The passage provides details about the history and development of the life insurance sector in India, including the following key points:
- The life insurance sector was initially dominated by private players until it was nationalized in 1956 with the formation of LIC.
- The sector was reopened to private players in 2000 with the establishment of IRDA to regulate the industry and the issuance of licenses to several private insurers.
- Major private insurers that entered the market include HDFC Life, Max Life, ICICI Prudential, Bajaj Allianz, among others, many of which formed through joint ventures with foreign partners.
2. Currently over 5 m. Policy holders benefiting from the services offered.
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4. The Double Benefit Plan Option helps you secure your child’s immediate and future needs. In case of your unfortunate demise, we will pay the Sum Assured to your child (Beneficiary). Your family need not pay any further premiums and the policy continues. And on maturity of the plan, we will pay you the Sum Assured plus Bonuses Declared
5. You can choose to pay your premium as either Annually, Half-Yearly or Quarterly depending on your convenience. You also have a range of convenient auto premium payment options
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7. Death Benefits: In addition to a regular income, you can choose an annuity that will pay out a benefit on your death or, if you have chosen to provide an annuity for a named individual, on the later of your and the named individual’s death. You can choose the level of death benefit:
9. Capital protection option – the amount paid on death is equal to the purchase price less the gross annuity installments already paid under the annuity
10. No death benefit is allowable where a guarantee period has been selected. No death benefit is allowable where a Joint Life annuity reducing on death of the first life has been selected
17. Satisfied customers not only stay with a company but they are also walking talking advertisement for the company’s product.The Operation department oils the work processes between the customer and company to ensure consistent and quality service to the customer. To streamline the operations, the operations department interfaces between the clients and the agents, the branches and the under writers, and manages work processes.<br />The vision at customer service<br />Is to deliver “World Class Service” at every opportunity. Units such as the 9 to 9 contact centre, out bound call centre, customer care. And query reduction unit are all committed across the country. HDFC Life has one of the largest distribution networks amongst private life insurers in India, having commenced operations in 58 cities and towns in India.<br />These are….. Agra, Ahmedabad, Ajmer, Amritsar, Aurangabad, Bangalore, Bhopal, Calicat, Chandigrah, Chennai, Coimbatur, Dehradun, Gurgaon, Hyderabad, Hubli, Indore, Jaipur, Jalandhar, Jamnagar, Kanpur, karnal, Kochi, Kolkatta, Kota, Kolhapur, Kottayan, Lucknow, Ludhiana, Madurai, Mangalore, Meerut, Mumbai, Nagpur, Nashik, Noida, New Delhi, Patiala, Pune, Raipur, Rajkot, Ranchi, Surat, Thane, Thrissur, Trichy, Trivendrum, Udaipur, Vadodara, Vashi, Vijayawada and Vizag.<br />HDFC Life has recruited and trained over 32000 insurance advisors to interface with and advice customers. Further, it leverages is State-of the art IT infrastructure to provide superior quality of service to customer.<br />The Operation Department of HDFC Life delivers the following services to the customers such as:<br />Out Bound Call Centre<br />Customer Care<br />Query Resolution Unit<br />Policy Login Process<br />9 to 9 Contact Centre<br />Role of Information Technology in Operation Department:<br />The Information Technology function at HDFC Life is committed to enables business through the use of technology. It is segmented into 4 groups to enable highest levels of delivery to the customers: Life Asia Solutions Group that provides flexibility in designing better product offering to end-users, the Solutions Group- Web that provides real-time information to customers and is responsible for customer relationship management, IT Architecture and Corporate Solutions Group is in charge of developing and maintaining a blueprint for the IT Architecture for the enterprise as a whole. This team works as an in house R & D Solution Group, exploring new technological initiatives and also caters to information needs of corporate functions in the organizations. IT Infrastructure group is responsible for providing hardware, software, network services to the whole organization. This group runs the “Digital Nervous System” of the Enterprise at the highest levels of efficiency and provide robust, scalable and highly available platform for development of business application.<br />With the help of Information Technology, an advisor and managers can login the policy fro any of the offices of HDFC Life. And also with the help of IT any employee or management can know any information, any thing about the policy, advisor’s record, any branch’s sales, any new schemes, any manager’s record, and other thins at any time any place.<br />Introduction to HRM:-<br />Human resource management is a management function that helps managers’ recruit, select, train and develops members for an organization. HRM is concerned with the people’s dimension in organization. ‘Manpower’ or ‘human resource’ may be thought of as ‘the total knowledge, shills, creative abilities, talents and aptitudes of an organization’s work force, as well as the values, attitudes and benefits of an individual involved. It is the sum total of inherent abilities, acquired knowledge and shills represented by the talents and aptitudes of the employed persons.<br />Of all the ‘Ms’ in management (i.e. the management of materials, machines, methods, money, motive power), the most important ‘m’ for men or human resources. It is the most valuable asset of an organization, and not the money or physical equipment. It is in fact an important economic resource, covering all human resources- organized or unorganized, employed or capable of employment, working at all levels- supervisors, executives, government employees, ‘blue’ and ‘white' collar workers, managerial, scientific, engineering, technical, skilled or unskilled persons, who are employed in creating, designing, developing, managing and operating productive and service enterprises, and other economic activities.<br />Human resources are utilized to the maximum possible extent in order to achieve individual and organizational goals. And organization’s performance and resulting productivity are directly proportional to the quantity of its human resources<br />Organization Structure:-<br />‘Organization’ is a group of people working together cooperatively under ‘authority’ toward achieving goals and objectives that mutually benefit the participants and the organization. A well-known author of HRM Allen says “the process of identifying and grouping the work to be performed, defining and delegating responsibility and authority, and establishing relationships for the purpose of enabling people to work most effectively together in establishing of objectives”<br />The essence of this definition is that people who work together require a defined system or structure through which they relate to each other and through which their efforts can be coordinated. Every organization has goals or objectives for its existence. In the case of Personnel Management, it is to optimize “the effectiveness of human resources”. These goals can be achieved more suitably if the behavior of the workers and the composition of the organization can be predicted and integrated cooperatively. The formal organization structure attempts to give order and unity to the actions and efforts of those who work together.<br />An organization tries to establish an effective behavioral relationship among selected employees and in selected work places in order that a group may work together effectively. There are three kinds of work which must be performed whenever an organization comes into being:<br />Division of labor<br />Combination of labour and<br />Coordination<br />C.E.O Mr. C. M. VasudevThe organization structure at HDFC Life web trade is somewhat like this:<br />Board of Directors<br />National Head (at Mumbai-branch)<br />Unit manger/ In charge of Karnataka region (at Bangalore)<br />Assistant unit manager<br />SalesExecutiveSalesExecutiveSalesExecutiveSalesExecutive<br />In any organization there is what is termed a ‘hierarchy’, refers to various levels of authority in an organization, ranging from the Board of Directors at the top to the sales executives at the bottom.<br />Human Resource Planning:-<br />Human resource planning can be explained as “the process by which a management determines how an organization should move from its current manpower position to its desired manpower position. Through planning, a management strives to have the right number and right kind of people at the right places, at the right time to do things which result in both the organization and the individual receiving the maximum long-range benefit”.<br />Coloman has defined human resource or manpower planning as “the process of determining manpower requirements and the means for meeting those requirements in order to carry out the integrated plan of the organization.”<br />Stainer defines HRM as “Strategy for the acquisition, utilization, improvement, and preservation of an enterprise’s human resources. It relates to establishing job specifications or the quantitative requirements of jobs determining the number of personnel required and developing sources of manpower.”<br />Human resources planning are a double-edged weapon. If used properly, it leads to the maximum utilization of human resources, reduces excessive labor turnover and high absenteeism; improves productivity and aids in achieving the objectives of an organization. Faultily used, it leads to disruption in the flow of work, lower production, less job satisfaction, high cost of production and constant headaches for the management personnel. Therefore, for the success of an enterprise, human resource planning is a very important function, which can be neglected only at its own peril. It is as necessary as planning for production, marketing, or own peril. It is as necessary as planning for production marketing, or capital investment.<br />Recruitment Sources:-<br />Human resource planning helps to determine the number and type of people an organization needs. Job analysis and job design specify the tasks and duties of jobs and the qualifications expected from prospective jobholders. The next logical step is to hire the right number of people of the right broad groups of activities. Recruitment forms the first stage in the process which continues with selection and ceases with the placement of the candidate. It is the next step in the procurement function, the first being the manpower planning. Recruiting makes it possible to acquire the number and types of people necessary to ensure the continued operation of the organization.<br />Recruiting is the discovering of potential applicants for actual or anticipated organizational vacancies. In other words, it is ‘linking activity’ bringing together those with jobs and those seeking jobs. As Dale Yoder and other point out: “Recruitment is 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 working force.” Accordingly, the purpose of recruitment is to locate sources of manpower to meet job requirements and job specifications.<br />Recruitment has been regarded as the most important function of personnel administration, because unless the right types of people are hired, even the best plans, organization charts and control systems would not do much good. Flippo views recruitment both as ‘positive’ and ‘negative’ activity. He says “it is a process of searching for prospective employees and stimulating and encouraging them to apply for jobs in an organization. It is often termed positive in that it stimulates people to apply for jobs to increase the ‘hiring ratio’ i.e. the number of applicants for a job. Selection, on the other hand tends to be negative because it rejects a good member of those who apply, leaving only the best to be hired.”<br />MANPOWER PLANNING AT HDFC Life<br />Human Resource Planning is the process by which an organization ensures that it has the right number and kind of people, at the right place, at the right time, capable of effectively and efficiently competing those tasks that will help the organization achieve its overall objectives. Human Resource Planning translates the organization’s objectives and plans into the number of workers meet those objectives. Without a clear-cut planning, estimation of an organization’s human resource need is reduced to mere guesswork.<br />HDFC Life Asset Management Company considers several factor in HRP are strategy of company, organization planning about new schemes, environment uncertainties, time horizons, and nature of jobs being filled. By considering these entire factors it helps to HDFC Life to coping with change, creates highly talented personnel, and helps to determine futures needs.<br />Manpower planning is needed with respect to persons who can work as sub-broker for the companies. Companies focused on Insurance Advisor and post office agent, Tax consultants and CAs for making sub-broker. HDFC Life AMC Forecast HR Demand – it estimates the future quantity and quality of people required. It uses forecasting technique that is Management Judgment that involves “bottom-up” or “top-down” approach. After forecasting company forecast about HR supply that may be from Existing human resource, internal sources or External sources.<br />RECRUITMENT<br />The upper level members like zonal managers, regional managers, branch managers and senior executives are recruited. The regional manager has authority to select lower level employee like peon, marketing executives, financial accountant etc. by approval of zonal manager.<br />HDFC Life AMC recruits through following sources:<br />Internal Sources:<br />Present Employees<br />Employee Referrals<br />Previous Applicants<br />External Sources:<br />Advertisement<br />Campus interview<br />Consultants<br />Walk-ins<br />SELECTION<br />Selection is a process to select a fixed number of personnel from a large number of applicant received by employees, seeking the job and selecting those who suitable for the given job selection includes a number of steps. The purpose of selection is to pick up the right person for every job.<br />A scientific procedures of selection, requires 2 things:<br />Knowledge regarding the qualities which a person should posses in order to do the given job properly<br />The evaluation of qualities possessed by a candidate for the job.<br />HDFC Life has adopted the following steps for selection procedure:<br />PRELIMINARY INTERVIEW<br />The main purpose of preliminary interview is to screen out those who are unsuitable. Those interviews are quite short. If candidates are found suitable then an application blank may be given to him to fill up and return.<br />In HDFC Life AMC regional manager first interviews candidates, and if selected than he is interviewed by zonal manager & if he is found suitable than an application blank is given to them.<br />APPLICATION BLANK<br />Here the applicants are asked to complete a blank that provides space for him to record data relating to the name of candidates, experience etc. The application blank must not be too lengthy. In HDFC Life AMC this application blank is forwarded to Mumbai branch to hr department.<br />INTERVIEW<br />After the application blank reaches to the HR Department Mumbai, a telephonic interview is conducted by HR Manager to see that the regional manager & zonal manager has made the right choice or not.<br />MEDICAL CHECK UP<br />If the candidates clears all the above stages, company checks his medical report the basic purpose of medical check-up is to determine the job for which candidate is fit or not.<br />REFRENCES<br />Checking of references is an important part of selection process. The company prefers to select the candidate within the group or if the candidate gives the name of reputed person as his references.<br />FINAL SELECTION<br />If the candidate passes successfully from the above stages he is finally selected for the post. The final selection lies with the regional manager.<br />PLACEMENT<br />The last stage in selection process is the placement of candidate. After the final selection is done, the selected candidate is finally placed on the job.<br />TRAINING<br />THERE ARE TWO TYPES OF TRAINING PROGRAMS:<br />ON THE JOB TRAINING<br />OFF THE JOB TRAINING<br />Continuous training and upgrading technical, behavioral and managerial skills is a way of life in HDFC Life L AMC. HDFC Life AMC encourages agent or sub-broker to hone their skills regularly to enable them to face the challenges of the changing requirements of customers that fit market up and down.<br />Training needs analysis is done on a regular basis and systematic methodologies are ensured that skills and capabilities of all agents are constantly upgraded to enable them to perform in the challenging work. There is special training session at regular time period in local branch to all financial consultant and agents about new scheme and to improve their effectiveness.<br />PERFORMANCE APPRAISAL<br />“It is the systematic evaluation of the individual with respect to his or her performance on the job and his or her potential for development.”<br />Objective of Performance appraisal if for Developmental uses for agents and Financial Consultants, for wages, transfer, promotion, for documentation and for organizational purpose like Human Resource Planning, Job analysis and for training and development.<br />HDFC Life first set the objective of performance appraisal then in establish job expectation and then decide whose performance should be rated and who the raters are. Basically raters are immediate supervisor, subordinates, peers, clients. For Performance Appraisal modern method is used like MBO (Management By Objectives) and 360” appraisal. But there is some limitation like Hello effect, Bias, Perception factor, Spill over etc<br />Selection Methods:<br />The selection procedure is concerned with securing relevant information about an applicant. This information is secured in a number of steps or stages. The objective of selection process is to determine whether an applicant meets the qualifications for a specific job and to choose the applicant who is most likely to perform well in that job.<br />The hiring procedure is not a single act but it is essentially a series of methods or steps or stages by which additional information is secured about the applicant. At each stage, facts may come to light which may lead to the rejection of the applicant. A procedure may be compared to a series of successive hurdles or barriers which an applicant must cross. These are intended as screens, and they are designed to eliminate an unqualified applicant at any point in the process. This technique is including all these hurdles.<br />Training and Development:-<br />HDFC is a kind of private sector bank where if you are confident and competent then you can get your carrier advancement and development at a very high speed. CEO Mr.Depak says, “There are several young people in our organization who are on the threshold of making it to the board”. He himself has this habit of dropping in unannounced on people tow or three levels below him. It helps him to keep a tab on things and also to find out who is knocking on top management doors. His management by walking about also takes him to the basement, to see that everything is spick and span. He does like to get to the bottom of things.<br />At HDFC executive development programme is more important. Because they believe that if the executives are properly trained, properly motivated and fully focused then they can guide any kind of work force. All those persons who have authority over others and are responsible for their activities and for the operations of an enterprise are managers. In a business organization, the co-ordination and direction of the efforts of others is a major part of the management job. The manager has to deal not only with the staff but also with others outside his own group, and has decided influence on the organization.<br />Performance Appraisal Policy:-<br />Once the employee has been selected, trained and motivated, he is then appraised for his performance. Performance appraisal is the step where the management finds out how effective it has been at hiring and placing employees. If any problems are identified, steps are taken to communicate with the employee and to remedy them. A “performance appraisal” is a process of evaluation an employee’s performance of a job in terms of its requirements.<br />Strengths<br />Flexible Products.<br />Partners having experience in different markets of the world.<br />Synergy with exiting operations.<br />Expertise in the field of insurance.<br />Professional management.<br />Good Customer service.<br />Create a brand name.<br />Weakness<br />Low capital base.<br />Yet to build strong distribution network.<br />Cannot tap rural market.<br />Opportunities<br />Untapped market.<br />Banks ready to tie up for as a readymade distribution network for a small fee.<br />Threats<br />Large distribution network of LIC.<br />Decades of experience and brand name of LIC.<br />5% service tax on investments.<br />Price war with the Competitors.<br />Changing the Regulations by the Government.<br />Awards & Accolades<br />Year2008:<br />Sept, 2008<br />Received 2008 CIO Bold 100 and CIO Security Awards<br />lefttopHDFC Standard Life has received the 2008 CIO Bold 100 Award. This annual award recognizes organizations that exemplify the highest level of operational and strategic excellence in information technology. This year's award theme, ‘The Bold 100,’ recognized those executives and organizations that embraced great risk for the sake of great reward.<br />HDFC Standard Life has also been one of the five recipients of the Special 2008 CIO Security Award aimed at CIOs, whose pioneering implementations have taken their enterprise security to the next level. This award category identifies innovative and groundbreaking deployment of technologies aimed at creating a secure business infrastructure.<br />lefttopThe company received the 2008 CIO Bold Award for its mobile workforce portal and the CIO Security Award for its initiatives for a secure computing environment, including identity management.<br />May, 2008<br />Received PCQuest Best IT Implementation Award 2008<br />HDFC Standard Life received the PCQuest Best IT Implementation Award 2008 for Consultant Corner, the applications for its financial consultants, providing centralized control over a vast geographical spread for key business units such as inventory, training, licensing, etc. Read more about the ‘Consultant Corner’ tool in the ‘HDFCSL's in News’ Section.<br />HDFC Standard Life has won the PCQuest Best IT Implementation Award for two years consequently. Last year, the company received the award for Wonders, its path-breaking implementation of an enterprise-wide workflow system.<br />March, 2008<br />Silver Abby at Goafest 2008<br />HDFC Standard Life's radio spot for Pension Plans won a Silver Abby in the radio writing craft category at the Goafest 2008 organised by the Advertising Agencies Association of India (AAAI). The radio commercial ‘Pata nahin chala’ touched several changes in life in the blink of an eye through an old man’s perspective. The objective was drive awareness and ask people to invest in a pension plan to live life to the fullest even after retirement, without compromising on one’s self-respect<br />March, 2008<br />Unit Linked Savings Plan Tops Mint Best TV Ads Survey<br />The Unit Linked Savings Plan advertisement of HDFC Standard Life, one of the leading private insurance companies in India, has topped Mint’s Top Television Advertisement survey conducted, for February 2008. HDFC Standard Life’s Unit Linked Savings Plan advertisement was ranked 4th in terms of a combined score of ad awareness and brand recall and 3rd in terms of ad diagnostic scores (likeability, enjoyment, believability, and claim). The respondents were between 18 and 40 years. Mint’s exclusive report, ‘New voices in a makeover’ outlines the survey in detail.<br />February, 2008<br />Deepak M Satwalekar Awarded QIMPRO Gold Standard Award 2007<br />Mr Deepak M Satwalekar, Managing Director and CEO, HDFC Standard Life, received the QIMPRO Gold Standard Award 2007 in the business category at the 18th annual Qimpro Awards function. The award celebrates excellence in individual performance and highlights the quality achievements of extraordinary individuals in an era of global competition and expectations.<br />January, 2008<br />Sar Utha Ke Jiyo Among India’s 60 Glorious Advertising Moments<br />HDFC Standard Life’s advertising slogan honored as one of ‘60 Glorious Advertising & Marketing Moments' over the last 60 years in India,’ by 4Ps Business and Marketing magazine. The magazine said that HDFC Standard Life is one of the first private insurers to break the ice using the idea of self respect (Sar Utha Ke Jiyo) instead of 'death' to convey its brand proposition. This was then, followed by others including ICCI Prudential, thus giving HDFC Standard Life the credit of bringing up one such glorious advertising and marketing moment in the last 60 years.<br />Year 2009<br />Received CIO 'The Ingenius 100 2009' Award<br />lefttopHDFC Standard Life has received the CIO ‘The Ingenious 100 - 2009 Award,’ for ATLAS (Agency Training Licensing and Servicing System). Additionally, the company has received the CIO 100 ‘Security Award 2009’ for pioneering LANDesk Management and Security Suite security implementation and taking its security to a higher level of technological excellence.<br />HDFC Standard has received the CIO 100 Award for the third consecutive year. It had received the 2008 CIO Bold Award for Consultant Corner and CIO Security Award for our initiatives for a secure computing environment, including Sesame - Identity and Access Management. In 2007, the company received CIO 100 award for Wonders and a Special Award in Storage category.<br />CIO magazine has a long tradition of honoring leading companies for business and technology leadership and innovations through its flagship award program – CIO 100. It’s a celebration of 100 organizations (and the people within them) that are using IT in innovative ways to deliver business value, whether by creating competitive advantage, optimizing business processes, enabling growth or improving relationships with customers.<br />Received Diamond EDGE Award 2009<br />lefttopHDFC Standard Life has received the Diamond EDGE Award 2009 for its mobile workforce portal - Consultant Corner. EDGE - Enterprises Driving Growth and Excellence (using IT) is an initiative by the ,Network Computing magazine to identify, recognise, and honour end-user companies in India that have demonstrated the best use of technology to solve a business problem, improve business competitiveness, and deliver quantifiable ROI to stakeholders.<br />Network Computing magazine is part of CMP Technology, which brings more than 100 IT media brands to more than 18 million technology and business decision makers worldwide.<br />Year2010<br />Best Companies to Work for in India in 2010<br />lefttopHDFC Standard Life has been