TABLE OF CONTENT

Sl.No Particulars Page No.

1-26
1. INTRODUCTION

27-57-
2. COMPANY PROFILE

3. 58-59
RESEARCH METHODOLOGY

60-72
4. DATA ANLAYSIS AND FINDINGS

73-74
5. LIMITATIONS

75-77
6. CONCLUSION AND SUGGESTION

78-79
BIBLOGRAPHY
 Chapter-1
INTRODUCTION

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 CHAPTER-1
INTRODUCTION
Recruitment is concerned with developing suitable techniques for attracting more and more
candidates. The aim of personnel planning is to determine the needs for persons both in
terms of number and type. For deciding about the number both present and future
requirements should be taken into account. If there are expansion plans in near future then
these requirements should also be considered. Besides number, the type of persons
needed is also important. The educational and technical requirements to manage various
jobs should e properly analyzed so that right type of persons are employed.
Recruitment is sometimes confused with employment. The two are not one and the same.
Recruitment is just one step in the process of employment. Recruitment is a linkage activity
bringing together those with jobs and those seeking jobs. When more persons apply for
jobs then there will be scope for recruiting better persons.

DEFINITION :
“Recruitment is the process of searching for prospective employees and
stimulating and encouraging them to apply for jobs in an organization.”

Recruitment is defined as, “a process to discover the sources of manpower to meet

the requirements of the staffing schedule and to employ effective measures for attracting
that manpower in adequate numbers to facilitate effective selection of an efficient
workforce.” Edwin B. Flippo defined recruitment as “the process of searching for
prospective employees and stimulating them to apply for jobs in the organization.”
Recruitment is a ‘linking function’-joining together those with jobs to fill and those seeking
jobs. It is a ‘joining process’ in that it tries to bring together job seekers and employer with a
view to encourage the former to apply for a job with the latter
In order to attract people for the jobs, the organization must communicate the
position in such a way that job seekers respond. To be cost effective, the recruitment
process should attract qualified applicants and provide enough information for unqualified
persons to self-select themselves out.

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 Thus, the recruitment process begins when new recruits are sought and ends when
their applications are submitted. The result is a pool of applicants from which new
employees are selected

PURPOSES AND IMPORTANCE

The general purpose of recruitment is to provide a pool of potentially
qualified job candidates. Specifically, the purposes are to:

• Determine the present and future requirements of the organization in

conjunction with its personnel-planning and job-analysis activities.

• Increase the pool of job candidates at minimum cost.

• Help increase the success rate of the selection process by reducing the
number of visibly, under qualified or overqualified job applicants.
• Help reduce the probability that job applicants, once recruited and
selected, will leave the organization only after a short period of time.
• Begin identifying and preparing potential job applicants who will be
appropriate candidates.
• Induct outsiders with a new perspective to lead the company.
• Infuse fresh blood at all levels of the organization.
• Develop an organizational culture that attracts competent people to the company.
• Search or head hunt/head pouch people whose skills fit the company’s values.
• Devise methodologies for assessing psychological traits.
• Search for talent globally and not just within the company.
• Design entry pay that competes on quality but not on quantum.
• Anticipate and find people for positions that do not exist yet.
• Increase organizational and individual effectiveness in the short term
and long term.
• Evaluate the effectiveness of various recruiting techniques and
sources for all types of job applicants.

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 Recruitment represents the first contact that a company makes with potential
employees. It is through recruitment that many individuals will come to know a company,
and eventually decide whether they wish to work for it. A well-planned and well-managed
recruiting effort will result in high- quality applicants, whereas, a haphazard and piecemeal
effort will result in mediocre ones. High-quality employees cannot be selected when better
candidates do not know of job openings, are not interested in working for the company and
do not apply. The recruitment process should inform qualified individuals about employment
opportunities, create a positive image of the company, provide enough information about
the jobs so that applicants can make comparisons with their qualifications and interests,
and generate enthusiasm among the best candidates so that they will apply for the vacant
positions.
The negative consequences of a poor recruitment process speak volumes about its role
in an organization. The failure to generate an adequate number of reasonably qualified
applicants can prove costly in several ways. It can greatly complicate the selection process
and may result in lowering of selection standards. The poor quality of selection means extra
cost on training and supervision. Furthermore, when recruitment fails to meet the
organizational needs for talent, a typical response is to raise entry-level pay scales. This
can distort traditional wage and salary relationships in the organization, resulting in
avoidable consequences. Thus, the effectiveness of a recruitment process can play a major
role in determining the resources that must be expended on other HR activities and their
ultimate success

RECRUITMENT POLICY :

It specifies the objective of recruitment and provides a framework for the

implementation of the recruitment programme. A recruitment policy may involve
1) It should provide employees with job security and continuous employment.
2) It should integrate organizational needs and employee needs.
3) It should match the qualities of the employees with the requirements of the work for which they
are employed.
4) It should highlight the necessity of establishing job analysis.

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FACTORS AFFECTING RECRUITMENT :

Every organization, big or small has to engage in recruitment of persons, recruitment has two
aspects-
1) To find out the number of vacancies to be notified and the type of applicants needed to fill them.
2) To approach the potential applicants to apply for such vacancies.
No organization can recruit successfully without taking into consideration the following factors –
1) The Economic Factors –
The economic conditions of a country influence the recruitment process in all organization.
The globalization and liberalization of Indian economies since 1991 onwards has resulted in
a boom in financial services in India. As a result of the new economic policy, the demands
of well
2) The Social Factors –
These also affect the recruitment policy of an organization. Social changes in the past two decades in
India, have forced organization to commitment to broad principles such as filling vacancies
with the best-qualified individuals. It may also involve the organizational system to be
developed for implementing recruitment programme and procedure to be employed.

ELEMENTS OF GOOD RECRUITMENT POLICY :

A good recruitment policy must contain the following elements:

1) Organizational objectives : Both short term and long term organizational objectives must be taken
into consideration into consideration. Identification of recruitment needs :

2) Preferred sources of recruitment : The sources of recruitment should be identified properly.

3) Monetary aspects : The cost of recruitment and financial implications of the same have to be kept
in mind also.

PRE-REQUISITES OF GOOD RECRUITMENT POLICY

1) It should be in conformity with the general personnel policies.

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2) It should be flexible enough to meet the changing needs of the organization.
3) It should provide employees with job security and continuous employment.
4) It should integrate organizational needs and employee needs.
5) It should match the qualities of the employees with the requirements of the work for which they
are employed.
6) It should highlight the necessity of establishing job analysis.

FACTORS AFFECTING RECRUITMENT :

Every organization, big or small has to engage in recruitment of persons, recruitment
has two aspects-
1) To find out the number of vacancies to be notified and the type of applicants needed to fill them.
2) To approach the potential applicants to apply for such vacancies.
No organization can recruit successfully without taking into consideration the following factors –
1) The Economic Factors –
The economic conditions of a country influence the recruitment process in all organization.
The globalization and liberalization of Indian economies since 1991 onwards has resulted in
a boom in financial services in India. As a result of the new economic policy, the demands
of well
2) The Social Factors – These also affect the recruitment policy of an organization. Social changes
in the past two decades in India, have forced organization to place increasedemphasis on recruitment.
The mentality of modern employees has changed from just any job to a satisfying career.

3) The Technological Factors – New technology have created new jobs and existing jobs
have undergone rapid changes. Several old jobs have disappeared from the scene.
4) The Legal Factors – The different legislative policies governing child labour, night shifts,
bonded labour etc. have brought legal environment to a major factor.

PROCESS OF RECRUITMENT -
It passes through the following stages :
1) Recruitment process begins when personnel department receives requisition for recruitment from
any department of the company.

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2) Locating and developing the sources of required number and type of employees.
3) Identifying the prospective employees with required characteristics.
4) Developing the techniques to attract the desired candidates.
5) The next stage in the process is to stimulate as many candidates as possible.
6) Evaluating the effectiveness of recruitment process.

PROCESS OF RECRUITMENT COMPANY ADOPTS : SOURCES OF RECRUITMENT

Personnel
Planning
Job
Analysis
Recruitment
Planning
Searching
Evaluation
and control
Strategy
Development
Selection
Screening

–
Before an organization actively begins to recruit applicants it should consider the mostly
likely source of the type of employee it needs. Some companies try to develop new sources
while most try to tackle the existing sources they have. These sources accordingly may be
termed as internal and external.
Internal Sources –

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 This is one of the important sources of recruitment. The employees already working
in the organization may be more suitable for higher jobs than those recruited outside.
Internal sources consist of the following :

1) Present employee: Promotions and transfers among the present employees can be a
good source of internal recruitment.

2) Employee Referrals: In an organization with a large number of employees referrals can

provide quite a large pool of potential organizational members.
3) Former Employee : These are another internal source of recruitment. Some retired employees may
be willing to come back to work.
4) Previous Employees : Those who have previously applied for jobs can be contacted bymail.
External Sources :
These are as follows –
1. Advertisement
2ProfessionanOrganization
3.DataBank
4.Walkin
5.RecruitingAgencies
6.Competitors
7.DisplacedPersons
8. E-recruitment
12. Cold calling

RECRUITMENT PROCESS COMPANY ADOPTS–

1) Internalsource
2)Advertisement
3)Consultants
4) Data banks

INDUCEMENTS

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 Organizational inducements are all the positive features and benefits offered by an
organization that serves to attract job applicants to the organisation. Three inducements
need specific mention here, they are:-
.Compensation: Starting salaries, frequency of pay increases, incentives and fringe benefits can all
serve as inducements to potential employees.

Career Opportunities: These help the present employees to grow personally and professionally
and also attract good people to the organization. The feeling that the company takes care
of employee career aspirations serves as a powerful inducements to potential employees.
Image or Reputation: Factors that affect an organisation’s reputation
include its general treatment of employees, the nature and quality of its products and
services and its participation in worthwhile social endeavors.

CONSTRAINTS
If a firm has a poor image in the market, many of the prospective candidates may not
even apply for vacancies advertised by the firm. If the job is not attractive, qualified people
may not even apply. Any job that is viewed as boring, hazardous, anxiety producing, low-
paying, or lacking in promotion potential seldom will attract a qualified pool of applicants.
Recruiting efforts require money. Sometimes because of limited resources, organizations
may not like to carry on the recruiting efforts for long periods of time, this can, ultimately,
constrain a recruiter’s effort to attract the best person for the job. Government policies often
come in the way of recruiting people as per the rules of the company or on the basis of
merit/seniority, etc. For example, reservations to specific groups (such as scheduled
castes, scheduled tribes, backward castes, physically handicapped and disabled persons,
ex-servicemen, etc.) have to be observed as per constitutional provisions while filling up
vacancies in government corporations, departmental undertakings, local bodies, quasi-
government organizations, etc.

CORPORATE MISSION, OBJECTIVES, STRATEGIES AND TACTICS (MOST)

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 Corporations have started linking their Mission, Objectives, Strategies and Tactics
(MOST) to the functions of recruitment and selection. The economic liberalizations and
consequent competition through quality and services necessitated the companies to search
for and attract competent human resources. Corporations focusing on new business
development will have to seek entrepreneurial abilities, companies planning to withdraw
from diversifications must look for pragmatists and companies chasing growth alliances
should employ people comfortable in different cultural backgrounds. Above all, companies
must hire for the future, anticipating jobs that may not be in existence yet. Recruitment
managers must focus for attitudes and approaches that fit the corporate goals and culture

CENTRALISED V/s DECENTRALISED RECRUITMENT

Recruitment practices vary from one organization to another. Some organizations like
commercial banks resort to centralized recruitment while some organizations like the Indian
Railway resort to decentralized recruitment practices. Personnel department at the central
office performs all the functions of recruitment in case of centralised recruitment and
personnel
Departments at unit level/zonal level perform all the functions of recruitment
Concerning to the jobs of the respective unit or zone.

MERITS OF CENTRALISED RECRUITMENT

• Average cost of recruitment per candidate/unit should be relatively
less due to economies of scale.
• It would have more expertise available to it.
• It can ensure broad uniformity among human resources of various
Units/zones in respect of education, skill, knowledge, talent, etc.
• It would generally be above malpractices, abuse of powers,
favoritism, bias, etc.
• It would facilitate interchangeability of staff among various units/zones.

• It enables the organization to have centralized selection procedure, promotional and transfer
procedure, etc.

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• It ensures the most effective and suitable placement to candidates.
• It enables centralized training programmed which further brings
Uniformity and minimizes average cost of staff.

MERITS OF DECENTRALISED RECRUITMENT

1 The unit concerned concentrates only on those sources/places wherein
Normally gets the suitable candidates. As such the cost of recruitment
would be relatively less.
2 The unit gets most suitable candidates as it is well aware of the requirements of the job
regarding culture, traditional, family background aspects, local factors, social factors, etc.
• Units can recruit candidates as and when they are required without any delay.
• The units would enjoy freedom in finding out, developing the sources, in selecting and
employing the techniques to stimulate the candidates.
• The unit would relatively enjoy advantage about the availability of information, control and
feedback and various functions/processes of recruitment.
• The unit would enjoy better familiarity and control over the employees it recruits rather than
on employees selected by the central recruitment agency.

Both the systems of recruitment would suffer from their own demerits. Hence, the
management has to weigh both the merits and demerits of each system before making a
final decision about centralizing or decentralizing the recruitment. Alternatively
management may decentralize the recruitment of certain categories of employees
preferably middle and top level managerial personnel and centralize the recruitment of
other categories of employee’s preferably lower level positions in view of the nature of the
jobs and suitability of those systems for those categories of positions. The management
has to find out and develop the sources of recruitment after deciding upon centralizing or
decentralizing the recruitment function

INTRODUCTION SELECTION

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 The size of the labour market, the image of the company, the place of posting, the
nature of job, the compensation package and a host of other factors influence the manner
of aspirants are likely to respond to the recruiting efforts of the company. Through the
process of recruitment the company tries to locate prospective employees and encourages
them to apply for vacancies at various levels. Recruiting, thus, provides a pool of applicants
for selection.
Definition
To select mean to choose. Selection is the process of picking individuals who have
relevant qualifications to fill jobs in an organisation. The basic purpose is to choose the
individual who can most successfully perform the job from the pool of qualified candidates.
Purpose
The purpose of selection is to pick up the most suitable candidate who would meet
the requirements of the job in an organisation best, to find out which job applicant will be
successful, if hired. To meet this goal, the company obtains and assesses information
about the applicants in terms of age, qualifications, skills, experience, etc. the needs of the
job are matched with the profile of candidates. The most suitable person is then picked up
after eliminating the unsuitable applicants through successive stages of selection process.
How well an employee is matched to a job is very important because it is directly affects the
amount and quality of employee’s work. Any mismatched in this regard can cost an
organisation a great deal of money, time and trouble, especially, in terms of training and
operating costs. In course of time, the employee may find the job distasteful and leave in
frustration. He may even circulate ‘hot news’ and juicy bits of negative information about the
company, causing incalculable harm to the company in the long run. Effective election,
therefore, demands constant monitoring of the ‘fit’ between people the job.

The Process
Selection is usually a series of hurdles or steps. Each one must be successfully
cleared before the applicant proceeds to the next one. The time and emphasis place on
each step will definitely vary from one organisation to another and indeed, from job to job
within the same organisation. The sequence of steps may also vary from job to job and
organisation to organisation. For example some organisations may give more importance to

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testing while others give more emphasis to interviews and reference checks. Similarly a
single brief selection interview might be enough for applicants for lower level positions,
while applicants for managerial jobs might be interviewed by a number of people.
Reception
A company is known by the people it employs. In order to attract people with talents, skills
and experience a company has to create a favourable impression on the applicants’ right
from the stage of reception. Whoever meets the applicant initially should be tactful and able
to extend help in a friendly and courteous way. Employment possibilities must be presented
honestly and clearly. If no jobs are available at that point of time, the applicant may be
asked to call back the personnel department after some time.

SELECTION OF FINANCIAL CONSULTANT UNDERSTANDING SELECTION

PROCESS
Recruitment function helps the organization to develop a pool of prospective human
resources. It is difficult for the HR manager to employ the suitable people out of the pool.
Infact, many organizations face critical problems in choosing the people. Selection
techniques and methods reduce the complexities in choosing the right candidates for the
job. After identifying the sources of human resources, searching for prospective employees
and stimulating them to apply for jobs in an organization,

the management has to perform the function of selecting the right employees at the right
time. The obvious guiding policy in selection is the intention to choose the best person who
have good social contact. The objective of the selection decision is to choose the individual
who can most successfully perform the job from the pool of qualified candidates. The
selection procedure is the system of functions and devices adopted in a given company to
ascertain whether the candidate specifications are matched with the job specifications and
requirements or not.
The selection process can be successful if the following requirements are satisfied:
 Someone should have the authority to select. This authority comes
from the employment requisition, as developed by an analysis to the

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workload and work force.
 There must be some standard of personnel with which a prospective
employee may be compared, i.e. a comprehensive job description and
job specification should be available before hand.
 There must be a sufficient number of applicants from whom the
required number of employees may be selected.

The ability of an organization to attain its goal effectively and to develop in a dynamic
environment largely depends upon the effectiveness of its selection programme. If the right
person is selected, he is valuable asset to the organization

SELECTION PROCEDURE:
Selection procedure employs several methods of collecting information about the
candidates qualifications, experience, physical and mental ability, nature and behavior,
knowledge and aptitude for judging whether a given applicant is suitable or not for the job.
Therefore the selection procedure is not a single act but is essentially a series of methods
or stages by which different types of information can be secured through various selection
techniques. At each step facts may come to light, which are useful for comparison with the
job requirement and employee specifications
IN DETAIL EXPLANATION:
(A) JOB ANALYSIS:
Job analysis is the basis for selecting the right candidates. Every organization should
finalize the job analysis, job description, job specification and employee specifications
before proceeding to the next step of selection
essentially a series of methods or stages by which different types of information can be
secured through various selection techniques. At each step facts may come to light, which
are useful for comparison with the job requirement and employee specifications.

(B) HUMAN RESOURCE PLAN:

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Every company plans for the required number of and kind of employees for a future date. This is the
basis for recruitment function.

(c) RECRUITMENT:
Recruitment refers to the process of searching for prospective employees and stimulating
them to apply for jobs in an organization. It is the basis for the remaining technologies of
the screening the candidates in order to select the appropriate candidates for the jobs
.
(D) DEVELOPMENT OF BASES FOR SELECTION:
The company has to select the appropriate candidates from the pool of applicants. The
company develops or borrows the appropriate bases/techniques for screening the
candidates in order to select the appropriate candidates for the jobs.

(E) APPLICATION FORM:

Application form is also known as application blank. The techniques of application blank are
traditional and widely accepted for securing information from the prospective candidates. It
can also be used as a device to screen the candidates at the preliminary level. Many
companies formulate their own style of application forms depending upon the requirement
of
information based on the size of the company, nature of business activities, type and level
of the job etc. Information is generally required on the following items in the application
forms:
 Personal background
 Educational qualifications
 Work experience
 Salary (drawing and expecting)
 Personal attainments including likes and dislikes
 References
F) WRITTEN EXAMINATION:

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Organizations have to conduct written examination for the qualified candidates after they are
screened on the basis of the application blanks so as to measure the candidate s ability in arithmetical
calculations, to know the candidate s attitude towards the job, to measure the candidate s aptitude,
reasoning, knowledge in various disciplines, general knowledge and English language.

(G) PRELIMINARY INTERVIEW:

The preliminary interview is to solicit necessary information from the prospective applications and to
assess the applicant s suitability to the job. An assistant in the personnel department may conduct this
preliminary interview. The information thus provided by the candidate may be related to the job or
personal specifications regarding education, experience, salary expectations, attitude towards job,
age, physical appearance and other requirements etc. Thus, preliminary interview is useful as a
process of eliminating the undesirable and unsuitable candidates. If a candidate satisfies the job
requirements regarding most of the areas, he may be selected for further process. Preliminary
interviews are short and known as stand up interviews or sizing up of the applicants or screening
interviews. However, certain required amount of care is to be taken to ensure that the desirable
workers are not eliminated. This interview is also useful to provide the basic information about the
company to the candidate.

(H) BUSINESS GAMES:

Business games are widely used as a selection technique for selecting management trainees,
executive trainees and managerial personnel at junior, middle and top management positions.
Business games help to evaluate the applicants in the areas of decision-making, identifying the
potentialities, handling the situations, problem- solving skills, human relations skills etc. participants
are placed in a hypothetical work situation and are required to play the role situations in the game.
The hypothesis is that the most successful candidate in the game will be most successful one on the
job
.
GROUP DISCUSSION is used in order to secure further information regarding the suitability of the
candidate for the job. Group discussion is a method where groups of the successful applicants are
brought around a conference table and are asked to discuss either a case study or subject

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matter. The candidates in the group are required to analyze, discuss, find alternative solutions and
select the sound solution. A selection panel then observes the candidates in the areas of initiating the
discussion, explaining the problem, soliciting unrevealing information based
on the given information and using common sense, keenly observing the discussion of others,
clarifying controversial issues, influencing others, speaking effectively, concealing and mediating
arguments among the participants and summarizing or concluding aptly.

The selection panel, based on its observation, judges the candidate s skill and ability and ranks them
according to their merit.
In some cases, the selection panel may also ask the candidates to write the summary of the group
discussion in order to know the candidate s writing ability as well.

Types of test:
Tests are classified into six classes, each class is again divided into different types of tests.
They are:

APTITUDE TESTS:

These tests measure whether an individual has the capacity or latent ability to learn a given
job if given adequate training. Aptitudes can be divided into general and mental ability or
intelligence and specific aptitudes such as mechanical, clerical, manipulative capacity etc.
General aptitude test is of two types namely intelligence quotient (IQ) and emotional
quotient (EQ).

(1) Skill tests:

These tests measure the candidate s ability to do a job perfectly and intelligently. These
tests are useful to select the candidates to perform artistic jobs, product design, design of

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tools, machinery etc. The candidates can be selected for assembly work, testing and
inspection also.

(2) Mechanical aptitude tests:

These tests measure the capabilities of spatial visualization, perceptual speed and
knowledge of mechanical matter. These tests are useful for selecting apprentices, skilled,
mechanical employees, technicians etc.
(3) Psychomotor tests:
These tests measure abilities like manual dexterity, motor ability and eyehand coordination
of candidates. These tests are useful to select semi-skilled workers and workers for
repetitive operations like packing and watch assembly.
(4) Clerical aptitude tests:
These types of tests measure specific capacities involved in office work. Items of this tests
include spelling, computation, comprehension, copying, word measuring etc.

ACHIEVEMENT TESTS:
These tests are conducted when applicants claim to know something as these tests are
concerned with what one has accomplished. These tests are more useful to measure the
value of a specific achievement when an organization wishes to employ experienced
candidates. These tests are classified into (a) job knowledge test and (b) work sample test.
Thus, the candidate s achievement in his career is tested regarding his knowledge about
the job and actual work experience.

SITUATIONAL TESTS:
This test evaluates a candidate s in a similar real life situation. In this test the candidate is
asked either to cope with the situation or solve critical situations of the job.

(1) Group discussion:

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This test is administered through the group discussion approach to solve a problem under
which candidates are observed in the areas of initiating, leading, proposing valuable ideas,
conciliating skills, oral communicating skills, coordinating and concluding skills.

(2) In basket:
Situational test is administered through in basket method. The candidate in this test is
supplied with actual letters, telephone and telegraphic message,reports and requirements
by various officers of the organization, adequate information about the job and organization.
The candidate is asked to take decisions on various items based on the in basket
information regarding requirements in the memoranda.

INTEREST TESTS:
These tests are inventories of the likes and dislikes of candidates in relation to work, job,
occupations, hobbies and recreational activities. The purpose of this test is to find out
whether a candidate is interested or disinterested in the job for which he is a candidate and
to find out in which area of the job range/occupation the candidate is interested. The
assumption of this test is that there is a high correlation between the interest of a candidate
in a job and job success. Interest inventories are less faked and they may not fluctuate after
the age of 30
.
PERSONALITY TESTS:
These tests prove deeply to discover clues to an individual s value system, his emotional
reactions and maturity and characteristic mood. They areexpressed in such traits like self-
confidence, tact, distrust, initiative, emotional control, optimism, decisiveness, sociability,
conformity,objectivity, patience, fear, judgment dominance or submission, impulsiveness,
sympathy, integrity, stability and self-confidence.
(1) Objective tests: Most personality tests are objective tests as they are suitable for group
testing and can be scored objectively.

(2) Projective tests:

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Candidates are asked to project their own interpretation of certain standard stimulus basing
on ambiguous pictures, figures etc. under these tests. Personality tests have disadvantages
in the sense that sophisticated candidates can fake them and most candidates give socially
acceptable
answers. Further, personality inventories may not successfully predict job success. A
number of corrective measures tried as personality inventories are widely subject to faking.
They are:

 Forced choice of Edward s personnel preference schedule.

 Gordon personal profile.

 The Minnesota Multi-phasic Inventory offers different methods forIdentifying faking. The faking

can be countered by repeating the same question in different parts to measure consistency.

MULTI-DIMENSIONAL TESTING:
However, the need for multi-skills is being felt be most of the companies consequent upon
globalization, competitiveness and the consequent customer-centered strategies.
Organization have to develop multidimensional testing in order to find out whether the
candidates possess a variety of skills or not, candidate s ability to integrate the multi-skills
and potentiality to apply them based on situational and functional requirement.

J) INTERVIEW:
Final interview follows after tests. This is the most essential step in the process of selection.
In this step the interviewer matches the information obtained about the candidate through
various means to the job requirements and to the information obtained through his own
observation during the interview. The different types of interviews are:

PRELIMINARY INTERVIEW:
(1) Informal interview:
This is the interview, which can be conducted at any place by the person to secure the
basic and non-job related information. The interaction between the candidate and the
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personnel manager when the former meets the latter to enquire about the vacancies or
additional particulars in connection with the employment advertisement is an example of
the informal interview.
2) Unstructured interview:
In this interview, the candidate is given the freedom to tell about himself by revealing his
knowledge on various items/areas, his background, expectations, interest etc. Similarly, the
interviewer also provides information on various items required by the candidate.

CORE INTERVIEW:
It is normally the interaction between the candidates and the line executive or experts on
various areas of job knowledge, skill, talent etc. This interview may take various forms like:
(1)Background information interview This interview is intended to collect the information
which is not available in the application blank and to check that information provided in the
application blank regarding education, place of domicile, family, health, interest, hobbies,
likes, dislikes and extra curricular activities of the applicant.

(2) Job and probing interview:

This interview aims at testing the candidate s job knowledge about duties, activities,
methods of doing the job, critical/problematic areas, methods of handling those areas etc.

(3) Stress interview:

This interview aims at testing the candidate s job behavior and level of understanding
during the period of stress and strain. The interviewer tests candidate by putting him under
stress and strain by interrupting the applicant from answering, criticizing his opinions,
asking questions pertaining to unrelated areas, keeping silent for unduly long periods after
he has finished
speaking etc. Stress during the middle portion of the interview gives effective results. Stress
interview must be handled with utmost care and skills. This type of interview is often invalid,
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as the interviewer s need for a job and his previous experience in such type of interviews
may inhibit his actual behavior under such situations.
(4) Group discussion interview: There are 2 methods of conducting group discussion
interviews, viz. group interview method and discussion interview method. All the candidates
are
brought into one room and are interviewed one by one under group interview. This method
helps a busy executive to save valuable time and gives a fair account of the objectivity of
the interview to the candidates. Under the discussion interview method, one topic is given
for discussion to the candidates who assemblein one room and they are asked to discuss the topic in
detail. This type of interview helps the interviewer in appraising certain skills of the candidates
like initiative, inter-personal skills, dynamism, presentation, leading, comprehension,
collaboration etc. Interviewers are at ease in this category of interview because of its
informality and flexibility.
(5) Formal and structured interview:
In this type of interview, all the formalities, procedures like fixing the value, time, panel of
interviewers, opening and closing, intimating the candidates officially etc. are strictly
followed in arranging and conducting interview. The course of the interview is preplanned
and structured, in advance, depending on job requirements
(6) Panel interview:
A panel of experts interviews each candidate, judges his performance individually and
prepares consolidated judgment. This type of interview is known as panel interview.
Interviewers for middle level and senior level mangers are normally conducted are the
panel of experts.
(7) Depth interview:
In this interview, the candidate would be examined extensively in core areas of job skills
and knowledge. Experts test the candidate s knowledge in depth. Depth interviews are
conducted for specialist jobs.

22
DECISION-MAKING INTERVIEW:
After the experts including the line managers of the organization in the core areas of the job
examine the candidates, the head of the department/section concerned interviews the
candidates once again, mostly through informal discussion. The interviewer examines the
interest of the candidate in the job, organization
Reaction adaptability to the working complaining, promotional opportunities, work adjustment
and allotment etc. The personnel manger also interviews the candidates with a view to find
out his reaction/acceptance regarding salary, allowances, benefits, promotions,
opportunities etc. The head of the department and the personnel manager exchange the
view and then they jointly inform their decision to the chairman of the interview board, which
finally makes the decision about the candidate s performance and their ranks in the
interview. Most of the organizations have realized that employee s positive attitude matters
much rather than employee s skill and knowledge. Employees with positive attitude
contribute much to the organization. Hence, interviewers look for the candidates with the
right attitude while making final decision.

(K) MEDICAL EXAMINATION:

Certain jobs require certain physical qualities like clear vision, perfect hearing unusual
stamina, tolerance of hardworking conditions, clear tone etc. Medical examination reveals
whether or not a candidate possesses these qualities. Medical examination can give the following
information:
 Whether the applicant is medically suited for the specific job
 Whether the applicant has health problems or psychological attitudes
likely to interfere with work efficiency or future attendance.
 The offer. Whether the applicant suffers from bad health which should be corrected before he
can work satisfactorily
 It reveals the applicant s physical measurements and
 It is used to check the special senses of the candidates.

23
(L) REFERENCE CHECKS:

dition,careerAfter completion of the final interview and medical examination, the personnel
department will engage in checking references. Candidates are required to give the names
of references in their application forms. These references may be from the individuals who
are familiar with the candidates academic achievement or form the applicant s previous
employer, who is well versed with the applicant s job performance, and sometimes from
coworkers. Incase the reference check is from the previous employer; information for the
following areas may be obtained. They are job title, job description, and period of
employment, pay and allowances, gross emoluments, benefits provided, rate of absence,
willingness of the previous employer to employ the candidate again and soonFurther,
information regarding candidate s regularity at work, character, progress etc. can be
obtained.
Often a telephone call is much quicker. The method of mail provides detailed information
about the candidate s performance, character and behavior. However, a personal visit is
superior to the mail and telephone methods and is used where it is highly essential to get
the detailed, actual
information, which can also be secured by observation. Reference checks are taken as a
matter of routine and treated casually or omitted entirely in many organizations. But a good
reference check used sincerely will fetch useful and reliable information to the organization.

(M) FINAL DECISION BY THE LINE MANAGER:

The line manager concerned has to make the final decision whether to select or reject a
candidate after soliciting the required information through techniques discussed earlier. The
line manager has to take much care in taking the final decision not only because of
economic implications but alsobecause of behavioral and social implications. A careless
decision of rejecting would impair the morale of the people and they would suspect the
selection procedure and the basis of selection of this organization. A true understanding
between line managers andpersonnel managers should be established to take proper decisions.
(N) JOB OFFER:
24
Thus, after taking the final decision, the organization has to intimate this decision to the
successful as well as unsuccessful candidates. The organization offers the job to the
successful candidates either immediately or after some time depending upon its time
schedule. The candidate after receiving job offer communicates his acceptance to the offer
or requests the company to modify the terms and conditions of employment or rejects the
offer.

RECRUITMENT AND SELECTION AT SBI LIFE INSURANCE

Recruitment is the process of attracting prospective candidates who are likely to get
selected. Recruitment process starts with the drafting of advertisement for the required post
mentioning the name of the post, qualifications required, place of posting etc. the
advertisement is released in all major and national newspaper across the country. Not only
print media, but other media like internet is also used for posting the advertisement.
Placement agencies and educational institutions are considered if the requirements are for
fresh graduates. Employee references by are also encouraged. After receiving the
applications, it is initially screened by HR division based on minimum requirements and
qualifications prescribed for the post. Screened applications from HR division are sent to
respective divisional heads for their screening in case of applications for higher posts.
Selection is the process of selecting right candidates from the list of prospective
candidates. Selection process involves tests, interviews, group discussions, psychometric
tests or a combination of these depending on the nature or sensitivity of the level and the
post. For technical posts, tests are used as elimination means while for some other posts
like management trainee, tests are not used as elimination means. The shortlisted
candidates are called for the final interview. Regret letters are sent to those who are not
shortlisted. Background checking of the shortlisted candidates is done to ensure that they
will fit with the culture of the organization. Job offers are made to the selected candidates
and they are asked to give their confirmation that they accept the job offer. On receiving
their confirmation, appointment letter is prepared by personnel and administration division

25
and given to the candidate at the time of joining. Salary offer is a part of Human resource
division while personnel and administration division handles salary administration.
57

26
 Chapter-2

COMPANY PROFILE

27
 Chapter-2

COMPANY PROFILE

The roots of the State Bank of India lie in the first decade of the 19th century,

when the Bank of Calcutta, later renamed the Bank of Bengal, was established on

2 June 1806. The Bank of Bengal was one of three Presidency banks, the other

two being the Bank of Bombay (incorporated on 15 April 1840) and the Bank of

Madras (incorporated on 1 July 1843). All three Presidency banks were

incorporated as joint stock companies and were the result of royal charters. These

three banks received the exclusive right to issue paper currency till 1861 when,

with the Paper Currency Act, the right was taken over by the Government of India.

The Presidency banks amalgamated on 27 January 1921, and the re-organised

banking entity took as its name Imperial Bank of India. The Imperial Bank of

India remained a joint stock company but without Government participation.

Pursuant to the provisions of the State Bank of India Act of 1955, the Reserve

Bank of India, which is India's central bank, acquired a controlling interest in the

Imperial Bank of India. On 1 July 1955, the Imperial Bank of India became the

28
State Bank of India. In 2008, the government of India acquired the Reserve Bank

of India's stake in SBI so as to remove any conflict of interest because the RBI is

the country's banking regulatory authority.

In 1959, the government passed the State Bank of India (Subsidiary Banks) Act,

which made eight state banks associates of SBI. A process of consolidation began

on 13 September 2008, when the State Bank of Saurashtra merged with SBI.

SBI has acquired local banks in rescues. The first was the Bank of Bihar (est.

1911), which SBI acquired in 1969, together with its 28 branches. The next year

SBI acquired National Bank of Lahore (est. 1942), which had 24 branches. Five

years later, in 1975, SBI acquired Krishnaram Baldeo Bank, which had been

established in 1916 in Gwalior State, under the patronage of Maharaja Madho Rao

Scindia. The bank had been the Dukan Pichadi, a small moneylender, owned by

the Maharaja. The new bank's first manager was Jall N. Broacha, a Parsi. In 1985,

SBI acquired the Bank of Cochin in Kerala, which had 120 branches. SBI was the

acquirer as its affiliate, the State Bank of Travancore, already had an extensive

network in Kerala.

29
The State Bank of India and all its associate banks are identified by the same

blue keyhole logo. The State Bank of Indiawordmark usually has one standard

typeface, but also utilises other typefaces.

On October 7, 2013, Arundhati Bhattacharya became the first woman to be

appointed Chairperson of the bank.[6]

Operations

SBI provides a range of banking products through its network of branches in India

and overseas, including products aimed at non-resident Indians (NRIs). SBI has 14

regional hubs and 57 Zonal Offices that are located at important cities throughout

India.
Domestic presence

SBI has 14,816 branches in India, as on 31 March 2013, of which 9,851 (66%)

were in Rural and Semi-urban areas.[1] In the financial year 2012-13, its revenue

was INR 200,560 Crores (US$36.9 billion), out of which domestic operations

contributed to 95.35% of revenue. Similarly, domestic operations contributed to

88.37% of total profits for the same financial year.[1]

Under the Pradhan Mantri Jan Dhan Yojana of financial inclusion launched by

Government in August 2014, SBI held 11,300 camps and opened over 30 lakhs

30
accounts by September, which included 21.16 lakh accounts in rural areas and 8.8

lakh accounts in urban areas.

International presence

The Israeli branch of the State Bank of India located in Ramat Gan.

As of 28 June 2013, the bank had 180 overseas offices spread over 34 countries. It

has branches of the parent in Moscow, Colombo, Dhaka, Frankfurt, Hong

Kong,Tehran, Johannesburg, London, Los Angeles, Male in the Maldives, Muscat,

Dubai, New York, Osaka, Sydney, and Tokyo. It has offshore banking units in

the Bahamas, Bahrain, and Singapore, and representative offices

in Bhutan and Cape Town. It also has an ADB in Boston, USA.

The Canadian subsidiary, State Bank of India (Canada) also dates to 1982. It has

seven branches, four in the Toronto area and three in the Vancouver area.

SBI operates several foreign subsidiaries or affiliates. In 1990, it established an

offshore bank: State Bank of India (Mauritius). SBI (Mauritius) has 15 branches in

major cities/towns of the country including Rodrigues.

31
State Bank of India Branch at Jaffna,Sri Lanka

SBI Sri Lanka now has three branches located in Colombo, Kandy and Jaffna. The

Jaffna branch was opened on 9 September 2013. SBI Sri Lanka, the oldest bank

inSri Lanka, celebrated its 150th year in Sri Lanka on 1 July 2014.

State Bank of India (S.B.I.) Branch at Tsim Sha Tsui, Hong Kong

In 1982, the bank established a subsidiary, State Bank of India (California), which

now has ten branches – nine branches in the state of California and one in

Washington, D.C. The 10th branch was opened in Fremont, California on 28

March 2011. The other eight branches in California are located in Los Angeles,

Artesia, San Jose, Canoga Park, Fresno, San Diego, Tustin and Bakersfield.

32
In Nigeria, SBI operates as INMB Bank. This bank began in 1981 as the Indo-

Nigerian Merchant Bank and received permission in 2002 to commence retail

banking. It now has five branches in Nigeria.

In Nepal, SBI owns 55% of Nepal SBI Bank, which has branches throughout the

country. In Moscow, SBI owns 60% of Commercial Bank of India, with Canara

Bankowning the rest. In Indonesia, it owns 76% of PT Bank Indo Monex.

The State Bank of India already has a branch in Shanghai and plans to open one

inTianjin.[8]

In Kenya, State Bank of India owns 76% of Giro Commercial Bank, which it

acquired for US$8 million in October 2005.[9]

Associate banks[edit]

Main Branch of SBI in Mumbai.

SBI has five associate banks; all use the State Bank of India logo, which is a blue

circle, and all use the "State Bank of" name, followed by the regional

headquarters' name:

33
 State Bank of Bikaner & Jaipur

 State Bank of Hyderabad

 State Bank of Mysore

 State Bank of Patiala

 State Bank of Travancore

Earlier SBI had seven associate banks, all of which had belonged to princely

statesuntil the government nationalised them between October 1959 and May

1960. In tune with the first Five Year Plan, which prioritised the development of

rural India, the government integrated these banks into State Bank of India system

to expand its rural outreach. There has been a proposal to merge all the associate

banks into SBI to create a "mega bank" and streamline the group's operations.[10]

The first step towards unification occurred on 13 August 2008 when State Bank of

Saurashtra merged with SBI, reducing the number of associate state banks from

seven to six. Then on 19 June 2009 the SBI board approved the absorption of State

Bank of Indore. SBI holds 98.3% in State Bank of Indore. (Individuals who held

the shares prior to its takeover by the government hold the balance of 1.77%.)[11]

The acquisition of State Bank of Indore added 470 branches to SBI's existing

network of branches. Also, following the acquisition, SBI's total assets will inch

34
very close to the 10 trillion mark (10 billion long scale). The total assets of SBI

and the State Bank of Indore stood at 9,981,190 million as of March 2009. The

process of merging of State Bank of Indore was completed by April 2010, and the

SBI Indore branches started functioning as SBI branches on 26 August 2010.[12]

State Bank of India Mumbai LHO.

Non-banking subsidiaries[edit]

Apart from its five associate banks, SBI also has the following non-banking

subsidiaries:

 SBI Capital Markets Ltd

 SBI Funds Management Pvt Ltd

 SBI Factors & Commercial Services Pvt Ltd

 SBI Cards & Payments Services Pvt. Ltd. (SBICPSL)

 SBI DFHI Ltd

 SBI Life Insurance Company Limited

 SBI General Insurance

35
In March 2001, SBI (with 74% of the total capital), joined with BNP Paribas (with

26% of the remaining capital), to form a joint venture life insurance company

named SBI Life Insurance company Ltd. In 2004, SBI DFHI (Discount and

Finance House of India) was founded with its headquarters in Mumbai.

Other SBI service points

As of 31 March 2014: SBI has 43,515 ATMs and SBI group (including associate

banks) has 51,491 ATMs. SBI has become the first bank to install an ATM at Drass

in the Jammu & Kashmir Kargil region. This was the Bank's 27,032nd ATM on 27

July 2012.

Logo and slogan

 The logo of the State Bank of India is a blue circle with a small cut in the
bottom that depicts perfection and the small man the common man - being the
center of the bank's business. The logo came from National Institute of
Design(NID), Ahmedabad and it was inspired by Kankaria Lake, Ahmedabad.
 Slogans: "PURE BANKING, NOTHING ELSE", "WITH YOU - ALL
THE WAY", "A BANK OF THE COMMON MAN", "THE BANKER TO
EVERY INDIAN", "THE NATION BANKS ON US"

36
Listings and shareholding[edit]

As on 31 March 2014, Government of India held around 58.60% equity shares in

SBI. Life Insurance Corporation of India is the largest non-promoter shareholder in

the company with 14.99% shareholding.

Shareholders Shareholding[14]
Promoters: Government of India 58.60%
Banks & Insurance Companies 16.79%
FIIs/GDRs/OCBs/NRIs 12.04%
Mutual Funds & UTI 03.78%
Private Corporate Bodies 02.87%
Others 5.92%
Total 100.0%

The equity shares of SBI are listed on the Bombay Stock Exchange,[15] where it is a
constituent of the BSE SENSEX index,[16]and the National Stock Exchange of
India,[17] where it is a constituent of the S&P CNX Nifty.[18]
Its Global Depository Receipts (GDRs) are listed on the London Stock Exchange.
[19]

Employees[edit]

SBI is one of the largest employers in the country having 222,033 employees as on
31 March 2014, out of which there were 45,132 female employees (20%) and
2,610 (1%) employees with disabilities. On the same date, SBI had 42,744
Schedule Caste (19%) and 17,243 Schedule Tribe (8%) employees. The
percentage of Officers, Assistants and Sub-staff was 36%, 46% and 18%
respectively on the same date Hiring drive: 1,776 Assistants and 1,394 Officers
joined the Bank in FY 2013-14, for expansion of the branch network and to
mitigate staff shortage, particularly at rural and semi-urban branches. Staff
productivity: As per its Annual Report for FY 2013-14, each employee contributed
net profit of INR 4.85 lakhs.

37
Recent awards and recognitions[edit]

 SBI won the Best Bank award in the 'ASiAMONEY FX POLL OF POLLS
2014’ for best overall performance as domestic provider of Forex services over
the last 10 years.[20]
 SBI was ranked as the top bank in India based on tier 1 capital by The
Banker magazine in a 2014 ranking.[21]
 SBI was ranked 298th in the Fortune Global 500 rankings of the world's
biggest corporations for the year 2012.[2]
 SBI won "Best Public Sector Bank" award in the D&B India's study on
'India's Top Banks 2013'.[22][23]
 State Bank of India won three IDRBT Banking Technology Excellence
Awards 2013 for “Electronic Payment Systems”, “Best use of technology for
Financial Inclusion”, and “Customer Management & Business Intelligence” in
the large bank category.[24]
 SBI won National Award for its performance in the implementation of
Prime Minister’s Employment Generation Programme (PMEGP) scheme for
the year 2012.[25]
 Best Online Banking Award, Best Customer Initiative Award & Best Risk
Management Award (Runner Up) by IBA Banking Technology Awards 2010

 SKOCH Award 2010 for Virtual corporation Category for its e-payment
solution
 SBI was the only bank featured in the "top 10 brands of India" list in an
annual survey conducted by Brand Finance andThe Economic Times in 2010.
[26]

 The Bank of the year 2009, India (won the second year in a row) by The
Banker Magazine
 Best Bank – Large and Most Socially Responsible Bank by the Business
Bank Awards 2009
 Best Bank 2009 by Business India

 The Most Trusted Brand 2009 by The Economic Times.

 SBI was named the 29th most reputed company in the world according to
Forbes 2009 rankings[27]
 Most Preferred Bank & Most preferred Home loan provider by CNBC

 Visionaries of Financial Inclusion By FINO

 Technology Bank of the Year by IBA Banking Technology Awards

38
PRODUCT RANGE

39
 PRODUCT RANGE

 SALARY ACCOUNT

 SAVING ACCOUNT

 CURRENT ACCOUNT

 FIXED DEPOSIT

 DEMAT ACCOUNT

 SAFE DEPOSIT ACCOUNT

40
SALARY A/C

There are three type of product code in salary account .product code 105 is basically

employees of the regular organization, they are not provided with instant kit and those

how are provided with instant kit there product code is 154, for the premium customer the

product code is 114 and those how are provided with instant kit they have the product

code of116, product code 120 is only defense person organization/department. If product

code 120 account holders want to a debit card then they have to pay Rs.100 per annum.

Branch code for Lucknow Hazratganj Branch is 078

With SBI BANK Bank’s Salary Account, costumer receives an array of rewards with

their monthly pay. All at no extra cost to customer.

Their employees get privileged services that help them achieve even more

 Direct Salary Credits – Their employee need not go to the band ,deposit their cheques

and wait for it to be cleared .Their salary is automatically credited to their accounts

 Interbranch/Intercity Banking at 142 branches and over 360 ATMs

 No minimum Balance to be maintained in the account to avail of these benefits

Interbranch/Intercity Banking: - Costumer can use any of SBI BANK BANK

branches/ ATMs across 111 cities in India, no matter where their

Account is held e.g. costumer may open their account in Pune and can operate this

account the next time costumer travel to Bangalore or for that matter from any other city.

41
Also no need to open a new account when costumer gets transferred to another city where

SBI BANK BANK has a branch.

ATM 24-hour Banking: - Over 675 ATMs across 111 cities enable costumer to withdraw

up to Rs.15, 000 a day.

Free International Debit Card: - It’s like an ATM Card that costumer can shop with

and make payments at 25,000 outlets in India and 10 million worldwide. Costumer can

also withdraw money from over 5.6 lakhs Maestro/visa/Plus/cirrus ATMs, in 140

countries.

SBI BANK BANK also waives the annual fee for one additional card per account for the

first year.

Free Demand Drafts: Customers can avail of free demand drafts up to Rs.25, 000/- per

instrument payable at any city where SBI BANK BANK have branches.

Free Phone Banking: - This 24- hour’s facility enables customer to conduct a range of

banking transactions with just a call on to the no. 0522-4003333

Free net Banking: - Customer can now bank at the click of a mouse, backed by the

highest level 128-bit security.

42
Free Mobile Banking: - Customer can even conduct a range of banking transactions

over a mobile phone, using SMS facility or a WAP activated phone.

Free Personalized Cheque Book: - Their employees get personalized Cheque book with

the name of the account holder printed on the cheque leaves.

Free Payable At Par Cheque Book:- Employees of the premium organization will get

cheque books which are localized all over INDIA.

Sweep-in Account: - This facility is a fixed deposit linked to savings account. So even if

funds are short in the savings account that entire customers have to do is just issue a

Cheque. The money is automatically

Swept in from the fixed deposit into the savings account. The balance amount continues

to earn high interest rate.

Super Saver Account: - This account gives customer an overdraft facility of unto 75%

of the Fixed Deposit in times of emergency. Customer can access their funds either

through an ATM or by issuing a Cheque, while the Fixed Deposit continues to earn high

interest rate.

43
Free Collection of Outstation Cheques: This account entitles customer to free

collection of outstation cheques drawn on all cities where SBI BANK BANK have

branches.

(2) How else do customer benefit from SBI BANK Bank’s Salary Account?

With SBI BANK BANK Salary Account, customer enjoys a number of privileged value

added services such as:

Direct Salary Credits: - Customer salary is automatically credited to their account. All

customer have to do is inform their payroll department of their SBI BANK Bank Salary

Account number.

Demat Account: Customer can enjoy paperless trading, by opening a Demat account.

Joint Account facility: - Customer can open a joint account by opening a Demat account

Personalized Cheque Book: Customer get a personalized cheque boom with the name

of all the account holder (S) printed on the cheque leaves.

At Par Cheque Book: Customer get at par cheque books which are treated local all over

India.

44
SAVING ACCOUNT
The e-Age Saving Account from SBI BANK Bank brings customer a comprehensive

range of products and services. Each one is designed to minimize their effort,

making it much simpler for you to do their banking. SBI BANK BANK now have

211 branches in 110 cities and over 650 ATMs across the country. Add to this an

international network of over 6.5 lakhs ATMs which customer can access with their

international Debit Card. That’s world class banking for customer.

Free 24 hour ATM:- Customer can withdraw up to Rs. 10,000 per day from any of
SBI BANK BANK extensive network of over 650 ATMs across 110 cities all over the

country. Customer can also deposit cash/cheques, get an account balance, request for a

cheque book and transfer funds, all at the push of a few buttons. This amazing facility is

available 24 hours a day 365 days a year.

Rs. 15,000 per day with their Debit Card.

Free Net Banking: - SBI BANK BANK convenient Net banking facility will open up
a whole amount of services for customer at just the click of a mouse. Customer can:

 Check their upto the minute account balance etc.

 Open a Fixed Deposit.

 Get a Demand Draft

 Make a TDS inquiry

 Request a stop payment on a cheque

 Request for a new cheque boom

 Transfer funds within their own accounts
 Carry out third party transfer of funds

45
International Debit Card: The SBI BANK Bank international Debit Card lets
customer shop and also withdraws money from SBI BANK BANK ATM network. With

SBI BANK BANK’S international Debit Card, customer can shop at 18,000

establishments in India and over 100 Lakhs establishments in 140 countries. Customer

can also withdraw cash from over 1600 VISA/Plus ATMs in India and 605 Lakhs ATMs

in 140 countries. The amount customer spend on their card will be automatically debited

from their Savings Account. So when customer go shopping customer don’t have to carry

cash!

Interbranch/intercity Banking:- Customer can access their account from any of

the 211 branches in 110 cities and over 650 ATMs across the country. So customer can

withdraw cash from another branch, through a self-cheque or an ATM. Customer could

also transfer funds between two accounts, or deposit a local cheque in one branch and get

is credited to their account in another city.

NOTE: - On receiving Costumer instruction to pay their bill, the bill amount will be

deducted form customer account.

Free Phone Banking: - SBI BANK Bank’s 24 hour Phone Banking service lets
customer conduct a wide range of banking transactions from the comfort or their home of

office.

46
Phone No. 0522-4003333

Customer can:-

 Get their account details

 Ask for a cheque book or a statement

 Open a Fixed Deposit

 Transfer money within their own accounts

 Order a Demand Draft

 Stop cheque payment, etc.

Now customer can do all their banking activities through the phone.

All this for an average quarterly balance of just Rs. 5000.

47
CURRENT ACCOUNT

At SBI BANK Bank, SBI BANK BANK understand that running a business requires

time and money, also that their business needs are constantly evolving. That’s where SBI

BANK BANK comes in. SBI BANK BANK provides customer with a choice of Current

Account options to exclusively suit their business whatever the size scope.

Take Costumer pick!

Customer can choose the Current Account that works best for their specific business

needs.

1. Regular Current Account

The regular Current Account requires an average quarterly balance of Rs.10, 000 only.

Besides the free ATM card and easy accessibility, their first 50 cheque leaves are offered

free.

2. Premium Current Account

Their account can be operated from any of the branches for depositing of withdrawing

money. A Premium Current Account requires an average balance of only Rs. 25.000 per

quarter. Moreover, for premium Current Account holders cheque leaves are free.

48
Free Services offered to Regular and premium current Account holders:

 One ATM card per account (only for individuals/Sole Proprietorships).

 Replacement in case of damaged cards.

 Monthly statement.

 Online, real-time Net Banking.

 24 hours Phone Banking access (please check for availability in their city,).

3. SBI BANK Bank Trade

It is a Current Account ideal for small funds transfer across various cities in the country.

Trade Account is suitable for small businessmen and traders.

Features offered to SBI BANK Bank Trade Account holders:-

 At par payable cheques.

 Free inter-city Funds Transfers up to Rs. 25 lacs.

 Free Pay Orders

 Free Demand Drafts Payable on SBI BANK Bank locations upto 30 per quarter.

(Check with branch for value limits).

ATM card for individuals/Sole Proprietorships. Free online, real time Net Banking.

24-hour Phone Banking access (please check for availability in their city).

A Trade Current Account requires an average quarterly balance of only Rs. 40,000.

49
4. SBI BANK Bank Plus

Single Account, Multi-city Banking

If their business regularly requires customer to receive and send funds to various cities in

the country, SBI BANK Bank Plus provides customer with the means to facilitate such

transactions efficiently.

With just one account, customer have access to more that 111 cities in the country. In

other words, the power of a single account and multi-city banking. This results in huge

savings on inter-city movement of funds and other service charges.

Furthermore, SBI BANK BANK strategic alliance with Chase Manhattan Bank gives

customer the advantage of competitive rats for trade finance

And faster inward/outward remittances. The average balance requirement for the SBI

BANK Bank Plus account is Rs. 100,000 per quarter.

50
FIXED DEPOSIT
Super save account

(A temporary overdraft against their fixed Deposit)

Would not it be great to earn a high interest on their Fixed Deposit and at the same time

enjoy the liquidity associated with a Saving account/ Get their self the SBI BANK Bank

Super Save Account and that’s exactly what customer will have.

How do I benefit from the Super Save Account?

Maximum Liquidity

Their Super Saver Account allows customer to issue cheques and use and ATM card for

withdrawals, just like Savings Account. Customer can access their account from any of

SBI BANK BANK 211 branches or over 650 ATMs spread across India. Even in an

emergency, customer need not break their fixed Deposit to withdraw money. So customer

get their money whenever customer need it.

51
Easy operation

Customer can open a supersaver Account with nominal sum of just Rs. 25,000 and enjoy

a temporary withdrawal limit of upto 75% of their deposit Even after customer withdraw

a part of their limit; their entire deposit continues to earn a high rate of interest, i.e. their

deposit in not broken. Customer are required to pay an overdraft interest that is 2% more

than the interest earned by their Fixed Deposit for the amount of overdraft, and only for

the period for which customer use the money. Besides, customer can take an overdraft by

simply using a cheque of through an ATM. Isn’t that great?

 For overdraft limits greater than Rs. 2 Lakhs, overdraft interest will be charged at

the Bank’s Prime Lending Rate (PLR).

High yield

Customer can choose any account plan between 6 months and 5 years for their Super

Saver Account. SBI BANK BANK personal Bankers will give customer expert advice on

the best possible account plan yielding the most attractive interest, depending on their

needs.

Better Returns that a Savings Account

Even if customer withdraw unto 70% of their Supersaver Account on day one and do not

put it back for a year, customer still earn more than customer would through a Saving

Account. Incredible isn’t it?

For example, let us assume that the interest on a 3-year deposit is 10% p.a. and customers

have a Fixed Deposit of Rs. 50,000 with the bank. If customer withdraw Rs.10, 000 from

52
their Super Saver Account, their earnings in a year will be:

Customers earn Rs. 5000@ 10% p.a.on Rs.50, 000.

Customers are charged Rs. 1,200@ 12% for the year.

Therefore, the net interest customer earn is Rs. 3, 8000

Thus, customer earns Rs. 3,800 on a balance of Rs. 40,000 in their Super Saver Account.

On the other hand, customer would earn only Rs. 1,600 (@ 4% p.a.) with the same

balance in an ordinary Savings Account. A comparison of interest earned in a year from a

Rs. 50,000 Super Saver Account (3year plan) and a Savings Account, at different levels

of withdrawal, is shown below:

Amount Interest earned in 1Year

Super Saver Savings account @ Net Gain (Rs.)
withdrawn on day
Account @ 10% 4% p.a. (Rs.)
one (Rs)
P.A. (Rs.)
0 5000 2000 3000
10000 3800 1600 2200
20000 2600 1200 1400
25000 2000 1000 1000
30000 1400 800 600
35000 800 600 200

In fact, the higher the balance in their Super Saver Account, the higher their returns.

Moreover, the shorter the period for which customer use the money, the higher their

earnings.

Free ATM Card

With every Super saver Account customer get a free ATM Card. This allows customer to

53
enjoy 24 hour banking 365 days a year, including Sundays sand bank holidays. Their

convenience is all the matters.

 Available in select cities only

Personalized Cheque Book

Customer also gets a cheque book with every Super Saver Account, with their name

printed on it.

Overdraft on Current Account against their fixed Deposits

Customer can also get an overdraft on their Current Account against their own fixed

Deposits with the bank. Please contact their Personal Banker for details on

documentation required.

SWEEP IN ACCOUNT

(A Flexible Fixed Deposit cum Savings Account)

Imagine having an account that changes to suit their needs. When customer want their

money to earn high interest it worked like a Fixed Deposit, when customer want to

withdrew money in a hurry, it works like a savings Account. Customers win both ways

So what is a Sweep-in Account?

It is a Fixed Deposit that comes automatically linked to a savings Account. So whenever

customers’ are short of funds in their Saving account and their money is “blocked” in a

fixed Deposit, customer just have to issue a cheque (or use the ATM.) their money

automatically gets transferred, i.e. swept-in from their fixed Deposit into their Saving

Account. It’s as easy as it sounds. To open a sweep in Account, all customer need is to
54
open a Fixed Deposit as per the norms of the bank and a Savings Account with no

minimum balance requirement.

Customer need to maintain a minimum fixed Deposit of Rs, 50.000 at all times to avoid

service charges. In case of non maintenance of Rs.50.000 in fixed deposits, customer

savings Account will be subject to service charges as applicable. The saving account

needs to be opened with an initial amount of Rs.5000.

How does it work?

Since the Sweep in Account holds their money in a Fixed Deposit in units of Re.1 every

time money is swept from their fixed deposit to their Savings account, interest loss in

minimized. Further, the amount swept in earns interest for the tenure that it has

completed without any penalty. The rest of their deposit continues to earn the original

interest rate till maturity.

There’s more! Customer can, if customer like always open an add on deposit for just Rs.

5,000. Further, customer link as many deposits as customer like to their Savings account.

And the Sweep in automatically chooses the oldest deposit first before sweeping money

into their Savings Account.

Enjoy the benefits of a truly flexible fixed Deposit. Just open a Sweep in Account. The

Savings accounts comes with it.

Call us and SBI BANK BANK representative will come over to their home of office and
55
open an account for customer. Well take care of details and formalities including their

photograph.

DEMAT ACCOUNT
Now customer can avoid mutilation, duplication and pilferage of share certificates. Open

a Demat Account with SBI BANK Bank and protect their securities from damage. loss

and theft. And remember, SBI BANK Bank is the largest depository participant amongst

all banks.

Why do I need Demat Account?

With SEBI making trading mandatory in the Demat form and the advent of Rolling

Settlements it is imperative that all investors have a Demat Account with a depository

participant. When customer place a buy order, a seller can deliver the securities in Demat

form, which can only be credited to a Demat Account.

What benefits do I get from an SBI BANK Bank Demat Account

 No Account Opening Charges.

 Nominal Annual Maintenance Charges.

 Competitive fees for transactions.

 Demat Account Status on the internet.

 Option to open a Demat Account with NSDL, CDSL or both.

 Personalized instruction Book.

56
What other benefits do I get?

 Paperless trading which will help prevent mutilation. Loss and misplacement of

certificates and eliminate the problems of bad delivery.

 Safety of their securities with SBI BANK Bank.

 Problems of bad delivery, theft or mutilation eliminated.

 Zero stamp duty.

 Faster settlements of buy and sell orders, direct credit of allotment from public/

rights/bonus issues.

How do I open an SBI BANK Bank Demat Account?

 Fill up the application form and the Agreement and get it singed by all the applicant.

 Attach one photograph of each applicant.

 Provide proof of identity/Residence (copy of ration card/ driving license/voters

ID/passport or PAN

 card). Please bring the original to the bank along with a photocopy.

 Annual charges of Demat account Rs.499 per annum

Once their Demat account is active, customer will receive periodic account statements

from SBI BANK Bank. SBI BANK bank’s Demat Account is

also accessible on the internet, allowing customer to check balances, transaction status,

Demat status etc. online.

57
 CHAPTER :3
RESEARCH METHODOLOGY

58
 CHAPTER :3
RESEARCH METHODOLOGY

The current chapter deals with the research methodology adopted In present study indicates the
selection of sample respondents, collection of data. choice of statistical tools for analysis of data, in
addition to pointing out limitations’ of the study.

Methodology adopted:
The research is aimed at to evaluate employee engagement at SBI bank. The city will cover under the
research Moga.,Bagha purna
Research design:
The design for this study is descriptive.
Sampling unit:
Sampling is an effective step in collection of primary data that influence the quality and correctness
of the result.
Sampling size:

The sample size is selected to give the true picture. The size is

59
 CHAPTER : 4
DATA ANLAYSIS AND FINDINGS

60
 CHAPTER : 4
DATA ANLAYSIS AND FINDING

1.Which of the sources of recruitment and selection are used in SBI?

a. Internal
b. External
c. Both
Table: 8.1

Options Internal External Both Total

Responses 2 7 11 20

Percentage 10 35 55 100%

Chart: 8.1

internal external both

10%

55% 35%

Source: Primary data or

questionnaire

Interpretatio
n:
It was found that about 55% of the recruitment and selection is done both by
internal and external sources, while as external sources are used more than the
61
internal sources. Employees are hired mostly from external sources like job
portals, consultancy etc.

62
External sources used in recruitment:
Which of the following external sources are used for recruitment in SBI?

a. Advertisement
b. Internet
c. Campus recruitment
d. Consultancies
e. All of the above
Table:8.2

Options Advertisement Internet Campus Consultancy All of Total

drives the
above

Responses 5 3 2 8 2 20

Percentage 25 15 10 40 10 100%
Chart:8.2

10%
adv.
25%
internet
campus
40% 15% consultancy
all
10%

Source: Primary data or

questionnaire
Interpretat
ion:
It was found that 40% of the employees are recruited through the consultancies
and 20% of the employees are selected by the advertisement followed by internet
with 15% and campus selections with 10%. Consultancy and Internet are the
major sources which provide eligible candidates for the hiring in SBI.
 Form of recruitment and selection used:
Which form of recruitment and selection is used in SBI?

a. Centralised
b. Decentralised
Table: 8.3

Options Centralised Decentralised Total

Responses 2 18 20

Percentage 10 90 100%

Chart: 8.3

centralised decentralised

10%

90%

Source: Primary data or

questionnaire
Interpretatio
n:
It was found that recruitment is decentralised. However, for higher positions of
employment the recruitment is centralised. Recruitment is decentralised as all the
centres of SBI recruit their employees according to the number of vacancies
available in the respective centres.
Employees perception about recruitment process:
Are you satisfied with the recruitment process?

a. Agree
b. Disagree
c. Strongly agree
d. strongly disagree
Table: 8.4

Chart:8.4

Options Agree d Total

Responses 16 4 20

Percentage 80 20 100%
 TABLE OF CONTENT

Sl.No Particulars Page No.

1-26
1. INTRODUCTION

27-57-
2. COMPANY PROFILE

3. 58-59
RESEARCH METHODOLOGY
60-72
4. DATA ANLAYSIS AND FINDINGS
73-74
5. LIMITATIONS
75-77
6. CONCLUSION AND SUGGESTION
78-79
BIBLOGRAPHY

yes no

Interpretation
:
Source: Primary data
or questionnaire 20%

80%

It was found that 90% of employees are satisfied with the recruitment process
adopted by SBI. However, some of the respondents thought there should be some
changes in the existing recruitment process of the organisation.
Methods used during selection process
Which of the following methods does SBI uses during selection?

e. Written
f. Group discussion
g. Personal interview
h. Group discussion and personal interview
i. All of the above
Table:8.5

Options Written GD PI GD & All Total

PI

Responses 1 3 6 8 2 20

Percentage 5 15 30 40 10 100%
Chart: 8.5

written GD PI GD and PI all of the bove

10% 5%
15%

40%
30%

Source: Primary data or

questionnaire
Interpretation
:
It was found that 40% of selection is done by Group Discussion & Personal
Interview. However, Personal Interview is mostly used method of selection
followed by group discussion. Employees selected in SBI are finally selected by a
personal interview taken by the head of the centre.
Perception of employees towards selection process:
Are you satisfied with the selection process?

1. Yes
2. No
Table: 8.6

Options Yes No Total

Responses 16 4 20

Percentage 80 20 100%

Chart: 8.6

20%

yes
no

80%

Source: Primary data or

questionnaire
Interpretation
:
It was found that about 80 % of the employees are satisfied with the selection
process. However, the remaining is of the opinion that there should be some
change in the recruitment and selection process of the organisation.
69
Techniques used for selection:
Do you think innovative techniques like stress test, psychometric test and
personality test should be used for selection?

1. Yes
2. No
Table: 8.7

Options Yes No Total

Responses 4 16 20

Percentage 20 80 100%

Chart: 8.7

yes no

20%

80%

Source: Primary data or

questionnaire
Interpretation
:
It was found that 20% of the respondents were of the opinion that stress
test, psychometric test and personality tests should be used for the selection,
while the others were satisfied with the existing recruitment and selection
process. Most of the employees in SBI are unaware of these types of tests as they
are mostly fresher’s.
Recruitment process used for different grades of employees:
Does your company follow different recruitment process for different
grades of employment?

1. Yes
2. No
Table: 8.8

Options Yes No Total

Responses 20 0 20

Percentage 100 0 100%

Chart:8.8

0%

yes
no

100%

Source: Primary data or

questionnaire
Interpretatio
n:
It was found that from that different recruitment process is adopted for different
grades of employment. Like, for the recruitment of trainers in SBI theoretical
knowledge is considered more and for the developers technical knowledge is
given importance.
 Company HR practices:
How do you rate HR practices of the company?

Table: 8.9

S No. Options Respondents In percentage

1 Excellent 10 50%
2 Good 8 30%
3 Average 1 10%
4 Bad 1 10%
Total 20

Chart:8.9

10%

10%

Excellent
Good
50%
Average
Bad

30%

Source: Primary data or

questionnaire
Interpretatio
n:
50% of the employees feel that HR department is good where and 30% say that
its very good where as 10% says its average and 10% employees feel it’s bad.
Some employees are not happy as they have to spend a little more time if they
have to take demo training sessions.

73
Contract signed while joining the organization:
Is there any contract signed by employees while joining the organization?

1. Yes
2. No
Table: 8.10

S No. Options Respondents In percentage

1. Yes 18 90%
2. No 02 10%
Total 20
Chart: 8.10

10%

yes
no

90%

Source: Primary data or

questionnaire
Interpretatio
n:
Above chart shows that almost 10% employees said no and 90 % said yes they
have to sign a bond while joining the organization. Employees have to submit one
of their original certificates in the time of their joining and they cannot
leave this company before one year. If the employees agree to these conditions
then they are moved to next round of interview.

70
 HR policy of the company:
Are you comfortable with the HR policies of the company?

a. Yes
b. No
Table: 8.11

S. No. Options Respondents In percentage

1. Yes 18 90%
2. No 02 10%
Total 20

Chart: 8.11

10%

Yes
No

90%

Source: Primary data or

questionnaire
Interpretation:
It was found that 10% employees were not comfortable with the policies of
company and 90% employees are happily working with the current HR practices
of the company. Some of the employees were not comfortable with the policy as
they find risk in submitting their original documents to the company.
From the analyzed data I could find that –
 The main source of the recruitment is through external sources i.e. through
advertisement.
 The other source of recruitment is through references , natural market and
consultants.
 Maximum prospects fulfils all the criteria prescribed by the IRDA.
 Research shows that the Financial Advisors generally belong to the age of 30- 50 years
 It is found that the company provides both types of training and mainly prospects goes for the
online training.
 Every year company recruits as many as 50 Advisors in order to increase the
sales force of the company.
 Most of the recruited people are aware of the insurance sector and the person
who are not aware of the insurance sector are made aware through the training
before sitting for the test.
 It has been found through the studies that most of the candidate recruited
belongs the banking and insurance sector . It means that they are having some
knowledge about the insurance sector.
 For most of the prospects attending 21 days training is a major problem. As
the timings for the training are full time 10:30 am to 5.00 p.m.
 For most of the prospects they join SBI LIFEINSURANCE for the extra
income.
 Most of the recruited people continue working as a Financial Advisor.

72
 Chapter-5
LIMITATIONS

73
 Chapter-5
LIMITATIONS

1) This Project Report is restricted only for the interviewed people.

2) Biased reply of the respondents like giving wrong information.
3) Non availability of the data or the relevant information of the respondent.
4) Sometimes it happens that the respondent was busy so as to get the information it becomes
difficult
5) The project is done in near by areas of the Aundh Branch of the company & therefore findings
of it may not be applicable in other areas.
6) Time Constraints – The duration of the project is only 2 months. In this duration we have to
finish the project so the sample size considered for this project is also limited which may give
some misleading outputs.
7) Although ICICI Prudential is a well known brand, it invests heavily in the advertisements, but
somehow the concept of financial advisor was not known to the customers and it requires
great amount of efforts to convince the various benefits to them.

74
CONCLUSION AND
SUGGESTION

75
 CONCLUSION AND SUGGESTION

1. It is found that in the last five years the Indian economy has progressed, which has increased the
average purchasing power & the insurance sector has contributed significantly in this.
2. Since last five to six years many Private Company has entered in insurance sectors & because of
which the Indians are having number of options in front of them investing their money & to safeguard
the life.
3. While doing this project it is found that recruiting of the advisor is done by the Unit Manager, and the
parameters on which the advisors are to be recruited are :
• Income Level – 1.2lacs to 2 lacs per annum
• Marital Status – Married
• Age – above 25 years
• Minimum Education – Graduation
• Staying in the same city for more than 5 years

4. The study of the profile of the advisor is depending on their industry background i.e. their work
experience and the age wise distribution.
5. The level of awareness of the prospects about the private insurance company has increased because of
the heavy advertising ad marketing by the companies over the period of time.
65
6. It important to appoint only those prospects as financial advisor, who can give & generate long term
business for the company, so to analyze the prospects & study their status is very important thingd
7. Most of the prospects to join, as their first preference to earning extra money, second to start business
with no capita investment, third to Association with the No. 1 Private Life Insurance Company.

Based on the findings in the Research following suggestions are made –

 Finding new prospects is like breathing, so Unit Manager should be in regular touch with the
market so that he will gets some good prospects.

76
 Company should go for regular Market Survey for finding out the smart
worker who can stay under the Managers Sales Team, and will generate long
term business.
 Branch Manager should take the feedback from the existing advisors so that he can easily
understand the advisors problem as well s he can recommend new changes.

 The company should concentrate on the rural part so that they can compete with LIC India, and
can generate some business from there as it is found that most of the Private Life Insurance
companies are targeting the urban market. Company should follow the pull strategy where it can use
advertising media, by preparing attractive Ads, through Newspaper, T.V. , and radio can increase
the awareness about the company & will help in improving the market share.

 Unit Manager should meet regularly with the existing advisors so that he can find out their
problems & also take their suggestions.

 Most of the Indian families still believe in the LIC. They don’t feel comfortable with other
brands. In such cases ICICI Prudential can optfor descriptive advertisements how our solutions are
better than the traditional business solutions.

77
BIBLIOGRPHAY

78
 BIBLIOGRPHAY
WEBSITES :

www.sbilife.com in

www.insuranceguide.com

www.economictimes.com

BOOKS :

1) HUMAN RESOURCE MANAGEMENT

SHASHI K. GUPTA

2) PERSONNEL MANAGEMENT

C. B. MAMORIAL

JOURNALS & ARTICLES :

1) IRDA JOURNAL

2) BROUCHERS & REPORTS OF COMPANY

79