a study of recruitment policy and its effectiveness in the indorama synthetic (i) limited butibori...

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PROJECT REPORT

A STUDY OF RECRUITMENT POLICY AND ITS EFFECTIVENESS IN THE INDORAMA SYNTHETIC (I) LIMITED BUTIBORI NAGPUR.

Introduction The art of choosing men is not nearly as difficult as the art of enabling those one has chosen to attain their full worth. .

Recruitment helps in developing a reservoir or a pool of competent and eligible candidates by tapping multifarious sources. Here one small case is discussed which put a light on the problem arise, during the recruitment of competent workforce. On July 24, 2008, two Muslim women filed a lawsuit against the world's largest fast food restaurant chain, McDonald's, its management company at Dearborn, Michigan, USA, and one of its managers, alleging that they had been discriminated against during their job interviews because they were wearing the hijab. In the lawsuit filed in Wayne County Circuit Court, Michigan, the women claimed that the discrimination had been going on for years and demanded US$10 million as compensation.

The two women Toi Whitfield (Whitfield) of Detroit, and Quiana Pugh (Pugh) of Dearborn alleged that the manager had told them that they would not be considered for employment unless they removed their hijab.

This case shows a sensitive and crucial nature of the Recruitment processes. Recruiter need to tackle an every aspect of process in a careful manner to get competent workforce.

Recruitment is the process by which organizations locate and attract individuals to fill job vacancies. Most organizations have a continuing need to recruit new employees to replace those who leave or are promoted in order to acquire new skills and promote organizational growth.

Recruitment is the process of searching for prospective employees and stimulation or encouraging them to apply for jobs in the organization

-By Edwin Flippo

Recruitment is the process to discover the sources of manpower to meet the recruitments of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate efficient selection of an efficient workforce.

-By Dale Yoder

The recruitment is, thus a balancing process between job evaluation and merit rating in respect of the vacancies arising in the organization whereby the capable and competent candidates who can fulfill the given job needs are stimulated and attracted towards the organization to apply.

RECUITMENT PROCESS

Recruiting begins when a vacancy occurs and the recruiter receives authorization to fill it. The next step is careful examination of the job and enumeration of skills, abilities and experience needed to perform the job successfully. Other steps follow: Creating an applicant pool using internal or external methods. Evaluate candidates via selection. Convince the candidate. And finally make an offer.INDORAMA SYNTHETIC INDIA LTD, BUTIBORI, NAGPUR.

INTRODUCTION:Indo Rama Synthetics (India) Limited was established in India in 1989 with a commitment to quality and customer satisfaction. Its exposure to international operations gives it a competitive edge in adherence to global standards. The company boasts of covering diverse fields of Polyester (staple fibre filament yarn, and FDY, DTY and textile grade yarn.)

In 1995 the Integrated Polyester Complex at Butibori, near Nagpur in Maharashtra in technical collaboration with DuPont of USA was set up for polymer production and partially oriented yarn (POY) and Toyobo of Japan Polyester Staple fibre (PSF)Indo Rama Synthetics (India) Limited is the countrys largest dedicated polyester manufacturer (at a single location), with an Integrated Manufacturing Complex at Butibori, near Nagpur in Maharashtra producing Polyester Staple Fibre (PSF), Polyester Filament Yarn (PFY POY/DTY), draw textured Yarn (DTY) and textile grade chips.

As part of the expansion process, the Butibori plant has now doubled its capacity of both PSF and PFY. The expansion has been executed in alliance with Zimmer AG, a leading technology provider from Germany. Today, the Butibori plant produces 6, 00,000 metric tones of PSF, POY, FDY, DTY and fibre grade chips. The expansion was complete with the project cost of Rs. 900 crores in the periods of 2.5 years.During December 07, Indo Rama Petrochemicals Ltd is merged with Indo Rama Synthetics (India) Ltd. With this merger, Power business has now become a separate revenue segment of the company. Excess power after captive consumption being sold.

Indo Rama has in place ISO-9001 (2000) for highest standard of Quality Management System (QMS), ISO-14001 (2004) for Environment Management System (EMS) and OEKO Tex certificate to meet Human Ecological requirements. Implementation of OSHAS-18001 (Occupational Safety & Health) was taken up in financial year of 2006-07. Forbes magazine has recognized the group- Indo Rama Synthetic (India) Ltd and associates companies based in South-East Asia-as one of the 100 Best small companies in the Emerging market.

Indo Rama Synthetics (India) Limited, in agreement with Pegasus Global Limited of Thailand established a Joint Venture (JV) in the USA. The JV, under the name of Star Pet Inc., acquired an operational Integrated Bottle-Grade Pet Resin manufacturing facility with an installed capacity of manufacture of around 70,000 tones (150 million pounds) per annum (tpa) of Polyester from Tippet International Ltd. of North Carolina, USA. The acquisition was, structured by Management Consultants KPMG Atlanta on financial aspects and cad alder Ny on legal and environmental issue.Indo Rama has a dynamic workforce of about 3,000 employees. The organization puts forth the growth of its employees in terms of their welfare. Continuous programmers for its staff in training and healthcare are provided at regular intervene built for its employees at Nagpur. A school at Butibori imparts quality education both for the employees children as well as the citizens of Nagpur.

Every step that the company takes helps it get closer to its objective of building an organization, which is customer-focused, innovative and where quality is the bottom-line.

Mr. OP Lohia is heading the Board of Directors and the organization as Chairman and Managing Director. OBJECTIVES OF THE STUDY

Before starting any piece of project, there is a need of predefined objective. It will helpful in detecting appropriate path for the study, and also control its deviation from main stream. Without any objective a task is rendered meaningless. The main objectives for undertaking this project are:

To understand the Internal Recruitment process in general and at Indorama Synthetics (India) Ltd .Nagpur. To identify areas where there can be scope for improvement in the recruitment Process.

To give suitable recommendation to streamline the hiring process. To study the impact of recruitment policy of organization on its employees.

HYPOTHESIS OF THE STUDY

A hypothesis in a research is a speculation or a guess. In simple word, it is a prediction regarding the possible outcomes of a study.

One way of solving a research problem is by identifying possible solutions or explanations and then gathering information to see if they are correct.

We can therefore define hypothesis as tentative explanations of factual information. You then collect information to prove or disprove a hypothesis.H01 Recruitment process is a systematic and definite procedure in every

Organization. H02 Transparency is maintained in the recruitment policy of Indorama

Synthetic (India) ltd.

H03 Recruitment process is unbiased in of Indorama Synthetic (India) Ltd.PROBLEMS: An organization may not be able to recruit freely even though it offers better salaries and other amenities. A number of constraints may be faced in recruitment such as image of organization, unattractive jobs, organizational policies, union requirements, and government policies.

As in March 2006, some leading IT service companies in India such as Wipro Technologies (Wipro) and IBM India dismissed several employees when they discovered that the information provided in the employees curriculum vitaes (CVs) was false.

The companies also blamed some of the recruitment agencies which had recruited the dismissed employees, for helping them fake their CVs. Police complaints were lodged against some of these recruitment agencies and they were even asked to refund the expenditure incurred by the companies in hiring the dismissed employees. This is a case of fraudulent; short listing of CVs is the first step of recruitment, while the recruitment agency is also a popular source of recruitment. Even though such kind of cases come into picture which make recruitment more complex.

Some of the common problems related to recruitment are discussed below:

ERROR OF JUDGEMENT:

While selecting a competing employee recruiter face a problem of judgment, some time error of judgment due to the limited source of recruiters information.

BIASNESS:

Biasness is the most popular problem has been seen in the recruitment process. Discrimination on the basis of relatives, castes, sex, color, etc is takes place in recruitment process.INBREEDING PROBLEM:

Generally organizations prefer internal source of recruitment, which creates a problem of inbreeding in the human resource of organization.RESISTANCE OCCURS:

Sometimes existing workforce generates a resistance against new recruitees, this is also a problem of recruitment process.SON OF THE SOIL:

It is a peculiar issue in recruitment where employment preference is given to the candidate who belongs to the same region or state rather than the skill part.RESEARCH METHODOLOGY

Research is a systematized effort to gain new knowledge. For carrying out a research or study different methodologies are applied which have their own pros and cons. Methodology is the systematic procedure to reach to the conclusion part of the study.

Research design: Descriptive research design has used.Sampling method: simple random sampling has used.

Data is collected by two sources;

Primary data

Secondary data

PRIMARY DATA COLLECTION: The primary data is collected by employees of the company. The methods of primary data collection are given below; Selection of sample size

Questionnaire preparation Distribution of questionnaire

Collection of filled questionnaire

Interview of an employees

Analysis of responses

conclusion

SECONDARY DATA COLLECTION:Paper Based Sources: In paper based sources books, journals and magazines, company documents (recruitees forms and applications) were included.Electronic Based Sources:

In electronic based sources internet surfing was done, including Google search, Indorama.com, hrcite.com etc.FINDINGS

To make project more supportive and reliable questionnaire has been prepared, which is filled by the middle level employees of an organization. It is analysis on the basis of options provided for questions. This questionnaire is complete combo of issues related to recruitment process.

In this chapter, we will discuss about each question one by one and analysis it accordingly. 1. The recruitment in INDORAMA SYNTHETIC (I) LTD. is done mainly through

Analysis: Major part of the recruitment is takes place through consultancy and referrals. According to responses walk-ins interviews are negligible in an organization.2. Organization inclination is more toward internal recruitment

Analysis: study shows that Indorama is strongly favors internal source of recruitment for maintaining workforce.

3. Blood relation policy plays a major role during recruitment rather than the talent of the employee.

Analysis: On the basis of responses, the above pie chart clarifying it that blood relation is not much preferred as compare to talent of employee during recruitment. 4. The recruitees are mostly:

Analysis: Organization consist most of the employees experienced below 10 years.5. Stress interview

Analysis: stress interview is not a frequent procedure of organization; it is taken place as per the condition and only for higher post.6. The recruitees are lured by:

Analysis: As Indorama is one of big Industry in Vidharbh region, company image and pay packages are important factor for pulling employees.7. Struggling point of the interviewee during interview

Analysis: 50% of respondents answered that struggling part of an interviewee during the time of interview is salary negotiation, and some times answering subject questions is also a matter of struggle. 8. Clarification of job roles during the interview

Analysis: 65% respondents are agreeing with statement that their job roles were clearly defined during the interview.9. Skills match with job profiles of employees.

Analysis: Maximum numbers of employees are happy with their job profile which is suitable for their skills set.10. Employees skills utilization in an organization.

Analysis: More than half of the respondents (60%) are opinioned that their skills are utilizing in an optimized way by organization.11. Employees satisfaction about salary structure

Analysis: 70% of total respondents are partially satisfied with their salary structure, according to them some corrective opportunities are still their.

12. Competency of current recruitment process

Analysis: 60% of employees are saying that current recruitment policy of an organization is very competent, while 10% are not agree with them.13. Employees satisfied with the recruitment process

Analysis: 55% of employees are satisfied with recruitment process partially while 45% of them are completely satisfied with it.14. Recession has affected on the recruitment policy of the organization

Analysis: 25% of respondents say recession affects recruitment policy strongly in an organization, while according to 65 % of respondents it affects only to some extent and not strongly.15. General opinion with regard to the recruitment policy of Indorama Synthetics (India) Ltd.

An open ended question was included in a questionnaire which has provided following general opinions of respondents. Transparency needs to maintain in an organization while doing recruitment. More specialized professional need to recruit for specialized jobs.

In general recruitment policy of Indorama is good, it will be better, if company not only focus on the recruitment of competent employee but also on retaining them in an organization.

CONCLUSIONS:From the above analysis following are the conclusions:

Transparency needs to maintain in an organization while doing recruitment. Hence we conclude that statement H02 is not getting retained. Organization consists mainly an experienced workforce; during the time of recruitment experienced candidates get preferences. Recruitment process in Indorama is un-biased, blood relation dose not play important role at a time of recruitment. Thus, here statement H03 gets retained. Because of one and only one multi-national company in vidharbh region, Company image and pay packages plays vital role in attracting recruitees toward an organization.

Organization utilized its human resource skills in an optimized way. Current recruitment policy of an organization is competent with the existent scenario of corporate.

Skills of employees in organization matches according to their job profile.

Recession has also affect the recruitment policy of Indorama Synthetic (I) Ltd. up to some extent; they also downsized their workforce for the sack of cost cutting. A flowchart is prepared in an organization, according to which recruitment process follows systematically in Indorama. And hence here statement H01 is getting retained.SUGGESTIONS:

Organization needs to recruit more female employees in HR department as it will make work environment sounder. Organization must give an opportunity for freshers during recruitment process which will increase enthusiasm and create more energetic workforce. Salary structures of employees need to modified, because monetary factor is always helpful for motivating employees. As 50% of the employees are struggling in part of salary negotiation at a time of interview, thus interviewer needs to be trained to tackle the situation and avid negotiation. Indorama is highly inclined toward internal source of recruitment , thus it need to divert toward external source of recruitment for sack of avoiding inbreeding problem in talent resource.

LIMITATIONS OF STUDY

Whosoever prepares a thesis or report, some percent of error found in every study. This error is considered as limitations of study.et we focus on some limitation of this project.

This study is limited to a particular organization Indorama Synthetic India Limited, Butibori Nagpur, thus conclusion on report may not be universally accepted. Response error: Response error may easily found during collecting a response. This error occurs due to the hesitated or exaggerated responses of respondent.

Interviewer error: Error may occur during interpretation of data and responses which collected on the basis of open ended question. APPENDIX A

QUESTIONNAIREQ1. The recruitments are mostly done through:

A) Campus interviews

B) Walk ins

C) Referrals

D) Consultants

Q2. Is the organization inclined more towards internal recruitment?

A) Yes

B) No

Q3. Does the blood relation policy play a major role during the recruitment rather than the talent of recruitee?

A) Always

B) Sometimes

C) Rarely

D) Never

Q4. Are the recruitees mostly:

A) Fresher

B) Experienced 0-5 years

C) Experienced 5-10 years

D) Experienced above 10 yearsQ5. Are stress interviews taken?

A) Always

B) Sometimes

C) Rarely

D) Never

Q6. The recruitees are lured by:

A) Company image

B) Pay packages

C) Working environments (convenience)

D) Other reasons (Please specify)

Q7. At what point of the interview does the interviewee mostly struggle?

A) During salary negotiations

B) During answering subject related questions

C) During welfare programmes negotiations

D) Others (Please specify)

Q8. Were your job roles clearly defined during the interview?

A) Yes

B) No

Q9. Do your skills properly match with your job profile?

A) Yes

B) No

Q10. Are your skills utilized to their fullest in this organization?

A) Yes

B) No

Q11. Are you satisfied with the salary structure?

A) Completely satisfied

B) Partially satisfied

C) Completely dissatisfied

Q12. Is the current recruitment process competent for the organization?

A) Yes

B) No

C) For some jobs (Please specify)

Q13. Are you satisfied with the recruitment process?

A) Completely satisfied

B) Partially satisfied

C) Completely dissatisfied

Q14. Do you think recession has affected the recruitment policy of the organization?

A) Strongly

B) To some extent

C) Not at all

Q15. Please give your opinion with regard to the recruitment policy of Indorama Synthetics (India) Ltd.APPENDIX B

RECRUITMENT PROCESS OF INDORAMA

SHAPE \* MERGEFORMAT

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BIBLOGRAPHY:

INTERNET SITES

www.Google.com www.Indorama.com www.bing

BOOKS/JOURNALSHuman Resource Management: K.R.Dixit

Research Methodology: Dr. Vijay Upagade

Dr. Arvind Shende

Human Resources Management: C.V.Mammoria

Receive manpower requisition form

Manpower requisition (for stae/workers)

Verification of requisition and submission to AVP-HR and ADMIN/ sr. VP for their recommendation

Sanctioned strength

Submission to Corp- HR

Approved by Corp-HR

Recruitment above AGM level

file

Refer data bank for AGM and below

Intimation to corp-HR

Available

A

Advertisement

A

Organize Interview

Personal data

Form (staff)

Personal data form (workers)

Interview assessment form (staff)

Interview assessment form (workers)

Interview assessment form (trainees)

Selected

File

Medical check up

Medical examination

Fit

Given offer letter

File

B

B

Offer letter

(Staff)

Offer letter (workers)

Completion joining formalities

Personal data form

Joining report

Personal data (workers)

Induction

Peers

Below deputy manager

Probation and on job training

Report to concern department for further instruction

C

Appraisal at the end of probation and training

Probation appraisal form staff officer and above

Trainee appraisal/ probation form (staff assistant officer belo )

Trainee appraisal/ probation form

(workers)

Review appraisal

Meet expectation

File

Extension of training/probation

Confirmation/

Absorption

D

Absorption letter (staff)

Absorption letter (workers)

Confirmation letter (staff)

Confirmation letter (workers)

File and retain all recruitment records

File

C

Department of Management Technology and Research, N.M.D.College Page 32

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