Discussion:
Recruitment Strategies: Internal vs. External
Recruitment strategies must be tied into the workforce planning process, tying recruiting efforts to the strategic plan, working with managers to develop job requirements, establishing and advertising budget, determining to use internal or external sources to fill the positions.
The first issue to consider is that of locating the best qualified candidates to fill the positions. A number of factors relates to the characteristics of each position: a view of the labor market depending upon specific job requirements; where one searches for candidates depends upon the availability of the specific skills, knowledge, abilities (KSAs) in the various labor markets; and the costs of recruiting the right candidate. The company must choose the method of recruitment internal or external.
A number of advantages to filling jobs internally or promoting from within include: management has an opportunity to evaluate in-house candidates to determine the employees' suitability for advancement; the possibility of future promotion can encourage employees to maintain a high-level of performance and providing advancement opportunities to employees communicates the company values and rewards employee contributions.
Advantages to recruit externally bring new ideas into the company, revitalizes operations; cost-effective to hire individuals with highly specialized skills than it is to develop employees within the company. Looking outside the company to fill positions provide opportunities to increase the diversity of the company. Disadvantages to recruiting outside the organization will affect the motivation and loyalty of current employees; it is difficult for the company to know how someone from the outside will fit into the company's culture.
This paper will research if an organization's strategy to externally recruit demonstrates that external candidates tend to be superior to internal candidates.