Escolar Documentos
Profissional Documentos
Cultura Documentos
SUBMITTED BY
MOHAMMAD ASIF
MBA 2016 - 2017
ACKNOWLEDGMENT
The internship opportunity I had with HDFC Bank, Alambagh branch, Lucknow was a great
chance for learning and professional development. Therefore, I consider myself as a very
lucky individual as I was provided with an opportunity to be a part of it. I am also grateful for
having a chance to meet so many wonderful people and professionals who led me though this
internship period.
Bearing in mind previous I am using this opportunity to express my deepest gratitude and
special thanks to the Branch Manager Mr. Vishnu Pratap Singh Chauhan of HDFC Bank,
Alambagh Branch, Lucknow who in spite of being extraordinarily busy with his duties, took
time out to hear, guide and keep me on the correct path and allowing me to carry out my
project at their esteemed organization and extending during the training.
I acknowledge my gratitude to respected faculty Ms. BHAVNA PANDEY
MOHAMMAD ASIF
DECLARATION
MOHAMMAD ASIF
IMBA (7th Sem.)
PREFACE
As a part of our course curriculum I had to go through a Summer Internship Project Report
on any topic to get the right exposure to the practical aspects of business management.
I want to express my gratitude for the experience and practical knowledge that I earned
during the Summer Internship. In this project report I had presented my great experience in
the form of words. In making the project report theoretical knowledge was needed more than
the practical which was given to us by my professors in my institute.
I hope that the findings and the suggestions will help the company, confidently to formulate
its strategy in comparison to its competitors. I have enjoyed my report preparation and have
learnt lots of new things. I have tried my level best to make this report a reader friendly &
also did my level best to fulfil the objective of the study.
TABLE OF CONTENT
Chapters
Part I
1.
2.
3.
Part II
4.
5.
6.
Part III
7.
8.
9.
10.
11.
12.
13.
Content
Introduction of Banking
1.1 Meaning and Definition
1.2 Banking system in india
1.3 Indian Banking system
Company Profile
3.1 History of HDFC Bank
3.2 Mission, Vision and Objectives
3.3 Management at HDFC Bank
3.4 Business Profile
3.5 Ratings/Awards
3.6 Products of HDFC Bank
3.7 payment services
3.8 SWOT analysis
Introduction to Private Banking
Objectives of the study
Literature Review
Research Methodology
a. Research Design
b. Research Type
c. Data Collection
d. Sample Plan
Data Analysis & Interpretations
Findings
Conclusion
Limitations
Recommendation and Suggestions
Bibliography
Questionnaire
INTRODUCTION
Page No.
Bank is an institution that deals in money and its substitutes and provides crucial financial
services. The principal type of baking in the modern industrial world is commercial banking
& central banking.
Banking Means "Accepting Deposits for the purpose of lending or Investment of deposits of
money from the public, repayable on demand or otherwise and withdraw by cheque, draft or
otherwise."
-Banking Companies (Regulation) Act, 1949
The concise oxford dictionary has defined a bank as "Establishment for custody of money
which it pays out on customers order." In fact this is the function which the bank performed
when banking originated.
"Banking in the most general sense, is meant the business of receiving, conserving &
utilizing the funds of community or of any special section of it."
-By H.Wills& J. Bogan
"A banker of bank is a person, a firm, or a company having a place of business where credits
are opened by deposits or collection of money or currency or where money is advanced and
waned.
-By Findlay Sheras
Thus
A Bank:
Accept deposits of money from public.
Pays interest on money deposited with it.
Lends or invests money.
Repays the amount on demand,
Allow the money deposited to be withdrawn by cheque or draft.
The origin of the word bank is shrouded in mystery. According to one view point the Italian
business house carrying on crude from of banking were called banchibancheri" According to
another viewpoint banking is derived from German word "Branck" which mean heap or
mound. In England, the issue of paper money by the government was referred to as a raising
a bank.
ORIGIN OF BANKING:
Its origin in the simplest form can be traced to the origin of authentic history. After
recognizing the benefit of money as a medium of exchange, the importance of banking was
developed as it provides the safer place to store the money. This safe place ultimately evolved
in to financial institutions that accepts deposits and make loans i.e., modern commercial
banks.
The history of banking in each country runs in lines with the development of trade and
industry, and with the level of political confidence and stability. The ancient Romans
developed an advanced banking system to serve their vast trade network, which extended
throughout Europe, Asia and Africa.Banking is nearly as old as civilization. The history of
banking could be said to have started with the appearance of money. The first record of
minted metal coins was in Mesopotamia in about 2500B.C. the first European banknotes,
which was handwritten appeared in1661, in Sweden. Cheque and printed paper money
appeared in the 1700s and 1800s, with many banks created to deal with increasing trade.
Modern banking began in Venice. The word bank comes from the Italian word ban co,
meaning bench, because moneylenders worked on benches in market places. The bank of
Venice was established in 1171 to help the government raise finance for a war.
At the same time, in England merchant started to ask goldsmiths to hold gold and silver in
their safes in return for a fee. Receipts given to the Merchant were sometimes used to buy or
sell, with the metal itself staying under lock and key. The goldsmith realized that they could
lend out some of the gold and silver that they had and charge interest, as not all of the
merchants would ask for the gold and silver back at the same time. Eventually, instead of
charging the merchants, the goldsmiths paid them to deposit their gold and silver.
The bank of England was formed in 1694 to borrow money from the public for the
government to finance the war of Augsburg against France. By 1709, goldsmith were using
bank of England notes of their own receipts.
New technology transformed the banking industry in the 1900s round the world, banks
merged into larger and fewer groups and expanded into other country.
Banks are in the business of accepting deposits for the purpose of lending. They act as
financial intermediaries between depositors with surplus funds and borrowers who are in
need of funds. Banks occupy a pivotal place in the payment system for government, business
and households. Thus, they play a vital role in the economic and financial life of country.
The banking sector in the country has undergone a metamorphic persuade the policies of
interest rate deregulation and financial liberalization in a bid to supplement the government
policies of economic liberalization. The most important change that has overtaken the
nations banking industry, relates to the fact that the competitive forces are sought to be
introduced consciously in the financial service sector wide to facilitate the entry of foreign
banks and new private sector banks.
After the nationalization of 14 commercial banks in the year 1969, no new private banks were
licensed by RBI in the country though there was no legal bank on the entry of private sector
banks. The narasimham committee report of 1991, has envisaged a larger for private sector
banks.
Not long ago, an account holder had to wait for hours at the bank counters for getting a draft
for withdrawing his own money. Today, he has a choice gone are days when the most
efficient bank transferred money from one branch to other in two days. Now it is simple as
instant messaging or dial a pizza. Money has become the order of the day.
The first bank in India, though conservative, was established in 1786. From 1786 till today,
the journey of India banking system can be segregated into three distinct phases. They are as
mentioned below:
Early phase from 1786 to 1969 of Indian banks
Nationalization of India banks and up to 1991 prior to India banking sector reforms.
There are three different phases in the history of banking in India
i)
ii)
iii)
Pre-Nationalization Era.
Nationalization stage.
Post Liberalization Era.
The general bank of India was setup in the year 1786. Next bank of Hindustan and Bengal
bank. The east IndiaCompany established bank of Bengal (1809), bank of Bombay (1840)
and bank of madras (1843) as independent units and called it presidency banks. These three
banks were amalgamated in 1920 and imperial bank of India was established which started as
private banks.
These three banks also known as Presidency Bank. The presidency banks had their
branches in important trading centers but mostly lacked in uniformity in their operational
policies. In 1899, the government proposed to amalgamate these three banks into one so that
it could also functions as a obtaining during world war period (1914-1918) emphasizes the
need for a unified banking institution, as a result of which the imperial bank was set up in
1921. The imperial bank of India acted like a central bank and as a banker for other banks.
In 1865 Allahabad bank was established and first time exclusive by India, Punjab national
bank ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and 1913, bank of
India, central bank of India, bank of Baroda, Canada bank, Indian bank and bank of Mysore
were set up. Reserve bank of India came in 1935 as central bank of the country. In 1949, the
banking regulation act was passed and the RBI was nationalizes and acquired extensive
regulatory powers over the commercial banks.
In 1950, the Indian banking system comprised of the RBI, the imperial bank of India.
Cooperative banks, exchange banks and Indian joint stock banks.
During the first phase the growth was very slow and banks also experienced periodic failures
between 1913 and 1948. There were approximately 1100 banks, mostly small.
PHASE II: Nationalization Stage
After independence, in 1951, the all India rural credit survey, committee of direction with
Shri. A. D. Gorwala as chairman recommended amalgamation of the Imperial bank of India
and ten others banks into a newly established bank called the state bank of India (SBI). The
government of India accepted the recommendation of the committee and introduced the State
Bank of India bill in the LokSabha on 16 th April 1995 and it was passed by parliament and
got the presidents assent on 8th May 1995. The act came into forces on 1st July 1995, and the
Imperial bank of India was nationalizes in 1995 as the State Bank of India.
10
The main objective of establishing SBI by nationalizing the imperial bank of india was to
extend banking facilities on a large scale more particularly in the rural and semi-urban areas
and to diverse other public purposes.
In 1959, the SBI (Subsidiary Bank) act was proposed and the following eight state associated
banks were taken over by the SBI as its subsidiaries.
Name of the Bank
1.
2.
3.
4.
5.
6.
7.
8.
With effect from 1st January 1963, the state bank of Bikaner and state bank of Jaipur with
head office located at Jaipur. Thus, seven subsidiary banks state bank of India formed the SBI
group. The SBI group under statutory obligations was required to open new offices in rural
and semi-urban areas and modern banking was taken to these unbanked remote areas.
On 19th July 1969, then the Prime Minister, Mrs. Indira Gandhi announced the nationalized of
14 major scheduled commercial banks each having deposits worth Rs. 50 crore and above.
This was a turning point in the history of commercial banking in India.
Later the government nationalized six more commercial private sector banks with deposit
liability of not less than Rs. 200 crore on 15th April 1980, viz.
i)
ii)
iii)
iv)
v)
vi)
Andhra bank
Corporation bank
New bank of India
Oriental bank of commerce
Punjab and Sind bank
Vijaya bank
In 1969, the lead bank scheme was introduced to extend banking facilities to every corner of
the country. Later in 1975, regional rural banks were set up to supplement activities of the
commercial banks and to especially meet the credit needs of the weaker sections of the rural
society.
11
Nationalization of banks paved way for retail banking and as a result there has been an alt
round growth in the branch network, the deposit mobilization, credit disposals and of course
employment.
Government took major steps in this Indian banking sectors reform after independence in
1955, it nationalized imperial bank of India with extensive banking facilities on a large scale
especially in rural and semi-urban areas. It formed state bank of India to act as the principal
agent of RBI and to handle banking transaction of the union and state government all over the
country.
The following are the steps taken by government of India to regulate banking institution in
the country:
1949: ENACTMENT OF BANKING REGULAION ACT.
1955: NATIONALIZATION OF STATE BANK OF INDIA.
1959: NATIONALIZATION OF SBI SUBSIDIARIES.
1961: INSURANCE COVER EXTENDED TO DEPOSITE.
1969: NATIONALIZATION OF 14 MAJOR BANKS.
1971: CRESTION OF CREDIT GUARANTEE CORPORATION.
1975: CREATION OF REGIONAL RURAL BANKS.
1980: NATIONALIZATION OF SEVEN BANKS WITH DEPOSITE OVER 200 CRORE.
The first year after nationalization witnessed the total growth in the agricultural loans and the
loans made to SSI by 87% and 48% respectively. The overall growth in the deposit and the
advances indicated the improvement that has taken place in the banking habits of the people
in the rural and semi-urban areas where the branch network has spread. Such credit expansion
enabled the banks to achieve the goals of nationalization, it was however, achieved at the
goals of nationalization. It was however, achieved at the coast of profitability of the banks.
Consequences of Nationalization:
12
The quality of credit assets fell because of liberal credit extension policy.
Political interference had been additional malady.
Poor appraisal involved during the loan meals conduct for credit disbursals.
The credit facilities extended to the priority sector at concessional rates.
The high level of low yielding SLR investments adversely affected the profitability of
the banks.
The rapid branch expansion has been the squeeze on profitability of banks emanating
primarily due to the increase in the fixed costs.
There was downward trend in the quality of services and efficiency of the banks.
PHASE III: Post-Liberalization Era----Thrust on quality and profitability
By the beginning of 1990, the social banking goals set for the banking industry made most of
the public sector resulted in the presumption that there was no need to look at the
fundamental financial strength of this bank. Consequently they remained undercapitalized.
Revamping this structure of the banking industry was of extreme importance, as the health of
the financial sector in particular and the economy was a whole would be reflected by its
performance.
The need for restructuring the banking industry was felt greater with the initiation of the real
sector reform process in 1992. The reform has enhanced the opportunities and challenges for
the real sector making them operate in a borderless global market place. However, to harness
the benefits of globalization, there should be an efficient financial sector to support the
structural reforms taking place in the real economy. Hence, along with the reform of the real
sector, the banking sector reformation was also addressed.
The route causes for the lackluster performance of bank, formed the elements of the banking
sector reform. Some of the factors that led to the dismal performance of bank were.
Against this background, the financial sector reforms were initiated to bring about a paradigm
shift in the banking industry, by addressing the factor for its dismal performance.
13
This phase has introduced many products and facilities in the banking sector in its reforms
measure. In 1991, under the chairmanship of M Narasimham, a committee was set up by his
name which worked for the liberalization of banking practices.
The country is flooded with foreign banks and their ATM stations. Efforts are being put to
give a satisfactory service to customers. Phone banking and net banking is introduced. The
entire system became more convenient and swift. Time is given more importance than
money.
The financial system of India has shown a great deal of resilience it is sheltered from any
crisis triggered by any external macroeconomics shock as other East Asian countries suffered.
This is all due to a flexible exchange rate regime, the foreign reserves are high, the capital
account is not yet fully convertible, and banks and their customers have limited foreign
exchange exposure.
Private Sector Banks
The concept of private banking was introduced about 15 years ago. These are the banks that
do not have any government stakes.
Private Banks have gained quite a foothold in the Indian banking industry over the last few
years especially because of optimum use of technology. The private banks are accountable for
a share of 18.2% of the Indian banking industry. Induslnd bank was the 1 st private bank in
India. Currently the bank is among the fastest growing bank private bank in the country. IDBI
which is ranked as the 10thlargest global development bank in counted as one of the finest
financial institutions in the subcontinent.
BANKING SERVICES
Banking covers so many services that it is difficult to define it. However, these basic services
have always been recognized as the hallmark of the genuine banker.
These are
The receipt of the customers deposits
The collection of his cheques drawn on other banks
The payment of the customers cheques drawn on himself.
14
Customer responsiveness must be quick and also competent. Speed, performance and cost
will be the new values mantra for success.
These key areas of customers services to be attended timely and regularly are:
i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
16
Delhi. Local Boards consist of five members each Central Government appointed for a term
of four years to represent territorial and economic interests and the interests of co-operative
and indigenous banks.
The Reserve Bank of India Act, 1934 was commenced on April 1, 1935. The Act, 1934 (II of
1934) provides the statutory basis of the functioning of the Bank.
The Bank was constituted for the need of following:
1. To regulate the issue of banknotes
2. To maintain reserves with a view to securing monetary stability and
3. To operate the credit and currency system of the country to its advantage.
Bank of issue:
Under Section 22 of the Reserve Bank of India Act, the Bank has the sole right to issue bank
notes of all denominations. The distribution of one rupee notes and coins and small coins all
over the country is undertaken by the Reserve Bank as agent of the Government. The Reserve
Bank has a separate Issue Department which is entrusted with the issue of currency notes.
The assets and liabilities of the Issue Department are kept separate from those of the Banking
Department.
Banker to Government:
The second important function of the Reserve Bank of India is to act as Government banker,
agent and adviser. The Reserve Bank is agent of Central Government and of all State
Governments in India excepting that of Jammu and Kashmir. The Reserve Bank has the
obligation to transact Government business, via. To keep the cash balances as deposits free of
interest, to receive and to make payments on behalf of the Government and to carry out their
exchange remittances and other banking operations. The Reserve Bank of India helps the
Government - both the Union and the States to float new loans and to manage public debt. It
17
acts
as
adviser
to
the
Government
on
all
monetary
and
banking
matters.
(d) It acts as the lender of the last resort by providing rediscount facilities to scheduled banks.
According to the Reserve Bank of India Act of 1934, the Bank was required to buy and sell at
fixed rates any amount of sterling in lots of not less than Rs. 10,000. The rate of exchange
fixed was Re. 1 = sh. 6d. Since 1935 the Bank was able to maintain the exchange rate fixed at
lsh.6d. Though there were periods of extreme pressure in favour of or against the rupee. After
India became a member of the International Monetary Fund in 1946, the Reserve Bank has
the responsibility of maintaining fixed exchange rates with all other member +countries of
the I.M.F.Besides maintaining the rate of exchange of the rupee, the Reserve Bank has to act
as the custodian of India's reserve of international currencies.
Supervisory function:
In addition to its traditional central banking functions, the Reserve bank has certain nonmonetary functions of the nature of supervision of banks and promotion of sound banking in
India. The Reserve Bank Act, 1934, and the Banking Regulation Act, 1949 have given the
RBI wide powers of supervision and control over commercial and co-operative banks,
relating to licensing and establishments, branch expansion, liquidity of their assets,
management and methods of working, amalgamation, reconstruction, and liquidation. The
RBI is authorized to carry out periodical inspections of the banks and to call for returns and
necessary information from them.
The nationalization of 14 major Indian scheduled banks in July 1969 has imposed new
responsibilities on the RBI for directing the growth of banking and credit policies towards
more rapid development of the economy and realization of certain desired social objectives.
Promotional functions:
The Bank now performs a variety of developmental and promotional functions, which, at one
time, were regarded as outside the normal scope of central banking. The Reserve Bank was
asked to promote banking habit, extend banking facilities to rural and semi-urban areas, and
establish and promote new specialized financing agencies. It set up the Deposit Insurance
Corporation in 1962, the Unit Trust of India in 1964, the Industrial Development Bank of
India also in 1964, the Agricultural Refinance Corporation of India in 1963 and the Industrial
Reconstruction Corporation of India in 1972. These institutions were set up directly or
indirectly by the Reserve Bank to promote saving habit and to mobilize savings, and to
19
provide industrial finance as well as agricultural finance. The RBI has set up the Agricultural
Refinance and Development Corporation to provide long-term finance to farmers.
Canara Bank
certification
The First Bank in Northern India to get ISO
Bank
Punjab national
bank
State Bank Of
India.
Allabahad bank of
India
Bank
Ltd.
(1922)
and
Hooghly
Bank
Ltd.
(1932).
ALLAHABAD BANK
ANDHRA BANK
BANK OF BARODA
BANK OF INDIA
BANK OF MAHARASTRA
CANARA BANK
CENTRAL BANK OF INDIA
CORPORATION BANK
DENA BANK
List of State Bank of India and its subsidiary, a Public Sector Banks
STATE BANK OF INDIA
STATE BANK OF BIKANER & JAIPUR
STATE BANK OF HYDERABAD
STATE BANK OF INDORE
STATE BANK OF MYSORE
STATE BANK OF SAURASTRA
STATE BANK OF TRAVANCORE
in India.
21
FEDERAL BANK
HDFC BANK
ICICI BANK
IDBI BANK
INDUSIND BANK
CO-OPERATIVE BANKS IN INDIA:
The Co operative banks in India started functioning almost 100 years ago. The
Cooperative bank is an important constituent of the Indian Financial System, judging by
the role assigned to co operative, the expectations the co operative is supposed to fulfill,
their number, and the number of offices the cooperative bankoperate. Though the co
operative movement originated in the West, but the importance of such banks have
assumed in India is rarely paralleled anywhere else in the world.
The cooperative banks in India play an important role even today in rural financing. The
businesses of cooperative bank in the urban areas also have increased phenomenally in
recent years due to the sharp increase in the number of primary co-operative banks. Co
operative Banks in India are registered under the Co-operative Societies Act. The
cooperative bank is also regulated by the RBI. They are governed by the Banking
Regulations Act 1949 andBanking Laws (Co-operative Societies) Act, 1965.
REGIONAL RURAL BANKS IN INDIA:
Rural banking in India started since the establishment of banking sector in India. Rural
Banks in those days mainly focused upon the agro sector. Regional rural banks in India
penetrated every corner of the country and extended a helping hand in the growth process of
the
country.
SBI has 30 Regional Rural Banks in India known as RRBs. The rural banks of SBI are
spread in 13 states extending from Kashmir to Karnataka and Himachal Pradesh to North
East. The total number of SBIs Regional Rural Banks in India branches is 2349 (16%). Till
date in rural banking in India, there are 14,475 rural banks in the country of which 2126
(91%)
are
located
in
remote
22
rural
areas.
NABARD
National Bank for Agriculture and Rural Development (NABARD) is a development bank
in the sector of Regional Rural Banks in India. It provides and regulates credit and gives
service for the promotion and development of rural sectors mainly agriculture, small scale
industries, cottage and village industries, handicrafts. It also finances rural crafts and other
allied rural economic activities to promote integrated rural development. It helps in securing
rural prosperity and its connected matters.
FOREIGN BANKS IN INDIA:
Foreign Banks in India always brought an explanation about the prompt services to
customers. After the set up foreign banks in India, the banking sector in India also become
competitive and accurative.A new rule announced by the Reserve Bank of India for the
foreign banks in India in this budget has put up great hopes among foreign banks which
allow them to grow unfettered.
Now foreign banks in India are permitted to set up local subsidiaries. The policy conveys
that foreign banks in India may not acquire Indian ones (except for weak banks identified by
the RBI, on its terms) and their Indian subsidiaries will not be able to open branches freely.
.List of Foreign Banks in India
ABU DHABI COMMERCIAL BANK
ANZ GRINDLAYS BANK
BANK OF AMERICA
CITI BANK
CHINA TRUST COMMERCIAL BANK
HSBC
STANDARD CHARTERED BANK
ABN-AMRO BANK
DEUTSCHE BANK
JPMORGAN CHASE BANK
23
In todays dynamic world banks are inevitable for the development of a country. Banks play a
pivotal role in enhancing each and every sector. They have helped bring a draw of
development on the worlds horizon and developing country like India is no exception.
Banks fulfills the role of a financial intermediary. This means that it acts as a vehicle for
moving finance from those who have surplus money to (however temporarily) those who
have deficit. In everyday branch terms the banks channel funds from depositors whose
accounts are in credit to borrowers who are in debit.
Without the intermediary of the banks both their depositors and their borrowers would have
to contact each other directly. This can and does happen of course. This is what has lead to
the very foundation of financial institution like banks.
24
Before few decades there existed some influential people who used to land money. But a
substantially high rate of interest was charged which made borrowing of money out of the
reach of the majority of the people so there arose a need for a financial intermediate.
The Bank have developed their roles to such an extent that a direct contact between the
depositors and borrowers in now known as disintermediation.
Banking industry has always revolved around the traditional function of taking deposits,
money transfer and making advances. Those three are closely related to each other, the
objective being to lend money, which is the profitable activity of the three. Taking
depositsgenerates funds for lending and money transfer services are necessary for the
attention of deposits. The Bank have introduced progressively more sophisticated versions of
these services and have diversified introduction in numerable areas of activity not directly
relating to this traditionaltrinity.
Schedule Banks
State co-op
Banks
Commercial
Banks
Non-Schedule Banks
Central co-op
Banks and
Primary Cr.
SocietiesSocie
25
Commercial Banks
Indian
Foreign
Public Sector
Banks
Private Sector
Banks
State Bank of
India and its
Subsidiaries
Other Nationalized
Banks
HDFC,
ICICI, etc
Regional
Rural Banks
The banking scenario in India has been changing at fast pace from being just the borrowers
and lenders traditionally, the focus has shifted to more differentiated and customized
product/service provider from regulation to liberalization in the year 1991, from planned
economy to market.
Economy, from licensing to integration with Global Economics, the changes have been swift.
All most all the sector operating in the economy was affected and banking sector is no
exception to this. Thus the whole of the banking system in the country has undergone a
radical change. Let us see how banking has evolved in the past 57 years of independence.
26
After independence in 1947 and proclamation in 1950 the country set about drawing its road
map for the future public ownership of banks was seen inevitable and SBI was created in
1955 to spearhead the expansion of banking into rural India and speed up the process of
magnetization.
Political compulsions brought about nationalization of bank in 1969 and lobbying by bank
employees and their unions added to the list of nationalized banks a few years later.
Slowly the unions grew in strength, while bank management stagnated. The casualty was to
the customer service declined, complaints increased and bank management was unable to
item the rot.
In the meantime, technology was becoming a global phenomenon lacking a vision of the
future and the banks erred badly in opposing the technology up gradation of banks. They
mistakenly believed the technology would lead to retrenchment and eventually the
marginalization of unions.
The problem faced by the banking industry soon surfaced in their balance sheets. But the
prevailing accounting practices unable banks to dodge the issue.
The rules of the game under which banks operated changed in 1993. Norms or income
Recognition, Assets classification and loan loss provisioning were put in place and capital
adequacy ratio become mandatory. The cumulative impact of all these changes has been on
the concept of state ownership in banks. It is increasingly becoming clear that the state
ownership in bank is no longer sustainable.
The amendment of banking regulation act in 1993 saw the entry of new private sector banks
and foreign banks.
MAJOR PLAYER IN INDIA
1. HDFC BANK LTD
2. ICICI BANK LTD
3. STATE BANK OF INDIA LTD
4. PUNJAB NATOINAL BANK LTD
5. BANK OF BARODA LTD
6. FEDERAL BANK LTD
7. AXIS BANK LTD
27
COMPANY OVERVIEW
INTRODUCTION
The Housing Development Finance Corporation Limited (HDFC) was amongst the first to
receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in
the private sector, as part of the RBI's liberalization of the Indian Banking Industry in 1994.
The bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its
registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled
Commercial Bank in January 1995. HDFC is India's premier housing finance company
and enjoys an impeccable track record in India as well as in international markets. Since its
inception in 1977, the Corporation has maintained a consistent and healthy growth in its
operations to remain the market leader in mortgages. Its outstanding loan portfolio covers
well over a million dwelling units. HDFC has developed significant expertise in retail
28
mortgage loans to different market segments and also has a large corporate client base for
its housing related credit facilities. With its experience in the financial markets, a strong
market reputation, large shareholder base and unique consumer franchise, HDFC was ideally
positioned to promote a bank in the Indian environment.
HDFC Bank began operations in 1995 with a simple mission: to be a World Class Indian
Bank. We realized that only a single minded focus on product quality and service
excellence would help us get there. Today, we are proud to say that we are well on our
way towards that goal.
HDFC Bank Limited (the Bank) is an India-based banking company engaged in providing a
range of banking and financial services, including commercial banking and treasury
operations. The Bank has a network of 1412 branches and 3295 automated teller machines
(ATMs) in 528 cities and total employees is 52687.
BRANCHES (NOS)
1412
684
2007
761
2008
29
2009
ATMs (Nos.)
3295
1605
2007
29.1
2007
1977
2008
2009
43.9
38.2
2008
2009
Company Background
Industry
Business Group
HDFC Group
Incorporation Date
31/12/1994
31/12/1995
Face Value
10.0000
Company/Business Registration No
INE040A01018
30
Adityapuri
31
HDFC is India's premier housing finance company and enjoys an impeccable track record in
India as well as in international markets. Since its inception in 1977, the Corporation has
maintained a consistent and healthy growth in its operations to remain the market leader in
mortgages. Its outstanding loan portfolio covers well over a million dwelling units.
HDFC has developed significant expertise in retail mortgage loans to different market
segments and also has a large corporate client base for its housing related credit facilities.
With its experience in the financial markets, a strong market reputation, large shareholder
base and unique consumer franchise, HDFC was ideally positioned to promote a bank in the
Indian environment In a milestone transaction in the Indian banking industry, Times Bank
was merged with HDFC Bank Ltd., effective February 26, 2000.
MISSION
I.
II.
III.
IV.
32
OBJECTIVE
The objective of the HDFC Bank is to provide its target market customers a full range of
financial products and banking services, giving the customer a one-step window for all
his/her requirements. The HDFC Bank plus and the investment advisory services programs
have been designed keeping in mind needs of customers who seeks distinct financial
solutions, information and advice on various investment avenues.
33
BUSINESS STRATEGY
I.
II.
III.
IV.
Develop innovative products and services that attract targeted customers and
address inefficiencies in the Indian financial sector.
Bank logo
Type
Private company
Traded as
BSE: 500180
NSE: HDFCBANK
NYSE: HDB
BSE SENSEX Constituent
34
Founded
August 1994
Headquarters
Area served
Worldwide
Key people
AdityaPuri (MD)
Products
Investment Banking
Investment Management
Wealth Management
Private Banking
Corporate Banking
Private Equity
Finance and Insurance
Consumer Banking
Mortgages
Credit Cards
Revenue
Profit
12,817.33
crore(US$1.9 billion) (2016)
Total assets
Total equity
Number of
employees
Website
HDFCBank.com
Registered Office
35
BOARD OF DIRECTORS
PERSON
DESIGNATION
Mr.JagdishKapoor
Vice President
Mr.AdityaPuri
Managing Director
Mr.PareshSukthankar
Executive Director
Executive Director
Mr.Keki M. Mistry
Director
Mr.AshimSamanta
Director
Mr.ArvindPande
Director
Mrs.RenuKarnad
Director
Mr. C M Vasudev
Director
36
Mr.Gautam Divan
Director
Dr.PanditPalandeDirector
TOP MANAGEMENT
AbhayAima
Anil Jaggia
AshishParthasarth
Treasury
Bharat Shah
Merchant SeRvices
G Subramanian
KaizadManeck
MandeepMaitra
NavinPuri
Branch Banking
PralayMondal
Rahul N Bhagat
Ananthanarayan
Operations
SashiJagdishan
Finance
Sudhir Joshi
Treasury
37
BUSINESS HEADS
A Asokan
Amit Kumar
Anil Nath
Arup Rakshit
Treasury
AshimaKhannaBhat
Ashok Khanna
Retail Assets TW
BhaveshChandulal
Wholesale Operations
BijuPillai
BirendraSahu
retail Operations
Deepak Maheshwari
Information Technology
Harpreet Singh
NRI Business
Jimmy M Tata
Corporate Banking
Munish Mittal
Information Technology
NandkishorLaxman
NitinSubramanya
ParagRao
Credit Cards
RajenderSehgal
RohitGaurav
Marketing
38
Sanjay B Dongre
Legal
Sanjeev Patel
Technology
Excellence Award
2008
Asian Banker
Excellence in
Retail Financial
Services
39
YEAR-2008
FINANCE
COUNTRY
AWARDS
FOR
ACHIEVEMENT
2008
CNN-IBN
Forbes Asia
Asian
Excellence
Retail
in
Financial
Services
Asiamoney
Center Award of
honour
Business Today
&
Young
Award
Global
Asia
Pacific
HRM
40
Business Today
YEAR-2007
DUN
BRADSTREET
AMERICAN
EXPRESS
CORPORATE
BEST
BANK
AWARD 2007
The Bombay Stock 'Best Corporate Social Responsibility Practice' Award
Exchange
and
Nasscom
Foundation's
Business for Social
Responsibility
Awards
NDTV Profit
in
Financial
Services
Asian Banker
BUSINESS SEGMENT
PNB Bank offers a wide range of commercial and transactional banking services and treasury
products to wholesale and retail customers. The bank has three key business segments:
Bank provides a wide range of commercial and transactional banking services, including
working capital finance, trade services, transactional services, cash management, etc. The
bank is also a leading provider of structured solutions, which combine cash management
services with vendor and distributor finance for facilitating superior supply chain
management for its corporate customers. Based on its superior product delivery / service
levels and strong customer orientation, the Bank has made significant inroads into the
banking consortia of a number of leading Indian corporate including multinationals,
companies from the domestic business houses and prime public sector companies. It is
recognized as a leading provider of cash management and transactional banking solutions to
corporate customers, mutual funds, stock exchange members and banks.
42
Treasury:
Within this business, the bank has three main product areas - Foreign Exchange and
Derivatives, Local Currency Money Market & Debt Securities, and Equities. With the
liberalization of the financial markets in India, corporate need more sophisticated risk
management information, advice and product structures. These and fine pricing on various
treasury products are provided through the bank's Treasury team. To comply with statutory
reserve requirements, the bank is required to hold 25% of its deposits in government
securities. The Treasury business is responsible for managing the returns and market risk on
this investment portfolio.
43
Saving accounts.
Current accounts.
Fix deposits.
Demate account.
Safe deposits lockers.
Savings Accounts
These accounts are primarily meant to inculcate a sense of saving for the future,
accumulating funds over a period of time. Whatever persons occupation, bank have
confident that person will find the perfect banking solution. There some saving accounts like:
Regular Saving Account:
An easy-to-operate savings account that allows you to issue cheques, draw Demand
Drafts and withdraw cash. Check up on your balances from the comfort of your home
or office through Net Banking, Phone Banking and Mobile Banking. If you need
money urgently then you can take money from the ATM machine. There are 1977
ATM centers across the country.
No frills Account
In an effort to make banking simpler and more accessible for customers, bank has introduced
the 'No Frills' Savings Account, which offers customer all the basic banking facilities.
Customer can even avail of services like Net Banking, Mobile banking free of cost. In this
customer can put Zero Initial Pay-in and a Zero Balance account.
Salary Accounts
In this account customer can get salary from where he/she doing such job and organization or
company at where the customer of the bank in doing job deposit their salary in to the salary
account a person can get salary.
There are various kinds of saving accounts in the PNB Bank like:
Current accounts
45
PNB Bank Current Account gives the power of inter-city banking with a single account and
access to more than cities. From special cheques that get treated at par with local ones in any
city where branch, faster collection of outstation cheques (payable at branch locations), free
account to account funds transfer between PNB Bank accounts to Free inter-city clearing of
up to 100 lakhs per month, banks priority services have become the benchmark for banking
efficiency.
Now, with an PNB Bank Current Account, experience the freedom of multi-city banking.
Person can have the power of multi-location access to his account from any of our 761
branches in 327 cities. Not only that, he can do most of his banking transactions from the
comfort of his office or home without stepping out.
There are various kinds of current account in this bank like: Plus current account
PNB Bank plus Current Account gives the power of inter-city banking with a single account
and access to more than cities. Plus Current Account requires maintaining an average
quarterly balance of Rs. 100,000.
A Current Account with the benefits of accessing account from a large network of branches,
and through direct access channels - the phone, mobile, Internet and through the ATM.
minimum risks. So, for this purpose he has a better chance to deposits money in to the fix
deposit.
If people believe in long-term investments and wish to earn higher interests on his/her
savings, now is the time to invest money in PNB bank Fixed Deposit. Get up to 9.75% on
PNB Bank Fixed Deposit with an additional 0.50% for Senior Citizens. What's more NO
PENALTY if withdraw part of the FD in times of need. Flexibility, Security and High Returns
all bundled into one offering.
Sweep-in facility
Do you wish to avoid taking overdrafts, and still take advantage of your Fixed Deposits?
Then what you need is a Sweep-In Facility on savings account. Link Fixed Deposit to
Savings or Current Account and use it to fall back on in case of emergencies. A deficit in
Savings or Current Account is taken care of by using up an exact value from Fixed Deposit.
Since deposits are broken down in units of Re 1/-, customer will lose interest only for the
49
LOAN SERVICES
In todays competitive world everything happens only with the help of money or through the
money every person need money. But some time a person has not cash on hand at that time
he needs lone either from any friend or from any financial institute. Lone does not mean that
only lower class person needs it but also upper class person it is needed.
As per the requirement of the every person there are much type of loans are there in the PNB
bank.
Personal loan
A person has so many dreams but some time due to scarcity of money a dream cant be
satisfy. So, here one solution for that person this is personal loan. From this he/she can fulfill
their needs or requirement. It can be anything either a dream of vacation or son/daughters
admission to college or any wedding, so personal loan can be helpful in this entire
requirement.
As person ordered in the hotel for tea or coffee and it is immediately came fast, same over
here any person want to get a personal loan with the nominal documents he can get the loan.
Home loan
PNB Bank brings PNB home loans to doorstep. With over 30 years of experience, a dedicated
team of experts and a complete package to meet all housing finance needs, PNB Home
Loans, help people realize dream.
Vehicles loan
Nowadays the life is being so fast, time value is becoming more important so to reach at the
destination of any business related occasion or for a boy to reach college or any where at the
fix time there are so many requirement of vehicles. But every people have no capacity to
51
purchase vehicles with cash so for that here in the PNB bank vehicles loan is available. There
are many types of vehicles loan.
Types of vehicles loan:
So, as per the requirement of the person there are these types of loans are available this are at
the chip rate and Hassel free from more documentation and other procedure. And commercial
businessman can get the benefits of the commercial vehicles loans. Thus as per the need of
different people there are vehicle loans available. And also terms and condition are different
as per the requirement.
Gold loan
With PNB Bank's Gold Loan, person can get an instant loan against gold jewellery and
ornaments. The procedure is simple, documentation is minimal and approval is quick. A
person can get 70% loan on the value of the gold jewellery and ornaments. There is also
availability of the overdraft on the gold jewellery. With this a customer can get free additional
services like free personalized cheque book, free international debit card, and free net
banking phone banking services.
Educational loan
Nowadays important of education becoming very high. ASs it important becoming high it is
becoming costly. So in the higher education some time people can not effort a high price at a
same time. So, there is education loan is also available for the student.
52
A person can get loan up to 10 lakhs to study in India and 20 lakhs if he wants to study in
abroad. Loan available up to tenure of 7 years including moratorium period.
Loans disbursed directly to the educational institution. It is released as per fee schedules of
institutes. Exclusive Telegraphic Transfer facility available for courses abroad. Loans
available for short duration/ job oriented courses also.
CARD SERVICES
In todays competitive and fast time card services providing by the banks are really very
important to every person and every business needs or to take meal in to the hotel or to
53
purchase jewellery from the jewellery shops cards are playing good role in the banking
sectors.
Bank ranges of Cards help to meet financial objectives. So whether persons are looking to
add to his buying power, conducting cashless shopping, or budgeting his expenditure, he will
find a card that suits him.
Credit cards
A person wants many things like, a trip to Bali, a diamond ring for wife's dreams. Some
dreams can't wait. If there's something person has always wanted. If a person wanted fulfills
his wants he can get benefits from the PNB banks credit cards facilities.Different types of
credit:
Classic cards
Silver Credit Card.
Value plus Credit Card.
Health plus Credit Card.
Premium Cards:
Gold Credit Card
Titanium Credit Card
Woman's Gold Card
Platinum Plus Credit Card
Visa Signature Credit Card
World MasterCard
Commercial Cards
Corporate Credit Card
Debit card
PNB Bank Debit Cards give person complete and instant access to the money in his accounts
without the risk or hassle of carrying cash.
Types of debit card: Classic card
Easy shop international Debit card.
Premium card
54
Prepaid card
Besides offering convenience, Prepaid Cards have been tailored to answer travel and gifting
needs.
ForexPlus Cards
Prepaid Travel Card.
Gift Plus Cards
Prepaid Gift Card.
Food Plus Cards
Prepaid Food Plus card.
Money Plus Card
The Corporate Payment card
55
Mutual Funds
Invest through the Mutual Fund route to meet varied investment objectives.
Insurance
Traditional Plans
Insurance
56
Bonds
Travelers Cheques.
Foreign Currency Cash.
Foreign Currency Drafts.
Cheque Deposits.
Remittances.
Cash to Master.
Trade Services.
Forex Services Branch Locator.
57
Important guidelines and schedules All Foreign Exchange transactions are conducted by
strictly adhering to RBI guidelines. Depending on the nature of transaction or point of travel,
people will need to understand his Foreign Exchange limits.
RBI Guidelines.
Forex Limits.
Non HDFC Bank Account Holders.
FAQs
PAYMENT SERVICE
Nowadays life of a person become very stressful and he/she becoming busy with their own
business, but they have to payment for something so for that reason banks payment services
become started. With PNB Bank's payment services, person can bid goodbye to queues and
paper work. Banks range of payment options make it easy for pay for a variety of utilities
and services.
Verified By Visa
Do you want to be worry free for your online purchases?
Now you can shop securely online with your existing Visa Debit/Credit card.
Net Safe
Now shop online without revealing your PNB Bank Credit Card number. What more, you can
now use your PNB Bank Debit Card also for online purchases.
Merchant Services
Accept all Visa, MasterCard, credit and Debit cards at your outlets through state of the art
POS Machines or through your website and experience hassle free payment acceptance.
Prepaid Mobile Refill
58
If you are an PNB Bank Account holder, you can now recharge your Prepaid Mobile Phone
with
this
service.
Bill Pay
Pay your telephone, electricity and mobile phone bills at your convenience. Through the
Internet, ATMs, your mobile phone and telephone - with Bill Pay, our comprehensive bill
payments solution.
Pay Now
Use your PNB Bank Credit Card to pay your utility bills online, make subscriptions and
donations; no registration required. Enjoy credit free period and reward points as per your
credit card features.
Insta Pay
Pay your bills, make donations and subscribe to magazines without going through the hassles
of any registration.
Direct Pay
Shop or Pay bills online without cash or card. Debit your account directly with our Direct Pay
service!
59
Transfer funds from your account to other Bank accounts across India - FREE of cost.
IMPERIA/PREFERRED/CLASSICBANKING
As a special customer bank providing a TAJ to customer with name imperia/preferred
customer. For that bank provide a special service to their customer. PNB Bank's
preferred/imperia Programme is the royal decree that enhances the exclusivity that you are
accustomed to. It makes you feel special at every step, pampering with services those others
can only dream about. This service goes beyond the obvious, rises above the expected, so that
the whole world can see, that even today, the grandeur and magnificence of royalty is alive
and well.
Thus as retail banking service bank providing really good and beneficial services to their
customer and as family member they are providing good services to every customer either
they are came business related or anything. So for this reason PNB bank playing a good role
in the customers life for their monitory transaction.
NRI BANKING
It can be in the form of Savings, Current or Fixed Deposits in Indian Rupees. The funds in
this account are not repatriable (only interest accrued is repatriable).
FCNR (Foreign Currency Non Resident Accounts)
60
It can be in the form of fixed Deposits only, in the five major currencies, namely US Dollars,
GBP, DM, Euro, and Japanese Yen. The funds in this account are fully repatriable
With a view to attract the savings and other remittance into India through banking channels
from the person of Indian Nationality / Origin who are residing abroad and bolster the
balance of payment position, the Government of India introduced in 1970 NonResident(External) Account Rules which are governed by the Exchange Control Regulations.
The funds held in Non-Resident (External) Accounts (NRE Accounts) qualify for certain
benefits like exemptions from taxes in India, free repatriations facilities, etc.
Deposit types
NRI-Banking facilitates the NRI customer to open the following account types.
NRE (Non Resident External Accounts)
It can be in the form of Savings, Current or fixed deposits in Indian rupees. The funds in this
account are fully repatriable.
NRO (Non Resident Ordinary Accounts)
WHOLESALE BANKING
Wholesale banking is the provision of services by banks to the like of large corporate clients,
mid-sized companies, real estate developers and investors, international trade finance
businesses and institutional customers, such as pension funds and government
61
Large Corporate
Supply Chain Partners
Agricultural Lending
Small & medium term enterprises
PNB Bank understands how much of hard work goes into establishing a successful SME.
Bank also understands that business is anything but "small" and as demanding as ever. And as
business expands and enters new territories and markets, person need to keep pace with the
growing requests that come in, which may lead to purchasing new, or updating existing plant
and equipment, or employing new staff to cope with the demand. That's why PNB Bank has
assembled products, services, resources and expert advice to help ensure that your business
excels.
The following links will help identify individual needs.
Funded Services.
Non-Funded Services.
Specialized Services.
Value Added Services.
Internet Banking.
Banks.
Financial Institutions.
Mutual Funds.
Stock Brokers.
Insurance Companies.
62
Commodity Businesses.
Trusts.
Government sector
PNB Bank acts as an active medium between the government and the customers by means of various
services. These services include:
Tax Collection wherein customers can directly pay their taxes like Direct taxes, Indirect taxes
and Sales Tax collections at their local PNB Bank.
E-Ticketing - Helps the customer by providing him a direct access to book a Railway Ticket
online and get it home delivered.
Opening of L/C's is done by the bank on behalf of Government of India, Mints and Presses,
thus facilitating imports for the Government.
Collection of levies and taxes on behalf of Municipal Corporations i.e. Kalyan -Dombivli
Municipal Corporation, is undertaken by the Bank.
Collection of stamp duty is done via franking mode in the state's of Maharashtra & Gujarat.
The Stamp Duty Franking Facility is available at following branches in Maharashtra Fort,
Chembur, Lower Parel, Mira Road, Thane (TalaoPali), Panvel, Ratnagiri, Pune(FC Road),
Kolhapur, Nagpur, Pimpri.
The Stamp Duty Franking Facility is available at following branches in Gujarat
Disbursement of Pension to retired Employees of Central Govt and Defence is directly done
by PNB Bank along with the disbursement of pension to the members of EPFO (Employees
Provident Fund Organisation).
Electronic Collection of fees on behalf of DGFT is done by the bank too.
63
64
SWOT ANALYSIS
SWOT Analysis is a powerful technique for understanding your Strengths and Weaknesses,
and for looking at the Opportunities and Threats you face. Used in a business context, it helps
you carve a sustainable niche in your market. Used in apersonal context, it helps you develop
your career in a way that takes best advantage of your talents, abilities and opportunities.
STRENGTH
65
OPPORTUNITIES
THREATS
KEY POINT
SWOT Analysis is a simple but powerful framework for analyzing company's Strengths and
Weaknesses, and the Opportunities and Threats you face. This helps you to focus on your
strengths, minimize threats, and take the greatest possible advantage of opportunities
available to you.
66
The expression private banker usually refers to a professional working in the private banking
industry
the banking regulation act shall be registered as a public limited company under the
companies act, 1956.
Subsequently 9 new commercial banks have been granted license to start banking operations.
The new private sectors banks have been very aggressive in business expansion and are also
reporting higher profile levels taking the advantage of technology and skilled manpower. In
certain areas, these banks have even our crossed the other group of banks including foreign
banks.
Current Scenario
Currently, overall, banking in India is considered as fairly mature in terms of supply, product
range and reach-even though reach in rural India still remains a challenge for the private
sector and foreign banks. Even in terms of quality of assets and capital adequacy, Indian
banks are considered to have clean, strong and transparent balance sheet as compared to other
banks in comparable economies in its region. The Reserve bank if India is an autonomous
body, with minimal pressure from the government. The stated policy of the bank on the
Indian rupee is to manage volatility-without any stated exchange rate-and this has mostly
been true. With the growth in the Indian economy expected to be strong for quite some timeespecially in its services sector, the demand for banking services-especially retail banking,
mortgages and investment services are expected to be strong. M&As, takeovers, asset sales
and much more action (as it is unravelling in China) will happen on this front in India.
In March 2006, the Reserve bank of India allowed Warburg Pincus to increase its stake in
Kotak Mahindra Bank (a private sector bank) to 10%. This is the first time an investor has
been allowed to hold more than 5% in a private sector bank since the RBI announced norms
in 2005 that any stake exceeding 5% in the private sector banks would need to be vetted by
them. Currently, India has 88 scheduled commercial banks (SCBs) 27 public sector banks
(that is with the government of India holding a stake), 31 private banks (these do not have
government stake; they may be publicly listed and traded on stock exchange) and 38 foreign
banks.
They have a combined network of over 53,000 branches and 17,000 ATMs. According to a
report by ICRA Limited, a rating agency, the public sector banks hold over 75%of total assets
of the banking industry, with the private and foreign banks holding 18.25% and 6.5%
respectively.
69
Privacy is a key benefit of private banking. Customer dealings and services provided
typically remain anonymous. Private banks often provide HNWIs with tailored proprietary
solutions, which are kept confidential to prevent competitors from luring a prominent
customer with a similar solution. A culture of privacy has the added benefit of potentially
attracting new customers on the premise of exclusivity.
70
prominent personalities from trade and business circles. One of the positive points of these
banks is that, they lean heavily on service and technology and as such, they are likely to
attract more business in days to come with the restructuring of the industry round the corner.
Yea
r
199
2. Bank of Punjab (actually an old generation private bank since it was not
198
199
72
199
Bank Ltd.)
199
6
199
6. IndusInd Bank
4
200
3
200
8. Yes Bank
11. Global Trust Bank (India) (Merged with Oriental Bank of Commerce)
200
0
199
4
201
0
199
4
201
5
201
73
OBJECTIVES
To study the effectiveness of services provided to private banking customers.
To study how much banking services has been improved.
74
RESEARCH METHODOLOGY
A research methodology cannot be conduct abruptly. Research has to proceed systematically
in the already planned direction with the help of a number of steps in sequence. To make the
research systemized the researcher has to adopt certain methods.
The methods adopted by the researcher for completing the study are called research
methodology. In other words research methodology is simply the plan of action for a research
which explains in detail how data is to be collected, analysed and interpreted.
Data becomes information only when a proper methodology is adopted. Thus we can say
methodology is a tool which processes the data in to reliable information. The present chapter
attempt to highlight the research adopted in this project.
The components of the research methodology are research design, type of data, data
collection, sampling plan and statistical tools used.
RESEARCH DESIGN
Descriptive research is a study designed to depict the participants in an accurate way.
Moresimply put, descriptive research is all about describing people who take part in the study
.A study comes in different flavours, be it interviewing people face to face or handing out
questionnaires to fill out. Surveys are useful because instead of spending weeks observing the
people you directly ask them about themselves. Descriptive study can involve a one-time
interaction with groups of people This is where research is trying to describe what is
happening in more detail,filling in the missing parts and expanding our understanding. This is
also where as much information is collected as possible instead of making guesses or
elaborate models to predict the future- the what and how, rather than the why.
A research design is purely and simply the frame work of the plan for a study that given the
collection and analysis of data is collected accurately and economically.Descriptive research
design was adopted for this study because the study is concerned with describing the
characteristics, productivity and satisfaction of training provided by the company to the
workers.
75
SAMPLE DESIGN:
Simple random sampling is used where each sample has an equal chance of getting selected
and all choice is independent of each other. It gives each possible sample combination an
equal probability of being chosen.
For my survey I have used Convenience sampling technique.
Convenience sampling is a non-probability sampling technique where subjects are selected
because of their convenient accessibility and proximity to the researcher.
SAMPLE SIZE - Sample of 100 people was taken in order to conduct the research.
SECONDARY DATA: The secondary data about the company profile and another details
were collected from the company web site and through personal discussion with the HR
manager and other sources like:
Websites
Magazines
Articles
76
STATISTICAL TOOL:
The statistical tools used here is:
a) Percentage analysis
b) Pie chart
77
PERCENTAGE
Saving account
40%
Current account
Salary account
Other
30%
20%
10%
16%
5%
42%
Saving account
Current account
37%
Salary account
Other
INTERPRETATION
In the above analysis we found that 40% of respondents have an saving account in
Private Bank
We found that 30% of respondents have an current account in Private Bank
We found that 20% of respondents have an salary account in Private Bank
We found that 10% of respondents have other type account in Private Bank
78
Q2. Since how long you are having account in a Private Bank?
OPTION
0-1 Years
1-2 Years
2-3 Years
3-4 Years
PERCENTAGE
20%
15%
40%
25%
20%
25%
15%
1-2 year
2-3 year
40%
0-1 year
3-4 year
INTERPRETATION
In the above analysis we found that 20% of respondents have an account in Private
Bank from 0-1 year
We found that 15% of respondents have an account in Private Bank from 1-2 year
We found that 40% of respondents have an account in Private Bank from 2-3 year
We found 25% of respondents have an account in Private Bank from 3-4 years
OPTION
TV advertisement
Words of mouth
Hoardings
Others
PERCENTAGE
25%
30%
40%
5%
5%
25%
TV advertiisement
40%
Words of mouth
Hoardings
30%
Others
INTERPRETATION
In the above analysis we found that 25% of respondents got to know about Private
Words of mouth
We found that 40% of respondents got to know about Private Banking through
Hoardings
We found that 5% of respondents got to know about Private Banking through other
ways
Q4. What you think about the document proceeder of Private Bank ?
OPTION
Excellent
Very good
PERCENTAGE
15%
30%
80
Good
Poor
Cant say
40%
10%
5%
10%
5%
15%
Excellent
30%
40%
Very good
Good
Poor
can't say
INTERPRETATION
In the above analysis we found that 15% of the respondents thinks that the document
Banks is Good
We found that 10% of the respondents thinks that the document proceeder of Private
Banks is poor
We found that 5% of the respondents were not able to say anything regarding the
document proceeder of Private Banks
PERCENTAGE
PNB
ICICI
IDBI
AXIS
30%
50%
10%
10%
81
10%
10%
30%
HDFC
ICICI
SBI
50%
PNB
INTERPRETATION
In the above analysis we found that 30% of the respondents said that PNB Bank
quality services
We found that 10% of the respondents said that IDBI provides better effective quality
services
We found that 10% of the respondents said that AXISBank provides better effective
quality services
PERCENTAGE
20%
50%
20%
10%
82
10%
20%
20%
Transaction services
Loan services
Credit faciliy
50%
Credit/Debit card
INTERPRETATION
In the above analysis we found that 20% of the respondents said that the transaction
most effective
We found that 20% of the respondents said that the credit facility of Private Banks are
most effective
We found that 10% of the respondents said that the Credit/Debit card of Private Banks
are most effective
Q7. Which category of the bank do you consideras most technologically advanced ?
OPTION
PERCENTAGE
Private sector banks
Public sector banks
75%
25%
83
25%
Private sector banks
75%
INTERPRETATION
In the above analysis we found that 75% of the respondents considers Private sector
PERCENTAGE
45%
25%
15%
15%
84
15%
15%
45%
Trust
Quality of service
Location
25%
Technology used
INTERPRETATION
In the above analysis we found that 45% of the respondents Values the Trust attribute
of Private Banks
We found that 25% of the respondents Values the Quality of service attribute of
Private Banks
We found that 15% of the respondents Values the Location attribute of Private Banks
We found that 15% of the respondents Values the Technology used attribute of Private
Banks
PERCENTAGE
55%
NO
45%
85
45%
55%
Yes
No
INTERPRETATION
In the above analysis we found that 55% of the respondents said that the employment
is improved in private banks
We found that 45% of the respondents said that the employment is not improved in
private banks
Percentage
YES
60%
NO
40%
86
40%
60%
yes
no
INTERPRETATION
In the above analysis we found that 60% of the respondents said that the employment
PERCENTAGE
15%
30%
40%
10%
5%
87
10%
5%
15%
Excellent
30%
40%
Very good
Good
Poor
can't say
INTERPRETATION
In the above analysis we found that 15% of the respondents said that the overall
PERCENTAGE
15%
30
40%
10%
5%
88
10%
5%
15%
Excellent
30%
40%
Very good
Good
Poor
can't say
INTERPRETATION
In the above analysiswe found that 15% of the respondents gave excellent rank to
Private Banks
We found that 30% of the respondents gave very good rank to Private Banks
We found that 40% of the respondents gave good rank to Private Banks
We found that 10% of the respondents gave poor rank to Private Banks
We found that 5% of the respondents were not able to give any rank to Private Banks
FINDINGS
Employment is improved in private banks
Employment in private banks are increasing
Customers likely to prefer private banking
Loan service of PNB Bank is most effective
PNB Bank provides better effective services than other banks
Document proceeder of PNB Bank is easy and fast.
Private banks provides efficient services but requires high amount of money to access
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CONCLUSION
The summer internship project plays an important role in management education where
students get a golden opportunity to apply his knowledge in learning gained from classroom
lectures in practical business environment. The SIP programme also helps in gaining
knowledge and developing the confidence level to work.From the report we have come to the
conclusion that private banks provides better effective services than public banking . private
banks are performing well as the employment factor is increasing in private banks.Private
banks requires a lot amount of money in order to get accessed.Average number of people cant
enter into private banking .After the survey we got to know that private banking are slowly
spreading and getting better and the employment is improved.
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LIMITATIONS
There are certain limitation of this project which are listed below
This study is limited only to the customers of the PNB Bank lucknow .
The responses of the customer may be biased .
Sample size is limited to 100.
It was convenience sampling.
Summer training program was only 8 weeks so, it was not possible to make full study
on the topic .
Bank does not provide full information about the bank as that could violate data
protection act .
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BIBLOGRAPHY
BOOKS
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Maheswari.S.N, and Paul R.R (2003), Banking and Financial Services, Kalayani
WEBSITE LINKS
www.hdfc.com
https://en.wikipedia.org/wiki/HDFC_Bank
www.scribd.com
http://www.slideshare.net/
https://en.wikipedia.org/wiki/Private_banking
QUESTIONNAIRE
NAME
GENDER..
AGE
OCCUPATION......
EMAIL ID
Q1. What type of account you have in Private Bank?
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Savings account
Salary account
Current account
other (please specify)
_____
Q2. Since how long you are having account in Private Bank?
0 1 year
1 2 years
2 - 3 years
Words of mouth
Hoardings
other
Q4. What you think about the document proceeder ofPrivate Bank?
Excellent
Very good
Good
Poor
Cant say
Q5.Which Private bank provides better effective quality services?
PNB
SBI
ICICI
PNB
Loan services
Credit facility
Debit/Credit card
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Q7. Which category of the bank do you consideras most technologically advanced ?
Public sector bank
Quality of service
Location
Technology used
Yes
No
No
Very good
GoodAverage
Error
Very good
Poor
95
Cant say
FEEDBACK -
96