Building or buying is something a company has to decide what’s best when hiring for open positions. For employee’s, it is hard to be passed over for a promotion especially when you feel like you deserved it. Companies may need to train employees for another position within the company in order for them to stay satisfied with their job. This may not always work as the employee may feel undervalued and inevitably leave the company. This effected influence tactics on the followers end in a negative way. In this situation, the influence tactic will affect the current employees actual behaviors designed to change another person’s attitudes, beliefs, values, or behaviors (Hughes, Richard, et al., 1993).
Hiring externally takes a lot of work for an organization since it’s very costly, long days or even weeks of interviewing, and training after finding the right hire. This is not always guaranteed that you are even hiring a great employee even if it looks like it on paper. Hiring managers focus on education, experience, and past job titles along with an interview when making their decisions in hiring externally (Krell, 2019). It is not always a guarantee that these external hires will be able to get the task at hand done correctly based just on their skills and experience on paper. Hiring externally takes significantly longer to get an employee where they need to be in a job. They need to build new relationships, learn the culture of the organization, and learn the job systems and responsibilities. When companies don’t know where the best candidates in the company are for the open position, they may start to look outside the company to hire (Krell, 2019). Although, an advantage of hiring externally is creating new ideas and outside knowledge to grow a company.
Hiring internally is a little less of a headache since the employee already has knowledge of the organization and can learn a new role fairly quickly. This also creates already experienced employees to move up and help the organization. This person also already knows the culture of the company and usually is a great example in acting the part in the way the company wanted them to promote. Internal candidates who got passed up for an external hire are actually satisfied when the external candidate performs poorly at first since they do not know how the company runs. Usually, these external candidates have higher exit rates than their internally promoted colleagues (Wharton University of Pennsylvania, 2013).
A lot of companies overlook their best employees simply because it takes time and effort to consider people in the company for a promotion (Wharton University of Pennsylvania, 2013). If someone is picked over another employee or someone who is brought in from outside the company, there is a risk the current employee will leave the company since they may feel undervalued and there is an unlikeliness of advancement for them. Another thing companies may need to work on is training current employees in preparation for promotion and growth within the company. This will help employees feel a sense of purpose and hope for promotions with their newly learned skills. I believe this is another thing company’s overlook and are losing valued employees because of it. It is believed that employees should be encouraged to thrive in the company which creates more value for the employee’s.
Expert power comes into play when an internal employee gets passed over for an external employee. Expert power is a leader full of great knowledge (Pennsylvania State University, 2020). An expert power in a workplace is usually held by the current employee who already have the knowledge about the company and what it needs. These people has a better understand in how to influence others within the company and get the task at hand done properly. “Expert power is a function of the amount of knowledge one possesses relative to the rest of the members of the group” (Pennsylvania State University, 2020). This could actually mean that in particular situations, a follower could have more expert power than leaders above them. When a manager is hired from an outside company, the current employee’s may have more knowledge (expert power) then the new manager. This is an example of expert power. Expert power is very much alive in organizations when current employee’s get passed up to outside employee’s being brought on. This can lead to a lot of friction and some departures from the company.
Hughes, Richard, et al. (1993). Power and Influences. Leadership: Enhancing the Lessons of Experience. Homewood, IL. Irwin.
Krell, E. (2019). Weighing Internal vs. External Hires. Retrieved from https://www.shrm.org/hr-today/news/hr-magazine/pages/010215-hiring.aspx
Pennsylvania State University. (2020). PSYCH485: Leadership in Work Settings. Lesson 7: Power and Influence. Retrieved from https://courses.worldcampus.psu.edu/canvas/sp20/22011–17110/content/08_lesson/printlesson.html
Wharton University of Pennsylvania. (2013). Passed Over for a Promotion? How Companies Can Retain the Runner-up. Retrieved from https://knowledge.wharton.upenn.edu/article/passed-over-for-a-promotion-how-companies-can-retain-the-runner-up/