Whether your business is expanding or experiencing turnover, finding the right hire is crucial for success. Deciding between internal and external recruiting depends on various factors, including your current talent and the specific needs for the new position. Let's explore the pros and cons of each to help you determine which strategy best suits your recruitment plan.
Internal recruiting means filling job openings with your current employees. This might involve a cross-over from one department to another or a promotion to a higher position. Some companies prioritise internal candidates for certain roles, sometimes opening the position to external candidates only if a suitable internal candidate isn't found.
External recruiting involves looking outside your current workforce for candidates. While internal candidates can still apply, your human resources team will focus on sourcing candidates through job boards such as Indeed and Reed, recruitment agencies, referrals, social media, and your website. If you are thinking about using a recruitment agency, it is also beneficial to understand the benefits of this.
Faster onboarding: Internal hires are already familiar with the company culture and processes, making their transition smoother and quicker.
Lower advertising costs: Internal job postings are often less expensive since you can use existing communication channels.
Existing company knowledge: Internal hires understand the company’s values and goals, reducing the learning curve.
Increased employee retention: Promoting from within fosters loyalty and encourages employees to stay longer.
Investment retention: Utilising employees you have already trained ensures you maximise your investment in their development.
Creates new vacancies: Filling a position internally opens another vacancy that needs to be filled.
Potential stagnation: Without new talent, creativity and innovation might stagnate over time.
Internal politics: Favouritism or jealousy might arise among employees, causing tension.
Limited candidate pool: Internal recruitment limits your choices to current employees, potentially missing out on fresh perspectives.
Increased training costs: Internal candidates may need additional training to meet the new role's requirements.
Expanded talent pool: External recruiting opens a wider range of candidates, increasing the chances of finding the perfect fit.
New perspectives: External candidates can bring fresh ideas and innovative solutions to the company.
Increased diversity: Bringing in candidates from varied backgrounds enhances company culture and problem-solving capabilities.
Longer onboarding: External hires require more time to learn the company’s processes, which can slow productivity.
Friction with current employees: Internal candidates might resent external hires, leading to a tense work environment.
Higher costs and more work: External recruiting typically involves more time, effort, and expense in advertising and vetting candidates.
Identify needs and requirements: Clearly define what you need for the position.
Assess current workforce: Determine if you have suitable candidates internally.
Write a job description: Tailor it for internal candidates, outlining the role’s requirements.
Post the job internally: Use internal channels like the company website, email, or newsletters.
Get recommendations: Ask managers to suggest potential candidates.
Encourage applications: Approach employees who might be a good fit and encourage them to apply.
Interview candidates: Evaluate internal applicants’ qualifications and conduct interviews.
Review performance: Discuss candidates’ qualifications with their supervisors.
Make a decision: Select the best internal candidate and communicate with other applicants.
Establish needs and requirements: Define the position clearly.
Create a job description: Outline the role’s requirements and responsibilities.
Choose recruitment methods: Use job boards, recruiting software, referrals, your company website, social media, job fairs, recruitment agencies, networking events, and industry organisations.
Advertise widely: Post your job opening in various places to reach a broader audience.
Screen applicants: Vet candidates through references, background checks, social media reviews, skills tests, and verification of education and past employment.
When deciding between internal and external recruiting, consider the specific needs of your company. Each approach has its benefits and challenges, and the best choice depends on your unique situation and goals. By carefully weighing the pros and cons, you can develop a recruitment strategy that supports your business's growth and success.
If you have any questions or queries regarding internal and external recruitment, please get in touch with us by dropping us an email at info@acsstaffingsolutions.co.uk or giving us a call on 01604 704 058.