A

Project Report On

Recruitment and Selection process

AT

SUBMITTED TO
UNIVERSITY OF PUNE
BY

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

Sinhgad Institute of Management,

Pune-411041

DECLARATION

I, the undersigned, hereby declare that the Project Report entitle STUDY OF
RECRUITMENT

AND

SELECTION

FOR

BAJAJ

INSURANCE

COMPANY written and submitted by me to the university of Pune, in partial

fulfilment of the requirements for the award of degree of Master in Personnel
Management under the guidance of PROF.SHUBHANGEE RAMASWAMY is
my original work and the conclusion drawn therein are based on the material
collected by myself.

Date
KINKER

KRISHNA

Place

ACKNOWLEDGEMENT

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

TABLE OF CONTENTS
Chapter No.

Chapter name

Page No

Executive Summary

5-9

1.

Introduction

10-11

2.

Company Profile

12-47

3.

Objective of study

48-49

4.

Review of Literature

50-56

5.

57-61

6.

Research Methodology
Data Analysis And
Interpretation

7.

Observation And Findings

76-77

8.

Suggestion Recommendation
And Conclusion

78-80

Bibliography

81-82

Annexure

83-86

62-75

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

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

COMPANY PROFILE
BAJAJ Allianz Life Insurance Company is a joint venture between
two leading conglomerates,

Bajaj Auto Limited, one of largest

manufactures of motorcycles and scooters in the world, and Allianz AG of

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

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

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

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

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

2. Cost of recruitment can be reduced by the help of e-recruiting and by

employees referral as this practice of recruitment is considered the least in the
company.

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

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

4. On campus recruitment should also be considered for recruitment of personnel

from various colleges and business school.

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

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

Employees are treated well and they are satisfied

All the employees gets the recreational facilities

CHAPTER 1

INTRODUCTION

10

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

Scope of the Study:

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

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

11

CHAPTER 2

COMPANY PROFILE

12

INTRODUCTION OF BAJAJ ALLIANZ INSURANCE COMPANY.

COMPANY HISTORY

BAJAJ Allianz Life Insurance Company is a joint venture between

two leading conglomerates,

Bajaj Auto Limited, one of largest

manufactures of motorcycles and scooters in the world, and Allianz AG of

Germany one of the largest insurance companies. Bajaj Allianz Life
Insurance Co. Ltd. was incorporated on 12th March 2001. The company
received the Insurance Regulatory and Development Authority (IRDA)
certificate of Registration (R3) No 116 on 3rd August 2001 to conduct Life
Insurance business in India.
Bajaj Allianz Shareholder Capital Base stands at Rs. 500 crore with
Bajaj Auto Limited and Allianz AG of Germany holding 74% and 26%
stake respectively. It is the largest private player in the Insurance Industry
in India with a market share of around 34% amongst the private companies
and second to LIC. The total market share of Bajaj Allianz as of 31st March
2006 is at 12%.
13

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

BAJAJ AUTO LTD.

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

14

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

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

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

Experience in the financial services industry through Bajaj Auto Finance

Ltd
15

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

ALLIANZ AG- A GLOBAL FINANCIAL POWERHOUSE

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

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

12th largest corporation in the world

49.8 % of global business from Life Insurance

Established in 1890, 110 yrs of Insurance expertise

17

PRODUCT PROFILE

18

CHILD CARE

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

CHILD CARE PLAN OFFERS

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

START OF LIFE BENEFIT

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

IN-BUILT BENEFITS

A) PREMIUM WAIVER BENEFIT:

In case of death or Accidental Total Permanent Disability of the
policyholder during the premium payment term, all future premium
payments are waived. This benefit will not be available in the event of
accidental permanent total disability after age 65 of the policy holder.
B) FAMILY INCOME BENEFIT:
In case of death or accidental total permanent disability of the policy
holder during the term of the policy, a monthly income benefit of 1% of the
sum assured (12% per annum) becomes payable till the end of the policy
term (subject to a maximum of Rs. 1,20,000 per annum). This benefit will
20

not be available in the event of accidental permanent total disability after age
65 of the policy holder.

C) OPTION TO PURCHASE FURTHER INSURANCE AT MATURITY:

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

For Child Care 21 and Child Care 21 Plus: The minimum guaranteed
payouts are as follows:
Policy Anniversary
following

18

19

20

21

25%

25%

35%

completion of Age
Payout as % of Sum
Assured

20%
Accrued

Bonuses

For Child Care 24 and Child Care 24 Plus: The minimum guaranteed
payouts are as follows:
21

Policy Anniversary
following

18

20

22

24

25%

25%

40%*

completion of Age
Payout as % of Sum
Assured

25%
Accrued

Bonuses

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

payout period.

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

Age
Below 7 years

Payout
Premiums paid will be refunded without
interest and the policy will terminate.

Above 7 years and

Sum assured with accrued bonuses will be

below 18 years

paid and the policy will terminate.

Above 18 years and

Outstanding payouts will be paid as one lump

below 24 years

sum and the policy will terminate.

22

HOW TO GET STARTED?

This gets started by opening an account with a minimum premium of:
Rs. 5000/- p.a. for annual mode.
Rs. 2500/- p.a. for half-yearly mode.
Rs. 2000/- p.a. for quarterly mode.
Rs. 700/- p.a. for monthly mode.
AGE LIMITS
Eligibility

Child Care 21 and

Child Care 24 and

Conditions

Child Care 21 Plus

Child Care 24 Plus

20

20

50

50

13

13

Rs.4850

Rs.4850

18

18

Minimum age of the

policyholder
Maximum

age

of

age

of

age

of

policyholder
Minimum
child
Maximum
child
Minimum Premium
Minimum Premium
Payment Term
Maximum Premium
Payment Term

23

Maximum

age

of

child at maturity
Maximum
Assured

Sum

21

24

Rs. 50,00000

Rs. 50,00000

NEW UNIT GAIN PLUS Vs LIC BIMA PLUS

FEATURES

NEW

UNIT

GAIN

LIC

BIMA

PLUS

PLUS

Age

0-60 years

12-56 years

Term

Choice

rests

minimum

with

period

10 years

of

payment of 3 years.

Minimum sum assured is

5 times the premium
paid.

Maximum

sum

Maximum limit
up to
Rs. 2 lakhs.

assured is as per the

limits set per age bands.

24

Sum Assured

Survival

Value of Fund at Bid

Bid value of

Benefit

Price

the fund units

along

with

maturity bonus
at 5% of the
Sum Assured.

Death
Benefit

Higher the Sum Assured

Death

or

the

value

of

units.

during
1st

However, the value of

months-

units will treat as death

of SA + value

benefit

Life

of units, next 6

Assured is > 7 years or <

months 60%

70 years.

of SA + value

if

the

30%

25

of units. Death
after 1st yearSA +value of
units.

Death

during the 10th

year- 105% of
SA + value of
units.

Withdrawal

Partial

or

complete

Premature

Benefit

withdrawals at bid price

withdrawal

after3rd year.

allowed

year(after
applying

bid-

offer spread).

Contribution

Minimum:

Rs.

Not specified.

Only an increase in

Not available.

15,000 p.a

Flexibility

to

increase/decrease

contribution

contribution

allowed.

is

26

Investment

Equity Fund, Debt

Balanced,

options

Fund,

Secured & Risk.

Balanced

Fund, Cash Fund.

Increase/Decrease

Available.

Not available.

Bonus Points

Not Available.

Not available.

Top-up

Available.

Available

of death benefit

(charges:

1.5%

of the top-up).

Switch

free

switches

No

free

every policy year.

switches.

Cost

Subsequent

of switches is

switches would be

2% of the fund

charged @1% of

value.

switch amount or
Rs. 100 whichever
is higher.

Surrender Value
27

A selling/purchase

Partial surrender

price spread of 5%

up to 50% of bid

will be applicable

value of units

from the 3rd year

allowed after 3

onwards.

years from the

date

of

commencement.

Automatic Cover

Available after the

Continuance

3rd policy year.

Initial charge

Charges :

Not available.

Not disclosed

1st Year- 24% ; 2nd

Year-3%
3rd Year- 3%. No
charges grom 4th
year onwards.

Admin charges

Annual

admin.

Charges of 1.25%
of net assets.
28

Other charges

Transaction charge

Not applicable.

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

Bid-offer spread

The

bid-offer

Not applicable.

spread is 5% of the
offer price.

Fund

Annual investment

management

charge of 1% p.a.

Charge

of net assets.

Riders

ABR/

per annum

ADBR

CI/Hospital

1% of the fund

Cash

Benefits.

In

Built

Accident
Benefit.

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.

29

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

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

30

 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.
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.
31

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

Upgrades your capability and knowledge through sophisticated training

programs customised for the changing world of financial products and
markets

Desired Profile:
32

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

RECRUITMENT PROCESS OF ADVISORS :

Natural Market:
33

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
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
34

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+ 3 POINT
GENDER
MALE 2 POINT
FEMALE 3 POINT
QUALIFICATION
UNDER GRADUATION 1 POINT
POST GRADUATION 2 POINT
35

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

Gender-Male

Qualification-Graduation

Marital Status-Married

Living in the city-For 15yrs

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

CONTACTING

36

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:
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%.
37

CAREER SEMINAR AND P200

All the prospects are required to attend career seminar at Bajaj Allianz
which provides broader aspects of growth as an Agent Advisor.
P200 is a worksheet which is given to each prospect to judge his natural
market. The prospects are required to mention at least 100 contacts from
their natural market.
CAREER INTERVIEW
P200 is evaluated in Career Interview. If candidates market is found
worth,he is selected to attend training and Development programme.
FCS
All the selected candidates are required to attend 22 day training session
forreceiving the license from IRDA to become an Agent Advisor.

CONTRACT

38

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

Fail

Exit

Pass

Product Training

39

Traditional Pr.

ULIP Product

Internal Assessment

Fail

Exit

Pass

Certification

JOB DESCRIPTION FOR ADVISORS

40

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

BASIC COMMISSION

41

First year Commission payable on regular premium conventional policies issued

on or after 21st march 2007
Name of the plan

1st year

Endowment Assurance plan

Money Back plan

commission
40%
40%

Childrens plan

40%

Term Assurance plan

25%

Lone cover Term Assurance plan

25%

Personal Pension Plan

7.5%

RENEWAL
COMMISSION:

Renewal commission would be paid from the 2 nd year onwards on regular

premium policies. Renewal commission is not payable on single premium
plans.

Name of the plan

Renewal commission 2nd

year onwards

Endowment Assurance plan

5%

Money Back Plan

5%

Childrens plan

5%

Lone cover Term Assurance Plan

5%

Term Assurance plan

5%

Personal Pension Plan

2%

42

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

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%
43

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
44

Gold Medal-Worth Rs 25,000(approx)

GLOBAL STAR

Converted premium of 24 Lacs

Gold Medal-Worth Rs 60,000(approx)

Extra Payouts for STAR Performers

Star Performers Club
Status
Bronze
Benefits
1%max
Rs.5999
Additional status

Silver
2.5%,max
Rs.37499
0.50%

Glod
5%,no upper

Centurion
Graded-

limit

4.5%to8.5%

1.00%

1.50%

retention Bonus

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
45

 Mobile Phones
Laptops
Cars etc.

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.

46

 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

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.
48

OBJECTIVES OF THE STUDY

1. To study the recruitment & selection procedures prevailing in the company.
2. To know the employees view on the recruitment and selection and selection
procedures of the company.
3. To evaluate the effectiveness of various recruiting technique & sources
thereby to increase the effectiveness of existing system by adopting
appropriate recruitment method.
4. To increase the organizational efficiency in short term and long term by
adopting appropriate recruitment methods.

49

CHAPTER 4
REVIEW AND LITERATURE

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.

50

To Recruit Means To Enlist, Replenish Or Reinforce.

Recruitment begins by specifying the human resource requirements, initiating
activities and actions to identify the possible sources from where they can be met,
communicating the information about the jobs, term and conditions, and
prospectus they offer, and enthusiast people who meet the requirement to respond
to the initiation by applying for the jobs.

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

RECRUITMENT PROCESS
Personnel
human
resource
planning
Developing
source of
potential
employees

Recruiting
needed
personnel

Search for
potential
employees

Selecting
qualified
personnel

Placing
new
employee
s on job
Evaluation
Recruitment
Effectiveness

Upgrade in
same position

51

Internal
source

Personnel
research

Transferring to
new job

Job Positioning
Promoting to
higher
responsibility

External
fyg
sources

Employee
referrals
Advertising

Evaluation for
selection

Scouting

Recruitment Needs Are Of Three Types:

1

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

organization and retirement policy.

Resignations, deaths and accidents and illness give rise to unexpected

needs.

Anticipated needs refer to those movements in personnel which an

organization can predict by studying trends in the internal and external
requirements.

52

SELECTION PROCESS

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

53

STAGES OF RECRUITMENT AND SELECTION

54

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
55

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)

56

CHAPTER 5

RESEARCH METHODOLOGY

RESEARCH:
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.
57

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.

Secondary Data by:

Individual File
58

They contain record of every employees along with their

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

SAMPLE UNIT
The sample unit consisted of all the departments of Bajaj Allianz Insurance
Company.
59

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.

RESEARCH PROCESS
60

61

CHAPTER 6
DATA ANALYSIS AND INTERPRETATION

Introduction To Data Analysis

The data used therein has been collected through the interview technique as
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.
62

Data Presentation and Analysis

1) When does the Recruitment Process start?

63

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

2. Relevant Importance given to different sources of Recruitment

64

Sources of Job

Employee Internal

Recruitment Sites

Referrals

Transfers

15%

18%

12%

Campus

Agencies WalkIns

7%

43%

5%

Respondent

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.

65

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

3. Different Internal Sources of Recruitment

Sources of Data

Employee Promotion Transfer

Recruitment Bank

Referrals

36%

39%

19%

6%

Respondent

Sources of Recruitment

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

4. Basis of Transfer/Promotion
66

Sources

of Seniority

Merit

23%

77%

Recruitment
% Respondent

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.

67

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.

6.

Satisfaction with Selection process

68

Level

of Excellent

Very Good

Good

Average

Poor

Very Poor

19%

42%

9%

3%

4%

Satisfactio
n
%

23%

Respondent

Level of Satisfaction

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

7. Different Variable While short listing CVs

69

Variables

Sources Experience Academic

Addss

of CV

Consistenc

Certification Curricular

Courses

Activity

19%

28%

6%

of 37%

10%

Extra

Respondent
Variables While Short Listing CVs

The source of the CV has a major role in the CV getting short listed. Mostly it
happens that the CVs received through agencies and job sites are those that fit into
the tailor made needs of the position.
The highest rated of any CV is the relevant experience possessed by the candidate,
expect in the cases of trainee positions.
70

8. Respective Values of the Component in Technical Interview

Component Technical
s

Applicatio

Knowledge n

Innovativeness Presence

of

of Mind

Knowledge
Values in %

69%

8%

12%

11%

Components of Technical Interview

71

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

72

Components

Communicati Attitud Stability Leadershi Overall

on Skills

Team

p Abilities Personalit Spirit

y

Values in %

28%

31%

10%

8%

11%

12%

Components of HR Interview

73

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

10. Criteria for Salary fixation

Criteria

Experience / Previous

Expected

Rules

&

Qualification Salary

Salary

Policies of
Company

Values in 23%

38%

12%

27%

Criteria for Salary Fixation

74

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%.

75

CHAPTER 7

OBESERVATIONS AND FINDINGS

OBSERVATION AND FINDINGS:

76

1. The data banks are not properly maintained.

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

77

CHAPTER 8
SUGGESTION/RECOMMENDATION AND
CONCLUSION

SUGGESTION

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.

78

2. Cost of recruitment can be reduced by the help of e-recruiting and by

employees referral as this practice of recruitment is considered the least in the
company.

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

4. On campus recruitment should also be considered for recruitment of personnel

from various colleges and business school.

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

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

79

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

80

Bibliography

Books : Kothari,C.R.
Research Methodology,
Delhi,
New Age International Pvt. Ltd.
2nd Revised Edition, 2007
Ashwathapa, K
81

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

82

Annexure

ANNEXURE
Questionnaire

1.

When does the recruitment process start?

83

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

c. Promotion
d. Transfer

84

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.

7.

Are you satisfied with selection process?

a. Excellent

b. Very good

c. Good

d. Average

e. Poor

f. Very poor

What are the criteria for short listing the CVs?

a. Source of CVs

b. Experience

c. Academic consistency

d. Additional certification course

e. Extra curricular activities

85

8.

Which component do you feel are important while taking Technical

Interview?

9.

a. Technical knowledge

b. Application of knowledge

c. Innovativeness

d. Presence of mind

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

Interview?

10.

a. Communication skills

b. Attitude

c. Stability

d. Leadership abilities

e. Overall personality

f. Team sprit

What are the criteria for Salary fixation?

a. Experience/Qualification

b. Previous salary

c. Expected salary

d. Rules and policies of company

86