Effectiveness of Recruitment and Selection at Ongc

PROJECT REPORT

ON

EFFECTIVENESS OF SELECTION AND

RECRUITMENT PROCESS IN ONGC

FOR THE PARTIAL FULFILLMENT OF THE REQUIREMENT

FOR THE DEGREE OF

“MASTERS OF BUSINESS ADMINISTRATION”

UTTARANCHAL INSTITUTE OF TECHNOLOGY

(Approved by AICTE, Affiliated to Uttrakhand Technical University)

SUBMITTED TO: SUBMITTED BY:

Ms. SHILPI MITTAL KISHORE SINGH

FACULTY U.I.T. M.B.A UIT (2010-2012).

CERTIFICATE

I have the pleasure in certifying that Mr.Kishore Singh is a bonafide student of semester of the

MASTER'S Degree in Business Administration of Uttaranchal Institute Of technology,

Dehradun underclass roll no. 22

He has completed his summer training project entitled EFFECTIVENESS OF SELECTION

AND RECRUITMENT PROCESS IN ONGC under my guidance.

I certify that this is his original effort and has not been copied from any other source. This

project has also not been submitted in any other university for the purpose of award of any

degree.

The project fulfills the requirement of the curriculum prescribed by UTTARAKHAND

TECHNICAL UNIVERSITY, Dehradun for the said course. I recommend this project work for

evaluation.

Signature: ………………………

Name: ……………………………………………………

Date:

2

STUDENT DECLARATION

This project report has been under taken as a partial fulfillment of the requirement of the award

of the degree of the “Master of Business Administration “Uttarakhand Technical University,

Dehradun.

This project was executed during 3rd Sem. of MBA program under the supervisions of Ms. Shilpi

Mittal.

Further I declare that this project is my original work and the analyses are for academic purpose

only. This project has not been present in any seminar or submitted.

ACKNOWLEDGEMENT

3

The satisfaction and euphoria that accompany a successful completion of

any task would be incomplete without mentioning the people who made it

possible whose consistent guidance and encouragement crowned the

efforts with success.

I would like to thanks for the faculty guide MS. SHILPI MITTAL, Uttranchal

Institute of Technology, (Dehradun), for her guidance and motivation,

which is pivotal in completion of my summer training report.

I would express my thanks to ONGC as I troubled them through my

queries at some stage of their work. I am really thankful for their patience

with which they resolve my doubts in between their busy schedule; I

express my sincere thanks to all of them.

Last but not least, I feel indebted to all those persons who have provided

help directly or indirectly in successful completion of this study.

KISHORE SINGH

4

TABLE OF CONTENTS

1. Acknowledgement ……………………………………………04

2. Abstract ……………………………………………...06

3. Introduction

3.1) Objective ……………………………….....................

3.2) Need of the study.........................................................

3.3) Company profile …………………………………….

3.4) Industrial profile …………………………………….

3.5) Limitation ……………………………………………

4. Methodology …………………………………………...

4.1) Data Collection ………………………………………..

4.2) Sample Size ……………………………………………

5. Findings and suggestions

6. Conclusion ...…………………………………………………...

7. Suggestions..................................................................................

8. Recommendations ……………………………………………..

9. References ………………………………………………….

10. Appendices

10.1 Questionnaire …………………………………………….

10.2 Bibliography……………………………………………...

5

PREFACE

As an integral part of the curriculum , I student of M.B.A , needed to get

exposed to the actual human resources environment to get a better

understanding of Human Resources Management by way of undergoing

practical training.

I consider myself fortunate enough that I had an opportunity to get practical

training at the Human Resource Dept, ONGC, Dehradun, for gaining

substantial knowledge of “A STUDY ON RECRUITMENT AND

SELECTION PROCESS IN ONGC”.

A progressive & forward-looking organization strives for the Improvement of

the system & procedures so as to improve the organizational effectiveness.

ONGC is one the pioneers in Exploration, Drilling and Production of Oil &

Natural Gas.

Human Resource is the major asset of any organization. ONGC has 38000

employees. Management of such a vast number requires a proper mix of

human, technical and conceptual skills to be effective and meet the

organizational goals.

6

ABSTRACT

The research work aims at identifying the facility management at ONGC,The research work aims at identifying the facility management at ONGC,

Dehradun. During this research senior executives were interviewed and aDehradun. During this research senior executives were interviewed and a

survey was conducted through a questionnaire prepared to map the currentsurvey was conducted through a questionnaire prepared to map the current

status of facility management contract which was introduced about onestatus of facility management contract which was introduced about one

year back. An effort was made to know the employees’ opinion about theyear back. An effort was made to know the employees’ opinion about the

facility management systems at ONGC, Dehradun.facility management systems at ONGC, Dehradun.

On the basis of the research it is found that most of the employees feel thatOn the basis of the research it is found that most of the employees feel that

there some improvement required in the contract which is given to them.there some improvement required in the contract which is given to them.

There is no immediate action taken by the company after the complaintsThere is no immediate action taken by the company after the complaints

are lodged in.are lodged in.

An attempt was also made to project the services provided to the An attempt was also made to project the services provided to the

employees and there satisfaction level by the contract. To know do employees and there satisfaction level by the contract. To know do

employees think that there should be some modification for improvement. Itemployees think that there should be some modification for improvement. It

is recommended that quick action should be taken as the complaints are is recommended that quick action should be taken as the complaints are

lodged and there should be separate contract for different premises. lodged and there should be separate contract for different premises.

7

INTRODUCTION

OBJECTIVE

To know the recruitment and selection process in ONGC,

Dehradun.

8

NEED OF THE STUDY

To know that the procedure of recruitment.

To know that what problems are faced by the candidates

during recruitment.

To know after selection proper training is given by the

company

To know all level of recruitment procedure in ONGC.

9

COMPANY PROFILE

Oil & Natural Gas Corporation Limited (ONGC) is one of the world’s

largest integrated exploration and production companies, having the

right expertise in exploration, drilling technology, reservoir studies,

engineering and ocean technology-dorm of over 4 decades of

experience. ONGC is producer of more then 22 Million Tones of oil.

ONGC has set up seven exclusive institutes to meet its R&D needs

and consultancy supports in all the areas of hydrocarbon sector, from

exploration to exploitation, multi- dimensional expertise in diverse fields

of upstream petroleum industry. ONGC institutes integrated services

(OISS) is a common platform for these institutes and provide

synergetic expertise in all the areas of upstream oil sector through

single window service, of international standards in terms of quality,

reliability, cost effectiveness and time consciousness.

ONGC has made important oil-gas discoveries in the country and

today the numbers of discovered fields are around 200. ONGC is

ranked among top 20 oil companies in the world and is ranked 1st

according to its net worth, reserves and profits. ONGC, which has

been granted the status of “NAVRATNA” is one of the eleven elite

public sector organization selected for development as global giants,

and may be accorded the status of “MAHANAVRATNA”.

Today, ONGC is Fortune2000 Company, the most valuable company in

India (by market capitalization) contributing 77% of Indian crude oil

production & 81% of India total gas production. It is the highest profit-

making corporation in India.

10

ONGC VISION

“To be a world class oil and natural gas Company integrated in

energy business dominant Indian leadership and global presence.”

ONGC MISSION

Earlier ONGC’s Mission was “to stimulate, continue and accelerate

exploration efforts to develop and maximize the contribution of

hydrocarbons to the economy of the country”.

But with the Liberalization and Globalization in the economy, it

changed its mission. Now it is:

WORLD CLASS COMPANY -

Dedicated to excellence by leverage competitive advantages in R& D

and technology with involved people.

Imbibe high standards of business ethics and organizational values.

Abiding commitment to health, safety and environment to enrich

quality of community life.

Foster a culture of trust, openness and mutual concern to make

working a stimulating and challenging experience for our people.

Strive for customer delight through quality products and services.

11

I NTEGRATED IN ENERY BUSINESS-

Focus on domestic and international oil and gas exploration and

production business opportunities.

Provide value linkages in other sector of energy business.

Create growth opportunities and maximize shareholder value.

DOMINANT INDIAN LEADERSHIP -

Retain dominant position in leadership in Indian petroleum sector and

enhance India’s energy availability.

ONGC OBJECTIVES

Optimize production of hydrocarbons.

Self-reliance in technology.

Promoting indigenous effort in oil and gas related equipment, material

and services

Assist in conservation of hydrocarbons, more efficient use of

energy and development of alternate sources of energy.

Develop scientifically oriented and technically competent human

resource through motivation and training.

SPECIALIZATION AREAS OF ONGC

Geo chemical studies, Bio-stratigraphic analysis.

Basic evaluation, prospect generation & techno-economic analysis.

Formation evaluation and reservoir modeling.

12

Estimation of reservoir and reserves.

Application of secondary recovery and EOR techniques.

Drilling operations including horizontal and drain hole.

Well loading operations.

Reservoir management.

Design erection & maintenance of oil and gas production installation.

Artificial Lift design. Down whole completion system.

Stimulation techniques.

Long distance transportation of oil and gas.

Erection and maintenance of oil sweetening plants.

Corrosion studies in offshore structure.

Training of manpower.

Engineering and construction of offshore, platforms and pipelines.

Equipment management and quality assurance.

Safety audits and environmental studies.

MAJOR PRODUCTS OF O.N.G.C

Crude Oil.

Natural Gas.

Liquefied petroleum Gas.

Natural Gasoline.

Ethane/Propane.

Achromatic Naphtha.

Superior Kerosene Oil.

13

ONGC AS “NAV RATAN COMPANY”

The liberalization of Indian economy and the consequent drive of

integration with world market have thrown up a plethora of opportunities

for ONGC to become globally competitive and access global markets.

The Indian Government has identified ONGC as leading ‘Navratna’ (Nine

Jewels). To support in its drive to become Global giant by granting

enhanced automation and delegation of powers.

The envisioned future of ONGC becoming a leading Global energy

company makes its imperative to move from the era of sole

ownership to partnership fostering the principal of extending enterprise

and adopts a growth strategy, which resolve to:

Rely on company skills & positional assets.

Focus on core business areas.

Opportunity specific diversification.

Strategic alliance/joint venture with preferred partners.

Market Focus: Domestic and overseas E & p, related and other

segment of energy sector.

Ensure highest possible levels of customer satisfaction through

quality, service and values.

Company promotion to achieve the image of most preferred

business ally/ service provider/ employer.

Natural consequences of the above growth strategy for both

medium & long term would be that ONGC would continue to

14

access E&P business both in the domestic and international

sectors.

Strive to reach out to opportunities specific related of downstream

sector, core competence service business, energy and other

sector in general.

15

INDUSTRIALPROFILE OF ONGC

During the pre-independence period, the ASSAM oil company in the

Northeastern and at tock Oil Company in northwestern part of the

undivided INDIA was the only oil producing oil in the country, with

minimal exploration input. The major part of INDIAN sedimentary basis

was seemed to be unfit for development of oil and gas resources.

In India, prospecting of oil started in upper Assam. Systematic drilling for oil

began in upper Assam in 1866. Oil was struck at Makum, near

Margherita at a depth of 36 meters on 26th March, 1867. In 1890; oil was

discovered at Borbline (later known as Digboi) in Assam. Before

independence, oil (black gold) was myth in India. After independence in

1954, the Ministry of Natural Resources & Scientific Research decided

to set up a separate Petroleum Explanatory Division in the Geological

Survey of India.

The Govt. of India in 1955 decided for setting up a separate

organization for Oil Exploration. Oil & Natural Gas Directorate was

established in 1956 & Dehradun was selected as the headquarters of

this Directorate. After that the Oil & Natural Gas directorate was

converted into a high powered Commission on August 14, 1956.

16

On October 15, 1959 the Commission became a statutory autonomous

body by an act of the Parliament to take over the activities of the

Oil & Natural Gas Directorate.

The main function of Oil & natural Gas Commission subject to

provision of the act, were “To plan, promote, organize & implemented

program for development of Petroleum Resources and the production

sale of Petroleum & Petroleum products produced by it, and to

perform such other functions as the Central Government may, from

time to time, assign to it. The act further outlined the activities and

steps to taken by ONGC in fulfilling its mandate.

1961-1990

Since its inspection ONGC has been instrumental in transforming the

country’s limited upstream sector into a large viable playing field, with

its activities spread throughout India & significantly in overseas

territories. In the inland areas, ONGC not only found new resources in

ASSAM but also established new oil province. Combay basin

(GUJRAT), while adding new petroliferous areas in the ASSAM –

ARAKAN fold belt and east cost basins (both inland & offshore).

ONGC went offshore in early 70’s and a giant oil field in the form of

BOMBAY high, now known as MUMBAI HIGH. The discovery, along

with subsequent discoveries of huge oil & gas in western offshore

changed the oil scenario of the country. Subsequently, over 5 billion

tones of hydrocarbons, which were present in the country, were

discovered. The most important contribution of ONGC, however, is its

17

self- reliance & development of core competence in E&P activities at

a globally competitive level.

AFTER 1990

The liberalized economic policy, adopted by the government of India

in July 1991, sought to deregulate and de-license the core sector

(including petroleum sector) with partial disinvestments of government

equity in public sector undertaking and other measures. As a

consequence thereof, ONGC was re-organized as a limited company

under the companies act, 1956 in February 1994.

After the conversion of business of the erstwhile oil & natural gas

commission to that of oil & natural gas Corporation limited in 1993,

the government disinvested 2% of its shares through competitive

bidding. Subsequently, ONGC expanded its by another 2% by offering

shares to its employees.

During March 1999, ONGC (IOC) a downstream giant & gas authority of

Indian Limited (GAIL) - the only gas marketing company, agreed to

have cross holding in each other’s stock. This paved the way for long

term strategic alliances both for the domestic & overseas business

opportunities in the energy value chain, amongst themselves.

Consequent to this the Government sold off 10% of its share holding

in ONGC to IOC & 2.5% to GAIL. With this the government holding in

ONGC came down to 84.11%.

In the year 2002-2003, after taking over MRPL from the A.V Birla

group, ONGC diversified in to the down stream sector. ONGC will soon

be entering in to the retailing business. ONGC has also entered the

18

global field through its subsidiary, ONGC VIDESH LIMITED (OVL).

ONGC has made major investment in Vietnam, Sakhalin & Sudan and

earned its first hydrocarbons revenue from its investment in Vietnam.

19

ORGANISATION CHART

20

HUMAN RESOURCE IN ONGC

Human Resource is a very important asset for the success of an

organization. Every aspect of organizations’ activities is determined by

the competencies motivation, and general effectiveness of the human

resource of the particular organization. The effective and efficient

management and development of this crucial asset of an organization

is, therefore, a very important factor for the survival and success of an

organization in a fast changing and competitive environment. The

development of human resource by formulating progressive personnel

policies and welfare schemes has always been accorded the highest

priority in ONGC. The existing Human Resource Development Policies,

Compensation Package and Welfare Schemes are rated one of the

best in the industry. However, the continuous review and assessment

of the effectiveness of our Human Resource Development Policies is

necessary to meet the challenges of the fast changing environment

and maintaining our leading position in the industry. It is a big

challenges today how to utilize the unlimited potential of human

resource and how to fill in the gap between the desired and actual

level of performance of the employees.

HR Vision, Mission & Objectives

HR VISION

"To attain organizational excellence by developing and inspiring the

true potential of company’s human capital and providing opportunities

for growth, well being and enrichment".

21

HR MISSION

“To create a value and knowledge based organization by inculcating

a culture of learning, innovation and team working and aligning

business priorities with aspiration of employees leading to

development of an empowered, responsive and competent human

capital.”

HR OBJECTIVE

To develop and sustain core values.

To develop business leaders for tomorrow.

To provide job contentment through empowerment, accountability

and responsibility.

To build and upgrade competencies through virtual learning,

opportunities for growth and providing challenges in the job.

To enhance the quality of life of employees and their family.

To inculcate high understanding of 'Service' to a greater cause.

HR Strategy

1. To meet challenging demands of the business environment,

focus of the HR Strategy is on change of the employees’

‘mindset’.

2. Re-engineering and redeployment for maximizing utilization of HR

potential.

22

3. To build and upgrade competencies through virtual learning,

opportunities for growth and providing challenges in the job.

4. Re-strengthening mutual faith, trust and respect.

5. Inculcating a spirit of learning & enjoying challenges.

6. Developing Human Resource through virtual learning, providing

opportunities for growth, inculcating involvement and exposure to

benchmarking in performance.

Role Of HR

1. Alignment of HR vision with corporate vision.

2. Shift from support group to strategic partner in business operations.

3. HR as a change agent.

4. Enhance productivity and performance by developing employee

competency and potential

5. Developing professional attitude and approach.

6. Developing ‘Global Managers’ for tomorrow to ensure the role of

global players.

Measuring HR Performance

HR Parameters have been incorporated in the MOU by ONGC since

1994-95, to systematically and scientifically evaluate effectiveness of

HR Systems, which enables and facilitates time bound initiatives.

23

CORE VALUES

A Task Force was constituted to Identify 5 core values in ONGC

along with their attributes and desired behavior associated with them.

S.No Core Values Attributes and Desired Behavior on the

job

1. Sense of

Belonging

Commitment, loyalty, sense of

ownership of the job and company

properties, improvements in personal

work area as a self starter, ensuring

quality in individual work and value

addition.

2. Integrity Personal/Professional integrity by

strictly abiding by rules & regulations,

processing/deciding cases in an

unbiased /dispassionate way, sense of

ethics in behavior

3. Team Spirit Working in groups, trust & openness,

cooperation, communication, sharing

knowledge and information, collective

learning, target consciousness, cost and

quality consciousness.

4. Discipline Punctuality, work ethics, dress code,

self discipline as model to others ,

24

enforcing discipline in a fair and firm

manner

5. Social

Responsibility

Caring of society and environment,

projecting a lofty image of ONGC to

society

SOURCES OF RECRUITMENT

The posts under the corporation shall be filled in by resorting to one or

more of the following methods:

a) Promotion of existing employees from the lower scales who meet the

prescribed standards

b) Direct recruitment from outside candidates or through Press

Advertisement in Employment News, National Dailies or local News

Paper, as the need be or through internal induction by issue of

internal advertisement / circular for employees who meet the

prescribed qualification, job specifications, subject to any instructions

issued by the central Government in this regard from time to time.

c) Through Employment Exchange as per provisions of the Employment

Exchange (compulsory Notification of Vacancies) Act, 1959.

d) Deputation from Central/State Governments or Public Sector

Enterprises.

e) Recruitment of person declared as surplus by the Government and

other public Enterprises, etc.as per directives of Central Government.

25

METHOD AND PRINCIPLES OF RECRUITMENT

LEVEL OF RECRUITMENT

Recruitment is generally made at the lowest of the grades in various

cadres / groups as indicated below, but can also be made in higher

grades, whenever considered necessary by the management.

CATEGORY GRADE SCALE(IDA) Rs

(a) Workmen

i) Un-Skilled

ii) Semi-Skilled

iii) Skilled / Ministerial

(b) Supervisor

(c) Executive

W-0

W-2

W-4

S-1

E-2

E-2A

3750-2.5%-5450

4700-3%-9010

5800-3%-10790

7900-3.5%-13700

8600-250-13400

10750-300-16750

Direct Recruitment from outside :

When a post is to be filled in by direct recruitment, including recruitment

from the sources indicated at items (b) to (e) under Rule 4 above, the

governing principle shall be to secure the services of the candidates most

suitable to the post(s). To achieve this objective, the method of recruitment

shall be:

1. To invite applications by open advertisement given full information

regarding the nature and duties of the post, qualifications, experience

and age limits, prospects of promotion and other relevant information.

2. Where direct recruitment is resorted to. Existing employees of the

Corporation (including its projects/units) may also apply for the post

26

(s) advertised in the press, provided they fulfill the prescribed

requirements. Relaxation in the qualifications / experience of internal

candidates may be considered by the Appointing Authority.

3. To prescribe where necessary, written competitive examination, test

and/or oral examination by means of interview of candidates by a

Selection Committee to be constituted by the Chairman / General

Manager / Chief Engineer / Chief Project Manager / Project

Administrator depending upon the status of the post .

4. The Selection Committee will arrange the names of selected

candidates in order of their merit and the Appointing Authority will

make appointments in that order , unless for any special reasons , to

be recorded, it is found necessary that order in any particular case.

Panel of selected candidates (kept in reserve), which normally shall

not exceed 50% of the number of advertised vacancies, will remain

alive for a period of one year.

CLARIFICATIONS

Demand draft of Rs. 300/- as registration amount and examination fee for

General and OBC Candidates and a demand draft of Rs. 30/- as

registration amount for SC/ST/Physically Challenged candidates. SC/ST &

PC candidates are required to submit a self-attested copy of

Caste/Disability certificate on prescribed format for Central Government

along with Demand Draft. Non-refundable Demand Draft should be made in

favor of F&AO (Cash), ONGC payable at SBI, Tel Bhavan Branch, (Code-

1576), Dehradun. No other mode of payment would be accepted.

27

RECRUITMENT BY DEPUTATION

When a post is to be filled in by deputation, no organization will normally be

approached to lend a particular officer by name, but such relevant

particulars will be supplied to the concerned organization as will enable it to

suggest name / names of suitable persons for the posts (s) in question.

The deputation period will not normally be allowed to exceed the limits

prescribed by the Department of Public Enterprises from time to time

various categories of posts.

In the cause of each deputation’s, the management will decide with in a

period of one year from the date of appointment or at least threes months

before expiry of the deputation period, whichever is later, whether the

deputation’s has to continued on deputation, absorbed or reverted.

The retirement and other benefits such as Seniority, leave, Provident Fund,

Gratuity, etc. to be allowed to deputation’s on absorption shall be regulated

as per the provisions in the “Guidelines for Absorption of Deputation’s”

appended in Annexure-3 to these Rules.

APPOINTMENT BY PROMOTION

Rules relating to promotion of employees will be laid down separately by

the Corporation.

EXTENT OF RECRUITMENT

28

Recruitment shall be in adherence to the overall manpower budget for the

year.

INTRODUCTION

HRP (Human Resource Planning) helps determine the number and type of

people an organization needs. The next logical step is to hire the right

number of people of the right type to fill the jobs. Hiring involves two broad

groups of activities.

1. Recruitment

29

2. Selection

Before coming to details of “Recruitment”, it is useful to note that hiring,

contrary to popular perception, is an ongoing process and not confined to

the formative stages of an organization. Employee leaves the organization

in search of greener pastures- some retire and some die in the saddle.

More importantly, an enterprise grows, diversifies, take over other units-all

necessitating hiring of new men and women.. Infect, the hiring function

stops only when the organization cease to exist.

RECRUITMENT

Recruitment is understood as the process of searching for and obtaining

applicants for jobs, from among whom the people can be selected. A formal

definition of recruitment is that it is the process of finding and attracting

capable applicants for employment. The process begins when their

application are submitted.

In simple terms, recruitment is understood as the process of searching for

and obtaining applicants for jobs, from among whom the right people can

be selected.

A formal definition of recruitment is, “it is the process of finding and

attracting capable applicants for employment. The process begins when

new recruits are sought and ends when their applications are submitted.

The result is a pool of applicants from which new employees are selected”.

30

As Yonder and other points out

“Recruitment is a process to discover the sources of manpower to meet the

requirements of the staffing schedule and to employee effective measures

for attracting that manpower in adequate numbers to facilitate effective

selection of an efficient working force. Accordingly, the purpose of

recruitment is to locate sources of manpower to meet job requirements and

specifications.

FILLIP views: - “it is a process of searching for prospective employees

and stimulating and encouraging them to apply for jobs in an organization”.

An analysis of these definitions reveals the following features of recruitment

1. The basic purpose of recruitment is to locate the source required to

meet job requirements and attracting such people to offer them for

employment in the organization

2. Recruitment is a positive function as it seeks to develop a pool of

eligible persons from which most suitable ones can be selected.

3. Recruitment is a two-way process. It takes a recruiter and a recruit,

as recruiter has a choice that to recruit or not similarly the prospective

employee can choose for which organization to apply for a job.

4. Recruitment is a process or a series of activities rather then a single

act or event.

31

5. Recruitment is an important function as it possible to acquire the

number and type of persons necessary for the continued functioning

of the organization.

PURPOSE AND IMPORTANCE

The general purposes of recruitment are to provide a pool of

potentially qualified job candidates. Specifically, the purpose is to:-

1. Determine the present and future requirements of the organization

in conjunction with the personnel planning and job analysis activities.

2. Increase the pool of job candidates with minimum cost.

3. Help increase the success rate of the selection process by reducing

the number of obviously, under qualified or overqualified applicants.

4. Help reduce the probability that job applicants, once recruited and

selected, will leave the organization only after a short period of time.

5. Meet the organization’s legal and social obligation regarding the

composition of its workforce.

6. Start identifying and preparing potential job applicants who will be

appropriate candidate.

7. Increase organization and individual effectiveness in the short and

long term.

8. Evaluate the effectiveness of various recruiting technique and

sources for all type of job applicants.

32

Recruitment Process

33

The ideal recruitment programme is the one that attracts a relatively

large number of qualified applicants who will survive the screening

process and accept position with the organization, when offered.

Recruitment programmes can miss the ideal in many ways, by failing

to attract an adequate applicant pool, by under/over selling the

organization, or by inadequately screening applicants before they

enter the selection process. Thus, to approach the ideal, individuals

responsible for the recruitment process must know how many and

what type of employees are needed, where and how to look for

individuals with the appropriate qualification and interests, what

inducement to use (or avoid) for various type of applicant groups,

how to distinguish applicants who are unqualified from those who

have a reasonable chance of success, and how to evaluate their

work.

34

RECRUITMENT POLICY

Policy is the guidelines for action. Once the policy is laid, down it will be

easy for the manager to work out the plans and programmes and

implement the same with out referring to top management often and

seeking their guidance repeatedly. This will save time, effort and money.

Recruitment policy can be of two type:-

General policy – on recruitment express top mgt. Philosophy on

recruitment like equality and fairness in this process.

Specific process – on the other hand lay down polices on

recruitment sources like internal or external recruitment procedure like

type of advertisement.

Advantage of recruitment policies are given below:-

1) Provide formal statement of corporate thinking.

2) Establishing consistency in application of polices over a period of

time.

3) Offer guidelines to managers for taking action.

4) Improve communication & secure co-operation from employees.

5) Provide criteria for performance evaluation of persons involved in

recruitment

6) Build employees enthusiasm & loyalty & increase their confidence.

A good recruitment policy must contain these elements.

Organization’s objective:-

35

Both the short-term and long-term objective are taken into consideration as

a basic parameter for recruitment decisions and needs of the personnel-

area-wise, job-family-wise.

Identification of the recruitment needs:-

To take decision regarding the balance of the qualitative dimensions of the

recruits i.e. the recruiters should prepare profile for each category of

workers and accordingly work out the man specification decide the

sections, department or branches where they should be placed and the

particulars responsibilities which may be immediately assigned to them.

Preferred sources of recruitment: -

Which source would be tapped by the by the organization e.g. for skilled or

semi-skilled manual workers. Internal source and employment exchange

preferred, for highly specialized categories and former, may be utilized.

Criteria of selection and preferences: -

These should be based on conscious though and serious declaration in

other, management may take the unilateral decision.

The cost of recruitment policy in its broadest sense involves a commitment

by the employees to such general principles as:-

1. To find employ the best qualified person for each job.

2. To retain the best and most promising of those hired.

3. To offer promising opportunities for life time working career.

36

4. To provide programs and facilities for personnel growth on the job.

Following are the principles of recruitment policy

●To find & employ the best qualified person for each job.

To retain the best & the most promising ones.

To offer promising careers and security.

To provide facilities for personal growth on skill and knowledge.

To be compatible with public policies.

METHODS OF RECRUITMENT

Method of recruitment depends on the source of recruitment most

important of them are:-

Cost

Effectiveness

The method adopted must be such that, it is capable of attracting maximum

number of potential candidates. In addition it must involve optimum cost.

37

RECRUITMENT

INTERNAL SOURCESEXTERNAL SOURCES

Methods of recruitment may be:-

a. Internal Sources b. External Sources

1) Internal Source Search:-

Posted on Bulletin/notice Boards of the organization.

Through memos circulated among the shop supervisor.

Advertisement in the in house employee magazine/bulletins/

handouts.

Others methods like “word-of-mouth” and / or “who-you-know”

system.

Perusal of records/ P>C data bank.

38

2) External Source Search

The external source search consists of a number of methods

a) Direct Method - It consists of following

Scouting

Campus recruitment

Casual callers/unsolicited applicants

b) Indirect Method

Advertisement

Employees trade association/clubs

Professional association

Reputed other firm

c) Third party method

Following are the important third party methods in recruitment

Public employment agencies

Private employment agencies

Placement cells in schools and colleges

Temporary help service

Management consultant

Professional bodies/ association

Computer data bank

Voluntary organization

39

Complexity of the function of recruitment

Performing the function of recruitment, i.e. the selection ratio is not as easy

as it seems to be. This is because of hurdles created by the internal factor

and external factors, which influence an organization. The first activity of

recruitment i.e. searching for prospective is affected by many factors like.

Organizational policy regarding filling up of certain percentage of

vacancies by internal candidate.

Local candidates.

Influence of trade union.

Influence of recommendations and nepotism etc.

SELECTION

The process of choosing the most suitable candidate for a job from among

the available applicants is called selection. Selection is the most important

stage of employment as the concept of ‘the right candidate for the right

position’ takes its final shape here.

As Yoder states, “The hiring process is of one or many ‘go, no-go’

gauges. Candidates are screened by the application of these tools.

Qualified applicants go on to the next hurdle, while the unqualified are

eliminated.”

The selection process in an organization depends on the organization‘s

strategy and objectives, the tasks and responsibility of the job and

40

qualifications, experience and characteristics required in an individual to

perform these tasks and responsibilities successfully.

ELEMENTS IN SELECTION PROCESS

Organizational objectives

Job design / Job description

Job specification

Competency modeling

Selection

41

STEPS IN SELECTION PROCESS

Resumes/CVs Review

Initial Screening Interview

Analysis the application Blank

Conducting Tests and Evaluating Performance

Preliminary Interview

Core and Departmental Interviews

Reference Checks

Job Offer

Medical Examination

Placement

42

43

Factors influencing effectives selection

One of the factors that influence the effectiveness of selection process is

the number of recruits per job or per opening or what is called “the

selection ratio” the greater the number of recruits per opening in the pool,

the greater will be scope for choosing right and potential persons.

Another factor that influences the process of selection is the character and

ethical standards of the selector. If his ethical standards are high i.e., if he

is not prone to corruption, favoritism or nepotism, then new employees are

like to be selected properly and on merit. But if he is lured by these

considerations, then it would fail the selection process.

The selection process is also affected by the limits and constraints imposed

by the organization or its employment specialist such as the budget

sanctioned reservation policy or any other affirmative program etc.

44

LIMITATAION OF THE STUDY

1. The problem discussed was more is technical terms, thus was difficult to comprehend.

2. Views of only few members could be included because of time limitation.

3. Difficulty to attend the employees due to time

4. Specified area

5. Limited sample size

45

RESEARCH METHODOLOGY

RESEARCH FORMULATION

The research to be conducted can be formulated as:-

“A detail study on Recruitment and Selection process followed by ONGC”

RESEARCH OBJECTIVES

To study the recruitment and selection process in ONGC.

1. To analyze the awareness level of employees regarding recruitment

and selection process of the company.

2. To study and analyze the recruitment and selection policy in ONGC

and its effects on the employees with reference to executive and

staff.

3. To assess whether the recruitment and selection policy in ONGC

have been effective in acquiring and maintaining efficient manpower.

RESEARCH DESIGN

Descriptive Research has been used in order to conduct the study.

DATA COLLECTION METHOD

I took the help of primary and secondary data to achieve the objective of my project, which include:-

46

Primary Data

Observation Questionnaire

Secondary Data

Websites Transcripts of Books Journals Handouts

Hypothes is

We have taken the hypothesis as – that the recruitment & selection procedure at ONGC is effective and time bound.

Research Methodology

The project was carried out through –

Questionnaire

Interviews / Discussions with selected respondents).

Research Design

The objective of the problem will be the main focus of research design and to ensure that data collected is relevant to the objectives. The right source of data collection, sampling & data trimming will be pivotal to the research. The design will be descriptive in nature.

SAMPLE SIZE

Sampling Method : - Non-Probability Sampling (Convenient

Sampling)

Sample Unit : - HR Personnel

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Geographical Location : - DEHRADUN

Sample size : -100

SAMPLE

The whole universe was studied to fulfill the objectives of studying the effectiveness of recruitment process at ONGC, DEHRADUN.

METHODS OF DATA COLLECTION

The executives of HR were put through a questionnaire & personal discussion for data collection. Both primary & secondary data are used.

PRIMARY SOURCE OF DATA COLLECTION –

QUESTIONNAIRE

INTERVIEWS

OBSERVATIONS

SECONDARY SOURCE OF DATA COLLECTION –

Profile of Sahara

Magazines

Manuals

Brochures

The questionnaire was designed after a review of the existing recruitment system. The questions were arranged in a sequence to avoid confusion & misunderstanding.Other features considered were –

To make questions as concise as possible.

To use words that is simple & familiar.

48

In order to ascertain the correctness of the information given by the employees some counter check questions were given in the questionnaire & they were also personally interviewed.

MAIN SAMPLE = 100 NON RESPONDENT = 10

SAMPLE SIZE = 90

SIGN TEST

To check that the training provided by the company to it employees are sufficient

Sample size=100

Non respondent=10

HOP=success rate HOQ=failure rate

69 21

Stating hypothesis recruitment process is satisfactory

PHo=0.5

Hypnotized proportion of the population feel the recruitment is satisfactory

.

QHo=0.5

Hypnotized proportion of the population feels that the recruitment process

is unsatisfactory.

Hop=69/90=0.766(proportion of success in the sample)

HoQ=21/90=0.233(proportion of failure in the sample)

Calculation of standard error:

S.dp=∫pq/n

= ∫(0.5*0.5/90 =0.0027

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Significance level 95% value=1.96

Findings the limits of the acceptance region for null hypothesis

s.dp=0.0025

pHo+1.96(SDp)=0.5+(1.96)(.0027)

=0.5052(upper limit)

Pho-1.96(SDp) = 0.5-(1.96)0(.0027)

=-0.4947(lower limit)

Acceptance Region

-1.96 +1.96

-0.4947 +0.5052 Critical Region

-1.96 +1.96 FIGURE

INTERPRETATION: The value falls in acceptance region the null

hypothesis is accepted, so it can conclude that the recruitment process of

ONGC is satisfactory.

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DATA ANALYSIS AND

INTERPETATION

Data Analysis & Interpretations

After collecting the data from the respondents the next step was to analyze it & interpret it. The data was analyzed & interpreted by the help of some graphs. The interpretation was done Question wise & is as follows:-

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Questionnaire

1. Do you think the Recruitment & Selection process in ONGC, DEHRADUN is clear to me?a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

Recruitment & Selection process in ONGC, DEHRADUN

is clear to me

Respondents

1. Strongly agree 50 %2. Agree 40 %3. Slightly Agree 5 %4. Disagree 5 %

Strongly AgreeAgreeSlightly AgreeDisagree

Most of the respondents are in favor that the Recruitment and Selection process is clear to me.

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2. Methods used in recruitment & selection process are satisfactory?

a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

Methods used in recruitment & selection process are satisfactory

Respondents


Methods used in recruitment & selection process are satisfactory

25%

62%

13% 0%

Strongly agree Agree Slightly Agree Disagree

Most of the respondents agree to the point that Process of Recruitment and Selection is satisfactory where as only 25 % respondents strongly agree that this process is satisfactory. Yet most of the respondents are in favor that it needs improvement to become the best system in Recruiting potential candidates.

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3. More emphasis should be given to the internal sources of selection for various posts?


S. No.

More emphasis should be given to the internal sources of selection for various posts

Respondents


More emphasis should be given to the internal sources of selection for various posts

49%

25%

14%

12%


Majority is in favor that more emphasis should be given to the internal sources of selection for the various posts. But there are few people who favor that fresh blood should be allowed within the Organization.

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4. Campus recruitment for reporters and anchors should only be done through premier institutes?


S. No.

Campus recruitment for reporters and anchors should only be done through premier institutes

Respondents


Campus recruitment for reporters and anchors should only be done through premier institutes.

37%

25%

27%

11%


Majority of the respondents are in favor of recruiting from premier institutes so as to get the cream. And less amount is spend on their training and development. But still few people are their who believe recruiting from other institutes also.

55

5. Recruitments should be done on the basis of suggestions and recommendations made by the existing staff? a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

Recruitments should be done on the basis of suggestions and recommendations made by the existing staff

Respondents


Recruitments should be done on the basis of suggestions and recommendations made by the

existing staff

25%

50%

0%

25%


75 % of the respondents are in favor of recruiting on the recommendation of existing staff as they know the company requirements better then anyone else as a result they can suggest the best match this will save cost encured by the company on recruitment.

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6. Campus recruitment makes the process easier for the organization?


S. No.

Campus recruitment makes the process easier for the organization

Respondents


Campus recruitment makes the process easier for the organization

37%

13%13%

37%


63 % of the Respondents believe that campus Recruitment makes recruitment process easier for the organization to some extent where as 37 % of the respondents do not agree that campus recruitment makes recruitment process easy.

57

7. Effective HRP greatly facilitates the recruiting efforts?


S. No.

Effective HRP greatly facilitates the recruiting efforts

Respondents

1. Strongly agree 45%2. Agree 40%3. Slightly Agree 10%4. Disagree 5%


Effective HRP definitely facilitates the recruitment process as HRP is the first step to be taken care in Recruitment. This has been proved by the research as 45% of the respondents strongly believe that effective HRP facilitates the recruitment efforts. And rests 40 % also agree to this point, 10% slightly agree, and 5% is disagreeing.

58

8. The organization recruitment notices should be more descriptive to stimulate the new talent? a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

The organization recruitment notices should be more descriptive to stimulate the new talent

Respondents


The organization recruitment notices should be more descriptive to stimulate the new talent

37%

37%

13%

13%


Majority is in favor that Recruitment Notices should be more descriptive so as to give clear picture of the job to the applicants in order to ensure the right candidate to the right job combination. Where as 13 % of the respondents disagree with the statement and favor that recruitment notice should not be descriptive.

59

9. Recruitment at entry level should be given on contract with reputed HR consultancies?


S. No.

Recruitment at entry level should be given on contract with reputed HR consultancies.

Respondents



All the respondents are in favor that recruitment at entry level should be outsourced to reputed HR consultancies as this will save company cost and time and they will even get potential candidates.

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10. Recruitments at higher post should be done exclusively by internal sources?


S. No.

Recruitments at higher post should be done exclusively by internal sources

Respondents


Recruitments at higher post should be done exclusively by internal sources

37%

25%

38%

0%


Every respondents favor that recruitment at higher level should be done by internal sources only as existing employees know the company and given their day and night and company can rely on them and ideally they are the first one to get preference for the vacancies within the company.

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11. The current Recruitment and selection process fulfills the company objective?


S. No.

The current Recruitment and selection process fulfills the company objective

Respondents


The current Recruitment and selection process fulfills the company objective

25%

50%

25%0%


Current recruitment policy is sufficient in fulfilling the company objective but we are operating in cut throat competition and need up gradation each time to survive and get edge over others.

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12. The rate of recruitment and selection should be in proportional to the actual need within the organization?


S. No.

The rate of recruitment and selection should be in proportional to the actual need within the organization

Respondents



Recruitment and Selection process should be in proportion with the actual need of the company so as to avoid excess of employee inflow within the company and respondents also favour this as this saves employee retention cost to the company.

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13. The policies for selection through promotion need to be modified? a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

The policies for selection through promotion need to be modified

Respondents



Majority is in favour that promotion policies of ONGC, DEHRADUN need to be modified as now with the changing Business Environment new methods of promotion has come into picture and many of them is very effective like 360 Degree Appraisal System. And this will also play important role in employee motivation.

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14. The percentage policies of promotion in ONGC, DEHRADUN are satisfactory? a) Strongly agree b) Agree c) Slightly Agree d) Disagree

S. No.

The percentage policies of promotion in ONGC, DEHRADUNare satisfactory

Respondents


The percentage policies of promotion in Sahara India Media are satisfactory

62%25%

0%13%


62% of the respondents strongly believe that Percentage Policy of Promotion in ONGC, DEHRADUN are satisfactory. On the Contrary 13 % are not in their favour.

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15. The actual practice of promoting executive is fair?


S. No.

The actual practice of promoting executive is fair

Respondents


The actual practice of promoting executive is fair

37%

38%

25%0%


Respondents to some extent or strongly agree to the point that Actual practice of Promoting Executives in company is fair enough.

66

16. Any suggestion you would like to give for improving recruitment and selection process in your companies?

………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

67

CONCLUSION

REQUIREMENT

‘Necessity is the mother of Invention’ this is true everywhere. In the study

first of all I tried to find out the cause of the process of Recruitment and

Selection.

I got the answer from employees that here in ONGC major cause for the

process is its Expansion Program as ONGC is growing vastly. Few other

reasons are Resignation and Replacement vacancy. Retirement hardly

takes place here.

From the survey it can be concluded that efforts were made to select the

knowledgeable and skilled person then emphasis is given for experienced

person. But outcome is not always the same as desired. Till now

candidates selected in ONGC, DEHRADUN are more work Experienced

with knowledge.

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SUGGESTIONS

1. The Campus recruitment must be done to infuse fresh talent and

save on costs.

2. Successful planning, potential appraisal, job rotation to be given

weight age to facilitate recruitment from internal source.

3. Re-engineering the human resource information system with an

emphasis on recruitment.

4. A constant research must be held to update the recruitment &

selection process.

5. Every detail should be in black and white including all HR policies so

as to provide a complete picture of the process.

6. There should be constant feedback from executives or employees

bench marking in order to have a check on recruitment process.

7. Newly selected candidate who has come from competitor companies

must be asked about recruitment and selection procedure followed in

their companies.

8. Exit interviews must be held so as to trace any inefficiency in the

recruitment & selection procedure and also to know about employees

grievances.

9. There should be long term career planning which should be

implemented in order to increase the effectiveness in recruitment

process.

69

RECOMMENDATION

Keeping in view my findings during my work, I am providing certain

recommendation, in hope that they will be appreciated and some of them

can be adopted to achieve better results

1. Decentralization of HR should be done & the capabilities of the HR

professionals should be relied upon.

2. The Campus recruitment must be done to infuse fresh talent and save

on costs

3. The system of recruiting executives should be reviewed and improved

upon at definite intervals.

4. Too much time is taken in the recruitment and selection procedures

which may result in loss of capable candidates to competitors and is

also a burden on costs.

5. Every detail should be in black and white including all HR policies so as

to provide a complete picture of the process.

6. A system to know what is happening in competition is also needed.

7. Campus recruitment to be only means of recruiting fresher’s.

8. Successful planning, potential appraisal, job rotation to be given weight

age to facilitate recruitment from internal source.

70

9. There should be need-based improvisation.

10. Too much stress and rigidity on joining formalities even some of the

formalities are outdated.

11. Re-engineering the human resource information system with an

emphasis on recruitment.

12. A constant research must be held to update the recruitment &

selection process.

13. There should be constant feedback from executives or employees

bench marking in order to have a check on recruitment process.

14. Newly selected candidate who has come from competitor companies

must be asked about recruitment and selection procedure followed in

their companies.

15. Exit interviews must be held so as to trace any inefficiency in the

recruitment & selection procedure and also to know about employees

grievances.

16. Dedicated HR executive to work on this including other

developmental activities – not involved in IR.

17. There should be long term career planning which should be

implemented in order to increase the effectiveness in recruitment

process.

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APPENDICES

QUESTIONNAIRE

1. Do you think the Recruitment & Selection process in ONGC, DEHRADUN is clear to me?


2. Methods used in recruitment & selection process are satisfactory?


3. More emphasis should be given to the internal sources of selection for various posts?


4. Campus recruitment for reporters and anchors should only be done through premier institutes?


5. Recruitments should be done on the basis of suggestions and recommendations made by the existing staff?


6. Campus recruitment makes the process easier for the organization?


7. Effective HRP greatly facilitates the recruiting efforts?


8. The organization recruitment notices should be more descriptive to

72

stimulate the new talent?


9. Recruitment at entry level should be given on contract with reputed HR consultancies?


10. Recruitments at higher post should be done exclusively by internal sources?


11. The current Recruitment and selection process fulfills the company objective?

Strongly agree Agree Slightly Agree Disagree 12. The rate of recruitment and selection should be in proportional to the actual need within the organization?


13. The policies for selection through promotion need to be modified?


14. The percentage policies of promotion in ONGC, DEHRADUN are satisfactory?


15. The actual practice of promoting executive is fair?


73

16. Any suggestion you would like to give for improving recruitment and selection process in your companies?

………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

74

BIBLIOGRAPHY

www.ongc.com

Annual reports and Journals

www.ongcindia.com

www.forbes.com

75

http://www.ongc.com/

Effectiveness of Recruitment and Selection at Ongc

Documents

reputed hr

infuse fresh

natural gas

campus recruitment

newly selected

attracting

selection

strongly agree