HRMT20024 Managing Human Resource- Issues in Recruiting

Recruiting expenses: The recruitment process is a lengthy process which comprises of different stages. There are varied contemporary methods and mediums and which are required to be adopted by the HR team so as to deliver effective and efficient results. Moreover training sessions and induction programs are also carried out so as to brief the selected candidates about the company and the working process. These operations are proven expensive and are also time consuming.   

Communication: The concept of interaction is the basic step and which has to be executed by the employer in an efficient manner (Brewster & Mayrhofer, W2012). As the communication process will make aware the employee about all the necessary information which is required by them in their job role. If any of the message or the information is ir-relevant or is not communicated properly then it will miss-guide the individual and will raise as a conflict in future. So this can also be one of the key challenge which can be faced by the HR manager.

Diversity: As IKEA is a multinational firm and operates its business activities in diverse regions and nations and so a high range of diversity has been observed in the workforce of the organization. Same is in the recruitment and selection of the new individuals; the HR managers are required to design and develop various recruitment processes and methods for the diverse range of candidates. Different communication mediums and languages are required to be used so as to make the individuals understand the communicated messages.

Employee retention: Retaining the existing employees is also a crucial task for the managers as they already are well aware about the operations and working structure of the business organization. But if the company fails to retain the employees then it will come-up as a big issue in front of the HR managers. If the employee retention rate is low then it will demoralize the existing employees and also to the new hired individuals. And also a lot of expenses will be required to invest for training purpose of the new candidates.

Strategies for addressing the challenges

There are number of strategies which can be implemented by the HR managers of IKEA for tackling with the challenges while recruitment and selection of the workforce (Budhwar & Debrah, 2013). These strategies will tackle the issues and will also aid the managers in developing better and improved recruitment and selection process for hiring potential workforce for the organization.

Detailed research: The HR managers are required to carry out a survey or detailed analysis on the requirements of the organization for the workforce. This will enable them with the idea of type of the individuals which are required to be hired for the organization and accordingly the plans and the strategies for the recruitment process will be developed. This will make the managers to develop a perfect report which will ensure in better and improved outcomes.

Communicating and employer branding: Communication an appropriate offer to the targeted candidate is the key concept in attracting the right and potential individuals. The HR managers should develop the image of the employer or should present the organization as a brand in a focused manner to the targeted groups and audience (Dussault et al, 2010). For instance HR managers of IKEA can make use of House-style in recruitment advertising approach which has been designed and developed for appealing to a segmented audience. The managers can also involve a general process of communication by making use of non-specific advertising like articles, social media etc.

Diversity: The concept has impose many efforts to overcome these come up as the one of the biggest barrier in-front of the business organizations and the managers. The managers are required to impose many hard efforts so as to overcome this issue. They are required to go under various types training sessions and program so as to develop the diverse communication skills and capabilities which are essentially required in the process of recruitment and selection (Sullivan. 2013). Also the managers should make arrangements of training sessions and modules regarding the company for the selected candidates.

Recruiting expenses: The expenses incurred by the business organization during the process of recruitment and selection is too high as a number of contemporary tools and mechanisms have been made in use by the business corporations such as online interviews through video conferencing, campus placements is also one of the method of recruitment which can be proven expensive for the company (Kellar. 2014). For bringing reduction in these above mentioned expenses the company should adopt better and improved methods and means of recruitment and selection such as telephonic interviews, personal or face to face and group discussions. These mediums are comparatively not too expensive and are also less time consuming.

Employee retention: This is also one of the biggest challenges which have been faced by each and every organization. And in order to tackle with this challenge the HR managers are required to develop some schemes and reward systems so as to motivate them (Grill, J and  Karlawish. 2010). Also the seniors should give appraisals on their performances and should also consider their feedbacks important and relevant, this will make them feel important and they will try to serve with their best quality work.

Labor supply and demand

The concept of supply and demand for labor is very much similar as the supply and demand for any other product or service. There is consistency in the law of supply and demand such as the rise in the price will make a fall in the demand for the product and this also makes a rise in quantity supplied. The demand curve represents a negative slope while the quantity curve shows a positive curve. Due to the different opportunity costs and the preferences the supply curve for each of the worker is different (Alden. 2017). The demand for the labor represents the requirements of the labor for the different departments or the sections within the organizations. There is very much variety and differences found in the demand curve for each firm as each of firms have different labor substitutes such as the differing rates of potential capital substitution. Wage rates are the expenses or the value to the work of the labor and determination of the same is done like all other prices on the market.  Equilibrium is indicated by the intersection of the supply and demand curves for labor, or market clearing, wage rate for certain types of labor. 

Ageing populations

As point out, some By bringing an increase in the pensionable ages in the hope of keeping the individuals in the working situation for longer and which enables them in reduction in the strain on their state pensions systems and this has been mentioned and also pointed out by the EIU and SHRM Foundation and some of the European governments have responded to increased longevity. And this has presented that there is a very much greater concentration of older people within the workforces in the future conditions and it will be a crucial task for the HR departments about the management of everything from recruitment, selection and training of the individuals and also the occupational health and employee benefits (cliffsnotes. 2016). There can also be an increase in the potential of the intergenerational conflicts and disputes in the business organizations, where it has been observed that the older or the aged employees have become barriers in the path to progression for their younger colleagues. HR managers will have to develop and implement strategies in favor of the diffusing the tensions and creation of such an environment in which employees of all the ages can work comfortably and collaborate effectively.

Generation 

In the economy some of the audience are growing are older while others  are trying to shift or move to the opposite direction and these are the challenges which are faced by the developing countries particularly and these issues are associated  with an increasingly youthful labor force. Worlds 60 percent of the age group of 15-24 from the Asia-Pacific region is the home of the above mentioned age group. Specifically there are different HR related issues and challenges associated with younger workers. Generation- or the millennial this segment have a lot of expectations from their employers and also they are more focused towards immediate future rather than that of the long-term and are very much excited and interested in striking a positively managed work-life (Ehrenberg & Smith, 2016). This segment is fond of exciting, varied and innovative working environment which proves beneficial for them in various ways such as it offers the individuals with a rapid career progression and are searching for such leaders who will motivate them and will also allow to express their ideas and creativity. Influencing and attainment of these young and restless individuals will be faced as a major challenge for HR departments in upcoming era. And it will be the duty of the HR and the organizations of providing and guiding them with the appropriate set of opportunities for training and performance appraisal.

Recruitment Strategies

The concept of employer branding is concerned with the process of advertising and promoting an employer or a business corporation in-front of the targeted individuals which the employer desires to be hired, recruit and retain (randstad. 20h7).  Attracting, recruiting and retaining ideal employees are the qualities or the capabilities which are being facilitated by this process and are referred as Top Talent in recruitment. This process also aids the business corporations in the attainment of the company’s business plan. The term employer branding is the concept of the image of a business entity which has been presented as a potential employer. Employer branding is the image a company projects as a potential employer. Companies who possess a strong employer brand are recognized as an excellent place to work and also the corporation has a set of attractive brand values and good career prospects.

Recommendations

As the report has been made focus on the issues faced by the managers while recruiting and selecting the workforce for the business organization. The below mentioned are some recommendations:

• The main concern for the managers are the expenses incurred while recruiting, so to minimize the same they are required to adapt affordable methods for recruiting, for instance telephonic interviews, personal or face to face to interviews and group rounds.
• Better and improved tools and mechanisms for communication process should be made in se so as to develop an effective communication. Proper trainings should also be provided to the new candidates and also to the existing one’s which will help them in interaction process.
• For retaining the employees the managers are required to develop some interesting incentive schemes and appraisal methods. This will motivate the employees and will make them to work for the organization for a l0onger term with more dedication. 

Conclusion

From the above carried out analysis it has been inferred that human resource has been considered as the most vital asset of the business corporation. And management of the same resource is also one of the biggest crucial tasks which is required to be essentially executed. The report has been focused on the key challenges that are being faced by the concerned managers while recruiting and selecting the individuals. Moreover the strategies are also recommended for addressing these strategies.

Reference

Alden, L, (2017), Supply and demand in labor market, Assessed on 21^st May 2017, https://www.econoclass.com/economicsoflabormarkets.html.

Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management practice. Kogan Page Publishers.

Brewster, C., & Mayrhofer, W. (Eds.). (2012). Handbook of research on comparative human resource management. Edward Elgar Publishing.

Budhwar, P. S., & Debrah, Y. A. (Eds.). (2013). Human resource management in developing countries. Routledge.

cliffsnotes , (2016), Labor and supply demand in perfectively competitive market, https://www.cliffsnotes.com/study-guides/economics/labor-market/labor-demand-and-supply-in-a-perfectly-competitive-market.

Dussault, G., Buchan, J., Sermeus, W., & Padaiga, Z. (2010). Assessing future health workforce needs. Copenhagen: World Health Organization.

Ehrenberg, R. G., & Smith, R. S. (2016). Modern labor economics: Theory and public policy. Routledge.

Grill, J and  Karlawish, J, (2010), Addressing the challenges to successful recruitment and retention in Alzheimer's disease clinical trials, Assessed on 21^st May 2017, https://alzres.biomedcentral.com/articles/10.1186/alzrt58.

Kellar, E, (2014), The Challenge of Building the Workforce Government Needs, Assessed on 21^st May 2017, https://www.governing.com/columns/smart-mgmt/col-challenge-building-workforce-government-needs.html.

michaelbaileyassociates, (2014), Demographic shifts and  HR challenges of the future, Assessed on 12^th May 2017, https://www.michaelbaileyassociates.com/news/hr/demographic-shifts-and-the-hr-challenges-of-the-future.

randstad, (20h7), The importance of employer branding, Assessed on 12^th May 2017,  https://www.randstad.co.nz/about-randstad/randstad-award/trends-in-employer-branding/the-importance-of-employer-branding.

Sullivan, J, (2013), the Top 25 Recruiting Trends, Problems And Opportunities For 2014, Part 2 Of 2, Assessed on  21^st May 2017, https://www.eremedia.com/ere/the-top-25-recruiting-trends-problems-and-opportunities-for-2014-part-2-of-2/.