GMP Recruitment Services: Recruitment Tracking System
By Klaus-J. Templer & D. G. Allampalli
Abstract
Tracking the development and growth of GMP Recruitment Services (S) Private Limited, a recruitment services company in Singapore, the case describes implementation of its three stages of computerisation from 1994 to 2003. It grew to a S$30 million company and endeavoured to compete and sustain customer loyalty by creating online recruitment capabilities.
The arrival of corporate recruitment websites in the mid 1990s and the onslaught of new entrants, such as job portals and foreign online recruitment companies in the late 1990s impacted the Singapore recruitment services industry and altered the basis of competition. Although GMP built IT capabilities in stages with the development of a database in 1994 and a search-and-match application in 1997, it was inadequate to cope with its growth and competition from job portals.
Though the early internationalisation helped GMP to counter the competition until the late 1990s, it needed to improve productivity, speed and client service levels further by implementing an online recruitment and tracking system to match new entrants. As the industry gained understanding of online recruitment, HR managers in Singapore and all over the world dreaded the pre-selection process because of the large response and junk applications. Although, by 2003, selection software was still evolving in the US and Europe, the effectiveness of the pre-selection process had shown slight improvement. A May 2002 Proteus Solutions study of Australian firms revealed that the improved capability of eRecruitment might reverse the degree of hiring from traditional recruitment services agencies from 90 to 20 percent. What should GMP do to compete in the new environment? What should its recruitment business model be?
Issues: Managing selection and recruitment, computerisation of recruitment services and competition in online recruitment services.
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