Summer Internship

Report

Project – “Study of Human Resource

Functions and Practices”

Date of submission: 16th June 2007

Submitted to:
Submitted by:
Ms. Birva Patel
Kaanan K. Lukka Mr.
Sachin S. Thakkar MBA
(2006-2008) HR Manager
R.K.College of Business
1
 Manag
ement, Rajkot.

Acknowledgement

I would like to express my sincere gratitude to Mr. Sachin S. Thakkar and Ms.
Birva Patel, HR Manager at Reliance Communication, Gujarat for their
guidance and constant inspiration and valuable suggestion during my summer
internship.

I also would like to thank Mr. Ruchir Shah, Mr.Kautiliya Desai, Ms.Pratima
Upadhyay, Shishir Jani and Ms. Jyoti Agarwal. providing their valuable time
and guidance; otherwise it would have been difficult to keep the constant high
spirit of work. I take the opportunity to thank them for their extensive help and
for providing valuable information, suggestion and inputs at various stages of
work.

I like to thank all of them who have helped me a lot in my internship and
provided encouragement to me during internship.

I would also extend my deepest thanks to Mr. Sharad Bhatt, Hub head of the
HR Department,Reliance Communication for giving me an opportunity to be
a part of this organization and take up my internship Programme successfully.

Lastly I feel greatly obliged and take the pleasure to thank to the Director, Dr.
T.D.Tiwari, R.K.College of Business Management, Rajkot, for moulding me
into a management product.

2
 Kan
an Lukka

Executive Summary

This report deals with HR department at Reliance Communication Ltd. It encompasses the
entire, Recruitment, Induction and Placement, Training, Employee issues. This report starts
with an overview of Indian Telecom Industry followed by company’s background which
includes following aspects of company:

ADA Group, Founder & Chairman’s Profile

Mission & Vision

Business

After making you acquaint to company’s background this report takes you through the
functional departments of Reliance Communication Ltd along with commercial department
flow chart at each circle office. After this the HR polices and functions of the company is
explained in detail which includes following aspects

Manpower Planning as per AOP

Recruitment

Induction and Placement

Training Co-ordination

Employees Issues

PMS implementation

HR Audit

3
Exit, Full and Final

4
 INDEX

CONTENTS
Page No
1. INDIAN TELECOM INDUSTRY AT A GLANCE 5-6
 OVERVIEW
 TECHNOLOGY
 SIZE
2. RELIANCE ADA GROUP
7-14
 RELIANCE ADA GROUP STRUCTURE
 COMPANIES OF ADA GROUP
 FOUNDER - ADAG
 CHAIRMAN - ADAG
3. RELIANCE COMMUNICATIONS
15-24
 INTRODUCTION
 DREAM COME TRUE
 FINANCIAL RESULTS
 ADA GROUP VISION, ADA GROUP VALUES
 CORPORATE GOVERNANCE
 FUTURE AT RELIANCE COMMUNICATIONS
 DEPARTMENT STRUCTURE
 FUNCTIONAL STRUCTURE
4. HUMAN RESOURCE MANAGEMENT
25
5. HR AT RELIANCE COMMUNICATIONS 26-
31
 HR MISSION, HR OBJECTIVE, HR PROMISE
 HR STRUCTURE
 ACTIVITIES OF HR DEPARTMENT, CALENDER ACTIVITIES
 HR FUNCTIONS
6. EMPLOYEE CLASSIFICATION
32-38
 RECRUITMENT POLICY, RECRUITMENT PROCESS
 INTERNAL SOURCES, EXTERNAL SOURCES
 MODE OF INTERVIEW
 LEVEL OF DESIGNATION, GUJARAT ZONAL DISTRIBUTION
7. EMPLOYEE REMERATION
39-45
 CTC STRUCTURE
 COMPONENTS OF CTC
 LEAVES
8. JOINING FACILITATION
46-47
5
  FORMS & LETTERS REQUIRED IN THE PROCESS
9. INDUCTION
48-52
 EXITS
10. HR SUPPORT SYSTEM
55-56
11. JOB SPECIFICATION
57
12. MY EXPERIENCE IN RELIANCE
58
13. BIBILOGRAPHY & REFERENCE 59

INDIAN TELECOM INDUSTRY AT A GLANCE

Overview
Telecom industry, in India can be viewed as essential for the socioeconomic
development of the country and a major integrating factor for the diverse nation.
It becomes an important factor for the growth of our country and the
development of various businesses. It serves as an important channel to
integrate the nation, especially the vast rural section of our population.
Learning from the experience of developed countries, India moved towards
privatization of telecom by adopting Telecom Policy of 1994. Telephone
penetration in India is currently 3.5%. Cellular phone distribution is about 0.25%.
The Union Ministry of Communication supervises all operations of the industry
and determines policy guidelines. The Telecom Regulatory Authority of India
(TRAI) is the regulatory body that determines toll rates and act as a dispute
settlement body. Many players have entered the market. The major players are
Bharti Airtel, Reliance Infocomm, BSNL, Hutch and Idea.
In the developed countries, growth in telecom is in value added services, but in
the developing countries like India, the priority is on providing basic telephony
and using telecom to improve people’s lives.
Circle: Circles are defined by telecom regulations. A circle typically covers the full
state, and in some cases neighboring states, for example, Maharashtra and Goa
is one circle. Similarly Jharkhand & Bihar, Madhya Pradesh & Chhatishgarh, West

6
Uttar Pradesh and Uttaranchal are some other example of combined circle. UP is
the only state which is divided into two telecom circles, West UP and East UP.
In January 1995 tenders were invited for cellular services in 20 telecom circles.
The circles were roughly analogous with states of India and were divided into A, B
and C categories. These categories based on the perceived business potential.
Table on next page shows category wise division of circles

Category A Category B Category C

Maharashtra Kerala Himmachal Pradesh
Gujarat Punjab Bihar
Andhra Pradesh Haryana Orissa
Tamil Nadu Uttar Pradesh (West) Assam
Uttar Pradesh (East) North East
Rajasthan
Madhya Pradesh
West Bengal

When you make calls within your own circle, they are called “Intra – Circle” and
when you make calls to places outside your own circle, they are “Inter – Circle”.

Technology

Since the first system began commercial operation in 1991, Global System for
Mobile Communication (GSM) has become the globally accepted standard.
Wireless service operators around the world have selected GSM based
technologies for the advanced digital wireless communications network. Code
Division Multiplexing Access (CDMA) introduced by Tata teleservice for the first
time in 2002, also revolutionized the telecom sector. Government of India has
taken steps to permit 100% Foreign Direct Investment (FDI) in order to attract
foreign players who will bring their technical expertise and know – how.

Size

7
Indian telecom industry has 50 million – line telephones network including mobile
phones. The growth rate in mobile phone industry is almost 100% per year.
However, the tele – density is just 5% as against the world average of 15%.
According to Cellular Operators Association of India (COAI) the industry, expected
to be among the world’s fastest growing mobile markets this decade.

RELIANCE – ADA GROUP

Think Bigger Think Better

The Reliance – Anil Dhirubhai Ambani Group is among India’s top three private
sector business houses on all major financial parameters, with a market
capitalisation of Rs 100,000 crore (US$ 22 billion), net assets in excess of Rs
31,500 crore (US$ 7 billion), and net worth to the tune of Rs 27,500 crore (US$ 6
billion)

Across different companies, the group has a customer base of over 50 million,
the largest in India, and a shareholder base of over 8 million, among the largest
in the world.

Through its products and services, the Reliance - ADA Group touches the life of 1
in 10 Indians every single day. It has a business presence that extends to over
4,500 towns and 300,000 villages in India, and 5 continents across the world.

The interests of the Group range from communications (Reliance

8
Communications) and financial services (Reliance Capital Ltd), to generation,
transmission and distribution of power (Reliance Energy), infrastructure and
entertainment.

RELIANCE – ADA GROUP STRUCTURE

9
 COMPANIES OF ADA - GROUP

RELIANCE CAPITAL
10
Reliance Capital is one of India’s leading and fastest growing private sector
financial services companies, and ranks among the top 3 private sector financial
services and banking companies, in terms of net worth.

The company has interests in asset management and mutual funds, life and
general insurance, private equity and proprietary investments, stock broking and
other activities in financial services.

For more information click here: www.reliancecapital.co.in,

www.reliancemutual.com, www.reliancelife.co.in, www.reliancegeneral.co.in

RELIANCE COMMUNICATIONS LIMITED

The flagship company of the Reliance – ADA Group, Reliance Communications

Limited, is the realisation of our founder’s dream of bringing about a digital
revolution that will provide every Indian with affordable means of communication
and a ready access to information.

The company began operations in 1999 and has over 20 million subscribers
today. It offers a complete range of integrated telecom services. These include
mobile and fixed line telephony; broadband, national and international long
distance services, data services and a wide range of value added services and
applications aimed at enhancing the productivity of enterprises and individuals.

For more information click here: www.relianceinfo.com, www.rcovl.com

RELIANCE ENERGY LIMITED

Reliance Energy Limited, incorporated in 1929, is a fully integrated utility

engaged in the generation, transmission and distribution of electricity. It ranks
among India’s top listed private companies on all major financial parameters,
including assets, sales, profits and market capitalization.

11
It is India’s foremost private sector utility with aggregate estimated revenues of
Rs 9,500 crore (US$ 2.1 billion) and total assets of Rs 10,700 crore (US$ 2.4
billion).

Reliance Energy Limited distributes more than 21 billion units of electricity to

over 25 million consumers in Mumbai, Delhi, Orissa and Goa, across an area that
spans 1,24,300 sq. kms. It generates 941 MW of electricity, through its power
stations located in Maharashtra, Andhra Pradesh, Kerala, Karnataka and Goa.

The company is currently pursuing several gas, coal, wind and hydro-based
power generation projects in Maharashtra, Uttar Pradesh, Arunachal Pradesh and
Uttaranchal with aggregate capacity of over 12,500 MW. These projects are at
various stages of development.

Reliance Energy Limited is vigorously participating in emerging opportunities in

the areas of trading and transmission of power. It is also engaged in a portfolio of
services in the power sector in Engineering, Procurement and Construction (EPC)
through a network of regional offices in India.

For more information click here: www.rel.co.in

RELIANCE HEALTH
In a country where healthcare is fast becoming a booming industry, Reliance
Health is a focused healthcare services company enabling the provision of
solution to Indians, at affordable prices. The company aims at providing
integrated health services that will compete with the best in the world. It also
plans to venture into diversified fields like Insurance Administration, Health care

12
Delivery and Integrated Health, Health Informatics and Information Management
and Consumer Health.

Reliance Health aims at revolutionising healthcare in India by enabling a

healthcare environment that is both affordable and accessible through
partnerships with government and private businesses.

For more information click here: www.reliancehealth.co.in

RELIANCE MEDIA & ENTERTAINMENT

As part of the Reliance - ADA Group, Reliance Entertainment is spearheading the

Group’s foray into the media and entertainment space. Reliance Entertainment’s
core focus is to build significant presence for Reliance in the Entertainment eco-
system: across content and distribution platforms. The key content initiative are
across Movies, Music, Sports, Gaming, Internet & mobile portals, leading to direct
opportunities in delivery across the emerging digital distribution platforms: digital
cinema, IPTV, DTH and Mobile TV.

Reliance ADA Group acquired Adlabs Films Limited in 2005, one of the largest
entertainment companies in India, which has interests in film processing,
production, exhibition & digital cinema.

Reliance Entertainment has made an entry into the FM Radio business through
Adlabs Radio www.big927fm.com. Having won 45 stations in the recent bidding,
BIG 92.7 FM is already India’s largest private FM radio network with 12 radio
stations across the country as on 28th February 2007, with many more to be
launched in the coming months.

Other major group companies — Reliance Capital and Reliance Energy

— are widely acknowledged as the market leaders in their respective areas of
operation.

13
 Reliance Energy Ltd. Reliance Mutual Fund

Harmony Reliance Communications

Reliance General Insurance Reliance Anil Dhirubhai Ambani Group

Reliance Life Insurance Reliance Portfolio Management Service

FOUNDER

14
Dhirajlal Hirachand Ambani popularly known as Dhirubhai Ambani has become
corporate India’s living legend. A high school dropout from Chorvad in Gujarat’s
Junagadh district, the son of a Gujarati schoolteacher, he went on to become the
founder-patriarch of the giant Reliance-ADA Group.

“Think big. Think differently. Think fast. Think ahead. Aim for the best” was the
philosophy of the founder, the legendary Dhirubhai Ambani. He believed in
providing ‘Better, cheaper and faster’ services.

As with all great pioneers, there is more than one unique way of describing the
true genius of Dhirubhai: The corporate visionary, the unmatched strategist, the
proud patriot, the leader of men, the architect of India’s capital markets, and the
champion of shareholder interest. But the role Dhirubhai cherished most was
perhaps that of India’s greatest wealth creator. In one lifetime, he built, starting
from the proverbial scratch, India’s largest private sector enterprise.

When Dhirubhai embarked on his first business venture, he had a seed capital of
barely US$ 300 (around Rs 14,000). Over the next three and a half decades, he
converted this fledgling enterprise into an Rs 60,000 crore colossus—an
achievement which earned Reliance a place on the global Fortune 500 list, the
first ever Indian private company to do so.

Dhirubhai is widely regarded as the father of India’s capital markets. In 1977,

when Reliance Textile Industries Limited first went public, the Indian stock
market was a place patronised by a small club of elite investors which dabbled in
a handful of stocks.

Undaunted, Dhirubhai managed to convince a large number of first-time retail

investors to participate in the unfolding Reliance story and put their hard-earned
money in the Reliance Textile IPO, promising them, in exchange for their trust,
substantial return on their investments. It was to be the start of one of great
stories of mutual respect and reciprocal gain in the Indian markets. Under
Dhirubhai’s extraordinary vision and leadership, Reliance scripted one of the
greatest growth stories in corporate history anywhere in the world, and went on
to become India’s largest private sector enterprise.

Through out this amazing journey, Dhirubhai always kept the interests of the
ordinary shareholder uppermost in mind, in the process making millionaires out
of many of the initial investors in the Reliance stock, and creating one of the
world’s largest shareholder families.

15
 CHAIRMAN

Regarded as one of the foremost corporate leaders of contemporary India, Anil

Dhirubhai Ambani is the Chairman of all listed Group companies, namely:
Reliance Communications, Reliance Capital, Reliance Energy and Reliance
Natural Resources Limited.

Mr. Ambani is a Bachelor of Science from the University of Bombay and an MBA
from The Wharton School, University of Pennsylvania, USA.

Till recently, he also held the post of Vice Chairman and Managing Director in
Reliance Industries Limited (RIL), India’s largest private sector enterprise.

Anil D Ambani joined Reliance in 1983 as Co-Chief Executive Officer, and was
centrally involved in every aspect of the company’s management over
the next 22 years.

He is credited with having pioneered a number of path-breaking financial

innovations in the Indian capital markets. He spearheaded the country’s first
forays into the overseas capital markets with international public offerings of
global depositary receipts, convertibles and bonds. Starting in 1991, he directed
Reliance Industries in its efforts to rise over US$ 2 billion. He also steered the
100-year Yankee bond issue for the company in January 1997.

He is a member of:

 Wharton Board of Overseers, The Wharton School, USA.

 Central Advisory Committee, Central Electricity Regulatory Commission
 Board of Governors, Indian Institute of Management, Ahmedabad
 Board of Governors Indian Institute of Technology, Kanpur

In June 2004, he was elected for a six-year term as an independent member of

the Rajya Sabha, Upper House of India’s Parliament a position he chose to resign
voluntarily on March 25, 2006.

16
 INTRODUCTION TO RELIANCE COMMUNICATIONS

ADA GROUP

Reliance Communications is the flagship company of the Anil Dhirubhai Ambani

Group (ADAG) of companies. Listed on the National Stock Exchange and the
Bombay Stock Exchange, it is India’s leading integrated telecommunication
company with over 30 million customers.

The business encompasses a complete range of telecom services covering

mobile and fixed line telephony. It includes broadband, national and international
long distance services and data services along with an exhaustive range of value-
added services and applications. The constant endeavor is to achieve customer
delight by enhancing the productivity of the enterprises and individuals we serve.

Reliance Mobile (formerly Reliance India Mobile), launched on 28 December

2002, coinciding with the joyous occasion of the late Dhirubhai Ambani’s 70th
birthday, is among the initial initiatives of Reliance Communications. It marked
the auspicious beginning of Dhirubhai’s dream of ushering in a digital revolution
in India. Today, it can proudly claim that they were instrumental in harnessing
the true power of information and communication, by bestowing it in the hands
of the common man at affordable rates.

Reliance endeavors to further extend our efforts beyond the traditional value
chain by developing and deploying complete telecom solutions for the entire
spectrum of society.

BOARD OF DIRECTORS

 Shri Anil D. Ambani - Chairman

 Prof. J Ramachandran

 Shri S.P. Talwar

 Shri Deepak Shourie

17
 A DREAM COME TRUE

The Late Dhirubhai Ambani dreamt of a digital India — an India where the
common man would have access to affordable means of information and
communication. Dhirubhai, who single-handedly built India’s largest private
sector company virtually from scratch, had stated as early as 1999: “Make the
tools of information and communication available to people at an affordable cost.
They will overcome the handicaps of illiteracy and lack of mobility.”

It was with this belief in mind that Reliance Communications (formerly Reliance
Infocomm) started laying 60,000 route kilometers of a pan-India fiber optic
backbone. This backbone was commissioned on 28 December 2002, the
auspicious occasion of Dhirubhai’s 70th birthday, though sadly after his
unexpected demise on 6 July 2002.

Reliance Communications has a reliable, high-capacity, integrated (both wireless

and wireline) and convergent (voice, data and video) digital network. It is capable
of delivering a range of services spanning the entire infocomm (information and
communication) value chain, including infrastructure and services — for
enterprises as well as individuals, applications, and consulting.

Today, Reliance Communications is revolutionising the way India communicates

and networks, truly bringing about a new way of life.

Reliance Communications Limited (RCOM) announced its audited consolidated

financial results for the twelve months ended March 31, 2007.

Highlights of the financial performance in this period are:

18
 Net Profit of Rs. 3,163 crore (US$ 734 million), higher by 612% compared to Net
Profit of Rs. 444 crore (US$ 103 million)

EBITDA at Rs. 5,720 crore (US$ 1327 million), growth of 126%. EBITDA margin
expands to 40% from 24%, with continued expansion in profitability across all
businesses – Personal, Global and Enterprise

Revenue growth of 34% at Rs. 14,468 crore (US$ 3,357 million) from Rs. 10,766
crore (US$ 2,498 million)

Shareholders Equity (Net Worth) increases to Rs. 22,931 crore (US$ 5,320
million) from Rs. 11,742 crore (US$ 2,724 million) – among the top three
companies in India

Conservative capital structure - Net Debt to Equity Ratio down to 8%, from 28%
last year

Commenting on the results, Mr. Anil Dhirubhai Ambani, Chairman, Reliance

Communications Limited, said:

“We are delighted at the many firsts and record achievements at Reliance
Communications, in the first year of our listing.

We have created more than Rs. 60,000 crore (US$ 13.9 billion) of wealth for our
2 million shareholders, in the very first year.

Profits increased more than 6 times during the year, and with the 10% maiden
dividend, we have become the first telecom company in India to reward
shareholders through a dividend payout. Profitability has shown a consistent
upward trend, and in the fourth quarter ended March 31, 2007, our net profits
crossed the Rs. 1,000 crore (US$ 238 million) mark. We are the fifth Indian
company to reach this landmark, and the first to achieve this in the very first
year of listing.

During the year, each of our businesses recorded strong revenue growth and
expanded their margins, deriving leverage from the growing scale of operations.
We look forward to another record year in FY 2007-08, and will endeavour to
accelerate our momentum of customer acquisitions, increase our share of the
growing market, and further enhance profitability to maximise overall
shareholder value.”

During the year, RCOM’s market capitalisation crossed Rs. 1,00,000 crore (US$
23 billion), making RCOM one of Asia’s 5 most valuable telecom companies, and
one of India’s top 10 listed companies

ADA GROUP VISION

19
Reliance Communications envisions a digital revolution that will bring about a
New Way of Life. ‘A Digital Way of Life, for a New India ’.

To build a global enterprise for all our stakeholders, and

A great future for our country,

To give millions of young Indians the power to shape their destiny,

The means to realize their full potential…

With mobile devices, netways and broadband systems linked to powerful digital
networks, Reliance Communications will usher fundamental changes in the social
and economic landscape of India.

Reliance Communications will help men and women connect and communicate
with each other. It will enable citizens to reach out to their work place, home and
interests, while on the move. It will enable people to work, shop, educate and
entertain themselves round the clock, both in the virtual world and in the
physical world. It will make available television programmes, movies and news
capsules on demand. It will unfurl new simulated virtual worlds with exhilarating
experiences behind the screens of computers and televisions.

Users of Reliance Communication’s full range of services would no longer need

audiotapes and CDs to listen to music. Videotapes and DVDs would not be
necessary to see movies. Books and CD ROMs would not be needed to get
educated. Newspapers and magazines would not be required to keep abreast of
events. Vehicles and wallets will become unnecessary for shopping.

Reliance Communications will disseminate information at a low cost. "Make a

telephone call cheaper than a p

ost card". These prophetic words of Dhirubhai Ambani will be a metaphor of

profound significance for Reliance Communications. Reliance Communications
will regularly unfold new applications. Continually adapt new digital technologies.
Create new customer experiences. Constantly strive to be ahead of the world.

Reliance Communications will transform thousands of villages and hundreds of

towns and cities across the country.

Above all, Reliance Communications will pave the way to make India a global leader in the
knowledge age.

ADA GROUP VALUES

20
SHAREHOLDER INTEREST

We value the trust of shareholders, and keep their interests paramount in every
business decision we make, every choice we exercise

PEOPLE CARE

We possess no greater asset than the quality of our human capital and no greater
priority than the retention, growth and well-being of our vast pool of human talent

CONSUMER FOCUS

We rethink every business process, product and service from the standpoint of the
consumer – so as to exceed expectations at every touch point

EXCELLENCE IN EXECUTION

We believe in excellence of execution – in large, complex projects as much as small

everyday tasks. If something is worth doing, it is worth doing well.

TEAM WORK

The whole is greater than the sum of its parts; in our rapidly-changing knowledge
economy, organizations can prosper only by mobilizing diverse competencies, skill sets
and expertise; by imbibing the spirit of “thinking together” -- integration is the rule,
escalation is an exception

PROACTIVE INNOVATION

We nurture innovation by breaking silos, encouraging cross-fertilization of ideas &

flexibility of roles and functions. We create an environment of accountability, ownership
and problem-solving –based on participative work ethic and leading-edge research

LEADERSHIP BY EMPOWERMENT

We believe leadership in the new economy is about consensus building, about giving up
control; about enabling and empowering people down the line to take decisions in their
areas of operation and competence…

SOCIAL RESPONSIBILITY

We believe that organizations, like individuals, depend on the support of the community
for their survival and sustenance, and must repay this generosity in the best way they
can

RESPECT FOR COMPETITION

We respect competition – because there’s more than one way of doing things right. We
can learn as much from the success of others as from our own failures

21
 CORPORATE GOVERNANCE

Great corporations, like individuals, are known for their unwavering commitment
to ethical values and principles. At Reliance - ADA Group, we remain steadfast in
our resolve to uphold the highest standards of integrity, transparency and
governance.

For us, corporate governance is not just about adhering to the formal letter of the
law, but about embracing the substantive spirit that lies underneath; to move
beyond the statutory obligations.

The key aspects of our corporate governance practice are:

 Monitoring of executive and director compensation

 Providing autonomy to the Board
 Implementing rigorous disclosure and transparency norms

MONITORING OF EXECUTIVE AND DIRECTOR COMPENSATION

Across each of the group companies, a Remuneration Committee assesses the

overall compensation structure and policies of the organization and makes
recommendations. These form the basis for formulating the company’s executive
remuneration framework.

The Remuneration Committee consists of non-executive directors, a majority of

whom are independent. The Chairman of the Committee is an Independent
Director. The Remuneration Committee works with full autonomy, and is free of
any managerial interference. The Committee is also empowered to call upon
professional advice, both from within and outside the company, in the discharge
of their duties.

22
PROVIDING AUTONOMY TO THE BOARD

The Board of Directors of each of the group companies consists of eminent

individuals with diverse experience and expertise. The respective Board acts with
autonomy and independence in exercising strategic supervision, discharging its
fiduciary responsibilities, and in ensuring that the management observes the
highest standards of ethics, transparency and disclosure.

The Board of Directors reviews all information details and transactions relating to
significant business decisions, including strategic and regulatory matters. Every
member of the Board, including non-executive directors, has access to all
relevant information about their respective companies.

The Board appoints a number of Committees to focus on well-defined areas of

responsibility, with a clear mandate to make time-bound recommendations, and,
where specified, use the authority vested in them by the Board to take crucial
decisions.

IMPLEMENTING RIGOROUS DISCLOSURE AND TRANSPARENCY

NORMS

Each of the Group companies adheres to all disclosure and transparency norms
relating to corporate governance. We are committed to public disclosure, in a
clear and timely manner, of our financial accounts, including both segment and
consolidated accounts, and the level and means of remuneration of our directors
and top executives. We also give out clear information on related- party
transactions, if any, that are undertaken within the group.

23
We strictly comply with all governance codes, listing agreements, other
applicable laws and regulations, and, not least, our self-avowed corporate values
and objectives.

AN EXCITING FUTURE AT RELIANCE COMMUNICATIONS

Reliance’s service is based on a very simple principle: provide the world's best
customer experience.

This reliance has achieved through a winning combination of global

competencies, pioneering technology and state-of-the-art customer-centric
systems and processes.

Reliance’s mission of changing lives across India meant that it needed to have a
nationwide presence — something it has achieved in a relatively short span of
time. Reliance’s dream of helping people create, transfer and apply knowledge
challenged them to bring together contemporary communication technology
from across the world.

Now their operations are spread across 673 cities and span a host of various
kinds of services. Reliance’s business is organised around the following
categories: wireless, wireline, wholesale, and the Webworld and village
telephony. The work is executed through different work centers like Engineering,
Internet data centers, Billing and Collection centers, Systems and Application
centers in ERP, CRM, OSS billing, revenue assurance and functions like
Commercial, Finance, HR and IT. It manages this integrated diversity by leading
with trust. What differentiates them and fuels their growth is leadership.

The following attributes define future leadership at Reliance Communications:

 Customer centricity.
 Initiative and an attitude of ownership.
 Passion for excellence and an ability to energise.
 Problem solving and an innovative "can do" mindset.

24
  Entrepreneurship and stretch.

Today Reliance Communications offers challenging assignments and career opportunities to engineers, MBAs, Telecom network and IT
specialists, profit centre heads as well as young professionals.

RELIANCE COMMUNICATIONS

Corporate Office: MUMBAI

Address:

Reliance
Communication Ltd.
Dhirubhai Ambani
Knowledge City
Navi Mumbai 400709,
India.

Tel No. : 3037 3333

Registered Office: GUJARAT

25
 Address:

Reliance Communication
RELIANCE Ltd. Reliance House
Near Mardia Plaza,
COMMUNICATIONS

Off C.G.Road,
PERSONAL ENTERPRISE
Ahmedabad-380006
SHARED
WEB WORLD
SERVICES
India.
REGULATORY
Tel No. : 3233 1401
DISTRIBUTION PAB &
LAISION

CORPORATE
RETAIL EWG
COMMERCIAL

OUTBOUND EBB HR

ENTERPRISE
CSD NETWORK
COMMERCIAL

PERSONAL
COMMERCIAL

MARKETING

DEPARTMENT STRUCTURE

26
 FUNCTIONAL DEPARTMENT AT RELIANCE
COMMUNICATION

The allocation of work for various group of people are differently allocated which
known as department, in order to achieve the goal of the organization. The
orientation and the activity are different with variety of role in each of the
department so that we need to understand the importance and contribution of
efforts made by the persons. All such efforts take the form of transactions and
which finally comes to commercial department in form of transaction activity
which has been officially recorded in books of accounts of company. Each
department plays very vital role and the flow of activity is also mapped
accordingly. Telecom is different field then other company thus it’s very essential
to understand the Departmental activity process.

1. HR and Administration
2. Marketing and Sales Department
3. Technical & Network Department
4. Commercial & Legal Department or Finance Department
5. Customer Care

GUJARAT ZONE DISTRIBUTION

 NORTH GUJARAT

 CIRCLE HEAD OFFICE – AHMEDABAD

 SUB CLUSTER OFFICE - MEHESANA

27
  CENTERAL GUJARAT

 CLUSTER HEAD OFFICE – BARODA

 SOUTH GUJARAT

 CLUSTER HEAD OFFICE – SURAT

 SAURASHTRA

 CLUSTER HEAD OFFICE – RAJKOT

 SUB CLUSTER OFFICE - GANDHIDHAM

COMMERCIAL DEPARTMENT FLOW CHART AT

EACH CIRCLE OFFICE

Commer
cial
Departm
ent

Logistic Billing & Accounts Legal

Section Collection Section Section

28
 MARKETING

The level of competition has increased over the years in the telecom industry;
one has to do aggressive sales and promotion activities, in order to gain
maximum market-share. Marketing expenditure is that expenditure which is
incurred mainly for two purposes.

• Brand Building
• Sales & Promotion

Marketing Expenditure includes the following.

- Outdoor Rental
- Printing Banners & Leaflets
- Signage
- Participate in Event
- Road Show
- Advertisement in News paper
- Merchandising activities

The vendors who provide the above services to the company and who supply
goods required in conducting above activities stand as creditors of the company,
so the commercial department ensures timely payment to these vendors

In Reliance Communication Ltd, for marketing expenditure there is a fixed budget

prepared by finance managers at higher levels in coordination with marketing
team as per companies target for the period. Marketing people are supposed to
29
use this budget in best possible way to increase sales. For outdoor rental &
outdoor flex a different budget is given, and for other expenditure Cost of
Customer Acquisition (COCA) budget is given.

ADMINISTRATION

Administration related expenditure is that expenditure which is incurred in

maintaining smooth flow of day to day process. Administration Expenditure
includes the following.

• Printing and stationery

• House keeping items, items purchased for office welfare
• Renovation of the office, repairing of some accessories
• Computer and space allotment.
• Rent of building
• Electricity charges
• Municipal taxes
• Maintenance of building
• Courier charges
• Hotel expenses
• Guest house rent & electricity etc.

These expenses are considered under Steady State Related Expenditure.

Demand is raised under two conditions.

- End user raises demand to the Administration department

- Stock out of the margin.

30
Once the demand arises administration approaches the commercial department and gives a request of procurement of the
materials and against the Purchase Order (PO) being raised. But before raising purchase order quotation provided by vendors is
verified by both the commercial executives and as by the administration executive. Normally repeat orders are being awarded to
the same vendors. But if the rates are being revised by the vendors, then one to one negotiation will be held in three person
conference which consists of vendor, commercial executive and administration person.

PROJECT

Project related expenditure is the expenditure done to establish network towers

for proper connectivity. Project investment is made for recurring benefit. As the
business reliance Communications is in initial investment is very high. Mainly
investment is made in
• Media Convergence Node (MCN)
• Intermediate Station (IS)
• Base Transmission system (BTS)

Media Convergence Node (MCN)

MCN is like Junction Box, detect details & transfer to main server. In Gujarat 21
MCN are there. Investment in MCN has been already made.

Intermediate Station (IS)

Intermediate Station is placed between two Media Convergence Node to enlarge
the capacity of MCN. Investment in IS has been also already made.

Base Transmission system (BTS)

These are the towers which facilitates connectivity. At present there are 700 BTS
towers in Gujarat and 1000 more will be added in next 6 months. There are two
types of BTS.
1. Roof Base Tower (RBT)

31
Roof Base Tower is installed on building up to 6, 9 or 15 meter height after
obtaining government permission.

2. Ground Base Tower (GBT)

Ground Base Tower is installed on ground up to height 15 meter to 70 meter
after obtaining government permission.

NETWORK

As the name itself suggests this category include expenditure incurred by the
company for providing excellent network to the customers. As effective network
is strength of Reliance, company incurs heavy expenditure for the same,
Reliance had developed fiber optic network to provide better connectivity to the
user. Basically three types of expenses are included in this:-
• Port payment
• Electricity consolidation
• Network maintenance

Port payment
Port charges are those charges which company pays to avail facility from BSNL to
get its network which is further connected and disbursed to different network
towers of the company through fiber optic network. This expenditure is fixed in
nature and paid in advance for the entire year and amortized every month.
Company should maintain regularity and punctuality in this payment because
company’s service depend on its network any flaw in payment procedure to
these creditors can hamper company’s service to the customers.

Electricity Consolidation

32
It is a state affair as electricity is provided by different operators in different
states. In Gujarat there are two operators:
• Torrent Power
• Gujarat Electricity Board (GEB)
Company utilizes services of both the operators but payment to Torrent Power is
made at respective cluster office and payment to GEB is made through circle
office (i.e. Ahmedabad office) for this purpose every cluster send there respective
bills to circle office where all bills are consolidated and then bifurcated on the
basis of respective company which utilized the electricity. Finally payment is
made to GEB.

Network maintenance
This includes all other expenditure incurred on maintaining network. Following
are some network maintenance expenditures:-
• Materials for Base Transmission System (BTS) or network towers
• AMC maintenance
• Air conditioners at BTS
• Fire Extinguisher
• Handset repairing contracts
• Cable cut claim
• Petty maintenance

33
 HUMAN RESOURCE MANAGEMENT
For any business to run one needs four M’s namely Man, Money, Machine and
Material. Managing other three resources other than men, are easy to handle.
Men are very difficult to handle because no two human beings are similar in all
way. Human beings can think, feel and give response. Handling humans is more
important for any business because human being have crucial potential that may
be very profitable for the business. And these potential can be developed to an
unlimited extent if they are provided with proper environment. So the function of
managing men is as important as finance or marketing function in any business.

HRM is “It refers to practices and policies framed for the management of human
resources in an organization, including Recruiting, screening, rewarding and
apprasing.”

Human resources have at least two meanings depending on context. The original
usage derives from political economy and economics, where it was traditionally
called labor, one of three factors of production. The more common usage within
corporations and businesses refers to the individuals within the firm, and to the
portion of the firm's organization that deals with hiring, firing, training, and other
personnel issues. This article addresses both definitions.

The objective of Human Resources (HR's raison d'etre) is to maximize

the return on investment from the organization's human capital

THE SCOPE OF HRM is indeed very vast. All major activities in the working life
of a worker-from the time of his or her entry into the organization until he or she
leaves- come under the purview of HRM.

Specifically, the activities include are

 HR Planning
 Job analysis and design
 Recruitment and selection
 Orientation and placement
 Training and development
 Performance Appraisal and Job evaluation
 Employee and executive remuneration

34
  Employee Motivation
 Employee Welfare

It is the responsibility of human resource managers to conduct these activities in

an effective, legal, fair, and consistent manner.

"Human resource management aims to improve the productive contribution of

individuals while simultaneously attempting to attain other societal and
individual employee objectives." Schwind, Das & Wagar (2005)

HUMAN RESOURCES INSIGHT AT

RELIANCE COMMUNICATIONS

“In my book, we have no greater asset than the quality of our

intellectual capital, and no greater priority than the growth and
retention of our vast pool of talent”

Anil Dhirubhai
Ambani

At Reliance - Anil Dhirubhai Ambani Group, they recognize the critical role that
their people play in the success and growth of each of their businesses. It is the
skill and initiative of their workforce that sets them apart from their peers in
today’s knowledge-driven economy. It is their commitment and dedication that
lends them the competitive edge, and helps them stay ahead of the curve.

Their strong team of professionals is among the youngest in the country, and
consists of some of the most dynamic, motivated and qualified individuals to be
found anywhere in the world. First-rate management graduates, highly trained
engineers, top-notch financial analysts and razor sharp accountants—all are part
of the professional team at Reliance Communication.

RELIANCE COMMUNICATION HR MISSION

“Facilitate, coach and enable best-in-class and leading edge HR practices across
the extended enterprise of Reliance Infocomm and thereby nurture a customer
centric, positive-energy organization which will maximize stake-holder
satisfaction.”

35
OBJECTIVE OF RELIANCE COMMUNICATION

Their aim is to create a team of world beaters that is:

 Committed to excellence in quality,
 Focused on creation and enhancement of stakeholder value
 Responsive to evolving business needs and challenges
 Dedicated to uphold the core values of the Group

RELIANCE COMMUNICATION PROMISE

In order to achieve their objective, they offer their people...

 Growth opportunities to expand leadership capabilities
 True meritocracy and freedom to choose career paths
 Opportunities to develop and hone leadership and functional capabilities
 An entrepreneurial environment where people can pursue their dreams
 Competitive compensation

In addition, they follow a well-defined Rewards & Recognitions Programmes that

periodically identifies exceptional individual and team achievers among the
various business functions and verticals in the Group.

36
HR STRUCTURE

PRESIDENT
HR CEO

ENTITY
CORPORATE HR
HR

CIRCLE
HR

CORPORATE HR: Activities taken up by Corporate HR are

 Policy making
 Implementing suggestions - HEWITT CONSULTANT
 Strategic planning

ENTITY HR: Activities taken up by Entity HR are

 Execution of policies and practices

 Targets for recruitment of Circle HR

37
CIRCLE HR: Activities taken up by Circle HR are

 Recruitment
 Appointment
 Training
 Payroll
 Employees issues
 Exit full & final

HR FUNCTIONS
 TALENT ACQUASITION

 Sourcing activity

 TALENT DEVELOPMENT

 Performance management system

 Training
 Carrier planning
 Suggestion planning

 TALENT MANAGEMENT

 Operation HR

38
CALENDAR OF ACTIVITIES - CORPORATE
HR
Schedule /
S Activity Frequen Target Date Subject
N cy

WEEKLY ACTIVITIES

1 HR Review Meeting Weekly - Dept Meet Weekly Every HR

Saturday

2 Submit Report on New Appointment to VKG Weekly Every Recruitme

Monday nt

3 Report of Recruitment Status of Key Positions to VKG Weekly Every Recruitme

Monday nt

MONTHLY ACTIVITIES
Consolidated report of Separation cases with Full & 1st Monday
4 Final settlement status to Corp HR Monthly of each HR
month
2nd Day of
5 Monthly Manpower Status to be shared with VKG & Monthly each month HR
DAKC
1st Monday
6 Addition - Deletion Report to Corp HR Monthly of each HR
month
1st Monday
7 Submit HR MIS to VKG / DAKC Monthly of each HR
month
1st Monday
8 Monthly Attrition analysis report - VKG Monthly of each HR
month

9 Monthly SAP Audit to be done (Internal Dept)

10 Monthly activities related to Various Clubs to be shared HR

1st Monday
11 Induction Report to be shared Monthly of each HR
month

QUARTERLY ACTIVITIES

2nd week of
12 REL Champion - To be adjudged as per the criteria laid Quarterly the said Reward
down quarter
by Recognition & Reward Scheme

39
 YEARLY ACTIVITIES

By21st
13 Announcement of Paid Holidays for the following Annual December HR
calendar year each year
Start 1st
14 Performance Appraisal Annual March and to Rewards
end by 15th
April.

15 Payment of PLI - Executive Annual April Rewards

16 Annual Salary Review – Executive Annual April Rewards

17 Annual Picnic Annual 1st week of HR Admin

May /
October
Annual HR Meet - HR teams ( 2-3 members ). To give
18 the perspective of the Organisation HR agenda and to Annual Last week of HR
also share experience December
Celebration of Annual Day / Award Ceremony
19 Award - Long service awards / Annual R&R awards Annual 1st week of HR Admin
Annual Day - with employees and families Jan

Celebration of significant dates - 15th Aug, 26th Jan,

20 RIM DAY Cultural (classical, gazals, Annual As per the HR Admin
Navratri) of some eminent personality dates
Annual Creative Meets
21 Business Games / Quiz HR Admin
Young Mangers meet - Top 100 ( wherein eminent Annual May
speakers to be invited to speak )

22 Annual HR Calendar for next year Annual 15th HR

December

EMPLOYEE CLASSIFICATION

 REGULAR

A ‘Regular’ employee is a person who has been engaged on a regular basis and
includes any person who has been confirmed in writing as a regular employee.
40
  PROBATIONER

A ‘Probationer’ is a person who is employed to fill a regular vacancy of a position

and has not completed the stipulated probationary period applicable to her/his
level. On satisfactory completion of the probation period, the probationer’s
service will be confirmed in writing.

At Reliance Communication employee who joins with a less than one year of full
time work experience is appointed on a probationary period. The probation
period is for 6 months.

The purpose of probationary period is to determine whether an employee is able

to perform the duties of job satisfactorily or not.

During probation period several attributes like Communication, Quantity of work,

Quality of work, Interpersonal skills, Attendance and punctuality are accessed.

Appraisal will be done by the immediate supervisor and reviewed by

departmental head. In case of satisfactory Performance of employee,
confirmation letter is issued.

In case of unsatisfactory performance at work, reviewer in consultation with

Appraiser, circle/ business entity head and HR representative can decide to
extend probation period from 3-6 months.

 TRAINEE

A ‘Trainee’ is a person engaged for being imparted in-house training or specific

areas of operations under a training agreement specifying the training period.

At the end of the training period their performance will be assessed to determine
whether they should be confirmed or the training period extended/concluded.
The Training period is for 12 months.

 CONTRACT

A contract staff is one whose contract of engagement is for a specific period/

assignment. Professional employment agencies such as hire employees and keep
their payroll and client companies use these employees for their work.

41
 Such agencies maintain records, salary, gratuity and provident fund etc. of that
hired person and there will be no burden on any part of the client organization.

Reliance Communication hire employees on contract directly for a specific period

of time and if found suitable for future requirement extend his/ her contract for
some period of time.
Generally the Contract period is for 11 months.

RECRUITMENT DEFINITION:

Recruitment is the process of finding and attracting capable applicants for

employment. In simple terms Recruitment can be understood as a process of
searching for and obtaining applicants for jobs, from among whom the right
people can be selected.

Recruitment Programme helps to attract highly qualified and competent people.

It ensures that the selected candidates stay longer with the company and makes
sure that there is a match between cost and benefits. It helps the firm create
more culturally diverse work-force.

RECRUITMENT POLICY

Reliance Communication recognize that their employees are vital to their success
and therefore it is important for the company, existing employees and potential
employees that HR Department take time to recruit the best people possible
-people who are capable of responding to the challenges that will be placed upon
them now and in the future.

To ensure to get right people, recruitment process at Reliance Communication highlights each
applicant’s skills, talents and experience. Selection procedure involves a list of qualified candidates,
defining a selection strategy, identifying qualified candidates, thoroughly evaluating qualified
candidates and selecting the most qualified candidate.

RECRUITMENT PROCESS
STEP 1: MANPOWER PLANNING.
AOP (Annual Operating Plan), this process is taken up every year. It is taken up
at Personal Level and Entity Level. Several points like Revenue generation,
Acquisition number, etc.
42
 STEP 2: SOURCING ACTIVITY.
There are three types of sourcing done at Reliance. After the resumes
of candidates are chosen then the same is sent to the department head
where the vacancy arises. The department head will then shortlist the
same and they ask the HR department to fix an interview with the
selected candidates. There are two type of interview which is taken up at
Reliance, firstly the Functional interview and then the Functional Head
and HR Head takes the interview.

 INTERNAL SORCING

 Employee Reference
 Re-employment of former employee

 EXTERNAL SOUCING

 Placement Consultant – Ruchika, the Age, the Avenue.

 Job Portals - Monster, NAUKRI.
 Campus Recruitment

STEP 3: APPROVAL.

 The HR executives will Negotiate the CTC with the candidate.

 The approval is sent to the CRC (Corporate Recruitment Cell).
 Then after it is sent to ECRC.
 Then the same is sent to CRL.
 The same is then sent to Management for SAP Applicant Code.
 The applicant code is given to HR CIRCLE.
 OFFER is made to the candidate, which leads to the Joining
Procedure.

AVERAGE TIME PERIOD:

 The process of recruitment takes about 10 – 15 days

ELIGIILITY CRITERIA:

 Education Qualification – MBA with any specialisation

 Not frequent job changes
 Tenure of last job should at least be 1.5 – 2 yrs

OTHER REQUIREMENTS:

 Reference check is usually done for High level job

 The recruitment may differ with the current position of the business

INTERNAL SOURCING
43
In the event of an open position in Reliance Communication, suitable candidates
are first searched internally within the organization. This is based upon in-house
talent which could be redeployed.

Advertisement for internal vacant position is done by following two ways:

 Through sending mail to all Reliance Infocomm employees across all locations
including DAKC (Dhirubhai Ambani Knowledge City)
 Through DAKC Circular

Employees of Reliance Communication who have completed more than 12

months of continuous service only those employees can apply for position placed
on Intranet.

Internal candidates are considered in accordance with their abilities and

potential. The process is coordinated by CRC (Central Recruitment Cell) at
Corporate Office.

EMPLOYEE REFERENCE: In Reliance Communication, Employees can refer a

candidate with whom he/ she have worked in his/ her previous employment.
Employees can check available vacancies on Intranet and can submit the
resumes of prospective candidates who fit the Job profile.

RE-EMPLOYMENT OF FORMER EMPLOYEE: Re Hiring of an employee done in

Reliance Communication with a view to take trained manpower back in the
company. Re Hiring is done as per the policy issued by Central Recruitment Cell
at Corporate Office

EXTERNAL SOURCING

PLACEMENT CONSULTANCY: The placement agencies call for resumes of

prospective candidates, which act as a good source of recruitment for the
companies. Consultant’s interview candidates and shortlist those according to
the criteria laid down by the companies. This helps the employer to interview a
limited number of potential candidates, the minimizing the time taken in
receiving and sorting applications, etc.

Reliance Communication chooses Consultants having national presence. This

sourcing option is only considered by the company when there is scarcity for
candidates with requisite experience and skills.

44
JOB PORTAL: The spread of Internet has enabled employers to search for
candidates globally and has made recruitment easier. If vacancy arises, Reliance
Communication browses the profile of candidates from the Job portal like
naukri.com, monsterindia.com and then candidates are accessed through e-mail
or telephone.

CAMPUS RECRUITMENT: Reliance Communication goes for Campus

recruitment every year for technical department. For management level
recruitment, it goes for campus recruitment as per requirement.

For filling up position for MT (Management Trainee), following procedure is

followed by Reliance Communication:

 HR representative of Reliance Communication gives Description

about Job to all candidates
 Written Test i.e. (MAT) Mental Ability Test is taken for those
candidates who has got aggregate 60% in all semesters.
 GD (Group Discussion) is conducted for those candidates who had
successfully pass MAT.
 At last PI (Personal Interview) is conducted for those candidates who
had passed out GD and Personal Interview is taken by respective head of
department and HR Head.

For filling up position for GET (Graduate Engineering Trainee), following

procedure is followed by Reliance Communication:

 HR representative of Reliance Communication gives Description

about Job to all candidates
 Written Test i.e. (MAT) Mental Ability Test is taken for those
candidates who has got aggregate 60% in all semesters.
 At last PI (Personal Interview) is conducted and Personal Interview is
taken by respective head of department and HR Head.

MT position includes candidates having Educational qualification in MBA and GET

Position includes candidates having Educational qualification in BE (E&C,
Electronics).

MT is placed in either of the following departments:

 Prepaid
 Postpaid
 PCO
 Customer Care
 Commercial
 HR
 Web world

GET is placed in Network Department.

45
 INTERVIEW
Interview is the oral assessment of the candidates for employment. This is the
most essential step in the selection process. In this step the interviewer matches
the information obtained about the candidate through various means to the job
requirements and to the information obtained through his own observation
during the interview. Interview gives the recruiter an opportunity:
 To size up the candidate personally
 To ask questions that are not covered in tests
 To make judgments on candidate’s enthusiasm and intelligence.
 To assess subjective aspects of the candidate – facial expressions,
appearance, nervousness and so forth.
 To give facts to the candidate regarding the company, the policies, programmes, etc.
and promote goodwill towards the company.

MODE OF INTERVIEW
 PERSONAL INTERVIEW: Personal Interview is a formal in-depth
conversation conducted to evaluate the applicant’s acceptability. In a
personal interview, candidates are accessed on behavioral and personality
characteristics, functional and managerial competencies and other factors
like education, experience etc. Based on the candidate’s performance in
the interview, the interview panel rates the candidate and takes the
selection decision.

 VIDEO CONFERENCE: At Reliance Communication, usually face to

face interviews are conducted but for those candidates who are located at
other state for them video conference interviews are conducted. The use of
video conferencing can add value to the process by allowing real time,
face-to-face interactions without the costs associated with physically
transporting candidates to the campus.

Reliance Communications uses Video conference for following

reasons:

 Time savings
46
  Faster Decision making
 Cost savings in candidate travel, lodging, etc.
 An opportunity to meet the candidates before narrowing the list

An opportunity to see and converse with candidates, evaluate their

responses to questions and gauge their interest in the position.

 TELEPHONIC INTERVIEW: There are various reasons to take a telephonic

interview. For example, in certain location Reliance Communications does
not have its Webworld, so in that case the interview of that candidate will
be taken over telephone. Even if the interview of a candidate cannot
happen through video conference because of unavailability of any
Webworld timings, then telephonic interview is taken.

 CAMPUS RECRUITMENT: For GET, Interview is taken by respective

functional head and HR head and for MT Interview is taken by 2-3
functional heads, HR head and final interview is taken by Circle CEO.

LEVELS OF DESIGNATION & EXPERIANCE

 L1: VICE PRESIDENT, Sr. VICE PRESIDENT, PRESIDENT.(LEADERSHIP
POSITIONS)

 EXPERIENCE: 17 – 20 + years

 L2: DEPUTY GENERAL MANAGER, GENERAL MANAGER.(MAGERIAL

POSITIONS)

 EXPERIENCE: 11 – 15 + years

 L3: ASSISTANT MANAGER, MANAGER, Sr. MANAGER.(EXECUTIVE

POSITIONS)

 EXPERIENCE: 5 – 11 + years

 L4: EXECUTIVE, Sr. EXECUTIVE.(SUPPORT POSITONS)

 EXPERIENCE: 2 – 4 + years

47
  GET, MET, DET: Trainees

 EXPERIENCE: Fresher

REFERENCE CHECK

Once the hiring decision is taken, the candidate is contacted and informed about
the decision to conduct a reference check with the referees whose names have
been provided in the personal history form.

Many employers request names, addresses and telephone numbers of references

for the purpose of verifying information and perhaps gaining additional
background information on an applicant.

References are checked for following reasons:

 To check whether or not the applicant was truthful about his or her
employment history.
 To know weaknesses, strengths of the applicant.

SELECTION DECISION

After obtaining information through the preceding steps, selection decision is to

be made.

The other stages of selection process have been used to narrow the number of
candidates. The final decision is to be made from the pool of individuals who pass
the tests, interviews.

MEDICAL CHECK-UP

All selected candidates are required to undergo a pre-employment medical

check-up as a part of selection process.
48
After the selection decision and before the job offer is made, the candidate is
required to undergo a Medical check-up. A job offer is contingent upon the
candidate being declared fit after the Medical test.

EMPLOYEE REMUNERATION

Remuneration is the compensation receives in return for his/ her contribution to

the organization.

Reliance Communication follows the cost to company (CTC) structure that

reflects the total cost of an employee to an organization. It is designed to provide
flexibility to an employee to structure their benefit package.

PHILOSOPHY OF CTC

 Within the committed salary of an employee, provide maximum flexibility

to an employee
 Cost all perquisites and benefits to an employee and make the employee
appreciate the total costs incurred by the company on such benefits
 Enable the company realize and recognize the hidden payroll costs
incurred on such benefits

Why CTC is divided in two parts?

 As per the Indian Income Tax Rules the total Basic Salary paid to the
employee is taxable.
 So Choice Pay can make your 60% salary non taxable.

PLI (PERFORMANCE LINKED INCENTIVE)

15% on Fixed CTC would be would the base figure for PLI. Normally PLI is paid
once in a year depending on his performance during the assessment period.

CTC SRUCTURE

C T C

B A S E PC A H Y O I C E P A
49
( 4 0 % O ( f 6 C0 T % C ) O f C T
The following are the main components to CTC structure. The
CTC structure includes costing of all components of Compensation and Benefits
an employee is entitled to.

BASE PAY
This constitutes up to 40% o the total annual compensation and it includes

 Basic Salary
 Employer’s contribution to the PF @ 12% of basic salary
 Employer’s contribution to the company’s gratuity fund @ 4.81% of basic
salary

BASIC SALARY
 Basic Pay = Base pay/pf + gratuity
 Base Pay = 100
 Basic Pay = 100/1.1681

PROVIDENT FUND

Provident fund is to provide Social Security Benefit to the employee after

retirement. PF is deducted from the first day of employment. The Company
deducts 12% of the employee’s basic salary and makes an equal contribution.
The employee can take loans for specific purposes against his/her provident fund
accumulation.

The employee is also covered under an Insurance Scheme, which provides for a
payment of Rs. 37,000 / - in case of his /her death.

GRATUITY

Under the scheme Company contributes 4.81% of Basic Salary of an employee to

the Gratuity Fund. Last drawn basic salary/26 days*15 days*no. of
completed years of service. Employees who have completed 5 years
continuous service with the company are eligible to get gratuity on separation
from the company. In case of death, the minimum service requirement of 5 years
does not apply. For calculating Gratuity, periods of service greater than 6 months
will be considered as equivalent to 1year and less then 6 months will not be
counted.

50
  As per Income Tax Rules, Gratuity is not taxable up to 3, 50,000 /- .
 Any amount paid in addition to 3, 50,000 /- will attract tax.
 All employees who have completed 1 year continuous service with the
company are eligible to get gratuity on separation from the company.

CHOICE PAY
This constitutes up to 60% o the total annual compensation and it includes

 Company Leased Accommodation

 Company Owned Accommodation
 Office Wear Allowance
 Leave Travel Allowance
 Company Leased Car
 Children Education Allowance
 Gift Coupons
 Conveyance Allowance
 Food Coupons
 Medical Expense
 House Rent Allowance
 Superannuation
 Special Personnel Allowance

COMPANY LEASED HOUSE

 Company will arrange the house through an authorized real estate agent as
per the choice of the employee.
 Security deposit by company.
 12% percent Interest will be charged on deposit amount.
 The same will be debited in CTC.
 Rent would be exempted from income tax.
 10% Perquisite Tax would be charged to the employee on his taxable
income.

COMPANY OWNED ACCOMODATION

 No deposit – no interest.
 Rent would be calculated @ 11 rupees per Square feet.
 Monthly rental would be charged to CTC
 Rental Amount will be exempted from tax
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  10% perquisite tax would be charged on employee.
 Security Deposit
 HRA – House Rental Allowance
 HRA can be maximum 40% of Basic Salary.
 Deposit and rent has to be paid by employee by self
 To get the tax exemption the employee has to produce the rental
agreements and rental receipts of the house.
 The employee can’t claim this benefit if He/She has his own house.

OFFICE WEAR ALLOWANCE

 An amount of Rs.18, 000 P.A. is exempted for income tax.

 To get the exemption original bills to be submitted.
 Items covered under this head are as follows:
 Attire (2) Ties (3) Shoes (4) Socks (5) Tailoring charges

LTA - LEAVE TRAVEL ALLOWANCE

 An Employee can block two months of Basic Salary as Leave Travel

Allowance.
 He/She should take a minimum of 5 days leave (PL).
 In case of air travel-economy class fare is exempted and in case of rail
travel second class AC fare is exempted.
 He/She can travel within India only.
 He/She has to produce the original travel tickets.

CAR

 Company will arrange a car through a car lease agency.

 Employee can choose any make/model.
 The EMI that will be charged would be Rs. 2095/- per Lac per month.
 The EMI amount per Annum would be exempted from Income Tax.

MAINTENANCE & RUNNING COST

 Maintenance and Fuel Cost will be exempted as follows.

 Maintenance can’t exceed Rs. 25, 000 per annum.
 If CC of the car is less than 1000 – Rs. 1, 11,000 per annum.
 If CC of the car is more than 1000 – Rs. 1, 50,000 per annum.
 The perquisite Tax charged would be Rs. 1200 irrespective of the cc of the
car
 The above exemption would be provided on submission of original bills.
 There would be no tax exemption against if the employee has his own car.
 The FBT Tax (Fringe Benefit Tax) for fuel and maintenance is 6.73% on how
much you have opted for.

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  At the time of leaving CO. before 48 months then the employee has to pay
FCV (For Closer Value) to the company from whom the loan is taken.
 If the employee is still stays after 48 months then employee will be
charged 20% on the value of the car at that time for changing the name
i.e. ownership.

CHILDREN EDUCATION ALLOWANCE

 Employee can claim exemption Rs. 2400 per year.

 This exemption is restricted up to two children.
 To pass the claim Employee has to submit the original bills.
 To get this benefit child age should be greater then 3.5 years.

GIFT COUPONS

 A sum of Rs. 5000/- would be exempted against the Gift Coupons.

 The company would provide coupons worth Rs. 5000/- during the months
of October & November.
 Validity of this coupons is one year
 This coupon is accepted at major outlets in city.
 FBT Tax – 16.67% is charged.

CONVEYANCE ALLOWANCE

 If the employee is not using company’s car then and only then he can claim
this option.
 To getting the exemption bills are not required.
 Conveyance allowance is up to Rs. 800/- per month.

FOOD COUPONS

 The Company gives SODEXHO passes in term of Food Coupons.

 Food coupons are provided on monthly basis of Rs. 1300.
 A sum of Rs. 15600 per annum will be exempted from the income tax.

MEDICAL ALLOWANCE

 The employee gets an exemption of Rs. 15000 p.a.

 But to get exemption the employee must submit original bills.

HOUSE RENT ALLOWANCE

 Maximum 40% of basic salary can be calculated as HRA.

 But if employee owns the house in another state then he/she can ask for
HRA and also opt for Company Leased House.
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SUPERANNUATION

 13-15% of basic salary is transferred to trust.

 It can be given to employee only after the completion of 5 years with the
company.
 The money is collected by a trust.
 To withdraw the money the employee has two options, either he can take
the money monthly or he can take the money after 5years.

SPECIAL PERSONAL ALLOWANCE

 Any amount which exceeds the limits of each allowance can be transferred
under this head.
 SPA is fully taxable as per income tax rules.

LEAVES

There are four types of leaves available with the employees.

 PAID LEAVE
 CASUAL LEAVE
 SICK LEAVE
 OPTIONAL LEAVE

Additional Information:

 No leaves can be clubbed with another leave.

 Minimum 90 days leave should be in balance for the encashment of leaves.

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  PAID LEAVE

 There are 30 days PL available with the employee after the

conformation.
 The PL is available after 180 days from the date of joining.
 The employee can take only 3-5 PL at a single time

 CASUAL LEAVE

 There are 5 days CL available to an employee from the date of

joining.
 The employee can take 1-3 days CL at a time.

 SICK LEAVE

 There are 10 days SL available to an employee from the date of

joining.
 The employee has to submit doctor’s certificate if the leave extends
to 2 days.

 OPTIONAL LEAVE

 There are 3 days OL available to an employee from the date of conformation.

JOINING FACILITATION
Joining Day is the day when an employee recruited on the payrolls of the
company. The HR Rep. should be in constant touch with the candidates till the
date of joining. Collect the information from the candidate regarding the date and
mode of arrival to the location of joining. Arrange for pick-up of the joinee &
family from the station/airport and take them to the hotel as per the
requirement. If pick-up arrangement can’t be arranged then give complete
address/directions to the hotel & the office to joinee.

HR Rep. should give a brief introduction to the new joinee on the following:

 Geography of the Location/City/Town.

 Organization Structure.
 Status of the Project/Operations of the circle.
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  Role of the employee.

RESIDENTIAL & MOBILE TELEPHONE

Residential & Cellular Phone are allotted to employee based on the role and
responsibility level and should not be treated as Perquisite. The Residential &
Cellular Phone provided by the company will be on the name of company.

Circle / Business Entity Head can take any of the following decisions with respect
to Residential Telephone Connection:

 Obtain the telephone connection on priority basis by paying higher

amounts.
 Provision of STD / ISD Facility.
 Reimburse only Telephone Rental expenses.
 Reimburse the Local Call Expenses.
 Reimburse expenses related to only official calls.
 Reimburse all expenses including Long Distance Calls.

ALLOTMENT OF DESKTOP PC / LAPTOP

All full time permanent employees who will be available at their office desk for
more than 80% of the working hours on daily basis will be provided with a
desktop PC on their workstation.

The circle/Business Entity head can take decision to allotment of Lap Top in lieu
of desktop PC based on the role of the employee.

FORMS & LETTERS REQUIRED IN THIS PROCESS

 Welcome Letter.
 Joining Report.
 Brief Personal Details Form.
 Transfer of EPF Account.
 Nomination Form.
 Gratuity Nomination Form.
 Superannuation Transfer Form.

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  Application to join Superannuation Scheme.
 Choice Pay Form.
 Personal Accident Insurance Form.
 Nomination for payment of the amount secured under personal accident
Insurance Policy.
 Hospitalization Insurance Form (Applicable for L3 & L4 )
 Hospitalization Insurance Coverage for dependent parents.
 Health Declaration Form
 Health Certificate
 PC Indent Form
 New Telephone Extension Form
 Electronic Mail Registration Form
 Requisition for Visiting Cards.

INDUCTION

Induction is also called orientation, which is designed to provide a new employee

with the information he or she needs to function comfortably and effectively in
the organization.

iNEP INDUCTION PROGRAM

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The Human Resources Department structures an appropriate induction
programmes to orient the new employees to various businesses and services at
Reliance communication.

A two-day Induction program (iNEP- Infocomm new employees program) is

offered to all new employees. The company which takes the induction program
for reliance communications is RELNIS NI SPARTA.

The induction program helps the employee to integrate in the new environment
and provide an overview of the Organization as a whole. It also provides an
opportunity to the new entrant to engrain the original values and ethics as well
as the style of functioning.

This program is all about:

 Developing a shared understanding of Reliance communication’s vision and

mission.
 Understanding their organization and business model.
 Familiarization with leaders at Reliance Communication.
 Networking and integrating with Reliance Communication employees.

This program provides information on:

 The history of reliance group

 The fundamentals of telecom business
 Introduces technologies and key concepts of the business.
 This program shares the company’s strategic objectives, organization
structure and processes and systems.
 Presentations are made from representatives from various business units
and functions.

EXITS

DEPUTATION & TRANSFER

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DEPUTATION

Due to business requirements, employee may be required to be posted to other

location than your primary location.

If such posting requires you to relocate from your base location beyond 29 days,
then it is defined as deputation.

If such posting requires you to relocate from your base location beyond 3
months, then it is defined as Transfer.

Deputation letter is given and respective deputation allowance is paid to the

employees as per policy.

TRANSFER

Business needs may be required an employee to be transferred on permanent

basis

 One circle to another circle

 One location to another location

Departmental head initiates the request for transfer of an employee and forwards
the same to the circle HR Representative. Employee will receive transfer letter
from Circle HR Representative of the primary circle/location.

SEPARATION

Reliance Communication believes in treating all employees separating from the

company with utmost dignity.

RESIGNATION
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Resignation means employee voluntarily leaving the services of company either
for professional or personal reasons. Employees must serve a written resignation,
mentioning the relieving date to his/ her departmental head that will discuss and
obtain the approval of the circle head. The accepted copy of resignation letter
with the approved relieving date must be forwarded to the respective HR.

Confirmed employees are required to give 3 months notice in advance and

employees on probation are required to provide 15 days notice in advance.

JOB ABANDONMENT

If an employee remains absent without leave or remains absent beyond the

period of leave originally granted, he shall be considered as having voluntarily
terminated his/ her employment without giving any notice unless he/ she:

Returns to work within 8 days from the commencement of such absence.

The employee gives an explanation to the satisfaction of the management

regarding such absence.

TERMINATION

Termination is an undesirable outcome for employee as well as the company, but

may be necessary if the employee

 Violates the company policy

 Is unable to meet company’s performance standards

EXPIRY OF TRAINING/ CONTRACT

Employee under training /contract will be evaluated at the end of specified period
by HOD and decision whether to extend his/ her service will be taken.
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EXIT INTERVIEW

An exit interview is typically a meeting between at least one representative from

a company's human resources (HR) department and a departing employee. The
departing employee usually has voluntarily resigned. The HR representative
might ask the employee questions while taking notes.

Prior to leaving, an exit interview is conducted to gather feedback and

recommendations of the outgoing employee. Exit interview is a one-to-one
discussion where voluntary views and suggestions are taken from the outgoing
employee on what his/ her expectations had been at the time of joining the
company and reason for leaving the company. The circle HR arranges the exit
interview.

Listed below are some of the exit interview questions that Reliance
Communication asks to departing employees in Exit interview.

To what extent did he/ she expect to experience following features of

work at the time of joining the company

 Job security
 Career prospects
 Good compensation
 Self development
 Welfare
 Operational freedom

To what extent did he/ she find that features of work in the company

Reasons for leaving the company in terms of relevance

 Personal
 Professional growth related
 Lack of challenge in work
 Lack of promotional opportunities

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Overall opinion about company, how much hike and other benefits offered by
new company compare the one he/she is leaving, and is he/ she is interested in
rejoining the Reliance Communication and on what conditions are collected.

FULL & FINAL SETTLEMENT

When the employee leaves his/her job it is required that all his/her financial
obligations are settled. Financial obligations like:

 Outstanding Advances/loans
 Any undertakings he/she has given to the company in terms of
 Cost of mobile as per company policy
 Opting for company lease car
 Or any other undertaking given by him/her

And turn in his/her identification cards, key and any other property, which he/she
had issued. The full & final amount is paid to employee after recovering all
advance/outstanding dues.

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 HR SUPPORT SYSTEM

SAP – HR

The Reliance ADA group is on the move to e-enable all HR functions and the
employee interface. We are in the process of adopting state-of-the art ERP
software - SAP, across all locations and businesses.

As a service to the most valuable assets, i.e. the employees, the Group HR is
upgrading its extensive web-enabled services into an internet enabled employee
portal which will enable employees from across the country to interact with HR &
Payroll for any requirement i.e. applying for and sanctioning leave, information
on policies and procedures, entering expense claims, updating their own
databases, etc.

ESS (EMPLOYEE SELF SERVICE) / (EMPLOYEE SUPPORT

SYSTEM)

ESS will enable you to interact with the SAP database, to view and maintain your
personal data. ESS provides you with a host of services in the following areas.

 PERSONAL INFORMATION

 Employee can view and update their personal data such as

 Educational details
 Details of previous employers
 Family related information
 Change of marital status
 Change of residential address etc.

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  PAYROLL RELATED INFORMATION

 Employee can view their monthly updates on the following:

 Pay slips
 Income tax projections
 PF Statements

 REIMBURSEMENT

Employee can submit their claims of following reimbursement online

 Telephone bills
 Local conveyance
 Medical reimbursement

 COST TO COMPANY (CTC)

 CTC related activities

 ENTITLEMENTS

 Medical insurance
 Travel Entitlements

 INCOME TAX RULES

 Details of exemptions and benefits as applicable to employee.

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 MY EXPERIENCE IN RELIANCE

“Excellence has always been achieved by those who

dared to believe that something inside them was
superior to circumstances. So believe in yourself and
try your level best”.
By, Subha
Narayan Murthy

This phrase says it all. It is truly inspiring that one must believe in
what one is doing and stand by your decision and work hard towards
it, so that you may achieve excellence.

Summer internship for any MBA graduate would be an experience by

itself, so was it for me. Working to me was something new, as I had
not worked anywhere else before. But this voyage of internship
taught me a lot about my profession as an HR person. Reliance
communications has given me a platform to work in the corporate
and understand the working practices in HR department. This
internship was like a fresh start for my carrier, the learning which I
have undertaken here will stay along with me through my journey of
working. A pre-learning for any working career is must this was mine
with different situations and examples to face the outcomes.

The world is not a fairytale story. Life takes challenges on every step
of life. Work is the same in that manner. Work requires a lot of self
dedication and motivation by itself. But the one thing which matters
the most is “work” and “the feeling that you are working”.

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At Reliance I had the opportunity to learn about the various functions
of HR. My most of the time of internship was into sourcing. The
sourcing part which I was taking care of was from job portals. I was
supposed to search resumes according to the needs of the
department, the levels of designation and major KRAs the post
required. Then it further goes on to inquiring with the selected
candidates about their current job and asking them if they would like
to work with Reliance Communications Gujarat. Then all the further
procedure was taken up by the HR executives, which was then
followed by scheduling of interview and the department head would
select the candidate.

I also had the opportunity to attend some interviews through video

conferencing and that was really an experience. I was allowed to sit
in the panel of interviewers, but of course I did not ask questions. The
panel existed of department head, HR representative and me, but
only for some VCs.

At Reliance I also had prepared a data management system which

was related to sourcing. The data management system included
information about the candidates which were selected. The
information of candidates according to their experience wise,
education and qualification wise, sourcing wise, level wise, business
and department wise. The data management system was made with
the help of the team with which I was working with i.e. Sr. employees
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and my HR head. This data management system would help the
company to maintain its MIS, but only if the data’s are filled in
regularly.

There were a lot of candidates which were selected by me. From

them a lot went on to the next stage of interview, but the rest were
not selected by the HR. And now there are some candidates placed in
Reliance Communications which were selected by me. Just the feeling
of approval of the selected candidates gave me boost to work more
hard and find some more candidates for the company. And then the
next time I would make it a point that the candidates selected are
worth the job required.

I also got an opportunity to do Analysis of induction feedback. Later I

got a chance to the compensation structure at Reliance
Communication. I got to study it from the books on compensation as
guided by my supervisor.

This summer internship has taught me the basics of Human Resource

Management which is there in the business, what are the purpose
and the importance of HR in the business. It has also taught me the
sourcing activity as well, how to search good CVs, what points to take
care while scrutinizing the CVs, how to talk to the candidates while
asking them about the vacancy.

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After my tenure of working here has benefited me a lot and has given
me confidence in my own work and decisions. My experience here
was more than my expectation. The work environment which I was
not used to was made very friendly by the team with whom I was
working. And I would remember their help which they provided me
during my tenure of internship.

BIBLIOGRAPHY & REFERENCES

For the purpose of the preparation of the project and giving

it the valuable paper form, with an intention that this
information can be used by other also, a helping hand is
taken from the most precious reserve of the knowledge i.e.
the books

The books concerned for the accomplishment of the project

are as below: -

Human Resource Management by Aswathappa, Fifth Edition -

2006

The introduction manual provided by “Reliance

Communications”

 Employee’s Handbook
 Joining Kit
 Book by Kokilaben .D. Ambani, “The Man I Knew”
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The websites concerned are

 gm.relianceada.com
 www.reliancecommunications.co.in
 www.relianceadagroup.com
 www.dhirubhai.net

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