A Comparative Study of Effectiveness of Online Recruitment in Manufacturing and Service Sector in Nashik

Abstract

The recruitment is key managerial function of human resource department. Traditionally, it is believed that an organization makes the people. However, the modern corporate world has controversial view about people. It considers that it is the people who make the organization. The Management by Objectives (MBO) approach underlines the principle of “People First” where employees along with the customers can be treated well to achieve common goals of an organization. The present research makes an attempt to study Online Recruitment in India. Researcher has built the theoretical framework by analyzing various theories like Diffusion of Innovation Theory (Rogers) and Attitude Formation. The scope of present study is also discussed in this section. In the discussion of literature review, past learning’s about OLR Diffusion Factors, OLR Effectiveness and Attitude to Use OLR are elaborated. OLR Diffusion basically is dependent on Relative Advantage, Observability, Complexity, Compatibility and Trial ability. Further OLR Effectiveness is dependent on Reliability, Performance, Security and Cost-effectiveness. The most of the existing studies focus on the awareness, attitude and convenience of either job seekers or recruiters/employers. However, the present study covers both stakeholders which make it more comprehensive. Thus based on the research gap, need and objectives of study were defines. In this chapter, researcher discusses the Theoretical Constructs i.e. OLR Diffusion Factors, OLR Effectiveness, and OLR Attitude. This was followed by development of Hypothesis and proposed model for testing of hypothesis. The research methodology part discussed reason for Nashik being selected for study, calculation of sample size using Hair et. al., 2006 model. A structured questionnaire was used as a tool to collect primary data and secondary data was gathered through web sources from research papers, articles, etc. Reliability statistics was checked using Cronbach’s Alpha reliability test. Relationships of the variables were proposed to study with independent t-test, Analysis of Variance (ANOVA), correlation and multinomial logistic regression. This shall form the penultimate chapter of the thesis and includes testing of hypothesis. This chapter deals with focusing on the results of the study. An overview of demographic information is presented at the commencement of chapter. This is followed by testing of hypothesis using various statistical analysis tools like ANOVA, Regression analysis and T test. The later part of chapter covers discussion of results that were recorded statistically. The final chapter of the thesis covers conclusion, implications of the study, limitations and scope for future research. The result found that OLR Diffusion Factors has high degree of positive correlation on OLR Effectiveness Factors. Also it was found that OLR Effectiveness Factors has high degree of constructive correlation on OLR Attitude Factors. Further it was established that OLR Effectiveness Factors mediates between OLR Diffusion Factors and OLR Attitude Factors. With an aim to study of effectiveness of online recruitment in manufacturing and service sector it was prominently proved using independent sample t-test that no difference between manufacturing and service sector in reference to OLR diffusion factors and no difference between manufacturing and service sector in reference to OLR effectiveness factors. Also it was notable that there is difference between manufacturing and service sector in reference to OLR attitude factors. The study result implies that managers should consider factors like Relative advantage, Observability, Complexity, Compatibility and Trial ability to increase the efficiency of OLR. The future researchers may find this study important as the research model has been designed with the background of a theoretical framework. The study result can have important implications for academic too. The HR students may understand that OLR effectiveness is dependent on Relative advantage, Observability, Complexity, Compatibility and Trialability. They can focus all these areas in their future job and in research also, according to changing scenario. The future researchers may find this study important as the research model has been designed with the background of a theoretical framework. The study result can have important implications for academic too. The HR students may understand that OLR effectiveness is dependent on Relative advantage, Observability, Complexity, Compatibility and Trialability. They can focus all these areas in their future job and in research also, according to changing scenario. The present study was conducted by surveying employees of companies located in the district of Nashik only. It was not extended in the other districts of Maharashtra due to work culture influence as well as time and money constraints involved in it. Thus the findings of the study should not be generalized to a rural area, other cities, and other sectors as well as for further districts and states of India. Limitations can be overcome by focusing on future research scope. The study will be conducted for the other districts of Maharashtra. It can be also expanded in other states of India. The research can also be expanded to other sectors which are not covered in present research. Also profession specific study can also be done in future. It will give an understanding about the difference between the variable effects and their strength. In this research, researcher referred Diffusion model by Rogers (1995). It is a model of Diffusion of Innovation Theory. He stated that Diffusion is the process, which spread the innovation, the channel used for communication, over time span and social system who is accepting the innovation. The rate of adaptation of new innovation is depends upon Relative Advantage, Compatibility, Complexity, Observability and Trial Ability. Odumeru (2012) focused that OLR is important tool for business and management. It is not only cost effective and less time consuming tool but also it enables organization to get a reservoir of prospective candidates. In Pary’s (2009) research, it is examined that what are the basic reason behind organization’s decision to use Online Recruitment with the help of Rogers research and Ajzen’s (1977) Theory of planned behavior.