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Human Resources Processes with ERP
heavily on paper records and a manual filing system, which creates problems because
information is not readily accessible or easy to analyze. The Human Resources
Department’s recruiting, hiring, and postplacement processes would operate more
efficiently with an integrated information system.
Recruiting Process
When a department within Fitter has an opening for a new employee, the department
supervisor communicates this need to the Human Resources Department by filling out a 161
paper job vacancy form that describes the position, lists the qualifications a candidate
must have, specifies the type of position (temporary, part-time, full-time, or internship),
and states when the position will become available. Using this information, Human
Resources gets final approval from the president of Fitter to begin the recruiting process.
Because there is no central information system, the details on the job vacancy form are
frequently inconsistent among, and sometimes within, departments. For example, the
requirements for a clerical position in one department includes experience with
Microsoft Word, while in another department, the specification is for experience with
Microsoft Office.
Usually a job is initially posted internally so current employees have the first
opportunity to apply for the position. If no current employees are acceptable for the
position, then Fitter posts the position externally.
Problems can occur throughout Fitter’s recruiting process. First, the description of the
required job qualifications may be incomplete or inaccurate—sometimes because the
supervisor is in a hurry, sometimes because the supervisor is not aware of all of the
functions required for the position, and sometimes because the supervisor assumes that all
candidates will have certain basic skills. Second, if the job vacancy form is lost or not
routed properly, the Human Resources Department will not know that the position is
available, while the supervisor assumes that the paperwork is in process. When this
happens, the department can end up shorthanded, creating productivity issues as well as
the possibility of tension or animosity between the departments. Obviously, this problem
is more likely to occur when job openings are circulated by paper. With an integrated
information system, job information is available immediately and is easier to monitor.
Another serious recruiting problem related to a paper-based hiring process is the potential
loss of a good candidate due to drawn-out hiring practices or lost data.
Although Fitter does not use recruiting agencies or Internet job sites such as
Monster.com to find candidates, it does use several other methods. The company
publishes its job vacancies on the company’s Web site, in local newspapers, and, in the
case of management positions, in national publications. In addition, a representative from
the Human Resources Department attends career fairs and recruits on college campuses
for prospective candidates. Occasionally, referrals are made by other Fitter employees,
and sometimes individuals searching for open positions at Fitter send unsolicited résumés.
Filing and keeping track of résumés and applications is an ongoing challenge. Fitter
has dozens of jobs with different titles and descriptions, and the company receives dozens
of résumés and applications each day. The Human Resources Department must classify
and file all applications and résumés according to the appropriate description. For
example, if the résumé of a mechanical engineer is accidentally filed with résumés of
candidates applying for jobs in the accounting department, the mistake may not be
discovered in time to include the engineer in the search process. In this case, Fitter may
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