imf and its role

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S.P. MANDALIS

R. A PODAR COLLEGE OF COMMERCE AND ECONOMICS

MATUNGA, MUMBAI-400 019.

A PROJECT REPORT ON

Recruitment Process of Bharti AXA Life Insurance

SUBMITTED BY

Hitesh Lalji Solanki

Roll No-112

M.COM (SEM. III): Research Methodology

SUBMITTED TO

UNIVERSITY OF MUMBAI

2014-2015

PROJECT GUIDE

Prof. Dr. (Mrs.). Sobhana vasudevan


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S.P. MANDALIS

R. A PODAR COLLEGE OF COMMERCE AND ECONOMICS

MATUNGA, MUMBAI-400 019.

CERTIFICATE

This is to certify that Mr.Hitesh lalji solanki of M.Com (Business Management) Semester III

(2014-2015) has successfully completed the project on Research Methodology under the

guidance of Prof. Dr. (Mrs.) Sobhana vasudevan

Project Guide/Internal Examiner External Examiner

Prof. Dr. (Mrs.) Sobhana vasudevan Prof.________________________

Dr. (Mrs.) Vinita Pimpale Dr. (Mrs.) ShobanaVasudevan

Course Co-ordinator Principal

Date- 7th

Oct 2014 Seal of the college


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ACKNOWLEDGEMENT

I acknowledgethe valuable assistance provided by S. P MandalisR. A. Podar

College of Commerce & Economics, for two year degree course in M.Com.

I specially thank the Principal Dr.(Mrs.) Shobana Vasudevan for allowing us

to use the facilities such as Library, Computer Laboratory, internet etc. and

who has given her valuable time, knowledge and guidance to complete the

project successfully in time.

Isincerelythank the M.Com Co-ordinator for guidingusin the right direction

to prepare the project.

My family and peers were great source of inspiration throughout my project,

their support is deeply acknowledged.

Signature of the Student


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DECLARATION

I, Hitesh Lalji Solanki of R. A. PODAR COLLEGE OF

COMMERCE & ECONOMICSof M.Com SEMESTER III, hereby

declare that I have completed the project Recruitment Process of

Bharti AXA Life Insurance in the academic year 2014-2015 for the

subject Research Methodologythe information submitted is true and

original to the best of my knowledge.

Signature of the Student


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INDEX

Sr.no TOPICPage

No.

1 Introduction 6

2 Company Profile 10

3 Executive Training 15

4 Introduction to IRDA ACT 18

5 Introduction Insurance Advisor 19

6 Executive Task Assigned & Achieved 21

7 Methodology 22

8 SWOT Analysis 23

9 Recommendation 26

10 Limitation 26

11 Conclusion 27

12 Bibliography 27

13


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Introduction

Recruitment Process

How does the recruitment process work? It depends on the company and what methods the

company uses to find applicants for employment.

Some companies work withrecruiterto find applicants, especially for higher level jobs. Other

companies will use social networking sites and linked in to recruit, in addition to using

traditional means of recruiting like posting help wanted ads in newspapers and listing jobs on

job boards like monster or career builder.

Many employers, especially large companies, may not actively recruit candidates, but do post

open positions on their company website.

Job Applications

How applicants apply for jobs depends on the company, as well. Some companies use talent

management software to accept applications for employment and to screen and select

candidates to interview.

In other cases, the job application process will require applicants to submit a resume and

cover letter via email. Some employers still prefer that applicants apply in person.

As part of the application process, candidates may be asked to take a talent assessment test to

see if their background matches the company's requirements. Job applications and test results

will be reviewed and selected candidates will be invited for a job interview.
http://jobsearch.about.com/od/searchfirms/g/recruiter.htmhttp://jobsearch.about.com/od/searchfirms/g/recruiter.htmhttp://jobsearch.about.com/od/searchfirms/g/recruiter.htmhttp://jobsearch.about.com/od/searchfirms/g/recruiter.htm


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Job interviews

As candidates move through the interview process they may be interviewed several times

prior to receiving a job offer or a rejection notice. Companies will also run background

checks, reference checks, and possibly a credit check as part of the recruitment process. The

candidate may be offered a job contingent upon the results of the checks or the checks may

be conducted prior to the company presenting a job offer to the candidate they have chosen

for the job.

Here are the steps in the recruitment process, which will vary based upon the company's

recruiting strategies. Do keep in mind that every company has its own recruiting strategy, so

it's important to conduct a multi-faced job search and to be sure you're job hunting where

companies can find you.

Steps in the recruitment process

Jobs on company websites

Most larger companies, and many smaller companies, post available jobs on their company

website. Job applicants can search for jobs, review job listings and apply for jobs online. Job

seekers may be able to set up job search agents to notify them via email of new openings.

Some companies schedule interviews online, as well.

Posting jobs

Companies that are actively recruiting candidates will not only post jobs on their website, but

will also post jobs on job boards and other job sites. Jobs may be posted on general job

boards like monster and/or on niche sites like Media Bistro, for example.


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LinkedIn

Companies may post open positions on LinkedIn, the professional networking site. In

addition, companies may search LinkedIn to find candidates to recruit. LinkedIn groups are

another venue that employers use to post jobs and find applicants.

Social recruiting

Companies are increasingly using social recruiting to source candidates for employment on

Facebook, Twitter and other social networking sites, as well as to investigate applicants they

are considering hiring. Companies may use Facebook apps to recruit or have a Facebook

page dedicated to careers with the company. On Twitter, companies may tweet job listings

and source candidates to recruit.

Job Application Process

Here's information on the entire job application process including applying for jobs, resumes

and cover letters, applicant testing, background and reference checks, interviewing and the

hiring process.

Interview Process

The interview process isn't a matter of getting called for a job interview, interviewing and

getting a job offer. With many cases it is complex and may involve multiple interviews. Here

are the steps involved in the interview process.


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Hiring Process

Here's an overview of each step in the hiring process, including applying for jobs,

interviewing, employment testing, background checks, and job offers, along with tips and

advice for each step in the hiring process.

Objective of study

To understand process of recruitment and selection to identify various sources of

recruitment used by bharti axa

To know level of awareness about bharti axa among job applicants


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Company

Profile

What Is Bharti Axa?

Bharti Axa Life Insurance is collaboration between Bharti Enterprises and AXA

Group.

Bharti AXA Life Insuranceis a joint venture between Bharti, one of Indiasleading

Business groups with interests in telecom, agri business and retail, and AXA, world

Leader in financial protection and wealth management. The joint venture company has

A 74% stake from Bharti and 26% stake of AXA.

The company launched national operations in December 2006. Today, we have over

5200 employees across over 12 states in the country. Our business philosophy is built

Around the promise of making people "Life Confident".

VALUE AND VISION

Vision and Valuesof Bharti Axa Life Insurance is as follow:

Vision

To be a leader and the preferred company for financial protection and wealth

Management in India.

Values

Professionalism

Innovation


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Team Spirit

Pragmatism

Integrity

Aboutthe Promoters

Bharti Enterpr ises

It is one of Indiasleading business groups with interests in telecom, agri. business,

Insurance and retail. Bharti has been a pioneering force in the telecom sector with

Many firsts and innovations to its credit. Bharti Airtel Limited, a group company, is

One of Indiasleading private sector providers of telecommunications services with an

Aggregate of 60 million customers, spanning mobile, fixed line, broadband and

Enterprise services. Bharti Airtel was ranked amongst the best performing companies

In the world in the Business Week IT 100 list 2007. Bharti Teletech is the countries

Largest manufacturer and exporter of telephone terminals. Bharti has a joint venture

With ELRO Holdings India Ltd.Field Fresh Foods Pvt. Ltd - for global distribution

Of fresh fruits and vegetables. Bharti also has a joint venture - Bharti AXA Life

Insurance Company Ltd. - with AXA, world leader in financial protection and wealth

Management

AXA

AXA Group is a worldwide leader in Financial Protection. AXA's operations are

Diverse geographically, with major operations in Western Europe, North America and

The Asia/Pacific area. AXA had Euro 1,315 billion in assets under management as of

December 31, 2006. For full year 2006, IFRS revenues amounted to Euro 79 billion,

IFRS underlying earnings amounted to Euro 4,010 million and IFRS adjusted

Earnings to Euro 5,140 million.

AXA Asia Pacific Holdings Ltd (AXA APH) is listed on the Australian stock


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Exchange and is 52.3% owned by AXA SA. AXA APH is responsible for AXA SAs

Life insurance and wealth management businesses in the Asia-Pacific region. It has

Operations in Australia, New Zealand, Hong Kong, Singapore, Indonesia, Philippines,

Thailand, China, India and Malaysia. AXA APH had a $106.4 billion in total funds

Under management and administration at 30 June 2007 and reported profit after tax

Before non-recurring items of a $374.0 million for the six months ended 30 June 2007

Distribution

Bharti AXA has one of the largest distribution networks amongst private life insurers

In India. As of March 31, 2007 the company has over 934 offices across the country

And over 10,016 advisors. Distribution strategy of Bharti AXA is as follow:


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PRODUCT LINE

Bharati AXA Life Insurance Co. Ltd., Product Line is as follow:

Structure of sales department

Bharati AXA Life Insurance Company Ltd.ssales department structure is as follow;

REGIONAL

MANAGER

BRANCH SALES

MANAGER

TERITTORY

MANAGER

SALES

MANAGER

ASST. SALES

MANAGER

SENIOR

MANAGER

UNIT MANAGER

ADVISER


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CORPORATE STRUCTURE

CORPORATE

STRUCTURE

TIED AGENCY

VICE PRESIDENT

REGIONALMANAGER

BRANCH SALES

MANAGER

SALES MANAGER

UNIT MANAGER

ASSI. SALES

MANAGER

ALTERNATIVE

DISTRIBUTION

COURNTRY HEAD

RELATIONSHIPMANAGER

SALES MANAGER

BANCASSURANCE

FINANCIAL SERVICE

TRAINEES

COUSTOMER

SERVICE

REPRESENT

TEAM LEADER

CORPORATE

AGENCY


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Executive Training

(DYNAMICS OF AGENCY RECRUITMENT)

Meaning of Agency recruitment

Agency recruitment is all about recruiting financial advisor for the company.

The financial advisor is the person who can guide the people in making proper

Investments regarding their life

Now the question comes is that how can he/she be the advisor of the

Company?

Financial Advisor

Financial advisor is the person who has been issued the government authorized

IRDA license which is valid for three years and in those 3 years he/she can tap

Into an unlimited income and reinvent their life.

As a Life Advisor apersonsrole would go beyond selling policies. His/her role

Would be to explain life insurance and its benefits to potential customers and help

They decide which plan suits them best after analyzing their financial needs.

Hence, life insurance offers one with an opportunity for:

An exciting / challenging career.

Flexible work hours.

Unlimited income.

Regular income for years till the policies sold by one is in force.

SUPPORT AND BENEFITS

As a Life Advisor with Bharti Axa Life Insurance one would enjoy the following

Benefits:

1. Enr iching traini ng program: An intensive training program before one commences


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His/her new career. This would equip one with all the information and knowledge

About life insurance, its benefits and our products. This would help one to perform

His/her job better and meet his/her goals. One would also enjoy the benefits of

Continuous training and mentoring programs that are designed to update one, apart

From enhancing onesselling skills

2. Mentoring: Training and support from the Company to meet onesgoals.

Opportunity to learn from industry professionals.

3. Flexibili ty:Decide onesown working hours and earning goals.

4. Satisfaction:One will help people manage their assets and plan their financial

Security, and experience deep satisfaction from making a positive difference in others

Lives. One acts as a strategist in annuities, business insurance, estate planning and

Personal investment, providing both short and long term solutions to financial risks.

5. Freedom:Continue with your present job occupation if you so desire and treat this

As a parallel source of income. This allows you time to decide if you want to take the

Job of a Life Advisor as a full time activity.

6. EarningsEntitlement to a percentage of the premium as commission till the time

The policies sold by you are in force.

7. Attractive additional benefits for high-per formers:Palmtops, Planners, Leather

Portfolio bags, Offsite conferences, foreign trips and Sales promotional schemes.


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Learning From the Executive Training

Provides an opportunity to apply the concepts learn t in reallife situations.

It sensitizes us about nuances of work place by the time-bound projects assigned

By the company.

It creates awareness about the strengths & weaknesses in the work environment

It provides a platform to develop a network while OJT (On-the-job-Training),

Which would be useful in enhancing career prospectus.

Know the day-to-day functions of the company.

It provides a unique opportunity to get exposed to corporate culture, professional

Experience & professional behavior & putting the theoretical concepts learnt in the

Classroom for developing managerial skills.

To gain a deeper understanding of the work culture, deadlines, pressure etc. of an

Organization.

It gives a flavor of teamwork, organization culture, team dynamics, result

Orientation, organizational pressures, complexities in achieving the desired results

Etc.

It provides direct exposure to the execution & support functions of the

Departments.

It provides a good scope for developing necessary managerial skills &

Positive attitude


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Introduction to IRDA Act

Mission:

To protect the interests of the policyholders, to regulate, promote & ensure orderly

Growth of the insurance industry & for matters connected therewith or incidental

Thereto.

After liberalization of the insurance sector in 1999, private players have entered both

Life & non-life business in India. The Insurance Regulatory & Development Authority

(IRDA) was constituted in April 2000, as an autonomous body to regulate & develop

The business of insurance & reinsurance in the country in terms of the IRDA Act

1999.

Duties, Powers & Functions of IRDA:

Licensing & regulating the insurance sector by acting as an independent &

Regulatory body.

Specifying requisite qualifications, code of conduct & practical training for

Insurance intermediaries & agents.

Protecting the interest of the policyholders in matters concerning assigning of

Policy, settlement of insurance claims etc.

Regulating investment of funds by insurance companies.

Calling for information from undertaking, conducting enquiries & investigations

Including audit of insurers & other organizations connected with the insurance

Business.

Regulating maintenance of margins of solvency of the insurer.

Adjudication of disputes between insurers & intermediaries.

Supervising the functioning ofthe Tariff Advisory Committee.


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Introduction

Insurance Advisor

CRITERIA FOR SELECTION

Criteria for the selection of the Financial Advisor are as follow;

Age:18 or above for both Male and Female

Educational Qualification required:

Rural Area*: 10thPass

Urban Area*: 12thPass

* Areas are bifurcated according to the population.

For getting license to work as an agent of any company a person must complete 100

Hours training and pass exam of Indian Institute of Insurance (III). If a person is

Already holding license for General Insurance than he will have to complete only 50

Hours training.

All the above criteria are common for all the companies, they have to follow it. In

practice, because of competitive environment many companies decide their own

Criteria apart from all above. Different criteria used by companies are shown in the

At least

Graduate

Person

Living in

Maharastra

for at

least 3 yrs.

Network /

Society

group

High Net

Income

(HNI)

group

Married

and have

dependents

Age

group

25-50

KLI

ICICI

Prudential

LIC

Birla Sun

life

Bajaj

Allianz

ING

Vysya

Axa


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following table:

TABLE Criteria for Selecting Agents by different Companies.

FUNCTIONS OF THE AGENTS

Life insurances agent has the unique role of such a person, who enjoys the trust of

Two parties - the prospect and the insurer - simultaneously in the same transaction.

To simplify, functions of a life insurance agent could be divided into two parts,

Viz.

'Pre-sale functions';

'Post-sale functions'

Function Before Sales:

Contact prospects

Study their insurance needs

Completion of formalities for proposal of new insurance viz,

Filling of form

Arranging for Medical Examination

Collection proofs of age and income

Any other information required by the underwriters

Function A fter Sales:

Ensure payment of renewal premiums

Assist policyholder for nomination / or change thereof.

Assist the policyholder in case he wants to get loan against the policy

Assignment.

Assist the policyholder or the claimant to comply with the requirement for


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Getting timely settlement of claims.

The Target customers of the company are:

Housewives

Students

Businessman

Brokers

Retired persons

BHARTI AXA LIFE INSURANCE, Private leader also take into consideration

Most of the criteria. They also focus on quality rather than quality. Further, they

Also opt to recruit LIC agents. Logic behind this may be that person wontrequire

The training (Elimination of Training Cost), moreover his experience and

Established network can be encased easily. Thus, BHARTI AXA has also adopted

Competitive strategy because the LA is a major source of business.

Executive Task Assigned & Task Achieved


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Graphical Representation of the Task Assigned and Achieved

METHODLOGY

Strategies applied for achieving the task assigned

Cold Calling:

Cold calling means to approach the customers without taking prior appointments. I

Have done lots of cold calling as I visited different shops and malls I got a great

Experience as I interacted with different kind of peoples. Even I learned lots of things

Regarding convincing the customers.

Data Collection:

My strategy is to collect data as many as possible from different sources.So for

This data collection I have visited different colleges and even to different banks to get

The data of retired people. I went to colleges to get the data of the graduate students

Who would the good prospect for our company?


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SWOT Analysis

STRENGTHS

The strengths of BHARTI AXA are:

Offers greater relationships and more face to face contacts with the customers. Cross-

selling ability of its highly trained agents.

BHARTI AXA has marketing, research and development and the competing

Products

Ability to serve multiple segments

Higher market share growth in private sector Life insurance companies

Adaptable management structure

Multiple product lines

Higher premium growth

Increasing network in semi urban and rural markets

WEAKNESSES

The weaknesses for BHARTI AXA are:

Higher cost for insurer and consumer because of high commission rates.

Strong Competing brands of other players with almost the same features

Presence of other players in multiple segment

The Direct Marketing and other promotional efforts done by other players

Increases the competition

Lower believability in BHARTI AXA brand than Life Insurance Corporation

Low coverage in Semi-urban and Rural market Segments


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OPPORTUNITIES

Focus on high net worth individuals who prefer relationship over price

Continually look for new sales opportunities

High market growth provides opportunity for the company to increase their

Role in increasing Premium collections.

Large number of prospective customers has provided opportunity for the

Company to increase their operation to wider customer base.

Higher awareness of insurance products attracts customers to use insurance

Services and products

Insurance companies are becoming more and more self-regulated

Operationally.

Because of the large customer based, the company can have the benefit of

Economies of scale in providing services.

Transformation of people across countries increases efficiency and effectively

In the companysoperation.

Speeding up of the technological adoption in insurance companies has

Provided opportunity for them to provide services to a larger customer base at

Lower cost.

Collaboration with supplier of back office and front office technological

Development has increase the quality and effectively of the operation.

Increasing computer literacy and quality of education has increased the

Efficiency of operation through advanced technology.

The move towards retail customers has access the banks to the rural

Population.

Tie up with other banks to increase ATM networks has lowered the


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Operational cost of the company.

Higher foreign investment in insurance business has increased the

Technological development, branch expansion and wider network abilities.

Foreign companies also merge with other banks to increase the networks and

Customer services within the nation and internationally.

Population is becoming ageing which may hamper the effectively of providing

Insurance business

THREATS

Large number of Insurance companies has increased the rivalry in the

Industry.

Lower switching cost for customers can be a threat for the company to convert

Other companyscustomers to its products.

Standardization of insurance products and services has lowered the profit

Margins for the company.

A higher premium to the agents is one of the biggest cost disadvantages to the

Company.

The legal regulation from IRDA may affect particular company negatively.

The scams of co-operative banks have affected the image of private companies

In the mind of the people, which may affect the image of private insurance

Companies negatively.

Higher inflation rate can increase the cost for the company in providing

Services


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RECOMMENDATIONS

I personally believe that BHARTI AXA requires promoting their very strongly

As in day on day the competitive companies are increasing and to be in the

Race it has to promote its products continuously. Their Brand awareness

Specifically in Life Insuranceis high compare to competitors? They should

Aggressively promote on media like Television, newspaper like Times of India

And Economics Times. BHARTI AXA should expand their distribution network in Semi-

Rural and Rural areas to target market having huge potential. Their Motivation Strategy for

Life Advisors is very effective during Training and even after training; they should stick to it

and even try for innovative ways. Build trust upon customers through services and

transparency in investment and other policy. Focus on marketing strategy which can appeal

mass in chunk.

LIMITATION

Generating Database:

I have faced lots of problem in generating data base as I have used different sources to

Generate it, e.g. I visited different colleges to generate data of fresher students and even

Visited to different other center to get the data base of the customers but the problem I faced

Was they didntprovided me the data as they told me that it is confidential.

H igh Fees:

To be an advisor in BHARTI AXA the fees is Rs. 825 so this is quite a huge amount as

Compare to the competitors, because in L.I.C it is 450 Rs, in MAX LIFE it is 500 so when a

Customers get ready to be advisor he basically stuck to the fees.


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Qual ity Customers:

What BHARTI AXA ask from is to recruit quality advisors, they to maintain the Q

Score but it is very difficult to get that quality customers

CONCLUSION

Entry of Private players in Insurance Industry has changed the entire scenario of the

Industry. Industry has shown Revolution of 360* starting from 1956. Private players

Have challenged the LIC and compelled to face the competition. This cut-throat

Competition has been a boon for customer. He has been more informed and getting

Better services. Negligence to the Insurance is decreasing day by day. Thus, total

Scenario of the Industry has changed from as it was in 1956a Monopoly Market.

On account of increased competition, companies have to compete to grab the market.

Tied channel is perhaps the best alternative to reach maximum target customers. So to

Have best results companies are required to have best people, who can work for the

Efficiently and give best results. So, as a result now a days companies have become

More choosy in recruiting agents.

BIBLIOGRAPHY

Websites

www.Bharti Axa life insurance.com

www.irdaindia.org

www.irda.orq.com

www.indiainfoline.com

http://jobsearch.about.com/od/recruiting/a/recruitment-process.htm

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