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A Project Report On
“Recruitment and Selection Process”
at VISA GROUP
Submitted to:-
Heritage Institute of Technology
By: Sandipa BasuMBA – Human Resource
Batch: 2009-11
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DECLARATION
I, Sandipa Basu feel gratified to declare that the project report entitled
“Recruitment and Selection Process” at VISA Comtrade is an original and
bonafide work done by me during the academic year 2009-2011. This is
being submitted in the partial fulfillment of the requirement for the award of
degree of the Master of Business Administration (WBUT University). The
matter embodied in this report has not been submitted for the award of any
other degree or diploma.
- 2 -
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Preface
A project is a systematic & scientific investigation to identify a specific
problem or study in a particular area in the organisation & thereby analyzing
the same to give the best solution.
Employees’ are the company’s most important asset. They can make or
break the fortune of the business. In today’s highly competitive business
environment, placing the right people in the right position is one of the most
challenging issue for any organisation.
Recruitment and Selection is of prime importance since the prosperity of any
business is dependent on its workforce who contributes significantly towards
its productivity followed by revenue generation.
In this project, I have made a comprehensive study on “Recruitment and
Selection Process” of VISA Group, a professional conglomerate spreading
its wings in the business of steel, power & international sourcing of minerals
and metals. My involvement in the project has been very challenging & has
provided me a platform to leverage my potential in the most effective way.
During the training period, I have not only made a thorough study of the
process but involved in the execution of it.
The project is however is an attempt to share my experience on recruitment
of right talent for a business.
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Table of Content
A. Acknowledgement…………………….1
B. Company Profile …………………….11
C. Theoretical Framework…………………....41
C.1.Recruitment……………………15
C.1.a.Defination……………………15
C.1.b.Purpose of Recruitment ........…………….16
C.1.c.Factors governing Recruitment……………………18
C.1.d.Case Example……………………19 C.1.e.A Simplified model of the
Recruitment ……………………20 C.1.f. Recruitment stages and Importance ......……………...23
C.2.Selection
C.1.a.Defination & Purpose .....................24C.1.b.Advantages of Selection
.....................25C.1.c.Selection Process ......................33
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C.1.d.Selection Practices ......................34C.1.e.Selection Interview ......................41
D. Recruitment & Selection Process in VISA Comtrade Ltd. ............49
D.1.a.Manpower Planning ......................44 D.1.b.Job Analysis ......................47
D.1.c.Selecting the Candidate ......................49D.1.d.Negotiation & Finalization of offer......................49
E. Observation & Findings ......................51
F. Key Learning from the Project ......................52
G. Conclusion ......................53
H. References ......................54
Acknowledgment
It is rightly said that -
“Quality demands hard work, commitment & dedication”.
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This project report is the quality work which has demanded I have vested in
constant efforts, commitment & dedication.
The selection of the topic “Recruitment And Selection Process” in Visa
group of Companies which is a conglomerate with business interest in Steel,
Power, Mining, International Trading, Shipping and Logistic and a strong
global presence across countries and which has been compiled by me as a
part of the curriculum of Master Degree in Business Administration.
I owe my sincere thanks to Mr. Amit Das, Head-HR for granting his kind
permission to carry on this project work for 2 months i.e., 8 weeks. I am
greatly indebted to Ms. Jaydeepa Banerjee, Asst. Manager - HR for the
whole assistance as supervisor without whom I could not have completed my
project work. I could not have completed my project work. She continuously
guided and supported me in all the tasks by giving me valuable insights into
various issues and steps to be considered in developing and studying an
organizational structure I express my deep sense of gratitude to the HR
department for giving me immense co-operation.
A special word of thanks to our director Mr. Alok Kr. Sen for his guidance
in preparing this project.
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COMPANY PROFILE
The Visa group was founded in 1994 by Mr. Vishambhar Saran and Mrs.
Saroj Agarwal.
The Group is a minerals, metals and energy conglomerate with business
interests in Steel, Power, Mining, and International Trading, Shipping and
Logistics and a strong global presence across countries including India,
China, Australia, Indonesia, South Africa and Singapore.
VISA at present is Rs.5000 crore conglomerates in the Minerals, Metals,
Steel and Power Industry.
The Group believes in leveraging its core strengths to create high quality
assets and rewarding long term businesses. Driven by the spirit of
excellence, the VISA Group endeavours to create value at each stage of the
supply chain.
The VISA Trust fulfils the Group’s Corporate Social Responsibility through
its community development programmes in the areas of education,
healthcare, rural development, sports and culture.
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Company Vision
“Emerge as a leading minerals, metals and energy group. It focused on
mining and value addition of natural resources.”
Company Values
Transparency- We are transparent and honest in our profession to
all our stakeholders.
Team Work- We work together as a team to benefit from our
complementary strengths.
Passion-We are passionately committed to delivering excellence in
performance.
Attitude-We demonstrate ownership in our attitude to create
sustainable value for shareholders.
Governance-We are committed to best standards of safety,
corporate social responsibility and corporate governance.
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Product Portfolio
Stainless Steel Sponge Iron
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Lam Coke Pig Iron
COMPANY’ S PRESENCE
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Global India 1. Beijing 1. Ahmedabad 2. Hong Kong 2. Bhubaneswar 3. Jakarta 3. Chennai4. Johannesburg 4. Delhi5. Singapore 5. Golagaon6. Sydney 6. Haldia7. Zug 7. Kalinganagar
8. Kolkata 9. Mumbai 10.Paradip 11.Raigarh 12.Raipur 13.Ranchi
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Group Companies
The VISA Group is active in the Steel, Power and International Trading,
shipping & Logistics businesses.
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VISA GROUP
VISA COMTRADE VISA STEEL VISA POWER
1 million TPA integrated Special Steel Plant & 375 MW Captive Power Plant in Orissa
2.5 million TPA integrated Steel and 500 MW Captive Power Plant in Chhattisgarh
Captive mining of Coal, Iron Ore and Chrome Ore
Commodity Trading
Shipping & Chartering
Port Operations & Logistics
Structured Trading
Investment in Mining Assets
1,200 MW Power Plant in Chhattisgarh & 1,320 MW Power Plant in Orissa
Pit-head Power plant in Jharkhand and Port-based Power Plant in Gujarat
Captive Coal Mining
VISA Steel Limited - The Flagship Company
Registered office in Bhubaneswar, Corporate office in Kolkata and
Manufacturing facilities in Kalinganagar and Golagaon in Orissa.
The facilities at Kalinganagar in Orissa include pig iron plant, coke
oven plant, ferro chrome plant, sponge iron plant, power plant and
stainless steel plant.
VISA Steel is a public listed company and the shares are traded on the
Bombay Stock Exchange and National Stock Exchange.
Company’s Competitors
Adhunik Steel
Tata Steel Ltd.
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Jindal Steel
Bhusan Steel Industries Ltd.
VISA Comtrade Limited
The Group International trading operations are conducted through
VISA Comtrade AG and its subsidiaries.
We have a widespread global presence (Beijing, Brisbane, Hong
Kong, Jakarta, London, and Zug) and also have a strong Indian
network (Bhubaneswar, Chennai, Delhi, Haldia, Kolkata, Mumbai,
Paradip, and Surat).
Minerals and metals are the chosen domain for growth at VISA that
includes coal & coke, Chrome Manganese & Ferro alloys, Iron &
Steel, Alumina & Aluminium.
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VISA provides end to end and single point raw materials.
Company’s Competitors
Sunflag
Usha Mertin
Indian Seamless
Glencore International
VISA Power Limited
Power project with the latest technology & modern control system.
Planning mega project of above 1000MW, one each in the states of
Chhatisgarh, Orissa, Gujarat & Jharkhand.
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Trading of power from Central Electricity Regulatory Commission
&commercial Power Trading Activity.
Has a plan to diversity into other segments of the power sector,
namely renewal & non-conventional energy sources, transmission &
distributions.
VISA Power Ltd. is a professionally managed company with core
team members from NTPC, POWERGRID, and TATA Power etc.
Company’s Competitors
Reliance Power
Tata power
VISA Comtrade
Adhunik power
Company name: VISA Group Of Companies
Mr. Vishambhar Saran, the Chairman
Address:
Corporate Office‘Visa’ HUL Building, 2nd floor9, Shakespeare Sarani, Kolkata-700071, India
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Phone: +91 33 3051 9000Fax: +91 33 3051 9001Website: www.visapower.com/www.visasteel.com/www.visacomtrade.com
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6. Theoretical Frame Work
6.1 Recruitment:-
Concept:-
Recruitment is the development and maintenance of adequate
man power sources. Recruitment has been regarded as the most important
function of personal administration. Recruitment and selection process starts
after the identification of vacancies to be filled up. While recruitment is
concerned with the identification of sources from where, personal can be
employed and motivating them to offer the employment.
Recruitment is the process of attracting applicants with certain
skills, abilities, and other personal characteristics to job vacancies in an
organization. Recruitment forms the first stage in the process which
continuous with the selection and the placement of the candidate. It is the
next step in the procurement function. The first being the manpower
planning, recruitment makes it possible to acquire types of people required to
ensure the continue operation of the organization. Recruitment is the
discovering of the potential applicants for actual and anticipated
organizational vacancies. In other words it is a, “linking activity”, bringing
together those with jobs and those seeking jobs. The purpose of the
recruitment is to locate the source of manpower to meet job requirement and
job specification.
Definition:-
“Recruitment” is the process of identifying the prospective
employees, stimulating and encouraging them to apply for a particular job or
jobs in an organization. It is positive action as it involves inviting people to
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apply. The purpose is to have an inventory of eligible persons from amongst
proper selection of the most suitable person can be made.
According to Denerley and Plumblay, “Recruitment is concerned with both
engaging the required number of people, and measuring their quality. It is
not only a matter of satisfying a company’s needs, it is also an activity which
influences the shape of the company’s future.”
Purpose of recruitment:-
The general purpose of recruitment is to provide a pool of potentially
qualified job candidates. Specifically purposes are to;
1. Determine the present and future requirement of the organization in
conjunction with its personnel planning and job analysis activities,
2. Increase the success rate of the selection process by reducing the
number of visibility, under qualified or over qualified job applicants,
3. Increase the pool of job candidate at minimum cost,
4. Reduce the probability that job applicants, once recruited and selected,
will leave the organization only after a short period of time,
5. Meet the organization’s legal and social obligation regarding the
composition of its work force,
6. Evaluate the effectiveness of various recruiting techniques and
sources for all types of job applicants, and
7. Increase organizational and individual effectiveness in the short- term
and long term.
Recruitment represents the first contact that a company makes with
potential employees. It is through recruitment that many individual will
come to know a company. A well-planned and well-managed recruiting
effort will result in high quality applicants.
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Factors Governing Recruitment :-
Recruitment is naturally subject to influence of several factors. These
include internal as well as external factors.
1) INTERNAL FACTORS
Recruiting policy
Temporary and part-time employees
Recruitment of local citizens
Engagement of the company in HRP
Company’s size
Cost of recruitment
Company’s growth and expansion
2) EXTERNAL FACTORS
Supply and Demand factors
Unemployment Rate
Labour-market conditions
Political and legal considerations
Social factors
Economic factors
Technological factors
Advantages of Internal Recruiting
Better assessment of (KSA)
Lower cost
Motivator for good performance
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Hire at entry-level only
Familiarity with organisation
Improved morale and security
Can identify long-term interests
Disadvantages of Internal Recruiting
Inability to find appropriate people
Morale problems
Political in-fighting
Need for strong T&D programs
Advantages of External Recruiting
Introduces new ideas and knowledge
Reduced need for training
Larger skilled pool available
Disadvantages of External Recruiting
Problems of fit
Morale problems for internals
Adjustment period
Relocation costs
Decreased incentive value of promotions
Recruitment Evaluation
Measuring past recruitment can help predict:
Timeliness of recruitment
Budget needed
Methods that yield greatest number of best quality candidates
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Assess performance of recruiters
INDUCEMENTS
Organisational inducements are all the positive features and benefits
offered by an organization that serves to attract job applicants to the
organisation. Three inducements need specific mention here, they are:-
Compensation: Starting salaries, frequency of pay increases,
incentives and fringe benefits can all serve as inducements to potential
employees.
Career Opportunities: These help the present employees to grow
personally and professionally and also attract good people to the
organization. The feeling that the company takes care of employee
career aspirations serves as a powerful inducements to potential
employees.
Image or Reputation: Factors that affect an organisation’s reputation
include its general treatment of employees, the nature and quality of
its products and services and its participation in worthwhile social
endeavors.
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CASE EXAMPLE (inducements):
INFOSYS: The Software Powerhouse
Infosys Technologies Limited (ITL), one of the country’s best known
software exporting house, treats its employees as partners and co-owners. It
provides them challenging assignments, allows flexible working hours,
rewards them solely on the basis of performance and conducts regular
training programmes to upgrade their skills. It has an “Employee Stock
Option Plan” (ESOP) to share its wealth with employees on the basis of their
performance. Even lower level employees are proud owners of the prized
stock worth 25 to 40 lakh rupees, according to Narayan Murthy, the CEO of
ITL. Apart from increasing shareholder value, ESOP has greatly enhanced
the image of the company in the information technology industry where
employee attrition rates are very high. It is small wonder companies like
Procter & Gamble,
Johnson & Johnson, Citibank have reposed their faith in ESOP as a way of
attracting and retaining talent in a highly competitive environment.
- 24 -
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A Simplified Model of the Recruitment Process
Recruitment planningRecruitment planning
• Estimated no. of contacts needed
• Job specifications
Recruitment philosophy
• Internal vs External job filling
• Job vs Career orientation
• St-term vs long term Recruitment strategy developmentRecruitment strategy development
• choosing reqd. applicant qualifications
• choosing recruitment sources and communication channels
• choosing inducements
• choosing the message : realism vs flypaper
Recruitment EvaluationRecruitment Evaluation
• No. of jobs filled ?
• Jobs filled in timely fashion ?
• Cost per job filled ?
Recruitment ActivitiesRecruitment Activities
• Job posting
• Ads
• Other recruitment sources
• Follow up actions
• Record keeping
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Screening / Selecting employees
Recruiting Yield Pyramid
RECRUITMENT STAGES
I. Planning
II. Strategy development
III. Searching
IV. Screening
V. Evaluation & control
VI. Frame work of recruitment
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50
100
150
200
1200
New Hires
Offers Made (2:1)
Candidates Interviewed (3:2)
Candidates Invited (4:3)
Leads Generated (6:1)
I. Planning :-
The first stage in the recruitment process is
planning .planning involves the translation of likely job vacancies and
information about the nature of these jobs into a set of objectives or targets,
that specify,
(A) Number of employees
(B) Type of employees
II. Strategy of Development :-
Once it is known how many types of recruits are required serious
consideration can be given to,
(A) Where to look
(B) How to look
(C) When to carry out
III. Searching :-
(A) Source activation
(B) Selling
IV. Screening :-
Screening of application can be regarded as an internal part of
the recruiting process. The techniques used to screen applicants very
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depending on the candidates source and recruiting methods used. Interview
and application blanks may be used to screen the candidate.
V. Evaluation and control :-
It has two vital aspects.
A. Monitoring
B. Feedback
VI. Framework for recruitment :-
Manpower planning is done at head office of organization through;
A. Advertisement
B. Employment Exchange
C. Collecting, Sorting and selecting Application.
D. Interview Considering experts for selection committee.
Importance:-
The importance of Recruitment can be understood as under;
Recruitment determines the present and future requirement of the
organization in conjunction with personal planning and job analysis
activities, increase the pool of job candidates with minimum cost. It reduces
the rate of selection process by reducing the number of obviously under
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qualified or over qualified job applicants. It also reduces the probability that
job applicants once required and selected, will leave the organization only
after a short period of time. Organization’s legal and social obligation meets,
regarding the composition of its workforce. Start identifying and preparing
potential job applicants who will be appropriate candidates. Increased
Organizational and individual effectiveness on the short and long term.
Evaluate the effectiveness of various recruiting techniques and sources of all
type of job applicants.
6.2 SELECTION
Concept :-
Finding people and putting them to work is an expensive affair. Selection is
the process of picking individual with requisite qualification and competence
to fill jobs in the organization. To select means to choose, selection is a part
of the recruitment function. It is the process of choosing people by obtaining
and assessing information about the applicants like age, qualification and
experience and qualities with a view to matching these with the job
requirement and picking up the most suitable candidates. The choice is made
by elimination of the unsuitable at successive stages of the selection process.
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Definition :-
Selection is the process of examining the applicants with regard to their
suitability for the given job or jobs, and choosing the best from the suitable
candidates and rejecting the others. Thus we shall notice that this process is
negative in nature in the sense that rejection of candidates is involved.
Purpose of Selection :-
The purpose is to pick up the most suitable person who would match the
required of the job and the organization best. The emphasis in selection is to
find out the optimal match between the person and the job. Some
organizations emphasis on selecting the “Right person for the right job”.
Creative and innovative organizations, instead seek to find the “ Right job
for the right person”, they select key professionals who can knit together and
leave the structuring of the tasks to themselves.
For the selection process to remain dynamic and purposive, organizations
need to continually focus attention and understand the important difference
between people and jobs.
ADVANTAGES OF SELECTION :-
Until recently, the basic hiring process was performed in a rather unplanned
manner in many organizations. In some companies, each department
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screened and hired its own employees. Many managers insisted upon
selecting their own people because they were no one else could choose
employees for them as efficiently as they them selves could not do any more.
Selection is now centralized and is handled by the human resource
department. This management is preferable because of the following
advantages:-
It facilitates contact with applicants because issues pertaining to
employment can be cleared through one central location.
It is easier for the applicant because they can send their applications to
a single centralized department.
It can provide for better selection because hiring is done by trained
specialists in staffing techniques.
It helps operating managers to concentrate on their operating
responsibilities. This is especially helpful during pick hiring periods.
With increased government regulations on the selection process, It is
important that people, who know these rules, are able to handle a
major part of the selection process better.
The applicants better assured of consideration for a grater variety of
jobs.
Hiring costs may be cut because duplication of effort is minimize
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The Selection process :-
Selection is essentially a process of picking out the best suited
personnel for the organization’s requirements. The selection process begins
with the job specification. The more clearly and precisely it is done, the less
would be the number of qualified applicants. Suppose, the purpose is to
select management trainees. If the qualification prescribed in MBA, the
number of applicants may be in hundreds. If the qualification is graduation
in any discipline, the number of applicants may be in thousands, of course,
the reputation of the firm, the job content, compensation package, location
etc. also influence the response to any recruitment drive.
The selection process covers the period from the job specification and
initial contact with the applicant to his final acceptance or rejection. It is
important to determine what kind of information can and needs to be asked.
It is equally important to know that asking for certain type of information
relating to race, caste, religion and place of birth may be regarded as
evidence of possible discrimination in the selection process.
Selection is a long process commencing from the preliminary interview
of the applicants and ending with willingness for job acceptance. Selection
procedure for higher cadre is much long and rigorous. But it is simple and
short in hiring lower level employees.
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Reception:-
A company is known by the people it employs. In order to attract people
with talents, skills and experience a company has to create a favourable
impression on the applicants’ right from the stage of reception. Whoever
meets the applicant initially should be tactful and able to extend help in a
friendly and courteous way. Employment possibilities must be presented
honestly and clearly. If no jobs are available at that point of time, the
applicant may be asked to call back the personnel department after some
time.
Screening Interview:-
A preliminary interview is generally planned by large organisations to cut
the cost of selection by allowing only eligible candidates to go through the
further stages in selection. A junior executive from the Personnel
Department may elicit responses from the applicants on important items
determining the suitability of an applicant for a job such as age, education,
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experience, pay expectations, aptitude, location, choice etc. this ‘courtesy
interview’ as it is often called helps the department screen out obvious
misfits. If the department finds the candidate suitable, a prescribed
application form is given to the applicants to fill and submit.
Application Blank :-
Application blank or form is one of the most common methods used to
collect information on the various aspects of the applicants’ academic,
social, demographic, work related background and references. It is a brief
history sheet of employee’s background, usually containing the following
things:
Personal data (address, sex, telephone number)
Marital data
Educational data
Employment Experience
Extra-curricular activities
References and Recommendations
Usefulness of Application Blank or Form :-
Application blank is highly useful selection tool, in that way it serves
three important purposes:
1. It introduces the candidate to the company in a formal way.
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2. It helps the company to have a cross-comparison of the
applicants; the company can screen and reject candidates if they fail to
meet the eligibility criteria at this stage itself.
3. It can serve as a basis to initiate a dialogue in the interview.
Selection Testing :-
In this section let’ examine the selection test or the employment test that
attempts to asses intelligence, abilities, personality trait, performance
simulation tests including work sampling and the tests administered at
assessment centres- followed by a discussion about the polygraph test,
graphology and integrity test.
A test is a standardized, objective measure of a person’s behaviour,
performance or attitude. It is standardised because the way the tests is carried
out, the environment in which the test is administered and the way the
individual scores are calculated- are uniformly applied. It is objective in that
it tries to measure individual differences in a scientific way giving very little
room for individual bias and interpretation. Over the years employment tests
have not only gained importance but also a certain amount of inevitability in
employment decisions.
Since they try to objectively determine how well an applicant meets the job
requirement, most companies do not hesitate to invest their time and money
in selection testing in a big way. Some of the commonly used employment
tests are:
Intelligence tests
Aptitude tests
Personality tests
Achievement tests
Miscellaneous tests such as graphology, polygraphy and honesty tests.
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1. Intelligence Tests: These are mental ability tests. They measure the
incumbent’s learning ability and the ability to understand instructions and
make judgements.
The basic objective of such test is to pick up employees who are alert
and quick at learning things so that they can be offered adequate training
to improve their skills for the benefit of the organization.
These tests measure several abilities such as memory, vocabulary, verbal
fluency, numerical ability, perception etc. Eg. Standford-Binet Test,
Binet-Simon Test, The Wechsler Adult Intelligence Scale are example of
standard intelligence test
2. Aptitude Test: Aptitude test measure an individual’s potential to learn
certain skills- clerical, mechanical, mathematical, etc. These tests indicate
whether or not an individual has the capabilities to learn a given job
quickly and efficiently. In order to recruit efficient office staff, aptitude
tests are necessary.
An aptitude tests is always administered in combination with other tests
like intelligence and personality tests as it does not measure on-the-job-
motivation
3. Personality Test: Of all test required for selection the personality tests
have generated a lot of heat and controversy. The definition of
personality, methods of measuring personality factors and the relationship
between personality factors and actual job criteria has been the subject of
much discussion. Researchers have also questioned whether applicants
answer all the items truthfully or whether they try to respond in a socially
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desirable manner. Regardless of these objections, many people still
consider personality as an important component of job success.
4. Achievement Tests: These are designed to measure what the applicant
can do on the job currently, i.e., whether the testee actually knows what
he or she claims to know. A typing test tests shows the typing
proficiency, a short hand tests measures the testee ability to take dictation
and transcribe, etc. Such proficiency tests are also known as work
sampling test. Work sampling is a selection tests wherein the job
applicant’s ability to do a small portion of the job is tested. These tests
are of two types; Motor, involving physical manipulations of things(e.g.,
trade tests for carpenters, electricians, plumbers) or Verbal, involving
problem situation that are primarily language-oriented or people-oriented
(e.g., situational tests for supervisory jobs).
Since work samples are miniature replicas of the actual job requirements,
they are difficult to fake. They offer concrete evidence of the proficiency
of an applicant as against his ability to the job. However, work sample
tests are not cost effective and every candidate has to be tested
individually. It is not easy to develop work samples for each job.
Moreover, it is not applicable to all levels of the organisation
5. Simulation Tests: Simulation exercise is a tests which duplicate many
of the activities and problems an employee faces while at work. Such
exercises are commonly used while hiring managers at various levels in
an organisation.
To asses the potential of a candidate for managerial positions assessment
centres are commonly used.
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6. Assessment Centre: An assessment centre is an extended work sample.
It uses procedures that incorporate group and individual exercises. These
exercises are designed to stimulate the type of work which the candidate
will be expected to do. Initially a small batch of applicants comes to the
assessment centre (a separate room). Their performance in the situational
exercise is observed and evaluated by a team of 6-8 assessors. The
assessors’ judgement on each exercise are complied and combined to
have a summary rating for each candidate being assessed.
Difference between Work Sample method and Assessment Centre
WORK SAMPLE ASSESSMENT CENTRE
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Suitable for routine,
repetitive jobs with visible
outcomes
Takes a few minutes to test
the applicant
Evaluated by one supervisor
Can be done on location
where the applicant
performs a small segment of
the job
Usually completed on one
applicant at a time
Suitable for managerial
jobs, the outcomes are not
behaviourally observable
Takes days to conduct
various exercise
Evaluated by a team of
trained observers
Requires a separate facility.
The centres are conducted
for a variety of task
segments
( that may not be the real
job) that may be
included in the real job
Usually performed on
groups of applicants at the
same time
Evaluation of Assessment Centre Technique:
The assessment centre technique has a number of advantages. The flexibility
of form and content, the use of variety of techniques, standardised way of
interpreting behaviour and pooled assessor judgements accounts for its
acceptance as a valuable selection tool for managerial jobs. It is praised for
content validity and wide acceptance in corporate circles. By providing a
realistic job preview, the techniques helps an candidate make an appropriate
career choice.
- 40 -
The performance ratings are more objective in nature and could be used for
promotions and career development decisions readily. However, the method
is expensive to design and administer. Blind acceptance of assessment data
without considering other information on candidates (past and current
performance) is always not advisable.
Tests as Selection Tool:-
Tests are useful selection devices in that they uncover qualifications
and talents that can’t be detected otherwise. They can be used to predict how
well one would perform if one is hired, why one behaves the way one does,
what situational factors influence employee productivity, etc. Tests also
provide unbiased information that can be put to scientific and statistical
analysis.
However, tests suffer from sizeable errors of estimate. Most
psychological tests also have one common weakness, that is, we can’t use
scales which have a know zero point and equal intervals. An intelligence
test, for example starts at an arbitrary point, where a person may not be able
to answer question properly. This does not mean that the person is totally
lacking in intelligence. Likewise, a person who is able to answer all the 10
questions correctly cannot be called twice as intelligent as the one who was
able to answer only 5. If the test has commenced at some other point, where
there easier questions, their score might have been different.
Test also fails to elicit truthful responses from testees. To compound
the problem further, test results are interpreted in a subjective was by testers
and unless these testers do their homework well, the results may not be
reliable.
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Standards for Selection Tests
To be useful as predictive and diagnostic selection tools, test must
satisfy certain basic requirements:
Reliability: Test scores should not vary widely under repeated
conditions. If a test is administered to the same individual
repeatedly, he should get approximately identical score. Reliability
is the confidence that an indicator will measure the same thing
every time.
Validity: Validity is the extent to which an instrument measures what
it intends to measure. In a typing test validity measures a typist’s
speed and accuracy. To determine whether it really measures the
speed and accuracy of a typist is to demonstrate its validity. The
question if determining the validity of a selection test, thus, has a lot
to do with later performance on the job.
Qualified People: Test require a high level of professional skills in
their administration and interpretation. Professional technicians are
needed for skilled judgmental interpretations of test scores.
Preparation: A test should be well prepared. It should be easy to
understand and simple to administer.
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Suitability: a test must fit the nature of the group on which it is
applied. A written test comprising difficult words would be fruitless
when it is administered on less educated workers.
Usefulness: Exclusive reliance on any single test should be avoided,
since the results in such a case are likely to be criticized. To be
useful, it is always better to use a battery of test.
Standardization: Norms for finalising test scores should be
established. There must be prescribed methods and procedures for
administering the test and for scoring or interpreting it.
Selection Practices:
The following throws light on how the global giants use selection testing
as a basis for picking up the right candidates to fill up the vacancies arising
internally:
1. Siemens India: It uses extensive psychometric instruments to evaluate
short-listed candidates. The company uses occupational personality
questionnaire to understand the candidate’s personal attributes and
occupational testing to measure competencies.
2. LG Electronics India: LG Electronics uses 3 psychometric tests to
measure a person’s ability as a team player, to check personality types
and to find a person’s responsiveness and assertiveness.
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3. Arthur Anderson: While evaluating candidates, the company conducts
critical behaviour interviewing which evaluates the suitability of the
candidate for the position, largely based on his past experience and
credentials.
4. PepsiCo India: The Company uses India as a global recruitment
resource. To select professionals for global careers with it, the company
uses a competency- based interviewing technique that looks at the
candidate’s abilities in terms of strategizing, lateral thinking, problem
solving, managing the environment. This apart, Pepsi insists that to
succeed in a global posting, these individuals possess strong functional
knowledge and come from a cosmopolitan background.
Selection Interview:
Interview is the oral examination of candidates for employment. This is the
most essential step in the selection process. In this step the interviewer
matches the information obtained about the candidates through various
means to the job requirements and to the information obtained through his
own observations during the interview. Interview gives the recruiter an
opportunity –
To size up the candidate personally;
To ask question that are not covered in the tests;
To make judgments on candidates enthusiasm and intelligence;
To assess subjective aspects of the candidate – facial
expressions, appearance, nervousness and so forth;
To give facts to the candidates regarding the company, its
policies, etc. and promote goodwill towards the company.
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Types of interviews:
Several types of interviews are commonly used depending on the nature and
importance of the position to be filled within an organization.
In a NON-DIRECTIVE INTERVIEW the recruiter asks questions as they
come to mind. There is no specific format to be followed.
In a PATTERNED INTERVIEW, the employer follows a pre-determined
sequence of questions. Here the interviewee is given a special form
containing questions regarding his technical competence, personality traits,
attitudes, motivation, etc.
In a STRUCTURED OR SITUATIONAL INTERVIEW, there are fixed job
related questions that are presented to each applicant.
In a PANEL INTERVIEW several interviewers question and seek answers
from one applicant. The panel members can ask new and incisive questions
based on their expertise and experience and elicit deeper and more
meaningful expertise from candidates.
Interviews can also be designed to create a difficult environment where the
applicant’s confidence level and the ability to stand erect in difficult
situations are put to test. These are referred to as the STRESS INTERVIEW.
This is basically an interview in which the applicant is made uncomfortable
by a series of, often, rude, annoying or embarrassing questions.
In the final category, there is the APPRAISAL INTERVIEW, where a
superior and subordinate sit together after the performance appraisal to
discuss the subordinate’s rating and possible remedial actions.
Steps in interview process:
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Interview is an art. It demands a positive frame of mind on part of the
interviewers. Interviewers must be treated properly so as to leave a good
impression about the company in their minds. HR experts have identified
certain steps to be followed while conducting interviews:
PREPARATION:
Establishing the objective of the interview
Receiving the candidates application and resume
Keeping tests score ready, along with interview assessment
forms
Selecting the interview method to be followed
Choosing the panel of experts who would interview the
candidates
Identifying proper room for environment
RECEPTION:
The candidate should be properly received and led into the interview room.
Start the interview on time.
INFORMATION EXCHANGE:
State the purpose of the interview, how the qualifications are going to be
matched with skills needed to handle the job.
Begin with open ended questions where the candidate gets enough freedom
to express himself.
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Focus on the applicant’s education, training, work experience, etc. Find
unexplained gaps in applicants past work or college record and elicit facts
that are not mentioned in the resume.
EVALUATION:
Evaluation is done on basis of answers and justification given by the
applicant in the interview.
PHYSICAL EXAMINATION:
After the selection decision and before the job offer is made, the candidate is
required to undergo a physical fitness test. A job offer is often contingent
upon the candidate being declared fit after the physical examination.
Medical examination:
Certain jobs require physical qualities like clear vision, perfect hearing,
unusual stamina, tolerance of hard working conditions, clear tone, etc.
Medical examination reveals whether or not a candidate possesses these
qualities.
Reference Checks
Once the interview and medical examination of the candidate is over, the
personnel department will engage in checking references. Candidates are
required to give the names of 2 or 3 references in their application forms.
These references may be from the individuals who are familiar with the
candidate’s academic achievements or from the applicant’s previous
employer, who is well versed with the applicant’s job performance and
sometimes from the co-workers. In case the reference check is from the
previous employer, information in the following areas may be obtained.
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They are job title, job description, period of employment, pay and
allowances, gross emoluments, benefits provided, rate of absence,
willingness of previous employer to employ the candidate again, etc.
Further, information regarding candidate’s regularity at work, character,
progress, etc. can be obtained.
Often a telephone call is much quicker. The method of mail query provides
detailed information about the candidate’s performance, character and
behavior.
However, a personal visit is superior to the mail or telephone methods and is
used where it is highly essential to get a detailed, first hand information
which can also be secured by observation. Reference checks are taken as a
matter of routine and treated casually or omitted entirely in many
organizations. But a good reference check, when used sincerely, will fetch
useful and reliable information to the organization.
Hiring decision:
The line manager has to make the final decision now – whether to select or
reject a candidate after soliciting the required information through different
techniques discussed earlier. The line manager has to take adequate care in
taking the final decision because of economic, behavioral and social
implications of the selection decisions.
A careless decision of rejecting a candidate would impair the morale of the
people and they suspect the selection procedure and the very basis of
selection in a particular organization.
A true understanding between line managers and personnel managers should
be established so as to facilitate good selection decisions. After taking the
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final decision, the organization has to intimate this decision to the successful
as well as unsuccessful candidates. The organization sends the appointment
order to the successful candidates either immediately or after sometime
depending upon its time schedule.
Guidelines regarding Interviews :-
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Do Don’t
1. Plan the interview
2. Establish an easy and informal
relationship.
3. Encourage the candidate to
talk.
4. Cover the ground as planned.
5. Probe where necessary.
6. Analyses career and interest to
Pattern’s of behavior.
7.Maintain control over the
direction and time taken for
the interview.
1. Start the interview
unprepared.
2. Plunge too quickly into
Demanding questions.
3. Ask leading questions.
4. Jump to conclusion in
Inadequate evidence.
5. Pay too much attention to
isolate
Strength or weakneses.
6. Allow the candidate to gloss
Over important facts.
7. Talk too much.
Barriers to effective selection:
The main objective of selection is to hire people having competence and
commitment. This objective is often defeated because of certain barriers. The
impediments which check effectiveness of selection are perception, fairness,
validity, reliability, and pressure.
PERCEPTION:
Our inability to understand others accurately is probably the most
fundamental barrier to selecting right candidate. Selection demands an
individual or a group to assess and compare the respective competencies of
others, with the aim of choosing the right persons for the jobs. But our views
are highly personalized. We all perceive the world differently. Our limited
perceptual ability is obviously a stumbling block to the objective and rational
selection of people.
FAIRNESS:
Fairness in selection requires that no individual should be discriminated
against on the basis of religion, region, race or gender. But the low number
of women and other less privileged sections of society in the middle and
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senior management positions and open discrimination on the basis of age in
job advertisements and in the selection process would suggest that all the
efforts to minimize inequity have not been very effective.
VALIDITY:
Validity, as explained earlier, is a test that helps predict job performance of
an incumbent. A test that has been validated can differentiate between the
employees who can perform well and those who will not. However, a
validated test does not predict job success accurately. It can only increase
possibility of success.
RELIABILITY:
A reliable method is one which will produce consistent results when
repeated in similar situations. Like a validated test, a reliable test may fall to
predict job performance with precision.
PRESSURE:
Pressure is brought on the selectors by politicians, bureaucrats, relatives,
friends, and peers to select particular candidate. Candidates selected because
of compulsions are obviously not the right ones. Appointments to public
sector undertakings generally take place under such pressure.
Role of Selection :-
The role of selection in organization effectiveness is crucial for at least two
reasons.
1. Work Performance
2. Cost
1. Work Performance :-
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Depends on individual. The best way to improve performance is to hire
people who have competence and the willingness to work efficiently.
Selection helps secure such personnel.
2. Cost :
Cost incurred in recruiting and hiring person speaks volumes about the role
of selection, here is one instance to prove how expensive recruitment has
become.
Cost of wrong selection are much grated, if two of these – “true positive”
(high-hit) and negative (low-hit) are right selection. The other two outcomes
represents selection error in the “False positive error” a decision is made to
hire an applicant based on predict success, but failure results in the “False
negative error”, an applicant who would have succeeded is rejected based on
prediction of failure.
Success
Failure
Failure predicted Success
predicted
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False Negative
Error
True Positive
(High-hit)
True Negative
(Low-hit)
False Positive
Error
With false positive error incur three types of cost, the first type is incurred
while, the person is employed. This can be the result of production or profit
loses, damaged organization’s reputation and services, accidents due to
negligence, absenteeism etc. The second type of cost is associated with the
training, transfer or terminating the service of the employee.
Costs of replacing an employee with a fresh one costs of hiring, training and
replacement constitute the third type of costs generally, the more important
the job, the grater the cost of the selection error. In the case of false negative
error, applicant who would have succeeded is rejected because of predicted
failure.
A careful selection will help an organization avoid costs associated with
both false positive error as well as false negative.
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C.Recruitment and Selection process in VISA Comtrade Limited.
I was assigned to work on the recruitment process which is the one of the
important part of VISA Comtrade. VISA Comtrade needs to recruit a good
number of personnel for the critical position of their different division. Thus,
Recruitment is a process consisting of various activities through which
search of prospective personnel are done. The recruitment process of VISA
Comtrade Limited starts from the requirement of different departments as
per to the organisation chart. Then they tell to the HR Department. HR
Department takes the candidates from Data bank of company, SAP etc, then
does the short-listing, then does the scheduling for the interview. After this
the selection and negotiation process occurs. Then offer letter is been given
to the selected candidate. The employee then joins in the organization. Then
the company arranges the Induction Program for the employee. After this the
recruitment process ends with this.
Steps involved:
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Manpower Planning
Manpower Planning and Human Resources planning are synonymous. Human resource planning or manpower planning is the process by which a management determines how an organisation should move from its current manpower position to its desired manpower position. Through planning, a management strives to have the right number and the right kind of people at the right place, at the right time, to do the right things which result in both the organisation and the individual receiving the maximum long range benefit.
Human resource planning is a double edged weapon. If used properly, it leads to the maximum utilisation of human resources, reduces excessive labour turnover and improves productivity and aids in achieving the objectives of an organisation. Faultily used, it leads to disruption in the flow of work, lower production, less job satisfaction. Therefore for the success of an enterprise, human resources planning is a very important function, which can be neglected only at its own peril.
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Organogram Design:-
Organogram is prepared by the HR department in consultation with
the concerned Head of the Department. The organogram is devised
keeping in view all requirements in terms of decision making, span
of control, succession planning and career progression and
statutory requirements. The organogram as a whole indicates the
number of vacancies along with their deployment schedule.
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Job Analysis:-
On the basis of Organogram the next step for HR department, is
Job Description, which showing job title, tasks, duties &
responsibilities involved in a job, etc.
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Profile – Company Secretary
Experience – 3-5 yrs
Qualification – B.Com(H)/CS
Job Description –
Meeting:
Preparation of Board folder.Handling Board, Committee and shareholders meeting. Complied with all statutory formalities connected therewith.Should act as Secretary to various Directors Committee.Preparation of the Agenda for the Board meeting.
IPO & Listing Agreement:
Preparation of Draft Red Herring Prospectus.Preparation of Red Herring Prospectus.Preparation of application for further listing of shares.Getting the Shares Listed in NSE & BSE under Permitted Category
Legal:
Preparation of Trade Mark and Patent application.Preparation of various legal documents/Affidavit.Liaisoning with lawyers relating to various court cases pending against the Company.
Banking matters:
Dealing with Banks, Financial Institutions for Corporate loan.Liaisoning with Bank.
SEBI:
Compiling with SEBI regulations Filing of disclosures and periodical reports with Statutory Authorities and Stock Exchanges including Secretarial Audit Certificates.
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Preparation of Insider Trading Code for the company.
Profile: Executive Assistant
Qualification: Graduate (minimum Qualification)
Job Description:
Providing Assistance in various day to day activities and execution of several administrative related jobs.
Handling confidential circulars, letters, notice, memos.
Fixing appointments with internal and external personnel.
Attending and representing meetings and preparing their minutes and various reports and presentation.
. Keeping track of travel bills.
Attending to phone calls.
Booking of Air ticket and hotel, providing passport and visa assistance.
Organizing and coordinating various Events.
Co-ordinating with the internal cross- functional departments for smooth execution of day to-day business operations.
Maintaining High Level of Confidentiality pertaining to Official matters
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Job Specification:-
After Job Description, Job Specification is figured out which
specifies the qualities required in a job incumbent for the effective
performance of the job. It generally contains the number of years
of experience in a particular field and the required field of study
and certifications.
To Consultant:-
The Job Description and Job Specification as finalized above may
be sent to consultants or Advertisements may be posted depending
upon the number of vacancies targeted.
Receive Cvs:-
Based on the job description and job specification received the
consultants source CVs and sends them to VISA Comtrade Limited
for consideration. The CVs as received are entered in a master
database and sent for short listing. While entering data any delicacy
of CVs or any already not short listed CVs are taken care.
Initial Screening:-
In initial screening the CVs are checked for conformation with the
required job specification and relevant experiences highlighted for
easy technical scrutiny.
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Technical Screening:-
After initial screening the CVs are sent for technical scrutiny where
the concerned Head of the Department assess the candidate’s
experiences as mentioned in CV. If found suitable the candidate is
called for interview.
Selecting the candidate:-
Interview:-
All initial screening and technical screening feedbacks are sent to
the respective consultants for lining up the shortlisted candidates.
The concerned department head and HR head decides the date of
the interviews. The panel (consisting of technical person and a HR
representative) assess the candidate and gives feedback in the
interview assessment cum approval form that includes the
following attributes –
1. Job Knowledge.
2. Organization/Managerial Ability
3. Manners/Expressions/Interpersonal Relations.
4. Personality.
5. Leadership & Initiative.
6. Potential for Further Growth.
7. Safety/Quality/Cost Consciousness.
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Based on the above attributes the overall suitability of the
candidate is decided and the decision is given.
Negotiation & Finalization of offer:
Once the candidate is selected by the technical panel the HR department
finalizes the offer based on comparables or standard percentage rise on
existing CTC. Exceptions are made based on criticality of the position. After
successful negotiation final offer is sent and follow up for reliving letter
from current employer, exact date of joining is ascertained. Based on
deployment schedule extension for date of joining or commitment for
reimbursement of shortfall of notice pay may also be given.
Deployment
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As a part of the follow up till joining, information about a particular
candidate’s joining is given to the respective site HR and administration
department for necessary advance logistics arrangements. On date of joining
the candidate fills up joining forms and is sent to the respective site.
Organogram is updated to reflect the actual present status of vacancies.
OBSERVATIONS AND FINDINGS
During the study of the project I observed different functions of the HR
Department.
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I got the knowledge about the different types of HR Policies functioning in
the organization.
I also got knowledge about how the organization is following their values in
a very sincere way.
I learnt how and what types of facilities are being provided to the employees.
I also observed how they are doing the Performance Appraisal on basis of
the achievement of the targets by the employees in the time given to them
through ERP.
I got the knowledge about different departments in a power plant and idea
about the challenges what the employees are facing while performing their
work.
I came to know that how they are maintaining the database of the employees
on the ERP system for all departments region-wise & its importance.
They emphasis on providing proper working environment to their
employees, so that the employees can work efficiently & smoothly.
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SWOT Analysis – Recruitment & Selection in VISA Comtrade
STRENGTHS• Good Brand Image as preferred employer helps in attracting talent.• Scale of project / operations and latest technology helps attract aspirants looking for new challenges and varied exposure.• First mover advantage helps in attracting the crème of talent available in market.
WEAKNESS• Latest technology used, expertise to be developed as necessary knowledge may not be available in market.• Infrastructure towards recreation /schooling/housing not up to the mark, which may deter aspirants from showing interest.• Internal references to be limited so as to maintain heterogeneity in manpower.
OPPORTUNITIES• Focused efforts in T&D may help in better utilization of existing manpower there by increasing [productivity and creating scope for higher remuneration and better retention policies.
THREATS• Simultaneous projects coming up, poaching may be a near possibility.
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KEY LEARNINGS FROM THE PROJECT
• Firstly it was a very good experience to work and learn with Visa
Comtrade Limited as it was my first experience with HR department.
• When I saw senior people doing each & every kind of work I came to
know how much important is each & every work. Maintaining files in
systematic manner with each & every detail is very important, if not done it
hinders the work whenever these are required for reference in medical claim
formalities, appraisal etc.
• The employees of HR department shared their experience and leanings
with me, which was a very good opportunity I got during my project.
• I learned different HR Policies of the organization which were unknown to
me before entering to the corporate world.
• I also learned how much the values and culture of the organization impacts
the employees’ productivity. Like here the seniors were approachable in
nature, I felt an open culture.
• I have gained some learning from every individual working here; it might
be in terms of knowledge, skills, behaviour or personal traits etc.
• I have learned many small, minute things by observations, being in the HR
department, which could not be learnt simply by reading books theoretically.
The practical experience was totally different.
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• I have also learnt that a HR person should be very polite, soft spoken &
good in handling people. Co-ordination with all departments is very
necessary.
G. Conclusion:-
The human resources are the most important assets of an organization.
The success or failure of an organization is largely dependent on the caliber
of the people working therein. Without positive and creative contributions
from people, organizations cannot progress and prosper. In order to achieve
the goals or the activities of an organization, therefore, they need to recruit
people with requisite skills, qualifications and experience. While doing so,
they have to keep the present as well as the future requirements of the
organization in mind.
The first step in this direction is to ensure competitive people come in the
organization. Therefore recruitment in this regard becomes an important
function. 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
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best. Thus the organization must look out for methods that can enable it to
adopt best recruitment practices.
I have tried to give my best to the project. I have incorporated all the relevant
“HUMAN RESOURCES MANAGEMENT ” principles which could be
associated with my topic on “Recruitment and Selection” process.
H. References:
To obtain more information regarding the present study and to sustain it with
theoretical proof, the following references are been made:
Websites visited:-
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www.visagroup.com
www.visacomtrade.com
Books
(1) K. Ashwathappa (2007) “HUMAN RESOURCE MANAGEMENT”
Tata McGraw hill publishing company ltd.
(2) Dr. C.B. Gupta (1997) “ Human Resource Development” New Delhi
Sultan Chand & Sons publishing House
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[
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