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What are the advantages and disadvantages of internal promotion and external recruitment?
First, the advantages of internal promotion
? 1. Internally promoted employees have worked in the company for many years, and the company is quite familiar with internally promoted employees. It is safer to promote internal employees than to hire new ones.
2. Internally promoted employees are very familiar with the enterprise, and the running-in period of new positions is short. Especially in the case that the company is a unique enterprise, it is difficult for outsiders to adapt, and the benefits of promoting internal employees are more obvious.
3. Employees who have been promoted internally already have a good customer relationship, which is the non-transferable human capital owned by internal employees. For the company, the promotion of internal employees can use these resources to continue to serve the company. If you hire new people, you may need to reinvest in building relationships.
4. For employees who get internal promotion, he may think that he has the possibility of promotion at first, and then work harder; In addition, his promotion has set a precedent for other employees in the company and inspired grassroots employees to work hard.
5. The harder it is to confirm the performance of employees, the greater the superiority of internal promotion. Because it is much easier to observe whether someone is promoted than to observe the performance of each employee, the enthusiasm of enterprises to honor their promises is far greater than to honor performance pay.
6. Internal promotion can reduce the incentive cost of employees with special preference for power. Because internal promotion not only means increasing wages, but also means having more power. For those who are more sensitive to power than money, internal promotion can not only play an incentive effect that money can't achieve, but also relatively reduce the monetary cost of incentives.
Second, the shortcomings of internal promotion.
? 1. Internal promotion is limited by the nature of work. For example, an excellent model worker is not necessarily an excellent manager. Therefore, internal promotion can only be carried out between positions with similar requirements for employees' abilities.
? 2. Internal promotion will easily aggravate the power struggle within the enterprise. For example, the president of an enterprise is promoted from vice president, which may intensify the struggle between vice presidents, especially vice presidents with little difference in ability. They may spend more time and energy on expressing their personal abilities than on mutual cooperation. If you recruit from the outside, everyone will die, but it is possible to cooperate well.
3. In some positions where the ability is easy to be observed or there are good observation indicators, the effect of external recruitment is better. Such as university professors, accountants, engineers, etc.
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