According to Edwin B. Flippo, “Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation”. A few definitions of recruitment are: • 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. • 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. The main objective of the recruitment process is to expedite the selection process. Importance of recruitment • • • Attract and encourage more and more candidates to apply in the organisation. Create a talent pool of candidates to enable the selection of best candidates for the organisation. Determine present and future requirements of the organization in conjunction activities. • Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants with its personnel planning and job analysis
SIGNIFICANCE OF THE STUDY
This project has been taken up to evaluate the effectiveness of SAP recruitment process of L&T Infotech and suggest techniques to further enhance the process. It also aims at analyzing and comparing the existing sources which have a major role to play in the recruitment process. The time constraint and knowledge constraint have limited me from exploring the recruitment process followed in the IT Industry. Overall the project will be able to help the organization to tell whether the recruitment process has been effective and efficient enough to fulfill the requirement . The scope and objective of the project was to have an in-depth understanding of the recruitment process followed in L&T Infotech. The areas covered in the project include: • • Recruitment and Selection Buddy referral System
The basic idea was to start the project by firstly getting an in-depth knowledge of the recruitment process and identifying the positives and the negatives and later on analyzing the data to suggest proper changes. For the initial 40 days I was on the job of understanding the entire process by handling the job of Vendor Management. Later on in the project I started collecting data and then analyzing it to find what all were the positives and what all were the negatives. The data collected was from January 2007 to April 2007. The data was collected from the Resumer software, the tracker sheet maintained for the consultants and the record of the offers made in a particular month.
When asked by reporters what IT stood for, India's the then Prime Minister A.B. Vajpayee responded “India's tomorrow”. India is proud of its software industry. Moreover, in 1999, more than 203 of Fortune companies outsourced their software requirements to India. India's biggest advantage over other nations is the fact that India possesses the world’s second largest pool of scientific manpower, which is also English speaking. Coupled with the fact that the quality of Indian software is extremely good with relatively low cost, it provides India a very good opportunity in the world market. A buoyant Indian IT and ITES sector, including the domestic and exports segment is growing at an estimated 28 per cent in the financial year 2006-07, offering unlimited opportunities to the aspirants, Wipro Corporation Chairman Azim Premji said. Total revenue for the sector is expected to exceed US $48 billion, nearly a ten-fold increase over the revenue of $4.8 billion, reported in 97-98. Premji said as a proportion of national GDP, the revenue of Indian technology sector has grown from 1.2 per cent in 1997-98 to an estimated 5.4 per cent in FY06-07.
The domestic market is also picking up and its total size is expected to cross USD 15.9 billion in 2006-07, a growth of 21 per cent over the previous year.
As we look forward, India continues to enjoy an unmatched superiority as an offshore destination for IT and ITES services. The success of IT has now spread to other industries including Biotechnology, Auto ancillaries and Pharmaceutical industries.
Another worrisome aspect is the continued dependence of the IT companies on the routine applications development and maintenance (ADM) tasks and their inability to scale up significantly to the higher billing and more complex tasks in areas like logistics, retail, automobiles and aerospace.
Says Sid Pai, partner TPI International (a global advisory firm), ”Sustaining top line growth will be a challenge.” Adds Kiran Karnik, president, Nasscom “Margins will be down 1% to 2%. M&A activity will also be impacted with valuations coming down.” Some studies estimate the share of Indian players to be 50%. While demand is there, the fact is that there is a limit to how much you can grow with routine services. Adding to the problems is the fact that billing rates are flat and companies do not have the capability to deliver the much talked about high value tasks. While there is lot of room for the IT companies to grow which in effect could ensure top line grows at rates witnessed in the past that is upwards of 30% it is the large players who will have to evaluate their options. Says Karnik, “I don’t see a reason why top line could be impacted. Though there could be constraints in managing the growth. For instance, the industry could find it difficult to get the right kind of talent.” Apart from the shortage of skilled manpower, another issue is the increase in wages which will impact profitability. Says Vikram Bapat, associate director, Price waterhouse Coopers (PwC), “Wages have been increasing at about 12-15% a year. I see a combination of factors including wages, minimum alternate tax, fringe benefit tax on ESOPs, sluggishness in the US economy and the strengthening rupee together denting operating margins.”
Typically, for every 1% fluctuation in foreign currency against the Rupee there is a 0.4% impact on operating margins. Says a CFO of IT major, companies usually takes forward cover for one or two quarters to take care of currency fluctuations. Though if the rupee continues to remain strong, as is anticipated, there will be a squeeze on margins. A large exposure to the US market makes the companies more vulnerable to currency fluctuations. To overcome the hurdles on the growth path companies now have little choice but to accelerate growth in new markets and new services.
PROFILE OF L&T INFOTECH
Enterprise Application Integration. maintenance and enhancement Integration of systems within and across enterprises • Industry Solutions Banking & Securities. 1997). L&T Infotech offers its services across a wide spectrum of technologies to include: • Focus Areas outsourcing of Application Maintenance as well as
Application Development ERP-II implementations. rollouts. upgrades.Corporate Profile Larsen & Toubro Infotech Limited (Estd. & Value Added Services Delivering Total Solutions 6
. end-to-end software solutions and services.
Communication & Embedded Systems • Services
Package Implementation & Support. catering to leading international companies across the globe A Range of Products & Services Committed to a focused business approach. Leveraging the heritage and domain expertise of the parent company. Infrastructure Management Services. its services encompass a broad technology spectrum. Utilities. Insurance. offers comprehensive. Strategy Consulting. Application Development & Maintenance.8 billion Larsen & Toubro Limited. production support.
Manufacturing. a 100 percent subsidiary of the multifaceted and diversified US$ 2. Data Warehousing & Business Intelligence.
With its wide-ranging technical expertise and experience. tailored solutions provide onsite or offshore execution or a combination of both. L&T Infotech's welldefined quality policy for technological and managerial processes has helped to establish the company's quality credentials through objective assessments: • • • Among the first few software entities in India to be awarded the ISO 9001:2000 certification CMM-related processes conforming to SEI-CMM Level-5 guidelines Assessed at PCMM Level 5. ver-2. Chennai. integrating.0 across Bangalore. developing and maintaining the system. It offers structured methodologies and frameworks for a faster time-tomarket Drawing upon its resource pool of business and technology experts. L&T Infotech consultants offer customized solutions for a range of services like architecting. Commitment to Quality With an unswerving commitment to quality. L&T Infotech offers flexible engagement models for involvement in all or any of the phases. These flexible. the CoE 7
. and Mysore
Innovating for Excellence L&T Infotech has set up a dedicated Center of Excellence (CoE) to adapt cutting edge technologies for business solutions. from the inception stage of identifying the problem space for the customer and recommending the appropriate solution to the execution and deployment of the solution. Identifying and researching on generic as well as specific technologies.
TIBCO. play a critical role in L&T Infotech's successful implementation of the key business and technological needs of its customers. Oracle. Technology Solutions: IBM.Our Strength A world-wide network of more than 4000 vibrant. L&T Infotech has alliances with: • • • • • • EAI Solutions: Web Methods. SAP Collaborative Product Commerce: Matrix One. from leading academic institutions. Sun Microsystems. Computer Associates. Oracle. SCM. Computer Associates CRM: Siebel. JD Edwards. Besides 14 international
Our People . IBM (MQ-Series). Microsoft (BizTalk) Business Intelligence: Informatica. Alliances The Center of Excellence works towards identifying leading
companies in the varied technological space to create new partnerships and alliances in niche as well as general areas. i2. Business Objects. Oracle. Oracle. SAP. well-focused professionals. People Soft. People Soft. Computer Associates. Microsoft. HP. SAP/ PLM Enterprise Application Systems: SAP.team focuses on initiatives aimed at assimilating and disseminating knowledge from different technology areas to the various delivery groups within the organization.
the company has a Proximity Development Center in the US. A Wide Area Network connects the development centers in India with business offices in the US. through a combination of high-speed satellite and terrestrial links that can be extended to the client premises at a short notice. Europe and Japan. with a firm belief that quality is a cost-saver L&T Infotech Differentiators 1. Right Size Partner L&T Infotech is an agile and a flexible outfit. Customer-Sensitive At L&T Infotech. Time Tested institutionalized processes.
3. we understand the “user-perspective” better than anyone else does.
2. Program Management
.offices and six software development centers in India. VISION Larsen & Toubro Infotech Limited shall be: • • • A globally benchmarked solution provider A preferred partner. through creation of high value for customers An enriching workplace for employees to excel through innovation & teamwork committed to delivering high fidelity services and solutions. L&T Infotech leverages its financial stability and simultaneously inherits its long-term sustainability from the parent company.
and retain them through innovative HR policies. We attract some of the best talent owing to L&T brand name. Oracle. SAP. Microsoft. 4. SAP/ PLM o Enterprise Application Systems: SAP. SAP. People Soft. Valuable Assets L&T Infotech’s Human Resources principles and philosophy are built on the foundation that our employees are our greatest strength. Over 4000 consultants including 300+ Domain specialists Industry benchmarked HR Practices. JD Edwards o Collaborative Product Commerce: Matrix One. JD Edwards. Microsoft (Biz Talk) o Business Intelligence: Informatica. L&T is a “Preferred Employer” for many career driven professionals. 6. Sun Microsystems. Best Practices L&T Infotech has acquired the best practices and business processes in the chosen domains.L&T Infotech has a deep project and risk management expertise that is inherited from its parent company and continues to build on this superior legacy. Oracle. IBM (MQ-Series). Computer Associates
. Business Objects. Strategic Alliances L&T Infotech has alliances with: o EAI Solutions: Web Methods. HP. Oracle. TIBCO. Oracle. Top 1% of Indian engineering graduates choose Larsen & Toubro as their employer. Computer Associates o SCM: i2. and People Soft o Technology Solutions: IBM. and Computer Associates o CRM: Siebel. 5.
8. Securities. Insurance. Center of Excellence Center of Excellence focuses on the improvement in the technology. Banking) and Telecom
Ge ographical Reve nue Mix
Health care. increase productivity and gain a competitive edge for L&T Infotech. Utilities 30%
Mftg 20% Others 30% financial services 15% ODC 10% Europe 30% US 40%
US Europe Others
embedded systems telecom 5% 20%
.7. and methodologies employed in L&T Infotech with the intent to improve software quality. tools. Utilities. Domain Expertise Vertical Focus – Manufacturing. Financial Services (Insurance.
In today’s organizations recruitment has become one of the major HR functions. So to cope up with the rapid growth in business the recruitment process has to be the best in the industry and if it is not then it has to rectified according to the
Genesis: SAP applications. built around their latest R/3 system. plants. The demand for its products and services is increasing at a very high rate. Thus the recruitment process plays a major role in helping the organization gaining that extra edge in this competitive world where human resource is the only differentiating factor.
Rationale: L&T Infotech is a rapidly growing organization. For this purpose the HR department has to evaluate the recruitment process on a whole at all the stages and finally needs to compare the various sources. provide the capability to manage financial. and archived documents. L&T Infotech has a very stringent requirement and the criteria set for the candidates is to assure that the organization gets in employees who are the best in the industry. and cost accounting. The R/3 system runs on a number of platforms including Windows 2000 and uses the client/server model. With this increase the number of employees needed to keep the momentum going is also increasing. But the question generally raised in any organization is that “is the recruitment process being followed in the organization the best in the industry which is helping the organization in meeting the requirement in time?” forces the HR department to derive techniques to prove to the organization that the process followed in the organization is the best in the industry and the various sources are helping them in meeting the requirement. production operations and materials.
.changing needs. The recruitment at L&T Infotech SAP SBU is done for two categories • • Laterals Functional Trainees (FTR)
The process followed is nearly the same except for the criteria set for both is different and the sources to meet both the requirements is also different. So the project would concentrate on comparing the various sources through which recruitment is done. Benefits: Evaluating the recruitment process will : • • • give a detailed feedback about the recruitment process as a whole test the various sources which help in the recruitment process help in identifying the areas which need immediate attention
Problem Formulation As mentioned above this project aims at evaluating the
effectiveness of the SAP recruitment process. This project will give a descriptive comparison between the various sources of recruitment. For example for FTR the work experience is not necessary and also FTR recruitment is done through consultancies while the laterals is entirely dependent on the consultancies.
" – Human Resources Management in Canada by Dessler. "Human resources management refers to the management of people in an organization. "The design of formal systems in an organization to ensure the effective and efficient use of human talent to accomplish organizational goals.
From high rates of turnover to
unresolved conflicts between staff members.Literature Survey
Introduction Human Resource Management
Human resources management is a specialty within the broader field of management that focuses on managing employees. and are likely to stay with the organization longer (research supports this). Conversely." – Human Resources Management by Mathis and Jackson. poorly managed staff can be very costly to an organization both in terms of productivity and actual dollars. we intuitively know that competent employees who are happy with their work and their workplace are more productive and make great contributions to organizations and the people they serve. Importance of good Human Resources Management: Good human resources management directly contributes to
organizational effectiveness. Human resource management consists of a framework of activities and practices that support and develop a motivated workforce while at the same time complying with legislation and regulations that govern the employer/employee relationship.
The purpose of good human resources management is to: • • • • • • • • Create meaningful jobs that link to the organization's mission Maintain the right mix of people with the knowledge. Based on the mission. skills. On an annual basis. your organization can have great strategic and operational plans and all the money it needs. A good human resources management framework
. However. and abilities to accomplish the work of the organization Provide a structure that helps employees be effective at their work Provide fair and consistent treatment of employees Nurture an organizational culture that supports and motivates staff Create a positive work environment Help retain effective staff members Help staff and the organization manage change
Every organization begins with a mission or reason for being that guides the activities of the organization. the strategic plan of the organization is expressed in the annual operating plan and annual budget. many organizations develop a strategic plan to guide the work of the organization for a period of two to three years. and still fail to achieve result because of 'people' issues.
which establish the parameters for fair and consistent decision making on people issues and reflect good workplace practices. The HRVS section on
HR Policies and Procedures
provides examples of different human resources policies.
. Secondly. human resources management practices and activities must comply with all legislation and regulations that govern the employer/employee relationship.
practices in an organization:
First and foremost.and practices are also part of the solid foundation for organizational success. good human resources management practices are based on human resources policies. All voluntary/non-profit organizations from the largest organization to an organization with just one paid employee are responsible for complying with employment legislation and regulations. The policies that are developed for each organization should reflect the values and ethics of the organization as well as its culture.
These include: Human practice
activity Job Analysis Job Design Job Descriptions Recruitment Selection
Meeting your staff requirements
Training and Development
Orientation Training Employee Development Job Evaluation Compensation Plan Benefits Retirement Plans Work Plans Supervision Performance Management Recognition Conflict resolution Discipline Termination Day-to-Day
Developing effective staff
Compensation and Benefits
Establishing fair compensation
People Management Building effective employer/employee relationships
.The typical Human Resources Management practices and activities
Human resources management is usually organized into broad management practices or tasks with their associated activities.
equity. which assigns value to various components of each job. For organizations without formalized human resources practices the following are usual priorities: • Ensure that management understands and complies with all legislation related to employment should be tailored to reflect the size of the
. a good human resources management practice is to base pay on factors such as level of responsibility and experiences as well as the principles of fairness. Example: When establishing pay. Getting started Many voluntary/non-profit organizations have no framework for their human resources management.HR Administration
Work-life Balance Health and Safety
Creating a good place to work
Diversity The human resources management practices adopted by an organization organization. would be used. In a larger more complex organization a full job evaluation process. There is little structure and no consistent approach to the human resources management decisions that are made. this may mean that a very simple look at the skills and experience required to do one job relative to another will be used to set pay. In a small organization. and transparency (staff should know what factors are used in the decision making process).
which consists of the tasks. Good human resources management requires a thoughtful. In doing this.• • •
Develop human resources policies that comply with legislation and reflect the priorities of your organization Develop written job descriptions for each job in the organization and Establish a reporting structure. Staff who understand what is expected of them and how their work contributes to the mission of the organization.
HR in L&T Infotech
. clients and the communities it works in.
Once these key pieces are in place. it is important to remember that all the human resources management practices are interrelated and begin with a good job description. Employees who are committed to the goals of the organization. A work environment which brings out the best in your employees. planned approach. and A work environment that is safe and healthy. Employees who are continuously learning. Your investment of time in developing and implementing a supportive human resources management framework should result in: • • • • • • Staff with the knowledge and skills needed to achieve organizational goals. you can establish a human resources framework. and activities that will become part of the way people are managed in your organization. Employees who understand and respect the diverse nature of the organization: its staff.
Chennai. At L&T Infotech. Their focus lies in bringing aboard some of the finest professionals in the software industry and providing them with opportunities that match their drive and ability.The HR department in L&T Infotech is divided into corporate HR and Central HR. Bangalore etc. implements these policies and guidelines. and thoroughly professional."A software force that's driving relationships globally. They provide:
Opportunities for Entrepreneurship • • • • • • Freedom to inspire ideas and be inspired In-house training programs for personal and professional growth Infinite access to the latest technologies Opportunities to take on leadership roles early in your career Freedom to experiment and be innovative HR polices that are aimed to strike a balance between work and personal welfare
.And closer to becoming a part of the collective peopleenergy that's L&T Infotech. With one of the lowest attrition rates in the industry. people are their greatest pride and resource. Simply access the "We Need You" section to post your resume on their site. It could be your first step towards getting closer to an organization full of self-driven people." At L&T Infotech you are faced with a challenging Work Environment that is shared by a highly motivated group of over 4000 people who choose L&T Infotech because they believe that it's all happening here. The function of Corporate HR is to frame the policies and guidelines while the function of Central HR is to look after all HR administration of a particular center. committed. If you have what it takes to become an integral part of an organization that's built and driven by people. Thus the central HR The corporate HR is
located in Powai (Gate No : 5) while the central HR is located in various development centers like Mumbai. then you are the person they are looking for. L&T Infotech's people-force is inspired.
Recruitment. For instance. job rotation.L&T Infotech. succession planning and promotions-all are defined by competency mapping. a person lacking in negotiation skills might be put in the sales or purchase department for a year to hone his skills in the area. Competencies are enhanced through training and job rotation. a PCMM Level 5 company. All people who have gone through job rotation undergo a transformation and get a broader perspective of the company. L&T has been rated amongst the top 5 preferred employers for the class of 2005 by AC Nielsen
. training. has a successful competency-based HR system.
HR DEPARTMENT HEIRARCHY
HR ACTIVITIES IN L&T INFOTECH
a sense of professional fulfillment. MM. It assists them by identifying various roles they could undertake and skills they may need to develop in order to do full justice to their new role within the organization. Firstly they have a mentor for each module viz (ABAP. Aim is to develop and prepare people for higher responsibilities. most importantly. they empower their employees with the strength of knowledge and create a 'climate' that is conducive to learning and personal and professional growth. They are a People driven organization that helps it's employees gain a level of freedom that provides security.Mentoring Here in L&T Infotech they have two types of mentoring taking place at different levels. Each module will have one mentor and some modules that are similar in functions are clubbed together with one mentor. they place People first. satisfaction and. Career Planning The company conducts career workshops. At L&T Infotech. PP) etc. The other type of mentoring is done for People Capability Maturity Model (PCMM). Mentee. PM. In this knowledge industry. Their policy for career The role of the mentor is to take care of his Mentee with regards to any help or guidance required by the
planning is a well thought out.
. planned process. BASIS. Here each PCMM trainee is attached to a mentor for 2-3 months where the mentee develops certain skills and this is attached to a contractual agreement.
. They believe that it’s the teams of committed people who eventually deliver results. The objective is to begin the process of integration of the incumbent with the organization and ensure smooth entry into the organization.Induction The new entrants . across all levels. and collaboration is given a priority. attends Induction programs individually and/or as groups. co-operation. This consists of inputs on the following: • • • • • • • • • • • Company Values.Fresher as well as experienced persons joining the organization. Business Philosophy Corporate Culture Work Culture Quality Process Project Management Information on Business and Future Plans Information on Organization Structure Systems and Policies Performance Appraisal Emphasis on building lasting Relationships & Team Effectiveness Team Development Workshops aimed at enhancing intra-team cohesion They believe that it helps the goal accomplishment when people are able to relate with one another and build lasting relationships & sense of belonging to the organization. Intragroup cohesion in terms of shared understanding of goals and objectives.
So if you're an achiever with a passion for setting and attaining goals.
. on an annual basis. their well-developed policies help us to recognize performance at work. Recognizing Collective Excellence In addition to the above. The award recognizes excellence in the management of projects and encourages a competitive spirit amongst the Business Units to achieve better performance through higher standards in project management.Reward and Recognition Systems They believe that their people are their greatest assets and that they are not just employees but strategic partners in their journey to achieve organizational objectives. Recognizing Individuals and Teams They understand the crucial role recognition plays in motivating employees to demonstrate superior performance. One such initiative is their ‘CE’s Award for Best Managed Project’. you'll find many opportunities for being recognized at L&T Infotech. they have mechanisms to recognize collective excellence at an organization level. In furtherance of their stated philosophy. There are many ways in which they acknowledge and appreciate good performance from a sincere sharing of an ‘I Appreciate’ Note for a specific job well done to granting honors through an established formal ‘Employee Award Plans’. The ‘Employee Motivation’ Plan at L&T Infotech is another success story – a unique experiment to empower their line managers to recognize and give spot rewards to individuals and team in pursuit of excellence.
it is not surprising that many of L&T Infotech’s centres in India have achieved the coveted PCMM level 5 certification. which takes great pride in its rich HR culture. The organisation believes that there are four major pillars of HR— acquiring talent. even at the time of recruitment and succession planning. And enhancing competencies enables this. Competency-based HR is the essence of good HR. Competency for every role is well defined (technical as well as behavioral). L&T has always been focused on HR. The company currently has a workforce of more than 4. Incidentally. This award encourages a competitive spirit amongst the business units to achieve better performance through higher standards in customer service. The HR vision of the organisation is to maximize ‘Sigma motivation’ and the
. grooming talent and building ‘the culture’.To encourages and foster the growth of a customer-oriented culture in the organization and within a business unit in particular. For an organisation. The company got the award thanks to its people processes and practices and a dynamic HR team which actively spearheads all people-centric activities. they should be equipped with the skills to reach that particular position. Competency development is at PCMM level 3.000 professionals. the ‘Rolling Trophy for the SBU with Best Customer Orientation’ has been institutionalized. “It is the dream of all HR people that everything in the organisation be linked through the competency matrix. enabling talent. Work culture (Competency based HR) L&T Infotech is one of the sixteen
companies in the world to get the PCMM level 5 certification. Adding that once people are shown a particular career path. L&T Infotech is among the 16 companies in the world that have earned this batch of recognition.
job rotation. In no two organisations can competency frameworks be the same.
L&T Infotech. Eventually. Competencies are enhanced through training and job rotation. When the company started competency mapping the whole process took eight months for six roles and two variations. 16-18 profiles were worked out. has a successful competency-based HR system. it is contextual. succession planning and promotions-all are defined by competency mapping. It is not timeless. Recruitment. "We call it the DNA of success…it is what makes star performers work in a particular way. a person lacking in negotiation skills might be put in the sales or purchase department for a year to hone his skills in the area. it will vary over time even in one organisation. Behavioural competencies do not change every month. a PCMM Level 5 company.organisation believes that implementing the PCMM model in letter and spirit will help it achieve that. training. All people who have gone through job rotation undergo a transformation and get a broader perspective of the company. Two appraisals are done 28
. The company uses People Soft for competency mapping. For instance. Isolate the DNA and make it available to ten others.
Introduction of competency mapping to assess has also involved on introducing competencies. Every quarter.
. As far as training and development is concerned. It has been a very rewarding experience. they themselves get pulled to the classes. skill "The appraisals best in performance appraisals." Competency-based HR makes this almost-utopian dream attainable. but when the numbers started flowing they sat up. This has also led to training people on how subordinates human resources development is when people in the line department do HR. instead of asking people to attend classes.subsequently…
behavioural competencies. an SBU-based skills portfolio is published. the line people see the advantage and drive us. Where the HR department is the enabler. The company acknowledges that there was resistance from the line people.
SOURCES OF RECRUITMENT FOR PROCURING KNOWLEDGE WORKERS
1. To create an environment of healthy competition where each work with their friends for mutual all-round enhancement.15000 Rs. To motivate all by making them a partner in the strategic activities of the organization. Software Engineer/Project Leader A-1-2/A-1-3 Project Manager and Above B and Above
. BUDDY REFERRAL SYSTEM Objective: • • • • • To encourage L&T Infoknight’s to refer suitable candidates for the specified posts. The category in which the referred Equivalent Reward Amount Rs.25000
candidate joins L&T INFOTECH Grade Associate Software Engineer/Software A-1-0/A-1-1 Engineer Sr. To reward L&T Infoknight’s in appreciation of their efforts if their referred candidate joins L&T Infotech. To encourage them to refer the kind of employees they wish to work with.20000 Rs.
Rs. 40.will be paid in advance which will be credited to the referee’s salary account once the referred person joins. as the reward payment is made after duration of three months.000. Both the referee and the referred candidate are on the rolls of L&T Infotech three months after the date of joining of the referred candidate.
L&T Infoknight’s will receive the reward only if: The candidates referred by him/her are selected for the post advertised. Selection of ex-employees who have resigned in the past 18 months will not attract any monetary reward.These rewards tend to increase with the criticality of the module and goes up to 30. Candidate referred should not have either applied to or been referred to HR in the past six months directly or through any employee/ agency etc. The reward amount is taxable as per the provision of Income Tax act.
. 50.000 Rs respectively. 5000/. In case the same resume is received from different sources.000. and the person who has sent the resume first will be considered for the reward. However. as a special case. date and time of the receipt of the resume will be considered.
The referee would be eligible for the reward only if the referred candidates mention his/her name as reference in their application form. Jobsites include the following
www. various CV’s are also downloaded from external jobsites by the recruiters in the SAP department. Buddy Referral Form' will have to be filled and submitted by the referee in order to become eligible for the reward. CAREERS: L&T Infotech has its own website called careers@lntinfotech. This is the direct source for information for candidates who desire to work with the company.com www. The candidates can view the various job openings along with the profiles.jobsahead. JOB FAIRS:
. Recruiters also post the job opening advertisement on these jobsites and mass mail the advertisement to the candidates who have posted their resume on these sites.com
4. EXTERNAL JOBSITES: Apart from the L&T Infotech website.
2. 3. The jobsites are one of the biggest cost components in the entire recruitment process.All the expenses incurred in obtaining the resume and in forwarding it to the HR would be born by the referee.com.monster.com www.timesjob.com www. This enables candidates to apply and upload their CV’s online.naukri.
The concept of a job fair is to bring those interested in finding a job into those companies who are searching for applicants. 5. Generally HR professional from various SBU’s go to the Job fair to represent their SBU and collect the resume of their respective domain to process it further. L&T Infotech use Job fairs to attract talent in their organization. The Fees which L&T Infotech pays to these consultants is approximately 8% to 14% of the CTC given to the candidates which were referred by them (subject to the candidate working with the company for a minimum of six months). or those who were working on different technology. Consultants usually shortlists candidates and conduct preliminary interview thus saving lot of time for HR department and enabling them to recruit the best talent available. RESUMER: This is Company’s Database. Name of the consultant include the following • • • ABC consultant Manpower consultant Proton consultant and many more
6. some of which were selected and few others who were not selected because their profiles did not match the job profile back then. which consists of all candidate s who had applied earlier for different job vacancies. Job fairs are open forum where they can exhibit the best their companies have to offer so that job seekers can make informed choices. CONSULTANTS: One of the recent practices of sourcing candidates which L&T has adopted is through Placement Consultants. Then the resumes are given to the recruiters to work upon. 33
. or those who did not have relevant work experience but this database could prove to be rich resource for sourcing of candidates for some future vacancies.
location and job code with email address where candidates can apply.7. educational qualifications. This involves the co-ordination of the following 3 teams: • • • The Database Management team The Recruiters team The Offer team
The Database Management Team The database management team consists of people who have to check the following details: o Candidate’s Full Name o DOB o Current Location o Contact Details o Current Employer o Education 34
THE RECRUITMENT PROCESS
The recruitment process in L&T Infotech SAP SBU starts with the resource manager of different modules sending in their requirements to the recruiting managers also stating as to what the prerequisites are which the candidate must have. The resource manager then allocates a panel which would be available to help the recruitment team in evaluating the candidate as in conducting interviews to evaluate the technical skills of the candidates. Ads regarding various job vacancies are placed in newspapers along with information like Position. Number of vacancies. ADVERTISEMENTS THROUGH NEWSPAPER: The oldest and most popular method having maximum reach is through advertisements in the daily newspapers. skills required.
A weekly status update is maintained which is sent to the different consultancy agencies to keep them informed as to what is the status of the CVs sent by them. the different sources are: o Consultancy agency o Direct o Job posting o Buddy referral scheme Incase of CVs that come from consultancy agencies the details of the candidate is maintained with the help of a tracker sheet. The Recruiters The different status given by the various recruiters could be: • • Screen reject Short listed
.o Work Experience There are different sources through which a resume can reach the database management team. Then once this is done they proceed further with the first duplicity check and if found then the status is changed to “Already in database’’ after this the second round of duplicity check is done with the help of ‘Resumer’ which is a software that maintains the record of all the CVs. The ‘Resumer’ software compares the Email id of the CV with the already existing CVs in the database now here if a CV is found duplicate then again the status is changed to Already in database in the tracker sheet and then the CVs that were new would be sent to the respective recruiters for different modules for the further process of recruitment and would be added to the database as well with a status as “Not referred ’’.
while if a candidate is rejected then the status is sent to the database management team as “ 1st Interview Reject ’’. After clearing the second round of interview an HR interview is conducted where the candidate and the panel discuss the various issues relating to pay etc. Once a candidate is selected he is then scheduled for the second round of interview which is technical but has to be in person. If a candidate clears the first round of interview the panel member assigns certain grade (1-10) on the basis of the discussion. Here the recruiter with the help of the CV shortlists the candidate or rejects the candidate. The Offer Team
. Once through with this. candidates who get short listed are then scheduled for the 1st round of interviews which is a telephonic discussion round which is taken by the panel members where in the basic technical aptitude of the candidate as well as communication skills of the candidate is checked . this has now become mandatory as earlier when second round could also be a telephonic round if the candidate was from some other city where there was no L&T office many problems were found like the candidate faking the interview etc.This is the initial stage of screening where the recruiters on the basis of the resumes shortlist a candidate if it matches the prerequisites like the experience criteria etc set by the different resource managers else the CV is screen rejected The process could be summarized as: The CV comes in the recruiter’s inbox. for ex for the post of sales where in a person has to deal with different clients it is not possible to recruit a person with poor communication skills with excellent technical knowledge. He conducts an HR screening. It also helps in knowing as to whether the candidate is suitable for the job or not.
If the candidate has accepted the offer then the candidate is asked to submit relevant documents on the date of joining and a final verification of the documents are done by the Central HR on the Date of Joining . After the preparation of the REX sheet the offer is closed.
RECRUITMENT PROCESS IN L&T INFOTECH
Database Management Team
Screening Receive the Resume
Check and verify the Necessary Documents
Interview I Check for Duplicity Interview II Send Papers to Corporate Office HR Interview Move them in Respective Folder (Module wise) Issue the Appointment Letter / 37 Joining follow-up & Formalities Creation of REX (Relevant Experience)
Entry in Resumer
Document Checklist & Employment Verification
. Here REX stands for Relevant Experience and Qualification.Once the candidate is selected all the details are then passed on to the Powai development center where the REX sheet is filled.
RECRUITMENT PROCESS FLOW CHART
Recruiter’s Inbox 2nd Int Clear ? Screening
Mail Candidate/ Consultant & Update Resumer
Personal Int / HR Int Mail Candidate / Consultant & Update Resumer Mail Candidate/ Consultant &Update Resumer
1st Int / Technical Screening
1 Int Clear ?
Mail Candidate / Consultant & Update Resumer
Document Checking &Reference Checklist
2nd Int / TECH Interview
Documents sent to Offer Team
induction etc. After this the hard copy of the offer letter is prepared and dispatched. When a candidate asks for the offer to be revised. Candidate may either: • • • Accept the offer Ask for the offer to be revised Reject the offer
In case of offer acceptance the candidate is asked to go for a medical examination and is asked for a probable date as to when the candidate could join the organization.
. After the salary card is generated the soft copy is sent to the candidate as the soft copy of the offer letter.PROCESS AFTER SELECTION
Once the candidate is selected the preparation of REX is done which helps in the generation of the salary card. This is followed by the candidate’s joining formalities like PS Number generation. it is done only incase of deserving candidates and this can be done for maximum two times. The candidates rejecting the offer right away are considered as offer decline case and the folder is sent to the concerned person immediately so that the database could be updated. After the offer has been revised the new offer is sent to the candidate and if he accepts the offer then the same process is followed as in case of acceptance while if the candidate rejects the offer then it is taken as an offer decline case and the entire folder of the candidate is sent to the concerned person who is responsible for maintaining the data regarding offer rejection.
PROCESS AFTER SELECTION
The analysis is focused on: • • • • Total number of CVs received CVs received from the consultancies and the other sources Short listed CVs from consultancies Number of selected candidates v/s Number of CVs Short listed (Consultancies) / Hit Ratio
TOTAL NUMBER OF CVs RECEIVED: TABLE – 1
MONTH No. some of them are:
. of Duplicate JANUARY FEBRUARY MARCH APRIL TOTAL Ratios: Ratio (duplicate CVs : CVs Received) Ratio (screen reject : CVs Received) 1:3 1:4 CVs 428 378 772 1331 2909 Screen Rejected CVs Total CVs Received 863 1568 548 1006 418 2563 404 3014 2233 8151 STATUS
There are different sources through which CVs come for screening.e from January 2007 to April 2007.EFFECTIVENESS OF CONSULTANTS V/S OTHER SOURCES OF RECRUITMENT
The analysis is done department wise and it is done on the basis of data for the last four months i.
Majority of the CVs received come out to be duplicates which are updated as ‘Already in Database’ and most of the remaining CVs come out to be ‘Screen Reject’ because they do not fulfill the minimum requirement. The total number of CVs received were sufficient in terms of numbers i. Many a times it is found that even after telling them what the basic minimum criteria for selection is.
. the consultancies forward the CVs of candidates who do not fulfill the basic minimum criteria. The very fact that consultancies are paid a handsome amount for their services is not a guarantee of them doing a good job. The data submitted proves this.e. The consultancies on a weekly basis are informed about what are the requirements of the organization as in which modules have an urgent requirement and what are the basic minimum qualification in terms of education and work experience the organization is looking for. quantity but were not that good in terms of quality.Consultancies • • • Direct CVs sent by the Candidates CV’s from the Job Sites Buddy referral scheme
Due to unavailability of data the CVs that come from consultancies will be clubbed in one while the CVs other than that would be considered as ‘CVs from Other Sources’. The consultancies send in CVs on a per day basis and few consultancies send in CVs in huge numbers but the striking fact here is that the huge number is not helping the cause since most of the CVs sent come out to be Duplicate CVs which were already in the database. still a lot of CVs that are received are not meeting the criteria.
was to save time by getting in a huge number of quality CVs which would not be needing any initial screening. At times the identification of the fake CVs is at a very late stage like in the final round of interview which leads to a wastage of money as well as time behind interviewing the fake candidate. the actual scenario is that the CVs still require a lot of time for its initial screening. The idea behind employing consultancies for the job.
.TOTAL NUMBER OF FAKED CVs RECEIVED: TABLE – 2
MONTH JANUARY FEBRUARY MARCH APRIL TOTAL
STATUS Fake Candidates 7 3 8 12 30
Total CVs Received 1568 1006 2563 3014 8151
Ratio (Fake candidates:CVs Received)
One of the striking facts that can be seen is that consultancies are not taking the burden of screening the CVs at least once because of which “Fake CVs” are also received this could be seen in the data submitted along with the report. but this is not what is really happening.
5) Consultancies 1141 745 1859 2580 6325 CVs Received from other sources 427 261 704 434 1826 Total CVs Received 1568 1006 2563 3014 8151
The organization in the past five months has relied mostly on the CVs from consultancies.3) 1:5(4. The only reason was the belief of the organization that it would help the organization to save time and the employees who were earlier employed for the initial screening of the CV could utilize their time doing something that could add value to the organization.CVs RECEIVED FROM THE CONSULTANCIES AND THE OTHER SOURCES TABLE-3
MONTH CVs from JANUARY FEBRUARY MARCH APRIL Total Ratio: Ratio (Consultant:Total Received) Ratio (Other Sources:Total Received) 1:2(1. The other reason was that the organization believed that the CVs would be better in terms of quality. Due to this the other sources like the CVs that come directly from candidates. CVs from Job Sites and the CVs that come through Buddy referral scheme were not given much importance in the past four months.
CVs RECEIVED V/S CVs SELECTED TABLE – 4
MONTH CVs Received from other JAN FEB MAR APR Total sources 427 261 704 434 1826 STATUS Selected Candidates(other sources) 68 37 46 28 179
Total CVs Received 1568 1006 2563 3014 8151
MONTH CVs JAN FEB MAR APR Total Received fromSelected Consultancies 1141 745 1859 2580 6325 Ratio:
STATUS Total Received 1568 1006 2563 3014 8151 CVs Candidates(consultancies) 1 30 12 25 68
consultanci es Ratio (selected:Received) 1:93
other sources 1:10
They should see to it that they not only send in CVs in great numbers but also CVs should be of good quality which could be short listed at least for the first round of interviews. The situation demands that the consultancies work with more responsibility and pay attention to the quality aspect needed by the organization. The numbers above in the table give a clear indication that the consultants are not keeping up with the expected level of performance as compared to the other sources like the Job Sites. The “Buddy Referral Scheme” is in its very nascent stage and needs to be encouraged because most of the times it has been seen that a good performer brings with him a good performer.The only time that the CVs from other sources are screened is when the organization has a requirement that can not be met only with the help of CVs from Consultancies. SHORTLISTED CVs FROM CONSULTANCIES: TABLE-5
MONTH CVs Received from JANUARY FEBRUAR Y MARCH APRIL Total Short listed CVs 265 187 Consultancies 1141 745 es 1:4 Total CVs Received 1568 1006 consultanci 574 1859 634 2580 Ratio (Shortlisted:Received) 1660 6325 2563 3014 8151
. Walk Ins etc which have very high conversion rates.
after this the fresh CVs Are sent for screening to the respective recruiters for the different modules.The CVs that are received from the consultancies are first of all checked for duplicity and the CVs that were already in the database are updated as “Already in the Database”. The CVs found satisfactory which fulfill the minimum criteria get shortlisted and are then scheduled for interviews.
HIT RATIO TABLE-6
MONTH Selected Candidates(consultan cies) JANUARY FEBRUARY MARCH APRIL Total Ratio consultanci es Ratio (Selected:Shortlisted) 1:25 1 30 12 25 68 Shortlisted CVs Received from Total CVs CVs 265 187 574 634 1660 Consultancies 1141 745 1859 2580 6325 Received 1568 1006 2563 3014 8151
The total number of candidates that come through consultancies is a good number but the hit ratio is an area of concern which in turn leads to a huge wastage of resource which is invested in following up the recruitment process. this needs a definite attention immediately. The selected candidate referred here includes both the candidates who join the organization and the
. The data above shows that the maximum numbers of CV’s get sorted out in the initial stage of screening because of which the number of candidates that are interviewed are less and thus the number goes on decreasing after each stage.
The organization could also concentrate on working with the top 10 consultancies on a priority basis which have been performing well for the last four months. Hence the company must seek ways to increase the access for the job sites which would help the recruiters to have simultaneous login.
The recruitment team needs to pool in a lot of candidates. The idea behind considering the joined as well as the decline cases was to focus on the candidates who really are good and do get through the entire recruitment process. Another way of doing this could be. The analysis part clearly shows that the consultancies have a very poor hit ratio and so a lot of attention needs to be paid on this source. This could help in encouraging the consultancies to work even harder and perform even better which would help in raising the Hit Ratio considerably. So may be along with the consultancies its time to pay more attention towards the other sources like the job sites to get in CVs more in number and better in quality.candidates who decline the offer. for this the organization may hire more employees especially to do the job. The maximum number of CV’s come from consultancies while the number of candidates that get selected is a matter of concern. Then it is the job of the consultancies and recruiters to screen the CV’s such that there should be a 50% chance of the candidate making it. on which the organization heavily depends on. as the hit ratio in the company is very low. This would help the organization in meeting the requirements with a slight increase in the expense
. to be in constant touch with the consultancies by meeting them on a regular basis to keep them updated about the requirements.
One more change that could be brought is that after the second round of technical interview the REX should be prepared and given to the HR person while he/she interviews the candidate so that the HR person can try and negotiate the salary of the candidate then and there itself.The “Buddy Referral Scheme” is in its very nascent stage and needs to be encouraged because most of the times it has been seen that a good performer brings with him a good performer. For this proper coordination between the recruitment team and the mentors is needed. This not only reduces the lead time but also sees to it that the candidate is tied to the organization as there is a good possibility that the candidate might decline the offer if he gets a better offer from another company. so that whenever the interviews are scheduled the panel stays free to conduct the interviews. This would help in reducing the time needed for the entire process. The decline cases are too high which in turn leads to a significant amount of wastage of resources like time. One of the major problems that could be seen was the unavailability of the panel to conduct the interviews. Most of the times it happens that the panel which is allocated by the mentor is not available and so its not possible for the recruiters to schedule the interviews which adds on to the pressure.
. The organization needs to take care of the decline cases. So proper training and grievance handling programs must be held in small intervals. The management needs to take some initiatives as to how these decline cases could be reduced. money etc. For this the motivation in the employees of the organization would be quite a help. thus reducing the recruitment lead time.
For example the qualification needed must be adjustable and the work experience needed by the candidate to fulfill the initial criteria should also be reduced. So it would be a great idea to evaluate the initial criteria as per the requirement.Finally the management needs to understand that the SAP market in India is in its nascent stage and therefore the pool of candidates is not that huge and the candidates pursuing SAP as a career are less in numbers. This would help in getting in more candidates who because of the tough criteria set by the organization are unable to get short listed.
HR has to lead from the front.CONCLUSION
The Human Resources Management (HRM) function includes a variety of activities. employees may be forced to look elsewhere. The study reveals some serious constraints some of which the management is already looking into. HR has a very strong champion's role to play. The management is finding ways and means to make the employees feel proud of themselves and the organisation. and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs. recruiting and training the best employees. The main objective behind my study was to find whether the Recruitment process of Larsen & Toubro Infotech is giving the desired results and what the possible constraints are.
. This will mean that all important employee touch points need to be owned and managed by HR. HR has to serve as the watch dog in ensuring that the demands placed on employees are balanced and fair and reasonable and do not compromise their interests. If HR does not play this role or is not seen as playing this role. ensuring they are high performers. In Software industry more than in any other. dealing with performance issues. and ensuring your personnel and management practices conform to various regulations.
The superiors are also called by their first name. This helps the employees remove that fear of talking to their seniors. They impart continuous knowledge by conducting various training programs. designation and his performance appraisal review. Special IT training is given to Non IT people so that they are aware of the basics. This is one reason why the number of offer decline is high. The company practices a culture where in each of the employees refer to other with their first name. which would help them. This is also based on the grade.L&T Infotech imparts one of the best training for SAP modules as compared to other companies in the industry. The work culture in L&T Infotech is something to be proud of. do their work in the best way. The company follows a compensation system where in they have a Fixed and a Variable component.
. where in the Fixed component as the name suggests is fixed according to his Grade and Designation and his Variable component is given a range wherein it could not exceed a given amount. Since it incurs heavy expenses in training there is an additional pressure to retain its employees. The attrition rate in L&T Infotech is about 15-20%. The company is average in terms of offering compensation. The best thing noticed during my training period was that the vision and mission of the company is passed on to the entire L&T Group of companies either through video conferencing or directly the CMD coming down and personally addressing the employees.
www. No. 3 August 2005 Human Capital.employment-studies. Vol 9.co.com www.BIBLIOGRAPHY
• • • • • • HRM Review Human Capital.uk
.citehr.hrsolutionsinc. 10 March 2007 Business World Business Today ICFAI Journal
• • • • • www.lntinfotech.com www.