EFFECTIVE RECRUITMENT AND EMPLOYEE PERFORMANCE (A CASE STUDY OF STANBIC IBTC IN OYIGBO, PORT HARCOURT)
1.1 Background of the Study
Employee job performance is derived from the word job performance that means real work produced by employee within a specific time period. Performance is a comparison between the works of the real compared to the standard set by the company. Performance is the quantity and quality of produced or services rendered by a person in doing the job. Performance is the work of behavior. Performance is the relationship between work and behavior. Effective recruitment strategy is one way employee performance can be enhanced in an organization today.
Recruitment is said to the best represented area of research in people management in smaller, growth, or entrepreneurial organizations with more scholarly work done conducted than other functional aspect of HRM Cordon & Stevens (2004) as cited in Taylor (2006). The recruitment and selection process thus forms the first stage of the psychological contract between applicants and organizations, where information is mutually exchanged and role expectations are clarified and negotiated Herriot (1993); Anderson (2004). Recruitment ‘includes those practices and activities carried out by the organization with the primary purpose of identifying and attracting potential employees’ Breaugh and Starke (2000: 405) and has long been regarded as an important part of HRM as it ‘performs the essential function of drawing an important resource human capital into the organization’ Barber (1998). The recruitment and selection of an effective workforce consequently can be viewed as central to the success of an enterprise and a key function in HRM. The strategic importance of recruitment is often reported in academic literature Boxall& Purcell (2003).
Recruitment is primarily concerned with “the process of generating a pool of capable people to apply for employment to an organization” Bratton and Gold (2003). This is supported by Foot and Hook (2010) seems to be clearer in their minds when they identified the key stages of a systematic approach to recruitment as job analysis, job description, person specification and attracting applicants through the various methods of recruitment. Denisi and Griffin in their book “Human Resource Management” second edition were almost in agreement with Foot and Hook (2010), when they described the recruitment process as consisting of three. The three key stages according to them are job analysis, job description and person specification. Effective selection processes allow both the candidate and the organization to properly assess the degree to which the candidate fits the job specification and are keeping with all applicable legislation. Selection is an opportunity for companies to choose candidates that they believe are most suitable for the job. From the Foregoing therefore, the study seeks to add to knowledge by examining the relationship between effective recruitment and employee performance.
1.2 Statement of Problems
It is a well known fact that businesses (both in manufacturing and service sectors) are facing several of challenges which affect their growth and performance. These problems include poor recruitment process which includes improper selection, improper placement of workers, not giving the workers orientation about the job. Lack of all these strategies will lead to low productivity, job dissatisfaction and role conflict.
consequently, businesses in Nigeria continue to lack the requisite skills and adequate capital to recruit competent and experienced staff to enhance its operations hence the reliance of low grade staff that lack the strategic knowledge and requisite education to promote the business leading to lack of performance, low productivity and role conflict. In line with this, the study aims to examine the relationship between effective recruitment and employee performance using Stanbic IBTC in Oyigbo, Port Harcourt. As a case study.
1.3 Objectives of the Study
The main objective of the study is to examine the relationship between effective recruitment and employee performance in Stanbic IBTC in Oyigbo, Port Harcourt.
. The specific objectives are as follows:
- To examine the relationship between selection and employee performance.
To examine the relationship between orientation and employee performance.
To examine the relationship between placement and employee performance.
1.4 Research Questions
The following research questions were proposed to guide the study.
1. To what extent does selection associated with employee performance?
- To what extent does orientation associate with employee performance?
To what extent does placement associate with employee performance?
1.5 Research Hypotheses
H01: There is no significant relationship between selection and employee performance in Stanbic IBTC in Oyigbo, Port Harcourt.
H02: There is no significant relationship between orientation and employee performance in Stanbic IBTC in Oyigbo, Port Harcourt.
H03: There is no significant relationship between placement and employee performance in Stanbic IBTC in Oyigbo, Port Harcourt.
1.6 Significance of the Study
The outcome of the study would guide decision makers in banks especially in Stanbic IBTC Bank, Oyigbo Branch Port Harcourt. In their Recruitment and Selection processes.
The study would also come out with recommendations to guide employee Recruitment and selection process that will improve the activities of Stanbic IBTC Bank and other organizations.
Finally, it would serve as reference document to academics and researchers and to all those interested in the study of banks recruitment and selection practices in Nigeria.
1.7 Scope of the Study
The study is delimited under the following headings; content scope, geographical scope and unit of analysis.
Content Scope: The content of this study involves an investigation to ascertain the relationship between effective recruitment and Employee performance. The independent variable being effective recruitment includes selection, orientation and placement, while the dependent variables performance includes Effectiveness, Efficiency and productivity.
Geographical Scope: This study is limited to employee performance in Stanbic IBTC in Oyigbo, Port Harcourt.
Unit of Analysis: The unit of analysis involved the staff of employee performance in Stanbic IBTC in Oyigbo, Port Harcourt. Therefore, it is organizational level of analysis in carrying out an investigation of this nature the researcher must be faced with some constraints.
1.8 Limitation of the study
The limitations of the study include time constraint, financial and poor response.
Firstly, the time constraints, the time frame provided for this study was short.
Secondly, Financial constraints. Usually, a study of this nature involved some level of expenditure therefore; finance was also a limiting factor.
Thirdly, Poor response from the respondent and inability to access the entire population of the study. In the next segment significance of the study will be discussed. Lastly, poor measurement instrument.
1.9 Definition of Terms
Job Satisfaction: Job satisfaction is one criterion for establishing the health of an organization; rendering effective services largely depends on the human source.
Orientation: This is the introduction of a new employee to his duty or job place in the organization.
Placement: Placement exam, determines which class a student should take; Favored placement, the practice of preferentially listing search engine results for given sites; Job placement, a short time spent in a company to get work experience.
Productivity: The effectiveness of productive effort, especially in industry, as measured in terms of the rate of output per unit of input.
Recruitment: Recruitment and selection (or staffing) is said to the best represented area of research in people management in smaller, growth, or entrepreneurial organizations with more scholarly work done conducted than other functional aspect of HRM.
Selection: Selection refers to choosing the applicants who have the highest chance of meeting the organizations standard of performance.
1.10 History of Stanbic IBTC Bank
Stanbic IBTC Holdings, commonly referred to as Stanbic IBTC, is a financial service holding company in Nigeria with subsidiaries in banking, stock brokerage, investment advisory, pension and trustee businesses. Stanbic IBTC Holdings is a member of the Standard Bank Group, a financial services giant based in South Africa. Standard Bank is Africa’s largest banking group ranked by assets and earnings operations in 20 African countries and 13 countries outside Africa.
Stanbic IBTC Holdings PLC. came to being as the result of a merger between Stanbic Bank Nigeria Limited and IBTC Chartered Bank Plc. in 2007, then adopting a holding company structure in 2012 to comply with the revised regulatory framework advised by the Central Bank of Nigeria requiring banks to either divest from non-core banking financial services or adopt a holdings company structure.
Investment Banking & Trust Company Plc (IBTC) was formed as an Investment Bank on 2 February 1989 with Atedo N.A. Peterside as Chief Executive Officer. In 2005, the Central Bank of Nigeria announced its re-capitalization program for commercial banks. This meant that all commercial banks had to have a NGN 25 billion minimum capital base. This CBN order led to the merger of Investment Banking and Trust Company (IBTC) with Chartered Bank Plc and Regent Bank Plc on 19 December 2005 to form IBTC Chartered Bank Plc with a total asset base NGN 125 billion and listed on the Nigerian Stock Exchange.