“A STUDY ON THE PROCESSES AND CHALLENGES INVOLVED IN RECRUITMENT FOR RETAIL INDUSTRY WITH RESPECT TO RELIANCE FRESH, BANGALORE” (Project Report Submitted in Partial fulfilment of the requirements of two year Post Graduate diploma in Business Administration) By Saumya Sinha (Registration no. 2K11058) Under the Guidance of Prof. Philcy Philip Mount Carmel Institute Of Management Bangalore, 560052 2011-2013 ACKNOWLEDGEMENTS I would like to express my sincere thanks to Sr.
Juanita, Director and Mr.
Michael Noronha, Dean of Management studies, Mount Carmel Institute of Management, for giving me an opportunity to do this project. I am immensely thankful to my project guide Prof. Philcy Philip, for her guidance towards the successful completion of the project. I would like to thanks Mr. Jatindra Kumar Mishra, Vice President-HR Reliance Retail Ltd. for giving me an opportunity to do a project in Reliance Retail Ltd. Bangalore. I would also extend my sincere thanks to Mr. Prabir Ku. Jena (HR Manager) and Mr Nagendra Kumar (HR Manager) of RELIANCE RETAIL for their valuable suggestions and support throughout the project.
I would also extend my gratitude to Mr. Solomon Jayakumar, who has helped me in this project. I wish to thank the Management and staff of Reliance who have extended their co-operation in providing me all the information required for preparing this project. Finally, I am thankful to my Family and Friends for having helped me in various ways in successful completion of this project work. Saumya Sinha Mount Carmel Institute of Management Bangalore
Guide Certificate Certified that the dissertation is based on an Original Project Study conducted by Miss. Saumya Sinha under my guidance. This project report has not formed a basis for the award of any other Degree/Diploma of the Institute or any other University. Director Signature Guide Signature (Sr. Juanita) (Prof. Philcy Philip) Declaration
I, Saumya Sinha solemnly declare that this Project report on “A Study on the processes and challenges involved in recruitment for retail industry with respect to Reliance Fresh, Bangalore” has been compiled by me and has not been copied from any student researcher/employee in any university/institution/ organization or any other place of distance learning under my knowledge. I have duly acknowledged the sources of primary data wherever they have been used in the project. Saumya Sinha PGDBA Mount Carmel Institute Of Management, Bangalore CONTENTS SR. NO. | Topics covered| Page no. |
Chapter 1:| Introduction & Theoretical Background of the Topic| 11-20| Chapter 2:| Research Design| 21-24| Chapter 3: | Company Profile| 25-33| Chapter 4: | Collection of Data, Analysis and Evaluation| 34-74| Chapter 5:| Summary of Findings, Conclusions and Suggestions| 75-82| | Bibliography| 83| | Annexure| 84-87| LIST OF TABLES TABLE NO. | TOPICS COVERED| PAGE NO. | 1. | Method adopted by Reliance to source candidates| 35| 2. | Type of recruitment preferred in Reliance| 37| 3. | Tests used during the process of recruitment| 39| 4. | Factors which influence the recruitment process in Reliance| 41| 5. Technological support for the process of recruitment| 43| 6. | Time taken by HR managers to fill the gap at store level| 45| 7. | Back out percentage of candidates after being offered| 47| 8. | Biggest challenge faced by the organization in the process of recruitment| 49| 9. | Most important reason for attrition| 51| 10. | Solution for attrition in the organization| 53| 11. | Working duration of CSA’s in the organization| 55| 12. | Information about the vacancy in the organization| 57| 13. | Time spent by CSA’s for the process of recruitment| 59| 14. Problems faced by CSA’s during the process of recruitment| 61| 15. | Satisfaction level of CSA’s with the recruitment Process| 63| 16. | Working duration of Ex-CSA’s in the organization| 65| 17. | Main reason behind leaving the organization| 67| 18. | Awareness of job profile at the time of joining| 69| 19. | Work environment is good or not| 71| 20. | Willingness to rejoin the organization| 73| LIST OF CHARTS SR. No. | TOPICS COVERED| PAGE NO. | 1. | Method adopted by Reliance to source candidates| 36| 2. | Type of recruitment preferred in Reliance| 38| 3| Tests used during the process of recruitment| 40| . | Factors which influence the recruitment process in Reliance| 42| 5. | Technological support for the process of recruitment| 44| 6. | Time taken by HR managers to fill the gap at store level| 46| 7. | Back out percentage of candidates after being offered| 48| 8. | Biggest challenge faced by the organization in the process of recruitment| 50| 9. | Most important reason for attrition| 52| 10. | Solution for attrition in the organization| 54| 11. | Working duration of CSA’s in the organization| 56| 12. | Information about the vacancy in the organization| 58| 13. Time spent by CSA’s for the process of recruitment| 60| 14. | Problems faced by CSA’s during the process of recruitment| 62| 15. | Satisfaction level of CSA’s with the recruitment Process| 64| 16. | Working duration of Ex-CSA’s in the organization| 66| 17. | Main reason behind leaving the organization| 68| 18. | Awareness of job profile at the time of joining| 70| 19. | Work environment is good or not| 72| 20. | Willingness to rejoin the organization| 74| CHAPTER – 1 INTRODUCTION INTRODUCTION Human Resource management is a function that helps managers recruit, select, train and develop members for an organization. Recruitment is an important part of an organization’s human resource planning and their competitive strength. Competent human resources at the right positions in the organization are a vital resource and can be a core competency or a strategic advantage for it. The objective of the recruitment process is to obtain the number and quality of employees that can be selected in order to help the organization to achieve its goals and objectives. With the same objective, recruitment helps to create a pool of prospective employees for the organization so that the management can select the right candidate for the right job from this pool.
Recruitment acts as a link between the employers and the job seekers and ensures the placement of right candidate at the right place at the right time. In this competitive global world and increasing flexibility in the labour market, recruitment is becoming more and more important in every business. Therefore, recruitment serves as the first step in fulfilling the needs of organizations for a competitive, motivated and flexible human resource that can help achieve its objectives. PURPOSE AND IMPORTANCE OF RECRUITMENT * Attract and encourage more and more candidates to apply in the organisation. Create a talent pool of candidates to enable the selection of best candidates for the organisation. * Determine present and future requirements of the organization in conjunction with its personnel planning and job analysis activities. * Recruitment is the process which links the employers with the employees. * Increase the pool of job candidates at minimum cost * Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants. * Help reduce the probability that job applicants once recruited and selected will leave the organization only after a short period of time. Meet the organizations legal and social obligations regarding the composition of its workforce. * Increase the pool of job candidates at minimum cost. * Begin identifying and preparing potential job applicants who will be appropriate candidates. * Increase organizational and individual effectiveness in short term and long term. * Meet the organizations legal and social obligations regarding the compositions of its workforce. | SOURCES OF RECRUITMENT Every organisation has the option of choosing the candidates for its recruitment processes from two kinds of sources: internal and external sources.
The sources within the organisation 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 OF RECRUITMENT1. TRANSFERS The employees are transferred from one department to another according to their efficiency and experience. 2. PROMOTIONS
The employees are promoted from one department to another with more benefits and greater responsibility based on efficiency and experience. 3. Others are upgrading and demotion of present employees according to their performance. 4. 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 organisations as the people are already aware of the organisational culture and the policies and procedures. 5.
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 RECRUITMENT1. 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. 2. 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. 3. 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) 4. 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.
Recruitment ProcessThe 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 organisations. 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: 1. Identify vacancy 2. Prepare job description and person specification 3. Advertising the vacancy 4. Managing the response 5. Short-listing 6. Arrange interviews 7.
Conducting interview and decision makingThe 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 POLICY OF A COMPANYIn today’s rapidly changing business environment, a well defined recruitment policy is necessary for organizations to respond to its human resource requirements in time. Therefore, it is important to have a clear and concise recruitment policy in place, which can be executed effectively to recruit the best talent pool for the selection of the right candidate at the right place quickly.
COMPONENTS OF THE RECRUITMENT POLICY * The general recruitment policies and terms of the organization * Recruitment services of consultants * Recruitment of temporary employees * Unique recruitment situations * The selection process * The job descriptionsFACTORS 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. RECENT TRENDS IN RECRUITMENT | |
The following trends are being seen in recruitment:OUTSOURCING In India, the HR processes are being outsourced from more than a decade now. A company may draw required personnel from outsourcing firms. The outsourcing firms help the organization by the initial screening of the candidates according to the needs of the organization and creating a suitable pool of talent for the final selection by the organisation. Outsourcing firms develop their human resource pool by employing people for them and make available personnel to various companies as per their needs.
In turn, the outsourcing firms or the intermediaries charge the organisations for their services. Advantages of outsourcing are: * Company need not plan for human resources much in advance. * Value creation, operational flexibility and competitive advantage * turning the management’s focus to strategic level processes of HRM * Company is free from salary negotiations, weeding the unsuitable resumes/candidates. * Company can save a lot of its resources and timePOACHING/RAIDING“Buying talent” (rather than developing it) is the latest mantra being followed by the organisations today.
Poaching means employing a competent and experienced person already working with another reputed company in the same or different industry; the organisation might be a competitor in the industry. A company can attract talent from another firm by offering attractive pay packages and other terms and conditions, better than the current employer of the candidate. But it is seen as an unethical practice and not openly talked about. Indian software and the retail sector are the sectors facing the most severe brunt of poaching today.
It has become a challenge for human resource managers to face and tackle poaching, as it weakens the competitive strength of the firm. E-RECRUITMENT Many big organizations use Internet as a source of recruitment. E- Recruitment is the use of technology to assist the recruitment process. They advertise job vacancies through worldwide web. The job seekers send their applications or curriculum vitae i. e. CV through e mail using the Internet. Alternatively job seekers place their CV’s in worldwide web, which can be drawn by prospective employees depending upon their requirements.
Advantages of recruitment are: * Low cost. * No intermediaries * Reduction in time for recruitment. * Recruitment of right type of people. DIFFERENCE BETWEEN RECRUITMENT AND SELECTIONBoth recruitment and selection are the two phases of the employment process. The differences between the two are: * Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation WHEREAS selection involves the series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts. The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best candidates for the organisation, by attracting more and more employees to apply in the organisation WHEREAS the basic purpose of selection process is to choose the right candidate to fill the various positions in the organisation. * Recruitment is a positive process i. e. encouraging more and more employees to apply WHEREAS selection is a negative process as it involves rejection of the unsuitable candidates. Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned with selecting the most suitable candidate through various interviews and tests. | | | HR CHALLENGES IN RECRUITMENTRecruitment is a function that requires business perspective, expertise, ability to find and match the best potential candidate for the organisation, diplomacy, marketing skills (as to sell the position to the candidate) and wisdom to align the recruitment processes for the benefit of the organisation. The HR professionals – handling the recruitment function of the organisation- are constantly facing new challenges.
The biggest challenge for such professionals is to source or recruit the best people or potential candidate for the organisation. 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 organisations. | ATTRITIONWhat is Meant by Attrition Rate? The term ‘attrition rate’ can be defined as “A reduction in the number of employees through retirement, resignation or death. ” It denotes the percentage change in the labour force of an organization. High percentage of labour turnover is not desirable for the organization because new workers are engaged in place of the workers who left the organization. Why do Employees Leave the Organization? There are a number of reasons for employees leaving the organization. Well, the most obvious reason for employees leaving any organization is higher pay.
The main problem here is that employees are moved from one location to another location along with their family. But this problem is taken care of by a salary hike which may be around 20%-35% per annum. Another factor is work timings. In some organizations, work timings are such that they are making employees leave the organization. Another factor is career growth. In many organizations, only 20% of employees are able to go to senior levels. This means that the remaining 80% of employees look for other organization where they can get opportunities for growth.
One more reason for leaving the organization is higher education. These days, in many organizations, employees are joining at very young age because of lucrative salaries being offered. But with time, they apply for higher education and try to move on to other organizations or sectors to occupy top management positions. The percentage of women workers is also responsible for higher attrition rate. These days, the percentage of women workers is around 30%. Generally, women workers leave the organization after marriage to take up their house-hold duties, irregular work hours et al. 0% of employee turnover can also be attributed to the mistakes during hiring process (Harvard Business Review). Other factors include accident making the worker permanently incapable of doing work, dislike for the job or place, unsatisfactory work conditions leading to strained work relationships with the employer; lack of security of employment et al also contribute for higher attrition rateAttrition rate is calculated as under A. Manpower at the beginning of the year add number of people recruited during the year less number of employees resigned. B.
Take the average of the manpower at the beginning of the year and the result of “A” above. C. Divide the number of employees resigned during the year by “B” above. In addition to the above you may go through the exit interview forms of the employees resigned and use information from the research. You may also contact a sample (10%) of the people who resigned 6 months or earlier, send them exit interview form again and see if the reason for change is the same as stated earlier. Further, you may redesign the exit interview form as questionnaire and send to the sample.
CHAPTER 2DESIGN OF THE STUDYINTRODUCTION TO THE SUBJECTRecruitment is of the crucial roles of the human resource professional. The level of performance of an organization depends on the effectiveness of its recruitment function. Organization has developed & follows recruitment strategies to hire the best talent for their organization and to utilize their resources optimally. A successful recruitment strategy should be well planned & practical to attract more & good talent to apply in the organizationRecruitment refers to the process of attracting, screening, and selecting qualified people for a job at an organization or firm.
For some components of the recruitment process, mid- and large-size organizations often retain professional recruiters or outsource some of the process to recruitment agencies. 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 organisations. Recruitment process involves a systematic procedure from sourcing the candidates to arranging and conducting the interviews and requires many resources and time.
In this competitive global world and increasing flexibility in the labour market, recruitment is becoming more and more important in every business. Therefore, recruitment serves as the first step in fulfilling the needs of organizations for a competitive, motivated and flexible human resource that can help achieve its objectives. Technically speaking, the functions of recruitment precedes the selection function and it includes only developing the sources of prospective employees and attracting them to apply for jobs in their organization. whereas selection is the process of finding out the most suitable candidates to the jobs out of the candidates attracted. STATEMENT OF THE PROBLEM:The company is facing a comparatively high rate of ATTRITION especially in its Reliance fresh stores, so a continuous recruitment of the eligible candidate is done to meet the standards. Moreover with the growth of the economy the company is also growing as many stores are being opened all over India so recruitment of right person with right skills for the right job has become very important.
SCOPE OF THE STUDY:The scope of the study was extended to all the stores of Bangalore in Karnataka, India through calls and e-mails for the recruitment of customer service associates (CSA’s) of reliance retail. The main study was extended to the RELIANCE FRESH division at Richmond road, Bangalore. OBJECTIVES OF THE STUDY * To study the recruitment process involved in the organization. * To study the employees perception towards the recruitment process * To analyse the challenges faced by the organization in recruitment * To study the major reasons for high attrition rate in Reliance Fresh, Bangalore. a * To give suggestions for improvement of recruitment process in Reliance Fresh, Bangalore METHODOLOGY: The data was collected from the primary & secondary sources. Tools and techniques for collection of dataPrimary data collection Primary data was collected from HR managers , Customer Service Associates(CSA’s) who are currently working at various stores of reliance fresh in Bangalore and Ex-CSA’s through questionnaire and telephonic interview. Secondary data collection:Secondary data was collected through HRM books, journals and internet. This data was graphically represented and analysed.
The findings are summarized and suggestions have been made. SAMPLING PLANConvenience sampling was used. Sample size for this project was 100 which included 40 Customer Service Associates, 40 Ex-CSA’s and 20 HR managers of Reliance. PLAN OF ANALYSISSimple Percentages have been calculated on the basis of response received from questionnaire to analyse the data. LIMITATIONS OF THE STUDY: * The sample size may be comparatively small compared to the population and there are chances that it may not represent the whole population. * The time and cost factors may affect the size of the sample. Every possibility of biased user opinion * Most of the samples was collected during the office time. So there will be a chance of receiving some wrong responses due to workload from the respondentsOVERVIEW OF CHAPTER SCHEMEChapter 1: IntroductionThis chapter includes an introduction to HRM, recruitment process and challenges. Chapter 2: Design of the studyThis Chapter includes a brief introduction of the subject background, statement of the problem, methodology, sampling plan, tools and techniques for collection of data, plan of analysis, limitations and an overview of chapter scheme.
Chapter 3: Profile of the companyThis chapter contains a complete profile of the organization in terms of history, the nature of its business, products or services, its competitors, turnover, number of branches, staff pattern, vision , mission and values of Reliance retail with reference to research topic. Chapter 4: Analysis & interpretation of data:The chapter contains an analysis of the primary data in tune with the objectives of the study. Each question is followed by explanations and inferences.
The analysis is also supported by tables and graphs. Chapter 5: Summary Of Findings, Conclusions & suggestions:This chapter provides a summary of the findings, conclusion drawn from the findings & also suggestions. It would also contain the Bibliography & AnnexureCHAPTER – 3PROFILE OF THE COMPANYThe India Retail industry is the largest among all the industries, accounting for over 10 per cent of the country’s GDP and around 8 per cent of the employment.
The Retail Industry in India has come forth as one of the most dynamic and fast paced industries with several players entering the market. But all of them have not yet tasted success because of the heavy initial investments that are required to break even with other companies and compete with them. The India Retail Industry is gradually inching its way towards becoming the next boom industry. The total concept and idea of shopping has undergone an attention drawing change in terms of format and consumer buying behaviour, ushering in a revolution in shopping in India.
Modern retailing has ente4red into the Retail market in India as is observed in the form of bustling shopping centres, multi-storied malls and the huge complexes that offer shopping, entertainment and food all under one roof. Retailing includes all activities involved in selling goods or services directly to final consumers for personal, non-business use. A retailer or retail store is any business enterprise whose sales volume comes primarily from retailing. Any organization selling to final consumers-whether a manufacturer, wholesaler or retailer-is doing retailing.
It does not matter how the goods or services are sold (by person, mail, telephone, vending machine or internet) or services are sold (in store, on the street, or in consumer’s home). RELIANCE INDUSTRIES LTDThe Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is India’s largest private sector enterprise, with businesses in the energy and materials value chain. Group’s annual revenues are in excess of US$ 58 billion. The flagship company, Reliance Industries Limited, is a Fortune Global 500 company and is the largest private sector company in India.
Backward vertical integration has been the cornerstone of the evolution and growth of Reliance. Starting with textiles in the late seventies, Reliance pursued a strategy of backward vertical integration- in polyester, fibre intermediates, plastics, petrochemicals, petroleum refining and oil and gas exploration and production –to be fully integrated along the materials and energy value chain. The Groups activities span exploration and production of oil and gas, petroleum refining and marketing, petrochemicals (polyester, fibre intermediates, plastics and chemicals), textiles, retail, infotech and special economic zones.
Reliance enjoys global leadership in its businesses, being the largest polyester yarn and fibre producer in the world and among the top five to ten producers in the world in major petrochemical products. Major Group Companies are Reliance Industries Limited, including its subsidiaries and Reliance Industrial Infrastructure Limited. WORDS BY THE FOUNDER- “Growth has no limit at Reliance, I keep revising my vision. Only when you dream it, you can do it” | | | | | * *
VISION:Through sustainable measures, create value for the nation, enhance quality of life across the entire socio-economic spectrum and help spearhead India as a global leader in the domains where we operate. MISSION Create value for all stakeholders Grow through innovation Lead in good governance practices Use sustainability to drive product development and enhance operational efficiencies. Ensure energy security of the nation Postal rural prosperity VALUES: Our growth and success are based on the ten core values of care, citizenships fairness honesty, integrity, purpose fullness, respect, responsibility, safety and trust.
RELIANCE BELIEVES IN GROWTH THROUGH COMMITMENTS AND THEREFORE CARES ABOUT: Quality Research & Development Health, Safety & Environment Human Resource Development Energy Conservation Corporate Citizenships ABOUT RELIANCE RETAIL LIMITED Reliance Retail, Ltd. is a subsidiary company of Reliance Industries. Founded in 2006 and based in Mumbai, it is the second largest retailer in India. Its retail outlets offer foods, groceries, apparel and footwear, lifestyle and home improvement products, electronic goods, and farm implements and inputs.
The company’s outlets also provide vegetables, fruits, and flowers. It focuses on consumer goods, consumer durables, travel services, energy, entertainment and leisure, and health and well-being products, as well as on educational products and services. SUBSIDIARIES OF RELIANCE RETAIL LIMITED Reliance Fresh – Retail Outlets of fruits, Vegetables & Groceries. Reliance Digital – Consumer Electronics retail Store Reliance Jewels – Jewellery Reliance Time Out – Lifestyle store of Books, Music, Movies, Toys, Gaming, Fragrances, Stationary. Reliance Trends – Apparel and Clothing
Reliance Footprints Limited Reliance Brand Limited Reliance styles India Limited Reliance Home Products Limited FOUNDED 29th of September 1988 As Chembur Patalganaga Pipelines Limited(CPPL) then in March it was rename as Reliance Industrial Infrastructure. HEADQUARTER Mumbai KERY PEOPLE Mukesh Ambani( CMD) With a vision to generate inclusive growth and prosperity for farmers, vendor partners, small shopkeepers and consumers, Reliance Retail Limited (RRL), a subsidiary of RIL, was set up to lead Reliance Group’s foray into organized retails.
Since its inception in 2006, Reliance Retail Limited (RRL) has grown into an organization that caters to millions of customers, thousands of farmers and vendors. Based on its core growth strategy of backward integration, RRL has made rapid progress towards building an entire value chain starting from the farmers to the end consumers. Reliance Retail continued to expand presence of its value and specialty formats. During the year, Reliance Retail opened 90 new stores spanning across ‘value’ and ‘specialty’ segments.
In-store initiatives, wider product choice and value merchandising enabled the business to achieve robust growth during this period. Its presence in the optics business is in partnership with Grand Vision. 51 new stores were added during FY:-11 taking the total presence to 100 stores across key markets in the country. The retail chain offers single brand optical products including Vision Express frames, lenses, contact lenses, sunglasses, solutions and accessories. For the very first time, consumers in India got the opportunity to experience Hamleys, which is considered to be the world’s most wonderful toy shop.
The brand was launched in India with opening up of 2 stores during the year. Reliance Brands also announced exclusive licensing arrangement with two leading international brands: Steve Madden, a leading designer, wholesaler and retailer of fashion-forward footwear and accessories for women, men and children. Quiksilver, a leading outdoor sports lifestyle company to launch their core brands ‘Quiksilver’ and ‘Roxy’. Across India, reliance Retail serves over 2. 5 million customers every week. Its loyalty programme, ‘’Reliance One”, has the patronage of more than 6. 75 million customers. * Dhirubhai H. Ambani Founder Chairman Reliance Group December 28, 1932 – July 6, 2002 Dhirubhai Ambani founded Reliance as a textile company and led its evolution as a global leader in the materials and energy value chain businesses. He is credited to have brought about the equity cult in India in the late seventies and is regarded as an icon for enterprise in India. He epitomized the spirit ‘dare to dream and learn to excel’. The Reliance Group is a living testimony to his indomitable will, single-minded dedication and an unrelenting commitment to his goals. * PRODUCTS & BRANDS
The Company expanded into textiles in 1975. Since its initial public offering in 1977, the Company has expanded rapidly and integrated backwards into other industry sectors, most notably the production of petrochemicals and the refining of crude oil. The Company from time to time seeks to further diversify into other industries. The Company now has operations that span from the exploration and production of oil and gas to the manufacture of petroleum products, polyester products, polyester intermediates, plastics, polymer intermediates, chemicals and synthetic textiles and fabrics.
The Company’s major products and brands, from oil and gas to textiles are tightly integrated and benefit from synergies across the Company. Central to the Company’s operations is its vertical backward integration strategy; raw materials such as PTA, MEG, ethylene, propylene and normal paraffin that were previously imported at a higher cost and subject to import duties are now sourced from within the Company. This has had a positive effect on the Company’s operating margins and interest costs and decreased the Company’s exposure to the cyclicality of markets and raw material prices.
The Company believes that this strategy is also important in maintaining a domestic market leadership position in its major product lines and in providing a competitive advantage. The Company’s operations can be classified into four segments namely: Petroleum Refining and Marketing business Petrochemicals business Oil and Gas Exploration ; Production business Others The Company has the largest refining capacity at any single location. The Company is: Largest producer of Polyester Fibre and Yarn 5th largest producer of Paraxylene (PX) 5th largest producer of Polypropylene (PP) th largest producer of Purified Terephthalic Acid (PTA) and Mono Ethylene Glycol (MEG) * * HISTORY: * The Reliance Retail had to face various difficulties before the launch of Reliance fresh, because of the various circumstances prevailing in Orissa, West Bengal and UP, along with the news focusing on the dearth of vegetables and fruits stocks. The retail business of Reliance then minimized its exposures in vegetable and fruit business, as a result established Reliance fresh positioning a pure super market play focusing on various categories like IT, consumer durables, home FMCG and food. * The retail company of Reliance may not supply the vegetables and fruits in a few states, the Reliance Fresh decided to not race with local wholesaler’s party because of the political reasons as well as its incapability to maintain a healthy supply chain. * GROWTH: Reliance Industries Limited Growth is Life * The first ever Reliance Fresh store was established in Hyderabad, wherein the company, mainly focused on the fresh produced vegetables and fruits at comparatively low price along with an introduction of farm to fork theory. * This was the idea, which was anticipated by the company was to take the supply direct from the farmers and then sell straightaway to the consumers removing the middle-men off the beaten track. Reliance introduced several formats in the marketplace to cater to needs of common people, which includes Reliance Fresh, Reliance super, Reliance Footprint, Reliance Timeout, Reliance Jewels, Reliance wellness, Reliance Mart and Reliance Digital, to name a few. In addition to this, the Reliance Retail also entered into a treaty with Apple, which is a leading Information Technology company, to set up a series of Apple Specialty Outlets branded as 1Sotre, with its first ever store in Bangalore. * With an idea to produce inclusive prosperity and growth of farmers, consumers, small shopkeepers and vendor partners, Reliance Retail was set up in order to lead the foray of Reliance Group into an organized retail. A typical Reliance Fresh store is pproximately 3000-4000 square feet and caters to a catchment area of 2–3 km. After launch, in a dramatic shift in its positioning and mainly due to the circumstances prevailing in UP, West Bengal and Orissa, it was mentioned recently in news dailies that Reliance Retail is moving out of stocking fruits and vegetable. Reliance Retail has decided to minimise its exposure in the fruit and vegetable business. The company may not stock fruit and vegetables in some states.
Though Reliance Fresh is not exiting the fruit and vegetable business altogether, it has decided not to compete with local vendors partly due to political reasons, and partly due to its inability to create a robust supply chain. This is quite different from what the firm had originally planned. When the first Reliance Fresh store opened in Hyderabad last October not only did the company say the store’s main focus would be fresh produce like fruits and vegetables at a much lower price, but also spoke at length about its “farm-to-fork” theory.
The idea the company spoke about was to source from farmers and sell directly to the consumer, removing middlemen out of the way. Reliance Fresh, Reliance Mart, Reliance Digital, Reliance Trends, Reliance Footprint, Reliance Wellness, Reliance Jewels, Reliance Timeout and Reliance Super are various formats that Reliance has rolled out. In addition, Reliance Retail has entered into an alliance with Apple for setting up a chain of Apple Specialty Stores branded as I Store, starting with Bangalore. OPPORTUNITIES IN INDIAN ORGANIZED RETAIL SECTOR
The opportunities in Indian organized retail sector are many for this sector is witnessing a boom. The Indian retail industry in amounted to US$ 200 billion in 2006, and out of this amount the amount the amount the Indian organized retail sector amounted to US$6. 4 billion. The opportunity in Indian organized retail sector can be judge from the fact that by 2010 it is expected to rise to US$23 . The Indian governments in 2005 allowed foreign direct investment (FDI) in single brand retail to 51%.
These have opened up a lot of opportunities in India organized retail sector. In fact 325 departmental stores, 300 new malls and 1500 super markets are being built which shows the tremendous opportunities in organized retail sector in Indian have entered in. reliance industries limited is targeting for annual sale of US$25 billion by 2011. It is planning to invest US$6 billion in order to open 1,500 supermarkets and 1000 hyper markets. Bharti telecoms is palling a joint venture with Telco a global retail giant worth 750 million. CHALLENGES OF RETAILING IN INDIA In India the Retailing industry has a long way to go, and to become a truly flourishing industry, retailing needs to cross the following hurdles: * The first challenge facing the organized retail sector is the competition from unorganized sector. * In retail sector, Automatic approval is not allowed for foreign investment. * Taxation, which favors small retail businesses. * Developed supply chain and integrated IT management is absent in retail sector. * Lack of trained work force. * Low skill level for retailing management. * Intrinsic complexity of retailing- rapid price changes, threat of product obsolescence and low margins. Organized retail sector has to pay huge taxes, which is negligible for small retail business. * Cost of business operations is very high in India. RECRUITMENT PROCESS AT RELIANCE RETAIL CUSTOMER SERVICE ASSOCIATES 1. Sourcing of Candidates 2. Interview Schedule 3 . Selected Candidates are registered. 4. Offer Generation 5. Joining Formalities 6. Training REGISTRATION OF CANDIDATE R Select R MTAS Recruiter Register Candidates-All the details are filled and registration no. is generated Again RMTAS Recruiter Enter Candidate Data-Save the details Now Interview Rating Sheet is filled and saved. RMTAS Offer Process Offer- Registration No. long with Store code is inserted. Requisition No and Position No. is inserted along with Date of Joining, Location, Grade and Salary are mentioned and offer is finally generated. After this medical details are maintained. PF form along with Application Form is printed Joining Formalities On Boarding CHAPTER – 4 ANALYSIS & INTERPRETATION OF DATA TABLE NO. 1: Method Adopted by Reliance to Source Candidates | No. Of Respondents (HR Managers)| Percentage| Employee Referral| 4 | 20| Campus Recruitment| 2| 10| Advertising| 1| 5|
Recruitment Agencies| 2| 10| Job Portals| 1| 5| Walk-In| 1| 5| All| 9| 45| TOTAL| 20| 100| Analysis: It can be analysed from the above table that 20% of the HR managers adopted employee referral to source candidates, 10% adopted campus recruitment and recruitment agencies to source candidates and 5 % through walk Ins and advertisements and 45% adopted all methods to source candidates. CHART NO. 1: Method Adopted by Reliance to Source Candidates
Inference: It can be inferred from the above chart that majority of HR managers adopted employee referral, campus recruitment, advertisements and walk in to source candidates which is good for the company in terms of selecting the right candidate for the job TABLE NO. 2: Type Of Recruitment Preferred in Reliance | No. Of Respondents (HR Managers)| Percentage| Internal Source| 5| 25| External Source| 5| 25| Both| 10| 50| TOTAL| 20| 100| Analysis: 5% of respondents felt that the type of recruitment preferred in reliance is from internal sources whereas another 25% felt it is from external sources but 50% felt that reliance prefers both external and internal sources to recruit candidates. CHART NO. 2: Type Of Recruitment Preferred in Reliance Inference: It is inferred from the above chart that majority of respondents felt that reliance fresh prefers both internal sources and external sources to recruit the right candidates which is highly appreciated TABLE No. 3: Tests Used During The Process Of Recruitment | No. f Respondents (HR Managers)| Percentage| Written tests| 5| 5| Aptitude Test| 2| 10| Personal Interview| 1| 5| Psychometric Test| 2| 10| All| 10| 50| Total| 20| 100| Analysis: It can be analysed from that above table that 5% of the HR managers uses written tests and PI to judge the candidates, 10% managers told that they use aptitude and psychometric tests to judge and 50% managers told that they conduct all the mentioned tests to judge the candidates.
CHART No. 3: Tests Used During The Process Of Recruitment Inference It can be inferred from the above chart that HR managers in Reliance conduct all types of tests to judge the candidates capabilities before hiring them which is beneficial for the company. TABLE NO. 4: Factors Which Influence The recruitment Process in Reliance | No. Of Respondents (HR Managers)| Percentage| Based on experience| 2| 10| Based on qualification| 5| 25| HR Policies of the company| 4| 20| All The Above| 9| 45| Total | 20| 100| Analysis:
It can be analysed from the above table that 10 % of the HR managers considers experience as one of the factors which influences recruitment process in Reliance while, 25% and 20% managers considers qualifications and HR policies of the company respectively as the important factors and 45% of them told that is based on all the above mentioned factors. CHART NO. 4: Factors Which Influence the recruitment Process in Reliance Inference: From the above chart, it can be inferred that candidates experience, qualifications and the HR policies of the company are the various factors which influences the recruitment process of Reliance.
TABLE No. 5: Technological Support For The Process Of Recruitment | No. of Respondents(HR managers)| Percentage| Telephone| 4| 20 | Video Conferencing| 2| 10| Online Support| 14| 70| Any Other| 0| 0| TOTAL| 20| 100| Analysis: It can be analysed from the above table that 70% of the HR managers use online support for the process of recruitment while 20 and 10% managers espectively told that it is also done through telephone and video conferencing. CHART No. 5: Technological Support For The Process Of Recruitment Inference: It can be inferred from the above chart that reliance uses online support in the process of recruitment which is helpful in recruiting the large mass of people without any chaos. TABLE No. 6: Time Taken By HR Managers to Fill The gap At Store Level | No. Of Respondents (HR Managers)| Percentage| 1day| 3| 15| 1-3 days| 14 | 70 | 7 days| 3| 15| -15 days| 0| 0 | TOTAL| 20| 100| Analysis: It can be analysed from the above table that 70% of the HR managers told that gap at the store level is filled maximum within 1-3 days while 15 % of them told that it either takes 1 day or 7 days to fill the gap. CHART No. 6: Time Taken By HR Managers to Fill The gap At Store Level Inference: So it can be inferred from the above chart that HR managers hardly takes 1-3 days to fill the gap at store level which shows that their recruitment team is doing fine job. TABLE NO. 7: Back Out Percentage Of Candidates After Being Offered No. Of Respondents| %age| 1-5%| 16| 80| 5-10%| 3| 15| 10-15%| 2| 10| 15-20%| 0| 0 | TOTAL| 20| 100| Analysis: It can be analysed from the above table that 80% of the HR managers told that back out percentage of the candidates after being offered is 1-5% and 15% told that it is 5-10% while 10% managers told that is around 10-15%. CHART NO. 7: Back Out Percentage Of Candidates After Being Offered Inference:
It can be inferred from the above chart that back out percentage of the candidates are between 1-5% after being offered which should be lessen in order to retain the employees. TABLE NO. 8: Biggest Challenge Faced By the organization in the process of recruitment | No. Of Respondents (HR Managers)| Percentage| Attrition| 16| 80| Availibility of manpower| 4| 20| Skilled people| 0| 0 | Salary Issues| 0| 0| TOTAL| 20| 100|
Analysis: It can be analysed from the above table that 80% of the HR managers consider attrition as the biggest challenge faced by the organization, while 20% of them told that availability of man power is also the problem that company faces. CHART NO. 8: Biggest Challenge Faced By the organization in the process of recruitment Inference: It can be inferred from the above figure, that the company is having high rate of attrition, which needs to be solved quickly in order to maintain its growth. TABLE NO. 9: Most Important Reason For Attrition | No.
Of Respondents (HR Managers)| Percentage| Lack of proper Work environment| 0| 0| Remuneration is not according to skills| 9| 45| Lack of job rotations| 6| 30| No lateral or vertical growth| 0| 0| lack of motivation| 0| 0| Salary and cut throat competition| 5| 25| TOTAL| 20| 100| Analysis: It can be inferred from the above table that 45% of the managers feels remuneration is the most important reason for attrition, 30% of them told that lack of job rotation is must be the important reason for attrition while 25% of them told that salary and cut throat competition is the most important reason for attrition.
CHART NO. 9: Most Important Reason For Attrition Inference: It can be inferred from above chart that according to the HR managers of reliance the remuneration along with the salary and cut throat competition are the most important reason for attrition in the company. TABLE NO. 10: Solution For attrition in the Organization | No. of Respondents(HR Managers)| Percentage| Bring the challenges in the work environment| 4| 20| Provide development and skill training| 8| 40| Tackle and solve employees issues in real time| 7| 35|
Create a preference based reward system| 1| 5| TOTAL| 20| 100| Analysis: It can be analysed from the above table that 40% of the HR managers believe that providing development and skills training to the employees can be the solution for attrition, 35% of them told that tackling and solving the employees issues in real time can be the solution while 20% of the managers suggested that bringing some changes in the work environment can be helpful and 5% thinks that creating a performance based reward system can be the solution for attrition. CHART NO. 0: Solution For attrition in the Organization Inference: It can be inferred from the above chart that attrition can be controlled if the company provides development and skills training to the candidates and also if they start solving employees issues in real time. TABLE NO. 11: Working duration of CSA’S in the organization | No. Of Respondents(CSA)| Percentage| Less than 6 months| 7| 17. 5| More than 6months| 15| 37. 5| 1 year| 10| 25| More than a year| 8| 20| TOTAL| 40| 100| Analysis: It can be analysed from the above table, that 37. % of the CSA’s are working in the company for more than 6 months but less than a year, 25% of them told that they are working from past one year, 17. 5% of the CSA’s told they are working from last 6 months and only 20% of the CSA’s are in the organization for more than a year. CHART NO. 11: Working duration of CSA’S are working in the organization Inference: It can be inferred from above chart that only 20 % of the CSA’s are in the organization for more than a year and so it is necessary for the company to take some steps in order to retain the employees for a longer period of time.
TABLE NO. 12: Information about the vacancy in the organization | No. Of Respondents(CSA)| Percentage| job Portals | 3| 7. 5| Reference| 8| 20| Leaflets| 4| 10| Advertisements| 5| 12. 5| Word Of Mouth | 20| 50| Any other Please Specify| 0| 0| TOTAL| 40| 100| Analysis: It can be analysed from the above table that 7. 5% of the CSA’s came to know about the vacancy in the organization from job portals, 20% of them told they came from reference, 10% told they got leaflets, 12. % came to know through advertisements and 50% of the CSA’s told that they came here by listening from their friends and relatives. CHART NO. 12: Information about the vacancy in the organization Inference: It can be inferred from the above that most of the people come to know through family and friends which is good but the company should do more advertisement to attract large number of people. TABLE NO. 13: Time Spent by CSA’s For the process of recruitment | No. Of Respondents(CSA)| Percentage| Less than 1 Day| 5| 12. 5| 1 Day| 5| 12. 5| 1-2 days| 25| 62. 5| More than 3 days| 5| 12. | TOTAL| 40| 100| Analysis: It can be analyzed from the above table that 12. 5% of the CSA’s told it takes less than a day to complete the whole process 12. 5 of them told that it takes 1 day and 3 days respectively and 62. 5 % of the CSA’s told that it takes 1-2 days in the whole process of recruitment. CHART NO. 13: Time Spent by CSA’s For the process of recruitment Inference: It can be inferred from the above chart that the candidates have to spend more than one whole day during the entire process of recruitment. TABLE NO. 14: Problems faced by CSA’s during the process of recruitment No. Of Respondents(CSA)| Percentage| Communication| 5| 12. 5| Documents Required| 10| 25| Time Involved | 20| 50| Managers Behavior| 2| 5| Any Other Please Specify| 3| 7. 5| TOTAL| 40| 100| Analysis: It can be analysed from the above figure that 12. 5% of the CSA’s considers communication as one of the problem faced by them at the time of recruitment 25% of them told documents required is one of the problem , 5% told managers behaviour and 50% of the CSA’s considers time as the biggest problem they come through while recruitment.
CHART NO. 14: Problems faced by CSA’s during the process of recruitment Inference: It can be inferred from the above chart that the time involved is the biggest problem faced by CSA’s during the process of recruitment which needs to be shorten. TABLE NO. 15: Satisfaction level of CSA’s with the recruitment Process | No. Of Respondents(CSA)| Percentage| Highly Satisfied| 5| 12. 5| Satisfied| 15| 37. 5| Neutral| 18| 45| Dissatisfied| 2| 5| Highly Dissatisfied| 0| 0| TOTAL| 40| 100| Analysis: It can be analysed from the above table that 12. % are highly satisfied with the recruitment process, 37. 5% respondents are satisfied, 45% is neither satisfied nor dissatisfied and 5% respondents are dissatisfied with the recruitment process in Reliance Fresh. CHART NO. 15: Satisfaction level of CSA’s with the recruitment Process Inference: It can be inferred from the above chart that majority of CSA’s are neither satisfied nor dissatisfied with the recruitment process. None of the CSA’s are highly dissatisfied with the process still there is scope for improvement of recruitment process in reliance fresh. TABLE NO. 6: Working duration of Ex-CSA’s in the organization | No. Of Respondents(Ex-CSA’s)| Percentage| Less than 6 months| 10| 25| More than 6 months| 18| 45| 1-2 years| 7| 17. 5| More than 2 years| 5| 12. 5| TOTAL| 40| 100| Analysis: It can be analysed from the above figure that 45% of the Ex-CSA’s told they have worked for more than 6 months, 17. 5% of them have worked for 1-2 years, 25% have worked for less than 6 months and 12. 5 % Ex-CSA’s have worked for more than 2 years. CHART NO. 16: Working duration of Ex-CSA’s in the organization Inference
It can be inferred from the above chart that majority of CSA’s have worked for more than 6 months, which implies the need to change the HR policies and practices to improve employee retention. TABLE NO. 17: Main Reason Behind Leaving the Organization | No. Of Respondents (Ex-CSA’s)| Percentage| Higher Studies | 3| 7. 5| Got Good Opportunity Somewhere Else| 12| 30| Due to Salary| 23| 57. 5| Behavior Of The Store Manager| 2| 5| Any Other, Please specify| 0| 0| TOTAL| 40| 100| Analysis: It can be analyzed from the above that 7. % of the Ex-CSA’s have left the organization due to higher studies, 30% have left because they got good opportunities somewhere else, while 5% have left the store due to bad attitude of the store manager and 57. 5% of Ex-CSA’s told that they have left the organization because they are not satisfied with the salary they are getting. CHART NO. 17: Main Reason Behind Leaving the Organization Inference: Therefore it can be inferred from the above chart that most of the CSA’s have left the company due to salary. They are paid but they are not satisfied with the amount they are getting.
TABLE NO. 18: Awareness Of Job Profile at the time of joining | No. Of Respondents(Ex-CSA’s)| Percentage| YES| 30| 75| NO| 10| 25| TOTAL| 40| 100| Analysis: It can be analyzed from the above table that 75% of the Ex-CSA’s were aware of the job profile at the time of joining while 25% of them are not aware before joining. CHART NO. 18: Awareness Of Job Profile at the time of joining Inference: It can be inferred from the above that all the candidates should made aware about the job profile at the time of joining. TABLE NO. 19: Work Environment is good or not | No.
Of Respondents(Ex-CSA’s)| Percentage| YES| 20| 50| NO| 20| 50| TOTAL| 40| 100| Analysis: It can be analysed from the above table that 50% of the Ex-CSA’s found the work environment good but 50% of the Ex-CSA’s told that it is not that good. CHART NO. 19: Work Environment is good or not Inference: It can be inferred from the above chart that work environment is neither very good nor very bad so it can be improved and made more comfortable for working. TABLE NO. 20: Willingness to rejoin the organization | No. Of Respondents(Ex-CSA’s)| Percentage| NO| 35| 87. 5| YES| 5| 12. 5| | 40| 100|
Analysis: It can be analyzed from the above table that 87. 5% of the Ex-CSA’s are not willing to rejoin the organization while only 12. 5% of them told that they can join the organization if they will get the opportunity. CHART NO. 20: Willingness to rejoin the organization Inference: It can be inferred from the above chart that most of the left employees will not join the organization again but few can join if they will get the opportunity. CHAPTER-5 FINDINGS, CONCLUSIONS & SUGGESTIONS SUMMARY OF FINDINGS From the above data analysis and interpretation, following are the findings: To study the recruitment process involved in the organization. * Reliance follows a particular process for recruitment which is good and is according to the HR policies of the company. * Reliance adopts different processes like employee reference, walk-ins, advertisements for sourcing the candidates which is good in terms of selecting the right candidate for the vacant position. * Reliance uses both the internal and external sources to recruit the candidates. * Reliance uses aptitude tests, written tests, personal Interviews and Psychometric tests to judge the candidates before hiring them. Reliance recruits the candidates based on their experience and qualifications along with the HR policies they have adopted. * To analyse the challenges faced by the organization in recruitment. * HR managers in reliance hardly takes 1-3 days to fill the gap at store level which shows that their recruitment team is doing good job. * It is found that back out percentage of the candidates after being offered is between 1-5% ,which should be lessen in order to retain the employees. * It is also found that the company is having high rate of attrition, which needs to be solved quickly in order to maintain its growth. It is also found that according to the HR managers the remuneration and cut throat competition are the most important reason for attrition in the company. * It is also found that attrition can be controlled if the company provides development and skills training to the candidates and also if they start solving employees issues in real time. * To study the employees perception towards the recruitment process * It is found that very few CSA’s are working in the organization for more than one year and so necessary measures are need to be taken in order to retain the employees for a longer period of time. It is also found that most of the employees come to know about the vacancies in the organization through their family and friends which are good but the company should do more advertisement to attract more people in large number. * It is also found that the candidates have to spend lots of time for the entire process of recruitment. * It is also found that the time involved is the biggest problem faced by CSA’s during the process of recruitment. * It is also found that CSA’s views are neutral towards the recruitment process so it can be improved and can be made more appropriate. * To study the major reasons for high attrition rate in Reliance fresh * It is found from the analysis that majority of the CSA’s have worked for more than six months and then left the company because they want hike in their salary. * Therefore, it can be inferred that most of the CSA’s have left the company due to salary. * It is also found that work environment is neither very good nor very bad so it can be improved. * It is also found that most of the Ex-CSA’s will not join the organization again but only very few can join if they will get the opportunity.
CONCLUSION Human resources are the most critical assets of any organization as the organization’s success lies in their hands. Recruitment is an important part of an organization’s human resource planning and their competitive strength. 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 decide whether they wish to work for it. High quality employees cannot be selected when better candidates do not know of job openings.
From my study, it can be concluded that reliance has an effective recruitment and selection process but some improvement still can be done. The process is successful in bringing the right person to the right place as the selection process is strict and ensures that best talent is brought to the company. Reliance hires the employees based on their qualification and experience according to the HR policies which is appreciable. The company is having high rate of attrition, which needs to be solved quickly in order to maintain its growth and reduce the recruitment cost.
The major reason for high attrition rate is compensation. Employees working at reliance fr