BSLI-Project Report Recruitment

Introduction

Introduction:-

The purpose of the project is to know about the market for Birla Sun Life Insurace Company. Today overall market for insurance industry is consider as 100% than only 30% market has covered by insurance companies so there is 70% market is remaining for insurance companies. Birla Sun Life Insurace Company is growing very fast. In March month Birla Sun Life Insurace Company has maximum business from its competitors.

In future life insurance sector going to give thousands of vacancies to the students so there is lots of opportunities for MANAGEMENT students. Because capture to remaining 70% market they require lots of men over. Students have to give their full efforts or 100% target in their summer internship program for getting good placements in life insurance sector.

Objectives

Objectives:-

The prime objective of the study was to understand the market and analysis the competitors.

The survey was used to

Understand the type of Life Insurance Policies desired by the customer.

To find out the degree of awareness of life Insurance.

To study the consumer behavior.

To find out the market potential for life Insurance Policies in Kota.

To learn professionalism in market of financial product and services.

To find prospects for the institution.

To conduct the survey to know how many persons have Life Insurance Policies or how many don’t have.

Company Profile

Birla Sunlife Insurance:-

Established in 2000, Birla Sun Life Insurance Company Limited (BSLI) is a joint venture between the Aditya Birla Group, a well known and trusted name globally amongst Indian conglomerates and Sun Life Financial Inc, leading international financial services organization from Canada. The local knowledge of the Aditya Birla Group combined with the domain expertise of Sun Life Financial Inc., offers a formidable protection for its customers’ future. 

With an experience of over 9 years, BSLI has contributed significantly to the growth and development of the life insurance industry in India and currently ranks amongst the top 5 private life insurance companies in the country. 

Known for its innovation and creating industry benchmarks, BSLI has several firsts to its credit. It was the first Indian Insurance Company to introduce “Free Look Period” and the same was made mandatory by IRDA for all other life insurance companies. Additionally, BSLI pioneered the launch of Unit Linked Life Insurance plans amongst the private players in India. To establish credibility and further transparency, BSLI also enjoys the prestige to be the originator of practice to disclose portfolio on monthly basis. These category development initiatives have helped BSLI be closer to its policy holders’ expectations, which gets further accentuated by the complete bouquet of insurance products (viz. pure term plan, life stage products, health plan and retirement plan) that the company offers. 

Add to this, the extensive reach through its network of 600 branches and 1,75,000 empanelled advisors. This impressive combination of domain expertise, product range, reach and ears on ground, helped BSLI cover more than 2 million lives since it commenced operations and establish a customer base spread across more than 1500 towns and cities in India. To ensure that our customers have an impeccable experience, BSLI has ensured that it has lowest outstanding claims ratio of 0.00% for FY 2008-09. Additionally, BSLI has the best Turn Around Time according to

LOMA on all claims Parameters. Such services are well supported by sound financials that the Company has. The AUM of BSLI stood at Rs. 8165 crs as on February 28, 2009, while as on March 31, 2009, the company has a robust capital base of Rs. 2000 crs.

Vision:- 

To be a leader and role model in a broad based and integrated financial services business.

Mission:- 

To help people mitigate risks of life, accident, health, and money at all stages and under all circumstancesEnhance the financial future of our customers including enterprises

Values:- 

IntegrityCommitmentPassionSeamlessnessSpeed

A US $28 billion corporation, the Aditya Birla Group is in the league of Fortune 500 worldwide. It is anchored by an extraordinary force of 100,000 employees, belonging to 25 different nationalities. The group operates in 25 countries across six continents – truly India's first multinational corporation. 

Aditya Birla Group through Aditya Birla Financial Services Group (ABFSG), has a strong presence across various financial services verticals that include life insurance, fund management, distribution & wealth management, security based lending, insurance broking, private equity and retail broking. The seven companies representing ABFSG are Birla Sun Life Insurance Company, Birla Sun Life Asset Management Company, Birla Sun Life Distribution Company, Birla Global Finance Company, Birla Insurance Advisory & Broking Services, Aditya Birla Capital Advisors and Apollo Sindhoori Capital Investment. In FY 2008-09, the consolidated revenues of ABFSG from these businesses crossed Rs. 4763 crores, registering a growth rate of 36%.

For more information please visit www.adityabirla.com 

Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth accumulation products and services to individuals and corporate customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China and Bermuda. As of December 31, 2008, the Sun Life Financial group of companies had total assets under management of $381 billion.

For more information please visit www.sunlife.com

About Aditya Birla Group:-

A US $29.2 billion corporation, the Aditya Birla Group is in the league of Fortune 500. It is anchored by an extraordinary force of 130,000 employees, belonging to 30 different nationalities. In India, the Group has been adjudged "The Best Employer in India and among the top 20 in Asia" by the Hewitt-Economic Times and Wall Street Journal Study 2007. Over 50 per cent of its revenues flow from its overseas operations.

The Group operates in 25 countries — India, UK, Germany, Hungary, Brazil, Italy, France, Luxembourg, Switzerland, Australia, USA, Canada, Egypt, China, Thailand, Laos, Indonesia, Philippines, Dubai, Singapore, Myanmar, Bangladesh, Vietnam, Malaysia and Korea.

Globally the Aditya Birla Group is:-

:: A metals powerhouse, among the world's most cost-efficient aluminum and copper producers. Hindalco-Novelis is the largest aluminum rolling company. It is one of the three biggest producers of primary aluminum in Asia, with the largest single location copper smelter

:: No.1 in viscose staple fiber

:: The fourth largest producer of insulators

:: The fourth largest producer of carbon black

:: The 11th largest cement producer globally, the seventh largest in Asia and the second largest in India

:: Among the world's top 15 BPO companies and among India's top four

:: Among the best energy efficient fertilizer plants

In India:-

:: A premier branded garments player

:: The second largest player in viscose filament yarn

:: The second largest in the chloral-alkali sector

:: Among the top five mobile telephony companies

:: A leading player in life insurance   and asset management

:: Among the top three supermarket chains in the retail business

Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where success does not come in the way of the need to keep learning afresh, to keep experimenting.

Beyond business — the Aditya Birla Group is:-

:: Working in 3,700 villages

:: Reaching out to seven million people annually through the Aditya Birla Centre for Community Initiatives and Rural Development, spearheaded by Mrs.Rajshree Birla

:: Focusing on: health care, education, sustainable livelihood, infrastructure and espousing social causes

:: Running 42 schools and 18 hospitals

Transcending the conventional barriers of business to send out a message that "We care".

About Sun Life Financial:-

Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth accumulation products and services to individuals and corporate customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China and Bermuda. As of December 31, 2008, the Sun Life Financial group of companies had total assets under management of $381 billion.

Management Team

Mr. Ajay SrinivasanManaging Director

Mr. Srinivasan holds a Bachelor of Arts degree with Honors in Economics from St. Stephens College, University of Delhi and an MBA from the Indian Institute of Management, Ahmadabad. He is the Chief Executive, Financial Services and Director, Corporate Strategy and Business Development at the Aditya Birla Group since July 2007. 

In his role as Chief Executive, Financial Services, Aditya Birla Group, he sets the strategic direction and vision and provides operational leadership for the Group’s Financial Services business. In his role as Director, Corporate Strategy and Business Development, he directs and strategies on business portfolio issues for the Aditya Birla Group focusing on the long-term sustainability, profitability and value creation of the Group’s businesses. 

Prior to joining the Aditya Birla Group, Mr. Ajay Srinivasan was associated with Prudential Corporation Asia, Thread needle Asset Management, etc. at senior levels. With a proven track record for building successful businesses, his experience in the financial services industry spans almost two decades.

Mr. Mayank BathwalChief Financial Officer

Mr. Amitabh VermaChief Operating Officer

Mr. Fabien JeudyChief Actuarial Officer & Appointed Actuary

Mr. Vikram KotakChief Investment Officer

Mr. Chander ChellaniChief Distribution Officer

Mr. Rahul SinhaChief Marketing Officer

Ms. Vinni SoniHead Group Business

Ms. Anjana GrewalSenior Vice President Health Business

Mr. Saurov Ghosh Vice President Human Resources

Mr. Lalit VermaniVice President Risk and Internal Audit functions

Mr. Bhalachandra NayakVice President Strategy & Projects

Mr. Puneet BansalLegal & Company Secretary

Board of Directors:-

Mr. Kumar Mangalam BirlaChairman, The Aditya Birla Group

Mr. Birla is a Chartered Accountant and has also earned an MBA (Masters in Business Administration) from the London Business School, London.  He is the Chairman of the Aditya Birla Group, which is among India's largest business houses. Among its major companies in India are Grasim, Hindalco, UltraTech Cement, Aditya Birla Nuvo

and Idea Cellular and globally — Novelis, Minacs, Aditya Birla Minerals, Aditya Birla Chemicals. Its JV operations include Birla Sun Life Asset Management Company, Birla Sun Life Distribution Co. Ltd and Birla Sun Life Insurance Co. Ltd. The media has showered various accolades on him. Between 1997 to-date, India Today has named him among the top 5 in their "High and Mighty" Power List and The Economic Times among the top 10 most influential Leaders. The NDTV, Star Plus "India Business Week" designated him as "The Businessman of the Year". Global Finance has cited him among the 10 Super Stars of Corporate Finance. Business World ranked him among the top 10 of India's most admired and respected CEOs and the top CEO of the coming millennium, and Hindustan Times named him as "The Businessman of the Year" as well. He is also on the Board of various companies.

Mr. Ajay SrinivasanChief Executive – Financial Services Aditya Birla Group

Mr. Bishwanath PuranmalkaDirector – Financial Services Aditya Birla Group

Mr. Donald StewartChief Executive Officer Sun Life Financial

Mr. Venkatesh MysoreCountry Head – India Sun Life Financial, Asia

Mr. Gian Gupta

Mr. Stephan RajottePresident –Sun Life Financial, Asia

Mr. Suresh Talwar

INTRODUCTION TO INSURANCE:-

“Life Insurance is about living happily with financial peace in mind”

The business of insurance is related to the protection of the

economies of asset every asset has value & is expected to last for

a certain period of time during which it will perform after that the

benefit may not be available but sometime after may get lost

earlier, an accident or some other unfitness may destroy it or

make it non functional and deprive of the benefits. Which may

give to an adverse situation is a mechanism that helps to reduce

the effect of such adverse situation.

Insurance does not protect the asset. It does not prevent its loss

due to the peril. The petil can not be avoided through insurances.

The peril can sometime avoid. Through better safety and damage

control management. Insurances only tries to reduce the impact

of the risk on those who depends on that asset it only

compensates the losses and that too, not fully only economic

consequences insured. if the loss is not financial, insurance may

not be possible.

There are certain principles, which make it possible for instanced

to remain a fair arrangement. It is difficult for any one individual

to bear the consequences of the risk that he is exposed to it will

become bearable when the community shared the burden. The

second is that peril should occur in accidental manner. Insurance

is done

Against the contingency that may happen in the case of human

being, death is certain but the time of death is not uncertain in

the person who is terminally ill. The time of death is not

uncertain. Through not exactly known not be insured.

A human being is an income-generating asset. One’s manual labour, professional skill and business acumen are the asset. This asset also can be lost through unexpectedly early death or through sickness and disabilities caused by accidents. So life insurance is necessary to help those who depend on the income which is lost due to accident.

Basics of insurance

Meaning of Insurance:-

Insurance provides financial protection against a loss arising out of happening of an uncertain event. A person can avail this protection by paying premium to an insurance company. 

A pool is created through contributions made by persons seeking to protect themselves from common risk. Premium is collected by insurance companies which also act as trustee to the pool. Any loss to the insured in case of happening of an uncertain event is paid out of this pool.

Insurance works on the basic principle of risk-sharing. A great advantage of insurance is that it spreads the risk of a few people over a large group of people exposed to risk of similar type.

Definition:-

Insurance is a contract between two parties whereby one party agrees to undertake the risk of another in exchange for consideration known as premium and promises to pay a fixed sum of money to the other party on happening of an uncertain event (death) or after the expiry of a certain period in case of life insurance or to indemnify the other party on happening of an uncertain event in case of general insurance. The party bearing the risk is known as the 'insurer' or 'assurer' and the party whose risk is covered is known as the 'insured' or 'assured'.

Concept of Insurance / How Insurance Works:-The concept behind insurance is that a group of people exposed to similar risk come together and make contributions towards formation of a pool of funds. In case a person actually suffers a loss on account of such risk, he is compensated out of the same pool of funds. Contribution to the pool is made by a group of people sharing common risks and collected by the insurance companies in the form of premiums.

Brief history of Life Insurance Sector:-

The insurance sector in India has come a full circle from being an open competitive market to nationalization and back to a liberalized market again. Tracing the developments in the Indian insurance sector reveals the 360-degree turn witnessed over a period of almost 190 years. The business of life insurance in India in its existing form started in India in the year 1818 with the establishment of the Oriental Life Insurance Company in Calcutta.

Some of the important milestones in the life insurance business in India are: 1912 - The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business.

1928 - The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses.

1938 - Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the

insuring public.

1956 - 245 Indian and foreign insurers and provident societies taken over by the central government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore from Government of India.

The General insurance business in India, on the other hand, can trace its roots to the Triton Insurance Company Ltd., the first general insurance company established in the year 1850 in Calcutta by the British.

Some of the important milestones in the general insurance business in India are:

1907 - The Indian Mercantile Insurance Ltd. set up, the first company to transact all classes of general insurance business.

1957 - General Insurance Council, a wing of the Insurance Association of India, frames a code of conduct for ensuring fair conduct and sound business practices.

1968 - The Insurance Act amended to regulate investments and set minimum solvency margins and the Tariff Advisory Committee set up.

1972 - The General Insurance Business (Nationalization) Act, 1972 nationalized the general insurance business in India with effect from 1st January 1973.

107 insurers amalgamated and grouped into four companies’ viz. the National Insurance Company Ltd., the New India Assurance Company Ltd., the Oriental Insurance Company Ltd. and the United India Insurance Company Ltd. GIC incorporated as a company.

Overview of Life Insurance:-Insurance Overview will try to do a serious attempt of describing the meaning of insurance and the terms associated with it. Many people do have heard about the term “Insurance” but don't have a clear idea about it. Again many might not be conversant with the different entities of this huge market of insurance.

Insurance Overview would try to give a bird's eye view on the different sectors of the insurance industry such as insurance company, insurance broker, etc. Insurance also has certain concepts attached with it like insurance premium, insurance rates, etc. before buying a insurance a customer must be conversant with the benefits and risks associated with it. They must be aware of the extent of the regular payment of the premium to the insurance company.

Insurance Overview also tries to give the best insurances available in the market. The selection of the best insurance is based on certain parameters and becomes a bit difficult and cumbersome for a particular individual to choose from the whole array of available insurance offers. But now-a-days the insurances are available online just like the credit cards and mutual funds where one could select, compare and apply for the same.

Terms and conditions of specific insurances are written in the application forms where all the particulars including rules, fees structure, etc are written with minute details. Hence a insurance customer must go through all these before applying for the same. Policies of insurance companies differ from each other. Thats why reading the terms of the insurance companies become so much important.

Insurance Overview thus has tried to point out the important points which a insurance customer should know.Tried to point out the important points which a insurance customer should know.

Meaning Insurance

Insurance Company

Insurance Broker

Insurance Policy

Term Insurance

Insurance Claim

Mortgage Insurance

Insurance Coverage

On line Insurance

Affordable Insurance Best Insurance

Insurance Premium

Insurance Risk

Insurance Information

Insurance Benefits

List of Life Insurance Companies in India:-

Birla Sun life

ICICI Prudential Life Insurance

HDFC Standard Life

Bajaj Allianz Life

SBI Life Insurance

Kotak Old Mutual Life Insurance

Aviva Life Insurance

Reliance Life Insurance

Bharti Axa Life

Future generally life Insurance

Tata AIG Life

MetLife India Life Insurance

ING Vysya Life Insurance

Max Network Life Insurance

Sahara Life Insurance

Shriram Life Insurance

Aegon religare life Insurance

Life Insurance Corporation of India

IDBI Fortis Life Insurance Company Ltd

DLF Pramerica Life Insurance Co. Ltd.

Star Union Dai-ichi Life Insurance Comp. Ltd.

Why We Take Life Insurance Policies?

As we all know that now day’s ‘life Insurance’ is not only to secure the life. It is also an investment phase.

Now life insurance is not only……..

To secure the life To investment To get the benefits in the future To get tax benefits

But also………

Today you can get return on your invested money in the plan With the risk cover.

Now days life insurance is not only a risk cover instrument, it is also a Investment instrument.

The processing of current life insurance companies is like a mutual fund.

The fund managers are here to take responsibility of your money.

Major Competitors:-

Major Competitors Of Life Insurance Companies In Investment Instrument is

MUTUAL FUNDS

Mutual Funds:-A security that gives small investors access to a well-diversified portfolio of equities, bonds and other securities. Each shareholder participates in the gain or loss of the fund. Shares are issued and can be redeemed as needed.

The fund's net asset value (NAV) is determined each day. Each mutual fund portfolio is invested to match the objective stated in the prospectus.

It has been shown in study after study that a majority of mutual funds fail to beat the market. Also, picking mutual funds purely on the basis of past performance usually does not work.

As you probably know, mutual funds have become extremely popular over the last 20 years. What was once just another obscure financial instrument is now a part of our daily lives. More

than 80 million people, or one half of the households in America, invest in mutual funds. That means that, in the United States alone, trillions (yes, with a "T") of dollars are invested in mutual funds.

In fact, too many people, investing means buying mutual funds. After all, its common knowledge that investing in mutual funds is (or at least should be) better than simply letting your cash waste away in a saving account, but, for most people, that's where the understanding of funds ends. It doesn't help that mutual fund salespeople speak a strange language that, sounding sort of like English, is interspersed with jargon like MER, NAVPS, load/no-load, etc.

Originally mutual funds were heralded as a way for the little guy to get a piece of the market. Instead of spending all your free time buried in the financial pages of the Wall Street Journal, all you have to do is buy a mutual fund and you'd be set on your way to financial freedom. As you might have guessed, it's not that easy. Mutual funds are an excellent idea in theory, but, in reality, they haven't always delivered. Not all mutual funds are created equal, and investing in mutual isn't as easy as throwing your money at the first salesperson who solicits your business.

Certain Mutual Funds Terms:-

Net assets value (NAV).

Tactical assets allocations

Portfolio

Portfolio turnover

No- load fund

NAV per share

Non-taxable dividends

Open-end fund

Strategic assets allocation

Trust deed

Vulture fund

Weighted average credit rating

Recruitment

Recruitment:-

Introduction:-

After the required number and kind of human resources are

determined, the

Next step in the procurement function is to locate the sources

wherefrom the required human resources can be available and to

attract then towards the organization. This is known as

“recruitment’.

Meaning of Recruitment:-

According to Flippo, Recruitment is the process of searching for

prospective employees and stimulating and encouraging them to

apply for jobs in an organization. In the words of Yoder.

“Recruitment is a process to discover the sources of manpower to

meet the requirement of the staffing schedule and to employ

effective measures for attracting that manpower in adequate

number.”2 Recruitment needs are of there types – planned,

anticipated and unexpected, Planned needs arise from change in

organization. An analysis of these definitions reveals the following

features:

(1) Recruitment is a process or a series of activities rather than a

single act or event. (2) Recruitment is a linking activity as it

brings together those with jobs (employer) and those seeking

jobs. (Prospective employees)

(3) Recruitment is a positive function as it seeks to develop a pool

of eligible person from which most suitable ones can be selected.

(4) The basic purpose of recruitment is locate the sources of

people required persons to meet job requirement and attractive

such people to offer them selves for employment in the

organization.

(5) Recruitment is an important function as it makes it possible to

acquire the number and type of persons necessary for the

continued functioning of the organization. Careful recruitment of

employees is particularly important in India because the chances

of mismatching the job and the person are greater

(6) Recruitment is a pervasive function as all organization

engages recruiting activity.

(7) Recruitment is a two-way process.

(8) Recruitment is a complex job because too many factors affect it. E.g. image of the organization, nature of jobs offered organizational policies, working conditions and compensations levels in the organization, rate of growth of the organization, past recruitment record, employment conditions in the community.

STEPS IN RECRUITMENT PROCESS:-The recruitment process consists of the following Steps:

Recruitment process generally begins when the personnel

department receives requisitions for recruitment from any

department of the company. The personnel requisitions

contain details about the position to be filled, number of

persons to be recruited, the duties to be performed,

qualifications required from the candidate, terms and

conditions of employment and the time by which the person

should be available for appointment etc. locating and

developing the sources of required number and type of

employees.

Identifying the prospective employees with required

characteristics.

Communicating the information about the organization, the

job and the terms and conditions of service.

Encouraging the identified candidates to apply for jobs in the organization.

Evaluating the effectiveness of recruitment process.

According the Famulrao, recruitment process consists of five elements, namely a recruitment policy, a recruitment organization, developing sources of recruitment, techniques used to tap these sources and a method of assessing the recruitment programmer. Fig. 2.9 depicts the elements of recruitment process along with place of recruitment in the procurement function.

Encouraging the identified candidates to apply for jobs in the

organization. Evaluating the effectiveness of recruitment process.

According the Famulrao, recruitment process consists of five elements, namely a recruitment policy, a recruitment organization, developing sources of recruitment, techniques used to tap these sources and a method of assessing the recruitment programmer. Fig. 2.9 depicts the elements of recruitment process along with place of recruitment in the procurement function.

Recruitment Policy:-

Recruitment policy specifies the objectives of recruitment and

provides a framework for the implementation of the recruitment

programmer. It may involve commitment to principles such as

enriching the organization’s human resources by filling vacancies

with the best qualified people, attitudes towards recruiting

handicaps, minority groups, woman, friends and relatives of

present employees, promotion from within. It may also involve

the organizational system to be developed for implementing the

recruitment programmer and procedures to be employed.

Recruitment policy should be based on the recognition that it is

hard to find qualified executives.

A recruitment policy involves the employer’s commitment to such

general principles as –

(a) To find and employ the best qualified persons for each

job:

(b) To retain the most promising of those hired ;

(c) To offer promising opportunities for life time working

careers;

(d) To proved facilities and opportunities for personal growth

on the bob;

A properly planned and systematic recruitment policy is

necessary to minimize disruption of the work due to changes in

employment opportunities. A well-considered and per-planned

recruitment policy based on the goals, needs and environment of

the organization will help to avoid hasty or ill-conceived decisions

and help to man the organization with the right kind of personnel.

The factors affecting recruitment policy include organization

objectives, personnel policies of the organization and of its

competitors, government policies on reservation and sons of the

soil, preferred sources of recruitment, organization’s recruitment

need, recruitment costs and financial implications, selection

criteria and preferences, etc.

There are several per-requisites of a good recruitment policy.

It should:

Abide by the relevant public and legislation on hiring and

employment relationship.

Provide employees with job security needs and continuous

employee.

Integrate organization need and employee needs;

Provide each employee with freedom and opportunity to

utilize and develop knowledge and skill to the maximum

possible extent ;

Treat a employees fairly and equitably relation ships.

provide suitable jobs and protection to handicapped, women

and minority groups ;

Encourage responsible trade unions

Be flexible enough to meet the changing need of the organization.

Recruitment Organization:-

Recruitment practices differ from one organization to another.

Some Organizations like public sector banks adopt centralized

recruitment whereas other organization resorts to decentralized

recruitment. Under centralized recruitment personal department

at the hade office performs all the functions of recruitment. Every

operating department sends requisitions or indents for

recruitment to there central office. On the other hand, each

department / unite carries out case of decentralized recruitment.

Centralized recruitment offers the following advantages:-

1. It reduces the administrative cost by consolidation all

recruitment activities at one place.

2. It helps in better utilization of specialist.

3. It ensures uniformity in recruitment and selection of all

types of employees.

4. It facilitates interchangeability of staff between different

units / zones.

5. It relives the line executives of recruitment problem

thereby enabling them to concentrate on their operational

activities.

6. It tends to reduce favoritism in recruitment and make

the recruitment process mort scientific.

7. Centralized recruitment suffer from the following

disadvantages.

8. There is delay in recruitment as operating units cannot

recruit staff as and when required.

9. The central office may not be fully familiar with job

requirements of different units and the most suitable

sources for the required staff.

10. Recruitment is not flexible because operating units lose

control over the recruitment process.

Both centralized recruitment and decentralized recruitment have their own merits. The choice between the two will depend on the management philosophy and need of the particular organization. In some cases a combination of both the system is used. Lower level staff is recruited centrally whereas middle and top level executives are recruited in a decentralized manner.

Sources Of Recruitment:-

Various sources of recruitment may be classified in two broad categories, namely internal sources and external sources.

Internal Sources:-Internal sources consist of the following:-

Present employee – Permanent, temporary and casual

employees already on the pay of the organization are a

good source. Vacancies my be filled up form such

employees through promotions transfers, upgrading and

even demotion. Transfer implies shifting on employee

from one job to another without any major change in the

status and responsibilities of the employee. On the other

hand, promotion refers to shifting of an employee to a

higher position carrying higher status responsibilities and

pay.

Retired and retrenched employee who wants to return to

the company may be rehired.

Dependents and relatives of deceased and disabled

employees.

Internal sources have the following merits:-

Morale and motivation of employees improve when they

are assured

That they would be preferred in filling up vacancies at

higher levels. A sense of security is created among

employees.

Suitability of existing employees can be judged batter as

record of their qualification and performance is already

available in the organization.

Present employees are already familiar with the

organization and its Policies. Therefore, time and costs of

orientation and training are low.

The time and expenditure of recruitment are reduced as

there is little Need for advertising vacancies or arranging

rigorous tests and interviews.

Filling of higher level jobs through promotions within the

organization helps to retain talented and ambitious

employees. Labour turnover is reduced.

Internal sources however have some

demerits:-

It may lead to inbreeding.

It discourages flow of new blood in to the organization.

If promotion is based on seniority really capable persons

may be left out.

The choice in selection is restricted. More talented

outsiders may not be employed

All vacancies cannot be filled up from within the

organization.

This source of recruitment is not available to a newly established enterprise.

External Sources:-

External sources of recruitment lie outside the organization. These are as follows: -

Education and Training Institutions

Recruiting Agencies.

Employment Exchanges

Labour Contractors.

Gate Recruitment

Similar Organizations

Recommendations

Press advertisements

External Sources Of Recruitment Offer The Following Advantage: -

People having the requisite skill, education and training can

be obtained.

As recruitment is done from a wider market, best selection

can be made irrespective of caste, sex or religion.

Expertise and experience from other organizations can be

brought.

It helps to bring new blood and new ideas into the

organization.

This source of recruitment never ‘dries up’. It is available to

even new enterprises.

External sources are best when suitable people from within

are not available and when the organization is diversifying or

merging with other organizations.

External sources, however, suffer from the following disadvantages:-

It is more expensive and time-consuming to recruit people

from outside. Detailed screening is necessary as very little is

known about the candidate.

The employees being unfamiliar with the organization, their

orientation and training is necessary.

If higher level jobs are filled from external sources, motivation and loyalty of existing staff are affected.

Methods Of Recruitment:-

Recruitment methods or techniques are the means by which an

organization establishes contact with potential candidates,

provides them necessary information and encourages them to

apply for jobs. These methods are different from the sources of

recruitment. Sources are the locations where prospective

employees are available. One the other hand, methods are ways

of establishing links with the prospective employees. Various

methods employed for recruiting employees may be classified

into the following categories:-

1. Direct Methods:-Under direct recruitment scouting,

employee contacts, manned exhibits and waiting lists are use. In

scouting representatives of the organization are sent to education

and training institution. These traveling recruiters exchange

information with the students clarify their doubts; stimulate them

to apply for jobs, conduct campus interviews and shirt list

candidates for further screening. They act in cooperation with the

placement office/head of the institution. Another direct method is

to ask employee of the organization to contact the public and tell

about the vacancies. Manned exhibits involve sending recruiters

to seminars and convention, setting up exhibits at fairs and using

mobile offices to go to the desired centers. Some organization use

waiting lists of candidates who have indicated their interest in

jobs in person, through mail or over telephone.

2. Indirect Methods:- Advertisements in newspapers, journals,

on the radio and television are used to publicize vacancies. A well

throughout and clear advertisement enables candidates to assess

their suitability so that only those possessing the requisite

qualifications will apply. This method is appropriate when the

organization wants to reach out to a large target group scattered

geographically. Whenever necessary a blind advertisement can

be given in which only box no is given without identifying the

firm. Considerable details about jobs to be filled and qualification

required can be given in the advertisement. But a large number

of applicants may be unsuitable.

3. Third Party Methods:- Various agencies can be used to recruit personnel. Public employment exchanges, management consulting firms, professional societies, temporary help societies, trade unions, labour contractors are the main agencies. In addition, friends and relations of existing staff and deputation method can be used.

Procedure For Becoming An Advisor:-

The insurance act 1938 lies down that an insurance agent must

possess a license under section 42 of that Act. The licensed to be

issued by the IRDA. The IRDA has authorized designated persons,

in each insurance company to issue the licensed on behalf of the

IRDA. The free for the licenses of making an applicant etc. Have

describe in the IRDA regulations. A license issued by the IRDA will

be valid for three years. The license may act an agent for a life

insurer for a general or a “composite insurance agent” working

for a life insurer as well as general insurer. No agent is allowed to

work for more then one life insurance or more then one general

life insurance company. The qualification necessary before a

license can be given is that the person (individual or corporate

insurance executive) must.

Be at least 18 years old

Have passed at least the xii standard or equivalent

examination. If he is to be appointed in a place with a

population of 5000 or more or 10th std otherwise.

Have under gone practical training for at least 100 hours in

life or general insurance business. As the case may be , from

an institution, approved and notified by IRDA in the case of

a person wanting to become a composite insurance agent,

the applicant should have completed 150 hours practical

training in life and general insurance business, which may be

spread over six to eight weeks.

Have passed the pre recruitment examination conducted by

the insurance institute of India or any other examination

body recognized by the IRDA

A person with the following disqualification in debarred from

holding a license.

He has been found to be unsound mind by a court of competent jurisdiction.

He has been found guilty of criminal of trust, misappropriation, cheating, forgery or abetment or attempt pt commits any such offence.

The license once issued can be cancelled whenever the person acquires a disqualification. Application for renewal have to made at least thirty day before the expiry of the license, along with the renewal fee of Rs. 250. If the application is not made at least thirty day before the expiry. But is made before the date of expiry of license. An additional fee of Rs 100 is payable. If the application made after date of expiry, it would be normal be refunded. Prior to renewal of the license, the agent should have completed at least 25 hrs practical, training in life or general insurance business or at least 50 hrs practical in life and general insurance business in the case of composite insurance agent. To know the acceptability of private insurance sector we interviewed the agent of various private insurance companies and they are the person who is in contact with the consumers and best to tell about accept ability.

Selection and Training of Agents:-

The NGO partner is enlisted on the basis of recommendations

from donor agencies and others in the Indian development

community. Once the NGO partner is selected, Birla Sunlife asks

then GO to draw a list of appropriate persons based on a Birla

Sunlife’s profile of ideal microagents.For example, the criteria for

the selection of a CRIG leader include:

1. Must be a resident of the community in which she will sell and

service policies.

2. Preferably having passed the 12th school year or at least the

10th—this is to insure that she is eligible to be licensed (an IRDA

requirement).

3. Married: Since MI is long-term commitment to policyholders, an

unmarried Ringleader may migrate to her (future) husband’s

village, leaving the CRIG and the policyholders in the lurch.

4. Ability to write English: Since the underwriting at the head

office is in English, it is imperative that the proposal forms are

filled in English.

5. Good track record of integrity: Money handling is integral part

of her duty as a leader.

6. Effective leadership qualities: She has to manage a group of 4

other women.

7. Public speaking ability: She will be required to address large

gatherings to promote Birla Sunlife’s products.

8. Training skills: Since she is the only one trained on insurance,

she has to train the other four.

9. Must have a positive influence among the target market. Each

leader, in her area, should preferably be a woman who is admired

for her integrity, forward looking, and progressive nature, and

must be able to use this influence to enable her CRIG members to

achieve their targets.

10. Preferably, she should have some previous work experience in

the social sector.

This profile is constantly updated to reflect new learning from

operations across the country. On reflection, the skills required to

become a CRIG leader are considerable and may restrict the

replication of the model in states with a scarcity of such skills

among the rural poor, especially women.

Once Birla Sunlife has a list of candidates, they take a written test

to assess whether they have the comprehension and analytical

skills required for the job. This examination is mandated by the

regulator and it’s conducted by an external examiner. The

successful candidates then go through three days of micro

insurance product training where they learn about administrative

processes.

After being licensed and forming their CRIGs, the agents start

selling. Three months into their insurance careers, most agents

qualify for a soft skills development programmed that

Birla Sunlife refers to as the retraining module. There are three

retraining modules held over a period of a year and each lasts

three days. These modules impart basic knowledge on retail

finance including insurance, analyzing company data, advice on

objection handling, teambuilding, communications development,

leadership practices, as well as general instruction on the

relevance of micro insurance to the poor. Training is also provided

on computer usage, particularly the Internet to facilitate the use

of the agent’s portal. The entire programmed is in vernacular and

based on activities and role plays.

Claim Settlement Process:-Birla Sunlife’s micro insurance products were designed to require

almost no underwriting. The Birla Sunlife’s micro insurance

products were designed to require almost no underwriting. The

thought behind this was that underwriting all applicants is more

expensive then verifying a few claims extensively. While this

saves costs, claims rejections cause ill will. Such ill will could be

avoided through more underwriting. The claims requirements for

a policyholder are as follows: Good and Bad Practices in Micro

insurance Birla Sunlife.

Completed claim form by beneficiary/policyholder, the

micro-agent, and the NGO

Letter from a doctor as to the cause of death

Death Certificate (or Certified Death Register Extract in lieu

of it)

Original policy document

Relevant hospitalization records and relevant government

records. Additional specified

documents such as, in the case of an accidental death, a first

incident report from a local

police station that indicates that the death was a result of an

accident.

Verifiable identity documents of insured and beneficiary

The policyholder’s beneficiary, through the Agent/NGO, couriers these documents to the Icici Prudential Office.

The claim process is as follows:

Birla Sunlife branch verifies claim documents (collected

monthly from the NGO)

Birla Sunlife Branch sends documents to home office at

Mumbai

Claims are be settled by cheque in the name of the

beneficiary.

NGO ensures receipt of the claim by beneficiary and liaises

with a local bank to open account.

At present, claims processing has been brought down to 30 days

from receipt of a claims form to settlement. This is still longer

then it would take if the NGO settled the claim and then claimed

from the insurer. This lengthy process does not help the client

with immediate expenses that result from the death. In addition,

as many do not have bank accounts, there may be additional

delays and transaction costs for the client to cash the cheque.

The NGO partner typically assists the beneficiary with opening a

bank account. This is to comply with insurance law that requires

that the insurance company settles directly with the client, not

through an agent.

Research

Methodology

Meaning Of Research:-

Research is common parlance reference to search of knowledge.

One can also define research as scientific and systematic search

for pertinent information on specific topic. In fact research is a art

of scientific investigation Research is an academic activity and as

such the term should be used in technical sense. According to

Clifford woody research comprises defining and redefining

problems, formulating hypothesis or suggested solution;

collecting, organizing and evaluating data; making deduction and

reaching conclusion; and at last carefully testing the conclusion to

determine whether the fit the formulating hypothesis.

Title Of Research:-

Title of research is under taken is acceptability and perception in

private insurance sector and recruitment of Insurance Advisor for

Birla Sunlife insurance who are an authorized salesmen for

insurance acts on behalf of company. Making business is the main

motto of every organization in today’s scenario insurance sector

is emerging with good business opportunities; so all companies

are penetrating in insurance sector to make more profit. Today

insurance is not govern by public organization but private

companies are also coming big way. The recruitment process is

rational it is difficult to search for an likely advisor who fulfill all

optional and mandatory parameters to be an Insurance Advisor.

Although we face various problem regarding seeking information

about target or to whom we had to and hoe to approach but the

co-operation from various friends, colleagues and specially the

staff we have completed our work with satisfaction.

Objectives Of Research:-

This Research focus on the acceptability and market perception of

the private insurances sector regarding the various insurance

policies and recruitment procedure adopted by Birla Sunlife

Insurance Co.

Objectives of the research are :-

To Find out Advisors for Birla Sunlife Who well suited to the

criteria of likely advisor?

To know the extent to which public rely on private insurance

sector.

To find and analyze the effectiveness & pitfalls recruitment

procedures of Birla Sunlife Insurance Co.

It was a descriptive research as it covers both widespread

objectives based on both primary and secondary data. We

collected data through various seminar, clubs meeting and public

joints. To know acceptability above private insurance we

interviewed existing advisor and some customers.

Significance Of Research:-

Every one put his/her time money effort because of some signification.

TO Birla Sunlife Insurance Co - As bank got valuable data

regarding acceptability of private insurance sector and pitfall

of private insurance in the private insurance in the insurance

industry. Now the insurance company can take some

significant steps in the direction of increasing this market

share secondly Birla Sunlife life got appropriate advisor, in

their team who work dedicatedly for the company.

To The Student:-It also has a lot of significance to me we got

the previous knowledge about various function of insurance

companies, their product and data regarding. The various

services, benefits provided by the companies. It helps us in

identifying, targeting and segmenting the potential area. It

will help us in my future for the practical application in real

life.

Research Design:-

A research design is the arrangement of condition for collection

and analysis of data in a manner that aims to combine relevance

to the research purpose with economy in procedure. In fact the

research design conceptual structure with in research is

conducted.

Swot Analysis

Strength:-

Financial rating of companies

Flexibility of plans

Highly co-operative & skilled staff.

Sales oriented organization.

Aggressiveness of sales force in selling products.

The company has expertise in managing big business.

Effective and wider distribution network.

Product designed for each age group & every area of

personal.

Birla Sunlife provide unique training program for insurance

advisor called product training

The company enjoys a very high brand loyalty & recall

value among its customer.

The company has a presence in all metros as well as in

most of the major cities in country.

Weakness:-

Less coverage in rural areas.

Less staff

Lack in making follow – up.

Lack of corporate agent.

Lack of customer services.

Lack of promotional activities.

Opportunity:-

There is continuous growth in insurance sector and rural

market is still untapped.

People have started Turing towards private insurance

sector as they know that security and growth of money is

better then another insurance company.

Government has also started investing in private

insurance sector.

Market is fully to capture because the branch has recently

set up its business so there is growth chances in the Kota

market.

Threats:-

Competition in insurance sector is increase sing with the

entry of private giants like HDFC Standard life , Tata - Aig ,

Bajaj Allanze, Sahara, Gic, LIC etc.

Continuous follow up of the client and customers by the

other insurance companies.

As LIC has strong market position so it is little bit difficult to

capture the market.

Customer is still find risky to place its money in private

insurance sector.

Conclusion

Conclusion:-

Being a trainee at Birla Sunlife Insurance Co Kota, the project of

‘Analyzing the Segment of Recruiting Advisors’ concludes with the

following:

Recruitment procedure of advisors is simple and effective.

Recruitment of advisors is effective but there high employee

turnover due to target pressure. so recruitment are open

around the year.

Most of Advisors are from commerce back ground.

Charted accountant is the most effective person in the

insurance market.

Students working at BSLI is more influenced with pinnacle

programs.

The distribution network of BSLI is spreading like a fire in

jungle.

In Kota district the awareness about the company & its

working is poor in Rajasthan.

Advisors are getting motivated with the various programs

and new rewards given by the company for their

performance.

Recruitments are sometimes based on the influence.

This sector has more opportunity to grow in Rajasthan, still big

part of rural Rajasthan is untapped.

Suggestions

Suggestions:-

Advisor should be given more training time to time to have

better knowledge for change in market.

Mass insurance policy should be launched

Untapped areas should be cover.

There are more than 75 crores population in villages. This

represents a vast potential.

Advisor should be supervise regularly so that their work can

be improved and made effective and efficient.

The advisor should be keeping in constant touch with his

policy holder to become aware of the change in his situation

including marriage. Death of relatives. Releases of

mortgages.

Any one of them may necessitation some changes like title

to policy moneys or more insurance. The contact conveys a

message that agent and company cares for the policy holder

and the family mouth publicity it increase acceptability.

Private insurance companies should highlight that they are

managed privately but completely governed by IRDA.

To capture major chunk of business they need to open more

branches in sub urban so that they can fulfill all need of

customers.

Perspective customers should make more aware about the

policies through advertising and promotional activities.

Bibliography

Bibliography:-

1. www.Birlasunlife.com

2. www.Google.com

3. IRDA Journal 2006

4. Business world may 2006

5. Company Quarterly report.

6. Product Broachers.

7. Hindustan times.