1: COMPANY’S PROFILE 1.1: Introduction: A network of companies dedicated to people who love sport. Oxylane brings together two different activities: Creating international sports products and brands and local and on-line retail. These two areas of expertise, along with all the brands, are united behind a common purpose: to create desirability and make the pleasure and benefits of sport accessible to all. Decathlon, the original chain created in 1976 near Lille, and the other local and on-line retail formats, sell Passion brand products, made with materials provided by our Component brands, and also the major international brands. Oxylane controls the whole of the product development chain: from research to sale, including design, production and logistics. Within the companies belonging to the Oxylane network, we have deliberately placed People at the heart of our strategy, whether they are... HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 1
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1: COMPANY’S PROFILE
1.1: Introduction:
A network of companies dedicated to people who love sport.
Oxylane brings together two different activities:
Creating international sports products and brands and local and on-line retail.
These two areas of expertise, along with all the brands, are united behind a common purpose:
to create desirability and make the pleasure and benefits of sport accessible to all.
Decathlon, the original chain created in 1976 near Lille, and the other local and on-line retail
formats, sell Passion brand products, made with materials provided by our Component brands,
and also the major international brands. Oxylane controls the whole of the product development
chain:
from research to sale, including design, production and logistics.
Within the companies belonging to the Oxylane network, we have deliberately placed People at
the heart of our strategy, whether they are...
- employees, the lifeblood of our companies
- people who use our products or customers of our retail formats
- external partners, suppliers, organisations ...
- shareholders
Our promise: that they should gain long-term satisfaction.
1.2: Values:
Sincerity, Vitality, Responsibility and Generosity. Our employees all share our 4 company
values. They are lived on a daily basis across all of our worldwide brands.
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Vitality
Otherwise put: full of life! Employees filled with vitality are overrunning with energy.
They are enthusiastic and have a thirst for innovation and creation. They constantly strive to
improve themselves and make things evolve. And just like a sportsman, they love action.
Sincerity
This is all about the transparency of our actions; amongst ourselves, with our customers and with
our suppliers. We want there to be a real link between what we say and what we do.
Responsibility and generosity
These words are always linked in our daily life. The two go hand in hand. In the way we manage
our teams, the generosity of our actions is combined with a high level of demand, a clear sign of
responsibility.
1.3: Commitments:
Oxylane's commitments as an employer:
Oxylane is committed to training its employees and developing their skills. Our managers work
closely with their teams, encouraging them to make decisions and take on responsibilities.
Therefore, a career in our company is always linked to your aptitudes and your enthusiasm.
Today, more than ever before, our policy of promoting from within is a major priority. And there
are plenty of opportunities to move around, both within your country of origin and
internationally. "Satisfied employees" is an intention that runs through all of our human
resources policies. After all, we will only make our customers happy if we are happy ourselves.
Oxylane's commitment to innovation:
Every day, our teams design innovative products based on research into the human body in
motion. Our enduring objective is the long-term satisfaction of our customers!
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Oxylane's commitment to social responsibility:
Through all of its brands and retail formats, Oxylane is committed to being a responsible player
in economic and social terms wherever the company is present. Inspired by the Universal
Declaration of Human Rights, we have introduced a social charter that sets out a clear and firm
position with regards to teams working in all of our Production countries.
In addition, the Decathlon Foundation promotes social, cultural and economic insertion for
disadvantaged people through sporting activity.
1.4: The Company’s Social Responsibility Policy:
When it comes to social responsibility, the Oxylane Group has always held a clear and firm
position with regards to its teams working in different countries (some 500 employees work
directly in production countries).
A social charter was introduced in 2002. It was inspired by the Universal Declaration of Human
Rights and by various International Labour Organisation (ILO) conventions. Its aim is to
guarantee manufacturing conditions, checked regularly during external audits and carried out by
independent organisations.
The 8 criteria controlled are...
Underage workers
Forced labour
Hygiene and safety
Discrimination
Abusive disciplinary procedures
Working hours
Respect of salaries
Management of social aspects
In foreign countries, the Group works with sub-contractors. This means that our teams are
regularly physically present in their factories promoting long-term social progress. In addition,
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regular audits are carried out by certified external organisations. If these audits uncover any
discrepancy with regards to our stringencies, a plan of action is launched immediately to correct
it.
1.5: Purpose:
« To create desirability and make the pleasure and benefits of sport accessible
to all »:
For us, sport has many virtues:
-It helps you stay healthy
-It promotes education and integration
-It develops a team spirit
Low prices
By keeping their prices as low as possible, our different retail formats are helping sporting
activity to develop all over the world. These low prices make it easier for our customers to be
properly equipped to participate in and discover new sports.
Technical products for all usage levels
Sport is a source of well-being as long as you have products that correspond to your needs. You
have to be "well-equipped".
Our technical products all have many practical qualities. Through our innovations, we aim to
increase our customers' safety and well-being. In our stores, we sell products from the major
international brands and our own Passion brand products. The latter, through their simplicity,
their quality, their availability and their unbeatable prices, are the very incarnation of our project.
Listening to customers
By listening to the most demanding users, we can pay particular attention to the practical
qualities of our products in order to guarantee the long-term satisfaction of our customers.
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We aim to put in place our company purpose with passion and determination. We want all sports
people to be able to use top quality Passion brand products for the lowest possible price.
1.6: DECATHLON TIMELINE:
DECATHLON STORY OVER THE YEARS
1976 – 1995
A new and unique concept store: Michel Leclercq opens the first ever self-service sports and
leisure superstore in Englos, just outside Lille in the North of France. It's a new concept entirely:
to kit out all sports people, from beginners to experts, for the best possible price, all under one
roof.
Decathlon Production' is born. Its purpose is to design and manufacture goods
endorsed with an in-house label.
Opens its first store outside of France in Dortmund, Germany.
Opens the first international production office in Asia in 1988.
1996 -2003
Tribord: sets up its new headquarters in Hendaye on the Atlantic coast to design products and get
fast feedback from water sports enthusiasts.
G�onaute and Aptonia : brands are born for adventure lovers.
Birth of Passion Brands: Kalenji (running) and Fouganza (horse riding).
2006 - 2007
Three major capital cities welcomed their first ever Decathlon store: Moscow, Beijing and
Brussels!
Opens its first Russian store in Moscow.
Opens a fourth store in Paris.
Breaks new ground by opening its 50th store in Spain.
Opens biggest store in the world in San Sebastian de Los Reyes (10,500 m2).
Creates Artengo, a new brand for racketsports products.
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Decathlon Cycle is renamed b'Twin.
Wed'ze for all ski and snowboard equipment from winter 2007-08 onwards.
2008
Decathlon Sports India launches its wholesale activity in Bangalore.
1.7: Decathlon Sports India:
At Decathlon, we seek to make sport more enjoyable and accessible to everyone. Decathlon
Sports India is the answer to India's ever increasing need for sporting goods, accessories and
facilities. We design, manufacture and sell sports products that are of high quality, easy to find
and are light on the pocket.
Decathlon has been in India for the last 15 years as manufacturer and exporter of sports goods.
Today, we want to satisfy Indian sports enthusiasts by increasing our manufacturing capacity in
India.
Our vision for the Indian market is 'To make the pleasure of sport available to more people.'
Decathlon Sports India wishes to offer sports enthusiasts, especially to children, the chance to
discover, learn and play sports - both new and traditional
Commitment towards customers:
Allow you to find under one roof equipment for enthusiasts of all sports:
o Cricket, hockey, lacrosse, football, rugby, and basket ball.
o Badminton, squash, tennis, table tennis, paddle and out court.
o Fitness, gymnastics, yoga, dance and combat sports.
o Walking, trekking, mountaineering, skiing and snowboarding.
o Running, cycling, roller-skating.
o Swimming, diving and surfing.
o Rowing and sailing.
o Horse-riding, golf and archery.
Allow you to buy products with unbeatable quality for money, in our warehouse or online
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Satisfaction guaranteed - we will exchange or reimburse any product to our registered
customers that they are not satisfied with. No questions asked.
1.8: Background:
Since its foundation in 1976, Decathlon has always had a very clear goal: to make sport more
enjoyable for everyone. In every corner of the globe, this purpose is expressed through two
complementary areas of expertise: the design, manufacture and retailing of sporting goods.
Today we employ 54,000 people over 5 continents in more than 496 stores, each containing an
average 43,000 articles. Annually, Decathlon helps millions of customers enjoy sport from
France to China to Brazil and generates a turnover of 48,000 Cr. (7.8 billion euros).
A leader in the European market since 1988, are now in India.
Design and Technology
Decathlon is one of the few sports retailers that also designs, manufactures and sells its own
products. Our designers and engineers work tirelessly to create the best products that are safe and
affordable for everyone.
Decathlon's technical partnerships with sportsmen and women have added a new dimension to
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our dedication to design. Through these partnerships, experts in each sport bring their extensive
knowledge and stringent requirements to the table, and our design and development teams then
fine-tune each product to perfection.
Passion Brands:
Arguably Decathlon's chief contribution to sport has been the creation of its in-house Passion
Brands. These offer affordable goods, for beginners through to advanced practitioners, which are
designed in partnership with experts in each discipline. All products are rigorously evaluated in
annual Mission Tests by designers and engineers and, perhaps more importantly, the people who
will use them: sportsmen and women at all levels.
Every year, our Technical Centre carries out some 20,000 tests in the most extreme conditions on
the products developed by our in-house brands. In touch with the latest trends, our designers
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ensure that materials, shapes and colors are in perfect harmony. The secret of our 'Passion'
brands is the design of products that are adapted to the needs of sportsmen and women, while
combining technical characteristics and convenience with visual appeal.
1.9: Decathlon Foundation:
Decathlon Foundation in India
"To make the pleasure of sports available to the greatest number of children on the streets”
Project in India in collaboration with BOSCO – NGO
1. Provide Sports Equipment & Accessories to Bosco centers
2. Help build sports areas: volley ball, football & basket ball courts
3. Sponsor sports training for children with potential in Bosco centres
The project has already been launched in the Sumanahalli and Anjanahalli areas. It seeks to help
around 4500-6000 children in a year including:
Children of 8 Bosco centers
Sumanahalli society's school children
4 NGOs which are close to Bosco's center in Sumanahalli, Bangalore
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Village children who are close to Bosco's Anjanahalli center, 60 km away from
Bangalore
"Project Sumanahalli is about helping underprivileged children play sports, giving them their
fundamental rights and helping them develops their personality through sport." The project runs
activities for young people from the locality that will help them build confidence and self-esteem
while they develop skills and hone their talent for sport.
The project already has table tennis, mini football, volley ball and karate classes in place. It aims
to provide cricket pitches and basketball courts for these young people in their locality and have
sports educators present. The project also envisages the construction of a training centre ne xt to
these grounds.
Shankar, Decathlon production office IT Project Leader and the Foundation's local contact
for the Sumanahalli project
"The Decathlon Foundation Project has changed my outlook considerably. I was concerned only
with my professional & personal work. The Sumanahalli Project has made me believe that we as
human beings have to help people less fortunate than ourselves
I am grateful to the Foundation for helping me get back to the fundamentals of life. Every time I
visit the Foundation site I feel very happy looking at the boys playing sports as a team.They
build team spirit through sport. They have learnt to play as a team and support each other in
victory and failure: in sport and in life."
We at Decathlon, in keeping with our objective of making sport available to the largest number
of people, have set up the Decathlon Foundation.
We strive to do this by encouraging the involvement of our staff who wishes to commit
themselves to community service, with sport serving as a tool.
Our projects are aimed at helping communities and people who are disadvantaged or excluded
from society. The physically and mentally disabled, young people from poor areas, children
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living on the street, the unemployed and delinquents seeking reinsertion into society... whatever
their age, the Foundation seeks to help them through sport.
The Foundation supports these projects financially with 3.5 million euros for the first five years
with sustained donation of sports equipment.
We are active in 20 countries the world over; and for us, that is just the beginning.
1.10: Key Figures:
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R&D Design Brands Production Logistics Retail
China = 43,4%
Europe = 32,1%
Others = 24,5%
20 production countries 54,000 employees
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in the sports market
Main competitors in 2008TO ranking (in € billions ex-VAT) of sporting goods distributors
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4.476 billion € exc. VAT in 2008
Turnover
0
500
1000
1500
2000
2500
3000
3500
4000
4500
1977 1994 1996 1998 2000 2002 2004 2006 2008
FranceInternational
A closer look at the
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Main competitors in 2008TO ranking (in € billions ex-VAT) of sporting goods producers
in the sports market
2.1: Objectives Of The Study:
Recruitment and selection is a multifaceted concept. The relevance of recruitment and selection
is to determine the number and kinds of personnel required the HR proceeds with the
identification of sources of recruitment and finding suitable candidate for employment. Both
internal and external sources of manpower are used depending upon the types of personnel
needed.
The aim of the selection policy is the selection of suitable candidate for a suitable job. The
selection procedure starts with the receipt of the application for various jobs from the interested
candidates. The suitable candidates are rejected under this study.
This study has following aims:-
To understand the nature of Recruitment and Selection for acquiring suitable personnel.
To understand the variables of Recruitment and Selection in DECATHLON.
To identify the sources of manpower supply with a view to acquire the best possible
candidates.
To understand the procedure / methodology of Recruitment and Selection in
DECATHLON.
I will be studying the practices followed in the company regarding the recruitment and selection.
I would focus on the company, DECATHLON our primary objectives measure the overall
perception and importance of Recruitment and Selection in the organization. I would be studying
the complete procedure domains like mechanical engineers, management trainees, and
specialized people in the technical field.
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In the study, I have framed a questionnaire to determine the importance of Recruitment and
Selection and perception perceived by various employees about Recruitment and Selection
practices.
The primary objectives of both Recruitment and Selection are to acquire suitable
candidates.
2.2: Working Title – “Recruitment And Selection”:
Considering the importance and relevance of the subject, selection of this topic is very obvious.
Recruitment and Selection, though differ in terms of process and orientation, are often used
together and, sometimes interchangeably.
Recruitment is the process of finding and attracting capable candidates 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.
Selection is the process of differentiating between applicants in order to identify (and hire) those
with a greater likelihood of success in a job.
Linkage of recruitment to Human Resource Acquisition
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MANPOWER PLANNING
RECRUITMENT PLACEMENT
2.3: Managerial Usefulness Of The Study:
By studying this crucial topic managerial level of employees can get various useful information
like :-
By finding the key result area of employees, potential and skilled employees can be
recruited.
To find the best match between the job and the employees so that best recruitment
can be achieved with respect to position.
To find the best candidate or employee for decreasing the rate of accidents in the
places of various jobs.
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JOB ANALYSIS
SELECTION
3: RESEARCH METHODOLOGY:
Research in a common parlance refers to a search for knowledge. It can also be defined as a
scientific and systematic search for pertinent information on a specific topic.
A careful investigation or enquiry especially through search for new facts in any branch of
knowledge. Research is an academic activity and as such the term should be used in a technical
sense.
According to CLINFFORD WOODY, Research comprises defining and redefining problems,
formulating hypothesis or suggested solutions, collecting, organizing and evaluating data;
making deductions and reaching conclusions and at last carefully testing the conclusion to
determine whether they fit the formulated hypothesis.
3.1: Objectives Of Research:
The purpose of research is to discover answers to questions through the application of scientific
procedures. The main objective of research is to find out the truth which is hidden and which has
not been discovered as yet.
The objectives are as follows:-
To gain familiarity with a phenomenon or to achieve a new insight into it.
To portray accurately the characteristics of a particular individual, situation or a group.
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To determine the frequency with which something occurs or with which it is associated
with something else.
To test the hypothesis of a casual relationship between variables.
TYPES OF RESEACH
Descriptive vs. Analytical
Applied vs. Fundamental
Qualitative vs. Quantitative
Conceptual vs. Empirical
3.2: Application Of Research In This Study:
In this whole study of recruitment and selection process in DECATHLON, I used the Descriptive
type of research. In this research, it includes surveys and fact finding enquiries of different kinds.
The major purpose of descriptive research is description of the state of affair as it exists at
presents. In this type we often use the term “EX POST FACTO” research for descriptive
research studies. The main characteristic of this method is that the research has no control over
the variables; person can only report what has happened or what is happening.
3.3: METHODOLOGY
3.3.1: Study Design:
Collection of primary data /survey is done by structured questionnaires which consist of optional
questions.
Secondary data has been obtained from the sources like internet, books and magazines. This
saves money, time and manpower of the organization. But the data collection has to be relevant.
3.3.2: Sample Size:
We requested to fill up the structured questionnaire (annexure) to some of the employees of each
department; hence our effective sample size is of 30 employees for DECATHLON. While doing
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the analysis the figure will transform in the percentage term to get better comparison of the
recruitment and selection life of DECATHLON.
3.3.3: Sampling Design:
We would use the probability sampling method in designing of sample. This is a simple random
line of sampling. Any one among the lot can be chosen. Here everyone has an equal probability
of getting selected. In probability sampling, randomly selected people were given a questionnaire
for filling the desired information about the recruitment and selection process in their company
3.4: DATA COLLECTION:
There are several ways of collecting the appropriate data which differ considerably in context of
monetary costs, time and other resources so it become necessary to collect data in a manner
which is appropriate.
Research was carried out at DECATHLON, to find out the ‘Recruitment & Selection Process’
and ‘Analyze the data relevant to the recruitment team and come up with findings & suggestions’
Data Collection Method
3.4.1: Primary Data:
Primary Data was collected through survey method by distributing questionnaires to HR
Manager & Recruitment Executives. The questionnaires were carefully designed by taking into
consideration the parameters of the study. Some data is also collected by getting hands on
experience in the actual working of the Recruitment & Selection process.
Research Design in this case
Interview and Interaction with the Officers and Officials of the Corporation has been conducted
in order to find out the existing system of man power planning and to suggest feasible
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improvements in the system in the DECATHLON. Discussions with the officials of the company
have provided detailed in sight into these issues.
Contact Method: Interview/interaction method
Type of universe: Workforce at DECATHLON.
Sampling Procedure: Randomly & Convenience
Sample size: 30 employees (mainly the senior executives, managers and heads of
departments including few supervisors)
3.4.2: Secondary Data:
In the words of MM Blair, “Secondary data are those which are already in existence, and which
have been collected, for some other purpose than the answering of the question in hand”
According to Wessel, Data collected by other persons are called Secondary data”. These data are,
therefore, called second-hand data. Obviously, since these data have already been collected by
somebody else, these are available in the form of published or unpublished reports.
Secondary data was collected from books, magazines, websites, going through records etc.
Research Design in this case
The secondary data has been collected from the company records already available like Annual
report, budgetary performance report and data available on Internet.
STEPS OF METHODOLOGY
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4: CONCEPTUAL DISCUSSION
4.1: Introduction:
The human resources are the most important assets of an organization. The success or failure of
an organization is largely dependent on the caliber of the people working therein. Without
positive and creative contributions from people, organizations cannot progress and prosper. In
order to achieve the goals or the activities of an organization, therefore, they need to recruit
people with requisite skills, qualifications and experience. While doing so, they have to keep the
present as well as the future requirements of the organization in mind.
Recruitment is distinct from Employment and Selection. Once the required number and
kind of human resources are determined, the management has to find the places where the
required human resources are/will be available and also find the means of attracting them
towards the organization before selecting suitable candidates for jobs. All this process is
generally known as recruitment. Some people use the term “Recruitment” for employment.
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These two are not one and the same. Recruitment is only one of the steps in the entire
employment process. Some others use the term recruitment for selection. These are not the same
either. Technically speaking, the function of recruitment precedes the selection function and it
includes only finding, developing the sources of prospective employees and attracting them to
apply for jobs in an organization, whereas the selection is the process of finding out the most
suitable candidate to the job out of the candidates attracted (i.e., recruited).Formal definition of
recruitment would give clear cut idea about the function of recruitment.
4.1.1: Definitions:
Recruitment is defined as, “a process to discover the sources of manpower to meet the
requirements of the staffing schedule and to employ effective measures for attracting that
manpower in adequate numbers to facilitate effective selection of an efficient workforce.” Edwin
B. Flippo defined recruitment as “the process of searching for prospective employees and
stimulating them to apply for jobs in the organization.” Recruitment is a ‘linking function’-
joining together those with jobs to fill and those seeking jobs. It is a ‘joining process’ in that it
tries to bring together job seekers and employer with a view to encourage the former to apply for
a job with the latter.
In order to attract people for the jobs, the organization must communicate the position in
such a way that job seekers respond. To be cost effective, the recruitment process should attract
qualified applicants and provide enough information for unqualified persons to self-select
themselves out.
Thus, the recruitment 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.
4.1.2: Purposes and Importance:
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The general purpose of recruitment is to provide a pool of potentially qualified job
candidates. Specifically, the purposes are to:
Determine the present and future requirements of the organization in conjunction with its
personnel-planning and job-analysis activities.
Increase the pool of job candidates at minimum cost.
Help increase the success rate of the selection process by reducing the number of visibly,
under qualified or overqualified job applicants.
Help reduce the probability that job applicants, once recruited and selected, will leave the
organization only after a short period of time.
Begin identifying and preparing potential job applicants who will be appropriate
candidates.
Induct outsiders with a new perspective to lead the company.
Infuse fresh blood at all levels of the organization.
Develop an organizational culture that attracts competent people to the company.
Search or head hunt/head pouch people whose skills fit the company’s values.
Devise methodologies for assessing psychological traits.
Search for talent globally and not just within the company.
Design entry pay that competes on quality but not on quantum.
Anticipate and find people for positions that do not exist yet.
Increase organizational and individual effectiveness in the short term and long term.
Evaluate the effectiveness of various recruiting techniques and sources for all types of job
applicants.
Recruitment represents the first contact that a company makes with potential employees. It is
through recruitment that many individuals will come to know a company, and eventually decide
whether they wish to work for it. A well-planned and well-managed recruiting effort will result
in high-quality applicants, whereas, a haphazard and piecemeal effort will result in mediocre
ones. High-quality employees cannot be selected when better candidates do not know of job
openings, are not interested in working for the company and do not apply. The recruitment
process should inform qualified individuals about employment opportunities, create a positive
image of the company, provide enough information about the jobs so that applicants can make
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comparisons with their qualifications and interests, and generate enthusiasm among the best
candidates so that they will apply for the vacant positions.
The negative consequences of a poor recruitment process speak volumes about its role in an
organization. The failure to generate an adequate number of reasonably qualified applicants can
prove costly in several ways. It can greatly complicate the selection process and may result in
lowering of selection standards. The poor quality of selection means extra cost on training and
supervision. Furthermore, when recruitment fails to meet the organizational needs for talent, a
typical response is to raise entry-level pay scales. This can distort traditional wage and salary
relationships in the organization, resulting in avoidable consequences. Thus, the effectiveness of
a recruitment process can play a major role in determining the resources that must be expended
on other HR activities and their ultimate success.
SUB-SYSTEMS OF RECRUITMENT
The recruitment process consists of the following four 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 the number of candidates required.
Management has to attract more candidates in order to increase the selection ratio so that the
most suitable candidate can be selected out of the total candidates available. Recruitment is
positive as it aims at increasing the number of applicants and selection is somewhat negative as it
selects the suitable candidates in which process; the unsuitable candidates are automatically
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eliminated. Though, the function of recruitment seems to be easy, a number of factors make
performance of recruitment a complex one.
INDUCEMENTS:
Organisational inducements are all the positive features and benefits offered by an organization
that serves to attract job applicants to the organisation. Three inducements need specific mention
here, they are:-
Compensation: Starting salaries, frequency of pay increases, incentives and fringe
benefits can all serve as inducements to potential employees.
Career Opportunities: These help the present employees to grow personally and
professionally and also attract good people to the organization. The feeling that the
company takes care of employee career aspirations serves as a powerful inducements to
potential employees.
Image or Reputation: Factors that affect an organisation’s reputation include its general
treatment of employees, the nature and quality of its products and services and its
participation in worthwhile social endeavors.
CONSTRAINTS
If a firm has a poor image in the market, many of the prospective candidates may not
even apply for vacancies advertised by the firm. If the job is not attractive, qualified people may
not even apply. Any job that is viewed as boring, hazardous, anxiety producing, low-paying, or
lacking in promotion potential seldom will attract a qualified pool of applicants. Recruiting
efforts require money. Sometimes because of limited resources, organizations may not like to
carry on the recruiting efforts for long periods of time, this can, ultimately, constrain a recruiter’s
effort to attract the best person for the job. Government policies often come in the way of
recruiting people as per the rules of the company or on the basis of merit/seniority, etc. For
example, reservations to specific groups (such as scheduled castes, scheduled tribes, backward
castes, physically handicapped and disabled persons, ex-servicemen, etc.) have to be observed as
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per constitutional provisions while filling up vacancies in government corporations, departmental
undertakings, local bodies, quasi-government organizations, etc.
RECRUITMENT- Relationship with other activities
CORPORATE MISSION, OBJECTIVES, STRATEGIES AND TACTICS (MOST)
Corporations have started linking their Mission, Objectives, Strategies and Tactics (MOST) to
the functions of recruitment and selection. The economic liberalizations and consequent
competition through quality and services necessitated the companies to search for and attract
competent human resources. Corporations focusing on new business development will have to
seek entrepreneurial abilities, companies planning to withdraw from diversifications must look
for pragmatists and companies chasing growth alliances should employ people comfortable in
different cultural backgrounds. Above all, companies must hire for the future, anticipating jobs
that may not be in existence yet. Recruitment managers must focus for attitudes and approaches
that fit the corporate goals and culture.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 28
RECRUITMENT POLICY
Recruitment policy of any organization is derived from the personnel policy of the same
organization. In other words the former is a part of the latter. However, recruitment policy by
itself should take into consideration the government’s reservation policy, policy regarding sons
of soil, etc., personnel policies of other organizations regarding merit, internal sources, social
responsibility in absorbing minority sections, women, etc. Recruitment policy should commit
itself to the organisation’s personnel policy like enriching the organisation’s human resources or
servicing the community by absorbing the retrenched or laid-off employees or casual/temporary
employees or dependents of present/former employees, etc.
The following factors should be taken into consideration in formulating recruitment policy. They
are:-
Government policies
Personnel policies of other competing organizations
Organisation’s personnel policies
Recruitment sources
Recruitment needs
Recruitment cost
Selection criteria and preference
RECRUITMENT- Matching that of the organization & applicants
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 29
IMPACT OF PERSONNEL POLICIES ON RECRUITMENT POLICIES
Recruitment policies are mostly drawn from personnel policies of the organization. According to
Dale Yodar and Paul D. Standohar, general personnel policies provide a wide variety of
guidelines to be spelt out in recruitment policy. After formulation of the recruitment policies, the
management has to decide whether to centralize or decentralize the recruitment function.
CENTRALISED V/s DECENTRALISED RECRUITMENT
Recruitment practices vary from one organization to another. Some organizations like
commercial banks resort to centralized recruitment while some organizations like the Indian
Railway resort to decentralized recruitment practices. Personnel department at the central office
performs all the functions of recruitment in case of centralised recruitment and personnel
departments at unit level/zonal level perform all the functions of recruitment concerning to the
jobs of the respective unit or zone.
MERITS OF CENTRALISED RECRUITMENT
Average cost of recruitment per candidate/unit should be relatively less due to economies
of scale.
It would have more expertise available to it.
It can ensure broad uniformity among human resources of various units/zones in respect
of education, skill, knowledge, talent, etc.
It would generally be above malpractices, abuse of powers, favouritism, bias, etc.
It would facilitate interchangeability of staff among various units/zones.
It enables the line managers of various units and zones to concentrate on their operational
activities by relieving them from the recruiting functions.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 30
It enables the organization to have centralised selection procedure, promotional and
transfer procedure, etc.
It ensures the most effective and suitable placement to candidates.
It enables centralised training programmes which further brings uniformity and
minimizes average cost of staff.
MERITS OF DECENTRALISED RECRUITMENT
The unit concerned concentrates only on those sources/places wherein normally gets the
suitable candidates. As such the cost of recruitment would be relatively less.
The unit gets most suitable candidates as it is well aware of the requirements of the job
regarding culture, traditional, family background aspects, local factors, social factors, etc.
Units can recruit candidates as and when they are required without any delay.
The units would enjoy freedom in finding out, developing the sources, in selecting and
employing the techniques to stimulate the candidates.
The unit would relatively enjoy advantage about the availability of information, control
and feedback and various functions/processes of recruitment.
The unit would enjoy better familiarity and control over the employees it recruits rather
than on employees selected by the central recruitment agency.
Both the systems of recruitment would suffer from their own demerits. Hence, the
management has to weigh both the merits and demerits of each system before making a final
decision about centralizing or decentralizing the recruitment. Alternatively management may
decentralize the recruitment of certain categories of employees preferably middle and top level
managerial personnel and centralize the recruitment of other categories of employee’s preferably
lower level positions in view of the nature of the jobs and suitability of those systems for those
categories of positions. The management has to find out and develop the sources of recruitment
after deciding upon centralizing or decentralizing the recruitment function.
4.1.3: Sources Of Recruitment:
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 31
The sources of recruitment may be broadly divided into two categories: internal sources and
external sources. Both have their own merits and demerits. Let’s examine these.
Internal Sources:-
Persons who are already working in an organization constitute the ‘internal sources’.
Retrenched employees, retired employees, dependents of deceased employees may also
constitute the internal sources. Whenever any vacancy arises, someone from within the
organization is upgraded, transferred, promoted or even demoted.
External Sources:-
External sources lie outside an organization. Here the organization can have the services
of : (a) Employees working in other organizations; (b) Jobs aspirants registered with employment
exchanges; (c) Students from reputed educational institutions; (d) Candidates referred by unions,
friends, relatives and existing employees; (e) Candidates forwarded by search firms and
contractors; (f) Candidates responding to the advertisements, issued by the organization; and (g)
Unsolicited applications/ walk-ins.
Merits and Demerits of ‘Recruiting people from ‘Within’
Merits Demerits
1) Economical: The cost of recruiting
internal candidates is minimal. No
expenses are incurred on advertising.
2) Suitable: The organization can pick the
right candidates having the requisite
1) Limited Choice: The organization is
forced to select candidates from a
limited pool. It may have to sacrifice
quality and settle down for less qualified
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 32
skills. The candidate can choose a right
vacancy where their talents can be fully
utilized.
3) Reliable: The organization has the
knowledge about suitability of a
candidate for a position. ‘Known devils
are better than unknown angels!’
4) Satisfying: A policy of preferring people
from within offers regular promotional
avenues for employees. It motivates
them to work hard and earn promotions.
They will work with loyalty commitment
and enthusiasm.
candidates.
2) Inbreeding: It discourages entry for
talented people, available outside an
organization. Existing employees may
fail to behave in innovative ways and
inject necessary dynamism to enterprise
activities.
3) Inefficiency: Promotions based on
length of service rather than merit, may
prove to be a blessing for inefficient
candidate. They do not work hard and
prove their worth.
4) Bone of contention: Recruitment from
within may lead to infighting among
employees aspiring for limited, higher
level positions in an organization. As
years roll by, the race for premium
positions may end up in a bitter race.
The merits and demerits of recruiting candidates from outside an organization may be
stated thus:
Merits and Demerits of External sources of Recruitment
Merits Demerits
Wide Choice: The organization has the
freedom to select candidates from a large
Expenses: Hiring costs could go up
substantially. Tapping multifarious sources
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 33
pool. Persons with requisite qualifications
could be picked up.
Infection of fresh blood: People with
special skills and knowledge could be hired
to stir up the existing employees and pave
the way for innovative ways of working.
Motivational force: It helps in motivating
internal employees to work hard and
compete with external candidates while
seeking career growth. Such a competitive
atmosphere would help an employee to
work to the best of his abilities.
Long term benefits: Talented people could
join the ranks, new ideas could find
meaningful expression, a competitive
atmosphere would compel people to give
out their best and earn rewards, etc.
of recruitment is not an easy task either.
Time consuming: It takes time to advertise,
screen, to test and test and to select suitable
employees. Where suitable ones are not
available, the process has to be repeated.
De-motivating: Existing employees who
have put in considerable service may resist
the process of filling up vacancies from
outside. The feeling that their services have
not been recognized by the organization,
forces then to work with less enthusiasm
and motivation.
Uncertainty: There is no guarantee that the
organization, ultimately will be able to hire
the services of suitable candidates. It may
end up hiring someone who does not fit and
who may not be able to adjust in the new
setup.
4.1.4: Methods Of Recruitment
The following are the most commonly used methods of recruiting people.
INTERNAL METHODS:
1. Promotions and Transfers
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 34
This is a method of filling vacancies from within through transfers and promotions.
A transfer is a lateral movement within the same grade, from one job to another. It may lead
to changes in duties and responsibilities, working conditions, etc., but not necessarily salary.
Promotion, on the other hand, involves movement of employee from a lower level position to a
higher level position accompanied by (usually) changes in duties, responsibilities, status and
value. Organisations generally prepare badli lists or a central pool of persons from which
vacancies can be filled for manual jobs. Such persons are usually passed on to various
departments, depending on internal requirements. If a person remains on such rolls for 240 days
or more, he gets the status of a permanent employee as per the Industrial Disputes Act and is
therefore entitled to all relevant benefits, including provident fund, gratuity, retrenchment
compensation.
2. Job Posting
Job posting is another way of hiring people from within. In this method, the organisation
publicises job opening on bulletin boards, electronic method and similar outlets. One of the
important advantages of this method is that it offers a chance to highly qualified applicants
working within the company to look for growth opportunities within the company to look for
growth opportunities within the company without looking for greener pastures outside.
3. Employee Referrals
Employee referral means using personal contacts to locate job opportunities. It is a
recommendation from a current employee regarding a job applicant. The logic behind employee
referral is that “it takes one to know one”. Employees working in the organization, in this case,
are encouraged to recommend the names of their friends, working in other organizations for a
possible vacancy in the near future. In fact, this has become a popular way of recruiting people
in the highly competitive Information Technology industry nowadays. Companies offer rich
rewards also to employees whose recommendations are accepted – after the routine screening
and examining process is over – and job offers extended to the suggested candidates. As a
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 35
goodwill gestures, companies also consider the names recommended by unions from time to
time.
External (direct) Methods
Campus Recruitment
It is a method of recruiting by visiting and participating in college campuses and their
placement centres. Here the recruiters visit reputed educational institutions such as IITs, IIMs,
colleges and universities with a view to pick up job aspirants having requisite technical or
professional skills. Job seekers are provided information about the jobs and the recruiters, in
turn, get a snapshot of job seekers through constant interchange of information with respective
institutions.
A preliminary screening is done within the campus and the short listed students are then
subjected to the remainder of the selection process. In view of the growing demand for young
managers, most reputed organizations (such as Hindustan Lever Ltd., Proctor & Cable, Citibank,
State Bank of India, Tata and Birla group companies) visit IIMs and IITs regularly and even
sponsor certain popular campus activities with a view to earn goodwill in the job market.
Advantages of this method include: the placement centre helps locate applicants and provides
resumes to organizations; applicants can be prescreened; applicants will not have to be lured
away from a current job and lower salary expectations. On the negative front, campus recruiting
means hiring people with little or no work experience.
The organizations will have to offer some kind of training to the applicants, almost
immediately after hiring. It demands careful advance planning, looking into the placement
weeks of various institutions in different parts of the country. Further, campus recruiting can be
costly for organizations situated in another city (airfare, boarding and lodging expenses of
recruiters, site visit of applicants if allowed, etc.).
If campus recruitment is used, steps should be taken by human resource department to ensure
that recruiters are knowledgeable concerning the jobs that are to be filled and the organizations
and understand and employ effective interviewing skills.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 36
Guidelines for campus recruiting: companies using college campuses as recruitment source
should consider the following guidelines:
Identify the potential candidates early: The earlier that candidate with top potential can be
identified, the more likely the organization will be in a position to attract them.
Employ various means to attract candidates: These may include providing research
grants; consulting opportunities to faculty members, funding university infrastructural
requirements, internships to students, etc. in the long run these will enhance the prestige
of the company in the eyes of potential job seekers.
Use effective recruitment material: Attractive brochures, films, computer diskettes,
followed by enthusiastic and effective presentations by company officials,
correspondence with placement offices in respective campus in a friendly way – will help
in booting the company image in the eyes of the applicants. The company must provide
detailed information about the characteristics of entry – level positions, especially those
that have had a major positive impact on prior applicants’ decisions to join the company.
Offer training to campus interviews: Its better to devote more time and resources to train
on campus interviewers to answer specific job –related questions of applicants.
Come out with a competitive offer: Keep the key job attributes that influence the
decisions of applicants such as promotional avenues, challenging assignments, long term
income potential, etc., while talking to candidates.
Indirect methods:-
Advertisements:-
These include advertisements in newspapers; trade, professional and technical journals; radio
and television; etc. in recent times, this medium has become just as colourful, lively and
imaginative as consumer advertising. The ads generally give a brief outline of the job
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 37
responsibilities, compensation package, prospects in organizations, etc. this method is
appropriate when (a) the organization intends to reach a large target group and (b) the
organizations wants a fairly good number of talented people – who are geographically spread
out. To apply for advertised vacancies let’s briefly examine the wide variety of alternatives
available to a company - as far as ads are concerned:
Newspaper Ads : Here it is easy to place job ads without much of a lead time. It has
flexibility in terms of information and can conveniently target a specific geographic
location. On the negative side, newspaper ads tend to attract only those who are
actively seeking employment at that point of time, while some of the best candidates
who are well paid and challenged by their current jobs may not be aware of such
openings. As a result, the company may be bombarded with applications from a
large number of candidates who are marginally qualified for the job – adding to its
administrative burden. To maintain secrecy for various reasons (avoiding the rush,
sending signals to competitors, cutting down expenses involved in responding to any
individual who applies, etc.), large companies with a national reputation may also go
in for blind-box ads in newspapers, especially for filling lower level positions. In a
blind-box ad there is no identification of the advertising organization. Job aspirants
are asked to respond to a post office box number or to an employment firm that is
acting as an agent between the job seekers and the organization.
Television and radio ads: These ads are more likely to each individual who are not
actively seeking employment; they are more likely to stand out distinctly, they help
the organization to target the audience more selectively and they offer considerable
scope for designing ads creatively. However, these ads are expensive. Also,
because the television or radio is simply seen or heard, potential candidates may
have a tough time remembering the details, making application difficult.
Third Party Methods
Private Employment Search Firms:-
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 38
As search firm is a private employment agency that maintains computerized lists of
qualified applicants and supplies these to employers willing to hire people from the list for a
fee. Firms like Arthur Anderson, Boble and Hewitt, ABC consultants, SB Billimoria, KPMG;
Ferguson Associates offers specialized employment-related services to corporate houses for a
fee, especially for top and middle level executive vacancies. AT the lower end, a number of
search firms operate – providing multifarious services to both recruiters and the recruitees.
Employment Exchanges:-
AS a statutory requirement, companies are also expected to notify (wherever the
Employment Exchanges Act, 1959, applies) their vacancies through the respective Employment
Exchanges, created all over India for helping unemployed youth, displaced persons, ex-military
personnel, physically handicapped, etc. AS per the Act all employers are supposed to notify the
vacancies arising in their establishments form time to time – with certain exemptions – to the
prescribed employment exchanges before they are filled. The Act covers all establishments in
public sector and non-agricultural establishments employing 25 or more workers in the private
sector. However, in view of the practical difficulties involved in implementing the provisions
of the Act (such as filing a quarterly return in respect of their staff strength, vacancies and
shortages, returns showing occupational distribution of their employees, etc.) many
organizations have successfully fought court battles when they were asked to pick up
candidates from among those sponsored by the employment exchanges.
Gate Hiring and Contractors:-
Gate hiring (where job seekers, generally blue collar employees, present themselves at the
factory gate and offer their services on a daily basis), hiring through contractors, recruiting
through word-of-mouth publicity are still in use – despite the many possibilities for their misuse
– in the small scale sector in India.
Unsolicited Applicants / Walk-ins:-
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 39
Companies generally receive unsolicited applications from job seekers at various points of
time; the number of such applications depends on economic conditions, the image of the
company and the job seeker’s perception of the types of jobs that might be available etc. Such
applications are generally kept in a data bank and whenever a suitable vacancy arises, the
company would intimate the candidates to apply through a formal channel. One important
problem with this method is that job seekers generally apply to number of organizations and
when they are actually required by the organizations, either they are already employed in other
organizations or are not simply interested in the position.
Alternatives to Recruitment:-
Since recruitment and selection costs are high (search process, interviewing agency fee,
etc.) firms these days are trying to look at alternatives to recruitment especially when market
demand for firm’s products and services is sluggish. Moreover, once employees are placed on
the payroll, it may be extremely difficult to remove them if their performance is marginal.
Some of the options in this regard may be listed thus:
Evaluation of Alternative Sources
Companies have to evaluate the sources of recruiting carefully – looking at cost, time,
flexibility, quality and other criteria – before earmarking funds for the recruitment
process. They cannot afford to fill all their vacancies through a particular source. To
facilitate the decision making process in this regard, companies rely on the following:
Time lapse data: They show the time lag between the dates of requisition for
manpower supply from a department to the actual date of filling the vacancies in that
department. For example, a company’s past experience may indicate that the average
number of days from application to interview is 10, from interview to offer is 7, from
offer to acceptance is 10 and from acceptance to report for work is 15. Therefore, if the
company starts the recruitment and selection process now it would require 42 days
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 40
before the new employee joins its ranks. Armed with this information, the length of the
time needed for alternative sources of recruitment can be ascertained – before pinning
hopes on a particular source that meets the recruitment objectives of the company.
Yield ratios: These ratios indicate the number of leads / contacts needed to generate a
given number of hires at a point at time. For example, if a company needs 10
management trainees in the next six months, it has to monitor past yield ratios in order
to find out the number of candidates to be contacted for this purpose. On the basis of
past experience, to continue the same example, the company finds that to hire 10
trainees, it has to extend 20 offers. If the interview-to-offer is 3:2, then 30 interviews
must be conducted. If the invitees to interview ratios are 4:3 then, as many as 40
candidates must be invited. Lastly, if contacts or leads needed to identify suitable
trainees to invite are in 5:1 ratio, then 200 contacts are made.
Surveys and studies: Surveys may also be conducted to find out the suitability of a
particular source for certain positions. For example, as pointed out previously,
employee referral has emerged as popular way of hiring people in the Information
Technology industry in recent times in India. Correlation studies could also be carried
out to find out the relationship between different organizational positions. Before
finally identifying the sources of recruitment, the human resource managers must also
look into the cost or hiring a candidate. The cost per hire can be found out by dividing
the recruitment cost by the number of candidates hired.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 41
4.2: SELECTION:
Introduction
The size of the labour market, the image of the company, the place of posting, the nature
of job, the compensation package and a host of other factors influence the manner of aspirants
are likely to respond to the recruiting efforts of the company. Through the process of recruitment
the company tries to locate prospective employees and encourages them to apply for vacancies at
various levels. Recruiting, thus, provides a pool of applicants for selection.
4.2.1: Definition
To select mean to choose. Selection is the process of picking individuals who have
relevant qualifications to fill jobs in an organisation. The basic purpose is to choose the
individual who can most successfully perform the job from the pool of qualified candidates.
4.2.2: Purpose
The purpose of selection is to pick up the most suitable candidate who would meet the
requirements of the job in an organisation best, to find out which job applicant will be successful,
if hired. To meet this goal, the company obtains and assesses information about the applicants in
terms of age, qualifications, skills, experience, etc. the needs of the job are matched with the
profile of candidates. The most suitable person is then picked up after eliminating the unsuitable
applicants through successive stages of selection process. How well an employee is matched to a
job is very important because it is directly affects the amount and quality of employee’s work.
Any mismatched in this regard can cost an organisation a great deal of money, time and trouble,
especially, in terms of training and operating costs. In course of time, the employee may find the
job distasteful and leave in frustration. He may even circulate ‘hot news’ and juicy bits of
negative information about the company, causing incalculable harm to the company in the long
run. Effective election, therefore, demands constant monitoring of the ‘fit’ between people the
job.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 42
The Process
Selection is usually a series of hurdles or steps. Each one must be successfully cleared
before the applicant proceeds to the next one. The time and emphasis place on each step will
definitely vary from one organisation to another and indeed, from job to job within the same
organisation. The sequence of steps may also vary from job to job and organisation to
organisation. For example some organisations may give more importance to testing while others
give more emphasis to interviews and reference checks. Similarly a single brief selection
interview might be enough for applicants for lower level positions, while applicants for
managerial jobs might be interviewed by a number of people.
Steps in Selecting Process
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 43
Reception
A company is known by the people it employs. In order to attract people with talents, skills and
experience a company has to create a favourable impression on the applicants’ right from the
stage of reception. Whoever meets the applicant initially should be tactful and able to extend
help in a friendly and courteous way. Employment possibilities must be presented honestly and
clearly. If no jobs are available at that point of time, the applicant may be asked to call back the
personnel department after some time.
Screening Interview
A preliminary interview is generally planned by large organisations to cut the cost of
selection by allowing only eligible candidates to go through the further stages in selection. A
junior executive from the Personnel Department may elicit responses from the applicants on
important items determining the suitability of an applicant for a job such as age, education,
experience, pay expectations, aptitude, location, choice etc. this ‘courtesy interview’ as it is often
called helps the department screen out obvious misfits. If the department finds the candidate
suitable, a prescribed application form is given to the applicants to fill and submit.
Application Blank
Application blank or form is one of the most common methods used to collect
information on the various aspects of the applicants’ academic, social, demographic, work
related background and references. It is a brief history sheet of employee’s background, usually
containing the following things:
Personal data (address, sex, telephone number)
Marital data
Educational data
Employment Experience
Extra-curricular activities
References and Recommendations
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 44
Usefulness of Application Blank or Form
Application blank is highly useful selection tool, in that way it serves three important
purposes:
1. It introduces the candidate to the company in a formal way.
2. It helps the company to have a cross-comparison of the applicants; the company can
screen and reject candidates if they fail to meet the eligibility criteria at this stage itself.
3. It can serve as a basis to initiate a dialogue in the interview.
4.2.3: Selection Testing
In this section let’ examine the selection test or the employment test that attempts to
asses intelligence, abilities, personality trait, performance simulation tests including work
sampling and the tests administered at assessment centres- followed by a discussion about the
polygraph test, graphology and integrity test.
A test is a standardized, objective measure of a person’s behaviour, performance or attitude. It is
standardised because the way the tests is carried out, the environment in which the test is
administered and the way the individual scores are calculated- are uniformly applied. It is
objective in that it tries to measure individual differences in a scientific way giving very little
room for individual bias and interpretation. Over the years employment tests have not only
gained importance but also a certain amount of inevitability in employment decisions. Since they
try to objectively determine how well an applicant meets the job requirement, most companies
do not hesitate to invest their time and money in selection testing in a big way. Some of the
commonly used employment tests are:
Intelligence tests
Aptitude tests
Personality tests
Achievement tests
Miscellaneous tests such as graphology, polygraph and honesty tests.
1. Intelligence Tests: These are mental ability tests. They measure the incumbent’s learning
ability and the ability to understand instructions and make judgements. The basic objective of
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 45
such test is to pick up employees who are alert and quick at learning things so that they can
be offered adequate training to improve their skills for the benefit of the organization. These
tests measure several abilities such as memory, vocabulary, verbal fluency, numerical ability,
perception etc. Eg. Standford-Binet Test, Binet-Simon Test, The Wechsler Adult Intelligence
Scale are example of standard intelligence test
2. Aptitude Test: Aptitude test measure an individual’s potential to learn certain skills-
clerical, mechanical, mathematical, etc. These tests indicate whether or not an individual has
the capabilities to learn a given job quickly and efficiently. In order to recruit efficient office
staff, aptitude tests are necessary. An aptitude tests is always administered in combination
with other tests like intelligence and personality tests as it does not measure on-the-job-
motivation
3. Personality Test: Of all test required for selection the personality tests have generated a lot
of heat and controversy. The definition of personality, methods of measuring personality
factors and the relationship between personality factors and actual job criteria has been the
subject of much discussion. Researchers have also questioned whether applicants answer all
the items truthfully or whether they try to respond in a socially desirable manner. Regardless
of these objections, many people still consider personality as an important component of job
success.
4. Achievement Tests: These are designed to measure what the applicant can do on the job
currently, i.e., whether the testee actually knows what he or she claims to know. A typing test
tests shows the typing proficiency, a short hand tests measures the testee ability to take
dictation and transcribe, etc. Such proficiency tests are also known as work sampling test.
Work sampling is a selection tests wherein the job applicant’s ability to do a small portion of
the job is tested. These tests are of two types; Motor, involving physical manipulations of
things(e.g., trade tests for carpenters, electricians, plumbers) or Verbal, involving problem
situation that are primarily language-oriented or people-oriented(e.g., situational tests for
supervisory jobs). Since
work samples are miniature replicas of the actual job requirements, they are difficult to fake.
They offer concrete evidence of the proficiency of an applicant as against his ability to the
job. However, work sample tests are not cost effective and every candidate has to be tested
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 46
individually. It is not easy to develop work samples for each job. Moreover, it is not
applicable to all levels of the organisation
5. Simulation Tests: Simulation exercise is a tests which duplicate many of the activities and
problems an employee faces while at work. Such exercises are commonly used while hiring
managers at various levels in an organisation. To asses the potential of a candidate for
managerial positions assessment centres are commonly used.
6. Assessment Centre: An assessment centre is an extended work sample. It uses procedures
that incorporate group and individual exercises. These exercises are designed to stimulate the
type of work which the candidate will be expected to do. Initially a small batch of applicants
comes to the assessment centre (a separate room). Their performance in the situational
exercise is observed and evaluated by a team of 6-8 assessors. The assessors’ judgement on
each exercise are complied and combined to have a summary rating for each candidate being
assessed.
Difference between Work Sample method and Assessment Centre
WORK SAMPLEASSESSMENT CENTRE
Suitable for routine, repetitive jobs
with visible outcomes
Takes a few minutes to test the
applicant
Evaluated by one supervisor
Can be done on location where the
applicant performs a small segment
of the job
Usually completed on one applicant
at a time
Suitable for managerial jobs, the
outcomes are not behaviourally
observable
Takes days to conduct various
exercise
Evaluated by a team of trained
observers
Requires a separate facility. The
centres are conducted for a variety
of task segments( that may not be
the real job) that may be included in
the real job
Usually performed on groups of
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 47
applicants at the same time
Evaluation of Assessment Centre Technique:
The assessment centre technique has a number of advantages. The flexibility of form and
content, the use of variety of techniques, standardised way of interpreting behaviour and pooled
assessor judgements accounts for its acceptance as a valuable selection tool for managerial jobs.
It is praised for content validity and wide acceptance in corporate circles. By providing a realistic
job preview, the techniques helps an candidate make an appropriate career choice. The
performance ratings are more objective in nature and could be used for promotions and career
development decisions readily. However, the method is expensive to design and administer.
Blind acceptance of assessment data without considering other information on candidates (past
and current performance) is always not advisable.
7. Graphology Test: Graphology involves using a trained evaluator to examine the lines,
loops, hooks, stokes, curves and flourishes in a person’s handwriting to assess the person’s
personality and emotional make-up. The recruiting company, may, for example, ask the
applicants to complete the application forms and write about why they want a job. These
samples may be finally sent to graphologist for analysis and the result may be put use while
selecting a person. The use of graphology, however, is dependent on the training and
expertise of the person doing the analysis. In the actual practice, questions of validity and just
plain skepticism have limited in use.
8. Polygraph (Lie-Detector) tests: the polygraph records physical changes in the body as the
tests subject answers a series of questions. It records fluctuations in respiration, blood
pressure and perspiration on a moving roll of graph paper. The polygraph operator forms a
judgement as to whether the subject’s response was truthful or deceptive by examining the
biological movements recorded on the paper. Critic, however, questions the appropriateness
of the polygraphs in establishing the truth about an applicant’s behaviour. The fact is that the
polygraph records the biological reaction in response to stress and does not record lying or
even conditions necessarily accompanying lying. Is it possible to prove that the responses
recorded by the polygraph occur only because a lie has been told? What about those
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 48
situations in which a person lies without guilt (pathological liar) or lies believing the
responses to be true? The fact of the matter is that polygraphs are neither reliable nor valid.
Since they invade the privacy of those tested, many applicants vehemently oppose the use of
polygraph as a selection tool.
9. Integrity Test: These are designed to measure employee’s honestly to predict those who are
more likely to steal from an employer or otherwise act in a manner unacceptable to the
organization. The applicants who take these tests are expected to answer several ‘yes’ or ‘no’
type questions such as:
Typical Integrity Questions
Typical Integrity Questions Yes No
Have you ever told a lie?
Do you report to your boss if you know of
another employee stealing from the store?
Do you carry office stationary back to your
home for occasional use?
Do you mark attendance for your colleagues
also?
Often these tests contain questions that repeat themselves in some way and the evaluator then
examines the consistency in responses. Companies that have used integrity tests have reported
success in tracking employees who indulge in ‘theft’. However, these tests ultimately suffer from
the same weakness as polygraph and graphology test.
Tests as Selection Tool:
Test are useful selection devices in that they unover qualifications and talents that can’t
be detected otherwise. They can be used to predict how well one would perform if one is hired,
why one behaves the way one does, what situational factors influence employee productivity,
etc. Tests also provide unbiased information that can be put to scientific and statistical analysis.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 49
However, tests suffer from sizeable errors of estimate. Most psychological tests also have
one common weakness, that is, we can’t use scales which have a know zero point and equal
intervals. An intelligence test, for example starts at an arbitrary point, where a person may not be
able to answer question properly. This does not mean that the person is totally lacking in
intelligence. Likewise, a person who is able to answer all the 10 questions correctly cannot be
called twice as intelligent as the one who was able to answer only 5. If the test has commenced at
some other point, where there easier questions, their score might have been different. Test also
fails to elicit truthful responses from testees. To compound the problem further, test results are
interpreted in a subjective was by testers and unless these testers do their homework well, the
results may not be reliable.
Standards for Selection Tests
To be useful as predictive and diagnostic selection tools, test must satisfy certain basic
requirements:
Reliability: Test scores should not vary widely under repeated conditions. If a test is
administered to the same individual repeatedly, he should get approximately identical
score. Reliability is the confidence that an indicator will measure the same thing every
time.
Validity: Validity is the extent to which an instrument measures what it intends to
measure. In a typing test validity measures a typist’s speed and accuracy. To determine
whether it really measures the speed and accuracy of a typist is to demonstrate its
validity. The question if determining the validity of a selection test, thus, has a lot to do
with later performance on the job.
Qualified People: Test require a high level of professional skills in their administration
and interpretation. Professional technicians are needed for skilled judgmental
interpretations of test scores.
Preparation: A test should be well prepared. It should be easy to understand and simple to
administer.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 50
Suitability: a test must fit the nature of the group on which it is applied. A written test
comprising difficult words would be fruitless when it is administered on less educated
workers.
Usefulness: Exclusive reliance on any single test should be avoided, since the results in
such a case are likely to be criticized. To be useful, it is always better to use a battery of
test.
Standardization: Norms for finalising test scores should be established. There must be
prescribed methods and procedures for administering the test and for scoring or
interpreting it.
Selection Practices:
The following throws light on how the global giants use selection testing as a basis for
picking up the right candidates to fill up the vacancies arising internally:
1. Siemens India: It uses extensive psychometric instruments to evaluate short-listed
candidates. The company uses occupational personality questionnaire to understand the
candidate’s personal attributes and occupational testing to measure competencies.
2. LG Electronics India: LG Electronics uses 3 psychometric tests to measure a person’s
ability as a team player, to check personality types and to find a person’s responsiveness and
assertiveness.
3. Arthur Anderson: while evaluating candidates, the company conducts critical behaviour
interviewing which evaluates the suitability of the candidate for the position, largely based on
his past experience and credentials
4. PepsiCo India: The Company uses India as a global recruitment resource. To select
professionals for global careers with it, the company uses a competency- based interviewing
technique that looks at the candidate’s abilities in terms of strategizing, lateral thinking,
problem solving, managing the environment. This apart, Pepsi insists that to succeed in a
global posting, these individuals possess strong functional knowledge and come from a
cosmopolitan background.
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Source: Business Today, April 7-21 2004, pg 129.
Selection Interview:
Interview is the oral examination of candidates for employment. This is the most essential step in
the selection process. In this step the interviewer matches the information obtained about the
candidates through various means to the job requirements and to the information obtained
through his own observations during the interview. Interview gives the recruiter an opportunity –
To size up the candidate personally;
To ask question that are not covered in the tests;
To make judgments on candidates enthusiasm and intelligence;
To assess subjective aspects of the candidate – facial expressions, appearance,
nervousness and so forth;
To give facts to the candidates regarding the company, its policies, etc. and promote
goodwill towards the company.
Types of interviews:
Several types of interviews are commonly used depending on the nature and importance of the
position to be filled within an organization.
In a NON-DIRECTIVE INTERVIEW the recruiter asks questions as they come to mind. There
is no specific format to be followed.
In a PATTERNED INTERVIEW, the employer follows a pre-determined sequence of
questions. Here the interviewee is given a special form containing questions regarding his
technical competence, personality traits, attitudes, motivation, etc.
In a STRUCTURED OR SITUATIONAL INTERVIEW, there are fixed job related questions
that are presented to each applicant.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 52
In a PANEL INTERVIEW several interviewers question and seek answers from one applicant.
The panel members can ask new and incisive questions based on their expertise and experience
and elicit deeper and more meaningful expertise from candidates.
Interviews can also be designed to create a difficult environment where the applicant’s
confidence level and the ability to stand erect in difficult situations are put to test. These are
referred to as the STRESS INTERVIEW. This is basically an interview in which the applicant
is made uncomfortable by a series of, often, rude, annoying or embarrassing questions.
In the final category, there is the APPRAISAL INTERVIEW, where a superior and subordinate
sit together after the performance appraisal to discuss the subordinate’s rating and possible
remedial actions.
Steps in interview process:
Interview is an art. It demands a positive frame of mind on part of the interviewers. Interviewers
must be treated properly so as to leave a good impression about the company in their minds. HR
experts have identified certain steps to be followed while conducting interviews:
PREPARATION:
Establishing the objective of the interview
Receiving the candidates application and resume
Keeping tests score ready, along with interview assessment forms
Selecting the interview method to be followed
Choosing the panel of experts who would interview the candidates
Identifying proper room for environment
RECEPTION:
The candidate should be properly received and led into the interview room. Start the
interview on time.
INFORMATION EXCHANGE:
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 53
State the purpose of the interview, how the qualifications are going to be matched with
skills needed to handle the job.
Begin with open ended questions where the candidate gets enough freedom to express himself.
Focus on the applicant’s education, training, work experience, etc. Find unexplained gaps in
applicants past work or college record and elicit facts that are not mentioned in the resume.
EVALUATION:
Evaluation is done on basis of answers and justification given by the applicant in the
interview.
PHYSICAL EXAMINATION:
After the selection decision and before the job offer is made, the candidate is required to
undergo a physical fitness test. A job offer is often contingent upon the candidate being declared
fit after the physical examination.
Medical examination:
Certain jobs require physical qualities like clear vision, perfect hearing, unusual stamina,
tolerance of hard working conditions, clear tone, etc. Medical examination reveals whether or not
a candidate possesses these qualities.
Reference Checks
Once the interview and medical examination of the candidate is over, the personnel department
will engage in checking references. Candidates are required to give the names of 2 or 3
references in their application forms. These references may be from the individuals who are
familiar with the candidate’s academic achievements or from the applicant’s previous employer,
who is well versed with the applicant’s job performance and sometimes from the co-workers. In
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 54
case the reference check is from the previous employer, information in the following areas may
be obtained.
They are job title, job description, period of employment, pay and allowances, gross
emoluments, benefits provided, rate of absence, willingness of previous employer to employ the
candidate again, etc. Further, information regarding candidate’s regularity at work, character,
progress, etc. can be obtained. Often a telephone call is much quicker. The method of mail query
provides detailed information about the candidate’s performance, character and behavior.
However, a personal visit is superior to the mail or telephone methods and is used where it is
highly essential to get a detailed, first hand information which can also be secured by
observation. Reference checks are taken as a matter of routine and treated casually or omitted
entirely in many organizations. But a good reference check, when used sincerely, will fetch
useful and reliable information to the organization.
Hiring decision:
The line manager has to make the final decision now – whether to select or reject a candidate
after soliciting the required information through different techniques discussed earlier. The line
manager has to take adequate care in taking the final decision because of economic, behavioral
and social implications of the selection decisions. A careless decision of rejecting a candidate
would impair the morale of the people and they suspect the selection procedure and the very
basis of selection in a particular organization.
A true understanding between line managers and personnel managers should be
established so as to facilitate good selection decisions. After taking the final decision, the
organization has to intimate this decision to the successful as well as unsuccessful candidates.
The organization sends the appointment order to the successful candidates either immediately or
after sometime depending upon its time schedule.
Interviewing Mistakes:
Favors applicants who share his own attitudes;
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 55
Not be asking right questions and hence not getting relevant responses;
Resort to snap judgments, making a decision as to the applicant’s suitability in the first
few minutes of the interview. Too often interviewers form on early impression and spend the
balance of interview looking for evidence to support it;
May have been influenced by ‘cultural noise.’ To get the job, the applicants try to get by
the interviewer. If they reveal wrong things about themselves, they may not get the job, so
they try to give the interviewer responses that are socially acceptable, but not very revealing.
These types of responses are known as cultural noise – responses the applicant believes are
socially acceptable rather than facts;
May have allowed him to be unduly influenced by associating a particular personality
trait with a person’s origin or cultural background and that kind of stereotyping/generalizing
ultimately determining the score of a candidate. For example, he may feel that candidate
from Bihar may find it difficult to read, write and speak English language and hence not
select them at all;
May conclude that a poorly dressed candidate is not intelligent, attractive females are
good for public dealings, etc. This is known as ‘Halo Effect’ where a single important trait of
a candidate affects the judgment of the rather. The halo effect is present if an interviewer
allows a candidate’s accomplishments in athletics overshadow other aspects and leads the
interviewer to like the applicant because ‘athletes make good sales people’;
Have been influenced more by unfavorable than favorable information about or from the
candidate. Unfavorable information is given roughly twice the weight of favorable
information. According to Dobmeyer and Dunette, a single negative characteristic may bar
an individual from being accepted, while no amount of positive features will guarantee a
candidate’s acceptance;
Have been under pressure to hire candidates at short notice;
Have been influenced by the behavior of the candidates (how he has answered, his body
language), his or her dress (especially in case of female candidates) and other physical
factors that are not job related.
4.2.4: Barriers to effective selection:
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 56
The main objective of selection is to hire people having competence and commitment.
This objective is often defeated because of certain barriers. The impediments which check
effectiveness of selection are perception, fairness, validity, reliability, and pressure.
PERCEPTION: Our inability to understand others accurately is probably the most fundamental
barrier to selecting right candidate. Selection demands an individual or a group to assess and
compare the respective competencies of others, with the aim of choosing the right persons for the
jobs. But our views are highly personalized. We all perceive the world differently. Our limited
perceptual ability is obviously a stumbling block to the objective and rational selection of people.
FAIRNESS: Fairness in selection requires that no individual should be discriminated against on
the basis of religion, region, race or gender. But the low number of women and other less
privileged sections of society in the middle and senior management positions and open
discrimination on the basis of age in job advertisements and in the selection process would
suggest that all the efforts to minimize inequity have not been very effective.
VALIDITY: Validity, as explained earlier, is a test that helps predict job performance of an
incumbent. A test that has been validated can differentiate between the employees who can
perform well and those who will not. However, a validated test does not predict job success
accurately. It can only increase possibility of success.
RELIABILITY: A reliable method is one which will produce consistent results when repeated in
similar situations. Like a validated test, a reliable test may fall to predict job performance with
precision.
PRESSURE: Pressure is brought on the selectors by politicians, bureaucrats, relatives, friends,
and peers to select particular candidate. Candidates selected because of compulsions are
obviously not the right ones. Appointments to public sector undertakings generally take place
under such pressure.
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4.3: RECRUITMENT AND SELECTION PROCESS AT
DECATHLON
First step in recruitment is manpower planning or human resource planning. The manpower
requirement is estimated by the functional heads in their respective departments. Then they fill
up the “requisition form” and submit it to the HR dept. from where it is approved and then sent
to the MD for final approval. After which it is finalized how much staff is required and the type
of qualifications that are required by them.
Second step is to search for the right kind of candidates, the methods followed for searching
purpose:
1) JOB PORTALS
a) monsterjobs.com
b) naukri.com
c) timesjobs.com
2) DIRECT APPLICATIONS
3) REFERENCE CVs
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4) DATABASE OF RESUME
5) CONSULTANTS, PLACEMENT AGENCIES
6) CAMPUS SELECTION
Now after search is over, the screening of the resume begins. In this step all the resumes are
checked for appropriate qualifications and the other required criteria. Here the resumes which
fulfill the required criteria are short listed and the others are rejected. Now these short listed
resumes are further screened by the concerned HODs for appropriate technical qualifications and
the candidates who are short listed hereafter are called for the interview.
Before organizing the interview for the short listed candidates they are informed
about the company profile, job profile, and the salary details etc. and they are asked for their
confirmation regarding their willingness to do the job after being selected. This is necessary in
order to save the time and cost of the whole interview procedure in case the candidate is not
interested in the job.
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5. FINDINGS AND ANALYSIS
FINDINGS
Employees join the company for the following reasons:
1) Reputation of the company
2) Working environment of the company
3) Location of the company
4) Salary
5) Job prospects
6) Career growth
Chart showing the willingness of candidates to join the company:
Chart – 6.1
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 60
location of thecompany
14%
Salary17%
Job prospects12%
CareerGrowth
18%
Working environment
of thecompany
15%
Reputation ofthe company
24%
RECRUITMENT PROCESS:
Employees are recruited in the following ways :
1) Written exam and interview
2) Interview
3) Others
Chart showing the recruitment process for the candidates:
Chart -6.2
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 61
SOURCES OF RECRUITMENT:
1) JOB PORTALS (A)
2) DIRECT APPLICATIONS (B)
3) REFERENCE CVs (C)
4) ADVERTSEMENTS (D)
5) CONSULTANTS, PLACEMENT AGENCIES (E)
6) CAMPUS SELECTION (F)
Chart -6.3
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 62
Others4%
written examand interview
28%
interview68%
A55%
B5%
C7%
D20%
E10%
F3%
ELIGIBILITY CRITERIA FOR RECRUITMENT:
1) UNDER GRADUATES – Generally needed for the floor works for the posts of peon and
office boy etc.
2) GRADUATES
3) POST GRADUATES
4) EXPERIENCED
5) ENGINEERS
Chart -6.4
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 63
Under graduates10%
Graduates25%
Post graduates 15%
Experienced10%
Engineers40%
EMPLOYEE SATISFACTION LEVELS:
(Out of 10) Chart -6.5
8
7.6
6.8
6
6
8.4
4.4
4.8
3.6
0 2 4 6 8 10
Appreciation
Understanding
Tactful Discipline
Management loyality
Interesting Work
Good Working Conditions
Promotions
Job Security
Salary
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 64
6. CONCLUSION
The whole project concluded that the RECRUITMENT AND SELECTION procedure is very
essential for every organization. This procedure helps in recruiting the best candidate for the
required job. The study of my project was done in the private sector enterprise. They also
adopted the same procedure for recruiting or selecting the candidate as the other companies do.
In my project I studied the concept of Recruitment and Selection in DECATHLON and also
collected the data about their practices which concluded that they do the recruitment for vacant
posts generally on account of retirements and transfers as the employees have been working with
them from quite a long time and new recruitments do take place but their occurrence rate is quite
low.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 65
7. RECOMMENDATIONS
Different types of positions require different kind of selection techniques. Choosing the right
techniques will help you to recruit the best person for best position. The selection technique
you choose depend on the particular skills, attributes and knowledge required for the
position. You must match the selection method with the selection criteria that are almost
critical to the position.
At DECATHLON, the selection technique normally used is the interview. The interview’s
value is greatly increased when it is well structured, incorporates behavior based questions
and is used in conjunction with other selection techniques.
We need to combine two or more techniques to assess a range of skills and qualities in a
candidate. For example, work samples are an excellent way to assess what a candidate is
capable of (i.e. their maximum performance) but they do not provide information on what
the candidate do daily (i.e. their typical performance).
There are many other techniques which the company should follow to make their selection
process more effective and these are as follows:-
TELEPHONE INTERVIEW (VEDIO/TELECONFERENCING) – For the position
that are likely to attract the candidates from different states of our country it may
be necessary to conduct initial discussion via telephone or video. Telephone
interview are normally used to make a preliminary assessment of a candidate.
However, it may help to meet the candidate face-to-face making final
recommendation.
WORK SAMPLES - It involves an individual or group of candidates completing
exercise that they would be required to undertake as part of the position. The
selection committee should determine acceptable responses or outcomes prior to
administering any sort of work sample test.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 66
PEER ASSESSMENT – It involves asking the candidate’s colleagues to predict
how the candidate will respond if placed in a particular work situation or role. It is
often used to predict future leadership and managerial success.
ASSESSMENT CENTERS – The assessment centre is traditionally used for large
scale or bulk requirement exercise. Assessment centers vary in complexity and are
typically conducted by trained consultants.
PSYCHOMETRIC TESTING – Psychometric testing includes cognitive ability
test, objective personality and interest inventories and leadership ability tests.
Psychometric and ability test can be administered at all levels to help the selection.
It is used in recruitment of usually those that indicate work preference.
INFORMAL MEETING – It can be used as a way of observing a candidate’s
behavior in a less formal environment, such as lunches or morning tea with staff or
key stakeholder.
Any additional selection method used should be clearly related to the person and role
specification and be capable of assessing a candidates competencies in performing the particular
job.
HMR INSTITUTE OF TECHNOLOGY & MANAGEMENT 67
8. LIMITATIONS
To measure the recruitment and selection of an organization it will take a long time. The
organization would not need to be helpful and cooperative in sharing the information about its
employees.
Although serious efforts were made to collect authentic and maximum information from the
respondents even then this report is subject to certain limitations.
First of all this is a very big organization consisting of many departments so there was not much
time available for each department.
Secondly, all the results and conclusions are drawn on the basis of whatever information
provided by the manager and the other employees working in DECATHLON. So there are some
chances of individual biasness also.
The biggest constraint was the TIME as the area of study being so vast and being an
organization having so many departments. This process requires much more time. The
employees in the beginning were hesitating in providing the relevant information since the
industry is one of the highly competitive industries but it was seen that the information provided
by them was kept strictly confidential.
We had to visit a number of times to all the managers and other working staffs for collecting the
information since the manager and other employees were not able to give us all the information
at one particular point of time.
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9. BIBLOGRAPHY
H R MANUAL, DECATHLON (Indeca Sporting Goods Pvt. Ltd.).
BOOKS:
Aswathappa K, Human Resource & Personnel Management, Tata McGraw-Hill
Publishing Co. Ltd., New Delhi, Sixth edition 2001.