A STUDY ON

RECRUITMENT AND SELECTION PRACTICES

With reference to

“RENAULT” VISAKHAPATNAM.

A project Report submitted Jawaharlal Nehru Technology University, Gurajada,

Vijayanagaram, in Partial fulfilment for the Award of Degree of

MASTER OF BUSINESS ADMINISTRATION

by

BANISETTI CHANDINI
(Regd.No.22NM1E0011)

Under the guidance of

Dr. S. RAMESH

MBA, Ph. D

ASSOCIATE PROFESSOR & HEAD OF THE DEPARTMENT

DEPARTMENT OF MANAGEMENT STUDIES

VIGNAN’S INSTITUTE OF ENGINEERING FOR WOMEN(AUTONOMOUS)

(Approved by AICTE, Affiliated to JNTUG, Vijayanagaram)

Kapujagarajupeta, VSEZ(Post), Vishakapatnam-530049, A.P(2022-2024)

 DECLARATION

I BANISETTI CHANDINI do here by solemnly declare that the project entitled

“A study on recruitment and selection practices” with reference through Renault,
Visakhapatnam Submitted by me is a bona-fide work done by me is not submitted to
any other university or published any time before.

This project work is a partial fulfilment of the requirements for the award of degree
of MASTER OF BUSINESS ADMINISTRATION by JNTUG, Vijayanagaram for the year of
2022-2024.

Place: Visakhapatnam. BANISETTI.CHANDINI

Date: Reg.no:22NM1E0011
 ACKNOWLEDGEMENT

I wish to express my heart full thanks to Mr. Shri G. SURESH KUMAR, IIS director and head of
regional unit Andhra Pradesh for giving me the opportunity to undertake the project work.

I thankful Professor Dr. B. Arundhathi., Principal, for extending his utmost support and I
Thankful to professor DR. B. T. Ramakrishna Dean of administration for his cooperation in
providing all their provisions for the successful completion of the project.

I am indeed very grateful to Dr. S. RAMESH Associate Professor and Head of the Department
for his ever willingness to share his valuable knowledge and constantly inspiring us through
suggestions.

I would like to extend my sincere thanks to my guide Dr. S. RAMESH Associate Professor,
VIGNAN’S INSTITUTE OF ENGINERING FOR WOMEN for the timely advice and
guidance throughout the project.

I am extremely grateful to my parents and friends for their full cooperation and valuable help
to complete this work. Last but not the least I thank one and all that rendered help to me
directly and indirectly in completion of this project work.

BANISETTI CHANDINI
(Regd. No:22NM1E0011)
 VIGNAN’S INSTITUTE OF ENGINEERING FOR WOMEN
DEPARTMENT OF MANAGEMENT STUDIES

CERTIFICATE

Reg.No:22NM1E0011

This is to certified that the project work entitled “A STUDY ON RECRUITMENT AND
SELECTION PRACTICES” with reference to “RENAULT” VISAKHAPATNAM is a bona-fide work
done by BANISETTI CHANDINI (Reg No.22NM1E0011). In partial fulfilment of the
requirements for the award of the degree of Master of Business Administration by JNTUG,
Vijayanagaram, Andhra Pradesh.

Internal Project Guide Head of the Department

External project guide

 PREFACE
MBA is stepping stone to management career. In order to achieve practical,
positive and concrete results the classroom learning need to be effectively
needed to the realities of the situation existing outside the classroom. This is
particularly true of management.

As per my specialization namely HUMAN RESOURCE MANAGEMENT. I got a

chance to have exposure in either. When I was permitted to do my project work in
RENAULT, VISAKAHAPTNAM, I felt I got a right platform to enhance my
knowledge.

To develop healthy managerial and administrative skill in potential managers, it is

necessary that theoretical knowledge must be supplemented with exposure to a real
environment. Actually, it is a life for management itself realized. It removes hesitation.
The objective of the project is to make the student to go into the deep of the particular
situation and to realize how difficult the scenario is. It gives the practical
understanding to researcher about the situation. Research is always very important in
every field.

This project contains 5 chapters. Chapter-1 includes the Introduction of recruitment

and selection, need, objectives, methodology and limitations. Chapter-2 explains the
industry profile, and company profile. Chapter-3 covers the theoretical frame work of
the recruitment and selection, Chapter-4 Presents the analytical study and
interpretation of the project. Chapter-5 includes summary, findings and suggestions
and conclusion.

I am extremely grateful to my parents and friends for their full cooperation and
valuable help to complete this work. Last but not the least. I thank one and all that
rendered help to me directly and indirectly of this project work.

I thank all the those who contributed directly and indirectly in successful carrying out
this work.
 CONTENTS

CHAPTER - 1
 INTRODUCTION
 NEED FOR THE STUDY
 OBJECTIVES OF THE STUDY
 METHODOLOGY
 LIMITATIONS

CHAPTER -2
 INDUSTRY PROFILE
 COMPANY PROFILE

CHAPTER -3
 THEORETICAL FRAME WORK

CHAPTER -4
 DATA ANALYSIS AND INTERPRETATION

CHAPTER -5
 SUMMARY
 FINDINGS
 SUGGESTIONS
 CONCLUSION

 ANNEXURES
 QUESTIONNAIRE
 BIBLIOGRAPHY
CHAPTER -1
 1.1 INTRODUCTION

Human Resource Management: It is the process of recruitment and selecting

employee, providing orientation and induction, training and development,
assessment of employee (performance of appraisal), providing compensation and
benefits, motivating, maintaining proper relations with employees and with trade
unions, maintaining employee’s safety, welfare and health measures in
compliance with labour laws of the land.

Even though the machines and technology are replacing human resources, still
the company needs qualified professionals to further develop technology and to
control them most effectively and to bring out maximum productivity.

Human: refers to the skilled workforce in the organization.

Resource: refers to limited availability or scarceness.

Management: refers How to optimize and make best use of such limited and a
scarce resource so as to meet the ordination goals and objectives.

Altogether, human resource management is the process of proper and maximizes

utilization of available limited skilled workforce. The core purpose of the human
resource management is to make efficient use of existing human resource in the
organization. The Best example at present situation is, construction industry has
been facing serious shortage of skilled workforce. It is expected to triple in the
next decade from the present 30 per cent, will negatively impact the overall
productivity of the sector, warn industry experts. Every organization’s desire is to
have skilled and competent people to make their organization more effective than
their competitors. Humans are very important assets for the organization rather
than land and buildings, without employees (humans) no activity in the
organisation can be done. Machines are meant to produce more goods with good
quality but they should get operated by the human only.

Many great scholars had defined human resource management in different ways
and with different words, but the core meaning of the human resource

1
management deals with how to manage the people and how to handle the
situations.

Flippo defines- HRM as “planning, organizing, directing, controlling of

procurement, development, compensation, integration, maintenance and
separation of human resources to the end that individual, organizational and social
objectives are achieved.”
The National Institute of Personal Management (NIPM) of India has defined
human resources – personal management as “that part of management which is
concerned with people at work and with their relationship within an enterprise. Its
aim is to bring together and develop into an effective organization of the men and
women who make up enterprise and having regard for the well – being of the
individuals and of working groups, to enable them to make their best contribution
to its success”.
According to DeCenzo and Robbins, “HRM is concerned with the people
dimension” in management. Since every organization is made up of people,
acquiring their services, developing their skills, motivating them to higher levels
of performance and ensuring that they continue to maintain their commitment to
the organization is essential to achieve organisational objectives. This is true,
regardless of the type of organization – government, business, education, health or
social action”.

Recruitment and selection:

Recruitment and Selection is an important operation in HRM, designed to

maximize employee strength in order to meet the employer's strategic goals and
objectives. In short, Recruitment and Selection is the process of sourcing,
screening, short listing and selecting the right candidates for the filling the
required vacant positions.

2
Recruitment and selection refer to the chain and sequence of activities pertaining
to recruitment and selection of employable candidates and job seekers for an
organization. Every enterprise, business, start-up and entrepreneurial firm has
some well-defined employment and recruitment policies and hiring procedures.
The human resources department of labia for two reasons: First, under the existing
legal conditions, when an industrial worker is discharged, and industrial dispute
can be raised by the workman in regard to such discharge and the Labor Court
adjudicating such disputes would determine whether the termination of service
was justified and to order reinstatement if such order was appropriate .Secondly,
the chances of mismatching the job and the person are much higher in India, under
the present labour market conditions in India, the employee’s choice is very much
limited and he will accept any job irrespective of his suitability. Under these
conditions, the pressure to properly match man to job is only one-sided, that is,
from employer’s side only.

Planning for Human Resource is more important than planning for other resource
a demand for the management of human resource hardly begins from human
resource planning. In fact, it is the basis for most of the other functions.

An integrated approach to performing the planning aspects of the personnel

functions in order to have a sufficient supply of adequately developed and
motivated people to perform the duties and tasks required to meet organizational
objectives and satisfy the individual needs and goals of organizational members.

3
 1.2 NEED FOR THE STUDY

 The generally purpose of recruitment is to provide a pool of potentially

qualified job candidates Specifically, the purpose is to.

 Determine the present and future requirement of the organization in

conjunction with its personnel planning and job analysis activities.

 Increase the job pool of job candidates at minimum cost

 Help to increase the success rate of the selection process by reducing the
number visibly under qualified or job application.

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

 Being identifying and preparing potential job applicants who will be

appropriate candidates.

 Increase organizational effectiveness in the short and long term

 Evaluation of the effectiveness of various recruiting techniques and sources

for all types of job applicants.

 Recruitment is the discovering of potential candidates for actual or anticipated

organizational vacancies.

4
 1.3 OBJECTIVES OF THE STUDY
 To study the current Recruitment and Selection system of the Renault.

 To find out the Recruitment dimensions relevant to the strategic plan of the
Renault.

 To identify the potential areas for the scope of improvement in the current
system and thereby in the organizational Recruitment.

 To study the implications of an effective Recruitment and Selection system on

the productivity of employees and the organizational Recruitment as a whole.

 To know the perception of the employees regarding present Recruitment and

Selection method followed in the Renault.

 To give suggestions when required.

 To recruit and retain the human resource of required of required quantity and
quality.
 To foresee the employee’s turnover and the arrangements for minimizing
turnover and filing up of consequent vacancies.
 To meet the needs of programmers of expansion, diversification etc.
 To foresee the impact of technology on work, existing employee and future
human resource requirements.
 To improve the standard skill knowledge ability discipline etc.
 To maintain congenial industries relations by maintaining optimum level and
structure of human resource.
 To minimize imbalances caused due to non-availability of human resources of
right kind right number in right time and right place.
 To make the best use its human resources.
 To estimate the cost of human resources.

5
 1.4 METHODOLOGY

PRIMARY DATA:
Primary data is collected from the employees of the organization through
questionnaire and personal interactions.

SECONDARY DATA:
Secondary data is collected from various books, office documents and through
internet of the organization.

SAMPILING TECHNIQUES:
The type of sampling techniques followed can be identified as all this level
workers from all the departments in the Renault group chosen proportionally.

SAMPLE SIZE:
Sample size of 100 employees was taken from all the department in Renault
group.

6
 1.5 LIMITATIONS

 The study period is 8 weeks which is a major constraint.

 Every employee is busy with their individual work.
 Some of the employees are not interested to interact.
 Lack of availability of employees, consisting for a particular period of time
has been a major disadvantage.

7
CHAPTER -2

8
 2.1 INDUSTRY PROFILE

2.1.1 INTRODUCTION

The Indian automotive industry has emerged as a 'sunrise sector' in

the Indian economy. India is emerging as one of the world's fastest growing
passenger car markets and second largest two-wheeler manufacturer. It is also
home for the largest motor cycle manufacturer and fifth largest commercial
vehicle manufacturer. India is the largest base to export compact cars to Europe.
Moreover, hybrid and electronic vehicles are new developments on the
automobile canvas and India is one of the key markets for them. Global and
Indian manufacturers are focusing their efforts to develop innovative products,
technologies and supply chains.

AUTOMOBILE INDUSTRY:

Automobile industry, the business of producing and selling self-powered

vehicles, including passenger cars, trucks, farm equipment, and other commercial
vehicles. By allowing consumers to commute long distances for work, shopping,
and entertainment, the auto industry has encouraged the development of an
extensive road system, made possible the growth of suburbs and shopping centres
around major cities, and played a key role in the growth of ancillary industries,
such as the oil and travel businesses. The auto industry has become one of the
largest purchasers of many key industrial products, such as steel. The large
number of people the industry employs has made it a key determinant of
economic growth. Automobile is self-propelled vehicle which is used for the
transportation of passenger and good upon the ground. A vehicle is machine
which is used for the transportation of passengers and goods. Car, bus truck, jeep,
tractor, scooter, motor cycles are the example of automobiles.

9
DIFFERENT NAMES OF THE AUTOMOBILE:

1. Auto

2. Auto car

3. Car

4. Motor vehicle

5. Motor wagon

6. Horseless carriage

TYPES OF AUTOMOBILES:

The automobiles are classified on the following basis: -

1. Purpose:

(i) Passenger vehicle- car, jeep, bus

(ii) Good Vehicle- Truck

2. Capacity: -

(I) Light motor vehicle- car, motor cycle, scooter.

(II) Heavy Motor vehicle- Bus coach, tractor.

3. Fuel used: -

(i) Petrol vehicles – car, jeep, motor cycle, scooter.

(ii) Diesel Vehicles- Truck, bus, tractor, bulldozer.

(iii) Electric cab- Battery truck, fork lift, scooter

(iv) Stream carriage- stream road rollers.

10
 2.1.2 INDUSTRY SCENARIO

There has been a sudden spurt in the Indian Automobile Industry,

especially since last two years when the industry posted double digits growth and
turned the heads to the global car makers towards the Indian market. Since that
time, there have been some big bets on the Indian Automotive Scenario a decade
hence, Government has lined up some challenges in Automotive Mission Plan
(AMP) 2016 but we have seen major global slowdown in the current financial
year, even the largest market of Automobiles, China has posted the lowest ever
growth for November 2011 when compared to the last six months figures. Has the
global Automobile market slowed down? How much will it affect the Indian
Automobile industry? One on side, we can see some major investments happening
across the sector by almost every major car maker – Ford, PSA & Maruti setting
up new plants in Gujarat. Hyundai, VW & Renault building up their capacities to
ramp up their production plans for the Indian market. The home-made automobile
majors including Tata’s and Mahindra’s are launching the new models based on
global platforms to keep pace with the foreign car makers and not to lose their
market share. On the other side, we have the lowest ever sales in last six months
and revising the targets from earlier 12% to now 2-4%. It was also recently in
news that the industry body, it will again be revising the growth targets after the
upcoming 2012 Auto Export.

11
2.1.3 GOVERNMENT POLICY OF AUTOMOBILE INDUSTRY

The vision of the Indian government is to establish a competitive

automobile sector. To realize its vision the Indian government has released many
policies and provided many incentives to automobile companies both global and
local. There has seen an unprecedented growth in the Indian automobile sector
with the number of vehicles increasing by about 37% in the past five years.

The government has policies which provide fair opportunities to both Indian and
foreign automobile manufacturers to establish a competitive environment.
Although the automobile policies are altered time and again, the Indian
government is looking at major reform of policies set in the 1980‟s. To formulate
reforms for the next generation the Indian government is looking at developing in
areas of greener cars, intelligent transport systems, recycling worn out vehicles,
automotive research and development and improved vehicle safety.

The auto emission rules issued by the government in recent years ensured that all
the vehicles manufactured in India met international standards. Currently every
vehicle being manufactured in the country by domestic and foreign companies
have to fulfil criteria stated with „Indian Standards‟ (IS) and „Automotive
Industry standards‟ (AIS) issued through the „Central Motor Vehicle Rules‟
which are as stringent as their European counterparts. Even when the vehicle is on
the road, the vehicle needs to get Pollution Under Control (PUC) certificates every
6 months. The PUC test on the other hand is in the hands of the private testing and
is easily flexible. The Indian government is looking at reforming these rules to
encourage lower emission vehicles on the Indian roads. These reforms are being
made with the help of automobile and automobile manufacturers in Indian and in
European Union and Germany. The Indian Standards and Automotive Industry
standards also cover safety requirements.

The automobile ministry has set a constant 8% to 20% excise duty on Indian
manufactured automobiles and auto components. Recently policies concerning
reduction in duty against exported cars are also in effect with the new tax being

12
around 16%. Along with this the tariff policy is going to be monitored regularly to
maintain a balance between the international and the domestic trade markets.
Custom duty is set at 10% for automobiles and *automobile components but
increases to 100% for vehicles with large cylinders. Central Sales tax (CST) is set
around 3% and 1% to 2% education cess additional. For sale in India the vehicles
attract Value Added Tax (VAT) which varies from state to state and is under 13%
of the vehicles value. VAT is paid by the end customer. Overall, an automobile
manufacturer in India has to pay 12% of the manufacturing cost to the Indian
Government.

To further attract foreign investment, the government has removed the entry of
minimum capital investment. This has been instrumental in attracting component
manufacturers looking for low-cost manufacturing plants. The policies also
actively promote hybrid low emission or electric vehicles with low taxes and
incentives live 100% lifting of levy associated with customs duty. Individual
states go out of their way to attract renowned automobile manufactures with land
to setup a plant and transportation facilities.

13
2.1.4 MAJOR PLAYERS OF AUTOMOBILE INDUSTRY

Tata Motors:
Tata Motors is the largest automobile company of Asia headquartered
in Mumbai, India. Annual Projected revenue for 2010-11 is US$ 27.629 billion. It
also occupies the number one position in commercial car segment. Tata Motors
enjoys 31.2% of market share in the multi-utility vehicles, which in luxury car
segment, it has 6.4% market share. Most of the Tata Motors' vehicles are sold
predominantly in India and over 4 million vehicles have been produced Tata sold
52,531 units of vehicles during September 2009, comparing to 49,647 units during
September 2008 (a growth of 6%).

Maruti Suzuki India Limited (MSIL) -

Maruti Suzuki India is an undisputed leader in the Indian automobile

industry. Started its journey in February 1981 as Maruti Udyog Limited, the
company created history in the Indian automobile market with its hugely popular
four-wheeler model Maruti 800.
The company became the first Indian automobile company to manufacture one
million vehicles Maruti's average revenue for the year ending 2010-11 is US$7.13
billion.

Maruti sold 83,306 units of vehicles in September 2009, comparing to 71,000

units in the same month in the previous year (with a growth rate of 17.3%). It also
exported 11,712 units during September 2009, comparing to 6,318 units in the
same month in the previous year (with a growth rate of 85.4%).

RENAULT MOTOR INDIA LIMITED

Renault Motor India Limited, founded in 1998 and a subsidiary of

Korean auto giant Hyundai Motor Company, is the second largest car
manufacturer in India. It is also country's largest passenger car exporter. Hyundai
Motor came very close to the hearts of the Indian automobiles After the recession,

14
Hyundai Motor saw a growth rate of 25% in the domestic market. During
September 2009, HMIL sold 53,804 units, comparing to 46,218 units during
September 2008. In the domestic market, it sold 27,803 units in September 2009,
comparing to 22,311 during September 2008. The overseas sales during the same
period also grew up 9% as it sold 26,001 units in September 2009, comparing to
23,907 units during the same month in the previous year.

Mahindra & Mahindra Limited (M&M):

Mahindra &Mahindra Limited is another auto-giant in India. A part of

the Mahindra Group, M&M is the largest SUV maker in the country. In
September 2009, M&M registered a domestic sale of record 26,921 units,
comparing to 22,729 units in September 2008 (with an increase of 18.4%).

Hero Moto Corporation Limited:

In 2010, When Honda decided to move out of the joint venture, Hero
Group bought the shares held by Honda. Subsequently, in August 2011 the
company was renamed Hero Moto Hero Honda Motors Limited, the joint venture
between Hero Group and Honda, was the biggest two-wheeler manufacturers in
the world.

It shook the Indian two-wheeler market with its famous model Hero Honda
Splendour, which became the largest selling motorcycle in the world. It
consistently sold more than 1 million units of Splendours every year. In 2008-09,
Hero Honda sold about 3.28 million bikes and registered a net profit of ` 1281.7
crore. It sold 4,01,290 units of two-wheeler in September 2009, comparing to
3,85,262 in September 2008. It already sold 11,83,235 units of two-wheelers in
Q2 of FY10 with a growth rate of 21.7% against the corresponding period of the
previous year.

15
Bajaj Auto:

Bajaj Auto is the second largest two-wheeler manufacturer in India. It is

also the fourth largest two and three-wheeler maker in the world. In September
2009, Bajaj Auto sold 249,795 units of two-wheelers, comparing to 218,494 units
in September 2008 (with a growth rate of 14.3%). During September 2009, it also
registered a growth of 12.4% in the domestic two-wheeler sales.

Honda Cars India Limited:

Honda Siel Cars India Limited, a joint venture between the Japanese
auto giant Honda Motor Company Limited and the Indian company Siel Limited,
started its operation in December 1995. In September 2009, HSCI sold 5,794
units, comparing to 3,104 units in September 2008.

Hindustan Motors:
Hindustan Motors is another top automobile company in India. It was
once country's largest car manufacturer before Maruti Udyog overpowered it. Its
popular model 'Ambassador' has been extensively used as government limousine
as well as taxi cab in.

16
 2.1.5. Future Focus

Renault looks at more U.S. manufacturing

Renault is still looking into extending its manufacturing presence in the U.S.
No official information was given, but one of the major factors limiting Hyundai’s
continued growth is production. According to Zuchowski, “We sell every
Hyundai we produce.” More production would allow for more sales.

The Renault Sonata and Elantra are currently built at the company’s
Montgomery, Alabama, plant, which has a rated capacity of 399,500 vehicles
annually. In 2014, Hyundai sold a total of 438,959 Elantra’s and Sonatas in the
U.S. combined (including some Elantra’s imported from South Korea), so the
sales volume is definitely there to support more U.S. manufacturing.

Apple Car Play is coming… eventually

While the current batch of Renault vehicles support Android Auto

smartphone connectivity, Hyundai claims Apple CarPlay will reach Renaults
vehicles by the end of the year. The reason for the delay? Renault claims Apple
keeps changing its plans for rolling out the in-car technology. In any case, don’t
despair if you own an iPhone and recently picked up a Hyundai that’s equipped
only with Android Auto. Once the software is finalized, Renault’s infotainment
system will be able to seamlessly switch between either Apple or Android
depending on which type of phone is tethered.

Prepare for the Renault subcompact crossover

While the new Renault Creta is set to make a big splash overseas, Renault’s
U.S. planners weren’t convinced about selling the model Stateside. Instead of
bringing the Creta here, Hyundai officials said they plan to launch a totally

17
redesigned small crossover model in the future. If you expect the new crossover
will look similar to other Renaults, think again. “We think in that segment, it is
very important to have dramatic styling,” said Dave Zuchowski, President and
CEO of Renault Motor America. “It’s going to be a millennial-type vehicle, along
the lines of when you think [Nissan] Juke or something like that, with a little
edgier styling.”

18
 2.2 COMPANY PROFILE

2.2.1 Genesis and Growth

Mission and Vision of Renault

Vision:

“It is a people-centric and innovative company, offering sustainable

mobility for all. Central priority is customer satisfaction. Their challenge as a
responsible carmaker and pioneer in sustainable mobility for all is to develop
broadly affordable mobility offers, create innovative technologies such as zero-
emission electric vehicles, and see the raw materials and energy are used
frugally.”

Mission:

“To deliver greater value to our customers by providing complete

competitive solutions through technological leadership and manufacturing
excellence that are responsive to dynamic market needs.”

“Renault” is a Franco-Japanese strategic partnership between automobile

manufactures Renault, based in Paris, France, and Nissan, based in Yokohama,
Japan, which together sell more than one in 10 cars worldwide. The companies,
which have been strategic partners since 1999, have nearly 450,000 employees
and control eight major brands: Infiniti, Renault Samsung motors, Dacia, Datsun,
Venicia and Lada, as well as Renault and Nissan themselves. The car group sold
8.3 million cars worldwide in 2013, behind Toyota, General Motors, and
Volkswagen for total volume.

19
As of December 2015, the Alliance is the world’s leading plug-in electric vehicle
manufacturer, with global sales of over 300,000 all-electric vehicles delivered
since December 2010. The top selling vehicle of the Alliance line-up is the Nissan
Leaf all-electric car. The leaf is the world’s all-time top selling highway-capable
plug-I electric car in history. Leaf global sales passed the 200,000-unit milestone
in December 2015, five years after its introduction.

The success story is scripted through hard work, determination and untiring
efforts of the Chairman Jean-Dominique Senedra.

The Renault showroom was inaugurated by PPS Motors.

The show rooms are situated in prime locations and are one of a kind. The
strength of Renault and Honda technology and the dynamism of Jean- Dominique
Senedra have helped the Renault Group scale new frontiers and exceed limits.

20
2.2.2 History of Renault Motor Company in the Indian Market:

The Renault-Nissan Alliance began March 27, 1999.At the time,

the auto industry was in a period of rapid consolidation. Numerous companies
merged or mere acquired in high-profile deals, most notably Daimler’s acquisition
of Chrysler in 1998 (which dissolved in 2007, when the companies separated).

At the time it was created, Renault bought 36.8 percent of Nissan’s outstanding
stock, and Nissan vowed to buy into Renault when it was financially able. In
2001, after the company’s turnaround from near-bankruptcy. Nissan bought a 15
percent stake in Renault, which in turn increased its stake in Nissan to 44.4
percent.

In 2002, the Alliance created the Renault-Nissan BV(RNBV), a strategic

management company to oversee areas such as corporate governance between the
two companies. Based in Amsterdam, it is owned 50/50 by Renault and Nissan
and provides a neutral location for the Alliance to exchange ideas, build strategy
and help leverage the maximum synergies between the two companies.

In 2006, the Alliance began exploratory talks with General Motors regarding the
possibility of creating an industrial alliance. The talks were instigated by GM
minority shareholder Kirk Kerkorian. GM reportedly demanded payment of
several billion dollars to engage in an alliance, promoting Ghosn to call the terms
“contrary to the spirit of an alliance. “Discussions ended without agreement in
October 2006. When Ghosn said, “It’s clear the two sides have completely
different appetites for an alliance.

In September 2008, Renault India opened its fifth global vehicle design studio in
Mumbai. In March 2010, Renault India and Nissan India opened a production
facility in Chennai. Established with an initial investment of Rs 45 billion

21
(US$990 million), the plan has a combined annual capacity to produce 400,000
vehicles.

As of September 2015, Renault India has 175 dealerships in 16 cities across 9

states and 2 union Territories, targeting 210 outlets at the end of the 2015.It
quickly expanded to 190 dealerships in December 2015, thanks to the Renault
Kwid success. Renault has also developed an innovative approach with some
virtual Showrooms and some specific Phone App. Renault currently has 270
dealerships across India.

Products rolling out of Renault Motor India Ltd.

The products that come out of the Renault Motor’s desk are

1. Kiger
2. Triber
3. Kwid

Kiger is a one petrol engine offer car, 5-seater car, with five different versions, and is
priced between 5.99Lakhs to 10.62Lakhs. The five versions are named.

1. Kiger RXE
2. Kiger RXL
3. Kiger RXT
4. Kiger RXT(O)
5. Kiger RXZ

Triber is 7-seater car coming in five different versions, and is priced between
5.90Lakhs to 8.51Lakhs. The five versions are named.

1. Triber RXE
2. Triber RXL
3. Triber RXT
4. Triber RXTLE

22
5. Triber RXZ

Kwid is two petrol engine car, 5-seater coming in three different versions, and is
priced between 4.64Lakhs to 5.9Lakhs. The three versions named.

1. Kwid RXL

2. Kwid RXL(O)

3. Kwid RXT

Ideology and Environment at Renault:

A management motto at Renault is “Customer first, best in

technology, best in quality and best value for human beings”. Hyundai as a
company is dedicated to create new value for its customers. Renault Motor
Company’s target is to care for the environment and devote attention to the future
of our children and their ability to inhabit a clean, pollution managed
world. Renault believes that they have achieved the current status as a world-class
company by faithfully enforcing seven management principles and creating an
atmosphere where by each and every member of the company is able to work for
the benefit of common future. As a result, Renault motor company is committed
to its social responsibilities as it fulfills its mission with dedication and strength of
purpose.

Goal of Renault – “To build the world’s best quality cars”

Renault’s fully integrated manufacturing capabilities include:

The Press Shop:

A computer-controlled line that converts sheet metal to body panels of

high dimensional accuracy and consistency.

23
The Body Shop:

A hi-tech line that builds full body shells from panels. Automated robotic
arms are used for intricate welding operations that ensure superior and consistent
build quality.

The Paint Shop:

This is one of the most modern paint shops in the country and uses the
environment friendly water-based process for Superior and lasting exterior. A
unique process management system followed here helps us deliver the most
extensive colour range, independent of minimum batch requirements, helping
customers get their preferred colour any time.

The Aluminium Foundry:

Forges the engine cylinder blocks for our cars to exacting design
specifications.

The Engine and Transmission Shop:

One of the biggest engine shops in the country, this unit is equipped with the
most modern tooling and testing facilities to make a wide range of engines in
house.

The Plastic Paint Shop:

One of the very few manufacturing units in India to have this facility in-
house, Hyundai’s plastic paint shop delivers a high-grade finish on exterior plastic
components.

24
 2.2.3 SWOT ANALYSIS

Strengths:

 Renault India has such a brand equity that it is almost assumed to be an Indian
brand, with lot of good accolades for being India’s second most selling brand in
market share.
 Renault Motor India limited is the largest car exporter from Asian Market which
showed a 10% growth compared to last FY.
 The domestic sales are increasing at an average rate of 19.1%.
 HMIL is known for its quality products which has better performance and it has
constantly been ahead in the race with Maruti Udyog limited in many parameters.
 The product length includes around 8 cars, starting from new Eon in small car
segment to SUV segment Santa Fe.
 Among the automobile players only HMIL is known for its CSR activities.
 Renault products never fail to win laurels in each segment from various
automobile ratings ever since its operations in India.
 Renault, has the largest network of showrooms and service station next to Maruti
in India.

Weakness:

 HMIL took a long time to gain the market share as it’s not the first mover in India.

25
 In terms of most reliable and trusted brand; Maruti is stronger in Indian
subcontinent.
 Spare parts of Renault vehicles are comparatively priced higher and spare parts do
not have PAN India presence.
 Increase in commodity prices such as steel, aluminium and ancillary parts has
affected margins.
 Since HMIL concentrates on both domestic and international sales there are
higher risks of exchange rate fluctuations.

Opportunities:

 SIAM – Society of Indian automobile Manufacturers, have stated that there is

steady increase in Car sales both Domestic and Indian contributing a valuable
share in India’s GDP.
 The export markets growth rate is 22.30% compared to last fiscal year
 The saving consumption pattern of India is an added advantage for any segment
doing business in India. This was one of the major reasons for Indian market to
survive amidst global recession.
 There is more scope of HMIL to enter into small car segment as it has dedicated
R&D plant in Hyderabad, India. Renault is one of the very few companies that has
widest R&D network across the world located in Korea, Europe, India, US,
Japan.
 Renault has very good opportunity in entering into commercial vehicles and
Recreational vehicles as they are already doing well outside India. Currently
HMIL has its focus only on Passenger car segment.

Threats:

 Though Renault claims itself to have no direct competitors, there are Indian
players like Tata, Mahindra imposing a strong threat for Renault Motors India to
expand its product category

26
 Foreign Direct Investments flowing in Indian automobile space are not good signs
for already existing Giants like Hyundai.
 Almost all major automobile players have started invading India to open up their
market and their manufacturing plant in India. “Chennai” is referred to as the
Detroit of Asia!
 Renault faced a slight decline in market share due to tough competition from
Ford’s Figo and Volkswagen- Polo
 Many manufacturers have started to concentrate on small car segment as an
alternative to Nano. These will slow down the expected sales.

2.2.4. Achievements of Renault:

1. Santa Fe Wins good design product award:

Renault Santa Fe received the prestigious Presidential award at the 2000

Good Design Products Exhibition held by the Korea Institute of Industrial Design
Promotion by the Ministry of Commerce Industrial and Energy.

Out of 985 products from 292 companies exhibited, 320 products were selected as
Good Design Products and only 39 products were awarded prizes during the
annual competition. Renault’s Accent Fe won the most covered and honoured
award, the Presidential Award in the Automotive section. By winning such a
glorious award as thus once, it has indefinitely proven Hyundai’s constant pursuit
of excellence and dedication to the development of beautiful styled cars for its
potential customers.

2. HMC tops list in customer satisfaction survey, 7 years straight:

For the seventh consecutive year in 2000, HMC topped the list of customers
satisfaction in a survey conducted by Korea Management ASSOCIATION
Consultants, Korea’s largest management consulting company.

27
According to the KCSI (Korea Customer Satisfaction Index), HMC won first
place in the passenger car manufacturing field for giving the most satisfaction to
its customers for the seven straight years. Renault vehicles were praised for low
NVH, Stability-driving comfort, engine and transmission performance, fir and
finest and design of the exterior and interior, maintenance service and the market
reliability.

To heighten the awareness of Renault to world wise customers HMC has come
up with a brand new 2000 Corporate Image Campaign, a long-term strategy, in
brand image development to steadily build up Hyundai brand image and corporate
image throughout the world market.

3.Diesel Engine to penetrate the export market:

HMC has successfully developed a common rail direct injection 2.0 diesel
engine for passenger cars, becoming the first Korean Car maker to be applying his
technology.

4. Renault develops large commercial diesel engine:

Using the latest technology, power tech engine increases the output while
attains maximum fuel efficiency, marking it a low consumption engine. The
power-tech engine has been developed with the design targets improving the
performance, reducing fuel consumption, lowering noise and vibrations and
reducing emissions. It has passed over 1 million kilometres of various durability
tests successfully providing its low noise and vibration levels vastly improved
compared to the previous large sized commercial vehicle and best engines.

28
 2.2.5. Future Plans

Diversification Horizon

Considering India's diverse alloy needs and anticipating the high demand in
future, Renault Group actively engaged in the area manufacturing Ferro Alloy
Products. With its foray into the Manufacturing sector, the Group has established
itself as a front runner and pioneer in the core Ferro alloys production in the state.
Based in the eastern State of AP well known for its rich natural resources, Ferro
Alloys achieved a status of fully integrated producer of Ferro Silicon and Ferro
Silicon Magnesium. Renault Group entered into Food and Hospitality Sector by
bringing in the Australian's Ultimate Coffee Brand di Bella Coffee to Hyderabad.
Di Bella Coffee will also be the first coffee chain in India to have a fully digital
interactive platform throughout all stores. This will include tablet PCs on each
table for menu ordering, internet & email usage. With two coffee shops in
Hyderabad Renault Group is eyeing for more outlets in other cities. Its systems
are simple, transparent and seamless with inbuilt tracking and control
mechanisms. Delegation and empowerment to the employees is a part of its

29
culture thus ensuring all round efficiency. It adopts the best HR Practices in the
industry to hire and retain the quality manpower at its optimum level.

Expansion

Renault Group for the first time is expanding its wings to other states like
Karnataka. Establishing as the best Automobile distributor in Andhra Pradesh,
Renault Group has come up with its prime Dealership Hyundai to Bangalore.
Customer satisfaction being the prime focus of the group, they are here in
Bangalore to give utmost service to all its customers of Renault.

2.2.6 PRODUCTION FUNCTION:

Kiger Kwid
Triber
5.99 – 10.62Lakh 4.64 – 5.99L
5.90 – 8.51Lakh

30
2.2.7 FINANCIAL FUNCTIONS OF RENAULT

BALANCE SHEET

31
Quarterly

32
Annually

33
34
Cash Flow

35
 2.2.8 PERSONAL FUNCTIONS:

Manpower chart of Renault:

RECRUITMENT PROCESS OF RENAULT:

Step-by-step recruitment process.

1.Step-Application
Look for positions that interest you in our bookmark “Job offers”. Even
if you do not find anything interesting, feel free to complete our on-line form.
Your application will be saved to our database which is used by the company
when looking for new employees.

36
2.Step–Application-selection
From all applications we select candidates meeting our formal
requirements. After presenting selected applications to our special department, we
contact approved candidates and invite them to participate in the next stage of the
process.

3.Step–Assessment-Centre
Administration employees. The meeting is divided into several parts. At
first, we invite candidates to work in teams. This work shows cooperation and
communication skills. Next, we ask candidates to complete a test as well as self-
assessment questionnaire and personal form.

4.Step–Interview
If all previous steps were passed, candidates are invited to the interview
conducted by their immediate supervisor and an employee of the Human
Resources Department.

5.Step-Decision
After the analysis of all steps we contact candidates and inform them on
a decision concerning employment in Hyundai.

37
 2.2.9 MARKETING FUNCTIONS

Renault Motor Company is a multinational corporation that has its

headquarters based in Seoul in South Korea and is associated with automotive
industry. It was founded in year 1967 by Chung Ju-yung along with its
subsidiary Kia Motors and both of them together form the Renault Motor Group.
Renault is a public company and has its origins in South Korea.

In year 2008, Renault Motor, without its subsidiary Kia Motors, was declared
eighth-largest automaker and in year 2012, Hyundai Motor Group, along with its
subsidiary Kia Motors, was declared fifth-largest automaker in terms of annual
sales of its vehicles in global market.

Total sales of vehicles of Renault in year 2012 were estimated at 7.12 million. In
terms of popularity, it is one of the most common and popular brands
in automobile industry. In year 2015, company introduced a new brand of luxury
cars titled Genesis Motors. Renault faces stiff competition in global market and

some of its main competitors are as follows-

Product

First model of Renault Motor Group was Cortina in year 1968 and it was
co-produced with Ford Motor Company. In year 1975, company launched its first
solo-effort car Pony and started its export to different countries like Ecuador and
later to Canada. In 1986, Renault launched its vehicles in United States and its car
Excel was declared one of the best ten products. Currently Renault’s product folio
includes engines, commercial vehicles and automobiles and some of the most
popular ones are as follows-

Sedans, sports car and hatchbacks like Aslan, Accent, Genesis, Eon, Elantra,
i20, I10, Marcia, Santa Fe, Xcent and Hyundai Sonata

Vans and SUVs include Tucson, Terracan, Santa Fe Sport and Porter 2

38
Commercial vehicles include Hyundai 1620 urban bus, Aero City, Chorus, e-
Mighty, HD160, Mega Truck, Mighty II, Super Truck and Universe

Concept car include Vision G, Clix, Excel Electric-vehicle, Sonata Electric-

vehicle, TB Concept Car and i-oni

Place

Renault is fourth-largest manufacturer of vehicles in global market in 2016

and has largest manufacturing facility for integrated automobile in world. It is
located in Ulsan, in South Korea and has 1.6 million units of production capacity
on annual basis. Hyundai believes in its own qualitative products and services and
hence has opened various manufacturing plants in different regions. Its European
plant is located in nosa voice and has a capacity of manufacturing 300,000
vehicles annually. Company has also opened R&D facilities in places like
Hyderabad which employs nearly 450 engineers to provide engineering and
technical support in development of vehicles.

Price

Renault is a global brand that has been tapping the emerging markets
successfully. Its pricing policies have helped it to maintain its position as one of
the best automakers in industry. In order to cater to different sections of society it
has manufactured numerous vehicles and kept varied pricing policies for them.
Some of its cars belong to competitive pricing category, whereas others like
luxury car Genesis belongs to premium pricing category.

In order to make its penetration policy successful it has managed to keep its prices
affordable for consumers. Renault has been known for supplying value-based
products and its prices have been set at a competitive rate when compared to
competitors. It can also be said to be value-based pricing, because as the value
provided in each model changes, the price of the car rises. It gives several trade
benefits as well to its dealers to promote the products from time to time.

39
Promotions

Renault recognises the potential of promotional activities and hence has

always gone for different and varied marketing strategies to create positive brand
awareness. In year 2012, company started a brand campaign globally that
emphasised on its Modern Premium thinking process. Renault wanted each and
every customer to relate his/her vehicle with moments of happiness and good
memories.

Company has been associated with different sports to create its brand
visibility. It has entered motorsport in year 1998 and 1999, competing in world
Rally Championships. It has various sponsorship deals in sports like FIFA, A-
League, Korea Football Association, Brisbane Lions and Renault Hockey Helpers.

40
CHAPTER -3

41
 3.1 THEORETICAL FRAME WORK

Recruitment and selection are two of the most important functions of

personnel management. Recruitment precedes selection and helps in selecting a
right candidate.

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

requirement of the staffing schedule and to employ effective measures for
attracting that manpower in adequate numbers to facilitate effective selection of
efficient personnel.

Staffing is one basic function of management. All managers have responsibility of

staffing function by selecting the chief executive and even the foremen and
supervisors have a staffing responsibility when they select the rank-and-file
workers. However, the personnel manager and his personnel department are
mainly concerned with the staffing function.

Every organization needs to look after recruitment and selection in the initial
period and thereafter as and when additional manpower is required due to
expansion and development of business activities.

“Right person for the right job‟ is the basic principle in recruitment and selection.
Ever organization should give attention to the selection of its manpower,
especially its managers. The operative manpower is equally important and
essential for the orderly working of an enterprise.

Every business organization/unit needs manpower for carrying different business

activities smoothly and efficiently and for this recruitment and selection of
suitable candidates is essential. Human resource management in an organization
will not be possible if unsuitable persons are selected and employment in a
business unit.

42
RECRUITMENT

Recruitment means to estimate the available vacancies and to make

suitable arrangements for their selection and appointment. Recruitment is
understood as the process of searching for and obtaining applicants for the jobs,
from among whom the right people can be selected.

A formal definition states, “It is the process of finding and attracting capable
applicants for the employment. The process begins when new recruits are sought
and ends when their applicants are submitted. The result is a pool of applicants
from which new employees are selected”. In this, the available vacancies are
given wide publicity and suitable candidates are encouraged to submit
applications so as to have a pool of eligible candidates for scientific selection.

In recruitment, information is collected from interested candidates. For this

different source such as newspaper advertisement, employment exchanges,
internal promotion, etc are used. In the recruitment, a pool of eligible and
interested candidates is created for selection of most suitable candidates.
Recruitment represents the first contact that a company makes with potential
employees

Definition:

According to EDWIN FLIPPO, “Recruitment is the process of searching for

prospective employees and stimulating them to apply for jobs in the
organization.”

Need for recruitment

 The need for recruitment may be due to the following reasons / situation:

 Vacancies due to promotions, transfer, retirement, termination, permanent

disability, death and labour turnover.

43
  Creation of new vacancies due to the growth, expansion and diversification of
business activities of an enterprise. In addition, new vacancies are possible
due to job specification.

Purpose and importance of Recruitment:

 Determine the present and future requirements of the organization on conjunction

with its personnel-planning and job analysis activities.

 Increase the pool of job candidates at minimum cost.

 Help increase the success rate of the selection process by reducing the 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 work force.

 Begin identifying and preparing potential job applicants who will be appropriate
candidates.

 Increase organizational and individual effectiveness in the short term and long
term.

 Evaluate the effectiveness of various recruiting techniques and sources for all
types of job application:

44
PROCESS OF RECRUITMENT: -

Recruitment is a positive function in which publicity is given to the jobs

available in the organization and interested candidates are encouraged to submit
applications for the purpose of selection.

Recruitment represents the first contact that a company makes with potential
employees. It is through recruitment that many individuals will come to know a
company, and eventually decided whether they wish to work for it. A well-
planned and well-managed recruiting effort will result in high quality applicants,
whereas, a haphazard and piecemeal efforts will result in mediocre ones.

45
Recruitment Process:

Recruitment refers to the process of identifying and attracting job seekers so

as to build a pool of qualified job applicants. The process comprises five
interrelated stages, viz.,

 Planning.
 Strategy development.
 Searching.
 Screening.
 Evaluation and control.
The ideal recruitment program is the one that attracts a relatively larger
number of qualified applicants who will survive the screening process and accept
positions with the organization, when offered. Recruitment programmers can
miss the ideal in many ways i.e., by failing to attract an adequate applicant pool,
by under/over selling the organization or by inadequate screening applicants
before they enter the selection process. Thus, to approach the ideal, individuals
responsible for the recruitment process must know how many and what types of
employees are needed, where and how to look for the individuals with the
appropriate qualifications and interests, what inducement to use for various types
of applicant’s groups, how to distinguish applicants who are qualified from those
who have a reasonable chance of success and how to evaluate their work.

STAGE 1: RECRUITMENT PLANNING:

The first stage in the recruitment process is planning. Planning involves the
translation of likely job vacancies and information about the nature of these jobs

46
into set of objectives or targets that specify the (1) Numbers and (2) Types of
applicants to be contacted.

Numbers of contact:

Organization, nearly always, plan to attract more applicants than they will
hire. Some of those contacted will be uninterested, unqualified or both. Each time
a recruitment Program is contemplated, one task is to estimate the number of
applicants necessary to fill all vacancies with the qualified people.

Types of contacts:

It is basically concerned with the types of people to be informed about job

openings. The type of people depends on the tasks and responsibilities involved
and the qualifications and experience expected. These details are available
through job description and job specification.

STAGE 2: STRATEGY DEVELOPMENT:

When it is estimated that what types of recruitment and how many are
required then one has concentrated in.

(1). Make or Buy employees.

(2). Technological sophistication of recruitment and selection devices.

(3). Geographical distribution of labour markets comprising job seekers.

(4). Sources of recruitment.

(5). Sequencing the activities in the recruitment process.

Make or Buy Employee:

Organization must decide whether to hire le skilled employees and invest

on training and education programs, or they can hire skilled labour and

47
professional. Essentially, this is the “make or “buy decision. Organizations,
which hire skilled and professionals shall have to pay more for these employees.

Technological Sophistication:

The second decision in strategy development relates to the methods used

in recruitment and selection. This decision is mainly influenced by the available
technology. The advent of computers has made it possible for employers to scan
national and international applicant qualification. Although impersonal,
computers have given employers are seekers a wider scope of options in the
initial screening stage.

Where to look:

In order to reduce the costs, organizations look in to labour markets most

likely to offer the required job seekers. Generally, companies look in to the
national market for managerial and professional employees, regional or local
markets for technical employees and local markets for the clerical and blue-collar
employees.

When to look: An effective recruiting strategy must determine when to look-

decide on the timings of events besides knowing where and how to look for job
applicants.

STAGE 3: SEARCHNG:

Once a recruitment plan and strategy are worked out, the search process
can begin. Search involves two steps

A). Source activation and

B). Selling.

A) Source Activation:

48
 Typically, sources and search methods are activated by the issuance
of an employee requisition. This means that no actual recruiting takes place until
lone managers have verified that vacancy does exist or will exist.

If the organization has planned well and done a good job of developing its
sources and search methods, activation soon results in a flood of applications
and/or resumes.

The application received must be screened. Those who pass have to be contacted
and invited for interview. Unsuccessful applicants must be sent letter of regret.

B) Selling:

A second issue to be addressed in the searching process concerns

communications.

Here, organization walks tightrope. On one hand, they want to do whatever they
can to attract desirable applicants. On the other hand, they must resist the
temptation of overselling their virtues.

In selling the organization, both the message and the media deserve attention.
Message refers to the employment advertisement. With regards to media, it may
be stated that effectiveness of any recruiting message depends on the media.
Media are several-some have low credibility, while others enjoy high credibility.
Selection of medium or media needs to be done with a lot of care.

STEP 4: SCREENING:

Screening of applicants can be regarded as an integral part of the

recruiting process, though many view it as the first step in the selection process.
Even the definition on recruitment, we quoted in the beginning of this chapter,
excludes screening from its scope. However, we have included screening in
recruitment for valid reasons. The selection process will begin after the
applications have been scrutinized and short-listed. Hiring of professors in a

49
university is a typical situation. Application received in response to
advertisements is screened and only

Eligible applicants are called for an interview. A selection committee comprising

the Vice-chancellors,

Registrar and subject experts conduct interview. Here, the recruitment process.

Extends up to screening the applications. The selection process commences only

later.

Purpose of screening

The purpose of screening is to remove from the recruitment process, at an

early stage, those applicants who are visibly unqualified for the job. Effective
screening can save a great deal of time and money. Care must be exercised,
however, to assure that potentially good employees are not rejected without
justification.

In screening, clear job specifications are invaluable. It is both good practice and a
legal necessity that applicant’s qualification is judged on the basis of their
knowledge, skills, abilities and interest required to do the job.

The techniques used to screen applicants vary depending on the candidate

sources and recruiting methods used. Interview and application blanks may be
used to screen walk-ins. Campus recruiters and agency representatives use
interviews and resumes. Reference checks are also useful in screening.

STAGE 5: EVALUATION AND CONTROL:

Evaluation and control is necessary as considerable costs are incurred in

the recruitment process.

The costs generally incurred are: - Salaries for recruiters.

50
 Management and professional time spent on preparing job description, job
Specifications, advertisements, agency liaison and so forth. The cost of
advertisements or other recruitment methods, that is, agency fees. Recruitment
overheads and administrative expenses. Costs of overtime and outsourcing while
the vacancies remain unfilled. Cost of recruiting unsuitable candidates for the
selection process.

EVALUATION OF RECRUITMENT PROCESS

The recruitment has the objective of searching for and obtaining applications
for job seekers in sufficient number and quality. Keeping this objective in the
mind, the evaluation might include:

 Return rate of application sent out.

 Number of suitable candidates for selection.
 Retention and performance of the candidates selected.
 Cost of the recruitment process
 Time lapsed data

SOURCES OF RECRUITMENT

51
The sources of recruitment can be broadly categorized into internal and external
sources-Internal Recruitment – Internal recruitment seeks applicants for positions
from within the company. The various internal sources include

Promotions and Transfers –

Promotion is an effective means using job posting and personnel records.

Job posting requires notifying vacant positions by posting notices, circulating
publications or announcing at staff meetings and inviting employees to apply.
Personnel records help discover employees who are doing jobs below their
educational qualifications or skill levels. Promotions has many advantages like it
is good public relations, builds morale, encourages competent individuals who
are ambitious, improves the probability of good selection since information on
the individual’s performance is readily available, is cheaper than going outside to
recruit, those chosen internally are familiar with the organization thus reducing
the orientation time and energy and also acts as a training device for developing
middle-level and top-level managers.

However, promotions restrict the field of selection preventing fresh blood &
ideas from entering the organization. It also leads to inbreeding in the
organization. Transfers are also important in providing employees with a broad-
based view of the organization, necessary for future promotions.

Employee referrals-

Employees can develop good prospects for their families and friends by
acquainting them with the advantages of a job with the company, furnishing them

52
with introduction and encouraging them to apply. This is a very effective means
as many qualified people can be reached at a very low cost to the company. The
other advantages are that the employees would bring only those referrals that
they feel would be able to fit in the organization based on their own experience.
The organization can be assured of the reliability and the character of the
referrals. In this way, the organization can also fulfil social obligations and create
goodwill.

Former Employees-

These include retired employees who are willing to work on a part-time

basis, individuals who left work and are willing to come back for higher
compensations. Even retrenched employees are taken up once again. The
advantage here is that the people are already known to the organization and there
is no need to find out their past performance and character.

Also, there is no need of an orientation programs for them, since they are familiar
with the organization.

Dependents of deceased employees-

Usually, banks follow this policy. If an employee dies, his / her spouse or
son or daughter is recruited in their place. This is usually an effective way to full-
fill social obligation and create goodwill.

Recalls: -

When management faces a problem, which can be solved only by a

manager who has proceeded on long leave, it may de decided to recall that
persons after the problem is solved, his leave may be extended.

Retirements: -

53
 At times, management may not find suitable candidates in place of the
one who had retired, after meritorious service. Under the circumstances,
management may decide to call retired managers with new extension.

Internal notification (advertisement): -

Sometimes, management issues an internal notification for the benefit of

existing employees. Most employees know from their own experience about the
requirement of the job and what sort of person the company is looking for. Often
employees have friends or acquaintances who meet these requirements. Suitable
persons are appointed at the vacant posts.

(II) External Recruitment: – External recruitment seeks applicants for

positions from sources outside the company. They have outnumbered the internal
methods. The various external sources include
Professional or Trade Associations: -

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.

Advertisements: -

It is a popular method of seeking recruits, as many recruiters prefer

advertisements because of their wide reach. Want ads describe the job benefits,
identify the employer and tell those interested how to apply. Newspaper is the
most common medium but for highly specialized recruits, advertisements may be
placed in professional or business journals.

54
Advertisements must contain proper information like the job content, working
conditions, location of job, compensation including fringe benefits, job
specifications, growth aspects, etc. The advertisement has to sell the idea that the
company and job are perfect for the candidate.

Recruitment advertisements can also serve as corporate advertisements to build

company image. It also effective.

Employment Exchanges: -

Employment Exchanges have been set up all over the country in

deference to the provision of the Employment Exchanges (Compulsory
Notification of Vacancies) Act, 1959.

The Act applies to all industrial establishments having 25 workers or more each.
The Act requires all the industrial establishments to notify the vacancies before
they are filled. The major functions of the exchanges are to increase the pool of
possible applicants and to do the preliminary screening. Thus, employment
exchanges act as a link between the employers and the prospective employees.
These offices are particularly useful to in recruiting blue-collar, white collar and
technical workers.

Campus Recruitments: -

Colleges, universities, research laboratories, sports fields and institutes

are fertile ground for recruiters, particularly the institutes. Campus Recruitment is
going global with companies like HLL, Citibank, HCL-HP, ANZ Grind lays,
L&T, Motorola and Reliance looking for global markets. Some companies recruit
a given number of candidates from these institutes every year. Campus
recruitment is so much sought after that each college; university department or
institute will have a placement officer to handle recruitment functions. However,

55
it is often an expensive process, even if recruiting process produces job offers
and acceptances eventually.

A majority leave the organization within the first five years of their employment.
Yet, it is a major source of recruitment for prestigious companies.

Walk-ins, Write-ins and Talk-ins: -

The most common and least expensive approach for candidates is direct
applications, in which job seekers submit unsolicited application letters or
resumes. Direct applications can also provide a pool of potential employees to
meet future need, from employees. Viewpoint, walk-ins are preferable as they are
free from the hassles associated with other methods of recruitment. While direct
applications are particularly effective in filling entry level and unskilled
vacancies,

Some organizations compile pools of potential employees from direct

applications for skilled positions. Write-ins are those who send written enquiries.
These jobseekers are asked to complete application forms for further processing.
Talk-ins involves the job aspirants meeting the recruiter (on an appropriated date)
for detailed talks. No application is required to be submitted to the recruiter.

Contractors: -

They are used to recruit casual workers. The names of the workers are not
entered in the company records and, to this extent; difficulties experienced in
maintaining permanent workers are avoided.

Consultants: -

They are in the profession for recruiting and selecting managerial and
executive personnel. They are useful as they have nationwide contacts and lend

56
professionalism to the hiring process. They also keep prospective employer and
employee anonymous. However, the cost can be a deterrent factor.

Head Hunters: -

They are useful in specialized and skilled candidate working in a

particular company. An agent is sent to represent the recruiting company and
offer is made to the candidate. This is a useful source when both the companies
involved are in the same field, and the employee is reluctant to take the offer
since he fears, that his company is testing his loyalty.

Radio, Television and Internet: -

Radio and television are used to reach certain types of job applicants such
as skilled workers. Radio and television are used but sparingly, and that too, by
government departments only. Companies in the private sector are hesitant to use
the media because of high costs and also because they fear that such advertising
will make the companies look desperate and damage their conservative image.
However, there is nothing inherently desperate about using radio and television.
It depends upon what is said and how it is delivered. Internet is becoming a
popular option for recruitment today. There are specialized sites like naukri.com.

Also, websites of companies have a separate section wherein; aspirants can

submit their resumes and applications. This provides a wider reach.

Competitors: -

This method is popularly known as “poaching” or “raiding” which

involves identifying the right people in rival companies, offering them better
terms and luring them away. For instance, several executives of HMT left to join
Titan Watch Company. There are legal and ethical issues involved in raiding

57
rival firms for potential candidates. From the legal point of view, an employee is
expected to join a new organization only after obtaining a no objection
certificate‟ from his/ her present employer. Violating this requirement shall bind
the employee to pay a few months” salaries to his/ her present employer as a
punishment. However, there are many ethical issues attached to it.

Mergers and Acquisitions: -

When organizations combine, they have a pool of employees, out of

whom some may not be necessary any longer. As a result, the new organization
has, in effect, a pool of qualified job applicants. As a result, new jobs may be
created. Both new and old jobs may be readily staffed by drawing the best-
qualified applicants from this employee pool. This method facilitates the
immediate implementation of an organization’s strategic plan. It enables an
organization to pursue a business plan, However, the need to displace employees
and to integrate a large number of them rather quickly into a new organization
means that the personnel-planning and selection process becomes critical more
than ever.

Evaluation of External Recruitment:

External sources of recruitment have both merits and demerits.

The merits are-

 The organization will have the benefit of new skills, new talents and new
experiences, if people are hired from external sources.

 The management will be able to full fill reservation requirements in favor of

the disadvantaged Scope for resentment, heartburn and jealousy can be
avoided by recruiting from outside.
The demerits are: -

 Better motivation and increased morale associated with promoting own

employees re lost to the organization.

58
 External recruitment is costly.
 If recruitment and selection processes are not properly carried out, chances of
right
 Candidates being rejected and wrong applicants being selected occur.
 High training time is associated with external recruitment.
 98% of organizational success depends upon efficient employee selection.

SELECTION

After identifying the sources and stimulating the candidates to apply for
jobs in the organization the management as to perform the function of selection
the right employees at the right time. The obvious guiding policy in Selection is
the intensive to choose the best qualified in suitable job candidate for each in
filled job.

MEANING AND DEFINITION:

Selection is the process of picking individuals (out of the pool of the job
applications) with requisite qualifications and competence to fill jobs in the
organizations. The formal definition of selection is:

\SELECTION PROCESS

59
IMPORTANCE OF SELECTION:

Reduce Applicant Numbers

Recruitment attracts many applicants to a particular job, which may prove
difficult to manage, but selection reduces applicants to a manageable number.
Candidates who have applied for a job during the recruitment stage are screened
in the selection stage. Those who prove suitable for the job are selected, and
unsuitable ones are rejected.

ASSESS BEHAVIOUR

Selection gives managers an opportunity to assess potential employees'

character and personality. This ensures that only an employee with the most
suitable personalities and skills is given the job. The organization takes particular
notice of the personal flexibility and adaptability of a candidate, which assures
that such an individual can adjust rapidly to the tough demands of the job.

60
Low Employee Turnover

Appropriate selection procedures applied in the recruitment process

ensure that only the most qualified individual is chosen to fill a vacancy.
Recruited employees who are satisfied with their jobs lead to a low employee
turnover rate. Employee retention is important to an organization, as the costs of
hiring and training new employees are very high.

The Time Dimension

A good selection procedure saves time in the recruitment and orientation

processes because the applicant is expected to have been introduced to some
aspects of the organizational culture, such as the dress code. No time is wasted
trying to inculcate the new recruit with various aspects of the organization's
culture and norms. The employee is given an adequate picture of what the new
job entails, thus eliminating wasting time doing unnecessary chores that are not
part of his job description.

ADVANTAGES

1. Selection test avoids biasness in selection procedure.

2. Selection test helps to minimize the cost and time to be taken by selection
procedure.
3. Selection test helps to estimate about the candidate's ability, knowledge and
other proficiency.
4. Selection test provides guideline for reference evaluation.
5. Selection test compares different candidates on the basis of skills, knowledge
and special abilities possessed by them.
6. Selection test provides a basis for selecting the most likely candidate as per the
requirement of job specifications.

RECRUITMENT AND SELECTION AT RENAULT PVT LTD

61
 Recruitment and Selection in Renault Pvt Ltd is done half yearly. For
selection at Renault Pvt Ltd, A Selection form is given to the Line Manager and
he should meet the employee discuss and evaluate accordingly. Accordingly,
incentives and promotions are granted.
Renault Pvt Ltd started Recruitment and Selection with the following objectives
of-
Evaluating Recruitment of employees.

For making decision regarding promotion of employees.

Identifying the needs of training and development.

To evaluate the morals of the employees.

Recruitment
Each department should adhere to the staffing levels approved by the board or by
the director. The director needs to fill in the staffing expectation form to justify
any excess hiring staffing justification form.
Copy to be sent to the HR Manager and Accounts department, HR should verify
if replacement is fulfilling budgetary requirements.

ERF (Employee Requisition Form) filled by for approved by HR to initiate

recruitment process.

A copy of ERF should be kept with HR and Finance department for payroll
management and updating records.

The following levels of interviews to be conducted for different grades.

Grade A&B-2 rounds

Grade C&D-- minimum 3 rounds of interviews

Grade E- minimum 4 rounds of interviews

62
 All interviewees or prospective employees should fill up the bio data form and go
through aptitude test by the HR department

A technical interview to be scheduled by the HR department as soon as the

aptitude test is completed and with the following documents for the first-round
interview.

A.ERF

B. employee bio data form

C. Application form with photograph

D. Curriculum vitae

E. 4 photographs

F. Photo copies of educational & Work experience documents

G. Aptitude test (40 marks)

Reference Check to be filed in employee Recruitment file.

HR department should complete Reference check before scheduled HR

interview

HR round interview form should be filled and total is calculated out of 100
(Aptitude test 40M+technical interview 40M+HR interview assessment
form20M) and a candidate should score 70 or above in order to be ready for
selection.

In the event a candidate selection is dependent on the following conditions

Table

CONDITION ANALYSIS END

RESULT

63
Above above 70 selection reference candidate
checks show rejected
negative remarks
Less Line manager Selected with
less than 70 Recommended reservation
Reference check s
fine
Above 70 Line manager candidate
recommended selected
Reference check
is fine

Upon the confirmation from the candidate for joining HR should issue an offer
letter with clear clause mentioning in the offer letter.

An appointment letter is given to the candidate after obtaining the following

documents from the candidate

Acceptance letter

Verification of all original documents

Submission of original documents (for certain positions only)

A 3-year MOU should be signed by the employee

Bank account to be opened with the bank recommended by the company.

Training & Development

Any new entrant joining the company should be given proper training and
then place him in the job.

It is the duty of HR department to take necessary steps in this regard as follows

64
The employees should be given tour of work place and introduction about the
group.

The employee should be formally introduced to the department he is assigned to

He should made aware of the vision of the company and as well as the group and
the same is expected from him in the work

The uniform should be arranged by the company within 15 days of the employee
joining date

As per the calendar preparation schedule, the induction program should be

conducted on monthly basis and the same to be informed to the respective Dept.
HOD’s

Proper Training attendance record should be maintained.

It is mandatory to have a questionnaire answered by the employee at the end of

every training scission and should be further evaluated by the HR Executive.

It is responsibility of the HR Dept. That training that has been imparted to the
employees be recorded and ensured that it reaches 100 hours of the training
hours.

Basing on the requirement, it is the responsibility of HR Dept. To schedule

training scissions for enhancement of interpersonal skills by having collaboration
with us for at least 2 years or else the amount is deducted from his full& final
settlement.

Incise, if any employee does not attend 100 hours of training in a financial year,
it is to be considered during his selection period.

Reference check

65
 All new hires should provide reference checks following the format at the
time of technical interview.

The following references should be followed by the new joined and form should
be filled:

Fresh graduates-college principal/Dept. Head

Candidate with prior experience-his previous company HR manager/Line

manager Head of the company.

Reference check is a compulsory for any position. All HR manager Managers

should adhere to this policy.

Any recruitment without reference check will result in negative remarks in HR

manager’s Selection.

Reference checks are to be kept confidentially and should be conducted by HR

department.

For managers and director need to conduct reference checks; should be shared by
Head office for discussion.

This helps to gain an objective view of employee by performing 360-degree

Selection.

For initially transferred employees, latest updated selection forms should be

checked

All discussion with referees and names mentioned by employee should be

documented in reference check questionnaire and filed in personal file record

Outcome of checks should help in assist in decision making in hiring the

employee.

Re Employment of Individuals

66
 An employee who left voluntary can be considered for re-employment in any
group of company’s ifs-

Past Recruitment has been of an above average standard.

Director of hiring company approves.

Positive feedback is given director in the previous company.

In case of an executive Board member or HOD, chairman& Managing Director

(CMD) approval is required.

Hiring company should request for personal file of the employee maintained by
the previous company.

Any candidate who is reemployed in the group the company will be considered
as a new hire and should follow all the policies applicable.

If dismissal by the company, employee is not hired.

REFERRAL POLICY:

PURPOSE

To establish a clear guide line on employees relative employing within

the group in order to avoid interest of conflict and to uphold a fair and consistent
approach towards managing people.

PROCESS:

- All employees are eligible to provide references when any vacancies are
published in the company and are eligible for the referral fees on referring
candidate to the HR DEPARTMENT

. –In order to be eligible for the payout for referral fee, referring candidate
must:

67
 1. Be personally known to the employees who refers him/her

2. The referral fee will paid to referrer, after the referrer has completed
probationary period of 6months in the company.

3. The referral compensation amount is at the discretion of the director.

Probation

To ensure that there is right person for right job and is applied to all new hiring
positions in order to maintain a competitive work force within the organization.

In the interview and in the appointment letter probation period must be specified;
No notice is required to abort the employment at any point during the probation.

All new employees will be on 6-month probation with under this rule as they
would have passed probation in the Group Company.

Promoted employees will be under the probation of 3 months to assess suitability

to the new role and this rule is applicable at the discretion of the direction of the
company.

Probation from should be provided after 5 months of employee joining and

should be completed by HOD with the employee in an open discussion and in
15days for approval.

Extension (Director approval in consultation with HR Manager; Probation

Extension letter should be sent to employee after a selection and feedback session
listing procedure; next assessment date should be given and progress closely
monitored by HOD; Objectives should be established).

Dismissal (2 counselling session at reasonable intervals are a must; Director

approval in consultation with HR director and manager; Dismissal Letter should
be given after a selection and feedback sitting listing procedure).

HR is in charge of receiving the forms back.

68
 HOD should ensure employee attends all relevant training during probation to
complete the induction process. Probation review from should be sent to HR
Department for filing in employee records.

Adverse outcomes if any should be shared with Concerned Heads.

Recruitment and Selection Policy

On completion of at least 6 months, employee is eligible for Recruitment

approval.

Recruitment and Selection should be done on quarterly.

Selection parameters should be set in line with group KRA and company KRA.

For certain level of employees Recruitment review is done on both qualitative

and qualitative achievements.

Recruitment review steps

Line manager sets the targets both qualitative in consultation with the employee
at the beginning of the quarterly review period.

At the end of the quarterly review period of the employee fills out self-selection form

The line manager will have a one-to-one discussion with the employee and will go
through the self-selection form and 8 concurs are alters selection with mutual agreement
and discussion, reviewed and updated selection form signed by the employee and the line
manager should be submitted to the HR Dept.

Annual training plan should be updated based on requirements to meet goals; HR manager
will organize by discussing with HOD and Director HR Dept. Will announce the
increments/bonus as per the eligibility chart as per the marks scored by the individual
employees, any salary increment is based on the individual Recruitment, company
Recruitment/any other considerations or recommendations set by the board of directors.

69
 RECRUITMENT PROCESS IN RENAULT

Data base: - A large amount of information about the job opportunity to

transformation to the who are waiting for the job opportunity in this level

Advertise: - for the reach information to the Who are waiting for the job
candidates by the advertising of newspapers or internet or campus.

Processing of applicants: - Who are applied the job, those candidates are full
fill their information in the given form and submitted to the Who conducting
interview

Interview: - in this, interviewer tell to candidates about their job, salaries,

timings and what needs for the organization and discuss about overall job
working conditions

Feedback: - After complete interview, interviewer waiting for the feedback from
candidates if candidate accept those instructions, then that candidates may get the
job.

Offering jobs: - after complete feedback, the interviewer takes phone numbers
from the candidates and after who eligible for the job they got call from the
interviewer and get job offering.

SELECTION PROCESS IN RENAULT

Manpower: - in that the number of candidates apply for the job. Then putting
right number of people, right kind of people at the right place, right time, doing
the right things for which there are suited for the achievement of goals of the
organization.

70
Written test: - - Various written tests conducted during selection procedure are
aptitude test, intelligence test, reasoning test, personality test, etc. These tests are
used to objectively assess the potential candidate. They should not be biased.

Interview in line manager: - who are selected in written test they are all eligible
for the interview. The interviewer asks different questions to the candidate in
interview if interviewer satisfied to given answers those are selected for the next
interview.

H.R Interview: - who are selected line manager interview those are eligible for
this interview and Interviewer asked to many different questions based on mind
performing.

Back Ground Verification: - who are selected in the H.R interview those are all
eligible for this level. And this level interviewer asks to the back ground
verification. If they have any reference that candidates get more opportunity for
the job.

Job Offer: - who are qualified all those levels finely they got the job offer in the
organization.

OBJECTIVES OF RECRUITMENT SELECTION:

1. It seeks to provide adequate feedback to each individual for his or her

Recruitment.

2. It supports to serve as a basis for improving or changing behavior towards

some more effective working habits.

3. It aims at providing data to managers with which they may judge future job
assignments and compensation.

71
CHAPTER -4

72
 DATA ANALYSIS AND INTERPRETATION

Table no :4.1

1.The organization's selection criteria.

Particu No. of % of
lars Emplo Emplo
yees yees
By 92 92
Merit
By 8 8
Referen
ce
Total 100 100

Graph no-1
The organization's selection criteria.

73
INTERPRETATION:

From the above diagram it can be seen that 92% of the respondents said
that by merit and 8% of the respondents said that by reference and it took more
time. According to the above analysis by merit because most of the people felt
that it was good and only 8% of the people felt that it was by reference.

Table No :4.2

2.Knowledge of Recruitment and Selection among the Staff.

Awareness of No. of % of
Recruitment and Employees Employees
Selection
Completely aware 83 83
Completely unaware 17 17
Total 100 100

Graph no-2
Knowledge of Recruitment and Selection among the Staff.

74
 . INTERPRETATION:
From the above diagram it can be seen that 83% of the respondents aware
of Recruitment and Selection. 17% of the respondents are not aware of the
Recruitment and Selection. Most of the employees are aware of Recruitment and
Selection in the Varun Motors.

Table no:4.3
3. Time Frame for Hiring and Choosing.

(period of time) Recruitment and No. of % of

Selection should conduct Employees Employees
Yearly 0 O
Half Yearly 100 100
Quarterly 0 O
Total 100 100

Graph no-3
Time Frame for Hiring and Choosing.

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INTERPRETATION:

All of the respondents said that Recruitment and Selection will be

conduct twice in a year i.e., once in every 6 months.

Table no:4.4

4.Enhancement in the Reaction to the Recruiting and Selection Process.

Particulars No. of % of
Employees Employees
Lot of Improvement 44 44
Little Improvement 24 24
No Improvement 32 32
Total 100 100

Graph no-4
Enhancement in the Reaction to the Recruiting and Selection Process.

INTERPRETATION:

76
 From the above diagram it can be said that 44% of the respondents said
that they find lot of improvement through Recruitment and Selection. 24% of the
respondents said that they find little improvement through Recruitment and
Selection. 32% of the respondents said that they did not find any improvement
and in this most of the people did not attend for the Last year Recruitment and
Selection. The number of employees who attend for the Recruitment and
Selection has increased from last year to this year.

Table no:4.5
5. Recruitment and Selection Are Important for an Employee's Career.

Particulars No. of % of
Employees Employees
High Importance 41 41
Moderate Importance 53 53
Low Importance 6 6
Total 100 100

Graph no-5

Recruitment and Selection Are Important for an Employee's Career.

INTERPRETATION:

77
 From the above diagram it can be said that 41% of the respondents said
that Recruitment and Selection has lot of importance in their career. 53% of the
respondents said that Recruitment and Selection has moderate importance in their
career. 6% of the respondents said that there is no importance for the
Recruitment and Selection in their career.

Table:4.6
6. Employee perceptions on the value of recruitment and selection.
Purpose of No. of No. of
Recruitment and Employees Employees
Selection
Promotion 24 24
Salary Increment 21 21
Training&Development 55 55
Total 100 100

Graph-6
Employee perceptions on the value of recruitment and selection.

INTERPRETATION:

From the above diagram it can be said that 55% of the respondents gave
first preference to the Training & Development. 21% of the employees preferred
Salary increment and 24% of the employee’s preferred promotion. 55% of the

78
 people preferred Training & Development because they can improve their skills
and can help for the bright future 21% of the employee’s preferred salary
increment and 24% of the employee’s preferred promotion for their growth in the
organization.

Table:4.7
7. Benefits of Hiring and Choosing Based on Employee Opinion (Preference).

Particulars Promotion Salary Training &

increment Development
1st 25 24 55
Preference
2nd 41 36 21
Preference
3rd 34 40 24
Preference
Total 100 100 100

Graph-7

Benefits of Hiring and Choosing Based on Employee Opinion (Preference).

79
 INTERPRETATION:
From the above diagram it can be said that 24% of the respondents gave
first preference to the Recruitment and Selection. 21% of the employees
preferred Salary increment and 55% of the employee’s preferred promotion.
55% of the people preferred Recruitment and Selection because they can improve
their skills and can help for the bright future.
Table:4.8
8. Finding the areas that need improvement through selection and recruitment.

Particulars No. of % of Employees

Employees
Find areas of improvement 82 82
performance
Did not find areas of improvement 18 18
Total 100 100

Graph-8
Finding the areas that need improvement through selection and recruitment.

INTERPRETATION:
From the above diagram it can be said that 82% of the respondents said
that they found improvement in these area of performance through the process of

80
 Recruitment and Selection. 18% of the respondents said that they did not find
improvement in performance through Recruitment and Selection. 82% of the
respondents said that they find the time of improvement performance in the
process Recruitment and Selection through line manager and clearly so that they
can improve in that area, it is useful to the employee’s career and development.

Table:4.9
9. Enhancement of Communication via Hiring and Choosing.

Particulars No. of % of
Employees Employees
High Improvement 76 76
Moderate Improvement 18 18
Low Improvement 0 6
Total 100 100

Graph-9
Enhancement of Communication via Hiring and Choosing.

INTERPRETATION:

From the above diagram it is said that76% of the respondents said that
the communication between the employees and the line manager was increased

81
 because of Recruitment and Selection. 18% of the respondents said that the
communication has moderately increased. 6% of the employees said that the
communication has not increased. Most of the people said that the
communication between the employees and the line manager has increased and it
will help to the employees as well as the organization to reach their targets.

Table:4.10
10. Thoughts on Renault choosing the appropriate individual.

Particulars No. of Employees % of Employees

successful 64 64
Average successful 36 36
Total 100 100

Graph-10
Thoughts on Renault choosing the appropriate individual.

% of Employees

Successful
Average successful

INTERPRETATION:

82
 From the above diagram it can be said that 64% of the respondents said
that successful and 36% of the respondents said that average successful. 64%
employees said that successful and it helps for the growth of their career.

Table:4.11
11. Procedure for Hiring and Choosing.
Particulars No. of employees % of
employees
YES 80 80
No 10 10
To some extent 10 10
Total 100 100

Graph-11
Procedure for Hiring and Choosing.

INTERPRETATION:

83
 From the above diagram it can be said that80%of the employees said that they
have understood the process of Recruitment and Selection and 10% of the
employees said that they have not understood the process of Recruitment and
Selection. As per the analysis most of the people understood what is Recruitment
and Selection. Some of the employees (10%) did not understand the Recruitment
and Selection process and most of these people attended only once in the
Recruitment and Selection.

Table:4.12

12. Determining the workers' job responsibilities.

Particulars No. of employees % of employees

Satisfied 60 60
Highly satisfied 20 20
Dissatisfied 10 10
Highly dissatisfied 10 10
Total 100 100

Graph-12

Determining the workers job responsibilities.

84
 INTERPRETATION

From the above diagram it can be said that 60% of the

employees said that their satisfied with the job responsibilities explained in the
process of Recruitment and Selection and 20% of the employees said that their
job responsibilities were highly satisfied. Most of the employees (60%) said that
responsibilities were clearly explained by the line manager and suggested how to
do the work in simply and efficiently in the process of Recruitment and selection.

Table:4.13

13. Contentment with Recruitment and Selection from Previous Year.

Particulars No. of employees % of employees

Satisfied 50 50
Highly satisfied 20 20
Dissatisfied 20 20
Highly dissatisfied 10 10
Total 100 100

Graph-13

85
 Contentment with Recruitment and Selection from Previous Year.

INTERPRETATION:

From the above diagram it can be said that 50% of the

employees said that their satisfied with the last year selection conducted for
them. And 20% of the employees said that there were highly satisfied. Most of
the employees (50%) said that they were satisfied with the last year selection
conducted for them.

86
 CHAPTER-5

5.1 SUMMARY

The purpose of this study is to determine the efficiency and effectiveness

of the Recruitment and Selection practices in RENAULT VISHAKAPATANAM
to enhance quality of HR department.

The project entitled “A study on Recruitment and Selection with reference to

RENAULT” is divided into 6 chapters; chapter wise summary is given below.

For that I conduct research on recruitment and selection practices with

considering a primary data through observations, direct interview, past data etc.;
and secondary data through internet, books, records, indirect observations etc.; in
RENAULT.

87
Finally, I analyse and interpretation the total data and prepare a report on findings
in RENAULT So that the report details are furnished below.

In Chapter 1 includes the Introduction, Need of the study, Objectives of the

study and limitation of the study. Through this chapter we can understand the
opinion of the investigator on that project and the interest she paid on the project.
From this chapter we can know the overview of the automobile industry and the
recruitment and selection overview in a very detail manner. In the “introduction”
the details of the automobile industry i.e., origin of the automobile industry,
growth of the industry and the major players of the industry and the total details
of the automobile industry and the automobile industry in India and some other
details pertaining of the company has been given. After giving details of the
company, the topic introduction was given like the definition of topic collected
from different sources and the analysis of those definitions were explained. After
the explanation of the definition of the, the importance of the study and the use of
the study to the company were clearly explained.

After the introduction the need of the study has been explained briefly. In this,
why the investigator has chosen the topic and can get from the study and the use
of the study will not be conducted. After explaining the need of the study, the
objective of the study was given. In this part, what information the investigator
wanted collected and why he wanted to do the project in the particular company
and what those he wanted to do this project was clearly explained.

I furnished data about Literature review of the topic “Recruitment and selection
practice “Where previous studies done. Some are following.

According to Kirsten (2003) and Jones et al. (2006), Human Resource

Management theories assessment and psychometric examinations as employee
selection process.

Jones et al, (2006) suggested that the examples of recruitment policies in the
healthcare, business or industrial sector may offer insights into the processes
involved in establishing recruitment policies and defining managerial objectives.

88
Price (2007), in his work Human Resource Management in a Business Context,
formally defines recruitment and selection at the process of retrieving and
attracting able applications for the purpose of employment.

Hilltop (1996) was successful in demonstrating the relationship between the

HRM practices, HRM-organisational strategies as well as organizational
performance.

Discussed by Jackson et al. (2009), Human Resource Management approaches in

any business organization are developed to meet corporate objective.

Work of Silver et al. (2010) was largely concerned with talent management, and
through their work they were successful in resolving issues like whether or not
talent is something one can be born within or is it something that can be acquired
through development.

Toward that end Taher et.at. (2000) carried out a study to critique the value-
added and non-value activity in a recruitment and selection process.

In chapter 2, we discuss on industrial profile n company profile

introduction that fifth largest commercial vehicle manufacture n export compact
cars to Europe. Global and Indian manufactures are focusing their efforts to
develop innovative products, technologies and supply chains. Automobile
industry, different names of the automobile and then industrial scenario and
government policy of automobile industry and major players of automobile
industry are Tata motors, Maruti Suzuki India limited, Renault motor India
limited, Mahindra & Mahindra limited and hero Moto corporation limited, Bajaj
auto, Honda cars India limited and Hindustan motors and future focus.

In company profile, genes and growth it explains about mission and vision. The
history of Renault motor company in the Indian market and product rolling out of
Renault motors India limited, ideology and environment at Renault.
Organisational structure and production function and financial functions of
Renault, personal functions it has the recruitment process it include steps they are

89
application, application-selection, assessment-centre, interview and decision and
then marketing functions and their achievements of Renault and future plans then
swot analysis it explains the strength and weakness, opportunity and threats of
the organization.

In chapter 3 total theoretical analysis and framework is discussed about

topic of the project. The performance of an organization heavily depends upon
the people who works inside it. If the organization has right people on right jobs,
the work proceeds smoothly and efficiently

Recruitment is the process of searching for prospective employees & stimulating

them to apply for jobs in an organization.

Selection process will begin with the end of the recruitment process. It is the long
step in the Human Resource Process. It implies is the selection of qualified and
competent peoples.

In chapter 4 is Data analysis and Interpretation of the collected data from

the company. I analyse total data and interpret where I have done different tasks
that are conduct by the recruitment and selection practices under Human
Resource division in RENAULT.

Those were descriptions of the job, Basis of selection in the

organization ,Awareness of the employee of recruitment and selection, period of
recruitment and selection, Improvement in the response to the recruitment and
selection ,Importance of recruitment and selection in employees career, convey
opinion of employees of utility of recruitment and selection, utility of recruitment
and selection according to employees opinion(preference), Identifying the areas
of improvements through recruitment and selection, Improvement of
communication through Recruitment and Selection, Improvement of
communication through recruitment and selection, opinion on RENAULT
selecting a right person, process of recruitment and selection, Identification of
job responsibilities of the employees, satisfaction on last year recruitment and
selection.

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 In chapter 5 consists of summary which is short brief about total project,
findings which are I found in my total project period in RENAULT and finally
conclusion &recommendations which are necessary to enhance effectiveness of
Recruitment and Selection practices in company respectively.

5.2 FINDINGS

1. According to the analysis by merit because most of the people felt that it was
good and 8% of the people felt that it was by reference.
2. Most of the people are aware of recruitment and selection.
3. Recruitment and selection will conduct twice in a year and once in every six
months.
4. The number of employees who attend for the recruitment and selection has
increased from last year to this year.
5. 53% of the respondents said that the recruitment and selection have moderate
importance in their career.

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 6. 55% of the respondents gave the first preferences to the training and
developments.
7. 55% people of the people preferred recruitment and selection because they
improve their skills and can help for the bright future.
8. 82% of the respondents said that they find the time of improvement
performance in the process of recruitment and selection through their line
manager and clearly, they can improve in that area, but it is useful to the
employees’ career and development.
9. Most of the people said that the communication between the employees and
the line manager has increased and it will help in the employees as well as the
organization to reach their targets.
10. 80% employees were understood the process of recruitment and selection.
11. Most of the employees said that the responsibilities were clearly explained by
the line manager and suggested how to do the work in simply and efficiently
in the process of recruitment and selection.
12. Most of the employees said that they were satisfied with the last year
selection conducted for them.

5.3 SUGGESTIONS

After completing project, I have come up with some recommendations which

RENAULT for their improvements. These are from the data analysis that many
respondents feel that their work is not judged fairly in Recruitment and Selection
system, here it is suggested that the management should not go for any biased
Recruitment and Selection system.

1. In order to create the awareness of Recruitment and Selection among the

employee’s awareness program should conduct and explain the purpose, process
and regularity of Recruitment and Selection in very year to the new employee.

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2. The employee did not find any improvement through Recruitment and Selection.
So, the line manager should explain clearly areas of improvement and suggest
them how to improve in those areas and review and regularly.
3. Job description should be defined clearly for every designation under regular
reviews is required with the line managers.
4. Organization should take feedback on the Recruitment and Selection system from
all the employees.
5. Management must concentrate on the salary satisfaction level of employees and
should take necessary steps.
6. Clear job description process has to be adopted before going for Recruitment.

5.4 CONCLUSION

From the study, the following conclusions are arrived;

Depending on the job vacancy, job specifications and the appropriate source of
recruitment is chosen. Mostly, the internal source of recruitment is through
employee referrals. It is the responsibility of the recruitment personnel to conduct
the needed tests, interviews etc. Most of the interviews that are conducted on the
basis of depth interviews. Qualification, experience and personal traits are all
important and play a vital role in the selection of a candidate. Adequate
manpower helps in recruitment process to fill the vacancies. Good interpersonal

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relationship is maintained by the employees and HR personnel. Satisfied working
conditions in the organization. Developmental needs of the employees are
considered by the organization. once the candidate is selected, the joining date of
the candidates will be intimated and follow up with the candidates until joining.

ANNEXURE

RECRUITMENT AND SELECTION

(FOR EMPLOYEES)

I am BANISETTI CHANDINI pursing my MBA with human

resource management as my specialization.

Presently, I am doing internship in Renault, Visakhapatnam on

the topic titled “RECRUITMENT AND SELECTION “providing by
RENAULT, VISAKHAPATNAM as a part of our academic curriculum.

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 Hence, I request you to kindly spare few minutes from your
busy schedule & fill the form.

I assure that the information collected by way of questionnaire

will be used solely for the fulfilment of my academic curriculum.

---------------------------------------------------------------------------------------------------------

1.The organization's selection criteria.

a) By merit

b) By reference

2. Knowledge of Recruitment and Selection among the Staff.

a) Completely aware

b) Completely unaware

3. Time Frame for Hiring and Choosing.

a) Yearly

b) Half yearly

c) Quarterly

4. Enhancement in the Reaction to the Recruiting and Selection Process.

a) Lot of improvement

b) little improvement

c) No improvement

5.Recruitment and Selection Are Important for an Employee's Career.

a) High Importance

b) Moderate Importance

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c) Low Importance

6. Employee perceptions on the value of recruitment and selection.

a) Promotion

b) Salary Increment

c) Training and Development

7. Benefits of Hiring and Choosing Based on Employee Opinion

(Preference).

a) 1st preference

b) 2nd Preference

c) 3rd Preference

8 Finding the areas that need improvement through selection and

recruitment.

a) Find areas of improvement

b) Did not find areas of improvement

9. Enhancement of Communication via Hiring and Choosing.

a) High Improvement

b) Moderate Improvement

c) Low Improvement

10. Thoughts on Renault choosing the appropriate individual.

a) Successful

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b) Average successful

11. Procedure for Hiring and Choosing.

a) Yes

b) No

c) To some extent

12. Determining the workers' job responsibilities.

a) Satisfied

b) Highly satisfied

c) Dissatisfied

d) Highly dissatisfied

13. Contentment with Recruitment and Selection from Previous Year.

a) Satisfied

b) Highly satisfied

c) Dissatisfied

d) Highly dissatisfied

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BIBLIOGRAPHY

Referred books Author names Publications

Personnel C. B. Mamoria Himalaya

Management publishing house

Organization Aswathappa K. Himalaya

Behaviour publishing house

Personnel/Human P. Subba Rao & Himalaya

Resource V.S.P. Rao publishing house
Management
Human Resources Pearson 9th edition Trans-Atlantic
Management T publications

Web Sites Browsed:

 http://prasarbharati.gov.in/default.aspx

 www.google.com

Journals:

• international journal of human resources management

• Indian journal of management

• International journal of training and development

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