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Project report is submitted to Andhra University in partial fulfillment for the award of the Degree of Master of Commerce

submitted By Ms. V. DHANA LAKSHMI, M.Com (Final) Regd.No.2085601006

Under the guidance of Dr. V.CHIRANJIVI RAO, M.Com, Ph.D. Reader & Head

P.G. Department of Commerce

A.M.A.L.COLLEGE, Anakapalle
NAAC B++GRADE (Affiliated Andhra University, Visakhapatnam) 2008-2010

I hereby declare that the project report entitled Human Resource Management in the Chodavaram Cooperative Sugars Limited, Govada being submitted to Andhra University is original and it has not been submitted to any other University or educational institution for the award of degree or diploma or similar title and it has not been published before.

Anakapalle Dt



This is certify that the Project Report entitled Human Resource Management in the Chodavaram Cooperative Sugars Limited, Govada is a bonafide work carried out and submitted by Ms.

V.Dhana Lakshmi, M.Com final year student of this College in partial fulfillment for the award of Masters Degree in Commerce. Dr. V.CHIRANJIVI RAO, M.Com, Ph.D Project Guide


I sincerely thank Dr. V.Chiranjivi Rao, M.Com, Ph.D Reader and Head of the Post Graduate Department of Commerce, A.M.A.L.College for guiding me to complete this project on Human Resource Management in the Chodavaram Cooperative Sugars Limited, Govada. I thank all the other faculty members of the Department Dr. T.Gopala Rao, Reader and Sri. P.Rajeswara Prasad Lecturer for encouraging me to pursue M.Com course and Dr. K.S.Eswara Rao, Principal of A.M.A.L College, Anakapalle for providing me this opportunity to take up the project. I express my sincere thanks to Sri. Varma , Manager- Human Resources of the Chodavaram Cooperative Sugars Limited. Govada. I am indebted to my parents Sri. V. Rama Chandra Rao and Smt. Satyavathi for nurturing, caring and educating me and for their shower of love and affection on me.



Need for study Scope of the study Objectives Methodology Limitations CHAPTER II INDIAN SUGAR INDUSTRY




Among all the resources (Men, Materials, Money, Market, Methods, Machines) Men are important resources of any organization. Careful planning of human resource requirement, procurement of people, placing them in right places, training, compensation, directing, coordinating, controlling men are significant aspects of Human Resource Management. The present study focuses on recruitment and selection process of manpower in the selected organization. Recruitment is the first step in the procurement of human resources followed by selection of suitable candidates for the jobs identified. Managers have realized that the recruitment & selection of right or able candidates is a crucial step in the management system. Thus, The Chodavaram Co-operative Sugars Ltd., GOVADA has been selected for study. The Study is useful to the selected undertaking as it focuses on identifying the merits and limitations of the recruitment and selection procedures adopted for procuring the manpower of the Sugar mill. The study is also useful to the Government of Andhra Pradesh to streamline the procedure of recruitment and selection of manpower to the Cooperative Sector in the State of Andhra Pradesh. Further, this is useful to the academicians as the outcome of the study would through an insight into the practical problems that may encounter in putting the theory into practice.


In the light of the above, the study aims at the following objectives:

To examine the recruitment and selection programmes at managerial, ministerial and shop floor level adopted in the selected unit: To discover ways and means of strengthening the abilities, skills and talents of employees: To appraise proposed policies, programmes and practices of Cooperative Sugars at Govada To predict the future projections of manpower requirements: To identify the drawbacks in recruitment and selection system. To find out various factors that can be emphasized in improving the recruitment policy.

Primary and Secondary sources are utilized for collection and analysis of data for the purpose of this study.

Primary Data Sources: In order to collect the opinions on recruitment and

selection a survey has been made among the employees, office bearers of trade union, and managerial personnel of the selected unit. In this connection schedules are prepared for gathered information form the interest groups.

Secondary Data sources: Secondary data have been collected from the reports
and records of The Chodavaram Co-operative Sugars Ltd.GOVADA, Books and library and various brochures and business reports published in newspapers and magazines. The annual reports, administrative manuals, standing orders of the selected unit and previous recruitment records of the sugar mill were helpful to assess the merits and limitations of the recruitment and selection practices at the selected unit.


In order to assess the effectiveness of the recruitment and selection procedures at the selected unit, a survey has been made by executing the schedules among the existing managerial, ministerial and shop floor level employees of The Chodavaram Cooperative Sugars Limited, Govada. The sample includes:

Managerial cadre Ministerial cadre Workers cadre Total number of respondents

03 04 23 30

The sample has been selected on purposive random sampling basis.


The project report begins with the design of the project which includes need for the study, methodology, sampling and limitations of the study. This is followed by profile of the sugar industry in India which is described the past and the present scenario of sugar industry in the country. Chapter three brings about The Chodavaram Co-operative Sugars Ltd, Govads unit and the fourth Chapter theoretical base of the project has been discussed. The data analysis and interpretation has been given in Chapter five. Chapter six contains findings and suggestions based on the data analysis.


This study is not free from certain limitations. They are: 1) Time is a limiting factor because one months duration is not enough for in-depth study. 2) Collection of current data is also a limiting factor because of confidentially. 3) The scope of this study is limited to the organization only. No comparison was made with similar organizations in this region. 10

4) Financial constraint was also a limiting factor. 5) Since the sample is small for collection of opinions of the respondents on recruitment and selection process, bias in their opinions could not been eliminated. 6) Limited statistical tools have been used in the analysis of the data.




India is one of the largest sugar producing and consuming countries in world. According to World Bank India is second largest producer of sugarcane and occupy first place in sugar consumption in the world. In India, Apart form sugar, other traditional sugarcane sweetness Khanda sari and gur are also produced for the rural markets. Taking all sweetness sugar khandasari and gur India is worlds largest producer of sugar followed by the Brazil in the second place. There are 493 sugar milks. Operating in India with in aggregate installed capacity of 16.2 million tones of these 152 are in the private sector 21 in the co-operative sector and 70 in the public sector. The sugar industry plays a vital role in rural development and provides direct and indirect employment in the country. India emerged as the largest producer of White Sugar in the world. The requirement of sugar for consumption in the country in 2009-10 is 23 million tons, where as the production is estimated at 16 million tons. Thus, the position has been reversed as the country had to import sugar from other countries. This was due to the agricultural policies adopted by the Central Government. The primary reason for this situation is the increase in the support price for Wheat and Paddy in the country. As a result of this, cultivators turned to grow paddy in the Southern States and Wheat in the Northern States. This ultimately led to shortage of sugar supply in the country and increase in the retail prices of sugar in India. The Central Government has already de-licensed the sugar production. The purpose of decontrolling is to eliminate deliberate price spirals by the traders and to stop stocking of sugar by the profiteering and to reduce black market operations of this essential commodity in India. Further it helps to organize a formal mechanism which helps the traders to involve in forward and future trading in sugar.


The Sugar industry has a unique place in Indian economy and rural development can be achieved through its multiple contributions in terms of employment and provisions of raw materials to other industries. This industry has been providing substance to 5.5 lakes workers and sustaining about 4.50 crores agriculturists. Its total capital investment amounts to Rs. 1560 Crores.

The sugar industry as the second largest Agro-based processing industry thus occupies a vital role among the consumer industries in the country and ranks next only to Cotton Textile industry. In terms of contribution to the next value added by manufacturers it takes the third place among the industries in the county. In fact India is among the four major sugar Producing countries in the world. The other three being U.S.S.R.(C.I.S.)BRAZIL and CUBA. The sugar industry in the recent years has started to export sugar there by earning valuable foreign exchange.

World Sugar Production

Brazil India China U.S.A Thailand Mexico Australia Germany France Cuba Others


World Sugar Production

Western Europe 14% Oceania 4% Asia 36% Eastern Europe 5% Africa 7% N& C America 13% Western Europe Eastern Europe Africa N & C America South America Asia Oceania

South America 21%

Agro-based processing industry in India, having certain unique features if its own. It is a seasonal industry based on perishable raw materials namely sugarcane. The by-product of the industry have opened up fresh areas of enterprise in device direction malas and important by product is utilized for production of alcohol and down stream chemicals, bio gases, another important by - product apart from meeting the fuel requirement of the industry, offers the potential to general additional power for supply to the grid. In 2007-08, the cane sugar grown in 2.47 lakh hectares in Andhra Pradesh and the production of sugar is 132 lakh tons. The area of cane sugar cultivation declined to 1.40 lakh hectares and the production fell to 60 lakh tons in 2008-09. In the following year, the area under cane sugar cultivation is 1.2 Lakh hectares and the estimated output of cane sugar is 55 lakh tons. The scenario in the country is similar to that of the situation in Andhra Pradesh. In 2007-08, the cane sugar cultivation area in India is 50.45 lakh hectares whereas in 2009-10 it fell to 55 lakh hectares.


Sugar Production in various States of India

A.P. Gujarat Karnataka Maharashtra UP(East) UP(West) UP(Central) Tamilnadu Others

Problem of Sugar Industry In India Excessive Control:

The industry is now seriously suffering from the changing poliieces of the Central Government. The Government has no fixed policy regarding the price and distribution of sugar. The production of sugar is influenced by the purchasing price of sugar cane depending upon the cost of cultivation. Strangely in India, the industry is determining the prices of out puts of the agricultural crops whereas the cane price is fixed by the Government of India. The price is not remunerative to the cultivators in the country and as a result, agricultural operations in India are not remunerative and many families could not eke out their lives. Today we are witnessing suicides by good number of cultivators in the State. The agricultural policies of the Government are also affecting the operations of the Cooperative Sugar Mills in the Country. The survival of the Cooperative Sugar Mills is in danger.


Under Utilization of Bi-products: Two by products, namely, molasses and bagas, while molasses is used in alcoholic preparation and the cooperative sugar mills have are not developed to utilize the by-products. Bagas can be used in paper Industry as one of the input to prepare paper pulp. But this is not being utilized properly by the Indian paper industry. Short crushing Season: Although the land is unutilized through out the year crushing season is confined only to 3 - 4 months. Hence, factories have to be closed for the remaining period of the year which makes the sugar mills uneconomic. Obsolescence: Most of the factories in the private sector were set up five to six
decades ago. Their machinery has by now dilapidated (decaying). The cost of production of such units is unduly high owing to less mechanical efficiency and more down time. It will require more money for modernization of such factories.

Technology: The level of technology in the Indian sugar industry is quite high
and a number of developing countries have borrowed Indian sugar technologies. Unfortunately however many of Indian factories had been up in the early 30s and have become obsolete. It is the need of the hour to modernize, rehabilitate and expand the industry.

Output trends: Over production due to cyclical nature and seasonal conditions
and cultivations of average of sugar cane. The fluctuation in the production of sugar cane is a major problem of the day,





The Government of Andhra Pradesh seriously thought of reducing unethical practices of private sector sugar mills in the purchase of cane sugar from the cultivators of cane sugar. In this direction, the State Government has promoted sugar mills in the Cooperative Sector where cane sugar growers themselves manage the sugar mills by electing their representatives to the management boards of those mills. Among the several mills the State Government promoted The Chodavaram Co-operative Sugars Ltdis the one and it was incorporated in the year 1955. Its initial production capacity was 1000 T.C.D and the cost of sugar mill was Rs. 150 Lakhs. The factory started its commercial production in the year 1962-63. The losses sustained in the initial years were completely wiped out by 1972-73 and the factory made profits till 1976. In the year 1976 expansion of the crushing capacity of the plant was taken up at a total cost of Rs. 130.57 Lakhs. The cane crushing with the expanded capacity of 1600 T.C.D. started from the year 1978. Keeping in view, the availability of cane in the vicinity of the factory another expansion prgramme was taken to increase its crushing capacity further to 2500 T.C.D. In the year 1988, one more expansion was taken up with an out lay of Rs. 8.5 crores and the expansion was completed by March 1991. The society covers vast area of 2658 villages in 14 mandals of Visakhapatnam District. Out of whom 80% are small and marginal formers. The total acreage in the area of operation of factory is 30,000 acres out of which cane grown in about 20,000 acres is agreement to the factory as the members are limited to that extant 60% of the factory zone is under rain fed conditions. Basically the factory is an agro based seasonal industry. The raw material of the factory for the production is sugar cane. There are growers from 265 villages, which are supplying cane to the factory. The starts its Operation most probably during the first week of December and ends with April /May depending upon the availability sugar cane for crushing. 18

National Federation of Co-Operative sugars factory Ltd. New Delhi was awarded best technical efficiency award for the session of 2005-06.

Ideally a co-operative society should be organized on the principal of voluntary service and it should provide maximum participation to its membership in decision making in benefit and in evolution of performance. A popular definition of the term co-operative is that it is an association of persons are house hold usually of a limited means, who have agreed to work together on a continuation basis, which is jointly control and whose cost risk and benefits are equally among the members. Equality, Social justice and self helped of the major concerns of the co-operative.

Membership and share Capital:

The Society is having around 20,000 members on its registers The authorized share capital of the society under by law no.6 of the byelaws of the society is Rs. 600 Crores. As on 31-03-2006 the society has paid up share capital of Rs. 16.4 Crores from the share members the govt of Andhra Pradesh has contributed an amount of Rs. 40 Lakhs towards their share in the capital structure of the society.

Location advantage for the chodavaram cooperative sugars ltd, to be set up at govada:
The entire are of operation has been a traditionally sugarcane growing belt since so many decades. A part of from being located beside river belt it is centrally located in the cane-growing region. Free communication facilities are available through out the zone. To draw cane formers in the required time. More that 60% of the growers are with in the radius of 10 miles. There is an advanced mode of transpirations of out put though road ways.



The objective of the society shall be promote the economic interests and members by encouraging proper development of agriculture industries on supportive line and through agriculturists with special attention to and preference to farmers as far as possible. The advantages of scientific agricultural and production and the benefits of large scale industries and for the said purpose it shall be competent to society. 1. To establish a factory for the manufacture of sugar, jiggery, and other subsidiary by products and allied industries and for the purpose. a) To raise share capital and borrow funds either on the security of the property of the society of other wise form cooperative societies, government, industrial finance corporation and other sources. b) To purchase, to taken on lease or other wise acquire land , houses and other buildings light railway siding may be necessary or expedient form purpose of any of them c) To purchase and install the machinery d) To purchase form members or non-members sugar cane or other than raw material and also to under take cultivation of sugar cane. e) To own or hire transport vehicles in the business of the society f) To construct and take on rent go downs at places of manufacturing as well as out side for shortage sale of the products. g) To do all other things incidental to or necessary for the established and running of the factory. h) To purpose and sell sugar, molasses and other products produced to the best advantage. 2) To under take measures for the development sugarcane including supply of sheed, fertilizers, agricultural implements, irrigation facilities and other product requirements, including agriculture credit and to provide technical advices on improved cultivation methods. 3) To heir or purchase land for the purposes of undertaking research and to take necessary measures to disseminative knowledge to numbers. 4) To purpose are take hire tractors, boring sets and other agricultural implements and give them members. 5) To issue loans to members for productive and other similar purpose. 20

6) To undertake such activities as are incidental and among conductive members to the development of sugar cane, sugar and allied industries. Organizational set u of the chodavaram co-operative sugars ltd.

He shall preside over all the meeting of the board and general body, he shall be responsible form bringing all policy matters before board and the general body and shall see the effective implementation of the resolutions passed by the said bodies. In his absence vice chairman will preside over the board and general body.

Managing director:
The Managing Director is the Chief Executive of the sugar factory. He looks after each and every thing that is going on the factory. He is the key of the organization. His responsibility are tremendous. Millions Of Rs May be made or lost by his decisions. The MD formulates the factory policy in cane procurement, manufacturing factory operation purchases and sales. For the consideration of board of directors and when approved ensures their executive through directors of departmental heads. He values and comments of schemes and suggestions coming form department heads for guidance to board of directors. He shall be fully informed about the factory over all activates and must instructed and guide departmental heads in their work. He is accountable to chairman and board of directors. He shall be competent to make all purchases and incurred expenditure up to 15,000 for capital expenditure and Rs. 25,000/- under revenue expenditure at a time. government policy he shall arrange sale of sugar. Depending on the



The organization has 5 departments. The department heads are accountable to managing director co-ordinates all the activities of the 5 departments. The departments of the organizations are as follows: 1) 2) 3) 4) 5) Administrative department Accounts department Agricultural department Engineering department Manufacturing department

Administrative department:
This Department is headed by the administrative officer. He is next to managing director. He shall exercise such powers and perform such as may be interested to him from time to time by the managing director. Under the administrative officer there 7 departments which are directly responsible to him. They are secretarial department, general administration, sales, purchase, stores go down, and time office and security department. In addition to the above activities he also looks welfare and medical care of the employees. The department also develops good relations between management and trade unions. department is the backbone of the whole organization. In the absence of both the managing director Administrator officer the board shall make necessary arrangements with the approval of the register for the conduct of the business of the society during their absence. The

Account Department:
The Account Department is headed by chief accounts officer. He is responsible for his department. The department is divided into 3 areas i.e.l) General Accounts 2) Stores Account 3) Cane Accounts. His duty involves preparations of balance sheets and correspondence with their investors, merchants, banks, financial institutions etc., he has to maintain up to date all account books of the factory and balance sheets , cost reports, financial statement, share reports, periodical budgets, cash flow 22

statement and all income tax returns and formalities. He has to attend all work relating to money transaction advice management through the managing director and the financial implications of any of any scheme of expenditure.

Agricultural Department:
This is headed by the Chief Agricultural Officer. The duties of the chief agricultural officer can by divided into distinct spheres. a) b) Cane Development Cane procurement

There are 5 asst. agricultural officer and 16 fields men working under the guidance of the chief agricultural officer. The duties and responsible of the fields officer and agricultural officer to develop sugar cane and to draw cane uniformly. They have to build up proper records such as cane register, area under sugarcane variety etc., and to inspect the cane plots regularly and also to meet the cane growers and issue proper instructions to them.

Engineering Department:
This department is headed by the Chief Engineer. The plant and machinery of the factory are under the control of chief engineer. He formulates the techniques of current and economic crushing of sugar cane. Shunting to the machinery and equipment correlated with the variety of cane quality. He is responsibility for keeping day to day check on milling, boiler and power house, performance and power consumption and various sections of the factory personally direct repairs, overhauling and erection of major equipments. He periodically reviews engineering stores stock position and furnishes indents for purchase for his departments. Civil section, turbines, boilers, mill house, electrical and the main parts of the engineering section such as rehabilitation modernization, lay out, and replacement, labour and staff policy to management and ensures that all factory regulations and scrupulously concerned and compelled with the al concerned


Manufacturing Department:
This department his helded by chief chemist, he is responsible for over all operation of sugar manufacturing side of the factory form juice to final bagging of sugar. of manufacturing department with that of the engineering and cane department. The department is to see the food quality of the sugar production. He has to co-ordinate the work

Cadre - wise employees in The Chodavram Co-Operative sugars Ltd GOVADA AS ON 01-06-2010. Sl. No 1 2 3 Cadre/Category Managing Director Departmental heads Supervisors 4 Clerical Grade 5 1 2 3 3 13 39 4 33 7 22 14 1 162 0 0 0 0 3 5 17 17 0 59 3 13 39 4 36 12 39 31 1 221 A B C Number of permanent employees 1 5 5 7 8 Seasonal Employees 0 0 2 7 8 Total 1 5 7 14 16

High Skilled Skilled A Skilled B Semi- Skilled Un Skilled Medical Officer (Consolidated on Contract) Total

The products of The Chodavaram Co-operative Sugars Ltdare:


Sugar: Sugar is the major product of the mill and it is prominently used in foods as
sweetening agent. The consumption of sugar in India is very high compared to many other countries. Sugar production is India is a major agro-industrial activity in India. Some cultivators manufacture gur (called as jaggery in the local region).

Sprit: Spirit is a by-product which is used by distillery units to manufacture medicines as

well as liquor. Liquor has very good demand in the State.

Bio Earth: It is manure to the agriculture and horticultural operations. Bio-earth is mostly
used in stead of complex fertilizers.

Bio gas: It is used again in the sugar mill for the production of sugar. The boilers need
steam and water can be heated in the boilers by using the bio-gas.

Co-generation of power: The bagas is the by-product derived when juice is extracted
from the cane sugar. Previously this is used in the boilers to heat the water and now this can used to generate power that is required for the sugar mill itself. Production of sugar is a seasonal operations and the sugar mills work during cane sugar harvesting seasons. The cane sugar is crushed and juice is extracted and from the juice sugar is made. In this process by-products are extracted such as spirit (molasses) and bugas.

Cane Sugar Bagas Sugar Juice Sugar Bio - manure Captive generation of Power




Once the required number and kind of human resources are determined, the management has to find the places where required human resource are/well be available and also find the means of attracting them towards the organization before selecting suitable candidates for 26

jobs. All this process is generally known as recruitment. Some people use the term recruitment' for employment. These two are not one and the same. Recruitment is only one of the steps in the entire employment process. Some other use the term recruitment for selection. These two terms are not one and the same either. Technically speaking the function of recruitment precedes the selection function and it includes only finding, developing the sources of prospective employees and attracting them to apply for jobs in an organization, whereas the selection is the process of finding out the most suitable candidate to the job out of the candidates attracted(i.e., recruited). Formal definition of recruitment would give clear cut idea about the function of recruitment. The purpose of recruitment is to locate sources of the man power to meet the job specification. Recruitment and selection had been regarded as the most important function of personnel administration, because unless the right type people are hired even the best plan organization charts and control would not do much good. The basic purpose of Recruitment is to attract job seekers in sufficient numbers. The Management spreads its not wide in order to get as many applications as possible. Recruitment offers opportunity in a positive process where the aim is to increase the scope for selection. The second of selection is test and preliminary interview where the administration of tests is a specialized job. Those who administrator tests must be knowledgeable and component, otherwise the test may result in the elimination of good candidates in some organization for certain posts, a preliminary interview of the candidates is make addition to the administration of tests. HRD is mainly concerned with developing the skill, knowledge and competencies of people and it is people oriented concept. When we call it as a people-oriented concept the question of people is developed in the larger or national context or in the smaller organization concept? Is it different at macro and micro level? HRD is applied both for the national level and organization level. The concept of HRD is not yet well conceived by various authors. Thought they have defined the term from their approach as it is of recent origin and still is in the conceptualizing stage. It is an understanding of the term. that is, new or rather was new. HRD is not training and development. But many personnel managers and organization view HRD as synonymous to training and development. Many organizations in the country renamed their training departments as HRD departments. Surprisingly some organization renamed their personnel departments as HRD departments. Some educational,insttituons 27

started awarding degrees and diplomas in HRD even though the concept is not yet crystal clear. Leonard Nadler formally introduced the concept of HRD in 1969 in a conference organized by the American Society for Training and Development. Leonard Nadler HRD as, those learning experience which are organized, for a specific time, and designed to bring about the possibility of behavioral change. Among the Indian authors T.Venkateswara Rao worked extensively on HRD. He defines HRD in the organization concept as, a process by which the employees of an organization are helped in a continuous, planned way to: i. ii. iii. aquire or sharpen capabilities required to perform various functions associated with their present or expected future roles. Develop their general capabilities as individuals and discover and exploit their own inner potentials for their and own and/or organizational development purposes. Development an organizational culture in which superior-subordinate relationship, teamwork and collabouration among subunits are strong and contribute to the professional well being, motivated and pride employees.

HRD from organizational point of view is a process in which the employees of an organizational are helped/motivated to acquire and develop technical, managerial and behavioral knowledge skills and abilities, and mould the values, beliefs, attitude necessary to perform present and future roles by realizing highest human potential with a view to contribute positively to the organizational, group, individual and social goals. A comparative analysis of these definitions show that the third definition seems to be comprehensive and elabourate as it deals with the development aspects of all the components of human resources. Further, it deals with all types of skills the present and future organizational needs and aspect of contribution to not only organizational but also other goals. The analysis of the third definition further shows that there are three aspects viz., i. Employees of an organization are helped/motivated, ii. Acquire, develop and mould various aspects of human resources and iii. Contribute to the organizational, group, individual and social goals. The first aspect deals with helping and motivating factors for HRD.



Planning for human resource is more important than planning for other resource as demand for the latter depends upon the size and structure of the former whether it is a country or in an industry. Further management of human resource hardly begins from human resource planning. In fact it is the basis for most of the other functions.

An integrated approach to performing the planning aspects of the personnel function in order to have a sufficient supply of adequately developed and motivated people to perform the duties and tasks required to meet organizational objectives and satisfy the individual needs and goals of organizational members .

---Leon C.Magginson.

To recruit and retain the human resource of required quantity and quality. To foresee the employees turnover and the arrangements for minimizing turnover and filing up consequent vacancies. To meet the needs of programmers of expansion, diversification etc. To foresee the impact of technology on work, existing employees and future human resources requirements.


To improve the standards skill knowledge ability discipline etc. To maintain congenial industrial relations by maintaining optimum level and structure of human resources. To minimize imbalances caused due to non-availability of human resources of right kind right time and right place. To make the best use its human resources. To estimate the cost of human resources.


The process of human resource planning consists of the following steps: Analyzing the organizational plans

Forecasting the overall human resource requirements

Supply Forecasting

Estimating the net human resource requirements

Action plan for Redeployment, Redundancy/Retrenchment

Forecast future supply form all the sources

Action plan for Recruitment, Development etc.


Modify the organizational plan.

Retention plan

Analyzing the organizational plants:

The process of human resources planning should start with analyzing the organizational plan into production plan, technological plan, plans for expansion, diversification etc. marketing plan, sales plan, financial plan. Each plan can be further analyzed into sub-units. Detailed programmed should be formulated on the basis of unit wise plans. Practicability of each programmed should be ensured. Analysis of organizational plans and programmers helps in forecasting the demand for human resources as it provides the quantum of future work activity.

Forecasting the overall Human Resource Requirements:

The existing job design and analysis may be thoroughly be reviewed keeping in view the future capabilities, knowledge and skills of present employees. Further the jobs should be redesigned and reanalyzed keeping in view the organizational and unit wise plans and programmers, future work quantum, future activity or task analysis, future skills values, knowledge and capabilities and present employees and prospective employees. The jobs should generally be designed and analyzed reflecting the future human resource and based on future organizational plans.

Supply Forecasting:
The first step of forecasting the future supply of human resource is to obtain the data and information about the present human resource inventory. The data relating to present


human resources inventory in terms of human resources components, number, designation wise and department wise should be obtained. Similar to potential loss, there will also be additions to the present inventory to human resource. Potential additions are new hires, promotions in, transfer in and demotion in: (a) Potential total (b) Permanent partial (c) Temporary total (d) Temporary partial.

Estimating the net human resource requirements:

Net human resource requirement in terms of number and components are to be determined in relation to the overall human resource requirements for a future date and supply forecast for that date. The difference between overall human resource requirements and future supply of human resource is to be found out.

Action Plan for Redeployment, Redundancy/Retrenchment:

If future surplus is estimated, the organization has to plan for redeployment, redundancy etc. If surplus is estimated in some jobs/departments, employees can be redeployed tin other jobs./departments were the deficit of employees is estimated. Organization should also plan for training or reorientation before redeployment of employees. Redeployment takes place in the form of transfers. If the deficit is not estimated in any job/department and surplus is estimated for the entire organization, the organization in consultation with trade unions has to plan for redundancy or retrenchment. Redundancy plan includes; Type and number of employees, time and place of retrenchment, type of help to be extended to retrenched employees in the form of compensation help in getting new job, priority in filling future vacancies.

Forecast future supply forms all the sources:

If deficit is estimated in any department and in the entire organizations, management has to forecast the future supply of human resources form various sources like internal


sources, comparable organizations, educational and training institutes, employment exchanges, labour market etc.

Action plan for recruitment, Development etc:

If the relating to future supply of manpower from internal sources of the organization shows favorable trends, the management may prefer internal candidates and plan for promotion, transfer, training and development. If suitable candidates are not be available form internal sources and if the forecasts relating to future supply form external sources indicate the availability of required human resources, plan for recruitment and selection.

Modify the Organizational Plan:

If future supply of human resources form all the external sources is estimated to be inadequate or less tha the requirements, the manpower planner has to suggest the management to alter or modify the organizational plan. In view of shortage of certain categories of employees, the organization has to take care only of recruitment but also retention of existing employees.

Retention Plan:
Though there is the problem of employment, organizations experience shortage of some other categories of employees due to employee mobility. Hence, the organizations have to plan for retention of the existing employees.



The performance of an organization heavily depends upon the people who work inside it. If the organization has right people on right jobs, the work proceeds smoothly and efficiently. Unfortunately, this is not the position in most of the industrial undertakings and, therefore, we see today industrial indiscipline. People working in industry are not only apathetic but in many instances they are hostile to the very objectives of their organization. Manpower or Human resource is thought of as the Total knowledge, skills, creative abilities, talents and aptitudes of an organizations work force, as well as the values, attitudes and benefits of an individual involved. It is the sum total inherent abilities, acquired knowledge and skills represented by the talents and aptitudes of the employed persons. Of all the resources (Men, Material, Machines, Money, Market, and Methods), the most important resource is men or human resources. It is the most valuable assets of an organization and not the money and physical equipment. It is in fact important economic resource, coverings all human resources organized or unorganized, employed or capable of employment, working at all level supervisors, executives, blue or white collar workers, managerial, scientific, engineering, technical, skilled or unskilled persons who are employed in creating, designing, developing, managing and operating productive and service enterprises and other economic activities. The success or viability of an organization depends on the quality of manpower it has. Hence it is the important duty of the organization to see that the right man is placed on the right hob at the right time and plane to effectively utilize its human resources. This function known as recruitment forms the most important aspect of Personal Management. Recruitment is a process of searching for prospective employees and The Labour stimulating and encouraging them to apply for jobs in an organization.

Investigation Committee rightly observed that recruitment is the first step in employment of


laboor, and naturally the methods by mean of which labour is brought into the industry, has a lot to do with the ultimate success or failure of such employment. If proper care is not taken in the recruitment of labour force, the employers, the workers and the community and bound to suffer. The employer suffer if he does not get the men best suited for a particular job, the worker suffers if he cannot find a job for which he is best suited, and the community suffers as a result of low productivity and dissatisfaction among workers and employers .


Every sound organization whether commercial or otherwise must be built on full recognition of the importance of the workmen that is to become a part of the organization. The enterprising talent of entrepreneur personnel in the organization was selected on modern concepts of recruitment. Practically, the works of every establishment are in a state of flux, but the problem of recruitment is a permanent one. Recruitment is a process of getting potential employees willing to apply for job into an organization.

A Recruitment Policy in its broadest sense involves a commitment by the employer to such general principles as: i. ii. iii. iv. To find and employ the best qualified persons for each job. To retain the best and most promising of those hired. To offer promising for life time working careers. To provide programmers and facilities for personal growth on the job. According to Yoder the recruitment policies concerned with quantity and qualifications. Generally the following factors are involved in a recruitment policy.


1. To carefully observe the latter and spirit of the relevant public policy of hiring and on the whole employment relationship. 2. To provide individual employees with the maximum of employment security, avoiding frequent lay-off to lost time. 3. To provide each employee with an open road and encouragement in the continuing development for his talents and skills. 4. To assure employees of fairness in all employment relationships. Including promotions and transfers. 5. To assure each employee if the organization interest in his personal goals and employment objectives. 6. To avoid cliques that may develop when several members of the same household or community are employed in the organization. 7. To provide employment in jobs which are engineered to met the qualifications of handicapped workers and minority sections. 8. To encourage one or more strong, effective, responsible trade unions among the employees.


According to survey of public and private section employees by Prof. R.Basavaraj the following methods were used to recruit employees. (a) In the public sector, the major resources of recruitment in of performances are: Casual callers of employment seekers. Newspapers advertisement Employment Exchanges Other public sector undertaking Internal advertisements Relatives and friends Displaced persons Employee recommendations and Institutions 36

In the public sector the sources fro non-supervisory staff are: Employment Exchanges External advertisements Internal advertisements Central Training Institute Introduction by the liaison officer of a corporation Deputation personnel Transfers from other public undertakings

(b) In the Private Sector, the survey disclosed that the procedures formulated were not institutionalized in character. In some organizations, preference was given to it and relatives of employees and to local people. In order of preferences, the major sources are: Advertisements Employment Exchange Relatives and Friends Casual callers and Employees recommendations.

Once applications are received, the stage is set for processing them for talking further steps in the selection process. The selection procedure is concerned with securing relevant information about an applicant. This Information is secured in a number of steps. The prime objectives of selection process are to find out enough about the application so that the may be matched with the job.


The hiring process are therefore generally long are complicated. The following is a popular procedure, though it may be modified to suit individual situations. Preliminary Interview or Reception or screening Application forms a fact finder, which helps one in learning about an applicants background and life history.


Testing Reference Checking Physical examination Conditional Offer letter

An application is traditional, widely accepted device for getting information form a prospective applicant, which will enable a management to make a proper selection. Many type of application forms are used

Employment tests:
A test may be defined as a systematic procedure for sampling human behavior. On the basis of human behavior, tests have been generally classified into 4 categories: Aptitude tests Achievement tests Personality tests Interest tests This is the second stage of selection, test and preliminary interview. In this stage after reducing the candidates sufficiently a curial stage is reached where only the most suitable are form amongst the apparently suitable candidates retained for further consideration. If the post advertised requires special skill, experience or aptitude tests can be administered. Certain organizations conduct preliminary interview for the candidates.


The work preliminary interview is normally left to a senior officer of the personnel department sitting along with an officer of the concerned department where the vacancy has arisen.

Reference Checks:
The use of reference is common in most selection procedures, for it involves less money, and minimum amount of effort. Checks on references are made by mail or by telephone and occasionally in person or by using a reference form. The opinions of previous employers and others, which have known the applicant, are generally useful in getting a picture of his potential performance on a particular job.

The final interview is the last stage in the selection process. It is the stage at which the final search is on for the most suitable candidates. There will be panel of officials of the company including the chief of personnel and the General Manager. There are various ways of conducting the final personal interview structured and unstructured. In an unstructured interview it is easier to put the candidate is case. There is, however a danger of missing some important points relevant to the requirements of the job if the interview is unstructured. As against this structured interview though formal is more complete because the relevant questions are carefully prepared in advance. The best solution is to keep on hand the structured questions for reference but to allow the interview to proceed in an informal and unstructured manner. The panel normally comes to a final decision about the most suitable candidate. Even though the object is to ultimately select one man for one post, it is better to select 2 or 3 candidates and rank them in order of merit. Selection being an expressive process, it is 39

prudent to take sufficient care so that final interview results in selection of a suitable candidate for the organization. It is recommended that 2 or 3 persons should be selected because if the candidate who stands first in the order of merit does not join the organization for some reasons, the other candidates in order of merit can be invited to join. Induction: On the completion of the selection process, the candidate has to issue an appointment letter. Before doing so, it is prudent to make sure if the selected candidate is physically fit to undergo medical test. Once they pass the medical test, there should be no delay in issuing the appointment letters. There is no set form for an appointment letter but normally it should contain the name of the post, the designation, salary and prerequisites offered and a clause requiring the candidate to sign acceptance the terms, contestations ran rules of the organization. The selected candidate who reports for the duties is a stranger to the organization unless he is promoted form within. It is, therefore necessary, particularly in case off outside candidates to give them adequate information about the history, structure and working practices of the organization. Familiarity of the newcomer with the organization, this step is referred to as induction. The objective of induction is to help the integration of a newcomer with the organization. Induction should be a two way process. It introduces the candidate to the organization and the organization to the candidate. It is instance offering him a warm welcome and then introducing him to the people with he is going to work. The psychological impressions gained by the candidate at the start of his career in the new organization make a lasting impression on him. In organization where new comers are left to their own fate, harmful consequences may follow In case of candidate selected for higher posts, the danger is of a different kind. Highly educated and experienced people normally have a strong sense of ego. If they feel on first contact with the organization that they are not cared for, they will rapidly lose interest in their assignment and will never get job satisfaction. 40

Induction program can be formal or informal. The duration of the programmer depends of the prevailing in the organization. The following points should be noted while conducting an induction programme: 1. The new entrants to the organization should in the first instance, receive a warm welcome form the officers of the personnel department. 2. They should be told about the organizational structure and the management hierarchy. 3. They should be acquainted with the rules and regulation and should be encouraged to ask questions for qualification. 4. They should be told about the industrial relation situations and the policy of the management towards trade unions. 5. They should also be facilitates provided by the organization for canteen, sport, cultural activities etc At the end of the programme, the candidate should be introduced to important persons in various departments, and the one who takes the new comer to his place of work.


The basic purpose of Recruitment is to attract job seekers in sufficient numbers. The management spreads its net wide in order to get as many applications as possible. Recruitment offers opportunity scope to management in choosing the right men from a large pool. Obviously, therefore, recruitment is a positive process where the aim is to increase the scope for selection. In a country like ours, there is no dearth of job seekers and yet it is always difficult to get suitable personnel for specific jobs. Such difficulties are solved only through proper and effective methods of recruitment. of recruitment. It is important to note that the management is not necessarily to get adequate number of suitable application. This is the purpose and essence


Once the applicants are received, in the first stage of screening irrelevant applications are removed of junior officials. Commonly to about twenty-five percent of the applications are eliminated.

The second stage of Selection is test and preliminary interview where the administration of tests is a specialized job. Those who administer tests must be knowledge and component, otherwise the test may result in the elimination of good candidates in some organizations for certain posts, a preliminary interview of the candidates is taken in addition to the administration of tests. The need of preliminary interview is that the candidate is seen in persons the strong and weak points of his personality can be noticed. Some more candidates can be eliminated at this stage. They are in a position to put searching questions regarding background and experience of the candidates and choose form amongst only four or five to be sent up for the final interview. A panel of three of four top officials of the company including the chief of personnel and the General Manager takes the final interview. The necessity for having a panel in place of and individual is obvious. One individual is likely to come under pressure form other. This is controlled to a large extent if the selection is through a panel. One of the problems at this final stage of interview is impression that the candidate creates by the visual impact of his personality. The selected candidate who reports for duty is a stranger to the organization. It is therefore, necessary, particularly in the case of outside candidates to give them adequate information about the history, structure and working practices of the organization. Familiarity with these facts puts the newcomer at ease, and helps him.



Attracting and selection new employee personnel is and important aspect of the personnel managers job. This unit in recruitment and selection tells you about the procedure used for obtaining recruitment with the potential capacity of becoming good employees. Once these poor of talent have been generated, it becomes feasible to select the individuals fit for needs of the organization. The employee selection is the step by step procedure that the personal manager goes through the staff in the organization his role and become buyer of employee talent and potential. Once the company has determined the number and kind of employee it requires the next step in selection is set the right application in sufficient number for the position. All the activities involved in securing the application for the employee position are referred to as recruitment. It does not include but is followed by the selection process to whole and screen the applications. The nature of recruitment effort for employers personnel differ form from to company mainly with respect to their recruitment sources. Different companies call for individuals with widely varying abilities, skills, education, training, and experience. The scope of recruitment effort is influence by the size of companys organization, rate of turn over, the forecasted employees volume, distribution channels and promotional strategies.

Recruitment is a process to discover the sources of manpower to meet the requirements of the staffing schedule and to employee effective measures for attracting the manpower in adequate numbers to facilitate effective working force. According the purpose of recruitment is to locate sources of manpower to meet job requirement and job specification.



Recruitment is the discovering of potential applicants for actual or anticipated organization vacancies.

-FLIPPOSelection is a process of differentiating between applicants in order to identity (and hire) those with a greater likelihood of success in a job.


PRE REQUIREMENTS OF GOOD RECRUITMENT POLICY:The recruitment policy of an organization must satisfy the following condition. It should have conformity with its general personnel policies. It should be flexible enough to meet the changing needs of an organization. It should be so designed as to ensure employment opportunity for its employees on a long-term basis, so that the goals of the organization should be achievable, and it should developed the potentialities of employees. It should match the qualities of employees with the requirements of the work for which they are employed and It should highlight the necessary of establishing job analysis.

The sources of recruit can broadly be classified into two: 2) Internal 3) External Internal sources refer to the present working force of a company. In the event of a vacancy, some one ready on the payroll is promoted. Thus at the TATA engineering and


locomotions and Unilever Lever, outside recruitment is restored to only when recruitment cannot be met form internal promotions. Filling vacancies form internal sources by promoting people has the advantages of increasing the general level of movable of lusting employees and of providing to the company more reliable information about the candidates suitability who has already worked with the company on al lower posts. The major weakness of this source is that the inbreeding, which it deprives the organization of a fresh out look of originality and institute lost the opportunity of qualified and competent candidates which can be usually brings in from the outside.

Among the more commonly used external sources are the following. 1) Advertising in Newspaper: Senior posts are largely filled by this method. This method is however followed by companies in 3 different ways.

First: There are some companies, which do not their own advertising. On the other hand,
they send their requisition to certain specialized agency position in leading newspapers without divulging the name of the Client Company. The application received form the candidates by the agencies are duplicated and mailed to the clients.

Second :

There are some companies, which although do their won advertisement

generally do not draw good candidates who feel that it is not worth to apply without knowing employees name.

Third: There are some companies, which their names in their advertisements. 2) Employment Exchanges:
An employment exchange is an office set up by the gout for bring together a quickly possible those men who are in search of employment and those employees who are


looking men. Employment exchanges register unemployed people land maintain the record of their part intimate the exchange above the vacancies, which occur in their factories and types of employees. They require for filling up these vacancies whenever any exchange selects some persons form among the employment seekers already registered with it and forward their names to the employers for consideration.

3) Field Trip :
An interviewing team makes trips to towns and cities, which are known to contain the kinds of employees required. Arrival dates and the time and venue of interview are advertised in advance.

4) Educational Institution:
Sometimes recruits are next to educational institution where they meet the members of the faculty and persons in change of placement services who recommended suitable meetings and convictions to recruit employees. 5) Labour Contractor: In many industries workers are recruited through contractions that are themselves the employees of these organizations.

6) Employees Referrals:
Some industries with a record of good personnel relation encourage their employees to bring suitable candidates for various openings in the organization.

7) Unsolicited Applicants:
These are persons who gather at the factory gates to sever as casual workers or who send the application without any invitation form of the factory.


RECRUITMENT: In general the sources of employees can be classified into two types, internal and external. Filling a job opening form with in the firm has the advantage of stimulating preparation for possible transfer or promotion increasing the general level of morale and providing more information about job candidates through analysis of work with in the organization. There is no specifically recruitment policy for the organization is following the soon of the social policy i.e., perfuming the candidates in around the place of the industry as the organization is suited to extreme i.e., Govada, in order to retain the employees the soon of the icily policy. SELECTION:
Selection as the name implies involves picking for hire of subset of workers who have applied for the job. Selections are done comparing the requirements of a job with applicants qualification. An attempt is make to find a round makes selection a negative function. It is not always essential for an organization to have selection programme. The need to install such a programme arises only when there is a labour surplus and there are individual in job performance. This mean that when there is al labour shortage or when the work is such that no programme. The widespread notion that differences among workers in terms of job performance are always large is not time. For example, on a production line workers. For this social pressure of fellow workers may comely uniformity in their rate of production.







The organization comes under the private sector. It does not follow any reservation procedure for the candidate during recruitment process. It depends purely on merit and performance basis dealing the process.

The selection procedure in the organization is follows. The Organization employees in two ways: 1) Trainees 2) Regular Employees

1) Trainees:
Organization selects three types of trainees in the industry. They are of a) Technical Trainees b) Graduate Engineering trainees c) Management trainees

a) Technical Trainees:
The organization after selection the human resource requirements they intimate the college near the area that the outgoing batch of the required dept. is selected for technical trainees. The Aug percentage requirement is 70 % it is a qualifying grade for the written test, which is conducted by the organization. After qualifying in the test then final interview will be conducted. He is kept for medical test. If the candidate is proved to be fit for the job, then he will be organization class will be given to the trainee for 2-3 weeks and after that 1 yr. 3 moths of trainee period is offered for trainees. If the trainees prove them rules by up to grade level of performance they will be observed as regular employee in the organization.

b) Graduate Engineering Trainee:


The process of selection of GETs follows the same procedure as diploma trainees. The required percentage to quality for written test is 70% same procedure is followed i.e. Intimating the college Application bank for the qualified candidate 1) 2) 3) 4) 5) 6) Written test Preliminary interview Final interview Medical test Trainee for 1 yr. 6 months duration Regular employees.

c) Management Trainees:
The process of selecting management trainee in the same GETs the required percentage of Mays is 60% same procedure is followed as GETs.

2) Regular Employees:
Selection of employees directly into the organization a regular employee is done to the executor under cadre of the employee. The are through different types. They are 1) 2) Walk-in-interview Advertisements etc.

The above process in the organization does the selection process procurement of human resources.

Recruitment Organization:


There is no general procedure for hiring new personnel, which is applicable to all business enterprises. Each enterprise has its Tailor Made procedure which brings it the desired quality and quantity of man power at the minimum possible lost. office. The most commonly adopted practice is to centralize the recruitment and selection function in a single

Steps in Recruitment Process:

According to Formula, personnel Recruitment process involves six elements they are A Recruitment policy A Recruitment organization A Forecast of manpower The development of sources of recruitment sources. Method of assessing the recruitment programmes.

The Advantage of Centralization of Recruitment and selection are:

It reduces the administrative cost associated with selection by consolidating all activities in a single office. It relies line officers, the details involved in hiring workers is common under a decentralized plan. It tends to make the selection of workers scientific. It makes possible, the development of a centralized manpower pool in a company It tends to reduce favoritism as a basis for selection.

This centralized department is generally known as the recruitment selection. The staff personnel were attached. This enables specialists to concentrate upon the recruitment function and soon they become very efficient in the use of various recruitment techniques.


Method & Techniques of Recruitment:

An author summarizes the possible recruitments method into three categories. 1) Direct 2) Indirect 3) Third Party

These include sending traveling recruitment to educational and professional institution, employees contact with public and manned exhibits. One of the widely used direct method is that of Sendai of recruitment to colleges and technical schools. Most of the college recruitment is alone in cooperation with the placement office usually provides help in attracting students, arranging interviews, furnishing space and providing student resumes. For management professionals and sales personnel campus recruiting is an entry operation. Devour studying MBA or other technical diplomas are picot up in this organization and the jobs it offers are distributed among students, before the interviewer arrives. Sometimes firms directly solicit information form the concerned profession about students with in outstanding record. Many companies have found employees contact with the public in a very effective method.

Indirect methods involve mostly advertising in newspapers, on the radio, in the trade and professional journals, technical magazines and brochures. Advertising in newspapers and or trade journals and magazines fin the most frequently used method when qualified or experienced personnel are not available from other sources. Senate posts are largely filled by such methods when they cannot be filled by promotion from with in.


Advertising is very useful for recruiting blue collar and hourly workers, as well as scientific, professional and technical employees local newspaper can be an administrative employee. Other methods include advertising in publication such as trade and professional journals and radio or television announcements, as is done by many Indian Manufacturers. People with specialized background and internets read professional journals. Therefore advertisements in these are generally selective.


These include the use of commercial or private employment agencies, state agencies, and placement offices of schools, colleges and professional association, recruiting firms, management consulting firms, indoctrination, seminars for college professor and friends and relatives. Private employment agencies are widely used. They change a small fee form an applicant. They specialize in specific occupation. Several offices help salesman, technical workers, accounts, computer staff, engineers and executives. These private agencies are broken who bring employees and employee together. The specification of their clients is to seek out particular types of persons and to develop proficiency in recognition the talent of specialized personnel. State or public employment agencies are also known as employment or labour exchange is the main agencies of public employment. They provide a clearing house for jobs and job information. Employees inform them of their personnel requirements, while job seekers get information forms them about the types of jobs that are referred to by employees. These agencies provide a wide range of services counseling, assistance in getting job and information about the labour, market and wage rates. Schools, Colleges and Professional Institutions offer opportunities for recruiting their students. They operate placement services where complete biodata and other particular of the students are available.


The companies that need employees maintain contact with the guidance of counselors of employment bureaus and teachers of Business and vocational subjects. The prospective employees can review credentials and interviewed. Candidate for management trainees or probation whether the education sought involves a higher secondary certificate, specific vocational training or a college background with a bachelor masters or doctor degree educational institution provide an excellent sources of potential employees for entry level position in organization. personal. Sometimes the organization provides work-study programme. The man point is that the higher the position in the organization or the more specialized the skills sought. The more widely dispersed advertisement is likely to be search fro top executive might include advertisements in national periodicals, while the advertisements of blue-collar jobs is confined to the daily newspaper or regional trade journals. The classified advertisement selection of a daily newspaper or the Sunday, weekly edition of the Hindu, Times of India, The Tribune, Bharat jyothi, The National Herald, Frap Press Journal, The pioneer, Amnit Bazaar Patrika, Economic Times, The Hindu, The Indian Express etc carry advertisements for all types of position, such advertisements enable prospective candidates to screen them selves in order to find out whether they are fit for the job which the advertisement has been issued. In order to be successful, and advertisements should be carefully written. If it is not properly written, it doesnt draw the right types of applicants or it may attract too many applicants who are not qualified for the job. It should be so framed as to attract attention for example by the use of different sized and type of print. The first line should limit the audience somewhat and the next few lines should further screen out the readers who do not possess the necessary qualification. It should provide specific information on job requirements and opportunities for advertisement; the benefits to be enjoyed by working in the company and it should emphasis facts related to the dignity of the job and to its 53 These general and technical/professional institutions provide blue-collar applicants, white collar and managerial

professional aspects. Firstly Advertisement contains exaggerated dacim and simmicky appeals are to be avoided Advertisement can be very effective if its media are properly chosen. According to advertisement tactics and strategy in personnel Recruitment, three points need to be borne in mind before and advertisement is inserted. First to visualize the type of applicant is trying to recruit. Second, to write out a list of the advantages of a company offer, in other words, when the reader should work for the company. Third, to decide where to run the advertisement not only in the area in which newspaper having circulation in the Local, State or Nation-wide circulation. Much organization offers place what is referred to as a blind advertisement, one in which there is no identification of the organization. Respondents are asked to reply to post office box between the applicant and the organization, the large organization with regional or national reputation does not usually use blind advertisements.


The requisition is placed to the personnel department based on the requirement of the particular department.

Sources of Recruitment: 1. Advertisement in Newspapers:

One of the main sources of recruitment is through the newspaper when and where the recruitment is felt the personnel department gives an advertisement in all leading newspaper for recruitment the desired personal with required prerequisites. 2. Employment Exchange:


This is also another source for recruitment when the personnel department approaching the local employment for personnel it sends the list of candidates under the requisite category in order of the employment registration number.

The personnel department staff along with the technical personnel makes trips to educational institutions during Jan/Apr for Recruiting personnel directly. They conduct them test and interview at the campus itself and pick the appropriate candidates for the organization. The recruitment undo this category include Graduate Engineer Training (GAT) form various universities and reputed college campuses and technical staff form local industrial training institutes and polytechnics and colleges for operators and other staff.

There is no prescribed format for applying but once the final application is given by the organization.

Panel consists of the respective dept, which had placed the requisition and personnel pf panel department.

SELECTION: The ultimate selection is based on the performance of the candidate in his or her written exams and interview the rating is based on the type and qualify of the candidates who have come for recruitment and selection procedure that one generally at COOPSUGARS,GOVADA. The primary objective of this study selection and recruitment process fat COOPSUGARS, GOVADA is to access the procedures find techniques that

are prevent at the organization. The procedure for recruitment and selection is shown in tabular for moth wise. The data is basically divided into 2 parts. 1) Commercial & Technical 2) Executive 1) Commercial & Technical : The Commercial and Technical staff includes clerical supervisory and staff technical trade below engineers. 2) Executive Staff: The executive staff includes Graduate Engineer Trainee and Managers. Determination of the kind or Quality of Personnel Knowledge of the nature and requirements of jobs is a fundamental prerequisite for determining the kind or quality of personnel needed. The securing of this knowledge entails. There closely related processes. 1) The analysis of jobs 2) The uniting of job description 3) Preparation of job specification Jon Analysis: Job analysis is the process by mean of which a description is developed in the present method and procedures of doing job, physical condition in which the job is done, relation of the job to other jobs and other conditions of employment. Job analysis is intended to reveal what is actually done as


opposed to what should be done. Therefore, if a man is found doing some activity is possible. The purpose of job analysis is not to describe an ideal but to show the management how. At the moment a particular job is being carried out.

Various points on which information may be gathered for job analysis are as follows: Job title Alternate titles Work performed Equipment used Tools used Materials used Reports and records made Relation of the job to other jobs. Education (General, technical and on-the-job)required Physical effort required Mental effort required Visual attention required


Responsibility (in terms of typical damage, money value and normal

consequences) for equipment, tolls, materials and records and reports. Discomforts Hazards (in terms of typical injury and preventive measures taken) Supervision(close or general ) received Supervision (close or general) given Any other (e.g. number of personnel men and women employed)

JOB DESCRIPTION: The results of a job analysis are not set down in job description. The main points to be included in a job description are: The location of the job-division, department, branch or section

The title of the job

The job title of the individual to whom the jobholder is responsible

The job grade The job title of any individual responsibility to the job holders and the number of employees he surprise A brief description of the overall purpose of the job
The main tasks carried out by the jobholder these should be listed either

in chronological order or in their order of importance.


Details of the equipment or tools used or any special requirements to

deal with people, inside or outside of the company. The location of the job and the amount of traveling that may be required.
Special circumstances such as shifts or night work, overtime or

weekend working, heavy lifting, exceptionally monotonous work, unpleasant or dangerous working conditions, traveling required so on. A more development is job description for managers. The two types of job description, however, differ form each in many ways.

The lower level job description is generally written by personnel department but managerial job description are (more closely related to several intangible relationship. They are description of the authority and responsibility relationships of an executive). Written by the incumbent executive him self or by his superior. The lower level job description center directly around tangible duties but managerial job description is more closely related to several intangible relationship. They are description of the authority and responsibility relationship of an executive. The lower level job description being compete description of the day to day work of an employee always serve as the bases in the recruitment and selection of works but managerial job description being incomplete portrayals of the changes assignments of a manager cannot serve as the basis in executive selection. It should be remembered that through the description of a managerial job might not change for a long time the assignment many change every time the position is being filled.



JOB SPECIFICATIONS: A job specification (also called man specification) is a statement of the minimum acceptable human qualities necessary to perform a job satisfactory.

Making job description as its base, it prescribes the abilities and qualities that a worker should posses in order to hold the job in question. The exact list of information varies according to the companys and the uses to which the job specification is to be used only for hiring decisions it may list only the physical, educational, experience and skill requirements of the job. But if it too used also for appeasing an employees performance a standards and the career paths as well. It should be remembered that preparing a complete and correct job specification is relatively difficult as compared with preparing a complete and correct job description. There is always considerable disagreement For example, on the concerning the human requirement for the work.

question of education some people may say that simple high school is enough; other may say that some college education is necessary. There may also be a difference of opinion of whether a requirement should be classified as Mandatory or describe, The employer cannot arbitrarily decide such issues. Now a days more and more burden is being placed as the employer of showing that any given requirement has a manifest relationship to the employee must in question. PART I JOB DESCRIPTON Department Section Job title job grade


Reporting to (job titles) Overall purpose of job Main activities

Reporting to jobholder (job titles)

Special requirements (tools and equipment used, external contracts) Other features of job: shift or night work, traveling, Working condition etc. Location etc PART I JOB DESCRIPTIOIN Knowledge and skills Education, Qualification and special traveling Experience Personality requirements Physical requirements Other requirements Age Travel Cadre-wise strength of employees of the Chodavaram Cooperative Sugars Ltd
Cadre 2005-06 2006-07 2007-08 2008-09 2009-10 (up t0 February 2010) 6 5 71 142 410

Managerial Supervisory Clerical Un-skilled workers NMR (daily workers)

5 4 97 188 457

5 5 86 168 448

6 5 81 158 426

6 5 75 141 406


7 6 5 4 3 2 1 0 2005-06 2006-07 5 4 5 5

6 5

6 5

6 5 Managerial Supervisory



2009-10 (up t0 February 2010)

Staff Strength - non-managerial

500 450 Number of employees 400 350 300 250 200 150 100 50 0 2005-06 2006-07 2007-08 2008-09 2009-10 (up t0 February 2010)

Years Clerical Un-skilled workers NMR (daily workers)


It is evident that recruitment activity has been stopped during the study period. It is because the State Government is not permitting to go for filling up of vacancies. At present the organization is recruiting to the posts which are included in grants-in-aid. It recruits personnel who took superannuation and for those vacancies approved by the State Government. It recruits workers on daily basis as per the requirement of human resources. During the crushing season it recruits good number of personnel. In respect of seasonal workers, people are appointed on temporary basis. Some of them did not report to duty in crushing season as they engage in some other employment like agricultural activity, petty businesses, and industrial employment in some other organizations. NUMERICAL DATA OF EMPLOYEE RECRUTED INTO COOPSUGARS, GOVADA IN THE YEAR 2007 Jan 01 Feb 01 Mar 06 Apr 08 May 23 June 29 July 07 Aug 05 Sep 14 Oct 14 Nov 14 Dec 09 --------------Total 141 ------------------


The major source of recruitment is through friends, relatives, and persons known to the Directors of the sugar mill. However, preference will be given to the persons who worked in the earlier years. The firm maintains data base of temporary workers and basing on the seniority of them, priority is given in the selection of the seasonal workers during the crushing period.





1. Does a system of Recruitment and Selection exist in the Chodavaram Cooperative Sugars, Govada? PARTICULARS YES NO TOTAL Graphical Representation: % OF RESPONDENTS NO.OF RESPONDENTS 30 NIL 30

% OF RESPONDENTS 100 0 100


Interpretation: Cent per cent of the respondents opined that the firm under study had a scientific system of selection of manpower. It is a welcoming sign that the management is transparent in the selection of human resources.

2. Are you aware about Recruitment and Selection procedure followed?




% OF RESPONDENTS 80 20 100

Awareness of recruitment and selelction process

20% YES NO 80%

It is evident that an overwhelming majority of the respondents (80 per cent) are aware of the recruitment and selection process of the organization under study. It shows that the management of the organization has clear policies of recruitment as well as selection of the personnel.


3. Which technique of Recruitment procedure is followed by the

Chodavaram Cooperative Sugars Ltd?



Direct recruitment Indirect- Through

Recruitment Agencies



0 0 30

0 0 100


The recruitment of the firm under study is entirely through direct method and no private placement agencies are involved in this process. The firm mostly looks for seasonal workers and it had a list of persons worked in the earlier years. From that list it calls for the people who would like to work in the present season. selects the personnel. Basing on the previous experience, the management

4. Whether the recruited candidates are getting necessary induction

training and support form the management and head of the department? PARTICULARS NO.OF RESPONDENTS % OF

Agree Partially Agree Partially Disagree Disagree TOTAL

26 2 0 2 30

RESPONDENTS 86 7 0 7 100

Induction & Training given to new recruitees





Partially Agree


An overwhelming majority of the respondents (86 per cent) have agreed that they were given proper induction and training immediately after recruitment. Seven per cent of the respondents have agreed that they were


given partial induction and training to the newly recreated persons. None have agreed that the firm under study is partially inducting and train the personnel immediately after recruitment. A few of the respondents not agreed that the firm is providing induction and training prgramme to the newly recruited personnel.

5. Is the company recruiting the candidates suitable to the field of the

working area? PARTICULARS Agree Partially Agree Partially Disagree Disagree TOTAL NO.OF RESPONDENTS 26 2 0 2 30 % OF RESPONDENTS 86.67 6.67 0 6.67 100


Ssuitability of the Candidates selected



Agree Partially Agree Disagree


96.67 percent of the respondents agreed that the candidates selected are really suitable to the positions intended for in the organization. It is an evidence of good recruitment and selection policies adopted by the management of the firm under study. Very few respondents (6.67 percent) partially agreed to the above mentioned opinion, where as 6.67per cent of the respondents disagreed to the above statement and they said that the candidates selected are not fully suitable to the intended positions in the firm.


6. Does your company give preference to freshers also along with experienced candidates?


28 2 30

93.33 6.67 100



93.33 per cent respondents felt that the firm is encouraging fresh candidates along with the candidates having previous experience in the sugar mill. The rest of the respondents reported that the management is not encouraging candidates without previous experience.


6. Does your company give preference to local candidates?



% OF RESPONDENTS 86 7 0 7 100

Agree Partially Agree Partially Disagree Disagree TOTAL

26 2 0 2 30

Preference to local candidates

7%0% 7%


Agree Partially Agree Partially Disagree Disagree

Out of 30 respondents (86 per cent) agreed that the management is preferring local candidates in recruitment and seven per cent partially agreed respondents are agree, 10 percent respondents are Partially

Agree, 0 Percent respondents are partially Disagree and remaining 5 percent are Disagree
7. Do you feel that Recruitment and Selection procedure followed by The

Chodavaram Cooperative Sugars Ltd, Govada is good? PARTICULARS Agree Partially Agree Partially Disagree TOTAL NO.OF % OF RESPONDENTS RESPONDENTS 26 86.67 2 6.67 2 6.67 30 100

Opinion on Recruitment and Selection Policies

Partially disagree opinion

Partially Agree








Number of respondents


26 out of 30 respondents have agreed that the policies of recruitment and selection of personnel of the selected unit are good and further 6.67 per cent have partially supported the above mentioned opinion. The rest of the respondents (6.67 per cent) have partially disagreed to the opinion of the majority respondents.
8. Is Succession Planning done in advance since it takes time to recruit

senior people?

Particulars Agree Partially Agree Partially Disagree TOTAL

Number of Respondents 25 2 3 30

Per cent 83.33 6.67 10.00 100.00


10% 7% Agree Partially Agree Partially Disagree


Out of 30 respondents 83%(20) of respondents agreed that it had succession plan and 10 per cent disagreed that the firm had no succession plan. 6.67 per cent of the respondents partially agreed to the statement that the firm is planning in advance about the succession plan.. 9. Are you submitting any letter to Employment Exchange? Particulars YES NO TOTAL NO.OF Respondents 30 0 30 Yes

% OF Respondents 100 0 100



All the 30 respondents (100 %) knew that the management will inform the vacancy position to the employment exchange and fill the vacancies with the candidates enlisted by the exchange. 10.Are you satisfied with you recruitment process? Particulars YES NO TOTAL No of Respondents 30 0 30 % OF Respondents 100 0 100




All the 30 respondents (100 %) were satisfied with the recruitment procedure adopted by the management.
11. Do you rotate employees who dont perform potential evaluated?

PARTICULARS Agree Partially Agree Partially Disagree Disagree TOTAL


% OF RESPONDENTS 83.33 10.00 6.67 0 100.00


Job rotation

2 0

Agree Partially Agree Partially 25 Partially Disagree

Out of 30 respondents 83.33% (19) of respondents agreed that the firm is rotating the employees who are week at certain positions and to train them, 10 per cent respondents partially disagree about job rotation.



1. Does a system of COOPSUGARS,Govada?






(a) yes

(b) No

2. Are you aware about recruitment & selection procedure followed in COOPSUGARS,Govada? (a) Yes (b) No 3. Which technique of Recruitment procedure is COOPSUGARS,Govada? (a) Direct (b) Indirect through Recruitment Agencies (c) followed Both by

4. Whether the recruited candidates are getting necessary induction training and support from the management and also from the head of the department? (a) Agree (b) Partially Agree (c) Partially Disagree (d) D disagree 5. Is the company recruiting the candidates suitable to field of the working area? Agree (b) Partially Agree (c) Partially Disagree (d) Disagree
6. Does you company give preference to freshers also along with

experienced candidates? (a) Yes (b) No 7. Does your company give preference to local candidates? (a) Agree (b) Partially Agree (c) Partially Disagree (d) Disagree 8. Do you feel that the Recruitment & selection procedure followed by COOPSUGARS,Govada is good? (a) Agree (b) Partially Agree (c) Partially Disagree (d) D disagree
9. Is Succession planning done in advance since it takes time to recruit senior

people. a) Agree b) Partially Agee c) Disagree


10.Are you submitting any letter to Employment Exchange? a) Yes b) No

11.Are you satisfied with you recruitment process? a) Yes b) No

12.Do you rotate employees who dont perform potential evaluated? a) Agree b) Partially Agree c) Partially Disagree d) Disagree
13. Any Suggestions you give with Recruitment & Selection?




It is evident from the above study that the Chodavaram Cooperative

Sugars Litmited had a clear procedure of recruitment and selection of human resources.
The employees are aware of the recruitment and selection procedure

followed by the firm under study.

The most striking feature is the recruitment is carried out mainly

through direct method and it has not hired the services of the agents or placement broking agencies. It notify the vacancies to the Government Employment Exchange.
The recruited candidates are properly inducted and given full-fledged

training and support.

After completion of their training period, they are placed on the right

Freshers are also invited along with experienced candidates. COOPSUGARS, Govada does not follow any reservation system in the

filling up of vacancies. In COOPSUGARS, Govada selection procedure is classified into two ways: (i) (ii) Trainees Regular Employees



The recruitment procedure followed at The Chodavaram Cooperative Sugars Ltd, Govada is more transparent. Since inception of the project, rate of recruitement was the highest in 1991. In this year it touched a total of 155 employees. 128 form commercial/technical and 27 from executive. The organizational development programmes are being offered for its new and existing employees. As the initial training provides necessary imputes to integrate themselves to the organization goals. The organizations profitability and turnover are an indication of the effectiveness of the training and development programmers, which are part of recruitment and selection process. The company expanded the capacity of the project by doubling its production. This was completed and commercial production was started in 1998. The organization has the required personnel to taken to the needs of the expansion project. The company at present is recruiting a majority of its employees form local areas.



The firm should have manpower planning and it should take up the recruitment programme on a regular interval basus and it should not be like when need comes in order maintain the uniformity. The firm needs to have an analysis of job and its specification. Some

Initial dropouts at training period itself must be prevented. instruments could be used to minimize dropouts at training period.

Apart from intake interviews exit interviews are to be conducted. Score card method to be adopted while selecting. While recruiting fresh candidates preference should be given for the children of the employees deceased or who are working in the firm under study.





1 Human Resources Management --- Dr C.B. Gupta 2 Personnel Management --- C.B.MEMORIA 3 The Management of Human Resources --STEPHEN.P.ROBINS 4 Personnel Administration and Human Resources Management --- SIKULA, ANDREW.F 5 Human Resources management and industrial relations --- P.SUBBA RAO 6 Human resource and personnel management --- K.ASWATHAPPA Magazines Business Today Business World JOURNALS Human capital Hrm review