Human resource managment course ABC Industries has used four

Human resource managment course

ABC Industries has used four different recruitment methods to recruit new sales associates: Newspaper ads, the company website, walk-in applications, and employee referrals. Based on the information depicted in the table below, please analyze the company’s recruitment system, given the methods’ total numbers and yield ratios. Which method(s) do you believe are most effective for ABC Industries, and which method(s) should the company consider reducing or eliminating?

newspaper website walk ins Referals totals

aid

Applicants 35 450 80 20 585

Job offered 2 25 15 14 56

Hired 1 10 8 10 29

Survived 0 4 2 9 15

Solution

Here yield ratio for newspaper aid = number of leads from recruitment method x 100%

total number of candidates invited for interview

= ((2+1)/35) x 100% = 300/35 = 8.57 %

Yield ratio for website = (25+10+4)/450 x 100% = 3900/450 =8.67%

Yield ratio for walkins = (15+8+2) x 100/80 = 2500/80 = 31.25%

Yield ratio for referals = (14+10+9)x100/20 = 3300/20 = 165%

So by that yield ratios, obtained , we find that the REferals method is most cost effective for ABC industries as its yield ratio is maximum.

And clearly newpaper aid method is having least yield ratio that means it is least cost effective so this method as well as website method also ( as its yield ratio is almost same as of newpaper aid method) should be eliminated, considering the cost of advertisement into account.