INTERNAL SOURCES OF RECRUITMENT: TYPES, ADVANTAGES AND DISADVANTAGES

Recruitment is the process through which an organization attracts potential applications to fill a job vacancy

There are two sources through which organizations attract or recruit applicants and these are: internal and external sources

In today's post, We will be focusing on internal sources of recruitment 

Internal Sources Of Recruitment

Sometimes, the right person to occupy a particular job can be the employee within the organization. This describes the internal source of recruitment

More appropriately, internal sources of recruitment can be defined as a type of recruitment where those applying for various roles are those who are currently employed by the same organization.

In other words, it is a form of recruitment where those filling vacant job positions are people who are existing employees.

It includes promotion, transfer, internal advertisements, and employee referral

1. Promotion: This is perhaps the most-known source of recruitment. In promotion, an employee is upgraded to a position that carries higher pay, responsibilities, authority level, prestige and status

Promotion is a vertical move in rank and responsibility.

This form of recruitment is employed by numerous organizations to fill higher-level roles. 

The main objective of promotion is to increase the loyalty, motivation and satisfaction level of employees.

It is important to note that promotion does not always pay increases. This describes dry promotion. A dry promotion comes with increased responsibility and status without a corresponding pay increase.

2. Transfers: This is simply shifting a person from one job to another that is similar.

It involves shifting an employee from one job to another or from one department to another.

Workers are usually transferred to a job with equal rank and compensation. 

The transfer is usually done to reinforce good behaviour.

The following are some uses of employee transfer

  1. To address an employee grievance: Some employees may be dissatisfied with their current job and request a transfer to another department.

  2. To train employees: Employee transfers can be used to train employees in a variety of jobs within an organization.

  3. To avoid an employee's termination: Transfer can also be used to reduce cases of employee termination. If a manager is dissatisfied with an employee's performance, instead of dismissing him, he may transfer him to another department to give him a second chance.

  4. To fill shortages: If one department lacks sufficient staff and another department has surplus personnel, some personnel from the department with surplus personnel may be transferred to the department with a shortage of personnel

3. Demotion: Demotion is a situation in which employees are downgraded to a position that carries lower responsibilities and status.

Employees who consistently perform poorly are demoted to help them attain their full potential.

Demotion usually serves as a source of recruitment for lower positions in the organization.

4. Internal Job postings: This is a job posting/advertisement that is only opened to internal candidates for consideration. 

In other words, an internal job posting is a job posting/advertisement is a job that is only open to the existing employees of the organization. 

When a job is opened internally, external candidates who may have slipped through the racks in the recruitment process will not be selected for the job.

5. Employee referral: This is one of the most cost-effective sources of recruiting employees.

As the name seems to suggest, employee referral is a form of recruitment in which the organization recruits employees through the reference of current employees.

In employee referral, the employee of an organization refers to or recommends candidates (usually their friends and relative) that the organization can recruit.

Advantages Of Internal Recruitment

1. Encourage employee commitment and loyalty: Internal recruitment creates employees' loyalty and engagement by assuring them that they would be preferred over outsiders should vacancies arise.

2. Saves time and energy: It saves time and energy because those recruited already have an idea of how the organization.

This means that the organization won't have to spend more on orienting, training and developing recruits.

Aside from that, the company saves money by not having to pay for job postings, agency fees, and other forms of advertising commonly associated with external recruitment

3. Encourages hard work: Internal recruitment provides additional motivation to work hard.

For instance, if employees are aware of the organization's "promotion programs", they will work diligently to win this promotion.

4. No error in selection: The possibility that error will be made in selection is greatly reduced since the company maintains a good record of their employees and know their core competencies.

Moreover, the possibility of maladjustment is greatly reduced as the recruited is already familiar with the work environment.

Maladjustment is a term used in HRM to describe a situation where new employees are unable to adapt to the demands of their new jobs.

Indeed, internal recruitment is a reliable source of recruitment since the candidates are already known to the organization.

5. Improves overall employee morale: Internal recruitment boosts employee morale because they know they'll be able to fill high-level positions within the company when vacancies arise.

Disadvantages Of Internal Recruitment

1. Discourages fresh blood: It usually discourages new blood from being injected into the organization as the recruitment process is usually limited to internal employees 

2. Result in inbreeding: It may lead to what HR professionals commonly referred to as "inbreeding", which is a situation where an organization continues to recruit existing employees who do things the same way they have always done them, resulting in a lack of creative expression for corporate improvement.

3. Not suitable for small organisations: Internal recruitment may not be the best option for small organizations.

This is based on the reality that finding the right person from the organization's small pool of candidates may be tough.

In addition, internal recruitment is not suitable for new organizations, which may need to recruit new people to fill their vacant positions.

Moreover, no organisation can fill all their vacant position through internal recruitment, they may have to turn to external recruitment at one point.

4. Can result in the hiring of incompetent personnel: As seniority is a major determinant of most internal recruitment methods, this type of recruitment may result in the hiring of inefficient and unqualified employees.

5. Demotivates employee: Employees may get demotivated if there are not promoted as when due.

6. Can cause internal conflict: Internal recruitment may cause internal conflict, resentment, and animosity, especially if it is not done fairly.

7.  Create vacancies: Internal recruitment also creates vacancies in the organization.  For example, if someone is promoted or transferred, then the position from which he is promoted or transferred becomes vacant.

8. Internal recruitment is not appropriate for all job openings: Internal recruitment is not followed for all jobs, as some job requires creative thinking and innovations.

9. Internal recruitment may reduce the productivity of employees: Frequent transfer of employees may reduce their productivity because they may not be able to develop expertise in one field. 

Simply said, frequent transfer of employees may cause employees to be " Jack of all trades and masters of none"

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