You are on page 1of 71

A Report of

A Study on
PRODUCTIVITY OF INSURANCE CONSULTANT AND THE REASONS
THERE OFF

for

Bajaj Allianz Life Insurance Co.Ltd

Submitted to the

Department of Management Studies

in partial fulfillment of the
Post Graduate Diploma In Management

Under the Guidance of
Tilly chacko
by
yesubabu.vanaparthy
BATCH - 17 FN - 27

S
S C M S
S

SCMS – COCHIN
SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA, COCHIN
06.
September 2009

1
SCMS – COCHIN
SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA, COCHIN-
S
S C M S
S
06.

DECLARATION

I, the undersigned, hereby declare that this project report entitled “study on
productivity of insurance consultant and the reasons there off” has been
written and submitted under the guidance of Ms.Tilly chacko and is my
original work.

I understand that detection of any copying is liable to be punished in any way
the school deems fit.

DATE: yesubabu.v

2
SCMS – COCHIN
SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA, COCHIN-
S
S C M S
S
06.

CERTIFICATE

This is to certify that the project work entitled 'productivity of
insurance consultant and the reasons there off ' has been carried
out under my guidance by yesubabu.v in partial fulfillment of his/her
Post Graduate Diploma in Management during the academic year 2008
- 2010.

Date: Ms.Tilly chacko

3
SCMS – COCHIN
SCMS CAMPUS, PRATHAP NAGAR, MUTTOM, ALUVA, COCHIN-
S
S C M S
S
06.

This is to certify that the project work entitled ''productivity
of insurance consultant and the reasons there off’ has been
carried out by yesubabu.v in partial fulfillment of his/her Post
Graduate Diploma in Management.

DATE : Dr. Raman Nair

4
ACKNOWLEDGEMENT

I wish to express my indebtedness and gratitude to the management and
staff of the School of Communication and Management Studies for providing
me an opportunity to gain practical knowledge by including this project as part
of my PGDM curriculum.

I would like to thank the Dean, Prof KJ PAULOSE, for always giving in the
maximum effort to guide the students of the college, without whom this
wouldn’t have a fruitful effort.

I am very happy to express my gratefulness to Tilly chacko the faculty
guide of School of Communication and Management Studies, Cochin for her
valuable suggestions and constructive reviews on the topic of this study.

I express my gratitude to my company guide Mr.Ramakrishna, senior
divisional manager, Bajaj Allianz Life Insurance Co. Ltd, chennai,Mrs.
Lakshmi the trainer of the Bajaj allianz ,chaitanya kumar and Ms. satya for
their sincere support and encouragement given to me during the project period
in the organization.

I am grateful to The Lord Almighty, for the abundance of grace of his, which
enabled me to complete the assigned work in time, and with maximum
perfection.

Yesubabu.v

5
Table of Contents

Sl.
Title Page no
No
Executive summary 1
Chapter 1
Introduction and Theoretical Background 2 -8
1
1.1 Introduction
1.2 Literature review
Chapter 2
Objective and Research Methodology
2.1 Objectives:-
2.2 Procedure:-
2.3 Sampling plan 9 - 14
2
2.4 Data collection tools
2.5 Data collection
2.6 Data collection methods
2.7Analysis plan
2.8 .limitations of the study
Chapter 3
Industry Profile, Company Profile and
15 -20
product profile
3
3.1 Industry profile
3.2 Company profile
3.3 Product profile
Chapter 4 21 -46
4
Analysis and interpretation

Chapter 5 47 - 51
5
Finding and conclusions

6
Chapter 6 52 -54
6
Suggestions and Recommendations
Chapter 7
7 55-56
Bibliography
Chapter 8
8 57 – 63
Appendix

7
LIST OF TABLES

TAB TOPIC PAGE
LE NO:
NO:

1 importance of basic characteristics 29

2 variable which affecting negatively 31

3 cross tabulation between qualification and salary of 32
consultant

4 The level of capacities achieved by consultant for each 33
characteristic.

5 Significance of gender on salary. 36

6 significance of qualification on salary 37

7 significance of experience with size of the consultant family 38

8 significance of experience on salary 40

9 significance of customer satisfaction on good package 43

10 significance customer satisfaction with training 44

11 significance of customer satisfaction with flexible working 45
hours.

12 Relation between wealth maximization and flexible working 46
hours

13 what insurance consultants earned and their intension to earn 47

14 Different clusters of insurance consultants in Bajaj Allianz 49

15 important factors which are affecting productivity 51

8
EXECUTIVE SUMMARY

The study on productivity of insurance consultant and the reasons there off was
basically done to know various reasons which affect the performance of the
insurance consultant and to find the solutions to overcome those problems. In
the first half, the study started with introduction and review of literature could
contribute to a better sales performance. Salesmanship is not inherent, it is a
skill, which acquire with the help of training means it can be learned and
taught. In insurance field, salesmen require mastering in sales. The basic
characteristics identified in the literature as common to successful salespersons
are: empathy, enthusiasm, desire to grow, persistency, patience,
trustworthiness, and self confidence. Skills identified include interpersonal
skills, communication, organizational, product, and service knowledge.
Motivation plays a critical role in the success of a salesperson. The other half
of the report tells about the interrelation between variables which are affecting
the performance of consultants. This survey was conducted with the help of
well structured questionnaire. The methodology which was adopted was a
direct interview. After collecting the data it was analyzed using statistical tool
called factor analysis. By knowing the client’s perception one will be able to
improve their productivity.

Further this study helped me to know the drawback of insurance consultant and
solutions to overcome and also this study focused on finding important factors
for giving optimal training to the insurance consultant by the company.
Because insurance penetration and density in India is very low comparing to
other developed and developing countries and positively Indian insurance
making 20% growth this is much more than developed countries. So this study
will help insurance consultants to improve their productivity and also helpful
for company to provide lead training

9
Chapter -1
INTRODUCTION AND THEORETICAL
BACKGROUND

10
1.1 Introduction

The strategic goal of sustaining a market share or gaining competitive
advantage depends on effective selling skills. This skill is continuous
development in process. Companies adopt different type of effective selling
techniques according to environmental change and needs. It includes the need
of continuous improvement as consumers are more informed today than in the
past. Insurance products are different from other products. It is intangible, so
sales people face a lot of difficulties for selling insurance products. Here
effective selling skills are needed to be successful. Today Insurance Industry
faces a big problem of active insurance consultants. Company either terminates
the relationship or the consultants leave voluntarily because of insufficient
income.

This separation occurs in life industry after six month (due to licentiate
examination and training process). Company and consultants magnify the
implication of this separation in wasted resources in opportunity cost during the
engagement period. Insurance consultant is front liner, who is only a person
who directly contacts with customers.

Consultants do this work as a mediator between customer and company. It
means “The agent is located at the place in the organization at which the
company financial security policy and plan are distributed to customers and
also at the place at which services are directly provided to the customer”. Agent
provides such types of service in term of consultancy i.e. to make help in
financial planning strategies. Insurance is relationship business. Relationship
and emotion is the key of success in selling. People purchase insurance
because they love their family. It is human tendency that people agree/purchase
from such type of person who is trustworthy. Like and trust is the key in
insurance business. Due to this reason brand and price are insignificant when
client make a buying decision. It is seem that often people do not know much

11
more about insurance, when they compare with other products, so here
consultant’s role becomes very important due to following reason: -

Consultants have had to choose particular product according to client need so
Insurance consultant should know about financial planning.

Product knowledge is of prime value for every consultant. It gives them
confidence and trustworthiness before client. Consultant should know
product’s merits and demerits because different client have different needs.

Insurance is long-term financial product so consultant should know about
customer relationship management. It helps him/her time to time fulfill specific
need and query of client.

People are less aware and interested towards insurance product, so such types
of responsibility (to increase awareness and popularity amongst people) are
fulfilled by insurance consultant.

This study provides an understanding of effective skills and explores the facts
based on certain variables, how those skills can be integrated in the
organization structure to enable successful career in insurance sector.

This study began with reviewing relevant literature on effective selling skill
needed for good sales performances. In this literature review consisting of
productivity of insurance consultant, various reasons which are affecting their
performance and its solution with the help of effective selling techniques in the
field of insurance”. In this process seller side has been only covered.

The following procedures were adopted to find out the various reasons which
are affecting their performance and techniques to improve their performance as
well as giving suggestions to the company to train them well: -

To conduct interview with insurance company consultants and sales person to
know their view

12
To find where was problem or identify problem/challenges faced by consultant.
Set questionnaire according to problem.

In this project, two type of data were used: a) Primary Data b) Secondary Data.
With the help of interview and questionnaire primary data were collected for
finding actual and realistic problems and their solutions. Secondary data were
collected from books and Internet to go in depth of topic.

13
1.2 Literature review

In this process one can understood, how insurance is different from other
products, why sales persons fail to sell insurance. And also realized during this
process that motivation, behavior, characteristics and training factors affect
man power and its ability, how to generate lead and convert into sales, how
sales performance can be increased.

Mostly people think that seller skill is inherent, but it is not correct. It can be
achieved with the help of training and practices. When a person does more
practice and gets mastered in such skill, it seems easy and natural. Professional
salesmanship is a learned skill. Insurance sales are more complicated to general
sales. Insurance consultant cannot show insurance product, he can only
describe benefit with the help of verbal and non-verbal language. In this
process he plays with another emotion and sentiment. If he wins in this game
then he will be successful in selling and vice-versa.

Insurance is not purchased it is sold. Here consultant faces difficulty.
Consultant has had to do a lot of work for successful selling, such as to whom
he is to sell (prospective client), turn prospective client to customer. Only
insurable person can take insurance, so he has had to do segmentation and
targeting type of work also.

With the help of lead generation advisor can find prospective customer. There
are several methods to lead generation such as cold calling. Cold calling can be
a successful way to lead generation. If it is done with planning: for example
how to cold call, when to cold call, and how much cold call to make every day
in order to get appointment Public relation is also great way to expose in
market. Consultant can do it with the help of trade show or he can make public
relation with the help of promotional activity. The real key of public
relationship is to be friendly and focus on meeting, not selling product. “Many
of the most difficult sales jobs are easy to obtain (i.e. selling specialty product
such as house hold, hardware, life insurance or encyclopedias). They have also

14
been graveyard of thousand of co-worker” (Baker 1994). It means after a
minimum qualification and passing IRDA Licentiate examination, any one are
eligible to sale insurance policy. Due to this reason alteration rate is very high
in insurance industry. But now insurance companies are concentrating on other
distribution channels such as, bancassurance, Internet, NGO’s, micro
insurance. Now insurance companies are concentrating on training program
and they recruit eligible candidate for executive trainee or other post (i.e.
PGPMI). Selling skill can be developed such type of skill with the help of
practice, practical training and experience.

Behavior style and interpersonal effectiveness is also important in selling.
People fit into four categories. Insurance products can be sold to them in
different ways. Interpersonal effectiveness helps to understand in what way an
individual’s mind works and his level of interest in a particular product /policy
which may act as guideline for the best way to approach sell for each category
developed in two ways: formal training and sales experience gained through
exercising the selling job over time. In formal training people know about
product and services, which help him to explain, “what he has for other”.
Secondly formal training is base of advisor carriers. In formal training people
know which type of skill is required for effective selling and they approach
each category in effective way.

Life insurance products are inherently more difficult to sell compared to other
kinds of products. Agents who are deficient in required characteristics and
skills are unable to sell successfully and consequently they are forced to leave
the company.

Although some of these characteristics may be developed through lifetime, the
skills could be taught and learned by insurance consultant can improve their
productivity.

15
Unique Attributes of Successful Salespeople

 Characteristics and Traits

 Trustworthiness

 Self-confidence

 Enthusiasm

 Empathy

 Desire to grow and improve self

 Patience

Motivation for Sales Career

 Unlimited income

 Time autonomy

 Recognition and power

 Personal satisfaction

Selling Skills

 Interpersonal skill

 Communication

 Organization

 Profiling clients and prospecting

 Planning meetings in advance

 Presentation

 Product and service knowledge

 Information about company’s products and services
16
Chapter -2
OBJECTIVE AND RESEARCH
METHEDOLOGY

17
Research Methodology

2.1 Objectives:-

Main objective:-

Find out the reasons which are affecting the performance of the insurance
consultant and the solutions to overcome those problems in order to boost their
performance.

Specific objectives:-

1) Find out the level of relationship between different variables and
exploring the reasons for such a relation.

2) Identifying the different set of insurance consultants in Bajaj Allianz
based on their characteristics and performance.

3) Find out the important factors among all variables which are affecting
the productivity of consultant

2.2 Procedure:-

The procedure followed, is enlisted below:

Studying the topic

Decision on objective needed to be work on i.e. conduct interview with
insurance consultant and sales manager.

Developing Survey instruments

Getting questionnaire filled through interacting with different branches of bajaj
Allianz consultants in Chennai.

Finally analyzing the data of various areas and trying to study about various
influence factors such as behavior, which is important in sells.

18
Process adopted:

Gaining knowledge about the topic:

Reading about the topic was the first step undertaken. This gave me not only in
depth knowledge about what is market trend in insurance but also proved
useful while developing the questionnaire.

Steps in the Development of the Survey Instruments

The main instruments required for survey was a well-developed questionnaire.

The questionnaire development took place in a series of steps as described
below:

2.3 Sampling plan

Population:- all insurance consultants and sales managers who engaged with
customers directly of bajaj Allianz in Chennai.

Sample composition:-This sample comprises the insurance consultants and
sales managers of bajaj Allianz in Chennai branch.

Sample size: 50 {60% insurance consultants (30) +40% sales managers (20)}

Sampling technique:- convenience sampling but all the respondents are
representatives of target population.

2.4 Data collection tools:-

Developing Survey instruments

Getting questionnaire filled through interacting with different branches of bajaj
Allianz consultants in Chennai. Finally analyzing the data of various areas and
trying to study about various influence factors such as behavior, which is
important in sells.

Descriptive research (cross- sectional design):-This research consider various
variables and also not affected by the movement of the sample because this

19
research will cover many variables even one of the variable affected by
respondent bias or other factors it will substituted by the other variables at
finally on an average this will give effective output.

2.5 Data collection

Awareness/Knowledge:

They are used in marketing research refers to what respondents do or do not
know about the effective selling style.

Motivation:

Through questionnaire have tried to find the hidden need or want of an
individual and have tried to find out that which factor increases satisfaction and
productivity of insurance consultant.

Behavior:

Behavior concerns what subjects have done or are doing. Through made
questionnaire we have tried to find out the behavior of the individuals
regarding

Do you keep attention on client non-verbal response during sells meeting?

Do you update yourself?

Thus, it helps to draw a comparison between the selling style and the observed
behavior of the advisor.

Obtaining the Primary Data:

The data collection was primarily through communication. Communication
involves questioning respondents to secure the desired information, using a
data collection instrument called questionnaire. The questions were in writing
and so were the responses.

Secondary data search

20
The first of Research consisted of secondary data search from the following

sources:

Books

Websites

For the conclusive research, questionnaires been developed on basis of
secondary data and interview from insurance personal to gather information on
the research

The final draft of the questionnaire (see Appendix) was then prepared on the
basis of extensive study on insurance sector and discussions with consultants
and sales manager. These then finally filled by 50 consumers, for the
conclusive study.

2.6 Data collection methods:-

Survey: - conducting survey for data collection by using closed and open
ended questionnaire from the sample or primary sources (insurance consultants
and sales managers)

Interview method:- using open ended questions for conducting unstructured
face-to-face interview with the sample.

Field work plan

Some of the respondents are identified with in the office and other respondents
are identified by taking address of them from the company, sales managers will
help to find out consultants who are working under them.

21
2.7Analysis plan:-

Analysis based on answers given to the questions, by using various suitable
statistical techniques data will be analyzed with SPSS software and ms-excel.
Chi-square and ANOVAs for test the confidence level of the variables

Correlation is to find out the type of the relation like positive, negative or zero
relation

Factor analysis for Identifying most appropriate factors which are affecting
mostly the performance of the consultant

Cluster analysis is used to grouping the respondents based on common
variables among them

2.8 .limitations of the study:-

1) The sample population statistics may vary from the total population.

2) Even though it was explained that the survey was purely for academic
purposes many of them are afraid to reveal their actual performance.

22
Chapter -3
INDUSTRY PROFILE, COMPANY
PROFILE AND PRODUCT PROFILE

23
3.1 Industry profile

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.

Insurance sector growth is measured in two criteria in a country

I. Insurance penetration = premium/GDP*100

The value for India is 4.10, the value for Asia is 5, and the value for World is
4.5.

II. 2. Insurance density = premium holder/total population*100

The value for India is 33.2, the value for Asia is 154.6, and the value for World
is 330.6

These figures show that insurance in India still in infant stage there is great
headroom to insurance sector in India.

Compared to developed and industrialized countries, India is at the lower end
of the spectrum when it comes to penetration of the market. However has a
young demographic profile; nearly two thirds of the population is under 30. Yet
about 10 percent of the population is above 60. This portion is expected to rise
sharply. By 2030, the Indian population is expected to rise sharply. By 2030,
the Indian population is expected to stabilize at 1.1 billion, about 20 percent of
which will be over 60. Therefore, a great potential for the insurance industry
lies in providing support for this segment of the populace i.e. over 220 million
senior citizens.

While LIC is the is the sole operator in the public sector, the following is the
list of private companies in the Life Insurance Sector in India

24
LIFE INSURERS COMPANIES IN INDIA:-

ICICI Prudential Life Insurance, HDFC Standard Life, SBI Life Insurance,
Birla Sun life, Bajaj Allianz Life, Aviva Life Insurance, Kotak Mahindra Life
Insurance, Tata AIG Life, Reliance Life Insurance Company Limited (formerly
known as AMP Sanmar LIC), ING Vyasya Life Insurance, MetLife India Life
Insurance, Max New York Life Insurance, Shriram Life Insurance, Bharti AXA
Life Insurance Company Limited

Life insurance sector in the red in 2007-08

Profits (losses) of life insurance cos
2007-08 2006-07
cr cr
Birla sun life -445 -140
ICICI prudential -1395 -694
ING vysya -191 -178
HDFC standard -244 -126
Max new York life -257 -60
Reliance life -768 -315
Bajaj Allianz -297 -72
SBI life -34 4
Kotak Mahindra -72 -110
Tata AIG -339 -72
Metlife 21 -12
AVIVA -202 -132
Sahara 3 -1
Shriram life 5 10
Bharti AXA -242 -80
LIC 845 774
Future generali -30 -3
IDBI fortis -26 _
Total -3600 -1162

The life insurance sector in the country is in the red, going by the figures
released by the Insurance Regulatory and Development Authority in it annual
report for 2007-08.The largest losses were posted by ICICI-Prudential Life
Insurance at Rs 1,395 crore and Reliance Life at Rs 768 crore during 2007-
08.The public sector giant, LIC managed to post a modest growth in profits at
Rs 845 crore in 2007-08 compared with Rs 774 crore in 2006-07.

25
The general insurance sector fared better than the life sector, although profits
were down by 80 per cent for the private sector players. Profits of 10 private
players were down to Rs 44 crore in 2007-08 compared with 228 crore in 2006-
07. The biggest loss among private players as well as the industry was posted
by Reliance General Insurance at Rs 165 crore. The four public sector
insurance companies saw their combined profits come down by about 24 per
cent to Rs 2,205 crore. While three of them saw their profits declining, United
India Insurance managed to buck the trend and post a 19 per cent growth in
profits during 2007-08

Even though 2007-08 is bad experience to many private insurance companies,
2008-09 is giving good results for many companies noted profits and running
in good progress.

3.2 Company profile

Bajaj Allianz Life Insurance Company Limited is a Union commit Between
Bajaj Auto Limited, an of the largest 2 - & - 3 wheeler manufacturers in the
world and Allianz AG, world largest life insurance (formerly Allianz Bajaj Life
Insurance Company Limited).

Allianz SE is a prominent world-wide conglomerate insurance and one of the
largest asset managers in the world, the management of active to value of more
than a Trillion Euro (more than R. 55,00000 cores). Allianz SE has more than
115 year of the financial experience in more than 70 countries. Bajaj Car is one
of the most familiar name is Indian car for more than 55 year. On Bajaj
Allianz customer joy is our guide. See to world-class solutions through the
offering of adapted products with transparent advantages, supported by the best
technology is the philosophy of Bajaj Allianz.

26
Bajaj Allianz Life Insurance Co. Ltd was incorporated on March 12, 2001. The
company received the IRDA certificate of registration on august 3,2001 to
conduct life insurance business in India.

Bajaj Allianz Life Insurance Co. Ltd posted a profit of Rs 45 corers in FY
2008-09 against a loss of Rs 16 cr in the previous year.

Gross written premium = 10,624 corers

Asset under management = 17,157 corers, which is an increase of 26%.

Bajaj Allianz Life Insurance Co. Ltd grew by 9% garnering a premium of Rs
10,624 corers with new business premium at Rs 4491 corers and renewal
premium Rs 6133 corers in FY 2008-09 as against GWP of Rs 9725 corers in
FY 2007-08.The life insurance has 7.4 million policies in force, as on 31 st
march 2009, the company had a solvency margin of 250%.

Bajaj Allianz Life Insurance Co. Ltd balancing growth and profitability, it has
under taken several initiatives and launched several need based products.

3.3 Product profile
Bajaj Allianz offers 32 products under two categories are individual products
and group products. The main products on which my project concentrates
mainly are
Baiai Allianz new unit gain plus
Flexible investment plans with an option of withdrawing money whenever
needed.
 Guaranteed life cover.
 Choice of 5 investment funds.
 3 free switches allowed every year.
 Partial and full withdrawals after 3 years.

27
 Unmatched flexibility to meet changing lifestyle and insurance
requirements.
Bajaj Allianz new unit gain super
Insure fully and get MAX allocation along with a host of additional benefits to
choose from a flexible unit linked plan that allows partial & full withdrawal
after 3 years.
Additional benefits:
 UL Accidental Death Benefit and UL Disability Benefit.
 UL Critical Illness Benefit and UL Hospital Cash Benefit.
 4 funds to choose from & flexibility to pay top-up any time
New unit gain/ fortune plus
Fortune plus have formulated as a unique combination of protection and
prospective of attractive returns with investment in various mix of securities to
make a perfect plan.
Some of the key features of this plan
 Guaranteed life cover, with a flexibility to insurance cover according to
client needs
 More than 100% allocation after first 10 years of company association
 Flexibility of with drawls (partial or full)
 Get maturity value equal to the fund value at the time of maturity or in
periodic installment spread over a maximum period of 5 years
 Option to increase or decrease customer regular premium to get a
portfolio that suits to their needs
 A host of optional additional benefits, which ensures enhanced
assurance to customer family.
 Opportunity to make additional investments
 Flexibility to switch money from one fund to other to manage
investment better.

28
Chapter -4
DATA ANALYSIS AND
INTERPRETATION

29
Frequency analysis:- Table 1:- importance of basic characteristics

most important important neutral unimportant
communication skill 42 8
Network 27 20 3
soft skills 28 17 4 1
Confidence 37 13
Hardworking 29 19 2
Experience 21 20 7 2

Above table shows that importance of each characteristic using likert scale
given by insurance consultants of the Bajaj Allianz. This is just their
psychological importance which may not give same importance in real life
practice. Even though they are not having those skills this likert scale
presenting their mental importance to acquire each.

From the above table it is obvious to find that communication skill is most
important among all and next is confidence of the consultant.

Ranking of the each characteristic was given by using data from table

1. Communication skill
2. Confidence
3. Hardworking
4. Network
5. Soft skills
6. Experience

30
Insurance consultants who have good communication skills and doing hard
work would have successful career than other because communicational skill
can bring confidence and can increases the net work so those will succeed
irrespective of experience that’s way experienced ranked least even though it is
important in insurance sector.

4.2. Percentage of the different Factors which keeping away from success

Table 2:-Factors which keeping away from success

keeping away from success

Valid Cumulative
Frequency Percent Percent Percent
Valid lack of
communication 9 18.0 18.0 18.0
skills
lack of network 16 32.0 32.0 50.0
lack of
4 8.0 8.0 58.0
confidance
lack of efforts 5 10.0 10.0 68.0
lack of knoledge 4 8.0 8.0 76.0
not applicable 10 20.0 20.0 96.0
more than one 2 4.0 4.0 100.0
Total 50 100.0 100.0
Total 50 100.0

This table explains the frequency and percent of each variable which affecting
negatively the performance of the insurance consultant. From the table it found
that nearly 60 percent of the insurance consultant performance badly affected
by two variables is lack of communication skills and lack of network.

There are only 20% people don’t have any drawback and remaining 80%
people have at least one drawback so it is better to continue training classes on
developing communication skill along with product knowledge this ultimately
leads to increase their network.

31
Cross tabulation:-

4.3. Comparision between salary of consultant with his/her qualification.

Table 3:-cross tabulation between qualification and salary of consultant

highest qualification * salary or commission for last year Crosstabulation

Count
salary or commission for last year
less than
1 lac 1 to 2 2 to 3 3 to 4 Total
highest btech or
1 1 2
qualification BE
bcom or
6 7 13
BBA
Bsc 1 1 1 3
BA 1 3 5 9
PG 8 9 2 19
+2 1 3 4
Total 2 21 23 4 50

The above table represents the range of salary with respect to the qualification
of the insurance consultant. Most of the consultants has completed their
graduation in BA, BBA, Bcom AND Mcom.

People from science and technology back ground are not preferring to work as
a consultant or sales manager they have other opportunities so from this we can
deduct that people who don’t has better other opportunities are only preferring
to work as consultant, this field still suffering to attract other higher educated
people.

32
Frequencies

4.4 Measuring the achieved skills of consultants in Bajaj Allianz

Table 4 :- the level of capacities achieved by consultant for each
characteristic.

Percentage 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
learning
capacity 0 0 0 2 4 4 4 15 13 8
emotional
intelligence 0 1 3 0 2 7 8 13 9 7
intelligent
quotient 0 0 1 3 5 9 9 8 7 8
convincing
power 1 0 1 6 2 3 6 6 14 11
degree of
satisfaction 0 0 0 0 4 1 3 14 10 18

total 1 1 5 11 17 24 30 56 53 52

average 0.2 0.2 1 2.2 3.4 4.8 6 11.2 10.6 10.4

Interpretation of the table

This table explains the level of capacities of characteristic like learning
capacity, emotional intelligence, intelligent quotient, convincing power and
degree of satisfaction in terms of percentages.100 is the complete achievement
of the characteristic, and through this we can measure the level of their
achievement hope to improve.

In the first row there are values with an interval of 10 up to 100, complete
achievement of any characteristic showed as 100 percent 10 percent shows

33
1/10th of their actual capacity there is a scope to improve nine times
accordingly remaining values.

In last row representing the average number of the sample falling under its
respective percentages, by observing it last three columns there are 32 people
achieved up to 80 to 100 percent of each characteristic

Degree of satisfaction has more number of consultants than other this shows
most of the employees of bajaj Allianz are satisfied very well and next big
value is convincing power this shows people who have more convincing power
also have more satisfaction levels.

Average of the last column is 10 is approximately 20 percent of the sample and
also equal number people achieved completeness in learning capacity and
intelligent quotient because generally people who have more learning capacity
also have good intelligent quotient.

Among all most of all little bit suffering to achieve completeness in emotional
intelligence if company concentrating on to improve it this definitely helpful to
consultants to increase their performance.

The scope of improvement in capacities of the insurance consultant less than
expected through training because more than 75 percent people are already
agreed they achieved more 70 percent of their actual capacity so there is only
1/4th people only have scope to improve nearly double of their present
performance.

34
4.5 Correlation: relationship among variables
Correlations

market
update
number of flexible emotional and
calls per working highest wealth convincingintelligentstatistical
day net work hours qualification
maximisation power quotient analysisconfidenceexperiencebackground
Pearson number of
1.000 -.014 .244 -.156 .226 .041 .303* .065 -.028 .088 -.128
Correlationcalls per day
net work -.014 1.000 .017 .026 -.075 .128 -.137 .165 .093 .247 .093
flexible
.244 .017 1.000 .016 .476** .235 .400** .018 -.195 -.290* .245
working hours
highest
-.156 .026 .016 1.000 -.004 -.104 .063 .048 -.029 -.093 .003
qualification
wealth
.226 -.075 .476** -.004 1.000 .222 .394** .015 -.222 .051 .262
maximisation
convincing
.041 .128 .235 -.104 .222 1.000 .756** -.097 -.311* -.037 -.162
power
emotional
intelligent .303* -.137 .400** .063 .394** .756** 1.000 .037 -.209 -.107 -.013
quotient
market update
and statistical .065 .165 .018 .048 .015 -.097 .037 1.000 -.010 .106 .100
analysis
confidence -.028 .093 -.195 -.029 -.222 -.311* -.209 -.010 1.000 .088 -.030
experience .088 .247 -.290* -.093 .051 -.037 -.107 .106 .088 1.000 -.030
background -.128 .093 .245 .003 .262 -.162 -.013 .100 -.030 -.030 1.000
Sig. number of
. .920 .087 .278 .115 .778 .033 .653 .847 .545 .374
(2-tailed) calls per day
net work .920 . .907 .857 .603 .374 .343 .252 .521 .083 .520
flexible
.087 .907 . .911 .000 .100 .004 .900 .174 .041 .087
working hours
highest
.278 .857 .911 . .980 .472 .665 .742 .843 .521 .981
qualification
wealth
.115 .603 .000 .980 . .122 .005 .920 .121 .727 .066
maximisation
convincing
.778 .374 .100 .472 .122 . .000 .503 .028 .800 .260
power
emotional
intelligent .033 .343 .004 .665 .005 .000 . .797 .145 .458 .928
quotient
market update
and statistical .653 .252 .900 .742 .920 .503 .797 . .945 .464 .490
analysis
confidence .847 .521 .174 .843 .121 .028 .145 .945 . .541 .834
experience .545 .083 .041 .521 .727 .800 .458 .464 .541 . .834
background .374 .520 .087 .981 .066 .260 .928 .490 .834 .834 .
N number of
50 50 50 50 50 50 50 50 50 50 50
calls per day
net work 50 50 50 50 50 50 50 50 50 50 50
flexible
50 50 50 50 50 50 50 50 50 50 50
working hours
highest
50 50 50 50 50 50 50 50 50 50 50
qualification
wealth
50 50 50 50 50 50 50 50 50 50 50
maximisation
convincing
50 50 50 50 50 50 50 50 50 50 50
power
emotional
intelligent 50 50 50 50 50 50 50 50 50 50 50
quotient
market update
and statistical 50 50 50 50 50 50 50 50 50 50 50
analysis
confidence 50 50 50 50 50 50 50 50 50 50 50
experience 50 50 50 50 50 50 50 50 50 50 50
background 50 50 50 50 50 50 50 50 50 50 50
*.Correlation is significant at the 0.05 level (2-tailed).
**.Correlation is significant at the 0.01 level (2-tailed).

35
Table of correlation was placed in annexure due to its big size.

The values in the correlation table are standardized and ranging from 0 to 1.
Variables ranging from 0.73 to 0.95 are highly correlated.

Number of calls per day 0.92 correlated with building network.

Flexible working hours 0.9 correlated with network.

Educational qualification 0.85 correlated with building network.

So from the above correlation values building network is directly related to
number calls dialed by consultant, flexible working hours provided by
company and educational qualification of insurance consultant.

Educational qualification is 0.91 directly related with flexible working hours
Educational qualification is 0.98 directly related with wealth maximization of
the company. This shows that people who have higher qualification are
preferred work in insurance sector when there is a flexible working system and
also they try to work on long term wealth maximization not on short term
profits.

Statistical analysis and market update have 0.946 correlations with confidence

Statistical analysis and market update have 0.92 correlations with wealth
maximization

Statistical analysis and market update have 0.968 correlations with mode of
communication with client.

From the above relations one can deduct that people who are doing regular
update and market analysis are more confident than others and they can create
more wealth to the company. Back ground of consultant means he/she from
rural or urban can determine the some of the aspects like emotional quotient
0.93, availability to the client in the time of need have 0.92 correlation with
back ground of the consultant.

36
Convincing power and communication skill have a good positive correlation
0.938 this shows that obviously people who have good communication skills
can easily convince the clients than others.

One way- ANOVA analysis

4.6 Gender can decide the salary range of the insurance consultant

Table 5 :-significance of gender on salary.

ANOVA

Sum of Mean
Squares df Square F Sig.
salary or Between
2.738 1 2.738 6.130 .017
commission Groups
for last year Within
21.442 48 .447
Groups
Total 24.180 49

Input

Independent variable: gender (nominal)

Dependent variable: salary (interval)

Null Hypothesis

Gender can’t decide the salary range of the insurance consultant

The null hypothesis for this problem can be expressed as

H0 D1=D2; Where D1,D2 are the gender 1 for male,2 for female

Our group tested at 95% confidence level whether any of the above mentioned
nominal variable is being decides the salary range of the insurance consultant

Analysis of out put

From the out table of one-way ANOVA, in the last column the significance of
the F-test is found to be 0.017. This indicates that at a confidence level of 95
percent. The F-test proves the model is significant. In other words the gender

37
can decide the salary range of the insurance consultant. So our null hypothesis
is rejected.

4.7 Qualification can also decide the salary range of the insurance
consultant

Table 6:-significance of qualification on salary

ANOVA

Sum of Mean
Squares df Square F Sig.
salary or Between
5.372 5 1.074 2.513 .044
commission Groups
for last year Within
18.808 44 .427
Groups
Total 24.180 49

Input

Independent variable: qualification (nominal)

Dependent variable: salary (interval)

Null Hypothesis

Qualification can’t decide the salary range of the insurance consultant.

The null hypothesis for this problem can be expressed as

H0 D1=D2; Where D1,D2 are the scale of the qualification.

Our group tested at 95% confidence level whether any of the above mentioned
nominal variable is being decides the salary range of the insurance consultant

Analysis of out put

From the out table of one-way ANOVA, in the last column the significance of
the F-test is found to be 0.044. This indicates that at a confidence level of 95.6
percent. The F-test proves the model is significant. In other words qualification
can also decide the salary range of the insurance consultant. So the null
hypothesis is rejected.

38
4.8 Family size of the consultant is trouble to quit the job or exchange to
other job

Table 7:-significance of experience with size of the consultant family.

Experience as insurance consultant or sales manager * size of the family

Crosstab

size of the family
more than
1 to 3 4 to 6 7 Total
experience below one Count 1 1 2
as ic or sm year % within
experience 50.0% 50.0% 100.0%
as ic or sm
1 to 3 Count 4 10 2 16
years % within
experience 25.0% 62.5% 12.5% 100.0%
as ic or sm
3 to 5 Count 1 13 14
years % within
experience 7.1% 92.9% 100.0%
as ic or sm
5 to 10 Count 6 5 1 12
years % within
experience 50.0% 41.7% 8.3% 100.0%
as ic or sm
more than Count 2 4 6
10 years % within
experience 33.3% 66.7% 100.0%
as ic or sm
Total Count 14 32 4 50
% within
experience 28.0% 64.0% 8.0% 100.0%
as ic or sm

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
15.173 8 .056
Chi-Square
Likelihood Ratio 15.945 8 .043
Linear-by-Linear
1.973 1 .160
Association
N of Valid Cases 50
a. 12 cells (80.0%) have expected count less than
5. The minimum expected count is .16.

39
This test can link what insurance consultants’ size of the family with his /her
experience in field

Input data:-

This test is attempting to find out the relationship between independent variable
(size of the family) and dependent variable (experience)

Null hypothesis

Family size of the consultant is never trouble to quit the job or exchange to
other job.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.056).

There is 94.4 percent significance between the variables Family size of the
consultant is causing trouble to his/her profession to quit the job or exchange to
other job so the null hypothesis is rejected. That means consultants from big
family have lower experience than people from medium size families if
company want to recruit a employees for longer use seeing their family size
also will be a clue to estimate their adaptability.

From the table we can see that people have a family size 4 to 6 will have on
average of 3 to 5 years experience in this field in particular company. people
from smaller families are also have more experience than all.

40
4.9 Salary of the insurance consultant depending on the their experience

Table 8 :-significance of experience on salary

experience as ic or sm * salary or commission for last year Crosstabulation

salary or commission for last year
less than
1 lac 1 to 2 2 to 3 3 to 4 Total
experience below one Count 2 2
as ic or sm year % within
experience 100.0% 100.0%
as ic or sm
1 to 3 Count 2 10 4 16
years % within
experience 12.5% 62.5% 25.0% 100.0%
as ic or sm
3 to 5 Count 4 9 1 14
years % within
experience 28.6% 64.3% 7.1% 100.0%
as ic or sm
5 to 10 Count 5 6 1 12
years % within
experience 41.7% 50.0% 8.3% 100.0%
as ic or sm
more than Count 4 2 6
10 years % within
experience 66.7% 33.3% 100.0%
as ic or sm
Total Count 2 21 23 4 50
% within
experience 4.0% 42.0% 46.0% 8.0% 100.0%
as ic or sm

This test can link insurance consultants’ salary with his /her experience in the
field

Null hypothesis

Salary of the insurance consultant doesn’t depending on the their experience

Input data:-

This test is attempting to find out the relationship between independent variable
(experience) and dependent variable (salary)

41
Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
20.913 12 .052
Chi-Square
Likelihood Ratio 23.495 12 .024
Linear-by-Linear
13.151 1 .000
Association
N of Valid Cases 50
a. 14 cells (70.0%) have expected count less than
5. The minimum expected count is .08.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.052).

There is 94.8 percent significance between the variables, by the experience
insurance consultants are earning more that means Salary of the insurance
consultant depending on the their experience so the null hypothesis is
rejected.

42
Chi-square test:-

4.10 Null hypothesis

There is no significant relationship between salary of consultant and their
perception on customer satisfaction

Input data:-

This test is attempting to find out the relationship between independent variable
(customer satisfaction) and dependent variable (salary or commission)

Customer satisfaction * good package

Table 9 :-significance of customer satisfaction on good package

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
20.311 12 .061
Chi-Square
Likelihood Ratio 16.955 12 .151
Linear-by-Linear
4.279 1 .039
Association
N of Valid Cases 50
a. 18 cells (90.0%) have expected count less than
5. The minimum expected count is .10.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relation ship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.061) so the null hypothesis is rejected.

43
From this explanation it can be deducted that insurance consultants who are
much concern about customer satisfaction could earn more than other
consultants.

4.11 Training given by the Bajaj Allianz Company motivating the
employees

Null hypothesis

Training given by Bajaj Allianz company shouldn’t motivating the employees
to improve customer satisfaction approach

Input data:-

This test is attempting to find out the relationship between independent variable
(customer satisfaction) and dependent variable (training)

Table 10:- significance customer satisfaction with training

Customer satisfaction * number of hours attending for training per month

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
21.099 12 .049
Chi-Square
Likelihood Ratio 17.900 12 .119
Linear-by-Linear
.719 1 .397
Association
N of Valid Cases 50
a. 18 cells (90.0%) have expected count less than
5. The minimum expected count is .20.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

44
The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.049).

There is a 95.1 percent significance between the variables so the null
hypothesis is rejected.

From this explanation it can be deducted that insurance consultants who
undergone through more Training given by the Bajaj Allianz Company
motivating the employees to improve their customer satisfaction approach.

4.12 Find out the relationship between customer satisfaction and flexible
working hours.

Null hypothesis

Flexible working hours provided by the Bajaj Allianz Company to the
insurance consultants and sales managers shouldn’t motivating them to
improve their customer satisfaction approach

Input data:-

This test is attempting to find out the relationship between independent variable
(customer satisfaction) and dependent variable (flexible working hours)

45
Table 11:-significance of customer satisfaction with flexible working
hours.

Customer satisfaction * flexible working hours

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
26.921 15 .029
Chi-Square
Likelihood Ratio 27.607 15 .024
Linear-by-Linear
4.044 1 .044
Association
N of Valid Cases 50
a. 22 cells (91.7%) have expected count less than
5. The minimum expected count is .10.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.029).

There is a 97.1 percent significance between the variables so the null
hypothesis is rejected.

From this explanation it can be deducted that flexible working hours provided
by the Bajaj Allianz Company to the insurance consultants and sales managers
should motivating them to improve their customer satisfaction approach.

46
4.13 flexible working system to insurance consultants was boosting its
wealth maximization.

Null hypothesis

An insurance company like Bajaj Allianz’s flexible working system to
insurance consultants was not boosting its wealth maximization

Input data:-

This test is attempting to find out the relationship between independent variable
(wealth maximization) and dependent variable (flexible working hours)

Table 12:- Relation between wealth maximization and flexible working
hours

Wealth maximization * flexible working hours

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
50.252 25 .002
Chi-Square
Likelihood Ratio 43.577 25 .012
Linear-by-Linear
11.084 1 .001
Association
N of Valid Cases 50
a. 34 cells (94.4%) have expected count less than
5. The minimum expected count is .02.

Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.002).

47
There is 99.8 percent significance between the variables so the null hypothesis
is rejected.

From this explanation it can be deducted that An insurance company like Bajaj
Allianz’s flexible working system to insurance consultants was boosting its
wealth maximization.

4.14 Consultant intension to earn commission affecting their performance
(earned commission)

Null hypothesis

Consultant intension to earn commission doesn’t affect their performance
(earned commission)

Input data:-

This test is attempting to find out the relationship between independent variable
(intension to earn commission) and dependent variable (earned commission)

Table 13:- what insurance consultants earned and their intension to earn.

getting more commission * salary or commission for last year

Chi-Square Tests

Asymp.
Sig.
Value df (2-sided)
Pearson a
21.484 12 .044
Chi-Square
Likelihood Ratio 17.327 12 .138
Linear-by-Linear
2.449 1 .118
Association
N of Valid Cases 50
a. 18 cells (90.0%) have expected count less than
5. The minimum expected count is .08.

This test can link what insurance consultants earned and their intension levels
to get more commission.

48
Explanation of output:-

The value of the pearson chi-square test clearly states that there is a significant
relationship between dependent and independent variable.

The chi-square test is carried out at a 90 percent confidence level (equivalent to
100-90 divided by 100 or 0.1 significant level which is more than obtained
significance 0.044).

There is 95.6 percent significance between the variables. Consultant intension
to earn commission affecting their performance (earned commission) so the
null hypothesis is rejected.

49
Cluster analysis:-

4.15 Identification of the different set of insurance consultants in Bajaj
Allianz based on their characteristics and performance

Table 14:-Different clusters of insurance consultants in Bajaj Allianz

Clusters 1 2 3 4
find out the clients 2 1 2 2
getting more commission 4 7 4 7
customer satisfaction 7 6 6 6
good package 7 6 1 6
Number of hrs attending for 1 1 2 4
training in a month
network 2 2 2 1
hard working 1 1 3 2
experience 1 1 4 2
performance 1 1 2 1

By observing the table there is no much difference in values of each cluster this
shows that most of the insurance clusters are roughly with same attitude, but
when we look into data there are four clusters that means based their response
we can divide them into four different categories.

Cluster 1

The person belong to this cluster are highly concern for their clients and giving
more importance to their satisfaction and also getting commission is less
important than customer satisfaction. This cluster people are hard workers and
believing that experience is most important to succeed in insurance field, may
be because these people believe in practical experience they tempted to have
less attendance in company training classes.
50
Cluster 2

This cluster of individuals use mostly cold calling strategy, they will give more
preference to get more commission than customer satisfaction even though they
are not bad at that. Performance of this cluster is satisfactory but not up to the
mark.

Cluster 3

The performance of this group not up to the mark even though they are giving
less importance to get more commission than customer satisfaction because
they are not hard workers. These groups of people are mostly using direct
contacts and references to find out the clients. For them this is not an core
business activity, it is a partime earning activity for them.

Cluster 4

People belong to this cluster are moderately hard workers .they are much
importance to improve their customer base through direct contacts. They give
preference to commission as well as customer satisfaction. This people will all
attend all the training programs conducted by company. This group of people
have good track record.

51
Factor Analysis

4.16 Find out the important factors among all variables which are
affecting the productivity of consultant

Table 15:-important factors which are affecting productivity of consultant

Total Variance Explained

Initial Eigenvalues
Extraction Sums of Squared
Rotation
Loadings
Sums of Squared Loadings
% of Cumulative % of Cumulative % of Cumulative
Component
Total Variance % Total Variance % Total Variance %
1 2.015 25.187 25.187 2.015 25.187 25.187 1.786 22.326 22.326
2 1.459 18.240 43.427 1.459 18.240 43.427 1.598 19.972 42.298
3 1.283 16.038 59.465 1.283 16.038 59.465 1.373 17.168 59.465
4 .933 11.658 71.124
5 .776 9.694 80.818
6 .579 7.241 88.058
7 .513 6.409 94.467
8 .443 5.533 100.000
Extraction Method: Principal Component Analysis.

52
Rotated Component Matrix a

Component
1 2 3
companys
marketing
strategies and 2.536E-03 .696 -.130
employees
performance
getting more
-.135 -.373 .772
commission
customer
.549 .507 .242
satisfaction
incentives and
.127 .213 .774
commission
good package .209 .557 .315
number of
hours
attending for .234 -.594 5.842E-02
traing per
month
flexible
.800 -8.98E-02 -6.01E-03
working hours
wealth
.844 -1.87E-02 -3.11E-03
maximisation
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 6 iterations.

The output factor analysis is obtained by requesting principal component
analysis and specifying the rotation. As evident from the above table, we find
that the three factors extracted together account for 59.46 % of the total
variance hence we have reduced number of variables from 8 to 3 underlying
factors.

The variables; flexible working hours and wealth maximization have loading of
0.80 and 0.844 on factor 1. This suggest that the factor is combination of these
two variables therefore this factor can be interpreted as ‘freedom to work’

The variables; company marketing strategies and customer satisfaction on
factor 2. This suggest that the factor is combination of these two variables
therefore this factor can be interpreted as ‘customer focused services’

53
The variables; commission and incentives on factor 3. This suggest that the
factor is combination of these two variables therefore this factor can be
interpreted as ‘good payments to consultants’

Total eight variables are reduced to three variables named as freedom to work,
customer focused services and good payments to consultants.

If company concentrates mainly on innovative customer oriented products
along with better payments through commission or incentives to the insurance
consultants and also giving flexible working hours to work these three together
can improve the nearly 60% of company performance

54
Chapter- 5
FINDING AND CONCLUSIONS

55
Findings

1) Building network is directly related to number of calls dialed by
consultant, flexible working hours provided by company and
educational qualification of insurance consultant

2) People who have higher qualification are preferred to work in insurance
sector when there is a flexible working system and also they try to work
for wealth maximization not on profits.

3) People who are doing regular update and market analysis are more
confident than others and they can create more wealth to the company.

4) Consultants who have good communication skills are also have great
convincing power than others clients.

5) Gender and qualification can decide the salary range of the insurance
consultant

6) Most of the consultants have completed their graduation in BA, BBA,
Bcom AND Mcom. People from science and technology back ground
are not preferring to work as a consultant or sales manager, people who
don’t has better other opportunities are only preferring to work as
consultant, this field still suffering to attract other higher educated
people.

7) Insurance consultants who are much concern about customer satisfaction
could earn more than other consultants.

8) Insurance consultants who undergone through more Training given by
the Bajaj Allianz Company motivating the employees to improve their
customer satisfaction approaches.

56
9) Flexible working hours provided by the Bajaj Allianz Company to the
insurance consultants and sales managers should motivating them to
improve their customer satisfaction approach.

10) An insurance company like Bajaj Allianz’s flexible working system to
insurance consultants will boost its wealth maximization.

11) Consultant intension to earn commission affecting their performance
(earned commission)

12) Nearly 60 percent of the insurance consultant performance badly
affected by two variables is lack of communication skills and lack of
network. There are only 20% people without having any drawback and
remaining 80% people have at least one drawback.

13) By getting experience insurance consultants are earning more that
means Salary of the insurance consultant depending on the their
experience

14) Most of the employees of Bajaj Allianz are satisfied very well and their
convincing power also well this shows people who have more
convincing power also have more satisfaction levels.

15) Approximately 20 percent of the sample and also equal number people
achieved completeness in learning capacity and intelligent quotient
because generally people who have more learning capacity also have
good intelligent quotient.

16) Among all most of all little bit suffering to achieve completeness in
emotional intelligence if company concentrating on to improve it this
definitely helpful to consultants to increase their performance.

17) The scope of improvement in capacities of the insurance consultant less
than expected through training because more than 75 percent people are
already agreed they achieved more 70 percent of their actual capacity so

57
there is only 1/4th people only have scope to improve nearly double of
their present performance.

18) Communication skill is most important among all and next is confidence
of the consultant these can create the trust worthy to the client.

19) Importance of the each characteristic was ranked as follows by the
insurance consultant.

1. Communication skill
2. Confidence
3. Hardworking
4. Network
5. Soft skills
6. Experience
20) Insurance consultants who have good communication skills and doing
hard work would have successful career than other because
communicational skill can bring confidence and can increases the net
work so those will succeed irrespective of experience that’s way
experienced ranked least even though it is important in insurance sector.
21) Mainly three factors are influencing the 60 percent productivity of both
company and insurance consultant

a) flexible working hours and wealth maximization are comes under
factor 1 named as ‘freedom to work’

b) company marketing strategies and customer satisfaction are comes
under factor 2 named as ‘customer focused services’

c) commission and incentives are comes under factor 3 named as good
payments to consultants’

58
CONCLUSION

‘A study on productivity of insurance consultant and the reasons there off’ had
given an insight on the employees of insurance company and the training given
to them. My basic objective was to make the insurance consultants productivity
analysis and find out the ways to develop their productivity. . I could come to
know that there are around 21 life insurance companies till date. These
insurance companies have several plans which fulfill the needs of the
customers. So there is a lot of competition between companies and the
consultants in this competitive world innovative approach is must and should
this research can suggest the company as well as consultant where to
concentrate more to increase productivity levels.

 Nature of work existing in the insurance industry, the kind of deadlines
for sales managers under whom insurance consultants are working have
to meet, the kind of pressure and levels of stress which they work under
and the kind of recognitions given to them after they meet or exceed
their targets.

 There is a greater scope to improve insurance consultant productivity
through training and motivation.
 Work life satisfaction is very important both financially and non-
financially to sustain in the field for long time.

 Interactions with consultants during surveys helped me enhance my
marketing skills and communication skills.

59
Chapter- 6
SUGGESTIONS AND
RECOMMENDATION

60
Suggestions/recommendations

 People who were finding the clients through direct contacts have good
positive relation between company advertising and their performance
and also it is one of the strategies to create pull marketing, people
agree/purchase from such type of person who is trustworthy. Like and
trust is the key in insurance business hence it is better to continue the
advertising strategy.

 Some of the consultants who preferring cold calling has no relationship
between company advertising and their performance so for such people
company need to give training how to utilize the advertisement to create
trustworthy on him/her.

 Training given by Bajaj Allianz mostly concentrating on product
knowledge including that how to find the prospect, customer approach
and need based selling are some of the techniques can help them to
improve their productivity.

 If company practical way of learning can reduce the importance of
experience, case study methods can develop how to tackle the difficult
situation without having selling pressure. Including product knowledge
this practical learning can bring self confidence.

 Employee turnover of the company is more so it better to keep
maximum consultants for long time this can reduce other variable costs
incurred by the company and also experienced consultants can earn
more than newly recruited.

 Most of the consultants are demanding not only commission also other
financial assistance like travelling expenses, incentives and regular
payment for senior consultants, so in order to attract more consultants
and keeping them for long time it is recommended that company have to
fulfill those.

61
 Bajaj Allianz nearly showing optimal performance at its best, it has
good computerized network and quick performance feedback to improve
the competitiveness among the consultants. Including direct selling it
has to adopting new strategies like bancassurance, shopassurance and
telemarketing..etc also can fit well. it is recommended that company
must have innovative customized products and marketing channel to
increase its capacity as it now always.

62
Chapter- 7
BIBLIOGRAPHY

63
Books:-

H.Narayanan. Indian insurance a profile. jaico publishing house, 2006.

A .M. pandy. Risk management and insurance. himalaya publications, 2007.

B .D. Bhargava. insurance theory and practice. pearl book publications, 2001.

Journals:-

“score board-08-09.” Insurance post, volume 9, issue 10, may 2009:57-60

“Various marketing channels in insurance.” Insurance post, volume 9, issue 6,
January 2009:35-42.

Web site:

www.irda.org

www.balic.co.in

http://www.insureme.com/content/images/Hybe/contentContainer-bkgTile.gif,
Saturday, june 23, 2009 12:01:36 AM

http://www.economywatch.com/images-new/logo_EconomyWatch.png, Friday
, july 10, 2009 7:09:02 PM

http://www.thehindubusinessline.com, Monday july 27,2009

http://www.ditchingdebt.com/favicon.ico, Thursday, august 13, 2009 6:57:08
PM

http://ezinearticles.com/, Thursday , august 27,2009 10:11 PM

64
Chapter- 8
APPENDICES

65
Correlations

market
update
number of flexible emotional and
calls per working highest wealth convincingintelligentstatistical
day net work hours qualification
maximisation power quotient analysisconfidenceexperiencebackground
Pearson number of
1.000 -.014 .244 -.156 .226 .041 .303* .065 -.028 .088 -.128
Correlationcalls per day
net work -.014 1.000 .017 .026 -.075 .128 -.137 .165 .093 .247 .093
flexible
.244 .017 1.000 .016 .476** .235 .400** .018 -.195 -.290* .245
working hours
highest
-.156 .026 .016 1.000 -.004 -.104 .063 .048 -.029 -.093 .003
qualification
wealth
.226 -.075 .476** -.004 1.000 .222 .394** .015 -.222 .051 .262
maximisation
convincing
.041 .128 .235 -.104 .222 1.000 .756** -.097 -.311* -.037 -.162
power
emotional
intelligent .303* -.137 .400** .063 .394** .756** 1.000 .037 -.209 -.107 -.013
quotient
market update
and statistical .065 .165 .018 .048 .015 -.097 .037 1.000 -.010 .106 .100
analysis
confidence -.028 .093 -.195 -.029 -.222 -.311* -.209 -.010 1.000 .088 -.030
experience .088 .247 -.290* -.093 .051 -.037 -.107 .106 .088 1.000 -.030
background -.128 .093 .245 .003 .262 -.162 -.013 .100 -.030 -.030 1.000
Sig. number of
. .920 .087 .278 .115 .778 .033 .653 .847 .545 .374
(2-tailed) calls per day
net work .920 . .907 .857 .603 .374 .343 .252 .521 .083 .520
flexible
.087 .907 . .911 .000 .100 .004 .900 .174 .041 .087
working hours
highest
.278 .857 .911 . .980 .472 .665 .742 .843 .521 .981
qualification
wealth
.115 .603 .000 .980 . .122 .005 .920 .121 .727 .066
maximisation
convincing
.778 .374 .100 .472 .122 . .000 .503 .028 .800 .260
power
emotional
intelligent .033 .343 .004 .665 .005 .000 . .797 .145 .458 .928
quotient
market update
and statistical .653 .252 .900 .742 .920 .503 .797 . .945 .464 .490
analysis
confidence .847 .521 .174 .843 .121 .028 .145 .945 . .541 .834
experience .545 .083 .041 .521 .727 .800 .458 .464 .541 . .834
background .374 .520 .087 .981 .066 .260 .928 .490 .834 .834 .
N number of
50 50 50 50 50 50 50 50 50 50 50
calls per day
net work 50 50 50 50 50 50 50 50 50 50 50
flexible
50 50 50 50 50 50 50 50 50 50 50
working hours
highest
50 50 50 50 50 50 50 50 50 50 50
qualification
wealth
50 50 50 50 50 50 50 50 50 50 50
maximisation
convincing
50 50 50 50 50 50 50 50 50 50 50
power
emotional
intelligent 50 50 50 50 50 50 50 50 50 50 50
quotient
market update
and statistical 50 50 50 50 50 50 50 50 50 50 50
analysis
confidence 50 50 50 50 50 50 50 50 50 50 50
experience 50 50 50 50 50 50 50 50 50 50 50
background 50 50 50 50 50 50 50 50 50 50 50
*.Correlation is significant at the 0.05 level (2-tailed).
**.Correlation is significant at the 0.01 level (2-tailed).

Appendix-1 table of correlation

66
Appendix-2 questionnaire used to Bajaj Allianz insurance consultants.

Semi structured questionnaire for conducting survey:-

Objective of the study:-To find out the reasons which are affecting the
performance of the insurance consultant and the solutions to overcome those
problems in order to boost their performance.

1. How could you check your performance?

Through external feedback

Through internal feedback

2. What mode of communication you are using mostly to find out the
clients?

Telephone direct contact

Email others…………

3. How often should you be mailing to prospects? ....................

4. How often should you be calling to prospects? ...........................

5. How can you find out more number of the clients?

Cold calling (push)

Advertising, creating awareness, network, public image, brand,
initiated by the customer (pull)

6. In your opinion what relation between advertizing and your
performance?

Positive relation [high ( ) medium ( ) low ( )]

Zero relation

67
7. Please rate how exact the productivity of insurance consultant
means?

True false

Getting more commission 7 6 5 4 3 2 1

Customer satisfaction 7 6 5 4 3 2 1

Wealth maximization 7 6 5 4 3 2 1

Getting more polices 7 6 5 4 3 2 1

8. Please rate how important or unimportant the different types of
motivations in the organization?

Important unimportant

Incentives and commission 7 6 5 4 3 2 1

Good package 7 6 5 4 3 2 1

Training and motivating classes’ 7 6 5 4 3 2 1

Flexible working hours 7 6 5 4 3 2 1

9. What is keeping you away from being successful?

Lack of communication skills Lack of network lack
of confidence

Lack of affords Lack of knowledge

68
10. Tick the corresponding block

Are you visiting company Branch on regular & Weekly basis as
scheduled?[yes] [no ]

Are you Creating Prospecting List, their birthday List and Marriage
Anniversary List? [yes] [ no ]

Are you doing Market updates & statistical analysis [yes ] [no ]

Are you involving yourself in some social activities for welfare of People
around you? [yes] [ no]

Are you available to prospects & policyholders in times of need
[yes] [no ]

Do you Updating Policyholders new products available
[yes ] [no]

11. (100 marks are perfect score, out of 100 where you are):-

1. Learning capacity [ /100 ]
2. Convincing power [ /100 ]
3. Intelligent quotient [ /100 ]
4. Emotional intelligence [ /100 ]
5. Degree of satisfaction [ /100 ]

69
12. (Please rate how important or unimportant each characteristic is):-

Most Important Neither imp Unimporta Most
important Nor unimp nt unimportan
[1] [2] [3] [4] t
[5]
Communication
skills
Net work
Soft skills
confidence
Hardworking
Experience

13 .General information about the insurance consultant

Name
gender
Area
qualification
Experience
Commission
No of policies you have
Family size
No of earners In family
Rural or urban (background)
Duration Of training
Are you Satisfied With This job

70
Open ended questionnaire for unstructured interview:-

1. Please explain what type of training this company given to you?

2. What is the structure of your company training?

3. What kind of development did you noticed after training?

4. Where you are poor and why?

5. What you need most for your productivity?

6. Are you ready to expertise?

7. In your point of view what is innovative way of convincing the clients?

8. How can you convince the clients?

9. What kind of external support you need for good productivity?

10. What skills do you have that will help you be successful?

11. What are your plans for the next 5, 10, 15, and 20 years?

71