When there is a shortage of people in enterprise management, does the enterprise recruit people internally or externally?

In the process of enterprise development, recruitment is an indispensable link. For grass-roots employees, enterprise managers can directly choose external recruitment, but for important positions such as department managers and middle and senior managers, many enterprise managers are struggling to choose external recruitment or internal selection.

Should enterprises "select internally" or "recruit externally" when middle and senior management positions are vacant? On this issue, let's first look at the practices and reasons of General Electric and Cisco: 80% of senior positions in General Electric are selected from within, and almost all of these senior personnel have spent their careers in General Electric. Connati, human resources manager of General Electric, said. "Our principle is to tap internal talents, and we don't want to rely on outsiders unless we have to." This can be seen from the annual investment of GE in its management training center in Crotonville, new york and other internal manager development projects of 654.38 billion US dollars. Unlike GM, Cisco Systems hopes to recruit talents from outside. John Chambers, CEO of Cisco, said that over the years, only 60% of vacancies in Cisco were filled by internal personnel, and the rest were from outside. "From the perspective of talent selection and strategic development, external talents are more likely to stimulate innovation inspiration."

Should we recruit talents from outside or from inside? Both companies are Fortune 500 companies, and they have completely different methods and viewpoints. In fact, there is no absolutely correct answer to this question. Then let's understand the advantages and disadvantages of internal selection and external recruitment.

First, the advantages and disadvantages of internal selection:

(1) Advantages:

1. Understand corporate culture and values

Internal employees have a better understanding of the development history, culture and operating conditions of the enterprise, and have been able to integrate well into the corporate culture, share the same values and mission with the enterprise, and have a high degree of loyalty.

2. Easy to communicate and coordinate

Internal employees are familiar with the business, management methods and corporate culture of the enterprise, and it is easier to communicate and coordinate in departmental cooperation and communication, which improves the work efficiency of the organization and is easy to exert organizational effectiveness.

3. It is conducive to the career development of internal employees.

If there is a vacancy in the enterprise, the enterprise ignores the progress of the original employees and directly chooses external recruitment, which will make the employees lose the room for promotion in the enterprise, thus causing the employees to improve their salary and position through job hopping. If an enterprise can form an internal promotion mechanism, it can well motivate employees to strive for self-improvement and improve morale.

4. Low employment risk and low cost.

When an enterprise selects talents internally, it can comprehensively evaluate employees' work attitude, quality, ability and development potential. In a word, the risk of employing people is lower than that of external recruitment At the same time, employees selected from within the enterprise often recognize the existing salary system of the enterprise. After promotion, their salary requirements can meet the current situation of the enterprise, and there will be no situation in which externally recruited talents propose salaries that the enterprise cannot meet.

(2) Disadvantages:

1. is not conducive to internal unity of enterprises.

Selection by content is often more wolves than meat, and there are many people who want to be promoted and raised, but there are not many job vacancies. Once bad competition is triggered, it may lead to problems such as intrigue and mutual destruction, so the competition of internal talents is not conducive to the unity within the organization.

2. It is difficult to guarantee fairness.

The internal selection system of many enterprises cannot be fair, open and just, and the fairness of selection is often difficult to guarantee. At the same time, it is also prone to such unhealthy phenomena as "inbreeding" and "cliques". What's more, once one of them is promoted, other candidates may be dissatisfied, leading to passive slack and dissatisfaction with management.

3. Unable to introduce fresh blood

The "catfish effect" vividly expresses the collision force brought by external impact to the interior. The same is true of enterprise management. If we choose internal talents for a long time, without the inflow of fresh blood, it will inevitably lead to an enterprise entering old age and recession prematurely. Long-term solidified management knowledge and thinking will make enterprises stand still and stagnate in reform and innovation. If enterprises can't replenish some fresh blood regularly, they will easily become closed, and enterprises are likely to suffer from "comfort" syndrome, stick to the rules and ignore new development opportunities.

Second, the advantages and disadvantages of external recruitment:

(1) Advantages:

1. Break the unfairness within the organization and promote healthy competition within the organization.

The fairness of external recruitment is far superior to internal selection, because external recruitment can give internal competitors a certain psychological balance to a certain extent and avoid disunity among internal members of the organization. The "catfish effect" tells us that the entry of foreign talents will inevitably bring pressure to the original employees, create a sense of crisis, stimulate morale and potential, and avoid inbreeding.

2. Effective communication with external information

External recruitment is also an effective way to communicate with external information, which can help enterprises establish a good external image. The joining of new employees will bring new ideas and concepts to the enterprise, which is conducive to enterprise management and technological innovation and prevent rigidity.

There is a lot of room for selecting talents.

There is a wide range of talents recruited from outside, and there is a large choice. The probability of recruiting excellent talents is higher, especially some rare compound talents. Although it costs a lot, it can still save a lot of expenses for internal training and business training.

(2) Disadvantages:

1. This is both difficult and expensive.

It is difficult to screen external talents and the recruitment cost is high. At the same time, it takes a long time for external talents to understand the job responsibilities and workflow, which leads to an increase in the recruitment cost of enterprises to some extent. Recruiting talents from outside, they often offer salaries 20% to 30% higher than those from inside.

2. Strike the enthusiasm of internal staff

Recruiting talents from outside is easy to hit the enthusiasm and self-confidence of enterprising talents in enterprises.

3. Easy to "acclimatize"

Because external talents don't fully understand the corporate culture and workflow, it is easy to conflict with their previous work habits, and they are likely to be "acclimatized" after coming to the enterprise, unable to display their talents or limited to display their talents.

Summary:

On the whole, the comprehensive advantages of internal selection are higher than external recruitment, especially for middle and senior managers. Grass-roots managers are mainly responsible for implementation, that is, doing things mainly, which requires them to be very familiar with the company's business, so internal selection is better than external recruitment to some extent; For top managers, they are not responsible for the implementation of a specific matter, but focus on controlling the overall operation mechanism of the enterprise. If internal selection is given priority to, it is easy to form a "small group", so external recruitment is partly due to internal selection.

For those talents urgently needed by enterprises but not available internally, it is best to adopt external recruitment. As for the recruitment cost, it can be avoided to some extent, and it can be made up by other means in many cases.