Solution:The role of selection in an organisation's effectiveness is crucial for at least, two reasons. First, work performance depends on individuals. The best way to improve performance is to hire people who have the competence and the willingness to work.
Arguing from the employee's viewpoint, poor or inappropriate choice can be demoralising to the individual concerned (who finds himself or herself in the wrong job) and de-motivating to the rest of the workforce. Effective selection, therefore, assumes greater relevance.
Second, cost incurred in recruiting and hiring personnel speaks volumes about the role of selection. Here is one instance to prove how expensive recruitment has become. Pepsi had gone on a crash recruitment drive.
Six people from the company took over the entire Oberoi Business Centre in Mumbai for six days; 3000 applications in response to an advertisement issued earlier were scanned; applicants were asked to respond by fax within 100 hours; finally, the shortlisted persons were flown in and interviewed.
Quite an expensive affair by any standard! In the US, it is much more expensive. The cost of searching for and training a lop-level executive may run into $ 2,50,000.