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Case Code: CLHR042
Case Length: 2 pages 
Period: --  
Pub Date: 2016
Teaching Note: Not Available
Subject : Human Resource Management
Organization :--
Industry : Banking & Financial Services
Countries : India

Recruitment Metrics: Calculating the Hiring Costs



Riya, the Human Resource (HR) Manager of TQR Solutions Limited (TQR), was tasked with recruiting new candidates for certain positions. She, along with her team, evaluated the various avenues through which the company could source the candidates. Eventually, the team hired 60 people from both internal and external sources. The caselet provides basic facts and figures pertaining to the recruitment cost incurred by the company on both external and internal hires. Now, Riya and her team had to work out the various metrics associated with the recruitment activity and present it to the management.
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  • 1) Understand the different sources of expenditure involved in the recruitment process.
  • 2) Learn the calculation of costs involved from the time of application generation to the final hiring decision
  • 3) Learn to calculate the external cost per hire, internal cost per hire, and total cost per hire
Riya, Human Resource (HR) Manager of TQR Solutions Limited (TQR), and her team were taking stock of the recent recruitment drive of the company. The company had recruited 60 candidates from external as well as internal sources. Riya and her team had to work out the hiring costs and present this to the management. TQR, a leading private sector banking and financial services company with its headquarters in Mumbai, India, had planned to recruit suitable employees as it had witnessed a high employee turnover rate in the past few months. The company was also planning to expand its operations in the southern zone of the country, for which it required 50 new employees in addition to 10 internal hires for lower level positions. The HR Manager of the firm along with her team had evaluated different sources of online job posting such as LinkedIn , , CareerBuilder , and Ladders and online ads in addition to print ads and participation in career fairs. .....


HR sourcing, HR Analytics, Recruitment metrics, Recruitment process, Calculating costs, External cost per hire, Internal cost per hire, Total cost per hire

* This caselet is intended for use only in class discussions.
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