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Inducting and Placing New Hires

LEARNING OBJECTIVES
After reading this chapter you should have a good understanding of:
The nature and purpose of orientation and appreciate its role in HRM
The different stages in the orientation process and describe each step
The problems faced in placement of new hires and find solutions to solve the issues.

After an applicant has been hired, he or she must be oriented and placed on the chosen job. This chapter is
devoted to a detailed discussion on orientation and placement, in that order.

INDUCTION
Induction, also called orientation is designed to provide a new employee with the
information he or she needs to function comfortably and effectively in the organisation.
It is a planned introduction of new hires to their jobs, their peers and the company.
Typically, orientation conveys three types of information(i) general information about the daily work routine; (ii) a review of the rms history, founding fathers,
objectives, operations and products or services, as well as how the employees job
contributes to the organisations needs; and (iii) a detailed presentation, perhaps, in
a brochure, of the organisations policies, work rules and employee benets1. Table 8.1 on page 221 shows
topics covered in orientation programmes.

Orientation is a systematic and planned introduction of employees to their


jobs, their co-workers and
the organisation. It is also
called induction.

Purpose of Orientation
Firms are known to spend a few weeks or even months on orientation programmes. The idea is to make the
new employees feel at home in the new environment. It is a well-known fact that employees feel anxious
on entering an organisation. They worry about how well they will perform on the new jobs. They feel inadequate when they compare themselves with the more experienced employees, and they are concerned about
how well they will get along with their co-workers. Effective orientation programmes reduce the anxiety of
new employees by providing them information on the job environment and on supervisors, by introducing
them to co-workers, and by encouraging them to ask questions.
The ease with which employees adjust to a new job and work environment is, often, a function of the
expectations they bring to the job. If expectations are realistic, adjustments will be relatively simple. If,
however, expectations are unrealistic or unreasonable, adjustment will be more difcult. In the latter case,
orientation can be instrumental in modifying employee expectations.2

Inducting and Placing New Hires

221

In one study of considerable importance, researchers discovered the following about new employees:
1. The rst days on the job were anxious and disturbing ones.
2. New employees initiation practices by peers intensied anxiety.
3. Anxiety interfered with the training process.
4. Turnover of newly hired employee was caused primarily by anxiety.
5. The new workers were reluctant to discuss problems with their supervisors.
Employee orientation is aimed at minimising such problems.3
Orientation seeks to expose new employees to all areas of the company. This prevents inductees from
getting overspecialised. Induction makes new hires become productive to the company quickly.
Finally, a good orientation programme will create a favourable impression of the rm and its work. Just as
a favourable rst impression of an individual helps to form a good relationship, so a good initial impression
of a company, a co-worker, or a supervisor can help a new employee adjust better.4 Further, effectiveness
of an orientation programme can have a lasting effect on absenteeism and turnover.
First developed in the US during early 1970s, orientation is gaining popularity. Several blue chip companies
are orienting their new hires. Prominent user companies are the Taj Group of Hotels, Colgate-Palmolive,
Hindustan Unilever and P&G.

ORIENTATION PROGRAMME
A rm needs to make four strategic choices before designing its orientation programme. They are
(i) formal or informal, (ii) individual or collective, (iii) serial or disjunctive, and (iv) investiture or divestiture.5 (See Fig. 8.1)
Fig. 8.1

Strategic Choices of Orientation

Formal or Informal In informal orientation, new hires are directly put on the jobs and they are expected
to acclimatise themselves with the work and the company. In contrast, orientation can be formal too. In
formal orientation, the management has a structured programme which is executed when new employees
join the rm. (Formal orientation will be explained later in detail.)
The choice between formal and informal orientation will depend on the managements goals. The more
formal the programme, the greater the likelihood that the new hire will acquire a known set of standards.
That is, the new member is more likely to think and act like an executive, a management trainee, or a
management professor. But an informal programme is desirable to maintain individual differences. Innovative
ideas to solve organisational problems and healthy questioning of the status quo are likely to be generated
by a person who has been inducted informally.

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Human Resource Management

Individual or Collective Another choice to be made by the management is whether the new hires should
be inducted individually or in groups. The individual approach is likely to develop far less homogeneous
views than collective orientation. Individual orientation is more likely to preserve individual differences and
perspectives. Orienting each person separately is an expensive and time-consuming process. It also denies
the new hire the opportunity of sharing anxieties with fellow appointees.
Collective orientation of the new hires solves the problems stated above. Most large rms tend to have the
collective orientation approach. But small rms, which have fewer new appointees to socialise, frequently
use the individual approach. Individual socialisation is popular even with large rms when they hire executives whose number is small.
Serial or Disjunctive Orientation becomes serial when an experienced employee inducts a new hire. The
experienced employee acts as a tutor and model for the new hire. When new hires do not have predecessors
available to guide them or to model their behaviour upon, the orientation become disjunctive.
Each option has its own advantages and pitfalls. Serial orientation maintains traditions and customs.
Consistent use of this strategy will ensure a minimum amount of change within the rm over time. But,
maintenance of status quo itself may breed resistance to change. Further, if the experienced employee is
frustrated and apathetic towards work and the rm, it is likely that he or she would pass on the same to the
new hire.
Disjunctive orientation almost stands on the other side of the spectrum. Such induction is likely to produce more inventive and creative employees because the new hire is not burdened by traditions. But this
benet needs to be weighed against the potential for creating deviants, that is, individuals who faildue to
an inadequate role modelto understand how their job is to be done and how it ts into the grand scheme
of the company.
Investiture or Divestiture The nal strategic choice relates to the need for maintaining or dismantling of the new hires identity. Investiture orientation seeks to ratify the
usefulness of the characteristics that the person brings to the new job. Most high-level
appointments follow this approach, because a person is appointed as an executive on
the basis of what he or she can bring to the company. The new hires are given freedom
to select their ofce furnishings and subordinates and to make other decisions that
will reect on their performance.
Divestiture orientation, on the other hand, seeks to make minor modications in
Divestiture orientathe characteristics of the new hire, albeit, he or she was selected based on his or her
tion seeks to make
minor modications in the
potential for performance. This is done to seek a better t between a new member
characteristics of the new
and the rm. This ne-tuning may take the shape of requiring the appointees to
hire, though he or she was
sever old friendships, accepting a different way of looking at their jobs, peers, or the
selected based on his or
organisations goals. The new hire may even be made to undergo harassment (simuher potential for perforlated or mock) at the hands of a senior staff to verify if he or she can be moulded
mance.
to the requirements of the rm, if required. Divestiture strategies are followed for
inducting new hires into military, professional football, police academies, fraternal groups, religious cults,
and self-realisation groups. The premise behind divestiture strategies is to dismantle the old mindset of the
new member so that instilling a new set of values or norms becomes easy.
Orientation programmes range from brief, informal introductions to lengthy, formal programmes.
In informal orientation, new employees are instructed to report to the HR department for an explanation of
Investiture orientation seeks to ratify the
usefulness of the characteristics that the person brings
to the new job. Most highlevel appointments follow
this approach.

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223

company policies before being referred to the immediate supervisor for an on-the-job brieng on specic
work procedures. Informal orientation tends to be brieflasting one hour or even less.
Formal orientation is elaborate and is spread over a couple of weeks or months. (see Fig. 8.2). Most
formal programmes consist of three stages(i) a general introduction to the company, often given by the
HR department; (ii) specic orientation to the department and the job, typically given by the employees
supervisor; and (iii) follow-up meeting to verify that the important issues have been addressed and employee
questions have been answered.6 This follow-up meeting usually takes place between a new employee and
his or her supervisor a week or so after the employee has begun working.
Fig. 8.2

Formal Orientation Programme

A formal orientation programme is shared by the HR specialists and the supervisors. The former covers
such areas as organisational issues, employee benets, and introductions, while supervisors outline mainly
job duties (see Table 8.1).

Table 8.1

Topics Often Covered in Employee Orientation


Programmes
Organisational Issues

History of employer
Organisation of employer
Names and titles of key executives
Employees title and department
Layout of physical facilities

Probationary period
Product line or services provided
Overview of production process
Company policies and rules
Disciplinary regulations
Employee handbook
Safety procedure and enforcement
(Contd.)

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Human Resource Management

(Contd.)
Employee Benefits
Pay scale and pay days
Vacations and holidays
Rest breaks
Training and education benefit
Counselling

Insurance benefits
Retirement programme
Employer-provided services to employees
Rehabilitation programmes

Introduction
To supervisor
To trainers

To co-workers
To employee counsellor
Job Duties

Job location
Job tasks
Job safety requirements

Overview of job
Job objectives
Relationship to other jobs

Some companies also provide new employees with special anxiety-reduction seminars. Such seminars
may be used to focus on information about the company and the job and allow opportunities for questions
and answers. The new employees may be told what to expect in terms of rumours and hazing from old
employees.7 They may also be told about the chances of succeeding on their jobs.

REQUISITES OF AN EFFECTIVE PROGRAMME


Orientation programme, to be effective, must be based on serious consideration to attitudes, behaviours and
information that new employees need. Seldom are these observed and it is rare that the system is effective.
However, following are some of the requisites of an effective system.
Prepare for New Employees New employees must, initially, feel that they belong to the organisation and
are important. Therefore, both the supervisor and the HR unit should be prepared to receive the employee. It
is very uncomfortable for a new employee to arrive at work and have a manager say, Oh!, I didnt realise
you were coming to work today or Who are you? This depersonalisation, obviously, does not create an
atmosphere of initial acceptance and trust.8
In addition, co-workers must also be aware of the arrival of a new worker. This is particularly true when
the new employees entry is likely to erode the position and status enjoyed by the current employees. In this
case, the management must take the present employees into condence and convince them about the need
for hiring the new employee.
Determine Information New Employees Want to Know The overriding question guiding the establishment
of an orientation programme is, What does the new employee need to know now? Often, new employees
receive information on issues, much of which is not immediately required. At the same time, they fail to
get vital information needed during the rst day of a new job.
The information which must be provided to the new employees is shown in Table 8.1. What is needed
is co-ordination between the supervisor and the HR unit. Such co-ordination demonstrates the importance
that the management attaches to its orientation programme.
Some rms use an orientation checklist (see Exhibit 8.1) to avoid any overlapping of or missing out on
information.9 Such a checklist shall contain items to be covered by the HR unit and the line manager.

Inducting and Placing New Hires

225

Determine How to Present Information Line managers and HR representatives should determine the
most appropriate way to present the orientation information. For example, rather than telling an employee
verbally, information on company sick leave and holiday policies may be presented on the rst day in a
handbook. The manager or the HR representative can review this information a few days later to answer
any of the employees questions.10
Completion of Paperwork All essential paperwork should be completed during orientation so that the
employee gets paid accurately and on time. Various tax and insurance forms as well as time cards and
other items need to be completed in a timely fashion. There is nothing more agonising for a new employee
than to miss the rst pay cheque or to be paid improperly because the correct forms were not completed
accurately.
Pause and Ponder
You were subject to orientation on the first day of your entry into the school/college. What
was your experience? With the knowledge of induction you have now gained after reading
this chapter, could you suggest to your Principal/Dean a new programme of orientation?

EVALUATION OF ORIENTATION PROGRAMME


Generally, rms with formal orientation programmes ask employees to complete a questionnaire evaluating
the programme.11 It is desirable that the questionnaire is administered after some length of time, in order to
enable the employee to gain some perspective about the work and the company. In the alternative, the HR
representative or the supervisor may conduct follow-up interviews to elicit the employees opinion.
Group discussion sessions can also be held with new employees who have settled comfortably into their
jobs.
Whatever the approach, the feedback from the employees enables a rm to adopt its orientation programme
to the specic suggestions of the new employees. In addition, rms should realise that the new employees
will receive an orientation that could help them improve their performance. It is certainly in the best interest
of the rm to have a well-planned and well-executed programme.

PROBLEMS OF ORIENTATION
An orientation programme can go wrong for a number of reasons. The HR department should try to avoid
such errors. Some of them are:
1. Supervisor who is entrusted with the job is not trained or is too busy.
2. Employee is overwhelmed with too much information in a short time.
3. Employee is overloaded with forms to complete.
4. Employee is given only menial tasks that discourage job interest and company loyalty.
5. Employee is asked to perform tasks where there are high chances of failure that could needlessly
discourage the employee.
6. Employee is pushed into the job with a sketchy orientation under the mistaken belief that trial by re
is the best orientation.
7. Employee is forced to ll in the gaps between a broad orientation by the HR department and a narrow
orientation at the departmental level.12
8. Employee is thrown into action too soon.
9. Employees mistakes can damage the company.
10. Employee may develop wrong perceptions because of short periods spent on each job.

Human Resource Management

Orientation Checklist
Exhibit 8.1

226

Name of Employee
Starting Date
Department
HR Department
Prior to Orientation
Complete Form A and give or mail
to new employee
Complete Form B
Attach Form B to Orientation
Checklist-supervisor and give to the
supervisor
Employees First Day
Organization and Personnel Policies
and Procedures
History of XYZ Inc.
Organization Chart
Service to CommunityPurpose of the
Company
Employee Classifications
Insurance Benefits
Group Health
Disability
Life
Workmens Compensation
Other Benefits
Holidays
Jury and Election Duty
Vacation
Death in the Family
Health Services
Professional Discounts
Appointments
End of OrientationFirst Day
Make Appointment for Second Day
Introduce Employee to Supervisor
Other Items
Job Posting
Bulletin BoardLocation and Use
Safety
No Drinking
Where to get Supplies
Employees Records-Updating

Name of Employee
Starting Date
Department Position
Supervisor
Employees First Day
Introduction to Co-workers
Tour of Department
Tour of Company
Location of
Coat Closet
Rest Room
Telephone for Personal Use and
Rules Concerning it
Working Hours
Starting and Leaving
Lunch
Breaks
Overtime
Early Departures
Time Clock
Pay Policy
Pay Period
Deposit System
Other Items
Parking
Dress
During Employees First Two Weeks
Emergencies
Medical
Power Failure
Fire
Employees Second Day
Pension Retirement Plan
Sick Leave
Personal Leave
Job Posting
Confidentiality
Complaints and Concerns
Termination
Equal Employment Opportunity

At the end of the employees first two weeks, the supervisor will ask if the employee has any questions
on the above items. After all questions have been satisfied, the supervisors will sign and date this form
and return it to the HR Department.
Signature
Date
ORIENTATION CONDUCTED BY

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227

TYPICAL ORIENTATION PROGRAMME


A typical orientation programme followed in the Taj Group of Hotels is shown in Exhibit 8.2. The description demonstrates the method and the contents of the orientation programme.

Exhibit 8.2

Orientation at the Taj


The HR team and the auxiliary trainers would receive and seat the new recruits (sometimes as many
as a hundred and fifty at a time) in a large banquet, giving each of them a signed welcome letter in
the form of a printed brochure, but with the new recruits name written by hand and signed personally by the General Manager. Besides giving the history of the Group, its founding values and beliefs,
the letter would make the following personal promise to each new recruit:
You have been selected because we believe you have the potential and the desire to meet the high
standards of excellence that are a hallmark of the Taj Group. We know you have hopes and aspirations
of your own, and surely, expectations from us as well. We consider it our obligation on our part to:
treat you fairly and with respect
ensure that your work opportunities are exciting and interesting
provide open, two-way channels of communication
offer suitable recognition for your dedication and excellence of performance.
Ours is a growing company, continuously improving and expanding.
We wish to see you grow along with us.
After they have read the brochure, they would be made to introduce themselves to others, if not in
front of the whole group, at least in small clusters, so that each would feel recognised. Then the entire
senior management team from the Regional Vice President downwards would join them for an hour.
They would individually introduce themselves and extend a personal welcome. As over 70 per cent of
them were typically those who had also joined in similar capacities in their youth, they would come
through as ideal role models to emulate. This would be followed by an open question-and-answer
session, ending with a tea break, when they would have an opportunity to informally mix together. A
formal audio-visual programme on the group would follow, and a detailed talk highlighting the future
of the corporation as also the place in it for young bright people like the freshers.13

PLACEMENT
Placement refers to the

After an employee has been hired and oriented, he or she must be placed in his/her
allocation of people to jobs.
right job. Placement is understood as the allocation of people to jobs. It is the assignIt includes initial assignment or re-assignment of an employee to a new or different job. Placement includes
ment of new employees,
and promotion, transfer,
initial assignment of new employees and promotion, transfer, or demotion of present
14
or demotion of present
employees. In this section, placement of new employees is emphasised. Placement
employees.
arising out of transfers, promotions, and demotions will be discussed later in this
book.
Assignment of a new employee to a job apparently seems to be a simple task. The employer advertises
inviting applications from candidates for a specied post. The advertisement contains job description and
job specication in detail. When a candidate has been selected, it is logical that he or she is placed in the
position that was advertised earlier. But the task is not as simple as it looks. Times are changing. Changes
in the work ethics reecting the demand for meaningful work(i) increased government pressure to hire
and promote women and the disadvantaged, and (ii) heightened awareness of the fact that rms have many

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Human Resource Management

jobs but each individual has only one career. All of these factors are causing organisations and individuals
to examine the placement process more closely. We are entering an age when applicants must be considered
for several jobs rather than one.15 If an individual fails to meet minimal requirements in one job, he or she
will be considered for other available jobs and will probably be offered employment in one of them.
From a managerial perspective, the task is to understand and capitalise on each persons individuality.
Since human attributes vary along many relatively independent ability, interest, biographical sketch, and
personality dimensions, a persons individuality is best viewed as his or her unique prole of scores on a
variety of individual measures. Once we establish this unique prole for each individual, people and jobs
can be matched optimally within the constraints set by available jobs and available people. If the number
of individuals is large in relation to the available jobs, only the best qualied persons can be selected and
placed. On the other hand, when more jobs are available, optimal placement is possible.16 Thus, the number
of people and the number of jobs determine the placement process in any company.

Placement Problems
The difculty with placement is that we tend to look at the individual but not at the job. Often, the
individual does not work independent of others. Whether the employee works independent of others or
is dependent depends on the type of jobs. Jobs in this context may be classied into three categories
(i) independent, (ii) sequential and (iii) pooled.
In certain cases, jobs are independent, for example, postal service or eld sales. Here, non-overlapping
routes or territories are allotted to each worker. In such situations, the activities of one worker have little
bearing on the activities of other workers. This is the placement in its simplest form, and it is the problem
for which solutions have most often been developed.17
In sequential jobs, activities of one worker are dependent on the activities of a fellow worker. Assembly
lines best exemplify sequential jobs.
Where jobs are pooled in nature, there is high interdependence among activities. The nal output is the
result of contribution of all the workers. It is the team work which matters. Project teams, temporary task
forces and assembly teams represent pooled jobs.
Independent jobs do not pose great problems in placement, for each employee needs only to be evaluated relative to the match between his or her capabilities and interests, and those required on the job. The
objective is to assign individuals so that (i) all jobs are lled by at least minimally qualied persons, and
(ii) individuals are placed on jobs that will make the best possible use of their talents, given available job
and HR constraints.18
But independent jobs are becoming rarer and rarer, as most jobs are dependent (sequential or pooled). In
order to match individuals with jobs, rms use the assessment-classication model. In this model, details
about the employees skills, interests, past performance (if any), and biographical details are collected. The
individual is then placed in a specic subgroup. While placing, care must be taken to match characteristics
of the individual with those of the subgroup.
Just as individuals are placed in subgroups, jobs are also categorised into subgroups, each subgroup
having identical characteristics. The next step is to match subgroup proles with job-family proles to
determine the likelihood of success and satisfaction in a particular job family. Once assignment to a job
family is made, individuals can be placed in specic jobs within the job family after further counselling
and possible assessment. Figure 8.3 shows the placement with the help of the assessment-classication
model.

Inducting and Placing New Hires

Fig. 8.3

229

Assessment-classification Model and Employee Placement

Source: Wayne F. Cascio and Elios M. Awad, Human Resources Management, p. 265.

SUMMARY
Orientation is the planned introduction of new employees to their jobs, their co-workers and the organisation.
The main purpose of induction is to relieve the new employee from possible anxiety and make him or her feel
at home on the job.
Orientation may be done informally or formally. Informal induction is brief. The employee is expected to
familiarise with the new environment by himself or herself while working on the alloted job.
Formal orientation is lengthy and may last even a few months. Formal induction is shared by the HR representative and the line manager. The latter briefs the new employee about specic job duties while all the other
details are provided by the HR representative. Some companies even conduct anxiety-reduction seminars.
Preparing for the induction of the new employee, determining the information the new employee should
know, and presenting the information effectively are the requisites of an ideal orientation programme.
After orientation comes placement. Placement refers to the assignment of a new employee to his or her job.
It is a simple task where the job is independent. Where the jobs are sequential or pooled, HR specialists must
use assessment classication model for placing newly hired employees.

KEY TERMS
Assessment-classication
Independent jobs
Induction
Information overload

Orientation
Placement
Pooled jobs
Sequential jobs

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Human Resource Management

REVIEW QUESTIONS
1. What is orientation? How is a formal orientation programme conducted?
2. Dene orientation. What are its purposes and pitfalls?
3. What do you understand by placement? How are employees placed on independent, pooled and sequential
jobs?

DISCUSSION QUESTIONS
1. If employees are properly selected, there should be no need for an orientation programme. Give your
viewpoint.
2. Identify the importance of orientation and tell how you would orient a new management trainee.

IMPACT ASSESSMENT EXERCISE


From the gure given below, identify the forces (external and internal) that impact induction, describe such an
impact of each and rank the forces on a scale of 1 to 5 (1 being the least and 5 being the most signicant).

og
ic
al

Cultural

Economic

Internal

External

Te
ch
no
l

U
ni
on
s

Induction

O
r
C gan
ul is
C tu a
on re tion
flic and al
t

ic
lit
Po
l
ga
-le
al

Professional
Bodies

Inducting and Placing New Hires

231

CONTINUING CASE
The induction at Vybhav is an integrated two day program done for all new hires joining any business unit and
is scheduled every rst Thursday and rst Friday of the month. All employees who have joined in the past
month including those who for some reason could not attend the orientation program the previous month are
sent invites. The corporate HR team coordinates the Employee Orientation Program (EOP). The agenda for
the programme is standardised as below:
Agenda: Vybhav Employee Orientation Programme
Day 1
Morning: All about Vybhavthe story about how Vybhav was established and grew to its present size. Listen
to the real life experiences of executives, employees to help new hires relate better to Vybhav, 30 minute
address by the CEO Mr. Arvinder G. and MD, India Operations-Sanchita Arunachalam
Afternoon: Vybhavs over all business strategies and priorities. These sessions provide the overview of the
business strategy and key focus areas by vertical and the key company initiatives within each business.
Evening: Networking Dinner
Day 2
Morning: Business strategies and priorities (continued)
Afternoon: Overview of HR policies, nance and payroll related sessions. Sessions by Travel Desk and tax
sessions. Includes an overview of the employee portal Vybhav Samachar and how it can be leveraged to
optimise personal productivity.
The networking dinner in the evening includes an invite to all the business leaders in the various business
verticals and the HR, nance and facilities teams. Part of the evening is structured with a networking activity
wherein the new employees get to introduce themselves and get to know the key people in the organisation.
While the activity might not be able to ensure complete networking, it sets the stage for a connection which
can then be built as the employees spend more time within the company.
In addition to the EOP, is a 30-hour-long business orientation programme (BOP) that happens at a business
unit level. This programme is driven by the use of very rigorous on-line e-learning modules. The modules are
calenderised to be completed within the rst 30 days of joining. Each e-learning module needs a new employee
to complete an on-line test once he/she has completed the module content. Scoring more than 75% is mandatory to successfully complete the BOP. Each module consists of a combination of reading material available
as audio as well as self-read presentation documents. All modules include video sessions as role-plays or small
caselets solved to better demonstrate the key concepts of the business. Every new employee can view the
modules for his or her role and status of completion, as well as his or her scores in the Homepage on Vybhav
Samachar every time he/she logs in.

Question
How far are the EOP and BOP programmes effective in Vybhav? If you nd any gaps in the programmes,
suggest the llers.

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Human Resource Management

EXERCISE
Break into groups and list recommendations to be made to the Vybhav leadership on the following scenarios:
This year the Vybhav MD Sanchita, and her leadership team decided to hire a batch of management
graduates to bring in fresh talent at various levels in the middle management team. How do you think
they should go about identifying the jobs they will best t. In addition, debate if the orientation for them
needs to be different from what Vybhav is currently practising.
This year Vybhav has hired, from the technical college campus, 100 graduate trainees for its various business verticals. Present your recommendations of how the orientation needs to be planned for the graduate
trainees.
Devise a means by which the graduate trainees would be assigned to the business verticals. What rationale
will be used to allocate them?

Closing Case
Backfired Surmise
Naik, AGM Materials, is fuming and fretting. He bumped into Kamath, GM Materials, threw the resignation letter on his table, shouted and walked out of the room swiftly.
Naik has reason for his sudden outburst. He has been driven to the wall. Perhaps, details of the
story will tell the reasons for Naiks bile and why he put in his papers, barely four months after he took
up his present assignment.
The year was 1995 when Naik quit the prestigious SAIL plant at Vishakapatnam. As a manager
materials, Naik enjoyed powershe could even place an order for materials worth Rs 25 lakh. He
needed nobodys prior approval.
Naik joined a pulp-making plant located at Harihar in Kanataka, as AGM Materials. The plant is a
part of the multi-product and multiplant-conglomerate owned by a prestigious business house in India.
Obviously, perks, designation and reputation of the conglomerate lured Naik away from the public
sector steel monolith.
When he joined the eucalyptus pulp making company, little did Naik realise that he needed prior
approval to place an order for materials worth Rs 12 lakh. He had presumed that he had the authority
to place an order by himself worth half the amount of what he used to do at the mega steel maker. He
placed the order, materials arrived, were received, accepted and used up in the plant.
Trouble started when the bill for Rs 12 lakh came from the vendor. The accounts department withheld
payment for the reason that the bill was not endorsed by Kamath. Kamath refused to sign on the bill
as his approval was not taken by Naik before placing the order.
Naik felt fumigated and cheated. A brief encounter with Kamath only aggravated the problem. Naik
was curtly told that he should have known company rules before venturing. Naik decided to quit.

Questions
1. Does the company have an orientation programme? If yes, how effective is it?
2. If you were Naik what would have you done?

Inducting and Placing New Hires

233

REFERENCES
1. Robert L. Mathis and John H. Jackson, PersonnelContemporary Perspectives and Applications,
West Publishing, New York, 1982, p. 225.
2. Thomas H. Stone, Understanding Personnel Management, The Dryden Press, 1982, p. 220.
3. Garry Dessler, Personnel Management, Third Edition, Prentice Hall, New York, 1988, p. 234.
4. Robert L. Mathis and John H. Jackson, op. cit., p. 225.
5. David Decezo, et al, Personnel/HRM, Prentice-Hall of India, 2000, p. 223.
6. John H. Bernardian and Joyce E.A. Russell, Human Resources ManagementAn Experiential
Approach, McGraw-Hill, New York, 1993, p. 317.
7. Garry Dessler, op. cit., p. 241.
8. Robert L. Mathis and John H. Jackson, op. cit., p. 227.
9. Ibid., p. 227.
10. Ibid., p. 230.
11. Thomas H. Stone, op. cit., p. 224.
12. William B. Werther, Jr and Keith Davis, Human Resources and Personnel Management, Fourth
Edition, McGraw-Hill, New York, 1993, p. 280.
13. V.S. Mahesh, Thresholds of MotivationThe Corporation as a Nursery for Human Growth, Tata
McGraw Hill, New Delhi, 1993, pp. 175-176.
14. Ibid., p. 283.
15. Wayne F. Cascio and Elios M. Awad, Human Resource Management, Reston Publishing, Reston,
Virginia, 1981, p. 263.
16. Ibid., p. 264.
17. Ibid., p. 264.
18. Ibid., p. 264.

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