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Incident 6.1 Inside or Outside Recruiting? Powermat, Inc., has encountered difficulty over the last few years in filling its middle manage- ment positions. The company, which manufactures and sells complex machinery, is organized into six semiautonomous manufacturing departments. Top management believes it is neces- sary for the managers of these departments to make many complex and technical decisions. Therefore, the company originally recruited strictly from within. However, it soon found that employees elevated to middle management often lacked the skills necessary to discharge their new duties. A decision was then made to recruit from outside, particularly from colleges with good in- dustrial management programs. Through the services of a professional recruiter, the company developed a pool of well-qualified industrial management graduates. Several were hired and placed in lower management positions as preparation for the middle management jobs. Within two years, all these people had left the company. Management reverted to its former policy of promoting from within and experienced basi- cally the same results as before. Faced with the imminent retirement of employees in several key middle management positions, the company decided to call in a consultant for solutions. Questions 1. Is recruiting the problem in this company? 2. If you were the consultant, what would you recommend