Project Report on Recruitment & Selection Process
Transcript of Project Report on Recruitment & Selection Process
EXECUTIVE SUMMARY
Success of every business enterprise depends on its human resource.
Finding the right man for the job and developing him into a valuable resource
is an indispensable requirement of every organization. Proper recruitment
helps the line managers to work most effectively in accomplishing the primary
objective of the enterprise. In order to harness the human energies in the
service or organizational goals, every HR manager is expected to pay proper
attention to recruitment and selection activities in an organization. Thus,
personnel functions, recruitment and selection, when carried out properly,
would enable the organization to hire and retain the services of the best
brains in the market. The world's best companies have established their
strength with their people. The employees identify themselves with the
company they are working for. This also helps in building up their spirit,
morale and espirit-de-cops which becomes strength of the company.
There are certain ways that are to be followed by every organization, which
ensures that it has right number and kind of people, at the right place and
right time, so that organization can achieve its planned objective. The project
covers introduction of Recruitment and Selection, Purpose and Importance of
Recruitment, Sources of Recruitment, Steps in the Recruitment & Selection
Process, and Suggestions to make the Recruitment Process more effective. It
also includes the challenges faced by HR in recruitment process and the
recent trends in recruitment process.
1
CONSTRUCTION EQUIPMENT INDUSTRY IN INDIA
Construction and mining equipment cover a variety of machinery such
as hydraulic excavators, wheel loaders, backhoe loaders, bull dozers, dump
trucks, tippers, graders, pavers, asphalt drum / wet mix plants, breakers,
vibratory compactors, cranes, fork lifts, dozers, off-highway dumpers (20T to
170T), drills, scrapers, motor graders, rope shovels etc. They perform a
variety of functions like preparation of ground, excavation, haulage of
material, dumping/laying in specified manner, material handling, road
construction etc. These equipments are required for both construction and
mining activity.
Construction equipment industry is fast growing in India. As per a
report on construction equipment industry in India, jointly prepared by India
Brand Equity Foundation (IBEF) and KPMG Advisory Services, the size of the
Indian construction industry is more than Rs 8,000 crores as on 2007 and it is
growing at the rate of 30 per cent.
The Indian mining and construction equipment industry has evolved
primarily on the basis of domestic demand generated over the various plan
periods, essentially on the basis of investments which have gone into mining,
infrastructure development and the building and construction sector. Today it
is still focused largely on the domestic market and exports are marginal at a
level of around Rs.300 crores for an industry approaching a market size of
Rs.7, 000 crores.
There is a huge growth potential in construction equipment
industry and that is the reason why many leading players have entered the
space. Some of the known construction equipment companies include names
2
such as BEML, Ashok Leyland, Caterpillar, Hindustan Motors, Ingersoll Rand,
L&T, Komatsu, Telco Construction Company, Volvo India.
Construction Equipment Industry in India: Overview
Indian Earthmoving and Construction
Equipment Industry (ECE), is at a watershed in its evolution and set to
experience strong growth, spurred by the nation’s rapid economic
development. According to the study, ECE Vision 2015: Scaling new heights
3
Size about US $ 2.4-2.64
Billion for the year 2007
Span a range of equipment
for all construction/ infrastructure
needs
Exports growing at
30%-expected to be US $ 100-200
million by 2010
Growth of over 30%
Highly fragmented top 6 of about 200
domestic manufacturers
contributes 60% output
India’s Construction Equipment
Industry
in the Indian Earth Moving and Construction Equipment Industry, conducted
by leading management consulting firm, McKinsey & Company, for CII,
IECIAL, released today at the CII Excon 2007 in Bangalore, the Indian ECE
industry has the potential to grow fivefold from its current size of US$2.3
billion to approximately US$12–13 billion by 2015, growing at 24% CAGR.
The following indicates the market position for certain broad categories of
equipment:
Hydraulic
Excavators
Dozers &
Dumpers
Wheel
Loaders
Backhoe
Loaders
Road
CompactorsCranes
Fork
Lifts
Telcon
(Hitachi)BEML
Caterpillar
India Ltd.JCB India
Ingersoll
Rand
TIL
(Grove)ECEL
L&T
Komatsu
Caterpilla
r India
Ltd
BEML
Caterpilla
r
India Ltd
ECEL Telcon Voltas
BEMLUdyog
(Tata)Telcon
Telcon
(John
Deere)
L&T Case ECEL
Ingers
oll
Rand
JCB IndiaVoltas
(Unit Rig)JCB India
L&T
Case
Greaves Ltd
(Bomag)
Voltas
(P&H)TIL
Caterpillar
India LtdVolvo BEML
Gujarat
Apollo
Equipment
McNei
ll
Engg.
Volvo Volvo
Wirtgen
India Pvt.
Ltd
4
VARIOUS PRODUCT RANGE
Earth Moving Equipment
Concrete Equipment
Material Handling Equipment
Material Preparation
Road Construction Equipment
Construction Vehicle
Backhoe Loaders
Excavators
Loaders
Bull Dozers
Skid-Steers Loaders
Wheel Loaders
Wheel Dozers
Shovels
Motor Graders
Concrete Breaker
Paver Finisher
Concrete Batching Plant
Concrete Pumps
Concrete Mixers
Telescopic Handlers
Crawler Crane
Mobile Crane
Slew Crane
Pick & Carry Crane
Forklifts
Tower Crane
Crushing Plants
Jaw Crusher
Compaction Equipment
Vibratory Rollers
Pavers
Dumpers
Articulated Haulers
5
KEY PLAYERS
JCB India
JCB came to India in 1979.
The company has a turnover of US $ 335 million.
The company is growing by 25-30% annually.
JCB India is a subsidiary of JC Bamford Excavators Ltd. (JCB)
The product range from Backhoe Loaders, Wheeled Loaders to Excavators.
The Company has a 70% market share in the backhoe loader segment and
around 13% market share in the overall Indian CE industry
Bharat Earth Movers Limited (BEHL)
BEHL is its largest player in earthmoving equipment sector
The company turnover is around US $ 484 million.
The mining and construction equipment segment is around US $ 306.6
million; defense segment is about US $ 154.2 million; and railway around US
$ 23 million.
The company is the largest public sector undertaking in the industry.
It has a 70% market share in the domestic earthmover industry and 12% in
the overall construction equipment industry
L & T Case, L & T Komatsu
The companies together have a turnover of US $ 156 million, with majority
coming from L & T Komatsu.
L & T Case manufactures’ loaders backhoes and vibratory compactors; while
L & T Komatsu manufactures’ hydraulic excavators.
L&T Case hold 21% market share in vibratory compactors
L&T Komatsu holds 20% market share in excavators
6
Ingersoll-Rand India Ltd.
A public limited company (majority owned by Ingersoll Rand), is a market
leader in compactors with a turnover of US$ 104.5 million
The company operates in construction and compact vehicle technologies, air
solutions and climate control technologies, with each of these contributing
US$ 50.8 million, US$ 62 million and US$ 0.9 million, respectively
It has a 39% market share in the compactor segment
Its major products are compaction equipment, pavers, loaders, light towers,
air compressors, etc.
Telco Construction Equipment Company Limited (Telcon)
The company is a market leader in excavators
It is a subsidiary of Tata Motors and has a turnover of US$ 283 million
Its major products are excavators, loaders, mechanical shovels, high tonnage
crawler cranes, etc.
It has a 50% market share in the excavator segment and an overall market
share in the construction equipment segment of 11%.
Voltas
The public limited company – a part of the Tata group is the second largest
player in the forklifts segment. The customers are engineering industries
Its products are: industrial air conditioning and refrigeration equipment, air
conditioners, water coolers, freezers, commercial refrigerators, forklift trucks
and large water supply pumps
The company has a turnover of US$ 260 million, of which less than 7% is
accounted for by the material handling division
It has a 31% share in the forklifts segment.
7
ESCORTS CONSTRUCTION EQUIPMENT LIMITED
The Escorts Group is among India's leading engineering
conglomerates operating in the high growth sectors of Agri-machinery,
construction & material handling equipment, railway equipment and auto
components.
Escorts Construction Equipment Limited (ECEL) is multi product
construction equipment Manufacturer Company under Escorts Group. It has
defined the evolution of India’s Earthmoving & Construction Equipment Industry
over the past 38 years. In 1971, ECEL introduced Pick n Carry Hydraulic Cranes
Mobile Cranes and continues to be the World's No.1 manufacturer of this
Product. The World Class range of Vibratory Compactors that was first
introduced in the late 80’s is still one of the most effective compaction solutions to
the industry.
8
With over 30 years experience in Construction Equipment Industry, Escorts has a
proven track record in:
o Hydraulic Mobile Cranes
o Loaders
o Forklifts
o Vibratory Compactors
While recording a rapid growth in Crane Industry ECEL has also
been able to steadily increase its presence in the field of Vibratory, Soil &
Tandem Compactors. ECEL was the first to bring the concept of Vibratory
Compactors in India in a big way, back in 80’s. Subsequently more models in
Tandem Vibratory Compactors and heavy duty Soil Compactor range were
added in technical collaboration with HAMM Germany. Recently, ECEL has
further strengthened the range with a 3T Shoulder Compactor.
Along with Cranes and Compactors, ECEL also manufacture
Frontend loaders with payload capacity of 700kgs. Suitable for narrow lanes and
confined spaces, these loaders are compact in design and are ideal for garbage
handling, handing of chemicals, sands, small chips, etc.
ECEL also offers other material handing solutions like Forklifts from
Daewoo Doosan Infracore Ltd., Korea and Articulated boom cranes from Fassi,
Italy. In LPG Forklift category, the company enjoys a market share in excess of
85%. This single-minded pursuit of precision and customer satisfaction has made
us the 3rd largest in terms of Construction Equipment Sales unit per annum.
At the recently held EXCON 2007 (Asia’s 3rd Largest Expo on
Construction Equipment Industry) at Bengaluru, the construction equipment-
manufacturing arm of Escorts, ECEL unveiled its largest TRX Series of Pick-n-
9
Carry Cranes in the 23 T, 20 T and 17 T categories, combining lifting powers with
boom height advantage.
ECEL at a Glance:
1970 - YELLOW LINE" Construction Equipment Department (predecessor of
Escorts Construction Equipment Limited) formed.
1971 - ECEL introduces Pick n Carry Cranes and Front End Loaders
1983 - Rough Terrain Hydraulic Mobile Crane
1987 - Vibratory Roller 10T Class
1995 - Escorts Fassi Articulated Boom Cranes (1.72 Tm – 78 Tm)
Escorts Daewoo Fork Lift Trucks (2T to 15T)
1997 - Escorts Franna All Terrain PNC crane
1999 - ESCORTS K10, the Next Generation Pick-N-Carry Crane.
Introduced LPG Forklifts in India
2001 - HD-85 – Tandem Vibratory Roller was launched
2002 - MAC 1214 – a wreckage recovery crane was designed, launched and
Record 280 machines were sold in launch year
2005 - 2420 – a 12 T Soil Vibratory Roller and ED -30 a 3 T Mini Tandem
Vibratory Roller were Launched during EXCON 2005
2006 - Training Facility at Started at Bangalore
HP 216, a new generation Pick n Carry Crane Came into existence
2007 - Construction of new manufacturing facility started at Ballabhgarh and
Rudrapur
ECEL receives the Awards in two categories at 5th Construction World –
NICMAR Award- the Second fastest Growing Construction Equipment
Company and Third largest Construction equipment Company
10
TRX Series of Pick-n- Carry cranes launched in the category of 23 T, 17 T
and 16 T at EXCON -2007. TRX 2319, a 23 T Crane being the Largest
Crane in this category in the world
2008 - ECEL to market the world renowned 'LeeBoy' brand of equipment for road
Construction and maintenance purposes, complementing its existing
Range.
ECEL launches Fully Hydraulic Crawler Cranes.
ECEL launches Escorts Heli Forklifts Range.
2009 - ECEL has recently commissioned its state-of-art manufacturing
plantrolling out pick-n-carry cranes and vibratory compactors.
The new facility located at Ballabhgarh in Faridabad District is equipped
with inbuilt hi-tech technology, housing all the modern facilities under one
roof.
11
ORGANIZATIONAL MANPOWER STRUCTURE:
JOB SIZE / FUNCTIONAL
BAND
TYPICAL ROLES (ILLUSTRATIVE ONLY)
TM-3
TM-2
TM-1
Heads of subsidiary companies of ECEL
Divisional Heads
Functional Heads of “Areas” with relatively larger bandwidth, impact, role & responsibility
SM-3
SM-2
SM-1
Heads of Functional Areas
Departmental Heads
Planning & Supervisory roles
OM-3
OM-2
OM-1
Operational Management & Executory roles
Section / Cell Heads, Front- Line Team Leaders
Principal Team Member
12
ORGANIZATIONAL CHART
Human Resource Department Hierarchy
Security
CEO
R & D
Manufacturing Operations
HR / ER/ Administration
Sales&
Marketing
Finance & IT
Quality
Head Personnel & ER
Human Resource
Environment, Health & Safety
Administration
Industrial Relations & Employee
WelfareHuman Resource
Operations
13
OBJECTIVE OF THE PROJECT
Every task is undertaken with an objective. Without any objective a task is
rendered meaningless. The main objectives for undertaking this project are:
1. To understand the Recruitment and Selection Process at Escorts Construction
Equipment Limited.
2. To give suitable recommendations to streamline the hiring process.
3. To Study the Challenges faced by HR in recruitment.
4. To Study recent trends in Recruitment Process.
RESEARCH METHODLOGY
Research methodology is a way to systematically solve the research problem. In
it, we study the various steps that are generally adapted by a researcher in
studying research problem along with logic behind them.
It includes the formulating of research problem, study of literature, collecting the
data, analyzing that data and making interpretations of that data. Research
methodology used:
Study of Recruitment and Selection at Escorts Construction Equipment
Limited by the manual provided by the HR department.
Web sites.
Books.
TYPE OF DATA COLLECTED
There are mainly two sources of data collection which are:
1. Primary Data
2. Secondary Data
14
Primary data is defined as data that is collected from original sources for a
specific purpose.
Secondary data is defined as data collected from indirect sources.
PRIMARY DATA COLLECTION SECONDARY DATA COLLECTION
QUESTIONNAIRE PERSONAL INTERVIEW
INTERNET BOOKS
DATA COLLECTION METHODS
STUDY OF RECRUITMENT POLICY
15
INTRODUCTION TO RECRUITMENT AND SELECTION:
Recruitment is the process by which organizations locate and attract individuals
to fill job vacancies. Most organizations have a continuing need to recruit new
employees to replace those who leave or are promoted in order to acquire new
skills and promote organizational growth.
Recruitment is defined as, “a process to discover the sources of manpower
to meet the requirements of the staffing schedule and to employ effective
measures for attracting that manpower in adequate numbers to facilitate
effective selection of an efficient workforce.”
Recruitment is a ‘linking function’, joining together those with jobs to fill and those
seeking jobs. It is a ‘joining process’ in that it tries to bring together job seekers
and employer with a view to encourage the former to apply for a job with the
latter. In order to attract people for the jobs, the organization must
communicate the position in such a way that job seekers respond. To be cost
effective, the recruitment process should attract qualified applicants and provide
enough information for unqualified persons to self-select themselves out. Thus,
the recruitment process begins when new recruits are sought and ends
when their applications are submitted. The result is a pool of applicants from
which new employees are selected.
Selection refers to the task of choosing or picking the suitable candidates by first
asking for and gaining access to useful information about the candidate.
Through the process of recruitment the company tries to locate prospective
employees and encourages them to apply for vacancies at various levels.
Recruiting, thus, provides a pool of applicants for selection.
16
Selection is the process of picking individuals who have relevant qualifications to
fill jobs in an organization. The basic purpose is to choose the individual who
can most successfully perform the job from the pool of qualified candidates.
The purpose of selection is to pick up the most suitable candidate who would
meet the requirements of the job in an organization best, to find out which job
applicant will be successful, if hired. To meet this goal, the company obtains
and assesses information about the applicants in terms of age, qualifications,
skills, experience, etc. the needs of the job are matched with the profile of
candidates. The most suitable person is then picked up after eliminating the
unsuitable applicants through successive stages of selection process. How
well an employee is matched to a job is very important because it is directly
affects the amount and quality of employee’s work. Any mismatched in this
regard can cost an organization a great deal of money, time and trouble,
especially, in terms of training and operating costs. In course of time, the
employee may find the job distasteful and leave in frustration. He may
even circulate ‘hot news’ and juicy bits of negative information about the
company, causing incalculable harm to the company in the long run.
NEED FOR RECRUITMENT AND SELECTION:
The need for recruitment may be due to the following reasons / situation:
Vacancies due to promotions, transfer, retirement, termination, permanent
disability, death and labor turnover.
17
Creation of new vacancies due to the growth, expansion and
diversification of business activities of an enterprise. In addition, new
vacancies are possible due to job specification.
PURPOSE OF RECRUITMENT AND SELECTION:
The general purpose of recruitment is to provide a pool of potentially
qualified job candidates. Specifically, the purposes are to:
Determine the present and future requirements of the organization on
conjunction with its personnel-planning and job analysis activities.
Increase the pool of job candidates at minimum cost.
Help increase the success rate of the selection process by reducing the
number of visibly under qualified or overqualified job applicants.
Help reduce the probability that job applicants, once recruited and selected,
will leave the organization only after a short period of time.
Meet the organization’s legal and social obligations regarding the composition
of its work force.
Begin identifying and preparing potential job applicants who will be
appropriate candidates.
Increase organizational and individual effectiveness in the short term and long
term.
Evaluate the effectiveness of various recruiting techniques and sources for all
types of job applicants.
18
SOURCES OF RECRUITMENT:
The following are the most commonly used methods of recruiting people.
INTERNAL METHODS:
This refers to the filling of job vacancies from within the business - where existing
employees are selected rather than employing someone from outside.
A business might decide that it already has the right people with the right skills to
do the job, particularly if its training and development programme has been
effective.
Promotions and Transfers
This is a method of filling vacancies from within through transfers and
promotions. A transfer is a lateral movement within the same grade, from one job
to another. It may lead to changes in duties and responsibilities, working
conditions, etc., but not necessarily salary. Promotion involves movement of
employee from a lower level position to a higher level position accompanied
by changes in duties, responsibilities, status and value.
Job Posting
Job posting is another way of hiring people from within. In this method, the
organization publicizes job opening on bulletin boards, electronic method and
similar outlets. One of the important advantages of this method is that it offers a
chance to highly qualified applicants working within the company to look for
growth opportunities within the company.
Employee Referrals
19
Employee referral means using personal contacts to locate job opportunities. It is
a recommendation from a current employee regarding a job applicant.
Employees working in the organization are encouraged to recommend the
names of their friends, working in other organizations for a possible
vacancy in the near future. In fact, this has become a popular way of
recruiting people in the highly competitive industry nowadays. Companies
offer rich rewards also to employees whose recommendations are accepted.
EXTERNAL METHODS:
This refers to the filling of job vacancies from outside the business. Most
businesses engage in external recruitment fairly frequently, particularly those that
are growing strongly, or that operate in industries with high staff turnover
Campus Recruitment
It is a method of recruiting by visiting and participating in college
campuses and their placement centers. Here the recruiters visit reputed
educational institutions with a view to pick up job aspirants having requisite
technical or professional skills. Job seekers are provided information about the
jobs and the recruiters. A preliminary screening is done within the campus and
the short listed students are then subjected to the remainder of the
selection process. If campus recruitment is used, steps should be taken by
human resource department to ensure that recruiters are knowledgeable
concerning the jobs that are to be filled in the organizations and employ effective
interviewing skills.
Advertisements
20
These include advertisements in newspapers; trade, professional and technical
journals; radio and television; etc. The ads generally give a brief outline of
the job responsibilities, compensation package, prospects in organizations,
etc. This method is appropriate when (a) the organization intends to reach a
large target group and (b) the organizations wants a fairly good number of
talented people – who are geographically spread out.
Employment Agencies
These businesses specialize in recruitment and selection. They often specialize
in recruitment for specific sectors (e.g., finance, travel, secretarial). They usually
provide a shortlist of candidates based on the people registered with the agency.
They also supply temporary or interim employees.
Recruitment Consultancies
Companies give their manpower requirements to Placement & Recruitment
Consultants who undertake the job of identifying suitable candidates for the
Company.
Unsolicited Applicants / Walk-ins
Companies generally receive unsolicited applications from job seekers at various
points of time; the number of such applications depends on economic
conditions, the image of the company and the job seeker’s perception of
the types of jobs that might be available etc. Such applications are
generally kept in a data bank and whenever a suitable vacancy arises, the
company would intimate the candidates to apply through a formal channel.
21
STEPS IN RECRUITMENT & SELECTION PROCESS
STEP 1: MANPOWER PLANNING
Manpower planning is done to identify the vacancies arising out of business
needs. Each department undertakes manpower planning every year. Manpower
planning may be necessitated due to separation in the form of resignation,
termination, transfers etc., expansion / reorganization, time bound jobs of
temporary nature / leave vacancies, retirements (premature or on attaining the
58 years of age). Annual manpower budget, including current staff strength, is
prepared by the Business Head and approved by the Budget Committee
comprising of Business Heads / Corporate Heads / JMD and the Chairman.
STEP 2: IDENTIFICATION OF A VACANCY
The department head identifies the need for hiring based on Manpower Hiring
Plan (Manpower Budget). The vacancies can be arising due to resignations,
terminations and retirement of employees.
STEP 3: REVIEW THE NEED FOR THE POSITION OR VACANCY
The department head review the requirement for the position and the need to fill
the vacancy. He checks whether the requirement is as per Manpower Hiring Plan
(Manpower Budget). Then, Head of the Department raise a Manpower
Requisition Form in a standardized format and forward the copy of MRF to the
CEO for approval. The Department Head along with HR Manager check whether
the hiring requirement is for an existing role or a new role. If the requirement is for
existing role then the Department Head forward the MRF to the HR Department.
If the requirement is for a new role, then the Department Head create Job
22
Description for the role in a standard format and forward it with the MRF to the
HR Department to start the recruitment process.
STEP 4: SOURCING OF SUITABLE CANDIDATES
The HR Executive considers and assesses the best way of attracting a pool of
suitably qualified candidates, who will meet the needs of the business.
Depending on the nature of the position/grade, volumes of recruitment and any
other relevant factors, the Regional HR would use any one or multiple sources
such as:
o Existing database
o Employee referral as per any company scheme that may be approved
from time to time
o Advertisement in the internet/newspapers/magazines/company’s sites/job
sites or any other media
o Placement Agencies / Consultants
o Direct recruitment from campuses/academic institutes;
A list of resourceful / quality consultants with agreed rate of commission is
prepared by the HR Executive based on specialization in the manufacturing
Industry, past history, market reputation and ability to deliver.
STEP 5: COLLECT THE RESUMES
The HR Executive forward the JD’s to the placement consultants and collect the
resumes or profiles from all the consultants.
23
STEP 6: SCREENING OF RESUMES
The HR Executive screen the resumes as per JDs and MRF and shortlist profile
fit. He verifies whether the candidate has appeared for an interview with the
company previously from the application database. If the candidate has appeared
for an interview previously, then review the feedback from the Interview
Assessment Form (IAF) and other documents filled.
STEP 7: SHORTLISTING OF CANDIDATES
The HR Executive forward all the HR-Short listed resumes to concerned HOD
with resume snapshot attached in mail with a copy to VP function, Head HR and
Manager HR. The Concerned HOD shortlists the candidates to be called for an
interview as per requirement for the Job and forwards the list to HR Department.
The HR Executive prepares the Interview Calendar and forwards it to the
Concerned HOD and HR Manager with copy to HR Head and VP function.
STEP 8: SCHEDULE INTERVIEWS
The HR Executive obtains a tentative schedule from Concerned HOD and Head
HR for interviewing the candidates. He asks the consultants to line up the short
listed candidates on scheduled interview date. Regular follow up is to be done
with candidates by the HR Executive to ensure 100% participation.
STEP 9: CONDUCT INTERVIEWS
The HR Executive in consultation with the concerned department will set up an
interview panel consisting of HR Head / Manager and Department Head /
Manager. On the date of Interview, the HR Executive circulates the Application
Blank and Travel Reimbursement Form to the candidates for procuring
24
information about the candidate. The HR Executive forwards the Interview
Assessment Sheet to the Interview Panel. The interview panel assesses the
candidate based on the factors mentioned below, in a prescribed format and
gives its recommendations for approval.
Attitude
Knowledge
Communication
Experience
Team spirit
Loyalty expectation
Initiative
The HR Executive coordinates the interview process. The HR Executive collects
all filled TRF’s with Original bills (Tickets) from the candidates and gets those
forms approved by HR Head and forward the approved TR list along with the
filled Travel Reimbursement Forms and original bills to the Finance and Accounts
for processing.
If the candidate is rejected, the HR Executive communicates the same to the
candidate and files the Interview Assessment Sheet, application blank along with
resume of candidate in the Application Database.
STEP 10: MAKE OFFER OF EMPLOYMENT
The Concerned HOD and Head HR make verbal offer to the shortlisted candidate
and discuss other terms and conditions of employment. If the candidate accepts
25
the offer then conduct reference check for the prospective employee (Via
telephone, Mail).
STEP 11: RENEGOTIATE OFFER
If the shortlisted candidate rejects the offer due to salary reasons, the HR Head
renegotiate salary with the candidate, if suitable, along with other terms and
conditions.
STEP 12: REFERENCE CHECK
Reference checks of the final short listed candidate are conducted by Head-HR.
The candidate is asked to mention in his application blank, the names and
addresses of two or more persons who know him well. These may be his
previous employers, heads of education institutions or public figures. These
people are requested to provide their frank opinion about the candidate without
incurring any liability. The opinion of referees can be useful in judging the future
behavior and performance of candidate. If the result of reference check is positive
then continue with the induction process. If the result of reference check is
negative, then withdraw the offer and send rejection letter to the candidate.
STEP 13: LETTER OF INTENT
The selected candidate will be given an intent letter with prescribed details as
given below:
Functional Band Position for which selected.
Place of initial Posting
Expected Date of Joining.
26
Advise for medical examination.
Details of the testimonials and other documents to be submitted at the
time of joining.
Acceptance by the selected candidate
STEP 14: MEDICAL CHECK UP
The selected candidate is sent for a medical check up at reputed hospitals before
final selection / issuance of letter of intent or after final selection / issuance of
letter of intent. In case the candidate is declared unfit for employment the offer /
intent letter will stand cancelled.
STEP 15: ON BOARDING & INDUCTION
On the date of joining the employee is issued an appointment letter by the HR
Head. The appointment letter include all the terms and conditions governing
employment including Designation, Department, Salary & Scale of Pay, Date of
appointment, Probation, Medical Fitness, Retirement, Termination of Services,
Secrecy, Transfer etc. All new joinees undergo an induction program as per
requirement soon after joining the organization. Induction program is done by HR
Department in consultation and involvement of concerned department / other
departments. During the process of induction, the new member is briefed about
the following:
1. Company Profile & Products
2. Geographical familiarization
3. Organizational Policy & Procedures
27
4. Socialization with department rituals.
5. Employee Involvement activities
The induction process shall begin by
verification of the following original merit certificates wherever applicable subject
to the level of hiring:
Educational certificates
Proof of date of birth
Four passport sized photographs of self
One passport sized photographs (each) of spouse, dependent children (if
applicable) for medical insurance purpose.
Relieving letter from the previous employer (If the relieving letter is not
available, declaration regarding resignation shall be obtained from the
candidate)
Copy of experience certificates for all the previous employments (if
applicable)
Salary slips certificate from the previous employer
TDS certificate and Form 16 from previous employer (or Salary certificate)
Copies of certificates and testimonials
Nomination and other documents pertaining to provident fund, gratuity
RECOMMENDATIONS & SUGGESTIONS
28
Compress the "white space" in your hiring process
White Spaces are delays in hiring process that are unproductive, waste time, and
virtually assure you'll lose talented candidates. Often the longest delays occur
between critical selection events. For example, a recruiter may need several
weeks to screen a few resumes from the Web job boards, or candidates who
make it through screening may wait weeks to interview with a hiring manager.
Here at Escorts Construction Equipment Limited, the delays occur when the
outstation candidates are called for interviews at Regional branches like Delhi
and Faridabad. Sometimes, because of busy schedule of senior managers and
sometimes because of tight schedule of candidate, the interview has to be
postponed. This delay could be minimized by scheduling interviews in the
regional locations. It is recommended to reduce the turnaround time for the
recruitment and selection process. It must be made mandatory for the candidates
to take the test, filling up forms etc within the stipulated time, this will make sure
that the candidates do not hold casual attitude and take the recruitment process
more seriously. Additionally it will send across a positive image about the
company.
Tie up with more & more consultants from multiple segments
Since the limited placement agencies are sourcing candidates to all construction
companies, there often comes the problem of duplication of data. Therefore it is
recommended that more and more consultants should be tied up from multiple
segments to attract large pool of new and fresh talent.
Know what you're looking for in candidates
29
It is observed that the candidates sourced by placement agencies and send for
further rounds of interviews are rarely found suitable by the hiring managers.
Therefore it is recommended that these placement agencies be given a well
drafted job description and job specification. This can also be circulated to
internal employees under the employee referral scheme. This will help people to
get a clearer picture and provide for most suitable candidates.
Reduce the pre offer formalities
Pre-offer documentation includes filling of a lengthy Application Blank which
includes all personal, educational and professional details of candidate. This is
very time consuming and even after taking these details from candidate its not
sure that offer will be made or not. This also becomes frustrating for the
candidate sometimes. So, it is recommended that unnecessary details should not
be asked before we make the final offer to the candidate. Application Blank form
should be made concise.
30
CHALLENGES FACED BY HR IN RECRUITMENT PROCESS
The major challenges faced by the HR in recruitment are:
Adaptability to Globalization
The HR professionals are expected and required to keep in tune with the
changing times, i.e. the changes taking place across the globe. HR should
maintain the timeliness of the process
Lack of Motivation
Recruitment is considered to be a thankless job. Even if the organization is
achieving results, HR department or professionals are not thanked for recruiting
the right employees and performers.
Process Analysis
The immediacy and speed of the recruitment process are the main concerns of
the HR in recruitment. The process should be flexible, adaptive and responsive to
the immediate requirements. The recruitment process should also be cost
effective.
Strategic Prioritization
The emerging new systems are both an opportunity as well as a challenge for the
HR professionals. Therefore, reviewing staffing needs and prioritizing the tasks to
meet the changes in the market has become a challenge for the recruitment
professionals.
Attracting Highly Talented Ones
The number of highly talented professionals is less. All the big MNC's are trying
to attract these people with high salaries, perks, incentives etc. There is a tough
competition among these companies to get these candidates on their roles.
These days, its not just salaries which will pull the candidate in but various factors
31
like brand, culture, location, job security, reputation of the company etc play a
major role in recruiting a talented professional.
RECENT TRENDS IN RECRUITMENT PROCESS
The following trends are being seen in recruitment process:
RECRUITMENT PROCESS OUTSOURCING
The recruitment is one of the leading functions that organization outsourced. The
outsourcing firms help the organization by the initial screening of the candidates
according to the needs of the organization and creating a suitable pool of talent
for the final selection by the organization. Outsourcing firms develop their human
resource pool by employing people for them and make available personnel to
various companies as per their needs. This practice helps the organization in
reducing time and costs in recruitment.
POACHING AND HEAD HUNTING
“Buying talent” (Rather than developing it) is the latest mantra being followed by
the organizations today. Poaching means employing a competent and
experienced person already working with another reputed company in the same
or different industry; the organization might be a competitor in the industry. Head
Hunting means you attract the employ of your choice from competitors by the
way offering lucrative packages for beginning the work for your organization. A
company can attract talent from another firm by offering attractive pay packages
and other terms and conditions, better than the current employer of the
candidate. Indian software and the retail sector are the facing the most severe
brunt of poaching today. It has become a challenge for human resource
32
managers to face and tackle poaching, as it weakens the competitive strength of
the firm.
E- RECRUITMENT
Internet has created revolution in recruitment and selection process. E-
Recruitment is the use of technology to assist the recruitment process. Today
aspirants having global mindset and information on opening are available online
with placement consultant website, companies website, city line websites and
other portal. The job seekers send their applications through mail using the
Internet. Organizations are collecting database whole of the year through this and
exercising this to its level best. This will help in time and money cost for the
companies and for aspirants it is easier to access it on 24/7.
SUMMER INTERNSHIP PROGRAMME:
This programme bridges the gap between concepts reinforced in class room and
real corporate and environmental situation. Corporate having opportunity to
evaluate students for long term perspectives. Internship programme is
undertaken in the discipline concerned.
TALENT STRATEGY
Talent strategy means examining the kinds of competencies that will be needed
in the next few years, and then comparing those needs with the current
competencies. Based on the types of gaps, an organization then decides whether
to promote, transfer, terminate, and so forth.
33
LEARNINGS & EXPERIENCES
Every endeavor undertaken to accomplish challenging goals, can only be
successful under the experienced and encouraging guidance. I am privileged to
have undergone training at Escorts Construction Equipment Limited. As learning
never stops, my learning at ECEL has come from a lot of exposure, on the job
training and close interaction with the HR department. In brief my learning’s and
achievements can be summarized as under:
o Observed the Interview Process for Product Support & Sales
vacancy.
o Understanding of profiles.
o Following up with the candidates during the recruitment process.
o Communicating with the HR Manager regarding the process.
o Help in the coordination of training for workers and managers.
o Learnt the effective use of communication tools.
34
CONCLUSION
Success of every business enterprise depends on its human resource. Recruiting
and selecting the right people for your business is a challenge. Finding the right
man for the job and developing him into a valuable resource is an indispensable
requirement of every organization. Proper recruitment helps the line managers to
work most effectively in accomplishing the primary objective of the enterprise. In
order to harness the human energies in the service or organizational goals, every
HR manager is expected to pay proper attention to recruitment and selection
activities in an organization. Thus, personnel functions recruitment and selection,
when carried out properly, would enable the organization to hire and retain the
services of the best brains in the market.
The recruitment process inform qualified individuals about
employment opportunities, create a positive image of the company, provide
enough information about the jobs so that applicants can make comparisons with
their qualifications and interests, and generate enthusiasm among the best
candidates so that they will apply for the vacant positions. Recruitment
represents the first contact that a company makes with potential
employees. It is through recruitment that many individuals will come to know a
company, and eventually decide whether they wish to work for it.
35
ANNEXURES
QUESTIONNAIRE
Name of the company Escorts Construction Equipment Limited
Industry Type Earthmoving and Construction Equipment
Name of Respondent Animesh Osta – Manager HR
Instruction : Kindly underline / highlight your choice
1. Do you have a clearly stated Recruitment & Selection Policy?
-- Yes -- No
-- To some extent
2. Which recruitment source do you use for recruitment?
-- Internal -- External
-- Both
3. What are the external sources you use for the recruitment?
-- Advertisement -- Employee Referrals
-- Job Portals -- Placement Consultants
-- Direct Applicants -- Campus Recruitments
4. Does ECEL adopts Internal Recruitment Source i.e. Transfer, promotion or
employee referrals?
-- Yes -- No
If Yes, then for which type of post
5. Potential Candidates in the organization are generated through the
following recruitment sources:
36
(Rank them based on the number and quality of candidates generated and
also roughly specify the percentage mix of each of the following sources
adopted. For e.g. If the organization get maximum quality candidates from
Job Portals, then put ranking 1 and percentage say for e.g. 40%.)
S No. Sources Ranking Percentage
1. Advertisements
2. Employee Referrals
3. Job Portals
4. Placement Consultants 1
5. Direct Applicants 3
6. Campus Recruitments 2
7.Any other sources,
please specify
6. Rank the Qualities in the order of your preference on the basis of which you select
the candidate.
S No. Qualities Ranking
1. Attitude 1
2. Experience 3
3. Knowledge 2
4. Communication 5
5. Loyalty Expectation 6
37
6. Present Ability 8
7. Initiative 4
8. Team Spirit 7
7. Is the estimation of Recruitment Process cost is done?
-- Yes -- No8. What are the challenges you face while managing your manpower?
-- Attrition -- Recruitment
-- Replacement -- Absenteeism
-- Trade union -- Cost of non performance
9. What is the range of Attrition rate in the organization?
-- 1% - 5% -- 5% - 10%
-- 10% - 15% -- 15% - 20%
-- More than 20%
10.Rank the following reasons for attrition rate.
(1- Topmost Important Reason, 2, 3, 4, ….6- Least Important Reason)
S No. Reasons Ranking
1. Market Condition 2
2. Insufficient Salary Package 4
3. Inefficient Supervisor 3
4. Inappropriate Training & Development 5
5. Lack of Motivation 6
6. Higher studies and other personal 1
38
reasons
7. Inept work environment 7
8. Others if any
11. Out of total recruitment in a year, what is the percentage of internal
recruitment?
-- 0% - 5% -- 5% - 10%
-- 10% - 15% -- 15% - 20%
-- 20% - 25% -- More than 25%
12.What is the percentage of NO SHOWS? (Shortlisted candidates not
turning up for joining job)
-- 0% - 5% -- More than 15%
-- 5% - 10% -- Not at all
-- 10% - 15%
39
BIBLIOGRAPHY
1. www.ecel.com
2. www.escortsgroup.com
3. www.citehr.com
4. www.google.co.in
5. www.docstoc.com
6. HR Policy Manual of ECEL
40
41