The tactic most often associated with online recruiting is posting employment advertisements on one or more job-board websites, such as CareerBuilder.com, Yahoo! HotJobs or Monster. Smaller, more focused sites include those of professional associations that maintain a resume bank of job seekers in a specific industry or area of expertise.

Small businesses should also ensure their sites are up-to-date and inviting to potential job seekers. Company sites should not only provide product and service information but also make it clear why the firm is a great place to work. To this end, more small businesses are enhancing their "About Us" and "News" sections to emphasize the benefits of their corporate cultures.

In recent years, small businesses have been finding that professional networking sites such as LinkedIn – and, increasingly, social networking sites such as Facebook – provide virtual opportunities to locate skilled professionals. Since the best candidates are generally already employed, some companies feel these networking sites provide a way for them to get in touch with "passive" job seekers who are not likely to see their job ads.

There are, however, a number of limitations and pitfalls small businesses must be aware of when recruiting online. One point to remember is that the major job boards are typically tapped out by other employers looking for candidates. In addition, hiring managers should take care when reaching out to individuals they encounter online. The digital equivalent of a cold call, sending an unsolicited posting or e-mail to individuals who appear to be promising candidates, for example, can be counterproductive. Although individuals voluntarily post information about their professional experiences and goals on these sites, many prefer to be contacted by those who are already in their networks or through mutual acquaintances.

Personal touch still critical
Despite the ease and efficiency of using the Internet for recruiting, employers’ online efforts should augment, not replace, traditional one-on-one personal contact. This includes outreach to potential candidates through networking events and campus job fairs as well as relationships built with reputable recruiters. The rapport established through direct contacts helps employers and candidates better understand each other’s needs, while the personal attention a client company receives when working with a dedicated recruiter makes it much easier to reach individuals with the specific skills that are sought.

The deeper nature of these personal relationships is an advantage simply not available online. There is no question that the Internet has benefited the efforts of small businesses to seek out new talent. The most successful hiring strategies, however, depend on a combination of resources that include both high-tech and high-touch approaches.