In a bowl combine the cake mix, egg, water and oil; mix well. Roll rounded teaspoonfuls of dough into balls. Press a candy into each; reshape balls. Dip tops in hazelnuts. Place on ungreased baking sheets. Bake at 350 for 8-10 minutes or until tops are cracked. Cool for 2 minutes before removing from pans to wire racks.
If dough is sticky, spray hands lightly with nonstick cooking spray before rolling into balls.