A PROJECT REPORT ON HUMAN RESOURCE MANAGEMENT By
NAME:APARUPA NAME:APARUPA BHATTACHARYA COURSE:PGDM SEC-A ENROLLMENT NO:010106091
PREFACE The following project was undertaken at GENIUS CONSULTANTS LTD., kolkata, in pursuance of the Summer Internship Project forming a part of the curriculum for the PGDM at GBS, kolkata. Summer Project is a pedagogic approach that gives the PGDM participants an opportunity to apply their managerial skills and classroom learning in real life projects in an industry. Projec Projects ts requir requires es a partic participa ipant nt to work work with with corpor corporate atess to underst understand and a proble problem m or situation, collect information, identify critical issues ,to find out reasons of a particular trend of action, develop alternatives for addressing the trend ,prepare a plan of action, suggest suggest a set of recomm recommenda endatio tions, ns, report report genera generatio tion n and presen presentat tation ion to compan company y management and college faculty. This report covers in details about how HR plays a vital role in the temp staffing business and how HR can intervene in increasing the efficiency of the temp staffing business as a whole. Added to this the report also covers the details of the processes being carried out under Outsourcing at GENIUS CONSULTANTS LTD. After analyzing the future scope and trend of temp staffing among the corporates, the report suggests recommendations for future course of actions.
ACKNOWLEDGEMENT I would like to express my sincere thanks to all the concerned people who have directly directly or indirectly extended their their hands towards completion of this project. The project project would not have have been been poss possib ible le with without out the the cons consta tant nt and and time timely ly encou encoura rage geme ment nt from from all all concerned. Firstly, I would like to convey my sincere thanks to Prof.Debaprasad Chattopadhaya (Head (Head Of the Depart Departmen mentt –HR) –HR) and Prof. Prof. Meenaks Meenakshi hi Khemka Khemka (Facul (Faculty ty Of Human Human Resources) for their constant guidance and mentoring throughout my project. This work could never have been completed without Mr. Y.P.Singh, President -National Operations Outsourcing, Genius Consultants Ltd.who not only provided me with this excellent opportunity of working with such a challenging and upcoming topic but also guided and supported me with his valuable insights. I take the opportunity to thank Ms Rashmi Yadav, Director ,Genius Consultants Ltd.for providing me the opportunity to have a practical exposure with the corporates practicing temp staffing. Her constant guidance and mentoring helped me to focus on my work all the time. Last but certainly not the least many thanks to all the valued employees in all the departments with whom I interacted during the tenure of my project. I sincerely thank them for providing providing me with valuable inputs through conversations conversations and feedback feedback during during the course of my project. Their support has been invaluable for me without which it would have been difficult to come out with this document.
DECLARATION I do hereby declare that the project entitled “Role of HR in Temp Staffing” is submitted as part of my Summer Internship Project forming a part of the curriculum for the Post Graduate Diploma in Management Program at Globsyn Business School, Kolkata. The project has been done under the guidance of Mr.Y.P. Singh, President -National Operations Outsourcing, Genius Consultants Ltd.This project has not been submitted in full elsewhere for any reward or any degree.
Aparupa Bhattacharya Enrollment No: 010106091 Batch-2007-09 Globsyn Business School, Kolkata
TABLE OF CONTENTS SL NO TOPIC PAGE NOS Introduction 1. 1.1 Company Profile 1 1.2 Genius Company History 1 1.3 Genius Operations 2 1.4 Competitors of Genius 3 1.5 Genius’s Commitments 5 1.6 Certifications and Press News 10-13 1.7 Objective of the Report 13 2. Review 2.1 Scope 14 2.2 Present Scenario of Temp Staffing 14 2.2.1 The Positions 14-15 2.2.2 Types of Services Offered 15 2.2.3 Benefits of the Organization 15 2.2.4 The Temps 16 2.2.5 Different from Body Shopping 16 2.2.6 The Future 16 3. Design 18 4. Analysis And Interpretation Of Data 4.1 Temp Staffing 19-21 4.2 Role of HR on Temp Staffing 21-22 4.2.1 What is Alternative Staffing 22 4.2.2 Operational Considerations 22-23 4.2.3 Financial Considerations 23-24 4.2.4 Legal Considerations 24-25 4.2.5 The Final Contract 25-26 4.3 Types of Temp Staffing 26-27 4.4 Sample Survey Questionnaire 27-37 Analysis 4.5 Limitations 38 5. Other Projects 39 6. Summary and Conclusions 40-42 6.1 Recommendations 40-42 6.2 Learnings 43 7. Reference Section
7.1 7.2 8. 8.1 8.2
Bibliography Abbreviations Annexure Sample Survey Questionnaire Project Activity Log
45 46 47 48-52 53-54
Sl No 1.1 1.2 1.3 1.4
LISTS OF CHARTS AND DIAGRAMS CHARTS AND DIAGRAMS
Map showing the places where Genius has its branches Piechart Showing Competitors of Genius Organizational Chart Organizational Chart showing Divisional Communication Flow (PSS) 1.5 Organizational Chart showing Divisional Communication Flow(TSS) 4.1 Diagrammatic Representation of the three entities of temp staffing 4.2 Diagram showing the comparative analysis of the reasons of temp staffing 4.3 Diagram showing the proportion of the number of years of acceptance 4.4 Figure representing the proportion the satisfaction level 4.5 Piechart showing the proportion of the respondents who are unsatisfied with the services of the consultancies under different category 4.6 Piechart Showing outsourced Employee Categorization 4.7 Diagrammatic representation of the role played byHR in temp staffing 4.8 Diagrammatic representation of the number of respondents who are satisfied with the services of the consultancies 4.9 Piechart showing the proportion of advantages derived from outsourcing 4.10 Diagram showing a comparative study of the different programs undertaken by corporates 4.11 Piechart showing a comparative analysis of the disadvantages of temp staffing 6.1 Piechart showing the relative proportion of the future scope of temp staffing
PAGE No 2 3 4 6
7 20 28 29 30 31
32 33 34 35 36 37 42
EXECUTIVE SUMMARY As a management student I was required to undergo a Summer Internship Program in a company to have a hands on experience about the corporate world. As an aspirant Human Resource Management Graduate ,I undertook a training program in one of India’s leading Consultancies having a pan Indian presence called Genius Consultants Ltd.The project duration was of two months and the title of the project was Role Of HR In Temp Staffing . Though there was a distinct topic on which I was required to work upon but the exposure provided me with a huge opportunity to learn everything from recruitment to handling operations ,key accounts to finally disburse the salary to the associates. My entire project was designed into three parts- focusing focusing on genius’s genius’s operations operations , doing a literature study of temp staffing business and finally preparing a questionnaire and visit visiting ing the big big corpor corporate ate hous houses es and and mee meetin ting g the the HR manage managers rs and and gathe gatherin ring g feedback about temp staffing. It was indeed a very learning experience to have a real interaction with so many corporates. In the first few weeks ,I scrupulously studied about the vibes of temp staffing business and activites done .After this exercise I was able to pick out the KRA’s of the outsourcing business.This further helped me to find out the loopholes of the HR in the temp staffing business.Along with this I was also asked to do certain literature study and then finally prepare a questionnaire for the HR people who outsource their temp staffing to a third party consultancies . My sample strength was fourteen (14).I visited them personally and gather gathered ed inform informati ation on ang took took feedba feedback.M ck.My y entire entire exercis exercisee then then centred centred around around the reas reason onss behi behind nd temp temp staf staffi fing, ng,sc scop opee of HR in temp temp staf staffi fing ng ,the ,the adva advant ntag ages es and disadvantages of temp staffing and finally the future prospect of temp staffing .The study also also aimed aimed in findin finding g out how the efficie efficiency ncy of the temp staffi staffing ng busine business ss can be increased and to what extent ex tent and in what way,HR plays a vital role in the entire process. The study was qualitative qualitative in nature and needed a detailed detailed research on temp staffing staffing and its activities. After all the informati informations ons were gathered, gathered, the data was tabulated with the help of several several piecharts and bar diagrams. Finally the recommendations were made and conclusions were drawn. Finally a report on word format was prepared .Three copies were made-one for the company, another for my college and finally the third for my own reference.
GENIUS CONSULTANTS LIMITED
ITS MISSION Genius Consultants Ltd is one of India’s leading Con sultancy having a blend of strong Ethical Value with Professional Expertee .Its mission statement can be penned as …………….. To provide innovative, professional and personalized services to candidates, • associates and clients To establish Business Associates of Genius at all major business centers in India • with a mission to develop and penetrate market effectively by providing value added and personalized services to out esteemed clients all over India. To Practice quality improvement process and achieve significant improvement in • business results To develop effective strategy in order to Service our existing National Clients and • develop more esteemed Clients having presence at the National level .
ITS VISION Its vision for the new Millenium is”what we dream alone is a dream,but what we dream together is a reality.” • • •
•
Grow global by 2010 Strengthen the spirit and create pride in the co mpany policies and its mission . All India online processing of business activities with individual login for clients and associates Establish our Company amongst the largest national players in all aspects of our core competency
1. INTRODUCTION
1.1 COMPANY PROFILE GENIUS CONSULTANTS LTD.popularly known as GCL was established on the 27th July 1993 by an entrepreneur of great vision , Mr R.P. Yadav with an objective of providing Consultancy Services to the Corporate world.In a span of fourteen years, Genius diversified into Outsourcing of Manpower, Payroll, Employment Verification, HR Consulting . Over these fourteen years Genius has become a pioneer and one of the leaders in the area of Executi Executive ve Search Search and Select Selection ion in India. India.Gen Genius ius has achieve achieved d fourte fourteen en thousa thousand nd (14,000 (14,000)Di )Direc rectt Placem Placement entss at Client Client Payrol Payrolll from from the position position of manage managerr to CEO level,more than thirteen thousand(13,000) outsourced personnel in Senior,Middle and Junior Corporate level,satisfying more than fifteen hundred(1500) clients of National and Multinational reputes.Genius has become a leader in providing innovative,professional and personalized services to candidates and clients through Total Staffing Solution to the corpor corporat atee world world.G .Gen eniu iuss has has a stro strong ng team team of two two fift fifty y (250) (250) empl employ oyees ees on the the payrol payroll.G l.Geni enius us starte started d its busine business ss operat operation ionss in Manpowe Manpowerr Placem Placement entss at Client Client Payroll.Subsequently Genius diversified its operations into Quality Consult Consultancy ancy(QC (QCD)s D)sinc incee june june 1998,wi 1998,with th an object objective ive to provid providee Consul Consultan tancy cy for implementation of ISO 9001.ISO 14401,OSHAS 18000,QS9000,TS 16949,HACCP and various various other Standards relating relating to Environment Environment ,Safety and Health Health and Quality.Ge Quality.Genius nius has carri carried ed out Certi Certific ficati ations ons of ISO 9000/14 9000/14000 000/QS /QS9000 9000 for seven seven hundred hundred (700) (700) small,medium and large scale organization Genius Outsourcing Division also know as Temporary Temporary Staffing Staffing Solutions was launched in November November 2000.Genius 2000.Genius Outsourcing Outsourcing Division Division deals with Manpower Outsourcing, Outsourcing, Payroll Payroll Processing Processing Services and Background Background Verificati Verification on Services. Services. More than Hundred Hundred and five five (105) (105) compan companies ies have have receiv received ed HR/Ind HR/Indust ustria riall Engine Engineeri ering ng /Restr /Restruct ucturi uring ng Consultancies from Genius GENIUS ….A PAN INDIAN PRESENCE….. Being recognized as a leader in Eastern India, Genius expanded its services to almost all the the citi cities es in Indi India. a.It It has has pres presen ence ce in almo almost st all all the the majo majorr Metr Metros os and and Citi Cities es – Kolkata,Mumbai,Delhi,Chennai,Bangalore,Hyderabad, ,Pune, Ahmedabad, Lucknow Chandigarh, Chandigarh, Coimbatore, Coimbatore, Vizag, Bhubaneshwar, Bhubaneshwar, Guwahati and Patna with a srong team team of 300 direct employees and 12,700 associates servicing 1,125 clients all over India and abroad. 1.2 GENIUS COMPANY HISTORY………….
Branches opened so far…………………….
1st February, 1998 1st March, 2000
1st Branch opened at Chennai 2nd Branch opened at New Delhi
1st July, 2002 1st September, 2003 2nd February, 2004 1st April, 2006
3rd Branch opened at Mumbai 4th Branch opened at Bangalore 5th Branch opened at Hyderabad 6th Branch opened at Pune
Franchisees opened so far …………………………
Genius also has nine franchisees spread all over India Ahmedabad,Lucknow,Chandigarh,Visag,Bhubaneshwar,Patna,Guwahati, (Saltlake) and Coimbatore.
namelyKolkata
1.3 .GENIUS OPERATIONS………….
Figure 1.1Map showing the places where Genius has its branches
1.4 COMPETITORS OF GENIUS
7%
3%
10%
17%
20% 7% 3% 7% 26%
Adecco
Mafoi
Teamlease
Genius Consultants
Kelly Services
First Choice
Man ower
Securit A encies
Outsourcin a encies
Figure 1.2Piechart showing the market share of the different consultancies and other agencies
TOP MANAGEMENT ORGANISATION CHART MANAGING DIRECTOR
LOCATION HEAD
NATIONAL HEAD
ACCOUNTS AND COMM.
SYSTEMS
PPS
TSS
BD/BVS
Figure1.3Organisational Chart of Genius Consultants Ltd
HR/ADMIN /LEGAL
1.5 GENIUS’S COMMITMENTS Genius Consultants ltd is committed to provide Total Staffing Solutions to the esteemed clients in terms of PERMANENT STAFFING SOLUTIONS (PSS), TEMPORARY STAFFING SOLUTION (TSS), PAYROLL PROCESSING SERVICES (PPS), BACKGROUND VERIFICATION SERVICES (BVS) and HR CONSULTING. I. PERMANENT STAFFING SOLUTIONS This department consists of three types of Recruitment Solutions and they area)Executive Placement through databank b)Advertised Selection c)Bulk Recruitment Projects
EXECUTIVE RECRUITMENT
The Executive Search service otherwise known as Manpower Recruitment Division (MRD) offers 3 types of executive search solutions. The Service primarily addresses recruitment of middle, senior & top level management staff. Genius also has an online databank of 5.6 lakh candidates through its own job portal.(www.geniusconsultant.com) Genius’s own online database allows speedy matching of profiles for recruitments and quick response time to client's requirements. Genius has got their own specialized software, personal interview and test to match the client’s criteria with the candidate’s expectation. ADVERTISED SELECTION
Genius finds candidates through Head hunting from target industry and company for right candidate of employee. Networking is also another valuable means to find out right kind of candidates for right kind of job. The services rendered by Genius include conceptualization and drafting of recruitment advertisement, selection of appropriate media, release of advertisement, receipt and screening of resume, preliminary interview, selection test, psychometric test, reference check etc. EXECUTIVE SEARCH AND SELECTION THROUGH BULK RECRUITMENT
The Service is well suited for start-ups, new project manning, plant expansion, scale up of team sizes and geographical expansion of teams. The Services include bulk recruitment within the projected timeframe, especially junior/middle level. Genius has got an all India network which enables quick processing of responses and manages the entire process effectively.
ORGANISATIONAL STRUCTURE DIVISIONAL HIERARCHY AND COMMUNICATION FLOW (PSS)
NATIONAL HEAD-PSS
LOCATIONAL HEAD
NATIONAL VERTICAL HEAD-H.O.
DIVISIONAL/ VERTICALHEADS AT LOCATION
FRONTLINE MANAGERS/ EXECUTIVES
Figure 1.4Organization Chart showing Divisional Communication Flow (PSS)
ACHIEVEMENTS
GENIUS CONSULTANTS LIMITED has 1200 Clients of National and International repute. It has already done 11250 Middle & Senior Placements in 16 Countries. Its core strength is in recruitment of middle, senior and top management level in Sales and Marketing Accounts and Finance, IT (Hardware & software), Telecom, ITeS & HR professionals. II. TEMPORARY STAFFING SOLUTION (TSS) The buzz of today's competitive business environment is to streamline one's core competence and strength to outsource the non core areas like payroll process and recruitment of manpower through professional experts. Genius's OSD Division is one such expert. In Temp staffing the candidate remains on the payroll of Genius and works at the client premises.TSS enables mobilization of personnel and their placement at clients identified locations Genius Consultants Ltd. payroll & Statutory requirement of deputed associates.
DIVISIONAL HIERARCHY AND COMMUNICATION FLOW-(TSS)
HOHR/COMM
NATIONAL HEAD-TSS
LOCATION HEAD
HEAD OF COMPLIANCE DIVISIONAL HEAD
COMPLIANCE
KEY ACCOUNTS PROCESS
RECRUIT MENTS
Figure 1.5 Organizational Chart showing Divisional Communication Flow(TSS) RECRUITMENTS This department is primarily responsible for matching the right kind of people from the different job portals, headhunting, networking references and recruiting them on a temporary staffing basis. These candidates are screened by the recruiters and then sent to the clients’ place for final selection. PROCESS This department is responsible for all the operational tasks that is left behind. After the candidate has been selected ,there are numerous accounts ,that needs to be maintained .They are-attendance, dummy attendance ,coordination for billing,collection,debtor’s checklist, appointment and renewal letters, full and final settlement ,filing of correspondences with the clients, advance management, and finally maintenance of contracts. KEYACCOUNTS This department is also a part of the operations department and is interlinked with the process department.It is responsible for Joining formalities( giving joining kit, temporary ESI card and assigning of temporary account),PF,ESI and Bank A/C opening,updation of PF and ESI numbers in GSPPI(GenSmart Pay Package –I-official software used to track records),proper coordination of attendance/billing and collection with process executives, statutory compliance management at sites,disbursement,payslip delivery, associate management, client management ,master data.
COMPLIANCE This department is responsible for managing the PF, ESI and other Statutory claims of the temporary employees popularly known as associates. Genius has a separate exempted PF fund maintained and monitored by the compliance department registered under the Regional Provident Fund Commission. This separate Provident Fund Trust is made for interest of the associates only. Due to the separate entity, the services have become much more efficient and it takes very less time now to do the PF and ESI settlements. Added to this previously, the organization was incurring an additional interest of 1.10% as administration Charge for PF maintenance .But now, they are saving on that with a higher time management. But this department has to send semiannual report on the claims to RPFC. III. PAYROLL PROCESSING SERVICES (PPS) In this process though the candidates are deputated at the principal employers place but they are under Genius’s payroll. Genius manages the individual and consolidated pay slip, leave summary details, bank letter with details,ESI and PF report for the month ,ESI and PF Summary for the month PT report –half yearly,PF-annual characteristics,ESIhalf yearly calculations and finally the income tax computations. IV.BACKGROUND VERIFICATION SERVICES (BVS). EVS is a time consuming and detailed task that requires highly specialized knowledge and resources. It is also subject to numerous legal regulations. Background Verification has four services. a) Educational Verification b) Personal Verification c) Professional Verification d) Financial Verification
Educational Verification. It verifies the following: Degrees earned Types of Degrees earned When the degrees earned Duration of Degrees Degrees in progress Authenticity of Certificates and marks obtained Personal Verifications It verifies the following Name Age National/Citizenship Marital Status Family Members
Address Relationship with family members Family atmosphere Social Status Family bindings and acceptability
Professional Verification It verifies the following Dates of employments Employment Gaps Last position held Reasons for leaving Punctuality Salary Any warnings or notices against the employee Consistency in employment Work performance Character Integrity Reference checks Financial Verification It verifies the following Bank account statements Nature of expenses Credit card statements Sources of income Any loans they have taken Any insurance policies Any assets or liabilities Any other investments V. HR CONSULTING
Every organizational structure deserves a well designed HR policy. Genius provides a value added service in this specialized field of HR Consultancy through. a) HR Policy b) Manpower Planning c) Organization Climate Survey
1.6 CERTIFICATIONS AND PRESS NEWS ERA CIRTIFICATIONS
Genius is an active member of ERA (Executive Recruiters Association), a premier body that represents staffing companies in India. Genius has been awarded by ERA as the “Fastest Growing Staffing Company in India for the year 2006-2007. PRESS NEWS Human Capital
Geniusjobs.com, a unique job portal has been launched by Genius Consultants Ltd., leaders in recruitment and management consulting. Genius has launched this unique portal to cater to a large number of jobseekers, employers and consultants efficiently and cost effectively. Genius started its journey in the year 1993 from Kolkata under the leadership of R.P. Yadav, Chairman and managing director and gradually spread its network in Chennai, New Delhi, Mumbai and its associates in Bangalore. Genius has established itself in the fields of human resources, recruitment, quality and environment management and manpower outsourcing. In a span of 10 years Genius has become a pioneer and one of leaders in the area of manpower placement in India placing around 5000 personnel in top, senior and middle levels in various industries satisfying 1200 corporate houses of both national and international repute. The new e-recruitment division of Genius Consultants will provide e better service to job seekers, employers and consultants. Jobseekers can search desired jobs and post their resumes free. Other value added services include building a resume, career counseling and sending resumes to head hunters globally. Geniusjobs.com also provides support to employers and recruitment consultants during the recruitment process by helping then post jobs and accesses the resume database. Employers can avail free ERM software which will help then to shortlist the right resume and reject junk resumes as per desired parameters, saving valuable time and money. The portal also provides a unique software CVMS for manpower recruitment consultants. This software helps them to carry out their entire business process online with complete confidentiality from posting jobs, calling the candidates for interview auto-shortlisting and rejecting to raising invoice and maintaining the entire MIS for the clients
Has HR outsourcing arrived?
According to a recent survey by Gartner Inc, 89% of midsize companies outsource at least one HR function. Ditto for corporate India! Shares R.P. Yadav, chairman and managing director, Kolkata headquartered Genius Consultants, “HR outsourcing gained a headstart with Fortune 500 companies and multinationals, but now it is gaining
popularity with large and medium sized Indian companies too, specially those with seasonal products, those seeking to restrict their overheads, and those who are proactive and open to change. HR outsourcing is on a high because every company is thinking lean, acting smart and concentrating on core competencies.” ....As Yadav puts it, “HR outsourcing definitely makes financial sense, provided one has to see it a long term process. Financial gains could be direct and indirect…..for example, a gradual, stable increase in productivity, eradication of statutory obligations and reduction of opportunity costs.” Indian Express Genius goes online Kolkata based Genius Consultants, an integrated HR solution provider, has launched a job portal called www.Geniusjobs.com to cater to the needs of jobseekers, employers and consultants. The portal, which has a job base of 1,300 has recruitment, manpower resourcing quality and environment and consultancy sections. The portal enables the client to conduct online testing for the recruitments. Another feature is that the client can shortlist and reject the candidate list, saving time and money of both clients and the jobseekers. Get headhunted by Genius
Although the unemployment rate of out country is soaring we do not need to hit the panic button yet because of job providers like Genius Consultants Ltd. The company which, had a very successful 2004-2005 by providing jobs to 7,400 people is now planning to open up 15 more offices all over the country during the next fiscal. Giving this information here on Wednesday, R.P. Yadav, the managing director of the company said, “The new offices will be opened at places like Bhubaneshwar, Cuttack, Coimbatore, Trichi, Guwahati, Nagpur and Pune. These offices will be franchise offices and will provide employment to around 175 people. Yadav feels that in the last one year the job scenario has improved considerable in the I.T, retail, healthcare sectors and biotech industry. And the cities, which have shown the greatest improvement, are Bangalore, Chennai, Delhi, Mumbai followed by Kolkata. He added, “Although our revenue has gone up from eight and a half crore in 2003-04 to 15 crore in 2004-05 the profits are not as pronounced because we had to make various investments throughout the year. The investments were mainly for technological upgradation of the offices and of the website. Out target is to have a turnover of 30 crore at the end of the 2005-06fiscal.Currently however, the mission for Mr. Yadav and his team is to successfully establish Geniusjobs.com. “The website which was launched barely nine months ago has successfully provided jobs to 2,200 people,” stated Yadav. He added that the USP of the site was that it provided jobs to the front liners like call center executives and programmers as well as to the middle and senior categories like managers and V.P’s with more than five years of experience. Yadav also informed. “This is the only website which matches the profile, CV and quality of jobs available. We act as job hunters for the job seekers.”
The Economic Times Kolkata based Genius Consultants, an integrated HR solution provider, has launched a job portal called www.geniusjobs.com to cater to the needs of jobseekers, employers and consultants. The portal , which has a job base of 1,300, has recruitment , manpower resourcing , quality and environment and consultancy sections. The portal enables the client to conduct online testing for the recruitments. Another features is that the client can shortlist and reject the candidate list , saving time and money of both clients and the job seekers.
1. Genius attitude survey is a Likert type scale which measures 12 dimensions of employee attitude" 2. Genius Consultants Ltd., a city based firm is the first to start these surveys in the Eastern Region". Hindustan Times A unique job portal has been launched by Genius Consultants Limited called the geniusjobs.com it will cater to a large number of jobseekers, employers and consultants. Genius Consultant was started exactly a decade ago by its present chairman and managing director R.P.Yadav. It has offices in Chennai, New Delhi, Mumbai and Bangalore. It has already established itself in the field of management consultancy, resource recruitment and quality and environment management. Job fair for IT executives For those in the IT industry, the emerging destination for a lucrative career could well be Kolkata.If Genius Consultants Ltd. (GCL) is to be believed, by 2010 the city is going to be the major hub for Information Technology and its enabled services. With multinationals such as TCS, IBM, Price WaterhouseCoopers coming up in a big way, Satyam and HSBC planning to launch their second units and special projects of Reliance and ITC Infotech in the pipeline, things couldn’t have got better. Keeping this in view, GCL organized the 2nd “Wand in Job Fair’ at St. Xavier’s College to provide a platform for those seeking jobs in IT, banking and insurance sectors. Presiding over a programme at the fair, G.D. Gautama, principal IT secretary of state government, said the government wanted to spread the growth of IT and enabled services beyond the city. “Around 2000 candidates have visited the fair, which has participation from DPS Technologies, Aviva Life Insurance, Infovision Software Pvt. Ltd., Magma Leasing and HDFC Standard Life” he said. R.P. Yadav, GCL MD, said: “We are planning such fairs in Delhi and other parts of the country later this year.” Job market still not bright enough in city If you categorize the job market into three grades – excellent, good and fair - I would say the job prospects in Kolkata are fair. Even now, the rate at which companies are shifting their offices from Kolkata is higher than companies coming to the city to set up shop. Delhi, being the capital and Mumbai being the business capital of India, there are several small and big industries in both cities. Job prospects in these cities. Job prospects in these cities are better than in Kolkata. But there is always a silver lining. Information technology (IT), Information Technology Enabled Service (ITES), call centers, BPOs of
retail marketing are the rising industries in Kolkata and we try to provide applicants jobs in such fields. Sananda 1. "Placement Agencies play a very important role in the society of matching the requirement of the company with that of the candidate." 2. "This role of matching is extremely difficult because along with professional requirements, the attitude of the Company has to be matched with that of the candidate". 3. "Credible agencies like Genius believe in providing best service to the client & not in becoming a collecting center for biodatas." Amrita Bazaar Patrika "Genius Consultants have a vide to extensive clientele including corporate giants like Shalimar Paints."
Times of India Genius Consultants Operations
Within a decade of its operations in Kolkata, Genius Consultants has spread its wings with office in Chennai, Delhi and Mumbai. The company now provides value-added solutions in executive placements, manpower outsourcing, ISO consulting, corporate training and HR policy framing. It has placed more than 5,000 executives in various levels in over 900 corporate houses.
1.7OBJECTIVE OF THE REPORT This report aims in finding out the followings o
To find out the functions of an HR team in Outsourcing Business
o
To find out the KRA’s of “temp”staffing business
o
o
o
o
To find out the lacunas and reasons for inefficiency of the services rendered by the consultancy’s To find out the areas of KRA’s where HR plays a vital role To find out areas in which the role of HR can be improved in order to improve the efficiency of the KRA’s To find out reasons for its advantages and increasing acceptance.
o
And finally its disadvantages and impact on the people at large.
2. REVIEW 2.1 SCOPE
The industry is a US $140 billion business operating globally. It is a growing industry especially for countries like India. Acquiring talent and retaining those employees in the different client organizations for a substantial period of time is not an easy job in an era of skilled workers who look for established name and positions. In this situation the role of HR is very vital and crucial too. It has to meet the expectations of both the client organizations as well as that of the associates’. The scope of this report aims in finding out the different roles that the HR team undertakes in staffing candidates for the temp industries. It also aims in increasing the efficiency of the KRA’s in providing the staffing solutions .Added to this the report also focuses on the impact that it puts on people and society at large and how HR can significantly interfere and increase the overall efficiency of temp staffing. Keeping in mind the present economic fluctuations and stiff competition if the efficiency is increased significantly then ,it is the most upcoming business in the coming years to come. 2.2 PRESENT SCENARIO OF TEMP STAFFING
TEMPORARY STAFFING commonly known as Temp Staffing is the fastest growing HR Trend in India which is finally catching up among the corporate world. While industry experts estimate employee leasing to be $140 billion business worldwide, the domestic staffing industry is yet to boast of big figures. The scenario is however about to change considering the fact that in the near future 2.5 to 3 percent of the workforce in the country will be hired on a temporary basis. The IT industry being a trendsetter of sorts, will witness a large percentage of such hiring in the next few years. A “temp” is a temporary worker with an organization who is on a third-party (staffing company) payroll. A well-accepted norm in global companies, many large Indian organizations are now hiring a part of their workforce from employee leasing firms. The reason is not too difficult to guess—as organizations focus on their core business strengths in a highly competitive environment, the non-core functions are outsourced. The manpower for the latter is provided by the employee leasing company. The contracts can range from three to six months, and there are no hassles normally associated with recruiting and retaining people. “While so far, the leasing workforce was active in order to meet short-term assignments of companies to augment their workforce during peak periods or replace ‘leave vacancies’ or sudden terminations, the current trend has seen corporates going for leasing for specialized requirements,” says Ashok Reddy, managing director of Team Lease, one of India’s largest HR outsourcing services companies in the space of employee leasing.
He adds that the demand for temporary workers has been fuelled by companies looking for greater workforce flexibility, faced with fast paced market changes, including changes in consumer demands and shorter product life cycles. 2.2.1 THE POSITIONS
It is a known fact that most companies prefer temporary staff to permanent ones, furthermore there is a growing trend of outsourcing non-core functions to outsourced staff. These range from accounts, front-office, sales, marketing and back-end operations. TeamLease undertakes outsourcing for diverse sectors, including banking, telecommunications, FMCGs, IT, manufacturing and retail, informs Reddy. The service spectrum caters to functional activities involving office administration, technical support, accounts and finance, HR support, marketing and sales. Sunil Gandhi, centre head (Mumbai) of Mafoi Management Consultants, adds that in the IT industry, positions that are largely outsourced are people at the entry level like programmers, software engineers, networking and system administrator. 2.2.2 TYPES OF SERVICES OFFERED
Employee leasing companies offer a plethora of staffing solutions to their clients. Reddy gives detailed explanation of the services that Team Lease provides. It includes: Temporary staffing: Enabling the client to respond to short-term temporary and/or flexible manpower needs with specific skill set requirements or for supplementing the workforce. These services could be of a part-time, full-time or job sharing nature. Temporary-to-permanent services: The client can hire associates as temporary employees for a trial period of employment; after a satisfactory trial period, a company has the opportunity to add a temporary worker to its permanent staff; by moving the employee from Genius payroll to that of the business client. Long-term contract : Corporates can opt to enter into assignments for long-term and indefinite periods of time with Genius associates. Managed services : Genius Consultants Ltd. provides the onsite management of the contingent workforce at the client facility. It retains the responsibility for the supervision of the leased employees as well as the accountability for the results of the facility or function that have been leased.Mafoi also offers contract staffing, flexi-staffing and managed services and has more than 6,000 people on contract employment. The company has 30 offices all over India. Manpower Inc, a recent entrant in India, also provides a range of solutions to its clients across the value chain. A world leader in staffing solutions, it provides workforce management solutions and services to 4,000 customers in 63 countries. 2.2.3BENEFITS TO THE ORGANISATION
The trend of temporary staffing has been popularized in India by MNCs who have been aware of the benefits in their experiences in other countries. The advantages are many. “The opportunity to concentrate on core areas as non-core areas are taken care by experts, benefits of scale, long-term cost benefits and a responsible employer image,” states Rohit Mathur, general manager, workforce solutions India, Manpower. “There is flexibility of employment, and ease of recruitment and replacements,” adds Gandhi of Mafoi. He reminds that statutory complexities are also taken care of by the staffing company. Most industry experts agree that there are no flip sides to the arrangement, Mathur however points out that there is often a misconception that this is an extended payroll service. 2.2.4 THE TEMPS
Who constitute the growing number of leased employees? This question takes special significance in a country like India, where job security is an integral part of one’s psyche. The range is astonishingly varied. “People who want short-term options, freshers wanting to gain experience, experienced people for specific experience and of late even top management guys for interim management options,” answers Mathur, not forgetting to add that it does provide a reasonable secure and dignified employment option. Reddy agrees that the biggest beneficiary of temporary employment in India have been freshers. “The workforce available for such temporary employment has existed in excess of demand in the Indian context; and increasing manifold in today’s date given the dynamic market conditions, hence corporates are looking at leasing as the viable option to meet their short-term manpower needs.” The attitude of today’s workforce, he believes, is driven by rewarding employment opportunities coupled with career guidance and flexibility to choose the nature and duration of work. Furthermore, many employees choose temporary employment as an avenue to exhibit their talents to the client organization, which could be a stepping-stone to a full-time permanent career. Temporary employment has often been an effective entry route into big companies. And, is it possible to find top performers among the temps? “Yes, but one should remember that such people are employed typically for non-core areas and attracting top class talent for non-core is an issue, it has nothing to do with temp staffing as such,” answers Mathur. Reddy however claims that the leasing model attracts management talent far above the commodity-level. 2.2.5 DIFFERENT FROM BODY SHOPPING
Many often confuse employee leasing with body shopping. Reddy explains the difference: “Temping cannot be compared with body shopping as the former requires a much higher level of involvement by the outsourcing partner with the leased associates in order to manage and retain them.” It is also not possible for traditional search firms to offer the specialized services normally provided by an employee leasing company. “The temping route requires specialized talent at the senior level. While traditional placement companies approach business in a transaction mode; workforce suppliers need to devote bandwidth through its people and process teams in servicing customers (the client and leased associates) on a recurring basis,” he states.
2.2.6 THE FUTURE
Temporary staffing is expected to grow exponentially in the country, in the near future. “It is the quality and ease of availability of manpower that would define the role employee leasing organizations stand to play, not only in non-core functions but also certain core business areas of organizations,” points out Reddy, adding that it is imperative for outsourcing partners to move from “only” employee leasing to complete end-to-end “activity management.” It is also necessary for outsourcing partners to be equipped with vertical and functional specializations, with key differentiators customized to the Indian employment scenario. In a recruitment market where the concept of full-time employment is increasingly becoming a thing of the past, temporary staffing is emerging as the viable option. Advantages Of Temporary Staffing o o o o o o
The opportunity for organizations to focus on core areas Flexibility of employment Ease of recruitment and replacement Long-term cost advantages Benefits of Scale Tax deductions
Added to this there are also there are several disadvantages also. They are o o o
Less productive than the permanent counterpart Employee replacement backup Increase in the number of lawsuits
3. DESIGN As a Summer Intern in Genius Consultants Ltd.,I was asked to write a paper on “ Role of HR on Temp Staffing .My entire project was divided into the following steps . FOCUSSING ON GENIUS Genius being a consultant itself, I was asked at first to focus on the different activities performed in different departments under TSS-Recruiter, Process, Key accounts and Compliance. Thus, inorder to understand the temp staffing business and to identify the functions of the HR team in Outsourcing, I was asked to understand the operational activities of the HR team in temp staffing. This exercise not only gave me an insight about the role of an effective HR team in Outsourcing business but also helped me to identify the KRA’s of the HR team and how its efficiency can be improved. •
READING ARTICLES AND THESIS PAPERS ON TEMP STAFFING The paper on which I was working on is a very recent phenomenon. Added to this it was a descriptive research project which needed extensive study. So, I searched the internet extensively and read a number of research articles on temp staffing and Outsourcing. This helped me to form an idea on the current trend on temp staffing business in India and abroad, the reasons behind corporates resorting to temp staffing concept from permanent staffing. •
SAMPLE SURVEY QUESTIONNAIRE This report entails me to find out the role of HR in temp staffing which covers the following: Reasons for temp staffing o Advantages of temp staffing o Disadvantages of temp staffing o Future prospect of temp staffing o To find out the lacunas of the KRA’s of HR in temp staffing o In order to derive to any conclusion, information regarding all the above mentioned issues needed to be gathered. Since my report was more of research based and descriptive in nature, primary data was essential in order to validate the my own findings.So,a small survey was conducted having a sample size of fourteen(14) respondents. The sample consisted of companies selected randomly covering almost all the major sectors. The survey aimed in answering the aforementioned issues and was targeted to the HR professionals and their views. I tried to cover companies from almost all the sectors from IT, Infrastructure, BPO,to Electricals,Hotels, Insurance ,Airlines, Shoes and finally manufacturing. •
4. ANALYSIS AND INTERPRETATION OF DATA 4.1 TEMP STAFFING -a snapshot……………… Temporary staffing popularly known as Temp staffing in the corporate jargon is the fastest growing human resource trend .Though the concept is yet to capture the Indian market and take a lion share, but it is gradually taking its shape. It can be said that it is the most preferred method of staffing among the corporates in today’s world. A “temp” is a temporary worker with an organization who is on a third-party (staffing company) payroll but is working on the principle employer’s floor. Rising input costs and tough competition is forcing the companies to focus on their core activities and increase their business efficiency. Thus companies are trying to reduce their expenditure on non core functions and lessen unnecessary liabilities by outsourcing employees in non-core areas to a third party employer who recruits and also manages the payroll of the temp employees working on their premises. It has been calculated that the cost incurred by the corporates in the aforesaid functions for temp employees is much less than their permanent counterparts as they are saving substantially on PF, ESI and other statutory liabilities .When an employee is outsourced to a third party staffing company or consultancy, it is the responsibility of that consultancy to maintain the statutory liabilities of the temp worker called the associates and take care of the PF, ESI and other statutory benefits. In case if the associate falls under the Gratuity benefit slab and claims for gratuity, it is the responsibility of these consultancy to give him/her the benefits.
ASSOCIATE OR CONTRACT LABOUR
COMMON PLATFORM FOR TEMP STAFFING BUSINESS
PEO OR COMPANY
TEMP AGENCY OR CONTRACTOR
Figure 4.1 Diagrammatic Representation of the three entities of temp staffing
Advocates of the temp recruitment model say it helps companies to remain agile, enabling them to expand and contract their workforce and their expenses with the flow of the market. Because companies can select people with the exact skills they are seeking for a specific amount of time, temps are often an ideal, if temporary. More and more companies are beginning to understand what benefits these short-term assignments can bring to an organization. Temping allows companies to hire temporary staff to cater to peak demand conditions, hire staff with specialized skills for projects of short duration, or terminate temporary staff when demand falls Temp jobs offer flexibility to both employees and companies. Candidates can choose when, where, and how they want to work. Companies get the skills they need to keep fully staffed during busy times. Temp jobs give flexibility to the employees so it gives time for them to pursue non-work interests.
Contract jobs provide a bridge to permanent employment. Candidates can try out prospective employers and showcase their skills towards a permanent job. Most of the contract workers feel that it’s a way to get a permanent job, and also there can arise a choice among the temp workers where they select and move on to get a permanent job, else they can find another employer and try for a better job. Even from the company’s perspective they have the choice to offer the temp worker for the permanent position. The biggest advantage from the company’s view is that it has lesser number of employees on the payroll and by that it saves on all functions and all related costs like recruitment, payroll, training and development benefits, bonus, leave with pay and all such legal and statutory provisions and secondly it helps the company to buy skills rather than develop skills. According to Naveen, a contract employee in Hindustan Unilever Ltd., comments “that the company does not have to pay for any PF and also they save on Tax etc, where the company has to pay all these for permanent employees, and bank account need not be provided for temps, they do not have us in the book of account”. Many candidates choose contract work as an employment option. They can select their work schedule and choose among a variety of diverse and challenging assignments. Most of the contract workers prefer this alternative arrangement over traditional employment. Employees prefer to work for a staffing company because they like the diversity and challenge of different jobs. Candidates gain new skills or polish their skills through the variety of jobs they are assigned to. Most of the Temp workers do gain new skills through their assignments.
4.2ROLE OF HR ON TEMP STAFFING -Findings To remain major players in this critical arena, HR professionals need to understand the operational, financial and legal aspects of alternative staffing strategies. Managing a company's human resources, already a challenging task, has become more difficult with the proliferation of alternative staffing options. One alternative alone temporary staffing - has evolved and grown into a nearly $40 billion industry, largely in response to corporate demand. Sophisticated employers seek tailored solutions to staffing problems, rather than simply increasing payroll when increased productivity is needed. Although most companies rely on some alternative staffing arrangements, those arrangements often develop haphazardly or on a departmental basis, rather than as part of a comprehensive staffing strategy managed and administered by HR professionals. In some companies, employees from non-HR disciplines such as purchasing, budgeting or accounting have begun to take the lead in making those arrangements. But HR does not have to - and should not - accept a reduced role in this critical arena. Only HR professionals have the unique perspective and qualifications to evaluate a company's overall staffing needs, develop a comprehensive staffing strategy and, with senior management's approval, administer that strategy. Too often, purchasing agents or cost accountants who take on this task focus on the unit cost of employees, while giving short shrift to critical human factors such as morale, training and development, and building team spirit. But as HR professionals know, those factors translate into productivity which, in turn, leads directly to profits.
The need for alternative staff should not set up a battle between purchasing and HR. Just as HR managers typically defer to purchasing when a new product is needed, purchasing should be subordinate to HR when staffing decisions are made and policies adopted. Purchasing and cost accountants simply do not share the experience and training HR professionals have in making sure organizations have the right human resources in the right place at the right time to do the job most productively and cost effectively. To develop a comprehensive staffing strategy, HR professionals must thoroughly understand alternative staffing, particularly the distinctions among the various alternatives. 4.2.1WHAT IS ALTERNATIVE STAFFING?
In conventional employment, the organization directly hires, supervises, pays wages or salaries, and provides benefits to individuals; both employer and employee typically contemplate a relationship of indefinite duration. All other staffing arrangements are considered alternative. But the alternative category includes many different types of staffing arrangements. According to the most recent Bureau of Labor Statistics data, about one of 10 U.S. employees is employed in an alternative working arrangement. In a typical corporation, conventional employees may make up about 60 percent of the workforce, with the remaining 40 percent divided among various types of alternative staffing. The 12 most common types of staffing arrangements are defined below. In developing a comprehensive staffing strategy, HR's first task is understanding the advantages and disadvantages of each type of arrangement from three key perspectives: operational, financial and legal. Armed with that knowledge, they can then match the appropriate staffing solution to their employer's specific business needs and objectives. Then, one or more agreements with appropriate staffing vendors can be negotiated and executed. Which alternative staffing solution will work best depends on many factors, including the functions to be performed, time and financial constraints, and concerns about legal risks and liability. There is no one-size-fits-all solution. On the contrary, most organizations benefit from using several arrangements simultaneously. 4.2.2. OPERATIONAL CONSIDERATIONS
In any situation, the optimal staffing solution produces the correct number of qualified workers for the job in the most cost-effective manner. HR professionals must never shortchange operational requirements - getting the job done should be the paramount consideration in any staffing strategy. Even the most elegantly designed staffing strategy will fail if line managers do not continuously see results.
When developing a staffing strategy, pay careful attention to the transition period, whether from regular to alternative staffing, or from one type of alternative staffing arrangement to another. The transition must be carefully planned and implemented in phases, with advance notice to all affected managers and employees. Many well-designed staffing strategies have been short-circuited because of confusion and problems during this phase. Different alternative staffing options require different emphasis in planning. For example, clear communication and written explanations to managers and employees are often enough for the transition to an arrangement with a Professional Employer Organization (PEO), because employees' daily work assignments and supervision should hardly be affected. In contrast, outsourcing a function may lead to layoffs or transfers of regular employees to another company entirely, so the planning process must be considerably more detailed.Time differentials must be factored into arrangements, also. Converting to a technical contract service in lieu of independent contractors can be implemented quickly. But converting from multiple vendors to a master vendor program may take a full year. Maintaining successful operations during that period will be vital. A word of caution about master vendor programs
There is significant controversy in the staffing industry about the legality and propriety of payroll transfers of temporary employees from one staffing firm to another. One such controversy in New Jersey culminated in a 1996 jury verdict of $250,000 against the master vendor, which had been sued for so-called temp-napping - taking several dozen temporary employees from the staffing firm that had originally assigned them to the client company. When entering into a master vendor arrangement, be sure to take into account the concerns and legal rights of outgoing staffing vendors. Once the transition period is behind you, focus on maintaining the staffing solution to meet operational needs. Be flexible; let cost concerns and operational requirements drive the staffing strategy, not vice-versa. 4.2.3FINANCIAL CONSIDERATIONS
HR professionals who carefully assess the costs associated with each staffing option can counter inaccurate but widespread perceptions that they are not attentive to bottom-line concerns, and that HR programs are all expense items the revenue producers must work hard to pay for. Carefully managing a sophisticated alternative-staffing strategy gives HR an opportunity to prove otherwise. Each staffing option is priced differently and all have both indirect costs and direct costs. For example, using traditional temporary employees is attractive because of their relatively low hourly cost, but may increase training costs, produce more absenteeism, interrupt work flow and impair productivity. Those indirect costs must be added to the wage rate to gauge the true cost of using many short-term temporaries, rather than outsourcing the function, implementing a temp-to-lease program, or engaging independent contractors for specific projects as needed.
In assessing an alternative staffing strategy's cost, the bench mark should be the difference between the cost of getting the same volume of work done at the same quality and in the same time frame by regular employees and the cost of using alternative staff. When budget analysts complain that the company is over budget on temps, they rarely compare what it would have cost to have the same volume of work done by conventional employees. Negotiating strategies. HR professionals who want to manage alternative staffing arrangements must become tough, but fair, negotiators. Alternative staffing arrangements require HR professionals to manage business relationships with independent staffing firms, many of which are larger than their clients and more sophisticated about staffing. Negotiating with a staffing firm is not strictly a price-and-terms deal that you take or walk away from. Because the staffing firm will be an integral part of your corporate culture for a long time, and will play a significant role in helping meet your business objectives, it should be viewed as a partner, not an adversary. By better understanding the business and operations of staffing firms, HR can more effectively fine-tune the negotiating strategy to obtain the lowest feasible cost. Negotiating the best price does not mean gouging the staffing firm. If you force it to agree to a price much lower than what other clients are paying, the firm will likely place its highest qualified, most productive employees or consultants with other clients. But do not be reluctant to insist on volume discounts, rebates based on usage, and free value-added services. Many staffing firms offer comprehensive training and crosstraining programs, and they are often willing to allow a client's regular employees to take advantage of their training facilities. The National Association of Temporary and S taffing Services estimates that staffing services spend more than $250 million annually on jobrelated skills training. Competitive bidding is often a useful cost-control technique, but evaluating the true cost of an alternative staffing strategy is far more complicated than evaluating the best price for office furniture. When engaging the services of people, remember that reliability and productivity vary widely. Consider building on an existing good relationship with a staffing vendor, rather than simply awarding a contract to a new firm that promises the lowest hourly rate per person. You may get what you pay for. Similarly, micromanaging a staffing firm's business methods to keep your direct costs as low as possible may produce unintended negative consequences. For example, some companies try to dictate the staffing firm's markup by stipulating the bill rate (what the client firm pays) and the pay rate (what the temporary worker is paid), but this approach eliminates the incentive for the staffing firm to be as creative as possible in finding the right person for the job at the lowest cost. By negotiating only the bill rate, you give the staffing firm a tremendous incentive to work hard for maximum profit per person placed. Unlike purchasing departments or accountants, HR professionals must be able to do more than just negotiate the best price for an alternative staffing solution. They must be able to compare quantitatively the costs of completely different staffing arrangements, taking
into account direct and indirect costs and operational concerns, while factoring in supervision and control issues as well as potential legal liability under each option. For example, once HR decides to use a PEO such as an employee leasing firm, the cost negotiations are fairly circumscribed. But deciding whether to go the PEO route, which PEO to use, and how that decision affects overall benefits administration and staffing clearly falls in HR's domain. 4.2.4LEGAL CONSIDERATIONS
Before entering into any alternative staffing arrangement, HR professionals must understand, and advise management of, the legal implications and potential liabilities that arise with each type of alternative staffing arrangement. There are legal implications in both the relationship with the staffing firm and the relationship with temporary employees working at the company's site. Potential liability varies enormously depending on the nature of the staffing arrangement. A developing legal doctrine, sometimes referred to as co-employment, summarizes the legal relationship, rights and obligations in some alternative staffing arrangements. In traditional temporary help models, the staffing firm and its client are likely to be viewed as co-employers, or joint employers, under most employment laws. But the further the relationship departs from that model, the more difficult it becomes to determine whether or not a co-employment relationship exists. For example, in a true outsourcing relationship, courts may view only the staffing firm as the employer obligated to comply with the employment laws. But in some cases, the client company alone may be liable for a legally invalid staffing relationship. Last year, a court found Microsoft Corp. had misclassified workers as independent contractors; the company had to pay back taxes and penalties, and the workers were retroactively eligible to participate in certain benefits plans available to conventional employees. Potential liability for coemployment varies significantly, depending on two principal factors: the context in which the specific claim of liability is asserted and the specific nature of the alternative staffing arrangement. 4.2.5THE FINAL CONTRACT
Once human resource and management decide on the desired alternative staffing option and identify a qualified staffing firm, the terms of the transaction must be put into writing. Learning the mechanics of negotiating agreements is easier than arriving at the substance of what the agreement is supposed to produce: highly skilled and qualified people to perform specific tasks. Since human resource professionals are expert in the latter, they should not relinquish control of the process when it reaches the contract stage. Instead, they should take the lead and work with legal counsel experienced in writing staffing contracts. Remember, agreements do not create an understanding, they record it. The best agreements accurately and precisely reflect the underlying transaction.
While the terms of the agreement necessarily vary depending on circumstances, here are a few general points to remember: * Beware of preprinted or standard forms: When negotiating an important contract, you must understand and agree with every clause. Anything you don't understand should not be in the agreement. * Clarity is essential - keep your contract simple and straightforward. Clearly define the respective rights and obligations of both sides. Resist the temptation to leave ambiguous provisions for later interpretation. * Consider including an alternative dispute resolution provision. * Make sure the agreement includes a simple opt-out procedure if the company is dissatisfied for any reason - be wary of fixed-term agreements. * Negotiate clear and precise provisions for what happens when the relationship ends or the contract expires - these are the most likely times for disputes to mushroom into unnecessary litigation. HR professionals can best serve their organizations by demanding a role in the management of alternative staffing that is comparable to the part they play in managing staffing policies and practices for conventional employees. HR practitioners can demonstrate leadership in staffing - an increasingly important component of their profession - by developing a comprehensive strategy.
4.3TYPES OF TEMP STAFFING Today's alternative staffing options are flexible and creative enough to meet varied needs of employers. 1. Traditional temporary help . In the traditional scenario, a person is recruited, tested, screened and employed by a temporary help firm. The temporary firm assigns people to work at clients' sites, generally to support or supplement the workforce to cover employee absences, temporary skill shortages, special assignments or projects of finite duration. Temporary employees may be obtained from many different services simultaneously. Some temporary help firms specialize in particular industries or specific types of personnel. 2. Long-term temporary assignments. Many companies now use temporary employees to supplement their regular workforce on an ongoing basis, rather than simply as short-term replacements. The overall. size of the temporary workforce ebbs and flows depending on workload, thus enhancing the stability of the employer's core group of regular employees. 3. Master vendor arrangements. In these arrangements - sometimes referred to as an onsite program or vendor-on-premises - one staffing firm supplies all needed temporary
employees, which consolidates billing and invoicing, and streamlines administration.Generally, the master vendor will assign one or more of its employees to work on the client's premises to coordinate all job orders, orient new temporaries, oversee scheduling, compile reports and statistics on temp usage, and perform other administrative tasks.Master vendors often engage staffing-firm subcontractors (secondary suppliers) to help meet the client's supplemental staffing needs. In such cases, the on-site coordinator serves as liaison with those firms. 4. In-house temporary employees. These are people employed directly on the company's payroll on an explicit temporary basis. Sometimes referred to as "floaters," they typically rotate among departments, depending on work requirements. In-house temporaries are not usually eligible for benefits programs. 5. Payrolling . In payrolling, the company needing help identifies specific people and refers them to a staffing firm, which employs them and assigns them to work at the company. The staffing firm oversees the pre-employment process, administers the payroll, retains employment records, provides workers' compensation coverage, absorbs unemployment costs if the person is laid off, and locates replacements when necessary, usually for a lower cost than that charged for traditional temporary employees. 6 . Part-time employees. Employees scheduled to work less than a regular work week on an ongoing basis may be on the company's payroll or assigned through a temporary service. Their eligibility for benefits depends on various factors, including the number of hours worked and the terms of the company's benefits plans. 7. Independent contractors. Self-employed individuals whose services are engaged on a contract basis are hired to perform specialized tasks generally requiring a high level of independence, judgment, skill and discretion. Independent contractors are compensated on a contract or fee basis, are issued Form 1099s, and are free to render services to other organizations. People who work as independent contractors must genuinely satisfy the legal criteria for that status, or the employer may be held liable for payroll taxes, benefits and other payments. 8. Contract technical workers . Highly skilled technical workers - often professionals such as engineers, electronic data processing specialists or database architects - are supplied for long-term projects under contract between the company and a technical services firm. These professionals often travel or work on projects far from their homes, and may have multi-year or indefinite assignments. 9 . Employee leasing . A company may transfer all employees, substantially all employees, or sometimes just the employees at a discrete facility or site, to the payroll of an employee leasing firm or Professional Employer Organization (PEO) in an explicit joint-employment relationship. The PEO then leases the workers back to the client company and administers the payroll, provides benefits and benefits administration, maintain personnel records, and performs most of the functions normally handled by an HR department.
10 . Outsourcing or managed services . In these arrangements, an independent company with expertise in operating a specific function contracts with a client company to take full operational responsibility for performing that function, rather than just supplying personnel. Companies usually outsource functions peripheral to their core business security, landscaping or food services - but the range of functions companies are outsourcing is increasing. Some companies have outsourced the task of managing their alternative staffing programs. 11. Temp-to-perm programs . These employees are hired on a temporary basis - generally through a temporary help firm - with the understanding that if they perform competently for a specific period they will receive offers of regular employment. 12. Temp-to-lease programs. In these arrangements, a company contracts with two (usually affiliated) staffing firms, generally a temporary service and a PEO. The temporary service recruits, screens, interviews, tests and assigns its employees as longterm temporaries at the client company. After a negotiated period of satisfactory employment, the temporary employee is "promoted" to leased employee status and transferred to the PEO's payroll, becoming eligible for specific benefits through the PEO.
4.4 SAMPLE SURVEY QUESTIONNAIRE ANALYSIS Since I was asked to find the role of HR in temp staffing, I prepared a Questionnaire of qualitative nature among a sample size of fourteen(14)companies,selected randomly.Though its a recent phenomenon, Temp Staffing is practiced by almost every organization nowadays.So in order to reduce any error in sample selection ,the respondents where selected randomly covering almost all the major sectors eg IT ,Infrastructure, BPO, Electricals, Hotels, Insurance, Airlines, Shoes and finally manufacturing. The responses received from the questionnaire are analyzed below one by one.
### REASONS FOR OUTSOUCING TEMP STAFFING
10 9 8 7 6 5 4 3 2 1 0 Concentrate Legal more on core Obligation activities
Easy recruitment and replacement
Cost reduction
Statutory Specialised Complexities Vendor service
Figure 4.2 Diagram showing the comparative analysis of the reasons of temp staffing Explanation
Here in the above cylindrical bar graph the X-axis defines the reasons among the corporates for outsourcing temp staffing from permanent staffing .And Y-axis defines the number of respondents. From this bar graph it is well understood that corporates mainly outsource temp staffing so that they can focus more on the core activities of the organisation.But it can inferred that concentrating more on core areas,flexible and easy recruitment and finally the cost reductions are the main reasons for any organisation for outsourcing.Though there are other significant reasons also,like reducing legal obligation,statutory complexities and Specialized vendor services.It was found that in Call Centres like Vodafofone Customer Care Services,there are specialized call centre managers who are also outsourced and are contractual staffs.The reason stated for a managerial post being outsourced is to get specialised vendor service.Apart from a number of agencies and consultancies ,there are certain specialized thirdparty vendors who has a wide pool of specialised candiadates.Corporates thus, tie up with them and are able to get a varied pool of skilled candiadates required for specific jobs at a much lesser cost. Thus in today’s globalised environment it is the demand of the hour to have a competitive advantage over the others in terms of o Price Quality o Delivery Dates o So, for arriving at an optimum efficiency level in all the three, it is the necessity on the part of the organisation to focus on its products/services,and to cut down the cost.
###NUMER OF YEARS OF ACCEPTANCE <1 1y >1
21%
65%
14%
Figure 4.3Diagram showing the proportion of the number of years of acceptance Explanation
The above piechart shows the number of years of acceptance among corporates .About 65% of the respondents said that they are outsourcing for more than a year,21% informed that they are doing for less than a year and the rest i.e.14% remarked that they are outsourcing only for the last 1 year. Thus most of the companies are Outsourcing the Temp Staff for more than a year. From this information, it can be inferred that Outsourcing of Temp Staffing though a recent phenomenon is a well accepted practice among the big Corporate Houses and HR Professionals .It is meeting the objective with which it was formulated and so is there for quite a substantial period of time.Temp Staffing is in its penetrating stage and will cover almost all the sectors keeping in mind the fluctuations of the economy and business architecture.
###SATISFACTION LEVEL AMONG THE CORPORATES AREAS WHERE THE SERVICES ARE LACKING
7%
7%
7% 14%
Excell Very g Good Fair Poor
65%
Figure 4.4Figure representing the proportion the satisfaction level Explanation
Above chart shows that 65% of the respondents said that the services of the consultancies are good. A very negligible percentage of the respondents said that it is poor (7%).Similar is the case with fair (7%) and excellent (7%).14% of the respondents said that the services are very good. Outsourcing of employees is done mostly for non core functions .This means though these functions are indirectly helping in increasing organizational efficiency but they are not directly contributing to the KRAs of the organization. Also the works done are repetitive in nature so skill up gradation is not that much a vital factor for these temp workers. Hence constant vigilance for higher efficiency, up gradation and innovation are not required so much compared to that with the permanent counterparts. The diagram depicts that very small portion (7%) of the respondents said that the services are excellent. And majority said the services to be good. This proves that though they are satisfied with the regular operational tasks of the consultancies yet there are certain areas where the services should be improved in order to reach optimal satisfaction level.
5%
5%
47%
43%
Timely recruitment
Timely Salary disbursement
Poor ualit of candidates
Efficient statutor com liance
Figure 4.5Piechart showing the proportion of the respondents who are unsatisfied with the services of the consultancies under different category Explanation
Fig 4.5 depicts the areas where the services of the consultancies should be improved. From the above figure it is seen that 47% of the respondents said that services lacked efficiency in terms of timely recruitment and 43% timely salary disbursement .Only 5% respondents said that they are dissatisfied each for poor quality of candidates and inefficient statutory compliance. Timely recruitment and timely salary disbursement are the areas where the services of the consultancies should focus in order to increase the overall acceptability in the industry. This will not only increase the efficiency but also increase the scope of outsourcing business.Corporates will rely more on its efficiency and might outsourcing other functions to the consultancies. Here comes the involvement of the HR professionals in carrying out the operational tasks effectively. CLIENTS’ POINT OF VIEW Every person related to the HR department should understand how far a particular staffing strategy will be feasible, keeping in mind the companies vision and objective inline with the position and responsibility for which a candidate is required. All these factors have to go in line with each other in addition to the companies’ strategic HR policy.Strict demarcation has to be made before giving any requirement to the outsourcing consultancies. Because based on this the candidate will be screened by these agencies. A thorough study has to be made and the specific criterias along with the nature of the job has to be pre stated by the HR department on the client organization’s end.
CONSULTANCY’S POINT OF VIEW
As soon as the HR department gets the requisition for candidates for a particular job, the very first thing that should be done is to analyze the nature of job,its responsibility and its attrition rate (as it is a contractual job).After this candidates should be screened .There should always be a back up pool of candidates in times of acute conditions so that the clients’ should not have a dearth of candidates. ###CATEGORIES OF EMPLOYEES OUTSOURCED
Upper 10%
Lower 60%
Middle 5%
Junior 25%
Figure 4.6 Piechart Showing outsourced Employee Categorization Explanation
The piechart depicts that 60% of the companies outsource their employees working in lower level and performing repetitive tasks (peons, security ,data –entry operator ,accounts executive, sales executive, receptionist etc)It is quite astonishing to find that 10% of the companies are Outsourcing employees belonging to upper level(CEO CFO etc.Though it is a very recent practice in India but many organization have their top management professionals who are the decision makers of the company, on a temporary contractual basis. About 25% of the companies outsource employees from junior level(executive engineer ,HR executive etc).And a mere 5% companies outsource employees from middle level .In wipro ,there are people from middle management level who are outsourced on a temp basis. Thus it can be stated that though mostly employees working in noncore activities are outsourced but some times outsourcing is seen as a valuable means to have an enriched pool of talent having professionals from different fields without bearing long term legal hazards.
###ROLE OF HR IN TEMP STAFFING
26% 44%
30%
O erational
Le al
Financial
Figure 4.7Diagrammatic representation of the role played byHR in temp staffing
Explanation
The above figure states that HR ‘s most vital role is in operations (44%)followed by legal and then financial. Before planning its human resource an organization must understand the need for which the candidate is required keeping in mind the companies long term objectives. Corporate HR, Strategic HR and Operational HR should go hand in hand in order to get optimum result from outsourcing.HR plays the most crucial role here much more than that of legal and financial. This is because depending upon the requirement and necessity the budget allocation of an organization can very.And so, both legal obligations and the cost part are dependent on operational decisions.
### LEVEL OF SATISFACTION AMONG THE CORPORATES
14 12 10 Number of respondents
8 6 4 2 0 YES
NO
Satisfaction level from consultanc services Figure 4.8Diagrammatic representation of the number of respondents who are satisfied with the services of the consultancies Explanation
The above figure 4.8 illustrates that out of fourteen respondents ,thirteen respondents replied that they are satisfied with the services offered by the temp staffing consultancies.Only one respondent is not.From this,it can be inferred that temp staffing is a rising phenomenon and is here to stay keeping in mind the stiff competition and economic fluctuations.
### ADVANTAGES OF OUTSOURCING (TEMP STAFFING)AND HR ENGAGEMENT AS A RESULT OUTSOURCING(TEMP STAFFING)
6%
3%
3%
22%
6%
9%
19% 32%
Opportunity f or organization to focus on core areas
Flexibility of employment
Ease of recruitment and replacement
Long term cost advantages
Benef its of Scale
Tax deductions
Statutor Com lexities
Union Problems
Figure 4.9Piechart showing the proportion of advantages derived from outsourcing Explanation
The above figure states that majority of the respondents (32%) feels that easy recruitment and replacement, focusing more on an organization’s core activities (22%) and long term cost advantages (19%)are the most significant advantages derived out of outsourcing of temp staffing. Added to this there are other reasons also like, flexibility of employment (9%),Union Problems(3%),Statutory complexities(3%),Tax deductions(6%),Benefits of scale(6%). Majority of the respondents said that long term cost advantages and opportunity to focus on core areas are the main advantages of outsourcing. This is evident with the following pictorial representation.
12 10 8 Number of respondents
6 4 2 0
D m s a m s / W P A & R O D E / E m s D P s & T g r a o g r E r a M R g o o r P r M P r p / S E E / O E / n d a / R P Figure 4.10Diagram showing a comparative study of the different programs undertaken by corporates Explanation
The above figure depicts that there are quite a few advantages of outsourcing. Majority of the respondents are in favour of temp staffing and stated that it is because of outsourcing these functions that they are able to focus more on upgradation of skill and knowledge of the direct employees through training and development. Thus it can sated that the cost reduced as a result of outsourcing is quite effectively utilized in Upgradation Programs for direct employees.This not only helps in increasing organizational efficiency but also helps enriching the resource pool and attracting newer talent. Other programs like Employee Orientation Programs, Motivational Programs, Employee Welfare, Performance Appraisal Rewards and Recognition, Organisational Development, Employee Engagement Programs ,Retention Plans and Employee Satisfaction Surveys and finally the MDPs.All these program help in increasing the overall efficiency of the organization.
###DISADVATAGES OF TEMP STAFFING
10% 14%
38%
10% 14%
14%
Less productive than the permanent counterpart
Employee replacement backup
Increase in the number of lawsuits
Less Motivation towards the principle employer
Less bondage towards the principle employer
High attrition rate
Figure 4.11Piechart showing a comparative analysis of the disadvantages of temp staffing Explanation
Fig 4.11 illustrates that 38% of the respondents feels that the temp employees are less productive than their permanent counterpart. This is because of lack of motivation of these temp workers towards their job This affects the organizational efficiency considerably as every job has certain significance in its own. Other disadvantages are employee replacement backup (14%), increase in the number of lawsuits (14%),less bondage towards the principle employer(14%),less motivation towards the principle employer (10%)and finally high attrition(10%) Due to lack off motivation and uncertainty the attrition rate is high for temp employees. As a result there is always a need for temp workers and the consultancies often fail to provide replacement backup. Also, less motivation and bondage towards the principle employer results in an increasing trend in the number of lawsuits, as the temp workers feel that they are being underpaid than their permanent counterparts. They also feel that they are deprived of financial benefits and compensation compared to the permanent staff. Ironically though organization’s are benefited in the short run, but in the broader perspective this concept is creating a negative impact on the society. When an organization is set up in an area ,it creates job opportunities for the people dwelling in that area. More the income of an individual ,more will be the expenditure. This directly contributes to the socio-economic development of the adjoining places surrounding the organization. Similarly when an organization pays less to the temp workers, they hardly contribute anything to the economic development of the place as their wage is bare minimum to meet up their needs. Thus on a macro level for developing countries like India, increase in the number of temp workers is a tremendous threat to the economy as a whole.
4.5 Limitation Though the report was made with utmost precision and accurate information, yet there was certain limitations .These are o o o o
o
Time Constraint Biased feedback Non response Hesitant to disclose confidential information Time Constraint
The project tenure was only of two months and so the time was not sufficient enough to do a full scale study on the temp staffing market. The sample size is only fourteen and this is not sufficient to understand the temp business. o
Biased Feedback
As per the requirement of the report, I interviewed the HR managers and assistant managers, who due to their busy schedule could not devote enough time even with prior appointment. And so there was at times biased answers for some questions. o
Non response
The HR managers due to their busy schedule did not answer some of the descriptive open ended questions due to lack sufficient time.
o
Hesitant to disclose confidential information
Informations regarding temp staffing business are informations related to the HR policy and strategy of the company. And so many HR managers were hesitant to close the exact informations.Due to this there can be some biases in the report.
5. OTHER PROJECTS MY DAYS IN GENIUS CONSULTANTS LTD As partial fulfillment of the course of PGDM it was necessary on our part to undergo a Summer Internship Program in a company. In an attempt to do so I was interviewed and selected for undergoing a project on one of India’s leading consultancies named Genius Consultants ltd.The experience over there was beyond explanation .Though I was given a particular topic to work on ,my guide Mr.Y.P. Singh-President National Operations Outsourcing gave me ample scope and opportunity to learn about thetemp staffing business at large. He asked me to understand each and every procedure done in each of the department of the company.Since I was doing my study on Temporary Staffing Solutions I was asked to do an indept study of the different departments of TSS business namelyRecruitment, Process, Keyaccounts,and Compliance.During the tenure of the project I never felt that I have come to the company for doing my training.The atmosphere over there was so cordial that I always felt to be an employee myself. During my project over there, the company was having employee shortage and this further accelerated my learning in the company.I was often asked to prepare dummy attendance on an excel sheet and uploaded it to their official website. Based on this dummy attendance the salary of the concerned associate will be calculated.This was a great learning for me. Apart from this I sorted the CV’s and uploaded them in the associate’s database in their official website. I was even asked to upload the appointment letters in the appointment letter database in the official website. All these exercises gave me ample scope to know how accountability is maintained in the workplace. All in all it was learning experience for me .Thanks to Genius and of course thanks to the Globsyn and my faculties.
6. SUMMARY AND CONCLUSIONS 6.1 RECOMMENDATIONS
1. To have a well managed 360 degrees HR support for operational, financial and legal functions. 2. To reduce the negative impact that is being created socioeconomically 3. To optimally motivate and utilize the temp workers 4. Huge Scope Ahead
The above mentioned major recommendations are discussed one by one in details below
6.1.1 To have a well managed 360 degrees HR support for operational,financial and legal functions.
It has been found that temp staffing is a contemporary concept and is the only method for the corporates to get rid off unnecessary liabilities but there are certain loopholes where HR (both client and temp agency) needs to improve in order to have a total accuracy level in terms operational,financial and legal . Every HR prior to any decision on recruitment should have a thorough and indepth study of the Corporate,Strategic and Operational HR policies.He/She should be in a position to make choices which would meet all these levels .An organization is not an isolated institution ,so whenever an HR places a requirement for a candidate he/she should have athorough knowledge of the nature of the job,quality of work expected,efficiency required ,attrition rate and finally should be in a position to justify whether it is in line with organisation’s objective or not.
Only if he/she has this knowledge he/she will be in a better position to coordinate with HR in the consultancy .Depending on this the budget of the organization is allocated and then the legal formalities are met. From the consultancy’s point of view, HR plays the most vital role in operations. Timely recruitment and timely salary disbursements are most critical areas where improvements are required and a well formulated strategy should be adopted. Timely recruitment can be ensured if a back up databases of candidates are kept, so that whenever there is a requirement, candidates for lower level are available in abundance .Timely salary disbursement is an area where the agencies really need to increase their efficiency on .All in all, the HR of the temp agency has to understand bit by bit the need and requirement of the organization and constantly follow up with them so that they can transform their satisfaction into delight. 6.1.2To reduce the negative impact that is being created socio-economically
Though temp staffing is a prospective way for the corporates to curtail the unnecessary liabilities and focusing more on core activities ,it is not a permanent solution.If more and more number of employees in lower ,junior and at times senior level also outsourced then it retards the economical development of the country. This is because,the primary motto with which an organization outsource temp staffing is cost reduction.So,when a candidate is placed in a contractual job ,his salary is much less than the the permanent counterpart.Lesser salary means lesser expenditure and saving as because the money is just sufficient to meet the bare minimum for him and his family.Thus socio-economical development of the local places in the vicinity where the organization is set up is slowed down .This is a very critical issue especially for developing countries like India .Thus, the only option in a situation where no organization can do away with temp staffing is to outsource only those employees who are in the lower level only. 6.1.3 To optimally motivate and utilize the temp workers
It is actually a myth that temp staffs donnot need upgradation of skills.Every work has a significance of its own and so has be made perfect .Also the temp workers are always in an uncertainty for their future and so their motivatioval level towards their job and the Principle Employer is quite low.This can be overcomed if the statutory benefits are restructured and some more benefits are given to them.Organisation’s should focus on optimizing the cost not reducing as the former will increase efficiency and performance but latter will incur more costs in supervising and constant invigilation. 6.1.4 Huge Scope Ahead
Keeping the recommendations stated above in mind there is immense scope for the Outsourcing business. Apart from temp staffing many more areas like Background Verification Services, Salary Structure Outsourcing,HR Consulting ,facility help desk, mobilization etc.
Background Verification Services
4%
4%
4%
Salary Structure Outsourci
4% 29%
HR Consulting Substit ute for manpower requirement Facility Help desk
40%
15%
Mobilization Not outsourcing but consul
Figure 6.1Piechartshowing the relative proportion of the future scope of temp staffing
The services of the consultancies have to be tailor made in order to increase the scope of outsourcing. From the fig 6.1 it is seen that 40% of the respondents are interested in outsourcing HR consulting to the temp agencies.29% are interested in outsourcing background verification services of their direct employees.15% are interested in outsourcing facility help desks like support services. A very small portion (4%) of the respondents feel that outsourcing of temp staffing is not a good idea and so can be viewed as s substitution only when there is a dearth of candidates. Also only 4% of the respondents feel that there should not be any outsourcing at all but consulting. According to me this error was due to the lacunas of the services rendered by the consultancies. Hence it can be inferred that Outsourcing has a bright scope ahead only is the limitations are met on the part of the consultancies’.
6.2 LEARNINGS 1) Learning from HR seniors o o o o
Handling delicate situations How to behave and what to say in a corporate environment Handling Confidential and Sensitive Issues Extra Thoroughness
2) Learning from GCL o
Importance of Communication in the hierarchical structure of the corporate world o To adjust to the working culture and coping up with the constraints and still meeting the deadlines 3) Things I learnt and benefited most in this short stint
Handling pressure and meeting deadlines o Corporate Experience in HR o How to handle data, make a report, feed data in the excel sheet and calculate the salary etc. o
REFERENCE SECTION
7. REFERENCE 7 .1 BIBLIOGRAPHY Books referred to : HUMAN RESOURCE MANAGEMEN-Text and Cases by VSP Rao • OUTSOURCING AND INSOURCING IN AN INTERNATIONAL • CONTEXT by Ashlyn M.Schniederjans And Dara G.Schniederjans
Website Visited www.bnet.com • www.shrm.org • www.expresscomputeronline.com • www.geniusconsultant.com • www.workforce.com • www.wikipedia.com •
Articles and Journals referred to • Genius Consultant ltd’s new brochure • Articles from bnet business network • Articles from Strategic Human Resource Management’s official site.
7.2 ABBREVIATIONS Sl No ABBREVIATION 1. GCL 2. HR 3. KRA 4. CEO 5. PSS 6. TSS 7. PPS 8. BVS 9. MRD 10. ITes 11. IT 12. Temp 13. FMCG 14. MNC 15. PEO 16. CFO 17. T&D 18. E/O 19. E /M 20. E/W 21. PA 22. R&R 23. OD 24. E/E 25. R/P and E/S 26. MDP
FULL FORM Genius Consultants Ltd. Human Resource Management Key Result Areas Chief Executive Officer Permanent Staffing Solutions Total Staffing Solutions Payroll Processing Services Background Verification Services Manpower Recruitment Division Information Technology Enabled Services Information Technology Temporary Fast Moving Consumer Goods Multinational Company Principle Employer Organization Chief Financial Officer Traning and Development Employee Orientation Employee Motivation Employee Welfare Performance Appraisal Rewards and Recognition Organizational Development Employee Engagement Retention Plans and Employee Satisfaction Management Development Programs
ANNEXURE
8. ANNEXURE 8.1 SURVEY QUESTIONNAIRE QUESTIONNAIRE FOR TEMP STAFFING
Name: Designation: Organization: Date: [Tick (
) where applicable beside the boxes given below]
Q.1)Why does your organization outsource temp staffing activities? Concentrate more on core activities Legal obligation associated with long term employment Easy recruitment and replacement Cost reduction Statutory Complexities Anyothers please specify……………………………………………………… Q.2) How long have you been outsourcing? <1 year 1 year >1 year Any others please specify………………………………… Q.3) which are the consultancies you have outsourced the temp staffing activities to?
Ans…………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………….
Q.4)Are you satisfied with the services rendered by the consultancy ? Yes
No Q.5)If yes,rate the satisfaction level derived from the service rendered by the consultancy. Excellent Very Good Good Fair Poor Q.6)If not, Why? Ans…………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………….. Q.7)In what way do you think the functions /services would have been better? Timely recruitment Timely salary disbursement Poor quality of candidates Inefficient statutory compliance Q.8)Which categories of employees are generally outsourced?
Junior Middle Lower Anyothers please specify………………………………….
Q.9)In what way do you think HR plays a vital role in the entire gamut of temp staffing?
Operational
Legal Financial Anyother please specify…………………………………………… Q.10)Are you satisfied/convinced with the temp staffing concept practiced by your organization? Yes No Can’t say Q.11) What are the advantages of outsourcing from the organization’s point of view? Opportunity for organization to focus on core areas Flexibility of employment Ease of recruitment and replacement Long term cost advantages Benefits of Scale Tax deductions Anyother please specify……………………………………………………..
Q.12) What are its disadvantages? Less productive than the permanent counterpart
Employee replacement backup
Increase in the number of lawsuits Anyother please specify…………………………………………………… Q.13)Are the outsourcing activities meeting the objectives with which it was meant to be? Yes No Q.14)If yes, how please specify./If not why please specify. Ans…………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… …………………………………………………………………………………………………. Q.15)Which are the other activities the HR team of this organization is focusing on more as a result of outsourcing? Ans…………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………….. Q.16)Do you think the outsourcing activities are helping in increasing the organizational efficiency? Yes No Q.17)If yes,please specify how and if not how it is effecting?
Ans…………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………….. Q.18) Suppose given a situation would you like to outsource anyother aspect consultancies in future?
to the
Yes No Q.19)If yes, which are the other activities you want to outsource which you think would help in increasing organizational efficiency? Background Verification Services Salary Structure Outsourcing
HR Consulting Anyother
please
specify……………………………………………………………….. Any suggestions please ………………………………………………………………….. …………………………………………………………………………………………… …….. ……………………………………………………………………………………………. …………………………………………………………………………………………… …………. Thanks for your kind cooperation. This data will be of immense help in preparing my project report.
8.2PROJECT ACTIVITY LOG WEE K Week 1
Week 2
Week 3
Week 4
Week 5 Week 6
Week 7
Week 8
ACTIVITIES PERFORMED From 22nd to 23rd ,I have been reading the HR and Business Policy Manuals which consists of all the Hr practices of the company. Then I was asked to give a presentation to my guide Mr.Y.P. Singh about what I have understood so far. Then he asked me to go through the different processes which is done in different heads and get a hands on knowledge. Till 30th april,I was asked to go through all the departments under outsourcing and to find out what are all other HR outsourcing techniques which other countries are practicing searched extensively through internet and could get some data. Added to this I was asked to upload the CVS and the APPOINMENT LETTERS of the temporary associates/employees employed in different companies. I was asked to do this for SIMPLEX INFRASTRUCTURES LTD and then for MAGMA and then for MITRASK. I have been doing uploading of the CV's and scanning the APPOINMENT Letters and then uploading the appointment letters in their website for payroll management called GSPPI.I also went to the library and read the HR manual y and business manual of the company to know more about temp staffing and its operations. I searched different websites like CiteHR ,salary .com ,www shrm.org ,bnet business network and others. On Saturday I prepared a synopsis of the project.I was also engaged in recruitment department on Friday and Saturday.Along with this I have been scanning and uploading appointment letters of Family Credit Limited This week I researched extensively and after taking the feedback from my guide aI have prepared a questionnaire on temp staffing for the clients . This week I have prepared two questionnaires on temp staffing. After preparing one questionnaire, after some days some upgradation was done and I had to modify it. Finally the 2nd questionnaire was selected .Apart from this I am uploading the CVS and the APPOINMENT letters of Khadims India Ltd .I have also prepared a master sheet of Employee database of Johnson Controls Ltd. Finally I started my survey. The allotted me with 10 client's name. I started with WIPRO.I met the concerned person on 4.06.08.I was asked to give feedback everyday, So I used to coordinate with Ms Rashmi Yadav-Director and Mr.Y.P.Singh –President. This week, I went to metal junctions office in TATA centre and family credit. I also went to hotel kennelworth,Hindustan Unilever Ltd.Lastly I went to Sahara Sadan .All these people were quite cordial and I got fair feedback from all of tem except Hindustan Unilever.Then I went to ABP and VODAFONE,