Maritu Final Propsal Wube
Maritu Final Propsal Wube
Maritu Final Propsal Wube
DEPARTMENT OF MANAGEMENT
Assessment of Recruitment, Selection and Placement
(The Case of Commercial Bank of Ethiopia Bonga Branch)
Management
PREPARED BY: MARITU NEKIR……………0619/12
AND
KIDIST SHARWE……………1054/12
ADVISOR:-Abera Atto(MBA)
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JANUARY;2023
BONGA,ETHIOPIA
Table of Contents
Acknowledgment........................................................................................................................................................ i
Table of Contents....................................................................................................................................................... ii
Abstract.......................................................................................................................................................................... v
CHAPTER ONE............................................................................................................................................................ 6
INTRODUCTION......................................................................................................................................................... 6
1.1. Background of the Study...................................................................................................................... 6
1.2. Statement of the Problem.................................................................................................................... 2
1.3. Objective of the Study............................................................................................................................ 4
1.3.1. General Objective............................................................................................................................4
1.3.2. Specific Objective............................................................................................................................ 4
1.4. Significance of the Study.......................................................................................................................4
1.5. Scope of the Study................................................................................................................................... 5
CHAPTER TWO........................................................................................................................................................... 6
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REVIEW OF RELATED LITERATURE................................................................................................................ 6
2.1. Introduction............................................................................................................................................... 6
2.2. The Historical Importance of Recruitment Selection and Placement..............................7
2.3. Recruitment............................................................................................................................................... 7
2.3.1. Sources of Recruitment................................................................................................................8
2.3.1.1. Internal sources.......................................................................................................................... 9
2.3.1.1.1. Job Posting................................................................................................................................ 9
2.3.1.1.2. Employee Referrals...............................................................................................................9
2.3.1.1.3. Skill Inventories...................................................................................................................10
2.3.1.2. Advantages and Disadvantages of Internal Source..................................................10
p2.3.2. External Sources...........................................................................................................................10
2.3.2.1. Advantage and disadvantage of external sources.....................................................12
2.4. Selection.................................................................................................................................................... 12
2.4.1. The Selection process.................................................................................................................13
2.4.1.1. Preliminary screening...........................................................................................................13
2.4.1.2. Completion of Application form........................................................................................13
2.4.1.3. Employment tests....................................................................................................................14
2.4.1.4. Employment interview......................................................................................................... 14
2.4.1.5. Reference checks and Recommendations....................................................................14
2.4.1.6. Medical /physical examination.........................................................................................14
2.5. Orientation /Placement/ Socializing employees....................................................................15
CHAPTER THREE.................................................................................................................................................... 17
Method of the study............................................................................................................................................... 17
3.1. Data collection method and sources.............................................................................................17
3.2. Population and sample....................................................................................................................... 17
3.3. Random Sampling................................................................................................................................. 17
3.4. Method of Analysis............................................................................................................................... 18
3.5. Time Schedul and Budget Schedul………………………………………………..………………………
19
3.5.1.Time
Schedul…………………………………………………………………………………………………………20
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3.5.2.Budget
Schedul……………………………………………………………………………………………
………21
List of Table
Table 1:Man power distribution by age,sex and educational level…………………………………
20
technique……………………………………………22
promotion……………………………………………………………………24
policy………………………………25
job…………………………………………………………………………26
Table
7:Evalution…………………………………………………………………………………………
……………………………28
process……………………………………29
ablity……………………………………………………………………………………31
Table 10:Informing
applicants…………………………………………………………………………………………
………33
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Table 11:Interview,orentation and
trainning……………………………………………………………………………34
demotion………………………………………………………………36
Achronomy
MBA:
HRM: Human Resource Management
HRP: Human Resource Planning
CBE: Commercial Bank Of Ethiopia
CHAPTER One
INTRODUCTION
Human resource management (HRM) practice includes determining human resource needs (HR
planning), attracting potential employees (recruiting), choosing employees (selection), Teaching
employees how to perform their job and preparing them for the future (training and
development), rewarding employees (compensation), evaluating their performance (performance
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appraisal), and creating a positive work environment (employee relations). (Raymond A. Noe
2000 P.VⅡ)
The role of human resource recruitment is to build supply of potential new hires that the
organization can draw if need arises. In human resource management, recruiting consists of any
practice or activities carried on by the organization with the primary purpose of identifying and
attracting potential employees (Noe, Hollenbeck, 2008)
The quality of organizations employees, their enthusiasm, satisfaction with their jobs and their
sense of fair treatment all have significant impact on the firms productivity, level of customer
service, reputation and survival. In short, people make the difference in a competitive business
environment. Therefore, managing human resource effectively is the responsibility of every
manger in his/her functional area. Because human resources are critical in every component of
the organization, human resource (HR) planning is one of the most widely used activities in any
organization. Hence, great care should be taken when performing this activity because it is very
critical for the overall performance of the organization. In case the human resource inventory
taken shows existence of a gap in type and number of employees staffing the vacant is necessary.
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Staffing is filling vacant positions with people.
Quality of work performed can only be as high as the capabilities of the people performing it. So
recruiting the right people selecting the perfect one and placing them in the appropriate position
determines not only the quality but also the overall performance of the organization.
Generally, recruitment, selection and placement of human resource are common practices in old
or in newly established organization. The difference involved in attracting qualified applicants,
selecting those who are the best fit for the vacant position and socializing them in the
organization will be dealt in this study.
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1.2. Statement of the Problem
HRP will not an easy task to do. Recruiting, selecting, and placing the right people in the right
position will be a big headache for organizations. One of the problems faced by organizations
these days is the decrease in the quality of work.
The quality of the work done always represents the organizational performance. In other words,
doing the job properly leads to organizational goal attainment.So getting people who do the job
properly will be key for any organization. Further more selecting the right employee for the
particular job and placing them where they can use their maximum potential is of great
importance.
Recruitment, selection, and placement are key functions within any organization. The aim should
be to ensure that the organization recruits and retains staffs that possess the necessary skills,
aptitudes and adaptability to enable the organization to meet its objectives. (A. Wilkinson and T
Redman, 2008).
The commercial bank of Ethiopia will operating in an environment, which requires efficient
work force and quality service that can bring satisfaction to the public. For this to happen, the
bank must give special attention to its recruitment, selection and placement procedures.
Undergraduate students have not pursued the topic under investigation in recent time, especially
at a district level. According to the human resource manager of the north district most studies are
done in branch offices and she told me that the studies usually contain some sort of bias.
Therefore studying the recruitment selection and placement procedure of the organization will
help in avoiding the bias that exist in other research papers and it will also assist in filling the gap
that exist.
Therefore, the point of investigation of this research paper, which the writer intends to make, is
generally to study the recruitment and selection policies and procedures, and also selection
methods practiced in COMMERCIAL BANK OF ETHIOPIA BONGA BRANCH Moreover,
the study will try to address points raise such as; how the bank recruits highly talented,
competent and multi-cultured individuals and how the bank attracts and selects applicants in line
with the organizational and functional objectives by taking into consideration internal and
external factors that would limit recruitment process.
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The writer has based the research upon the following hypothesis
The bank could better achieve its goals and objectives had there been an efficient and effective
human resource planning
Based on the above hypothesis the following questions have been raised;
Does the bank test the effectiveness of recrutement ,selection and placement
method?
What are the major challenges the bank faces when conducting the recruitment,
selection, and placement activities?
Does the bank use standards when conducting its HRP?
Are there any activities done to attract highly qualified and competent applicants?
Do the methods of recruitment and selection undertaken attract the desired
candidates?
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1.4. Significance of the Study
The study will done mainly to understand the key concept of human resource planning specially
recruitment, selection and placement in the commercial bank of Ethiopia ------- branch.
Understanding these concepts will have a significant value for the bank itself, for the
administration of the bank, for potential employees and also for the government and different
stakeholders.
The study enhance the image of the bank with potential recruits; this is to say if the results
suggest that the bank has a good policy of recruiting, selecting and placing of employees,
Potential recruits who do have the access to the research paper will be attracted to the bank, even
to the extent of sending self-solicited application form.
In countries like Ethiopia where there is a very high unemployment rate, a highly cheap labor
market and where the number of qualified people without a job is enormous, having a perfect
human resource plan is essential. Most of the time managers might go for cheaper cost rather
than higher quality this means that people with the necessary skills might be overlooked. When
this kind of thing happens over and over again the company will gradually lose integrity and
competence within the economy. So this paper might be one way of filing the gap that arises
from failure of effective recruitment.
Moreover, through the investigation of recruiting and selecting policies and procedures, the
findings will enable the bank officials to understand more about the current and anticipated
forces that are likely to affect not only recruitment and selection activities of the bank but also
the operation of the bank as a whole.
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CHAPTER Two
2.1. Introduction
Human resource planning is the process of analyzing and identifying the need for and
availability of human resource so that the organization can meet its objective [Robert L. Mathis
and John H. Jack son; 1997: P.38].
Human resource planning is a highly complex area of work and requires specialized skills.
However, it is linked very closely to the supply and demand of labor with the purpose of
bringing about equilibrium of man power within an organization. Because of its complexity,
organizations especially large ones tend to have specialist man power analysts on the staffs that
are able to deal with such complexities.
The approach to man power planning needs to be flexible so that plans can be develope as time
and situation dictate. This requires analytical and diagnostic skills from the planner who attempts
traditionally to seek to calculate man power needs in the short, medium and long term.
The responsibility of recruitment, selection and placement, as in all good human resource
practices, is shared between line management and the personnel function. The personnel
department should be competent to advice on the best and most modern techniques and
practicesand to provide a professional support and monitoring service, while line management
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must be involved in the final decisions as to who does or does not work in their departments.
[Cowling and Mailer; 1992: P-41].
According to John M. Ivancevich and William F. Glueck (1989; P-186) the major human
resource activities are:-
Human resource planning
Equal employment opportunity
Job analysis
The staffing process (Recruitment, selection and placement)
Performance evaluation
Training and development
Career planning and development
Compensation
Benefits and services
Safety and health
2.3. Recruitment
Recruitment is the first in the hiring process. The goal is to attract qualified people whose skills
and experience meet the demands of the job you want to fill. Once you have an initial pool of
qualified people, you can use interviewing and references to screen for other desirable qualities.
It is the process of finding and attracting capable applicant for employment. The process begins
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with new employees are sought and ends when their applications are submitted. The result is a
pool of applicants from which new employees are selected. [werther Davis; P-195].
Different authors have define the term recruitment at different manners, but the essence of their
general understanding is the same. It is the process to obtain employees who have the abilities
and attitude desire by the organization. To obtain these employees the organization focuse on
finding skilled man power, because the success and failure of the organization depends on its
work force. Among any other resources human resource is the most important and determinant
resource an organization has. In support of this M.Stewart (1987:P-171) stated. People are major
resources common to all organizations. Money is the other and you need the people to obtain and
use money properly even in a non profit making environment.
Thus obtaining the right people at the right time, in the right place from the right source is
implicitly getting money and using it properly.
Recruiting externally can infuse the organization with new ideas. But recruiting from out side the
organization for any but entry-level positions presents the problem of adjustment time for the
new persons.
Most organizations combine the use of internal and external methods. Organizations that operate
in a rapidly changing environment and competitive conditions may need to place a heavier
emphasis on external sources as well as developing internal sources. However, for those
organizations existing in environments that change slowly, promotion from within may be more
suitable.
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Once the organization has decided to recruit additional employees, it is faced with two
recruiting decision: when to search (sources) and how to notify applicants of the positions. Two
sources of applicants is use. Internal (present employees) and external (those not presently
affiliat with the organization). [M.Ivancevich and Glueck; 1989: P-234].
According to Anthony, Perrewe and Kacmar [1993; p-276] Finding qualified applicants in the
organization is the main goal of the internal recruiting effort, There are several methods for
locating these applicants.Among the most common are job positing referrals and skill
inventories.
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candidate for the job is at a different section of the firm. An excellent source of information is
the current employee who may know someone who would be qualified and interested in the open
position. The source of information is very low cost, yet can yield a number of good prospects.
Employees usually have a clear understanding of what the job entails and what type of person
would fit with the organization.
Disadvantages
1. Poor attitude among those employees not selected.
2. It will create a gap in the department from where the employee is taken.
3. Political fighting and create hostile environment.
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Having more applicants is also a problem to identify the required individuals. Therefore the man
power supply plan needs to contain a comprehensive summary of the market situation and the
way it is likely to develop. Often an organization must take a more active and sound recruitment
role. Some of the mean of finding suitable candidates according to Graham and Bennet
[1992:P.173-211] are school and college recruiting, advertising, employee exchange,
employment agencies, unsolicited applicants or walk-ins or write-ins.
2. Advertising
Newspapers, magazines, television and other print and broad cast media provide an excellent
source for recruitment of employees. The main advantage if media advertising is that it reaches
large number of people. Its disadvantage is that it cannot be narrowly focused, thus a large
number of unqualified candidates will be attracted.
3.Employee exchange
It serves as an intermediary between the job seekers and employers. It is important for
employers to find suitable workers without much expense and the job seeker find the job easily.
4. Employment agencies
There is public or private employment agencies. These agencies have information on job seekers
in terms of qualifications, skills, interests, etc. and can be a good source of employment by
organizations. Public agencies are a major source of blue-collar and white-collar works while
private agencies are important sources of clerical, white collar and managerial personnel. The
main disadvantage of using such agencies seem to come from the fat that unemployment is still
seen by many employing managers as a social stigma and indicative of poor work records.
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5. Unsolicited Applicants
Unsolicited applicants whether they reach the employer by letter, telephone, or in person, can be
a source of prospective applicants. Such applicants are kept in file if there are no particular
openings at that time. Qualification of unsolicited applicants is dependent on economic
conditions, the organization images, and the job seeker s perception of the types of jobs
available. Most of the time unsolicited applicants will be told that no appropriate positions are
currently available. By the time the position does become open, the applicants may have
accepted work elsewhere.
Disadvantages
a. Longer adjustment period.
b. amoral problem among internal employees.
c. On the job behavior is not precisely known
2.4. Selection
Selection is the process of making a hire or no hire decision regarding each applicant for a
job. The process typically involves determining the characteristics require for effective
performance on the job and then measuring applicants on those characteristics. The
characteristics require for effective job performance are typically based on job analysis which is
systematic summary of job. Depending on the applicants score on various tests and/or the
impressions they have made in interviews, managers determine who will and will not be offered
a job. The selection process often involves the establishment of cut scores: applicants who score
below these levels are considered unacceptability. [Robert Wood and Time panye; 1999: P-
199].
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Selecting the right set of knowledge, skills and abilities which come packaged in a human being-
is an attempt to get a fit between what the applicant can do and wants to do and what the
organization needs. That is made more difficult by the fact that one can t always tell exactly what
the applicant really can and wants to do. Fit between the applicant and the organization affects
not only the employers willingness to make a job offer but also the applicant s willingness to
accept the job.More than anything else, selection of human resource is a matching process.
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2.4.1.3. Employment tests
An employment test is a mechanism that attempts to measure certain characteristics of
individuals, such as manual, dexterity, qualifications and potential for success. The testing
applicants offers some advantages: test results seem to be objective, free from personal bias; and
they are usually expresse numerically, so that they lend them saves to statistical analysis and
thus can be validated. However there is also disadvantage, selection test may accurately predict
an applicants ability to perform the job, be less successful in indicating the extent to which he
individual will want to perform it.
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iii) It may be necessary to determine whether the applicant is physically capable of
performing the job in question.
It is the introduction of new employees to the organization, their work units, and their jobs.
Employees receive orientation from their coworkers, and from the organization. The orientation
received form coworkers is usually unplanned and unofficial, and it often provides the new
employees with misleading and inaccurate information. This is one of the reasons the official
orientation provided by the organization is so important. An effective orientation program has an
immediate and lasting impact on the new employee and can make the difference between his or
her success or failure.
Job applicants get some orientation to the organization even before they are hired. The
organization has a reputation as to the type of employer it is and the types of products or services
it provided. During the selection process, the new employee usually also learns other general
aspects of the organization and what the duties, working conditions, and pay will be.
After hiring the employee, the organization begins a formal orientation program. Regardless of
the type of organization, orientation should usually be conducted at two distinct levels.
1. Organizational orientation: - presents topics of relevance and interest to all employees.
2. Departmental and job orientation: - describes topics that are unique to the new
employees specific department and job.
Orientation is a process for introducing new employees to the organization, its mission, its
activities and programs as well as her/his job. An employee use on an orientation session. The
orientation process is similar to what sociologists called socialization. Socialization occurs when
a new employee learns the norms, values, work procedures and patterns of behavior and dress
that are expected in the organization.
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CHAPTER Three
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Recruitment process of the district will be the same in all the branches includ in the district as
the HR manager of the branch told me in our preliminary interview. Therefore the lack of
heterogeneity in the process will a major factor for selecting sample branches. The branches
would have been selected in accordance with convenience of the researcher because time and
money are major constraints.
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Proposal
Draft
Sumission of
proposal
Preparetion
of the
required
material filed
work
Data
collection and
interpritation
Data analysis
and
presentation
Research
defance
2 pen Birr 3 25 75
3 Ruler Birr 1 30 30
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4 Telephone Minute 100 minute 20
5 Binding Birr 3 30 90
9 Contigency
Total
1400
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