recruitment and selection summer report

[Type text]

Recruitment and Selection of Work

Associates for the „Easyday‟ Supermarket

and Hypermarket Stores At

Bharti-Retail

A Summer Internship Project Report

Submitted in the partial fulfillment of the requirement for the award of the

Master of Human Resource and Organizational Development (MHROD)

Batch: 2009-2011

Submitted By:

Rohit Kumar Singh, R-982/04

MHROD Semester III

Under the Guidance of:

Mr. Dev Mani Pandey

Regional Manager, People, Bharti-Retail

Submitted to

Department of Commerce

Faculty of Commerce and Business

Delhi School of Economics

University of Delhi, Delhi – 110007

Bharti-Retail (Summer Internship Project Report)

Rohit Kumar Singh, MHROD 2011

CERTIFICATE

CANDIDATE‟S DECLARATION

This is to certify that the report titled “Recruitment and Selection of Work Associates for

Supermarket and Hypermarket stores of Bharti-Retail” which is submitted by me in

partial fulfillment of the requirement for the award of “Master of Human Resource and

Organisational Development” from “Department of Commerce, Faculty of Commerce

and Business, Delhi School of Economics, University of Delhi, Delhi” comprises only

my original work and has not been submitted in part or full for any other degree or

diploma of any university.

Rohit Kumar Singh

R-982/04, MHROD

Semester III



CERTIFICATE



ACKNOWLEDGEMENT

I wish to express my gratitude to Bharti Academy of Retail team members,

especially Ms. Sailaja, Mr. Dev Mani Pandey and Mr. Deepak Mittal for their prompt

and sincere guidance. They stood by me all the way and provided me additional insight

and ideas with painstaking attention to details. Their comments and criticism have been

valuable. I would also like to thank other team members, with whom I got a chance to

work during my summer internship project.

I would also like to express my special gratitude to Mr. Dheeraj Deshmukhh, my friend

and colleague at Bharti Academy of Retail for helping me during internship, whenever I

needed some help from him.

Last but not the least, I would like to extend the gratitude and appreciation towards all my

friends and family members whose help and support has been instrumental in completion

of this project report.

Rohit Kumar Singh

MHROD, Semester III



CONTENTS

TITLE PAGE .................................................................................................................... 1

CANDIDATE‟S DECLARATION .................................................................................. 2

CERTIFICATE ................................................................................................................. 3

ACKNOWLEDGEMENT ................................................................................................ 4

CONTENTS....................................................................................................................... 5

LIST OF TABLES AND FIGURES ................................................................................ 8

LIST OF FIGURES ...................................................................................................... 8

LIST OF TABLES ........................................................................................................ 8

1. LITERATURE REVIEW: RECRUITMENT AND SELECTION .......................... 9

1.1 RECRUITMENT .................................................................................................... 9

1.1.1 Introduction ........................................................................................................ 9

1.1.2 Meaning of Recruitment ..................................................................................... 9

1.1.3 Purpose and Importance of Recruitment .......................................................... 10

1.1.4 Steps in Recruitment ......................................................................................... 11

1.1.4 (a) Identification of Job Vacancy ..................................................................... 11

1.1.4 (b) Job Description and Person Specification .................................................. 12

1.1.4 (c) Advertise the Vacancy ................................................................................. 12

1.1.4 (d) Managing Response .................................................................................... 12

1.1.4 (e) Short listing of Applicants ........................................................................... 13

1.1.4 (f) Arrange the Interviews ................................................................................. 13

1.1.5 Sources of Recruitment ..................................................................................... 13

1.1.5 (a) Internal Sources of Recruitment ................................................................. 13

1.1.5 (b) External Sources of Recruitment ................................................................ 14

1.1.6 Factors Affecting Recruitment .......................................................................... 16

1.1.6 (a ) Internal Factors ......................................................................................... 17

1.1.6 (b) External Factors ......................................................................................... 17

1.1.7 Recent trends in recruitment ............................................................................. 18

1.1.8 Recruitment Strategies ...................................................................................... 20

1.2. SELECTION ............................................................................................................ 22

1.2.1 Preliminary Interview ....................................................................................... 22

1.2.2 Selection Test .................................................................................................... 22

1.2.3 Interview ........................................................................................................... 25

1.2.4 Reference Test ................................................................................................... 27



1.2.5 Selection decision ............................................................................................. 28

1.2.6 Physical Examination ....................................................................................... 28

1.2.7 Job Offer ........................................................................................................... 29

1.2.8 Contract Of Employment .................................................................................. 29

1.2.9 Review of Hiring Process ................................................................................. 31

1.2.10 Types of Job Seekers ....................................................................................... 31

2. BHARTI GROUP OVERVIEW ................................................................................ 33

2.1 VISION & VALUE ............................................................................................... 34

2.1.1 Vision: ............................................................................................................... 34

2.1.2 Values: .............................................................................................................. 34

2.2 BHARTI GROUP COMPANIES .......................................................................... 35

2.2.2 Bharti Infratel Limited ...................................................................................... 35

2.2.3 Bharti Realty Limited ........................................................................................ 35

2.2.4 Beetel Teletech Limited .................................................................................... 36

2.2.5 Comviva ............................................................................................................ 36

2.2.6 Jersey Airtel and Guernsey Airtel .................................................................... 37

2.2.7 Centum Learning Limited ................................................................................. 37

2.2.8 Bharti Walmart ................................................................................................. 37

2.2.10 Bharti AXA Life Insurance ............................................................................. 38

2.2.11 Bharti AXA General Insurance....................................................................... 38

2.2.12 Bharti AXA Investment Managers Pvt. Ltd. ................................................... 39

2.2.13 Indus Towers................................................................................................... 39

2.2.14 Field Fresh Food Pvt. Ltd. ............................................................................. 39

3. THE GLOBAL RETAIL SCENARIO ..................................................................... 40

3.1 RETAIL SECTOR IN INDIA ................................................................................ 41

3.2 EVOLUTION OF RETAIL SECTOR ................................................................... 44

3.3 MANAGING HUMAN RESOURCE IN RETAIL SECTOR ................................. 45

3.4 HR CHALLENGES IN RETAIL SECTOR ........................................................... 48

3.4.1 Lack of Talent: .................................................................................................. 48

3.4.2 Unavailability of Experienced Manpower ........................................................ 48

3.4.3 Lack of Formal Retailing Education ................................................................ 49

3.4.4 Threat of Poaching ........................................................................................... 49

3.4.5 Stressful Environment ....................................................................................... 50

3.4.6 High Turnover .................................................................................................. 51

3.5 COMPLEX HUMAN RESOURCE ENVIRONMENT .......................................... 51

3.6 WOMEN IN RETAILING ..................................................................................... 52

3.7 REQUIREMENT FOR CREATIVE HR PRACTICES ......................................... 53



3.8 RECRUITMENT CHALLENGES & EMPLOYING STRATEGY ......................... 53

3.9 COMPENSATION STRATEGIES ........................................................................ 54

3.10 ENGAGING AND RETAINING TALENT ......................................................... 55

3.11 CAREER ADVANCEMENT ............................................................................... 56

3.12 HEALTHY MANAGEMENT PRACTICES ........................................................ 57

3.13 ETHNIC DIVERSITY MANAGEMENT ............................................................. 58

3.14 FUTURE EXPECTATIONS ............................................................................... 58

4. RECRUITMENT AND SELECTION OF WORK ASSOCIATES FOR

“EASYDAY” STORES OF BHARTI-RETAIL LTD. ................................................ 59

4.1 STORE DEFINITION: ......................................................................................... 59

4.2 RECRUITMENT & SELECTION AT BHARTI RETAIL LTD. ............................ 60

4.2.1 Eligibility .......................................................................................................... 60

4.2.2 Sections At “Easyday” Stores .......................................................................... 60

4.2.3 Categories to be Recruited as Work Associates ............................................... 61

4.2.4 Recruitment and Selection process ................................................................... 63

5. KEY LEARNINGS AND SUGGESTION‟S ............................................................ 66

5.1 LEARNINGS ........................................................................................................ 66

5.2 SUGGESTIONS: .................................................................................................. 67

6. REFERENCES ............................................................................................................ 69



LIST OF TABLES AND FIGURES

LIST OF FIGURES

FIGURE 1: AIRTEL LOGO .................................................................................................... 35

FIGURE 2: BHARTI INFRATEL LTD LOGO ............................................................................ 35 FIGURE 3: BEETEL TELETECH LTD. LOGO .......................................................................... 36 FIGURE 4: COMVIVA LOGO ................................................................................................ 36 FIGURE 5: CENTUM LEARNING LOGO ................................................................................ 37

FIGURE 6: BHARTI WALMART LOGO.................................................................................. 37 FIGURE 7: EASYDAY LOGO ................................................................................................. 38 FIGURE 8: BHARTI AXA LIFE INSURANCE LOGO ............................................................... 38 FIGURE 9: BHARTI AXA GENERAL INSURANCE LOGO ....................................................... 38

FIGURE 10: BHARTI AXA INVESTMENT MANAGERS LOGO ................................................ 39 FIGURE 11: INDUS TOWERS LOGO ...................................................................................... 39 FIGURE 12: FIELD FRESH FOOD PVT. LTD. LOGO ............................................................... 39 FIGURE 13: FLOWCHART SHOWING EVOLUTION OF RETAIL SECTOR .................................. 45

FIGURE 14: MANPOWER REQUISITION FORMAT FOR SMALL FORMAT “EASYDAY STORE”. 62

LIST OF TABLES

TABLE 1: ADVANTAGES AND DISADVANTAGES OF INTERNAL SOURCES OF RECRUITMENT .......... 14

TABLE 2: ADVANTAGES AND DISADVANTAGES OF EXTERNAL SOURCES OF RECRUITMENT ......... 16

TABLE 3 : FACTORS AFFECTING RECRUITMENT ............................................................................. 16



1. LITERATURE REVIEW: RECRUITMENT AND SELECTION

1.1 RECRUITMENT

1.1.1 Introduction

People are integral part of any organization today. No organization can run without its

human resources. In today‟s highly complex and competitive situation, choice of right

person at the right place at right time has far reaching implications for an organization‟s

functioning. An employee well selected and well placed would not only contribute to the

efficient running of the organization but also offer significant potential for future

replacement. Thus, hiring is an important function. The process of hiring begins with

human resource planning (HRP) which helps to determine the number and type of people

an organization needs. Job analysis and job design enables to specify the task and duties

of jobs and qualification expected from prospective job. HRP, job analysis and job design

helps to identify the kind of people required in an organization and hence hiring. It should

be noted that hiring is an ongoing process and not confined to formative stages of an

organization. Employees leave the organization in search of greener pastures, some retire

and some die in the saddle. More importantly an enterprises grows, diversifies, take over

the other units all necessitating hiring of new men and women. In fact the hiring function

stops only when the organization ceases to exist.

1.1.2 Meaning of Recruitment

According to Edwin B. Flippo, “Recruitment is the process of searching the candidate for

employment and stimulating them to apply for jobs in the organization. (Flippo, 1984)” It

is the activity which links the employer and the job seekers.

According to Yoder, “Recruitment is a process to discover the sources of manpower to

meet the requirements of the staffing schedule and to employ effective measures for

attracting that manpower in adequate numbers to facilitate effective selection of an

efficient working force.”



“Recruitment is the development and maintenance of adequate manpower resources. It

involves the creation of a pool of available labor upon whom the organization can draw

when it needs additional employees.” (Beach, 1975)

Thus, we can say that:

Recruitment is the activity that links the employers and the job seekers.

It is a process of finding and attracting capable applicants for employment. It

begins when new recruits are sought and ends when their applications are

submitted. The result is a pool of applications from which new employees are

selected.

It is the process to discover sources of manpower to meet the requirement of

staffing schedule and to employ effective measures for attracting that manpower

in adequate numbers to facilitate effective selection of an efficient working force.

Recruitment of candidates is the function preceding the selection, which helps

create a pool of prospective employees for the organization so that the

management can select the right candidate for the right job from this pool. The

main objective of the recruitment process is to expedite the selection process.

Recruitment is a continuous process whereby the firm attempts to develop a pool

of qualified applicants for the future human resources needs even though specific

vacancies do not exist. Usually, the recruitment process starts when a manger

initiates an employee requisition for a specific vacancy or an anticipated vacancy.

1.1.3 Purpose and Importance of Recruitment

Attract and encourage more and more candidates to apply in the organization.

Create a talent pool of candidates to enable the selection of best candidates for the

organization.

Determine present and future requirements of the organization in conjunction with

its personnel planning and job analysis activities.

Recruitment is the process which links the employers with the employees.

Increase the pool of job candidates at minimum cost.



Help increase the success rate of selection process by decreasing number of

visibly under qualified or overqualified job applicants.

Help reduce the probability that job applicants once recruited and selected will

leave the organization only after a short period of time.

Meet the organizations legal and social obligations regarding the composition of

its workforce.

Begin identifying and preparing potential job applicants who will be appropriate

candidates.

Increase organization and individual effectiveness of various recruiting techniques

and sources for all types of job applicants

1.1.4 Steps in Recruitment

The process of recruitment can be divided into following steps:

Identification of job vacancy

Job Description and person specification

Advertise the vacancy

Manage the response

Short-listing

Arranging interview

1.1.4 (a) Identification of Job Vacancy

The first step in recruitment process is requisition for recruitment by planning

department. The human resource department or its wing responsible for recruitment

receives information about the job vacancies to be filled. The details provided to

recruitment people contain information about:

Post to be filled

Number of people required

New vacancy or replacement etc.



1.1.4 (b) Job Description and Person Specification

Once the job vacancy has been identified, it is important to understand the job for which

a person is to be hired. It involves looking into the duties to be performed, the

qualifications required. One has to take holistic approach during this stage, it is important

that the job environment should also be taken into account. This helps in understanding

the person specification in terms of behavioral attributes rather than just the technical

parameters and qualifications. For example it is important to know whether the job

requires cross-functional approach which requires working in teams having people from

different departments and background which may be problematic for some people

whereas for some it may be the best condition.

1.1.4 (c) Advertise the Vacancy

Once the job vacancy has been identified and the job description and person

specifications have been understood. It is important to advertise the vacancy, so as to find

the job seekers with relevant skills and qualifications. This is one of the most crucial

phases of recruitment where a recruiter has to strike a fine balance between the

advertising costs, the legal provisions and quality sources for recruitment. The

recruitment team has to identify appropriate sources of recruitment (which have been

described in following text) and manage the advertisements in judicious manner. It is

important for the recruitment team to comply with all legal provisions, and to build the

employer‟s brand in job seekers.

It is also important to advertise the desired qualification and necessary

qualifications in the clearest term possible.

1.1.4 (d) Managing Response

A carefully managed advertising campaign results in a large pool of applicants with

desired occupational and educational qualifications. Such a large pool of applicants has to

be managed for further short listing. This stage may involve scheduling of candidates or

informing them about next stage of recruitment, collecting more information about

applicants etc.



1.1.4 (e) Short listing of Applicants

After receiving the applications and details about applicants, a short-listing has to be done

in order to find people with most appropriate skills and qualifications required for the job

and to reject any under-qualified candidate. This stage helps in saving a lot expenditure

and time which is to be incurred in later stages of hiring. It also increases the chances of

finding the best fit for the job.

1.1.4 (f) Arrange the Interviews

The last step in recruitment involves arrangement of final interview for selection of right

candidates.

1.1.5 Sources of Recruitment

The sources of recruitment can be broadly classified into 2 types:

Internal sources of recruitment

External sources of recruitment

1.1.5 (a) Internal Sources of Recruitment

1. TRANSFERS: The employees are transferred from one department to another

according to their efficiency and experience.

2. PROMOTIONS: The employees are promoted from one department to another

with more benefits and greater responsibility based on efficiency and experience.

3. UPGRADING AND DEMOTION: Upgrading and Demotion of present

employees according to their performance.

4. RETIRED AND RETRENCHED EMPLOYEES: Retired and Retrenched

employees may also be recruited once again in case of shortage of qualified

personnel or increase in load of work. Recruitment such people save time and

costs of the organizations as the people are already aware of the organizational

culture and the policies and procedures.



5. DEPENDANTS AND RELATIVES OF EMPLOYEES: The dependents and

relatives of Deceased employees and Disabled employees are also done by many

companies so that the members of the family do not become dependent on the

mercy of others.

6. JOB POSTINGS: Job vacancy can also be posted on company notice board for

finding a suitable candidate from within the organization.

Advantages and Disadvantages of Internal Sources Of Recruitment

Advantages Disadvantages

Motivated employees and Higher

morale

Employees familiar with the

organization

Higher probability of success

Industrial Peace

Relatively inexpensive

Training and skill enhancement

Overcoming surpluses and shortages

Reduced scope for fresh talent.

Employees may become lethargic

if they are sure of time bound

promotions

Spirit of competition may be

hampered

Frequent transfers of employees

may reduce the overall

productivity of the organization.

Political infighting for promotion

1.1.5 (b) External Sources of Recruitment

PRESS ADVERTISEMENTS: Advertisements of the vacancy in newspapers and

journals are a widely used source of recruitment. The main advantage of this

method is that it has a wide reach.

EDUCATIONAL INSTITUTES: Various management institutes, engineering

colleges, medical Colleges etc. are a good source of recruiting well qualified

Table 1: Advantages and Disadvantages of internal sources of recruitment



executives, engineers, medical staff etc. They provide facilities for campus

interviews and placements. This source is known as Campus Recruitment.

PLACEMENT AGENCIES: Several private consultancy firms perform

recruitment functions on behalf of client companies by charging a fee. These

agencies are particularly suitable for recruitment of executives and specialists. It

is also known as RPO (Recruitment Process Outsourcing)

EMPLOYMENT EXCHANGES: Government establishes public employment

exchanges throughout the country. These exchanges provide job information to

job seekers and help employers in identifying suitable candidates.

LABOUR CONTRACTORS: Manual workers can be recruited through

contractors who maintain close contacts with the sources of such workers. This

source is used to recruit labor for construction jobs.

UNSOLICITED APPLICANTS: Many job seekers visit the office of well-known

companies on their own. Such callers are considered nuisance to the daily work

routine of the enterprise. But can help in creating the talent pool or the database of

the probable candidates for the organization.

EMPLOYEE REFERRALS / RECOMMENDATIONS: Many organizations have

structured system where the current employees of the organization can refer their

friends and relatives for some position in their organization. Also, the office

bearers of trade unions are often aware of the suitability of candidates.

Management can inquire these leaders for suitable jobs. In some organizations

these are formal agreements to give priority in recruitment to the candidates

recommended by the trade union.

RECRUITMENT AT FACTORY GATE: Unskilled workers may be recruited at

the factory gate these may be employed whenever a permanent worker is absent.

More efficient among these may be recruited to fill permanent vacancies.

PROFESSIONAL & TRADE ASSOCATION‟S: Many associations provide

placement service to its members. It consists of compiling job seeker‟s lists and

providing access to members during regional or national conventions. Also, the

publications of these associations carry classified advertisements from employers



interested in recruiting their members. These are particularly useful for attracting

highly educated, experienced or skilled personnel. Also, the recruiters can zero on

in specific job seekers, especially for hard-to-fill technical posts.

Advantages and Disadvantages of External Sources Of Recruitment

Advantages Disadvantages

Qualified Personnel

Wider Choice

Fresh Talent

Competitive Spirit

Dissatisfaction amongst existing staff

Lengthy process (Increased

adjustment period)

Costly Process

Uncertain Process

1.1.6 Factors Affecting Recruitment

The recruitment function of the organizations is affected and governed by a mix of

various internal and external forces. The internal forces or factors are the factors that can

be controlled by the organization. And the external factors are those factors which cannot

be controlled by the organization.

Factors Affecting Recruitment

Internal External

Recruitment Policy

Human Resource Planning

Size Of The Firm

Cost

Growth And Expansion

Supply & Demand

Labour Market

Employer‟s Brand/ Goodwill

Socio - Political - Legal Environment

Competitors

Table 2: Advantages and Disadvantages of external sources of recruitment

Table 3 : Factors affecting recruitment



1.1.6 (a ) Internal Factors

1. RECRUITMENT POLICY: The recruitment policy of an organization specifies

the objectives of recruitment and provides a framework for implementation of

recruitment strategy. It may involve organizational system to be developed for

implementing recruitment strategies and procedures by filling up vacancies with

best qualified people. The recruitment policies of an organization may be affected

by following factors:

Organizational Objectives

Personnel policies of the organization

Government policies on reservation

Preferred sources of recruitment

Need of the organization

Recruitment costs and financial implications

2. HUMAN RESOURCE PLANNING: Effective human resource planning helps in

determining the gaps present in the existing manpower of the organization. It also

helps in determining the number of employees to be recruited and what

qualification they must possess.

3. SIZE OF THE FIRM: The size of the firm is an important factor in recruitment

process. If the organization is planning to increase its operations and expand its

business, it will think of hiring more personnel, which will handle its operations.

4. COST: Recruitment incur cost to the employer, therefore, organizations try to

employ that source of recruitment which will bear a lower cost of recruitment to

the organization for each candidate.

5. GROWTH AND EXPANSION: Organization will employ or think of employing

more personnel if it is expanding its operations.

1.1.6 (b) External Factors

1. SUPPLY AND DEMAND: The availability of manpower both within and outside

the organization is an important determinant in the recruitment process. If the

company has a demand for more professionals and there is limited supply in the



market for the professionals demanded by the company, then the company will

have to depend upon internal sources by providing them special training and

development programs.

2. LABOUR MARKET: Employment conditions in the community where the

organization is located will influence the recruiting efforts of the organization. If

there is surplus of manpower at the time of recruitment, even informal attempts at

the time of recruiting like notice boards display of the requisition or

announcement in the meeting etc will attract more than enough applicants

3. EMPLOYER‟S BRAND/ GOODWILL: Image of the employer can work as a

potential constraint for recruitment. An organization with positive image and

goodwill as an employer finds it easier to attract and retain employees than an

organization with negative image. Image of a company is based on what

organization does and affected by industry.

4. POLITICAL-SOCIAL- LEGAL ENVIRONMENT: Various government

regulations prohibiting discrimination in hiring and employment have direct

impact on recruitment practices. For example, if Government introduces

legislation for reservation in employment for scheduled castes, scheduled tribes,

physically handicapped etc. it becomes an obligation for the employer. Also, trade

unions play important role in recruitment. This restricts management freedom to

select those individuals who it believes would be the best performers.

5. COMPETITORS: The recruitment policies of the competitors also affect the

recruitment function of the organizations. To face the competition, many a times

the organizations have to change their recruitment policies according to the

policies being followed by the competitors.

1.1.7 Recent trends in recruitment

1. RECRUITMENT OUTSOURCING:

Recruitment outsourcing has emerged as one of the preferred solution for

companies. A company may draw required personnel from outsourcing firms. The



outsourcing firms help the organization by the initial screening of the candidates

according to the needs of the organization and creating a suitable pool of talent for

the final selection by the organization. Outsourcing firms develop their human

resource pool by employing people for them and make available personnel to

various companies as per their needs. In turn, the outsourcing firms or the

intermediaries charge the organizations for their services.

2. POACHING/RAIDING

“Buying talent” (rather than developing it) is the latest mantra being followed by

the organizations today. Poaching means employing a competent and experienced

person already working with another reputed company in the same or different

industry; the organization might be a competitor in the industry. A company can

attract talent from another firm by offering attractive pay packages and other

terms and conditions, better than the current employer of the candidate. But it is

seen as an unethical practice and not openly talked about. Indian software and the

retail sector are the sectors facing the most severe brunt of poaching today. It has

become a challenge for human resource managers to face and tackle poaching, as

it weakens the competitive strength of the firm.

3. E-RECRUITMENT

E- Recruitment is the use of technology to assist the recruitment process. Many

big organizations use Internet as a source of E-Recruitment. They advertise job

vacancies through worldwide web. The job seekers send their applications or

curriculum vitae i.e. CV through e mail using the Internet. Alternatively job

seekers place their CV‟s in worldwide web, which can be drawn by prospective

employees depending upon their requirements. The two kinds of e- recruitment

that an organization can use are –

Job portals i.e. posting the position with the job description and the job

specification on the job portal and also searching for the suitable resumes

posted on the site corresponding to the opening in the organization.

Creating a complete online recruitment/application section in the

company‟s own website. Companies have added an application system to



in their website, where the „passive‟ job seekers can submit their resumes

into the database of the organization for consideration in future, as and

when the roles become available.

1.1.8 Recruitment Strategies

Recruitment is of the most crucial roles of the human resource professionals. The level of

performance of an organization depends on the effectiveness of its recruitment function.

Organizations‟ have developed and follow recruitment strategies to hire the best talent for

their organization and to utilize their resources optimally. A successful recruitment

strategy should be well planned and practical to attract more and good talent to apply in

the organization.

For formulating an effective and successful recruitment strategy, the strategy should

cover the following elements:

1. Identifying and prioritizing jobs

Requirements keep arising at various levels in every organization; it is almost a

never-ending process. It is impossible to fill all the positions immediately.

Therefore, there is a need to identify the positions requiring immediate attention

and action. To maintain the quality of the recruitment activities, it is useful to

prioritize the vacancies whether to focus on all vacancies equally or focusing on

key jobs first.

2. Candidates to target:

The recruitment process can be effective only if the organization completely

understands the requirements of the type of candidates that are required and will

be beneficial for the organization. This covers the following parameters as well:

Performance level required: Different strategies are required for

focusing on hiring high performers and average performers.

Experience level required: the strategy should be clear as to what is the

experience level required by the organisation. The candidate‟s

experience can range from being a fresher to experienced senior

professionals.



Category of the candidate: the strategy should clearly define the target

candidate. He/she can be from the same industry, different industry,

unemployed, top performers of the industry etc.

3. Sources of recruitment:

The strategy should define various sources (external and internal) of recruitment.

Which are the sources to be used and focused for the recruitment purposes for

various positions? Employee referral is one of the most effective sources of

recruitment.

4. Trained recruiters

The recruitment professionals conducting the interviews and the other recruitment

activities should be well-trained and experienced to conduct the activities. They

should also be aware of the major parameters and skills (e.g.: behavioral,

technical etc.) to focus while interviewing and selecting a candidate.

5. How to evaluate the candidate

The various parameters and the ways to judge them i.e. the entire recruitment

process should be planned in advance. Like the rounds of technical interviews,

HR interviews, written tests, psychometric tests etc.



1.2. SELECTION

The selection process is a decision making process. This step consists of a number of

activities. A candidate who fails to qualify for a particular step is not eligible for

appearing for the subsequent step. Employee Selection is the process of putting right men

on right job. It is a procedure of matching organizational requirements with the skills and

qualifications of people. Effective selection can be done only when there is effective

matching. By selecting best candidate for the required job, the organization will get

quality performance of employees. Moreover, organization will face less of absenteeism

and employee turnover problems. By selecting right candidate for the required job,

organization will also save time and money. Proper screening of candidates takes place

during selection procedure. All the potential candidates who apply for the given job are

tested.

The process of selection starts with preliminary interview of candidates and ends with

contract of employment. Following are the steps which are generally involved in any

selection process:

1.2.1 Preliminary Interview

The applications received from job seekers are subjected to scrutiny, so as to eliminate

unqualified applicants. This is usually followed by a preliminary interview the purpose of

which is more or less the same as scrutiny of application, that is, eliminate of unqualified

applicants. Scrutiny enables the HR specialists to eliminate unqualified jobseekers based

on the information supplied in their application forms. Preliminary interview, on the other

hand, helps reject misfits for reason, which did not appear in the application forms.

Besides, preliminary interview, often called „courtesy interview‟, is a good public relation

exercise.

1.2.2 Selection Test

Job seekers who pass the screening and the preliminary interview are called for tests.

Different types of tests may be administered, depending on the job and the company.

Generally, tests are used to determine the applicant‟s ability, aptitude and personality.

Following are the types of tests which may be used:



1. Ability test: Assists in determining how well an individual can perform tasks

related to the job. An excellent illustration of this is the typing tests given to a

prospective employee for secretarial job. Also called as „ACHEIVEMENT

TESTS‟. It is concerned with what one has accomplished. When applicant claims

to know something, an achievement test is taken to measure how well they know

it. Trade tests are the most common type of achievement test given. Questions

have been prepared and tested for such trades as asbestos worker, punch-press

operators, electricians and machinists. There are, of course, many non-

standardized achievement tests given in industries, such as typing or dictation

tests for an applicant for a stenographic position.

2. Aptitude test: Aptitude tests measure whether an individual has the capacity or

latent ability to learn a given job if given adequate training. The use of aptitude

test is advisable when an applicant has had little or no experience along the line of

the job opening. Aptitudes tests help determine a person‟s potential to learn in a

given area. An example of such test is the general management aptitude tests

(GMAT), which many business students take prior to gaining admission to a

graduate business school programme.

Aptitude test indicates the ability or fitness of an individual to engage successfully

in any number of specialized activities. They cover such areas as clerical aptitude,

numerical aptitude, mechanical aptitude, motor co-ordination, finger dexterity and

manual dexterity. These tests help to detect positive-negative points in a person‟s

sensory or intellectual ability. They focus attention on a particular type of talent

such as learning or reasoning in respect of a particular field of work. They can be

of three types which are as follows:

Mental or Intelligence Test: They measure the overall intellectual ability

of a person and enable to know whether the person has the mental ability

to deal with certain problems.

Mechanical Aptitude Test: They measure the ability of a person to learn

a particular type of mechanical work. These tests helps to measure

specialized technical knowledge and problem solving abilities if the



candidate. They are useful in selection of mechanics, maintenance

workers, etc.

Psychomotor or Skill Test: They are those, which measure a person‟s

ability to do a specific job. Such tests are conducted in respect of semi-

skilled and repetitive jobs such as packing, testing and inspection, etc.

3. Intelligence test: This test helps to evaluate traits of intelligence. Mental ability,

presence of mind (alertness), numerical ability, memory and such other aspects

can be measured. The intelligence test is probably the most widely administered

standardized test in industry. It is taken to judge numerical, skills, reasoning,

memory and such other abilities.

4. Interest Test: This is conducted to find out likes and dislikes of candidates

towards occupations, hobbies, etc. such tests indicate which occupations are more

in line with a person‟s interest. It is used to measure an individual‟s activity

preferences. This test is particularly useful for students considering many careers

or employees deciding upon career changes. Such tests also enable the company

to provide vocational guidance to the selected candidates and even to the existing

employees.

5. Personality Tests: It is conducted to judge maturity, social or interpersonal skills,

behaviour under stress and strain, etc. this test is very much essential on case of

selection of sales force, public relation staff, etc. where personality plays an

important role.

6. Projective Tests: This test requires interpretation of problems or situations. For

example, a photograph or a picture can be shown to the candidates and they are

asked to give their views, and opinions about the picture.

7. Graphology Test: It is designed to analyze the handwriting of individual. It has

been said that an individual‟s handwriting can suggest the degree of energy,

inhibition and spontaneity, as well as disclose the idiosyncrasies and elements of

balance and control. For example, big letters and emphasis on capital letters



indicate a tendency towards domination and competitiveness. A slant to the right,

moderate pressure and good legibility show leadership potential.

8. Perception Test: At times perception tests can be conducted to find out beliefs,

attitudes, and mental sharpness.etc.

9. General Knowledge Test: days G.K. Tests are very common, they are used for

finding general awareness of the candidates in the field of sports, politics, world

affairs, current affairs.

10. Polygraph Test: Polygraph is a lie detector, which is designed to ensure accuracy

of the information given in the applications. Department store, banks, treasury

offices and jewellery shops, that is, those highly vulnerable to theft or swindling

may find polygraph tests useful.

1.2.3 Interview

The next step in the selection process is an interview. Interview is formal, in-depth

conversation conducted to evaluate the applicant‟s acceptability. It is considered to be

excellent selection device. It is face-to-face exchange of view, ideas and opinion between

the candidates and interviewers. Basically, interview is nothing but an oral examination

of candidates. Interview can be adapted to unskilled, skilled, managerial and profession

employees. Interviews can be of various types depending upon the setting, number of

interviewers, structuring. Some of them are as follows:

1. Non- Directive Interview: Non-directive interview or unstructured interview is

designed to let the interviewee speak his mind freely. The interviewer has no

formal or directive questions, but his all attention is to the candidate. He

encourages the candidate to talk by a little prodding whenever he is silent e.g.

“Mr. Ray, please tell us about yourself after your graduation from high school”.

The idea is to give the candidate complete freedom to “sell” himself, without the

encumbrances of the interviewer‟s question. But the interviewer must be of higher

calibre and must guide and relate the information given by the applicant to the

objective of the interview.



2. Stress Interview: It is designed to test the candidate and his conduct and

behaviour under conditions of stress and strain. The interviewer may start with

“Mr. Joseph, we do not think your qualifications and experience are adequate for

this position,‟ and watch the reaction of the candidates. A good candidates will

not yield, on the contrary he may substantiate why he is qualified to handle the

job. This type of interview is borrowed from the Military organisation and this is

very useful to test behaviour of individuals when they are faced with disagreeable

and trying situations.

3. Panel Interview: A panel or interviewing board or selection committee may

interview the candidate, usually in the case of supervisory and managerial

positions. This type of interview pools the collective judgment and wisdom of the

panel in the assessment of the candidate and also in questioning the faculties of

the candidate.

4. Structured Interview: A panel or interviewing board or selection committee may

interview the candidate, usually in the case of supervisory and managerial

positions. This type of interview pools the collective judgment and wisdom of the

panel in the assessment of the candidate and also in questioning the faculties of

the candidate.

5. Unstructured Interview: It is also known as „Un-patterned‟ interview, the

interview is largely unplanned and the interviewee does most of the talking.

Unstructured interview is advantageous in as much as it leads to a friendly

conversation between the interviewer and the interviewee and in the process, the

later reveals more of his or her desire and problems. But the Unstructured

interview lacks uniformity and worse, this approach may overlook key areas of

the applicant‟s skills or background. It is useful when the interviewer tries to

probe personal details of the candidate it analyse why they are not right for the

job.

6. Mixed Interview: In practice, the interviewer while interviewing the job seekers

uses a blend of structured and unstructured questions. This approach is called the

Mixed Interview. The structured questions provide a base for interview whereas



unstructured questions permit greater insights into the unique differences between

applicants.

7. Dinner Interview: These interviews may be structured, informal, or socially

situated, such as in a restaurant. Decide what to eat quickly, some interviewers

will ask you to order first (do not appear indecisive). Avoid potentially messy

foods, such as spaghetti. Be prepared for the conversation to abruptly change from

friendly chat to direct interview questions, however, do not underestimate the

value of casual discussion, some employers place a great value on it. Be prepared

to switch gears rapidly, from fun talk to business talk.

8. Telephonic Interview: On many occasions when it is not possible to arrange face

to face interview with the candidates, telephonic interviews are used by

companies. A candidate should be ready for such interview and can do following

preparations. Have a copy of your resume and any points you want to remember

to say nearby. If you are on your home telephone, make sure that all roommates

or family members are aware of the interview (no loud stereos, barking dogs etc.).

Speak a bit slower than usual. It is crucial that you convey your enthusiasm

verbally, since the interviewer cannot see your face. If there are pauses, do not

worry; the interviewer is likely just taking some notes.

1.2.4 Reference Test

Many employers request names, addresses, and telephone numbers of references for the

purpose of verifying the information and perhaps, gaining additional background

information on an applicant. Although listed on the application form, references are not

usually checked until an applicant has successfully reached the fourth stage of a

sequential selection process. When the labour market is very tight, organisations

sometimes hire applicants before checking references. Previous employers, known public

figures, university professors, neighbours or friends can act as references. Previous

employers are preferable because they are already aware of the applicant‟s performance.

But, the problem with this reference is the tendency on the part of the previous employers

to over-rate the applicant‟s performance just to get rid of the person.



Organisations normally seek letter of reference or telephone references. The latter is

advantageous because of its accuracy and low cost. The telephone reference also has the

advantage of soliciting immediate, relatively candid comments and attitude can

sometimes be inferred from hesitations and inflections in speech.

1.2.5 Selection decision

After obtaining information through the preceding steps, selection decision (the most

critical of all the steps) must be made. The other stages in the selection process are meant

for narrowing down the number of the candidates. The final decision has to be made from

pool of individuals who pass the tests, interviews and reference checks. The view of the

line manager is generally considered in the final selection because it is he/she who is

responsible for the performance of the new employee. The supervisor is better able to

evaluate the applicant's technical capabilities and is in a better position to answer the

interviewee's job-related questions. Further, the supervisor's personal commitment to the

success of the new employee is higher if the supervisor has played a role in the hiring

decision.

In fact, in a majority of firms, the supervisor has the authority to make the final hiring

decision. In these cases, it is the role of the HR department to do the initial screening and

to ensure that hiring does not violate laws such as Human Rights legislation or Labour

legislation.

This step may or may not be followed be followed by realistic job previews which

involves showing the applicant(s) the job site in order to acquaint them with the work

setting, commonly used equipment, and prospective co-workers . The realistic job

preview is intended to prevent initial job dissatisfaction with a job by presenting a

realistic view of the job. Research shows that job turnover is lower when realistic job

previews are used.

1.2.6 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. The results of the medical fitness test are



recorded in a statement and are preserved in the personnel records. There are several

objectives behind a physical test. Obviously, one reason for a physical test is to detect if

the individual carries any infectious disease. Secondly, the test assists in determining

whether an applicant is physically fit to perform the work. Thirdly, the physical

examination information can be used to determine if there are certain physical

capabilities, which differentiate successful and less successful employees. Fourth,

medical check-up protects applicants with health defects from undertaking work that

could be detrimental to them or might otherwise endanger the employer‟s property.

Finally, such an examination will protect the employer from workers compensation

claims that are not valid because the injuries or illness were present when the employee

was hired.

1.2.7 Job Offer

The next step in the selection process is job offer to those applicants who have crossed all

the previous hurdles. Job offer is made through a letter of appointment. Such a letter

generally contains a date by which the appointee must report on duty. The appointee must

be given reasonable time for reporting. This is particularly necessary when he or she is

already in employment, in which case the appointee is required to obtain a relieving

certificate from the previous employer. Again, a new job may require movement to

another city, which means considerable preparation, and movement of property.

1.2.8 Contract Of Employment

After the job offer has been made and the candidate accepts the offer, certain documents

need to be executed by the employer and the candidate. One such document is the

attestation form. This form contains vital details about the candidate, which are

authenticated and attested by him/her. Attestation form will be a valid record for the

future reference. There is also a need for preparing a contract of employment. The basic

information that should be included in a written contract of employment will vary

according to the level of the job, but the following checklist sets out the typical headings:

1. Job title



2. Duties, including a parse such as “The employee will perform such duties and will

be responsible to such a person, as the company may from time to time direct”.

3. Date when continuous employment starts and the basis for calculating service.

4. Rate of pay, allowance, overtime and shift rates, method of payments.

5. Hours of work including lunch break and overtime and shift arrangements.

6. Holiday arrangements:

i . Paid holidays per year.

ii . Calculation of holiday pay.

iii . Qualifying period.

iv. Accrual of holidays and holiday pay.

v. Details of holiday year.

vi. Dates when holidays can be taken.

vii. Maximum holiday that can be take at any one time.

viii. Carryover of holiday entitlement.

ix. Public holidays.

7. Length of notice due to and from employee.

8. Grievances procedure (or reference to it).

9. Disciplinary procedure (or any reference to it).

10. Work rules (or any reference to them).

11. Arrangements for terminating employment.

12. Arrangements for union membership (if applicable).

13. Special terms relating to rights to patent‟s and designs, confidential

information and restraints on trade after termination of employment.

14. Employer‟s right to vary terms of the contract subject to proper notification being

given.

Alternatively called “employment agreements” or simply “bonds”, contracts of

employment serve many useful purposes. Such contracts seek to restrain job-hoppers,

from disclosing knowledge and information that might be vital to a company‟s healthy

bottom line and to prevent competitors from poaching highly valued employees. Great

care is taken while drafting of contract forms. Often, services of law firms are engaged to



get the forms drafted and finalized. Most employers insist on agreements being signed by

newly hired employees. But high turnover sectors such as software, advertising and

media are more prone to use contracts.

1.2.9 Review of Hiring Process

After completing the hiring, the process ought to be evaluated. Here are some

considerations in the evaluation:

What about the number of initial applicants? Were there too many applicants?

Too few? Does the firm need to think about changing its advertisement and

recruiting to get the result desired?

What was the nature of the applicants' qualifications? Were the applicants too

qualified? Not qualified enough? Perhaps the advertisement needs to be re-

worded to attract more appropriate candidates. In this case, using a job description

can help.

How cost-effective was the advertising? A simple way to measure is to divide the

cost (not only in dollars but in your time) by either the number of total applicants

or the number of applicants that you considered seriously.

Were there questions that needed to be asked but weren't?

How well did the interviewers do? One way to determine this is to ask the new

employee to critique the interviewing process.

Did employment tests support or help the hiring decision? If not, maybe the firm

will have to reconsider the kinds of tests it is administering. Further, the

evaluation process should help the firm decide if the cost and time involved in the

testing is worth it. Would you have come to the same hiring decision without

testing?

1.2.10 Types of Job Seekers

1. Quid-Pro-Quo: These are the people who say that “ I can do this for you, what

can you give me” These people value high responsibilities, higher risks, and



expect higher rewards, personal development and company profiles doesn‟t

matter to them.

2. I-will-be-with-you: These people like to be with big brands. Importance is given

to brands. They are not bothered about work ethic, culture mission etc.

3. I-will-do-you-what-you-want: These people are concerned about how

meaningful the job is and they define meaning parameters criteria known by

previous job.

4. Where-do-you-want-me-to-come: These people observe things like where is

your office, what atmosphere do you offer. Career prospects and exciting projects

don‟t entice them as much. It is the responsibility of the recruiter to decide what

the employee might face in given job and thus take decision. A good decision will

help cut down employee retention costs and future recruitment costs.



2. BHARTI GROUP OVERVIEW

Founded in 1976, by Sunil Bharti Mittal, Bharti has grown from being a manufacturer of

bicycle parts to one of the largest and most respected business groups in India. With its

entrepreneurial spirit and passion to undertake business projects that are transformational

in nature, Bharti has created world-class businesses in telecom, financial services, retail,

and foods.

Bharti started its telecom services business by launching mobile services in Delhi (India)

in 1995. Since then there has been no looking back and Bharti Airtel, the group's' flagship

company, has emerged as one of the top telecom companies in the world and is amongst

the top five wireless operators in the world,

Through its global telecom operations Bharti group has presence in 21 countries

across Asia, Africa and Europe - India, Sri Lanka, Bangladesh, Jersey, Guernsey,

Seychelles, Burkina Faso, Chad, Congo Brazzaville, Democratic Republic of Congo,

Gabon, Ghana, Kenya, Madagascar, Malawi, Niger, Nigeria, Sierra Leone,

Tanzania, Uganda, and Zambia.

Over the past few years, the group has diversified into emerging business areas in the fast

expanding Indian economy. With a vision to build India's finest conglomerate by 2020

the group has forayed into the retail sector by opening retail stores in multiple formats -

small and medium - as well establishing large scale cash & carry stores to serve

institutional customers and other retailers. The group offers a complete portfolio of

financial services - life insurance, general insurance and asset management - to customers

across India. Bharti also serves customers through its fresh and processed foods business.

The group has growing interests in other areas such as telecom software, real estate,

training and capacity building, and distribution of telecom/IT products.

What sets Bharti apart from the rest is its ability to forge strong partnerships. Over the

years some of biggest names in international business have partnered Bharti. Currently,

Singtel, IBM, Ericsson, Nokia Siemens and Alcatel-Lucent are key partners in telecom.

Walmart is Bharti's partner for its cash & carry venture. Axa Group is the partner for the

financial services business and Del Monte Pacific for the processed foods division.



Bharti strongly believes in giving back to the society and through its philanthropic arm

the Bharti Foundation it is reaching out to over 30,000 underprivileged children and

youth in India.

2.1 VISION & VALUE

2.1.1 Vision:

By 2020 we will build India's finest conglomerate by:

Always empowering and backing our people

Being loved and admired by our customers and -respected by our partners

Transforming millions of lives and making a positive impact on society

Being brave and unbounded in realizing our dreams

2.1.2 Values:

Empowerment

We respect the opinions and decisions of others. We encourage and back people to do

their best

Entrepreneurship

We always strive to change the status quo. We Innovate with new ideas and energise with

a strong passion and entrepreneurial spirit.

Transparency

We believe we must work with honesty, trust and the innate desire to do good.

Impact

Are driven by the desire to create a meaningful difference in society

Flexibility

We are ever willing to learn and adapt to the environment, our partners and the

customer's evolving needs.



2.2 BHARTI GROUP COMPANIES

2.2.1 Bharti Airtel

Bharti Airtel Limited is a leading emerging market telecom

services provider with operations in 19 countries across Asia

and Africa. The company is structured into four strategic

business units - Mobile, Telemedia, Enterprise and Digital TV.

The mobile business offers services across 19 countries in Asia

and Africa. The Telemedia business provides broadband, IPTV

and telephone services across India. The Enterprise business

provides end-to-end telecom solutions to corporate customers and national and

international long distance services to carriers. The Digital TV business provides DTH

services across India. All these services are provided under the Airtel brand.

2.2.2 Bharti Infratel Limited

Bharti Infratel Limited is amongst India's leading telecom

passive infrastructure service providers. The company

deploys, owns and manages telecom towers and

communication structures, for various mobile operators

across 18 states of India. It has a vast footprint of over

30,000+ towers and holds a 42% stake in Indus Towers Ltd

- a Joint Venture between Bharti Infratel, Vodafone & Idea

Cellular - that has the distinction of being the world's largest

tower company. Bharti Infratel has not only pioneered the passive infrastructure space in

the Indian telecom sector, but has also continued to lead the industry in developing and

providing innovative solutions and setting service delivery benchmarks.

2.2.3 Bharti Realty Limited

Bharti Realty Limited is a young, vibrant and dynamic realty company with expanding

interests in commercial, retail and residential real estate. It has grown from strength to

Figure 1: Airtel Logo

Figure 2: Bharti Infratel Ltd Logo



strength, constructing and managing over ten top of the line facilities for Bharti group

companies and third party clients.

Spurred by its accomplished success and acquired expertise, Bharti Realty Limited has

now forayed into developing quality commercial real estate in the central business district

(CBD) areas of metropolitan cities, retail real estate in the up-market localities of

metropolitan cities and in a few prominent cities of Punjab, and high end residential real

estate in the Delhi NCR region, Mumbai and Bangalore.

2.2.4 Beetel Teletech Limited

Beetel Teletech Limited is a sales and

distribution company with focus on

emerging markets of SAARC, Middle

East, Africa, Latin America and is engaged

into distribution & marketing of wide range

of products that include Smart Phones, High quality cordless phones, Modems, Audio /

video conferencing products, Free To Air Set Top Boxes, Fixed Cellular Phones & Fixed

Wireless Terminals.

2.2.5 Comviva

Comviva is a global player in offering mobile

solutions beyond VAS. With an extensive portfolio of

products and solutions that encompass content,

commerce and community-related offerings, Comviva

enables mobile operators to offer services that enrich

users‟ lives. Comviva enhances operator

efficiencies and revenue performance by adding value

at every stage of the customer lifecycle – from prepaid subscription and etop-up to

customer care, and from real-time promotions and loyalty management to billing

solutions. Comviva has extensive expertise in delivering and managing mobile solutions

Figure 3: Beetel Teletech Ltd. Logo

Figure 4: Comviva Logo



that extend beyond VAS, powering solutions to mobile operators in more than 80

countries worldwide and reaching over 550 million subscribers globally.

2.2.6 Jersey Airtel and Guernsey Airtel

Jersey Airtel and Guernsey Airtel are subsidiaries of Bharti group and offer mobile

services on the islands of Jersey and Guernsey respectively in the Channel Islands

(Europe). All services are offered under the Airtel-Vodafone brand under a partnership to

bring a range of Vodafone global products together with other exciting services from

Bharti to customers in Jersey and Guernsey.

2.2.7 Centum Learning Limited

Centum Learning Limited provides end-to-end learning

and skill-building solutions that enhance business

performance to Bharti Group and several large

corporates. Centum Learning has received the Gold

Award for "Excellence in Training" at the World HRD

Congress, 2010 and has been adjudged as one of the 'Top

15 Emerging Leaders in Training Outsourcing' 2009 Worldwide. Centum Learning

provides industry oriented employability programmes through a network of 130 Centum

Learning Centres spread across 90 cities. It has also launched a new education initiative,

Centum U Institute of Management & Creative

Studies. http://www.centumu.edu.in which offers UG and PG programmes in association

with world renowned institutions.

2.2.8 Bharti Walmart

Bharti Walmart is a B2B joint venture between Bharti

Enterprises and Walmart for wholesale cash & carry and

back-end supply chain management operations in India to

serve small retailers, manufacturers, institutions and

farmers. The Company operates Cash & Carry stores under

the Best Price Modern Wholesale brand. A typical cash-and-carry store stands between

Figure 5: Centum Learning Logo

Figure 6: Bharti Walmart Logo

http://www.centumu.edu.in/



50,000 and 100,000 square feet and sells a wide range of fresh, frozen and chilled foods,

fruits and vegetables, dry groceries, personal and home care, hotel and restaurant

supplies, clothing, office supplies and other general merchandise items.

2.2.9 Bharti Retail

Bharti Retail is a wholly owned subsidiary of Bharti Enterprises.

The Company operates easyday neighbourhood stores and

compact hypermarket stores called easyday Market. Bharti Retail

provides consumers a wide range of good quality products at

affordable prices. easyday stores are a one stop shop that cater to

every family's day-to-day needs. Merchandise at easyday Market stores include apparels,

home furnishings, appliances, mobile phones, meat shop, general merchandise, fruits and

vegetables among others.

2.2.10 Bharti AXA Life Insurance

Bharti AXA Life Insurance is a joint venture between Bharti and

AXA Group. The company launched national operations in

December 2006. Today, Bharti AXA Life has a national

footprint of distributors trained to provide quality financial

advice and insurance solutions to the large Indian customer

base. Bharti AXA Life offers a range of innovative products and

services that cater to specific insurance and wealth management

needs of customers.

2.2.11 Bharti AXA General Insurance

Bharti AXA General Insurance is a joint venture between

Bharti Group and AXA Group. The company is one of the

fastest growing in the general insurance segment and is the

first in the industry to receive dual certifications of ISO

9001:2008 & 27001:2005 within the a year of

launching operations. The company offers an extensive

Figure 7: Easyday logo

Figure 8: Bharti AXA Life Insurance Logo

Figure 9: Bharti AXA General Insurance Logo



product range for retail, rural and commercial clients with cashless facilities in over 4000

hospitals and 1600 garages as well as 24/7 multi-modal claims registration.

2.2.12 Bharti AXA Investment Managers Pvt. Ltd.

Bharti AXA Investment Managers Private Limited is a joint

venture between Bharti and the AXA Group. With a presence

in more than 34 locations across the country within one year

of the launch, Bharti AXA Investment Managers boasts one of

the largest footprints for any AMC in the country during

launch. This indicates the retail focus of the AMC. With best

practices brought in from world leaders in financial protection, Bharti AXA Investment

Managers aim to be an aggressive player in the Indian Asset Management Industry.

2.2.13 Indus Towers

Indus Towers, a JV between Vodafone Essar (42%), Bharti Group (42%)

and Aditya Birla Telecom Limited (16%) and is India‟s leading mobile

towers company. The company, which operates in 16 telecom circles

across India, provides services to all telecom operators and other wireless

service providers such as broadcasters and broadband service providers

on non-discriminatory basis.

2.2.14 Field Fresh Food Pvt. Ltd.

Field Fresh Foods Pvt. Ltd, a joint venture company

between Bharti Enterprises and Del Monte Pacific Ltd. The

company offers branded Field Fresh fruits & vegetables

across India and international markets, including Europe and

the Middle East. The company produces markets and

distributes farm fresh products.

FieldFresh Foods Pvt. Ltd aims to become one of the most

trusted providers of premium quality fresh farm products,

processed foods and beverages.

Figure 10: Bharti AXA Investment managers Logo

Figure 11: Indus Towers Logo

Figure 12: Field Fresh Food Pvt. Ltd. Logo



3. THE GLOBAL RETAIL SCENARIO

Retail has played a major role world over in increasing productivity across a wide range

of consumer goods and services .The impact can be best seen in countries like U.S.A.,

U.K., Mexico, Thailand and more recently China. Economies of countries like Singapore,

Malaysia, Hong Kong, Sri Lanka and Dubai are also heavily assisted by the retail sector.

Retail is the second-largest industry in the United States both in number of

establishments and number of employees. It is also one of the largest world-wide. The

retail industry employs more than 22 million Americans and generates more than $3

trillion in retail sale annually. Retailing is a U.S. $7 trillion sector. Wal-Mart is the

world‟s largest retailer. Already the world‟s largest employer with over 1million

associates, Wal-Mart displaced oil giant Exxon Mobil as the world‟s largest

Company when it posted $219 billion in sales for fiscal 2001. Wal-Mart has become the

most successful retail brand in the world due its ability to leverage size, market clout, and

efficiency to create market dominance. Wal-Mart heads Fortune magazine list of top 500

companies in the world. Forbes Annual List of Billionaires has the largest number

(45/497) from the retail business.

The top 10 players in the retail industry worldwide are as follows:

1. Walmart

2. Tesco, UK based retailer

3. Carrefour, France

4. Home Depot, USA

5. Kroger, USA

6. Costco, USA

7. Target, USA

8. Metro AG, Germany



3.1 RETAIL SECTOR IN INDIA

The Retail Sector of Indian Economy is going through the phase of tremendous

transformation. The retail sector of Indian economy is categorized into two segments

such as organized retail sector and unorganized retail sector with the latter holding the

larger share of the retail market. At present the organized retail sector is catching up very

fast. The impact of the alterations in the format of the retail sector changed the lifestyle of

the Indian consumers drastically. The evident increase in consumerist activity is colossal

which has already chipped out a money making recess for the retail sector of Indian

economy.

With the onset of a globalized economy in India, the Indian consumer's psyche has been

changed. People have become aware of the value of money. Nowadays the Indian

consumers are well versed with the concepts about quality of products and services.

These demands are the visible impacts of the Retail Sector of Indian Economy.

Large format retail businesses dominate the retail landscape in the United States and

across Europe, in terms of retail space, categories, range, brands, and volumes. Indian

retail industry cannot hope to learn much by merely looking at the Western success

stories in retail. Their scales of operations are very huge, the profit margins that they earn

are also much higher and they operate in multiple formats like discount stores,

warehouses, supermarkets, departmental stores, hyper-markets, convenience stores and

specialty stores. The economy and lifestyle of the West is not in line with that of India

and hence the retailing scene in India has not evolved in the same format as the West nor

can we learn valuable lessons from their style of operations. In retailing, the conventional

wisdom used to be, that, the critical success factor was location. But precise location no

longer matters and geo-demographics are increasingly becoming irrelevant. The leading

multiple chain retailers, superstores and malls create their own centers of gravity,

attracting customers by car, bus, train or even by plane to wherever they are located.

Since the liberalization policy of 1990, the Indian economy, and its consumers are getting

whiff of the latest national & international products, with the help of print and electronic

media. The social changes with the rapid economic growth due to trained personnel, fast



modernization, and enhanced availableness of retail space are the positive effects of

liberalization. The growth factors of the retail sector of Indian economy are:

Increase in per capita income which in turn increases the household consumption

Demographical changes and improvements in the standard of living

Change in patterns of consumption and availability of low-cost consumer credit

Improvements in infrastructure and enhanced availability of retail space

Entry to various sources of financing

The infrastructure of the retail sector is evolving radically. The emergence of shopping

malls is going steady in the metros and there are further plans of expansion. As the

count of super markets is going up much faster than rate of growth in retail sector, it is

taking the lions share in food trade. The non-food sector, segments comprising

apparel, accessories, fashion, and lifestyle felt the significant change with the

emergence of new stores formats like convenience stores, mini marts, mini

supermarkets, large supermarkets, and hyper marts. Even food retailing has became an

important retail business in the national arena, with large format retail stores,

establishing stores all over India. With the entry of packaged foods like MTR, ITC

Aashirvaad, fast foods chains like McDonald's, KFC, beverage parlors like Nescafe,

Tata Tea, Cafe Coffee and Barista, the Indian food habits has been altered. These

stores have earned the reputation of being 'super saver locations'.

With the arrival of the Transnational Companies (TNC), the Indian retail sector will

confront the following round of alterations. At present the Foreign Direct Investments

(FDI) is not encouraged in the Indian organized retail sector but once the TNC'S get in

they would try to muscle out their Indian counterparts. This would be challenging for

the retail sector in India. Following are the future trends of the retail sector of Indian

economy:



The most encouraging format now would be the hyper marts

The hyper mart format would be further encouraged with the entry of the

TNC's

No one single format can be assumed as there is a huge difference in cultures

regionally.

Demographic movements in India over the last two decades have made organized retail a

necessity. The rapid growth of this industry is confirmation that the idea of organized

retailing has taken root in India. The industry is today valued at around US$ 320 billion.

Within the organized retail sector, food and groceries account for around 14 per cent of

the total market with potential to garner an even bigger share of the market.

Retail Sector is the most booming sector in the Indian economy. Some of the biggest

players of the world are going to enter into the industry soon. It is on the threshold of a

big revolution after the IT sector. Organized retail sector is growing manifolds this year.

This sector is estimated to show 20% annual growth rate by the end of this decade. The

CRISIL report says that the retail market is most fragmented in the world and only 2% of

the entire retailing business is in the organized sector. There are about 300 new malls,

1500 supermarkets and 325 departmental stores being built in the cities.

The retail boom will face a strong competition from the 12 million mom-and-pop stores,

which are easily accessible and approachable and provide services like free home

delivery and goods at credit. But buying from Malls, Supermarkets and Department

stores like Subhiksha, Marks & Spencer‟s, etc gives a different feeling and the

environment of pick and choose from a variety of products. A number of retail giants are

exploring the market such as Reliance Retail Ltd and Walmart. The revolution is driven

by large expectations where both domestic and international players will be channel

through which other large stores in India are spreading themselves across the country.

The Indian retail sector is the most fast moving and growing industry. It is expected to

offer 50,000 jobs in the coming five years. The sector has vacancies from the entry level

to senior management level. To excel in this challenging sector the candidate must have

an outgoing personality to interact with customers or sellers. As it is a people-oriented



business, the candidate should be dynamic, versatile and should have the right attitude to

be successful. The profession demands excellent command over language and spirit of

working in teams. The promotions and growth entirely depends upon the skills,

achievements and efforts of the candidate.

There are various profiles specific to this industry such as:

Staff member, Department manager, Store manager, retail manager, retail buyers, product

development, merchandise planning, visual merchandise.

Companies like Pantaloon Retail India Ltd. and Reliance Retail have been recruiting a lot

to grow in the terms of employees and business.

In 2008 the following companies were the top 10 recruiters in the retail industry:

1. Reliance Retail

2. Lilliput

3. Pantaloons Retail India Ltd

4. Shopper‟s Stop

5. Unisource group

6. Welspun retail Ltd

7. Homestore India Ltd

8. Express Retail Services

9. HAS Lifestyle Private Ltd

10. Wadhawan Food Retail (P) Ltd

3.2 EVOLUTION OF RETAIL SECTOR

Today‟s retail sector as we see it now, has evolved from Weekly Markets, Village and

rural fares. The rural used to be a source of entertainment and can be found even today.

These markets provide all amenities to people of far flung areas and help them in getting

all things needed for them. This system was more evolved in sub-urban areas where

kirana stores can be found in all neighborhoods and cater to retail demands of goods. This

model evolved further in the form of Government PDS (Public Distribution System)



stores which helped the government in reaching larger masses and in providing goods at

low cost. This low cost model of PDS provided an opportunity for big businessmen with

good amount of capital to invest in retail store chains which later evolved into exclusive

brand outlets, supermarkets and hypermarkets which were capable of catering to all retail

needs of the customer.

3.3 MANAGING HUMAN RESOURCE IN RETAIL SECTOR

The impact of human resource management (HRM) policies and practices on firm

performance is an important topic in the field of human resource management, industrial,

and industrial and organizational psychology (Boudreau 1991, Jones & Wright 1992,

Kleiner 1990). A number of texts have appeared in recent years promoting the advantages

of using high involvement human resource practices (Arthur 1994, Kochan & Osterman,

1994, Levine 1995, Pfeffer 1998, Guthurie 2001) as well as on the use of High

Performance Work Practices, which can improve the knowledge, skills, and abilities of a

Exclusive Brand outlets, Hypermarkets and Supermarkets, Department stores and Shopping malls

PDS outlets, Khadi stores, Cooperatives

Government supported Availability/low costs/distribution

Convenience stores, Mom-and-pop / Kirana shops

Neighborhood stores/convenience, Traditional and pervasive reach

Weekly Markets, Village and Rural Melas

Source of entertainment,Rural and historic reach

Figure 13: Flowchart Showing Evolution of Retail sector

http://acronyms.thefreedictionary.com/HRM



firm's current and potential employees, increase their motivation, reduce shirking, and

enhance retention of quality employees (Jones & Wright 1992). In the existing literature,

focus on the issue that human resource management practices is developing rapidly as it

helps to create a source of sustained competitive advantage, especially when they are

aligned with a firm's competitive strategy (Cappelli & Singh 1992, Jackson & Schuler

1995, Wright & McMahan 1992).

In India, the rapid development in this sunrise sector accelerates the need for the right

kind of employees who can take care of retail operations. The success of any player in

this lucrative sector depends not only on understanding target market and implementing

marketing mix strategies but also on how effectively a retailer develops systems of high

performance work practices including comprehensive employee recruitment and selection

procedures, incentive compensation and performance management systems, and

extensive employee involvement and training. An increasing body of work evaluated the

links between systems of High Performance Work Practices and firm performance

(Arthur 1994, Miller & Cardinal 1994, macDuffie 1995, Huselid 1995).

In India, sudden and unprecedented growth in organised retailing poses a challenge to

human resources development. Therefore, it would be useful to look at the dimension of

human resource practices in retail industry, emerging requirements and challenges and

measures to improve work atmosphere in Indian scenario. Although a few studies have

initiated their efforts on analyzing HR challenges in Indian retail sector (Chella 2002,

Chakraborthy 2007, Abraham & Kumudha 2007), there are gaping holes in the existing

research: in particular the factors leading to the type of HR policy carried out in the

Indian retail sector is largely neglected. The focus of this paper is on examining the

various factors affecting human resources in Indian retail sector and accordingly

suggesting measures for HR policy. Before discussing the HR challenges, it is important

to specify tasks to be performed for effective retailing to occur. Some of these tasks are

as follows:

Buying merchandise for retailer

Buying merchandise for retailer

Receiving merchandise and checking incoming shipments

http://financial-dictionary.thefreedictionary.com/Shirking



Marking merchandise, inventory storage and control

Preparing merchandise and window display

Facilities maintenance, facilitating shopping

Setting Price

Customer contact, customer research and exchanging information

Customer follow-up and complaint handling

Sales forecasting and budgeting

Credit operations, billing customers

Handling receipts and financial records

Gift wrapping, delivery to customers

Repairs and alteration of merchandise, returning unsold or damaged

goods

Personnel management, coordination

* Source: Berman, & Evans (2006)

Generally, the retail stores use organizational arrangements which may divide all retail

activities into four functional areas

Merchandising

Publicity

Store and supply chain management

Accounting and control

These areas are organized by line and staff employees. These employees are divided in to

managerial, supervisory and working hands. In the above backdrop, let us examine HR

challenges in retail sector



3.4 HR CHALLENGES IN RETAIL SECTOR

3.4.1 Lack of Talent:

Organized retailing is highly manpower intensive. Retailing is the second largest

employer in India; presently it employs about 22 million people. The present scenario

depicts that there will further be a very high demand for manpower to match the scope of

roll out plans of various players in the near future. It is estimated that 8 million people

will be required in organized retail by 2011 (Pant 2007). This gives a clear indication of

the extent of human resources required to support the growth of retailing in India.

Especially, at the lower levels, there is requirement for large number of support staff as

customer care associates. Moreover, due to organized retailing correlation with other

industrial and service sectors, it is generating a great deal of indirect employment viz.

security, electrical and mechanical maintenance, property management services, parking,

sorting, packaging, etc. The sector is facing talent crunch because neither the talent

required on such a large scale in the sector are available nor there is training

infrastructure facility for them.

3.4.2 Unavailability of Experienced Manpower

Organized retailing is an emerging sector in India; there are not many executives with

long and relevant experience. KPMG report (2006) reveals that there is a skill-set gap in

those manning the floors. Although, India has a huge posse of qualified human resources,

who have the required education and are highly motivated to undertake the challenging

tasks, still there, is more pronounced need for middle and senior level management.

Managers from industries such as FMCG, Telecom, BPO, and Hospitality are able to

quickly learn and adapt to the demands of retailing. Consequently, the scramble for talent

hunt amongst organized retail players will be as fierce as their battle for customers.

Therefore, developing strategies for creating, attracting, nurturing, retaining are required

in the initial stages themselves.

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3.4.3 Lack of Formal Retailing Education

KPMG report (2006) points out that there are also competency gaps in various key areas

like supply chain management, vendor development and customer relations management.

There is requirement for qualified and trained manpower to look after day-to-day

operations and cater to the wide spectrum of customer expectations. Therefore, it

necessitates appropriate training to provide them exposure and also to equip them with

progressive working methods. As there is lack of formal vocational institutes, where

students can be trained for entry-level positions, most retailers in India depend on in-

house training or fulfilling their training needs with small institutes.

Keeping in mind the growth in the retail industry, some business schools are coming

forward to pioneer courses in retail management. The Indian Retail School has a number

of such short-term courses on retail management. Pantaloon has made a tie-up with

several management schools to offer programs in retail management. RPG Enterprises

has also set up a training institute for front line staff and store managers. Tesco runs a

retail certification course with IIM-Bangalore. Reliance retail has also decided to set up

its own training centers across the country. At present, it has two such centers in Mumbai

and Kolkata. Training of the staff is the best investment in business and so in the retail

business. The lack of formal retailing education further exacerbates the problem of

recruiting. There is urgent need for management education for fraternity to fill in this

vacuum. Top management institute are not showing interest because of low salary

packages being offered to their students. Despite all these difficulties, the problem is

required to be addressed. Proactive training strategies would become a competitive

differentiator for retailers given the resource and competency shortages in India.

3.4.4 Threat of Poaching

While most of these challenges are gradually being addressed by the growing organised

retail segment, the shortage of experienced human capital across all levels leads to

poaching problem. The gap between supply and demand is resulting in high levels of

attrition, and increased costs of doing business for the industry. The growth in retail

salary in India has been one of the highest among all sectors in the past two years. The

http://encyclopedia2.thefreedictionary.com/Pantaloon

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average yearly increment is 18-22 per cent against the all-sector average of 13-14 per

cent (Saha 2007). According to VP (HR) RPG, "The biggest poachers are the BPOs.

Every second youngster leaving us joins a BPO". At the same time, upcoming retail

chains are poaching from multinationals and the established retail players like Shopper's

Stop, Kishore Biyani's Big Bazaar and RPG Group's Spencer's for back end operations.

But for front-end operations like HR and merchandise management, the target is FMCG.

According to HR consultants, the biggest setback for FMCG companies has been at the

middle management level.

Retention of employed staff, particularly the frontline staff who constitutes 85% of a

retailer's workforce is becoming a rising concern. While Pantaloon has attrition of

8.6% per annum, RPG Retail accepts that their frontline attrition rate has drastically

increased to 16% from 5% last year. Subhiksha too is faced with an attrition of as much

as 5-6% per month. There is growth in retail sector, with many well-established business

houses like Reliance, Birla and Bharti Enterprises have drawn up ambitious plans to foray

into retail and other established players like Pantaloon Retail, Shoppers' Stop, Subhiksha

and Spencer's are also investing heavily in this sector. Apart from this, many global

players are foraying into retailing through one or the other way. All this can lead to

higher attrition or poaching problem. Battling acute attrition, retailers are throwing in

plenty of incentives to retain frontline staff, reports CNBC-TV 18

3.4.5 Stressful Environment

According to a survey carried out by Associated Chambers of Commerce and Industry of

India (ASSOCHAM), retail sector is among the top ten segments in which the menace of

stress and mental fatigue had intensified during the recent times (Tribune News Service

2007). The working pattern of retail industry requires employees to put in long hours (8-

12 hrs.) of work which generally cause fatigue and lower motivation among employees.

There is lot of work pressure in particular from work overload, time pressures and

deadlines, and staff shortages and turnover rates. This may lead to poor performance,

absenteeism, mistakes in jobs etc. Besides this, in part-time and casual jobs in retail

sector, there is job insecurity, short-and split-shifts, unpredictability of hours, low wages

http://encyclopedia2.thefreedictionary.com/increment

http://encyclopedia.thefreedictionary.com/Big+Bazaar

http://www.thefreedictionary.com/frontline

http://financial-dictionary.thefreedictionary.com/per+annum

http://encyclopedia.thefreedictionary.com/Bharti+Enterprises

http://www.thefreedictionary.com/foray+into

http://www.thefreedictionary.com/foray+into

http://acronyms.thefreedictionary.com/ASSOCHAM



and benefits, poor working facilities, and the need to juggle multiple jobs to earn a living

wage contribute to stress and workplace problems.

3.4.6 High Turnover

According to KPMG report (2006), globally, retailing is a high staff turnover industry,

with even the larger retailers facing attrition rates of between 40 and 60 per cent a year.

As organized retailing is at a nascent stage in India, attrition is not yet an issue at least at

the middle and senior management level. However, with rapid growth in retailing, the

demand for managers with good retailing experience is set to increase, hence attrition

levels are expected to worsen. For front-end staff attrition rate is believed to be 25 to 50

per cent which may be due to large number of inexperienced and part-time staffs. With

more and more players roll out their retail initiatives, industry experts expect that attrition

will rise at the managerial level too. At lower levels some perennial issues for high

employee turnover within the sector are: seasonal employment during peak trading period

and the perceived lack of career opportunities. This is especially true amongst students

many of whom are employed by retail organizations as undergraduates but would look

for alternative employment as graduates.

3.5 COMPLEX HUMAN RESOURCE ENVIRONMENT

The development of the retail sector is dependent on the availability of skilled and

knowledgeable manpower broadly at two levels- managerial and associates. Although

growing consumerism and availability of manpower are powering the growth of

organized retail business in India but skilled human resources are woefully short in

supply. Traditionally, the task content of frontline jobs has been low and segmented,

requiring little skill or training. It leads to cycle of low wages, low morale, and high

turnover and high customer dissatisfaction and, therefore, loss of sales. But at present the

need of the hour is to hire employees with the right skill set who can take care of

operational functions and also there is necessity to engage employees with the right

attitude as they need to work long hours and also on holidays and festive occasions.

http://medical-dictionary.thefreedictionary.com/nascent



The retail human resource environment in India is very complicated with lack of

experienced and trained people, lack of sources of employment and little focus on

human resource planning, compensation measurement and working conditions. In

addition to this, the perception of working within retail is poor with entrenched beliefs

that all roles involve long and unsocial hours, which limits the ability of employees to

manage the balance between work and life. It may be business requirement to open the

retail stores on holidays and festivals, but from employees' perspective that deprives them

of community activities.

3.6 WOMEN IN RETAILING

Retailing has made a lot of progress in career advancement for women. Women

employees account for nearly 25-30% in the organized retail sector. According to

Shoppers' Stop CEO Govind Shrikhande "No wonder, retail is among the few sectors

where the ratio of women employees is the highest in India". Women employees are

considered to be far superior in terms of service standards and interpreting consumer

mood. Some of the biggest players in the organized retail turf are looking up to the fairer

sex, especially when it comes to dealing with higher attrition rates. Reliance Retail,

Future Group, Shoppers' Stop and RPG Retail are experimenting with a host of hiring

models to improve the ratio of fairer sex in their workforce. Mukesh Ambani's Reliance

has launched an initiative to encourage the spouses of employees to work in its retail

venture. Accordingly, the employees' wives are being trained to take up jobs (full time,

part time or on call) at Reliance Retail outlets. The Future groups plans to start stores,

which will be manned entirely by women. The focus of this model is on offering flexi-

career opportunities where women will be required to work for a maximum four hours a

day (Economic Times 2007).

Despite recent progress, women still don't get enough attention at retail firms. Retailers

need to address some of the issues with regard to female employees:

Equitable remuneration

Meaningful training program

Advancement opportunities

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http://encyclopedia2.thefreedictionary.com/Terms+Of+Service



Flexible timings (to manage their family responsibilities)

Job sharing among two or more employees who work less than fulltime

Child care

3.7 REQUIREMENT FOR CREATIVE HR PRACTICES

Retailers need creative HR practices to win over the war for talent hunt which is

imperative for success in Industry. Indian retailers need to develop a set of good HR

practices to enhance competency and retention of employees while developing processes

and systems that will address not only the current shortfall but also future challenges viz.

indiscipline, disengagement, disputes, trade union issues, sexual harassment, attrition etc.

Any organization can succeed by being compassionate to employees' genuine needs and

initiating HR policies which harness the potential of every employee.

As retail industry is luring the employees from other industry, this strategy may lead to

another set of challenges as the industry matures. The employees who are drawn from

other sectors may be worried about their growth opportunity, career path and other future

related issues.

To deal with these challenges the Indian retail industry needs to start putting in place

strong human resource systems and processes to manage a huge workforce in a

motivating environment.

3.8 RECRUITMENT CHALLENGES & EMPLOYING STRATEGY

Indian retail sector is facing some specific recruitment challenges, even companies

known to be leaders in retail industry are experiencing recruitment challenges, especially

for entry-level store employees and for store managers. Some of the recruitment

challenges are:

Finding the right talent that is willing to commit over the long-term.

Retail jobs in the frontline are near minimum wage jobs, although players in

specialty format tend to pay a little more. But pay cannot be used to hire people.

Retail jobs are also not career builders in the short run. Thus, making career paths

clear to new talent also poses as one of the biggest challenges.

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http://encyclopedia2.thefreedictionary.com/sexual+harassment



Competition and diversity are challenging too; everyone is looking for the same

highly-qualified employees.

To overcome these challenges retailers can employ following strategies to recruit

workers.

Build the brand name of the company in the overall employment market by

communicating its attributes in a way that distinguishes the company from the

competitors. The focus of the company can be on attributes such as inclusiveness,

competitiveness, fast-paced, goal-oriented, values-based, having high integrity,

graceful under pressure, fun, entrepreneurial and so on.

Highlighting the job opportunities through company's own website as well as

major job listing websites, such as monster.com and naukri.com targeting intranet

postings current employees so they can see where new opportunities are available.

Classified ads, signs at shopping malls, radio ads, brochures, message on sales

receipts can also be used for recruitment.

Employee referrals can also be promoted with bonuses for referring new hires that

stay with the company for at least a prescribed period of time.

The culture of a company, its values, and the way in which attributes are

expressed and demonstrated appears to be a significant factor in employees

choosing the retail company for which to work. It is also important to company

managers who select employees for their temperaments as well as their skills.

To overcome the short run career image, exposure to career paths to employees is

required. Different companies have different career path models which are

aligned with the company's culture, approach to employee communications, size

and available opportunities, and management approach. Along with this, showing

wages associated with career paths, showing career paths and opportunities,

internal promotions, internal job fairs can also be useful.

3.9 COMPENSATION STRATEGIES

The biggest challenge of ensuring employees contribution to business results is in

figuring out what kind of reward and recognition program to implement. Total



compensation comprises direct monetary payments (salaries, commission and bonuses)

and indirect payments (paid vacations, health and life insurance and retirement plans). It

should be fair to both the retailers and its employees. To better motivate employees, some

firms also have profit-sharing.

In India, the compensation strategy for front-liners is conservative, while retailers

develop a very competitive plan for store managers. But if retailers want to provide

stability to their employees and also want them to act as the custodian of their business

who can contribute to business, they should plan for devising an effective compensation

strategy. In order to get maximum contribution from employees the retailers can design a

compensation program which is low on guaranteed pay but aggressive on store

profitability linked bonuses or incentives. Even those in support functions such as

merchandising, distribution, accounts and so on need to be rewarded based on the

performance of the stores that they are servicing.

3.10 ENGAGING AND RETAINING TALENT

It is challenging enough to find the right people, but more challenging is to retain and

engage competent employees. High attrition rate in retail is acknowledged as an accepted

but inefficient practice which not only affects retailers in their ability to develop and

retain talent, but also to drive higher levels of profit. The companies are forced to spend

time on recruiting and screening new talent, rather than in growing the business. The

impact of turnover also affects the experience levels of employees who are interacting

with customers and, therefore, may also impact the quality of service and the quantity of

sales. Hence, retailers must examine different strategies which they can use to engage

their employees, reduce turnover and boost morale. These strategies are given below:

Fairness/equitable treatment.

Better hiring processes and improved efforts to meet employee training needs.

Providing good work environment with clear values and goals.

Ensuring equitable pay and fair treatment.

Helping employees maintain a balance between personal and work life is a vital

strategy that can help retailers develop a happier, more productive and more loyal

http://legal-dictionary.thefreedictionary.com/Custodian



employee culture. Retailers should focus on sufficient hours of work and

flexibility in the scheduling of those hours to meet employees' personal needs as

well as those of the company.

To retain their people, the retailers should take every opportunity to tell

employees about the career paths and opportunities that exist to move ahead and

earn more money.

Leading retail companies of all sizes make investments in training. Although

some of the key retention strategies for entry-level employees are competitive

pricing (i.e. salary) but giving them the right training can also be a tool for

retention. Most of the companies gear a basic training to employees. But focusing

on training for specific competencies required for the positions within the

company and requirements at each job progression is also advisable for retention.

Retail companies emphasize on performance, although to achieve this they

provide the support needed to assure the employees will be successful in their

positions. Retailer can supplement this by emphasizing on special assignments,

rotations, and training which can be used by retail companies to keep their

employees.

In India, some leading retailers focus a lot on this issue. Reliance Retail has a

talent transformation program where people are made to identify their skill sets.

Employee retention through job enlargement in retail plays a crucial role as the

job markets perform better for skilled personnel.

Focusing on poly-chronic orientation (an employee's preference for switching

between multiple tasks within the same time-block) can be very useful. It has

been demonstrated empirically that a poly-chronic orientation has both direct

(employee fit) and indirect (through fairness perceptions) effects on retail

employee satisfaction.

3.11 CAREER ADVANCEMENT

Any Company's ability to recruit and retain a high-quality employee diminishes as the

perception grows that it offers limited advancement potential. This limited advancement

http://encyclopedia.thefreedictionary.com/Job+enlargement



potential within individual retail firms leaves many qualified employees with few options

other than to look elsewhere for employment, which, in turn, contributes to the turnover

costs paid by employers. Thus, providing opportunities for career advancement can be an

important attraction point to draw top-notch talent, although this can be a way by which

retailer "brand" their company in the employment market. Due to scarcity of experienced

and talented people, one can find that there are too many companies chasing too little

talent. Thus, in this competitive environment showing that a company offers the

employee a bright future provides a competitive advantage in recruitment. Career

advancement in companies can be done though:

Developing career path

Recognizing and communicating advancement opportunities

Company's commitment to internal promotion

Identification of critical positions

Developing talent and succession planning

3.12 HEALTHY MANAGEMENT PRACTICES

In conjunction with the above mentioned human resource management (HRM) practices

it is advisable for retailers to ensure healthy management practices. The implementation

of these practices is increasingly regarded as an important determinant of an

organization‟s competitive advantage. These are as follows:

Providing safe and secure workplace

Paying salaries on time

Providing and processing leaves, loans and other requests on time

Providing neat and clean wash rooms, changing rooms and rest rooms

Providing good uniform

Ensuring the handling of grievances

Equitable treatment at workplace

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http://encyclopedia.thefreedictionary.com/Changing+Rooms



3.13 ETHNIC DIVERSITY MANAGEMENT

Many multi-nation companies (MNCs) are going to open their retail outfits in India.

Naturally, employees profile is going to be a complex and diverse one. It requires

developing a global cultural management to take care of this future HR problem.

3.14 FUTURE EXPECTATIONS

Retail is a sunrise industry and perhaps one of the biggest industries having potential for

employees. It has appeared suddenly and going to increase in future. India has no past

experience of this type and of its magnitude. We have to get ready to meet the challenges

posed by it at HR front. No doubt, the primary responsibility has to be that of

government, both center and state but the challenges are so enormous that it required

private sector also to take active part. Government has to lay down the policy, which has

to be industry friendly but real entrepreneurial role has to be played by the private sector,

especially big domestic players in retail industry. Though, some players' viz. Future

Group, Reliance etc. have already taken initiatives, this growing industry requires many

more to come in to shape of either captive institutes or private public partnership for

creating, attracting, nurturing, and retaining trained manpower.

http://financial-dictionary.thefreedictionary.com/Sunrise+industry



4. RECRUITMENT AND SELECTION OF WORK ASSOCIATES

FOR “EASYDAY” STORES OF BHARTI-RETAIL LTD.

Bharti Retail is a wholly owned subsidiary of Bharti Enterprises. The Company operates

easyday neighborhood stores and compact hypermarket stores called Easyday Market.

Bharti Retail provides consumers a wide range of good quality products at affordable

prices. Easyday stores are a one stop shop that caters to every family's day-to-day needs.

Merchandise at Easyday Market stores include apparels, home furnishings, appliances,

mobile phones, meat shop, general merchandise, fruits and vegetables among others.

4.1 STORE DEFINITION:

Easyday: These are 15,000 to 25,000 sq feet area stores that provide consumers a wide

range of good quality products at affordable prices. Merchandise include day to day

needs, fruits, vegetables, FMCG products, meat, chicken, fish, milk and milk products,

groceries, etc. These are also called as Small format stores and include a work staff of

around 25 people. There are 85 Easyday stores in India operating dated September 2010.

Easyday Market: These are 35,000 to 60,000 sq feet area stores that provide apparels,

home furnishings, appliances, mobile phones, meat shop, general merchandise, fruits and

vegetables and all item found in Easyday stores as well. These are also called as Medium

format stores and include a work staff of around 200 people. There are 7 Easyday market

stores in India operating dated September 2010.

Easyday Compact Hyper Market: These are very big stores more than 60,000 sq feet

area and contain almost everything to all kind of customers from day to day needs, fruits

vegetables groceries, meat chicken fish and other non-vegetarian item, apparels,

electronics, hardware, FMCG etc.



4.2 RECRUITMENT & SELECTION AT BHARTI RETAIL LTD.

The requirements work associates for any store is given by the Business HR team to BAR

(Bharti Academy of Retail) team which does the recruitment and selection. For this

purpose at store location the Selection and training academy is set up. The permanent

academy is called HUB and the temporary academy is called SPOKE.

4.2.1 Eligibility

The eligibility criteria for candidates to become work associate at “Easyday” are as

follow:

Any person from age of 18 years to 60 years.

Any person able to read write and understand elementary English and

Mathematics.

Any person being the permanent resident of the state where the store is proposed

to be opened.

Any person able to speak and understand Hindi/English or local language.

Any person not a current employee of Reliance/Spencer‟s or Future group or for

past three months.

4.2.2 Sections At “Easyday” Stores

Each Easyday store has a certain allotment of candidates in certain sections. Following

are the various sections at Easyday stores:

Aisle

Backroom

Cash/ Till

Fruits and Vegetables

Meat/ Chicken and Fish

Electronics

Home Appliances

Sports

Apparels



Freezer and Chiller

4.2.3 Categories to be Recruited as Work Associates

Following are the category of work associates that are recruited:

Differently Able: Any person with physical disability with hands and legs

only, also on the discretion of Store manager.

House Wife: Any married or divorced women.

School Dropout: Any person who left studies at school or pursuing the same.

College Dropout: Any person who left studies at college or pursuing the

same.

Rural: Any person residing in rural area near store location.

Mature Urban: Any person above 28 years.

Fruits and Vegetable Seller: Any person selling fruits and vegetable with a

considerable knowledge of them.

Meat/Chicken/Fish cutter: Any person who has skill of cutting meat,

chicken and fish.

Retired: Any person who has retired from his job as per government

regulations and is below 60 years of age.



Figure 14: Manpower Requisition Format for Small Format “Easyday Store”.

S.No. App No. Name Gender Phone Address DoB Category Shift Timings Role

1 Male

CD

8 Hrs 6-3p.m. Backroom

2 Male

CD 8

Hrs 2-11p.m. Backroom

3 Male

DA/RU/RT

8 Hrs 6-3p.m. Cashier

4 Male DA

/MU/RU 8

Hrs 2-11p.m. Cashier

5 Female

HW

4 Hrs

7:30-12p.m. Cashier

6 Female

HW

8 Hrs 7-4p.m. Aisle

7 Female HW 4

Hrs 10:30-3p.m. Aisle

8 Male

MU 8

Hrs 2-11p.m. Aisle

9 Male RU 4

Hrs 5-

9:30p.m. Aisle

10 Male

SD 4

Hrs 6-

10:30a.m Aisle

11 Male SD 4

Hrs 4:30-9p.m Aisle

12 Male SD

4 Hrs

6:30-11p.m. Cashier

13 Male MT

8 Hrs

6-3p.m. Meat

14 Male MT 8

Hrs 2-11p.m. Meat

15 Male MT 8

Hrs 2-11p.m. Meat

16 Male FV 8

Hrs 2-11p.m. FnV

17 Male FV

8 Hrs 6-3p.m. FnV

18 Male

Extra Count- MU/RU

4 Hrs

6-10:30 AM Cashier

19 Male

Extra Count- MU/RU

4 Hrs

6:30-11 PM Cashier

20 Male

Extra Count- MU/RU

8 Hrs 2-11p.m. Cashier

21 Male FV 8

Hrs 2-11 pm FnV

Legends:

CD: College Dropout SD: School Dropout DA: Differently Able

RU: Rural MU: Mature Urban HW: Housewife

MT: Meat Handler FV: Fruit & Vegetable seller RT: Retired



4.2.4 Recruitment and Selection process

4.2.4 (a) Activation:

The process starts with Activation or Sourcing process. In this process the information

about job opening is spread through word of mouth, leaf-let distribution and visiting over

various fruits and vegetable markets, meat and chicken markets/shops, colleges,

employment exchange, coaching classes, non government organizations, old age homes

etc. The members of BAR team interact with target audience and convince them to visit

the centre (HUB/SPOKE) where the further process carried.

4.2.4 (b) Counseling:

The candidate when visits the HUB/SPOKE is first asked to fill the Log register. Then

the BAR team member or the Trainer or the Counselor explains him about the company,

job profile and attends his/her queries about the job. Then Candidate after a preliminary

interaction if suited given a form to fill that asks about his/her basic details and asked to

take attest of Basic English and mathematics. This process is followed by an interview of

the candidate if he/she secures at least 7 marks in the test. The candidate is rated on a

scale of 5 with 1 as best and 5 as poor on categories like Eye Contact & Body Language,

Energy & Enthusiasm, Clear Communication, Attitude & Confidence, Well dressed /

Clean look. The candidate is assessed on the questions like:

Why he/she wants to a job?

Why he/she want this job?

Does he/she have a prior experience in retail?

How will he/she commute for work?

What are preferred work timings?

What is his/her family background?

What was the reason to leave previous job?

For Categories like Fruits and Vegetable sellers, Meat Cutters and Electronics,

Candidates are asked trade and skill related questions.



After the interview if the candidate is selected he/she is issued a “Letter of Intent” asking

to join for short training at the HUB/SPOKE of 2 to 4 days. The rejected candidates are

kept in database. The candidates who are considered for future possibilities are kept

under “databank”. The complete paper work is done at the end of the day and all

information is reported to head office every day.

4.2.4 (c) Preliminary Training

A batch of 30 approx. candidates is made for the training. The training tells the candidate

about the retail industry, the company Bharti retail, its partnership with Wal-Mart,

various customer services, and their responsibilities as a work associate, store lay out,

various sections etc.

After the successful completion of training, the candidates are required to appear for a

written test about what all taught in training. All those securing at least 18 marks out of

30 are awarded Training Certificate and are called for the final interview with the Store

Manager.

4.2.4 (d) Final Interview

In the final interview the panelist are Store Manager, a member of Business Unit HR

team and a member of BAR team. The candidate is examined by the Store manager and

BU HR member and then placed in the appropriate section of the store. The selected

candidates are offered “Confirmation Letter” subjective to their Medical test conducted in

later part before joining.

4.2.4 (e) Fitment:

Fitment is a very important procedure by BAR team to fix the candidates position in the

store according to the shift and role preferred by the candidate. The number of

permutation and combination are required to make best available team then the

confirmation calls are made to candidates‟ for their medical and joining.



4.2.4 (f) Replacements:

After the final staffing when the induction of work associates is started, sometimes few

candidates drop out due to various reasons. The BAR team has responsibilities to provide

the replacements from the Deferred candidates who have been given offer letter but not

asked to joined. The replacement process is a tedious job and requires great skills to

convert candidate to required positions



5. KEY LEARNINGS AND SUGGESTION‟S

5.1 LEARNINGS

1. On Job Work Experience :

Internship with Bharti-Retail provided a valuable opportunity to have an on job

experience and to understand the day to day working of an organization. The on-

job experience gained during this internship helped in understanding business

environment and to have a feel of organizational behavior.

2. Understanding of Recruitment and Selection:

Bharti-Retail provided an opportunity of not only learning about the process of

recruitment and selection, but also allowed us to do recruitment; during this

period I recruited approximately 1000 store associates under guidance and

supervision of senior BAR team members. This helped me in understanding the

process and practically applying the concepts learned in class.

3. Insight into Retail Sector:

My stint with Bharti-Retail gave me better insight into retail sector HR practices.

It helped me in understanding various challenges being faced by HR department

in retail industry. It helped in understanding various practices being followed in

retail sector for controlling attrition rates, for manpower planning and motivation

etc.

4. Understanding of Working Style of Virtual Teams:

Opportunity to work with Bharti-Retail gave me an opportunity to have a better

understanding of working of cross-functional, virtual team. While working with

BAR Team we had to co-operate with other teams like Centum Learning‟s

trainers, BU–HR team, Bharti‟s internal call center teams which helped in

activation and was responsible for providing support to BAR team members by

manning All-India Helpline for prospective candidates and other teams

responsible for various logistics and arrangements. This helped me understanding

how to ensure clear line of communication within our team and with other teams.



5. Understanding of Effects of Environmental Conditions on Recruitment Efforts:

During my internship, I was able to develop a better understanding of effects of

environmental or external factors on recruitment effort. The problems faced in our

efforts at various locations helped me understanding and appreciating the role of

factors like supply and demand of labor, government legislations and

demographic factors etc.

6. Leadership style (Decision Making, Level of empowerment):

The level of empowerment in this organization is very high. Leaving the lowest

level of workers the people are empowered to take decisions on their own

regarding their immediate requirements. As almost all the jobs require a specialist

for example a person who is on field for activation is empowered to take the

decision of which one to use as his knowledge is better that in that field.

5.2 SUGGESTIONS:

Based on my experience and observation during summer internship; I would like to

suggest following measures which can help in creating greater efficiency in the process:

Higher position to people with work-experience in retail sector: Although

Bharti-Retail gives Weightage to people with prior work experience in retail

industry but it does not give any increment or higher team position to such people.

Every prospective candidate is offered the position of store associate, which is the

staring level in Bharti-Retail, irrespective of the fact that the person has work-

experience or not. Such a policy hampers recruitment of people with relevant

work experience.

Simplification Of Training Course Content For Special Categories: The

course content of preliminary training for special categories (Meat cutter and Fruit

and vegetable sellers) should be simplified and made more concise. During

training it was observed that drop-out rates of these candidates were higher in



comparison to other categories. On subsequent follow-up it was found that

inability to understand the training content and its complexity was one of the

reasons for high drop-out rates.

Salary Structure According to Local Conditions: The salary structures for

stores were decided on state level and were uniform throughout the state. This

created difficult situation in some cities/towns where cost of living was high and

labor was in short supply. In such locations the salary being offered to candidates

were not competitive enough for hiring store associates who were qualitatively

better.

Introduction of Some More Positions in Stores: The hierarchy level in Easyday

stores is very flat and simple; it is difficult for a person to have a quick career

progression. This situation contributes towards attrition. Adding some more

positions which are a kind of dry- promotion helps in creating a sense of self

respect and importance in store associates. This also makes the job more lucrative

to a prospective candidate.



6. REFERENCES

1. Beach, D. S. (1975). Personnel : the management of people at work. New York:

Macmillan.

2. Flippo, E. B. (1984). Personnel Management (Sixth Edition ed.). (K. A. Meyer,

Ed.) Singapore: Mc Graw- Hill Book Company.

3. Nair, N.G. and Nair, Latha. (2004). Personnel Management and Industrial

Relations, S. Chand

4. Consumer markets, Indian Retail: Time to change lanes, KPMG Research report,

2009

5. Michael, Levy and Barton A. Weitz. Retailing Management,5th Edition, Tata

McGraw-Hill

6. Berry Berman and Joel R. Evans, Retail Management - A Strategic Approach ,9th

Edition, Prentice Hall

7. http://www.thefreelibrary.com/Indian+retail+sector+HR+challenges+%26+measu

res+for+improvement-a0185430723, 21/9/2010, 10:30 am

8. http://www.articlesbase.com/marketing-articles/the-exuberant-age-of-retail-in-

india-354650.html, 21/9/10, 12:30 pm

9. http://www.citehr.com/128473-hr-challenges-retail.html , 22/09/10, 8:30 pm

10. http://www.spacedpractice.com/ , 22/09/10, 9:00pm

11. http://www.ibef.org/industry/retail.aspx, 23/09/10, 10:00pm

12. http://www.managementstudyguide.com/employee-selection-process.htm

13. http://business.mapsofindia.com/sectors/retail.html

14. http://www.naukrihub.com/top-ten-employers/india-retail/

15. http://www.sathguru.com/Note_on_Retail_Industry.pdf

16. http://www.bharti.com/about-us/group-overview.html

17. http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId

=35933316

18. http://economictimes.indiatimes.com/articleshow/2726034.cms

http://www.articlesbase.com/marketing-articles/the-exuberant-age-of-retail-in-india-354650.html

http://www.articlesbase.com/marketing-articles/the-exuberant-age-of-retail-in-india-354650.html

http://www.citehr.com/128473-hr-challenges-retail.html

http://www.spacedpractice.com/

http://www.ibef.org/industry/retail.aspx

http://www.managementstudyguide.com/employee-selection-process.htm

http://business.mapsofindia.com/sectors/retail.html

http://www.naukrihub.com/top-ten-employers/india-retail/

http://www.sathguru.com/Note_on_Retail_Industry.pdf

http://www.bharti.com/about-us/group-overview.html

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=35933316

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=35933316

http://economictimes.indiatimes.com/articleshow/2726034.cms

recruitment and selection summer report

Documents

rohit kumar singh mhrod

importance of recruitment

meaning of recruitment

mhrod semester

rohit kumar singh r

hypermarket stores of

type text recruitment

selection of work associates