STUDY OF RECRUITMENT AND SELECTION AT MARG LIMITED

An Project Report Submitted in the partial fulfillment of the requirement for the award of the Diploma in Master of Business Administration 2010-2012

Submitted By: Nisha Tanwar

Under the Guidance of: Mr. Prashant Chauhan Dy. Manager-HR Marg Limited

INSTITUTE OF MANAGEMENT TECHNOLOGY CENTRE FOR DISTANCE LEARNING-GHAZIABAD BLOSSOMS (FARIDABAD-02)

DECLARATION
This is to certify that I have completed the Project Report titled Study of Recruitment and Selection at Marg Limited under the guidance of Mr. Prashant Chauhan-Dy. Manager-HR in the partial fulfillment of the requirement for the award of the Diploma in Master of Business Administration of Institute of Management Technology, Ghaziabad. This is an original piece of work & I have neither copied nor submitted it earlier elsewhere.

_______________ NISHA TANWAR

PREFACE
During the past three decades the personnel function has witnessed dramatic changes. The widespread usage of the term human resource management in place of personnel function is itself symbolic of this change. The HR function has acquired a unique status and reputation in almost all services sectors including banking, finance, construction, insurance, software, and telecom. Human is the resource for an organization and therefore, should be managed effectively. A good human resource forms an asset for an organization and so is the case with the Construction Industry which is booming and will remain so with the continuation of the development process especially in the developing countries. My time at Marg Limited focused on getting a taste on how Recruitment and Selection process is practically carried out. This report sheds light on the importance of having an effective Recruitment and Selection Policy, the recent trends that are influencing the recruitment and selection process of organizations and the challenges that the recruiters face during the hiring process. The research methodology is based on both primary data as well as secondary data. An interview schedule was prepared to gather information on the recruitment and selection policy of the organization. The universe consists of 4 people from the EPC-Delhi Division of Marg Limited comprising of 3 members of recruitment department headed by the HR Head. The whole population was considered for this study. The major limitation to the study was the possibility of ambiguous replies due to confidentiality of information. In the end there are few recommendations and suggestions which may benefit the organization if looked upon seriously.

_______________ NISHA TANWAR

ACKNOWLEDGEMNET
THANK YOU. These two words are very less to be measured when it comes to extend my gratitude towards all those who have made my project - a learning and a memorable experience. I owe my sincere and whole hearted thanks to Mr. Prashant Chauhan (Dy. ManagerHR) for providing me an opportunity to carry out my summer training in their prestigious organization Marg Limited and facilitate me with a training which proves to be a valuable source of practical knowledge. Also, I deeply acknowledge all other members of the organisation, who have shared their ideas and spared time for accomplishment. Words cannot express my sincere thanks to Ms. Nidhi Mathur, my project guide from the institute, for constantly guiding me and tackling variety of hurdles with implicit patience throughout my project work and infused in me a great inspiration and confidence in taking up this study in right direction. I am committed to extend my profound thanks to Mr. S.K. Sharma (Director) for his valuable guidance and support and the entire faculty of Blossoms under the prestigious Institute of Management Technology who had been a constant source of guidance throughout my assignment. Lastly, I would like to convey my heartiest thanks to my parents and my friends with whose support and guidance this assignment of mine is successfully accomplished.

NISHA TANWAR

CONTENTS

Preface Acknowledgement Contents Chapter I: Introduction Industry Overview Company Profile Competitors SWOT Analysis Objective of study Scope and Managerial Usefulness of Study Research Design and Methodology Limitations Concept of Recruitment and Selection Recruitment v/s Selection Recruitment and Selection Process Novel Recruitment Practices

Chapter II: Research Methodology

Chapter III: Theoretical Framework

Chapter IV: Recruitment and Selection Process of MARG LIMITED Chapter V: Data Analysis Chapter VI: Findings Chapter VII: Conclusion and Recommendations Annexure Bibliography

CHAPTER - I INTRODUCTION

INTRODUCTION
In today's rapidly changing business environment, organisations have to respond quickly to requirements for people as human resources are the most important assets of an organisation. The success or failure of an organisation is largely dependent on the caliber of the people working therein. Without positive and creative contributions from people, an organisation cannot progress and prosper. In order to achieve the goals or perform the activities of an organisation, therefore, there is a need to recruit people with requisite skills, qualifications and experience. While doing so, one must keep the present as well as the future requirements of the organisation in mind. Hence, a well-defined recruitment policy helps in effectively executing the process and getting the best fits for the vacant positions. Selecting the wrong candidate or rejecting the right candidate could turn out to be costly mistakes for the organisation. Selection is one area where the interference of external factors is minimal. Hence the HR department can use its discretion in framing its selection policy and using various selection tools for the best results. Thus it is importance for organisations to have an effective recruitment and selection policy. The need for a sound recruitment and selection policy was first realized by Chinese countries ago and Prussia was the first country in modern time to have evolved a sound recruitment system. In India, the merit principle has been in existence since 1853. Recruitment and Selection are the major function of the human resource department. Recruitment and Selection process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and picking the most suitable candidate who would best meet the requirements of the job and the organisation, decision making, conveying the decision and the appointment formalities.

INDUSTRY OVERVIEW

CONSTRUCTION INDUSTRY IN INDIA

Today, India is the second fastest growing economy in the world. The Indian construction industry, an integral part of the economy and a conduit for a substantial part of its development investment, is poised for growth on account of industrialization, urbanization, economic development and people's rising expectations for improved quality of living. The strong emphasis on infrastructure creation by the Central and the State Governments has brought about a sustained inflow of orders for infrastructure development and construction companies over past couple of years. INDUSTRY SEGMENTS REAL ESTATE: Residential (Housing & Development), Industrial (Industrial Parks, Factories, Plants, etc.), Corporate (Office, Research Centers), Commercial (Retail: Malls, Shops, Showrooms; Hotels; etc.) INFRASTRUCTURE: Roads, Railways, Urban infrastructure (improved housing, watersupply and sanitation, schools, universities, health and security, etc.), Ports, Airports, Power BOOMING OPPORTUNITIES IN INDIA There are a lot of opportunities that are sprouting up for the construction sector. Some of these are as follows:

Residential houses for growing middle class population Water supply and sanitation projects Projects to develop Special Economic Zones Power Plants to provide reliable, affordable and quality power to all users The "Sagar Mala" project for expansion and modernization of ports, inland navigation and maritime transport Projects to develop Special Bio-Technology Parks and IT Parks

COMPANY PROFILE

MARG GROUP

Marg Group of Companies, headquartered in Chennai, is promoted by Mr. G.R.K. Reddy, a civil engineering professional, with almost three decades of experience in the infrastructure business.

Marg Ltd is 18-year-old world class engineering, construction and services conglomerate. The Marg Group comprises of 5 dynamic companies Marg Foundation, Karaikal Port, Marg Swarnabhoomi, Marg Properties, Marg Junction, each of them armed with a vision to become the first amongst equals.

Having successfully completed over 200+ projects within the scheduled time-frame and with the best of quality, the Group is now marching ahead with a strong order book position of another 200 ongoing projects.

MARG GROUP VISION!!!!!

Big dreams rooted in practicality is what helps us translate our dreams into reality. We are conscious of the fact that every project we deliver has an obvious impact on the economy, infrastructure and society. We believe ours is a never ending journey of innovation and learning and the body of knowledge from each project we work on is invaluable in our evolution

GROUP BUSINESS PORTFOLIO

MARG FOUNDATION

MARG KARAIKAL PORT

MARG GROUP OF COMPANIE S

MARG JUNCTION

MARG SWARNABHOOMI

MARG PROPERTIES

MARG FOUNDATION
(EPC - MARG FOUNDATION) MARG Foundation India, MARGs EPC division provides integrated turnkey solutions. Its range of services include integrated design, engineering, material procurement, field services and construction & project management services for infrastructure sector and real estate projects. MARG Foundation India is poised to be the growth engine of the MARG Group. Some of its large external customers include Government of Puducherry, Petronet, Alstom, Asian Wind Turbines, Assotech Ltd, BHEL, Daslagerway Wind Turbines Ltd, L&T and Enercon India (P) Ltd etc.

MARG KARAIKAL PORT

(MARINE INFRASTRUCTURE & SERVICES) MARG Karaikal Port is a premier, hi-tech, all weather port on the South East coast of India. Karaikal Port has a sizable primary hinterland because of its strategic location. It is the only all weather, deep water, multi-commodity port between Chennai port and Tuticorin port and is strategically located at the middle of this 680 km coastline.

MARG SWARNABHOOMI
(URBAN & INDUSTRIAL INFRASTRUCTURE) MARG Swarnabhoomi, christened as the Land of New Thinking, is the campus of education, research, innovation, industry and living. Located on scenic East Coast Road (ECR), mid-way between Chennai and Puducherry, it has proximity to the Auto & Electronic industrial belts of the nation. This strategic ECR stretch is the growth corridor of the future and being close to Chennai, has access to world class academia. It is also well connected via road, rail & airport and unlike other industrial clusters, it has all the facilities to foster business. Away from common din of the cities, located at scenic backwaters of ECR, the city is planned in such a way that it harmonizes with nature and offers scenic tranquility and peacefulness to uplift human mind and soul.

MARG PROPERTIES
REAL ESTATE - RESIDENTIAL MARG ProperTies, the residential arm of the infrastructure major MARG, is one of the leading real estate developers in Chennai that offer homes to all segments, viz Affordable homes, Urban smart homes, integrated townships and Ultra luxury homes. Delivering the Right Product with the Right Value to a wide segment of consumers has always been the brand promise of MARG ProperTies.

MARG JUNCTION
REAL ESTATE - COMMERCIAL The state-of-the-art MARG Junction Mall is slated to be South Chennai's biggest retail opportunity for business, leisure and entertainment. Opening in 2013 on the strategic IT corridor and spread over 1.83 million sq. ft., this mall on the bustling OMR will be Chennai's largest 'mixed use' development comprising of a 5 star hotel by Shangri-La. MARG Junction mall is planned as a 'social asset' with a unique Chennai DNA. Providing the best in 'comfort , convenience & entertainment' , MARG Junction Mall will have a 1000 seater food court, 6 fine dining restaurants, a 14,000 sq ft. double height EGA Gaming World, 16 lane international bowling alley and a 9 screen-2000 seater multiplex.

MARG LIMITED
Marg Limited incorporated in the year 1994 is the flagship company of the Marg Group of Companies, which stands out as one of the few fully integrated infrastructure development companies with a diverse presence across various sectors in the industry. MARG Group is one of India's fastest growing infrastructure organizations - undertaking holistic regional development, unlocking economic prosperity and creating inclusive & sustainable growth models. The organization has embarked on an innovation led development, on the canvas of new sustainable India that few have attempted. Listed by Dun & Bradstreet as among "India's Top 500 Companies 2011", MARG Group has projects worth more than Rs. 3400 crores under execution, a seasoned human capital of more than 1100, global partners in the Infra space and offices spread across India, Singapore and China. Extensively awarded for 'Corporate Social Responsibility initiatives', MARG Parivarthan - the MARG CSR brand complements the above business verticals. MARG Limited (BSE: 530543) is listed on the Bombay Stock Exchange and its shares are traded on the NSE under the category of 'Permitted Security'.

BUSINESS OVERVIEW
HIGHLY PROFESSIONAL APPROACH At Marg, business relationships are valued and thus they have adopted a professional approach towards them with core principles that underpin how to work with their partners. Thus the approach adopted is motivated by qualified & experienced professionals, modern & latest equipment, all company-owned, adaptability of latest and mechanized methodology, holistic approach, creativity and hi-tech solution, quality, safety & environment management systems and backward and forward integration to other sister units of the group to optimize costs.

MODERN EQUIPMENT High-end tools and equipment for construction work boosts the Divisions capability to execute projects with speed & quality. Thus, time and again, the Division takes the effort to invest in modern tools and equipments. These tools and equipment include: Pile driving Mass concreting Welding of rails Support making with in-house facility Large size steel structural work The parent company has a separate & specialized Equipment Management Division engaged in the business of leasing world-class equipment and machinery to the infrastructure development industry. The in-house availability of sophisticated & contemporary high-end machinery in turn lends tremendous strength to and provides a distinct advantage in the quality of construction and execution of projects. COMPETITIVE STRATEGY A winning competitive strategy is founded on consistently understanding and predicting changing market conditions and customer needs. The measures that have helped the organisation in designing their competitive strategy are in-house competencies thereby reducing quantum of work outsourced to the minimal, Competitive Pricing, Optimum use of in-house resources and On-time delivery schedule. SOUND FINANCIAL BACKGROUND Growth in business has to be accompanied by sound financial management and controls. Margs impeccable track record of over two decades stands testament to the sound financial background which is further vindicated in the companys robust year- on- year growth for the past five years accompanied by timely financial closure and good profitability levels.

STRONG MANPOWER The organisation realizes that experienced and committed manpower is their asset and thus make elaborate efforts to identify, retain and enhance skilled workers. While bidding for the project, end customers are becoming increasingly concerned about finding providers that have a high level of technical expertise in house. Their technical team has helped them execute some challenging projects resulting in their customers being content with the project outcome.

KEY PROJECTS
ONGOING PROJECTS
AEVP-VRINDAVAN YOJNA-1 Braithwate & Co. Limited (BCL-KOLKATA) Bharat Heavy Electricals Limited (BHEL-JAGDISHPUR) Directorate General of Married Accommodation Project (DGMAP-AGRA-411PFC) Directorate General of Married Accommodation Project (DGMAP-AGRA-AIRFORCE) Directorate General of Married Accommodation Project (DGMAP-AGRA-AMAR SINGH CAMP) Directorate General of Married Accommodation Project (DGMAP-AGRABHARATPUR LINE) Construction of Test Research Laboratory (HSCC-DWARKA) Haryana Urban Development Authority (HUDA- REWARI) Lucknow Development Authority (LDA-1-JANKIPURAM) Lucknow Development Authority (LDA-1-JANKIPURAM) Military Engineer Services (MES-RR HOSPITAL-DHAULA KUAN) Military Engineer Services (MES-PALAM) National Buildings Construction Corporation (NBCC-CHANAKYAPURI) National Buildings Construction Corporation (NBCC-DWARKA) National Capital Region (NCR-JHANSI)

COMPETITORS

JAIPRAKASH ASSOCIATES LIMITED

Jaiprakash Associates Ltd., the flagship company of the Jaypee Group, is a leader in Construction of river valley and hydropower projects on turnkey basis for more than 4 decades. The company is currently executing various projects in hydropower, irrigation and other infrastructure fields and has had the distinction of executing simultaneously 13 hydropower projects spread over 6 states and the neighbour country Bhutan for generating 10,290 MW of power.

IRB INFRASTRUCTURE DEVELOPERS LIMITED

IRB Infrastructure Developers Ltd. was incorporated to fund the capital requirements of the IRB Group initiatives in the infrastructure sector. The company undertakes development of various infrastructure projects in the road sector through several Special Purpose Vehicles. The company, along with its subsidiaries has constructed or, operated and maintained around 1200 kms of road length so far and is one of the major road developers in the country.

GAMMON INFRASTRUCTURE PROJECTS LIMITED

Gammon Infrastructure Projects Limited (GIPL) is an infrastructure project development company promoted by Gammon India Limited, to participate in the development of infrastructure projects on a public private partnership ("PPP") basis across sectors such as Roads & Expressways, Ports, Hydro Power, Urban infrastructure, Airports, Special Economic Zones, Water and Wastewater management, Railways, Power Transmission lines, and Agricultural Infrastructure. GIPL is among the first companies in India to be modeled as an infrastructure developer holding company with investments spread across various sectors.

HINDUSTAN CONSTRUCTION COMPANY LIMITED

As a pre-eminent Indian infrastructure company, established over eight decades ago, HCC has, over the years, strongly anchored itself to Indias development effort. HCC, as an industry leader in engineering construction, currently nurtures projects that span across such diverse segments as transportation, power, marine projects, oil and gas pipeline constructions, irrigation and water supply, utilities and urban infrastructure, all of which impact the nation of India, and the progress of its people.

IVRCL INFRASTRUCTURE AND PROJECTS LIMITED

IVRCL is dedicated to improving the overall quality of life in the country. It believes in making a holistic contribution to all sectors including water, roads, industrial structures, residential complexes, power projects etc. For IVRCL, quality is the overpowering virtue around which the whole system functions. Engineering and design capabilities are IVRCL's proven strengths. Its turnkey projects in various sectors are characterized by pioneering ideas and impressive execution capabilities.

NAGARJUNA CONSTRUCTION COMPANY LIMITED

NCCs range of business verticals comprising of Buildings & Housing, Transportation, Water & Environment, Irrigation, Power, Electricals, Metals, Oil & Gas and International business reflect an expertise positioned to capture every infrastructure upturn. NCC has a reputed record of completing projects on time without compromising on quality and is the only construction company in India to achieve the recognition as one of the 250 best under a billion listed companies in Asia Pacific in 2005 by Forbes Asia.

SIMPLEX INFRASTRUCTURES LIMITED

Simplex Infrastructures Limited was established in the year 1924 at Lancaster, United Kingdom. Its chief construction activities include commercial and residential complexes and huge industrial projects. In India, Simplex Infrastructures was responsible for constructing the first private sector steel plants at Burnpur and Tatanagar. It also built the approach passages to Howrah Bridge. Simplex has been catering to major organisations involved in the public sector, private sector, and Government departments. The company has been using latest techniques and innovations in its production process. Some of Simplex construction activities have been Power projects, Processing plants, Huge industrial projects, Constructions of commercial & residential complexes, Piling jobs, Marine ports and bridges, Ground strengthening and Soil investigations.

SWOT ANALYSIS

STRENGTHS Diversified business model Presence across diverse sectors, customers and geographies Ability to offer single-point turnkey solutions Improved financial performance Repeat orders from reputed clients More than 70% of the orders are

WEAKNESSES The Company has cases of unclaimed deposits. Problems in any major project can adversely affect its financials. Inability to bid for large projects. Enable to retain manpower.

OPPORTUNITIES

THREATS Competition from other players. Political Influence due to operations in different states. Change in policies due to turbulence in the government structure. Economic meltdown may affect the customer base due to increasing cost of raw materials.

Planed investment of Rs.175000 crore in infrastructure as per the 11th Five Year Plan leading to a strong flow of orders.

Pick-up in economy has lead to many new and expansion projects across industries.

Construction of residential houses for growing middle class population.

Compensation claim by the clients in case of delay in completing their project.

CHAPTER II RESEARCH METHODOLOGY

OBJECTIVES OF STUDY
To highlight the importance of having an effective Recruitment and Selection Policy for organisations.
To identify the recent trends of corporate recruiting. To study the existing process of Recruitment and Selection in Marg Limited. To determine the applicability of the recent trends in the Recruitment and Selection

Process of Marg Limited.

To determine the challenges faced by the recruiters during the hiring process.

SCOPE OF STUDY
This study has a vast scope as it makes all the concepts clear about what exactly goes in making a new employee a part of the organization. EPC-Delhi It highlights the recent trends that are influencing the Recruitment and Selection Process of organisations. It can also be useful as a source of information for similar projects.

MANAGERIAL USEFULNESS OF STUDY

The study clearly shows all the steps, which go in recruiting a person and having a right person at right place. This project work enables the comparison of relevant conceptual and theoretical knowledge of Recruitment and Selection Process with actual application in the industry. It will help the managers to understand the benefits of having an effective Recruitment and Selection Policy for an organisation. It will provide a thorough knowledge about the recent trends of corporate recruiting. It provides a list of the problems that the recruiters face during the hiring process which needs to be overcome. It includes valuable suggestions that will help the recruiters in the hiring process.

RESEARCH DESIGN
Descriptive Research Design was adopted for this study. This design generally concentrate on the aspects like setting objectives, defining and stating the problem under study, designing the method of data collection, including sampling, survey, analysis and interpretation of data, report writing, arriving at inductions, deductions and conclusions, etc. The recommendations and findings in a descriptive research are definite.

SAMPLING PLAN
UNIVERSE
The population of the study comprises of three members of Recruitment Department and the Head of HR Department, EPC-Delhi of Marg Limited, Head Office, New Delhi.

SAMPLE SIZE
4 (the entire population was studied).

DATA SOURCE
Both, Primary and Secondary data are used to perform this very task. Primary Data Collection Interview Schedule Informal talks with employees of MARG LIMITED. Observations made during the execution of the Recruitment & Selection Process. Secondary Data Collection Organisational Manual and Annual Report Papers/files/letters Internet Books and Journals

DATA COLLECTION TOOL

An Interview Schedule was designed containing both open- ended and multiple-choice questions to meet all the objectives of the study.

LIMITATIONS
The study was undertaken for a period of two months, so there was a constraint of time. Possibility of ambiguous replies due to confidentiality of information. Another constraint is some sort of biasness in my study. This study remains an analysis of all what I gathered from my observation, the personal interaction and the information from seniors and colleagues.

 Errors might have crept into the report during typing and compilation.

CHAPTER III THEORETICAL FRAMEWORK

MEANING OF RECRUITMENT
The human resource is the most important asset of an organisation. The success or failure of an organisation is largely dependent on the caliber of the people working therein. In order to achieve the goals or the activities of an organisation it needs to recruit people with requisite skills, qualification and experience. Edwin B. Flippo defined recruitment as the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation. Recruitment is also defined as a process of finding and attracting capable applicants for employment. Recruitment is the activity that links the employers and the job seekers. The process begins when new recruits are sought and ends when their applications are submitted. Recruitment of candidates is the function preceding the selection, which helps create a pool of prospective employees for the organisation so that the management can select the right candidate for the right job from this pool. The main objective of the recruitment process is to expedite the selection process. Recruitment, logically, aims at: Attracting a large number of qualified applicants who are ready to take up the job if its offered, and Offering enough information for unqualified persons to self-select themselves out.

RECRUITMENT NEEDS ARE OF THREE TYPES

1. Planned Need Planned needs are the needs arising from changes in organisational policies. 2. Anticipated Need Anticipated needs are identified base on the movements in personnel, which an organisation can predict by studying trends in internal and external environment. 3. Unexpected Need Resignation, deaths, accidents and illness give rise to unexpected needs.

FACTORS AFFECTING RECRUITMENT

The recruitment function of the organisations is affected and governed by a mix of various internal and external forces. The internal factors are those that can be controlled by the organisation and the external factors are those which cannot be controlled by the organisation. The external factors include supply of and demand for human resources, employment opportunities and/or unemployment rate, labour market conditions, political, legal requirement and government policies, social factors, information systems, etc. The internal factors include the companys pay package including salary, fringe benefits and incentives, quality of work life, organisational culture, career planning and growth opportunities, size of the company, companys product/services, geographical spread of the companys operations viz., local, national or global, companys growth rate, Role of Trade Unions and cost of recruitment.

PURPOSE & IMPORTANCE OF RECRUITMENT

Attract and encourage more and more candidates to apply in the organisation. Create a talent pool of candidates to enable the selection of best candidates for the organisation. Recruitment is the process which links the employers with the employees. Increase the pool of job candidates at minimum cost. Help increase the success rate of selection process by decreasing number of visibility under qualified or overqualified job applicants. Help reduce the probability that job applicants once recruited and selected will leave the organisation only after a short period of time. Meet the organisations legal and social obligations regarding the composition of its workforce. Begin identifying and preparing potential job applicants who will be appropriate candidates. Increase organisation and individual effectiveness of various recruiting techniques and sources for all types of job applicants.

SOURCES OF RECRUITMENT
Every organisation has the option of choosing the candidates for its recruitment processes from two kinds of sources: internal and external sources. The sources within the organisation itself to fill a position are known as the internal sources of recruitment. Recruitment candidates from all the other sources are known as the external sources of recruitment.

SOURCES OF RECRUITMENT

INTERNAL SOURCES Transfers Promotions Upgradation Demotion Retired Employees Retrenched Employees Dependents of Deceased Employees

EXTERNAL SOURCES Press Advertisements Educational Institutes Placements agencies/Outsourcing Employment Exchanges Labour contractors Unsolicited Applicants Employee Referrals Recruitment at Factory Gate

INTERNAL SOURCES OF RECRUITMENT

ADVANTAGES It is less costly. organisation.

DISADVANTAGES Discourages entry of talented people. It perpetuates the old concept of doing things. Bone of contention i.e. politics play greater role. Candidates current work may be affected. Morale problem for those not promoted.

Candidates are already oriented towards Organisation has better knowledge about the internal candidates. Enhancement of employee morale. Good performance is rewarded.

EXTERNAL SOURCES OF RECRUITMENT

ADVANTAGES Injection of fresh blood with new skills, new talents and new experience. easy.

DISADVANTAGES Demotivates internal employees. It is costly and time consuming. Does not ensure that the services of a suitable candidate are hired. Adjustment of new employees of the organisational culture takes longer time.

Compliance with reservation policy becomes Scope for resentment, jealousies and heartburn are avoided. Long term benefits of talented people.

RECRUITMENT POLICY OF A COMPANY

In todays rapidly changing business environment, a well defined recruitment policy is necessary for organisations to respond to its human resource requirements in time. Therefore, it is important to have a clear and concise recruitment policy in place, which can be executed effectively to recruit the best talent pool for the selection of the right candidate at the right place quickly. Creating a suitable recruitment policy is the first step in the efficient hiring process. A clear and concise recruitment policy helps executing a sound recruitment process.

It specifies the objectives of recruitment and provides a framework for implementation of recruitment programme. It may involve organisational system to be developed for implementing recruitment programmes and procedures by filling up vacancies with best qualified people.

COMPONENTS OF THE RECRUITMENT POLICY

Organisations objectives Identification of the recruitment needs to take decisions regarding the balance of the qualitative dimensions of the would be recruits

Preferred sources of recruitment Criteria of selection and preferences The cost of recruitment and financial implications of the same The terms and conditions of the financial

ESSENTIALS OF A GOOD RECRUITMENT POLICY

The policy should be in conformity with its general HR policies. Focused on recruiting the best potential people. Unbiased policy. Transparent, task oriented and merit based selection. Flexible enough to meet the changing needs of the organisation. Cost effective i.e. to recruit competent people at a minimum cost. Weightage during selection given to factors that suit organisation needs.

Optimization of manpower at the time of selection process. Defining the competent authority to approve each selection. Abides by relevant public policy and legislation on hiring and employment relationship. Integrates employee needs with the organisational needs.

FACTORS AFFECTING RECRUITMENT POLICY

Organisational objectives Personnel policies of the organisation and its competitors. Government policies on reservations. Preferred sources of recruitment. Needs of the organisation. Recruitment costs and financial implications.

MEANING OF SELECTION
Through the process of recruitment, a 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. Selection is the process of picking individuals out of the pool of job applicants with requisite qualification and competences to fill jobs in the organisation. Selection is a discrimination decision based on ability and suitability of the candidate. It can be defined as the process of differentiating between applicant in order to identify (and hire) those with a greater likelihood of success in a job. Often based on an initial job analysis, the ultimate goal of personnel selection is to ensure an adequate return on investment - in other words, to make sure the productivity of the new employee warrants the costs spent on recruiting and training that employee. The purpose of selection is to pick individuals out of the pool of job applicants with requisite qualifications and competences to fill jobs in the organisation. The needs of the jobs are matched with the profile of the candidates. The most suitable person is then picked up after eliminating the less suitable applicants through successive stages of selection process. How well an employee is

matched to a job is very important because it directly affects the amount and quality of employees work. Any mismatch can cost an organisation a great deal in terms of money, time and trouble, especially by way of training and operating costs. In course of time, the employee may find the job distasteful and leave frustration. He may even circulate hot-news and juicy bits of negative information about the organisation, causing incalculable harm in the long run. Effective selection, therefore, demands constant monitoring of the fit between the person and the job. Several screening methods exist that may be used in personnel selection. Examples include the use of minimum or desired qualifications, resume/application review, oral interviews, work performance measures (e.g., writing samples), and traditional tests (e.g., of job knowledge).

SELECTION TESTS
Recruiting personnel is a long and expensive process. It is very important that a company gets it right, if the company hires someone that turns out to be unsuitable then it costs time, money and potential new clients. To reduce the possibility of hiring an inappropriate candidate employers use several filtering methods. Traditionally these have been the CV, covering letter, and interview. However respected companies find that traditional candidate elimination techniques do not go far enough and are not cost effective. As a result employers are using different tests in addition to the traditional selection methods. These tests aim to provide a potential employer with an insight into how well a candidate can work with other people, how well he can handle stress, and whether he will be able to cope with the intellectual demands of the job. These are as follows: Achievement Test: It assist determining how well as individual can perform tasks related to the job. Aptitude Test: It helps in determining a persons potential to learn in given area. Personality Test: They are given to measure a prospective employees motivation to function in a particular working environment. Interest Test: They are used to measure an individuals activity preferences. Dexterity Test: In this test checks the capacity of a person to learn a particular mechanical type of work.

SELECTION INTERVIEW
OBJECTIVES OF INTERVIEWS
Helps obtain additional information from the applicant. Facilities giving general information to the applicant such as company policies, job profile, products manufactured, etc. Helps build the companys image among the applicants. To get an opportunity to judge an applicants qualifications and characteristics. To ask question that are not covered in tests.

TYPES OF INTERVIEWS
TYPES STRUCTURED TYPE OF QUESTIONS USUAL APPLICATIONS A predetermined checklist Useful for valid results, especially when of questions, usually asked dealing with large number of applicants. of all applicants Few, if any, planned Useful when the interviewer tries to proper why they are not right for the job. of A realistic approach that yields comparable

UNSTRUCTURED questions are made up personal details of the candidate to analyze during interview. A combination MIXED questions Questions BEHAVIOURAL

structured and unstructured answers plus in depth insights. limited to Useful to understand applicants reasoning and analytical aptitude under modest

Hypothetical situations.

stress. A series of harsh, rapid fire Useful for stressful jobs, such as handling STRESS questions intended to upset complaints the applicant

BARRIERS TO EFFECTIVE SELECTION

The main objective of selection is to hire people having competence and commitment. This objective is often defeated because of certain barriers. The impediments which check effectiveness of selection are perception, fairness, validity, reliability and pressure.

 Perception: Our inability to understand others accurately is probably the most fundamental barrier to selecting the right candidate. Selection demands an individual a group or people to assess and compare the respective competencies of others, with the aim of choosing the right person for the jobs. But our views are highly personalized. We all perceive the world differently. Our limited perceptual ability is obviously a stumbling block to the objective and rational selection of people. Fairness: Fairness in selection requires that no individual should be discriminated against on the basis of religion, region or gender. But the low members of women and other lessprivileged sections of the society in middle and senior management positions and open discrimination on the basis of age in job advertisements and in the selection process would suggest that all the efforts to minimize inequity have not been very effective. Validity: Validity, as explained earlier, is a test that helps predict job performance of an incumbent. A test that has been validated can differentiate between the employees who can perform well and those who will not. However, a validated test does not predict job success accurately. It can only increase possibility of success. Reliability: A reliable method is one which will produce consistent results when repeated in similar situations. Like a validated test, a reliable test may fail to predict job performance with precision. Pressure: Pressure is brought on the selectors by politicians, bureaucrats, relatives, friends and peers to select particular candidates. Candidates selected because of compulsion are obviously not the right ones. Appointments to public sector undertaking generally take place under such pressure.

RECRUITMENT IS DISTINCT FROM SELECTION

Some people use the term recruitment and selection interchangeably. These two terms are not one and the same either. Recruitment includes only finding the sources of prospective employees and attracting them to apply for jobs in an organisation, whereas the selection is the process of finding out the most suitable candidate to the job out of the candidates attracted. Technically speaking the function of recruitment precedes the selection function.

The differences between the two are as follows: 1. Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation whereas selection involves the series of steps by which the candidates applying for the job are screened for choosing the most suitable one for the vacant post. 2. The basic purpose of recruitment is to create a talent pool of candidates to enable the selection of best candidate for the organisation, by attracting more and more employees to apply in the organisation whereas the basic purpose of selection process is to choose the right candidate to fill the vacant position in the organisation. 3. Recruitment is a positive process i.e. encouraging more and more candidates to apply whereas selection is a negative process as it involves rejection of the unsuitable candidates. 4. Recruitment is concerned with tapping the sources of human resources whereas selection is concerned with selecting the most suitable candidate through various interviews and tests. 5. There is no contract of recruitment established in recruitment process whereas selection results in a contract of service between the employer and the selected candidate.

RECRUITMENT AND SELECTION PROCESS

Recruitment and Selection are the major functions of the human resource department and recruitment process is the first step towards creating the competitive strength and the strategic advantage for the organisation. Recruitment and Selection process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and picking the most suitable candidate who would best meet the requirements of the job and the organisation. Though, theoretically recruitment process is said to end with the receipt of applications, in practice the activity ends with the screening of applications so as to eliminate those who are not qualified for the job. The recruitment process is immediately followed by the selection process i.e. the final interview and decision making, conveying the decision and the appointment formalities. A general recruitment and selection process is as follows: 1. Human Resource Planning (HRP)

HRP means to identify the future manpower requirements from different departments of the organisation.

2. Comparing with existing manpower The number of manpower required is then compared to the existing inventory of manpower. There are two possible outcomes: Surplus and Demand. In case an organisation has surplus manpower, it can retain, retrenched or redeployed them. If there is more demand of manpower, then the HR Department receives requisitions for recruitment containing the number of persons required, the levels and criticality of vacancies. 3. Locating and developing sources of recruitment From the various sources of recruitment (internal and external) available at the option of the organisation, the most appropriate ones are selected based on their validity (time period) and viability (feasibility).
4. Preparing the job descriptions

Then job descriptions and job specifications are prepared by the Departmental Heads of the vacant positions. 5. Advertise and invite applications The next step is to publish advertisements in newspapers, on-line, etc. on the basis of the job description prepared to let others know of the job openings and applications. 6. Managing the response and Initial screening Next step is to review the applications received and sieve the applications of the prospective applicants with the required characteristics.

7. Conduct Selection Tests In addition to the traditional selection methods, employers are using different selection tests. These tests aim to provide a potential employer with an insight into how well a candidate can work with other people, how well he can handle stress, and whether he will be able to cope

with the intellectual demands of the job. These tests can be split into Achievement Test, Aptitude Test, Personality Test, Interest Test and Dexterity Test. 8. Selection interviews Interview is a formal, in depth conversation conducted to evaluate the applicants acceptability. It allows a two way exchange of information, the interviewers learn about the applicant and the applicant learns about the employer. An interview can be: One to One: There are only two participants the interviewer & the interviewee. Panel Interview: Consists of two or more interviewers. Sequential Interview: It involves the series of the interviews, usually utilizing the strength and knowledge base of each interviewer. 9. Reference Check Completing reference checks is a critical part of the selection process. A thorough reference check may produce additional information to help insure that the most suitable candidate is hired. It is a way to clarify, verify and add data to what has been learned in the interview and from other portions of the selection process. Organisation normally seeks letter of reference or telephone reference the later is advantageous because of its accuracy and low cost. In several cases, references are a formality and seldom verified by the employer. 10. Selection Decisions After obtaining information through the preceding steps, selection decision - the most crucial of all the steps - must be made. The other stages in the selection process are used to narrow the candidates. The final decision has to be made from the pool of the individual who passed the tests, interviews and reference checks. If it is impossible to make a selection at this point, one may consider scheduling an additional interview or conducting additional reference checks. If the recruiters feel that none of the applicants are qualified, then they may choose to re-recruit.

11. Physical Examination After the selection decision and before the job offer is made, the candidate is required to undergo a physical fitness test. The result of this test is recorded in a statement and is preserved in the personnel record.

There are several objectives behind a physical test: To detect if the individual carries any infectious disease. Determining whether an applicant is physically fit to perform the work. To protect the employer from workers compensation claims those are not valid because the injuries or illness were present when the employee was hired. 12. Job Offer The candidate finally selected is offered the job. In case he rejects the offer, it is made to the next suitable candidate. After the job offer has been made and the candidate accepts it, a contract of employment is prepared. The basic information that should be included in a written contract of employment will vary according to the level of the jobs. 13. Joining formalities Joining formalities include all the paper work to be done to fulfill the legal requirements of employment. 14. Induction Induction is a systematic & planned introduction of employees to their job, co-workers and the organisation. Induction conveys 3 types of information: General information about the daily work routine. Review of organisations history, objectives, operations and products or services. Organisational policies, work rules & employee benefits.

15. Placement The selected candidate is then put to the actual work area where he has to perform the tasks assigned to him.

16. Evaluation and review of the process The last step is the broad test of the effectiveness of the process. This is done by evaluating the performance or the quality of the personnel hired. An organisation must have competent

and committed personnel. The recruitment and selection process, if properly done, ensures availability of such employees.

PROBLEMS FACED DURING RECRUITMENT AND SELECTION PROCESS

Problems that are faced during the recruitment and selection process which should be avoided to make the whole process more effective are as follows:

No weighting of interview questions Poor settings for the interview Insufficient follow-up questions Failure to check with former employers Use of hiring quotas Failure to notify unsuccessful contenders of the selection decision Failure to provide the new employee with a substantive orientation of the job Rushed selection process Unclear job requirements Insufficient outreach Recruitment outside of the personnel system Failure to post openings Tapping successors Vague selection criteria Untrained interviewers Inappropriate questions

HR CHALLENGES IN RECRUITMENT
Recruitment is a function that requires business perspective, expertise, ability to find and match the best potential candidate for the organisation, diplomacy, marketing skills (as to sell the position to the candidate) and wisdom to align the recruitment processes for the benefit of the organisation. The HR professionals handling the recruitment function of the organisation- are constantly facing new challenges. The biggest challenge for such professionals is to source or recruit the best people or potential candidate for the organisation. In the last few years, the job market has undergone some fundamental changes in terms of technologies, sources of recruitment, competition in the market etc. In an already saturated job market, where the practices like poaching and raiding are gaining momentum, HR professionals are constantly facing new challenges in one of their most important function- recruitment. They have to face and conquer various challenges to find the best candidates for their organizations. 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 organisation 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.

MODEL FOR FUTURE

As shown in the figure, the future of all recruitment related activities will revolve around a few aspects, which are of prime importance. Recruitment is undoubtedly central to all activities. However, the loop will satisfactorily complete only if the right equation is maintained between the demand-supply ratio, which, in turn, is possible only if all recruiters, be it in-house or external agencies understand the employee-employer welfare in consonance and the motive of operation should be training and development.

E-RECRUITMENT
The buzzword and the latest trends in recruitment is the E-Recruitment. Also known as Online recruitment, it is the use of technology or the web based tools to assist the recruitment process. The tool can be either a job website like naukri.com, the organisations corporate web site or its own intranet. Many big and small organisations are using Internet as a source of recruitment. They advertise job vacancies through worldwide web. The job seekers send their applications or curriculum vitae (CV) through an e-mail using the Internet. Alternatively job seekers place their

CVs in worldwide web, which can be drawn by prospective employees depending upon their requirements.

The two kinds of e- recruitment that an organisation can use are

Job portals i.e. posting the position with the job description and the job specification on

the job portal and also searching for the suitable resumes posted on the site corresponding to the opening in the organisation.

Creating a complete online recruitment/application section in the companies own

website. - Companies have added an application system to its website, where the passive job seekers can submit their resumes into the database of the organisation for consideration in future, as and when the roles become available. Resume Scanners: Resume scanner is one major benefit provided by the job portals to the organisations. It enables the employees to screen and filter the resumes through pre-defined criterias and requirements (skills, qualifications, experience, payroll etc.) of the job. Job sites provide a 24 X 7 access to the database of the resumes to the employees facilitating the just-intime hiring by the organisations. Also, the jobs can be posted on the site almost immediately and is also cheaper than advertising in the employment newspapers. Sometimes companies can get valuable references through the passers-by applicants. Online recruitment helps the organisations to automate the recruitment process, save their time and costs on recruitments. Therefore, to conclude, it can be said that e-recruitment is the Evolving face of recruitment.

ADVANTAGES OF E-RECRUITMENT

Lower costs to the organisation. Also, posting jobs online is cheaper than advertising in the newspapers.

No intermediaries. Reduction in the time for recruitment. Facilitates the recruitment of right type of people with the required skills. Improved efficiency of recruitment process. Gives a 24X7 access to an online collection of resumes.

Online recruitment helps the organisations to weed out the unqualified candidates in an automated way.

Recruitment websites also provide valuable data and information regarding the compensation offered by the competitors etc. which helps the HR managers to take various HR decisions like promotions, salary trends in industry etc.

DISADVANTAGES OF E-RECRUITMENT
Apart from the various benefits, e-recruitment has its own share of shortcomings and disadvantages. Some of them are:

Screening and checking the skill mapping and authenticity of million of resumes is a problem and time consuming exercise for organisations.

There is low internet penetration and no access and lack of awareness of internet in many locations across India.

Organisations cannot be dependant solely and totally on the online recruitment methods. In India, the employers and the employees still prefer a face-to-face interaction rather than sending e-mails.

NOVEL RECRUITMENT PRACTICES

The changes in the recruitment landscape have brought in many a new ways and methods of recruitment and other allied practices. They have optimized the utilization of available resources with the employers and the employees. This, in turn, has also enabled local companies going global and vice versa. Few novel practices in corporate recruitment are as follows:

POACHING / RAIDING
Buying talent (rather than developing it) is the latest mantra being followed by the organisations today. Poaching means employing a competent and experienced person already working with another reputed company in the same or different industry; the organisation might be a competitor in the industry. 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. But it is seen as an unethical practice and not openly talked about.

EMPLOYER BRANDING
Nothing is hotter around the globe in recruiting than employer branding i.e. to create brand equity in the eyes of the potential employees. Firms throughout Asia, in particular, are increasingly adopting employer branding as a wildly important activity for 2009. The success of Google, a firm that has built the worlds strongest employer brand over an amazing five-year period, has led others to focus on this impactful long-term strategy. Key focus areas include increasing media coverage, increasing visibility online, building your green brand, and countering your negative employer brand.

RECRUITMENT PROCESS OUTSOURCING

Another upcoming trend in recruitment industry is Recruitment Process Outsourcing (RPO). This enables the client company to actually outsource the entire gamut of recruitment to the consultancies. This will include the following activities starting from searching candidates through the job portals, job postings, inbuilt database, etc. to joining formalities, induction and training. The RPO is the form of Business Process Outsourcing (BPO) where the client or the employer transfers all or part of its recruitment activities and functions to an external serviceproviders or to third party specialists, not only to save on cost and involvement, but also for making a specialized job being handled by an expert.

BOOMERANG RECRUITMENT
In todays scenario, one of the most cost-effective and successful recruitment strategies is boomerang recruitment. Boomerangs, rehires and returnees are the terms coined to recognize top performing corporate alumni who are brought back into the organisation with a definite objective, or who return on their own after being away from the organisation for sometime. In the view of the consequent attrition that is often a major setback to a company on various fronts, the practice of rehiring former employees is fast catching on to recall exceptional talent, especially when the organisation face a severe shortage of trained, skilled personnel. Companies prefer to rehire former employees rather than settle for inefficient new recruits. They are in fact initiating proactive steps to encourage them to come back into the organisation.

REINVIGORATING REFERRAL PROGRAMS

Despite the growth of career-related internet sites, the highest volume and quality candidates still come from well-designed employee referral programs. While heavy adoption was initially hampered by cultural issues around the world, today such programs are proving highly effective everywhere. Key focus areas include proactively approaching key employees for referrals (program targeting), leverage non-employee referrals, making reward systems more comprehensive, immediate, and visible, and last but not least, helping employees leverage social media to restore relationships, make new relationships, and build stronger relationships.

ONLINE ASSESSMENT TOOLS

Online tests are becoming increasingly popular where candidates are asked to answer the questions either on paper or using a PC or palm-top. The advantage of online testing is that once the test is completed, an analysis of the results can be calculated straight away. This means that the organisation can continue with the selection process with the results in hand rather than keeping the candidates waiting or send them home and call them back on a later date. Another advantage is that candidates can take the test at a recruitment agency or even in their own home. Online testing is particularly suitable for initial screening as it is very cost-effective.

THE JIT PHILOSOPHY

Companies in sectors like BPOs, financial services and retail firms are troubled with the problems of rising employee attrition. Such companies have been opting for Just in Time (JIT) service. The JIT Philosophy is built on the principle that a consumers demand has to be met with minimum delays, which works well for a human supply chain, too. Some employees quit companies after training even before earning anything for the company. In such situations, JIT comes handy by ensuring that their new recruits become productive from Day One. In the case of JIT, the ROI for all parties involved is ensured. Firstly, for companies, the total cost of ownership per employee will drop. Secondly, the new recruits are assured of both the job and the training in the firm without paying any fee. Thirdly, the recruitment and training companies can charge a premium

from hiring companies for sourcing the required candidates. Thus, the model ensures that employees become billable from day one.

VISUME
Second only to employee referrals, the most impactful tool for effectively demonstrating the excitement and passion at a firm is online video. Today, video resume, popularly known as visume, the potent combination of the internet and video, has imparted a digital form to the resumes. It is short video developed by the candidate showcasing his skills and experience for a job position, which is then uploaded on suitable job portals for prospective employers to view. If a picture is worth a thousand words, then moving pictures demonstrating what its like to work at your firm would have to be priceless. Video resumes have opened the gateway for a revolutionized concept in the field of online recruitment. They are fast proving to be a handy tool for prospective candidates for marketing themselves faster and better.

UTILIZING SOCIAL NETWORKS

Few firms have found productive ways to truly leverage social media sites. However, as new approaches are developed that more accurately align with the paradigm of social media audiences, recruiting on social networks will become more mainstream. Focus areas include encouraging your employees to be more visible online and using networks to identify innovators. Key networking sites include Facebook, MySpace, Friendster and LinkedIn.

USING MOBILE - PHONE RECRUITING

As mobile phones with amazing features spread throughout the population, recruiting managers are beginning to realize that they can be a powerful recruiting media. Key focus areas include text messaging, mobile video, and mobile-accessible corporate career sites.

USING EMPLOYEE BLOGS FOR RECRUITING

A practice that is finally beginning to enter the mainstream is employee blogging to support recruiting efforts. The very best firms use blogs not just to spread their message but also to answer questions and to make their company appear more real and approachable.

REVITALIZING CORPORATE JOBS PAGE

Recruiting managers are beginning to understand that pitifully dull and dated websites drive away innovators. Focus areas include providing personalized information to the visitor, flash video integration, blogs, podcasts, and virtual Q&As.

RECRUITING GLOBALLY
Recruiting managers are beginning to learn how to differentiate multi-national recruiting from true global recruiting. Key focus areas include global sourcing, globalized websites, and globalized employer referral programs.

CHAPTER - IV RECRUITMENT AND SLECTION PROCESS OF MARG LIMITED

RECRUITMENT AND SLECTION PROCESS OF MARG LTD.

Budgeting Approval by CMD, Business Head and HR Head Preparation of Job Description Allocate Sources of Recruitment Initial Screening of CVs Calling and Scheduling Preparation of Interview Schedule Conducting Interviews Approval by HR Head and Business Head Issue of LOI to selected candidate Rejected

Internal Sources Transfer In-house Division Referrals External Sources Job Portal Referrals Walk-in Interviews

Accepted

Offer to next candidate

Joining formalities and issue of Appointment Letter

Induction Placement

Follow-up

1. Budgeting The process begins with assessing the manpower requirement as per the projects. This is done by the Technical Department which maintains a Green Book for the same. The details of the budgeting are then sent to the HR Department. 2. Approval by CMD, Business Head and HR Head The HR Department sends this detail to CMD for approval. The approval is then sent to the Business Head who forwards it to the HR Head. The HR Head then sends the details of manpower requirement to the Recruitment Department to further carry out the process. 3. Preparation of Job Description The next step is the preparation of Job Descriptions by the Departmental Head of the vacant positions. Job Description is a written record of the duties, responsibilities and requirements of a particular job. It is concerned with the job itself and not with work. 4. Allocate Sources of Recruitment Description The Recruitment Department then decides upon the appropriate source of recruitment to fill the vacant position. There are two types of recruitments: Commercial Recruitment and Technical Recruitment. The sources of recruitment used by MARG LIMITED are as follows:

Internal Sources: In-House Division, Transfers and Referrals. External Sources: Job Portals, Referrals and Walk-in Interviews. 5. Initial Screening of CVs Various applications/CVs received are then screened out by the Recruitment Department eliminating those who dont meet the basic qualifications required for the job. The list of the

qualified candidates is sent to department related to the position to be filled who further shortlist them as per their requirements.

6. Calling and Scheduling The shortlisted candidates are then called up to confirm if they will be coming for interview and to check the basic parameters provided in the CVs by the candidates. Also they are told about the date and time for interview along with the required documents for interview. Date and time decided is put on the CVs. Documents to be carried are: Updated CV 1 latest photograph Testimonials (both original and photocopied) Last/Current companys information and letter Last salary slip ID Proof Address Proof 7. Preparation of Interview Schedule An Interview Schedule is prepared in Excel which includes the following items: Candidates name, Residence, Work experience, Current Company, Designation, CTC, Expected Salary, Source of recruitment, Interview Date, Interview Time, Remarks. This Interview Schedule is sent to the Recruitment Department (technical/commercial) and to the HR Head. One day before the interview date, a reminder call is given to the candidates. In MARG LIMITED, interviews are generally held on Fridays.

8. Conducting Interviews On the day of the interview, the candidates are required to fill an Employment Form. There are two types of Employment Forms: (a) for the designations below managers, and (b) for designations of managers and above. Filled Employment Form attached with self attested documents is sent to the Recruitment Department for verification. After verification, interviews are held. Minimum 3 rounds of interviews are conducted. The candidates are marked against different parameters on the Interview Evaluation/Assessment Sheet along with the final remarks to differentiate between the shortlisted and not-suitable candidates.

9. Approval by HR Head and Business Head Interview Assessment Sheet, Employment Form, CV and all other documents (in the same order) of the shortlisted candidates are then sent to HR Head and Business Head for their approval. In case of post for manager or above, Chairmans approval is also required. Some interviews are conducted on construction sites itself. In such a case, all requisite documents and the joining report are sent to the HR Department, Head Office. 10. Issue of LOI to selected candidate Preparation of Letter of Intent (LOI) or Offer Letter is the next step. LOI is generated by ERP. Two copies of LOI signed by the HR Head are made. One is given to the candidate and another is sent for CMD record. In case, the selected candidate is not available, LOI is mailed to him or a call is given to him. Also, the candidate is also told about the policies of the company, bachelors accommodation, additional HRA (if with family), conveyance, food facilities, etc. There is a separate MIS for LOI with the following contents: Candidates name

 Post and Department selected for Joining Date Current/Previous Employer Residence Contact Remarks 11. Joining formalities and issue of Appointment Letter If the job offer is rejected by the selected candidate, the job is offered to the next most suitable applicant. Acceptance of job offer by the candidate is followed by the joining formalities. For fulfilling the joining formalities, the employee is required to fill a Joining Form containing personal details, gratuity fund nominees, Form 2 (for deducting PF) and Form 11 (for not deducting PF), etc. The appointment letter is also given on the same day. All the requisite documents are then verified which includes: Mark Sheets, Experience Certificates, last salary slip, leaving letter from the last organisation, ID proof, address proof, etc. 12. Induction The next step is to carry out an effective induction program. Induction is a systematic & planned introduction of employees to their jobs, co-workers and the organisation. Organisational Manual is also given to them containing information about Marg Group, its HR policies, on-going projects and the Organisational Structure of the related division. If any person joins in Head Office (HO), a welcome note is issued to him followed by introduction with the Departmental Head; issue of ID card; opening bank account and e-mail id, sitting arrangements, etc. Candidates are required to fill a feedback form to check the usefulness of the induction program and its benefits for the employees. 13. Placement

After the process of induction is over, the employee is placed to the actual work area (site/department) where he is supposed to work. It is HR Departments responsibility to put him
in the right job, to achieve the optimum output for any organisation.

14. Follow-up Once an employee is placed, follow up is done to ensure the selection of right man for right job.

PROCEEDINGS FOR TRANSFER

HR Department sends their MIS of budgeting to different sites. Sites with surplus manpower send detail of their excess manpower to the HR Department. Then, the HR Department talks to the Site Incharge and the Project Coordinator of that site for confirmation. The Site Incharge is required to e-mail the information of their surplus staff to the HR Department on the basis of which a Transfer Approval is issued by the HR Department (Approval of ED is required). HR Department then generates a Transfer Letter. Transfer Letter is kept in the personal file of the employee, and also a copy is send to the Business Head, HR Head and project coordinators of both (current and new) sites. Next comes Handing-over and Taking-over from the previous site to get a Clearance Copy for working on the new site. The copy of clearance is submitted to the Departmental Head and HR Department for records.

FOLLOW UP OF TRANSFERS
Follow up is required to check if the employee has reported on the new site or not. There is a separate MIS for Follow Up. It contains:

 Employee Code Name Designation Date of Transfer Reporting Date Previous Site New Site Contact Remarks In Follow-up, there are three possible outcomes: 1. The employee transferred reports on the new site on time and performs his tasks as required.
2. The employee transferred doesnt report to the new site and the reason being that he is not

discharged from the previous site. In such a case, previous site is called up for confirmation. 3. The employee transferred is discharged from the previous site but doesnt report to the new site. In such a case, the employee is called up. If it is not possible to contact the employee; an Absenting Letter is mailed to both the sites regarding transfer but not reporting, his salary is hold, and an Absenting Letter is send on his permanent address through a registry. Two such letters are sent and even then if the employee doesnt report, legal procedure is carried out and accordingly, status in MIS is updated.

PROCEEDINGS FOR IN-HOUSE DIVISION

The process of recruitment through In-house Division is same as that of Transfer. The only difference between the two is that Transfer takes place from one site to another within the same division and in case of In-house Division it is from one division to another.

CHAPTER - V DATA ANALYSIS

DATA ANALYSIS
1. Which type of recruitment need your organization have?

120 100

Percentag e

80 60 40 20 0

Planned

Anticipated R ecruitm Need ent

Unplanned

INTERPRETATION

100% of the respondents are of the opinion that Marg Limited has planned need for recruitment arising from changes in organizational policies. 2. What are the sources of recruitment that you use?

INTERNAL SOURCES

Promotions Transfers Referrals

EXTERNAL SOURCES

Newspaper Advertisements Campus Recruitment Job Portal Walk-in Interviews

INTERPRETATION Sources of recruitment that Marg Limited uses:

Internal Sources Transfers, Referrals and Promotions. External Sources Newspaper Advertisements, Campus Recruitment, Job Portal and Walk-in Interviews.

3. Do you think that recent trends of Recruitment and Selection have

influenced the process of Marg Ltd?

Yes No

INTERPRETATION 100% responses agree that the Recruitment and Selection Process of Marg Limited has been greatly influenced by the recent trends in the hiring process.

4. What are the recent trends of recruitment that your organization is using?

120 100

Percentag e

80 60 40 20 0 Outsourcing Job Portal Poaching/Raiding Online Recruitment

R ecent Trends

INTERPRETATION 100% replied that among the various recent trends, Marg Limited uses only Job Portal (Naukri.com) for recruiting.

5. Which source of recruitment provides the most stable and the least stable manpower?

Commercial Recruitment

Job Portals

Referrals

Technical Recruitment

Direct/walk-in Interviews

Referrals

More Stable Least Stable INTERPRETATION For commercial recruitment, Job Portals provides the most stable manpower whereas Referrals provides the least stable ones. On the other hand, for technical recruitment, Referrals provides the most stable manpower whereas direct/walk-in interviews provide the least stable ones.

6. How do you find the recruitment and selection policy of your organization?

INTERPRETATION 75% feels that the Recruitment and Selection Policy of Marg Limited is flexible whereas 25% feels that it is rigid.

7. What is the basis of initial screening?

Basis for Initial Screening

Qualifications Work-Experience Related Background

INTERPRETATION Qualifications, Work-Experience and related background are the parameters for initial screening in Marg Limited. 8. How do you manage the outstation candidates for interviews?
60 50

Percentag e

40 30 20 10 0

Send mail Telephonic and call them Interview

Both

Others

INTERPRETATION 50% says that a mail is send to the outstation candidates calling them for interviews and 50% says that both mail is sent as well as telephonic interviews are conducted for them.

9. Do you prioritize the outstation candidates while conducting interviews?

Yes No

INTERPRETATION 100% replied that the outstation candidates are interviewed first. 10. Rank these skills based upon their preferences that you give while making

selection.
Skills Behavioral Skills Communication Skills Technical Skills Personality INTERPRETATION For managers and above positions, Technical Skills is initially looked for followed by Personality, Communication Skills and Behavioral Skills. For below manager positions, Technical Skills is initially looked for followed by Behavioral Skills, Communication Skills and Personality. For Managers & above
4 3 1 2

For Below Managers

2 3 1 4

11. When do you inform the candidates regarding their selection or rejection?
80 70 60

Percentag e

50 40 30 20 10 0

Immediately

After 2 days

Call only selected candidates

INTERPRETATION 75% says that an immediate feedback is provided while 25% says that only those who got selected are called up and informed. 12. Does your selection process include Medical Fitness Test?

Yes No

INTERPRETATION 100% says that the Selection Process of Marg Limited does not include a medical fitness test.

13. Do you consider those who were not selected for future requirements?
80 70

Percentag e

60 50 40 30 20 10 0 Yes No

INTERPRETATION 75% says that the candidates not selected are not considered for future requirements while 25% says that those candidates are considered. 14. Whose feedback is considered for improving the recruitment and selection

process of Marg Limited?

HR Head Interviewers Candidates

INTERPRETATION To improve the Recruitment and Selection Policy of Marg Limited, the HR Heads, the interviewers and the candidates feedback is considered.

15. How do you rate the recruitment and selection process of Marg Ltd.?
80 70

Percentag e

60 50 40 30 20 10 0

Excellent

Good

Average

Below Average

Poor

INTERPRETATION 75% rate the Recruitment and Selection Policy of Marg Limited as good and according to 25%, it is average.

16.What all problems do you face while recruiting?

Problems

Non existence of technical interviewers Lack of proper space Incomplete documents Limited budget

INTERPRETATION The problems that the recruiters in Marg Limited face during the hiring process are - non existence of technical interviewers, lack of proper space, incomplete documents filled by candidates and limited budget.

CHAPTER - VI FINDINGS

FINDINGS
Marg Limited has planned need for recruitment i.e. manpower requirement is Sources of recruitment that MARG LIMITED uses are:

estimated in context to future plans.

o o

Internal Sources Transfers, Referrals and Promotions. External Sources Newspaper advertisements, Campus Recruitment, Job Portal and Walk-in Interviews.

Recruitment and Selection Process of MARG LTD has been greatly influenced by

the novel recruitment practices inspite of the fact that it uses only Job Portal (Naukri.com) from the recent trends of corporate recruiting. This is so because major recruitment is done through this channel.

The Selection Process of MARG LIMITED does not include a medical fitness test

reason being that the organisation is into mass recruitment and testing each and every candidate is not considered feasible by the management.

All from the Recruitment Department do not agree that the Recruitment and

Selection Policy of MARG LIMITED is flexible.

To improve the Recruitment and Selection Policy of MARG LIMITED, the HR

Heads, the interviewers and the candidates feedback is considered but the policy is reviewed as and when required rather than being done on regular basis.

The problems that the recruiters in MARG LIMITED face during the hiring

process are:

Non availability of technical interviewers Lack of proper space Incomplete documents filled by candidates Limited budget The Recruitment and Selection Policy of MARG LIMITED is considered to be

good but there is a scope for improvement.

CHAPTER VII CONCLUSION AND RECOMMENDATIONS

CONCLUSION
Recruitment and Selection process as an HR function has assumed critical importance in todays business scenario. For an HR executive, it is like a treadmill, as the constant supply of intellectual capital has to be ensured to retain the competitive advantage for the company. It is a complex process in the sense that one has to be very careful in distinguishing between eligibility and suitability for a job. A candidate may satisfy the conditions of the former but it is the latter that the recruiter has to look deeper into, to get a 100% fit for the required job.

It is important to have a well-defined recruitment and selection policy in place, which can be executed effectively to get the best fits for the vacant positions. Recruitment and Selection process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and picking the most suitable candidate who would best meet the requirements of the job and the organisation, decision making, conveying the decision and the appointment formalities.

Shortage of and frequent job hopping by talented and skilled employees are forcing HR department to come up with innovative methods of finding the so-called right fit. Even the conventional advertisements are getting catchier and fancier by the day. Outsourcing, online assessment, poaching/raiding, video resumes, boomerang recruitment etc., are some of the methods being adopted. By and large, job portals and online recruitment methods appear to have become very popular with almost 80% employers taking them up. They are also proving highly cost-effective. Next in the line are the greater use of internal recruitment and incentive-based employee referral method. One major change in the conventional HR set-up of an organisation is the establishment of a dedicated recruitment team on round-the-year and full-time basis, which augurs well for both the company and the HR department. With the rise in demand in talent, there is a surge of search firms which adopt a highly professional and process-driven approach to identify a suitable candidate.

Marg Limited is a fully integrated infrastructure company participating in Indias core

infrastructure and construction sectors. A clear and concise recruitment policy helps ensure

a sound recruitment process. The organisation does not have a well defined policy for

recruitment and selection. Also the hiring process is considered to be good but needs to be modified in order to produce better workforce.

RECOMMENDATIONS
Though the Recruitment and selection procedure at MARG LIMITED is satisfying but still the following suggestions can be made use of, to make it better.
The organisation lacks in proper arrangements for interviews. Therefore it needs to focus on

the following:

Proper sitting arrangements for the candidates appearing for interviews. A separate room should be made available for them to avoid any kind of disturbance in the routine work.

A panel of interviewers needs to be formed.

Telephonic Interviews should not be conducted wherever possible especially in case of

outstation candidates to save time and money and efforts of the interviewers. Only those people willing to take a serious move should be asked to come for an interview.
Selection process should include a written test, which should be objective and should cover

concerned subject knowledge as well as psycho-analysis and personality test. This will help in shortlisting the suitable candidates for interview and thus save time and efforts of the interviewers.
Co. should also give a chance to freshers i.e. the budding talent without experience. They can

also prove to be assets for the co. if a proper candidate is selected. Medical tests should be included in the selection process. Though it is not feasible, in terms of time and money, to test each and every candidate who appears for an interview but those who are selected must undergo a medical fitness test before fulfilling the joining formalities.
The Recruitment and Selection Policy of MARG LIMITED is reviewed as per the

requirements but with the change in the trends it must review its policies atleast every 6 months.
Since the not selected candidates are not considered for future requirements, resumes which

are more than 6 months old should be destroyed or send for recycling.

 Outsourcing saves a lot of resources and time of the organisation by initially screening the

candidates according to the needs of the organisation and creating a suitable pool of talent for the final selection by the organisation. Since the organisation is into mass recruitment, outsourcing can prove to be beneficial for the organisation.

ANNEXURE

INTERVIEW SCHEDULE
(The details provided in the questionnaire will be kept confidential) Name : Designation (with depart.): 1. Which type of recruitment need your organisation have? Planned Internal Sources Transfers Referrals External Sources Newspaper Advertisements Campus Recruitment of MARG LIMITED? Yes Outsourcing Job Portals manpower. No Poaching/Raiding Online Recruitment 4. What are the recent trends of recruitment that your organisation is using? Private Agencies Others (please specify) ___________ Promotions Retrenched Manpower Anticipated Unexpected 2. What are the sources of recruitment that you use?

Others (please specify) _________________________________________

3. Do you think that recent trends of Recruitment and Selection have influenced the process

5. List the sources of recruitment providing most stable manpower and least stable

_________________________________________________________________ _________________________________________________________________ 6. How do you find the recruitment and selection policy of your organisation? Rigid Qualifications Reference Flexible Work Experience Skills Knowledge 7. What is the basis of initial screening? Others (please specify) ____________________________

8. How do you manage outstation candidates for interviews? Send mail and call them Telephonic Interviews Both Others (please specify) _______________________________________ 9. Do you prioritize the outstation candidates while conducting interviews? Yes No For Managers & above Behavioural Skills Communication Skills Technical Skills Personality 11. When do you inform the candidates regarding their selection or rejection? Immediately After 2 days Call only selected candidates 12. Does your selection process include a Medical Fitness Test? Yes If no, why? __________________________________________________________________ 13. Do you consider those who were not selected for future requirements? Yes MARG LIMITED? __________________________________________________________________ 15. How do you rate the recruitment and selection process of MARG LIMITED? No 14. Whose feedback is considered for improving the recruitment and selection process of No For Below Managers 10. Rank these skills based upon their preferences that you give while making selection.

Excellent

Good

Average

Below Average

Poor

16. What all problems do you face while recruiting? __________________________________________________________________ Suggestions for improvement __________________________________________________________________ __________________________________________________________________ __________________________________________________________________

BIBLIOGRAPHY

BIBLIOGRAPHY
WEBSITES
www.marggroup.com www.corporateinformation.com www.google.com www.bseindia.com www.moneycontrol.com www.valuenotes.com

BOOKS
V. S. P. Rao, Human Resource Management, Second Edition, 2005. Excel Books, New Delhi. C.B. Mamoria and S.V. Gankar, Human Resource Management, Second Revised Edition, 2003. Himalaya Publishing House, Mumbai. K. Aswathappa, Human Resource & Personnel Management, Third Edition, 2002. Tata McGraw-Hill publishing Company Limited, Noida. D K Bhattacharyya, Research Methodology, First Edition, 2003. Excel Books, New Delhi.

MAGAZINES & JOURNALS

 Recruitment Dynamics, HRM Review, Vol. VIII, November 2008, The Icfai University Press, Hyderabad. Boomerang Recruitment, HRM Review, Vol. VIII, November 2008, The Icfai University Press, Hyderabad. Recruitment - Emerging Trends, HRM Review, Vol. VIII, November 2008, The Icfai University Press, Hyderabad.