Recruiting and selecting staff at Thomas Cook: Case Study

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According to the IRS (2007), employees are seeking to control or reduce their recruitment expenditure. In the case of travel agent Thomas Cook, the business is very cost conscious, with quite low margins, but staff turnover – especially in their call centre – is rather high. The measures taken by the company to reduce their costs have focused on the following:



i. Making the recruitment process wholly online until the interview stage. This means that the company will accept applications forms and CVs online and use email as a preferred way of communicating with candidates. It also conducts an online pre-screening process for selecting sales consultants in order to sift out unsuitable applicants at as early a stage as possible.

ii. Controlling employment agency costs through the introduction of preferred supplier lists where hard-to-fill or specialist post are concerned.

iii. Working with two local government funded agencies that provide candidates free of charge. This is particularly appealing when the company has to recruit around 100 people a year for its call centre. One of the agencies offers potential candidates on a free-trial basis, where they can work for fifteen days with no obligations on either side. This is useful way for the organization to judge whether an individual might prove to be a suitable employee, even though he or she may not have all the necessary experience on paper.


Questions:

1. Identify other industries experiencing high staff turnover and low margins that might operate on a similarly cost-conscious basis as Thomas Cook. Investigate the recruitment and selection processes used by companies within these industries. To what extent do they replicate these methods, and how would you judge their effectiveness in terms of securing and retaining effective employees?

Ans.: Read: Recruiting and selecting staff at TBSS

2. How effective are the approaches taken by Thomas Cook in promoting their brand and in securing employee commitment? What might they do to improve in both areas?

3. Compare the Thomas Cook graduate recruitment and selection process with any other Organization. What are the similarities and difference in approach? To what extent do both employees recruit for ‘fit’ or ‘skill’?

2 comments:

  1. 2. How effective are the approaches taken by Thomas Cook in promoting their brand and in securing employee commitment? What might they do to improve in both areas?
    Ans.: Thomas Cook is one of the huge call centre executive recruiting agent. However, as per the profession it’s a travel agent, but its staffing in call centre is quite high. Thomas Cook was processing its employment announcement through online method. Vide online it conducts screening tests, then after qualifying they will be called for the interview. In this method candidates will surely pleased because of their saving in time and money. Secondly, company has associated with two government funded agencies, who will recruit around 100 candidates a year of its call centre. In this case, there will no burden over the Thomas Cook, as the agencies are carrying these candidates on a free-trial basis for fifteen days, then as per work satisfaction they will recruit at the same.
    In both cases Thomas Cook is getting profit without losing anything. However, to improve in both the areas, company might provide special free training classes for 15-30 days, with work; where candidates will get knowledge of education along with work at a time and company will get good reputation for this. The training may consists of communication skill, accent training, verbal skill training, soft skill training, behavioural training etc. Other than this any short-term technical training required for the company or the two government agencies.

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  2. 3. Compare the Thomas Cook graduate recruitment and selection process with any other organisation. What are the similarities and difference in approach? To what extent do both employers recruit for ‘fit’ or ‘skill’?
    Ans.: If we compare with Thomas Cook and TBSS recruitment and selection process, there is no similarity found among these. This is because, Thomas Cook is first taking online pre-screening test, then calling for interview; whereas, TBSS is directly calling the candidates for interviews. One agency of Thomas Cook provides job to the candidates on a free-trial basis, then as per the performance it will recruit. However, TBSS first select candidate with four round strict interviews, then provides training for 15 days, then after passing an assignment, the candidate will allow to get the job permanently.
    As per the employees ‘fit’ or ‘skill’ subject matter, Thomas Cook is viewing only the candidate’s performances through the fifteen day free-trial basis work, and judge. Even though, the candidate may not have all the necessary experience on paper. Whereas, in TBSS recruiters first scan the candidates as per their required talent, the give training as per the process, the through the assignment result they knows whether the candidate is ‘fit’ or not.

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