Importance of Recruiting and Selection | HRM

Running Head: Human Resource Management
Human Resource
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Human Resource Management 1
Importance of recruiting and selection in attracting and retaining employees
Recruitment and selection are the most important HR functions which are essential for
the working of the company. Recruitment refers to a process of attracting, screening and
selecting the right candidate for the organization. Selection is the process in which the
organization selects the best suitable employees for the company. A proper recruitment and
selection are must for achieving the strategic goals of the company (Taylor, 2014). This is the
responsibility of the HR department to conduct the process of the recruitment and selection of
the employees. HR can perform the activity of the recruitment in two ways, firstly internal
recruitment and secondly external recruitment. Internal recruitment is a method of selecting and
attracting the employee within the organization. In simple words, business fills the vacancy from
the existing workforce. On the other hand, the external recruitment is a process in which the
organization hires an employee from the outside (Yadav, Kumar, & Kumar, 2014).
Employees are the asset of the companies, a company is a formed with the employees and
the goals of the companies are fulfilled with the help of the employees. The success and the
growth of the company are possible because of the hard work of the employees. Filling up the
right position of the employees of the company is possible because of the effective recruitment
and selection of the candidates (Hunter, Shortland, Crayne, & Ligon, 2017). The recruitment and
selection play a vital role in the business. Recruitment and selection process is conducted by the
organization HR team. These processes help in attracting and retaining the employees. The
organization those are not capable enough in hiring and selecting the new employees they
acquire or merge the companies. Big companies like Oracle and SAP would acquire the
company who are good at the recruiting right candidate for the organizations.

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Employee’s turnover is a most common problem which nowadays every organization
faces. Each and every organization wants their employees to remain in the organization. Many
organizations face the challenge of developing an effective team of the employees for achieving
the strategic goals and objectives of the company (Qureshi, et.al. 2013). It is the duty and
responsibility of the employer to attract and retain the potential candidates who want to work
with the organization. The HR team needs to take some steps that help the organization in
recruiting and retaining the employees. The best organizations are likely to retain and attract the
best talent. The best organizations come under the organizations having the brand value and
reputation in the market. Their reputation consists of market leadership, but also it includes the
way the organization treats their employees and whether the employees consider the organization
as a place where they actually want to utilize the expertise and build a career (Rokka, Karlsson,
& Tienari, 2014). Global talent doesn't attract towards any of the organization, for retaining and
attracting the talent organization needs to compete.
Employee’s turnover is a costly deal for the companies. As per the employment policy
foundation, a Washington research group said that the cost of the employee turnover is
approximately 25% of the lost employee annual salaries (Bakertilly, 2014). The cost of the
employee turnover is higher than recruiting and training of the new employee. Employee
turnover effects the reputation of the organization which might become the problem for the HR
in recruiting the new employees. Employee turnover affects the productivity of the company and
will reduce the morale of the existing employees. The companies always face fear employees
leaving the organization in the middle of the project (Mowday, Porter, & Steers, 2013). The
company always try to keep the backup because organization knows that it is a drawback to time
and talent. The new talent will take time to adjust to the new environment. This is the reason

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some companies started hiring the candidate once they get to know that the employees are
leaving the organization. Though, while recruiting the HR team needs to be very specific with
the employee’s selection. If the right candidate is not selected then that candidate may lead to the
chaos and imbalance in the organization.
Internal recruitment can help the organization in retaining the employees; with the help of
the internal recruitment company gives the platform to the employees to get the promotion.
Promotion and good package always motivate the employees to remain in the company, as if in
case the employee will leave the organization he/she again has to go through the process of the
recruitment of the different companies along with that they have to work for the company for till
the promotion. Job satisfaction and job security are must for the employee to remain in the
organization (Ozturgut, 2013). If the employee of the find that there is a presence of the job
security and he is going to get the promotion and increment in the job then he will definitely
stick towards that job because he is aware that development and growth will take place. Job
satisfaction will help the employees to work hard with full efficiency and effectiveness, this will
help in enhancing the productivity of the employees and ultimately lead to the success of the
company. This will help the companies to retain the employees (Huang, et.al., 2014).
Referral is one of the modes of recruiting the employees. The employees of the company
can refer their friends and family members. The employees who refer the other candidate will get
the referral bonus (Connolly, 2015). The employees of the company will be eligible for the
referral bonus once the referred employee will stay in the company for a particular time. It is
compulsory for the employee to stay in the company to get the referral amount. This shows that
the recruitment of the candidate will help in attracting as well as retaining the employee in the
organization.