An investigation into the recruitment policies of the NHS and as to whether they are vertically or horizontally integrated.

An investigation into the recruitment policies of the NHS and as to whether they are vertically or horizontally integrated

Research into the HR function has concluded that a firm with a tightly structured alignment in terms of HR management and strategy will outperform rivals who have a less vertically integrated approach (Bamberger and Meshoulam, 2000, Boxall, 1991). It is, however essential that a horizontal fit is found that is coherent in terms of its link to the firm as whole. It has been shown that the HR function is at its most effective when used in this way (Wright and Snell 1998, Bohlander and Snell 2003). The strategy of a company in terms of recruitment is described as:

“All those activities affecting the behaviour of individuals in their efforts

to formulate and implement the strategic needs of the business”

(Schuler 1992)

The NHS have set clear targets in their recruitment policies: “more staff, working differently” (doh.gov.uk). There is an acceptance that the service needs to focus on recruitment as well as retention, with an increasing amount of staff turnover a consequence of increased workload. The objective is for growth amounting to 115,000 more staff between 1999 and 2008 (doh.gov.uk).

In terms of recruitment, companies face two central problems: Firstly the problems faced with regards to the employment demands and secondly with regards to the applicants ability (Russo et al 1995). Job analysis and internal communication strategies are designed to deal with job demands, and a specific selection criteria is used to solve the ability issues. The NHS has a variety of roles that need fulfilment, and to fill and retain the necessary positions a clear strategy must emerge that encompasses not only pay and reward, but an undertaking that the employee can feasibly see out their career under the NHS. The threat of the private market competitors is therefore an important factor. This assignment will attempt to identify what heading the NHS falls under in terms of its recruitment and retention strategy (see appendix Part 1 A).

There is an inequality found amongst standard economic theory that assumes all workers are equally productive and therefore the recruitment strategies should be simple. In real terms, jobs are heterogeneous and therefore the uncertainty lies in who will perform in what role (Stigler 1962).

For the NHS, as well as other employers this means that specific requirements need to be established in order to recruit the most well suited employee. The NHS have therefore set up mathematical tests for those who wish to enter the financial departments at a graduate administrative level, followed by an interview in which applicants are quizzed on their ability to manage time and resources effectively (doh.org.uk). This is one part of four items of flexibility involved in organisational planning, numeracy. The other three are functional, time and location specific. For hours worked employees have rights regarding the European Working Time Directive and the service must respect this. However the organisation has to look for employees who will (if necessary) relocate and work flexible hours so that more staff truly are working differently.

The testing of candidates is vertical in its alignment with strategy but also horizontal in order to ensure that the prospective employee will fit into the overall culture of the organisation. The expenditure on recruitment programs is justified according to Rynes et al who discovered that the policies undertaken in order to recruit the best candidate would have a significant effect on the applicants employed. Furthermore they concluded that recruiting the right candidate could significantly enhance the firm’s performance.

According to Torrington and Hall, three factors can be singled out within a company’s recruitment strategy. The factors are as follows:

Job analysis in order to specify what the job itself entails
Recruitment strategy in order to make the relevant people aware of the availability of the position
The selection criteria which must be set in order to separate who is capable of performing in the role and who is not

Job analysis involves a recruitment selection policy that is now increasingly reminiscent of commercial strategy (See Appendix part 1 B). Specifications include the words ...