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About the Organization Tata Marcopolo Motors, a joint venture between Tata Motors and Brazilian bus manufacturer Marcopolo, has begun commercial production at the Dharwad bus manufacturing facility in Karnataka, India. According to the company, the plant will produce a range of buses. The range, to be marketed under the Starbus and Globus brands, includes 16 to 54-seater standard buses, 18 and 45-seater luxury buses, luxury coaches and low-floor city buses. The plant will have a capacity to produce 30,000 units a year, to be achieved in 1

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Page 1: Tata Marcopolo Project Report Srmswcet

About the Organization

Tata Marcopolo Motors, a joint venture between Tata Motors and Brazilian bus

manufacturer Marcopolo, has begun commercial production at the Dharwad bus

manufacturing facility in Karnataka, India.

According to the company, the plant will produce a range of buses. The range, to be

marketed under the Starbus and Globus brands, includes 16 to 54-seater standard

buses, 18 and 45-seater luxury buses, luxury coaches and low-floor city buses.

The plant will have a capacity to produce 30,000 units a year, to be achieved in

phases. In 2009-10, the first full year of operation, production can be up to 15,000

units. The joint venture has already invested about INR2 billion. The plant, at full

capacity, will generate over 6,500 direct jobs.

The Chairman of Tata Motors, Mr. Ratan N. Tata, said: “The rapidly expanding and

improving road network, connecting cities and also rural areas, is expected to

substantially grow passenger transport. The joint venture with Marcopolo, which is

one of the largest bus body builders, will enable Tata Motors to successfully address

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the growing demand in India, as well as relevant markets abroad.”

The Chairman of Marcopolo, Mr. Paulo Bellini, said: “Marcopolo's buses and

coaches have a strong presence in Latin America, and overseas markets. The joint

venture with Tata Motors will help us extend our presence in the high-potential

markets of India and also other mutually agreed countries, which we can jointly

develop.”

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Tata Motors Limited is India's largest automobile company, with consolidated

revenues of Rs. 92,519 crores (USD 20 billion) in 2009-10. It is the leader in

commercial vehicles in each segment, and among the top three in passenger

vehicles with winning products in the compact, midsize car and utility vehicle

segments. The company is the world's fourth largest truck manufacturer, and the

world's second largest bus manufacturer.

The company's 24,000 employees are guided by the vision to be "best in the

manner in which we operate, best in the products we deliver, and best in our

value system and ethics."

Established in 1945, Tata Motors' presence indeed cuts across the length and

breadth of India. Over 5.9 million Tata vehicles ply on Indian roads, since the first

rolled out in 1954. The company's manufacturing base in India is spread across

Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh),

Pantnagar (Uttarakhand) and Dharwad (Karnataka). Following a strategic alliance

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with Fiat in 2005, it has set up an industrial joint venture with Fiat Group

Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and

Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat).

The company's dealership, sales, services and spare parts network comprises over

3500 touch points; Tata Motors also distributes and markets Fiat branded cars in

India.

Tata Motors, the first company from India's engineering sector to be listed in the

New York Stock Exchange (September 2004), has also emerged as an

international automobile company. Through subsidiaries and associate

companies, Tata Motors has operations in the UK, South Korea, Thailand and

Spain. Among them is Jaguar Land Rover, a business comprising the two iconic

British brands that was acquired in 2008. In 2004, it acquired the Daewoo

Commercial Vehicles Company, South Korea's second largest truck maker. The

rechristened Tata Daewoo Commercial Vehicles Company has launched several

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new products in the Korean market, while also exporting these products to several

international markets. Today two-thirds of heavy commercial vehicle exports out

of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21%

stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, and

subsequently the remaining stake in 2009. Hispano's presence is being expanded

in other markets. In 2006, Tata Motors formed a joint venture with the Brazil-

based Marcopolo, a global leader in body-building for buses and coaches to

manufacture fully-built buses and coaches for India and select international

markets. In 2006, Tata Motors entered into joint venture with Thonburi

Automotive Assembly Plant Company of Thailand to manufacture and market the

company's pickup vehicles in Thailand. The new plant of Tata Motors (Thailand)

has begun production of the Xenon pickup truck, with the Xenon having been

launched in Thailand in 2008.

Tata Motors is also expanding its international footprint, established through

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exports since 1961. The company's commercial and passenger vehicles are already

being marketed in several countries in Europe, Africa, the Middle East, South East

Asia, South Asia and South America. It has franchisee/joint venture assembly

operations in Kenya, Bangladesh, Ukraine, Russia, Senegal and South Africa.

The foundation of the company's growth over the last 50 years is a deep

understanding of economic stimuli and customer needs, and the ability to translate

them into customer-desired offerings through leading edge R&D. With over 3,000

engineers and scientists, the company's Engineering Research Centre, established

in 1966, has enabled pioneering technologies and products. The company today

has R&D centres in Pune, Jamshedpur, Lucknow, Dharwad in India, and in South

Korea, Spain, and the UK. Designed with a family in mind, it has a roomy

passenger compartment with generous leg space and head room. It can

comfortably seat four persons. Its mono-volume design will set a new benchmark

among small cars. Its safety performance exceeds regulatory requirements in

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India. Its tailpipe emission performance too exceeds regulatory requirements. In

terms of overall pollutants, it has a lower pollution level than two-wheelers being

manufactured in India today. The lean design strategy has helped minimize

weight, which helps maximize performance per unit of energy consumed and

delivers high fuel efficiency. The high fuel efficiency also ensures that the car has

low carbon dioxide emissions, thereby providing the twin benefits of an

affordable transportation solution with a low carbon footprint.

In May 2009, Tata Motors introduced ushered in a new era in the Indian

automobile industry, in keeping with its pioneering tradition, by unveiling its new

range of world standard trucks called Prima. In their power, speed, carrying

capacity, operating economy and trims, they will introduce new benchmarks in

India and match the best in the world in performance at a lower life-cycle cost.

Tata Motors is equally focused on environment-friendly technologies in

emissions and alternative fuels. . It has developed electric and hybrid vehicles

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both for personal and public transportation. It has also been implementing several

environment-friendly technologies in manufacturing processes, significantly

enhancing resource conservation

Through its subsidiaries, the company is engaged in engineering and automotive

solutions, construction equipment manufacturing, automotive vehicle components

manufacturing and supply chain activities, machine tools and factory automation

solutions, high-precision tooling and plastic and electronic components for

automotive and computer applications, and automotive retailing and service

operations.

Tata Motors is committed to improving the quality of life of communities by

working on four thrust areas – employability, education, health and environment.

support on education and employability is focused on youth and women. They

range from schools to technical education institutes to actual facilitation of income

generation. In health, our intervention is in both preventive and curative health

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care. The goal of environment protection is achieved through tree plantation,

conserving water and creating new water bodies and, last but not the least, by

introducing appropriate technologies in our vehicles and operations for constantly

enhancing environment care. With the foundation of its rich heritage, Tata Motors

today is etching a refulgent future.

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MISSION OF TMML

To consistently create shareholder value by increasing the share value of

the company and also increasing the market share of the company.

To become the leader in the market of bus body building in India and

also other countries the supply exists.

To increase the market share of the company in India so as to capture the

market.

To continuously innovate in order gain competitive advantage over its

competitors in the market.

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VISION OF TMML

To be a world class corporate furthering the interests of all its stakeholders and to

become a leader in LCV, MCV and HCV body building creation value for the

shareholders.

Tata Motors, Marcopolo to form JV

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To manufacture fully built buses and coaches

1) New plant to go on stream in a year's time

2) Total investment envisaged at Rs. 150-200 chore

JOINS HANDS: Tata Motors Chairman, Rotan Tata (right), and Marcopolo (Brazil)

Chairman, Paulo Bellini, at the signing of the joint venture agreement between the

two companies in Mumbai

MUMBAI: Tata Motors and Marcopolo, the Brazil-based global leader in body-

building for buses and coaches, have announced a joint venture company in India to

make and assemble fully-built buses and coaches.

The joint venture, in which Tata Motors will have 51 per cent equity and Marcopolo

49 per cent, will set up a new manufacturing facility. The total investment is to the

tune of Ross. 150-200 crones.

It will go on stream in a year's time and will have an initial capacity of 7,000 units

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annually, which will be increased in a modular manner. The joint venture will

produce a variety of buses including 16 to 54-seater standard buses, 18 and 45-seater

luxury buses, luxury coaches, and low-floor city buses. The joint will also explore

emerging opportunities in the Bus Rapid Transit System.

The joint venture will take the help with technology and expertise in chassis and

aggregates from Tata Motors, and expertise and know-how in processes and systems

for bodybuilding and bus body design from Marcopolo.

Both companies will actively participate in the management. The buses will conform

to international standards in quality and safety and will be marketed in India and also

in all Tata Motors focused markets globally.

Rotan Tata, Chairman, Tata Motors, said, "The rapidly expanding and improving

road network, connecting cities and also rural areas, is expected to substantially grow

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passenger transport. The joint venture with Marcopolo will enable Tata Motors to

successfully address the growing demand in India, as well as relevant markets

abroad.''

Earlier, Tata Motors acquired the Daewoo Commercial Vehicles Company, Korea

for trucks in 2004 and in 2005 it acquired a 21 per cent stake in Hispano Caracaras

,

the Spanish bus and Coach Manufacturer. The joint venture with Hispano is for

higher-end vehicles, while with Marcopolo, it will make medium range vehicles.

Mumbai, May 5: Indian auto major Tata Motors has entered into a joint venture

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with Brazil's Marcopolo, one of the world’s largest bus manufacturers, to set up a

new plant in India to manufacture and assemble fully built buses and coaches with an

investment of Rs 150 - 200 crore. Tata Motors will hold 51% stake in the company,

while Marcopolo the rest 49%.

The joint venture company would have an initial capacity to manufacture 7,000

vehicles a year, which would be raised in a modular manner over the next few years.

It will also explore emerging opportunities in bus rapid transit system.

In a statement here on Friday, Tata Motors chairman Ratan Tata said, "The joint

venture with Marcopolo will enable Tata Motors to successfully address the growing

demand in India, as well as relevant markets abroad."

Analysts feel the joint venture would enable Tata Motors to make their presence felt

overseas and to strengthen its heavy segment in India. "The core strategy of Tata

Motors would be to target the export markets, especially the Middle East, which was

on their radar for quite some time," said HC Raveendra of KR Choksey.

The joint venture would combine Tata Motors’ technology and expertise in chassis

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and aggregates and Marcopolo’s expertise and know-how in processes and systems

for bodybuilding and bus body design, the release said.

"Marcopolo's buses and coaches have a strong presence in Latin America, and the

overseas markets. The joint venture with Tata Motors will help us extend our

presence in the high-potential markets of India and also other mutually agreed

countries, which we can jointly develop," said Marcopolo chairman Paulo Bellini. At

present, Marcopolo has manufacturing plants in Brazil, Portugal, Argentina, Mexico,

Colombia and South Africa.

Analysts also feel that the JV is also an indication of Tata Motors’ aggressive global

ambition. Autocar Editor Hormazd Sorabjee said, "Tata Motors' typical strategy has

been to get into more acquisitions and JVs."

In 2005, the company had acquired 21% stake in Spanish bus maker Hispano

Carrocera with an option to buy 100%, while in 2004, it bought South Korea's

Daewoo Commercial Vehicle Company. "More acquisitions by Tata Motors is

expected soon and it would surely impact Volvo’s market share in India as well as

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overseas", Mr Sorabjee added.

Organizational Hierarchy

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A hierarchical organization is an organizational structure where every entity in the

organization, except one, is subordinates to a single other entity. This arrangement is a

form of a hierarchy. In an organization, the hierarchy usually consists of a

singular/group of power at the top with subsequent levels of power beneath them. This is

the dominant mode of organization among large organizations; most corporations,

governments, and organized religions are hierarchical organizations with different levels

of management, power or authority. For example, the broad, top-level overview of the

general organization of the Catholic Church consists of the Pope, then the Cardinals,

then the Archbishops, and so on.

Organizational Hierarchy of TMML

TMML has following 4 levels in the organization hierarchy in the order to seniority:

L1, L2, L3 & L4.

The employee in L1 level will be designated as Head. There will be three groups in

L1 level, starting from L1-I to L1-III.

The employees in L2 level will be designated as Team Manager. There will be five

sub groups in L2 level, starting from L2-I to L2-V.

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The employees in L3 level will be designated as Team Leader or Line Leader. There

will be five sub groups in L3 level, starting from L3-I to L3-V.

The employee in L4 level will be designated as Associates. There will be five sub

groups in L4 level, starting from L4-I to L4-V.

Organizational Structure

An organizational structure is a description of the types of coordination used to

organize the actions of individuals and departments that contribute to achieving a

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common aim. Many organizations have hierarchical structures, but not all,

responsibilities, authorities and relations organized in such a way as to enable the

organization to perform its functions.

Importance of Organization Structure

Organizational structure involves how a business organizes, categorizes and

delegates tasks to achieve a specific goal. A company's organizational structure

determines how business decisions are made and implemented at all levels of the

business.

1. An organizational chart shows how departments, divisions and various levels

of an organization interact with one another. Organizational charts are

expressed as a visual illustration or outline.

2. An important purpose of organizational structure is to identify who's involved

in the decision-making process and how those decisions are actualized.

3. Organizational structure plays a role in determining how a structure distributes

authority throughout an organization. Important factors must be addressed for

an organization to effectively pursue a goal, such as whether subordinates are

involved in the decision-making or if that is reserved for a few main authority

figures within the departments.

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4. Organizational structure defines how specific tasks and activities are assigned

to their functional departments. For example, sale representatives may be

grouped within a sales department or division.

5. Span of control defines the number of employees over whom a manager

exercises authority.

Organizational Structure of TMML

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MARCOPOLO PRODUTS

22

CEO

COO HRCFO

MFG DEPT E & P DEPT

SCM DEPT

TEAM MANAG.

TEAM LEADER

ASS. MANAGER

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Automobiles are a constantly evolving species. In no other species of machines are the

technological advancements so constantly viewed by the public as in case of

automobiles. India is no exception in the above statement and though it took a little

while to catch up with the rest of the world, the Indian passenger car industry is now up

there, offering the best money and technology can offer.

While this has been the case of cars, the case of Commercial Vehicles in India has

nothing to write home about. It has simply not kept pace with the international standards

in this very price-sensitive market, more so in this segment. Volvo changed it all in the

Public Transport segment making people realize the advancements and creature

comforts that the modern day buses have in other countries. Since then, the buses in our

country have been trying hard to match the standards set by Volvo and in the process,

the entire industry has seen a remarkable turnaround. Even the Government run public

transport organizations are not left alone in this business with the fear of being smoked

by the private competitors.

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Thanks to all these, the buses in Indian cities, especially metros now present a much

better picture and not the same old sad story as, say a decade back. The fleet is being

regularly revamped, new buses are being introduced in much higher frequencies, they

are no longer being confined to only metros and big cities and above all, a healthy

competition is brewing up between the largest local manufacturers, Tata and Ashok

Leyland. Both the manufacturers are going all out in modernizing their existing models

and platforms and hurrying up new launches like never before. In addition to that, both

are making inroads into what has been traditionally the other manufacturer's stronghold.

The increasing number of Ashok Leylands in Delhi and the ever-multiplying number of

Marcopolo criss-crossing Chennai bear testimony to that. While every new launch in

passenger cars or bikes catch the attention of the general public, especially today's young

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brigade, they tend to turn a blind eye when it comes to public transport buses, the latest

misses being the Viking series and the Marcopolo series from Ashok Leyland and Tata

respectively. Being the ever-enthusiastic auto-freak that I am, these new buses never

missed my eyes or my lenses.

Exterior Design:

The Tata Marcopolo is built in a spanking new facility in Karnataka while the Viking

series has been built by many coach builders like Prakash, Veera, Irizar-TVS and the

like with Ashok Leyland providing them the bare chassis and the design factors. Seeing

them on atleast a couple of dozens of instances everyday, Tata Marcopolo stands out

with the most modern design of the two. When viewed head-on, the Viking tends to pose

some threat to the Marcopolo with its modern multifocal headlamps lending a touch of

class and modernness to an otherwise traditional design. The Marcopolo is also quite a

looker with its Volvo-inspired headlamp design. Where the Tata trounces the Viking is

in the safety aspect with it's two huge wiper blades covering the entire windshield

compared to the paltry single blade in the Viking, hardly enough to cover the driver's

side of the huge windshield. The story from the rear is a sloppy one-sided affair with the

Viking coming with a decade-old but trustworthy design. The Marcopolo exudes a level

of modernness and follows the same design theme like the front with circular-themed

taillights’, plastic shrouds for the lights and body-colored plastic bumpers.

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Interiors:

The Marcopolo scores in the interior design department as well with well-appointed,

spacious seats and good level of standard features, the most notable among them being

the "Emergency Stop" button in each of the vertical rods that supports standing

passengers. The ergonomics around the driver's seat is also impeccable with everything

falling nicely to hand and easy to operate. The only noticeable grudge is the lever for

holding the windows open, which is very old-school and could have been easily replaced

with something much better. The Viking though comes in a tried and tested, less-

modern, interior design that does not disappoint both the drivers and the common public.

The only grouse is the uneven height of the seats directly above the rear wheels thus

reducing the space available for the passengers in the next seats. There is a lost of weight

reduction in the Marcopolo with Tata preferring plastic over sheet-metal in many places.

Business process

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A business process or business method is a collection of related, structured

activities or tasks that produce a specific service or product (serve a particular goal)

for a particular customer or customers. It often can be visualized with a flowchart as

a sequence of activities.

There are three types of business processes:

1. Management processes, the processes that govern the operation of a system.

Typical management processes include "Corporate Governance" and

"Strategic Management".

2. Operational processes, processes that constitute the core business and create

the primary value stream. Typical operational processes are Purchasing,

Manufacturing, Advertising and Marketing, and Sales.

3. Supporting processes, which support the core processes. Examples include

Accounting, Recruitment, Call center, Technical support.

A business process begins with a mission objective and ends with achievement of the

business objective. Process-oriented organizations break down the barriers of

structural departments and try to avoid functional silos.

A business process can be decomposed into several sub-processes, which have their

own attributes, but also contribute to achieving the goal of the super-process. The

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analysis of business processes typically includes the mapping of processes and sub-

processes down to activity level.

Business Processes are designed to add value for the customer and should not include

unnecessary activities. The outcome of a well designed business process is increased

effectiveness (value for the customer) and increased efficiency (less costs for the

company).

Business Process of TMML

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Chassis Preparation

Skeleton Assembly

Structure Assembly

Body and Chassis Coupling

General & Complement Welding

Anti Corrosion Treatment

Roof Front & Rear Assembly

Mec. Connections & Side Paneling

Floor Assembly & Components

Side Paneling & Flaps Assembly

Floor Trim & Tapestry

Paint & Assembly Check

Surface Sanding & Paint Preparation

Putting & Painting Insulation

Base Color & Baking/Curing

Paint & Quality Check Area

External Trim & Comp. Assembly

Internal Trim & Comp. Assembly

Windshield & Windows fitting

Saloon Seat & Comp. Mounting

Headlamps & Rear lamps Assembly

Final Quality Check Gate

Shower Test & Road Test

01 02 03 04

05 06 07 08

09 10 11 12

20 21 22 23

30 31 32 33

34 35 36

Complete Built Unit Yard

Business Process – Bus Body Line Lucknow

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SWOT Analysis

STRENGTHS

INFRASTRUCTURAL FACILITIES- the facilities of the

company are huge due to which it can operate in economies of

scale reducing the cost of the company.

BETTER ERGONOMICS – the ambience of the company

being a TATA company is extraordinary providing less fatigue

and more productivity from its employees.

BRAND NAME AND VALUE- TATA or Marcopolo are

world renowned and have a brand name which in turn increases

the goodwill of the company and in turn increasing the range

and penetration in the market.

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WEAKNESS

LACK OF MARKETING DEPT. - makes it difficult to market

the product in the market. Marketing is only restricted to TATA

motors limited.

LESS MANPOWER- the company employs less people for

more work in turn increasing the work pressure on employees.

OPPORTUNITIES

The great developing Indian market available due to

government schemes to improve transport facilities in the

country.

Cashing in the brand name of Marcopolo and TATA creating a

market worldwide.

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THREATS

COMPETITORS- ASHOK LEYLAND, MERCEDES AND

VOLVO provide tough competition in the market due to which

the challenges to meet the competition increases.

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Introduction of Recruitment

The human resources are the most important assets of an organization. The success or failure of an organization is largely dependent on the caliber of the people working therein. Without positive and creative contributions from people, organization can

not progress and prosper. To achieve the goals or perform the activities of an

organization, therefore, we need to recruit people with requisite skills, qualifications

and experience.

Definition of Recruitment

Recruitment is the process of locating and encouraging applicants to apply for existing

or anticipated job openings. It is a linking function, joining together those with jobs to

fill and those seeking jobs. Recruitment aims-

“Attracting a large number of qualified applicants who are ready to take up the job it’s

offered and offering enough information for unqualified person to self-selected

themselves out.”

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According to Edwin B. Flippo, recruitment is the process of searching the

candidates for employment and stimulating them to apply for jobs in the

organization”. Recruitment is the activity that links the employers and the job

seekers. A few definitions of recruitment are:

A 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 applications from which new employees

are selected.

It is the process to discover sources of manpower to meet the requirement of

staffing schedule and to employ effective measures for attracting that manpower

in adequate numbers to facilitate effective selection of an efficient working force.

Recruitment of candidates is the function preceding the selection, which helps

create a pool of prospective employees for the organization so that the

management can select the right candidate for the right job from this pool. The

main objective of the recruitment process is to expedite the selection process.

Recruitment is a continuous process whereby the firm attempts to develop a pool of qualified applicants for the future human resources needs even though specific

vacancies do not exist. Usually, the recruitment process starts when a manger

initiates an employee requisition for a specific vacancy or an anticipated

vacancy.

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RECRUITMENT NEEDS ARE OF THREE TYPES

PLANNED : Planned needs arising from changes in organization and

retirement policy.

ANTICIPATED : Anticipated needs are those movements in personnel,

which an organization can predict by studying trends in internal and external

environment.

UNEXPECTED : Resignation, deaths, accidents, illness give rise to

unexpected needs.

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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 recruitment strategic advantage for the

organizations. Recruitment process involves a systematic procedure from

sourcing the candidates to arranging and conducting the interviews and

requires many resources and time. A general recruitment process is as

follows:

Identifying the vacancy:

The recruitment process begins with the human resource department

receiving requisitions for recruitment from any department of the

company. These contain:

• Posts to be filled

• Number of persons

• Duties to be performed

• Qualifications required

Preparing the job description and person specification.

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Locating and developing the sources of required number and type of employees (Advertising etc).

Short-listing and identifying the prospective employee with required characteristics.

Arranging the interviews with the selected candidates.

Conducting the interview and decision making

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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 making

The recruitment process is immediately followed by the selection process i.e.

. the final interviews and the decision making, conveying the decision and the

appointment formalities.

Purpose and Importance of Recruitment

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Attract and encourage more and more candidates to apply in the organization.

Create a talent pool of candidates to enable the selection of best candidates for the

organization.

Determine present and future requirements of the organization in conjunction with its

personnel planning and job analysis activities.

Recruitment is the process which links the employers with the employees.

Increase the pool of job candidates at minimum cost.

Help increase the success rate of selection process by decreasing number of visibly

under qualified or overqualified job applicants.

Help reduce the probability that job applicants once recruited and selected will leave

the organization only after a short period of time.

Meet the organizations legal and social obligations regarding the composition of its

workforce.

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

Increase organization and individual effectiveness of various recruiting techniques

and sources for all types of job applicants

Sources of Recruitment

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Every organization has the option of choosing the candidates for its recruitment

processes from two kinds of sources: internal and external sources. The sources within

the organization itself (like transfer of employees from one department to other,

promotions) to fill a position are known as the internal sources of recruitment.

Recruitment candidates from all the other sources (like outsourcing agencies etc.) are

known as the external sources of the recruitment.

SOURCE OF RECRUITMENT

Internal Recruitment – is a recruitment which takes place within the

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concern or organization. Internal sources of recruitment are readily available to an

organization. Internal sources are primarily three – Transfers, promotions and Re-

employment of ex-employees. Re-employment of ex-employees is one of the internal

sources of recruitment in which employees can be invited and appointed to fill vacancies

in the concern. There are situations when ex-employees provide unsolicited applications

also.

Internal recruitment may lead to increase in employee’s productivity as their motivation

level increases. It also saves time, money and efforts. But a drawback of internal

recruitment is that it refrains the organization from new blood. Also, not all the

manpower requirements can be met through internal recruitment. Hiring from outside

has to be done.

Internal sources are primarily 3 - Transfers Promotions (through Internal Job Postings) and Re-employment of ex-employees - Re-employment of ex-employees is one

of the internal sources of recruitment in which employees can be invited and

appointed to fill vacancies in the concern. There are situations when ex-

employees provide unsolicited applications aalso.

External Recruitment – External sources of recruitment have to be solicited

from outside the organization. External sources are external to a concern. But it

involves lot of time and money .The external sources of recruitment include –

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Employment at factory gate, advertisements, employment exchanges, employment

agencies, educational institutes, labour contractors, recommendations etc.

Employment at Factory Level – This a source of external

recruitment in which the applications for vacancies are presented on

bulletin boards outside the Factory or at the Gate. This kind of recruitment

is applicable generally where factory workers are to be appointed. There

are people who keep on soliciting jobs from one place to another. These

applicants are called as unsolicited applicants. These types of workers

apply on their own for their job. For this kind of recruitment workers have

a tendency to shift from one factory to another and therefore they are

called as “badli” workers.

Advertisement – It is an external source which has got an

important place in recruitment procedure. The biggest advantage of

advertisement is that it covers a wide area of market and scattered

applicants can get information from advertisements. Medium used is

Newspapers and Television.

Employment Exchanges – There are certain Employment

exchanges which are run by government. Most of the government

undertakings and concerns employ people through such exchanges. Now-

a-days recruitment in government agencies has become compulsory

through employment exchange.

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Employment Agencies – There are certain professional

organizations which look towards recruitment and employment of people,

i.e. these private agencies run by private individuals supply required

manpower to needy concerns.

Educational Institutions – There are certain professional

Institutions which serves as an external source for recruiting fresh

graduates from these institutes. This kind of recruitment done through such

educational institutions, is called as Campus Recruitment. They have

special recruitment cells which helps in providing jobs to fresh candidates.

Recommendations – There are certain people who have

experience in a particular area. They enjoy goodwill and a stand in the

company. There are certain vacancies which are filled by

recommendations of such people. The biggest drawback of this source is

that the company has to rely totally on such people which can later on

prove to be inefficient.

Labour Contractors – These are the specialist people who supply

manpower to the Factory or Manufacturing plants. Through these

contractors, workers are appointed on contract basis, i.e. for a particular

time period. Under conditions when these contractors leave the

organization, such people who are appointed have to also leave the concer.

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Factor Affecting Recruitment

The recruitment function of the organizations is affected and governed by a mix of

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various internal and external forces. The internal forces or factors are the factors that can

be controlled by the organization. And the external factors are those factors which

cannot be controlled by the organization. The internal and external forces affecting

recruitment function of an organization are:

FACTORS AFFECTING RECRUITMENT

In 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,

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which can be executed effectively to recruit the best talent pool for the selection of

the right candidate at the right place quickly. Creating a suitable recruitment policy

is the first step in the efficient hiring process. A clear and concise recruitment policy

helps ensure a sound recruitment process.

It specifies the objectives of recruitment and provides a framework for

implementation of recruitment programme. It may involve organizational system to

be developed for Implementing recruitment programmes and procedures by filling up

vacancies with best qualified people.

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 descriptions

The terms and conditions of the employment

A recruitment policy of an organisation should be such that:

It should focus on recruiting the best potential people.

To ensure that every applicant and employee is treated equally with dignity

and respect.

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Unbiased policy.

To aid and encourage employees in realizing their full potential.

Transparent, task oriented and merit based selection.

Weightage during selection given to factors that suit organization needs.

Optimization of manpower at the time of selection process.

Defining the competent authority to approve each selection.

Abides by relevant public policy and legislation on hiring and employment

relationship.

Integrates employee needs with the organisational needs.

FACTORS AFFECTING RECRUITMENT POLICY

Organizational objectives

Personnel policies of the organization and its competitors. Government policies on reservations. Preferred sources of recruitment. Need of the organization.

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 organization. Outsourcing firms develop their

human resource pool by employing people for them and make available personnel to

various companies as per their needs. In turn, the outsourcing firms or the

intermediaries charge the organizations for their services.

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Advantages of outsourcing

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 time

. POACHING/RAIDING:

“Buying talent” (rather than developing it) is the latest mantra being followed

by the organizations today. Poaching means employing a competent and

experienced person already working with another reputed company in the same or

different industry; the organization might be a competitor in the industry. A

company can attract talent from another firm by offering attractive pay packages

and other terms and conditions, better than the current employer of the candidate.

But it is seen as an unethical practice and not openly talked about. Indian

software and the retail sector are the sectors facing the most severe brunt of

poaching today. It has become a challenge for human resource managers to face

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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

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Low cost.

No intermediaries Reduction in time for recruitment. Recruitment of right type of people. Efficiency of recruitment process.

Meaning of Selection

Selection is the process of picking individual who have relevant qualifications to fill in

an organization. The basic purpose is to choose the individual who can most

successfully perform the job, from the pool of qualified candidates.

According to Dale Yoder “Selection is the process in which candidates for employment

are divided into two classes those who are to be offered employment and those who are

not. Selection means a process by which qualified personnel may be chosen from the

applicants offering their services to the organization for employment”.

Purpose of Selection

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.To pick up the most suitable candidate who would meet the requirement of the job and the organization best, to find out which job applicant will be

successful, if hired.

.To meet this goal, the company obtains and assesses information about the

applicant in terms of age, qualifications, skills, experience, etc.

Selection Procedure

Selection is usually a series of hurdles or steps. The basic idea is to solicit

maximum possible information about the candidates to ascertain their suitability

for employment. A selection process has the following steps.

Screening of applicants

Selection Methods/Tests

Interview

Reference and background Verification

Medical Examination

Approval By Approval Authority or Hiring Decision

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Placemen

SELECTION TEST

For selecting a candidate there should be conduct selection test for knowing the best

capacity of the candidate towards work and so on……

Some of the commonly used employment tests may be stated thus:

Intelligence Tests: These are mental ability tests. They measure the

incumbent’s learning ability and also the ability to understand instructions and

make judgments.

Aptitude Tests : Aptitude test measure an individual’s potential to learn

certainskills- clerical, mechanical, mathematical, etc.

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Personality Tests : Researchers have also questioned whether applicants

answer all the items truthfully or whether they try to respond in a socially

desirable manner. Regardless of these objectives, many people still consider

personality as an important component of the job success.

Achievement Tests: These are designed to measure what the applicant can do

on the job currently, that is whether the tests actually knows what he or she

claims to know. A typing test show typing proficiency, a shorthand test measures

the testee’s ability to take dictation and transcribe, etc.

Simulation Tests : Simulation exercise is a test which duplicates many of the

activities and problems an employee face while at work.

Assessment Center : An assessment center is an extended work sample. It

uses procedures that incorporate group and individual exercises. These exercises

are designed to simulate the type of work which the candidate will be expected to

do.

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The following the global giants use selection testing as a basis for picking up right

candidates to fill the vacancies arising internal:

Siemens India: It uses extensive psychometric instruments to evaluate short-listed

candidates. The company uses occupational personality questionnaire to candidate’s

personal attributes and occupational testing to measure competencies.

LG Electronics India: LG Electronics uses 3 psychometric tests to measure a

person’s ability as a team player, to check personality type and to ascertain a

person’s responsiveness and assertiveness.

Arthur Anderson: While evaluating candidates, the conducts critical behavioral

interviewing which evaluates the suitability of the candidate for the position, largely

based on his past experience and credentials.

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Pepsico India: The Company uses India as global recruitment recourse. To select

professionals for global careers with it, the company uses a competency- based

interviewing technique that looks at the candidate’s abilities in terms of strategizing,

lateral thinking, problem solving, managing the environment. These apart, Pepsi

insist that to succeed in a global posting, these individual possess strong functional

knowledge and come from a cosmopolitan background.

Both recruitment and selection are the two phases of the employment process .The

differences between the two are:

The recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization 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 organization, by attracting more

and more employees to apply in the organization WHEREAS the basic purpose of

selection process is to choose the right candidate to fill the various positions in

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the organization.

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

where as selection is concerned with selecting the most suitable candidate

through various interviews and tests.

There is no contract of recruitment established in recruitment where as

selection results in a contract of service between the employer and the selected

employee.

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Placement

After a candidate has been selected, he should be placed on a suitable job. Placement is

the actual posting of an employee to a specific job. It involves assigning a specific rank

and responsibility to an employee. The placement decisions are taken by the line

manager after matching the requirements of a job with the qualifications of a candidate.

Most organizations put new recruits on probation for a given period of time, after which

there services are confirmed. During this period, the performance of the probationer is

closely monitored. If the new recruit fails to adjust himself to the job and turns out poor

performance, the organization may consider his name for placement elsewhere. Such

second placement is called” Differential Placement”.

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Induction/Orientation

Orientation or induction is the task of introduction the new employees to the

organization and its policies, procedures and rules. During this time, the new employee

is provided with information about the company, its history, its current position, the

benefits for which he is eligible, leave rules, rest periods, etc. Also covered are the more

routine things a newcomer must learn, location of the rest room, break room, parking

spaces, cafeteria, etc. Lectures, handbook, films, groups, seminars are also provided to

new employees so that can settle down quickly and resume the work.

Objectives Induction Programme

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Removes fears

Create a good impression

Acts as a valuable of information

Welcome to the organization

Explain about the company

Show the location/department where the new recruit will work

Give the company’s manual to the new recruit

Provide details about various work group and the extant of unionism within the

company

Give details about pay, benefits, holiday, leave, etc. Emphasize the important

of attendance or punctuality.

Explain about future training opportunities and career prospects.

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Clarify doubts, by encouraging the employee to come out with questions.

Take the employee on a guided tour of buildings, facilities, etc. Hand him over

to his supervisor.

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Call to shortlisted candidates

Shortlisted & Segregate the applications

Written Test

Interview

To find out the Source of Manpower

Under the Approved Manpower Plan & Budget Recruitment process begin -

START

*Go for advertisement *Employment Exchange office*Collage Campus Recruitment *Approach to candidates through direct received Application*Recruitment consultant*Job Portal

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Step 1- Recruitment workmen basically start with approval of vacancies.

Step 2- After the approval of vacancies from corporate HR the company goes for

the purpose of recruitment and short listing of candidate Short listing of candidates

takes place on the basis of eligibility criteria determined on the basis of age,

qualification, percentage of marks in examination and other technical qualification.

Step 3- The candidate’s who are eligible called for written examination. Otherwise

he is eliminated from the selection procedure.

Step 4- After written test the evaluation takes place. Scores are determined

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Trade Test

Per Employment Medical Check UP

Finally Selected Candidates / Candidate

Offer of Engagement Issue / Joining In the

Company

If the Candidate is Medically Fit

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according to policies of the company. The cut off marks are variable and generally

lies between 50% and above of total marks.

Step 5- If a candidate scores more than or equal to cut off then he called for the

purpose of interview. Otherwise he is prohibited from further process.

Step 6-The successful candidate who appear for the interview are evaluated.

Step 7- The candidate who successfully qualify the interview are called upon for

the trade test depending upon the category.

Step 8- The candidate who successfully qualify the trade test are called upon for

the medical test. The successful reporting candidates are provided with photo

identity sheet which contains description of candidate along with other required

details as prescribed by the norms of the company.

Step 9- Medically fit candidate is called upon for joining as per the requirement of

skills and site or place. Medically unfit candidate are eliminated from the procedure.

Step 10- The reporting candidate are given suitable induction/ orientation

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Programmes regarding safety, Company policies & procedures, Discipline, use of

PPE’s, quality and other company business.

Step 11- After orientation/ induction Programmes the qualified candidate are

moved to the respective place of requirement.

For the selection of White Colored employee Company also go through recruitment

process-

Step 1-Recruitment of permanent employee (white collared) basically starts with

approval of vacancies by corporate HR that is Chief HR of Specific location works.

Step 2- After the approval of vacancies from corporate HR the company goes for the

purpose of recruitment and short listing of candidate. Short listing of candidates takes

place on the basis of eligibility criteria determined on the basis of age, qualification,

percentage of marks in examination and other qualification.

Step 3- The candidate’s who are eligible called for interview. Otherwise he is

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eliminated from the selection procedure.

Step 4- First interview take place through telephone after that Preliminary Interview

(Face to Face interview) take place. All interview take place by HR person.

Step 5- After taking telephone interview and preliminary interview candidate are

short listed and called for final round interview.

Step 6- After final round interview candidates are selected for the required job. And

sand for the medical test.

Step 7- Medically fit candidate called for the joining the company. If it is not

medically fit than it rejected for the required job

Step 8- The reporting candidate is given suitable induction/ orientation programmes

regarding safety, quality and other company business.

Step 9- After orientation/ induction programmes the qualified candidate are moved

to the respective place of requirement

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RESEARCH PROBLEM

The problem of my project is basically seeing that HR dept how to select the suitable

candidates for the job. Also see that what are the polices and procedure that are being

adopted by a company formally. Find out that what are the basic problems are there in the

organization due to employee leave the jobs.

1. Identify general practices organization use to recruit and select

employee.

2. Determine which recruitment and selection practices are most

effective.

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RESEARCH METHODOLOGY

Research methodology is systematic design, collection and analysis of information and

finding relevant to a specific marketing situation facing the company, after deciding

upon the research objective, next step was to collection of the data. The data is collected

from both primary and secondary sources. The goal of the research process is to produce

new knowledge.

The requirement of the subsequent steps is as following:

Formulating the research problem

Extensive literature survey

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Developing the working hypothesis

Preparing the research design

Determining sample design

Collection the data

Execution of the project

Analysis of the data

Hypothesis testing

Generalization/ Observation and Interpretation

Recruitment practices at TATA MARCOPOLO MOTORS LTD for blue collared

employee:

Basically there are two main reasons of generation of vacancies-

Additional Requirement: It arises due increase level of production or due to

excess of workload at the production unit.

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Replacement: Second reason for generation of vacancies may be movement of

workers from one production unit to another.

Modes of Requirement

Job enrichment: It is mainly increase/ change in responsibility of person

performing the job. It takes place by methods such as promotion, job rotation, transfers,

etc.

Internal Sources: Internal sources generally include employee referral, Ex-

apprentice, and job trainee.

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External Sources: It includes personal candidate who apply for advertised or

published in various newspaper. It also includes those campuses where the going search

for potential candidate.

TYPES OF DATA

.Primary Data

PERSONAL INTERVIEW

Secondary Data

LITERATURES

CO.WEBSITES

TYPES OF RESEARCH

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Descriptive research

Applied research

DATA ANALYSIS & INTERPRETATION

1. The Corporate HR has highly experienced professionals having average

experience of about their work.

2. Employees here are aware about the latest concepts like Head hunting,

Recruitment process outsourcing, Psychometric testing etc.

3. The organization prefers to use internal sources of recruitment because it

offers certain advantages like Cost Effectiveness and Reliability.

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4. The external sources of recruitment used by the organization mainly

include Data Bank and Job Portals.

5. The organization uses selection tools like Group Discussions, Written

Tests and Interviews to select the prospective candidates.

6. Recent implementation of HRIS in the recruitment and selection process

has made the process more effective and smoother.

Suggestions

1. Employee Referral schemes should be implemented in the organization.

2. Selection Tests should be conducted online so that it saves time thereby

making the process more effective.

3. Micro Presentation may be used as one of the selection techniques.

4. Selection for lower level position can be outsourced as it will save time and

money.

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5. The organization may consider conducting Psychometric Tests to have a

closer look at attitude and personality of the candidates.

6. Formal training should be provided to the employees participating in the

interview panel.

7. The organization should frequently participate in the job fairs in order to get

more candidates.

8. The organization may use Social/Business Networking sites to create a pool of

candidates.

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Conclusion

In today's rapidly changing business environment, organizations have to respond

quickly to requirements of people. Hence, it is important to have a well-defined

Recruitment & Selection Process, which can be executed effectively to get the

best candidates for the vacant positions. Selecting the wrong candidate or

rejecting the right candidate could turn out to be a costly mistake for the

organization, thus, to avoid this, utmost care should be taken in designing the

Recruitment & Selection Policy.

It is important for an organization to continuously develop and bring out

innovations in all its activities because only then the organization is recognized

for its quality and it will be able to stand out in the crowd.

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In the case of Tata Marcopolo Motors Limited, the selection procedure can be

made more effective by combining the traditional interviewing methods with the

modern versions of selection like psychometric tests, Micro Presentations etc.

Since these Selection Techniques have not yet been implemented in the Selection

procedure of Tata Marcopolo motors Limited, its introduction in the organization

would definitely yield better results which will be beneficial to the organization.

LIMITATIONS

The project was taken as a part of summer training. As the time was

limited, so the survey was confined to a limited study.

Respondents were not friendly.

The project is based on the secondary data and the assumptions might

not be free from errors.

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BIBLIOGRAPHY

NEWSPAPERS:1. Business Line2 .The Hindu

WEBSITE:www.tata motors.comwww.tatamarcopolo.com

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Book:V.S.P Rao

Other Sources:Recruitment policy of TMML

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