A Project Report On

Recruitment and Selection process

AT

SUBMITTED TO UNIVERSITY OF PUNE BY

KRISHNA KINKER Under the guidance of Prof. SHUBHANGEE RAMASWAMY MASTERS IN PERSONNEL MAMANGEMENT (2008-2010)

Sinhgad Institute of Management, Pune-411041

DECLARATION

I, the undersigned, hereby declare that the Project Report entitle STUDY OF RECRUITMENT AND SELECTION FOR BAJAJ INSURANCE COMPANY written and submitted by me to the university of Pune, in partial fulfilment of the requirements for the award of degree of Master in Personnel Management under the guidance of PROF.SHUBHANGEE RAMASWAMY is my original work and the conclusion drawn therein are based on the material collected by myself.

Date KRISHNA KINKER Place

ACKNOWLEDGEMENT

I would like to express my gratitude to all those who gave me the possibility to complete this Project. I would like to thank college authorities. I want to thank the Head of training department Mrs. Tridip Bhattacharya for giving me permission to commence this thesis in the first instance, to do the necessary research work and to use departmental data. I thank my institute Director Dr. Daniel Penkar and express my wholehearted gratitude for being extremely helpful and guiding me, and directly or indirectly involved in the successful completion of this project. I am deeply indebted to my Project Guide Prof.Shubhangee Ramaswamy Whose help and stimulating suggestions and encouragement helped me in all the times of research for and writing of this thesis.

TABLE OF CONTENTS Chapter No. Chapter name Page No

Executive Summary 1. 2. 3. 4. 5. 6. 7. 8. Introduction Company Profile Objective of study Review of Literature Research Methodology Data Analysis And Interpretation Observation And Findings Suggestion Recommendation And Conclusion

5-9 10-11 12-47 48-49 50-56 57-61 62-75 76-77 78-80

Bibliography

81-82

Annexure

83-86

EXECUTIVE SUMMARY INTRODUCTION In this project I have studied Recruitment and Selection process of Bajaj Allianz Life Insurance Company Limited and attempted to provide some ways so as to make recruitment more effective and to reduce the cost of hiring an employee. I am privileged to be one of the students who got an opportunity to do my training with Bajaj Allianz Life Insurance Company Limited . My involvement in the project has been very challenging and has provided me a platform to leverage my potential in the most constructive way. Bajaj Allianz Life Insurance is one of India's leading financial institutions offering complete financial solutions that encompass every sphere of life. In a short span of time, Bajaj Allianz has set an example by having a steady and confident journey to growth and success. During the training period I have studied deeply the process of hiring in Bajaj Allianz Life Insurance and did a SWOT analysis of Bajaj Allianz Life Insurance to find out the existing shortcomings and potential threats and thereby recommended suggestions. This project however is an attempt to share as best as possible my experience in corporate world with all my colleagues and my faculty.
5

PURPOSE The purpose of this study was to get the comprehensive knowledge and insight in to various aspects of recruitments process which is one of the necessary tools to evaluate people working in an organization.

COMPANY PROFILE
BAJAJ Allianz Life Insurance Company is a joint venture between two leading conglomerates, Bajaj Auto Limited, one of largest manufactures of motorcycles and scooters in the world, and Allianz AG of Germany one of the largest insurance companies. Bajaj Allianz Life Insurance Co. Ltd. was incorporated on 12th March 2001. The company received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration (R3) No 116 on 3rd August 2001 to conduct Life Insurance business in India. Bajaj Allianz Shareholder Capital Base stands at Rs. 500 crore with Bajaj Auto Limited and Allianz AG of Germany holding 74% and 26% stake respectively. It is the largest private player in the Insurance Industry in India with a market share of around 34% amongst the private companies and second to LIC. The total market share of Bajaj Allianz as of 31st March 2006 is at 12%.

During the financial year 2005-2006, Bajaj Allianz has sold over 13 lakh policies and collected about Rs. 4433 crore as premium income. Whopping growth of 216% for the FY 2005-06, Assets under management of Rs. 3324 Crore. It has paid up Rs 925 crores with IRDA as a caution deposit. Bajaj Allianz has insured lives for sum assure of over Rs 8500 crore.

. RESEARCH PLAN Formulating the objective of study. Process of data collection Usage of appropriate sampling plan. Analysis of data and interpretation. Reporting and findings. POPULATION - 110 SAMPE SIZE - 50 employees of various departments SAMPLING METHOD Random Sampling Method TOOLS FOR DATA ANALYSIS - Pie chart.

MAJOR FINDINGS: It has been great pleasure and a practical experience at the organization which helped to gain exposure and learning about the functioning. 1. The data banks are not properly maintained. 2. The dead resumes are never being destroyed. 3. Proper induction is not given to all the employees. It reserves to only a few levels. 4. Salary comparison is not justifies. Old employees are demoralized by getting less salary then new employee.

SUGGESTIONS 1. Other methods of selection like Psychometric and written tests should be introduced in the selection tests because these tests are vital in choosing the best candidate.

2. Cost of recruitment can be reduced by the help of e-recruiting and by employees referral as this practice of recruitment is considered the least in the company.

3. As company considers mostly experienced people for the job, a look on fresher should also be given because they can be recruited at a less salary offered to the

experienced and they can also give good results by giving proper training and guidance by the seniors in the company.

4. On campus recruitment should also be considered for recruitment of personnel from various colleges and business school.

CONCLUSION The study of recruitment and selection policies of BajajAllianzInsurance Company Shows a small but systematic procedure

Overall employees are satisfied with this recruitment process as they dont have to go through different test and this ease their tensions.

Employees are treated well and they are satisfied

All the employees gets the recreational facilities

CHAPTER 1

INTRODUCTION

10

PROJECT TITLE My project is STUDY OF RECRUITMENT AND SELECTION . This project was conducted at Jabalpur at Bajaj Allianz Insurance Company.

Scope of the Study: The scope of my study was limited to the recruitment process of executive level of employees for the Bajaj Allianz Insurance Company, location Jabalpur Limitation of the project

The limitations that I faced in the organization are:1. SHORT TIME SPAN Thirdly, the stipulated time for the project is insufficient to undergo an exhaustive study about the topic assigned and moreover the scope of the topic (Recruitment and Selection) is wide enough, so it is difficult to cover the entire topic within the stipulated time, but still whatever I could do towards this effect, I have done that.

11

CHAPTER 2

COMPANY PROFILE

12

INTRODUCTION OF BAJAJ ALLIANZ INSURANCE COMPANY.

COMPANY HISTORY

BAJAJ Allianz Life Insurance Company is a joint venture between two leading conglomerates, Bajaj Auto Limited, one of largest manufactures of motorcycles and scooters in the world, and Allianz AG of Germany one of the largest insurance companies. Bajaj Allianz Life Insurance Co. Ltd. was incorporated on 12th March 2001. The company received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration (R3) No 116 on 3rd August 2001 to conduct Life Insurance business in India. Bajaj Allianz Shareholder Capital Base stands at Rs. 500 crore with Bajaj Auto Limited and Allianz AG of Germany holding 74% and 26% stake respectively. It is the largest private player in the Insurance Industry in India with a market share of around 34% amongst the private

13

companies and second to LIC. The total market share of Bajaj Allianz as of 31st March 2006 is at 12%.

During the financial year 2005-2006, Bajaj Allianz has sold over 13 lakh policies and collected about Rs. 4433 crore as premium income. Whopping growth of 216% for the FY 2005-06, Assets under management of Rs. 3324 Crore. It has paid up Rs 925 crores with IRDA as a caution deposit. Bajaj Allianz has insured lives for sum assure of over Rs 8500 crore.

BAJAJ AUTO LTD.

Bajaj Auto Ltd, the flagship company of the Rs. 8000 crore Bajaj group is the largest manufacturer of two-wheelers and three-wheelers in India and one of the largest in the world.

14

A household name in India, Bajaj Auto has a strong brand image & brand loyalty synonymous with quality & customer focus. With over 15,000 employees, the company is a Rs. 4000 crore auto giant, is the largest 2/3wheeler manufacturer in India and the 4th largest in the world. AAA rated by Crisil, Bajaj Auto has been in operation for over 55 years. It has joined hands with Allianz to provide the Indian consumers with a distinct option in terms of life insurance products.

As a promoter of Bajaj Allianz Life Insurance Co. Ltd., Bajaj Auto has the following to offer Financial strength and stability to support the Insurance Business. A strong brand-equity. A good market reputation as a world class organization. An extensive distribution network. Adequate experience of running a large organization.

A 10 million strong base of retail customers using Bajaj products.

Experience in the financial services industry through Bajaj Auto Finance Ltd
15

ALLIANZ AG Founded in 1890 in Berlin, Allianz is now present in over 70 countries with almost 174,000 employees. At the top of the international group is the holding company, Allianz AG, with its head office in Munich. Allianz AG is in the business of General (Property & Casualty) Insurance; Life & Health Insurance and Asset Management and has been in operation for over 110 years. Allianz is one of the largest global composite insurers with operations in over 70 countries. Further, the Group provides Risk Management and Loss Prevention Services. Allianz has insured most of the world's largest infrastructure projects (including Hongkong Airport and Channel Tunnel between UK and France), further Allianz insures the majority of the fortune 500 companies, besides being a large industrial insurer, Allianz has a substantial portfolio in the commercial and personal lines sector, using a wide variety of innovative distribution channels.
16

ALLIANZ AG- A GLOBAL FINANCIAL POWERHOUSE

Worldwide 2nd by Gross Written Premiums - Rs.4,46,654 cr.

3rd largest Assets Under Management (AUM) & largest amongst Insurance cos. - AUM of Rs.51,96,959 cr.

12th largest corporation in the world

49.8 % of global business from Life Insurance

Established in 1890, 110 yrs of Insurance expertise

17

PRODUCT PROFILE

18

CHILD CARE

Taking care of a child is perhaps the most important job a parent can have. It is but natural that you would like to give your child your best, and therefore, this is the time when careful financial planning can help you fulfill the aspirations that you have for your children. The Bajaj Allianz Child Care Solutions help you to enjoy the joys of parenthood responsibly, with the reassurance of a secure future for your child.

CHILD CARE PLAN OFFERS

Child Care plan is a children money back plan with profit. Bajaj Allianz Child Care offers a wide array of solutions that allows you to plan for your childs future by providing you with as many as 4 distinct and unique options. 1. Child Care 21 2. Child Care 24 3. Child Care 21 Plus 4. Child Care 24 Plus
19

START OF LIFE BENEFIT This is a unique feature of Bajaj Allianz Child Care 21 Plus & 24 Plus. These packages offer you the choice of providing a unique Start of Life Benefit for your child. For a nominal amount, an additional Sum Assured subject to a maximum limit of Rs.10 Lacks will become payable to enable the child start hi/her professional life smoothly, in case of an unfortunate death or Accidental Permanent Total Disability of the Policy holder during the term of the policy. This benefit will not be available in the event of accidental permanent total disability after age 65 of the policy holder.

IN-BUILT BENEFITS

A) PREMIUM WAIVER BENEFIT: In case of death or Accidental Total Permanent Disability of the policyholder during the premium payment term, all future premium payments are waived. This benefit will not be available in the event of accidental permanent total disability after age 65 of the policy holder. B) FAMILY INCOME BENEFIT: In case of death or accidental total permanent disability of the policy holder during the term of the policy, a monthly income benefit of 1% of the sum assured (12% per annum) becomes payable till the end of the policy
20

term (subject to a maximum of Rs. 1,20,000 per annum). This benefit will not be available in the event of accidental permanent total disability after age 65 of the policy holder.

C) OPTION TO PURCHASE FURTHER INSURANCE AT MATURITY: For ensuring continuity of the valuable insurance protection that the child was enjoying, we offer the child and option to purchase a with profits endowment or an equivalent plan from Bajaj Allianz Life Insurance Company for twice the amount of face value of this policy, without any medical examination, on the premium rates prevailing at that time. (The application must be made at least 6 months prior to maturity of this policy). PAYOUT STRUCTURE

For Child Care 21 and Child Care 21 Plus: The minimum guaranteed payouts are as follows: Policy Anniversary following completion of Age Payout as % of Sum Assured 20% Accrued Bonuses + 25% 25% 35% 18 19 20 21

21

For Child Care 24 and Child Care 24 Plus: The minimum guaranteed payouts are as follows:

Policy Anniversary following completion of Age Payout as % of Sum Assured 25% Accrued Bonuses + 25% 25% 40%* 18 20 22 24

* refers to probable increase in payout based on higher interest during the payout period.

DEATH PAYOUT In the event of unfortunate death of the child during the policy terms, the payouts shall be as under

Age Below 7 years Above 7 years and below 18 years Above 18 years and

Payout Premiums paid will be refunded without interest and the policy will terminate. Sum assured with accrued bonuses will be paid and the policy will terminate. Outstanding payouts will be paid as one lump
22

below 24 years

sum and the policy will terminate.

HOW TO GET STARTED? This gets started by opening an account with a minimum premium of: Rs. 5000/- p.a. for annual mode. Rs. 2500/- p.a. for half-yearly mode. Rs. 2000/- p.a. for quarterly mode. Rs. 700/- p.a. for monthly mode. AGE LIMITS Eligibility Conditions Minimum age of the policyholder Maximum policyholder Minimum child Maximum child Minimum Premium Minimum Premium Payment Term age of age of age of Child Care 21 and Child Care 21 Plus 20 Child Care 24 and Child Care 24 Plus 20

50

50

13 Rs.4850 5

13 Rs.4850 5

23

Maximum Premium Payment Term Maximum age of

18

18

child at maturity Maximum Assured Sum

21

24

Rs. 50,00000

Rs. 50,00000

NEW UNIT GAIN PLUS Vs LIC BIMA PLUS

FEATURES

NEW PLUS

UNIT

GAIN

LIC PLUS

BIMA

Age

0-60 years

12-56 years

Term

Choice minimum

rests

with

a of

10 years

period

payment of 3 years.

Minimum sum assured is 5 times the premium paid. Maximum sum assured is as per the

Maximum limit up to Rs. 2 lakhs.

24

limits set per age bands.

Sum Assured

Survival Benefit

Value of Fund at Bid Price

Bid value of the fund units along with maturity bonus at 5% of the Sum Assured.

Higher the Sum Assured Death Benefit or value of units. However, the value of

Death the months-

during 1st 6 30%

25

units will treat as death benefit 70 years. if the Life Assured is > 7 years or <

of SA + value of units, next 6 months 60% of SA + value of units. Death after 1st yearSA +value of units. Death during the 10th year- 105% of SA + value of units.

Withdrawal Benefit

Partial

or

complete

Premature withdrawal allowed year(after applying bidoffer spread). 1

withdrawals at bid price after3rd year.

Contribution

Minimum: 15,000 p.a

Rs.

Not specified.

26

Flexibility contribution

to

Only an increase in contribution allowed. is

Not available.

increase/decrease

Investment options

Equity Fund, Debt Fund, Balanced Fund, Cash Fund.

Balanced, Secured & Risk.

Increase/Decrease of death benefit

Available.

Not available.

Bonus Points

Not Available.

Not available.

Top-up

Available.

Available (charges: 1.5% of the top-up).

Switch

free

switches

No switches.

free Cost

every policy year. Subsequent switches would be charged @1% of

of switches is 2% of the fund value.

27

switch amount or Rs. 100 whichever is higher.

Surrender Value

A selling/purchase price spread of 5% will be applicable from the 3rd year onwards.

Partial surrender up to 50% of bid value of units allowed after 3 years from the date of commencement.

Automatic Cover Continuance

Available after the 3rd policy year.

Not available.

Initial charge

Charges : 1st Year- 24% ; 2nd Year-3% 3rd Year- 3%. No charges grom 4th year onwards.

Not disclosed

28

Admin charges

Annual

admin.

Charges of 1.25% of net assets.

Other charges

Transaction charge of 0.5% of the equity investment & 0.1% of the debt investments.

Not applicable.

Bid-offer spread

The

bid-offer

Not applicable.

spread is 5% of the offer price.

Fund management Charge

Annual investment charge of 1% p.a. of net assets. 1% of the fund per annum

Riders

ABR/

ADBR

In Accident Benefit.

Built

CI/Hospital Benefits.

Cash

29

Recruitment of Advisors Bajaj Allianz Life Insurance Company This is a good business opportunity offered by Bajaj Allianz Life Insurance Co. to become a business partner and earn a good amount of money. Business description Be our Certified Financial Consultant Join Bajaj Allianz Life Insurance as a Financial Consultant and help analyze your customers financial needs, provide customized financial solutions to each one and conduct reviews on a regular basis to keep your customers on track. Along with being a great career move you get associated with Bajaj Allianz Life Insurance, Indias Most Respected Private Life Insurance Company. We at Bajaj Allianz Life Insurance also offer you unmatched support with various training programmes to help you excel in your endeavour. A great career move in every way Zero investment, there is no start-up capital. You can work full-time or part-time, depending on your convenience Sunrise industry Support every step of the way At Bajaj Allianz Life insurance Co. , training is an inherent element of our support system - at no extra cost - for our new Financial Consultants

30

EXCELLENT OPPORTUNITY Join Bajaj Allianz as a Advisor and earn a rewarding career

Flexible work timings You can work whenever you like. You can work full-time or part-time, depending on your convenience. However, the time you invest will determine your success

Any one can join - Young graduates, Housewives, Retired Personnel, Self-employed or Working Professionals.

Zero Investment - There is no start-up capital required. Be your own boss with flexible working environment, unlimited earning potential and opportunities to be part of a world class sales team.

Attractive Remuneration - Company offers excellent commissions, award and rewards for the performers. You have unlimited earning potential. Commission structure is pretty handsome and is 15-40% and renewal commission of 5% second year onwards till the policy is in force.

31

 Certificate by IRDA- You will get world class training free of cost and certification by Insurance Regulatory Development Authority.

TRAINING - Perfects your knowledge about the insurance industry as well as our products.

IRDA Training

Prepares you for your career as a Financial Consultant and enables you to pass the IRDA examination easily

Disha Training

Hones your selling skills, enables you to understand customer needs and provide need-based insurance solutions

Advanced Training

32

Upgrades your capability and knowledge through sophisticated training programs customised for the changing world of financial products and markets

Desired Profile: Age: 18 Yrs to 65 Yrs Education: Intermediate or more Experience: Not Mandatory Type of Job: Full Time or Part Time

Documents Required: 8 photograph Age proof (passport, Birthcertificate, College Leaving Certificate, Driving License) Address proof Education proof Copy of PAN Card Duely Signed Cancelled Cheque of self
33

A candidate needs to bring a DD of Rs. 925/- in case of offline training.

RECRUITMENT PROCESS OF ADVISORS : Natural Market: A natural market consist of people to whom you know well from your family, friend circle, relative can be a good prospect. The most admired way for recruitment in Bajaj Allianz is through natural market. Natural market persons are easily approachable and most of the successful recruitment in Bajaj Allianz is from natural market. Personal Observation: It means identify the right person through observation. For e.g. a person residing in your locality and very famous in taking initiative in social activities can be a good prospect. Nominator Call: A nominator is a person who is very much influential in the market as well as in societies. Name gathering and identification is easy in this case, but these people are highly unapproachable. These people can
34

be very productive in giving references of the prospect. They are not prospect by default.

Centre of Influence (CoI) Call: A centre of influence person is people who are influential and you know them personally. They are approached for giving references of the client. SHORT LISTING Bajaj Allianz follows some process regarding the short listing the people. Company can judge the prospective person. The basic objective of this selection is to have good retention and greater effectiveness in the delivery of service. Regarding this issue company has some parameters, it called 9 points criteria .

Parameters are following:AGE <25 1 POINT 25-35 2 POINT

35

35+ 3 POINT GENDER MALE 2 POINT FEMALE 3 POINT QUALIFICATION UNDER GRADUATION 1 POINT POST GRADUATION 2 POINT MARITAL SATUS MARRIED 2 POINT UNMARRIED 1 POINT LIVING IN THE CITY FOR 5 Y EA RS <5 YRS 1 POINT >5 2 POINT EXAMPLE:Ronit Roy Age-34 Gender-Male Qualification-Graduation Marital Status-Married Living in the city-For 15yrs TOTAL =9
36

POINTS

2 2 1 2 2

This person will eligible for advisor in Bajaj Allianz. Because he has fulfilled the 9 marks criteria. In this way when a persons every criteria will give the net result of 9 points then he or she will eligible for agent.

CONTACTING Candidates are called either as nominator, Prospective Agents and a meeting is fixed with them according to the convenience of both the party. Here script plays very important role in fixing appointment with the prospect. INITIAL SCREENING Initial screening is taken if candidate is found eligible using 4 point model. In intial screening, a sales manager first gives the introduction about the company. Then several questions such as his family background, his natural market, traits for a sales person, and his present and past experiences of his jobs are questioned. Every candidate is required to get at least 3 points in eligibility model the company. The eligibility standards for AA selection are as follows. In case of score less than 3, special zonal head approval is required. FIVE POINT SYSTEM:
37

Age 25 and over 1 point Graduate 1 point Married 1 point Lived in city more than 5 years 1 point NAT score 1 point (if passed) NAT Numerical Ability test is taken. Passing Score is 50%. CAREER SEMINAR AND P200 All the prospects are required to attend career seminar at Bajaj Allianz which provides broader aspects of growth as an Agent Advisor. P200 is a worksheet which is given to each prospect to judge his natural market. The prospects are required to mention at least 100 contacts from their natural market. CAREER INTERVIEW P200 is evaluated in Career Interview. If candidates market is found worth,he is selected to attend training and Development programme. FCS All the selected candidates are required to attend 22 day training session forreceiving the license from IRDA to become an Agent Advisor.

38

CONTRACT All the successful candidates having legal license of IRDA are contracted with Bajaj Allianz

Process Fill up of Agency form

IRDA Training (100 hrs)

IRDA Exam

39

Fail

Pass

Exit

Product Training

Traditional Pr.

ULIP Product

Internal Assessment

Fail

Pass

40

Exit

Certification

JOB DESCRIPTION FOR ADVISORS

Pre sales role Identifying prospective clients. Meeting prospective clients. Understanding the need of the client. Presenting solutions to client. Closing sales.

Post sales role Taking 1-2 references from the client Providing timely updates to the client for maintaining Lifelong relationship.

BENEFITS TO ADVISORS

Financial Benefits:

41

Commission on issuance of every policy. Commission directly credited to bank account of Advisors within 15 days. These commission varies from 7.5-40% according to plan.

BASIC COMMISSION First year Commission payable on regular premium conventional policies issued on or after 21st march 2007 Name of the plan Endowment Assurance plan Money Back plan Childrens plan Term Assurance plan Lone cover Term Assurance plan Personal Pension Plan 1st year commission 40% 40% 40% 25% 25% 7.5%

RENEWAL COMMISSION:

42

Renewal commission would be paid from the 2 nd year onwards on regular premium policies. Renewal commission is not payable on single premium plans.

Name of the plan

Renewal commission 2nd year onwards

Endowment Assurance plan Money Back Plan Childrens plan Lone cover Term Assurance Plan Term Assurance plan Personal Pension Plan

5% 5% 5% 5% 5% 2%

BONUS COMMISSION Bonus commission would be payable on the first year premium received and adjusted on the regular premium policies under the following plans, 1.Endowment Assurance Plan 2.Money Back Plan 3.Childrens Plan 4.Term Assurance Plan 5.Lone Cover Term Assurance Plan

43

Bonus commission is not payable on the single premium plans and on the policies issued under the Personal Pension Plan and all Unit Linked Plans.

Bonus commission rate would depend on financial consultant crossing the minimum RNEP(Received Net Effective Premium) within one year.

Period

RNEP

Bonus commission % of the 1st year Premium received

In one year 1,00,000 1,50,000 2,25,000

5% 10% 15%

44

REWARDS & RECOGNITION Within 30 days of Licensing Consultant can become STAR Converted premium 2 Lacs Silver Medal-Worth Rs 5200(approx) RISING STAR Converted premium of 5 Lacs

Gold Medal-Worth Rs 13,000(approx) MILLIONAIRE STAR Converted premium of 10 Lacs Gold Medal-Worth Rs 25,000(approx) GLOBAL STAR Converted premium of 24 Lacs Gold Medal-Worth Rs 60,000(approx) Extra Payouts for STAR Performers Star Performers Club Status Bronze Benefits 1%max Rs.5999 Additional status retention Bonus
45

Silver 2.5%,max Rs.37499 0.50%

Glod 5%,no upper limit 1.00%

Centurion Graded4.5%to8.5% 1.50%

MONTHLY & QUARTERLY CONTESTS There are various Sales linked monthly & quarterly contests occur in which FCs has opportunity to gain something. Like Gift Vouchers Home Appliances Two-Wheelers Gold/Diamonds Jewelry Foreign Trips Mobile Phones Laptops Cars etc.

46

OTHER BENEFITS On field supportJoint fieldwork with respective SDM/BDM.

Training support Various training modules to enhance your sales skills, interpersonalskillsetc.

Marketing support Consumer Contact Programs. Availability of office infrastructure for telecalling, quotations, benefits illustration etc. Consultant corner to access illustration, sales done, and contest updates etc. Personal email id.

47

CHAPTER 3

OBJECTIVE OF STUDY

48

INTRODUCTION

The project was carried in Bajaj Allianz Insurance Company (Jabalpur). As the company is new and it requires efficient workforce for its working so the company can perform its work. So the topic recruitment & selection was given to me by the company for my project the period of the project was for 45 days.

OBJECTIVES OF THE STUDY 1. To study the recruitment & selection procedures prevailing in the company. 2. To know the employees view on the recruitment and selection and selection procedures of the company. 3. To evaluate the effectiveness of various recruiting technique & sources thereby to increase the effectiveness of existing system by adopting appropriate recruitment method.
49

4. To increase the organizational efficiency in short term and long term by adopting appropriate recruitment methods.

CHAPTER 4

REVIEW AND LITERATURE

50

DEFINATION Recruitment is the process seeking out and attempting to attract individuals in external labour markets, who are capable of and interested in filling available job vacancies. Recruitment is an intermediate activity whose primary function is to serve as a link between human resource planning on the one hand and selection on the other. To Recruit Means To Enlist, Replenish Or Reinforce. Recruitment begins by specifying the human resource requirements, initiating activities and actions to identify the possible sources from where they can be met, communicating the information about the jobs, term and conditions, and prospectus they offer, and enthusiast people who meet the requirement to respond to the initiation by applying for the jobs.

AIM

51

The aim of recruitment is the information obtained from job description and job specification along with precise staffing standards from the basis for determining manpower requirement to attain the organizational objective.

RECRUITMENT PROCESS Personnel human resource planning Developing source of potential employees Recruiting needed personnel Selecting qualified personnel Placing new employee s on job Evaluation Recruitment Effectiveness

Search for potential employees

Upgrade in same position Internal source Personnel research Job Positioning Promoting to higher responsibility Employee referrals
52

Transferring to new job

External fyg sources

Advertising

Evaluation for selection

Scouting

Recruitment Needs Are Of Three Types: 1 2 3 Planned, anticipated and unexpected planned need arise from changes, in organization and retirement policy. Resignations, deaths and accidents and illness give rise to unexpected needs. Anticipated needs refer to those movements in personnel which an organization can predict by studying trends in the internal and external requirements.

SELECTION PROCESS

Selection is the process of picking individuals (out of the pool of job applicants) With requisites qualification and competence to fill jobs in the organization. In other words we can say: selection is the process of choosing the most suitable

53

personnel for the employment. A vacancy in the organization might occur due to the following reasons:

Expansion of the business Skill requirements due to changes in processes of technology Turnover of staff, resignation or dismissal

SELECTION PROCESS

54

STAGES OF RECRUITMENT AND SELECTION

55

Stage1-Preparation and advertising

Review the necessity for the job Review and revise the details of the role (job description / Person specification) Seek financial approval to fill the vacancy Prepare the advert View the redeployment website and consider suitable redeployed Advertise the post Prepare the pack of further particulars Plan the process for application packs being requested and received Select the members of the interview panel Plan the interview arrangements devise interview questions, selection tests, presentation details etc; set date(s); book room Prepare the short listing form Stage2-Short listing and interviews Monitoring process
56

Shortlist Write to successful / unsuccessful candidates Conduct the interviews / selection tests / presentations etc Stage-3 Selection Make the selection decision Complete the monitoring process Verbally make a conditional offer to the preferred candidate Complete the appointment paperwork and send it to HR with the completed monitoring form and other required documentation (e.g. financial approval, advert, job description, application form/CV and reference letters if available) Write to unsuccessful candidates Check qualification certificates / permission to work (birth certificate, passport)

57

CHAPTER 5

RESEARCH METHODOLOGY

RESEARCH:

58

It is a scientific and systematic search for pertinent information on specific topic. Research is a careful inquiry or examination to discover new information or relationship to expand and to verify existing knowledge. DATA COLLECTION A sample size of 50 Employees studied for this purpose. Employees where randomly administrated the questionnaire. DATA ANALYSIS The analysis of data was done on the basis of unit, age and number of years of experience and factors. Analysis was done using the simple average method so that, finding of the survey was easily comprehensible by all. SOURCES OF DATA COLLECTION: The primary as well as the secondary sources was used for collection of data. These data are as follows: Primary Data by: Questionnaire Method Observation Method

The data is collected for the projects are mainly from primary source. The research has collected relevant information through interviews with employees at the HR department. The data collected thereof has supplemented by the observation technique and subsequent qualitative analysis.

59

Secondary Data by: Individual File They contain record of every employees along with their i.e.their education, institute, technical background, interviewers assessment, experience, job profile, method of recruitment. Company manuals: From this document, information regarding the company Profile, clients, HR policies and procedures, etc was collected & analyzed Population: 110 Sample size: 50 Methods of Data Analysis and Statistical Technique: Different types of data analysis techniques used in the research project such as: Graphical Analysis Percentage Analysis

SAMPLE UNIT
60

The sample unit consisted of all the departments of Bajaj Allianz Insurance Company.

SAMPLE FRAME Consisted of a comprehensive list of financial advisors newly recruited of Bajaj Allianz Insurance. POPULATION Population = 110 SAMPLE SIZE Sample size = 50

SAMPLE DESIGN Out of 110 populations, I have taken 50 Sample. Care was taken to choose the sample based on considerations like age, sex & work experience of respondents thus enabling better representations of the heterogeneous population. However, the sample design was that of convenience sampling. The time consideration & size of population were major factors in determining choice of sample design.

61

RESEARCH PROCESS

62

CHAPTER 6

DATA ANALYSIS AND INTERPRETATION

Introduction To Data Analysis The data used therein has been collected through the interview technique as
63

Well as the observation method. The questions asked during the interview process were unstructured and open ended. The required information was derived from the discussion that followed. The researcher has selected the departments at Bajaj Allianz Insurance Company. As for the observation method, the researcher has observed a few interview processes and thereof collected the required data.

Data Presentation and Analysis 1) When does the Recruitment Process start?
64

As the figure represents, in minimum cases, the recruitment process starts only after the FIR Dept. receive the completed Employee Requisition Form, filled up by the department head. Thus, the responsibility of identifying the manpower requirement is distributed to the departments heads. 70% of the cases does it happen that the requirement need is identified and initiated by the HR department. This happens in case of major business changes, like say for example, in the case of diversification or expansion of business.

2. Relevant Importance given to different sources of Recruitment

65

Sources of Job Recruitment Sites % Respondent 12%

Employee Internal Referrals 15% Transfers 18%

Campus

Agencie s

WalkIns 5%

7%

43%

Sources of Recruitment

Once the need for manpower had been the next step is to call for reassumes of appropriate candidates. Notice of vacancy also placed in firm as well. Because internal employees can be interested for respective posts. Placement agencies, with firm are associated found major providers of candidates. The job sites are also another major provider. From the job sites, the company receives applications as an answer to their advertisement call or it could be that the site automatically provides a shortlist of probable candidate from amongst those who are registered with site.

66

When there is need of large no. of candidate, company then only refer to campus recruitment.

3. Different Internal Sources of Recruitment Sources of Data Recruitment Bank % Respondent 39% Employee Promotion Transfer Referrals 36% 19% 6%

Sources of Recruitment

It has been observed that the data batik is a major source of internal recruitment, which comprises of 39% of total internal source, followed by employee reference 36% and promotions and transfer being 19% and 6% respectively.

4. Basis of Transfer/Promotion
67

Sources Recruitment % Respondent

of Seniority

Merit

23%

77%

Basis of Transfer / Promotion

There are 77% of the employee feel that merit is an important element of transfer/promotion where the rest 23% feel that transfers/promotion are based on seniority.

68

5. Vacancies Arises

Reasons Value in %

Transfer 10%

Promotions 37%

Resignations 53%

Vacancies Aries

According to observation it was found that 53% of vacancies arise by resignation, 37% arises through promotions and 10% only through transfer.

6.

Satisfaction with Selection process

69

Level n %

of Excellent

Very Good

Good

Average

Poor

Very Poor

Satisfactio

23%

19%

42%

9%

3%

4%

Respondent

Level of Satisfaction

The observation reveals that 42% of the employees feel selection process is good, Where 23% said that it is excellent. 19% rated as very good.9% said as average. There were few who said it was poor.

7. Different Variable While short listing CVs

70

Variables

Sources Experience Academic of CV Consistenc y

Addss Courses 28%

Extra Activity 6%

Certification Curricular

of 37%

10%

19%

Respondent Variables While Short Listing CVs

The source of the CV has a major role in the CV getting short listed. Mostly it happens that the CVs received through agencies and job sites are those that fit into the tailor made needs of the position. The highest rated of any CV is the relevant experience possessed by the candidate, expect in the cases of trainee positions.
71

8. Respective Values of the Component in Technical Interview

Component Technical s

Applicatio of Knowledge

Innovativeness Presence of Mind

Knowledge n

Values in % 69%

8%

12%

11%

Components of Technical Interview

72

The interview part of the selection process is divided into two stages; one the interview taken by technical person and other taken by HR personnel. Different component like Technical knowledge is required by 69 % in technical interview. Innovativeness consist of 12%, presence of mind contains 11%.

9. Respective Values of the Component in HR Interviews

73

Components

Communicati Attitud Stability Leadershi Overall on Skills e y

Team

p Abilities Personalit Spirit

Values in %

28%

31%

10%

8%

11%

12%

Components of HR Interview

74

During HR interview attitude plays vital role as 31%, communication skills also have significance as 28%.other factors like team sprit, Stability respectively consist of 12% & 10% Usually the weight age is equally divided between the 2 interviews. As the end of two rounds the technical and HR personnels meet to jointly decide quality of the candidate.

10. Criteria for Salary fixation Criteria Experience / Previous Qualification Salary Expected Salary Rules &

Policies of Company

Values in 23% %

38%

12%

27%

Criteria for Salary Fixation

75

While fixation of salary major emphasis (38%) is given to previous salary drawn by candidate. Rules and policies counted as second major point as 27%. Experience as 23%.

76

CHAPTER 7

OBESERVATIONS AND FINDINGS

OBSERVATION AND FINDINGS:

77

1. The data banks are not properly maintained. 2. The dead resumes are never being destroyed. 3. It is observed that walking is the best way of recruitment and selection. 4. Best way of recruiting people within the organization and consultancies. 5. Job specification was finding excellent in the organization. 6. Proper induction is not given to all the employees. It reserves to only a few levels. 7. Salary comparison is not justifies. Old employees are demoralized by getting less salary then new employee. 8. Manpowers are recruited from private placement consultancy, who are demanding high amount of fees, where as HRD Department is not fully utilized to recruit manpower by advertisement. 9. Before recruitment cost benefit analysis is not done properly. It causes manpower surplus which makes loss in the industry. 10.Manpower is recruited from reliable source however efficiency does not recognize.

78

CHAPTER 8

SUGGESTION/RECOMMENDATION AND CONCLUSION

SUGGESTION
79

1. Other methods of selection like Psychometric and written tests should be introduced in the selection tests because these tests are vital in choosing the best candidate.

2. Cost of recruitment can be reduced by the help of e-recruiting and by employees referral as this practice of recruitment is considered the least in the company.

3. As company considers mostly experienced people for the job, a look on fresher should also be given because they can be recruited at a less salary offered to the experienced and they can also give good results by giving proper training and guidance by the seniors in the company.

4. On campus recruitment should also be considered for recruitment of personnel from various colleges and business school.

CONCLUSION

80

1. The study of recruitment and selection policies of Bajaj Allianz Insurance Company Shows a small but systematic procedure

2. Overall employees are satisfied with this recruitment process as they dont have to go through different test and this ease their tensions.

3. It is observed that the best source of recruitment is through consultancies

4. Employees are treated well and they are satisfied

5. All the employees get the recreational facilities

81

Bibliography

Books :82

 Kothari,C.R. Research Methodology, Delhi, New Age International Pvt. Ltd. 2nd Revised Edition, 2007 Ashwathapa, K Human Resource Management New Delhi Tata McGraw Hill 3rd Edition Pardesi, Dr. P.C Human Resource Management Pune, Nirali Publication

WEBSITES

www.bajajallianzlife.co.in www.google.com

83

Annexure

84

ANNEXURE Questionnaire

1.

When does the recruitment process start? a. When the business needs arises. b. After receiving ERF

2.

Which sources used for recruitment? a. Job Site b. Employee Referrals c. Internal Transfer d. Campus e. Agencies f. Walk-ins

3.

Which sources used for internal recruitment? a. Data bank b. Employee Referral
85

c. Promotion d. Transfer

4.

On which basis do you give transfer/promotions? a. Seniority b. Merit

5.

Due to which reason vacancies arise? a. Transfer b. Promotion c. Resignation

6.

Are you satisfied with selection process? a. Excellent c. Good e. Poor b. Very good d. Average f. Very poor

7.

What are the criteria for short listing the CVs? a. Source of CVs b. Experience

86

c. Academic consistency e. Extra curricular activities

d. Additional certification course

8.

Which component do you feel are important while taking Technical Interview? a. Technical knowledge c. Innovativeness b. Application of knowledge d. Presence of mind

9.

Which component do you feel are important while taking HR/Final Interview? a. Communication skills c. Stability e. Overall personality b. Attitude d. Leadership abilities f. Team sprit

10.

What are the criteria for Salary fixation? a. Experience/Qualification c. Expected salary b. Previous salary d. Rules and policies of company

87