HR project

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CHAPTER NO-1
INTRODUCTION

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Basic Introduction of Industry
JBM Auto company was originally set up in the year 1990, mainly to manufacture Tools, Dies and
Moulds at Faridabad. In the year 1993 the Company established a Press Shop for manufacturing of
Sheet Metal Components and Welded Sub–assemblies to meet the growing stringent quality
requirements of automobile industry. The company went for its first public issue in March, 1994.
JBM Auto is JBM Group Company, JBM Group created a new meaning for excellence in
manufacturing of Sheet Metal Parts and Welded Assemblies, Exhaust Systems, Axles, High
Tensile Fasteners, Tubes, Special Purpose Vehicles and Waste Management Services. The Group
has embraced international systems and processes, implementing them at all levels, in every unit,
and across all parameters. This has resulted in prestigious certifications from global institutions.
The Group companies have consistently met and surpassed world–class standards, while
accumulating a wealth of knowledge and expertise in the industry.
The other JBM Group companies are:
 Arcelor Neel Tailored Blank Pvt. Ltd.
 Indo Tooling
 Jaico Steel Fasteners Ltd.
 Jay Bharat Exhaust System Ltd.
 Jay Bharat Maruti Ltd.
 JBM Auto Ltd.
 JBM Industries Ltd.

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 JBMMA Automotive Pvt. Ltd.
 JBM Ogihara Automotive India Ltd.
 Neel Industries Pvt. Ltd.
 Neel Metal Fanalca Environment Management Pvt.Ltd.
 Neel Metal Products Ltd.
 Thai Summit Neel Auto Pvt. Ltd.
 ThyssenKrupp JBM Pvt. Ltd.
Product range of the company includes:
The Company principal activity is to manufacture and market automotive components. It operates
in three segments namely Sheet Metal Division, Special Purpoes Vechile Division and Tool Room
Division. The Sheet Metal Division manufactures sheet metal components, assemblies and sub
assemblies. The Special Purpoes Vechile Division develops and assembly special purpose vehicle
and tool room division manufactures tool, dies and moulds.
Achievements/ recognition:
1. Outstanding Performance in development JBMA by Honda Siel Cars India Ltd. 2007.
2. ECO supplier certification JBMA by Samsung India 2005.
3. Appreciation certificate JBMA by Delphi 2005.
4. Award for outstanding contribution to supply chain management JBMA by Eicher Motors 2004.
5. New City launch – Special award JBMA by HSCIL 2003.

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6. Award for outstanding contribution to parts development for sheet metal component group JBMA
by Eicher Motors 2002.
7. Certificate of appreciation for performance in category of cost JBMA by HSCIL 2002.
8. Certificate of appreciation for performance in category of quality JBMA by HSCIL 2001.
9. Best improvement award for quality JBMA by HSCIL 2000.
10. Appreciation of the contribution towards TVS – Spectra JBMA by TVS – Suzuki 1998.
JBM Group is a focused and progressive conglomerate aiming to add value to our customers
business via its products, services and innovative solutions. The Group has a diversified portfolio
with presence in multiple domains such as Automotive, Engineering & Design services,
Renewable energy, Railways and OEM. JBM Group currently has an infrastructure of 40
manufacturing plants, 4 Engineering & Design centres across 18 locations globally. The
multibillion dollar JBM Group has broadened its horizons by focusing on quality delivery,
solutions approach, product development processes, flexible manufacturing systems and contract
manufacturing.JBM Group comprising primarily of auto component division, caters services to
esteemed clients that include Ashok Leyland, Bajaj Auto Ltd, Fiat, Ford, General Motors
Corporation, Honda, Hero, JCB, Mahindra, Maruti Suzuki, Renault, Nissan, TATA, Toyota, TVS,
Volvo-Eicher, Volkswagen and many more.
JBM at a glance
The Group has alliances with more than 15 renowned companies globally and the associations
include Arcelor Mittal, Cornaglia, Dassault Systemes, JFE Steel Corporation, Magnetto
Automotive, Ogihara, Sumitomo, Solaris bus and many more. The organization‘s structure enables
each business division to chart its own path in their line of business and simultaneously leverage
organisational synergies across divisions to benefit from the rich experience of the Group.
As part of the diversification strategy of the group into the OEM space, JBM recently launched the
bus division. JBM buses are specialized in terms of luxury and are premium high-tech low floor
buses ideal for city commute. In 2014, the company introduced India‘s first true low floor city bus
- ‗CITYLIFE‘ that has redefined the dynamics of the public transformation domain in our country.
This year, JBM unveiled India‘s first 100% electric bus – ‗ECOLIFE‘ that incorporates globally
proven European technology for Electric Vehicles first time in India which is sustainable and

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affordable. These buses has first of its kinds innovative features that ensures enhanced comfort,
safety and security for the commuters.
JBM Group believes that success depends on collective competencies, technical abilities and
commitment of human capital. The core strength and value asset of JBM Group is the dedication
of 20,000 plus employees, who synergize to deliver quality results to the clients.
JBM Group is a true global corporate citizen committed towards the upliftment and development
of the society, the group executes large gamut of activities through its corporate social
responsibility arm - Neel Foundation. The organization believes and undertakes various activities
that enhance and enrich the quality of life of the community. JBM Group also prevails to preserve
the ecological balance as well as its cultural heritage of India.
JBM Group is a proud member of ACMA, AIMA, CII, FICCI, IEEE, IGCC and PHDCCI and
SIAM.
―Registered in 2015, JBM Group has gained immense expertise in supplying & trading of Erw
pipe, tubes, welding jigs etc. The supplier company is located in Rudrapur, Uttarakhand and is one
of the leading sellers of listed products. Buy Erw pipe, tubes, welding jigs in bulk from us for the
best quality products and service.‖

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Department in the Neel Metal Products Jbm, Pantnagar
1) Press shop
2) Paint shop
3) Quality department
4) Engineering department
5) IT department
6) Weld shop
7) Finance department
8) Purchase department
9) Maintenance department
COMPANY PROFILE
Name: JAY BHARAT MARUTI LTD.
Division: NEEL METAL PRODUCTS LIMITED
Head Quarters: DELHI
Established: 1983
Turnover: Rs.4500 Crores(overall)
Employees (No.): AROUND 15,000

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 Vision
―Expanding leadership in our business through people, keeping pace with market trends and
technology.‖
 Core Values
We believe in Simplicity, by keeping a low profile externally and having clear, open and
effective communication within the organization teamwork , with well-defined responsibilities
and accountability. Relationships of trust amongst people, through well-defined job
responsibility and authority. According top priority to customer focus, through prompt and
appropriate response. Respect and care for all those dedicated to meeting commitments.
 Technology
Technology, Innovation and People serve as the 3 key pillars of the JBM foundation. Core to
this philosophy is a constant quest for excellence by enhancing technology, enabling innovation
and empowering people, thereby, creating consistent value for all stakeholders.
JBM Group has always kept a close watch on the dynamic needs of its customers and continues
the journey of efficiency by enhancing the technology at every stage. The organization has
collaborated with best global technology partners; possess state-of-the-art manufacturing
facilities and highly automated processes. These advantages have established new benchmarks
that have aided in providing superior quality and flawless technical perfection to the
organization's deliverables.The continuous commitment towards excellence and consistent
efforts to innovate have brought excellent growth results for the Group. Apart from
incorporating sophisticated technology, JBM Group aims to not only exceed expectations, but to
create value through innovation. The long standing commitment to nurture research and
development has brought the organization a long way since its commencement 3 decades ago.
 Environment, Health & Safety
At JBM, sustainability is the way of doing business. The Group aligned its goals for
environment, health and safety, making an impact across its value chain worldwide. Together
with the suppliers, customers and stakeholders, JBM strives to maintain highest standards to

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preserve and protect the environment, as well as enhance the health and safety of the Group‘s
employees and communities.
 Department In The Neel Metal Products Jbm, Pantnagar
1) Press shop
2) Paint shop
3) Quality department
4) Engineering department
5) IT department
6) Weld shop
7) Finance department
8) Purchase department
9) Maintenance department

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Introduction about the organizations selected for study
The importance of ensuring the selection of the right people to join the workforce has become
increasingly apparent as the emphasis on people as the prime source of competitive advantage
has grown. Beaumont (1993) identifies three key issues that have increased the potential
importance of the selection decision to organizations. First, demographic trends and changes in
the labour market have led to a more diverse workforce, which has placed increasing pressure on
the notion of fairness in selection.
Second, the desire for a multi-skilled, flexible workforce and an increased emphasis on team
working has meant that selection decisions are concerned more with behaviour and attitudes than
with matching individuals to immediate job requirements. And third, the emphasis between
corporate strategy and people management has led to the notion of strategic selection: that is, a
system that links selection processes and outcomes to organizational goals and aims to match the
flow of people to emerging business strategies.
Selective hiring (i.e. the use of sophisticated techniques to ensure selection of the ‗right‘ people)
is frequently included in the ‗bundles‘ of best HR practice (see, for example, P feffer, 1998). The
contribution of effective recruitment and selection to enhanced business performance is also
illustrated by the findings of empirical studies.
For example, a study into small and medium-sized manufacturing establishments (Patterson et
al., 1997) found the acquisition and development of employee skills through the use of
sophisticated selection, induction, training and appraisals to have a positive impact on company
productivity and profitability. Thus the practice of recruitment and selection is increasingly
important from an HRM perspective.
At the same time, however, many of the traditional methods of recruitment and selection are
being challenged by the need for organizations to address the increased complexity, greater
ambiguity and rapid pace of change in the contemporary environment. This chapter, therefore,
discusses key contemporary approaches to recruitment and selection, and examines the influence
of external and internal factors on the process. After clarifying what we mean by recruitment and
selection, we begin by describing the external context in which recruitment and selection occur,
including government policy and legislation.

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Next, we turn our attention to the internal organisational context in order to examine factors that
might account for variations in recruitment and selection practice. We then explore the
systematic approach to recruitment and selection, and discuss recent developments at each stage
of the process. In the final section we emphasise the two-way nature of recruitment and
selection, and consider ethical issues in the treatment of individuals. The chapter concludes with
a summary and a number of self-test exercises.
 Definitions
The recruitment and selection process is concerned with identifying, attracting and choosing
suitable people to meet an organisation‘s human resource requirements. They are integrated
activities, and ‗where recruitment stops and selection begins is a moot point‘(Anderson, 1994).
Nevertheless, it is useful to try to differentiate between the two areas: Whitehill (1991) describes
the recruitment process as a positive one, ‗building a roster of potentially qualified applicants‘, as
opposed to the ‗negative‘ process of selection.
So a useful definition of recruitment is ‗searching for and obtaining potential job candidates in
sufficient numbers and quality so that the organisation can select the most appropriate people to
fill its job needs‘(Dowling and Schuler, 1990); whereas selection is concerned more with
‗predicting which candidates will make the most appropriate contribution to the organisation –
now and in the future‘(Hackett, 1991).

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Brief introduction of department of organization under study
 Recruitment
In context to human resource management, the term recruitment is the process of finding and
selecting the candidate who is well suitable for a job opening in a timely and cost-effective
manner. Basically, it is the process of hiring a candidate which is most suitable for the particular
job. Selecting a right candidate is extremely important for any organization because it is very
difficult to go through the rigorous process again and again for the same job role, as it includes
energy, time, cost, and resources. The process of hiring a candidate either internally or externally
must be done in a perfect & professional manner.
 Process of Recruitment
It is the whole process that begins with the identification of the needs of the company with
respect to the job & resources and ends with the employing a candidate in the company. When
we think of the recruitment process, what immediately come to our minds are the activities like
analysis of the requirement for a particular job, to attract the candidates for the particular job,
screening of the applicants and selecting among them the best candidate for the required job.
Before the organization recruit candidates, they must properly implement the virtual staffing
plans and forecast them to determine how many people they actually require.

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Methods of the recruitment process-
Forecasting of the employee is based upon two factors either internally or externally. There are
two methods of doing the process of professional recruitment:
 Internal Recruitment
It is done when the company looks to fill the vacancy from their organization or existing
workforce itself. It is cheaper and quicker process to recruit, people are already familiar with the
organization, the company already knows about the strength and weakness of the candidates.
 External Recruitment
This is the process when a company looks to fill the vacancy from any suitable application or
outside the business. It is done outside the company which brings new ideas; people have a wider
range of experience, longer process, more expensive, shifts in population, competition, etc.

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 Factors that influence Recruitment process
Recruitment is mainly affected by several factors which play a big part in whether the process of
recruitment will be successful or not. Some of the important factors are as below:
Factors of Recruitment Process
 Selection
The Selection is the process of choosing the most suitable candidate for the vacant position in the
organization. In other words, selection means weeding out unsuitable applicants and selecting
those individuals with prerequisite qualifications and capabilities to fill the jobs in the
organization. Most often, the selection and recruitment are used interchangeably but however
both have different scope. The former is a negative process that rejects as many unqualified
applicants as possible so as to hire the right candidate while the latter is a positive process that
attracts more and more candidates and stimulates them to apply for the jobs.
Based on the complexity of selecting the right candidate the selection process is comprised of
several steps:
1. Preliminary Interview
2. Receiving Applications
3. Screening of Applications
4. Employment Tests
5. Interview
6. Reference Checking
7. Medical Examination
8. Final Selection

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Literature review
 RecruitmentandSelection
Recruitment and Selection is an important operation in HRM, designed to maximize employee
strength in order to meet the employer's strategic goals and objectives. In short, Recruitment
and Selection is the process of sourcing, screening, shortlisting and selecting the right
candidates for the filling the required vacant positions.
In this tutorial, we will discuss the various aspects of Recruitment and Selection such as the
recruitment process, the factors affecting recruitment, recruitment planning, methods of
recruitment, recruitment interviews, selection process and making an offer.
 TheScopeofRecruitmentandSelection
The scope of Recruitment and Selection is very wide and it consists of a variety of operations.
Resources are considered as most important asset to any organization. Hence, hiring right
resources is the most important aspect of Recruitment. Every company has its own pattern of
recruitment as per their recruitment policies and procedures.

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The scope of Recruitment and Selection includes the following operations −
 Dealing with the excess or shortage of resources
 Preparing the Recruitment policy for different categories of employees
 Analyzing the recruitment policies, processes, and procedures of the organization
 Identifying the areas, where there could be a scope of improvement
 Streamlining the hiring process with suitable recommendations
 Choosing the best suitable process of recruitment for effective hiring of resources.
Any organization wants it future to be in good and safe hands. Hence, hiring the right resource
is a very important task for any organization.
CaseStudy:HowtoImproviseRecruitmentProcess
Let‘s assume there is a company called ABC Systems, which sells FMCG products. The
company is lately suffering due to its high attrition rates. In this case study, we will see how
ABC Systems can improve its recruiting process and focus on maintaining the efforts required
for filling a job vacancy. We will also learn how the HR team of ABC Systems can reduce the
time and effort involved in sourcing good resources for the vacant positions.
We suggest here seven different steps that ABC Systems can utilize to resolve its problems
Step 1 − Define the Problem
First, define the problem in exact terms and then, design a step-wise recruitment process that can
be easily followed.
Recruitment Process
Step Activity
1 Sending the resignation communication message to HR with request for initiating the
recruitment process
2 Manager-HR directs the hiring team to start the recruitment process

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3 Logging into the employment website and contacting different recruiters
4 Sourcing, identifying, and collecting the resumes of the candidates
5 Receiving relevant resumes
6 Shortlisting the resumes
7 Sending the shortlisted resumes to the department manager
8 Schedule interview dates
9 Calling the candidates for interview
10 Interviewers complete the feedback form and the feedback is shared with the HR
11 This process repeats for many candidates till the best candidates are finalized.
12 The HR team negotiates the package and compensation
13 Final confirmation and agreements
14 Send offer letter
15 Offer accepted
Step 2 − Research the Causes
Analyze the root cause of the problem at hand. Why the attrition rate is so high? There are
several ways to arrive at the root cause behind a problem.
In case of ABC Systems, it was observed that there is only a less percent of candidates who are
rejected in the process of review. Hence, there is a need to improve this process by increasing
the number of rejections with an efficient review process.

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Screening of resumes must be very effective, because the selection of the candidates through
resume screening has maximum percentage of a positive outcome, which is explained below –
Resume Selection Test
Reviewer Resumes Provided Resumes Selected Successful Selections*
1 10 8 4
2 10 5 2
3 10 7 2
Reviewers can use a set of defined criteria to screen the resumes, which can then be compiled as
shown below.
Tabulation of Selection Criteria Used
Criteria Reviewer 1 Reviewer 2 Reviewer 3
1 X X X
2 X X X
3 X
4 X X
5 X X X

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6 X X
7 X X
8 X X X
Step 3 − Countermeasure Ideas Generation
It is mandatory to have a basis of standardization in selecting the candidates. The shortlisting of
the relevant criteria is done as shown in the following table –
Selection Criteria – Standardized
Criteria Reviewer 1 Reviewer 2 Reviewer 3 Criteria to Keep
1 X X
2 X X X X
3 X X
4 X X
5 X X X X
6 X X X
7 X X X
8 X X X X

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The shortlisted list of candidates is reviewed by the department heads and they can suggest
modification which can then be incorporated as new criteria.
Step 4 − Testing and Modifying the Ideas
The next step is to test the defined set of criteria with three batches. After the selections are
done, the set of criteria is analyzed to see it was effective or not.
Step 5 − Implementing the Ideas
If found effective, then implement the new set of criteria for future recruitments.
Step 6 − Standardize Procedures
The next step is to standardize the procedure. First, make a note of the improvements achieved
recruitment efficiency. It can done as shown in the following tables −
Improvements in Recruitment Efficiency
Before After
Resumes 100 92
Selected 18 24
Interviews 170 142
Improvements in Recruitment Efficiency After Percentage Improvement
R/C 6.25 4.1 34
I/C 10 6 40

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With the help of the above processes, there will be a reduction of about 30%-40% in the hiring
process in shortlisting, reviewing and selecting the candidates for the right job positions. This
process was standardized and adopted in the regular practice.
Step 7 − Compiling the Quality Improvement Story
At last, the improvised and the quality story is compiled and presented to the senior
management for a better recruitment process.
 WhatisRecruitment?
Recruitment is a process of identifying, screening, shortlisting and hiring potential resource for
filling up the vacant positions in an organization. It is a core function of Human Resource
Management.
Recruitment is the process of choosing the right person for the right position and at the right
time. Recruitment also refers to the process of attracting, selecting, and appointing potential
candidates to meet the organization‘s resource requirements.
The hiring of the candidates can be done internally i.e., within the organization, or from external
sources. And the process should be performed within a time constraint and it should be cost
effective.

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ImportanceofRecruitment-
Recruitment is one of the most fundamental activities of the HR team. If the recruitment process
is efficient, then
 The organization gets happier and more productive employees
 Attrition rate reduces.
 It builds a good workplace environment with good employee relationships.
 It results in overall growth of the organization.
Here is a list that shows the purpose and importance of Recruitment in an organization −
 It determines the current and future job requirement.
 It increases the pool of job at the minimal cost.
 It helps in increasing the success rate of selecting the right candidates.
 It helps in reducing the probability of short term employments.
 It meets the organization‘s social and legal obligations with regards to the work force.
 It helps in identifying the job applicants and selecting the appropriate resources.
 It helps in increasing organizational effectives for a short and long term.
 It helps in evaluating the effectiveness of the various recruitment techniques.
 It attracts and encourages the applicants to apply for the vacancies in an organization.
 It determines the present futures requirements of the organization and plan according.
 It links the potential employees with the employers.
 It helps in increasing the success ratio of the selection process of prospective candidates.
 It helps in creating a talent pool of prospective candidates, which enables in selecting the
right candidates for the right job as per the organizational needs.

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 FactorsAffectingRecruitment
Recruitment is an important function of the Human Resource Management in an organization,
and it is governed by a mixture of various factors. Proactive HR Professionals should
understand these factors influencing the recruitment and take necessary actions for the
betterment of the organization.
When the market condition changes, the organization also needs to monitor these changes and
discover how it affects the resources and analyze these functions for making recruitment an
effective process.
We have Internal Factors as well as External Factors that influence the recruitment process.
In this chapter, we will be discussing these factors in detail.
1. InternalFactors
Organizations have control over the internal factors that affect their recruitment functions. The
internal factors are −
 Size of organization
 Recruiting policy
 Image of organization
 Image of job
 Size of Organization
The size of the organization is one of the most important factors affecting the recruitment
process. To expand the business, recruitment planning is mandatory for hiring more resources,
which will be handling the future operations.
 Recruiting Policy
Recruitment policy of an organization, i.e., hiring from internal or external sources of
organization is also a factor, which affects the recruitment process. It specifies the objectives of
the recruitment and provides a framework for the implementation of recruitment programs.

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 Image of Organization
Organizations having a good positive image in the market can easily attract competent
resources. Maintaining good public relations, providing public services, etc., definitely helps an
organization in enhancing its reputation in the market, and thereby attract the best possible
resources.
 Image of Job
Just like the image of organization, the image of a job plays a critical role in recruitment. Jobs
having a positive image in terms of better remuneration, promotions, recognition, good work
environment with career development opportunities are considered to be the characteristics to
attract qualified candidates.
2. ExternalFactors
External factors are those that cannot be controlled by an organization. The external factors that
affect the recruitment process include the following −
 Demographic factors − Demographic factors are related to the attributes of potential
employees such as their age, religion, literacy level, gender, occupation, economic
status, etc.
 Labor market − Labor market controls the demand and supply of labor. For example, if
the supply of people having a specific skill is less than the demand, then the hiring will
need more efforts. On the other hand, if the demand is less than the supply, the hiring
will be relative easier.
 Unemployment rate − If the unemployment rate is high in a specific area, hiring of
resources will be simple and easier, as the number of applicants is very high. In contrast,
if the unemployment rate is low, then recruiting tends to be very difficult due to less
number of resources.
 Labor laws − Labor laws reflect the social and political environment of a market, which
are created by the central and state governments. These laws dictate the compensation,
working environment, safety and health regulations, etc., for different types of
employments. As the government changes, the laws too change.

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 Legal considerations − Job reservations for different castes such as STs, SCs, OBCs are
best examples of legal considerations. These considerations, passed by government, will
have a positive or negative impact on the recruitment policies of the organizations.
 Competitors − When organizations in the same industry are competing for the best
qualified resources, there is a need to analyze the competition and offer the resources
packages that are best in terms of industry standards.
 RecruitmentProcess
Recruitment is a process of finding and attracting the potential resources for filling up the
vacant positions in an organization. It sources the candidates with the abilities and attitude,
which are required for achieving the objectives of an organization.
Recruitment process is a process of identifying the jobs vacancy, analyzing the job
requirements, reviewing applications, screening, shortlisting and selecting the right candidate.
To increase the efficiency of hiring, it is recommended that the HR team of an organization
follows the five best practices (as shown in the following image). These five practices ensure
successful recruitment without any interruptions. In addition, these practices also ensure
consistency and compliance in the recruitment process.

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Recruitment process is the first step in creating a powerful resource base. The process
undergoes a systematic procedure starting from sourcing the resources to arranging and
conducting interviews and finally selecting the right candidates.
 RecruitmentPlanning
Recruitment planning is the first step of the recruitment process, where the vacant positions are
analyzed and described. It includes job specifications and its nature, experience, qualifications
and skills required for the job, etc.
A structured recruitment plan is mandatory to attract potential candidates from a pool of
candidates. The potential candidates should be qualified, experienced with a capability to take
the responsibilities required to achieve the objectives of the organization.
 Identifying Vacancy
The first and foremost process of recruitment plan is identifying the vacancy. This process
begins with receiving the requisition for recruitments from different department of the
organization to the HR Department, which contains −
 Number of posts to be filled
 Number of positions
 Duties and responsibilities to be performed
 Qualification and experience required
When a vacancy is identified, it the responsibility of the sourcing manager to ascertain whether
the position is required or not, permanent or temporary, full-time or part-time, etc. These
parameters should be evaluated before commencing recruitment. Proper identifying, planning
and evaluating leads to hiring of the right resource for the team and the organization.

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 Job Analysis
Job analysis is a process of identifying, analyzing, and determining the duties, responsibilities,
skills, abilities, and work environment of a specific job. These factors help in identifying what a
job demands and what an employee must possess in performing a job productively.
Job analysis helps in understanding what tasks are important and how to perform them. Its
purpose is to establish and document the job relatedness of employment procedures such as
selection, training, compensation, and performance appraisal.
The following steps are important in analyzing a job −
 Recording and collecting job information
 Accuracy in checking the job information
 Generating job description based on the information
 Determining the skills, knowledge and skills, which are required for the job
The immediate products of job analysis are job descriptions and job specifications.
 Job Description
Job description is an important document, which is descriptive in nature and contains the final
statement of the job analysis. This description is very important for a successful recruitment
process.
Job description provides information about the scope of job roles, responsibilities and the
positioning of the job in the organization. And this data gives the employer and the organization
a clear idea of what an employee must do to meet the requirement of his job responsibilities.
Job description is generated for fulfilling the following processes −
 Classification and ranking of jobs
 Placing and orientation of new resources
 Promotions and transfers
 Describing the career path
 Future development of work standards

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A job description provides information on the following elements −
 Job Title / Job Identification / Organization Position
 Job Location
 Summary of Job
 Job Duties
 Machines, Materials and Equipment
 Process of Supervision
 Working Conditions
 Health Hazards
 Job Specification
Job specification focuses on the specifications of the candidate, whom the HR team is going to
hire. The first step in job specification is preparing the list of all jobs in the organization and its
locations. The second step is to generate the information of each job.
This information about each job in an organization is as follows −
 Physical specifications
 Mental specifications
 Physical features
 Emotional specifications
 Behavioral specifications
A job specification document provides information on the following elements −
 Qualification
 Experiences
 Training and development

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 Skills requirements
 Work responsibilities
 Emotional characteristics
 Planning of career
 Job Evaluation
Job evaluation is a comparative process of analyzing, assessing, and determining the relative
value/worth of a job in relation to the other jobs in an organization.
The main objective of job evaluation is to analyze and determine which job commands how
much pay. There are several methods such as job grading job classifications, job ranking,
etc., which are involved in job evaluation. Job evaluation forms the basis for salary and wage
negotiations.
 RecruitmentStrategy
Recruitment strategy is the second step of the recruitment process, where a strategy is prepared
for hiring the resources. After completing the preparation of job descriptions and job
specifications, the next step is to decide which strategy to adopt for recruiting the potential
candidates for the organization.
While preparing a recruitment strategy, the HR team considers the following points −
 Make or buy employees
 Types of recruitment
 Geographical area
 Recruitment sources
The development of a recruitment strategy is a long process, but having a right strategy is
mandatory to attract the right candidates. The steps involved in developing a recruitment
strategy include −

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 Setting up a board team
 Analyzing HR strategy
 Collection of available data
 Analyzing the collected data
 Setting the recruitment strategy
 SearchingtheRightCandidates
Searching is the process of recruitment where the resources are sourced depending upon the
requirement of the job. After the recruitment strategy is done, the searching of candidates will
be initialized. This process consists of two steps −
 Source activation − Once the line manager verifies and permits the existence of the
vacancy, the search for candidates starts.
 Selling − Here, the organization selects the media through which the communication of
vacancies reaches the prospective candidates.
Searching involves attracting the job seekers to the vacancies. The sources are broadly divided
into two categories: Internal Sources and External Sources.

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 Internal Sources
Internal sources of recruitment refer to hiring employees within the organization through −
 Promotions
 Transfers
 Former Employees
 Internal Advertisements (Job Posting)
 Employee Referrals
 Previous Applicants
 External Sources
External sources of recruitment refer to hiring employees outside the organization through −
 Direct Recruitment
 Employment Exchanges
 Employment Agencies
 Advertisements
 Professional Associations
 Campus Recruitment
 Word of Mouth
 Screening/ Shortlisting
Screening starts after completion of the process of sourcing the candidates. Screening is the
process of filtering the applications of the candidates for further selection process.
Screening is an integral part of recruitment process that helps in removing unqualified or
irrelevant candidates, which were received through sourcing. The screening process of
recruitment consists of three steps −

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Reviewing of Resumes and Cover Letters-
Reviewing is the first step of screening candidates. In this process, the resumes of the
candidates are reviewed and checked for the candidates‘ education, work experience, and
overall background matching the requirement of the job
While reviewing the resumes, an HR executive must keep the following points in mind, to
ensure better screening of the potential candidates −
 Reason for change of job
 Longevity with each organization
 Long gaps in employment
 Job-hopping
 Lack of career progression
 Conducting Telephonic or Video Interview
Conducting telephonic or video interviews is the second step of screening candidates. In this
process, after the resumes are screened, the candidates are contacted through phone or video by
the hiring manager. This screening process has two outcomes −
 It helps in verifying the candidates, whether they are active and available.
 It also helps in giving a quick insight about the candidate‘s attitude, ability to answer
interview questions, and communication skills.
 Identifying the top candidates
Identifying the top candidates is the final step of screening the resumes/candidates. In this
process, the cream/top layer of resumes are shortlisted, which makes it easy for the hiring
manager to take a decision. This process has the following three outcomes −
 Shortlisting 5 to 10 resumes for review by the hiring managers.
 Providing insights and recommendations to the hiring manager.
 Helps the hiring managers to take a decision in hiring the right candidate.
 Evaluation and Control

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Evaluation and control is the last stage in the process of recruitment. In this process, the
effectiveness and the validity of the process and methods are assessed. Recruitment is a costly
process, hence it is important that the performance of the recruitment process is thoroughly
evaluated.
The costs incurred in the recruitment process are to be evaluated and controlled effectively.
These include the following −
 Salaries to the Recruiters.
 Advertisements cost and other costs incurred in recruitment methods, i.e., agency fees.
 Administrative expenses and Recruitment overheads.
 Overtime and Outstanding costs, while the vacancies remain unfilled.
 Cost incurred in recruiting suitable candidates for the final selection process.
 Time spent by the Management and the Professionals in preparing job description, job
specifications, and conducting interviews.
Finally, the question that is to be asked is, whether the recruitment methods used are valid or
not? And whether the recruitment process itself is effective or not? Statistical information on the
costs incurred for the process of recruitment should be effective.
 TypesofRecruitment
For any organization, recruitment is a crucial part of developing and maintaining an effective
and efficient team. A good recruitment strategy will cut down the wastage of time and money,
which would have incurred for extensive training and development of unqualified resources.
Have you ever thought of, how a recruiter finds the right candidates? Recruiters use different
methods to source, screen, shortlist, and select the resources as per the requirements of the
organization. Recruitment types explain the means by which an organization reaches potential
job seekers.

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In this chapter, we will shed some light on the secrets of hiring and recruiting methods, used by
the recruiters. Recruitment is broadly classified into two different categories − Internal Sources
and External Sources.
 InternalSourcesofRecruitment
Internal sources of recruitment refer to hiring employees within the organization internally. In
other words, applicants seeking for the different positions are those who are currently employed
with the same organization.
At the time recruitment of employees, the initial consideration should be given to those
employees who are currently working within the organization. This is an important source of
recruitment, which provides the opportunities for the development and utilization of the existing
resources within the organization.
Internal sources of recruitment are the best and the easiest way of selecting resources as
performance of their work is already known to the organization. Let us now discuss more on the
various internal sources of recruitment.

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 Promotions
Promotion refers to upgrading the cadre of the employees by evaluating their performance in the
organization. It is the process of shifting an employee from a lower position to a higher position
with more responsibilities, remuneration, facilities, and status. Many organizations fill the
higher vacant positions with the process of promotions, internally.
 Transfers
Transfer refers to the process of interchanging from one job to another without any change in
the rank and responsibilities. It can also be the shifting of employees from one department to
another department or one location to another location, depending upon the requirement of the
position.
Let‘s take an example to understand how it works. Assume there is a finance company called
ABC Ltd. having two branches, Branch-A and Branch-B, and an employee from Branch-A
resigned from his job responsibilities. Hence, this position has to be filled for the continuation
of the project in Branch-A.
In this scenario, instead of searching or sourcing new candidates, which is time consuming and
expensive, there is a possibility of shifting an employee from Branch-B to Branch-A, depending
upon the project requirements and the capabilities of that respective employee. This internal
shifting of an employee from one branch to another branch is called as Transfer.
 Recruiting Former Employees
Recruiting former employees is a process of internal sources of recruitment, wherein the
exemployees are called back depending upon the requirement of the position. This process is
costeffective and saves plenty of time. The other major benefit of recruiting former employees
is that they are very well versed with the roles and responsibilities of the job and the
organization needs to spend less on their training and development.
 Internal Advertisements (Job Posting)
Internal Advertisements is a process of posting/advertising jobs within the organization. This
job posting is an open invitation to all the employees inside the organization, where they can
apply for the vacant positions. It provides equal opportunities to all the employees working in

35. 35
the organization. Hence, the recruitment will be done from within the organization and it saves
a lot of cost.
 Employee Referrals
Employee referral is an effective way of sourcing the right candidates at a low cost. It is the
process of hiring new resources through the references of employees, who are currently working
with the organization. In this process, the present employees can refer their friends and relatives
for filling up the vacant positions.
Organizations encourage employee referrals, because it is cost effective and saves time as
compared to hiring candidates from external sources. Most organizations, in order to motivate
their employees, go ahead and reward them with a referral bonus for a successful hire.
 Previous Applicants
Here, the hiring team checks the profiles of previous applicants from the organizational
recruitment database. These applicants are those who have applied for jobs in the past. These
resources can be easily approached and the response will be positive in most of the cases. It is
also an inexpensive way of filling up the vacant positions.
 Pros and Cons of Internal Sources of Recruitment
Internal sources of recruitment i.e., hiring employees within the organization, has its own set of
advantages and disadvantages. The advantages are as follows –
 It is simple, easy, quick, and cost effective.
 No need of induction and training, as the candidates already know their job and
responsibilities.
 It motivates the employees to work hard, and increases the work relationship within the
organization.
 It helps in developing employee loyalty towards the organization.
 The drawbacks of hiring candidates through internal sources are as follows −
 It prevents new hiring of potential resources. sometimes new resources bring innovative
ideas and new thinking onto the table.

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 It has limited scope because all the vacant positions cannot be filled.
 There could be issues in between the employees, who are promoted and who are not.
 If an internal resource is promoted or transferred, then that position will remain vacant.
 Employees, who are not promoted, may end up being unhappy and demotivated.
 ExternalSourcesofRecruitment
External sources of recruitment refer to hiring employees outside the organization externally. In
other words, the applicants seeking job opportunities in this case are those who are external to
the organization.
External employees bring innovativeness and fresh thoughts to the organization. Although
hiring through external sources is a bit expensive and tough, it has tremendous potential of
driving the organization forward in achieving its goals. Let us now discuss in detail the various
external sources of recruitment.
 DirectRecruitment
Direct recruitment refers to the external source of recruitment where the recruitment of qualified
candidates are done by placing a notice of vacancy on the notice board in the organization. This
method of sourcing is also called as factory gate recruitment, as the blue-collar and technical
workers are hired through this process.
 Employment Exchanges
As per the law, for certain job vacancies, it is mandatory that the organization provides details
to the employment exchange. Employment exchange is a government entity, where the details
of the job seekers are stored and given to the employers for filling the vacant positions. This
external recruitment is helpful in hiring for unskilled, semi-skilled, and skilled workers.
 Employment Agencies
Employment agencies are a good external source of recruitment. Employment agencies are run
by various sectors like private, public, or government. It provides unskilled, semi-skilled and
skilled resources as per the requirements of the organization. These agencies hold a database of
qualified candidates and organizations can use their services at a cost.

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 Advertisements
Advertisements are the most popular and very much preferred source of external source of
recruitment. The job vacancy is announced through various print and electronic media with a
specific job description and specifications of the requirements. Using advertisements is the best
way to source candidates in a short span and it offers an efficient way of screening the
candidates‘ specific requirements.
Let‘s take an example. Assume that there is a Sales Company called XYZ Ltd which has got a
new project of selling a product in a short span of time, as the competition is very high. In this
scenario, choosing the specific recruitment plays a vital role. Here the ideal type of recruitment
which should be chosen is Advertisement.
Advertisement is the best suitable practice for this kind of hiring, because a large volume of
hiring in a short span can be done through Advertisement only. Advertisement is one of the
costliest way to recruit candidates, but when time and number are important, then advertisement
is the best source of recruitment.
 Professional Associations
Professional associations can help an organization in hiring professional, technical, and
managerial personnel, however they specialize in sourcing mid-level and top-level resources.
There are many professional associations that act as a bridge between the organizations and the
job-seekers.
 Campus Recruitment
Campus recruitment is an external source of recruitment, where the educational institutions such
as colleges and universities offers opportunities for hiring students. In this process, the
organizations visit technical, management, and professional institutions for recruiting students
directly for the new positions.
 Word of Mouth Advertising
Word of mouth is an intangible way of sourcing the candidates for filling up the vacant
positions. There are many reputed organizations with good image in the market. Such
organizations only need a word-of-mouth advertising regarding a job vacancy to attract a large
number of candidates.

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 Pros and Cons of External Sources of Recruitment
External sources of recruitment i.e., hiring employees outside an organization, has both its
benefits and drawbacks. The benefits are as follows −
 It encourages new opportunities for job seekers.
 Organization branding increases through external sources.
 There will be no biasing or partiality between the employees.
 The scope for selecting the right candidate is more, because of the large number
candidates appearing.
The disadvantages of recruiting through external sources are as follows −
 This process consumes more time, as the selection process is very lengthy.
 The cost incurred is very high when compared to recruiting through internal sources.
 External candidates demand more remuneration and benefits.
To conclude, the HR department should be flexible enough to choose between internal or
external methods of recruitment, depending upon the requirement of the organization.
 RecruitmentInterviews
An interview is a purposeful exchange of ideas, the answering of questions and communication
between two or more persons. Generally, an interview is a process of private meeting
conversation between people, where questions are asked and answered, for obtaining
information about qualities, attitudes, prospectus etc.
An interview refers to a conversation with one or more persons acting as the role of
an interviewer who ask questions and the person who answers the questions acts as the role of
an interviewee.
The primary purpose of an interview is to transfer information from interviewee to interviewer.
Interviews can be either formal or informal, structured or unstructured. Interviews can be

39. 39
carried out one-to-one or in groups; they can be conducted over telephone or via video
conferencing.
There are different meanings of the word ―interview‖, as different scholars defined the term
differently. However, interviews have some basic objectives, which are as follows−
 Through interviews, recruiters can verify the information obtained through application forms
and tests.
 Recruiters can obtain additional information about the candidates which are not mentioned in
the application forms or resumes.
 Interviews provides an applicant the information and the necessary facts about the job and the
organization.
 Interviews establish a mutual understanding between the applicant and the organization.
 HowtoInterview?
Various researches have proved that organizations that spend more time on recruitment have
benefitted greatly in long term. An important thing to do, when you are planning for an
interview is to think, whom you are interviewing and what kind of information you want from
that person. Hence, you should prepare a list of questions, which you want to ask, prior to
conducting an interview.
Interviewing is both an art and a science. Hence, how to interview is a technique that every HR
professional should learn and try to implement.

40. 40
The following five P‘s should be taken into consideration in order to ensure effective selection
and interviewing −
 Prepare − Preparation is the first step of conducting an interview. Prior to interview, the
interviewer should make sure that he/she understands the key elements of the job. And the
interviewer should go through the resume of the candidate for understanding his/her qualities
and efficiencies
 Purpose − The interviewer should have knowledge about the purpose of the interview, why
he/she is conducting it. The interviewer should project the organization as the best place to
work to the interviewee, which helps in selecting the right candidate.
 Performance − An interviewer must identify the attitude, attributes, knowledge and skills of
the applicants, who are needed for the success of the organization. If the requirement is about
special education and technical skills, then hiring high-performing applicants plays an
important role.
 People Skills − The applicant, who comes for an interview, will not be completely transparent.
Hence, it is the job of an interviewer to un-mask the applicant and discover the inner qualities
and skills during the interview. This good practice of hiring will help in selecting the right
candidate for the organization.
 Process − Every interviewer should follow a structured interview process to get better results.
A structured process of interview avoids bias and gives equal and fair chance to all the
applicants. The best way for accomplishing this process is by using the behavioral based
questions and situational questions.
 ImportanceofInterview
An interview provides an organization the scope to learn more about the applicants, who come
for an interview, while the applicants get an opportunity to become more familiar with the
demands of a given position. Interviews enable both the parties to exchange information, ask
questions and also help in evaluating the potential for establishing a professional working
relationship with the organization.
Interviews help in gathering a wide range of information about the applicants‘ attitude, feelings
and motivations, which in turn help in the decision-making process to hire the right candidates.

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The following points explain the importance of conducting interviews −
 Interviews help in selecting the right candidate from a group of applicants, who applied for a
job.
 Interviews are a medium to help collect useful information about potential candidates.
 Information given in the application form or resume is very less. Recruiters can ask the
candidates to provide an elaborate explanation during the interview.
 A good interviewer gives good impression about the organization, which in turn increases the
goodwill of the organization.
 Interviews also help in promotions and transfers of the candidates, as per the requirements of
the organization.
 InterviewProcess
Interviewing candidates is the final stage in the recruitment process. Hence, to find the right
person for a specific position, there should be a proper process, that has to be followed for the
right results.
An ideal interview process for selecting the right candidates is as follows −
 Determine the requirements of the job. Conduct a thorough job analysis.

42. 42
 Prepare a specific job description and a job specification.
 Make a plan − how and where to find qualified candidates.
 Collect and review applications and resumes and from them, select the most potential and
qualified candidates for further proceedings.
 Interview the shortlisted candidates based upon the job description and specification.
 Verify the candidates‘ background with the references provided by them.
Following such an interview process, the HR department can hire the best possible candidates
for a vacant job position.
 TypesofInterviews
Depending up the requirements, situations, locations and time, the interviews are broadly
classified into ten different categories. Recruiters should be knowledgeable enough to
understand which type of interview should be used when.
The ten different types of interviews are as follows −
1. Structured Interview − In this type, the interview is designed and detailed in advance. A
structured interview is pre-planned, accurate, and consistent in hiring the candidates.
2. Unstructured Interview − This type of interview is an unplanned one, where the interview
questionnaire is not prepared. Here, the effectiveness of the interview is very less and there is a
tremendous waste of time and effort of both the interviewer and the interviewee.
3. Group Interview − In this type of interview, all the candidates or a group of candidates are
interviewed together. Group interviews are conducted to save time when there is a large number
of applications for a few job vacancies. A topic will be given to discuss among the candidates
and the interviewer judges the innovativeness and behavior of each candidate in the group.
4. Depth Interview − Depth interview is a semi-structured interview, where the candidates have to
give a detailed information about their education background, work experience, special interests,
etc. And the interviewer takes a depth interview and tries in finding the expertise of the
candidate.

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5. Stress Interview − Stress interviews are conducted to discover how a candidate behaves in
stressful conditions. In this type of interview, the interviewer will come to know whether the
candidate can handle the demands of a complex job. The candidate who maintains his
composure during a stress interview is normally the right person to handle a stressful job.
6. Individual Interview − In an individual interview, the interview takes place one-on-one i.e.,
there will be a verbal and a visual interaction between two people, an interviewer and a
candidate. This is a two-way communication interview, which helps in finding the right
candidate for a vacant job position.
7. Informal Interview − Such interviews are conducted in an informal way, i.e., the interview will
be fixed without any written communication and can be arranged at any place. There is no
procedure of asking questions in this type of interview, hence it will be a friendly kind of
interview.
8. Formal Interview − A formal interview held in a formal way, i.e., the candidate will be
intimated about the interview well in advance and the interviewer plans and prepares questions
for the interview. This is also called as a planned interview.
9. Panel Interview − Panel interview, as the name indicates, is being conducted by a group of
people. In this type of interview, three to five members of the selection committee will be asking
questions to the candidates on different aspects. The final decision will be taken by all the
members of the panel collectively.
10. Exit Interview − Exit interviews are conducted for those employees who want to leave the
organization. The importance of the exit interview is to discover why an employee wants to
leave his job.
Example
Suppose there is a software company Global Systems, which has an executive requirement for
the position CEO. This kind of position cannot be fulfilled in a short span. This kind of
requirements need a keen observation and a lot of planning.
There are different types of interviews, which are explained in the above list. The best type of
interview suitable for hiring a CEO would be a ―Structured Interview‖. Hiring a CEO for an

44. 44
organization is a big task and it can only be fulfilled with lots of planning. Hence the interview
process needs to be well structured and it has to be executed in a perfect way.
WhatisSelection?
Selection is the process of picking or choosing the right candidate, who is most suitable for a
vacant job position in an organization. In others words, selection can also be explained as the
process of interviewing the candidates and evaluating their qualities, which are required for a
specific job and then choosing the suitable candidate for the position.
The selection of a right applicant for a vacant position will be an asset to the organization,
which will be helping the organization in reaching its objectives.
Different authors define Selection in different ways. Here is a list of some of the definitions −
 Employee selection is a process of putting a right applicant on a right job.
 Selection of an employee is a process of choosing the applicants, who have the qualifications
to fill the vacant job in an organization.
 Selection is a process of identifying and hiring the applicants for filling the vacancies in an
organization.
 Employee selection is a process of matching organization‘s requirements with the skills and
the qualifications of individuals.
 A good selection process will ensure that the organization gets the right set of employees with
the right attitude.

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 Difference between Recruitment and Selection
The major differences between Recruitment and Selection are as follows −
Recruitment Selection
Recruitment is defined as the process of
identifying and making the potential
candidates to apply for the jobs.
Selection is defined as the process of choosing the
right candidates for the vacant positions.
Recruitment is called as a positive process
with its approach of attracting as many
candidates as possible for the vacant jobs
Selection is called as a negative process with its
elimination or rejection of as many candidates as
possible for identifying the right candidate for the
position.
Both recruitment and selection work hand in hand and both play a vital role in the overall
growth of an organization.
 ImportanceofSelection
Selection is an important process because hiring good resources can help increase the overall
performance of the organization. In contrast, if there is bad hire with a bad selection process,
then the work will be affected and the cost incurred for replacing that bad resource will be high.
The purpose of selection is to choose the most suitable candidate, who can meet the
requirements of the jobs in an organization, who will be a successful applicant. For meeting the
goals of the organization, it is important to evaluate various attributes of each candidate such as
their qualifications, skills, experiences, overall attitude, etc. In this process, the most suitable
candidate is picked after the elimination of the candidates, who are not suitable for the vacant
job.
The organization has to follow a proper selection process or procedure, as a huge amount of
money is spent for hiring a right candidate for a position. If a selection is wrong, then the cost
incurred in induction and training the wrong candidate will be a huge loss to the employer in

46. 46
terms of money, effort, and also time. Hence, selection is very important and the process should
be perfect for the betterment of the organization.
 AdvantagesofSelection
A good selection process offers the following advantages−
 It is cost-effective and reduces a lot of time and effort.
 It helps avoid any biasing while recruiting the right candidate.
 It helps eliminate the candidates who are lacking in knowledge, ability, and proficiency.
 It provides a guideline to evaluate the candidates further through strict verification and
reference-checking.
 It helps in comparing the different candidates in terms of their capabilities, knowledge,
skills, experience, work attitude, etc.
A good selection process helps in selecting the best candidate for the requirement of a vacant
position in an organization.
 SelectionProcessandSteps
As we have discussed that Selection is very important for any organization for minimizing the
losses and maximizing the profits. Hence the selection procedure should be perfect. A good
selection process should comprise the following steps −

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 Employment Interview − Employment interview is a process in which one-on-one
session in conducted with the applicant to know a candidate better. It helps the
interviewer to discover the inner qualities of the applicant and helps in taking a right
decision.
 Checking References − Reference checking is a process of verifying the applicant‘s
qualifications and experiences with the references provided by him. These reference
checks help the interviewer understand the conduct, the attitude, and the behavior of the
candidate as an individual and also as a professional.
 Medical Examination − Medical examination is a process, in which the physical and the
mental fitness of the applicants are checked to ensure that the candidates are capable of
performing a job or not. This examination helps the organization in choosing the right
candidates who are physically and mentally fit.
 Final Selection − The final selection is the final process which proves that the applicant
has qualified in all the rounds of the selection process and will be issued an appointment
letter.
A selection process with the above steps will help any organization in choosing and selecting
the right candidates for the right job.
 SalaryNegotiations
Salary negotiation is done ahead of issuing an offer letter. This is the heart of recruitment and
selection process, wherein the actual worth of a right candidate will be evaluated. The
remuneration offered should be balanced, acceptable and agreed by both the parties – the
employer and the employee.
Some organizations have salary grades, which are already assigned for each and every
position, hence the new employee also receives the salary as per the grade for which the
candidate is qualified and selected for.

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 AWin-WinSituation
The negotiations should be a win-win situation, where both the candidate and the employer
should benefit.
If the candidate expects and demands for a higher salary than the offered salary, then the
employer can raise the package (if the budget permits) in the following cases −
 The candidate is highly talented with a potential to deliver great results.
 The candidate has exceptional skills which are rare in the market.
Sometimes there is high demand for a skill and the market does not have sufficient supply of
qualified candidates to fill the gap. In such cases, the HR team offers lucrative packages in order
to attract talented professionals.
Hiring managers, most of the time, have a budget for each position and they are under pressure
to hire the right candidates without overshooting their assigned budget.
 TipsforGoodSalaryNegotiation-
Hiring managers should keep the following points in mind while negotiating salary with a
potential candidate −
 Research about the job posting well in advance and have a clear understanding of the
demand and supply of skilled professionals in the job market.
 Make the candidates understand the break-up of the total package that is offered.
 Do not let the candidate know the maximum salary that can be offered.
 Do not reject a candidate if his expectations are beyond the budget, rather try to make
them understand the fringe benefits that is being offered in the package.
Salary negotiation is extremely important, as it can either make or break a selection. Sometimes,
hiring managers tend to go overboard and offer an extraordinary package to attract a right
candidate. At other times, a potential candidate rejects the offer because it was not up to his
expectation. Hence, it is very important to maintain balance between hiring the right candidates
and working within the boundaries of the assigned budget.

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 MakingaJobOffer
Making a job offer is the final stage of recruitment and selection. Once a candidate is selected,
he/she will be issued an offer letter, which describes the designation, job location, role,
responsibilities, remuneration, benefits, and a few terms related to the company policies.
Most HR professionals tend to believe that making an offer is a simple process, but in many
cases, it is not so. Making an offer is a crucial part of recruitment and selection, because it‘s a
stressful and demanding process until the candidate joins the company, after issuing an offer. At
this stage, a lot of responsibility lies on the shoulders of the HR with regards to the process after
making an offer.
 HowtoMakeaJobOffer?
Making a job offer is a delicate process and it should be handled carefully. The outcome of this
process can be one of the following −
 The candidate may accept and start working with the organization, or.
 The candidate may accept a better job offer from another organization, if he gets one.
Hence, the HR team should take quick action at his stage. The following points should be kept
in mind while making a job offer −
 Do Not Delay − Issue an offer letter as soon as a candidate is selected, especially if the
resources are limited.
 Put the job offer on the table − While issuing an offer letter, do not wait for the right time.
Contact the selected candidate over phone and give him a verbal confirmation that he/she is
selected to fill the position vacant.
 Set a deadline to accept the offer − Once the offer is issued to the candidate, set a
reasonable deadline to accept the offer. Take a confirmation from the candidate that he/she
should join as per the date of joining mentioned in the offer letter.
 Stay connected − Even after the offer is accepted by the candidate, it is the responsibility of
the hiring manager to be in touch with the selected candidate, till he/she joins the
organization.

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After finding the right resource for the vacant job in the organization, the offer is prepared and
released to the candidate. It is crucial at this stage to follow a correct process in order to close
the deal and ensure that the selected candidate joins the organization as per the terms issued in
the offer letter.
 PreparingaJobOfferLetter
Once the salary negotiations are completed, the next step is preparing and issuing a job offer
letter. During the confirmation of the job offer through phone call or mail, it is best to make the
initial offer and discuss about the terms of the employment.
A formal job offer should include the following −
 Name of the employee
 Title or designation of the job
 The remuneration or salary offered
 Employment commencement date
 Roles and responsibilities of the job
 Terms and conditions (contract/temporary/permanent) of the job
 Compensations and benefit
 Conditions during the probationary period
 Additional condition, which includes legal, background verification etc.
Once the offer letter is prepared and issued to the selected candidate, ask the candidate to send a
signed copy of the offer letter, as a token of acceptance of the job offer.
The process of recruitment and selection starts right from understanding the requirements,
sourcing, scheduling, shortlisting, interviewing, selecting and finally issuing the offer letter. The
process is not over till the candidate joins.
 WhatNextafterIssuingaJobOffer?
Employees usually have to serve a notice period before switching jobs. So, there is a time-gap
of one month or so after a candidate accepts the Offer Letter till the time he joins the
organization. During this time-gap, the role of a recruiter is important because the candidate

51. 51
may or may not join, even after accepting the offer letter! Hence, the recruiter should be in
touch with the candidate through mails/messages/calls till he/she joins the company.
This communication and the relationship between the recruiter and the candidate will help the
process to complete and reduce the risks of the candidate not joining the company. Hence,
communication plays a vital role in the process of recruitment and selection.
The following steps are important after a candidate accepts the Job Offer −
 Documentation process − This process includes collecting documents such as educational
certificates, id proof, address proof, previous company offer letter, relieving letters, etc. If a
candidate responds positively, then it is an indicator that he/she is actually interested in
joining the organization.
 Employment verification process − Collecting an employment verification document,
which consists of the details of the previous employers and their references. It provides
information regarding the behavior and attitude of the candidate.
 Contacting the candidates − Be in contact with the candidate through calls or mails or
messages, which helps in building a relationship between the recruiter and a potential
employee. It also helps in knowing the status of the candidate joining the organization.
 Resignation from current employment − As soon as an offer letter is issued to the
candidate, make sure that the candidate resigns his current job and shares a copy of the
resignation document/mail. Later on, do follow up with regards to the resignation acceptance
document/mail from the current employer.
 Following up for the joining date − Finally, keep following up with the candidate about the
joining date, because it will help in knowing the status of the candidate joining the
organization as per the joining date mentioned in the offer letter.
All the above points help the employer in identifying the interest and the seriousness of a
candidate in joining the organization.

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CHAPTER NO-2
RREESSEEAARRCCHH DDEESSIIGGNN

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Description of Research Methodology
Research may be defined as the systematic and objective analyze and recording of controlled
observation that may lead to the developments or generalizations, principles or theories, resulting
in prediction and possibility ultimate control of events‖.
Sometimes research is defined as a movement, a movement from the known to the unknown. It
is an effort to discover something. Some people say that research is a on effort to know ―more
and more about less and less‖.
According to CLIFFORD WOODY, research comprises, defining and redefining problems
formulating hypothesis or suggested solutions; collecting organizing and evaluating data; making
deductions and reaching conclusions; and at as carefully testing the conclusions to determine
whether they fit the formulating a hypothesis.
Research may also be defined ‖Any organized enquiry discussed and carried out to provide
information for solving a problem‖.
 Methodology Criteria
The text of the methodology should meet the following criteria:
1. Identify and justify the sampling methods and the target populations to be used.
2. Describe the techniques and instruments used for qualitative and/or quantitative
measurements.
3. Provide a clear experimental design of your research.
4. Identify the protocols to be used for data collection and recording.
5. Clearly describe and justify the data analysis procedures chosen.
6. Produce a plan of action to define milestones, critical points and any contingency plans.
 Research Methodology
Research can be classified in many different ways on the basis of the methodology of research,
the knowledge it creates, the user group, the research problem it investigates etc.

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Research Design
A research design is the specification of methods and procedure for acquiring the information
needed to structure or to solve problems. It is the overall operation pattern or framework of the
project that stipulates what information is to be collected from which source and be what
procedures.
―A research design is the arrangement of the condition for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economic procedure‖
Design decision happen-
 What is study about?
 What is study being made?
 Where will the study be carried out?
 What type of data is required?
 Where can the required data be found?
 What will be the sample design?
 Technique of data collection.
 How will data be analysed?
A. What is study about?
In this report we are studying about the selection and recruitment process of JBM Group.
B. What is study being made?
Recruitment and selection
C. Where will the study be carried out?
Neel auto private limited
D. What type of data is required?
Primary data and secondary data both type of data are required.
E. Where can the required data be found?-Internal data
F. What will be the sample design?-Sample size-30
G. Technique of data collection.-Questionnaire
H. How will data be analysed?-Pi charts

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Research Problem
 Problem in selection and recruitment process of JBM group
The quality of employees you hire depends on an effective recruitment and selection strategy.
However, the process isn't always smooth sailing. Employers face tangible problems such as the
cost of advertising job openings and intangible obstacles such as improving communication
between recruiters and hiring managers.
 Recruitment Strategy
Before you compose the first job posting, you must determine whether hiring employees actually
is in the best interest of the company. Bringing on new employees can be costly, when you
combine the costs to recruit, orient and train them. Labor costs for full-time employees can be
high, especially if your company offers employee benefits. Small businesses might look at
alternatives to bringing on full-time staff, such as temporary workers, outsourcing or giving
additional responsibilities to current employees. Also, hiring contract labor or independent
contractors relieves you of the responsibility to manage a full-time staff, assume liability for
payroll taxes and offer employee benefits.
 Expenses
The cost to hire and replace hourly workers is approximately six months' wages; the cost to
replace salaried personnel is the salary for a year and a half, according to 2007 figures analyzed
by management consultant firm The Hay Group. Recruitment costs include advertising space,
professional memberships, job fair sponsorship and college recruiting trips. As of 2011, the cost
to recruit one employee ranged from approximately $3,000 to more than $5,000, according to the
2011 Recruiting Benchmarks Survey by the National Association of Colleges and Employers.
Outsourcing can relieve your company of the responsibility to hire and manage an employee who
specializes in full life-cycle recruiting, unless your staffing demands are consistently high and
worth the salary of a full-time in-house recruiter.

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 Interviewing Skills
Generally speaking, recruiters and other HR staff know much about full life-cycle recruiting --
the process from sourcing candidates to completing the process for newly hired employees.
However, the selection is up to a hiring manager, who often has functional and departmental
expertise in her area, but isn't an HR practitioner. Therefore, in addition to the actual recruitment
of candidates, seasoned recruiters may take on the responsibility of preparing hiring managers
and panel members for candidate interviews. HR department recruiters have the expertise to
provide the kind of guidance that hiring managers need to hone their ability to make wise hiring
decisions.
 Promotion From Within
Selecting talent that's already in the company can save money. However, unless your company
has an objective selection method for internal candidates, subjectivity could be problematic.
Admitting that favoritism is problematic is difficult, although witnessing it seems to be more
commonplace, according to management consulting firm Penn Schoen Berland in its study of
merit versus favoritism in internal promotions conducted for Georgetown University
McDonough School of Business. More than 90 percent of high-level executives say they have
seen merit fall by the wayside when selecting internal candidates for promotion, Anne Fisher
wrote in an August 2011 article for CNN Money. In addition, promotion from within the
organization may deprive your company of the fresh perspective that new talent can bring.
External candidates are most often recruited for high-level positions because the employer needs
the skill set that the current employee base cannot provide.
 Hiring Manager Issues
According to human resources firm The Adler Group, many human resources departments have
difficulties with the hiring manager and other recruitment personnel. Often, the person in charge
of designing job descriptions or making the final decision about who is hired puts in insufficient
effort to find the most qualified candidate, picks a candidate based upon personal characteristics
rather than professional competence or fails to use effective interview tactics. For this reason,
some HR departments opt to play a more direct role in recruitment or use a full-time hiring
manager within the department.

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 Quality of Candidates
Candidate quality is almost always an issue, particularly in a changing economy where new
technologies, awareness of global economics and increasing educational requirements are in high
demand. High-quality candidates are quickly snapped up, and it can be difficult to lure them to a
new job, particularly if the job doesn't have a topnotch benefits package. When the hiring process
itself takes a long time, the best candidates are sometimes offered -- and opt to take -- a job from
another firm. Further, many businesses do not have a hiring and recruitment strategy and instead
simply seek a new employee when there's a vacancy. This can decrease their access to the job
pool and make it more difficult to recruit a quality employee when there's a vacancy.
 Job Incentives
Compensation, benefits and working environment are all significant factors in employee
recruitment. In a tough economy, many businesses cutt back benefits, which makes it much more
difficult to attract the best candidates. HR departments often have to find creative strategies to
make a job or job listing more appealing.
 Employee Retention
Retention is as important as recruitment, and many employees leave their jobs for greener
pastures only a few months after starting. Corporate culture and working environment play a
major role in retention. Further, when a benefits package isn't excellent, employees may leave as
soon as they get a better offer. HR departments are often tasked with the challenge of screening
employees for loyalty and determining whether an employee is likely to leave in the first year.
 Job-Related Criteria
Effective employee selection involves matching the requirements of a job to the skills of job
applicants. While this seems straightforward enough, the process represents challenges. Business
owners and hiring managers may not have the human resources background necessary to
translate job duties into specific hiring criteria. For instance, if a customer service position
requires "strong customer service skills," what does this mean in objective terms? The better
organizations can clarify the specific job-related criteria required in job candidates, the more

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likely they will be to find qualified, competent employees and avoid potential claims of
discrimination or hiring based on reasons other than job competencies.
 Managerial Training
All managers who are responsible for hiring employees need to be trained about employee
selection techniques and, specifically, what they can and cannot do during the hiring process.
The area of asking employees questions is one that often comes up, says Lin Grensing-Pophal,
author of "Human Resource Essentials." For those not skilled in employee selection, it can be
challenging to stay on the right side of the law by asking only those questions that represent
BFQ's (bonafide qualifications) or bonafide job-related criteria, she says. Larger companies that
have HR departments can benefit from the expertise and involvement of their HR staff. But, even
smaller companies, says Grensing-Pophal, can take steps to ensure that at least one or two
managers receive the appropriate training in employee selection and can serve as role models and
coaches for other managers who need to go through the hiring process.
 Testing and Disparate Impact
Psychological and other forms of testing may be used in employee selection, and these tests can
be helpful. They may also represent challenges, though, if they have not been determined to
avoid any potential for disparate treatment. In other words, the tests need to be created and
administered in such a way that they do not, however unintentionally, result in lower scores or
scores that could be viewed negatively among protected groups—based on sex, race or age, for
instance.
 Reference Checking
Reference checking represents significant challenges during the employee selection process.
First, it isn‘t that prospective employees will provide references from anyone who would
offer negative feedback about them. Secondly, privacy issues can be raised if employers
contact people whose names have not been provided by the prospective employee. Finally,
when connecting with references, however they've been attained, there may be hesitance on
the part of the references to be entirely forthcoming in their responses for fear of legal
liability.

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Research Hypothesis
H0:There is positive impact of employee orientation on selection procedure.
H1 :There is no significant impact of employee orientation on selection procedure.
Ordinarily, when one talks about hypothesis, one simply means a mere assumption or some
supposition to be proved or disproved. But for a researcher hypothesis is a formal question that
he intends to resolve. Thus a hypothesis may be defined as a proposition or a set of proposition
set forth as an explanation for the occurrence of some specified group of phenomena either
asserted merely as a provisional conjecture to guide some investigation or accepted as highly
probable in the light of established facts. Quite often a research hypothesis is a predictive
statement, capable of being tested by scientific methods, that relates an independent variable to
some dependent variable. For example, consider statements like the following ones:
―Students who receive counseling will show a greater increase in creativity than students not
receiving counseling‖ Or ―the automobile A is performing as well as automobile B.‖
These are hypotheses capable of being objectively verified and tested. Thus, we may conclude
that a hypothesis states what we are looking for and it is a proposition which can be put to a test
to determine its validity.
 Variables
A variable is something that changes. It changes according to different factors. Some variables
change easily, like the stock-exchange value, while other variables are almost constant, like the
name of someone. Researchers are often seeking to measure variables.
The variable can be a number, a name, or anything where the value can change.
An example of a variable is temperature. The temperature varies according to other variable and
factors. You can measure different temperature inside and outside. If it is a sunny day, chances
are that the temperature will be higher than if it's cloudy. Another thing that can make the
temperature change is whether something has been done to manipulate the temperature, like
lighting a fire in the chimney.

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In research, you typically define variables according to what you're measuring. The independent
variable is the variable which the researcher would like to measure (the cause), while the
dependent variable is the effect (or assumed effect), dependent on the independent variable.
These variables are often stated in experimental research, in a hypothesis, e.g. "what is the effect
of personality on helping behavior?"
In explorative research methodology, e.g. in some qualitative research, the independent and the
dependent variables might not be identified beforehand. They might not be stated because the
researcher does not have a clear idea yet on what is really going on.
Confounding variables are variables with a significant effect on the dependent variable that the
researcher failed to control or eliminate - sometimes because the researcher is not aware of the
effect of the confounding variable. The key is to identify possible confounding variables and
somehow try to eliminate or control them.
 Operationalization
Operationalization is to take a fuzzy concept (conceptual variables), such as 'helping behavior',
and try to measure it by specific observations, e.g. how likely are people to help a stranger with
problems.

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 Choosing the Research Method
The selection of the research method is crucial for what conclusions you can make about a
phenomenon. It affects what you can say about the cause and factors influencing the
phenomenon.
It is also important to choose a research method which is within the limits of what the researcher
can do. Time, money, feasibility,
availability to measure the phenomenon correctly are examples of issues constraining the
research.
Choosing the Measurement
Choosing the scientific measurements are also crucial for getting the correct conclusion. Some
measurements might not reflect the real world, because they do not measure the phenomenon as
it should.
 Results
 Significance Test
To test a hypothesis, quantitative research uses significance tests to determine which hypothesis
is right.
The significance test can show whether the null hypothesis is more likely correct than the
research hypothesis. Research methodology in a number of areas like social sciences depends
heavily on significance tests.
A significance test may even drive the research process in a whole new direction, based on the
findings.
The t-test (also called the Student's T-Test) is one of many statistical significance tests, which
compares two supposedly equal sets of data to see if they really are alike or not. The t-test helps
the researcher conclude whether a hypothesis is supported or not.

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 Drawing Conclusions
Drawing a conclusion is based on several factors of the research process, not just because the
researcher got the expected result. It has to be based on the validity and reliability of the
measurement, how good the measurement was to reflect the real world and what more could
have affected the results.
The observations are often referred to as 'empirical evidence' and the logic/thinking leads to the
conclusions. Anyone should be able to check the observation and logic, to see if they also reach
the same conclusions.
Errors of the observations may stem from measurement-problems, misinterpretations, unlikely
random events etc.
A common error is to think that correlation implies a causal relationship. This is not necessarily
true.
 Generalization
Generalization is to which extent the research and the conclusions of the research apply to the
real world. It is not always so that good research will reflect the real world, since we can only
measure a small portion of the population at a time.

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 Validity and Reliability
Validity refers to what degree the research reflects the given research problem, while Reliability
refers to how consistent a set of measurements are.
Types of validity:
 External Validity
 Population Validity
 Ecological Validity
 Internal Validity
 Content Validity
 Face Validity
 Construct Validity
 Convergent and discriminant validity
 Test Validity
 Criterion Validity
 Concurrent Validity
 Predictive Validity
A definition of reliability may be "Yielding the same or compatible results in different clinical
experiments or statistical trials" (the free dictionary). Research methodology lacking reliability
cannot be trusted. Replication studies are a way to test reliability.

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Types of Reliability:
 Test-Retest Reliability
 Interrater Reliability
 Internal Consistency Reliability
 Instrument Reliability
 Statistical Reliability
 Reproducibility
Both validity and reliability are important aspects of the research methodology to get better
explanations of the world.
 Errors in Research
Logically, there are two types of errors when drawing conclusions in research:
1. Type 1 error is when we accept the research hypothesis when the null hypothesis is in
fact correct.
2. Type 2 error is when we reject the research hypothesis even if the null hypothesis is
wrong.
 Hypothesis testing
Your hypothesis statement took the form of a prediction or speculation. Once the experiment has
been carried out, you can now assess whether this prediction was correct or not.
You should therefore have two hypotheses, the alternative and the null.
 H1 The alternative hypothesis: This is the research hypothesis. It is the scientist‘s
speculation/prediction at the heart of the experiment.
 H0 The null hypothesis: The is a statement that there is NO significant difference in
groups, or more generally, that there is no association between two groups. In other
words, it is describing an outcome that is the opposite of the research hypothesis. The
original speculation is not supported.

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Conventionally, it is good practice to assume that the null hypothesis is correct until proven
otherwise.
This means researchers don‘t seek out to accept their research hypothesis, but rather to accept or
reject the null hypothesis first, which then allows them to accept or reject the alternative
hypothesis. Though most research is conducted with an expectation of how the results will turn
out, good practice is to make ample room for the possibility that your hypothesis is wrong.
For testing, you will be analyzing and comparing your results against the null hypothesis, so your
research must be designed with this in mind. It is vitally important that the research you design
produces results that will be analyzable using statistical tests.
Most people are very afraid of statistics, and worry about not understanding the processes or
messing up the experiments. There really is no need to fear.
Most scientists understand only the basic principles of statistics, and once you have these,
modern computing technology gives a whole battery of software for hypothesis testing.
Designing your research only needs a basic understanding of the best practices for selecting
samples, isolating testable variables and randomizing groups.
 Significance
The exact type of statistical test used depends upon many things, including the field, the type
of data and sample size, among other things The vast majority of scientific research is
ultimately tested by statistical methods, all giving a degree of confidence in the results. For
most disciplines, the researcher looks for a significance level of 0.05, signifying that there is
only a 5% probability that the observed results and trends occurred by chance.For some
scientific disciplines, the required level is 0.01, only a 1% probability that the observed
patterns occurred due to chance or error. Whatever the level, the significance level
determines whether the null or alternative is rejected, a crucial part of hypothesis testing.

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 Your hypothesis should...
 Be written in clear, concise language
 Have both an independent and dependent variable
 Be falsifiable – is it possible to prove or disprove the statement?
 Make a prediction or speculate on an outcome
 Be practicable – can you measure the variables in question?
 Hypothesize about a proposed relationship between two variables, or an intervention into
this relationship.

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Population Size
A research population is generally a large collection of individuals or objects that is the main
focus of a scientific query. It is for the benefit of the population that researches are done.
 Two Types of Population in Research
1. Target Population
Target population refers to the ENTIRE group of individuals or objects to which researchers are
interested in generalizing the conclusions. The target population usually has varying
characteristics and it is also known as the theoretical population.
2. Accessible Population
The accessible population is the population in research to which the researchers can apply their
conclusions. This population is a subset of the target population and is also known as the study
population. It is from the accessible population that researchers draw their samples.
The population size is around 15000.
 Sample Size
A complete interaction and enumeration of all the employees of Neel auto private limited was
not possible so a sample was chosen that consisted of 30 employees.
 Sampling method
Convenience/judgmental sampling design of non-probability sampling method.
a) UNIVERSE: Neel auto private limited(JBM Group)
b) SAMPLE TYPE: Pie Charts, Bar Charts.
c) SAMPLE SIZE: 30 people
d) SAMPLE UNIT: Individual

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Mode of Data Collection
 Data Collection
Data refers to a collection of organized information, usually the results of experience,
observation or experiment, or a set of premises. This may consist of numbers, words, or images,
particularly as measurements or observations of a set of variables.
 Data Sources
There are two types of data sources available to the research processes.
1. Primary data. 2. Secondary data.
1. Primary Data
The primary data is collected by using primary methods such questionnaires, interviews,
observations etc. For this study questionnaires are used to collect primary data from the
employees of the industries.
We know relatively little on a systematic basis about how or why organizations choose to use
different combinations of these strategies, though some of the results reported in the study of
recruitment and selection and in large firms offers some pointers that are worthy of further
exploratory research, particularly among small and medium sized organizations. Nowadays
employees suggests that personality tests are now being routinely used for some occupations in
19 per cent of workplaces, and performance tests are being used in Recruitment and selection in
46% of workplaces. Personality testing seems to be concentrated in larger workplaces and used
upon professional, managerial, and sales staff; and performance testing concentrated again in
larger workplaces but used for professional and administrative staff. Among the sample of large
employers the overall relative ranking of importance of different skill/suitability Assessment
methods was as follows:
1. Interview 2. Work experience
3. Performance/competency test 4. Qualifications
5. Assessment center 6. Personality/aptitude test
2. Secondary Data:-
Secondary data is collected from various Journals, books, websites, Government reports, News
papers, and other research reports.