effectivness of recruitment process in lotte
TRANSCRIPT
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EFFECTIVENESS OF RECRUITMENT PROCESS
Submitted in partial fulfillment of the requirement for
Master of Business Administration (MBA)
By KATHIRVEL J
REGISTER No. 1011301059 BATCH OF 2011-2013
SONA COLLEGE OF TECHNOLOGY [An Autonomous Institution]
Affiliated to Anna University of Technology, Coimbatore. Salem-636005.
July 2012
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SONA COLLEGE OF TECHNOLOGY, AUTONOMOUS
SALEM
DEPARTMENT OF MANAGEMENT STUDIES
PROJECT WORK
JULY 2012
This is to certify that the project entitled
EFFECTIVENESS OF RECRUITMENT PROCESS AT
LOTTE INDIA CORPORATION LIMITED, SALEM
Is the bonafide record of project work done by
KATHIRVEL J
Register No: 1011301059
Of
MASTER OF BUSINESS ADMINISTRATION
During the year 2011-2013
_______________ _________________
Project Guide Head of the Department
Submitted for the Project viva-voce examination held on _____________ ________________ _________________
Internal Examiner External Examiner
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DECLARATION
I KATHIRVEL J Register No: 1011301059 of 2011-2013 batch is, a full time bonafide
student of first year of Master of Business Administration (MBA) Programmeof Sona
College of Technology (An Autonomous Institution). I hereby certify that this Project work
carried out by me at LOTTE INDIA CORPORATION LIMITED,the report submitted in
partial fulfillment of the requirements of the programme is an original work of mine under
guidance of the faculty Mr. Vincent Joseph Raj L and is not based or reproduced from any
existing work of any other time or for any other purpose, and has not been submitted
anywhere else at any time.
KATHIRVEL J
I certify that the Declaration made above by the candidate is true.
MS.RAMAYA V
ASSISTANT PROFESSOR
DEPARTMENT OF MANAGEMENT STUDIES
SONA COLLEGE OF TECHNOLOGY
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ACKNOWLEDGEMENT
A project is not the outcome of a single person’s effort. It is the confluence of varied thought processes harmoniously integrated into resourceful product. It is natural that we feel indebted to several people for having made this project feasible. I take this opportunity to thank the almighty for granting me the strength to do this project and make it successful. Next to god I would like to thank my parents and my sisters who helped me in numerous ways to complete this project successfully.
I would like to express my sincere gratitude to Dr. LATHA
KRISHNAN,Director,M.Com.,M.B.A.,PGDMM.PGDIRPM,M-Phil.,Ph.D.,Post-
DoctoralFelloship(IIT-M)Sona School of Management for having motivated me throughout
the project.
I am extremely grateful to my Institutional Guide, Mr. Vincent Joseph Raj L , Assistant Manager-HR and Mr. Vasudevan R , Deputy Manager-HR, LOTTE INDIA CORPORATION LIMITED., for helping me to do this project. I would like to thank all my staff members of SONA COLLEGE OF TECHNOLOGY, for giving me good encouragement in doing this project. I express my special thanks to my Faculty Guide Ms. RamyaV My sincere and heartfelt thanks to LOTTE INDIA Corporation limited, Chennai for the interest, they rendered in my project and in fulfilling my partial requirements in completing the project.
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CONTENTS
S.NO TITLE PAGE NO
CHAPTER-I
1.1 INTRODUCTION 1.2 INDUSTRY PROFILE
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1.3 LIMITATIONS 2
CHAPTER-II
2.1 ABOUT THE COMPANY 4 2.2 VISION 6 2.3 CORPORATE PHILOSOPHY 2.4 BOARD OF DIRECTORS 2.5 CODE OF CONDUCT AND ETHICS
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2.6 WHISTLE BLOWER POLICY 10 2.7 MILESTONES 11 2.8 BUSINESS LOCATIONS 13 2.9 COMPANY BRANDS 14
2.10 ORGANISATION CHART 16 2.11 DEPARTMENTATION 17 2.12 SWOT ANALYSIS 21 2.13 INTRODUCTION OF RECRUITMENT 22 2.14 LICL - RECRUITMENT PROCESS
FLOW CHART 24
2.15 TYPES OF RECRUITMENT 25 2.16 RECRUITMENT POLICY IN LICL 28 2.17 SHORT LISTING OF APPLICATION 29 2.18 NEED OF THE STUDY 2.19 SCOPE OF THE STUDY 2.20 OBJECTIVE 2.21 LIMITATIONS
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CHAPTER-III
3.1 FINDINGS 33 3.2 SUGGESTIONS 3.3 CONCLUSION
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3.4 BIBLIOGRAPHY 35
CHAPTER-I
1.1 INTRODUCTION
Despite the world economy’s recent tryst with recession, the global confectionery industry is
experiencing steady growth. India’s contribution to this growth has been significant, thanks
to the affluent group of consumers and their exposure to the multinational brands.
The Confectionery industry will never cease to lose its popularity; In fact it is arguably in the
midst of the best growth cycle in its history. In a country like India where majority of people
have a sweet tooth and find every reason to celebrate any occasion with sweets, the
confectionery industry is bound to be the largest and most popular among the food
processing sectors in the country. If one hast to define the term ‘Confectionery’, it would be
the category of food items that are rich in sugar. The confectionery industry is broadly
divided into chocolate confectionery, sugar confectionery and gums. In India this industry is
further divided into chocolates, hard boiled sugar candies, lollipops, lozenges, &
chewing bubble gums.
1.2 INDUSTRY PROFILE Confectionery Market in India: The organized confectionery segment in India segment is pretty much dominated by the
multinational companies; however, domestic players are gradually increasing their foothold
in the market.
Cadbury India, Ltd. is by far the market leader, followed by Perfetti Van Melle India, Ltd.
and Nestle India, Ltd. Other important players are Lotte India Ltd, Nutrine Confectionery
Co Pvt Ltd, CandicoIndia Ltd, Parle Products Pvt Ltd, Wrigley India Pvt Ltd, ITC
Foods, Hindustan Lever Ltd and CAMPCOLtd. Since import restrictions were eased in 2001,
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imports of confectionery products have grown rapidly. Retail chocolates and sugar
confectionery account for the greatest share of total confectionery imported into India.
The Indian candy market is currently valued at around $664 million, with about 70 per cent
share ($ 461 million) in sugar confectionery and the remaining 30 per cent ($ 203 million) in
chocolate confectionery.
The domestic confectionery industry is benefiting from the country’s economic boom and
growth in consumer spending. With the nation’s economy growing at around 10 per cent,
Indian Consumers are expected to consume more chocolates. This higher consumer spend is
also driven by the new found mall culture.
While the consumers are becoming more and more health conscious, a wide range of sugar-
free products in gums, chocolates and candies have already been introduced. There’s a huge
demand for the dark chocolate with a high cocoa content as well.
According to Maurizo Decio, president - Asia Pacific, Barry Callebaut AG, one of the
world’s leading manufacturers of cocoa and chocolate products, the chocolate market has the
potential to grow, especially in metropolitan areas, as the disposable income of an Indian
consumer continues to rise.
The organised market for confectionery in India is valued at Rs 2,000 crore. The contribution
from rural India is estimated at 48 per cent and the balance 52 per cent from urban India.
With demand for high-end confectionery going up, India is becoming an attractive place for
foreign investments with large multinational companies entering the Indian chocolate &
confectionery market. These foreign brands are entering the industry either through direct
imports or by acquisitions of existing confectionery companies. This will indirectly help in
opening up new avenues in market and also help in exploring possibilities to bring up new
products in this country. With the entry of new MNCs in India, there is tremendous potential
for exports of these products.
The Future of Indian Confectionery Industry: India is a small market compared to the global numbers, but it has an annual turnover of
around Rs 3,500 crores with huge potential to grow. According to a study by Euromonitor, the Indian
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sugar confectionery market is projected to expand at a compounded annual growth rate (CAGR) of 8
per cent until 2011.
The confectionery market can grow immensely, depending on the kind of categories & products that
are introduced. There are some companies which are focusing on niche high-end or designer
chocolates. These kinds of chocolates have become status symbols and are linked to the people’s
aspiration & lifestyle and malls are the perfect points of sale.
As the competition becomes more intense and the scope for confectionery industry is wide,
companies are gearing up by introducing new strategies and products in the market. The Indian
Confectionery industry and the consumers are sure to get a sweet ending to 2010 and hope more
delicious years await them in the future.
1.3 Limitations The confectionery industry has considerable potential for growth. However, the main issue is that the
confectionery industry has today is the price point (MRP). While the input costs of major ingredients
like sugar, glucose, milk powder, butter and packaging material are increasing, the industry is not able
to increase any MRP on products due to coinage and therefore the manufacturers have to maintain the
price at the level of 50 paise and one rupee.
The unorganised sector, which is much larger as compared to organised sector, is seeing more growth
than the organised sector as it gets the benefit of the differential government duties and taxes.
Therefore, government needs to look into these taxations very seriously specially on excise duty,
which is 8 per cent, and also on the 12.5 per cent VAT.
Another challenge in front of the confectionery market is that it is still not able to target the adult
group in the country and is largely associated with products that cater to kids. However some
companies are taking initiatives to capitalise upon it.
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CHAPTER-II
2.1 ABOUT THE COMPANY
Lotte Confectionery is the first Company of the Lotte family of Companies founded by Mr.
Shin Kyuk-ho. The three L’s in the Lotte Emblem stand for Love, Liberty and Life. The
Corporate philosophy and idealism of Lotte is driven by dream of a world full of Love where
people care for each other and respect each other’s thoughts. The Lotte Group has presence
in Food & Beverages, Distribution, Tourism and Leisure business; Heavy Chemicals,
Construction and Machinery; Information, Communication and Electronics, Trading and
Services apart from Welfare Research and Support Services. The Lotte Confectionery Co.
Ltd. is the Lotte Group’s flagship Company in Foods and Beverages category. Lotte
Confectionery, Korea, was established with 500 employees in 1967 and today it has more
than 6000 Employees. It has over 500 products produced at 5 large-scale plants in Korea.
Lotte has been actively working towards establishment of overseas branches, production
facilities and has a presence in more than 70 countries. Lotte Confectionery’s annual Sales
are over USD 900 millions, Apart from Korea, Lotte has overseas investments in production
facilities in China, Philippines and Vietnam. Lotte Confectionery’s Main line products are
Chewing Gum (Lotte Xylitol, Lotte Juicy & Fresh, Lotte Spearmint, Lotte Fresh Mint,
Flavono, White & E, Spout Café Coffee) Candy, Biscuits, Chocolates, Snacks, Ice cream,
and health care product.
It’s a story having its origin in the age of British Raj. When children in India found
confectionery, which is imported from across the seas until the year 1914, When Parry’s
picked up the gauntlet and pioneered the manufacture of sweets - the first to do so in the
country. Parry’s sweets went on to become a household name- a name that people recollect
with warmth and a smile. Ever since, the Parry’s factory was set up in Nellikuppam, in the
Cuddalore District of Tamilnadu in South India. Parry’s has become synonymous with
Sweets and Confectionery. With the penchant we Indians have for sweets is not surprising
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that this smooth, milky and irresistibly delicious confectionery is the best gift any child could
get. And an obsession with quality ensured that children had a choice of nothing but the very
best in confectionery.
In the nine decades since, the scenario has undergone a dramatic change. There are a number
of offerings in the market today, each wooing children with a wide array of products. But
Parry’s still finds a prominent place in the heart of consumers.
Parry’s has always stayed at the top, having weathered the vicissitudes of change, with our
ear close to the ground - and to the hearts of children, changing, adapting and growing with
the times - But never losing sight of its values traditions and ethics. At the turn of this
century, Parry’s is poised on the threshold of greater challenges in a global village, where
dynamism and innovation is the very law of survival.
In the backdrop of India joining the WTO, and the global giants eyeing the Indian Market
with enthusiasm, the company needed to strengthen itself and broaden its base to delight
customers across the country and abroad. With this vision in the mind, Murugappa Group,
promoters of Parry’s Confectionery Limited entered in to an agreement with Lotte
Confectionery Limited, South Korea, by which the, entire shares which Murugappa Group,
the founders of Parrys Confectionery Limited, held was divested to Lotte Confectionery
Limited -A South Korean Multinational giant.
If the decades past are any indication, there’s little doubt that even in the coming century,
children grow up with the brands Parry’s has established.
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2.2 VISION - 2018 LOTTE wants to be a Asia’s No.1 confectionery company
Let’s Change, Get Chance! 2018
Basic Thinking
• Back to the basic
• Be Practical
• Solution from within
Basic Behavior
• Scientific Approach
• Positive Attitude
• Opinion Consensus
• Neutral Thought
• Go to the Field
• Endless Challenge
2C Product
• Customer-Oriented Product
• Classified Product Management
Management Principle
• Strengthening the core competencies
• On-Site Management
• Developing Talent
• Enhancing Brand Value
Core Value
• Customer Focus
• Originality
• Partnership
• Responsibility
• Passion
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2.3 Corporate Philosophy
Fostering a pioneering and challenging spirit, strengthening the competitiveness of core
businesses, maintaining a sense of responsibility towards society-these ideals form the basic
philosophy behind the Lotte India Corporation limited as it surges forth into the 21st century.
Lotte India Corporation will endeavor to uphold its clean and sincere corporate spirit,
maintain the trust of its customers and business partners.
2.4 BOARD OF DIRECTORS Corporare Board Members
Mr. Jung Woo Lee, Chairman
Mr. Milan Wahi, Managing Direcor
Mr. Kyo Hee Kim, Whole Time Director
Mr. Myung Ki Min, Director
Mr. D. G. Rajan, Director
2.5 Code of Conduct and Ethics For the Principal Executive and Senior Management Team
Objectives:
• To identify, promote and sustain a set of business practices for orderly and fair
conduct of company business.
• To ensure compliance with requirements of Corporate Governance under the revised
clause 49 of the Listing Agreement.
• To comply with all applicable laws, rules and regulations, policies and procedures
adopted by the Company from time to time.
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Applicability:
• Managing Director/Joint Managing Director.
• All Executive members of the SBU.
• All personnel serving in the role of Finance, Taxation, Accounting, Secretarial, Legal,
Purchase, Commercial, Internal Audit and investor relations.
• Also applicable to the committees to the Board and members of the Board of the
company and its subsidiaries if any.
• As the principles enumerated are general in nature the designated officers are
requested to follow the Standard Operating Procedures presently in place.
Areas of Code of Conduct and Ethics
A. Honesty and Ethical Conduct
• All officers are expected to act in accordance to the highest standards of personal and
professional integrity, honesty and integrity at the workplace, at sponsored business
and social events of any other place representing the Company.
• Honest conduct to be conduct that is free from fraud or deception
• Ethical conduct to be conduct conforming to the accepted professional standards of
conduct and includes ethical handling of actual or apparent conflict of interest
between personal and professional relationships
B. Conflicts of Interest
• A conflict of interest comes when interests or benefits of one person or entity conflict
with the interests or benefits of the company like
• Officers are expected to devote full and total attention to the business interests of the
company.
• Officers are prohibited to engage in activities that interfere with their performance or
responsibilities to the company.
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• It is a conflict of interest to serve as a Director of any company that competes with
the company. Directors are expected to obtain approval from the Company Audit
Committee before accepting the same.
• Officers shall not deal in securities while in possession of unpublished price sensitive
information. Neither pass on price sensitive information nor solicit any person to
trade in shares
• As a general rule, all officers shall avoid conducting company business with any
blood relative or even associate in a business in which a relative is associated in a
significant way in the Company .
• Officers are expected to discourage employment of relatives in the Company.
• Officers may not exploit opportunities for their personal gains, opportunities that are
discovered through the use of corporate property, information or position unless the
opportunity is cleared in writing by the company’s Board of Directors.
Disclosure to Stock Exchange and Public
• All officers shall ensure to provide full, fair, timely and understandable disclosure of
reports and documents to the Stock Exchange or to our public communications.
• All communications to the Government and other statutory authorities to be cleared
with Managing Director / Joint Managing Director.
Compliance with Government Laws , Rules and Regulations
• Officers shall ensure compliance with all the governmental laws, rules and
regulations.
• Officers to recognise potential dangers and seek advice from the Legal Department to
steer clear of any civil and criminal liability.
Violations of the Code
• Officers are to be alert to possible violation by reporting to the Human Resources and
Legal Departments.
• Officers must co-operate in any internal or external investigations of possible
violation.
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• Reprisal, threat, retribution or retaliation against any person who has in good faith
reported a violation or a suspected violation of law, this code or company policies or
against any person who is assisting in the investigating process is prohibited.
Waiver and Amendments of the Code
• This code is subject to amendment and modification
• This will be approved in writing by the company’s Board of Directors.
• This has then to disclose on the company’s website and in all applicable regulatory
filings.
2.6 Whistle Blower Policy The Whistle Blower Policy is created with the objective of providing employees, customers
and vendors an avenue to raise concerns which seem to go against the company’s
commitment to the highest possible standards of ethical, moral and legal business conduct
and its commitment to open communication. The whistle blower policy seeks to provide
necessary safe guards for protection of employees from reprisals a victimization, for whistle
blowing in good faith.
The purpose of this policy is to provide a frame work to promote responsible and secure
whistle blowing. It protects employees wishing to raise a concern about serious irregularities
within the company.
The Policy covers malpractices and events which have taken place/ suspected to take place
involving:
1. Abuse of authority
2. Breach of contract
3. Negligence causing substantial and specific danger to public health and safety
4. Manipulation of company data/ records
5. Financial irregularities, including fraud, or suspected fraud
6. Criminal offence
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7. Proliferation of confidential / propriety information
8. Deliberate violation of law/regulation
9. Wastage/misappropriation of company funds/assests
10. Breach of employee Code of Conduct or Rules
11. Any other unethical, biased, favored, imprudent event
The complaint or the whistleblower as he or she is called is not expected to prove the truth of
an allegation; the complainant needs to demonstrate to the ombudsperson, that there are
sufficient grounds for concern. Certain safeguards have been provided which will prevent
harassment or victimization of the complainant.
Every effort will be made to protect the complainant’s identity, subject to legal constraints.
Complainants must put their names to allegations as follow-up questions and investigation
may not be possible unless the source of the information is identified. Concerns expressed
anonymously will not be usually investigated but subject to the seriousness of the issue
raised; the ombudsperson can initiate an investigation independently. Malicious allegations
by employees may result in disciplinary action.
2.7 MILESTONES
Introduction The following information deals with the various management takeovers from Parry’s group
of company from the year 1910-1981,following management was taken over by an Indian
company from Parry’s group by Murugappa Group from the year 1981-2000, which was
further taken over by Lotte and continue to sell the confectionery Parry’s as Lotte.
1910-1911 - Parry’s acts as agents for M/s Glazebrook steel & Company of UK selling their sweets in Bombay, Karachi & Calcutta. Till 1913 - Parry’s imports confectionery from C&E Morton Ltd. U.K. 1914 - Factory set at Nellikuppam and EID Parry starts manufacturing Confectionery in a small
way.
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1920 - Parry sweets develops an All India reputation for quality sweets. 1940 - Parrys starts exporting sweets to countries like Africa & Singapore where they were well accepted. 1941 - Supplies made to Red Cross (about 300 Tons) - in aid of war victims. 1954 - Nellikuppam Confectionery plant of EID Parry spun off in to a newly formed company “Parry’s Confectionery Ltd” 1960 - Period of growth for PCL. Pioneers several new trade practices. First to introduce Indian made wrapped sweets. 1978 - 100% of all Parry’s sweets are machine wrapped. 1981 - Murugappa Group takes over Parrys. 1982 - Unit at Maraimalai Nagar near Chennai opens for packing small consumer packs. 1983 - Coco Products and Beverages Limited taken over by Parrys. 1986 - PCL developed it’s own IT Division - and undertakes computersation. PCL takes over the biscuits division that was a part of Parry & Co then. 1987 - Modernization takes place at Nellikuppam once again. 1987 - Modernization takes place at Nellikuppam once again.
Maraimalai Nagar plant starts manufacturing confectionery to meet growing demand. 1988 - Shift from the "King of Sweets" to focus on the Brands Commercials became product oriented. 1992 - PCL Company crosses the Rs. 500 million mark. Nellikuppam crosses 8,00 tonnes production. 1993 - R&D center opened at Manapakkam.
CPBL stops cocoa processing totally and is into full-fledged production of confectionery. 1995 - Establishes C & F Agents across the Country. 1996 - State-of-art Manufacturing facility established by modernizing the entire plant. 2003 - Nellikuppam Plant gets the certifications from BVQI- Bureau Veritas Quality International for
its best Quality Management System, Environmental Management System and Food Safety Management System ISO 9001: 2001 , ISO 14001:1996 , HACCP:2002 Version
2004 - Parrys Confectionery is now Lotte India Corporation Limited.
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2.8 BUSINESS LOCATIONS Zonal Offices
• Delhi
• Mumbai
• Kolkotta
• Chennai SUB CONTRACTING UNITS
• Nashik
• Sangli
• Chennai
• Kolenchery
• Kanjikode
STOCK POINTS LOTTE is having its stock points allover India. To name some of the Stock points places
such as Jammu, Dehradun, Delhi, Ghaziabad, Kolkotta, Cuttack, Ahmedabad, Hyderabad,
Indore, Jaipur, Goa, Bangalore, Palgat, Vijayawada, Bangalore, Chennai, Coimbatore,
Trichy, etc.
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2.9 COMPANY BRANDS GUMS
- BooProo “Liquid Filled Bubble Gum"
- Spout "Spout Spearmint Liquid Filled Chewing Gum"
CANDY - Coffee Bite
"A perfect blend of rich coffee and creamy toffee. Rolled into one stimulating addictive experience."
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- Lacto King
"Lacto King - So tasty, you just can't stop eating it."
- Caramilk
"Lotte Caramilk - rich taste of Real Milk"
- Eclaris
"The Soft, Smooth Eclair."
SNACK
- Choco Pie "Cream filled biscuits dipped in delicious Choco..."
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2.10 ORGANIZATION CHART
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2.11 DEPARTMENTATION The first real task in designing an organizing structure is the identification of activities and to
group them properly. The process of grouping the activities is commonly known as
departmentation. The basic need of departmentation arises of specialization of work and
limitation on the number of subordinates that can be directly controlled by the superior.
Grouping of activities and consequently of personnel into departments make it possible to
expand an organization to any extent.
Departmentation may be defined as the process of grouping individual jobs into departments.
It involves grouping of activities and employees into departments so as to facilitate the
accomplishment of an enterprise is divided into individual functions and sub-functions, these
functions are grouped together work units on a particular basis.
Features of the Departmentation are
• To specialize the executive activity
• To expand an organization
• To assign roles and responsibilities
• To assign appraisals for managerial performances
• To group the employees for the purpose of direction and control.
Departmentation may be made on basis of function, territory and products. It leads to the
maximum efficiency at minimum costs. Specialization facilitates the fixation of
responsibilities within the organization. The various Departmentation of LOTTE INDIA CORPORTATION LIMITED., are:
1. Purchase department 2. Sales department 3. Human resource and department 4. Administrative department 5. Secretarial department 6. Finance department
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Purchase Department
The purchase department is headed by the commercial manager, one senior assistant
purchase officer one looking after the sections such as raw materials, production and
maintenance. Materials management, a comparative new concept has now been recognized
as a part of the total management of any company in order best results and best return on
investments. Terms such as purchasing known in a very elementary, have now being
accepted as a major element that plays a vital role in integrated materials management.
Purchasing includes selection of supply source, finalization of terms and condition,
specification for the purchase, placement of border, follow up, maintenance of smooth
relations with the supplier, payment to suppliers evaluation and rating of suppliers.
Objective of Purchasing
• To maintain continuity of production
• To contribute to the competitiveness of the end project
• To contribute towards higher productivity
• To buy the best material
• To reduce cost of end product.
Human resources and development department
The main function of human resources and development department is to recruit and appoint
of the candidate whenever a vacancy arises in the company. It is also responsible to look over
the functions of other department. The HRD manager has the right for fresh appointment or
promote on existing staffs. It is the duty of the HRD manager to maintain optimum level of
staff (i.e) their should not be excess nor their should not be a shortage not be a shortage. He
is also responsible and liable for factors like death, transfer, retirement and promotions etc.
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Following are some of the functions in HRD department in LICL.
Recruitment
Performance appraisal
Industrial relation issues
Appointment of corporate staff and appraisal
Hospitalization.
Administrative department
Administrative department is a department, which has the responsibility of providing travel
and transport facility, maintaining office, building estate management and mailing and also
electrical sections.
Administrative department provides travel and transportation facilities in order to enable the
officers to travel without any difficulty. Passport facility, hotel reservation, air ticket, seating
arrangements and accommodations are also provided to the officers.
GENERAL OFFICE MAINTENANCE
The administrative department is responsible to fulfill the basic requirement of the staff in the
office. It is also responsible to provide telephone, telex, fax, computer and other electrical
facility, in addition they also have the responsibility of sealing the letter with the help of
franking machine after it has been dispatched to the mailing section.
This department advertises the company’s product effectively. Conducting trade conferences,
workshops etc. are also part of marketing techniques.
SECRETARIAL DEPARTMENT
The term ‘secretary’ is derived from the Latin word ‘secretarius’ the means of ‘confidential
offier’. Nowadays it is used to signify an offer who is entrusted with confidential matters by
his employer or who conducts correspondence keeps records and transacts other business for
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a person or an organization. The duties of a modern secretary have increased enormously on
account of industrial and commercial revolutions.
Various organizations and institutions now employ secretaries for varied purposes of those
most important. The secretary occupies an important and responsible position in the
organization of the company. He/she is an officer of the company with extensive duties and
responsibilities. Hence companies act made it compulsory for some companies to have
secretary.
FINANCE DEPARTMENT
The various activities carried out in the finance department includes:
Treasury and resources
Budget and costing
1) Treasury & resources:
Asset of the company will be raised by providing equity shares to the public, or by getting
term loan for meeting day to day working capital. To avail these term loan treasury has to get
loan from banks. The duty of treasury is to get loan sanctioned for the projects undertaken &
availing term loan for project is one time job.
The main function of treasury is to provide term loan for working capital at a regular
interval. By pledging stock or raw materials of the company gets its required loan from bank.
To acquire the loan from the bank the company has to submit weekly statement of the stock
according to weekly statement loan will be provided.
2) Budget and costing:
Specifications can be made before buying the product cost optimistic utilization of the
product helps to take proper steps.
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2.12 SWOT ANALYSIS SWOT analysis is the useful technique for understanding the strength and weakness of an organization and for identifying both the opportunity open to it and the treats that are like to be faced. SWOT analysis helps an organization to crave a suitable niche in the market. STRENGTH
• Strong foundation in this industry for several decades
• Varieties of products from the company
• Well established distribution networks allover India including the rural areas
• Affordable prize
• Attractive packing
• Attractive Advertisements to cover the consumers
WEAKENESS
• Have to compete with the emerging new products from other industry
• Transportation of goods at right time
• Large Distribution network
• High investment on Advertisements OPPORTUNITIES
• Large Domestic Market
• Export potential
• Increase income levels will result in faster revenue growth
THREATS
• Severe pressure on margin for the manufacturer
• Tax & regulatory structure
• Slow down in demands
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COMPETITORS The major competitors of LICL:
Nestle
Britannia
Kwality Dairy
Heritage Foods
Wrigley (“Boomer”)
Perfetti Van Melle (“Center Fresh, Big Babol, Marbels, Center Fruit”)
2.13 RECRUITMENT
Recruitment refers to the process of attracting, screening, and selecting a qualified
person for a job. All companies in any industry can benefit from contingency or
retain professional recruiters or outsourcing the process to recruitment agencies.
The recruitment industry exists basically in four forms:
1) Employment agencies deal with clerical, trades, temporary and temporary to hire
employment opportunities.
2) Recruitment websites and job search engines used to gather as many candidates as
possible by advertising a position over a wide geographic area. Although thought to be a cost
effective alternative, a human resource (HR) department or department manager will spend
time outside their normal duties reading and screening resumes. A professional recruiter has
the ability to read and screen resumes, talk to potential candidates and deliver a selective
group in a timely manner.
3) "Headhunters" for executive and professional positions. These firms are either
contingency or retained. Although advertising is used to keep a flow of candidates these
firms rely on networking as their main source of candidates.
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4). Niche agencies specialize in a particular industrial area of staffing.
Some organizations prefer to utilize employer branding strategy and in-house recruitment
instead of recruiting firms. The difference, a recruiting firm is always looking for talent
whereas an internal department is focused on filling a single opening. The advantage
associated with utilizing a third-party recruiting firm is their ability to know where to find a
qualified candidate. Talent Management is a key component to the services a professional
recruiting firm can provide.
The stages in recruitment include sourcing candidates by networking, advertising or other
methods. Utilizing professional interviewing techniques to understand the candidate’s skills
but motivations to make a move, screening potential candidates using testing (skills or
personality) is also a popular part of the process. The process is meant to not only evaluate
the candidate but also evaluate how the candidate will fit into the organization. The recruiter
will meet with the hiring manager to obtain specific position and type information before
beginning the process. After the recruiter understands the type of person they analyse
according to their needs and process the information to the recruitment team. Recruiters play
an important role by preparing the candidate and company for the interview, providing
feedback to both parties and handling salary/benefits negotiations.
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2.14 LICL RECRUITMENT PROCESS FLOW CHART
Line up of Short listed candidates
Conduct Initial Screening
Operations / Technical Round
Short listed No
Reject
Yes
Final Round of Interview
No Reject
Yes
Short listed
HR Round & offer ( By HR Rep.)
No Reject
Yes
Short listed
Yes Reference Check
No Positive
Yes
Reject
Screening of Resumes
Consultants
Head Hunting
Employee Referral
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2.15 TYPES OF RECRUITMENT Recruitment is generally classified into 2 types
1. Internal Recruitment
2. External Recruitment
1. Internal Recruitment
Internal recruitment is a recruitment which takes place within the concern or organization.
Internal sources of recruitment are readily available to an organization. Internal sources are
primarily three - Transfers, promotions and Re-employment of ex-employees. Re-
employment of ex-employees is one of the internal sources of recruitment in which
employees can be invited and appointed to fill vacancies in the concern. There are situations
when ex-employees provide unsolicited applications also.
Internal recruitment may lead to increase in employee’s productivity as their motivation level
increases. It also saves time, money and efforts. But a drawback of internal recruitment is
that it refrains the organization from new blood. Also, not all the manpower requirements can
be met through internal recruitment. Hiring from outside has to be done.
Internal sources are primarily 3
a. Transfers
b. Promotions (through Internal Job Postings) and
c. Re-employment of ex-employees - Re-employment of ex-employees is one of the
internal sources of recruitment in which employees can be invited and appointed to fill
vacancies in the concern. There are situations when ex-employees provide unsolicited
applications also.
2. External Recruitment
External sources of recruitment have to be solicited from outside the organization. External
sources are external to a concern. But it involves lot of time and money. The external sources
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of recruitment include - Employment at factory gate, advertisements, employment
exchanges, employment agencies, educational institutes, labour contractors,
recommendations etc.
a. Employment at Factory Level
This a source of external recruitment in which the applications for vacancies are
presented on bulletin boards outside the Factory or at the Gate. This kind of
recruitment is applicable generally where factory workers are to be appointed. There
are people who keep on soliciting jobs from one place to another. These applicants
are called as unsolicited applicants. These types of workers apply on their own for
their job. For this kind of recruitment workers have a tendency to shift from one
factory to another and therefore they are called as “badli” workers.
b. Advertisement
It is an external source which has got an important place in recruitment procedure.
The biggest advantage of advertisement is that it covers a wide area of market and
scattered applicants can get information from advertisements. Medium used is
Newspapers and Television.
c. Employment Exchanges
There are certain Employment exchanges which are run by government. Most of the
government undertakings and concerns employ people through such exchanges. Now-
a-days recruitment in government agencies has become compulsory through
employment exchange.
d. Employment Agencies
There are certain professional organizations which look towards recruitment and
employment of people, i.e. these private agencies run by private individuals supply
required manpower to needy concerns.
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e. Educational Institutions
There are certain professional Institutions which serves as an external source for
recruiting fresh graduates from these institutes. This kind of recruitment done through
such educational institutions, is called as Campus Recruitment. They have special
recruitment cells which helps in providing jobs to fresh candidates.
f. Recommendations
There are certain people who have experience in a particular area. They enjoy
goodwill and a stand in the company. There are certain vacancies which are filled by
recommendations of such people. The biggest drawback of this source is that the
company has to rely totally on such people which can later on prove to be inefficient.
g. Labour Contractors
These are the specialist people who supply manpower to the Factory or
Manufacturing plants. Through these contractors, workers are appointed on contract
basis, i.e. for a particular time period. Under conditions when these contractors leave
the organization, such people who are appointed have to also leave the concern.
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2.16 RECRUITMENT POLICY IN LICL
It is policy of the company to employ always the best-suited persons for all its manpower
needs. The process of selection will therefore be on the basis of merit, ability, competence,
experience and potential. The company aims at fostering an Organizational climate where
employees are able to achieve Organizational excellence and competitive edge in all aspects,
as also a conductive climate for development of people, enhancing their individual talents
through sustained human resource development programmes.
All recruitment of management staff will be initiated with the approval of the HR Function at
Corporate office and JMD.
Before any recruitment is initiated, Corporate HR Function shall examine along with the
respective functional head whether the vacancy can be filled by regrouping of activities, by
redevelopment of internal personnel by transfer from another function.
According to the various requirements in a department the Job Description and Job
Specification forms the required kind of manpower and the skill required for the job are
listed by this the HR department schedules the job for the recruiters to do the necessary.
Sources of Man Power
Candidates already placed on wait-list following an interview.
Internal candidates.
Existing Data Bank.
Approved recruitment consultants.
Newspaper advertisement.
Internet based recruitment.
Campus recruitment.
Employee reference.
The HR Function of the business shall scan the internal and external sources for the possible
candidates who may suit the requirements. It may seek the assistance of recruitment
consultant or advertise for the posts depending on the level and type of job.
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Advertisement in daily/magazine will be authorized by the Corporate Head of HR and details
of the company to be ascertained before releasing the advertisement.
Candidates referred by LICL employees will be included in the selection process, based on
suitability of the profile.
2.17 SHORTLISTING OF APPLCIATION
All the applications received from any sources mentioned above shall be screened by HR
Function initially and will then be sent to the concerned department for short listing the
candidates.
Normally the number of candidates called for preliminary interview should be in the range of
3 to 5 candidates for every position to be filled.
INTERVIEW CALL LETTERS
The shortlisted candidates will be called for written test or group discussion or interview as
may be decided, depending upon the position.
It is advisable to give the candidates atleast 10 days lead time except where exigencies
require calling candidates within a shorter time frame, through other modes of
communication.
INTERVIEW
There are two rounds of interview 1. Preliminary Interview
2. Final Interview
PRELIMINARY INTERVIEW
The preliminary interview panel will consist of the Head of the Unit for which the
recruitment is being held and the executives of the interview panel should be at least one
grade higher than the grade for which the candidate is being interviewed. On completion of
preliminary interview the details of shortlisted candidates will be intimated to the Corporate
Head of HR.
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FINAL INTERVIEW
The final interview panel will essentially have the presence of Corporate Head of HR and a
Senior Manager from the respective function.
The interview should also provide an opportunity for the candidate to seek clarification on
the organization, its business plans, the job he/she is expected to perform and related issues.
If the candidates has a relative – father, mother, son, daughter, husband, wife in the company
then he/she should not considered the position. In case of any other relative which is distant
in nature, the same should also be discussed and a final decision to be taken by the Corporate
Head of HR.
ISSUE OF OFFER LETTER AND PRE-EMPLOYMENT MEDICAL EXAMINATION
Based on the final interview panel decision on the selected candidate for the approved
vacancy/post, Corporate Head of HR shall prepare the offer letter to the candidate.
The offer letter shall be sent by Registered Post Acknowledgement Due or by hand delivery
or by courier.
All selected candidates should undergo a pre-employment medical examination, no travel
allowance shall be given to the candidates for the medical examination.
The medical report will be received by the concerned unit and in turn will be forwarded to
the Corporate HR at Chennai.
No person shall be allowed to join duties before the candidate is confirmed as medically fit.
REFERENCE CHECK
Reference check will be done by the Corporate Head of HR with respect to the candidates
who have been selected for the position.
WITHDRAWAL OF OFFER APPOINTMENT
If for any reason (such as candidate’s unwillingness to join or medically unfit etc.) the offer
of appointment has to be withdrawn by the Corporate Head of HR.
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TRAVELLING ALLOWANCE FOR CANDIDATES
Outstation candidates will be eligible for actual local conveyance expenses as per the
company’s Domestic Travel Policy applicable to the position for which he/she is being
considered.
JOINING EXPENSES
Travel expenses and transportation charges are paid on position basis, the same should be
approved by the Corporate Head of HR.
JOINING REQUIREMENTS AND ISSUE OF APPOINTMENT LETTER
• On the date of his/her reporting to duties, the executive shall complete the following in the
offer letter:
• The executive will furnish a written joining report.
• One set of copies of all certificates, the candidates should also furnish originals of the same
for scrutiny and should be returned to the candidates after endorsing on the copy “Verified
with Original”.
• Three passport size and two stamp size photographs
• The candidate should furnish the copy of the relieving letter from the previous employer at
the time of joining and also should furnish the copy of the last drawn salary particular or
certificate of income issued by previous employer(if applicable).
• On completion of all joining requirements as above, the corporate HR will arrange to issue
the Appointment letter.
• The executive will also be provided with copies of all policies as applicable to him/her.
2.18 NEED FOR THE STUDY
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This study is to find an effective Recruitment method for the company to recruit right person
for the right job. This study is also intended to find out various effective recruitment methods
with minimal cost and give suggestions and recommendations if any. 2.19 SCOPE OF THE STUDY
• Covers all the vacant positions across the functions, & levels.
• To structure the recruitment policy of company for different categories of employee.
• To analyze the recruitment policy of the organization.
• To provide a systematic recruitment process.
• It extends to whole Organization, which includes Factory and Zonal all over India
2.20 OBJECTIVE
• To find out the effective recruitment methods
• To ensure that we always hire the RIGHT people at RIGHT role at RIGHT time.
• Also to retain/attract the best employees.
2.21 LIMITATIONS
Though the present study aims to achieve the above mentioned objectives in, full earnest and
accuracy, it may be hampered due to certain limitations. Some of the limitations of this study
is summarized as follows:-
• The sample units are confined to Chennai.
• The sample size is limited to three respondents only.
• Hesitations on the part of respondent to express their views exactly on the
questionnaire.
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CHAPTER-III
3.1 FINDINGS
In Lotte, recruitment is done mostly through Job Portals and News paper advertisements.
They are recruiting Graduates & Post Graduates for the manufacturing plants (Nellikuppam
& Nemam) & also for the Corporate Office.
Selection process is done through three levels.
- The first round is telephonic interview
- The second round is through Video Conference
- The third round is face to face interview.
Average time taken for selection process is 15days.
Background checks will be done for all levels of employees.
For interview purpose, the travel expenses are reimbursed for the Management category.
Preference is not given for outstation candidates because the company cannot bear their
expenses.
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3.2 SUGGESTIONS
They are utilizing only few recruitment sources like News paper advertisements and Naukri,
they also can utilize other recruitment sources like Employment Agencies, Employee
referral.
They also can recruit through other online job portals like Monster, Times Jobs, Shine etc.
They also can participate in the job fairs every year conducted by online job portals.
They also can recruit fresher through tie-up with the Educational Institutions (Campus
Recruitment).
So far they have not maintained any candidate’s database. If they maintain the candidates
database, they can utilize it for future openings.
3.3 CONCLUSION
From the above research and study it has been concluded that the company will be benefited
if they utilize all the recruitment channels. If they start to recruit through other channels they
will be benefited by recruiting right person for the right position at the right time with
minimal cost.
It was a great experience to interact with employee’s work in various departments. Overall it
was a good learning and experience for me where I relate all the theoretical concepts in
practical situation.
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3.4 BIBLIOGRAPHY
To obtain more information regarding the present study and to substantiate it with theoretical proof, the following references were made:-
Courtesy Website:
www.businessreviewindia.in/lifestyle/travel-food
www.candyindustry.com
www.economictimes.indiatimes.com
TITLE AUTHOR PUBLISHED BY
HUMAN RESOURCES
MANAGEMENT
K ASWATHAPPA TATA MCGRAW HILL
INTRODUCTION TO HUMAN RESOURCE MANAGEMENT
ICFAI ICFAI
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RECRUITMENT QUESTIONNAIRE
Name of the Organization: Lotte India Corporation Limited
HR Person Name:
Designation:
1. Average age of Employee a.25 b.30 c.35 d.35&Above
2. Average year of Experience of Employee a.5 b.10 c.15 d.15&Above
3. Educational level of Employee a. Higher Secondary b. Graduate c. Postgraduate
4. Which recruitment channel do you use for recruitment process a. Ads in specialist newspaper : -------------------------------- b. Ads in general newspapers : -------------------------------- c. Employment Agencies : -------------------------------- d. Word of mouth : -------------------------------- e. Links with educational institutions : -------------------------------- f. Employee referral : -------------------------------- g. Others (Pls Specify)
5. Do you use online recruitment channel as one of the tool? a. Yes b. No
(If Yes)Which online service do you use?
…………………………………………………………………………………………..
6. Do you think it is necessary to have a different recruitment channels? a. Yes b. No
If Yes / No. Why?................................. 7. Are you willing to pay extra for different recruitment channels?
a. Yes b. No
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8. What factors will you consider in selecting a Job Protal? ( multiple selection ) a. Cost b. Number of Resumes c. Active Resumes d. Popularity of the portal e. Relevancy of profiles f. Technology g. User Interface
9. Rounds of Interview a. Less than 3 b. 3 c. More than 3
10. Time line for Selection
a. 1 week b. 15 days c. More than 15 days
11. Back Ground Checks a. Yes b. No
12. Whether Outstation Candidates are Preferred
a. Yes b. No
13. Expenses Borne by the Organization a. Yes b. No
14. Expense Borne for
a. Management Staff b. Non Management Staff
15. Expense covered a. Travel b. Accomodation