A Project On “A STUDY ON RECRUITMENT AND SELECTION PROCESS “ IN VISAKHAPATNAM STEEL PLANT With reference to RASHTRIYA ISPAT NIGAM LIMITED VISAKHAPATNAM Submitted to (MADRAS UNIVERSITY) By K.S.ANURAJ Under the Guidance of (BATTULA.SRINIVAS RAO) Sr.HR MANAGER (personnel) 1
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A Project On
“A STUDY ON RECRUITMENT AND SELECTION PROCESS “
IN
VISAKHAPATNAM STEEL PLANT
With reference to
RASHTRIYA ISPAT NIGAM LIMITED
VISAKHAPATNAM
Submitted to
(MADRAS UNIVERSITY)
By
K.S.ANURAJ
Under the Guidance of
(BATTULA.SRINIVAS RAO)
Sr.HR MANAGER (personnel)
Visakhapatnam steel plant
visakhapatnam
1
A
Report on
RECRUITMENT & SELECTION
Submitted by
K.S.ANURAJ
Under the Guidance of
BATTULA.SRINIVAS RAO
Sr.HR MANAGER (personnel)
Visakhapatnam steel plant
Visakhapatnam
Company Guide
SHRI.KOSIREDDY RAJA
ASSISATANT MANAGER (HRD)
Visakhapatnam steel plant
(A Report submitted in partial fulfillment of MBA Program -2009)
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DECLARATION
I here by declare that this thesis work entitled “A study on recruitment and
selection process ” is my work, carried out under the guidance of my faculty guide
BATTULA.SRINIVAS RAO and company guide KOSIREDDY RAJA. This report
neither full nor in part has ever been submitted for award of any other degree of either
this university or any other university.
Date: (K.S.ANURAJ)
Place: Visakhapatnam.
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CERTIFICATE
This is to certify that the Project titled “A study on Recruitment and
Selection process ” a bona fide work of K.S.ANURAJ of ASAN MEMORIAL
COLLEGE OF ARTS & SCIENCE is original and has been done under my
supervision in partial fulfillment of the requirement for the award of M.B.A for the
period of 6 weeks i.e., 17-05-10 to 21-06-10. This report neither full nor in part has
ever before been submitted for awarding of any degree of either this university or any
other university.
I am pleased to say that his performance during the period was
________________________.
Date : (BATTULA.SRINIVAS RAO)
Place : Visakhapatnam. Sr.HR MANAGER (personnel)
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ACKNOWLEDGEMENT
I hereby take this opportunity to express my sincere gratitude to the following
eminent personalities whose aid and advice helped me to complete this project work
successfully without any difficulty.
I am sincerely thankful to Management Team of Visakhapatnam steel plant, for
their valuable support and the interest they have shown in me during the course of the
project.
I am thankful to Shri KOSIREDDY RAJA (Assistant Manager HRD),
Visakhapatnam for giving me an opportunity to take up this Project.
I would also like to extend my gratitude to my Faculty Guide BATTULA.
To study about the recruitment and selection process followed by RINL/VSP
To Identified different methods in selection process
To know the selection process of employees and its impact on job satisfaction
To know the job satisfaction levels of the employees of recruited
To know the recruitment policy followed by RINL/VSP.
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1.3 LIMITATIONS
Only the domestic market is the focus of this study. We have not studied the
international recruitment process here.
Sample size is limited due to the limited period allocated for the survey
The analysis is completely based on the information provided by the employees
and hence could be biased.
Taking appointment of the respondents became a little difficult.
1.4 MATERIAL AND METHODOLOGY
SETTING
Rashtriya Ispat Nigam Limited,
Visakhapatnam Steel Plant,
Visakhapatnam
DURATION OF STUDY
The study takes nearly 8weeks from the period of 17-12-2007 to 09-02-2008.
SAMPLE SIZE
The sample size was 150
SAMPLING TECHNIQUE
Simple Random Sampling
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DATA COLLECTION PROCEDURE
The sources of recruitment are broadly divided into Internal Sources and Externals Sources. Internal Sources are the sources within organizational pursuits. The primary data is collected with direct interaction with candidates through questionnaire and personal interview. The questionnaire consists of closed ended and open-ended questions. Externals Sources are sources outside organizational pursuits.
Internal Sources
Promotions Transfer Response of employees to notified vacancy
Steel is an alloy of iron usually containing less than 1% carbon is a versatile
material with multitude of useful properties used most frequently in the automotive
and construction industries. Steel can be cast into bars strips, sheets, nails, spikes,
wire, rods or pipes as needed by the intended user. The consumption of steel is
regarded as the index of industrialization and the economic maturity any country has
attained.
The development of steel industry in India should be viewed in conjunction
with the type and system of government that had been ruling the country. The
production of steel in significant quantity started after 1900. The growth of steel
industry can be conveniently studied by dividing in the period into pre & post
independence era (or before 1950& after 1950). The total installed capacity for in-got
Steel production in during pre independence era was 1.5 millions tones /year, which
has risen to about 8 million tones of ingot by the seventies. This is the result of the
bold steps taken by the government to develop this sector.
2.2 PRE-INDEPENDENCE
1830 - Josiah, Marshall Health constructed the first manufacturing plant
at port move in Madras presidency.
1874 - James Erskin founded the Bengal iron works.
1899 - Jamshedji Tata initiated the scheme for an integrated steel plant.
1906 - Formation of TISCO.
1911 - Tata iron & steel company started production.
1916 - TISICO was founded.
1940-45 - Formation of Mysore iron & steel limited, and Bhadravati in Karnataka
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2.3 POST-INDPENDENCE
1951-56 - First Five Year Plan
The Hindustan steel Ltd. was born on 19th January, 1954 with the decision of
setting up three steel plants each with one million tone input steel per year in at
Rourkela, Bhili and Durgapur; TISCO stated its expansion program.
1956-61 - Second Five Year Plan
A bold decision was taken up to increase the ingot steel output India to 6
Million tones per year & production at Rourkela, Bhilai and Durgapur steel plant
started.
1961-66 - Third Five Year Plan
During the third five year plan the three steel plants under HSL; TISCO &
HSCO were expanded as show. In January 1964 Bokaro steel plant came into
existence.
1966-69 - Recession Period
The entire expansion program was actively executed during this period.
1969-74 - Fourth Five Year Plan
Licenses were given for setting up of many mini steel plants and re-rolling
mills.
Govt. Of. India accepted setting up two more steel plants in south. One each
at Visakhapatnam and Hospet (Karnataka).
SAIL was formed during this period on 24th January, 1973. The total installed
capacity from 6 integrated plants was 106 Mt.
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1979 - Annual Plan
The erstwhile Soviet Union agreed to help in setting up the Visakhapatnam steel
plant.
1980-85 - Sixth Five Year Plan
Work on Visakhapatnam steel plant was started with a big bang and top
priority was accorded to start the plant.
Scheme for modernization of Bhilai steel plant, Rourkela, Durgapur,
TISCO were initiated.
1985-91 - Seventh Five Year Plan
Expansion work of Bhilai and Bokaro steel plants completed.
Progress on Visakhapatnam steel plant picked up and rationalized concept
has been introduced to commission the plant with 3.0Mt liquid steel
capacity by 1990.
1991-96 - Eight Five Year plan
Visakhapatnam steel plant started its production modernization of other steel
plants is also duly envisaged.
1997-2002 - Ninth Five Year Plan
Visakhapatnam steel plant had foreseen a 7% growth during the entire plan
period.
2002-2007 - Tenth Five Year Plan
Steel industry registers the growth of 9.9 % Visakhapatnam steel plant high
regime targets achieved the best of them.
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2.4 INDUSTRY SCENARIO
The Indian economy grew at 9.4% in 2006-07 on the back of a high growth
base of 9% in 2005-2006 and achieved the fastest growth rate in 18 years, next only to
the 10.5% clocked in 1988-89. Aided by the high growth along with a strengthening
rupee in the forex market, the economy has graduated to a trillion dollar one, the 12 th
such nation globally to reach this milestone.
Indian’s rapid economic growth is being built on a frame of steel. Soaring
demand by sectors like infrastructure, real estate and automobiles, at home and
abroad, has put India’s steel industry on the world map. Mergers and take over like
TATA-CORUS and Arcelor-Mittal led by the Indian steel companies or Indians have
been dominating the global steel happenings. In India, finished steel production at 49
million tons, showed a remarkable growth of 10.8% in 2006-07.
The International Iron and Steel Institute (IISI) ranked India as the seventh
largest steel producer in the world with an overall production of about 40 million tons
in 2006. During 2006, the global steel production stood at 1240 million tons, showing
a robust growth of 8.8% over 2005. Steel use during the year grew by 8.5% to reach
1113 million tons.
As per IISI forecast, there will be a growth of 5.6% in the global steel use in
2007 taking the total to 1,179 millions tons followed by 6.1% in 2008 to reach 1250
million tons. The global steel demand projections indicate that India will be one of the
engines of the world steel industry in the future. The national steel policy, published
by the ministry of steel in 2005, envisages production of 110 millions tons in Indian
by 2020.
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2.5 GLOBAL SCENARIO
As per IISI
In March’ 2005 world Crude steel out put was 928Mt when compared to march
2004 (872Mt), ∙The change in percentage was 6.5%.
China remained the world largest crude steel producer in 2005 also (275Mt)
followed by Japan (96Mt) and USA (81Mt). India occupied 8th position (42Mt).
USA remained the largest importer of semi finished and finished products in
2002 followed by China and Germany.
Japan remained the largest exporter of semi finished and finished steel products
in 2002 followed by Russia and Ukraine.
Other significant recent developments in the global steel scenario have been:
Under the auspices of the OECD (Organization For Economic Co-operation &
Development) the negotiations among the major steel producing countries for a
steel subsidy agreement (SSA) held in 2003 with the objective to agree on a
complete negotiating test for the SSA by the Middle of 2004. It also set
subsidies for the steel industry of a ceiling of 0.5% of the value of production to
be used exclusively for Research & Development
The global economy witnessed a gradual recovery from late 2003 on words.
China has become one of the major factors currently driving the world
economy.
As a result of these economic developments IISI has projected an increase by
6.2% or 5.3 Mt in 2004 in the global consumption of finished steel products.
IISI has split the growth into two separate areas, china and the rest of the world
(ROW). Steel consumption in china has been estimated to increase by 13.1% or
31Mt in 2004.
USA has repealed the safeguard measures on import of steel as a result of a
ruling by a WTO dispute resolution panel, which held these measures to be
illegal under the WTO regime.
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2.6 MARKET SCENARIO
The year 2004-05 was a remarkable one for the steel industry with the world
crude steel production crossing the one billion mark for the first time in the history of
the steel industry. The world GDP growth about 4% lends supports to the expectations
the steel market is all set for strong revival after prolonged period of depression .The
Indian economy also become robust with annual growth rates of 7-8 % this will
provide a major boost the steel industry. With the nations focus on infrastructure
development coupled with the growth in the manufacturing sector, the Indian steel
industry all set for north ward movement. The draft national steel police envisage
production of 60 Mt by 2012 and 110Mt by2020, and annual growth rate of 6-7%. All
this should there fore augur well for the Indian steel industry.
2.7 PRODUCTION SCENARIO
Steel industry was de-licensed and decontrolled in 1991&1992 respectively.
India is the 8th largest producer of steel in the world.
In 2003-04 finished steel production was 36.193Mt.
Pig iron production in 2003-04 was 5.221Mt.
Sponge iron production was 80.85 Mt during the year 2003-04
The annual growth rate of crude steel production in 2002-03was 8% and in 2003-
04 was 6%.
2.8 DEMAND-AVAILABILITY PROJECTION
Demand-Availability of iron and steel in the country is projected by ministry of
steel annually.
Gaps in availability are met mostly through imports.
Interface with consumers by way of Steel Consumer Council exists, which is
conducted on regular basis.
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Interface helps in redressing availability problems, complaints related to
quality.
2.9 PRICING & DISTRIBUTION
Price regulation of iron & steel was abolished on 16-01-1992.
Distribution controls on iron& steel removed except 5 priority sectors, viz.
Defense, Railways, Small Scale Industries Corporations, Exporters of
Engineering Goods and North Eastern region.
Allocation to priority sectors is made by Ministry of steel.
Government has no control over prices of iron & steel.
Open market prices are generally on rise.
Price increases of late have taken place mostly in long products than flat
products.
2.10 MAJOR STEEL AND RELATED COMPANIES
The global steel industry has witnessed several revolutionary changes during the
last century. The changes have been in the realms of both technology & business
strategy. The ultimate object of all these changes is to remain competitive and open
global market.
The Indian steel industry is growing very rigorously with the major producers
like SAIL, RINL, TISCO, JVL and many others. Our steel industry has amply
demonstrated its ability of adopt to the changing scenario and to survive in the global
market that is becoming increasingly competitive. This has been possible to a large
extent due to the adoption of innovative operating practices and modern technologies.
Industrial Development in India has reached a high degree of self-reliance, and
the steel industry occupies a primary place in the strategy for future development. At
present the production of steel industry country is 34mT. The public sector steel
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industry has been restructured to meet challenges and a separate fund has been
established for modernization and future development of the industry. It is now being
proposed that Indian steel industry should Gear up to achieve a production level of
about 100 Mt by the year2000.
The following are some of the major steel and related companies in India:
1. Bharat Refactories Limited.
2. Hindustan Steel Works Construction Ltd.
3. Jindal Steel and Power Ltd.
4. Kudremukh Iron Ore Company Ltd.
5. Manganese ore (India) Ltd.
6. Metal Scrap Trade Corporation Ltd.
7. Metallurgical and Engineering Consultants India Ltd.
8. National Mineral Development Corporation (NMDC).
9. Rashtriya Ispat Nigam Ltd.
10. Sponge Iron India Ltd.
11. Steel Authority India ltd.
12. Tata Iron Steel Company.
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CHAPTER-III COMPANY PROFILE
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3.1 INTRODUCTION
Steel occupies the foremost place amongst the materials in use today and
pervades all walks of life. All the key discoveries of the human genius, for instance,
steam engine, railway, means of communication and connection, auto mobile, aero
plane and computers, are in one way or other, fastened together with steel and with its
sagacious and multifarious application.
Steel is versatile material with
multitude of useful properties, making it indispensable for furthering and achieving
continual growth of the economy-be it construction, manufacturing, infrastructure or
consumables. The level of steel consumption has long been regarded as an index of
industrialization and economic maturity attained by a country. Keeping in view the
importance of steel, the following integrated steel plants with foreign collaborations
were set up in the Public Sector in the post-independence era:
STEEL PLANT FOREIGN COLLABORATION
Durgapur steel plant British
Bhilai steel plant Erstwhile USSR
Bokaro steel plant Erstwhile USSR
Rourkela steel plant German
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27
3.2 BACKGROUND
To meet the growing domestic needs of steel, government of India decided to
set up an integrated steel plant at Visakhapatnam. An agreement was signed with
erstwhile USSR in 1979 for co-operation in setting up 3.4 mT integrated steel plant at
Visakhapatnam. The foundation stone for the plant was laid by the then prime
minister on 20th Jan ’1971.
The project was estimated to cost Rs. 8,397.28 Cr. based on prices as on 4 th
quarter of 1981. However, on completion of construction and commissioning of the
whole plant in 1992, the cost escalated to around Rs.8, 500 Cr. Unlike other integrated
steel plants in India, Visakhapatnam Steel Plant is one of the most modern steel plants
in the country. The plant was dedicated to the nation on 1st August’ 1992 by the Prime
Minister, Sri. P.V. NARASIMHA RAO.
New technology, large scale computerization and automation etc., are
incorporated in the plant. To operate the plant at international levels and attain such
labor productivity, the organizational man power has been rationalized. The plant has
a capacity of producing 3.0 mt of liquid steel and 2.656 mt of saleable steel.
VSP TECHNOLOGY: STATE-OF-THE-ART
7meter tall Coke Oven Batteries with coke dry quenching.
Biggest Blast Furnaces in the country
Bell less top charging system in Blast Furnace.
100% slag granulation at the BF cast house.
Suppressed combustion – LD gas recovery system.
100% continuous casting of liquid steel.
“Tempcore” and “Stelmor” cooling process in LMMM & WRM respectively.
Extensive waste heat recovery systems.
Comprehensive pollution control measures.
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MAJOR SOURCES OF RAW MATERIALS
Raw Material Source
Iron ore lumps & fines Bailadilla, M.P
BF Lime Stone Jaggayyapeta, AP
SMS Lime Stone Jaisalmer, Rajasthan
BF Dolomite Dubai
SMS Dolomite Madharam, AP
Manganese Ore Chipurupalli, AP
Boiler Coal Talcher, Orissa
Coking Coal Australia
Water Supply Yeluru canal, AP
Power Supply Captive Power Plant
MAIN PRODUCTS OF VSP
Steel Products By-Products
Angles Nut Coke, Granulated slag
Billets Coke Dust, Lime Fines
Channels Coal Tar, Ammonium Sulphate
Beams Anthracene Oil
Squares HP Naphthalene
Flats Benzene
Rounds Toulene
Re Bars Zylene
Wire rods Wash Oil
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MAJOR UNITS
Department Annual Capacity (‘000 T)
Units (3.0 MT Stage)
Coke Ovens 2,261 3 Batteries each of 67 ovens and 7 Mtrs. height
Sinter Plant 5,256 2 Sinter machines of 312 Sq. Mtr. grate area each
Blast Furnace
3,400 2 Furnaces of 3200 cu. Mtr. volume each
Steel Melt Shop
3,000 3 LD Converters each of 133 Cu. Mtr. Volume and six 4 strand bloom casters
LMMM 710 4 Stand finishing Mill
WRM 850 2 x 10 stand finishing mill
MMSM 850 6 Stand finishing Mill
3.3 VISION, MISSION & OBJECTIVES
VISION
To be a continuously growing world-class company we shall:
Harness our growth potential and sustain profitable growth.
Deliver high quality and cost competitive products and be the first choice of customers.
To create an inspiring work environment to unleash the creative energy of people.
Achieve excellence in enterprise management.
Be a respected corporate citizen, ensure clean and green environment and develop vibrant communities around.
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MISSION
To attain 16 million ton liquid steel capacity through technological up-
gradation, operational efficiency and expansion; to produce steel at international
standards of cost of quality; and to meet the aspirations of the stakeholders
OBJECTIVES
Towards growth – Expand the plant capacity to7 MT by 2011-2012 with the mission to attain 10.0 MT capacities in two subsequent phases.
Towards profitability – Achieve net profits from 2002-2003 with special emphasis on enhancement of production of value added steels and cost reduction.
Towards employees – Make RINL the employer of choice. Upgrade the skills and efficiencies of employees through training and development and maintain high levels of motivation and satisfaction.
Towards customers – Promote branding of products for quality and customer preference through customer relations management
Towards suppliers – Develop a reliable and strong supplier base and ensure effective supply chain.
Towards quality – Promote quality movement in all functions of the company through quality management system.
Towards technology up gradation and productivity – Continuously upgrade the technology and practice benchmarking to achieve international efficiency levels. Adopt latest developments in information and communication technology
Towards knowledge management – Become a knowledge based and knowledge sharing company.
Towards safety, environment and society – Continue efforts towards safety of employees, conservation of environment and be a good corporate citizen.
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3.4 CORE VALUES
Commitment
Customer satisfaction
Continuous improvement
Concern of environment
Creativity and innovation
3.5 POLICIES
QUALITY, ENVIORNMENT AND OCCUPATIONAL HEALTH & SAFETY
POLICY
We, at Visakhapatnam steel plant, are committed to meet the needs and
expectations of our customers and other interested parties, the occupational health and
safety of our work force and to preserve the environment. To accomplish this, we will
Supply quality goods and services to customers’ delight.
Use resources efficiently and reduce waste & prevent pollution.
Achieve quality of the products by following systematic approach through planning, documented procedure and timely review of quality objectives.
Continuously improve the quality of all materials, processes and products.
Maintain an enabling environment which encourages team work and active involvement of all employees with their involvement.
Comply with all relevant legal, regulatory and other requirements applicable to Products, activities and processes in respect of Quality, Environment, Occupational health & safety and also ensure the same by contractors.
HR POLICY
32
We, at Visakhapatnam steel plant, believe that our employees are the most
important resources. To realize the full potential of employees, the company is
committed to:
Provide work environment that makes the employees committed and motivated for maximizing productivity.
Establish systems for maintaining transparency, fairness and equality in dealing with employees.
Empower employees for enhancing commitment, responsibility and accountability.
Encourage teamwork, creativity, innovativeness and high achievement orientation.
Provide growth and opportunities for developing skill and knowledge.
Ensure functioning of effective communication channels with employees.
HRD POLICY
We, at Visakhapatnam steel plant, are committed to create an organizational culture which nurtures employee’s potential for the prosperity of the organization. To accomplish this, we will
Identify development needs of the employees on regular basis, provide the necessary training and continually evaluate and monitor the effectiveness of training so that the quality of training also upgraded.
Provide inputs to the employees for developing their attitude towards work and for matching their competencies with the organizational requirements.
Create an environment of learning and knowledge sharing by providing the means and facilities and also access to the relevant information and literature.
Facilitate the employees for continuous development of their knowledge base, skills, efficiency, innovativeness, self-expression and behavior so that they contribute positively with commitment for the growth and prosperity of the organization while maintaining a high level of motivation and satisfaction.
ENERGY POLICY
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We, at Visakhapatnam steel plant, are committed to optimally utilize various forms of energy in a cost-effective manner to effect conservation of energy resources. To accomplish this, we will-
Monitor closely and control consumption of various forms of energy through an effective Energy Management System.
Adopt appropriate energy conservation technologies.
Maximize the use of cheaper and easily available forms of energy.
CUSTOMER POLICY
VSP will endeavor to adopt a Customer-focused approach at all times with transparency.
VSP will strive to meet more than the Customer needs and expectations pertaining to Products, Quality, and Value for Money and Satisfaction.
VSP greatly values its relationship with Customers and would make efforts at strengthening these relations for mutual benefit.
3.6 MARKETING NETWORK
The products are being sold through 35 marketing centers all over the country
with four stock yards at Mumbai, Kolkata, Chennai and Hyderabad. Consignment
agents and consignment sales agents located at these centers provide the infrastructure
and channels for sale of the products. The exports are carried out by the export wing
of marketing division with the help of different agencies. The company is recognized
as “Star Trading House” by the Director General of Foreign Trade, Ministry of
Commerce, and Government of India. Regional Managers/Branch Managers and their
teams provide the front line sales force for assessing the market situation and evolving
suitable market strategies for meeting sales targets.
3.7 POLLUTION CONTROL AND ENVIRONMENTAL PROTECTION
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Generally, integrated steel plant is seen as a major contributor to environmental
pollution as it discharges volumes of waste products. Elaborate measures have been
adapted to combat air and water pollution in Visakhapatnam steel plant. In order to be
eco-friendly, Visakhapatnam steel plant has planted more than 3.4 million trees in
area of 35 square kilometers and incorporated various technologies at a cost of Rs.460
Cr. towards pollution control measures.
3.8 ACHIEVEMENTS AND AWARDS
The efforts of VSP have been recognized in various forms. Some of the major
awards received by VSP are in the area of energy conservation, environment
protection, safety, Quality, Quality Circles, Rajbhasha, MOU, sports related awards
and a number of awards at the individual level.
Some of the important awards received by VSP are indicated below: ISO 9002
for SMS and all the downstream units – a unique distinction in the Indian steel
industry.
“Indira Priyadarshini Vrikshmitra Award” for massive afforestation efforts given by Ministry of Environment & Forests during 1992-93.
“Nehru Memorial National Award” for Pollution Control in 1992-93 & 1993-94.
EEPC Export Excellence Award: 1994-95.
CII (Southern Region) Energy conservation Award: 1995-96.
Golden Peacock (1st Prize) “National Quality Award-96”IIM in the National Quality Competition 1996.
Steel Ministers Trophy for “Best Safety Performance – 1996”.
Selected for “World Quality Commitment Award- 1997” of J*BAN, Spain.
Gold star award for excellent performance in Productivity.
Udyog excellence gold medal award for excellence in Steel industry.
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Excellence award for outstanding performance in Productivity Management, Quality and innovation.
Ispat Suraksha Puraskar (First Prize) for longest Accident free period – 1991-94.
Best Labor Management Award from Government of AP.
SCOPE Award for best turnaround for 2000-01.
“Environment Excellence Award” from Greentech Foundation for energy conservation in 2002.
“Best Enterprise Award, WIPS” from SCOPE, for 2001-02, besides.
“Best Enterprise Award” from SCOPE for surpassing MOU targets in 2003-04
ISTD Award for “Best HR Practices” – 2002
Prime Ministers Trophy for “Best Integrated Steel Plant” – 2002-03
“World Quality Commitment International Star Award” in the Gold category conferred by Business Initiative Directions, Paris
“Organizational Excellence Award” for 2003-04 conferred by INSSAN
RINL has been bestowed with several national accolades in the year 2005-06
significant among them being:
“National Energy Conservation Award” for the 7th time in succession.
“National Award for Excellence in Water Management”.
Viswakharma Rashtriya Puraskar Award ( 6 out of 32 at the national level)
FAPCCI best Industrial Productivity Award
INSAAN National Award for Organizational Excellence
Best CEO Award
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3.9 HALLMARK OF VIZAG STEEL
Today, VSP is moving forward with an aura of confidence and with pride
amongst its employees who are determined to give their best for the company to
enable it to reach new heights in organizational excellence.
At the same time, no single advantage accruing from a knowledge society is
found wanting by the neighborhood community with the growth & development of
a phenomenon called “VIZAG STEEL” existing so close to its proximity. The
remarkable performance on production front coupled with prudent financial
management has not only resulted in achieving significant net profits but also
helped RINL emerge as a “NET POSITIVE COMPANY” in January, 2006 by
wiping out all its accumulated losses during 2005-06.
3.10 STATISTICAL INFORMATION
37
EXPANSION PLAN
ProductCapacity (MT)
Additional Facilities envisagedPresent Future
Hot Metal 4.00 6.50 New BF with 3800 Cum Capacity
Charge Sinter 5.26 8.50 New Sinter Plant of 400 Sq. Mtr. area
Liquid Steel 3.70 6.30 SMS-2 with Two 50 CuM Converters, Two 6 Std Billet Casters & One 6 std Round Caster
Saleable Steel 3.34 5.72 --
Wire Road 1.05 1.65 New WRM of 600,000T/Annum
Bars & Structural
1.95 3.40 New SBM of 750,000 T/Annum New SM of 700,000 T/Annum
Seamless Pipes - 0.30 Seamless Tube plant of 300,000 T/Annum
Visakhapatnam Steel Plant is the only shore- based integrated steel plant, with a
rated capacity of 3.4 Mt Hot Metal, 3.0 Mt Liquid Steel and 2.656 Mt saleable Steel.
YESTERDAY:-The momentous decision to establish a Steel Plant at Visakhapatnam was
announce in the parliament in 1970 by then Prime Minister, Smt. Indira Gandhi. The
foundation stone for this massive project was laid in 1971. The detailed project
report was prepared in 1977.
Following this, the comprehensive revised details project report was
prepared adopting latest technologies available.
Distance raw material linkages couple with lack of captive mines for major
raw materials, have resulted in high raw material costs too.
All these problems led VSP to its nadir point it’s reporting to BIFR. After that,
the plant has exhibited dramatic turnaround and has been making profits
continuously for the past 4 years.
TODAY:-Presently the plant is operating at higher effectively levels surprising the
rated capacities thus achieving 4.15 Mt Hot Metal, 3.6 Mt Liquid Steel and 3.2 Mt
saleable Steel i.e. 122%, 120% & 122% of the respective rated capacities during
2005-2006.
Also, the prestigious Prime Minister’s Trophy award was bestowed on the
Vizag Steel for the year 2002-2003.
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TOMORROW:-In line with the vision in National Steel Policy envisaging 110 Mt Steel by
2019-20, Vizag Steel is also planning to expand its capacity. Considering the
buoyancy in domestic Steel market for long products, which is the product mix of
VSP and the high acceptance of VSP’s brand image in the market, an expansion plan
has been proposed. The expansion plan of doubling the capacity of the plant has
been cleared in a record time of 10 months and the entire Vizag Steel collective is
totally geared up for completing the expansion in the stipulated 36 months.
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CHAPTER-VEMPIRICAL ANALYSIS
85
6.1 ANALYSIS OF PROJECT
My project titled “Study on Recruitment and Selection Process of employees in
Visakhapatnam Steel Plant and its impact on job satisfaction”. For this project I
prepared a questionnaire on job satisfaction. I took a sample size of 150 and collected
the data where I personally met employees working at their respective department.
I met some employees personally and interviewed them about their job
satisfaction levels and their opinions to improve the job satisfaction. In my study I
came to know that job satisfaction will come not only with monetary benefits it also
involves personal benefits and most of the respondents said that now-a-days the
recruitment and selection procedures followed by VSP are very beneficial to each and
every employee who is recruited.
6.2 RECRUITMENT POLICY
INDTRODUTION
RINL/VSP is one of the modern integrated steel plants in India with the state-
of-the-art technology in steel making. To manage the given technology, operate the
continuous process of production and carry our other critical functions like Marketing,
Personnel, Finance etc, skilled, highly skilled personnel and competent professionals
with excellent managerial capabilities are required to be inducted at right place and
right time.
OBJECTIVES
1. To meet manpower requirements of the company in terms of the approved
strength of manpower.
2. To fulfill the requirement of competent personnel in terms of requisite
capabilities, skills, qualifications, aptitude, merit and suitability with a view to
fulfill company’s objectives.
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3. To attract, select and induct the best of the talents available keeping in view the
functional requirements of the organization.
4. To provide suitable induction points for intake from external sources and
thereby infuse fresh blood into the organization.
5. To ensure an objectives and reliable system of selection.
6. To have a dynamic and reasonably flexible recruitment policy in tune with
market economy to enable induction of personnel in the quickest possible time
to meet the operational requirements of the organization.
SCOPE
1. The policy shall over all recruitment of personnel made in the company in
executives as well as non-executive cadre (expect appointments made by the
Govt.) and shall apply to all units/branches of RINL.
2. The policy shall not cover engagement of advisers/consultant etc or adhoc
appointments for temporary requirements.
SOURCE OF RECRUITMENT
There will be two sources of recruitment:
Internal i.e. from within the company.
External i.e. from open market through Employment Exchange, advertisement
in press/internet, recruitment through reputed placement/manpower agencies,
other organizations and /or campus selection from Universities/Institutes and/or
through direct negotiations.
INTERNAL CIRCULATIONS OF POSTS
Recruitment/Selection to posts from within the company may be done through
internal circulations as under:
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1. The posts intended to be filled through internal sources will be circulated in the
Company giving the qualifications, age, experience etc.
2. Internal recruitment involving changes in grade will be processed by the
respective Zonal Personnel I/c with the approval of Competent Authority. Such
proposals will be routed through Manpower Cell of Personnel Department to
ascertain the vacancy position, to assess the need to fill up such vacancies,
roster points etc.
3. Internal selection will be done by conducting written test and/or interview by a
duly constituted committee.
4. Transfer from one department to another in parallel grade with the company
following the procedural of internal selection will not be treated as recruitment.
RECRUITMENT FROM EXTERNAL SOURCES
1. Recruitment from external sources will be resorted to for injection of fresh blood at the induction level(s)/grade(s). However, the company may, if required, induct direct recruits from external sources at other level(s)/grades(s) also to meet functional requirements of particulars skill/experience or for optimum utilization of its assets and/or infusion of modern system, skills & techniques of operation etc., necessary for efficient operation, technology up gradation or modernization.
2. At least, 662/3 % of vacancies occurring during the preceding year(s) at induction level(s)/grade(s) in E-0 grade will be filled up through Management Trainees (MTs).
3. Recruitment of executives from external sources will be made generally
4. through open advertisement in the press. However, recruitment of executives can also be done through campus interviews from approved institutions,
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Universities and/or reputed placement/manpower agencies and/or through direct negotiation with individual(s) and/or circulation of posts to PSU(s) with prior approval of the Competent Authority.
5. Recruitment to the posts in non-executive cadre carrying scale of pay, maximum of which does not exceed Rs. 2500 per month (pre-revised) as indicated in the DPE OM No.2(48)/91-DPE(WC) dt.6.4.1992, will be done through the Employment Exchange. In addition to notifying the vacancies for such relevant categories to the Employment Exchange, the requisitioning authority may, keeping in view administrative/budgetary convinces, arrange for the publication of the recruitment notice for these categories in the Employment News or other newspapers and then consider the cases of all the candidates who have applied, provided they fulfill the specifications for the post advertised. In addition to above, such recruitment notices will be displayed on the office notice boards also for wider publicity (DPE 24(11)/96(GL-010)/GM dt.2.11.1998).
6. In case of death or permanent total disablement of an employee due to accident arising out of and in course of employment, employment to one of his/her direct dependents will be provided subject on permanent medical unfitness, the concerned employee/dependent(s) will only be entitled to monthly payment benefits as per Employees’ Family Benefit Scheme.
7. To encourage and support sports and sportsmen, the Company may recruit sportsmen under “Sports quota” by following the procedure laid down in DPE guidelines/Government rules on the subject.
DEPARTMENTAL CANDIDATES
Employees of the Company will be eligible to apply against in the press,
provided they fulfill the eligibility conditions as may be prescribed from time to time.
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INDUCTION LEVELS
Executives
To manage executive positions in key performance areas of the company, direct
recruits will be inducted in various disciplines/work areas from time to time
depending on the requirements, in the following positions:
I. Management Trainees in different disciplines.
II. Junior Manager (F&A/Marketing/Personnel etc.)
III. Junior Medical Officers.
IV. Specialists in Medical department
V. Experience Executives in suitable positions in different areas.
VI. Such other posts as may be decided by CMD keeping in view the requirements
of the organization.
Non-Executives
In the non-executives cadre, induction of direct from external sources will be
carried out of the following positions:
I. Unskilled/Semi-skilled category: As Trainee Khalasi etc. and after successful
completion of minimum one year training and fulfillment of other conditions,
they will be appointed as regular employees in S-1 grade.
II. Skilled category: As Junior Trainees and after successful completion of
prescribed period of training they will be placed in S-3 grade.
III. Highly skilled category: As Senior Trainees and after successful completion of
prescribed period of training they will be placed in S-6 grade.
IV. Ministerial category: As Secretarial Assistants (those possessing Graduation,
with Typewriting and Shorthand qualification) in Sl-1 grade and as Junior
Assistants (those possessing only graduation in S-3 grade.
V. Para-medical staff and Store keeping staff etc. in suitable grades corresponding
to the posts.
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VI. Experienced employees in suitable grades.
VII. Such other posts as may be decided by CMD keeping in view the requirements
of the organization.
DELEGATION
Delegation of authority to recruit and/or appoint will be as per DOP.
JOB SPECIFICATIONS
1. Job specifications will stipulate the minimum eligibility condition for each
job/post in terms of the following:
Educational Qualifications
Experience required, if any
Age limit
Physical/Medical standards, if any
Any other requirements as may be deemed necessary.
2. Job specifications stipulated for each post may be subject to periodical review
and updating keeping in view the changing needs of the organization. As and
when required, a committee consisting of representatives from the
Department(s) concerned, Personnel and other departments as deemed fit may
be constituted by the Competent Authority. Changes suggested by the
Committee with regard to the existing Job specifications will be subject to the
approval of the Competent Authority.
REQUISITIONS
1. All requisitions/proposals for recruitment of personnel will be sent by the
concerned Head of the Department to the Manpower Planning Cell (MPC) of
Personnel Department.
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2. MPC will scrutinize each proposal received from the Indenting Department
keeping in view the approved manpower strength and the need to fill up the
posts and obtain the approval of the competent authority and forward the same
to the Recruitment Section for initiating further action, as required.
RESERVATION OF POSTS
1. Reservation of posts for OBCs, Scheduled Castes and Scheduled Tribes shall
be provided in accordance with the Presidential Directives issued on the subject
from time to time.
2. Reservation of posts for other categories such as Ex-serviceman, Physically
Handicapped persons etc. will be provided as per rules.
RESPONSIBILITY
All activities pertaining to recruitment will be centrally coordinated and
managed by Recruitment Section of Personnel Department at Headquarters. However,
representative(s) of other departments(s), as deemed necessary may be associated at
various stages of recruitment and/or selection of candidates. The services of
specialized agencies may be taken, if required, for conducting written tests/job
tests/group tasks/group discussions, etc as also for short listing of suitable candidates
for selection.
SCREENING OF APPLICATIONS
Applications received in response to the vacancies
circulated/notified/advertised etc. will be screened by the Recruitment section
keeping in view the job specification prescribed for the post(s) in question and
the candidates short listed for interview. As and when necessary, the indenting
department may be consulted for screening and short listing of candidates.
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If suitable candidates with the required job specifications are not available, or if
candidates are otherwise exceptionally qualified or experienced, but require
relaxation in specifications like age, qualifications etc competent authority may
relax the specifications prescribed as a one time measure in order to facilitate
filling up of such post(s) in time, provided such provision for relaxation has
been stipulated in notification/advertisement for the post. Any subsequent
recruitment against such posts(s) will, however, is made strictly on the basis of
the standard job specifications prescribed.
MODE OF SELECTION
1. Selection of candidates for appointment in the Company will be made on the
basis of their merit and suitability as assessed through selection test(s). the
selection test(s) will comprise of:
I. Written test/job test/trade test or any combination thereof; and/or
II. Group task/Group discussion/interview or both; and/or
III. Any other test(s) as may be prescribed or as decided by the Competent
Authority.
2. Wherever selection is made on the basis of a combination of a written test/trade
test etc. and interview/group discussion etc. weightage of different segments
administered, will be assigned as follows;
Written test/ job test/trade test or any
Other test as may be prescribed: 85
Group task/Group discussion/interview or
A combination 15
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3. A candidate is required to secure minimum qualifying marks of 50 % in each
segment or such percentage as may be prescribed by the competent authority
from time to time. Relaxation in respect of SC/ST/OBC, if any, will be
provided as per Presidential Directives in each selection segment to qualify.
Relaxation in qualifying marks will also be provided to DPs as per the existing
policy.
4. Where the selection is solely based on interview, the weightage for interview
will be 100%.
SELECTION COMMITTEE
1. In order to assess the suitability of the candidates for the post(s) in question,
Selection committee(s) will be constituted by the competent authority.
2. As and when required, experts from outside the organization may also be
included in the selection committee(s) to ensure proper evaluation of
candidates.
FINAL SELECTION OF CANDIDATES
1. The selection committee will assess the comparative merit of each candidate in
terms of his/her qualifications, experience, if any, and on the basis of
performance in the selection test(s) and interview as per criteria laid down and
come to a conclusion as to whether or not the candidate would measure up to
the requirements of the job he/she is expected to perform. However, wherever
marks are assigned, committee members will be required to give marks on the
basis of criteria prescribed depending upon the relative performance of each
candidate in the test/interview and keeping in view his/her suitability for the job
in question.
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2. Candidates found suitable will be empanelled in order of merit on the basis of
following:
a) Wherever marks are assigned, merit list of candidates who have secured
minimum qualifying marks as at Para 12.3 will be prepared on the basis
of aggregate marks secured by the candidates in the selection/test(s); and
wherever selection is made for more than one discipline/stream, merit
lists would be prepared discipline/stream wise.
b) Wherever selection is made only on the basis of evaluation of the
selection committee without assigning marks, merit lists of the
candidates will be drawn up as recommended by the selection
committee.
3. The select list so prepared will be subject to the approval of the competent
authority and will remain valid for a period of one year from the date of such
approval, which can be extended at the discretion of the competent authority.
ISSUE OF OFFERS
1. Appointment offers will be issued to the required number of candidates from
the panel/merit list in order of merit in each discipline/stream with the
approval of the competent authority.
2. All appointment offers will be centrally issued by the Recruitment Section of
Personnel Department. The in-charge of Recruitment Section is authorized to
issue offers of appointment for and on behalf of the Competent Authority.
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MEDICAL EXAMINATION
1. All appointments in the company will be subject to the selected candidates
being found medically fir by the Company’s medical officer/board for the
post(s) for which they have been selected. Where there is no company hospital,
medical examination will be conducted by an approval Government
Hospital/Medical Board.
2. Medical standards will be laid down for each category of job(s)/post(s), both
executive as well as non-executive, keeping in view of the job requirements.
3. Medical standards prescribed for different jobs/posts will be subject to review
from time to time depending on organizational needs. As and when necessary,
the competent authority may constitute a committee of experts to review and
suggest suitable changes in existing medical standards. Such changes will,
however, be subject to approval of the competent authority.
DEPUTATIONISTS
Not withstanding anything contained in this policy and in exceptional cases,
employees of other PSUs or Government may be appointed in the company on
deputation basis for such periods as may be decided by the competent authority. Such
deputations may be absorbed in suitable posts in the company, as may be decided by
the competent authority.
INDUCTION/ORIENTATION
All newly appointed employees in the company will undergo suitable
induction/orientation programs to be organized by the Training Department. Induction
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program will, among other things, aim at systematically introducing the new
employees to the company, its philosophy, its major policies, technology, existing
status, future plans etc. the induction program should clearly spell out the mutual
expectations with emphasis on company’s objectives and goals.
POST SELECTION FOLLOW UP
The selected candidates on joining the company will be under probation for a
period of twelve months or such other period as may be specified. The period of
probation may be extended in suitable cases as provided in the Service Rules.
RULES AND PROCEDURES
The Chairman-cum-Managing Director, RINL/VSP, is authorized to frame and
issue the rules, procedures, guidelines, instructions etc. under the policy, designate
competent authorities to exercise powers under the policy and rules and give
clarifications on issues arising out of the policy.
TENURE
1. Policies and rules framed hereunder will come into force from the date notified
by Chairman-cum-Managing Director, RINL/VSP, and will remain in force for
a period as decided by him.
2. The company, however, reserves the right to amend, modify, cancel or
withdraw the policy or any part thereof at any time without notice.
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CHAPTER-VIQuestionnaires
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A QUESTIONNAIRE ON
RECRUITMENT AND SELECTION IN
VISAKA STEEL PLANT, VISAKAPATNAM.PERSONAL PROFILE
Name:
Designation:
Age:
Qualification:
1. What is the source of Recruitment?
a) Internal b) External c) Both d) None
2. Will the Company permit you to leave the job better opportunities outside?
a) Yes b) No c) In some cases
3. VISAKA STEEL PLANT whether the recruitment of vacancies done every year?
a) Yes b) No c) None
4. By which technique you approached the VISAKA STEEL PLANT for
employment?
a) Employment exchange notification in news media
b) Educational Institutions c) All the above
5. VISAKA STEEL PLANT offers which type of recruitment for its employees?
a) Temporarily basis employment b) Permanent basis employment
c) Both
6. Are you satisfied with presents or you need any fresh recruitment?
a) Yes b) No
7. Is Recruitment is necessary for VISAKA STEEL PLANT?
a) Yes b) No
8. Was training will be given to the employees after they are recruited?
a) Yes b) No
9. Was recruitment will be done when the vacancies are recruited?
a) Yes b) No
10. Do you feel that recruitment plays an important role in VISAKA STEEL PLANT?
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a) Yes b) No
11. Would you believe that after recruitment the employee should be given correct
placement?
a) Yes b) No
12. Give me your opinion if the placement is not good in an organization, it leads to
less productivity or not?
a) Yes b) No
13. In VISAKA STEEL PLANT which type persons were recruited?
a) Technical b) Non-Technical c) Both (a) & (b)
14. Does VISAKA STEEL PLANT needs Managers for the departments like HR,
Finance, and Marketing?
a) Yes b) No
15. In VISAKA STEEL PLANT, are there any reserved posts for SC/ST/PHC?
a) Yes b) No
16. In VISAKA STEEL PLANT, what is the process of recruiting the persons in to the
organization?
a) Written test b) Interview c) Technical test d) All the above
17. Which persons will be recruited in VISAKA STEEL PLANT regarding their
experience?
a) Experience Candidates b) Fresher c) Both
18. Which types of tests are conducted at the time of recruitment process in VISAKA
STEEL PLANT?
a) Physical test b) Written test c) Mental ability test d) Oral test
e) All
19. Do you thing inductions necessary for newly appointed employee in VISAKA
STEEL PLANT?
a) Yes b) No
20. What is your overall opinion about personal recruitment, Selection in VISAKA
STEEL PLANT?
a) Excellent b) Good c) Average d) Poor
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CHAPTER-VIIFINDINGS & SUGGESTIONS
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7.1 FINDINGS
45.22% employees are satisfied with their jobs in the present organization.
31.33% employees are working more than 2 years and above.
40% of the employees are satisfied with their job profile
52.66% of the employees are very satisfied with the organization for providing
good development programs and career focus.
50and above employees are satisfied with their organization for providing good
PA and for providing good environment
7.2 SUGGESTIONS
Perfect manpower consultants is lacking some basic infrastructure like proper
internet connection, manpower etc The organization should have minimum two
systems connected to internet and one system should be used exclusively to
down load the data from the Job Portal and the second one can be used for
other purposes (like sending terms & conditions, receiving and sending mails
etc). One system should be used for maintaining the database and records.
Perfect manpower consultants should avoid dealing with low profile
requirements (like recruiting office assistants, front office executives or were
the salary package is less than Rs 8000). Because time and energy (work force)
used to fulfill the low profile requirement can be used in a better else were to
generate more revenues.
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Though consultancy has already owned a good reputation, but it always need
some type of publicity as a reminder to the young stars approaching to the jobs.
This might help in accumulating good data base.
7.3 CONCLUSION
By the above study I would like to conclude that:
The recruitment process in VSP is done through mailing services, newspaper
ads and references.
The selection process in VSP is depends on the job profile of their requirement
The selection procedures had an impact on job satisfaction of employees.
The study also says that the satisfaction level of employees are different for
each employee and mostly this satisfaction levels are depends on good
appraisal, official as well as personal benefits and career growth
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APPENDIX
Name : Designation :
Qualification: Company :
1. How satisfied are you with your current job?
a) Very Satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
2. How long have you been with the company?
a) Below 6 months
b) Above 6 months
c) Above 1 year
d) Above 2 years
3. How satisfied are you with the following? (Very Satisfied, Satisfied ,
Dissatisfied)
a) Job profile
b) Development
c) Career focus
4. How satisfied are you with the following? (Very Satisfied, Satisfied ,
Dissatisfied)
a) Appropriate recognition to your contribution
b) With your overall job security
c) With a company as a place to work
5. How do you enhance the job satisfaction?
a) Coordination
b) Technology
c) Good recognition
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BIBLIOGRAPHY
TEXT BOOKS
P. Subba Rao, “Essentials of HUMAN RESOURCE AND MANAGEMENT
RELATIONS”, Himalaya Publications, Second edition and Revised print 2007.
David A. Decenzo, “PERSONNEL /HUMAN RESOURCE MANAGEMENT”