore, however, it is still more expensive in the UK than in the USA. The near future is promising, the number of broadband providers is continually growing; that should bring down the cost. Jobseekers do not have to hide at work searching advertisements, or making phone calls about job opportunities between 9 to 5.
They can just go home or to the local library, Internet cafes and search the net. One gives the opportunity to people to send their CVs, even when the firm is not advertising, others generate websites with a professional application form, linked to a database. Depending on the selection method, candidates might be able to apply online, or print out the form and post it. The bigger the organisation is the more they can value online recruitment. Citigroup recognised this value, and in 2003 they decided to design a carrier site.
In the US Citi Card, Citigroup’s credit card division, employed more than 25. 000 people. (FT 2003) They believed, and still believe that recruitment is a two way process; applicants have to find the right job information, and the company have to find the right candidates. Citigroup designed a very simple, easy to follow jobsite, combined with high technology in the back-office, which rewarded the company with cheap, quick and effective recruitment and selection. A more detailed summary of the case study can be found in Appendix 1.