Topic Summaries

Types of recruitment

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Formula sheet

Recruitment is the process of finding and selecting the right candidates to fill job vacancies. Effective recruitment helps the business maintain a skilled, motivated workforce and achieve long-term success. Recruitment can either be internal or external.

  • Internal: promoting or transferring existing staff.
  • External: recruiting new staff from outside the business.
Type of recruitment Advantages Disadvantages
Internal
  • Saves time and money
  • Staff are already familiar with company culture
  • Motivates employees through career progression
  • Limits the pool of applicants
  • May create jealousy or internal conflict
External
  • Access to fresh ideas and new skills
  • Helps fill skill gaps
  • Brings in external experience
  • More expensive (advertising, agency fees)
  • Longer process
  • Training may be required

Effective businesses will typically use a combination of these two types of recruitment. For example, Tesco may use internal recruitment to promote a team leader to assistant manager since the desired skills likely already exist within their current pool of staff, whereas they would use external recruitment for a specialist IT role that is unlikely to be within the purview of their existing staff.

A good recruitment process ensures compliance with employment law, prevents discrimination, and promotes diversity.

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