Summer Project on RECRUITMENT AND SELECTION AT MARUTI SUZUKI INDIA LTD, GURGAON By ANUJA SHANKAR Roll No.

V1069 SPECIALIZATION- HR&IR

Under the guidance of Mr. Surinder Singh Asst.Manager (L-11, HRD) Maruti Suzuki India Ltd.

A Report submitted in partial fulfillment for the course of PGPBM

INTERNATIONAL SCHOOL OF BUSINESS & MEDIA, VIMAN NAGAR, PUNE

CERTIFICATE OF ORIGIN

This is to certify that Ms Anuja Shankar, pursuing a PGPBM, International School of Business & Media, Pune, has worked in MARUTI SUZUKI INDIA LIMITED, Gurgaon under the able guidance and supervision of Mr. Surinder Singh of Maruti Suzuki India Limited. The period for which she was on training was for 8 weeks, starting from 12th April to 5th June. This Summer Internship report has the requisite standard for the partial fulfillment of PGPBM. To the best of our knowledge no part of this report has been reproduced from any other report and the contents are based on original research.

Signature Mr.SURINDER SINGH (FACULTY GUIDE)

Signature ANUJA SHANKAR (STUDENT)

ACKNOWLEDGEMENT

Expression of feelings by words makes them less significant when it comes to make statement of gratitude

At the onset, I would like to express my profound gratitude to Mr. A.D Burman (SFMGRHRD) for giving me an opportunity to work on this project at MSIL. I would like to thank my mentor and project guide Mr. Surinder Singh (L-11, HRD), Maruti Suzuki India Limited, for his constant mentoring during the course of my project work. The project could not be completed without his able support and guidance. Thanking him is a small gesture for the generosity shown by him. I would also take the opportunity to thank him for his able guidance and for assigning me projects, which will go a long way in enriching my career. I thank all the members of HR division for extending their cooperation to me and making my experience at Maruti Suzuki India Ltd. a pleasant and memorable one. In the end; to err is human. In spite of my serious efforts to complete this project without mistakes, any error committed by me should be looked at sympathetically.

Executive Summary
Today, in every organization personnel planning as an activity is necessary. It is an important part of an organization. Human Recourse Planning is a vital ingredient for the success of the organization in the long run. there are certain ways that are to be followed by every organization, which ensures that it has right number and kind of people at right place and right time, so that organization can achieve its planned objective. The objective of Human Resource Department is HR Planning, recruitment and selection, training and development, career planning, transfer and promotion and so on. Each objective needs special attention and proper planning and implementation. For every organization it is important to have a right process on a right job. Recruitment and selection plays a vital role in this situation. Shortage of skills and the use of new technology are putting considerable pressure on how employees go about recruiting and selecting staff. It is recommended to carry out a strategic analysis of recruitment and selection procedure. With reference to this context, this project is been prepared to put a light on recruitment and selection process. This project includes meaning and definition of recruitment and selection, need and purpose, evaluation process of recruitment, source of recruitment through which an organization gets suitable application. Scientific recruitment and selection, which an organization should follow for right manpower. Next is the selection process, which includes steps of selection, types of test, and types of interview, common interview problems and their solutions. Recruitment and selection are simultaneous process and are incomplete without each other. They are important components of the organization and are different from each other. Since all the aspects needs practical example and explanation this project includes recruitment and selection process of Maruti Suzuki India Limited (MSIL).

Table of Contents
Certificate from company...2

Certificate of origin..3

Acknowledgement....4

Executive summary..5

Chapter 1: Company Profile...7

Chapter 2:Concept Review....39

Chapter 3: Objectives & Methodology.51

Chapter 4:Recruitment and selection Process at MSIL..53

Chapter 5: Discussions and findings of the study59

Chapter 6:Bibliography...64

CHAPTER 1: COMPANY PROFILE

COMPANY PROFILE

Maruti Suzuki India Limited (MSIL, formerly Maruti Udyog Limited), a subsidiary of Suzuki Motor Corporation of Japan, is India's largest passenger car company, accounting for over 50 per cent of the domestic car market Its main factory is situated at Palam Gurgaon, Haryana. The company offers 14 brands and over 100 variants ranging from peoples car Maruti 800 to stylish hatchback Ritz, A star, Swift, DZire, SX4 sedan, Eeco and luxury SUV Grand Vitara. Since inception, Maruti has produced and sold over 7.5 million vehicles in India and exported over 5000000 units to Europe and to other countries all over the world. Our turnover for the fiscal 2008-09 stood at Rs. 203,583 Million & Profit after Tax at Rs. 12,187 Million

A Brief History of MSIL

The Revolution
Maruti created history by going into production in a record 13 months. On 14December 1983, the first compact car Maruti 800 rolled off the Gurgaon plant. Then Prime Minister of India, Ms. Indira Gandhi, handed over the keys of the first car to Mr. Harpal Singh of Delhi. Volume targets were routinely exceeded, and in March 1994, MUL Became the first Indian company to produce over one million vehicles, a landmark yet to be achieved by any other car company in India. Maruti is the highest volume car manufacturer in Asia, outside Japan and Korea. Maruti is one of the most successful automobile joint ventures, and has made profit every year since inception. In 2008-09, Maruti strengthened is leadership position by increasing its market share to 54.5%.

A Licence and a Joint venture agreement was signed with Suzuki Motors Company of Japan, in October 1982, by which Suzuki acquired 26% share of the equity, Suzuki further increased its equity share to 50% 1992, thereby converting Maruti Udyog Limited into nongovernment company. In 2002 under the disinvestment plan of Indian government, Suzuki has got 4 more percent of shares and at present it is raised to 54.2%.

Transfer of Technology

Every minute four vehicles roll out of the Marutis Plant. It is therefore imperative that the transfer of contemporary technology from our partner Suzuki is a smooth process. Great stress is laid on training and motivating the people who made and maintain the equipment, since the best equipment alone cannot guarantee high quality and productivity. From the beginning it was a conscious decision to send people to Suzuki Motor Corporation for on-

the-job training for the line technicians, supervisors and engineers. This helps them to imbibe the culture in a way that merely transferring technology through documents can never replicate. MSIL workforce has been trained under this program.

Background of SMC
Suzuki was found in 1909 as Suzuki Loom Manufacturing Company. It started manufacturing motorcycles in 1952 and has since become a world leader in the manufacture of two- wheelers. Suzuki started producing cars in 1955. One year later the companys name was changed to Suzuki Motors Company Limited. Today it is Japans largest manufacturers of small, fuel efficient cars. At present the companys name is Suzuki Motors Corporation.

Maruti Code of Conduct

A code has been developed to assist all the employees in their dealing with whom the company does business i.e. customers, dealers, suppliers and with each other. The code is not substitute for the judgment and discretion of individual employee in day-to-day work. The code contains advice for making decisions in situations where there are no precedents, so that a common set of norms of business behaviour can grow throughout the company. Following are the important points:

Integrity Trust Image Consumer-orientation.

MSILs Gurgaon Plant

The manufacturing plant, located about 25 kilometres south of New Delhi in Gurgaon, has an installed capacity of 5, 00,000 units per annum. The total area of plant is 297 acres. The average daily production is around 2500 vehicles a day. The whole production facility has been divided into 3 plants: Plant I (Maruti 800, Omni, Gypsy, Eeco) Plant II (Alto, Wagon R, Maruti 800) Plant III (Alto, Wagon R)

The other activities include research and development and the utilities (captive power plant, water and effluent treatment plant, compressor house, boiler house, air washer and incinerator facility).

CORPORATE MILESTONES
1980s
1983 1984 1985 1986 796 cc Hatchback Launched Launched Omni Launched Maruti Suzuki Gypsy Produced 100,000 vehicles since commencement of Operations 1987 First lot of five hundred Maruti 800 cars exported to Hungary

1990s
1990 1993 1994 1994 1995 1997 Three box car with 1000 cc Launched Zen Launched Esteem Produced 1 millionth vehicle since inception Plant 2 became operational at Gurgaon New Maruti 800 Standard & Deluxe. Produced 2 millionth vehicle since inception 1999 Plant 3 became operational at Gurgaon. Launched Baleno and Wagon R

2000s
2000 2000 Launched Alto, Altura Set up Institute of Driving Training and Research (IDTR) in Delhi to promote safe driving habits 1st Auto Company in the world to receive ISO 9001- 2000 Certification for Quality Standards by AV Belgium 2001 Launched new businesses: Maruti True Value, Maruti Finance and Maruti Insurance. Versa Launched. 2002 Suzuki Motors Corporation takes management control of Maruti 2003 M800, Zen & Esteem in the top 10 automotive brands in the Most Trusted Brand Survey, 2003 2004 2005 2006 Launch of Esteem Minor Five millionth car rolls out. Launched Swift 2nd Institute of Driving Training and Research set up in Delhi. Zen Estilo launched. Swift DZire Launched. 2007 Swift Diesel launched

2007

Manesar car assembly plant inaugurated. Diesel engine and transmission plant, Suzuki Power train India Limited Inaugurated SX4 Launched, Grand Vitara launched.

2008 2008 2008 2008 2008 2009 2009 2009 2010 2011 2012

DZIRE Launch of the fifth world strategic model A-Star Launch of M-800 LPG Marked Silver Jubilee year in India Inauguration of the KB engine facility at Gurgaon First shipment of A-Star from Mundra Port Ritz launched Grand vitara 2.4 launched Eeco launched Swift Lxi, Vxi, Zxi, Ldi, vdi, zdi Ertiga, Swift dzire
Maruti Cervo is going to be introduced by the company

around Diwali this year. The small car will replace the car next next door, Maruti 800 which has garnered a huge success in India since 1983. Maruti Cervo price is expected to be tagged around Rs 1.5 lakh giving a tough competition to Tata Nano,

SHAREHOLDING AND DIRECTORS

MSIL BOARD OF DIRECTORS
Maruti Suzuki Limited is a Board-managed company. Currently the directors on the Board are:

Mr. R. C. Bhargava, Chairman Mr. Shinzo Nakanishi, Managing Director & Chief Executive Officer Mr. Keiichi Asai, Director (R&D). Mr. Hirofumi Nagao, Joint Managing Director Mr. Tsuneo Ohashi, Director (Production) Mr. Shuji Oishi, Director (Marketing & Sales) Mr. Osamu Suzuki, Director Mr. D. S. Brar, Director Mr. Amal Ganguli, Director Ms. Pallavi Shroff, Director Mr. Manvinder Singh Banga, Director

Companys Vision
Our vision for the future is to be:

The leader in the Indian Automobile Industry, creating Customer delight and Shareholders Wealth: A Pride of India

Companys Mission
To provide a wide range of modern, high quality fuel efficient vehicle in order to meet the need of customer, both in domestic & export markets

Companys Core values

The five Values identified are as follows: Customer obsession Fast, flexible and first mover Innovation and creativity Networking and partnership Openness and learning

Ethos of MSIL
Employees are Marutis greatest strength and asset. It is this underlying philosophy that has moulded its workforce into a team with common goals and objective. The employeemanagement relationship is therefore characterized by: Participative management

 Team work & Kaizen Communication & information sharing Open office culture for easy accessibility

Culture Building Initiatives since Inception

Japanese Management philosophy of team spirit Common uniform Open office Common Canteen Morning Meetings Morning Exercises

Level Structure

MANAGING DIRECTOR & CEO

DIECTOR & MEO MEO / EO

DVM / SFM 2

DDVM / SFM 1

DPM / FMGR

SR. MANAGER

MANAGER

DY. MANAGER

ASST. MANAGER SUP/ASUP

ASSOCIATE

As against the traditional hierarchical system of the management which causes unnecessary delays in decision making. MSIL has structured of a flat organization with familiar atmosphere. MSIL is functional organization. The company is divided into different divisions. A Divisional Manager (DVM) heads each division. Divisions are further divided into departments, which are headed by Department Manager (DPM), who reports to their respective Divisional Managers.

The following levels are the levels and the designations at MUL: LEVELS SENIOR MANAGEMENT ED DVM DDVM SFMGR DPM IDPM / INCHARGE FMGR MGR L-13 L-12 L-11 E-0 L-10(S) L-09(S) L-08(S) ASUP L-10 L-09 L-08 L-07 L-06 L-05 L-04 L-03

MIDDLE MANAGEMENT

EXECUTIVES

SUPERVISORS

TECHNICIANS

L-02 LWO LTO

Organization Structure
Administration (HR/FIN/IT) -Mr. S.Y Siddiqui, MEO Engineering (Engg/QA/PI/SERVICE) -Mr. Asai Keiichi, MEO & Board Member -Mr. I.V Rao, MEO Mr Shinzo Nakanishi Managing Director & CEO Production (PRODN./PE) -Mr. Ohashi Tsuneo, MEO & Board Member -Mr. M.M Singh, MEO Supply Chain -Mr. S. Maitra, MEO -Mr. Kazuhiko Ayabe, EO M&S -Mr. Oishi S, MEO & Board Member -Mr. Mayank Pareek, MEO

The Organization Structure at MSIL consists of five divisions: Administration Engineering Production Supply Chain Marketing & Sales. These divisions are headed by Management Executive Officers, both by Indian MEOs and their Japanese counterparts. The apex position is held by the MD & CEO of the company.

World of Maruti:
KAIZEN

Its a Japanese word which means Improvement We emphasize on Change = Simplification of systems and processes- in everything that one does, he should strive for continuous improvement.

5S

5S stands for 5 initials of the following Japanese words: SEIRI - Organization of resources SEITON - Orderliness SEISO - Cleaning SEIKETSU - Cleanliness SHITSUKE Discipline

3M

MURI Inconvenience MUDA Wastage MURA Inconsistency Eliminate these 3Ms

3K

KIMERAARETA KOTA GA- What has been decided KICHIN TO MAMARU Must be followed KIHON DORI Exactly as per the standard

Man

4M

Machine Material Method

Oasis Portal

Oasis, the employee portal has been developed for easy access across the extended organization. The scope of the portal is to provide effective information delivery, and streamline application services with in the organization .Oasis has been designed to address the challenge of collaboration so that one can connect to the right person, at the right time to gain the access to the right resources. The act of sharing knowledge, embodied in OASIS must help all employees to do a better job, whatever their function.

ERP

A new generation network systems, Enterprise Resource Planning or ERP, has been added to the IT infrastructure at Maruti. This online processing system has brought all business processes within a single network, there by creating greater synergy among them .Another significant aspect of ERP is that it has

enabled enhanced interaction between employees within the company they can service themselves online for many needs. The ERP system has a wide application .It integrates all departmental functions to a common IT network. For this system Maruti collaborated with ORACLE India Pvt.Ltd.

Japanese Practices at MSIL

Egalitarianism and discipline: These were the elements that the Maruti management most emphatically stressed right from the very beginning. Common uniforms, a large common canteen and open office culture were all manifestations of a culture that espoused no social or hierarchical differences. Punctuality and attendance have naturally meant a great deal of production system i.e. all most completely conveyed. Informality, Two-way communication and Familial Relationship: The concept of informality has been ingrained into the Maruti work climate. On the shop floor the supervisor is almost indistinguishable from the worker. There exists as an easy camaraderie and sharing of the problems as they come along. Interaction with a wide crosssection of the workers and the staff revealed a uniform pride in their informality with each other and in easy, personal interaction, free from shackles of a formalized, structured hierarchy. Employment stability and Welfare: One message that Maruti has wanted every employee in the company to receive is that that the company cares. The company has made genuine attempts to give to every individual self esteem and sense of dignity. To aspects of care have been particularly emphasized in the Japanese Management philosophy-lifetime employment and a compassionate concern for employee welfare.

Stress on Training:

At MSIL, training and development forms an important

aspect of ensuring growth of an employee within the organization. Continuous behavioural

and functional training sessions for employees at all levels are conducted to promote excellence. Maruti has an extensive training calendar to cover all categories of employees, i.e. Technician, ASup/Sup, L-11 to L-14 and DPM & above category. To have a well rounded development of employees, the calendar comprises of: -Behavioural Trainings -Functional trainings -Safety trainings

The training man days target per annum per employee; for each category: 2.5 man days for Technician 5 man days for Assistant Supervisor / Supervisor 10 man days for L11 & above

Consultative Decision Making: At Maruti everyone is involved in the decision making and problem solving decisions are made jointly or by consensus. Under the Ringi decision system, everyone affected by a decision must approve of the proposed decision before it is sent to the higher management. Quality Circles and Suggestion Schemes: To provide impetus to better quality and productivity through involvement of all employee and teamwork suggestion schemes and quality circles have been introduced in MSIL. The objective is to encourage the people to think of ways of improving the existing work methods and come up with the improvements big and small both. This activity is not linked to product quality alone. It is related improvement in the daily working of any department or functional area, through team efforts and spirit of achieving excellence in ones area of work.

a. Suggestion Schemes: MSIL attaches a great value to its human resources. They
believe that every employee is capable of coming up with ideas that can lead to significant improvements in all spheres of the organizations activity.

b. Quality Circles: Another way of tapping the hidden potential of people is through
quality circles. Quality circle are forums for people within a section or department to voluntarily come together and work towards making improvements in the field of work through group discussions and group decisions. Quality circle is a movement that is not linked to the improvement of the product quality alone, but also improve quality of work in general resulting in increase in efficiency, productivity, cost saving, safety, cleanliness, orderliness etc. all of which ultimately contribute to making a stimulating work environment.

New Initiatives in MSIL

Maruti Insurance
In an effort to become a complete car company, Maruti has entered the car insurance business as well. The Company is engaged in the business of selling insurance policies to Maruti Car owners in a tie-up with National Insurance Company Ltd.

Maruti Finance
Marutis finance offers best financial packages to consumers across the entire Maruti range. The service is being extended across the country in a phased manner.

Maruti True Value

Maruti has taken its first step in a pre-owned car business under the brand name of Maruti True Value. Using their technological expertise, network support and the experience they have gained in the 20 years, the company is ensuring the customer gets great value and completes the transactions with no hassles or discomforts.

Any Time Maruti

Maruti Suzuki has also set up state- of-the-art call centers (operational in Delhi, Gurgaon, Mumbai, Chennai, Bangalore and Hyderabad) braded anytime Maruti, this 24 hours helpline clarifies all doubts and queries regarding MSIL any time of the day or night.

The market share of Maruti in the industry can be plotted as follows:

MARUTI SUZUKI INDIA LIMITED

SWOT ANALYSIS OF MARUTI SUZUKI INDIA LIMITED STRENGTHS:

Largest network of dealers and after sales service centres in the country. Diverse product range in small car segment. Strong Indian association. Entry into second hand car market with a brand name Maruti True Value. Diversified business model. Strong brand value. Loyal customer base: Awarded for best customer satisfaction in JD Power survey. Highly efficient Production Process.

WEAKNESS:
Lack of product range in higher end and luxury car segment. Inferior quality interiors inside the car

OPPORTUNITIES:
Booming economy. Consumer spending on the rise with rise in the middle class. Large export market especially for its concept cars like A-star and splash. Opportunity to re-enter into the diesel segment of the cars. Although MSIL launched Zen in diesel version but it was unsuccessful. Large export markets especially for its concept cars. Liberal policies of government of India

THREATS:
PLC of cars becoming shorter, so need to upgrade continuously. Entry of international players like GM & Toyota with better technology. Launch of 1 lakh car-Nano by Tata Motors and another by Bajaj- Renault Nissan can eat the market share of Marutis entry level cars. Rising input prices of steel, aluminium and plastic present a big challenge to the company. Rise in fuel prices can slow the pace of car market growth. Stricter Environmental laws like Euro 4 can render Marutis old models outdated

Porters Five Forces Model

The key factors that influence the performance of the company are: 1. Competitive Rivalry 2. Power of Suppliers 3. Power of Buyers 4. Threat of substitutes 5. Threat of new entrants The analysis on the basis of Porters Five Forces Model has been summarised in the table on the next page.

Power of Buyers:
Customers exert influence because: i. Buyers look for incentives in the form of cost discounts and better after sales services. ii. Customers are very sensitive to price. iii. Customers may not be brand loyal and thus, would choose a company which gives them the best offer.

Power of Suppliers:
Steel is a major input in the automobile industry thus; steel prices have a sharp and immediate impact on the product price. Substitute inputs are restricted to non critical or additional components like electronic gadgets and interior design components. Since Maruti enjoys a considerable share of the market, it has significant buying power over the suppliers.

iv.

Buyers consider cars as a long term investment and hence conduct an exhaustive study of the various offers available.

The firm may easily move towards a

supplier with lower costs.

Degree of Competitive Rivalry:

in every segment of passenger cars.

Threat of New Entrants:

very high. In fact, the automobile industry has

High degree of competition persists The threat of a new firm entering the industry is Launch of cars like Tata Nano and already witnessed a lot of global players setting up Bajaj Renault Nissan can eat away their production capacities. However there are the market share of Marutis entry certain barriers to entry: level cars. i. tremendous growth ii. Government Policies Patents and Proprietary Knowledge High start up costs and economies of scale.

Due

to

opportunities, the country is acting as a platform for existing players to expand and new global players to enter.

iii.

Threat of Substitutes:

The threat of substitutes is high as several players have products in the categories catered by Maruti. However, in the 800 cc, the Company is the market leader and the threat is low. Price performance comparison favours heavily towards Maruti in most of the product categories which acts as a deterrent for consumers to look for substitutes.

Also, the high availability and quality of services given by Maruti offer a better trade off
to customers.

Human Resource Division

MEO (ADMIN)

DVM (HR)

DDVM (PHR)

DDVM
(Safety & Welfare & Administration)

HRM HRD

EMR

Administration

MHR

Safety & Welfare - Gurgaon

CHR E HR JPS PR VIG

JV HR Safety & Welfare - Manesar

HRD RECRUITMENT, TRAINING, OD, R &R CHR Commercial HR (Marketing & Sales) EHR Engineering HR JPS Japanese Secretariat PR Public Relation VIG Vigilance EMR Employee Relations MHR- Manesar HR

HR Vision
Lead & Facilitate continuous change towards organizational excellence; create a learning & vibrant organisation with high sense of pride amongst its members.

HR Mission
Lead & Facilitate change towards creating a Positive Environment for employees where people understand & believe that they have to contribute to the fullest in making MSIL an Excellent company which can then facilitate for the employees opportunities for career development & growth and a feeling of pride to be a part of MSIL.

HR Functions
The following are the various HR functions at MSIL:

HRM

HRD

EMR
Plant HR

CHR

EHR

MHR

PR

S&W

HR Polici es PMS

Recr uitm ent Train ing

Serv ices

R& R
Recr uitm entEngi neer s

Plant HR at Manesar

IR
PMS

IR
Marke ting & Sales

PMS
Compliance

Com pens ation Esta blish ment

OD
Compliance

Group HR

R& R

RecruitmentAssociates

Recruitment

The Production Process at MSIL

The production process at Maruti Suzuki Limited follows the production system of Suzuki Motors Corporation, Japan. The efficiency of Marutis production process and assembly line can be judged by the fact that the vehicle rolls out of Maruti every 16 seconds. The plant produces 2500 vehicles per day and on an average each vehicle takes 12 hours for its completion out of which 6hours are consumed in the paint process. At its 3 plants, Marutis carrying out only the core operation related to the vehicles all other activities i.e. non core operations are outsourced. The production follows the assembly line method with steel coils going through one end and the finished vehicles coming out at the other.

The whole process starts with steel coils. Earlier these were imported from Korea and Japan, but now they are obtained indigenously. The steel coils are first are unrolled and straightened out into a long sheets. These sheets are then cut into relevant sizes, depending upon the size of the parts to be manufactured like those, side panels and bonnets etc. This whole process is known as blanking.

Next is the pressing operation that involves shaping the rectangular steel sheets into relevant sheets .this is a capital intensive processes. The component sheets then moved to weld shop whereby the process of resistance welding, which consumes less power sheets are welded together for further strength. Individual panels of the cars are again welded together and the final outer structures are takes shape.

This body then move on to paint shop where it first undergoes the cleaning process consisting of 8 stages after which three coats/ layers of the paint are applied on the car body. The first layer of the paint is applied by the electroplating in which the car body is charged as the cathode and paint is as anode. The next layer is intermediate coat. These two are done on the white body of the car; the final coat is the colour coat which is done by spray robots.

In the machine shop, MSIL manufactures five critical components of the engines like cam shaft, crank shaft, cylinder head, transmission box etc. which are then send to engine shop and those sources from the vendors from the assembly shop .the assembly shop receives the engine from engine shop, body from paint shop and around 250 modules of various components of the car like axle, seats etc. directly from the vendor. In the assembly shop all these are put together and the final, finished car come to shape.

Cam shaft

Crank shaft

This car then goes to stringent vehicle inspection of each critical function after which the vehicle is taken for final test round. The vehicle then passing the test run send to the supply and dispatch division. The whole process is highly efficient and automated to extend of 46%.the assembly shop is also following the flexible manufacturing system, where different models of vehicles are assembled one after the other. The system of JIT is followed for obtaining parts from the vendor directly on the shop floor; it is unique system that works well. By following time tested Japanese philosophies like Kiazen, Kanban, and 3G etc. MSIL has been able to improve its efficiency due to which it today occupies 54.5% share of the passenger car market and has become a household brand name in India.

PRODUCTION PROCESS
Steel Coils

Blanking

Pressing

Welding

Painting

From vendors

Assembly

From Engine shop

Vehicle Inspection

Test Run

Supply and Dispatch

Chapter 2: Concept Review

CONCEPT REVIEW

Recruitment and Selection:

Recruitment involves attracting and obtaining as many applications as possible from eligible job- seekers. Selection is the process of differentiating between applicants in order to identify and hire those with a greater likelihood of success in a job.

Significance of Recruitment and Selection:

To increase the pool of job candidates at minimum cost. To determine the present and future requirements of the firm in conjunction with its personnel planning and job activities. To attract and encourage more and more candidates to apply in the organization.

Recruitment needs are of three types:

PLANNED i.e. the needs arising from changes in organization and retirement policy. ANTICIPATED: Anticipated needs are those movements in personnel, which an organization can predict by studying trends in internal and external environment. UNEXPECTED: Resignation, deaths, accidents, illness give rise to unexpected needs.

Recruitment Process:
The recruitment and selection is the major function of the human resource department and recruitment process is the first step towards creating the competitive strength and the strategic advantage for the organizations. Recruitment process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and requires many resources and time. A general recruitment process is as follows: Identifying the vacancy: The recruitment process begins with the human resource department receiving requisitions for recruitment from any department of the company. These contain:

Posts to be filled Number of persons Duties to be performed Qualifications required

Preparing the job description and person specification. Locating and developing the sources of required number and type of employees (Advertising etc). Short-listing and identifying the prospective employee with required characteristics. Arranging the interviews with the selected candidates. Conducting the interview and decision making.

Identify vacancy Prepare job description and person specification Advertising the vacancy Managing the response Short-listing Arrange interviews Conducting interview and decision making The recruitment process is immediately followed by the selection process i.e. the final interviews and the decision making, conveying the decision and the appointment formalities.

Recruitment Process Map

A flow chart showing the Recruitment Process:-

Start
HR informs Function Head Function Head Line Manager after Function Heads approval creates requsition for position Position budgeted No

Recommendation for approval by CEO/ Unit HR Head/ Regional Head

Manpower Budget defined

Vacancy created (Employee Resigns/ Otherwise)

of the vacancy in case of resignation and Function Head informs HR in other cases.

Approval from President

RM sends the requirement to empanelled list of consultants

/CHRO

Yes

RM posts the requirement on job sites, Website & IJP RM initiates the Recruitment process Line Manager / Function Head sends Approved the requirement to Resourcing Manager (RM)

RM contacts candidates from existing database End

RM Intimates employees for emp referral

Rejected

Sources of Recruitment:
Every organization has the option of choosing the candidates for its recruitment processes from two kinds of sources: internal and external sources. The sources within the organization itself (like transfer of employees from one department to other, promotions) to fill a position are known as the internal sources of recruitment. Recruitment candidates from all the other sources (like outsourcing agencies etc.) are known as the external sources of recruitment SOURCES OF RECRUITMENT

INTERNAL SOURCES Internal manpower (transfers, Ex-Apprentice

EXTERNAL SOURCES Educational institutes Placement agencies Labor contractors Employee referrals Recruitment at factory gate

Internal Sources of Recruitment:

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

External Sources of Recruitment:

PRESS ADVERTISEMENTS: Advertisements of the vacancy in newspapers and journals are a widely used source of recruitment. The main advantage of this method is that it has a wide reach. EDUCATIONAL INSTITUTES: Various management institutes, engineering colleges, medical Colleges etc. are a good source of recruiting well qualified executives, engineers, medical staff etc. They provide facilities for campus interviews and placements. This source is known as Campus Recruitment. PLACEMENT AGENCIES: Several private consultancy firms perform recruitment functions on behalf of client companies by charging a fee. These agencies are particularly suitable for recruitment of executives and specialists. It is also known as RPO (Recruitment Process Outsourcing) EMPLOYMENT EXCHANGES: Government establishes public employment exchanges throughout the country. These exchanges provide job information to job seekers and help employers in identifying suitable candidates.

LABOUR CONTRACTORS: Manual workers can be recruited through contractors who maintain close contacts with the sources of such workers. This source is used to recruit labor for construction jobs. UNSOLICITED APPLICANTS: Many job seekers visit the office of wellknown companies on their own. Such callers are considered nuisance to the daily work routine of the enterprise. But can help in creating the talent pool or the database of the probable candidates for the organization. EMPLOYEE REFERRALS / RECOMMENDATIONS: Many organizations have structured system where the current employees of the organization. Can refer their friends and relatives for some position in their organization. Also, the office bearers of trade unions are often aware of the suitability of candidates. Management can inquire these leaders for suitable jobs. In some organizations these are formal agreements to give priority in recruitment to the candidates recommended by the trade union. RECRUITMENT AT FACTORY GATE: Unskilled workers may be recruited at the factory gate these may be employed whenever a permanent worker is absent. More efficient among these may be recruited to fill permanent vacancies.

Factors Affecting Recruitment

The recruitment function of the organizations is affected and governed by a mix of various internal and external forces. The internal forces or factors are the factors that can be controlled by the organization. And the external factors are those factors which cannot be controlled by the organization. The internal and external forces affecting recruitment function of an organization are:

FACTORS AFFECTING

INTERNAL FACTORS Supply and demand Labor market Image/ goodwill Political, social, legal environment Unemployment rate

EXTERNAL FACTORS Recruitment policy Human resource planning Size of the firm Cost of recruitment Growth and expansion

Internal Factors Affecting Recruitment:

The internal forces i.e. the factors which can be controlled by the organization are: 1. RECRUITMENT POLICY The recruitment policy of an organization specifies the objectives of recruitment and provides a framework for implementation of recruitment programme. It may involve organizational system to be developed for implementing recruitment programmes and procedures by filling up vacancies with best qualified people.

FACTORS AFFECTING RECRUITMENT POLICY

Organizational objectives Personnel policies of the organization and its competitors. Government policies on reservations. Preferred sources of recruitment. Need of the organization. Recruitment costs and financial implications.

2. HUMAN RESOURCE PLANNING

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

3. SIZE OF THE FIRM

The size of the firm is an important factor in recruitment process. If the organization is planning to increase its operations and expand its business, it will think of hiring more personnel, which will handle its operations.

4.

COST

Recruitment incur cost to the employer, therefore, organizations try to employ that source of recruitment which will bear a lower cost of recruitment to the organization for each candidate.

5. GROWTH AND EXPANSION

Organization will employ or think of employing more personnel if it is expanding its operations.

External Factors Affecting Recruitment:

The external forces are the forces which cannot be controlled by the organization. The major external forces are:

1. SUPPLY AND DEMAND

The availability of manpower both within and outside the organization is an important determinant in the recruitment process. If the company has a demand for more professionals and there is limited supply in the market for the professionals demanded by the company, then the company will have to depend upon internal sources by providing them special training and development programs.

2. LABOUR MARKET
Employment conditions in the community where the organization is located will influence the recruiting efforts of the organization. If there is surplus of manpower at the time of recruitment, even informal attempts at the time of recruiting like notice boards display of the requisition or announcement in the meeting etc will attract more than enough applicants.

3. IMAGE / GOODWILL
Image of the employer can work as a potential constraint for recruitment. An organization with positive image and goodwill as an employer finds it easier to attract and retain employees than an organization with negative image. Image of a company is based on what organization does and affected by industry. For example finance was taken up by fresher MBAs when many finance companies were coming up.

4. POLITICAL-SOCIAL- LEGAL ENVIRONMENT

Various government regulations prohibiting discrimination in hiring and employment have direct impact on recruitment practices. For example, Government of India has introduced legislation for reservation in employment for scheduled castes, scheduled tribes, physically handicapped etc. Also, trade unions play important role in recruitment. This restricts management freedom to select those individuals who it believes would be the best performers. If the candidate cant meet criteria stipulated by the union but union regulations can restrict recruitment sources.

5. UNEMPLOYMENT RATE
One of the factors that influence the availability of applicants is the growth of the economy (whether economy is growing or not and its rate). When the company is not creating new jobs, there is often oversupply of qualified labor which in turn leads to unemployment.

6. COMPETITORS
The recruitment policies of the competitors also affect the recruitment function of the organizations. To face the competition, many a times the organizations have to change their recruitment policies according to the policies being followed by the competitors.

Recruitment Strategies:
Recruitment is of the most crucial roles of the human resource professionals. The level of performance of and organization depends on the effectiveness of its recruitment function. Organizations have developed and follow recruitment strategies to hire the best talent for their organization and to utilize their resources optimally. A successful recruitment strategy should be well planned and practical to attract more and good talent to apply in the organization. For formulating an effective and successful recruitment strategy, the strategy should cover the following elements:

1. Identifying and prioritizing jobs

Requirements keep arising at various levels in every organization; it is almost a neverending process. It is impossible to fill all the positions immediately. Therefore, there is a need to identify the positions requiring immediate attention and action. To maintain the quality of the recruitment activities, it is useful to prioritize the vacancies whether to focus on all vacancies equally or focusing on key jobs first.

2. Candidates to target
The recruitment process can be effective only if the organization completely understands the requirements of the type of candidates that are required and will be beneficial for the organization. This covers the following parameters as well: Performance level required: Different strategies are required for focusing on hiring high performers and average performers. Experience level required: the strategy should be clear as to what is the experience level required by the organization. The candidates experience can range from being a fresher to experienced senior professionals. Category of the candidate: the strategy should clearly define the target candidate. He/she can be from the same industry, different industry, unemployed, top performers of the industry etc.

3. Sources of recruitment
The strategy should define various sources (external and internal) of recruitment. Which are the sources to be used and focused for the recruitment purposes for various positions? Employee referral is one of the most effective sources of recruitment.

4. Trained recruiters
The recruitment professionals conducting the interviews and the other recruitment activities should be well-trained and experienced to conduct the activities. They should also be aware of the major parameters and skills (e.g.: behavioral, technical etc.) to focus while interviewing and selecting a candidate.

5. How to evaluate the candidates

The various parameters and the ways to judge them i.e. the entire recruitment process should be planned in advance. Like the rounds of technical interviews, HR interviews, written tests, psychometric tests etc.

HR Challenges in Recruitment:
Recruitment is a function that requires business perspective, expertise, ability to find and match the best potential candidate for the organization, diplomacy, marketing skills (as to sell the position to the candidate) and wisdom to align The recruitment processes for the benefit of the organization. The HR professionals handling the recruitment function of the organization- are constantly facing new challenges. The biggest challenge for such professionals is to source or recruit the best people or potential candidate for the organization. In the last few years, the job market has undergone some fundamental changes in terms of technologies, sources of recruitment, competition in the market etc. In an already saturated job market, where the practices like poaching and raiding are gaining momentum, HR professionals are constantly facing new challenges in one of their most important function- recruitment. They have to face and conquer various challenges to find the best candidates for their organizations.

The major challenges faced by the HR in recruitment are:

Adaptability to globalization The HR professionals are expected and

required to keep in tune with the changing times, i.e. the changes taking place across the globe. HR should maintain the timeliness of the process.

Lack of motivation Recruitment is considered to be a thankless job. Even if

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

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

Strategic prioritization The emerging new systems are both an

opportunity as well as a challenge for the HR professionals. Therefore, reviewing staffing needs and prioritizing the tasks to meet the changes in the market has become a challenge for the recruitment professionals.

CHAPTER 3: OBJECTIVES & MEHODOLOGY

Objectives:

1.

To study the Recruitment and Selection Process at MSIL To study the Recruitment and Selection Process of GETs To propose an alternative process for Joining of GETs at MSIL To learn and practice the recruitment and selection process of GETs

2.

3.

4.

Methodology:
1. Observing the Recruitment and Selection Process at MSIL under the guidance of the Organization mentor.

2.

Practicing the processes involved in the recruitment and selection process. Coordinating the joining process of GETs Understanding and analyzing the present process of GETs selection at MSIL and with the suggestion and guidance from the concerned organization mentor, propose a new approach for the same.

3.

4.

Chapter4: Recruitment and Selection Process At MSIL

RECRUITMENT PROCESS AT MSIL

HIRING

CAMPUS (FRESHERS) MBA GETs ET

LATERALS (EXPERIENCED) CONSULTANTS ADVERTISEMENTS REFERALS TRANSFERS

RECRUITMENT AND SELECTION PROCEDURE FOR GETs:

In any organization there are three main functions of HR:

Talent Acquisition Talent Development Talent Retention

Every company has specific requirements in terms of skills, people and resources. For any company there are mainly two ways of fulfilling their requirement of personnel; namely, from fresh graduates or lateral hiring.

The history of GETs is nearly as old as Maruti Suzuki itself. At MSIL, campus recruitment is one of the major sources, wherein the recruitment team visits different colleges and hires fresh engineers which are called as GETs (Graduate Engineer Trainees). Maruti hires GETs from the premier colleges of India. Around 250 GETs are hired every year keeping in view the business requirement.

SOURCE FOR RECRUITMENT:

Campus placement

The recruitment team visits top campuses of engineering all over India. There they give their presentations in which they tell about their company, profile and the package been offered to them. Then they start the process by conducting written test, those who qualify the written round are allowed to sit for the interview round.

List of Campuses for Recruitment of GETs

S.NO 1 2 3 4 5 6 7 8 9 10 NAME OF INSTITUTE IIT-ROORKEE IT-BHU,VARANASI NIT-BHOPAL NIT-KURUKSHETRA NIT-SURATHKAL NIT-JAMSHEDPUR NIT-JALANDHAR PEC,CHANDIGARH THAPAR UNIVERSITY,PATIALA BIT MESRA,RANCHI

11 12 13 14 15 16 17 18 19 20

PSG,COIMBATORE NIT-ALLAHABAD IGIT,NOIDA OSMANIA UNIVERSITY JHADAVPUR UNIVERSITY GBPUAT,PANTNAGAR ARAI,PUNE DEI,AGRA DCE,DELHI JIIT,NOIDA

SELECTION PROCESS:

1. Preliminary interview (screening applications): Initial screening is done to weed out totally undesirable/ unsuitable candidates at the outset. It is essentially a sorting process in which prospective candidates are given the necessary information about the nature of the job and the organization, at the same time, the necessary information is also elicited from the candidates about their education, skills, experience. It helps to determine whether it is worthwhile for the candidate to fill up the application form. Eligibility requirement for GETs were 65% aggregate till last semester with no back paper. But now, it is 65% aggregate till last semester and 65% in 10th. Candidates should be from approved campus.

2. Application form: It is a traditional and widely used device for collecting information from the candidates. It provides all the information relevant to selection, where reference of caste, religion, birth place, may be avoided as it may be regarded an evidence of discrimination. 3. Selection test: The eligible students are required to sit for the written test. The different sets of question paper are prepared. It consists of objective type questions based on their major specialization subject.

4. Employment Interview: The qualified candidates falling under the cut off list are called for the personal interview which is carried out by the DPM s, one representative from the HR and other from the Technical department or by the DPM of L14. Employers invite applicants for interviews prior to the main selection procedure. These interviews are useful for information exchange. They provide an opportunity to discuss the full nature of the job, the working environment, and prospects for further development. The interviewer judges the Practicality and cost-effectiveness. But there are other factors. Reliability is a measure of the consistency of results. Validity is about whether or not the method achieves its purpose in distinguishing the most suitable applicants from the others.. the students are recruited from mechanical, electrical, electronics and communication, civil, computer science etc. The office timings are discussed. The candidates have to report in office and punch their id cards before or sharp 8:45 am else half day salary gets deducted. The office timing ends at 5:30pm. No transportation and accommodation facilities are provided. Uniform is free of cost. 5. Medical examination: As the candidate is been selected for company he is been asked to undergo a medical test in the hospitals referred by the company, this includes chest measurement, eye sight, blood group, height, weight, and test for color blindness, before joining he again has to undergo a final medical checkup by CMO within the company premises. CMO gives the medical certificate after checking the candidates medical report and his proper medical checkup (THAT THE CANDIDATE IS PHYSICALLY AND MENTALLY FIT TO JOIN THE COMPANY) 6. Joining: At the time of joining the candidate is been asked to submit copies of certain documents. A separate record file of each candidate is been maintained by the company. All the documents are kept in that file following a serial order. The documents are checked which includes:-

MARUTI SUZUKI INDIA LIMITED CHECKLIST OF DOCUMENTS- GETs 2010

S.NO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 DOCUMENTS REMARKS CV INTEVIEW ASSESSMENT SHEET APPOINTMENT LETTER ACCEPTANCE LETTER CODE OF CONDUCT MEDICAL CERTIFICATE PASSPORT SIZE PHOTOGRAPHS 10TH MARKSHEET 10TH PASS CERTIFICATE 12TH MARKSHEET 12TH PASS CERTIFICATE B.TECH MARKSHEET M.TECH MARKSHEET SC/ST CERTIFICATE PANCARD PHOTOCOPY BOTH COPIES OF AGREEMENT SURETYs PANCARD COPY COPY OF SURETYs IT RETURN STATEMENT COURSE COMPLETION CERTIFICATE COMPANY FORM

After checking and filing of documents the candidate gets the staff number, then he is been sent to the uniform store to collect his sets of uniform. Each candidate is given 3 sets of uniform. After he collects the uniform he is been asked to open the bank account in those banks who have their tie-up with the company, so that their salary can easily be transferred. After their joining the process goes on for two days and then their induction gets started. 7. Induction: The systematic and planned introduction of employees to their jobs, their co-workers and the organization is called induction. At this juncture various induction courses are done to new recruit in order to acclimatize them with new working environment. The induction period starts after the two days process of their joining. For the first week they have their orientation in the HR department. Then from the second week they are send on the rotational training to different different departments in the plant.

CHAPTER 5: DISCUSSION AND FINDING OF THE STUDY

Suggestions and recommendations from the findings of the study:

Question 1: GD should be conducted for all the levels.
I like to suggest that GD should be conducted for all the levels as GD is essentially an arrangement wherein a group of individuals are made to sit in a group and asked to share their opinions on certain topic of discussion and use rationale to conclude at the end. As I observed that they are considered as a part of management and associated in decision making process so they should have good listening as well as speaking skills which can be easily identified from GDs. It also improves the ability to think critically and helps them to solve the problem under stress conditions, builds team work. Hence improves the overall communication skills. Thus, I concluded that GD should only be conducted for all the levels and we can have training programmes to groom them.

Question 2: The interview process was conducted smoothly.

As said, The best candidate may not get the job, but the best interviewee might Interviews are one of the most important hiring tools available to employers, used extensively to judge how appropriate a prospective candidate to fill a role with an organization. As it provides an opportunity to meet several candidates and screen them to find the ones most suitable for the organization, to evaluate a persons skills, capabilities and personality trait. It also gives a chance to communicate about the companys policies, beliefs, work culture and hire the best talent to fill the job vacancy. As we know that interview is a part of selection process.

Question 3: The medical test was conducted smoothly.

A job offer is often contingent upon the candidate being declared fit after the physical examination. It helps to detect if any individual carries any infectious diseases and assists in determining whether an applicant is physically fit to perform the work.

Question 4: The joining formalities were lengthy.

Joining formalities includes submission of documents, fulfilling the requirements, terms and conditions of the company. So, I analyzed that the joining formalities conducted during the selection process were not lengthy

Question 5: ID card and uniform were provided within justified time period.
As we know that ID card and uniform are the part of the organization which reflects the personality of the individual. The common uniform and ID card are the few initiatives taken by MSIL for culture building and making them as a part or a new member of their family. So it is very essential that everyone should be given their ID and uniform timely.

Question 6: Safety training was imparted during HR induction.

An effective training program can reduce the number of injuries and deaths, property damage, legal liability, illnesses, and missed time from work. A safety training program can also help a trainer keep the required safety training courses organized and up-to-date. Safety training classes help to establish a safety culture in which employees themselves promote proper safety procedures while on the job. It is important that new employees be properly trained and embrace the importance of workplace safety as it is easy for seasoned workers to negatively influence the new hires. That negative influence however, can be purged with the establishment of new, hands-on, innovative effective safety training which will ultimately lead to an effective safety culture.

Question 7: Proper work related training is imparted to you.

The ultimate goal of any training program is to produce competent employees who can safely, effectively and efficiently perform the tasks required to meet your business requirements.

Question 8: Training was imparted at different workstations.

Training is an integral part of ensuring the workforce meet both today's and tomorrow's business requirements.Training should be imparted at different worksatations and one should be not restricted to one station because according to Apprentice Act,1961 one should work maximum for 48 hrs. in a week and for the rest of the time he should be trained at different workstations

Question 9: Is performance appraisal fair at MSIL.

Performance appraisal is necessary to measure the performance of the employees and the organization to check the progress towards the desired goals and aims. People differ in their abilities and their aptitudes. There is always some difference between the quality and quantity of the same work on the same job being done by two different people. Therefore, performance management and performance appraisal is necessary to understand each employees abilities, competencies and relative merit and worth for the organization. Performance appraisal rates the employees in terms of their performance.

Question 10: HR induction was appropriate.

HR induction is a systematic and planned introduction of employees to their jobs, their co-workers and the organization. The time of their induction the plant visit organized for them should be conducted in small groups and the company guides should be co-operarative so that the employees can ask their doubts. The company could also organize various quizzes and games which help the to know and communicate with each other.

CONCLUSION:

While preparing this project report I learnt many concepts of Human Resource Management like recruitment, selection, training etc. HR team is like a spinal cord of an organization, which connects and share information among the part of the body. Indeed, HRs biggest challenge is to ensure that the right people are hired within tight time frames and even tighter budgets. The current environment makes this challenge more pronounced due to the focus on all costs including the cost of recruitment. The best matched candidates appear at the top of the recruiters shortlist whereas earlier they may have gotten lost in the sea of irrelevant applications, real time matching ensures that the right candidates do get noticed for the right jobs. I have done this project with reference to Maruti Suzuki India Limited (MSIL) and I find it out that many facts while working on this project which has added a valuable experience in my life.

Bibliography

www.marutisuzuki.com

Induction manual of Maruti Suzuki India Limited Human resource management Garrey Dessler

Organizational behavior- Stephens P. Robbins