Management Project Class : MBA - 1B

Group members:

Fatima Zafar

Ayesha Gauhar

Ahmed Fraz

Shir shah

Abdul Haseeb

Date of submission:

25.11.2014

Submitted To :

Sir Nasir Mehmood.

Department of Management Sciences.

ISLAMIC DEVELOPMENT BANK RECRUITMENT AND SELECTION

ISLAMIC DEVELOPMENT BANK OF PAKISTAN:

Islamic Republic of Pakistan is a founding member of the IDB. It is also a member of all the IDB Group

entities (ICD, ICIEC, ITFC, and IRTI), all of which have played an active role in country’s socio-

economic development. Pakistan is the second largest beneficiary of the IDB Group financing. In recent

years, Pakistan has been passing through critical time in terms of economic, social and political fronts.

Emerging challenges are affecting socioeconomic development of the country. In particular, persistent

energy shortage has worsened in recent years, which has been affecting all sectors of the economy. In this

regard, good governance and strong institutions will be of paramount importance to ensuring a stable and

prosperous Pakistan.

Islamic Development Bank main branch (SAUDI ARABIA):

Islamic development bank established in 1975 to promote socio-economic development in

member countries and Muslim communities in compliance with shariah.IDB is the oldest of all

the regional institutions of the world and constitutes the main foundation of multilateral

financing for economic, social and institutional project of development, and those of commerce

and regional integration, in Latin America and Caribbean.

IDB group Composition:

Islamic Development bank.

Islamic research and institute (IRTI).

International Islamic trade financing corporation.

Islamic corporation for the development of the private sector

Islamic co-corporation for insurance of investment and export Credit.

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IDB VISION:

“By the Year 1440H (2020) IDB shall have become a world-class development bank, inspired by

Islamic principles, that has helped significantly transform the landscape of comprehensive

human development in the Muslim world and helped restore its dignity.”

IDB MISION:

“We are committed to alleviating poverty, promoting human development, science &

technology, and Islamic banking & finance, and enhancing cooperation among member

countries, in collaboration with development partners”.

RECRUITMENT AND SELECTION:

Recruitment and selection is the process of attracting and selecting best candidates for employment.

The Personnel Department of any large business organization often has detailed recruitment and

selection policies that need to be followed by those responsible for hiring new employees. Therefore, it is

important to understand the recruitment and selection process and policies being adopted by any organization.

Recruitment and Selection process is basically a process of getting pool of capable and efficient employees in

an organization. Recruitment and Selection is the process in which managers , recruitment specialists and

others use particular instruments to select from pool of applicants and probably there are so much chances to

get a person who is best for given management and legal requirements. Better recruitment and Selection

strategies can improve organizational outcomes. If organizations use effective strategies they are more

likely to hire and retain satisfied employees.

Recruitment and selection also has an significant role to play in ensuring worker

performance and positive organizational outcomes. It is frequently claimed that Selection of workers

occurs not just to replace departing employees or add to a workforce but rather aims to put in place

workers who can perform at a high level and demonstrate commitment (Ballantyne, 2009).

IDB recruitment and Selection:

In order to increase efficiency in Recruitment and selection IDB came up with their own 22 steps

of effective recruitment and selection process

Starting from Opening of a vacancy (New or existing post) till the end step which is On

Boarding process.

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i. Opening of a vacancy:

Recruitment process starts from opening of a vacancy for new position or existing position. The

director of concerned department propose to open a new vacancy in his department because of so

many reasons like increase in workload, new projects, assignments or more responsibilities in a

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1.Opening of a vacancy (new or

existing post)

2.Requesting HR to fill in the

vacancy

3.HR checks the vacancy with

manpower planning

4.Identifying Job Description &

grade level of the position

5.HR announcing the vacancy

5.A.External

announcement

5.B.Internal

announcemen

6.Collecting pool of applicants

7.Long listing the applicants based

on CVs (HR)

8.Short listing the applicants based

on cvs

9.conducting remote

interviews

10.Screening and short listing

based on remote interview and informing the

candidates

11.Preparing memo for approval for Technical and

Selection Interviews. Composition of Technical &

Selection Interview Committee

12.Requesting the visit visas and

arranging the arrival of

applicants

13.Conducting technical

interviews

14.conducting selection test

15.preparing technical

interview report and informing the candidate

16.Conducting selection interview

17.Preparing selection int-w

report and informing applicants

17.A .No suitable candidate,

process goes back to step # 5

17.B.If there is suitable candidate, job offer is

prepared (incl. grade, salary, benefits, etc)

18.Sending the job offer

18.A.OfferRejected

18.b.2If there is no right

candidate, process goes

back t0 step 5

18.b.1The backup

candidate are considered

18.B.Offer accepted

18.b.3if there is right fit,process goes

to step #18

19.Communicating pre-departure

orientation

20.Arranging the work visa

21.Arranging the arrival of a new

hire

22.On-boarding process

department . Then Board of director will either approve or disapprove for the proposal . He will

first find out that does this department really need a new post if yes then he will approve it , if no

then he will disapprove it. When the position is approved, it is entered in to man power planning

system.

Challenges:

Main problem faced is sometimes Head of department requests for the new vacancy without

giving a valid reason or justification.

Requesting HR to fill in the vacancy :

Director of department sends request to Hr director to fill the vacancy. Hr directors approve the

request and pass it over to the manager recruitment division. Division manager approves the

Requisition and passes over to recruitment specialist . After all these steps then Recruitment

specialist start the hiring process

Challenges:

Sometimes memo comes only with the job title and don’t have job description. So recruitment

officer face trouble. One more problem when Head of the recruitment division take some time

for approval before it reaches to recruitment officer.

HR checks the vacancy with man power planning :

Man power planning:

Man power planning department checks how many people required for every department and

which department needs more people. Recruitment specialist contacts the man power planning

officer to check if the position exists in the man power planning system or not. Recruitment

process is based upon Availability of vacancy in man power planning system .

Challenges:

Currently man power system don’t have the exact names , roles of the open vacancies but they

does have the total number of vacancies within the department., There are cases when hiring

managers change the role which are not consistent with the resourcing system done in IDB.

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Identifying job description and grade level of the position:

In Islamic development bank compensation and benefits department provide job description and

grade level. After confirming the availability of vacancy with the man power planning system

then recruitment officer requests C&B department division for job description and job

specifications .Currently C&B has the most up-to-date description and grade levels developed

by mercer. So C&B provides recruitment officer with the update of job description and grade

level.

Challenges:

Most of the time C&B doesn’t have ready job descriptions for the open vacancy so they have to

start developing with head of the department . So it is very time consuming and may have

conflicts when new grade level doesn’t match with the old grade level.

Internal Announcement:

In internal announcement vacancy is announced internally to all IDB group staff members. IDB

gives opportunity to existing employees to apply for new position. So it is like giving internal

candidates advantage over external candidates. This internal announcement is sent by email with

link to carrier portal of IDB. The existing online applications provided by the sniper hire.

Challenges:

Internal announcement doesn’t have detailed information. So internal candidates face difficulties

in getting full information about new position.

External announcement:

External announcement is also done by career portal. For announcing vacancy externally

recruitment and recruitment team wants to advertise through other sources like magazines ,

websites, journals etc so they need to get permission from bank secretariat . After permission

Eric division give quotation to talk to advertising agencies then selected sources must be

approved by HR directors and then goes to finance for payment . After all the process then

vacancy is announced externally.

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Challenges:

Vacancies are mostly announced only in IDB portal which limits the potential of attracting

qualified candidates.

Collecting pool of applicants:

IDB sniper hire collects all the application and then this sniper hire system filters all the

application according to the pre- set questions which are relevant to the job position. This system

matches the job description and candidates specifications.

Challenges:

Most of the time applicants send their resumes without properly filling in the online application.

This is a big problem for recruitment and selection panel.

Long listing the applicants:

For Long listing recruitment specialist goes through all the applicants manually to find out good

candidates for the position. For long listing he/she chooses most relevant applications. Usually

recruitment officer selects 6-10 applicants per position.

Challenges:

Manually going through all the applications is very time consuming. There Recruitment and

selection department don’t have standard method or specific timeline for long listing .

Short listing the applicants:

After long listing recruitment specialist hands over long listed applications to the hiring manager

for short listing. After handing over hiring manager selects the most suitable candidates like best

applicants out of good ones for short listing process. Hiring managers usually prefer

remote( Skype) interviews of 7-9 candidates for short listing or if there is no remote interview

then 3-5 candidates are short listed.

Challenges:

Main problem of short listing is that it is very time consuming if it is not controlled. Or hiring

officer does not follow the time line.

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Conducting remote interviews :

After short listing recruitment specialists arrange remote interview which is Skype or telephonic

interviews. But Skype interview is highly recommended.

Hiring panel is based on 1-2 specialists from the department concern and the recruitment officer.

Challenges:

Many mangers don’t prefer Skype interviews . They want to see their candidates face to face

which are very costly and time consuming.

Screening based on remote interview and informing the candidates:

After the remote interview panel member will decide( orally) which candidate is more suitable

for short listing and recruitment officer takes note of that. Recruitment officer also make report

of candidate then this report is signed by every panel member . After all the signatures short

listed candidates are finalized. After short listing recruitment officer finalized their decision and

inform both rejected and accepted candidates through email.

Composition of technical and selection interview:

After identifying suitable candidate over Skype or telephonic interview after all these process

recruitment officer sends email to the concerned department to nominate members for technical

interview. After the nomination , invitation with the panel member name is sent from the Hr

director to the concern department. Then recruitment officer contacts two vice presidents to

arrange timing for selection interview. Selection interview is done one day after technical

interview.

Challenges:

The memo sending from one department to another is time consuming.

Requesting the visit visas and arranging the arrival of candidates:

Recruitment officer requests the government relation to issue working visas. If candidate lives in

Saudi Arabia then there is no problem but if he’s from outside then visa issuance may take from

30 days – 6 months. This visa shall be issued for short listed candidates. Two ways ticket will be

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provide to each short listed candidates. Candidate’s arrival , pick up , hotel arrangement

everything will be arranged by IDB.

Challenges:

Recruitment team has no control over visa issuance process. Sometimes it takes a lot of time

which delays the hiring process.

Conducting technical interview:

Candidates arrive to IDB building on the day of technical interview. These candidates are called

one by one. Interview place is arranged based on the availability of rooms. Then technical

interview is conducted with each candidate. Interview takes about 30-40 mints.

Challenges:

There is no specific place for candidates to sit before the interview. There is no refreshment,

coffee for candidates.

Conducting selection test :

Selection Test is giving test to applicant repeated to their job knowledge skills and attitude.

Different department use different kind of test m case studies or quantitative analytical l test to

ass’s candidate’s skills. This test may be conducted usually when candidates are waiting for their

turn for interview. After tests are completed then they are checked by the responsible staff of

concerned department. If results of test are satisfactory the candidate is qualified if not then he is

disqualified.

Challenges:

There is a no standardized format of tests used by all the departments . This usage of test is based

upon the will of hiring manager.

Preparing technical interview report and informing result to candidates:

After finishing the technical interview, the hiring manager or the specialist writes the technical

report and this written report is signed by the entire panel member . Recruitment officer job is to

collect the signatures from all the panel members. When report is finalized , the results are

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communicated through emails and phone calls . Sometimes candidates come to IDB to check

their results.

Challenges:

Major problem is sometimes panel member did not sign the report on time so the recruitment

officer have to keep calling them to remind them of signatures which is very time consuming.

Conducting the selection interview:

After technical interview recruitment officer job is to create a report during the interview and at

the end he have to make sure that it is signed by all the panel members before the actual

interview. The purpose of this report is to know who are the candidates and on what basis they

are selected. Those candidates who passed the technical interview then they have to go through

the selection interview process . This interview is conducted in Vice-president Office. For the

selection interview there is no specific guideline . This interview is totally depending upon vice

president . He can ask questions whatever he wanted to ask to the candidates.

Challenges:

There is no specific problem for selection interview.

Selection interview report and informing the candidates :

The selection interview report is created at the end of the interview. HR representative from the

panel member , takes the notes from interview and gives the recruitment officer to sign the

report and make sure that every ones signature is collected. After the signature report is signed

by vice president then all the candidate who qualified or disqualified for the position are

informed by email. In some cases no candidate is qualified for the position then the process goes

back to step 5 (announcing the vacancy ).

Challenges:

If there is no suitable candidate then process goes back to step 5 which is too much time

consuming.

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Preparation of job offer and sending of job offer:

After the selection interview panel member decides about candidate’s selection. Once it’s done

then recruitment officer requests recruitment specialists to make a job offer . In job offer basic

salary allowances and everything related to job is included . When Hr Director sends a job offer

then they give candidate two weeks to make his decision.

Challenges:

Sometimes Job offer is not very clear so it makes candidate confused about choosing or not

choosing job.

Pre departure orientation –work visa- Arrival of candidates:

After the acceptance of job offer by the candidates , Recruitment officer send detailed

information about the documents IDB needed from the candidate and which documents he have

to attest from Saudi consulate.

After this recruitment officer starts making working visa for candidate he sends visa application

through email to government relation unit. Some time visa took 2-3 weeks for process and

sometimes it took 3-6 months.

After the work visa is sent to the candidate, he (or IDB) buys the ticket and the rec. officer

reserves the hotel in Jeddah for 5.

FINDINGS:

Participant profile:

A total 60 questionnaires are distributed and 52 responses were received, However 52 usable

questionnaires were used for this research.

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Recruitment and selection

Process rating :

Out of 52 participants 51 answered this question. The majority of respondent’s rate the

recruitment and selection process they faced during their selection is good(51-79%).only 3.92%

of participants rated recruitment and selection process poor(0-49%).while 27.45% of the

participant rate recruitment and selection process satisfactory (30-50%) .Less than 16 %

participants rate recruitment and selection process Excellent (80-100%) and Most of the

participants which is 52.94 %rated recruitment and selection process good (51-79%).

Figure 1: Recruitment and selection process Rating

Table 1: Recruitment and selection rating

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i. More appropriate method of Employee selection in IDB:

Out of 52 participants 50 answered this question. The majority of respondents rate interview as

the most appropriate method for selecting candidate. While only 2%of participants respond that

filling application form is appropriate. Almost 26% participant responds that Group interview is

the most appropriate . Only 6 % of the respondent believed that tests are the more appropriate

method and most of the respondent which is 66 % said that interview is the most appropriate

method of employee selection in IDB.

Figure 2:More appropriate recruitment and selection method

Table 2: More appropriate recruitment and selection method

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ii. Criteria for employee promotion:

Out of 52 participants 45 answered the question. Most of the participant responds that

ability should be the criteria for employee promotion. Almost 31.11% participant respond

that experience should be the criteria for employee promotion and 68.89% experience

should be the criteria for employee promotion.

Figure 3: employee promotion

Table 3: employee promotion criteria

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Internal recruitment method:

Out of 52 participants 45 answered the question. The majority of participant responds that

internal advertisement is the best method for internal recruitment in IDB. 42.86% respond that

promotion is the best method for internal recruitment. Almost 24.49% respond that transfer is the

best method for internal recruitment.10.20% responds that references are the best method for

internal recruitment. Most of the participant which is 67.35% believed that interview is the best

method for internal recruitment.

Figure 4: Internal recruitment method

Table 4:Internal recruitment

External recruitment Method:

Majority believe that news paper advertisement is the best method for external recruitment in

IDB.44.68% participant respond that social media is the best method for external recruitment.

While 25.53 % believed that campus visit is the best method for external recruitment and 76.60%

respond that news paper advertisement is the best for external recruitment in IDB.

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Figure 5:External recruitment

Problems faced during recruitment and selection:

Out of 52 participants, 49 respond to this question. 30.76% respond that they haven’t faced any

problem during recruitment and selection. 15.38% participants respond to that they had faced

Time delay problem like time between application and shortlist notification was too long, to the

level people think that their application is not shortlisted. HRMD need to communicate the

applicants more frequently and inform them the status of their application.13.46%participant

respond that they had faced Significant delay in receiving interview call and then waiting for the

final result and getting visa , iqama and visa for their families.9.61%participants respond that

they had faced Big time gaps in communication ,language, and also lack of clarity.1.92%

participant respond that he had faced Adjustment process because it was not easy as there was

no orientation to prepare me during my transition as he was recruited from the

USA.3.84%participants respond that they had faced considerable hardship in moving to Jeddah,

as the Bank did not arrange for my reception and accommodation.7.69 participants respond that

the recruitment and selection process was very long and not smooth.3.84%participants respond

who are working as a recruitment and selection specialist that they had faced problem in finding

right candidates.5.76% participant respond that no one gave them proper guidance about the job

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and Host country. 1.92% participants respond that the recruitment and selection process was

very smooth and fast .

Par-tici-

pants

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%Long recruitent and selection

Lack of guidance

Challenges in finding right candidate

accomodation problem

lack of orientation

communication barrier

visa and iqama issue

Time Delay

No particular problem

Figure 6: Recruitment and selection problems

Suggestions and Recommendations :

IDB recruitment and selection process still need some improvement. The few suggestions which

I would like to share are as follows:

IDB should make more transparent selection criterion and use of a standard

methodology.

o Transparency is very important in recruitment. The process can also be improved

if there is more competent staff in the recruitment division. There is the need to

inform applicants of their

o Application status from the very beginning of their application to the time when

they get selected or not.

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Recruitment and Selection process there should be well disciplined, better structured

interview questions and tests, along with relevant technical interview members from IDB

Group.

IDB should be straight with new staff, that what the bank expect from the new staff and

also especially bank must be clear about the career growth of new staff.

Conclusion:

To conclude my research, in order to make recruitment and selection more efficient and effective, it is

necessary to follow the suggestions as mentioned above by me and participants who are involved in this

research. Recruitment and Selection is the back bone of every organization and every organization should

try to make their recruitment and selection more competent. Human resource department should keep

motivating their employees and appraise employees to help them to improve the performance ;this will

always keep employees on their toes to give off their best.

"If each of us hires people who are smaller than we are, we shall become a company of dwarfs. But if

each of us hires people who are bigger than we are, we shall become a company of giants." (Ogilvie

and Mather, advertising agency)

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