As published in the Winnipeg Sun. The effective recruitment of qualified candidates is a key strategy to ensure your company remains competitive in the marketplace. However, one of the challenges that businesses and organizational leaders alike face is determining which strategy is most appropriate. In other words, when should an internal recruitment process be used versus conducting an external search?

Typically an internal recruitment process is applied in larger, very stable and developed organizations. Not only do these larger organizations have their own pool of qualified candidates, this strategy utilizes internal promotions as a recruitment and retention tool.  It is an attempt to create employee loyalty and commitment as well as long term job satisfaction. It is also a succession management tool. At the same time, the internal recruitment strategy is less costly than an external process. As well, the candidates are well known to the organization and therefore orientation requirements are much less.

However, it is essential that the internal recruitment process be well managed. Job analysis and skills required must be assessed and clearly stated to candidates. Candidates also need to be informed of the overall process and the timeframe. They need to be informed of the job requirements, the selection criteria and, most importantly, internal candidates need to be treated with respect. If a candidate is not going to move forward to the next step, he/she needs to be informed in person and provided a rationale for their lack of success. At the same time, the recruiter needs to think about how to keep this person motivated and committed to the organization. If they are not treated with respect, you can be assured that this employee will leave within six months.

So when is an external recruitment or executive search strategy more appropriate? Most organizations select an external strategy when they are aware there is a shortage of good internal candidates or when sincere objectivity is required. In situations where a new direction or vision has been developed, an external search process also allows an organization to bring in new people with fresh ideas and/or target a candidate who has the skills to take the vision and make it happen. In many cases, organizations will utilize the services of an executive search professional when they do not have the time or resources to conduct the search themselves.

At the same time, applying an external search process is essentially a marketing strategy. In other words, the organization is promoting itself and their employment opportunities. This can increase the organization’s reputation as an employer, resulting in more highly qualified candidates applying for open positions. It also allows the organization to target potential candidates who may not be looking for another job opportunity at that moment.

An external search process must also be well managed, transparent and fair. Again, external candidates must be treated with respect and provided the same opportunity as an internal candidate. The search professional needs to spend a good deal of time to deeply understand the organization and the role the new incumbent will play. This includes understanding not only the technical skills of the job role but also the personality and behavioural characteristics required to succeed in the job. Once this is complete, the recruiter works closely with the client to develop an effective search strategy and the methodology for making the final selection.

External search consultants typically have access to more candidates and have a candidate research capability that most organizations do not. This allows consultants to identify candidates who would not normally be looking for a new opportunity, tap them on the shoulder and make them aware of what the organization has to offer. External executive search professionals also have more capability to conduct a broad national search. With our world becoming a global marketplace, this is becoming more and more important.

Recognizing that one of the keys to organizational success is the ability to attract and retain highly qualified staff, organizations also need to carefully determine which search methodology will be more effective. When making your determination, take time to examine the market conditions, the availability of candidates, the impact of each strategy on current employees, the necessity for objectivity and the overall cost benefit. Keep in mind that each job will have a different need.