Job Bidding
This article covers meaning, steps & example of Job Bidding from HRM perspective.
What is Job Bidding?
Job bidding is a process in which applicants are required to compete with other applicants for a job position that has been posted by an employer or organization.
This method of recruitment is used when the number of applicants exceeds the number of job positions that are being offered by a large number. Job bidding is also synonymous with internal job posting and filling though it is applicable for external candidates also but it is not easy for employer to get external candidates devote so much effort on job bidding.
Job Bidding Steps
Job bidding steps are very similar to any job posting exercise. The only difference is that it considers internal candidates along with the bidding process.
Let us see the different steps in the job bidding process:
1. Need to job profile
HR would receive a request or a demand from a hiring manager internally to fill a role.
2. Job Specification or Description Sharing
Next step is to post the job internally and externally by posting clear job specification or description. The candidates need to clearly understand the role before they apply or bid.
3. Accepting Bids from Candidates
The HR then would receive applications from the candidates explaining why they should be picked for that role along with other aspects like designation and salary.
4. Selection and confirmation
After receiving the bids or applications, the HR and hiring manager would review them and based on qualifications, interviews and selection process would be done.
5. Closure
If the position is filled through internal application then the process is closed or the same process is followed by posting the job externally.
In external case, the process might be a little different in terms of recruitment and selection sub processes.
Merits of Job Bidding
There are merits to the process of Job Bidding:
1. Job Bidding is much faster as compared to other methods
2. It is quite fair when it comes to giving internal candidates a job first
3. Better Job fit happens through internal deserving employees
4. Better talent management through retaining and grooming good employees
5. Overall increase in Job satisfaction
Example of Job Bidding
In an example of job bidding, the applicants are required to bid for a salary or a pay amount for the job they are applying.
Depending on the bids received from the applicants, the employer will select the final employees or invite the best bidders for further recruitment and selection process.
Hence, this concludes the definition of Job Bidding along with its overview.
Browse the definition and meaning of more similar terms. The Management Dictionary covers over 1800 business concepts from 5 categories.
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