Word of Mouth RecruitingExternal RecruitmentInternal Recruit.docx
Tanglewood Recruitment Analysis
1. Date: October 14, 2015
To: Daryl Perrone
Staffing Services Director
From: J. Baker,A. Fraser,B. Sanchez, M. Martin, Y. Silva
Staffing Services Consultants
Subject: Tanglewood Recruitment Analysis
Greetings Mr. Perrone,
As requested, the following letter addresses the HR analysis of recruiting procedures for the four regions
of Tanglewood in the states of Washington and Oregon.
Attached is a recruitment guide for recruiting sales associates that is to be used in all regions of
Tanglewood in Washington and Oregon. We have prepared descriptions of the Recruitment Methods and
Targets. As well, an analysis has been done for the recruitment practices for the regions of Tanglewood in
the states of Washington and Oregon. Descriptions of the Recruiting Metrics and sources have been
primed and recommendations for managers to increase their administrative focus have been made.
Recruitment Guide
Position: Sales Associate
Reports to: Department Managers,Team Lead
Qualifications: Retail experience preferred
Excellent customer service
Problem solving and communication skills
Relevant Labor Market: Regions 1, 2, 3, and 4
Activities to undertake to source well-qualified candidates:
Regional newspaper and radio advertising
Post openings on company website
Staffing agencies
Kiosks
State Job Services
Request Employee Referrals
Staff Members Involved:
HR Recruiting Manager
Department Manger
Shift Leader
Assistant Store Manager
Referring Peers
Budget: $3000 - $6000 per new hire
2. Recruitment Methods and Targets
Tanglewood has strong culture and values throughout the organization, so it would be best for
Tanglewood to target candidates who would fit in with the organization. Each region uses a combination
of methods for recruiting successfully and unsuccessfully. The only method that is open recruiting is the
media method. Media is a way of attracting potential employees through print, radio, and television
advertising. This method is casting a wide net and anyone who hears, sees,or reads the advertisement
may apply for the opening. The other four recruiting methods are targeted recruiting methods. Referrals
are a targeted recruiting method because it is a current employee recommending someone he or she
knows for the job. The potential employee may bring some new skills to the company, or have special
training. Kiosk is targeting existing customers of the store because the kiosk is put in the front of the
stores. Customers of the store come in and see the kiosk that allows them to watch videos and find out
information about the job, thus allowing the person to figure out if this is a job he or she wants. Likewise,
State Job Services is considered targeted recruitment. They are recruiting through a large pool of people
these people are unemployed, so technically they are targeting the unemployed. A staffing agency is
targeted recruiting as well. A staffing agency looks for potential employees based on the specifications
you as an organization gave, therefore they are looking for candidates based on the specifications your
organizations has given them. There are two target methods that seem more targeted and they are the
referraland kiosk methods. With the referralmethod, specific friends, family, or associates of current
employees are being targeted. The only way someone is hired through a referralmethod is if that person
knows someone who already works for the company. The kiosk method is specifically targeting
customers of their stores. Not every store employs the kiosk methods; therefore if you do not shop there
you would not know about the kiosk and the potential for a job.
Analysis of Regional Hiring Practices
Western Washington does best with the job service method because their six month retention rate is 82%
and after a year their retention rate is 75%. The method that does not work best for Western Washington
region is the media method. The media method only has a six month retention rate of 61% and after a
year through that method the retention rate is only 45%. Also for Western Washington the cost per hire
for job services is $1,405.66 cheaper than the cost per hire for the media method. The job services method
seems to be the best method for Tanglewood Western Washington.
Eastern Washington does best with hiring through referrals. Their six month retention rate is at 88% and
after one year is still strong at 72%. The least successfulmethod of hire is through media. After six
months their retention rate is at 66% and falls to 45% after one year. The kiosk method has had some
success with a six month retention rate of 79% and one year retention rate of 65%. Besides retention rate,
when comparing the cheapest cost per 1 year survival referrals only cost $4,634.75 as oppose to the kiosk
cost of $8,526.30 and media cost of $7,418.68. Overall the referralhire success is the highest of the three
methods and the cheapest cost per 1-year survival.
Northern Oregon does best with using an agency to staff their 18 stores. The six month retention rate is
106% and then after one year the retention rate is still the highest at 96%. The methods of media and
kiosk are fairly close in terms of being bad at retention, but with the total cost of kiosk being nearly
double that of media: kiosk is the worse of the three methods. Agency may have the highest cost per hire,
$4,738.10, but it has nearly double the retention rate of the other methods. Using an agency appears to be
the best method for Northern Oregon.
Southern Oregon does best with using a staffing agency to staff their 16 stores. The six month retention
rate is 94% and the one year retention rate is 84%. The kiosks are not the best method for employee
retention in six month and one year,74% and 62%. Kiosks also have the highest total cost, $2,062,600,
and highest cost per hire, $5,961.27. The referralsystem works well for Southern Oregon, but using an
agency is still working the best.
3. Northern Oregon has had tremendous luck with retention through using a staffing agency. Southern
Oregon has demonstrated the effectiveness of the usage the agencies as well. Both regions in Washington
do not use agencies. The to regions in Washington do well with their retention from employee referrals,
but the scores are not as high as Oregon’s agency retention rates. The effects of this would make the costs
per hire of Eastern and Western Washington increase, based on Oregon’s rate,but their stores could also
gain better retention.
Recruiting Metrics and Sources
Simply finding the cheapest way to hire is not sufficient when Tanglewood is highly committed to
improving customer service quality. Besides costs and retention, the organization should also focus on
quality and impact on HR. Each recruiting source has strengths and weaknesses,but determining the best
method for an organization includes assessing the costs and benefits of each method and then selecting the
optimal combination of sources to meet what the organization needs. The table below shows the
recommended recruiting sources and the recruiting metrics that the company should utilize.
Recruiting Sources Quality Impact on HR
Employee Referrals Better fit because current
employees will inform applicants
about the culture
Higher performance, higher
satisfaction,lower turnover, lower
diversity
Employee Networks Depends on whether networks are
made up of others with similar
skills and knowledge
Potentially similar results to
referrals, although results are
unknown
Colleges and Placement Offices High levels of job-relevant human
capital, usually screened on basis of
cognitive ability, little work
experience
Initial training and development for
inexperienced workers; can
increase average KSAO levels
Employment Agencies Applicants will be prescreened;
organizations are often able to try
out candidates as temps prior to
hiring
Reduced costs ofscreening
candidates,improved person/job
match
Job Fairs Often draws in individuals with
some knowledge of the company or
industry
Higher levels of diversity if
targeted to diverse audiences;
effects on performance, satisfaction
unknown
Co-ops and Internships High levels of formal educational
preparation, but few interns will
Those who are hired will be
prescreened,and should have
higher performance and lower
turnover
Social Service Agencies Applicants are typically
experienced workers, although
there may be questions about why
they were laid off
Potentially greater training costs,
higher levels of diversity
Manager Focus Groups
Reducing Turnover Rate:
The most pressing concern for managers is reducing the turnover rate of employees. Tanglewood is not
accepting the typical retention rates for retail chains, and expresses that they wish to hire people who fit the
organization. There will be turnover rates to ensure that Tanglewood is acquiring a person who fits the
organization, but managers should consider implementing employee referrals,and co-ops and internships.
Employee referrals and co-ops and internships focus on lower turnover rates,and higher performance.
4. Reducing Excessive Lag:
There is an excessive lag between initial contact between many applicants and actual hiring decisions,
which is leading many qualified individuals to drop out of the process. This can cause a negative reaction
about the organization, and it is recommended that Tanglewood should implement direct contact with
candidates. Direct contact should be over the telephone or through e-mail, but should not be mass
automated. E-mails and telephone calls should be highly personal, reflecting an understanding of the
candidate's unique qualifications. Respondents should have a response e-mail or number where they can
ask questions about a position, which will increase the yield for direct contact. This recommendation will
increase costs; therefore,management should consider if the organization should implement this process.
Reducing Time ofAssessing NewCandidates:
Managerswantto find waysto reduce the amount of time they have to spend with assessingnew candidates.
It has been suggested that using computerized applications would be a good idea, while some believe that
it will give and take away from the good impression about the organization and its methods. Computerized
applications can reduce the time that managers have to spend assessing candidates, but managers should
consider co-ops and internships and employment agencies. These two sources reduce the time managers
have to spend prescreening candidates because they have already been initially screened for the position.
Type ofMessage:
Tanglewood hasmany hires without retail work experience and do not recognize the importance of positive
customer service for sales, and training does not necessarily solve the problem. It has been suggested that
new employees should be given a realistic introduction to customer service roles, while others believe a
more positive message would be helpful. It is recommended that Tanglewood should consider a Targeted
Message. The table below compares Realistic, Branded, and Targeted Messages.
Information
Conveyed
Application
Reactions
Potential
Drawback
Best For
Realistic Both positive and
negative aspects
of a job and
organization are
described
Some applicants
self-select out;
those who remain
will have a better
understanding of
the job and will
be less likely to
leave
The best potential
applicants may be
more likely to
leave
Loose labor
markets or when
turnover is costly
Branded An appealing
description is
developed based
on marketing
principles,
emphasizing
unique features of
the organization
Positive view of
the organization,
increased
intention to apply
for jobs, and
better pre-hire
information about
benefits of the job
Overly positive
message may
result in employee
dissatisfaction
after hire
Tight labor market
or for higher-value
jobs
Targeted Advertising
themes are
designed to attract
a specific set of
employees
Better fit between
application
message and
specific applicant
group
May dissuade
applicants who
aren't interested in
the work
attributes featured
in the message
from applying
Specific KSAOs,
or seeking a
specific type of
applicant
5. Targeted Recruiting Strategy:
Many managers have reported that they would like to see messages more specifically targeted to the types
of people who are likely to fit in with the Tanglewood stores culture. It is recommended that Tanglewood
should use targeted messagestoattractpeople. Targetedadvertising themes are designed to attracta specific
set of employees. There will be a better fit between application message and specific applicant group.
Targeted messages are a best fit for specific KSAOs,or seeking a specific type of applicant. However, this
may dissuade applicants who aren't interested in the work attributes featured in the message from applying.
Realism in Recruiting
People who are in favor of realistic job preview recruiting policies find that employees are more satisfied
and committed to their jobs and there is a lower turnover compared to jobs not providing a realistic job
preview in the recruiting process. On the other hand, a realistic job preview may discourage qualified
applicants from applying to such position because they have more options and it may scare them away. It
appears that this practice works better if implemented once an employee has been hired instead of early in
the recruiting process.
Realistic
Customer interaction is the essential function as a store associate. Not all customers are polite and know
from the beginning what they want, so customer store associates should be prepared to deal with different
types of customers. At Tanglewood, customer satisfaction is a priority and it must be so for store
associates as well. It is essential to be prepared to deal with customers from different backgrounds and
needs and represent Tanglewood’s positive image.
Brand
“We are committed as a company to providing maximum value to our customers, shareholders, and
employees”. At Tanglewood we value and encourage employee participation at all levels and suggestions
to improve store operations are always welcomed. Employees are the roots of this company and are
involved in the organization’s decision process to create a pleasant work environment.
Targeted
At Tanglewood we embrace diversity and focus in providing a pleasant environment for our customers
and employees.