by Mirco Gros and Pete Sonntag

Internal recruiting is the search for in-house employees who have the abilities and the attitudes to fulfill the requirements needed and to help the organization achieve its objectives.

Although internal recruiting is often neglected, and the Internet hardly offers any useful discussions for this recruiting strategy, it is crucial not to overlook this strategy. The discussion of internal recruiting provides the advantages and disadvantages of this recruiting technique in comparison to the external method.

Advantages of internal recruiting:

·         Recruiting costs: Since the recruiting machinery is focused on an already existing pool of employees to fill a vacant position, and therefore selection and socializing processes are less time and dollar consuming, internal recruiting tends to be less expensive than external recruiting.

·         Motivation: The prospect of potential promotion or transfers provides a clear sign to the current work force that the organization offers room for advancement. This addresses the employee's need for self-achievement.

·         Familiarity: The familiarity of the employee has a two-side effect: On the one hand the employee is familiar with the organization's policies, procedures, and customs. At the same time, the organization has established an employment history showing the workers formal and informal skills and abilities.

Disadvantages of internal recruiting

·         Inbreeding: One drawback of extensive internal recruiting is the reduced likelihood of innovation and new perspectives. A lack of new employees from the outsides leads to a lack of new ideas and approaches.

·         EEO Criteria: A use of the internal pool for the consideration of vacant positions can lead to conflicts with the Equal Employment Opportunity Commission. The organization has to ensure and continuously check its balance of a diverse workforce. This has to relate to the organization’s legal, political and geographical environment.

·         More training: Internal recruiting demands a higher degree of employee training. In order to develop the skills needed to train the current workforce in new processes and technologies, the organization has to provide a more expensive training program.