Understanding Person-Organisation Fit and Its Importance in Hiring

Kristof (1996) describes person-organisation fit as the compatibility between people and organisations. This happens when one party provides what the other needs, they share similar core values, or both.

For person-organisation fit (PO fit) to work well, the individual and their environment need to be a good match. When hiring, it’s important to focus on a candidate’s potential and attitude rather than just their skills. Employers and employees should have aligned values to create a strong fit.

Attitude has often been seen as the key to gaining a competitive edge when bringing new people on board.

The Attraction-Selection-Attrition model (Benjamin Schneider, 1987) explains the two-way relationship between employers and candidates. Organisations select people who fit their culture, and candidates choose companies that match their values. This model highlights the importance of social skills and knowledge for better integration through the onboarding process.

A company’s culture is built by everyone involved. Two key ingredients make a top-performing culture: dreams and people.

Dreams give us motivation and inspiration. Aim high and don’t be afraid to dream of big roles, like being a managing director, even if the path isn’t clear yet. You only need to know part of the journey at the start—the rest you’ll learn as you go.

Great companies are also made by great people. Good people attract more good people. It’s often said that you become a reflection of those you spend the most time with. Great people challenge one another constructively, understanding it’s about what’s best for the business, not personal egos. Being around people who are better than you encourages growth.

Research shows that people who experience a strong PO fit tend to stay in their jobs longer (O’Reilly et al., 1999). This is a huge benefit for any organisation.

In my experience, our organisation has only recently started focusing more on PO fit during recruitment. This shift came with the development of a dedicated Human Resources department as the company has grown.

Since then, there’s been a clear path for employees to improve their skills and progress. When people have the chance to aim higher, they feel more motivated and purposeful.

We are moving towards embracing PO fit fully. It takes time, but building a positive culture means growing people from within, especially when they fit well with the company values.

I’ve noticed a change in how the organisation now focuses more on the end user. It’s less about just producing products and more about giving customers great service alongside quality.

Recently, the company won a local Business Investment Award thanks to reinvesting in staff development, upgrading transport, and updating machinery. These investments help keep the organisation improving and pushing for better performance.

When recruiting, focusing on PO fit alongside skills and experience helps new employees settle in quickly and naturally (Tinsely, 2000). Moving forward, I’ll be applying this approach more consistently in recruitment.

I’ve also learned the importance of giving clear, respectful feedback. Avoiding difficult conversations and hoping people will ‘just figure it out’ doesn’t help anyone. Constructive feedback is key to employee growth and organisational success.

References:

Kristof, A. L. (1996). Person-organisation fit: An integrative review of its conceptualizations, measurement, and implications. Personnel Psychology, 49, 1–49.

O’Reilly, C.A., Chatman, J. and Caldwell, D.F. (1991). People and organizational culture: a profile comparison approach to assessing person-organization fit. Academy of Management Journal, 34, 487-516.

Schneider, B. (1987). The people make the place. Personnel Psychology, 40, 437-453.

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