what is the objective is not clear; is it just welfare or identification of potential talent for consideration later ?

since it is for employees children , it need to be trasparent and administered purely on merit.

the marks of students based on 1st semester or 1st year of the studies can be a basis, along with age limit, non receipt of scholarship from othersources etc, which courses and duration of scholarship , payment administration, academic progress tracking, attendance monitoring all are imporatnt factors.

selection committe, involvement of people with repute , all adds credibility.

progress of meritirous students can be seprately awarded and publicised through in house journal which will imoprove employee relations as well.

some progressive companies in oil&gas sector have such schemes in vogue for years, which you can keep as benchmark.