TISS - SVE - Post Graduate Diploma in HR & Administration PDF

Post Graduate Diploma In H R & Administration SEMESTER I Recruitment Management & Induction PARTICIPANT WORKBOOK Tata Institute of Social Sciences – School of Vocational Education  ---------------------------------------------------------------- TISS – SVE...

Post Graduate Diploma In H R & Administration SEMESTER I Recruitment Management & Induction PARTICIPANT WORKBOOK Tata Institute of Social Sciences – School of Vocational Education  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- ___________________________________________________________________________ 2 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Table of contents Sr. No Topic Page No. 1 Introduction to Recruitment Function 4 2 Brief on staffing industry 19 3 Job Description and Job Specification 26 4 Resume Writing 42 5 Introduction to Campus Recruitment 51 6 Advertised Recruitment 60 7 Walk –In Interview 65 8 Job Fair 70 9 Headhunting 75 10 Using Job Portal and Company Website 84 11 Using Social Media for Recruiting 92 12 Recruitment Software Platform 103 13 Selection Process 114 14 Interview Process 123 15 Competency based Interview Process 133 16 Psychometric Tests 146 17 Assessment Centers 155 18 Stakeholder Management 162 19 Understanding Compensation 167 20 Salary Negotiation 178 21 Reference Check 184 22 Preparing Offer letters 193 23 Induction and Joining Formalities 200 24 Statutory Compliance 207 25 Background Screening 211 26 Contract Staffing 217 27 Ethics in Recruitment 222 28 Recruitment Metrics 230 29 Impact of Technology in Recruitment 234 ___________________________________________________________________________ 3 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- INTRODUCTION TO RECRUITMENT FUNCTION Session : 1 Topic Name Ice Breaker Introduction to the topic – Ask the participants about their understanding of the topic. Show the agenda slide and talk about the topics to be covered. Introduction to Recruitment Function Question and Answer – Written Exercise and Discussion Activity ___________________________________________________________________________ 4 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Introduction to Recruitment Function Recruitment is initiated after the Manpower Planning process is completed. The manpower planning process needs to be understood along with comprehending the process of Job Evaluation. Manpower Planning Manpower planning precedes recruitment. It is defined as the process by which management determines how the organization should move from its current manpower position to its desired manpower position. It is a process that includes forecasting, developing and controlling by which a firm ensures that it has the right number of people and the right kind of people at the right places at the right time, doing work for which they are economically most useful. The output of manpower planning serves as an input to recruitment. Objectives of manpower planning 1. Optimum Productivity: Skilled and qualified workers are recruited or trained internally, to ensure optimum utilization of human resources and uninterrupted production. 2. Reduction in Labour cost: Effective use of manpower and optimum productivity will reduce the wastage. It will also reduce the labour cost. 3. Effective Recruitment and Selection: Identifying the right person to be placed at the right job and at right time is important. Future needs can be predicted by manpower planning. 4. Improve the industrial relations: Effective manpower planning may help the management in developing the good employer-employee relationship. It leads to harmonious work environment. Elements of Manpower Planning 1. Assessment of Present Manpower Position—Human Resource Audit: This involves collection of particulars such as names, age, educational qualifications, training, experience, and specialized skills of the employees presently working in the organization. It would give an idea of the human resources presently available on the basis of which it will be possible to know whether it can profitably expand its activities and which of the employees are to be trained, developed, promoted or transferred to other jobs. 2. Identifying future Plans of Organization: Assessment of the direction of the organization will call for a careful analysis of its objectives and plans for the immediate, medium term and distant future. Such analysis will be based on (a) Extent and type of anticipated growth (b) Likely changes in production methods which may affect composition of the work-force. 3. Balance demand and supply: Analysis of the future personnel demand will take into account the extent of anticipated demand; nature of production methods and the extent of decrease in work-force due to death, retirement, dismissal, resignation. Future demand is sought to be met by means of internal and external recruitment. ___________________________________________________________________________ 5 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- 4. Internal Sources of Supply of Personnel: The sources of internal supply of personnel may include: (a) Inter-departmental transfer of existing personnel (b) Existing personnel reporting back for work after the expiry of their leave period (c) Resources in probationary period or in bench 5. Sources of External Supply: The main source of external supply of personnel, are schools and colleges from which students pass out every year. Professionals working in various industries searching for better and more lucrative are also a good source of skilled manpower. The steps of manpower planning can be understood as a process flow mentioned above. Techniques for forecasting human resource requirements: Delphi Technique: This technique takes into consideration human resources requirements given by a group of experts e.g. mangers or department heads. The human resource experts collect the manpower needs, summarizes the various responses and prepare a report. This process is continued until all experts agree on estimated human resources requirement. Work-Study Technique: This technique is also known as 'work-load analysis'. Under this method, estimated total production and activities for a specific future period are predicted. This information is translated into number of man-hours required to produce per units taking into consideration the capability of the workforce. Past-experience of the management can help in translating the work-loads into number of man-hours required. Thus, demand of human resources is forecasted on the basis of estimated total production and contribution of each employee in producing each unit items. The following example gives clear idea about this technique: ___________________________________________________________________________ 6 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Estimated production of an organization is 3 Lakh units. The standard man-hours required to produce each unit are 2 hours. The past experiences show that the work ability of each employee in man-hours is 1500 hours per annum. The work-load and demand of human resources can be calculated as under: Estimated total annual production = 300000 units Standard man-hours needed to produce each unit = 2 hrs Estimated man-hours needed to meet estimated annual production = 600000 hrs Work ability/contribution per employee in terms of man-hour = 1500 units Estimated no. of workers needed (iii / iv) = 600000/1500 = 400 units The above example clearly shows that 400 workers are needed for the year. Further, absenteeism rate, rate of labour turnover, resignations, deaths, machine break-down, strikes, power-failure etc. should also be taken into consideration while estimating future demand of human resources/ manpower. Job Evaluation Job evaluation is the process of analyzing and assessing the various jobs systematically to ascertain their relative worth in an organization. The ‘Job’ is evaluated on the basis of their content and is placed in the order of their importance. It is the process of finding out the relative worth of a job as compared to other jobs. It should be noted that in a job evaluation programme, the jobs are ranked and not the jobholders. Jobholders are rated through performance appraisal. Objectives of Job Evaluation: 1) To gather data and information relating to job description, job specification and employee specifications for various jobs in an organization. 2) To compare the duties, responsibilities and demands of a job with that of other jobs. 3) To determine the hierarchy and place of various jobs in an organization. 4) To determine the ranks or grades of various jobs. 5) To ensure fair and equitable wages on the basis of relative worth or value of jobs. In other words equal wages are fixed to the jobs of equal worth or value. 6) To minimize wage discrimination based on sex, age, caste, region, religion etc. ___________________________________________________________________________ 7 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- The job-evaluation process starts by defining objectives of evaluation and ends with establishing wage and salary differentials. The main objective of job evaluation is to establish satisfactory wage and salary differentials. Job analysis should precede the actual program of evaluation. Job analysis helps establish the level of experience, qualifications, skills and knowledge needed to perform a job successfully. This job-related data is useful in drafting Job Description and Job Specification which is useful in recruitment. A job-evaluation program involves answering several questions: The major ones are: Which jobs are to be evaluated? - Exercise involves at least 30-40 jobs Who should evaluate the jobs? - Trained evaluators conduct the process What training do the evaluation need? – Trained on several job evaluation techniques How much time is involved? – Ideally 7-8 jobs to be evaluated a day What should be the criteria for evaluation? - Responsibility, skill, effort and working conditions as major criteria What methods of evaluation are to be employed? ___________________________________________________________________________ 8 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Techniques of Job Evaluation Point Method: The system starts with the selection of job factors, construction of degrees for each factor, and assignment of points to each degree. Different factors are selected for different jobs, with accompanying differences in degrees and points. Factor-Comparison Method: The factor-comparison method is yet another approach for job evaluation in the analytical group. Under this method, one begins with the selection of factors; usually five of themes assumed to be constant for all the jobs. Each factor is ranked individually with other jobs. For example, all the jobs may be compared first by the factor ‘mental requirements.’ the skills factor, physical requirements, responsibility and working conditions are ranked. The total points are then assigned to each factor. The worth of a job is then obtained by adding together all the point values. Ranking method: this is the simplest, the most inexpensive and the most expedient method of evaluation. The evaluation committee assesses the worth of each job on the basis of its title or on its contents, if the latter is available. But the job is not broken down into elements or factors. Each job is compared with others and its place is determined. Banding: A banding procedure takes place when jobs are grouped together by common characteristics. Characteristics used to group jobs follow: exempt versus non-exempt, professional versus non professional, union versus non union, key contributor versus non-key contributor, line versus staff, technical versus non-technical, value-added versus non-value- added and classified versus non-classified. Often these groups are then rank ordered and each group is then placed in a pay band. Job-grading Method: As in the ranking method, the job-grading method (or job-classification method) does not call for a detailed or quantitative analysis of job factors. It is based on the job as a whole. The difference between the two is that in the ranking method, there is no yardstick for evaluation, while in the classification method, there is such a yardstick in the form of job classes or grades. Under the classification method, the number of grades is first decided upon and the factors corresponding to these grades are then determined. ___________________________________________________________________________ 9 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Part - 1 ƒ Definition 1- According to EDWIN LIPPO, “Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organization.” ƒ Definition 2 - Recruitment refers to the process of attracting suitable candidates to apply for a vacancy arising within an organization. When an organization needs individuals with certain skill sets, it taps the market. It may require individuals to join the organization to supplement the existing skill or complement the existing skills. - Wikipedia ƒ The process to estimate the available vacancies and to make suitable arrangements for their selection and appointment. ƒ The process of searching for and obtaining applicants for the jobs, from among whom the right people can be selected. ƒ The process of identifying and attracting job seekers so as to build a pool of qualified job applicants. ƒ Creating a pool of eligible and interested candidates for selection of most suitable candidates. Recruitment represents the first contact that a company makes with potential employees. ___________________________________________________________________________ 10 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Difference between Recruitment and Selection Recruitment When Vacancies due to exit in case of existing positions ƒ Promotions ƒ Transfer ƒ Retirement ƒ Termination ƒ Permanent disability ƒ Death ƒ Turnover Vacancies due to creation of new positions ƒ Growth, expansion and diversification of business activities of an enterprise. ƒ Due to alteration in job specification. Recruitment Process The process comprises of five stages - ƒ Recruitment Planning ƒ Strategy Development ƒ Searching ƒ Screening ƒ Evaluation and control ___________________________________________________________________________ 11 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Recruitment Process Stage 1 – Recruitment Planning Number of contacts ƒ How many appropriate applications to attract. The aim should be to attract more applicants than the number to hire. ƒ Some of those contacted will be uninterested, unqualified or both. Types of contacts ƒ What type of people to attract ƒ The type of people depends on the tasks and responsibilities involved and the qualifications and experience expected. ƒ Detailed job description and job specification are useful to encourage appropriate application Recruitment Process Stage 2 – Strategizing 1. ‘ Make’ or ‘Buy’ ƒ Whether to hire less skilled employees and invest on training and education programs. ƒ Or hire skilled professionals. Organizations, which hire skilled and professionals shall have to pay more for these employees. 2. Technological Sophistication of Recruitment Devices This decision is influenced by the available technology at the time process is undertaken. Internet has made it possible for employers to scan national and international applicants. Computers have given employers and job seekers a wider scope of options in the initial screening. 3. Where to look Commonly, companies look in to the national market for managerial and professional employees, regional or local markets for technical employees and local markets for the clerical and blue-collar employees. Companies have to develop various sources of recruitment which has to be activated during the Searching process. 4. When to look Decide on the timings of events besides knowing where and how to look for job applicants. ___________________________________________________________________________ 12 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Recruitment Process Stage 3 – Searching Search involves two steps - ƒ Source Activation ƒ Selling Source Activation Sourcing is initiated after duly filled employee requisition form with approval from approving authority is submitted to the recruitment team. No actual recruiting takes place until line managers have verified that vacancy exists or is expected to exist. ƒ If the hiring team has been able to develop its sources and search methods well, source activation soon results in a flood of applications and/or resumes. ƒ Applications received through various sources now need to be screened. Those who pass have to be contacted and invited for interview. Unsuccessful applicants must be sent letter of regret. Selling Selling has two parts - 1. Designing the message – Message refers to the employment advertisement 2. Choice of media to display the message - Effectiveness of any recruiting message depends on the media. Media are several-some have low credibility, while others enjoy high credibility. Selection of medium or media needs to be done with a lot of care. Selling both the message and media deserve equal attention for best results. Caution - In the searching process one of the biggest concerns is communication. The communication should be such that it can attract as many desirable applicants as possible. On the other hand, they must resist the temptation of overselling their virtues. ___________________________________________________________________________ 13 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Recruitment Process Stage 4 –Screening Screening ƒ Some consider Screening as the first step in Selection process but commonly screening and shortlisting is considered under Recruitment. ƒ Clear job specifications are invaluable in screening process as it helps judge candidates on the basis of their knowledge, skills, attitude required to do the job. ƒ The techniques used to screen applicants vary depending on the candidate sources and recruiting methods used. 1. Interview and application blanks may be used to screen walk-ins. 2. Campus recruiters and agency representatives use interviews and resumes. 3. Reference checks are also useful in screening Purpose of screening ƒ Reject visibly unqualified candidates from the database. ƒ Save on time and money. Recruitment Process Stage 5 – Evaluation and Control Evaluation is important as the process involves cost. Costs generally incurred in recruitment process - ƒ Salaries for recruiters. ƒ Management and professional time spent on preparing job description, job specifications, advertisements, agency liaison and so forth. ƒ The cost of advertisements or other recruitment methods, that is, agency fees. ƒ Recruitment overheads and administrative expenses. ƒ Costs of overtime and outsourcing while the vacancies remain unfilled. ƒ Cost of recruiting unsuitable candidates for the selection process. The recruitment has the objective of searching for and obtaining applications for job seekers in sufficient number and quality. Keeping this objective in the mind, the evaluation might include: ƒ Number of applications received ƒ Quality and quantity of candidates for selection process ƒ Retention and performance of the candidates selected. ƒ Cost of the recruitment process ƒ Time spent by various resources ƒ Image of the organization ___________________________________________________________________________ 14 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Part - 2 Sources of recruitment ƒ Internal ƒ External Internal Sources ƒ Promotion ƒ Transfers ƒ Internal Job Posting ƒ Retirement ƒ Former Employees Advantages of Internal Sources ƒ All information on current employees is available ƒ Selection less costly ƒ Positions filled up faster Disadvantages of Internal Sources ƒ Internal sources might be inferior in some cases ƒ Occasionally it is necessary to bring new blood to broaden current ideas, knowledge and enthusiasm. ƒ In many organizations it is standard practice to open the new job to create a competitive work environment. External Sources ƒ Campus Recruitment ƒ Press Advertisement ƒ Management Consultancy services & Private employment exchanges. ƒ Deputation of personnel or transfer from one enterprise to another. ƒ Management training schemes ƒ Walk ins Advantages of External Sources ƒ Import new ideas ƒ Reduce employee training and development, particularly if they have been trained elsewhere ƒ Can bring in fresh business outlook ƒ Internal person with desired skill set not available Disadvantages of External Sources ƒ Better motivation and increased morale associated with promoting own employees are lost to the organization. ___________________________________________________________________________ 15 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- ƒ External recruitment is costly. ƒ If recruitment and selection processes are not properly carried out, chances of the right candidates being rejected and wrong applicants being selected may occur ƒ High training time Recruitment best practices – large corporates Recruit for skillsets and adaptability. ƒ Focus on candidate’s past employment history and accolades, encourages taking a deeper look to discover their unique skillsets. ƒ Candidates, who have worked with collaborative technology, are comfortable learning new things, actively engage with others on social networks and are able to adapt well to new work environments. Honour diversity in recruiting efforts ƒ For a collaborative workplace diversity is key ƒ Each generation of workers is technologically savvy in certain key areas that are important to business success. ƒ Hires from different demographics Update work environment for collaboration. ƒ Workplace can only be collaborative if right tools and atmosphere is provided. ƒ Workplace that encourages collaboration between teams and individuals will encourage recruitment efforts to be geared towards candidates who fit well within the corporate culture. Best Practices for SMEs/start-ups ƒ Review every single application received this helps prepare for future growth ƒ Bring candidates in for “a day in the life” – Candidates are expected to spend a few hours with their potential team members, watching the processes they go through, asking questions and getting direct feedback about the role. At online retailer Zappos they pay their new hires to quit after their first week. ƒ Hire for talent over experience. ƒ Write job postings that stand out from the rest. ƒ Have candidates complete a role play or sample project. ƒ Seek referrals from both inside and outside the company – Limiting to internal referrals you could miss out on some good talent who could have been referred by someone who has a good feel of your work environment. ƒ Select 20 or 25 best fits out of the resumes received, invite them to the office after office hours and mingle with them in an informal environment. This ___________________________________________________________________________ 16 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- approach helps to meet up to 25 candidates in a few hours; it also gives the candidates a first-hand look at the organization’s culture and a chance to hear about it directly from the employees. ƒ Invest a lot of time in each hire - A distinguishing characteristic of hiring at start-ups is the amount of time invested in filling each role. When you have a smaller team and more limited resources, it’s crucial to get your hires right the first time. ƒ Giving your hiring process a personal touch- Send candidates a personalized response thanking them for their application or interview shows that your company is invested in the hiring process and that the candidate’s participation matters. This can be crucial when candidates are applying for many different jobs at once. Guidelines for good recruitment and selection process Develop selection criteria ƒ Ensure job specification is up-to-date and consistent with requirements of the job. ƒ Formulate selection criteria which are consistent with the job specifications ƒ Distinguish between essential criteria those that are “must have” and those that are desirable. ƒ Assess whether formal qualifications (academic, trade, etc.) are essential for the performance of the job. ƒ Ensure lengths of experience, age required, etc. are essential and justifiable, for performance of the job and not set arbitrarily or based on stereotypes. ƒ Be specific – for instance, does ‘communications skills’ refer to talking on the phone to customers, writing reports for management, instructing technical operators, inter-cultural skills or teamwork. ƒ Determine how criteria will be assessed: interview, referees’ report, work record, testing, etc. Advertising ƒ Determine strategies for reaching the widest pool of applicants possible ƒ Ensure the information in the ad matches the selection criteria. ƒ Include the name of a contact person in the advertisement and ensure they have information (presented in a clear and consistent way) prepared about the position. Short listing ƒ Shortlist candidates on essential qualifications first, then on desirable qualifications, prioritizing criteria and determining method first. ƒ Seek more information if necessary. The aim is to find the best person for the job. ƒ Be consistent. Document decisions made and the reasons for them. ___________________________________________________________________________ 17 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Application forms ƒ Ensure language and experience is relevant to the performance of the job. ƒ Do not include any invasive or irrelevant questions. ƒ Ensure strict confidentiality. Testing ƒ Tests match the essential requirements of the job. ƒ Check that tests are up-to-date and relevant. ƒ Check for any bias or indirect discrimination. Interviewing ƒ Prepare questions in advance. ƒ Ensure consistency and fairness in questioning. ƒ Focus on the real needs of the job. Avoid making assumptions or stereotype individuals. ƒ The selection committee is entitled to ask applicants whether they can fulfill the requirements of the job (e.g., travel, work overtime, perform the physical functions) but such questions must be asked of all applicants. ƒ It is appropriate to ask people with disabilities whether they require any adjustments to perform the job. ƒ Allow the interviewee time to make their point. Medical examinations ƒ It is appropriate to have employees medically examined if potential health risks could be high for employees with particular health problems (e.g., jobs which involve heavy lifting for people with spinal injury or disease). ƒ The Medical Examiner should have the job specifications so any recommendation made relates specifically to the job. ƒ Ensure only information relevant to the position is sought and avoid invasions of privacy irrelevant to the job requirements. ƒ Ensure strict confidentiality. ƒ Applicants to be advised of results. ___________________________________________________________________________ 18 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- BRIEF ON STAFFING INDUSTRY Session: 2 Topic Name Recap of previous module Introduction to the topic – Ask the participants about their understanding of the topic. Show the agenda slide and talk about the topics to be covered. Brief on staffing industry - Part 1 Question and Answer – Written Exercise and Discussion Activity ___________________________________________________________________________ 19 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Brief on staffing industry Part - 1 What kinds of services do staffing companies provide? Staffing companies offer a wide range of services, including temporary and contract staffing, recruiting, placement outsourcing, training and human resources consulting. Facts ƒ Staffing companies match millions of people to millions of jobs. ƒ The Staffing market is valued at €291 billion ($406 billion) ƒ Eight countries account for just over three-fourth of global staffing industry revenue ƒ In USA over 2 million people are employed by staffing companies every business day and 8.6 million temporary and contract employees are hired by U.S. staffing firms over the course of a year. ƒ 79% of staffing employees work full time, virtually the same as the rest of the work force. ƒ This industry is highly fragmented with approx. 68,000 employment agencies and 720,000 staff. ƒ The industry has low entry barriers as huge investments and complex legal compliances are not required to set up a staffing agency. Staffing business Processes ƒ Web Sourcing ƒ Candidate portal ƒ Marketing ƒ Back office ƒ Background checking ƒ Payroll processing ƒ Job Distribution ƒ Client portal ƒ Front office ƒ Accounting ƒ Tax updates ƒ Job Marketing ƒ VMS/Supplier portal ƒ Time ƒ Reporting engine ƒ Skill testing ƒ Banking ___________________________________________________________________________ 20 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- ƒ Social and Professional networks ƒ Search & Match How changes in Economy, Society, & Technology affects the Staffing Industry ƒ Combination of economic, technology, demographic changes mean that businesses need better solutions to support: Talent Matching and Discovery Talent Agility and Mobility Talent Planning and Modeling Talent Ecosystem Management ƒ Business and talent management process and data are merging ƒ Personal empowerment means that core consumer of talent solutions include candidates, employees, managers, executives and HR. There is a deep hunger for talent ƒ Businesses globally are saying they need more workers in the top categories ƒ How do businesses shift the power to have more options/more supply of talent to stay within our budgets yet meet productivity/production needs? Increasing need for high –end contractors Freelancers, independent professionals, temporary workers, independent contractors and consultants (all skill levels) A growing force ƒ 2011: 27.5 Million (US Part-time Workers, 10/7/11 BLS release) ƒ 1 out of 10 workers in the US labels themselves as independent* ƒ $1 of every $8 earned is earned by an independent* What does it mean for business? ƒ 47% of surveyed companies are likely to incorporate contingent workers into their workforce planning strategies over the next two years** * US Bureau of Labor Statistics Data, 2011 ** Staffing Industry Analysts, 2011 Contingent Buyers Survey 10 years back – a company was a distinct entity separate from others Companies are changing. In the past companies were distinct individual entities now they are turning into amorphous interdependent entities. They are now working with their suppliers and third parties and even customers to create just in time products that delight their customers – made at the right time with the right processes and in the right cost. In the past, Companies had all workers - within In the past all employees used to be permanent employees. Now significant are on contract and temporary. In future this is expected to increase further. ___________________________________________________________________________ 21 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Many countries like Japan and Russia are expecting negative population growth. USA and Western Europe are experiencing very low population growth. India and many African countries are experiencing high population growth. This means in Europe and North America there is going to be a deficit of working age population whereas in India and Africa there is going to be surplus. If we are able to train our masses properly, India will be able to ride the wave of job seeking workers. Changing Global Demographics – Could be a Boon for India if handled well Summary ƒ Slow growth, negative growth in developed world ƒ Faster growth in developing world – India ƒ In US, UK growth fueled through immigration ƒ Less developed = more growth Implications Leadership need is a global phenomenon Developing world all competing for same pool As developing world matures, pressures from there ƒ Reverse immigration to Poland, India, Mexico ƒ Deep, narrow talent pools vs. wide and shallow Mobile Internet Usage & Social networking Millennial and Gen X live on mobile devices (They even sleep with them…) Companies that support work models that support their teams will attract better talent, tap into extra hours of productivity and increase engagement. For most companies that know how to manage performance, social networking is the obvious pre-cursor to social sourcing and a foundation for tapping external talent. Brave new world of work Because of the trends explained above which include permanent jobs becoming contractual; decline of western working age population; mobile internet access promoting work any place – we at the cusp of unprecedented changes at work as explained in the picture. Global Staffing Landscape-Summary Globalization ƒ For workers: Demand for their skills may not limited by geography ƒ For companies: Availability of virtual workers extends across regions ___________________________________________________________________________ 22 | Recruitment Management | PW  ---------------------------------------------------------------- TISS – SVE ---------------------------------------------------------------- Economic forces and trends ƒ Specialized skills becoming more difficult to find ƒ Companies require more business agility in uncertain economic conditions Changing demographics ƒ Highly experienced and skilled older workers (retired but free-lancing) ƒ Younger skilled millennials more likely to embrace independent work style. Technology and Innovation ƒ Companies need to open all options (both FTE and Free Agent) for securing new talent and new skills and driving innovation. ƒ Technology increases access to talent, but also competition for talent Part - 2 India industry background ƒ Staffing industry is almost like a barometer of the way the economy functions. When the economy is doing well, companies are willing to invest in capital and people; they want to hire ƒ The Staffing market, globally and in India, is dominated by Recruitment that comprises around 75 percent of the market. ƒ In India there are 13 lakhs temp workers presently in the organized sector and estimates by the Indian Staffing Federation (ISF) project that the demand will swell to 90 lakhs, across the next 10 years. ƒ Industry, growth is directly linked to GDP and will grow at an additional 3% to 4% to GDP growth. ƒ Currently there are 28,000 players in recruitment and 100 payroll firms. There is potential for several billion dollar firms to grow in sectors like skilling, training and recruiting. India Macro trends India workforce statistics ƒ India has 461 Million workforce - out of which ƒ Only 16% have a Regular non-casual non self-employed jobs ƒ