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TO STUDY THE CONTRASTING BEHAVIOR OF THE TRADITIONAL PRACTICES TO THE

CONTEMPORARY PRACTICES IN RECRUITMENT PROCESS.


With reference to
AUROBINDO PHARMA LIMITED
HYDERABAD

A Project Report Submitted to Institute of Public Enterprise, Hyderabad in partial fulfillment of the
requirement for the award of degree of

POST GRADUATE DIPLOMA IN MANAGEMENT


HUMAN RESOURCE MANAGEMENT
Submitted By:

SOMA KIRAN GONELLA


(ROLL NO: 1308013)
Under the Esteemed Guidance of

Dr. JAGAN MOHAN REDDY


Professor

INSTITUTE OF PUBLIC ENTERPRISE


SHAMEERPET CAMPUS
HYDERABAD - 500078
2013-2015
1

DECLARATION
I, hereby declare that the SIP Work titled, TO STUDY THE CONTRASTING BEHAVIOR OF THE
TRADITIONAL PRACTICES TO THE CONTEMPORARY PRACTICES IN RECRUITMENT PROCESS

is an original work done by me under the Supervision of Dr. JAGAN MOHAN REDDY,
PROFESSOR, PGDM-HRM, IPE, Shameerpet Campus, Hyderabad and Mr. SRINIVASN M,
Dy. Manager, Aurobindo Pharma Ltd.
This project has not been submitted elsewhere for the award of any degree or diploma either in
part or full in any university/institution.

Place: - Hyderabad.

Soma Kiran Gonella

Date: -

ACKNOWLEDGEMENT
No task however small can be completed without proper guidance and encouragement. It is a
pleasure to acknowledge my debt to the many people involved directly or indirectly, in the
successful completion of the project.
I would like to acknowledge the help rendered to me by Prof. R.K. Mishra, Director, IPE,
Hyderabad.
I would like to thank CS Anil Kumar, Coordinator, PGDM-HRM, IPE, Hyderabad, for
guidance and support throughout the course of this project. I express my deep sense of
gratitude to Dr. JAGAN MOHAN REDDY, PGDM-HRM, IPE, Hyderabad, for his timely help
and integrity in handling my needs. I take this opportunity to thank his profusely for his
excellent guidance and support throughout the course of this project.
My Sincere thanks to Mr. Srinivasan M, Dy. Manager, APL, Hyderabad for their guidance
and co-operation.
I extend my thanks to the HR department of APL, Hyderabad for their guidance during my
interaction with them.

Place: -

Soma Kiran Gonella

Date:-

Contents:

PAGE

1 INTRODUCTION

2 COMPANY PROFILE

20

3 LITERATURE REVIEW

35

4 DATA ANALYSIS AND FINDINGS

59

5 CONCLUSIONS

70

6 BIBILOGRAPHY

72

INTRODUCTION

Make in India elevates the openness of India in encourage the manufacturing


sector and sends a vibrating sound to the world. After three decades approximately after
chinas initiation of the concept of make in China, India understood the significance of
attracting manufacturing companies that wide spread across the world. India is not the only
country, already Indonesia, Philippines and most of the South Asian countries understood the
importance of it and initiated already and accepted the processing industries. But, Indias
strategy clearly understood by the corporate world, Aging factor is what is becoming our
strength and the size of the population, diversity, huge band gap for the Middle class people
and yes Strategy for Indias Market is already put up by the C.K Prahalad in his Book of fortune
at the bottom of pyramid. Corporate companys strategy can be intuited easily they have a
wide range of disparities not in just social context but economically to market their product and
have enough of labor. No loss no profit strategy is the right game to be played by both the
corporate and Government of India.
Though the initiative of Make in India showcases the Ideology of Capitalism, It
has both the pros and cons. Well, the good thing about the Capitalistic Idea is, Country will
have a abundant flow of currency in it and the balance sheet of the country take a positive
side, Legacy of our Constitutional frame workers definitely, put us in front when compared to
other countries and the whole and sole credit should be delivered to them because for gifting
India with the succession instrument of Democracy, Making It leaders in keeping the country in
the right and on success track. A plethora of initiatives taken and taking by our leaders might
increase in the factors like Human Development Index Factor, Rise in GDP, Flow of Foreign
Exchange and so on. Globally, India will have its reputation which is a positive sign for a
capitalistic country. Considering the other side of the coin, there might be a chance of
exploiting the human, which is not correct, socially, there is Human Rights commission
positioned in the Constitution, so it can be regulated by these commissions and many of the
NGOs are working on these practices. Intense initiatives of Make in India concept may break
the equilibrium between the Ecology and the Environment and a sustainable outcome may not
be accepted and in a sense it has got a serious problem but can overcome through proper
initiatives, government should and it is a must, if these capitalistic ideas are put in practice. But
the bottom of line is India should accept this transformation bringing by their leaders as the

globe is driven by mostly through capitalistic ideas and no one can escape from the eye of this
capitalism.
Cascading the topic from international level to the

National Level, India is creating a

good opportunities for the Industries, In more clear sense, Manufacturing sectors contribution
to the GDP is increasing year by year and it is clear, a positive sign for the whole
Manufacturing sector. There is a positive shift taking place after approximately, 150 years after
the Industrial revolution. Though India is good at producing a good amount of Software
Engineers, in recent context India does not restricting itself to certain sectors, but trying to
create that gambit for other industries. India producing a pool of talent required for all
industries and our expertise in English compared to other countries making us unique from the
rest of South Asian countries. Being an intellect one should accept and appreciate that the
hurdles we Indians came across in Indias legacy of success.
Being

a Knowledge

Industry, Indians have a wrong perception about the

Pharmaceutical Industry by resisting themselves from investing in Research and development


leading to placing ourselves a step down compared to other Pharma companies across the
Globe, this Ceiling glass should be broken. Current scenario in India and across the globe is a
positive factor for Indian Pharma Companies, though there are some ups and down in the
industry, in all the performance of Indian Pharma Industry is going outstanding, which is a
positive sign for the companies across the globe.
The Gross Domestic Product (GDP) growth rate for the past two years has successively
slowed, down to 6.2% in 2011-12 and further to 5% in 2012-13. Despite this, the compound
annual growth rate (CAGR) of GDP at factor cost, over the decade ending 2012-13 was 7.9%.
The economy slowed down rapidly despite recovering from the global financial crisis, due to a
variety of reasons such as, high inflation, reduced consumption demand, deceleration in
corporate and infrastructure investment and tighter monetary policy. The economy was also hit
by additional shocks of a slowing global economy, weighed down by the crisis in the Euro area
and uncertainties about fiscal policy in the United States. As growth turned sluggish and
government revenues did not keep pace with spending, the fiscal deficit threatened to breach
the target. With government savings falling, and private savings also shrinking, the current

account deficit, which is the investment that cannot be financed by domestic savings and has
to be financed through trade surplus, also widened.

India's pharmaceutical sector is poised to grow from the present US$ 15.6 billion, to
US$ 35.9 billion by 2017. A similar forecast has been published in a Pricewaterhouse Coopers
(PwC) report which believes that the industry size could possibly touch US$ 74 billion by 2020.
The Indian Government's Pharma Vision 2020 also aims at making India a global leader in
end-to-end manufacture by 2020, and hence the Government is planning to set up a US$ 640
million venture capital fund to boost drug discovery and further strengthen the pharmaceutical
sector. According to industry estimates, the Indian pharmaceutical industry produces about
60,000 generic brands in 60 therapeutic categories and manufactures more than 400 different
APIs. Presently, generics dominate the market while the expectations are that patent-protected
products are likely to constitute 10% of the industry cake by 2015. Both Indian and foreign
multinationals are set to launch patented drugs across India. Rural India is likely to witness a
step-up in demand since manufacturers are reaching out to chemists by expanding their
distribution network. Pharma industry is likely to see greater vibrancy when the networks start
to impact manufacturing by 2015. India is considered a high-value hub for clinical trials due to
the presence of genetically diverse population and availability of skilled doctors. In its bid to
step up Indian exports from the present tally of US$ 310 billion and reach a target of US$ 500
billion by 2014, the government believes that pharma is a major thrust sector growing at 15%
annually and generics is a major strength area. Pharma industry is considered a focus area to
achieve the overall target. India is expected to double pharmaceutical exports in the next few
years, with the Pharmaceutical Export Promotion Council (Pharmexcil) eyeing overseas sales
worth US$ 20 billion by the end of 2014-15. The figure stood at around $10 billion in 2010-11
Traditionally India has been exporting to regulated markets, the US and the EU markets
accounting for a major share apart from other regulated markets such as Oceania and Japan
and less regulated markets such as Latin America, Africa and parts of Asia. India witnessed a
phenomenal growth in the EU and North America, with growth in Africa also being spectacular.
In the former markets India has largely been existent in the upper end of the value chain.
Japan offers a fresh opportunity for quality conscious manufacturers. Given the heavy
8

pressure on the health requirements, specially its aging population, Japan which is a US$ 109
billion market, of which generics constitute 8%, has decided to enlarge its generics portfolio.
Japan today represents an opportunity for the Indian pharmaceutical industry. India has also
entered into an FTA with Japan, which is a conscious agreement to mutually increase
cooperation in the pharma sector. An element of this is the fact that Japan has extended
national treatment to Indian companies.
Salient features of the Indian pharma industry are:
Accounts for over 10% of global pharmaceutical production;
Manufactures over 60,000 generic brands across 60 therapeutic categories;
Produces more than 400 different APIs;
Over 120 US FDA and 84 UK MHRA approved manufacturing facilities in India;
Manufacturing cost of Indian pharma companies is up to 65% lower than that of US firms
and almost half of that of European manufacturers;
Lower cost of production and R&D capabilities boosts competitiveness of Indian pharma
companies;
Comparative cost advantage enhances Indian pharma exports; and,
Pharma industry exports amount to approximately US$ 310 bn a year.

Human Resource Management:


For more than a century now, human resources management, as a discipline and
practice in the management of people in an organization, has evolved and developed into
different areas. Humans always plan, develop and manage relations, both consciously and
unconsciously, relations what a human maintain are the outcomes of their actions and depend
to great extent upon the liability of humans in managing their actions. Literal meaning for the
resource is a source, from which the benefit is produced. Human beings in the form of labor
provide services to an organization and expect benefit in return. The whole term Human
9

Resources refers to skills, energy, talent, abilities and knowledge possessed by humans and
uses them in producing the goods and also in rendering the services.

Management

is

defined as the activity of planning, organizing, staffing, controlling and directing the resources.
So the whole term Human Resource Management refers to controlling, planning and
organizing the men.

Human resources management in an organization is designed to perform functions like


improving the employee performance, recruitments, Training and Development, compensation
and benefits, Rewards and recognition, Talent Management, labor relations, personal relations,
succession planning, diversity management, performance appraisal of employees, corporate
social responsibilities, Organizational development, etc.
The core philosophy in Human Resource Management is drawn from different theories,
like Motivational theories, Wage theories, Learning theories, Personality theory, Leadership
theory etc. These theories are grouped up based on their characteristics and time bound;
Classical theories of organization, Humanistic theories of organization, Human resource
theory. Classical theory completely emphasizes on the coercion, control, punishments and
focuses on production rather than the human needs- Taylors theory of management, Fayols
administrative theory and Webers theory of Bureaucracy. Humanistic theory is characterized
by a shift in emphasis from task to individual worker; this theory emphasized more on the
dyadic conceptualization of communication, social relationships- The hawthrone studies,
Chester Bernard, Mc Gregors Theory X and Theory Y are some theories contributed to the
Human relations theory. Human resource theory is designed by considering the drawbacks in
both Classical and Humanistic theory, It emphasizes more on making the workers engaging in
the decision making process-Theory by Rensis Liker and theory by Blake and Mouton.
Human resource management had a history over a century, in past it was personal
management, but a wide diversifications over decades in personal management led to Human
resource management. The history of Human Resource Management had reflected prevailing
beliefs and attitudes held in society about employees, the response of employers to the public
policy and reactions to trade union growth. In the early stages of the industrial revolution,
extraordinary codes of disciplines and fines are imposed by the factory owners. These
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developments led to chaos between the workers and the factory owners, a number of
philanthropic employers began to develop a paternalistic care and concern for their
employees. The word Imperialism affected World War-I and its after effects led to Personal
management and emerged with a great power and established a new orthodox. The post
World War-II had very deep interventions in personal management; Government interventions
in the functioning of labor, creating Industrial peace by avoiding Industrial disputes through
special legislatures- Trade unions Act, ID act, Sex discrimination act, Bonus act, Factory act
are some of them. These interventions by government drove the changes in the personal
management strategically into Human Resource Management.
The capitalistic world drives the economy and the pool of companies to face many
challenges, especially in the HRM. It has become more dynamic for the companies to
withstand the socio-economic environment and wide diversifications in the technologies.
Managers of today have to face these dynamic changes with strategic approaches. Some of
the challenges that both managers and the companies face in this environment are- Increasing
the size of the work force, Education level, Deep understanding in technology advances,
Dynamic changes in the political environment, Increasing aspirations of employees, changing
psychosocial systems, computerized information system, Mobility of personnel professional,
changes in the legal environment, management of human relations.
The Hr has undergone a great revolution by questioning the accepted practices and reinventing the organizations and structures, traditional approaches have been thrown outHierarchies are vanishing and there is great emphasis on flat organizations. The new role of
HRM is more strategic than the traditional- A facilitator to change, an integrated approach to
change, as a mediator. Not only in the Roles and responsibilities but also there is a change in
the functions of Hr manager as a Intellectual, Educator, Discriminator, Executive, Leader,
Humanist, Visionary and so on. While practicing as a manager in an organization Hr has to
perform both managerial and operations functions. Managerial functions like planning,
organizing directing and controlling, Operational functions like recruitment, selection, training,
placement and framing Hr policies and also settle industrial disputes.
No organization can exist and function well without formal rules of engagement in
managing the people; these are general guide lines that express how the management
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intended to manage the people and what is expected of the employees. Policies could be
implicitly embodied in the organizations vision and mission statements or explicitly established
in its strategic plan and human resource strategic plan and they define the values and the
philosophies of the company.
A policy must ensure peoples management in line with the corporate values; Decisions
pertaining to the HR are made consistently, Minimizing the inequality among the Facilitates
decentralization, delegation and local empowerment.
It is a staff function concerned with hiring, motivating and maintaining people in an
organization that human talent is used effectively and efficiently to accomplish organizational
goals. In short, the aim is to achieve mission, vision, goals and objectives of an organization
using people as valuable resource. In comparison with the traditional approach the new
management has intervened into the employee engagement and appraising them for their
performance, Utilizing the staff capacity in most effective way; proper concern for the man
power planning and also for HR metrics are considered- This manifests itself in different
approaches used in job design, recruitment and placement and also includes redesigning of
the jobs, hiring of the multi-skilled employees and so on.
Employee commitment to the work should be encouraged; otherwise, it could result in
the low morale among the employees these can be regularized through minimizing the
conflicts, nurturing and mentoring them, integrating the organizational systems, processes and
activities through synergized approach; in turn a unique culture is made with proper values,
attitudes, norms and practices.
In pursuit, in performing these human resource functions, mangers should be able to
adapt to a dynamic change in the external system interlaying with the organizational goals and
principles. Achieving a dynamic change is not possible with the traditional bureaucratic style or
with adhocracy; a proper decentralized decision making should be made at each and every
level- How the job is done is not an important aspect rather how it is achieved is important.
In decentralization, mangers who are not directly involved in the production line are
considered as the staff managers, who are directly involving in the production line or vertical
line are considered to be line managers. The objectives of human resource management
12

implied that the HR department does not quantify to one department rather it has wider duties
and responsibilities to perform at every vertical and at every level in the organization. So, HR
department has to perform both the Line functions and the Staff functions as well. While
decentralizing the functions, a proper organization structure should be designed in such a way
that decision making level authority and the roles and responsibilities of a job is classified. In
designing the organizational structure, make sure that it should be a rigid structure and proper
concerns should be taken care off.

Organization Structure:
Organizational structure determines
are assigned,

controlled,

and

how

coordinated

the roles,
and

power

how information

and responsibilities
flows between

the

different levels of management. In designing the organization structure choosing weather the
organization to follow functional or divisional structure is mandatory. Effective structure facilities
management and clarifies relationships, roles and responsibilities, levels of authority and
supervisory or reporting lines, overall review of organization structure gives a brief idea to a
manager in determining human financial and technical resources are available and how they
should be allocated, and which resources are lacking. The structure of the organization
describes the functions, tasks and authorities of the departments divisions and individual
employees by maintaining healthy relationship between them, it also describes the number of
employees in each division unit and department on the basis of tasks, functions and authorities
these structural coordinates of different units work in conjunction as organization as a whole.
The structure should be in a way that the organization should enhance its efficiency and
profitability, the duties and responsibilities of those in the company must be identified and the
line of authorities must be carefully delineated, so that all the members of the organization
understands about their job role and responsibilities. This initiative of framing the organization
structure emanates the formal and detailed structure and everyone in the organization will
understand who reports to whom, who are the decision makers and which advisory personnel
is on hand to assist in decision making process. The manager determine the activities in
getting the job finished and writes job description and organize people into groups and assigns
them to supervisors for the establishment of goals and deadlines and establishes standards of
13

performance. Organization in general they choose Matrix type of structure as this structure
proven to be efficient enough in carrying away the daily operations. It is both dynamic and
functional, that it is the combination of two structures and allows team members to share
information more readily across the task boundaries. It also allows for specialization that can
increase depth of knowledge in a specific sector or segment.
There are some proven hardships in its structure, it increases the complexity in the
chain of command and there is wide contrast between the functional and project managers,
which confuses employees in understanding the chain of command. An additional
disadvantage in this structure is superior to sub-ordinate ratio, this result in conflicting loyalties
among the employees. Yet, matrix structure also has significant advantages that make it
valuable for companies, it is designed upon the silo critique of functional management where
it diminishes the vertical structure of functional and creates a more horizontal structure which
helps in spreading of information across departments to be happen quicker. Moreover matrix
structure allows for specialization that can increase depth of knowledge and allows individuals
to choose accordingly to project needs. Individuals and Project needs are interlaid and
produce the concept of maximizing strengths and minimizing weaknesses.

IT Practices:
In new millennium, not only HR practices but also IT practices have been booming.
Evolution of HRM intertwined with developments in IT and describing how IT has played
important role in the HRM function. HRM in the firm has changed over time from primarily
being concerned with routine transactions and traditional HR practices in dealing the complex
issues. Transactional activities are routine book keeping tasks, Traditional HR activities are
focused on HR programs like selection compensation, and performing appraisals. However,
transformational HR activities are those actions of an organization that add value to the
consumption of the firm. Thus, transformational activities increase the strategic importance and
visibility of HR function in the organization. With the intervention of technology into the HR
activities, the whole process of HR has been made easy and quick. This intervention of
technology into the HR is known as HRIS- Human Resource Information Systems, Primary
purpose of HRIS is to provide service with accurate and timely information, to the clients of the
14

system. As a HR information may be used for the strategic, tactical and operational decision
making to avoid litigations, to evaluate day to day programs, policies and also to support daily
operations. All these functions are powered by the information systems and the Internet,
almost every process in every function of HRM has been computerized today.
Electronic Human resource management reflects a philosophy for the delivery of the
HR; it uses informational technology, particularly the web, as the central component of
delivering efficient and effective HR services. Organizations embracing an e-HRM approach
dont simply utilize the technology in the support of the human resources but instead
technology is enabling the HR function to be done differently by modifying the information
flows, social interaction patterns and communication processes.
HRIS comprises the technology and processes underlying this new way of conducting
human resource management. An HRIS include technologies such as databases small
functional systems focused on a single HR application or a large scale, integrated enterprise
resource planning architecture and web based applications, Mobiles and social networking
sites that enable the employees to access the HR data remotely or to connect with others in
the Organization.
Major difference between the HRIS and the E-HRM is that e-HRm tends to be more
application and HR function focused and an HRIS is more focused on the systems and
technology underlying the design and acquisition of systems supporting the move to e-HRM.
Issues such as need analysis, cost benefit analysis and the entire cycle of HRIS
implementation and post-implementation, including project management and change
management should be addressed when implementing HRIS.

Organizational Development:
OD is an educational process designed to change the character or culture of an
organization and to improve organizational performance. Tied closely to societys increasing
concern for the welfare of the worker, OD evolved as an attempt to apply some of the values
and its insight of behavioral scientists to total organizations. A long term effort led and
supported by top management, to improve an organizations visioning empowerment learning
15

and problem- solving processes, through an ongoing collaborative management of


organizations culture- with special emphasis on the culture of the intact work teams and other
team configurations- utilizing the consultant- facilitator role and theory and technology of
applied behavioral science including action research. OD mainly, focuses on the culture and
the processes, encourages collaborations between organizational leaders and members in
managing culture and processes, Task accomplishments, focuses on the human and social
side of the organization.
Features of OD - participation and involvement in problem solving and decision making
at all levels of organization, focuses on systematic change, focuses on imparting of the
problem-solving skills and knowledge of continuous learning through self-analytical methods to
client to enable it to solve problems on its own, reliance on action research model with
extensive participation by client system members.
Values in OD A specific set of values are beliefs about the people are associated with
OD. These values concern the nature of man and his work in the organization. In essence OD
practitioner imposes these values on the organization he is attempting to change. These
values are basic assumptions about the people which underline the programs for OD.
Apart to the Hr practices inside the organization, how well they are executed inside the
organizations and restricts its anomalies inside the organization to a great extent is well
defined and practiced under HR operations. Retrenchments, Attendance management, Pay roll
process, Training programs, recruitment process, Compensation and benefits and Appraisal
process helps the organization to understand the normalitys and how well they are executed
inside the organization.

Recruitment process:
Traditional recruitment and selection procedures have been around for decades, which
is at odds with the ever changing internal and external environment of organizations. Hence,
practitioners often wonder whether there are any new research-based ways for recruiting and
selecting personnel. Another image problem for recruitment and selection is that a false
dichotomy is often created between so-called macro HR (examining HR systems more
broadly) and micro HR (examining individual differences). It is further sometimes argued that
16

organizations should value macro approaches and write off micro approaches as not being
relevant to the business world. We posit that these image problems and debates only serve to
distract and fracture the field and hide the fact that excellent HR research and practice needs
to take both macro and micro issues into consideration. For example, creating an effective
recruiting strategy (some would describe this as a macro process) requires considerable
understanding of the decision making processes of potential applicants (viewed as micro
processes). The same can be said with respect to designing effective selection systems, etc.
The challenge for many researchers then has been to demonstrate how scientifically derived
recruiting and selection practices add value to organizations. Unfortunately, when the quality
and impact of recruitment and selection procedures for business outcomes are investigated,
they are often described in rather simplistic terms. For example, in large-scale HR surveys
(e.g., Becker and Huselid, 1998; Huselid, 1995; Wright et al., 2001; 2005) sound selection
practice is often equated with whether or not formal tests were administered or whether or not
structured interviews were used. Similarly, effective recruitment is associated with the number
of qualified applicants for positions most frequently hired by the firm. Although such questions
tackle important aspects of recruitment and selection we also feel that such descriptions do not
capture the sophisticated level that recruitment and selection research and practice has
attained in recent years. This oversimplification in largescale HR surveys is understandable
due to the difficulty of getting usable survey data across a diverse set of companies.

Information Technology:
Organizations have had to adjust to the new reality of online recruiting. These
technologies have created both problems and opportunities for organizations. Organizations
can significantly reduce costs to advertise positions by using third party job boards (e.g.,
Monster.com) or through company websites. The inexpensive nature of online recruiting
permits the conveyance of large amounts of information to potential applicants at a minimal
cost relative to traditional advertising venues such as newspapers. Media content can be
substantially richer including graphics, photos, interactive text, and video. The potential also
exists for the immediate tailoring of recruiting information to target the needs of prospective
applicants. For example, after completing a needs questionnaire online, a prospective
17

applicant could conceivably be provided with targeted information about the organization, its
benefit programs, and opportunities that addresses their individual needs. Along these lines
the customized information about likely fit decreased viewing time and recall of low- fitting
individuals, suggesting a means to avoid these individuals of being attracted to the
organization. Clearly, customized realtime recruiting approaches are within the realm of
existing technologies. Despite the benefits and efficiencies of online recruiting, a downside is
that many employers complain about the flood of unqualified applicants that can result from
online advertising. This deluge of applicants can inflict considerable costs on the organization if
the online recruiting process is not accompanied by an effective and efficient screening
technology. The importance of integrating efficient screening tools and online recruitment
needs to be emphasized to a greater extent in HR practice. Researchers have also begun to
focus more specifically on what makes an effective company website for recruiting purposes.
Specifically, these authors suggest that web site content, appearance and navigability are all
important for recruiting purposes. Perceptions of the website aesthetics and usability
accounted for 33 per cent of the variance in pursuit intentions and 31 per cent of the variance
in recommendation intentions. Clearly, investing resources in web site aesthetics such as the
use of pleasing colors, pictures of smiling employees, and easy to navigate functions such as
direct links to application forms can have appreciable benefits for recruiting. Setting up a
recruiting oriented web site (instead of a screening oriented web site) was associated with
significantly higher attraction by prospective applicants.
Research Methodology:
The data for the study recruitment and selection process in Aurobindo was collected
from the companys database. The research was conducted to examine the efficacies of
Recruitment and selection process. The study gives in depth knowledge about of how
effectively; the process is implemented in the organization as a part of HR activities in the
organization.
AIM: To study the contrasting behavior of the traditional practices to the contemporary
practices in Recruitment process at Aurobindo.
Place: Aurobindo Pharma Limited, Hyderabad
18

Objectives of the study:


To study the existing recruitment policies at Aurobindo
To study the effectiveness of the Recruitment process at Aurobindo
To analyze the vacuums created by the traditional practices against the contemporary
practices
Need for the study:
Recruitment process is one of the core processes of any organization, The world has become
more competitive and globalized. There is a need for the landscape of the processes in the
organization should be shifted from the current trending traditional practices to Contemporary
practices. The shift is paradigm but it just not gives the organization a competitive advantage,
In a line parallel to this the quality can be anticipated and is phenomenal. Is this phenomenal
behavior can be adopted by the Aurobindo? It is the Question to be answered in foremost a
research should be carried to know the efficiencies of the process and this is possible from the
previous data, like how the different sources are identified and the numbers plays a great
game and this process will be the barometer for the Recruitments at Aurobindo.

Research Design:
The inception of the process starts from the collecting the data from the different
sources and getting the numbers, like how many employees were selected to the organization
and to which department they were selected.
Data Sources:
All the data regarding to the study is collected from the Secondary Sources. As the study do
not require any primary sources of data

19

COMPANY PROFILE

20

Overview of the company:


Among the top-5 Indian Pharma companies
Second largest API Business in Asia.

More than 85% of business coming from international operations across 125+
countries

Focus on complex molecules, differentiated and specialty products


Wide diverse product basket with 2,100+ formulation filings & c.2,500 API filings
worldwide
In-house R&D for rapid filing of Patents, DMFs and ANDAs
18 Manufacturing plants and 2 R&D Centers. Most plants are USFDA, MHRA, TGA,
MCC, Health Canada approved.
Well spread global marketing network through 34 subsidiaries & 3 joint ventures
Employee strength of 11000+ on rolls (API: 5665, FDF: 4140 and R&D: 800)

Vision:
to become Asia's leading and one among the top 15 Generic Pharma companies
in the World by 2015.

21

Corporate Values:
Business Care:
1.
2.
3.
4.

Operational Excellence
Stake Holder Orientation
Quality
Innovation

People Care:
1.
2.
3.
4.
5.

Fairness
Humility
Respect
Synergy
Applied Learning

Organizational Care:
1. Accountability
2. Integrity
3. Achievement

Strength:
Is derived from its robust, vertically integrated infrastructure, intelligent

research and development of wide portfolio of products quality


processes and talented and motivated people who are commited to our
values

22

Manufacturing Base- API


Unit I

India

Non betalactam

Non-sterile API

Unit VIII

India

Non betalactam

Non-sterile API

Unit XIB

India

Non betalactam

Non-sterile API

Unit XIV

India

Non betalactam

Non-sterile API

Silicon LS

India

Penem

Non-sterile API

Unit IA

India

Cephalosporin

Non-sterile API

Unit VIA

India

Cephalosporin

Sterile API

Unit V

India

SSP

Sterile &
Non-sterile API

Unit IX

India

SSP

Non-sterile API

Unit II

India

Betalactum

Non-sterile
Intermediates

Unit XIU

India

Betalactum

Non-sterile API (EM)

Manufacturing Base Formulations


AuroLife

USA

Non betalactam,

Solid Orals
23

Unit III
Unit IV

India
India

Controlled substances
Non betalactam
Non betalactam

Solid & Liquid Orals


Injectables &

Unit VII (SEZ)

India

Non betalactam

Ophthalmic
Solid Orals

AuroNext

India

Penem

Injectables;

Cephalosporin

Sterile API (EM)


Solid
&
Liquid

Unit VIB

India

Orals;
Injectables (EM)
Brazil
Unit XII

Brazi
India

SSP / Amoxi
SSP

Eugia

India

Oncology

Solid & Liquid Orals


Solid & Liquid Orals
and

Injectables
Injectables and Soft

Hormones
Gel Capsules
Natrol Inc
USA
Nutraceuticals
Solid & Liquid Orals
AuroHealth
USA
Pharma OTC
Liquid Orals
Approved by Regulatory Agencies like USFDA, UKMHRA, WHO, Health Canada, MCC
SA, TGA, ANVISA Brazil
Marketing reach closer to customers:

24

Hungar

Canad

Russia

U.K
swis
Spai
n

US

Malta

Thailan
d

Nigeri
a
Brazi
l

Chin

S.Afri
ca
Australi
a

Present in more than 25+ countries


U.S, Canada, U.K, Brazil, South Africa, Hungary, Portugal, Spain, Netherlands, Switzerland,
Russia, China, Nigeria, Thailand and Australia
34 subsidiries and 3 joint ventures outside India
Operations in more than 125+ countries across the globe
90% Aurobindos API requirements are met internally

25

Journey of Aurobindo:
2014: Acquired commercial
operations in 7 Western
European countries from
Actavis and Natrol Inc. a
nutraceuticals company in USA
Differentiated offerings in Oral
& Injectable products
2006: Acquired Milpharm (UK)
2007: Acquired formulations facility
in USA and Pharmacin Netherlands)
* * Leadership in global ARV
generic

1992: Began
exporting to RoW
markets (API)

2001: Setup first


overseas plant
(China)

2012: First approval of


Controlled Substance
formulations in USA
Set up AuroPeptide

1995: Listings in the


Indian Stock Exchanges

2002: Began production


of Formulations

2010: Commenced
operations of SEZ Unit
VII and Aurolife, USA
facilities

26

2013: Commenced marketing


specialty injectables products in
USA.
Focus on Penem, Onco &
Hormones

Facts about Aurobindo:

FY 2009-10

3651

FY 2010-11

4480

FY 2011-12

4300

FY 2012-13

5451

FY 2013-14

8099

FY 2014-15

9500 (till Q3)

Total Employee Base: 11000+ employees (on roll)


22,000+ employees (off roll)
Total Number of Units : 18
Average Age of Employees: 32.6
Qualified Workforce since it is Knowledge based Company
Reaches US $2 billion by this March (Currently nearly 11,000 crores)
650+ scientists including 35 Ph.Ds
Associated with UNO for development of ARVs
2 R and D units Formulations and APIs each
90% of Aurobindos API requirements is met internally
27

Human Resource Philosophy at Aurobindo:


To attract, build and retain right talent at all levels;
To create and nurture performance culture through continuous capability building,
performance measurement and leveraging of IT;
To foster leadership at all levels through trust, empowerment and openness;
To strengthen collaborative approach for business excellence; and,
To promote a vibrant work culture based on innovation and to incentivize people based on
productivity/outstanding performance

Philosophy of Talent Management at Aurobindo:


Establishment of vibrant organizational culture;
Talent attraction and retention;
Continuous capability building;
Recognition of outstanding performance of the team/individuals; and,
Staff welfare

Talent Management at Aurobindo:


Aurobindo has professionally managed Organization with meritocracy and scientific temper
Aurobindo Training and Development Centre (ATDC) to train entry Level professionals.
In House journal Auropulse to share company news and employee welfare.
E- enabled HR process, Professional HR team
28

Learning and Nurturing Culture:


Some of the learning and development projects implemented, recently are:
FEiT: Functional Experts in team an initiative that involves operators and executives directly
from the shop floor. The program focuses on building ownership to identify process
improvements and immediately implement them. Each employee identifies projects that can
improve productivity, reduce cycle time and meet timelines and have covered six
manufacturing units through this initiative.
GB - Green Belt certification: This is an effort to institutionalize process improvements that
reduce cycle time, boost productivity, enhance capacity utilization and sensitize employees
with problem solving concepts and tools
Internal trainers: As part of enhancing employee engagement, we identified in-house subject
matter experts (SME) and trained them on train-the-trainer programs. Aurobindo today have
165 SMEs who train in subjects such as cGMP, SOP training and audit preparedness.
Boot Camp: Trainers take sessions on planning, communication, OAR (Ownership,
Accountability & Responsibility) and team work and use live examples straight from the shop
floor to encourage participants, motivate supervisors and seek improvement right away. This is
a high impact, high recall and high productivity effort.
SMT - Self managed teams: An intensive three month program, training permanent workmen
on handling production and small time maintenance with emphasis on cGMP, critical SOPs,
chemical handling and safety procedures.
Safety Mantra: These programs are organized for the entire production, maintenance,
warehouse and QC teams which has lowered incidents and accidents related to earthing
practices, nitrogen handling, use of plastic liners & insulated material, proper control of static
electricity and accumulation of solvent concentrations in work areas.

29

Strengths of the Company:


Strict confidentiality and utmost secrecy are maintained through absolute adherence to the
nondisclosure clause;
Efficient supply chain management and optimal utilization of capacities, are ensured enabling
Aurobindo to pass on substantial cost benefits to its customers;
Sticking to set deadlines. For instance, the Company commercialized an API involving a 14step process with five chiral centers in just 13 weeks;
A huge library with syndicated databases is available and the latest software ensures quick
and efficient literature/patent survey and retrieval of information;
Multi-disciplinary project teams interface with the customers' right from the start to ensure a
seamless integrated approach. Their responsiveness enables rapid execution of projects;
Besides conforming to cGMP and cGLP due attention is given to safety, health and
environment aspects;
The Company has harnessed the latest in communication technology - a dedicated server for
on-line data processing, video conferencing, teleconferencing, etc. to ensure constant
communication throughout the life of the project;
A right mix of instrumentation and production expertise with due emphasis on profiling,
characterization of compounds and reduction in impurities, chiral resolution and impurity
profiling ensure the highest quality of deliverables and yield optimization;
The manufacturing infrastructure, the knowledge base at the research centers and the ability
to deal successfully with its process chemistry strengths are the forte of Aurobindo.

30

Career Growth at Aurobindo:


For Manufacturing Unit

For Management Level

Trainee Position

Trainee Position

Probation Period

Probation Period

Assistant S4

Assistant

Assistant S3

Sr. Assistant

Assistant S2

Executive

Assistant S1

Sr. Executive

Executive E1

Assistant Manger

Executive E2

Deputy Manger

Executive E3

Manger

Executive E4

Sr. Manger

Assistant Manger A.M

A.G.M

Deputy Manger D.M

D.G.M

Manager

G.M

Sr. Manager

A.V.P

Assistant General Manger - A.G.M

V.P

Deputy General Manger D.G.M


General Manager - GM
31

Associate Vice President A.V.P


Vice President
In all Aurobindo have good career opportunities for its employees and promotions are purely
based on the Performance and the experience.

Learning Sharing and Growing at Aurobindo:


Aurobindo is a hive of activity and employ over 9000+ people across its offices
and Manufacturing Units. It strives to provide its people with opportunities for professional
development and personal fulfillment. Though the process is driven by people focused
programs it is identifying competencies in order to build leadership skills by enhancing the
capabilities of its people at all levels and promoting skilled workforce to address the process
improvements, increase productivity and most importantly
Aurobindo strongly believes in the Employee communication and engagement
through periodic newsletters and emails. Twice a year, we conduct a town hall meeting for
employees of our API and Formulation units, In this senior managers listen to the group,
discuss ideas and new developments, set near and long term goals. It also encourages its
people to participate in CSR activities like adopting a tree, Medical Camps, Water Camps,
Womens Day, Water Harvesting programs
Aurobindo seriously Committed to provide intense learning and development
opportunities for its employees to ensure that they maximize their peoples potential in both
professional and personal life. A skill gap analysis has been introduced to understand the skills
that are to be imparted at every level. Once they identify the gaps the team provide with the
relevant training programs. It just doesnt stop at training programs but the journey continues
and strives to increase the scope of the training programs by Action learning Programs that
use the new skills and learning to execute real improvements in working of the company.
Aurobindo to increase its scope of its business activities, it created Cross-functional
teams for some of the critical business domains like quality and productivity and members for
this team are picked across all the divisions and oversee the companys shop floor and engage
their colleagues in improvising the processes
32

Aurobindo trusts that employee performance and contribution to the companys


overall growth. Appraisal are conducted periodically for senior management level
quarterly, setting ambitious goals

it is

by ensuring the salaries, incentives and benefits are

competitive and motivational.


Leadership development program an initiative taken by the management in partner
with leading consultancy firm aiming at providing the clarity, Mapping of functional and
behavioral skills and creates individual development plan. This initiative will cover middle and
top Management level positions across API and the Formulations.

Future Strategies of Aurobindo Pharma:


Strategic Acquisition:
Aurobindo Pharmas future growth is expected to come mainly from its international
operations. Therefore, the company plans to focus on the Europe and the US markets. It
intends to spend up to EUR 165 million on acquisitions, mainly in Europe, where it is
considering at least four to five acquisitions each in the range of EUR 15 to 40 million.This is
expected to provide the company a wide marketing presence in this region.
Focus on API sales:
In EU,Aurobindo Pharma will focus on the sales of API and dossiers, along with the finished
formulation contracts. It plans to acquire several generic pharmaceutical companies for
supplying API, and aims at marketing its own formulations to large distributors and generic
companies
Strengthening Marketing Infrastructure:
Aurobindo Pharma has concentrated its efforts on developing the infrastructure of its
manufacturing and R&D facilities across the globe.The company now intends to strengthen its
marketing infrastructure, in addition to its established manufacturing infrastructure in India. It
aims to increase profitability by manufacturing and supplying products from its own facilities.

33

Capitalizing on Patent Expiries:


In the next five years, patents worth several billion dollars are set to expire.The company plans
to benefit from the opportunity presented by capturing a sizeable portion of the market thus
created
Threats and Challenges:
Aurobindo is in a competitive market and the challenges are from both Indian manufacturers
who have similar production facilities as well as those in China and Europe. Human resources
with similar skills, talents and experiences in the industry are mobile between competing
companies. Yet, it must be appreciated that Indian manufacturers in general, and Aurobindo in
particular, have made an impact on the global stage and have worked hard to get shelf space.
Price sensitivities get tested in a crowded market where price tends to sag while volume
business gets done. Competing pharmaceutical companies have several similar bio-equivalent
products in the same market manufactured at facilities that have been approved by the highest
regulatory authorities. All of them stay focused on the same markets resulting in price elasticity
being tested and margins eroding.
The Company is a dominant player in the active ingredients business and has been
able to control its quality, save on timelines, control its costs and has the ability to deliver at
short notice. Pricing power i.e. the ability to price lower and yet manage to get higher return on
sales than the competitors, is a potent strength. This is a unique advantage that Aurobindo
enjoys over manufacturers across the world. So the Threat does not affect the Aurobindo
infact.

34

LITERATURE REVIEW

35

Successful human resource should identify human resource needs in the organization.
Once the needs are identified, the process of recruitment or acquisition function starts.
Recruitment is the discovering of potential candidates for actual or anticipated organizational
vacancies. Or, from another perspective, it is a linking activity bringing together those with jobs
to fill and those seeking job. The ideal recruitment effort will attract a large number of qualified
applicants who will take the job if it is offered. It should also provide information so that
unqualified applicants can self select themselves out of job candidacy; this is, a good recruiting
program should attract the qualified and not attract the unqualified. This dual objective will
minimize the cost of processing unqualified candidates

RECRUITMENT:
Introduction People are integral part of any organization today. No organization can run
without its human resources. In todays highly complex and competitive situation, choice of
right person at the right place at right time has far reaching implications for an organization s
functioning. An employee well selected and well placed would not only contribute to the
efficient running of the organization but also offer significant potential for future replacement.
Thus, hiring is an important function. The process of hiring begins with human resource
planning (HRP) which helps to determine the number and type of people an organization
needs. Job analysis and job design enables to specify the task and duties of jobs and
qualification expected from prospective job. HRP, job analysis and job design helps to identify
the kind of people required in an organization and hence hiring. It should be noted that hiring is
an ongoing process and not confined to formative stages of an organization. Employees leave
the organization in search of greener pastures, some retire and some die in the saddle. More
importantly an enterprises grows, diversifies, take over the other units all necessitating hiring of
new men and women. In fact the hiring function stops only when the organization ceases to
exist

Definition:
Recruitment According to Edwin B. Flippo, Recruitment is the process of searching
the candidate for employment and stimulating them to apply for jobs in the organization.
(Flippo, 1984) It is the activity which links the employer and the job seekers. According to
36

Yoder, Recruitment is a process to discover the sources of manpower to meet the


requirements of the staffing schedule and to employ effective measures for attracting that
manpower in adequate numbers to facilitate effective selection of an efficient working force.
Recruitment is the development and maintenance of adequate manpower resources. It
involves the creation of a pool of available labor upon whom the organization can draw when it
needs additional employees. (Beach, 1975) Thus, we can say that:
Recruitment is the activity that links the employers and the job seekers.
It is a process of finding and attracting capable applicants for employment. It 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 is 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 process whereby the firm attempts to develop a pool of
qualified applicants for the future human resources needs even though specific vacancies do
not exist. Usually, the recruitment process starts when a manger initiates an employee
requisition for a specific vacancy or an anticipated vacancy.
Purpose and Importance of Recruitment:
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.

37

Determine present and future requirements of the organization in conjunction with its
personnel planning and job analysis activities.
Recruitment is the process which links the employers 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 regarding the composition of its
workforce.
Begin identifying and preparing potential job applicants who will be appropriate candidates.
Increase organization and individual effectiveness of various recruiting techniques and
sources for all types of job applicants

Steps in Recruitment:
The process of recruitment can be divided into following steps:
Identification of job vacancy
Job Description and person specification
Advertise the vacancy
Manage the response
Short-listing
Arranging interview

38

The first step in recruitment process is requisition for recruitment by planning


department. The human resource department or its wing responsible for recruitment receives
information about the job vacancies to be filled. The details provided to recruitment people
contain information about:
Post to be filled
Number of people required
New vacancy or replacement etc
Job Description and Person Specification: Once the job vacancy has been identified, it is
important to understand the job for which a person is to be hired. It involves looking into the
duties to be performed, the qualifications required. One has to take holistic approach during
this stage, it is important that the job environment should also be taken into account. This
helps in understanding the person specification in terms of behavioral attributes rather than
just the technical parameters and qualifications. For example it is important to know whether
the job requires cross-functional approach which requires working in teams having people from
different departments and background which may be problematic for some people whereas for
some it may be the best condition.
Advertise the Vacancy: Once the job vacancy has been identified and the job description and
person specifications have been understood. It is important to advertise the vacancy, so as to
find the job seekers with relevant skills and qualifications. This is one of the most crucial
phases of recruitment where a recruiter has to strike a fine balance between the advertising
costs, the legal provisions and quality sources for recruitment. The recruitment team has to
identify appropriate sources of recruitment (which have been described in following text) and
manage the advertisements in judicious manner. It is important for the recruitment team to
comply with all legal provisions, and to build the employer s brand in job seekers. It is also
important to advertise the desired qualification and necessary qualifications in the clearest
term possible.
Managing Response: A carefully managed advertising campaign results in a large pool of
applicants with desired occupational and educational qualifications. Such a large pool of
39

applicants has to be managed for further short listing. This stage may involve scheduling of
candidates or informing them about next stage of recruitment, collecting more information
about applicants etc
Short listing of Applicants: After receiving the applications and details about applicants, a
short-listing has to be done in order to find people with most appropriate skills and
qualifications required for the job and to reject any under-qualified candidate. This stage helps
in saving a lot expenditure and time which is to be incurred in later stages of hiring. It also
increases the chances of finding the best fit for the job.

Sources of Recruitment
The sources of recruitment can be broadly classified into 2 types:
Internal sources of recruitment
External sources of recruitment

Internal Sources of Recruitment


1. TRANSFERS: The employees are transferred from one department to another according to
their efficiency and experience.
2. PROMOTIONS: The employees are promoted from one department to another with more
benefits and greater responsibility based on efficiency and experience.
3. UPGRADING AND DEMOTION: Upgrading and Demotion of present employees according
to their performance.
4. RETIRED AND RETRENCHED EMPLOYEES: Retired and Retrenched employees may
also be recruited once again in case of shortage of qualified personnel or increase in load of
work. Recruitment such people save time and costs of the organizations as the people are
already aware of the organizational culture and the policies and procedures
5. DEPENDANTS AND RELATIVES OF EMPLOYEES: The dependents and relatives of
Deceased employees and Disabled employees are also done by many companies so that the
members of the family do not become dependent on the mercy of others. 6. JOB POSTINGS:
40

Job vacancy can also be posted on company notice board for finding a suitable candidate from
within the organization

Advantages and Disadvantages of Internal Sources Of Recruitment


Advantages

Motivated

Disadvantages

employees

and Reduced scope for fresh talent.

Higher morale

Employees may become lethargic

Employees familiar with the if they are sure of time bound


organization

promotions

Higher probability of success

Spirit of competition may be

Industrial Peace

hampered

Relatively inexpensive

Frequent transfers of employees

Training and skill enhancement may reduce the overall productivity


of the organization.
Overcoming surpluses and
Political infighting for promotion
shortages

External Sources of Recruitment


PRESS ADVERTISEMENTS: Advertisements of the vacancy in newspapers and journals are
a widely used source of recruitment. The main advantage of this method is that it has a wide
reach.
EDUCATIONAL INSTITUTES: Various management institutes, engineering colleges, medical
Colleges etc. are a good source of recruiting well qualified executives, engineers, medical staff
etc. They provide facilities for campus interviews and placements. This source is known as
Campus Recruitment.
PLACEMENT AGENCIES: Several private consultancy firms perform recruitment functions
on behalf of client companies by charging a fee. These agencies are particularly suitable for
41

recruitment of executives and specialists. It is also known as RPO (Recruitment Process


Outsourcing)
EMPLOYMENT EXCHANGES: Government establishes public employment exchanges
throughout the country. These exchanges provide job information to job seekers and help
employers in identifying suitable candidates.
LABOUR CONTRACTORS: Manual workers can be recruited through contractors who
maintain close contacts with the sources of such workers. This source is used to recruit labor
for construction jobs.
UNSOLICITED APPLICANTS: Many job seekers visit the office of well-known companies on
their own. Such callers are considered nuisance to the daily work routine of the enterprise. But
can help in creating the talent pool or the database of the probable candidates for the
organization.
EMPLOYEE REFERRALS / RECOMMENDATIONS: Many organizations have structured
system where the current employees of the organization can refer their friends and relatives for
some position in their organization. Also, the office bearers of trade unions are often aware of
the suitability of candidates. Management can inquire these leaders for suitable jobs. In some
organizations these are formal agreements to give priority in recruitment to the candidates
recommended by the trade union.
RECRUITMENT AT FACTORY GATE: Unskilled workers may be recruited at
the factory gate these may be employed whenever a permanent worker is absent. More
efficient among these may be recruited to fill permanent vacancies.
PROFESSIONAL & TRADE ASSOCATIONS: Many associations provide placement
service to its members. It consists of compiling job seeker s lists and providing access to
members during regional or national conventions. Also, the publications of these associations
carry classified advertisements from employers interested in recruiting their members. These
are particularly useful for attracting highly educated, experienced or skilled personnel. Also, the
recruiters can zero on in specific job seekers, especially for hard-to-fill technical posts.
42

Advantages and Disadvantages of External Sources Of Recruitment


Advantages

Disadvantages

Qualified Personnel

Dissatisfaction

Wider Choice

staff

Fresh Talent

Competitive Spirit

adjustment period)

Lengthy

amongst
process

existing
(Increased

Costly Process
Uncertain Process

Factors Affecting Recruitment


The recruitment function of the organizations is affected and governed by a mix of
various internal and external forces. The internal forces or 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.

Factors affecting Recruitment Process


Internal

External

43

Recruitment Policy

Supply & Demand

Human Resource Planning

Labour Market

Size Of The Firm

Employers Brand/ Goodwill

Cost

Socio - Political - Legal Environment

Growth And Expansion

Competitors

Internal Factors
1. RECRUITMENT POLICY: The recruitment policy of an organization specifies the
objectives of recruitment and provides a framework for implementation of recruitment
strategy. It may involve organizational system to be developed for implementing
recruitment strategies and procedures by filling up vacancies with best qualified people.
The recruitment policies of an organization may be affected by following factors:
Organizational Objectives
Personnel policies of the organization
Government policies on reservation
Preferred sources of recruitment
Need of the organization
Recruitment costs and financial implications

2. HUMAN RESOURCE PLANNING: Effective human resource planning helps in determining


the gaps present in the existing manpower of the organization. It also helps in determining the
number of employees to be recruited and what qualification they must possess.

44

3. SIZE OF THE FIRM: The size of the firm is an important factor in recruitment process. If the
organization is planning to increase its operations and expand its business, it will think of
hiring more personnel, which will handle its operations.
4. COST: Recruitment incur cost to the employer, therefore, organizations try to employ that
source of recruitment which will bear a lower cost of recruitment to the organization for each
candidate.
5. GROWTH AND EXPANSION: Organization will employ or think of employing more
personnel if it is expanding its operations.

External Factors
1. SUPPLY AND DEMAND: The availability of manpower both within and outside the
organization is an important determinant in the recruitment process. If the company has a
demand for more professionals and there is limited supply in the market for the professionals
demanded by the company, then the company will have to depend upon internal sources by
providing them special training and development programs.
2. LABOUR MARKET: Employment conditions in the community where the organization is
located will influence the recruiting efforts of the organization. If there is surplus of manpower
at the time of recruitment, even informal attempts at the time of recruiting like notice boards
display of the requisition or announcement in the meeting etc will attract more than enough
applicants
3. EMPLOYERS BRAND/ GOODWILL: Image of the employer can work as a potential
constraint for recruitment. An organization with positive image and goodwill as an employer
finds it easier to attract and retain employees than an organization with negative image. Image
of a company is based on what organization does and affected by industry.
4. POLITICAL-SOCIAL- LEGAL ENVIRONMENT: Various government regulations prohibiting
discrimination in hiring and employment have direct impact on recruitment practices. For
example, if Government introduces legislation for reservation in employment for scheduled
castes, scheduled tribes, physically handicapped etc. it becomes an obligation for the

45

employer. Also, trade unions play important role in recruitment. This restricts management
freedom to select those individuals who it believes would be the best performers.
5. COMPETITORS: The recruitment policies of the competitors also affect the recruitment
function of the organizations. To face the competition, many a times the organizations have to
change their recruitment policies according to the policies being followed by the competitors.

Recent trends in recruitment


1. RECRUITMENT OUTSOURCING:
Recruitment outsourcing has emerged as one of the preferred solution for companies.
A company may draw required personnel from outsourcing firms. The outsourcing firms help
the organization by the initial screening of the candidates according to the needs of the
organization and creating a suitable pool of talent for the final selection by the organization.
Outsourcing firms develop their human resource pool by employing people for them and make
available personnel to various companies as per their needs. In turn, the outsourcing firms or
the intermediaries charge the organizations for their services.

2. POACHING/RAIDING:
Buying talent (rather than developing it) is the latest mantra being followed by the
organizations today. Poaching means employing a competent and experienced person already
working with another reputed company in the same or different industry; the organization might
be a competitor in the industry. A company can attract talent from another firm by offering
attractive pay packages and other terms and conditions, better than the current employer of
the candidate. But it is seen as an unethical practice and not openly talked about. Indian
software and the retail sector are the sectors facing the most severe brunt of poaching today. It
has become a challenge for human resource managers to face and tackle poaching, as it
weakens the competitive strength of the firm.

3. E-RECRUITMENT
46

E- Recruitment is the use of technology to assist the recruitment process. Many big
organizations use Internet as a source of E-Recruitment. They advertise job vacancies through
worldwide web. The job seekers send their applications or curriculum vitae i.e. CV through e
mail using the Internet. Alternatively job seekers place their CV s in worldwide web, which can
be drawn by prospective employees depending upon their requirements. The two kinds of erecruitment that an organization can use are
Job portals i.e. posting the position with the job description and the job specification on the

job portal and also searching for the suitable resumes posted on the site corresponding to the
opening in the organization.
Creating a complete online recruitment/application section in the companys own website.

Companies have added an application system to in their website, where the passive job
seekers can submit their resumes into the database of the organization for consideration in
future, as and when the roles become available.
4. RECRUITMENT STRATEGIES:
Recruitment is of the most crucial roles of the human resource professionals. The level
of performance of an organization depends on the effectiveness of its recruitment function.
Organizations have developed and 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 elements:
1. Identifying and prioritizing jobs: Requirements keep arising at various levels in every
organization; it is almost 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 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:
47

Performance level required: Different strategies are required for focusing on hiring high
performers and average performers.
Experience level required: the strategy should be clear as to what is the experience level
required by the organisation. The candidate s experience can range from being a fresher to
experienced senior professionals 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)
of recruitment. Which are the sources to be used and focused for the recruitment purposes for
various positions? Employee referral is one of the most effective sources of recruitment.
4. Trained recruiters: The recruitment professionals conducting the interviews and the other
recruitment activities should be well-trained and experienced to conduct the activities. They
should also be aware of the major parameters and skills (e.g.: behavioral, technical etc.) to
focus while interviewing and selecting a candidate.
5. How to evaluate the candidate: 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, written tests, psychometric tests etc

SELECTION:

48

The selection process is a decision making process. This step consists of a number of
activities. A candidate who fails to qualify for a particular step is not eligible for appearing for
the subsequent step. Employee Selection is the process of putting right men on right job. It is a
procedure of matching organizational requirements with the skills and qualifications of people.
Effective selection can be done only when there is effective matching. By selecting best
candidate for the required job, the organization will get quality performance of employees.
Moreover, organization will face less of absenteeism and employee turnover problems. By
selecting right candidate for the required job, organization will also save time and money.
Proper screening of candidates takes place during selection procedure. All the potential
candidates who apply for the given job are tested. The process of selection starts with
preliminary interview of candidates and ends with contract of employment. Following are the
steps which are generally involved in any selection process:

Preliminary Interview:
The applications received from job seekers are subjected to scrutiny, so as to eliminate
unqualified applicants. This is usually followed by a preliminary interview the purpose of which
is more or less the same as scrutiny of application, that is, eliminate of unqualified applicants.
Scrutiny enables the HR specialists to eliminate unqualified jobseekers based on the
information supplied in their application forms. Preliminary interview, on the other hand, helps
reject misfits for reason, which did not appear in the application forms. Besides, preliminary
interview, often called courtesy interview, is a good public relation exercise. 1.2.2 Selection
Test Job seekers who pass the screening and the preliminary interview are called for tests.
Different types of tests may be administered, depending on the job and the company.
Generally, tests are used to determine the applicant s ability, aptitude and personality.
Following are the types of tests which may be used:
1. Ability test: Assists in determining how well an individual can perform tasks related to the
job. An excellent illustration of this is the typing tests given to a prospective employee for
secretarial job. Also called as ACHEIVEMENT TESTS . It is concerned with what one has
accomplished. When applicant claims to know something, an achievement test is taken to
measure how well they know it. Trade tests are the most common type of achievement test
given. Questions have been prepared and tested for such trades as asbestos worker, punch49

press operators, electricians and machinists. There are, of course, many nonstandardized
achievement tests given in industries, such as typing or dictation tests for an applicant for a
stenographic position.
2. Aptitude test: Aptitude tests measure whether an individual has the capacity or latent
ability to learn a given job if given adequate training. The use of aptitude test is advisable when
an applicant has had little or no experience along the line of the job opening. Aptitudes tests
help determine a persons potential to learn in a given area. An example of such test is the
general management aptitude tests (GMAT), which many business students take prior to
gaining admission to a graduate business school programme. Aptitude test indicates the ability
or fitness of an individual to engage successfully in any number of specialized activities. They
cover such areas as clerical aptitude, numerical aptitude, mechanical aptitude, motor coordination, finger dexterity and manual dexterity. These tests help to detect positive-negative
points in a persons sensory or intellectual ability. They focus attention on a particular type of
talent such as learning or reasoning in respect of a particular field of work. They can be of
three types which are as follows:
Mental or Intelligence Test: They measure the overall intellectual ability of a person and
enable to know whether the person has the mental ability to deal with certain problems.
Mechanical Aptitude Test: They measure the ability of a person to learn a particular type of
mechanical work. These tests helps to measure specialized technical knowledge and problem
solving abilities if the candidate. They are useful in selection of mechanics, maintenance
workers, etc.
Psychomotor or Skill Test: They are those, which measure a person s ability to do a specific
job. Such tests are conducted in respect of semiskilled and repetitive jobs such as packing,
testing and inspection, etc.
3. Intelligence test: This test helps to evaluate traits of intelligence. Mental ability, presence of
mind (alertness), numerical ability, memory and such other aspects can be measured. The
intelligence test is probably the most widely administered standardized test in industry. It is
taken to judge numerical, skills, reasoning, memory and such other abilities.

50

4. Interest Test: This is conducted to find out likes and dislikes of candidates towards
occupations, hobbies, etc. such tests indicate which occupations are more in line with a
persons interest. It is used to measure an individual s activity preferences. This test is
particularly useful for students considering many careers or employees deciding upon career
changes. Such tests also enable the company to provide vocational guidance to the selected
candidates and even to the existing employees.
5. Personality Tests: It is conducted to judge maturity, social or interpersonal skills, behaviour
under stress and strain, etc. this test is very much essential on case of selection of sales force,
public relation staff, etc. where personality plays an important role.
6. Projective Tests: This test requires interpretation of problems or situations. For example, a
photograph or a picture can be shown to the candidates and they are asked to give their views,
and opinions about the picture.
7. Graphology Test: It is designed to analyze the handwriting of individual. It has been said
that an individuals handwriting can suggest the degree of energy, inhibition and spontaneity,
as well as disclose the idiosyncrasies and elements of balance and control. For example, big
letters and emphasis on capital letters indicate a tendency towards domination and
competitiveness. A slant to the right, moderate pressure and good legibility show leadership
potential.
8. Perception Test: At times perception tests can be conducted to find out beliefs, attitudes,
and mental sharpness.etc.
9. General Knowledge Test: days G.K. Tests are very common, they are used for finding
general awareness of the candidates in the field of sports, politics, world affairs, current affairs.
10. Polygraph Test: Polygraph is a lie detector, which is designed to ensure accuracy of the
information given in the applications. Department store, banks, treasury offices and jewellery
shops, that is, those highly vulnerable to theft or swindling may find polygraph tests useful.

Interview:
The next step in the selection process is an interview. Interview is formal, in-depth
conversation conducted to evaluate the applicant s acceptability. It is considered to be
51

excellent selection device. It is face-to-face exchange of view, ideas and opinion between the
candidates and interviewers. Basically, interview is nothing but an oral examination of
candidates. Interview can be adapted to unskilled, skilled, managerial and profession
employees. Interviews can be of various types depending upon the setting, number of
interviewers, structuring. Some of them are as follows:
1. Non- Directive Interview: Non-directive interview or unstructured interview is designed to
let the interviewee speak his mind freely. The interviewer has no formal or directive questions,
but his all attention is to the candidate. He encourages the candidate to talk by a little prodding
whenever he is silent e.g. Mr. Ray, please tell us about yourself after your graduation from
high school. The idea is to give the candidate complete freedom to sell himself, without the
encumbrances of the interviewers question. But the interviewer must be of higher calibre and
must guide and relate the information given by the applicant to the objective of the interview.
2. Stress Interview: It is designed to test the candidate and his conduct and behaviour under
conditions of stress and strain. The interviewer may start with Mr. Joseph, we do not think
your qualifications and experience are adequate for this position, and watch the reaction of
the candidates. A good candidates will not yield, on the contrary he may substantiate why he is
qualified to handle the job. This type of interview is borrowed from the Military organisation and
this is very useful to test behaviour of individuals when they are faced with disagreeable and
trying situations.
3. Panel Interview: A panel or interviewing board or selection committee may interview the
candidate, usually in the case of supervisory and managerial positions. This type of interview
pools the collective judgment and wisdom of the panel in the assessment of the candidate and
also in questioning the faculties of the candidate.
4. Structured Interview: A panel or interviewing board or selection committee may interview
the candidate, usually in the case of supervisory and managerial positions. This type of
interview pools the collective judgment and wisdom of the panel in the assessment of the
candidate and also in questioning the faculties of the candidate.
5. Unstructured Interview: It is also known as Un-patterned interview, the interview is
largely unplanned and the interviewee does most of the talking. Unstructured interview is
52

advantageous in as much as it leads to a friendly conversation between the interviewer and


the interviewee and in the process, the later reveals more of his or her desire and problems.
But the Unstructured interview lacks uniformity and worse, this approach may overlook key
areas of the applicants skills or background. It is useful when the interviewer tries to probe
personal details of the candidate it analyse why they are not right for the job.
6. Mixed Interview: In practice, the interviewer while interviewing the job seekers uses a blend
of structured and unstructured questions. This approach is called the Mixed Interview. The
structured questions provide a base for interview whereas unstructured questions permit
greater insights into the unique differences between applicants.
7. Dinner Interview: These interviews may be structured, informal, or socially situated, such
as in a restaurant. Decide what to eat quickly, some interviewers will ask you to order first (do
not appear indecisive). Avoid potentially messy foods, such as spaghetti. Be prepared for the
conversation to abruptly change from friendly chat to direct interview questions, however, do
not underestimate the value of casual discussion, some employers place a great value on it.
Be prepared to switch gears rapidly, from fun talk to business talk.
8. Telephonic Interview: On many occasions when it is not possible to arrange face to face
interview with the candidates, telephonic interviews are used by companies. A candidate
should be ready for such interview and can do following preparations. Have a copy of your
resume and any points you want to remember to say nearby. If you are on your home
telephone, make sure that all roommates or family members are aware of the interview (no
loud stereos, barking dogs etc.). Speak a bit slower than usual. It is crucial that you convey
your enthusiasm verbally, since the interviewer cannot see your face. If there are pauses, do
not worry; the interviewer is likely just taking some notes.
9. Reference Test: Many employers request names, addresses, and telephone numbers of
references for the purpose of verifying the information and perhaps, gaining additional
background information on an applicant. Although listed on the application form, references are
not usually checked until an applicant has successfully reached the fourth stage of a
sequential selection process. When the labour market is very tight, organisations sometimes
hire applicants before checking references. Previous employers, known public figures,
university professors, neighbours or friends can act as references. Previous employers are
53

preferable because they are already aware of the applicant s performance. But, the problem
with this reference is the tendency on the part of the previous employers to over-rate the
applicants performance just to get rid of the person.
Organisations normally seek letter of reference or telephone references. The latter is
advantageous because of its accuracy and low cost. The telephone reference also has the
advantage of soliciting immediate, relatively candid comments and attitude can sometimes be
inferred from hesitations and inflections in speech.

Selection decision:
After obtaining information through the preceding steps, selection decision (the most critical of
all the steps) must be made. The other stages in the selection process are meant for narrowing
down the number of the candidates. The final decision has to be made from pool of individuals
who pass the tests, interviews and reference checks. The view of the line manager is generally
considered in the final selection because it is he/she who is responsible for the performance of
the new employee. The supervisor is better able to evaluate the applicant's technical
capabilities and is in a better position to answer the interviewee's job-related questions.
Further, the supervisor's personal commitment to the success of the new employee is higher if
the supervisor has played a role in the hiring decision.
In fact, in a majority of firms, the supervisor has the authority to make the final hiring
decision. In these cases, it is the role of the HR department to do the initial screening and to
ensure that hiring does not violate laws such as Human Rights legislation or Labour legislation.
This step may or may not be followed be followed by realistic job previews which involves
showing the applicant(s) the job site in order to acquaint them with the work setting, commonly
used equipment, and prospective co-workers . The realistic job preview is intended to prevent
initial job dissatisfaction with a job by presenting a realistic view of the job. Research shows
that job turnover is lower when realistic job previews are used.

Physical Examination:

54

After the selection decision and before the job offer is made, the candidate is required to
undergo a physical fitness test. A job offer is, often, contingent upon the candidate being
declared fit after the physical examination. The results of the medical fitness test are recorded
in a statement and are preserved in the personnel records. There are several objectives
behind a physical test. Obviously, one reason for a physical test is to detect if the individual
carries any infectious disease. Secondly, the test assists in determining whether an applicant is
physically fit to perform the work. Thirdly, the physical examination information can be used to
determine if there are certain physical capabilities, which differentiate successful and less
successful employees. Fourth, medical check-up protects applicants with health defects from
undertaking work that could be detrimental to them or might otherwise endanger the
employers property. Finally, such an examination will protect the employer from workers
compensation claims that are not valid because the injuries or illness were present when the
employee was hired.

Job Offer:
The next step in the selection process is job offer to those applicants who have crossed all the
previous hurdles. Job offer is made through a letter of appointment. Such a letter generally
contains a date by which the appointee must report on duty. The appointee must be given
reasonable time for reporting. This is particularly necessary when he or she is already in
employment, in which case the appointee is required to obtain a relieving certificate from the
previous employer. Again, a new job may require movement to another city, which means
considerable preparation, and movement of property.

Contract of Employment:
55

After the job offer has been made and the candidate accepts the offer, certain documents
need to be executed by the employer and the candidate. One such document is the attestation
form. This form contains vital details about the candidate, which are authenticated and attested
by him/her. Attestation form will be a valid record for the future reference. There is also a need
for preparing a contract of employment. The basic information that should be included in a
written contract of employment will vary according to the level of the job, but the following
checklist sets out the typical headings:
1. Job title
2. Duties, including a parse such as The employee will perform such duties and will be
responsible to such a person, as the company may from time to time direct.
3. Date when continuous employment starts and the basis for calculating service.
4. Rate of pay, allowance, overtime and shift rates, method of payments.
5. Hours of work including lunch break and overtime and shift arrangements.
6. Holiday arrangements:
i. Paid holidays per year.
ii. Calculation of holiday pay.
iii. Qualifying period.
iv. Accrual of holidays and holiday pay.
v. Details of holiday year.
vi. Dates when holidays can be taken.
vii. Maximum holiday that can be take at any one time.
viii. Carryover of holiday entitlement.
ix. Public holidays.
7. Length of notice due to and from employee.
56

8. Grievances procedure (or reference to it).


9. Disciplinary procedure (or any reference to it).
10. Work rules (or any reference to them).
11. Arrangements for terminating employment.
12. Arrangements for union membership (if applicable).
13. Special terms relating to rights to patent s and designs, confidential information and
restraints on trade after termination of employment.
14. Employers right to vary terms of the contract subject to proper notification being given.
Alternatively called employment agreements or simply bonds, contracts of employment
serve many useful purposes. Such contracts seek to restrain job-hoppers, from disclosing
knowledge and information that might be vital to a companys healthy bottom line and to
prevent competitors from poaching highly valued employees. Great care is taken while drafting
of contract forms. Often, services of law firms are engaged to get the forms drafted and
finalized. Most employers insist on agreements being signed by newly hired employees. But
high turnover sectors such as software, advertising and media are more prone to use
contracts.

Review of Hiring Process:


After completing the hiring, the process ought to be evaluated. Here are some considerations
in the evaluation:
What about the number of initial applicants? Were there too many applicants? Too few?
Does the firm need to think about changing its advertisement and recruiting to get the result
desired?
What was the nature of the applicants' qualifications? Were the applicants too qualified? Not
qualified enough? Perhaps the advertisement needs to be reworded to attract more
appropriate candidates. In this case, using a job description can help.

57

How cost-effective was the advertising? A simple way to measure is to divide the cost (not
only in dollars but in your time) by either the number of total applicants or the number of
applicants that you considered seriously.
Were there questions that needed to be asked but weren't?
How well did the interviewers do? One way to determine this is to ask the new employee to
critique the interviewing process.
Did employment tests support or help the hiring decision? If not, maybe the firm will have to
reconsider the kinds of tests it is administering. Further, the evaluation process should help the
firm decide if the cost and time involved in the testing is worth it. Would you have come to the
same hiring decision without testing?

Types of job seekers:


1. Quid-Pro-Quo: These are the people who say that I can do this for you, what can you
give me These people value high responsibilities, higher risks, and expect higher
rewards, personal development and company profiles doesn t matter to them.
2. I-will-be-with-you: These people like to be with big brands. Importance is given to
brands. They are not bothered about work ethic, culture mission etc.
3. I-will-do-you-what-you-want: These people are concerned about how meaningful the
job is and they define meaning parameters criteria known by previous job.
4. Where-do-you-want-me-to-come: These people observe things like where is your
office, what atmosphere do you offer. Career prospects and exciting projects don t
entice them as much. It is the responsibility of the recruiter to decide what the employee
might face in given job and thus take decision. A good decision will help cut down
employee retention costs and future recruitment costs.

58

FINDINGS & DATA ANALYSIS

59

Data Analysis: In grasping the contrast behavior of the traditional an contemporary practices
at Aurobindo. The data was classified into Contemporary and Traditional
In Contemporary: Job Portals and Employee Data base
In Traditional: Internal Reference and Auroparichay
Case 1: Contemporary
Case 2: Traditional
Sample: 322
Duration: October 2014 March 2015
Statistical Tool used: Chi square and Annova
Chi Square: It defines the behavior of the data, whether the data draws any relation between
them are not
Annova: It defines significance of the data and also defines the scope for the data.

Statistics

Job

Employee

Internal

Auroparicha Consultanc

Portals

data base

Reference

Total

Valid

108

17

131

47

19

322

Missing

214
3.64
1.249
1.560

305
3.24
.903
.816

191
3.67
1.126
1.268

275
3.36
1.169
1.366

303
3.47
1.073
1.152

0
3.59
1.163
1.352

Mean
Std. Deviation
Variance

60

61

62

Hypothesis:
H0 = Job portal and Contemporary do not depend on each other
H1 = job portal and Contemporary depend on each other
H0 = Employee data base and Contemporary do not depend on each other
H1 = Employee data base and Contemporary depend on each other

Test Statistics
Job Portals
Chi-Square
Df
Asymp. Sig.

64.444
5
.000

Employee data base


7.235b
3
.065

Hypothesis:
H0 = Internal reference and Traditional do not depend on each other
H1 = Internal reference and Traditional depend on each other
H0 = Auroparichay and Traditional do not depend on each other
H1 = Auroparichay and Traditional depend on each other
Test Statistics
Internal Reference
Chi-Square
Df
Asymp. Sig.

47.893
4
.000

Auroparichay
28.638b
4
.000

Hypothesis:
H = There are no significant differences
63

H = There are significant differences

Chi-Square Tests
Value

Asymp. Sig. (2sided)

df

31.849a

16

.010

Likelihood Ratio

31.966

16

.010

Linear-by-Linear
Association

2.212

.137

N of Valid Cases

178

Pearson Chi-Square

Hypothesis:
H = There are no significant difference existed between Contemporary and requirement
H = There are Significant differences exited

Chi-Square Tests
Value
Pearson

Df

Chi- 14.038 20

Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases

Asymp. Sig. (2-sided)


.829

15.729 20
.209
1

.733
.648

125

ANOVA
Sum
Job Portals

Between

of

Mean

Squares

df

Square

Sig.

4.289

1.072

.695

.597

103

1.543

107
4

.113

.107

.978

Groups
Within Groups 158.896
Employee
base

Total
data Between

163.185
.452

64

Groups
Within Groups 12.607

12

Total

16

13.059

1.051

ANOVA
Sum

of df

Squares
Internal

Between

Reference

Groups

Auroparichay

Mean

Sig.

3.527

.009

.241

.913

Square

16.604

4.151

Within Groups 148.282

126

1.177

Total
Between

130
4

.353

Within Groups 61.439

42

1.463

Total

46

164.885
1.412

Groups
62.851

ANOVA
Sum

Mean

Squares

df

Square

Sig.

3.512

.878

.589

.671

120

1.490

182.368
18.034

124
4

4.508

3.661

.007

Within Groups 213.028

173

1.231

Total

177

CONTEMPORA Between
RY

of

Groups
Within Groups 178.856

Total
TRADITIONAL Between
Groups

231.062

65

Hypothesis:
Ho = c = T
H1 = c T
ANOVAb
Sum
Model
1

Squares

of
Df

Mean Square F

Sig.

Regression 2.827

1.414

.375a

Residual

174.405

122

1.430

Total

177.232

124

.989

a. Predictors: (Constant), Contemporary, Traditional


b. Dependent Variable: Total

Chi Square:
Table 1:
p = 0.05, significant value for the job portals is 0.0001 which is p > 0.0001 so hence null
hypothesis is rejected
p = 0.05, significant value for the employee data base is 0.065 which is p < 0.065, hence null
hypothesis is accepted

Table 2
p = 0.05, significant value for the internal reference is 0.0001 where p > 0.0001 so hence null
hypothesis is rejected
p = 0.05, significant value for the Auroparichay is 0.0001 where p > 0.0001 so hence null
hypothesis is rejected.

Table 3:
p = 0.05, significant value for the Contemporary is .829, where p > 0.829, so hence null
hypothesis is rejected
66

p = 0.05, significant value for the Traditional is 0.010, where p > 0.010, so hence null
hypothesis is accepted.

Annova:
Table 1:
p = 0.05, significant value for the Job portals and employee data base the significance for both
of the is equal to .597 and .978 where both are greater than .05 and hence both are not
significant.

Table 2:
p = 0.05, significant value for the internal reference and Auroparichay is 0.09 and 0.913where
internal reference is less than 0.05 hence it is effective and Auroparichay is greater than 0.05
and hence it is not significant

Table 3:
p = 0.05, significant value for the traditional practices and contemporary practices is 0.007
and .671where traditional practices is less than 0.05 and hence is significant and
Contemporary is .671 and hence is not significant
Table 4:
Null hypothesis is rejected since significant value is greater than 0.05.

67

FINDINGS:
1. From the data one can infer that the internal referrals are more compared to other
2.
3.
4.
5.
6.
7.
8.
9.

sources from the raw data.


Also can be inferred that Job Portals occupy the second place from the raw data.
Employees in the organization are pretty satisfied with the policies.
From job portals more number of production requirements are closed.
From Internal references more number of production requirements are closed.
From the Auroparichay more number of production requirements are closed.
From the Employee Data Base more number of production requirements are closed.
From the consultancies more number of more number of Q.A positions are closed.
The data is taken between the period October 2014 to March 2015 for the departments

Q.C, Q.A, PPIC, Production and EHS.


10. Chi square statistic for the contemporary and the Traditional practices, describes
traditional approach of the organization might influence the selection process in
selecting a candidate into the organization.
11. Chi Squre statistic of Job portal and employee data base shows that there has been
no relation has been drawn. It can be interpreted that both the sources are independent
and show that effectiveness on the process of recruitments.
12. Chi square statistic of internal reference and Auroparichay shows that has been relation
and it can be interpreted as as a whole the traditional approach in recruitment process
shows the effectiveness on the process.
13. So shifting the organization to Contemporary process oriented will enhance the scope
of the Process as Job poral and employee data base do not have any common thread.
14. Annova statistic of Contemporary to Traditional practices, Traditional practices will be
more effective compared to contemporary practices.
68

15. Both job portals and Employee data base will not be effective on the current
recruitment practices.
16. Internal referrals will be effective compared with Auroparichay.

CONCLUSIONS

69

CONCLUSIONS:
It is opaquely anticipated that traditional approach tops the table, Data after processing
also exhibited the similar tendencies.
Chi square static clearly denied the dependency between the Employee data base and
the Contemporary approach, the organization have a good gap to develop itself in this
specified area. So it straightly points out that the organization should strive for building
up good candidates data base, so the company might reduce its recruitment cost.
From the Data it is also observed that, Internal Reference tops the list, which means the
employees working in the organization are satisfied the most.
There has been a huge contrasting difference existed between the traditional and
contemporary approaches to the recruitments. The difference in means in both of the
approaches is huge. There is an eminent necessity in reducing the gap for a better
momentum in the growth.
Pre processed data, which is presumed to show contrasting behavior, analyzed data
resulted in proving the significant differences in Contemporary approach with respect to
the Traditional approach resulting in no differences existed.

BIBILOGRAPHY:
1. Beach, D. S. (1975). Personnel : the management of people at work. New York:
Macmillan.
2. Flippo, E. B. (1984). Personnel Management (Sixth Edition ed.). (K. A. Meyer, Ed.)
Singapore: Mc Graw- Hill Book Company.
70

3. Nair, N.G. and Nair, Latha. (2004). Personnel Management and Industrial Relations, S.
Chand
4. http://www.citehr.com/128473-hr-challenges-retail.html
5. http://www.managementstudyguide.com/employee-selection-process.htm
6. http://economictimes.indiatimes.com/articleshow/2726034.cms
7. www.aurobindopharma.com
8. www.ibef.com/pharmaceuticals
9. Pharmaceuticals.gov.in
10. Chemicals.nic.in/pharma

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