AProject 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

1

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

2

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.

3

TABLE OF CONTENTS

Chapter No. Chapter name Page No

Executive Summary 5-9

1. Introduction 10-11

2. Company Profile 12-47

3. Objective of study 48-49

4. Review of Literature 50-56

5. Research Methodology 57-61

6.Data Analysis And

Interpretation 62-75

7. Observation And Findings 76-77

8. Suggestion Recommendation And Conclusion

78-80

Bibliography 81-82

Annexure 83-86

4

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 31 st March

2006 is at 12%.

6

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.

7

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

employee’s 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.

8

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 don’t 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

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CHAPTER 1

INTRODUCTION

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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.

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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 companies

and second to LIC. The total market share of Bajaj Allianz as of 31 st 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.

13

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.

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 2/3-

wheeler 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.

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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.

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.

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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

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.

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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

child’s 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

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.

19

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

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).

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PAYOUT STRUCTURE

For Child Care 21 and Child Care 21 Plus: The minimum guaranteed

payouts are as follows:

Policy Anniversary

following

completion of Age

18 19 20 21

Payout as % of Sum

Assured

20% +

Accrued

Bonuses

25% 25% 35%

For Child Care 24 and Child Care 24 Plus: The minimum guaranteed

payouts are as follows:

Policy Anniversary

following

completion of Age

18 20 22 24

Payout as % of Sum

Assured

25% +

Accrued

Bonuses

25% 25% 40%*

21

* 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 Payout

Below 7 years Premiums paid will be refunded without

interest and the policy will terminate.

Above 7 years and

below 18 years

Sum assured with accrued bonuses will be

paid and the policy will terminate.

Above 18 years and

below 24 years

Outstanding payouts will be paid as one lump

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.

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AGE LIMITS

Eligibility

Conditions

Child Care 21 and

Child Care 21 Plus

Child Care 24 and

Child Care 24 Plus

Minimum age of the

policyholder 20 20

Maximum age of

policyholder 50 50

Minimum age of

child 0 0

Maximum age of

child 13 13

Minimum Premium Rs.4850 Rs.4850

Minimum Premium

Payment Term 5 5

Maximum Premium

Payment Term 18 18

Maximum age of

child at maturity 21 24

Maximum Sum

Assured Rs. 50,00000 Rs. 50,00000

23

NEW UNIT GAIN PLUS Vs LIC BIMA PLUS

FEATURES NEW UNIT GAIN

PLUS

LIC BIMA

PLUS

Age 0-60 years 12-56 years

Term Choice rests with a

minimum period of

payment of 3 years.

10 years

Minimum sum assured is

5 times the premium

paid. Maximum sum

assured is as per the

limits set per age bands.

Maximum limit

up to

Rs. 2 lakhs.

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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.

Death

Benefit

Higher the Sum Assured

or value of units.

However, the value of

units will treat as death

benefit if the Life

Assured is > 7 years or <

70 years.

Death during

the 1st 6

months- 30%

of SA + value

of units, next 6

months – 60%

of SA + value

of units. Death

after 1st year-

SA +value of

25

units. Death

during the 10th

year- 105% of

SA + value of

units.

Withdrawal

Benefit

Partial or complete

withdrawals at bid price

after3rd year.

Premature

withdrawal

allowed 1

year(after

applying bid-

offer spread).

Contribution Minimum: Rs.

15,000 p.a

Not specified.

Flexibility to

increase/decrease

contribution

Only an increase in

contribution is

allowed.

Not available.

Investment

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optionsEquity 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 3 free switches

every policy year.

Subsequent

switches would be

charged @1% of

switch amount or

Rs. 100 whichever

is higher.

No free

switches. Cost

of switches is

2% of the fund

value.

27

Surrender ValueA 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

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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

spread is 5% of the

offer price.

Not applicable.

Fund

management

Charge

Annual investment

charge of 1% p.a.

of net assets.1% of the fund

per annum

RidersABR/ ADBR /

CI/Hospital Cash

Benefits.

In Built

Accident

Benefit.

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 customer’s 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, India’s 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

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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:- POINTS

Ronit Roy

Age-34 2

Gender-Male 2

Qualification-Graduation 1

Marital Status-Married 2

Living in the city-For 15yrs 2

TOTAL =9

36

This person will eligible for advisor in Bajaj Allianz. Because he has fulfilled the

9 marks criteria. In this way when a person’s 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 candidate’s 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 :

Commission on issuance of every policy.

41

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

RENEWAL COMMISSION:

42

Name of the plan 1st year

commission

Endowment Assurance plan 40%

Money Back plan 40%

Children’s plan 40%

Term Assurance plan 25%

Lone cover Term Assurance plan 25%

Personal Pension Plan 7.5%

Renewal commission would be paid from the 2nd 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 5%

Money Back Plan 5%

Children’s plan 5%

Lone cover Term Assurance Plan 5%

Term Assurance plan 5%

Personal Pension Plan 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.Children’s Plan

4.Term Assurance Plan

43

5.Lone Cover Term Assurance Plan

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 5%

1,50,000 10%

2,25,000 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

45

Status Bronze Silver Glod Centurion

Benefits 1%max

Rs.5999

2.5%,max

Rs.37499

5%,no upper

limit

Graded-

4.5%to8.5%

Additional status

retention Bonus

0.50% 1.00% 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 support- Joint 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.

49

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.

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.

51

AIM

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

52

Selecting qualified

personnel

Recruiting needed

personnel

Personnel human resource planning

Placing new employees

on job

Evaluation Recruitment Effectiveness

Search for potential

employees

Developing source of potential employees

Internal sourcePersonnel research

Job Positioning

Transferring to new job

Upgrade in same position

Promoting to higher responsibility

fyg

Scouting

Recruitment Needs Are Of Three Types:

1 Planned, anticipated and unexpected planned need arise from changes, in

organization and retirement policy.

2 Resignations, deaths and accidents and illness give rise to unexpected

needs.

3 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)

53

Evaluation for selection

External sources

Employee referrals

Advertising

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

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,

interviewer’s 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 department’s 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

Recruitment

Job

Sites

Employee

Referrals

Internal

Transfers

Campus Agencies Walk-

Ins

%

Respondent

12% 15% 18% 7% 43% 5%

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

Recruitment

Data

Bank

Employee

Referrals

Promotion Transfer

%

Respondent

39% 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.

67

4. Basis of Transfer/Promotion

Sources of

Recruitment

Seniority Merit

% Respondent 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 Transfer Promotions Resignations

Value in % 10% 37% 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.

69

6. Satisfaction with Selection process

Level of

Satisfaction

Excellent Very Good Good Average Poor Very Poor

%

Respondent

23% 19% 42% 9% 3% 4%

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.

70

7. Different Variable While short listing CV’s

Variables Sources

of CV

Experience Academic

Consistenc

y

Addss

Certification

Courses

Extra

Curricular

Activity

% of

Respondent

37% 10% 19% 28% 6%

Variables While Short Listing CVs

71

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.

8. Respective Values of the Component in Technical Interview

Component

s

Technical

Knowledge

Applicatio

n of

Knowledge

Innovativeness Presence

of Mind

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

on Skills

Attitud

e

Stability Leadershi

p Abilities

Overall

Personalit

y

Team

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 personnel’s meet to jointly decide quality of the

candidate.

10. Criteria for Salary fixation

Criteria Experience /

Qualification

Previous

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. Manpower’s 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.

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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

employee’s 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

1. The study of recruitment and selection policies of Bajaj Allianz Insurance

Company Shows a small but systematic procedure

80

2. Overall employees are satisfied with this recruitment process as they don’t 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 :-

Kothari,C.R.

Research Methodology,

82

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

ANNEXURE

84

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

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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 b. Very good

c. Good d. Average

e. Poor f. Very poor

7. What are the criteria for short listing the CVs?

a. Source of CVs b. Experience

86

c. Academic consistency d. Additional certification course

e. Extra curricular activities

8. Which component do you feel are important while taking Technical

Interview?

a. Technical knowledge b. Application of knowledge

c. Innovativeness d. Presence of mind

9. Which component do you feel are important while taking HR/Final

Interview?

a. Communication skills b. Attitude

c. Stability d. Leadership abilities

e. Overall personality f. Team sprit

10. What are the criteria for Salary fixation?

a. Experience/Qualification b. Previous salary

c. Expected salary d. Rules and policies of company

87