Temporary Staffing & Payroll of Planman HR Indus Business Academy Page 1 (Summer Internship Project Report) For academic purpose of Indus Business Academy AN ORGANIZATIONAL STUDY ON TEMPORARY STAFFING & PAYROLL OF PLANMAN HR PVT LTD Submitted by: Mr. Chinmoy Mahapatra FPB1214/032 Under the Guidance of: Internal Guide: External Guide: Prof. Suresh Chandra Mrs. Rajeshwari Sahadev Asst. Dean (Exams) Recruitment Manager HR Indus Business Academy Planman HR Bangalore Bangalore 560062 560034
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Temporary Staffing & Payroll of Planman HR
Indus Business Academy Page 1
(Summer Internship Project Report)
For academic purpose
of
Indus Business Academy
AN ORGANIZATIONAL STUDY
ON
TEMPORARY STAFFING & PAYROLL
OF
PLANMAN HR PVT LTD
Submitted by:
Mr. Chinmoy Mahapatra
FPB1214/032
Under the Guidance of:
Internal Guide: External Guide:
Prof. Suresh Chandra Mrs. Rajeshwari Sahadev
Asst. Dean (Exams) Recruitment Manager HR
Indus Business Academy Planman HR
Bangalore Bangalore
560062 560034
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Director’s Certificate
This is to certify that Chinmoy Mahapatra is a bonafied student of Indus Business
Academy, Bangalore and is presently pursuing his Post Graduate Diploma in
Management.
He has submitted his Project titled “Temporary Staffing & Payroll of Planman
HR” at Planman HR in partial fulfillment of the requirement of Post Graduate
Diploma in Management of Indus Business Academy.
This project has not been previously submitted as part of another degree or diploma of
initiatives, contingent workforce, decentralized work sites and employee involvement
are the issue for confront. It is a big challenge for the HRM department to support the
organization by providing the best personnel for the suitable position in shortest
possible time.
Starting with getting the requirements list till final planning, recruitment and selection
for them is a great task. Moreover selecting and attracting the suitable candidates in
time is a challenge.
The cost of recruitment is significant. So, proper planning and putting those plans into
action is the task that require more focus and improvement. Equal opportunity and
sourcing is also a vital part.
Objectives of the Study
Broad Objective
To know overall about the company Planman HR and also to know each and every
part of the Temporary Staffing and Payroll process of the company.
Specific Objectives
1. To focus on major elements of Recruitment and Selection process of temporary
employees.
2. To focus on the process of Recruiting and selecting candidates.
3. To focus on the use of modern techniques.
Methodology
Source of Information
1. Primary The primary information was collected through face to face interview,
observation and participation in the recruitment and selection process.
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2. Secondary The secondary information was collected from websites and other
relevant sources.
Both primary and secondary data sources were used to generate this report. Primary
data sources are scheduled survey, informal discussion with professionals and
observation while working at different desks. The secondary data sources were
information from internet websites and relevant sources.
Scope of the research
The report deals with the recruitment and selection process in terms of theoretical
point of view and the practical use. The study will allow learning about the
recruitment and selection issues, importance, modern techniques and models used
to make it more efficient. The study will help to learn the practical procedures
followed by the leading organizations. Moreover the study will help to differentiate
between the practice and the theories that direct to realize how the organization can
improve their recruitment and selection process.
Limitations of the research
The main limitation of the study was the collection of information. Because most of
the information is confidential, so the company people didn’t want to disclose them.
Aim of the study
To analyze the present recruitment methodology of temporary employees in small
and big organizations, proposing modifications and improvements for the same.
Background of the study
Recruitment is the process of identifying and attracting a group of potential
candidates from outside the organization for employment. Once these candidates are
identified, the process of selecting appropriate employees for employment begins.
This means collecting information about the candidates from various sources,
measuring and evaluating information about these candidates, qualification, skill
requirement and experience (if applicable) for specified positions.
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Issues, Global and National Overview
Temporary staffing agencies provide solutions to their client's personnel problems by
providing a short-term work force that consists of skilled workers available at a
moment's notice. There are many factors that affect a staffing company's success,
including employee work ethics, the staffing company's reputation, ethical issues,
including competition, global and local political condition and the economy.
Issues relating to the Temp Staffing Industry
1. No-Shows: One of the most challenging aspects of running a temporary staffing agency is employees failing to arrive on the job site. Commonly referred to as "no-shows," this is the fastest way to lose a top client. No-shows are most common on short-term assignments that provide no opportunity for a permanent or long-term position. The key to minimizing no-shows is to build a strong team of employees that can be counted on, regardless of the length of the assignment.
2. Reputation: A temporary staffing company is only as good as the temporary employees it sends to its clients. Many agencies focus on volume rather than high quality employees. Unfortunately, bad news spreads rapidly and a few simple hiring mistakes can cause a major road block for future business growth. If a difficult employee creates a situation on a job site, prompt and professional attention to the situation is the best way to protect the staffing agency's reputation.
3. Ethics: Some clients will have unethical requests, such as not hiring minority or disabled employees. It is a staffing company's legal and ethical responsibility to meet all Equal Employment Opportunity requirements. These unfortunate and common requests are not only unethical, but also illegal. Other staffing companies may be willing to take the chance by hiding unethical practices. It is always best to leave these types of clients for the competition, regardless of the potential profits.
4. Competition: Areas that have a high concentration of potential clients also tend to have a large number of temporary staffing agencies. This type of competition can be fierce, and a common strategy many staffing agencies use is significant underbidding. While there may be the occasional client that feels negotiating a lower-than-standard fee is worthwhile due to volume, this practice should be avoided as it lowers the profit margins throughout the entire market over time. Setting minimum fees and standing by that price may cost a staffing company a few low paying clients. However, the clients that do pay a reasonable fee are the companies the staffing agency should strive to serve.
5. Economy: Many industries are greatly affected by fluctuation in the economy. An example of this is the construction industry, which is directly tied to the housing industry. When the economy is suffering, the demand for new homes declines. This has a trickle-down effect that will leave a temporary staffing agency that only works in construction with no assignments for their
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employees. Diversifying the staffing agency's specialties is the best way to protect the bottom line. With industry diversity, a staffing company can shift employees from a slow moving industry to one that actively requires a temporary workforce. For example, construction workers without available assignments due to lack of new home construction often can be placed in warehouse or manufacturing positions.
Staffing Companies: The Global Experience
Staffing companies globally support companies and workers in adapting to seasonal
changes in the economy. The increase in structural changes in recent years has
brought a new set of challenges to economies and labor markets.
Globalization, demographic evolution, unpredictability and complexity combined with
new attitudes to work have resulted in economies across the world experiencing
deep structural shifts. For labor markets, the consequences are severe: persistent
high level of unemployment (which hits young people disproportionately hard), the
need for new skills for new jobs, low occupational and geographic work mobility, a
risk of segmentation of labor markets, low labor market participation rates (especially
for women and older workers) and the need to reconcile diverse forms of labor
relations with decent working conditions. According to the report staffing companies
are well placed to enable adaptation to these structural changes. With its
international reach and specialized market knowledge, the sector facilitates
adaptation to change in labor markets that are becoming increasingly complex,
volatile and unpredictable.
Some of the key observations made in the study are:
Higher the agency work penetration rate, lower the unemployment rate.
ermanent contracts.
te to reducing undeclared work.
eople to enter and stay in labor markets. Agency
work is often their first opportunity to gain work experience.
.
Staffing Companies: The Indian Experience
In India, where the labor market is highly fragmented, organized employment (based
on formal, written employment contracts) has been stagnant for many years leaving
unorganized employment (without written employment contracts or undeclared)
jobless. By creating new, formal job opportunities each year, the temporary staffing
industry plays a key role in reducing both unemployment and undeclared work. For
the workers, the industry provides decent work, safe working conditions and a
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reassurance that they will be paid. The contract duration of a typical temp job in India
varies between 2 months to 18 months – this is very close to the global mean
duration of 3 months to 24 months.
In emerging markets such as India, where employability is a significant problem,
Temporary Staffing firms are serving a crucial role.
As the area of human resource management becomes more strategic and more
global, recruitment, especially of temporary employees is becoming more important
and critical to the organization. While most companies seem to have recognized this,
there are some that are lagging behind. As a consequence they are doing many
things that would make their management of human resources as effective as
possible. In doing so doing, some of the things that are being observed are:
1) The roles that the HR department and its HR professionals have traditionally
played are changing substantially;
2) The competencies required by the HR professionals to play these new roles are
also changing rapidly with dramatic implications for the current HR staff and leaders;
3) The HR professionals are working more closely, in partnership, with line
managers, employees, suppliers, representatives of labor unions, strategic partners,
members of community organizations and placement consulting firms in order to be
more effective in managing the firm’s human resources; and finally,
4) The structure of the HR department and the HR function are being reshaped in
order to better serve the various stakeholders of HR in order to make the
management of people and the organization more effective.
Objective of the study
1. Champion sustainable growth of the Staffing Industry
2. Provide an authoritative voice to the Staffing Industry
3. Establish quality standards for the Staffing Industry at large and a code of conduct
for the members
4. Increase visibility and enhance the image of the Staffing industry and strengthen
its representation
5. Promote Staffing as an effective enabler of socio-economic growth
6. Developing Staffing Industry as a choice of employment
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Findings and Recommendations
1. Fragmented Market Space
Indian staffing industry is very fragmented, clustered mainly around the metro
political cities and IT hubs leaving a large geographical landscape un-assed.
Recommendation
This is a disguise in boon as the fragmented market space provides an opportunity
for the staffing firms to grow by consolidating particularly in fragmented markets by
strategic acquisitions. Moreover, the process is accelerating as general staffing
companies are seeking a stronger foothold in the professional staffing markets in
order to achieve a more diversified service range and access to the more profitable
specialist segments.
2. Deregulation
The regulatory framework of labor market creates a significant influence on
the staffing market size and growth rates.
Recommendation
There is a direct relationship between the regulatory frameworks of labor markets
and staffing market size – more flexible labor markets lead to higher penetration
rates for the staffing industry.
3. Economic Environment
Demand for HR services is sensitive to changes in the level of economic
growth. In good times, when GDP expands, demand for temporary
employees increases. In a downturn, companies tend to reduce their quota of
temporary employees before permanent staff, resulting in lower revenues for
the staffing business, with a negative impact on profitability and the financial
position.
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Recommendation
Given the importance of the staffing industry, it is important that management at
country level is aware of economic developments in order to adapt the cost base to
revenue trends. Corporate and regional management need to maintain an active
dialogue so that capacity can be judged as and when necessary. Close monitoring of
monthly results and update forecasts ensures a rapid response to business
developments.
4. Client attraction and retention
The staffing firm’s business potential and long-term profitability depends on
attracting and retaining clients. Client satisfaction breeds loyalty and leads to
consecutive assignments. Failure to provide this is a business risk.
Recommendation
Staffing firms can conduct a local client satisfaction survey with management-defined
short-term targets. The results will help to draw up strategies and gear the services to
client needs. In addition staffing firms can also continue to review and improve the
delivery model.
5. External Talent attraction and retention
The success of staffing firms depends on their ability to attract and retain
external talent who possess the skills and the experience to meet client’s
staffing needs. With talent shortages in certain sectors and intensive
competition for skilled individuals, providing suitably qualified candidates is
both a challenge and a risk. The continued success of staffing business
depends on the ability of the staffing firm to offer attractive conditions to retain
colleagues.
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Recommendation
A key to retaining external talent is to offer consecutive assignments and competitive
wages. Staffing firms can continually evaluate and upgrade the supplied pool of
qualified people to keep up with changing client needs and emerging technologies.
6. Notion and Reality that the individual rules
The rapid rise of a new class of employees comprising essentially of young
people with an entirely new set of expectations and motivations when
combined with the talent shortage, has shifted the power from the employer to
the individual, resulting in the retention of talent becoming all the more
elusive. This significant role reversal has triggered considerable changes in
the way companies project themselves as employers. While strengthening
their brand equity, the companies have to emerge as an individual centric
management rather than a homogenous group management.
7. Streamlined Processes
Many staffing companies still use Excel spreadsheet and even handwritten
notes to manage central processes like recruiting, prospecting, matching
applicants to orders etc. Today’s staffing industry depends on the speed to
find top talent and fill job orders, using manual processes like these puts the
staffing firms at a risk of losing clients to the competition.
Recommendation
The staffing solution automates the time consuming aspects of staffing office
business processes such as client, applicant and order management so that the
employees of the staffing firm can focus on filling more job orders and better serving
the clients. It also streamlines the pay-to-bill process, improving efficiency and
reducing errors so that the staffing firms can increase cash flow. As a result
employees are empowered to work more efficiently and effectively to grow the
business.
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8. Efficient Order Management
Manual processes can be challenging for a single-office company. Yet for a
company that operates in multiple locations, manual processes can become
cumbersome. This can significantly inhibit the ability to fill job orders quickly
and, ultimately, grow the business.
Recommendation
The staffing solution provides a single source for managing and viewing job orders
and assignments, thus eliminating the need to search through stacks of handwritten
job orders and assignments to understand the pipeline or track down a recruiter to
get the status of an order.
9. Front to back Integration
Different systems create multiple versions of information that impede the
ability of a staffing firm to manage the business efficiently. Decentralized
information prevents the employees from having real time visibility into
available resources, open orders and client requests. And this in turn
prevents from having real time insight into the pipeline, cash flow and
business trends.
Recommendation
The staffing solution completely integrates the front and back-office systems to
provide a consistent, centralized data source for clients, applicants, orders, projects
and billing information. The firm’s employees can easily view and share the same
data directly from a web browser. By connecting employees throughout the
organization to a single source of information, efficiency can be increased
dramatically, reducing errors and eliminating redundancy.
10. Powerful Search and Match Capabilities
One of the most important tasks for a staffing firm is to find the best resource
for a job. Even with an ample pool of job orders and a top-notch pool of
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resources, staffing firms may not realize the full potential for profitability
unless they efficiently and effectively match the resource to the job profile.
Recommendation
The staffing front office solution delivers the extensive search and match capabilities
that make it easier to find the right person for any job based on skills, location,
availability and billing rate from a single labor pool. It not only increases the
operational efficiency but also reduces the risk of losing business to competitors.
11. Simplified Workforce Management
Good recruiting means finding, bringing on board, and retaining the best
talent. It means quickly identifying the right person for a job without paying
fees for skills that already exist in the system. This problem can be overcome
if the staffing firms can source across geographic areas.
Recommendation
The staffing solution provides the ability to the staffing firms to manage their pool of
employees, subcontractors and applicants in a single, centralized repository while
minimizing duplicate entries and non-fictional information. Thereby staffing firms can
easily track and update a resource’s skills and availability anywhere anytime to
enhance their sourcing process.
12. Scalable Architecture
Large clients are increasingly expecting the staffing solution providers to
manage all their staffing and human resource services needs to achieve
greater efficiencies, coat savings and quality of service. As growth in the
staffing industry today is being driven by new business models like single-
source partnering and vendor-on premise contracts, it becomes essential that
the staffing firms equip themselves to provide their clients with consistent,
high-quality service across states.
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Recommendation
The staffing solution not only provides the staffing firms with international expansion
capabilities but also supports the multinational client operations. It handles multiple
currencies, multiple languages, global payroll and billing functions and local
employment laws, so that staffing firms can execute on the international staffing
objectives effortlessly. It can also scale to support the staffing firm’s operations round
the world, with employees requiring only a simple web brouser to access the
information they need.
13. Proactive Relationship Management
Each day a staffing firm employee spends on an average about 40% to 60%
of their time at administrative tasks such as reminders and to-do lists. These
tasks are no doubt important to manage the client accounts, but they also
take the time away from developing deeper and more meaningful client
relationships.
Recommendation
The staffing solution streamlines the client administration process by using delivered
templates and empowering clients with online self-service, thereby allowing the
staffing firm employees to spend more time on the development of each client into a
more profitable, long term business partner.
14. Use of Technology for Staffing Industry
Staffing firms use technology mainly for optimizing costs and gaining strategic
outcomes such as enhanced service delivery.
On the other hand staffing companies must balance the desirable outcomes
with the challenging consequences of technology implementation such as
training costs and misalignments between software and strategy that can
threaten the bottom line
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Conclusion
Recruitment is an important issue for any organization. Recruitment and selection
allows an organization to access the vacancy and choose the best personnel who will
lead the organization in future. So the organization should give more emphasize on
selecting a person who can carry forwarded the organization in terms of
development, values and ethics. Mainly the precious resource for any organization is
their knowledge based efficient workers. The organizations should more cautious on
this issue to ensure the quality and ethics.
From the above discussion we can easily understand that Planman HR is one of the
top Temp Staffing Company of Bangalore and India. It covers the whole of India by
its wide spread network. Its primary aim is to provide temp staffing solution to needy
organizations. At this moment the company is in growing position. But the strategies
of the company will make the company “number one” Temp staffing company of
Bangalore and India.
We can see the Human resource practice, recruitment and selection process,
employee satisfaction and relations at Planman HR are a very developed and
effective one. As a company having PAN India presence, for making the process
more effective Planman HR should analyze the recruitment and selection process of
other multinational company of home and abroad. That can make Planman HR
perfect in recruiting people and the company will get efficient professionals, that will
increased the productivity as well as revenue.
The most important key source factor of Planman HR is its efficient human resource.
Its decisions are based on facts from market research and coverage survey. The
company also monitors it's competitor's activities and is proactive in marketing
decisions.
Temporary staffing is a nascent industry in India and is gaining acceptance very
rapidly. The benefits provided by it both to the companies and workforce are a lot
which are very helpful for a growing economy like India. The industry improves
efficiency of the system because organisations can focus on their core businesses
and takes care of the seasonal fluctuations. Companies are also accepting this
method of temporary staffing because it helps them get away with labour issues.
Temporary staffing seems to be a change for good but there are some challenges
ahead of the industry also. Changes are required in labour legislations to conform
them to contemporary economic changes. Employment of temporary employees in
core activities with lesser remuneration as compared to permanent employees
creates rift and must be controlled.
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Apart from this, there is a need for the principal employers to understand that
temporary staffing provides them staffing flexibility and should not view it as a means
to exploit labour which in the long run can affect the productivity and competitiveness