AN EVALUATION OF THE EFFECTS OF EMPLOYEE’S RECRUITMENT METHODS

ON ORGANIZATIONAL PERFORMANCE: A CASE OF KISII TEACHING AND

REFFERAL HOSPITAL, KISII

EMILY KEMUNTO ARAKA

A Research Project Submitted to Kisii University School of Business and Economics in

Partial Fulfillment for the Requirement of the Award of Diploma in Human Resource

Management, Kisii University

NOVEMBER 2017

DECLARATION AND RECOMMENDATION

Student’s declaration

I do hereby declare that the information given in this research project is my original work on the

area of study and has never been presented to any academic institution for any award of a

diploma

……………………….. ………………………………

Sign Date

Emily Kemunto Araka

CB04/10327/15

Supervisor’s Declaration and Recommendation

This research project has been submitted with my approval as the university supervisor.

………………………….. ……………………………………

Sign Date

Mr. Justine Onyoni

Lecturer, School of Business and Economics

Kisii University

ii

DEDICATION

I would like to dedicate this work to my beloved aunt Ms Rebbeca Araka who played a major

role in my life as parent/guardian. I would also like to dedicate this work to my friends who

encouraged and supported me during the whole process.

iii

ACKNOWLEDGEMENT

Great appreciation goes to almighty God for the good health and ability for me to carry out this

research project. I want to sincerely appreciate the contributions of all those who encouraged me,

molded me to these level. I am greatly indebted to my Lecturers at Kisii University especially

Mr. Justine Onyoni, who took part in guiding me to enable me to successfully undertake this

work.

iv

ABSTRACT

In order to enhance its strategic role in organizational success, HRM must design the recruitment

plan after close coordination with the other departments within the organization. In this regard,

the plan should hold answers for questions such as: when to begin recruiting, the most

appropriate text of the message to be delivered to the targeted applicants as well as the recruiters.

The recruitment plan should align some key questions with the recruitment goals, most of these

questions taking account of the intangible qualities within a person, such as values and attitudes,

and whether they match the organization’s beliefs. The study therefore intended to evaluate the

effects of recruitment methods on organizational performance. The research was a study of

KTRH Kisii, Kisii County. The study focused on one particular phenomenon with an intention of

providing an in-depth account of events, relationships, experiences occurring in particular. The

study targeted a population of 100 respondents. The data collected was presented in both

quantitative and qualitative (that is using numerical and words) description. The data was

organized according to objectives and research questions. Closed ended question were assigned

to each category where as for open ended question, the responses were listed and marks used to

note those which were identical. Counting was done to determine the frequency of each response

and percentage calculated. The findings were discussed based on objectives and research

questions. The collected data was first classified, and then tabulated. Descriptive statistics was

used to analyze the data. The report was presented in form of tables, percentages and charts. The

study found that, the adoption of direct recruitment methods in Kisii Teaching and Referral

Hospital has led to improvement of employee performance in the hospital. Effectiveness of

interviewing process and other selection instruments in the hospital are efficient. Agents like the

HR department are efficient in selection policy of the employees. It was concluded that there is

relationship between employees recruitment methods and organizational performance. The

researcher recommended that, the management of hospitals should diversify their external human

capital recruitment sources for justification and equality for the applicants and to increase

organizational performance through recruitment of qualified applicants. Organizations in Kenya

should recruit its employees based on their competencies since a competent employee will

perform better and reduce the cost of training once they are hired in the organization. The

organizations should conduct proper training to the new staff once hired as this will improve

their level of confidence and ability with a positive effect on their performance.

v

TABLE OF CONTENTSDECLARATION AND RECOMMENDATION........................................................................ii

DEDICATION..............................................................................................................................iv

ACKNOWLEDGEMENT ..........................................................................................................iii

ABSTRACT....................................................................................................................................v

TABLE OF CONTENTS.............................................................................................................vi

LIST OF FIGURES......................................................................................................................ix

LIST OF TABLES.........................................................................................................................x

ACRONYMS AND ABREVIATIONS.......................................................................................xi

CHAPTER ONE

INTRODUCTION.........................................................................................................................1

1.1 Background Information.......................................................................................................1

1.2 Problem Statement................................................................................................................2

1.3 Objectives of the study..........................................................................................................2

1.3.1 Main objective...............................................................................................................2

1.3.2 Specific objectives.........................................................................................................2

1.4 Research questions................................................................................................................3

1.5 Significance of the study.......................................................................................................3

1.6 Scope of the study.................................................................................................................3

1.7 Limitations of the study........................................................................................................4

1.8 Operational definition of terms.............................................................................................4

CHAPTER TWO

LITERATURE REVIEW.............................................................................................................5

2.1 Review of theoretical literature.............................................................................................5

2.1.1 Planning of recruitment and selection...........................................................................5

2.1.2 Employees’ recruitment................................................................................................5

2.1.3 Best practice in employees’ recruitment.......................................................................7

2.2 Empirical review...................................................................................................................8

2.2.1 Direct recruitment methods...........................................................................................8

vi

2.2.2 Indirect Methods............................................................................................................9

2.2.3 Third party methods....................................................................................................10

2.3 Critical review.....................................................................................................................11

2.4 Research Gap......................................................................................................................11

2.5 Conceptual framework........................................................................................................13

CHAPTER THREE

RESEARCH METHODOLOGY...............................................................................................14

3.1 Research Design..................................................................................................................14

3.2 Area of study.......................................................................................................................14

3.3 Target Population................................................................................................................14

3.4 Sample Size and Sampling Procedures...............................................................................15

3.5 Data collection....................................................................................................................15

3.5.1 Research Instruments..................................................................................................15

3.5.2 Data Collection Procedures..........................................................................................16

3.6 validity and reliability of the research instruments.............................................................16

3.6.1 Validity........................................................................................................................16

3.6.2 Reliability....................................................................................................................16

3.7 Data Analysis and presentation...........................................................................................16

CHAPTER FOUR

DATA ANALYSIS, INTERPRETATION AND DISCUSSION.............................................18

4.1 Response Rate.....................................................................................................................18

4.2 Demographic Characteristics of Respondents....................................................................19

4.2.1 Gender analysis...........................................................................................................19

4.2.2 Age analysis................................................................................................................19

4.2.3 Educational Level........................................................................................................20

4.2.4 Terms of employment.................................................................................................21

4.3 Direct Methods of Employees Recruitment........................................................................22

4.4 Indirect Methods of Recruitment........................................................................................24

4.5 Third Party Methods of Employees Recruitment...............................................................26

vii

CHAPTER FIVE

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS.............................................28

5.1 Summary of Findings..........................................................................................................28

5.2 Conclusion..........................................................................................................................28

5.3 Recommendations...............................................................................................................28

5.3.1 Recommendations for Policy and Practice..................Error! Bookmark not defined.

5.3.2 Suggestions for Further Studies..................................................................................29

REFERENCE...............................................................................................................................30

APPENDICES..............................................................................................................................32

APPENDIX A: QUESTIONNAIRE .........................................................................................32

viii

LIST OF FIGURES

Figure 2.1: Conceptual Framework……………………………………………………………..13

Figure 4.1 Terms of employment……………………………………………………………….21

ix

LIST OF TABLESTable 3.1: Target population……………………………………………………………………..15

Table 4.1 Response rate …………………………………………………………………………18

Table 4.2: Gender ……………………………………………………………………………….19

Table 4.3: Age Category of respondents………………………………………………………...19

Table 4.4: Level of Education …………………………………………………………………..20

Table 4.5: Effect of direct method of employees recruitment on organization performance.…...22

Table 4.6: Effect of indirect employee’s recruitment on organization performance……….…...24

Table 4.7: Effect of employee training on tendering process ………………………………..…26

ACRONYMS AND ABREVIATIONS

HR – Human resource

HRD – Human Resource Development

HRM – Human Resource Management

HRS - Human Resource Services

JDI - Job Descriptive Index

x

KTRH – Kisii Teaching and Referral Hospital

PDP - Performance Development Planning

xi

CHAPTER ONE

INTRODUCTION

1.1 Background Information

When HR planning indicates the need for additional labor, organizations have a number of

choices to make. This may be the first step in a full-scale recruitment and selection process, but

sometimes hiring additional employees is not the best method to obtain additional labor. It may

be appropriate for an organization to consider alternatives to recruiting, such as outsourcing or

contingent labor, instead of hiring regular employees. If this is a temporary fluctuation in work

volume, the simplest solution may be part-time labor or overtime by existing employees. The

costs of recruitment and selection can be staggering; hiring new employees should occur only

after careful consideration and only when the organization anticipates a long-term need for

additional labor. Estimates on the cost to replace supervisory, technical and management

employees run from 50 percent to several hundred percent of employee salaries. Careful HR

planning must consider the overall growth prospects of the organization and accurate forecasting

of future labor needs. Recruitment planning begins only when other alternatives have been

considered and eliminated.

Many organizations fail to achieve their goals despite the possession of material resources,

technology and other devices, such as equipment and financing. The reason for this failure in

many cases may be due to lack of a human element which is capable of managing and investing

these resources in an effective manner to achieve the goals of the organization. This is especially

so in the creation of a competitive advantage for the organization which distinguishes it from

others and preserves its existence and continuation. There are many studies in the literature that

tackle the recruitment process from several view points. Historically, it could be argued that

organizations believed that the most important goal of the recruitment process will be to mobilize

the largest possible number of employment seekers, which these organizations justified under the

pretext of reducing the cost of recruitment (Wanous, 1992). Others, including Morse and

Popovich (2009) saw that the traditional philosophy of recruitment will be no more than the

selling of the organization to outsiders. According to some researchers (Singh and Finn, 2003),

organizations have relied on traditional methods of recruiting employees, such as newspaper

1

advertisements and employee referrals, which were based on the use of relatively low-tech

approaches.

1.2 Problem Statement

A poor recruitment and selection process increases the probability of a poor hire and this can

have a significant impact on the organisation financially and non financially. The financial cost

of hiring a poor recruit extends beyond the costs involved in appointing the person. It also

extends to the on-going salary costs of the person and, where a probation period is not managed

efficiently or where a position turns out to be quite different to the position that will be

advertised, legal costs. A poor recruitment decision can also have a demoralising effect on staff

as their roles may be affected while time, money and effort are spent bringing the recruit up to

standard, impacting the motivation to carry out their own roles and possibly the productivity of

the organisation.

In order to enhance its strategic role in organizational success, HRM must design the recruitment

plan after close coordination with the other departments within the organization. In this regard,

the plan should hold answers for questions such as: when to begin recruiting, the most

appropriate text of the message to be delivered to the targeted applicants as well as the recruiters.

The recruitment plan should align some key questions with the recruitment goals, most of these

questions taking account of the intangible qualities within a person, such as values and attitudes,

and whether they match the organization’s beliefs. The study therefore intended to establish the

effects of recruitment methods on organizational performance.

Objectives of the study

1.3.1 Main objective

The main objective of this study was to evaluate the effects of recruitment methods on

organizational performance.

1.3.2 Specific objectives

i. To determine the effects of direct methods of employees recruitment on organizational

performance ii. To determine the effects of indirect methods of employees recruitment on organizational

performance

2

iii. To evaluate the effects of third party methods of recruitment on organizational

performance

1.4 Research questions

i. What is the effects of direct methods of employees recruitment on organizational

performance ii. What is an effect of indirect methods of recruitment on organizational performance?

iii. What is the effect of third party methods of employees recruitment on organizational

performance?

1.5 Significance of the study

As mentioned in the introduction, organizations can make differences in their performance

according to the differences in their sources from other organizations. This debate leads us to

recognize the human capital as a valuable asset which can help organizations to achieve their

goals including competitive advantage and superiority over competitors. The importance of this

study lies in exploring methods that can help organizations to achieve their strategic goals. The

greatest challenge facing organizations now to achieve their goals and maintain survival and

continuity in a sharp competitive environment is the possession of human capital who has the

ability and willingness to work in effective manner and who can provide innovative ideas to keep

the organization safe from competitors. Hence, business world is witnessing now a race between

organizations, whether local or global, to acquire the talent, skills, and distinctive competencies

required from the human resource departments in various sectors to search seriously for such

people. A variety of different sources can be used to attract personnel to work in a particular

organization and to develop their skills, knowledge and abilities to contribute effectively towards

achieving organizational goals. The recruitment methods and procedures will always determine

the success of personnel of every organization as well as the performance of every employee to

achieve organizational goals and gain competitive advantage.

1.6 Scope of the study

The study took place at the KTRH Kisii. This area was selected since the researcher could easily

access the target respondents. It was also a vital area since the researcher saved time when

collecting the required data.

3

1.7 Limitations of the study

The study was limited to the employees of the Kisii teaching and referral hospital Kisii. This is

because the researcher needed to acquire the information directly from the employees who had

the information on the problem in question. Another setback of the study is that the employees of

KTRH were be busy and did not find adequate time to respond to the study.

1.8 Operational definition of terms

Direct recruitment methods - The various direct methods are scouting the representatives of

the organization are sent to educational and teaching institutions.

Indirect recruitment methods – This involves advertisements in newspapers, journals, on the

radio and T.V. are used to publicize vacancies.

Third party methods - These include the use of private employment agencies, management

consultants, professional bodies/associations, employee referral/recommendations, voluntary

organizations, trade unions, data banks, labour contractors etc., to establish contact with the job-

seekers.

4

CHAPTER TWO

LITERATURE REVIEW

2.1 Review of theoretical literature

2.1.1 Planning of recruitment and selection

Upfront planning includes thinking about the steps in recruitment and selection early; and

scheduling the activity, resources and time to support the process. Planning is essential in the

recruitment and selection process as it ensures the best possible process is followed. It helps to

manage time constraints and streamlines the recruitment and selection process for both the

organisation and applicant (Halaseh, 2006).

Planning is crucial as it allows analysis and design of the position to be filled to be according to

what the organisation needs at the time and in the future. The departure of a staff member

provides an opportunity to consider and analyse whether the position itself should change in

order to provide increased benefit to the organisation. Good planning also positively affects an

applicant’s experience of the recruitment and selection process and their perception of the

organisation. When the recruitment process is clear, it allows the recruiter to take a methodical

and professional approach to the task. This in turn, influences their likelihood to complete the

recruitment process and accept an offer of employment (Halaseh, 2006).

2.1.2 Employees’ recruitment

Many organizations fail to achieve their goals despite the possession of material resources,

technology and other devices, such as equipment and financing. The reason for this failure in

many cases may be due to lack of a human element which is capable of managing and investing

these resources in an effective manner to achieve the goals of the organization. This is especially

so in the creation of a competitive advantage for the organization which distinguishes it from

others and preserves its existence and continuation. There are many studies in the literature that

tackle the recruitment process from several view points (Morse, 2009).Historically, it could be argued that organizations believed that the most important goal of the

recruitment process will be to mobilize the largest possible number of employment seekers,

which these organizations justified under the pretext of reducing the cost of recruitment

(Wanous, 1992). Others, including Morse and Popovich (2009) saw that the traditional

5

philosophy of recruitment will be no more than the selling of the organization to outsiders.

According to some researchers (Singh and Finn, 2003), organizations have relied on traditional

methods of recruiting employees, such as newspaper advertisements and employee referrals,

which were based on the use of relatively low-tech approaches. Today's business environment

has forced organizations to change their perspectives about the recruitment process because of

the influence of a number of constraints on recruitment activities (Morse, 2009).According to one piece of research (Cascio, 2003), reductions in the labor pool brought

recruitment the greatest organizational attention. Another suggested reason (Thompson and

Aspinwall, 2009) is that the supply of qualified workers will never match the demand in the

labor market. Moreover, it could be argued that this is especially true in some professions and

disciplines, such as nursing, brokering in the financial markets, banking, certified public

accounting, and education (Alhusary, 2006). Some authors also pointed to a critical issue, which is the compatibility between the expectations

of the applicant to occupy the post, in terms of the benefits that will be obtained by accepting the

role, and what will actually be presented by the organization (Noe et al., 2008). It has also been

highlighted that employees’ requirements are changing: "Today's employees are becoming

increasingly concerned with balancing their work and family lives, and they are said to highly

value organizations that help them achieve this balance” (Thompson and Aspinwall, 2009, p.

196).These challenges and others have developed the concept of the recruitment process to one of an

organizational strategy that includes those practices and activities carried out by the organi-

zation with the essential objective of describing the employees needed based on their skills,

qualifications and abilities, and then attracting them in order to hire some of them (Breaugh and

Starke, 2000).The most important characteristic of the recruitment process in this current era is that it has come

to be aimed at putting the right person in the right place (Knowles et al., 2002). This goal will be

emphasized in the human resource literature. According to Croy and Duggan (2005), a

company's most valued asset is its human capital, as it makes the difference between success and

failure (Croy and Duggan, 2005). Therefore, the recruitment process should be carried out using

a systematic approach to achieve the recruitment goals successfully. Therefore, the first stage of the recruitment process is to identify targets. This stage is very

important because without specifying clear objectives, the recruitment strategy will become

meaningless (Rynes and Barber, 1990). Some authors have indicated that recruitment must be

6

managed through a systems approach (Carroll et al., 1999), and that the systematic procedure of

recruitment can be performed in four stages, each of which constitutes a sub-system which

interacts with the other three, and all interact with the recruitment process as a whole (Lewis et

al., 1997). These stages have been defined as follows: an evaluation of the vacancy in terms of its

need to be filled or not; the strategy development of whom, where and when to recruit; the

preparation of the job analysis; and the listing of the person’s specification (Carroll et al., 1999).

The most important aspect in this phase, as stated in the human resource management literature,

is that there must be a broad consensus between the HR strategy and the organizational strategy

(Sheehan and Scafidi, 2005). In spite of the integration of HRM activities within the

organizational strategy, there is recognition that the strategic role of human resource

management is still in the process of verification (Michelson and Kramar, 2003). However,

human resource management can impose a strategic role by harnessing its activities and practices

to supporting the philosophy and strategy of the organization (Mayer, 2008).

2.1.3 Best practice in employees’ recruitment

In order to enhance its strategic role in organizational success, HRM must design the recruitment

plan after close coordination with the other departments within the organization (Mayer, 2008).

In this regard, some researchers have suggested that the plan should hold answers for questions

such as: when to begin recruiting? What is the most appropriate text of the message to be

delivered to the targeted applicants? Who are the recruiters? (Breaugh, 2008). Several studies are

unanimous in including at this stage a focus on the targeted person, referred to by the term

“Person Centred" (Alvesson and Willmott, 2002). In this approach, the recruitment plan should

align some key questions with the recruitment goals, most of these questions taking account of

the intangible qualities within a person, such as values and attitudes, and whether they match the

organization’s beliefs (Townsend, 2007).The most critical issue which should be taken into account is the cost of attracting and training

new candidates (Zottoli and Wanous, 2000). Therefore, in some cases, the recruitment allocation

should be one of the largest items in the whole budget, especially if inexpensive resources, such

as employee referrals, are not sufficient. Organizations incur considerable costs in recruiting and

training new employees. Recruiting costs include advertising expenses, expenses connected with

liaising with universities and other sources of prospective employees; the cost of the analysis of

the applications to ensure that the qualifications and skills required are available, and then the

7

salaries of those who are employed (Ehrenberg and Smith, 2002). Thus, organizations must bear

the following in mind:

Because of the cost of recruiting and training workers, employers must decide on an overall

hiring strategy. Firms choosing a high wage strategy generate many applicants for each opening

and can be selective, taking only trained, experienced workers. By paying high wages they avoid

explicit and implicit costs of hiring the inexperience (Ehrenberg and Smith, 2002).

It must be noted here that HR managers can reduce the cost of screening job applicants and, at

the same time, acquire the best applicants. This is achieved as soon as they understand that there

is a large gap between knowledge and practice (Ryan and Tippins, 2004). This results in an

understanding that performance indicators measure and compare what has been achieved as a

result of the diligence of the individual, not the level of intelligence of that individual. Therefore,

those organizations which screen job applicants for values have a higher employee performance

than those which simply screen for intelligence (Delaney and Huselid, 1996).Good practice in recruitment requires HR managers to know that the use of certain recruitment

tools can affect employee effective-ness and diversity. Employee referrals, for example, affect

workforce diversity adversely (Sackett et al., 2001). Good practice in recruitment also requires

knowledge of how technology can facilitate a task and reduce its cost.

2.2 Empirical review

2.2.1 Direct recruitment methods

In this method, the representatives of the organization are sent to the potential candidates in the

educational and training institutes. They establish contacts with the candidates seeking jobs.

These representatives work in cooperation with placement cells in the institutions Persons pursu-

ing management; engineering, medical etc. programmes are mostly picked up in this manner.

Sometimes, some employer firms establish direct contact with the professors and solicit informa-

tion about students with excellent academic records. Sending the recruiter to the conventions,

seminars, setting up exhibits at fairs and using mobile office to go to the desired centers are some

other methods used to establish direct contact with the job seekers (Carolyn, 2005).

Nowadays, every organization necessitates personnel planning as one of the most vital activities.

Human Resource Planning is, by far, an essential ingredient for the success of any organization

8

in the long run. There are a number of techniques that need to be followed by every organization

that guarantees that it possesses the right number and type of people, at the right time and right

place, so as to enable the organization to achieve its planned objectives. Commonly, the objec-

tives of Human Resource Planning department include resource, planning, recruitment and selec-

tion, career planning, training and development, promotions, risk management, performance ap-

praisal, to name a few. Each of these objectives requires special attention and accurate planning

and execution (Briner, 2002).

It is of utmost importance for every organization to employ a right person on a right position.

And recruitment and selection plays a pivotal role during such situations. With shortage of skills

and the rapid spread of new technology exerting considerable pressure on how employers per-

form recruitment and selection activities, it is recommended to conduct a step-by-step strategic

analysis of recruitment and selection processes. With reference to the current context, this paper

presents an incisive review of previous literature on the recruitment and selection process. This

paper is primarily based on an analysis of six pieces of literature conducted by practitioners and

researchers in the field of Human Resource management (Onley, 2005).

2.2.2 Indirect Methods

In this method, the representatives of the organization are sent to the potential candidates in the

educational and training institutes. They establish contacts with the candidates seeking jobs.

These representatives work in cooperation with placement cells in the institutions Persons pursu-

ing management; engineering, medical etc. programmes are mostly picked up in this manner.

Sometimes, some employer firms establish direct contact with the professors and solicit informa-

tion about students with excellent academic records. Sending the recruiter to the conventions,

seminars, setting up exhibits at fairs and using mobile office to go to the desired centers are some

other methods used to establish direct contact with the job seekers. Indirect methods include ad-

vertisements in news papers, on the radio and television, in professional journals, technical mag-

azines etc. The experience suggests that the higher the position to be filled up in the organization,

or the skill sought by the more sophisticated one, the more widely dispersed advertisement is

likely to be used to reach to many suitable candidates. Sometimes, many organizations go for

what is referred to as blind advertisement in which only Box No. is given and the identity of the

9

organization is not disclosed. However, organizations with regional or national repute do not

usually use blind advertisements for obvious reasons (Dasaraju, 2014).

Successful recruitment techniques involve an incisive analysis of the job, the labour market sce-

nario/ conditions and interviews, and psychometric tests in order to find out the potentialities of

job seekers. Furthermore, small and medium sized enterprises lay their hands on interviews and

assessment with main concern related to job analysis, emotional intelligence in inexperienced job

seekers, and corporate social responsibility. Other approaches to selection outlined by Jones et al.

(2006) include several types of interviews, role play, group discussions and group tasks, and so

on.

Any management process revolves around recruitment and failure in recruitment may lead to dif-

ficulties and unwanted barriers for any company, including untoward effects on its profitability

and inappropriate degrees of staffing or employee skills (Jones et al. 2006). In additional, insuffi-

cient recruitment may result into lack of labour or hindrances in management decision making,

and the overall recruitment process can itself be advanced and amended by complying with man-

agement theories. According to these theories, the recruitment process can be largely enhanced

by means of Rodgers seven point plan, Munro-Frasers five-fold grading system, personal inter-

views, as well as psychological tests (Jones et al. 2006).

2.2.3 Third party methods

These include the use of private employment agencies, management consultants, professional

bodies/associations, employee referral/recommendations, voluntary organizations, trade unions,

data banks, labour contractors etc., to establish contact with the job- seekers (Syamala, 2014).

Now, a question arises: which particular method is to be used to recruit employees in the organi-

zation? The answer to it is that it will depend on the policy of the particular firm, the position of

the labour supply, the Government regulations in this regard and agreements with labour organi-

zations. Notwithstanding, the best recruitment method is to look first within the organization

(Syamala, 2014).

However, the process of recruitment does not cease with application of candidature and selection

of the appropriate candidates, but involves sustaining and retaining the employees that are se-

lected, as stated by Silzer et al. (2010).

10

Work of Silzer et al. (2010) will be largely concerned with Talent management, and through

their work they were successful in resolving issues like whether or not talent is something one

can be born with or is it something that can be acquired through development. According to

Silzer et al (2010), that will be a core challenge in designing talent systems, facing the organiza-

tion and among the senior management. The only solution to resolve the concern of attaining ef-

ficient talent management will be by adopting fully-executable recruitment techniques. Regard-

less of a well-drawn practical plan on recruitment and selection as well as involvement of highly

qualified management team, companies following recruitment processes may face significant ob-

stacles in implementation. As such, theories of HRM can give insights in the most effective ap-

proaches to recruitment even though companies will have to employ their in house management

skills for applying generic theories across particular organizational contexts. Word conducted by

Silzer et al (2010) described that the primary objective of successful talent strategies is to create

both a case as well as a blueprint for developing the talent strategies within a dynamic and highly

intensive economy wherein acquisition, deployment and preservation of human capital-talent

that matter,, shapes the competitive advantages and success of many companies (Silzer et al.

2010).

2.3 Critical review

Becker (2011) argued that job analysis involves determining the knowledge, skills and attributes

(KSA) required to perform a particular role. Job analysis is critical to recruitment and selection

because it is the foundation of a high quality process and when done well identifies not only the

skills and knowledge required to perform a role but also the attributes, which can be used to

assess ‘cultural fit’ within an organisation. Job analysis helps to identify the key selection criteria

and inform the position description, which are both key aspects in attracting suitable candidates.

A poor job analysis is likely to adversely affect the quality of outcomes, irrespective of how well

the rest of the selection process is executed. For example, without proper job analysis,

interviewers may develop incorrect beliefs about the position requirements and hire a person

unsuitable for the role (Becker, 2011).

2.4 Research Gap

Every organization has to employ the HR practices including recruitment and selection

procedures. Attracting the right candidates to apply for vacant roles is an important step in the

11

recruitment and selection process. It is important to understand how your attraction strategy has

worked by evaluating the process undertaken. Attraction is the result of a range of activities and

processes, including employer branding, employment value proposition, recruitment and

induction. Attraction strategies provide opportunities for an organisation to market and

communicate the benefits they can offer applicants (Becker, 2011).

12

2.5 Conceptual framework

The recruitment methods determine the performance of employees in a particular organization as

well as its cumulative performance entirely. Most organizations use direct and indirect

recruitment methods as well as third party methods. All this methods however, should have an

agenda of selecting the best preferred candidates to deliver the required tasks of the job. The

figure below illustrates more on the above statement.

Independent Variable Dependent Variable

Recruitment methods

Figure 2.1 conceptual framework

13

Intervening factors Interviewing Job analysis Attraction

Direct methods

Indirect methods

Third party methods

Organizational Performance

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Research Design

The study adapted descriptive survey design of investigation in order to establish the effects of

recruitment methods on organizational performance. The descriptive survey design is essential in

the preliminary and exploratory studies because it allowed the researcher to gather information,

summarize, present and interpret the results for the purpose of classification (Orodho, 2004).

This descriptive survey research study was intended to provide statistical information about the

recruitment methods and challenges encountered and the available viable information with

regard recruitment techniques. According to Best and Kahn (1992), descriptive research is

designed to obtain information concerning the current information or phenomenon to draw valid

conclusion. This is because descriptive research is detailed and suite the study since the practice

covers a wider area and plays a major role in performance according to the employees.

3.2 Area of study

The location of the study was Kisii town, in Kisii County, Nyanza Province. This locale was

chosen because of convenience to the researcher and persisted overwhelming Human Resource

practices. Moreover, the area was suitable for the financial provision for this research.

3.3 Target Population

The research study targeted the staff of the Kisii teaching and referral hospital. The people

interviewed were the heads of various departments, the nurses and support staff. The targeted

population for the study was 100 employees of KTRH and comprised of the departmental heads

and employees from other departments. This information is relayed in the table below;

14

Table 3.1: Target population

Category Targeted population Percentage Heads of departments 5 5%Supervisors 7 7%Nurses 54 54%Human resource 6 6%Support staff 20 20%Finance 8 8%Total 100 100%Source: Researcher (2017)

3.4 Sample Size and Sampling Procedures

In this study, sampling was done through simple random sampling implying that the sample was

selected basing on some preset reason. The researcher used the nurses, supervisors and support

staff due to their exposure to various aspects of the study and it is therefore presumed that they

were able to respond to the study questions more readily. Simple random sampling was adopted

for this study by use of random numbers. To enable the researcher generalize findings to the

whole population, a total of 100 employees was used. Statistically, in order for generalization to

take place, a sample of at least10% to 30% must exist (Mugenda and Mugenda, 2003). This

study targeted 30% of the population in each category hence a sample of 30 employees of

KTRH.

3.5 Data collection

3.5.1 Research Instruments

According to Johnson (2009), data collection is the process of gathering and measuring

information on variables of interest, in an established systematic fashion that enables one to

answer stated research questions, test hypotheses, and evaluate outcomes. The data collection

component of research is common to all fields of study including physical and social sciences,

humanities, business, etc. While methods vary by discipline, the emphasis on ensuring accurate

and honest collection remains the same.

The study collected primary and secondary data. Primary data was collected from respondents

using an anonymously filled questionnaire distributed to respondents whereby they were given

15

out to individuals who filled the forms and returned. The questionnaire was semi-structured

containing both closed and open-ended questions.

3.5.2 Data Collection Procedures For the purpose of this research, and in order to achieve the objectives, both primary and

secondary data were used. The secondary data contributed towards background information,

while primary data was collected by administering the questionnaire. A letter of authorization

from Kisii University was provided as a request for permission to conduct the study. The

researcher assured the respondents confidentiality of the information given. The researcher

administered the questionnaire to the sampled participants. The researcher gave adequate time to

participants to respond to the questionnaire.

3.6 validity and reliability of the research instruments

3.6.1 Validity

This is the degree at which a particular measuring procedure gives similar results over a number

of repeated trials. To test reliability, test-retest method was used. This involved administering of

the same instrument twice to the same group of respondents. The second was administered after

a two weeks period.

3.6.2 Reliability

Validity is a degree to which a test measures what it purports to be measuring. The validity of

these instruments was achieved through submission of the draft to the experts/authority/ lecturers

to check its clarity and relevance. The validity of the research in this case was declared by the

research supervisor.

3.7 Data Analysis and presentation

The data collected was presented in both quantitative and qualitative (that is using numerical and

words) description. The data was organized according to objectives and research questions.

Closed ended questions were assigned to each category where as for open ended question, the

responses were listed and marks used to note those which were identical. Counting was done to

determine the frequency of each response and percentage calculated. The findings were

discussed based on objectives and research questions. The collected data was first classified, and

then tabulated. Descriptive statistics methods of mean and averages was used to analyze the data.

16

The report was presented by use of tables, percentages; charts for treatment of sample population

were for interpretation. Interpretation of the analyzed data was on percentages by classification

and responses towards a particular aim of investigation.

CHAPTER FOUR

DATA ANALYSIS, INTERPRETATION AND DISCUSSION

4.1 Response Rate

The researcher issued out 30 questionnaires to the respondents to fill. Only 28 questionnaires

were filled and retuned giving response rate of 93.3% with non response rate of 6.7%. This high

17

response was achieved because the researcher self administered the questionnaires on a drop and

pick later basis.

Table 4.1 Response rate

Category of Response Frequency Percentages Re-

sponse

Non response

rateHeads of departments 1 3.3 3.3%Supervisors 2 6.7 0.0%Nurses 15 50 3.4%Human resource 2 6.7 0.0%Support staff 6 20 0.0%Finance 2 6.7 0.0%Total 28 93.3% 6.7%Source: Field Data, (2017)

This response rate in table 4.1 above conforms to Mugenda and Mugenda (2003) stipulation that

a response rate of 50% is adequate for analysis and reporting; a rate of 60% is good and a re-

sponse rate of 70% and above is excellent. This shows that respondents were willing to partici-

pate in the study.

4.2 Demographic Characteristics of Respondents

This section will discuss gender, age, level of education and terms of employment of the respon-

dents

4.2.1 Gender analysis

Table 4.2: Gender

Gender Frequency PercentagesMales 20 71.4

Females 8 28.6

Total 28 100

Source: Field Data, (2017)

18

Table 4.2 shows that, 71.4% of the respondents were male and 28.6% represented females. This

indicates that the study observed gender balance in data collection.

4.2.2 Age analysis

Table 4.3: Age Category of respondents

Age Frequency Percentages18-25 3 10.7

26-35 6 21.4

36-45 10 35.7

46-55 8 28.6

Above 56 1 3.6

Total 28 100

Source: Field Data, (2017)

Table 4.3 above, shows that 10.7% of the employees were aged between 18–25 years, 21.4% of

the employees were aged between 26–35 years, 35.7% of the employees were aged between 36–

45 years, 28.6% of the employees were aged between 46–55 years and 3.6% of the employees

were aged above 56 years. This implies that most of the employees from Kisii Teaching and Re-

ferral Hospital are age between (36-45 years). This indicates that they were old. The study there-

fore did not collect information from young employees consequently reflecting the views from

older employees.

4.2.3 Educational Level

Employees were requested to indicate their educational level and the findings were presented as

below;

Table 4.4: Level of Education Educational Level Frequency PercentagesPostgraduate 5 17.9Graduate 15 53.6Tertiary 8 28.5Secondary 0 0Total 28 100 Source: Field Data, (2017)

19

Table 4.4 shows that 17.9% of the employees were postgraduates, 53.6% of the employees were

graduates, 28.5% of the employees had reached tertiary level and none of the employees were

form four leavers. This shows that most of the employees from Kisii Teaching and Referral Hos-

pital have attained degree indicating they have adequate knowledge to effectively contribute on

employees recruitment methods.

4.2.4 Terms of employment

Terms of employment was evaluated to determine the level of employees satisfaction with their

job in the institution

Figure 4.1 Terms of employment

Source: Field Data, (2017)

The figure above shows that most of employees in Kisii Teaching and Referral Hospital have

been employed on contract indicating that they are not satisfied with their job.

20

21

4.3 Direct Methods of Employees Recruitment

The aim of the researcher was to determine the effects of direct methods of employees recruit-

ment on organizational performance. The findings are presented as shown in the tables below;

Table 4.5: Effect of direct method of employees recruitment on organization performanceStrongly

agree

5

Agree

4

Undecided

3

Disagree

2

Strongly

disagree

1

∑fi ∑fiwi ∑fiwi

∑fi

Adoption of the

methods in

company has led to

employee

performance

11 10 6 1 0 28 115 4.1

Organization employ

internally to enhance

quality of service by

employees

3 8 1 8 8 28 74 2.6

The HR department

uses laws required in

recruitment and

selection

10 7 6 3 2 28 104 3.7

Organization uses

appraisal techniques

to foster promotion

and rewards

11 9 6 0 2 28 111 4.0

The HR team act as

a consultant to

enhance the quality

of pre-screening

process

8 8 7 4 1 28 102 3.6

Source: Field Data, (2017)

Table 4.5 shows that adoption of the direct recruitment methods in company has led to em-

ployee performance organization was rated high of 4.1, uses appraisal techniques to foster pro-

22

motion and rewards rated 4.0, HR department uses laws required in recruitment and selection

rated 3.7, HR team act as a consultant to enhance the quality of pre-screening process rated 3.6

and organization employ internally to enhance quality of service by employees rated 2.6. This

shows that, the adoption of direct recruitment methods in Kisii Teaching and Referral Hospital

has led to employee performance organization. This indicates that internal recruitment methods

are effective in improving employees performance in the hospital. According to Sarma,(2008),

employer firms usually work in cooperation with placement bureaus of educational institutions

or contact professors directly to gather information about students with outstanding academic

records. This method is low-cost and attracts numerous applicants at a short period of time.

23

4.4 Indirect Methods of Recruitment

The aim of the researcher was to determine the effects of indirect methods of recruitment on em-

ployee performance. The findings are presented as shown in the tables below;

Table 4.6: Effect of indirect employee’s recruitment on organization performance

Strongly

agree

5

Agree

4

Undecided

3

Disagree

2

Strongly

disagree

1

∑fi ∑fiwi ∑fiwi

∑fi

Effectiveness of

interviewing process

and other selection

instruments are

efficient

10 9 7 2 0 28 111 4.0

HR provides an

adequate pool of

quality applicants

2 6 6 7 7 28 73 2.6

Organization is

doing timeliness

recruitment and

Selection process

10 9 6 3 0 28 110 3.9

Organization’s

affirmative action

needs clarified and

supported in

selection process

0 3 7 9 9 28 60 2.1

Organization clearly

define position

objectives,

requirements and

candidate

specifications

9 9 7 2 1 28 107 3.8

Source: Field Data, (2017)

Table 4.6 shows that, effectiveness of interviewing process and other selection instruments are

efficient rated high of 4.0, organization is doing timeliness recruitment and selection process

24

rated 3.9, organization clearly define position objectives, requirements and candidate specifica-

tions in the recruitment process rated 3.8, HR provides an adequate pool of quality applicants

rated 2.6 and organization’s affirmative action needs clarified and supported in selection process

rated 2.1. This shows that, effectiveness of interviewing process and other selection instruments

in Kisii Teaching and Referral Hospital are efficient. This indicates why the hospital prefers us-

ing indirect recruitment method despite being expensive. According Sarma(2008), indirect

method is useful when there are no suitable candidates to be promoted within the company; the

organization is aiming at reaching out a vast territory; or a very specific specialist is needed.

25

4.5 Third Party Methods of Employees RecruitmentThe aim of the researcher was to evaluate the effects of third party methods of recruitment of

employees on organizational performance. The findings are presented as shown in the table be-

low;

Table 4.7: Effect of employee training on tendering process

Strongly

agree

5

Agree

4

Undecided

3

Disagree

2

Strongly

disagree

1

∑fi ∑fiwi ∑fiwi

∑fi

Agents maintains an

adequate pool of

quality “protected

class” applicants

10 9 7 2 0 28 111 4.0

Agents like the HR

Department is

efficient in Selection

Policy of the

employees

12 11 4 1 0 28 118 4.2

Agents finds good

candidates from non-

traditional sources

when Necessary

11 10 7 0 0 28 116 4.1

HR agencies train

hiring employees to

make the best hiring

decisions

0 5 6 7 10 28 62 2.2

HR team act as a

consultant to enhance

the quality of the

applicant pre-

screening process

0 4 5 9 10 28 59 2.1

Source: Field Data, (2017)

26

Table 4.7 shows that agents like the HR department is efficient in selection policy of the employ-

ees rated high of 4.2, agents finds good candidates from non-traditional sources when Necessary

rated 4.1, agents maintains an adequate pool of quality “protected class” applicants rated 4.0, HR

agencies train hiring employees to make the best hiring decisions rated 2.2 and HR team act as a

consultant to enhance the quality of the applicant pre-screening process rated 2.1. This shows

that, agents like the HR department in Kisii Teaching and Referral Hospital is efficient in selec-

tion policy of the employees. This indicates why the hospital also uses third party recruitment

method. Syamala (2014) opined that third party is typically used for recruiting candidates for the

positions that are difficult to fulfill or for candidates from a specific working field.

27

CHAPTER FIVE

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

5.1 Summary of Findings

The aim of the study was to establish the effects of recruitment methods on organizational

performance. The first objective of the study was to determine the effects of direct methods of

employees recruitment on organizational performance. The study found that, the adoption of

direct recruitment methods in Kisii Teaching and Referral Hospital has led to employee

performance in the hospital. This indicates that internal recruitment methods are effective in

improving employees performance in the hospital. The second objective of the study was to

determine the effects of indirect methods of recruitment on employee performance. The study

found that, effectiveness of interviewing process and other selection instruments in Kisii

Teaching and Referral Hospital are efficient. This indicates why the hospital prefers using

indirect recruitment method despite being expensive. The third objective of the study was to

evaluate the effects of third party methods of recruitment of employees on organizational

performance. The study found that, agents like the HR department in Kisii Teaching and Referral

Hospital is efficient in selection policy of the employees. This indicates why the hospital also

uses third party recruitment method.

5.2 Conclusion

From the findings, it can be concluded that, the adoption of direct recruitment methods in organi-

zations has led to employee performance. Secondly it was concluded that, effectiveness of inter-

viewing process and other selection instruments in organizations are efficient. Thirdly, it was

concluded that, agents like the HR department in organizations is efficient in selection policy of

the employees. Lastly, it was concluded that there is relationship between methods of employees

recruitment and organizational performance.

5.3 Recommendations From the results of the study, the researcher makes the following recommendations; the manage-

ment of hospitals should diversify their external human capital recruitment sources for justifica-

tion and equality for the applicants and to increase organizational performance through recruit-

ment of qualified applicants. The hospital in Kenya should use realistic job previews as part of

28

recruitment message during advertisement as this will assist applicants to do self-selection on

whether they are qualified to apply for the vacancies or not and hence only qualified applicants

will apply for vacancies available.

Organizations in Kenya should recruit its employees based on their competencies since a compe-

tent employee will perform better and reduce the cost of training once they are hired in the orga-

nization. The organizations should conduct proper training to the new staff once hired as this will

improve their level of confidence and ability with a positive effect on their performance.

5.4 Suggestions for Further Studies

The study mainly evaluated the effects of recruitment methods on organizational performance

with reference to Kisii Teaching and Referral Hospital. Similar studies could be carried in other

similar organizations in the country. Further research could also be conducted to evaluate other

methods of recruitment apart from the one assessed in the study.

29

REFERENCE

Brandon, Carolyn, (2005) Truth in Recruitment Branding. HR Magazine,

Breaugh, J.A. and Starke, M (2000) Research on Employee Recruitment: So Many Studies, So

Many Remaining Questions. Journal of Management, 26: 405-434.

Brown, J. (2002) The Importance of Calculating Cost Per Hire. International Public

Management Association for Human Resources, www.ipma-hr.org.

Cappeli, P. (2001) Making the Most of On-line Recruiting. Harvard Business review, 79(3).

CIPD (2005) Annual survey report 2005: Recruitment, Retention and Turnover, www.cipd.co.uk.

Conway, N. and Briner, R. B. (2002) A daily diary study of affective responses to psychological

contract breach and exceeded promises. Journal of Organizational Behavior, 23: 287-

302.

Dawn S. Onley (2005), Improving Your Online Application process. HR Magazine, October

2005.

Deery, S., Iverson, R. D. and Walsh, J. T. (2006) Towards a Better Understanding of the

Psychological Contract Breach: A Study of Customer Service Employees. Journal of

Applied psychology, 91 (1): 166-175.

Garvey, Ch. (2005) Next Generation Hiring Metrics. HR Magazine, 50 (4): 70-76.

HR Focus (2004), The Pros and Cons of Online recruiting, 81, S

HR Focus (2006), Background Checks Are Increasingly Required, 83 (5):11-15.

Internet World Statistics, www.internetworldstats.com.

Kanter, R. M. (1997), Men and Women of the Corporation. Basic Books, New York.

Lester, S. W., Turnley, W. H., Bloodgood, J. M. and Bolino, M. C. (2002) Not seeing eye to eye:

differences in supervisor and subordinate perceptions of and attributions for

psychological contract breach. Journal of Organizational Behavior, 23:39-56.

30

National Statistics UK, National Statistics Omnibus Survey 2005, www.statistics.gov.uk.

Nielsen//NetRatings, www.nielsen-netratings.com.

Recruiting Roundtable (2004), Diversity Recruiting: Hardwiring an Organisational

Commitment to Diversity. Corporate Executive Board, www.recruitingroundtable.com.

Recruiting Roundtable (2004), Key Developments in Recruiting: A Framework for Breaking the

Compromise between Quality of Hire and Cycle Time. Corporate Executive Board,

www.recruitingroundtable.com.

Robinson, S. L., Kraatz. M. S. And Rousseau, D. M (1994) Changing obligations and the

psychological contract: A longitudinal study. Academy of Management Journal, 37 (1),

137-152.

Ryan, A. M. and Tippins, N. T. (2004) Attracting and Selecting: What psychological research

tells us. Human Resource Management, 43 (4): 305-318.

Saratoga U.S Human Capital Effectiveness Report 2005, The Saratoga Review,

www.pwc.com/saratoga.

Taleo Research (2001) Best Practices for European 500 Career Web Site Recruiting, A Report

from Taleo Research.

Zottoli, M. and Wanous, J. (2000) Recruitment Source Research: Current Status and Future

Directions. Human Resource Management Review

31

APPENDICES

Appendix A

Questionnaire

Dear respondent,

I am a student at Kisii University undertaking a field study and developing a research project on

the effects of recruitment methods on organizational performance in Kenya. This questionnaire is

meant to collect data that will be used only for academic purposes and the information given

shall be treated with utmost confidentiality.

PART A

Personal information (Tick where necessary)

1. What is your age?

18-25 26-35 36-45

46-55 56 and above

2. What is your gender?

Male Female

3. What is your highest level of education?

Secondary level Tertiary level Graduate Post graduate

4. What is your marital status?

Single Married Divorced Widow Widower

5. What are your terms of employment?

Permanent Contract

32

PART B

Direct recruitment methods and performance

On a scale of 1-5 (Where 5=Strongly Agree, 4= Agree, 3=Not Sure 2=Disagree and 1=Strongly

Disagree) please score your agreement to the following; the use of direct recruitment

methods leads to organizational performance

PARTICULARS 5 4 3 2 1

The adoption of direct recruitment methods

in the company has led to employee

performance The organization employ internally to

enhance quality of service by employeesThe HR department uses the laws required

in recruitment and selectionThe organization uses employee appraisal

techniques to foster promotion and rewardsThe HR team act as a consultant to enhance

the quality of the applicant pre-screening

process

33

Indirect recruitment methods and performance

On a scale of 1-5 (Where 5=Strongly Agree, 4= Agree, 3=Not Sure 2=Disagree and 1=Strongly

Disagree) please score your agreement to the following: use of indirect recruitment

methods leads to organizational performance

PARTICULARS 5 4 3 2 1

The effectiveness of the interviewing

process and other selection instruments,

such as testing are efficientHR provides an adequate pool of quality

applicantsThe organization is doing timeliness

recruitment and Selection processThe organization’s affirmative action needs

clarified and supported in the selection

processThe organization clearly define the position

objectives, requirements and candidate

specifications in the recruitment process

Third party recruitment methods and performance

On a scale of 1-5 (Where 5=Strongly Agree, 4= Agree, 3=Not Sure 2=Disagree and 1=Strongly

Disagree) please score your agreement to the following: use of third party recruitment

methods leads to organizational performance

PARTICULARS 5 4 3 2 1

34

The agents maintains an adequate pool of

quality “protected class” applicantsThe agents like the HR Department is

efficient in Selection Policy of the

employeesAgents finds good candidates from non-

traditional sources when NecessaryHR agencies train hiring employees to

make the best hiring decisionsHR team act as a consultant to enhance the

quality of the applicant pre-screening

process

Thanks

35