Professional Documents
Culture Documents
BY
CH.V.RADHIKA
ENROLL. NO- 5NB -11031
MBA-2005-2007
INC-GUNTUR
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DECLARATION
work, carried out under the guidance of my faculty guide Ms. CH.
HYMAVATHI and my company guide Mr. M.VIJAY BHASKAR
REDDY. This report neither full nor in part has ever been submitted for
award of any other degree of either this university or any other university.
(CH. V. RADHIKA)
Roll no. 5nb – 11031
INC GUNTUR
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CERTIFICATE
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LETTER OF APPRECIATION
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ACKNOWLEDGEMENT
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Executive Summary
In my survey I found that 80% of employees are new to the job and
they must undergo the training program.
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Contents
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Brief History of Insurance Sector in India
The insurance sector in India has come a full circle from being an open
competitive market to nationalization and back to a liberalized market again.
Tracing the developments in the Indian insurance sector reveals the 360-
degree turn witnessed over a period of almost 190 years.
The business of life insurance in India in its existing form started in India in
the year 1818 with the establishment of the Oriental Life Insurance
Company in Calcutta.
Some of the important milestones in the life insurance business in India are:
1912 - The Indian Life Assurance Companies Act enacted as the first statute
to regulate the life insurance business.
1956 - 245 Indian and foreign insurers and provident societies taken over by
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the central government and nationalized. LIC formed by an Act of
Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore
from the Government of India.
The General insurance business in India, on the other hand, can trace its
roots to the Triton Insurance Company Ltd., the first general insurance
company established in the year 1850 in Calcutta by the British.
1907 - The Indian Mercantile Insurance Ltd. set up, the first company to
transact all classes of general insurance business.
1968 - The Insurance Act amended to regulate investments and set minimum
solvency margins and the Tariff Advisory Committee set up.
107 insurers amalgamated and grouped into four companies viz. the National
Insurance Company Ltd., the New India Assurance Company Ltd., the
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Oriental Insurance Company Ltd. and the United India Insurance Company
Ltd. GIC incorporated as a company.
The risk, which can be insured against include fire, the peril of sea, death,
incident, & burglary. Any risk contingent upon these may be insured against
at a premium commensurate with the risk involved.
With the help of Insurance, large number of people exposed to a similar risk
make contributions to a common fund out of which the losses suffered by
the unfortunate few, due to accidental events, are made good.
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Functions of Insurance
• Primary Functions
• Secondary Functions
• Other Functions
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Provide Certainty - Insurance is a device, which helps to change from
uncertainty to certainty. Insurance is device whereby the uncertain risks may
be made more certain.
Small capital to cover larger risks - Insurance relieves the businessmen from
security investments, by paying small amount of premium against larger
risks and uncertainty.
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investment, insurance is a compulsory way of savings and it restricts the
unnecessary expenses by the insured's For the purpose of availing income-
tax exemptions also, people invest in insurance.
Risk Free trade - Insurance promotes exports insurance, which makes the
foreign trade risk free with the help of different types of policies under
marine insurance cover.
The end of the year 2000 marks a significant change and growth of 'India
Insurance' industry scenario. Monopoly of Public Sector Insurance company
marks an end and Private companies makes inroad. Foreign companies, both
Life and General flocked, collaborated and helped astronomical growth of
'Insurance Industry in India'.
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growth till then and are still continuing with such monstrous growth figures.
Although, 'Insurance in India' is not regarded as a basic need but it is getting
popular among semi urban to rural masses. Top rank private companies like
ICICI Prudential Life Insurance, Tata AIG, Bajaj Allianz etc are
aggressively researching and innovating products for huge untapped rural
'India Insurance' market. Collaboration with micro finance companies, post
offices, rural banks and village management authorities for selling insurance
is doing wonders.
Present Scenario
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ownership. Under the current guidelines, there is a 26 percent equity cap for
foreign partners in an insurance company. There is a proposal to increase
this limit to 49 percent.
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With a large capital outlay and long gestation periods, infrastructure
projects are fraught with a multitude of risks throughout the development,
construction and operation stages. These include risks associated with
project implementation, including geological risks, maintenance,
commercial and political risks. Without covering these risks the financial
institutions are not willing to commit funds to the sector, especially because
the financing of most private projects is on a limited or non- recourse basis.
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billion are subjected to re-insurance pricing. It is the last segment that has a
number of additional products and competitive pricing.
Of late, with IPP projects fizzling out, the insurance companies are
turning once again to old hands such as NTPC, NHPC and BSES for
business.
Re-insurance business
Insurance companies retain only a part of the risk (less than 10 per cent)
assumed by them, which can be safely borne from their own funds. The
balance risk is re-insured with other insurers. In effect, therefore, re-
insurance is insurer's insurance. It forms the backbone of the insurance
business. It helps to provide a better spread of risk in the international
market, allows primary insurers to accept risks beyond their capacity, settle
accumulated losses arising from catastrophic events and still maintain their
financial stability.
While GIC's subsidiaries look after general insurance, GIC itself has
been the major reinsurer. Currently, all insurance companies have to give 20
per cent of their reinsurance business to GIC. The aim is to ensure that GIC's
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role as the national reinsurer remains unhindered. However, GIC reinsures
the amount further with international companies such as Swissre
(Switzerland), Munichre (Germany), and Royale (UK). Reinsurance
premiums have seen an exorbitant increase in recent years, following the rise
in threat perceptions globally.
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device, are now suddenly turning to the private sector and snapping up the
new innovative products on offer.
The private insurers also seem to be scoring big in other ways- they
are persuading people to take out bigger policies. For instance, the average
size of a life insurance policy before privatization was around Rs 50,000.
That has risen to about Rs 80,000. But the private insurers are ahead in this
game and the average size of their policies is around Rs 1.1 lakh to Rs 1.2
lakh- way bigger than the industry average.
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(Nationalisation) Act, 1972, Insurance Regulatory and Development
Authority (IRDA) Act, 1999 and other related Acts.
Insurance companies:
Public Sector
Life Insurance Corporation of India www.licindia.com
Private Sector
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ICICI Prudential Life Insurance Co. Limited www.iciciprulife.com
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GENERAL INSURERS
Public Sector
National Insurance Company Limited www.nationalinsuranceindia.com
Private Sector
REINSURER
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Company profile of MAX NEW YORK LIFE :
New York Life is a Fortune 100 company that has over 160 years of
experience in the life insurance business. Max India Limited is a multi-
business corporate dealing in Clinical Research, IT and Telecom Services,
and Specialty Plastic Products businesses.
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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 IS0 9001:2000
certification. Max New York offers customized products tailored to suit
individual's needs. With its various Products and Riders, there are more than
400 product combinations to choose from. Today, Max New York Life
Insurance has a network of 57 offices spread over 37 cities all over India.
In line with its values of financial responsibility, Max New York Life
has adopted prudent financial practices to ensure safety of policyholder's
funds. The Company's paid up capital is Rs. 657 crore, which is more than
the norm laid down by IRDA.
Max New York Life has identified individual agents as its primary
channel of distribution. The Company places a lot of emphasis on its
selection process, which comprises four stages - screening, psychometric
test, career seminar and final interview. The agent advisors are trained in-
house to ensure optimal control on quality of training.
Max New York Life invests significantly in its training program and
each agent is trained for 152 hours as opposed to the mandatory 100 hours
stipulated by the IRDA before beginning to sell in the marketplace. Training
is a continuous process for agents at Max New York Life and ensures
development of skills and knowledge through a structured program spread
over 500 hours in two years. This focus on continuous quality training has
resulted in the company having amongst the highest agent pass rate in IRDA
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examinations and the agents have the highest productivity among private life
insurers.
Max New York Life, one of India’s leading life insurance companies,
expanded its presence in the southern region by opening its first general
office in the city of Mysore. Max New York Life now has established a
countrywide network of 172 offices and representatives across 120 cities in
India.
Max New York Life, which has till date sold over 1.53 million
policies and recorded a sum assured of over Rs. 46,000 crore, has positioned
itself on the quality platform. The company has developed a strong corporate
governance model based on defined core values of caring, knowledge,
excellence and honesty. Its strategy is to establish itself as a trusted life
insurance specialist on the bedrock of quality of advice. The company has
over 25,300 agent advisors, who are widely considered the best in the
business.
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Max New York Life aspires to be the "life insurance brand of first
choice" amongst Indian consumers. To achieve this the company will draw
on New York Life's demonstrated competence in developing and managing
a superior personal sales network. For the last 46 years consecutively, the
largest number of agents qualifying for membership to the Million Dollar
Round Table (MDRT) have been from New York Life. The MDRT is the
industry's most prestigious organization comprising the world's most
successful insurance agents. Max New York Life, a merit oriented and equal
opportunities employer, is looking for a few good men and women who will
spearhead the effort to realize this vision.
“An ever expanding presence of Max New York Life offices across
India reinforces our commitment to serving the nation. We are extremely
pleased with our progress in the region and feel that opening an office in
Mysore would help us educate people about the true potential and benefits of
life insurance. As life insurance specialists, Max New York Life will
continue to help consumers make the right choices to meet their financial
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goals, both for the short and long-term, through sound quality advice offered
by our agent advisors and a right mix of product offerings.” he added.
Max New York Life has been instrumental in changing the paradigm
of life insurance in India. It is the first life insurance company in India to
introduce cause related marketing.
Children are at the very heart of Max New York Life's strategy. SOS
Children's Villages of India is internationally recognized for its work in
giving underprivileged children a wholesome life. The mission of SOS is "to
help orphaned and abandoned children, by providing them with a family, a
permanent home, education and strong foundation for an independent life."
It's mission ties in with Max New York Life's philosophy of helping people
secure the future of their near and dear ones.
Vision:
Vision statement is "Most Admired Life Insurance Company in India".
Mission:
• Become one of the top quartile life insurance companies in India
• Be a national player
• Be the brand of first choice
• Be the employer of choice
• Become principal of choice for agents
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Max New York Life Values and Beliefs
Excellence
"In every aspect of work. Ranging from the in-house training institute to the
detailed Personal Insurance Plan. Max New York Life is focused on
achieving the highest standards of quality in every aspect of their business".
Honesty
"Is the heart of the Life Insurance business. Max New York believes that
above all, Life Insurance is based on trust. Transparency, Dependability and
Integrity will form the cornerstones of the Max New York Life experience."
Knowledge
"Is what makes experts. Max New York Life is focused on the Life
Insurance business. Perfectly combining global expertise with local
knowledge, Max New York Life is the Indian Life Insurance specialist."
Caring
"For the customer. Max New York Life is redefining the Life Insurance
paradigm to focus on the needs of the customers. The Max New York
service process is responsive, personalized, humane and empathetic."
Culture:
Our "in house culture recipe" has some of the finest ingredients going into
its making. Some of the more prominent aspects of our culture are stated
below:
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• Customer comes first
• Do it right the first time
• Bias for result oriented action
• Financial strength and discipline
• Clarity of purpose
• International quality standards
• Inclusive Meritocracy
• Learning opportunities
• Fun at work
• Commitment to published value system
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Research Methodology:
The Research and Methodology adopted for the present study has
been systematic and was done in accordance to the objectives set which has
been detailed as below.
Research Definition
Research is a process in which the researcher wishers to find out the
end result for a given problem and thus the solution helps in future course of
action.
According to Redman & Mory research is defined as a “Systemized
effort to gain new knowledge”.
Research Design:
According to “Claire Seltiz”, a research design is the arrangement
of condition and analysis of data in manner that aims to combine relevance
to the research purpose with economy in procedure.
Nature of Research:
Research is basically of two types.
1. Descriptive research
2. Explorative research
1. Descriptive Research: These studies are concerned with describing the
characteristic of a particular individual or a group.
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Primary Data: It consists of original information collected for specific
research. Primary data for this research study was collected through a direct
survey to obtain this primary data a well structured questionnaire was
prepared by the researcher.
Questionnaire Development:
Questionnaire is the most common instrument in collecting
primary data. In order to gather primary data from viewers.
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Open ended questions: It has no fixed alternatives to which the answer
must conform. Thus, respondent answer in his/her own words at any length
they choose.
Ranking questions: These questions are given when there are many points
to be considered and to be ranked in priority.
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Analysis of the project
Definition of Training:
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Areas of training:
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Leadership Training for Success
All managers need methods. Leaders need to know the most effective
techniques for guiding teams, mentoring individuals, and validating the
results. Without solid methods, managers will revert use a one-size-fits-all
approach to leadership that reflects the leader's personality, rather than the
employees' needs.
• Align their leadership style with those of their bosses, colleagues, and
subordinates,
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• Schedule their management responsibilities to ensure that nothing is
left to chance, and
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Training program for Advisors:
• Interpersonal skills
• Excellent communication skills
• Understanding nature
• Aggressiveness
• Convincing skills
• Ability to motivate others
• Interest to learn
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Analysis of office staff who are having sufficient Knowledge on life
Insurance .
No.of Persons
PROFESSION
8
New Advisors
Advisors 54
Telecallers 12
Marketing Executives 26
60 54
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New Advisors
40
26 Advisors
30
Telecallers
20 12
8
Marketing
10
Executives
0
Having Sufficient Product
Knowledge on Insurance
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Analysis of the table:
The above chart showing that advisors only have more knowledge than
telecallers, marketing executives and new advisors. Advisors will complete
the deals. But after that every thing will take care by operations executives
and telecallers. With out sufficient knowledge these both people cant work
well. When the telecaller is calling to customer for renewal premium that
person should have a knowledge how the premium should calculate, and
they should know any extra charges for late payment, and how much grace
period will be… these things should know even telecallers and operations
executives too.
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FINDINGS
• Employees can avoid mistakes on the job. They can handle jobs with
confidence. They will be more satisfied on their jobs.
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RECOMMENDATIONS
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CONCLUSION
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ON THE JOB TRAINING
INTRODUCTION
I have to submit the results what can company get after giving the
training to the employees.
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OBJECTIVES
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TARGETS/ TASKS
I have to approach the employee who is working for max New York
life insurance Company and should find out are they feeling training will be
helpful or not to increase of the performance of the employee. After that I
have to find out what are the things should we cover in the training program
depending upon the concern department.
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ACHIEVEMENTS
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In The Month of JULY
st
1 week 4 leads
2nd week 6 leads
3rd week 3 lead
4th week 4 leads
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LIMITATIONS
2. And in survey I have to interact with the employees. But the employees
will be busy their works.
3. Getting the good response from the employee will be difficult because of
their busy schedule.
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LEARNINGS
2) How the training program will help for the individual as well as
organizational growth
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APPENDIX
1. Name:
2. Designation:
Yes NO
5. Did you satisfy with training what company conducted here?
Yes No
6. Is there any improvement in performance after getting the
training?
Yes No
7. Who needs much knowledge regarding company and product?
Agents Tele callers Operations executives All
8. In which areas employee needs training?
Company policies and procedures
Skill based training
Problem solving skills
All of the above
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REFERENCES
1) Lynton, R.P. and Pareek, U. “Training for development”, 2nd Ed., New
7) www.maxnewyorklife.com
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