CHAPTER 1

1.1 INTRODUCTION
RECRUITMENT

Recruitment means to estimate the available vacancies and to make

suitable arrangements for their selection and appointment. Recruitment is understood as the
process of searching for and obtaining applicants for the jobs, from among whom the right
people can be selected.

A formal definition states, “It is the process of finding and attracting capable applicants for the
employment. The process begins when new recruits are sought and ends when their applicants
are submitted. The result is a pool of applicants from which new employees are selected”. In
this, the available vacancies are given wide publicity and suitable candidates are encouraged
to submit applications so as to have a pool of eligible candidates for scientific selection

DEFINITION OF RECRUITMENT

According to Dale Yoder, “Recruitment is a process to discover the source

of manpower to meet the requirements of staffing schedule and to employ effective measures
for attracting that manpower in adequate numbers to facilitate effective selection of an
efficient working force.”
RECRUITMENT PROCESS

The recruitment process is the one which has to be approached intensively to

decide the future course of business by hiring a potential candidate. It should consist the
following activities;

Recruitment
planning

Evaluation Strategy
and Control development

Screening Searching

a) Recruitment Planning

Planning involves drafting a comprehensive job specification for the vacant

positions outlining their major and minor responsibilities; the skills, experience and
qualifications needed ; grade and level of pay ; starting data ; whether temporary or
permanent; and mention of special conditions, if any, to the jobs to be filled.

b) Strategy development

The next step involved is to devise a suitable strategy for recruiting the
candidates in the organization. The strategic consideration would include the type of
recruitment method, the geographical area to be considered for the search, source of
recruitment and sequence of activities for recruitment.
c) Searching

Searching involves deciding internal or external sources. Sometimes both internal

and external may be decided.

d) Screening

Screening is the next step. Job specification is invaluable in this regard. Screening
is done on the basis of qualification, knowledge, skills, abilities, interest and experience
mentioned in job specification.

e) Evaluation and control

Evaluation and control in recruitment is necessary to consider the cost

involved in the process. It ensures to take necessary decisions in the future course of
business and also to make the policies strong enough.
Some aspects which are to be considered important while Evaluation and Control is as
follows;
 Salary of the recruiters
 Cost of time spent for preparing job analysis, advertisement etc.,
 Administrative expenses
 Cost of outsourcing or overtime while vacancies remain unfilled and
 Cost incurred in recruiting unsuitable candidates.

EVALUATION OF RECRUITMENTPROCESS

The recruitment has the objective of searching for and obtaining applications for job
seekers in sufficient number and quality. Keeping this objective in the mind, the evaluation
might include:
 Return rate of application sent out.
 Number of suitable candidates for selection.
 Retention and performance of the candidates selected.
  Cost of the recruitment process
 Time lapsed data
 Comments on image projected.

SELECTION
Selection starts where recruitment ends. Selection is hiring the best candidates from the
pool of applications. It refers to the process of offering jobs to one or more applicants from the
applications received through recruitment. Selection is the process of picking the suitable
candidates from the pool of job applications to fill various jobs in the organization According
to Yodder, “selection is the process by which candidates for employment are divided into class
- those who will be offered employment and those who will not.”

SELECTION PROCESS

Following are the steps involved in a standard selection process:

Preliminary
Interview

Application Blanks
Selction Process

Selection Tests

Selection Interview

Reference Checks

Physical
Examination

Final Selection

1. Preliminary Interview

After screening the applications, preliminary interview will be conducted. The

purpose of preliminary interview is to eliminate unsuitable or unqualified candidates from the
selection process. In screening unqualified candidates are eliminated on the basis of
information given in the application form, whereas preliminary interview rejects misfits for
reasons, which did not appear in the application forms.

2. Application Blanks

This is a method for getting information from a prospective candidate. This serves
as a personal record of the candidate bearing personal history profile, detailed personal
activities, skills and accomplishments. Almost all organizations require job seekers to fill up
the application. Usual contents are as follows:
i. Biographical information – Age, father’s name, sex, nationality, height, marital status.
ii. Educational information - Name of the institutions where the candidate studied – marks –
Divisions – Distinctions.
iii. Work Experience – previous experience – nature of job – salary – duration – reason for
quitting.
iv. Salary – last drawn salary – minimum salary acceptable.
v. Extra-curricular information – NSS – NCC – hobbies etc.
vi. References – Name and address.

3. Selection Tests

Individuals differ in many respects including job related abilities and skills. In
order to select a right person for the job, individual differences in abilities and skills are to be
adequately and accurately measured for comparison.
According to Lee J. Groobach, “A test is a systematic procedure for comparing the behaviour
of two or more persons.” Milton M. Blum defines test as “a sample of an aspect of individual’s
behaviour, performance and attitude.”

4.Selection Interview

The next step in the selection process is ‘employment interview.’ Interview is the
widely used selection method. It is a face-to-face interaction between interviewer and the
interviewee. If handled properly, it can be a powerful technique in having accurate information
of the interview otherwise not available.
Objectives of Interview

1. Verifies the information obtained through application form and tests.

2. Helps to obtain additional information from the applicant otherwise not available.
3. Gives the candidate necessary facts and information about the job and the organization.
4. Helps to establish mutual understanding between the company and the candidate to build the
company’s image.

5. Reference Checks

In the selection process, the next step is verifying information or obtaining additional
information through reference. The applicant is asked to give the names of one or two referees
who know him personally. Previous employers, University Professors, neighbours and friends
are usually referees. However, references are treated as a mere formality and are hardly used
to influence the selection decisions.

6. Physical Examination

The main purpose of conducting physical or medical examination is to have proper

matching of job requirement with the physical ability of the candidate. Among various
objectives of physical test, the major ones are, to detect if the individual is carrying any
infectious diseases, to identify health defects of an individual.

7. Final Selection
Final selection follows the above procedures outlined. Selected candidates would be
sent with appointment orders. Additional names than required vacancies may be kept in the
waiting list.

8. Placement

Placement involves assigning a specific job to each one of the selected candidates.
However, placement is not simple as it looks. It involves striking a balance between the
requirements of a job and the qualifications of a candidate. Pigors and Myers has defined
placement as, “the determination of the job to which an accepted candidate is to be assigned,
and his assignment to that job. It is a matching of what the supervisor has reason to think he
can do with the job demands and what he offers in the form of pay rolls, companionship” with
others, promotional possibilities etc. The importance of placement is that it reduces employee
turnover, absenteeism, accidents and dissatisfactions.

1.2 THEORETICAL PERSPECTIVE

It has been observed that for any organization to achieve its stated objectives and goals there
is the need for management to put in place policies or strategies that will help attract the best
of employees to strive towards the achievement of organizational objectives. Importantly, some
of the employees who are not able to improve and adjust to their new working environment
resign leading to employee turnover and this affects the organization in terms of cost and
productivity.

EFFECTIVENESS OF RECRUITMENT PROGRAMME:

Following are the pre-requisites that has to be considered for the effectiveness of
recruitment programme;
a) A well-defined recruitment policy.
b) A proper organizational structure.
c) A well-laid down procedure for locating potential job seekers.
d) A suitable method and technique for tapping the candidates.
e) Continuous assessment of effectiveness of recruitment programme.
f) Ethical practice in recruitment policy and procedure.
To make the recruitment and selection process a effective one, it is to consider the cost factor
as a major one to engage the activities and simultaneously to attain the organizational goals

Effectiveness of Hiring Process Saves Recruitment Costs:

1) Poor Hiring has Adverse Financial Impact

Hiring a wrong person for the job can be costly since a lot of time and managers/staff
effort is spent in the whole selection process. There are enormous costs which are associated
with interviewing candidates, training new hires, advertising and other related administrative
activities. There is always a substantial financial impact of poor hiring decisions on the
organization affecting its recruitment budget adversely.

2) Feed Back Improves Hiring Standard

Recruiters must develop a mechanism for recording the performance of their ex-
candidates when employed in real work environment. If necessary, they must arrange post-
employment interviews for the employees who have been their candidates during selection
process. At times, poor performance may result due to employee shortages or other issues of
compensation, empowerment, work life balance etc. We must consider using a qualified
consultant for an objective assessment of recruitment problems, such as high employee
turnover, frustration and discipline.
3) Employee Retention Contribute to Customer Satisfaction

It is critical to the long term health and success of the business. Managers readily agree
that retaining their best employees ensures customer satisfaction, product sales and satisfied
co-workers. It also helps in satisfaction of reporting staff, effective succession planning and
deeply imbedded organizational knowledge.

4) Organizational Development is Key to Operational Success

Organizational development aspects, such as training and development

programmers for the employees ,management development programmers, career development
centres and change management programmes help in resolving the organizational issues which
need to reviewed in line with on-going changes in technology, skill levels and processes.

5) Diversity Strengthens Organizational Culture

The diverse culture of the organization helps in setting up good recruitment procedures
which do not discriminate illegally on the basis of gender, race, religion, belief, age, disability,
marital status or sexual orientation.

1.3 STATEMENT OF THE PROBLEM

The success of organizations in this modern business environment depends on the

calibre of the manpower that steers the day to day affairs of the organizations. The process of
recruiting and selecting all categories of employees in the KPL Company has to be scrutinized
in the following manner;
 To identify the satisfaction level of the recruitment and selection process which is
prevailing in the organization.
 To analyse the relationship between the HR department and the hiring department.
Even though it is the wish of every organization to attract the best human resource in order to
channel their collective effort into excellent performances, unconventional selection practices
can mar any business plan. Managing people is a definite challenge both at strategic or even
at organizational levels. Thus, human resources are well managed and developed in alignment
with the organizational goals and strategies.
Keeping the problem as a base will lead to execute the project in all the possible ways and to
find out a probable solution to it.

1.4 OBJECTIVES OF THE STUDY

 To identify general practices that organization use to recruit and select employees.
 To determine which recruitment and selection practices is more effective.
 To determine how the recruitment and selection practices affect organizational
outcomes.
 To ensure a fair and consistent approach is taken throughout the recruitment process.
 To know the satisfaction level of recruitment and selection process from the
candidates which is followed by the organization.
 To study the relationship between the candidates and the Recruitment team.
1.5 SCOPE OF THE STUDY

The scope of the study was very initiative in extracting some basic information
that is literally undertaken to complete the project and to perceive the routine activities which
is prevailing in the organization. Some of the possibilities are as given below;
 The scope of the study is to know vital problem faced in recruitment and selection,
which is the basic function in Human Resource Development.
 To study and analyse the various HR factors including recruitment and selection
practices at KPL PVT LTD.
 To determine the present and future requirements of the organization on conjunction
with its personnel-planning and job analysis activities.
 Increase the pool of job candidates at minimum cost.
 Help to increase the success rate of the selection process by reducing the number of
visibly under qualified or overqualified job applicants.
 Meet the organization’s legal and social obligations regarding the satisfaction level of
the candidates and to engage them continuously.
 This study forced to maintain an amiable relationship with the strangers and the higher
officials that actually leads to attain the organizational goals.
 CHAPTER 2

REVIEW OF LITERATURE

2.1 INTERNATIONAL REVIEWS

This chapter deals with the assessment of literatures which relate to the topic of
recruitment and selection practices in an organization. Several literatures would be selected
and relevant areas would be reviewed and evaluated. This chapter provides information about
aspect of previous works which relate to this study. In view of this, a number of presentations
culled from various sources are reviewed here.

Concept of Recruitment

The following are the reviews extracted from the journals demonstrated by some
of the experts where they are competent and good enough in their areas;
According to Costello (2006) recruitment is described as the set of activities and processes
used to legally obtain a sufficient number of qualified people at the right place and time so that
the people and the organization can select each other in their ownbest short and long term
interests.Barber (2002) defines Employee recruitment as “practices and activities carried on
by an organization for the purpose of identifying and attracting potential employees”.Many
large corporations have employee recruitment plans that are designed to attractpotential
employees that are not only capable of filling vacant positions but also add to the organization’s
culture.

According to Montgomery (2000) is on matching the capabilities and inclinations

ofprospective candidates against the demands and rewards inherent in a given job.Jovanovic
(2004) said recruitment is a process of attracting a pool of high qualityapplicants so as to select
the best among them. For this reason, top performingcompanies devoted considerable resources
and energy to creating high quality selectionsystems. Due to the fact that organizations are
always fortified by informationtechnology to be more competitive, it is natural to also consider
utilizing thistechnology to re-organize the traditional recruitment and selection process
throughproper decision techniques, with that both the effectiveness and the efficiency of
theprocesses can be increased and the quality of the recruitment and selection
decisionimproved.

Need of the Recruitment and Selection Process

Dessler, (2000) found in his study that the Recruitment and selection forms a core
partof the central activities underlying human resource management: namely, theacquisition,
development and reward of the workers. It frequently forms an important art of the work of
human resource managers – or designated specialists within workorganizations. However, and
importantly, recruitment and selection decisions are oftenfor good reason taken by non-
specialists, by the line managers. Recruitment andselection also have an important role to play
in ensuring worker performance andpositive organizational outcomes. Recruitment and
selection had the capacity to form akey part of the process of managing and leading people as
a routine part oforganizational life, it is suggested here that recruitment and selection has
become evermore important as organizations increasingly regard their workforce as a source
ofcompetitive advantage. Of course, not all employers engage with this proposition evenat the
rhetorical level. However, there is evidence of increased interest in the utilization of employee
selection methods which are valid, reliable and fair. Dessler listing theessence of these in the
following; build a pool of candidates for the job, have theapplicants fill out application forms,
utilize various selection techniques to identifiable job candidates, send one or more viable job
candidates to their supervisor, havethe candidate(s) go through selection interviews, and
determine to which candidate(s)an offer should be made.

Mullins (1999) indicated that to be a high performing organization, human

resourcemanagement must be able to assist the organization to place the right person in the
right job. The human resource management practices include recruitment, selection, placement,
evaluation, training and development, compensation and benefits, and retention of the
employees of an organization. Businesses have developed human resource information systems
that support: (i) recruitment, selection, and hiring, (ii) job placement, (iii) performance
appraisals, (iv) employee benefits analysis, (v) training and development, and (vi) health,
safety, and security.

Process of Recruitment

Odiorne (1984) indicated that the quality of new recruits depends upon an
organization's recruitment practice, and that the relative effectiveness of the selection phase is
inherently dependent upon the caliber of candidates attracted. Smith et al. (1989) argue that
the more effectively the recruitment stage is carried out, the less important the actual selection
process becomes. When an organization makes the decision to fill an existing vacancy through
recruitment, the first stage in the process involves conducting a comprehensive job analysis.
This may already have been conducted through the human resource planning process,
particularly where recruitment is a relatively frequent occurrence. Once a job analysis has been
conducted, the organization has a clear indication of the particular requirements of the job,
where that job fits into the overall organization structure, and can then begin the process of
recruitment to attract suitable candidates for the particular vacancy.

According to Kersley et al (1997) one result of effective recruitment and selection is reduced
labour turnover and good employee morale. Recruiting ineffectively is costly, since poor
recruits may perform badly and/or leave their employment, thus requiring further recruitment.
In a cross national study of recruitment practices, suggests that, in reality, recruitment practices
involve little or no attempt to validate practices. Personnel managers tend to rely on feedback
from line managers and probationary periods and disciplinary procedures to weed out mistakes.
Firms with high quit rates live with them and tend to build them into their recruitment practices
and they do not analyse the constitution of their labour turnover. A number of recent studies
have suggested that some recruitment methods are more effective than others in terms of the
value of the employees recruited.

Miyake, (2002) indicated that while advertising is usual for job vacancies, applicants were
sometimes recruited by word of mouth, through existing employees. Besides being cheaper,
the “grapevine” finds employees who stay longer (low voluntary turnover) and who are less
likely to be dismissed (low involuntary turnover). People recruited by word of mouth stay
longer because they have a clearer idea of what the job really involves. The study reviewed
five studies in which average labour turnover of those recruited by advertising was 51 percent.
The labour turnover for spontaneous applicants was 37 per cent and turnover for applicants
recommended by existing employees was 30 percent. One hypothesis proposed to account for
this was the “best information” hypothesis. It was argued that people who were suggested by
other employees were better and more realistically informed about the job than those who
applied through newspapers and agencies. Thus, they were in a better position to assess their
own suitability. Better informed candidates are likely to have a more realistic view of the job,
culture of the organization and job prospects.

2.2NATIONAL REVIEWS

Recruitment and selection forms a core part of the central activities underlying human
resource management: namely, the acquisition, development and reward of workers. It
frequently forms an important part of the work of human resource managers – or designated
specialists within work organizations. However, and importantly, recruitment and selection
decisions are often for good reason taken by non-specialists, by the line managers. There is,
therefore, an important sense in which it is the responsibility of all managers, and where human
resource departments exist, it may be that HR managers play more of a supporting advisory
role to those people who will supervise or in other ways work with the new employee.

Recruitment and selection is a topical area. While it has always had the capacity to form a key
part of the process of managing and leading people as a routine part of organizational life, it is
suggested here that recruitment and selection has become ever more important as organizations
increasingly regard their workforce as a source of competitive advantage.
 Mullins (1999) indicated that to be a high performing organization, human resource
management must be able to assist the organization to place the right person in the right job.
The human resource management practices include recruitment, selection, placement,
evaluation, training and development, compensation and benefits, and retention of the
employees of an organization.

Businesses have developed human resource information systems that support: (i) recruitment,
Selection, and hiring, (ii) job placement, (iii) performance appraisals, (iv) employee benefits
analysis, (v) training and development, and (vi) health, safety, and security. The first few
activities of human resource management are recruiting and selecting which deal with the
actions concerned, and the recruiting is also less frequently alerted in human resource
information system recently. Besides, e-recruitment on the web being the current trend for the
recruitment and selection processes can further distinguish many activities of the processes.

Dessler (2000) lists the essence of these in the following; build a pool of candidates for
the job, have the applicants fill out application forms, utilize various selection techniques to
identify viable job candidates, send one or more viable job candidates to their supervisor, have
the candidate(s) go through selection interviews, and determine to which candidate(s) an offer
should be made.

Recruitment and Selection practices leads to performance

Recruitment, as a human resource management function, is one of the activities

that impact most critically on the performance of an organization. While it is understood and
accepted that poor recruitment decisions continue to affect organizational performance and
limit goal achievement, it is best that much effort is put in the recruitment and selection
practices (Randall, 1987). Recruitment and selection also has an important role to play in
ensuring worker performance and positive organizational outcomes. It is often claimed that
selection of workers occurs not just to replace departing employees or add to a workforce but
rather aims to put in place workers who can perform at a high level and demonstrate
commitment (Ballantyne, 2009).
Recruitment and selection play a pivotally important role in shaping an organization’s
effectiveness and performance, if work organizations are able to acquire workers who already
possess relevant knowledge, skills and aptitudes and are also able to make an accurate
prediction regarding their future abilities, recruiting and selecting staff in an effective manner
can both avoid undesirable costs for example those associated with high staff turnover, poor
performance and dissatisfied customers and engender a mutually beneficial employment
relationship characterized, wherever possible, by high commitment on both sides. Pilbeam and
Corbridge, (2006) provide a useful overview of potential positive and negative aspects noting
that: ‘The recruitment and selection of employees is fundamental to the functioning of an
organization, and there are compelling reasons for getting it right. Inappropriate selection
decisions reduce organizational effectiveness, invalidate reward and development strategies,
are frequently unfair on the individual recruit and can be distressing for managers who have to
deal with unsuitable employees.’

Recruiting and selection is very important for the survival of every organization but that does
not end there, new recruits need to be developed and appraised from time to time in order for
them to be abreast with new trends and challenges. When employees are developed it help
increase their performance and help sustain the growth of organizations.

Human Resource Development

Companies can only succeed in the long-term if they recruit and motivate people who
are able to respond to and shape the challenges of the future. These are the individuals with the
capacity to create competitive advantage from the opportunities presented by changing
markets, with the desire to learn from customers, consumers, suppliers and colleagues, and who
possess the ability to build and influence long-lasting and effective partnerships (Walker,
1990).
The recruitment of new employees helps to demonstrate a company’s aspirations, highlighting
the skills and attitudes to which it attaches the highest priority. The choice also provides a
major opportunity to communicate the values and successes of the organization – to explain
why the company offers the most attractive place for a person to develop their career. Yet this
competition for top talent is nothing new; and if the challenge for HR managers is to spot the
best people and win their favour (Walker, 1990).
A well-prepared and motivated workforce is possibly the most important of the three intangible
assets to support an organization’s value creating processes. According to Peter Drucker “The
most valuable asset of a 20th century company was its production equipment. The most
valuable asset of a 21st century institution will be its knowledge workers and their productivity
(Drucker,
1999). A great deal exists in the literature about the provision of staff development and training
as investment for organizations. Staff development and staff training are parts of the bigger
concept of human resource development (HRD). Training is just one possible way to organize
and implement learning processes in organizations and not always the most effective one.
HRD encompasses the broad set of activities that improve the performance of the individual
and teams, hence the organization. Training and development have come to be viewed as
lifelong activity, rather than the front end acquisition of qualifications. As a result, the focus of
concern has shifted from what the trainer does, to what the learner requires. The ultimate aim
of the training and development process has been characterized as the creation of the learning
organization, constantly reviewing its mistakes and successes and adapting its activities
appropriately. The issues of workforce demographics, desirable characteristics of the
workforce and the obstacles to achieving the workforce which is well prepared, motivated and
strategically ready in today’s libraries, are key elements to be considered when discussing
human resource development. Some of the other issues/challenges confronting human resource
managers in this context are: Do we hire for today’s needs or tomorrow’s? How can we hire
for the future needs of the library? How do we go about providing human resource development
for the needs of the organization as a whole, not just for the specific jobs people perform?
These issues are not confined to libraries. Many other organizations are also trying to deal with
these challenges.
Until recently, the focus when hiring has been more on skills, for reference, cataloguing, IT
and so on, rather than on attributes like strategic thinking, flexibility, adaptability and
commitment to lifelong learning. There is a growing trend now to “hire for attributes and then
train for the skills”
(WhitmellAssociates, 2004). The need to hire staff with abilities such as flexibility,
adaptability, leadership potential and learning agility is increasingly recognized by human
resource managers. The process of bringing in such changes to our workplaces is not
straightforward as it affects the hiring process as well as staff development and training
activities. To keep alive the principles of training and development, all related initiatives need
to be integrated. Hiring, orientation, communication, performance reviews, and rewards and
recognition are interrelated and therefore should be linked to each other and to the training and
development programs.
Recruitment of staff that is flexible, strategic thinkers, multi-skilled, open to change and
responsive is not a simple, straightforward process as identification of individuals with these
skills is not as easy as identification of those with cataloguing, reference or IT skills. Retaining
these skilled people and ensuring that once hired, they are motivated and continue to enhance
the skills and attributes they had when they joined the organization may present challenges for
human resource managers. It requires creation of an environment within the organization to
ensure these happen, in other words a “knowledge-based organization” equipped to deal with
the constantly changing environment.