Online Manpower Agency Recruitment: Makes Employment Process Easy

CHAPTER 2

REVIEW OF RELATED LITERATURE AND STUDIES

This research paper discusses about the concept of e- recruitment and the main
purpose of this particular research to know about the general impacts, effects,
advantages and disadvantages of e –recruitment especially in the context of job
seekers.

FOREIGN LITERATURE

Keim, Malinowski, & Weitzel (2015) argued that recruiting and developing the
right human resources is a fundamental source of innovation for many corporations.
Also, as scarcities of certain skill profiles appear on the labor market, shortened time-to-
hire represents an important competitive advantage as evident with fact that in recent
years, adoption of IT has contributed to the efficient recruitment of many rare and
diverse skill profiles in firms. In addition, the adoption of IT within corporate HR
processes impacts not only on internal individuals and service providers but also on
external individuals like job seekers.

Kaur (2015) discussed that, the process of finding and hiring the best-qualified
candidate (from within or outside of an organization) for a job opening is a timely and
cost effective manner. The recruitment process includes analyzing the requirements of
a job, attracting employees to that job, screening and selecting applicants, hiring, and
integrating the new employee to the organization. Essentially, the process involves
seeking and attracting a pool of qualified applicants using various feasible recruitment
methods.

Dr. Ankita Jain, Ankita Goyal (2014), studied that E-HRM is a progression in
which all the HR plans, policies and practices are undertaken through an internet
medium. E-Recruitment is an internet medium through which job seekers can apply for
vacancies online. Here the job seekers can attach their curriculum vitae and application
form and the recruiters can get the detail of the candidates. Online recruitment helps the
organization to make a cut on cost and time taken to choose candidates.

According to Chignell (2013), the evolution of online recruitment can be mapped

from 1994, when Monster.com first emerged as an online tool for organizations to
connect with potential candidates. Nowadays there are numerous online job boards
and holistic e-recruitment portals on many company websites. E-recruitment is now all
about attracting the right applicant for the role, and is as much a challenge for the
employer as it is for the applicant searching for a vacancy.

According to Pitcher (2010), online recruitment application and website might be

regarded as the extended version of all functions performed by the company. With the
commonality of this concept, approximately five hundred companies across the globe
have established their official websites having webpages dealing with recruitment
specifications. The job seekers are further given the liberty to surf with more flexibility
with the onset of job domains that directly link the potential candidate to the organization
of his interest. Such virtual tinge added to the otherwise routine hiring processes should
be welcome by employers, as communication flow is more coherent among the two
parties that make it easier for both of them.

According to the investigation done by Haroon and Zia-ur-Rehman (2010) in

Pakistan, a total of sixty-five (65) respondents from small and large firms of the different
sectors of the industries in Pakistan participated in the study. Data were collected
through telephone interviews. They showed that preference was given to small firms as
compared to large firms in terms of using internet recruitment. They also showed that
large firms had their own websites and use them for recruitment as compared to small
firms. They also revealed that online recruitment became a new medium that was going
to replace the other traditional sources of recruitment because online recruitment
offered reduced recruitment costs, time-saving capability, quick response features in
checking application status, and online resume development.

A survey conducted by Williams (2009) on E-recruitment showed dwindling

recruitment spends focused on web-based recruitment at the expense of traditional
methods. The author also reported that online methods proved far more popular, as
two-thirds (66 per cent) of the HR professionals surveyed said that the jobs section of
their own company's website was used as a recruitment tool for most jobs.

According to Smyth, Bradley and Rafter (2009), online recruitment is a better

option not only for the job seekers but also for the company. The job seekers can
navigate the entire website in a time span of few seconds, read the relevant information
of a particular job, the brand status of the company and its treatment with the present
employees. Not only this, the job specifications, staff profiles, career development
opportunities are also well executed to make it easier for the potential candidate to
make a decision. Job seekers can choose among two or more companies offering a
same job.

According to Sylva and Mol (2009), globalization has probed further challenge for
the smooth implementation of the online recruitment procedures adopted by
organizations. With the increase in competition, companies are willing to induce more
graphical and animated features on their websites and applications so that potential
candidates might try to revisit the online portal and take notice of the company’s offering
with regard to career development opportunities. Various market strategies are
employed to further enhance online recruitment features offered to the applicants. In the
contemporary world, online presence is crucial for the success of organizations.
Therefore employers must put forward their utmost effort to satisfy willing candidates for
the job by tackling them as consumers who have the ability to either raise or diminish
the brand image of the company.

According to the study conducted by Parry and Tyson (2009) on the recruitment
activities of corporations for a period of six years with the use of survey and interview
methods, questions were asked as to why the respondents utilized or did not employ
online recruitment, whether they predicted their use of the Internet for recruitment to
change, and what impact they expected Internet recruitment to have on the use of other
recruitment methods. Human Resource directors and managers, finance directors,
managing directors and recruitment specialists from a sample of UK organizations with
over 25 employees were the respondents of the study. There were 25,524 responses in
the survey and twenty (20) HR or resourcing managers were interviewed. The results of
the survey showed that the most common reasons of using corporate or commercial
websites in their recruitment were cost-effectiveness (75%), ease of use for candidates
(64%), a larger candidate pool (53%), ease of use for the organization (52%), speed to
hire (52%), and company policy (50%). On the other hand, the less common reasons
were success in finding candidates (44%) and keeping ahead of competitors (32%). The
interview results supported these findings. The interviewees disclosed that the company
used online recruitment in order to reduce recruitment costs and to improve the
efficiency of the recruitment process. These were the significant drivers for the adoption
of both corporate and commercial websites. In the same study, about half of the
interviewees suggested that the need to “move with the times” or to “keep up with other
organizations” be the primary motivation to adopt online recruitment. It was also found
out that interviewees who had positive experiences of online recruitment believed that
this form of recruitment could minimize the time taken to hire employees because
posting advertisements on the Internet was faster. Interviewees also described the
online recruitment as cost-effective since it reduced the use of paper. As regards the
success of the online recruitment, mixed results were reported. Interviewees described
the success of online recruitment in terms of sufficient generation of shortlist candidates
or the ability to attract good-quality applicants. However, this was not true for all who
were interviewed.

In the study done by Kar and Bhattacharya (2009), they determined the factors
that could contribute to the effectiveness of the job portals and the elements of the job
portal that could help increase the users’ satisfaction on the use of the portal. Survey
method and personal interviews were conducted to meet these objectives. Two hundred
fifty (250) purposively selected respondents participated in the study. The study
established that the age group 18-22 years old and 33 years old and above had more
likely to search jobs through job portals. The curriculum vitae distribution and the face-
to-face interaction were the key factors contributing to the popularity of job portals.
Respondents believed that they would be more satisfied with the job portals if chat
facility, online test, and help desk/call center facilities were available at the job portals.

LOCAL LITERATURE

Mary Grace G. Ventura and Rex P. Bringula (2013), analyzed that Online
recruitment is set to change the way in which companies recruit their workers. Online
recruitment, as a fundamental business process, is the removal of complex and
unnecessary paper works, and the introduction of streamlined workflow systems,
reliable database applications, and efficient communication channels between job
seekers and managers. “At a relatively low cost, the Internet offers employers and job
searchers access to detailed and up-to-date information about job searchers and job
vacancies in different locations around the world”

FOREIGN STUDIES

Arif, Ameen, & Rafiq (2018) applied the Unified Theory of Acceptance and Use of
Technology model to investigate factors affecting student use of Allama Iqbal Open
University’s (AIOU) Web based services the perspective of Pakistani distance
education. A total of 388 master’s level students, selected through systematic sampling
were administered self-completion structured questionnaire based survey with response
rate of 82%. All statistical test were performed using IBM SPSS and process macro for
SPSS. The finding of the model’s hypothesis revealed that performance expectancy,
effort expectancy and social influence were significant predictors of student behavioral
intention to use AIOU, whereas actual student use is dependent on facilitating
conditions and student behavioral intention to use. The impact of moderating variables
with respect to age, gender and experience did not influence the actual use of Web
services. It was their first atempt to apply the UTAUT model to investigate the factors
affecting student use of Web based services from the perspective of distance education.

Mansoori, Sarabdeen, & Tchantchane (2018) aimed at exploring the factors that
might motivate citizens to adopt the e-Government public services proveded by the
government of the Abu Dhabi Emirate. A total of 638 UAE citizens living in 3 main
districts of the Abu Dhabi Emirate were surveyed wherein exploratory and confirmatory
factor analysis were used to confirm the validity of the theoretical model and both
multiple regression and the structural equation modeling was used to test the research
hypothesis. The finding revealed that internet trust and performance expectancy was
the strongest predictor of intention to use e-Government services. Effort expectancy,
facilitating conditions and trust had a positive influence on behavioral intention.
However, social influence did not have a significant effect. Gender, age and experience
did not affect the relationship between social influence and behavioral intention. It was
also found that the behavioral intention to use e-Government services had a significant
influence on the actual use of e-Government sites. Moreover, author argued that the
study is suitable in the context of developing countries like UAE. They had used ‘trust in
Internet use’ as an additional predictor of behavioral intention. The survey was
distributed online using Qualtrics.com survey tools which had been responded by 638
respondents with as strong kaiser-meyer-olkin (KMO) measure of sampling adequacy of
0.932 and reliability level of the seven constructs ranging from 0.781 to 0.927

. Abed (2018) examined UTAUT in the context of social commerce(s-commerce)

through survey questionnaire of 441 Instagram users in Saudi Arabia using structural
equation modeling. Findings revealed that social influence and trust are the most
influencing significant factors affecting behavioral intention. In contrast, the effect of
facilitating conditions on behavioral intention was found not insignificant. As s-
commerce does not have a standard definition, it commonly refers to the delivery of e-
commerce activities through the social media environment.

According to the study adopted by Khanam, Uddin, & Mahfuz (2015) at Unified
Theory of Acceptance and Use of Technology model which was formulated on 2003 to
determine university students’ adoption factors and responses towards online
recruitment in Bangladesh. A total of 288 applicants were asked to report their response
on four independent variables: performance expectancy, effort expectancy, social
influence and self-efficiency affecting the user adoption or acceptance on e-recruitment
system where social influence was not considered to be a significant predictor in this
model.

According to Khan (2013), online recruitment is a media of bringing

effectiveness and efficiency for the employers in finding the right candidates for
the right positions. Hence, the focus his study is to analyze the effectiveness of
online recruitment for the recruiters by developing a model which shows different
dimensions of online recruitment including online recruitment media preference,
perceived advantage, and improvement in several stages of recruitment. As the
internet is extensively used by the job applicants, organizations should invest to
the establishment of online recruitment infrastructure that is economically sound as
compared to traditional approaches.
 Ms. D Shahila (2013) published an article which helps in explaining E-
Recruitment challenges covering challenges that are faced by companies while using
online recruitment. This article highlights the points like online recruitment is facing
challenges from employers and job seekers point of view and covers points like difficulty
in finding suitable applicant, competition with competitors for good candidates,
negotiation, transparency of system, difficulty in judging companies working culture.

Naveed R. Khan, Marine Awang, Arsalan Mujahid Ghouri (2013), studied the
significance of e-recruitment in the forums.. This study examined the relationship
between the recruitment sources, job seekers’ perception and intention to pursue the
job. Data was collected from 257 respondents and analyzed in relation to the research
objectives. The findings of the study showed that internet is the most preferred source
to search the job among other recruitment sources. Furthermore, it is also suggested
that the effectiveness of e-recruitment depends upon the placement of advertisement
and salary is the most influential motivator to find interest in the job applied. Lastly,
statistics of the study found that the Recruitment sources and applicant’s perceptions of
a job significantly influence the intention to pursue the position applied by the job
seeker.

Dr. AJ du Plessis (2012), his article focuses on the background of the

‘conventional’ or ‘old’ way of recruiting, it reviews different ‘new’ ways; e-recruiting and
its effectiveness; advantages such as accessibility and disadvantages such as
transgression of some legislation in online recruiting and the impact it has on
management.

Pavitra Dhamija (2012), studied that E-Recruitment refers to posting vacancies

on the corporate website or on an online recruitment vendors’ website. It allows
applicants to send their resumes some other electronic format. The e-recruitment
methods and systems have helped to reduce much of the routine administrative tasks
involved in recruitment.

The findings from Holm’s (2012) thesis were that there was a difference between
the paper-based and the electronic-based recruitment process. From the findings,
Holm’s found that the electronic-based recruitment process began with few electronic
tools for line managers to commence the recruitment process, e.g. line managers were
putting their hiring needs into a Word document and sending it to the responsible
recruiter. The recruiter then had to read each applicant and rate the order. In some
cases, this is handled through filter programs bringing top applicants to the forefront.
Holm’s (2012) study was conducted between the years 2008 to 2010 in three
companies in Denmark, which could have limited the validity of the recruitment process
today as electronic technology has been developed for the evolving topic of recruitment.
 Avinash S. Kapse (2012) published an article about E-Recruitment which stated
that online recruitment has many advantages to companies like low cost, less time,
quick, wider area, better match and along with this they have highlighted some points of
disadvantages of online recruitment like scrutinizing applications is a problem, lack of
internet awareness in India in some places and they said that employers want to have
face to face interaction with candidates.

SYNTHESIS

Job seekers can find the advertisement easily on websites, job boards & portals.
It is a time saving & cost effective method for job seekers. Some job portals offer
resume building facilities also so that job seekers can get advantage of this. In
conclusion we can say that the internet has been accepted as a most convenient &
better tool to find the jobs.
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