Management 614/814

 

Internal Candidates

Definition: Applying the tools and strategies of external recruitment to internal candidates.

WC Characteristics of Internal Search

  1. Increases productivity and profit by identifying key talent within the organization and moving them to where they will have the greatest impact within the organization.
  2. Reduces turnover by identifying top performers and passive job seekers and moving them to new projects before they become bored and leave the company for a new opportunity.
  3. Internal candidates are more productive in their jobs than new external candidates because they already know the company culture and have been identified as top performers.
  4. Is in line with the company’s strategic goals and needs as well as employee preferences. Moves employees not only when the employee is ready but when and where the company needs them to move.
  5. Provides a higher number of qualified candidates and results in a greater number of hires for less cost than external recruitment sources.
  6. Prioritizes jobs according to strategic need and gives preference to star employees by "pre-qualifying" them before openings occur to aid in retention of star performers.
  7. Attracts external candidates and the employees of direct competitors due to establishing the company’s reputation as an employer that promotes employee growth and learning. Acts as an external recruiting tool.
  8. Uses multiple avenues to advertise job openings. Job postings, intranet job postings, paycheck insert notices and push email.
  9. Encourages and rewards employees and managers for participating. Does not label employees who utilize internal placement opportunities as "job jumpers" or disloyal.
  10. Increases the flexibility of the work force by offering temporary project assignments, part time assignments, job rotations, etc.
  11. Continually monitors itself and the movement of star performers. Anticipates the need to move passive star performers before they become bored and are recruited away by competitors.
  12. Identifies and counsels managers who "horde" talent.
  13. Monitors for diversity and potential adverse impact.
  14. Has buy in from top and line management. Allows managers to own the recruitment system .
  15. Creates a job and interest profile for employees to track their progress within the organization.
  16. Is scalable. Can be implemented in a single business unit, nationally and globally.
  17. Utilizes technology to help internal candidates improve job search skills by providing online profilers and resume writers on the company intranet and posting interview tips.
  18. Conducts periodic skills and interest inventory of key employees to identify future interests and areas of need for training.

Advantages of Internal Placement

  • Reduces turnover by keeping star employees and passive job seekers challenged.
  • Re-deploys the company’s human resources to areas of greatest corporate need.
  • Increases retention and morale of employees by promoting an atmosphere of learning and concern for employee growth and development.  Empowers employees to seek out new projects and challenges without labeling them as disloyal.
  • Builds a partnership between the company and employees by increasing opportunities for growth and development within the firm.
  • Builds a profile of employee job history and skills that can be tracked throughout their tenure with the company.
  • Reduces employee frustration by pushing opportunities to internal candidates rather than expecting employees to spend hours of "detective" work researching job opportunities.
  • Decreases time to fill in a tight job market by identifying candidates within the organization.
  • Attracts outside candidates due to the firm’s reputation for supporting employee growth and career development.
  • Assists "passive" employees who may have poor job search skills in finding new opportunities before they become bored and are recruited away by competitors.
  • Reduces potential divisiveness between departments by using job rotations and temporary project assignments to create cooperation between groups.
  • Allows managers to own the recruitment process.
  • Increases job success because placements are already familiar with company culture and policies.
  • Minimizes or eliminates traditional job posting rules, such as manager vetoes and minimum stay requirements to increase job movement, skills and retention.

Disadvantages

  • Resistance from managers who horde talent.
  • Potential for labeling of employees who utilize internal placement system as disloyal or job jumpers by managers who don’t want to share talent.
  • May miss a star external candidate if the position is filled internally.
  • May create friction between departments if one manager perceives another to be "raiding" his/her department.

Do’s and Dont’s

  • Don’t treat all positions and employees equally. Prioritize according to ability and strategic need.
  • Don’t post jobs in public places.
  • Don’t allow an individual manager to deny an employee permission to move.
  • Don’t require a minimum waiting period before allowing an employee to move. This will penalize and discourage high performers and fast learners.
  • Don’t focus only on whole jobs. Temporary assignments and projects can have the same stimulating impact on retention as a promotion.
  • Don’t require a waiting period before external posting. Make internal and external postings simultaneous to stimulate competition and increase chances of finding the best possible candidate.
  • Do use push technology to reach passive seekers and those who may be sensitive to labels of disloyalty for seeking out job postings.
  • Do reward managers who encourage employees to take advantage of internal opportunities. Identify and counsel those who don’t.
  • Do eliminate waiting periods and fixed rules that treat all jobs and employees as equal. Top performers need to move more often than average performers. Boredom levels and learning speeds vary between employees.

Measurement

  • Performance appraisals - % of successful PA.
  • Performance appraisal scores of internal placements vs. external candidates.
  • Acceptance rates of internal vs. external candidates.
  • Failure rate of internal vs. external candidates in similar positions.
  • # of Crib Deaths - Employees who quit within 1-3 months in a new position.
  • Voluntary and involuntary turnover of internal vs. external candidates.
  • Productivity - # projects completed.
  • Average length of service.
  • Cost per placement.
  • Time to fill.

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