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Assessing Cost-Benefit and Utility in Selection

Resources Required in Manufacturing Jobs

Costs 

Boudreau et al. (2001) explain that job search and separation have attracted significant research because of their importance in staffing. In this case, there are costs associated with personnel collection or hiring. Job vacancy advertisements are estimated to take a significant amount of money depending on the type of media used. Online job boards are believed to cost hundreds of dollars, are less costly than print media, and are estimated to be around thousands. Likewise, pre-employment testing for this type of job will likely cost approximately fifty to a hundred US dollars. Conducting background checks for potential candidates is also an important process and could cost between 25 and 75 US dollars per candidate. Another cost that needs to be considered during this process is interview expenses. This will likely include travel costs, especially for candidates living in faraway areas. It also provides time commitment from hiring managers and HR staff.

The Personnel

Any company seeking to recruit new employees must have enough workforce ready to see through the entire selection process. For instance, a company should provide an HR team comprising two or three members to conduct initial application screening. They must also perform resume reviews and coordinate the entire selection process. There should also be at least two or three department managers or supervisors per opening to conduct the interviewing process and practical assessments.

Time

The entire selection process is estimated to be between two to four weeks. For such a period, job posting and application review provide enough time for the remaining processes, including interviews, testing, and final decisions.

Benefits and Drawbacks of Each Component

Application Process

Benefit

This is essential for initial screening, considering minimum qualifications, education, and experience requirements.

Drawback 

There is a high probability of missing out on hiring qualified candidates because of keyword that matches limitations or applicant tracking system (ATS) parsing errors. According to Peicheva (2022), ATS may fail to offer reliable insight into the application process. However, this could be changed when applicants, recruiters, and recruiters collaborate to help complement the quantitative and offer enough information regarding candidate experience and areas they need to improve.

Interview

Benefit

Performing in-depth Assessments of technical skills is made possible in this process. It could also help determine each candidate’s problem-solving abilities and cultural fit by employing behavioral-based questions. This would help determine the best candidate to steer the organization toward achieving its goals.

Drawback

The interviewing process saves time, which could result in negative challenges like interviewer bias or inconsistency across various interviewers.

Testing or Assessments

Benefit 

In this process, testing is important when a manufacturing company seeks to access an individual’s job-specific skills. For example, a manufacturing company looking for a machine operator or a qualified candidate in a related field could use this process to determine if they align with job requirements. Similarly, this process offers an added advantage in determining cognitive abilities, which could help determine if candidates are fit to make vital decisions related to their field of work.

Drawback

Procuring and administering tests could attract significant costs, overstretching the company’s expenses and potentially contributing to adverse impacts if the validation process needs to be done properly.

Background Checks

Benefit

Every manufacturing company that verifies its candidate’s information could avoid negative issues related to employees’ past behaviors in the future. For instance, understanding educational background and employment history, among other information, is equally important in avoiding unnecessary issues.

Drawback

Acquiring a candidate’s background information can be costly, especially without consent. For example, a candidate could raise privacy concerns or legal issues if a company does not handle such information according to the law.

Impacts of Applicant Pool, Number of Openings, and Projected Volume

There is usually a larger applicant pool in manufacturing roles because many people have different qualifications through experience or education. This has enabled different countries to create several manufacturing companies, creating more openings to cater to the high demand for jobs in various fields. Because of the higher volume of applicants in such roles, companies may need to focus on establishing more streamlined screening processes and group assessments or testing (Chapman & Webster, 2003). This is important in the efficient management of the volume and in reducing the time and resources needed for the selection process. Lastly, manufacturing fields are known to have high turnover rates because some people may be willing to explore new roles or environments based on their interests, which contributes to ongoing hiring needs.

Justification for Personnel Selection Process

Engaging in such a process is critical because it balances efficiency and thoroughness. Companies that focus on assessing job-specific skills for their candidates by considering practical tests or simulations report significant results in this process. Similarly, evaluating cognitive abilities testing like mechanical aptitude is an important process, especially for roles that need decision-making. This could help determine if a candidate can learn and adapt to new processes or equipment in manufacturing or related fields.

Another need for the selection process is that performing streamlined initial screening with relevant testing is essential in managing high applicant volumes. Ultimately, by performing behavioral-based interviews, companies stand a better chance of hiring candidates suited for the advertised roles. This process could help determine if the candidate is culturally fit to help the company and others grow, engage in teamwork, and develop communication skills.

Resources Required in Sales Jobs

Costs

Like in a manufacturing role, the personnel selection process in a sales role could potentially attract significant costs for advertisement and recruitment processes. This is the most disturbing process because every sales company will look forward to competing for top talent. Similarly, additional costs could be needed to perform sales-specific assessments or simulations.

Personnel

This process may require at least two to three HR team members and one or two sales managers for every opening. If necessary, the sales company may involve external assessors or consultants to ensure that the sales-specific evaluation process is performed effectively without bias.

Time 

The entire selection process could take three to six weeks, depending on the availability of resources, personnel, and the company’s policy. It is advised to take longer to perform extensive interviews, role-plays, and sales assessments because they could result in selecting the best candidate.

Benefits and Drawbacks of Each Component

Application Process

Benefit 

Conducting an initial screening for all candidates to evaluate their sales experience, ideal industry knowledge, and educational background is important in filtering out candidates who are not fit for the role, thereby saving time and costs associated with performing proceeding procedures.

Drawback

The company could fail to retain qualified candidates with transferable skills from other industries or non-traditional backgrounds when performing such procedures.

Interviewing Process

Benefit 

Performing deep analysis of sales skills, persuasion abilities, communication skills, and general fit in sales culture is very important. This could contribute to employing a candidate who could steer the company towards its goal.

Drawback

Interviewing candidates could be time-wasting, especially when there is bias and inconsistency among interviewers or challenges in accurately simulating real-world sales situations.

Testing or Assessments

Benefit

This process is essential for companies that seek to hire candidates with profound knowledge about the products offered in the market or have the ability to present themselves well to customers.

Drawback

This process could instill challenges like increasing costs of creating and administering sales-specific assessments.

Background Checks

Benefit

The verification process of aspects like sales performance for every candidate could likely contribute to risks or legal issues.

Drawback

This process will likely raise privacy concerns or legal issues, which could affect the entire selection process, thereby affecting the company.

Impacts of Applicant Pool, Number of Openings, and Projected Volume

There is usually a moderate applicant pool and fewer openings in this type of job role than in manufacturing. Moreover, there could be a wide assessment process reported by such companies because of the significance of sales roles and their influence on revenue generation (Collins & Han, 2004). Another impact is that it requires more personalized attention and time commitment for every candidate to help in conducting a thorough assessment of their sales abilities.

Justification for Personnel Selection Process

Personnel selection has proven useful on sales-specific assessments like simulations to determine if candidates could be in a position to persuade, negotiate, and communicate with customers. Likewise, extensive interviews could help evaluate every candidate’s interpersonal skills and determine if they are resilient and culturally fit enough to perform various activities in the sales environment.

Resources Required in Executive Jobs

Resources Required

Costs

Hiring executive candidates is the most sensitive process and requires significant money. For instance, a company may be forced to incur at least twenty or thirty percent of the executive’s first-year compensation during this process. Similarly, companies know that performing background checks for every candidate is necessary and could cost them between five hundred and a thousand US dollars per candidate. Similarly, relocation expenses could be required, especially when a company seeks to expand its services.

Personnel

The hiring company could need at least two to three HR team members. Similarly, a company could need one or two executive search consultants per opening to ensure every candidate is attended to. Unlike other roles, this job could force a company to include senior leadership members who could perform extensive interviews and assessments.

Time 

Extensive time commitment is needed to assess every candidate’s ability to carry out vital processes for the job and steer the company toward its goals, which is critical. This process will likely take two to four months because several interviews and reference checks are needed.

Benefits and Drawbacks of Each Component

Application

Benefit 

The personnel selection process could help in performing original screening, especially in determining the ideal experience, educational background, and leadership qualifications for every candidate.

Drawback 

Missing non-traditional candidates or candidates with exceptional career paths that have not been captured in a traditional application is very likely and could lead to negative outcomes.

Interviewing

Benefit 

This process is important because it would help perform an extensive analysis to determine if the chosen candidate can engage in strategic thinking that could help make quick and relevant decisions. It is also essential to determine if a candidate can lead others better and communicate effectively with senior leaders and board members for the company’s or organization’s best interest.

Drawback

Like in any other job role, time-wasting is very likely, especially if there are reports that the process could lead to possible bias or inconsistency across various interviewers. Similarly, this process will likely raise concerns or challenges when assessing leadership capability accurately in an interview.

Testing or Assessments

Benefit

This process is very important because it helps determine executive candidates’ cognitive abilities, decision-making skills, and leadership competencies, which is critical in ensuring the chosen candidate is well-equipped to perform organizational goals. This could be done through psychometric assessments or simulations.

Drawback

Costs encountered during procurement and administration of executive-level assessments could lead to negative issues if a company fails to validate the process.

Background Checks

Benefit

Comprehensive verification of vital or confidential information could attract legal or reputational risks.

Drawback

Performing background checks for executive positions could attract privacy or legal issues if the company does not follow appropriate validation methods.

Impacts of Applicant Pool, Number of Openings, and Projected Volume

Executive roles have the least applicant pool and openings than other job types like manufacturing and sales. Similarly, it is highly personalized and an extensive assessment process characterized by high stakes of executive hiring decisions (Miyake et al., 2000). Although the number of candidates is very small, there is a high probability of employing the right or wrong candidate.

Justification for Personnel Selection Process

A broad and serious assessment process is likely to be achieved since the focus is to employ an executive employee to ensure that the organization is heading in the wrong direction and performance. Performing a wide background and reference check, among other processes identified earlier, could likely lead to success in hiring the ideal candidate. The process is also ideal in an executive role because the best candidate will bring new dimensions to the market to ensure its success.

In conclusion, striking a balance between the resources used in the hiring process, like the ones identified earlier, and the possible advantages of employing the best candidates is important while reducing the risks and costs of poor hiring decisions. Every company must evaluate precise KSAOs in personnel selection for all job roles. Performing cost-benefit and utility analyses is also important in justifying the ideal level of investment and effort necessary to ensure the hiring process is successful.

References

Boudreau, J. W., Boswell, W. R., Judge, T. A., & Bretz Jr, R. D. (2001). Personality and cognitive ability as predictors of job search among employed managers. Personnel Psychology, 54(1), 25–50.

Chapman, D. S., & Webster, J. (2003). The use of technologies in the recruiting, screening, and selection processes for job candidates. International Journal of Selection and Assessment, 11(2‐3), pp. 113–120.

Collins, C. J., & Han, J. (2004). Exploring applicant pool quantity and quality: The effects of early recruitment practice strategies, corporate advertising, and firm reputation. Personnel Psychology, 57(3), 685–717.

Miyake, A., Emerson, M. J., & Friedman, N. P. (2000). Assessment of executive functions in clinical settings: Problems and recommendations. In Seminars in speech and language (Vol. 21, No. 02, pp. 0169–0183). Copyright© 2000 by Thieme Medical Publishers, Inc., 333 Seventh Avenue, New York, NY 10001, USA. Tel.:+ 1 (212) 584-4663.

Peicheva, M. (2022). Data analysis from the applicant tracking system. Choveshki Resur. Technol. HR Technol. Creat. Space Assoc, 2, pp. 6–15.

 

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