A PROJECT REPORT ON RECRUITMENT & SELECTION STRATEGIES OF ICICI PRUDENTIAL LIFE INSURANCE PVT LTD

SUBMITTED BY TANVEER LOKHANDWALLA

FOR THE DEGREE OF BACHELOR OF MANAGEMENT STUDIES UNIVERSITY OF MUMBAI

UNDER THE GUIDANCE OF PROF. SWATI CHAPLOT

M.L DAHANUKAR COLLEGE OF COMMERCE DIXIT RD. VILE PARLE EAST MUMBAI-57

ACADEMIC YEAR 2013-2014

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EXECUTIVE SUMMARY OVERVIEB OF INDUSTRY COMPANY PROFILE OBJECTIVES SIGNIFICANCE OF STUDY SCOPE & LIMITATIONS OF STUDY THEORETICAL FRAMEBORK EXISTING PROCEDURE DATA ANALYSIS ; INTERPRETATIONS CONCLUSION BIBLIOGRAPHY

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EXECUTIVE SUMMARY
Todays tight labor market is making it more difficult to find, recruit and select talented people for an organization. The competition for talent is intensifying as there are fewer qualified applicants available. This shortage of applicants makes it all the more important for organizations to be able to effectively attract, select, and retain quality candidates. With many organizations offering a number of job opportunities, candidates can afford to be choosy when searching for their ideal job. Thus, the best searching procedure should be adopted by an organization. under consideration. nce the organization has successfully recruited candidates, it must select the best one for the position rganization uses various tools to help them select an individual. The selection tool is designed to obtain behavioral and motivational information about the candidates for effective selection system. !or e"ample, behavioral interviewing is a popular selection activity in highly effective selection system. #n the future even more organizations plan to use this and other similar tools more intensively to select employees. rganizations realize that having an effective legally sound system in place is crucial to helping them select the right people for the right job. !inally better recruitment and selection strategies result in improved organizational outcomes. The more effectively organization recruit and select candidates, the more likely they are to hire and retain satisfied employees.

#n this project the different techniques adopted by the company towards this effect have been identified. #$#$# %&'()*T#+,, which is multinational company, has been chosen for studying their methods of recruitment and selection function because it has the probability of achieving more than -./ of the people to be placed for the right job, which reflects some of the unique ways for recruiting the candidates to fill up various vacancies.

INTRODUCTION The recruitment and selection procedure of the company determines the level of achieving organizational goals in the long run. +s per definition it is all about selecting right person for the right job at the right time at the best possible position. +lthough it sounds quite simple but it is also not an easier job to evaluate a person with his knowledge, skills and abilities that may satisfy the core competency for the job so that his degree of willingness to pursue a job becomes positive. !rom job seekers perspective it is the core competency which matters much for a job. 0o it is the effective recruitment and selection procedure which determines not only the right candidate for a job but also a long1term accomplishment of organizational goals.

#n this project the different techniques adopted by the company towards this effect have been identified. #$#$# %&'()*T#+,, which is multinational company, has been chosen for studying their methods of recruitment and selection function because it has the probability of achieving more than -./ of the people to be placed for the right job, which reflects some of the unique ways for recruiting the candidates to fill up various vacancies. The aim of the company is to achieve overall organizational goal not only by way of fulfilling the targeted top line but also employee satisfaction towards various position of job to the ma"imum level.

OVERVIEW OF INSURANCE INDUSTRY With largest number of life insurance policies in force in the world, #nsurance happens to be a mega opportunity in #ndia. #ts a business growing at the rate of 2-13. per cent annually and presently is of the order of &s. 4-. billion. Together with banking services, it adds about 5 per cent to the countrys 6(%. 6ross premium collection is nearly 3 per cent of 6(% and funds available with ,#$ for investments are 7 per cent of 6(%. 8et, nearly 7. per cent of #ndian population is without life insurance cover, health insurance and non1life insurance continue to be below international standards. +nd 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 is immense. + well1developed and evolved insurance sector is needed for economic development as it provides long1term funds for infrastructure development and at the same time strengthens the risk taking ability. #t is estimated that over the ne"t ten years #ndia would require investments of the order of one trillion '0 dollar. The #nsurance sector, to some e"tent, can enable investments in infrastructure development to sustain economic growth of the country. With a large capital outlay and long gestation periods, infrastructure projects are fraught with a multitude of risks throughout the development, construction and operation stages. These include risks associated with project implementation, including geological risks, maintenance, commercial and political risks. Without covering these risks the financial institutions are not willing to commit funds to the sector, especially because the financing of most private projects is on a limited or non1 recourse basis. #nsurance companies not only provide risk cover to infrastructure projects, they also contribute long1term funds. #n fact, insurance companies are an ideal source of long1term debt and equity for infrastructure projects. With long1term liability, they get a good asset1 liability match by investing their funds in such projects.

#&(+ regulations require insurance companies to invest not less than 2- percent of their funds in infrastructure and socisal sectors. #nternational #nsurance companies also invest their funds in such projects. #nsurance is a federal subject in #ndia. There are two legislations that govern the sector1 The #nsurance +ct1 29:7 and the #&(+ +ct1 2999.

COMPANY PROFILE: ICICI PRUDENTIAL LIFE INSURANCE LTD.

Vision: To make ICICI Prudential the dominant Life and Pensions player built on trust by world-class people and service. This we hope to achieve by;

'nderstanding the needs of cus o!e"s and offering them superior products and service ,everaging ec#no$o%& to service customers quickly, efficiently and conveniently (eveloping and implementing superior "is' !(n(%e!en (nd in)es !en s "( e%ies to offer sustainable and stable returns to our policyholders

%roviding an enabling environment to foster growth and learning for our e!*$o&ees +nd above all, building transparency in all our dealings.

ICICI P"uden i($ Life Insu"(nce L d. is a joint venture between #$#$# $ompany, a premier financial powerhouse and prudential plc, a leading international financial services group headquartered in the 'nited <ingdom. #$#$# %rudential was amongst the first private sector insurance companies to begin operations in (ecember 3... after receiving approval from #&(+. #$#$# %rudential=s equity base stands at &s.9.3- billion with #$#$# $ompany and %rudential plc holding 54/ and 3>/ stake respectively. #n the financial year ended ?arch :2, 3..-, the company garnered &s.2-74 crore of new business premium for a total sum assured of &s.2:,57. crore and wrote nearly >2-,... policies. The company has a network of about ->,... advisors@ as well as 5 bank assurance and 2-. corporate agent tie1ups. !or the past four years, #$#$# %rudential has retained its position as the

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number one private life insurer in the country, with a wide range of fle"ible products that meet the needs of the #ndian customer at every step in life.

P"o!o e"s: #$#$# and %rudential came together in 299: to form %rudential #$#$# +sset ?anagement $ompany, which has today emerged as one of the leading mutual funds in #ndia. The two companies bring together two of the strongest financial service brands in +sia, known for their professionalism, e"cellent quality of service and long term commitment to you. &iding on the success of this relationship, the two companies joined hands once more in 3..., to form #$#$# %rudential ,ife #nsurance, with a commitment to provide leading1edge life insurance solutions. #$#$# $ompany has 54/ stake in the company, and %rudential plc has 3>/.

ICICI Co!*(n& #$#$# $ompany is #ndias second largest company with an asset base of &s.2,.>,723 crore. #$#$# $ompany provides a broad spectrum of financial services to individuals and companies. This includes mortgages, car and personal loans, credit and debit cards, corporate and agricultural finance. The $ompany services a growing customer base of more than 5 million customer accounts and - million bond holders accounts through a multi1channel access network. This includes about 4-. branches and e"tension counters, 2>5- +T?s, call centres and #nternet companying Awww.icicicompany.comB. #$#$# $ompany posted a net profit of &s.2,3.> crore for the year ended ?arch :2, 3..-. #$#$# $ompany is the only #ndian company to be rated above the country rating by the international rating agency ?oodys and the only #ndian company to be awarded an investment grade international credit rating. The $ompany enjoys the highest +++ Aor equivalentB rating from all leading #ndian rating agencies.

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P"uden i($ PLC )stablished in 2747, prudential plc is a leading international financial services company in the '<, with around '0C3-. billion funds under management and more than 2> million customers worldwide. %rudential has brought to market an integrated range of financial services products that now includes life assurance, pensions, mutual funds, companying, investment management and general insurance. #n +sia, %rudential is '<=s largest life insurance company with a vast network of 33 life and mutual fund operations in twelve countries 1 $hina, Dong <ong, #ndia, #ndonesia, Eapan, <orea, ?alaysia, the %hilippines, 0ingapore, Taiwan, Thailand and Fietnam. 0ince 293:, %rudential has championed customer1centric products and services, supported by over >.,... staff and agents across the region. P"oduc s offe"ed: ,ife is unpredictable. Gut in face of adversity, our responsibilities towards our parents, children and loved ones need not be compromised. #nsurance planning equips you to smooth out the uncertainties and adversities that life might send your way, so that the best that life has to offer, secure in the knowledge that your beloved ones are well provided for.

#$#$# %rudential offers a complete range of insurance products; 2. %rotection %lans; ,ife guard &iders

3. 0avings %lans; 0ecure plus

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$ash plus ,ifetime $ash back

:. $hildren %lans; 'nit linked regular premium 'nit linked single premium &egular premium 0mart kid

4. #nvestment %lans; ,ife ,ink

-. &etirement %lans; ,ife Time %ension 0ecure plus pension !orever life ,ife link pension

>. 6roup %lans 6roup gratuity plan 6roup term assurance

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AIM OF T+E STUDY &ecruitment and selection is a multifaceted concept. The relevance of recruitment and selection is to determine the number of personnel required. The D& proceeds with the identification of sources of recruitment and finding suitable candidates for employment. Goth internal and e"ternal sources of manpower are used depending upon the types of personnel needed. The aim of the selection policy is the selection of suitable candidate for a suitable job. The selection procedure starts only when the recruitments are done, that is, the various suitable candidate pool is made available. The selections are done from this pool. This project has the following aims; 2. To understand the nature of recruitment and selection policy for acquiring suitable personnel. 3. To understand the variables of recruitment and selection in #$#$# %rudential ,ife #nsurance ,td. :. To identify the sources of manpower supply with a view to acquire the best possible candidate. 4. To understand the procedure of recruitment and selection in #$#$# %rudential ,ife #nsurance ,td. -. To understand the procedure of &ecruitment and 0election in #$#$# %rudential. >. !inally to bring out the challenges ahead with respect to recruitment and selection of advisors.

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O,-ECTIVE OF T+E STUDY: The primary objective of recruitment and selection policy is to find and acquire the suitable candidates. The objective of this study is to measure the importance or relevance of recruitment and selection in #$#$# %rudential ,ife #nsurance ,td. The primary objective measures the overall perception and importance of recruitment and selection in the organization. The domain of this study will include the selection of financial advisors of the company only. The questionnaire has been framed to determine the importance and effectiveness of recruitment and selection procedure as perceived by the employees of the company.

SI.NIFICANCE OF T+E STUDY

0election is a critical process these days because it requires a heavy investment of money to get right types of people. #f the right types of people are not chosen, it will lead to huge loss of the company in terms of time, effort and money. Therefore, it is essential to devise a suitable selection procedure. )ach step in the selection procedure should help in getting more and more information about the applicants to facilitate decision making in the area of selection. 0cientific selection and placement of personnel will go a long way towards building up a stable work force. #t will keep the rates of absenteeism and labor turnover low and will increase the morale of the employees. This will also enable the organization to achieve its objectives effectively.

M(n(%e"i($ usefu$ness of #e s ud&:

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Gy studying this crucial topic the managerial level of employees can get various useful information like; 2. Gy finding the key result areas of employees, the skilled and potential employees can be recruited. 3. To find the best match between job and employees so that best recruitment can be achieved with respect to position. :. To find the best candidate or employee for decreasing the rate of accidents in the places of various jobs. 4. To build a contended workforce for the organization by giving employee jobs they are capable of doing.

SCOPE AND LIMITATIONS OF T+E STUDY

SCOPE: The scope of this study is to observe the degree of satisfaction levels of the employer as well as the employees towards the &ecruitment and 0election Techniques adopted by the company. The deviations if any, towards this effect have also been studied. +part from getting an idea of the techniques and methods in the recruitment procedures a close look will be taken at the insight of corporate culture prevailing out there in the organization. This would not only help to be familiar with the corporate environment but it would also enable the researcher to get a close look at the various levels authority responsibility relationship prevailing in the organization. This study also focuses on studying the various techniques adopted by the organization to retain the new recruits. The stipulated time for the project is insufficient to undergo an e"haustive study about the topic assigned. ?oreover the scope of the topic A&ecruitment and 0electionB is wide enough, so it is difficult to cover the entire topic within the

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stipulated time, but still whatever could be done towards this effect has been done. LIMITATIONS OF T+E STUDY: +nalyzing the recruitment and selection procedure of an organization takes a lot of time. The organization hesitates in sharing the sensitive information about its employees. Dence the survey would not give the real image of recruitment and selection policy of the company. +lthough serious efforts were made to collect the authentic and ma"imum information from respondents, even then this study is subject to various limitations; !irst of all, the scope of sample size was confined to one department only, which would have other wise made the study and observations more effective. 0econdly, all the results and conclusions are drawn on the basis of whatever information has been provided by the manager and other employees working in #$#$# %rudential ,ife #nsurance ,td. so there are chances of individual biasness as well. Thirdly, the stipulated time for the project is insufficient to undergo an e"haustive study about the topic assigned and moreover the scope of the topic A&ecruitment and 0electionB is wide enough, so it is difficult to cover all the topics within the stipulated time. The researcher had to visit a number of times to all the managers and other working staff for collecting the information. The managers were not able to give all the data at one particular time.

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RECRUITMENT

INTRODUCTION: &ecruiting is the discovering of potential applicants for actual or anticipated organizational vacancies. #n other words, it is a Hlinking activity bringing together those with job and those seeking jobs. +s 8odel and others point out; Recruitment is a process to discover the sources of manpower to meet the requirements of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient working force. &ecruitment has been regarded as the most important function of personnel administration, because unless the right type of people are hired, even the best plans, organization charts and control systems would not do much goods. )dwin G. !lippo views recruitment and selection as Hpositive and Hnegative activities respectively. De says; I& ecruitment is a process of searching for prospective employees and stimulating and encouraging them to apply for jobs in an organization. #t is often termed positive in that it stimulates people to apply for jobs to increase the Hhiring ration, i.e., the number of applicants for a job. 0election, on the other hand tends to be negative because it rejects a good member of those who apply, leaving only the best to be hiredJ. Thus recruitment is the development and maintenance of adequate manpower resources. #t involves creation of a pool of available labor upon whom the organization can draw when it needs additional employees.

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FACTORS AFFECTIN. RECRUITMENT

?ost of the organizations, whether large or small, do engage in recruiting activity, though not to the same e"tent. This differs with; 2. The size of the organization@ 3. The employment conditions in the community where the organization is located@ :. The effects of past recruiting efforts which show the organizations ability to locate and keep good performing people@ 4. Working conditions and salary and benefit packages offered by the organization K which may influence turnover and necessitate future recruiting@ -. The rate of growth of organization@ >. The level of seasonally of operations and future e"pansion and production programs@ 5. $ultural, economic and legal factors, etc.

!actors governing recruitment may broadly be divided as internal and e"ternal factors. T#e in e"n($ f(c o"s inc$ude: AiB AiiB AiiiB AivB AvB &ecruiting policy of the organization@ Duman resource planning strategy of the company@ 0ize of the organization and the number of employees employed@ $ost involved in recruiting employees, and finally@ 6rowth and e"pansion plans of the organization.

T#e e/ e"n($ f(c o"s inc$ude:

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AiB AiiB

0upply and demand of specific skills in the labor market@ %olitical and legal considerations such as reservation of jobs for 0$s, 0Ts, etc.

AiiiB

$ompanys image1perception of the job seekers about the company.

RECRUITMENT POLICY + recruitment policy asserts the objectives of the recruitment and provides a framework of implementation of the recruitment program of an organization in the form of procedures. +s 8oder and others observe; I0uch a policy may involve a commitment to broad principles such as filling vacancies with the best qualified individuals. #t may embrace several issues such as e"tent of promotion from within, attitudes of enterprise in recruiting its old employees, handicaps, minority groups, women employees, part1time employees, friends and relatives of present employees. #t may also involve the organization system to be developed for implementing recruitment program and procedures to the employed.J Therefore, a well considered and pre1planned recruitment policy based on corporate goals, study of environment and the corporate needs need to be developed which may avoid hasty or ill1defined procedure and may go a long way to cater the organization with the right type of personnel. + good recruitment policy must contain these elements; AaB rganizations objectives 1 both in the short1term and long1term 1must be taken into consideration as a basic parameter for recruitment decisions and needs of the personnel 1area1wise, job1family1wise. AbB #dentification of the recruitment needs to take decisions regarding the balance of the qualitative dimensions of the would be recruits, i.e., the recruiters should prepare profiles for each category of workers and accordingly work out the main specifications, decide the sections,

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departments or branches where they should be placed and identify the particular responsibilities which may be immediately assigned to them. AcB %referred sources of recruitment, which would be tapped by the organization, e.g., for skilled or semi1skilled manual workers, internal sources and employment e"changes may be preferred@ for highly specialized categories and managerial personnel, other sources besides the former, may be utilized. AdB $riteria of selection and preferences; These should be based on conscious thought and serious deliberations. #n some cases trade unions may be consulted in working out the recruitment policy. #n others, management may take the unilateral decision. AeB The cost of recruitment and financial implications of the same.

+ recruitment policy, in its broadest sense, involves a commitment by the employer to such general principles as; AiB AiiB AiiiB AivB To find and employ the best qualified persons for each job@ To retain the best and most promising of those hired@ To offer promising opportunities for life1time working careers@ and To provide programs and facilities for personal growth on the job.J

+ccording to 8oder, Ithe recruitment policy is concerned with quality and qualifications Aviz., and L2 and L3B of manpower.J #t establishes broad guidelines for the staffing process. 6enerally, the following factors are involved in a recruitment policy. AiB To carefully observe the letter and spirit of the relevant public policy on hiring, and, on the whole, employment relationship@ AiiB To provide individual employees with the ma"imum of employment security, avoiding, frequent lay1off or lost time@ AiiiB To provide each employee with an open road and encouragement in the continuing development of his talents and skills@

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AivB

To assure each employee of the organization interest in his personal goals and employment objectives@

AvB

To assure employees of fairness in all employment relationships, including promotions and transfers@

AviB

To avoid cliques which may develop when several members of the same household or community are employed in the organization@

AviiB

To encourage one or more strong, effective, responsible trade unions among the employees.

PRERE0UISITES OF A .OOD RECRUITMENT POLICY The recruitment policy of an organization must satisfy the following conditions; AiB AiiB #t should be in conformity with its general personnel policies@ #t should be fle"ible enough to meet the changing needs of an organization@ AiiiB #t should be so designed as to ensure employment opportunities for its employees on a long1term basis so that the goals of the organization should be achievable@ and it should develop the potentialities of employees@ AivB #t should match the qualities of employees with the requirements of the work for which they are employed@ and AvB #t should highlight the necessity of establishing job analysis. MET+ODS OR TEC+NI0UES OF RECRUITMENT (unn and 0tephens summarize the possible recruiting methods into three categories; (irect, #ndirect and

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Third party.

DIRECT MET+ODS These include sending traveling recruiters to educational and professional institutions, employees contacts with public and manned e"hibits. ne of the widely used direct methods is campus selection which involves sending of recruiters to colleges and technical schools. ?ost college recruiting is done in co1 operation with the placement committee of a college. The placement committee usually provides help in attracting students, arranging interviews, furnishing space, and providing student resumes. !or managerial, professional and sales personnel, campus recruiting is an e"tensive operation. !or this purpose, carefully prepared brochures, describing the organization and the jobs it offers, are distributed among students, before the interviewer arrives. 0ometimes, firms directly solicit information from the concerned professors about students with an outstanding record. ?any companies have found employees= contact with the public a very effective method. go to the desired centers. ther direct methods include sending recruiters to conventions and seminars, setting up e"hibits at fairs, and using mobile offices to

INDIRECT MET+ODS #ndirect methods involve mostly advertising in newspaper, on the radio, in trade, and professional journals, technical magazines and brochures. +dvertising in newspapers andMor trade journals and magazines is the most frequently used method, when qualified or e"perienced personnel are not available from other sources. 0enior posts are largely filled by such methods when they cannot be filled by promotion from within. +dvertising is very useful for recruiting blue1collar and hourly workers, as well as scientific, professional, and technical employees. ,ocal newspaper can be a good source of blue1collar workers, clerical employees, and lower1level administrative employees. The main point is that the higher the position is in the organization, or the more specialized the skills sought, the more widely dispersed advertisement is likely to be. The search for

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top e"ecutive might include advertisements in a national periodical@ while the advertisement of blue1collar jobs is usually confined to the daily newspaper or regional trade journals.

T+IRD PARTY MET+ODS 1TPMs2 The best management policy regarding recruitment is to look first within the organization. #f that source fails, e"ternal recruitment must be tackled. These include the use of commercial or private employment agencies, state agencies, recruiting firms, management consulting firms and recommendations or referrals by friends and relatives. %rivate employment agencies are widely used. They charge a small fee from an applicant. They specialize in specific occupations; general office help, salesmen, technical workers, accountants, computer staff, engineers and e"ecutives. These private agencies are brokers who bring employers and employees together. 0tate or public employment agencies also known as )mployment or ,abor )"changes are the main agencies of public employment. They provide a clearing house for jobs and job information. )mployers inform them of their personnel requirements, while job1seekers get information for them about the types of jobs that are referred to by employers. These agencies provide a wide range of services 1counseling, assistance in getting jobs, information about the labor market, labor and wage rates. !riends and relatives of present employees are also a good source from which employees may be drawn. When the labor market is very tight, large employers frequently offer their employees bonuses or prizes for any referrals that are hired and stay with the company for a specific length of time. 0ome companies maintain a register of former employees whose record was good to contact them when there are new job openings for which they are qualified. This method of recruitment, however, suffers from a serious defect that it encourages nepotism, i.e., persons of one=s community are employed that may or may not be fit for the job.

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SELECTION 0election involves a series of steps by which the candidates are screened for choosing the most suitable person for vacant posts. The process of selection leads to employment of persons who possess the ability and qualifications to perform the jobs which have fallen vacant in an organization. The selection procedure is concerned with securing relevant information about an applicant. The objective of selection process is to determine whether an applicant meets the qualifications for a specific job and to choose the applicant who is most likely to perform well in that job. 0election is a long process, commencing from the preliminary interview of those applicants and ending with the contract of employment. The hiring procedure is not a single act but it is essentially a series of methods or steps or stages by which additional information is secured about the applicant. +t each stage, facts may come to light, which may lead to the rejection to the applicant. + procedure may be compared to a series of successive hurdles or barriers, which an applicant must cross. These are intended as screens, and they are designed to eliminate an unqualified applicant at any point in the process. This technique is known as the successive hurdles technique. *ot all selection processes include all these hurdles. The comple"ity of a process usually increases with the level and responsibility of the position to be filled. +ccording to 8oder, Ithe hiring process is of one or many Hgo, no1go gauges. $andidates are screened by the application of these tools. Lualified applications go on to the ne"t hurdle, while the unqualified are eliminated.J Thus, an effective selection program is a non1random process because those selected have been chosen on the basis of the assumption that they are more likely to be IbetterJ employees than those who have been rejected. 0election processes or activities typically follow a standard pattern, beginning with an initial screening interview and concluding with the final employment decision. The traditional selection process includes; preliminary screening

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interview@ completion of application form@ employment tests@ comprehensive interview@ background investigations, physical e"amination and final employment decision to hire. SELECTION PROCEDURE There is no shortcut to an accurate evaluation of a candidate. The hiring procedures are, therefore, generally long and complicated. ?any employers make use of such techniques and pseudo1sciences as phrenology, physiognomy, astrology, graphology etc., while coming to hiring decisions. Dowever, in modern times, these are considered to be unreliable measures. The following is a popular procedure though it may be modified to suit individual situation; P"e$i!in("& in e")ie3; #t is generally brief and does the job of eliminating the totally unsuitable candidates. #t offers advantages not only to the organization but also to the applicant.

Recei)in% (**$ic( ions: +pplication form is useful for several reasons. #t gives a preliminary idea about the candidate to the interviewer and helps him in formulating questions to have more information about the candidate.

Sc"eenin% of (**$ic( ions: +fter receiving the applications they are screened by a screening committee and a list is proposed of the candidates to be interviewed.

E!*$o&!en

es s: Gefore deciding upon the job or jobs suitable for a

particular individual, one should know the level of his ability and knowledge. This will require the use of employment tests. The employment test areas are as follows; #ntelligence tests

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+ptitude tests %ersonality tests #nterest tests %roficiency tests

E!*$o&!en in e")ie3: The several purposes of an employment interview are; To find out suitability of the candidate To seek more information about the candidate To give him an accurate picture of the job with details of terms and conditions and some idea of the organization as well.

P#&sic($ e/(!in( ion: The pre employment physical e"amination or medical test of a candidate is an important step in selection procedure. #t discloses the physical abilities of a candidate.

C#ec'in% "efe"ences: %rior to the final selection, the prospective employer normally makes an investigation on the reference provided by the applicant and undertakes more or less a research through searching into candidates past employment, education, personal, reputation, etc..

Fin($ se$ec ion: +fter a candidate has cleared all the hurdles in the selection procedure, he is formally appointed by issuing him an appointment letter by concluding with him a service agreement.

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PHYSICALLY UNFIT PERSONALLY OBJECTIONABLE OR UNFACOURABLE GENERAL IMPRESSION

RECEPTION OF APPLICATIONS

UNFAVORABLE PERSONNEL DATA

PRELIMINARY INTERVIEB

UNFAVORABLE SECOND IMPRESSION

APPLICATION BLANK

UNFAVORABLE TEST SCORE

EMPLOYMENT TESTS UNFAVORABLE PREVIOUS H-)*#r,

INTERVIEB

REFERENCE CHECK 5BACKGROUND INVESTIGATION6

BAITING LIST OF DESIRABLE APPLICANTS

FINAL SELECTION BY INTERVIEBERS PHYSICALLY UNFIT

!ig.2. 0teps PHYSICAL in selection procedure EXAMINATION

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NEGATIVE DECISION PLACEMENT

EXITSTIN. PROCEDURE #$#$# %&'()*T#+, is a huge company@ around 29.. employees are working in this company. The company has a well established recruitment and selection policy. The policy asserts the objectives of the recruitment and provides a framework of implementation of their recruitment program in the form of procedures. This policy involves filling vacancies with the best qualified individuals. There is no special occasion or time for recruitment in #$#$# %rudential. They are recruiting continuously, it means, every day is a recruitment day for them. Whenever the company identifies recruitment needs, the recruiters prepare profile for each category of workers and accordingly work out the main specification, decide the sections and department where they should be placed and identify the particular job responsibility which may be assigned to them. The company follows various sources of recruitment. These are;1 4. C(!*us "ec"ui !en !or this the company goes to the various colleges across the country and they recruit fresh candidates from there. 5. Medi( The company also recruits through media. !or this the company uses sources like newspapers, magazines etc. They prefer this media basically when large volume of people is required. 6. We78 7(sed "ec"ui !en The company also gives recruitment notice in the web and they recruit through the web. 9. E!*$o&ee "efe"ence The company also recruits from friends and relatives of present employees. :. Consu$ (nc&

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Whenever necessary the company takes the help of the consultancy for recruiting candidates. This is also an important source for them.

P"efe""ed sou"ces of "ec"ui !en +lthough there are various sources of employment, followed by the company, i.e. e"ternal and internal sources but the company mostly prefers the e"ternal source for recruiting the candidate. Cos s in)o$)ed in "ec"ui !en $osts play an important role in recruitment. The company incurs various types of costs. These are;1 2. Travel cost 111111 $ost incurred for traveling 3. $onstancy cost 1111111 $ost paid to the constancy firm :. %ublication cost 1111111 $ost incurred for giving recruitment notice in newspapers and magazines. 4. &e1 location cost 111111 $ost incurred for transferring employees in other departments and branches. Rese")( ion of ;o7s fo" SCs< STs< e c. The company does not follow any reservation policy for 0$s and 0Ts etc for recruiting the candidates. They only look for the eligible candidates.

C"i e"i( fo" #e c(ndid( e ?ainly the criteria are role dependent. #t depends on the job of the candidate. Gut the candidates require highly personal and technical skills. The company looks for both freshers and e"perienced candidates. Gut in case of e"perienced candidates, minimum two years of e"perience is required.

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E!*$o&ees u"no)e" "( io )mployees turnover ratio in the company industry is 2>/, where as in #$#$# $ompany it is only 7/. 0o, it is reasonably less compare to others. S e*s ('en 7& #e co!*(n& o "educe e!*$o&ee u"no)e" "( io The company has taken various steps to reduce employee turnover ratio. 0uch as 2. )ncouraging job satisfaction 3. Guilding organization cultureM working environment, so that the employees can be retained. :. $areer growth opportunity Se$ec ion *"ocedu"es fo$$o3ed in #e co!*(n& $andidates are recruited on the basis of written test and interviews. $andidates must have good analytical reasoning ability and logical power. $andidate has to go through three interviews in the selection process. +mong them two technical interviews and one Duman resource interview is conducted. The company looks for technical and job specification both in the candidate. -o7 s*ecific( ion (nd -o7 desc"i* ion The company follows both Eob specification and job description. !or job description, document for the ne"t job is available to all the employees of the company. Gy this, the employees can already be aware about the ne"t jobs they have to perform and it creates the delta between the current role and the new role of the employees. Gy this the employees can upgrade or prepares themselves for their new job. F(u$ & se$ec ion +ccording to the interview with the D.&. manager, it can be inferred that the company has rarely suffered from any faulty selection procedure. The recruitment and selection procedure in #$#$# %rudential is dynamic in the past

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years. That means it keeps on changing every year and it always remains updated.

C+AN.ES IN RECRUITMENT AND SELECTION PROCEDURE )very year there are some changes take place in recruitment and selection process for better result and production. #t is such an industry where in every moment some innovation takes place. 0o the company needs some new skills to achieve the required fulfillment. !or the last couple of years the company is focusing more on campus interview to give more chances to the fresher. This reflects the companys recruitment policy, the companys needs for greater committed employee and also motive behind concentrating more on freshers, as it is the belief from companys perspective to be working smartly with full enthusiasm. They are also updated with the current concepts, which are required in company industry. The company is dealing in making, developing and maintaining the packages. The companies target audience is foreign market. ?ost of the customers come from abroad. !or these very reasons employees have to conduct project in foreign countries. Thats why freshers are targeted to fill up the vacancies.

EFFECT OF C+AN.ES OF RECRUITMENT AND SELECTION PROCEDURE TOWARDS .RATITUDE OF EMPLOYEES

+s most of the candidates comprise the group of freshers, so it is quite obvious that the degree of commitment towards the organization will automatically be more from their side as compared to the e"perienced ones. #t is also felt that unlike the e"perienced candidate, the freshers find it difficult to get a job easily. +s it is obvious from the fact that the e"perienced candidates demand high value in the market for employment opportunity, the changes during

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the past few years will give an idea of how they get themselves updated with the needs of the industry. #t also gives an idea of any third party intervention in the recruitment and selection procedure of the organization. #t depends upon the market demands of the particular industry as to how the candidates would be available for service in the prospective sectors. !or e"ample, two years back due to 0eptember 22, attack there was a great recession in the global company industry which let to decrease of about 3-/ in the wages of its employees. 0ince compensation is the basic factor of motivation of employees so it decreased the commitment, gratitude, dedication of employees towards the organization.

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ANALYSIS OF EMPLOYEES= PERSPECTIVE A,OUT RECRUITMENT AND SELECTION PROCEDURE OF ICICI PRUDENTIAL

4. WOR>IN. PERIOD OF EMPLOYEES IN T+E COMPANY

+s per the survey of :> employees most of the employees are young in the organizations, they dont have the past e"perience of any change in recruitment and selection. n a survey of :> employees done, it has been shown that employees completed 2 year of service comprised :5/. 0imilarly employees 213 years of service comprise :>/. Gut there is only less number of employees there about between 31: years comprised 29/. The rest i.e. 7/ comprised of the group of people who have been in the organization for :1- year.

5. CANDIDATES= WILLIN.NESS TO -OIN T+E COMPANY ?ost of the #ndian candidate looks in for the salary package and job security before joining a company for job. +ll other things such as &eputation of the company, working environment, job prospects, location of the company, career growth opportunity, are seen either in isolation or in combination to each other as a whole ut of :> employees 9 joined the company due to its reputation while 23 were attracted by its salary package. 7 employees emphasize on the career growth in the company while 4 were impressed by the working environment. ?ost of the employees are least concerned with the location of the company.

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6. RECRUITMENT PROCEDURE FOR CANDIDATES The company adopts various processes for recruiting the right candidate. +ctual recruitment procedure followed by the company is by conducting written e"amination followed by a group discussion and then a final interview which comprised 45/ of sample survey of :> employees. Gut still some candidates are also chosen through written e"am N interview and comprise :2/. 25/ are selected through written only and others comprising only -/. These Hothers include the reference of the e"isting employees within the organization itself. +s it is private company most of recruitment is done through campus selection, the candidates are selected by way of testing their knowledge and technical skills in their prospective fields. !or that very reason written test followed by a group discussion and a personal interview is given most priority.

9. ELI.I,ILITY CRITERIA FOR RECRUITMENT

The minimum qualification required to be an advisor is graduation. %reference is given to candidates having a post graduation degree with e"perience. !rom the responses given by the employees its clear that equal preference is given to candidates who are either $+s or are having a post graduation degree with e"perience. !ewer graduates are hired but those who hired must have e"perience in the same industry. %ost graduate freshers are also preferred as most recruitment are done through campus recruitments. :. STRATE.IES FOR RETAININ. EMPLOYEES

4 options were given to the employees to know what the organization is doing to reduce employee turnover ratio. These are; 1 Getter salary package

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 ?ore benefits $hanging M #mproving working conditions Getter promotion M $areer (evelopment pportunity

+fter summarizing the entire :> respondents the following analysis can be given; Getter salary package ?ore benefits $hanging M #mproving working conditions Getter promotion M $areer (evelopment $ant say pportunity A5B A-B A4B A27B A3B

INTERPRETATION

!rom the analysis it is clear that more than 92/ of the employees are working in the company, for a period of less than : years. nly 7.::/ of the employees are working in the company having completed more than : years. 0o it is evident that the employees of the #$#$# %&'()*T#+, ,#!) #*0'&+*$) are much younger. #t indicates the recent trend of recruiting fresh candidates by the organization.

?ost of the employees A37/B have mentioned the salary package as a reason for joining the organization. 2>/ of the employees have mentioned or pointed it out the working environment as the reason for joining the organization. 25/ talked about the reputation of company and 3:/ mentioned about career growth opportunity. 0o it can be said that the salary package and career growth opportunity are the more attractive to the employees.

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+lmost every respondent said that they had got specified job offered to them. 0o it can be concluded that the organization follows job specification in case of recruiting the candidates.

)very employee is satisfied about recruitment and selection procedure prevailing out there. They also think the process as fair enough. #t also shows the credit of the company. The organization has developed such a policy of which every one is satisfied.

The company has no trade union. 0o all the employees have either directly contact the management for sorting their individual problems or through a particular channel of span of control. #t develops a better relationship between the employees and management which is the main criteria of effective working environment.

!or the last couple of years company is going more for $ampus &ecruitment which indicates that the company prefers more fresh candidates who are much more enthusiastic and dedicated to their job.

%eople dont want to choose this profession because of distributing the commission with the clients and also because of their busy schedule.

%eople are sometimes rude and unapproachable that makes difficult to communicate with them.

When we talk of popularity no doubt that ,#$ is on top but #$#$# %rudential is *o.2 among the private players.

%eople still have inhibition about private players in insurance sector. Training and test centers are limited so its difficult for people to commute. 0ince #$#$# is a brand name among people so it is an advantage for #$#$# prudential in making a good position in the market.

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CONCLUSION #n todays scenario there is a lot of potential for the growth of insurance sector as people are becoming more and more concerned about the safety and security of themselves and their loved ones. This increasing awareness and concern about the need for insurance requires the presence of e"pert people who can guide and advise people about insurance and suggest them the products that fit their needs perfectly. +n insurance advisor is the one who can take up this responsibility and help people in this. #t will not only be beneficial for the society but will also give the person a golden opportunity to grow, learn and achieve more. +nd with a back up of a reputed company like #$#$# %rudential ,ife #nsurance ,td. there seems no barrier in achieving this.

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I L!"#$P%&' 333.icici.co! 333.icici*"uden i($.co! 333.7('in%.co! P"inci*$es ? P"(c ices of ,(n'in% 8 N.S.TOOR ? ARUNDEEP TOOR Rec"ui !en ? Se$ec ion @ P"i!e ,(n' Li!i ed

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