Advantages and Disadvantages of Internal Recruitment

Internal recruitment as the name suggests refers to that recruitment which is done by the company from within the company, this recruitment is based on a simple premise that when you have talented people in the company itself than company should give them opportunities instead of hiring people from outside the company so that such employees of the company can use their talent for self-development as well as development of the company. In order to understand more about internal recruitment, one should look at the advantages and disadvantages of internal recruitment –

Advantages of Internal Recruitment

Speedy Recruitment

The biggest advantage of this recruitment is that it results in speedy filling of vacant positions in the company because unlike external recruitments where it takes a lot of time to fill vacant positions this process makes it easy for company as company has all necessary documents as well as knowledge about the people ideal for the vacant positions resulting in quick process of recruitment.

Less Costly

Since company appoints individuals from within the company there are no expenses like payment to employees for going for campus interview, besides company also saves expenses on training and orientation because employees who are presently working in the company requires no formal training as they are aware of the working of the company resulting in them needing no further training as far as working of the company is concerned.

Source of Motivation

Companies which believes in internal recruitments are likely to have more motivated employees as employees know that if they work hard than their hard work will be rewarded in the form of them getting a higher position in the company through internal recruitments. In simple words, this form of recruitment can be an excellent source of motivation for the employees working in the company which in turn will result in employees working efficiently and effectively.

Disadvantages of Internal Recruitment

Limited Choice

The biggest disadvantage of internal recruitments is that in case of this recruitment company has limited choice as opposed to external recruitment where the company has a vast choice of talented individuals from which it can select the best possible candidate for the vacant post. In simple words, if the vacant position is of utmost importance than the company should not compromise by selecting candidates through internal recruitments rather it should select candidates through external recruitment.

Prejudiced

In case of internal recruitments, office politics play its part because superiors prefer and select those individuals who are in their good books even when they do not have the required knowledge as well as experience for the vacant post. In simple words chances of this recruitment process being prejudiced is more as compared to external recruitments where recruitments are less biased or prejudiced as recruiters see only talent, experience, and knowledge required for filling the desired post rather than favoring somebody due to relation or him or her being in good books of recruiters.

No change in Work Style and Work Culture

Another limitation of internal recruitment is that it does not bring any change in working style or working culture because people who have been working for the company for long period work with the same style and sometimes can be orthodox. In simple words, if company is looking for a change in the style of work and wants some creativity in work than it should go for external recruitment.

As one can see from the above that internal recruitment has advantages as well as disadvantages and that is the reason why any company thinking of doing internal recruitments should carefully read above points and then take the decision whether to do this process of recruitment or not.