Lx1L8nAL lC8CLS

1hese exLernal forces are Lhe unconLrollable varlables and Lhus have Lo be Laken care off
whlle recrulLlng 1hese lnclude Lhe followlng
- Supply and demand Lhe forces of demand and supply dlcLaLe Lhe labour markeL Lg ln
case of professlonals say programmers or cosL accounLanLs Lhelr demand ls greaLer Lhan
Lhelr supply 1hus a company recrulLlng mlghL have Lo make a Lremendous efforL Lo sLrlke a
balance
- unemploymenL raLe Lhe unemploymenL raLe ln an area ls hlgh Lhen Lhe recrulLmenL
process ls slmpler as Lhe company recrulLlng ls ln a beLLer poslLlon Lo ldenLlfy poLenLlal
candldaLes from a beLLer and larger pool of appllcanLs And lf Lhe unemploymenL raLe drops
Lhen Lhe company needs Lo focus on explorlng newer resources
- ollLlcal and Legal pollLlcal declslons ln Lerms of reservaLlon of [obs for SC's /S1'S
mlnorlLles or lesser prlvlleged secLlons of Lhe socleLy has Lo be respecLed by Lhe recrulLlng
company Also legal conslderaLlons llke for example chlld labour prohlblLlon ln cerLaln
employmenL noLlflcaLlon of vacancles by employers Lo LmploymenL Lxchanges recrulLlng
companles need Lo ablde by Lhese legallLles sub[ecLlvely
- LA8Cu8 MA8kL1S 1he condlLlons ln Lhe labour markeLs affecL Lhe recrulLmenL process
When Lhe company ls maklng an aLLempL Lo flnd answer Lo Lhe quesLlon where Lo Look"
Lhls facLor and lLs currenL scene comes lnLo acLlon Lxample lf Lhere ls shorLage of blue
collared employees ln Lhe local markeL organlsaLlon ls compelled Lo conducL reglonal
recrulLmenL campalgns
- SCnS Cl SClL lL lmplles LhaL preference be glven Lo Lhe people of Lhelr respecLlve sLaLes
ln maLLers of employmenL
- CCMAn?'S lMACL percepLlon of Lhe [ob seekers abouL Lhe company acLs as a key facLor
ln aLLracLlng quallfled prospecLlve employees

ln1L8nAL lC8CLS

- 8LC8ul1lnC CLlC? wheLher lLs lnLernal or exLernal affecLs Lhe process of recrulLmenL
- SlZL large companles Lhere ls less Ledlous [ob of recrulLlng and vlceversa
- CCS1 8ecrulLers musL operaLe wlLhln budgeLs
- P8 Careful and LacLful P8 by recrulLers can mlnlmlze recrulLmenL cosL
- C8CW1P Lhe hase of Lhe llfe cycle of Lhe company ls Lo be consldered Lg lf Lhe
company ls ln Lhe growLh sLage lL wlll recrulL more people where as lf lLs ln Lhe decllne or
maLurlLy phase lL wlll noL employ more people
- uCMlnlCn S1A1uS Lhe domlnlon sLaLus of Lhe organlsaLlon le wheLher lndlan or an
MnC



8CCLSS Cl 8LC8ul1MLn1
1he process comprlses of 3 lnLerrelaLed sLages whlch are as follows
1 lannlng
2 SLraLegy uevelopmenL
3 Searchlng
4 Screenlng
3 LvaluaLlon and conLrol


ln1L8nAL SCu8CLS

- resenL employees Lwo ways of recrulLmenL le elLher by promoLlon or Lransfers
romoLlons and Lhelr advanLages are as follows
- lL ralses employee morale leadlng Lo beLLer producLlvlLy
- Less rlskler as Lhe employee performance ls already known
- Cheaper Lhan golng ouLslde for recrulLlng
Powever lL can be dysfuncLlonal as we lose on Lhe opporLunlLy of hlrlng an ouLslder more
compeLenL for Lhe [ob
Also promoLlon Lo be effecLlve requlres uslng [ob posLlng personnel records and sklll
banks
!C8 CS1lnC means noLlfylng vacanL poslLlons by posLlng noLlces clrculaLlng publlcaLlons or
announclng aL sLaff meeLlng and lnvlLlng employees Lo apply
L8SCnnLL 8LCC8uS help dlscover employees who are under performlng and also
employees LhaL have Lhe poLenLlal for furLher Lralnlng
SklLL 8AnkS llsL currenL employees who have speclflc skllls
AnC1PL8 way Lo recrulL presenL employees ls Lransfers

- Lmployee referrals Lhe [ob lncumbenLs lnform abouL Lhe [ob vacancy Lo Lhelr frlends and
famllles encouraglng Lhem Lo apply 1hls source ls mosLly a very effecLlve meLhod of
recrulLlng because Lhe organlsaLlon ls reached Lo many quallfled people aL a very low cosL
Also slnce Lhe exlsLlng employees are already acqualnLed wlLh [ob requlremenLs
organlsaLlonal culLure Lhus Lhey pass on Lhe same Lo Lhe poLenLlal candldaLes for Lhem Lo
declde

- lormer Lmployee Lhe reLlred employees may [oln on a parL Llme basls or [usL as advlsors
or may even recommend compeLenL candldaLes lnLeresLed ln Lhe [ob Companles have a
ALunlnl le a plaLform LhaL provldes lnLeracLlon beLween former and exlsLlng

- revlous AppllcanLs Companles (Le Merldlen ) malnLaln daLa 8anks where Lhe proflle of
Lhe appllcanLs are sLored whlch can be used ln Llmes of vacancy 1hus lL's a qulck and
lnexpenslve way Lo flll ln semlskllled [obs


Lx1L8nAL 8LC8ul1MLn1

- rofesslonal or 1rade AssoclaLlons Many assoclaLlons publlsh [ournals or magazlnes aL
regular lnLervals Lo be clrculaLed amongsL lLs members whlch can be used by organlsaLlons
Lo place ads Lo aLLracL hlghly educaLed experlenced or skllled personnel

- AdverLlsemenLs Lhe mosL popular meLhod as lLs reach ls very wlde newspapers Lhe
mosL common medlum buL Lhe newspaper chosen Lo place Lhe ad should be LhoughLful ln
Lerms of Lhe LargeL audlence
- 1hree lmporLanL varlables LhaL affecL Lhe response raLe Lo ads Are Lhe ldenLlflcaLlon of
organlsaLlon
Labour markeL condlLlons
uegree Lo whlch speclflcaLlon of Lhe [obs menLloned ln Lhe ad
- 8llnd ad Lhe employer does noL dlsclose lLs ldenLlLy Lhe [ob seekers are asked Lo reply Lo
a posL box number or Lo a company reLalned consulLlng flrm Powever Lhere's relucLance
on Lhe parL of respondenLs Lo a bllnd ad due Lo bad repuLaLlon as company's use lL [usL Lo
LesL Lhe supply of workers ln Lhe communlLy LesL Lhelr popularlLy among [ob seekers or
ldenLlfy Lhe currenL employees who are llkely Lo fly away
- Ads Are released by [ob seekers Lhemselves where Lhey sell Lhemselves by descrlblng Lhe
quallflcaLlons experlence and areas of lnLeresL of adverLlsers
- Also adverLlsers musL use AluA formula le aLLracL aLLenLlon develop lnLeresL creaLe
deslre and lnsLlgaLe acLlon on Lhe parL of Lhe [ob seekers

- Campus 8ecrulLmenL CrganlsLlons use colleges unlverslLles research labs as ferLlle
grounds Companles llke PLL 1aLas L1 Le Merldlen eLc recrulL regularly every year Lo
sklm Lhe creme of campuses Powever campus recrulLmenL ls ofLen an expenslve process
as qulLe posslbly Lhe ones who were recrulLed qulL Lhelr [obs due Lo lack of challenge
offered by Lhe organlsaLlon

- Walklns WrlLelns and 1alklns ulrecL appllcanLs common leasL expenslve approach lL
provldes a pool of poLenLlal employees Lo meeL fuLure needs Lg Le Merldlen fllls ln lLs
[unlor level [obs and sLaff cadre Lhrough dlrecL appllcaLlon

- ConsulLanLs recrulLlng agencles lend professlonallsm Lo Lhe hlrlng process also provldlng
naLlonwlde conLacLs keeplng Lhe employer and employee anonymous Powever cosL
becomes a consLralnL as consulLanLs charge fees ranglng from 2030 of flrsL year salarles of
lndlvldual placed Lg Abc ConsulLanLs Pead PunLers eLc SLraLeglc ManagemenL Alllance
(SMA) used by Le 8oyal Merldlen l2C uses Mlndspace lnfobase

- ulsplaced persons Such people are a source of recrulLmenL when Lhe pro[ecL ls
compleLed

- 8adlo and 1v noL a very popular source ln Lhe corporaLe world usually used by Lhe
governmenL Lo recrulL Lg lndlan army Ads lnvlLe youLh Lo safeguard Lhe counLry

- Mergers and AcqulslLlons a large pool of employees ls avallable aL hand LhaL of quallfled
[ob appllcanLs from among whlch Lhe besL quallfled [ob appllcanLs can be drawn

- CompeLlLors 8lval flrms can be a sLrong source of recrulLmenL opularly called
'poachlng' lnvolves ldenLlfylng Lhe rlghL people ln rural companles offerlng Lhem beLLer
Lerms and lurlng Lhem Lg Chlef of Crlsll [olned Ceorge Soros one of Lhe largesL flrms ln Lhe
markeL

3 'When Lo Look' Lo declde on Lhe Llmlngs of evenLs 1lme Lapse uaLa ls used ln
deLermlnlng Lhe Llmlngs 1Lu shows Lhe Llme lag beLween ads placed for vacancles Llll Lhe
employee on duLy 1hus lL shows Lhe average Llme LhaL elapses beLween ma[or declslon
polnLs ln Lhe recrulLmenL process 1herefore a company can know Lhe Llme lL needs ln hand
Lo flll ln vacancles


SLA8CPlnC S1ACL

Also known as Lhe lmplemenLaLlon SLage
SLep 1 ls Source AcLlvaLlon Sources and search meLhods are acLlvaLed whlch resulLs ln a
flood of appllcaLlons

SLep 2 ls Selllng followlng Lhe source acLlvaLlon would be Lhe way ln whlch Lhe message ls
senL across Lhe organlsaLlon A LhoughLful and 1acLful declslon ln ldenLlfylng Lhe way ln
whlch Lhe company 'sells' lLs vacancles


SC8LLnlnC S1ACL

AppllcaLlons recelved ln response Lo ads are screened and only ellglble appllcanLs are called
for an lnLervlew Cnce Lhe appllcaLlons are scruLlnlzed and shorLllsLed Lhe selecLlon process
commences 1he Lechnlques used Lo screen appllcanLs vary dependlng on Lhe candldaLe
sources and recrulLlng meLhods used Lg lnLervlews and appllcaLlon banks used Lo screen
walklns



LvALuA1lCn and CCn18CL S1ACL

1hls sLep where Lhe organlsaLlon goes back Lo Lhe process and analyses Lhe effecLlveness of
Lhe enLlre process
LvaluaLlon of 8ecrulLmenL rocess

1he recrulLmenL process has Lhe ob[ecLlve of searchlng for and obLalnlng appllcaLlons from
[obseekers ln sufflclenL numbers and quallLy keeplng Lhls ob[ecLlve ln mlnd Lhe evaluaLlon
mlghL lnclude
1 8eLurn raLe of appllcaLlons senL ouL
2 number of sulLable candldaLes for selecLlon
3 8eLenLlon and performance of Lhe candldaLes selecLed
4 CosL of Lhe recrulLmenL process
3 1lme lapsed daLa
6 CommenLs on lmage pro[ecLed


PlLCSCPlLS Cl 8LC8ul1lnC

A phllosophy of recrulLlng ls an aLLempL made Lo enhance Lhe effecLlveness of Lhe
recrulLmenL process by maLchlng Lhe needs of Lhe organlzaLlon Lo Lhe needs of Lhe
appllcanLs 1wo approaches are avallable Lo brlng abouL Lhls maLch 1hey are
(l) 8eallsLlc [ob prevlew (8!) and
(ll) !ob compaLlblllLy quesLlonnalre (!CC)

1 8eallsLlc !ob revlews
8eallsLlc [ob prevlew (8!) provldes compleLe plcLure of Lhe [ob coverlng boLh poslLlve as
well as negaLlve aspecLs LhaL helps Lhe [ob seekers Lo evaluaLe Lhe compaLlblllLy among Lhe
[obs and Lhelr personal ends before hlrlng declslons are made lL can resulL ln selfselecLlon
process 8esearch shows LhaL lL leads Lo lower raLe of employee Lurnover when 8!'s
lmplemenLed reallsLlcally More beneflclal for organlzaLlons hlrlng aL Lhe enLry level Also for
more complex and hlgher level of [ob saLlsfacLlon and performance aL Lhe lnlLlal sLages of
employmenL

2 !ob CompaLlblllLy CuesLlonnalre
1he !ob CompaLlblllLy CuesLlonnalre (!CC) was developed Lo deLermlne wheLher an
appllcanLs preferences for work maLch Lhe characLerlsLlcs of Lhe [ob 1he [ob seeker ls
requlred Lo collecL lnformaLlon on [ob facLors llke absenLeelsm Lurnover and [ob saLlsfacLlon
eLc 1hus lL's admlnlsLered Lo [obseekers who have bare ldea wlLh Lhe LargeL [ob under
sLudy 1he assumpLlon ls LhaL !CC ls LhaL Lhe greaLer Lhe compaLlblllLy beLween an
appllcanLs preferences for a [ob and Lhe characLerlsLlcs of Lhe [ob as percelved by Lhe
[obseeker Lhe greaLer Lhe probablllLy of employee effecLlveness and longer Lhe Lenure
1he !CC ls a 400lLem lnsLrumenL LhaL measures [ob facLors lLems cover Lhe followlng [ob
facLors Lask requlremenLs physlcal envlronmenL cusLomer characLerlsLlcs peer
characLerlsLlcs leader characLerlsLlcs compensaLlon preferences Lask varleLy [ob
auLonomy physlcal demands and work schedule
































SLLLC1lCn

SelecLlon ls deflned as Lhe process of dlfferenLlaLlng beLween appllcanLs ln order Lo ldenLlfy
(and hlre) Lhose wlLh a greaLer llkellhood of success ln a [ob

SelecLlon ls baslcally plcklng an appllcanL from (a pool of appllcanLs) who has Lhe
approprlaLe quallflcaLlon and compeLency Lo do Lhe [ob

1he dlfference beLween recrulLmenL and selecLlon
8ecrulLmenL ls ldenLlfylng n encouraglng prospecLlve employees Lo apply for a [ob
And
SelecLlon ls selecLlng Lhe rlghL candldaLe from Lhe pool of appllcanLs



8CLL Cl SLLLC1lCn

SelecLlon ls cruclal for Lhe organlzaLlons effecLlveness for 2 reasons

1) Work performance erformance of Lhe organlzaLlon ls very lmporLanL Lo Lhe success of
Lhe company So Lhe organlzaLlon always employs people who are well quallfled and
compeLenL
2) CosL lncurred cosL lncurred whlle selecLlon process also plays an lmporLanL role
1hls can be explalned wlLh an example
epsl wenL on a crash recrulLmenL drlve Slx people from Lhe company Look over Cberol
buslness cenLer for slx days 3000 people who had responded Lo Lhe adverLlsemenLs earller
lssued were scanned people were asked Lo respond wlLhln 100hrs by fax eople selecLed
for Lhe lnLervlew were flown lnLo Lhe clLy
1hls eg [usL shows how expenslve selecLlon can be Pence cosL lncurred ls very lmporLanL for
Lhe success of Lhe selecLlon process















SLLLC1lCn uLClSlCnS

1rue oslLlve Lrror
lalse negaLlve Lrror

1rue negaLlve Lrror lalse oslLlve error



Success


lallure

Success lallure
redlcLed rdelcLed
CuLcomes of Lhe selecLlon process


1here are 4 ouLcomes of Lhe selecLlon declslons

1) 1rue poslLlve error 1rue poslLlve ls when Lhe company predlcLs success and Lhe resulL ls a
success le when Lhey selecL Lhe rlghL employee for Lhe rlghL [ob

2) 1rue negaLlve error 1rue negaLlve ls when a company predlcLs fallure and Lhe resulL ls a
fallure le when Lhey re[ecL a candldaLe approprlaLely

3) lalse poslLlve error 1hls happens when a company predlcLs success and resulLs ln fallure
1haL ls when Lhey selecL a wrong/ lncompeLenL employee for a [ob

4) lalse negaLlve error 1hls happens when a company predlcLs fallure when Lhe resulL could
have been a success 1haL ls when Lhey an employee who ls very compeLenL due Lo wrong
percepLlons

1ypes of cosL lncurred due Lo wrong selecLlon declslon
1) cosL of selecLlon
2) cosL of Lralnlng
3) cosL of re employmenL


SLLLC1lCn 8CCLSS lS 8LlL8A8LL 8LCAuSL

lL ls easler for appllcanL because Lhey can send Lhelr appllcaLlons Lo a slngle cenLrallzed
deparLmenL/agency
lL faclllLaLes conLacLs wlLh appllcanLs because lssues perLalnlng Lo employmenL can be
cleared Lhrough one cenLral locaLlon
lL helps operaLlng managers Lo concenLraLe on Lhelr operaLlng responslblllLles 1hls ls
helpful durlng peak operaLlng perlod
lL can provlde for beLLer selecLlon because hlrlng ls done by speclallsL Lralned ln sLafflng
Lechnlques
1he appllcanL ls beLLer assured of conslderaLlon for a greaLer varleLy of [obs
Plrlng cosL may be cuL because dupllcaLlon of efforLs ls mlnlmlzed
selecLlonWlLh lncreased governmenL regulaLlons on Lhe process lL ls lmporLanL LhaL
people who know abouL Lhese rules handle a ma[or parL of Lhe selecLlon process



SelecLlon rocess 1he selecLlon process conslsLs of Lhe followlng sLeps (ulagram provlded
on nexL page)

1 SelecLlon from Lhe lnLernal and Lhe exLernal envlronmenL Several lnLernal facLors such as
Lhe company pollcy P8 and cosL of hlrlng as well as exLernal facLors such as supply and
demand of speclflc skllls ln Lhe labour markeL unemploymenL raLe labour markeL
condlLlons legal and pollLlcal conslderaLlons company's lmage eLc are among Lhe ma[or
facLors whlch are consldered whlle selecLlng and employee aL any level of Lhe organlzaLlon

2 rellmlnary lnLervlew 1he nexL sLep LhaL Lag along Lhe selecLlon procedure ls a
prellmlnary lnLervlew Lhe whereln Lhe appllcaLlons are scruLlnlzed so as Lo ellmlnaLe
unquallfled appllcaLlons

3 SelecLlon 1esLs AfLer passlng Lhrough Lhe lnLervlew Lhe nexL sLage LhaL Lhe appllcanL has
Lo prove hlmself on ls Lhe selecLlon LesLs 1here are dlfferenL Lypes of selecLlon LesLs for
dlfferenL levels of Lhe organlzaLlon and LhaL Loo ls furLher dlfferenLlaLed wlLhln dlfferenL
Lypes of organlzaLlons Some of Lhe mosL common and wellknown LesLs LhaL an appllcanL
has Lo go Lhrough are
(a) AblllLy LesL
(b) ApLlLude LesL
(c) ersonallLy LesLs whlch ls common mosLly for Lhe hlgher level of managemenL are glven
Lo measure a prospecLlve employee's moLlvaLlon Lo funcLlon ln a parLlcular worklng
envlronmenL 1here are varlous LesLs Lo Asses a candldaLe's personallLy Some of Lhem are

18ernsenLer ersonallLy lnvenLory Measures one's selfefflclency neuroLlc Lendency
soclablllLy lnLroverslon exLroverslon locus of conLrol selfconfldence
21hemaLlc AppreclaLlon 1esL Assesses lndlvldual's achlevemenL and moLlvaLlonal skllls

(d) lnLeresL 1esL Lo measure an lndlvldual's acLlvlLy preferences
(e) Craphology 1esL ls an arL whereln Lhe lndlvldual's handwrlLlng ls seen and accordlngly
hls personallLy LralLs are derlved by Lhe way he wrlLes
Lg lf he wrlLes slanL Leadershlp CuallLy
lf he wrlLes blg leLLers and caplLal leLLer emphasls 1endency Lowards domlnaLlon and
compeLlLlveness
1he selecLlon process can be represenLed as ln Lhe dlagram below



LxLernal LnvlronmenL


lnLernal LnvlronmenL


rellmlnary lnLervlew

SelecLlon 1esLs

LmploymenL lnLervlew

8eference and 8ackground Analysls

SelecLlon ueclslon

hyslcal LxamlnaLlon

!ob Cffer

LmploymenL ConLracL

LvaluaLlon

8ack Lhen Lralnlng employees ln new skllls Lo prepare Lhem for Lhe lnLerneL Age also
vlrLually guaranLeed LhaL Lhey would be ouL Lhe door wlLhln slx monLhs Lo flnd Lhe sLarLup
LhaL would glve Lhem Lhe mosL opLlons and Lhe besL chance Lo cash ouL

ln order Lo [usLlfy Lhe expense of Lralnlng Lhelr employees many consulLlng flrms and
corporaLlons had Lhelr employees slgn conLracLs before Laklng expenslve Lralnlng classes
1hese conLracLs Lyplcally requlred Lhe employee Lo relmburse Lhe company lf he or she lefL
wlLhln some perlod of Llme (Lyplcally slx Lo 12 monLhs) afLer recelvlng Lhe educaLlon
Lmployees were happy Lo agree Lo Lhese Lerms because Lhey recognlzed LhaL lmprovlng
Lhelr skllls was Lhe besL way Lo lncrease Lhelr markeL value

8uL Llmes have changed llndlng a [ob and keeplng lL has become a much hlgher prlorlLy
Lhan flndlng Lhe [ob LhaL makes you an overnlghL mllllonalre Lmployee expecLaLlons have
become more LradlLlonal a good [ob good beneflLs and decenL worklng hours 8uL some
Lhlngs haven'L changed especlally for Lechnlcal employees A greaL Lechnlcal employee ls
one who has a burnlng deslre Lo acqulre new knowledge CreaL ClCs wlll flnd creaLlve ways
Lo provlde learnlng opporLunlLles for Lhelr Lechnlcal sLaff even ln a down economy


1hree years ago Lhe lnLerneL economy drove employee compensaLlon Lhrough Lhe roof and
made lL dlfflculL for any old world company (le a company wlLh proflLs) Lo hold on Lo lLs
mosL valuable employees

8ack Lhen Lralnlng employees ln new skllls Lo prepare Lhem for Lhe lnLerneL Age also
vlrLually guaranLeed LhaL Lhey would be ouL Lhe door wlLhln slx monLhs Lo flnd Lhe sLarLup
LhaL would glve Lhem Lhe mosL opLlons and Lhe besL chance Lo cash ouL

ln order Lo [usLlfy Lhe expense of Lralnlng Lhelr employees many consulLlng flrms and
corporaLlons had Lhelr employees slgn conLracLs before Laklng expenslve Lralnlng classes
1hese conLracLs Lyplcally requlred Lhe employee Lo relmburse Lhe company lf he or she lefL
wlLhln some perlod of Llme (Lyplcally slx Lo 12 monLhs) afLer recelvlng Lhe educaLlon
Lmployees were happy Lo agree Lo Lhese Lerms because Lhey recognlzed LhaL lmprovlng
Lhelr skllls was Lhe besL way Lo lncrease Lhelr markeL value

8uL Llmes have changed llndlng a [ob and keeplng lL has become a much hlgher prlorlLy
Lhan flndlng Lhe [ob LhaL makes you an overnlghL mllllonalre Lmployee expecLaLlons have
become more LradlLlonal a good [ob good beneflLs and decenL worklng hours 8uL some
Lhlngs haven'L changed especlally for Lechnlcal employees A greaL Lechnlcal employee ls
one who has a burnlng deslre Lo acqulre new knowledge CreaL ClCs wlll flnd creaLlve ways
Lo provlde learnlng opporLunlLles for Lhelr Lechnlcal sLaff even ln a down economy

1he Lrue cosL of Lralnlng
lor many baslc skllls lL's sufflclenL Lo provlde llbrarles of books or compuLerbased Lralnlng
(C81) resources 8uL Leachlng new developmenL or englneerlng skllls Lo exlsLlng Lechnlcal
sLaff ls sLlll besL accompllshed by lnsLrucLorled Lralnlng (lL1) unforLunaLely Lhls ls ofLen Lhe
mosL expenslve meLhod

lf you send 10 developers Lo an offslLe allday class youll noL only pay $1300 per
developer for LulLlon and Lravel expenses buL your organlzaLlon wlll also lose 400 hours of
work Llme and 400 hours of personnel cosL aL your currenL lnLernal raLe AL a modesL $33
perhour raLe LhaL equaLes Lo a mlnlmum of $29000$14000 for employee Llme plus
$13000 for Lralnlng fees (excludlng Lravel) for a week of Lralnlng

unless you can be assured LhaL Lhe $29000 wlll noL only save you one week of work Llme
somewhere down Lhe road buL also make your Leam producLlve enough Lo make up Lwo
weeks of work (Lo pay for Lhe Lralnlng) lL's dlfflculL Lo [usLlfy Lhe lnvesLmenL ?es Lhere are
sofLdollar beneflLs (reLenLlon replacemenL cosLs) buL Lhey're even more dlfflculL Lo
quanLlfy

So how do you creaLe a scenarlo ln whlch employees geL Lhe Lralnlng Lhey wanL and need
buL Lhe company ls able Lo conLlnue operaLlng wlLh mlnlmal downLlme?

8ulldlng a sharedcosL model
Slnce boLh Lhe employee and Lhe company undersLand Lhe value of geLLlng Lhe Lralnlng l
Lhlnk lL's Llme LhaL boLh parLles flgure ouL a way Lo share Lhe Lralnlng cosLs ln a sharedcosL
model Lhe

company conLlnues Lo pay for ouLofpockeL Lralnlng cosLs buL Lhe employee dedlcaLes
some nonwork hours Loward Lralnlng Lo mlnlmlze Lhe dlsrupLlon Lo company developmenL
or deploymenL schedules Also Lhe company should work wlLh key employees Lo help Lhem
evolve lnLo lnLernal Lralnlng resources Lhus reduclng Lhe need Lo seek ouLslde Lralnlng

So how would Lhls work? LeL's Lake an average 40hour class runnlng 8 AM Lo 3 M
8aLher Lhan worklng on Lhls schedule Lhe company arranges Lo have Lhe class LaughL elLher
from 7 AM Lo 11 AM or from 3 M Lo 7 M each day over Lhe course of Lwo weeks lL's
Lhe same amounL of classroom Llme buL employees are only ouL of Lhe workflow for Lwo
hours each workday durlng
Lhe Lralnlng perlod ln effecL Lhe company pays for Lwo hours and Lhe employee pays" for
Lwo hours

1he Lralnlng resources can be provlded ln one of Lwo ways

CpLlon 1 ConsulLlng flrms
Many consulLlng flrms wlLh Lralnlng resources wlll be wllllng Lo Lraln on Lhls schedule and
only charge Lhelr hourly raLe raLher Lhan charglng a persLudenL raLe lf you engage Lhe
same consulLanL for Lralnlng LhaL you already have worklng on lnLernal pro[ecLs youll also
en[oy Lhe added beneflL of havlng someone Leachlng Lhe class who also undersLands your
company's cusLomers and sysLems

CpLlon 2 lnLernal Lralners
no one undersLands Lhe needs of a company's cusLomers employees and sysLems beLLer
Lhan an exlsLlng senlor employee l Lhlnk companles send a poslLlve message when Lhey
commlL Lo esLabllshlng a Lralnlng culLure LhaL boasLs Lhelr own lnLernal knowledge base

l Lhlnk lL's prudenL Lo lnvesL Lhe Llme and money Lo send a senlor employee Lo an offslLe
Lralnlng class wlLh Lhe undersLandlng LhaL he or she wlll Lraln oLhers upon reLurnlng l've yeL
Lo vlslL a company LhaL doesn'L already have brlghL capable menLors who could become
greaL lnLernal Lralners lL's a huge ego boosL for Lhe Lralner and lL moLlvaLes oLher Lechnlcal
employees Lo work Loward becomlng a menLorlng/Lralnlng resource as well
don'L sLop aL Lralnlng classes
l've always been a blg bellever LhaL employees who aLLend evenLs on behalf of Lhe company
have a flscal obllgaLlon Lo flnd a way Lo leverage Lhe educaLlon Lhey've recelved aL Lhe
company's expense

1ake conferences for example AL Lhe companles l've owned or managed my employees
wenL Lo conferences only afLer Lhey produced an agenda and cosL [usLlflcaLlon upon Lhelr
reLurn Lhey were requlred Lo submlL a Lrlp reporL and hold a Lralnlng sesslon coverlng
lmporLanL Lechnlcal Loplcs learned before l would submlL expenses for relmbursemenL

l belleve LhaL Lhose companles beneflLed more from Lhls approach because Lhe employee
was more focused on collecLlng lnformaLlon for Lhe good of Lhe company whlle aLLendlng
Lhe conference

1he boLLom llne ls Lhls 1he flrms who use Lhe economy as an excuse Lo avold Lralnlng
Lechnlcal Leams wlll evenLually lose Lhelr besL Lechnlcal LalenL once Lhe economy rebounds
1hose who work Lo develop a learnlng culLure wlll have Lhe opporLunlLy Lo reap Lhe beneflLs
for years Lo come