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Recruitment and selection are two of the most
important functions of personnel management. Recruitment
precedes selection and helps in selecting a right candidate.
Recruitment is the process of discovering the manpower to meet
the recruitment of the staffing schedule and to employ effective
measures for attracting the manpower in adequate numbers to
facilitate effective selection of efficient personnel. That is the
reason, recruitment is being called appositive function and
selection is being called a negative function.

Every organization needs to look after recruitment and selection

in the initial period and thereafter as and when additional
manpower is required due to expansion and development of
business activities.

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SIMPSONS & CO.LTD (Amalgamations Group) Simpson & Company Ltd.

A-61, Anna Salai,

Chennai - 600002, Tamil Nadu
Tel : 44-28583592
Fax : 28583179
Contact Person : Mr. R Prabhakaran

Product Description : Diesel Engines.

Year of Established : 1840

Employee Size : 1150

Quality Certification : QS 9000

The Amalgamations Group, like the banyan tree, has spread its beneficent shade
way beyond its origins. And like a banyan tree, it has provided shelter to
thousands, and has stayed deeply rooted to its values while reaching for the sky.
And just like the banyan tree, it is full of life from its roots to its tiniest branch,
standing strong and steadfast – while yet remaining relevant to changing times.
The Group is unique not only for its diversity, but for its deep-rooted values – such
as product quality and customer satisfaction, a spirit of innovation, ethical
practices, respect for the individual and a concern for society.
The Group has the talents and tools, the vision and resilience, plus the wisdom and
insights to keep the flag of Excellence flying high in any sphere of activity.
Solid values, deep belief and strong commitment – that’s the world of

The Amalgamations Group’s activities fall under four broad categories :





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Amalgamations Group is one of India's largest light engineering groups consisting
of 43 companies. Its operations include automotive components manufacturing,
trading and distribution, services and plantations. The automotive business
comprises nine automotive components companies including diesel engines,
forgings, fuel-injection systems, gears, metal cutting tools, paints,
pistons, transmissions and tyre retreading.

In 1938, Amalgamations was established as a holding company for six companies,

which have grown over time to 43 companies. The Group is a conglomerate having
43 companies with 34 manufacturing facilities and 12,500 employees.
Some of them are listed below,

• Simpsons & Co Ltd:

formed in 1840 to manufacture coaches, carriages,

motorcars, steam passenger buses, railway coaches and public service
vehicles. In 1955, the company commenced production of diesel engines
through an alliance with Perkins, UK, and it now supplies diesel engine
products ranging from 20 to 110 bhp. The company has two manufacturing
facilities in Chennai (Tamil Nadu).

• TAFE- Engineering Plastics Division:

manufactures high precision tools and custom - moulded engineering plastics from
its two facilities in Bangalore (Karnataka) and Maraimalainagar (Tamil Nadu).
TAFE Engineering Plastics Division supplies to domestic clients such as General
Motors, HM Mitsubishi, Toyota.

• India Pistons Ltd:

started operations in 1949 as India's first automotive ancillary manufacturing
unit, The company manufactures cylinder liners, pins, pistons and rings. The
company has three manufacturing units located around Chennai (Tamil Nadu).

• IP Rings:

IP Power Cylinder Systems Ltd, a wholly-owned subsidiary of India Pistons, was

established in 1994 for the production of cylinder company supplies
speciality steel piston rings and several transmission components using orbital cold
forming technology. The company has Ashok Leyland, Eicher Motors, Ford,

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Hyundai Motors India, Mahindra & Mahindra, Maruti Udyog, Simpsons, Tata
Motors and TVS Motors as its customers.

• Bimetal Bearings Ltd:

supplies engine bearings, bushings and thrust washers to OEMs in the passenger
car, HCVs, LCVs, tractors, industrial engines, defence and railway sectors. Its
manufacturing facilities are located at Chennai,
Coimbatore and Hosur (all three in Tamil Nadu).

• Amalgamations Valeo Clutch Pvt Ltd:

is a leading manufacturer of clutches in the range from 160mm to 380mm and

self-centring clutch release bearings for passenger cars, HCVs and tractors. The
company supplies to Ford India, Hyundai Motors India, Mahindra & Mahindra,
Maruti Udyog and Tata

• Shardlow India Ltd:

incorporated in 1960 as a manufacturer of precision forgings for crankshafts, axle

beams, stub axles, gear blanks and steering arms. The company operates two
forging units one each in Chennai and Hosur (both Tamil Nadu). Shardlow India
supplies to Ashok Leyland, Kirloskar Oil Engines, Simpsons, TAFE, Tata Motors
and defence establishments.

• Amalgamations Repco Ltd:

Incorporated in 1967, Amalgamations Repco manufactures clutch and brake


• India Pistons Repco Ltd:

Incorporated in 1962 for the production of flywheel starter ring gears. The
company has a total annual production capacity of 1.2m flywheel starter ring gears
with two manufacturing facilities near Chennai (Tamil Nadu). It was merged into
Amalgamations Repco in 2005. The company supplies to Ashok Leland, Hyundai
India and Tata Cummins.
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The Amalgamations Group has an extensive product portfolio and strong

technology partners which help the company in securing supply contracts
especially when OEMs use a follow through source approach. Furthermore,
Amalgamations will benefit from the new OEMs who are in various stages of
launching their vehicle programs in India.


Sivasailam Anantharamakrishnan

Born Tinnevely district, Madras Presidency, British

April 18, 1964 (age 59)

Madras, India

Occupation Business

Net worth ▲$ billions

Children A. Sivasailam, A. Krishnamoorthy

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Sivasailam Anantharamakrishnan (1905–1964), affectionately called "J" was an
Indian industrialist and business tycoon who founded and led the Amalgamations
group of industries from 1945 to 1964.

Anantharamakrishnan was born in Tirunelveli in 1905 and had his education in

Tirunelveli and Madras. In 1935, he joined the Simpsons group of companies as a
secretary and in 1938, became the first Indian director in the management of
Simpsons group. He served as the Chairman of the group from 1953 till his death
in 1964.

Anantharamakrishnan is remembered for his successful business practices,

efficient management of the labour unions and for triggering the growth of the
automobile industry of Chennai which has earned the city the epithet "Detroit of
India". As a result he himself came to be remembered as the "Henry Ford of South

Early years with Simpson and Co

Anantharamakrishnan joined Simpsons Group, a British-owned South Indian
business conglomerate as Secretary in 1935. He became one of the three directors
and the only Indian director (the other two being European in the board of
Simpsons group when Sir Alexander MacDougall, Chairman of Simpson's, and
W.W. Ladden, Managing Director of the Company founded a holding company in
1938. Anantharamakrishnan's induction marked the partial Indianization of
Simpsons group which was, till then, completely owned by Europeans. The very
next year, it was converted into a public limited company. This eventually became
the Amalgamations Group in 1941. Anantharamakrishnan, also called "J", was
responsible for the rapid expansion of the Amalgamations group in the 1940s.
Anantharamakrishnan took over Amalgamations Group in 1945, though he
officially became its Chairman only in 1953.

Expansion of the Amalgamations Group

In 1922, John Oakshott Robinson of Spencer's had purchased the Madras
newspaper The Madras Mail and the Higginbotham's and merged the companies
with his printing company Associated Printers and the Spencer's to form the
Associated Publishers. In 1945, Anantharamakrishnan purchased Associated
Publishers on behalf of Amalgamations and added the new companies to the group.

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According to popular Chennai historian S. Muthiah, the successful takeover was
the result of an overheard conversation at a Hotel Connemara. This takeover is
regarded as over of the biggest business deals of post-colonial Madras.

During the period 1938–1955, the group also promoted a finance company called
Simpson and General Finance, an advertising company (Madras Advertising
Company), Wheel-Precision Forgings, Speed-a-way and Wallaces Castwright.
India Piston was established in 1949. This company produces pistons, piston rings,
piston pins and cylinder liners. Addison Paints and Chemicals was established in
1947. With Indian independence and Indianization of commercial establishments
in the country, the Europeans in the board left handing the company to Indians.
Consequently, Anantharamakrishnan became the Chairman of the Amalgamations
group in 1953.

Anantharamakrishnan died an untimely death on April 18, 1964 at the age of fifty-

Amalgamations Group after Anantharamakrishnan

Following the death of Anantharamakrishnan, the Amalgamations Group of
companies have been managed by his sons A. Sivasailam and A. Krishnamoorthy
under whose management the group has grown steadily and stealthily. Today, it is
one of the three largest business groups in Chennai As of 2007; the group
included 24 unlisted companies with a cumulative sales of 1.5 billion dollars. The
flagship company is TAFE, India's second largest tractor company. TAFE is run by
MallikaSrinivasan, daughter of group Chairman A.Sivasailam. The
Amalgamations group also has extensive land holdings in Chennai and other parts
of South India In all, it has 37 companies and 27 manufacturing plants and a
workforce of 14,000.

Simpson & Co. Ltd.

Simpsons was the first Indian company to indigenously manufacture diesel
engines for surface transport vehicles. Today it is India's leading manufacturer of
high performance diesel engines catering to a wide variety of applications ranging
from 20 to 100 HP covering agriculture, industrial, vehicular, power generation
and marine applications.
It was formed in 1840 to manufacture coaches, carriages, motorcars, steam
passenger buses, railway coaches and public service vehicles. In 1955, the
company commenced production of diesel engines through an alliance with

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Perkins, UK, and it now supplies diesel engine products ranging from 20 to 110
The company has two manufacturing facilities in Chennai (Tamil Nadu).
The company manufactures engines
Meeting Bharat Stage II norms for on-highway applications, Bharat Stage III,
US Tier I and US Tier II norms for tractor applications.



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 To determine the organization present and future

requirements needs in conjustion with human resource
planning and job analysis.

 To help increase the success rate of the selection process by

reducing the under-qualified or over qualified job applicants.

 To increase the pool of qualified job applicants at minimum

cost to the organization.

 To help reduce the probability that job applicants, once

recruited and selected will leave the organization after only a
short period of time.

 To increase organization and individual effectiveness in the

short and long term.


 Staying informed of job market conditions.

 Obtaining a roof of quality job applicants.

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 To contribute to the organization’s bottom line through
efficient and effective production.

 To enable organization to fulfill their strategies.

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The need for the study is to identified the employees

perception on recruitment and selection process. The survey helps to
find out the morale and attitude of employees. The study is conducted to
find out any biases in the process of recruitment and selection and also
for making decision about improving the existing recruitment and
selection process.


1. Helps to understand the recruitment and selection process in

Simpsons &

2. To relevant suggestions to improve the recruitment and selection


3. To identify the factors that affects recruitment and selection


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Biswajeet pattanayak, in this book titled “Human Resource

Management” in the year 2008, “recruitment is the process of
researching for prospective employees and stimulating them to apply for
the job in the organization.”

Selection is the process of discovering the qualifications and

characteristics of the job applicant in order to establish their likely
substantially for the job position .Making effective selection decision for
personnel is one of the most important functions of HRM, which
comprises of the following sub functions

• Determining the nature of the job to be filled.

• Determined the type of personnel required.

• Determining the selection process.

(Biswajeet pattanayak, Human Resource Management, 3rd` edition-

Prentice Hall of India Pvt. Ltd)

Wayne F. casico, in this book titled “Managing Human Resources” ,

recruitment is a form of business competition, and it is fiercely
competitive . Just as corporation compete to develop, manufacture, and
market the best product or service, so they must also compete to
identify, attract and hire most qualified people.

(Wayne F. Cascio, Managing Human Resources- McGraw-hill

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Robert L. Mathis & john H. Jackson, in their book titled “Human
Resource Management”, recruitment is the process of generating a pool
of qualified applicants for organizational jobs. Selection the process of
choosing individuals who have needed qualifications to fill jobs in an

(Robert L. Mathis & john H. Jackson, in their book titled Human

Resource Management, 10th` edition)

David A. Dacenzo & Stephen P. Robin, in this book titled Human

resource Management, 7th` edition, recruitment is the process of
discovering Potential job candidates. Selection is the process of
choosing the best out of the job applicants.

(David A. Dacenzo & Stephen P. Robin, 7th` Edition by John Wiley &
sons ( Asia) Pvt. Ltd.)

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External agencies

Referred applications


Data bank.








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The over all manpower position of the company is divided into 3 major
departments. These department employees are further divided into 3 divisions. Let
us see in detail.



Works 4 0 0
Head 1 6 2
Block 2 34 3
Crankshaft 1 16 2
Sc213 1 7 3
Eas 8 117 24
Tea shop 3 31 2


Simpson & Co. Ltd.

• Recruitment Executive
Gensys Hr Consulting(20% manpower recruitment)

(Outsourcing/Offshoring industry)

July 2007 — April 2008 (10 months)

On the requirement of the JD find the right candidate from the Hot Spot.
Validating the Candidate on General Information
Generate Feedback Report from the Client
Entire Spectrum of Recruitment Activities
Campus Recruitment and Special Drives
End to End Recruitment Process

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The need for recruitment of employees arises when the preset employees of the
organization, leave due to the below mentioned various reasons,

• Retirement
• Death or Termination
• Resignation
• Transfers
• I.T.I individuals:
• 1-12 months = rs.2500
• 13-24 months=rs.2800
• NON I.T.I individuals:
• 1 -12 months = rs.2350
• 13-24 months = rs.2500
• 25-30 months = rs.2800
• ( after completion of 12 months training period)
• 1 -12 months = 4200 W.E.F
• 13-18 months = 4600 W.E.F
• 19-24 months = basic + 60% DA + 25% of basic inc
• 25-30 months = basic + 75% DA + 25% of basic inc
• 31-33 months = basic +100%DA + 50% of basic inc + 10% allowance.
• 34-36 months = basic +100%DA + 75% of basic inc + 50% allowance.
• After 37th month = full benefits.
• ( the payment of production incentive bonus will be made based on the
percentage applicable to the department / area of employment )
• The unions assured that workmen will discharge their duties satisfactorily, in
terms of the certified standing orders and also comply with all rules and
regulations, that are in force from time to time including attendance and they
will reach and maintain the highest levels of production as agreed

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Selection process of the candidates involves an extensive 4 way process

which includes:

1.Filling of application form

2.Checking the references
3.Written tests
Firstly all the candidates are required to fill an application form which includes
basic information about the individual e.g. name, address, age, sex, education,
work experience, interests, hobbies, references etc. It’s basically like a bio data.
Once, the application form is duly filled by all the candidates, the candidates not
suiting the requirement of the job are short listed and those who are apt are further
undergone with the process.

In the second stage, the references, which are given by the candidates, are checked
via telephone,
mails or sometimes by personal meetings.

In the third stage, there are certain tests, which the candidates need to qualify.
These tests includeaptitude test, specialization tests, knowledge tests, IQ test,
physiological tests etc. These tests are
conducted because Genus Overseas Ltd. generally requires highly qualified
personnel suiting the
requirements of the jobs. Once the tests are conducted, those who qualify the tests
are called for
personal interview.

This is the last stage for selecting the employee. It includes an extensive interview
of the
candidate by a jury panel. It’s a detailed interview considering all the aspects of the
job for which
the candidate is suited. Each and every aspect of the job is considered and
discussed upon.
Sometimes more rounds of interviews also may be carried out to further short list

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the candidates
depending on the nature of the designation of the job.

And finally once the interview is conducted and the appropriate candidate is
selected for the job he is sent for a 3 to 4 days induction program in which he is
familiarized with the nature of job and the functioning of the organization.

Selection is the process of evaluating the qualifications, experience, skill,

knowledge, etc, of an applicant in relation to the requirements of the job to
determine his suitability for the job. The selection procedure is concerned with
securing relevant information from applicants and selecting the most suitable
among them, based on an assessment of how successful the employee would be in
the job, if he were placed in the vacant position.

The selection process has two basic objectives: (a) To predict which applicant
would be the most successful if selected for the job, and (b) To sell the
organization and the job to the right candidate. The selection process is based on
the organizational objectives, the job specification and the recruitment policy of
the organization. The various selection processes are initial screening, application
forms, selection tests, group discussions, interviews and reference checks.

To facilitate a near accurate prediction of an applicant's success on the job, the

selection methods should meet several generic standards of reliability, validity,
generalizability, utility and legality. The application form is a formal record of an
individual's application for employment. It is usually used in the preliminary
screening of job applicants.

The filled-in application forms provide pertinent information about the individual
and are used in the job interview and for reference checks to determine the
applicant's suitability for employment. There are two methods of evaluating these
forms – the clinical method and the weighted method. Selection tests, which are
widely used include intelligence tests, aptitude tests, achievement tests, situational
tests, interest tests, and personality tests.

Interviews help managers to fill the gaps in the information obtained through the
application blanks and tests. Interviews also enable the management to make an
impact on the job applicant's view of the organization, apart from assessing his job-
related behavior and attitude. Interviews may be classified as preliminary, selection
and decision-making, based on their timing and purpose.

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The process of interviewing consists of several steps such as preparation for the
interview, ensuring a setting, and conducting, closing and evaluating. The selection
process also uses background investigation or reference checks to check the
authenticity of the information provided by the applicant. Finally, after an
applicant is selected, the offer is made to him and on acceptance, the placement
process starts.


1. Initial screening interview

2. Completion of the application form
3. Employment tests
4. Comprehensive interview
5. Background investigation
6. Conditional job offer
7. Medical/physical exam
8. Permanent job offer

The selection process consists of various steps. At each stage

facts may come to light which may lead to rejection of the
applicant. Steps involved in the selection are: -application

* Preliminary interview: - Initial screening is done to weed out

totally undesirable/unqualified candidates at the outset. It is
essentially a sorting process in which prospective candidates are
given necessary information about the nature of the job and the

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* Application blank: - Application form is a traditional and
widely used device for collecting information from candidates.
The application form should provide all the information relevant
to selection

* Selection test: - Psychological are being increasingly used in
employee selection. A test is sample of some aspects of an
individual’s attitude, behavior and performance. It also provides
systematic basis fro comparing the behavior, performance and
attitudes of two persons.

* Employment interview: - An interview is a conversation

between two persons. In selection it involves a personal,
observational and face to face appraisal of candidates for

* Medical examination: - Applicants who have crossed the

above stages are sent for a physical examination either to the
company’s physician or to a medical officer approved for the

* Reference checks: - The applicant is asked to mention in his

application form the names and addresses of two or three
persons who know him well.

* Final approval: - The shortlisted candidates by the department

are finally approved by the executives of the concerned

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department. Employment is offered in the form of appointment
letter mentioning the post, the rank, the grade, the date by which
the candidate should join and other terms and conditions in brief

Steps in selection procedure:

1. Reception of applications or preliminary screening

2. Application bank that gives a detail about the applicant’s background and life
3. A well conducted interview to explore the applicant’s background
4. The physical examination
5. Psychological testing that gives an objective look at a candidates suitability for
that job
6. A reference check
7. Final Selection approved by the manager
8. Communication of the decision to the candidate.

Simpson & Co. Ltd.

• Recruitment Executive
Gensys Hr Consulting(20% manpower recruitment)

(Outsourcing/Offshoring industry)

July 2007 — April 2008 (10 months)

On the requirement of the JD find the right candidate from the Hot Spot.
Validating the Candidate on General Information
Generate Feedback Report from the Client

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Entire Spectrum of Recruitment Activities
Campus Recruitment and Special Drives
End to End Recruitment Process


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The researcher did come to know the below given findings on

recruitment and selection during the 3 weeks project study.

1. Around 40% of manpower vacancies are being filled up through

job portals.
2. Around 30% of vacancies are being filled up through employee
3. 10% of vacancies are being filled up through promotion and
4. Rest 20% vacancies are being filled up through manpower
5. Though SIMPSONS is manufacturing company and most of the
employee is stay in various parts of India, that is the reason
recruitment and selection is a challenging and cost effective aspect
for recruiting out-station employees.
6. The recruitment and selection process is systematically done in
7. Interview evaluation process is totally different than that of the
other companies. For every post they are having specific interview
evaluation formats for interviewing the various candidates.
8. The campus selection , advertising in the news papers, recruiting
the blood relations of present employees are the major factors
which are not much emphasized in SIMPSONS for filling the
various manpower vacancies.
9. The compensation system in Simpsons is nearly similar to other
10. The HR, IR and welfare practices in SIMPSONS are quite
satisfactory. The management is really concerned about the
importance of manpower for its success in a long run.

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1. The recruitment policy used in the company is very transparent. But, the
candidates who come for the interview they have to wait a long. It leads to lot of
time wastage and creates panic amongst them. So, the waiting time should be

2. When the recruiters go for external hiring they should select only good
candidates on phone before going over there. Because, I have seen that there is not
even a single selection from a place. It wastes time and costs a lot to the company.

3. I think they should increase their hiring percentage from campuses. Because
they would get the actual skill set they require from colleges. It would save their
time and money.

4. The maximum percentage of rejects is communication reject. So, one need to

check carefully the communication of candidate on phone before calling him for an

5. I have observed that confirmation cases are extended in 80% cases. So, one
need to find out why is it so. The skills of candidate should be carefully checked at
the time of interview. It may help in decreasing the number of extended cases.

6. In separation cases the maximum no. of attrition is either because of personal

reasons or higher studies. The qualification requirement for the job should be
increased so that one needs not to leave the organization for higher studies

7. While asking about the file audit I found that those who have work experience
have not submitted their previous company document. So, the recruiter should ask
in the very beginning for the documents. After that only joining should take place.

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• Employee engagement activities like games, quizzes should be organized for

sales employee with their managers.

• Responsibility of maintaining personal files of the employees should be

assigned to one person.

• HR manager should inform verbally to the candidate before joining all the
documents needed for joining.

• Posters of HR policies should be pasted in every department.

• Audio visual can be used at the time of joining by the HR SPOC to explain the
policies and joining formalities.

• One day in an office should be celebrated as C&S day (complaints and

suggestions day). In which every employee can complain or give suggestions
through intranet to the HR SPOC .It should be communicated to the employee that
their identity will not be disclosed.

• Candidate should be informed before the first round of interview to bring

passport photograph.

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1. Recruitment policy is very transparent. It includes various sources in

which Electronic recruiting is highest. The company has a policy to
maintain reject database, which is very helpful in order to avoid any
discrepancies. The feedback policy helps a lot in understanding the
recruiter’s working style.
2. The company is very good in terms of its working style,
environment, its policies and its employees. Employees are the base of
an organization and its base is very strong so the company’s
performance is going higher day by day..
3. There are few loopholes, which I have mentioned in
recommendations on which company needs to work for success.

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Reference books:
Biswajeet pattanayak, Human Resource Management, 3rd` edition-
Prentice Hall of India Pvt. Ltd
Wayne F. Cascio, Managing Human Resources- McGraw-hill
David A. Dacenzo & Stephen P. Robin, 7th` Edition by John Wiley &
sons (Asia) Pvt. Ltd

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Simpsons HR department

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Marine engine

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Main product of the company( tractor engine)

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Simpons Service Map

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