“STRESS MANAGEMENT” IN ICICI BANK

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A Project R eport
On

“STRESS MANAGEMENT”


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TABLE OF CONTENTS

PARTICULARS PAGE
NUMBERS

1. Executive Summary 01-02

2. Introduction 03-14

3. Need for Insurance 15-22

4. Company Profile 23-32

5. Vision-Mission 33-36

6. Products 37-43

7. Stress Management 44-61

8. Stress Management at work place 62-82

9. Findings & Analysis 83-95

10. Suggestions 96-98

11. Limitations of the study 99-100

12. Conclusion 101-102

13. Annexure 103-106

14. Bibliography 107-108


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EXECUTIVE SUMMARY


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EXECUTIVE SUMMARY
Insurance is the pooling of fortuitous losses by transfer of such risk to
insurers, who agreed to provide the pecuniary benefit on their occurance, or to
render service connected with risk. It is the transfer of financial responsibility
for the risk at the point of occurance and conventionally involves the insurer in
a commitment to pay. The insurance service lead to efficient and productive
allocation of capital resources, facilitate growth of trade and commerce.
Globalization will certainly increase insurance penetration and all professionals
shall equip themselves to exploit opportunities offered by this sector.
ICICI PRUDENTIAL has maintained its lead amongst the private players
of life insurance with a market share of about 39%. The biggest achievement is
in pension segment, where company introduced a slew of products and
captured around 23% of the total pension market. ICICI Prudential have a
customer centric growth strategy and has taken a number of
strategies against this.
The consumers are the largest economic group in any country and the
present day business activities are because of consumers only. Thus,
consumers are the pillars of the economy. The consumers are not only the
heart of marketing system, but also the controller of marketing functions. But if
the modern marketing system consumers sovereignty has become a myth on
account of the variety of problems in the process of merchandising. The study
of consumer behavior enables marketers to understand and predict consumer
behavior in the market place; It also promotes understanding of the role that
consumption plays in the lives of the individual.


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This gives me an opportunity to work on with this endeavor focusing on
the study of 'consumer behavior towards the insurance products' with special
reference to ICICI PRUDENTIAL. The primary objective of the study is to
understand the attitude and perception of the respondents towards insurance
products.
The study gives an insight to the insurance industry. It briefly explains
about the history of life insurance sector. It also contains the organizational
profile of ICICI PRUDENTIAL, stating about its mile stones, vision, products,
protection, solutions, advertising effectiveness and finally about its marketing
strategies and challenges. The study ends up with the suggestions in order to
modify the current system for a higher growth and progress.

INTRODUCTION


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INTRODUCTION

LIFE INSURANCE
Life insurance is a contract providing for a payment of a sum of
money to the person assured or failing him to the person entitled to
receive the same on the happening of certain event. Uncertainty of death
is inherent in human life. Ii is this risk, which gives rise to the necessity
for some form of protection against the financial loss arising from death.
Insurance substitutes this uncertainty by certainty. The objective of
insurance is normally to provide:

A Family Protection.
B Provision for old age.

INSURANCE INDUSTRY

ORIGIN OF INSURANCE
The origin of insurance dates back to the 12th century, the origin of
insurance appeared first in marine and land fields. The ideas of
insurance were made in Babylonia and India at quite an early period; the
courts of Hammurabi and Mano recognized the provision for sharing the
future losses. However there is no evidence that insurance in its present
form was practiced prior to 12th century. Tracing the history of insurance
to the present day, one can easily gauge the performance of industry
both collectively as an industry as well as individually by the companies.
In earlier times, travelers by sea and land were very much exposed
to risk of losing their vessels and merchandise because piracy on the
open seas and highway robbery of caravan were common. References to


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similar practices are also found in 'Manab Dharma Shastra' which
contained rules for sea from contracts which was observed by traders.
Insurance conceived as method of sharing of the losses embodying the
principal of co-operation existed in the early civilization.
Many may not be aware that the life insurance industry of India is
as old as it is in any other part of the world. The first Indian life insurance
company was the Oriental Life Insurance Company, which was started in
India in 1818 at Kolkata1. A number of players (over 250 in life and about
100 in non-life) mainly with regional focus flourished all across the
country. However, the Government of India, concerned by the unethical
standards adopted by some players against the consumers, nationalized
the industry in two phases in 1956 (life) and in 1972 (non-life). The
insurance business of the country was then brought under two public
sector companies, Life Insurance Corporation of India (LIC) and General
Insurance Corporation of India (GIC).
Reforms were initiated with the passage of Insurance Regulatory
and Development Authority (IRDA) Bill in 1999. IRDA was set up as an
independent regulatory authority, which has put in place regulations in
line with global norms. So far in the private sector, 12 life insurance
companies and 9 general insurance companies have been registered.

INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY ACT - 1999.
(I.R.D.A)
The object of this act is to provide for the establishment of an
authority to protect the interest of holders of insurance policies, to
regulate, to promote and ensure orderly growth of insurance industries.
Insurance Regulatory and Development Authority (IRDA) has sought the
comments of industry participants to finalize the guidelines for online
agents' training institutes.


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These proposed guidelines are in addition to its standard
instructions and guidelines applicable for approval/renewal of agents'
training institutes. The guidelines would be applicable to all the online
training institutes including in-house training institutes of the insurers.
As per the draft guidelines, the applicant should undergo at least
120 hours practical training in life or general insurance business. The
composite training should be for at least 180 hours, where the applicant
is seeking license for the first time to act as an insurance agent.
The duration should be minimum of 24 days for 120 hours training
and 36 days for 180 hours training with a maximum five hours per day.
Stating that no product training/market survey should be included into
this 120/180 hours training, the regulator said revision examination
could form part of the training.

DUTIES, POWERS AND FUNCTIONS OF AUTHORITY:
The powers and functions of the authority include registration of
insurers, intermediaries and agents regulations of terms and
conditions of contract of insurance, promoting and regulating
professional organizations connected with the insurance, monitoring
investment of funds and solvency margin of insurance companies.
The authority is to be advised by a committee to be known as the
insurance advisory committee, which shall consists of not more than
25 members including ex-officio members in the insurance sector.
The insurance advisory committee is expected to advice the authority
on matters relating to making of the regulations
An Indian insurance company has been defined as a company
incorporated under the Companies Act - 1956 and the paid capital of
General Insurance business will have to be not less than Rs 100/-


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Crores and in case of companies wanting to transact reinsurance
business the paid capital will have to not less than Rs 200/- Crores.
It has also been notified that every insurance company will have to
appoint an Actuary to be approved by I.R.D.A. The duty of the Actuary
is to insure that
The assets are valued in appropriate manner
The liabilities are evaluated as required
The prescribed margin for maintaining solvency is complied
with.
The I.R.D.A also issued regulations with regards to advertisement
so as to include almost any public communication for a sale of
insurance policy.

THE FUNDAMENTAL / PRINCIPALS OF LAW OF INSURANCE.

UTMOST GOOD FAITH:
The parties to the commercial contract, according to the law are
required to observe good faith. The seller cannot mislead the buyer in
respect of transactions, but he has no subject of the contract, it is the
buyer’s duty to be careful while entering into a contract. 'LET THE
BUYER BE AWARE' is a legal rule.
INSURABLE INTEREST:
The owner of the property has a right under law to effect insurance
on the property if he is likely to suffer financially when property is lost
or damaged. This legal right to insure is called insurable interest,
without insurable interest the contract of insurance will be void.
Because of this legal requirement of insurable interest the insurance
contracts are not gambling transactions.


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INDEMNITY:
The principal of indemnity arises under common law and requires
that an insurance control should be a contract of indemnity only
and nothing more. The object of principals to place the insured
after a loss in the same financial position as far as possible, as he
is occupied immediately before the loss. The effect of this principal
is to prevent the insured from making the profit out of his loss or
gaining any advantage or benefit. The object of a contract of
insurance is to protect the financial interest of the insured in the
subject matter of insurance.
SUBROGATION:
The principal of subrogation arises from the principal of indemnity.
Subrogation may be defined as transfer of rights and remedies of
the insured to the insurer who has indemnified the insured in
respect of the loss. If the insured has any rights of action to be
recovered the loss from any third party, who is primary
responsible for the loss, the insurer having paid the loss is entitled
to avail himself of these rights to recover the loss from the third
party. The effect is that the insured does not receive more than
actual amount of his loss and any recovery affected from the third
party goes to the benefit of the insurer to reduce the amount of
his loss

INSURANCE MARKET IN INDIA
By any yardstick, India, with about 200 million middle class
households, presents a huge untapped potential for players in the
insurance industry. Saturation of markets in many developed economies
has made the Indian market even more attractive for global insurance
majors. Life insurance is mainly considered as a saving instrument rather


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than an investment avenue as it promotes compulsory savings besides
reducing tax burden on the policyholder and protect the family of the
policyholder in the event of unforeseen happening. It is the only saving
instrument, which covers the life risk besides giving tax concession both
at entry (premium paid) and at exit

HISTORY AND PRESENT STATUS OF INSURANCE MARKET IN
INDIA
The insurance sector in India has come a full circle from
being an open competitive market to nationalization and back to a
liberalized market again. Tracing the developments in the Indian
insurance sector reviles the 360-degree turn witnessed over a period of
almost two centuries.

A BRIEF HISTORY OF THE INSURANCE SECTOR
The business of life insurance in India in its existing form
started in India in the 1818 with the establishment of Oriental Life
Insurance Company in Calcutta. Some of the important milestones in the
Life Insurance business in India are:

1912: The Indian Life Assurance Companies Act enacted as
the first statue to regulate the life insurance business.

1928: The Insurance Companies Act enacted to enable the
government to collect statistical information about both life and
non-insurance business.


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1938: Earlier legislation consolidated and amended to by the
Insurance Act with the objective of protecting the interest of the insuring
public.

1956: 245 Indian and foreign insurers and provident societies
are taken over by the central government and nationalized. LIC found by
an Act of Parliament, viz. LIC Act 1956, with a capital contribution of
rupees Five Crores from the Government of India.

INSURANCE SECTOR REFORMS
In 1993, Malhotra Committee, headed by former Finance
Secretary and RBI Governor R.N. Malhotra, was formed to evaluate the
Indian insurance industry and recommend its future direction. The
Malhotra committee setup with the objective of complimenting the
reforms initiated in the financial sector. The reforms where aimed at
"creating a more efficient and competitive financial system suitable for
the requirements of the economy keeping in mind the structural changes
currently underway and recognizing that insurance is an important part
of the overall financial system where it was necessary to address the
need for similar reforms.."

In 1994, the Committee submitted the report and some of the key
recommendations included:
Structure
a. Government stake in the insurance companies to be brought
down to 50%.
b. Government should take over the holdings of GIC and its
subsidiaries so that these subsidiaries can act as independent
corporations.


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c. All the insurance company should be given greater freedom to
operate.

Competition
A Private companies with a minimum paid up capital of Rs. 1bn
should be allowed to enter the industry.
b. No company should deal both the life insurance and general
insurance through a single entity.
c. Foreign companies may be allowed to enter the industry in
collaboration with the domestic companies.
c. Postal Life Insurance should be allowed to operate in the
rural market.
d. Only one state level Life Insurance Company should be
allowed to operated in each state.

Regulatory body
a. The Insurance Act should be changed.
b. An Insurance regulatory body should be setup.

Reforms in the insurance sector were initiated with the passage
of the IRDA Bill in the Parliament in December 1999. The IRDA since its
incorporation as statutory body in April 2000 has fastidiously stuck to its
schedule of framing regulations and registering the private sector
insurance companies.
The other decisions taken simultaneously to provide the supporting
systems to the insurance sector and in particular the life insurance


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companies was the launch of the IRDA's online service for issue and
renewal of license to agents.
The approval of institutions for imparting training to agents has
also ensured that the insurance companies would have trained work force
of insurance agents in place to sell their products, which are expected to
be introduced by early next year.
Since being set up as an independent statutory body the IRDA has
put in a framework of globally compatible regulations. In the private
sector 12 life insurance and 6 general insurance companies have been
registered.

Insurance is an Rs 400 billion business in India, and together with
banking services adds about 7% to India's GDP. Gross premium collection
is about 2% of GDP and has been growing by 15 to 20% per annum. India
also has the highest number of life insurance policies in force in the
world, and total investable funds with the LIC are almost 8% of GDP. Yet
more than three fourth of India's insurable population has no life
insurance or pension cover. Health insurance of any kind is negligible
and other forms of non life insurance are much below international
standards.
To tap the vast insurance potential and to mobilize long term
savings we need reforms which include revitalizing and restructuring of
the public sector companies, and opening up the sector to private
players. A statutory body needs to be made to regulate the market and
to promote a Healthy market structure. Insurance Regulatory Authority
(IRA) is one such body, which checks on these tendencies. IRA role
comprises of following three functions:

a. Protection of consumer's interest


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b. To ensure financial soundness and solvency of the insurance
industry,
c. To ensure healthy growth of insurance market.
An insurance policy protects the buyer at some cost against the
financial loss arising from a specified risk. Different situations and
different people require a different mix of risk-cost combinations.
Insurance companies provide these by offering schemes of different
kinds.
Unfortunately, the concept of insurance is not possible in our
country. As per the latest estimates, the total premium income generated
by life and general insurance in India is estimated at around 1.95% of GDP.
How ever India's share of world insurance market has shown an increase
of 10% from 0.31% in 1996-97 to 0.34% in 1997-98. India's market share
in the life insurance business showed a real growth of 11% there by
outperforming global average of 7.7%. Non life insurance business grew
by 3.1% against global average of 0.20%. In India insurance pending per
capita was among the last in the world at $7.6 compared to $7 in the
previous year . Amongst the emerging economies, India is one of the
least insured countries but the potential for growth is phenomenal, as a
significant portion of its population is in services and the life expectancy
also increased over the years.
The nationalized insurance industry has not offered consumers a
variety of products. Opening of the sector to private firms will foster
competition, innovation and variety of products. It would also generate
greater awareness on the need for buying insurance as a service and not
merely for tax exemption, which is currently done on the demand side, a
strong correlation between demand for insurance and per capita income
level suggests that high economic growth can spur growth in demand for
insurance. Also there exists a strong correlation between insurance


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density and social indicators such as literacy. With social development,
insurance demand will grow.


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LIFE INSURANCE MARKET IN INDIA

Life Insurance Statistics
Indian Population I bn
GDP as on 2000 ( Rs bn) 50000 bn
Gross Domestic Saving as a % of GDP 32%
NCAER estimate is Insurance
240 mn
Population
Estimated market 2010 950 mn

India has an enormous middle class that can afford to buy life,
health, and disability and pension plan products. The low level of
penetration of life insurance in India compared to other developed
nations can be judged by a comparison of per capita life premium.

Country Life Premium per capita US $ in
1994
Japan 3817
UK 1280
USA 964
India 4

Clearly, there is considerable scope to raise per capita life premium
in the market is effectively tapped. India has traditionally been a high
savings oriented country often described as being on par with thrifty
Japan. Insurance sector in the US is a big in the size as the banking
industry there. This gives us an idea of how important is the sector is.
Insurance sector canalizes the saving of the people to long-term


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investments. In India where infrastructure is said to be critical importance,
this sector will bring the nations own money for the nation.
In the three years time we would expect 10% of the population to
be under some sort of an insurance cover. Thus assuming a premium of
Rs 5000 on an average, 100 million Rs 5000 = Rs 500 billion.
This has made the sector the hottest one in India after IT. With
social security and security to public at large being the agenda for
opening the sector, the role of the regulator becomes all the more
serious and one would be carefully watched at every step.
The Insurance Regulator and Development bill is now an Act. With
this India is now the cynosure of all the global insurance players.
Numerous player, both Indian and foreign have announced their intention
to start their insurance shops in India. IRDA, under chairman ship of Mr.
RANGACHARI, opened the window for applying license in India.
One of the main difference between the developed economies and
the emerging economies is that insurance products are bought in the
former while these are sold in later. Focus if insurance industry is
changing towards providing a mix of both protection/risk cover and
long-term investment opportunities.


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WHY LIFE INSURANCE?


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WHY LIFE INSURANCE?
Life insurance cover is essential for it provides the following
benefits:
a. A lump sum payment to the nominees at the time of the death of the
policyholder;
b. A regular payment to the nominees in the event of the death of the
policyholder;
c. Tax benefits, as premium paid to reduce the liability of tax;
d. Relieves economic hardships in the family on the uneventful death of
the sole income holder;
e. Inculcates the habit of saving.

NEED FOR INSURANCE
The need for life insurance comes from the need to safeguard our
family. If you care for your family's needs you will definitely consider
insurance.
Today insurance has become even more important due to the
disintegration of the prevalent joint family system, a system in which a
number of generations co-existed in harmony, a system in which a sense
of financial security was always there as there were more earning
members.
Times have changed and the nuclear family has emerged. Apart
from the other pitfalls of a nuclear family, a high sense of insecurity is


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observed in it today besides, the family has shrunk. Needs are increasing
with time and fulfillment of these need is a big question mark.
How will you be able to satisfy all those needs? Better lifestyle,
good education, and your long desired house. But again you just cannot
fritter away all your earnings. You need to save a part of it for the future
too a wise decision. This is where insurance helps you.
Factors such as fewer numbers of earnings members, stress,
pollution increased competition, higher ambitions etc are some of the
reasons why insurance has gained importance and where insurance plays
a successful role.

An Overview
Insurance business is divided into four classes:
1) Life Insurance business
2) Fire
3) Marine
4) Miscellaneous Insurance.

Life Insurers transact life insurance business; the rest is transacted
by General Insurers. No composites are permitted as per law. The
business of Insurance essentially means defraying risks attached to any
activity over time (including life) and sharing the risks between various
entities, both persons and organizations. Insurance companies (ICs) are
important players in financial
Markets as they collect and invest large amounts of premium.
Insurance products are multi purpose and offer the following benefits:
1. Protection to the investors


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2. Accumulate savings
3. Canalize savings into sectors needing huge long term
investments.
ICs receive, without much default, a steady cash stream of
premium or contributions to pension plans. Various actuary studies and
models enable them to predict, relatively accurately, their expected cash
outflows. Liabilities of ICs being long-term or contingent in nature,
liquidity is excellent and their investments are also long-term in nature.
Since they offer more than the return on savings in the shape of
life-cover to the investors, the rate of return guaranteed in their
insurance policies is relatively low. Consequently, the need to seek high
rates of returns on their investments is also low. The risk-return trade off
is heavily tilted in favour of risk. As a combined result of all this,
investments of insurance companies have been largely in bonds floated
by GOI, PSUs, state governments, local bodies, corporate bodies and
mortgages of long term nature. The last place where Insurance
companies are expected to be over-active is bourses.

Lately ICs have ventured into pension schemes and mutual funds
also. However, life insurance, constitutes the major share of insurance
business. Life Insurance depends upon the laws of mortality and there
lies the difference between life and general insurance businesses. Life has
to extinguish sooner or later and the claim in respect of life is certain. In
case of general insurance, however, there may never be a claim and the
amount can never be ascertained in advance. Hence, Life Insurance
includes, besides covering the risk of early happening of an event, an
element of savings also for the beneficiaries. Pension business also
derives from life insurance in as much as the pension outgo again


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depends upon the laws of mortality. The forays made by insurance
companies in this area are, therefore, natural corollary of their business.

TYPES OF INSURANCE POLICIES

Broadly there are 3 types of life insurance policies:
a. Term Insurance Plans
b. Whole Life Insurance
c. Endowment Insurance Plans

Term Insurance Plans:


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Pure life covers where you pay for risk cover and do not expect
to receive anything else in return is now available in India. Opting for
such policy will improve the efficiency of policy premium and enable you
for a bigger risk cover for the same cost. These are term insurance plans
with maturity benefits; some term plans give your premium amounts
back with interest. This is a marketing policy to suit the general
psychology and should normally involve higher premium cost.

Whole life insurance plans:
Whole life policies require you to pay premium through out your
life and cover risk for whole life. The policies without profit are cheaper.

Endowment Insurance plans (with or without money back):
Endowment policies are costliest and among this group, money
back policies involve paying highest premium. They give you maturity
benefits (normally sum assured) and additional profit by way of bonus,
guaranteed additions; loyalty bonus etc. money policies also provide
partial payment back to you at pre-set time periods.


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DEFINITION OF SOME TYPES OF POLICIES

1. ANNUITY
An annuity is a steady stream of equal payments that one receives
every year, or every month either for life or a fixed number of years, as
return after making an investment either as a lump sum or through
installments paid over a certain number of years, a specific sum. Upon
the death of the annuitant, or at the expiry of the period fixed for annuity
payments, the invested annuity fund is refunded usually along with a
small bonus. Annuities differ from all other forms of life insurance in one
fundamental way-they do not provide any insurance cover but offer a
guaranteed income for a certain period or for life.
Typically annuities are bought to generate income during one's
retired life, which is why they are also called pension plans. An annuity
provides a solution to the biggest financial insecurity of old age retires
and the income from salary ceases.

2. ENDOWMENT
Endowment policies cover the risk for a specified period at the end
of which the sum assured is paid back to the policyholder along with the
entire bonus accumulated during the term of the policy. It is this feature
the payment of the endowment to the policyholder upon the completion
of the policy's term, which rightly accounts for the popularity of
endowment policies.
Typically, one's responsibility for the financial protection of the
family reduces significantly once the children are grown up and
independently settled. The focus then shifts to managing a smaller family
perhaps only oneself and one's spouse after retirement/ this is where the
endowment the original sum assured and the accumulated bonus


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received back comes handy. You can either use the endowment amount
for buying an annuity policy to generate a monthly pension for the whole
life, or put it in any other suitable investment of your choice. This is the
major benefit of an endowment policy over a whole life.

3. MONEY BACK
Unlike endowment plans, in money back policies the policyholder
gets periodic "survivance payments" during the term of the policy and a
lump sum amount on surviving its term. In the event of the death during
the term of the policy, the beneficiary gets full sum assured without any
deductions for the amount paid till date, and no further premiums are
required to be paid. These types of policies are very popular, since they
can be tailored to get large amount at a specific periods as per the needs
of the policyholder.

FUTURE OF LIFE INSURANCE MARKET
Even at modest estimates the size of life insurance market in India
could be around Rs. 40000 billion covering just 250 mn people…
LIC had enjoyed the monopoly of the big life insurance market
since 1956. LIC was in for a surprise now an then when it found that,
among air crash casualties or rail accident victims, only very few had life
insurance cover. In fact LIC did attempt to evaluate the size of the market
and look at broad homogeneous segments of the market based on the
data provided by Decennial Census Report relating to worker population
categorized into groups based on occupations. However LIC's major
segmentations were the urban, rural, male, female, medical and
non-medical segments. The census of occupation data was used more as
a framework for formulating the business plans. But, now with the entry
of new player, very conscious of their market shares, the evaluation of the


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size of the market for life insurance assumes importance. The market
size with its viable segments is to be identified and suitable products to
meet the needs of these segments developed.
Life insurance market covers the entire age range of the
population of 1000 mn in India. However taking into account their
economic conditions and their ability to pay the premium for some
sort life insurance cover or an annuity, the number of eligible
prospects for life insurance may be put around 30% of the total
population viz, 300 mn. LIC has on its books as on date 125 mn
policies. Research had shown, that each of these holders of the
policies have on an average, 1.6 (as many policy holders have more
than one policy). Thus the no of persons holding life insurance
policies with LIC good work out to 75 mn. This means only 25% of
the potential market has so far covered, leaving the remaining 75%- a
vast market of 225 mn persons- to be covered.

Market size ever expanding…
This market size is dynamic and ever expanding. The growth is dictated
by several factors such as:

1. An addition of around 20 mn of new population each year.
2. More and more persons due to improvements in economic
conditions move continuously into the zone of people with ability
to pay premium for a life insurance policy.
3. Many among the existing policyholders are grossly under insured.
They need and can afford additional insurance. These can be
made to join the market as potential prospects for additional


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insurance. These form the creamy layers market capable of being
very good source of high volume of business.
Taking all these factors into account it can be seen that the size of
the market for life insurance in India is enormous. Assuming the number
of persons who can be sold an insurance policy to be 250 mn, in terms of
number of policies, this works out to 400 mn policies. In financial terms,
taking the average size of the policy as Rs 1 lakh, the sum assured works
out to Rs 40000 bn or $ 800 bn. The first year's premium income can be
assume as Rs 6250 per annum per policy. The figures would keep
increasing year by year due to the improvement in the economic
conditions leading to increase in the number of potential prospects .


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COMPANY PROFILE


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COMPANY PROFILE

ICICI GROUP

OVERVIEW OF ICICI BANK
ICICI Bank is India's second-largest bank with total assets of about
Rs.146,214 crore at December 31, 2004 and profit after tax of Rs. 1,391
crore in the nine months ended December 31, 2004 (Rs. 1,637 crore in
fiscal 2004). ICICI Bank has a network of about 530 branches and
extension counters and over 1,880 ATMs. ICICI Bank offers a wide range
of banking products and financial services to corporate and retail
customers through a variety of delivery channels and through its
specialized subsidiaries and affiliates in the areas of investment banking,
life and non-life insurance, venture capital and asset management. ICICI
Bank set up its international banking group in fiscal 2002 to cater to the
cross-border needs of clients and leverage on its domestic banking
strengths to offer products internationally. ICICI Bank currently has
subsidiaries in the United Kingdom and Canada, branches in Singapore
and Bahrain and representative offices in the United States, China, United
Arab Emirates, Bangladesh and South Africa


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ICICI Bank's equity shares are listed in India on the Stock Exchange,
Mumbai and the National Stock Exchange of India Limited and its
American Depositary Receipts (ADRs) are listed on the New York Stock
Exchange (NYSE).
As required by the stock exchanges, ICICI Bank has formulated a
Code of Business Conduct and Ethics for its directors and employees.
At April 4, 2005, ICICI Bank, with free float market capitalization*
of about Rs. 308.00 billion (US$ 7.00 billion) ranked third amongst all the
companies listed on the Indian stock exchanges.
ICICI Bank was originally promoted in 1994 by ICICI Limited, an
Indian financial institution, and was its wholly-owned subsidiary. ICICI's
shareholding in ICICI Bank was reduced to 46% through a public offering
of shares in India in fiscal 1998, an equity offering in the form of ADRs
listed on the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of
Madura Limited in an all-stock amalgamation in fiscal 2001, and
secondary market sales by ICICI to institutional investors in fiscal 2001
and fiscal 2002. ICICI was formed in 1955 at the initiative of the World
Bank, the Government of India and representatives of Indian industry. The
principal objective was to create a development financial institution for
providing medium-term and long-term project financing to Indian
businesses. In the 1990s, ICICI transformed its business from a
development financial institution offering only project finance to a
diversified financial services group offering a wide variety of products
and services, both directly and through a number of subsidiaries and
affiliates like ICICI Bank. In 1999, ICICI become the first Indian company
and the first bank or financial institution from non-Japan Asia to be listed
on the NY After consideration of various corporate structuring
alternatives in the context of the emerging competitive scenario in the
Indian banking industry, and the move towards universal banking, the


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managements of ICICI and ICICI Bank formed the view that the merger of
ICICI with ICICI Bank would be the optimal strategic alternative for both
entities, and would create the optimal legal structure for the ICICI group's
universal banking strategy. The merger would enhance value for ICICI
shareholders through the merged entity's access to low-cost deposits,
greater opportunities for earning fee-based income and the ability to
participate in the payments system and provide transaction-banking
services. The merger would enhance value for ICICI Bank shareholders
through a large capital base and scale of operations, seamless access to
ICICI's strong corporate relationships built up over five decades, entry
into new business segments, higher market share in various business
segments, particularly fee-based services, and access to the vast talent
pool of ICICI and its subsidiaries. In October 2001, the Boards of
Directors of ICICI and ICICI Bank approved the merger of ICICI and two of
its wholly-owned retail finance subsidiaries, ICICI Personal Financial
Services Limited and ICICI Capital Services Limited, with ICICI Bank. The
merger was approved by shareholders of ICICI and ICICI Bank in January
2002, by the High Court of Gujarat at Ahmedabad in March 2002, and by
the High Court of Judicature at Mumbai and the Reserve Bank of India in
April 2002.
ICICI Bank is India's second largest bank wit an asset base of Rs.
106812 crores. ICICI bank provides a broad spectrum of financial services
to individuals and companies. This includes mortgages, car and personal
loans, credit and debit cards and corporate and agricultural finance. The
bank services a growing customer base of more than 7 mn customer
accounts and five mn bondholders accounts through a multi channel
access network. The includes about 450 branches and extension counters,
1675 ATMs, call centers and Internet banking. ICICI bank posted a net
profit of Rs 1206 Crore for the year ended March 31, 2003. ICICI bank is


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the only Indian company to be rated above the country rating by the
international rating agency Moody's and only the Indian company to be
awarded an investment grade international credit rating. The enjoys the
highest rating from all Indian leading rating agencies.

OVERVIEW OF ICICI VENTURE WING
ICICI Venture, incorporated in 1988, is the most experienced and largest
private equity and venture fund management company in India with funds
currently under management in excess of Rs.20 billion (USD 400 million).

Over the last 15 years, ICICI Venture has been successful in
identifying trends well ahead of the curve; be it retail, media and
entertainment, information technology, real estate or pharmaceuticals
and biotechnology. During this period ICICI Venture launched and
managed 8 funds with a corpus exceeding Rs. 20billion (USD 400 million).
Each fund had a distinct investment theme and ICICI Venture today has
some of the best known and managed companies in India in its portfolio.


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Herein ICICI Venture has followed the philosophy of being a multi-sector
player ensuring an optimum balance of risk and return to its investors.

ICICI Venture has the distinction of managing a large number of
exits in the country. With over 100 liquidity events, the organization has
reaped rich experience and is well positioned to handle IPOs, strategic
sale and/or mergers.

ICICI Venture has a wide network of third party investors, which
include domestic investors such as public sector banks, financial
institutions and insurance companies. A significant portion of the fund's
corpus is also from international development financial institutions and
international funds.

The company has over 25 qualified professionals with experience
across sectors and functions. The capabilities of the team, structure of
the organization, emphasis on value creation and performance evaluation
matrices enable ICICI Venture to extract superior returns from its
investments.

ICICI Venture has now launched the India Advantage Fund, with a
corpus of Rs.10 Billion (USD 225 million). The Fund will invest in
mid-sized growth companies for funding through expansions,
acquisitions and restructuring. The Fund will also focus on mezzanine
funding and buyouts.
ICICI PRUDENTIAL


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ICICI PRUDENTIAL Life Insurance was established in 2000 with a
commitment to expand and reshape the life insurance industry in India.
The company was amongst the first private sector insurance company to
begin operations after receiving approval from Insurance Regulatory
Development Authority (IRDA), and in the same time since, has taken
several steps towards realizing its goal.

THE COMPANY
ICICI PRUDENTIAL Life Insurance Company is a joint venture
between ICIC, a premier financial powerhouse and prudential plc; a
leading international financial services group headquarters in the United
Kingdom. ICICI Prudential was amongst the first private sector insurance
company to begin operations in December 2000 after receiving approval
from Insurance Regulatory Development Authority (IRDA).
ICICI and PRUDENTIAL came together in 1993 to form prudential
ICICI Asset Management Company, which has today emerged as one of
the leading mutual funds in India. The two companies bring together two
of the strongest financial service brands in Asia, known for their
professionalism, excellent quality of service and long term commitment
to customers. Riding on the success of this relationship, the two
companies joined hands once more in 2000, to form ICICI PRUDENTIAL
LIFE INSURANCE, with a commitment to provide leading -edge life
insurance solutions. ICICI Bank has 74% stake in the company, and
Prudential plc has 26%.

To make ICICI Prudential the dominant Life and Pensions player
built on trust by world-class people and service.

This we hope to achieve by:


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Understanding the needs of customers and offering them superior
products and service

Leveraging technology to service customers quickly, efficiently and
conveniently

Developing and implementing superior risk management and
investment strategies to offer sustainable and stable returns to our
policyholders

Providing an enabling environment to foster growth and learning
for our employees

And above all, building transparency in all our dealings.

The success of the company will be founded in its unflinching
commitment to 5 core values -- Integrity, Customer First, Boundaryless,
Ownership and Passion. Each of the values describe what the company
stands for, the qualities of our people and the way we work

We do believe that we are on the threshold of an exciting new
opportunity, where we can play a significant role in redefining and
reshaping the sector. Given the quality of our parentage and the
commitment of our team, there are no limits to our growth.

PRUDENTIAL PLC
Established in 1848, Prudential Plc is a leading international
financial services company in UK with around US $ 250 bn funds under
management, and more than 16 million customers worldwide. Prudential
has brought to market an integrated range of financial services products
that now includes:
life assurance
pensions
mutual funds


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banking
investment management
general insurance
In Asia Prudential is UK's largest life insurance company with a vast
network of 22 life and mutual fund operations in 12 countries: China,
Hong Kong, India, Indonesia, Japan, Korea, Malayasia, Philippines,
Singapore, Taiwan, Thailand, Vietnam. Since 1923, prudential has
championed customer centric products and services, supported by over
60000 staff and agents across the region.

DISTRIBUTION
ICICI PRUDENTIAL has one of the largest distribution networks
amongst private life insurance in India, having commenced operations in
28 cities and towns in India. These are: Ahmedabad, Bangalore,
Chandigarh, Chennai, Coimbatore, Gurgaon, Hyderabad, Indore, Jaipur,
Jalandhar, Kanpur, Cochin, Kolkotta, Kottaym, Lucknow, Ludhiana,
Madurai, Mangalore, Meerut, Nagpore, Nasik, Nodia, New Delhi, Pune,
Thane, Vododara, Vashi.
The company has a largest number of banc assurance tie-ups,
having agreement with ICICI Bank, Citi Bank, Allahabad bank, Federal
bank, South Indian Bank, Bank of India, Lord Krishna Bank, Punjab and
Maharashtra co-operative Bank, as well as some corporate agents. It has
also tied-up with organizations like Dahn for distribution of Salaam
Zindagi, a policy for the socially and economically under privilege
sections of society.

SERVICE
ICICI PRUDENTIAL has recruited and trained over 18000 insurance
agents to interface with and advice customers, and has the highest


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number amongst private life insurers on the renowned Million Dollar
Round table (MDRT). Further, it leverages its state-of-the-art IT
infrastructure to provide superior quality of service to customers.
MILESTONES
ICICI PRUDENTIAL life insurance has crossed Rs 500 crore premium
income mark on March 31, 2003 having issued nearly 350000 policies for
a sum assured of Rs 8700 crore since its inception.
The last fiscal had been significant growth for ICICI PRUDENTIAL
across all segments, with 246827 policies issued in the period April
2002-March 2003, and Rs 348 Crore premium from new business in the
same period, a 200 per cent growth over the previous fiscal (April
2001-March 2002).
The company had also met all its rural and social sector obligations,
said a press release. The growth been driven by pensions and unit linked
products. It has garnered 23% of pensions premium amongst all players
for the period April 2002-February 2003 and 34% in Feb alone. Today the
company has established itself the number one private life insurer in the
country.

HISTORY:
Incorporated on July 20, 2000 it is a 74:26, joint venture between
ICICI and Prudential plc of U.K. in November 2000, ICICI Prudential Life
Insurance was granted Certification of Registration for carrying out Life
Insurance business by the insurance Regulatory & Development Authority
of India. The company issued its first policy on December 12, 2000.

Year of review 2002-2003:
ICICI Prudential has consolidated its position as the leading private
life insurer in India. ICICI Prudential's annualized premium grew more


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than three fold over the previous year. Continuing with its 'Customer
First' philosophy, ICICI Prudential has significantly expanded its presence
to 29 operational Branches (2001-2002: 16), with the Advisor Force
growing to over 18000. It has also strengthened its Alternate Distribution
channels, i.e. Bancassurance, Corporate Agents and Direct Marketing,
making purchase of insurance more accessible. Bancassurance and Direct
Marketing channels have contributed to over 18% of the Annualized
Premium.
ICICI Prudential was amongst the first to identify the emerging
opportunity in the Pension segment and launched two linked pension
products Life time Pension and Life Link Pension, which have been well
received in the market.

MANAGEMENT

BOARD OF DIRECTORS

ICICI Prudential Life Insurance Company Limited Board comprises
reputed people from the finance industry both from India and abroad.

Mr. K.V. Kamath, Chaiman
Mr. Mark Norbon
Mrs. Lalita D. Gupte
Mrs. Kalpana Morparia
Mrs. Chanda Kochhar
Mr. Kevin Holmgren
Mr. M.P.Modi
Mr. R Naryanan
Ms Shikha Sharma


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MANAGEMENT TEAM

Ms Shikha Sharma, Managing Director
Mr. Sandeep Batra, Chief Financial Officer & Company Secretary
Mr. Shubhro J. Mitra, Chief - Human Resources
Mr. Puneet Nanda, Head - Investments
Ms. Anita Pai, Chief - Operations & Underwriting
Mr. V. Rajagopalan, Appointed Actuary
Mr. Shridhar Sethuram, Chief - Sales & Marketing
Mr. Anil Tikoo, Head - Information Technology.


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VISION-MISSION

VISION
To make ICICI Prudential the dominant Life and Pensions player
built on trust by world class people and service.

This we hope to achieve by:
Understanding the needs of customers and offering them superior
products and service
Leveraging technology to service customers quickly, efficiently and
conveniently.
Developing and implementing superior risk management and
investment strategies to offer sustainable and stable returns to our
policyholders.


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Providing an enabling environment to foster growth and learning for
our employees.
And above all, building transparency in all our dealings.

The success of the company will be founded in its unflinching
commitment to 5 core values:
Integrity
Customer First
Boundaryless
Ownership
Passion

Each of the values describe what the company stands for, the
qualities of our people and the way we work. We do believe that we are
on the threshold of an existing new opportunity, where we can play a
significant role in redefining and reshaping the sector. Given the quality
of our parentage and the commitment of our team, there are no limits to
our growth.

VISION-MISSION

To be dominant life and pension players built on trust by
world class people and service.

INTEGRITY


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Stand up honestly and fearlessly for what they truly care
about.
Always act in a consistent and equitable manner.
Don’t compromise the future to pay for the present.

CUSTOMER FIRST

Own the customer: Deliver the promise.
Listen actively, stretch continually to add value to customers
and channel partners

BOUNDARYLESS

Never say "its not my job" go beyond the call of duty.
Experiment- believe anything is possible
Seek new ideas regardless of source
Share ideas and thoughts freely across levels and functions

OWNERSHIP

If it is to be, it is up to me
Bias for action
Own mistakes. Learn from failures
Confront hard facts, pursue goals relentlessly
Accountable for team performance

PASSION


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Winning instinct- transmit boundless energy and enthusiasm
to drive results
Stand up and make a difference - challenge status quo and
drive change
Demonstrate speed for competitive advantage
Passionately nurture and reward excellence


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PRODUCTS

PRODUCTS

Insurance Solutions For Individuals:


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ICICI PRUDENTIAL Life Insurance offers a range of innovative, customer
centric products that meet the needs of customer at every life stage. Its 13
products can be enhanced with up to four riders, to create a customized
solution for each policyholder.

Saving Solutions
ICICI PRUDENTIAL Save and Protect is a traditional endowment
savings plan that offers life protection along with adequate returns.
ICICI PRUDENTIAl CashBank is an anticipated endowment policy
ideal for meeting milestone expenses like a child's marriage, expenses
for child's education or purchase of an asset.

Protection Solutions
ICICI PRUDENTIAL Life Guard is a protection plan, which offers life
covers at very low cost. It is available in three options - level term
assurance, level assurance with return of premium and single premium.

Child Solutions
ICICI PRUDENTIAL Smart Kid provides guaranteed educational
benefits to a child along with life insurance cover for the parent who
purchases the policy. The policy is designed to provide money at
important milestones in child's life.

Market Linked Solutions
ICICI PRUDENTIAL LifeLink is a single premium Market Linked
Insurance Plan, which combines life insurance cover with the opportunity
to stay, invested in the stock market.


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ICICI PRUDENTIAL LifeTime offers customers the flexibility and
control to customize the policy to meet the changing needs at different
life stages. It offers three investment options

Growth Plan
Income Plan
Balanced Plan

Retirement Solutions
ICICI PRUDENTIAL Forever Life is retirement product targeted at
individuals in their 30's
ICICI PRUDENTIAL LifeTime Pension is a regular premium market
linked pension plan.
ICICI PRUDENTIAL LifeLink Pension is a single premium market linked
pension plan.

Single Premium Solutions
ICICI PRUDENTIAL Assure Invest is a single premium savings product
with life cover for terms of 5, 7 or 10 years.
ICICI PRUDENTIAL Reassure is a retirement product for senior citizens
who are on the verge of retirement or have just retired.
ICICI PRUDENTIAL also launched "salaam zindagi", a social sector
group insurance policy targeted at the economically under privileged
sections of the society.

Group Insurance Solutions
ICICI PRUDENTIAL also offers Group Insurance Solutions for
companies seeking to enhance benefits to their employees.


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ICICI PRUDENTIAL Group Gratuity Plan: ICICI Pru's Group Gratuity
Plan helps employers fund their statutory gratuity obligation in a
scientific manner. The plan can also be customized to structure schemes
that can provide benefits beyond the statutory obligations.

ICICI PRUDENTIAL GROUP SUPERANNUATION PLAN:
ICICI Pru offers a flexible defined contribution superannuation
scheme to provide a retirement kitty for each member of the group.
Employees have the option of choosing from various annuity options or
opting for a partial commutation of the annuity at the time of retirement.

ICICI PRUDENTIAL GROUP TERM PLAN:
ICICI Pru's flexible group term solution helps to provide affordable
cover to members of a group. The cover could be uniform or based
designation or rank or a multiple of salary. The benefit the policy is paid
to the beneficiary nominated by the member on his/her death.

FLEXIBLE RIDER OPTIONS;
ICICI PRUDENTIAL life offers for flexible riders, which can be added
to the basic policy at a marginal cost, depending on the specific needs of
the customer.
Accident and disability benefit: if the death occurs as the result of an
accident during the term of the policy the beneficiary receives an
additional amount equal to the sum assured under the policy. If the
death occurs while
Level Term Cover: This rider provides the option to increase the risk
cover. It may be increased for an additional amount upto a maximum
of the existing basics sum assured on your policy


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Critical Illness Benefit: protects the insured against the financial loss in
the event of 9 specified critical illnesses. Benefits are payable to the
insured for medical expenses prior to death.
Major Surgical Assistance Benefit: provides financial support in the
event of medical emergencies, ensuring that benefits are payable to
the life assured for medical expenses incurred for surgical procedures.
Cover is offered against 43 different surgical procedures.

AWARENESS…
According to Saugata Gupta Chief - Marketing of ICICI Pru life's
communication strategies have been very successful in building the
brand and driving awareness of the company and the category.
ORG-Marg's Brand track survey undertaken last year indicate that though
awareness of LIC stands at 100%, ICICI Pru life stands not far behind in
the second place at 70%. Further the awareness scores for ICICI Pru life
double between February 2001 and September 2001.
ORG Marg research also showed that the communication not only
created saliency and awareness, but also succeeded in influencing the
buying decision. ICICI Pru life emerged far ahead of other private players
as far as share of wallet went, with 52% of the respondents saying that
they intended to buy policy from ICICI Pru life.

ADVERTISING EFFECTIVENESS…
ICICI Pru is a case study in the role of marketing in reshaping an
industry. It highlights how an industry where "sell" and "push" were often
used words and consumer was nothing more than a file number, has
changed to one where "consumer preference" and "consumer pull" rule
the roost. Here's a look at how ICICI Pru changed the rules of the games
and emerged a leader in the process.


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BACKGROUND
When the insurance sector was liberalized in 2000, the private
players contend with a few issues. Ratio of premium to GDP was low:
1.3% of GDP was invested in insurance. Insurance penetration was at an
abysmal 22% of insurable population. Besides the above the private
players were faced with attitudinal barriers, perception of insurance has a
tax saving tool and lack of a consumer centric approach in service and
product offerings.

THE MARKETING CHALLENGES FACING ICICI Pru:
The challenge therefore was to change established category drivers
(death payment and Tax saving) and to get the consumer to evaluated
insurance on a more emotional plat form rather than a mere rational
decision. (tax savings).

THE CAMPAIGN OBJECTIVES:
Reposition the category in the consumer's mind. Influence the
consumer to view it as a protection instrument and not a tax saving
product alone.
In the process, create differentiation for the ICICI Pru brand as a
provider of social security and family protection.
Achieve leadership status in saliency, image and product parameters.
Build credibility and trust.

CREATIVE STRATEGY:
The essence of the creative strategy is to get the consumer to re
look at insurance as a means to lead a worry free life and not as a
necessary evil. To this effect the core brand insight highlighted was "As


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head of the family, it is my responsibility to take care of my loved ones
and protect them from the uncertainties of life", summed up in the
advertising idea: 'we cover you at every step in life'

MARKET STRATEGY:
In a market likely to be cluttered, we used multiple touch points to
reach the consumer. The role for each medium was envisaged. The TV
medium was used to enhance the emotional link with the brand. Strategic
use of 15 sec. Edits facilitated high frequency levels. In print, the cost per
response rather than the cost per thousand as responses were measured
in form of call-ins. Radio FM, Cinema, Internet were used to create a
media multiplier effect.

THE RESULTS OF COMMUNICATION EFFORTS:
Being number one in awareness and saliency. Awareness: ICICI Pru
showed a significant jump in awareness between Feb and Sept 2001.
Image: highest score among all insurance players including LIC, on image
parameters like safety, modernity, service, good returns
Etc. intention to invest: next only to LIC as per research

SUM UP
In just over a year ICICI PRUDENTIAL has emerged as India's # 1
private life insurance company with almost 50% of the private players has
sold highest number of policies both in volume and value.


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FINDINGS &
ANALYSIS


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ANALYSIS OF THE QUESTIONNARIE OF THE EMPLOYEES

1. Do you have various other interests (social, religious), which remain
neglected because you do not get time to attend to these

Never 8%


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Occasionally 4%
Sometimes 52%
Frequently 36%
Very 0%


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2. Do you feel stagnant in your role

Never 4%
Occasionally 12%
Sometimes 32%
Frequently 52%
Very 0%


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3. Are you able to satisfy the conflicting demands of the various peer
level people

Never 12%
Occasionally 24%
Sometimes 24%
Frequently 36%
Very 4%


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4. Would you like to take more responsibility than at present

Never 8%
Occasionally 24%
Sometimes 16%
Frequently 36%
Very 16%


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5. The amount of work you have to do interferes with the quality you
want to maintain

Never 4%
Occasionally 4%
Sometimes 48%
Frequently 40%
Very 4%


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6. Is there not enough interaction between your role and other roles


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Never 8%
Occasionally 8%
Sometimes 32%
Frequently 52%
Very 0%


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7. Do you wish to acquire more skills to handle the responsibilities of
your role

Never 4%
Occasionally 8%
Sometimes 20%
Frequently 32%
Very 36%


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8. If you had full freedom to define your role you would be doing
some things different from what you do now

Never 0%


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Occasionally 16%
Sometimes 44%
Frequently 20%
Very 20%


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9. Several aspects of your role are vague and unclear

Never 40%
Occasionally 16%
Sometimes 12%
Frequently 32%
Very 0%


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10. Do you wish to have more financial resources for the work
assigned to you

Never 4%
Occasionally 4%
Sometimes 4%
Frequently 28%
Very 60%


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ANALYSIS

SUMMARY OF ANALYSIS

The analysis of the project:


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Most of the employees feel that their other social aspects
remain neglected due to workload, which is incompatible
with organizational role.

Most of the employees feel that their roles are stagnant

Some of the employees are not able to satisfy the conflicting
demands of the various peer level people.

Most of the employees would like to take more responsibility than
the present

Most of the employees feel that their work interferes with the
quality they want to maintain in their job

Most of the employees feel that there is not enough interaction
between their role and other roles because each one of them is
working independently.

Most of the employees wish to acquire more skills to handle the
responsibilities of their role

Some of the employees feel that if they are given full freedom to
define their role they will do some things different from what they
do now.

Most of the employees feel that they should be provided with more
financial resources for the work assigned.


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SUGGESTIONS


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SUMMARY OF SUGGESTIONS

When an individual occupies more than 1 role there are
bound to be conflicts between the different roles that he
occupies. Such inter-role conflicts are quite frequent in a
modern society, where an individual is increasingly
occupying multiple roles in various organizations and
groups. So the organization should throw a light on their
employees social aspects. The organization should
improve the facilities for leisure and recreation; fact of
people doing things for enjoyment, when they are not
working. The organization should arrange programs for
entertainment. Also a place for relaxation. Create a place
for indoor games like carom, table tennis etc

As the individual grows older, he also grows in the role
that he occupies in an organization of the individual that
the role changes, and with this change in role, the need
for taking up a new role becomes crucial. In order to be


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promoted the nit managers have to reach certain targets
set to them. Reaching these targets sometimes becomes
very difficult. This is bound to produce stress. Thus the
organization should have a systematic strategy of
manpower development.

When there are conflicting expectations or demands by
different role senders, the role occupant may experience
this stress. But most of the employees are able to satisfy
the demands of the various peer level people.
But some employees are not able to satisfy the
expectations from the boss, subordinates, peers or
clients. The organization should provide the employees
with full information about the products so that they are
able to satisfy the peers or clients.

A role occupant may feel that the functions, which he
would like to perform, are being performed by some
other role. The stress felt may be called role erosion.
Some important role expectations of the employee are
shared by other roles within the role set. So the
organization should give a chance to employees who are
willing to take more responsibilities to enhance their


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performance. And thus provide training, guidance and
assistance to the employees

When the role occupant feels that there are too many
expectations from the significant others in his role set,
he experiences role overload. Some employees feel that
they cannot possibly finish the work within the time limit.
The employees should be given sufficient time to
complete the work since it is an insurance industry,
getting the policies is quite difficult

When a role occupant feels that he is not prepared to
undertake the role effectively, he may experience this
stress. Almost all the employees wish to acquire more
skills because the organization is launching new
products in the market for the clients and so the


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employees should posses enough knowledge, skills,
training about the product because without enough
preparation or orientation they are likely to experience
this type of stress
So the organization should prepare the employees for the
assigned new role.

This stress arises out of the conflict between the
self-concept and the expectations from the role, as
perceived by the role occupant. Such conflicts are
common, although they may not be so severe. Some
employees are willing to do things different from what
they do now. So the organization should support such
employees so that they can generate good business,
which in turn will benefit the employees and also the
organization.

Resource Inadequacy stress is experienced when the
resources required by the role occupant for performing
the role effectively are not available, such as information,
people, materials, finance or other facilities. The unit
managers have to recruit 25 advisors to generate
business from them. For this purpose they have to go for


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fieldwork and hunt for them. So in this process they have
to spend the money in looking out for the efficient
people. So the company so provides financial resources
and transportation facilities to the employees. This will
reduce the stress of the employees and thus they will be
able to perform they role effectively with the availability
of adequate resources.


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LIMITATIONS

LIMITATIONS OF THE STUDY

Since private life insurance is the new theory in the Indian market,
an in depth study was not possible.

Some of the Unit Managers were engaged in their work and were
not able to give their opinion about their working process.


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Time Constraint


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CONCLUSION


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CONCLUSION

To conclude, I would like to say that working with ICICI
Prudential for 2 months was a great experience. And I feel proud be an
advisor of an esteemed company, as ICICI Prudential is known for its
leadership in the private life insurance sector.

The company should plan ahead and practice good time
management. It should also help the employees to develop a sound
philosophy of life and maintain a positive attitude.

Stress Management by organization should be designed to reduce the
harmful effects of stress in a way

Help employees modify their perception and understanding of work
stress
Help employees cope more effectively with the consequences of
stress.
Help the employees to identify and then modify or eliminate work
stressors


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ANNEXURE


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“A study on Stress Management at ICICI PRUDENTIAL”

The information given by you will be used only for the academic purpose,
will be of immense value and would assist me in this endeavor. Thus
kindly co-operate

Name of employee :

Age :

Gender : Male Female

Marital Status : Married Unmarried

Occupation :

1.Do you have various other interests (social, religious), which remain
neglected because you do not get time to attend to these

Never Occasionally Sometimes Frequently Very
(0) (1) (2) (3) Frequently
(4)

2. Do you feel stagnant in your role

(0) (1) (2) (3) Frequently
(4)

3. Are you able to satisfy the conflicting demands of the various peer level people

(0) (1) (2) (3) Frequently


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(4)

4. Would you like to take more responsibility than at present

(0) (1) (2) (3) Frequently
(4)

5. The amount of work you have to do interferes with the quality you
want to maintain

(0) (1) (2) (3) Frequently
(4)

6. Is there not enough interaction between your role and other roles

(0) (1) (2) (3) Frequently
(4)

7. Do you wish to acquire more skills to handle the responsibilities of your role


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(0) (1) (2) (3) Frequently
(4)

8. If you had full freedom to define your role you would be doing some
things different from what you do now

(0) (1) (2) (3) Frequently
(4)

9. Several aspects of your role are vague and unclear

(0) (1) (2) (3) Frequently
(4)

10. Do you wish to have more financial resources for the work assigned to you

(0) (1) (2) (3) Frequently
(4)


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BIBLIOGRAPHY


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1. Organizational behavior : John W. Newstrom
Keith Davis

2. Managing Human Resources : Wayne. F. Cascio

3. Making Organizational Roles Effective : Udai Pareek

4. Web-Site : iciciprulife.com , google.com

5. Journals : Company Journals & Magazine


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STRESS
MANAGEMENT


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What is Stress

Stress is the general term applied to the pressures people feel in
life. The presence of stress at work is almost inevitable in many jobs.
However, individual differences account for a wide range of reactions to
stress, a task viewed as challenging by one person may produce high
levels of anxiety in another. When pressure begins to build up, it can
cause adverse strain on person’s emotions, thought processes, and
physical condition. When stress becomes excessive, employees develop
various symptoms of stress that can harm their job performance and
health, and even threaten their ability to cope with the environment.
Stress also leads to physical disorders, because the internal body system
changes to try to cope with stress. It is important that stress, both on and
off the job, be kept at a level low enough for most people to tolerate
without developing either emotional or physical disorders.
Stress can be either temporary or long-term, either mild or severe.
The effects on an employee depend mostly on how long its causes


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continue, how powerful they are, and how strong the employee’s recovery
powers are. If stress is temporary and mild, most people can handle it or
at least recover from its effects rather quickly.
Stress is simply the body's non-specific response to any demand
made on it. Stress is not by definition synonymous with nervous tension
or anxiety. Stress provides the means to express talents and energies and
pursue happiness; it can also cause exhaustion and illness, either
physical or psychological; heart attacks and accidents. The important
thing to remember about stress is that certain forms are normal and
essential.
As the body responds to various forms of physical or psychological
stress, certain predictable changes occur. These include increased heart
rate, blood pressure (systolic and diastolic), and secretions of stimulatory
hormones. These responses to stress will occur whether the stress is
positive or negative in nature. In lay terms, it is known as the "fight or
flight" mechanism. Continual exposure lowers the body's ability to cope
with additional forms of psychological or physiological stress. The results
of continuing stress may cause disruption in one or more of the following
areas of health: physical, emotional, spiritual and/or social.
Stress is a process that builds. It's more effective to intervene early
in the process rather than later. Try to become aware of the signs that
suggest the process has begun
Stress is the way your body responds to the demands placed on it.
Positive or "good" stress can help you concentrate and focus. In some
instances, it actually increases your ability to survive. Your body's
response to stress can be hormonal, such as an adrenaline rush. It can
also be a rise in blood pressure, blood sugar, or body temperature. These
physical reactions can often make you more alert; give you more acute
eyesight or greater strength. That's how your body gives you what you


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need to act. Ideally, your body automatically relaxes after you have
handled the situation. Your physical responses normalize and you are
able to return to a state of rest. This process allows you to gather
physical and emotional energy which helps you deal with changes and
challenges in your daily life.
Your physical reaction to stress is the same for positive and
negative stress; the difference is that with negative stress your body
never returns to the "pre-stress" relaxed state. You remain tense or
anxious, which drains you of emotional and physical energy.
The common expression for stress is ‘tension’ One is said to be tense,
when there is some anxiety, some fear of whether the desirable things
may happen, whether something may go wrong, etc. It is a state of
discomfort felt in the mind and experienced by the body. When there is
tension, the body may become weak.
In management literature, ‘Stress’ is defined as a response of the
human body to a felt need. When one is hungry and there is an urge to
eat food, the body is in a state of stress, which disappears when the need
is fulfilled. This definition suggests that stress is a desirable condition,
making one move towards fulfillment of needs. This is partly true. Stress
occurs also when the need arises out of fear and the urge is to run and
escape. This may sometimes, be not possible. In that case, there is no
movement, the need remains unfulfilled and the stress condition does
not disappear.
Stress is identified as of two kinds. One is called EuStress, which is
the condition in which there is drive and effort to fulfill the needs.
Motivation is high. Achievement is seen as possible. The situation is
challenging. Stress disappears when the need is fulfilled
There is success. The other is DiStress, which is the condition when there
is a sense of helplessness in being able to achieve. The feeling is of


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frustration. There is no success. May be, there is no attempt even,
because success is seen as impossible. The stress condition remains.
If one were to chart the level of stress and the level of effort put in
to work, it would be an inverted parabola. Eustress would be in the
ascending left side of the parabola. The challenge would be maximum at
the hump. The latter half on the right side represents Distress. The
problems of stress are caused by Distress, not by Eustress.
Eustress is necessary for the person to be fully alert, for all his
faculties to come into play to face the situation. For example, a
goalkeeper in football or hockey, will be totally relaxed when the ball is at
the other end of the ground, but becomes extremely alert as the ball
moved towards him. His body stiffens, the eyes begin to bulge, focussing
on the ball and the movement of the players, picking up the slightest of
movements and every nerve and muscle ready to respond to those
movements. That is Eustress, without which the goalkeeper cannot be at
his best. So also, Eustress is experienced by the batsman in cricket when
the bowler is on the run, and by the tennis player when the ball is about
to be served at the other end.
Stress is a part of living. Too little stress and we become apathetic
and ineffective. Too much stress and we live with anxiety, fatigue, and
over time, increase our risk for accidental injury and serious illness.
Maintaining an optimal level of stress is an ongoing challenge of everyday
life.
The stress response of the body is meant to protect and support us.
To maintain stability or homeostasis, the body is constantly adjusting to
its surroundings. When a physical or mental event threatens this
equilibrium, we react to it. This process is often referred to as the "fight
or flight response." We prepare for physical action in order to confront or
flee a threat. Our ancestors responded to stressful ordeals in this fashion.


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Millions of years later, when you face a situation that you perceive as
challenging, your body automatically goes into overdrive, engaging the
stress response. Immediately, you release the same hormones that
enabled cave people to move and think faster, hit harder, see better, hear
more acutely, and jump higher than they could only seconds earlier. Like
theirs, your heartbeat speeds up; your blood pressure increases; your
breathing quickens. Most modern stresses, however, do not call for either
fight or flight. Our experience of stress is generally related to how we
respond to an event, not to the event itself.


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Stress has existed throughout the evolution. About 4 billion years
ago, violent collision of rock and ice along with dust and gas, led to the
formation of a new planet. The planet survive more than 100 million
years of meltdown to give birth to microscopic life . These first organisms
endured the harshest of conditions—lack of oxygen, exposure to sun's
UV rays and other inhospitable elements, to hang on to their dear life.
Roughly 300,000 years ago, the Neanderthals learnt to use fire in a
controlled way, to survive the Glacial Age. And around 30,000 years,
Homo sapiens with their dominant gene constitutions and better coping
skills, won the game of survival. Each step of evolution a test of survival,
and survival, a matter of coping with the stress of changing conditions.
Millions of trials and errors in the life process have brought men to
this stage. Coping with events to survive has led men to invent
extraordinary technologies, beginning with a piece of sharpened stone.
From the viewpoint of microevolution, stress induction of
transpositions is a powerful factor, generating new genetic variations in
populations under stressful environmental conditions. Passing through a
'bottleneck', a population can rapidly and significantly alters its
population norm and become the founder of new, evolved forms.
Gene transposition through Transposable Elements (TE)—'jumping
genes', is a major source of genetic change, including the creation of
novel genes, the alteration of gene expression in development, and the
genesis of major genomic rearrangements. In a research on 'the
significance of responses of the genome to challenges,' the Nobel Prize
winning scientist Barbara McClintock, characterized these genetic
phenomena as 'genomic shock’. This occurs due to recombination events
between TE insertions (high and low insertion polymorphism) and host


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genome. But, as a rule TEs remain immobilized until some stress factor
(temperature, irradiation, DNA damage, the introduction of foreign
chromatin, viruses, etc.) activates their elements.
The moral remains that we can work a stress condition to our
advantage or protect ourselves from its untoward follow-throughs
subject to how we handle a stress situation. The choice is between
becoming a slave to the stressful situations of life or using them to our
advantage

"Nothing gives one person so much advantage over another as to
remain always cool and unruffled under all circumstances”
In a challenging situation the brain prepares the body for defensive
action—the fight or flight response by releasing stress hormones, namely,
cortisone and adrenaline. These hormones raise the blood pressure and the
body prepares to react to the situation. With a concrete defensive action (fight
response) the stress hormones in the blood get used up, entailing reduced
stress effects and symptoms of anxiety.
When we fail to counter a stress situation (flight response) the
hormones and chemicals remain unreleased in the blood stream for a
long period of time. It results in stress related physical symptoms such as
tense muscles, unfocused anxiety, dizziness and rapid heartbeats. We all
encounter various stressors (causes of stress) in everyday life, which can
accumulate, if not released. Subsequently, it compels the mind and body to be
in an almost constant alarm-state in preparation to fight or flee. This state of
accumulated stress can increase the risk of both acute and chronic
psychosomatic illnesses and weaken the immune system of the human body.
Stress can cause headaches, irritable bowel syndrome, eating
disorder, allergies, insomnia, backaches, frequent cold and fatigue to
diseases such as hypertension, asthma, diabetes, heart ailments and even
cancer. In fact, Sanjay Chugh, a leading Indian psychologist, says that 70


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per cent to 90 per cent of adults visit primary care physicians for
stress-related problems. Scary enough.
Just about everybody—men, women, children and even fetuses—suffer
from stress. Relationship demands, chronic health problems, pressure at
workplaces, traffic snarls, meeting deadlines, growing-up tensions or a sudden
bearish trend in the bourse can trigger stress conditions. People react to it in
their own ways. In some people, stress-induced adverse feelings and anxieties
tend to persist and intensify. Learning to understand and manage stress can
prevent the counter effects of stress.
Methods of coping with stress are aplenty. The most significant or
sensible way out is a change in lifestyle. Relaxation techniques such as
meditation, physical exercises, listening to soothing music, deep
breathing, various natural and alternative methods, personal growth
techniques, visualization and massage are some of the most effective of
the known non-invasive stress busters

The words 'positive' and 'stress' may not often go together. But,
there are innumerable instances of athletes rising to the challenge of
stress and achieving the unachievable, scientists stressing themselves out
over a point to bring into light the most unthinkable secrets of the
phenomenal world, and likewise a painter, a composer or a writer
producing the best paintings, the most lilting of tunes or the most
appealing piece of writing by pushing themselves to the limit.
Psychologists second the opinion that some 'stress' situations can
actually boost our inner potential and can be creatively helpful. Sudha
Chandran, an Indian danseus, lost both of her legs in an accident. But,
the physical and social inadequacies gave her more impetus to carry on
with her dance performances with the help of prosthetic legs rather than
deter her spirits.


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Experts tell us that stress, in moderate doses, are necessary in our
life. Stress responses are one of our body's best defense systems against
outer and inner dangers. In a risky situation (in case of accidents or a
sudden attack on life et al), body releases stress hormones that instantly
make us more alert and our senses become more focused. The body is
also prepared to act with increased strength and speed in a pressure
situation. It is supposed to keep us sharp and ready for action.
Research suggests that stress can actually increase our
performance. Instead of wilting under stress, one can use it as an
impetus to achieve success. Stress can stimulate one's faculties to delve
deep into and discover one's true potential. Under stress the brain is
emotionally and biochemically stimulated to sharpen its performance
Stress is, perhaps, necessary to occasionally clear cobwebs from
our thinking. If approached positively, stress can help us evolve as a
person by letting go of unwanted thoughts and principle in our life. Very
often, at various crossroads of life, stress may remind you of the
transitory nature of your experiences, and may prod you to look for the
true happiness of life.

Organizational and individual programs to help managers and
employees cope up with stress have become increasingly popular, as the
toll taken by stress has become more widely known. Methods are
available to individuals and organizations for managing stress and
reducing its harmful effects. Stress management refers to any program
that reduces stress be helping people understand the stress response,


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recognize stressors, and use coping techniques to minimize the negative
impact of stress.

INDIVIDUAL METHODS
Stress management by individuals includes activities and behaviors
designed to eliminate or control the sources of stress and make the
individual more resistant to or better able to cope with stress. The first
step in individual stress management involves recognizing the stressors
that are affecting the person’s life. Next, the individual needs to decide
what to do about them.
Practical suggestions for individual stress management include the
following
Plan ahead and practice good time management
Get plenty of exercise
Develop a sound philosophy of life and maintain a positive attitude
Concentrate on balancing your work and personal life.
Learn a relaxation technique.

ORGANIZATIONAL METHODS
Stress management by organizations is designed to reduce the
harmful effects of stress in three ways
Identify and then modify or eliminate work stressors
Help employees modify their perception and understanding of work
stress
Help employees cope more effectively with the consequences of
stress.


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APPROACHES TO STRESS MANAGEMENT
Both organization and individuals are highly concerned about
stress and its effects. In attempting to manage stress, they have three
broad options
Prevent or control it,
Escape from it,
Learn to adapt it.
Organizations can seek to improve managerial communication
skills, empower employees through participation, redesign jobs to be
more fulfilling, or implement organization development programs. These
steps are aimed at reducing or eliminating stressors for employees. Some
employees can escape stress by requesting job transfers, finding
alternative employment, taking early retirement or acquiring
assertiveness skills allow them to confront the stressor.
Some people experience stress because they are detached from the
world around them, they lack warm interpersonal relationships.
Individuals with a driving ambition and a strong need for independence
may fail to develop close attachments to friends and colleagues. To
achieve their success, they often sacrifice fulfillment to their social needs.
Their lack of social attachments may result in anger, anxiety, and
loneliness- all producing stress in their lives.

STRESS AND JOB PERFORMANCE
Stress can be either helpful or harmful to job performance,
depending on its level. When there is no stress, job challenges are absent
and performance tends to be low. As stress increases, performance tends to
increase, because stress helps a person call up resources to meet job requirements.
Constructive stress is a healthy stimulus that encourages employees to respond to
challenges. Eventually, stress reaches a plateau that corresponds approximately with a


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