HR strategy: choosing between external recruitment and internal mobility
Faced with the opening of a new position, employers must choose between internal recruitment, promoting an existing employee, and external hiring, by opening a recruitment process. Each method has its advantages: the internal recruitment ensures easy integration and can motivate staff, but risks limiting the diversity of ideas and a lack of innovation. External recruitment, on the other hand, expands the pool of candidates, bringing an innovation effect and new skills, although it is often longer and represents a greater expense. This article explores the benefits and challenges of each option, offering tips for choosing the approach that meets the goals of your organization, enriched with concrete cases and best practices.
I. Understanding the two options: external recruitment vs internal mobility
Presentation of the dilemma
Faced with the choice between the internal and external recruitment, HR managers and managers often find themselves in a delicate situation where the feeling of making a mistake can be a cause for concern. Opt for the internal recruitment promotes the promotion of employees who already have proven potential within the company's culture and procedures, thus facilitating their integration and increasing their motivation. On the other hand, external recruitment opens the doors to a wider range of talents and new ideas, which are essential for encouraging innovation and maintaining the company's competitiveness.
Strategic importance of choice in a dynamic environment
In a world of work that is constantly changing, where adapting quickly to market fluctuations is essential, the decision to recruit internally or externally becomes strategic. Organizations need to be flexible and capable of continuous innovation to remain competitive. Thus, it is essential to select candidates who not only have the necessary technical skills, but who are also able to adapt and innovate.
Why this choice is crucial for modern businesses
The choice of internal or external recruitment is decisive for contemporary businesses, as it directly influences their performance, culture and the well-being of their employees. An adequate recruitment plan can not only strengthen the commitment of current employees, but also attract innovative profiles and promote innovation. In addition, in a context where retaining candidates represents a major challenge, the internal recruitment can prove to be an effective tool for motivating and retaining employees, while external recruitment can introduce skills and an innovative vision that are essential in a constantly changing market.
II. Understanding the two options: external recruitment vs internal mobility
A. External recruitment
Definition and principles
External recruitment is the practice of hiring external candidates to society. This approach is based on the search and selection of profiles, often by having to publish online ads, recruitment agencies, social networks such as Linkedin or events dedicated to recruitment.
Benefits
This method has several key advantages. It offers access to an extensive pool of skills that may not be present internally. This can bring new momentum to the team, introduce fresh perspectives and innovative proposals that are essential for the company's growth and innovation.
In addition, external recruitment is an effective lever for increasing diversity in the workforce, by attracting candidates from diverse backgrounds and with different experiences. It can also improve the brand image of your structure as an employer, thus promoting its attractiveness.
Disadvantages
However, there are disadvantages to external recruitment. The process can be expensive and time-consuming, especially because of the costs associated with advertising and the integration of new employees. A recruitment firm (or headhunter) can help streamline the steps in this process but often involves additional costs.
The assimilation of newcomers may also require additional time and resources for their training and acclimatization to society's culture and procedures.
There is also a risk that the candidate will not adapt well to the work environment, leading to a higher turnover rate and increased costs to replace employees who leave. In addition, if the interview process is not conducted rigorously, simple errors in judgment can reduce the benefits expected from the contribution of a new collaborator.
B. The internal mobility
Definition and principles
La internal mobility offers employees the chance to change position, department, or workplace within their company. It includes vertical mobility, allowing hierarchical evolution; horizontal mobility, allowing a change of job without promotion; and geographic mobility, involving a change of workplace.
Benefits
The advantages of internal mobility are multiple. It values potential candidates already present within the organization and encourages the professional growth of employees, thus increasing their sense of belonging and determination. Employees familiar with the company's culture, processes, or software integrate more quickly, reducing not only recruitment but also training costs.
It can also reduce the turnover rate. Employees who see opportunities for internal development are likely to stay longer. For example, studies show that employees are 41% more likely to stay with companies that prioritize internal hiring and that allow them to get a better position.
Disadvantages
However, the internal mobility may also have disadvantages. It risks restricting the arrival of new skills and perspectives, which are essential for innovation and competitiveness. Favoritism or the perception of bias in internal promotions can also be a problem if they are not based on neutral and transparent factors.
In addition, it can create voids in the home departments, sometimes requiring external recruitment to fill these vacancies.
III. Decision criteria between external recruitment and internal mobility
A. Type of vacancy
Strategic and leadership positions
When it comes to filling a strategic or management (or manager) position, it is essential to weigh the pros and cons between internal and external recruitment. Opt for a internal recruitment can be beneficial for management (or responsible) positions, especially if the company has experienced internal people who are familiar with the culture and goals of the organization. This ensures a positive transition and maintains continuity in implementing the company's vision.
However, to inject new ideas and leadership skills, external recruitment may be preferred. An external leader can bring in innovative perspectives and diverse experiences, driving business growth and transformation.
Technical or specialized positions
For technical or specialized positions, preferring external recruitment is often wise, because of the need for unique and specific experiences. These roles require solid qualifications and specific experiences, which are not always available internally. Recruiting from outside provides access to a vast pool of specialized know-how, increasing the chances of finding the perfect candidate.
Conversely, if the company has invested in the training and development of its employees, consider the internal mobility for these technical positions may prove useful, thus making it possible to exploit the potential of their skills while reducing the costs associated with the training and integration of new recruits.
B. Employer brand and talent management
If the company values internal promotion
Companies that promote vertical mobility create a motivating and rewarding climate for their employees. This culture encourages them to develop themselves and to aim for positions of greater responsibility in the organization. The internal recruitment supports this dynamic by offering clear career prospects and by strengthening employee loyalty.
Openness to change and innovation
Conversely, businesses that embrace change and innovation can benefit from external recruitment. This approach makes it possible to bring new ideas, skills and visions, thus stimulating innovation and creativity in teams.
External recruitment is particularly beneficial when a company wants to reinvent itself or enter new markets.
C. Cost and duration of the process
Comparative cost analysis
The recruitment cost is a decisive factor in choosing between internal and external recruitment. Opt for the internal recruitment saves on advertising costs, recruitment agency fees and budgets for onboarding new employees, generating a gain in financial resources for the company.
The main costs associated with internal recruitment concern the time spent by HR teams and application management platforms.
In comparison, external recruitment can be much more expensive, with fees representing 15% to 30% of the candidate's gross annual salary, depending on the position and the use of recruitment agencies.
Time required
The duration of recruitment process is also a key element to take into account. The internal recruitment is often faster, benefiting from candidates who are already familiar with the workings of the company and can be a valuable aid for human resources, by accelerating selection (thanks to a reduced number of profiles to study) and integration.
In contrast, external recruitment may extend over a longer period of time, due to the phases of research, screening and evaluation of external candidates. This process can be particularly long for rare or very specific profiles.
D. Impact on team motivation and performance
Internal mobility and motivation
La internal mobility plays a key role in increasing employee motivation. It shows that the company values the career development and advancement prospects of its employees, which results in increased commitment and motivation.
This strengthened commitment has a positive impact on their loyalty and their professional satisfaction, thus contributing to the improvement of collective performance and results.
Risks associated with external recruitment
External recruitment, despite its advantages in terms of diversity and the provision of new ideas, presents challenges. A major challenge is adapting the new employee to the company's culture and procedures, which can result in a higher turnover rate and additional costs due to replacement and reorganization.
In addition, it can also generate tension in the existing team, especially if new employees are seen as strangers to their colleagues or if their onboarding is not well orchestrated. It is therefore essential to develop reliable integration programs to mitigate these risks.
IV. When should you opt for one or the other?
A. Decide based on the immediate needs of the business
Cases of urgent need for specific know-how
When a business feels the urgent need to recruit For candidates with rare skills, external recruitment often becomes the ideal solution. This is especially true for highly specialized skills that are not available internally. Take the case of a technology company looking for an artificial intelligence expert for a critical project; external recruitment makes it possible to quickly find the right candidate.
To find these particular talents in a short period of time, recruiters can rely on specialized job sites, professional networks such as LinkedIn, and recruitment agencies focused on the technology sector.
Case of a company in full transformation
A company in the process of transformation can proceed with a internal and external recruitment. Transformations can lead to major changes in a company's structure, processes, and culture. Promote the internal promotion can prove beneficial in maintaining continuity and stability, thanks to a thorough knowledge of the business.
However, onboarding external hires can be essential to infuse new perspectives and skills that are critical to transformation. For a company embracing a digitalization policy, it may be a good idea to promote internal employees for operations while engaging IT specialists to pilot digitalization initiatives.
B. Combine internal and external recruitment
Mixed strategy
Adopt a mixed approach, which combines internal and external recruitment, is often the most relevant to meet the varied needs of a company. This technique takes advantage of the advantages specific to each method. Thus, for management positions, promoting internal employees can be a good idea, as they have already proven their value and familiarity with the company's culture.
On the other hand, to fill technical or specialist positions, external recruitment is preferred in order to attract unique and innovative talents. Such a tactic requires a transparent recruitment process and precise criteria for choosing the appropriate option, in addition to effective onboarding processes to ensure the smooth onboarding of newcomers, whether they come from the internal or external network.
In addition, a mixed approach helps to balance the retention of current employees with the injection of new perspectives and skills. This balance is reinforced by internal skills development programs, opportunities for mobility within the company, and efforts to value the employer brand in order to attract the most qualified external talent.
V. Conclusion
Summary of the main points
In conclusion, the choice between internal and external recruitment is based on a variety of essential factors. The internal recruitment boosts employee motivation and loyalty, decreases recruiting costs, and accelerates integration through familiarity with company culture and procedures. However, this strategy may restrict the introduction of new ideas and skills.
In addition, external recruitment allows access to a wide range of talents, promoting innovation and strengthening the competitiveness of the company. However, this approach can be more expensive and time consuming, with risks of maladjustment for newcomers.
Combining the two techniques is often the most appropriate, combining the benefits of each method. It is essential to develop an accurate recruitment plan, to carefully assess internal competencies, and to use the latest recruitment technology to refine the process.
Helpful tips:
To develop a recruitment strategy efficient, transparent communication about internal and external opportunities is vital. Clearly inform your employees about selection criteria and recruitment processes to promote equity and build trust. Stimulate the development of internal skills and promote co-option to exploit the advantages of both approaches.
Set up programs for internal mobility attractive to highlight your current talents. Adopt application management tools to accurately track and assess applicants, whether they come from within or outside the organization. In addition, review your Recruiting method in order to adjust it according to the changing performance and requirements of your business.
By opting for a flexible, open approach that is aligned with the strategic goals of your business, you will be in a position to attract, train and retain the talent that is essential to the success and expansion of your business in a constantly changing market.
Conclusion
In summary, choosing between internal and external recruitment is a key decision, depending on the unique needs of each business. The internal recruitment increases employee motivation and loyalty, decreases the costs and time needed to hire, while improving team spirit. On the other hand, external recruitment introduces new ideas and skills, which are essential for innovation and competitiveness.
It is essential to develop a precise recruitment policy, to carefully assess the skills available internally, and to use the latest technology to refine the recruitment process. Often, combining the advantages of internal and external recruitment proves to be the most suitable solution to the varied needs of a company.
By adopting a method that is flexible, open and in line with your company's strategic ambitions, you will be in a position to attract, develop and retain the talent that is essential to the prosperity and expansion of your business. It is advisable to reassess your recruitment procedure and to adjust your methods according to the feedback and changing requirements of your business.