HR

l 1 Strategic Staffing

Outline

Improving Store Performance at Caribou Coffee The Staffing Context Defining Strategic Staff'mg How Strategic Staffing Differs from Traditional Staff'mg The Components of Strategic Staffing

Workforce Planning Sourcing and Recruiting Talent Selecting Talent Acquiring Talent Deploying Talent Retaining Talent Matchmaking Process

The Goals of Strategic Staff'mg Identifying Staffing Goals Evaluating the Staffing System

Integrating the Functional Areas of Human Resource Management Develop Your Skills: Internet Staffing Resources Training Compensation Performance Management Career Development and Succession Management

The Organization of This Book Improving Store Performance at Caribou Coffee Summary

LEARNING OBJECTIVES After studying this chapter, you should be able to: II Understand why staffing is critical to an organization's perfomiance.

Define strategic staffing and contrast it with less strategic views of staffing. Describe the seven components of strategic staffing.

Understand staffing goals. Describe how staffing influences and is affected by the other functional areas of human resource management.

Ch!!.p1.erl , Str.i tcp,•Suflinf t Caribou Coffee

Improving Store Performance a . coffCt· house in 1992. Cari~u ~offcc C_omp~ny cofoundcrs John

Mter e5wt,1J ,h1ng th<tr fif'- 1 m n , Headquartered m fo.·11nncapohs. Minnesota. Caribou Co~ Kim Pucken qukLI~ grc~,- '~: :

0 ~ i:irgc~t spe,:-iah) coffee company -...i1h_ almost 500 compan ct

Complll) 1) nov. the nJlion ~) 1 The company al50 sells 11s coffee, equ1pmcnt, and other Y· ov.nc,.l )tores :md vi..-r 6-~ ,~~1:~~:c :m.d ,arious retail partners. goOdl uu-ough tbc_C1nboo _co~f<"t:

11 • assumC'd that cu~tomcr sen ice w :is th_e reason customers returned to !heir

Canboo s lc:idc~ !ogic:i )u:ularly ciH'n the oompany·s cmphas1_s on the ~ustomcr service ~kills -ion·). n us nude sense. pan . - amiecrs \.\ho "ere responsible for c1gh1 to founeen loc , Of all of 11s emplo)~5- in~hidin; :;:';re ;cross district managers than within a si ngle distric~IQU_ But Lhe fxt_ thJt ~tore )UC~· If there "'as an across-the-board focus on customer service. why w:an- a!cr"s s1o: :7:: ~JJUgcr°s stores so similar. but 1h: performance o~ each district man! ~rf~ he hi her- rfonmng district managers communrcale more effectively to customers and :;~~~ie\·e ihe~ bct~r at dc,cloping employees? What exac1ly acc_ount.cd fo r the differencc?2

lnugine thal Canboo Cofft'e approaches you for ideas as to \.\hat its h1ghest-pc~forming distnct m.llLli!C'T'S must be doing or offering to cons1 s1cn1ly outpcrfom1 lhe others. After reading this chapter, )OU shv1.11d h1n-e some good ideas.

Pl!'ople 's efforts. iaknts, knowledge. and skills mailer to organizations. I~ you don'1 believe lhi:s 15 true, then fire all your organitation·s employees and replace them with cheaper labor. Few successful organizations would accept this challenge ~~ause they und~rstand t~at their peoplt are the key 10 their performance and survival. A compet111ve advantage is something that a com- pany can do dilTercntly from its m-als that allows it to perform bcncr. survive, and succeed in its industry. Someumes an organization's compct.iti\'e advan1age is defined by its technology. Oiher cimes. innovative product lines, low-cost products, or e:\;ce llenl customer service drive eompeti- u,e advant:lge. In each case, the company's employees create, en hance, or implement the com- pany's compeut.i,·e advan tage.

How do people make a difference? At companies like Faccbook and Google, key technol- ogy is devised, implemented, and updated by the people who create and use it. Employees at Apple Computer. Pfize r, and 3M create and sell new and innovative produc1 lines. Employees identify and implement the manufacturing sys1em improvements that create IOW·COSI, high- quality automobiles at Hyundai. Finally. the service at Starbucks is all about cmployce---<:us1omer interact.ions and experiences. In each of these cases, employees influence and implement the key dnvers of the success of the business. Depending on the business, it may be 1.rue that the deci- sions made by marketing. finance, R&D, or some other department arc the most impactful fora company. But all busi ness decisions arc made by employees. Hiring and re1aining only mediocre t.alent is likely 10 result in mediocre deci sions and performance. Moreo ver. bad hires can be very costly 10 organizations in terms of revenue or producti vity losses, legal iss ues. and lowered emplo)ee morale and client rclalionships.3

E!fecti\•e st.affing is the cornerstone of successful human resource management-ii lays the !0~ndallon for an organization's future performance and survi val. Why is it so important? Suiffing is important bec~use its outcomes determine who will work for and represent a company, and whal its _e~ployees wi ll be willing and able 10 do. As a result. st.affing influences the success of future ::;\::;~:: ~:::~:;nagcment, and compensation programs as well as 1he organiza1ion's abil- an impact on employees· ~~:e~~- _Perhaps n_o other single activity has the potential to hav~3:5great lalent th.at the organization :i~rlill~, behaviors, and pcrfonnance as identifying and obtamin~ lb: the performance difforcnce bctwultimately use lo produce its produc1s or services. For so~c J~ For example, because G

I ccn an average and an exceptional ix:rfonncr can be quite high.

300 times higher than lh~!( knows that an e~c_epti?n_al technologist's performanc~ is as mu~~a5 and hiring top technical ta/ an~ average one, n is willing to in vest heavily in sourcing, rccruiung, tion. a~d motn·ation lhc ~:thi ~-~:~e~uccess_ful comp~nics give employee r~crui~mcnt, rett: rnarkeu_n_g, finance , and research ! nd d attention as thctr other core business lunct~ons, sue~ arc positwely related 10 both profi 1ab/vclopment. Research has confim1ed that staffing proc(iceS the perfonnance of an organiz.uion's

5 1~y an~ profit growth.5 Effective s1affing can also en~

arcs in the stock market. A survey by a large consultW

Chlplcr I • S1ra1cgic S1affing

1 found that l. strong staffing func1ion led 10 greater shareholder return. In particular, companies

~: had 3 clear idea o~ wh~m they wanted to hire and that judged applicams 3gainst clear criteria ouiperfonncd comp?mcs ~v1th_\~·caker staffi ng functions.6

By collaboratmg with h1nng managers and influencing the flow of talent into, lhrough. and t of an organi zation, staffing professionals play an important strategic role in organi,ations.

~~fcctive staffing requires a partnership between hiri ng managers and staffi ng professional s m the human resource management depa~ment_- Staffing p_rofcssional_s bring ~xpc~isc t? t~e work· force plann ing and staffing pr~csses, mcludmg evaluating what a Job requires; 1dcnufy_mg what compciencies, skills, pcrs?naht1es, and so forth, are required for job success: and asscs~mg ~hose characteristics in job applicants: As the ex pen in the job itself, the hiring manager provides 1_np_ut ,hroughout the process and typicall y makes the final hi ring decision after 1he staffing spcc1a!l s~ generates and screens a much larger pool of applicants. In addition to promoting the g_oal_s ol their firms, staffing professionals promote the goals of socie ty by helping match people w11h Jobs and organizations in which they arc able to be successful and happy.

Thi s chapter begins with an explanation of the context in which s1affing opcrales, followed by a definition of strategic staffing . We then discuss how strntegic staffing is different from le ss su-ategic ways of looking at staffing, what strategic staffing entails, and why it matters. We then describe the importance of integrating staffing with the other areas of human resource manage- ment (i.e .• training, compensation, performance management. career development, and succession management). Finally, we explain our plan for the rest of the book and describe some of the core ideas that we will prese nt in each chapter. After reading this chapter. you should understand why a company' s siaffing practices must be consistent with its business strategy and with the other areas of human resource management if they arc to support the larger goals of the organi zation .

THE STAFFING CONTEXT There arc almost 6 million employers in 1he United S!atcs,7 employing anywhe re from one to hundreds of thousands of people. Over 143 million jobs existed in the United States in May of 2013.8 Millions of employees arc hired or separated every month, making staffing a multibillion- dollar business.9

Many forces in an organization's environment innucncc its staffing activities. For exam- ple, as globalization expands, companies are increasingly searching the world for talent. This has resulted in greater compclition for top talent and has made it more diflicult for firms to hire the best workers. Global competition for a firm' s products and services also influences staff- ing because the increased competition can lower the company's profit margins and leave fewer resources a\•ailable for its staffing ac1ivi1ies.

Technological changes have also dramatically influenced the ways in which finns hire and manage their employee relationships. Technology has made it easier for firms to track and de velop their employees· skills as well as recruit and hire new employees. The Internet and mobile technolo- gies have changed the way organi zations recruit and hire, and changed the ways many people now look for jobs. Similarly, database software systems have greatly facilitated the staffing evaluation process, making it easier to evaluate a staffing system and address any underpcrfonning pans.

Many different legal and societal forces shape firms· staffing activities, too. For example, finns face antidiscrimination laws and laws that hold them responsible for the damaging actions of their employees if they fail to exercise reasonable care in hiring them. Applicants responding negative ly 10 a firm 's recruiting or selection methods, employees demanding greater work-life balance, or customers no longer buying the products of a finn that lays off domestic workers and hires cheaper labor abroad can influence a firm's future staffing choices as well.

Toge ther these forces drive the way organizations identify, attract, assess, and integrate lal cnt into the workforce . Talent mnnagemcnt is the implementation of intcgr.ucd strateg ics or sy!.tems designed to increase workplace productivity by developing improved processes for anracting, de veloping, retaining , and utili zing people with the required skills and aptitude to meet currenl and future business needs. 10 As one expert put it, "The ability to execute business strategy is rooted in the ability to attract, retain. and develop key ialcnt. Successful ta.lent man- age ment creates the most enduring competitive advantage. No company can afford to be unpre- pared for both the bes! and worst of timcs." 11 This book addresses the role that staffing can play in the talent management process.

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DEFINING STRATEGIC STAFFING . cs~ of ~t:ifli ng an orgam rnu on m fu1urc-onc ntc d : goal-dirtt

s 1n,1eg1c ~1.11. mng 15 thc proc , of th.: org;muauon and cnh:mcc 11s cffcc t1 vcncss 12 ltd "a} S that suppon UK: ~11:te.s; thrnugh. and out of the o rgani i.ation . . llu, 1n\·ohcs the ~lO\em,n ifti:-~ r:Om Lh.: iiay companies often s1aff thcrm,dvcs. For cxarnptc, 1 Th1) de fmiuo n d _ 11 b op.:nmg by pumng the same Job announcem ent they have~ Oo nuiny orgamL'.l_11 0 ns ;~1~rt:w:J~--cnnting sources. such as a jo~ board o r ne ws paper, and make ft u.-.1ng for ~i:-lf'S ~on a ~ut fcehng they gci dunngan 1nterv1ew. ln othcr words, they don ' t 1

hin~£ ~~-.:1sion tann~ng tntohinng m the way thlll best helps thc _finn ~xccutc its busi P-11 suflic-1c,nt thoug:t ~t~ward the future. u The foc us ofstratcg1c staffing 1s the mtegrat.ion of S: ::;;i;;;c~~~ ::~ buslllCSS strategy and with the other areas of human resource management lo cnhancx orgamLauon:il performance.

HOW STRATEGIC STAFFING DIFFERS FROM TRADITIONAL STAFFING A strategy is a long-term plan of ac1ion to achieve a p~nicu lar goal. T rad1ti_on~l staffing lends ; 0

focu~ on quickly and conveniently fi\ hng an opcm ~g r~thcr than o n aligning the staffing effort with lhe long-term strategu: needs o f the o rgamw1_1on . By com~~t, strategic staffing en uuls bolh shon- and long-term planning. The process involves acquinn~, deploying, Ind retaining the nght number of employees with_thc appropria te talents t~ effcc t1 ~cl_y ~x~cutc this strategy. focusrng 00 ma:,:.immng return on rnvcstment ra ther tha n s1mply _mm1 m1zrng cos11, When done strategically. staffing can e nable a company to acquire a s ustamab~e competitive :l(Jvantage that a!lo 1o1 s 1c to successfully fulfil l Jts m1ss1on and reach i ts goals. To 1!1us1rate 11 1iat we mean by strategic staffing and how it d1ffcrs from --1cs~ s~tcg1c" _ways of th inking about staffing. let 's consider how t1o1 0 hypothetical organuations fi ll Job opemngs. The first company, Treds. hasaless-s1.ra1egicstaffingprocess. -As the storr manager of Treds • .l popular sht)I.· ~tore 111 a local shopping mall, Ron knows he cannor:

affon.lto be under1taffcddunngthcupcoming holidayscason. Assoonashisasshtan t manager. S:wly, IC'Jls him she is qwtting. Ron reaches into his file dr:111er and pull s out the job dcsrnption (dcscriptiClt of the Job requirements) and pt'IX'n Spt'C1ficauon (drK np1ion of the qual ifica1ions and eompc1cndti rrquircd of apcrsonperformingthejohdesrnption) he us1:d to hire her two years earl ie r. He quickly SC3JtS it. decides th.at it would be all nght to use 11 again without mJld ng any changes. and forw.lrd$ illD tus reg1ooal manJgC'I' along .,.,th a job requisition 10 ge1 permission lo hire a replacement.

Y.'hen Ltt . .,. ho 1s in Trcds's human rcwurcc department, rccc1,·r.s the approved job rcquhition and ]Obde.si.-nptJon from Ron's bos.s.shccOO:b how the company typically finds ass istant managcf5. She sees that .,.hen 11 la.11 hired an asmunt 111Jnagcr. the fimi posted an ad in the local paper. Lee can' t tell from thc'company's rccortl,ho.,.· manypcoplehadappliedaftcri.ccing thcai.J. J-low\'w:r. shcdccidcsthal iflt worked t:cforc. 11 should .,.orli: agam. So, shc pl:lCCs the sanu.' "hdp wanted" ad 111 the ~tare's local paper.

AftC'I' t.,.o .,. celr.s.. se,cn propk hair responded to th\' re-.:nntmcnt ad and ~ubn1111cd thei r rt'surn6. Three of them lack the pre1·ious re1ail elpencn(e Lee secs as a mi111mum qualification for 1hc posiliOII. After read111g !he 01hcr four rtsumes, Let sets up telephone in tcf\'ic1o1\ 1•,i1h all fou r of th\'m. She ne~tr gets bad 10 the three applicants who lxlr. retail expenencc to let them l now th:tt they arc not being considC'redfurther

After intm·1ewing the four candidates 01 rr the phone about how interested they are In the Job and_ confirming they have appropnatc cduca1ion and experience. Lee decides that th ree of them mcril 311 ml.C'o-ie.,., ~d sctK-dulcs lhem 10 meet with Ron at the store. Al chat point. Lee does not let the l'C'Jtcted ~1datekno11' that shc isno longcrbeingcon~idercdforrhcpos11ion.

Ron 3:5-u the three candidaies indi11dually about 1hc1r \\Ork hiscory :ind what they arc looking for ~: ~~o:f :,~: 1; hire Ale., . ~b seems cager to start as soon as possible. A lthough h~ doe.sn'I

Ulou~ Trcds doesn ' t h!e~~:~~~~::~:;::= ~1:~1~C:lalh~; ~OJ~~.'.l:~i~i:~~u~;:~~~~\= ~~;'."!i:ld:~:; : dj!:!f~~nd check. After the background rcpon and drug tests come baclr. fo i or-

foll::~ copy or i:rcds 's policy manual and sl'hedules. aod he reports to worlr. the Ron LO follow up y, other finahSIS arc not informed th:it 1he posi tion has been tilled until they all

The second company, Soles . illustrates a bc1tcr strategic staffi ng process.

,\Ol)'· th,· manager o r popular ~hoc retaile r Sole~. has to replace her departing assisrnn t manager. Ken. ,,.ho has " orked \\ ith her fo r the pa.st 111 0 )Can To be prepared for U\c upcommg holiday seas.on. Amy ,,_ ould hkc 10 replace Kc~ asqu,ckly a.s possible. She sets aside some time In her busy d.ay to th ink about llhat shenceds 111an :us1stan1manager.

,\mygocs 10ht•rcompu1crandrcvic11stheJObdcscrip1ion shcuS<"d \lhenhinng Kent\\ oyearsago .. 11 ,s a gO<XI descrip11on of the job ... ~he th111ks, "but i1 seems like something 1s mming." Amy th inlr.s aboUt how the store's compctithe landscape has changed over the pa,t few )Cars. Wh<.'n )he 1ifllt stanc.J "orling at Soles four )'C.'.lfS ago, there was only one ocher shoe rttai!cr in the mall in which it is located ;,.·0.,. there arc fi1·c. :md t1o10 of them offer lo,,.er prices on shoes that compctc with some of Soles's key product lines Amy knows that her eomp:iny can·, lower its prices. but she fee ls that if her store offers C.\ Cellcnt customer SC"rv1cc. her customer1 will be 1o1 illing to pay higher prices for her store's ~hoes. Also. Solcsis pkmning to mo\·eal! storetramac11ons 1o tablctsralhcrthan1hcfi~cdrcgb1crsrntions. so havmg ana!isimintmlnagcrwithtcchnological skills\louldalsobeuscrul.

Amy calls her human resource rcprt'M'ntativc. Mike. to ge t some w.sistance in analy1ing 10ohat her new u~sistan t manager should be able to do. Arter performing a job analysis and determining wh:it the job requires. ~my sends n revised job description to her regional manager along .,.;ch a job requisition cogetpcrm1ss1on to hire a replacement. .

Arter recC'i1·ing hiring approval. Mike gives some thought to the qualifications and compctenc1es Amy lis ted for the posi tion. He tries to figure ou1 wht're people with !hose qualifications migh1 he so thal he c:in fi nd a "ay to let them know about the job opportunity Mike realizes that the company's sal:try 1s compctili\'e " ith the other stores in the mall but not different enough 10 attraet applicants. Ht' thinks about 1hc 01her aspec ts of the job that could appeal 10 a talented po!ential rcer111t The comp.1.ny hlS good bt'ncfi1s. a good performance as$CSsmcnt and lr.unins proi;ram. and cries to promote from within. Although he probably won·1 bC' able to hire a ,cry upcricnccd assistant manai;cr in light of the salary he can offer. the opportunity should appeal to s.omoonc with at least some experience-someone 10oho 11 ouldhkctoadvance!hroughSoles'smanagerialran~.

Mike rcvie" s the data about how the company has bt'cn mo~1 succes)ful in hiring pas t assistant managers. He then brainstorms with Amy about II here they might find qual ified and interested people. He also decides to \'isi t some of the other stores in the mall 10 evaluate their employees and see if any of them might bt' suited for the job. While nl the stores. he pays part icular attention 10 how the .1ssistan1 managers there interact with customer1 and c1·aluatcs the strength of their customer srrvicc slills. In addi tion. Mike posts a job advertisement on the job board ofa local college 1hal offors a degree in fash- ion design. The ad emphasizes that Soles is searching for someone with managerial expcril'ncc. fashion knowlcdl!e,1cchnological skills.and exccllen1customerstrvicc slills.

Withtn two weeks. Mike has recruited five promising m:iU emplo)CCS to apply fo r thr po)i tion and rccehcd 15 applications from the college's job board. He screens the rt.sumt!s for retai l .1nd managerial oprncncc. and identifies three mall employees and sc,·en candidates from 1hc college who appear to be promi~ing candidates. He immedia tely sets up phone meetings wiLh all ten of them. and asks them each a )Cries of questions dc5igncd to :i.sscss their knowledge of retail m.lrnlgemcnt and the ir customer ~erv1,·c oncn1ation. He then evaluates their answcn nod invites five of them to take a writtt'n test that mes~~ their man:1.j;en1ent skills and intellectual curiosi ty (which the company hns ident ified as being rc la1cJ to be lier customer interactions. i cr-.·icc performance. and conti nuous learning on tht' job) The fi1e applic:inu who are n01 being considered funher arc scnl a lcner thanlr.ing them for thei r in tereM in the pm1tnin and explaining that they arc not being cons1dcrcd funhcr.

D11ringthctes ting phasc. the fivecandidatesarcgi\·eninstructionsandasked toperForm SC\ Ctal li med 1.i~l ~ using the lntcmcl. Milr.e then shows chem around the company' s rt"Sio11al hcadquancrs and an~1o1ers their questions abou1 the company nnd the Joh opponuni1y. He schedules the th rL-c 1op scorers to mrct " 1(!1 Amy 111 the store. and calls the other two to le t them know that they arc no longer hcing cons1defl•dfortheposition.

Amy goes onlinc to the comp:tn) ·s hiring resource ccmcr and downlo:l(Js a series of questions the comp.:my has developed to assess the competencies needed for the job and some question~ the company u~c \ to 3~~css customer service sir.i lls. She completes the brief onlinc trnimng refresher module on con- ductmg and !>Coring the inter.,,.iews. and meets with the three candidates. She finds all three impressi,·c but frets that J~ is most qualified for the posnion After passing a drug les t 11 nd bal'kgroond checl a., 11cll as some additional screening, Jose accepts the job.

I.le fore Jose 1o1 orks in the s1orc. he fC\"tews the company's policies onlmc and fl"<"C1vcs a 1·opy of the store·~ po licy manual. He is in1roduced 10 the assis tant mana.gers at several other Soles !ocation~. !:"'.hen the ir contact information and encour:1ged to call them ifhc has any ques1 1ons about lhe;ob. Amy meets \I.1 th Jose to review the c~mpany's ~rformancc upcctations and answer any qucscion~ he has She ul,o sch~dulcs him to work with her for a few ~hifts to hdp him quic lr.l y lc.lffl his new job.

Ch~ptcr t • Strategic Staffing

Qu('lcr I • Str.1ttpcSofling Mike contact~~ ~her l" O finaht l~t::::s~;~" g:kl:~;~~ he reti$

Applksot

Human I Resources I

Department

Hir ing Ma nager

ttu.1 UK') "oolJ I:<' 'C'l')' C'~~;:;i~:; ~o~rrJobopPonumues that come up m the ne.xt few m0nl /"().i)d t.: 1nterc~1N in bring ro:~ ;bsi,tant mamgcrs 1s typically 20 ~n:ent a year. Consequently, he e/'

1~ lno" s Lh!ll ~~1~:;';~ more openuigs in nearby stores wit_hm a month or t..,, o_ The two fi nalis::S :s. ;:;;l1kC' t..,, 0 ,cry s~ngd:~::1;hr:r~!j~~ ~:~~!:s ,s successfully entered into S )

Mike then c05:e:~1- '.n~ludml! the re,.·ruiung source tha~ produced them, and whc:thcr thc ~~n! ~:u~:•~~o:s th:II this .,. 111 br usefu l for future rccruumg purpose!lo. Y ere -Which company 15 hkcl) 10 pcrfom1 _better as a resull of i1s staffing process? Goad stratc..

g1c stnffing systems incorporate the following :

• Lonicr-tenn planning • Alignment with the finn"s business strategy , • Ahgnment with the other nrcas of human resources • Alignment with the l:ibor market

: !:~~~~~::~:!sessment on factors related to job success and longer-term potential • The evaluation of staffing outcomes against preidcntificd goals

Clearly, this better describes Solcs"s stafling process. Both companies would say they engage in the staffi ng process as mapped in Figure 1-1.

Both planned decided where to ad\·cn..ise the job opening, recruited applicants, and selected 11rho should receive a job offer, but clearly 1hey did so in very different ways. Mike's decision 10 seek out local college students was aligned with his need to hire people with fashion knowledge and

3 willingness to learn, and who likely have retail experience. Gelling back to rejected appliean11

Sourcing & Recru iting Selecting

rn-ruits

Socialization

Contingcntjoh offer is made

FIGURE 1· 1 A Flowchan of the Staffing Process

Chapter I • Str.itcg.ic Staffing

10 let them know that they arc no longer bcrng considered helps keep them fee lin g positive about

the company so they will be willing to shop at Soles and apply for jobs with it again in the future . Figure 1- 1 illustrates the general staffing process and iJentifics whether the applicant,

human resource dcpartmem, or hiring mnn::iger is responsible for e::ich Mage. The staffing process begins .... hen a hiring manager determines there is a need for a position, which could be due to wrnovcr or the creation of a new job. If necessary, the human resource departme nt conducts a job analysis, and the hiring manager gets a job requi sition approved that aulhori1.es hi m or her to fi ll the pcsition . Human resource personnel then recruit appropriate applicants and advertise the job opportunity. ApplicanlS apply for the job, and Lhc human resource department screens them to identify those to consider further. By funhc r assessing lhe remaining candidates, the department screens out applicants who arc a poor fit for the job and identifies the fina lists for the position. The hiring manager subsequently interviews lhcm and determines who should receive the job offer. The firm the n makes a job offer contingent upon the candidate passing any background check. drug test, or other tests. If lhat candidate turns down the offer or fai ls to pass the assess- ment, another candidate receives a continge nt job offer unti l someone is hired. The organization begins socializing the new employee to familiarize him or her with the job and the organilation and to help the new employee become productive as quickly as possible.

Companies also differ in how proactivcly they manage lhcir existing work.force. Software company SAS developed an employee retention program that crunches data on the skills, pro- file s, studies. and frie ndships of employees who have q uit in the past five years and then finds curre nt employees with similar patterns. Another SAS program identifies the workers most likely to experience accidents.14

Our goal in th is book is to help you understand how to design and better strategically exe• cute the staffing process in ways that will lead to higher-quality staffing dec isions and enhanced organizational perfo rmance . We will not only describe the strategic staffi ng process, but also discuss how 10 make it more effective in helping a firm meet its goals. When we use the term swffing in this book we arc referring to stmtegic staffing.

THE COMPONENTS OF STRATEGIC STAFFING There arc seven staffing activities that. if done well strategically, crca1c a staffing system lhat suppons business strategy and organizational performance. l llc seven activities are planning. sourc~ ing, recruiting. selecting, acquiring, deploying, and retaining talent. Table 1-1 summarizes how each of the seven is imponant strategically. We next discuss each of these seven activi ties in more detail.

Workforce Planning Workforce pla nning is the process of predicting an organization's future employment needs and assessing its current employees and the labor market to meet those needs. This means that the firm' s managers and HR personnel have to evaluate the company' s current lines of business, ncv. businesses it will be getting into. li nes of business ii will be leaving, and lhc gaps that exist

ih;\!ji@ Seven Components of Strategic Staffing 1. Workforce Planning : strategically evaluating the company's current Imes of business,

new businesses it will be getting into, businesses it will be leaving, and the gaps between the current skills in the organization and the skills it will need to execute its busmess strategy

2. Sourcing Talent locating qualified individuals and labor mar,(;ets from which to recruit 3, Recruiting Talent: making decisions and engaging in practices that affect e ither the

number o r types of individuals willing to apply for and accept Job offers 4. Selecting Talent: assessing Job candidates and deciding who to h ire 5. Acquinng Talent: putting together job offers that appeal to chosen candidates, and

persuadmg job offer recipients to accept those job offers 6. Deploying Talent: assigning people to app ropriate jobs and roles m the organization

to best util ize their talents 7 . Retaining Talent: keeping successful employee s engaged and committed to the fi rm

WORKFORCE PIAN,\ 'JNG rlu pructu of prtdicrin g vr,11,miw1ion "J fuuu, tmp/o ymtnl nud.ta11d1htamrlab1l,1>·ofcurrtnr t mpluytu ond <'.tl<'nwl hirn ro ,,..,.., rlwst ,mploymtnl 11 ud.f and t .u curt 1l1to rxoni.:J11J tm 0JbuJrnt.11Jt rat<'g)"

(hl['lc'f 1 • Srr:i!CfJ.'.: Stlffin~ _. , of its ,, orLfor.:c nnd the ski lls the workforce w~ll n_ecd tn the fut t'\.'l"~n the current ~k1lb nn , bu~incss is pl:i.nmng 10 expan~, then 1~ wi ll likely need to llrt For c.\urnrte, if a rn:inufa~t~cs ~J production. If the comp;:my is pl:mnmg to automate Sotn httt more fl('OPk in a~~s_hke;n it will likely need fewer employees, but the employees it air/Of 1tS pruJucuon ucuvitJ_es. d the new 1cchnolog1cs. ad) has may nl°'-d new skill~ rcl~t:ua~~y invol ves the joint efforts of _both t~c hiring manager

SOt"RQ.\"G loc,m11.f qual,jitd ,11.,J111d.1UJ IJ and /Jbor...aru'Jfri-1olud!1o rtcruu

RECRL'ITIXG all o r1a111~a11011.a l pra,:11,:,s 011.d d«HIOnJ dur uff«1 mlirr m, 11.11/IWt'r urrrpn uf1Nii,utwah11·1/f111.;w appl1 fi,ran.dacu{'1/00off~n

Workforc_c p~an ning ~,affi ng specialise looks at the orgun1 zat1on s forecasted businllld a stalling s~•31h1· The ; he number and t)pes of people needed by th~ organization, css Jct1 11t1cs and' d_etcmun:sses the organizauon's busi ness sua_iegy I~ specify further the <'lbe ~taffin~ spec ialist thCn he or amzation will need 10 execute its bus1~ess_ strategy. To Plan°;'· petenc,es mu/ rale_,its

5 t thcsfalling specialist assesses both the organ1lat1o~ •s current cmpJ

e.'lpcctcdJ~b opcni7\;bor m.'.lfkCt of potcnllal new hires to gauge t_hc availability of dcsioy. ees and the cx•~1~:st then secures lhe resources necd~d to engage in an appropriate staffi~ t.11cn t. The s~orkin with the hinng manager to 1dcn11fy th_c talent profiles ~ost appropna~ ;:

0 ;~ ;;: posi uo:. the siaffing specialist develops recruitment and selcct10n strategies to

obtain\~~h~:~i~~:ail;;~-tifying the compc_ienc1es. and behaviors the fir_m needs_,~ execute its business strategy, it is difficult, if not 1mposs1b~c, .to develop e~fcct1ve recruurng, Staff. tn!!. and retention plans to meet those nce~s- l~enufyrng a~d securrng necessary resoutces, de-legaung responsibilities, and creating a umehnc .'.lfC al so 1mport_ant out.come~ _of the Pllb- ning stage. Planning acu vi ties can be short-ttmr a~d focus on an 1mmed1ate hmng need, er long-term and focus on the organization's.needs m the future . Workf~rce plans are ffiOI? str.1tegic if they belier address both the firm _s s_hort- and long-term ~ccds. The plans can also address how a firm will address demographic issues, such as an aging workforce and divtr. s11y 1ssues.

Sourcing and Recruiting Talent Sourcing is a component of recruiting that focuses on locati ng qualified individuals and]~ markets from wh iC"h to recruH. For example. a sourcing specialist responsible for identirying potential applicants for phannaceutical sales represe ntative positions may learn that experi. enced nurses make excellent pharmaceutical salespeople because of their ability to communicaac wi th physicians, and persuade them to prescribe the firm's drugs. The sourcing specialist thca identifies where nurses can be found and how best 10 reach them, perhaps by placing recruiting advcniscmentsinnursingpublications.

Recruiting refers to all orgamza11onal practices and decisions that affect either the number or 1ypes of individual s willmg to apply for and aeceplJOb offcrs. 1s Recruiting is how ilITlls of all Siles generate a sufficie ntly IMge group of applicants from which to se lect qualified individu- als for avai lable jobs. 16 Sourcing focuses on identifying desirable people and finding ways to reach them; recruiting converts these people in10 actual applicants. Many organizations consider sourcing to require different skills than recruiting. Consequently, they hire both sourcing spe- cialists and recruiting specialists. Because people who don·t apply ca n·1 be hired, sourcing and recruiting are critical toaneffec1ivc s1affinccffort

Rcc~umg prac~ces include evaluati~g whi~h recruiting sources generate greater proper· tions o~~igh•pc~formmg employees who do well in their jobs17 and improve the firm's perfor- mance. A firm s rccnuters, their behavior, the messages they send, and the sources from which ~efo~c:~~~a~~;hct~er people choose _t~ become or remai n applicants of the firm and _accept an organi,..ati~n or in':' s g~I of recnntmg IS to get the right people interested in working fer job offer if it 's extended: fie Job, persuade them to apply for it, and then ultimately accept the

If rccruitJng is done poorly 1 . f th~ \\hodoapplywilldro out ~f:~~p e will apply for a job wi th the ~o~pany, and_morco Job candidates or \\ho fail 1~ meet thcirh.mng p~ess. In ot~cr words, urgan1zat1ons 1h_a'. d1sresped wi ll be less able 10 hire the As mformat ion-gathenng needs during the rccrum ng process !"ople who end up being h~~d m~ more of the ~ompany's ~ob oll'ers wil I be rejected, and lit •f.a better rccruiungJob had be be as committed to thc_Job or the company as they would hkely to tell others about it. m:n o~;·h~orcover, applican'.s w_uh a b:i.d recruiting c~pericnce art'

g dcr for the orgam,.ation lo recruit people m the future.

Chapter 1 • Stralegic Staffing

Because thi:y arc unhLdy lo apply for future JObs with the company, the company is likely to lo~ he opportunity 10 hire unhoppy current job applicants for fuiurc Jobs as well . 1 Bot h organi zations and indi viduals use a screening process when forming an employment lalionsh1p. Applicants can select themsel ves out of considcrat10n for a job at any time . I'. is

~us imponant that recruitment acti vi ties continue during the candidate assessment and selection roccss 10 maintain candidates' interest in the job and organization.

p Another component of recruiting is t mployer branding, or creating a favorable image in desired 11ppl1cants' minds about the organ1 1.a1ion being a good place for them to work. For example, Royal Philips Electronics tell s potential employees that the company gives them an opportunity to work in an environment where "you can touch li ves every _day."'

20

When potential applicants arc considcrin~ whether to appl y to a par11 cu\ar orga n1 zat1on . they evaluate facto rs including whether the organization is a place they would like to work . Because most applicants do not know very much about what different organizations arc hke as employers, many companies proacti vely craft employer brands for themse lves through marketing and ad vertising. For example, Federated Department Stores created an employ• mcnt brand and recruitment Web si te ca lled Rclailology.co m. Starbucks has employed a "Program Manager for Employer Branding," whose job it is to promote the coffee chain as a great place to work.

Selecting Talent The selection process invol ves pulling applicants through activities such as ski ll s tests and S:::E=LE:::CT=/0-"N---- ~- employment interviews to evaluate their capabilities and qualifications so that the organi zation 1uu1 1111g job ( w11/11!<11e1 m1J dmding can choose whom to hire. The methcxls an organization U!,CS 10 assess and select job candidates whom w Ju,~ will dctennine how well the finn·s new hires, and thus the company as a whole, will perfonn.21

Of course, the effectiveness of the selection process depends in part on recruitment. If a recruiting cffon generates 1,000 applicants but only a few of them arc qualified, this bogs down the selection process.

Targeted recruiting practices that prcscrccn applicants can result in fewer but higher quality appl icants than can general recruiting practices. For example , if a pharmace utical sales position requires a certain amount of medical knowledge that nurses with certain credcniials have, then lhc recru11ing effort might prescrcen applicants by locating nurses with the required credential s. Prcscreening saves the organization both lime and money because it docs not have to sift through as many undcrqualified applicants during the selection process.

In contrast, if recruitment efforts fail to generate qualified applicants, then it is impossible fo r any selection system to identify them. It is noL surprising that the effectiveness of various selection practices, such as interviews and skill testing, vary dramat ically with II firm' s recruit• mcnt pracuccs.!! Historically, organilations have tried to maximi ze the quality of their new hires by focusing on recruiting a large number of applicants. then relying on various applicant assessment methods to identify the hi ghest quality candidates. However, it is importanl to note that there is no guarantee that the appropriate qualifications will be present in any applicant pool, rcgan11css of its size.

111c goal of strategic recruiting, therefore, is to atu-act a greater percentage of applicants who arc likely to meet minimum hiring requirements and reduce the burden on the selection system. II is al~o very possible that the hiring gains will come with a reduced adminis1rative burden and lower cost per hire, even if the initial cost of the recruiting sys1em is higher. When we examine staning and retention from these pc~pectives, it is easy to sec why many companies make the search for the right talent their top priority. As a manager of one high-technology company stated, "The quality of our talent is as important as our technologies. The quality of our talent is how we win in our bu'S i- ncss.'"23 l11c same is true for most nontcchnology.orie nted businesses as well.

Acquiring Talent

Ac,111iri11g talent involves pulling logcthcr job offers that appeal to chosen candidates and per• suaJing job offer recipients to accept those job offers. Alt.hough many job offers ore presented on a lakc-ll-Or•lcavc-it basi s, organizations sometimes negotiare job offer terms with the candidates they want to hire . Job offers can include salary , health care, retirement contributions, vacmion lime. relocation expenses, housing allow;mces , and other benefits. ll1e employmem co11trnc1.

10 flurtct 1 • Sltll~fi..: Suffin~ . :i.tc then form:i.lilC) lhc outcome of the negotiations. In addtti or \inttcn offer to.the c:i.n~~~ti~n ~uch :i.ssalary, bonus. long-tenn accounting, and StOck-~ ,pc.·r1f) ing the Job scornJX mcnt c~ntract addrcsscs other aspects of the relati onship bciv..ccn c0mp,.:n:.:!tl('n. the cmp~tr c-,amplc , rcurcmcnL or scvcra_ncc payments_. procedures govern~ ~: ~~~:

1 ::~t\~n~: n:stncuons on the c-rnployl-c's ab1hty to engage in other acti viti~, ~:

DULO l~E.\T a:rn_f'llO ralnu 1<1 arpropmut ;'10, ,;m,Jrou:J.,,dlt a""1JICUlon

I ork for other !inns. . . d01nf srnu ll" " . 1rnnsof an employment contracl help to align~ new h1i:c '.s behavior W1ththe

. Al~ough th~ . , many companies do not h:I\C comprehensive cx~h~tt (written) cm 1 finn sbu~rncssSlrJl~~~~v h:l\e an e,~pliclt agreement that covers only lmuted aspects 0/: ment agrecmcnt.s or in· lnl: in 2005, lm than half of 500 finns had an explicit Wri It n:lauonsh'.ps. A casc:1 ",ih their CEOsY In lieu of an explicit agreement, t_hc~c firms llnd ~~};;n~nc~~:lt con1.J11cts through '.lhich the CEO 1s employed "at will ." We will di~ cmplo)·memcon1r.icts1ngn:a1crdcta1 l mChaptcrs3and 11 .

Deploying Talent Deployment miolves assigning talent 10 appropnate jo_bs and roles in the organization. The deployment of new talent and the rcdcploymen_t of c.mtmg employees as _ncc_ded arc both re]. evanl to opumally le\eragmg an organization s lalcnt. For example, a.s~1gnmg a technically capable programmer '.I ho dislikes in1eract1ng with people to a sales position would be a talcot deployment mistake. .

Soc,:ilintion is the process of familiarizing newly hired ~nd pr_omoted employees with their Johs, -n ork groups. and the organiLatio~/s a whole. '.' 1s_an im_portan t _step in te'.1115 of getting these people up to speed quickly. Some _organ1zat1ons sm~pl.y g1;~ new hu,s 11 m:mu:il of comp:iny policies and show them to their desks. Instead, 1t is cnt1cal to ttke the time to help them form appropnate expectations about the company 's corporate cultt11t, sul!gest ways for them to adJUSt and pcrfonn well in their new jobs. provide them with the c~ooonal support they n,~ed to improve 1he1r sa ti sfacuon and job success , and increase their comm1tmen11o thclirm .·

Over umc, finns can dc\'clop employees' skills and capabi lities, resulting in a broaderstt of dcplorment op11ons. Through succenion numagement and carter development, employees can .1cquire new skills and be prepared to assume different and highcr•lcve\ positions in the organu..1t1on. lntemal talentde\·elopment sometimes enables faster transitions and higherpcrfor, mance than docs external hinng because existing cmplO}'CCS arc familiar with the organizati011'1 cuhurc, customers, :ind how work gets done most emcie ntly (i .e., they understand how the firm's 1ntem.1l S)stcms work and the strengths and weaknesses of people in key positions).

Retaining Talent

Succession management and career development arc also effective tools for retaining high- perforrnmg employees. It can be frustrating to locate and hire the right talent only 10 watch these people lea1·e after a shoit time. Tumol'cr is expensive, cspccial l)' when it is the best perfc,m. crs -nho are leaving. Although lhe turnover of poor performers can be beneficial, the dcpartuR of key emplo)ces can be devastating. Losing excellent employees to a competitor is an e,cn grcattr loss. Rc1ammg ~uc~essful employees also means that lhe organi1,a1ion spends less time and fev.erre sou~es filhngJob vacancics in the future .

Matchmaking Process

5trat£1~ suf2ng 15 a matchmaking process that inl'ohcs much more than simply gcncratinJ : ~~~:~l~o~-~ico: io~tion. Recrui_ting and se lection arc interdependent, two-wa~ pro- much as they can about ihei~ rs,:nd. recruits try to look appealing to the other "":hilc ]camingas organiLations choose applica~s : I lit. Althou~ a~plicants choose organi zations a~ much as c~pense of effecm·e rccruitmen;. Bec: ften orga~izauons focus exclusively_ ~n selectJOn at the time. rccruiLmem docs not end when l~se applicants can dr_op out of the hmng process a~ any 1s no long~r a recruit only when ei ther s:t ~p!oy mcnt il~pl1cation '.s submi.tted . The applicant rc!at10nsh1p. Rccruumcm continues ihrou e is no longer •~tcrested m pursuing an cmploy~eDI

ghout the selection and acqui sition process unul the

•r.,on 1s nl) longer a viable job candidate, or until a Job offer 1s accepted and the person reports ~r -nmk. Some tim1s even try to conunuou~ly "recruit" employees to maintain their a\\racti ve - nc~s :i.s an employe r and enhance relent ion.

THE GOALS OF STRATEGIC STAFFING identifying Staffing Goals

Cn:aung hiring goals that arc clearly linked to organizational strategics and objectives guides the str:iicgic staffing process. Proass goo/s relate 10 the hiring process itsel f. including how many of""hal quality applicants apply, attracting appropriate numbers of diverse applicants. and mcct- 10g hinng umelinc goals, such as completing intcr.,.icws within two weeks and mak.ing joh offers -nithin one '.leek of the final mtcr.'1ew. Ourcome gools apply to the prcxluct of the hiri ng effort and include the number and quali1y of people hired, the financial return on the staffing inves1- rnent, an<l whether the staffing effort improved organimtional effecti.,.cness. Table 1-2 presents 3 sampling of the many possible staffing goals.

Not all these goals will be rele\'ant in every hinng situation . Different goals arc likely to take priority at different times. It is also common for staffing goals to conflicL For example. it can be challengmg to hire top performers who will stay with the organization for many years while simultaneously filling jobs quickly and minimizing staffing costs.

Ch:iptcr I • StrntegicStaffing 11

Finns that do not staff strategically arc often focused on goals such as the 11mc it takes 10 fill an opening, the number of hires a recruiter produces in a period of time. and the cost per hire . Although these can be useful goals for improving the efficiency of the staffing process. they arc not necessarily aligned with improving the srrartgic ptiforma11ce of the staffing system . For example, if executing the firm' s stralcgy requ ire s hiring top- tier tal- ent, the company' s recruiting goals should emphasize the qual ity of applicants versus hiring speed. For some positions, hiring top talent thal will stay with the organization for a long time might be crit ical (perhaps if the positions arc in management, long-tenn research and de\'c lopment projects, or sales). There may be other positions for which average talent and moderate turnover is acceptable .

The key objecti1·cs of the )tailing c1Tort~8 can change over time and be differe nt for differ- ent positions. loo. Because, 0\'Cr time, jobs change and different technologies emerge, lhe people best able to do a job as ii exists today may be less able to do the job in a fe w years. And because different organizations pursue di!Tcrent business strategics, each organi zation' s staffing goals arc likely to be dilTercnt as well. Funhcnnorc. di!Tercnces usually c:(ist in a si ngle organization's staffing goals across positions and over time because positions change, and different posilions n:quirediffcrcnttaknts

mm Examples of Staffing Goals27 Process Goals • Attracting suff1c1ent numbers of appropnately qualified appl•cants • Complying with the !aw and any organizational hiring pol,c1es • Fulf1ll 1ng any affirmative action obl1gat1ons • Meeting h,rmg t1mehne goals • Stafl,ngeffic1ently Outcome Goals • Hiring ind1v1duals who succeed 1n their Jobs • Hmng 1nd1v1duals who will eventually be promoted • Reducing turnover rates among high performers • Hiring 1nd1v,duals for whom the other human resource funct ions will have the desired

impact (e.g., who will benefit from training, and who w1\I be motivated by the firm's compensation package) Meet,ng stakeholder needs

• Max,mizing the financial return on the organization's staff,ng investment • Enhancing the diversity of the organization • Enabl,ng organizationa l flex1b1lity • Enhancmg the bus1ness'sstrategyexecution

12 Ou,...ra I . Str.J!l"ft• Suftins . k When Setting Staffing Goals a uest1onst0As

uc~ly orf,111t with someone who closely matti,.. _ • Is ,t rrore important to f,I~ the pos•l•01'1 q -

a p.i rticular u :enl profil~ tencies, styles, values, and tra,ts are really needed for Job • Wh.:it levels ot which co hpeb s ness strategy? • ~;:: ~ned~

5 ~;:

5 ; 5

1 ~~a~eg~ :nd what types of people will 11 need 1, S, and 10years

from now? h,res ssess rather than be tra,ned to develop? • What talents must new , 1 -term ta lent needs? Is 11 important for the person h,r~ • \Vhat are the organ,zat,ons 01

9 dersh,p roles 1n the future? to havethepotentiaf to assume ea

n needs 10 ,dentify 1,1hat us staffing goal s arc for ~ny position, rccog. _ Each orga::

1 : 1 change over time 35 the organuat1on change s us strategy or faces

niLing th

at its g bor or :oduct markets. These goals should be based on ~he priorities O(lhc chang.cs rn its l:J.well a5 ~he needs or the hi ring managers. Table 1-3 contai ns some key quC$- ~~~:n~:~:;c~ and human resource personnel need to ask themse lves before setting strategic st

affintfi:. 1 ;-11 or not, planning the ·'chum" of empl?yees can also be .~n ? rganiz.alionat g011.

In some cases. part icularly when technology is changi ng. rapidly, _orgamzatro~s prefer a stc.iy ~u I of new hires whose skills are as current as possible rath~ r tha~ con11nually rtlraining ~~:!listing employees. If the skill sets of employees who ha\'e been with th~ company forsev. era/ ,·ears become mfenor to those of new hires. planning for regular churn 1s a bcuer strategic choi~e. For e,:11T1ple. a small software de velopment Jinn that docs not have a lot of money 10 mvcst in lr.llmng might pl:i.n to replace most of its progr:tmmers every two to four years and offer two-year contracts to tis workers. Other orgam,.ations, like SAS, the world 's largest privately held fiw:ire company, value long emplO)'ec tenure with the company and prefer to invest in ongo~:g employee de\·elopmcnt. If buildi~g marntaini~g cus1omcr .relationships is i~por- tant. if unique organiz:monal knowledge 1s cn11cal for gcnrng the firm s wor_k done, or if the company plans to develop its future leaders from wuhin, then a more appropnate staffing goal maybc a reduction intumo\·cr. . .

The goals of the lion' s s1afling effort should also be consisten t w11h the goals of the lion 's other stakeholders, incl uding the individual hiri ng managers to whom new hires wil l report. Each \\ Ork group and supervisor differs with regard to the type of person wanted to fi ll a job. Identifyi ng lhest differences is important. One of the key roles of the recruiter 1s to partner wnh hiring managers 10 assess the ir underlying need s in thi s regard. For example, if a Jinn 's Web si te development function is being outsourced , then hiring someone with Web s11e deve lopment skills might not be what the hiring manager rea ll y nceds-cveo J( an employee with the-st skill s has left recently. As we have said, jobs change, and the talelll mi.,cs of work groups change. Because hiring managers don' t a lways recog nize ehangins talent needs or know "-hat they need in a new hire . 1hey should sec recruiters as partners ii lhisprocess.

The ultimace goal for a staffi ng system is 10 hire people who can perform well, contribult to the executmn of lhe company's business strategy, and increase profit s. Doing so as quickly a possible and e,:pcriencing a good rccum on the lime and resources in vested in the statli ng effort are also importanL Staffing goals should be identified in the early srnges of staffing planning, and the staffing sys'.em_ should be evaluated to ensure that II is meeting these goals. (Evaluatins thcstaffingsystem1s d1scusscdinlhe next sce1ion.)

Many resources exis1 lo help staffing professionals slay current and infonned. This chap- ter's De\elop Your Skills feacure lists several lnccrnet staffing resources.

Ev~luating the Staffing System

~i:~ng ~~goals of a s_iaffing efron di rectly lo the evaluation criteria the firm will use in as¢ ta;i g:;1 ~;: ;

st em is key 10 its \ uccess. For example, 1f filling posit ions quickly is an impor·

' c time u Ilk.cs 10 fi ll each position shou ld be trac~ed and cvo.Juatcd for each

rtcn.11u ng source. Hov.evcr, 11 should be rccogn1 Led that fi lling posumns quickly may require tile recrui ter to rnak~ a tradc:off against the quality of the 1ale nt pool that will be quickly acccs- ;;it,lc !frccru1tmg l11gh-qual 1ty applican ts is an important goat, then the quali ty of recruits from differen t rccn1111ng ~ourccs ~hould also be tracked and evaluated. Because a finn' s staffing goals should t,,: closely aligned with the organization's business strategy. ,ti s 1mponant to evaluate the ~cJtli ng system 10 be sure these goals arc being met.

INTEGRATING THE FUNCTIONAL AREAS OF HUMAN RESOURCE MANAGEMENT In addi11on to layi ng the foundation for a firm's strategic e!lecution, staffing impacts the cffccli\eness of the other human resource management practices within the firm. Because the various functional areas of human resource management (e.g., staffi ng, train ing. performance management, and compensation) interact with each other,?9 getting enough people with the right qualificat ions and competencies to apply for jobs wi th the organization in the first place will impact these fu nctions. That is, the firm 's ability to train, motivacc, and retain its employees will be affected. Therefore, it is critical for al l human resource functional areas to be aligned v. 11h cachothcr.30

When Roben Eckert became CEO of toy giant Maucl, he developed a staffing and wor~- forcc management strategy that supported the company's new strategic objectives of improv- ing productivi ty. globalizing and extending the firm' s brand name, and creati ng new brands. His goal was to change Mattel' s culture 10 motivate employees to work together, gi\C them more discipline, and improve their skills as well as their internal mobility and retention . Eckert did 1his by creating employee development programs that would generate a more skilled and cornpcti1ive workforce , establishing metrics to understand how the workforce was performing, and deve loping a systematic succession strategy that wou ld enable the company to retai n the valuable talent it dcveloped.31 "The institutionalization of people de\·elopment is what I would IO\'e my legacy to be," Eckert said, •·so 1hat nobody necessari ly remembers who I am, but that there 1s a people development machine that lives on forcver.''32 Today. r-.faucl' s staffing, performance measurement, and training programs suppon each other and rein force the firm 's corporate goals, 100.

If c,·en a single fu nctional area reinforces goals that arc diITercnt from the other functional areas, executing the company's strategy wil l be much more difficult. Let' s now look at the other HR funct ion) and how they are affected by the firm' s staffing system.

DEVELOP YOUR SKILLS Internet Sta f fing Resources

Ch:ipll'f 1 • StralcgkStaffing 13

The Equal Employment Opporcumty Commission (www eeoc gov)-prov1des 1nfom,at1on about the laws enforced by the EEOC and compliance guidance Electromc Recrurtmg Exchange (Y."NW ere net)-has information and articles related to recruiting .ind employer branding

Sooety for Hum.m Resource Management ('NWw.shrm.org}-provides articles and other resources on st.iffing including Staffing Management magazine articles 5taffing.org

Human Resource Planning Sooety (http://hrps org)-provides information , publications, and resourc- e~ on st.iff1ng and t.ilent m.inagement O•Net Cemer (http //onJ1ne onetcenter.org)---.:1 government site that provides l.ibor and occupattonal market 1r1format1on useful for doing a Job.inalys1s Corporate Executive Board's Recruir,ng leadef5hip Counol (www recruit1ngroundtable com}-prov1des Information, best pr.icllces. tools, metrics, and networking for recrurt1ng executives

(www.staffing.org)-has info rmation and resou rces about staffing processes, practices, tools, and metrics Workforce Management (http:/tworkforce.com}-<onta1ns articles and resourc~ on staff· ing and legal issues pertaining to staffing World at Work (www.wortdatwork .org)-a not-for-p rofit professional association foc using on attracting, motivating, and retaining employees

14 C'h.Jr(.Tl 0 Srr:11~1d uffi~

Training at new hm:s arc read) and able to be nefit from the organizatio ' Strategic ~tJffing c11~urcs th , T 111118 15 often cxpcns1\'C; therefore, one of the first th '

0 I tr111mng and dc\'clopmcnl program~- g strategy 1s to decide 1\ hcther new hi res should al ings to ron~1.kr m icmts 0~ Jc,cl;~:"!:

1 :::,e ;~y 31'C hued or whether th_c finn will hel "Cldy

:::~:~~; 0 ::~::n;;nJng. If ihc staffing func tio~ fatls to h'. re candidates

,thcm may bcanorg.inw111on lllC qual1ficatlll~~ t~n;; need

10 posse~s at klSt chc minim~m i uali_ficatio?s and moth• .

to tr.}J.n ns_ne '-' .h:J7n\~~inmgorthceffortJS likely to be f~tile . 3 _ It 1s also important to~

n~"---dcd to ~ucc«d d stay wuh Lhc company. Tra1mng might not be the right cho n. ufy ho'-' long cmplo~::s ;nort:n1lat1on t,cfore 11 recoups the co~\ of training them. For exa:c tf ::0~:,; ~n~~cl:umoverra~esapproachmg 200 percen t. If a rctJ.Jlcr wants to i?vcst signif.: time and rcsoU/'\."eS tra1nmg JIS ernplo)e<S, 11 shou ld focus on 1~en1~fymg and hiring employtts "'ho arc hkdy

10 rcmJJ n with the ocganiiauon 10 recoup 1IS trammg rn vcstmcnt.

Compenution The k"cl of pay an NgJJ1JL.:1Uon is " 'ilimg and able to imcsl m s:'laric_s can both detcnninc aad t,e de tennmcd b.,. 115 ability 10 hire people with the ncccs~ ~u:llt~c~tmns. If an orgamzation is wit/inc 10 pay ~mium "' ages, its s1afting effort can focus on 1dcnt1fyrng an~ atlraeting the ltl05I qw.hfi-00 candidates. If an organi,auon would like to pay lower wages, but is u~ab_le to hire the C3Ildid:ites 11 "·ould like at 115 pn:frrrcd salary levels, then _11 ma_y _be forced to raise us salaricseo be compcUU\'e rn Lhc labor mar~et or to make inrestmcnts m ~1~rng and dcvelopm~nL \Vfltn the labof supply is ught. the finn might need to increase its s:ilancs JUSI '? be a?lc t~ hrre candidates "ith mmimum skJ II bets and qual1fica11ons. For c.,amp!c, professors m cngmecn ng and business an: able to command higher wages in tc.:!Jy's market because there is a shonage of people with the quJ.lificatmns they ha\·e. If higher pay is not an opuon, recruiting from nontraditional SOW'cts migh1 allow the organ11ation 10 01crcomc its compensation challenges. For example, Grocery chain ShopRl te hlS hired hundreds of 11:elfarc recipients who went through a 16-wcck program 10 acquire the skl!ts required ford1 ffa cntJobs in its stores . .u If hiring from nontradi tional labor pools 1s unsuccessful. automating the JOb, rncreasing the training the organization provides its employ- ees. or reducing the requ11td qualificauons of new hires may be the only altema1ivcs.

The success of incentive pay programs can also be influe nced by hiring outcomes. An or_g:i.m.iauon that wishes 10 moth ace its employees to be more producti\·e by using a pay-fcr- pcrfonnanct or ment pay system wrll not be able to fully leverage its programs if the skills of the workfort:e arc lackmg. Pcrfonnance mce11tives arc only effecti ve if !he indi\'iduals ha\'C the poccnual 10 pcrfonn v. ell in the fi rs t place. Ensuring that new hires have the po1cntial to succted 1soncofthcprimarygoa/s ofstaffing.

Consider an organ1z.a11on th.:it has developed a comprehensive merit pay compensation system. The organ11:111on pays emplo)ees an abcl\'e-market base salary. plus up to a 20 percent bonus if the) mee1 or exceed thei r pcrfonnaoce goals. But suppose the labor market is tight, so the organizatiOII hires se,·cral new employees v,ho do not have the skills or experience to perfonn at the expcctol bcls. In this case, their pcrfonnancc IC\'C]s will not be consistent with their above-market b,isc compensation. They also will cam no bonuses, \\hJch will tend to cause them to further underper· :~:~ ~~,: ~i:;i~uall~n, organuauons need to assess t~ availability of t~cir sought-after oom-

. . arkc1 and use rccnutment and effective se lection practices to ensure that new ~7t\~n\i:!cdfiu~~:~:Jlls. background, and ~otiv.ition so the Ji nn' s compensation system ~-o,ls

1 s not a!w:i.ys the best stra~ no

1

1~• too. lhatpaymg l~pdo!Jar to hire the highest.quality candidlit:S difference between avera e!d s the company t ~al!y need top talent or 1fthe perfonn_anct the grcatcrpro,Jutii\·it o1thc m::: pcrformcrs 1~ aJob_1s not that great. In other words, someu~cs For uample does e y

1 . 1 talented :i.pphcants rs not cnou£h to offset their higher salanCS.

· icry emp O}ce in :i. research unit rea lly need a PhD?

Performance Management

Pcrfonnance management lll\·olvcs scum . . . nt pcrfonnance, and providing suggestions i g _goals, appra1 srng and evaluating past and curre 5 '-'l ll be unable 10 adJust thei bch . · or rmprovcmcnt. Without this infonna1ion, employee

r avior. Siaffing mJ1 uenccs the effect iveness of a performance

manai;cnicnt system by providing the raw talent that the system will manage. E\·cn the best pcr- (cll"lllJncc nrnnagcmcnt system cannot replace importan1 cap:i.bilitics th:it employees mu.st have co Jo ihcir jobs well.

Conversel y, performance management systems affect a staffing system' s effectiveness. w,ihout performance goals, employees will not know wh:i.t aspects of their Jobs to focus on nor the pcrfc,nnancc lc\•cls cxpcc1cd of them. As a result, they will tend to undcrpcrfonn, and some 11 111 quit or need to be repl.'.lced, potentially bogging down the staffing system . E"c n if highl y talented employees are hired, they won' t pcrfonn at their best if they get no or inaccurntc perfor· manec feedback: If they perc:ivc thar the feedback they've been given about the ir pcrfonnancc

15 unfoir, they will not be moti vated to conlribute as much as they could.

C•reer Development and Succession Management The fu1urc success of any organization depends on its next generation of leaders. An organiza- tion ,s likely to noundcr and perhaps even go out of business if it is lacking qualified successors to manage the business after the inevitable departure of its current leaders. When Yahoo!'s chief technology officer Farlad Nazem announced th:i.t he was leaving the compan}' there was imme- diate tn\'eswr concem that the company might not be able to retai n key 1.alcnt. 5 A. G. Laney was asked to come ou t of retirement to resume his posiuon as CEO at P&G when his replacement unexpectedly retired without a successor.36 Succession managemcm and career development ac1i v111cs can help 10 ensure that an organiz.ition has people re::idy to assume leadership positions "hen they become available.

Staffing practices can inOuenee and be inJ7ucnccd by an organization' s eareerdevelopmc nt acti\•111cs and the career advancement opportunities thal exist in the company. An organization unable to offer employees opponunitie.s for challenging work and career advanceme nt is likely to ha\c a low job offer acceptance rate. In addition, high-potential new hires who do actually go 10 work for the company arc likely to quit sooner as a result of their being overqualified and undcn:hallcngcd. This might prompt staffing pcn.onnel to recruit less qualified individuals who arc less likely to quit but who may al so be lower pcrfonncrs. Obviou~ly, this is an even larger problem if the people being hired for current jobs arc intended to be the employees upon whom the firm focuses its succession efforts. So, if the fim1' s current hiring cffons fail to produce employees with the potcntiiil for promotion, the organization's future leadership capabi li ties arc likely 10 be compromised. Thus, organizations that rely on mternal r\."Cruiting and promoting as p.irt of their succession plans need to consider the long-tenn potential of candidates they hire from oubide of the firm as well as the ir ability to pcrfonn the jobs they're currently applying for.

THE ORGANIZATION OF THIS BOOK This book is broken into fo ur scclions. Section I, 'The Staffing Context," contains Chapters I through 4. In Chapter 2, "Business and St.affing Strategics," we discuss how the organ iL.'l- uon's business i, lratcgy and competitive advantage influence the organization's human resource strategy and starfing strategy . We next discuss how to design a finn 's staffing strategy to rein- force llS busmc~s stmtegy. Chapter 3. "The Legal Context.'" describes the legal environment in 1\h1ch Maffing must operate . Laws and regulations play an imponan t role in determi ning how an organi,alion recruits, hires, promotes, and tenninatcs employees. Barriers to legally defensible recruiting and hiring arc also discussed . Chapter 4, "Strategic Job Analysis and Competency Mcxlcling," (overs job analysis, job rewards analysis, and competency modeling. To identify the best pcr~on to hi re, the job and its role in the execution of the business strategy must fi rs t be understood .

Scc1i on 2, ''Planning, Sourcing, and Recruiting,'" explains how job applicants arc identi- fied, attracted, and recruited. Planning is the first step in the strategic staffing process. It invo]\'CS Cl tmiating the numbers and types of employees the company will need based on its strategy, what the hiring tuncline is, and what the fi nn 's staffing budget will allow. Because people who never :i.pply for a position cannot become employees, sourcing and recruiting qualified and interested apphcanN arc the nex t critical steps in the strategic staffing process. Chapter 5, "Forecasting and Planning," describes how organizations transl111c business forecasts into future labor demand cs1tmatc~. Labor supply forecasts arc then compared with labor demand esti mates to identify

Ch3p!crl • S1ratcgic S1afting 15

16 Qur<cr 1 • S1r.11~ 1C Sutllng -J~ to focu) :iucntion to ensun' 11 has the nght talent in the right 11,herr thi: organuauon ":cs for forcca:,ung labor supply and demand r1:s.cnted io this :h~ :it the nght umc. Te<hmq . he lannmg of a recn.ullng and hiring 1nuiati\·c. c~--i>- tcr We also d1~u~ issues n:}1~~i~uss~s applicant sourcmg, or the identifi cation and 1 -soun:mg: ldcnuf)ing Rccru .. focu~s on gc1Ling the people 1dcnu fi cd through so ~Cb.ng of m:rwis. Ch:iptc1::~:~:;~:~1 JOb offers if extended. urc1ng to

Summary

:apply to the 011:~. un, .. co,crs the as~ssment of Job cnndidatcs and the cvaJuatio Sccuon J, Se:~ ~\nization. Chapler 8, "Measurement," describes some of the i; o(

1~'.r fi 1 ~ " 1!n~~ja~~ as~~cnl. We also present basic ~1a ffing•~clatcd .. s1~1istic11J concepts~

~g:ini g understand wa,·. Chapter 9, "Assc.ssmg fatemal Candidates, discusses meihods =i~;~he qu:ililicatio~s of people who do no1 currently work _ro_r the~ com~any. _Chapter,: "Asscssmg lntem:il Candidates," covers the me_thod~ used 10 as~c:>s quahfica11ons of cur. rcnl cmploJC-CS bcmg considered fo r other posmons m the linn, mcludmg career planning 111d

pcrfcw;;t~g~:~;r~!-g invol,·cs the mo"cmen t of employees i_nto and throu~h an orga11.11.a,. uon. Sccuon -t ~Managing the Staffing System," co,·ers choosing who_~ to h1_rc, negoliatini the employment contr.1ct. and soc,alitmg new employees. Chapter 11 , Choosing and Hinng C;mdidatcs." descnbes the process of deciding which Job cand1datc~s)_ should ~c~civc job off en and subsequently ncgouating those olTers. PersUtJdmg Job-offer rec1p1cms to Jorn -~e. company and negouaung hm ng agrcemcnlS with them is an 1m ponant pa~t of talent acqu1s1uon . If the nght people apply to an organization but ult imately tum down JOb offer~: the staffing effon cannot be consukrcd effecu,c. Chapter 12, "Managmg Workforce Flow. covers socializiq new hm:s, di/Tercnl causes and types of turnover. and methods of rctai nmg valued talcnL Jt also discusses tcnmnauons. downmmgs, and layoffs. In Chapter 13, "S1affing System Evaluation and Technolon:· we descnbe the ways m which many organizations arc leveraging technology 1o enhance their s1affrng systems, the imponance of cvalual ing a staffing system' s effecli\·cneu, thcsbflin_!!sys1cmevaluat1on process,andspce11icstaffingsys1cmmctrics.

Improving Store Performance at Caribou Coffee37

C1nbou Coffi:c wanted to know 11.hat accounted for the differcncl's ,n a,·eragc slorc performance fer ns d1stnC1 m:JJ13gcrs h assumed tha1 ruuomer !iCl'\'ice had a lot to do with 1t. but wanted to objectively e,-alu:11e 11.hat 1lli bot perfomungd1~rict managm did so that it would know fo r sure and could use this information to impro\·t the fu1urc naffing o( its dinrict manager positions.

Caribou di!,Co,en:d that Hs dmnct man.:igm' .1111Js did I ary. Some Y.Crc really customer focused. as !! e.,p,.-ctcd. Bui tM.ules figun:s of those stores 11.erc not alwa)S the best. Caribou disco,·ercd lhatthr most 1mportantdis1nct manager competency v.as his or her abi lity 10 effocti\c ly staff the store m&n!lfCI' position. When a di.11r"ic1 m3nager took the time 10 find the best replacement for a store manager instead ~,:1:;Jtic:il!y promOtJng the .1hift supcn'i.wr with the most 1enurc. the results had a strong impact on

Caribou's 3b11i1y to show iu distnct managers concrete evidence that hmng the right store man• agmposiui·eJy1mpamsaleshasbcencriticalinfocus1ngdi.11ric1managL·rsonlhecarefu l staffin1 of IIS More manager pos111ons. Nol only ha1c sales incrrased in the pre1•iously underpcrforming ~:~e~~:!:::'. man3gers appreciated the informauon and assis tance as l\ el1 in improvlng their

Stratq!ic staffing IS a compb process of planning. acquiring, deplo~ing, and rctam ing talent th at enables the organization 10 mc_c11tshm ngobJecti,esand1oexecuteitsbusincssmatc l!' Thi s process supports t~c ~0\'emem of taleni into, throu8~: and out of the organtrn1on in a way that rnables the organi- LJt1on to compete successfully m its marketplace Because an

org_a?ization's people arc l'Cntral to its developmen t of a com· pctlli\'C ad\'antagc and the execution of its business strategy, Mralegic ~ecrui1mcn1 and staffing ac1iv 11i cs arc a cornerstone of organ1zat1onal cffcc11vcness.

A stra,cgic staffing effort foc uses on first unders tanding lhc organilation's m1s~ion and obJct·ti vcs as we ll as its business

str11 tcg) . Subseq uently, L?e nature and rcquircmcms of the JOh arc 1Jcnt11kd and potenti:i l recruits who arc hkely 10 meet or ~- , crcd the mm1?1um personal n~d technical rcquiremen1s of ihc pas1uon arc 1Jcnt11icd. Rccrumng th~n focuses on attract- ing these people to apply, retnmrng quahlied applicants in 1hc

Takeaway Points

1_ Stafling is cnucal 10 an organm:uion's performance because it is the means through which the firm nequires, deplo)'~, and relains thctalcntnCWed to execute itsbusincssstrategies andpcrform 11.·ell St.iffingisthecome~toneofeffcc1i1·ehumanrcsourceman- agemcnt bt'causeitgenerates thetakn11hatissupportedand fos- rcrcdby:1company'sotherHR functions.

2,S1r:itegicstaffingis thc processofstaffinganorganizationin fu ture-oriented, goal-directed wa)'s that suppon the org:1nita• tion's business st rategy and enhance itseffccti\'eness. Strategic ~iaffi ng mo\'es people into, through, and out of the org:1niza- uon in ways that maximize the organizatlon·s performance and abihty 10 compete. Jt rrquires long-term plannmg, as 11.'ell a~ aligning the s111ffing funct ion with the fi rm's business stnuegy and the other areas of HR. Strategic staffing invoh·esassessing the labor market. targeting recruiu, assessingeandida1es based onjob-rcl:1ted success factors and the candidates' longer-term po1rn1lat. ande,·:1lua1ing staffingoutcomcsagainstprcidenti fied goals.

Discussion Questions 1,Relateahiringexpericnceyouh11vchlldasajob!>eeker10 1hcpro-

cnsi llus1ra1edrnFigure 1-1. Whatcouldthcorganilalionyou nppliedtoha,edonetoimproveyourexpcrienct'1

2. A\sumclhat )'ourorguni zation "antsto pursueasraffing s1r.11egy of acqui ring the best talent possible. Give an cumpk of how the lirm's ah1h1y1o provickonlya,·erage pay can affcct1he sur:ccssof th is staffing strategy.

3. Why is mffing so important to ston· pcrfonnance as d1~russcJ in thcchnptrrvignenr?

Exercises I. S1m1rn E.ierc ,sr: Workrng alone for fi1·e minutes. takr notl's

about how )OU might design a staffing nowchan fo r your own job. lf Jou hJvenoworkexpcrience,chooseajobwi1h11hich you JrcfJ1mliar.Nrx1,for111 agroupofthrcc 1ofours1udcnls. chomc oncof lhl'Jobs just ldcntificdby yourgroupmcmbcn,unddcsign a staffing nuwchan for it. Be prrpared 10 .1hare your idras with thr cl J~~

2. Opr11mg V1g1u tll' E.urciu: Thi s chaptrr' s opening vigne11c described how Caribou Coffee discovered the imporrnnce of ra rcfu l!y uarfing itsstore manager pos it ions. Working in ngroup ofthrl'c to five studen1s. address the fo llowing ques- tion~ Frrl freetouselhe ln1eml't or other resources if you nrrd add111onal informalion. Be prrpared to share your ideas v.·i th 1he cla~s.

Chap1er I • Srr:uegicS1affing 17

candidate pool, and finally on enticing the chosen ca ndidat~s 10 uhimiuely accept JOb offers. Effons arc then made to rctai_n valuable employees. Th is type of strategic staffing ~ffort 1s hkcly to produce a greater proportion of successfu l hires and a greater proportion of higher-performing employees as well.

J. The SC\·en components of strategic staffing arc planning. sourcing. recruiting. ~lectmg, 3cquiring. deployi ng, :ind rct:uning talcnL

4. The ultimate goal for a staffing system is 10 hire people who can perform well and contributctothrcxccution of the company"s business ~!rategy. Doing so as qu1cl.. ly as possible and experienc- ing a good return on the time and resources invested in the Maffing effon arc also important. Other staffing go;ils might involve the quality of new hires. 1he1r retention r'Jtes. how quickly opcni_ngs an:fillcd,1hrcompany's rctumon1hctrainingnewhircs rect:l\'e. and the promotion rates of new hirrs. Staffin g goals should be identified in the early stages of ~taffing planmng. and the staffing sys1cm shouldbee\'aluatedto ensurcthat1t 1s mceting 1hcscgoals.

5. Staffingbothinnurnccsand 1saffcctedby pcrformancc manage- mcm, tr,11n1ng,andcompcnsa1ion. Staffingpracticescan innucncc 1hcoptionsa,ailJtile toandtheelTec1i,·enc~s ofthcrcs10fthchuman rc\O\lrce functi on. It is critical that the goals and prJCticesof:i ll of the human resource fuoctional arras be in alignment with each other insupport ofthcfirm's humanrt"sourccandbusi ncssstrategics.

4. RccruilinganJ sclcc tion arcinterdepcndrnt. t" o-way proccsscs in which both emplo)·ers and recruits try to look appealing to each other while learning as much as they can about their potential fiL Impression management is the process through which people nnd rmplo)'crs each try 10 control the impression.1 other.i form of thrm llow do applicants and employers try 10 look appealing to each othcrdunng lhc stafn ng procc.ss"

S. If your CEO asked you why she should in"est more money in thr organization's staffing systems, what would you tell her'!

11. Descnbc three staffing go:ils that would rclnfor,;e Canbou"s dcsi rc 1o hirc1hcbest storc managcrs

b. How else can Canbou CoITee ensure that its staffing strJttg) for store m;.inagers is 1ntcgr:ucd wi1h thr firm's other HR func- tional area.<;"

J. Dew•/op Y1mrSl11/s farrnsr · Visi t W\\Wonet(>n line.urg/slllls/ fo r O*NETOnLinc's "'Skills Search" fcaturc. ldcnt1fy thr skill~ that you ha\'r and the ~kills that you pl~ to acquire in 1hr next two )Clll'S :ll1d cl ick onlhc "Go"bu11 on. Ncx1,choosronl'oflhcoccupatzonsth:Jt mntch the skills you identified Srroll 10 the bouom of the summary report and identify a statl' in the "State and Nmionar· M'Cllon. Chck on the''Go" huttoo and reailthecx:cupation profilc. Vicw 1hccarccr video if one is provided Wntc 3 onc-,uge rrpol1 des1:ribin!! how yoo think th is rcsoun-e could be used by q~ffing prob~iorols.

18 Ou.pier I • S1r.11c-~c SUJTi.ni,;

CAS[STUDY '

STRATEGIC STAFFING AT ATLAS CORPORATION Apphcat1o ns p:i~s1ng lhc mJt1al ~crcc n arc invi ted

G r.lphlc T -sh1n rom p.Ln) Atl:u Corpor.iuon kno"~ thm cu· - c-uung its g_rov, th s lr.lleg) depends on promoting from w11h1n. ,\ tbs ~ he, e:, that its ~offing ac11v1ues must obtain taknt obit' 10 d1l the Job being filled 11nd wi th the potential 10 ad,·ancl.' mm m .1J1 J.gcmen1. Bc\.--ausc 11 tends 10 rccr1,c a lar£1.' numb..'r o f :ippl1c:111ons for its job oixnmgs. Atlas mu~t al•o proass a l.ll'F(' num N:r of :ipplican~ for C\'ef}' open mg and "ant:. to do so :is ,dlie1cntl) a,,, JXb•ibk

a ickphune in1erv1ew w 11h a rec rwtcr to a s sc~s bas ic . to rt"la1ed compc1cne 1e s. The to~ 10 candidates arc then 10 inter, 1cw fa ce-to-face wllh another rccrui1cr 10 flsse Cd ihctr fit v.uh At las's c ulture and to bcucr assess job- 1 ss skil l~ and compct,..nc 1es. The IOp scoring 5 candida~ &led then in vited to intcn •1cw w ith the h iri ng manage/

5 ~:

makes the final dl'C IS1on on who shou ld receive II job offer_ A background check 1s 1h,.-n performed a nd ir it is p A tl a.s decides th.J11t wants to cap11.1!1LC on the trend of usmg

:,OC1Jj mcd1.1 to soun.--e and recru1L The company opens :i Twitter 11r.--count and :.Ur1S Tv,e\:ung lls Jo bopcmngs 10 p,..'Oplc follo '>lmg

1 the comp.in} (genc:r:i.11) customers hoping for discount offers). h al>O posts 1t:s jobs on ~fonster.com, a large and popular JOb bootd. to try 10 ma.tun1Le the number of :ipphc:iuons. When Job seekers :ipply fOf" gr.ipluc dc51gn positions. the) first comple1,.- .!UI onlioc app!Ka lion. and the infonn:mon is sent to a d::ltabase. A rttn.uter 1s 1mmed1:udy ~nt any applrc:1t1on~ that p;i.ss :in mi- u.:il competency screen Within ::i few d::lys . the recruuer e-m::i.ils the c:and.Jd:ue requesting a =pie ponfolw of hi s or her work.

of the sue of the files. the portfol ios are oflen rcJected by rccn11tcn; · e -mail !11,.,:ounts and the candidate must fax thc documents as Atlas has no cloud s to r-Jge mechanism. Due to the W}?c num~· r of apphcauons. those not pas.sing the 1m11al SCIT<..'n remain m the database unv1e'>l l-d and an: not contacted m any .,.3~ by lhc compan}

Semester•Long Active Learning Project Th.is proJ«l ":'IU enh.lnce your :lIUJ)'t1 cal sl.:Jlls and allow )OU to appl)' th~ concepts LD this 1c1tboo~ IO a reaJ. v, orJd situation Your projec1 1C3m v, iJJ !,dec1 an 0~11.s.uon abou t which )OUr team~ some inter• est or blov. ledge lt'ld a.bou t "' h1ch you can acqui re addmonal mforma- tion .. The goal o( )OUI repon 1s IO al ign the staffing S)Stem for a l.:ey posmon m this orgaml3Uon "' 1th the orgaruu 1ion's bus1n~s sar.itcgv Your team v, ll l analyze how effecl l\ ely the target o,ganwlllon 1s staff. 1ng a l.:ey pmlUon and make recommcndauons for impro,·emcnl At ::~.;~;~p;:;~c::t;;;men1 requiring you to apply that

t Your l'?'pon should t3ii~t the company's e:<ecuu,·e nunagcmenl cam Your Job JS IO pcnu.lde them that ) 0Ur recommcndmrons \lo' t!I

/e:id to a pos1u,e retu rn on rmc~tment (ROJ) fo r the firm and bcner enabk i t to C-.\ t'C\JlC IL'I bu,mcs~ Sir.liq?)' AHume that the team doc~

then a Job offer 1s made. If a c andidate declines the o ff, llSSCd ne)( I highest scor ing candtda te receives a background :~: and a job offer until no 11cccptablc linah s ts are left. Adas e~11/uates the effecu,enc~s o.f every s ta~ling effort by evalu. atmg the nun~~t of apphcat1o ns 11 received. the time it took to fill the pos1110n. ::ind whether o r not one of i1s first iwojob offers v. ere accepted

Questions

I. ;~~,:~ 1 ~sali; l:1s d o ing we ll w u h regard lo staffing

2. How could Atlas s taff Its g raphic des igner pos itions more s tr.1teg1ca!ly?

J. What would you s ugge st Atlas do to further e n hance the ahgnmcn t betwee n its s taffi ng function and its need to promotcfrom...,11hm ?

____ !

Your 1usk the firs t '>ICcl.: is to form teams of four 10 fi \e sw- dents, exchange comact informntion. am.I brninMorm jobs that at least one team member h::is access 10 Jt can be a job one of you current.Ir holds or has held in 1he past . o r ::i J0b a fa mily me mber or fri end his. .I deally, }OU will need about J O minutes o r urne fro m a person v,ho currcmly v, orl.:s or who h:lli \\ Orkd in the joh and JO minutes of bis or hl.•r ~upenasor's ume If ) OU can no1 get the super,·isor to pamci• PJ.te, tomg one or 1v, o current ur pre q uus jobholders is acceptable. Before Jeavmg class. you should id1·nt1 fy a t least two positions tllll ) Our group wou ld hkc 10 use for the pro1ect :ind choose one to pursue. Before the ne.,1 class, )OU should confirm th:it )OU will ha\'C aixess to the Job e-'.pcru and rnl1d1fy the Job :ind organi1a1ion your 1cam wiU uscfortheproJcct.

You will ::i.lso need 10 idemify re.1hst1c long-tenn :ind shon•leffll :~:~:u~ ~::t!ct~:t~:!c tcrmmoJog) As a result. }uu v,h:it )OU nre rnmmunicat,ng rwn can e351f) undentand ~:~~e~~r°::7;:;J~~ ~~:rnOnU; ;~~~:.'\:rl~j~~~/;~~e ~j~!SJi):

~oml.' questions 10 consider in ~cuing appropn ,ue s taffing goals.

Case Study Assignment: Chern's - Sec the appendJ:\ a1 the bJd of the boo~ for Ul1s Cas<' study a.~•1~nrnent

fndnotes ! "Comp::iny Info rm ation Our Story:· C,mbou Coflu, 20 13 .

hllp.//wv.wcnnboucoffccconl/p:1ge/l /cornpany-info Jsp Hcidc. C . and Sc\ y, IJ... 'The Key to Competency Success al Cnn bou," Ta/t'tll Manag('m('rit Maga:m, . March 2010: )8, "Cari hou Coffcc- C~ Study ... lmu D) n RMI. 2010, http '// "'" "' intcrdynbmi co m/nles/e aribo ucaseM ud y_000 pdf: "D1stnct ~tanager," Canbo1< Coffu, 2010. hllp //www.c.::in bou • coffcc.eom/pagc/1 /dis trict•managcr.jsp

3 .. More than Half of Comp::inies in the Top Ttn World Ecooomies lfa\C BC('n AffC<'ICd by a Bad Hire. According to CarccrBu1ldcr Suncy." CarccrBuildcr.com, May 8. 2013 . hnp.//www.carecr- bu1ldcr com/share/aboutuslpreu relcascsdctail.a.spt'!sd=5'k2F8 42F2013& id:pr757&ed"' l 2<:f 2FJ J%2F201J.

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Chapter I • S1rmcg1cStaffing 19

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