A Project Training Report

On
“RECRUITMENT AND SELECTION PROCESS “
AT
SHREE CEMENT LTD. BEAWAR

Submitted By Submitted To
Bhavika Goyal

Department of MBA
Rajasthan College of Engineering for Women
Bhankrota, Jaipur (Raj.)
2010-2011

1
 Certificate of Approval
The following Summer Internship Report titled “Recruitment Process & Selection” is here
by approved as a certified study in management carried out and presented in a manner
satisfactory to warrant its acceptance as a prerequisite for the award of Master Of
Management Studies for which it has been submitted. It is understood hat by this
approval the undersigned do not necessarily endorse or approve any statement made.
Opinion expressed or conclusion drawn therein but approve the Summer Internship Report
only for the Purpose it is submitted.

Summer Internship Report Examination Committee for evaluation of summer Internship

Report.

2
 ACKNOWLEDGEMENT
For the development of this project, I extend my heartfelt gratitude to Mr. GOPAL
TRIPATHI Senior General Manager, Department of Human Resource for Providing
excellent mentoring encouragement and support
I sincerely thank Mr. GOPAL TRIPATHI, who despite his tight schedule spared time for
discussions and gave basic ground rules and directions, without which completion of this
project would have been impossible.
I am highly grateful to the management of Shree Cement for giving me the opportunity to
work on this Project and in the process enrich myself with immense learning on all
aspects, from the study of Recruitment Process & Selection.
I am grateful to all employees of Shree Cement Ltd. For providing help and me all the
information I required for the completion of this project. Last but not the least. I am
grateful to my institute: RAJASTHAN COLLEGE OF ENGINEERING FOR
WOMEN IN JAIPUR that provided me this opportunity to interact with this organization
and understand the intricacies of the corporate world.

BHAVIKA GOYAL

3
 INTRODUCTION
ABOUT THE CEMENT INDUSTRY :-

Cement is a capital intensive and cyclical industry. The demand for cement is linked to
economic activity and can be categorized into two segments, households construction and
infrastructure creation. The real driver of cement demand is creation of infrastructure.
Hence cement demand is emerging economics is much higher than developed countries,
where its demand has reached a plateau.

The India cement Industry is at present passing through a major structural shift, and
consolidation through mergers & acquisitions has become the order of the day. Acquiring
and existing cement unit is a preferred way of enhancing capacity, as the replacement cost
for setting up a new cement plant is pretty high, and the Demand-Supply imbalance
already exists.

Cement is the most preferred building material in India. The demand for cement in an
economy can be linked to the level of economic activity. This is because the level of
infrastructure in the economy drives the demand for cement. The Indian Cement Industry
is also sensitive to demand fluctuations caused by the housing sector. Which accounts for
nearly 60 percent of domestic cement consumption. It is a highly fragmented industry with
a few large players & large number of small players.

The Indian cement market is divided in 5 Regions:

North: Punjab, Delhi, Haryana, Himachal Pradesh, Jammu and Kashmir and
Rajasthan
West: Gujrat, Maharashtra
South: Tamil Nadu Andhra Pradesh, Karnataka, Kerala
East: Bihar, Orissa, West Bengal, Assam Meghalaya and other north eastern state
Central: Madhya Pradesh, Uttar Pradesh

4
With cement demand expected to grow at 9-0 percent in the medium term, dynamics of
the Indian Cement Industry are undergoing a gradual shift. While demand for cement has
picked up steadily, additions to capacity have risen at a slower pace from an oversupply
situation not so long ago, we are now moving towards a scenario where demand is
expected to outstrip supply.

Cement consumption has a strong correclation with GDP growth and with 8-9 percent
GDP growth forecasts and thrust on infrastructure development: cement demand is
expected to be robust. The true long term potential is clearly visible from the comparative
analysis of per capita consumption of cement. The world average is 260 kg. whereas for
India it is 115 kg. Moreover, if one compares this with our most talked about neighbor,
china`s 660 kg. India has a long way to go. Cement consumption rejections by National
Council of Applied Economic Research (NCAFR), on a conservative basis, have placed
cement demand at 225 million tones by the year 2010-11. If the government goes ahead
with infrastructure projects as planned, the consumption is pegged to be at much higher
levels of 291 million tones. With current production capacity at just 189 million tones., the
cement industry, undoubtedly, is in for good times.

The increase in the cement demand can be attributed to the following sectors:
A. HOUSING: The demand for housing has increased on account of the following
factors.
 Increase in disposable income,
 Easy availability of finance,
 Housing being considered as an investment option,
 Aspiration to own a house among the youth,
 Cheaper housing loans.

B. INFRASTRUCUTURE: The government`s thrust on infrastructure is expected

to continue, as it wants the economy to grow 7.5-9 percent. Spending on Roads
and Urban Infrastructure are expected to be the major demand drivers for
cement. In spending on Roads and Urban Infrastructure are expected to be the

5
 major demand drivers for cement. The major projects include connecting of all
villages with a population of over 1,000 by roads.
 Freight corridors would be developed between Delhi-Mumbai and Delhi-
Kolkata at a cost of 2,500 crores,
 NSEW corridor of 7,300 km to be completed by Dec, 2008,
 48 new road projects covering 10,000 km to be completed by 2008,
 One crore ectares to be irrigated under Bharat Nirman.

C. CAPITAL EXPENDITURE: A large number of companies are planning to

increase their capacity in view of the increasing demand. During the next 5
years, about 2,900 billion rupees of industrial investments are planned. If we
assume the construction component to be 20% then this translates into
construction investments of 580 billion rupees. Increased construction activity
in the IT/ITES sector is also contributing to the increased off take of cement.

D. RETAIL: Increase in disposable incomes in urban areas has led to a retail

boom. According to Crisinfac, nearly 75 million sq ft will be developed for
setting up of apparel stores, food marts hypermarkets and departmental stores.
The increased construction of multiplexes is also contributing to growth in
cement demand.

1.2 ABOUT THE ORAGANISTION

Shree cement Ltd is an energy conscious and environment friendly
The Company ‘Shree Cement Limited (SCL) is a part of Bangurs for setting up a
cement plant with installed capacity of 6 lac tones per annum in Beawar, Distt,
Ajmer. The capacity of this plant was upgraded to 7.6 lac tone during 1994-95 by a
Modernisation and up-gradation programme. In the year 1997, the company has
further increased its capacity from 7.6 Lac tonne by putting a 1.24 million tonne
new green field cement plant.

6
In the year 1999-2000, the company had enhanced its installed capacity from 20 to
26.25 lac MT per annum (OPC basis) by providing balancing equipment, creating
additional infrastructure and making improvement in process parameters. The plant
has been operative at above at above 100% capacity utilization level since
inception.

During 2003-04, the company has commissioned a 36 M W captive Power plant at

Beawer to reduce its power expenses at a cost of Rs. 108.55 crore. The major part
of the project was completed by M/s Thermax Ltd. On turnkey basis. The capacity
of the power plant was increased by 6 M W in Sept, 2005.

In February, 2006, Company has commissioned a new Greenfield Cement Plant of

10.50 lac tonne (Unit-IV) at Village Ras, Distt, Pali. With the commissioning of
this plant the installed capacity of the company has increased to 36.75 lac tonne per
annum.

In March, 2007, Company has further commissioned a new Cement Plant of 10.50
lac tonne (Unit-IV) at Village Ras, Distt, Pali. With the commissioning of this plant
the installed capacity of the company has increased to 47.25 lac tonne per annum.
Further company has also commissioned a captive power plant of 18 MW for
requirement of power for this unit.

During the year 2007-08, the Company has commissioned 2 clinkerization units of
10 lac tonne capacity at the same site (unit-V & Unit VI) in September 07 and
March 08 respectively. The Company has also commissioned two Grinding Units
each of 10.5 lac tonne at Khushkhera. Near Bhiwadi, Distt, Alwar in September 07
and December 07 respectively. With the commissioning of these Grinding Units
capacity of the company has increased to 68.25 lac tonne per annum. For
requirement of power, two power plants each of 18 MW has also been
commissioned in September 07 and March 08 respectively.

7
The Company is awarded with ISO 9002 for quality standard. ISO 14001 for
environment protection. ISO 18001 for health and safety and SA 8000 for Social
Accountability by the British Standard Institute U.K.

With a view to finance the expansions, the company is in a comfortable position to

fund a part of the total project cost through internal accruals. The rest of the
investment is raised through low cost debt..
Over the years, Shree has established its reputation as one of the world`s most
efficient cement manufactures due to the following reasons:
 Production has been consistently in excess of its rated capacity
 Its per tone energy consumption id one of the lowest in the world
 It has the unique distinction of operating both cement as well as captive
power plant on Pet Coke.
 Finally, the company`s northern-most positioning within Rajasthan makes it
the closest among all Rajasthan manufactures to Delhi, Haryana and some
parts of Punjab, giving it a significant cost edge.

Shree`s Principal cement consuming markets can be classified as followes:

Market States
Primary Rajasthan
Secondary Delhi, Punjab, JK, Haryana, Western
U.P. and Uttaranchal
Tertiary Gujrat, M.P. and Central U.P.

An extensive distribution network of about 1250 dealers ensures quick dissipation

of material in the principal cement consuming markets. Brand building too has
helped the company accelerate off take. The company`s brands are supported by
electronic and print media advertising as well as mason-architect education
programmes. Over the last few years, Shree is seeking to integrate the pursuit of
profitable growth with social responsibility and environment protection, the ability
to meet the needs of the present without compromising the ability of the future
8
 generations to meet their own. Shree believes that a business is truly sustainable if
it is able to meet the economic, environmental and social needs of the present and
prospective generations of customers and stakeholders.

1.2.1 Strengths and opportunities of Shree Cement

 Strategic location of the production unit at Beawar, Rajasthan : The location of

Shree Cement production unit is advantageous from two main view points. One is
its close proximity from most of the major markets in the North India like Delhi,
Jaipur, Himachal Pradesh, Haryana Uttaranchal and some parts of Uttar Pradesh.
The average distance from Beawar to major cities in Northern region is in the range
of 450-500 km. Second is its closeness from cement grade limestone deposit in
Beawar and Ras.

 Captive Power Plant : Shree has a 99 MW captive power plant, which produces
Thermal energy by pet coke, which is a by-product of oil refineries. Shree enjoys
the distinction of operating its cement plant and captive power plant on pet coke.
The company is installing an additional power plant of 54 MW capacity, which
would supply power to its new cement units, thereby ensuring continuation of self
sufficiency in terms of power requirement. Shree Cement`s power usage power
tone of cement at 75 Kwh is amongst the lowest in the industry. The power plant
generates power at Rs. 2.40 per unit which has reduced the dependence of the
company on Rajasthan State Grid and resulted in huge savings.

 Limestone Reserve : Shree Cement has a total of 700 Mn tones limestone reserve,

which would be sufficient to meet its requirements for the next 40 years. Shree
Cement`s third unit is located at the pithead of limestone reserves, unlike the other
two units in Beawar, Rajasthan. Unit IV, which is also located at the pithead of
company`s limestone reserve. The raw material cost per tone of cement is expected
to go down as the company would be saving in cost of transportation.

9
 Hundred percent use of pet coke as an alternative of coal: Shree Cement is the

first cement company which started using pet coke as an alternative fuel for power
plant. The continuous experimentation and innvovationess have enabled Shree
Cement to use 100% pet coke for the power plant and alternative fuel for kiln and
pre-heater etc. the high calorific value of pet coke and lettser cost than coal has
resulted in huge savings for Shree Cement.

 Least cost producer in North India region: While coast of power for Shree

Cement is one of the lowest in the industry, the company has been able to contain
its cost mainly by improving its operating efficiencies. The operating parameters
for energy consumption and power cost are comparable with the best in the
industry. The energy consumed by Shree Cement per ton of cement is
approximately 75 units, which is very close to that of the best in cement industry.
In fact, the cost per ton of cement of cement Shree Cement is lower than that of
Ambuja.

Which has lowest cost per ton cement among the large players (Inquire, Indian Equity
research).

 Information Technology: A robust IT platform with “SUMriddhi”, Shree`s ERP

enables a seamless intergration of management practices with business process at

Shree, resulting in the achievement of optimum speed, efficiency, transparency,
internal controls & overall profitability.

 Logistics Management: An efficiency in logistics management helps rationalize

freight costs, shrinking the truck turnaround time & delivery efficiency.

 Research & economics of sale: Shree Cement has produced 3.02 million ton of

cement at one location. There are only five such cement plants in India which could
10
 produce more than 3 million tones of cement at single location (Executive
Summary Cement). Shree Cement is able to achieve this because of the advantages
of the economics of scale.

 Manufacturing: Shree has consistently increased cement production through

effective debottlenecking and a high sweating of assets. The company has

enhanced productivity through improved kiln operations, better raw material mis
and the optimum utilization of human & financial resources.

 Corporate Social Responsibility: is truly a concern for Shree. They aim to be the

safest, cleanest and most “green” company in this sector. They have already
achieved a lot of success on that field. The project they run at the moment is
concentrating on saving heat from cement producing process and using it again to
produce energy. This way they will save pet coke and as a consequence produce
less carbon dioxide. This way they will save “CARBON units” that they can sell
to companies abroad.

Besides these, Shree exhibits unique strengths in:

 Quality Management,
 Raw Material Management,
 Human Resource Management,
 Sales & Marketing,
 Fiscal Management

1.2.2 Shree Cement brands

To allow market share growth Shree Cement has introduced few brands to position its
products among customers. The brands are:

11
 • Shree Ultra
• Bangur Cement
• Tuff Cemento 3556
The strategy is clever because actually cement has the same properties among brands the
communicate emphasizes some unique characteristics of each brand. Shree Ultra is the
best for commercial constructions. Bangur Cement is aspecialist in road constructions etc.
whereas Tuff Cemento will build houses which should be as hard as rocks. The brands are
sold at different pricess but actually customer does not know that buying PPC Bangur
Cement is the same as buying PPC Shree Ultra. The strategy is successful so far, demand
for each brand is growing faster than the average growth of demand.

SWOT Analysis for Shree Cements

Strengths
 Focused strategy
 Lowest cost producer of cement in north India
 A secure source of raw materials
 High penetration in Govt. projects
 Largest single plant capacity in India
 Shree power plant, which is producing electricity enough for Ras plant

Weaknesses
 Less dealer incentives as compared to its competitors
 Color of the cement has not been perceived greatly, green color was preferred the
most
 Poor advertising and brand promotion

Opportunities

12
  Real estate boom will lead to increased demand
 International expansion
 Demand from Pakistan side
 Reduction in customs duties
 Government`s thrust on infrastructure and tax incentives on housing loans
Threats
 Increased competition from domestic as well as international players
 Rising input (oil) prices
 Sales highly dependent on monsoon
 Growth of counterfeits

1.2.3 FUTURE OUTLOOK

Further, the company is also putting up a new clinkerization plant of 10 lac tone capacity
at the same site of Village Ras. Distt. Pali (Unit-VII) which is likely to be commissioned
by March, 2009. The company is also putting up a grinding unit of about 20 lac tone per
annum at Suratgarh, which is likely to commissioned in second quarter of 2008-09.

The company has been operating at more than 100% production capacity since the last
twenty years. The power & coal consumption per tone of cement is one of the lowest in
the cement industry. The company has installed 99 MW captive power plant which has
helped to save power costs by 50% and this has given the company an edge over
competitors. The profitability of the company is increasing every year. Looking at Govt.
policy of development of infrastructure activities, economic growth and incentives to the
Housing Sector, demand for cement is expected to increase by 8-9% in the coming years.
Further, since there is no substitute for cement, prospects of the cement industry as well as
that of the company looks very bright.

13
Since the past few years the company has been swapping high cost debts with low cost
debts, which have resulted in substantial savings in interest cost. This has enabled the
company to withstand in the competitive market and increased the profitability.

DECLARATION

14
 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.

CERTIFICATE

15
 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)

ACKNOWLEDGEMENT

16
 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.

SRINIVAS RAO Sr.HR MANAGER (Personnel) Visakhapatnam Steel Plant,
Visakhapatnam who spared her valuable time and effort to ably guide me in the
completion of the project.

I would like to extend my sincere thanks to all the officers of the HRD who
spent their valuable time in providing us the best information.

Lastly, I would like to thank my Family and Friends for their help and support.

TABLE OF CONTENTS

17
Acknowledgements
List of tables
List of illustrations
Abbreviations
Abstract
Chapter I : Introduction
1.1) Need for the Study
1.2) Objectives
1.3) Limitations
1.4) Material and Methodology
Chapter II : Industry profile
2.1) Introduction
2.2) Pre-Independence
2.3) Post-Independence
2.4) Industry Scenario
2.5) Global Scenario
2.6) Market Scenario
2.7) Production Scenario
2.8) Demand-availability Projection
2.9) Pricing and Distribution
2.10) Major Steel and Related Companies

Chapter III : Company Profile

3.1) Introduction

18
 3.2) Background
3.3) Vision, Mission & Objectives
3.4) Core Values
3.5) Policies
3.6) Marketing Networking
3.7) Pollution control and Environmental Protection
3.8) Achievements and Awards
3.9) Hallmark of Vizag Steel
3.10) Statistical Information
Chapter IV : Recruitment & selection process
Chapter V : Empirical analysis
5.1) Analysis of the Project
5.2) Recruitment Policy
Chapter VI :QUESTIONARIES
Chapter VII: Findings & Suggestions and Conclusions
7.1) Findings
7.2) Suggestions
7.3) Conclusion
Appendix
Bibliography
Glossary

LIST OF TABLES

19
 PAGE
SL. No. TITLE
NO
Response regarding job satisfaction level of
1 42
employees
Response regarding the length of working
2 43
period of employees
3 Responses of the employees on job profile 44
4 Responses of the employees on development 45
5 Responses of the employees on career focus 46
Responses of the employees on appropriate
6 47
recognition
7 Responses of the employees on overall job security 48
8 Responses of the employees on work place 49
9 Response of employees to enhance the job satisfaction 50

ABBREVIATIONS

20
ERA Executive recruiters association
CV Curriculum Vita
JCM Job Characteristic Model
JDI Job Descriptive Index
MSQ Minnesota satisfaction questionnaire
JSS Job satisfaction survey
IISI International Iron and Steel Institute
VSP Visakhapatnam Steel Plant
RINL Rashtriya Ispat Nigam Limited

CHAPTER-I
21
 INTRODUCTION
The project is titled as “A study on recruitment and selection process”.In the
project the intern is required to study the impact of selection procedures on job
satisfaction on different parameters.

Recruitment
Recruitment refers to the process of finding possible candidates for a job or
function, undertaken by recruiters. It may be undertaken by an employment agency or
a member of staff at the business or organization looking for recruits. Either way it
may involve advertising, commonly in the recruitment section of a newspaper or in a
newspaper dedicated to job adverts. Employment agencies will often advertise jobs in
their windows. Posts can also be advertised at a job centre if they are targeting the
unemployed.
Suitability for a job is typically assessed by looking for skills, e.g.
communication skills, typing skills, computer skills. Evidence for skills required for a
job may be provided in the form of qualifications (educational or professional),
experience in a job requiring the relevant skills or the testimony of references.
Employment agencies may also give computerized tests to assess an individual's off
hand knowledge of software packages or typing skills. At a more basic level written
tests may be given to assess numeric and literacy. A candidate may also be assessed on
the basis of an interview. Sometimes candidates will be requested to provide a résumé
(also known as a CV) or to complete an application form to provide this evidence.
12 Elements of Recruitment Strategy
1. What are your primary goals? (Why hire?)
2. Prioritization of jobs
3. Performance level to target
4. Experience level to target

22
 5. Category of candidate to target
6. When to begin searching for candidates
7. Where to look for candidates
8. Who does the recruiting?
9. Primary sourcing tools
10. What skills should you prioritize when selecting candidates?
11. How to assess candidates
12. Primary sales approach
Selection
The aim of selection is to find a person who accepts the position and who gives
satisfactory service and performance in the long term. The system approach starts from
the position of well defined job and clearly analyzes person’s specifications.
Selection is not just a question of interviewing, although it is most popular
device in use. Selection is very much a process of deselecting, that is gradually
eliminating candidates until finally one is left on the list for a vacancy. Some methods
are more reliable then other but, to large extent. Selection is about trying to minimize
risk and maximizing certainty of making of the right decision.
Starting from the position where the recruitment process as produced a no of
applicants, the important steps as follows:
 Short listing the candidates for the next stage.
 Setting up tests for the short listed candidate some times in the form of an
assessment.
 Interviewing the candidates and allowing the candidates to interview the
selectors.
 Choosing the successful candidates.
 Obtaining references.
 Offering the position, confirming in writing and gaining acceptance.
 Organizing the induction process.

23
  Evaluating the results.
Personality Tests
A selection procedure measures the personality characteristics of applicants that
are related to future job performance. Personality tests typically measure one or more
of five personality dimensions: extroversion, emotional stability, agreeableness,
conscientiousness, and openness to experience.
The methods of a personnel selection include
• Interviews
• Personality tests
• Biographical data
• Cognitive ability tests
• Work sample tests
• Physical abilities tests
• Self assessments
• Assessment centers

1.1 NEED OF THE STUDY

To get an idea about the Recruitment and Selection Procedure held by Rashtriya
Ispat Nigam Limited, Visakhapatnam Steel Plant, Visakhapatnam.

1.2 OBJECTIVES
 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.

1.3 LIMITATIONS
24
  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
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
25
  Response of employees to notified vacancy
Externals Sources
 Advertisements
 Employment Exchange
 Campus Recruitment
 Unsolicited applicant
 Labor Contracts
 Employee Referrals
 Field Trips

26
 CHAPTER-II
INDUSTRY PROFILE
2.1. INTRODUCTION

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.

27
 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

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.

28
  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.

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.
29
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.

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
30
the ministry of steel in 2005, envisages production of 110 millions tons in Indian by
2020.

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

31
 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.

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%.

32
 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.
 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.

33
 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
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.

34
 CHAPTER-III
COMPANY PROFILE
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
35
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

36
 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
37
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 4th
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.

MAJOR SOURCES OF RAW MATERIALS

Raw Material Source

Iron ore lumps & fines Bailadilla, M.P

38
 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

MAJOR UNITS

Department Annual Capacity Units (3.0 MT Stage)

(‘000 T)

39
 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 3,400 2 Furnaces of 3200 cu. Mtr. volume

Furnace each

Steel Melt 3,000 3 LD Converters each of 133 Cu. Mtr.

Shop 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.

MISSION

40
 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.

41
 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.

42
HR POLICY

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.
43
 • 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

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

44
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

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.

45
 ♦ 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.

♦ 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

46
 ♦ Best CEO Award

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.

47
 3.10 STATISTICAL INFORMATION
EXPANSION PLAN
Capacity (MT)
Product Additional Facilities envisaged
Present 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 & 1.95 3.40 New SBM of 750,000 T/Annum New SM

Structural of 700,000 T/Annum

Seamless Pipes - 0.30 Seamless Tube plant of 300,000 T/Annum

PRODUCTION PERFORMANCE (‘000 Tonnes)

Year Hot Liquid Saleable Labor Productivity

Metal Steel Steel (Tonnes /Man-year)

1998-1999 2510 2225 2193 161

1999-2000 2943 2656 2382 192

2000-2001 3165 2909 2507 211

2001-2002 3485 3083 2757 228

2002-2003 3941 3356 3056 253

2003-2004 4055 3508 3169 262

48
 Year Hot Liquid Saleable Labor Productivity
Metal Steel Steel (Tonnes /Man-year)

2004-2005 3920 3560 3173 398

2005-2006 4153 3603 3237 414

2006-2007 4046 3,606 3,290 413

2007-2008 3913 3322 3074 389

COMMERCIAL PERFORMANCE (Rs. Crs.)

Year Sales Turn Domestic Exports

Over Sales

1999-2000 3,037 2,677 295

2000-2001 3,436 3,122 322

2001-2002 4,081 3,710 371

2002-2003 5,059 4,433 626

2003-2004 6,174 5,406 768

2004-2005 8,181 7,933 248

2005-2006 8,469 8,026 443

2006-2007 9126 8702 425

2007-2008 10433 9878 555

FINANCIAL PERFORMANCE (Rs. Crs.)

Year Gross Margin Cash Profit Net Profit

1998-1999 15 - 346 -
1999-2000 252 -130 -562
2000-2001 504 153 -291
2001-2002 690 400 -75
2002-2003 1049 915 521
49
 2003-2004 2073 2024 1547
2004-2005 3271 3260 2008
2005-2006 2383 2355 1251
2006-2007 2633 2584 1363
2007-2008 3515 3483 1943

MAJOR DEPARTMENTS

 Raw materials handling plant (RMHP)

 Coke ovens & coal chemicals plant (CO&CVSP)

 Sinter Plant (SP)

50
Parameters of sintering machines are

Effective area : 312 Sq.Mtrs

Sintering area : 276 Sq.Mtrs

Sinter bed height : 300 MM

Capacity : 450 TPH each

No.of wind Boxes : 26

51
52
CHAPTER-IV
RECRUITMENT & SELECTION
PROCESS

53
 INTRODUCTION
According to Edwin B. Flippo, “Recruitment in the process of searching the candidates
for employment and stimulating them to apply for jobs in the organization”. Recruitment
is the activity that links the employers and the job seekers. A few definitions of
recruitment are:
 A process of finding and attracting capable applicants for employment. The process
begins when new recruits are sought and ends when their applications are
submitted. The result is a pool of applications from which new employees are
selected.

 It is the process to discover sources of manpower to meet the requirement of

staffing schedule and to employ effective measures for attracting that manpower in
adequate numbers to facilitate effective selection of an efficient working force.

 Recruitment of candidates in the function preceding the selection, which helps

create a pool of prospective employees for the organization so that the management
can select the right candidate for the right job from this pool. The main objective of
the recruitment process is to expedite the selection process.

Recruitment is a continuous for the future human resources needs even though
specific vacancies do not exist. Usually, the recruitment process starts when a
manager initiates an employee requisition for a specific Vacancy or an anticipated
vacancy.

RECRUITMENT NEEDS ARE OF THREE TYPES

• PLANNED

The needs arising form changes in organization and retirement policy.

• ANTICIPATED

54
 Anticipated needs are those movements in personnel, which an organization can
predict by studying trends in internal and external environment.
• UNEXPECTED

Resignation, deaths, accidents, illness give rise to unexpected.

Recruitment Vs Selection
Both recruitment and selection are the two phases of the employment process. The
differences between the two are:
1. Recruitment is the process of searching the candidates for employment and
stimulating them to apply for jobs in the organization whereas selection involves the
series of steps by which the candidates are screened for choosing the most suitable
persons for vacant posts.
2. The basic purpose of recruitments is to create a talent pool of candidates to enable the
selection of best candidates for the organization, by attracting more and more employees
to apply in the organization whereas the basic of selection process is to choose the right
candidate to fill various positions in the organization.
3. Recruitment is a positive process i.e. encouraging more employees to apply whereas
selection is a negative process as it involves rejection of the unsuitable candidates.
4. Recruitment is concerned with tapping the sources of human resources whereas
selection is concerned with selecting the most suitable candidate through various
interview and tests.
5. There is no contract of recruitment established in recruitment whereas selection
results in contract of service between the employer and the selected employee.
• Attract and encourage more and more candidates to apply in the organization.

• Create a talent pool of candidates to enable the selection of best candidates for the
organization.

• Determine present and future requirements of the organization in conjunction with

its personnel planning and job analysis activities.

55
 • Recruitment in the process which links the employees with the employees.

• Increase the pool of job candidates at minimum cost.

• Help increase the success rate of selection process by decreasing number of visibly
under qualified or overqualified job applicants.

• Help reduce the probability that job applicants once recruited and selected will
leave the organization only after a short period of time.

• Meet the organizations legal and social obligations the composition of its
workforce.

• Begin identifying and preparing potential job applicants who be appropriate

candidates.

• Increase organization and individual effectiveness of various recruiting techniques

and sources for all types of job applicants.

Factors Affecting Recruitment

The recruitment function of the organizations is affected and governed by na mix of

various internal and external forces. The internal forces of factors are the factors that can
be controlled by the organization. And the external factors are those factors which cannot
be controlled by the organization. The internal and external forces affecting recruitment
function of an organization are:

56
 FACTORS AFFECTING RECRUITMENT

EXTERNAL FACTORS EXTERNAL FACTORS

 Supply and demand  Recruitment policy

 Labour market  Human resource

 Image/Goodwill planning

 Political-Social-Legal  Size of the firm

Environment  Cost of recruitment

 Unemployment rate  Growth and expansion

 Competitors

Recruitment Policy of a Company

In today’s rapidly changing business environment, a will defined recruitment policy is
necessary for organizations to respond to its human resource requirement in time.
Therefore, it is important to have a clear and concise recruitment policy in place, which
can be executed effectively to recruit the talent pool for the selection of the right candidate
at the right place quickly. Creating a suitable recruitment policy is the first step in the
efficient hiring process. A clear and concise recruitment policy helps ensure a sound
recruitment process. It specifies the objectives of recruitment programme. It may involve
organizational system to be developed for Implementing recruitment and procedures by
filling up vacancies for implementing recruitment programmers with best qualified people.

57
COMPONENTS OF THE RECRUITMENT POLICY
• The general recruitment policies and terms of the organization

• Recruitment services of consultants

• Recruitment of temporary employees.

• Unique recruitment situations

• The selection process

• The job descriptions

• The terms and conditions of the employment

• A recruitment policy of an organization should be such that:

• It should focus on recruiting the best potential people.

• Top ensure that every applicant and employee is equally with dignity and
respect

• Unbiased policy.

• To aid encourage employees in realizing their full potential.

• Transparent, task oriented and merit based selection.

• Weightage during selection given to factors that suit organization needs.

• Optimization of manpower oat the time of selection process.

• Defining the competent authority to approve each selection.

• Abides by relevant public policy legislation on hiring and employment

relationship.

58
 • Integrates employee needs with the organizational needs.

FACTORS AFFECTING RECRUITMENT POLICY

• Organizational objectives

• Personnel policies of the organization and its competitors.

• Government policies on reservations.

• Preferred sources of recruitment.

• Need of the organization.

• Recruitment costs and financial implications

Recruitment Management System

Recruitment management system is the comprehensive tool to manage the entire
recruitment processes of an organization. It is one of the technological tools facilitated by
the information management system to the HR of organizations. Just like performance
management system helps to contour the recruitment processes and effectively managing
the ROL on recruitment.
The features, functions and major benefits of the recruitment management system are
explained below:
o Structure and systematically organize the recruitment processes.

o Recruitment management system facilitates faster, unbiased, accurate and reliable

processing of applications from various applications.

o Helps to reduce the time-per-hire and cost-per-hire.

o Recruitment management system helps to incorporate and integrate the various

links like the application system on the official website of the company, the
unsolicited applications, outsourcing recruitment, the final decision marking to the
main recruitment process.

59
 o Recruitment management system maintains an automated active database of the
applicants facilitating the talent management and increasing the efficiency of the
recruitment processes.

o Recruitment management system provides and a flexible, automated and interactive

interface between the online application system, the recruitment department of the
company and the job seeker.

o Offers tolls and support to enhance productivity, solutions and optimizing the
recruitment processes to ensure improved ROI

o Recruitment management system helps to communicate and create healthy

relationship with the candidates through the entire recruitment process.

The recruitment management system (RMS) is an innovative information system

tool which helps to sane time and costs of the recruiters and improving the recruitment
processes.
Recruitment Strategies
Recruitment of the most crucial roles of the human resource professionals. The level of
performance of and organization depends on the effectiveness of its recruitment function.
Organizations have developed to follow recruitment strategies to hire the best talent for
their organization and to utilize their resources optimally. A successful recruitment
strategy should be well planned and practical to attract more and good talent to apply in
the organization.
For formulating an effective and successful recruitment strategy, the strategy should
cover the following element:
(1) Identifying and prioritizing jobs requirements keep arising at various levels in
every origination: it is amount a never – ending process. It is impossible to fill all the
positions immediately. Therefore, there is a need to identify the positions requiring
immediate attention and action. To maintain the quality of the recruitment activities, it is

60
useful to prioritize the vacancies whether to focus on all vacancies equally or focusing on
key jobs first.
(2) Candidates to target the recruitment process can be effective only if the
organization completely understands the requirements of the type of candidates that are
required and will be beneficial for the organization. This covers the following parameters
as well:
A. performance level required: Different strategies are required for focusing on hiring
high performers and average performers.
b. Experience level required: the strategy should be clear as to what is the experience
level required by the organization. The candidate’s experience can range from being a
fresher to experienced senior professionals.
C. Category of the candidate: the strategy should clearly define the target candidate.
He/She can be from the same industry, different industry, unemployed, top performers of
the industry etc.
(3)Sources of recruitment the strategy should define various sources (external and
internal) or recruitment.Which are the sources to be used and focused for the recruitment
purposes for various positions. Employee referrer is one of the most effective source of
recruitment.
(4) Trained recruiters the recruitment professionals conducting the interviews and the
other recruitment activities should be well trained and experienced conducting the
activities. They should also be aware of the major parameters and skills (e.g.: behavioral,
technical, etc) to focus while interview and selecting a candidate.
(5) How to evaluate the candidates the various parameters and the ways to judge them i.e
the entire recruitment process should be planned in advance. Like the rounds of technical
interviews, HR interviews, return tests, psychometric tests, etc.

HR Challenges in Recruitment
Recruitment is a function that requires business perspective, expertise, ability to find and
match the best potential candidate for the organization, diplomacy, marketing skills (has to
sell the position to the candidates) and wisdom to align the recruitment process for the
61
benefit of the organization. The HR professional handling the recruitment function of the
organization are constantly facing new challenges. The biggest challenge for such
professionals is to source or recruite the best people or potential candidates for the
organization.
In the last few years, the job market has undergone some fundamental changes in
terms of technology, sources of recruitment, competition in the market, etc. in an already
saturated job market, where the practices like poaching and raiding or gaining momentum,
HR professionals are constantly facing new challenges in one of their most important
function recruitment they have to face and conquer various challenges to find the best
candidates for the organizations.
The major challenges faced by the HR recruitment are:
• Adaptability to globalization –the HR professionals are expected and required to
keep in tune with the changing times, i.e. the changes taking place across the globe
HR should maintain the timeline of the process

• Lack of motivation – recruitment is considered to be a thankless job. Even if the

organization is achieving results, HR department or professionals are not thanked
for recruiting the right employees and performers

• Process analysis – the immediacy and speed of the recruitment process are the
main concerns of the HR recruitment. The process should be flexible, adaptive and
responsive to the immediate requirements. The recruitment process should also be
cost effective

• Strategic prioritization – the emerging new systems are both an opportunity as well
as a challenge for the HR professionals. Therefore, reviewing staffing needs and
prioritizing tasks to meet the changes in the market has become a challenge for the
recruitment professionals.

62
 ORGANISATION ANALYSIS AND NEEDS
ASSESMENT

We meet together in order to gain a clear understanding of your company and your
business – history, organization, development strategy, culture, management style, as well
as the open position to be recruited for …
This step is essential to enable us to jointly determine rules ,
Responsibilities, profiles and qualities of the successful candidate.
When necessary, we also meet with / discuss with relevant managers and colleagues the
candidate will work together with it.
The better we understand the human and organizational context, the more efficient we
will be in finding, evaluating and putting forward the right candidates.
Throughout the recruitment assignment, we will keep you regularly updated through
return and / or verbal reports, including O/s of identified candidates.
It is very important to have timely and concise feed back to enable us to refine our search
even further; it is equally important that we are kept up to date with any few decisions or
company changes that could have an impact upon ourselves for appropriate candidates.

SEARCH FOR CANDIDATES

The two main search methods are
(1) Head hunting:-
a) We jointly establish a list of target companies within there is a high probability of
finding the candidate profile to be recruited. This is followed by the identification of
relevant candidates within each of these companies.
B) We source candidates through our established network of contacts within the industry.
Our specializations in the telephone and Internet sectors enables us to identify candidates
in a quick and efficient manner.
c) Advertising:-

63
Either through press ads or advertising on selected Internet sites. In each case, We will
prepare the ad text, and propose a relevant media plan, both of which are submitted to
your approval.
CANDIDATE INTERVIEWA AND EVALUATION
Candidates who have passed our initial selection process are invited for to face in-depth
interviews with our consultants.
PRESENTATION OF SHORT LISTED CANDIDATES
a written assessment of each candidate that we fell has profile and experience to succeed
in the position will be presented you.
The evaluation will take into account not only the suitability of the candidate’s experience
and skills required for the job, but also his/her motivation and career aspirations, as well as
his/her ability to integrate effectively into his/her future work team and your organization
in general.

CANDIDATE INTERVIESW WITH THE CLUENT COMPANY

Short-listed candidates are interviewed by relevant parties within your company involved
in the decision – making process, should you require, we will be happy to organize these
interviews; we contact the candidates for their feedback, and to reconfirm their
motivations.
REFERENCE CHECKS
Once you have taken your decision to hire a candidate, we will take references (whenever
possible) from former employers or other preference.
FOLLOWUP OF CABDIDATE INTERATION
Following Your Decision to hire a candidate, we stay in regular contact with him/her until
their start date. Throughout the probation period, we continue to in regular contact with
both your selves and then newly hired candidate to ensure his/her successful integration.
EXCLUSIVITY

64
We work on an exclusive retainer Formal acceptance of our terms and a condition implies
that the assignment is exclusive toes. Therefore any applications made direct to your
company, including
Those from internal application will be forwarded to us.
These will be treated by our company on the same basis as all other applications.
GUARANTEE
Clementine International commits to put at your disposal all necessary means to replace a
candidate that leaves the company within his/her probation period, whatever the reasons
for this departure.
This guarantee is applied only at our client’s request and on the condition that the position
and profile initially defend remains unchanged.
Recruitment process
How we recruit: -
We conform to a recruitment process that fairly evaluates all and that is managed with the
aid of a sophisticated applicant tracking system. We believe our system makes it easier for
people to apple for vacancies and for our recruiters to process applications as quickly and
as fairly as possible.
All our vacancies are published on our careers website and occasionally in the press,
allowing applicants to apply directly to FNB.FNB has relationships with a number of
recruitment agencies that are able to present their candidates through special technology
provided for them. Suitable candidates may also be sourced through relevant academic,
professional and vocations institutions. As a rule, FNB careers will not consider
applications for positions sent to us by fax, email or through the postal service
Searching for a position:
On our Careers site, you will find search tools that you may use to search for positions that
match your needs. All the available positions that match your search criteria are displayed
in a table that highlights positions that needs to be filled urgently or that are nearing their
advertisement expiry date. You may click on the position title to see the detailed position
description.

65
Applying for a position, if you see a vacancy that you are interested in please use our
system to apply for the vacancy, simply follow the instructions displayed on the screed.
We have tried to structure the application process is such a way that the entire application
process should not take more than a few minutes of your time. You will normally be asked
to complete a page with personal information, attach a CV and a covering. You may
sometimes also be asked to complete a questionnaire specific to the position of your
choice. Should you decide to supply any personal information that is not mandatory, this
information will not be used to evaluate your application.
Selection and Interview:-
We will select candidates to interview against the stated criteria for each position. If you
are not selected for an interview, we will inform you as soon as possible. In some cases we
will ask if we may keep your details on our system. We will normally contact you by
email or telephone to arrange an appointment for an interview.
When we invite you for interview, we will let you know what the format of the interview
will be. If you are successful, you may be invited to attend a second interview, or some
additional evaluation procedures, depending on the position as well as the requirements of
the particular business unit.
Feedback:-
Our communication processes are automated, which means that there are no needs to
contact out recruiters to check on the status of your application. Once you have applied for
a position, our recruitment system will create a My page space on our Careers website
which you may access at any time to check progress with your application. You will also
receive emails fro0m us that will keep you up to date with the latest news about the
position.
Offers:-
All our offers for employment are subject to satisfactory references (including credit,
qualification and criminal checks) as well as a clearance from the South African banking
register of employee dishonesty system (Reds) Index.
Changes:-

66
Our recruitment processes may change depending on the requirement of a particular
business unit or vacant position.
The recruitment and selection is the major function of the human resource department and
recruitment process is the first step towards creating the competitive strength and the
strategic advantage for the organizations. Recruitment process involves a systematic
procedure from sourcing the candidates to arranging and conducting the interviews and
requires many resources and time. A general recruitment process is as follows:
Identifying the vacancy:
The recruitment process begins with the human resource department receiving requisitions
for recruitment from any department of the company. These contain:
o Posts to be filled

o Number of persons

o Duties to be performed

o Qualifications required

o Preparing the job description and person specification.

o Locating and developing the sources if required number and type of employees
(Advertising etc)

o Short-listing and identifying the prospective employee with required

characteristics.

o Arranging the interviews with the selected candidates.

o Conducting the interview and decision marking

f

RECRUITMENT
1
PROCESS
7 2
67
 3
6

4
5

1. Identify vacancy
2. Prepare job description and person specification
3. Advertising the vacancy
4. Managing the response
5. Arrange interviews
6. Conducting interview and decision marking

The recruitment process is immediately followed by the selection i.e. the final interviews
and the decision marking, conveying the decision and the appointment formalities.
Internet Recruitment / websites:-
Such sites have two main features: job boards and a resume/curriculum vitae (CV)
database. Job boards allow member companies to post job vacancies. Alternatively,
candidates can upload a resume to be included in searches by member companies.
Candidates can upload a resume to be included in searches by member companies. Fees
are charged for job postings and access to search resumes. Since the late 1990s, the
recruitment website has evolved to encompass end-to-end recruitment. Website captures
candidate details and then pools them in client accessed candidate management interfaces
(also online). Key players in this sector provide e-recruitment software and services to
organizations of all sizes and within numerous industry sectors, who want to e-enable
entirely ort partly their recruitment process in order to improve business performance.
The online software provided by those who specialize in online recruitment helps
organizations attract, test, recruit, employ and retain quality staff with a minimal amount

68
of administration. Online recurrent websites can be very helpful to find candidates that ate
very actively looking for work and post their resumes online, but they will not attract the
“passive” candidates who might respond favorably to an opportunity that is resented to
them through other means. Also, some candidates who are actively looking to change jobs
are hesitant to put their resumes on the job boards, for fear that their current companies,
co-workers, customers or other might see their resumes.

Job Search Engines:-

The emergence of vertical search engines, allow job-seekers to search across multiple
website. Some of these new search engines index and list the advertisements of traditional
job boards. These sites tend to aim for providing a “one-stop shop” for job-seekers.
However, there are many other job search engines which index pages solely from
employers’ website, choosing to bypass traditional job boards entirely. These vertical
search engines allow job-seekers to find new positions that may not be advertised on
traditional job boards, and online recruitment websites.
SELECTION
INTRODUCTION

Meaning and Definition

After identifying the source of human resources, searching for prospective employees and
stimulating them to apply for jobs in an organisation, the management has to perform the
function of selecting the right employees at the right time .The oblivious guiding policy in
section is the intention to choose the best qualified and suitable job candidate job for each
unfilled job. The objective of the selection decision is to choose the individual who can
most successfully perform the job from the pool of qualified candidates.
Essentials of Selection Procedure
The selection process can be successful if the following requirements are satisfied:
1. Some one should have the authority to select. This authority comes from the
employment requisition, as developed by an analysis of the work load and work force.

69
 2. There must be some standard of personnel with which a prospective employee may be
compared, i.e. a comprehensive job description and job specification should be available
beforehand.
3. There must be a sufficient number of applicants from whom the required number of
employees may be selected.
Significance of selection process
Selection of personnel to man to organisation is a crucial, complex and continue
function. The ability of an organisation to attain its goals effectively and to develop in a
dynamic environment largely depends upon the effectiveness of its selection programme.
If right personnel are selected, the remaining functions of personnel management become
easier, the employee contribution and commitment will be at optimum level and employee
relations will be consumption. If the right person is selected, he is a valuable asset to the
organisation and is faulty selection is made. The employee will become a liability to the
organisation.
Factors affecting selection decisions
The goal of selection is to short out or eliminate those judged unqualified to meet the job
and organisation requirements, where as the goal of recruitment is to create a large cool of
persons available and willing to work. Thus, it is said that recruitment tends to be positive
while selection tends to be some what negative.
A number of factors affect the selection decisions of candidates. The important
among them are:
(i) Profile matching.
(ii) Organizational and social environment.
(iii) Successive hurdles.
(iv)Multiple correlations.
(i) Profile matching: Tentative decision regarding the selection of candidates (who are
known) is taken in advance. The scores secured by these known candidates in various tests
are taken as a standard to decide the success or failure of other candidates at each stage.

70
Normally the decisions about the known candidates is taken at interview stage. Possible
care is also taken to match the candidates’ bio data with the jobs specifications.
(ii) Organisational and social environment: some candidates, who are eminently
suitable for the job, may fail as successful employees due to varying organisation and
social environment. Hence candidates specifications must match with not only job
specifications but also with organisational social environmental requirements.
(iii) Successive hurdles: In this method hurdles are created at every stage of selection
process therefore, applicants must successfully pass each and every screening device in
case of successive hurdles as shown in figure 5.1
(iv) Multiple correlations: Multiple correlations is based on the assumptions that a
deficiency in one factor can be counter balanced by an excess amount of another. A
candidate is routed through all the selection steps before a decision is made. The
composite test score index is taken into accounting the selection tests. Hence, for broader
line cases multiple correlation method is useful and for other successive hurdles method is
useful.
Selection Procedure
There is no standard selection process that can be followed by all the companies in all the
areas. Companies may follow different selection techniques or methods depending upon
the size of company, nature of the business, kind and number of persons to be employed,
government regulation to be followed etc. Thus, each company may follow anyone or the
possible combinations of methods of selection in the order convenient or suitable to it.
Following are the selection methods generally followed by the companies.
Selection procedure employs several methods of collecting information about the
candidate's qualifications, experience, physical and mental ability, nature and behavior,
knowledge, aptitude and the like for judging whether a given applicant is or is not suitable
for the job. Therefore, the selection procedure is not a single act but is essentially a series
of methods or stages by which different types of information can be secured through
various selection techniques. At each step, facts may come to light which are useful for
comparison with the job requirement and employee specifications.

71
 (1) Job Analysis. (2) Recruitment. (3) Application Form. (4) Written Examination. (5)
Preliminary Interview. (6) Business Games. (7) Tests. (8) Final Interview. (9) Medical
Examination (10) Reference Checks. (11) Line Manager’s Decision. (12) Employment.

Development Bases for

Selection
Job Analysis

Application / Resume /CV/

Bio-data
Human
Resource Plan

Written Examination

Recruitment Preliminary Interview

Line Manger’s Decision

Business
Games

Tests

Final Interview
Asses the Fit Between
the Job and the Medical Examination
candidate

Employment

72
 RECRIUTMENT PROCESS AT VSP
The internal communication system of VSP called “SAMALOCHANA” Which was
conducted every month the it’s 32 Departments and every quarterly in 40 departments by
which the manpower requirements of various departments are identified well in advance.
In 1992 around 6000 employees are recruited keeping in view the requirement of 10 years
but the strategically decisions of recruitment was so efficient that their was no any major
requirement for recruitment for 20 years.
The VSP has conducted a written test in this year March for the post of KALASIS,
MANAGEMENT TRAINEES and TECHNICAL TRAONEES by way of advertisements
in various Employment News and other job related papers. The VSP has a WEBSITE
called WWW.VIZAGSTEELCOM in which all recruitment portals are kept. The details of
the candidates applied and their related date was maintained in a confidential way.

73
 RECRUITMENT AND SELECTION PROCESS

1. Approval from Man-Power for the recruitment of the vacancies.

2. Process is done in the following two ways.
 Internal source
 External source
3. As per presidential directives only categorized, i.e., Roster
4. Issue of notification, done in two ways:-
PUBLIC NOTIFICATION
Publications done through advertising, i.e., Newspapers EMPLOYMENT
EXCHANGE
The vacancies are sent to employment exchange for the desired candidates. The list
of finalized candidates
CATEGORY PERCENTAGE
is sent to the
General/OBC 50
recruitment cell in the SC/ST 40
ratio 1:20.
5. Receipt of the application within the time limit as mentioned in the notification.
6. Scrutiny of the application and short-list of candidates is done.
7. Written test
The test is conducted of 85 marks. These marks having qualified in the
categorized way as in the following:

74
8. Interview Test
Interview is done by comprising of selection committee. The committee is
appointed by the CMD of VSP. The selection comprising the member of:
• Representative from indenting department
• Representative from SC/ST/OBC.
• Representative from Minority (other than Hindu).

• Representative of personnel Department.

• Lady Representative in the case of non-executive posts, i.e., Group-C
And Grope-D posts.
9. Medical Examination
The selected candidates from both written and interview are called for medial
examination. If any reason the candidate fails in the test the next candidate in the list is
eligible for the medical test. Since the test is validate for 1 year from the letter list
candidate i.e., written and interview.
10. Issue of offer letter, i.e., the appointment letter for the job.
11. Induction and Training Program
The candidates who got offer letters are eligible for induction and training in this
process the candidate are posted in the following way:

CARD TRAINING EDUCATIONAL POSTED

PERIOD QUALIFICATION
Executives Management Graduate with 60% Junior Manager
Trainee with 12 in General/OBC
month 50% in SC/ST
Highly Skilled Senior Trainee with Diploma Charge Man
18 months Engineering
Un-Skilled Trainee Khalasi with Illiterate Khalasi
12 months

12. Place of posting

75
DIRECT RECRUITMENT
In this process the VSP releases advertisements in various news papers regarding the post
i.e. Executives & Non-Executives. Their vacancies and the criteria required.

Non-Executives:-
1) The candidates were called through employment exchange, and also the candidates
who are possessing “R” card (land losers) or Displaced person Card.

2) The “R/DP” Card holders are those who loss the for VSP they were given age
relaxation.

3) In VSP there are around 5000 employees are their who are “R/DP” Card holders.

4) The qualification is 10th pass as Minimum.

5) The reservations are fallowed as per the Govt. Laws.

Written Test Trade Test Police

Verification

Medical Test Interview Offer of

Appointment to
the candidates

76
Executives:-
For the executive posts the candidates are called throw employment exchange. The
required qualification regarding Executives are as fallows:-
Technical:-M.Tech/B.Tech or Diploma in Technical Field (With/Without Experiences)
Non-Technical:- Graduation with 60% or M.B.A and additional.

Written Test Trade Test Police

Verification

Offer of
Medical Test Interview Appointment to
the Candidates

INDIRECT RECRUITMENT
The indirect recruitment was done by a circular to various departments of the VSP.

Research Methodology
The study is directed to wards the currently followed recruitment practices in VSP and
includes the opinions of the recruitment practices representing the sample Size.
The general methods adopted in conducting the research are as fallows:
o Define the research problem.

o Review the literature.

o Formulate hypothesis.

o Design research.

o Collect data.
77
 o Analyze data.

o Interpret the data.

o Report the data.

RESEARCH DESIGN:-
Research design is the conceptual structure with in which research would be
conducted. The function of the research design sis to provide the collection of relevant
evidence with minimum expenditure of efforts, time and money. The suitable design is the
one that minimizes bias and maximizes the reliability of the data collected and analyzed.

SAMPLE SIZE:-
A SAMPLE SIZE OF 100 is drawn the respondents belong to different departments of the
company

COLLECTION OF DATA:-
The data is collected through primary and secondary sources.

PRIMARY SOURCES:-
The primary data is collected from the respondents belonging to different departments of
the organization.

SAMPLE SIZE:-
SAMPLE TOOL:- Simple random sampling was administrated Questionnaire with
consisted of open ended and close ended questions.

SECONDARY SOURCEY:--
Secondary data is collected from the following sources.
• Discussions and personal observations.

• Organization report and files.

78
 • Journals and websites.

RESEARCH ANALYSIS:-
Research analysis is the computation of certain induces or measures along with searching
patterns of relationship that exists among the data group.
Statistical tools such as percentages were used. The information gathered is represented in
the form of tables so that the interpretation would be precise.
THE METHOD OF STUDY FOLLOWED IN THIS PROJECT (IN
BRIEF)
Sample Size : 30
Data collection Method : Questionnaires, observations, Discussions
and Organization reports.
Duration of the study : 45 days.
Analysis : Through percentage method
As the requirement to fill anew position will arise the concerned HOD will look into the
matter. He/she will take all particulars regarding the position and prepare a manpower
from, which contains all the particulars regarding the position all the specicaytions are
made and approved by the concerned HOD and that from is sent HR department. HRD
will begin to fill up that position by considering all the specification. The particulars like
the
Position
Experience
Qualification
Skill set
Budget
Time limit
No. of positions
Location

79
With all the above particulars the requisition from will be prepared authorized by the HID.
If the required position is at junior level or t middle level HOD authorization is enough, if
the requirement is at top level along with the HOD the approval of the M.D of the
organization is required.
POSITION
It states that for which position we are looking for the candidate.

EXPERIENCE
The minimum and maximum no. of years of experience, required by the candidate for the
position.
QUALIFICATION
The academic and other qualification the management is looking for in a candidate to fill
the position.
SKILL SET
What are the specific skills that the candidate should possess in order to meet the
requirements
BUDGET
What is the salary the company is willing to pay to the candidate who is to be hired
TIME LIMIT
The maximum time that can be taken to fill that particular position.
NO. OF VACANCIES
This specifies the total No. of positions to be filled.
LOCATION
If the company is having more than one branch then it should be made clear in which
particular branch the candidate is required. When the requisition form reaches the H.R.
department then the hunt suitable candidates begins. The H.R. team has to look in to the
specification and then decide for the source of the candidate. Various sources of
candidates are:
 Internal source

80
  Data bank

 Advertisement in mews paper

 H.R. net work

 Word of mouth

 Consultants

 Job sites

 Employee reference

INTERNAL SOURCE:
When the requirements arise then the H.R team will check out from their records
whether there is any candidate in the organization with the specified particulars.
If any candidate is located with the appropriate profile then the candidate is given
importance.
DATA BANK
A data bank is maintained by the H.R. team which contains the profiles of the
candidate. These profiles will be maintained in an organized manner such that the retrieval
of the profile will be easier.
ADVERTISENTS IN NEWS PAPERS
When the no. of vacancies is more in number the company will give an advertisement in
news papers by mentioning all the particulars. Then the candidates with the suitable or
relevant qualification will forward their resumes to the H.R. department.
H.R.NERWORK
The H.R. team will have its own network that can also be used in tracing the candidates.
The H.R. personal of various of various organizations from this network.
WORD OF MOUTH

81
The H.R. team also uses the word as a tool for searching the candidates. H.R. team passes
the information about the requirements in their own network and collect some profiles.
They use these profiles and based on the requirement.
CONSULTANTS
Consultant is one of the expensive sources where the candidate will be registered with the
consultant. When there are some vacancies the H.R team will approach consultants to
forward the candidates with adequate qualities.

JOBSITES
A jobsite provide space for companies to keep their articles, banners,
advertisements and postings. Interested candidates may forward their profiles, when they
get through the advertisements.
EMPLOYEE REFERENCE:
Employees may forward the candidates whom they know and fell that they are best
in rendering their services.
Then the HR decides the source (internally or externally) of the candidates.
When the candidates from various sources, send their resumes to the company. The
company follows the procedure as step wise.
RESUME SCREENING:
Many Candidates send their resumes when they come to know about the
opportunities in the organization. HR personal will shortlist these resumes and select the
resumes that will meet requirement.
CALL TO THE CANDIDATE:
The candidates who are short-listed will be informed about the interview and then
they ate called to attend the interview.
TECHIBICAL INTERVIEW:
A panel technical people interview the candidate with is purely based on the technical
skills of the candidate. If the panel is satisfied with the performance then the candidate is
sent for next level of the interview.
82
HOD INTERVIEW:
The candidates who are selected I the HOD level will be now interviewed by the
HR personal in aspects like attitude, objectives, and communication skills etc.
FINAL INTERVIEW:
HR people will take this interview and this will be the final round of interview. Here the
panel discusses all the negotiations will be done, regarding the and benefits.

VARIOUS FROMS RELATED TO RECRUITMENT IN VSP

Form of Certificate to be produced by a candidate belonging to Scheduled
Caste or Schedules Tribe in support of his claim
FORM OF CASTE CERTIFICATE
Regn. No.______________________________________ Date.
_____________________________
A. This is to certify that Shri./Smt./Kum._______________________________ son /
daughter of ____________________________ of village/ town
_________________________ in District/Division ______________________ of the
State/Union Territory ________________________ Belongs to the
______________________ caste/tribe which is recognized as Scheduled Caste /
Scheduled Tribe Under:

PleaseTickMark:
1. The Constitution (Scheduled Castes) Order, 1950
2. The Constitution (Scheduled Tribes) Order, 1950
3. The Constitution (Scheduled Castes) (Union Territories) order, 1951
4. The Constitution (Scheduled Tribes) (Union Territories) order, 1951
(As amended by the Schedules Castes and Schedules Tribes Lists (Modification) order,
1956, the Bombay Reorganization Act, 1960, the Punjab Reorganisation Act, 1966, the

83
state of Himachal Pradesh Act, 1970, the North Eastern Areas (Reorganisation) Act,1971
and Scheduled Tribes Order (amendment) Act, 1976).
5. The Constitution (Jammu & Kashmir) Scheduled Castes Order, 1956.
6. The Constitution (Jammu & Kashmir) Scheduled Tribes Order, 1989.
7. The Constitution (Andaman & Nicobar Islands) Scheduled Tribes Order, 1959.
8. The Constitution (Dadra & Nagar Haveli) Scheduled Castes Order, 1962.
9. The Constitution (Dadra & Nagar Haveli) Scheduled Tribes Order, 1962.
10. The Constitution (Pondicherry) Scheduled Castes Order, 1964.
11. The Constitution Scheduled Tribes (Uttar Pradesh) order, 1967.
12. The Constitution (Goa, Daman & Diu) Scheduled Tribes Order, 1970.
13. The Constitution (Goa, Daman & Diu) Scheduled Tribes Order, 1970.
14. The Constitution (Nagaland) Scheduled Tribes Order, 1970.
15. The Constitution (Sikkim) Scheduled Castes Order, 1978.
16. The Constitution (Sikkim) Scheduled Tribes Order, 1978.
17. The Constitution (Jammu & Kashmir) Scheduled Tribes Order, 1989.
18. The Constitution (Scheduled Castes) Order (Amendment) Act, 1990.
19. The Constitution (Scheduled Castes) Order (Amendment) Act, 1991.
20. The Constitution (Scheduled Castes) Order Second (Amendment) Act, 1991.

B. Applicable in the case of Schedule Caste/ Schedule Tribe persons who have migrated
from the state/U.T. of their origin (delete the paragraph if not applicable):
This certificate is issued on the basis of the scheduled caste/scheduled tribe certificate
issued to Shri./Smt./Kum. ______________________ Father / mother of Shri./Smt/Kum.
_______________________ of village / town ___________________in District/Division
_________________ of the state/Union Territory_______________ who belong to the
_________________caste/tribe which is recognized as schedule caste/Schedule tribe in
the State/Union Territory _________________issued by the _______________(name of
prescribed authority)vide order no.______________ dated___________________

84
C. Shri./Smt./Kum.________________ and/or his / her family ordinarily reside(s) in
village/town ___________of _____________District/Division of the state/ Union territory
of _________________.
Place: ________________ signature________________
State/Union territory__________ Name of Issuing Authority
Date: _________ Designation_____________

(With seal of office)

Note: 1. The term “ordinarily” used here will have the same meaning as in section 20 of
the Representation of the People Act, 1950.
2. List of authorities empowered to issue schedule caste/schedule tribe certificates:
(i) District Magistrate / Additional Deputy Commissioner/Deputy Collector/Ist class
Stipend magistrate/Sub-Divisional Magistrate/ Taluka Magistrate/Executive Magistrate
(ii) Chief presidency magistrate/Additional chief presidency magistrate/Presidency
Magistrate.
(iii) Revenue officer not below the rank of Tehsildar.
(iv)Sub-Divisional Officer at the area where the candidate and / or his family normally
resides.
3. The caste certificate issued by an authority other than the stated above will not be
accepted.
FORM OF CERTIFICATE TO BE PRODUCED BY OTHER BACKWARD
CLASSES APPLYING FOR APPOINTMENT TO POSTS UNDER
GOVERNMENT OF INDIA AND CENTRAL GOVT. PUBLIC SECTOR
UNDERTAKINGS
Regn. No.___________ Date_________
A. This is to certify that Shri./Smt./Kum.______________________________ son /
daughter of_________________ of village/town_________________in District/
Division_____________of the State/Territory___________________belongs to
the __________________ community which is recognized as a backward class
under:
85
 Please tick mark:
(i) Govt. of India, Ministry of Welfare Resolution No. 12011/68/93-BCC dated
10.09.1993, published in Gazette of India, Extraordinary-part 1,section- 1,and
No.186 dated 13.09.1993.

(ii) Govt. of India, Ministry of Welfare Resolution No. 12011/9/94-BCC dated

19.10.1994, published in Gazette of India, Extraordinary-part 1,section- 1,and
No.163 dated 20.10.1994.

(iii) Govt. of India, Ministry of Welfare Resolution No. 12011/7/95-BCC dated

24.05.1995 published in Gazette of India, Extraordinary-part 1,section- 1,and
No.88 dated 25.05.1995.

(iv) Govt. of India, Ministry of Welfare Resolution No. 12011/96/94-BCC dated

06.12.1996, published in Gazette of India, Extraordinary-part 1, section- 1,and
No.210 dated 11.12.1996.

B. Applicable in the case OBC persons who have migrated from the state/U.T. of their
origin (delete the paragraph if not applicable):
This certificate is issued on the basis of the Other Backward Classes certificate issued to
Shri./Smt./Kum. ______________________ Father / mother of Shri./Smt/Kum.
_______________________ of village / town ___________________in District/Division
_________________ of the state/Union Territory_______________ who belong to the
_________________caste which is recognized as a Backward Classes in the State/Union
Territory _________________issued by the _______________(name of prescribed
authority)vide order no.______________ dated___________________

86
 B. Shri./Smt./Kum.________________ and/or his / her family ordinarily reside(s) in
village/town ___________of _____________District/Division of the state/ Union
territory of _________________.

C. This is also to certify that he/she does not belong to the persons/sections (Creamy
Layer) mentioned in column 3 of the Scehduled to the govt. of India, Department
of Personnel & Training O.M.No.36012/22/93-Estt.(SCT)dated 08.09.1993.

Place: ________________ signature________________

State/Union territory__________ Name of Issuing Authority
Date:_________ Designation____________

(With seal of office)

Note: 1. the term “ordinarily” used here will have the same meaning as in section 20 of the
Representation of the People Act, 1950.
2. List of authorities empowered to issue schedule caste/schedule tribe certificates:
(i) District Magistrate / Additional Deputy Commissioner/Deputy Collector/Ist class
Stipendiary magistrate/Sub-Divisional Magistrate/ Taluka Magistrate/Executive
Magistrate
(ii) Chief presidency magistrate/Additional chief presidency magistrate/Presidency
Magistrate.
(iii) Revenue officer not below the rank of Tehsildar.
(iv) Sub-Divisional Officer at the area where the candidate and / or his family normally
resides.
3. The caste certificate issued by an authority other than the stated above will not be
accepted.

NAME AND ADDRESS OF THE INSTITUTE/HOSPITAL

87
Certificate No._____________ Date:
________________
DISABILITY CERTIFICATE
Recent Photography
of the candidate
showing the
disability duly
attested duly attested
by the Chairperson of
the Medical Board

This is to certify that Shri./Smt./Kum.___________________ son/wife/ daughter of

Shri________________ age____ sex____ identification mark(s)__________is suffering
from permanent disability of following category:

A. Locomotors or cerebral palsy:

(i) BL-Both legs affected but not arms
(ii) BA-Both arms affected (a) impaired reach
(b) Weakness or grip
(iii) BLA- Both legs and arms are affected
(iv)OL- One leg affected (right or left) (a) Impaired each
(b)Weakness or grip
(c)Ataxic
(v) OA- One arm affected (right or left) (a) Impaired each
(b)Weakness or grip
(c)Ataxic
(vi)BH- Stiff back and hips (cannot sit or stoop)
(vii) MW- muscular weakness and limited physical endurance.

88
B. Blindness or Low vision:
(i) B-Blind
(ii)PB- Partially blind
C. Hearing impairment:
(i) D-deaf
(ii) PD-Partially deaf.
(Delete the category which ever is not applicable)
2. This condition is progressive/ non-progressive/ likely to improve/ not likely to improve.
Re –assessment of this case is not recommended/is recommended after a period of
_______years ________months.*
3. Percentage of disability in his/ her case is __________percent.
4. Shri./Smt./Kum.__________________ meets the following physical requirements for
discharge of his / her duties:-
(i) F-can perform work by manipulating with fingers Yes/No
(ii) PP-can perform work by pulling and pushing Yes/No
(iii) L- can perform work by lifting Yes/No
(iv) KC- can perform work by kneeling and crouching Yes/No
(v) B- can perform work by bending Yes/No
(vi) S- can perform work by sitting Yes/No
(vii) ST- can perform work by standing Yes/No
(viii) W- can perform work by walking Yes/No
(ix) SE- can perform work by seeing Yes/No
(x) H- can perform work by hearing/speaking Yes/No
(xi) RW- can perform work by reading and writing Yes/No
(Dr____________________) (Dr____________________)
(Dr____________________)
MEMBER MEDICAL MEMBER MEDICAL CHAIRPERSON
BOARD BOARD MEDICAL
BOARD
Countersigned by the
89
 Medical Superintendent/CMO/Head of Hospital
(With seal)
*Strike out which is not applicable.

TO BE SUBMITTED BY CANDIDATES BELONGING TO SC/ST

COMMUNITY ALONG WITH PHOTOCOPY OF THE CASTE
CERTIFICATE
a) Name:

b) B) Father’s Name:

c) Caste Certificate No.:

d) Date Of Issue:

e) Name of the Issuing Authority:

f) Place and address of issue of the Certificate:

And Office seal and Phone number (if any):

90
Affix passport size photograph
Certified by Gazetted Officer
Across the photograph
Date: Signature of the candidate

TO BE SUBMITTED BY CANDIDATES BELONGING TO OBC

COMMUNITY ALONG WITH PHOTOCOPY OF THE CASTE
CERTIFICATE
a) Name:
b) Father’s Name:
c) Caste Certificate No.:
d) Date of Issue:
e) Name of the Issuing Authority:
f) Place and address of issue of the Certificate:
And Office seal and Phone number (if any):

91
Affix passport size photograph
Certified by Gazetted Officer
Across the photograph
I_____________________________________________________ son / daughter
Sri____________________________________________ Resident of village / town / city
_______________________________________ District
_______________________________________state hereby declare that I belong to the
_________________community which is recognized as a Backward Classes by the
Government of India for the purpose of reservation in services as per order contained in
Department of Personnel & Training O.M.No.36012/22/93-Estt.(SCT)dated 08.09.1993. It
is also declared that i does not belong to the persons/sections (Creamy Layer) mentioned
in column 3 of the Schedule to the above referred office Memorandum dated 8.9.1993.

Date: Signature of the candidate

VISAKHAPATNAM STEEL PLANT

PERSONNEL DEPARTMENT
RECRUITMENT SECTION

Dt. 20.04.2009

It has been decided that to conduct re-test for the post of trainee Khalasi that had
been advertised vide VSP Recruitment Advertisement No. 10/2008. Therefore the
92
test held on 15th march, 2009 for the post of Trainee Khalasi shall not be
considered. All the candidates who appeared for the written test on 15 th march,
2009 shall be issued with fresh admit card that shall be sent to them by post and
they can as well download the same from the website www.vizagsteel.com in due
course.

The date of re-test will be announced shortly.

The inconvenience is regretted.

VIZAG STEEL – YESTERDAY, TODAY,

TOMMOROW

93
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.

94
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.

95
 CHAPTER-V
EMPIRICAL ANALYSIS

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

96
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.
3. To attract, select and induct the best of the talents available keeping in view the
functional requirements of the organization.

97
 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:
1. The posts intended to be filled through internal sources will be circulated in the
Company giving the qualifications, age, experience etc.

98
 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,
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.

99
 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.

INDUCTION LEVELS
Executives

100
 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.
VI. Experienced employees in suitable grades.
VII. Such other posts as may be decided by CMD keeping in view the requirements
of the organization.

101
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.

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

102
 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.

103
  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

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
104
 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.
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

105
 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.

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

106
 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

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.

107
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.

108
CHAPTER-VI
Questionnaires

A QUESTIONNAIRE ON
RECRUITMENT AND SELECTION
IN
109
 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?
a) Yes b) No

110
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

111
 CHAPTER-VII
FINDINGS & SUGGESTIONS

112
 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.

113
  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

114
 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?

115
 a) Coordination
b) Technology
c) Good recognition

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”
• Tina Agrell, “RECRUITMENT TECHNIQUES FOR MODERN MANAGERS”

116
WEBSITES

• www.google.com
• www.answers.com
• http://en.wikipedia.org/wiki/
• http://en.wikipedia.org/wiki/Vizag_Steel_Plant
• http://www.vizagsteel.com/code/tenders/jobdocs/4682web-ad.pdf
• www.jsb.ac.in/library/projects/htm
• www.citehr.com

117
 GLOSSARY

Human Resource Management is a function performed in the organization that

facilitates the most effective use of people (employee) to achieve organizational as
well as individual goals.

Job Descriptive Index (JDI) is a specific questionnaire of job satisfaction that has
been widely used. It measures one’s satisfaction in five facets: pay, promotions and
promotion opportunities, coworkers, supervision, and the work itself.

Job Satisfaction is a pleasurable emotional state resulting from the appraisal of one’s
job.

Performance Appraisal is an on going process of evaluation and managing both the

behavior and outcomes of employees in the work place.

Recruitment refers to the process of seeking and attracting a pool of people from
which qualified candidates for job vacancies can be chosen.

Selection is a process of ascertaining the qualifications, experience, skill, knowledge,

etc of an applicant with the purpose of determining his suitability the job.

Training is the systematic development of knowledge, skill and attitudes required by

an individual to perform adequately a given task or job.

118
 Chapter 7: CONCLUSION

Recruitment is a most important part of today`s HR system. Recruitment to

find the right candidates for the right place at the right time. Recruiting a right
candidate is a difficult job.

Organization have to recruit people with requisite skills, qualifications and

experience, if they have to survive and flourish in a highly competitive
environment. Whicle doing so,, they have to be sensitive to economic, political,
social and legal factor with in a country. To be effective they need to tap all
available sources of supply, internal and external.

Most employees who were asked, said that they are satisfied with the recruitment
process of their company. It is notice after analyzing that potential candidates in
HMT are generated through consultants. Different tests are used at HMT in
recruitment process at all levels. The employees are satisfied with the results
generated through these tests. In all recruitment process at Shree Cement is lengthy
but good.

119
 Chapter 8: RECOMEMENDATIONS

• Formulate a proper recruitment process with clear guidelines & targets.

• Clear GD`s need to be there.
• There employees should get an opportunity to utilized there skills and knowledge.
• Salary structure should be changed and made according to the comparison of out-
side market conditions.
• Any kind of software is to be implemented to track the duplicacy of the profiles
fast.
• Interdepartmental support is must throughout the recruitment process, so that time
is utilized in proper way.
• Support for HR from different departments.

120
 REFERENCES

BOOKS:

Author V.S.P. RAO

Title Human Resource Management

Author S.N. PANDY

Title Basis of Management

WEBSITES:

www.scribd.com

www.en.wikipedia.org

joincc@shreecementltd.com

MAGAZINES:

Business Today

Human Capital

121
122