A PROJECT REPORT ON

³REDUCTION OF RECRUITMENT CYCLE TIME´
A detailed study done in

LARSEN & TOUBRO LIMITED
Submitted in partial fulfillment of the requirement for the award of degree of Masters of Management Studies (MMS) under Mumbai University. Submitted by PRIYANKA KADAM ROLL NO: 83 BATCH: 2008-2010 Under the guidance of
Professor Mona Sinha Roy

Bharati Vidyapeeth¶s Institute of Management Studies & Research Sector 8, CBD-Belapur, Navi Mumbai ±400614

ACKNOWLEDGEMENT

Many people contributed in making this project a success. My Project is primarily the vision of Mr. Harshad Assoldekar (Assistant Manager HR & Personnel, Larsen & Toubro Limited) who initially defined the project, articulated its implementation as a resource, and determined its scale and scope. I am also thankful to my Company Guide Mr. Kamal Sen (BU-HR ±Partner, Larsen & Toubro Limited) for their wonderful co-operation and support to make this project a great success. A project of this enormity and complexity requires the dedication of a number of individuals. My Faculty Guide Prof. Mona Sinha (Professor, BVIMSR Mumbai) has always been present as a guiding light whenever dead ends were encountered. Finally, appreciation is expressed to all the Colleagues of Larsen & Toubro Limited for their continued support throughout.

Signature of the student (PRIYANKA KADAM)

EXECUTIVE SUMMARY

People are a company¶s most important assets. They can make or break the fortunes of a business. In today¶s highly competitive business environment placing the right people in the right position is very critical for the success of any organization. The recruitment and selection decision is of a prime importance as it is the vehicle for obtaining the best possible person-to-fit that will, contribute significantly towards the company¶s effectiveness. It is also becoming increasingly important, as the company evolves changes, the new recruits show a willingness to learn, adaptability and ability to work as a part of a team. The Recruitment and Selection procedure ensures that these criteria are addressed. Larsen & Toubro Limited (L&T) is a technology, engineering, construction and manufacturing company. It is one of the largest and most respected companies in India's private sector. In this project researcher studied the Recruitment and Selection process of L & T Automation and attempted to provide some ways so as to make Recruitment more effective and to reduce the cost of hiring and employee. The project contains the primary data is the data which is collected by the researcher directly from her own observation and under the guidance of project guide. To pursue these, researcher would be going through the recruitment policy of the company. By active participation in the recruitment process, the areas where improvement can be bought about can be identified. The main idea is to generate ways of dealing with high attrition and making hiring process manageable and efficient.

CERTIFICATE

This is to certify that the project titled µREDUCTION OF
RECRUITMENT CYCLE TIME¶ is successfully done by Miss.

PRIYANKA B. KADAM during the two months summer internship of his course (3rd May 2010 ± 30th June 2010) in partial fulfillment of the Masters in Management Studies under the University of Mumbai through Bharati Vidyapeeth¶s Institute of Management Studies and Research, Navi Mumbai.

Date:

Dr. D. Y. Patil Director

Prof. Mona Sinha Roy Project Guide

PLEASE PASTE HERE THE CERTIFICATE FROM THE COMPANY .

3: Objective of the Study 1.3: Limitation PAGE NO: (i) (ii) (iii) Chapter 5: Data Analysis and Interpretation 5.3: Factors Affecting the Recruitment Process of L & T 5.1: Data collection 4.1: Introduction 3.3: Future prospects Chapter-3 Introduction to the Company/Organization 3.2: Scope 1.6: Interviews at L&T EAOC division 5.4: Literature Review Chapter-2 Introduction to the Industry 2.7: SWOT Analysis of L & T EAOC division .4: Factors causing lag in cycle time of L & T EAOC recruitment process 5.TABLE OF CONTENTS PARTICULARS Acknowledgement Executive summary Certificates Chapter 1: Introduction of the Project 1.1: Sources of Recruitment in L & T 5.4: SWOT Analysis Chapter 4: Research Methodology 4.1: Engineering Industry 2.3: Operating division 3.1: Concept & Significance of the Study 1.2: Growth potential 2.2: overview 3.2: Recruitment Process at L&T ±EAOC Division 5.2: Methodology 4.5: Types of Interviews Which Mostly Followed by L & T 5.

1: Suggestions 6.Chapter 6: Suggestions. Conclusions 6.2: Conclusion Bibliography .

 To find out the cycle time of the recruitment process. Correctly matching the job and the employee is very important for the continuity of the firms. Finding right person to the right job is one of the major issues for the productivity of firms. Recruitment is the activity that links the employers and the job seekers.  To reduce the cycle time in the recruitment process. Recruitment concerns finding the employees who have the needed qualifications for the position to be filled and trying to hire them for that position in the firm.1: Concept & Significance of the study ³The art of choosing men is not nearly so difficult as the art of enabling those one has chosen to attain their full worth´. 1. Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization.3: Objective: Every task is undertaken with an objective. Mahape. Recruitment is not only an employment process. The factors which contribute to the longer cycle time need to be studied and suitable methodology should be used to reduce the duration.2: Scope: Recruitment cycle time is a very vital aspect which contributes to the right candidate getting hired at the right time. The scope of this project is a long term solution to this recruitment concern. Without any objective a task is rendered meaningless. The main objective for undertaking the projects are:  To study the recruitment process of the EAOC division of L&T. . The difference to acquiring and executing business in a competitive environment lies in the ability to hire right resources on time every time. Organizations rely on their workforce to be competitive and successful. 1. Recruitment is the main essence of the human resource management.CHAPTER 1 : INTRODUCTION OF THE PROJECT 1.

e. Flippo. y Create a talent pool of candidates to enable the selection of best candidates for the organization. y Determine present and future requirements of the organization in conjunction with its personnel planning and job analysis activities. A few definitions of recruitment are: y A process of finding and attracting capable applicants for employment. The result is a pool of applications from which new employees are selected. y Increase the pool of job candidates at minimum cost y Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants. the needs arising from changes in organization and retirement policy. y It is the process to discover sources of manpower to meet the requirement 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 Needs Are Of Three Types y PLANNED i. 1. recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization´. y ANTICIPATED anticipated needs are those movements in personnel. To identify areas where there can be scope for improvement. Purpose & Importance of Recruitment y Attract and encourage more and more candidates to apply in the organization. deaths. . illness give rise to unexpected needs. Recruitment is the activity that links the employers and the job seekers.4: Literature review According to Edwin B. The process begins when new recruits are sought and ends when their applications are submitted. y UNEXPECTED Resignation. which an organization can predict by studying trends in internal and external environment. y Recruitment is the process which links the employers with the employees. accidents.

y Help reduce the probability that job applicants once recruited and selected will leave the organization only after a short period of time. y Begin identifying and preparing potential job applicants who will be appropriate candidates. y Increase organization and individual effectiveness of various recruiting techniques and sources for all types of job applicants . y Meet the organizations legal and social obligations regarding the composition of its workforce.

Trends across major sectors show that growth in the two lead sectors-capital goods and consumer non-durable goods-have decelerated but still remain at the double-digit levels. and processes that safely realize a desired objective. civil. but it is highly fragmented at the lower end.Chapter-2: Introduction to the Industry 2. A . Given the vastness of the field. railways. Heavy Engineering Industry is one of the largest segments of Industrial production. scientific. With the rapid advancement of technology many new fields are fast gaining prominence and new branches are developing such as aerospace engineering. petrochemicals. the engineering industry has an enormous potential of creating new jobs. It occupies a whole range of industries such as Heavy Electricity Machinery. Switchgears. Generators. electrical and mechanical engineering.1Engineering Industry Engineering is defined as the discipline of acquiring and applying technical. The industry can be broadly divided into 2 segments. Textile Machinery etc. nuclear engineering and robotics etc. Thought there was some signs of recovery in the third quarter of 2002-2003 the stimuli seems to have dissipated quickly. and mathematical knowledge to design and implement structures. Capacity creation in these end-user industries is driving growth of the engineering industry. infrastructure. The light engineering goods segment in comparison is highly competitive and dominated by small players who typically manufacture lower-value added products such as castings and bearing etc. Turbines. The Index of Industrial Production figures of 8 of the 16 major industry groups show substantial growth with the rates ranging from 6% to 28%. steel. light engineering goods are essentially used as inputs by the heavy engineering industry. systems. been compensated by the strong recovery in the intermediate goods segment. Meanwhile. however. Transformers. It is a broad discipline which is often broken down into several sub-disciplines namely chemical. The largest players include Larsen & Toubro. Heavy engineering goods such as capital good and equipment account for the bulk of domestic production and leading large players are mostly focused on this segment. producing high-value products using high-end technology. where technological and capital requirements are high. biomedical engineering. automobiles and textiles. This has. The major end-user industries for heavy engineering goods are power. machines. genetic engineering. mining. heavy engineering and light engineering. The sector is relatively unfragmented at the top. The problem with the cotton textile sector has also continued to perform badly in the last two years. The only positive development is the measures announced for the textile industry in the recent budget. etc. The Engineering sector is the largest of all industrial sectors in India. ABB and BHEL.

are issued by all sectors of the Indian Economy. India is major exporter of heavy and light engineering goods. MCBs. the . Electrical Industry In India. The existing installed capacity in the industry is of the order of 4500 MW of thermal. The heavy electrical industry meets the entire domestic demand. holders and starters are being produced to customer specifications as well s to standard specifications. Some major areas where these are used are the multi-crore projections for power generation including nuclear power stations. petrochemical complexes. the entire range of circuit breakers from bulk oil. 1345 MW of Hydro and about 100 MW of gas based power generation equipment per annum. rewireable fuses and HRC fuses with their respective fuse bases. The Heavy Electrical Industry is capable of manufacturing transmission and distribution equipment upto400 KV AC and high voltage DC. Motor control systems based on microprocessor and computer control are also available for power stations. non-ferrous metal units etc. tractors. In addition. The Capacity established for manufacture of various kinds of turbines such as steam & hydro turbines including industrial turbines is more than 7000 MW per annum. The domestic Heavy Electrical equipment manufacturers are making with respect to product designs and upgrading of manufacturing & testing facilities. Domestic demand growth in this sector is being fuelled by increasing expenditure in core sectors such as railways. Heavy Electrical Industry Among the Third World countries. and transport vechicles. equipment for irrigation projects. private sector investments and the rapid speed at which the projects are implemented. producing a wide range of items. load dispatch centers.major concern is the lackluster performance of the consumer durable goods segment over the last year with production declining for the first time since themed-nineties. international demand will push forward once more. switches. cotton textile and sugar mill machinery. The range of BHEL includes steam turbines up to 500 MW units ratin. air blast. transformers. switchgears etc.2Growth potential India is increasingly being preferred by global companies as an outsourcing destination as it enjoys lower labour cost and better designing capabilities and as they recover from the crisis. They have capability to manufacture Gas Turbines up to 255 MW (ISO) rating 2. vacuum to SF6 are manufacture to standard specification for the benefit of customers. which they are planning to enhance up to 600 MW. and chemical plants integrated steel plants. The country also makes construction machinery. minimum oil. major receiving centers and industrial complexes. The range of products produced cover the entire voltage range for 240 V to 420 V. diesel engines. air circuit breakers. Electrical equipment such as motors. Switchgear and control gear.

this opportunity seems massive as well. Finally. packaging or selling engineering products while ancillary jobs include construction. For example. The job categories are primarily based on designing. it will mean big business for companies planning to enter nuclear power generation and consequently power equipment manufacturing. Market leader L&T on the other hand has over 40% of its order book in 2009 accruing from the infrastructure sector. And with the government planning to add large-scale generation capacities in the eleventh (2007-12) five-year plan. . airports etc.3Future prospects Trained professionals with some relevant experience will have the option of working with any number of world-class companies in a range of functional and industrial silos. amongst others. 2. leading players ABB and BHEL derive 60%-75% of their revenues from supplying equipments to the power sector. if India¶s nuclear deal with the US is executed. building and mining. highways. the potential seems huge for the engineering majors. And with the focus on building roads. Talented candidates can look for varied and long innings in this sector and expect to reap handsome rewards in both the medium and long-term.government¶s focus on investment and development in the power and infrastructure sectors is also having a strong impact. manufacturing.

construction and manufacturing company.CHAPTER 3: Introduction To The Company ³IT¶S ALL ABOUT IMAGINNERING´ 3. customer-focused approach and the continuous quest for world-class quality . We offer a professional value system. It offers a wide range of advanced solutions.2 Overview Larsen & Toubro Limited (L&T) is a technology. The company was founded in Mumbai in 1938 by two Danish engineers. Larsen & Toubro (L&T) is a technology-driven USD 8.5 billion company that infuses engineering with imagination. further supplemented by a comprehensive marketing and distribution network. L&T has an international presence. services and products. Henning Holck-Larsen and Soren Kristian Toubro. L&T is its people. L&T's in-house capabilities in technology development are complemented by tie-ups with world leaders. It provides state-of-the-art products & solutions to a large and diverse customer base. and extensive opportunities for growth and personal development. It then became a public limited company in 1950. 3. engineering. is a multinational conglomerate company headquartered in Mumbai. India. with a global spread of offices and factories. Seven decades of a strong.1 Introduction Larsen & Toubro (L&T) . Our challenging work environment brings out the best in our people. It is one of the largest and most respected companies in India's private sector. L&T became a private limited company in 1946.

3 Operating division  Engineering & Construction Projects (E&C)  Heavy Engineering (HED)  Construction  Electrical & Electronics (EBG)  Machinery & Industrial Products (MIPD)  IT & Technology Services EBG Division EBG offers integrated solutions in electrical and automation space. with facilities in China and the Gulf region. with a global spread of offices. A thrust on international business has seen overseas earnings grow significantly. and have established a reputation for strong customer support. A commitment to community welfare and environmental protection are an integral part of the corporate vision. automation systems. The company's businesses are supported by a wide marketing and distribution network. medical equipment and tooling solutions. energy meters. low and medium voltage switchboards for different applications. Its businesses comprise switchgear. L&T believes that progress must be achieved in harmony with the environment. . 3.have enabled it to attain and sustain leadership in all its major lines of business. It continues to grow its overseas manufacturing footprint. L&T has an international presence.

Coimbatore and Mysore in India and China (Wuxi). energy meters.4 SWOT ANALYSIS Strengths ‡ Larsen and Toubro (L&T) is India's largest engineering and construction company ‡ It has created international presence by operating supply network offices in 10 locations worldwide. automation solutions under its Electrical & Automation vertical and a stand-alone medical equipment business unit. L&T has recently acquired Malaysia-based Tamco for expanding its basket of switchboards business. its manufacturing facilities have been certified for conformity to ISO 14001 (Environmental Management System) and OHSAS 18001 (Occupational Health and Safety Management System) by BVQI. UAE (Jabel Ali. In addition. Milan. including Houston. marketing and servicing has received ISO 9001:2000 certification from BVQI. engineering and construction conglomerate. Shanghai and Seoul . A major strength of L&T is its in-house design and development centre for switchgear as well as tooling facility that designs and manufactures a wide range of high precision tools. The division has implemented Enterprise Resource Planning (ERP) solution of SAP AG. Dubai). 3. The quality management system for design & development. The manufacturing operations of these businesses are located at Mumbai (Powai). EBG has a comprehensive quality. production. Germany and it went live at 35 locations across the country simultaneously in the µBig Bang¶ mode in 1999. a pre-requisite for high quality products. electrical systems. environment and safety management system. Ahmednagar. London. Navi Mumbai. Indonesia and Australia. sales.Electrical & Electronics Division (EBG) is one of the core businesses of Larsen & Toubro ± India¶s largest technology. The business portfolio of EBG includes low voltage and medium voltage switchgear products. Malaysia. Saudi Arabia.

Mitsubishi Heavy Industries and A. which is likely to ensure a steady revenue growth Weaknesses ‡ In spite of having a diversified expertise. The company has a strong pipeline of projects in domestic as well as international markets. Airports and Urban infrastructure to sustain the momentum of double digit growth in the industrial sector. L&T has joint venture agreement with Tamil Nadu Industrial Development Corporation Limited. Threats .‡ L&T has created a strong brand name by building worlds largest Tubular Reactor for a petrochemical plant and has also built world's longest Product Splitter and longest LPG pipeline ‡ Larsen and Toubro's order book has reported continuous growth. Turki Contracting & Trading Corporation (ATCO) of the Kingdom of Saudi Arabia ‡ These joint ventures boost and strengthen the operational efficiency of the company. Roads. as well as provide it with avenues to generate additional revenues and also leverage its strong presence in order to exploit the growing capital goods and infrastructure industry ‡ Growing Indian capital goods and infrastructure industry as the government has planned a series of measures to encourage private sector participation and increase spending on infrastructure.A. Capacities are being ramped up in Railways. the revenues of the company are highly concentrated Opportunities ‡ The company has acquired the switchgear business of TAMCO Corporate Holdings of Malaysia in April 2008 ‡ With TAMCO the company will be able to offer a comprehensive range of MV switchgear and become a significant player in the MV segment in India ‡ L&T has also entered into various joint ventures in the recent past. Ports.

‡ Larsen & Toubro faces stiff competition in the international market with construction majors in the Middle East including ABB of Sweden and Bechtel of the US. which would impact its profit before tax (PBT). L&T's interest costs increased more than three-fold in the first six months of FY2009. Rising interest rates would put pressure on the margins of the company . Stiff competition could erode the company's market share and reduce its profitability ‡ Engineering and construction companies such as Larsen & Toubro (L&T) are facing pressure on their earnings due to the high interest rates on working capital.

it can be a very exacting exercise.1Data Collection: The methods that were used for data collection in this research process can be broadly divided into two groups: 1) Primary Data Collection Methods 2) Sources/Methods of Secondary Data  Primary Sources Primary data is the data which is collected by the researcher directly from his/her own observations and experiences. periodicals. The difference to acquiring and executing business in a competitive environment lies in the ability to hire right resources on time every time.2 METHODOLOGY The L & T Automation is marked with the high attrition and therefore the recruitment process becomes a crucial function of the organization. research papers.  Secondary Sources The researcher had collected external secondary data from various sources like internet sites.CHAPTER 4:Reasearch Methodology L & T rely on their workforce to be competitive and successful. published researches. database companies etc 4. encyclopedias. Since my summer training was in the months of . 4. Here the data is collected from the live working in the recruitment process. Given the maze of constraints in acquiring talent.

 Then the candidates INTERVIEW EVALUATION SHEET which is provided by interviewer was crosschecked by the HR team If they think that the candidate was good to hire or not. I was directly involved with the recruitment process of the candidates for the project leader. . This project is centered on identifying best hiring practices in automation industry. it gave me the opportunity of involving myself directly with the recruitment process and analyzing the process so that suitable recommendations can be given. My area of focus was the recruitment and selection particularly for control and automation division.  Firstly the candidate had filled up the personal data form which is EMPLOYMENT APPLICATION FORM.  When a candidate cleared his first round of interview then again he is called up for the second round of interview.  Once the search criteria were put.May-June. Before any task was undertaken.  The first task was to understand the various job profiles for which recruitment was to be done. candidates went through a telephonic interview to validate the information mentioned in there resume. project manager. It therefore requires great amount of research work. The methodology adopted was planned in advance so as to collect data in the most organized way. software engineer and sales profile.  A candidate matching the desired profile was then lined for the first round of Face to Face interview in control and automation campus otherwise if they are not available in Mumbai company arranged the video conference interview in their respective cities. I was particularly involved with the sourcing the candidates from the Mumbai region first and then outside the Mumbai.  The next step was to explore the various job portals to search for suitable candidates for the job profile. I was asked to go through the HR policies of control and automation division so that I can get a better understanding of the recruitment processes followed by them.

It was convenient method than to stock up piles of papers. I had the responsibility to make sure that candidates complete all formalities and had to regularly follow up with them.  Since we received many resumes. Difficulties: Managing multiple line ups on the same day Candidates asked lot of counter question so convincing them was a major task Inadequate interview details to the candidate . It contains all the information of a candidate such as name. contact number. L & T has their own database named as ³HIRE CRAFT´. 4.3 Limitation of study Every task is undertaken with an objective and accomplishment of this objective determines the success.  Understanding what kinds of database are maintained and how they help in keeping a record. qualification etc. Task: The recruitment at L & T control and automation involved a lot search from the database and calling up candidates to check whether they fit the job specification. location. it was essential that a database be maintained to keep a track. Difficulties: Candidates were reluctant to talk at times Candidates who were scheduled for interview would not turn up Candidates who were contacted were not interested in position on many occasions Task: Candidates were to be searched from the job portals and called up to be scheduled for an interview.

abilities and experience needed to perform the job successfully. Other steps follow:  Creating an applicant pool using internal or external methods  Evaluate candidates via selection  Convince the candidate  And finally make an offer 5. Most organizations have a continuing need to recruit new employees to replace those who leave or are promoted in order to acquire new skills and promote organizational growth.1 SOURCES OF RECRUITMENT IN L & T Internal source of recruitment Transfers The employees are transferred from one department to another according to their efficiency and experience.Chapter 5: Data Analysis and Interpretation RECRUITMENT AND SELECTION Recruitment is the process by which organizations locate and attract individuals to fill job vacancies. With successful recruiting to create a sizeable pool of candidates. Promotions The employees are promoted from one department to another with more benefits and greater responsibility based on efficiency and experience. even the most accurate selection system is of little use Recruiting begins when a vacancy occurs and the recruiter receives authorization to fill it. The next step is careful examination of the job and enumeration of skills. Others are Upgrading and Demotion of present . Recruitment follows HR planning and goes hand in hand with selection process by which organizations evaluate the suitability of candidates.

5. the burden . This can be generally done through the release of advertisements in the leading news papers. This source is known as Campus Recruitment. Walk IN Walk in interviews are the most common form of conducting interviews. The main advantage of this method is that it has a wide reach. They provide facilities for campus interview and placements. Placement Agencies Several private consultancy firms perform recruitment functions on behalf of client companies by charging a fee. External source of recruitment Advertisements Advertisements of the vacancy in newspapers and journals are a widely used source of recruitment. Educational Institutes Various management institutes. engineers. The dependents and relatives of Deceased employees and Disabled employees are also done by many companies so that the members of the family do not become dependent on the mercy of others. engineering colleges are a good source of recruiting well qualified executives. Retired and Retrenched employees may also be recruited once again in case of shortage of qualified personnel or increase in load of work. These agencies are particularly suitable for recruitment of qualified engineers.2 RECRUITMENT PROCESS at L&T ±EAOC Division The HR department would set the recruitment norms for the organization. However. Employee Referrals Organizations have structured system where the current employees of the organization can refer their friends and relatives for some position in their organization. Generally this is done when a large scale of people is required.employees according to their performance.

The respective Functional heads would submit the manpower requirements of their respective functions/ departments to the board of Directors as part of the annual business plan after detailed discussion with the head of human Resource Function along with detailed notes in support of the projected numbers assumptions regarding the direct and indirect salary costs for each position. at different levels. in various functions/departments. There are various stages which the division goes through to hire a candidate. The recruitment process of L&Ts EAOC division follows a specific structure. which is the cost allotted towards the recruitment of the budgeted staff and the replacement of the existing employees. Typically it includes is written statement that defines the duties. The annual budget would specify the manpower requirement of the entire organization. A copy of the duly approved manpower plan would be forwarded by the HR department for their further actions during the course of the year. Each stage takes its own course of time to complete and contributes to the cycle time of the process. The process is aimed at defining the series of activities that needs to be performed by different persons involved in the process of recruitment. The company¶s growth rate and its market share also play a vital role in deciding the number of vacancies to be filled.of effective implementation and compliance with the process rests with the heads of the respective functions and departments who are involved in the recruitment and selection process. relationships and results expected of anyone in the job. at different geographical locations and the timing of the individual requirements. It would also specify the requirement budget. Job description and Job specification Job description is a written statement that defines the duties. It is an overall view of what is to be done in the job. relationships and results expected of anyone in the job. the checks and control measures to be adopted and information that has to be captured. Typically it includes y Job Title . Manpower budget fixation The manpower planning process for the year would commence with the company¶s budgeting activity.

y y y y y y y y y y Date Title of immediate supervisor Statement of the Purpose of the Job Primary Responsibilities List of Typical Duties and Responsibilities General Information related to the job Training requirements Tool use Transportation Signature of the person who has prepared the job description Job specification summarizes the human characteristics needed for satisfactory job completion. It tries to describe the key qualifications someone needs to perform the job successfully. Typically this would include y y y y Degree of education Desirable amount of previous experience in similar work Specific skills required Health Considerations Channel Identification: After the job description and the specifications are set up the next step is to identify the various channels through which the required man power can be traced out. knowledge and abilities to perform a particular job. It spells out the important attributes of a person in terms of education. The various channels are y y y y Employee Referrals Consultancies Internal Job Postings Advertisements in newspapers . experience.

. Based on the level of experience and the post applied for.y Walk-In Interviews SOURCING OF SUITABLE CANDIDATES Selection of Sources HR would tap various sources/channels for getting the right candidate. existing salary structure and other achievements. experience. after taking mutual convenience into account. Scheduling and the venue of the interviews would be handled by the recruitment team in consultation with the short listed candidate and the selection panel members. volumes of recruitment and any other relevant factors. the Regional HR would use any one multiple sources such as: y y y y y y Existing database (Hire craft software) Employee referral as per company scheme that may be approved from time to time Advertisement in the internet/newspapers/magazines/company¶s sites/job sites Placement Agencies Direct recruitment from campuses/academic institutes Walking interview Number of positions. relative efficacy and cost considerations would play a role in the choice of the appropriate sourcing mechanism. either two or three rounds of interviews are conducted. reference. Depending on the nature of the position/grade. In L & T Educational background and years of experience plays a vital role in the process. Before coming for the interview candidate have to fill the employment application form which is seven pages form including the proof of the claims made by the candidate regarding qualifications. Screening the candidates The CVs which are shortlisted after vigorous checks are called for the interview. confidentiality requirements. criticality of positions and the urgency of the positions.

first round of interview is taken by two panel members who are immediate superior boss and second round of interview is taken by head of the department. Any discrepancies noticed by the panel members regarding the authenticity of the data provided by the candidate should be specifically and formally recorded on the interview evaluation sheet form and suitably high lightened. referral to another panel. In the case salary break up the assistant managers will be allowed to fix the salary. CV. considering for another position) shall be forwarded to the associated Recruitment Manager/ Head of Regional HR. first round is handled by the two panel members who are immediate boss. second round is taken by SBU head or CEO depending upon the position and third round has been taken by HR expertise. On matching the organization expectation and candidate aspiration the offer is given to the candidate. Offer discussion After the final round. . if any. For S & E CADRE there are two rounds of interview. Along with these numerical ratings. Any fitment beyond this norm will need the approval of Head-HR.Interview stage: In L & T there are two grades lower level S & E CADRE and higher level COV CADRE. Fitment of the candidate into a grade and compensation fitment shall be on the assumption of authenticity of the information provided in the CV/application form. qualitative observations about the candidate and overall decision regarding selection or otherwise (including a decision to defer the induction. CP rating form . must also be clearly recorded and high lightened on the IES forms. the complete set of papers Employment application Form. provided the compensation does not exceed 20% of the candidate¶s current cash salary. Individual panel members have the option of appending their additional remarks/observations. Ratings on various attributes of the candidates shall be recorded in the interview evaluation sheet and CP rating form soon after the interview is over. along with the interviewer¶s recommendations and Reference check form should be forwarded by the recruitment managers to recruitment head. Interview evaluation form. An appropriate formal communication shall be sent to the candidate who is not selected. For COV CADRE there are three rounds of interview. All the educational documents of candidate. When the candidate is found suitable his/her last earning salary is kept the benchmark and based upon that salary is structured out. Specific points to be probed during the reference check process. if the candidate is selected.

satisfactory reference check reports and medical fitness. which are also formally communicated to him/her in the form of a checklist . Employment offer letter When a recruitment Manager is fully satisfied about the selection of the right candidate and about completion of all the formalities connected with the appointment of candidate including requisite documentation. A copy of the offer letter shall be duly signed and returned to the candidate. reference checks should be undertaken with at least one reference. Till this letter is issued. Depending on the seniority and any other considerations about the positions. whenever required. Candidate would be expected to fulfill various joining formalities. It would be the responsibility of the HR Manager to ensure that the accepted copy of the offer letter is forwarded to the General Manager within a week of receipt of the offer letter. Reference checks process should not normally be initiated unless the candidate has indicated his firm acceptance of the offer being made by assistant manager. he would forward the relevant papers listed below to the Head HR manager. the µoffer¶ has not taken place in formal sense. y y y y y y Employment application form Interview evaluation sheet filled by the Departmental head with his/her comments Latest and updated resume of the candidate Photocopy of the appointment letter of the last employer Highest Education certificate 1 Month Salary Slip of Current Employer Assistant HR manager will forward the papers to the HR Manager for signature and issuance of the offer letter.Responsibility for negotiations and finalization of the terms shall rest with Head HR Manager. before coming to conclusions. Reference checks Normal. Wherever feasible and considered appropriate. Any candidate whose credentials are doubtful shall not be recruited. A second reference check will be done if considered necessary. They may seek the assistance of the Assistant managers. the matter may be to the Head-HR for a final decision. Head-HR would normally consult the functional head concerned. a reference should be made with a senior official of the candidate¶s current employer. Where there is a mixed response from different sources.

   Organizational objectives Policies of the organization and its competitors. It may involve organizational system to be developed for implementing recruitment programmes and procedures by filling up vacancies with best qualified people. Each stage adds up to the cycle time of the hiring process. the date of joining is decided and the candidate joins the company on the specific date. the factors which can be controlled by the L & T are: Recruitment Policy The recruitment policy specifies the objectives of recruitment and provides a framework for implementation of recruitment programme. The internal and external forces affecting recruitment function of an organization are: Internal Factors Affecting Recruitment The internal forces i. The Assistant HR Manager shall have the overall responsibility and accountability to maintain the templates of the offer letters and send it to the candidate for accept the offer. 5.that is attached to the letter of offer. And the external factors are those factors which cannot be controlled by the organization. the candidate has to undergo a formal medical test conducted by the organization itself Joining If the candidate passes the medical test. Government policies on reservations.3 FACTORS AFFECTING THE RECRUITMENT PROCESS OF L & T: The recruitment function of the organizations is affected and governed by a mix of various internal and external forces. The internal forces or factors are the factors that can be controlled by the organization. The recruitment policies depend upon the following factors. Medical Tests Once the candidate accepts the offer. All these steps take certain amount of time to get completed. .e.

The major external forces are: Supply And Demand The availability of manpower both within and outside the organization is an important determinant in the recruitment process.   Preferred sources of recruitment. Size Of The Firm The size of the firm is an important factor in recruitment process. Growth And Expansion: Organization will employ or think of employing more personnel if it is expanding its operations External Factors Affecting Recruitment The external forces are the forces which cannot be controlled by the organization. If the organization is planning to increase its operations and expand its business. Human Resource Planning Effective human resource planning helps in determining the gaps present in the existing manpower of the organization. If the company has a demand for more professionals and there is limited supply in the market for the professional demanded by the company. Need of the organization. It also helps in determining the number of employees to be recruited and what qualification they must possess. . organizations try to employ that source of recruitment which will bear a lower cost of recruitment to the organization for each candidate. Cost Recruitment incur cost to the employer. therefore. it will think of hiring more personnel. then the company will have to depend upon internal sources by providing them special training and development programs. which will handle its operations. Recruitment costs and financial implications.

Short listing of CVs . To face the competition. physically handicapped etc. For example. Unemployment Rate One of the factors that influence the availability of applicants is the growth of the economy (whether economy is growing or not and its rate). If the candidate can¶t meet criteria stipulated by the union but union regulations can restrict recruitment sources.4 Factors causing lag in cycle time of L & T EAOC recruitment process Requirement gathering from various sources The initial requirement gathering can come from different types of sources. many a times the organizations have to change their recruitment policies according to the policies being followed by the competitors. trade unions play important role in recruitment. Also. There may be minute differences between each requirement which needs to be studied properly while gathering the requirements. Here the source refers to the line managers who find out the needs in his/her area of expertise or function. Competitors The recruitment policies of the competitors also affect the recruitment function of the organizations. When the company is not creating new jobs. there is often oversupply of qualified labor which in turn leads to unemployment. This restricts management freedom to select those individuals who it believes would be the best performers.Political-Social. Source Finalization As the requirement comes up it is now the time to make or take the right decision to get the positions filled up quickly. scheduled tribes. 5.Legal Environment Various government regulations prohibiting discrimination in hiring and employment have direct impact on recruitment practices. Government of India has introduced legislation for reservation in employment for scheduled castes.

And as the level of approvals increases as the rise in the percentage of salary crosses 30% it creates a huge time lag. Joining Time Some candidates have notice period to be served in their present organization before quitting. Sometimes this collection of feedback takes a considerable amount of time. If there is a walk-in interview then managing them becomes all the more important since huge candidates turn up for the interview and if each one of them is not attending respectfully and rightly then it may lead to increase in cycle time. If all the documents are not verified properly then a considerable amount of time is wasted in following up with the candidate. Sometimes the notice period is too long up to . work exp letters for the purpose of verification is very important. If short listing of CVs is not done properly then there may be a lot of rework to be done and which ultimately may cause the cycle time to move in the upward direction.Short listing the best CVs from the huge bunch of application is quite an uphill task. Whether the candidate is selected or rejected generally should be informed quickly so that manager can plan the future course of action immediately. Scheduling of Interviews Scheduling of interviews is one the most important tasks which needs to be performed accurately. Document Collection The collection of documents like the candidates educational documents. Since this is a manual work there may be lot of mistakes which turn up during the process causing rework. So this should be analyzed and studied properly. If the time gap between two interviews is not calculated and managed properly it may cause a huge delay in the hiring process. Offer Making An Offer making is a very important process which needs to be carried out properly. Interview Feedback The feedback after the interview should be collected as quickly as possible.

Here normally mailers are sent to the candidates rearing the interviews and they are called for the interview. Generally candidates in marketing and sales. operational staff and many other categories find opportunities in walk in interview venues. It may not be suitable to wait for completion of long procedure involved in usual recruitment process. MEETING OF CONSULTANTS WITH BUSINESS The requirements can be outsourced to the consultants. Generally this is done when a large scale of people is required. production and technical staff. companies resort to walk in interviews. . This may lead to increase the cycle time of recruitment.5 TYPES OF INTERVIEWS WHICH MOSTLY FOLLOWED BY L & T WALK IN Walk in interviews are the most common form of conducting interviews. 5. Organizations generally conduct walk-in interviews to source personnel to meet their immediate need. and are required to join the company immediately. companies need staff on short notice for fulfillment of their projects. to upgrade the target with a view to tap improving opportunities in the market. This can be generally done through the release of advertisements in the leading news papers.which the organization cannot afford to wait. along with venue details and offers. After having a meeting with the business heads from time to time the exact requirement can be studied and based upon that the CVs can be shortlisted and interviews to be conducted. Normally a week¶s time is given to the candidate and they need to confirm their participation. meet the unexpected demand in products and services. to fill the gap in human resource availability in-house due to increasing attrition. Usually successful walk in candidates get an offer instantly. In order to tackle a projected shortfall in target. etc. BATCH INTERVIEWS Batch interviews are generally conducted when the requirements are of medium scale and the time is very less. fresher¶s. In today¶s business world where growth and achievement of target is the mantra. Company advertise the interview schedule and positions to be filled.

DOT Net and VB have become an important part of this vastly developing IT world. Here generally a target mailer is sent to the employees of the organization describing the job profile.10 were shortlisted for the second round and finally 4 were selected. The referrals sent in their referees CVs and they had to book an appointment for the interviews. Software Engineer-Interviews at Navi Mumbai: Oracle. DB2. Nearly 40 entries had come and after the initial HR eligibility screening 30were moved to the first round. there were plenty of openings for the post of software engineers. As a result people specialized in these areas have a lot of opportunity to grow higher. The employees send the CV of their referral and based upon certain other criteria they are called upon for the interviews. Sales Interviews at Navi Mumbai: . At L&T¶s Navi Mumbai. Here also the employee referral was used for the short listing of the CVS.EMPLOYEE REFERRALS Employee referral is one the most widely used interview techniques. Here we made sure that to reduce the overall cycle time the 2nd round was also conducted in the same day and the offers were also released the same day. Generally within one week before the target mailer is released so that the employees can source their referrals 5. J2EE .6 Interviews at L&T EAOC division Quality Control Interviews at Navi Mumbai: There was a requirement for the post of quality engineers which specialization the field of PLC For this purpose the employee referral concept was used. for Control & Automation Department. Here also to reduce the cycle time on the same day 2 rounds of interviews were conducted and the offers given. So within one week the entire hiring process was successfully completed. Java.

. First telephonic round was conducted. WEAKNESS y y Lengthy pre-offer formalities Pre assessment tests are costly OPPORTUNITY y Campus recruitments have huge potential for fulfilling manpower requirements cost effectively y y y Tie up with recruitment agencies on supplying fixed number of footfalls week on week. After two rounds of interview two candidates were selected and offer made to them on the same day. This entire process take one week. 5. Reduce turnaround time of making an offer THREATS y Increasing number of private players in automation sector creates ample choices.For the position of Sales engineers an urgent requirements had come up suddenly. Next day candidate called for the second round of personal interview. For this purpose through consultancy ten CVs was shortlisted. With time frame too short it was decided to conduct telephonic interviews. Develop exclusive contract with channel partners to meet the manpower requirements. than four CVs were shortlisted.7 SWOT Analysis of L & T EAOC division STRENGHT y y y Brand equity of L&T Proper reference checks to ensure that only good candidates are appointed. frequent and easy mobility for employees y Increasing spill over as a candidate has more than one offer at the time of making a job shift. Adequate number of channel partners to generate footfalls for each location.

y Same channel partners are handling all automation companies. . This leads to same pool of candidates being circulated to all partners.

1 SUGGESTIONS Compress the "white space" in hiring process White Spaces are delays in hiring process that are unproductive. or candidates who make it through screening may wait weeks to interview with a hiring manager. in case there is need to utilize the service of a placement agency. It must be made mandatory for the candidates to take the test. filling up forms etc within the stipulated time. the delays occur when the outstation candidates are called for interviews at Regional branches like Mumbai. Here at L & T Automation. there often comes the problem of duplication of data. White space in recruitment can be compressed by the use of IT also. Therefore it is recommended that more and more consultants should be tied up from multiple segments to attract large pool of new and fresh talent. then it is recommended that these placement agencies be given a well drafted job description and job specification. Often the longest delays occur between critical selection events.CHAPTER 6:SUGGESTIONS & CONCLUSION 6. Therefore. the interview has to be postponed. this will make sure that the candidates do not hold casual attitude and take the recruitment process more seriously. Know what you're looking for in candidates It is observed that the candidates sourced by placement agencies and send for further rounds of interviews are rarely found suitable by the hiring managers. waste time. Additionally it can send across a positive image about the company. This can also be circulated to . This delay could be minimized by scheduling interviews in the regional locations. Technology (such as automated or Web-based tracking) is ideal for eliminating unnecessary steps and reducing delays. and virtually assure you'll lose talented candidates. Tie up with more & more consultants from multiple segments Since the limited placement agencies are sourcing candidates to all automation companies. a recruiter may need several weeks to screen a few hundred resumes from the Web job boards. It is recommended to reduce the turnaround time for the recruitment and selection process. because of busy schedule of senior managers and sometimes because of tight schedule of candidate. Sometimes. For example.

educational and professional details of candidate. A person-organization helps to assess how well a candidate is suited the organization. It is recommended that apart from the person-job fit. . A candidate when invited for an interview must be attended as soon as possible. there must a proper coordination of the interview of the candidate and greater degree of professionalism. it is recommended that unnecessary details should not be asked before we make the final offer to the candidate. Form should be made concise. Whether the attitude he/she carries will promote both organizational as well personal goals. Interviews conducted on a scheduled time leave a good impression on the candidate. Even if he is not selected. This also becomes frustrating for the candidate sometimes.internal employees under the employee referral scheme. Those who are not selected in the first round of personal interview should also carry this impression that they have missed the opportunity to work in a great company. a good impression about the will make him recommend the name to his people. Create winning impression even on those who are not selected It¶s very important to create a favorable impression of your organization on all those who come for interview. This is very time consuming and even after taking these details from candidate it¶s not sure that offer will be made or not. This takes a great importance especially when attrition is high. So. Reduce the pre offer formalities Pre-offer documentation includes filling of a lengthy Employment application form which includes all personal. This will help people to get a clearer picture and provide for most suitable candidates. It will help the organization to retain its employees for a longer period of time and less burden on recruitment staff. For this. method must be devised to check for person-organization fit.

Thus an organization must be able to stand out in the crowd. It is only when organization is recognized for its quality that it can build a stability with its customers. Therefore recruitment in this regard becomes an important function. Thus the organization must look out for methods that can enable it to adopt best recruitment practices. designations etc. Establishing and installing a strong process framework spanning across the lifecycle stages of recruitment yields phenomenal business benefits in terms of scalability of operation. productivity and profitability. Typical reasons for offer rejections include better opportunities in other organizations.6. The organization must constantly improvise in its recruitment process so that it is able to attract best in the industry in order to serve the best. The recruitment organization should also be able to whistle blow and commence rework immediately in the likelihood of the candidate declining the offer or dropping out to minimize the time lag to get an alternate candidate on board. The first step in this direction is to ensure competitive people come in the organization. operational efficiency. In order to grow and sustain in the competitive environment it is important for an organization to continuously develop and bring out innovations in all it activities. The recruitment organization can realistically manage expectations and negotiate on behalf of both the client and the candidate by capturing requirement and candidate information in graphic detail. .2 CONCLUSION Recruitment is critical function in the organization. compensation and benefit structures. It is becoming quite obvious that most of the pains in the recruitment business points not to the capability or the absence of it in a recruiter but to the absence of robust process framework. career growth within the recruiting organization.

Bibliography www.com www.com www.citehr.wikipedia.com http://recruitment.naukrihub.larsentoubro.com www.google.html Documents provided by L&T .com/importance-of-recruitment.

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