Tata-aig And Selection Process Of Candidate 33h20

MINOR PROJECT REPORT On

THE STUDY OF TATA AIG AND THE CANDIDATE SELECTION PROCESS INVOVLED

Submitted by:-

Guided by:-

Kritika Verma

Mr. Lokesh Jindal

BBA (B&I)-3rd Semester

Lecturer,

Roll No. – 0131491806

Department of Business istration. Submitted to:-

An ISO 9001:2000 Certified Institute Recognised by UGC u/s 2(f) (d to Guru Gobind Singh Indraprastha University) C-4, Janak Puri, New Delhi-110058

CERTIFICATE

This is to certify that the project entitled “THE STUDY OF TATA AIG AND THE CANDIDATE SELECTION PROCESS INVOVLED” submitted to MAHARAJA SURAJMAL INSTITUTE (Guru Gobind Singh Indraprastha University) in partial fulfillment for BBA Course has been carried out under my supervision.

Project Guide: Mr. Lokesh Jindal Lecturer, Department of Business istration Maharaja Surajmal Institute, Janakpuri, New Delhi-110058

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Acknowledgement

I would like to thank and dedicate this project to my project guide Mr. Lokesh Jindal , for giving me his unwavering with which I was able to complete the project. It was a nice experience of learning and I gained a lot of knowledge by working under his kind supervision. I would like to give a special acknowledgement and thanks to all those, without whom this project could not have been possible.

Kritika Verma

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Table of contents

Chapters 1.

Topic

Page no. 5-10

Introduction 1.1 1.2 1.3 1.4

Preface Objectives of the study Research Methodology Limitations of the study

6 7 8 10

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Profile of the organisation

11

3

Analysis

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4

Conclusions

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Bibliography

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Annexures

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INTRODUCTION

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PREFACE Everyone these days needs insurance. So the whole country has become the market place for insurance companies. Private Indian companies and foreign ones are so numerous at present that there is a cut-throat competition environment. And both looking for ways to increase their clientele and services to increase their business. Tata AIG Life Insurance Company Ltd. now provides new value-added services and ways in order to make the sphere of their clientele wider and wider. The company, in order to survive the growing competition is in a unique position to leverage its expertise and scale. The company is seeking new channels for its services and opportunities to reach to more and more patrons. This project was undertaken in order to select persons from various fields. To achieve this objective, questionnaires were used as a powerful tool and interviews and discussions were conducted. A lot of market surveys were undertaken for person to person s and the method of telecalling was also used which required a lot of time & energy besides persuasive skills.

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OBJECTIVES OF THE RESEARCH

The primary objective would be-: The main purpose of the project is to study the working of TATA AIG LIFE INSURANCE and to design out candidate selection process for insurance advisor program. The Other objectives would be: Analysis of positive and negative things about the various means used to carry out the recruitment process. To see the availability of people and their willingness to indulge themselves in a part time career opportunity. Finally to conclude the findings and suggest the necessary corrective measures and recommendations regarding the future growth prospects.

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RESEARCH METHODOLOGY

TYPES OF DATA Two types of data:  PRIMARY DATA  SECONDARY DATA PRIMARY DATA: Primary data is the kind of data, which is collected by the investigator himself for the purpose of the specific study. The data such collected is original in character. The advantage of this method of collections authentic. A set of Questions was put together in the form of two questionnaires . The method of sampling was the random convenient sampling method. SECONDARY DATA: When an investigator uses the data that has been already collected by others is called secondary data. The secondary data could be collected from journals, Reports, internet and various publications. The advantages of the secondary data can be it is economical, both in of money and time spent. The researcher of the report also did the same and collected secondary data from various Internet sites like google.com, yellowpages.com and many more. The researcher of the report also visited various libraries for collection of the introduction part.

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DATA COLLECTION  Data collected from various places such as Connaught place, Bani park, M.I. road etc.  Sample size, which has been covered, is 50.  Other information related to project has been taken from company website.

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LIMITATIONS OF THE STUDY

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The study results can be better applied to comparable cities and situations.

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As the sample size is small, the opinions and beliefs of respondents may not represent true universe.

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Personal biases of respondents may also act as hindrance towards clear picture of study.

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The study was taken up in one city only and the responses may not be applicable to other cities or states.

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While an attempt has been made to explore the scope, the competition and customers, developing the marketing plan for the company would require a great deal more expertise and experience.

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PROFILE OF THE ORGANISATION

INTRODUCTION ON TATA AIG 11

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THE TATA GROUP The Tata Group, easily India's most recognized business group, was founded by Jamsetji Tata and began with a textile mill in central India in the 1870s. From there, it has evolved into a truly diversified conglomerate spanning, among other sectors, Engineering, Energy, Chemicals, Consumer Products, and Communications & IT. The Tata Group is one of India’s best-known industrial groups with an estimated turnover of around US $14.25 billion (approximately 26% of India’s GDP). With more than 220,000 employees across 91 major companies, it is also India’s largest employer in the private sector. The Tata Group pioneered several firsts in Indian industry firsts, including: India's first private sector steel mill, first private sector power utility, first luxury hotel chain and first international airline, amongst others. Recently, the Tata Group's pioneering spirit has been showcased by companies such as Tata Consultancy Services (TCS), Asia's largest software and services company, and Tata Motors, the first car maker in a developing country to design and produce a car from the ground up. The Tata Group stable of brands also includes many national and some internationally renowned product and service brands, including:

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Tata Motors (multi-utility cars)

Tata Motors, India's largest automobile company, manufactures two kinds of multi-utility vehicles: the well-appointed Tata Safari and practical Tata Sumo.

Tata Motors (enger Cars)

Tata Motors has a pioneering presence in India's automobile industry, best illustrated by the path-breaking creation of the Indica, a hatchback that was the country's first indigenously designed and manufactured car. Since then the company has expanded its enger cars portfolio, which now also boasts the Indigo, a sedan, and the Indigo Marina, a station wagon.

The Taj Group of Hotels (Luxury, Business and Leisure)

Jamsetji Nusserwanji Tata, the founder of the Tata Group, incorporated the Indian Hotels Company on April 1, 1902, for the ownership and operation of the renowned Taj Mahal Palace and Tower, Mumbai. Indian Hotels and its subsidiaries are

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collectively known as Taj Hotels Resorts and Palaces and, together, form the largest hotel chain in India

Tata Tea & Tetley

The Tata Group runs the world's second-largest branded tea operation. Tata Tea and Tata Tetley are the two companies that power the group's leadership drive in the worldwide tea industry.

Tata Salt

Besides tea and coffee, Tata Group enterprises are also involved in the production of food additives and spices. Tata Salt is the No 1 food brand among India's most trusted brands. India's most preferred salt is one of the purest available in the country. Moreover, Tata Salt contains the right amount of iodine, vital for physical and mental growth and development.

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Titan

Titan Industries is India's leading manufacturer of watches and the world's sixth largest manufacturer brand of watches. The company makes about 7 million watches and clocks every year and has a customer base of some 60 million. It enjoys over 50 per cent market share in India's organized watch segment.

Tanishq

Tanishq, a division of Titan Industries, is India's largest jewellery brand. It has 74 boutiques in 55 cities across the country

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Westside (Garment Retail Outlet)

Trent, the Tata Company that owns and operates the Westside chain of lifestyle stores, retails garments and household accessories. Set up in 1998, Westside is among the fastest-growing retail chains in India. It has a team of dedicated merchandisers, store staff and in-house designers, and its store portfolio comprises clothes and accompaniments for men, women and children. The chain also sells household accessories, cosmetics and perfumes. The other products and brands are: Tata Steelium, Tata Shaktee, Tata Tiscon, Tata Bearings and Voltas. By combining ethical values with business acumen, globalization with national interests and core businesses with emerging ones, the Tata Group aims to be the largest and most respected global brand from India whilst fulfilling its long-standing commitment to improving the quality of life of its stakeholders.

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THE AIG GROUP American International Group, Inc. is the world's leading international insurance and financial services organization, with operations in more than 130 countries and jurisdictions. AIG member companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In the United States, AIG companies are the largest underwriters of commercial and industrial insurance and AIG American General is a top-ranked insurer. AIG's global businesses also include retirement services, financial services, and asset management. AIG's financial services businesses include aircraft leasing, financial products, trading and market making. American General Finance leads AIG’s growing global consumer finance business in the United States. AIG also has one of the largest U.S. retirement savings businesses through AIG SunAmerica and AIG VALIC, and is a leader in asset management for the individual and institutional markets, with specialized investment management capabilities in equities, fixed income, alternative investments and real estate.

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TATA AIG Tata AIG Life Insurance Company Ltd. is a t venture of the Tata Group and American International Group, Inc. (AIG). The Tata Group holds 74 per cent stake in the two insurance ventures while AIG holds the balance 26 per cent stake. Tata AIG General Insurance Company, which started its operations in India on January 22, 2001, offers the complete range of insurance for automobile, home, personal accident, travel, energy, marine, property and casualty, as well as several specialized financial lines.

Tata AIG Life Insurance Company Ltd. is India's leading insurance company providing both Life and General Insurance. It represents the trust and integrity of TATA group combined with the international expertise and financial strength of AIG, Inc. For individuals: motor, health, and accident and health n travel. For Corporate: accident n health, travel, energy, property, marine n contingency.

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INSURANCE REGULATORY DEVELOPMENT AUTHORITY (IRDA)

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ABOUT IRDA IRDA is a government body that protects the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto. The way RBI controls all the banks, in the same manner IRDA takes control of all the insurance companies. It includes registrations, licensing and laying down regulations for proper conduct of business.

IRDA NORMS FOR TRAINING AS A FINANCIAL ADVISOR A financial advisor must possess a license issued by IRDA. The qualifications necessary before a license can be given are that the person must:  Be at least 18 years old  Have ed at least the 12th standard or equivalent examination  Have undergone practical training for at least 100 hrs in life or general insurance business  Have ed the pre-recruitment examination conducted by the IRDA.

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DOCUMENTS REQUIRED

On the time of the registration, the candidate has to bring along a list of documents. These are: 6 photographs Identification proof Date of birth proof Highest Education proof Residence proof Rs. 1000/- Demand Draft favoring “Tata AIG Life Insurance company Ltd.” Payable at New Delhi.

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PRODUCT PROFILE OF TATA AIG

PRODUCTS Tata AIG Life Insurance Company specializes in helping their customer in fulfilling their future financial goals and builds an extra security cover for their family and loved ones. The various products offered are:

Invest assure- Unit Linked Insurance Plan: This highly flexible plan gives you full life cover AND high returns AND the flexibility of deciding the length of your life cover term, the amount of cover you receive & where the rest of your is invested.

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Mahalife: This exceptional policy ensures that you have a steady income and insurance coverage for life! s are payable only for the first 12 years. You can even use this to create a steady stream of post retirement income.

Educare: This first of its kind juvenile endowment policy is geared toward funding your child’s education. You can choose between Assure Educare 18 and Assure Educare 21, depending on your child’s needs.

Shubh Life: This plan provides you 100% life insurance protection and high returns on your investment but the s you pay are among the lowest of any similar endowment policy.

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Money Saver Plan : This savings plan provides you with cash payments in the form of survival benefits at regular intervals to fund your child’s needs at critical milestones or your financial obligations. You get the dual benefits of life insurance coverage plus the flexibility of periodic payments.

Nirvana & Nirvana Plus: This is India’s first and only pension policy with a guaranteed addition of 10 percent of sum assured every 5 years. You can choose from three levels of cover, and also decide the age you want to retire.

Starkid: An exceptional endowment policy that ensures you can afford to give your child the very best for his career & marriage.

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Health Protector: The average cost for a major surgery or treatment in hospital is between three to five lakh. Health Protector is the first product of its kind in India that offers you protection in case ANYONE in your family has an accident or falls ill.

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MARKET SHARE OF TATA AIG

TATA AIG Life Insurance Company has said that it aimed to be the number-two private player in the life insurance industry with a market share of 20 per cent by 2007. Mr. Trevor Bull, Managing Director, Tata AIG, estimated that by 2007, private players would have about 40 per cent of the total life insurance market; currently dominated by the Life Insurance Corporation. Tata AIG Life Insurance Co. is expecting a 85-90% growth in its total income in 06-07. Tata AIG has 85 offices in cities, and would be opening 20-25 new offices during 06-07 to cater to a larger customer base. Profit from General Insurance for 05-06 is estimated to be 13.6 crore.

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JOB DESCRIPTION

The objective is to design out candidate selection process for insurance advisor program. Tata AIG is looking for insurance advisors to give advice and sell insurance. And it pays as much as one wants it to. Tata AIG Life, a company that combines the trust and integrity of the Tata Group with the expertise & financial strength of American International Group, Inc. The person receives World-Class training while the marketing & management ensures their success. So, our main aim is to look out for eligible candidates who have the time to devote and desire to earn money and then recruit and select them as financial advisors.

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DETAILED JOB PROFILE

The project required me to approach people and make them aware of the part-time business opportunity that Tata AIG is offering, wherein, they will be recruited and selected as Financial Advisors. Here, not only will they earn a lot, but the growth prospects would also be open to them. For this, we collected data through various means and some of it was provided by the company as well. We were supposed to make calls to people, undertaking surveys, etc., make them aware of this opportunity and arranging appointments with our manager. After this, they were interviewed and later on selected, if eligible, for the offered work.

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Our project in Tata AIG involved the following tasks:

 Recruitment: ways, sources and means  Selection Criteria  Selection Procedure

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THE SELECTION PROCESS

SELECTION PROCESS Selection is the process of picking individuals (out of the pool of job applicants) with requisite qualifications and competence to fill jobs in the organization. It can also be defined as: It is the process of differentiating between applicants in order to identify (and hire) those with a greater likelihood of success in a job. Here, at Tata AIG, we have followed a series of processes in selection of a Financial Advisor. 31

CRITERIA FOR SELECTION Stability in Delhi: The person should be a stable Delhi resident. This ensures his having a good number of s & an amount of trust that people build over a person. Natural Market: This also is a very important factor. The person who is to be selected as an insurance advisor, if he has a natural market he can sell insurances to them also. Time: The candidate should have enough time and proper focus for the training as well as for the work. Desire to earn money: This is a factor that a candidate must certainly possess. It would motivate him to give out more and more business & if he will have a desire to earn money he would be more devoted toward his work.

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SELECTION PROCEDURE

PROCEDURE At Tata AIG, following steps were followed by us in the selection of a financial advisor: Candidate’s profile sheet: As soon as the candidate comes, he is made to feel comfortable and then is given a candidate registration form to fill. The candidate is supposed to fill this form to provide us with his basic personal information. For e.g. : 

Candidate’s address.

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Since how long he’s been residing in Delhi

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His qualification

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His experience, if worked earlier, etc.

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Preliminary interview: This is done to eliminate the candidates who are not found to be appropriate for the job.

Career Opportunity Path (COP): A seminar is held, to give a brief detail about the BA Model and the work of a Financial Advisor. He is also notified about all the details of the benefits he would get out of his job. This seminar is followed by some tea and snacks for the invitees.

Interview: Once the capable candidates are selected amongst all, they are called for a One- to-one interview with the Manager. This is carried on because : 

It helps in obtaining additional information from applicant.

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It facilitates giving general information to applicant such as, company policies, job, etc., &

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It helps build Company’s image among the applicants.

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References: Candidate is also asked for references. Previous employers, known public figures, university professors, neighbors or friends can act as references. These are required so that, once we the selected candidate with us, we would need to confirm his information provided by him.

Selection Decision: The person is analyzed by the Manager on the basis of the above stages and is then finally selected for the job.

Registration: This is the final step. When a candidate fulfills all the above criteria, the registration is done. The candidate is asked to fill a NAAF, New Agent Application Form, and submit his required documents.

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ANALYSIS

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SWOT ANALYSIS OF TATA AIG

SWOT ANALYSIS A SWOT (Strengths, Weaknesses, Opportunities and Threats) is a tool used to provide a general or details snapshot of a company’s health. An effective SWOT analysis will help determine in which areas a company is succeeding, allowing it allocate resources in such a way as to maintain any dominant positions it may have.

Strengths: Tata AIG has the strong brand name of TATA & AIG with it. It offers a good career path for advisors. ( Advisor to Business Associate to a Senior Business Associate & finally to a Managerial Business Associate) Tata AIG has a good reputation among customers.

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It gives Ist year highest commission. Tata AIG has a strong training Tata AIG is the only Insurance Company in the world rated AAA by SWP. It is the only company that provides whole infrastructure to new advisors. It ensures a long-term growth for the insurance advisors.

WEAKNESS: Tata AIG is conservative in the context of advertising. It is an underwritten driven company.

OPPORTUNITIES: Tata AIG provides protection against financial loss & helps in future planning. They also provide additional rewards for advisors.

THREATS: 38

Because of the mushrooming of the private insurance companies, there is increased competition. The training period of 18 working days/100 hrs and the fee of 1000/-, also stands as a hindrance for people who are interested to become insurance advisors

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CONCLUSIONS

CONCLUSION With introduction of the foreign sector in the field of Insurance, it has become extremely competitive. Insurance involves tiring field work and tele ing, the prospective customers – to persuade them and convince them about future benefits of the insurance scheme. The Tata AIG, a multinational insurance concern, is busy in recruiting and selecting insurance advisors tactfully, skillfully and with expertise. In view of the competition, especially in the private sector, the Tata AIG, makes efficient sales team effort with

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expertise and acumen to create excellent customer relationship management with great online and personal s. The Tata AIG is one of the most prominent insurance companies with international expertise and experience.

BIBLIOGRAPHY

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bibiliography The various books that I had consulted for the successful completion of my summer training project are listed below. These are:

K. Aswathappa, “Human Resource and Personnel Management”, Tata McGrawHill Publishing Company Limited, New Delhi Shawn A Smith, Rebecca Mazin - Business & Economics

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Philip Kotler, “Marketing Management”, Prentice-Hall of India Pvt. Ltd., New Delhi

We visited the following sites: www.tata.com www.tata-aig/life.com www.aig.com

ANNEXURE

QUESTIONNAIRES

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Questionnaire 1: Market Research survey

Questionnaire 2: Market Survey

MARKET RESEARCH SURVEY DEAR SIR/MADAM We a r e t h e s t u d e n t s f r o m N e w D e l h i I n s t . o f M a n a g e m e n t . We a r e conducting a market survey to understand the job and business market and the satisfaction with the same. Kindly cooperate and give us the information. Q 1 . W h a t i s yo u r c u r r e n t s o u r c e o f e a r n i n g ? (a)

Business………………………………………………… 44

(b)

.Service……………………..Designation……………

(c)

Student…………………….Qualification……………

Q 2 . H o w l o n g yo u a r e i n v o l v e d i n t h i s j o b / b u s i n e s s ? Q 3 . Ar e y o u s a t i s f i e d w i t h t h e e a r n i n g s ? (a)

Yes … … … … . .

(b)

No…………..

Q 4 . Wou l d yo u l i k e t o i n v o l v e yo u r s e l f i n s o m e o t h e r j o b / Business as a part time work? (a) Yes (b) No Q5. Which is the best and fastest growing Industry today to as part time? (a)Insurance (c)Banking & Finance

(b) Automobile (d) Education

(e)Others………………….

MARKET SURVEY

Dear Sir / Madam

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We are the students of New Delhi Institute of Management, We are doing a survey on Impact of METRO Services at are. Kindly spare a few minutes to help us taking your . 1. Do you feel that Metro services have increased the Footfall / visits in your show room? Yes

No

Don’t Know / can’t say

2. Do you feel there is an increase in Sales volume due to Metro Services? Yes

No

Don’t Know / can’tsay

3. Do you feel that is still better shopping area than any other shopping Mall in Delhi/ NCR? Yes

No

Don’t Know / can’t

say 4. What do you suggest to improve the quality of shopping experience at ? ………………………………………………………………………………………… ………………………………………………………………………………………… ………………………………………………………………………………………… ………………………………………………………………………………

Basic Details: Name of Owner / Manager: ………………………………………………………….. Outlet Name- …………………………………………………………………………. No - ……………………………………Mobile - ……………………………

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THANK YOU!!

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