A

PROJECT REPORT

ON

“RECRUITMENT & SELECTION PROCESSIN IN AN HCL

ORGANIZATION”

SUBMITTED IN PARTIAL FULFILLMENT OF THE AWARD

OF BACHELOR OF BUSINESS ADMINSTRATION DEGREE

FROM

CH.CHARAN SINGH UNIVERSITY, MEERUT

(SESSION: 2021-22)

SUBMITTED TO SUBMITTED BY:

Miss. Priya Gupta Deepak Kumar

200918105011

DEPARTMENT OF MANAGEMENT

INSTITUTE OF INFORMATICS & MANAGEMENT SCIENCES, MEERUT

Anuyogi Puram, Near Medical College, Garh Road, Meerut- 250004 Tel:2760396,

E-mail: [email protected]

ASSIGNMENT
 BONAFIDE CERTIFICATE

This is to certify that this project report is the bonafide work of Deepak
Kumar who carried out the project entitled “RECRUITMENT &
SELECTION PROCESSIN IN AN HCL ORGANIZATION”

Prof. Sayma Parveen

 DECLARATON

Deepak Kumar here by declare that the research work presented in

this project report entitled “RECRUITMENT & SELECTION PROCESSIN
IN AN HCL ORGANIZATION” for the fulfillment of the Award of the
Master of Business Administration from IIMT University, Meerut (127)

The Project embodies the result of original work and studies carried
out by me and the contents of the project do not form the basis for the
award of any other degree to me or to anybody else.

Date:
(Deepak Kumar)

3
 ACKNOWLEDGEMENT

I am highly thankful to Prof. Sayma Parveen, who gave me the golden

opportunity to do this wonderful project and the valuable time that she
gave during my Report.

I shall be failing in my duty if I do not acknowledge my thanks to Staff

members of my institute, without their guidance and cooperation this
project would haven’t been successfully accomplished.

I also express my gratitude to all those people who has provided me all
the necessary information providing me throughout this infrastructure
to carry out the project and people who were directly and indirectly
instrument in enabling me to stay committed for the project

DEEPAK KUMAR

4
 CONTENTS

 INTRODUCTION

 HRM ITS FUNCTION AND OBJECTIVE

 PROFILE OF HISTORICAL DEVELOPMENT AND STATUS QUO OF HCL

 CONCEPTUAL FRAME WORK OF RECRUITMENT PROCESS

 RECRUITMENT PROCEDURE IN HCL

 CONCLUSION

 BIBLIOGRAPHY

5
 PREFACE

The success of any business entity solely depends on how effectively

does it utilizes its optimum resources and how soon does it make
arrangements for the removal of the customer’s grievances. Moreover, the
company should always be ready to make necessary changes according
to the requirement in order to attract more customers so as to maintain a
substantial growth in the market. The topic given to me was:

“RECRUITMENT & SELECTION PROCESS”

I have tried to put my best efforts to complete this task on the basis of skill
that I have achieved during my studies in the institute.
I have tried to put my maximum effort to get the accurate statistical data. If
there is any error or any mistake in collecting the data, please ignore it.

6
 INTRODUCTION

HCL Infosystems

HCL Infosystems(“HCL”) is one of India’s leading global IT Services Company,

providing software- led IT solutions, BPO and Remote Infrastructure
Management services. Making a foray into the services domain in 1997-98, HCL
Infosystems focuses on technology and R&D outsourcing, working with clients in
areas at the core of their business. Partnerships and risk-sharing have been
integral to company’s growth. Relationships have been cemented with partners in
diverse areas such as investment banking and telecom.

Keeping pace with the industry trend, HCL has applied itself to gaining
momentum in emerging business segments such as Infrastructure Management
Services & BPO, optimizing its business portfolio. About 25% of revenues now
coming from these high growth segments of tomorrow. Product Engineering and
Technology services along with Applications & Enterprise Consulting services
contribute equally to the revenues.

HCL also has a rapidly diversifying geographic mix with Europe and Rest of the
World yielding 25% and 15% revenue, respectively. North America revenues
continue to dominate with a share of about 60%.

The company leverages an extensive offshore infrastructure and its global

network in 15 countries to deliver solutions across select verticals including
Banking, Insurance, Retail & Consumer, Aerospace, Automotive,
Semiconductors, Telecom and Life Sciences. For the twelve month period ended
30th June 2005, HCL Infosystemsalong with its subsidiaries had revenues of $

7
764 million and employed 24,000 professionals. For more information, please
visit www.hcltech.com

WHY HUMAN RESOURCE MANAGEMENT IS IMPORTANT

An organization is nothing without human resources. What is IBM without its

employees? Same is in a hotel industry. It is totally based on managing people or
manpower in an efficient way.

When we think about the million of organization that provide us with goods and
services, any one of more of which will employ us during our lifetime, often do
we explicitly consider that these organization depend on people to make them
operate? It is only under unusual circumstances, such as when clerks go on strike
at our local supermarket, or the teachers walkout from our schools, colleges or
employees working in an hotel industry, that we recognize the important role
play in making organization work.

There are some question which are listed down in order to know how important
HRM is are :

 How did these people come to be employees in an organization?

 How were they found and selected?

 Why do they come to work on a regular basis?

 How do they know what to do on their jobs?

 How does management know if the employees are performing adequately? If

they are not, what can be done about it?

 Will today’s employees be prepared for the work the organization will require
of them in ten, twenty - thirty years?

8
Management : It is the process of efficiently getting activities completed with
and through other people. The management process includes the planning,
organizing, leading, and controlling activities that take place to accomplish
objectives.

With reference to our definition, Goals are the “activities completed”. Limited
resources are implied in “efficiently”. People are those in “through other people”.

 First goals are necessary because activities must be directed toward some
end. There is a considerable truth in the observation that “if you don’t know
where you are going, any road will take you there”. The established goals may
not so explicit, but where there are no goals, there may be a need for a new
managers or no need for managers at all.

 Second, there are limited sources. Economic resources are scarce therefore,
the manager is responsible for their allocation. This requires not only that
managers be effective in achieving goals that are established but they be
efficient in relating output to input. They must seek a given output with a
lower input that is now being used or, for a given input, strive for a greater
output. It again depends how much the manager knows about his capacity
and how he designs his planning structure and how efficiently he gives a
better picture and utilizes it accordingly.

Managers , then are concerned with the attainment of goals, which makes them
effective, and with the best allocation of scarce resources, which makes them
efficient.

 The need for two or more people is third and last requisite for management. It
is with and through people that managers perform their work.

Managers are those who work with and through other people, allocating scarce
resources, to achieve goals.

9
 HRM AND ITS FUNCTIONS

Human resource management is concerned with the “people” dimensions in

management. Since every organization is made up of people, acquiring their
services developing their skills, motivating them to high levels of performance,
and ensuring that they continue to maintain their commitment to the organization
are essential to achieving organizational goals.

To look HRM more specifically we suggest that it is a process consisting of four

function :-

Accusation, Development, Motivation and Maintenance - of Human Resource.

 ACQUISITION FUNCTION

The acquisition function being with planning. Relative to human resource

requirements, we new to know where we are giving and how we are giving to get
these. This includes the estimating demands and supplies of labour. Acquisition
also includes the recruitment, selection and socialization of employees.

 DEVELOPMENT FUNCTION

It can be seen along three dimensions. The first is employee training which
emphasizes skill development and the changing of attitudes among workers. The
second is management development, which concerns itself primarily with
knowledge acquisition and the enhancement of an executives conceptual abilities.
The third is career development, which is the continual effort to match long-
term individual and organizational needs. It also has a major function, it prepares
the employees to adopt change at any point of time. Since the scenario of the
market changes day by day it is very important for an organization to keep his
employees ready to face the change, and accordingly change in order to adapt the
change in order to sustain in this competitive market scenario.

10
 MANAGEMENT FUNCTION

The final function is maintenance. In contrast to the motivation function, which

attempts to stimulate performance, the maintenance function is concerned with
providing those working conditions that employees believe are necessary in order
to maintain their commitment to the organization.

 MOTIVATION FUNCTION

The motivation function begins with the recognition that individuals are unique
and that motivation techniques must reflect the needs of each individual. Within
the motivation function alienation, job satisfaction, performance appraisal
behavioral and structural techniques for stimulating worker performance, the
importance of linking regards to performance, compensation and benefits
administration and how to handle problem employees are renewed.

In recent years, more emphasis was given on manpower because of the change in
the society, attitude of an individual etc. etc. In a study ASID i.e. the
AMERICAN SOCIETY FOR TRAINING AND DEVELOPMENT recognized
nine are of HRM.

 Training and Development

 Organization and Development

 Organization/Job Design

 Human Resource Planning

 Selection and Staffing

 Personnel Research and Information Systems

 Compensation/Benefits

11
 Employee Assistance

 Union/Labour Relations

The outputs of this model are :

 Quality of Work Life

 Productivity

 Readiness to Change

12
 HRM MODEL

Training and
Development
- Focus is on
identifying and
assessing

Union/labour Organization
Relation Development
Focus : Assessing  Focus : assessing
healthy healthy inter
union/organization relationship as bell
relationship. as intra
 
Employee - Quality of work Organization/Job
Assistance Focus : life Design.
Providing personal
problem solving,  - Productivity  Focus : defining
- Readiness to how tasks, authority
canceling to and system will be
individual change
organized
employees
 
Compensation and Human Resource
Benefit Planning :
Focus : Assessing Determining the
compensation and origins major HRM
benefits  needs strategies and
policies

Personnel Selection and Staffing
research and :
information Focus : Matching
systems people and their career
Focus : assuring a needs and capabilities
personnel with join and career
information base path

From the above introduction about Human Resource management, it has been
pretty clear that how important is human resource and its allocation. Again it

13
depends on human resource planning. So the next question which arises is what is
Human Resource Planning?

HUMAN RESOURCE PLANNING

It is one of the most important and essential programme of Human Resource

Management.

Human Resource Planning is the process by which an organization ensures that it

has right number of people, right kind of people, at the right places, at the right
time, capable of the right places, at the right time, capable of effectively and
efficiently completing those tasks which will help the organization to achieve its
overall objectives as well as goals. Human Resource Planning then, translation
the organization’s objectives and plans into the number of workers needed to
meet those objectives. Without clear-cut planning, estimation of organization's
human resource need is reduced to more guesswork.

Of all the “MS” in management (the management of materials, machines,

methods, money, motive power), the most important is “M” for men or
manpower. Manpower is a primary resource without which other resources like
money, machines materials can not be put to use. Even in the age of computer and
Robert it requires human resources to execute it and plan further improvement. It
is the most valuable asset of an organisation.

If people of poor caliber are hired, nothing much can be accomplished and
Grasism’s law will work the bad people will drive out the good car cause them to
deteriorate.

Organisation of men for managing a purpose is age-old, even though, this science
of management is yet in a developing stage especially in developing countries.

14
Effective utilisation of manpower resources is the key note of manpower
management. Ever since the factory system, production managers have devoted a
great deal of time and effort to the physical organisations of the industry. During
the nineteenth Century the average employer in their efforts to reduce costs
centralised their attention upon management of men and machines. Man
management is basically concerned with having right type of people available as
and when required and improving the performance of the existing people to make
them more productive on their job.

Recruitment forms the first stage in the process which continues with selection
and ceases with the placement of the candidates. It is the next step in the
procurement function, the first being the manpower planning. Recruitment makes
it possible to acquire the number and types of people necessary to ensure the
continued operation of the organisation. Recruiting is the discovering of potential
applicants for actual or anticipated organisational vacancies. In other words, it is a
linking activity bringing together those with jobs and those seeking jobs.

It’s purpose is to pave the way for the selection procedures by producing, ideally
the smallest number of candidates who appear to be capable either of performing
the required tasks of the job from the outset, or of developing the ability to do so
within a period of time acceptable to the employing organisation. The smallest
number of potentially suitable candidates can in theory, of course, be any number.
The main point that needs to be made about the recruitment task is that the
employing organisation should not waste time and money examining the
credentials of people whose qualification do not match the requirements of the
job. A primary task of the recruitment phase is to help would be applicants to
decide whether they are likely to be suitable to fill the job vacancy. This is clearly
in the interest of both the employing organisation and the applicants.

15
SCOPE OF THE STUDY :

At this point we are nor concerned with desirability of recruitment process since it
can not be avoided. Instead our concern is focussed of those questions like
recruitment for what purpose. On what basis should it be written down and saved
or not? If saved for ever or for a year or two? These are issue to be argued and
these are the elements that make manpower planning ground or bad, effective or
ineffective.

SIGNIFICANCE OF STUDY :

Without focussing the pattern of management, organisation philosophy highlights

on achieving a surely where all citizens (employees) can lead a richer and fuller
life. Every organisation, therefore, strikes for greater productivity, elimination of
wastes, lower costs and higher wages, so the industry needs a stable and energetic
labours force that can boast of production by increased productivity. To achieve
these objectives a good recruitment process is essential. By which industry strikes
right number of persons and right kind of persons at the right time and at right
places through and the planning period without hampering productivity.

PURPOSE OF THE STUDY :

The objective of the study is to analyse the actual recruitment process in HCL ,
and to evaluate how far this process confirm to the purposes underlying the
operational aspects of the industry. How far the process is accepted by it ? And
what are the options of the family members of the organisation? The study on
recruitment highlights the need of recruitment in HCL InfosystemsLimited.

16
METHODOLOGY :

The study is carried on in a proper planned and systematic manner. This

methodology includes
(i) Familiarization with the organisation.
(ii) Observation and collection of data.
(iii) Analysis of data.
(iv) Conclusion and suggestion based on analysis.

HYPOTHESIS

The organisation follows a systematic recruitment process, which contributes

towards continuous flow of production without shortage or excess of labours.

SAMPLING

The study covers 10 executive, 20 employees from different departments/

sections of HCL as sample in order to elicit relevant facts. Since it is not possible
to approach each and every manpower of the organization.

UNIT OF STUDY:

An executive and a worker irrespective of their position and placements in any of

the departments of the organization is considered as unit of study.

17
SOURCES OF DATA COLLECTION:

The primary as well as the secondary sources was used for collection of data. In
primary source of data collection the interview schedule and questionnaire and
opinion survey were used and in secondary source of data collection relevant
records, books, diary and magazines were used. Thus the source of data collection
were as follows:

SOURCE OF DATA COLLECTION

PRIMARY SECONDARY
1. Interview schedule 1. Diary
2. Questionnaire 2. Books
3. Opinion Survey 3. Other records
4. Magazines

The investigator used structural interview schedule, questionnaire and opinion

survey for collection of data from primary source. Interview schedules were used
for workers clerical, category and questionnaires were used for supervisory and
executive cadre and opinion survey was used to know the technology,
perceptions, thoughts and reactions of the executives, employees/workers and
trade union members of the organisation.

The investigator used the secondary source like diary, books, magazines and other
relevant records for collection of data to know about the industry as well as the
respondents.

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TABULATION, ANALYSIS AND INTERPRETATION:

After completion of data collection the editing of the responses go obtained was
done. This edited data further codified and code book was prepared. On the basis
of these tables the data were interpreted and analysed and conclusion was drawn.

LIMITATIONS:

Every scientific study has certain limitations and the present study is no more
exception. These are: -

1. Interviewing of the executive of top echelon position who are making

recruitment is busy in the Organisation State of affair. So it is not possible to
contact all of those every busy executives.

2. The terminology used in the subject is highly technical in nature and creates a
lot of ambiguity.

3. Confidentiality of the management is the strongest hindrance to the collection

of data and scientific analysis of the study.

4. All the secondary data are required were not available.

5. Respondents were found hesitant in revealing opinion about supervisors and

management.

In spite of all these limitations, the investigator has made an humble attempt to
present an analytical picture of the study with some suggestion for the long run
implementation.

19
 ABOUT HCL

In the early 70s, a group of young, enthusiastic and ambitious technocrats

embarked upon a venture that would make their vision of IT revolution in India a
reality. Shiv Nadar and five of his colleagues got together and in 1975, set up a
new company called Micro comp. To start with they decided to capitalize on their
marketing skills. Micro comp marketed calculators and within a few months of
starting operations, company was outselling its major competitors. In 1976, Micro
comp approached UPSEC (Uttar Pradesh State Electronics Corporation) for help
to set up a computer company. Impressed by their technical and marketing
competence, UPSEC agreed to set up a joint venture.
On the 11th of August 1976 Hindustan computers Limited was incorporated as a
join venture between the entrepreneurs and UPSEC and with an initial equity of
Rs. 1.83 lakhs.

HCL Infosystems Limited (HCL) has now become India’s one of the big
technology integration company. Over the years, HCL Infosystems has positioned
its business operations to fulfill its vision statement: ‘Together we create
enterprises of tomorrow’. The overarching theme for the company’s swift
progression into the software and services arena, in India and globally, is
evolving. Signifying a state of constant growth, the evolve theme is visible in the
many ways that HCL Infosystems has undergone a metamorphosis into becoming
a complete IT solutions company.

The menu of HCL Infosystemsglobal services broadly covers IT consulting and

professional services in the area of vertical applications, technology integration,
ERP implementation and software development. This also includes a complete
portfolio of systems and network services for development. This also includes a
complete portfolio of systems and network services for Facilities Management,

20
Helpdesks, Systems Supports and network and Internet Implementation. HCL
Infosystems’ global customers include Samsung, Government of Singapore, and
AMAL insurance Jurong Port in Singapore and

Malaysian’s BSN commercial bank, SIA, DBS bank, Maybank life assurance
charted semiconductors, Asia Matsushita and Shell Malaysia. Some of its global
customer in the government sector is Inland Revenue authority of Singapore, civil
aviation authority of Singapore, Singapore power, ministry of education, health
and national development, telecom authority of Singapore and penang state govt.

HCL Infosystems’ chosen platform of total technology integration lends itself to

some very significant alliances with the global leaders. Among its partner are HP
for high end AISCE/UNIX services and workstation and HP Open view network
management solution; Intel for PC and PC server building blocks; Microsoft
,novell and SCO AG solutions; Red hat ;Linux; Samsung; Pivota for CRM
solution and ORACLE Sybase and Informix for RDBMS platform.

21
INDIAN HARDWARE INDUSTRY AND HCL INFOSYSTEMS LTD.

The Indian IT and Electronics market in 2004-05 was worth US$ 32.9 billion of
which US$ 19.7 billion consisted of software. Electronics and IT hardware
production stood at US$ 13.2 billion. Some 4,100 units are engaged in electronics
production manufacturing goods as diverse as TV tubes, test and measuring
instruments, medical electronics equipment, analytical and special application
instruments, process control equipment, power electronics equipment, office
equipment, components etc. Market researcher IDC estimates that the market-
value estimate over next 3 years for hardware products is Rs.79,000 crores

The Indian electronics and hardware industry has been lagging behind the
impressive performance of the software sector. Most of the hardware
requirements of the burgeoning software and telecom sectors are met by imports
which are about 25%.

The Ministry of Information Technology, Govt. of India has estimated that the
total requirement of hardware and components by 2008 would be in range of US$
160 billion and the investment required in the manufacturing facilities would be
US$ 16 billion. NASSCOM, the leading IT industry body estimates that to
achieve a software export target of US$ 87 billion in 2008, the hardware
requirement would be US$ 50 billion. By far the most comprehensive study was
carried out by Ernst & Young in association with MAIT, the hardware industry
body in 2002. It estimates that given the right incentives, India's electronic
hardware industry has the potential to reach US$ 62 billion by 2010, twelve times
its existing size with the domestic market accounting for US$ 37 billion and
exports of US$ 25 billion. The major export opportunities would be in the area of
innovative new products, contract manufacturing and design services. This shows
that there are large opportunities for Indian companies to increase their strength
and grave these opportunities for future growth. HCL InfosystemsLtd is one of
those companies which are working to increase their network and making
innovative new products.

22

i. e x e
HCL InfosystemsLtd. is currently engaged in selling manufactured hardware (like
PCs, servers, monitors and peripherals) and traded hardware (like notebooks,
peripherals) to institutional clients as well as retail channel partners. Besides, it
offers hardware support services to existing clients through annual maintenance
contracts, net work consulting and facilities management.

In 2002-03, HCL’s total hardware turnover was Rs. 10.97 billion, higher by
around 24% over the corresponding figure for 2001-02. Of this, manufactured
hardware constituted 60%, traded hardware 32% and hardware support services
9%. The company’s reported operating margins in 2002-03 (including six months
of OA, telecommunication and software businesses) increased to 6.7% from 5.9%
in 2001-02, primarily because of better margins in hardware. While average
material costs declined in 2002-03, the company was able to retain a part of the
margins in its product realizations. Better margins in hardware resulted in the
return on capital employed (ROCE) from hardware increasing from 11.9% in
2001-02 to 25.6% in 2002-03.
In the domestic home PC organized sector, HCL Infosystemsis the market leader.
Other players include Zenith Computers, IBM, Sun Microsystems, Wipro,
Hewlett Packard. Assembled personal computers have a large presence in the
domestic home PC market, accounting for a chunk of the total sales.

The overall market for desktop personal computers registered a 28.2 percent
growth during calendar year 2004 as compared to the previous year. What is
significant is that branded PCs continue to make impressive gains against the gray
market. According to IDC, the share of branded PCs grew from 36.2 percent in
2003 to 49.2 percent in 2004, registering an impressive growth rate of 74.3
percent. Interestingly, the gray market remained flat, registering a growth of 2.2
percent, while the total desktop PC market registered a growth of 28.2 percent.
According to IDC, the recent re-surfacing of finance-based purchase options had
an accelerating effect on the consumer desktop market, which is already
witnessing a consistent drop in end-user prices for both the branded and

23
unbranded PC segments. Among the vendors, HCL Infosystemsemerged as the
market leader with a share of 13.7 percent. The company registered a 91.4
percent growth during 2004 as compared to the previous year. HP followed HCL
with a market share of 11.9 percent. HP too grew at a blistering pace registering a
growth rate of 73.03 percent. IBM is in the third place with a market share of 6.2
percent.
IDC is not the only research firm confirming the signs of robust growth. Gartner,
in a recent report, states that the Indian desktop market grew by 31.5 percent in
2004. Says Vinod Nair, Analyst, Computing Systems, Gartner India, “Peaking
business confidence based on strong economic growth catalyzed PC purchases in
both consumer and corporate segments throughout 2004.”
While every research firm has given different figures, one thing is common—the
PC market is booming at double-digit growth rates. MAIT (Manufacturers
Association of Information Technology) estimates that the desktop PC market
grossed 17.1 lakhs units in the first half of fiscal 2004-05, registering a growth of
37 percent over the same period
of the previous fiscal. With the Indian economy booming, MAIT estimates that
PC sales will touch the 40 lakhs mark in fiscal 2004-05.

The buoyancy in PC sales can be attributed to increased consumption by

traditional industry verticals such as telecom, banking, financial services and
insurance, BPO, manufacturing and government. Consumption also increased in
non-traditional sectors such as education, retail outlets and self-employed
professionals.

In future, HCL’s hardware sales to the institutional segment are likely to remain
stable, with sustained hardware spending by all the verticals, especially the
banking and financial services sector. Besides, in retail hardware sales, a
continued reduction of price points, facilitated in part by the recent reduction in
excise duties on PCs, is likely to reduce the price advantage of the small

24
 assemblers, and augur well for branded PC manufacturers like HCL. In the
medium term, HCL’s margins, despite its sales tax advantages, may be affected
by the likely removal of duty protection on manufactured PCs from the year
2005.

Current Market Share of various IT players in over all Desktop Market in

2004

Vendors Units Market Units Percentage of Units Year-on-Year Growth

(2003) share(percent) (2004) Shipped (percent)
232,16
HCL 9.2 4,43,535 13.7 91.04
9
221,96
HP 8.8 3,84,058 11.9 73.03
4
132,58
IBM 5.3 1,98,973 6.2 50.8
2
Source : IDC India

Total desktop market

Units Percentage of Units Units Percentage of Year-on-Year
(2003) Shipped (2004) Units Shipped Growth(percent)
Branded 911,403 36.2 1,589,016 49.2 74.3
Grey 1,608,752 63.8 1,643,694 50.8 2.2
Total 2,520,155 100 3,232,710 100 28.2
Source : IDC India

25
 MARKET SHARE OF BRANDED PC DURING CALENDER YEAR
OF 2004

ZENITH HCL
13
WIPRO % HCL
HP
8 34
IBM
% %
WIPRO
ZENITH
IBM
15
%
HP
30
%

From the above figure we can clearly see that HCL emerged as the clear winner
among the branded PC companies with 34% or 13.7% of market share followed
by 30% or 11.9 % of market share by HP. IBM was third in the race with only
15% or 6.2% of market share of branded PC computers. Along with becoming
the market leader in branded PC HCL Infosystemsalso became 1.3 Billion
Dollar company in April 2006.

26
 SUCCESS STORY

Vision, bravado and grit have seen HCL evolve from a dream of eight youngsters
in 1977 to the country's top IT group today, with revenues closing in on Rs 5,000
crore

1975: Six young men get together over a cup of coffee and snacks. The
conversation veers from cars and travel to jobs, career and the future. Since they
all work together, its only natural that they talk shop. They also explore the
possibility of starting a company of their own-one rooted in values, directed at
creating a market for its products in a segment hitherto unexplored, hardware.
Microcomp is born. The initial investment-all their savings, making up seed
capital of Rs 1.87 lakh.

"Six of us, all with DCM, wanted to start a computer company. But we didn't
have enough funds. We decided, therefore, to settle for a close second-we set up a
calculator company, Microcomp. We were, of course, working our way upward,
towards creating a computer company, till someone informed us that we would
need a license for the same. The Uttar Pradesh government was offering an open
license of this nature around that time. We acquired it and created Hindustan
Computers Ltd (HCL). The name itself had a reason behind it-it denoted
largeness, it was Indian, it was patriotic, it was perfect… Two more of our friends
joined us later to set up Hindustan Computers in August 1976-that took the
number of people who started HCL up to eight," remembers Ajai Chowdhry, one
of that original group of eight and now President and Managing Director of HCL
Infosystems.

"We dreamt of working in an industry that would revolutionize businesses, an

industry that gave everyone an equal chance to succeed… We also knew we
wanted to dominate it. Through these years, we have retained our number one
position and sustained our growth. The one business strategy that has dominated
and been at the core of our business is constant adaptation and renovation. We

27
have also developed new paradigms for new opportunities," adds Shiv Nadar,
Chairman of HCL Infosystems.

A teething problem faced by the company-getting imports through. The

regulations and laws of the time did not allow the import of technology.
Components and sub-assemblies, however, could be imported. "The latter was a
very expensive affair. This led to a sharp focus on in-house design. The first
product we came out with was targeted at the engineering research market-Micro
2200, based on a 4-bit microprocessor from Rockwell," says Chowdhry. With
Micro 2200, orders poured in for HCL. "We had no products, and we couldn't
simulate them, so we had to create a bread-board model. We actually had people
coming to us and looking at these models and placing orders-they believed in us!"

The deadlines were tough, but they had to be met, or the orders would fall
through. The first deadline was March 31, and everyone worked night and day for
weeks. The final delivery date-March 27. "I remember a particular instance. After
setting up of HCL (Chennai), we were flooded with orders, especially from IIT
Chennai. I personally went to the airport in my old Fiat and delivered the units
personally to the IIT professors," recalls Chowdhry.

When MNCs weren't popular

If we tabulate the history of Indian business, 1977 will go down as a "funny"

year. It was in 1977 that the Janata Party government came to power. Among
their first actions on the commerce front-asking IBM and Coke, among other
multinational companies, to either increase the component of Indian holdings or
move out. They moved out. "That was a stroke of luck for us," says Chowdhry.
"We created an eight-bit computer, our first usage of Intel architecture. We went
and sold that to lots and lots of companies, among them a cement company that
used four floppies to manage the payroll of all its 3,000 companies."

Three years later, in 1980, HCL became a Rs 2-crore company. "We decided to
expand overseas and entered the Singapore market, armed with some expertise in
hardware and targeting the SME market. However, once there, we realized that

28
the demand was more for solutions, not so much for boxes. We set up a software
factory in Chennai-we would go to customers and tell them we would do
everything-make the box, write the software, train the staff, maintain the
equipment, the works… And we had to do $1 million in orders out of Singapore
between August 1 and December 31, 1980. That was the make or break point-less
than that and we wouldn't have the cash flow to run the company." In the nick of
time is how things worked out-HCL Singapore managed that figure on the
morning of December 31.

HCL Group: How the Dream has Evolved

1975 Shiv Nadar and five colleagues start Microcomp
1976 HCL promoted with startup capital of Rs 1.83 lacs (US$ 3826.85)
1980 HCL's first transnational venture, Far east Computers, established in
Singapore
1981 Set up NIIT, India's first private sector IT education institution.
1985 HCL America established with headquarters at Sunnyvale, California
1991 HCL and HP, USA agree to enter into a partnership to form HCL HP
1994 HCL Tech formed as separate software company
1996 Joint venture with James Martin & Co. and Perot Systems Corporation
1997 HCL Tech incorporated in UK, Germany, France, Sweden, Belgium, Italy
and Switzerland
1998 Operations started in Japan, Hong Kong, Australia, and New Zealand
1999 Initial Public Offering made by HCL Tech Formation of Global Board of
Directors and Advisory Board. Audit, Compensation and Related Party
Transaction Committees set up Implementation of 'Glocal' Management Concept
2000 Large deals with Bankers Trust, KLA and GTech
2001 Acquisition of Deutsche Software Acquires Ireland-based BPO firm, Apollo
Contact Centre HCL Enterprise Solutions formed as a joint venture with
Computech Corporation, Inc, USA
The Singapore experience taught the founders a lesson-designing and
manufacturing products in India and selling them overseas was akin to walking a
tough and profit-less path. "This was when we decided to walk the software

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integration road. We created the integration database, much before Intel... but we
killed it! We were so naïve, we killed a product line like that," says Chowdhry.
In 1984, the new computer policy was coined and standards were put in place.
This saw a major move by banks toward the Unix platform. "A few companies
approached us and we decided to launch the personal computer in India. We had
three weeks to do this. Our people flew all over the place, including Taiwan and
Bangkok, and brought back PCs. We took them apart, studied them and got into
manufacturing mode. We launched our PC in three weeks. And that, incidentally,
how Busybee was born," says Chowdhry.
A turning point came in 1989, just when the PC and software integration business
was chugging along smoothly. McKenzie & Company approached HCL and
offered to carry out a study for HCL, entitled HCL's Entry Into America. "We
told them we were too small and couldn't afford them. They did a project for us
anyway, and refused to charge us any money," says Chowdhry. When the
findings of the study were presented to the top brass at HCL, the company moved
into the US market-HCL America was born. "We marked the entry into the US
market with hardware. We had no environmental clearances and fell back. We
could not deliver as promised. Our entry strategy was right, but the product
wasn't. We were in big trouble-our overheads were high, we had no revenues…"
Unix to the rescue
It was the US reversal that made HCL look at newer avenues, and a path that
would lead to more revenues. "That is how our software strategy was born, and
we capitalized on our Unix strengths. Around this time, we were in talks with
Hewlett-Packard for a joint venture. We were also working on Apollo, and HP
bought out the product. About the same time as out foray into the US, we tied up
with HP. At that time, HP was smaller than the behemoth it is today, but it still
boasted global expertise. And that was something we wanted," says Chowdhry.
However, HP asked HCL to close down its RISC and Unix R&D setup.
Unwilling to down shutters on a going and profitable effort, HCL created a new
opportunity out of the situation-HCL Consulting was set up and the said works
were moved in to this new company. "We had our people working at the HP

30
research centers, taking in all of the technologies. This was a great learning period
and had a mushroom effect subsequently, when HCL Consulting turned into HCL
Technologies," says Chowdhry. And along the line, HCL Infosystemswas also set
up. Chowdhry remains upbeat on the company he runs on a day-to-day basis,
HCL Infosystems-despite the predicted flat growth in the current year.
HCL Insys focuses on the domestic products and software businesses and its main
areas of operations are:
-Products & System Integration: PCs, Phones, EPABXs, SI.

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HCL’S OFFERINGS IN INFO-PROCESSING PRODUCTS

HCL’s Offerings in Info-Processing Products

Channel Sales
Home & Support Small Business

 Beanstalk Media Centre - Channel Sales & Support

Entertainment PC
 NetManager - Intel
 Beanstalk - India’s first  Infiniti PCs- India’s
Servers
Home PC Largest installed PC
 BusyBee -
India’s First
 Global Line - Intel Servers for
 EzeeBee - Desktop (‘86)
Enterprise applications
HCL’s Low Price PC  Networking
 Excel Line - AMD Servers Products
 Indic PC  Toshiba Laptops
 Infiniti Storage products

Security products  Monitors

 Keyboards
 Thin Clients Direct Sales & Support
 Cabinets & Racks
Sun Servers &
Workstations Enterprise  Information Kiosks

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HCL Advantage

HCL Infosystemsdraws it's strength from 27 years of experience in handling the

ever changing IT scenario , strong customer relationships , ability to provide the
cutting edge technology at best-value-for-money and on top of it , an excellent
service & support infrastructure.
Today HCL is country's premier information enabling company . It offers one-
stop-shop convenience to its diverse customers having an equally diverse set of
requirements, be it a large multi-location enterprise, or a small/medium
enterprise, or a small office or a home, HCLI has a product range, sales and
support capability to service the needs of the customers.

The last 27 years apart from knowledge and experience have also given continuity
in relationship with the customers, thereby increasing the customer confidence in
HCL.

Our strengths can be summarized as:

- Ability to understand customer's business and offer right technology
- Long standing relationship with customers
- Pan India support & service infrastructure
- Best-vale-for-money offerings

Technology Leadership

HCL Infosystemsis known to be the harbinger of technology in the country. Right

from our inception we have attempted to pioneer the technology introductions in
the country either through our R&D or through partnerships with the world
technology leaders.
Using own R&D HCL has:
- Created own UNIX & RDBMS capability (in 80s).
- developed firewalls for enterprise & personal system security.
- launched our own range of enterprise storage products.
- launched our own range of networking products.

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HCLI strive to understand the technology from the view of supporting it post
installation as well. This is one of the key ingredients that go into strategic
advantage.
HCL Infosystemshas to its claim several technology pioneering initiatives.
Some of them are:

- Country's first DeskTop PC - BusyBee in 1985

- Country's first branded home PC - Beanstalk in 1995
- Country's first Pentium 4 based PC at sub 40k price point
- Country's first Media Center PC

MANUFACTURING

HCL's computer hardware manufacturing plant is strategicaly located in the

Union territory of Pondicherry. Situated 165 kms south of Chennai on the coast of
the Bay of Bengal with proximity to Chennai Air/Sea port, special policies for
Industises of local Govt, , Inland Container Depots, attractive power and labour
rates - makes Pondicherry an ideal place for business.

Started in 1996 - with only Unit 1 - it now has 3 Units (Unit 1,2,& 3) with a built
up area of 3,23,000 sq. ft., PMO has a monthly capacity to make 50,000 desktops
and 2000 servers. The infrastructure is state of the art , one of the best & largest in
India.

All 3 factories are ISO 9001:2000 and ISO 14001 certified. PMO was also
Awarded MAIT Level 2 - by European Foundation for Quality Management in

34
the year 2001 . HCL was also awarded ELCINA's (Electronic Component
Industries Association) Quality Award for the year 2002- 2003

PMO also has Product Engg Group (PEG) and R&D teams constantly engaged in
developing new products and solutions.

Driven by a strong Manufacturing Objective

"WE SHALL DELIVER DEFECT-FREE PRODUCTS, SERVICES AND
SOLUTIONS TO MEET THE REQUIREMENTS OF OUR EXTERNAL
AND INTERNAL CUSTOMERS, THE FIRST TIME, EVERY TIME."

All processes in the manufacturing are aligned to this guiding objective . A strong
emphasis of "Quality by Process" is ensured across all processes. The products
manufactured here undergo stringent tests that ensures their ruggedness &
durability , which may be deployed anywhere in India and may have to face
severe conditions like - heat , humidity , rough transportation & handling .Our
products undergo drop tests , hot & cold temperature chamber , client-site
simulation tests , reliability tests et al .

Computers are shipped to locations all over India with an extensive network of
professional logistic support partners.

There is also a Customer satisfaction cell, in plant, to take care of problems

reported from field.

Customers, sales & marketing, support personnel, dealers & distributors are
encouraged to visit the plant to see, for themselves, what all goes in making a
quality computer system.

Philosophy of Quality
"We deliver defect-free products, services and solutions to meet the
requirements of our external and internal customers, the first time, and every
time."

35
To exist as a market leader in a globally competitive marketplace, organizations
need to adopt and implement a continuous improvement-based quality policy.
One of the key elements to HCL's success is its never-ending pursuit of superior

quality in all its endeavors.

HCL INFOSYSTEMSbelieves in the Total Quality Management philosophy as

a means for continuous improvement, total employee participation in quality

improvement and customer satisfaction. Its concept of quality addresses people,

processes and products.

Over the last 20 years, HCL has adapted to newer and better Quality standards

that helped us effectively tie Quality with Business Goals, leading to customer

and employee satisfaction.

QUALITY AT HCL INFOSYSTEMSLTD.

The history of structured quality implementation in HCL Infosystems began in

the late 1980s with the focus on improving quality of its products by using basis
QC tools and Failure Reporting and Corrective Active Systems (FRACAS).
And also employed concurrent engineering practices including design reviews,
and rigorous reliability tests to uncover latent design defects.

In the early 90s, the focus was not merely on the quality of products but also the
process quality systems. We were certified for ISO 9002 by BVQI in 1994 and re-
certified in 1997 to ISO 9001-2000 (for Design & Manufacture of Personal
Computers, Business Servers, Work Stations and their Associated Sub-
Assemblies).

In early 1995, a major quality initiative was launched across the company based
on Philip B. Crosby's methodology of QIPM (Quality Improvement Process
Management). This model was selected to because it considered the need and

36
commitment by an organization to improve but more importantly, the individual's
need towards better quality in his personal life.

Under our Quality Education System program, we train our employees on the
basic concepts and tools of quality. A number of improvement projects have been
undertaken by employees, whereby process deficiencies and bottlenecks are
identified, and Corrective Action Projects (CAPs) are undertaken. This reduces
defect rates and improves cycle times in various processes, including personal
quality.

HCL has received MAIT's 'Level II recognition for Business Excellence' for initiatives in
the Information Technology Industry, adding another commendation to progress.
MAIT's Level II recognition is based on the 'European Foundation for Quality
Management' (EFQM), for gaining quality leadership and business
competitiveness.
Our certifications / awards in 2003 include ISO 9001-2000 certification by BVQI for
Infostructure Services (for Consultancy, Implementation, Support, Audit &
Management Services for Information Technology Solutions in the domain of
Networking, Security, Facilities Management and System Integration) and award
of First Prize by ELCINA (Electronic Component Industries Association) for Quality,
2002-03. The ELCINA award criteria considers two aspects. (1) Enablers
(Leadership & Management commitment, Resource Management, Product
Realisation, Measurement Analysis & Improvement) and Results (Product
Quality, Customer / Stake holder satisfaction , Business results).

The tryst for continuous quality improvement is never-ending in HCL. HCL

always strive to maintain high quality standards, which help us fulfill mission to
provide world-class information technology solutions and services, to enable
customers to serve their customers better.
CUSTOMER SATISFACTION

One of the cornerstones of strategy has been a very strong customer focus. 27
years of experience in servicing a varied range of customer requirements has
given domain knowledge of customer's business. As a result of this it is able to

37
provide exact solution to customers' needs. During these years they have been
able to cement their relationship with customers and gaining their trust and
confidence as well.

Today for desktop PC, they have more than 8 lakh units installed units. HCL
enjoy considerable market share in segments like Government, Banking &
Finance and Education & research.

SUPPORT SERVICES
HCL InfosystemsService Support infrastructure is one of the widest in the
country. No matter where you are, there's an HCL Service Centre near by.
Products are backed by an extensive direct support infrastructure spread across
170 locations nationwide which offer 24 x7 support offering for critical sites.
Channel strength is a balanced mix of retail outlets, resellers & distributors. It was
strong focus on distribution network that led HCL in devoting few brands
exclusively for channel. They are - Beanstalk, BusyBee, Netmanager (servers),
and recently launched EzeeBee. Today distribution network helps it take a varied
product range to customers in every nook & corner of the country .The product
range includes DeskTop PCs, Servers, Laptops & Pocket PCs.

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 CONCEPTUAL FRAME WORK OF RECRUITMENT
PROCESS

Human resource Management classically pertains to planning; recruitment,

selection, placement, induction, compensation, maintenance, development,
welfare etc. of Human Resources of any organisation to enable the organization to
meet its objective while also enabling the human resources to attain their
individual goals.

As is evident from the definition of the concept the entire theme revolves
centrally around human resource and its role in enabling simultaneous satisfaction
of individual and organizational goals.

The immediate conclusion that follows from this is that the prime movers of the
organisation are the individuals. The process of bringing employees into the folds
of organisation is termed as recruitment and can be unambiguously treated as the
central pillar for foundation stone of the entire concept of human resource
management.

It is easy to see why recruitment has accorded such a high position out of the
various facets of human resource management. The reason is simply that unless
one has human resource in the organisation whom will the human resource
managers manage or whose energy will they channalise productively and
usefully.

Keeping this idea into mind this Projects is an attempt to study various options
that are available both theoretically as well as practically for an organisation to
launch itself into the task of recruitment.

The entire report is divided into various sub-sections which appear in a

chronology of events that are steps in the process.

39
DEFINITION

The success of and organisation largely depends upon the Team of the skilled and
qualified human resources who are chosen out of number of applicants for the
job. It is the primary duty of the HRD department to procure and maintain an
adequate qualified working force of various personnel necessary for manning the
organisation.

Procurement function of personnel Department includes three major sub-

functions- (A) Recruitment; (B) Selection: and (C) Placement on the job.

Recruitment is the positive process of employment. The process of Recruitment

is to identify the prospective employees, attract, encourage and stimulate them to
apply for the job, Interview the eligible and select them for a particular job in the
organisation.

Recruitment is a process to discover the sources of manpower to meet the

requirements of the staffing schedule and to employ effective measures for
attracting selection of an efficient working force.

------------Yoder

40
OBJECTIVES

1. To structure the Recruitment policy of HCL InfosystemsLimited for different

categories of employees.

2. To analyse the recruitment policy of the organisation.

3. To compare the Recruitment policy with general policy.

4. To provide a systematic recruitment process.

SCOPE OF RECRUITMENT

It extends to the whole Organisation. It covers corporate office, sites and works
appointments all over India.

It covers workers, Clerical Staff, Officers, Jr. Management, Middle Management

and Senior Management cadres.

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CATEGORICALLY CLASSIFICATION OF EMPLOYEES OF
HCL

CATEGORY I All workmen, All Assistants (Accounts, Stores, Field),

clerk, Typist, Steno-Typist, Stenographer, Computer
Operator.

CATEGORY II Accountant, Store keeper, Supervisor up to the level of

Officers, Designer, Jr. Engineer, P.A, Sr. P.A, EDP
Programmer up to officer, Admin./ personnel / HRD
officer, Inspector.

CATEGORY III Secretary, Executive Secretary, Management Trainee, Asst.

Engineer, Engineer, Sr. Engineer, Sr. Programmer, Sr.
Officer, Asst. Manager, Dy. Manager, Manager, Sr.
Manager, Works Superintendent.

CATEGORY IV AGM, DGM, GM, SR. G.M.

CATEGORY V VP & above.

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 ORGANISATION STRUCTURE OF
HCL

A brief introduction to Divisional / Departmental heads.

CHAIRMAN AND MANAGING DIRECTOR:

CMD holds to most position in the organisation. He is the owner of the

Company. He guide the functional heads to smoothen their activities. It is the
key position in the organisation.

DIRECTOR OPERATIONS:

He is the overall incharge of P&A, HRD, Systems, TQM and Critical Issues.

GM-PRODUCTION:

He is the overall incharge of works. He is directly involved in production

planning. He formulates various policies for betterment of the product. He issues
guidelines to Production Department and Quality Control Department for
implementation of the policies.

VP-FINANCE:

He is directly involved in finance matters and finance policy. He is also involved

with personnel department for wages compensation, salaries and other financial
benefits.

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AGM- PERSONNEL & ADMINISTRATION :

He is the overall incharge of personnel, Administration and Industrial Relations

of the group and also oversees the HRD activities.

SR.MANAGER-CORPORATE HRD:

HRD Department is responsible for better utilisation of manpower through

Recruitment’s, Selections, Training, Development, Retention and Welfare of the
group. It is involved in policy formation and its implementation.

VP-MHD:

He is the profit center head of the Material Handling Division. He is responsible

for Design and Projects Execution.

VP-BUSINESS DEVELOPMENT:

He is the main source of Business Procurement to MHD.

SR.GENERAL MANAGER

He is responsible for marketing, Design, Estimation and Projects Management.

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 RECRUITMENT PROCEDURE IN HCL

Human resource is a most valuable asset in the Organisation. Profitability of the

Organisation depends on its utilisation. If their utilisation is done properly
Organisation will make profit otherwise it will make loss. If a good dancer
appointed as a Chief Executive Officer of a Company, he may not run the
business. So right man should be procured at right place in right time, otherwise
their proper utilization may not be done. To procure right man at right place in
right time, some information regarding job and job doer is highly essential. These
information are obtained through Job Analysis, Job Descriptions, Job
Specifications. HCL procure manpower in a very scientific manner . It gets
information by use of these important documents like Job Analysis, Job
Descriptions and Job Specifications. Without these recruitment may be
unsuccess. Before recruit a person all information regarding job, working
conditions, duties and responsibilities of job doer, Skills experiences
qualifications of an employee to do the particular job is highly essential. To
obtain the pertinent information regarding job, duties, responsibilities, working
conditions, skill efficiency, education and experience of the employee, HCL, gets
the help of Job analysis, job description and job specifications.

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 CONCLUSION

Studying the recruitment procedures of HCL, analysing the respondents answers, opinion survey
and date analysis the researcher came to a conclusion that HCL is a growing Company. It has a
separate personnel department which is entrusted with the task of carrying out the various policies,
programmes like recruitment selection, training etc. effectively and efficiently. The business of
HCL is carried on in a very scientific manner. In the saturation point of business it need not waste
the time to diversify into the another business. Management understands the business game very
well. At the time of difficulty it takes necessary action to solve the problem. Now the personnel
department of HCL is in infancy stage. It always try to modernize the department. It strongly
believes in manpower position of the organization because it knows in the absence of ‘M’ for man
all ‘Ms’ like money, material, machines, methods and motivation are failure. It always tries to
develop the human resources. In the absence of right man, material, money, machines all things
will not be properly utilized. So it always recruits manpower in a scientific manner.

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 BIBLIOGRAPHY

 Principles of Management - by koontz o’ Donel.

 Principles and practice of Management –by C.B. Gupta.

 Human Resource Development – by U.B. Singh

 Principle and practice of Management –by L. M. Prasad.

 Personnel Management –by C.B. Mamoria.

 Management of human Resource.

 Dynamic of personnel administration by M.N. Rudrabasavaraj.

 Personal Management and industrial relation –by R.S Davar.

 World Resources –by M.S kar.

 www.hcl.com

 www.domain_b.com

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