A Tough Call The first advantage of promoting a current employee to a manager position would be saving money on hiring costs. It is expensive to post job positions, interview possible employees, and put newly hired employees through training processes. Another advantage of promoting within rather than looking external would be the quality of performance. The current employee already has a proven performance record with the company and knows the company’s culture and beliefs. So, hiring internally would also save time from having to teach the external manager what the company is about and how they run. The last advantage of promoting within is that there will be a boost in morale in the workplace. If you are offering a promotion, employees will be motivated and excited to work harder to attain the position. The first disadvantage to promoting within is that there is a decrease in work performance once the decision has been made. Before making the decision, employees will work their hardest to achieve the position. But, once someone has been picked, it is possible that the rest of the employees will get their feelings hurt leading to poor work performance and job dissatisfaction. Another disadvantage to promoting from within would be that you get stale ideas from current employees. These employees have been with the company and lack a fresh perspective from the outside world. The last disadvantage to promoting from within is that you only have a certain amount of candidates to choose from. The first advantage to hiring a manager externally is that you get new ideas and intelligence from hiring externally. New managers might ask questions such as, “Why do we do it that way?” which brings in a new perspective on routines and policies that have been in place for a long time; which is never a bad thing. Another advantage to hiring external is that you have a lot of people to choose from. Jobs are scarce and once a job position is posted, there will be a lot of people trying to get it. Mr. Garner referenced that he had over 100 people apply for his management position, and if he were to look internally he would have had only 10-20 people to choose from. This increases the chance that a better manager will come from external hiring. The last advantage to hiring external is that it acts as a news flash to employees keeping them on edge since the company is now hiring externally and someone can take their place. The first disadvantage to hiring externally is that it is timely and expensive. Recruiting from outside the company requires a lot of time while conducting an interview process. This process coupled with actually hiring a new employee is pretty expensive to do. Another disadvantage to hiring externally is that you don’t really know what you’re getting. You already know what your current employees are worth and how well they work, but hiring someone completely new is an educated guess on how they will fit with the company and their work ethic. The last disadvantage to hiring externally is that it may damage current employee morale because they know their chances for promotion are that much less. Damaged morale translates to decreased productivity. If I were in Mr. I. B. Lucky’s position, I would look to hire externally. George seems like he is a great assistant manager, but with his lack of organization skills it sounds like George would have trouble being the General Manager. I need someone who can do the job right and quickly. I would tell George that I would love to keep him as an Assistant Manager, but am looking to hire someone with a fresh perspective on the company for a new General Manager.