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INTRODUCTION

Human resource management is a management function that helps managers recruit


select, train and develop members for an organization .Obviously, HRM is concerned with the
peoples dimension in organizations.

RECRUITMENT
Meaning
Recruitment is under tool as the process of searching and obtaining application for jobs,
from among the right people can be selected. Recruitment is only one of the steps in the entire
employment process.

Definitions of Recruitment:
A process to discover the sources of manpower to meet the requirements of the staffing
schedule and to employee effective measures for attracting that manpower in adequate numbers
to facilitate effective selection of an efficient work force.
The process of searching for prospective employees and stimulating them to apply for
jobs in the organization.
Edwin B. Flippo
Recruitment is the process of finding and attracting capable applications for
employment. The process begins when new recruits are sought and ends when their applications
are submitted.
The result is the pool of applications from which new employees are selected.

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Objectives of Recruitment:
1. To attract people with multidimensional skills and experiences that suits the
present and future organizational strategies.
2. To induct outsides with a new prospective to lead the company.
3. To infuse fresh blood at all the levels of the organization.
4. To develop an organizational culture that attracts component people to the
5. To search people whose skills fit the companies values?
6. To devise methodologies for assessing psychological.
7. To seek out non conventional development grounds of talent.

Recruitment Process:
Recruitment refers to the process of identifying and attracting job seekers so as to build to a
pool of qualified job application.
1 .Planning
2. Strategy development
3. Searching
4. Screening
5. Evaluation and control

Recruitment Planning:
The stage in the recruitment process in the planning. It involves the translation of
likely job vacancies and information about the nature of these jobs into a set of objectives or
Strategies that specify the number and types of applicants to be contacted.

Number of Contacts:
Organizations, nearly always, plan to attract more applications that they will hire. Some
of these contacted will be

uninterested, unqualified or

both. Each time recruitment

programmed is contemplated; one task is to estimate the number of applicants to fill all
vacancies with qualified people.
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Types of Contacts:
This refers to the type people to be informed about the opening. The types of people
depend on the tasks and responsibilities involved and the qualifications and experience. The
details are available through job description and job specification.

Strategy Development:
When, how many and what type of recruit are required is known, serious
consideration needs to be given to the following
A. Make or buy
Organization must decide whether or hire les skilled employees and invest on training
and education programs. Essentially, this is the make or buys decision.
B. Technological Sophistication
Technological advancement has made it possible for jobs seekers to gain better access.
The have began sending video tapes about themselves to a number organization without wasting
spending money on travel.
C. Sources of recruitment.
There are several sources and broadly into two types
1. Internal recruitment
2. External recruitment
1. Internal recruitment:
It includes present employees, employee referrals, former employees and previous
applications.
Present employees:
Promotions and transfers from among the present employees can be good sources of
Recruitment.
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Employee referrals:
When employees recommend successful referrals, they are paid monetary incentives
which are called finders fees
Former employees:
Some retired employees may be willing to come back to work on a part-time basis
or may recommend some one who would be interested in working for the company.
2. External recruitment:
External sources for out number the internal methods. Specifically, souces external to
an organization:
a. Professions or trade Associations.
b. Advertisements
c. Employment Exchanges
d. Campus Recruitment
e. Walk-in and write-in.
f. Consultants
g. Displaced persons
h. Radio and Television
i. Acquisitions and Mergers
j. Competitors
k. E-Recruitment

Searching:
Once a recruiting plan and strategy and worked out, the search process can begin,
search involves two steps:
a. Source activation
b. Selling
a. Source activation:
Source and search methods are activated by the issuance of employee requisition.
It means that no actual recruiting takes place until line manners have verified that a Vacancy does
exist or will exist.
b. Selling:
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In selling the organization, both the message and the media deserve attention.

Screening:
The purpose of screening is to remove from the recruitment process, at any early
stage, those applicant who are visibly unqualified for the gob .Effective screening can save great
deal of time and money care must be exercised.
In screening, clear job specifications are invaluable. Campus recruiters and agency
representatives us interviews and resumes. Reference checks are also useful in screening.

Evaluation and Control:


It is necessary as considerable costs are incurred in the recruitment process.
The costs generally incurred are:
a. Salaries for recruiters
b. Costs of advertisements or other recruitment methods that is, agency fees
c. Costs of producing supporting literature
d. Recruitment overheads and administrative expenses
TRADITIONAL TECHNIQUES INCLUDE:
1 .Promotions
2. Transfers
3. Advertising
1. Promotions:
Most of the internal candidates would be stimulated to take up higher
responsibilities and express their willingness to be engaged in the higher level jobs if
the management gives them the assurance that they will be promoted to the text
higher level.
2. Transfer:
Employees will be stimulated to work in the new section or places if the
management wishes to transfer them to the places of their choices.
3. Advertising:
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It provides the candidates in different sources, the information about the job and
company and stimulates them to apply for jobs.

Modern Techniques Include:


1. Scouting
2. Salary and perks
3. ESOPs
1. Scouting:
It means sending the representation of the organization various sources of recruitment
with view to persuading or stimulating the changing to apply for jobs the representative
representatives provide information about the company and exchange information and ideas and
classify the doubts of the candidates.
2. Salary and perks:
Companies stimulate the prospective candidates by offering higher level salary,
more perks, and quick promotions etc.
3. ESOPs:
Companies recently started stimulated the employees by offering stock ownership to the
employees through their employees stock ownership programs.

Factors Influencing Recruitment:


It includes external as well as internal forces
EXTERNAL FORCES:
1. Supply and demand of specify skills in the labor market
2. Unemployment rate in given area is high; the companys recruitment process may
be samples.
3. Political legal consideration reservation of jobs for SCs STs and BCs is a
Political decision
4. Sons of soil are another political factor.

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INTERNAL FACTORS:
1. Recruiting policy: The policy is to prefer internal sourcing, as own Employees known
the company well and can recommended candidates who fit the organization culture.
2. HRP: The success of the recruiting program is whether or not the Company Engages in
HRP.
3. SIZE:

An organization with one hundred thousand employees will findrecruiting

less problematic that the organization with just 100 employee.


4. Cost is calculated per new hire and figure is considerable now a days.

SELECTION
The selection procedure is concerned with Securing relevant information about an
applicant, this information is secured in a number of steps or stages .The objective of selection
process is to determine whether an applicant meets the qualifications for a specific job and to
choose the applicant who is most likely to perform well in that job.
Selection is the process choosing a person Suitable for the job out of several persons. It
involves a careful Screening and testing of candidates who have put in their applications for any
job in the enterprise. Selection involves rejection of some Candidates and hence some times
known as negative process or Process of elimination. Thus, selection is a negative function
.The Purpose of selection is to pick up the right person for every job.
Selection process or activities typically follow a Standard pattern, beginning with an
initial screening interview and Concluding with the final employment decision .The traditional
Selection process includes: preliminary screening interview, Completion of application form,
employment tests, comprehensive interview, background investigations, physical examination
and Final employment decision to hire.

Selection policy:
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While formulating a selection policy, due consideration should be given to organizational


requirements as well as technical and professional dimensions of selection procedure. Yoder and
others have suggested goals, technological issues, cost factors, extent of formality, etc. In other
words, an effective policy must assert the why And what aspects of the organizational
objectives.

Essentials of Selection Procedure:


The nature of selection, whether faulty or safe, because faculty selection affects not only
the training period that may be needed, but also results in heavy expenditure in the new
employee and the loss that may be incurred by the organization in case the job-occupant fails on
his job.
The policy of the company and the attitude of the management. As a practice some
companies usually hire more than the actual number needed with a view to removing the unfit
persons from the jobs.
The length of the probationary or the trail period, the longer the period the greater the
uncertainty in the minds of the selected candidate about his future.

Selection Procedure:
Selection is a long process, commencing from the elementary interview of the applicants
and ending with the contract of employment. There is no standard selection procedure to be used
in all organizations or for all jobs. The complexity of selection procedure increases with the level
and responsibility of the position to be filled. The strategy and method used for selecting
employees varies from organization to organization and from one job to another.
Selection decisions should be made after using a range of tools appropriate to the time
and resources available. The most common techniques are described below. Care should be taken
to use techniques which are relevant to the job and the business objectives of the organization.
All tools used should be validated and constantly reviewed to ensure their fairness and reliability.

Steps (or) Process of Selection Process:


1.

Preliminary Screening
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2.

Application Blank

3.

Selection tests

4.

Employment Interview

5.

Reference and Background Analysis

6.

Selection Decision

7.

Physical Examination

8.

Job Offer

9.

Induction

Preliminary Screening:
The first step in screening applications to identify and eliminate those applicants who do
not meet the required minimum qualifications. HRM performs this step for classified positions
and sends to the department only those applications of candidates who meet the minimum
qualifications. A copy of current resume or curriculum vitae should be provided to the HRM
compensation staff for review and recommendation when a candidates eligibility for
professional or academic positions is questionable. After the first cut has been made, screening
methods will necessarily involve qualitative evaluations of character, competencies/skills, and
degree of experience and ability.

Application Blank:
Application is a traditional, widely accepted device for getting information from
prospective applicant which will enable a management to make a proper selection. The blank
provides preliminary information as well as Aid in the interview by indicating areas of interest
and discussion. It is good means of quickly collecting verifiable (and therefore fairly accurate)
basic historical data from the candidate. It also serves as a convenient device for circulating
information about the applicant to appropriate members of management and as a useful device
for storing for, later reference The information required to be given in the applicants own
handwriting is needed to identify properly and to draw tentative inferences about suitability for
employment. Many Types of application forms sometimes very long and Comprehensive and
sometimes brief are used.

Selection Tests:

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Job seekers who pass the screening and the preliminary interview are called for tests.
Different types of tests may be administered, depending on the job or the company. Generally,
tests are used to determine the applicants ability, aptitude and personality. Ability tests (also
called as achievement tests) assist in determining how well an individual can perform tasks
related to the job. An excellent illustration of this is the typing test given to a prospective
employee for a secretarial job. An aptitude test help to determine a persons potential to learn in a
given area. An example of such test is the General Management Aptitude Test (GMAT), which
many business students take prior to gaining admission to a graduate business school programs.
The objective of tests is to solicit further information to assess the employee suitability to
the job.

Selection tests are also called psychological tests because psychologists have

contributed a lot in developing these tests. Employment test is an instrument designed to


measure the nature and degree of ones psychological
Potentialities, based on psychological factors, essential to perform a given job efficiently.
The purpose of these tests is to help in judging the ability of candidate in a given job-situation.
The tests help in ranking candidates and are valuable in determining subsequent success on the
job. They help to reduce bias and subjective judgment in the selection process. They help to
identify talent that may be otherwise over looked.
A test has been defined both in a broad and narrow manner. Broadly, it has been defined
as systematic procedure for comparing the behavior of two or more persons. In narrow sense,
it is a sample of an aspect of an individuals behavior, performance or attitude. It can be define
as a systematic procedure for sampling human behavior.

Purpose of Tests:
Tests are also used for the purpose of making a differential placement of assignment of a
person to the job for which he is most suitable; for selecting candidates for promotion and
transfer within an organization for selecting candidates for assignment to a company training
programs and for assisting in individual employee in solving his problems.
According to Wendell, tests are used in business for three primary purposes:
a) For the selection and placement of new employees;
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b) For appraising employees for promotional potentials;


Proficiency Tests:
Proficiency tests are designed to measure proficiency and skills already acquired by the
candidate through training experience. There are various jobs that required specialized skill. In
these jobs, the candidate is asked to demonstrate his abilities by undergoing trade test. A number
of industrial organizations in India are using trade test for the selection of clerical, supervisors
and technical personnel.
Psychological Tests:
These tests are gained popularity in selection process because of their positive
contribution to this psychological tests are being increasingly used in selecting employees.
These tests provide a systematic procedure for sampling human behavior. They are based on the
assumptions that no two individuals are equal in terms of intelligence, attitudes, personality and
other trades. The nature and degree of once psychological and other characteristics are measured
through test. The purpose of these tests is to judge the ability of candidates in a given job
situation. Psychological tests help to predict the success of a candidate on the job. They help to
reduce bias and subjective judgment in the selection process. They also help to identify talent
that may otherwise be overlooked. These tests are called psychological tests because they have
been designed by psychologies.
Psychological tests may be further classified into the following types:
1. Aptitude test or Potential ability test
2. Achievement test o r Proficiency test
3. Interest test
4. Personality test

Aptitude Test:
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These tests measure that latent ability or potential of a candidate to learn a new job or
skill. Peculiarities or defects in a persons sensory are intellectual capacities can be detected
through these test. These tests focus attention on a particular type of talent, such as reasoning,
learning, mechanical bent of mind, etc.
Intelligence Tests
These tests in general measure intelligence quotient or intellectual capacity of a
candidate. These reveal whether an individual has the capacity to deal with the new problems.
These help determine a persons word fluency, memory, inductive reasoning, comprehension,
speed of perception and spatial visualization. Intelligence tests measure the ability to understand
instructions and make decision. These tests are useful in selecting employees for a wide variety
of jobs.
Mechanical Aptitude Tests
These tests measure a persons capacity to learn a particular type of mechanical work.
Capacity for spatial visualization, perceptual speed, manual dexterity, visual sides, specialized
knowledge of techniques, problem solving ability, technical vocabulary, etc. are judged in the
test. These tests are useful for selecting apprentices, mechanics, maintenance workers and
mechanical technicians.
Psychomotor Tests:
These tests measure a person ability to perform a specific job. These tests help to
measure the mental dexterity or motor ability and similar attitudes involving muscular
movement, control and coordination. These are primarily used for selecting workers whose have
to perform semi skilled and repetitive jobs like assembly work, packing, testing and inspection.
Clerical Aptitude Tests:
These tests measure specific capacities involved in office work. Items of this test include
spelling, computation, comprehension copying, word measuring etc.
Achievement Tests:
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These tests measure what a person can do. These tests determine the skill or knowledge
already acquired through training and on the job experience. These tests are classified into two
types,
1) Job knowledge Tests:
Under these tests a candidate is tested in the knowledge of particular job. This test
can be both oral and written. This test is also useful in the selection of typists, office
workers, sales persons and public utility employees.
2) Work Sample Tests:
Under this test, a portion of actual work is given to the candidate as a test and the
candidate is asked to do it. Thus the candidate achievement in his career is tested
regarding his knowledge about the job and actual work experience.
Interest Tests:
These tests are inventories of the likes and dislikes of candidates in relation to work, job,
occupations, hobbies and recreation activities. These tests are used to discover a persons area of
interest and to identify the kind of work that will satisfy him. These are generally used for
vocational guidance. A well designed questionnaire is used to assess the likes and dislikes.
Personality Tests:
These are pen and paper tests. These are used to judge the psychological makeup of a
person. This test probe deeply to discover clues to and individuals value system, emotional
reactions and maturity, and his characteristic mood. These tests help in assessing a person
motivation and interests, his ability to adjust himself to the stress of everyday life, his capacity
for interpersonal relations, and for projecting an impressive image of himself.

These are

expressed in terms of the relative significance of traits, such as self confidence, ambition, tact
emotional control optimism, decisiveness, sociability, objectivity, conformity, patience, fear,
distrust, initiative, judgment, Dominance, sympathy and integrity, etc., these tests are used to
select supervisors and executives and for counseling people. These are the widely used in
industry as these provide an all round picture of a candidate personality.
a) Objective tests:
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Most personality tests are objective tests as they are suitable for group testing and can be
scored objectively.
b) Projective tests:
Under these tests candidates are asked to project their interpretation of certain standard
stimulus situations basing on ambiguous pictures, figures etc. the way in which they respond to
these stimulus situations reflect their own values motives and personality.

Non directed or unstructured interview:


In this interview, the candidate is given freedom to tell about himself by r by revealing
his knowledge on various items or areas, his background, expectations and interest, etc.
Similarly the interviewer also provides information on various items required by the candidate.
The candidate is allowed to determine the time and direction of discussion.

The

candidate is more likely to reveal his actual self. As a result, a better assessment of the
candidates personality becomes possible.

Depth Interview:
In this type of interview, the candidates would be examined extensively in core areas on
knowledge and skills of the job. Experts in the particular field examine the candidates by posing
relevant questions so as to extract critical answers from them, and judge candidates capabilities
in the area.

Group Interview:
In this interview, groups rather than individuals are interview. Generally, a topic for
discussion is given to the group. The candidates in the group are carefully observed as to who
will lead the discussion, how well they will react to each other views. Such interview is based on
assumption that behavior displayed in a group situation is related to potential success in the job.

Stress Interview:
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This interview aims at testing candidates job behavior and level of withstanding during
the period of stress and strain. Interviewer tests the candidate by putting him under stress and
strain, by interrupting the candidate from answering, criticizing his options, asking questions
pertaining to unrelated areas, keeping silent for unduly ling period after he has finishing
speaking, etc.

Reference and Background check:


Virtually all employers request references as a matter of course, usually without any thought
as to their purpose or value. Where a purpose is expressed, they tend to serve one or both of the
following functions:
1. To provide a factual check to maximize the probability of a truthful application.
2. To provide evidence of character or ability.
There is a growing and welcome trend for references to be simple factual checks rather than a
source of evidence for the selection process. There is also an issue regarding a referees liability
for the consequences of their comments. This varies from country to country.

Selection Decision:
After obtaining information through the preceding steps, selection decision- the most
critical of all the steps - must be made. The other stages in the selection process have been used
to narrow the number of candidates. The final decision has to be made from the pool of
individuals who pass the test, interviews and critical reference checks. The views of the line
manager will be generally considered in the final selection because it is he/she who is
responsible for the performance of the new employee. The HR managed plays a crucial in the
final selection.

Physical Examination:
After the selection decision and before the job after offer is made, the candidate is
required to undergo a physical fitness test. A job offer is, often, contingent upon the candidate
being declared fit after the physical examination .The results of the medical fitness test are
recorded in a statement and are preserved in the personnel records. There are several objectives
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behind a physical test. Obviously, one reason for a physical test is to detect if the individual
carries any infectious diseases. Secondly, the test assists in determining whether an applicant is
physically fit to perform the work. Third, the physical examination information may be used to
determine if there are certain physical capabilities which differentiate successful and less
successful employees. Fourth, medical check-up protects applicants with health defects from
undertaking work that could be detrimental to them or might otherwise endanger the employers
property. Finally, such an examination will protect the employer from workers compensation
claims that are not valid because the injuries or illness were present when the employee is hired.

Situation Tests:
This test evaluates a candidate in a similar real life situation. In this test the candidate is
asked to either to cope with the situation or solve critical situations of the job. These situation
tests are of two types:
a. Group Discussion:
This test is administrated through group discussion approach to solve a problem under which
candidates are observed in the areas of initiating. Leading proposing valuable ideas, conciliating
skills, oral communicating skills, co-coordinating and concluding skills.
b. In-basket:
Situation test is administered through In-basket. The candidate in this test is supplied
with actual letters, telephone and telegraphic message reports and requirements by various
officers of the organization, adequate information about the job and organization. The candidate
is asked to take decision on various items based on the basket information regarding
requirements in the memoranda.

Interview:An interview is a purposeful and exchange of ideas, the answering of questions and
communication between two or more persons.
The interview is a selection technique which enables the employer to view the total
individual and directly appraise him and his behavior. It is a method by which an idea about

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applicants personality (including his intelligence, breadth of interests, and general attitudes
towards life) can be obtained by a face-to-face contact.
In other words, an interview is an attempt to secure maximum amount of information
from the candidate concerning his suitability for the job under consideration. I tries to achieve
an exacting appraisal of an applicant, his previous experience, education, training and family
back ground. It enables the interviewer to judge certain qualities of the prospective candidate
before he is selected. The employment interview can be:
1) One-to One
2) Sequential
3) Panel

One-to-one Interview:In the one-to-one interview there are only two participants, the interviewer and the
interviewee.

Sequential interview:The sequential interview takes the one-to-one a step further and involves a series of
interviews, usually utilizing the strength and knowledge base of each interviewer, so that each
interviewer can ask questions in relation to his or her subject area of each candidate.

Panel Interview:The panel interview consists of two or more interviewers and the figure may go up to as
many as fifteen. Any panel interview is less intimate and moral formal than one-to-one, but if
handled and organized well, it can provide a wealth of information.

Objectives of interview:

To crosscheck or verify the information obtained in application form and test.


To judge the candidates qualifications and characteristics so as to decide whether or not

to select him.
To establish a rapport or feeling of mutual understanding and confidence between the
Human Resource Department and the applicant who is to be employed.

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Types of interviews:Interviews may be classified in many ways. Their main difference arise from the pattern
of interaction by which the interviewer communicates with the interviewee, responds to his
answers, asks questions, and forms the structure of the interview.
Interviews may be conducted planned or patterned and non-directed or non-planning
plane. A planned interview is one that follows a definite plan of action, and is, therefore, also
known as an action interview, while a non-directed interview is one that is not directed by the
interviewer and in which the candidate is given the freedom to speak his mind freely.

Job Offer: - The next step in the selection process is job offer to those applicants who have
crossed all the previous hurdles. Job offer is made through a letter of appointment. Such a letter
generally contains a date by which the appointee must report on duty.

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INDUSTRY PROFILE
BPO - What is Business Process Outsourcing?
BPO is the process of hiring another company to handle business activities for others.
BPO is distinct from information technology (IT) outsourcing, which focuses on hiring a thirdparty company or service provider to do IT-related activities, such as application management
and application development, data center operations, or testing and quality assurance.
In the early days, BPO usually consisted of outsourcing processes such as payroll. Then it
grew to include employee benefits management. Now it encompasses a number of functions that
are considered "non-core" to the primary business strategy.
Now it is common for organizations to outsource financial and administration (F&A) processes,
human resources (HR) functions, call center and customer service activities and accounting and
payroll.
These outsourcing deals frequently involve multi-year contracts that can run into
hundreds of millions of dollars. Often, the people performing the work internally for the client
firm are transferred and become employees for the service provider. Dominant outsourcing
service providers in the BPO fields (some of which also dominate the IT outsourcing business)
include US companies IBM, Accenture, and Hewitt Associates, as well as European and Asian
companies Capgemini, Genpact, TCS, Wipro and Infosys.
Many of these BPO efforts involve off shoring -- hiring a company based in another
country -- to do the work. India is a popular location for BPO activities.
Frequently, BPO is also referred to as ITES -- information technology-enabled services.
Since most business processes include some form of automation, IT "enables" these services to
be performed.
Business process outsourcing (BPO) is a subset of outsourcing that involves
the contracting of the operations and responsibilities of specific business functions (or processes)
to a third-party service provider. Originally, this was associated with manufacturing firms, such
as Coca Cola that outsourced large segments of its supply chain. In the contemporary context, it
is primarily used to refer to the outsourcing of services.
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BPO is typically categorized into back office outsourcing - which includes internal
business functions such as human resources or finance and accounting, and front office
outsourcing - which includes customer-related services such as contact center services.
BPO that is contracted outside a company's country is called offshore outsourcing. BPO
that is contracted to a company's neighboring (or nearby) country is called near shore
outsourcing.
Given the proximity of BPO to the information technology industry, it is also categorized
as an information technology enabled service or ITES. Knowledge process outsourcing (KPO)
and legal process outsourcing (LPO) are some of the sub-segments of business process
outsourcing industry.

Business process outsourcing in India


The business

process

outsourcing industry

in

India refers

to

the

services outsourcing industry in India, catering mainly to Western operations of multinational


corporations (MNCs).
As of 2008, around 0.7 million people work in outsourcing sector (less than 0.1% of
Indians). Annual revenues are around $11 billion, around 1% of GDP. Around 2.5 million people
graduate in India every year. Wages are rising by 10-15 percent as a result of skill shortage.

Size of industry
India has revenues of US$10.9 billion from offshore BPO and US$30 billion from IT and
total BPO (expected in FY 2008). India thus has some 5-6% share of the total BPO Industry, but
a commanding 63% share of the offshore component. This 63% is a drop from the 70% offshore
share that India enjoyed last year, despite the industry growing 38% in India last year, other
locations

like Eastern

Europe,

Philippines, Morocco, Kenya, Egypt, Uruguay and South

Africa have emerged to take a share of the market. China is also trying to grow from a very small
base in this industry. However, while the BPO industry is expected to continue to grow in India,
its market share of the offshore piece is expected to decline. Important centers
in India are Bangalore, Hyderabad, Chennai, Kolkata, Mumbai, Pune and New Delhi.
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The top five Indian BPO exporters for 2006-2007 according to NASSCOM
are Genpact, WNS Global Services, Transworks Information Services, IBM Daksh, and TCS
BPO.
According to McKinsey, the global "addressable" BPO market is worth $122 $154
billion, of which: 35-40 retail banking, 25-35 insurance, 10-12 travel/hospitality, 10-12 auto, 810 telecoms, 8 pharma, 10-15 others and 20-25 is finance, accounting and HR. Moreover, they
estimate that 8% of that capacity was utilized as of 2006
The industry has been growing rapidly. It grew at a rate of 38% over 2005. For the FY06
financial year the projections is of US$7.2 billion worth of services provided by this industry.
The base in terms of headcount being roughly 400,000 people directly employed in this Industry.
The global BPO Industry is estimated to be worth 120-150 billion dollars; of this the offshore
BPO is estimated to be some US$11.4 billion. India thus has some 5-6% share of the total
Industry, but a commanding 63% share of the offshore component. The U.S $7.2 billion also
represents some 20% of the IT and BPO Industry which is in total expected to have revenues
worth US$36 billion for 2006. The headcount at 400,000 is some 40% of the approximate one
million workers estimated to be directly employees in the IT and BPO Sector.
The related Industry dependent on this are Catering, BPO training and recruitment,
transport vendors, (home pick up and drops for night shifts being the norm in the industry).
Security agencies, Facilities management companies.
Table 1: Global BPO Market by Industry
Industry

Percentage (%)

Information Technology

43

Financial Services

17

Communication (Telecom)

16

Consumer Goods/ Services

15

Manufacturing

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Table 2: Global BPO Market by Geography


Country

Percentage (%)

United States

59

Europe

27

Asia-Pacific

Rest of the World

Table 3: Size of Global Outsourcing Market


Year

Size (USD Bn)

2000

119

2005

234

2008 (est.)

310

Table 4: Size and Growth of BPO in India


Year

Size (US$ Bn)

Growth Rate (%)

2003

2.8

59

2004

3.9

45.3

2005

5.7

44.4

Currently the Indian BPO Industry employs in excess of 245,100 people and another
94,500 jobs are expected to be added during the current financial year (20052006)

Table 5: Call Center Employee cost


Country

Cost (USD/yr)

USA

19,000

Australia

17,000

Philippines

9,050

India

9,500

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Nearly 75% of US and European multinational companies now use outsourcing or shared
services to support their financial functions. 72% of European multinational companies have
outsourced financial functions over the past two years.
Additionally, 71% of European companies and 78% US companies plan to use these
services in the next 1224 months. Overall, 29% of US and European companies expect to
increase their use of outsourcing of financial functions, with spending expected to be nearly 16%
higher than current levels.
Growth in this sector will get a further impetus as Indian BPO companies have robust
security practices and emphasis is laid in developing trust with clients on this score. While earlier
there were varying quality standards on this aspect, today there is focus on standardization of
security, such as data and IP security.

Leading BPO-ITes cities in India


Bangalore, Chennai, Hyderabad, Kolkata, NCR, Pune, Mumbai and Ahmedabad are Tier
I cities that are leading IT cities in India.
With rising infrastructure costs in these cities, many BPO's are shifting operations to Tier
II

cities

like Nashik, Sangli, Aurangabad(Maharashtra), Mangalore, Mysore, Hubli-Dharwad,

Belgaum, Coimbatore, Madurai, Hosur, Nagpur, Kochi, Trivandrum, Chandigarh, Mohali,Panch


kula, Ahmedabad, Bhubaneshwar, Jaipur, Vishakapatnam and Lucknow
Tier II cities offer lower business process overhead compared to Tier I cities, but have a
less reliable infrastructure system which may hamper dedicated operations. The Government of
India in partnership with private infrastructure corporations is working on bringing all around
development and providing robust infrastructure all over the nation.

Benefits and limitations


An advantage of BPO is the way in which it helps to increase a companys flexibility.
However, several sources have different ways in which they perceive organizational flexibility.
Therefore business process outsourcing enhances the flexibility of an organization in different
ways.
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Most services provided by BPO vendors are offered on a fee-for-service basis. This can
help a company becoming more flexible by transforming fixed into variable costs. A variable
cost structure helps a company responding to changes in required capacity and does not require a
company to invest in assets, thereby making the company more flexible. Outsourcing may
provide a firm with increased flexibility in its resource management and may reduce response
times to major environmental changes.
Another way in which BPO contributes to a companys flexibility is that a company is
able to focus on its core competencies, without being burdened by the demands of bureaucratic
restraints. Key employees are herewith released from performing non-core or administrative
processes and can invest more time and energy in building the firms core businesses. The key
lies in knowing which of the main value drivers to focus on customer intimacy, product
leadership, or operational excellence. Focusing more on one of these drivers may help a
company create a competitive edge.
A third way in which BPO increases organizational flexibility is by increasing the speed
of business processes. Using techniques such as linear programming can reduce cycle time and
inventory levels, which can increase efficiency and cut costs. Supply chain management with the
effective use of supply chain partners and business process outsourcing increases the speed of
several business processes, such as the throughput in the case of a manufacturing company.
Finally, flexibility is seen as a stage in the organizational life cycle. BPO helped to
transform Nortel from a bureaucratic organization into a very agile competitor. A company can
maintain growth goals while avoiding standard business bottlenecks. BPO therefore allows firms
to retain their entrepreneurial speed and agility, which they would otherwise sacrifice in order to
become efficient as they expanded. It avoids a premature internal transition from its informal
entrepreneurial phase to a more bureaucratic mode of operation.
A company may be able to grow at a faster pace as it will be less constrained by large
capital expenditures for people or equipment that may take years to amortize, may become
outdated or turn out to be a poor match for the company over time.
Although the above-mentioned arguments favor the view that BPO increases the
flexibility of organizations, management needs to be careful with the implementation of it as
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there are a issues, which work against these advantages. Among problems, which arise in
practice are: A failure to meet service levels, unclear contractual issues, changing requirements
and unforeseen charges and a dependence on the BPO which reduces flexibility. Consequently,
these challenges need to be considered before a company decides to engage in business process
outsourcing.
A further issue is that in many cases there is little that differentiates the BPO providers
other than size. They often provide similar services, have similar geographic footprints, leverage
similar technology stacks, and have similar Quality Improvement approaches.

Threats
Risk is the major drawback with Business Process Outsourcing. Outsourcing of an
Information System, for example, can cause security risks both from a communication and from
a privacy perspective. For example, security of North American or European company data is
more difficult to maintain when accessed or controlled in the Sub-Continent. From a knowledge
perspective, a changing attitude in employees, underestimation of running costs and the major
risk of losing independence, outsourcing leads to a different relationship between an organization
and its contractor.
Risks and threats of outsourcing must therefore be managed, to achieve any benefits. In
order to manage outsourcing in a structured way, maximizing positive outcome, minimizing risks
and avoiding any threats, a Business continuity management (BCM) model is setup. BCM
consists of a set of steps, to successfully identify, manage and control the business processes that
are, or can be outsourced.

COMPANY PROFILE
Dell is a multinational information technology corporation based in Round Rock,
Texas, United States, that develops, sells and supports computers and related products and
services. Bearing the name of its founder, Michael Dell, the company is one of the largest
technological corporations in the world, employing more than 96,000 people worldwide. Dell is
listed at #38 on the Fortune 500 (2010). Fortune also lists Dell as the #5 most admired company
in its industry.
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Dell has grown by both organic and inorganic means since its inceptionnotable mergers
and acquisitions including Alien ware (2006) and Perot Systems (2009). As of 2009, the
company sold personal computers, servers, data storage devices, network switches, software, and
computer peripherals. Dell also sells HDTVs, cameras, printers, MP3 players and other
electronics built by other manufacturers. The company is well known for its innovations
in supply chain management and electronic commerce.
On May 3, 2010, Fortune Magazine listed Dell as the 38th largest company in the States
and the 5th largest company in Texas by total revenue. It is the 2nd largest non-oil company in
Texas (behind AT&T) and the largest company in the Austin area.

History of Dell

Founder Michael Dell with


his PCs Limited (the precursor
to Dell Inc.) prototype, which
is

now

housed

at

the Smithsonian Institution

Dell traces its origins to 1984, when Michael Dell created PCs Limited while a student at
the University of Texas at Austin. The dorm-room headquartered company sold IBM PCcompatible computers built from stock components. Michael Dell started trading in the belief
that by selling personal computer systems directly to customers, PCs Limited could better
understand customers' needs and provide the most effective computing solutions to meet those
needs. Michael Dell dropped out of school in order to focus full-time on his fledgling business,
after getting about $300,000 in expansion-capital from his family.
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In 1985, the company produced the first computer of its own design the "Turbo PC",
sold for US$795. PCs Limited advertised its systems in national computer magazines for sale
directly to consumers and custom assembled each ordered unit according to a selection of
options. The company grossed more than $73 million in its first year of trading.
The company changed its name to "Dell Computer Corporation" in 1988 and began
expanding globallyfirst in Ireland. In June 1988, Dell's market capitalization grew by $30
million to $80 million from its June 22initial public offering of 3.5 million shares at $8.50 a
share. In 1992, Fortune magazine included Dell Computer Corporation in its list of the
world's 500 largest companies, making Michael Dell the youngest CEO of a Fortune 500
company ever.
In 1996, Dell began selling computers via its web site, and in 2002, Dell expanded its
product line to include televisions, handhelds, digital audio players, and printers. Dell's
first acquisition occurred in 1999 with the purchase of Converge Net Technologies. In 2003, the
company was rebranded as simply "Dell Inc." to recognize the company's expansion beyond
computers. From 2004 to 2007, Michael Dell stepped aside as CEO, while long-time Dell
employee Kevin Rollins took the helm. During that time, Dell acquired Alien ware, which
introduced several new items to Dell products, including AMD microprocessors. To prevent
cross-market products, Dell continues to run Alien ware as a separate entity but still a whollyowned subsidiary.
Lackluster performance, however, in its lower-end computer business prompted Michael
Dell to take on the role of CEO again. The founder announced a change campaign called "Dell
2.0," reducing headcount and diversifying the company's product offerings. The company
acquired Equal Logic on

January 28, 2008 to gain a foothold in

the iSCSI storage

Because Dell already had an efficient

market.

manufacturing process, integrating Equal Logic's products into the company drove
manufacturing prices down.

In 2009, Dell acquired Perot Systems, a


technology services and outsourcing
company founded
by H.
Ross Perot.
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On September 21, 2009, Dell announced its intent to acquire Perot Systems (based
in Plano, Texas) in a reported $3.9 billion deal. Perot Systems brought applications development,
systems integration, and strategic consulting services through its operations in the U.S. and 10
other countries. In addition, it provided a variety of business process outsourcing services,
including claims processing and call center operations.
On August 16, 2010, Dell announced its intent to acquire the data storage
company 3PAR. On September 2, 2010 Hewlett-Packard offered $33 a share, which Dell
declined to match.

Dell Facilities

Dell is headquartered in Round Rock, Texas


Dell's headquarters are located in Round Rock, Texas. As of 2010 the company employs
about 16,000 people in the facility, which has 2,100,000 square feet (195,000 m2) of space. As of
1999 almost half of the general fund of the City of Round Rock originates from sales taxes
generated from the Dell headquarters.
The company previously had its headquarters in the Arboretum complex in
northern Austin, Texas. In 1989 Dell occupied 127,000 square feet (11,800 m2) in the Arboretum
complex. In 1990 Dell had 1,200 employees in its headquarters. In 1993 Dell submitted a
document to Round Rock officials, titled "Dell Computer Corporate Headquarters, Round Rock,
Texas, May 1993 Schematic Design." Despite the filing, during that year the company said that it
was not going to move its headquarters. In 1994 Dell announced that it was moving most of its
employees out of the Arboretum, but that it was going to continue to occupy the top floor of the
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Arboretum and that the company's official headquarters address would continue to be the
Arboretum. The top floor continued to hold Dell's board room, demonstration center, and visitor
meeting room. Less than one month prior to August 29, 1994, Dell moved 1,100 customer
support and telephone sales employees to Round Rock. Dell's lease in the Arboretum had been
scheduled to expire in 1994.

The company sponsors Dell Diamond, the home


stadium of the Round Rock Express, the AAAminor
league baseball affiliate of the Houston Astros major
league baseball team.
By 1996 Dell was moving its headquarters to Round Rock. As of January 1996 3,500
people still worked at the then-current Dell headquarters. One building of the Round Rock
headquarters, Round Rock 3, had space for 6,400 employees and was scheduled to be completed
in November 1996. In 1998 Dell announced that it was going to add two buildings to its Round
Rock complex, adding 1,600,000 square feet (149,000 m2) of office space to the complex.
In 2000 Dell announced that it would lease 80,000 square feet (7,400 m2) of space in
the Las Cimas office complex in unincorporated Travis County, Texas, between Austin and West
Lake Hills, to house the company's executive offices and corporate headquarters. 100 senior
executives were scheduled to work in the building by the end of 2000. In January 2001 the
company leased the space in Las Cimas 2, located along Loop 360. Las Cimas 2 housed Dell's
executives, the investment operations, and some corporate functions. Dell also had an option for
138,000 square feet (12,800 m2) of space in Las Cimas 3. After a slowdown in business required
reducing employees and production capacity, Dell decided to sublease its offices in two buildings
in the Las Cimas office complex. In 2002 Dell announced that it planned to sublease its space to
another tenant; the company planned to move its headquarters back to Round Rock once a tenant
was secured. By 2003 Dell moved its headquarters back to Round Rock. It leased all of Las
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Cimas I and II, with a total of 312,000 square feet (29,000 m2), for about a seven year period
after 2003. By that year roughly 100,000 square feet (9,300 m2) of that space was absorbed by
new subtenants.
In 2008 Dell switched the power sources of the Round Rock headquarters to more
environmentally friendly ones, with 60% of the total power coming from TXU Energy wind
farms and 40% coming from the Austin Community Landfill gas-to-energy plant operated
by Waste Management, Inc.
Dell facilities in the United States are located in Austin, Texas; Nashville,
Tennessee; Oklahoma City, Oklahoma; Winston-Salem, North Carolina; and Miami, Florida.
Facilities

located

India; Hyderabad,

abroad
India;

include Penang,

Chandigarh,

Malaysia; Xiamen, China; Bangalore,

India; Delhi,

India; Bracknell, UK; Manila,

Philippines Chennai, India; Hortolandia, Brazil; d, Poland and Limerick, Ireland.

Products
Scope and brands
The corporation markets specific brand names to different market segments.
Its Business/Corporate class represent brands where the company advertises emphasizes
long life-cycles, reliability, and serviceability. Such brands include:

OptiPlex (office desktop computer systems)

Vostro (office/small business desktop and notebook systems)

n Series (desktop and notebook computers shipped with Linux or FreeDOS installed)

Latitude (business-focused notebooks)

Precision (workstation systems and high-performance notebooks),[34]

PowerEdge (business servers)

PowerVault (direct-attach and network-attached storage)

PowerConnect (network switches)

Dell/EMC (storage area networks)


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EqualLogic (enterprise class iSCSI SANs)

Dell's Home Office/Consumer class emphasizes value, performance, and expandability. These
brands include:

Inspiron (budget desktop and notebook computers)

Studio (mainstream desktop and laptop computers)

XPS (high-end desktop and notebook computers)

Studio XPS (high-end design-focus of XPS systems and extreme multimedia capability)

Alienware (high-performance gaming systems)

Adamo (high-end luxury laptop)


Dell's Peripherals class includes USB keydrives, LCD televisions, and printers; Dell

monitors includes LCD

TVs, plasma

TVs and projectorsfor HDTV and monitors.

Dell

UltraSharp is further a high-end brand of monitors.


Dell service and support brands include Dell On Call (extended domestic support
services), Dell Support Center (extended support services abroad), Dell Business Support (a
commercial service-contract that provides an industry-certified technician with a lower callvolume than in normal queues), Dell Everdream Desktop Management ("Software as a Service"
remote-desktop management), and Your Tech Team (a support-queue available to home users
who purchased their systems either through Dell's website or through Dell phone-centers).
Discontinued

products

and

brands

include Axim (PDA;

discontinued

April

9,

2007), Dimension (home and small office desktop computers; discontinued July 2007), Dell
Digital Jukebox (MP3 player; discontinued August 2006), Dell PowerApp (application-based
servers), and Dell Omniplex (desktop and tower computers previously supported to run server
and desktop operating systems).

Manufacturing
From its early beginnings, Dell operated as a pioneer in the "configure to order" approach
to manufacturing delivering individual PCs configured to customer specifications. In contrast,
most PC manufacturers in those times delivered large orders to intermediaries on a quarterly
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basis. To minimize the delay between purchase and delivery, Dell has a general policy of
manufacturing its products close to its customers. This also allows for implementing a just-intime (JIT) manufacturing approach, which minimizes inventory costs. Low inventory is another
signature of the Dell business model a critical consideration in an industry where components
depreciate very rapidly.
Dell's manufacturing process covers assembly, software installation, functional testing
(including "burn-in"), and quality control. Throughout most of the company's history, Dell
manufactured desktop machines in-house and contracted out manufacturing of base notebooks
for configuration in-house. However, the company's approach has changed. The 2006 Annual
Report states "we are continuing to expand our use of original design manufacturing partnerships
and manufacturing outsourcing relationships." The Wall Street Journal reported in September,
2008 that "Dell has approached contract computer manufacturers with offers to sell" their plants.
Assembly of desktop computers for the North American market formerly took place at
Dell plants in Austin, Texas (original location) andLebanon, Tennessee (opened in 1999). The
plant in Winston-Salem, North Carolina (opened in 2005) is scheduled to cease operations in
January 2011, while the Miami, Florida facility of its Alienware subsidiary remains in operation.
Dell servers come from Austin, Texas.
Dell's desktop plant in Austin, Texas was shut down in 2008. It closed its desktop
manufacturing in Lebanon in early 2009. The last major U.S. plant in North Carolina is
scheduled to close in January 2011. It is expected that most of the work carried out in North
Carolina will be transferred to contract manufacturers in Asia and Mexico, though Dell said
some of the work will move to its own factories overseas.
Dell assembles computers for the EMEA market at Limerick in the Republic of Ireland,
and employs about 4,500 people in that country. Dell began manufacturing in Limerick in 1991
and went on to become Ireland's largest exporter of goods and its second-largest company and
foreign investor. On January 8, 2009, Dell announced that it would move all Dell manufacturing
in Limerick to Dell's new plant in the Polish city of d by January 2010. European
Union officials said they would investigate a 52.7million aid package the Polish government
used to attract Dell away from Ireland. European Manufacturing Facility 1 (EMF1, opened in
1990) and EMF3 form part of the Raheen Industrial Estate near Limerick. EMF2 (previously
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a Wang facility, later occupied by Flextronics, situated in Castletroy) closed in 2002 and Dell
Inc. has consolidated production into EMF3 (EMF1 now contains only offices). Dell's Alienware
subsidiary also manufactures PCs in an Athlone, Ireland plant. Construction of EMF4 in d,
Poland has started: Dell started production there in autumn 2007.
Dell opened plants in Penang, Malaysia in 1995 and in Xiamen, China in 1999. These
facilities serve the Asian market and assemble 95% of Dell notebooks. Dell Inc. has invested an
estimated $60 million in a new manufacturing unit in Chennai, India, to support the sales of its
products in the Indian subcontinent. Indian-made products will bear the "Made in India" mark. In
2007 the Chennai facility had the target of producing 400,000 desktop PCs, and plans envisaged
it starting to produce notebook PCs and other products in the second half of 2007Dell moved
desktop and PowerEdge server manufacturing for the South American market from the Eldorado
do Sul plant opened in 1999, to a new plant in Hortolandia, Brazil in 2007.

Green initiatives
Dell became the first company in the information technology industry to establish a
product-recycling goal (in 2004) and completed the implementation of its global consumer
recycling-program in 2006. On February 6, 2007, the National Recycling Coalition awarded Dell
its "Recycling Works" award for efforts to promote producer responsibility. On July 19, 2007,
Dell announced that it had exceeded targets in working to achieve a multi-year goal of
recovering 275 million pounds of computer equipment by 2009. The company reported the
recovery of 78 million pounds (nearly 40,000 tons) of IT equipment from customers in 2006, a
93-percent increase over 2005; and 12.4% of the equipment Dell sold seven years earlier.
On June 5, 2007 Dell set a goal of becoming the greenest technology company on Earth for
the long term. The company launched a zero-carbon initiative that includes:
1. reducing Dell's carbon intensity by 15 percent by 2012
2. requiring primary suppliers to report carbon emissions data during quarterly business
reviews
3. partnering with customers to build the "greenest PC on the planet"
4. expanding the company's carbon-offsetting program, "Plant a Tree for Me".
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The company introduced the term "The Re-Generation" during a round table in London
commemorating 2007 World Environment Day. "The Re-Generation" refers to people of all ages
throughout the world who want to "make a difference" in improving the world's environment.
Dell also talked about plans to take the lead in setting an environmental standard for the
"technology industry" and maintaining that leadership in the future.
Dell

reports

its

environmental

performance

in

an

annual Corporate

Social

Responsibility (CSR) Report that follows the Global Reporting Initiative (GRI) protocol. Dell's
2008 CSR report ranked as "Application Level B" as "checked by GRI". The company aims to
reduce its external environmental impact through energy-efficient evolution of products, and also
reduce its direct operational impact through energy-efficiency programs. Internal energyefficiency programs reportedly save the company more than $3 million annually in energy-cost
savings. The largest component of the company's internal energy-efficiency savings comes
through PC power management: the company expects to save $1.8 million in energy costs
through using specialized energy-management software on a network of 50,000 PCs.

Technical support
Dell routes technical support queries according to component-type and to the level of
support purchased. Dell Inc. brands its service agreements at five levels for their business
customers: (1) Basic support provides business-hours telephone support and next business-day
on-site support/ Return-to-Base or Collect and Return Services (based on contracts purchased at
point of sale); (2) Silver support provides 247 telephone support and 4-hour on-site support
after telephone-based troubleshooting; (3) Gold support provides additional benefits over and
above Silver support; (4) Platinum Plus support provides additional benefits to Gold Support;
and (5) two-hour on-site support, offered in select cities.
Dell's Consumer division offers 24x7 phone based and online troubleshooting rather than
only during business hours in certain markets such as the United States and Canada. On February
4, 2008 Dell launched a revamped services-and-support scheme for businesses named
"ProSupport", offering customers more options to tailor services to fit their needs. Rather than
take a one-size-fits-all approach, Dell has put together packages of options for each category of
its customers: small and medium-sized businesses, large businesses, government, education, and
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health-care- and life-sciences. Dell now also offers separate support options for IT staff and for
non-IT professionals. For the latter, the company offers "how-to" support for software
applications, such as Microsoft Office. Dell also offers collaborative support with many thirdparty software vendors. For Dell-Certified IT departments, Dell offers "fast-track dispatch" of
parts and labor and access to a crisis-center to handle major outages, virus-attacks, or problems
caused by natural disasters. Dell has several unique aspects of its support program. For example,
computers use "Service Tags" unique alpha-numeric identifiers and '11 digit Express Service
codes' (punched into the IVR prompts) to get customers to the appropriate support queue. Agents
also utilize Dell Connect, (a Citrix/Go To Assist based remote-access tool that gives technicians
within Dell Support the ability to access customer computers from a remote location for
troubleshooting purposes).

Commercial aspects
Organization
A board of directors of nine people runs the company. Michael Dell, the founder of the
company, serves on the board. Other board members include Don Carty, William Gray, Judy
Lewent, Klaus Luft, Alex Mandl, Michael A. Miles, and Sam Nunn. Shareholders elect the nine
board members at meetings, and those board members who do not get a majority of votes must
submit a resignation to the board, which will subsequently choose whether or not to accept the
resignation. The board of directors usually sets up five committees having oversight over specific
matters. These committees include the Audit Committee, which handles accounting issues,
including auditing and reporting; the Compensation Committee, which approves compensation
for the CEO and other employees of the company; the Finance Committee, which
handles financial matters such as proposed mergers and acquisitions; the Governance and
Nominating Committee, which handles various corporate matters (including nomination of the
board); and the Antitrust Compliance Committee, which attempts to prevent company practices
from violating antitrust laws.
The corporate structure and management of Dell extends beyond the board of directors.
The Dell Global Executive Management Committee sets strategic directions. Dell has regional
senior vice-presidents for countries other than the United States, including David Marmonti
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forEMEA and Stephen J. Felice for Asia/Japan. As of 2007, other officers included Martin
Garvin (senior vice president for worldwide procurement) and Susan E. Sheskey (vice president
and Chief Information Officer).

Marketing
Dell advertisements have appeared in several types of media including television,
the Internet, magazines, catalogs and newspapers. Some of Dell Inc's marketing strategies
include lowering prices at all times of the year, offering free bonus products (such as Dell
printers), and offering free shipping in order to encourage more sales and to stave off
competitors. In 2006, Dell cut its prices in an effort to maintain its 19.2% market share.
However, this also cut profit-margins by more than half, from 8.7 to 4.3 percent. To maintain its
low prices, Dell continues to accept most purchases of its products via the Internet and through
the telephone network, and to move its customer-care division to India andEl Salvador.
A popular United States television and print ad campaign in the early 2000s featured the
actor Ben Curtis playing the part of "Steven", a lightly mischievous blond-haired youth who
came to the assistance of bereft computer purchasers. Each television advertisement usually
ended with Steven's catch-phrase: "Dude, you're getting' a Dell!"
A subsequent advertising campaign featured interns at Dell headquarters (with Curtis'
character appearing in a small cameo at the end of one of the first commercials in this particular
campaign).
A Dell advertising campaign for the XPS line of gaming computers featured in print in
the

September

2006

issue

of Wired.

It

used

as

a tagline

the

common

term

in Internet and gamer slang: "FTW", meaning "For The Win". However, Dell Inc. soon dropped
the campaign.
In the first-person shooter game F.E.A.R. Extraction Point, several computers visible on
desks within the game have recognizable Dell XPS model characteristics, sometimes even
including the Dell logo on the monitors.
In 2007, Dell switched advertising agencies in the US from BBDO to Mother. In July
2007, Dell released new advertising created by Mother to support the Inspiron and XPS lines.
The ads featured music from the Flaming Lips and Devo who re-formed especially to record the
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song in the ad "Work it Out". Also in 2007, Dell began using the slogan "Yours is here" to say
that it customizes computers to fit customers' requirements.

Criticisms of Dell's marketing of laptop security


In 2008, Dell received press coverage over its claim of having the world's most secure
laptops, specifically, its Latitude D630 and Latitude D830. At Lenovo's request, the (U.S.)
National Advertising Division (NAD) evaluated the claim, and reported that Dell did not have
enough evidence to support it.

Dell kiosks
Starting in 2002, Dell opened kiosk locations in shopping malls across the United States
in order to give personal service to customers who preferred this method of shopping to using the
Internet or the telephone-system. Despite the added expense, prices at the kiosks match or beat
prices available through other retail channels. Starting in 2005, Dell expanded kiosk locations to
include shopping malls across Australia, Canada, Singapore and Hong Kong.
On January 30, 2008, Dell shut down all 140 kiosks in the U.S. due to expansion into
retail stores such as Wal-Mart, Best Buy, and Staples all over the world.

Dell stores in the United States of America


In 2006, Dell Inc. opened one full store, 3,000-square-foot (280 m 2) in area, at NorthPark
Center in Dallas, Texas. It operates the retail outlet seven days a week to display about 36
models, including PCs and televisions. As at the kiosks, customers can only see demonstrationcomputers and place orders through agents. Dell then delivers purchased items just as if the
customer had placed the order by phone or over the Internet.
Dell Inc. planned to use the Dallas store to house about three times as many products as it
displayed in more than 160 kiosks in malls and airports. In addition to showcasing products, the
stores also support on-site warranties and non-warranty service ("Dell on Call"). Services offered
include repairing computer video-cards and removing spyware from hard drives.
On February 14, 2008, Dell closed the Service Center in its Dallas North Park store and
lay off all the technical staff there.
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Dell Partner Program


In late 2007, Dell Inc. announced that it planned to expand its program to value-added
resellers (VARs), giving it the official name of "Dell Partner Direct" and a new Website Dell Inc.
realized that this program, once a small factor in Dell Inc. sales, had become a growing sector of
its business and it desired to leverage this growing outlet for its products. It promised VARs who
joined this program increased discounts on product and the ability to use the Dell name and logo
in their marketing efforts. Connect U became an early member of the program.
The overall success of this program as a new development for Dell Inc. remains unclear.

Retail in the United States


In the early 1990s, Dell also sold its products through Best Buy, Costco and Sam's
Club stores in the United States. Dell stopped this practice in 1994, citing low profit-margins on
the business. In 2003, Dell briefly sold products in Searss stores in the U.S. In 2007, Dell started
shipping its products to major retailers in the U.S. once again, starting with Sam's Club and WalMart. Staples, the largest office-supply retailer in the U.S., and Best Buy, the largest electronics
retailer in the U.S., became Dell retail partners later that same year.

Retail around the World


As of the end of February 2008, Dell products shipped to one of the largest office-supply
retailers in Canada, Staples Business Depot. In April 2008, Future Shop and Best Buy began
carrying a subset of Dell products, such as certain desktops, laptops, printers, and monitors.
Since some shoppers in certain markets show reluctance to purchase technological products
through the phone or the Internet, Dell has looked into opening retail operations in some
countries in Central Europe and Russia. In April 2007, Dell opened a retail store in Budapest. In
October of the same year, Dell opened a retail store in Moscow.
In the UK, HMV's flagship Trocadero store has sold Dell XPS PCs since December 2007.
From January 2008 the UK stores of DSGi have sold Dell products (in particular,
through Currys and PC World stores). As of 2008, the large supermarket-chain Tesco has sold
Dell laptops and desktops in outlets throughout the UK.

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In May 2008, Dell reached an agreement with office supply chain, Officeworks (part
of Coles Group), to stock a few modified models in the Inspiron desktop and notebook range.
These models have slightly different model numbers, but almost replicate the ones available
from the Dell Store. Dell continued its retail push in the Australian market with its partnership
with Harris Technology (another part of Coles Group) in November of the same year. In addition,
Dell expanded its retail distributions in Australia through an agreement with discount electrical
retailer, The Good Guys, known for "Slashing Prices". Dell agreed to distribute a variety of
makes of both desktops and notebooks, includingStudio and XPS systems in late 2008. Dell
and Dick Smith Electronics (owned by Woolworths Limited) reached an agreement to expand
within Dick Smith's 400 stores throughout Australia and New Zealand in May 2009 (1 year since
Officeworks owned by Coles Group reached a deal). The retailer has agreed to distribute a
variety of Inspiron and Studio notebooks, with minimal Studio desktops from the Dell range. As
of 2009, Dell continues to run and operate its various kiosks in 18 shopping centres throughout
Australia. On 31 March 2010 Dell announced to Australian Kiosk employees that they were
shutting down the Australian/New Zealand Dell kiosk program.

Competition
Dell's major competitors include Apple, Hewlett-Packard (HP), Acer, Toshiba, Gateway, Sony,
Asus, Lenovo, IBM, Samsung, and Sun Microsystems. Dell and its subsidiary, Alienware,
compete in the enthusiast market against AVADirect, Falcon Northwest, VoodooPC (a subsidiary
of HP), and other manufacturers. In the second quarter of 2006 Dell had between 18% and 19%
share of the worldwide personal computer market, compared to HP with roughly 15%.
In

late

2006,

Dell

lost

its

lead

in

the

PC-business

to

Hewlett-Packard.

Both Gartner and IDC estimated that in the third quarter of 2006, HP shipped more
units worldwide than did Dell. Dell's 3.6% growth paled in comparison to HP's 15% growth
during

the

same

period. The

problem

got

worse

in

the

fourth

quarter, when

Gartner estimated that Dell PC shipments declined 8.9% (versus HP's 23.9% growth). As a
result, at the end of 2006 Dell's overall PC market-share stood at 13.9% (versus HP's 17.4%).
IDC reported that Dell lost more server market share than any of the top four competitors in that
arena. IDC's Q4 2006 estimates show Dell's share of the server market at 8.1%, down from 9.5%
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in the previous year. This represents a 8.8% loss year-over-year, primarily to competitors
EMC and IBM.

Partnership with EMC


The Dell/EMC brand applies solely to products that result from Dell's partnership
with EMC Corporation. In some cases Dell and EMC jointly design such products; other cases
involve EMC products for which Dell will provide support generally midrange storage
systems, such as fiber channel and iSCSI storage area networks. The relationship also promotes
and sells OEM versions of backup, recovery, replication and archiving software.
On December 9, 2008, Dell and EMC announced the multi-year extension, through 2013,
of their strategic partnership that began in 2001. In addition, Dell plans to expand its product
line-up by adding the EMC Celerra NX4 storage system to the portfolio of Dell/EMC family of
networked storage systems, as well as partnering on a new line of de-duplication products as part
of its TierDisk family of data-storage devices.

Environmental record
Dell committed to reduce greenhouse gas emissions from its global activities by 40% by
2015, with 2007 as the baseline year. It is listed in Greenpeaces Guide to Greener Electronics
that scores leading electronics manufacturers according to their policies on toxic chemicals,
recycling and climate change. In May 2010, Dell ranked 10th out of 18 listed electronics makers.
Dell was the first company to publicly state a timeline for the elimination of toxic
polyvinyl chloride (PVC) and brominated flame retardants (BFRs), which it planned to phase out
by the end of 2009. It revised this commitment and now aims to remove these toxics by 2011 but
only in its computing products. In March 2010, Greenpeace activists protested at Dell offices in
Bangalore, Amsterdam and Copenhagen calling for Dells founder and CEO Michael Dell to
drop the toxics and claiming that Dells aspiration to be the greenest technology company on
the planet was hypocritical. Dell has launched its first products completely free of PVC and
BFRs with the G-Series monitors (G2210 and G2410) in 2009.

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Criticism
In the 1990s, Dell switched from using primarily ATX motherboards and PSU to using
boards and power-supplies with mechanically identical but differently wired connectors. This
meant customer wishing to upgrade their hardware would have to replace parts with scarce Dellcompatible parts instead of commonly available parts. However, company practice in this respect
changed in 2003. In 2005, complaints about Dell more than doubled to 1,533, after earnings
grew 52% that year.
In 2006, Dell acknowledged that it had problems with customer service. Issues included
call-transfers of more than 45% of calls and long wait-times. Dell's blog detailed the response:
"We're spending more than a $100 million and a lot of blood, sweat and tears of talented
people to fix this." Later in the year, the company increased its spending on customer service
to $150 million.
On August 17, 2007, Dell Inc. announced that after an internal investigation into its
accounting practices it would restate and reduce earnings from 2003 through to the first quarter
of 2007 by a total amount of between $50 million and $150 million, or 2 cents to 7 cents per
share. The investigation, begun in November 2006, resulted from concerns raised by the U.S.
Securities and Exchange Commission over some documents and information that Dell Inc. had
submitted. It was alleged that Dell had not disclosed large exclusivity payments received
from Intel for agreeing not to buy processors from a rival manufacturer. In 2010 Dell finally paid
$100 million to settle the SEC's charges of fraud. Michael Dell and other executives also paid
penalties and suffered other sanctions, without admitting or denying the charges.
In May 2008, the New York Supreme Court ruled that Dell and Dell Financial Services
"engaged in fraud, false advertising, deceptive business practices, and abusive debt collection
practices". The relevant lawsuit aimed primarily to highlight and seek restitution for a lack of
technical support given to customers by Dell. The court plans to hold further proceedings to
determine how much money Dell has to pay out to customers and how much profit Dell made
unlawfully, in New York.
In July 2009, Dell apologized after the firm offered its Latitude E4300 notebook at
NT$18,558 (US$580), 70% lower than usual price of NT$60,900 (US$1900) in its Taiwan
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website. The firm withdrew orders and offered a voucher of up to NT$20,000 (US$625) a
customer in compensation. The consumer rights authorities in Taiwan fined Dell NT$1 million
(US$31250) for customer rights infringements. Many consumers sued the firm for the unfair
compensation. A court in southern Taiwan ordered the firm to deliver 18 laptops and 76 flatpanel monitors to 31 consumers for NT$490,000 (US$15,120), less than a third of the normal
price. The court said the event could hardly be regarded as mistakes, as the prestigious firm said
the company mispriced its products twice in Taiwanese website within 3 weeks.

Dell Perot Systems Portfolio of


Services and Value Proposition

Executive Summary

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For several years, Dell and Perot Systems have successfully collaborated to provide a range of
services and solutions. We have now formalized this collaboration and joined together to form
the new Dell Services.
Together, Dell and Perot Systems deliver complementary capabilities with one shared focus
make IT and business solutions work harder for you. We are redefining services by making them
easier to access, simpler to manage, and, most importantly, by making our solutions more aligned
to your success. As a result, you can count on Dell for hardware, software, and services that
reduce IT complexity and make your organization run more efficiently.
No matter the size of your organization, we have the scale and a complete portfolio of services to
meet your needs, so you can focus on strategic initiatives. Dell Services comprehensive portfolio
provides:

Services and technology expertise to mitigate risk, enable efficiency, and add

long-term value

Flexible models that put the customers in control of what they buy and how they

consume our services

A localized customer experience, globally

The following graphic depicts our integrated portfolio of services:

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The Integrated Portfolio

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IT Products
Client Products
Our innovation-leading mobile and desktop solutions increase end-user productivity,
manageability, and efficiency, providing the following substantial benefits:

Laptop

usage

improves

productivity

time

by

51

minutes/day

and

re-connects workers up to 60 percent faster in emergencies or disasters.

Centralized management reduces support costs by up to 42 percent.

Our client systems reduce PC desktop power consumption by 43 percent and

reduce total client energy costs by up to 62 percent.

We partner with industry leaders to offer software client operating systems,

storage back-up, replication, systems management, virtualization, messaging, and


database software.

Enterprise Products
Our enterprise server, storage, and networking products are built on industry standards
with proven reliability and scalability to maximize interoperability, optimize IT investments, and
offer a choice in performance, functionality, and form factors.
Our products provide intelligent, cost-effective storage products that simplify
administration and deploy rapidly, while providing enterprise-class data protection, solid
performance, scalability, and fault-tolerance. We offer a breadth of network switch offerings
designed to deliver reliability, scalability, and affordability. In addition, we partner with industry
leaders to offer software enterprise operating systems, storage backup, replication, systems
management, virtualization, messaging, and database.

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Dell ProSupport
Offering
Dell ProSupport, a suite of professional support services, is designed to address
todays technology challenges. With Dell ProSupport, our customers can build a support
solution based on technology use and allocation of IT resources, including options tailored
for organizations with full, limited, or no IT staff.
The Dell ProSupport portfolio:
1. Provides

expertise

for

specialized

applications

and

technology,

including

virtualization, systems management, Microsoft Exchange, and more


2. Achieves maximum uptime through proactive problem avoidance services
3. Reduces unplanned downtime with rapid response
4. Provides tech-to-tech support with fast-track dispatch for certified IT professionals
5. Enables your mobile workforce while helping protect your investment
6. Keeps your end users moving with notebook tracking and data protection services

Managed Services
End User
Our end-user services

simplify

our customers infrastructure,

providing

professionally managed communications applications, workspace management services,


and technology support that align resources with business needs to ensure high-quality
services for employees and customers. We provide easy-to-use service desk contact
capabilities, integrated request processes, and self-service tools that allow users to easily
diagnose and fix common issues.
Our messaging services meet the changing needs of our customers, while
addressing their data management and security needs. In addition, our workspace
management services help ensure our customers workstation technology is current, secure,
and available around the clock and around the globeall at a predictable monthly cost.

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Data Center
Through our global network of high-tier data center facilities and Enterprise
Command Centers (ECCs), we reduce support costs, increase systems reliability and
availability, and ensure successful operations of your production environment through our
data center services.
Our data center services are monitored and delivered 24x7 by an expert support
team to identify growth needs and potential resource bottlenecks. We deliver cloud remote
monitoring and reporting with lower deployment costs and minimal infrastructure
management costs.

Network
Our network services help organizations share information more effectively. We
help reduce network complexity and costs, increase access to applications, and enable
internal and external collaboration by converting disconnected network environments into a
single, integrated one.
We offer businesses the expertise to assess, develop, and deploy an IP telephony
solution that meets their business needs. We enable organizations to enjoy greater mobility
and real-time data access, extend and leverage existing infrastructure, and enhance service
to customers with wireless services. In addition, we provide reliable technology expertise,
including new infrastructure implementation, an upgrade or expansion, or continuing
support.

Information Assurance
Our information assurance services protect the integrity, confidentiality, and
availability of critical systems and data by leveraging our industry best practices and
proven methodologies to deliver security and recovery expertise. In addition, we bring realworld experience to customers through live audits and government inquiries, disaster
recovery experience, and industry-leading technical certifications.

Our information assurance services include:


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Information security consulting, including policy implementation and

procedure development, compliance and technology assessments, and network


security architecture

Information security operations, including process design, user provisioning,

audit management, security awareness programs, and information Security


Operations Center (SOC)

Disaster recovery and business continuity, including disaster recovery

planning, business impact analysis, IT recovery assessments, and emergency


response plans

Hosting
Our hosting services provide scalable capacity to extend the life and value of
systems and applications, reduce service and support costs, and take advantage of greater
computing power without a capital outlay.
We offer systems design, architecture, consolidation, migration, monitoring,
consulting, implementation, and support for a wide variety of hardware platforms,
including UNIX, Linux, AS/400, and Intel platforms. We work to assess business-unique
service requirements, then deliver specific recommendations for system configuration,
runtime improvement, and software suite modifications that can lower costs, and improve
system availability and response time.

Software-as-a-Service/Virtualization
Client Software-as-a-Service (SaaS)
Our Software-as-a-Service (SaaS) services can help manage an organizations entire
desktop environment. We provide predictable desktop costs from hardware and software
standardization and sophisticated asset management and refresh cycles. We also perform
key desktop maintenance and backup activities automatically with minimal user
interruption.

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Our SaaS services include:

Online backup and restore

Asset management

Software distribution

Patch management

Antivirus and malware

Enterprise Management SaaS


Our enterprise management SaaS services help manages your e-mail, crisis
notification, and enterprise infrastructure. Our enterprise management SaaS offering
leverages enterprise-class data centers to increase the availability, reliability, and security of
an organizations IT infrastructure and messaging capability. In addition, we implement
industry best practice e-mail and infrastructure monitoring/management, while minimizing
costs.
Our enterprise management SaaS services include:

E-mail archive and eDiscovery

E-mail security

Crisis management and alerting

Fault, performance, and asset management

Patch management

Vulnerability scanning

Basic hardware monitoring

Business Continuity SaaS


Our business continuity SaaS services help support business requirements for email and IT availability, and crisis management. Through our business continuity SaaS
services, customers can quickly switch to a standby e-mail system if the primary fails. If
something happens to physical facilities, servers, software, network connectivity, or even
IT staff, customers can activate EMS to ensure availability of e-mail service and
preservation of data.
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In the event of crisis, our customers can reach thousands quickly, managing task
and plans from a central web location to speed decision-making and recovery. In addition,
our secure 24x7 online solution allows customers to create, test, and manage virtual and
physical server images faster and easier than traditional methods.

Virtual Desktops
Our secure, enterprise-class pay-per-use desktop computing services provide a
standardized and centrally managed desktop environment to simplify our customers
desktop management process and enhance end-user satisfaction.
Our virtual desktop services increase operating efficiency, user performance, and
cost control. Our pay-per-use fee structure reduces capital costs for desktop equipment as
well as the staffing needed to maintain and upgrade individual user devices. We also
manage the underlying technology infrastructure for greater standardization and integration
efficiencies. In addition, our consistent use of best practices along with innovative upgrades
in technology, tools, processes, and security make organizations more effective at
delivering business outcomes.
We offer a variety of pre-configured packages of computing power, memory, and
data storage supporting the most common operating systems, allowing our customers to
balance costs with business needs and user satisfaction.

Virtual Servers and Storage


Our virtual servers and storage services minimize the risk and complexity of
integrating cloud and virtualization into your overall IT strategy by taking advantage of our
enterprise-class solutions. Using our virtual server capabilities, customers can achieve
maximum user flexibility and cost control. We offer a pay-per-use fee structure that frees
organizations from capital expenditures, including maintaining and upgrading hardware.
We also manage the underlying technology infrastructure and continually impart
best practices and innovative upgrades in technology, tools, processes, and security. In
addition, we successfully operate pay-per-use, virtual, and dedicated environments for
clients that require high levels of security, regulatory compliance, and mission-critical
service delivery.
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We supply a variety of pre-bundled packages of processing and memory to meet


varying requirementsfrom test and development to high-availability applications. Our
virtual servers and storage service helps our customers strategize and achieve the level of
virtualization they are comfortable with, including options for partial or functional
deployment.

Application Services
Custom Development
Our application development services include the development of new applications,
features, extensions, enhancements, interfaces, and upgrades for existing and emerging
business operations. Through a combined onsite and offshore approach, we provide the
framework for application development outsourcing that ensure solutions meet technical,
time, and financial specifications.
Using state-of-the-art tools for development efforts, our employees are experts in
technologies from mainframe platforms to web- and PC-based applications, and can
develop both host and distributed applications.

Modernization
Our application modernization services improve customer experience and extend
the lifespan of IT investments by moving existing applications to newer platforms, with
added functionality and user access channels, utilizing our proven methodologies and
technology expertise.
Whether it is increased access through online portals, faster processing of batch
applications, or improved customer interface, we can evolve applications to meet todays
business demands. We work with our customers to reduce the life cycle cost of their IT
solutions by leveraging legacy investments and selectively moving some solution
components to contemporary platforms.

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Business Intelligence
Business intelligence outputs can directly affect the bottom line of any organization
by uncovering new markets, customer trends cost overrun areas, and supplier behavior for
improved operations.
Our business intelligence services can extract insights from our customers large
business transaction data and provide reports and performance dashboards to management,
using our library of solution accelerators, multiple technology exposure, and proven 4D
methodology. We provide in-depth exposure to domains, including healthcare, government,
and financial services, to ensure business intelligence solutions help improve Key
Performance Indicators (KPIs).

Enterprise and Industry Applications


Our enterprise and industry applications allow our customers to select the
appropriate packaged application, deploy it, and modify it to suit changing business needs.
Using our comprehensive domain knowledge, exposure to competing packaged
applications, and robust consulting methodology, customers can leverage specialized
support for industry applications for hospitals, physician groups, insurance, and financial
services.
Our enterprise applications services include:

Business or IT transformation

Application implementation

Enhancements

Full applications management outsourcing

Testing
Our application testing services focus on potential problems and their severity, and
establish testing as a competitive-edge practice backed by domain knowledge. We help
reduce test costs by deploying global resources, using our library of domain test scenarios,
automation test frameworks, and early identification of defects during development, root
cause analysis of defects, metrics, and coverage analysis. We have vast expertise in
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software testing across a wide range of applications and products in domains, including the
healthcare market and a variety of commercial industries.
In addition, we can improve solution acceptance and time to market by validating
applications on functional and non-functional parameters by utilizing appropriate test tools
and improving the performance of critical applications if required.

Applications Management
Our applications management services help reduce support costs and improve
performance by enhancing existing solutions and removing defects with a proven ITILbased support methodology and experience with diverse technologies.
We have developed mature processes to facilitate a smooth technology transition
and a seamless knowledge transfer during early stages of application management
engagements. Our innovative financial models minimize the cost of transition and
knowledge transfer to ensure our clients benefit from outsourcing from the first day of the
engagement. Services are provided within defined, agreed-on service levels.
We leverage our offshore software development centers in India to deliver cost
advantages, while providing the expertise required managing services. Our application
management services team is composed of professionals with comprehensive industry
expertise backed by experience in a wide range of technologies.

Business Process Services


Revenue Cycle Solutions
Our revenue cycle solutions blend people, processes, and technology to deliver
sustainable results whether the need is a short-term customized project or long-term
revenue cycle outsourcing. With vast experience implementing a range of business
solutions designed to increase healthcare accounts receivables, we have been the revenue
cycle solutions vendor of choice for hospitals nationally and internationally.
As a trusted provider of revenue cycle solutions, we have delivered results to more
than 650 provider organizations. In addition, we have recovered more than $7.1 billion and
resolved more than $22 billion in A/R in the past 5 years.
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Policy Administration
Through cost-effective insurance administration and productivity-enhancing
business process and technology solutions, we help our customers increase efficiency,
improve profitability, and accelerate growth. We manage more than 3 million policies
within our insurance solutions organization, using a combination of our administration
system, LifeSys, along with alternate administration systems.

Physician Services
From Electronic Health Records (EHRs) and practice management system
implementation and support, we offer a full range of proven physician services to resolve
and improve front- and back-office needs. We passionately support provider success
through a comprehensive suite of business process and technology services, empowering
physicians to practice with greater mobility and clinical care, while realizing improved
financial performance.
Our trusted services enable private practice groups, academic faculty practices, and
hospital-affiliated physician groups to achieve predictable, sustainable, and cost-benefiting
results. We combine our physician practice expertise with revenue cycle management,
clinical transformation, and IT expertise to improve the overall patient and practice
experience.

Engineering Services Outsourcing


Our engineering services outsourcing services free manufacturing companies from
the high costs and the hassles of in-house administration and technology maintenance so
that they can redirect resources to strategic, business-building initiatives. Our customers
can design and launch products within budget and on time by leveraging our team of
highly-skilled engineers.
Our analysis team couples experience and knowledge with world-class analysis
software to provide our clients cost-saving solutions. Our new approach to product
engineering support involves true collaboration with our customers, allowing them to pay
for the specific skill sets needed.

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Customer Management
Through our comprehensive contact management, we can help improve customer
relationship management, enhance your customer satisfaction, and improve loyalty,
leveraging our best-in-class call center services and technology. With our comprehensive,
integrated call-tracking system, we provide real-time information about your customer
management program.
Our procedures provide our customers with both qualitative and quantitative measurements
of performance and quality, enabling them to focus on core business-building capabilities.

Government Office
Through our government office, we analyze business requirements to solution
effective and efficient business processes leveraging our experts and our proven
methodologies. We can implement new solutions and business processes utilizing best
practices and proven methodologies to improve performance and greatly increase customer
satisfaction.
We provide managed compliance and quality programs through improved
processes, utilizing performance measurement, project management expertise, and best
practices. In addition, our leveraged delivery and repeatable solutions improve quality,
track compliance, reduce costs, and maximize efficiency.

IT Consulting
Enterprise Architecture
Our enterprise architecture IT consulting services identify and implement strategic
priorities and technologies that enable the development of capabilities to support cost
controls, revenue generation, and business growth. Our seasoned senior IT executives
provide in-depth analysis with actionable recommendations using our experienced-based
assessment methodology that quickly uncovers IT areas that provide the highest Return on
Investment (ROI).

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Customers can leverage our service capabilities around hardware, networks,


applications, and vendor management to serve as a single agency to build and support their
solutions.

Service Management
Our service management consulting services can lower maintenance complexity,
free up resources, and drive innovation by evaluating and measuring the operational
efficiency, manageability, and flexibility of your IT systems and pinpointing opportunities
to improve IT processes. We provide end-to-end data driven expert analysis covering
security, services management, applications, data center efficiency, and end-user
computing.
Our expert recommendations can help lead to significant efficiency and cost
improvements and provide cost baselines and other proposed improvements based on data
from thousands of engagements. We provide services to help design and implement
proposed improvements across many practice areas, including virtualization, storage,
Microsoft products, and more.

Data Center Infrastructure


Our data center infrastructure consulting services combine best practices and
insights into technology trends to help make key data center investment decisions. We use
technology and industry best practices to increase resource utilization while improving
facilities efficiency.
Our in-house staff of qualified data center planning and facilities management
engineers engage in proactive planning for the future data center requirements, not only
from a floor space aspect, but also in regards to calculating power and cooling requirements
per the addition of new systems and the decommissioning of retired infrastructure.
Our data center infrastructure consulting services include:

Capacity planning and performance management

High-performance computing cluster

Data center site selection

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Enterprise Applications Rationalization


Our enterprise applications rationalization consulting services optimize your
investments by developing a long-term IT roadmap, choosing the appropriate platforms,
and simplifying your IT portfolio by using our extensive domain knowledge, exposure to
competing technologies/applications, and a robust consulting methodology.
We can reduce redundancies and optimize operational and support team costs
through portfolio rationalization of applications. We also meet stringent security
requirements and ensure no performance degradation while developing a new technology
strategy and roadmap. Our services consolidate and simplify your application portfolio and
service suppliers to realize annual IT cost savings.

End-User Computing
Our end-user computing consulting services provide IT with industry best practice
methodology and solutions to manage and control the client environment, while
maximizing the end-user experience. We can optimize hardware performance and reduce
service desk support incidents.
Our application packaging automates installation, checks processes, and ensures
applications can be de-installed without problems, increasing deployment speed and
efficiency. In addition, our effective and efficient application packaging processes
contribute towards compliance for security and licensing.
Our end-user computing consulting services include:

Migration

Deployment

Energy management

Image management

Virtualization/Cloud Integration
Our virtualization and cloud integration consulting services analyze server and
application workload requirements to find more effective and efficient infrastructure
architecture, leveraging our experts and our structured, automated approach. We can
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consolidate servers, which results in lower hardware capital and maintenance costs as well
as reductions in data center space, and power and cooling requirements.
Legacy applications running out of warranty/end of lease equipment can run on
virtual machines without having to upgrade operating systems and applications. We also
enable IT to pull servers out of production to perform routine maintenance, or minimize
disruption in event of hardware failure.

Data Management
Our data management consulting services quickly diagnose problems and gain
proven solution recommendations from our storage architects using our sophisticated
automated discovery tools (MRI). We consolidate underused islands of storage to lower
storage cost per gigabyte, while reclaiming storage, segmenting and classifying data, and
improving backup/restore reliability and performance.
We help improve backup/recovery reliability by de-duplicating data and
streamlining back-up processes. In addition, we measure compliance to internal policies
and external regulations to archive the correct information.

Business Continuity and Disaster Recovery


Our business continuity and disaster recovery consulting services rapidly design
and implement an effective and affordable disaster recovery program, while balancing
investments in people, process, and technology.
Our experts will help design and implement a cost effective disaster recovery plan that is
necessary to pass audits and comply with government regulations. We classify each
applications criticality, plan, and implement the disaster recovery systems accordingly. We
also verify your ability to recover by setting and maintaining appropriate test schedules.

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Business Consulting
Strategy Consulting
Through collaboration, analysis, and knowledge of the interrelationships of people,
processes, and technology, we can help identify and achieve our customers operational,
relational, competitive, and financial goals.
Our experienced consultants understand how to leverage powerful thinking inside
an organization, and how to integrate innovative ideas with leading-edge processes and
technologies to control costs and enhance revenue. To ensure strategies support these
objectives, we have adopted the envision-design-deliver framework for our consulting
activities.

Organizational Change Management


We recognize the complexity of integrating cultures. Our Organizational Change
Management (OCM) provides a proactive process that reflects emerging issues, anticipates
the predictable dip in productivity when disruption occurs, and minimizes the impact of
change on an organizations performance.
We have extensive OCM experience on large-scale, multi-site Enterprise Resource
Planning (ERP) projects on both a national and global level. While many companies
effectively handle the training aspect of an ERP implementation, our experience and depth
in the complete OCM strategy set us apart from our competitors.

Process Reengineering
Our process reengineering consulting services can redesign your business to drive
improved operational and financial performance. Our customers can achieve cost savings,
control cost increases, and manage demand for quality, cost, service, and access.
We enable our customers to benchmark [industry] performance, establish standards,
and improve systems to manage a complex environment. Additionally, we help enhance
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communications, better integrate financial and operational processes, and refine processes
for the collection, distribution, and analysis of operational and financial information.

Supply Chain Management


Our supply chain management solutions are designed to improve supply chains through
development and implementation of lean manufacturing techniques and technologyenabled processes.
We help create collaborative, tightly linked supply chains through the implementation of
various organizational, process and technology solutions, including:

Advanced planning, scheduling, and execution

Transportation and logistics management and optimization

Sourcing and procurement

Warehouse management

Cross-enterprise relationship network integration

Clinical Transformation
Our clinical transformation services provide a comprehensive ongoing approach to care
delivery excellence that delivers value by measurably improving quality, enhancing
service, and reducing costs through the effective alignment of people, process, and
technology.
To facilitate an effective focus on the three critical components of clinical transformation,
we have developed a practical, experienced model for the effective adoption and
implementation of clinical information systems. Our ADOPTS framework is a proven
methodology that allows customers to Assess, Design, Optimize, Prepare, Transform, and
Sustain their environments.
By implementing clinical best practices using well-defined metrics for program success,
our clinical transformation services will effectively engage your organization and improve
overall clinical adoption.

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PRODUCT PROFILE
Definition of Medical billing
Medical billing is the process of submitting and following up on claims to
insurance companies in order to receive payment for services rendered by a healthcare
provider. The same process is used for most insurance companies, whether they are private
companies or government-owned.
Medical billing and coding is a fast-growing, stable career. Coders are investigators.
They hunt down the patient's most important diagnostic, which is based on the lab
procedures, signs and symptoms.
Coding involves a lot of rules, there are worldwide guidelines to follow for medical
codingit seems like it would be more straightforward. But there are so many guidelines
to follow to pick the correct code; it's not as black and white as it appears.

Billing Process
The medical billing process is an interaction between a health care provider and the
insurance company (payer). The entirety of this interaction is known as the billing cycle.
This can take anywhere from several days to several months to complete, and require
several iterations before a resolution is reached. The interaction begins with the office visit:
a doctor or their staff will typically create or update the patient's medical record. This
record contains a summary of treatment and demographic information including, but not
limited to, the patient's name, address, social security number, home telephone number,
work telephone number and their insurance policy identity number. If the patient is a minor
then guarantor information of a parent or an adult related to the patient will be appended.
Upon the first visit, the provider will usually give the patient one or more diagnoses in
order to better coordinate and streamline their care. In the absence of a definitive diagnosis,
the reason for the visit will be cited for the purpose of claims filing. The patient record
contains highly personal information, including the nature of the illness, examination
details, medication lists, diagnoses, and suggested treatment.
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The extent of the physical examination, the complexity of the medical decision
making and the background information (history) obtained from the patient are evaluated to
determine the correct level of service that will be used to bill the insurance. The level of
service, once determined by qualified staff is translated into a standardized five digit
procedure code drawn from the Current Procedural Terminology database. The verbal
diagnosis is translated into a numerical code as well, drawn from a similar
standardized ICD-9-CM (latest review being 10 [ICD-10-CM] databases. These two codes,
a CPT and an ICD-9-CM (latest review ICD-10-CM (will be implemented from 2013), are
equally important for claims processing.
Once the procedure and diagnosis codes are determined, the medical biller will
transmit the claim to the insurance company (payer). This is usually done electronically by
formatting the claim as an ANSI 837 file and using Electronic Data Interchange to submit
the claim file to the payer directly or via a clearinghouse. Historically, claims were
submitted using a paper form; in the case of professional (non-hospital) services and for
most payers the CMS-1500 form or HICF (Health Insurance Claim Form)was and is still
commonly used. The CMS-1500 form is so named for its originator, the Centers for
Medicare and Medicaid Services. At time of writing, about 30% of medical claims get sent
to payers using paper forms which are either manually entered or entered using automated
recognition or OCR software.
The insurance company (payer) processes the claims usually by medical claims
examiners or medical claims adjusters. For higher dollar amount claims, the insurance
company has medical directors review the claims and evaluate their validity for payment
using rubrics (procedure) for patient eligibility, provider credentials, and medical necessity.
Approved claims are reimbursed for a certain percentage of the billed services. These rates
are pre-negotiated between the health care provider and the insurance company. Failed
claims are rejected and notice is sent to provider. Most commonly, rejected claims are
returned to providers in the form of Explanation of Benefits (EOB) or Remittance Advice.
Upon receiving the rejection message the provider must decipher the message,
reconcile it with the original claim, make required corrections and resubmit the claim. This
exchange of claims and rejections may be repeated multiple times until a claim is paid in
full, or the provider relents and accepts an incomplete reimbursement.
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The frequency of rejections, denials, and over payments is high (often reaching
50%), mainly because of high complexity of claims and/or errors due to similarities in
diagnosis' and their corresponding codes. This number may also be high due to insurance
companies denying certain services that they do not cover (or think they can get away
without covering) in which case small adjustments are made and the claim is re-sent.

Electronic Billing Process


A practice that has interactions with the patient must now under HIPAA send most
billing claims for services via electronic means. Prior to actually performing service and
billing a patient, the care provider may use software to check the eligibility of the patient
for the intended services with the patient's insurance company. This process uses the same
standards and technologies as an electronic claims transmission with small changes to the
transmission format, this format is known specifically as X12-270 Health Care Eligibility
& Benefit Inquiry transaction [1]. A response to an eligibility request is returned by the
payer through a direct electronic connection or more commonly their website. This is
called an X12-271 "Health Care Eligibility & Benefit Response" transaction. Most practice
management/EMR software will automate this transmission, hiding the process from the
user.
This first transaction for a claim for services is known technically as X12-837 or
ANSI-837. This contains a large amount of data regarding the provider interaction as well
as reference information about the practice and the patient. Following that submission, the
payer will respond with an X12-997, simply acknowledging that the claim's submission
was received and that it was accepted for further processing. When the claim(s) are actually
adjudicated by the payer, the payer will ultimately respond with a X12-835 transaction,
which shows the line-items of the claim that will be paid or denied; if paid, the amount; and
if denied, the reason.

Payment
In order to be clear on the payment of a medical billing claim, the health care
provider or medical biller must have complete knowledge of different insurance plans that
insurance companies are offering, and the laws and regulations that preside over them.
Large insurance companies can have up to 15 different plans contracted with one provider.
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When providers agree to accept an insurance companys plan, the contractual agreement
includes many details including fee schedules which dictate what the insurance company
will pay the provider for covered procedures and other rules such as timely filing
guidelines.
Providers typically charge more for services than what has been negotiated by the
doctor and the insurance company, so the expected payment from the insurance company
for services is reduced. The amount that is paid by the insurance is known as an allowable
amount. For example, although a psychiatrist may charge $80.00 for a medication
management session, the insurance may only allow $50.00, and so a $30.00 reduction
(known as a "provider write off" or "contractual adjustment") would be assessed. After
payment has been made a provider will typically receive an Explanation of Benefits (EOB)
or Electronic Remittance Advice (ERA) along with the payment from the insurance
company that outlines these transactions.
The insurance payment is further reduced if the patient has a co pay, deductible, or
a coinsurance. If the patient in the previous example had a $5.00 co pay, the doctor would
be paid $45.00 by the insurance. The doctor is then responsible for collecting the out-ofpocket expense from the patient. If the patient had a $500.00 deductible, the contracted
amount of $50.00 would not be paid by the insurance company. Instead, this amount would
be the patient's responsibility to pay, and subsequent charges would also be the patient's
responsibility, until his expenses totaled $500.00. At that point, the deductible is met, and
the insurance would issue payment for future services.
A coinsurance is a percentage of the allowed amount that the patient must pay. It is
most often applied to surgical and/or diagnostic procedures. Using the above example, a
coinsurance of 20% would have the patient owing $10.00 and the insurance company
owing $40.00.
In Medicare the physician can either be 'Participating' - in which they will receive
80% of the allowable Medicare fee and 20% will be sent to the patient - or can be
'Nonparticipating' in which the physician will receive 80% of the fee, and may bill patients
for 15% or more on the scheduled amount.

For example, the regular fee for a particular service is $100.00, while Medicare's
fee structure is $70.00. The physician will therefore receive $56.00 and the patient will pay
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$14.00. Similarly Medicaid has its own set of policies which are slightly more complex
than Medicare.
Steps have been taken in recent years to make the billing process clearer for
patients. The Healthcare Financial Management Association (HFMA) unveiled a "PatientFriendly Billing" project to help healthcare providers create more informative and simpler
bills for patients. Additionally, as the Consumer-Driven Health movement gains
momentum, payers and providers are exploring new ways to integrate patients into billing
process in a clearer, more straightforward manner.

HISTORY
For several decades, medical billing was done almost entirely on paper. However,
with the advent of medical practice management software also known as health information
systems it has become possible to efficiently manage large amounts of claims.
Many software companies have arisen to provide medical billing software to this
particularly lucrative segment of the market. Several companies also offer full portal
solutions through their own web-interfaces, which negates the cost of individually licensed
software packages.
Due to the rapidly changing requirements by U.S. health insurance companies,
several aspects of medical billing and medical office management have created the
necessity for specialized training. Medical office personnel may obtain certification
through various institutions that may provide a variety of specialized education and in
some cases award a certification credential to reflect professional status. The Certified
Medical Reimbursement Specialist (CMRS) accreditation by the American Medical Billing
Association is one of the most recognized of specialized certification for medical billing
professionals.

HIPAA
The medical billing field has been challenged in recent years due to the introduction
of the Health Insurance Portability and Accountability Act(HIPAA).

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HIPAA is a set of rules and regulations which hospitals, doctors, healthcare


providers and health plans must follow in order to provide their services aptly and ensure
that there is no breach of confidence while maintaining patient records.
Since 2005, medical providers have been urged to electronically send their claims in
compliance with HIPAA to receive their payment.
Title I of this Act protects health insurance of workers and their families when they
change or lose a job. Title II calls for the electronic transmission of major financial and
administrative dealings, including billing, electronic claims processing, as well as
reimbursement advice.
Medical billing service providers and insurance companies were not the only ones
affected by HIPAA regulations - many patients found that their insurance companies and
health care providers required additional waivers and paperwork related to HIPAA.
As a result of these changes, software companies and medical offices spent
thousands of dollars on new technology and were forced to redesign business processes and
software in order to become compliant with this new act. This was in part because
providers who inadvertently released Protected Health Information to the wrong entity
would now be exposed to litigation under HIPAA.

Role of the Medical Billing Service


In many cases, particularly as a practice grows beyond its initial capacity to cope
with its own paperwork, providers farm out their medical billing process to a third party
known as a Medical Billing Service. These entities promise to reduce the burden of
paperwork for medical staff and recoup lost efficiencies caused by workload saturation,
paving the way for further practice growth. A recent trend towards outsourcing in countries
such as India has shown a potential to reduce costs, but it is not clear if this trend will
continue or decline as a result of customer concerns over quality control.

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RESEARCH METHODOLOGY
The questionnaire was administered through direct contact with respondents for the survey.

Sampling Methods
Type of Sampling
1. Probability
2. Non - Probability

Probability

Random sampling

Systematic sampling

Stratified sampling

Cluster Sampling

Multi Stage Sampling

1. Random sampling
Random sampling is the purest form of probability sampling. Each member
of the population has an equal and known chance of being selected. When there are
very large populations, it is often difficult or impossible to identify every member
of the population, so the pool of available subjects becomes biased.

2. Systematic sampling
Systematic sampling is often used instead of random sampling. It is also
called an Nth name selection technique. After the required sample size has been
calculated, every Nth record is selected from a list of population members. As long
as the list does not contain any hidden order, this sampling method is as good as the
random sampling method. Its only advantage over the random sampling technique
is simplicity. Systematic sampling is frequently used to select a specified number of
records from a computer file.

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3. Stratified sampling
Stratified sampling is commonly used probability method that is superior to
random sampling because it reduces sampling error. A stratum is a subset of the
population that shares at least one common characteristic. Examples of stratums
might be males and females, or managers and non-managers. The researcher first
identifies the relevant stratums and their actual representation in the population.
Random sampling is then used to select a sufficient number of subjects from each
stratum. "Sufficient" refers to a sample size large enough for us to be reasonably
confident that the stratum represents the population. Stratified sampling is often
used when one or more of the stratums in the population have a low incidence
relative to the other stratums

4. Cluster Sampling
Cluster Sampling is the fourth statistical sampling method is called cluster
sampling, also called block sampling. In cluster sampling, the population that is
being sampled is divided into groups called clusters. Instead of these subgroups
being homogeneous based on a selected criterion as in stratified sampling, a cluster
is as heterogeneous as possible to matching the population. A random sample is
then taken from within one or more selected clusters. For example, if an
organization has 30 small projects currently under development, an auditor looking
for compliance to the coding standard might use cluster sampling to randomly
select 4 of those projects as representatives for the audit and then randomly sample
code modules for auditing from just those 4 projects. Cluster sampling can tell us a
lot about that particular cluster, but unless the clusters are selected randomly and a
lot of clusters are sampled, generalizations cannot always be made about the entire
population. For example, random sampling from all the source code modules
written during the previous week, or all the modules in a particular subsystem, or all
modules written in a particular language may cause biases to enter the sample that
would not allow statistically valid generalization.

5. Multi Stage Sampling


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With the Multi Stage sampling process the respondents are chosen through a
process of defined stages.
For example residents within Islington (London) may have been chosen for a
survey through the following process:
Throughout the UK the south east may have been selected at random,
stage 1: within the UK London is selected again at random
stage 2: Islington is selected as the borough
stage 3: then polling districts from Islington
stage 4: then individuals from the electoral register
As demonstrated four stages were gone through before the final selection of
respondents were selected from the electoral register.

Non - Probability

Convenience sampling

Judgment sampling

Quota sampling

Dimensional Sampling

Snowball sampling

1. Convenience sampling
Convenience sampling is used in exploratory research where the researcher
is interested in getting an inexpensive approximation of the truth. As the name
implies, the sample is selected because they are convenient. This non probability
method is often used during preliminary research efforts to get a gross estimate of
the results, without incurring the cost or time required to select a random sample.

2. Judgment sampling
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Judgment sampling is a common non probability method. The researcher


selects the sample based on judgment. This is usually and extension of convenience
sampling. For example, a researcher may decide to draw the entire sample from one
"representative" city, even though the population includes all cities. When using this
method, the researcher must be confident that the chosen sample is truly
representative of the entire population.

3. Quota sampling
Quota sampling is the non probability equivalent of stratified sampling. Like
stratified sampling, the researcher first identifies the stratums and their proportions
as they are represented in the population. Then convenience or judgment sampling
is used to select the required number of subjects from each stratum. This differs
from stratified sampling, where the stratums are filled by random sampling.

4. Dimensional Sampling
An extension to quota sampling. The researcher takes into account several
characteristics e.g. gender, age income, residence education and ensures there is at
least one person in the study that represents that population. E.g. out of 10 people
you may want to make sure that 2 people are within a certain gender, two a certain
age group who have an income rate between 25000 and 30000, this will again
ensure the accuracy of the sample frame again.

5. Snowball sampling
Snowball sampling is a special non probability method used when the
desired sample characteristic is rare. It may be extremely difficult or cost
prohibitive to locate respondents in these situations. Snowball sampling relies on
referrals from initial subjects to generate additional subjects. While this technique
can dramatically lower search costs, it comes at the expense of introducing bias
because the technique itself reduces the likelihood that the sample will represent a
good cross section from the population.

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Type of sampling choosed.


Convenience sampling sampling is used for the search.

Sample Size
A sample of 100 employees was taken for the study.

Sample Area
DELL Services, Ambatur, Chennai.

Research instrument
Questionnaire:
It is considered as heart of the present study. It is the out line of what information is
required for gathering market recruitment information. So it requires at most skill and care.

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NEED FOR THE STUDY

Man power requirements are to be estimated far beyond the actual requirements.
Recruitment and selection plays a vital role in attracting people with multi-dimensional
skills and experiences that suit the present and future organization strategies. Large
corporations on every where are realizing the advantage of choosing an effective employee.
Under this requirement, this study has been undertaken to understand the requirement and
selection at DELL Services.

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SCOPE OF THE STUDY

This study has been confined to the employees of DELL Services. This study
mainly focuses on the sources and procedures of Recruitment and Selection at DELL
Services.
The scope of HRM is indeed vast. All major activities in the working life of worker
from time to time of his or her entry in to an organization until he or her leaves come under
preview of HRM .Specifically, the activities includes are HR planning, job analysis, and
job design, recruitment An a selection, orientation and placement, training and
development, performance appraisal, and job evaluation, employee and executive
remuneration, motivation and communication, welfare, safety and health, industrial
relations and like.
Humans are an organization's greatest assets; without them, everyday business
functions such as managing cash flow, making business transactions, communicating
through all forms of media, and dealing with customers could not be completed. Humans
and the potential they possess drive an organization. Today's organizations are continuously
changing. Organizational change impacts not only the business but also its employees. In
order to maximize organizational effectiveness, human potentialindividuals' capabilities,
time, and talentsmust be managed. Human resource management works to ensure that
employees are able to meet the organization's goals.

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OBJECTIVES OF THE STUDY

Primary

To study the Recruitment and selection Process in DELL Services

Secondary

To know the various ways of Hiring the candidates and placing them in right
category.

To identify the various practices of recruitment prevailing.

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DATA COLLECTION

Primary data:
Primary data is collected through administering the questionnaires by direct contact
and also involved personal discussions to obtain insight of the information.

Secondary data:
Secondary data is collected from records, manuals and brochures maintained by
personnel department of the organization.

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LIMITATIONS OF THE STUDY

1. The study was restricted to the employees of DELL Services. The result cannot be
generalized to employees of other organization.
2. The information from all the employees could not be able to collect since they are
busy.

3. The respondents were hesitant to give the necessary information because of the fear
of the management.

DATA ANALYSIS AND INTERPRETATION

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Table 1: Table showing the no of years employee worked in this


organization.
Category
0-5 years
5-10 years
above 10 years
Total

No of employee
68
29
3
100

Percentage
68%
29%
3%
100%

Interpretation:
From the data it was clear that 68% of employees were working for 0-5
years, 29% of employees were working for 5-10 years and 3% of employees
were working for above 10 years.

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Table 2: Table showing in which department the employee is working

Category
Non-voice
Voice
Total

No of Employees
76
24
100

Percentage
76%
24%
100%

Interpretation:
From the data it was clear that 76% of employees were working in Non-Voice
department and 24% of employees were working in Voice department.

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Table 3: Table showing how the employee knew about the recruitment in
DELL Services
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Category
Associate Reference
Consultancy
Job Portals
Newspapers
Campus Selections
Job Fairs
Total

No of Employees
8
10
15
40
10
17
100

Percentage
8%
10%
15%
40%
10%
17%
100%

Interpretation:
From the data it was clear that 40% of respondents knew about the
recruitment through newspapers, 17% of respondents knew about the recruitment
through Job Fairs, 15% of respondents knew about the recruitment through Job
Portals, 10% of respondents knew about the recruitment through Consultancy, 10%
of respondents knew about the recruitment through Campus Selections and 8% of
respondents knew about the recruitment through Associate Reference.

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Table 4: Table showing the reasons for choosing the job

Category
Company Reputation
Job Security
Good working conditions
Opportunity for Advancement
Total

No of Employees
38
17
19
26
100

Percentage
38%
17%
19%
26%
100%

Interpretation:
From the data it was clear that 38% of respondents chosen the job for Company
Reputation, 26% of respondents chosen the job for Opportunity for Advancement, 19% of
respondents chosen the job for Good working conditions, 17% of respondents chosen the
job for job security.

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Table 5: Table showing the basis on which the Organization recruited the
employee

Category
Permanent
Temporary
Part Time
Contract
Total

No of Employees
43
23
14
20
100

Percentage
43%
23%
14%
20%
100%

Interpretation:
From the data it was clear that 43% of employees were recurred as a permanent
employee in this organization, 23% of employees were recurred as a temporary employee
in this organization, 20% of employees were recurred as a contract employee in this
organization and 14% of employees were recurred as a part time employee in this
organization.

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Table 6: Table showing the type of recruitment process the employees


have undergone in the Organization

Category
Typing Test
Aptitude Test
HR Round
Operation Round
Total

No of Employees
100
100
100
100
100

Percentage
100%
100%
100%
100%
100%

Interpretation:
From the data it was clear that 100% of respondents have undergone all the type of
recruitment process (Typing Test, Aptitude Test, HR Round and Operation Round).

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Table 7: Table showing how the employees feel about recruitment process
in DELL Services.
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Category
Excellent
Good
Average
Bad
Very Bad
Total

No of Employees
27
43
15
8
7
100

Percentage
27%
43%
15%
8%
7%
100%

Interpretation:
From the data it was clear that 43% of respondents felt Good about recruitment
process in DELL Services, 27% of respondents felt Excellent about recruitment process in
DELL Services, 15% of respondents felt Average about recruitment process in DELL
Services, 8% of respondents felt Bad about recruitment process in DELL Services and 7%
of respondents felt Very Bad about recruitment process in DELL Services.

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Table 8: Table showing how the Typing Test was held

Category
Tough
Easy
Very Simple
Total

No of Employees
25
60
15
100

Percentage
25%
60%
15%
100%

Interpretation:
From the data it was clear that 60% of respondents said that Typing Test was easy,
25% of respondents said that Typing Test was Tough and 15% of respondents said that
Typing Test was Very simple.

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Table 9: Table showing the time gap between hiring and placement

Category
Highly Satisfied
Satisfied
Neither Satisfied nor Dissatisfied
Dissatisfied
Highly Dissatisfied
Total

No of Employees
13
37
30
16
4
100

Percentage
13%
37%
30%
16%
4%
100%

Interpretation:
From the data it was clear that 37% of respondents were Satisfied the time gap
between hiring and placement, 30% of respondents were Neither Satisfied nor Dissatisfied
the time gap between hiring and placement, 16% of respondents were Dissatisfied the time
gap between hiring and placement, 13% of respondents were Highly Satisfied the time gap
between hiring and placement and 4% of respondents were Highly Dissatisfied the time
gap between hiring and placement.

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Table 10: Table showing how for the adequate and reliable information
about the company and job the company has given to the
employees

Category
Very True
Partly True
Not True
Total

No of Employees
50
40
10
100

Percentage
50%
40%
10%
100%

Interpretation:
From the data it was clear that 50% of respondents were Very True for the adequate
and reliable information about the company and job the company has given to them, 40%
of respondents were Partly True for the adequate and reliable information about the
company and job the company has given to them and 10% of respondents were Not True
for the adequate and reliable information about the company and job the company has
given to them.

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Table 11: Table showing on what basis the organization gives promotion

Category
Merit
Experience
Seniority
Performance
All the above
Total

No of Employees
30
25
25
15
5
100

Percentage
30%
25%
25%
15%
5%
100%

Interpretation:
From the data it was clear that 30% of respondents promotions were given on
Merit basis, 25% of respondents promotions were given on Experience basis, 25% of
respondents promotions were given on Seniority basis, 15% of respondents promotions
were given on Performance basis and 5% of respondents promotions were given on the
entire basis.

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Nellore 4.

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Geethanjali Institute of PG Studies,


Nellore 4.

Page 98 of 113

Table 12: Table showing the response for the Interview Process
undergone by the employees in the Organization

Category
Group Discussion(For Voice)
Grammar Test (For Voice)
Typing Test
Online Aptitude
HR Round
Operation Round
Total
Percentage

Good
35
23
36
48
12
61
215
43%

Average
10
25
59
36
86
29
245
49%

Poor
5
2
5
16
2
10
40
8%

Total
50
50
100
100
100
100
500
100

Percentage
100%
100%
100%
100%
100%
100%

Interpretation:
From the data it was clear that 49% of respondents said that the Interview Process
was Average, 43% of respondents said that the Interview Process was Good and 8% of
respondents said that the Interview Process was Poor.

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Table 13: Table showing the response for duration of the Interview
Process

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Category
One day
Three days
One week
More than a week
Total

No of Employees
30
20
35
15
100

Percentage
30%
20%
35%
15%
100%

Interpretation:
From the data it was clear that 35% of respondents interview was done by One
week, 30% of respondents interview was done by One day, 20% of respondents interview
was done by Three days and 15% of respondents interview was done more than a week.

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Nellore 4.

Page 101 of 113

Geethanjali Institute of PG Studies,


Nellore 4.

Page 102 of 113

Table 14: Table showing the response for emotional questions is


important

in

interview

selection

process

of

this

organization.

Category
Yes
No
Total

No of Employees
74
26
100

Percentage
74%
26%
100%

Interpretation:
From the data it was clear that 74% of respondent said that emotional questions is
important in interview selection process of this organization and 26% of respondent said
that emotional questions is not important in interview selection process of this organization

Geethanjali Institute of PG Studies,


Nellore 4.

Page 103 of 113

Geethanjali Institute of PG Studies,


Nellore 4.

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Table 15: Table showing, is there need for any change in recruitment &
selection procedures in this Company

Category
Yes
No
Some extent
Not At All Important
Total

No of Employees
34
26
24
16
100

Percentage
34%
26%
24%
16%
100%

Interpretation:
From the data it was clear that 34% of respondent said that there is a need for the
changes in recruitment & selection procedures in this Company, 26% of respondent said
that there is no need for any changes in recruitment & selection procedures in this
Company, 24% of respondent said that there can be a change for some extent in recruitment
& selection procedures in this Company and 16% of respondent said that its not at all
important for the changes in recruitment & selection procedures in this Company.

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Nellore 4.

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Geethanjali Institute of PG Studies,


Nellore 4.

Page 106 of 113

FINDINGS
68% of the employees have work experience of less than 5 yrs whereas 29% have
experience of more than 5 10 years.
76% of the employees work in the non voice department whereas 24% of then
work in the voice department.
40% of the employees came to know about the recruitment in DELL Services
through newspapers and 15% through Job Portals, Associate Reference,
Consultancy and Newspaper.
38% of the employees were attracted towards the company reputation and 28%
regarded job security.
43% of the employees fall under permanent job and 14% are part time.
It is analyzed than 100% of the employees underwent typing test, aptitude test, HR
round and operational round in the process of their interview.
43% of the employees feel good about recruitment process and 7% feel it to be very
bad.
60% of the employees respond that the typing test was held easy whereas 15% feel
it to be very simple.
37% of employees are satisfied with the existing time gap between hiring and
placement whereas 4% are highly dissatisfied.
50% of employees feel it to be very true about the adequate information provided
by the company and 10% does not agree to it.
30% of the employees consider merit as the main basis for promotion and 5%
consider merit, experience, seniority, performance.
All the employees underwent all the tests.
35% of the employees respond the duration of interview process to be one week
whereas 15% responded it to be more than a week.
74% of the employees consider emotional questions to be important and 26% do
not consider it to be important.
34% of the employees agree that there is change in the recruitment and selection
procedures whereas 16% does not consider it to be important.
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SUGESSIONS

A detailed procedure of the recruitment and selection process should be intimated to


the candidate at the time of the interview.

The organization should give information about the company to the short listed
candidates.

The time taken to conduct the interview should be reduced.

The selected candidates should be informed immediately.

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Nellore 4.

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CONCLUSION

The study on recruitment and selection process of DELL Services has proved that if
follows a sequential order. Majority of the employees are satisfied with the recruitment and
selection process.

The organization should reduce the time taken to conduct the interview and provide
information to the candidates regarding the recruitment and selection process.

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Nellore 4.

Page 109 of 113

ANNEXURE
QUESTIONNAIRES
1. For how many years are you working in this organization?
i. 0-5 years
ii. 5-10 years
iii.
Above 10 years
2. In which department are you working?
i. Non Voice
ii. Voice
3. How do you know about the recruitment in DELL?
i. Associate Reference
ii. Consultancy
iii. Job Portals
iv. Newspaper
4. Why did you choose this job?
i. Company Reputation is here
ii. Job security
iii. Good working conditions
iv. Opportunity for advancement.
5. For what basis organization recruited you?
i. Permanent
ii. Temporary
iii. Part time
iv. Contract.

6. What type of requirement process you have undergone in this organization?


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i.
ii.
iii.
iv.

Typing Test
Aptitude Test
HR Round
Operation Round

7. How do you feel about recruitment process in DELL Services?


i. Excellent
ii. Good
iii. Average
iv. Bad
v. Very bad
8. How was your Typing Test held?
i. Tough
ii. Easy
iii.
Very simple
9. What is your opinion regarding time gap between hiring and placement?
i. Highly Satisfied
ii. Satisfied
iii.
Neither satisfied nor dissatisfied
iv. Dissatisfied
v. Highly dissatisfied

10. Whether the company has given you the adequate and reliable information
about the company and the job.
i. Very true
ii. Partly true
iii. Not true

11. On what basis the organization gives promotion?


i. Merit
ii.

Experience

iii.

Seniority

iv.

Performance

v.

All the above

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12. Rate the following Interview Processes with a Tick Mark which you have
undergone in this Organization.

Category
Group Discussion(For Voice)
Grammar Test (For Voice)
Typing Test
Online Aptitude
HR Round
Operation Round

Good

Average

Poor

13. How long did it take to complete your Interview Process Successfully?
i. One day
ii.

Three days

iii.

One week

iv.

More than a week

14. Do you feel emotional questions are important in interview selection process of
this organization.
i.
ii.

Yes
No

15. Do you think that there is a need for any change in recruitment & selection
procedures in this Company?
i. Yes
ii. No
iii.
Some extent
iv. Not At All Important

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Nellore 4.

Page 112 of 113

BIBLIOGRAPHY

Website:
1. www.humanresourceabout.com
2. www.recruitment&selection.com
3. www.questionpro.com
4. www.wikipedia.org

Books:
1. Human resource management

- K. Aswathappa

2. Human resource management

-P. Subbarao

3. Principles of management

-T. Ramaswami

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Nellore 4.

Page 113 of 113

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