A STUDY ON RECRUITMENT & SELECTION

AT MET LIFE INSURANCE PVT.LTD Hyderabad Submitted In the Partial Fulfillment for the Award Of MASTER OF BUSINESS ADMINISTRATION Submitted By K.PRATHIBHA HT.NO: 130798044 Under the Guidance of Mr.A. AMRUTH PRASAD REDDY M.COM., (Ph.D.) ASSISTANT PROFESSOR

KANDULA SCHOOL OF MANAGEMENT (AFFILIATED TO SRI VENKATESWARA UNIVERSITY, TIRUPATHI AND APPROVED BY AICTE, NEW DELHI) KADAPA, A.P. -INDIA (For The Year 2006-2008)

DECLARATION

I here by declare that the project report entitled A Study On Employees Opinion Towards Recruitment& Selection done at METLIFE INSURANCE COMPANY, HYDERABAD submitted by partial fulfillment for the requirement of Master of Business Administration degree of Sri Venkateswara University, Tirupati during the period 2006-2008.

PLACE: DATE:

K.PRATHIBHA (130798044)

ACKNOWLEDGEMENT
I thank Prof K.S.N.REDDY M.Tech, principal of Kandula School of Management, Kadapa for making it convenient to undertake a project work. Encouraging advice and words of wisdom when things seemed to go away Dr. G.L.NARAYANAPPA M.com, ph. D Head of Department helped me my project objective and match the time and resource framework. I am very grateful to Dr.G.Krishna Mohan B.tech, M.B.A, ph. D. my faculty member, and placement officer is dedication to us academic pursuits and thirst for continues always a source of inspiration me. I am extremely indebted to Mr.A.Amruth Prasad Reddy, Asst.Professor of Kandula School of Management for being my faculty guide and for the valuable and invariable suggestions and encouragement in successfully carrying out this job. It has been great pleasure and matter of pride to be associated with gentlemen who are industries commuted and involved in every activities Mr.V.Jagadeesh Kumar Sales Manager, MetLife, Hyderabad.who has permitted me to do the project. They gave required support and time to complete my project successfully for which I remain grateful. I remain always indebted to my parents and my friends in their moral support have been the most carrying and best critics during the course of my project. I express my deep sense of gratitude to all my friends and well wishers for their cooperation in completion of my project work.

K.PRATHIBHA (130798044)

TABLE OF CONTENTS

Chapter

Particulars

Page No.

Executive Synopsis 1. 2. 3. 4. 5. 6. 7. 8. Industry Profile Company Profile Product Profile Conceptual Frame Work Research Methodology Data Analysis And Interpretation Findings Suggestions Appendix Questionnaire Bibliography

EXECUTIVE SYNOPSIS INDUSTRY PROFILE In India, insurance began in 1870 with life insurance being transacted by an English company. The first Indian insurance company was the Bombay Mutual Assurance Society Limited, formed in 1870. This was followed by the Oriental Life Assurance Company in 1874, the Bharat in 1896 and the empire of India in 1897. The Life Insurance business was nationalized in 1956, and the Life Insurance Corporation (LIC) was formed on 1st September 1956, there were 170 companies & 75 provident fund societies transacting life insurance business in India. COMPANY PROFILE With over 137 years of experience, the Met Life Companies serve millions of customers in America, Asia pacific and Europe with one goal in mind to build financial for everyone. In India, there are 14 other private companies are offering life insurance with approval of IRDA. MetLife is one which was introduced in the year 2001 and occupied a dominant market share from the past 4 years among all the life insurance companies. It was started with a capital base of Rs.3.25 crores and raised up to 64% for the year 2006. The head office is located at Bangalore.

OBJECTIVES OF THE STUDY To know whether the employees are aware of the recruitment & selection procedure adopted in the organization. To find the effectiveness of existing system of recruitment & selection procedure, and To offer suitable suggestions for recruitment & selection procedure.

NEED FOR THE STUDY

Recruitment & Selection plays a vital role in attracting people with multidimensional skills and experiences that suit the present and future organization strategies. In order to achieve the targets of any organization skilled employees are required. Hence, there is need on the part of the organizations to hire skilled personnel to meet todays challenges. Hence, this study has been undertaken to examine the existing recruitment and selection procedure of MetLife Insurance Pvt. Ltd. SCOPE OF THE STUDY The study includes all the departments of employees in Met Life. This study mainly focused on the sources and procedures of the recruitment & selection at MetLife. RESEARCH METHODOLOGY: Research Design Research Method Sampling procedure Population Population size Sample Size Sampling Unit Research Instrument Sources of data Primary data Secondary data : Descriptive in nature : Survey Method : Convenience sampling : Employees of MetLife Company : 250 : 100 : Managerial & Non-Managerial : Structured Questionnaire : Primary and Secondary Data : Collected from Respondents through Structured Questionnaire : Collected from company books and Websites

www.MetLife.co.in Statistical tool : Simple Average method

FINDINGS
58% of the respondents opined that they are attracted by the organization in this job, 16% of the respondents opined that they are attracted by the salary and 26% of the respondents opined that they are attracted by both. 14% of the respondents opined that the recruitment procedure is regular, 64% of the respondents opined that it is periodical and 22% of the respondents opined that based on vacancy in the organization. 62% of the respondents selected through merits/qualifications, 20% of the respondents selected through experience and 18% of the respondents selected through recommendation. 70% of the respondents are come across news papers through for the vacancy, 30% of the respondents through friends/relatives and 0% of the respondents through employee exchange. 38% of the respondents said that they are coming from the internal source in this organization and 45% of the respondents from external source and 17% from both. 73% of the respondents opined that they are aware about the recruitment and selection process and 27% of the respondent are unaware before joining the job. 63% of the respondents opined that the best pattern conducted by the organization is objective type, 17% of the respondents opined that they re descriptive/essay and 20% both. 72% of the respondents said that communication is important for an interview and 11% of respondents subject knowledge and 17% both. 82% of the respondents felt satisfied by recruitment and selection procedure and 18% are not satisfied.

 63% of the respondents opined that they are undergone training programme and 37% are not. 58% of the respondents said that the time period between application and interview call is 1-3 days, 26% is 3-10 days and 16% are above 10 days. 79% of the respondents opined that they got monetary designation benefits after training and 21% of the respondents are not. SUGGESTIONS The organization may use other sources of recruiting employees from colleges, consultancies etc. The organization may give preference to the external employees. While recruiting candidates, organization must check Arithmetic ability and basic computer knowledge. The company should implement sectioned bargaining system while deciding salary for the experienced candidates.

THE INSURANCE INDUSTRY The insurance industry provides protection against financial losses resulting from a variety of perils. By purchasing insurance policies, individuals and businesses can receive reimbursement for losses due to car accident, theft or property, and fire & storm damage. Medical expenses, losses of income due to recibility or death. The word insurance creates a sense of security in the minds of people. it is a part of financial system, the takes care of the financial consequences of certain specific contingencies both in case of individuals and corporate bodies. There are 2 types of insurance 1) Life insurance 2) General insurance Life insurance: - it is the contract providing for payment a sum of money to the person assured are following him to the person entitled to the receive the same, on the happening of a specific uncertain event. it is the good method to protect the family financial, in case of the death by providing funds for the losses of the income. General insurance - It is also a contract between the insured property and the insurer, where the insurer provides the financial support to the property

insured or the person entitled to receive the sum of the money in the happening of a specific uncertain event as it is non life insurance it includes the insurance of property against the perils of fire, riots, cyclones, etc, HISTORY OF INSURANCE The business of insurance started with marine business. Traders who gather in the coffee-house in London agreed to share the losses to their goods by being carried by ships. The losses used to occur because of pirates who robbed on the high seas or because of bad whether spoiling the goods are sinking the ship. The first insurance policy was issued in 1583 in England. In India, insurance began in 1870 with life insurance being transacted by an English company, the European and the Albert. The first Indian insurance company was the Bombay mutual assurance society limited, formed in 1870. This is was followed by the oriental life assurance co. In 1874, the Bharat in 1896 and the empire of India 1897. The life insurance business was nationalised in 1956, and the life insurance Corporation (LIC) was formed on 1st September 1956, there were 170 companies &75 provident fund societies transacting life insurance business in India. By 31st march 2002, 11 insure had been registered and had begun to transact life insurance business in India. INVESTMENT IN PRIVATE INSURANCE FIRMS In the first year of the millennium a new era began in the countries insurance sector as the government private players to set up insurance business. The response has been tremendous with 9 new private players having entered the

life insurance business. The private sector players (and a LIC) are all governed by a detailed stringent regulatory framework set up by insurance regulatory and development authority (IRDA). PRIVATE SECTOR For the last 45 years, the LIC was the only life insurance company in the country and though it has done good job so far and it is difficult for one company to reach out to the huge insurable population of the country .as a result penetration of life insurance is one of the lowest in the world. Only 8% of the countries one billion population today have life insurance policies. The insurance premium percentage of gross saving is barely 6% in India as a compared to 52% in the UK. The insurance premium in India account for just 1.4 of the GDP where as the world average is around 8%. This clearly shows why there is such a huge potential for business and this was one of the reasons why private3 players were allowed to enter the sector. Entry norms:Before issuing a licence to a private group, the IRDA looks in to 3 important aspects of the applicants- character, creditability and commencement. New entrance must belongs to a well -known large business group, there should be financially credible and must have financial capability for a long haul. CAPITAL The next important safe guard under the new policy is the requirement of large capital base rs/- 100 crores to start with and further additions in future IRDA has also stipulated a stiff solvency margin of 6% of sum assured.

ACTUARY
Under the IRDA regulation all insurance companies will have to appoint IRDA approved actors who are experts in designing ad pricing of insurance products they must have full assessed to all information regarding the business and are responsible for reporting to the regulator, on regular base, about the solvency of the company. RESTRICTIONS ON INVEST ON IRDA Has stipulated very structured norms, for investment by insurance companies. They will have to invest minimum of 25% of funds in government securities and another 25% securities backed by government guaranties like debenture of MTNL or NTPC. Another 15% will have to be invested in Indian structured bonds floated by railways. Telecom companies, ports and air ports and of the balance 35%, 20% can be invested in the bonds of profit making AAA rated companies and the balance as the company wishes. CONTROL ON THE PRODUCT DESIGNING AND ADVERTISEMENT To make sure that insurance companies do not under price the product to capture the market IRDA says that all the products will have to get IRDA approval before they are sold in the market similarly to make sure that the customer are not taken for a ride by miss leading advertisement and claims, all advertisements and promotional material will have to add here to the

detail guide lines prescribed by IRDA.

REPORTING
To make sure that insurance companies follow the guidelines in total IRDA has asked them to file detail report all the crucial aspects on regular bases. They have to do this on prescribed from and at regular intervals. LIFE INSURANCE IN INDIA LIFE INSURANCE: There is common question. While 1 need insurance? If simply put, life brings with it many surprises some pleasant and some not so and a life insurance plan insures that are better prepare to face uncertainties. In a number of ways: Protection: - one need life insurance to be there and protect the people they love, making sure that there family has a means to look after it self after they are gone. It is a thoughtful business concept designed to protect the economic value of a human life for the benefit of those financially dependent on him. Thats a good reason. Supposing one suffer an injury that keeps them from earning. Would anybody like to be a financial burden on their family, already losing out on their salary? With a life insurance policy, one is protected. Their family is protected.

SAVINGS &INVESTMENTS
Insurance is a means to save and invest. Once periodic premiums are like saving and one are assured of a lump sum amount on maturity . a policy can come in really handy at the time of their Childs education or marriage ! TAX BENEFITS Life insurance is one of the best tax saving options today. Once tax can be saved twice on a life insurance policy - once when they pay their premiums and once when they receive maturity benefits. SOME OF THE IMPORTANT MILESTONES IN THE LIFE INSURANCE BUSINESS IN INDIA ARE: 1818: 1870: 1912: 1928: Oriental Life Insurance Company, the first life insurance company on Indian soil started functioning. Bombay Mutual Life Assurance Society, the first Indian life insurance company started its business. The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business. The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses. 1938: Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public. 1956: 245 Indian and foreign insurers and provident societies are taken over by the central government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 50 million from the Government of India

THE BENEFITS OF LIFE INSURANCE RISK COVER: -Life Insurance contracts allow an individual to have a risk cover against any unfortunate event of the future. TAX DEDUCTION: - Under section 80C of the Income Tax Act of 1961 one can get tax deduction on premiums up to one hundred thousand rupees. Life Insurance policies thus decrease the total taxable income of an individual. LOANS: - An individual can easily access loans from different financial institutions by pledging his insurance policies. RETIREMENT PLANNING: - What had provided protection against the financial consequences of premature death may now be used to help them enjoy their retirement years. Moreover the cash value can be used as an additional income in the old age. EDUCATIONAL NEEDS: - Similar to retirement planning the cash values that flow from ones life insurance schemes can be utilized for educational needs of the insurer or his children.

COMPANY PROFILE

__________COMPANY PROFILE__________

The Hyderabad Stock Exchange Origin:

Rapid growth in the industries is the previous Hyderabad state saw effort for the starting of stock exchange. In November 1941 some trading bankers and brokers formed the stock and share brokers Association. In 1942,Mr.Gulab Mohammed, The Finance Minister of the state Hyderabad formed a committee for the purpose of constructing rules and regulations of the Stock Exchange in 1942. Sri Purushotthamdas Thakurdas founder member of HSE on 14th November 1943 under Hyderabad Companies Act.Mr.Kamal Ya Jung Bahadur was the president of the Exchange. The HSE started functioning under Hyderabad Security Contract Act. of 21 in 1952.Under HEH Nizam's government as a company LTD by guarantee. It was the 6th stock exchange, recognized under securities contract Act. After the premier stock exchange, Ahmadabad, Bombay, Calcutta, Madras and Bangalore stock exchange.

Recognition:
The 95 securities contract (Regulation) rules 1957, passed by the government of India came into force from 21stFeb 1957. The provision of the Act and rules were applied in twin cities of Hyderabad and Secundrabad from 29th Sep 1958 and government of India from that data recognized the HSE Ltd.The Stock Exchange division. Government of India also approved the rules, by laws and regulations framed as per the provision of Act. From these data a new chapter started in the history of Exchange. It has significant share achievements of crores, while state of Andhra Pradesh

toits present state in the matter of industrial development. In view of substantial growth in trading activities and for the service rendered.The exchange was bestowed with permanent recognition with effect 19th 1983

SThe History of Hyderabad Stock Exchange

1943: Formation of HSE. 1958: First recognition was accorded on renewable basis for every year. 1968: Silver Jubilee for HSE. 1983: Bestowed in to the present and fully mechanized own building on on 23 Sep. 1993: Golden jubilee celebration on 18th Oct 1993. 1994: Purchase of "NAVBHARAT PLAZA" a new building computer for the Exchange from 117 to 300 1995: Appointment of first Executive Director in April, Sri M.Subrahmaniyam. 1995: Inauguration of new trading hall at Somajiguda, Hyderabad by the Honorable Chief Minister of A.P.Sri N.T.Ramarao. _______OBJECTIVES_________ The Exchange was established on 18th Oct 1943 with its main objective to create, protect and develop a healthy capital market in the state of Andhra Pradesh to serve effectively towards the public and investor's interest. The Property, Capital and Income of the Exchange, As per the memorandum and Articles of Association of the Exchange, shall have to be applied solely towards the promotion of the objects of the Exchange. Even in case of dissolution, the surplus funds shall have to be devoted to any activity having the some objects, as the high court of judication. Thus in short, it is a charitable Institution. The Hyderabad Stock Exchange limited is now on its stride of completing its 62nd year in the history of capital markets serving the cause of saving and investments. The Exchange has made its beginning in 1943 and today occupies a prominent place among the regional stock exchange in India.

The Hyderabad stock Exchange has been promoting the mobilization of funds in the industrial for the development of industrialization in the state of Andhra Pradesh. _________FUNCTIONS AND SERVICES OF STOCK EXCHANGE________ The stock market occupies in the financial system, it performs several economic functions and vendors invaluable services to the investors companies and to the economy as a whole, they may be summarized as follows: Liquidity and Marketability of securities. Supply of long term funds. Flow of capital to profitable ventures. Motivation for improved performance. Promotion of investment. Reflection of business cycle. Marketing of new issues. Miscellaneous services.

The stock exchange business operations are equipped with modern communication system. Online computerization for simultaneously carrying out the whole trading transactions. The exchange has been displaying various quotations that takes place in the screen in trading flower.

Growth:
The Hyderabad Stock Exchange Ltd.established in 1943 as a non-profit making organization,catering to the needs of investing population started its operation in a small way in a rented building in Koti area. It has shifted to Aiyanagar plaza, Bank Street in 1987. In Sep.1989, the Vice-President of India, Honorable Shankar Dayal Sharma had inaugurated the own building of the Stock Exchange at Himayathnagar.

Later, in order to bring all the trading members under on roof, the exchange still a larger premises situated 6-3-65/A,Somajiguda,Hyderabad-82,with a six stored building and a constructed area of about 4,86,842 sft.Considerable there has been a tremendous perceptible growth which could be observed from the statistics. The number of members of the Exchange was 65 in 1943,117in 1993 and increased to 300 with 869 listed companies having paid up capital is Rs.1236.52crores in 1999-2000. The Exchange has got a very smooth settlement system.

Departments in HSE:
1. Listing Department. 2. Marketing Operation Department. 3. Electronic Data Processing Department. 4. Accounts department. 5. Administrative Department. 6. Surveillance Department. 7. Investor Services and Education Committee Department. 8. Screen Based Department.

Settlement Department:
All transaction entered in exchange are on the basis of cash. The settlement for the month will be notified in advance and circulated to all members. The exchange has weekly settlement or several years. The settlement period is Monday to Friday. All transactions are to be completed within 14 days, in case of first date of transaction. To assist the management of the exchange, the settlement committee shall hear and settle the disputes arising between members in respect of non-delivery.

Listing Department:
Listing is primarily the formal approval of Stock Exchange for trading the securities concerned on its trading floor. The main functions of listing department are: To provide a ready marketability to the securities of the company preliminary screening of memorandum of association, Articles of Association, Prospectus. Maintenance of listing files of all companies to see that company fulfills the pre-issue formalities which knave to come from public issue.

Surveillance Department
Surveillance department of HSE started functioning from the year 1995. The department is actively engaged in discharging the following functions. Monitoring the price movements. Checking of price rigging and manipulations. Applying of circuit breakers where ever required. Imposing special margins. Payments of margins. Suspension and revocation. Monitoring of violations of trading restrictions and limits. Monitoring of broker's net position.

Administration Department
Administration Department of HSE looks after the overall administration matters of the exchange. Therefore one of its main functions is general administration. It also deals with staff members related to appointment, pay scale and payroll to staff. It also looks into the Appointment of members Appointment of sub works To maintain the list of active members

Accounts Department:
Accounts department is in charge of over all functions so accounting, members security deposits, collection of listing fees, securities evaluation of members and stationary verification. Out of the collected listing fees the accounts department transfers 20% of listing fees to investors service cell and 5% to SEBI guidelines. The Account department I headed by DGM who reports to governing board.

E.D.P.Department:
The Electronic Data Processing (EDP) department is engaged in following functions: 1. Generating computerized daily volume reports to all members for the transaction done on a particular trading day. 2. It releases the daily quoted open high, low and close share price together with the number of trades and volumes to the process. 3. All the information related to trading data/inputs/outputs of all members is processed by the E.D.P.department.

Computerization Department:
The HSE online securities trading system was built around the most sophisticated state of art computers, communications system and the proven VEVTOR software from CMC.This is one of the most powerful Subsystems in the country. Operating in WAN environment which is connected through 9.6 KBPS 2 wire leased lines from the offices of the members to the office of stock exchange in the present building. HSE is only stock exchange in the country to provide infrastructure to its members for trading through WAN. The host system will enable the Stock Exchange not only to expand its operation to other prime trading enters outside the twin cities Hyderabad and Secunderabad, but also to link itself into inter-connected market system (ICMS) proposed by the federation of India Stock Exchange (FISE) to inter-connect various regional stock exchange in various states.

Governing Board:
The exchange used to function on the principle of electing senior member to the governing board along with 3 members nominated by the government of India. Since 50th AGM, the strength of the governing board was revised to 13, including a President, Vice-President,4 more elected directors, 3 central government nominees,3 public nominees and 1 executive director. Making elected directors and government nominees directors to 50:50 i.e.6:6 apart from the executive directors in terms of Directors of Securities and Exchange Board of India.

Members of the Exchange:

Sri.Hari Narayana Rathi. Sri.Rajendra V.Naniwadekar. Sri.K.Shiva Kumar. Sri.R.D.Lahoti. Sri.Ram Swaroop Agarwal. Sri.DattatraySa.

SEBI nominee Directors:

Sri.N.S.Ponnunambi __________ Register Of Companies.

Public nominee Directors:

Dr.N.R.Sivaswamy (Chairman, HSE) _______Former CBDT Chairman. Justice V.Bhaskara Rao Sri.P.Muralimohan Rao Dr.B.Brahmaiah _______Rdtd.Judge High Court. _________Mogill&co.(CA). _________G.M.JNIDB.

Executive Director:

_________Sri.S.Sarveshwar Reddy.

ORGANIZATIONAL STRUCTURE OF THE STOCK EXCHANGE Board of Director | Chief executive Officer | Dgm (Accounts) Survey Department Accounts Officer | SR Assistants | Assistant | Data entry operators Office boys | Listing (Dept) | Sr. Assistant | Assistants Office boys

| Secretary | Steno | Office boy

| EDP SR Programmer | HW Engineer | Data entry operator | Assistant

| Administration (Dept) | Main Officer | Stenos Sr. Assistants | Office boys | Drivers

| Investor service cell | Sr. Assistant | Office boys

| library (Dept)

CONCEPTUAL FRAMEWORK
RECRUITMENT Planning for human resource is more than any other resource. Recruitment has been regarded as the most important function of the personnel administration, because unless the right type of people are hired, even the best plans, organization charts and control system would not do much good. So once required

number and kind of human resource are determined, the management has to find the places where required resources will be available and also find the means of attracting them towards the organization before selecting suitable candidates for job. All this process is generally known as recruitment. Technically speaking the function of recruitment precedes the selection function and it includes not only finding, developing the resources of prospective employees and attracting them to apply for jobs in an organization, whereas the selection process of finding out the most suitable candidate to the job out of the candidates attracted. Recruiting is he discovery of potential applicants for actual or anticipated organization vacancies.

Recruitment is a process to discover the sources of manpower to meet requirement of staffing schedule and to employ effective measures for attracting numbers to facilitate effective selection of an efficient workforce Recruitment is a process of selecting for prospective employees and stimulating job in the organization

OBJECTIVES OF RECRUITMENT The objectives of recruitment are To attract people with multi-dimensional skills and

experiences that suit the present and future organizational strategy, To induct outsiders with a new prospective to lead the company, To infuse fresh blood at all levels of the organization,

To

develop

an

organizational

culture

that

attract

competent people to the company, To head/hunt/pouch who skills fit the company values, To device methodologies for accessing physiological traits, To seek out non-conventional development grounds of talent, To search for talent globally and not just within the company, To design entry pay that competes on quality but not on quantum, To anticipate and find people for position that does not exist yet. FACTORS AFFECTIVE RECRUITMENT Both internal and external factors affect recruitment. The external factors include supply of and demand for human resources, employment opportunities and/or unemployment rate, labour market conditions, political, legal recruitment and government policies, social factors, information systems etc., The internal factors include companies pay package including salary, fringe benefits and incentives, quality of work life, organizational culture, career planning and growth opportunities, size of the company, companies product services, geographical spread of the companies operations viz., local, national or global companies growth rate, role of trade unions and cost of recruitments. RECRUITMENT POLOCY Recruitment policy of any organization is derived from the personnel policy of the same organization, however recruitment policy by itself should

take into concentration the government reservation policy, policy regarding sons of soil etc., Personnel policies of other organizations regarding merit, internal sources social responsibilities in absorbing minority sections, women etc., recruitment policy should commit itself organizations personnel policy like enriching the organizations human resources are serving the community. PREREQUESITS OF GOOD RECRUITMENT POLICY The recruitment policy of an organization must satisfy the following conditions. 1. It should be inconformity with its general personnel policies. 2. It should be flexible enough to meet the changing needs of an organization. 3. It should be so defined as to ensure employment opportunities for its employees on a long-term basis so that the goals of the organization should be achievable and it should develop the potentialities of employees. 4. It should match the qualities of employees with the requirement of the work for which they are employed. 5. It should highlight the necessity of establishing job analysis. SOURCES OF RECRUITMENT The sources of recruitment are broadly divided into internal sources and external sources. Internal sources are the sources within the organizational pursuits. External sources are sources outside organizational pursuits. INTERNAL SOURCES Internal sources are the most obvious sources internal sources include.

A). Present permanent employees. B). Present temporary employees. C). Retrenched or retired employees, and D). Dependents of deceased, disabled, retired and present employees. A). PRESENT PERMANENT EMPLOYEES Organizations consider the candidates from this source for higher level jobs to: Availability of the most suitable candidates for job relatively is equally to the external source. To meet the trade unions demands. To meet the policy of the organization to motivate the present employees.

B). PRESENT TEMPORARY EMPLOYEES Organization find this source to fill the vacancies relatively at he lower level owing to the availability of suitable candidates or trade and pressures or in order to motivate them in the present job. C). RETRENCHED OR RETIRED EMPLOYEES Generally a particular organization retrenches the employees due to lay-off. The organization takes the candidates for employment from the retrenched employees due to obligation, trade union pressure and the like. D). DEPENDENTS OF DECEASED, DISABLED, RETIRED AND

PRESENT EMPLOYEE Some organizations with a view to developing the commitment and loyalty of not only the employment to the dependent of deceased, disabled and present employees. Such organizations find the source as an effective source of recruitment. Merits The use of internal sources has some merits. They are 1. It improves the morale of the employees. 2. The employer is in a better position to evaluate those presently employed than outside candidates. 3. It promotes loyalty among employees. 4. They are tried people and can therefore be relied upon. 5. It is less costly than going outside to recruit. 6. Internal recruitment can be motivation. 7. Employees psychological needs can be met by providing an opportunity for advancement. De-merits 1. It often leads to inbreeding and discourage new blood from entering an organization. 2. There is a possibility that internal source may dryup and it may be difficult to find the requisite personnel from within the organization. 3. As promotion is based on seniority, the danger is that real capable in hands may not be chosen. used as a technique of

EXTERNAL SOURCES
External sources are those sources, which are the outside organizational pursuits. Organizations search for the required candidates from these sources for the following reasons. 1. The suitable candidates with skill, knowledge, talent etc., are generally available. 2. Candidates can be selected without any preconceived motion or reservation. 3. Cost of employees can be maintained because employees selected from this source are generally placed in minimum pay scale. 4. Expertise, excellence and experience in other organization can be easily brought into the organization. 5. Human resources mix can be balanced with different background, experience, skill etc., 6. Latest knowledge, skill, innovative or creative talent can also be flowed into the organization. 7. Existing will also broaden their personality. 8. Long run will be benefit to the organization in the same that qualitative human resource can be brought.

EXTERNAL SOURCE INCLUDE

Campus recruitment Private employment agencies/consultants Public employment exchanges Professional associations

Data banks Casual applications Similar organizations Trade unions

CAMPUS RECRUITMENT
Different types organizations like industries, business firms, service organizations, social or religious organizations, can get inexperienced candidates of different types from various educational institutions like colleges and universities imparting education in science, commerce, arts, engineering and technology, agriculture, medicine, management studies etc., PRIVATE EMPLOYMENT AGENCIES/CONSULTANTS Private employment agencies or consultants like ABC consultants in India perform the recruitment functions on behalf of a client company by changes fees. Line managers are relieved from recruitment function so that they can concentrate on their operational activities and recruitment functions is entrusted to a private agency or consultants. PUBLIC EMPLOYMENT EXCHANGES The government had set-up public employment in the country to provide information about vacancies to the candidates and to help organizations in finding out suitable candidates. The employment exchange Act 1959 makes it obligatory for public sector and private sector enterprise in India to fill certain types of vacancies through public employment exchanges. These industries have to Depend on public employment exchanges for the specified vacancies.

PROFESSIONAL ASSOCIATIONS
Professional associations or organizations maintain complete bio-

date of their members and provide the same to various organizations on requisition. They also act as an exchange between their members and recruiting firms in exchanging information, clarifying doubts etc., Data banks The management can collect the bio-data of the candidates from different sources like employment exchange, educational training institutions, candidates etc., and can feed them in computer. It will become another source and the company can get particulars as and when it needs to recruit. Casual application Depending upon the image of the organization, its prompt response, participation of the organization in the local activities, level of unemployment, candidates apply casually for jobs through mail or hand over the applications in personnel department. This would be suitable source for temporary and lower level jobs. Similar organizations Generally, experienced candidates are available in organizations producing similar products or are engaged in similar business. The management can get most suitable candidates from this source. This would be most effective source for executive positions and for newly established organizations or diversified or expanded organizations. Trade unions Generally, unemployed persons of employees seeking change in employment put a word to the trade union leaders with a view to getting suitable employment due to latters intimacy with the management. As such the trade union leaders are aware of the availability of candidates. Merits

1. External source provide the requisite type of personnel for an organization, having skill, training and education up to the required standard. 2. Since persons are made from a large market, the best selection can be made. 3. In long run, this source proves economical because potential employees do not need extra training for their jobs.

Demerits
However, this system suffers from what is called brain drain, Especially when experienced persons are retained or hunted by sister concerns.

METHODS AND TECHNIQUES OF RECRUITMENT

Direct method
These include sending traveling recruiters to educational and professional institutions, employees contact with public and managed exhibits. One of widely used direct method is that of sending of recruiters to colleges and technical schools for managerial, professional and sales personnel, campus, recruiting is an extensive operation. Other direct methods include sending recruiters to conventions and seminars, setting up exhibits at fairs and using mobile officers to go to desired centers. Indirect method Indirect method involves mostly advertising in news paper, on the radio, in trade and professional journals, technical magazines and broachers. Advertising in newspapers, trade journals and magazines are most frequently used methods, when

qualified and experienced personnel are not available from other sources. Advertising is very use full for recruiting blue collar and housing workers, as well as scientific, professional and technical employees. The main point is that the higher the position is in the organization or the more widely dispersed advertisement is likely to be. Third party methods These include the use of commercial or private employee agencies, placement offices of schools, colleges and professional associations, recruiting firms, management consultants firms, and indoctrination seminars for college professors, friends and relatives. Private employee agencies are widely used. They specialize in specific occupations, general office help, salesman, technical workmen, accountants, computer staff, engineers and executives. These private agencies are brokers who bring employers and employees together. School, colleges and professional institutions These offer opportunities for recruiting their students. They operate placement services where complete bio-data and other particulars of the students are available. The companies that need employment bureaus and teachers of business and vocational courses.

Professional organizations professional organizations or recruiting firms of executive recruiters maintain complete information records about employed executives. These firms are looked upon as headhunters, raiders and pirates by organizations, which loose personnel through their effort.

Indoctrination Seminars for college professors are arranged to

discuss the problem of companies and employees. Professors are invited to take part of these seminars. Visits to plants and banquets are arranged so that participant professors may be favorably impressed. They may later speak well of the company and help in it getting the required personnel. Employee referrals Friends and relatives of present employees are also a good source from which employee may be drawn. When the labor market is a very tight, large employer frequently offer their employees bonuses or prizes for any referrals that are hired and stay with the company for a specific period of time. This method of recruitment however suffers from a serious defect that it encourages nepotism i.e. persons of ones community or caste of employed, who may or may not be fit for the job. Trade unions They also provide manual and skill workers in sufficient numbers. Under agreement, they many agree as to who is to be given preference. But in case of adverse industrial relations this technique may create difficulties. Casual labor or applicant at the gate Most industrial units relay to some extent on the casual labor that presents itself daily at the factory or at the employment office however this source is uncertain and the candidates cover a wide range of abilities. Even then, many of our industries make uses source to fill up casual vacancies. Voluntary organizations Such as private clubs, social organizations might also provide employees-handicapped, widowed or married women, old persons, retired etc., in response to advertisements.

The recruitment may be done in two ways. Centralized recruitment Decentralized recruitment Recruitment practices vary from one organization to another. Personnel department at the central office performs all the functions of recruitment in case of centralized recruitment and personnel departments at unit level/zonal level perform all the functions of recruitment concerning to the jobs of the respective unit or zone. Merits of centralized recruitment Average cost of recruitment per candidate should be relatively less due to economic of scale. It would have more expertise available to it. It can ensure broad uniformity among human resources of various units/zones in respect of education, skills, knowledge, talent etc., It would generally be above malpractices, abuse of powers, favoritism, bias etc., It would facilitate interchangeability of staff among various units/zones. It enables the line managers of various units and zones to on their operational activities by receiving them from the recruitment functions. It enables the organization to have centralized selection procedure, promotional and transfer procedure etc., It ensures the most effective and suitable placement to candidates. It enables centralized training programs, which further

brings uniformly and minimizes average cost of staff. Despite these advantages of centralized recruitment some orgaizations resort to decentralized recruitment for the following reason. The unit would relatively enjoy advantage about the availability of information, control and feedback and various functions/processes or recruitment. The unit would enjoy better familiarity and control over the employees it recruits rather than on employees selected by the central recruitment agency. Both the system of recruitment would suffer from their won demerits. Hence management has to weigh both the merits and demerits of each system before making a final decision about centralizing or decentralizing the recruitment. The management has to find out and develop the sources are recruitment after deciding upon centralizing or decentralizing the recruitment selection.

RECRUITMENT PROCESS The recruitment process consists of the following steps 1. First step: the The personnel/human list of resources department various

receives

requisition

employees

from

department of the company. The requisition form consists of jobs to be filled, no of persons to be employed, duties to be performed, skills and knowledge and abilities, qualification and experience of the candidates etc. it also contains terms and conditions of employment, time period for joining the duties etc. 2. Second step: This step relates to identification of sources, their

locations/areas, right time and development of sources. 3. Third step: This step includes searching for prospective candidates in sources developed. 4. Fourth step: This step involves motivating the prospective candidates to apply for the job by providing the information about the company, job, pay scale, allowances, career opportunities, terms and conditions of employment etc. 5. Fifth step: This step involves stimulating the prospective and suitable candidates to apply for the job by providing additional information to the candidates and procuring from the candidates. 6. Sixth step: This step involves evaluating the effectiveness of the recruitment process.

SELECTION After identifying the sources of human resources, searching for prospective employees and stimulating them to apply for the jobs in an organization, the management has to perform the function of selecting the right employees at the right time. The obvious guiding policy in selection is the intention to choose the bestqualified and suitable job candidate for each unfilled job. The objective of the selection decision is to choose the individual who can most successfully perform the job from the pool of qualified candidates. The selection procedure is the system of functions and devices adopted in a given company to ascertain whether the candidates specifications are matched with the job specifications and requirements are not. The selection procedure cannot be effective until and unless:

1. Requirements of the job to be filled, have been clearly specified(job analysis etc.,) 2. Employees specifications (physical, mental, social, and behavioral, etc.,) have been clearly specified. 3. Candidates for screening have been attracted. Thus, the development of job analysis, human resource planning and recruitment are necessary prerequisites to the selection process. A breakdown in any of this processes can make even the best selection system ineffective.

RESEARCH METHODOLOGY
In this chapter need, objectives and research design and methodology followed during the study are in detail.

NEED FOR THE STUDY Recruitment and selection plays a vital role in attracting people with multidimensional skill and experiences that suit the present and future organization strategies. in order to achieve the targets of any organization skilled employees are

required. Hence, there is need on the part of the organizations to hire skilled personnel to meet todays challenges. hence, this study has been undertaken to examine the existing recruitment and selection procedure of Met life insurance pvt.Ltd. OBJECTIVES To know whether the employees are aware of the recruitment and selection procedure adopted in the organization. To find the effectiveness of existing system of recruitment and selection procedure, and To offer suitable suggestions for recruitment and selection procedure.

RESEARCH METHODOLOGY The methodology that is adopted for the study is such that it facilities the data accumulation. The information is gathered through survey method. The survey method has been adopted for collecting the data from employees.

RESEARCH DESIGN
Research Design is defined as the specification of methods and procedures for acquiring the information needed. Generally the research design is any of the following three types-DESCRIPTIVE, EXPLORATORY and CASUAL.

DESCRIPTIVE STUDY Descriptive study/research is marked by the prior formulations of specific research questions. The investigator already knows a substantial amount about the research problem before the project is initiated. Hence this is chosen for my research.

EXPLORATORY STUDY
The major purpose of exploratory study is the identification of problem, the more precision formulation of problem and the formulation of new alternative courses of action.

CASUAL STUDY The study involves the determination of the causes of what the researchers are predicting. this is mainly a cause and effect study. The research design selected by the researcher in the present study is DESCRIPTIVE in nature.

RESEARCH INSTRUMENT
HR research has a one main research instruments in collecting primary data. That is questionnaires. In order to extract first hand information from the respondents, a pre-tested questionnaire was prepare and the same was administered to the respondents. DATA SOURCES Data means a collection of facts in real life statistical data is a collection of factsd in numerical figures. The data sources are usually identified using the type of data needed. There are two types of data.

1. Primary data 2. Secondary data

PRIMARY DATA
The first hand information by the investigator by means of observation face to face questioning, telephone interview and mailing questionnaire is called primary data. Primary data consists of original information gathered for a specific purpose. SOURCES OF PRIMARY DATA For the purpose of present study, the primary data collected from respondents by

contacting them personally.

SECONDARY DATA
Secondary data consists of information that already exists somewhere, having been collected for another purpose. SOURCES OF SECONDARY DATA

For the purpose of present study, the secondary data was collected from published data of the companies.

POPULATION
Population is the aggregate of objects animate and in animate, under study in any statistical investigation. The population for the study here was employees in Met life.

SAMPLING PROCEDURE
With a view to arrive at the sample population for the study, a Purposive-Cum convenient sampling was followed.

SAMPLE SIZE
The sample size include 100 employees who are working in the Met life insurance Pvt.Ltd.

DATA ANALYSIS &

INTERPRETATION

Table 6.1
This table shows that how can you attracted with this job?

Option Image of the organization Salary Both Total

No. of respondents 58 16 26 100

% Of respondents 58% 16% 26% 100 100%

Fig 6.1
60 50 40 30 20 10 0 16 26 Image of the organization salary both 58

interpretation:- 58% of the respondents opined that they are attracted by the image of the organization in this job,16% of the respondents opined that they are attracted by the salary and 26% of the respondents opined that they are attracted by both.

Table 6.2 This table shows that is their any recruitment procedure inyourorganization?If so recruitment is?
Option Regular Periodical Based on vacancy Total No. Of respondents 14 64 22 100 % Of respondents 14% 64% 22% 100%

Fig 6.2
70 60 50 40 30 20 10 0 Regular Periodical Based on vacancy 64

22 14

Series1

interpretation:- 14% of the respondents opined that the recruitment procedure is regular,64% of the respondents opined that it is periodical and 22% of the respondents opined that based on vacancy in the organization.

Table 6.3
This table shows that on what basis you had been selected for this job? Option Merits/qualification Experience Recommendation Total No .of respondents 62 20 18 100 % of respondents 62% 20% 18% 100%

Fig 6.3
70 60 50 40 30 20 10 0 20 18 Series1 62

interpretation:- 62% of the respondents selected through merits/qualifications,20% of the respondents selected through experience and 18% of the respondents selected through recommendation.

Table 6.4
This table shows that how did you come across this vacancy? Option News papers Friends/relatives Employee exchange Total No of respondents 70 30 0 100 % Of respondents 70% 30% 0% 100%

Fig 6.4
70 60 50 40 30 20 10 0 0 30 News papers Friends/relativ es Employee exchange 70

interpretation:- 70% of the respondents are come across news papers through for the vacancy,30% of the respondents through friends/relatives and 0% of the respondents

through employee exchange.

Table 6.5
This table shows that in your organization you are coming from which source? Option Internal External Both Total No of respondents 38 45 17 100 % Of respondents 38% 45% 17% 100%

Fig 6.5
50 40 30 20 10 0 Internal External Both 17 Series1 38 45

interpretation:- 38% of the respondents said that they are coming from the internal source in this organization and 45% of the respondents from external source and 17% from both.

Table 6.6
This table shows are you aware about the recruitment and selection process before joining the job? Option Yes No Total No of respondents 73 27 100 % Of respondents 73% 27% 100%

Fig 6.6

27 Yes No 73

interpretation:-73% of the respondents opined that they are aware about recruitment and selection and 27% of the respondents are unaware before joining the job.

Table 6.7
This table shows that which is the best pattern should be conducted in the interview process? Option Objective type Essay/descriptive Both Total No of respondents 63 17 20 100 Fig 6.7 % of respondents 63% 17% 20% 100%

70 60 50 40 30 20 10 0
e ty

63 Series1

17

20

pe

iv

O bj ec t

interpretation:- 63% of the respondents opined that the best pattern conducted by the organization is objective type 17% of the respondents opined that they are descriptive/essay type and 20% both.

Es s

ay /

de sc

rip ti v

Bo th

Table 6.8
This table shows that what according to you is important for an interview? Option Communication Subject knowledge Both Total No of respondents 72 11 17 100 % of respondents 72% 11% 17% 100%

Fig 6.8
72

80 70 60 50 40 30 20 10 0
un ic

11

17

Series1

le dg e

at io n

C om

interpretation:- 72% of the respondents said that communication is important for an interview and 11% of the respondents subject knowledge and 17% both.

Su bj ec t

kn ow

Bo th

Table6.9
This table shows that are you satisfied by recruitment and selection procedure? Option Yes No Total No of respondents 82 18 100 % of respondents 82% 18% 100%

Fig 6.9

18

Yes No

82

interpretation:- 82% of the respondents felt satisfied by recruitment and selection procedure and 18% are not satisfied.

Table 6.10
This table shows that have you undergone any training program? Option No of respondents % of respondents

Yes No Total

63 37 100

63% 37% 100%

Fig 6.10

37 Yes No 63

interpretation:- 63% of the respondents opined that they are undergone training program and 37% are not.

Table 6.11
This table shows that what was the time period between application and interview call? Option No of respondents % Of respondents

1-3 days 3-10days Above 10 days Total

58 26 16 100

58% 26% 16% 100%

Fig 6.11
70 60 50 40 30 20 10 0 1-3 days 3-10days Above 10 days 26 16 Series1 58

interpretation:- 58% of the respondents said that the time period between application and interview call is 1-3 days,26% is 3-10 days and 16% are above 10 days.

Table 6.12
This table shows that after training have you got any monetary designation benefits? Option Yes No No of respondents 79 21 % of respondents 79% 21%

Total

100

100%

Fig 6.12

21

Yes No

79

interpretation:- 79% of the respondents opined that they got monetary designation benefits after training and 21% of the respondents are not.

FINDINGS & SUGGESTIONS

FINDINGS
58% of the respondents opined that they are attracted by the organization in this job, 16% of the respondents opined that they are attracted by the salary and 26% of the respondents opined that they are attracted by both. 14% of the respondents opined that the recruitment procedure is regular, 64% of the respondents opined that it is periodical and 22% of the respondents opined that based on vacancy in the organization. 62% of the respondents selected through merits/qualifications, 20% of the respondents selected through experience and 18% of the respondents selected through recommendation. 70% of the respondents are come across news papers through for the vacancy, 30% of the respondents through friends/relatives and 0% of the respondents through employee exchange. 38% of the respondents said that they are coming from the internal source in this organization and 45% of the respondents from external source and 17% from both. 73% of the respondents opined that they are aware about the recruitment and selection process and 27% of the respondent are unaware before joining the job. 63% of the respondents opined that the best pattern conducted by the organization is objective type, 17% of the respondents opined that they re descriptive/essay and 20% both. 72% of the respondents said that communication is important for an interview and 11% of respondents subject knowledge and 17% both. 82% of the respondents felt satisfied by recruitment and selection procedure and 18% are not satisfied. 63% of the respondents opined that they are undergone training programme and 37% are not. 58% of the respondents said that the time period between application

and interview call is 1-3 days, 26% is 3-10 days and 16% are above 10 days. 79% of the respondents opined that they got monetary designation benefits after training and 21% of the respondents are not. SUGGESTIONS The organization may use other sources of recruiting employees from colleges, consultancies etc. The organization may give preference to the external employees. While recruiting candidates, organization must check Arithmetic ability and basic computer knowledge

. The company should implement sectioned bargaining system while deciding salary for the experienced candidates.

QUESTIONNAIRE

1. What attracted you in this job? a. Organization b. Salary c. Both

2. Is there any recruitment procedure in your organization? If so recruitment is? a. Regular b. Periodical c. Based on vacancy

3. On what basis you had been selected for this job? a. Merits/Qualification b. Experience c. Recommendation

4. How did you come across this vacancy? a. News papers b. Friends/Relatives c. Employee exchange

5. In your organization you are coming from which source? a. Internal b. External c. Both

6. Are you aware about the recruitment and selection process before joining the job? a. Yes b. No

7. Which is the best pattern should be conducted? a. Objective type b. Essay/Descriptive c. Both

8. What according to you is important for an interview? a. Communication b. Subject knowledge c. Both

9. Are you satisfied by recruitment and selection procedure? a. Yes b. No

10.Have you undergone any training program? a. Yes b. No

11.What was the time period between application and interview call?

a.1-3 days

b.3-10 days

c. above 10 days

12.After training have you got any monetary designation benefits? a. Yes b.no

9. Which is the best pattern should be conducted? a. Objective type b. Essay/Descriptive c. Both

10. Are you aware about the recruitment and selection process before joining the job? a. Yes b. No

11. On what basis you had been selected for this job? a. Merits/Qualification b. Experience c. Recommendation

12. In your organization you are coming from which source? a. Internal b. External c. Both

13.Suggest any new methods for recruitment and selection procedure?

_____________BIBLIOGRAPHY_________

Name of the Author

C.B.Memoria & S.V.Gankar K.Aswathappa P.Subbarao Stephen P Robinson

Name of the Book

Personnel Management human resource & Personnel Management human resource & Personnel Management human resource & Personnel Management

QUESTIONNAIRE

1.What attracted you in this job?

a. Organization b. Salary c. Both

2.Is there any recruitment procedure in your organization? If so recruitment is? a. Regular b. Periodical c. Based on vacancy

3. On what basis you had been selected for this job? a. Merits/Qualification b. Experience c. Recommendation

4. How did you come across this vacancy? a. News papers b. Friends/Relatives c. Employee exchange

5. In your organization you are coming from which source? a. Internal b. External c. Both

6. Are you aware about the recruitment and selection process before joining the job? a. Yes b. No

7. Which is the best pattern should be conducted? a. Objective type b. Essay/Descriptive c. Both

8. What according to you is important for an interview? a. Communication b. Subject knowledge c. Both

9. Are you satisfied by recruitment and selection procedure? b. Yes b. No

10.Have you undergone any training program? a. Yes b. No

11.What was the time period between application and interview call? a.1-3 days b.3-10 days c. above 10 days

12.After training have you got any monetary designation benefits? a. Yes b.no

9. Which is the best pattern should be conducted? a. Objective type b. Essay/Descriptive c. Both

10. Are you aware about the recruitment and selection process before joining the job? a. Yes b. No

11. On what basis you had been selected for this job? a. Merits/Qualification b. Experience c. Recommendation

12. In your organization you are coming from which source? a. Internal b. External c. Both

13.Suggest any new methods for recruitment and selection procedure?