COMPARATIVE STUDY OF THE

RECRUITMENT AND SELECTION

POLICIES OF (B.H.E.L.) AND
(NALCO)

By:

A. DHIRAJ KUMAR

Submitted to
ASBM Institute of BBA

HUMAN RESOURCE
MANAGEMENT

UTKAL UNIVERSITY
[APRIL-2011]
ACKNOWLEDGEMENT

I have a great pleasure in presenting this project report on the data

collected by me on “Comparative Study of the Recruitment and
Selection Policies of (B.H.E.L.) and (NALCO)”.

I am very grateful to our Dissertation coordinator Prof. Mrs. Gayatri

Singh for giving timely advice and valuable suggestions.

I take this opportunity to express my heartfelt gratitude to my guide,

Prof. Mr. Soumendra Pattnaik who inspite of his busy schedule was
always ready to share with me pearls of wisdom from his vast
experience.

Finally, my special thanks to all those who have helped me to complete

this project work.

A Dhiraj Kumar
BBA –6th SEM
(ASBM INSTITUTE OF BBA,BHUBANESWAR)
BONAFIDE CERTIFICATE

This is to certify that this project report titled COMPARATIVE

STUDY OF RECRUITMENT AND SELECTION POLICIES OF
(B.H.E.L.) AND (NALCO) is the bonafide work of Mr. A. Dhiraj
Kumar who carried out the research under my supervision.
Certified further, that to the best of my knowledge the work
reported herein does not form part of any other project report or
dissertation on the basis of which a degree or award was
conferred on an earlier occasion on this or any other candidate.

Prepared by Project Guide

A. Dhiraj Kumar Prof. Mr. Soumendra Pattnaik
66371UT08047
CERTIFICATE BY FACULTY GUIDE

This is to certify that the Project Report entitled “Comparative Study of

the Recruitment and Selection Policies of (B.H.E.L.) and (NALCO)”is
an original piece of work done by Mr.A.Dhiraj Kumar, submitted in partial
fulfillment of Bachelor in Business Administration (BBA) under ASBM
Institute of BBA, Bhubaneswar & has been carried out under my Guidance
& supervision.

Prof. Mr.Soumendra Pattanaik

( ASBM Institute of BBA)
EXECUTIVE SUMMARY

I have done my project on comparative study of recruitment and

selection policies of (B.H.E.L.) and (NALCO). My main objective of this
study was to know the recruitment and selection policies of (B.H.E.L.)
and (NALCO), how much the employees of the companies are satisfied
with these policies, what are the differences between the policies of both
the companies and also the procedure of recruitment and selection of
both the companies and comparison between them.

Research methodology and method for the data collection was used by
referring manuals and magazines,websites,etc.

There was some limitation during the study like the sample chosen
doesn’t represent the total population.

On the basis of the observation and data collected the following

observation was:
• Preference should be given to the most eligible candidate,
irrespective of their sex.
• It should be suggested that the Company should pay the travel
expenses to the candidate.
• With changing times and changing needs the policies should be
flexible.
• The preference should be given to the most eligible candidate,
irrespective of whether candidate is internal or external.

TABLE OF CONTENTS
 CHAPTER-I INTRODUCTION
CHAPTER-II MEANING OF STUDY
CHAPTER-III OBJECTIVES OF THE STUDY
SCOPE OF STUDY.
METHODOLOGY OF THE STUDY
LIMITATION OF THE STUDY

CHAPTER-IV ORGANIZATIONAL PROFILE

COMPANY PROFILE OF BHEL
COMPANY PROFILE OF NALCO

CHAPTER-V DATA ANALYSIS AND INTERPRETATION

CHAPTER-VI OBSERVATIONS AND FINDING
CHAPTER-VII CONCLUSION AND SUGGESTIONS.
BIBLOGRAPHY

INTRODUCTION
RECRUITMENT

It is the process of finding and attracting capable applicants for

employment. The process begins when new recruits are sought and ends
when their applications are submitted. The result is a pool of applicants
from which new employees are selected.
– K. Ashwathappa

The overall aim of the recruitment process is to obtain the number and
quality of employees that are required in order for the business to achieve its
objectives.
Recruitment forms the first stage in the process, which continues with
selection and ceases with the placement of the candidate. Recruitment makes
it possible to acquire the number and types of people necessary to ensure the
continued operation of the organization. It is a positive process.

OBJECTIVES OF RECRUITMENT

1. To attract people with multi-dimensional skills and experiences that suits

the present and future organizational strategies.

2. To indicate outsiders with a prospective to lead the company.

3. To infuse fresh blood at all levels of the organizational.

4. To develop an organizational culture that attracts competent people to the

company.

5. To search or “head hunt/ head pouch people whose skills fit the
company’s values.

6. To device methodology for assessing psychological traits.

 7. To seek out non-conventional development grounds of talent.

8. To search for talent globally and not just within the company.

9. To design entry pay that competes on quality but not on quantum.

10.To anticipate and find people for positions that does not exist yet.

1. SOURCES OF RECRUITMENT
The sources of recruitment are classified into two categories, namely:-
A. .Internal source B. External source

A. Internal source:

Internal source includes the people who have become parts of the
organization, working or somehow left or retired or have appeared the
interview board, qualified, but due to non-availability of sanctioned posts
they have been queued or placement deferred.

Present permanent employees:- organizations consider the candidates from

this source for higher level jobs due to:

Availability of most suitable candidates for jobs relatively or equally to the

external source.
To meet the trade union demands.
To the organization to motivate the present employees.

Present temporary or casual employees: - organizations find this source to

fill the vacancies relatively at the lower level owing to the availability of
suitable candidates or trade and pressures or in order to motivate them on the
present job.

3. Retrenched or retired employees: - The organization takes the candidates for

employment from the retrenched employees due to obligation, trade union pressure
and the like. Sometimes the organizations prefer to re-employ their retired
employees as a token of their loyalty to the organization or to postpone some inter-
personal conflicts for promotion etc.
4. Department of deceased, disabled, retired and present employees: - Some
organizations with a view to developing the commitment and loyalty of not only the
employee but also his/her family members and to build up image provide
employment to the dependents of deceased, disabled and present employees.

B. External Source:
External source includes; Private employment agencies, Public employment
exchange, Campus recruitment, Professional Organization, Data Banks, Similar
Organization, Trade Unions.

1. Private employment agencies: - Private employment or agencies or consultants

like performs the recruitment functions on behalf of a client company by
charging fee. Line managers are relieved from recruitment function is entrusted
to a private agency or consultant. But due to limitation of high cost,
ineffectiveness in performance, confidential nature of this function, managements
sometimes do not depend on these sources.

2. Public employment exchange: - The Govt. set-up public employment exchange

in the country to provide information about vacancies to the candidates and to help
the organization in finding out suitable candidates. The employment exchange
(compulsory notification or vacancies) Act, 1959 makes it obligatory for public
sector enterprises in India to fill certain type of vacancies through public
employment exchange.
These industries have to depend on public employment exchange. These industries
have to depend on public employment exchange for the specified vacancies.

3.Campus recruitment: - This is a common phenomenon particularly in the

educational and training institutes/campus for recruitment purpose.

4. Professional Organization: - Professional organization or associations maintain

complete bio-data of their numbers and provide the same to various organizations on
requisition. They also act as an exchange between their numbers and recruiting firms
in exchanging information, clarifying doubts etc. Organizations find this source
more useful to recruit the experienced and professional employees like executives,
managers, engineers.

5. Data Banks: - The management can collect the bio-data of the candidates from
different sources like Employment exchange, Educational training institute,
candidates etc., and feed them in the computer. It will become another source and
the company can get the particulars as and when it needs to recruit.
6. Similar Organization: - Generally, experience candidates are available in
organizing producing similar products or are engaged in similar business. The
management can get most suitable candidates from this source. This would be the
effective source for active positions and for newly established organization or
diversified or expanded organizations.

7. Trade Unions: - Unemployed or under-employed persons or employees seeking

change in employment put a world to the trade union leaders with a view to getting
suitable employment due to latter’s intimacy with management. As such the trade
union leaders are aware of the availability of candidates it has to select the
recruitment techniques after deciding upon source.

FACTORS AFFECTING RECRUITMENT

There are two factors:-

A. Internal factors.
B. External factors.

A. Internal Factors: -

1. Size of organization: - The size of organization affects the recruitment process.

Experience suggests that larger organization find recruitment less problematic than
organization with smaller in size.

2. Recruiting policy: - The recruiting policy of the organization such as recruiting

from internal sources and from external sources.

3. Image of the organization: - Image Good image of the organization earned by a

number of overt and covert actions by management helps attract potential and
competent candidates. Managerial relations like good public relation, rendering
public services like building roads, public parks etc.

4. Image of the job: - Just as image of organization affects recruitment so does the
image of a job also. Better remuneration and working conditions are considered the
characteristics of good image of job.

B. External Factors: -

1. Demographic factors: - As demographic factors are intimately related to

human beings, i.e., employees, these have profound influence on
 recruitment process. For example, gender of the person also matters
when deputing him or her to work in night shift.

2. Labor market: - Labor market conditions i.e., supply & labor is a

particular importance in affecting recruitment process. For ex:- if the
demand for a specific skill is high relative to its supply, recruiting
employees will involve more efforts.

3. Unemployment situation: - When the unemployment rate in a given

area is high, the recruitment process tends to be simpler.

4. Legal consideration: - Reservation of jobs for the scheduled castes

scheduled tribes and other backward classes are the popular example of
such legal consideration.

RECRUITMENT PROCESS

Recruitment is the process of locating, identifying and attracting capable

applications for jobs available in an organization. Accordingly, the
recruitment process comprises the following five steps:

1. Recruitment planning.
2. Strategy development.
3. Searching
4. Screening.
5. Evaluation & control.

1. Recruitment planning:-
Planning involves to Draft:-
A comprehensive job specification for the vacant position, outlining its major and
minor responsibilities the skills, experience and qualification needed; grant (and
level of pay; whether temporary or permanent; alienation of special condition, if
any, attached to the in to be filled.
2. Strategy development:-
Once it is known how many with what qualifications of candidates are required,
the next step involved in this regard is to device a suitable strategy for recruiting
the candidates in the organization. The strategy considerations to be considered
may include issue like whether to prepare the required candidates themselves or
hire it from outside, what type of recruitment method to be used, what
geographical areas be considered for searching the candidates? Which sources of
recruitment to be practiced, and what sequence of activities to be followed in
recruiting candidates in the organization?

3.Searching:-
It involves attracting job seekers to the organization. There are broadly two
sources used to attract candidates. These are like:-

➢ Internal sources.
➢ External sources.
4.Screening:
Through some view screening as the starting point of selection, we have
considered it is as integral part of recruitment. The reason being the selection
process starts only after the application have been screened and short listed.
Job specification is invaluable in screening. Applications are screened against the
qualification knowledge, skills, abilities, interest and experience mentioned in the
job specification.

5. Evaluation and Control:-

The considerable cost involved in the recruitment process. Evaluation and control
is imperative. The cost generally incurred in recruitment process include:-

• Salary of recruiters.
• Cost of time spent for preparing job analysis, advertisement etc.
• Administrative expenses.
• Cost of outsourcing or overtime while vacancies remains unfilled.
• Cost incurred in recruiting unsuitable candidates.
METHODS OF RECRUITMENT

The methods of recruitment involves: -

• Internal
• Direct
• Indirect
• Third-party
A. Internal method: -
This is a practice of filling vacancies from within through transfer and promotions.
All transfer decisions are usually taken by management and communicated to that,
concerned. In case of promotion; however, information about the vacancies is
communicated through internal advertisement or circulation and applications.
Alternatively, organization may prepare seniority-cum-merit list and consider the
eligible candidates for internal promotion.

B.Direct method: -
These include campus interviews and keeping a live register of job seekers. Usually
used for job requiring technical and professional skills, organizations may visit
ITI’s, IIT’s and colleges and universities and recruit person from various jobs.

C. Indirect method: -
These include advertisement in the print media, Radio, Television, Trade,
Professional and Technical Journals etc. This method is appropriate where there is
plentiful supply of talent, which is geographically or otherwise spread out and when
the purpose of the organization is to reach out to a larger target group.

D.Third-party method: - They include reference to Employment Exchange, which

is a statutory requirement for the job/ organization to which the Employment
Exchange (compulsory notification) Act applies. Special Employment Exchange
have been set up in different places for displaced persons, Ex-military personnel,
Physically- handicapped, Professional etc. for higher skilled or technical jobs,
university employment bureau and council of scientific and industrial research have
also been set up.

SELECTION

Selection is the process of picking individuals who have relevant qualifications to

fill jobs in an organization. The basic purpose is to choose the individual who can
most successfully perform the job from the pool of qualified candidates.
– V.S.P.Rao
Selection is the process of choosing the most suitable candidates from among the
application for job. Hence it is called the negative process.
In this process relevant information about applicants is collected through series of
steps so as to evaluate their suitability for the job to be filled. It is the process of
weeding out unsuitable candidates and finally identifies the suitable candidates.
Selection divides all the applicants into two categories: a) suitable b) unsuitable
Selection is a negative process as it rejects a large no. of applicants to identify the
few who are suitable for the job. Faulty selection leads to wastage of time and
money and spoils the environment of the organization. Proper selection is helpful in
increasing the efficiency and productivity of the enterprise.

SELECTION OF METHODS / PROCESS

The selection process is likely to vary from organization to organization depending

upon the nature of jobs and organization. There is no standard selection process that
can be followed by all the
companies in all the areas.

Following are the selection methods generally followed by the companies. Selection
procedure employs several methods of collecting information about the candidate’s
qualification, experience, physical and mental ability, nature and behavior,
knowledge, aptitude and the like for judging whether a giving applicant is or is not
suitable for the job. Therefore the selection procedure is not a single act but
essentially a series of methods or stages by which different type of information can
be secured through various selection techniques. At each step, facts may come to
light which are useful for comparison with the job requirement and employee
satisfactions.

Steps in scientific selection process: -

• Job analysis.
• Recruitment.
• Application form.
• Written examination.
• Preliminary interview.
• Business games.
• Selection tests.
• Final interview.
• Medical examination.
• Reference checks.
• Line manager’s decision.
• Employment.
• Selection interview.
• Physical examination.
RECRUITMENT VS SELECTION

Recruitment Home » Recruitment Vs Selection

Both 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.
• There is no contract of recruitment established in recruitment
WHEREAS selection results in a contract of service between the
employer and the selected employee.
 Meaning of the Study

The challenge of HR managers today is to recognize talent and nature the

same carefully and achieve significant productivity gains over a period of
time because in an organization there are so many persons with varied
intelligence emotions attitudes. But the point is to maximize their inner
capabilities.
In the present scenario, the organization can survive only through effective
and efficient management of HR (Human Resources). In the present day, the
role of manager is generally to plan and change agent. In the present
situation the task of HR manager is very difficult. HR managers
responsibility and work becomes wide and of lots of variety. On the one
hand, he has to invite cultivated brains into the organization on the other
hand, to upgrade and nurture the existing ones. Hence he should carefully
implement the voluntary retirement schemes etc. before going for all of
these tasks. The HR manager is to change the attitude by convincing how
the organization is going to be benefited through all these things. In the
present situation where the VRS etc. are introducing, the job summary of the
workers is at a threat. So in this time the HR manager in to forest their
morals with a climate that staffs are the right persons with right
responsibilities.

A general condition of unhappiness among workers is unsatisfactory jobs with

poor opportunities. So they are often unhappier than those with have. In this
time the HR manager as a change agent should emphasize on to make the HR
subsystem affective and creative.

Under such circumstance, as stated above the role of the HR manager is

vital. The HR manager should strengthen channel richness by giving
emphasis on oral communication. In corollary to this the HR manager
should try to strengthen by making it more creative.

This study surely gives me a practical meaning/exposure about the pre-

privatization situation of the PSU’s.
Objectives of the Study
The objective of the study is to acquire:

• To study the effectiveness of the recruitment policy in NALCO

& BHEL.
• To study the recruitment follow-up.

• To know the employee satisfaction level in recruitment and

selection policy that followed by NALCO & BHEL.

Scope of the Study

The scope of the study is to understand the effect of recruitment in various
Human Resource functions of the organization. Thus the scope of the study
includes the areas such as:-
1. Human Resource Planning
2. Selection
3. Placement
4. Induction & Orientation
5. Training & Development

Methodology of the Study

The data for research work are collected either from the primary sources or
the Secondary sources.

• PRIMARY SOURCES: In the primary sources the data are

collected by direct interview of the senior executives of
(NALCO & BHEL) and distributing the questionnaires.
• SECONDARY SOURCES: In the secondary sources the data
are collected from various newsletters, magazines, journals and
other materials of (NALCO & BHEL).

Limitation of the Study

The time period is very short to prepare this project. The period of one and
half months was very tough for me because of the prescheduled professional
pre-occupation of the company and faculty guide and the respondents.
Nevertheless, the questionnaire was prepared and data was collected to make
everything bias free.
COMPANY PROFILE OF B.H.E.L

B.H.E.L. is the biggest and the oldest manufacturing division of public

sector corporation. Bharat heavy electricals limited is countries pioneering
engineering organization the first of its kind in Asia. Heavy electrical India
limited Bhopal was registered on 29th august 1956 with a view to reach self
sufficiency in industrial products and power equipment vital for
industrialization of country. Foundation stone was laid on 15th November
1958 and its production started on 1st July 1960. B.H.E.L. Was inaugurated
formally in November 1960 by late Prime Minister Shri Jawahar Lal Nehru.

To meet the total demand of heavy electrical equipment BHEL came in to

being as there was need for an integrated approach to the development of
power equipment manufacture in India and also to optimally utilize the
resources. It is the largest engineering and manufacturing enterprise of its
kind in India, and one of the leading international companies in the power
field. BHEL offers over 180 products and provides systems and services to
meet the needs of core sectors like: Power, Transmission, Industry,
Transportation, Non-Conventional Energy Sources, and Oil & Gas
Exploration & Telecommunication. With 14 Manufacturing Divisions, a
wide spread Regional Services Network, and Project Sites all over India &
abroad and with an export presence in more than 50 countries, BHEL is truly
India’s Industrial ambassador to the world. All major Manufacturing,
Erection and Service units of BHEL have been awarded ISO 9000
certification.
BHEL’s Bhopal plant is the company’s oldest unit with updated & state-of-
the-art manufacturing facilities. The product range at Bhopal includes
Hydro, Steam, Marine & Nuclear Turbines, Hydro & Turbo Generators,
Transformers, Switchgears, Control gears, Transportation, Equipments,
Capacitors, Bushings, Electrical Motors, Rectifiers, Oil Drilling Rig,
Equipments, Battery Powered Vehicles and Diesel Generating sets. This unit
have been recommended for ISO-14001 certificate for its Environmental
Management System.

BHEL Bhopal's strength is existed in its employees. Company invests in

Human Resource continuously and is alive to their needs. The plant's well
established township is spread over an area of around 20 sq kms. and
provides good Health facilities, Sports & Recreational Parks.
BHEL VISION, MISSION, VALUES

BHEL VISION:
A world class Engineering Enterprise committed to enhancing stakeholders
value.

MISSION:
To be an Indian multinational; engineering enterprise providing total
business solution through quality products, system and service in the fields
of energy, industry, transportation, infrastructure and other potential areas.

VALUES:

The values of BHEL are:

• Zeal to excel and zest for change.
• Integrity and fairness in all matters.
• Respect for dignity & potentials of individuals.
• Strict adherence to commitments.
• Ensure speed of response
• Faster learning, creativity & team work.
• Loyalty and pride in the company.
PRODUCT PROFILE OF BHEL

Power Utilization: -
➢ Industrial Machines
Power Generation: -
➢ Hydro Turbines
➢ Hydro Generators
➢ Heat Exchangers
➢ Excitation Control
➢ Equipment
➢ Steam Turbine
➢ Control & Relay Panel
Power Transmission: -
➢ Transformer
➢ Switchgear
➢ On- Load Tap Changers
➢ Large Current Rectifier
Transportation: -
➢ Transportation Equipment
Renovation & Maintenance:
➢ Hydro Power Stations
➢ Thermal Power Stations
➢ Worker Engg. & Services
Miscellaneous: -
➢ Fabrication
➢ Coil & Insulation
➢ Casting
ORGANIZATION CHART OF BHEL

CHAIRMAN & MANAGING DIRECTOR


DIRECTORS

EXECUTIVE DIRECTORS

GENERAL MANAGERS

ADDITIONAL GENERAL MANAGERS

DEPUTY GENERAL MANAGERS

SENIOR MANAGERS

MANAGERS

SENIOR EXECUTIVES

EXECUTIVES

SUPERVISORS

CLERKS
 CLASSIFICATION OF EMPLOYEES OF BHEL

EXECUTIVES:
• EDN
• GM
• AGM
• DGM
• DGM
• Sr. Manager
• Manager
• Dy. Manager
• Sr. Engineer/ Sr. Personnel Officer/Sr. ADM Officer
• Sr. Stores Officers/ Sr. Account officer
• Engineer/ Personnel Officer / ADM Officer
• Store Officer / Account Officer

SUPERVISORS:
• Sr. Executive Foreman
• Executive Foreman
• General Foreman / Chief Foreman
• Foreman / Store Holder Grade – I / Sr. Accountant Grade / Sr. Officer
Superintendent.
• Asst. foreman/ Store Holder Grade II / Accountant Grade II / Officer
Super Superintendent
• Charge Man/ Store Holder Grade III / Accountant Grade III / Asst.
Officer Superintendent.
TECHNICIANS:
• Chief Technician
 • General Technician
• Master Technician
• Sr. Technician
• Technician

ARTISANS:
• Electrical Grade I, II, III, IV
• Draftman Grade I, II, III, IV
• Fitters Grade I, II, III, IV
• Machinist Grade I, II, III, IV
• Turner Grade I, II, III, IV
• Welder Grade I, II, III, IV
• Winder Grade I, II, III, IV
• Rigger Grade I, II, III, IV
• Crane Operator Grade I, II, III, IV
• Lab Assistant Grade I, II, III, IV
• Black Smith Grade I, II, III, IV
• Patternmaker Grade I, II, III, IV

CLERICAL STAFF (NON SUPERVISORS)

• Librarian
• Compounder
 • Pharmacists
• Nurses
• Dresser
• Telex / Telephone Operator
• Drivers
UNSKILLED / SEMI SKILLED WORKERS
• Peons
• Mails
• Sweepers
• Workers on Daily Wages Etc.
RECRUITMENT PROCESS IN BHEL
Vaccant
No Position
Application
Call
Evaluation
Offer
Direct
Requisition
Resume
Rejection/Hold
for
Letter in the Orgn.
Evaluation
Process
Process
to
Short-List
selected Applica
Recruitment
Manpower
Details
Requisition
Candidates
requisition nt
Requisition approval Data
Blank
NORMS OF BHEL RECRUITMENT

BHEL mainly recruits Engineer Trainees, Supervisor Trainees and Artisans,

whenever vacancies for these positions are sanctioned. Once vacancies are
sanctioned, the recruitment for these position is conducted according to the
process which will be described in detail in open advertisement issued. You
may look out for such advertisements in the “Employment News”, and also
at this website, where it will also be hosted when issued. However, some
broad features are given below:

1. For the positions of-

a) Engineer Trainees
b) Supervisors Trainees
Normally above two recruitments are centrally conducted for various units
of BHEL and detailed advertisement, containing no. of vacancies, job-
specifications, selection process etc., is published in National Dailies.

For these positions, generally recruitment is conducted leveraging

technology, which requires submission of applications ‘on-line’ only. The
broad job-specifications are as under:

JOB SPECIFICATIONS:
a) For Engineer Trainees
Full time regular Bachelor’s Degree in Engineering or Technology from
a recognized Indian University/Institute in the relevant discipline with
minimum 60% marks in the aggregate of marks of all years/semesters.

b) For Supervisor Trainees

Full time regular Diploma in engineering in the relevant discipline with
minimum 60% marks in the aggregate of marks of all years/semesters
(releaxable to 55% for SC/ST candidates) from a recognized Indian
uiversity/institute.

Upper Age Limit

Engineer Trainee- 27 years for Graduates
29 years for Post-Graduate
Supervisor Trainee-27 years
The selection process involves on All India based written test followed by
interview. The process by which the candidates, who apply, are shortlisted
for inviting for written test and interview, is described in detail in the
advertisements issued.

2. For the position of Artisans

The recruitment for these positions is conducted by concerned unit only,
whenever vacancies are sanctioned to them. The detailed advertisement,
containing no. of vacancies, job -specifications, selection process etc., is
published in Employment News and hosted on BHEL website. Window
advertisement is, however, published in Local Dailies.

JOB SPECIFICATION:
Matric/SSLC + National Trade Certificate (NTC) in the relevant trade plus
National Apprenticeship Certificate (NAC) with not less than 60% marks for
Gen and OBC candidates and not less than 55% marks for SC/ST candidates
in both NTC and NAC.

Upper Age Limit- 27 years for General Candidates Relaxation in upper age
limit for various categories in all the above positions is as per Presidential/
Govt. Directives on reservations.
The selection process involves written test followed by interview. The
process by which the candidates, who apply, are shortlisted for inviting for
written test and interview, is described in detail in the advertisements issued.

Note:
1. The above mentioned job-specifications are broad in nature. As
such, it is advised to refer to the details of concerned
recruitment, whenever conducted.
2. Applications for jobs are to be submitted against specific
recruitment advertisement only and as prescribed.
3. Occasionally BHEL recruits persons at levels other than
described above. Any advertisements issued in this regard will
also be hosted at the site.
4. Unsolicited applications will neither be entertained nor
responded.
COMPANY PROFILE OF NALCO
1. Name: - National Aluminum Company Limited.

2. Location:- Corporate Office: Bhubaneswar

Mines & Refinery complex: Damanjodi

Aluminum Smelter & Captive power plant, Angul

Port facilities: Vizag

3. Registered Office:- Bhubaneswar

4. Regional Office:- Delhi, Calcutta, Mumbai, Chennai, Bangalore, Vizag

and Pondicherry

5. Ownership pattern:- Central Sector, A wholly owned Govt. of India

company

6. Main Promoter:- Ministery of Mines, Govt. of India, New Delhi

7. Top Management:- Mr. Venkataraman, C.M.D., NALCO

8. Foreign Collaboration:- M/S Aluminum Pechiney, Paris, France

9. Production centre:- Damanjodi, Angul

10. Port:- Paradeep, Visakhapatnam, Calcutta

11. Unit of NALCO:- A. Bauxite Mines:- Panchpata, Koraput

B. Alumina Refinery: - Damanjodi

C. Alumina Smelter: - Angul

D. Captive Power Plant: - Anugul

E. Port Facility: - Visakhapatnam

Brief History of the Company
National Aluminum Company Limited (NALCO) is considered to be turning
point in the history of Indian Aluminum Industry incorporated in 1981 as a
public sector enterprise. In a major leap forward, NALCO has not only
addressed the need for self sufficiency in Aluminum but also give the
country a technological edge in producing this strategic metal as per world
standard. NALCO was set up to exploit a part of the large bauxite deposits
discovered in the East coast in technological collaboration with aluminum
Pechiney of France.

NALCO is the first Aluminum Company to achieve ISO 9002 certification

for the four production units’ viz-mines refinery, smelter and power plant. It
is the first public sector company in the country to venture in to international
market in a big way. NALCO is Asia’s largest integrated Aluminum
Company, encompassing bauxite mining, alumina refining, aluminum
smelting and casting, power generation, rail and port operation.

In a major leap forward, NALCO not only addressed the need for self
sufficiency in Aluminum but also given the country a technological edge in
producing this strategic metal as per world standards.

NALCO assigned high importance promotion and maintenance of a

pollution free environment in all activities. The environment management
system in all production units confirms to the ISO 144001 norms. NALCO
has also won the population control excellence award of Orissa State
Population Control Board.

The Govt. of India has conferred the Navaratna status on National

Aluminum Company Limited (NALCO). The coveted status is conferred on
select, Central Public Sector Enterprise (CPSE) which emerged as
significant player in the economic development of country having
comparative advantages and capacity to become global giants.

NALCO has emerged to be a star performance in production and export of

aluminum and alumina more significantly in propelling self sustained in
growth leveraging the technical collaboration with alumina Pechiney of
France. Transparent and successful operations of NALCO as well as its
contribution have brought about remark all socio-economic progress in the
two under developed district of Orissa where the companies’ plant facilities
are located. Civil work constructions are erection of plant started after late
Smt. Indira Gandhi laid the foundation stone on 29th March 1981 at
Damanjodi (Koraput) in Orissa.

1981 – Formation of the company

1982 – Start of Commission

1987 – Commencement of Sales of Metal

1988 – Commencement of Alumina Export

1992 – Start Trading House Statue

1995 – ISO 9000 Company

Vision, Mission & Objective of the Company

VISION

To be a company of global reputed in aluminum sector.

MISSION

To achieve growth in business with global competitive edge providing

satisfaction to the customers, employees, shareholders and community at
large

RECRUITMENT AND SELECTION PRACTICES IN NALCO FOR

EXECUTIVES

In establishing and maintaining a dynamic organizational structure suited to

meet present and future company needs, NALCO is committed to have a
system for manning executive posts in the company with persons having
appropriate level of academic / professional qualification, skill, competence,
experience and motivation and for developing its own human resources in
such a manner as to integrate the aspirations for growth and development of
the individual employees with the fulfillment of the company’s objectives.
The company seeks to sustain high levels of performance from its executives
by maintaining a working environment conducive to the efficient and
effective functioning of each executive.

RECRUITMENT
A. COVERAGE
The rules contained in this part shall cover all recruitment of executives
made in the company at any level / grade (expect appointments made by the
Government).

B. SOURCES OF RECRUITMENT

Sources of recruitment shall be decided by the Chief Executive generally

from the following:
a) Advertisement in press on all India basis.

b) Circulation amongst government departments and other public sector

enterprises
where the candidates with requisite qualification and experience are
likely to be
available.

c) Graduate Engineer Trainees / Management, Trainees in terms of

approved Schemes.

d) Deputation from Government departments and public sector enterprises

and
depending upon the specific requirements, absorption of deputations /
lien holders
from Government departments and public sector enterprises in the
company.

e) Personal contacts for recruitment to posts requiring special expertise.

f) Circulation of vacancies within the company.

The internal candidates serving in the scale next lower to the level for which
recruitment is being made and who fulfill necessary requirements stipulated
for the post under recruitment, and have applied for the same, may be
considered along with other candidates provided they have completed the
prescribed probation period. The prescribed age-limit and application fees
shall not apply in such cases.
 The length of experience and age-limit for recruitment to various grades
(external candidates) shall be as specified at annexure- B.

C. INDUCTION POINTS

1. E-0 level shall be the major induction point in executive manning

system of the
company.

2. Not less than 50% manpower requirement at E-0 stage shall be filled
up through
direct recruitment including trainees.

3. The company may take recourse to direct recruitment at any or all

levels to the
extent necessary.
D. CENTRALISED RECRUITMENT

All recruitment to posts covered by these rules shall be centrally

organized by the Corporate HRD Department.

1. MANPOWER PLANNING & CREATION OF

POSTS:-

All recruitment shall be within the total manpower approved by the Board.
Irrespective of over all sanction of posts specific sanctions for each new post
from the Chief Executive will be necessary before filling up the posts. Also
in those cases where a consequential vacancy exists on account of
resignation, termination, death, superannuation etc of the incumbent,
approval of the depending upon Chief Executive will be necessary before
filling up the vacancy.

2. DELEGATION:-

Authority to recruit and / or appoint will be the Chief Executive or as

delegated by him from time to time.

3. PRESCRIBED QUALIFICATIONS:-
 1. The prescribed minimum educational qualifications for appointment
to various cadres and ex-cadre posts shall be as specified at annexure-B.

2. The competent authority may amend modify or vary the prescribed

qualification for any post at any time.

3. In case of cadre posts not covered at annexure- B the competent

authority shall from time to time lay down the prescribed qualifications.

4. CONSTITUTION OF SELECTION
COMMITTEE:-

1. The Selection Committee shall be constituted by the Chief

Executive. The selection committee shall normally consist of at least 3
officers of appropriate status and functions including a representative from
HRD Department.

2. In case of specialized posts, specialists from outside the company

may be nominated on the selection committee.
E. SELECTION

1. The selection committee may hold interviews and / or tests as may be

considered
necessary.

2. HRD Department will make available to the members of the selection

committee
the following documents and particulars regarding the candidates at the
following
documents and particulars regarding the candidates at the time of
interview:

a) A copy of the advertisement with specific requirements of the post.

b) Bio data of each candidate.

c) Applications in original.

d) Appraisal reports and comments of forwarding authority in case of

internal
candidates wherever necessary.
 e) Any special information considered to be relevant to the selection
of any
candidate.

3. The HRD Department will also inform the selection committee the
likely number
of posts including those reserved for SC / ST / OBC etc, required to be
filled up
through the selection process.

4. The HRD Department will ensure consistency in selection standards

and starting
salaries.

1. PANEL

1. The selection committee on assessment of the candidates on the basis

of their
qualification, previous experience, performance in the test / interview
and other
relevant factors, shall prepare a panel in order of merit, of candidates
considered
suitable for employment for approval of the competent authority.

2. The panel as approved by the competent authority shall be valid for a

period of one
year form the date of such approval. In exceptional cases, with
justification to be
recorded in writing, life of the panel may be further extended by the
Chief
Executive by not more than six months. Offer of appointment shall be
issued in
order of merit from the approved panel.

2. MEDICAL EXAMINATION

All appointments in the company will be subject to the selected candidates

being found medically fit by the company’s medical officer / board for the
post(s) for which they have been selected. Where there is no company’s
medical officer, medical examination will be conducted by an approved
 Government Hospital / Medical Board. The decision of medical board
constituted by the company will be final and binding.

3. INDUCTION AND ORIENTATION

All newly appointed employees in the company will undergo suitable

induction orientation program before being placed on the job or training.
Induction program will among other things aim at systematically introducing
the new employees to the company, its philosophy, its major policies its
existing status and future plans etc. The induction program should clearly
spell out the mutual expectations with emphasis on company’s expectations
from the new employees.
C.RECRUITMENT RULES IN NALCO FOR NON-EXECUTIVES

Grade code pay scales:

W1 4400 – 3% - 7950
W2 4650 – 3% - 8400
W3 / TO / PO / MO 4925 – 3.5% - 9150
W4 / T1 / P1 / M1 5325 – 3.5% - 9890
W5 / T2 / P2 / M2 5725 – 3.5% - 10635
S0 / T3 / P3 / M3 6125 – 3.5% - 10990
S1 / T4 / P4 / M4 6625 – 3.5% - 11490
S2 / T5 / P5 / M5 7225 – 3.5% - 12530
S3 / T6 / P6 / M6 8000 – 3.5% - 13400
S4 / T7 / P7 / M7 8550 – 3.5% - 14325

However these rules shall not be applicable to the following category of

non-executives employees. Who are appointed on tenure basis, who are
appointed or given extension, after having attained the age of
superannuation; who are on deputation to the company or who retain lien on
the service in any other organization.

GENERAL CONDITIONS

1. APPOINTING AUTHORITY
The authority to whom powers have been delegated by general or special
order or schedule of delegation shall be the appointing authorities under
these rules Board of Directors and guidelines contained in these rules and
administrative institution issued from time to time shall do recruitment to
non-executive posts according to manpower sanction as approved.

2. INDUCTION POINTS

Major induction points will be as under:

Unskilled – W1
Ministerial – M
Technical - T0
Para – medical – P0
Supervisory – SO

The company may, however take recourse to direct recruitment at any or all
levels to the extent necessary.

3. MANPOWER PLANNING AND CREATION OF POSTS

All recruitment shall be governed by manpower plans duly approved by the

Board of Directors. Irrespective of overall sanction of posts, specific
approval of the appointing authority will be necessary before filling up of
any post. Also in case where a consequential vacancy exists on account of
resignation, termination, death,

superannuation, promotion etc of the recruitment, approval at appointing

authority will be necessary before filling up the vacancy.

4. JOB SPECIFICATION

The prescribed minimum educational qualification and length of experience

required for recruitment / promotion to various cadre post shall be specified
at Annexure 1.2.1 in case of cadres / posts not covered at Annexure 1.3.1.
The CMD shall lay down the job specification in consultation with HRD
Department and the user department. The nature of experience may be laid
down with the approval of appointing authority for various ports from time
to time.

5. PROBATION AND CONFIRMATION

A non-executive employee on direct appointment shall be on probation for a

period of six months from the date he / she assumes charges of the posts.
On satisfactory completion of the probation period the employees shall be
confirmed in writing to the post and unless so confirmed shall be deemed to
be on probation. The probation period of a non-executive employee can be
extended by not more than six months in two spells of three months each
with the approval of the appointing authority. In a case where a non-
executive employee has been selected to next higher posts and does not
successfully complete the original or extended probation period he / she may
be reverted to his / her earlier post / grades.

D. DIRECT RECRUITMENT

NALCO does it mains induction through direct recruitment. It follows strict

government guidelines while recruitment.

1. SOURCES:

Sources of recruitment shall be decided by the appointing authority,

normally from the following:

1. Concerned Employment Exchange as per the provision of the

Employment Exchange
(Compulsory notification of vacancies) Act.1959 Rajva Sainik Boards /
Zilla Sainik boards.

2. Advertisement of vacancies in press on regional / All India basis.

Subject to government guidelines.

3. Circulation of vacancies within the company.

4. Appointment of dependents of employees who died in harness.

5. Outstanding sportsmen of National / State / University level.
6. Internal candidates should have served in the next lower grade at least for
one year and
should be confirmed employees. They should also meet the job
specification as per
notification / advertisement. The prescribed age limit and application fee
shall not
apply in case of internal candidates.

2. CONSTITUTION OF SELECTION COMMITTEES

The appointing authority shall constitute the selection committee shall

normally consist of at least 3 officers appropriate status and function in
relation to the post to which recruitment is being made. The selection
committee may comprise of the following persons:-

1. General Manager or his nominee as chairman;

2. A representative from functional area / discipline as member;

3. A representative from HRD Department as member;

4. A representative from SC / ST and minority communities as member;

5. State Government representative as member.

In case of specialized posts, specialists from outside the company may be

nominated on the selection committee is required.

In case of Direct Recruitment to vacancies in posts under public sector

enterprise, the SC, ST and OBC candidates who are selected on their own
merit without relaxed standards, along with candidates belonging to the
other communities, will not be adjusted against the reserved vacancies. The
reserved vacancies will be filled up separately from amongst the eligible
SC / ST / OBC candidates who will thus comprise SC / ST / OBC
candidates.
Who are lower in merit than the last candidate in the merit list but otherwise
found suitable for appointment even by relaxed standards if necessary. The
government for India have further classified that any SC / ST / OBC
candidate qualifying on merit but having availed of any of the relaxation /
concession viz. age limit, experience qualification, permitted number of
chances in the examination, extended zone of consideration etc will be
conducted against reserved vacancies. Government of India by post based
roster with effect from 02-07-1997 placed the vacancy based rosters.

3. VERIFICATION OF CERTIFICATES

The Government of India issued a set of instructions for the guidance of

those empower to issue scheduled caste and scheduled tribe certificates.
When a person claims he belongs to scheduled caste or tribe by birth, it
should be verified. The following points are to be observed at the time of
verification of certificate.

1. That the person and his parents actually belong to community claimed.

2. That this community is included in the presidential orders specifying the

scheduled tribes in relation to the concerned state.

3. That the person belongs to the state and within the community has been
scheduled.

4. If the person claims to be a scheduled caste he should progress the Hindu,

the Sikhs or the Buddhist religion.

5. If the person claims to be a schedule tribe he may progress any religion.

4. RESERVATION IN DIRECT RECRUITMENT

The Government of India have been highlighting through the presidential

directives, the need to ensure timely filling up of the posts reserved for SCs,
STs, and OBCs candidates only. And this is more important because of the
fact that total reservation cannot exceed the 50% limit prescribed by the
Government to reserve the vacancies and as such authorities, will not be in a
position to meet the percentage if proper efforts are not made. Therefore, as
the Government of India instruction on reservation for SC, ST and OBC in
service could not be made applicable directly to the services and post under
the public sector enterprise, the department of public sector enterprise issued
presidential directives through respective ministers / departments extending
Government of India instruction to various PSE’s in terms of their articles of
association. The instruction contained in the presidential directives on
reservation for SC, ST and OBC in appointments in PSE’s issued from time
to time. The chart shows the percentage reserved for each type of Direct
Recruitment.

Direct Recruitment SC ST OBC

Direct Recruitment on all 15% 75% 27%

India basis by means of open
competitive test i.e. written
test.

Direct Recruitment on all India 16.66% 7.5% 25.84%

Basis otherwise than at:

1. Open competitive test

2. And not conductive written

competitive examination
Direct Recruitment to group C 15% 23% 12%
and D posts normally attracting
candidates from a locality or a
region ( according to the
percentage reserved in Orissa)

5. CLASSIFICATION OF POSTS IN NALCO

In NALCO the classification of posts are similar to central Government

services. Thus in order to implement the reservation orders the posts are
grouped as “A”, “B”, “C” and “D”.

Group – A
Posts carrying a pay or a scale of pay with a maximum or not less than Rs.
4000/-.

Group – B
Posts carrying a pay or scale of pay with maximum or not less than Rs.
2900/- but less than Rs. 4000/-.

Group – C
Posts carrying a apy or a scale of pay with a maximum or over Rs. 940/- but
less than Rs. 2900/-.
Group – D
Posts carrying a pay or a scale of pay with a maximum of over Rs. 940/- or
less.

In NALCO the four groups are divided according into executives and non-
executives:

Under non-executives

Group – D – Unskilled workers

Group – C – Semiskilled workers
Group – B – Highly skilled employees
Group – A – Executive grade employees

PANEL

The selection committee on assessment of the candidates on the basis of

their qualification, previous experience, performance in the test / interview
and other relevant factors shall prepare a panel in order of merit of
candidates considered suitable for employment for approval of appointing
authority.

The panel as approved by Appointing Authority shall be valid for a period

of one year. In exceptional cases, life of the panel may be extended by the
Appointing Authority for two spell of six months each depending on
requirements, offers of appointment shall be issued in order of merit from
approved panel and appointment shall be subject to satisfaction of medical
standards and satisfactory verification reports of character and antecedents.

DATA ANALYSIS & INTERPRETATION

Q1. Are you in support of recruitment policy of the Company?

Options NALCO (%) BHEL(%)
Yes 90 88
No 10 12
Interpretation:
90% of the executives say that they are in support of recruitment policy
of NALCO. Most of the executives of BHEL say that they were in
support of the recruitment policy of their organization. This shows that
recruitment policy of NALCO is better than BHEL. NALCO is taking
candidates who have scored more than 75% marks in Graduation. All
India level exam & Interview is conducted by NALCO and BHEL for
recruitment of employees.
Q2. Whether the existing recruitment policy is linked to productivity?
Options NALCO (%) BHEL (%)
Yes 94 90
No 6 10
Interpretation:
Most of the respondents of NALCO say that recruitment policy is linked
to productivity as compared to BHEL.

Q3. Do you feel that manpower recruitment has been rationalized by

way of automation?
Options NALCO (%) BHEL (%)
Yes 100 98
No 0 2
Interpretation:
Manpower recruitment has been rationalized by way of automation as
said by most of the respondents at NALCO as compared to BHEL.

Q4. Whether the existing recruitment policy is getting will supports of

the top management?
Options NALCO (%) BHEL (%)
Yes 98 96
No 2 4
Interpretation:
Support of Top Management in Recruitment Policy is more in NALCO
as compared to BHEL.

Q5. Does the organization clearly define the position objectives,

requirements and candidate specifications in the recruitment process?
Options NALCO (%) BHEL (%)
Yes 100 100
No 0 0
Interpretation:
Executives of NALCO and BHEL say that positions are clearly defined
in the recruitment process.
Q6. Is the organization doing timeliness recruitment and Selection
process?

Options NALCO (%) BHEL (%)

Yes 90 86
No 10 14

Interpretation:
NALCO is doing timeliness recruitment as compared to BHEL.
Q7. Does HR provide an adequate pool of quality applicants?
Options NALCO (%) BHEL (%)
Yes 100 100
No 0 0

Interpretation:
HR of NALCO and BHEL is able to maintain adequate pool of quality
applicants because they are hiring best candidates.
Q8. Rate the effectiveness of the interviewing process and other
selection instruments, such as testing?
Options NALCO (%) BHEL (%)
Excellent 90 88
Good 10 10
Poor 0 2

Interpretation:

NALCO interviewing process and other selection instruments are more

effective as compared to BHEL.
Q9. Does the HR team act as a consultant to enhance the quality of the
applicant pre-screening process?
Options NALCO (%) BHEL (%)
Excellent 90 88
Good 10 10
Poor 0 2

Interpretation:
Most of the executives of NALCO say that HR team acts as a consultant
to enhance the quality of the applicant pre-screening process.
Q10. Does HR hiring employees to make the best hiring decisions?
Options NALCO (%) BHEL (%)
Yes 98 96
No 2 4

Interpretation:

NALCO is hiring employees to make the best hiring decision as

compared to BHEL.
OBSERVATIONS
&
FINDINGS
OBSERVATIONS & FINDINGS

• 90% of the executives say that they are in support of recruitment

policy of NALCO. Most of the executives of BHEL say that they
were in support of the recruitment policy of their organization.
• Most of the respondents of NALCO say that recruitment policy is
linked to productivity as compared to BHEL.
• Manpower recruitment has been rationalized by way of
automation as said by most of the respondents at NALCO as
compared to BHEL.
• Support of Top Management in Recruitment Policy is more in
NALCO as compared to BHEL.
• Executives of NALCO and BHEL say that positions are clearly
defined in the recruitment process.
• NALCO is doing timeliness recruitment as compared to BHEL.
• HR of NALCO and BHEL is able to maintain adequate pool of
quality applicants because they are hiring best candidates.
• NALCO interviewing process and other selection instruments are
more effective as compared to BHEL.
• Most of the executives of NALCO say that HR team acts as a
consultant to enhance the quality of the applicant pre-screening
process.
• NALCO is hiring employees to make the best hiring decision as
compared to BHEL.
CONCLUSION AND SUGGESTION
• Preference should be given to the most eligible candidate,
irrespective of whether candidate is internal or external.
• Preference should be given to the most eligible candidate,
irrespective of their sex.
• It should be suggested that the Company should pay the travel
expenses to the candidate.
• But with changing times and changing needs the policies should
be flexible.
• Mulitiskilling personal need to be well motivated through reward
management like appreciation,carrer growth,publicity,etc
BIBLIOGRAPHY

Books:
Mamoria, C.B.(1999): ‘Personal Management’ Himalaya Publication,
New Delhi.

Kothari, C.R. (2000): ‘Research Methodology’ Vishwa Prakashan, New

Delhi.

Aswathapa K. (1997) Human Resource and Personnel Management,

Tata Mcgraw Hill, New Delhi.

Websites:
• www.bhel.co.
• www.nalcol.co.in
• www.scribd.com
• www.managementparadise.com
• www.google.com
• www.wikipedia.com