Recruitment Methods (Cambridge (CIE) O Level Business Studies)

Revision Note

Danielle Maguire

Written by: Danielle Maguire

Reviewed by: Steve Vorster

An Introduction to Recruitment and Selection

  • Recruitment is the process of attracting and identifying potential job candidates who are suitable for a particular role

    • Recruitment activities include job advertising, job fairs, social media outreach and referrals from current employees

    • The goal of recruitment is to create a pool of qualified candidates who can be considered for the role

  • Selection is the process of choosing the best candidate from applications received

    • The goal of selection is to hire the most suitable candidate for the job

  • A business will need to recruit and select a new employee(s) when a vacancy arises within the business
     

Diagram: reasons why vacancies arise

Vacancies can arise for reasons including business growth, employees leaving and reorganisation
Vacancies can arise for reasons including business growth, employees leaving and reorganisation
  • During periods of business growth more employees are needed as the business expands its operations

  • When an employee leaves their job and needs replacing

  • Businesses often reorganise their organisational structure which may result in the need for additional staff

  • A new business start-up needs to recruit workers for the first time
     

  • Businesses can choose to use a recruitment agency to carry out the recruitment and selection process on their behalf

    • New employees may be found quickly from its pool of available talent

    • Management time can be saved

    • Recruitment agencies usually charge a finding fee for their specialist services

Examiner Tips and Tricks

Make sure you know the difference between a job description and a person specification. You will be expected to know specific types of recruitment  documentation for the exam

Internal and External Recruitment

  • Internal recruitment involves promoting or redeploying employees that already work for the business

  • External recruitment involves appointing an employee from outside of the business

Benefits and Drawbacks of Internal and External recruitment

Method

Explanation

Benefits

Drawbacks

Internal

  • Where a person who already works for a business is appointed to a job role

  • This is commonly achieved through promotion or redeployment


  • The member of staff is already familiar with the business culture and working practices

  • The business is aware of the employee's strengths and weaknesses

  • There is no need for induction training

  • Expensive advertising is not needed

  • Employees can be ready to start their new role immediately

  • When an employee moves to a new role their old job needs to be filled

  • There may be resentment amongst employees who are overlooked 

  • No new ideas or experience come into the business which could limit creativity and innovation

External

  • Where a business hires an employee from outside of the business

  • A large number of applicants may be attracted

  • New recruits are usually highly motivated and keen to impress

  • New ideas and experience are brought into the business

  • New employees may need support from colleagues and induction training which slows down productivity initially

  • Advertising for external staff can be expensive and take a long time

  • A candidate who performs well at interview may be unsuitable for the job when they start work

Examiner Tips and Tricks

Be prepared to analyse why a business might recruit a senior manager externally rather than from internal applicants. One of the main reasons is to bring in outside expertise or skillset that does not exist in the business

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Danielle Maguire

Author: Danielle Maguire

Expertise: Business Content Creator

Danielle is an experienced Business and Economics teacher who has taught GCSE, A-Level, BTEC and IB for 15 years. Danielle's career has taken her from across various parts of the UK including Liverpool and Yorkshire, along with teaching at a renowned international school in Dubai for 3 years. Danielle loves to engage students with real life examples and creative resources which allow students to put topics in a context they understand.

Steve Vorster

Author: Steve Vorster

Expertise: Economics & Business Subject Lead

Steve has taught A Level, GCSE, IGCSE Business and Economics - as well as IBDP Economics and Business Management. He is an IBDP Examiner and IGCSE textbook author. His students regularly achieve 90-100% in their final exams. Steve has been the Assistant Head of Sixth Form for a school in Devon, and Head of Economics at the world's largest International school in Singapore. He loves to create resources which speed up student learning and are easily accessible by all.