1

A PROJECT REPORT
ON

RECRUITMENT AND SELECTION

IN
STEEL AUTHORITY OF INDIA LIMITED

Submitted in partial fulfilment of the requirement of

Bachelor of Business Administration,

Guru Gobind Singh Indraprastha University

Delhi

Submitted by:
Arham Shamsi
Enrolment No.-10521401709

Jaggannath International Management School

Vasant Kunj
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ACKNOWLEDGEMENT

The present work is an effort to throw some light on Recruitment and Selection
procedure in STEEL AUTHORITY OF INDIA LIMITED.

With deep sense of gratitude I acknowledged the encouragement and guidance

received by my Project Guide Mr. Pawan Kumar, in his valuable guidance. He has
been a constant guiding force and source of illumination for me. He was very
generous in giving me this opportunity to work under shape. I would like to thank
him for his valuable advice and guidance.

I Would also like to thank Mrs Shruti Minocha without her guidance, supervision,
assistance, inspiration and cooperation the work would not have been possible to
come to the present shape.

Further I would thank all the staff members of HR division who have been very
courteous in providing all other information about company and its product.

I am also thankful to all the respondents who spared their valuable time for filling
up the questionnaire and helped me out with this project.

I convey my heartful affection to all those people who helped and supported me
during course, for completion of my Project Report.
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DECLARATION

The summer training project on “A Study on Recruitment and selection in SAIL” under the
guidance of “Mr. PAWAN KUMAR ,AGM(Pres-Recuitment) is the original work done by
me. This is the property of the institute and use of this report without prior permission of
the institute will be considered illegal and actionable.

Signature:

[Mr. PAWAN KUMAR]

AGM (Pres- Recruitment)

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Table of contents
Chapter 1
Company profile
 INTRODUCTION

 BACKGROUND OF THE COMPANY

Chapter 2
Literature Review
 CONCEPT – RECRUITMENT

 RECRUITMENT NEEDS

 SIGNIFICANCE OF RECRUITMENT

 RECRUITMENT PROCESS

 RECRUITMENT SOURCES

A.INTERNAL
B. EXTERNAL
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 ADVANTAGES AND DISADVANTAGES OF

RECRUITMENT SOURCES

 FACTORS AFFECTING RECRUITMENT

 RECENT TRENDS IN RECRUITMENT

 CONCEPT SELECTION

 OUTCOMES OF SELECTION DECISIONS

 SELECTION PROCESS

 DIFFERENCE BETWEEN RECRUITMENT AND

SELECTION

 HRD AT SAIL

 RECRUITMENT POLICY

 RECRUITMENT STRATEGY

 RECRUITMENT SOURCES OF SAIL

 SKILLS SET RECRUITMENT

 RECRUITMENT FOR MANAGERIAL POSITION

 RECRUITMENT FOR SENIOR AND JUNIOR LEVEL

POSITION

 RECRUITMENT CYCLE TIME

 SELECTION PROCESS IN SAIL

 PURPOSE OF RESEARCH STUDY

 ANALYSIS AND INTERPRETATION OF DATA

 FINDINGS
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 LIMITATIONS

 RECOMMENDATIONS

 CONCLUSION

 BIBLIOGRAPHY
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INTRODUCTION

“ABOUT THE COMPANY”

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PREFACE
Steel Authority of India Limited (SAIL) is the leading steel-making company in India. It is a
fully integrated iron and steel maker, producing both basic and special steels for domestic
construction, engineering, power, railway, automotive and defence industries and for sale
in export markets. SAIL is also among the five Maharatnas of the country's Central Public
Sector Enterprises.

SAIL manufactures and sells a broad range of steel products, including hot and cold rolled
sheets and coils, galvanised sheets, electrical sheets, structurals, railway products, plates,
bars and rods, stainless steel and other alloy steels. SAIL produces iron and steel at five
integrated plants and three special steel plants, located principally in the eastern and
central regions of India and situated close to domestic sources of raw materials, including
the Company's iron ore, limestone and dolomite mines. The company has the distinction
of being India’s second largest producer of iron ore and of having the country’s second
largest mines network. This gives SAIL a competitive edge in terms of captive availability
of iron ore, limestone, and dolomite which are inputs for steel making.

SAIL's wide range of long and flat steel products are much in demand in the domestic as
well as the international market. This vital responsibility is carried out by SAIL's own
Central Marketing Organisation (CMO) that transacts business through its network of 37
Branch Sales Offices spread across the four regions, 25 Departmental Warehouses, 42
Consignment Agents and 27 Customer Contact Offices. CMO’s domestic marketing effort is
supplemented by its ever widening network of rural dealers who meet the demands of
the smallest customers in the remotest corners of the country. With the total number of
dealers over 2000 , SAIL's wide marketing spread ensures availability of quality steel in
virtually all the districts of the country.

SAIL's International Trade Division ( ITD), in New Delhi- an ISO 9001:2000 accredited unit
of CMO, undertakes exports of Mild Steel products and Pig Iron from SAIL’s five integrated
steel plants.

With technical and managerial expertise and know-how in steel making gained over four
decades, SAIL's Consultancy Division (SAILCON) at New Delhi offers services and
consultancy to clients world-wide.
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INTRODUCTION

Steel Authority of India Ltd. a Navaratna public sector undertaking

of GOI , is the leading steel making company in India and ranked
world ‘s seventeenth largest steel producer in 2005. During 2005-
2006 , SAIL (ISP & special steels plants) produced 13.47 million
tonnes of crude steel, accounting for about 31.5% of total domestic
crude steel production. With 12.05 million tonnes of saleable steel
production ,SAIL has 23%market share (mild steel).

Incorporated in 1973, steel authority of india (SAIL) is the largest

integrated steel producer in India with multi - locational facilities
of production. It manages and operates four integrated steel plants
at bhilia (chattisgarh) ; bokaro (Jharkhand); Durgapur (west
Bengal); rourkila (Orissa) and IISCO (west Bengal). It also has three
units making stainless and alloy steel at Durgapur (west Bengal);
salem (tamil nadu) and bhadravati (Karnataka). Sail operates nine
iron ore, five limestone , three dolomite and three coal mines.
Besides , it also has a subsidiary MEL, (Chanderpur) which is in the
process of being merged with SAIL. SAIL has also procured six joint
venture companies in different areas from power plants to e-
commerce.

Sail manufactures and sells a broad range of steel products,

including hot and cold rolled sheets and coils , galvanized sheets,
electrical sheets, structural , railway products, plates , bars and
rods , stainless steel and other alloy steel. Sail produces iron and
steel at four integrated plants and three special steel plants ,
located principally in the eastern and central regions of india and
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situated close to domestic sources of raw materials, including the

Company’s iron ore, limestone and dolomite mines.

SAIL’s wide range of long and flat steel products is much in demand
in the domestic as well as international market. This vital
responsibility is carried out by SAIL’s own Central Marketing
Organisation(CMO) and International Trade Division. CMO
encompasses a wide network of 38 branch offices and 47
stockyards located in major cities and towns throughout India.

SAIL has a well equipped Research and Development Centre for

Iron and Steel(RDCIS) at Ranchi which helps to produce quality steel
and develop new technologies for the steel industry. Besides, SAIL
has its own in-house centre for Engineering and Technology(CET),
Management Training Institute(MTI) and Safety Organisation at
Ranchi. Our captive mines are under the control of the Raw
Materials Division in Calcutta. The Environment Management
Division and Growth Division of SAIL operate from their
headquarters in Calcutta. Almost all our plants and major units are
ISO certified.
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Major Plants and Units of SAIL 

Integrated Steel Plants

 Bhilai Steel Plant (BSP) in Chhattisgarh

 Durgapur Steel Plant (DSP) in West Bengal
 Rourkela Steel Plant (RSP) in Orissa
 Bokaro Steel Plant (BSL) in Jharkhand
 IISCO Steel Plant (ISP) in West Bengal

Special Steel Plants

 Alloy Steels Plants (ASP) in West Bengal

 Salem Steel Plant (SSP) in Tamil Nadu
 Visvesvaraya Iron and Steel Plant (VISL) in Karnataka

Subsidiary

 Maharashtra
Elektrosmelt
Limited (MEL)
in
Maharashtra
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Joint Ventures

 NTPC SAIL Power Company Pvt. Limited (NSPCL): A 50:50 joint venture
between Steel Authority of India Ltd (SAIL) and National Thermal Power
Corporation Ltd (NTPC Ltd); manages SAIL’s captive power plants at Rourkela,
Durgapur and Bhilai with a combined capacity of 814 megawatts (MW).

 Bokaro Power Supply Company Pvt. Limited (BPSCL): This 50:50 joint

venture between SAIL and the Damodar Valley Corporation (DVC) is managing the
302-MW power generating station and 660 tonnes per hour steam generation
facilities at Bokaro Steel Plant.

 Mjunction Services Limited: A 50:50 joint venture between SAIL and Tata
Steel; promotes e-commerce activities in steel and related areas. Its newly added
services include e-assets sales, events & conferences, coal sales & logistics,
publications, etc.

 SAIL-Bansal Service Centre Limited: A joint venture with BMW Industries Ltd.
on 40:60 basis for a service centre at Bokaro with the objective of adding value to
steel.

 Bhilai JP Cement Limited: A joint venture company with Jaiprakash Associates

Ltd on 26:74 basis to set up a 2.2 million tonne (MT) slag-based cement plant at
Bhilai.

 Bokaro JP Cement Limited: Another joint venture company with Jaiprakash

Associates Ltd on 26:74 basis to set up a 2.1 MT slag-based cement plant at Bokaro.
 13

 SAIL & MOIL Ferro Alloys (Pvt.) Limited : A joint venture company with
Manganese Ore (India) Ltd on 50:50 basis to produce ferro-manganese and silico-
manganese required in production of steel.

 S & T Mining Company Pvt. Limited: A 50:50 joint venture company with Tata
Steel for joint acquisition & development of mineral deposits; carrying out mining
of minerals including exploration, development, mining and beneficiation of
identified coking coal blocks.

 International Coal Ventures Private Limited: A joint venture company/SPV

promoted by five central PSUs, viz. SAIL, CIL, RINL, NMDC and NTPC (with
respectively 28.7%, 28.7%, 14.3%, 14.3% and 14.3% shareholding) aiming to
acquire stake in coal mines/blocks/companies overseas for securing coking and
thermal coal supplies.

 SAIL SCI Shipping Pvt. Limited: A 50:50 joint venture with Shipping
Corporation of India for provision of  various shipping and related services to SAIL 
for importing of coking coal and other bulk materials and other shipping-related
business.

  

 SAIL RITES Bengal Wagon Industry Pvt. Limited: A 50:50 joint venture with
RITES to manufacture, sell, market, distribute and export railway wagons, including
high-end specialised wagons, wagon prototypes, fabricated components/parts of
railway vehicles, rehabilitation of industrial locomotives, etc., for the domestic
market.

 SAIL SCL Limited:  A 50:50 JV with Government of Kerala where SAIL has
management control to revive the existing facilities at Steel Complex Ltd, Calicut
and also to set up, develop and manage a TMT rolling mill of 65,000 MT capacity
along with balancing facilities and auxilliaries. 
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BACKGROUND OF THE COMPANY

The Precursor
SAIL traces its origin to the formative years of an emerging nation - India. After
independence the builders of modern India worked with a vision - to lay the infrastructure
for rapid industrialisaton of the country. The steel sector was to propel the economic
growth. Hindustan Steel Private Limited was set up on January 19, 1954.

Expanding Horizon (1959-1973)

Hindustan Steel (HSL) was initially designed to manage only one plant that was coming up
at Rourkela. For Bhilai and Durgapur Steel Plants, the preliminary work was done by the
Iron and Steel Ministry. From April 1957, the supervision and control of these two steel
plants were also transferred to Hindustan Steel. The registered office was originally in
New Delhi. It moved to Calcutta in July 1956, and ultimately to Ranchi in December 1959.

The 1 MT phases of Bhilai and Rourkela Steel Plants were completed by the end of
December 1961. The 1 MT phase of Durgapur Steel Plant was completed in January 1962
after commissioning of the Wheel and Axle plant. The crude steel production of HSL went
up from .158 MT (1959-60) to 1.6 MT. A new steel company, Bokaro Steel Limited, was
incorporated in January 1964 to construct and operate the steel plant at Bokaro.The
second phase of Bhilai Steel Plant was completed in September 1967 after commissioning
of the Wire Rod Mill. The last unit of the 1.8 MT phase of Rourkela - the Tandem Mill - was
commissioned in February 1968, and the 1.6 MT stage of Durgapur Steel Plant was
completed in August 1969 after commissioning of the Furnace in SMS. Thus, with the
completion of the 2.5 MT stage at Bhilai, 1.8 MT at Rourkela and 1.6 MT at Durgapur, the
total crude steel production capacity of HSL was raised to 3.7 MT in 1968-69 and
subsequently to 4MT in 1972-73.

Holding Company
The Ministry of Steel and Mines drafted a policy statement to evolve a new model for
managing industry. The policy statement was presented to the Parliament on December 2,
1972. On this basis the concept of creating a holding company to manage inputs and
outputs under one umbrella was mooted. This led to the formation of Steel Authority of
India Ltd. The company, incorporated on January 24, 1973 with an authorized capital of
Rs. 2000 crore, was made responsible for managing five integrated steel plants at Bhilai,
Bokaro, Durgapur, Rourkela and Burnpur, the Alloy Steel Plant and the Salem Steel Plant.
In 1978 SAIL was restructured as an operating company.

Since its inception, SAIL has been instrumental in laying a sound infrastructure for the
industrial development of the country. Besides, it has immensely contributed to the
development of technical and managerial expertise.
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Shareholding Pattern Of SAIL

SHARE HOLDING PATTERN
AS ON 31ST MARCH ' 2009
No. of Equity No. of Amount Percentage
Category of Shareholders
Shares Held Holders(Rs. in Crs) (%) holding
GOI 3,544,690,282 1 3544.69 85.82
Financial Institutions & Banks 282,567,661 89 282.57 6.84
Mutual Funds 31,391,984 77 31.39 0.76
FII's 155,491,955 244 155.49 3.76
GDR 643,345 2 0.64 0.02
Companies/ Trusts 28,718,088 3,563 28.72 0.70
Individuals * 86,897,230 354,606 86.90 2.10
* Incl. Employees and NRI's
Total 4,130,400,545 358,582 4,130 100

SHAREHOLDING PATTERN ( % of Equity)

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SWOT Analysis of The Industry

The strengths, weakness, opportunities and threats for the Indian steel industry have
been tabulated below. The national steel policy lays down the broad roadmap to deal
with all of them.

STRENGTHS

Availability of abondon Iron Ore

 Abondance of quality manpower

 Mature production base

 High maintenance of plants

WEAKNESS

 Unscientific mining

 Low productivity

 Low R&D Investment

 Inadequate infrastructures

 High cost of debt

OPPORTUNITIES

 Unexplored rural market

 Growing domestic demand

 Exports

THREATS

 China Becoming Net Exporter

 Protectionism in the West

 Dumping by competitors
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Corporate plan 2012

Corporate plan 2012 provides directional guidelines and sets operational and financial
objectives. As harmonizing the functional and operational goal is essential for attaining
the strategic objectives set in plan, it is incumbent upon SAIL to capitalize on emerging
opportunities and improve further its responsibility and market position by building a
truly competitive organisation at a global level. It is designed as a two stage process- stage
I with a perspective from present i.e.(2004-2007) and stage -2 covering the subsequent
period up to 2011-2012.

In the two phase process the phase-1up to 2006-2007, the emphasis will be on exploiting
existing production potential. A list of “priority schemes” has already been identified for
completion by 2006-2007. These are broadly in nature of de-bottlenecking,
replacement/revamping schemes, and balancing facilities, viz – rebuilding of COBs at
RSP,BSP, and BSL; reconstruction of Blast Furnaces at RSP and BSP; installation of CDI in all
steel plants; installation of new casters at BSP & DSP etc. The total expenditure during this
phase will be around Rs.4300 crore. The major expansion plans of introducing new Blast
Furnance at RSP, new SMS at BSP and a new mills at all the ISPs will be taken up in the
phase-II of the Corporate Plan.
 18

The envisaged growth in volumes are planned to be achieved by-

 Realization of full potential of existing assets

 De-bottlenecking

 Linked facilities for value addition

 Capacity enhanced in growth segments

The key strategic goals for SAIL defined in Corporate Plan 2012 are:
 To continue in the business of steel and steel related activities.

 To enhance market share in growth segments.

 To improve profits by cost reduction (raw materials, salary and wages, energy, and
financial charges) and high value added products.

 To achieve excellence in quality across the value chain.

 To secure availability of key raw materials, and alleviate infrastructure bottlenecks

which may constraint long term growth.

 To build customer centric-processes, systems, structure and procedures.

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“LITERATURE
REVIEW”
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CONCEPT – RECRUITMENT

RECRUITMENT–Placing the RIGHT PERSON in RIGHT PLACE at RIGHT TIME.

Recruitment is a process of finding and attracting capable applicants for employment. The
process begins when new recruits are sought and ends when their applications are submitted.
The result is a pool of applications from which new employees are selected.

Recruitment is an important part of an organization’s human resource planning and

their competitive strength. HRP helps determine the number and type of people an
organization needs. Job Analysis and Job Design specify the tasks and duties of jobs
and the qualifications expected from prospective jobholders.

Human Determine Recruitment and Selection needsJob Analysis

Resource Planning

nsures that it of
as a process hasstudying
the right number
and of people
collecting and therelating
information right kind of people
to the at the
operations right
and time doing work
responsibilities of a for which
specific jo
 21

Job Description: Job description is a simple, concisely written statement

explaining the contents and essential needs of a job and a summary of the
duties to be performed. It gives a precise picture of features of each job in
terms of task contents and occupational requirements.

Job Specification: Job specification is a statement of the minimum acceptable

human qualities necessary to perform a job satisfactorily. It translate the job
description into terms of the human qualifications which are required for a
successful performance of a job.

FEATURES

 Recruitment is a process or a series of activities rather than a single act

or event.

 Recruitment is a linking activity as it brings together those with jobs

(Recruiter) and those seeking jobs (prospective employees).

 Recruitment is a positive function as it seeks to develop a pool of

eligible persons from which most suitable ones can be selected.

 Recruitment is an important function as it makes it possible to acquire

the number and type of persons necessary for continued function of
the organization.

 Recruitment is a pervasive function.

 Recruitment is a two way process-recruiter chooses whom to recruit,

prospective employee chooses where to apply

 Recruitment is a complex job as many factors affect it, e.g. image of

the organization, nature of jobs offered, organizational policies etc.
 22

RECRUITMENT NEEDS ARE OF THREE TYPES

 Planned:
i.e. the needs arising from changes in organization and retirement policy.
 Anticipated:
Anticipated needs are those movements in personnel, which an organization
can predict by studying trends in internal and external environment.
 Unexpected:
Resignation, deaths, accidents, illness give rise to unexpected needs.

PURPOSE AND IMPORTANCE OF RECRUITMENT

 Attract and encourage more and more candidates to apply in the organization.
 Create a talent pool of candidates to enable the selection of best candidates for
the organization.
 Determine present and future requirements of the organization in conjunction
with its personnel planning and job analysis activities.
 Recruitment is the process which links the employers with the employees.
 Increase the pool of job candidates at minimum cost.
 Help increase the success rate of selection process by decreasing number of
visibly under qualified or overqualified job applicants.
 Help reduce the probability that job applicants once recruited and selected will
leave the organization only after a short period of time.
 Meet the organizations legal and social obligations regarding the composition
of its workforce.
 Begin identifying and preparing potential job applicants who will be
appropriate candidates.
 Increase organization and individual effectiveness of various recruiting
techniques and sources for all types of job applicants.
 23

RECRUITMENT PROCESS

Recruitment process involves a systematic procedure from sourcing the candidates

to arranging and conducting the interviews and requires many resources and time.

A general recruitment process is as follows:

1) Identify vacancy
2) Prepare job description and person specification
3) Advertising the vacancy
4) Managing the response
5) Short-listing
6) Arrange interviews
7) Conducting interview and decision making

Personnel Job Employee

Planning Analysis Requisition To Selection

Job Recruitment Planning Searching Activation Applicant Screening Potential

Vacancies - Numbers “Selling” Pool Hires
- Types - Message
- Media

Strategy Development
- Where
- How Applicant Evaluation
- When Population And Control

Recruitment Process
 24

FACTORS AFFECTING RECRUITMENT

Recruitment is naturally subject to influence of several factors. These include
external as well internal forces.

Internal Factors External Factors

Recruitment Policy Supply and demand
HRP RECRUITMENT Unemployment rate
Size of the firm Labor market
Cost Political- Social
Growth and Expansion Image

SOURCES OF RECRUITMENT

Every organization has the option of choosing the candidates for its recruitment
processes from TWO kinds of sources: internal and external sources.

 The sources within the organization itself to fill a position are known as the
INTERNAL SOURCES of recruitment.
 Recruitment candidates from all the other sources are known as the EXTERNAL
SOURCES of recruitment.

SOURCES OF RECRUITMENT

Internal Sources External Sources

Transfers Press Advertisement

Promotions Educational Institutes
Upgrading Placement Agencies / Outsourcing
Demotion Employment Exchanges
Retired Employees Labor Contractors
Retrenched Employees Unsolicited applications
Dependents and relatives of deceased employees Employee Referrals
Recruitment at factory gate
 25

COMPARATIVE ADVANTAGES AND DISADVANTAGES OF RECRUITMENT SOURCES

Advantages Disadvantages

INTERNAL RECRUITMENT

1 It perpetuates the old concept of doing

It is less costly.
. things.

2 Candidates are already oriented towards

It abets raiding.
. organization.

3 Organizations have better knowledge

Candidate’s current work may be affected.
. about the internal candidates.

4 Enhancement of employee morale and

Politics play greater role.
. motivation.

5
Good performance is rewarded. Morale problem for those not promoted.
.

EXTERNAL RECRUITMENT

Better morale and motivation associated

1 Benefits of new skills, new talents and
with internal recruiting is denied to the
. new experiences to organizations.
organization.

2 Compliance with reservation policy

It is costly.
. becomes easy.

3 Scope for resentment, jealousies and Chances of creeping in false positive and
. heartburn are avoided. false negative errors.

4 Adjustment of new employees to the

It could help in injection of fresh blood.
. organizational culture takes longer time.

RECENT TRENDS IN RECRUITMENT

 26

The following trends are being seen in recruitment:

 Outsourcing
In India, the HR processes are being outsourced from more than a decade now. A
company may draw required personnel from outsourcing firms. The outsourcing
firms help the organization by the initial screening of the candidates according to
the needs of the organization and creating a suitable pool of talent for the final
selection by the organization. Outsourcing firms develop their human resource
pool by employing people for them and make available personnel to various
companies as per their needs. In turn, the outsourcing firms or the intermediaries
charge the organizations for their services.

Poaching / Raiding
“Buying talent” (rather than developing it) is the latest mantra being followed by
the organizations today. Poaching means employing a competent and experienced
person already working with another reputed company in the same or different
industry; the organization might be a competitor in the industry.

E-Recruitment
Many big organizations use Internet as a source of recruitment. E- recruitment is
the use of technology to assist the recruitment process. They advertise job
vacancies through worldwide web. The job seekers send their applications or
curriculum vitae i.e. CV through e mail using the Internet.

CONCEPT - SELECTION
 27

It is the process of differentiating between applicants in order to identify and hire

those with a greater likelihood of success in a job.

Once the recruiting effort has developed a pool of candidates, the next step in the
HRM process is to determine who is best qualified for the job. This step is called
the selection process. The enterprise decides whether to make a job offer and how
attractive the offer should be. The job candidate decides whether the enterprise
and the job offer fit his or her needs and personal goals. The process also seeks to
predict which applicants will be successful if hired. Success, in this case, means
performing well on the criteria the enterprise uses to evaluate employees.

OUTCOMES OF THE SELECTION DECISION

Selection Decision

  Accept Reject
Job Performance

Unsuccessful Successful

Correct Decision Reject Error

Accept Error Correct Decision

Correct Selection
Decisions are those where the candidate was predicted to be successful in advance
and prove to be successful on the job. At times the applicant is predicted to be
unsuccessful and, as expected, performs unsatisfactorily after getting selected.
While in the first case, the worker is successfully accepted; in the later the worker
 28

Errors arise when we reject a candidate who would have performed successfully on
the job. This is termed as reject error. In certain situations a worker is accepted
ultimately and performs unsatisfactorily. This is called accept error.

SELECTION PROCESS

Selection is a long process, commencing from the preliminary interview of the

applicants and ending with the contract of employment.

SELECTION PROCESS
 29

DIFFERENCE BETWEEN RECRUITMENT AND SELECTION

Difference between Recruitment and Selection

S.No. Recruitment Selection

Recruitment is the process of Selection involves the series of steps

searching the candidates for by which the candidates are screened
1
employment and stimulating them to for choosing the most suitable persons
apply for jobs in the organization. for vacant posts.

The basic purpose of recruitments is

to create a talent pool of candidates
to enable the selection of best
2
candidates for the organization, by
attracting more and more employees
to apply in the organization.
The basic purpose of selection process
is to choose the right candidate to fill
the various positions in the
organization.

Recruitment is a positive process i.e. Selection is a negative process as it

3 encouraging more and more involves rejection of the unsuitable
employees to apply. candidates.

Recruitment is concerned with Selection is concerned with selecting

4 tapping the sources of human the most suitable candidate through
resources. various interviews and tests.

Selection results in a contract of

There is no contract of recruitment
5 service between the employer and the
established in recruitment.
selected employee.
 30

HUMAN RESOURCE DEVELOPMENT

Human Resources Development (HRD) as a theory is a framework for the expansion
of human capital within an organization through the development of both the
organization and the individual to achieve performance improvement. Adam Smith states,
“The capacities of individuals depended on their access to education” . The same
statement applies to organizations themselves, but it requires a much broader field to
cover both areas.

Human Resource Development is the integrated use of training, organization, and career
development efforts to improve individual, group and organizational effectiveness. HRD
develops the key competencies that enable individuals in organizations to perform current
and future jobs through planned learning activities. Groups within organizations use HRD
to initiate and manage change. Also, HRD ensures a match between individual and
organizational needs.

ROLE OF HRD IN SAIL

FACILITATION
 Nurturing the future

 Strategic interventions for organisational growth

FUNCTIONAL
 Identifying skill gap

 Designing training interventions

 Internal consultant

 Management research, publication and documentation

 Develop the HRD function

 31

HRD AT SAIL

HR DEPARTMENT

Recruitment Training MIS

And And And Compensation E-Relations
Selection Development

STRUCTURE OF HR DEPARTMENT:

RECRUITMENT POLICY

Recruitment policy of SAIL consists of

 Objectives

 Scope

 Sources of recruitment

 Recruitment plan

 Job specifications

 Requisitions

 Mode of selection

 Selection committee
 32

 Final selection

RECRUITMENT STRATEGY

Recruitment strategies of the companies are:

 At least 50% of the vacancies occurring during a year at induction level/grades

are filled up through direct recruitment from external sources.

 Recruitment of executives from external sources will be made through open

advertisement in the press.

 Higher managerial grades/positions such as ASSISTANT MANAGER, MANAGER,

SENIOR MANAGER, AGM DGM GM DP AND EXECUTIVE MANAGER are done
through Direct Recruitment.

 Direct recruitment to the following will be centralised and done on all India
level basis at the Corporate Office for the entire company including its
Plants/Units .i.e.

 ASST.GENERAL MANAGER, DYP.GENERAL MANAGER,GENERAL

MANAGER ,EXECUTIVE MANAGER.

 MANAGEMENT TRAINEES (TECHNICAL AND ADMN.)

 JUNIOR MANAGER

RECRUITMENT SOURCES OF SAIL

 33

INTERNAL SOURCES:-

1. PROMOTIONS:-Sail promotes the employees from one department to another

with more benefits and greater responsibility based on efficiency and experience.

2. EMPLOYEE REFERRALS:- Sail has structured system where the current

employees of the organization refer their friends and relatives for some position in
the organization.

EXTERNAL SOURCES:-

1.PRESS ADVERTISEMENTS:- Advertisements of the vacancy in newspapers and

journals are a widely used source of recruitment.

2.E-RECRUITMENT:- Sail uses Internet as a source of recruitment. E- Recruitment

is the use of technology to assist the recruitment process

SKILL SETS REQUIREMENT

As the organization grows the need for professionalism in the organization

increases and so does the pay package.

The requirements have changed in terms of:

 Role
 Profile
 Traits
Even the HR department focus on two areas:
1. Strategic policies planning and implementation
2. Activities to make the work of the people in the organization interesting.
 34

There is a personalized position created for each and every individual from the top
to the lowest level in the organization.

 In SAIL HR Department can be categorized according to the personalized

positions :- HR
Head

Managerial Positions

HR and Admin
Manager

Sr. HR Executive

Sr. Level Positions

Sr. Purchase Executive

HR AND ADMIN

HR
Executive

Admin
Executive

Jr. Level Positions

Store
Executive

Front Desk
Executive

RECRUITMENTS FOR MANAGERIAL POSITIONS IN SAIL

 35

Recruitment for managerial positions is done through interview & written test .

ELIGIBILITY:-

 The educational qualification, experience etc

 Their role in the organization in respect of their position, job responsibility, key
areas of performance.
 The pay structure along with the various facilities offered by the company.

RECRUITMENTS FOR SENIOR AND JUNIOR LEVEL POSITIONS

Main sources of recruitment here are:

 Newspaper Advertisements
 Internal employee reference
 Recruiting IT Management trainees

SELECTION PROCESS IN SAIL:-

 36

 Initially HR specialists conduct the PRELIMINARY INTERVIEW to eliminate

unqualified job seekers based on the information supplied in their application
forms.

 Then HR specialist conducts different types of SELECTION TESTS, depending on

the job to determine the applicant’s ability, aptitude and personality.

SELECTION TESTS

Ability Test This assist in determining how well an individual can perform tasks related of the jo

Aptitude Test This assist in determining a person’s potential to learn in a given area.

Personality
This Test to measure a prospective employee’s motivation to function in a particular work
test is given

Interest Test This test is used to measure an individual’s activity preferences.

Medical Test
This test reveals physical fitness of a candidate.

 Then HR specialists conduct the EMPLOYMENT INTERVIEW.

TYPES OF EMPLOYMENT INTERVIEW

 37

1. One-to-one Interview

Candidate Interviewer

2. Sequential Interview

1 2

Candidate Interviewers Candidate Interviewers

 38

3. Panel Interview

Candidate Interviewers
 39

“PURPOSE OF

RESEARCH STUDY”

RESEARCH METHODOLOGY:-
 40

The study will be conducted to achieve the aforesaid objectives including

both exploratory and descriptive in nature and involve personal interviews that
will be based on the questionnaire format. A Research Methodology defines the
purpose of the research, how it proceeds, how to measure progress and what
constitute success with respect to the objectives determined for carrying out the
research study.

 The research methodology for the present study has been adopted to reflect
these realties and help reach the logical conclusion in an objective and scientific
manner.
 The present study contemplated an Exploratory Research.

The appropriate research design formulated is detailed below.

RESEARCH DESIGN: Exploratory Research

A research design is the specification of methods and procedures for acquiring the
information needed to structure or solve the problem. It is the overall operational
pattern or framework of the project that stimulates what information is to be
collected from which source and by what procedure. On the basis of major purpose
of our investigation the EXPLORATORY RESEARCH was found to be most suitable.
This kind of research has the primary objective of development of insights into the
problem. It studies the main area where the problem lies and also tries to evaluate
some appropriate courses of action.

DATA COLLECTION SOURCES:

 41

Primary data: The data that is collected first hand by someone specifically for the
purpose of facilitating the study is known as primary data. So in this research the
data is collected from respondents through QUESTIONNAIRE.

PRIMARY SOURCES

The data required for the study has been collected from-

QUESTIONNAIRE survey among the officials and employees of SAlL.

PERSONAL INTERVIEWS with the company representatives regarding

recruitment and selection practices in organization.

Advantages of the Primary data collection method

1 Primary data can be collected from a number of ways.

Primary data is current and it can better give a realistic view to the researcher
2
about the topic under consideration. It provides unbiased information.

3 It is relatively cheap and no prior arrangements are required.

Secondary data: Secondary data refer to information gathered by someone other

than the researcher conducting the current study. Such data can be internal or
external to the organization and accessed through the Internet or perusal of
recorded or published information.
 42

Secondary sources of data provide a lot of information for research and problem
solving. Such data are as we have seen mostly qualitative in nature.

SECONDARY SOURCES:

The secondary data has been collected from:

 Internet, websites
 Organizational Reports
 Case Studies
 Business magazines
 Books
 Journals on e-learning Industry.

Advantages to the secondary data collection method

1 It saves time that would otherwise be spent collecting data.

It provides a larger database (usually) than what would be possible to collect on

2
ones own.
 43

SAMPLING METHOD

Survey was done by QUESTIONNAIRE method.

SAMPLE AREA
Delhi

SAMPLE UNIT
Officials and employees of SAIL
 44

“ANALYSIS OF DATA”

ANALYSIS AND INTERPRETATION OF DATA

 45

1) Is there a well defined Recruitment Policy in your organization?

S.No. Options No.

Strongly
1 Agree 10
Moderately
2 Agree 9
3 Disagree 1
4 Can't Say 0

CONCLUSION
An organization must have a well-defined recruitment policy corresponding to the
company and vacancy requirements. Existing employees can give a fair feedback on
the suitability of the policy. 50% employees feel that the organization’s
recruitment policy is stronge & well defined. And 45% employee feel that the
organization recruitment policy is moderately agree . Majority of employees feels
that policy is well defined which is a great morale victory on the part of
management.

Q2) Principle of right man on the right job is strictly followed/a detailed job-
analysis is done prior recruitment?

S.No. Options No.

 46

1 Strongly Agree 9
Moderately
2 Agree 10
3 Disagree 1
4 Can't Say 0

CONCLUSION
Job Analysis is the process of studying and collecting information relating to the
operations and responsibilities of a specific job. The immediate products of this
analysis are job descriptions and job specifications. Recruitment needs to be
preceded by job analysis. The objective of employee hiring is to match the right
people with the right jobs. The objective is too difficult to achieve without having
adequate job information.

Responding to detail job analysis prior recruitment, 45 % employees say that the
principle of right man on the right job is strictly followed prior to recruitment.

Job Analysis is useful for overall management of all personnel activities. In present
scenario company should focus on job analysis as around 5% employees believes
that detailed job analysis is not being done prior recruitment which in future
affects performance of new recruit.

Q3) Do you think the need for manpower planning is given due consideration in
your organization and the manpower requirement is identified well in advance?

S.No. Options No.

1 Strongly Agree 4
Moderately
2 Agree 8
3 Disagree 2
4 Can't Say 1
 47

CONCLUSION
Human Resource Planning is understood as the process of forecasting an
organization’s future demand for, and supply of, the right type of people in the
right number.

27% say that manpower planning is given due importance and manpower
requirement is identified in advance. 13% employees disagree. They think that no
due consideration is given to manpower planning in advance.

(Q4) Which internal source of recruitment is followed by the company and given
more priority?

S.No. Options No.

Internal
1 Promotion 11
Employee
2 Referral 0
3 Transfer 1
4 Job Posting 3
 48

CONCLUSION

Internal Recruitment seeks applicants for positions from those who are currently
employed. Responding to above asked question, 73% employees tell that company

prefers internal promotion as internal source of recruitments. And rest 20% say
that Job posting is preferred. Majority of employees actually thinks that internal
promotion is given priority and followed by company as internal source of
recruitment.

Q5) Which external source of recruitment is followed by the company and given
more priority?

S.No. Options No.

1 Advertisement 13
2 Online Job Portals 0
3 Consultancy 1
Employment
4 Exchange 1
 49

CONCLUSION

External Sources of recruitment lie outside the organization

87% employees think that Advertisement source is given more priority and 7%
employees tell that consultancy is preferred .
 50

Q6) Which source of recruitment is relied upon when immediate requirement

arises?

S.No. Options No.

1 Internal 9
2 External 6

CONCLUSION

Every organization has the option of choosing the candidates for its recruitment
processes from two kinds of sources: internal and external sources.

Responding to recruitment source question, almost all the employees tell that
internal sources are relied upon when there is any immediate manpower
requirement in company.

Analysis clearly represents that 80% say that internal sources are better to be
opted for immediate opening in organization as company can have sufficient
knowledge about the candidate and it is less costly.
 51

Q7) Do you think succession planning is done in advance in your organization?

S.No. Options No.

1 Strongly Agree 5
Moderately
2 Agree 4
3 Disagree 4
4 Can't say 2

CONCLUSION

Succession Planning is the process of identifying, developing, and tracking key

individuals so that they may eventually assume top-level positions.

In respond to Succession Planning question, almost 27% employees actually

believe that no succession planning is done in advance in organization.

Only 33% employees think that succession planning is done in advance.

 52

Q8) The sorting of candidate applications is done by some pre set criteria?

S.No. Options No.

1 Strongly Agree 6
Moderately
2 Agree 6
3 Disagree 1
4 Can't say 2

CONCLUSION

Majority of employees, 40% believe that there is some pre-set criteria according to
which sorting of candidate application is done. 7% feel that sorting is not done by
any pre set criteria. Rest 13% can’t say about it.
 53

Q9) Which are the parameters on which candidates are evaluated (give ratings out
of 10)?

S.No. Options No.

1 Intelligence 4
2 Aptitude 4
3 Skills 5
4 Experienced 10

CONCLUSION

Responding to this question, 22% weightage is given to experience first then

second most weighted parameter is skills then process knowledge and aptitude
and lastly attainments are considered.

Above analysis represents that employees believe that experience and skills are
mostly preferred parameter for evaluating candidates.
 54

Q10) To identify the employee’s capabilities and aptitude, psychological testing is

done. Do you think it is a useful technique?

S.No. Options No.

1 Strongly Agree 9
Moderately
2 Agree 5
3 Disagree 1
4 Can't say 1

CONCLUSION

Responding to this question, there is approximately same percentage of opposite

opinion of employees regarding psychological testing.

56% of employees believe that to identify employee’s capabilities and aptitude,

psychological testing is done and 6% think that no psychological testing is carried
out. 6% employees can’t give opinion on asked question.

Q11) What type of interview is taken while selection?

 55

S.No. Options No.

1 Patterned 8
2 Stressed 2
3 Depth 5
4 Others 0

CONCLUSION

The PATTERNED INTERVIEW format has, a structure to it. There is a set of pre-
determined questions that will be asked from each candidate for a position. The
STRESS INTERVIEW is the interview in which the interviewers try to 'discomfort' the
candidates in various ways and observe how they react to various difficult
situations. An IN-DEPTH INTERVIEW is a qualitative research technique that allows
person to person discussion. It can lead to increased insight into people's
thoughts, feelings, and behavior on important issues. This type of interview is
often unstructured.

Responding to the type of interview 53% employees think that patterned

interviews are generally taken. 33% employees have the opinion that depth
interviews are often used. Rest believes that stress or any other type of interview is
being taken.
 56

Q12) The view of the concerned department head is given special attention while
selecting the employee of the department?

S.No. Options No.

1 Strongly Agree 6
Moderately
2 Agree 8
3 Disagree 0
4 Can't say 1

CONCLUSION

Above analysis clearly shows that almost all the employees believe that the views
of concerned department head is given special attention while selecting the
employee of the department.

Only 40% employees agree for giving due consideration to concernd departmental
head opinion.
57
 58

Q13) Is the physical examination necessary after final interviews?

S.No. Options No.

1 Strongly Agree 9
Moderately
2 Agree 2
3 Disagree 4
4 Can't say 0

CONCLUSION

Most of the employees think that physical examination is necessary after final
interview.

27% employees feels that it is not so important and rest 60% employees feel that
physical examination is important .

Q14) What is the weightage given to the following (out of 100%)?

 59

S.No. Options No.

1 Written Test 55
Group
2 Discussion 15
3 Final Interview 30

CONCLUSION

Responding to this question, maximum weightage is given to Written Test. Group

Discussion is given the least weightage among the three available options.

Q15) Is Induction as well as a training program conducted after joining of

employees?
 60

S.No. Options No.

1 Yes 14
2 No 1

CONCLUSION

Induction is planned introduction of employees to their jobs, their co-workers and

the organization.

Almost all the employees admit that induction as well as training program is
conducted after joining of employees. It is healthy sign for any organization.

7% employees tell that no orientation programme is conducted in company for

new joinees.

Q16) Do you think the present selection process is feasible for selecting the
employees?
 61

S.No. Options No.

1 Strongly Agree 6
Moderately
2 Agree 8
3 Disagree 1
4 Can't say 0

CONCLUSION
Selection is a long process, commencing from the preliminary interview of the
applicants and ending with the contract of employment.

Responding to selection process, 7% employees think that the present selection

process is not feasible for selecting the employees. 40% employees believe that
there exists a feasible and adaptable selection procedure in company.
 62

“FINDINGS”
 63

FINDINGS

 Internal Promotions and Job Portals are mostly used recruitment source.
 Written test is given weightage during selection process.
 To some extent company has pre set-criteria for sorting the candidate’s
applications.
 Concerned departmental head is given special attention while selecting a
candidate of the department.
 Employees are in the favor of physical examination and reference check after
selection of candidate.
 Orientation is given to new joinee, still employees are in favor of its
improvement.
 Present selection process need improvement in terms of its procedure, tests
and interview type.
 64

“LIMITATIONS”

LIMITATIONS OF THE SURVEY

 65

 As the sample size was small, hence conclusions cannot be generalized.

 Unwillingness and inability of respondents to provide information.
 Due to time constraint in-depth study could not be carried out.
 As the strength of the company is big, it was not possible to draw sample
from each and every department.
 66

“RECOMMENDATIONS”
 67

RECOMMENDATIONS

After analyzing the collected data, the following recommendations were made
to improve the present recruitment and selection scenario in the organization.

 First of all the management should review their recruitment policy and look for
the areas of improvement for ensuring the best hiring.

 Management should structure and systematically organize the entire

recruitment processes.

 Recruitment management system should facilitate faster, unbiased, accurate

and reliable processing of applications from various applications.

 Recruitment management system should helps to reduce the time-per-hire and

cost-per-hire.

 Recruitment management system should helps to incorporate and integrate

the various links like the application system on the official website of the company,
the unsolicited applications, outsourcing recruitment, the final decision making to
the main recruitment process.

 Recruitment management system should maintain an automated active

database of the applicants facilitating the talent management and increasing the
efficiency of the recruitment processes.
 68

 Recruitment management system should provides and a flexible, automated

and interactive interface between the online application system, the recruitment
department of the company and the job seeker.

 Management should offers tolls and support to enhance productivity, solutions

and optimizing the recruitment processes to ensure improved ROI.

 Recruitment management system should helps to communicate and create

healthy relationships with the candidates through the entire recruitment process.

 Management should follow a systematic process for HR Planning.

 Present employee should be encouraged to refer their friends and relatives.

This source is usually one of the most effective methods of recruiting because many
qualified people are reached at a very low cost to the company. And referred
individuals are likely to be similar in type to those who are already working for the
company. Management can propose a scheme for EMPLOYEE REFERING.

 Internal Promotions should be done on regular basis during specified time-

period.

 All selection tests i.e. Ability tests, Aptitude tests, Personality tests, Interest
tests, written tests, should be given equal weightage during selection process.

 Salary structure should be in match with company’s same level present

employee and market value.
 69

 Physical examination and reference check should be given due consideration

after selecting a candidate.

 Induction should be properly done for selected candidate. The idea is to make
the new selected employee feel at home in the new environment.

 Effectiveness of the selection process should evaluate on regular basis for

ensuring availability of competent and committed personnel. In order to do so, a
periodic audit can be done.
 70

“CONCLUSION”
 71

CONCLUSION

Every company looks for an employee, who can work effectively. They are in
search of a person who has the maximum skills required for the job. After
selecting the right person, the company’s main aim is to place that person at the
right job. The main strength of any company is its employees. Effective workers
are the best route to success. For this reason, company's strives to attract and
hire the best, and to provide the best place to work.

Some of the biggest and most constant challenges that plague organization is
people related because they don’t place more emphasis on getting the recruitment
process right. If they get the right person in the right job at the right time, bottom-
line and many other business benefits are immediate, tangible and significant. If
they get the wrong person in the wrong job, then productivity, culture and
retention rates can all take a hit in a big way.

Steel Authority Of Indias Limited has competent and committed workforce, still
there are scope for more improvements. To ensure that company recruits the right
people, it has to identify essential skills and behaviors that applicants should
demonstrate. For each position there should be a job description outlining typical
duties and responsibilities and a person specification defining personal skills and
competences. The emphasis should be on matching the needs of the company to
the needs of the applicants. This would minimize employee turnover and enhance
satisfaction.

It is important for the company to have a clear and concise recruitment policy in
place, which can be executed effectively to recruit the best talent pool for the
selection of the right candidate at the right place quickly. Creating a suitable
 72

recruitment policy is the first step in the efficient hiring process. A clear and concise
recruitment policy helps ensure a sound recruitment process.

Management should structure and systematically organize the entire recruitment

processes. It should Offers tolls and support to enhance productivity, solutions and
optimizing the recruitment processes to ensure improved ROI. The Recruitment
Management System (RMS) should be such that it helps to save the time and costs
of the HR recruiters in company and improving the recruitment processes.
 73

“BIBLIOGRAPHY”

BIBIOLOGRAPGY

BOOKS REFERRED
 Human Resource and Personnel Management, K. Aswathappa,
 Human Resource Management , Khanka
 74

WEBSITES REFERRED
 www.mbdalchemie.com

 www.google.com

 www.recruitment.naukrihub.com

 www.citehr.com

 www.hrmguide.co.uk

 www.oneclickhr.com

 www.wikipedia.com

OFFICIAL
 SAIL employee information handbook