(2010-2011)

PROJECT REPORT
ON

SUBMITTED BY:
GAURAV PRAKASH
BBA FINAL YEAR
 Acknowledgement

A formal statement of acknowledgement will hardly meet the ends of the justice
in the matter of expression of my deeply felt sincere and allegiant gratitude to
all those who encouraged me and helped me during my study.

It gives me immense pleasure, to express my unfeigned and sincere thanks and

gratitude to Mr. Manoj Mital faculty Onkarmal somani college, jodhpur for
her assistance, advice and support throughout the preparation of this report.

I express my sincere thanks to our beloved principal Prof. N.L.Sahel, for

giving valuable support and encouragement in preparing this report.

I am also thankful to Mr. Naveen Chodhary for giving me valuable information

regarding his concern.

I am also very thankful to all my respondents who took time out of their busy
schedules and helped me in carrying out this project.

GAURAV PRAKASH

(B.B.A.FINAL)
 CONTENTS

S.NO. TOPIC PAGE NO.

1. Introduction 1

2. Industry Profile 4

3. Origin & Development of Industry 5

4. Growth & Present States of Industry 11

5. Future of the Industry 13

6. Main Objectives of the Company 15

7. Growth & Development of

Organization 19

8. Functional Dept. of the Organization 20

9. Organization Structure 22

10. Product and service profile of the organization

Competitors 25
11. Market profile of the Organization 26

12. Discussion on Training 28

13. Description of live Experience 32

14. Research Methodology 33

15. Analysis and Intrepretation 37

16. Summary and Conclusions 49
17. Recommendations & Conclusion 50
18. Questionare

19. Bibliography
 PREFACE

The purpose of this report is to literally act as a window to the projects Undertaken as a
part of the Internship with the Organization MAS FINANCIAL, that aims to define the
breadth depth and scope of the various thinking processes and mechanics that actually
synthesized the projects undertaken.

The objective of the project was to understand the working environment, culture and
offerings of the company. This was to be done along with visiting Clients in New Delhi for
the purpose of increasing their awareness regarding Investment in the services domain
and in turn identifying potential prospects wherever possible.

The methodology followed was of finding out marketing strategy of clients and meeting
them up for the purpose of understanding their corporations.

The project proved to be a great learning experience which taught me that it is not only
our offerings but also our attitude, flexibility and innovation seconded by right amount of
aggression which is important for sales.
 Introduction

Financial services refer to services provided by the finance industry. The

finance industry encompasses a broad range of organizations that deal
with the management of money. Among these organizations are banks,
credit card  companies,  insurance  companies, consumer finance
companies, stock brokerages, investment funds and some government
sponsored enterprises. As of 2004, the financial services industry
represented 20% of the market capitalization of the S&P 500 in the United
States. With increasing importance of money in every aspect of live it’s
very important to manage this crucial aspect with the development in
hand and the changing scenario of the world the need of the financial
services industries was realized the concept was firstly tailored in U.S.A.
Thus in present situation we are having multiple organization providing
financial services other than banks. With the changing outfit of the
financial market the attitude of the service is transforming day by day
with technical and other developments.

History of financial service

In the United States

The term "financial services" became more prevalent in the United States partly as a result of
the Gramm-Leach-Bliley Act of the late 1990s, which enabled different types of companies
operating in the U.S. financial services industry at that time to merge. Companies usually
have two distinct approaches to this new type of business. One approach would be a bank
which simply buys an insurance company or an investment bank, keeps the original brands of
the acquired firm, and adds the acquisition to its holding company simply to diversify
its earnings. Outside the U.S. (e.g., in Japan), non-financial services companies are permitted
within the holding company. In this scenario, each company still looks independent, and has
its own customers, etc. In the other style, a bank would simply create its own brokerage
division or insurance division and attempt to sell those products to its own existing
customers, with incentives for combining all things with one company.

Bank

A "commercial bank" is what is commonly referred to as simply a "bank". The term

"commercial" is used to distinguish it from an "investment bank", a type of financial
services entity which, instead of lending money directly to a business, helps
businesses raise money from other firms in the form of bonds (debt) or stock (equity).

 Private banking - Private banks provide banking services exclusively

to high net worth individuals. Many financial services firms require a
person or family to have a certain minimum net worth to qualify for
private banking services. Private banks often provide more
personal services, such as wealth management and tax planning,
than normal retail banks.
 Capital market bank - bank that underwrite debt and equity, assist
company deals (advisory services, underwriting and advisory
fees), and restructure debt into structured finance products.
 Asset management - the term usually given to describe companies
which run collective investment funds.
 Hedge fund management - Hedge funds often employ the services of
"prime brokerage" divisions at major investment banks to execute
their trades.
 Custody services - Custody services and securities processing is a kind of
'back-office' administration for financial services. Assets under custody in
the world was estimated to $65 trillion at the end of 2004.

Insurance
Insurance brokerage - Insurance brokers shop for insurance
(generally corporate property and casualty insurance) on behalf of
customers. Recently a number of websites have been created to
give consumers basic price comparisons for services such as
insurance, causing controversy within the industry.

 Insurance underwriting - Personal lines

insurance underwriters actually underwrite insurance for
individuals, a service still offered primarily through
agents, insurance brokers, and stock brokers. Underwriters may
also offer similar commercial lines of coverage for businesses.
Activities include insurance and annuities, life insurance,
retirement insurance, health insurance, and property & casualty
insurance.
 Reinsurance - Reinsurance is insurance sold to insurers
themselves, to protect them from catastrophic losses.

Other financial services

 Intermediation or advisory services - These services involve

stock brokers (private client services) and discount brokers.
Stock brokers assist investors in buying or selling shares.
Primarily internet-based companies are often referred to as
discount brokerages, although many now have branch offices to
assist clients. These brokerages primarily target individual
investors. Full service and private client firms primarily assist
execute trades and execute trades for clients with large
 amounts of capital to invest, such as large companies, wealthy
individuals, and investment management funds.
 Private equity - Private equity funds are typically closed-end
funds, which usually take controlling equity stakes in
businesses that are either private, or taken private once
acquired. Private equity funds often use leveraged buyouts
(LBOs) to acquire the firms in which they invest. The most
successful private equity funds can generate returns
significantly higher than provided by the equity markets
 Venture capital - Venture capital is a type of private equity capital
typically provided by professional, outside investors to new,
high-potential-growth companies in the interest of taking the
company to an IPO or trade sale of the business.
 Angel investment - An angel investor or angel (known as a
business angel or informal investor in Europe), is an affluent
individual who provides capital for a business start-up, usually
in exchange for convertible debt or ownership equity. A small
but increasing number of angel investors organize themselves
into angel groups or angel networks to share research and pool
their investment capital.
 Conglomerates - A financial services conglomerate is a financial
services firm that is active in more than one sector of the
financial services market e.g. life insurance, general insurance,
health insurance, asset management, retail banking, wholesale
banking, investment banking, etc. A key rationale for the
existence of such businesses is the existence of diversification
benefits that are present when different types of businesses are
aggregated i.e. bad things don't always happen at the same
time. As a consequence, economic capital for a conglomerate is
 usually substantially less than economic capital is for the sum of
its parts.

INDUSTRY PROFILE
MAS isspecialized retail financing organization engaged in financial services
since1988, registered with Reserve Bank of India as an NBFC.

We at MAS are excited at the vast opportunity this sector offers.

MAS aims to have a very significant market share in financial services distribution

with MICRO FINANCE as its thrust area of activities.

Micro credit distribution in particular assumes lots of importance as the credit is to be

given to those classes which have to be understood and assessed from various
perspectives of creditability in absence of proper and systematic credit documents.

We are determined to accomplish the mission with dedicated team efforts and a vast
DISTRIBUTION NETWORK

We very firmly believe that the large middle end and lower income group are the
drivers of economy and deserves the perfect FINANCIAL SERVICES.

ICICI Venture Fund Management Company Limited

 ICICI Venture Fund Management Company Limited, the private

equity arm of ICICI Bank Ltd., India’s second biggest lender, has
invested INR 400 Million through a mezzanine fund, India
Advantage Fund - VII. The investment is in the form of redeemable
preference shares.
 It will help MAS to fuel its ambitious growth plans. I-Venture
through this investment partners one of the leading financial
services company of Gujarat having a long term strategy to be one
of the premier financial services provider.

The Bellwether Micro Finance Fund.

 Bellwether has the backing of some of the leading names in the

microfinance sector; both in India and the world.
 It is the result of the collaborative effort between two leading
international microfinance investors and an Indian fund manager
with local presence and expertise.
  Visit the website at: http://www.bellwetherfund.com

Nederlandse Financierings Maatschappij voor Ontwikkelingslanden N.V.

 FMO an entrepreneurial development bank of the Netherlands has

invested INR 434.71 Million in equity through Cumulative
Compulsorily Convertible Preference Shares.

 FMO`s investment portfolio is EUR 3,4 billion, making it one of the

largest bilateral development banks worldwide. FMO has an AAA
rating from Standard and Poor`s and has recently obtained a
banking license from the Dutch Central Bank (DNB).

 Through such investments FMO is stepping up to achieve their

mission to stimulate sustainable private sector development and
optimise economic growth through its investment activities in
emerging markets.

 FMO’s investment decisions are based on the fundamental

concept that sustainable economic growth is stimulated by the
development of a healthy private sector, which in turn contributes
to combating poverty and to improving living standards in
developing countries.

 MAS, in its quest to have a significant market share in Micro

Financial Services, activities is always keen to have synergy with
investors (Equity & Debt )

 Many leading banks such as ICICI Bank Ltd., HDFC Bank Ltd.,
UTI Bank Ltd., State Bank of India, Standard Chartered Bank Ltd.,
Development Credit Bank Ltd.,Centurion Bank of Punjab Ltd.,
SIDBI to name a few have taken debt exposure on MAS.
 Origin and development of the industry

Everyone has similar, yet distinct, financial planning needs regarding their
families' financial futures. 

While more wealthy people (think millions of dollars) have greater complexity to their
financial affairs (caused largely by our incredibly convoluted U.S. personal tax
codes), everyone needs sophisticated financial lifecycle planning. Whether wealthy
or not yet wealthy, families need a personalized way to understand how their current
financial behaviors could affect their families in the future.

However, few people already own enough assets to justify the high cost of a
competent and objective advisor. Only those who are already wealthy now can afford
to pay directly for highly personalized, professional financial planning assistance.
Direct client payments help to avoid the conflicts-of-interest that are inherent and
pervasive in the structure of the financial services industry.

The financial services and advisory industry is almost exclusively

focused on the interests of those who already have substantial
financial assets and not on the mass of Americans who were trying
to become more secure financially. 

Using many hundreds of thousands of what the securities industry calls "producer"
employees, the brokerage industry sells investment products and services to clients
for transactional fees, asset holding charges, and many other more or less visible
investment costs. Governed by the Securities and Exchange Act of 1934, as
amended, and state laws, the legal standard of client care by these brokers is the
"suitability" of an investment to a client. 

However, there is huge latitude in what a suitable investment is and how much
it costs a client. From the brokerage industry's perspective, the wealthier the client is
the better. Greater assets yield more revenue and high profit per hour spent with
clients. 

For example, Morgan Stanley's 2007 compensation plan for their personnel serving
retail clients eliminated all compensation for household accounts below $50,000, and
it reduced compensation on household accounts under $75,000, unless these client
accounts are being charged a percent of assets fee. Clearly, the message to Morgan
Stanley sales personnel is to chase wealthier fish. Similar messages are given to
broker producer employees in all brokerage firms across the industry.

Another large segment of the financial services industry that serves the
public consists of about 100,000 independent planning advisors, who
are regulated at the federal and/or state levels. 

Governed by the Investment Advisers Act of 1940, as amended, and by state laws,
these advisors have a seemingly more stringent fiduciary standard of client care.
However, again there is huge latitude in what constitutes fiduciary care and how
much advisory services will cost a client. Most registered investment advisors deliver
services that are charged as a percent of client assets under management.
However, very often these same advisors also obtain additional revenues from the
securities and insurance industry, when they sell commissioned financial products to
their clients. Again, the wealthier the advisory client the better it is for the advisory
practice. The greater the client assets under management, then the more revenue
for the advisory practice and the higher the profit per hour of client service will be.

Whether served by a broker or by an independent financial advisor, the

economics of the industry are clear. If an individual wants personal
professional attention, that individual must already have substantial
assets that can generate revenue to compensate the advisor. 

If clients are to be given personalized attention and the valuable time of the advisor,
each client must generate several thousand dollars in fees annually one way or
another. The math is simple. For example, if average client servicing requires 20
total hours of attention yearly and a profitable hourly rate is $150 per hour, then the
required average revenue per client is $3,000 per year. If $3,000/per year is the
client revenue minimum for a practice, then the client needs to have $300,000, if
the fee is 1% of assets per year. The lower the assets, then the higher the
percentage necessarily must be. 

Since clients usually balk at much higher fees, the revenue requirements of advisory
practices mean that people with less assets will not get personalized services.
Clearly, the vast majority of Americans do not fit the industry's economic profile of a
profitable advisory client on an hourly basis. This is why there is so much effort to
obscure and hide the financial and investment costs that clients actually pay. The
more the true cost can be hidden and the services offered as supposedly "free," then
the easier it is to profit from the client, but not necessarily serve his or her best
interests.

Investment advisory service

A business that provides investing advice or counsel to an investor in

exchange for a fee. Investment advisory services may interact directly
with a client — for example, by managing assets — or may provide
passive, general advice on which securities or industries are bullish or
bearish. Investment advisory services managing a certain amount of
money must register with the SEC; the actions of all investment advisory
services are governed by the Investment Advisors Act of 1940.
Importantly, it is a criminal offense for investment advisory services to
provide false or misleading information, and to sell or buy their own
securities to or from a client. See also: Investment adviser.

Investment Advisory Service is a fee-based, support option that provides proactive

support beyond to fit your product needs. This is not necessarily a distant, phone-
based support options but it can be onsite support option that include working with
the same technician for assistance with issues like accounting, auditing, advisory
services and other services like product migration or new program development.
This service is typically used for both shorter and long term engagements, and is
designed for all companies who would like to hire any sort of Investment Advisory
Service. This is essentially different from the traditional onsite consulting or
sustained account management services that are available from other providers.

Our Investment Advisory Service depart will provide you both short and long term
advice and guidance for problems relating to business and accounts. The scope of
the engagement is estimated prior to the delivery of the service, and a contract must
be executed between the customer and our company, so that the overall work is
perfect and satisfactory.

Our Investment Advisory Service Department has offered a broad range of

advisory and consulting services to private sector investors, businesses and client-
country governments. The services that provide full in depth knowledge of banking
and accounting domain and expertise related to small and medium enterprise
expansion; institutional capacity building for investment promotion; government
policies and business, legal and administrative practices that foster trade and
investment; privatization, infrastructure and investment climates; fiscal management
and more. All are designed to improve and sustain a company so that it has a steady
graph of success and maintains its ability to attract and retain foreign direct
investment, as well as give investors and businesses the tools and information to
make sound investment decisions.

INVESTMENT INDUSTRIES IN INDIA:-

Indian industry has been buoyant and has manifested a spirit of

dynamism. New developments are continuously being made in areas
like oceanography, space, electronics and non-conventional energy
sources. India's large pool of scientific and technological personnel has
been contributing to research and development all over the world.

Rapid growth of the services sector has led to India's emergence as one
of the fastest growing economies of the world. The contribution of the
services sector to the Indian GDP increased from 40.6 per cent in 1990
to 50 per cent in 2004, accounting for almost 62 per cent of the
cumulative increase in the country's GDP. During 2004-05, the services
growth was a robust 8.9 per cent.

IT and ITs: The Ideal Workstation

Banking and Financial Services industry (BFSI) and telecom continue to

be the key sectors for IT spending and global players continue to start
and ramp up their off shore operations in India. .

In the last few years the BPO functions have been the key drivers of
growth for the industry. There has been a distinct shift in business
models from on-site delivery to off-shore delivery resulting in improved
margins for the Indian players. .

Banking and Financial Services industry (BFSI) and Telecom continue to

be the key sectors for IT spending and global players continue to start
and ramp up their off shore operations in India. While the significant cost
advantage is a key driver for companies to initially consider India, those
that have entered have also benefited from leveraging the superior
quality of skills, processes and strategic advantages. Access to English
speaking human resources is a critical advantage. .

ITeS exports of India are estimated to cross USD 20 billion by 2009. 46

per cent of the US Fortune 500 companies are stated to see India as a
potential outsourcing hub.
Manufacturing Sector: The Resurgence

The government has recently set up a National Manufacturing

Competitiveness Council a think tank to enhance India's
manufacturing competitiveness.

Due to the various advantages, the outlook for the Indian manufacturing
sector is quite positive. According to a CII-McKinsey, manufacturing
exports from India are likely to grow to USD 300 billion in 2015 from
USD 48 billion in 2003. The country is estimated to have a 3.5 per cent
share of the world manufacturing trade then. Of the total USD 300 billion,
USD 70- USD 90 billion is expected to come from just four sectors -
apparel, auto components, specialty chemicals and electrical and
electronic products.

Telecommunications: Links With The World

Competition brought about by liberalization in the sector and forward-

looking regulatory changes (e.g. planned unified licensing) have helped
India enjoy one of the least cost telecom services in the region.

Despite of this large population India had low telephone density of

approx. 9.26 in April,2005. This is estimated to grow to 12 -15 per cent in
2005 and 20 - 22 per cent by 2010. A large contribution towards this
growth is expected to emanate from semi-urban and rural markets where
telephone density is far below average. .

Indians are continuing to go mobile as Average Revenue per Minute

(ARPM) is among the lowest in the world. India added close to 20 million
wireless subscribers in 2004, a growth of 160 per cent over net additions
in 2003. The overall subscribers in India are estimated to reach 198
million by 2008. .

During 2005-08 the Global System for Mobile Communication (GSM),

Code-Division Multiple Access (CDMA), and wire line segments are
expected to comprise 57 per cent, 37 per cent and 6 per cent of new
additions respectively. The Indian telecom industry has witnessed
consolidations, mergers and joint ventures, as large service providers
are buying stakes in small companies. .

With telecom subscription at a strategic inflection point, state-of-the-art

high capacity national backbone and proliferating database services,
India is set to become a huge market for triple-play broadband services
in the near future. Rapid and sustained growth of telecom market in the
country also provides major investment opportunities for manufacturing
and marketing /servicing of telecom equipment.
 Growth and present status of the industry

The financial sector has kept pace with the growing needs of corporate
and other borrowers. The sector has demonstrated growth and displayed
stability through resilience built into the system.

Banking

Indian Banks Association (IBA) has projected significant growth for the
Indian Banking sector. By 2010 it expects the deposits to grow at 14.51
per cent, loans and advances at a CAGR of 14.42 per cent, investments
at 13.07 per cent and reserves and surplus at 17.14 per cent.

The public sector banks (PSBs) are in the process of shedding their flab
in terms of excessive manpower, Non Performing Assets (NPAs) and
governmental equity, while the private sector banks are consolidating
through mergers and acquisitions. Reserve Bank of India (RBI) has also
initiated various steps towards the improvement of the banking industry
in line with the global trends, for example, adoption of Basle II
recommendations and deployment of Real Time Gross Settlement.
Capital Market

The Indian capital markets have witnessed a transformation over the last
decade during which various initiatives were taken. Depository and
share de-materialization systems have enhanced the efficiency of the
transaction cycle.

Forward trading mechanism with rolling settlement has brought about

transparency. India has a vibrant capital market comprising 23 stock
exchanges with over 9000 listed companies. Market capitalization of
stocks traded on the Indian bourse touched an all time high of USD 292
billion in April 2004. The independent regulator for the sector, Securities
and Exchange Board of India (SEBI), with statutory powers is functioning
effectively. .

The Mumbai stock exchange being the second largest in the world after
the NYSE, continues to be the premier exchange in the country with an
increase in market capitalization from USD 40 billion in 1990-91 to over
USD 250 billion in 2003. The stock exchange has about 5,600 listed
companies and an average daily volume of approximately USD 1 billion.
The combined market capitalization of over 5000 companies listed on
BSE was estimated to be INR 17 lakh crore in May 200512. .

India has one of the lowest transaction costs based on screen based
transactions, paperless trading and a T+2 settlements cycle. Many new
instruments have been introduced in the markets, including index
futures, index options, derivative, options and futures in select stocks.
The volumes in derivatives trading have been increasing across the
National Stock Exchange and Mumbai Stock Exchange.

Asset Management
The Indian mutual fund industry had assets valued at nearly USD 30
billion under management as at December 2003. In the one year ended
31 January 2005, the Indian Mutual Fund industry added INR 6,787.55
crore (~ USD 1.5 billion) to its kitty.13 This industry has witnessed rapid
growth in the last four to five years, pursuant to the entry of a larger
number of private sector players. During this period, sales more than
quadrupled and assets under management grew by 30 to 40 per cent.
There are about 30 asset management companies with the largest
seven players controlling about 60 per cent of the assets under
management. Overseas players too have entered the asset
management business in India either individually or with Indian
companies as partners.

SEBI and an industry association of asset management companies,

Association of Mutual Funds in India (AMFI), regulate the industry.

Non Banking Financial Institutions

Non Banking Financial Institutions include Non-Banking Finance

Companies (NBFCs), Housing Finance Companies (HFCs) and Credit
Rating Agencies. The Credit Rating Agencies rate corporate debt,
including debenture and commercial paper and they also rate credit risk
of companies, a factor often used by nationalized banks in evaluating
loan applications. NBFCs provide loans and hire purchase finance
mostly for retail assets while HFCs extend finance for housing. Large
banks have rapidly gained market share in the housing finance sector.

Future of the industry

Future of the industry is very bright the world is shrinking down in the
digital age the economic collaboration is increasing so the need to
manage the wealth surplus is of at most priorities so, the scope of the
financial services is increasing with leaps and bounds to present the
future of the industry here is a glimpse of job potential and other things.

Financial analysts and personal financial advisors held 397,000 jobs in 2006, of
which financial analysts held 221,000. Many financial analysts work at the
headquarters of large financial institutions, most of which are based in New York City
or other major financial centers. More than 2 out of 5 financial analysts worked in the
finance and insurance industries, including securities and commodity brokers, banks
and credit institutions, and insurance carriers. Others worked throughout private
industry and government.

Personal financial advisors held 176,000 jobs in 2006. Jobs were spread throughout
the country. Much like financial analysts, more than half worked in finance and
insurance industries, including securities and commodity brokers, banks, insurance
carriers, and financial investment firms. However, about 30 percent of personal
financial advisors were self-employed, operating small investment advisory firms,
usually in urban area

Job Outlook

Employment of financial analysts and personal financial advisors is expected to grow

much faster than the average for all occupations. Growth will be especially strong for
personal financial advisors, which are projected to be among the 10 fastest growing
occupations. Despite strong job growth, keen competition will continue for these well
paid jobs, especially for new entrants.

Employment change. 

As the level of investment increases, overall employment of financial analysts and

personal financial advisors is expected to increase by 37 percent during the 2006-16
decade, which is much faster than the average for all occupations.
Personal financial advisors are projected to grow by 41 percent, which is much faster
than the average for all occupations, over the projections decade. Growing numbers of
advisors will be needed to assist the millions of workers expected to retire in the next
10 years. As more members of the large baby boom generation reach their peak
years of retirement savings, personal investments are expected to increase and
more people will seek the help of experts. Many companies also have replaced
traditional pension plans with retirement savings programs, so more individuals are
managing their own retirements than in the past, creating jobs for advisors. In
addition, people are living longer and must plan to finance longer retirements.

Deregulation of the financial services industry also is expected to continue to spur

demand for personal financial advisors in the banking industry. In recent years,
banks and insurance companies have been allowed to expand into the securities
industry. Many firms are adding investment advice to their services and are expected
to increase their hiring of personal financial advisors.

Employment of financial analysts is expected to grow by 34 percent between 2006

and 2016, which is also much faster than the average for all occupations. Primary
factors for this growth are increasing complexity of investments and growth in the
industry. As the number and type of mutual funds and the amount of assets invested
in these funds increase, mutual fund companies will need more financial analysts to
research and recommend investments.

Job prospects.

 Despite overall employment growth, competition for jobs is expected to be keen in these

high-paying occupations. Growth in the industry will create many new positions, but
there are still far more people who would like to enter the occupation. For those
aspiring to financial analyst jobs, a strong academic background is absolutely
essential. Good grades in courses such as finance, accounting, and economics are
very important to employers. An MBA or certification is helpful in maintaining
employment.

Personal financial advisors will also face competition, as many other services
compete for customers. Many individuals enter the field by working for a bank or full-
service brokerage. Most independent advisories fail within the first year of business,
making self-employment challenging. Because the occupation requires sales, people
who have strong selling skills will ultimately be most successful. A college degree
and certification can lend credibility.

Matrix Projections data from the National Employment

Employment Projected  Change, 2006-16

Occupational title employment,
2006 Number Percent
2016

Financial analysts and personal

397,000 544,000 147,000 37
financial advisors

Financial analysts 221,000 295,000 75,000 34

Personal financial advisors 176,000 248,000 72,000 41

    
Main Objects of the Company

The main objects to be pursued by the Company on its incorporation

are:

1. To hold investments in various step-down subsidiaries for investing,

acquiring, holding, purchasing or procuringequity shares, debentures,
bonds, mortgages, obligations, securities of any kind issued or
guaranteed by ourCompany.

2. To provide financial consultancy services; to provide investment

advisory services on the internet or otherwise;provide financial
consultancy in the area of personal and corporate finance; publish books
and CD ROMs and anyother information related to the above.

3. To conduct the business of sale, purchase, distribution and transfer of

shares, debts, instruments and hybridfinancial instruments and to
perform all related, incidental, ancillary and allied services.

4. To conduct depository participant services; to conduct de-

materialisation and re-materialisation of shares; set updepository
participant centers at various regions in India and to perform all related,
incidental, ancillary and alliedservices.

5. To receive funds, deposits and investments from the public,

Government agencies, financial institutions andcorporate bodies; grant
advances and loans; conduct advisory services related to banking
activities, projectfinancing, funding of mergers and acquisition activities;
fund management and activities related to money marketoperations.

6. To carry on the business of portfolio management services,

investment advisory services; custodial services; assetmanagement
services; leasing and hire purchase; mutual fund services and to act as
brokers of real estate andfinancial instruments.

7. To carry on the business of financing; provide lease and hire purchase

services; to provide consultancy in thearea of lease and hire purchase
financing.

8. To operate mutual funds; receive funds from investors; equity or debt

instrument research activity instrument indebt and/or equity instruments.

CREDIT RATING
Mas financial Securities Limited has been granted ‘PR1+’ rating for its
unsecured short term borrowing program of Rs. 200million. Vide letter
dated May 5, 2004 the rating agency has increased the unsecured short
term borrowing limit to Rs. 320 million maintaining the ‘PR1+’ rating. ISL
also enjoys ‘A+’ rating for medium to long term unsecured borrowing
program ofRs. 200 million. The Rating to the company has been
assigned by Credit Analysis Research Limited. As for the present issue
of equity shares of our Company, credit rating is not required.

SHAREHOLDERS AGREEMENT

Shareholders Agreement was entered into by and among our Company

(formerly Orbis Infotech Private Limited), InfinityTechnology Trustee
Private Limited as the trustee of Infinity Venture India Fund, LNM India
Internet Ventures Limited,Transatlantic Corporation Limited (together the
“VC Investors”) and the Promoters dated November 2, 2000. The VC
Investors invested an aggregate amount of Rs. 206,000,000 in our
Company for which they were issued 55,425 equityshares at an average
price of Rs. 3,716.73 per equity share.

Pursuant to a letter agreement (the “Letter Agreement”) dated May 27,

2004 between the parties to the Shareholders Agreement, each of the
VC Investors have agreed not to enforce rights that have accrued to
them before the said Letter Agreements and have agreed that the
Shareholders Agreement, together with all the rights and obligation on
the parties will stand terminated immediately upon the listing of the
shares of our Company and consequent to the listing, the rights of the
Shareholders Agreement, including the rights that have arisen prior to
such termination shall be terminated. A copy of the Shareholders
Agreement, and a copy of the Letter Agreement terminating the
Shareholders Agreement are available for inspection as material
documents at the corporate offices of our Company.

SHARE SUBSCRIPTION AGREEMENT

The Share Subscription Agreement (“SSA”), dated February 13, 2004,

has been entered into among the Farallon CapitalPartners, L.P. RR
Capital Partners, L.P. (“Investors”), ISL, our Company, and the
Promoters.

Under the terms of the SSA, the Investors have subscribed to 1000
equity shares of ISL at Rs. 50 per share (comprisingof a face value of
Rs. 10 and a premium of Rs. 40) and 4,52,70,000 preference shares of
ISL at Rs. 10 each being theface value of the preference shares. The
aggregate investment by Investors in ISL amounted to approximately
US$ 10 million.22

The terms of the Preference Shares and equity shares issued by ISL
under the SSA are as follows:_

Rank of Preference Shares: The Preference Shares shall, subject to

applicable Law, rank senior to all classesof the Company’s capital stock
with respect to dividend distributions and repayment of capital and
premium upon a bankruptcy or change in control with respect to ISL,
unless the terms and conditions of such class expresslyprovide that such
class will rank senior to or on parity with the Preference Shares._
Dividends: The rate of dividend payable on the Preference Shares shall
be at the rate of 12.00% per annum,payable quarterly, on the face value
of Rs. 10 from the date of issuance of such Preference Shares through
thedate of redemption of such shares. Such dividends shall be fully
cumulative and accumulate at the rate indicated

above, whether or not they have been declared and whether or not there
are profits, surplus or other funds ofthe Company legally available for the
payment of dividends. All such dividends shall be paid quarterly in
arrearsin cash on each June 1, September 1, December 1 and March
1._ Redemption: The maturity date of the Preference Shares shall be
February 13, 2007. ISL shall, on the maturitydate, redeem all of the
outstanding Preference Shares and shall pay each Investor a
redemption price whichwould include the face value of the Preference
Shares together with any accrued and unpaid dividends on such
Preference Shares held by such Investor. Upon happening of certain
events like bankruptcy, change in control, breach or any change in law
causing a material adverse effect on ISL or the Company or failure of
payment ofdividends within four weeks of declaration, the Investors
would have a right to require ISL to redeem the Preference Shares prior
to the maturity date. Additionally, ISL shall have an option to redeem
either 50% or 100% of the outstanding Preference Shares at any time
prior to the Maturity Date at the Redemption Price. In case of redemption
within 12 months from the date of issue, ISL shall be required to pay
dividends for atleast 12 months._

Liquidation Preference: Liquidation Event has been defined in the

agreement as: a consolidation or merger of ISL, a sale, lease or
conveyance by ISL of all or substantially all of its assets, or any other
transaction which results in the sale, transfer, assignment, conveyance
or other disposition of 50% or more of the voting power of ISL, unless
the majority holders of the then-outstanding shares of Preference Shares
shall otherwise agree. The Agreement provides that upon the liquidation,
winding up or dissolution of ISL, or the occurrence of a Liquidatio Event,
there is a liquidation preference in favour of the Investors. The Investors
shall have a right to appoint aboard observer on the board of ISL. IFSL
shall maintain its shareholding in ISL at the same level as at the time of
investment by Investors till such time as the Shares issued to the
Investors in ISL are redeemed._ In the event ISL does not have sufficient
funds to redeem the Investor’s Shares, IFSL and Promoters shall make
available sufficient cash to ISL to facilitate the redemption of the
Investor’s Shares.

_ In case of any issue of shares by IFSL whether by way of private

placement or public offering,40% of such anoffering or issuance shall
have to be given to ISL, until ISL has sufficient funds available for
redemption of Investor’s Shares. The Investors vide a waiver letter dated
June 7, 2004 have agreed to waive this obligation of IFSL in respect of
the proposed Issue/Offer and such waiver shall be valid till completion of
the IPO or September1, 2004, whichever is earlier.If the assets or
surplus funds to be distributed to the Investors are insufficient to permit
the payment to each Investor, the assets and surplus funds legally
available for distribution shall be distributed ratably among the Investors
in proportion to the full Redemption Price that each Investor would
otherwise be entitled to receive.

Negative Covenants
ISL shall not on any date permit the debt-equity ratio to exceed 7:1.
Further, ISL shall not on any date permit the ratio of debt (not including
secured Indebtedness specifically secured by client deposits or margin
leverage) equity ratio, to exceed 3:1.No Secured Indebtedness: None of
IFSL or any of its subsidiaries (other than ISL) shall,directly or indirectly,
create, incur, assume or guaranty, or otherwise become or remain
directly or indirectly liable with respect to any Indebtedness which is
secured by a lien on any of the assets or properties of ISL._ No
Restricted Payments: ISL shall be restricted from making certain
payments including any distribution of dividend on equity shares until
such time as ISL has adequate cash available for the redemption of
Preference Shares.In addition to the above rights, the equity shares
subscribed by the Investors in ISL also entitles them to the following
rights with respect to ISL:The consent of the Investors holding atleast
50% of the equity shares shall be required for certain items which
interalia .

Growth and development of the Organization

We have emerged as a diversified financial services company that offers

a wide range of financial products and services under the brand “Mas
financial”. On March 30, 2001 our Company was registered as an NBFC
under section 45-IA of RBI Act to carry on the business of NBFC, not
accepting public deposits, as our company is a holding company.
Subsequently, our Company has started investing and providing loans to
our subsidiary companies engaged in different activities as mentioned in
the above diagram. With effect from April 1, 2004, our Company has
also commenced the activity of providing credit facilities to retail
customers. We operate through our three subsidiaries– Mas financial
Securities Limited, Mas financial Insurance

Advisors Pvt. Ltd. and Mas financial Commodities Pvt. Ltd. with a
presence in equity, debt and derivatives brokerage, depositary services,
access to third party insurance products from Birla Sunlife Insurance
Company and mutual fund products of various asset management
companies, and related financial services. Our Company and our
subsidiaries provide brokerage,services and third party financial
products and other services through a variety of channels to retail and
institutional clients and operate nationally in India. We are
headquartered in New Delhi with a network of 70 offices spread across
55 cities. Our Company and our subsidiaries target the retail and the
institutional segment of the market through direct and indirect channels.
The direct channel for business is through our sales employees who
operate out of our 70 offices in 55 cities.

The indirect channel for business is through our network of marketing

associates, people who are not on the rolls of the company.

ISL has invested heavily in building a strong sales team and as on April
30, 2004 it had over 476 relationship managers in its 70 offices spread
all over the country. With the sales and marketing team, our Company
and our subsidiaries are able to cross sell many financial products such
as insurance and mutual funds.

We have experienced substantial growth at a CAGR of 132.97% over FY

2002 to FY 2004 in revenues and achieved a substantial market share in
the Equity, F&O and Debt market leading to a combined average daily
turnover of Rs. 4451.5 million for the FY 2004.Our consolidated
revenues and net profits have grown at a CAGR of 132.97% and
118.31% respectively over last two years. Our revenues have grown
from Rs. 132.55 million in FY 2002 to Rs. 266.69 million in FY 2003 and
to Rs.719.48 million in FY 2004. Our net profits have increased from Rs.
40.61 million in FY 2002 to Rs. 51.05 million in FY 2003 and to Rs.
193.54 million in FY 2004. Our total number of employees grew from 110
as in FY 2002 to 178 as in FY 2003 and to 606 as on April 30, 2004.

BUSINESS MODEL

Our Company and our subsidiaries have a vast client base of 32,359
clients as on April 30, 2004 spread all over India and we have been
augmenting our client base across the country, which makes our
business model a low risk model as compared to a business model
which may be dependent on very few clients. Our revenues are largely
based on fee/commission income generated through providing securities
brokerage & related financial services to individual investors and
independent advisors. Our Company and our subsidiaries focus on a
core client base of individual investors and the marketing associates who
serve them. We offer the following products and services in the financial
markets:

Stocks
Options and Futures 25
Depository Services
Commodities
Insurance Products
Mutual Funds
Bonds and Debt Products
 Functional Departments of the Organization

A company organized with a functional structure groups people together into

functional departments such as purchasing, accounts, production, sales, marketing,
advertising, subscriptions, Outstation business development, Book fairs and Seminar
etc.. These departments would normally have functional heads that may be called
managers or directors depending on whether the function is represented at board
level.

Functional structures are perhaps the most common organizational model used by
companies; alternatives include matrix arrangements or business unit teams.

Our Company may be unable to use the proceeds of the Issue for the
intended purpose, due to unplanned acquisitions, unplanned capital
expenditure requirements, unforeseen losses or potential legal liabilities.
The failure to use the proceeds for the intended purposes will be harmful
to us and would hamper our growth potential in the existing businesses.
Our Company does not have a proven track record in handling
businesses that it may enter through the acquisition route or otherwise
and hence the success of new businesses in the overall growth

strategy of our Company cannot be predicted.

SALES DEVELOPMENT

Responsible for making sure that customer is happy

Responsible for building a positive relationship with customer.
Communicate with customer all the time
Process and monitor customer order

PURCHASE DEPARTMENT

Responsible for doing all the shopping of business

Establish and maintain an excellent Supplier relationship.
Manages stock.
FINANCE DEPARTMENT

Responsible for managing all the finance of the company.

Pay bills on behalf of Organization.
Works closely with HR department so the wages can be paid to
employees.

HUMAN RESOURCE DEPARTMENT

Recruitment and training employees.

Calculate wages.

Advertisement Department

Bring a product or service to tension and attention of potential and

current customers.

Aims at profits as the advertising department generates resources for

the company or institution.

Organization Structure

Marketing Department:-
MAS FINANCIAL has many departments in organisation as marketing
department,

Finance Department:-
H.R. Department -

Parties, readings, panel discussions, special speakers, fairs and festivals

hosted by your magazine. These are key to building an audience for
your magazine and reaching new readers, while also potentially bringing
in extra income. There’s much to be said on the subject of events, but
overall aim to be original, interactive and true to your magazine. The
challenge is to come up with novel ways to promote the theme of a
particular issue or the zeitgeist of your magazine as a whole that will
both appeal to your regular readers and potentially entice new readers.
But don’t

just hold a launch party and sit back and wait for people to arrive in
droves. Come up with alluring reasons for people to want to attend,
usually some combination of: prizes/giveaways, live entertainment (a
band, a guest speaker, a panel discussion) and something fun and out
of the Ordinary.

Email Promotion If you’re on a shoestring budget, sending email is

inexpensive. Ask your friends to send to their friends and so on. With
work and persistence, your magazine should be able to develop a list of
hundreds if not thousands of interested readers. At all events, collect
emails for the mailing list. On your website ask people to join your
mailing list. Never miss an opportunity to

Get an email address so you can promote your events and issues for an
incredibly low cost. You should also develop an email list of the local
media so you can quickly and easily send out press releases about new
issues and events.

Website Promotion:-

It’s cheap and easy to create a website and you should always have one
for your magazine. On the site you should ask people to join your mailing
list, highlight exciting upcoming events, and offer different, interesting
ways that people can participate in the zeitgeist of your magazine
beyond just reading the articles. If you’re stuck for ideas, spend some
time visiting different magazine websites and see what they do.

Exchanges:-

Most small magazines are willing to exchange ads and banners.

Develop a consistent look for your own ads and banners and keep them
appearing on a regular basis.

Touring:-
Now that you’ve got a website, an email list, ad and banner exchanges
and you’re a regular at presenting great events in your local community,
it’s time to expand! Touring doesn’t have to involve hotels and expensive
flights. You can tour cheaply if you sleep in living rooms and drive

Everywhere yourself. First, come up with an interactive and entertaining

plan. Second, make sure that you have local people chosen to get
involved in every community you visit. The locals are key to spreading
the word and attracting an audience.

Local involvement should include local performers and a local venue

such as a bookstore or art gallery or reading series that is willing to help
you promote. Choose your tour destinations based on the interest of
local partners. Then plan a feasible tour, about 8 venues. Post all the
information about the on the website and in your emails and ad
exchanges. Presto, you have yourself a tour. So, if you organize regular
events in your community, develop a healthy email list and an
Informative website, run ads and banners and tour as much as possible,
your magazine will grow—slowly but surely.

Product and service profile of the organization competitors

The excess opportunity in the growing financial market number of player

immerges thus the financial market is now become a perfect competition
market mainly the players in the financial sector service providers also
have varieties of products to attract client. In this context the main
competitors of organizations are:

 BANKING SECTORS (due to product diversification)

 RELIGARE

 SMC

 INDIA INFOLINE

 UNICONN

Strengths
 Sound, research-based advice

 Unbiased, independent and need-based advice

 Prompt, courteous service

 Honest, ethical dealings

 Accessib

During 2005-08 the Global System for Mobile Communication

(GSM), Code-Division Multiple Access (CDMA), and wire line segments
are expected to comprise 57 per cent, 37 per cent and 6 per cent of new
additions respectively. The Indian telecom industry has witnessed
consolidations, mergers and joint ventures, as large service providers
are buying stakes in small companies. .

With telecom subscription at a strategic inflection point, state-of-the-art

high capacity national backbone and proliferating database services,
India is set to become a huge market for triple-play broadband services
in the near future. Rapid and sustained growth of telecom market in the
country also provides major investment opportunities for manufacturing
and marketing /servicing of telecom equipment.

Market profile of the Organization

The financial sector has kept pace with the growing needs of corporate
and other borrowers. The sector has demonstrated growth and displayed
stability through resilience built into the system.

Banking

Indian Banks Association (IBA) has projected significant growth for the
Indian Banking sector. By 2010 it expects the deposits to grow at 14.51
per cent, loans and advances at a CAGR of 14.42 per cent, investments
at 13.07 per cent and reserves and surplus at 17.14 per cent.

The public sector banks (PSBs) are in the process of shedding their flab
in terms of excessive manpower, Non Performing Assets (NPAs) and
governmental equity, while the private sector banks are consolidating
through mergers and acquisitions. Reserve Bank of India (RBI) has also
initiated various steps towards the improvement of the banking industry
in line with the global trends, for example, adoption of Basle II
recommendations and deployment of Real Time Gross Settlement.
Capital Market

The Indian capital markets have witnessed a transformation over the last
decade during which various initiatives were taken. Depository and
share de-materialization systems have enhanced the efficiency of the
transaction cycle.

Forward trading mechanism with rolling settlement has brought about

transparency. India has a vibrant capital market comprising 23 stock
exchanges with over 9000 listed companies. Market capitalization of
stocks traded on the Indian bourse touched an all time high of USD 292
billion in April 2004. The independent regulator for the sector, Securities
and Exchange Board of India (SEBI), with statutory powers is functioning
effectively. .

The Mumbai stock exchange being the second largest in the world after
the NYSE, continues to be the premier exchange in the country with an
increase in market capitalization from USD 40 billion in 1990-91 to over
USD 250 billion in 2003. The stock exchange has about 5,600 listed
companies and an average daily volume of approximately USD 1 billion.
The combined market capitalization of over 5000 companies listed on
BSE was estimated to be INR 17 lakh crore in May 200512. .

India has one of the lowest transaction costs based on screen based
transactions, paperless trading and a T+2 settlements cycle. Many new
instruments have been introduced in the markets, including index
futures, index options, derivative, options and futures in select stocks.
The volumes in derivatives trading have been increasing across the
National Stock Exchange and Mumbai Stock Exchange.
Asset Management
The Indian mutual fund industry had assets valued at nearly USD 30
billion under management as at December 2003. In the one year ended
31 January 2005, the Indian Mutual Fund industry added INR 6,787.55
crore (~ USD 1.5 billion) to its kitty.13 This industry has witnessed rapid
growth in the last four to five years, pursuant to the entry of a larger
number of private sector players. During this period, sales more than
quadrupled and assets under management grew by 30 to 40 per cent.

There are about 30 asset management companies with the largest

seven players controlling about 60 per cent of the assets under
management. Overseas players too have entered the asset
management business in India either individually or with Indian
companies as partners.

SEBI and an industry association of asset management companies,

Association of Mutual Funds in India (AMFI), regulate the industry.

INVESTMENT INDUSTRIES IN INDIA:-

Indian industry has been buoyant and has manifested a spirit of

dynamism. New developments are continuously being made in areas
like oceanography, space, electronics and non-conventional energy
sources. India's large pool of scientific and technological personnel has
been contributing to research and development all over the world.

Rapid growth of the services sector has led to India's emergence as one
of the fastest growing economies of the world. The contribution of the
services sector to the Indian GDP increased from 40.6 per cent in 1990
to 50 per cent in 2004, accounting for almost 62 per cent of the
cumulative increase in the country's GDP. During 2004-05, the services
growth was a robust 8.9 per cent.

Discussion on Training

Student’s work Profile

Knowledge is cumulative: every piece of research will

contribute another piece to it. That is why I commenced my research
with a review of literature related to attrition and retention of employees.

In today’s era of high competition, individualism, with opportunities

available in abundance etc., retaining talent in the IT Industry has
become a big challenge. Good retention scheme not only help in
retaining the talent, but also acts as catalyst towards attracting more
talent from around the industry.

It is better to retain the existing talent then to keep on hiring

continuously. A recent survey calculated that the cost of replacing high
level employee might be as much as 150% of the departing employee’s
salary. It helps to save and reduce on recruitment cost and portrays a
culture of loyalty among the employee towards the organization, helping
the HR department to concentrate on other important soft functions. “The
major issue now-a-days is not just retention but retaining the ‘talented
employee’ whose turnover may destabilize the functioning of the
organizations and reduce the company’s competitiveness in the market.”
The company may adopt the following tips to retain for tomorrow:

 Communicate the company vision to the employees showing

everyone the role they have and the contribution required by
them.
 Treat employee as the most valuable client
 Recognition in various forms is a powerful retention tool.
 Build mentoring relationships with people to strengthen their
emotional ties with the organization.
 Celebrate longevity.
 HR philosophy should be not to do different things but do
things differently.
 These are some of the possible reasons of increasing executive
movements:

1. Changing Lifestyles: Lifestyle has changed considerably since

the past. People prefer to break away from the monotony of doing
the same job repeatedly. People today think fast and change their
jobs even faster. Someone is busy climbing the corporate ladder;
others are busy trying to prevent them from reaching the top.
2. Death of Motivation: There should be a system, in
which whenever someone gives the best he should be given
recognition for it. It is due to lack of appreciation that employees
lose interest in the job.
3. Increased Expectations: Executive’s expectations have grown
manifolds. While one might have just passed out of college and
joined a company as a management trainee, the expectations are
already skyrocketing. He not only wants the best salary in the
industry but also wants a corporate laptop, mobile connection,
club memberships etc.
4. Increasing Opportunities: Another prominent reason for
executives leaving a company is the rise in opportunities. No
matter what the perks the company offers, people will stay in the
organization only till they find reasons to grow professionally,
thereafter, no deals will work for them.
5. Assignments Abroad: People still have a fancy for overseas
assignments and anyone getting a better prospect and
opportunity for an assignment abroad will more often accept the
offer. It is also due to international exposures, which will help
them expand their network and vision.
 6. Decreasing of loyalty towards organizations: Employee loyalty
towards the organization has decreased considerably. Today they
are only loyal to their career and future prospects.
7. Job Misfit: Another reason for executive movement is the job
misfit. Sometimes in an effort to fill the gap, people are recruited
fast without taking into consideration the job competency fit.

The attrition rate adds to the worries of the HR managers who routinely go
round and round on the merry-go-round of hiring and training. They face
mainly two challenges: attracting the best talent and retaining the best talent.

 Talent Acquisition: There is a limit to which one can source good

talent. Unless training and educating the upcoming generation taps
the demand for talented workforce, there will only be poaching of
talent. There is a need to draw a balance between what is just and
what is unjust. So what should the HR managers do for talent
acquisition? Well they should try to increase industry and
academia interface so as to ensure that there is a ready supply of
talented workforce for the future corporate requirements.
Corporations should come forward and create customized programs for
training students and executives. More and more academic and industry
interface must be organized and opportunities for on-the-job training should
increase.

These are some suggestions for attracting employees:

1. Find out what is the going average salary for a particular position
and try to match it.
2. Offer an employee benefit program.
 3. Emphasize the benefits your small business offers.
4. Be creative with perks.
5. Offer employees some way to move upwards.
6. Create an employee incentive program.
7. Institute a profit sharing program.
8. Widen the scope of your advertising.

 Talent Retention: While talent acquisition needs collaborative

effort from the industry, the academia and the government, talent
retention is a corporate prerogative. Salaries, perks, challenges,
designation, and foreign assignments may drive people for some
time; most of the people also seek stability for themselves.
Therefore, an HR manager needs to identify and create systems
and processes that will retain employees. More often than not,
most jobs tend to become repetitive, and therefore, job escalation
(assigning newer responsibilities) is something that HR managers
need to look at.

HR executives are devoted in planning and executing innovative

strategies to retain talent and gain competitive advantage in the
overcrowded market. “Exit Interview”, though not a very recent practice
attracts renewed importance as an effective tool for employee retention.
It provides a useful perspective on the organization’s performance and
satisfaction level of the employees.

EXIT INTERVIEW are interviews of employees who are leaving

the firm, conducted for the purpose of obtaining information about the
job related matters, to give the employer an insight about the company.
The prime reason of carrying out an exit interview is to identify the
reason for which an individual leaves an organization. This is the exit
interview form used at HCL Technologies Ltd.

The working profile in the organization includes following roles:

• Identifying and evaluating client’s recruitment needs.

• Negotiating terms of employment.
• Searching for the potential candidates.
• Providing candidates all the information required for the vacancy.
• Cold Calling employers in order to establish new contacts and their
requirements.
• Documenting client’s details and vacancy requirements in brief.
• Clarifying and negotiating salary and benefits relating to vacancies.
• Negotiating fees relating to work that the consultant will undertake
for the clients.
• Advertising, head hunting, reviewing applications, interviews and
short listing of candidates.
• Monitoring candidates after placed and collecting feedback.
• Acting as a mentor and advising the junior trainees.
 Description of live Experience

Responsibilities given to me as a HR Trainee were the same as given

before in the

Work profile. My experience in the organization was awesome with the

clients, with

Candidates as well as the colleagues. Responsibilities’ undertaken by

me includes all the

Responsibilities of a HR Recruiter.

My work in the organization was to coordinate with the clients regarding

vacant Positions in their company, taking all information from the clients
of the job vacancy like job description,CTC offering, qualification
required and all the important information, searching for the candidates
matching desired profile, making calls to the candidates and giving them
information about the company and job, then sending their profiles to the
clients, taking interview details from the clients for the shortlisted
candidates and coordinating with the candidates and clients till their final
selection and joining in the company.

Other then this, business development was also my work in the

organization.
 REASERCH METHODOLOGY

INTRODUCTION

Research in common parlance refers to a search for knowledge.

The advanced learner’s dictionary of current English lays down the
meaning of research as “a careful investigation of enquiry especially
through search for new facts in any branch of knowledge.”
The systematic approach concerning generalization and the
formulation of a theory is also research. The purpose of research is to
discover answers to questions through the application of scientific
procedures.

TITLE OF STUDY

The title of this study is to carry on brief study on “selection and

recruitment process at mas financial services ltd.”

DURATION OF STUDY

 The study was conducted for period of 45 days.

OBJECTIVE OF STUDY

• To study the Recruitment and Selection System in the

organization.
 • To study the process of intake of employees with relation to
Experience, Communication skills and Qualification in the
organization
• To know strategies which using for recruitment in FGI.
• Awareness of agents regarding to supplementary income needs of
agents.

RESEARCH DESIGN

“A research design is the arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the
research purpose with economy in procedure.”
- JOHN.W.BEST
Research may be defined as “any organized inquiry designed and
carried out to provide information for solving a problem”.
- EMORY
“Research is essentially an investigation, a recording and an analysis of
evidence for the purpose of gaining knowledge”.
- ROBERT ROSS

DESCRIPTIVE RESEARCH DESIGN

Descriptive research design studies are those studies, which are

concerned with describing the character of a group.
The researcher makes a plan of the study his research work. That will
enable the researcher to save and resources such a plan of study or
blue print or study is called a research design.
DATA COLLECTION

The study was based on questionnaire method. The study was about the
Recruitment and Selection System.
There are two types of data collection:
 Primary data
 Secondary data

Primary data

The primary data are those, which are collected a fresh and for the
first time happen to be original in character. It has been collected
through a Questionnaire and personal interview.

Secondary data
Secondary data are those which have already been collected by
someone else and which have already been passed through the
stratified process. It has collected through the books, journals & Internet.

RESEARCH INSTRUMENT

 Questionnaire containing closed ended questions.

SAMPLE DESIGN:

SAMPLE PROCEDURES
 In this study convenient sampling method was adopted. First
the each organization was divided into different departments
like Operations, Customer Services, Human Resources,
Internet Marketing and under writing departments. From this
department, the respondents were selected on the basis of
convenience.

CONTACT METHOD

 Respondents were contacted personally.

INTERVEIW SCHEDULE

 The interview schedule has been used to collect the data. Information
can be gathered even when the respondents happen to be literate or
illiterate.

TABULATION

 It is the arrangement of classified data in an orderly manner. This

involves creating table for recording the filled in interview schedule.
These tables are of immense help to analysis by using the statistics
tools help to analysis by using the statistical tools.

TOOLS USED FOR ANALYSIS

Simple percentage analysis

 It is simple analysis tool. In this method, based on the opinions of the
respondents, percentage and bar chart is calculated for the respective
scales of each factor.
Formula:
Simple percentage = No of Respondents
Total No of Sample Size

LIMITATIONS OF THE STUDY

 The study is focused only in Future Generali India Life Insurance
Company Ltd.
 Thus the respondents are not come forward to provide their
feedback regarding their organization than the result is bias.
 In this study the sample size is 70. The result might vary when the
sample size values changes it.
 Researcher fined the difficulty in searching the appropriate advisor
and respondent throughout the city.
 The research was limited to the Jodhpur city.

ANALYSIS AND INTERPRETATION

TABLE NO: 1
Q1. What is your age?

S.N DESCRIPTI NUMBER OF PERCENTA

O ON RESPONDEN GE
1. Below-25 10 14.29
2. 25-30 35 50
3. 30-35 18 25.71
4. 35-40 7 10
TOTAL 70 100
 S.N DESCRIPTI NO OF PERCENTA
O ON RESPONDEN GE
1. Male 55 78.57

2. Female 15 21.43

TOTAL 70 100

AGE
Below-25 25-30 30-35 35-40
10% 14%

26%

50%

INTERPRETATION:
The above table depicts that 50% of the respondents are below the age
group of 25-30 years age`, 25.71% of the respondents are between the
age group of 30-35 years, 10% of the respondents are comes under the
category of 35-40 years age group and 1% of the respondents are
comes under category of above below-25 years of age group.
TABLE NO: 2
Q2. What is your Gender?
 GENDER
Male Female
21%

79%

INTERPRETATION
The above table reveals that 78.57% of the respondents are male and
21.43% of the respondents are female.

TABLE NO: 3
Q3. What is your current profession?

So. TYPE OF NO.OF PERCENTAGE

No. PROFESSION RESPONDENTS
1. Professional 26 37
2. Private - Service 17 24
3. Public - Service 8 12
4. Self – Employed 16 23
5. Any Other 3 4
Total 70 100

CURRENT PROFESSION
Professional Private - Service Public - Service Self – Employed Any Other

23% 4%
37%

12%
24%

INTERPRETATION
The above pie chart shows that 37% of the respondents has pursuing
professional job, while 24% of respondents are doing private service,
23% of respondents are self employed 12% of the respondents are in
public service and 4% are in other sectors.
TABLE NO: 4
Q4. What are your current salary particulars which are given by
company?

S.N DESCRIPTI NO OF PERCENTA

O ON RESPONDEN GE
1. Below 5000 3
TS 4.28
2. 5000-10000 30 42.86
3. 10000- 26 37.14
4. Above
15000 11 15.72
TOTAL
15000 70 100

SALARY PARTICULARS
5000 5000-10000 10000-15000 Above15000

16% 4%

43%

37%

INTERPRETATION:
The above table depicts that 43.3% of respondents are earned comes
the salary of 5000-10000, 36.6% of the respondents have got RS 10000-
15000 per month, 16.6% are fall in the income group of above 15000
and 3.3% of the respondents comes under the 5000 level of category.
 TABLE NO: 5
Q5. Are you satisfied with your current job?

S.NO DESCRIPTION NO OF PERCENTAGE

RESPONDENT
S
1. Yes 49 70
2. No 21 30
TOTAL 70 100

JOB SATISFACTION
YES NO
30%

70%

INTERPRETATION:
The above table depicts that 70% of respondents are says that they are satisfy with
their current job while 30% of respondent are not satisfy their job.
 TABLE NO: 6
Q6. Are you satisfied with the recruitment process of the company?

S.N DESCRIPTI NO OF PERCENTA

O ON RESPONDEN GE
1. Good 31
TS 44.28
2. Fine 35 50.00
3. Bad 4 5.72
TOTAL 70 100

SATISFACTION REGARDING TO RECRUITMENT PROCESS

Good Fine Bad

6%

44%

50%

INTERPRETATION:
The above table depicts that 50% of respondents are says that recruitment process
is fine, 44.28% of respondent says that recruitment process is good and 5.72%
respondent says recruitment process is bad.
 TABLE NO: 7
Q7. Is there training requires for improve the performance of an
advisor?

S.NO. DISCRIPTION NO. OF PERCENTAGE

RESPONDENTS

1. YES 49 70
2. NO 21 30
TOTAL 70 100

IMPROVE IN PERFORMANCE
YES NO
30%

70%

INTERPRETATION
The above table shows that 70% of respondents are says that training is require for
improvement in performance of agents while 30% of respondents are not agree for
arrange the training session for improve in agents performance.
 TABLE NO: 8
Q8. According to you, which quality plays important role in
recruitment and selection process?

S.NO. QUALITY NO. OF PERCENTAGE

RESPONDENTS
1. Leadership 21 30
2. Qualification 14 20
3. Communication 35 50
Total 70 100

QUALITY IS REQUIRED
LEADEARSHIP QUALIFICATION COMMUNICATION
30%

50%

20%

INTERPRETATION:
The above table shows that 50% of respondents are says that communication skill is
an important quality for agent while 30% of respondents are says that leadership is
important skill for an agent, and 20% of respondents are says qualification is
important in recruitment and selection process.

TABLE NO: 9
Q9. Which segment do you think is the best for recruitment for as
an advisor?
S.NO. DISCRIPTION NO. OF PERCENTAGE
RESPONDENTS
1. Businessman 10 15

2. Govt. Employees 21 30

3. Retired Person 21 30

4. House wife 8 10

5. Fresher 10 15

TOTAL 70 100

SEGMENT PREFERED FOR RECRUITMENT

BUSINESSMAN GOVT. EMPLOYEES RETIRED PERSON
HOUSE WIFE FRESHER
15% 15%

10%

30%

30%
INTERPRETATION
The above table shows that 30% of respondents was suggested govt. employees
and retired person are the best option for recruit as an agents and 15% respondents
says that businessman and fresher while 10% respondents says that house wife are
the best option for recruit as agents.

TABLE NO: 10
Q10. Would you be interested in a source of supplementary
income?

S. No. DISCRIPTION No. OF PERCENTAGE

RESPONDENTS
1. Yes 32 46
2. No 7 9.33
3. May be 31 44.67
TOTAL 70 100

INTERPRETATION:
The above table shows that 46% of respondents were interest in supplementary
income source while 44.67% of respondent are not sure about supplementary
income source and remaining were not interested for that.

TABLE NO-11
Q11. Which source will you preferred for supplement ones income?
 S.NO. DISCRIPTION NO. OF PERCENTAGE
RESPONDENTS
1. Life Insurance Agency 45 65
2. Multi level Marketing 10 15
3. Tuitions 4 5
4. Part Time Business 7 10
5. Trading and Investment in 4 5
stocks
Total 70 100

PREFERRED SOURCE FOR SUPPLEMENTARY INCOME

LIFE INSURANCE MULTILEVEL MARKETING TUITIONS
PART TIME BUSINESS TRADING & INVESTMENT

10%
5% 5%

15%

65%

INTERPRETATION:
The above table depicts that 65% of respondents are says that they will prefer life
insurance sector for supplement income while 15% of respondent are prefer multi
level marketing, 10% of respondents are prefer part time business, 5% of
respondents are prefer tuitions and 5% of respondents prefer trading and investment
in stocks for supplement income.

TABLE-12
Q12. Would you be interested in a source of supplementary income
offers flexible working hours and unlimited earning opportunity?

S.NO. DISCRIPTION NO. OF PERCENTAGE

RESPONDENTS
1. YES 14 21
2. NO 47 68
3. MAY BE 9 11
TOTAL 70 100

INTRESTED IN SUPPLEMENTARY INCOME

YES NO MAY BE
11% 21%

68%

INTERPRETATION
The above table shows that 68% of respondents were interested in source of
supplementary income for unlimited earning opportunity and 21% of respondents
were not interested in supplementary income while 11% respondents were not sure
about source of supplementary income.

Summary and Conclusions.

Summary of Learning Experience

My experience in the organization was awesome with the clients, with

candidates as well as the colleagues. Responsibilities undertaken by me
includes all the responsibilities of a HR Recruiter.

My work in the organization was to coordinate with the clients regarding

vacant positions in their company,taking all information from the clients of the
job vacancy like job description,CTC offering,qualification required and all the
important information, searching for the candidates matching desired
profile,making calls to the candidates and giving them information about the
company and job,then sending their profiles to the clients, taking interview
details from the clients for the shortlisted candidates and coordinating with
the candidates and clients till their final selection and joining in the company.

Other then this, business development was also my work in the organization.
 Recommendations & Conclusion

Recruitment is essential to effective Human Resources Management. It is the

heart of the whole HR systems in the organization. The effectiveness of many
other HR activities, such as selection and training depends largely on the
quality of new employees attracted through the recruitment the recruitment
process.

Management should get specific training on the process of recruitment to

increase their awareness on the dangers of wrong placements.

HR practitioners should be on the guard against all the malpractices and

advocate for professional approach through out the system. The HR should
indicate disagreement in the event that biasing toward certain candidates is
creeping in and point out the repercussions that may follow in terms of
performance and motivation.

It is conviction of research that, the recruitment process should be seen in the

context of ongoing staff planning that is linked to the strategic and financial
planning of the organization.
 QUESTIONARE

Challenges of Recruitment

Name:

Designation:

Company:

Please rank top five questions in as per their criticality in recruitment on a

rating scale of 1 to 5. Where most critical problem should get a rating of
5, second most important problem 4 and so on.

Problem Ranking

Fierce competition for IT professionals amongst IT

companies

Shortage of qualified applicants (Talent Shortage)

Low recruitment cost approved for hiring by the

management

Screening right candidates in case of niche profiles

Attracting candidates with right skills and

experience from other organizations ( Employer
Branding )

No show after accepting the offer

Tug of War: rope being compensation

Lack of appropriate HR / Recruitment tool: managing

database is getting difficult

Hiring right candidates within short deadlines

Wrong hires adding to additional recruitment cost

False information provided on the resume

What motivates talent to join Ranking

Working Culture of the organization

Perception about the management: Market Standing

Challenging profile

Industry leader: best technology, updated systems

Job security

Compensation and benefits

Career advancement and growth prospects

Geographical location

Acceptable pace of work and stress

Benefits: canteen, bus facility, mobile phone

reimbursement, etc

Please mention any other problems which you feel are very critical in
recruitment.

BIBLIOGRAPHY

Books
  Research Methodology (C.R.KOTHARI)

Websites

 www.google.com

 www.yahoo.com

 www.linkedin.com

 www.masfinancial.com

 www.wikipedia.com