Recruiting candidates in an organisation can be stressful.In an Internal recruitment process, the organisation selects its candidate and executes a background check. In contrast, to the External recruitment strategy, companies will look externally into other companies for possible candidates. Internal recruitment organisations generally find a lower turnover rate and lower staff costs overall than external recruitment practices. On the other hand, external recruitment organisations may have a higher turnover rate at first, but it balances out over time and can link up with new staff who have skills not found in-house. This paper aims to outline both Pros and Cons of Internal vs. External Recruitment so that an organisation can make informed decisions on which recruiting strategy may be appropriate for them.
Pros of Internal Recruitment Strategy
Internal recruitment requires less time to fill a vacancy. As well as allowing an organisation to fill their vacancy much quicker, internal procurement also means that the candidate is more likely to stay with the organisation for longer. This can be beneficial because employees are more likely to commit themselves to a company, they are already familiar with, thus creating loyalty among the regularly working staff. Herein lies another benefit of internal recruitment; if candidates are looking for a change over time, they are dissatisfied with the current location or environment at their previous job. Internal recruitment allows the individual to remain in their familiar surroundings and stay with the organisation, which may just be keeping them satisfied.
Cons of Internal Recruitment Strategy
If the organisation recruits from within, it means that any applicants who were not successful can feel rejected and can look for work elsewhere. This can be a danger to the company because they risk losing an employee who already had invested time in training. This is especially pertinent when most companies have invested time in training the staff members that are no longer with them. Another pitfall is that if employees find new jobs outside of their organisation, they could lack their current job. This risks the organisation because they may have to pay much higher salaries to stay, adding extra costs if this is the case.
Pros of External Recruitment Strategy
When organisations are looking for candidates externally, they will have to pay a much higher salary to hire them, which means they are more likely to get the candidate. This is beneficial because if an organisation is looking for individuals who can fill a specific position, they will have a greater chance of finding someone who meets their criteria. This provides an opportunity for organisations to widen their candidate pool even further and allows them access to other companies that may not have been pursuing applicants from before this point. Also, the organisation may want to expand its business overseas and having an external recruiting strategy will give it an easy time.
Cons of External Recruitment Strategy
When filling an expiring position through external recruitment, there is a high chance that the individual will be leaving their current company. This can create issues for organisations because it can take months to train new employees. Still, if they can successfully recruit externally, they will have access to professionals who already have experience in their field and can get on with the job straight away. The main issue is that organisations will not reap any benefits from staff members regularly employed by them, such as loyalty and customer service.
In conclusion, the Pros of Internal Recruitment Vs. the Cons of External Recruitment, it is safe to say that selecting an internal recruitment strategy will provide the best results for any organisation. Internal recruitment allows organisations to find individuals already familiar with the organisation and its environment; this again increases the likelihood of staff members remaining loyal and committed. Unless you are looking for someone who can fill an expiring position, an external recruitment strategy is a more appropriate choice, as they will be more likely to find someone who fits their criteria.