Latest Trends in Recruitment and Selection Andre OCallaghan

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Latest Trends in Recruitment and Selection Andre O’Callaghan July 2011

Latest Trends in Recruitment and Selection Andre O’Callaghan July 2011

Trends in SA Between 2004 -2009: l Less than 10% of school leavers wrote

Trends in SA Between 2004 -2009: l Less than 10% of school leavers wrote HG maths - of these only 50 -60% passed l 7% of all schools provide 90% of all engineering graduates l 1/3 of all school leavers pursuing technical / natural sciences are PDI’s (well into 21 st century majority of accountants, engineers and scientists will not be African)

Trends in SA Unemployment – 1997 to 2009

Trends in SA Unemployment – 1997 to 2009

Trends in SA Employment by sector – 1998 & 2008

Trends in SA Employment by sector – 1998 & 2008

Introduction Recruiting gets a whole lot easier when you have a reputation for being

Introduction Recruiting gets a whole lot easier when you have a reputation for being a great place to work. Joanna Meiseles Recruitment – the elusive art of securing the perfect ‘fit’ between company and individuals. Is it possible? l

Introduction

Introduction

Does this sound familiar? l Why should we appoint you? l What are your

Does this sound familiar? l Why should we appoint you? l What are your key strengths and weaknesses? l What do you have what we need?

Inherent factors to recruitment l Attraction Ability l Brand image management l Talent retention

Inherent factors to recruitment l Attraction Ability l Brand image management l Talent retention l Value-add l Cost

Trends to watch in 2011 Older workforce Alternatives to Facebook

Trends to watch in 2011 Older workforce Alternatives to Facebook

Trends in recruitment l E-recruitment l Social Networking l Temporary staff l Recruitment Outsourcing

Trends in recruitment l E-recruitment l Social Networking l Temporary staff l Recruitment Outsourcing (RPO) l SA Labour Market l Risk Management

Trends in E-recruitment l l Findings of a SA survey with 144 students (average

Trends in E-recruitment l l Findings of a SA survey with 144 students (average of 18 years), and 60% female and 40% male: l Digital platforms are the choice for communication (Facebook and BBM) l Email continues to lose its effectiveness as a communication vehicle with this generation. l Google is losing search market share to Facebook (50% of Gen Y chooses to use Facebook as a search engine over Google)

Trends in E-recruitment l MXit is used less than one hour a day l

Trends in E-recruitment l MXit is used less than one hour a day l Facebook gets used up to five hours per day l The Gen Y prefer P The internet over magazines P Their cell phone over the internet and P Tertiary education over their cell phone.

Trends in E-recruitment l 87% uses a HRIS l 51% use technology in recruitment

Trends in E-recruitment l 87% uses a HRIS l 51% use technology in recruitment l 75% use e-recruitment l 94% of the global 500 use corporate websites and online applications

E-recruitment in SA l Social Networks – Urban African Youth (1992 & 2000)

E-recruitment in SA l Social Networks – Urban African Youth (1992 & 2000)

E-recruitment in SA l Social Networks – Urban African Youth (1992 & 2000) l

E-recruitment in SA l Social Networks – Urban African Youth (1992 & 2000) l Implications q SA African Youth – increasingly disassociated from social organisations q According to Stats SA (2005) only 10% of the age group 15 -30 use networks to find a job

E-recruitment in SA l The Internet is growing - 7 in 10 job seekers

E-recruitment in SA l The Internet is growing - 7 in 10 job seekers use it to search for jobs (Career Junction leads this space, followed by Careers 24) l Social media platforms were measured for the first time this year and results indicated that 17% of respondents have used it to look for a job l 80% of job applicants say they don’t mind applying for jobs online, while two thirds prefer responding to job ads by means of email – a significant increase from 50% in 2009

E-recruitment in SA l Nearly three quarters of respondents (3100) have loaded their CV’s

E-recruitment in SA l Nearly three quarters of respondents (3100) have loaded their CV’s onto a database with the hope of being contacted for an interview, of which more than half have been approached by prospective employers. l 1. 6 million job seekers on Career Junction (Feb 2011) l Recruitment pages in newspapers are still the most popular resource (82%) - The Sunday Times Careers supplement continuing to dominate (The Skills Portal, June 2011)

Online job seekers and on-line advertisers - SA Career Junction – 27 Feb 2011

Online job seekers and on-line advertisers - SA Career Junction – 27 Feb 2011

E-recruitment drivers l Reducing costs l Automated processes – thus increase hiring speed (turnaround

E-recruitment drivers l Reducing costs l Automated processes – thus increase hiring speed (turnaround time) l Widen the selection pool – Greater geographical reach l Brand-building (enhanced corporate image)

E-recruitment drivers l Standardisation – comparison of CV’s l Streamline administration l Speaks to

E-recruitment drivers l Standardisation – comparison of CV’s l Streamline administration l Speaks to younger generations l Better co-ordination

E-recruitment advantages l Access to vacancies 24/7 l Reaches a global audience l Cost

E-recruitment advantages l Access to vacancies 24/7 l Reaches a global audience l Cost effective way to build a talent bank l Can handle high volumes l Provide more tailored information to the post and organisation l Ease of use for candidates l Applications are instantaneous.

E-recruitment disadvantages l Limit the applicant audience l Cause applications overload or inappropriate applications

E-recruitment disadvantages l Limit the applicant audience l Cause applications overload or inappropriate applications l Limit the attraction of certain groups l Can be seen as discriminatory l Is impersonal l Can ‘Turn-off’ candidates l Limited information and not user-friendly

Recruitment for the different generations Traditionalists (1922 -1945) Baby Boomers (1946 -1964) Gen X

Recruitment for the different generations Traditionalists (1922 -1945) Baby Boomers (1946 -1964) Gen X (1965 -1980) Gen Y (1980+) Attitudes &Values Loyalty, Dedication, Sacrifice, Honour, Compliance & hard work Personal Growth, Youthfulness, Equality, Ambition, Collaboration Independence, Pragmatism, Results, Flexibility & Adaptability Confidence, Optimism, Social Awareness, Innovation, Diversity, Technology Goals To build a legacy To put their stamp on things To be independent in all areas To find work & create a meaningful life Generation

Recruitment for the different generations Generation Recruitment Expectations Traditionalists (1922 -1945) Baby Boomers (1946

Recruitment for the different generations Generation Recruitment Expectations Traditionalists (1922 -1945) Baby Boomers (1946 -1964) Gen X (1965 -1980) Gen Y (1980+) Recruitment to be formal and traditional. Employer-driven negotiations In-person, relationship building recruitment On-site tours, meetings with potential colleagues Review of the company’s reputation Company to have a reputation/ stability Balanced negotiations Company to have strong leaders and a growth strategy Valued employee Open, employee -driven negotiations Company to be Company to socially have career responsible, opportunities, diverse and learning and creative development options

Social networking – X & Y generation l Facebook l 500 million users (1

Social networking – X & Y generation l Facebook l 500 million users (1 in every 13 people on the planet) l 250 million people interact with Facebook from outside the official website on a monthly basis, across 2 million websites l 200 million users connect via their cell phones to Facebook l The 35+ demographic is growing rapidly, now with over 30% of the entire Facebook user base. l The core 18 -24 year old segment is now growing the fastest at 74% year on year

Social networking – X & Y generation l Linked. In l 102 million registered

Social networking – X & Y generation l Linked. In l 102 million registered members l 68% are over 35 l Over 150 industries represented

Resource process outsourcing l RPO – or Recruitment Process Outsourcing: l The outsourcing of

Resource process outsourcing l RPO – or Recruitment Process Outsourcing: l The outsourcing of part, or all of its recruitment activities to a service provider

Resource process outsourcing l Benefits l RPO reduces recruitment costs - companies can save

Resource process outsourcing l Benefits l RPO reduces recruitment costs - companies can save on agency fees, advertising fees, employee referral fees, travel expenses, etc. l RPO can help the HR team to focus on their core activities. l RPO is both time-saving and effective because the full scope of recruiting tasks is taken care of by an external dedicated agency

South African labour market Risk Management (facts – Feb 2011) l 6 -20% =

South African labour market Risk Management (facts – Feb 2011) l 6 -20% = criminal records l 18% = some financial record l 18% = False Grade 12 qualifications l 26% = False academic qualifications l 16% = unverified driver's licences

Pre-employment screening Other tools l Financial background checks l ID verification l Driver's licence

Pre-employment screening Other tools l Financial background checks l ID verification l Driver's licence verification

Factors impacting recruitment External l Labour market conditions l Government policy and legislation l

Factors impacting recruitment External l Labour market conditions l Government policy and legislation l Trade unions l Scarcity of skills and the brain drain

Factors impacting recruitment Internal l Business/Corporate Strategy l Organisational recruitment policy l Recruitment criteria

Factors impacting recruitment Internal l Business/Corporate Strategy l Organisational recruitment policy l Recruitment criteria l Costs l Sources

3 possible scenarios 1. Labour demand exceeds supply 2. Labour supply exceeds demand 3.

3 possible scenarios 1. Labour demand exceeds supply 2. Labour supply exceeds demand 3. Labour demand equals supply

SA supply & demand (CJI) 2011

SA supply & demand (CJI) 2011

Recruitment versus selection Recruitment l The process of searching for the candidates and stimulate

Recruitment versus selection Recruitment l The process of searching for the candidates and stimulate them to apply l The purpose is to create a talent pool of candidates l Recruitment is a positive process

Recruitment versus selection Selection l This is about screening and to find the most

Recruitment versus selection Selection l This is about screening and to find the most suitable persons for vacant posts l The purpose is to choose the right candidate l Selection is a negative process

Process to identify job scope and competencies Job analysis and role profiling determine the

Process to identify job scope and competencies Job analysis and role profiling determine the following: l Job content l Standards/outputs l Minimum requirements l Competencies required

Changes Internal and external Job Analysis Job Profiling Job Description Job Grading Initiate Recruitment

Changes Internal and external Job Analysis Job Profiling Job Description Job Grading Initiate Recruitment

Job analysis process example Skills Analytical English verbal and written communication Problem-solving Negotiation Behaviours

Job analysis process example Skills Analytical English verbal and written communication Problem-solving Negotiation Behaviours / Attributes Decisiveness Handling stress Persistence Flexibility Knowledge GAAP Labour Law Budgeting process Accounting principles and tax regime

Advertising the job – AIDA principle A= Attention l I = Interest l D=

Advertising the job – AIDA principle A= Attention l I = Interest l D= Desire l A= Action l

The recruitment process MANPOWER PROVISIONING - A “Good Practice” Model Manpower Provisioning Needs Identification

The recruitment process MANPOWER PROVISIONING - A “Good Practice” Model Manpower Provisioning Needs Identification Job Analysis Approvals & Budgeting RECRUITMENT Retention • Annually • Job Analysis • Per position • Requisition • Reviewed Monthly • Job Spec • Approval • Source of supply (Internal/External) • Man Specifications • Job Grading • Advertise • Pre-Selection and Shortlisting • Selection and Decision • Job Offer • Appointment

The recruitment process l Identify vacancy l Prepare job description and person specification l

The recruitment process l Identify vacancy l Prepare job description and person specification l Advertising the vacancy l Managing the response l Short-listing l Arrange interviews l Conducting interview and decision-making

Pre-selection l Telephone screening l Paper screening l Short listing

Pre-selection l Telephone screening l Paper screening l Short listing

Questioning technique KPA Outputs/Objectives Standards/Measures Activities Behaviour-based interviewing Behaviour-based questions Competencies

Questioning technique KPA Outputs/Objectives Standards/Measures Activities Behaviour-based interviewing Behaviour-based questions Competencies

Behaviour-based questions Use the following approach: l Position your question in a specific situation

Behaviour-based questions Use the following approach: l Position your question in a specific situation or task l Ask the applicant what actions he or she took (what was done and how? ) l What results were achieved (effect of action) S R T A

Useful questions l Rapport-building questions l Open-ended questions l Non-Question questions l Use ‘soft’

Useful questions l Rapport-building questions l Open-ended questions l Non-Question questions l Use ‘soft’ words

SMME Recruitment challenges l Absence of a professional HR resource l SMME’s are used

SMME Recruitment challenges l Absence of a professional HR resource l SMME’s are used as a stepping stone l The manager/owner fulfils a more diverse role that their corporate counterparts l Recruitment is often informal, unstructured and reactive l SMME’s need to compete for skills in a competitive environment

Internal vs. external recruitment Advantages internal recruitment l l Motivating for performance Promotion opportunities

Internal vs. external recruitment Advantages internal recruitment l l Motivating for performance Promotion opportunities Assessment of potential Inspires morale and loyalty Advantages external recruitment l l New insights and ideas Existing hierarchy remains intact Diversity New energy Disadvantages: l l l Inbreeding/no innovation Politics, infighting Need a strong management and leadership development Disadvantages l l Loss of time – to adjust Current staff do not apply “Fit” is sometimes an issue Costs

Assessments in recruitment SA Legislation (Section 8 of the EE Act) l Any psychometric

Assessments in recruitment SA Legislation (Section 8 of the EE Act) l Any psychometric assessments must be valid, reliable and fair towards all employees and people l Assessments must be validated for all cultures, situations and groups in SA l Most tests are controlled by the Health Professions Council of SA (HPCSA) l All test administrators must be registered as a psychotechnician, psychometrist or psychologist.

Assessments in recruitment Typical assessment tools: l l Cognitive Assessments Aptitude Assessments Personality Tests

Assessments in recruitment Typical assessment tools: l l Cognitive Assessments Aptitude Assessments Personality Tests Interest Questionnaires

Questions and Answers

Questions and Answers

Fasset www. fasset. org. za Call Centre - 086 101 001

Fasset www. fasset. org. za Call Centre - 086 101 001