recruitment project on life insurance co

7/27/2019 Recruitment project on life insurance co.

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A PROJECT REPORT

ON

Alternate sources of Recruitment

SUBMITTED TO

IIPM College,

Ahmedabad

BY

Devpratapsinh ValaISBE batch

SS 12-14


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CERTIFICATE

Date:-

Place:-

DECLARATION

I hereby declare that the project titled Alternate source of recruitment is an original

piece of research work carried out by me under the guidance and supervision of Mr.

Harikrushna Sarvaiya. The information has been collected from genuine & authentic

sources.


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Place:

Date: Devpratapsinh Vala


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ACKNOWLEDGEMENT

I express my sincere thanks to my project guide Mr. Harikrushna Sarvaiya, HR at AEGON

Religare Life insurance company for guiding me right from the inception till successful

completion of the project. I sincerely acknowledge him for extending their valuable guidance,

support for literature, critical review of project and the report and above all the moral support

they had provided to me with all stages of this project.

My thanks are due to all those who have helped me directly or indirectly in preparing this

project report. However, I accept the sole responsibility for any possible error of omission and

would be extremely grateful to the readers of this project if they bring such mistakes to my

notice.


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Executive Summary

In todays rapid changing business environment, organizations have to respond quickly to

requirement for people. The market has been witnessing growth which is manifold for last fewyears. Many players have entered threw economy thereby increasing the level of competition.

The competitiveness of the company of an organization is measured through his quality of

products and services offered to customers that are unique from others.

The best services offered to the consumers are result of the genius brains working behind them.

Human Resource in this regard has become an important function in any organization. All

practices of marketing and finances can be easily emulated but the capability, the skills and

talent of a person can be emulated. Hence it is important to have a well defined recruitment

policy in place, which can be executed effectively to get him best fits for the vacant positions.

Selecting the wrong candidate or REJECTING the right candidate could turn out to be costlymistake for organization. Therefore a recruitment practice in an organization must be effective

and efficient in attracting the best manpower.


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INDEX

Topic Page number

Introduction 8-9

Insurance 10-13

Objective 14-15

Research Methodology 16-18

Company Profile 19-24

Literature Survey 25-36

Recruitment 37-59

My job at AEGON Religare Life insurance 60-62

Data Analysis 63-76

Conclusion 77-78

Suggestions 79-80

Annexure83-87


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INTRODUCTION


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INTRODUCTION

Human Resource is a basic need of any work to be done. According to A R T HUR

LEWIS:

There are great differences in developmentbetween countries which seem to

have roughly equal resources, so it is necessary to enquire

into the difference Inhuman behaviors

The project report is all about recruitment and selection process thats an important part

of any organization.

Recruitment highlights each applicants skills, talents and experience. Their selection

involves developing a l is t of q ua li f i ed ca n di da te s , d e fi n in g a selection

s t r a t e g y , identifying qualified candidates, thoroughly evaluating qualified candidates

and selecting the most qualified candidate.

It is said if right person is appointed at right place the half work has been done. In

this project I have tried to cover all the important point that should be kept in mind

and have conducted a research study through a questionnaire that I got it filled and

tried to find out which methods and various other information related to recruitment.


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Insurance


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The story of insurance is probably as old as the story of mankind. The same instinct that

prompts modern businessmen today to secure themselves against loss and disaster existed inprimitive men also. They too sought to avert the evil consequences of fire and flood and loss of

life and were willing to make some sort of sacrifice in order to achieve security. Though the

concept of insurance is largely a development of the recent past, particularly after the industrialera past few centuries yet its beginnings date back almost 6000 years.

The first two decades of the twentieth century saw lot of growth in insurance business. From

44 companies with total business-in-force as Rs.22.44 Crore, it rose to 176 companies with

total business-in-force as Rs.298 Crore in 1938. The Insurance Act 1938 was the firstlegislation governing not only life insurance but also non-life insurance to provide strict state

control over insurance business.

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

1818: Oriental Life Insurance Company, the first life insurance company on Indian soil startedfunctioning.

1870: Bombay Mutual Life Assurance Society, the first Indian life insurance company started

its business.

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 are taken over by the centralgovernment and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a

capital contribution of Rs. 5 Crore from the 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 inCalcutta 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.


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1968: The Insurance Act amended to regulate investments and set minimum solvency marginsand 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.

With largest number of life insurance policies in force in the world, Insurance happens to be a

mega opportunity in India. Its a business growing at the rate of 15-20 per cent annually andpresently is of the order of Rs 450 billion. Together with banking services, it adds about 7 per

cent to the countrys GDP. Gross premium collection is nearly 2 per cent of GDP and funds

available with LIC for investments are 8 per cent of GDP.

Yet, nearly 80 per cent of Indian population is without life insurance cover while healthinsurance and non-life insurance continues to be below international standards. And this part of

the population is also subject to weak social security and pension systems with hardly any old

age income security. This itself is an indicator that growth potential for the insurance sector isimmense.

A well-developed and evolved insurance sector is needed for economic development as it

provides long term funds for infrastructure development and at the same time strengthens the

risk taking ability. It is estimated that over the next ten years India would require investmentsof the order of one trillion US dollar. The Insurance sector, to some extent, can enable

investments in infrastructure development to sustain economic growth of the country.

India came 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 the360 degree turn witnessed over a period of almost two centuries.

Present Scenario

The Government of India liberalized the insurance sector in March 2000 with the passage of

the Insurance Regulatory and Development Authority (IRDA) Bill, lifting all entry restrictionsfor private players and allowing foreign players to enter the market with some limits on direct

foreign ownership.

The opening up of the sector is likely to lead to greater spread and deepening of insurance in

India and this may also include restructuring and revitalizing of the public sector companies. Inthe private sector 14 life insurance and 8 general insurance companies have been registered. A

host of private Insurance companies operating in both life and non-life segments have started

selling their insurance policies..

Life Insurance Market

The Life Insurance market in India is an underdeveloped market that was only tapped by the

state owned LIC till the entry of private insurers. The penetration of life insurance products


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was 19 percent of the total 400 million of the insurable population. The state owned LIC soldinsurance as a tax instrument, not as a product giving protection. Most customers were under-

insured with no flexibility or transparency in the products. With the entry of the private

insurers the rules of the game have changed.

The 12 private insurers in the life insurance market have already grabbed nearly 9 percent ofthe market in terms of premium income. The new business premiums of the 12 private players

have tripled to Rs 1000 Crore in 2002- 03 over last year. Innovative products, smart marketing

and aggressive distribution. That's the triple whammy combination that has enabled fledglingprivate insurance companies to sign up Indian customers faster than anyone ever expected.

Indians, who have always seen life insurance as a tax saving device, are now suddenly turning

to the private sector and snapping up the new innovative products on offer.

The private insurers also seem to be scoring big in other ways- they are persuading people totake out bigger policies. Buoyed by their quicker than expected success, nearly all private

insurers are fast- forwarding the second phase of their expansion plans.

Major Insurance Players

Licenses have been issued for the following companies

HDFC Standard Life Insurance Company Limited

Birla Sun Life Insurance Company Limited

TATA AIG Life Insurance Company Limited

Max New York Life Insurance Company Limited

SBI Cardiff Life Insurance Company Limited

ING Vysya Life Insurance Company Limited

Bajaj Allianz Life Insurance Company Limited

MetLife Life Insurance Company Limited

AEGON Religare Life insurance Company Limited

AMP Sanmar Life Insurance Company Limited


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Sahara India Life Insurance Limited

Sri Ram Life Insurance Limited


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OBJECTIVE


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OBJECTIVE

Every task is undertaken with an objective. Without any objective a task is rendered

meaningless. The main objectives for undertaking this project are:

To understand the internal Recruitment process at Aegon Religare Life Insurance

To identify areas where there can be scope for improvement

To give suitable recommendation to streamline the hiring process


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RESEARCH

METHODOLOGY


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REASERCH METHODOLOGY

The insurance sector is marked with a high level of attrition and therefore recruitment

process becomes a crucial function of the organization. At AEGON Religare Life Insurance,

recruitment is all time high during March-May and Oct-Nov. The attrition is high among the

sales managers, unit mangers mostly in the sales profile. The recruitment is high during these

months due to the fact that May and September are half year closing and business is high

during Jan-Mar. Thus it is only after March that people move out of the companies.

Since my summer training was in the months of March-May, it gave me the opportunity

of involving myself directly with the recruitment process and analyzing the process so that

suitable recommendations can be given. This project is centered on identifying best hiring

practices in the insurance industries. It therefore requires great amount of research work. The

methodology adopted was planned in advance so as to collect data in the most organized way.

My area of focus was the recruitment and selection particularly at AEGON Religare

Life Insurance. I was directly involved with the recruitment for candidates for the sales profile.

I was particularly involved with the sourcing of candidates for the regions in Gujarat such as

Surat, Baroda, Anand and Ahmedabad.

Before any task was undertaken, we were asked to go through the HR policies of

AEGON Religare Life Insurance so that we get a better understanding of the process followed

by them.

The first task was to understand the various job profiles for which recruitment was to be

done.

The next step was to explore the various job portals to search for suitable candidates for

the job profile.

Once the search criteria were put, candidates went through a telephonic interview to

validate the information mentioned in their resume.

A candidate matching the desired profile was then lined for the first round of Face to Face

interview in their respective cities.


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When a candidate cleared his first round, he is then made to take an aptitude test.

I was involved in administering the test

Once the candidate completed his first assessment, his scores were checked. If he cleared

his cut-off he was given another test.

I had the responsibility to make sure that candidates complete all formalities and had to

regularly follow up with them.

Since we received many resumes, it was essential that a database be maintained to keep a

track. It was convenient method than to stock up piles of papers.

The external guide maintained a regular updating of the database.

Understanding what kinds of database are maintained and how they help in keeping a

record.


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COMPANY PROFILE


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Profile

AEGON Religare Life Insurance Company

AEGON, an international life insurance, pension and investment company, Religare, a global

financial services group and Bennett, Coleman & company, India's largest media house, have

come together to launch AEGON Religare Life Insurance Company Limited (ARLI). This

venture is dedicated to build a profitable customer-centric business with scale, provide a work

environment that fosters excellence and innovation. This joint venture will adopt a local

approach with the power of global expertise.

ARLI launched its pan-India operations in July, 2008 following a multi-channel distribution

strategy with a vision to help people plan their life better. The fulfillment of this vision is based

upon having a complete product suite, providing customized advice and enhancing the overallcustomer experience.

ARLI has launched a suite of products that are focused on providing the customer with the

means to meeting their long-term financial goals. At the same time product development has

been founded on the tenet of providing the customer with great value. ARLI products such as

iTerm, iMaximize, Future Protect and Rising Star have been ranked among the best in terms of

value and have attracted many external accolades.

About AEGON

AEGON As an international provider of life insurance, pension and asset management, . With

headquarters in The Hague, the Netherlands, AEGON companies employ over 24,000 peopleserving millions of customers across the globe. In total, the company oversees EUR 458 billion

in revenue-generating investments. AEGONs main operations are in the United States, the

Netherlands and the United Kingdom, but in recent years the company has expanded into new

growth markets in Asia, Central & Eastern Europe and Latin America. AEGON is one of the

largest insurance companies in the United States, and ranks first in the Dutch group pensions

market and third in the UK individual pensions markets. The companys shares are listed on

two major stock markets: Amsterdam and New York. AEGON has more than 160 years of

experience with its roots going back to 1844. AEGON holds 26% equity in ARLI.

http://www.aegon.com
http://www.aegon.com/http://www.aegon.com/


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About Religare Enterprises Limited

Religare Enterprises Limited (REL) is one of Indias leading diversified financial services

groups and offers an integrated suite of financial services including asset management, life and

health insurance, lending, broking, investment banking, and wealth management. ReligareEnterprises is headquartered in New Delhi and is listed on the Bombay Stock Exchange (BSE)

and National Stock Exchange (NSE) in India. Religare is also building an Asia and emerging

markets focused Institutional equities and Investment Banking business and a multi-boutique

global asset management platform to tap the broader opportunities offered by the most

promising emerging markets around the world. REL holds 44% equity in ARLI.

http://www.religare.com

About Bennett, Coleman & Company Limited

Bennett, Coleman & Company Limited (BCCL), The Times Group is Indias largest mediaconglomerate with its flagship Bennett, Coleman and Company Limited (BCCL) being the

largest publishing company in India and South-Asia. Starting off with The Times of India

which is now the largest English publication in the world, BCCL and its subsidiaries (called

The Times of India Group), are present in every existing media platform Newspapers,

Magazines, Books, TV, Radio, Internet, Event Management, Outdoor Display, Music, Movies

and more. With a turnover exceeding a billion dollars, the group has the support of over 25,000

advertisers, 11,000 employees and an audience spanning across all continents. The BCCL

Group holds 30% equity in ARLI.http://www.timesgroup.com
http://www.religare.com/http://www.timesgroup.com/http://www.religare.com/http://www.timesgroup.com/


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Value and Vision


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Life at AEGON Religare Life insurance

Our Talent Philosophy

To attract, develop and retain the right talent to achieve our business plans and vision through a

culture that promotes quality, scale and sustainability.

We Promise

Meritocracy

We ensure that good performance is always recognized and commensurately rewarded. At AEGON

Religare Life Insurance, the sky is the limit for the hard-working and the result-oriented.

Great Work Environment

AEGON Religare Life Insurance has a cheerful, warm and friendly work environment with a lot of

professional freedom and encouragement for creativity and innovation.

Learning And Growth

We constantly create new learning opportunities for our people by way of organizing interesting

seminars, workshops and training programs on a regular basis. Besides, we put people in various

departments to help them develop cross-functional abilities and a more well-rounded professional

experience for better career growth.

Diversity

People from different cultures, backgrounds and walks of life make AEGON Religare Life Insurance a

multi-coloured kaleidoscope with a lot of zing. We gain multi-fold from this diversified experience.

Fun At Work

Life at AEGON Religare Life Insurance is extremely enjoyable. That is, work is interspersed with fun

at regular intervals, parties, community events and other fun activities are part of life at AEGON

Religare Life Insurance.

Come and be a part of the exciting world of AEGON Religare Life Insurance.
http://www.aegonreligare.com/insurance-planshttp://www.aegonreligare.com/insurance-plans


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Management team

K S Gopalkrishnan Chief financial & operating officer

Saibal Ghosh Chief Investment Officer

Yateesh Srivastava Chief Marketing officer & Head- Talent

Debmalya Maitra Head- Audit Risk & Compliance

PK Dinakar Appointed Actuary


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LITRATURE SURVEY


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Meaning of HUMAN RESORCE MANAGEMENT

Human Resource plays a crucial role in the development process of the modern

Economics. ARTHUR LEWI S o bs erv ed

There are great differences in development betweencountries which seem to

Have roughly equal resources, so it is necessary to

enquire into the differenceIn human

behaviors

Human resource management is the management of employees skill, knowledge

abilities, talent, aptitude, creativity, ability etc. different terms are used for denoting

Human Resource Management. They are labor management, labor administration,

labor management relationship, employee employer relationship, industrial

relationship, human capital management, human assent management etc. Though these

terms can be used differently widely, the basic nature of distinction lies in the scope or

coverage and evolutionary stage. In simple sense, human resource management means

employing people, developing their resources, utilizing, maintaining and compensating

their services in tune with the job and organizational requirements.


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Functions of HUMAN RESOURCE MANAGEMENT

Ad ministra tion :

Strategic planning, organizational evaluation, County Board relations,

policy recommendations, supervision of department staff

Benefits :

Health insurance, dental insurance, life insurance, disability insurance,

retirement benefits, vacation, sick leave, paid holidays, section 125 plan, donor

program, educational incentive, uniform allowance, and others.

Co mpe nsa tion:

Salary and benefit surveys, job evaluation, job descriptions evaluation, job descriptions

Em pl oy ee r el a tion s:

Disciplinary processes, incident investigations, complaint/grievance procedures, labor-management relations.


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E mploy ee se rv ice s:

Enrollment in benefits, employee discounts for recreational spots, resolution of

enrollment or claim problems, employee newsletter. Educational assistance, employee

service awards

Fiscal:

Staffing budgets, departmental budget, accounts payable, insurance receivables,

Insurance fund management, total package costing. Insurance receivables, insurance

fund management, total package costing.

Hea lth and sa fety :

Employee assistance, workers compensation claims, drug testing, safety compliance and

training.

Lea v es o f a bsence :

State and/or Federal Family and Medical Leave rights, County approved leaves of

absence, rights upon return to work, light duty assignments for temporary periods.


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Pay ro ll ad minis tration:

Computer-based or manual evaluation systems, supervisory training, compliance with

timeliness standards

Perfo r mance app ra isa l:

Employee files, litigation files, payroll records, safety records and other administrativefiles

Record - ke eping :

Job posting, advertising, testing administration, employment interviews, background

investigations, post-offer employment testing.

Recrui t m en t :

Recruitment is defined as a process to discover the sources of manpower to meet the

requirement of the staffing schedule and to employ effective measures fir meet the

requirement of the staffing schedule and to employ to employ effective measures for

attracting the manpower in adequate numbers to facilitate effective selection of an

effective workforce.


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Selectio n :

After identifying the sources of human resources, searching for prospective employees

and stimulation helps too apply for jobs in an organization, the management has to

perform the function of selecting the right man at right job and at the right time.

Sepa ra tions and t er mi na tions :

Rights upon termination of employment, severance benefits, unemployment

compensation, exit interviews.

Tra ining and dev elo p men t:

County-wide needs assessment, development of supervisory and management skills,

employee training and workshops. Benefits orientation for new and transferring

employees, Supervisory newsletter.

Sa la ry and benefi ts:

Salary/wage plans, employee benefits


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I mpo rtanc e of Hu ma n Reso urce M a nag ement

1: Attract highly qualified and competent people

2: Ensure thats the selected candidate stays longer with the company.

3: Make sue that there is match between cost and benefit.

4: Helps the organization to create more culturally diverse workforce

Whereas, the poor quality of selection means extra cost on training and supervision.

Further on more, when recruitment fails to meet organizational needs for talent, a

Typically response is to raise entry level pay scales. This can distort traditional wages

and salary relationship in organization, resulting in unavoidable consequences. Thus the

effectiveness of the recruitment process can play a major role in determining the

resources that must be expended on other HR activates and their ultimate success.


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Sc o pe of H RM at o r ga niz a tion a l le v el


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Human Resource department

Human resource

department

Recruitment and

Selection Resource allocationTraining and

development


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Hu ma n reso ur ce develo p men t

This department looks after the needs and Requirement the present employees. This

Department includes number of function which are as

Follows:

1. Training and Development it includes technical, soft skills and process related totraining

2. Process and policies it contains all the rule and regulations that need to be followed

by the employees.

3: Appraisal and increment- it is in the formal feedback to the employees about their

performance and the conduct of work.

4: Induction-involves the information to the new employees about the company, job,

departments etc.

5: Motivational act ivi ties and entert ain men t- involves motivat ing the emp loyees

to improve their productivity.

6: Roles and responsibilities-that every individual employee needs to fulfill

7: Key Result Area (KRA) it is the measurement quantifiable of output for the roles of

responsibilities.


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8: Employee separation-includes resignation and dismissal.

9: Joining formalities- take place when a new employee joins the company.

10: Computerization

12: Helpdesk

13: Employee verification-take place at the time of joining of the new employee.

14: Surveys

15: Project trainees

16: Counseling and grievance handling-both are different as counseling is basically

helping out in personal problems whereas, grievances Handling involves the handling of

complains that the employees has towards the management.

All the above head are included in the human resource development and involves the

over all development of individual employees which in turn increases the over all profit

of the company.


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Recrui tment Procedu re ov erview

Manpower Requisition Form

Recruitment Plan

Budget

Sourcing

Selection Process

Joining

Post Recruitment Data Updating


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RECRUITMENT


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RECRUITMENT

Recruitment is hiring of employees from outside. Recruitment has been regarded as the

most important function of the HR department , because unless the right type of people

are hired, even the best plans, organization chart and control system would not do much

good.

Recruitment is the discovering of potential applicant for actual or anticipated

organizational vacancies. Accordingly the purpose of recruitment is to locate sources of

manpower to meet the job requirements and job specification.

It is defined as a process to discover the sources of manpower to meet the requirements

of staffing schedule and to apply effective measures for attracting the manpower toadequate number to facilitate effective selection of an effective workforce

Yo d e r points out that recruitment is a process to discover the sources of manpower to

meet the requirement of the staffing schedule and to employee effective measures to

attracting that manpower in adequate number to facilitate effective selection of an

effective workforce.

E d w in B F l ipp o d ef i n e s recruitment as the process of searching for prospective

employees and stimulating them to apply for the jobs in the organization.

It is the process of finding and attracting capable applicants for employment. The

process begins when new recruits are sought and ends when their application are

submitted. The result is a pool of applicants from which new employees are selected.


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Methods of Recruitment

Recruiting methods into three categories, namely

1: Internal

2: External


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INTERNAL METHOD

1. Present Permanent Employees : Organizations consider the candidates from this source for

higher level of jobs due to availability of most suitable candidates for jobs relatively or equally

to external sources, to meet the trade union demands and due to the policy of the organization

to motivate the present employees.

2. Present temporary/casual Employees: Organizations find this source to fill the vacancies

relatively at the lower level owing to the availability of suitable candidates or trade union

pressures or in order to motivate them on present job.

3. Retrenched or Retired Employees: Employees retrenched due to lack of work are given

employment by the organization due to obligation, trade union pressure etc. Sometimes they

are re-employed by the organization as a token of their loyalty to the organization or to

postpone some interpersonal conflicts for promotion.

4. Dependents of Deceased, Disabled, retired and present employees: Some organizations

function with a view to developing the commitment and loyalty of not only the employee but

also his family members.

5. Employee Referrals: Present employees are well aware of the qualifications, attitudes,

experience and emotions of their friends and relatives. They are also aware of the job

requirements and organizational culture of their company. As such they can make preliminary

judgment regarding the match between the job and their friends and relatives.

6. Campus Recruitment:These candidates are directly recruited by the Co; from theircollege/educational institution. They are inexperienced as far as work experience is concerned.


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EXTERNAL METHOD

1 Private Employment Agencies/Consultants: Public employment agencies or consultants

like ABC Consultants in India perform recruitment functions on behalf of a client company by

charging fees. Line managers are relieved from recruitment functions and can concentrate on

operational activities.

2 Public Employment Exchanges: The Government set up Public Employment Exchanges in

the country to provide information about vacancies to the candidates and to help the

organization in finding out suitable candidates. As per the Employment Exchange act 1959,

makes it obligatory for public sector and private sector enterprises in India to fill certain types

of vacancies through public employment exchanges.

3 Professional Organizations: Professional organizations or associations maintain complete

bio-data of their members and provide the same to various organizations on requisition. They

act as an exchange between their members and recruiting firm.

4 Data Banks: The management can collect the bio-data of the candidates from different

sources like Employment Exchange, Educational Training Institutes, candidates etc. and feed

them in the computer. It will become another source and the co can get the particulars as and

when required.

5 Casual Applicants: Depending on the image of the organization its prompt response

participation of the organization in the local activities, level of unemployment, candidates

apply casually for jobs through mail or handover the application in the Personnel dept. This

would be a suitable source for temporary and lower level jobs.


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6 Similar Organizations: Generally experienced candidates are available in organizations

producing similar products or are engaged in similar business. The Management can get

potential candidates from this source.

7 Trade Unions: Generally unemployed or underemployed persons or employees seeking

change in employment put a word to the trade union leaders with a view to getting suitable

employment due to latter rapport with the management.

8 Walk In: The busy organization and rapid changing companies do not find time to perform

various functions of recruitment. Therefore they advise the potential candidates to attend for an

interview directly and without a prior application on a specified date, time and at a specified

place.

9 Consult In: the busy and dynamic companies encourage the potential job seekers to

approach them personally and consult them regarding the jobs. The companies select the

suitable candidates and advise the company regarding the filling up of the positions. Head

hunters are also called search consultants.

10Body Shopping: Professional organizations and the hi-tech training develop the pool of

human resource for the possible employment. The prospective employers contact these

organizations to recruit the candidates. Otherwise the organizations themselves approach the

prospective employers to place their human resources. These professional and training

institutions are called body shoppers and these activities are known as body shopping. The

body shopping is used mostly for computer professionals. Body shopping is also known as

employee leasing activity.

11. Mergers and Acquisitions: Business alliances like acquisitions, mergers and take over help

in getting human resources. In addition the companies do also alliances in sharing their human

resource on adhoc basis.


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12 E- Recruitment: The technological revolution in telecommunications helped the

organizations to use internet as a source of recruitment. Organizations advertise the job

vacancies through the world wide wed (www). The job seekers send their applications through

e-mail using the internet.

13 Outsourcing: Some organizations recently started developing human resource pool by

employing the candidates for them. These organizations do not utilize the human resources;

instead they supply HRs to various companies based on their needs on temporary or ad-hoc

basis.


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Evaluation of the recruitment method

The following are the evaluation of the recruitment method

1: Number of initial enquires received which resulted in completed application forms

2: Number of candidates recruited.

3: Number of candidates retained in the organization after six months.

4: Number of candidates at various stages of the recruitment and selection process,

especially those short listed.


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Objective of recruitment

1: To attract with multi dimensional skills and experience that suite the present and future

organization strategies.

2: To induct outsider with new perspective to lead the company.

3: To infuse fresh blood at all levels of organization.

4: To develop an organizational culture that attracts competent people to the company.

5: To search or headhunt people whose skill fit the company s values.

6: To seek out non-conventional development grounds of talent

7: To devise methodology for assessing psychological traits.

8: To search for talent globally not just with in the company.

9: To design entry pay that competes on quality but not on quantum.

10: To anticipate and find people for position that doesn t exists yet.

Recruitment represents the first contact that a company makes with potential employees.

It is through recruitment that many individuals come to know about the company and

eventually decide whether they wish to work for it.

The recruitment process should inform qualified individuals about the job so that

applicant can make comparison with their qualification and interest.


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Factors affecting Recruitment

There are two types of factors that affect the Recruitment of candidates for the company.

1: I n t er n a l f a c t o r s: These includes

- Company s pay package

- Quality of work life

- Organizational culture

- Company s size

- Company s product

- Growth rate of the company

- Role of trade unions

- Cost of recruitment

2: E x ter n a l f a c t o r s: These include

- Supply and demand factors

- Employment rate

- Labour market condition

- Political, legal and government factors

- Information system


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Fac tors to be und ertake n whi le f ormu lating rec ru itment policies

The following factors should be undertaken while formulating the policies -

- Government polices

- Recruitment sources

- Recruitment needs

- Recruitment cost

- Organizational and personal policies

Th eories Regard in g Re cru it men t

Recruitment is two way street: it takes a recruiter has a choice whom to recruit, same

way the prospective employee also has taken the decision whether or not to apply for

the given job vacancy. The individual take the decision usually on three different basic:

1: The objective factors

2: The critical contact

3: The subjective factor


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Th e o b j e c tiv e s the o r y views that the process of organizational choice as being one of

weighing and evaluating set of measurable characteristic of employment offers, such

pay, benefits , location, opportunity for advancement, the nature of job to performed,

and education opportunities.

Whereas, the c r itical c o n ta c t the o r y suggests that the typical candidates is unable to

make a meaningful differentiation of organization's offers in terms of objective or

subjective factors, because of his limited or very short contact with the organization.

Choice can be made only when applicant can readily perceive the factors such as the

behaviour of the recruiters, the nature of the physical facilities, and such as the

efficiency in processing paper work association with the application.

On the other hand, the s ubj e c tive theo ry emphasizes the congruence. Here the

choices are made on highly personal and emotional basis.

Recruit ment Pro c ess

The actual steps involved in recruitment follow a well defined path:

Ap p li c a t ion s ho r tlist : In this step, we shortlist the resume received from various sources

based on the suitability for the requirement.

P r e li m in a r y Ass e s s me nt : The short listed candidates go through a preliminary round of

interviews. This interview lays more emphasis on functional competencies. To have more

data on the functional skills, the candidates may be given a business case for analysis and

presentation (This is done for certain positions only).

F in al in t e r vie w : Here the candidates who successfully clear the first round of interview

go through another round of interview with one or more of the functional heads.


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Me d ical Eval u a t io n: Candidates who are selected by Colgate are asked to undergo a

medical test.


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Process

Plan for Hiring

Analyzing vacancies and recruitments

Vacancy due to attritionNew Position

Due diligence & internal

evaluation Present as a business case for

Chairman Approval

Recruitment approval

process

Decision: Should the

position be retained?

Job

positionsMerged

Engineer/MBAs

NO simple

graduates

Stable work

retention history

Salary hike 15-20%

Age as per average

team age

Recruitment approval guidelines

Circle HR sends

recruitment

format to entity


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Entity HR discusses

with Business Head

Corporate HR

for approval

Approval for Hiring:

Preparation starts

Employee Referrals

indicating Employee ID,

Designation

Sourcing

Short-listing

of profiles

Timesjobs.com

Naukri.com

Minor deviations to be

indicated in the

interview assessment

sheet comment box in

BOLD.

# Salary less than 50 %

Of minimum salary.

Preliminary

interview circle HRand at circle level

Final interview at

DAKC

Compensations & job

offers recommended by

Circle to DAKC

Pre joining reference &

Medical checks

Major deviation to beindicated separately as a

non-hiring condition

1. Qualifications not as

per laid norms.

2. Salary expected

higher than max

band.3. Experience less than

laid norms.


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Job offer, Appointment letter &

Confirmation letter

Evaluation of recruitment process

The following are the evaluation of the recruitment process:

1: Return rate of application sent out.

2: Number of suitable candidates for selection.

3: Retention and performance of the candidate selection.

4: Cost of recruitment

5: Time lapsed data.

6: Comments on image projected.


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PHILSOPHIES OF RECRUITEMT

Basically there are two Philosophies of recruitment. These are as follows:

1: REALISTI C JOB PREVI EWS (RJ P)

Realistic Job Previews provides complete job related information to the applicants so that

they can make the right decision before taking up the jobs. It includes positive and the

negative aspects of the job.

2: J OB C O MPA T I B I L I TY Q U EST I O NN A I R E: (JCQ)

Job compatibility Questionnaire was developed to determine whether an applicants

preference for the work match the characteristic of the job. The JCQ is designed to collect

information on all aspects of the job which have a bearing in on employee performance

.absenteeism, turnover and job satisfaction. The underlying assumption of JCQ is that,

greater the compatibility between an applicants preference for the job and characteristic

of the job as perceived by the job seeker, the greater the probability of employee

effectiveness and longer the tenure.


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SELECTION


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SELECTION

Selection is a negative process and involves the elimination of candidates who do not

have the required skills and qualification for the job proposed. Also it is a process of

differentiating between applicants in order to identify and hire those with grater

likelihood of success in job.

The objective of selection decision is to choose the individual who can most successfully

perform the job from the pool of qualified candidates. It is the system of function and

devise adopted in a given company to ascertain whether the candidates specifications are

matched with the job specifications and recruitment or not.

Selection process or activities typically follow a standard patter, beginning with an initial

screening interview and concluding with final employment decision. The traditional

selection process includes: preliminary screening interview, completion of application

form, employment test, comprehensive interview, background investigation, physical

examination and final employment decision to hire.


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Organization for selection

Until recently the basic hiring process was performed in a rather unplanned manner in

many organizations. In some companies, each department screened and hired its own

employees. Many mangers insisted on screening their own employees as they thought no

one else could do that as efficiently as they themselves.

But now selection is centralized and handled by the Human Resource Department. This

type of arrangement is also preferred due to some of these advantages:

- It is easier for the application because they can send their applications to a single

centralized department.

- It facilitates contact with applicants because issues pertaining to employment can

be cleared through one central location.

- It helps operating managers to concentrate on their operating responsibilities. This

is especially helpful during the chief hiring period.

- It can provide for better selection because hiring is done by specialist trained in

staffing techniques.- The applicant is better assured of consideration for a greater variety of jobs.

- Hiring cost is cut because duplication of efforts is reduced.

- With increased governmental regulation on selection process, it is important that

people who know about these rules handle a major part of the selection process.

Ideally, a selection process involves mutually decision making. The organization

decides whether or not to make a job offer and how attractive the job offer should be.


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BARRIERS TO EFFECTIVE SELETION

The main objective of selection process is to hire people having competence and

commitment towards the given job profile. But due to some reason the main purpose of

effectively selecting candidates is defeated. These reasons are:

1: P erception o r the H a lo e f fec t: Many a times the interviewer selects a

candidate according to the perception he has or he made up while talking or

looking at the individual. This way he does not see through the caliber or the

efficiency of the individual and many times it leads to the selection of the wrong

candidates.

2: F a irn e s s: During the selection process the interviewer does not select the

individual on the basis of his knowledge and hence the right type of the candidates is not

selected.

3: P re s s ure: The people from the HR department and also have a lot of pressure

from the top management and from other top class people for selecting the candidates

they want. This ways the purpose of effective selection process of effective selection

process is defeated as they have to select that individual whether or not he is capable of

the job. that is being offered.


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ESSENTIAL OF SELECTION PROCEDURE

- Someone should have the authority to select.

- There must be sufficient number of applicants from whom the required number of

employees to be selected.

- There must be some standards of personnel with which a prospective employee

may be compared.


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FACTORS EFFECTING SELECTION DECISION

Includes:

- Profile matching

- Organization and social environment

- Multi correlations

- Successive hurdles


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MY JOB AT AEGONReligare Life Insurance


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My Job at AEGON Religare Life Insurance

I started my job as HR Trainee. My job profile was to handle RECRUITMENT in my

project. The HR narrated me the whole procedure. My job profile was to generate

resumes from the various job sites such as Naukri.com. According to the requirements

of the company. After generating the resumes from the sites the next step is to shortlist

the resume which best suite the requirements.

Now the short-listed candidates have to be given a phone call in order to find out their

interests and schedule them for interview. There are 2 forms of interview that a candidate

can appear for:

1. Personal Interview.

2. Telephonic Interview.

PERS ONAL I NT ERVI EW

This is regarded to be the BEST FORM of interview. In such form of an interview the

candidate personally appears in front of the interviewer and gives his interview. This is

regarded to be the best form of interview as the interviewee has the best chances of

making his points clear in front of the interviewer.


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TE LEPHONIC I NTE RVIE W

Sometimes an interview is taken on the phone. A telephonic conversation is done

between the interviewer and the interviewee where the interviewer calls up the candidate

via phone and conducts the interview.

The Jo b profile

Selling insurance and building customer relations.

Qua lificatio n

Entry le v el o penin g: Graduates in any stream preferred can be pass,

according to the IRDA stipulation, depending on region of operation. Additional

communication skills and ability to interact with people will help.

M iddle le v el o penin g: Professional in finance or marketing with the experience

in service industry. (As assistant sales manager)

Seni o r s a les o pe n in g s: Senior professional with experience of handling junior

staff preferred (CEP/Senior consultant)


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DATA ANALYSIS


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DATA A NA LYSI S

QUES TION: How many years have you served in the present company ??

From this it is nearly seen that only 13% of HR have served more than 5 to 10 years

in their present company and 87% have served for 1-5 years , clearly stating that In

todays market HR are changing their jobs at a higher rate for their Growth.


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Q u e stio n: What are the methods preferred for screening the candidates ?

Inthis

Question,60% of HR Preferred Personal Interview screen the candidates which is nearly a majority ofHR, while 20% was given to written , 15% to Aptitude , 3% to Psychometric test and 2% to Group

Discussion. From this I can state that even if new technology have developed Most HR prefer PersonalInterview to screen the Candidates.

Qu estion: How many stages are involved in selecting the Sales Candidate ?


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In

this Question, I had asked about the Stages involved in selecting the sales Candidate , NearlyHalf of the Life insurance company Preferred 3 Stages , but there are still 27% of companywho go for 4 Stage , and 13% companys went for a 1 and 2 stage to select a candidate . Fromthis it is clear, Company select each candidate carefully leaving all other things aside the aim isto select the best.

Q u e stio n : Do you use any of the following methods during the

process of front line sales recruitment?


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Inthis

question 80% of HR from Life Insurance Company preferred to do personal interview, by this methodthe actual character is being seen by HR. It helps them to know whether they will be able to performtheir targets or not. While others Like aptitude test showed 13% of preference by HR and 7% forPsychometric test.

Qu estion : What is the average time spent by HR department During an interview ?


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On an average 43% of HR take 30-40 minutes during an interview, 36% take 10-20 minutes , 14% take 20-30minutes and only 7% which is rare take 40-50 minutes of time. By this it is seen that HR spend nearly spend 30minutes of time to scan and evaluate each and every candidate so that company gets the best of best.

Qu estion : What is the back out ratio of candidates after being offered ? Ratio of

offer to joining.


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In this question , 57 % HR stated that Ratio of back out after being offered is 5:1 where ,15% had stated 10:1 and 14% each on 15:1 and 20:1.By this it clearly states the ration of

backing out after offering is 5:1 by most of the Company.

Que stio n: What percentage of candidate leave within the period of 6 Month?


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In this survey question 43% HR stated that 15-30 candidates leave within the period of

6 months,36% HR stated that 0-15 candidates leave,14%HR stated that 30-

45candidates leave,7% HR stated 45-60 leave within the period of 6 months.

Q u e stio n: Does the company reimburse the travelling cost incurred by the

candidate for appearing in the interview ?


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69% of HR said that company does not reimburse the travelling cost incurred by candidates

for interview while on other hand 31% HR said yes company does reimburse the travelling

cost.


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Q u e stio n: What is the average cost of recruitment per sales Candidate that the

company incurs ?

50% of HR from Life Insurance Company stated that average cost of recruitment per sales

candidate is Rs.10000 where, 29% stated it takes 20000, 21% stated it takes 30000.


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Q u e stio n: In Recruitment, which technology does the Company prefer??

47% Company preferred Telephone technology for Recruitment while on other hand 33%

preferred Video conferencing and 20% preferred Other Technology.


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Q u e stio n: If the Recruitment type is Employee Referral then what special privilege

has to be given to the one who has offered ?

64% of companies Compensate for employment Referral method in Recruitment where ,

36% company does not compensate.


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Q u e stio n: What kind of verification you do??

43% Company believe in Professional check in verification of the Candidate,29% company

believe in Family Background check up , 21% company believe in Educational

Qualification verification and 7% prefer in Legal Backgroundcheck.


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Q u e stio n: What is the average number of recruitment in a month??

14% of HR representing the companies stated that average number of recruitment in a

month ranged from 0-25, 36% said 25-50 people, 29% said 75-100 people, 21% said 50-75

people.


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CONCLUSION


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CON CLUSI ON

This presents the summary of the study and survey done in relation to the Alternate

Source of Recruitment in AEGON Religare Life insurance. The conclusion is drawn

from the study and survey of the company regarding the Alternate Source of

Recruitment process carried out there.

The recruitment process at AEGON Religare Life insurance to some extent is not done

objectively and therefore lot of bias hampers the future of the employees. That is why

the search or headhunt of people should be of those whose skill fits into the companys

values.

Most of the employees were satisfied but changes are required according to the changing

scenario as recruitment process has a great impact on the working of the company as a

fresh blood, new idea enters in the company.


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SUGGESTION


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SUG GESI ON

o Manpower requirement for each department in the company is identified wellin advance.

o If the manpower requirement is high and the recruitment team of the

HR department alone cannot satisfy it, then help from the placementagencies is needed.

o Time management is very essential and it should not be ignored at any level of

the process..

o The recruitment and selection through placement agencies as the last resortand is utilized only when need.

o The recruitment and selection procedure should not to lengthy and timeconsuming.

o The candidates called for interview should be allotted timings and it shouldnot overlap with each other.

o The Candidates should be given a reply after their interview; even if they arenot selected they should be given importance as they can be useful to the

company next time.


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BIBLOGRAPHY


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BI BLOGR AP HY

C.B Mamoria and S.V. Gankar (2004), Personal Management Text and Cases.

Himalaya Publication.

K.Aswahthappa (2001),Human Resource and Personnel Management

Human Resource Management, (2005), Dr.P.C. Pardeshi

C.B Gupta (2005)

w w w . g o o g le.c om
http://www.google.com/http://www.google.com/http://www.google.com/


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ANNEXURE


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QUEST IONNA IR E FO R THE RES EARCH

1. Information:

Name: Companys Name:

2. How many years have you served in this present company ??

1-5 years 5-10 years 10-15 years 15-20 years

3. What are the methods preferred for screening the candidates?

Written 1 2 3 4 5 Aptitude 1 2 3 4 5 Group Discussion 1 2 3 4 5 Personal Interview 1 2 3 4 5 Psychometric Test 1 2 3 4 5

4. How many stages are involved in selecting the Sales Candidates?

1 2 3 4 5

5. Do you use any of the following methods during the process of front linesales recruitment?

Aptitude Group Discussion

Personal interview Psychometric test Others , please specify


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6. What is the average time spent by HR department during an interview??

10-20 minutes 20-30 minutes 30-40 minutes 40-50 minutes

7. What is the Back out ratio of candidates after being offered? Ratio of offer toJoining.

5:1 10:1 15:1 20:1

8. What percent of Candidate leave within the period of 6 months ?

0-15 15-30 30-45 45-60 60+

9. Does the company reimburse the traveling cost incurred by the candidate forappearing in the interview ?

Yes No

10.What is the average cost of recruitment per sales candidate that companymay incurs ?

10000 20000 30000 40000


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11.In recruiting , which technology does the company support ?

Telephone Video Conference Others , please specify

12.If the recruitment type is Employee Referral then what special privilegehas to be given to the one who has referred?

13. What Kind of verifications you do ?

Educational qualification

Legal Background

Professional check

Family Background

14.What is the average number of recruitment in a month??

0-25

25-50

50-75

75-100


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Link to my survey:

http://freeonlinesurveys.com/s.asp?sid=h3k4m2prrpvaf7z263711
http://www.linkedin.com/redirect?url=http%3A%2F%2Ffreeonlinesurveys.com%2Fs.asp%3Fsid%3Dh3k4m2prrpvaf7z263711&urlhash=7XwU&_t=mbox_mebchttp://www.linkedin.com/redirect?url=http%3A%2F%2Ffreeonlinesurveys.com%2Fs.asp%3Fsid%3Dh3k4m2prrpvaf7z263711&urlhash=7XwU&_t=mbox_mebc

recruitment project on life insurance co

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