A PROJECT REPORT ON RECRUITMENT AND SELECTION PROCESS IN ‘FMCG’ SECTOR Under the Supervision of Ms. xxxxxxxxx In the partial fulfillment of the requirement for the award of Degree of Master of Business Administration of xxxxxxx, xxxxx (Batch xxx) Submitted By: xxxxxxxx MBA 2 nd SEMESTER SECTION B xxxxxx 1
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APROJECT REPORT
ON
RECRUITMENT AND SELECTION PROCESS IN ‘FMCG’ SECTOR
Under the Supervision of
Ms. xxxxxxxxx
In the partial fulfillment of the requirement for the award of
Degree of Master of Business Administration
of
xxxxxxx, xxxxx (Batch xxx)
Submitted By:
xxxxxxxxMBA 2nd SEMESTER
SECTION B xxxxxx (2009 – 11)
1
ACKNOWLEDGEMENT
I avail this opportunity to express my deep sense of gratitude and sincere thanks to
esteemed Ms. xxxxxxx (Professor, Human Resource management) for her precious
guidance, constant inspiration, intelligent critics and sustained encouragement, which
helped me to carry out this dissertation. The first and foremost factor, which motivated
me to do the project, is sincere direction and magnanimity of my Project Guide Ms.
xxxxxx. A work of this nature would not have been possible without the perpetual
encouragement received from her. I am extremely grateful for her kind gesture, which I
will remember throughout my whole carrier.
This work is an outcome of whole hearted inspiration, valuable encouragement of Faculty
of Human Resources of xxxxxxxxxx.
Above all I owe a debt of gratitude to my parents for their encouragement. At last but not
least, I am thankful to all the persons who have directly or indirectly co-operated me for
this work.
Xxxxxxx
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Table of Content
Sr no. Pg. No.
1. Introduction to recruitment and selection…………….. 04
Recruitment………………………………………. 05
Selection………………………………………........10
Process of recruitment and Selection ………… 12
2. What are FMCG Goods………………………………… 15
3. Indian FMCG Sector..…………………………………... 16
Top Ten FMCG Companies in India ………........ 17
Recent Developments in Indian FMCG Sector…. 20
4. Introduction to UNILEVER………………………......... 22
Recruitment & Selection process of UNILEVER.. 23
5. Introduction to P & G ………………………………… 25
Recruitment & Selection process of P & G ……… 27
6. Conclusion………………………………………………… 30
7. Bibliography…………………………………………........ 31
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Introduction to Recruitment and Selection
Finding and keeping the right people is one of the biggest and most important business
challenges this decade. But it’s a challenge organizations really need to get to grips with.
An organization’s real advantages over its competitors lie not so much in its products,
services or technology, but in its people.
So, to achieve goals, an organization needs to pinpoint what people, skills and abilities it
needs now and in the future. It wants the right person for the right job every time it
recruits. On the human resources front, productivity can be improved by ensuring that the
organization attracts the best talent at the lowest possible cost. This objective translates
into the adoption of the best recruitment and selection methods and instituting measures
to retain and develop them.
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RECRUITMENT
Recruitment is defined as, “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 numbers to facilitate effective selection of an efficient workforce”.
Objectives of Recruitment
To attract people with multi-dimensional skills and experiences that suits the present
and future organizational strategies.
To induct outsiders with a new perspective to lead the company.
To infuse fresh blood at all levels of the organization.
To develop an organizational culture that attracts competent people to the company.
To search for talent globally and not just within the company.
To design entry pay that competes on quality but not on quantum.
To anticipate and find people for positions that does not exist yet.
Sub-System of Recruitment
The recruitment consist of following sub functions:-
Finding out and developing the sources where the required number and kind of
employees will be available.
Developing suitable techniques to attract the desirable candidates.
Employing the techniques to attract candidates.
Stimulating as many candidates as possible and asking them to apply for jobs
irrespective of number of candidates required.
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Factors Affecting Recruitment
The first activity of recruitment i.e. searching for prospective employees is affected
by many factors like:-
Organizational policy regarding filling up of certain percentage of vacancies by
internal candidates.
Local candidates (sons of soil).
Influence of trade unions.
Government regulations regarding reservations of certain numbers of vacancies
to candidates based on community/region/caste/sex
Influence of recommendations, nepotism etc. As such, the management is not
free to find out or develop the source of desirable candidates and alternatively
it has to diver its energies for developing the sources within the limits of those
factors through it cannot find suitable candidates for the jobs.
Sources of Recruitment
1 . Internal Sources of Recruitment
a) Present Permanent Employees:
Organizations consider the candidates from this source for higher level jobs due to:
1. Availability of most suitable candidates for jobs relatively or equally to the external
source.
2. To meet the trade union demands.
3. To the policy of the organization to motivate the present employees.
b) Present Temporary or Casual Employees.
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Organizations find this source to fill the vacancies relatively at the lower level in
order to motivate them on the present job.
c) Retrenched or Retired Employees:
. The organization takes the candidates for employment from the retrenched employees
due to obligation, trade union pressure and the like .Sometimes the organizations prefers
to re-employ their retired employees as a token of their loyalty to the organization
d) Dependents of Deceased, Disabled, Retired and Present Employees:
Some organizations have a view to develop the commitment and loyalty of not
only the employee but also his family members and to the dependent of deceased,
disabled and present employees.
2. Internal Methods of Recruitment
a) Job Posting: When a human resource requisition form is received, a memo should be
written to appropriate supervisor stating that a job vacancy exist. A copy of the memo
should be posted on all notice boards by the supervisors so as to ensure that the
employee who might qualify is made aware of the job.
b) Employee Referral Schemes: Employee referral schemes or personal networking for
some firms are the preferred means of recruitment, as they can select employees after
judging their ability to fit into their work culture.
c) Promotions and Transfers:
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Promotion is a move from employee’s current position into a different
position into a higher salary grade and a transfer is a move to any other job in
another department. A transfer can be to a higher level or the same level.
3.External Sources of Recruitment
a) Campus Recruitment:
Different types of organizations can get inexperienced candidates of different
types from various educational institutions like Colleges and Universities
imparting education in Science, Commerce, Arts, Engineering etc.
(b) Private Employment Agencies/ Consultants:
Private employment agencies perform the recruitment functions on
behalf of a client company by charging fee. Most of the organizations depend on
this source for highly specialized positions and executive positions.
(c) Public Employment Exchange:
The Government has set-up Public Employment Exchange in the country to
provide information about vacancies to the candidates and to help the
organizations in finding out suitable candidates.
4. Casual Applicants: Depending upon the image of the organization, its prompt
response, participants of the organization in the local activities, level of unemployment,
candidates apply casually for jobs through mail or hand over the applications in
Personnel Department.
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5. Similar Organizations:
Generally, experienced candidates are available in organizations producing similar
products or engaged in similar business. The management can get most suitable
candidates from this source.
6. Trade Unions :
Generally, unemployed or underemployed persons or employees seeking change in
employment put a word to the trade union leaders’ with a view to getting suitable
employment. In view of this fact and in order to satisfy the trade union leaders, managers,
management enquires with the trade unions for suitable candidates.
7. Employment Advertisement:
Advertisements are taken out in newspapers, magazines, specialized journals, etc. by a
large number of companies to enable the employee to reach out to a large target audience.
8. Online Recruitment:
Recruitment websites and software make possible for managers to access information
that is crucial to managing their staff. Such websites have facilities where prospective
candidate can upload their CVs and apply for jobs suited to them. Such sites also make it
possible for recruiters and companies to post their staffing requirements and view profiles
of interested candidates.
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SELECTION
After identifying the sources of human resources, searching for prospective employees
and stimulating them to apply for jobs in an organization, the next action to be taken by
the management is to perform the function of selecting the right employees at the right
time. The selection procedure is the system of functions and devices adopted in a given
company to ascertain whether the candidates’ specifications are matched with the job
specifications and requirements. The selection procedure cannot be effective until and
unless,
1. Requirement of the job to be filled, have been clearly specified.
2. Employee specifications (physical, mental, social, etc) have been clearly
formulated.
3. Candidate for screening have been attracted.
Significance of Selection Process
Selection of personnel for an 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 programs. In a
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/she is a valuable asset to the organization and if faulty selection is made, the
employee will become a liability to the organization. The process of personnel selection
involves collecting information about individuals for the purpose of determining
suitability for employment in a particular job.
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Methods Used In Selection Process
(a) Interviews:
A selection procedure designed to predict future job performance on the basis of
applicants’ oral inquiries. It is useful in determining if the applicant has requisite
communicative or social skills which may be necessary for the job.
(b)Personality Test:
Personality tests typically measure one or more of five personality dimensions:
extroversion, emotional stability, agreeableness, conscientiousness and openness to
experts.
(c) Cognitive Ability Tests:
These are paper and pencil or individualized assessment measures of an individual’s
general mental ability or intelligence. These tests may be characterized as General
Intelligence Tests and Aptitude Tests.
(d) Work Sample Tests:
They are designed to have high content validity through a close relationship with the job.
observed under similar situations. These tests require the examinee to perform tasks that
are performed on the job.
(e) Assessment Centre:
An Assessment Centre can be defined as,” a variety of testing techniques designed to
allow candidates to demonstrate, under standardized condition , the skills and abilities
that are most essential for success in a given job”. They usually have some sort of in-
basket exercise which contains contents similar to those which are found in the in-basket
for the job which is being tested.
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PROCESS OF RECRUITMENT AND SELECTION
1. Job Description:
Job descriptions are lists of the general tasks, or functions, and responsibilities of a
position. Typically, they also include to whom the position reports, specifications such as
the qualifications needed by the person in the job, salary range for the position, etc.
2. Employee Specification:
Job description can be the basis for employee specification.
This describes the attributes needed by a person best suited to perform the duties of the
job or to fill the role. It is an indication of attainment, achievement, abilities and aptitudes
needed to enable an individual perform a task to the required standard and to achieve the
desired objectives.
3. Attracting Candidates:
Recruitment is about attracting candidates who are qualified and capable of carrying out
the job, in the context of the employing organization. This is when the potential
candidates are told about the vacancy and encouraged to express their interest in the job.
4. Making Decisions:
The presentation as well as the content of the application influences the recruiter when
making short listing decisions. If good quality information is given to the candidates
before the start of appointment, chances of the appointment being successful are
increased. Hence this helps the recruiter in making judgments about the applicants.
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5. Initial Screening:
If the recruiting effort has been successful, recruiters will be confronted with a number of
potentials applicants. Based on the job description and job specification, some of the
respondents can be eliminated by sharing the job description information with the
individual.
6. Completion of Applications Form:
Once the initial screening has been completed, applicants are asked to complete the
organization’s application form. In general terms, the application form gives a synopsis
of what applicants have been doing, their skills and their accomplishments.
7. Employment Tests:
An employment test is a means of assessing a job applicant’s characteristics through
paper-and-pencil responses or exercise. Three major types of tests used in the selection
process are ability, personality and performance tests. Ability tests measures mainly
mental, mechanical and clerical abilities or sensory capacities, personality tests are means
of measuring characteristics, such as patterns of thoughts, feelings and behaviors.
Performance tests are means of measuring practical ability on a specific job.
8. Comprehensive Interview:
The applicant may then be interviewed by the personnel department interviewers,
executives within the organization, potential supervisors, or colleagues. The
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comprehensive interview is designed to probe into areas that cannot be addressed by the
application form or tests.
These areas consist of assessing one’s motivation, ability to work under pressure and
ability to fit in with the organization.
9. Background Investigation:
This steps includes contacting former employers into confirm the candidates work record
and to obtain their appraisal of the performance in the previous job. It also includes
verifying the educational accomplishments shown on the application and contacting
personal references.
10. Physical Examination:
The applicants may have to take a physical examination which is intended to screen out
those individuals who are unable to comply physically with the requirements of the job
and the organization.
11. Final Employment Selection:
Those who perform in the entire above steps are considered or eligible for employment.
The actual hiring decision is made by the Manager in the department that has the position
open.
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FMCG Sector
What are Fast Moving Consumer Goods (FMCG)?
Products which have a quick turnover, and relatively low cost are known as Fast Moving
Consumer Goods (FMCG). FMCG products are those that get replaced within a year.
Examples of FMCG generally include a wide range of frequently purchased consumer
products such as toiletries, soap, cosmetics, tooth cleaning products, shaving products
and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper
products, and plastic goods. FMCG may also include pharmaceuticals, consumer