A PROJECT ON TEMPING: THE FASTEST GROWING HR TREND IN INDIA Submitted To

Punjab Technical University(Jalandhar) IN PARTIAL FULFILLMENT REQUIREMENT FOR THE AWARD OF DEGREE OF MASTERS IN BUSINESS ADMINISTRATION (MBA) (2011-2013) Supervised By: Mrs.Ritu Sehgal (Assistant Professor ) Submitted By: Tanyapreetkaur M.B.A (4th sem)

TABLE OF CONTENTS

Certificate Preface Acknowledgement CHAPTER NO. 1 2 3 4 5 6 7 References Annexure Introduction Review of Literature Need, Scope and Objectives of the Study Research Methodology Data Analysis and Interpretation Findings of the Study Conclusion and Recommendations CHAPTER TITLE

i ii iii PAGE NO.

CERTIFICATE
This is to certify that the project report entitled Temping: the Fastest Growing HR Trend in India submitted by Tanyapreetkaur is a bonafide piece of work conducted under my direct supervision and guidance. No part of this work has been submitted for any other degree of any other university. The data sources have been duly acknowledged. It may be considered for evaluation in partial fulfilment of the requirement for the award of degree of Master of Business Administration.

Date:

Mrs. Ritu Sehgal Assistant Professor D.A.V.I.E.T Jalandhar

PREFACE MBA is a stepping-stone to the management carrier and to develop a good manager it is necessary that the theory must be supplemented with exposure to the real environment. Theoretical knowledge just provides the base and its not sufficient to produce a good manager thats why practical knowledge is needed. Human resource management refers to the management of the workforce of a business to ensure sufficient staff levels with the right skills, properly rewarded and motivated. It also means the process of acquiring, training, appraising, and compensating employees, and attending to their labour relations, health and safety, and fairness concerns. HRM provides the concepts and techniques needed to carry out the people/personnel aspects of management job. As Indian Companies get increasingly connected with global Economy, they are coming under immense pressure to push the cost down vigorously and improve their productivity and operational efficiency. Buffeted by the competitive pressure, companies are taking recourse to the temping phenomenon. A temp is a temporary worker who works with a client company, but is on the pay roll of a third party staffing company. Temping is a tri-party agreement, between the client company, the third party vendor and the employee (also known as associate or temp). The temp workers work in the facility of the client companies, but receive salary and benefits from the temp agencies. The temping basically operates on 2 revenue models. The temping agency mainly receive a percentage of salary accounting for 10-20% in addition to the remuneration paid to the employee or get a fixed fee per month for every employee placed. A well-accepted norm in global companies, many large Indian organizations are now hiring a part of their workforce from employee leasing firms. Temporary staffing firms recruit people for their clients by using various sources of recruiting available.

ACKNOWLEDGEMENT
Any research work is never an individual effort. It is contributory effort of many hearts and heads. I owe a profound sense of gratitude towards my institute, which provides the students, like me with the opportunity to undergo through seminars, presentations and report compilation so that the students can get a feeling of what actually happens in an industry, market and management. This not only breaks the monotony of the classroom teaching but also strengthens ones fundamentals that are taught in the class and widens ones perspective. I am so indebted to my family because it is due to them that I have been associated with such a renowned institute, which is engaged in the noble cause of rising dreams of our generation into reality. I would like to express my deep sense of gratitude to and to my mentor Mrs.Ritu Sehgal Assistant Professor in Management. Without their timely guidance, valuable support and encouragement this report would not have been possible. This project report wouldnt have been completed without her able guidance and the precious time she has given from her busy schedule.

DATE:

( TANYAPREETKAUR)

CHAPTER-1 INTRODUCTION

INTRODUCTION

1.1 Introduction to Human Resource Management

Human resource management refers to the management of the workforce of a business to ensure sufficient staff levels with the right skills, properly rewarded and motivated. It also means the process of acquiring, training, appraising, and compensating employees, and attending to their labour relations, health and safety, and fairness concerns. HRM provides the concepts and techniques needed to carry out the people/personnel aspects of management job including: Conducting job analyses (determining the nature of each employee's job) Planning labor needs and recruiting job candidates Selecting job candidates Orienting and training new employees Managing wages and salaries (compensating employees) Providing incentives and benefits Appraising performance Motivation Communication (interviewing, counseling, disciplining) Training and developing managers Building employee commitment

And attending to Equal opportunity and affirmative action Employee welfare Employee health and safety Handing grievances and industrial/labor relations

1.1.1 Objectives of Human Resource Management The primary objective of HRM is to insure the availability of a competent and willing workforce to an organisation. Beyond this, there are other objectives, too. Specifically HRM objectives are four fold- Societal

-Organisational -Functional and Personal Figure 1.1: Objectives of HRM

1.1.2 Recent Developments in the Field of Human Resource Management Human Resource Outsourcing

Human Resource Outsourcing (HRO) is one such emerging practice in outsourcing. Like business processes being outsourced, Human Resources outsourcing has started to boom. Generally Human Resource operations are outsourced to free an organizations HR personnel to concentrate on more important matters. The companies now concentrate more on strategies, which link various inputs to outcomes, which are far more critical to the business of the organization. By outsourcing, an organizations HR team can connect between recruitment sources and the performance of the recently hired employees. Trading investments and performance rankings can be connected. Employee exit data and their total reward programs

can also be compared and connected. These things give an organization a better and an effective basis for evaluating its programs.

360 Degree Feedback

In human resources, 360-degree feedback, also known as "multi-rater feedback," "multisource feedback," or "multisource assessment," is feedback that comes from all around an employee. "360" refers to the 360 degrees in a circle, with an individual figuratively in the center of the circle. Subordinates, peers, and supervisors provide feedback. It also includes a self-assessment and, in some cases, feedback from external sources such as customers and suppliers or other interested stakeholders. It may be contrasted with "upward feedback," where managers are given feedback by their direct reports, or a "traditional performance appraisal," where only their managers most often review the employees. Temping

A temp is a temporary worker who works with a client company, but is on the pay roll of a third party staffing company. Temping is a tri-party agreement, between the client company, the third party vendor and the employee (also known as associate or temp). The temp workers work in the facility of the client companies, but receive salary and benefits from the temp agencies. The temping basically operates on 2 revenue models. The temping agency mainly receive a percentage of salary accounting for 10-20% in addition to the remuneration paid to the employee or get a fixed fee per month for every employee placed. A well-accepted norm in global companies, many large Indian organizations are now hiring a part of their workforce from employee leasing firms. Temporary staffing firms recruit people for their clients by using various sources of recruiting available. These firms source the candidates and conduct initial screening by using different methods so that they select and place the right kind of people for the right kind of job.

1.2 Introduction to Temping

As Indian Companies get increasingly connected with global Economy, they are coming under immense pressure to push the cost down vigorously and improve their productivity and operational efficiency. Buffeted by the competitive pressure, companies are taking recourse to the temping phenomenon. Firstly, companies can hire and fire temps according to the ebb and the flow of their business. The companies can ramp up their head count in the wake of influx of more projects and peak season- requirements. It makes eminent economic sense for the companies to handhold the temping agencies to provide it with the requisite number of temps. For instance, a company hawking refrigerator or Air-conditioner may have to upsize the employee count to meet the spike in demand for the product in the summer season. When a company wants to implement ERP solution, it needs people with specific domain expertise in ERP. If such skills are not available in the company, hiring a temp with the requisite skill for a short duration will help matters. A product development company, keen on introducing a new product in the embedded space, may commission a pilot project. Since the outcome of the project is highly uncertain, the company may take the temping route to hire the additional employees needed. Secondly, companies are increasingly training their attention on their core strength and are out sourcing their non-core functions to the out sourced staff. This gives the company enough leeway to stick to their core competency, without bothering about the "nuts and bolts" of managing the business. Thirdly, as customers are getting more demanding and restive, Companies are under Pressure to offer low-cost, high-Quality products, Manufacturing and R&D companies are turning to temp staff agencies to provide temporary project staff teams. This project team has the mandate to innovate and develop the product that are in sync with the customer's need and bring out them successfully in the market. Fourthly, Temping allow the companies to hire people who are already skilled and experienced. This relieves the temping company of training burden and lessens the attendant cost. So Bharati

telecom, which has hired tens of thousands of temp workers, can concentrate on building up its new mobility solutions rather than getting exercised about hiring sales personnel. Fifthly Temping allows more elbow room for the companies to scale up their employee count and still keep its cost structure on a light leash. According to a recent study, cost per hire of permanent employees works out to Rs8000-Rs12000, which is quite higher than having the temp workers. So temping gives the company a decisive cost advantage Companies treat temping as a testing tool to source permanent employees. Many companies maintain a good mix of temp and perm and convert some of the good temporary employees into permanent one. Table 1.1: Pay Differences Designation HR executive Accountant Data entry operator Sales co-ordinator Temporary (Rs.) 5900-6900 6500 4700 5000 Permanent (Rs.) 5500-6500 6000 4000 4000

(Source: Padamapriya, (2005), It pays more to be a temp staffer, The Economic Times Online, January 4, 2005)

In U.S.A, the conversion rate is 4 to 5% where as in India, the conversion rate is much higher. Holding a permanent job is something germane to Indian psyche and therefore employees treat temping as a path to permanency. At the end of it all, companies take the tempting route to infuse a greater degree of discipline and prudence in managing their finance. 1.2.1 Need for temping Temping started off with MNC's hiring contract workers. It comes with a packet of benefits for the organizations as well as for the employees. Organizations enjoy the benefit of workforce flexibility and ease of recruitments and quick replacements. Temping also saves training costs as leasing companies direct skilled and experienced workers to the companies. Moreover, non productive employees can be chucked out without many complications. By outsourcing non core functions, the company deeply focuses on its core functions only. The companies also get more work done from temporary workers and also escape for paying them perks and incentives. From employee's point of view, temping helps an employee to acquire different skills and

upgrade basic skills by working in different setups. Employees acquire multiple skills to remain employable is competitive job markets. Temping also offers tempting career opportunities to housewives, retired personnel and people with defence backgrounds, freelancers and freshers. These are some flip sides of temping too. Job insecurity always acts as a demotivator for others candidates. The temps hardly get any perks and incentives like the permanent employees. The chances of becoming permanent with the client company are also less so possibility of achieving a stable career lacks. The underperformers are always at risk as they can be sacked anytime and that too without a notice. Moreover, too much hopping act as red flags in one's resume. 1.2.2 Temp A temp is a temporary worker with an organisation who is on a third-party (staffing company) payroll. A well-accepted norm in global companies, many large Indian organisations are now hiring a part of their workforce from employee leasing firms. The reason is not too difficult to guessas organisations focus on their core business strengths in a highly competitive environment, the non-core functions are outsourced. The manpower for the latter is provided by the employee leasing company. The contracts can range from three to six months, and there are no hassles normally associated with recruiting and retaining people. While so far, the leasing workforce was active in order to meet short-term assignments of companies to augment their workforce during peak periods or replace leave vacancies or sudden terminations, the current trend has seen corporates going for leasing for specialised requirements, Though the temping concept took some time to get off the block in India, it is gaining acceptance with retired professionals, housewives, freshers, students and freelancers. People looking for short-term options, experienced people looking for specific Experience, top-notch professionals looking for interim position are all getting hitched on to the temping bandwagon. But the biggest beneficiary of this temping phenomenon, have been the ''fresh-as-mint'' graduates, waiting to burst in to the job market. Many fresher try the temp job to check out the job-personality fit and chalk out their career path. Another notable trend is that the people in their late 40's are also plunging head long in to the temping market. These are the professionals who are past their

professional prime or those who cannot fit snugly in to the corporate groove any more. 1.2.3 The Temping Process Here's how the process works. A person interested in temping hands in their resume to a search firm, which specializes in offering temporary jobs. The executives will format it to highlight your capabilities the recruitment process works in two ways. Sometimes companies have excessive numbers on their rolls and decide to cut headcount Once a position has been matched to an individual's skill sets, he or she enters a tripartite agreement with the recruitment firm and corporate. It is at this stage that the salary structures and break-ups are discussed at the end of the contract; you are either absorbed in the same company or placed in another project. Figure 1.2: Temping Process

1.2.4 Areas of Temping Though temping in India is set to witness an explosive growth, the rate of its adoption in the initial years was tad bit languorous. Much of the temping happened in new age companies like

Information Technology and Information Technology enabled services space. IT companies primarily operate on man-month model, and it needs bench strength to provide replacements within a day or two. Temping agencies are quite willing to meet this requirement of IT companies BPO companies are also latching on to the temping. Though MNC's have used temp workers for Indian back-end operations temps were never hired by the BPO Companies. The third party contractors stipulate a condition that the temp workers should not be used in Indian BPO companies in view of ensuring data security. BPO companies, grappling with high attrition level has now taken to temping in a big way. Many BPO companies have managed to convince their third party contractors to allow for using the services of temp workers. According to recent estimate, Temp workers account for 2-3% in the core BPO space and may grow to 5% in the current year. 1.2.5 Temping opportunities across various industries and job functions Temping jobs are increasing in human capital- intensive business like banking, financial services, Insurances, FMCG, Retail and fast moving consumer durables. Much of temping in India is happening at the low end of the skill spectrum such as data operations, accounts, sales, back-end operations, administration and marketing. Temping trend is slowly catching on in the middle level also. 1.2.6 Advantages of Temping Temping offers advantages to both the employees as well as the company From the employees' standpoint:

Temp employees can gain hands- on experience in their chosen industry or in different field. Temp employees can get an inside track about their chosen field instead of hearing or reading about it.

Temps can catch a glimpse of different industry and functions and see for themselves how the industries work and functions performed.

Temp employees get an opportunity to learn new skills on the job.

Temps also receive training in new skill areas. Since majority of the temping jobs are at the low-end, the temps get an opportunity to learn the job functions from ground up. Temps will have a greater grasp over the rudiments of their job, which will be quite critical as they build their career and inch their way in to a permanent position.

Temping offers an opportunity to the employees to explore different areas of a job function without making any long-term commitment.

Temps can earn a decent salary. According to a recent estimate, average salary for the employees in the low ranges is around Rs. 7500 per month. For middle level, it is Rs. 35,000 and at the senior level the salary can ratchet up to as high as 4.5 lacs. In the case of timebound projects, temp command more salary than the permanent employees. According to another study as quoted by the economic times, the salary increments for temps are moving southwards. Salary increment for temps in the manufacturing sector has gone up from 14% in 2005 to 17% in 2006 .As against a hike of 20% in salary. In the IT and ITES sector for permanent employees, the hike for temps hovered at 17% in the corresponding period. Besides temps remuneration is linked to the number of hour's temp work. If they work for more hours, they can earn quite an amount.

When temp work for top-notch, blue chip companies, they have the advantage of working for a better brand, which gets reflected on their CV's.

From the company standpoint Temping arrangement helps company to acquire the decisive cost edge. Temping allows for flexibility of employment. According to the study conducted by a consulting firm Delloitte and Touche, 6% of the employers use temps to reduce wage costs, 63% of employer hire them to match the seasonal spike in demand, 59% to cover for holiday/sick leave, 39% to cover for maternity leave, 21% hire temporary staff for specialized skills and 20% hire temp workers on a trial basis so that they can be absorbed in to permanent positions.

Ease of recruitment and replacement: companies hire temps in the wake of surge in demand for the products and service. Companies can also cut back the employees when it goes through a lean patch.

Company need not bother about issues such as motivation, career planning, and performance evaluation to temp employers. They are the headache best left to the staffing agencies.

1.2.7

Disadvantages of Temping

From the employee's standpoint

What

Looming threat of job insecurity No benefits and holiday Temps may witness of lot of gaps in their employment Temps will have to do the routine, mundane and monotonous activities. Temps may expect the marching orders without any notice at all. Some companies tend to treat temps as a second class citizen.

was meant to be job to gain experience can become a full-time career if temps do not

strive hard to become a permanent employee. Employees tend to become blas and lazy about job search. From the company stand point Companies will find it tough to maintain their culture in the event of large proportion of temps working with the permanent employees. Temps do not feel committed to the culture of the client company. Temps may not inject same level of motivations, sincerity and energy as permanent employees do.

 Company will have to depend on the staffing agency to provide the temps it needs. Staffing agency may provide the client company with temps who may not fit the needs of the client. Consequently, the client company are saddled with more work and no good worker. 1.2.8 Companies Providing Temps in India 1. ADECCO: Adecco takes inorganic route to enter blue collar temping space in India. 2. TEAMLEASE: TeamLease Services is Indias leading staffing company and provides a range of Temporary and Permanent manpower solutions to over 1000 clients. 3. MA FOI: Ma Foi, which has been a part of Vedior since 2004, is an international HR service provider servicing world class companies across the globe. With the merger of Randstad and Vedior, Ma Foi has become a part of the 2nd largest HR Services Company in the world. By joining forces, Randstad & Vedior have a larger candidate base to select from, a more balanced geographical spread throughout 53 countries and a wider service offering. Types of services offered by these companies Employee leasing companies offer a plethora of staffing solutions to their clients. It includes: Temporary staffing: Enabling the client to respond to short-term temporary and/or flexible manpower needs with specific skill set requirements or for supplementing the workforce. These services could be of a part-time, full-time or job sharing nature. Temporary-to-permanent services: The client can hire associates as temporary employees for a trial period of employment; after a satisfactory trial period, a company has the opportunity to add a temporary worker to its permanent staff Long-term contract: Corporate can opt to enter into assignments for long-term and indefinite periods of time with these companies. Managed services: These companies provide the onsite management of the contingent workforce at the client facility. It retains the responsibility for the supervision of the leased employees as well as the accountability for the results of the facility or function that have been leased.

1.2.8

Companies Using Temping

Practice of temping is gaining popularity day by day. There are many companies that are using Temping. Few of them are as: IBM Microsoft Oracle Cisco Prudential Hewlett Packard ATT Wireless TransUnion 1.2.10 The future of temping Temporary staffing is expected to grow exponentially in the country, in the near future. It is the quality and ease of availability of manpower that would define the role employee leasing organisations stand to play, not only in non-core functions but also certain core business areas of organisations, points out Reddy, adding that it is imperative for outsourcing partners to move from only employee leasing to complete end-to-end activity management. It is also necessary for outsourcing partners to be equipped with vertical and functional specialisations, with key differentiators customised to the Indian employment scenario. 1.2.11 Conclusion It is justified from the above discussion that temping the fastest growing HR trend in India. In a recruitment market where the concept of full-time employment is increasingly becoming a thing of the past, temporary staffing is emerging as the viable option. No doubt there is a negative aspect of temping. The temporary employees get exploited in terms of pay scale and status; they get frustrated because of job insecurity.

CHAPTER-2 REVIEW OF LITERATURE

REVIEW OF LITERATURE
A literature review is a body of text that aims to review the critical points of current knowledge on a particular topic. Literature reviews are secondary sources and as such, do not report any new or original experimental work. Reviews covering some of the areas related to the concept of temping as a recent trend. Numbers of studies have been conducted on it. Some of them have been discussed below. Otoo (1999) studied the levels of temporary employment and the natural rate of unemployment. A higher share of temporary employment in a local labor market tends to lower the natural rate of unemployment--most likely through the matching function. The results suggest that the increase in the share of temporary employment may have reduced the natural rate as much as 1/4 percentage point. Koster, S. and Emmerik (2002) studied the effects of the conditions on the behavior of PhD. students, a special group of temporary workers at Dutch universities. The temporal embeddedness hypothesis asserts curvilinear relations between temporary contracts and OCB. The analyses show that Ph.D. students demonstrate less OCB in the first and last years of their projects than in the intervening years. This result confirms the notion that solidarity needs time to grow. As a result, first-year Ph.D. students are less willing to exhibit OCB.

Ward (2004) studied the existing conceptual work on the expansionary strategies of producer services and argues that while illuminating it has paid insufficient attention to the implications of the internationalization/diversification of temporary staffing agencies, the effects of which are not limited to the temporary staffing industry but also bleed into a host of other manufacturing and service industries. Second, and in light of this, it profiles the internationalization and diversification strategies of leading temporary staffing agencies. It argues that while, on the one hand, the temporary staffing industry exhibits the characteristics of a classic producer service sector, on the other hand, its productlabourdistinguishes it in part from the likes of the accounting, advertising, and legal sectors. Its wider political-economic implications, in this case, are the ways in which agency strategies affect labour markets at a range of geographical scales, and how this is best understood. Third, and finally, the paper argues that the growth of the temporary staffing is the result of, and a contributing factor to, the on-going restructuring of national and urban labour markets. In going about their business, temporary staffing agencies contribute, so the paper argues, to the neo-liberalization of national and urban economies, and in doing so create conditions favorable to their continued growth.

Autor and Houseman (2005) conducted a study to know whether temp jobs help the poor transition into stable employment and out of poverty. It resulted that raising direct-hire placements are likely to be a much more effective means for job assistance programs to reduce welfare dependency over both the short and long term. Even marginal direct-hire placements, however, do not appear to improve participants chances of escaping poverty over longer time horizons. Dorantes, M. and Bullon (2006) studied the impact of agency work on temporary workers posterior likelihood of being hired on a permanent basis. The imposition of mandatory labor market intermediation in the hiring for temporary work positions would not necessarily favor workers transition to more stable jobs. The possibility that temp-to-perm transitions could be facilitated by the usage of Temporary Hiring Agencies (THAs) if these agencies could help as labor market intermediaries in the hiring of workers for permanent positions.

Camerman and Cropanzano (2007) tested a multidimensional model of organizational justice in the context of contingent employment. Based on previous conceptual and empirical research, the authors generated the following predictions. First, they predicted that the data would be consistent with a four-factor model of organizational justice, including distributive, procedural, interpersonal, and informational justice. Second, distributive justice was expected to predict outcome satisfaction. Third, procedural justice was expected to predict commitment to the temporary organization, though the authors anticipated that this relationship would be mediated by perceived organizational support. Finally, informational and interpersonal justice were thought to predict commitment to one's staffing agent, but this effect was expected to be mediated by trust. These predictions were tested on a sample of 162 employees of a temporary staffing agency. Findings generally supported the predictions, though there were also some unexpected results.

Gobel and Verhofstadt (2008) conducted a study to investigate whether temporary employment acts as a stepping-stone for unemployed school-leavers. It was investigated that the steppingstone question for unemployed school leavers as unemployment and temporary employment are much higher among these younger people. Additional descriptive statistics indicate that the first permanent employment is as persistent after temporary employment than after a direct transition from unemployment. Jahn (2008) studied the poor working conditions of temps, specifically their remuneration. The paper shows that the wage gap for German temp workers is rather large and varies between occupation and region. But temps already suffer from a marked wage decline before entering the temporary help sector.

McGrath and Keister (2008) studied that temporary employment in the United States has increased considerably in recent decades, but the financial well-being of temporary employees is not well understood. This article examines the effect of both recent and past temporary employment on asset accumulation and portfolio behavior. The authors find that temporary work reduces workers' assets and that this negative effect remains even after a worker has left the temporary position. The authors also show that suppressed or delayed homeownership

substantially contributes to the reduction of assets among temporary workers. These results had provided insight into the role that work status played in creating and maintaining wealth inequality.

Shire and Jaarsveld (2008) studied how the temporary staffing industry secures social security and a degree of employment stability in three non-liberal market economies (Germany, Japan and Netherlands) with a well-developed temp work sector and several decades of industry regulation. The employment status of temporary staff and restrictions on the staffing industry to institutionalize employment protections were strongest in Germany. The role of unions in these Germany and Japan however, was more oriented toward preventing the substitution of regular with temporary staff, and less concerned with the actual employment conditions of contingent workers. Only in the Netherlands did unions take up the cause of improving conditions for temporary workers in the 1980s. As the first decade of twenty-first century comes to a close, divergence rather than convergence characterizes the comparison of employment status, working conditions and social protections for temporary staff within the most protected employment economies of coordinated capitalism.

CHAPTER-3
NEED, SCOPE AND

OBJECTIVES OF THE STUDY

NEED, SCOPE AND OBJECTIVES OF THE STUDY

3.1 NEED OF THE STUDY Issues like stable employment, poverty issues and natural rate of unemployment had been studied earlier by various researchers. So the need was to study temping as an emerging Human Resource Practice and various advantages, disadvantages to companies and employees and issues related to it. 3.2 SCOPE OF THE STUDY The scope of the study was limited to the manufacturing industry of Jalandhar

OBJECTIVES OF THE STUDY

Every study whenever undertaken has certain objectives, which are explored so as to have an idea that how is its future prospective. To achieve following objectives research was conducted: To study the awareness levels related to the concept of temping. To analyse the reasons for using temping by the companies. To analyse the reasons for employees preferring temporary work. To identify the various advantages connected with temping.

To study the impact of temping in the organization. To know about various companies adopting temping in India.

CHAPTER-4

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY
Research Methodology is a way to systematically solve the research problem. The Research Methodology includes the various methods and techniques for conducting a Research. Marketing Research is the systematic design, collection, analysis and reporting of data and finding relevant solution to a specific marketing situation or problem. D. Slesinger and M. Stephenson in the encyclopaedia of Social Sciences define Research as the manipulation of things, concepts or symbols for the purpose of generalizing to extend, correct or verify knowledge, whether that knowledge aids in construction of theory or in the practice of an art. Research is, thus, an original contribution to the existing stock of knowledge making for its advancement. The purpose of Research is to discover answers to the Questions through the application of scientific procedures. Our project has a specified framework for collecting data in

an effective manner. Such framework is called Research Design. The research process followed by us consists of following steps:

RESEARCH DESIGN
Research Design is a blueprint or framework for conducting the marketing research project. It specifies the details of the procedures necessary for obtaining the information needed to structure and solve marketing research problem. The research design used in the study was descriptive and conclusion oriented. Descriptive Research: The research was a descriptive research as it was concerned with specific predictions, with narration of facts and characteristics concerning individuals specially the temporary employees of companies. In other words descriptive research is a research where in researcher has no control over variable. It just presents the picture which has already studied.

SAMPLE DESIGN
A sampling design is a definite plan for obtaining a sample from a given population. It refers to the technique or the procedure the researcher adopts in selecting items for the sample. The following factors need to be decided within the scope of sample design: Universe of the Study: The universe of the study was all temporary employees in Jalandhar. Sample Size: Sample size is the number of elements to be included in a study. Keeping in mind all the constraints 100 respondents was selected.

Sample Unit: Sampling unit is the basic unit containing the elements of the universe to be sampled. The sampling unit of our study was the temporary employees of manufacturing industry in Jalandhar.

Sampling Techniques: The sampling technique were convenience sampling technique and simple random sampling technique.

DATA COLLECTION AND ANALYSIS

Methods of Data Collection- Research work were exploratory in nature. Information was collected from both Primary and Secondary data. Secondary Sources: Secondary data are those which have already been collected by someone else which already had been passed through the statistical process. In this research project secondary source used was books, online journals and websites. Primary sources: Primary data are those, which are collected afresh and for the first time, and thus happen to be original in character. Primary data was collected by conducting surveys through questionnaire, which will include likert scale questions and both open- ended and closeended questions.

TOOLS AND TESTS

1. Factor analysis: - Factor analysis is a statistical method used to describe variability among observed, correlated variables in terms of a potentially lower number of unobserved variables called factors .In other words, it is possible, for example ,that variations in three or four observed variables mainly reflect the variations in fewer unobserved variables.

2. Anova :- Anova provides a statistical test of whether or not the means of several groups are all equal, and therefore generalizes t-test to more than two groups. Anova are useful in comparing two, three or more means.

REFERENCES

REFERENCES
Anonymous (2009), Temping and its effects. Indian Journal of Training and Development, 39 (3), 1-10 Houseman, N. (2005),Temporary Agency Employment as a Way out of Poverty?. Pjohn Institute Working Paper, 5

Camerman, J. and Cropanzano, R. (2007), The Benefits of Justice for Temporary Workers. Group Organization Management, 32(2), 176-207

Christian, E. (2001), Temporary Employment a Stepping Stone for Unemployed School Leavers?. ZEW Discussion Papers series. Jahn, S. and Brinson, M. (2008), Interactive compact device modeling using Qucs equationdefined devices. International Journal of Numerical Modeling: Electronic Networks, Devices and Fields, 21(5), 335-349.

Majumdar, S.(2006),Temporary Staffing, Lasting Solution. Business Standard. McGrath, M. and Keister, A. (2008),The Effect of Temporary Employment on Asset Accumulation Processes. Works and Occupation, 35(2), 196-222 Mealli, F.and Nannicini, T. (2008),From temporary help jobs to permanent employment: what can we learn from matching estimators and their sensitivity?. Journal of Applied Econometrics, 23(3), 305-327. Otoo (1999), Temporary Employment and the Natural Rate of Unemployment. FEDS Working Papers. Reddy, S.(2006), Temping in India: HRM Review. The ICFAI University Press. 7, 1 2. Sanders, K. and Flache, A. (2006), Employees Organizational Solidarity within Modern Organizations: A Framing Perspective on the Effects of Social Embeddedness. Solidarity and Prosocial Behavior, 4, 141-156 Shire, K. (2008), The Temporary Staffing Industry in Protected Employment Economies: Germany, Japan and the Netherlands. Industry Studies Working Papers, 24.

Ward, K. (2004), Going global? Internationalization and diversification in the temporary staffing industry. Journal of Economic Geography, 4(3), 251-273.

ANNEXURE

ANNEXURE
Personal Information
Name ____________________________________________________ Employer name____________________________________________

Age

20-29 years 40-49 years

30-39 years 50 or more years

Gender

Male

Female

1. Are you aware of the concept Temping? Yes No

2. Is your job temporary or permanent?

Temporary Permanent

3. Are you satisfied from your job or not? Yes No

4. What is the duration of your job? 6 months 8 months 12 months or more

5. What according to you are the components of Temping? Temporary staffing. Temporary-to-permanent service. Third party managed services Time bound contract. Extended long term contracts. All of the above

6. In your view, which industry is largely following Temping in India? Textile sector IT & BPO sector All of the above Manufacturing sector Media and Entertainment sector Cant say

7. Kindly rank the various factors responsible for temping from companys point of view from 1 to 5 (where 1 is considered as the most important and 5 is the least important). To focus on core business area To cover for maternity leave or other absences During particularly busy periods of the year Assistance with special projects To cut recruitment cost

8. Why have you chosen a temporary job? Couldnt find permanent job For flexible schedules To gain experience To be able to work for different employer

Any other reason _____________________________________

9. What are the main advantages of pursuing Temping as a part of HR practices? Discipline on job Provide an innovative environment Long term cost advantage areas Ease of recruitment and replacement No need for career planning to temp employees Provides opportunity to focus on core

10. Please mark the following statements, which are designed to fulfill the objective to study the impact of temping. (1 = Strongly Agree, 2 = Agree, 3 = Neutral, 4 = Disagree, 5 = Strongly Disagree) Statements
Strongly Agree Agree Neutral Disagree Strongly Disagree

Employees like short duration/temporary jobs. Temping requires specialized job skills. Temping maintains organizational culture. Temping is used as cost reduction mechanism. Temping provides job security, as it is third party staffing. Exploitation of temps is seen in industry. Temping is experimentation with organization, as temps changes from time to time. Temping encourages innovation and creativity in employees. Difference in the pay scale of temporary and permanent employees is justified. Temporary employees are generally required at the time of work overload as an extra help. Temping gives an opportunity to learn new skills.

Temping gives an opportunity to explore different areas. Temps can earn a decent salary. Temping allows more flexibility in job. No benefits and holidays for temps. Sometimes temps have to do monotous work. Temps get the advantage of working for Better brand. Temping reduces job stress and pressure. Temping saves training cost. .

11. In your view, what are the Negative Impacts of Temping?

Job insecurity Organizational culture is distorted frustrated Exploitation of temps Being temporary in nature, employees get

12. What do you think is the future of temping? ______________________________________________________________________________________________ ________________________________________________________________