7  Recruitment, Selection, Placement and Induction: Sources, Methods, Selection Process, Tests and Interviews, Yield Ratios, Validity-Reliability and Socialisation

7.1 The Hiring Funnel

After job analysis and workforce planning identify what and how many people are needed, the hiring funnel converts that need into actual employees. Recruitment generates applicants (a positive process — widening the pool). Selection chooses among them (a negative process — narrowing the pool). Placement assigns the chosen to a specific role, and Induction socialises them into the organisation. Each stage has its own techniques, its own metrics and its own classical authors.

7.2 1 · Recruitment

7.2.1 What is Recruitment?

Edwin Flippo: “Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organisation.”

Yoder: “Recruitment is a process to discover the sources of manpower to meet the requirement of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers.”

The two definitions together capture the essence — searching for sources and stimulating applications.

7.2.2 Five Features

  • Positive process — its purpose is to widen the applicant pool.
  • Pervasive — every organisation must recruit.
  • Two-way communication — applicants assess the employer just as the employer assesses them.
  • Linking activity — connects HRP outputs to selection inputs.
  • Continuous — even when no vacancy exists, an active pipeline is built.

7.2.3 Sources of Recruitment

flowchart TB
  R[Sources of recruitment]
  R --> I[Internal]
  R --> E[External]
  I --> I1[Promotion]
  I --> I2[Transfer]
  I --> I3[Re-employment of ex-employees]
  I --> I4[Employee referral]
  I --> I5[Internal advertisement / job posting]
  E --> E1[Advertisement]
  E --> E2[Campus recruitment]
  E --> E3[Employment exchanges]
  E --> E4[Placement agencies / consultants]
  E --> E5[Walk-ins / write-ins]
  E --> E6[Job portals / social media]
  E --> E7[Labour contractors]
    classDef default fill:#003366,color:#ffffff,stroke:#ffcc00,stroke-width:3px,rx:10px,ry:10px;

TipInternal vs External — A Comparison
Dimension Internal External
Cost Low Higher
Speed Fast Slower
Cultural fit Known Unknown
Fresh ideas Few Many
Morale Boosts insiders Risks demotivating insiders
Pool size Limited Wide
Risk Lower Higher (selection error costlier)

7.2.4 Methods of External Recruitment — At a Glance

TipExternal Methods
Method Best for
Advertisement Wide reach, technical and managerial jobs
Campus recruitment Entry-level managerial, technical and professional
Employment exchanges Statutorily notifiable vacancies (Employment Exchanges Compulsory Notification of Vacancies Act 1959)
Placement agencies Specialist mid-level recruitment
Executive search firms / headhunters Senior leadership, confidential searches
Walk-ins / write-ins Volume hiring of unskilled or semi-skilled
Job portals & social media Mass digital outreach, niche skills
Labour contractors Construction and contract labour

7.2.5 Yield Ratios

A yield ratio is the proportion of applicants surviving each stage of the funnel. Calibrating ratios from past hiring lets a recruiter compute how many applicants must be generated to fill a given number of vacancies.

TipYield Ratio Illustration
Stage Applicants Yield ratio
Applications received 200
Pass written test 100 100 / 200 = 50 %
Pass interview 40 40 / 100 = 40 %
Offers extended 25 25 / 40 = 62.5 %
Offers accepted (joiners) 20 20 / 25 = 80 %
Overall yield 20 / 200 = 10 %

7.3 2 · Selection

7.3.1 What is Selection?

Yoder: “Selection is the process by which candidates for employment are divided into two classes — those who will be offered employment and those who will not.”

Where recruitment is positive, selection is negative — its job is to screen out candidates who do not fit.

7.3.2 Standard Selection Process — Seven Steps

TipStandard Seven-Step Selection Process
# Step Purpose
1 Preliminary screening Eliminate clearly unsuitable applicants
2 Application blank / form Capture biodata, education, experience
3 Selection tests Measure aptitude, ability, personality
4 Selection interview Assess fit, communication, judgement
5 Reference and background check Verify claims, past performance
6 Medical examination Fitness for the role
7 Final selection and job offer Letter of appointment

7.3.3 Selection Tests

TipSix Families of Selection Test
Test What it measures Typical use
Intelligence test General mental ability (Stanford-Binet, Wechsler-style items) Most positions, especially those needing learning
Aptitude test Latent ability to learn a specific job Trainees, clerical, technical
Achievement test What the candidate already knows or can do Skilled trades, sales
Personality test Traits and dispositions (Big Five, MBTI, 16-PF) Managerial, sales, service
Interest test Vocational preferences (Strong, Kuder) Career counselling, placement
Projective test Reactions to ambiguous stimuli (TAT, Rorschach) Senior, sensitive roles

7.3.4 Types of Interview

TipInterview Types
Type Description
Structured (patterned) Pre-set questions in fixed order — high reliability
Unstructured Free-flowing conversation — low reliability
Semi-structured Core questions plus probes
Behavioural / Behaviour Description Interview (BDI) Past-behaviour questions; “Tell me about a time when…”
Situational Hypothetical scenarios; “What would you do if…”
Stress interview Deliberate pressure to test composure
Panel / board Multiple interviewers simultaneously
Group discussion Multiple candidates discussing a topic together
Depth interview Long, detailed probe into one area

7.3.5 Validity and Reliability of Selection Devices

Two psychometric tests of any selection instrument:

TipValidity vs Reliability
Concept Question it answers Types
Validity “Does it measure what it claims to measure?” Content, construct, criterion (predictive & concurrent), face
Reliability “Is the measurement consistent?” Test-retest, parallel-form, split-half, inter-rater

A test can be reliable without being valid (consistently wrong) but cannot be valid without being reliable.

NoteDistractor warning — Reliable but not Valid

A bathroom scale that always reads 10 kg too heavy is reliable (consistent) but not valid (does not measure true weight). NTA stems use this counter-intuitive case.

7.3.6 Selection Errors

TipTwo Selection Errors
Error What happens Cost
False positive Unsuitable candidate is selected Wasted training, poor performance, dismissal cost
False negative Suitable candidate is rejected Lost opportunity, replacement cost, diversity damage

7.4 3 · Placement

7.4.1 What is Placement?

Pigors and Myers: “Placement is the determination of the job to which an accepted candidate is to be assigned, and his assignment to that job.”

Placement is not automatic — three things must align:

  • Job requirements (from the description)
  • Candidate’s abilities (from selection data)
  • Organisational realities (vacancies, location, shift, team chemistry)

7.4.2 Three Models of Placement (Pigors and Myers)

TipThree Placement Models
Model Approach
Convergent approach Match person to a single identified job
Diagnostic approach Match person to the best among several open jobs
Differential approach Use full profile (abilities, interest, personality) to recommend the most fitting career path

7.5 4 · Induction (Orientation, Socialisation)

7.5.1 What is Induction?

Induction — also called orientation — is the systematic introduction of a new employee to the organisation, the job, colleagues and culture. The aim is to reduce the reality shock of the first weeks and accelerate the time to full productivity.

7.5.2 Five Objectives

  • Remove the new joiner’s anxiety and uncertainty.
  • Communicate organisational values, policies and rules.
  • Build rapport with peers and supervisor.
  • Clarify the job and performance expectations.
  • Reduce early turnover.

7.5.3 Standard Contents of an Induction Programme

TipInduction Coverage
Block Typical contents
Organisational History, mission, products, structure, key people
HR policies Code of conduct, leave, attendance, benefits
Job Description, performance standards, immediate goals
Work environment Tour of facility, safety briefing, IT setup
Social Introduction to team, mentor / buddy assignment

7.5.4 Socialisation — The Three Stages (John Van Maanen & Edgar Schein)

TipThree Stages of Organisational Socialisation
Stage What happens
1. Pre-arrival (anticipatory) Expectations formed before joining — through job description, recruiter interactions, employer brand
2. Encounter Reality of the organisation meets expectations — possible reality shock
3. Metamorphosis (settling in) New behaviours learned, comfort with role, identification with organisation

7.5.5 Six Socialisation Tactics (Van Maanen and Schein, 1979)

TipSix Tactical Pairs
Institutionalised tactic Individualised counterpart
Collective (cohort) Individual
Formal Informal
Sequential Random
Fixed Variable
Serial (mentor / role model) Disjunctive
Investiture (affirming) Divestiture (stripping)
NotePYQ anchor — Reality shock

The term reality shock describes the gap between pre-arrival expectations and encounter-stage experience. Originated in nursing research (Marlene Kramer, 1974) — frequently asked.

7.6 Practice Questions

Q 01 Recruitment definition Easy

Recruitment is a:

  • ANegative process — screening out candidates
  • BPositive process — generating applications
  • CNeutral process — only paperwork
  • DTerminal process — only for exit
View solution
Correct Option: B
Recruitment widens the pool; selection narrows it.
Q 02 Selection definition Easy

Selection is best described as:

  • AA positive process
  • BA negative process
  • CA non-discriminating process
  • DA part of HR planning only
View solution
Correct Option: B
Selection separates the suitable from the unsuitable.
Q 03 Internal recruitment Easy

Which is not an internal source of recruitment?

  • APromotion
  • BTransfer
  • CCampus recruitment
  • DEmployee referral
View solution
Correct Option: C
Campus is external.
Q 04 Yield ratios Hard

If 200 applicants produce 20 joiners, the overall yield ratio is:

  • A2 %
  • B10 %
  • C20 %
  • D50 %
View solution
Correct Option: B
20 / 200 = 10 %.
Q 05 Reliable vs valid Medium

A selection test that produces the same score every time but does not actually predict job performance is:

  • AReliable and valid
  • BReliable but not valid
  • CValid but not reliable
  • DNeither reliable nor valid
View solution
Correct Option: B
Consistent but wrong target = reliable, not valid.
Q 06 Interview types Medium

"Tell me about a time when you handled a difficult customer" is an example of:

  • ASituational interview
  • BBehavioural / Behaviour Description Interview
  • CStress interview
  • DDepth interview
View solution
Correct Option: B
Behavioural = past behaviour; Situational = hypothetical.
Q 07 Selection process order Medium

Arrange the typical selection steps in correct order:

(i) Selection tests
(ii) Preliminary screening
(iii) Medical examination
(iv) Selection interview
(v) Final selection and job offer

  • A(ii), (i), (iv), (iii), (v)
  • B(i), (ii), (iii), (iv), (v)
  • C(iv), (i), (ii), (iii), (v)
  • D(ii), (iv), (i), (iii), (v)
View solution
Correct Option: A
Screening → tests → interview → medical → offer.
Q 08 Placement model Hard

Matching a candidate to the best among several open jobs, using full ability and interest data, is the:

  • AConvergent approach
  • BDiagnostic approach
  • CDifferential approach
  • DBehavioural approach
View solution
Correct Option: C
Differential approach uses full profile. Diagnostic chooses among several jobs; Convergent matches to a single identified job.
Q 09 Socialisation stages Medium

In Van Maanen and Schein's model, the stage at which reality meets expectations is:

  • APre-arrival
  • BEncounter
  • CMetamorphosis
  • DInternalisation
View solution
Correct Option: B
Encounter is where reality shock can occur.
Q 10 Personality tests Medium

TAT (Thematic Apperception Test) is an example of a:

  • AIntelligence test
  • BAptitude test
  • CProjective personality test
  • DInterest test
View solution
Correct Option: C
TAT and Rorschach are projective personality tests.
Q 11 Selection errors Medium

A false positive selection error occurs when:

  • AA suitable candidate is rejected
  • BAn unsuitable candidate is selected
  • CThe interviewer is biased toward the candidate's college
  • DThe medical test is failed
View solution
Correct Option: B
False positive = unsuitable selected; false negative = suitable rejected.
Q 12 Employment Exchanges Act Hard

The statute that requires notification of vacancies to public employment exchanges is the:

  • AIndustrial Employment (Standing Orders) Act 1946
  • BEmployment Exchanges (Compulsory Notification of Vacancies) Act 1959
  • CContract Labour Act 1970
  • DApprentices Act 1961
View solution
Correct Option: B
Employment Exchanges (CNV) Act, 1959.
Q 13 Reality shock Medium

The term reality shock describes:

  • AThe shock of an interview rejection
  • BThe gap between pre-arrival expectations and actual experience on the job
  • CAdjustment to retirement
  • DStress during the medical examination
View solution
Correct Option: B
Originates in Kramer's 1974 nursing-induction research.
Q 14 Yoder definitions Hard

Match the definition with its author:

(i) Recruitment as search and stimulation (a) Yoder
(ii) Selection as division of candidates into two classes (b) Pigors & Myers
(iii) Placement as determination and assignment (c) Edwin Flippo
(iv) Socialisation tactics in pairs (d) Van Maanen & Schein
  • A(i)-(c), (ii)-(a), (iii)-(b), (iv)-(d)
  • B(i)-(a), (ii)-(c), (iii)-(b), (iv)-(d)
  • C(i)-(c), (ii)-(b), (iii)-(a), (iv)-(d)
  • D(i)-(b), (ii)-(a), (iii)-(c), (iv)-(d)
View solution
Correct Option: A
Flippo → recruitment, Yoder → selection, Pigors & Myers → placement, Van Maanen & Schein → socialisation.
Q 15 Tactic pair Hard

In Van Maanen and Schein's tactic pairs, the counterpart of investiture is:

  • ASerial
  • BDivestiture
  • CVariable
  • DRandom
View solution
Correct Option: B
Investiture (affirms existing identity)Divestiture (strips and rebuilds).
Q 16 Induction objective Easy

Which is not an objective of induction?

  • AReduce anxiety of the new joiner
  • BCommunicate organisational values and policies
  • CNegotiate the joining salary
  • DReduce early turnover
View solution
Correct Option: C
Salary is finalised at the offer stage, before induction.
Q 17 Group selection Medium

A selection technique in which several candidates discuss a topic together while assessors observe is:

  • APanel interview
  • BGroup discussion
  • CStress interview
  • DDepth interview
View solution
Correct Option: B
Group discussion. Panel = several interviewers; GD = several candidates.
Q 18 Headhunting Medium

"Headhunting" is most appropriately used for:

  • AMass entry-level recruitment
  • BSenior executive and confidential searches
  • CApprentice recruitment
  • DWalk-in interviews
View solution
Correct Option: B
Executive search firms specialise in senior, often confidential, searches.
Q 19 Validity vs reliability Medium

Which statement is correct?

  • AA valid test must be reliable
  • BA reliable test must be valid
  • CValidity and reliability are unrelated
  • DReliability is harder to establish than validity
View solution
Correct Option: A
Reliability is a *necessary* but not sufficient condition for validity.
Q 20 Differential approach Hard

In Pigors and Myers' three placement models, which approach uses the candidate's full profile — abilities, interest and personality — to recommend the most fitting career path?

  • AConvergent
  • BDiagnostic
  • CDifferential
  • DBehavioural
View solution
Correct Option: C
Differential.

7.7 Quick Recall

ImportantQuick recall
  • Recruitment = positive (Flippo: searching and stimulating). Selection = negative (Yoder: dividing into two classes).
  • Internal sources: promotion, transfer, re-employment, employee referral, internal job posting.
  • External sources: advertisement, campus, employment exchanges, placement agencies, executive search, walk-ins, job portals, labour contractors.
  • Employment Exchanges (CNV) Act, 1959 — statutory notification of vacancies.
  • Yield ratio = applicants surviving each stage; multiply through to plan inputs.
  • Seven selection steps: screening → application → tests → interview → reference → medical → offer.
  • Tests: intelligence, aptitude, achievement, personality (Big Five, MBTI, TAT), interest, projective.
  • Interview types: structured, unstructured, behavioural (past), situational (hypothetical), stress, panel, group discussion, depth.
  • Reliability = consistency; Validity = measures what it claims. Reliable but not valid is possible; valid but not reliable is not.
  • Selection errors: false positive (wrong hired), false negative (right rejected).
  • Placement (Pigors & Myers) — three models: convergent, diagnostic, differential.
  • Induction = orientation = socialisation entry.
  • Three socialisation stages (Van Maanen & Schein): pre-arrival → encounter → metamorphosis.
  • Six tactic pairs: collective/individual, formal/informal, sequential/random, fixed/variable, serial/disjunctive, investiture/divestiture.
  • Reality shock — Kramer 1974 — gap between expectation and encounter.