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A study on the Recruitment process

Company Highlighted: Jamshedpur Utilities and Services Company (JUSCO) :

What Is Recruiting ?

Process of discovering potential candidates for actual or anticipated organizational vacancies.

Linking activity that brings together those with jobs and those who seek jobs

About JUSCO:

Jamshedpur Utilities and Services Company- A wholly owned subsidiary of Tata Steel,Ltd.

Indias only comprehensive urban infrastructure service provider.

Was earlier known as Tata Steel-Town Division, (Cost Center); hived off into a separate entity with its own cost center as it was perceived to be a potential revenue center. Currently provides Town Services for Jamshedpur under the aegis of Tata Steel; also diversified into external infrastructure and service projects. Primary clients: general citizens, tata steel, various city corporations, townships, individual industries and plants Mandate- convert an obligatory service into a customer focused sustainable corporate entity;Its services include water, power, infrastructure, public health and horticulture services.

Recruitment at JUSCO and summary: Purpose of this PPT- to analyse to process of recruitment and changes since inception at JUSCO Was primarily external in nature initially-shadowed the Tata Steel model;At later stages, this model changed,external recruitment was toned down and internal recruitment was focused upon for strategic reasons discussed later Should JUSCO start recruiting externally again ? Should it adopt a more holistic model,given its new position as an Infrastructure service provider countrywide? Literature review: JUSCO,ltd website; General documents on recruitment @the Tata Group Offer letters and communication mails; General interview forms and processes as well as key notices

Methodology of recruitment

Recruitment at JUSCO, regardless of the channel followed, goes through the usual cycles of planning, recruiting, selection, induction, training, allocation and attrition/retirement. Primarily service & construction firm- varied talent requirements; wide customer base, both industrial and non-industrial Replicated the system followed by Tata Steel, being a wholly owned subsidiary; with diploma trainees, graduate trainees; lateral entries; tata steel transfers; and temporary workers. Organisational-structure 11 commissioned levels, (E0-E6,O1-O3), apart from the supervisors and foremen coming under the unionized categories. The managerial and officer level posts are governed by company laws and appraisals; the unionised category people are governed by the rules applying the the TWU.(Tata workers union). Recruitment policy mostly same throughout but more focused on the non-unionised category because of unified and flexible standards.

Vacancy created on accounts of attrition, retirement or new manpower/skill requirements leads to the part or entire cycle of recruitment as the case may be; this vacancy is fulfilled, at all levels, through 2 key methods- internal and external recruitment, each of which is explained.

Internal recruitment Mostly departmental, or project specific; attrition or retirement also creates departmental need, but this is mostly on account of new projects or town jobs Department creates a JD, specifies time frame, pay-grade, scale of work, required skills, required qualifications; is forwarded to HR. a prerequisite is often sanction from the MD; but this is seldom required for internal recruitments.* Once decided that vacancy is to be filled internally, the JD,experience and qualifications,after vetting by the HR, is floated, both through emails and on notice boards.(on the intranet website and hardcopies) CVs are made available internally; candidates may also be asked separately for updated CVs as per dept. needs. After shortlisting, interviews are held with suitable HR and technical panel members. A written round may also be held in case of large no. of applicants. After compilation of results and selection, notice updated at concerned places and the opening is closed. The selected candidate is then suitably transferred through due notices within a stipulated time and compensation is adjusted for location and position.

External recruitment Similar to internal recruitment, requirement generated from vacancies/resignations/retirements; may also be a central planned need. In the case of departmental need, MDs sanction is a must before approaching GM,HR; for central recruitment, a general consensus is made as per yearly strategic plans. 3 main methods identified- campus recruitment(GTs); Diploma fresher recruitment (DTs); lateral recruits (Post specific); Tata Steel transfer (Strategic, higher mgmt.); Tata World employees

Campus recruitments (until 2011,discontinued) had standard campuses to be

visited; trainees recruited, inducted,trained for an year, assigned depts. (as managers) As per training scores and competencies- similar process for DTs, at lower posts. sent out to specific consultants/HR firms HR/Technical members.

Lateral recruitment involves the drafting of ads by the HR dept; riders are also Process similar after receipt of CVs- screening, vetting, and interview by After scoring, tabulation and evaluation, suitable candidates are selected,
provided confirmation and offer letters, joining dates after medical fitness test and MD approval (negotiation of compensation done after 2nd shortlisting)

Key Observations and notes

Tata Steel transferred employees are mostly an internal process as far as tata steel is concerned; more often, this is an outbound than inbound process, or involves the higher management with lesser scopes for JDs, and more for leadership
Tata World employees are mostly senior level employees with substantial work-ex; the process follows a similar path as the internal recruitment, except that this being internal for the Tata group

Employee referrals are an encouraged and important source of recruitment; such referrals may work on special vacancies, but can also work for a normal recruitment drive after the referral details are noted
Of late, on account of high CTCs, attrition, unproductive cycle and low revenues, JUSCO stopped recruitment of GTs and most external recruitment except for specialised roles; most talent management is in-house; for on-site projects, it resorts to contractual recruitment, outsourcing it to firms like Ma-Foi after providing them with CVs and conducting interviews. Based on performance, some employees may be made permanent after due approval. GT interviews were 4 staged- written,GD,technical and HR; lateral interviews are mostly single panel or dual panel depending on the grade; and interviews are quantified through scorings in various areas like communication , technical awareness, confidence etc with suitable ratings and weightages; minimum score of 60 or above as decided. All appointments are subject to fitness approval at the TMH for Jamshedpur bound candidates or suitable Tata Steel allies for site recruits. Therafter, the MD approves the CTC and profile following which, offer letters are sent out.

Graphical Representation of Recruitment Model





Lateral/role specific

Inter-dept/sites transfer employees






Permanent/ temporary

Job specific

Depends on present vacanices

Result and Analysis


JUSCO follows both Internal and External Recruitment On-campus recruitment has been scrapped in 2011 In 2012 JUSCO started laying-off people (indirectly)depending on individual performance in the department As it is implements top down approach first the Managers, Department head and supervisors were laid-off then sub-ordinates Recruitment would solely take place depending on requirement rather yearly or quarterly basis recruitment After scrapping On-campus recruitment all the External Recruitment activities were outsourced to the job portals or agencies, or through tata stee transfers/referrals depending on the level


Management was not stable and within four years it has changed its Managing Director thrice First MD was aggressive recruiter, second MD was neutral towards recruitment process and third MD against new recruitment; focused mainly on cutting the fat as mentioned in internal meetings; JUSCO was over staffed due to talent mismanagement and mismatch between requirement and recruitment JUSCO was making losses in major of the departments which was also one of the reasons for layingoff people Internal recruitment was favored more than external recruitment There was a massive vertical restructuring, with new business verticals emerging ,which had a consolidated structure and tried to map talent more fficiently

Conclusion and Recommendation


As the company is currently under restructuring and repositioning its businesses it has stopped recruiting Graduate Engineers from campuses Recruiting has hit stagnancy- raising doubts about the capacity of JUSCO as an efficient employer and one that upkeeps the tata principles of employment and employee friendliness. Has been hit by severe attrition-something that needs to addressed immediately; the system of talent management and mapping is in the interim phase and yet to reach zenith.


JUSCO should start visiting the campuses again as the need to position themselves as the best recruiter in order to get the best talent of the campus.

Attrition needs to be stopped and talent needs to be both retained nd acquired; a healthy recruitment cycle needs to be maintained for sustenance.
Good trainee engineers will help in expanding the businesses of JUSCO. Internal employees should also be given a chance if any suitable position in vacant.. Good training and other facilities should be provided to stop the attrition rate of JUSCO