International Recruitment and Selection Strategies - Essay Example

Reading Header: International Recruitment and Selection Strategies number: Lecturer: Introduction Hiring and retaining good employees has always been a major challenge for many firms due to the complexity of the international job market invariably amplifies the dilemma faced by recruitment managers. The criterion and staffing tactic employed is therefore critical in securing the maintenance of workers in the capricious global job market. Even with the existing international financial predicament and job layoffs, commercial appraisals still constantly cite staff retention as of foremost importance. Workman (2008) argues that most of the international postings are prematurely ended owing to most of the staff being unable to cope with the milieu of foreign locations. The paradox in this situation is that these foreign assignments are highly compensated with hefty perks. Despite some meticulous recruitment procedures, employees still cut short the international tour of duty hence putting to question the nature of the recruitment procedures that are unable to siphon out the restless candidates. Heneman and Judge (2003) describe recruitment as the, “the process of acquiring, deploying, and retaining a workforce of sufficient quantity and quality to create positive impacts on the organization’s effectiveness” (p. 4). Figure 1 Source: U.S. Department of Transportation International Recruitment Strategies In view of the precarious nature of the international recruitment assignments, most firms out to hire new employees have resorted to demanding a more meticulous selection procedure to eliminate those candidates deemed incapable of surviving the strain and demand of the foreign locations. In this endeavour, the major categories used to garner the correct candidate include the individual’s flexibility; this necessitate the potential employee indicate willingness to endure the expected environmental and social changes in the locale assigned to (Workman, 2008). This criterion has been found to the principal factor other than the usual professional acumen that employers expect from the potential candidates. A hardy employee must demonstrate his willingness to adapt to adverse climatic changes, foreign lingua franca, religious beliefs, changes in social activities, or conflicting nutritional practices. Firms operating in the Middle East, Africa, or the North Sea usually require potential employees to express their capability to deal with the anticipated hash conditions required to work in the regions. These include withstanding extremely cruel weather, religious intolerance, no social activities among other adverse conditions which are not suited for the faint-hearted. Employers therefore decisively subject candidates to several job interviews that clearly make clear the complexity that will be encountered in these foreign assignments before ascertaining their other professional credentials. Potential employees are then acquainted with the designated countries culture, politics, and environmental conditions before the final assignation and for which the candidate must show willingness to proceed (Luthans, 2006). International recruitment agencies demand exceedingly keen human resource members adept at surviving incongruent environments at odds from with those they are accustomed and who are tough enough rather than being easily disenchanted when the excitement of the international posting eventually wears off. Those workers who are mainly motivated by the financial aspect and may have some foreign job experience are the ones most sought after by the recruiters. At BP and BOC personnel with international experience without blemish are quickly hired rather than those with glowing testimonial but with little overseas working experience. Correspondingly persons that are endowed with some multicultural history may be considered due to their experience in dealing with diverse cultures. Similarly fresh émigrés are also deemed proficient in integrating effortlessly in the seemingly drastic cultural changes in view of their recent experiences in their adopted countries. This presumption is also extended to the families or offspring of immigrants that may be eager to relocate to their ancestral homes where there parents emanated from. These emigrant progeny may even be familiar with the local language and culture learned from their families (Collins, 2000). Additional qualities employers seek from the potential candidates are the professional training and educational standing of the worker as regards the particular job advertised. Employers are aware that notwithstanding the suitability of the candidate in view of cultural and physical attribute and background, the candidate will still require to have a technical understanding or qualifications that will enable the professional discharge of duties. Those candidates who are technically challenged by the assignment are also quite likely to abscond from duties due to their inability to perform. Barclays Bank’s International Expansion Director, H. W. Davies underlined the importance the bank group attaches to the maintenance of the brand and standards which are complimented by there employees’ professional acumen and aptitude, which are particularly emphasised by there recruitment team (Cappelli, 2000). Workman (2008, pg.3) asserts that youthful employees or fresh alumnae are more capable or display a higher likelihood of acclimatising faster to any international assignments as opposed to older employees who are more constrained by their nuclear family ties. The younger candidates therefore display less demand on a particular job as they are more adventurous and eager to start earning their way in life. In the recruitment drive, age has consequently emerged as a major criterion in obtaining the right candidate. The more mature employees are curtailed by the demands of their immediate families who may not be overly passionate about the new job. Similarly the family members may be unable to acclimatise to the local weather, social or cultural conditions. The most affected by this are the even older staff with teenage children, who generally are very attached to their peer groups and may violently oppose any international move especially if it is to a seemingly less advanced culture than their own. This means that employers will opt for the younger though inexperienced candidates who have less encumbrances and are more eager to work at diverse locations without many conditions. Though cultural characteristics are among the major issues considered when employers scrutinise potential candidates, an employee is also assessed for their management potential particularly those mark down for executive positions. At Tesco Plc, the international supermarket chain has actively initiated a program aimed at selecting capable female local leaders in its foreign branches like South Korea, United States, and Poland capable that demonstrate leadership capabilities. The international corporations recognise the importance of identifying potential employees that keen in excelling at many of the networked remote locations. These individuals must be capable of making their own personal initiatives rather than always following laid down bureaucratic procedures (tescograduates.com). Likewise overseas duties frequently necessitate an employee takes charge of indigenous staff who does not take kindly to foreign workers as they normally consider themselves very capable. Those chosen to undertake these tasks must demonstrate tact in handling local issues and sharp leadership dexterity to conquer the preliminary antagonism from the indigenous workers and at the same time engage their assistance in improving the effectiveness and productivity of the organisation. Full screening of the prospective candidate’s physical and cerebral fitness is called for to ascertain their mental and bodily competence in view of the expected complex and taxing duties in the overseas locations. Selection Tools and Selection Criteria The efficiency of the staffing procedures is increasingly being evaluated due to the high expenditure accrued in acquiring the right employees who in turn must stay for long haul to justify the costing (Cappelli, 2000). Analysts cite acclimatising to the host or overseas environment as the foremost rationale persons leave these money-spinning international missions (Workman, 2008). Numerous married workers generally desire to educate their family within their domestic country instead of the foreign location where they are working while not willing to live far away fro the same families. This problem persists even while staffs are deployed in countries even more advanced than their home countries e.g. British workers opposed to American educational system and vice versa. To deal with these anomalies, many multinational organisations have initiated a local indigenous recruitment programs that necessitate integration of locally recruited employees assimilated in these international corporations. These include many reputable firms like Barclays Plc, Virgin Group, and Tesco supermarkets. However some of the nascent developing nations like the Middle East oil producers, have set up emigrant schools which utilise international syllabus to educate the expatriate workers children, nonetheless many of these migrant families are still unenthusiastic in educating them there. The other civil liberties accorded the foreign workers include allowing social centres, though in confined settings to reduce conflict with the locals. Adaptableness to overseas environment is however still a major challenge for global corporations (CIPD, 2006) Curry (2004, pg.2) conversely criticizes deficiency of a more exhaustive enrolment vetting exercise as the primary basis to the persistence of high staff turnovers in both country and global enterprises. Though most individuals vigilantly vet their partners prior to nuptials, Curry asserts that employers do not apply the same diligent screening method to weed out the crucial international appointees. This is an anomaly since the exercise is equally expensive hence more care should be taken to reduce unnecessary expenditures. McNamara (2008, pg.1) conversely uses the employee relations hypothesis to deduce the reason behind high turnovers. He alludes to missing link of enhanced motivation techniques that inspire employee loyalty within organisations. McNamara refers to the widespread mythologies connected with workers gratification in the workplace that employers cling to as adequate to sustain employees in the organisation. These include the traditional motivators like higher pay, attractive office, and job-related security among others. Hodgetts and Luthans (2006) have come up with the main aspects that can assist in identifying those individuals most appropriate for the overseas positions and that are not likely to abscond from duties due to acclimatisation problems. These encompass: career workers that are usually fully dedicated to their employment and are ambitious about advancing their potions; unattached or single workers who have no family ties; similarly married couples who do either have children or have older children that have already left the domestic homes; those with prior overseas expertise who may usually have favourable international experience including hefty remuneration in the foreign duties. To avoid undue costs in relocating fresh candidates, most corporations demand the selected workers do a bit of pre-posting service in the domestic home office to assess their competence. Nevertheless most corporations offer acclimatisation implements for those selected staff that would assist them in the overseas assignments. These comprise of rigorous training programs and workshops that compliment the fresh employee’s aptitude to survive high pressure in the new environment including adjustment to the same company’s organizational culture, social acclimatisation, and the immediate family integration among other factors. Another recruitment tool employed is the use of the internet as a selection and searching forum. Many candidates post their resumes at various recruitment agencies where the employers can easily access the best candidates at minimal costs as opposed to the conventional models. In a recent study by the Chartered Institute of Personnel and Development (CIPD) revealed that most companies (75 percent) are now using their own websites to advertise and recruit staff. Another tool or model includes an online testing and research facility on a potential candidate which has sufficiently reduced expenditure in HRM and recruitment. However the National Online Recruitment Survey (NORAS) has criticised the models for alienating the older candidates who don’t fully utilise the internet in the recruitment exercise (CIPD, 2009). Employers use numerous assessment tests to establish whether the chosen worker has the requisite flexibility techniques critical in the international postings. These include their ability to quickly make critical decisions or reconcile problems from various impediment or obstruction in varied arrangement and perspectives. In this regard, the new worker is accorded challenging tasks that require acute acumen and aptitude but which will determine their shrewdness and insight to the recruiting employer’s executives. Another compliance examination is their facility to distinguish and accurately assess potential developments in the assigned location or posted country (Workman, 2008). At Virgin Atlantic, the fresh employee is initially examined by a partial posting in a foreign location that examines their aptitude and flexibility in adverse locations before they are fully assimilated in the corporation. In the service industry, appreciation of the local environmental factors, including religious, political and social manners is critical to their acceptance by the local hosts as well as to their integration there. Barclays International and Standard Chartered Bank Plc, both UK based multinational financial institutions essentially examine the potential candidate assimilation and sensitivity to the local cultures and politics. In pious religious states, amoral employees are frowned upon and may generate tensions between the company and the host nation. This translates to loss of business and in extreme cases may lead to the staff being expelled. Role of Recruitment Strategy vis-à-vis Employee Retention According to Shilling (2003, pg. 2) high worker turnover expenditure is caused by various issues. These include: the expenditure accrued in hiring provisional/casual labourers apparent that is quickly discerned by diminishing yields; toll on residual workforce strained and compelled to take up additional duties to disguise production deficits; extraneous expenses in overtime pay; guidance costs for provisional workers; exit interview procedures and dispensation of final benefits; loss of exiting worker’s experience and aptitude, including recommendations; joblessness indemnity expenditures; staffing overheads including the engagement of recruitment agencies or in advertising revenues. The Chartered Institute of Personnel and Development (CIPD) has determined a formulation of its inventory of the replacement costs for an exiting staff that is calculated by factoring the overall crude turnover rate for the entire workforce thus computing the annual expenditure accumulated by the exiting staff. The major categories as determined by the CIPD are: management or dispensation costs for the exiting employees terminal benefits, the expenses sustained in hiring new workers, the expenditure accrued in keeping up with production within the company as they await the hiring of new staff in the vacancy period, and the preparation overheads needed to acclimatise the fresh worker to the company’s procedures and duties (CIPD, 2009). Total number of departing personnel over time x 100 Average total number of personnel engaged over time Likewise the CIPD has formulated a permanence index that illustrates the rate of retention for staff as follows: Total personnel departing after an year’s service x 100 Total personnel retained beyond one year In view of these gratuitous expenditures, most companies have devised new methods of hiring and relocating workers in the overseas locations hence have generally discarded the conventional recruitment procedures. This predominantly apparent in the exceedingly susceptible duty stations or business units that can immobilize the company operations in instances of critical workers resigning or are pilfered by rival firms (Bevan, Barber, & Robinson, 1997). The hiring of the correct workforce is thus essentially important to piffling out the fidgety workers that have ‘one eye on the horizon’ and may not be loyal to the company’s aspirations. The employer is therefore greatly challenged in siphoning out the best employee that will not only withstand the rigors of foreign assignments, but also display loyalty to the recruiting firm. The overseas staffing sometimes necessitates employers to hire personnel from among the indigenous populations which have an added advantage of quicker assimilation and acceptance by the local communities. This has been variously perfected by many corporations including Barclays Bank Plc, Tesco Plc, and BOC among others. Usually employ indigenous workers who must nonetheless conform to the companies’ basic professional and educational standards. Campbell (2004, pg.3) stated, ‘Hire the right people in the first place. Find people who are looking for the characteristics of your work culture, whether its fast-paced, lay back, structured or fluid. A good fit makes for a happy and valued employee who is less inclined to leave.’ International corporations are always sensitive in avoiding unnecessary expenditures mainly sustained due to engagement of unbalanced workers in the vulnerable overseas locations. This is particularly significant in the global arena where the costs estimates are normally high in view of the logistical and erstwhile adjustments overheads implicated. Curry (2004, p. 1) asserts that insufficient employment techniques are the main causes of this negative expenditures which end up harming even the company’s most important element, their customers. Clients are sensitive to frequent changes in staff and tend to follow them in their new postings, hence leading to reduced turnover in sales and revenue in addition to the usual recruitment costs. At BP, the corporation has endeavoured to cultivate a ‘mutual advantage’ approach that encompass building enduring confidence to safeguard their brand name consequently ensure that employing the suitable staff guarantees stability of firm’s status. Curry (2004, pg.5) thus asserts the maxim, ‘find the right people to start with…’, obtaining the correct staff in the corporation from the start ensures the momentous in production is maintained or sustained without many undue interruptions. Hence the frequently stated platitude ‘the customer comes first’ is substituted by one of ‘the employee precedes and prepares the way for the customer’ for continued service. An exceptional employment approach must aspire at entice the finest workers in the market, this entails employers go farther for the normally offering of bigger payment packages and benefits, to other imperceptible features crucial to a farms’ worker earnings. At Virgin Atlantic, the airlines emphasise on extending the same treatment their staff in the classical mode of equitable dispensation as advocated by Adam (1962) Equity Theory. The airline evolved a flexible staff benefits including: attire code, flexible operational programmes, and attractive health benefits among others (See Appendix 1 & 2). Potential employees are usually enticed by such companies that make working with them fun rather than survival test. Employee loyalty is fundamental to the sustain workers with their current employer hence the latter’s careful scrutiny of hiring the right candidates for the often expensive international posts. Among the main inducements to the potential candidates according to CU Boulder employee manual are: ‘flexible work schedules (flex schedules) provide a powerful tool for management that can be used to fulfil business needs, accommodate a changing workforce, assist with recruitment and retention, and help employees achieve a better work-life balance.’(CU-Boulder, 2008, p. 10) Curry (2004, pg.4) however highlights an unlikely hypothesis that recruiting ‘nice people’ is the key to getting the best candidates, censorious of the habitual employers fascination with go-getter employees, regarding them as in all likelihood to ‘jump the ship’ to erstwhile more rewarding employment once they sight a better package. Curry therefore insists that unassuming individuals and who are not engrossed on their own individual success but are sensible prompt loyalty. Rosenbluth & Peters (2004, pg. 2), propose employment stratagems that utilize alternative interview techniques instead of the accepted panel procedures in boardrooms. These encompass merging the conventional prescribed interrogation procedures with other unceremonious interviews that may entail engaging the prospective worker in an unrehearsed locale e.g. team game. Such a setting indicates the potential employee’s ‘real’ character and will afford a backdrop for appraising the prospect’s response to a spirited environment thus exposing their true personality or attitude. A further investigation can require the recruiter to take the prospective employee on a road test drive that indicates the candidate’s response under stress condition, assertiveness, frustration, etc. Rosenbluth & Peters, (2004) stress that, ‘chances are that their performance on the … field will reflect their performance in the office’ (pg. 31-32). Studies have revealed that workers who are accorded more flexible working schedules and other casual conditions were more predisposed to be enthused about their jobs. A study at Johnson & Johnson illustrated that employees who are accorded flexible work programmes and family excursions generated a 50 percent lower nonappearance rates when contrasted with the whole company’s workforce. Likewise at Rank Xerox, employees were authorized on controlling their individual job timetable that indicated a positive and improved employee motivation, enhanced client service, and additionally a remarkable 30 percent less absence for the personnel (Harrington, 1997). This sensible employee relations strategy has been reciprocated by exemplar staff loyalty depicted at British Airways, whereby employees who enjoy some flexible operational schedules among other perks repaid the company by their acquiescent and cooperation in having their salaries reduced to assist the company overcome poor returns in the current global recession. Hard and Soft Approaches to Human Resources Management Modern human resources approaches have revealed that employee relations need not be necessarily rigidly controlled or expensive to the corporation to impact positively on the workforce. Firms like Virgin Atlantic, Microsoft, Google and BA have managed to sustain high profitable levels despite having the most liberal policies in the human resources management. Analysts have therefore developed various low-cost ideas or no-cost ideas that have more profound impact on the employees that rapidly induce positive results to both the company and grateful staff. amongst the no-cost ideas proposed in the University of Colorado employee manual are: sending written laudatory messages to a worker; sending similar written messages to relatives highlighting their deeds; recommending them for prizes, allotting them singular assignments and mentoring programs; paid holidays to attend education courses; commemorative excursions or dinners; posting encouraging messages at the firm’s communication channels; appealing for individual employee contributions. The low-cost ideas proposed encompass: erecting a bulletin board for staff commendations, refreshments; celebrations commemorating accomplishments; departmental reward schemes; prizes; pictorials of the high fliers; complimentary coupons; and rewarded with training or education sponsorships (Campbell, 2004). According to Shellenbarger (2000, p. B1), ‘employees who dont feel that they are respected or trusted, or who dont feel that the company cares about them, are much more likely to quit’. Holoviak (2004, pg.3) by the same token backs the use of these non-traditional worker motivation techniques that encompass: recruiting from the correct standpoint; employee participation in the objectives and vision of the company; practical principal statutes of management; involving workers in commercial ideas; and initiating substantial sweeteners or reimbursements. Stern (2001) conversely proposes maintaining the traditional rigid approach that he insists is more efficient than the modern casual system of indulging workers. He therefore recommends a mentoring arrangement in which fresh employees are integrated in the corporation’s standards and vision by the more accomplished seasoned workers. This allows them to get quickly assimilated in the environment and company while ensuring a more prosperous lasting career. This method can be termed as the hard approach which employs the conventional tactics long perfected by centuries of corporate management and the scientific model popularised by Fredrick Taylor rather than the contemporary human relations management. Drizin (2009, pg.1) also criticizes companies attachment to the conventional yardsticks of human resources success to long serving staff as being outdated in contemporary global setting. Drizin cites research by Walker Informations 1999 and 2001 National Employee Studies which revealed that there was less employee turnovers among in government service particularly in the nursing profession despite other statistics indicating that there existed low job satisfaction in the sector. He thus concluded, ‘that high worker retention does not equal high employee loyalty’ and low turnover will not necessarily generate more quality service. Conclusion International recruitment efforts have been variously hampered by the difficulty associated with employee acclimatisation in their overseas postings. Employers and recruitment agents are therefore compelled to carefully examine and siphon out those candidates deemed as unlikely to withstand the rigors of foreign assignations. Similarly employers have adopted various techniques to maintain those selected for the postings including employing low-cost and no-cost ideas among the soft stratagems while others retain conventional hard approaches that are still assumed to be more efficient. However some multinational corporations have evolved employment strategies that incorporate hiring from the local indigenous populations. Recruitment strategies have moreover being questioned as the turnover continue to be high hence some analysts have advocated non-conventional techniques including informal interviews as well as prior testing to get the right candidates. In recruitment several key factors are scrutinised including professional experience, educational, marital status and cultural background among others in efforts to find the correct candidate. All these conscientious tactics are undertaken to reduce the incidence of undue expenses incurred in hiring new workers in the international job market. 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Recruiting and Retaining Top Talent, American Business Media: New York Stern, Gary M 2001. Use Mentors to Retain Your Best Workers. Investors Business Daily: 6. Tesco.com. (2008). Tesco: Annual Report 2008. Retrieved October 4, 2009, from tescocorporate.co.uk/: http://www.tescoreports.com/downloads/tesco_report_final.pdf Workman, D 2008. International Job Assignments: Multinational Screening, Selection Criteria and Adjustment Tools Suite101.com Viewed on 7 November 2009 at BP Global – Press – Corporate Responsibility – The Key to Corporate Growth: IAEE, 2009. Executive Briefing Recruitment Strategies Appendices Appendix:2 Appendix: 3 Appendix: 3 Source: Reinach (2007) Read More