HUMAN RESOURCE

MANAGEMENT
Organized Retail Industry in
India

INTRODUCTION

organizational function that deals with issues relating to people

such as compensation, hiring, performance management,
safety, benefits, employees motivation, communication,
administration and training.

The HRM practices are crucial in designing the structure for

manpower staffing, performance appraisal, compensation and
training and development.

Innovative HRM practices can play a crucial role in changing the

attitude of the employees.

The retailing is one of the service sectors where the need of

qualitative human resource is highly expected

OVERVIEW
The present paper focuses on the HRM practices in the organized
retail industry in India and highlighted the current HR challenges
faced by the industry.

Part I gives an overview of the India retail industry.

The Human Resource Management in the organized retail has

shown in part II.

Part III shows the HR challenges faced by the Indian organized

retail industry.

The conclusion and suggestions are given in part IV.

OBJECTIVES OF THE STUDY

To study the current status of Indian retail industry.

To analyze the Human Resource Management

implemented in the organized retail industry in India.

To study the HR challenges faced by the organized retailers

while implementing such practices.

And finally to come out with the conclusion and suggestions.

practices

INDIAN RETAIL INDUSTRY: AN

OVERVIEW

Retailing is one of the pillars of economy. It consists of all

activities that result in the offering for sale of merchandise to
consumers for their own use and is the final step in bringing
goods to the end-users.

It consist of two part:

Organized and Unorganized Retailing

Organized Retailing in India

8 percent of organized retail and remaining 92 percent is

left unorganized

HUMAN RESOURCE MANAGEMENT

IN ORGANIZED RETAIL

Recruitment

Selection

Performance Appraisal

Training and development

Compensation

Rewards, Incentives and Recognition

a) Consultancy Services: For top level management,

employees are recruited through private consultants. They are usually
appointed as Departmental Managers.

SOURCES OF RECRUITMENT IN
BIG BAZAR

b) Walk-ins: This is the main source through which Big Bazaar

recruits its employees. People seeking job usually themselves
approach the HR department for job vacancy. Employees usually
selected from this source are appointed at the entry level as team
members.
c) Employee Referrals: This is the other main source through
which employees are selected. Candidates who have given their
previous employer as referrals are first interviewed and from their
previous employer, opinion is taken about their behavior and
performance in the job. If they receive a positive opinion from their
previous employer they are selected.
d) Campus Recruitment: Young people bring new ideas and
fresh enthusiasm. Therefore Big Bazaar visits some of the reputed
educational institutions to hire some of the most talented and
promising students as its employees.
Selection Procedure The

i) Interview: For entry level jobs, the candidates are interviewed

by a HR person. They are asked a few basis questions about their
education, previous work experience if any, languages known etc.
This is done to evaluate the candidates ability to communicate
freely
and
also
other
skills.
ii) Psychometric Tests: For higher and top level jobs, candidates
are asked to answer a few questions which basically test their
sharpness, analytical ability, ability to handle stress, presence of
mind etc. This is done as Managers are required to work under
stress all the time and still maintain a cool head to make some
vital decisions.
iii) Group Discussion: In campus recruitment students are
involved in a Group Discussion, where they will be given a topic
on which the group has to deliberate, discuss and arrive at a
solution or a decision which is accepted by the whole group.
Along with the G D they are also given a written aptitude test.
Finally a formal interview will be conducted to
assess the overall skills of the student.

TABLE SHOWING THE OPINIONS OF THE

EMPLOYEES REGARDING THE
SATISFACTION OVER THE FACILITIES
PROVIDED IN THE RETAIL OUTLETS

HR CHALLENGES IN ORGANIZED
RETAIL

Lack of skilled manpower

Stress in Working Culture

Lack of Formal Education in Retail Management

Workforce Attrition

Threat of Poaching

CONCLUSION

The Human Resource Management practices are vital for the

growth and development of and business or sector.

The sector is facing some problems relating to its human

resource like lack of skill, lack of formal education in retailing,
workforce attrition, threat of poaching and complicated human
resource environment.

HRM practices in the organized retail industry needs greater

attention in the near future to make it more competitive.

SUGGESTIONS

Indian retailers need creative HR practices to manage a huge workforce in a

competitive environment enhance the competency and retention of their
employees.

There are too many companies chasing too little talent. The retailers should
maintain their goodwill in the overall employment market by communicating its
attributes in a way that distinguishes the company from the competitors.

Find the right talent that is willing to commit over the long-term.

Attractive compensation package should be provided to the employees which

includes both direct (salaries, commission and bonuses) as well as indirect
payments (paid vacations, health and life insurance and retirement plans).

The problem of attrition is very common nowadays. Retaining is more

challenging than hiring. Hence, retailers must examine different strategies which
they can use to reduce turnover and boost the morale of their employees.

References

www.wikipedia.com

www.brittanaica.com

www.goodreads.com

www.scribd.com

THANK YOU