BAFS Study Notes: Staffing - Finding the Right People!

Hi everyone! Welcome to our notes on Staffing. Ever wondered how your favourite bubble tea shop finds the best staff, or how big companies like Google hire thousands of people? That's what this chapter is all about!

Think of a company like a football team. To win, you need the right players in the right positions. Staffing is the process of finding those star players for the business team. It's a super important part of Human Resources Management (HRM).

In this chapter, we're going to learn two main things:

1. The step-by-step recruitment process that companies follow.
2. The different methods companies use to find new employees, and the pros and cons of each.

Don't worry if this sounds tricky at first. We'll break it down with simple examples and clear steps. Let's get started!


The Recruitment Process: A Step-by-Step Guide

First things first, what is recruitment? It's the process of attracting a pool of suitable candidates for a job vacancy. The key word here is attracting. Recruitment is like sending out invitations to a party; you want to get as many great people as possible to show interest. The actual choosing comes later in a process called 'selection'.

Here are the typical steps a company follows:

Step 1: Identify the Job Vacancy

This is the starting point. A company realises it needs a new person. Why?
- Someone might have resigned or retired.
- The company is growing and creating a completely new job.

Step 2: Prepare Job Description and Job Specification

This is where the company defines the job and the ideal person for it. These are two separate documents!

Job Description: This describes the JOB itself. It answers the question, "What will the person do?"
It includes things like:
- Job title (e.g., Marketing Assistant)
- Duties and responsibilities (e.g., Manage social media accounts, design posters)
- Working hours and location

Job Specification: This describes the PERSON needed for the job. It answers the question, "What kind of person are we looking for?"
It includes things like:
- Qualifications (e.g., University degree in Marketing)
- Experience (e.g., At least 1 year of relevant experience)
- Skills and personal qualities (e.g., Creative, good communication skills, fluent in English)

Step 3: Choose Recruitment Methods

The company decides where to look for people. Should they promote someone who already works there? Or should they look for someone completely new from outside? We'll look at these methods in detail in the next section!

Step 4: Advertise the Vacancy

Now it's time to let people know about the job! The company creates a job advertisement based on the job description and specification and posts it where potential candidates will see it. This could be on a website like JobsDB, in a newspaper, or on the company's own website.

Step 5: Receive and Screen Applications

Applications (usually CVs or resumes) start coming in. The HR department collects them and performs an initial check. They screen the applications to see which candidates meet the basic requirements listed in the job specification. This creates a 'shortlist' of the most promising candidates to consider for the next stage (which is selection, involving interviews, etc.).

Quick Review: The Recruitment Process

A simple way to remember the steps: Ice Pops Can Always Satisfy!
Identify Vacancy
Prepare Documents (Job Description/Specification)
Choose Methods
Advertise
Screen Applications


Where to Find Staff? Recruitment Methods

Companies have two main places to look for new employees: inside the company or outside the company. This leads to two types of recruitment.

1. Internal Recruitment

This is when the company decides to fill a job vacancy with an existing employee from within the organisation.

Analogy: Think of a school basketball team. When the captain graduates, the coach might choose the new captain from the existing players. That's internal recruitment!

Common Methods:

  • Promotion: An employee is moved to a higher-level job with more responsibility and better pay. (e.g., A salesperson is promoted to Sales Manager.)
  • Transfer: An employee is moved to a different job at the same level, perhaps in another department. This can help them gain new skills. (e.g., A staff member from the accounting department is transferred to the finance department.)
  • Internal Advertisements: The job opening is announced within the company on notice boards or the company's internal website (intranet). This allows any interested employee to apply.

2. External Recruitment

This is when the company looks for candidates from outside the organisation. These are people who don't currently work for the company.

Analogy: The basketball team needs a very tall player, but no one on the current team is tall enough. So, the coach holds try-outs for students from the whole school to find a new player. That's external recruitment!

Common Methods:

  • Advertisements: Placing job ads in newspapers, on job websites (e.g., JobsDB, LinkedIn), or on social media. This is the most common method.
  • Employment Agencies: These are specialist firms that help companies find staff. The company pays the agency a fee to find suitable candidates. They are like professional matchmakers for jobs.
  • Educational Institutions: Recruiting directly from schools, colleges, and universities. This is great for finding entry-level staff or graduates. (e.g., Companies setting up booths at university career fairs.)
  • Employee Referrals: The company asks its current employees to recommend friends or relatives who might be suitable for the job. Often, the employee gets a bonus if their referral is hired!
  • Walk-ins / Unsolicited Applications: These are people who apply for a job on their own initiative, without seeing an advertisement. (e.g., Someone drops off their CV at a shop, or emails a company "just in case".)
Did you know?

Many large companies in Hong Kong, like the big banks and accounting firms, have "Graduate Trainee Programmes". This is a form of external recruitment where they hire a group of fresh university graduates each year and train them to become future leaders of the company.


Internal vs. External Recruitment: The Big Comparison

So, which method is better? Neither is perfect! Each has its own advantages and disadvantages. Let's compare them.

Internal Recruitment: Looking Within

Advantages (The Good Stuff)
  • Cheaper and Faster: There's no need to pay for expensive job ads or recruitment agencies. The process is usually quicker.
  • Boosts Staff Morale: Seeing their colleagues get promoted gives other employees hope for their own career growth. It makes them feel valued and motivated to work hard.
  • Candidate is a Known Quantity: The company already knows the employee's strengths, weaknesses, and work ethic. There are fewer surprises!
  • Familiar with Company Culture: The employee already understands how the company works, its values, and its people. They can start being productive much faster.
Disadvantages (The Not-So-Good Stuff)
  • Limited Choice: The pool of potential candidates is much smaller than the outside world. The "best" person for the job might not be in the company.
  • Creates Another Vacancy: When you promote someone, you leave their old job empty, which then needs to be filled.
  • Can Cause Conflict: If several internal candidates compete for one promotion, it can lead to jealousy and disappointment among those who didn't get the job.
  • No New Ideas: Promoting from within can sometimes lead to "in-breeding", where no fresh perspectives or new ways of thinking are brought into the company.

External Recruitment: Looking Outside

Advantages (The Good Stuff)
  • Wider Pool of Candidates: You can choose from a huge number of applicants, increasing the chance of finding the perfect person with the right skills and experience.
  • Brings in New Ideas: A new person from a different company can bring fresh perspectives, new skills, and innovative ideas, which can help the business improve.
  • Avoids Internal Conflicts: Hiring an outsider means you don't have to choose between your current employees, which avoids potential jealousy.
Disadvantages (The Not-So-Good Stuff)
  • More Expensive and Time-Consuming: Advertising costs, agency fees, and a longer screening/interviewing process all add up in terms of time and money.
  • Risk of a Bad Fit: The new employee might look great on paper but may not fit in with the company's culture or team dynamics. This is a bigger risk than with an internal hire.
  • Can Demoralise Existing Staff: Current employees might feel overlooked and unappreciated if the company always hires outsiders for better jobs, which can lower their motivation.
Key Takeaway: Which is better?

It depends on the situation! A company might use internal recruitment for a senior manager role to reward a loyal, high-performing employee. The same company might use external recruitment for a specialised IT role if nobody inside has the required technical skills. Smart companies often use a healthy mix of both!