List of content

Chapter No. Title Page no.

1. 1.1 Introduction 4 – 21
1.2 Statement of the problem
1.3 Objectives
1.4 Scope or Importance of the study

2. Review of Literature 22

3. 3.1 Research Design 23 - 28

i. Data collection method
ii. Sample size
iii. Statistical tools to used
iv. Duration of the study
3.2 Limitation of the Study
4. Company Profile 29 - 38

5. Data Analysis and Interpretation 39 - 77

6. Summary of Findings, Suggestions & Conclusion 78 - 81

Bibliography 82

Annexure 83 -86

List of table
Tabl Particulars Page
e No. No.
1. Table showing age group of the respondents 39

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2. Table showing qualification of the respondents 41
3. Table showing information regarding the job vacancy 42
4. Table showing mode of apply for the job 44
5. Table showing time schedule of conducting recruitment and 46
selection
6. Table showing preference towards the source of recruitment 48
7. Table showing factor taken in to consideration at the time of 50
recruitment
8. Table showing effectiveness of the recruitment procedure 52
9. Table showing effectiveness in hiring the best professionals 54
10. Table showing level of the satisfaction of the respondent towards 56
the recruitment procedure
11. Table showing selection process attended by the respondents 58
12. Table showing types of interview that the candidate went through 60
during selection
13. Table showing rounds of interview conducted during selection 62
14 Table showing Candidates received any financial assistance or 64
not for attending the interview
15. Table showing test administered revealed candidates strength 66
and weakness or both
16 Table showing comfortability of the respondents during the 67
interview
17 Table showing awareness of the terms and conditions about the 69
employment before joining
18 Table showing the capabilities of the interviewer 71
19 Table showing referring the candidates by the employees in the 73
organization.
20 Table showing encouragement from the organization for referring 75
candidates
21 Table showing aspects that help the respondent to join the 76
organization.

List of graph
Table Particulars Page
No. No.
1. Graph showing age group of the respondents 40
2. Graph showing qualification of the respondents 41
3. Graph showing information regarding the job vacancy 43

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4. Graph showing mode of apply for the job 45
5. Graph showing time schedule of conducting recruitment and 47
selection
6. Graph showing preference towards the source of recruitment 49
7. Graph showing factor taken in to consideration at the time of 51
recruitment
8. Graph showing effectiveness of the recruitment procedure 53
9. Graph showing effectiveness in hiring the best professionals 55
10. Graph showing level of the satisfaction of the respondent towards 57
the recruitment procedure
11. Graph showing selection process attended by the respondents 59
12. Graph showing types of interview that the candidate went through 61
during selection
13. Graph showing rounds of interview conducted during selection 63
14 Graph showing Candidates received any financial assistance or 65
not for attending the interview
15. Graph showing test administered revealed candidates strength 66
and weakness or both
16 Graph showing comfortability of the respondents during the 68
interview
17 Graph showing awareness of the terms and conditions about the 70
employment before joining
18 Graph showing the capabilities of the interviewer 72

19 Graph showing referring the candidates by the employees in the 74

organization.
20 Graph showing Encouragement from the organization for referring 75
candidates
21 Graph showing aspects that help the respondent to join the 77
organization.
1.1 INTRODUCTION
Human resource management is concern with the satisfying or fulfilling the
human resource requirement in the organization. It is mainly concern with
planning monitoring, and control on human resource. Its aims are to fulfill the
managerial needs of human resource of the organization. Human Resource
professionals are concern with procurement of human resource in right number
and of desire skill for the organization.

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Human resource management aims at achieving organizational goals to meet the
expectation of the employees, develop the employees, skill and abilities of the
employees, improve the qualities of working life and manage human resources in
an ethical and socially responsible manner.
Human resource management is responsible for the people dimension of the
organization. It is pervasive force, action oriented, individual oriented,
development oriented, future focused, integrative in nature and is a
comprehensive in nature.
Human resource management of the organization has to recruit people with
requisite skill, qualification and experience if they have to survive and flourish in a
highly competitive environment. To be effective they need to tap all available
sources of supply, both internal and external.

Henry Ford the pioneer in the field of management state,

“Take out my building, take out my machine and all capital but leave
my men with me, I will became Henry Ford again.” This statement of Henry Ford
highlight that human resources in an organization plays a crucial role.

In fact management of human resource is the most important or the central

because proper or improper use of other resources depends upon human factor.
In other words, without cooperation of human resource it is not possible to
achieve the objectives of an organization.
Human resources refer to the knowledge skill, abilities, value, aptitudes and
beliefs possessed by its workforce in the organization. In fact competent and
skilled workforce determines the efficiency and effectiveness of the organization.
Other thing remaining the same, an organization with competent workforce is
likely to be more effective in comparison to the organization low in this factor.
In the word of Alfred P. Solan,

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 “Most of the business are alike expect as to people.” So achieving
human resource excellence leads to organization’s excellence.

Every industrial or commercial organization comes in to existence

when a number of persons join hands. All these people work to achieve some
organization goals. Management of every enterprise takes up the responsibility of
assigning, surviving and controlling the activities of person walking there.
Management brings human and material resources together for obtaining
organization goal. Human resource is important for the success of any
organization. Manpower management will enhance efficiency and performance of
people at work.

Objective of Human Resource Management

Objective is predetermining goals to which individual or group

activities in an organization are directed. Objected of personal management are
influenced by social objective, organizational objectives, functional objectives,
and individual objectives. The objective of economic institutions is mostly to earn
profits. The objective of human resource management is as follows:

(1).To create and utilize an able and motivate workforce, to accomplish the basic
organizational goal.

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(2).To establish and maintain sound organization structure and desirable working
relationships among all the member of the organization.

(3).To secure the integration of individual and groups within the organization by
co-ordination of the individual and group goals with those of the organization.

(4).To create facilities and opportunities for individuals or group development so

as to match it with the growth of the organization.

(5).To attain an effective utilization of human resources in the achievement of

organization goals.

(6).To identify and satisfy individual and group needs by providing adequate and
equitable wages, incentive, employees benefits and social security and measure
of challenging work, prestige, recognition, security , status etc.

Function of the Human Resource Management

The function of the human resource management can be

broadly classified into two categories, viz. (1) Managerial function (2) operative
function

(1). Managerial function:

Managerial function of personal management involves planning

organizing, directing and controlling. All these function influence the operative
functions
(a). Planning:

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 It is pre-determine course of action. Planning pertain to
formulate strategies of personal programmes and changes in advance that will
contribute to the organizational goals. It involves planning of human resources
requirement, recruitment, selection, training etc.

(b) Organizing:

An organization establishes relationship among the employees

so that they can collectively contribute to the attainment of company goals.

(c). Directing:

The next logical function after completing planning and

organizing is the execution of the plan. The basic function of personal
management at any level is motivating, commanding, leading and activating
people. The willing and effective co-operation of employees for the attainment of
organization goals is possible through proper direction.

(d). Controlling:

After planning, organizing, and directing various activities of

personal management, the performance is to be verified in order to know that
personal function are performed in conformity with the plans and direction of an
organization. Controlling also involves checking, verifying and comparing of the
with the plans, identification of deviation if any and correcting of identified
deviations. Thus action and operation are adjusted to pre-determine plans and
standard through control.

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(2). Operative function:

The operative function of human resource management are

related to specific activities of personal management i.e.; employment,
development, compensation and relations. All these function are integrated with
the managerial functions.

(a). Employment:

It is first operative function of Human Resource Management. It

covers function such as job analysis, human resource planning, recruitment,
selection, placement and induction.

(b).Human resource development:

It is the process of improving, moulding and changing the skill,

knowledge, creative abilities, aptitudes, attitude, values, commitment, etc. based
on present and future job and organization requirement.

(c). Compensation:

It is the process of providing adequate, equitable and fair

remuneration to the employees. It include job evaluation, wages and salary
administration, incentive, bonus , fringe benefits, social security measure etc.

(d). Human relation:

It the process of interaction among the human beings. Human

relation is area of management in integrating people into work situations in a way
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that motivates them to work together productively, co-operatively and with
economic, psychological and social satisfaction.

(e). Industrial relation:

Industrial relation refers to the study of relations among

employees, employer, government and trade unions.

Scope of Human Resource Management

The Indian institute of personal management has describe the
scope of human resource management in to the following aspects :

1) The personnel aspect:

This aspect of human resource management is concern with the

manpower planning, recruitment and selection, placement, induction, transfer,
promotion demotion, termination, training and development, layoff and
retrenchment, wage and salary administration, incentives, productivity etc.

2) The welfare aspect:

The welfare aspect is concern with working condition and

amenities such as canteens, crèches, rest rooms, lunch rooms, housing,
transport, education, medical help, health and safety, washing facilities,
recreation and cultural activities etc.

3) The industrial relation aspect:

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 This aspect is concern with the company’s relation with the
employees. It includes union management relations, joint consultation,
negotiating, collective bargaining, grievance handling, disciplinary actions,
settlement of industrial disputes etc.
All these aspect concern with the human element in the industry as distinct from
the mechanical element.

RECRUITMENT

Introduction
Recruitment is the main function of the Human Resource
Management. It is the first step towards the provision of employment to the
employees. This process begins with manpower planning and ends with
placement and induction.
Manpower planning is the first step towards procurement of the services of the
employees. On its basis, the company determines the right number and right
quality of employees. The process of recruitment begins with the determination of
demand for the employees.
Under the process of recruitment application are invited for the
vacant jobs in the organization and efforts are made to search for the prospective
employees. Recruitment is such a process by which prospective employees are
located and they are encouraged to apply for the job.
Recruitment process aims at developing and maintaining
manpower resources, so that whenever there is need for additional employees,
company could depend on them. Recruitment therefore is a positive process of

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searching for prospective employees and motivating them to apply for the job in
the company.

Definition
According to Edwin B. Flippo,
“Recruitment is the process of searching for prospective
employees and stimulating them to apply for jobs in the organization.

According to Dale S. Beach,

“Recruitment is the development and maintenance of adequate

manpower resources. It involves the creation of pool of available labour upon
whom the organization can draw it needs additional employees.”

Features of Recruitment
(1). Recruitment is a process or a series of activities rather then a single act or
event.

(2). Recruitment is linking activities as it brings together those with job (employer)
and those seeking job.

(3). Recruitment is a positive function as it seeks to develop a pool of eligible

persons from which most suitable ones can be selected.

(4). The basic purpose of recruitment is to locate the sources of people required
to meet job requirements and attracting such people to offer themselves for
employment in the organization.

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(5). Recruitment is an important function as it makes possible to acquire number
and type of persons necessary for the continued functioning of the organization.

(6). Recruitment is a two way process. It takes a recruiter and a recruitee.

Objective of Recruitment:
The objectives of the recruitment are:
(1).To attracts people with multi- dimensional skills and experience that suit the
present and future organization strategies.
(2). To inducts outsiders with a new perspective to lead the company.
(3). To infuse fresh blood at all level of the organization.
(4). To develop an organizational culture that attract competent people to the
. company.
(5).To develop an organization culture that attract competent people to the
company.
(6). To search the people whose skill fit the company’s values.
(7). To search talent globally and not just with in the company.
(8). To design entry pay that compete on quality but not on the quantum.
(9). To anticipates and find people for positions that do not exit yet.

Sources of Recruitment

The sources of recruitment broadly divided into internal sources and external
sources..
Internal sources: Internal source are sources with in the organization.

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Internal sources include
(1). Present permanent employees
(2). Retired employees
(3). Dependents of deceased, disabled, retired and present employees
(4). Employees referrals

External sources: External sources are sources outside organization pursuits.

External sources include :
(1). Campus recruitment
(2). Private employment agencies / consultant
(3). Public employment exchanges
(4). Professional organization
(5). Similar organization / competitors
(6). Trade union

Factors Affecting the Recruitment Policy

Several factors which affect the recruitment. Main factors are:

(1) Size of the organization:

Recruitment process is directly influenced by the size of the organization. If the
size of the organization is small less employees will be needed for recruitment. A
developing and well established organization needs more employees for
recruitment.

(2) Organizational policy regarding internal candidates:

In the recruitment policy of the organization, provision is made regarding filling
the vacant posts. Ordinarily for filling the vacant posts internal sources of the
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organization are given preference. If suitable employees are not available from
internal sources then external sources of recruitment are tapped.

(3) Organization policy regarding local candidates:

In the discharge policy of its obligation towards the society, a good business
organization gives preference to local candidates at the time of recruitment.
Ordinarily in local applicant organization can get economical and stable
prospective employee. Thus an organization can make effective and economic
use of local human and physical resources.

(4). Influence of trade union:

Trade union also influence the recruitment policy in the organization. In the
recruitment of higher grade posts in the organization, trade union exerts their
pressure in favour of internal candidates on the basis of seniority. Trade union
appose appointment from external sources.

(5). Government policy regarding reservation:

Recruitment is directly influenced by the reservation policy of the government.
This policy is strictly followed in government undertaking. In government
institution a certain percentage of job is reserved for candidates belonging to
schedule caste, schedule tribe and other economical backward classes. This
policy should be kept in view while making recruitment.

(6). Level of production and expansion:

When the scale of production enlarged, the organization will require more
employees and so additional employees will be recruited.

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(7) Working condition:
Aim of recruitment is to increase the hiring ratio of the employees. Good working
condition may attract large number of efficient and competent applicants. On the
contrary, under poor condition, it may be difficult to attract good number of
applicant.

(8). Promotion opportunities:

If the future of the employees is safe in the organization and more opportunities
of promotion is available as compared to other organization it may succeed in
attracting large number of employees at the time of recruitment.

(9). Salary and other benefit:

Salary, allowance, fringe and other benefit offered by the organization directly
influence recruitment process. If the organization offers higher salary and other
benefit to the prospective employees then good number of efficient and talented
employees will be coming forward.

(10) Image of the organization:

Recruitment is also influenced by the image of the organization. If the
organization is renowned for handsome wages and other benefits, good working
condition, labour welfare policies, clear promotion and transfer policies and pro-
employees policies or we may say that if the organization has the good image in
the business and society, then it will not be difficult for it to attract prospective
employees in sufficient number.

Recruitment Process
The process of recruitment comprises five integrated stages:
(1). Planning
(2). Strategy development

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(3). searching
(4). Screening
(5). Evaluation and control

SELECTION
Introduction
Recruitment function helps the organization to develop a pool of prospective
human resources. It is difficult for the HR manager to employee the suitable
people out of the pool. Infact, many organizations face critical problems in
choosing the people. Selection technique and methods reduce the complexities
in choosing the right candidates for the job.
After identifying the source of human resources, searching for
prospecting employees and stimulating them to apply for job in an organization,
the management has to be performing the function of selecting the right
employees at right time. Recruitment is a positive process. Under it more and
more candidates are motivated to apply for the jobs declared vacant. But
selection is a negative process. It aims at weeding out the applicants in such a
manner that capable ones are selected only. The objective of the selection
decision is to choose the individual who can most successfully perform the job
from the pool of qualified candidates.
Selection is a discriminatory process wherein suitable applicants
are provided employment and unsuitable applicants are rejected. Selection is the
process of picking individuals out of the job applicants with requisites
qualifications and competence to fill jobs in the organization. It is process of
differentiating between applicant in order to identify and hire those with a greater
likelihood of success in a job. The selection process is followed immediately after
the recruitment is completed.
According to Dale Yoder,

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“Selection is the process in which candidates for the employment are divided in
to two classes - those who are to offer employment and those who are not.”
According to Koontz O’ Donnell,
“Selection is the process of choosing from among the candidates from with in the
organizations or from outside, the suitable person for the current position or for
the future position.”
According to David and Robins,
“Selection process is management decision making process as to predict which
job applicant will be successful if hired.”

Essential of Selection Procedure

The selection process can be successful if the following requirements are
satisfied:
(1). some one should have the authority to select. This authority comes from the
employment requisition, as developed by an analysis of the work-load and work-
force.
(2). There must be some standard of personnel with which a prospective
employee may be compared, i.e. a comprehensive job description and job
specification should be available beforehand.
(3). There must be a sufficient number of applicants from whom the required
number may be selected.

Step in Scientific Selection Process:

(1). Job analysis (2). Recruitment (3). Application form (4). Written examination
(5). Preliminary interview (6). Business games (7). Tests (8). Final interview
(9). Medical examination (10). Reference checks (11). Line manager decision
(12). Job offer (13). Employment

Selection process

Development bases for selection

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Human resource
plan
Recruitment Line Employment
manager’s
Job
Medical
Reference
Final offer
Tests decision
examination
interview
checks
 Application /resume/bio-data
Job analysis

Written examination

Preliminary interview

Business games

Assess the fit between

the job and the
candidates

1.2 Statement of the problem

.

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 In the current scenario there are numerous jobs and there are
number of aspirants trying for jobs and get employed. It is very difficult for a
company to employ the right person for the right jobs.
Therefore with the view to understand the various processes in recruitment and
selection, a study has been undertaken the various process in recruitment and
selection, a study has been undertaken at Rico Auto Industries Ltd. Titled “A
study on effectiveness of recruitment and selection process at Rico Auto
Industries Ltd.”

1.3 Objective of the study:

1. To study how the Rico auto industries able to cope with the problem of the

recruitment and selection.

2. To know different sources and method followed by Rico Auto Industries for

recruiting the employee.

3. To find out the basis of selection procedure in Rico auto Industry Ltd.

4. To know different sources and methods followed by Rico Auto Industry

limited for recruiting the employees.

5. To find out the base of selection procedure in the industry.

6. To study the effectiveness of present recruitment and selection process in

the organization.

7. To examine the recruitment procedure of Rico auto industry ltd. for hiring

the best professionals.

1.4 Scope of the study

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The study is based on survey research conducted at Rico Auto Industry Ltd. the
scope of the study is limited to recruitment and selection process of the
company.

2. Review of literature
Every study whether it is a study on the topic like “Effectiveness of recruitment

and selection process” in Rico Auto industry or a simple answer to a question

needs a greater study of the literature that might be referred from textbooks or

website etc.

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The literature that has been reviewed for the study on “Effectiveness of

Recruitment and Selection process” has been explained on the following pages.

The referred books, projects, planning, analysis, implementation and review

deals in details about the various aspects from the basic concept like, what is

project? To an advanced concept like project implementation.

The referred books are Research Methodology by C.R. Kothari, Human

Resource and Personal Management by K. Aswathappa, Personal and Human

Resource Management by P. Subha Roi, Personal Management , C. B.

Mamoria & S.B. Mamoria.

The electronic media which include websites like www.ricoautoindustries.com,

www. Google.com doing the best happenings concerning to the projects and the

problem delt about the data analysis we extracted from them.

3. Research Design
A research design is a systematic planning and directing of a
piece of research .it is used to give meaning and resemblance to the information
collected, i. e. it gives any data and information , interpretation of that data. It is
the sequence followed in conducting a research. A research design is the
arrangement of condition for collection and analysis of data in a manner that aim
to combine relevance to the research purpose with economy in procedure.

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Research design is a plan, a structure and strategy of an investigation process,
which sets out to obtain answer to research question.
A research methodology is a way to systematically solve
research problem. A research design is a logical and systematic plan prepared
for directing a research study. It specify the objective of the study, methodology
and techniques to be adopted for achieving the objective. It constitutes the blue
print for the collection, measurement and analysis of data. A central part of
research design is to develop an effective research strategy of design.
Descriptive was carried out to conduct this study to conduct this
project. Descriptive research includes surveys and fact finding enquiries of the
problems. The objective of the study is to find out who, what, when, where and
how of the topic. The study may be simple and complex. it may be done in many
setting. The simplex descriptive study concerns a unvaried question or
hypothesis in which we asked size, form distribution or existence of a variable.

The overall research design can split into the following parts:
a) The sampling design which deal with the method of selecting items to be
observed for the given study.
b) The observation design which relates to the conditions under which the
observation are to be made.
c) The statistical design which concern with the question of how many item are to
be observed and how the information and data gathered are to be analyzed,
and
d) The operational design which deals with the techniques by which the
procedures specified in the sampling, statistical and observational design can
be carried out.

i. Sources of data collection:

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The required data were collected through the following two sources:

a) Primary data sources:

For the purpose of the study the primary data were collected through

administration of the questionnaire. Personnel interview was also taken from the

personnel manager to know the strategies of recruitment and selection.

b) Secondary data sources:

The Secondary data for the present study includes the company’s reports,
previous research studies ,books ,journals etc.

ii. Sample size:

Sample size refers to the number of elements to be

included in the study. An important decision that has to be taken while adopting a

sample technique is the sample source. In this study the sample size of

respondent was decided to be 100.

iii. Statistical tools used:

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 For the purpose of analysis of the data statistical tool used

for the present study includes tabulation, bar diagram, pie chart. Etc,.

iv. Duration of study:

The study was been conducted for six weeks at RICO Auto
Industries Ltd.

Need for the study

Human resource management is the backbone of any

organization and its success mainly depends on the manpower. The ability and

potentiality of personnel must be watch with the requirement of the positions in

the organization

This internship report is the outcome of study undertaken as a partial

requirement for the degree of Master of Business Administration program run by

Bangalore University. In order to fulfill this requirement, a study on Rico Auto

Industries Ltd. was carried out. The study was done on the Recruitment and

selection policy of the organization.

Sample design
A sample design is a definite plan for obtaining a sample from a given population.

It refer to the technique or the procedure the researcher would adopt in selecting

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items to be included in the sample. Sample design may be as well as lay down

the number of item to be including in the sample. Sample design is determine

before data are collected.

Sample technique:

Sample technique is a technique in which instead of every

unit of the universe only a part of the universe is studied and conclusion are

drawn on that basis for the entire universe.

The random sampling was used to collect the data for the study. Random

sampling refers to the sampling technique in which each and every item of the

population is given in equal chance of being included in the sample. For this

study 100 employees are selected at random.

Plan of analysis:

After collecting the data it was compiled into data table and

graph format to understand it in an easy way. This analysis at the end helped in

giving valuable suggestions.

3.2 Limitation of the study

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a) The study is limited in getting the information from the employees through

questionnaire.

b) The study is confined to only 100 respondents for facilitating better

understanding of the issues being addressed.

c) Time constraint as it is only for the purpose of academic study within a

stipulated time period.

Chapter scheme:

Chapter - 1
Introduction:- The first chapter gives a outlook of the proposed study.

Chapter – 2
Research design: - Research design gives details about the statement of the
problem, the scope of the objective, its objective, the methodology, the sample
studied, tools of data collection, and plan of analysis and limitations of study.

Chapter – 3
Company profile:- This chapter gives a scenario of the profile of the company. It
includes company’s history, company’s objectives etc.

Chapter – 4

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Analysis and interpretation of data:- This chapter includes analysis & data
collected from the respondents. The result was highlighted by preparation of the
table & also been supported by graphs, charts and diagrams whenever
necessary.

Chapter – 5
Summary of findings, suggestion & conclusion:- This chapter gives the
summary of the findings drawn from the survey. This chapter draws relevant
suggestions and conclusion regarding the study.

COMPANY PROFILE

Rico Auto Industry Limited is located in Dharuhera, District Rewari (Haryana)

69Km. stone Delhi – Jaipur Highway. Where a modern township is developed is
locally known as “Dharuhera” and lies between old cities of Rewari and Gurgoan.
Attitude 340 meters above see level
Average Rainfall 550 MMS Per year
Temperature Summer 20 to 48 (deg. Celsius)
Capacity Over 50 million high pressure die casting
component per annum
Range 160 to 800 tones locking force

Rico is a world-class engineering company supplying a wide range of high

precision fully machined aluminum and ferrous components and assemblies to
automotive OEMs across the globe.

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Rico Auto Industry Ltd is a leading manufacturer of highly engineered Ferrous
and aluminium component, catering primarily to the automotive sector. Rico Auto
Incorporated (1984-85) and Commercial Production Started (1986)

1984 : Rico starts at Dharuhera with aluminum High Pressure Die

casting & machining facilities.
1984 : Rico enters capital market by Initial Public issues.
1990 : Rico enters International market as OEM’s Suppliers
1992 : Rico installs automatic High Pressure Moldings Line Ferrous Foundry
& machining at Gurgoan plant.
1993 : Rico offers right issue.
1994 : Rico Dharuhera plant achieves ISO 9002 certification.
1997 : Rico enters into JV with FCC Company Japan.
1998 : Rico Gurgoan plant certified by QS 9000
1999 : Rico Dharuhera plant certified by QS 9000.
2000 : Rico starts aluminium High Pressure die casting at Gurgoan.
2001 : Rico enters IT enabled field. Rico Softech formed.
2001 : Rico opens wholly owned subsidiary in USA.
2001 : Rico Gurgoan plant certified by ISO/TS 16949.
2001 : Rico starts outsourced international call centre.
2002 : Rico Dharuhera plant certified ISO/TS 16949.
2002 : Rico Gurgoan plant certified ISO 14001.
2002 : Rico Gurgoan plant recommended for OHSAS 18001.
2002 : Ford Motor Company recognized Rico as full service Supplier.
Rico uses bonus share. Rico gets status of an export house.
2004 : Enhanced Ferrous and aluminium capacity.
Added customers:
Cater pillar, Honeywell, Detroit diesel, Volvo.
2004-06: R&D centers started.

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 Added customer:
Nissan, Tata, Perkins

2007 : Joint venture with Continental AG automotive system

Continental AG – Rico
Shareholding : Continental – Rico 50:50
Proposed Name : Continental Rico Hydraulic Brakes India Private Limited
Products : Hydraulic Brake Systems and Services for Vehicle

Sub Products Planned capacity

(Million units)
Drum Brakes 1.5
Master Cylinders 1
Actuation Units & Brake Boosters 1
LSPV Load Sensing 0.5

Continental AG
Continental AG is a renowned International Automotive Component supplier,
having an Automotive Systems Division in the field of safety products.
Continental is one of the largest suppliers for conventional & electronic brake
systems and automotive electronics globally. Continental AG’s turnover in the
year 2008 was around US $ 20 billion. Continental is one of the top 5 automotive
system suppliers in the world.

Joint venture with JINFEI CHINA

Rico – JINFEI
Proposed Name : Rico Jinfei Wheels Limited
Products : Aluminium Alloy Wheels for two wheelers
Launch Plan : Started Production by early 2008
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 Planned Capacity 1 Million (First Phase)

JINFEI
JINFEI was founded in 1959, started the manufacturing of Aluminium Alloy
Wheels in 1995 and is now one of the largest manufacturers of Aluminium Alloy
Wheels in China. It is a major supplier of Aluminium Alloy Wheels to Honda,
Suzuki, Yamaha and other Two Wheeler OEMs. Its turnover in 2006 was
approximately US$ 280 million, with export sales of about US $ 43 million.

Joint Venture with FCC Company of Japan

FCC - RICO
F.C.C. RICO is a joint venture company of F.C.C. Co. Ltd Japan and Rico Auto
Industries Ltd. India established in February 1997 with 50:50 share equity.
The company is exclusively into manufacturing & supplying of automobile clutch
assemblies to O.E.M's of Two Wheelers and Four Wheeler. The company is also
in to manufacturing of Clutch Friction Disc with Cellulose (Paper) and Cork base.
With F.C.C. RICO coming into existence, it has joined the group of overseas
companies of F.C.C. having operations spread all over the world. Now F.C.C.
RICO can avail any kind of Technical & Operational Support from its overseas
base companies, it will have an additional advantage of exposure to the latest
development taking place Worldwide of different bases & same can be
incorporated to improve upon local operations facility & efficiencies in India.

Joint Venture with Magna Powertrain

MAGNA POWERTRAIN – RICO

Shareholding : Magna Powertrain-Rico 50-50

Sambhram Academy of Management Studies Page 30

Products : Oil & Water Pump (with Aluminum Housings) for
Automotive engines – India & Europe

Launch Plan : Gurgaon Start of Production 2009

COMBINE GROUP TURN OVER

During the year, our combined group turnover was Rs.1, 280
crores (US$ 300 million). Rico Auto gross sales grew by 14.9 per cent from
Rs.773 crores to Rs.888 crores. FCC Rico gross sales grew by 15.4 per cent
from Rs.286 crores to Rs.330 crores. Combined gross sales of Rico Auto USA
and Rico Auto UK, its subsidiaries, grew by 32 per cent from Rs.46.7 crores to
Rs.62 crores. Inter group Company sales was Rs.99.7 crores. The company
equally focused on domestic and export market. Company domestic sales grew
by 12.4 per cent from Rs.589 crores to Rs.662 crores and export sales grew by
34.8 per cent from Rs.89 crores to Rs.120 crores. It is working more aggressively
with our existing and potential customers to meet their Indian and global sourcing
requirements. We have dedicated account teams focused on each customer.

Hero Honda Motor the world No.1 motor bike manufacturer, is

Rico major customer. Besides Hero Honda, Rico supply the component to Maruti
Suzuki, Genral Motors, Honda Siel Cars and Honda Motor Cycle. On the global
front, Rico supply to General Motors in USA and Ford Motor Company, Jaguar &
Land Rover in Europe. RICO also supply to Cummins Engine Company, USA &
UK Eaton Transmission, and UK & Matsusaka Engineering. Rico have built a
solid foundation to become a preferred supplier to its major customer and are
well positioned for future growth and continued probability. RICO are committed

Sambhram Academy of Management Studies Page 31

to investing in key growth opportunities, strengthening its business model and
establishing it selves globally as a full service supplier.
Rico Auto is a dynamic world-class engineering company,
supplying a broad range of high precision fully machined ferrous and aluminum
components and assemblies to automotive OEMs globally. It enjoys an excellent
reputation of customer focus, quality and cost competitiveness. It have
engineering excellence, advanced design and development capabilities, strong
customer relationships and proven scalability, have helped it become a preferred
supplier to OEMs across the globe. Rico see significant opportunities ahead. It
have been building on its core strengths and laying a firm foundation for
sustained profitable growth that will consistently enhance value for all its
stakeholders.
Rico has been planning to have manufacturing presence in
South India. As part of this plan, during the year, we acquired approximately 24
acres of land near Chennai in SIPCOT Industrial Park in Oragadam,
Sriperumpudur. This location is just a few km from upcoming Mahindra-Renault-
Nissan manufacturing facilities. We are currently developing our building plans
for this site. In addition, we have approximately 20 acres of land in
Bommasandra, Bangalore where we expect to commence construction shortly.
Further; we have taken approximately 10 acres of land in Singur as part of Tata
Small Car Supplier Park. As per Tata's requirements we expect commercial
supplies for this project to start in the last quarter of 2008. In Pune, our joint
venture, FCC Rico has set up an assembly plant to meet the requirements of
Bajaj Auto. In Uttarakhand, we have, acquired approximately 16.5 acres of land
from Eldeco in their Industrial Park, Sitarganj and are currently in planning stage
for the same. This multi location growth is part of our strategic roadmap, to build
global scale manufacturing capabilities and be present closer to our customers.

RICO EXPORT

Sambhram Academy of Management Studies Page 32

 RICO export grew by 34.8 per cent from Rs.89 crores in FY
2005-06 to Rs.120 crores in FY 2006-07. Today, RICO exporting to OEMs in
passenger car market (Ford, GM, Land Rover, Jaguar, Volvo Cars) commercial
and off road market (Caterpillar, Cummins, Detroit Diesel) and system suppliers
(Honeywell Turbo Technologies, Perkins). During the year, we commenced
development with Renault-Nissan, Eaton Clutch and Transmission and Magna
Powertrain. RICO AUTO has earned a reputation of being a reliable, integrated
supplier capable of supplying global volumes. We have Commenced
engagement with our global customers in their new product design initiatives and
are participating in new program launches. We are positioning ourselves as a
strategic design development partner. By achieving critical mass it is our
endeavor to grow our exports at a healthy pace over the next few years.

As a testament to our performance this year, RICO have

received awards and appreciation for our progress from our customers. It have
won awards from Maruti Suzuki and TATA Cummins for our performance in the
fields of development, delivery and quality and also succeeded in achieving Ford
Q1 status for our global supplies which is a first for an Indian component
supplier. Our efforts to evolve the mix of products along with our continuous
improvement in productivity and higher capacity utilization will improve
profitability in the coming years. During the last year almost every automotive
OEM’s announced plans to increase capacity launch new models and develop
India as a global hub for their compact cars. We see opportunities both in the
domestic and overseas markets with existing and new customers. To fully
explore opportunities with all customers, we have developed dedicated account
teams to focus on each customer and have also taken steps to expand our
manufacturing locations in India close to our customers' plants.

Sambhram Academy of Management Studies Page 33

 RICO believe in the value-creating potential of alliances and
partnerships. Our 50:50 joint ventures with FCC Japan is a testimony to such
value-creation for all stakeholders and continues to grow successfully. This year
saw the creation of a 50:50 joint venture with Continental AG of Germany for
hydraulic braking systems. Continental is one of the top 5 automotive system
suppliers in the world.
Rico also signed a joint venture with Zhejiang Jinfei Company
Limited (JINFEI) of China for the manufacture of alloy wheels for two wheelers.
Jinfei is one of the 3 largest alloy wheel producers in China and an approved
supplier to all top two wheeler manufacturers, including Honda. These joint
ventures will help us move forward in becoming a system supplier to OEMs and
will contribute significantly towards the growth and profitability of our Company.
RICO continue to look at opportunities of further growing and globalizing through
alliances and acquisitions. India is now looked at as a preferred destination by
the entire automotive world. Passenger car OEMs are looking at India as a global
hub for compact cars and also recognize the huge potential of export of auto
components from the country. During the year, the Government of India in
consultation with SIAM and ACMA published the Automotive Mission Plan 2006-
2016 which has a vision for Indian “to emerge as the destination of choice in the
world for design & manufacture of automobiles and auto components with output
reaching a level of US$ 145 billion accounting for more than 10 per cent of the
GDP and providing additional employment to 25 million people by 2016”.
Rico Auto is uniquely positioned to benefit from this growth
opportunity based on our investments, capabilities and performance. Rico AUTO
are today recognized as a fully integrated supplier capable of supplying global
volumes and are positioning ourselves as a strategic design development partner
with OEMs across two wheelers, passenger cars, commercial vehicles and
system suppliers. We have a professional, experienced management team and
a dedicated skilled workforce who share our vision and are committed to

Sambhram Academy of Management Studies Page 34

enhancing value through reliability, Innovation, continuous Improvement and
Globalization. RICO confident in its capability to succeed globally and
consistently deliver superior results.

Product profile
 Clutch

• Outer clutch

• Center clutch

 Pressure plate

 Lifter plate

 Clutch plate

• F.D.C. (friction disk care plate)

 Clutch assembly

 G.S.D. (gear ship drum)

 Hub

 Hub front

 Panel front

 Panel rear

 Panel rear CDN2

 Panel front P27 CDN

Sambhram Academy of Management Studies Page 35

  Panel front P90

Board of Directors

Chairman Chandra Mohan

Joint Managing Director Anup Singh, Prof. Vinod Kumar Bhalla
Managing Director Arvind Kapur
Senior Executives O P Aggarwal, N K Sethi
Company Secretary B M Jhamb

Auditors Gupta Vigg & Co.

Chartered Accountants
New Delhi (India)
Bankers State Bank of India
ICICI Bank Limited
IDBI BANK
AXIS Bank Limited

Registered Office and Corporate Office

Registered Office at Dharuhera
69 KM Stone, Delhi-Jaipur Highway,
Dharuhera – 122106, District Rewari
Haryana (India)

Corporate Office at Gurgaon

38 KM Stone, Delhi - Jaipur Highway,
Gurgaon – 122001Haryana (India)

Sambhram Academy of Management Studies Page 36

 ANALYSIS AND INTERPRETATION OF DATA
Table -1
Table showing age group of the respondents

Age group number of respondent Percentage

20 - 30 19 19%

31 - 40 31 31%

41 - 50 35 35%

More than 51 15 15%

total 100 100%

Analysis
From the above table it can be said that 19% of the respondent are between the
ages of 20-30, 31% of the respondent between the age of 31-40, 35% of the
respondents are between the age of 41-50 and 15% of the respondents more
then the age of 51.
Inference
It can be inferred that most of the respondents are between the age of 41-50.

Graph - 1

Sambhram Academy of Management Studies Page 37

 Agegroupoftherespondents
40

35

30

25

20

15

10
d
n
p
fth
s m
N
ro
b
u
e

0
20 - 30 31 - 40 41 - 50 More than 51
Age group

20 - 30 31 - 40 41 - 50 More than 51

Table - 2
Qualification of the respondent
Sambhram Academy of Management Studies Page 38
Qualification Number of respondent Percentage
Professional 43 43%
Non-professional 57 57%
Total 100 100%

Inference
From the above table it can be said that 43% of the respondents are professional
and 57% of the respondents are non professional.

GRAPH - 2

Qualificationoftherespondent
60

50

40

30

20

10
d
n
p m
N
ro
fs
t b
u
e

0
Professional Non -professional
Qualification

Professional Non -professional

Table - 3
Table showing Information regarding the job vacancy

Sambhram Academy of Management Studies Page 39

Particular No. of respondent percentage

Public employment exchange 11 11%

Advertisement 13 13%

Friend and relatives 45 45%

Placement agency/Consultant 22 22%

On line 9 9%
Total 100 100%

Analysis
From the above table we can analyze that most of the respondent 45% could
come to know through friend and relative about the vacancy of the job in the
organization, 11% through public employment exchange, 13% through
advertisement, 22% through placement agency/consultants and 9% through
online.

Inference
From the above table it can be inferred that most of the respondents come to
know about the vacancies in Rico Auto Industries Ltd. through the friend and
relative followed by placement agency/ consultant.

Graph – 3

Sambhram Academy of Management Studies Page 40

 Informationregardingthe jobvacancy
9% 11%

13%
22%

45%

Public employment exchange Advertisement

Friend and relatives Placement agency/Consultant
On line

Sambhram Academy of Management Studies Page 41

 Table – 4

Table showing mode of applying for the job

Particulars Number of respondent percentage

Placement agency 32 32%

/consultant

Online 15 15%

Referrals 48 48%

Others 5 5%

Total 100 100%

Analysis
From the above table it has been that 48% of the respondents applied in Rico
Auto Industries through referrals, 32% through placement agency/consultants,
and 15% through online, 5% through other mode.

Inference
It can be conclude that almost half of the respondents applied in Rico Auto
Industries through referrals followed by placement agency/consultant.

Sambhram Academy of Management Studies Page 42

 Graph- 4

Mode of applying for the job

60

50 48

40

32
30

20
15
N
u
d
n
p m
ro
fs
t b
e

10
5

0
placement online referrals others
consultant
Modes

placemen t consultant online referrals others

Sambhram Academy of Management Studies Page 43

 Table - 5
Table showing time schedule of conducting of
recruitment and selection

Particulars Number of respondent percentage

Every 2 2%
month
In six month 5 5%

Once in a 23 23%
year
As per 69 69%
requirement
Total 100 100%

Analysis

The above table show that 69% of the respondent, the recruitment and selection
programmed at Rico Auto Industry Ltd. is conducted as per the requirement, 2%
suggested every month, 5% suggests that in six month and 23% suggested that
that the recruitment and selection programmed is conducted once in year. So it
can be concluded that the recruitment and selection programmed in Rico Auto
Industry are per as the requirement.

Inference
From the above analysis we can infer that the recruitment and selection process
in Rico Auto Industries Ltd. has been done as per requirement.

Sambhram Academy of Management Studies Page 44

 GRAPH – 5

TimeofConductingofRecruitmentand
Selectionprogramme
80

70

60

50

40

30

20
m
N

10
d
n
pro
fs
t b
u
e

0
Every month In six month once in a year As per
requirement
Time

Every month In six month once in a year As per requirement

Table – 6
Sambhram Academy of Management Studies Page 45
 Table showing preference towards the source of
recruitment

Particular Number of respondent percentage

Online 9 9%

Referral 53 53%

Advertisement 15 15%

Placement consultant 23 23%

Total 100 100%

Analysis

From the above table it can be observed that 53% of the respondents give the
first preference to referrals as a source of recruitment, 9% prefer to online, 15%
prefer to advertisement, 23% prefer to placement consultant.

Inference

From the analysis we can infer that at the time of recruitment the first preference
gives to referrals followed by placement consultant.

Graph- 6

Sambhram Academy of Management Studies Page 46

 Table – 7

Table showing factors to be taken into consideration at

the time of recruitment
Sambhram Academy of Management Studies Page 47
 Particulars Number of respondent Percentage

Work experience 41 41%

Technical ability 23 23%

Qualification 21 21%

Past performance record 15 15%

Total 100 100%

Analysis

From the above table it is observe that nearly half of the respondents ranked
work experience as the major factor taken into the consideration at the time of
recruitment that is 41%, followed by technical ability which is 23%, then past
performance record which is 15% and the remaining 21% ranked qualification as
the factor to consider.

Inference
From the above analysis we can inferred that at the time of recruitment in Rico
Auto Industries Ltd. work experience taken as the major factor.

Graph – 7

Sambhram Academy of Management Studies Page 48

Sambhram Academy of Management Studies Page 49
 Table – 8

Table showing effectiveness of the recruitment

procedure

Particulars Number of respondents Percentage

Highly effective 16 16%

Moderately effective 21 21%

Effective 53 53%

Ineffective 10 10%

Total 100 100%

Analysis

From the above table it can be said that 16% of the respondents feel that the
recruitment procedure at Rico Auto Industries Ltd. is highly effective, 21% feel
that it is moderately effective, 53% feel that it is effective and 10% of them feel
that it is ineffective.

Inference

So it is concluded that the recruitment procedures is effective in Rico Auto

Industry Ltd.

Graph – 8

Sambhram Academy of Management Studies Page 50

 Effectivenessof the recruitment procedure
10% 16%

21%

53%

Highly effective Moderately effective Effective Ineffective

Table -9

Sambhram Academy of Management Studies Page 51

 Table showing effectiveness in recruitment process in
hiring best professionals

Particulars Number of respondents Percentage

Yes 84 84%
No 16 16%
Total 100 100%

Analysis
From the above table we can analyze that 84%of the respondents are of the
opinion that recruitment and selection procedure at Rico Auto Industries Ltd. is
effecting in hiring the best professionals. On the other hand 16% of the
respondents do not agree with the statement.

Inference
It can be inferred that Rico Auto Industries Ltd. is hiring the best professionals.

Graph - 9

Sambhram Academy of Management Studies Page 52

 Effectivenessofrecruitment&selection
processinhiringtheprofessionals

90
80
70
60
50 84
40
30
20
16
10
d
n
p m
N
ro
fs
t b
u
e

0
Yes No

Yes No

Table-10

Sambhram Academy of Management Studies Page 53

 Table showing selection process attended by the
respondents

Particulars Number of Percentage

respondents
Primary interview + technical test + HR 47 47%
interview
Primary interview + Written test + technical test 13 13%
+group discussion HR interview

Technical test + HR Interview 31 31%

Technical test + Direct interview + HR interview 9 9%

Total 100 100%

Analysis
From the above table it can be said that 46% of the respondents have gone
through primary interview + technical test + HR interview, 13% have gone
through primary interview + written test + group discussion + technical test + HR
interview, 32% have gone through technical test + HR interview and remaining
9% have gone through technical test + direct interview + HR interview.

Inference
From the above analysis all most half of the respondents have gone through
primary interview + technical interview + HR interview.
Graph – 10

Sambhram Academy of Management Studies Page 54

 SELECTIONPROCESS
9%

47%
31%

13%

Primary interview + technical test + HR interview

Primary interview+ Written test + technical test +group discussion +

HRinterview
Technical test + HR Interview

Technical test + Direct interview+ HR interview

Table – 11
Level of satisfaction of the respondents while going
through interview

Sambhram Academy of Management Studies Page 55

 Particulars Number of respondent Percentage
Extremely satisfied 26 26%
Satisfied 64 64%
Least satisfied 10 10%
Unsatisfied 0 0%
Total 100 100

Analysis

From the above table it is observed that out of 100 respondents 64% respondent
are satisfied with there recruitment procedure, 26% of the respondents were
extremely satisfied, 10% respondent were least satisfied with the recruitment
procedure and 0% of the respondent were unsatisfied.

Inference

From the above analysis we came to know that the majority of the employees
were satisfied with there procedure. None one has unsatisfied with there
recruitment procedure.

Graph - 11

Sambhram Academy of Management Studies Page 56

 Level of satisfactiontowardstherecruitment
process
70

60

50

40

30

20
m
N

10
d
n
pro
fs
t b
u
e

0
Extremely Satisfied Least satisfied Unsatisfied
satisfied
Level of satisfaction

Extremely satisfied Satisfied Least satisfied Unsatisfied

Table - 12

Sambhram Academy of Management Studies Page 57

 Type of interview that the candidates went through
during selection

Particulars Number of respondents Percentage

Panel interview 28 28%

Informal interview 16 16%

In – depth interview 56 56%

other 0 0%

Total 100 100%

Analysis

From the above table, we can observe that 28% of the respondents went through
panel interview, 16% went through informal interview and remaining 56% went
through in- depth interview when they are selecting the employee.

Inference

From the above analysis we can infer that Rico Auto Industries Ltd. gives more
concern about in- depth interview when they are selecting the employees.

Graph - 12

Sambhram Academy of Management Studies Page 58

 Typeofinterviewwentthroughduring
selection
60

50

40

30

20

10
d
n
p m
N
ro
fsb
u
e

28 16 56 0
t

0
Panel interview Informal In – depth other
interview interview
Types of interview

Panel interview Informal interview

In – depth interview other

Table- 13
Table showing round of interview during selection
Sambhram Academy of Management Studies Page 59
 Particulars Number of respondent Percentage
One 11 11%
Two 53 53%
More then two 36 36%
Total 100 100%

Analysis

From the above table we analyze that most of the respondents 53% attended two
rounds, 11% attended one round and 36% attended more then two round of the
interview.

Inference

From the above analysis we can infer that most of the respondents are going
through two round of interview.

Graph – 13

Sambhram Academy of Management Studies Page 60

 Numberofroundofinterview
11%

36%

53%

One Two More then two

Table -14
Table showing candidates received any financial
assistance or not for attending the interview

Sambhram Academy of Management Studies Page 61

 Particulars Number of respondent Percentage
Yes 27 27%
No 73 73%
Total 100 100

Analysis

From the above table we can analyze that 27% of the respondent are received
financial assistance and 73% of the respondent are not received the financial
assistance during the interview.

Inference

From the above analysis we can inferred that most of the respondent are not
received the financial assistance during the interview from the company.

Graph - 14

Sambhram Academy of Management Studies Page 62

 Receiving financial assistance or not
80

70 73

60

50

40

30
27
20
d
n
p m
N
ro
fs
t b
u
e

10

0
Yes No
Particulars
Yes No

Table – 15

Sambhram Academy of Management Studies Page 63

 Table showing test administered revealed candidates
strength and weakness or both
Particulars Number of respondent Percentage
Strength 11 11%
Weakness 6 6%
Both 83 83%
Total 100 100%
Inference
From the above table 83% of the respondents, the test administered revealed the
both strength and weakness, 11% suggested that only strength and remaining
6% suggested that the test revealed only weakness.

Graph - 15

Revealed of strength and

weakness or both
11%
6%

83%

Strength Weakness Both

Table-16
Table showing comfortability of the respondents during
the interview

Sambhram Academy of Management Studies Page 64

 Particulars No. of respondent percentage
yes 96 96%
No 4 4%
Total 100 100%

Analysis
It is observed from the above table that 96% of the employees were comfortable
during interview.
Inference
We can analyze that almost all the respondents have comfortable during the
interviewing.

Graph - 16

Sambhram Academy of Management Studies Page 65

 Comfortabilityduringthe interview
120

100

80

60

96
40
d
n
p m
N
ro
fsb
u
e

20
t

0 4
yes No
Particulars
yes No

Table - 17

Sambhram Academy of Management Studies Page 66

 Table Showing the Awareness of the Terms and
Conditions About the Employment Before Joining.

Particulars Number of respondents Percentage

Yes 87 87%
No 13 13%
Total 100 100%

Analysis
From the above table we can understood that 87% of the employees saying that
they explained the terms and conditions about the employment before joining.
Out of 100 respondent 13% of them saying that the organization did not explain
the terms and conditions about the employment before joining.
Inference
From the above analysis we can inferred that the majority of the employee in the
organization were aware of the terms and condition about the employment before
joining.

Graph - 17

Sambhram Academy of Management Studies Page 67

 Awarenessof termsandconditionsbefore
employment
100

90

80 87

70

60

50

40

30
m

20
tN
d
n
p
s b
u
o
fre

10
13
0
Yes No

Particulars
Yes No

Table - 18
Table showing the capabilities of the interviewer

Particulars Number of respondent Percentage

Sambhram Academy of Management Studies Page 68

 Excellent 10 10%
Very good 48 48%
Good 42 42%
Fair 00 00%
Total 100 100%

Analysis
From the above table we observed that out of 100 respondents 10% of them
mention the capabilities of the interviewer as excellent, 48% have rated very
good, 42% have rated the capabilities of the interviewer as good and none of
them rated as fair.
Inference
Majority of the employees rated the capabilities of the interviewer as very good
followed by good. We can analyze that majority of the employees are satisfied
with their capabilities of the interviewer.

Graph - 18

Sambhram Academy of Management Studies Page 69

 CapabilitiesoftheInterviewer
60

50

40

30

20
tm
d
n
p
fsN
u
b
ro
e

10
10 48 42 0
0
Excellent Very good Good Fair
Rating

Excellent Very good Good Fair

Table - 19

Sambhram Academy of Management Studies Page 70

 Table showing referring the candidates by the
employees in the organization

Particulars Number of respondents Percentage

Yes 62 62%

No 38 38%

Total 100 100%

Analysis
From the above table 62% respondents refer candidate and 32% respondents
did not refer any candidates to the organization.
Inference
From the above analysis we can inferred that majority of the respondent refer
candidates in the organization.

Graph – 19

Sambhram Academy of Management Studies Page 71

 Candidatesreferredby respondents

38%

62%

Yes No

Table – 20
Table showing encouragement from the organization for
referring candidates.

Sambhram Academy of Management Studies Page 72

Particulars Number of respondents Percentage
Yes 0 0%
No 100 100%
Total 100 100%

Inference
It can be concluded that the employees do not get any encouragement or
rewards from Rico auto Industries Ltd. for referring candidates.
GRAPH - 20

Encouragementforreferringthecandidates

120

100

80

60

40

20
d
n
p m
N
ro
fsb
u
e

0 100
0
Yes No
Particulars
Yes No

Table – 21

Table showing aspects that help the respondents to join

the organization

Sambhram Academy of Management Studies Page 73

 Particulars Number of respondents Percentage

Job security 62 62%

Corporate image 9 9%

Abroad opportunities 12 12%

Attractive salary 17 17%

Total 100 100%

Analysis
From the above table we observe that the 62% of the respondents joined the
organization for the sake of job security, 9%of the respondent join the
organization corporate image, 12% of the respondents joined organization for
abroad opportunities, 17% joined the organization for getting attractive salary.

Inference
From the above analysis majority of the respondents joined the Rico Auto
Industry Ltd. for the sake of job security followed by attractive salaries.

Graph - 21

Sambhram Academy of Management Studies Page 74

 Aspectsthat helptherespondentstojointhe
organisation
70

60 62

50

40

30
m
N

20
d
n
pro
fs
t b
u
e

17
10 12
9

0
Job security Corporate image Abroad Attractive salary
opportunities
Particulars

Job security Corporate image Abroad opportunities Attractive salary

Summary of findings, Suggestion and Conclusion

Findings

Sambhram Academy of Management Studies Page 75

 1. The study revealed that the most of the respondent between the age of

40 - 50.

2. It is evident that most of the respondents were aware of the vacancy at

Rico Auto Industries Ltd. through friend and relative. Referral also play

an important role in the appointment of the employees, other mode

deserve least attention.

3. The study reveals that the recruitment and selection programme in

Rico auto Industries is conducted as per the requirement.

4. More than half of the respondent suggested that the recruitment

procedure at Rico Auto Industries Ltd. is effective. According to

64% of the respondents, recruitment and selection procedure was

satisfactory while going through interview.

5. The study revealed that work experience, technical ability, qualification

and past performance record, these for factors are taking consideration

at the time of recruitment.

6. Most of the respondents have undergone primary interview, technical

test and HR interview.

7. It was found that the respondents were comfortable during interview.

Sambhram Academy of Management Studies Page 76

 8. It has been found that the schedule for recruitment and selection as

per the requirement.

9. It has been found that 83% of the respondents, the test administered

revealed the both strength and weakness.

10. It has been found that capabilities of the interviewer in the organization

are good.

11. The present employees of the company refer the candidates to their

organization. But they are not given any encouragement or award for

their reference.

12. The type of interview was in-depth interview for most of the respondents

during the selection.

13. Most of the respondents took decision to join the Rico Auto Industries

Ltd. for the aspects of the job security.

SUGGESTIONS

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 (1). The organization may concentrate on the consultant and agents.

Advertisement through newspaper, jobsite and campus interview etc.

(2). The organization should provide financial assistance to the candidates

for attending the interview.

(3). Technical test should be conducted with in the organization who are

going to attend the interview in the first time or it is mandatory for the

fresher.

(4). Interviewer has been assessed good. In order to qualify the

interviewers excellent, management may trained the interviewers.

(5). The organization should reward the employees who bring the best

potential candidates.

(6). The organization should encourage the associates to give suggestions

about the recruitment procedure.

Conclusion:

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 During the survey many interesting fact came into highlight. There are so

many possibilities for improvement, more expansion and scope for rise in

the business market seems inevitable for the company.

The Human Resource Department of the company is always updating the

HR information and skills. From the feedback of employees in the

company it is understood that they are satisfied with their training facilities,

job security and benefit and salary.

Thus by analysis we can conclude that the recruitment and selection

procedure at Rico Auto Industries Ltd. is effective. From the research

study it is a general impression that at Rico Auto industries Ltd. emphasis

is given on the external sources of recruitment more without upgrading

and maintaining the internal sources. The company should not only recruit

people through referrals but also through other sources of recruitment like

internet, jobsites, consultants ,campus interviews and most importantly

there should be internal mobility that will pay the organization for long-

term success..

BIBLIOGRAPHY
Sambhram Academy of Management Studies Page 79
 1. Research Methodology, C.R. Kothari, New age international publishers,
Second addition, 2004.

2. Human Resource and Personal Management, K. Aswathappa, Tata

McGraw Hill Publishing Company Limited, Tenth addition.

3. Personal and Human Resource Management, P. Subha Roi, Himalaya

Publishing House, Third Edition, 2003.

4. Human Resource Management, Shashi K. Gupta & Rosy Joshi, Kalyani

Publication, First Addition, 2008.

5. Website:

www.rico autoindustries.com

www.google.com

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 QUESTIONNAIRE
I, Vikas Thakur final year student of Bangalore, as a part of my curriculum, have
to submit a Project Report on the “Study on Effectiveness of Recruitment and
selection process” at Rico Auto Industry Ltd. I would be very grateful to if you
spare your valuable time to fill up the questionnaire and help me in carrying out
my research work . The information furnished by you will be kept confidential and
used only for academic purposes.

Name:
Sex: Male Female

(1). Age group

(a). 20 – 30 (b) 31 – 40 (c).
41 – 50 (d) More then 51

(2). Qualification:
(a). professional (b) Non-professional

(3) How did you come to know of the vacancy in Rico Auto industries Ltd.?
(a). Consultants and agent (b). Friends and relatives
(c). Online (d). Online

(4). How did you apply in Rico Auto Industries Ltd. ?

(a). Consultants (b). Referrals
(c). Online (d). Other

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(5). what is the time schedule of recruitment and selection programme at Rico
Auto Industries Ltd.?
(a). Every month (b). In six month
(c). Once in a year (d). As per requirement

(6). Rank the following recruitment sources according to your preference

(a). Advertisement (b). Online
(c). Referrals (d). Consultants

(7). Rank the following factor that should be taken into consideration at the time
of recruitment

(a). Work experience (b). Technical abilities

(c). Qualification (d). Past performance record

(8). What is your opinion about the effectiveness of recruitment procedure at Rico
Auto Industries Ltd.
(a).Highly effective (b). Moderately effective
(c) Effective (d). Ineffective
(9). Do you think that recruitment and selection procedure at Rico Auto Industry
Ltd. is effective in hiring the best professional ?
(a). Yes (b). No
(10). Which of the following did you attend during the selection process?
(a). Primary interview + technical Test + HR interview
(b). Written Test + group discussion + technical test + HR interview
(c). Technical Test + HR
(d). Technical test + direct interview + HR interview

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(11). How did you feel about the recruitment and selection procedure while going
through interview?
(a). Satisfied (b).Extremely satisfied
(c). Less satisfied (d). Unsatisfied

(12).What was the type of interview that you went through during your selection ?
(a). Panel Interview (b). In-depth interview
(c). Informal interview (d). other

(13) How many round of interview were conducted during your selection?
(a) one (b) Two
(c) More then two
(14). Did you receive any financial assistance for attending the interview ?
(a). Yes (b). No

(15). Do you think that test administered revealed your strengths and weakness
or both?
(a). Yes (b). No

(16). Did you feel comfort during your interview?

(a). Yes (b). No

(17). Did the company explain the terms and conditions about the employment
before joining?
(a). Yes (b). No

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 (c). Excellent (d). Fair
(18). How do rate the capabilities of the interviewer ?
(a). good (b). Very good

(19). Did you refer any candidates in your organization?

(a). Yes (b). No

(20). Did you get any encouragement from the organization for referring
candidate ?
(a). Yes (b). No

(21). What aspects help you to decide in joining this organization ?

(a). Job security (b). Corporate image
(c). Abroad opportunity (c). Attractive salary

(22). Your suggestion on the recruitment and selection process at Rico Auto
Industry ?

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