Recruitment

The first stage of the HR cycle. The cycle is continuous because employees are continually entering and exiting the firm. The less frequently a firm needs to replace its workforce, the better (cheaper, improved team cohesion).

The hiring of new employees involves identifying staffing needs, recruitment, selection, and placement.

Identifying staffing needs: Depending upon the circumstances of the firm, it will have different needs. Perhaps staff members have separated from the firm and need replacing; perhaps the firm is growing and requires additional staff; perhaps the firm is entering into a new market and requires specific skills. Job analysis determines the exact nature of the positions to be filled in the firm.

Recruitment: Attracting suitable candidates to apply for the open position; these can be internal or external candidates. The larger the pool of applicants, the wider the choice the firm has (more applicants = higher desirability of workplace). These applicant can be kept on file for future recruitment drives.

Selection: The process of filtering the applications from recruitment process. This process includes analysing resumes, interviewing, calling references, undertaking tests or work simulations. 

Placement: Upon selecting the right candidates, HRM then places the applicant into a specific role in the firm.