Project report on_importance_of_recruitment_and_selection_process

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Project report on_importance_of_recruitment_and_selection_process

  1. 1. 1 “A STUDY ON IMPORTANCE OF RECRUITMENT AND SELECTION PROCESS” AT MANASI SYSTEMS TCHNOLOGIES PVT.LTD A Project report submitted to Jawaharlal Nehru Technological University, Hyderabad, in partial fulfillment of the requirements for the award of the degree of MASTER OF BUSINESS ADMINISTRATION By M.ANOOSHA Reg. No. 10241E0030 Under the Guidance of Prof K.SURYA NARAYANA Professor Department of Management Studies Gokaraju Rangaraju Institute of Engineering & Technology (Affiliated to Jawaharlal Technological University, Hyderabad)
  2. 2. 2 Hyderabad 2010-2012 CERTIFICATE This is to certify that the project entitled “A Study on importance of RReeccrruuiittmmeenntt aanndd SSeelleeccttiioonn PPrroocceessss” has been submitted by Ms.M.ANOOSHA (Reg. No.10241E0030) in partial fulfillment of the requirements for the award of Master of Business Administration from Jawaharlal Nehru Technological University, Hyderabad. The results embodied in the project has not been submitted to any other University or Institution for the award of any Degree or Diploma. (K.SURYA NARAYANA) (KVS Raju) Internal Guide Professor & HOD Professor Department of Management Studies Department of Management Studies GRIET GRIET (S. Ravindra Chary) (Project Coordinator) Associate Professor Department of Management Studies
  3. 3. 3 GRIET DECLARATION I hereby declare that the project entitled “A Study on importance ooff RReeccrruuiittmmeenntt AAnndd SSeelleeccttiioonn PPrroocceessss aatt MMaannaassii SSyysstteemmss tteecchhnnoollooggiieess PPvvtt LLttdd” submitted in partial fulfillment of the requirements for award of the degree of MBA at Gokaraju Rangaraju Institute of Engineering and Technology, affiliated to Jawaharlal Nehru Technological University, Hyderabad, is an authentic work and has not been submitted to any other University/Institute for award of any degree/diploma. M.ANOOSHA (10241E0030) MBA, GRIET HYDERABAD
  4. 4. 4 ACKNOWLEDGEMENT Firstly I would like to express our immense gratitude towards our institution Gokaraju Rangaraju Institute of Engineering & Technology, which created a great platform to attain profound technical skills in the field of MBA, thereby fulfilling our most cherished goal. I would thank all the HR department of Manasi Systems technologies Pvt Ltd specially Mr. Srinivas reddy -CEO, and the employees in the HR department for guiding me and helping me in successful completion of the project I am very much thankful to our k.Surya narayana(Internal Guide) sir for extending his cooperation in doing this project. I am also thankful to our project coordinator Mr. S. Ravindra Chary for extending his cooperation in completion of Project. I convey my thanks to my beloved parents and my faculty who helped me directly or indirectly in bringing this project successfully. M ANOOSHA (10241E0030)
  5. 5. 5 SR. NO CONTENT PG.NO 1 CHAPTER 1-5 1.1INTRODUCTION 1.2OBJECTIVES 1.3RESEARCH METHODOLOGY 1.4LIMITATIONS 2 CHAPTER 6-36 2.1 RECRUITMENT 2.1.1 PURPOSES AND IMPORTANCE 2.1.2 RECRUITMENT PROCESS 2.1.3 FACTORS AND SOURCES 2.1.4 RECRUITMENT POLICIES 2.1.5METHODS OF RECRUITMENT 2.1.6RECRUITMENT STRATEGIES 2.2 SELECTION 2.2.1 STEPS INVOLVED IN SELECTION PROCESS 2.2.2SELECTION TECHNIQUES 2.2.3TRENDS IN RECRUITMENT AND SELECTION 3 CHAPTER 37-64 3.1 INDUSTRY PROFILE 3.2 COMPANY PROFILE 4 CHAPTER
  6. 6. 6 4.1DATA ANALYSIS 65-78 5 CHAPTER 79-82 5.1FINDINGS 5.2SUGGESTION 5.3CONCLUSION BIBLIOGROPHY Chapter - 1 INTRODUCTION
  7. 7. 7
  8. 8. 8 Chapter – 2 Literature review
  9. 9. 9
  10. 10. 10 Chapter - 3 INDUSTRY PROFILE & COMPANY PROFILE
  11. 11. 11 Chapter – 4 DATA ANALYSIS & INTERPRETATION
  12. 12. 12 Chapter – 5 SUMMARY & CONCLUSIONS 1.1 INTRODUCTION
  13. 13. 13 IMPORTANCE OF RECRUITMENT & SELECTION PROCESS: Human Resources Management is concerned with human beings, who are the energetic elements of management. The success of any organization or an enterprise will depend upon the ability, strength and motivation of person’s working in it. The Human Resources Management refers to the systematic approach to the problems in any organization. It is concerned with recruitment, training and Development of personnel. Human resource is the most important asset of an organization. It ensures sufficient supply, proper quantity and as well as effective utilization of human resources. In order to meet human resources needs, and organization will have to plan in advance about the requirement and the sources, etc. The organization may also have to undertake recruiting selecting and training processes. Human Resources Management includes the inventory of present manpower in the organization. In cases sufficient number of persons is not available in the organization then external sources are also identified for employing them. Human Resources Management lays emphasis on better working condition and also ensures the employment of proper work force. A part of Human Resources Management is assigned to personnel who perform some of the staffing function. The staffing process is a flow of events, which result in a continuous managing organizational position at, all levels from the top management to the operatives level. This process includes manpower-planning, authorization for planning; developing sources of applicant evaluation of applications employment decision (selection) offers (placement) induction and orientation, transfers, demotions, promotions and separations. Manpower’s planning is a process of analyzing the present and future vacancies as a result of retirement, discharges, transfer, promotion, absence or other reasons. Recruitment is concerned with the process of attracting qualified and components personnel for different jobs. This includes the identification of existing sources of the labor market, the
  14. 14. 14 development of new sources and the need for attracting large number potential applications so that good selections may be possible. Selection process is concerned with the development of selection policies and procedure and the evaluation of potential employees in terms of job specifications. This process includes the development of application blanks, valid and reliable tests, interview techniques employee reversal systems, evaluations and selections of personnel in terms of jobs specifications the making up of final recommendations to the hire management and the sending of offers and rejection latter’s. 1.2 OBJECTIVES OF THE STUDY:
  15. 15. 15 To understand the current Recruitment Policies being followed at “MANASI SYSTEMS TECHNOLOGIES PVT. LTD” conducted this study and to know how effectively it is being implemented in the organization. • To study the present Recruitment Policies “MANASI SYSTEMS TECHNOLOGIES PVT. LTD” • To study the different methods of recruitment & selection depending on the requirements of the organization. • To find the relationship whether jobs offered based on qualification to the employees in the organization. • To study the level of job satisfaction in the organization. • To study the changes of recruitment policy in recent times in the organization. • To know how the company fulfills its manpower requirements. 1.3 RESEARCH METHODOLOGY
  16. 16. 16 SCOPE OF STUDY: The study was confined to territorial division of “MANASI SYSTEMS TECHNOLOGIES PVT. LTD” Hyderabad with special reference to its Recruitment policy. SAMPLE SIZE: The study was conducted with sample size of 60 employees selected at random from both supervisory and management staff of” MANASI SYSTEMS TECHNOLOGIES PVT. LTD” DATA COLLECTION: Primary data: A detailed and well-structured questionnaire was presented to the managerial staff at “MANASI SYSTEMS TECHNOLOGIES PVT. LTD”. Copies of the questionnaire being distributed to the employees at random to obtain their views followed this. Further discussions regarding the recruitment policies were held with the HRD manager to have an in-depth knowledge and future plans of the company for its effective implementation. Secondary data: Secondary data was gathered from academic texts and company profile from company’s website. Analysis: The data collected through questionnaires distributed to the employees was analyzed and interpreted using the MS-EXCEL. 1.4 LIMITATIONS:
  17. 17. 17 • The study thus conducted is restricted to the “MANASI SYSTEMS TECHNOLOGIES PVT. LTD” Hyderabad only. • The accuracy of the study is based on the information given by the respondents. • Data collected cannot be asserted to be free from errors because of bias on behalf of the respondents. • As the sample size consists size consists of only 60 employees its accuracy has its limitations. 2.1. RECRUITMENT
  18. 18. 18 INTRODUCTION: Recruitment forms the first in the process, which continues with selection and ceases with the placement of the candidate. It is the next step in the procurement function, the first being the manpower planning, Recruitment makes it possible to acquit the number and types of people necessary to ensure the continued operation of the organization.” Recruitment is the discovering of potential applicants for actual or anticipated organizational vacancies”. Recruitment has been regarded as the most important function of personnel administration, because unless the right type of people is hired, even the best plans, organization charts and control systems would not do much good. Definition: “Recruitment is a process to discover the sources of manpower to meet the requirement of the staffing schedule and to employ effective measures for attracting that manpower in adequate number to facilitate effective selection of an efficient working force”. - Dale Yoder “Recruitment is the process of searching the candidates for employment and stimulating them to apply for job in the organizations recruitment is the activity that links the employers and the job seekers”. - Edwin B.Flippo 2.1.1 PURPOSES AND IMPORTANCE:
  19. 19. 19 • Determine the present and future requirements • Increase the pool of job candidates at minimum cost • Reduce the probability of employee turn over • Increase the success rate of the selection process • Increase organizational and individual’s effectiveness EFFECTS: Positive Recruitment Process • Attract highly qualified and competent people • Ensure that the selected candidates stay longer with the company • Make sure that there is match between cost and benefit • Help the firm create more culturally diverse work-force Negative Recruitment Process • Failure to generate qualified applicants • There is no match between cost and benefit • Extra cost on training and supervision • Increases the entry level pay scales 2.1.2 RECRUITMENT PROCESS:
  20. 20. 20 • Planning • Strategy development • Searching • Screening • Evaluation and control OBJECTIVES OF RECRUITMENT:
  21. 21. 21 • To attract people with multi-dimensional skills and experiences that suit the present and future organizational strategies so as to obtain a pool of suitable candidates for vacant posts. • To induct outsiders with a new perspective to lead the company • To infuse fresh blood at all levels of the organization. • To develop organizational culture that attracts competent people to the company. • To use a fair process. • To ensure that all recruitment activities contribute to company goals. • To search for talent globally and not just within the company. • To conduct recruitment activities in an efficient and cost effective manner. EMPLOYEE RECRUITMENT: In the working place is essential to a company’s long term success. By hiring correctly, an organization adds the talent it needs and can enjoy the benefits in increased productivity and morale. However this process is not simple and if the careful process of selection is not followed: you can be mired with poorly skilled, unmotivated and un-loyal labor force which can impact future profits as well as other employee behavior. Recruitment, Quite often this word stands alone when some gaming companies develop a human resources management strategy. An organization cannot develop a recruitment strategy without simultaneously for mulcting an employee retention plan. Simply stated, it is one thing to attract workers, but quite another to retain them. FACTORS EFFECTING RECRUITMENT: All organizations whether small or large, do engage in recruiting activity, though not to the same
  22. 22. 22 extent. This differs with 1) The size of the organization. 2) The employment conditions in the community where the organization is located. 3) Working conditions, salary and benefit packages offered by the organization. 4) The rate of growth of the organization. 5) Future expansion program of the organization. And 6) Cultural and legal issues. 7) Organization’s ability to find and retain good performing people. 2.1.3 FACTORS AND SOURCES INTERNAL FACTORS: • Employees from within the organization are hired to fill a job vacancy. • It is normally used for higher level jobs. The internal factors are: 1 Company’s pay packages 2 Quality of work life 3 Organization culture 4 Career planning and growth 5 Company’s size 6 Company’s products/services 7 Geographical spread of the company’s operations 8 Company’s growth rate 9 Role of trade unions 10 Cost of recruitment 11 Company’s name and fame. EXTERNAL FACTORES: The external factors are:- 1 Socio-economic factors
  23. 23. 23 2 Supply and demand factors 3 Employment rate . 4 Labor market conditions. 5 Political, legal and governmental factors like reservations for SC/ST/BC and sons of soil. 6 Information systems like employment exchanges /Tele-recruitment like internet. ADVANTAGES: • Benefits of new skills, new talents and new experiences to organization • Compliance with reservation policy is easy • Scope for resentment, jealousies and heartburn are avoided DISADVANTAGES: • Better morale and motivation associated with internal recruiting is denied to the organization • It is costly • Chances of creeping in false positive and fake negative errors • Adjustment of new employees to the organizational culture takes longer time. EVALUATION & CONTROL: • Salaries for Recruiters • Management & professional time spent on preparing job description, job specification advertisements, liaison etc.. • Cost of advertisement • Cost of producing supporting literature • Recruitment overheads & administrative expenses • Cost of overtime & outsourcing PHILOSOPHIES OF RECRUITING: • Traditional philosophy – to get as many people to apply for a job as possible • Waiting in queues
  24. 24. 24 • Job dissatisfaction & employee turnover • Emphasis is on matching the needs of the organization to the needs of the applicants • Minimize employee turnover & enhance satisfaction REALISTIC JOB PREVIEWS: • Provides complete job related information to the applicants so that they can make right decision before taking up jobs • Lower rate of employee turnover • High level of job satisfaction & performance • Beneficial for organizations hiring at the entry level JOB COMPATIBILITY QUESTIONNAIRE: • To determine applicants preference for work match the characteristics of the job • Greater the compatibility of applicants preferences & characteristics of the job greater the probability of employee effectiveness & longer the tenure • 400 item instrument • Measures job factor related to performance, satisfaction turnover and absenteeism SOURCES OF RECRUITMENT: The various sources of external recruitment are: 1. Advertising 2. Employment agencies 3. Employee referrals 4. Schools, colleges and professional institutions 5. Labor unions 6. Casual applicants 7. Professional organizations or recruiting firms or executive recruiters 8. Indoctrination seminars for college professors 9. Unconsolidated applications 10. Nepotism 11. Leasing
  25. 25. 25 12. Voluntary organizations 13. Computer data banks 2.1.4. RECRUITMENT POLICIES A recruitment policy is concerned with quantity and qualifications of manpower. A well considered and pre-planned recruitment policy, based in corporate goals, study of environment and the corporate needs may avoid hasty of ill-considered decisions and may go a long way to man the organization with the tight type of personnel. The most commonly adopted practice in an organization is to centralize the recruitment and selection function. A “recruitment policy” in its broadest sense involves a commitment by the employer to such general principles as:- 1 To find and employ the best qualified persons for each job. 2 To retain the best and most promising to those hired. 3 To offer promising opportunities for the life-time working careers. 4 To provide programs and facilitates for personal growth on the job. The following factors should be taken into considerations in formulating recruitment policy. They are 1. Government policies 2. Personnel policies of other competing organization 3. Organization personnel policies 4. Recruitment sources 5. Recruitment need 6. Recruitment costs 7. Selection criteria and preferences etc. 2.1.5 METHODS OF RECRUITMENT Recruitment can be broadly categorized under three heads. Namely, Direct method, indirect
  26. 26. 26 method and Third method. DIRECT METHOD:- One of the widely used direct methods is that of sending of recruiters to colleges and technical schools. Most college recruiting is done in co-operation with the placement office of a college. The placement office usually provides help in attraction students, arranging interviews, furnishing space, and providing student resumes. For managerial professional, and sales professional, campus recruiting is an extensive operation. Persons reading for MBA or other technical diplomas are picked up in this manner. Many companies have found employees contact with the public a very effective method. Other direct methods include sending recruiters to conventions and seminars, setting up exhibits at fairs, and using mobile offices to go to the desired centers. INDIRECT METHOD:- Indirect method usually involves advertising in news papers, on the radio, in trade and professional journals, technical magazines and broachers. Advertising in newspapers and magazines, is the most frequently used methods, when qualified or experienced personnel are not available from other sources. Senior posts are largely filled by such methods when they cannot be filled by promotion from within. Advertising is very useful for recruiting blue-collars and hourly workers as well as scientific, professional, and technical employees. Local newspapers can be a good source of blue-collar workers, clerical employees, and lower level administrative employees. THIRD PARTY METHOD:- These include the use of commercial of private employment agencies, placement offices of schools colleges and professional associations, recruiting firms, management consulting firms, indoctrination seminars for college for college professors and friends and relatives. PRIVATE EMPLOYMENT AGENCIES:- They are the brokers who bring employers and employees together. The specialization of these agencies enhances their capacities to interpret the needs of their client, to seek out particular
  27. 27. 27 types of persons, and to develop proficiency in recognizing the talent of specialized personnel. STATE PUBLIC EMPLOYMENT AGENCIES:- Also known as labor exchanges, they are the main agencies of public employment. They provide a clearing housing for jobs and job information. These agencies provide a wide range of services- counseling, assistance in getting jobs information about labor market, labor and wage rates. PROFESSIONAL ORGANIZATION OR RECRUITMENT FIRMS:- They maintain complete information records about employed executives. These firms are looked up on as ‘headhunters’, ‘raiders’ and pirates by organizations which loose personnel through their efforts. However, these same organizations may employ “executive search firms” to help them find executive talent. These consulting firms recommend persons of high caliber for managerial, marketing and production engineer’s posts. TRADE UNIONS:- Also provide manual and skilled workers in sufficient numbers. MODERN SOURCES AND TECHNIQUES OF RECURITMENT A number of modern recruitment sources and techniques are being used by the corporate in addition to traditional sources and techniques. These sources and techniques include walk-in and consult–in, head-hunting, body-shopping, business alliances, and tele-recruitment. 1. WALK-IN: 2. CONSULT-IN: 3. HEAD-HUNTING: 4. BODY-SHOPPING: 5. BUSINESS ALLIANCES: 1. TELE-RECRUITMENT: The technological revolution in telecommunication helped the organization to
  28. 28. 28 use internet as a source of recruitment. Organization advertise the job vacancies through the world wide web (WWW) internet. The job seekers send their applications through e- mail or internet. Alternatively, job seekers place their CV’S in the world wide web/internet, which can be drawn by the perspective employers depending upon their requirements. ALTERNATIVES TO RECRUITMENT: OVERTIME • When demand for product peaks • additional income for employee • It results in Fatigue, increased accidents & more absenteeism • Need to pay double wages EMPLOYEE LEASING • Often called Staff outsourcing • Useful to small & medium sized firms TEMPORARY EMPLOYMENT • Low labour costs • Easy access to experienced labour • Flexibility in future • DISADVANTAGE- Do not know the work culture of the firm REFERENCE CHECK: • The reference of the person should be checked before making a final decision. • Check through a personal visit or a phone call directly to the applicant’s immediate
  29. 29. 29 former supervision, if possible. • Verify that the information given to you is correct. • Consider, with judgment, any negative comments you hear and what is not said. • Checking references can bring to light significant information which may save you money and future inconvenience. 2.1.6 Recruitment Strategies: Findings Overview Organizations were asked what strategies they use to recruit both managerial/professional and non management candidates. For recruiting managerial/professional candidates, the Internet is the most popular advertising medium, used by 76 percent of the organizations surveyed. Organizations regularly utilize internal resources(e.g., internal job postings and employee referrals) when recruiting both internal and external candidates. Different kinds of agencies are used to recruit for positions at different levels. — Temporary and government agencies are used mainly to recruit non-management candidates. — Employment agencies, colleges, and professional organizations are used more often to recruit managerial/professional candidates. Organizational Offerings The quality of an organization’s offerings affects its ability to attract job candidates. Organizations believe they offer candidates a strong company reputation (69 percent) and high-quality benefits packages (65 percent) and learning opportunities (55 percent). Many organizations do not offer stock options (37 percent) or child care options (36 percent). Best Practices Organizations with the most effective recruiting strategies were 15 to 19 percent more likely to offer candidates high-quality options such as:
  30. 30. 30 • Potential for advancement. • Company reputation. • Stocks. • Benefits package. • Corporate culture. • Salary scale. Organizations offering candidates and employees a positive culture (e.g., innovative, diverse, potential to advance) and learning environment have more satisfied employees and more successful at retaining them. Barriers to Effective Recruitment and Selection: Findings Overview r The surveyed organizations report that the top barriers to effective recruitment of candidates are: • Shortage of qualified applicants • (62 percent). • Competition for the same applicants • (62 percent). • Difficulty in finding and identifying applicants • (48 percent). 2.2 SELECTION “Selection is the process of examining the applicants with regard to their suitability for the given
  31. 31. 31 job or jobs, and choosing the best candidate and rejecting the others.” Good recruitment practices are only one key to generating a pool of top job candidates. Equally important is having a strong basis from which to recruit. If an organization’s policies and practices are unattractive to candidates, the organization’s ability to generate good candidates will be limited regardless of he specific recruitment practices they employee. But what policies and practice do “good” applicants find attractive? Unfortunately, there is no easy answer to this question because not all “good” applicants are alike, and research shows that organization’s policies and the individual’s characteristics. Financial considerations, supply and demand, and other variables impact the recruitment process. Looking for a qualified person for the IT department is likely to require a broader and possibly more expensive search. Recruitment indicate that there is an increase in the use of the internet and interactive employment websites, such as searching web databases, placing online ads at various career sites, purchasing candidate information from resume services, sending recruitment materials, to targeted individuals, and placing ads in newspapers can all yield positive results. Selection is the process in which candidates for employment are divided in two classes-those application of these tools. Qualified applicants go on to the next hurdle, while the unqualified are eliminated”. Thus, an effective selection Programe is a non-random process because those selected have been chosen on the bases of the assumption that they are more likely to be “better” employees than those who have been rejected. SELECTION PROCESS: The organizations can make use of more than one source for carrying out the recruitment procedure. Once the recruiting sources are identified, suitable candidates are called for the
  32. 32. 32 selection process. SIGNIFICANCE OF SELECTION PROCESS: Definition: It is the process of differentiation between applicants in order to identify (and hire) those with a greater likelihood of success in a job. Selection of personnel to man the organization is a crucial, complex and continuing function. The ability of an organization to attain its goals effectively and to develop in a dynamic environment largely depends upon the effectiveness of its selection program. If right personnel is selected the remaining functions of personnel management becomes easier, the employee contribution and commitment will be at an optimum level and employee- employer relations will be congenial. In an opposite situation where the right person is not selected, the remaining functions of personnel management, employee- employer relations will not be effective. If the right person is selected, he becomes a valuable asset to the organization. In case of faulty selection, the employee will become a liability to the organization. who are to be offered employment and those who are not. The process might be called rejection, since more candidates may be turned away than hired. For this reason, selection is frequently described as a negative process, in contrast with the positive program of recruitment. According to Yoder:-“the hiring process is of one or many ‘go, no-go’ gauges. Candidates are screened by the SELECTION PROCESS CHART
  33. 33. 33 SCREENING:
  34. 34. 34 Retention Survey found that nationally small agencies took an average of 6.84 weeks to conduct the screening processes, while large agencies took an average of 11.51 weeks (U.S. Department of Justice, Office of Justice Programs, Hiring and Keeping Police Officers) GOAL: reduce this time so that valuable candidates are still available PRINCIPLES OF THE SCREENING: A fair set of screening criteria The criteria must be in line with the job content and appointment as well as advertised requirements Applicants should be clear on the criteria that apply The criteria should apply to all applicants in a consistent manner Any waivers should be fully motivated and approved Declarations should be made of whether any candidate is related to or friends of an official in the component where the vacancy exists The various activities of the screening process should be documented and put on record INITIAL REVIEWING AND TESTING: Education And Experience Evaluation Letters Of Recommandation Elf-Assessment Gaptitude Andeneral Trait Test Perfomance Test For Specific Jobs 2.2.1 STEPS INVOLVED IN SELECTION PROCESS:
  35. 35. 35 A scientific selection procedure completes in 10 basic steps which are as follows: 1. Application Form. 2. Written Examination. 3. Preliminary Interview. 4. Group Discussion. 5. Tests. 6. Final Interview. 7. Medical Examination. 8. Reference Checks. 9. Line Manager’s Decision, and 10. Employment TESTING IN SELECTION: Testing represents an additional tool in the kit of the employment office. It supplements direct personal contracts in interviews of various types with a wide range of tests. All operate on the general theory that human behavior can best be forecast by sampling it. The test creates a situation in which the applicant reacts; reactions are regarded as useful samples of his behavior in the work he is applying. Formal testing programs have becomes increasingly common in modern selection. A major reason is their convenience. Another is their relatively low cost. Perhaps unfortunately, test results appeal to many managers because they provide quantitative measures of something. They ate, for this reason, more easily compared. They seem to bring the personalities of applicants down to a common denominator. Another reason for the growing use of tests is the fact that they have been and are the subject of extensive research.
  36. 36. 36 TYPES OF EMPLOYMENT TESTS: A simple classification of the tests used in selection would distinguish five principal types, including achievement, aptitude, interest, personality, and combination tests. Achievement Tests: sample and measure the applicant’s accomplishments and developed abilities. They are performance tests; they ask the applicant’s accomplishments and developed abilities. They are performances tests; they ask the applicant to demonstrate certain knowledge skills. APTITUDE TESTS: Measures an applicant’s capacity, his potential. Their simples form is the intelligence test, which is intended to measure the ability to learn, to remember, and to reason. INTEREST TESTS: Use selected questions or items to identify patterns of interests-areas in which the individual shoes special concern, fascination and involvement. PERSONALITY TESTS: Probe for the dominant qualities of the personality as a whole the combination of aptitudes, interests, and usual mood and temperament. Whole the combination of aptitudes, interests, and usual mood and temperament. GUIDES TO TESTING: Dale s. Beach suggested the following guidelines for the employment test. 1. Tests should be taken in addition to other selection techniques as entire can only provide information about a part of total behavior of a candidate. 2. Test information should be taken into consideration to find out candidate’s weakness rather than strength. 3. Tests are helpful in pocking a most likely successful group from a larger group rather than successful individuals. 4. A test should be tested in one’s own organization as “a valid test in one that measures.
  37. 37. 37 5. Tests can be held only in case of failure of other selection devices in providing satisfactory. 6. Test administrators should not heavily depend upon test score in making decision regarding selection of a candidate. Relationship between tests score and job success is not always linear. Hence, decision-makers should use the test score judiciously. OUTCOMES OF SELECTION DECISION: • Mainly four different types • True positive • True negative • False positive error: Results in cost for training, transfer or terminating the service of employee. Costs of replacing an employee with a fresh one-hiring, training, and replacement. • False negative error: Costs associated difficult to estimate ENVIRONMENTAL FACTORS • EXTERNAL Supply and demand in labour market Unemployment rate Legal and political considerations Company’s image • INTERNAL Company’s policy Cost of hiring CONCEPTS OF TESTING: 1. Job analysis 2. Reliability 3. Validity
  38. 38. 38 TYPES OF TESTS: Intelligence tests include: sample learning, ability, the adaptabilit tests etc. s(i) Aptitude Tests Intelligence Test (b)Mechanical Aptitude Psychomotor Tests Clerical Aptitude Tests (ii) Achievement Test Job Knowledge Test Work Samples Test (iii)Situational Test Group Discussion In basket (iv) Interest Test (v) Personality Test (a) Objective Test (b) Projective Test (b) Mechanical aptitude tests (c) Psychomotor tests (d) Clerical aptitude tests
  39. 39. 39 FINAL INTERVIEW: APPLICATION OF INTERVIEWS TYPE TYPE OF QUESTIONS USUAL APPLICATIONS Structured Unstructured Mixed Behavioral Stress A predetermined checklist if questions, usually asked of all applicants. Few, if any, planned questions are made up during the interview. A combination of structured and unstructured questions, which resembles what is a usually done in practice. Questions limited to hypothetical situations. Evaluation is based on the solution and approach of the applicant. A series of harsh, rapid fire question intended to upset the applicant. Useful for valid results, especially when dealing with large number of applicants. Useful when the interview tries to probe personal details of the candidate analyzes why they are not right for the job. A realistic approach that yields comparable answers plus in depth insights. Useful to understand applicant’s reasoning and analytical abilities under modest stress. Useful for stressful jobs, such as handling complaints.
  40. 40. 40 BARRIERS FOR EFFECTIVE SELECTION: • Perception • Fairness • Validity • Reliability • Pressure Evaluation and Conclusion of Selection Programme: - Reassuring the non selected candidate. - An Audit for evaluation. 2.2.2 SELECTION TECHNIQUES: Interview initial or preliminary
  41. 41. 41 PRELIMINARY INTERVIEW: This is a short interview and is used to eliminate unqualified candidates. Generally, there is no paper work at this stage. If the applicant looks like he can qualify for existing job openings, he or she is given the application blank to complete. APPLICATION BLANK: Application blank is used to get information from prospective applicant to help management to make a proper selection. It quickly collects the basic data about a candidate. It is also useful to store information for future use. An application forms consists of o Biographical data o Educational achievements o Salary and work experience o Personal items o Names and addresses of previous employers, references, etc. CHECK OF REFERENCES: References are used in most selection processes. During the selection process it is believed that former employers, friends and professional personnel give reliable evaluation of applicant. Reference checks are generally made by mail or telephone and sometimes personally also. PSYCHOLOGICAL TESTS: Most organizations do not use psychological tests for selection. But larger the size of the firm, more are the chances of using psychological tests. Larger companies that can afford to conduct psychological tests do so to have a more detailed and accurate selection procedure. Smaller companies are more dependent on interviews.
  42. 42. 42 INTERVIEWING: Interview is the interaction between the interviewer and the applicant. It is the most common method of selection. It is a good method to get accurate information about the applicant. TYPES OF INTERVIEWS: 1. Informal interview 2. Formal interview 3. Planned interview 4. Patterned interview 5. Non-directive interview 6. Depth interview 7. Stress interview 8. Group interview 9. Panel interview TYPES OF EMPLOYMENT INTERVIEW (i)PRELIMINARY INTERVIEW (a)Informal interview (b)Unstructured interview (II)CORE INTERVIEW (a)Background information (b)Job and probing interview (c)Stress interview (d)The Group Discussion interview (e)Formal and structured interview (f)Panel interview (g)Depth interview
  43. 43. 43 (iii)DECISION-MAKING INTERVIEW 1. PRELIMINARY INTERVIEW (a)Informal interview (b)Unstructured interview 2. CORE INTERVIEW (a)Background information interview (b)job and probing interview ( c) Stress interview (d)Group discussion interview (e) Formal and Structured interview (f)Panel interview (g)Depth interview 3. DECISION-MAKING INTERVIEW After the candidates are examined by the experts including the line managers of the organization in the core areas of the job, the head of the department/ section concerned interviews the candidates once again, mostly through informal discussion. The interviewer examines the interest of the candidate in the job, organization, reaction/adaptability to the working conditions, career planning, promotional opportunities, work adjustment and allotment etc. the personnel Manager also interviews the candidates with a view to find out his reaction/acceptance regarding salary, allowances, benefits, promotions, opportunities etc. The head of the department and the personnel manager exchange the views and then they jointly inform their decision to the chairman of the interview board, who finally makes the decision about the candidate’s performance and their ranks in the interview.
  44. 44. 44 INTERVIEW PROCESS: Interview is not a single step. It is a process consisting of several steps. The major steps are grouped into four categories. Before starting the interview, the important areas for asking questions should be worked out. The candidate’s application form should be examined to find his/her skills, incidents and experiences which are related to important areas for asking questions. The interviewer should make the candidate relaxed by starting with questions that are not directly related with the job. After the candidate is relaxed, the interviewer should ask the questions related to the job. Now the interviewer should make a tentative decision about the candidate. Approval by the Supervisor: At this stage, we can reach the conclusion about which candidate should be hired. Physical Examination: Physical examination is done to check whether the applicant’s physical capabilities match with the job requirements or not. The three basic objectives of physical examination are: o To determine the applicant’s physical capabilities. o To protect the company from needless claims under workers’ compensation laws. o To stop communicable diseases from entering the organization.
  45. 45. 45 INDUCTION: It is the process of introducing the new employee to the organization. According to a report, more than half of voluntary resignations occur within the first six months. A good induction program helps to take care of this problem and reduce the costs associated with it. (a)Preparation for Appropriate type of interview The interview the areas to be tested Type and number of interview Review the information (b)Conduct the interview Open the interview Get complete and accurate Information Record observations and Impressions Guide the interview Check the success of the interview (c)Close the interview (d)Evaluate interview results (A)Preparation for the interview (b)Conducting the interview (c)Closing the interview (d)Evaluation of interview results
  46. 46. 46 EVALUATION OF APPLICATION FORMS:- The are two methods of evaluating an application form, viz., clinical and method and weighted method. 1. Clinical method 2. Weighted method 3. Biographical inventories WRITTEN EXAMINATION:- The organization have to conduct written examination for the qualified candidates after they are screened on the basis of the application blanks so as to measure the candidate’s ability in arithmetical calculations, the know the candidates attitude towards the job’ to measure the candidates’ to know the candidates aptitude, reasoning, knowledge in various disciplines, in various disciplines, general knowledge and English language. PRELIMINARY INTERVIEW: The preliminary interview is to solicit necessary information from the prospective applicants and to assess the applicant’s suitability to the job. GROUP DISCUSSION: The technique of group is used in order to secure further information regarding the suitability of the candidate for the job. Group discussion is a method where groups of the successful applicants are brought around a conference table and are asked to discuss either a case study of a subject matter. TEST: The next stage in the selection process is conducting different tests as given below. The objective of tests is to solicit further information to assess the employee suitability to the job.
  47. 47. 47 FINAL SELECTION: Keep a list of all applicants considered for final selection. Identify fair selection criteria for the final selection phase. Ensure that the criteria are in line with the advertised requirements as well as the job content. Ensure that each selection committee member is provided with all the relevant information pertaining to each short-listed applicant. Ensure that the interviews are conducted in a fair and effective manner and that each candidate is weighed comprehensively against the requirements as advertised. Ensure that a comprehensive motivation is compiled in respect of all the applicants interviewed. Ensure that all applicants are informed about the outcome of the final selection phase. Ensure that all relevant information is put on record. CLOSING SELECTION: 1. Phone call and further clarification 2. Letter of intent 3. Completing employment forms 4. Protocols may be available for interested individuals 5. Number of candidates 6. Names, surnames and addresses of 5 top candidates 7. Recruitment and selection criteria 8. Justification of the decision
  48. 48. 48 2.2.3 TRENDS IN RECRUITMENT AND SELECTION: PROCEDURAL CHANGES: Eliminating arbitrary rules and regulations that restrict the choices of hiring managers and supervisors Adopting flexible and appealing hiring procedures. Screening applicants quickly Validating entry requirements and examinations. Instituting worker-friendly personnel policies, Creating more flexible job descriptions IMPROVEMENTS TO THE RECRUITMENT AND SELECTION PROCESS: The decentralization movement — "New Public Management" is known in many quarters as devolution, often characterized by the decentralization of HR responsibility. Aggressive outreach efforts Current employees as recruiters USE OF TECHNOLOGY: Many scholars believe that technology will be the most notable HRM trend of the next few decades Many large public organizations use computer bulletin boards and electronic mail to improve recruitment process Managers can have online access to applicants' test scores, qualifications and contact information Software programs: to administer online examinations, track applicants, match resumes with skill sets, expedite background checks, and shepherd job candidates through a paperless staffing process
  49. 49. 49 3.1INDUSTRY PROFILE PROFILE OF THE INDUSTRY The 15 year old software company is one of the cardinals and basic infrastructure which enjoys core sector status and play a crucial role in the economic development and growth of a country. Being a core sector this industry was subject to price and distribution controls almost uninterruptedly from past 15 years. OVERVIEW OF THE INDUSTRY Manasi Information Technologies is a leading global provider of technology that strengthens client innovation. We currently offer services to our client’s throughout the world. Our nature of work involves Software Development, Maintenance, Outsourcing and BPO. We have established practices in Enterprise Applications, Customer Facing Applications, Business intelligence Applications and E-Business Solutions. We as a professional software-development company are highly concerned with the quality of our solutions and services. Moreover, our team constantly works on developing and improving our service performance to satisfy our customers and maintain long-term cooperation with them. We are totally committed to ensure highest quality standards and to understand changing customer needs. At Manasi Information Technologies we are striving to understand changing customer needs, and enrich their quality of life by simply making the technology readily usable for them. Software Industry consists of that part of computer programming activity that is traded between software-producing organizations and corporate or individual software consumers. Traded software represents only a fraction of domestic software activity, whose extent cannot be reliably estimated, since much computer programming takes place within firms and its value Sis not captured by the industrial census or software industry analysts. According to the industry analyst INPUT, in 2010 the U.S. market for traded software was $138 billion (Table 1). The U.S. software industry is a major exporter, and the total revenues of the top 500 U.S. software firms in the year 2010 were $259 billion, according to the trade publication Software Magazine. The traded software industry consists of three main sectors: programming services, enterprise software products, and shrink-wrapped software products. These three sectors became established in the mid-1950s, the mid-1960s, and the late 1970s, respectively, in response to the technological opportunities and the business environment of the time. The most successful firms developed specialized capabilities that enabled them to prosper within their sector; however, this specialization made it difficult to move into other sectors, and very few firms have been successful in more than one software sector. It should be noted that the software industry is not confined to independent software vendors, but also includes computer manufacturers such as IBM, Unisys, and NCR who supply programming services and software products alongside their hardware offerings and are among the largest software suppliers. These are sometimes referred to as "captive" markets because computer users have relatively little choice in the supplier of basic operating software for corporate systems.
  50. 50. 50 Table 1 U.S. Software Market (User Expenditures in $ millions), 1980–2010 Year Source: Courtesy of INPUT. Programming Services Software Products TOTAL The United States has been the world leader in the software industry throughout its history, and today accounts for half of global revenues overall, and an estimated three-quarters of the software products market. A notable feature of the industry is its low concentration: there are many thousands of software firms in the United States and throughout the world, but relatively few mostly American global players. 1980 1985 1990 1995 2000 2005 2010 744 1,352 2,985 6,233 10,402 15,319 33,400 250 810 2,726 13,286 34,066 58,311 104,689 994 2,162 5,711 19,519 44,468 73,630 138,089
  51. 51. 51 SECTORS OF THE SOFTWARE INDUSTRY 1. PROGRAMMING SERVICES: SOFTWARE PROGRAMMING SERVICES: Dynamic Ventures provides software programming services. It creates user friendly solutions to very complex problems. Company includes the work in their core product offerings. The teams are responsible for the development of major commercial software products and web applications. They deliver more reliable applications in shorter time frames using the iterative "evolving milestone" process. It enables one to achieve best case results even when they do not have specifications or their specifications start out vague and change often. CURRENT CONDITIONS: According to Software Magazine in January 2011, "The trend of engaging outside service firms to perform critical IT functions continues." This statement was borne out by the specialties reported by firms in the journal's list of top 500 computer software and services companies of 2010. The largest primary business sector--for the third year in a row--was system integration services and IT consulting. Outsourcing services was the second largest, followed by IT services/consulting/staffing and outsourced product development/testing. Of companies with more than $1 billion in revenues, Salesforce.com increased its sales by 44 percent. According to Software Magazine, "The Company "insists on continuing its 'no software' marketing positioning even though [it] sells access to its software through the Software-as-a-Service (SaaS) model." Hewlett-Packard also showed strong growth, increasing its revenues by more than 50 percent, due mostly to its acquisition of former rival Electronic Data Systems Corp. in 2008. Those providing computer programming and related services were required to keep up with constantly changing technology. For example, according to a report by IBIS World, in the 2010s, "Newer platforms and technologies, such as software as a service, open source software, and cloud computing, will penetrate the industry and change the landscape." In the meantime, services in wireless and mobile applications were strong growth areas as the nation entered the second decade of the twenty-first century. According to research firm Gartner, the mobile applications industry was predicted to almost triple in 2011 to $15.1 billion. INDUSTRY LEADERS: Custom programming services are furnished by a diverse group of companies, including several multinational firms that provide a comprehensive set of IT services to large businesses and government agencies. One of the largest was IBM Corp. By 2010 IBM's services unit accounted for more half of its revenues, which in 2010 were just under $100 billion. Hewlett-Packard was another leader. The firm doubled its size when it purchased Electronic Data Systems Corp. in 2008, and revenues in 2010 reached $125 billion. Oracle and Computer Sciences Corp. were other significant players, registering 2010 sales of $26.8 billion and $16.1 billion, respectively, as was Accenture, whose annual revenues surpassed $23 billion. Smaller companies that provided programming services included Analysts International Corp., CIBER (Consultants in Business, Engineering, and Research) Inc., and Keane International Inc., which was acquired by NTT Data in 2011. 2. ENTERPRISE SOFTWARE PRODUCTS: Enterprise software describes a collection of computer programs with common business applications, tools for modeling how the entire
  52. 52. 52 organization works, and development tools for building applications unique to the organization. The software is intended to solve an enterprise-wide problem, rather than a departmental problem. Enterprise level software aims to improve the enterprise's productivity and efficiency by providing business logic support functionality. According to Martin Fowler, "Enterprise applications are about the display, manipulation, and storage of large amounts of often complex data and the support or automation of business processes with that data."Although there is no single, widely accepted list of enterprise software characteristics, they generally include performance, scalability, and robustness. Furthermore, enterprise software typically has interfaces to other enterprise software (for example LDAP to directory services) and is centrally managed (a single admin page, for example). ENTERPRISE APPLICATION SOFTWARE: Enterprise application software is application software that performs business functions such as order processing, procurement, production scheduling, customer information management, energy management, and accounting. It is typically hosted on servers and provides simultaneous services to a large number of users, typically over a computer network. This is in contrast to a single-user application that is executed on a user's personal computer and serves only one user at a time. a. TYPES: • Enterprise software can be designed and implemented by an information technology (IT) group within a company. • It may also be purchased from an independent enterprise software developer that often installs and maintains the software for their customers. Installation, customization, and maintenance can also be outsourced to an IT consulting company. • Another model is based on a concept called on-demand software, or Software as a Service (SaaS). The on-demand model of enterprise software is made possible through the widespread distribution of broadband access to the Internet. Software as Service vendors maintains enterprise software on servers within their own company data center and then provides access to the software to their enterprise customers via the Internet. Enterprise software is often categorized by the business function that it automates - such as accounting software or sales force automation software. Similarly for industries - for example, there are enterprise systems devised for the health care industry, or for manufacturing enterprises. b. DEVELOPERS:Major organizations in the enterprise software field include SAP, IFS AB, QAD Inc, IBM, BMC Software, HP Software Division, Redwood Software, UC4 Software, JBoss (Red Hat), Microsoft, Adobe Systems, Oracle Corporation, Inquest Technologies, ScheduALL, CA Technologies, Wipro Technologies, [Johnson Controls], and ASG Software Solutions but there are thousands of competing vendors.
  53. 53. 53 VALUATION UPDATE FOR THE ENTERPRISE SOFTWARE INDUSTRY: Transaction volumes in the enterprise software sector increased when compared to the prior month but decreased against the level of activity reported in March 2010. According to Capital IQ, there were 55 deals announced in the enterprise software sector in March 2011 compared to 37 in the prior month and 63 in March 2010. Despite the moderate level of acquisition activity in March, well-capitalized firms remain interested in strategic expansion. 3. SHRINK-WRAPPED SOFTWARE: The invention in 1971 of the inexpensive microprocessor a computer on a single microchip transformed the computer, creating a consumer product from what had previously been a costly capital good. Microprocessors were used in both videogame consoles and personal computers, and a "shrink-wrapped" or "boxed" software industry developed in the 1970s to satisfy the demand for programs for the new computer products. Shrink-wrapped software products were distinguished from enterprise software goods by low prices, high sales volume, and different distribution channels. Consumer software typically sold in tens or hundreds of thousands of units, at a price of a few hundred dollars, at most. Shrink-wrapped software was sold through retail outlets and mail order, with little or no after-sales service, compared with the direct sales forces and account managers employed by enterprise software vendors. One of the first firms to catch the wave of personal computing was Microsoft, founded in Albuquerque, New Mexico, in 1975 by Bill Gates and Paul Allen. Microsoft specialized in the basic operating software for what were then still known as micro-computers, and which mainly sold to hobbyists. Mass-market personal computers, such as the Apple II and the Tandy TRS-80, arrived in 1977– 1978. Within a couple of years two software applications, the word processor and the spreadsheet, made the personal computer generally useful. The word processor concept had existed in the corporate computer world, and many entrepreneurs simultaneously hit on the idea of creating a product for the personal computer market. However, one product, WordStar (produced by a San Rafael-based start-up, MicroPro International), secured a commanding share of the market. By contrast, the first personal computer spreadsheet, VisiCalc, produced by Software Arts of Cambridge, Massachusetts, had no clear precedent in mainframe computing, and it took the world by storm, initially having the market entirely to itself, although within a couple of years it was imitated by dozens of "clones."
  54. 54. 54 BMR: BMR is a professional service organization offering a range of Tax, Risk and M&A advisory for businesses of all sizes, at the local, national and international levels. BMR was found on October 1, 2004, and within a short span of time, has won the confidence of numerous Fortune 500 clients and is the partner of choice for their advisory services. BMR COMMENTS AND ANALYSIS: The decision of the KHC (KARNATAKA HIGH COURT) on software purchases has gone into the crux of the issue which has seen a divergence of views on characterization of income, not only in Indian jurisprudence, but world over. The foundation of this ruling lies in the interpretation of the provisions of the ICA and the KHC. The KHC has not concurred with the view of the Delhi High Court in the case of Dynamic Vertical Private Limited, in which it was held that payments for shrink wrap software do not constitute royalty, since the ruling was rendered in the context of section 40a(I) of the Act. However, the KHC has not appreciated that the substantial issue was still the same. Internationally, the taxability of software payments as royalty has been a widely debated subject. The 2010 update of the OECD model tax convention on income and on capital recognizes that copying the software program onto the computer’s hard drive or random access memory or making an archival copy is an essential step in utilizing the program and therefore, rights in relation to these acts of copying, where they do no more than enable the effective operation of the program by the user, should be disregarded in analyzing the character of the transaction for tax purposes. However, India has reserved its position on this interpretation and has indicated that some of the software payments may constitute royalty. At a very practical level, companies would now need to worry about an enhanced zeal of the Revenue Authorities in seeking to review such payments, both for the present and prior years. The KHC’s ruling would impact companies in many ways: • Issue of notices for present and past payments for software procurements Distributors and end consumers alike would need to strategies procurements and tax withholding strategies • There could be a huge tax and interest impact on corporate tax disallowances, owing to non withholding of taxes • Increased cost of business, owing to the fact that most overseas vendors are passing on the cost to the Indian consumers • Domestic software procurements could also soon come under far greater review, considering that the definition of royalties draws reference to the same provisions under the Act Clearly, the last has not been said on the subject and times ahead would be interesting as well as challenging, and the outcome of the appeals to be filed before the Supreme Court will be keenly awaited.
  55. 55. 55 INDIAN IT INDUSTRY: INDIAN IT INDUSTRY – PRESENT STATUS: Information technology (IT) is defined as the design, development, implementation and management of computer-based information systems, particularly software applications and computer hardware. Today, it has grown to cover most aspects of computing and technology. India is a preferred destination for companies looking to offshore their IT and back-office functions. It also retains its low-cost advantage and is a financially attractive location when viewed in combination with the business environment it offers and the availability of skilled people. The country’s domestic market for business process outsourcing (BPO) is projected to grow over 23 per cent to touch US$ 1.4 billion in 2011, says global research group Gartner. In 2010, the domestic BPO market was worth US$ 1.1 billion. The firm predicts that the domestic BPO market would reach US$ 1.69 billion in 2012 and increase to US$ 2.47 billion by 2014. With the first quarter of the new fiscal 2011-12 offering positive business outlook, hiring sentiments for sectors like IT, ITeS and telecom have risen by over 20 per cent, says a study by Team Lease Services Pvt. Ltd. As per the Employment Outlook Report for the period April-June 2011, released by Team Lease Services Pvt. Ltd., hiring intent from IT and ITeS was the highest in cities like New Delhi, Mumbai, Hyderabad and Pune. India's top technology firms like TCS, Infosys, Wipro and HCL are readying plans to gain a bigger share of their largest market, US, by aggressively chasing contracts being served by multinational rivals. Analysts expect the top IT firms to grow between 23-27 per cent in the FY2012 on the back of more number of discretionary projects, improved pricing, and robust business volumes. PERFORMANCE: In India, it is important to make the distinction between IT and ITES (IT enabled services). The latter refers to services delivered over telecom networks/ Internet to a range of external business areas (Colloquially referred to as KPO and BPO) and is treated elsewhere on this website (see ITES industry overview). Hence, we shall focus on the IT industry here by limiting the discussion to electronics hardware manufacturing and software development and service. Despite the unprecedented global economic downturn, the Indian IT industry has weathered the storm well, and will achieve sustainable growth going forward. India is expected to witness an average 8% salary increase in 2010 and ~50% of companies have strong hiring plans, according to a survey by global HR consultancy Mercer, giving yet another indication of the high confidence levels among the country’s corporate houses after the economy staged a faster-than-expected recovery from the slowdown. While the larger players continue to lead growth, gradually increasing their share in the industry aggregate, several high-performing small and medium enterprises have also stood out.
  56. 56. 56 GROWTH POTENTIAL: The strong demand for electronic hardware and software in India has been fuelled by a variety of drivers including the high growth rate of the economy, emergence of a vast domestic market catering to the new generation of young consumers, a thriving middleclass populace with increasing disposable incomes and a relatively low-cost work force having advanced technical skills. Indeed, the Government has also identified growth of this sector as a thrust area as there remains great expectation for significant growth given the fairly low levels of penetration of technology among the 1.1 billion population; There were only 60 million Internet users in 2009, 7 million DVD players and personal computers were sold in 2008-09, and 11 million new mobile subscribers were added every month in the same period. In this scenario there is now a big opportunity to step up the production to gain higher global share besides meeting the domestic demands. The Indian IT sector has also built a strong reputation for its high standards of software development ability, service quality and information security in the foreign market- which has been acknowledged globally and has helped enhance buyer confidence. The industry continues its drive to set global benchmarks in quality and information security through a combination of provider and industry-level initiatives and strengthening the overall frameworks, creating greater awareness and facilitating wider adoption of standards and best practices. FUTURE PROSPECTS: The industry is likely to continue growing from strength to strength, as local players incorporate best in class practices from global counterparts whilst retaining their edge in terms of lower cost of labor and focused governmental investments. New graduates with degrees in related fields such as electrical engineering and computer science can hope to achieve significant professional growth and a healthy remuneration from companies looking to hire the best talent available, given the high proportion who leave to pursue jobs in this sector overseas.. Indian Software Industry: In 2008-09, the software industry in India was worth Rs. 158.9 billion (US$ 3.9 billion). If the value of in-house development, which is taking place at many large corporate, is added then the figure would touch around Rs. 190 billion (US$ 4.6 billion). This phenomenal growth has not been achieved overnight. The C.A.G.R (Compounded Annual Growth Rate) for the Indian software industry revenues in the last five years has been 56.3 percent. Here the C.A.G.R. for the software export industry has been 60.71 percent while that for the domestic market has been 46.05 percent.
  57. 57. 57 Domestic Software Market: In 2008-09, the domestic software market has been estimated at Rs. 49.5 billion (US$ 1.25 billion) and this does not include the in-house development of software by end users. The domestic software market has shown a C.A.G.R. of 46.05 percent which has been steadily improving in the last few year. The growth rate of the domestic software market was 41.02 percent 2008-09. The domestic software market is expected to gross Rs. 73 billion in 2011-2021. With the rigorous enforcement of Copyright laws, increase in government spending on I.T. it is expected that in the coming years, the domestic market for software can even register more than 50 percent annual growth rates. Also, the government has implemented zero import duty on software. This is already having buoyant effect on the market and there is a increasing trend of buying software through the Internet. It is expected that by 2018 revenues of Indian domestic software market would touch US $ 37 billion. In the next few years, the prominent growth in the domestic software market is expected to get boost by segments such as banking, E-governance, defense, etc. Software Export Industry: The Indian software export industry continues to show impressive growth rates. In terms of Indian rupees, the C.A.G.R. over the past five years has been as high as 60.71 percent. The industry exported software and services worth Rs. 0.30 billion (U.S.$ 0.03 billion) in 1985; in 2008-09, a total export of Rs. 109 billion (U.S.$ 2.65 billion) was achieved and it is expected that during 1999-2000, software exports will be worth Rs. 172 billion (U.S.$ 3.9 billion). The software industry in India expects to reach an export level of U.S.$ 6.3 billion by 2000-01 and U.S.$ 10 billion by 2013-14. The National IT Task Force of India has set a target of U.S $ 50 billion of annual I.T. software and services exports by 2018. For achieving this velocity of business, both the software industry and the Government of India are currently taking some bold and purposeful steps. Amongst others, this exercise includes path-breaking measures adopted by the National IT Task Force to further liberate the economy, simplification of procedures, and development of additional resources for technical manpower development, new marketing channels, enhancing global brand equity and providing state-of-the-art infrastructure for software development. The thrust on I.T. services like E-commerce, Software Development, Interactive Integration services, Application Service Providers (ASP’s). Location of Software Companies: The mushrooming of new software companies until a couple of years ago was limited to a few cities. The industry was mainly concentrated around Bangalore, Mumbai, Chennai, Delhi, Pune, Hyderabad and Calcutta. However, with the InfoTech revolution sweeping India, we have witnessed a very high growth of InfoTech companies in other cities and towns as well. Most of the state governments have today accorded the highest priority to the development of the InfoTech sector in their states.
  58. 58. 58 SWOT ANALYSIS: 1. STRENGTHS High Quality & Price Performance: Quality is the hallmark of Indian I.T. software and, services. ISO 9000 certification and SEI Level 5 are the order of the day. High quality knowledge workers and attractive price performance have been and will continue to be a key component of India's value proposition. Large Pool of Knowledge Workers: The basic raw material for any software development activity or a dotcom start up is the availability of quality knowledge workers. India's main competitive advantage is its abundant, high-quality and cost effective human resources. Currently, India trains more than 73,000 professionals a year and has around 80,000 people working in the software and services sector. This is the second largest I.T. work force in the world. Recently, the Government of India has committed to providing computer education in every school by year 2003. State-of-the-art Technologies: A majority of Indian software companies use state-of-the-art technologies, including the latest in client-networking, E-commerce, Internet, ASP, CASE tools, communication software, ATM, protocols, GUI etc. Flexibility and Adaptability: Indian software professionals easily adapt themselves to new technologies. In the software industry, where technological obsolescence is the order of the day, flexibility to adapt to new technologies a major strength Reliability: Software programmers from India are able to provide expertise for all or large projects with dollar savings. The motto is ultimate adherence delivery schedules and customer satisfaction Off-shore Development through Datacom links: Off-shore software development in India especially through high-speed datacom (satellite links), provides immense cost and time saving. Large Projects: Indian companies increasingly large numbers are demonstrating their ability to handle large projects (more than 500-700 man- ears), including turnkey projects. High Growth: Software exports as well as the domestic demand in the last few years have been consistently growing at annual growth rate of about 50 percent.
  59. 59. 59 Engineering Base: A strong base of national institutes, engineering college and universities has laid a strong foundation of education in engineering skills amongst Indian software professionals. The IIT’s (Indian Institute of Information Technology) in various cities are the new institutions to join the bandwagon. Mathematical and Logic Expertise: India’s success in providing efficient software solutions can be also attributed to the mathematical and logical ability Indian’s. High Aspirations: The Indian IT software and services industry has set itself higher aspirations and goals. The recent aspiration is to reach annual revenues of U.S. $ 87 billion by 2008 (from a level of U.S. $3.9 billion during 1998 99), achieve 100 percent literacy, more, employment and entrepreneurship opportunities. Indians in Silicon Valley: As per a recent survey, 23 of the Fortune 500 Company CEOs are of Indian origin. It has been reported that a business plan of a dotcom company in Silicon valley, U.S.A. receives higher priority if an Indian name associated with it. The successful India in Silicon Valley has organize themselves under the Indus Entrepreneurs Group (TiE). Government Encouragement: Since 1999 the Government of India has accorded thrust area status to the software sector. The Government has amended the Copyright Law to make it one of the toughest in the world; eliminated import duty on computer software; exempted profits derived from software exports from Income Tax etc. The Government of India has also set up innovative scheme like Software Technology Parks, etc., for promoting software exports. Infrastructure: A growing number of State Governments and cities are building hi-tech buildings and habitats to accommodate the ever increasing numbers of software companies and enterprises. These are in the form of intelligent habitats and buildings and include infrastructural support like high- class value-added data communication services, captive power, recreational facilities, etc. They incorporate state-of- art facilities viz. plug-and-play features. This is assisting companies to quickly set up their software operations in India. Global Research & Development: More and more multinationals are setting up their global R&D units in India, recognizing the immense power of local talent.
  60. 60. 60 2.WEAKNESSES Lack of Package Orientation: Although, a few companies have started making shrink-wrapped software packages, the industry as a whole is still not oriented towards development of world class 'shrink-wrapped' software packages. Thus, the industry is not able to take advantage of a multiplier effect for growth in revenues. Lack of Domestic Computerization: Lack of adequate computerization has led to a relatively weak domestic software market. Even, the PC penetration rate is very low. Lack of Internet Penetration: With low penetration of PC’s, it is obvious that Internet penetration is also poor. At the end of the year 1999, India could only boast of 6,10,000 Internet connections with about 2.1 million users. The recently announced Internet Service Provider policy is expected to improve the situation. Original Technology: The Indian software industry possesses the expertise to absorb and use the latest technology. However, barring a few exceptions, it has still not produced enough original technology breakthroughs. Succinctly put, the industry has not created original operating systems or new computer languages and technologies, which could be used globally . Project Management Skills: As the Indian software industry has been growing at a fast rate, most of the project managers are becoming entrepreneurs, thus creating a gap in demand and supply of project management skills. Venture Capital: In building a robust venture creation process, India still faces few constraints. To build a prolific venture community, India needs to focus on boosting all stages of venture creation process and have simplified procedures so that the domestic Venture Capital movement can flourish and overseas Venture Capital funds can be attracted. Localization: With the exception of isolated cases, not much exists in providing software applications in innumerable local languages. Thus, computer penetration in India is restricted to merely the English speaking population.
  61. 61. 61 3.OPPORTUNITIES Global Market: The market is large and rapidly changing-from a mix of legacy client server to web / package-based services. Market openings are emerging across I.T. services, software products, I.T. enabled services and E-businesses, and creating a number of new opportunities for Indian companies. Domestic Demand: The corporate, government and consumer sector of the Indian domestic market offers a U.S.$ 18 billion opportunity by 2008 to software and services companies. Outsourcing: The global outsourcing business was worth U.S.$ 77 billion in 1997 and has been growing at the rate of 15-18 percent per annum. A recent survey indicates that by 2002, more than 59 percent of the Fortune 1000 companies and other multinationals will outsource some part of their application development and maintenance activities. India can gain and corner a greater marketplace. E-Commerce/E-Business: India not only has a huge opportunity to service this market but also has a unique opportunity to address the needs of the NRI community around the world. Overseas Listings: India today commands a very high respect among investors in India and overseas. Almost all major overseas stock exchanges -are keen for Indian software companies to list themselves on their respective exchanges. This is a major opportunity for the Indian software industry to attract the requisite investments. Internet Service Provider (ISP) Policy: The recent permission to allow private ISP's operate in India and set up their own gateways will unprecedented Internet proliferation throughout India.
  62. 62. 62 4.THREATS Government Interference: In the past decade, the Government and industry have worked very well together in India for the success of the I.T. software and services industry. Now the Government's role needs to be increasingly directed towards providing suitable infrastructure and continuing its role in the simplification of policies. Any further plans for Government control, restrictions or undue interference could well pose a threat to the industry. Telecom Infrastructure: The immediate need of the hour in India is to have a world class telecom infrastructure at globally competitive tariffs. The Department of Telecommunications has taken a number of initiatives including the National Telecommunication Backbone, National Internet Backbone, and plans for providing high bandwidth Internet connectivity to remote corners of India. However, Government monopoly, lack of speed and adherence to archaic telecommunication rules and regulations can prove to be a threat to the industry. Lack of Speed: The world is moving at the speed of Internet. The decision- making and time taken for implementation in India needs to be at a much faster pace so that the Indian I.T. software and services industry does not lose any opportunities. Infrastructure: Although, the software industry is growing at a phenomenal rate, many other sectors in India have not yet been able to keep pace with it. Lately, almost all major cities are building hi-tech buildings to house the software industry. These buildings have state-of-art infrastructure, data communication facilities, captive power etc. But, lack of power, highways, housing and international airports is some cities has become a major constraint. Cost: Rising cost of infrastructure, basic amenities and salaries can pose a threat if not adequately balanced with value addition. Protectionism by Export Destinations: Many countries in North America and Western Europe are creating protective and non-tariff trade barriers, especially with regard to the movement of skilled manpower. Visa issues and non-tariff trade barrier may prove to be a threat. India should insist for removal of non-trade tariff barriers at WTO.
  63. 63. 63 3.2 COMPANY PROFILE MANASI SYSYTEMS TECHNOLOGIES Our mission • To provide highest and reliable quality of software solutions, Services, Globally. • To fulfill the organizational goals and Societical needs through innovation and creativity for professional satisfaction. The primary goal of Manasi Information Technologies would be towards acquiring the technology and know how for product development in the fields of wireless application, Internet/Intranet technologies, Client/Server, E-Commerce Solutions, Enterprise Resource Planning and the embedded technologies. The major player in this field would be 'ERP'. Apart from the above it will also act as a customized solution provider and consulting firm. Our team Manasi Information Technologies management team includes experienced, senior engineers and managers with a clear understanding of the bottom line of business. They understand the need for communication, clearly defined deliverables and the need to add real value to our clients operations. All Manasi Information Technologies managers have advanced technical degrees and significant experience delivering effective solutions on time. All engineers have an ongoing training regimen that keeps us abreast of the latest technologies. The strength of the team is built on its diversity in core skill sets our experience includes: • Working with start ups as well as Fortune 500 companies. • Development and management of both short term and long term projects. • Work experience around the globe including US, Europe & Far East. • Ability to Understand the real world of business & stretch your $$$ to the maximum. • Significant Operations and IT experience in a range of industries. • Get your projects done On -Time and In - Budget.
  64. 64. 64 • Technologies • Microsoft Technologies ASP.Net, C#.Net, VB .Net and XML Web Services. • Testing Manual Testing, Automation Testing. • Designing CorelDraw, Flash and Photoshop. • Scripting Language JavaScript and PHP. • Object-Oriented & Internet/E-Commerce Development Languages C++, Java/J2EE, C#, .Net. • Web Development & Web Design ASP. Net, JSP, D/HTML, CSS,Divtag’s, Photoshop, Dream weaver, Flash, JavaScript, Perl/CGI Script, • SEO Testing tools Applications that do not work in production can cost companies millions of dollars. Imagine how many potential customers would leave a web site if the links did not work properly. Sound quality assurance programs utilizing high-quality testing tools are required to ensure customer satisfaction. Manasi Information Technologies delivers a wide range of quality assurance and automated testing services featuring tools from major vendors including functional testing tools and scripting languages with tools such as QARun from Compuware, WinRunner from Mercury Interactive and Visual Test from Rational Software (IBM). Load testing tools and associated scripting languages on tools such as LoadRunner from Mercury Interactive, QALoad from Computerware, Webload from Radview Software and Traning Services. Manasi Information Technologies consultants are also skilled at managing the testing process with test data management tools such as File-Aid from Computerware for test data generation, extraction and comparison and TestBytes from Mercury Interactive and whitebox testing tools such as NuMega DevPartner for checking code complexity, code coverage and memory leaks.
  65. 65. 65 Services Manasi Information Technologies is committed to our clients business success. It’s that simple. Our clients need to optimize their IT investment to help them reach their business goals. Manasi Information Technologies employees are trained to ensure that the IT systems they build specifically are designed to help our clients achieve their goals. We know that IT systems are a means to an end, and we work with our clients to ensure that the systems we help them design, deploy and manage are perfect for their needs. We have experience in many areas of IT, across many platforms and in many industries. Our clients view us as partners. They know that we are as committed to their business success as they are. We get involved in their IT projects right from the beginning to ensure that requirements are clearly defined. In many cases, our clients trust us to help them define the requirements for them based on our years of experience and the many systems we have managed and successfully implemented. We do not take this trust lightly and give each individual project specific and focused attention. We do what we say we are going to do, on time and within budget. Implementing new information systems can be a risky and difficult undertaking. We work closely with our clients to ensure that we deliver what is expected. Our clients look to Manasi Information Technologies for excellence in design, deployment and implementation. That’s what we deliver. Quality Assurance Quality assurance is a critical concern for companies that either produce commercial software or develop internal applications. Billions of dollars are wasted every year due to applications that do not work, are faulty, or do not perform adequately. In order to ensure that their people are productive and that customers are satisfied, companies need to implement quality assurance programs.
  66. 66. 66 It makes sense to outsource the quality assurance process to highly skilled QA professionals. The quality assurance process includes test plan development; software requirements verification; application integration, regression, and performance testing; and load or stress testing. Project Management Many companies are looking to bring on highly skilled, well trained IT consulting organizations to manage projects for them. It makes sense to do so for economic, logistic and practical reasons. Companies do not have time to experiment and need to ensure that their IT projects are implemented correctly and on time. They need to design, deploy and manage the right projects on time and under budget. This is a primary reason why companies look to Manasi Information Technologies for superior project management. Manasi Information Technologies creates and implements working solutions for our clients by interacting with all levels of management where appropriate. Our consultants have extensive hands-on experience in business and management practices to help your organization implement projects the right way. Manasi Information Technologies consultants take a complete view of what’s needed to ensure IT projects are implemented in the most professional manner. Normal steps in the Manasi Information Technologies project management process may include: • Compile detailed requirement analysis and scope of the project. • Project Life-Cycle Development and Control. • Research and Development related to technology and service deliverables. • Risk analysis. • Cost analysis, estimates and financial control. • Role and responsibility planning. • Contract administration and documentation control. • Implementation planning & project procedure scheduling. • Timeframe planning. • Utilization of technical resources. • Coordination of management & progress meetings. • Coordination of outsourced consultants and entities. • Communication procedures. • Quality control. • Training & skills transfer. • Technical documentation.
  67. 67. 67 Training services Manasi Information Technologies is a leading Online/Onsite/In-house/ Physical classroom training expert. Over years, our varied cost-effective, customized and time-saving training methods in varied areas of IT. Manasi Information Technologies E-Learning offers a varied high-end IT related courses. Instructor-led, E-Learning offers the perfect combination of convenience, affordability, and technology. Being online, the trainings are guaranteed to be latest (very much current) and support is just a click away. Our online training is the masters in terms of Quality and approaches within the time limits and is cost effective, using latest driven technologies, proven methodologies for the Global clients. We also provide quality In-house and Onsite training sessions for individuals as well as corporate. These courses are tailor-made catering to your needs, considerably reducing your time and cost involved. Manasi Information Technologies Info has delivered a full range of IT training and business skills training through innovative learning methods that have transformed businesses and helped many students and corporate’s reach their goals. BPO Manasi BPO Services is an equal opportunity company providing BPO & Call centre (Customer service) jobs. Every employee of the organization will have a challenging job to play and perform. Performance is monitored to reward and relish the employees. Manasi is a young organization that believes in long-term relationship with their employees. We are looking for young and dynamic employees for our BPO, Call Centre, Web related services and KPO jobs to grow with the company and keep the company young for many years. We understand the contribution of employees for the company’s prosperity and hence we provide them with attractive remuneration, welfare measures and a good working atmosphere. This installs a sense-of-belonging with them. Manasi has a friendly work culture with flat levels of
  68. 68. 68 hierarchy. Our employees are entitled to a variety of incentives which are performance based and are in addition to the fixed compensation structure thereby motivating the employees to perform aggressively to the best of their capabilities. Company Manasi Information Technologies is a leading global provider of technology that strengthens client innovation. We currently offer services to our client’s through out the world. Our nature of work involves Software Development, Maintenance, Outsourcing and BPO. We have established practices in Enterprise Applications, Customer Facing Applications, Business intelligence Applications and E-Business Solutions. We as a professional software-development company is highly concerned with the quality of our solutions and services. Moreover, our team constantly works on developing and improving our service performance to satisfy our customers and maintain long-term cooperation with them. We are totally committed to ensure highest quality standards and to understand changing customer needs. At Manasi Information Technologies we are striving to understand changing customer needs, and enrich their quality of life by simply making the technology readily usable for them. Resource Our clients hire and re-hire us because we provide some of the most high performing, highly skilled IT professionals in the industry. Our employees are our major strength, which means our clients benefit from a well trained, conscientious, and diligent work force. Manasi Information Technologies employees are extremely talented and experienced in the IT industry, and with an average experience level of 6+ years our people can resolve the most critical IT issues for our clients. More than half of our employees have certifications in their respective domain areas
  69. 69. 69 Our employees are committed to our clients’ success. Manasi Information Technologies employees want to ensure that your IT systems help you meet and exceed your business goals. With domain expertise in many vertical industries, Manasi Information Technologies professionals understand the role that IT plays in your specific market. Why Manasi systems Technologies Manasi Information Technologies is committed to our clients business success. It’s that simple. Our clients need to optimize their IT investment to help them reach their business goals. Manasi Information Technologies employees are trained to ensure that the IT systems they build specifically are designed to help our clients achieve their goals. We know that IT systems are a means to an end, and we work with our clients to ensure that the systems we help them design, deploy and manage are perfect for their needs. We have experience in many areas of IT across many platforms and in many industries. Our clients view us as partners. They know that we are as committed to their business success as they are. We get involved in their IT projects right from the beginning to ensure that requirements are clearly defined. In many cases, our clients trust us to help them define the requirements for them based on our years of experience and the many systems we have managed and successfully implemented. We do not take this trust lightly and give each individual project specific and focused attention. We do what we say we are going to do, on time and within budget. Implementing new information systems can be a risky and difficult undertaking. We work closely with our clients to ensure that we deliver what is expected. Our clients look to Manasi Information Technologies for excellence in design, deployment and implementation. That’s what we deliver. Grievance handling: Financial Investment products tend to be tricky and complex without proper guidance. Even after the investment has been made, there are many processes and intricacies which needtobehandledeffectively. We have tried to set in a system where you can place your queries on our client queries and grievance redressed module which makes investing for our clients, a simple process. In this module response is given to all queries within 1 hour. If within 36 hours a
  70. 70. 70 client's query is not addressed, intimation is made to the management and it is personally resolved by our CEO. We have an exclusive set of professionals taking care of client grievances. You can view the status of your grievances online as well. Consolidation: If someone were to ask you your Manasi as of today, you would probably have to go through a stack of your statements for various investments and track the income generated as of today for those investments to ascertain the same. You have no way out other than stacking all your documents. This not only creates paper work duplication but also makes maintaining your investment details difficult. Financial planning: Whatever may be your goals, without a Financial Plan in place it's impossible to achieve them. We help you achieve them through our proprietary Financial Planning Process - my plan. It helps you achieve your life goals in a systematic & scientific manner. 1. Identify&Prioritize Together we will mutually define your personal and financial goals, understand your time frame for results and discuss, if relevant, how you feel about risk. Post that we will prioritize them and draw up a clear picture for your financial future. 2. Collate We will collate and review all the necessary documents such as investments, tax returns, insurancepolicies,retirementplansetc. 3.Analyze We’ll analyze your information to assess your current situation and determine what you must do to meet your goals. This could include analyzing your assets, liabilities and cash flow, current insurance coverage, investments or tax strategies and how these elements mayimpacteachother. 4.Recommend We’ll provide recommendations that address your goals. We’ll also go over the recommendations with you to help you understand them so that you can make informed decisions. We’ll understand your concerns and revise the recommendations as appropriate.
  71. 71. 71 5.Act Mutually we will agree on how the recommendations will be carried out. We may carry out the recommendations or serve as your "coach", coordinating the whole process with you. 6.Track As goals and needs evolve over time, we’ll track your progress as part of the ongoing process and make necessary modifications. Key executives: S.No Name Designation 1 Vijay Marupaka President 2 Hari Babu Vice President 3 Rishi Khanna Vice President (Finance) 4 Srinivas Reddy CEO 5 Madhusudhan Reddy Director Products: Product Name Year Month Sales Quantity Sales Value(Rs.Million) % of STO Income from Operations 2011 03 0.00 440.54 100.00
  72. 72. 72 MANASI – PRODUCTS / SERVICES PRODUCED: Here the products means services related to the company software Services. MANASI – MARKET RESEARCH: Market research is one of important Methodology for finding the problem and make analyze and interpret and solve the problem. In every area it has sharing the contribution towards successing the projects. In the MANASI company has also adopted this technique by Research analysts to those brokers utilizes and understands their researches then they will moving in a right path. The research analysts analyses the company performance and what are the company’s stock are moving why the company’s scripts prices are fluctuating and what are the effect for this situations under the circumstances. Then the company successfully operating their activities produce of good operating Results. MANASI – OPERATING RESULTS: The Operating Results of the MANASI company is satisfactory compare to its competitors are Sumas IT Corp, Srihitha technologies, intershee technologies etc., They are giving quality services to their clients and improving their retained gains. Through this they are creating new clients through adopting different strategies for attracting the clients towards its business then its future glorious.
  73. 73. 73 Date of Establishment 1995 Revenue 9.82679 ( USD in Millions ) Market Cap 463.86508 ( Rs. in Millions ) Corporate Address 8-2-293/82/B/7, Road No 10C, Gayatri Hills Colony, Jubliee Hills, Hyderabad – 500 033 Business Operation US IT Staffing and Software Development. Background Incorporated on December 2, 1995, Manasi Systems Pvt. Ltd is one of the major IT staffing company in India. Manasi offers staffing solutions to various clients in US and also provide development services. Financials Total Income - Rs. 489.259175 Million ( year ending Mar 2010) Net Profit - Rs. -83.819899 Million ( year ending Mar 2010) Company Vice President Hari Babu Auditors Ram Murthy
  74. 74. 74 ORGANIZATION STRUCTURE IN MANASI The organization structure of MANASI is very wide and deeply rooted so as to serve its corporate and individual clients and also to fulfill targets set by the company. If we go through the organizational chart of MANASI, we can understand the structure, components and way of administration. For the benefit of the study, one has to see through the organizational chart with meticulous thinking. As far as the overall administration of MANASI is concerned, mainly there are three categories: Top Level Management Middle Level Management Operations Team Broadly the Operational Organization Hierarchy at MANASI can be defined as follows: President Vice President Vice President (Operations) CTO CEO General Manager
  75. 75. 75 HUMAN RESOURCE STRUCTURE The personnel wing is supposed to be the flush and blood of any organization. As usual, there is a personnel offices being assisted by assistant manager administration under his control there are four general managers so as to handle the personnel of the organization. RECRUITMENT The recruitment policy in MANASI is very clear. The policy and procedure followed towards recruitment of its employee is much depended upon merit and expertise in the employees. The employment as provided basing upon the service rules and commissions, which are is vague. Initially employees from animal husbandry department were given employment and in due course employees from industrial and treasury was also preferred. As the organization developed in its structure, by leaps and bounds there was death of efficient and sufficient employees. So as to bridge the gap, the doors were open towards the employment of candidate’s on the basis of deputation. With regards to the recruitment of the supervisor and other works un different cadre, the federation follows the present rules and regulations. As pre the implementations of the reservations, the federation is very meticulous and there is no co, promise and deviation from all directions. The communication from the government of A.P with regards to the policy of reservations. SELECTION POLICY & PROCEDURES FOR DIFFERENT CADRES OF EMPLOYEES. Normally the selection of employees into this federation is by two different ways. One is through selection committee examination and the other is through district collector selections. Normally the application from the aspirants where analyzed and the deserving candidates would be called for interview. Towards this purpose, a selection committee would be constituted. After the completion of medical test and other formalities, the appointment orders would be issued for the eligible and selected candidates.
  76. 76. 76 INDUCTION: Induction is also called as orientation. Induction is designed to provide a new employee with the information that he/she needs to function comfortably and effectively in the organization. Generally orientation contains 3 types of information. • General information about daily work routine. • A review of the organization history. Objectives, operations and products or a service as well a how the employee’s job contributes to the need of the organization. • A detail presentation in the form of a brochure of the organization work rules and benefits extended to its employees. PLACEMENT OF PROBATION: After the employees has been inducted & oriented, he/she must be place in his/ her right job. Placement of understood as the allocation of people to jobs. It is the assignment or reassignment of an employee to a new or different job. Generally placements include initial assignment of new employee and the promotion, transfer of dermation of present employees. Normally the probation period is one or two years. This means the period of one year of probation is set in a continuous period of two years

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