IMPACT OF RECRUITMENT & SELECTION ON AN ORGANISATION

 


As defined by Stone (2005) human resource management is to use people productively in achieving the organization’s strategic business objectives. Based on the above definition Gamage (2014) indicates that organisations’ objectives are reliant on their work force efficiency & effectiveness.

“An Organisation’s success largely depends on the quality of human capital that supports the company” (Gamage, 2014). He further states that, most of the companies take necessary action to secure and train their employees. If a business to survive, a proper management of the company’s human resources should take place. As per Klepić, Mabić & Madžar (2020), Human resources signify the most important resource of an enterprise and creates a competitive advantage against their rivals. The human potentials in a company can’t be copied by a competitor says Flanagan & Despanade, in this 1996.

The value of the human resource held by the firm largely depends on the effectiveness & efficiency of the recruitment & selection process. Recruiting a wrong candidate who doesn’t fit to the company’s culture or recruiting someone without the required capabilities will be a huge negative cost to the company. Attracting and training high quality personnel are therefore key factors for the growth of companies (Gamage,2014)

 

In order for a company to perform better in any industry, it should perform well operationally as well as financially. Efficiency & effectiveness is an indication of the company’s operational performance. Gamage (2014) states that productivity, product quality, Innovation, and Customer Satisfaction are key indicators of operational performance of an organization. For a company to be innovative, creativity of the employees makes a huge impact. Creativity is to look into a situation or problem from a new angle & come up with a new solution or plan. Klepić, Mabić & Madžar (2020) states that, creativity and knowledge are the main challenges of modern business. Hence, companies should be looking for people with more brain power & creativity rather than hiring workers at a cheap cost.

Having the correct set of employees in the organization will enhance the quality of the products & services provided by the company. Recruitment of skill full employees that fit to the organization culture will enable the company & its management to enhance their production or service performance. Especially when the new recruits being skilled & with experienced will enable them to adapt to the company processes & culture quickly. This will eventually increase production. Being experienced personnel will make sure minimum defects compared to a person who is totally new to the business. Hanafi & Ibrahim (2016) states that the employee competencies are always reflected trough the quality of the service or product.

High quality products or services being available to the customers will increase customer satisfaction & will attract new customers to the company. High customer satisfaction will make the existing customers come bank for the same products & services. This will lead to high performance in the company’s profitability & buildup the company brand image.

Kodak is a good example for an oragnisation which went bankrupt due to poor management skills. Hussain et.al (2014) in his case study states that, with the passing away of Kodak’s founder Mr. George Eastman, the management of the Kodak didn’t have the capability of strategic planning. Kodak’s BOD neglecting the digital revolution & not practicing innovation resulted in inability to compete with their rivals resulted in a drop of profits as well as market share. It is clearly seen that unskilled labor / wrong recruitment decisions has resulted the bankruptcy in Kodak.

 

Reference list

·         Gamage, AS  & Takayuki, S  2013, ‘The Role of HRM in Developing SMEs in Sri Lanka: A research agenda for    action’ , Viewed 13 November 2022, https://www.academia.edu/69234381/The_Role_of_HRM_in_Developing_SMEs_in_Sri_Lanka_A_research_agenda_for_action

 

·         Hussain,N , Tariq,MA, Hussain,MS , Khan,RMR 2014, ‘Kodak Stunning Journey of Fortune to Misfortune(A Case Study - Financial Analysis)’,  Research Journal of Finance and Accounting , Vol.5, No.17,PP. 127-140

 

·         Klepić, I , Mabić,m & Madžar,D  2020, ‘Recruitment and selection of human resources and organizational creativity in small and medium-sized enterprises, BH economic forum, University of Zenica faculty of economics,PP.11-33, , Viewed 13 November 2022, https://scindeks-clanci.ceon.rs/data/pdf/1986-681X/2020/1986-681X2001011K.pdf

 

·         Stanwick, PA, Stanwick,SD  2020,’ The Rise and Fall of Eastman Kodak: Looking Through Kodachrome Colored Glasses’, American Journal of Humanities and Social Sciences Research (AJHSSR), Vol. 4, Issue.12, pp.219-224.

 

·         Stone, RJ 2005,’Human Resource Management’, 5th ed., Australia, John Wiley & Sons.

 

·         Vejsiu,I 2019, ‘The role of recruitment in the financial performance of the banking system’, International Journal of Economics, Commerce and Management, United Kingdom, Vol. 7,  Issue 10, PP.198-222. Viewed 15 November 2022, https://ijecm.co.uk/wp-content/uploads/2019/10/71014.pdf

 

Hanafi,HM , Ibrahim, SB 2018, ‘Impact of Employee Skills on Service Performance’, International Journal of Science and Research (IJSR), Vol. 7,  Issue 12, PP.587-598, Viewed 17 November 2022, https://www.researchgate.net/publication/330015371




Comments

  1. Agreeing with the shared content Layanjalie. According to the research, both internal and external sources should be used for recruiting and selection. The findings also showed a strong correlation between recruitment and selection methods and organizational success, Also, the outcome of the study further showed that there was no significant link between recruitment and selection practices and the employment of competent staff. The selection of candidates is mostly influenced by political and socioeconomic factors, To ensure that the best and most deserving workers are hired, the study also advised that formal guidelines and procedures on the recruitment and selection processes be properly followed (Nanor et al., 2022).

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    Replies
    1. Agree with you Danshika, Ekwoaba et al (2015) p.22, states that "People are vital to organizations as they offer perspectives, values and attributes to organizational life; and when managed effectively, these human traits can be of considerable benefits to the organization".

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  2. I agree with your content and i would like to add that according to (Kumar & Gupta, 2015) a better job will be done with the right employees, and it will improve the performance of the organization, which is why time is taken screen out undesirables and choose the better candidate.

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  3. Thank you for your comment Joel, Ekwoaba, Ikeije & Ufoma (2015) states that people are vital to organizations as they offer perspectives, values and attributes to organizational life; and when managed effectively, these human traits can be of considerable benefits to the organisation.

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  4. Good post and I agree with the content. Further on one of the most significant aspects when it comes to the success of an organization. The process of selecting the best candidate for a position involves analyzing and interviewing applicants for that post. It is the process of selection that involves hiring qualified individuals with the capability of performing the job effectively (Prabhu, 2020).

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