You are on page 1of 26

HIRING

TALENT-

PRACTICES AND
PROCEDURES
IN

BANKING AND
FINANCIAL
INSTITUTIONS
Presented By:
Aditya Rane G045
Anant Katyayni G039
Aksh Vashishtha
Rohit Bhat

G064

G007

Rohit Garg G022


Rohit Agarwal G003
Sahil SehgalG050

Introduction
Structural reforms of early 1990s
Challenges
develop special competencies and skills for credit appraisal and
risk management
HR model of the future will require professionals to be both
driving and anticipating change, understanding the complexities
of the new business environment and forces shaping it

The NSDC report suggests that banks typically have 50-60% of


their workforce in operations; their expansion plans will require
them to focus a lot more on sales & marketing, IT etc.

Hiring Decisions
Whom to recruit?
Where to recruit?
What recruitment resources to
use?
When to recruit?
What message to
communicate?
Optimum selection process

Methodology
The study of hiring practices of companies in
BFSI sector was conducted by means of a
questionnaire
HR departments of a Public Sector Bank and a
Private Bank were approached
The responses hence received were compared
with general trends of hiring in the BFSI sector

HDFC Bank
HDFC (Housing development and
Finance Corporation) - 5th largest
commercial bank
Ranked 45th amongst top 50
banks in the world by market
capitalization.
Incorporated in 1994
Headquartered in Mumbai ,
employee base of 70000
consisting of 15000 women.
As of 2014, HDFC had more than
3200 branches, more than
12000 ATMs across more than
200o cities in India.
Two wholly owned subsidiaries
namely HDB Financial Services
Limited (HDBFS) and HDFC
Securities Limited (HSL).
As per to the Brand Trust Report
2014, HDFC is ranked 32nd among
most trusted brands in India.

Corporation
Bank
Nationalised in 1980,

In 1997, 2nd Public Sector Bank


in the country to enter capital
market, the IPO of which was
over- subscribed by 13 times.
Cash Management Services,
Gold Banking, m-Commerce, "
Online " approvals for
Educational loans Analysis,
100% CBS Compliance and
more recently, its low-cost
branchless banking - Business
Correspondent model.
Bank's unswerved commitment to
its customers to provide
convenience banking.

IBPS (Institute of Banking


Personnel Selection)
Corporation Bank
has outsourced its
hiring and selection
process

Qualified personnel with expertise in


psychology,
psychometrics,
educational
measurement,
human resource
management,
information
technology and
banking

More than 200 cities


across India

Ability and Aptitude


Test Batteries for
mass level exams

What qualities/eligibilities do you look for


in the applicants?
BFSI
Grasping and
learning new
concepts
quickly
Thinking of
creative ideas
and approaches
Resilience
under intense
pressure
Global outlook

Corporation
bank
Adaptability
Thinks out-ofthe-box
Team player
Vigilantism

HDFC
Honesty
Trainees
attitude
towards work
Prefers to hire
from reputed
colleges

Do you hire internally or externally, from


within the industry or outside it?
BFSI
Majority of the
companies in
the BFSI sector
hire externally
and usually
from within
the industry

Corporation
bank
Outsourced the
hiring process
to IBPS

HDFC
Externally
Within the
industry

What are your sources of recruitment?


BFSI
Majority of
companies in
the BFSI sector
hire through
campus
recruitments,
job portals
and
recruitment
agencies

Corporation
HDFC
bank
Advertisements Campus
in newspapers
recruitments
Their Website
Placement
consultants

Which of these sources do you consider


to be the most effective?
BFSI

Corporation
bank

HDFC

It depends upon
the company its
stage of growth,
environment in
which it operates,
its long term
mission and vision
etc.
Overall, it seems
job portals are
the most preferred
sources of
recruitment.

Advertisements in
newspapers

Campus
placements

With changing times, are you also


looking at some of the other nonconventional sources of recruiting such
as social networking sites, weblogs etc.?
BFSI

Corporation
bank

HDFC

The importance
and integration of
technology is only
increasing with
time
Still the trend has
not caught the
attention of
companies as
much
The print media
has lost its sheen
but its job portals

They are more


comfortable with
IBPS handling it in
the near future

Open to such an
option in the future

How do you brand your company for


potential hires? How is it different from
those followed by your competitors?
BFSI

Corporation
bank

HDFC

Public sector banks:


No employer
branding strategy
Lesser Pay &
promotions, long
rural stint, time
consuming
recruitment
Private banks:
EVP- high
performance &
high pay culture

Brands itself based Employee relations


on the quality of
Long-term
service rendered to
relationship as
its clients
branding strategy

How early do you start your whole


recruitment process?

BFSI
Sector:
Depends on job
levels and
vacancies
created
Attrition rate
between 2025%

Clerks and customer service agents


Avg. recruitment of 5000 people
Entry level
positions June - December
Probationary officers
Avg.1800 people
First level
manageme Tests, interviews, 1 year training and internship- Year
round process
nt

Middle & Avg. 1000 managers from other industries/banks


Senior On-going process, as and when vacancies are created
Manageme
nt

Corporation bank
Same time period as
BFSI for recruiting
people at all levels

HDFC
Management traineescampus recruitment
September to January

Time line for entry level recruitment


process:
June
July
Application
process and fee
payment

August

Septembe
r
October

Exams

Result

November December

Final Interview
and selection

Can you explain the recruitment process


followed? What qualities do you look for in
the candidates under various stages of the
process?
BFSI

Corporation
bank

Public sector banks- IBPS


outsource
Successful
recruitment process
candidates- placed
to IBPS
on merit basis
Tests, interviews,
group discussions,
psychometric
profiling
Aptitude,
reasoning, DI
ability, culture fit,
leadership skills,
team skills, job

HDFC
Campus
recruitment
Aptitude tests, GD,
interviews
Honest, flexible
candidates, culture
fit

Recruiting Yield Pyramid:


Corporation bank- Specialist officer
position
New
Hires
192
Offers made
384
Candidates interviewed
576
Candidates qualified
1025
Applications received
10,000

HDFC bankRelationship manager- Average


recruitment per college
Select
ed
3-5
Candidates interviewed
10

Candidates shortlisted
10
Applications received
20

How do you ensure diversity of the hires?


BFSI Sector
Diversity is ensured by considering the background and previous
employment experience of candidates. Regional diversity is ensued by
recruiting from different regions from across the country.

Corporation Bank
Corporation Bank relies on IBPS to ensure diversity

HDFC Bank
HDFC Bank ensures diversity by organising interviews in different
colleges and backgrounds. Shortlisting is done as per domain
experience of the candidates

Background and reference checks of the


selected applicants
BFSI Sector
Background checks
are usually done inhouse. Relevant
organizations and
universities are
contacted as per
the documents
submitted by the
candidates. In
addition of the
above, professional
references ae
verified using
random calling

Corporation
Bank

HDFC Bank

Corporation
Bank generally
relies on police
verification
which is
submitted by the
candidate at the
time of joining

HDFC Bank
apart from this,
also calls the
respective
people as per
the references
given by the
candidates

Budget of the whole recruitment exercise

BFSI
BFSI
Sector
Sector
Corporati
Corporati
on
onBank
Bank
HDFC
HDFC
Bank
Bank

Budget for recruitment is entirely dependent upon the number


of candidates and positions to be hired. Although an estimate is
made at the beginning of each year, there are fluctuations in
the requirement due to intense competition amongst the
players within the industry

Corporation Banks budget is undisclosed.

HDFC Banks budget is flexible and depends entirely on the


requirements

Outsourcing the entire or a part of


selection process
BFSI Sector

Corporation
Bank

HDFC Bank

There is no
consensus when it
comes to outsourcing
of the hiring process.
Various regulations
need to be observed
by PSBs in terms of
hiring whereas most
private sector banks
usually have an inhouse recruitment
team.

The entire
recruitment process
of Corporation Bank
is itself outsourced
completely

HDFC Bank doesnt


consider outsourcing
either partly or
entirely. They prefer
it to be handled by
experts who are in
the organisation for a
long period of time
and understand the
goals of the
organisation and can
find suitable
candidates who can

Conclusion
Private Banks carry out the entire recruitment drive through their in-house
teams, PSBs on the other hand outsource the process
Private Banks have the opportunity to find a good cultural fit for their
organization whereas the selection is solely on merit bases for PSBs. (Even if
there are interviews, its weightage is only 20% and in case of same score the
criteria for hiring is DOB)
Private Banks are driven by High performance High Pay culture, PSBs on the
other hand has relatively lower pay but higher job security
The qualities in potential employees although remains more or less same for
both types of banks
The senior positions in PSBs are filled majorly through succession planning,
whereas Private Banks undertake a more flexible approach

References
http://www.sarkariexaam.com/corporation-bank-recruitment-2012/987
http://www.payscale.com/research/IN/Employer=State_Bank_of_India/Salary
http://articles.economictimes.indiatimes.com/2012-03-21/news/31220270_1_job-portalsbranding-employees
http://www.financialexpress.com/article/industry/banking-finance/recruitment-trends-in-bankin
g-in-2015/31610/
https://www.dnb.co.in/BFSISectorInIndia/BankC1.asp
http://www.business-standard.com/article/finance/study-finds-gap-in-companies-expectationsnewly-hired-mbas-skills-110030800141_1.html
http://www.ere.net/2005/07/18/the-best-practices-of-the-most-aggressive-recruiting-department
/

References Contd.

References Contd.