Abstract

The paper has made an attempt to explain what tourism is and tourism related
(accommodation) hotel industry. The paper traces the origin and development of tourism
and hotel industry in the state of Goa along with significance and evil effects. The article
studies the growth of domestic and foreign tourist arrivals in Goa during the period 2012 to
2019. It is observed that the arrival of domestic tourist and foreign tourist in Goa is
showing an increasing trend. Similarly the hotels, rooms and beds are also showing a
healthy growth. The tourist arrivals in Goa show annual compound growth rate of 6.78%,
where as the hotels show a compound growth rate of 4.07%.

The speedy rise in the growth of Candolim city has generated challenges of retaining
talent in the hotel industry; this has generated a great demand for skilled and talented
employees. The main worry for the hotel industry is to attract and retain their talented
bunch of employees. The HR department is making efforts towards preserving and
channelizing these employees at a very early stage of their career with the organization.
This is benefiting the organization in better customer satisfaction, good business and
branding. Therefore, it is a need of an hour for every hotel to identify this talented bunch of
employees and preserve them for the betterment of the organization. An early identification
of the talented bunch of employees will enable an organization to preserve them for a
longer time by implementing efficient talent retention practices. Thus the basic objective of
this study is to analyze the HR practices pertaining to talent management adopted in the
hotels and measuring its impact on employee retention. This study is in a category of
descriptive research and has studied various existing HR practices pertaining to Talent
management followed in the hotels of Candolim city which includes surveys, fact finding
enquiries of different kinds etc
 Chapter-01
Introduction of Goa Hotel Industry
and
Country INN & Suites By Radisson
 INTRODUCTION

Introduction of Hotel Industry in Goa:

Since the earliest times man has traveled in search of food, shelter and for satisfaction of
his requirements. Travel has been a decisive factor in the economic, social, cultural,
spiritual and artistic development of society. The first nomad who wondered with his
movable dwellings in search of food and shelter from one place to another must have been
stuck by variations in ecology. So there was gradual shift from unintended pleasure out of
travel to traveling exclusively for pleasure. Tourist is a population, which normally travels
to predetermined destinations for whatever purpose, consumes tourism products while
traveling and returns home after a short period Tourism became a major industry, only
after the world war-II. It is now recognized as an activity generating a number of social and
economic benefits. It also creates employment opportunities. Besides promoting national
and international understanding, it helps the international economy and raises the living
standards of the people with comparatively less investment, unlike many other capital
incentive industries. Tourism today represents around 6% of the global trade and almost
13% of the global consumer spending

Globalization has changed the entire face of the world by getting the population more close
to each other. Every country, state and city is developing and getting closer in the current
situation, as there are a lot of people found from all parts of the world at a particular
location. There is a rapid change observed in all the sectors like Tourism and Hospitality,
Engineering, Information Technology etc. The hospitality industry has experienced a major
change in the recent times where there are a lot of national and international players in the
market. The Indian hotel industry has drastically grown in the recent times because of the
international brands entering in the hospitality market.

1.1 Tourism Related [ Accommodation] Hotel Industry

The word ‘Accommodation’ has its origin in the Greek word Xenia; by which the, ancient
Greek meant not only hospitality but also all forms of protection given to visiting strangers,
philosophers, intellectuals, and researchers. The guests then were invited to stay in the
dwellings of noble man. As traveling become more frequent accommodation for travelers
came to be viewed in two different ways. The travelers who left their comfortable homes
required equally comfortable accommodation during touring, ‘inns’ were introduced,
where travelers were offered food and shelter with add on comforts. Payment for
accommodation being used began to be charged from 15th century onwards. The
institution of inns came to be developed in several countries in Europe particularly in
England and France. The English House of Commons declared the inn to be a public house
and proposed social responsibility on the innkeepers for the well being of the travelers. In
the USA, Samuel Coles started another form of accommodation in 1934 called the tavern
where people used to come for food, drinking and entertainment.

1.2 Significance Of The Study

The expansion of tourism will inherently bring about development of tourist

accommodation facilities. In tourism, accommodation sector solely represents one of the
fundamental pillars, the other being travel and amusement Today, a number of factors are
coming into a proper focus and it is becoming increasingly evident that what once has
been considered as a separate hotel industry is now an integral part of the larger tourism
industry, because ‘no hotels no tourism’. The hotel industry is so closely linked with the
tourism industry that it is responsible for 50% of foreign exchange earnings. The tourism
industry plays an important role in the development of a region. It becomes significant to
study the growth of tourist arrivals in particular and hotels in general as they are required
for effective tourism planning. By understanding the growth of tourist arrivals and hotels
the government, entrepreneurs and investors can plan their activities more effetely.
Keeping the growing importance of tourist arrivals and hotel industry for growth of
tourism industry the following objectives are laid down.

1.3 Objectives

1.3.1 To study the growth of tourist arrivals in Goa

1.3.2 To study the growth of hotels in Goa.

1.4 Sources Of Data

The study is based on the secondary data which is collected and compiled from various
statistical Bulletins from Directorate of Tourism, Government of Goa.

II. GOA

India became Independent in the year 1947, but the tiny State of Goa joined the national
mainstream only a decade and half later. Known as the seat of intellect and enterprise, Goa
enjoys a unique combination of nature's endowments. Goa, liberated along with Daman &
Diu from the Portuguese rule on December 19, 1961, became a full-fledged State on 30th
May, 1987. The State of Goa has an area of 3,702 sq. kms, is divided for administrative
purposes into two districts, North Goa and South Goa, with effect from 15th August 1987,
with their Headquarters at Panaji and Margao, respectively. The State is bound on the
North by Maharashtra, on the East and South by Karanataka and the West by the Arabian
Sea. Goa has a population of 13.48 lakhs as per 2001 Census. Goa receives rains from the
South-West monsoons between the months of June and September. The average rainfall is
3200 mm. temperate weather prevails during the rest of the year with little or no clear cut
demarcation between what is generally termed as winter and summer. The range of
temperature varies from 15.7°C to 35.6°C. The State is intersected by an extensive network
of waterways. The most important rivers are Mandovi, Zuari, Tiracol, Chapora, Sal and
Talpona. All these rivers have their origin in the Sahyadri ranges and flow westward into
the Arabian Sea. They serve as inland waterways, being navigable in the lower and mostly
tidal reaches. Lakes constitute a scenic feature of Goa. The most popular among them are
Mayem Lake and Carambolim, the former being today a picturesque tourist resort. Framed
in legend as the land created by Lord Parashuram and, in history, as Golden Goa coveted
by princes and potentates down the centuries since Vedic times, through successive rules of
Rastrakutas, Silaharas, Chalukyas, the Bahamani Muslim Kings and 451 years long
Portuguese domination, Goa is today known nationally and internationally as a most
preferred tourist destination. Goa, apart from its historicity, is also renowned for its scenic
beauty. Indeed, it is a tiny paradise with some of the loveliest beaches of the world girdling
its 105 kms, long palm-fringed coast, interspersed with enchanting coves and estuaries
against a backdrop of green hills covered with lovely woods, rolling down to emerald
paddy fields, cool and shady coconut palms, cashew and mango groves dotted with tiny
picturesque villages, towns, temples, churches, mosques, forts and monuments which offer
a fantastic panoramic kaleidoscope of unrivaled beauty. Lavishly gifted by nature, Goa can
also boast of unique and distinctive creations of human imagination and talent - from
dainty handicrafts to majestic cathedrals, charming baroque villas, nestling amidst gardens
to grim forts, the silent eloquent witnesses of an embattled past. The rich heritage of Goa is
expressed in the traditional folk music, dance, drama and literature, colorful festivals,
pageants and feasts besides the superb specimen of temple architecture like Mangeshi,
Shantadurga, Tambdi Surla, Basilica of Bom Jesus and Se Cathedral, otherwise no less
renowned as centers of worship and pilgrimage for devotees flocking there round the year.

2.1 Tourism In Goa

Although Goa joined the national mainstream only after 14 years of the country's
Independence, it started attracting tourists straightway. With the creation of basic infra-
structural facilities like roads, electricity, water supply, accommodation facilities, etc., after
its liberation from the Portuguese Rule, low and middle income group tourists who
constitute the bulk of domestic tourist traffic, started descending onto Goa in organized
groups. The harmonious blend of east and west attracts both the Indian and foreign
travelers into Goa. Today it is one of the few tourist attractions where even middle and
lower middle class people can enjoy a comfortable vacation.1 The Portuguese legacy of an
annual carnival, along with different dress codes for women, for instance, were viewed by
non-Goan Indians as a mark of westernization. The presence of a significant number of
Western Hippies in the State from the mid-1960's onwards further enhanced this image of
Goa as being different from the rest of India, especially since the behavior and life-styles of
the hippies were so widely at odds with the values and mores of the indigenous society.
The growing number of western women tourist sunbathing topless and forming casual
sexual relationship with local men further sexualized Goa, reinforcing the general
stereotype image the non-Goan Indians held of Goa as a Westernized and liberal State.

2.2 Evil Effects Of Tourism In Goa

Tourism is not an unmixed blessing. If we turn the coin, the ill consequences of tourism on
the society are brought to light like ecological and environmental degradation,
commercialization of culture, over-exploitation of community resources, and destruction of
livelihood of the local populace. Social tensions mount from unplanned tourism growth.
Flora and fauna may suffer degradation if overexposed by tourist population. Nudism, drug
abuse, flesh trade, etc., are some other maladies that tourism industry imports into the host
community. Goa is an example. This affects the local culture. Local traditions and festivals
are increasingly projected to the 5-Star customers. In the process, the traditional forms of
art, music, dance and festivals are slowly and surely giving away to twist the taste and tune
of 5-Star customers.

2.3 Future Of Tourism In Goa

Nature has been generous to Goa by giving it a tourist infrastructure which should be the
envy of many regions and with the experience of the last few decade, it should be possible
for the Government to plan this sector, consciously, methodically and carefully by ensuring
that its tourism policy harmonizes with its industrial policy and that the social costs of
developing this sector does not outweigh its benefits and that its contribution to the State’s
domestic product improves impressively over years. Experts have opined that high-volume,
high density mass tourism is not advisable for Goa, as this would accentuate the negative
features of tourism and will result in gross mismatch between economic benefits and social
costs. What Goa needs is a planned, controlled and well co-ordinated tourism policy.

2.4 Role Of Hotels For Tourism Promotion In Goa

By far, Goa is the most successful example of Indian planning in beach tourism, though the
Government’s role in tourism development in Goa in the early 1960s was minimal. The Taj
Group of Hotels took the initiative in building Fort Aguada Beach Resort in Goa, a single
complex of three hotels. Although Goa was known for its fantastic beaches and unique
Portuguese cultural ambience in the East, there were no good hotels on the beaches. The
Taj Resort was so good and beautiful that the late Prime Minister Mrs.Indira Gandhi
invited the Heads of Commonwealth States for a brief holiday in Goa in 1983. The
photographs of Prime Ministers and Presidents of several Commonwealth States enjoying a
beach holiday in Goa appeared all over the world, making Goa a popular destination for
foreign visitors. At first, there were no direct charter flights to Goa. Once the charter flights
were allowed, there was no stopping the development of other hotel chains like Welcome
Group, Oberoi, and Ramada Inn.

III. Growth Of Tourist Arrivals In Goa

3.1trend In Domestic Tourist Arrivals

The arrivals of domestic as well as foreign tourists are showing an increasing trend over
the years as shown in the following Table 1.1. The total numbers of domestic tourist
arrivals were 9,76,804 in the year 2000, the figure of domestic tourists increased to
19,65,343 in the year 2005. By the end of 2010, the domestic tourist arrivals in Goa
touched 22,01,752.

. By the end of 2012 Goa received a total of 23,37,499 domestic tourist. The domestic
tourist arrivals have shown an increase over the years, except in the year 2005and 2008.
The highest percentage increase as compared to the previous year is observed in the year
2003 with 30.17%. From the year 2000 onwards, the arrivals of domestic tourist are
showing an increasing trend.

3.2 Trend in Foreign Tourist Arrivals

The numbers of foreign tourist arrivals to Goa were 2,91,709 in the year 2000, which
increased to 3,36,803 in the year 2005. By the end of 2010, Goa received 4,41,053 foreign
tourists which subsequently increased to 4,50,530 at the end of 2012. The decline in
foreign tourist arrivals is seen in the year 2001, 2005 and 2008. The highest percentage
arrivals as compared to previous year is observed in the year 2010 with 17.10% and
followed by the year 2003 with 15.72%. 3.31trend In Total Tourist Arrivals Similarly,
the total tourist arrivals have also shown a more or less similar trend over the period. The
total tourist arrivals were 12,68,513 in the year 2000, which increased to 23,02,146 in the
year 2005. By the end of 2010, the total tourist arrivals in Goa were 26,42,805, which
further increased to 27,88,029 by the end of 2012.

Tourism Arrival Statistics

Year Domestic Foreign Total Percentage

2012 2337499 450530 2788029 4.38
2013 2629151 492322 3121473 11.96
2014 3544634 513592 4058226 30.01
2015 4756422 541480 5297902 30.55
2016 5650061 680683 6330744 19.5
2017 6895234 890459 7785693 22.98
 2018 7081559 933841 8015400 2.95

2019 (P)

Upto May
2019 2272002 447152 2719154 0

IV. Hotel Industry In Goa

The origin of hotels in Goa goes back to a few hundred years when ‘Brahmanis’ were
started near the famous temples of Mhalsa near Mardol, Shree Shantadurga in Kavale and
some other places like Margaon, Sanquelim and Pernem. The facilities at Brahmanis were
confined to the use only by a few people who probably came there for religious purposes.
During mid-18th century, the European concept of ‘Carnival’ was introduced in Goa and
was soon indigenized, attracting more and more people to the Carnival sites. This
temporary movement of people, although not ‘tourism’ in the strictest sense, of course,
gave rise to an ‘accommodation problem’, especially during the peak November-February
season, forcing many to sleep in the open after knocking on the doors of every hotel and
lodging houses, and others to go back home on the very day of their arrival. In the year
1918 the first hotel was established at Vasco-da-gama by Britishers called as Palace Hotel
to meet the growing requirement of sailors. This hotel was called as Hotel Palacio by the
Portugue1se. During the world war II there were only three Hotel Aliados in Goa one each
at Panjim, Mapusa and Margao.

Gradually, becoming conscious of the tourism potential of Goa, the establishing of hotels,
motels and restaurants became a profound economic activity in the region, bringing in
additional revenue for the government, increased incomes for the entrepreneurs, opening
new avenues of employment for highly skilled to unskilled workforce in the hotel industry
itself and also for those engaged in several tourism-related peripheral activities. In the
capital city of Panjim itself and the nearby areas like Dona Paula, San Pedro, Ribandar and
Betim, new hotels of all categories emerged. The Hotel Mandovi in Panjim is a land mark
and during Portuguese regime the only establishment of a standard in the whole of Goa.
Facing river Mandovi it was built in 1952 and opened its doors to the public in December
of that year on the occasion of the exposition of the relics of St Francis Xavier. High
church dignitaries, members of royal families, ambassadors and statesman from many
lands were its first guests.7 There has been an increase in the hotel and other type of
accommodation in Goa. Today, Goa offers not only luxury Star hotels, but also
inexpensive budget hotels, dormitories and paying guest accommodations.

4.1 GROWTH OF HOTEL INDUSTRY IN GOA

 Growth is the major objectives of any business undertaking, particularly firms belonging
to private sector. Every hoteliering firm in the industry, irrespective of its size, location,
and ownership, aspires to grow and expand. Hotel industry is not passive in nature to be
satisfied and feel happy about its present status, occupancy rates, profitability, but it is
dynamic in nature and aspires to have better growth rates. The hotels always plan to grow
and expand their business in terms of increase in profitability, increase in occupancy rates,
increase in market share, etc. Accommodation facilities are the essential components of
tourism products. Though these are attractions in themselves, their deficiency can deprive
the tourist of a visit to a particular tourist destination. Hence, there is a need for sufficient
number of hotels. In a random survey of tourists, it was observed that among the foreign
tourists, only a handful preferred to stay exclusively in 5-Star hotels, the remaining were
not choosey about the hotel’s Star rating but looked for good and comfortable
accommodation at a reasonable price. Among the domestic tourists, the preference of the
majority was for good accommodation with affordable price rather than luxury.9 The
growth of hotel industry can be quantified by taking different variables like volume of
investment, volume of production, occupancy rates, sales, employment, both direct and
indirect, etc. However, the growth pattern of hotel industry in Goa is analyzed in terms of
its capacity generation, which is represented by three different variables, namely, number
of hotels established, number of let table rooms, and number of beds available. The data of
these three variables are collected and compiled from the tourist statistics available with
the Department of Tourism, Government of Goa. The data is analyzed for the period from
1-4-2000 to 31-3-2012 to discern a general trend for a longer duration.

Total number of Hotels / Paying Guest House, Rooms and Beds as on 31.03.2019
(including Star Category and Heritage Hotels)

Category No. of Hotels No. of Rooms No. of Beds

(I) (II) (III) (IV)
A 84 9034 15189
B 252 10156 17467
C 715 11450 20495
D 2784 12508 20516
TOTAL 3835 43148 73667
No. of No. of
Hotels Rooms No. of Beds
63 5362 10,001

Total number of Heritage Hotels

No. of Hotels No. of Rooms No. of Bed
2 24 38

Details of Hotels / Guest House for the year

2019-20

Month New Registration Renewal Cancellation

Apr-19 34 121 9
May-19 3 295 1
Jun-19 20 335 1
Total 57 751 11
Total No. of Hotels as on June 2019 : 3881
Company Profile

Introduction of Hotel and Polices

ABOUT

 Radisson Hotel Group is one of the world's largest and most dynamic hotel groups
with eight distinctive hotel brands with more than 1,400 hotels in destinations
around the world.
 Our portfolio of hotel brands includes: Radisson Collection™, Radisson Blu®,
Radisson®, Radisson RED®, Park Plaza®, Park Inn® by Radisson, Country Inn &
Suites® by Radisson and prizeotel.

VISION

 Our long-term vision is to be one of the top three hotel companies in the world, and
the company of choice for guests, owners and investors, and talent. Whenever a
guest plans a trip, or an investor or owner is thinking of a partner, or whenever
someone is looking for a job in the hospitality industry, they will all think of
Radisson Hotel Group first.
 As global travel continues to grow, the world becomes a village and travel has the
power to create meaningful connections and mutual understanding between people
and communities.
Mottos and Standards of RADISSON hotels:
COUNTRY INN & SUITES BY RADISSON,GOA CANDOLIM

LOCATION

 Located in the heart of the Candolim Area

 Close to Baga & Calangute beaches

 38 km from the Dabolim International and Domestic airport of Goa

 15 Km from Panjim City

 55 Km from Margao Railway Station & 30 Km from Thivim Station

 In Close proximity to the shopping and leisure destinations of North Goa

 OWNER

Mr.Harish Navelkar

Managing Director
Organization Chart
ROOM TYPES:

Standard Rooms :- 24 226 Sq Ft

Superior Rooms :- 48 268 Sq Ft

Deluxe Rooms :- 48 268 Sq Ft

Suite Rooms :- 02 452 Sq Ft

Standard Rooms:

After a day spent sunbathing on Candolim Beach, return to a comfortable standard room
with air-conditioning. You can choose between a smoking room with one king bed or a
non-smoking room with two twin beds. Each room boasts soothing views of the garden and
of a heritage Portuguese mansion. Unwind on the private balcony, watch satellite channels
on the 32-inch LCD TV, or stay productive at the well-appointed work desk. You can call
home with international direct dialling before freshening up in the bathroom with a
glassed-in shower cubicle. Start your morning at our complimentary buffet breakfast, or
order room service 24 hours a day.
Deluxe Rooms:

Our Deluxe Room with one king or two twin beds is the perfect choice for celebrating a
special anniversary or splurging on a memorable work trip. Offering a private balcony with
views of the palm tree-lined pool, each room is equipped with a 32-inch TV for watching
your favourite shows and a spacious work desk from which to post photos of your
parasailing adventures. Smoking and non-smoking room options are available, and all
standard amenities are included.
Suite Rooms:

After an adventurous cruise down the Mandovi River, all the comforts of home and a plush
king bed await in your spacious and modern suite. In addition to a private balcony with
either a pool or a garden view, these rooms offer a separate living room with a 32-inch
LCD TV. Update your social media accounts and check emails from the work desk, or take
a time-out and luxuriate in the large bathroom, which features a soaking tub. This suite also
includes a separate powder room and a rollaway bed. Late check-out is available on
request, and all standard amenities are included.
Banquets:

Gerasol Banquet

Meeting Room:
Restaurants:

Mosic

Chill and Grill Bar & Restaurant:

Lobby Bar:
 Chapter- 2
Literature Survey
Review literature

Fombrun, Tichy, and Devanna (1984): expanded these premises and developed the
model of SHRM, which emphasizes a tight fit between the organizational strategy,
organizational structure and HR system. According to him, political, economic and cultural
forces are responsible for an organization‘s mission and strategy. This explains these
causal relations, which form the tight fit between strategy, organization structure and HR
policies and practices. On the basis of mission and strategy, the shape of organization is
structured, i.e., people are organized to carry out different tasks to achieve the
organization‘s mission. In a survey of human resource development practices conducted by
Rao, T.V. (1982) covering fifty three different industries in India, following facts were
observed. Seventeen organisations (32 percent) had a formally stated policy emphasises on
human resource development. The thirty one organisations (59 percent) did not have any
formally stated policy on human resource development but claimed to emphasise it. In five
organisations, there appeared to be no such emphasis on human resource development.
Secondly, Twentysix organisations (49 percent) stated that their personnel policies give
high importance to the continuous development of their employees. Another twenty one
organisations (40 percent) stated that there is some emphasis on human resource
development in their personnel policies. Four of the organisations surveyed didn‘t seem to
lay any emphasis on human resource development in their personnel policies. Two did not
respond. Thirdly and the most importantly, there was a separate human resource
development department in the organisations studied. This survey indicated a positive trend
of using open appraisal system, improving the training function, making up organisational
development activities and using employees counselling by an increasingly large number
of companies.

Barney (1991): pointed out that firms could develop strategic capability and for attaining
this, the strategic goal will be to create firms, which are more intelligent and flexible than
their competitors. The human resource management function has emerged as one which act
as differentiator among various firms.

Hendry and Pettigrew (1990): proposed that a number of internal factors such as the
organizational culture, structure (positioning of HR), leadership, level of technology
employed and business output directly contribute to forming the contents of HRM.

Snell and Dean (1992): agreed that Human Resource Practices were the primary means
by which firms invested in their employees. Human Resource Management has moved its
concern from domestic focus to multi-national focus, more escalating concern for issues
like ecological, health care, and illiteracy. They also demonstrated that Human Resource
Practices to be employee centric and need to be business centric as well.
Kochan and Dyer (1993); Walker (1993); and Cusworth and Franks (1993):
suggested that a firm should aim at developing various HR practices as complementary to
one another.

Mondy and Noe (1993): suggested that activities and practices of HRM can be classified
into six domains:

i. Planning and recruitment.

ii. Development and appraisal.
iii. Compensation and reward.
iv. Safety and health.
v. Labor relations.
vi. Human resource research.

Amba-Rao (1994): carried on a study to explore the HRM policies and practices in a
small group of firms and industries in the Indian context. Semi-structured interviews were
conducted with HRM executives and general managers in ten firms in the Hyderabad
metropolitan area in India, to examine their HRM practices. The specific HRM functions
considered under this study were: staffing, performance appraisal, compensation, training,
motivation and employee relations. In examining the strategies, several contingency factors
were also identified. These included the firm's internal and external contextual factors. The
internal factors were: (1) management style; (2) degree of centralization of HRM strategies
and their linkage with local subsidiary practices in the case of MNCs; and, (3) extent of
professionalization and formalization of the HRM department. The external contextual
factors were: (1) Government role; (2) labour market conditions; (3) organizational
information net work (4) market and technology; (5) unions (6) socio-political factors; (7)
industry, location or other firm specific factors. The study found that the HRM departments
had a visible role in policy and implementation. Further, all the managers had reported
involving line managers in implementing the HRM function.

Loveday (1994): in his doctoral thesis titled ―A Study of HRM with special reference to
recruitment, selection and training of managerial and non managerial staff in the Nigerian
Banks‖ stated that, ―The most important of all factors of production in business is the
human factor unlike the component part of a machine, the people who comprise a human
organism, are something more than just parts of that organisation. Flesh men and women
with sentiments, ambitions and needs of their own ranging are beyond the confines of the
organisation. The extent, to which these people serve the needs of the organisation
willingly, enthusiastically depends upon the extent to which the organisation serves their
needs as aspiring human beings.‖ He also added that, the HRM strategies include job
analysis, human resource planning and forecasting. Efficient HRM ensures that systematic
steps are used to recruit, select, train employees so as to show them the ladder by which
they can attain their desired goals

Huselid (1995): mentioned in one of his studies that the personnel selection, performance
appraisal incentive attitude assessment compensation, job design, grievance procedures,
information sharing, labor management participation recruitment efforts, employee
training, and promotion criteria are the major HRM practices which prevail in an
organisation.

Pfeffer (1998): in his study, mentioned about employment of the various HR practices
such as security, selective hiring of new personnel, self-managed teams, decentralization of
decision making as the basic principles of organizational design, extensive training,
comparatively high compensation contingent on organizational performance, reduced
status distinctions and barriers, including dress language, office arrangements, and wage
differences across levels, and extensive sharing of financial and performance information,
compensation practices throughout the organization, placement practices, training
practices, employee grievance procedure, performance evaluation practices, promotion
practices. All such practices are needed for growth of the organisations. He concluded that
having good HRM is likely to generate much loyalty, commitment or willingness to
expend extra effort for the organization‘s objectives.

Stone (1998): remarked that HRM is either part of the problem or part of the solution in
gaining the productive contribution of people. The above quotes suggest that organizations
need to effectively manage their human resources if they are to get the maximum
contribution from their employees.

Wright and Snell (1998): made an important observation that most of the Human
Resource Management Models consisted of ―fit‖ components, which included Human
Resource Management Practices, employee‘s skills and behaviour and flexibility. The
―fit‖ components focused towards responding to a variety of competitive needs required
for strategic and nonstrategic considerations. Kay (1999) also supported this by adding that
the Human Resource Strategy must be an integral to organization‘s strategic processes
contributing towards organization‘s overall performance. It was analyzed that the
organizations relationship with environment could be handled with the help of suitable
strategies.

Anantharaman and Zabid (1999): conducted a study on Human Resource Management

Practices: Perceived Organisational and Market Performance‘, in the Malaysian furniture
industry. The study found that managerial and non-managerial employees did not differ in
perceived organisational performance; the managers perceived higher market performance
unlike the non-managerial staff. The result of the t-test indicated that the two groups didn‘t
differ in perception of human resource management practices except in information
sharing, employee participation empowerment and symbolic egalitarianism.

Guest (1999): suggested the best Human Resource Practices that included: job design in
such a manner that employees have the responsibility and autonomy to use their knowledge
and skills; selection process framed to carefully identify best potential; training as an on-
going activity; two-way communication process to keep everyone informed; and employee
participation to increase employees awareness about the implications of their actions, for
the financial performance of the firm. Guest proposed a simple model of Human Resource
Management and performance which suggested that Human Resource Practices influence
directly to an employee‘s level of commitment towards his performance, which in turn has
an impact on the organization‘s financial performance as an outcome.

Wood (1999): distinguished four different fits in his study based on the views given by
various authors particularly in the area of Human Resource Strategy

 Fit between Human Resource Strategies and the business known, as strategic fit‘;
 Fit between a coherent set of Human Resource Practices and systems within the
organization, known as organizational fit‘;
 Fit between Human Resource Strategies and the organization‘s environment ,
known as environmental fit‘;
 Fit between Human Resource Practices as coherent and consistent bundles, known
as internal fit‘.

Armstrong (2000): explained HR policies as continuing guidelines vis-à-vis the approach

which an organisation intended to adopt in managing its valued assets, i.e. the people. The
HR policies dictate philosophies and values as to how people should be treated.

Budhwar (2000): gave an overview of human resource management and the strong
existing pattern of human resource practices in India with the specific objective of
identifying the main contingent variables and national factors that influence Indian human
resource management policies and practices. The investigation was based on a
questionnaire survey carried out in one hundred thirty seven Indian firms in manufacturing
sector. Drawing from the literature, the influence of seven contingent variables on four sets
of human resource management policies and practices were examined. The contingent
variables included human resource strategy, size, age, and life-cycle stage, ownership of
organisation, industrial sector and union membership. Apart from this, the study
empirically examined the impact of four human resource strategies on human resource
function: cost reduction, talent improvement, talent acquisition and effective resource
allocation. The impact of national factors on human resource management policies and
practices was examined by asking the respondents to allocate a maximum of 100 points to
different aspects of national culture, national institutions and dynamic business sector. The
result showed that organisations, in the mature life cycle stage, were likely to adopt an
annual career development interview scheme for the training and development for their
employees. The organisations in the declining life-cycle stage were likely to pursue
recruitment of their clerical and managerial staff as apprentices. Such organisations were
also likely to compensate their employees on the basis of their total work experience. The
organisations in the public sector adopted an annual career development interview scheme
but the amount of money spent and total numbers of employees trained were less in
comparison to MNCs and private sector organisations. Regarding the national factors, the
results suggested that the three institutions of labour laws, trade unions, educational and
vocational training significantly influence human resource management policies and
practices. Amongst the many aspects of a dynamic business environment, only an
increased level of competition and a strong emphasis on customer satisfaction was found to
have a strong impact. Except for the sector-specific requirements, no other aspect of the
business sector appeared to influence human resource management policies and practices
in the sample organisations.

Pillai (2000): made an attempt to analyse the influence of the human resource development
climate existing in banks on the learning orientation of the employees. The objectives of
this study were to find the extent of influence of human resource development climate on
the learning orientation of its employees, to study the perception of OCTAPACE and
human resource development sub-systems in the banks among different types of learners,
to study how do the bank employees with different learning orientation perceive the
general climate existing in their organisations. A total of three hundred respondents were
selected by the stratified random sampling method. A questionnaire was used for collecting
data. Learning orientation was measured by using a seven-point Likert-scale. The findings
of the study showed that about 57 percent of respondents perceive the learning and
development climate existing in banks as moderate. Nearly 30 percent respondents
considered that the human resource development climate was good. More than two third of
the respondents, who considered human resource development climate as poor, had been
found to have resistance for learning orientation. The chi-square test was also applied and
was significant at 0.01 levels which showed that the perception of employees regarding the
commitment of the top management in the effective implementation of the human resource
development initiatives was positively related with the learning orientation of the
employees.

Anakwe (2002): wrote a research paper which generated knowledge on different aspects of
human resource management practices in Nigeria analysed from the responses collected
from a sample of 185 human resource management professionals employed in over ninety-
six corporations located in three major cities in Nigeria. Furthermore, the
convergence/divergence/cross-vergence perspective was utilized to provide theoretical
insights on the human resource management practices. The findings supported a
crossvergence perspective as evidenced by the blend of human resource management
practices reflecting both generalized or standardized practices and localized practices.

Dwivedi (2006): it is very difficult to initiate competitive strategy based on human

resources. The key to competitive advantage in the modern world is the application of
sophisticated HR policies and practices. This is because of the fact that competitors are
unable to formulate an effective response in the short term. The human resources can help
a company to accomplish competitive advantage by lowering costs, enhancing sources of
product and service differentiation or by both. However, these activities must be managed
from a strategic perspective to accomplish competitive advantage.

Murthi (2006): explained the role of HR manager in the changing scenario as follows:
―The role of Human Resources is curial to face the challenges of globalization,
liberalization, profit maximization and cost effectiveness. The present day aim is survival
of the fittest. To face the challenges in the world today we need constant changes in skills,
attitudes and knowledge. This can be achieved only by the training department of an
organisation. This can pave the way for industrial prosperity in the business world. The
development of Human Resource is the key to the business survival and business success.
All companies must look towards developing a more highly skilled workforce to cultivate
specialist skills in new areas and to attain a higher level of basic education and training.
Training is a route to quality performance.

Purang (2006): compared the human resource development climate perceptions of

middlelevel managers of five Indian organisations. These organisations operated in
different sectors, the two were public sector organisations, the two were private sector
organisations and the one was a multinational organisation. The study hypothesized that
the human resource development climate perceptions of the managers in the private and
multinational organisations would be more positive than in the public sector. The study
used the survey research method for data collection. Overall 247 middle level managers
responded from all the five organisations. The human resource development climate
questionnaire developed by Daftuar (1996) was used, which included 27 items. Study
showed that the human resource development climate scores of the two private
organisations and the MNC were significantly higher than the two PSUs.

Teseema & Soeters (2006): in their famous article "Challenges and prospects of HRM in
developing countries: testing the HRM-performance link in Eritrean civil service" took
eight HRM practices which were recruitment and selection practices, placement practices,
training practices, compensation practices, employee performance evaluation practices,
promotion practices, grievance procedure and pension or social security. They also found a
significant relationship between all these HRM practices and perceived employee
performance.
Altinay et al. (2008): operationalised HRM practices in terms of (1) employee training,
since it facilitates employee learning and leads to better service quality and customer
satisfaction (Jameson, 2000; Ram et al., 2000), (2) empowerment, since delegation of
responsibilities leads to greater employee commitment and efficiency, and thus to
increased growth (Lashley, 2000), (3) recruitment, since different forms of recruitment
namely, formal or informal, may lead to deployment of employees with different levels of
knowledge, skills and behaviours, resulting in discrepancies in the overall firm‘s
performance (Tanova, 2003) and (4) employee rewarding, since employee incentives,
monetary or non-monetary, motivate employees to work harder to achieve company goals,
which in turn improve business performance (Huang, 2001; Mahy, Plasman, & Rycx,
2005).

Dwivedi (2007): concluded that, the survival and growth of today's organisation
necessitate close linkages between HR and business policy and planning. He also
mentioned about the old and new concepts of the HRM.

Kundu et al. (2007): conducted a study on, Human Resource Management Practices in
Shipping Companies: A Study. The main objective of the study was to assess the human
resource management practices being practiced in shipping companies. Five factors – job
analysis and HR planning, training and performance appraisal, hiring and compensation
system, work-force diversity and flexible work system and career development were found
highly correlated. Two factors namely training and performance appraisal and hiring and
compensation system emerged as very strong practices prevailing in different shipping
companies. These two factors were followed by factors namely career development. Job
analysis and HR planning was moderately practised in shipping companies. Hiring,
training, performance appraisal, compensation and career development were strong human
resource dimensions in shipping companies. Job analysis and human resource planning
were found as moderate human resource practices. Practices regarding work-force diversity
and flexible work system were also prevalent in shipping companies but comparatively not
as strong as other human resource dimensions.

Codrina (2008): studied the HRM practices in different Romanian Private Companies and
found that the HR practices being adopted by different types of firms differed due to their
size and activity length.

Haid (2008): in one of his studies in India explored four key drivers of retention. These are
the HR practices named: performance management, professional development practices,
manager support, social responsibility leading to the employee attitudes and beliefs which
in turn drive the retention. A model was developed for the same in this study. These HR
practices were suggested to be implemented in the Indian organizations to increase the
employee engagement and retention, resulting in boosting their competitiveness in the
growing Indian market, enabling them to address changing market conditions quickly and
nurturing a pool of talent that will give them the capabilities they need in the future.
Bharathi (2009): explained the value of HR functions in business and its impact on higher
productivity, enhanced quality, better customer service, good industrial relations and lower
cost which influence the profitability of an organisation. Effective HR practices could play
important role in achieving all the above said factors.

Chakraborty (2009): explained as to why the managers should be proactive. According to

him, Every organisation, department, team has different people and these people have to be
understood, handled and dealt properly. In case you do not act proactively with such
people, it would end up destroying the work culture and vitiate the whole work
environment.‖

Chaudhari (2009): was of the opinion that, the HRM policies of an organisation are
influenced by two major factors: situational factors and stakeholders interest. The
situational factors are labour markets, laws of the land, management goals, business
strategies, technology, employee demography, position of the company. The stakeholders
interest cover expectations of shareholders, management, employees, government and
society/community. These factors can act as constraints on the formulation of HRM
policies and can also be influenced by HRM policies

Chendroyaperumal (2009): was of the view that the contributions to human resource
management practices from India are rich and very effective but long remained ignored by
the scholars. For instance, Lord Buddha and Mahatma Gandhiji have all proved the
effectiveness of Indian human resource practices to the utter disbelief of the rest of the
world. He studied therefore best HRM practices prescribed in Panchatantra (one of the
ancient Indian works on management using the case method, a method to be discovered by
the West only 5000 years later!) related to employee qualities and work, leadership,
motivation, employee turnover and retention, research and development personnel,
conflicts, and employee care. He suggested in his study that practicing these HRM
principles would result in better management and utilization of human resource and thus
would enhance the efficiency and performance of the whole organization. These HR
principles from the Panchatantra are not only consistent with the modern thought on HR
management but are also applicable and easily practicable even today to organizations of
all sizes at all places and times to all people.

Majeed (2009): reviewed the HR practices in knowledge-intensive firms and MNEs.

Perception of gold-collar workers with reference to the relationship with top managers was
discussed through the thirty articles published over the period 2000 to 2006. With the help
of Chenail‘s qualitative matrix (found in this study), the study thematically analyzed the
HR antecedents that emerged into four distinctive categories. The study found that one
must keep in view the variable personnel demands and extensive training and development
needs of knowledge workers, and highlights the need for attention to be paid to unique
scientific practices for managing gold-collar workers in knowledge-intensive firms.
Compton (2009): in his study mentioned that Human Resource Strategies must include
recruitment and selection, education and development, performance management,
succession planning, remuneration and finally retention of key players. He pointed out, that
the previous approaches to Human Resource Management were largely incoherent with no
real linking to strategic planning. Human Resource Management Models need to have clear
link with the external environment, external customers, and suppliers. The internal strategic
planning processes required to be developed so that it adds value to the organizations.

Kumar‘s (2009): study revealed that Human Resource policies and practices were
followed in Indian Cement Industry. Kumar also confirmed that human input was the
single largest input that goes in the cement industry. This study proved the pertinent
existence of Human Resource Practices in India. Kumar suggested that Human Resource
professionals needed to focus on the individual needs and aspirations to the extent that they
develop the ethos of organizational commitment. The Study also concluded that culture
and leadership were the significant predictors of employee performance.

Kundu and Malhan (2009): intended to assess the HR practices in insurance companies.
Primary data based on two hundred eighteen respondents from four insurance companies
(two multinational-7 branches and two Indian-7 branches) were analyzed to assess HR
practices being practiced by insurance companies in India. Training and benefits‘ was
found highly in practice in the insurance companies. Further, performance appraisal,‘
selection and socialization of employees,‘ and HR planning and recruitment‘ were
moderately practised in insurance companies. Workforce diversity and contemporary HR
practices‘ and competitive compensation‘ were also practised to some extent. ANOVA
results showed that Indian companies did not practise workforce diversity. Compensation
practices were found more competitive or performance based in Multinational insurance
companies than in Indian ones. The gender effect showed that only competitive
compensation was perceived significantly differently by male and female
employees/executives. Interactive effects were significant on workforce diversity and
contemporary issues, training and benefits, and selection and socialization of employees.
This study also concluded that the competitive advantage of a company can be generated
from human resources and company performance is influenced by a set of effective HRM
practices. Finally, it was summed up in this study that Multinational companies were
comparatively weaker on performance appraisal, training and benefits, HR planning and
recruitment, and comparatively stronger on workforce diversity and contemporary issues,
selection and socialization of employees and competitive compensation than Indian
companies. Multinationals were weak on some factors due to nonadaptation of local HR
practices.

Nalband (2010): enquired into the HRM practices in the refrigeration industry and air
conditioning industry and analyzed the outcomes of human resource management. The
study covered areas of human resource management/development including performance
appraisal, training, career planning and development. It was concluded in this study that to
retain the employees, good HRM/HRD practices needed to be implemented.

Chand (2010): conducted a study on HRM practices in the Indian hospitality enterprises.
The study had a two-fold purpose: to investigate the importance of human resource
management (HRM) practices and to investigate whether this set of HRM practices in the
Indian hospitality enterprises depended on the demographic characteristics. A structured
instrument was developed to examine the HRM practices. Based on a survey of fifty seven
hospitality managers‘ perceptions on HRM, practices were assessed by a twenty seven
HRM practices and five demographic variables. Factor analysis was performed to identify
HRM practices, and one-way ANOVA was employed to test the association of the
demographic variables with HRM practices. Results indicated that the set of harmonized
terms and conditions, formal manpower planning, flexible job description, formal system
of induction, production/service staff responsible for their service, social appreciation and
recognition may constitute the most important HRM practices in the Indian hospitality
enterprises. Further, the results revealed that there was a positive relationship between
HRM practice variables and category and type of sample enterprises, but there was no
relationship between HRM practice variables and size and age (capital or employees).

Gap in the earlier studies

Above review of literature shows that there are many studies on HRM practices in India
and as well as in abroad. But most of the studies are non-pharmaceutical companies and
specially studies are on corporate sector. If it is even though it is not for HR practices
together. Hence researcher has taken up this study for research purpose to fill up some gap
in this area to some extent.
 Chapter- 3
Methodology
Research Methodology:

(1) It seeks to evaluate the present position in the concerned area of research.

(2) It facilitates prediction of future events and behavioural patterns.

(3) Evaluation of current programmes, practices and policies is possible through HR

research.

(4) It prepares objective base for revision of current organisational programmes, practices
and policies.

(5) It paves ways and means for building up of capabilities and attitudes of employees
regularly.

(6) It facilitates evaluation of proposed HR policies and programmes.

(7) It facilitates change, enables management to replace old techniques with the new ones.

Type of Project:

My project is based on Human Resource Management in hotel industry.

Introduction of Human Resource department in Hotel Industry:

Background
Every organization needs to have well trained and experienced people to perform the
activities that have to be done. If current or potential job occupants can meet these
requirements, training is not important. When this not the case, it is necessary to raise the
skills levels and increase the versatility and adaptability of employees. It is being
increasing common for individual to change careers several times during their working
lives.
The probability of any young person learning a job today and having those skills go
basically unchanged during the forty or so years if his career is extremely unlikely, may be
even impossible. In a rapid changing society employees training is not only an activity that
an organization must commit resources to if it is to maintain a viable and knowledgeable
work force.

The highly competitive environment in which businesses operate today requires a skilful
workforce in every organization in order to remain a successful player in the competitive
game of the industry. One of the main problems which occur in the workplace is the lack of
training. A large number of employees can appear dissatisfied due to being assigned
responsibilities without-having the right knowledge and skills in that area. Training is an
essential process which should be cautiously designed and implemented within all firms.
The overall aim of this dissertation is to assess the importance of training in work field. For
many years now human capital has been regarded as vital for the efficient functioning of an
organization because of its contribution in improving productivity, business performance
and economic growth. Therefore it is important to invest in human resources through
training in order to improve the competitive position of the firm and because of the
enhanced quality, innovation, continual increased productivity and in turn improved
profitability that can be achieved through this.

Roles/ Jobs performed in Internship

HR Department

1. Study of existing practices for employee training & development.

2. Identification of training needs
3. Types of training carried out by the organizations like in house training, outside
faculty, e-learning, on the job training, counseling etc.
4. Training related to technology, soft skill, behavioral trainings etc.
5. Periodic training calendar.
6. Induction of new employees.
7. Afterwards evaluation of training effects.
8. Concept of repetitive and periodic training.
 9. Staff development.
10. Knowing about the existing employees
11. Checking the files and documents related to individual employee and Hotel
12. Finding the missing documents as per checks of hotel
13. Making sure all employees received their objects from management end as per
norms

Duties of the HR department in Country Inn and Suites:

01. Recruitment Process

02. Joining Formalities
03. New Employee Orientation
04. Employee Personal File
05. Salary Processing and Disbursement
06. Provident Fund
07. ESI
08. Employee Benefits
09. Tracking items issued to employees
10. Leaves
11. Organization Code Of Conduct
12. Grievance and Complaints Procedure
13. Performance Appraisal, Increment and Promotion
14. Grooming Standards
15. Health And Safety
16. Interaction With Guests, Managers and Colleagues
17. List of Employees
18. Attendance And Time Office
19. Asset register
20. Professional Development and Training
21. Disciplinary Proceedings
22. Exit and Retention Policy
23. Transfer Policy
24. Travel Reimbursement Policy
25. Rewards and Recognition
26. Employee Suggestion Scheme
27. IT, Email and Social Media Policy
Assumptions and limitations in HR department:

Assumptions

Recruitment

With relatively high turnover rates, it should come as no surprise that recruiting is another
problem facing HR in the hospitality industry. Even finding candidates with the skills to
succeed in entry-level positions has become an issue. Part of the problem is pre-
employment assessments, explains Joyce Gioia, CEO of Employer of Choice. When an
establishment fails to fully assess candidates, it increases the chances of placing the right
person in the wrong role.
Morale

While executives in the hospitality industry emphasize retention and recruitment, those in
HR also note morale as a concern. Low morale has a large impact on service standards,
which can tarnish the reputation of a hotel, bar or restaurant and eventually erode business.
The causes of low morale can vary by business, but some of the top offenders were lack of
training, unskilled colleagues, understaffing, stress and few rewards.

Training

Also going hand in hand with high turnover are training problems, notes Hotel News Now,
an online news resource for the hospitality industry. When the rate of retention is low,
management tends to put new recruits on the floor before teaching them how to do the job
properly. The establishment may be fully staffed, but the service is now questionable. Plus,
the high turnover can increase the chances of employees moving into managerial positions
before they’re ready. Well-trained managers can best develop first-line employees.
Limitations:

1. Recent Origin:
HRM is of recent origin.

So it lacks universally approved academic base. Different people try to define the term
differently. Some thinkers consider it as a new name to personnel management. Some
enterprises have named their traditional personnel management department as human
resource management department.

2. Lack of Support of Top Management:

HRM should have the support of top level management. The change in attitude at the top
can bring good results while implementing HRM. Owing to passive attitude at the top, this
work is handled by personnel management people. Unless there is a change in approach
and attitude of top management nothing remarkable will happen.

3. Improper Actualisation:
HRM should be implemented by assessing the training and development requirements of
employees. The aspirations and needs of people should be taken into account while making
human resource policies. HRM is actuated half-heartedly. The organising of some training
programmes is considered as the implementation of HRM. With this, management’s
productivity and profitability approach remains undisturbed in many organisations.

Such superficial actions may not bear much fruit. What is actually required is a
fundamental change in attitudes, approaches and the very management philosophy.
Without such a change, particularly at the top management level, renaming of personnel
department or redisgnating the personnel officer may not serve the purpose. With the
passage of time an acceptable approach will be developed.
4. Inadequate Development Programmes:
HRM needs implementation of programmes such as career planning, on the job training,
development programmes, MBO, counselling etc. There is a need to create an atmosphere
of learning in the organisation. In reality HRM programmes are confined to class room
lectures and expected results are not coming out of this approach.

5. Inadequate Information:
Some enterprises do not have requisite information about their employees. In the absence
of adequate information and data base, this system cannot be properly implemented. So
there is a need to collect, store and retrieval of information before implementing human
resource management.

In many organisations, even the professionals misunderstand HRM as synonymous with

HRD. Some class room training programmes are generally arranged, which are called HRD
programmes. These programmes are understood as human resources management. Such
casual class room programmes are not the actual HRM programmes.

Even a well planned and executed HRD programme is not HRM. HRD is only a part of
HRM which is an integrated approach to management. Undoubtedly, human resource
management suffers from such limitations. But the impact it has made on the managerial
effectiveness has been spectacular wherever it was introduced. Actually speaking a real
need exists in every Indian organisation for an HRM approach

Data processing in HR department:

Human resources metrics, or tracking employee and employer data, is key to effective HR
management. Many forms of data are required by law to be maintained by employers,
while other data is helpful to delivering efficient services to employees and determining
HR staffers' abilities to meet the needs of the workforce. More than 60 percent of
organizations track turnover rates according to Houston-based management consulting firm
Birkman International's 2007-08 "Birkman Metrics Survey." However, many other forms
of HR data should be tracked manually or electronically, maintained confidentially and
monitored closely.

Employee Count:

The employee base, or the number of workers employed, is critical data for HR to track.
Everything from the ratio of HR staffers to employees to the organization's ability to
negotiate group health insurance rates depends on the number of employees. For example,
HR best practices suggest a ratio of one full-time HR staffer for every 100 employees.
Companies in their growth stages should track employee base numbers to determine how
many HR staffers they should hire.
Voluntary EEO:

Government contractors are required to track applicant and employee data such as race,
age, sex, disability and veteran status to use when analyzing their companies' diversity
representation. Applicants and employees voluntarily provide this information; however,
some organizations report the data based on observation. Regardless of the method, HR
tracks this data to demonstrate equal employment opportunity practices and to determine if
the company should embark upon specific outreach measures to attract a diverse pool of
qualified applicants.
Wages:

HR should track current and historical compensation data. Current salaries and wages are
obviously tracked for accurate payroll processing; however, tracking historical data on the
company's wages is equally important. Historical compensation data is essential for record
keeping purposes, such as the company being required to justify wage-setting practices or
investigation by the U.S. Department of Labor Wage & Hour Division for minimum wage
and overtime pay practices. Compensation data also is important for conducting wage
surveys and comparison to similar businesses to determine if the company is paying
competitive wages.
Training Expense:

Tracking data concerning employee training can assist in illustrating the return on
investment in employees' professional development. A return on investment can be
measured by the number of employees who take advantage of professional development
opportunities versus the number who apply what they've learned to their current jobs or use
the training to advance within the company. Many organizations track this data according
to the average amount expended per employee or the aggregate amount for the HR
department's fiscal year spending. Data related to training expense also is useful in
determining whether to conduct in-house training to outsource it.
Employee Eligibility:

The U.S. Citizenship and Immigration Services enforces the Immigration Reform and
Control Act of 1986, which requires that employers document proof of employees'
eligibility to work. The act requires employers to maintain records, such as I-9 forms that
contain employees' identification and proof of eligibility, for three years. Tracking this data
is imperative and failure to do so can result in serious consequences for employers. In
addition, documentation related to foreign workers is important for justifying the
employer's sponsorship of a foreign worker.
Recruitment and Retention:

Recruitment data may include applicant counts, number of interviews granted and hiring
process outcomes for measuring the effectiveness of the company's recruitment and
selection methods. Cost-per-hire metrics require this data and, in some cases, analyzing
selection data can determine whether hiring managers are conducting appropriate and
effective interviews. Retention data, as in the number of employees who stay with the
company, and turnover data are valuable data for calculating cost per hire as well.

DATA PROCESSING

DATADESIGN:

There are two types of data:

 Primary
 Secondary

PRIMARY DATA are those which are collected afresh and for the first time and thus
happen to be original in character.

SECONDARY DATA, on the other hand, are those which have already been collected by
someone else and which have already being passed through the statistical process. The
methods of collecting primary and secondary data differ since; primary data are to be
originally collected, while in the case of secondary data, the nature of data collection work
is merely that of compilation.

FOR THIS STUDY:

In this study, primary data has been collected directly from the respondents using a
questionnaire while the secondary data was collected from books, articles and the internet.

TYPES OFDATA:
The type of data used here is quantitative data type.

DATASOURCE:
Data collection is most essential aspect of any research because the whole result of
research depends on the data and information hence, the methodology adopted by me to
collect the data final interpretation were through.

Sampling methods

SAMPLINGDESIGN:
Sample design is the theoretical basis and the practice means by generalizing from
characteristics of relatively few of the comprising population. It is the method by which the
sample is chosen.

POPULATION:

The population here is taken from hotel customers of COUNTRY INN AND SUITES
Hotels.
TARGET RESPONDENTS:

The target respondents of this study are the Customers COUNTRY INN AND SUITES in
and around GOA.

SAMPLINGMETHOD:

Collecting data about each and every unit of the population is called census method.The
approach, where only a few units of population under study are considered for analysis is
called sampling method. There are two main categories under which various sampling
method can be put. Two categories are:

 Probability Sampling
 Non- Probability Sampling

The sampling method adopted for the study is convenience sampling under non-
probability sampling.

SAMPLESIZE:

Samples are taken from COUNTRY INN AND SUITES Hotels existing customers. The
selected sample size is 100 customers. Samples were chosen using Convenience Sampling
technique (Non Probability Sampling Technique).
 CHAPTER-4
DATA ANALYSIS AND INTERPRETATION
 Analysis of Data from the Human Resources Managers

In this chapter we analyze the responses received from the human resource

managers of the various organizations in Banking and Finance and Healthcare

industry. The questionnaire that was designed specifically to understand the

viewpoints of human resource managers on rehiring of former employees was

used to collect the data.

Table 4.1: Responses from the human resource managers if they rehire the former

employees in their organization

Number of Percentage

Responses

Yes 62 97%

No 2 3%

Total 64 100%

Source: “Data collected through primary source”

Data Analysis:

Out of the 64 human resource managers who responded, 62 of them say that

they do rehire former employees in their organization while 2 of them said

that they do not rehire the former employees.

Chart 4.1 – Percentage of response from human resource managers whether they

rehire former employees

Response on Rehiring the former

employees
0.03

Yes No

0.97

From the above Chart, it can be seen that 97% of the human resource

managers respond that their organization rehire former employees and have

nothing against the former employees while only 3% of the human resourcs

managers responded that they do not rehire former employees in their

organization.
Interpretation:

It can be interpreted that most of the organization do rehiring of former

employees.

Table 4.2- Response from the human resource managers whether they have a

formal rehiring policy in their organization

Number of Percentage

Response

Yes, there is a formal rehiring policy 12 18.75%

available in the organization

No, there is no formal rehiring policy in 52 81.25%

the organization

Total 64 100%

Source: “Data collected through primary source”

Chart 4.2 – Responses from human resource manager whether they have a

rehiring policy in their organization

Do you have formal Policy on

Rehiring of foremer employees?
60
52
50

40
Number of Response
30
12
20

10
No
0

Yes
Data Analysis:

From the Table 4.2 and Chart 4.2, we find that out of 66 human resource

managers, 12 say that there exist a formal policy in their organization for

rehiring former employees where as 52 of them say that there is no formal

policy existing in their organization for rehiring former employees.

Chart 4.3 – Percentage of response from human resource manager whether they

have a formal rehiring policy in their organization

0.1875

Yes

No

0.8125

From the above Chart it can be seen than nearly 81.25% of the human

resource managers say that there is no formal rehiring policy for hiring

former employees while 18.75% of the human resource managers say that

they have a formal written policy available in their organization for rehiring

the former employees.

Interpretation:

It can be interpreted that most of the organization do not have a formal well

established written policy on rehiring of former employees. Most of the

rehiring happens on an adhoc basis.

Table 4.3 - Response from the human resource managers regarding their view on

importance of rehiring of former employees

How important is Rehiring Number of Percentage

Response

Very Imp 21 32.8%

Important 35 54.7%

Not Important 8 12.5%

Total 64 100%

Source: “Data collected through primary source”

Chart 4.4 – Number of response from human resource manager whether

they do rehire former employees

Number of Response
35
35

30
21
25
Number Response
20 8
15
of
10
Very Imp Important Not
5 Important

Data Analysis:

The table 4.3 and the Chart 4.4 shows that 21 out of the 64 human resource

managers responded say that rehiring of the former employees is very

important to the organization while 35 of them opine that it is quite important

to hire the former employees. Only 8 of them felt that rehiring of former

employees is not important to the organization.

Chart 4.5 – Percentage of response from human resource manager

whether they do rehire former employees

Percentage

12.5
32.8

Very Imp
Important
54.7
Not Important

From the Chart 4.5 it can be seen that 32.8% of the v manage s feel that

rehiring is very important to the organization and 54.7% feel that it is quite

important.

Only 12.5% of the respondents opine that rehiring is not important to their

organization. That is nearly 87% of the human resource managers feel that

rehiring of former employees is important to the organization and would

bring benefits to the organization.

Interpretation:

Based on the response from the human resource managers it can be

interpreted that rehiring of former employees is important to the organization

and could prove to be beneficial to the organization.

Table 4.4 - Response from the human resource managers if they keep track of

former employees who can be rehired

Number of Response Percentage

Yes 42 65.6%

No 21 32.8%

No Response 1 1.6%

Total 64 100%

Source: “Data collected through primary source”

Chart 4.6 – Percentage of response from human resource manager

whether they keep track of former employees

Do you keep track of former

employees?
50 42
40

30 Number of Response
21 1
20
es
No
10 Y No
response
0

Data Analysis:

When asked the human resource managers if they keep track of rehirable

former employees, nearly 42 of the 64 human resource managers said “yes”

they do keep track of the former employees while 21 of them say they don’t.

0ne of them did not respond to this question.

Chart 4.7 – Showing the percentage of response from human resource

manager whether they do rehire former employees

Percentage
1.6

32.8
Yes

65.6 No

No response

That is nearly 65.6% of the human resource managers keep track of the

former employees while 32.8% of them do not keep track of the former

employees. 1.6% of the human resource managers remained silent on this

query.
Interpretation of data:

The above data shows that most of the human resource managers spend some

efforts in keeping track of former employees so that when an appropriate time

comes, they can be rehired.

Table 4.5 – Responses from the human resource managers whether they follow

any strategy for attracting and rehiring former employees

Number of Percentage

Response

Yes 3 4.7%

No 56 87.5%

No Response 5 7.8%

Total 64 100%

Source: “Data collected through primary source”

Data Analysis: When asked the human resource managers if they follow any specific
strategy to attract the former employees for reemployment, nearly 56 of them said that they
do not follow any specific strategy to attract the former employees while 3 of them said
that they follow some of the strategy to attract the former this query. employees 5 human
resource managers did not
Chart 4.8 – Response from human resource manager whether they

follow any specific strategy to attract former employees

Number of Response
56
60

50

40
Number of Response
30
7
3
20

10 No No Response

0
Chart 4.9 – Percentage of responses from human resource manager

whether they follow any specific strategy to attract former employees

Percentage
4.7
7.8

Yes
No

87.5
No Response

That is nearly 87.5% of the human resource managers say that they do not

follow any specific strategy to attract former employees while only 4.7% say

that they follow some strategy to attract former employees and 7.8% of the

HR managers remained silent on this query

Following are some of the specific strategies followed by few of the human

resource managers to attract former employees

 ‘Solicitation
of employees for rehiring starts from the time of exit

itself’ says some of the human resource managers. Hence they believe

that hassle free exit can be a good starting point for attracting them.

They believe that the exit interviews are crucial to capture some of the
 reasons for their exit. Also they make sure to ask the employees if

they are willing to comeback if an opportunity arises. A database is

then created capturing the details of the employees who can be

contacted after their exit.

 Keeping track of former employees through a well designed

Employee Alumni Portal

 Sharing the internal job postings with the former employees through

the portal

 Building proper relationship with former employees by sending

birthday greetings on their birthdays.

 Organizing regular alumni meet and share the organizations expansion

plans

 Develop a corporate facebook account to keep in touch with the

former employees on a regular basis

Interpretation of data:

The above data shows that less than 5% of the human resource managers

follow some strategy to attract former employees. With this we can interpret

as most of the human resource managers do not have any strategy for

attracting and hiring former employees.

Table 4.6 - Response from the human resource managers whether the rehiring former

employees reduce cost to the organization

Number of Percentage

Response

Yes 54 84.4%

No 10 15.6%

Total 64 100%

Source: “Data collected through primary source”

Data Analysis:

The table 4.6 and Chart 4.9 show that response from the human resource

managers about their views on whether rehiring the former employees could

result in cost savings to the organization. Nearly 54 of the 64 human resource

managers feel that rehiring former employees will result in cost savings to the

organization.

While 10 out of 64 human resource managers who responded to the

questionnaire feel that there is no significant cost savings due to rehiring of

former employees where as one of them did not respond to the question.
Chart 4.10 – Response of the human resource managers with respect to

cost benefit of rehiring the former employees

Number of Response
54
60

50

40 Number of Response
10
30

20
Yes No
10

Chart 4.11 – Percentage of cost benefit of rehiring the former employees

Percentage
15.6

Yes
84.4
No
 Nearly 84% of the respondents feel that rehiring former employees would

result in cost savings while about 16% feel that there is no cost savings due to

rehiring of former employees.

Interpretation:

Most of the human resource managers agree that the rehiring of former

employees significantly reduce the cost to the organization. Human resource

managers feel that the former employees need not have to go through

rigorous recruitment process that normally followed in the case of new hires.

Also, the former employees will start delivering the results with higher

productivity as compared to new hires without detailed training that is

required for new hires.

180
ss

Table 4.7 – Showing the response from the human resource managers regarding

percentage reduction in cost of hiring and training

Number of Response Percentage

<10% 14 21.9%

10-15% 15 23.4%

15-20% 18 28.1%

>20% 6 9.4%

No Response 11 17.2%

Total 64 100

Source: “Data collected through primary source”

Data Analysis:

When specifically asked about how much of the cost savings that can be

achieved by rehiring former employees, 14 of the 64 human resource

managers say that it will result in less than 10% of the total recruitment and

training cost while 15 of them say that it will result in a savings between 10-

15%. Nearly 18 of them say that it will result in a savings between 15-20%

and 6 of them believe that the savings could exceed 20%. 11 of the managers

did not respond do this question.

Chart 4.12 – Response with respect to reduction in cost of hiring and

training due to rehiring of employees

Number of Responses
18
18 15
14
16 11
14
6
12 Number of Response
10

0
Chart 4.13 – Percentage reduction in cost of hiring and training due to

rehiring of former employees

Percentage

17.2 21.9
9.4

<10%
23.4
28.1 10-15%

15-20%

>20%
 It can be seen from the above Chart that 21.9% of the respondents agree that

rehiring the former employees would result in less than 10% reduction in cost

while 23.4% agree that it can result in a savings between 10-15%. 28.1% of

the respondents agree that a savings between 15-20% can be achieved due to

rehiring the former employees and about 9.4% of the respondents agree that it

can result in a savings of more than 20% in cost. 17.2% of the respondents

did not respond to the specific query.

Table 4.8 – Mean and Standard Deviation of the cost savings in percentage

Mean cost Standard

savings Deviation (σ)

14% 4.89%

Source: “Data collected through primary source”

Considering the data provided by 53 human resource managers, it can be seen

from Table 4.8 that an average savings of 14% with a standard deviation of

4.89% can be achieved by rehiring of former employees. However, it all

depends on how many former employees are hired in a year and what is its

ratio compared to the new hires

Interpretation of data:

Here also we can see that nearly 83% of the respondents agree that the

rehiring of former employees would result in cost reduction.

Table 4.9 – Data on cost of recruitment for the year 2013-14

Number of recruits 68

Total cost of recruitment Rs 53.35 lakhs

Cost of recruitment / hire Rs 0.78 lakhs

Total CTC for the 68 hires Rs 18,36,35,609/-

Cost of recruitment as % of the salary 2.9%

for the 68 recruits

Average salary per employee Rs 10,28,000/-

Average training/employee 7 days/year

Cost of hiring a former employee 25,000/- per hire

Source: “Data collected through primary source”

The above data was received from some of the organizations in the Banking

sector and it shows that the cost of hiring a new employee is around Rs

2,00,000/ per new hire whereas the cost of hiring a former employee is Rs

25,000/-.
Let us assume that a company hires 100 employees per year. If we assume

that all the recruitment comprises of new hires and the company spends about

Rs 2 lakhs per hire, the total cost of recruiting these 100 employees is Rs 200

lakhs.

Instead of hiring all the new hire, if we hire about 20% former employees,

then the company would be spending nearly Rs 165/- lakhs. This will result in

a savings of 17.5% in the total cost of hiring.

If we assume that the company hires 10% of the former employees, then the

company would be spending about Rs 182.5 lakhs as hiring cost of 100

employees. This would result in a savings of 8.75%.

The above data shows that rehiring the former employees would definitely

help the organizations in reducing the cost of hiring and the cost savings may

vary depending on the policy and strategy of the organizations with respect to

the number of hiring of former employees.

Table 4.10 - Response from the human resource managers regarding the attrition of

the rehired employees post rehiring

Number of Percentage

Response

Yes 27 42.2%

No 36 56.3%

No Response 1 1.6%

Total 64 100%

Source: “Data collected through primary source”

Data Analysis:

The above table 4.9 shows that 27 out 64 human resource managers find that

the former employees once again quit the organization post reemployment

while 36 of them feel that they do not leave the organization post

reemployment. 1 of them did not respond to the query.

Chart 4.14 – Percentage of response from human resource managers

regarding the attrition of the rehired employees post rehiring

Percentage
1.6

42.2
Yes
56.3 No

No Response

That is almost 42.2 percent of the respondents feel that the former employees

would quit the organization once again post rehiring while 56.3 percent feel

that the former employees will not quit post rehiring while 1.6% of them

remained silent on the issue.

Interpretation:

In the present era, very few employee works in the same organization till

retirement. Hence, it can be safely concluded that the rehired employees will
 once again quit the organization, if they find that their career is stagnating

once again or they are offered with better offers from other organization.

However, it can be seen very clearly from the chapter 3 that the average

tenure of former employees is significantly higher compared to the new hires

and there is a significant cost reduction in hiring the former employees.

Hence, it is important for the organization to focus and put the required

process and strategy around rehiring of former employees.

FINDINGS AND ANALYSIS

These findings and analysis are on the basis of the information collected during training
about the process of recruitment in practice at COUNTRY INN AND SUITES Hotel ,
GOA . The analysis & certain suggestions made are for further betterment of the
recruitment process and more effective for the fulfillment of organizational goal. These, in
any way, should not be taken as criticism of the existing system.

Suggestions
Based on the analysis and observation made during the training, the following
suggestions are made:

The selection of consultants should be done after personal interaction with them and
getting to know their own qualification and relevant experience with the hotel industry.
The Recruitment Mgr should provide them with all the relevant job profiles and endeavor
to develop them as their brand ambassadors and retain the best once by introducing reward
schemes. They should either be practicing professionals in the relevant trade for fair
amount of years or retired hotel industry professionals. Such types of professional will be
more helpful in short listing the right candidate

 The mere rejection of candidates just on the basis of introductory interviews is

unfair. Instead, all the other parameters should also exercised and after all the
relevant checks, the rejection should be done.
  There should be different types of preliminary questionnaires to check various skills. The
questionnaire can be prepared with the help of HOD’s of various departments. This
would save a lot of time for HODs and half the job would be done by the HR Mgr.


 There should be a separate room/ cabin for conducting the interviews.

 The process should be managed and coordinated properly. At many instances,

chaos occurs when there are many candidates waiting for a long period. The
consultants with the interviewer should confirm time schedule for interview in
order to avoid the wastage of time. This way, it would give a better image of the
company.

Conclusion:

This chapter reveals some of the views and preferences of human resource

managers with respect to rehiring of former employees. It has been observed

that most of the human resource managers do rehire former employees and

believe that rehiring former employees is very important to the organization.

However, most of them say that neither they have a well documented process

or procedure for rehiring nor they follow any specific strategy to make

rehiring most effective. It was seen that most of the human resource managers

use exit interview as a tool to identify the prospect candidate for rehiring and

put some efforts to keep track of them.

It is also seen that according to most of the human resource managers the

rehiring of former employees is very important to the organization and if

carried out systematically, can result in significant cost to the organization to

the extent of nearly 15% of the total cost of hiring and training per annum.

It is observed that the cost savings depends on the company’s policy and

strategy of rehiring the former employees and the percentage of former

employees recruited. Though there are many benefits of hiring former

employees in terms of reduction in cost of hiring, reducing the attrition and

increasing the retention of the employee it is important to note that the

employing of former employees cannot be 100% of the total hires. The

company needs new skills and new mindsets to be inducted into the

organization.
Chapter- 5
Appendix
Questioner

1. Responses from the human resource managers if they rehire the former employees in
their organization

(a) Yes (b) No

2. Response from the human resource managers whether they have a formal rehiring policy
in their organization

(a) Yes (b) No

3. Response from the human resource managers regarding their view on importance of
rehiring of former employees

(a) Very Important (b) Important (c) Not Important

4. Response from the human resource managers if they keep track of former employees
who can be rehired

(a) Yes (b) No (c) No Response

5. Responses from the human resource managers whether they follow any strategy for
attracting and rehiring former employees

(a) Yes (b) No (c) No Response

6. Response from the human resource managers whether the rehiring former employees
reduce cost to the organization

(a) Yes (b) No

7. Showing the response from the human resource managers regarding percentage
reduction in cost of hiring and training

(a) <10% (b) 10-15% (c) 15-20% (d) >20% (e) No Response
8. Response from the human resource managers regarding the attrition of the rehired
employees post rehiring

(a) Yes (b) No (c) No Response

 Chapter- 6
Bibliography
1. www.radissonhotels.com
2. www.goatourism.gov.in
3. www.tripadvisor.in
4. www.shodhganga.inflibnet.ac.in
5. www.hr-guide.com