ABSTRACT

This project is being done to understand the process of recruitment and selection
in the banking sector. As recruitment and selection is one of the core aspects of
HRM, it cannot be ignored by any means. The study is focusing upon the
method of interview used in pre and post Covid-19 situation. It also helps us to
analyse the effect that these methods have on the overall productivity and the
performance of the organization.

The purpose of the research is to identify the problems relating to the

recruitment and selection methods and sources used in different ways by
organizations. To provide the best available information and research materials
on the different procedures adopted by organizations on the recruitment and
selection methods and analyse their expectations and outcome of the
procedures.

Thus, the overall view of the HR practices will be monitored and evaluated.

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 ACKNOWLEDGEMENT

We have made many efforts to complete this research project. However, it

would have not been possible without the help and support of many individuals.
So we would love to express special thanks to them.

We would like to be obliged to all those who has helped us in completing this
report. Special thanks to our supervisor Mr. Ujjwal Kumar Pathak, whose
help gave us confidence and the golden opportunity to do this wonderful project
and study about the Recruitment and Selection Process in Banking Sector .

We also appreciate our colleagues and all the respondent in developing the
Project. Special thanks to our collage who gave us this opportunity to work on
such Project. We gained good knowledge from this project.

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Table of contents
Sl. No. Contents Page no.

1. Keywords 5
2. Introduction 6-8

3. Literature review 8-10

4. Research objectives 10
5. Scope of Study 11

6. Research methodology 11-12

7. Data analysis and interpretation 12-19

8. Limitations 19
9. Conclusion 19-20

10. References 20-21

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 KEYWORDS

Recruitment

Selection

Banking sector

Human Resource Management

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 INTRODUCTION

Human resource is the most important asset of an organization. One of the important
functions of human resources is planning. Planning ensures the right person, in the right
number, at the right time and place. Recruitment and selection plays a vital role in any
organization, especially during shortage of skills.

Modern banking system plays an important role for a nation’s economic development.
Present world is changing rapidly to face the challenge of competitive free market economy.
Human beings become human resources when their skills and abilities are developed to
undertake some productive activities which are useful to them and their society. The need for
effective human resources management is seen vastly in large organizations. The Bank has a
Human Resource Development & Research Department to develop human resources
internally.

As we move through the 21st century where a globalize workforce is the basis of
competition, we find that the principles of human resource planning, recruitment, selection,
and development are of prim importance.

Recruitment and selection process play an important role to attracting and appointing
qualified personnel. Getting the right people in the right place at the right time doing the right
job is an essential element of recruitment and selection process in any organization.
Attracting highly qualified and skilled employees is important for an organization to compete
effectively both in national and global markets. But mismatch between the candidate and job
can cost an organization a great deal of money, time and energy. That’s why it is vital that
organizations select people with the quality essential for continued success in this competitive
global village of today. The only means of achieving this success is through proper
recruitment and selection practices.

RECRUITMENT:

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Recruitment is the process of finding and hiring the best qualified candidates in effective
manner. Recruitment process includes analysing the recruitments of a job, attracting talent for
the job vacancies, screening and selecting right applicants, hiring and onboarding new
employee.

TYPES OF RECRUITMENT:

Þ Internal Recruitment: Internal recruitment means the process of hiring the

applicants within the company. Internal Recruitment includes various sources:

i. Promotion: This recruitment is based on individual’s performance; it

means that transferring an employee to new position with higher pay and
privileges.
ii. Employee Referrals: This is the process in which an organization asks its
existing employee to recommend talented candidates from existing
networks.

Þ External Sources: External recruitment seeks applicants for positions from outside
the company.

i. Campus recruitment: Campus recruitment is the process in which

companies come to campus, conduct interviews, and hire talented
candidates.
ii. Advertisement: This is an informative text that informs people that a job
is available.
iii. Various Job Portals: These are the sites where candidate can search for
the desired job and upload their resumes.

SELECTION :

After recruitment process, there is next important step is selection process. Selection process
means putting right person on right job.

SELECTION METHODS:

i. Group Discussion: The method followed by the companies to check certain skills
and personality.
ii. Test: Companies conduct tests to determine an individual’s ability, capacity, and
personality
iii. Interview: This step helps company to understand candidate’s personality,
background, strengths, and weaknesses. This one-to-one conversation helps
interviewer to know that who is the good fit for company.

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 Job Analysis
1) Job Description
2) Job Specification

Talents
Qualification

Selection Method
Recruitment Sources
1) Group Discussion
1) Internal Sources
2) Test
2) External Sources
3) Interviews

REVIEW OF LITERATURE

This chapter deals with the recruitment and selection process of company. Various literatures
have been reviewed and information related to this study has been mentioned in this chapter.
With reference to the current context, this paper presents an acute review of previous
literature on the recruitment and selection process.

There are many researchers, who have contributed to the field of HRM. Their research in this
field has offered detailed and life-changing knowledge to recruitment and selection.

The Process of Recruitment and Selection

• Hoi.H.H, (December 2013) in this paper the author has assessed the efficiency of
service businesses' recruiting and selection methods and processes, such as Kelly
services and GD Express (GDEX). The requirement for services-based companies to
attract and choose a highly capable and qualified staff in a tight and competitive
market necessitated the adoption of best practises in recruiting and selection. Its
purpose was to look into Kelly Services' and GDEX's recruiting and selection
procedures, as well as the efficacy of both businesses' practises and ways to enhance
them. Three research questions were answered based on the examination of best
methods in recruiting and selection. The implementation of best practises in both
businesses is investigated first. Second, the efficacy of the techniques of recruiting
and selection is being considered. Finally, a comparison is performed between Kelly
Services and GDEX's recruiting and selection procedures to decide whether business
employs better tactics.

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• Bhoganadam.S.D, Dr Rao.D.S (2014) in this study the author says because human
capital is the most valuable and prized asset, corporate organisations have been
focusing on it more in the last decade. Organizations must carefully map available
human resources while recruiting candidates since they provide a competitive edge.
Organizations with the highest human capital availability get a competitive edge and
become the true lifeblood of the business. The purpose of this study is to conduct a
literature evaluation of the recruiting and selection processes used in organisations.
Both primary and secondary data were used in the study. Using the questionnaire
approach, primary data was obtained from 40 employees. The percentage technique
was used to achieve the findings. According to the conclusions of the study, Sai
Global Yarntex Private Limited employs the best recruiting and selection practises,
and employees are happy with the organisational atmosphere and ethical recruitment
policy.

• Anushyayogarajan, Soundarrajan.S.N, (2017) in this research paper author says

that the company closely monitors the recruitment process since it ensures the
organization's future growth. For many businesses, the term recruiting has become a
logistical term for human resource capital. Due to the introduction of consultancy,
business organisations are developing current recruiting and selecting processes. The
purpose of this research is to investigate the recruitment and selection processes used
by recruitment agency's client firms. Organizations with the highest human capital
availability get a competitive edge and become the true lifeblood of the business.

• Mankikar.S (2014) in this research the aim is at examining the impact of factors that
influence recruitment and selection Strategic recruiting initiatives have resulted in
significant improvements in recruitment methods. HR consulting businesses have
demonstrated their relevance in the talent acquisition sector as a major contributor.
The sample size for this study was 105 respondents, and the sampling procedure was
easy random sampling. Interviews and questionnaires were used to gather primary
data. The Chi square test of independence was used to test the hypothesis. The
relationship's strength was also determined using phi and Cramer's V. An
organization's recruiting policy is influenced by the nature of its job and the industry
in which it works. The recruiting policy is influenced by several internal and external
variables. The organization's recruitment efforts will be influenced by the
employment conditions in the community where it is based. Market for Workers
Communicates demand supply figures, industry remuneration norms, and current
market trends, among other things.

• Rod, D (1995) is of the opinion that many factors combine to make selection and
recruitment practice and research a lively area and at he forefront now of the drive
towards management excellence. As a body of knowledge, it has been strengthened
by having to prove its usefulness during the 1960s and 1970s and now there is more
realization that both excellence in recruitment and selection, along with training,
appraisal systems, and organizational design/reengineering, together can contribute to
strong organizations in the future.

• Dora, S (2003) states hat recruitment and selection experiences are part of a process
of pre-entry organizational socialization, also known as anticipatory socialization.
Graduates are susceptible to such effects as their socialization through exposure to
professional employers begins during training. Employers ‘practices are thought to

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 contribute to the formation of realistic career expectations and the initial
psychological contract between graduates and employers. The present study found
that students in traditional professions reported greater exposure to employers than
students in an emerging profession through work activities, more proactive
engagement in recruitment events, and more extensive experience of selection
processes at similar stages of study. Greater activity, in turn, was related to career
expectations, including varying levels of commitment to and interest in the profession
and career clarity.

• Alka, R (2014) states that recruitment and selection is the important function
of HRM. Proper recruitment and selection provide a strong basic structure/ foundation
to an organization. Its basic objectives to attract and appoint a person with proper and
adequate skills and qualification at the appropriate/ best fitted job. Modern era is
techno savvy. Online recruitment and selection process help the organization to attract
and manage the competent workforce. The main objective of this article is to
understand the meaning and process of online recruitment and selection
process. Many online recruitment agencies are also emerging as a popular and
reliable source of recruitment. Some of them are discussed in the article. Special focus
is given on the online recruitment and selection process adopted by IBPS. Use
of information technology in recruitment and selection process provides benefits to
both the recruiter and the job seekers in many ways.

Links for Literature Review

http://umpir.ump.edu.my/id/eprint/8749/1/cd8449.pdff

http://ijmrr.com/admin/upload_data/journal_Syamala%20%20%205Oct%2014mrr.pdf

http://ijariie.com/AdminUploadPdf/A_STUDY_ON_RECRUITMENT_AND_SELECTI
ON_PROCESS_ORGANIZATION_WITH_THE_HELP_OF_RECRUITING_AGENC
Y_ijariie6443.pdf

https://www.worldwidejournals.com/paripex/recent_issues_pdf/2014/March/March_201
4_1394869693_a457c_38.pdf

https://www.academia.edu/37203080/Recruitment_and_Selection_in_Banking_Industry

RESEARCH OBJECTIVES

1. To understand the current recruitment and selection policy in the banking sector.
2. To examine the effect of recruitment and selection process on the overall performance
of the organization.
3. To conduct comparative analysis about the traditional and present interview methods.
4. To explore the challenges faced in the process of recruitment and selection.

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 SCOPE OF STUDY

• This study provides opportunity for research and survey on recruitment and selection
procedures for employees in solving troublesome structure of HRM.
• The present study on Recruitment and selection process helps to get clear picture
about the employee Recruitment and selections.
• An effective approach to recruitment can help a company successfully complete for
limited human resources.
• This study covers two areas of the banking sectors’s strategy for recruitment and
selection practices. These areas include the recruitment process and the selection
methods.

RESEARCH METHODOLOGY

The methodology of the study will be designed and developed in the following ways:

i. Sampling Technique:
In the study, we will use purposive sampling technique for collecting data from Public
and private banks.

ii. Sample size:

In the study, 3 HR managers are selected from Private banks and 3 from government
bank. So, a total of 6 HR managers are selected. 3 banks are selected from
Shikohabad, 3 Banks from Lucknow(UP).

iii. Sample Unit:

The data will be collected from branches of Government banks: State Bank of India,
Bank of Baroda and Punjab National Bank. For Private bank, branches of HDFC
Bank, Axis Bank and Kotak Mahindra Bank are selected.

iv. Data Sources:

There are two sources of data. These are as follows:
a) Primary Data
b) Secondary Data

v. Data Collection Methods:

The primary data will be collected from the sample respondents of Government and
Private banks through the structured questionnaire.
The secondary data will be collected from the following sources:
a) Published books
b) Published articles
c) Published journals
d) Newspaper Articles

vi. Method of analysis

In the study, Data will be analysed with the Interviews using questionnaire.
Visual aid:

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 Pie Diagram: Pie diagram is a pictorial representation of a statistical data with
several subdivisions in a circular form. It consists of a circle sub-divided into several
sectors by radius. The area of sector is proportional to the values of the
components.

DATA ANALYSIS AND INTERPRETATION

Name Name of Bank Location Gender Position

Rajneesh HDFC Shikohabad(UP) Male Assistant
Kumar Manager
Tripathi
Neha Singh Axis Bank Shikohabad(UP) Female HR- Trainee
Sakshi Gupta Bank of Shikohabad(UP) Female Employee
Baroda
Akash Kumar Punjab Lucknow Male Employee
National Bank
Rajeev Kotak Lucknow Male Assistant
Srivastava Mahindra Manager
Bank
Preeti Singh State Bank of Lucknow Female Assistant
India

Table 1: Details of Respondents

Graph 1: Recruitment Sources

Interpretation: From the above graphical representation, it can be clearly seen that
16.7% of the respondents are hiring employees internally and 83.3% are hiring
employees externally.

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 Graph 2: Policy of Training to Employees

Interpretation: From the above graphical representation, it can be seen that 16.7%
HRs think that no training is given to employees in their bank while 83.3% believe
that training is given and there are policies for training and development.

Graph 3: Satisfaction of Management

Interpretation: From the above graphical representation, it can be seen that 16.7%
HRs think that employees are not performing according to management while 83.3%
believe that employees are performing according to the management.

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 Graph 4: Bank outsource in HR Functions

Interpretation: Graphical (4) representation of bank outsource in HR functions

shows that 66.7% of HRs think that bank is not outsourcing in HR function and on
the other hand 33.3% think that their bank is outsourcing in HRs function.

Graph 5: Appropriate selection process

Interpretation: The graph given above shows that 83.3% think that their banks have
appropriate selection process but 16.7% think that HR department in their bank
is not appropriate in terms of selection process.

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 Graph 6: Main Focus of Staffing in Bank

Interpretation: This graph shows that HRs look 83.3% of technical skills in
Candidates and 16.7% problem solving skills in candidate. HRs in the banking sector
are giving more priority to technical skills.

Graph 7: Handle Work-related Stress

Interpretation: According to HRs , HR Management is helping employees to

handle work-related stress in different ways. As to reduce the stress management
is giving 50% of training, 16.7% of motivation and 33.3% of independency. This
shows that management is more focused towards training.

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 Graph 8: Media used for Recruitment and Selection

Interpretation: According to this graph 50% of the candidates are taken through
newspaper and 50% are taken through recruitment agencies.

Graph 9: Important Management Functions

Interpretation: This graphical representation shows that 83.3% of the bank’s

management focus on organizing and 16.7% are focusing on controlling.

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 Graph 10: Using Structured and Standardised Interviews

Interpretation: From the above given graphical representation, we can see that
83.3% HRs agree that they are using structured and standardised interview and 16.7%
strongly believe that they are using structured and standardised interview.

Graph 11: Fair Incentives Practices

Interpretation: This graphical representation shows that 33.3% of HRs strongly

believe that bank management is fair in incentive practices and aimed at rewarding to
those who accomplish their goals and 66.7% only agree with the statement.

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 Graph 12: Performance-based Appraisal

Interpretation: According to this graph, 33.3% of the HRs strongly agree and 33.3%
only agree that the banking management is providing performance-based appraisal,
while 33.3% are neither agree nor disagree with the appraisal policy.

Graph 13: Best HR Practices

Interpretation:
The above given graphical representation shows that 66.7% of the HRs agree that
their bank is following best HR practices, 16.7% strongly agree and 16.7% are neutral
on this statement. Nobody disagrees with the HR practices.

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 Graph 14: Impact of outsourcing in banking performance.

Interpretation: According to the above graphical representation, 83.3% of the HRs

think that outsourcing is impacting good in banking performance while 16.7% find it
average. No HR thinks that banking performance is excellent or very poor. But yes,
this shows that they are satisfied.

LIMITATIONS

This topic is often handled with ambivalence. It is not ignored, feeling that mentioning
limitations detracts from the impact of the study; this attitude is unprofessional and possibly
unethical. The section is a thoughtful presentation of significant methodology or
implementation problems. An even-handed approach is one of the hallmarks of an honest and
competent investigator. All research studies have their limitations, and the readers need aid
in judging the study’s validity.
• Workers are very busy, especially the top-level management personnel as they are
busy, they didn’t responded for investigation.
• The majority questions in the questionnaire were limited to the executives only.
• Time constraint is another limitation of the study.
• Many employees are satisfied but there were few who need some changes in HR
policies and recruitment and selection process.

CONCLUSION

From this study on the effectiveness recruitment and selection process reveals that the banks
are mainly going with wide distributions of advertisement for recruitment. Banks are
getting right person to the right job to meet the organizations requirements and to retain the

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employees. It can be concluded that the recruitment procedure of the banks are satisfactory
and effective. According to the job description and job specification, interview methods vary
from job to job. Majority of the employees joined the banks just because job security and
future prospective. To face the future challenges, banks should take steps to recruit talented
young people.

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12. Ofori, D. and Aryeetey, M., 2011. “Recruitment and selection practices in small and
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