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.

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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.

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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.

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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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