Atwood & Allen Consulting has been retained by Clapton Commercial Construction (CCC) to assist them with their expansion into the Arizona market. We are in the final stages of assisting them with their transition, and the final step is to discuss recruitment and selection strategies for the expansion. We will provide details on how to proceed with recruitment and selection of employees to find the best candidates for their organization. Meticulous consideration and planning of staffing requirements, and the steps involved to find the ideal candidate with the right skill set is one of the most important jobs to perform. Cascio (2013) states that the first step in recruitment and selection is managing the candidate applications and creating a talent pool of potential participants that may be qualified for the position. The following steps include the initial screening, interviewing, selection process, and candidate placement.
CCC is currently based in Detroit and employs 650 individuals. With their planned expansion into the Arizona market, they expect to add 130 employees. Their projected annual revenue is 10 million, with a -3% growth predicted for 2016. They currently have a 20% turnover rate that they foresee will remain unchanged in the next year when they move into Arizona. Recruitment and selection will need to be aligned with the company’s organizational goals. Carefully planned goals provide a blueprint for an organization and keep it going the right direction. Griffin (2015) states that organizational goals assist organizations with evaluating and organizing performance. The functions they serve are: 1) give direction and guidance 2) facilitate planning 3) motivate staff 4) assist organizations with evaluating and organizing performance.
CCC should choose individuals who share the similar values and beliefs to help them achieve their organizational goals. Values are qualities and traits that an individual holds close and represents that person’s driving force (Heathfield, 2015). Develop a mission statement of what Clapton Commercial Construction does and why it exists. Each employee should be able to address the mission statement verbally. The commitment to quality workmanship, customer satisfaction, and on-time completion of projects should all be included when developing the mission statement. This mission statement will be critical for your organization to be successful as you move into a new market. You need to brand yourself and let the market know you stand for quality and customer service.
According to The Associate General Contractors of America, Arizona lost more construction jobs than any other state in the nation in 2014 and the only state in the West to lose jobs. Experts warn that the declining numbers could be the state’s new average. It was reported that between December of 2013 and December 2014, Arizona lost 4,300 construction jobs. This number converts to a 3.4 percent job loss overall in construction (Fishler, 2015). According to Minter (2015) the construction trade is still hovering at the ground level of the 2008 recession.
Following a recession a construction market usually does well, however, Arizona has not recovered and is operating at approximately half of the strength it was prior to the recession. The demand for housing is sluggish now because it was overbuilt prior to the recession, and the population growth has not been as strong. Because of this there is a high vacancy rate and no demand for new construction. However, the latest population estimates out by the States Office of Employment and Population Statistics, and the U.S. Census Bureau forecasts growth ahead. Future growth will eventually convert to an increase in construction workers (Hansen, 2015).
“Diversity should be linked to every business strategy” including recruitment, employee selection and placement, reward structure, succession planning, and performance evaluation (Cascio, 2013 p. 160). There are several selection methods to choose from when looking to hire new employees. Let’s explore these one can see how they may affect decisions to hire. First, there is passive non-discrimination, this method treats all sexes and races equally in regards to hiring practices. There is no attempt to recruit minority applicants actively. This method does not observe the history of discriminatory practices and may block candidates from seeking job opportunities. Second, pure diversity-based recruitment, this is a planned effort by the organization to expand the pool of candidates so that no one is ruled out based on past or present discrimination. And lastly, diversity based recruitment with preferential hiring. This method of selection goes one step further than pure-diversity based recruitment and favors ethnic minorities and women for hiring and promotions.
This process is also referred to as the soft quota system (Farooq, 2011). Atwood and Allen Consulting would recommend the pure diversity method for CCC. The decision to choose one individual over another must be made based on multiple factors. The Supreme Court has ruled that staffing decisions must be made on a case-by-case basis, sex, race, age and other factors must be considered but ultimately the decision to hire or promote is based on the most qualified individual (Cascio, 2013). The United States Census Bureau 2014 estimates Arizona’s population at 6.7 million. The percentage of white alone is 56.7, Hispanic or Latino is 30.3% and African American is 4.6%. Considering these numbers, it would be advantageous to have employees that are bilingual. It should not be required but should be strongly preferred since there is a large population of Spanish speaking individuals and would be an asset to the organization.
Clapton Commercial Construction should begin the recruitment process by posting the available positions internally. When you promote from within there is a positive impact on employee morale. Employees feel the company compensates hard work for better opportunities and can inspire employees to work at a higher level of productivity. Internal recruiting is also associated with lower costs. The HR department can post the position on the intranet and bulletin boards throughout the organization versus the high cost of external postings (Root, 2015). If an external recruiting effort is launched prior to considering the talents, desires and future of the current pool of employees it may cost the organization more money in both short term and long term. Ultimately, for a successful internal recruitment process to occur, strong management support is critical (Cascio, 2013).
After posting the positions, internally it is recommended to move forward with the external process. If there are top management position to be filled, we would recommend a search firm that makes diversity a priority and one with good ethical reputation. There are many external sources that are valuable when searching for qualified applicants. Examples of online job engines where you can post an ad are, monster.com, Career.Builders.com, Indeed.com. Consider posting on the business social network site LinkedIn, Arizona Job Services, local trade publications, and Craig’s list. A benefit of hiring externally is bringing in new talent and ideas that can create growth and development in the organization. Once CCC is ready for the interviewing process, there are several methods available.
However, we would recommend two different types. 1) Behavioral- style interviewing, this method of interviewing asks the individual to answer a question with a story of how they responded to a situation in the past. 2) Situational-style interviewing, this method asks an individual to solve a problem. They are given a situation, assess it and provide the best way they would resolve the situation (Doyle, 2015). In addition, prepare ahead of time and have the complete list of questions ready. Conduct the interview in a designated, quiet place free from distractions. Listen to what the person is saying, pay close attention, make eye contact and take notes.
In addition to the previous measures discussed, Atwood and Allen Consulting would also recommend asking potential candidates to take an integrity test or a personality-based test. These are tests given to prospective employees to gauge their views on dishonest behavior and has shown to be a useful indicator of future disciplinary problems (Cascio, 2013). Selection of candidates will be the final step. CCC will analyze all the information during the recruitment and interviewing process and make their selections. Select the most qualified individual based on pure-diversity based recruitment. The best applicant for the position should always be the one considered as ruled by the Supreme Court.
The recruitment and selection process is critical to your expansion into the Arizona market. There is much to consider and a lot to accomplish before your arrival. Your future success is heavily dependent on the steps we have discussed here. Take all necessary steps to hire the right candidates that are aligned with your values, organizational goals and mission. Ensure that you are doing everything possible to be a diverse organization, this will encourage success in your expansion and make your company more marketable. Atwood and Allen Consulting wishes you success as you move forward with your endeavors. It has been a pleasure working with you.
Doyle, A. (2015). Behavioral and Situational Interviewing. Retrieved from http://jobsearch.about.com/od/jobinterviewtypes/qt/situational-interview.htm Farooq, U. (2011). Employee Selection Methods & Polices of Organizations. Retrieved from http://www.studylecturenotes.com/management-sciences/human-resource-management/108-employee-selection Fishler, M. (2015). Arizona’s construction industry saw significant job loss last year. Retrieved from http://cronkitenewsonline.com/2015/02/arizona%E2%80%99s-construction-industry-lost-most-jobs-nationwide-in-2014/ Griffin, D. (2015). Goal Setting Definitions. Retrieved from http://smallbusiness.chron.com/goal-setting-definitions-1064.html Hansen, R. J. (2015). Arizona labor market finished 2014 on an upswing. Retrieved from http://www.azcentral.com/story/money/2015/01/22/arizona-labor-market-finished-upswing/22176861/ Heathfield, S. M. (2015). More About Building An Organization Based On Values. Retrieved from http://humanresources.about.com/od/strategicplanning1/a/organizvalues_2.htm Root, G. N. (2015). Advantages and Disadvantages of Internal Recruitment. Retrieved from http://smallbusiness.chron.com/advantages-disadvantages-internal-recruitment-11212.html