What is Internal Recruitment? Internal recruitment process in the enterprise

Internal recruitment is how businesses find and select candidates right within their own businesses. So how does the internal recruitment process work? How to optimize businesses, save costs in the recruitment process. In the following article, Viindoo will help you learn more about these issues.

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1. What is Internal Recruitment?

Internal recruitment is a form of recruitment that focuses on employees who have worked in the enterprise. Candidates are those who have signed a contract with the company, have left and want to return to work in the previous position, or want to try a new position. As long as the employees who have been under the management of the enterprise can participate in this recruitment method.

Internal recruitment

Internal recruitment

The most popular forms of internal recruitment today are:

  • Post an internal job posting, all employees who have worked for the company are allowed to apply.
  • Promote the career ladder for employees in the enterprise.
  • Transfer personnel between departments and divisions.
  • Invite former employees, retired employees to work.
  • Recruit seasonal and part-time employees to become full-time employees.

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2. What is the difference between internal recruitment and external recruitment?

External recruitment is the evaluation and selection of candidates outside the enterprise. Most businesses will consider This form of recruitmenMost businesses will consider This form of recruitment to find bright candidates for a new position. This  Recruitment strategy is through the media, job fairs, university resources, professional recruitment agencies, or headhunters.

Internal-recruitment-and-external-recruitment

Internal recruitment and external recruitment

The main difference between internal recruitment and external recruitment:

  • Internal recruitment refers to the human resources that have existed in the enterprise. External recruitment is the process of hunting for candidates from outside.
  • Internal recruitment will often happen faster than external recruitment. Because external recruitment also includes things like posting announcements, screening, testing and interviewing, selecting, training, etc.
  • Internal recruitment is based on merit and seniority. As for external recruitment, it will be a degree, certificate of merit, and experience, if any.
  • The advantage of internal recruitment is to help businesses save time and costs. In contrast, external recruitment requires a large investment of both money and time.

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3. Should you choose internal recruitment or external recruitment?

Each recruitment method has its own advantages and disadvantages. But the common goal is to find qualified candidates suitable for the required position. Choosing the right recruitment method is challenging. Therefore, businesses need to consider the advantages and disadvantages of internal recruitment and external recruitment.

Recruitment form
Internal recruiment External recruiment


Advantages

- Low recruitment costs, saving time and recruitment costs.
- Lower risk: Because candidates are available human resources, have worked in the business.
- Creating conditions for employees to expand their work, try new positions, and increase career development at the company

- Great accessibility: The company easily approaches more potential candidates, increasing the chances of finding suitable candidates.
- Diversified staff: Candidates are diverse in personality and field, creating new ideas and plans.
- Minimizing internal competition: External recruitment helps businesses avoid unnecessary internal conflicts.
- Creating fairness: External recruitment will bring opportunities for candidates outside the enterprise.
- Abundant source of external candidates, giving businesses a variety of options to meet both quality and quantity needs.
Disadvantages

- Difficult response of quantity if the vacant position needs to recruit many employees.

- Ripple effect: Moving employees from one position to another will create new vacancies, creating additional recruitment problems.

- Limiting the diversity and abundance of personnel.

- It can bring negative effects in recruitment if the enterprise does not ensure transparency and fairness in internal recruitment.

- Wasting communication and advertising cost for the position to be recruited.
- Taking a lot of time in the recruitment process: filtering resumes, interviewing candidates, evaluating and testing, and selecting suitable people.

- New candidates often need time to adapt to the environment and work.
- New applicants may be inexperienced.
- Candidates recruited from outside often have a high chance of job-hopping.
Advantages and disadvantages of different forms of recruitment

Advantages and disadvantages of different forms of recruitment

In fact, most companies use both methods of recruitment to maximize the possibility of selecting the right candidates. But in some cases, it is quite difficult to do both methods. When should businesses use internal recruitment, and when should external recruitment?

Considering factorConsidering factorExternal recruitment
Shorter recruitment time



Lower recruitment costs



Adaptability to culture and environment                                                  
Higher initial performance



Diversity of personnel



Lower leave/hopping job rate



Increasing professional and technical level                                                   
New abilities                         ​                          
Industry or competitor skill                                                   
New idea                                                   

4. Internal recruitment process in the enterprise

Here is 5 basic steps in the internal candidate selection process:

  • Step 1: Identify the position to be recruited by the job description.
  • Step 2: Announce internal recruitment by ways such as sending emails, word of mouth, or pasting information on the notice board.
  • Step 3: Consider informing internal candidates during the first few weeks.
  • Step 4: Receive applications and send feedback emails to internal candidates.
  • Step 5: Complete the application selection process and make candidate choices as standard recruitment process.
Internal recruitment process

Internal recruitment process

FAQs

Internal recruitment is important for several reasons. It helps to retain and develop talented employees, motivates the workforce by offering opportunities for growth, saves time and resources in the hiring process, and promotes a positive work culture and employee loyalty.

Internal recruitment typically involves advertising job vacancies internally, allowing existing employees to apply for the positions. The organization may use various methods to assess the suitability of internal candidates, such as interviews, assessments, or performance evaluations.

While internal recruitment has numerous benefits, there are a few potential disadvantages. It may lead to limited diversity and fresh perspectives, create internal competition or conflicts, create gaps in other roles within the organization, and can perpetuate existing biases or favoritism.

Organizations can promote internal recruitment by creating a transparent and fair promotion process, providing opportunities for skill development and training, offering career advancement paths, and fostering a culture that values internal mobility and employee growth.

 Is internal recruitment suitable for all organizations?

Internal recruitment may not be suitable for every organization, especially those with limited internal talent pools or a need for external expertise. Organizations need to assess their specific needs and consider a balance between internal and external recruitment strategies.

As can be seen, internal recruitment is the optimal form of recruitment based on available human resources. This form not only helps businesses save maximum costs but also creates momentum for business development. Hopefully, through today's article, Viindoo has brought you useful and necessary information about this popular form of recruitment.

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What is Internal Recruitment? Internal recruitment process in the enterprise
Viindoo Technology Joint Stock Company, Van Anh Nguyen December 2, 2022

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