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A Company, Xylo Limited, is Setting up a New Plant in India for Manufacturing Auto Components. India is a Highly Competitive and Cost Effective Production Base in this - Business Studies

Answer in Brief

A company, Xylo limited, is setting up a new plant in India for manufacturing auto components. India is a highly competitive and cost effective production base in this sector. Many reputed car manufacturers source their auto components from here. Xylo limited is planning to capture about 40% of the market share in India and also export to the tune of at least ` 50 crores in about 2 years of its planned operations. To achieve these targets it requires a highly trained and motivated work force. You have been retained by the company to advise it in this matter. While giving answers keep in mind the sector the company is operating.
Questions:
a. Outline the process of staffing the company should follow.
b. Which sources of recruitment the company should rely upon. Give reasons for your ecommendation.
c. Outline the process of selection the company should follow with reasons.

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Solution

a) Xylo is planning to capture 40% of the market share in India and also export to the tune of atleast Rs 50 crores in about 2 years of its planned operations. In order to achieve these targets it requires a highly trained and motivated work force. The process of staffing the company should follow like this:-

b) Since Xylo is setting up a new plant in India, it must focus on the external sources of recruitment. This includes Campus recruitments, advertisement, direct recruitment, labour contractor etc. Since the target is big they must hire skilled persons who have the ability to express themselves fully and competitive and will work harder in order to achieve the set target.

c) Since a large number of applications will be received, the company must select only those candidates who are really skilled and fit to join the organisation. The company must go through the selection process:-

• Preliminary Screening- In this round, the recruiter eliminates or disqualifies the candidate based on certain grounds who doesn’t qualify the eligibility to proceed further rounds.

• Selection Test- After the preliminary round, the candidates are required to sit for a test. It can be of various types- Intelligence test that judges the intelligent quotient of an individual, Aptitude test which tests the problem solving ability, personality test that tests on the emotions and reaction of an individual, Trade test that tests the skills of the candidate and interest test which checks the depth of interest of a candidate in a particular field.

• Employment interview- The passed candidates of the test are made to sit in the interview. There are two types of interview 1) Technical Interview that test for practical knowledge of the matter 2) HR interview that tests the general intelligence of the candidate.

• Reference and Background Check- Here the recruiter checks for the history records of the candidate. They normally ask the previous employer or university professor etc.

• Selection Decision- The final selection among the students is made on the basis of the interview and the tests. The views of the concerned manager will be generally considered in the final selection because he/she is responsible for the performance of the new employee.

• Medical Examinations- The selected candidate is required to pass a medical test which test if there is any chronic ailment in the patient. The job is given when the patient is declared fit for the job.

• Job Offer- This job offer is given to all the candidates who have successfully passed the test, interview and medical round. This job offer contains the approval of the job, date and time of reporting at the particular organisation.

• Contract of Employment- After the candidate accepts the job offer, certain verification of certificates need to be done and the contract containing the terms and conditions of the job is mutually signed by the manager and the new employee.

Concept: Staffing - Selection Process
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