Internal Recruitment involves recruiting candidates from those who are already in employment within the organization. It is concerned with recruiting people internally through transfer and promotion and external recruitment is associated with recruiting people externally through advertisement, employees referrals, and other external sources. When the recruitment of candidates is done externally, then this type of recruitment is known as external recruitment.
A comparison between internal recruitment and external recruitment is as follows:
(a) Internal recruitment: It is a quick process that involves the search of candidates internally.
External recruitment: It is a lengthier process that involves finding potential candidates externally or outside the organization.
(b) Internal recruitment is when the business looks to fill the vacancy from within its existing workforce.
External recruitment is when the business looks to fill the vacancy from any suitable applicant outside the business.
(c) Internal recruitment: This process is cheaper one as it does not involve any cost of contracting external sources.
External recruitment: This process is a costly one as it bears the extra cost of searching out the potential candidates.
(d) Internal recruitment: Under it, there will be a limited choice of candidates.
External recruitment: A wider choice of candidates is possible if external recruitment is used to get the people at work.
(e) Internal recruitment: It motivates the existing staffs to improve their performance.
External recruitment: The existing staffs may feel dissatisfied if external recruitment is used to get the people at work.
(f) The basis for internal recruitment is merit-cum-seniority, but the basis of external recruitment is merit-cum-qualification.
(g) Internal Recruitment is a cost-effective process. However, External Recruitment requires a large amount of investment.
(h) Internal recruitment: The infusion of fresh talent is impossible in internal recruitment.
External recruitment: The infusion of fresh talent is possible in external recruitment.