Case Study Analysis

Somany Ceramics: Recruitment Challenges

Subject: Human Resource Management
 Case objective:
This case study's objective is to establish how systematic training and
development initiatives can become the answer to the technical manpower
shortage. The case study traces how a robust and systematic training initiative
helped Somany Ceramic Ltd., helped the company cope with the acute shortage
of technical manpower and gave a fillip to its expansion. There are some more
objective of this case:
 To identify how training and development in the success of an organization
and can be used as a strategic partner to solve problems and challenges related
to employee performance, manpower recruitment, CSR, branding, etc.
 To assess the opportunities and propel thinking on how well-planned T&D
initiatives when aligned to the organizational objectives maximizes value to
the organization
 To internalize the potential effect of training and development on various HR
related processes: how environmental challenges to an organization dictates
the type of training an organization requires; how dramatic changes in
business and external environment force HR department to respond quickly to
cope-up with the challenges.
 How HR initiatives when aligned with T&D and ultimately to the
organizational objectives gives higher dividends due to increased sense of
employee engagement and value add by the organization to individual 

Applying STP to this case:

Segment: Cities, Rural/ Urban Areas, private/public customers,
owners/builders.
Target: Owners/builders having projects in Urban.
Positioning: A Caring and High-quality Brand.

SWOT Analysis of this Case:

Strength:
1. Somany Tiles has been into operations since many decades
2. It operates in India, Africa, Middle East, UK and Russia.
3. It has a production capacity of 40+ million square meters annually.
4. In Terms of Decor Solutions with Widest Product Selection Categories –
Ceramic Wall and Floor, Polished Vitrified Tiles, Glazed Vitrified Tiles, Digital
Tiles & Sanitaryware And Bath Fittings as Well as Tile Laying Solution
5. It is designated as the Trend Setter in India
6. It is easily an undisputed leader in the world of ceramics.
Weakness:
1. There is a scope of increasing foreign operations in the company’s
distribution system.
2. Somany tiles is supposed to carry a very high brand equity with it, but is
should do more advertising as people of Tier II cities and lower are not aware of
the brand.
3. SOMANY tiles are priced a bit higher than normal brands in the category.
Opportunity:
1. It can easily take leverage of its Indian leadership and expand its international
operational network.
2. Government policies in India are also going to be pro manufacturing sector
and with FDI coming into the sector, this would help SOMANY tiles to grow.
Threats:
1. SOMANY tiles does face a tough competition from its competitors.
2. Many regional players are also taking on SOMANY tiles in terms of price

Competitors:
Below are the 5 main Somany Ceramics competitors:
1.  Kajaria Ceramics Ltd
2. H&R Johnson India
3. Asian Granito India
4. Nitco tiles
5. RAK Ceramics.
Problem Faced During Recruitment by any Company:

1. Failure to attract talented candidates.

2. Lack of understanding between the recruiters and hiring manager

3. Retaining Millennials in the workforce for a longer period of time

4. Lack of efficiency during the recruitment process.

 5. Challenges of Attracting and retaining employees.

Option that were chosen by Kumar for hiring:

 Hire from the competition:

Pro in this option:

If the Kumar can hire people from the competition that means the ceramic

Industry will grow rapidly.

Cons in this option:

1. SCL would have to pay the workers far more than they were

currently being paid by their employers.

2. Poaching the competitor’s workers would disturb the equilibrium

in the organization and industry.

3. SCL even had to guard its own skilled workers against poaching

attempts by competing firms.

4. Paying new employees, a higher salary to attract them would create

discontent among the existing staff.

 Train non-ceramic professionals:

Pros in this option:

Jobless people will now have jobs and earn their living

Cons in this option:

1. These people will not have any technical knowledge so money

would be spent on them for training.

 2. After working in this industry there are no guarantee that these

people will retain in this industry or not

My analysis of the Kumar’s option:

Though both the option has lot of cons but I think that first option is better as

when we will hire from the competition then there will be two advantages:

1. Firstly, if we hire from the completion then the employs will not need

extra training so money will be saved on training.

2. Secondly the growth of this sector will increase rapidly.