DECLARATION

I Ashu Kapoor hereby state that this final evaluation report has been submitted to
Bhartiya Vidyapeeth in partial fulfillment of requirements of Dissertation in MBA
(Master of Business Administration) programme class of 2010.

The empirical information of this report is based on my experience in dissertation. Any

part of this report has not been reported or copied from any report of the universities and
others.

DATE ASHU KAPOOR

Enrollment number MBA (HR) - 2010

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 PREFACE

Research project help us to get familiar with real environment of business. The research
project and title “study of HR challenges and implementation of Human Resource
Information System (HRIS)”is an original work. I have done this study in Max New
York Life Insurance.

In Carrying out study at Max New York Life Insurance, the data was collected

From the H.R. managers who are the integral part of the organization, HR department

And from the senior HR executives at Max New York Life Insurance and Tata AIG Life

Insurance for finding out the HR challenges at these organizations.

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 ACKNOWLEDGEMENT

“All praise to Almighty, Who is the source of all knowledge without His mercy
This work can never be accomplished”

I feel privileged in expressing profound sense of gratitude, high esteem and indebt ness to
my venerable faculty guide, Mr. Rajneesh Mahajan for his excellent spirit,
illuminative and precious guidance, keen interest, critical opinion and suggestions, her
constant useful encouragement and sympathetic attitude, which have always been source
of preparation and formation of this dissertation.

My special thanks to the employees of Max New York Life Insurance and Tata – AIG
Life Insurance for their plethora, elucidation and for providing retrospective information
throughout my dissertation.

I am highly indebted to my dear friends for their valuable and creative inputs.

Above all the perpetuating, sterling and deliberative love, encouragement, immense
support, co-operation, inspiration and financial assistance of my family members during
the whole course of my study are highly acknowledged. Before concluding, I doubt I
could have forgotten to mention and acknowledge any person who helped me in one way
or another.

ASHU KAPOOR
MBA HR

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 EXECUTIVE SUMMARY

Title project report- I have conducted research on “A study on HR Challenges faced in

the Insurance Sector and the implementation of HRIS at Max New York Life
Insurance

The main purpose of doing this project is to see that how HRIS technology provides by
Humanities Dimension group and People Soft can solve the HR challenges at Max New
York Life Insurance and Tata AIG Life Insurance.

The main objective of research conducted was to find out

 The H.R challenges at Max New York Life Insurance and Tata- AIG Life
Insurance.

 To find how the HR2 tool (HRIS ) provided by Humanities and People Soft
software used in Tata- AIG Life Insurance help to solve out the challenges faced
by Max New York Life Insurance and Tata AIG Life Insurance.

The Data was collected from the H.R managers who are integral part of the organization
H.R department, and from the senior H.R executives at Max New York Life Insurance &
Tata- AIG Life Insurance for finding out the H.R challenges at Max New York Life
Insurance.

My Research mainly deals with Non probability sampling.

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 INDEX

Chapter TOPIC Page No.

1. Introduction 7 – 14

2. Literature Survey 16 – 17

3. Company Profile 19 – 38

4. Research Methodology 40 – 42

5. Data Analysis 44 – 54

6. Interpretations and discussions 56 – 59

7. Conclusion 61 – 62

8. Recommendation and suggestions 64

9. Limitations 66

10. Annexure 68 – 69

11. Bibliography 71

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 CHAPTER- 1

INTRODUCTION

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 INTRODUCTION

Automation of Human resource –

The automation of Human Resource in the organization is due to various H.R challenges.

The main H.R challenges

The well being of the company is linked to the well being of its employees. Employees
determine that whether the organization will flourish or fail. If the efforts are made and
the resources are invested in the employees, then everyone wins professional welfare –
the employee the customer and the company.

H.R challenges mean all those problems and situations that may arise during the
workings in the organization it is actually related to the maintenance of the employee life
cycle management from recruitment to training and development to performance, payroll
and retention of employees.

Now days the organization are facing with number of pain areas or challenges such as

 Attracting the right talent and retaining it.

 Training and development

 Performance appraisal

 Attracting the right talent and retaining it

One of the greatest challenges for companies today is attracting and retaining the right
talent. The challenge of talent management has two facets first is how to find the new
people and second is how to retain the talent ,it focuses in the acquiring of right person
for the right job which means the talent has to be spotted carefully nurtured and most
importantly preserved.

Reasons can be:

1. The process is manual and paper based.

2. Good candidates may be dropping out of the recruitment chain.
3. Process is inflexible? Does not differentiate between the hiring process employed
for senior management position or junior clerical position.

 Training and development

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Given the rapid obsolescence of knowledge and the fast change in technology, there is a
need for continuing training and development on a part of all the employees whether they
are managers, supervisors, Government training agencies, employers organizations
education and training institutions should involved in the exercise to review the existing
situation in regard to continuing education and training and to map out its future
development.

 Performance appraisal
The main challenges which the organization is facing now a days is that the performance
appraisal system of the organization is not effective in achieving its objectives, most
appraisal systems do not achieve its objectives i.e. aligning company goals with the
people goals and motivating employees excel to improve.

Its reasons can be

1. It takes a too much time and effort to initiate and effectively complete a timely
appraisal process.
2. The employee performance and appraisal does not go hand by hand and it
become difficult to collate complete performance history at the time of
appraisal.
3. Company goals are not systematically and logically scaled down to employee
goals and target.

Managing attrition

Another important issue before the organizations to manage the rate of attrition in their
enterprise, the large rate of attrition in the organization shows the higher level of
inefficiency in the organization. This actually means that organization is not Able to keep
its employees happy that is why people are leaving the organization, in order to find out
the reasons that why people are leaving the organization the organization should indulge
itself with the meeting of its employees from time to time and discuss about various
problems the employees in the organization is facing.

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IMPACT OF TECHNOLOGY ON HUMAN RESOURCE
DEPARTMENT

H.R department is said to be the backbone of any organization. This department

responsibilities include everything for the maintenance of employee life cycle
management starting from recruitment, to on boarding, to performance appraisal to
payroll till the retention of an employees as how well the employee life cycle of the
organization is maintained more values it will create to an organization

H.R department going I.T way

As the digital age is taking place a growing number of organizations are looking for way
to improve its productivity and results and this can achieve by the creating value within
the human resource organization by implementing of technology.

The information technology has enabled a revolutionary change in the Human Resource
department, from succession planning of employees in the organization to performance
management; all have become much easier with the use of technology. The recruitment
of employees and their tracking has also become much easier and maintenance of data
base too. There has been enough learning and development when H.R transformed with
the entry of information technology. Preparation of employee compensation and benefits
has also become systematic.

Technology in H.R

A Human resource information system, H.R technology or also called H.R modules
refers to the system and the processes of the interaction between human resource
management (H.R.M) an information technology. It merges H.R.M activities with the
information technology field

The function of human resource is common to all organizations. H.R deals with
evaluating performance, payroll processes. The H.R function may consists of tracking
employee’s data which traditionally includes accomplishments; skills etc and this require
a lot of manual workload of these activities. To reduce this manual workforce of this
administrative staff, the organizations begin to electronically execute this work by
introducing specialized Human Resource Information System. Human resource
information system is a system that keeps the track of all its employees and information
about them. It is usually done in a database or more often in a series of interrelated
databases. These systems include the employee name and contact information like

 Personal History- Name, Date of birth, sex

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  Work history- salary, first day worked, employment status, positions in the
organizations, appraisals data

 Training and development completed both internally and externally

.
 Career plans including mobility

 Skills inventory- skills, education, competencies

HUMAN RESOURCE INFORMATION SYSTEM

Human resources management has emerged as a powerful and active participant in

organizational development and decision making, since its birth. Until the 1970's, most
organizations referred to the department that handled employee hiring, firing and
tracking as personnel department. The record-keeping procedures concentrated on
personnel transitions which provided the company with the information of hiring, firing,
promotion or transfer. They determined how many full-time, part-time, permanent and
temporary employees worked in a particular section, department, division, region or
company.

Several factors added to the department's data collection and analysis responsibilities.
Demographic and economic changes combined to increase frequency of job changes in
the population. As management increasingly recognized the importance of hiring internal
staff for critical positions, specialties such as succession planning and work force
forecasting emerged. Many human resources departments began spending more time on
planning and analysis to support top management requirements for decision support
information. To include such management level functions, many personnel departments
took on the name human resources. Besides all routine, largely operational personnel
functions, a human resources department also included staff and compensation planning,
management and career development, productivity measurement and turnover analysis.
Management, recognizing the importance of improving integration of the human
resources department with the strategic business direction of the entire organization,
endorsed the creation of new, complex and expensive human resources systems.

To meet these expectations, the human resources department needed more management
level information and support. All these data management pressures, coupled with the
increasing accessibility of more powerful computers, have led to widespread growth of
computer applications within human resources. These new computer systems are known
as human resources management systems (HRMS) or human resources information
systems (HRIS).

The function of Human Resources departments is generally administrative and common

to all organizations. Organizations may have formalized selection, evaluation, and
payroll processes. Efficient and effective management of "Human Capital" has
progressed to an increasingly imperative and complex process. The HR function consists
of tracking existing employee data which traditionally includes personal histories, skills,
capabilities, accomplishments and salary. To reduce the manual workload of these
administrative activities, organizations began to electronically automate many of these
processes by introducing specialized Human Resource Management Systems. HR

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executives rely on internal or external IT professionals to develop and maintain an
integrated HRMS. Before the "client-server" architecture evolved in the late 1980s, many
HR automation processes were relegated to mainframe computers that could handle large
amounts of data transactions. In consequence of the high capital investment necessary to
purchase or program proprietary software, these internally-developed HRMS were
limited to organizations that possessed a large amount of capital. The advent of client-
server, Application Service Provider, and Software as a Service or SaaS Human
Resource Management Systems enabled increasingly higher administrative control of
such systems.

Human resource integration system is software that solves many problems of human
resources, payroll, administration, recruitment, training and accounting functions within a
business. It refers to systems and processes that form an interface between the Human
Resource and Information Technology. It helps HR managers to perform their work more
effectively and efficiently in a systematic way using technology. It is the system used to
acquire, store, manipulate, analyze, retrieve, and distribute pertinent information
regarding an organization's human resources. It forms a part of larger Management
Information System (MIS).

Functions of HR covered by HRIS

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MODULES OF HRIS

There are seven major modules of HRIS.

1. Payroll
2. Work Time
3. Benefits Administration
4. HR management Information system
5. Recruiting
6. Training/Learning Management System
7. Performance Record

• The payroll module automates the pay process by gathering data on employee
time and attendance, calculating various deductions and taxes, and generating
periodic pay cheques and employee tax reports. Data is generally fed from the
human resources and time keeping modules to calculate automatic deposit and
manual cheque writing capabilities. This module can encompass all employee-
related transactions as well as integrate with existing financial management
systems.

• The work time gathers standardized time and work related efforts. The most
advanced modules provide broad flexibility in data collection methods, labor
distribution capabilities and data analysis features. Cost analysis and efficiency
metrics are the primary functions.

• The benefits administration module provides a system for organizations to

administer and track employee participation in benefits programs. These typically
encompass insurance, compensation, profit sharing and retirement.

• The HR management module is a component covering many other HR aspects

from application to retirement. The system records basic demographic and
address data, selection, training and development, capabilities and skills
management, compensation planning records and other related activities. Leading
edge systems provide the ability to "read" applications and enter relevant data to
applicable database fields, notify employers and provide position management
and position control. Human resource management function involves the
recruitment, placement, evaluation, compensation and development of the
employees of an organization. Initially, businesses used computer based
information system to:

a. Produce pay checks and payroll reports;

b. Maintain personnel records;
c. Pursue talent management.

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 • Online recruiting has become one of the primary methods employed by HR
departments to garner potential candidates for available positions within an
organization. Talent Management systems typically encompass:

a. Analyzing personnel usage within an organization;

b. Identifying potential applicants;
c. Recruiting through company-facing listings;
d. Recruiting through online recruiting sites or publications that market to both
recruiters and applicants.

The significant cost incurred in maintaining an organized recruitment effort, cross-

posting within and across general or industry-specific job boards and maintaining a
competitive exposure of availabilities has given rise to the development of a dedicated
Applicant Tracking System, or 'ATS', module.

• The training module provides a system for organizations to administer and track
employee training and development efforts. The system, normally called a
Learning Management System if a stand alone product, allows HR to track
education, qualifications and skills of the employees, as well as outlining what
training courses, books, CDs, web based learning or materials are available to
develop which skills. Courses can then be offered in date specific sessions, with
delegates and training resources being mapped and managed within the same
system. Sophisticated LMS allow managers to approve training, budgets and
calendars alongside performance management and appraisal metrics.

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Many organizations have gone beyond the traditional functions and developed human
resource management information systems, which support recruitment, selection, hiring,
job placement, performance appraisals, employee benefit analysis, health, safety and
security.
An HRIS is am management system designed specially to provide managers with
information to make H.R decisions. Its advantages are as follows:

 Easy tracking and availability of employee history

 Faster and effective multi way communication
 Availability of online information for effective business decision making
 Minimizing human errors and easy data storage and retrieval of information
 Overall reduction of amount of paperwork and manual record keeping

The basic requirements involved for H.R.I.S includes

 Desktop PCS for assessing and inputting information locally. Standard browsers
are used to access information (Internet explorer).
 Organizations wide server. In a small company, there must be a PC as well. The
server must have intranet server
 Server side software such as HTML
 Basic formats for policy manuals in format of HTML or Adobe Acrobat PDF

CHARACTERSTICS OF HRIS

Most successful HRIS share several characteristics. They are:

• Able to accommodate data initiated by employees or by employer.
• Responsive to changes in regulations, conditions.
• Allow only authorized users access to sensitive data.
• Expandable, so human resources can add new applications later.
More transaction driven than computational

BENEFITS OF HRIS

HRIS has showed many benefits to the HR operations. A few of them can be detailed as;
• Faster information process,
• Greater information accuracy,
• Improved planning and program development,
• Enhanced employee communications

LIMITATIONS OF HRIS

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• Time-consuming to develop.
• Expensive to implement.

CHAPTER -2

LITERATURE SURVEY

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Hewitt associates, February “(12002) - The recent yeas have witnessed the H.R function
in the organization to reinvest itself with the help of technology and Web based
applications ,the basic principle of web based H.R sounds relatively simple as it make
personal data readily accessible for review and revision. This empowers employees and
managers to assume greater control over employee details. This article focuses on the
transformation of the H.R strategy of the company to one that is more technology driven.
The need was for an ambitious, multi-faceted approach to the E –HR that would result in
advanced H.R.

As both large and small companies are busy in transforming long held processes into
web based solution to streamline operations and to provide better services .Its now
common for senior management to encourage H.R to reinvent itself either the help of
technology and Web based applications ,as many of the organizations are discovery the
process of developing ,implementing and maintaining a successful E-H.R structure is
more complex then simply tacking .and many facing problems in implementing HRIS or
E-H.R

Sandeep K Krishna,2 August 7, 2006)

In reference to above abstract the issues concerning the implementation and maintenance
of H.R.I.S was taken into consideration As the organizations are diverse in terms of their
size and sector that they belong, the problems related to the factor in implementing and
maintenance of HRIS is consider, the first problem is that the H.R department lacks
knowledge about HR.I S and hence it is not able to elucidate the requirements of the
system as there is poorly managed implementations, the potential of H.RI.S is
underutilized as only a few modules is implemented and the second main issue in this is
that the lack of cooperation needed across various H.R functions and divisions of the
organizations for proper implementation of H.R.I.S

- Dunning ton, Judith I3.1990 Personnel professionals who want to use

human resource information systems (HRIS ) effectively will improve
1

Radical Change - Breaking Ground for e-HR Implementation Hewitt associates,2002

2
Issues concerning the implementation and maintenance of H.RI.S, Sandeep K Krishan, August 7, 2006,
WorldAtWork

3
Successful HRIS implementation planning, Dunnington, Judith, 1990, Personnel Journal
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 their chances for success by using a planning process that outlines goals
and objectives ,factors to analyze during the planning process includes
what resources of skills will be required ,how much the system will cost.

Kwasniewski, Joanne,4 1989

Often HRIS or payroll consultants are hired without the forethought, and lack of
objectives and goals which can cause problems in planning as well and productivity,
these are suggested steps developing a clear contractual and written statements of
objectives, educating consultants about corporate environment and establishment of all
the modules of HRIS implementation.

Harders, Douglas, Wisniewski, Joanne,5 1989)

Chase Manhattan installed a new human resource information system using a high level
of personal department input and functional knowledge, Chase also used management
techniques to achieve a high level of user involvement, the system was creates to meet
the needs such as simplified maintenance of employee data and online access to historical
data, the new HRIS system utilized the large amount of the old system data and
familiarity

4
Are consultants set up to fail? Wisniewski, Joanne,1989, Personnel Journal
5
Applications of HRIS- Chase Manhattan manages HRIS implementation , Harders, Douglas,
Wisniewski, Joanne,1989Personal review
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 CHAPTER - 3

COMPANY PROFILE

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 MAX NEW YORK LIFE INSURANCE

• Max New York Life insurance Company Ltd is a joint venture between New
York and Max India ltd.
• New York is a fortune of 100 company and Max India ltd is one of the India’s
leading multi-business operations.
• Its strategy is to established itself as a trusted life insurance specialist through a
quality approach to business
• In line with its values of financial responsibility ,Max New York Life insurance
has adopted prudent financial practices to ensure safety of policyholder’s fund
• Max New York life insurance started its operations in India in 2000.It is the first
life insurance company in India to be awarded the ISO 9001:2000 certification.
• Max New York offers customized product tailor to suit individual needs, Today
Max New York life insurance has a network of 57 offices spread over 37 cities all
over India.
• The company paid up capital is 1,782 crores. The company has positioned itself
on the quality platform.

VISION

• To become the most admired life insurance Company in India.

MISSION

• To become one of the top quartile life insurance company in India.

• Be a national player.
• Be the brand of first choice.
• Be the employer of the choice.
• Become a principal of the choice for agents.

VALUES

This vision is to become India most admired life insurance company will be realized
through our unique set of values, which are as follows:

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ACHIEVEMENTS

• First insurance company in India to have ISO 9001:2001.

• Top five most reputed life insurance in India according to Business

World survey.

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 HRM PRACTICES IN INSURANCE SECTOR

Recruitment process followed at Max New York life insurance

The recruitment process followed at Max New York life insurance is the channel
development process i.e. to recruit quality agent advisors (AA) for providing life
insurance solutions to the companies. AA plays a very important role in growth of the
company’s earnings as well as they create value to the organization. AA are the integral
part of the team and the various sales managers assign to them help them to groom them
in terms of personality ,development ,selling skills and handling objections of customers

Various benefits of becoming AA are as follows:

 Rewarding career- Help others to realize

their financial goals, changing life is more
rewarding and satisfying.

 Attractive remuneration- Best remuneration

system in the industry

 World class training - In house training

from professional Trainers.

 Commitment to career agency systems-Commitment

to grow the career from AA to top management

 Sales and marketing support - The sales promotions

and marketing collateral which provide to take
business to new heights.

Company expectation from AA

Regular input activity

To achieve sales target
Attend training program
Participate in weekly reviews
Follow the MNYL ethics and business standard policy.

The different strategies firm uses to recruit quality people Max New York Life
Insurance :

Eligibility model

From this eligibility model company judge prospective person. The company follows
unique eligibility criteria for AA selection by which company is able to always justify its
mission. The basic objective of an eligibility model for recruitment is to have good
retention and greater effectiveness in the delivery of the service.

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 Four criteria for AA selection

 AGE > 25 - This age shows attainment of maturity and

responsibility. People are most consistent at this age.

 Married - Married people are more eager to earn money

due to family pressure so they work more efficiently and
effectively.

 5 yrs of residency - Must have at least five years of residency

 Graduate - Graduate people have basic skills like

communication
Skills, numerical ability, convincing abilities etc

The Recruitment and selection process followed by the

MAX NEW YORK LIFE INSURANCE

NAME GATHERING

SHORTLISTING

CONTACTING

INITIAL SCREENING

NUMERICAL ABILITY TEST

CAREER SEMINAR

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 CAREER INTERVIEW

FCS
The recruitment and selection process in detail

1 Name gathering – Name gathering is a process of gathering name in order to follow

the rule 31, the different sources of name gathering are as follows

- Natural market- A natural market consists of people to whom you know well from your
family, friend circle, relative .The most admired way for recruitment in MNYL is
through natural market as these people are easily approachable and most of the
successful recruitment in MNYL is though natural market.

Apart from natural market the other sources for gathering names are
 Personal observation- Identify the right person though observation
 Nominator call - A person who is very much influential in
the market as well as in societies
 Activities - Doing activities such As brand awareness
in public places such as mall

As the most admired way for recruitment in MNYL is though natural market so name
gathering is generally done from natural market and it is called P200.

Name gathering IN P200 consists of people whom you know from the natural market
And references you get from their sources .The following procedure is consider in which
the name gathering data base is maintained

Name of the prospective agent

- Address of contact
- Age
- Marital status
- Qualification
- No of years in the cities
- Profession
- Annual income

 Short listing

The candidates are short listed from the P200 as per the eligibility criteria laid down
by the company. Only eligible candidates are eligible for the next process.

 Contacting

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The contacting is done with the short listing eligible candidates, the meeting is fixed with
them convince of both the party.

 Initial screening

Initial screening is done when the candidate achieve 3 points , in initial screening , a
sales manger first gives the introduction about the company ,then several questions
such as his family background, traits for a sales person and questions related to
present and past experiences of his jobs are questioned.

Every candidate is requires to score at least 3 points based on the eligibility model of
the company, the eligibility standards for AA selection is as follows

Five Point system

AGE 25 AND ABOVE- 1 point

Graduate 1 point

Married 1 point

Lived in city more then 5 years 1 point

NAT SCORE 1 point (if passed)

 National aptitude test is taken (NAT)

Numerical ability test is taken and the passing score is 50%

 Career Seminar

All the prospects are required to attend career seminar at MNYL which provides
broader aspects of growth as an agent advisor. P 200 is a worksheet which is given to
each prospect to judge his natural market, the prospects are required to mention at least
100 contacts from their natural market.

 Career interview

If candidate referrals i.e. his natural market is found worth then he is selected to attend
training and development programme

 FCS

All the selected candidates are required to attend 22 day training session for receiving
the license from IRDA to become an Agent advisor.

 CONTRACT

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All the successful candidates having legal license of IRDA are contracted with MNYL

RECRUITMENT PROCEDURE FOR ADVISORS AT TATA- AIG

LIFE INSURANCE

Broadly recruitment can be identified as a 6-step process:

• The SEARCH for talent.
• To ENGAGE the prospective Advisors.
• The EVALUATION of potential Advisors.
• The CONFIRMATION of Intent.
• The LICENCING of Investors.

Any manager who conducts these steps in recruitment will enjoy –

 Satisfying sales results
 Outstanding persistency of business
 Superior policy owner service capabilities
 An enviable reputation as a Tata- AIG Agency builder
 A momentum which consumes from the synergistic benefits of success.

SOME IMPORTANT TERMS:

“Officer Recruiting” is only the time spent on Screening, Selection and career
Interviews; plus in the office on the phone contacting names obtained and the follow –up
of those names.

“Field recruiting” is only the time spent making calls on Nominators and C of 1’s
obtaining Referrals, and Personal Observation. Travel time is “Other Time”

“Other Time” includes Office, Travel, and Sales Manager’s development by the
MP/P/ZVP/ARDM/Meeting

“Nominator Names” are those names obtained from person contacted fewer than three
times.
“Center of Influence Names” is those names obtained from person known or from
those contacted three or more times

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.PROCESS OF RECRUITMENT FOLLOWED :

SEARCH
Where to look for

ENGAGE
How to attract to life
Insurance

EVALUATE
How to evaluate

CONFIRM

LICENSE

STEP 1 : SEARCH FOR TALENT

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In this stage we need to identify the advisors we need to recruit to become a successful
team. We need to clearly understand the profile we are looking out for and all people to
match these profiles.

Our search for prospective advisors must be continuous n systematic – just like
prospecting for sales. You must search among several sources on a regular basis.

Let’s look into this step briefly.

DEFINITION

Who is an HNI advisor?

An advisor sourcing Rs. 50000/- as average premium and at least 50% of his cases
contributing to acquisition of HNI customers qualifies to be a HNI advisor.

Who is an HNI customer?

HNI customer is the one who provides us RS. 50000/- APE or Rs. 50 lac sum assured.

PROFILES OF HNI ADVISORS

• Businessman
• Spouse or children of influential people.
• Eminent page 3 socialites
• Self employed professionals
• Office bearers of leading clubs or associations
• Consistent LIC MDRT , COT agents
• Politicians

SOURCES

PERSONAL NETWORK

This method is uniquely personal. It permits you to apply your own standards and
exercise your own judgment.
Always be on the alert for prospective advisors in your daily activities. Instinctively
apprise as prospective advisors those you meet or see. Stay in circulation and meet a lot
of people on a regular basis. Develop these individuals as friends and clients & determine
whether or not to recruit them.

PRESENT ADVISOR RECOMMENDATIONS

No one knows more about the kind of person you seek and the kind of opportunity you
have for the prospective advisor than the present members of our sales team. Moreover
they have a selfish interest in wanting their associates to be the type of persons who will
reflect favorably on their organization. Many successful advisors have an ability to attract
promising prospective advisors who can and do succeed.

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CLIENT REFERALS

Clients are readily accessible source of prospective advisors & referrals. It is safe to
assume that clients who have relied upon your agency to handle their insurance are
pleased with both you and your work. Since you have created a favorable impression,
they can picture themselves or others as having the same success.

INDUSTRIAL SEMINARS

Seminars include seminars conducted by Management associations, doctors seminars,

HR professional seminars. These seminars are one way of reaching out to many people
not only by making presentation to the participants but also by also word of mouth since
these participants would speak to their families and friends, so also the chain would
continue.

ASSOCIATION AND CLUBS

Associations and Clubs are very good forums to search for the prospective advisors.
Recruiting at the associations is a resourceful strategy that breaks with tradition. It makes
it possible for the prospective Advisor, as part of a group, to obtain information about
opportunities in the insurance business. As part of a group, the prospective Advisor feels
comfortable and quickly develops open-mindedness to investigating the possibility of a
career in insurance.

HNI LADIES SALES FORUMS

Women have proved to be far more successful in field of insurance in comparison with
their male counterparts. These ladies forums will be a good opportunity to contact
women belonging to upper class segment.

These forums could be social events like kitty parties and fashion shows & exhibitions of
high end products. It could also include interacting with the HNI segment women at an
event for a social cause like CRY, help Age etc.

CENTRES-OF-INFLUENCE/NOMINATORS

These are people who because of your relationship with them and their interest in you are
willing to help you. They are people of influence and prestige.
Develop your list of centers of influence and contact them as part of your planned weekly
and monthly activities schedule. A centre must be cultivated like any other source of
referrals. The responsibility for obtaining nominations, information and introductions
rests with you – not with your centre.

A few examples of these centers of influence are:

• Doctors
• Lawyers
• Chartered Accountants
• Teachers
• Bankers
- 28 -
To ensure continuous flow of nomination from COI’s , we must practice these few basic
rules for developing centers of influence.

• Keep contacting them on a planned basis.

• Keep them informed.
• Maintain visibility
• Show visibility

TOOLS USED

An approach letter can be the first contact between you and your advisor. Approach with
a letter as a system if used can be very successful tool. The system is to send out letters
with reply cards on a regular basis. The standard letter should briefly describe the
rewards of a successful insurance sales career. In a letter of this nature attempt to arouse
the interest of the individual who receives it in the hope that he or she will be more
accretive to your follow-up.

STEP 2: ENGAGE

Engage is highlighting the positive sides of the business opportunity with TATA- AIG
Life Insurance.
First Meeting: It is the face to face interaction between the manager and the prospective
advisor.

Pre Meeting Preparation:

• The manager should set up an appointment with the prospective advisor and ask
for at least 30-45 minutes
• The manger should have the idea of the age, education background (if possible)
of the prospect prior meeting him.
• The manger should carry a set of the following documents
o Advisor Profile
o BOP
o Opportunity Brochure (to be left at his place)
o Documents required for becoming an advisor

During Meeting:

The interview should be conducted at the advisor’s place with the time duration of 30-40
minutes. It should cover

• About the company

o NO.1 Life Insurance Company
o 101 Reasons to join TATA- AIG Life Insurance Company
o Past Business performance
o Locations and Geographical spread

- 29 -
 • The Opportunity of Life Insurance business
o Commission based job
o Earnings potential
o Rewards and Recognitions – MDRT, Clubs, Contest, Past contests data
such as how many people qualified for the President Club, India Star
Club, Star Club etc needs to be carried for the meeting.

The Manager must get Advisor to fill the Advisor Profile during this meeting. It will give
the manager the great in depth of prospective advisor as person, not his financials but
him as an individual with his own dreams, goals and aspirations. Before leaving the
prospective advisors place, the manger should ensure that the individual has a complete
understanding of the advisor profession. The manger should collect information about the
prospective advisor’s family, current earning stream and his inclination towards Life
Insurance as a business opportunity. The manager should seek a second appointment with
the prospect and if possible, invite the prospect to the Branch for the second meeting so
as to show the prospect, the branch and its working and schedule a meeting with the
Territory Manger.

Tools:

• Advisor Profiler
• My Market 100: A tool to enable the “ Advisor” to identity his potential market
• Business Opportunity Presentation: At the branch level the mangers may get
together and invite a group of prospective Advisors to the office. A formal
presentation will then be made by the senior manger on the Business Opportunity.
It’s a very effective tool and you will be able to convince a greater number of
advisors with this activity.
• Branch Visit: A branch visit on an individual basis can be organized with your
prospective advisor in case it was not possible to invite him to office. Business
Opportunity Presentation due to different reasons.

STEP 3: EVALUATE

Managers need to ensure that they have the right kind of profile interested to be a part of
their team, the most likely to succeed profile suggested:
• Age 25-45 years
• Graduate
• Family household income more than Rs 5 lakhs

RECOMMENDED CRITERIA

A manger must look at each of his advisor quality on at least three of the criteria
mentioned below:
• More than 25 years of Age

- 30 -
 • Graduate
• Living in the same area since the past 5 years
• Well networked and socialite
• Family income of more than Rs.10 lacs

Territory Manager Meeting

Your Manger will evaluate the candidate on the following parameter.

• Passion to succeed: This quality is of paramount importance as it will be the key

driver of his success in the business. Can be assessed asking his other areas of
work and the how successful he is in those ventures.

• Result Orientation: A focus to achieve results is an essential quality in an

advisor. It can be assessed based on by asking him his past achievements. If he
has earned any other recognition in his earlier assignments.

• Good Network: This can be gauged by the number of contacts the advisor can
submit in the My Market 25 forms. Also, in the interview with the TM, the
advisor shall be able to provide information about his social circle.

• Business Understanding: His knowledge of this business can be gauged by

knowing his educational qualification and also the fact that how much insurance
does he have for himself and his family.

STEP 4: CONFIRM

Fresh Advisor

• The completed application form with all the documents required will be
collected through out the week.
• The completed set of documents would have to be put into distinct inbox
created for accepting such applications
• The application received till 5.00 p.m. from Monday to Friday and until 1.00
p.m. on Saturday will be cleared on the same day.
• The BDOPS executive would clear the applications in the box on a daily basis.
• The intra day frequency for clearing the applications to be decided by the
BDOPS executive.

Documentation Requirements

The following documents are to be submitted by each prospective advisor.

• Application form + IRDA form
• Extra Form

- 31 -
 • DD of Rs 1500
• 7 Photographs
• Age Proof
• Latest Address Proof
• Education proof
• Pan Card copy( if pan card mentioned)
• Signed Agreement
On receiving the completed applications, the BODPS executive to scrutinize the
application form and the supporting documents provided.

Documentation Security

The security of the documents must ensure the following points.

• All overwriting or cancellation on application form and IRDA form V.A must
be counter signed.
• Name on application must be identical to the IRDA form V.A, In case the
name is different; Branch Ops Manger signoff is required, stating the reason
for the difference.
• All proofs (age, and education) must be from the permitted list of such
documents only.(Annexure 2)
• Address on application form and address proof for the same must be from
within the permitted pin codes for sourcing polices. (List already available on
the intranet under knowledge repository). Candidates staying at nonpermanent
addresses like hostels, paying guest, etc, should provide address proof of the
permanent address as well. The branch operations manager or the BDOPS may
on a certified translation of the vernacular address proof if they are unable to
decipher the document to their satisfaction.
• Education proof is from a valid educational institute. Special care to be
exercised to ensure that the educational document submitted is not from the
known Bogus/ Debarred institutes (Annexure 2). In case the education proof is
submitted by any language other then Hindi, English, the same are to be
accepted only subject to branch operation manager’s or BDOPS executive
signoff on the specified document itself, stating reason for acceptance.
However the Branch Operations Manger or the BDOPS executive may insist
on the certified translation of the vernacular address proof if they are unable to
decipher the documents to their satisfaction.
• Age proof must state the same date of birth as stated on the application form.
Incase the age proof states only the age (not the date of birth), the age should
correspond with the date stated in the application form. The Branch Operations
Manger or BDOPS executive may insists on a certified translation of the
vernacular address proof if they are unable to decipher the document to their
satisfaction.
• Exam Form- depending on type of exam, either online or manual.
• Photographs
• Demand Draft. The application number, Advisor name and the MPC/AM
name must be written on the reverse of the demand draft.
• The license agreement needs to be signed on all pages by the advisor and the
first and the last pages by the MPC/AM.

- 32 -
 RECRUITING AND SELECTION PLANS

SPECIFIC PROSPECTING PLANS

TARGET RECRUITING PLANS FOR MONTH* NUMBER

OF HOURS

INITIAL INTERVIEWS

CENTER OF INFLUENCE CALL NAMES

PERSONAL OBSERVATION/MARKET AREAS

DIRECT MAIL/RECRUITING ADS/SEMINARS

OTHER SPECIFIC PROSPECTING PLANS

TOTAL PROSPECTS

PLANNED GOALS FOR THE MONTH NUMBER HOURS

INITIAL INTERVIEWS
SCREENING INTERVIEW
CAREER SEMINAR
PROJECT 200
CAREER INTERVIEW
OTHERS

RECRUITMENT TIME PLANNED ACTUAL

HOURS HOURS
TOTAL PROSPECTING HOURS
+
TOTAL INTERVIEWING HOURS
=
- 33 -
 TOTAL RECRUITING HOURS

Training and development at MAX NEW YORK LIFE INSURANCE

Training is must for every individual who join the organization, even though the
candidate has experience but he also should get training as the organization culture,
values and beliefs are different from one organization to another that’s why a training
program becomes a key role in every organization.

The Max New York Life insurance has a finest training program for AA, the training
program of Max New York life insurance is developed by New York Life in the United
States is widely recognized as the best in the insurance industry, the Max New York Life
Insurance has customized this outstanding program for Indian Market.

The Training program at MAX New York Life Insurance

1 The training program of Max New York Life Insurance basically concentrates on the
agents
2 The Max New York Life Insurance significantly invests in the training program
3 The Max New York Life Insurance runs training program for the agents through out the
year.
4 The agent advisors AA are trained in house to ensure optimal control on quality
of training
5 The training program at Max New York Life Insurance is basically for the15 days but it
extends to 1 month.
6 Max New York Life Insurance has two full time professional trainers in each office
whose sole job is to teach and to guide new agents.

Max New York Life Insurance as focus on continuous quality training results in having
the company highest agent pass rate among the other insurance companies.

Benefits of training program

• The trained employees work more efficiently

• Training makes employers more loyal to an organization
• Training ensures employees to secure promotions easily, they can realize their
career goals comfortably.
• Training make employees more useful to the firm as it creates value to
organization goals.

- 34 -
Max New York Life Insurance focuses in the continuous quality training results in
having the company highest agent pass rate in the IRDA examinations as compare to
other organizations

TRAINING PROCEDURE FOR ADVISORS

Candidate chooses Mode of Training

Branch DOPS accept application form & Checks for completion

Advisor details entered into the AMS

____________________________________________________________

Class Room Training Online Training

Starter Pack handed over to

Providing ID card to the the candidate
candidate

User ID & password created

Advisor attend training for candidate with online
at Institute vendor

- 35 -
STEP 5 : LICENSING

Training

Licensing is the final step in recruitment of the advisor.

• Enrolment of the line training.
• Advisor Induction Program
• Pre Licensing Refresher
• Insurance of TCC
• Examination
• Welcome Kit

Training of candidate

• The candidate commences training

• Individual MPC/AM shall accompany the candidates to their respective
training centers on day 1.
• The batch shall be addressed by respective Territory Manager prior to training
commencement.

Obtaining TCC

Upon completion of the training (IRDA syllabus + Product Training + Revision) the
BDOPS executive must liaise with the training institute to obtain TCC for all candidates
who have completed the mandatory number of hours. The completed hours are to be
entered into AMS by BDOPS, within 24 hours of the receipt of the TCC. The original
TCC along with the AMS report of the TCC signed by the BDOPS executive should be
same be sent to CDOPS and a copy retained at the branch. In case the candidates in that
batch are to appear for a manual exam (centralized or decentralized), the TCC for the
batch must be sent to CDOPS, after updating in AMS, latest by the day after the training
end date.(End Date +1). This must be sent in a separate schedule. In case the candidates
in that branch are to appear for an online examination, the TCC must be sent to the exam
vendor before the date of examination. This must be sent in separate schedule.

Scheduling the examination

Upon completing the training the candidate is eligible to appear for an online (internet)
examination.
The BDOPS executive must book the required number of examination slot from the
examination vendor. The examination slot should be booked such that the examination is
scheduled on later than 4 days from the date of completion of the training.

• Online Examination: The dates for the online examinations are booked by
BDOPS within 4 days from the start of the training batch. The same is informed
to the training department and sales. The exact number of examination slots will
be booked after the receipt of TCC from the training institute. This will be done
only for the candidates completing the requisite number of hours and the same
will be informed to the MPC/AM.
- 36 -
 • Obtaining Result for Online Examination: BDOPS to liaise with the
examination center, to obtain consolidated results of the examinees, in a hard/soft
copy (in original or in their letter head). This should be received by BDOPS no
later than one working day after the examination. These results would be entered
into AMS immediately.

• Day of Licensing:
o Welcome Kit
o Laminated Identity Card
o Copy of agency agreement
o IRDA License
o Bank Account introductory Letter
o 100 visiting cards
o Commission booklet
o Reward & Recognition Booklet
o TATA- AIG Email ID & Password
o Pin mailer to access Company Website.

Solution provider Humanities HR2 technology and People Soft

How Humanities & People Soft addresses these challenges?

1 HR2 recruitment module and People Soft recruitment module offers a complete range
of solutions and services to assist in accelerating, simplifying and optimizing the entire
recruitment process, it is a web based applicant tracking software tool that is built to
automate the process of resume filing, vacancy position and job matching it helps in
selecting the best candidate

The recruitment module of HR2 & People Soft consists of

1 Hiring standards
2 Applicant tracking
3 Assessment
4 Interviews
5 Selection
6 Pay determination
7 Joining
8 On boarding

How it functions

 Various hiring standards are define to map the competence of the

candidates with the competencies
 Receives recruitment requests from the department and managers
Links each demand with the job description
- 37 -
 Creates a comprehensive vacancies lists which contain job position, authority
date Job description references, qualifications /skills/experience required, number
of vacancies, location, remunerations, details etc
 Enables position of vacancy lists on the company job portal (provided by existing
HRIS software)
 Tracks all CVS including Reject cases.
 Automatically generates the acknowledgment letters, interview invitations
 Enabling scheduling of assessment events like written tests and interviews,
Informs interviewers on test panel about the schedules
 Enabling recording of results and short listing of candidates as per the rules.
 Provides facility to record verification checks for selected candidates.
 Supports issue of Offer letters to candidates and informing about their pays.
 Enables achieving of CVS of candidates not considered suitable for the jobs
 Show updates of the name and date of joining of the new employees to
the concerned authority

Training and development module

HR2 training and development module is named helps in identification of training, it

simplifies the training process, it helps in induction for new employees , it helps in
retaining the best talent as it provides a deep insights into your workforce, skills,
capabilities which helps in maintaining the organization talent management module for
effective business uses.

The HR2 module of training need consists of

1 Training requirements
2 Training schedule
3 Competency gap analysis
4 Virtual training

How it functions

 It creates database of employee’s skill and knowledge.

 It identifies the training needs and developing skills of an employee for
different posts by carrying out skill gap and market need analysis.
 It involved managers in creating training programs.
 It shows updates related to training programs and schedules.
 It gives live demonstrations i.e. a virtual based training.
 Once the training is given, it maps the performance of the employees.
 It show the updates related to grades, scores given to each employees.

- 38 -
 CHAPTER - 4

RESEARCH METHODOLGY

- 39 -
RESEARCH METHODOLOGY

Research Design is the conceptual structure within which the research would take
place. The presentation of such a design facilitates research to be efficient as
possible yielding maximum information

OBJECTIVES

1. To find out the H.R challenges faced by Max New York Life Insurance and Tata- AIG
Life Insurance.

2. To find how the HR2 tool provided by Humanities Dimension group and People Soft
software helps in solving out the challenges faced by Max New York Life Insurance.

TYPES OF RESEARCH

Exploratory research was selected for the project.

DATA SOURCE

There are two types of the data source. They are: -

a) Primary Data
b) Secondary Data

Primary data are those, which are collected for the first time, thus happen to be original
in character. Primary data can be collected by preparing questionnaire and can also be
supported by direct personal interview with the concern official and available
respondents i.e. the customers, for the prevail study. Primary data are not only being
relevant for the research project but it is also reliable, accurate and dependable.

Secondary data are those, which have been collected by secondary data like annual
report, auditors report and other published document or unpublished relevant document

METHODS OF DATA COLLECTION- The data for this research would be collected
both from primary as well as secondary sources.

Primary sources

 Telephonic interview- This has provided some understanding of the pain areas
being felt at Max New York Life Insurance and Tata –AIG Life Insurance

 Questionnaire method - The questionnaire had given the clear understanding

about the H.R challenges faced at Max New York Life Insurance & Tata –AIG
Life Insurance.
- 40 -
Secondary sources

 Internet
 Newspaper
 Articles
 Reference books

Procedure

 Study the Human Resource Management Practices at Max New York Life
insurance & Tata –AIG Life Insurance.

 Making a questionnaire to find out the H.R challenges and how the
implementation of HRIS helps the organization to overcome those challenges.

 Administering the questionnaire to people working in MAX New York Life

Insurance & Tata –AIG Life Insurance through mail and through direct visit with
a sample size of 30 in each company.

 Arriving at conclusions.

RESEARCH APPROACH

The basic type of approach to research. They are: -

Qualitative Approach

Qualitative approach is generally exploratory in nature and involves small sample sizes.
This type of research is concerned with subjective assessment of attitude, opinion and
behavior.

Quantitative Approach

Quantitative approach involves large sample sizes where the survey questions are defined
and specific, rather than exploratory.

RESEARCH INSTRUMENT

The various research instruments at the hands of researchers are as follows:-

a) Observation: - Under this the information is sought by the way of investigators

own direct observation without asking the respondent.
b) Interview: - It involves presentation oral-verbal stimuli and reply in terms of
response. This method can be used through personal interview.

- 41 -
 c) Questionnaires: - It consists of numbers of questions printed or typed in a defined
order on a form or a set of form. The respondents have to answers the questions
themselves.

For my survey I used telephonic interview and questionnaires with sample size 30 each
in both the companies.

SAMPLING PROCEDURE

There are tow main sampling procedures

a) Probability Sampling
b) Non-Probability Sampling

Probability Sampling

Under this sampling every item of the universe has an equal chance of inclusion in the
sample. Random sampling is being used in case where the universe is finite. In this case
each and very unit has got an equal chance to be selected for the purpose of the studies.

Non-Probability Sampling

It is that sampling procedure which does not afford any basis for estimating the
probability that each item in the population has being included in the sample.

My Research mainly deals with Non probability judgmental sampling

- 42 -
CHAPTER - 5

DATA ANALYSIS

- 43 -
Question -1 Does your organization have a formal and effective system which results in
hiring potential work force?

a. Yes
b. No

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
YES 3 10 17 57
NO 27 90 13 43
TOTAL 30 100 30 100

From the above analysis it is concluded that 90 percent of the employees in Max New
York Life Insurance strongly believes that the organization does not have a formal and
effective system which results in hiring the potential workforce while only 10 percent of
the respondents believed it to be effective system as they are satisfied with the hiring
procedure of the organization. Whereas in TATA- AIG Life Insurance 57% of the
employees believe that the organization has a formal and effective mechanism of hiring
potential workforce.

- 44 -
Q-2 Does your organization has enables changes easily in your system (Change with
respect to position, departments, promotions etc)

a. Yes
b. No

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
YES 28 93.33 22 73.33
NO 2 6.67 8 26.67
TOTAL 30 100 30 100

From the above figure it is concluded that 93.3 percent of the respondents in Max New
York Life Insurance agreed that the organization changes easily with the system in
respect to position, transfer, promotion etc as the person who achieve their targets are
promoted on the next position frequently while only 6.7 percent respondents does not
believe that the organization changes easily with the system .On the other hand in TATA-
AIG Life Insurance 73.3% believe that the organization incorporates changes easily into
the system and 26.67% are against the opinion.

- 45 -
Q-3 what is the maximum time taken by the organization to perform a complete training
process?

a. 10-15 days
b. 1 month

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
10- 15 Days 3 10 5 16.67
1 Month 27 90 25 83.33
TOTAL 30 100 30 100

From the above figure it is concluded that in Max New York Life Insurance 90percent of
the respondent replied that in majority of the cases the training session conducted by
organization lasts for almost a month and only 10 percent responded that training exist
only for 15 days in some of the cases . Whereas in TATA- AIG Life Insurance 83.33%
employees said that the training session lasts for a month at a stretch and only 16.67%
said the training programme is completed within 10 – 15 days.

- 46 -
Q4: What do you consider as the one of the main challenge for HR in your organization
today?

i. Recruitment process

ii. Training and development

iii. Performance appraisal

iv. Complice

v Attrition management

Max New York Life Insurance Tata- AIG Life Insurance

HR Frequency Percentage Frequency Percentage
CHALLENGES
Recruitment 20 66.67 19 63.33
Process
Training 8 26.67 10 33.33
&Development
Attrition 2 6.67 1 3.33
Management
Compliance 0 0 0 0
Performance 0 0 0 0
Appraisal
TOTAL 30 100 30 100

From the above analysis it is concluded that the main challenge in the organizations is
Recruitment, followed by Training and Development and thereafter Attrition
Management. It is also concluded that the companies have no pain areas related to

- 47 -
performance appraisal and compliance’s none of the respondent believe it to be the main
challenge of the organizations.

Q5: Does the organization uses relevant web technologies? If yes, does it respond to line
functions with desired speed, accuracy and efficiency?

• We have a formal yet effective system

• We have an informal yet effective system
• Needs improvement
• This is a critical bottom line significance needs improvement

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage

We have a 2 6.67 19 63.33

formal yet
effective
system
Needs 14 46.67 5 16.67
Improvement
Critical bottom 14 46.67 6 20
line
significance
TOTAL 30 100 30 100

From the above analysis it is depicted that respondents in Max New York Life Insurance
responded equally i.e. 46.67% people believe that there is need for improvement and
46.67% believe that there is a critical bottom line whereas only 6.7 percent responded in
- 48 -
favors of it which depicts that the organization does not used relevant web technologies
which is the main area of concern .Whereas this is not the case with TATA- AIG Life
Insurance .In Tata- AIG the company uses relevant web technologies.

Q6: What is the main attribute you want in any HR tool ?

• Affordable and easy to use

• Self service customization
• Quick to deploy
• Compatibility along with other applications
• Level of research and technical support

Max New York Life Insurance Tata- AIG Life Insurance

MAIN Frequency Percentage Frequency Percentage
ATTRIBUTE
Affordable & 3 10 3 10
easy to use
Self service 27 90 26 86.67
customization
Quick to deploy 0 0 1 3.33
Compatibility 0 0 0 0
with other
applications
Level of 0 0 0 0
research &
technical
support
TOTAL 30 100 30 100

From the above figure it is concluded that the 90 percent of the respondents in Max New
Life Insurance are in a favor of self service customization and 86.67% in TATA- AIG as
a main attribute in H.R tool whereas only 10 percent responded for affordable-ness and
easy to use in both the companies and rest of the attributes were not taken into
consideration so much.

- 49 -
Q7: Is your existing IT vendor support you in handling complete HRM/HCM processes
starting from “Recruitment” to “Retirement”?

• YES
• NO

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
YES 1 3.33 27 90
NO 29 96.67 3 10
TOTAL 30 100 30 100

The above figure depicts that 96.7 percent responded that their existing I.T software
solution provider doesn’t provide complete HRM/ HCM software solutions while only
3.3 percent responded yes in Max New York Life Insurance. Whereas in TATA- AIG
Life Insurance 90% of the employees said that their IT vendor (software ) helped them
in complete HRM/HCM solutions and only 10% employees are against the opinion.

- 50 -
Q8: Didyour HR technology partner provide you with HRM/HCM process consulting? If
NO do you expect your HR Technology partner to help you with consulting as well?

• YES
• NO

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
YES 16.67 5 50 15
NO 83.33 25 33.33 10
TOTAL 30 100 30 100

From the above figure it is concluded that 83.3 percent of the respondents in Max New
York Life Insurance strongly believe that their HR technology provider is not providing
HRM HCM consulting while they strongly wants that their existing software provider
must provide them with the HCM and HRM consulting apart from only providing
software solutions and only 16.7 percent believes that their existing software solution
provides consulting ,as they must be considering general instructions as consulting which
is not exactly the consulting with HRM and HCM. Whereas in TATA- AIG 50% of
employees believe that their HR technology provides them with HRM/ HCM consulting
as well along with the software.

- 51 -
 Q9. Are you satisfied with the HRIS modules that you are currently using?
a) Yes
b) No

Max New York Life Insurance Tata- AIG Life Insurance

Frequency Percentage Frequency Percentage
YES 16 53.33 25 83.33
NO 14 46.67 5 16.67
TOTAL 30 100 30 100

From the above figures it is clear that only 53.33% in Max New York Life Insurance are
satisfied with the HR Modules they are using whereas in TATA- AIG Life Insurance
83.33% are satisfied with the HR technology the company is using.

- 52 -
Q10. What all functions are automated in HR?
a) Payroll module
b) work time
c) benefits administration module
d) HR management module
e) recruiting & training module

Max New York Life Insurance Tata- AIG Life Insurance

FUNCTIONS Frequency Percentage Frequency Percentage
AUTOMATED
IN HR
Payroll module 3 10 9 30
Work time 2 6.67 3 10

Benefits 2 6.67 7 23.33

&Administration
Module
HR 2 6.67 1 3.33
Management
Module
Recruiting 21 70 10 33.33
&Training
module
TOTAL 30 100 30 100

- 53 -
From the above graph we can conclude that from all the functions automated in HR,
maximum number of the employees responded to recruiting &training &development
module in both the companies. This means that their IT service providers are basically
providing them software solutions to face challenges in Recruitment & Training
Development, which are considered to be two major challenges in insurance sector.

- 54 -
 CHAPTER – 6

INTERPRETATIONS AND DISCUSSIONS

- 55 -
INTERPRETATIONS AND DISCUSSIONS
The various interpretations were made after the questionnaires was
analyzed

The H.R CHALLENGES FOUND IN THE INSURANCE SECTOR

1. Recruitment:
Recruitment in Max New York Life Insurance and TATA- AIG Life Insurance is on the
daily basis, and to survive in this highly competitive scenario, managers are always being
pressured to improve quality and to recruit quality and skilled person and eliminate
inefficiency. Recruitment is very qualitative then quantitative so the main challenge
which this company is facing is to acquire right workforce as right work force as there is
target achievement jobs so to acquire the right agent advisors AA is the main challenge
for the organization.

Challenges under the recruitment process are

 To acquire the right workforce,

 Wrong workforce leads to inconsistent hiring outcome
 Unsystematic workflow in the recruitment and selection process

To acquire the right workforce

The main challenge in recruitment which this companies are facing is to acquire the right
talent i.e. to recruit skilled professional as it require right talent to lead, manage multiple
distributing challenges as well as providing exceptional customer services as to ensure
higher level of efficiency, there is a lack of skilled persons in the organization which cant
convert the leads on the daily basis as there is shortage of talent in the organization.

As acquiring the wrong workforce leads to the inconsistent hiring outcomes

As in the organization selection of wrong workforce leads to inconsistent hiring

outcomes as they are not able to achieve their targets as the workforce are not able to get
sales faster then there competitors which results in the inconsistent hiring outcomes.

Unsystematic workflow in the recruitment and selection process

As the organizations have a well defined procedure for acquiring the workforce but the
delays in the work flow not results in providing an accurate results as the immediacy and
speed of the recruitment process are the main concern of the H.R in the recruitment, the
process should be flexible in nature as in the hiring process, to gather names and to
make huge databases is the main challenge in this organization.

The HR Recruitment Module is designed to help HR manage a core function within

Human Resources. This module forces a new job request to go through a strict workflow
before HR can finally begin trying to find candidates to fill the role. The main benefit for
HR is that a job request must have certain information from the manager before being
submitted, if the information is not good enough then it can be rejected and sent back to
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the requestor with comments as to why the information is not good enough. The system
can also be set up to be a Mail In Database, if this is done then external applications can
be received into the system and these can be monitored by HR. If successful then the
applicant can be created as a Candidate in the system.

 Job Requisitions
 Skill sets and Competencies for Vacancies
 Recruitment Channels, i.e. Press, Agencies
 Links to existing Website
 On-line application
 Fully automated Interview Process
 Correspondence, i.e. Offer Letters, Rejections, Terms & conditions
 Built in reports including Equal Opportunities
 Links to People and Training Module

Another benefit of an applicant tracking system is analyzing and coordinating

recruitment efforts - managing the conceptual structure known as Human Capital. A
corporate career site or company specific job board module may be offered, allowing the
insurance companies to provide opportunities to internal candidates prior to external
recruitment efforts. Candidates may be identified via preexisting data or through
information garnered through other means. ATS are built to better assist management of
resumes and applicant information. Data is either collected from internal applications via
the ATS front-end, located on the company website or is extracted from applicants on job
boards. The majority of job and resume boards (Monster, Hot jobs, Career Builder) have
partnerships with ATS software providers.

Hr2 tool and People Soft usability at Max New York Life Insurance &
Tata- AIG Life Insurance

The function of HR2 module of recruitment and Recruitment Module of People

Soft

1 The update regarding the recruitment requests for Agent Advisors is received
2 The Hiring standards is define for e.g. the eligibility criteria is maintained
3 The names for the posts are gathered
4 The names are tracked through applicant tracking system
5 The applicant tracked is sent for the NAT selection tool
6 The result of the NAT test is updated in front of name of the applicant
7 Interview scheduled update for the eligible candidates are flashed
8 Selected applicants are tracked for training session
9 Generate issue of offer letter

The following benefits for implementation of recruitment module at Max New York
Life Insurance &Tata- AIG Life Insurance

It is easy to access the data portal

It tracks the right candidate for the organization,
It helps in cutting the recruitment costs by involving fewer workforces
It helps in reducing the burden of hiring managers
It helps in updating and retrieving the information of new joiner
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Max New York Life Insurance specially has to pay special attention to build a skilled
and motivated workforce; the company has a training session for almost 15 days as talent
is a competitive edge, to meet the challenges under the training and development like
unable to achieve targets, attrition rate etc, the implementation of HR2 training for
Agents Advisors module should be implemented as attrition rate in the company is said
to be very high.

How hr2 module and People Soft modules will work in Max New York Life
Insurance &Tata- AIG Life Insurance

1 The skills of employee is listed

2 The training needs for employee is identified i.e. the training skills required for Agents
is identified
3 The updates regarding training schedule is flashed on data portal
4 The virtual tool training is implemented
5 The performance is again mapped after training period
6 The grades and scores are updated in the data portal

Benefits

 It helps in identifying the training needs

 Easy to update and retrieve the current status of employee performance
 The extensive data base of employees helps in knowing the gap analysis, skill
assessment tools
 Helps to build a better work force through a constant learning environment
 Maximizing the organization talent pool

Training and development challenges

As in the organization with the insurance firms with the increase in product
customization in insurance is increasing with each passing day the employees in the
organization should be well trained in order to compete in the market, therefore the
formulation of effective training programs for employees is necessary, the H.R Managers
should invest in the considerable time and money in conducting good training programs
for the employees and to build a competent workforce, as employees are lacking in
achieving their targets.

The various challenges found in both the Life Insurance companies is thought this
company is providing proper training session but still people are lacking in achieving
their targets .They are lacking in making their leads as a result they are not proving to be
efficient trained agents, these agents are lacking in some skills, therefore they are unable
to achieve their targets.

The training module provided by Humanities Dimension Group and PeopleSoft

software provides a system for the companies to administer and track employee training
and development efforts. The system, normally called a Learning Management System
if a stand alone product, allows HR to track education, qualifications and skills of the
employees, as well as outlining what training courses, books, CDs, web based learning or
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materials are available to develop which skills. Courses can then be offered in date
specific sessions, with delegates and training resources being mapped and managed
within the same system. Sophisticated LMS allow managers to approve training, budgets
and calendars alongside performance management and appraisal metrics.

Attrition rate is very high in the organization more and more people are lacking in
achieving their targets as insurance jobs are full of target based, target based jobs results
in high pressure the agent advisors who are not able to bear this pressure results in
quitting out their jobs and moreover employees with can do attitude is lacking in this
organization as such people went for other industries. and As this organization follows
vertical process in training for e.g. if the financial advisor is not able to achieve its targets
or he has no clear picture of its product, then trainer is questioned and if advisors is not
performing the field work then sales managers will taken into consideration, therefore the
task bearing leads to tension on the workforce which leads in high attrition rates
and as a result high attrition rate in the organizations results in great shifts in the
organization .

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CHAPTER - 7

CONCLUSION

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CONCLUSIONS

Finally, it may be concluded that

The Max New York Life Insurance are currently facing the challenges related to
recruitment as they hire the wrong workforce which does not produce superior results
and secondly the recruitment process in the organizations is very long and it also does not
respond to line managers with desired speed and efficiency.

It was also seen that most of the employees interviewed in Life Insurance felt that there is
a formal and effective mechanism of hiring potential workforce, whereas this is not the
case with Max New York Life Insurance and also the employees in Life Insurance feel
that their company uses relevant web technologies and very few employees feel that there
is a need for improvement.

It was also noted that 90% of the employees of Life Insurance said that their IT vendor
(software) helped them in complete HRM/HCM solutions and only 10% employees were
against the opinion.

Also 83.33% employees in Life Insurance are satisfied with the HR technology their
company is using, whereas only 53.33% in Max New York Life Insurance are satisfied
with the HR Modules they are using.

From this we can conclude that Life Insurance is better positioned with respect to HRIS,
as compared to Max New York Life Insurance probably because People Soft software
was implemented long back, i.e. four years back in the organization whereas this is not
the case with Max New York Life Insurance.

Both the insurance companies are also facing the training challenges.

The Humanities Dimension HR2 tool and PeopleSoft software implementation results in
complete advantage to the Max New York Life Insurance which helps in proper
management of employees life cycle and results in providing complete software solutions
related to recruitment and training.

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 BENEFITS OF USING HR2 MODULE PROVIDED BY HUMANTICS
AND HR MODULES BY PEOPLE SOFT

1. Quick to deploy

Each Humanities HR2 application and modules provided by People Soft contains a
comprehensive range of ready to use forms, reports, processes and work flow
definitions that based on the best practices in the H.R management, these templates used
write of the box and it is easy to customize it so that they can match with the existing
H.R practice.

2. Easy customized to suit the needs.

To help to meet the ongoing changes in the H.R enivironment,HR2 from Humanities
and People Soft technology incorporates self–service’ customization that allows to
update and remove any data, related to the role type ,department ,individual employee
, it results in self –service usability without investing in assisting of the costly
consultants.

3. Backed by ongoing research, development and support

Humanities HR2 tools and People Soft is backed by a network of consulting and
implementation partners to ensure the rapid deployment of each application, the expert
team is there to always handle complex situation if the organization faces.

Its other benefits are:

 Better access to information

 Ease of administration
 Provide single window services to the employees
 Develop a single and integrated view of employee information
across all departments.
 Improved communications
 Provide timely and reliable management information relating to
human resources for effective decision making.

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 CHAPTER - 8

RECOMMENDATIONS

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 RECOMMENDATIONS AND SUGGESTIONS

The Insurance companies are facing H.R challenges mainly in recruitment and training
and development challenges.

1. The Humanities Dimension group and People Soft should understand the pain areas
being felt by the H.R department properly and immediate actions should be taken for the
proper management of employee life cycle.

2. The Humanities Dimension group should provide complete software solutions with
proper consulting as this company had already the existing I.T vendor which is not
providing it the complete solutions and also lacks in consulting.

3. The insurance companies should make arrangements to incorporate other HR modules

such as Performance Appraisal module & Benefits module along with Recruitment
&Training & Development modules it is currently using.

4. Paperless advance processing should be done.

5. The system should be made simplified and available 24 * 7.

6. For people having less computer literacy, system must be more customized and user
friendly to increase acquaintance with the system.

7. HELP menu should be available on each page.

8. Software should be updates from time to time.

9. Speed and connectivity:

A considérable amount of employees feel that their work is hampered due to
slow speed and fréquent disconnections of the system. Therefore, it needs rigorous
improvement to satisfy the professional needs.

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CHAPTER - 9

LIMITATIONS

- 65 -
LIMITATIONS

• Survey could not be conducted on all employees.

• Unwillingness of the respondents to answer.

• Effectiveness of result depends upon the response of the respondents which might
be biased.

• Ignorance attitude of some respondents may lead to affect the correctness of data
collected to some extend.

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 CHAPTER - 10
ANNEXURE

Company Name: - Date: -

Name of the HOD: - Informer: -

PARAMETER : - (CHALLENGES IN HR)

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 1. Does your organization have a formal and effective system which results in hiring
potential work force?
a) Yes
b) No

2. Does your organization have enables changes easily in your system (Change with
respect to position, departments, promotions etc?)

a) Yes
b) No

3. What is the maximum time taken by the organization to perform a complete training
process?

• 10-15 days
• 1 month
• 1 month

4. What do you consider as the one of the main challenge for HR in your organization
today?

i. Recruitment process

ii. Training and development

iii. Performance appraisal

iv Compliance

v Attrition management

5: Does the organization uses relevant web technologies? If yes, does it respond to line
functions with desired speed, accuracy and efficiency?

• We have a formal yet effective system

• We have an informal yet effective system
• Needs improvement
• This is a critical bottom line significance needs improvement

6. Is your existing IT vendor support you in handling complete HRM/HCM processes

starting from “Recruitment” to “Retirement”?

a) YES
b) NO

7. Did your HR technology partner provide you with HRM/HCM process consulting? If
NO do you expect your HR Technology partner to help you with consulting as well?

a) YES
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 b) NO

8. Why did you feel the need for installation of HRIS modules?

a) Economical & Speedy

b) Reduces fragmentation and duplication of data
c) Recruitment & Performance Appraisal
d) To reduce paper work
e) To reduce manpower

9. When did you Installed HRIS modules in your organization?

a) Past 0-6 Months

b) Past 6-12 Months
c) Past 1-3 years
d) More than 3 year

10. Name of the HRIS modules being practiced in your organization?

11. Are you satisfied with the HRIS modules that you are currently using?
a) Yes
b) No

12. What all functions are automated in HR?

a) Payroll module
b) work time
c) benefits administration module
d) HR management module
e) recruiting & training module
13. Do you think there was increase in the efficiency after automating the above
mentioned functions?

a) Strongly agree
b) Agree
c) Neither agree/Neither disagrees
d) Disagree
e) Strongly Disagree

14. According to you why this HRIS module is advanced than other similar Products?

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CHAPTER - 11

BIBLIOGRAPHY

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 BIBLIOGRAPHY

• Michael J Kavanch, Human resource information system, the university of

Albany, Suny,April2009

• Pareek Udai, Designing and managing H.R systems, TVR

• Cascio, W.f. Managing Human Resourse. McGraw, 1987 Hill, New York

• Wayne,F castio ,Managing Human Resource ,Mc Graw Hil

• Company Brochures were also used as references

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