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Exercises · Q2

Q.Distinguish between internal and external sources of recruitment of salesmen, giving examples of each.

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Internal sources of recruitment

Internal recruitment fills selling vacancies from people already in the firm.

  • Promotion and transfer — suitable employees from other departments (dispatch, correspondence, office) who show selling aptitude are moved into the sales department.
  • Recommendation by existing salesmen — present employees recommend friends or relatives they consider suitable.

Merits: economical, quick, the candidates already know the firm and its products, and it improves morale by offering advancement. Limitation: the choice is narrow and may deny the firm fresh talent and new ideas.

External sources of recruitment

External recruitment looks outside the firm for a wider and fresher choice.

  • Advertisements in newspapers and trade journals (widest reach).
  • Employment exchanges that forward names of registered job-seekers.
  • Educational and training institutions (campus recruitment of educated young recruits).
  • Placement/employment agencies specialising in supplying candidates.
  • Unsolicited applications kept on file for future vacancies.
  • Recommendations from customers, dealers or business associates, and sometimes experienced salesmen attracted from rival firms (done ethically).

Merits: wide, fresh choice and new ideas. Limitations: more costly and time-consuming, and the candidates are less familiar with the firm.

Distinction

BasisInternal sourcesExternal sources
MeaningFrom within the firmFrom outside the firm
ExamplesPromotion, transfer, recommendation by staffAdvertisements, exchanges, institutions, agencies
Cost and timeCheaper and quickerCostlier and slower
Range of choiceNarrowWide, with fresh talent
Effect on moraleRaises morale (advancement)Existing staff may feel passed over

Most firms use a combination of both so that they enjoy a wide, good-quality pool without depending on any single source.

✓Final answer

Internal sources recruit from within (promotion, transfer, recommendation by existing salesmen) — cheap, quick and morale-building but narrow; external sources recruit from outside (advertisements, employment exchanges, educational institutions, placement agencies, unsolicited applications, recommendations) — a wider, fresher choice but costlier and slower. Firms normally combine the two.

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