The main advantages of internal recruiting is that you
will have an individual who already knows your corporate culture, and promoting within
encourages employees to remain with the company and increase their productivity in hopes
of being promoted. The main advantage of hiring outside the company is that you will
have someone with new ideas who is not stifled by your current
practices.
When you recruit from within, you are sending
the message that the company values its employees and wants to invest in them for the
long-term. In these days of economic uncertainly, employees will be more productive
even if they feel they are underemployed because they see opportunities for
advancement. It is very costly to recruit and hire new employees. The cost is greatly
diminished when the employee already works for the company and is being promoted. The
learning curve to full productivity is also much
shorter.
The disadvantages of promoting within a company
are the potential corporate snare of valuing only the ideas of your company’s status quo
and the resentment that might be felt by those who feel they are passed over. When
recruiting within, it will be true that many employees will feel that they can do their
supervisor’s job, when in reality they cannot. This can lead to
conflict.
When you recruit outside your company, you have
the advantage of casting a wide net through the internet and networking. There are
currently many individuals who can do the work for less than you would normally offer,
whereas an employee within the company would want a raise as well as a promotion.
Recruiting from outside also brings in people who have successful ideas from other
companies that can be adapted to yours.
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