Industry profile

HR Outsourcing

HR Outsourcing refers to the follow of getting a third force/party organisation for handling
all or some of the business’s Human resource functions and tasks. Once tiny business
homeowners or HR professionals takes into account of HR outsourcing, they require to
examine what functions are outsourced, who else is outsourcing, and to whom they must
outsource.

Why Outsourcing HR?

According to the study by “The Society of Human Resource Management (SHRM)”, over
half of Human resource professionals have taken outsourced HR as an advantage. The two
top causes for outsourcing are time efficiency and cost benefits. These types of efficiency are
the real opportunity costs for business managers and owners, who lose time and money
focusing on Human resource tasks on what must be done and how it must be done to grow
the business using the resources. That is, money and time dedicated to worker management is
healthily spent by outsourcing HR in order that businesses will be dedicated to core business
functions. SHRM stated other reasons that include wide range of services offered, improved
compliance and more experienced in the Human resource field.

It refers to providing right job at the right place with the right fit of the candidates. It
basically refers to outsourcing manpower based on the requirement of the skills for a period
of time.

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Also called as temporary staffing, sub-contracting. This process is carried based on the
evaluation of the existing skills of the staffs present. Staff augmentation hence is defined as
the strategy which fills the skill gap. This refers to balancing the IT talent demand and supply
through innovative ideas with the help of dedicated client centric service focus.

Staff Augmentation has benefits such as:

 No Infrastructure investment
 Reduces time spent on recruitment.
 Eliminates the additional costs of having in house employees.
 Not bound by geographical limitations.

Staff Augmentation can solve problems related to geographic limitations, amount spent on
recruitment, Infrastructure investment and employment benefits related problems.

Reasons and the no. of agencies and contractors’ input into staff augmentation on an average
world-wide

Services Offered

External recruiting firm, list new job openings of their clients; find the pool of skilled human
resources, screen the applied candidates and interview the candidates, select the best and
place them as employees within the client’s organisation. Some staffing companies also
conducts induction and training purpose on behalf of client’s; take care of placed consultants’
payroll and manages their working life cycle and remarketing aspects. These staffing firms
charge a reasonable amount for the clients in return for the services provided.

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Staffing, recruiting, talent and workforce management, talent consultancy and advisory
services considered as one industry. This industry has 3 major sectors i.e. staffing agencies,
recruiting firms and personnel consulting companies. Recruitment made by these firms may
consist of both temporary and permanent staffing. It plays a vital role in economic growth of
the country by providing more and more career and job opportunity to people and reduces the
unemployment rate.

 General recruiting firm

General recruiting firm is also identified as contingency recruiters. They regularly
spotlight their attention to provide a workforce for a particular industry such as
technology or health care. They are paid by clients/customers only if the candidate
they suggested is hired. Contingency recruiters normally concentrate on recruiting
entry level to mid-level workers.
 Executive recruiting firm
Executive recruiting firm are also known as head-hunters or retained recruiters or
retained search firms. They mainly focus on recruiting workforce for high level
positions such as CEO’S, CFO’S etc. they are paid by the client whether the candidate
they suggested is hired or not.
 Personnel consulting companies
Personnel consulting companies provide human resource solution, that are consulting
and management, wage and salary administration i.e. payroll maintenance, employee
benefits planning and administration etc, to customers.

Staffing industries are offering larger flexibility for both clients and consultants because of
the following reasons:

 Filling up positions of absent or temporarily unoccupied employees by hiring

consultants temporarily.
 Offers additional employee support during busy and heavy working times on the
timely basis
 Provide staffs for particular short-term projects

Major Companies in Staffing and Recruitment sector

This Industry includes major companies like Signotech, Talent keepers, Manpower group, K
Force, Insight Global, Kelly services.

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Offerings by staffing and recruitment

 For Consultants
Staffing and recruiting service industry provides greater opportunities for people who
are in search of flexible employment arrangements and schedules. It also helps them
by providing the chance of undertaking work with different employers before
ultimately landing, Placing into a full-time job. It also helps consultants in realizing
their career aspirations. Based on their interest, skill set, work experience, career
ambitions with particular work offered by the client. And also offers training and skill
development program to make the workforce more competent, efficient and
productive.
 For clients
Staffing firms also help various employers to find suitable employees for the
organisation. By connecting prospective contract workers and employer(clients)
staffing firms comes out with the specific solution for customers’ needs from short-
term assignment to full-time hiring. It provides temporary staffing, seasonal and
permanent employment, recruiting, outsourced payroll and human resource
management and placement services. Client i.e. employer appreciates this process
because they will get employees as per their requirements and their interest also take
care. From outsourcing of recruitment process, a business can concentrate on their
main business objectives and it will reduce the work burden with reasonable fees.

Challenges

1. Companies in this staffing industry are highly competitive and take aggressive
business actions for filling up huge pool of skilled, qualified, competitive and talented
candidates. Some companies may concentrate on manual or physical labour. Some
other companies may focus on scientific, IT, Technical, Managerial and
Administrative skills. Talent Professional shortage can be a major problem, to
overcome from shortage of skilled candidates some staffing and recruitment firms
will provide training to improve skill sets. The accomplishment of employment
programs will help the firms to secure major contracts with huge commercial and
government clients.

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 2. At the time of economic depression and uncertainty, some clients may naturally cut
down the employment of provisional employees prior to conducting permanent
workforce layoffs.

Advantages of HR Outsourcing

 Reducing Cost
 Efficiency is Increased
 Human Resource IT systems are improved
 Management information is improved
 Access to Human Resource expertise is not available internally
 Speed of response and increased flexibility
 Philosophical reasons
 Reducing Risk
 To free HR Resources to operate m0re strategically.

What Human Resource functions can be outsourced?

If a corporation chose to partially source HR, the corporate shares responsibilities with the
seller, sharing data and management over the functions. The seller takes all the Human
resource responsibilities if the company is deciding to outsource completely. The HR
manager or the owner within the original company takes on a replacement role, liaison with
the seller focusing solely on HR to manage the seller company relationship. Whether
completely or partially outsourcing, companies frequently outsource the following Human
resource functions:

 Background screening
 Payroll Services
 Risk management
 Temporary staffing
 Employee counselling/Assistance
 Benefits of health care
 Retirement plans
 Performance management
 Drug screening

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To whom HR outsourcing is done?

The 3 types of outsourcing HR companies are Human resource Organizations, Professional

Organizations and Administrative services Organizations.

1. Human Resource Organization (HRO)

The majority of human resource organization (HRO) permit giant business (more than
thousand employees) to decide on which HR services they might outsource. When just
some functions are restrained by the HRO, a co-management relationship or shared HR
relationship is formed between the business and HRO. HRO takes full responsibility
when all the functions are outsourced by HR. In massive organizations, the strategic HR
role remains an interior position, but most of the tactical roles and administrative are
outsourced. Using professional employer organization this can be achieved in smaller
organization (less than two hundred employees).

2. Professional employer Organisation (PEO)

A professional employer organization (PEO), handles all Human Resource tasks and
sometimes a lot of useful for tiny and mid-sized businesses (less than two hundred
employees). When a business outsources HR to knowledgeable leader organization, they
enter a co employment relationship within which the PEO becomes the leader of record
and therefore the company will be on site leader. As an employer of record workers
compensation and taxes will be held responsible by professional employer organisation.
Due to shared burden the financial liability of small business decreases. Additionally, the
PEO will acquire reduced rates on health benefits and retirement packages by combining
workers from all their customers. They typically provide outsourced payroll, performance
management, background screening, recruiting and varied employment body tasks that
depend upon the wants of the business that hires them.

3. Administrative Service Organization (ASO)

Administrative Service Organization or ASO hiring is the third scenario in HR

outsourcing. As the name only says that an ASO in a company provides administrative
services. These include filling payroll taxes, processing payroll, performing direct

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 deposits. Federal employer ID number (FEIN) is used for filling, which is similar to
outsources payroll. However, in contrast to outsourced payroll, the Administrative
Service Organization can often help with queries regarding to compliance and legal
considerations, workers compensation, insurance access and dental or medical benefits.
These costs and offerings are determined by our worker base and employment risks
related to holding them. The Administrative Service Organization is providing
Employment related relief to small business employer who have more than fifty
employees. The functions of Administrative Service Organizations include:

 Safety Management
 Compliance
 Services regarding payroll
 Pension administrati0n
 Workers comp

There are few significant factors that has to be considered when HR outsourcing is done for
an individual vendor will include the following:

 Organisation should have a proven track record

 Costs of the services
 Guarantee of service levels
 Flexible options of contracting

Major benefits of outsourcing HR functions

 Minimise risk associated with changing employment and labour laws

 Unrivalled cost savings especially with BPaaS which makes HR BPO even cheaper
and easier to consumer and deploy
 Greater efficiency in managing human resources
 Reduced in house workload and better ability to focus resources and time on core
business activities
 Better employee performance management and development

IT industry

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The IT industry has been able to make its presence felt in global business world and has come
out being a leading in terms of productivity, employment generation and exports, because of
which it has been able to create a brand for itself in global IT market. IT industry is playing a
major role in strengthening the technical and economic foundations in India. IT industry can
be broadly segmented into three major categories namely, IT services, ITeS (IT enabled
services) & BPO services, & software.

With companies such as TCS, Wipro, Infosys, Tech Mahindra which are said to be renowned
in global markets for their excellent work in the field of IT, the profile of Indian IT industry
has taken a major change. IT industry has been the fastest growing and leading industry in
India over the decades. This industry has seen a compounded annual growth rate of 29%
because of the increasing demand for IT software services over the last few years.

As this industry creates employment for both technical and non-technical graduates, this
industry hence has a wide scope throughout the country. The evolution of IT industry can be
studied in four phases namely:

 Phase 1: Early 1980’s

 Phase 2:1980’s-1990’s
 Phase 3: 1990’s- 2000’s
 Phase 4: Late 2000’s

Information Technology marked a crucial point in history of the global trade and services.
With the increasing demand in availability of international bandwidth and major workflow
software’s related to management, now it is possible to segregate any business function,
execute various interrelated sub process in multiple locations parallel around the world. This
is bringing in the major fundamental changes in global IT services. The vendors as well as
customers are trying to refine & refine the value of service in the industry. It has enabled to
increase the productivity in various areas of the economy. The exceptional growth of IT
industry has impacted Indian economy as a whole in a positive way. In addition to positive
impact on National income it also had impact in employment generation, rise in direct tax
collection, has improved life style and spending percentage that is higher disposable income.

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Company Profile

Company name – Signotech Systems Pvt Ltd

Company profile - Man Power Out Sourcing, HR Recruitment Services and IT

Managing Director – C B Goud

Company Address – C.K Pearl Complex, 2nd Floor, L-151, 14th cross, 5th main 6th sector,
HSR Layout, Bengaluru-560102

Company Mail – [email protected]

Vision - “Be the best engineering, construction, project management and outsourcing
organization by achieving extraordinary results for our customers, building satisfying careers
for our people, and earning a fair return on the value we deliver.”

Mission - “To undertake engineering, construction, project management and outsourcing

projects with a focus on becoming the leader by maintaining excellence in every aspect to
meet customers’ stringent requirements regarding quality, on time delivery, safety and
environmental concerns.”

Values

People - We recognise the value of our people and continually strive to develop human
resources. We recruit knowledgeable and highly skilled professionals while providing
opportunities in training and self – development.

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 Commitment – We’re firmly committed to deliver quality projects and services. We
make sure to understand the client specifications and their requirements for a timely
delivery.

Integrity – We act with honesty and integrity, never compromising the truth. No matter
what the circumstances, we always do the right thing.

Adaptability and Flexibility – We adapt to various engineering and outsourcing

requirements to meet project demand. Our ability to adapt and be flexible to meet our
client’s needs are one of our top pillars of strength.

Continuous learning – Learning is ongoing. We believe in integrating the latest in

construction, engineering and outsourcing technology to ensure that our clients get
nothing but the best.

Trust – Mutual trust is essential for the right conduct of our business and the efficient
handling of our projects. We’ll be transparent with our clients at all stages to build and
maintain the utmost level of trust.

Customer satisfaction – we believe that our work is never complete without the final
nod of approval from our clients. We are committed to our client’s approval and our work
is not complete until all the requirements and specifications have been met.

Achievements

 Fastest Growing Indian Company Excellence Award on 25 th June 2016 on the

occasion of National Seminar on “Individual Achievements & National
Development” at New Delhi.
 Leading Emerging Indian Company of the year Award on the Occasion of “Global
Business Opportunities” at Bangkok, Thailand.

MD’s Desk

Signotech has come a long way since its inception and has achieved strong milestone in its
years of existence. Our experience so far has been enriching with improvement over the
previous years with respect to industry exposure.

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We’re fast growing engineering company with a strong dedication to customer satisfaction,
and a drive to provide positive technical contributions to the most difficult technological
problems.

Years of Experience – 25 Years

Professional Experts – 54

Successful Projects – 1530

Satisfied customers – 1310

Core technical services

Railway signalling

Leverage our railway signalling experience across multiple domains. Rely on our multiple
years of experience and unbeatable domain expertise to build engineering solutions that
transform lives.

Preliminary designs

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  Signal Interlocking Plan
 Control Table
 Cable Core Plan
 Bonding Plan

Detailed Designs

 System Configuration
 Interface Wiring Design (Indoor/Outdoor)
 Power Calculation
 Application Logic Program
 VDU/LCP Design
 As-Made Design
 Site Survey
 Location Design

Installation & Commissioning

 Installation of Signalling Equipment’s (Indoor/Outdoor)

 Testing and Commissioning

Project Management

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Signotech Systems Pvt, Ltd. Offers project and programme management services, helping
you ensure that your projects are well planned and organised to complete on time and within
the budget. They handle all types of resources, procedures and protocols to achieve their
intended purpose.

Achieving the goals:

 Initiating
 Planning
 Executing
 Monitoring
 Controlling
 Closing

Their wings are spread over with the Railway Signalling giants in the project execution of:

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  TPSW – Onboard and Trackside
 Metro
 Monorail

Engineering Support

The best knowledge and expertise of signotech can fulfil your business needs and support
your organisation to grow more rapidly. Our experience with the business can also help your
institute to grow non-linearly. They strive to make you march forward by providing a right
mix of qualified and experienced resources around industries like health care/pharma and
Life science, Retail and consumer, Transport and logistics.

They intend to enter the automotive space, Aerospace, Banking and Financial Services,
Power/Energy and Utilities, Telecommunication and Information Technology etc.

Telecommunication

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  Communication Protocols
 Electronic Switching system
 Optical Fibre Communication
 VOIP Phones, PBX Systems and Modern Design

Automotive

15
  Designing of Circuits, ECU and Vehicles
 Engine Management and Calibration
 Electrical/Mechanical CAD
 Finite Elements Analysis
 HVAC
 Lab car Designs and Support

Energy and Utilities

 Engineering equipment
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 Offshore and Pipeline
 Research and Development
 Support for design, Exploration, Inspection, process Compliance and Projects
execution

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OVERVIEW OF THE DEPARTMENTS OF THE COMPANY

SIGNOTECH

R&D
ADMIN &
MAINTENANCE

HR FINANCE MARKETING IT

HR OPERATION ACCOUNTS BRAND

TALENT MARKETING
PAYROLL
ACQUISITION DIGITAL
COMPLIANCE INFRASTRUCTURE
RECRUITMENT MARKETING
TAX SECURITY
COMPENSATION CUSTOMER
SECRETARIAL & RESEARCH ASSET
GRIEVANCE LEGAL MANAGEMENT
HANDLING MARKET
MAINTENANCE
RESEARCH

Signotech Systems Pvt. Ltd. has major functional departments such:

1. Administration & Maintenance

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 2. Human Resources
3. Finance & Accounts
4. Marketing
5. Information technology
6. Research & Development
The above-mentioned departments can be compressed into four major functional
departments namely Administration also known as Supply Chain Management
(SCM), Human Resources (HR), Finance and Marketing & Sales.

Administration and maintenance:

ADMINISTRATION
EXECUTIVE

ADMINISTRATION
MANAGER

SECURTIY
VEHICLE
SUPERVISO
SUPERVISOR
R
HR
SUPERVISOR RECEPTION
SUPERVISOR
ADMINISTRATI
ON PUBLIC
SUPERVISOR LOGISTICS RELATIONS
SUPERVISOR SUPERVISOR

This are one of the common departments in every organisation. This department takes care of
the overall administration and maintenance of the organisation. This department provides
administrative and technical aid to the other various departments of the organisation such as
accounts, legal affairs, human resources, security and facilities. This department records and
maintains the day to day activities of the organisation. This department has some important
responsibilities such as:

i. Retrieving of important documents when required

ii. Management of information and daily administrative affairs
iii. Organising and conducting meetings

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 iv. Making attendance sheet and creating analysis report
v. Reception and public visit registration
vi. Daily security work and fire safety
vii. Vehicle scheduling, logistics management, and maintaining public relations.

The structure of administrative department of the organisation is as follows:

It is seen from the organisation structure of the department that there are various supervisors
allotted for different activities within the department such as security supervisor, logistics
supervisor, reception supervisor, vehicle supervisor etc. each of them specialised and
experienced in that particular field.

All the departments in the organisation are interdependent. The interdependence of the
administration department with the other functional departments of the organisation is as
shown in the figure below. The figure below represents the input given to the department
from the other departments and the output the administration provides to those inputs.

Working sample:

i. The data such as the availability of materials the delivery details are given to the
administration department which in turn after analysis provides details regarding new
orders.
ii. This department also helps in providing the data required by the accounts & finance
department to find out the data related to the resources used.

Human resources:

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 HR MANAGER

HR ASST.
MANAGER

TRAINING & COMPENSATIO HEALTH & EMPOLYEE

RECRUITMENT
DEVELOPMENT N & BENEFITS SAFETY RELATIONS

This is the department which brings human involvement into the organisation. This team
maintains good mutual relations with the employees and takes care of their needs, solve their
grievances. The interests of all the internal employees, employers are being considered by
this department. HR team oversees the activities of the human resource management and
maintenance of internal policies such as policies relate to leave, dress code, reimbursement
etc.

This department takes care of various functions such as

i. Recruitment: Hiring of employees.

ii. Training and development: Providing support in enhancing their skills.
iii. Compensation: Bonuses, Incentives are provided for their extraordinary work.
iv. Health & Safety: Takes care of indecency activities such manhandling, harassment
etc.
v. Employee Relations: Maintaining good relationship between employer and employee.

The structure of the Human Resource department of the organisation is as follows:

This department requires accurate data to forecast the personnel needs of the other functional
departments. One important responsibility of an HR is to recognize the skills required by an
employee to perform a particular job and affordance of the company for that job. This
department observes government regulations in its functions such as recruitment, training,
promoting, compensation and termination of employees.
All the departments in the organisation are interdependent. The interdependence of the HR
department with the other functional departments of the organisation is as shown in the figure

21
below. The figure below represents the input given to the department from the other
departments and the output the HR team provides to those inputs.

The inputs to the HR team are forecasts of the personnel, data related to the skills required for
which the output from the HR team are compliance, training and certification, compensation
to the employees.

Working sample:

Departments such as finance, marketing and administration provides the information

regarding their requirements for a particular job for which the HR department in return
provides data related to payroll, expenses, legal requirements and job information.

Finance & Accounts:

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 CFO

HEAD OF THE
DEPARTMENT

ACCOUNTS
TREASURY
PAYABLE &
MANAGEMENT
RECEIVABLE

ACCOUNTING PAYROLL
& REPORTING

BUDGETING & TAX

FORECASTING
INTERNAL
AUDIT &
COMPLIANC
E

It is an important department in an organisation as it deals with finances and budgets. Under

this department information related to payroll, sales, purchases and receipt of cash from the
customers are being recorded. This department requires information from all the other
functional areas. The company’s transaction is recorded in the books of account. It
summarizes the information regarding the transactions for preparing financial reports,
financial position and profitability of the company.

The structure of the Finance department of the organisation is as follows:

This department takes care of various functions such as:

i. Accounts Receivables: Involves billing, invoicing
ii. Accounts payables: Maintains creditors payment activities
iii. Financial Reporting: Preparation of trial balance, P&L account, Balance Sheet to
evaluate financial position of the company.
iv. Tax: Recognizes revenue, maintains proper records for filing tax returns
v. Treasury Management: Administers all financial assets & financial Holdings of the
company etc.
All the departments in the organisation are interdependent. The interdependence of the
Finance department with the other functional departments of the organisation is as shown in

23
the figure below. The figure below represents the input given to the department from the
other departments and the output the Finance team provides to those inputs.

Working sample:

i. The marketing department provides the sales data to the finance department, in return
marketing team receives the cost & profit analysis for the sales data.
ii. The finance team will send the invoices and credit memo to the customers and they
receive payments from them.
iii. Finance departments provides the information regarding their requirements for a
particular job for which the HR department in return provides data related to payroll,
expenses, legal requirements and job information

Marketing:

CMO

HEAD OF THE
DEPARTMENT

PR &
BRAND DIGITAL CUSTOMER MARKET ACQUISITION
SPONSORSHI
MARKETING MARKETING RESEARCH RESEARCH MARKETING
P

This is that department of organisation that brings revenue to the organization. This
department must me creative and innovative to attract the customers so that they get the
enough revenue to the organization. This department helps in promoting the business and
helps in increasing the sales of the services of the company. This team helps in identifying
and differentiating between the target customers and other audiences.

Some major functions of this department are as follows:

i. Goal-Setting of sales: Setting a standard and amount of sales to be achieved.

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 ii. Pricing and Distribution Planning: Planning the way of distribution and the cost
related to those services offered.
iii. Promotions and Marketing: Advertising the services to the customers.
iv. Identifying the target customers: By means of customer and market research to find
the customers who are in need of the services offered.
v. Business Development: Refers to the development of the current business into
different means by adopting various strategies to attract the customers.

Information Technology: IT department maintains a complete data of the organisation and

maintains point to point connectivity in the organisation by maintaining server and data
center. IT team also manages the framework, policies, procedures to have legal, physical,
technical control on data and helps for managing the information risk. Any sotware license
will be managed by the IT team of head offices that is located in Singapore.

This department performs various functions such as user ID creation, Providing IT

information when required, Maintaining Security management, Asset management, Providing
network access, Maintenance of anti-virus software etc.

Research and Development: This department has an important and integral role in a
service’s or a product’s life cycle. Though this department is termed as a different department
this requires a complete collaboration from the other functional departments like ales, finance
etc. The members of this department must me innovative enough and must have a research
knowledge so that they can develop new products or services which will be helpful to the
customers in the near future. This department also helps in

i. Conducting research for developing new product or services.

ii. To keep the updates about the existing products or services.
iii. Being innovative.
iv. Checking the Quality of the service or product.

ANALYSIS

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Analysis of an organisation may involve McKinsey’s 7S Model, SWOT analysis, Financial
Analysis etc.

McKinsey’s 7S model is one of the organisation’s analysis tool which examines the 7S’s of
the organisation namely Structure, System, Strategy, Skills, Staff, Style and Shared Values
each of which helps in analysing the organisations various activities and characteristics. This
tool helps in accessing and monitoring the changes in an organisation.

SWOT refers to the Strength, Weakness, Opportunities, and Threats of an organisation. This
analysis tool helps in examining the internal and external factors which has effect on the
performance of the organisation such that this helps in focusing the strengths, minimizing the
weaknesses, taking a move towards the opportunities to the maximum and be aware of the
threats & overcoming them. Hence this analysis tool helps to have a proper knowledge of the
business’s current position and has an integral role in strategic planning.

Financial analysis refers to the analysis of financial statements of an organisation to comment

on its financial position. This involves the evaluation of income statements, cash flows and
balance sheet to examine the current financial performance and also predicting the future
financial performance and enable the organisation to carry out budgeting activities by
analysing trends, ratios and by analysing the risks.

SWOT ANALYSIS

SWOT Analysis is an effective tool of analysis. It is a tactical planning technique which

enables the organisation to get insight into its Strengths, Weaknesses, Opportunities, and
Threats related to business. It is a method of analysing the environment and helps in finding

26
out where the company stands in it. It considers both internal and external favourable factors.
It also helps to analyse the business position and its competitiveness.

1. Specialised Organisation structure:

Signotech Systems Pvt. Ltd. has a centralised flow of organisation structure, it enables
the effective flow of information through proper communication channels.
Specialized and networked organisation structure helps to speed up the decision-
making process. It enables qualitative decision making.
2. Taking care of candidates:
The company not only gives importance to its clients but also concentrates on each
and every candidates’ career aspirations and support their aims, also take care of their
interest.
3. Consistent Performance:
The company has been known for delivering excellent results with great consistency.
They continuously set targets and achieve them and work towards the betterment of
their own previous track records which helps them remain consistent.
4. Global Coverage:

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 Signotech Systems Pvt. Ltd. is a multinational company having branches and
subsidiaries across the world. They have a strong presence in Singapore, Malaysia,
Philippines, Brunei. They have more than 3000 employees.
5. Flexibility in Operations:
The company follows elasticity in its operations and changes with the changing
environment. It has strong organisation culture that enables dynamic operations.
6. Client Focus:
Signotech Systems Pvt. Ltd. is customer centric organisation. It focuses on clients’
requirements and finds out the workforce based on their needs. Clients will give pre-
requisites such as number of employees required, work specifications, skills required,
project specifications etc. Based on these needs the company will search candidates
and make hiring arrangements.
7. Strong Organisation Culture and Philosophy:
The company has strengthened organisation culture though its appropriate internal
policies, which enables the positive organisational environment.
8. Personnel with expertise:
The company have a reputation for having great expertise in their respective areas or
departments. They act as an asset to the company in adding value and improving the
effectiveness and efficiency when it comes to delivering performance.

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1. In time fulfilment:
Meeting immediate human resource such as staffing need of the client and finding
prospective employer as per the requirement is not an easy task. As there exists some
gap between the demand and supply timely fulfilment is really tough to achieve.
2. Maintenance of consultants’ life cycle:
Maintenance of all the consultants’ life cycle up to date and in timely manner,
handling all the activities from on boarding to off boarding is a tough task.
3. Utilisation of human resources:
Aa a staffing company efficient employment of all human resources like consultants
and employee skills without creating any concerns of labour laws is another challenge
and hence a weakness.

4. Work life flexibility:

There is a limited work life flexibility and this area which needs to be concentrated
and improvised, since work life balance is an integral part of employee satisfaction,
which remains crucial in deciding employee loyalty.
5. Cost control:
Lack of proper planning, strategies, faulty organisation techniques increases the cost
of operations. Cutting down the cost and recovery of incurred cost many be quite
difficult.

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1. New customers:
Procurement of clients from different domain, functions is also an opportunity i.e.
instead of only acquiring IT people it can get clients other domains like finance,
mechanical etc.
2. Proper forecasting:
The company has a vast opportunity to predict future requirements. Foreseeing the
future labour market will help to scale up the business operations. It also includes
proper survey and research to get trends. The company also has an opportunity for
matching and scheduling the day to day operations as per future prospects.
3. Innovation:
The company also has an opportunity to add on to a lot of innovation when it comes
to its current procedures and processes which can lead to the better performance of the
company. They can try adding on new characteristics as well as improved standards to
the existing system.
4. Expansion and diversification:
Extension of business activities through acquisition and mergers is a main opportunity
of the company. Expanding further increases the chance of its brand getting added
reputation and goodwill. As the company as shown effectiveness in its outcomes the
company can even diversify itself.

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5. Commitment to change:
Taking proper actions to grow with the dynamic environment as a staffing firm
Signotech Systems Pvt. Ltd. has wide opportunities to convert marketing changes in a
positive way as per requirements to gain competitive advantage.
6. Cost reduction:
The company does have a good opportunity to draw various plans in order to
inculcate cost reduction and further more invest in many other strategies of the
company.

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1. Competitors:
There is always a threat of the competitors coming up with newer and improved
methods of working and this can definitely affect the organisation. This is one of the
biggest threats since the industry itself is a very competitive one.
2. Managing cost and time:
Employee’s aspirations for better salary and good working conditions are growing.
Conducting staffing and recruitment process economically & most efficiently with
minimum cost is quite difficult. Managing the time horizon between the demand and
supply of employees and meeting the immediate staffing requirements of the clients is
one of the major threats.
3. New entrants:
The risk of new competitors entering the market is another uncontrollable threat.
Every industry does face this and needs to take effective measures to tackle the same.
4. Reducing Talent supply:
The company struggles to find enough skilled human resources who are in scarce
supply and striving hard to match client’s workforce requirements & candidate’s
career aspirations and managing the quality of employees is also a threat to the
company.
5. Changes in economic and market environment:

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 Changing in economy i.e. inflation, deflation, recession, adversely effects on any
business, unfair market competition to hold higher market share is a threat from
external environment.

McKinsey’s 7S Model

It includes 7 elements namely structure, strategy, systems, staff, skill, style and shared values
which can be classified into two groups called soft and hard elements.

1. Soft Elements: These cannot be directly influenced by the management. These are
less tangible and are influenced by the organisational culture. It includes:
i. Skills- This refers to the actual skills required by the employees to do a particular
work.

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 ii. Staff- This refers to the employees and the competencies held by them in the
organisation.
iii. Style- This explains about the style of leadership adopted to achieve the business
goals.
iv. Shared Values- This refers to the central goals, core values and value propositions of
the organisation.
2. Hard Elements: These can be directly influenced by the management. These are easy
to define and identify. It Includes:
i. Structure- It refers to the structure of the organisation i.e. to whom each employee of
the organisation must report to.
ii. Strategy- This refers to the plan utilised by the organisation to achieve the objectives
of the organisation. This helps to have a competitive advantage over its competitors.
iii. Systems- This represents the day to day work of each and every activity carried along
with the procedures followed to do the work.

Soft Elements

i. Skills:

Skills represent the ability and knowledge required for the company such as interpersonal
skills, ability to communicate, and problem-solving skills, knowledge of developing the
software and management experience etc.

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Signotech Systems Pvt. Ltd. has distinctive skills and competencies of employees and all of
them are performing well by having required skills and abilities to do a particular job and
these skills are aligned with operations, nature of job and job requirement which thus stands
out as big advantage to the company.

Signotech Systems Pvt. Ltd. understand the value and importance of the skills of their
employees and hence take measures to enhance their skill set by providing necessary training
programs which fills the gap between the required skills and the available skills.
Effectiveness of training programs are done based on the survey, feedback and cost benefit
analysis. They also encourage their employees by helping them to attend various workshops
which improve their skills.

Skills of employees are continuously monitored, assessed, reviewed and performance

appraisals are done to motivate the employees to utilize their skills to maximum extent.
Signotech Systems Pvt. Ltd. also holds core competencies like effective leadership, analytical
ability, creative thinking, conflict resolution, decision making, self-confidence, stress
management, commitment towards work, accepting duties and responsibilities.

ii. Staff:

Staff describes the human resources of an organisation, relationship between them, and their
behaviour towards the company. The employees in the organisation have a lot of expertise
and integrated knowledge about the work they do for the company. The general capabilities
of the staff are extremely good. Every person and their expertise and the knowledge in order
to carry out their respective work. The team here is extremely friendly as well as always
eager to share their knowledge. They have a lot of capabilities of being able to carry their
responsibilities with utmost perfection and preciseness which is a great strength to the
company.

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For internal working few employees are required and as a staffing firm Signotech Systems
Pvt. Ltd. is acquiring more staffs in the form of consultants. Signotech Systems Pvt. Ltd. also
has proper staff engagement strategy to utilize available skills to maximum extent. All staffs
of Signotech Systems Pvt. Ltd. possess all required skills and competencies as per job
description and employee specifications. The staffs are quantitative and hence are the main
key in maximising the company value& image, achieving the business objectives, and
complete success of the organisation.

iii. Style:

Signotech Systems Pvt. Ltd. follows a combination of transformational leadership and

democratic leadership style. These leadership styles motivate the employees to work
efficiently towards the achievement of organisational objective.

Transformational leadership style helps to give better support and provides various
opportunities to workers and enables them to achieve an organisational objective and this
provides a competitive advantage. Whereas Democratic leadership style gives a sense of
satisfaction to the employees since they feel they that their opinions are valued and are
considered in the organisation and they are valued as a resource.

The combination of these two leadership styles gives a sense of responsibility and satisfaction
as employees feel their opinions are also considered in the decision-making process. These

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leadership styles also increase the overall satisfaction as an employee of the firm and in turn
can contribute to the company.

The main aim of Signotech Systems Pvt. Ltd. is to raise the performance of the business
through impactful and powerful inspiring style of leadership and true engagement of
employees through efficient control. 360 Info secure Technologies Pvt. Ltd.’s style of
leadership is also providing a collaborative working environment through targeted
development program addressing all levels of employees in the organisation.

These types of style consider both organisational and individual employee needs, tailor their
needs as per the company’s culture. Thus, these leadership styles help to build a good mutual
relationship, trust and confidence, because of which the employees feel their belongingness
and commitment to the organisation.

iv. Shared Values:

Shared values are the various conditions, standards and norms that guide the employee
behaviour and thus stand as a foundation for the company. These may include even
responsibility, initiative and determination, openness and trust, fairness, credibility and
legality.

Signotech Systems Pvt. Ltd. believes in character and mutual relation, trust which is an
essence to retain human resources, tries to achieve positive results through competitive spirit
and also rely upon serving others through their honest feedback system. Some of the
fundamental values which form the strong basis for the company include Character, mutual
relation, competitive spirit, Serving others, ethics, performance and diversity & inclusion.

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a) Character- Signotech Systems Pvt. Ltd. believes in character which is important to
attract and retain qualitative, dedicated and integrative candidates.
b) Mutual Relations- As a Human resource sourcing company Signotech Systems Pvt.
Ltd. mainly focusses on building mutual trust and confidence by maintaining good
mutual relation with clients and consultants.
c) Competitive Spirit- Signotech Systems Pvt. Ltd. believes in hard working in a team in
a competitive spirit to achieve positive results which leads towards the achievement of
organisational objectives.
d) Performance- Signotech Systems Pvt. Ltd. aims at providing highly qualitative
services to both clients and consultants and hold each and every worker accountable
to deliver the best performance.
e) Serving others- Signotech Systems Pvt. Ltd. believes in serving the people honestly
by taking care the interests of the clients and helps in doing right thing with least
harm.
f) Ethics- Signotech Systems Pvt. Ltd. trust in morality and ethics.
g) Diversity and Inclusion- Signotech Systems Pvt. Ltd. employs diversified workforce,
employees are from different background, race, religion, age. They also believe in
unity and provides equal opportunity to all without any discrimination and include all
the employees under one roof.

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 Hard Elements
i. Structure:

Signotech Systems Pvt. Ltd. has simple organisation structure and all the activities are
divided in each department on the basis of functions. It has divided its activities as
Administration, Finance, Human Resource, Marketing & Sales, and IT each of them have
their own role to play and are sub-divided with their respective functions. In this organisation
the sub-division is as follows:

a) HR department is sub-divided into HR operations, recruitment, Talent acquisition,

Compensation, Grievance Handling etc.
b) Finance department is sub-divided into Accounts receivables & payables, Financial
Reporting, Treasury management, Tax, Payroll, Compliance etc.
c) Marketing & Sales department is sub-divided into Brand marketing, Digital
marketing, Acquisition marketing, Customer and Market research etc.
d) IT department is sub-divided into Security, Asset management, Infrastructure etc.

360 Info secure has a centralized decision making such that all the instructions will be issued
by top management and every department integrate and coordinate their daily activities to

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achieve the common organisational goals. This is a type of organisation structure wherein the
various business activities are organised according to their specialisation. This type of
management system helps the company to run smoothly and efficiently. In this type of
organisation structure, the Head of the functional departments report to the Chief Executive
Officer (CEO).

Each department has department head as reporting authority and supervise, authorize,
validate and approve the work. Each team has a manager, assistant manager and team leaders
to coordinate the activities and they also play an important role in organising the team
members, alignment of activities, and providing roles & responsibilities. Every team member
and employees should report their work to their respective reporting authorities. Every
employee will be assigned with some rules, responsibilities and duties for which every
employee is responsible and accountable.

ii. Strategy:

Signotech Systems Pvt. Ltd. follows various strategies, which help them to make timely
decision making. Strategies are nothing but the plans that are prepared by the organisation to
achieve their goals and objectives. As it is a start-up company the main strategy is Market
Penetration which the company uses to enter into the wide market. Market penetration
involves price adjustments, increasing promotions, Increasing the reach thereby increasing
the usage.

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Their utmost preference is given to the interests of the clients and hence providing the best
quality service to the clients. The company even ensures compliance with various corporate,
labour, and environmental related laws.

Some of the strategies followed by Signotech Systems Pvt. Ltd. are:

a) Specialised branding strategy- Identifying the target customers and advertising them
about the company through digital marketing also.
b) In-depth research strategy- A complete in-depth research about the industry is done,
so that the target customers can be easily found.
c) Recruitment strategy- Refers to hiring of candidates with distinctive and innovative
skills and qualities.
d) Human Resource strategy- To maintain healthy relationship with the consultants and
employees, the company has developed a strategy so as to improve the employee’s
trust, confidence, morale and performance.
e) Workforce diversity management strategy- This is a unique strategy that Signotech
Systems Pvt. Ltd. follows, which refers to providing equal opportunities for each and
every employee in the organisation without discrimination.
f) Satisfaction survey- Signotech Systems Pvt. Ltd. conducts satisfaction surveys from
both clients and consultants to get review on its activities to determine its
effectiveness and improve them.

The other strategies of Signotech Systems Pvt. Ltd. include the experience of the employees,
being social, getting involved in implementing new technologies, software thereby offering
innovative and unique features to the clients.

iii. Systems:

Systems refers to the rules, regulations and procedures that the company follows to achieve
its objectives. Signotech Systems Pvt. Ltd. has a formal system of daily activities and enables
employees to take active part in finishing of job. They have an excellent internal process to
support and implement their core strategies.

Signotech Systems Pvt. Ltd. has stronger communication, Information Technology and
Human Resource, customer support/Order processing system. Timely communication and
interaction with clients, consultants and employees help to proper maintenance of working

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conditions. They have an excellent and solid information technology system which helps
them securely storing, sharing of data.

Human Resource systems, policies of Signotech Systems Pvt. Ltd. provide background
support for the smooth functioning of business. Customer support system enables to meet the
client’s all requirements in the best possible manner. Signotech Systems Pvt. Ltd. has a
centralized system authority where each and every employees’ work will be monitored and
controlled by the respective higher authority top management. Based on roles and
responsibilities of work necessary resources are being allocated to the employees by the top
management.

As part of 360 Info secure Technologies Pvt. Ltd.’s organisational system every internal team
should keep a track of its daily work, duration for work completion, level of work
completion, availability of necessary resources etc. The company also maintains a proper
feedback system to get review of its activities and based on the responses it alters the
operational systems to achieve the organisational objectives. When it comes to conducting
events and managing the visibility creation to their clients, they take extensive care in
implementing best practices by conducting various researches, outcomes, etc.

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Learnings from Organisational study

Human resources department is the department of an organisation’s workforce or human

resources. It is responsible for the recruitment, selection, placement, induction, training and
development.

Recruitment Process

The recruitment section is very important because they balance the man power in the
organisation whenever there is requirement for human power. Vacancies due to promotions
of employees, transfer of employees, retirement of employees, termination. The entire data of
candidates were present here such as candidature, emails, qualities, comments after HR calls,
Interviews taken by panel, Candidates queries.

Steps in Recruitment Process:

 Candidates were sourced through many platforms such as Naukri.com, LinkedIn

(secondary source)
 Some references were made by employees
 Screening was performed based on basic requirements such as experience,
Knowledge, expected CTC etc.
 HR calls were made for checking communication and capabilities.
 Aptitude tests and group discussion were made to fresh candidates, where as technical
round was conducted for experienced candidates.
 Scheduling of Interviews were done for face to face interview.
 Interviews were conducted and final selection was made for the vacancy.
 Offer letter was given to the selected candidates by the senior team.

References and job portals are mostly used as recruitment source. To some extent Tapzo has
pre set criteria for sorting the candidate’s application. Concerned departmental head is given
special attention while selecting a candidate of the department. Observed freshers,
unemployed and candidates with low CTC showed more interest in the job profiles compared

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to experienced and high CTC candidates. Also, there are 50% chances a candidate might pick
up the call and answer our questions, so continuous follow-ups are required. From that 50%-
60% might attend our interviews. After all rejections and selection processes the company
selects 5%-10% of candidates out of the 60% to join the company.

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