CUSTOMER RELATIONSHIP

MANAGEMENT
(Summer Internship Project)
{May-June 2009}
For
Submitte !y" -
#ushar $ Se%a& ('o(( )o* F-+2)
Mohit M* !henar&ar ('o(( )o* ,- 0-)
.ner the /uiance o0 "
Mr* Jic&y #homas (Product & Branch Head)
Institute o0 !usiness Mana1ement 2 'esearch
-34-25 Sunrise Par&5 )ear 6SI6 Schoo(5 ,ri%en In 'oa5 6hmeaba - 7-00+8*
Ph* " 099-2:-+-949 3 800+2949
;mai( " 6hmeaba<ibmrinia*or1 =ebsite " ===*ibmrinia*or1
1
INDEX
Particular Page No.
1. Introduction of the CRM
5
2. Objective of the CRM 16
3. Research Methodology 1
!. "iterature Revie# 2!
$raining !2
I%&ortance ' (eeds of
$raining
!2
$y&es of $raining
Methods of $raining !3
Reco%%endation '
Conclusion
!6
$raining )do&ted by us at
)ngel
!*
$raining +nder ,ifferent
,e&art%ents
!-
.roble%s /aced at the $i%e
of $raining
50
1uggestions to I%&rove 51
5. Industry )nalysis
Industry )nalysis at Indian
"evel
51
.ast .erfor%ance
62
12O$ )nalysis 6
Major .layers in the Industry *6
.roducts ' 1ervices -0
6. ,ata )nalysis -*
2
*. "i%itations !
-. /indings 5
. 1uggestions *
10.3ibliogra&hy -
Pre0ace
#he Summer pro1ram o00ere by the I!M' >o((e1e5 is an
en(i1htenin1 course 0or those =ho are =ishin1 to master their !usiness
aministration s&i((s5 =ith their &no=(e1e* #his is an uni?ue course
=hich is the co((aboration o0 M!6* It not on(y e%e(opes your
mana1ement ta(ent but a(so e%e(op your technica( s&i((* It imparts the
necessary theoretica( &no=(e1e about the 0ie( but a(so pro%ies an
opportunity to practica((y e@perience the app(ication o0 the business
aministration 0unamenta(s in the corporate as =e(( as the non-
corporate sector*
I =as una=are about the ro(e o0 e@chan1es an epositories in
the seconary mar&et* $ere I rea((y 1ot practica( &no=(e1e about the
ro(e o0 S;!I5 )S;5 an !S; etc* in the seconary mar&et* )o= I am
a=are about the buyin1 an se((in1 system in the seconary mar&et
throu1h bro&in1 0irm or sub-bro&er* I am %ery much than&0u( to Mr*
Jic&y #homas5 Branch & Product Head5 main branch Maha(aya comp(e@
>* /* 'oa5 6hmeaba*
I there0ore ha%e p(easure to present my trainin1 report5 =hich5 I
hope as per the curricu(um re?uirements*
Acknowledgement
A#here is no such thin1 as a se(0 mae man5 =e a(( are mae up
thousans o0 othersB C /eor1e 6ams*
3
I am inebte to my 0acu(ty5 the Facu(ty o0 Socia( Dor& 0or
pro%iin1 the stuents an opportunity to e@perience the practica(
=or&in1 o0 the &no=(e1e imparte to us theoretica((y*
I am 1rate0u( to 6n1e( !ro&in1 Eimite 0or a((o=in1 me to
unerta&e my summer trainin1 in the or1aniFation* #o mention5 I =ou(
(i&e to e@ten my 1ratitue to=ars-
Mr* $arshit !ha%sar (!usiness ,e%e(opment $ea)
Mr* Gira( Hapaia (!usiness ,e%e(opment Mana1er)
#hey he(pe me urin1 my entire trainin1 pro1ram* I =ou( a(so
(i&e to than& Mr* Jic&y #homas an Mrs* Pan&ti shah =ho 0aci(itate
me in my practica( (earnin1*

Introduction to CRM
4
!e0ore =e be1in to e@amine the conceptua( 0ounations o0 >'M5
it =i(( be use0u( to e0ine5 =hat is >'MI 6 narro= perspecti%e o0
customer re(ationship mana1ement is atabase mar&etin1
emphasiFin1 the promotiona( aspects o0 mar&etin1 (in&e to atabase
e00orts* 6nother narro=5 yet re(e%ant5 %ie=point is to consier >'M
on(y as customer retention in =hich a %ariety o0 a0ter mar&etin1
tactics is use 0or customer bonin1 or stayin1 in touch a0ter the sa(e
is mae* Shani an >ha(asani e0ine re(ationship mar&etin1 as Aan
inte1rate e00ort to ienti0y5 maintain5 an bui( up a net=or& =ith
ini%iua(s consumers an to continuous(y stren1then the net=or&
0or mutua( bene0it o0 both sies5 throu1h interacti%e5 ini%iua(iFe
an %a(ue-ae contacts o%er a perio o0 timeB* #he core theme o0 a((
>'M an re(ationship mar&etin1 perspecti%es is its 0ocus on co-
operati%e an co((aborati%e re(ationships bet=een the 0irm an its
customers5 an3or other mar&etin1 actors*
>'M is base on the premise that5 by ha%in1 a better
unerstanin1 o0 the customersJ nees an esires =e can &eep them
(on1er an se(( more to them*
/ro=th Strate1ies Internationa( (/SI) per0orme a statistica(
ana(ysis o0 >ustomer satis0action ata encompassin1 the 0inin1s o0
o%er 95000K customer sur%eys conucte by 6n1e( !ro&in1 Et*
>'M (customer re(ationship mana1ement) is an in0ormation
inustry term 0or methoo(o1ies5 so0t=are5 an usua((y Internet
capabi(ities that he(p an enterprise mana1e customer re(ationships in
an or1aniFe =ay* For e@amp(e5 an enterprise mi1ht bui( a atabase
about its customers that escribe re(ationships in su00icient etai( so
that mana1ement5 sa(espeop(e5 peop(e pro%iin1 ser%ice5 an perhaps
the customer irect(y cou( access in0ormation5 match customer
nees =ith prouct p(ans an o00erin1s5 remin customers o0 ser%ice
re?uirements5 &no= =hat other proucts a customer ha purchase5
an so 0orth*
#he essence o0 the in0ormation techno(o1y re%o(ution an5 in
particu(ar5 the Dor( Die Deb is the opportunity to bui( better
re(ationships =ith customers than has been pre%ious(y possib(e in the
o00(ine =or(* !y combinin1 the abi(ities to respon irect(y to
customer re?uests an to pro%ie the customer =ith a hi1h(y
5
interacti%e5 customiFe e@perience5 companies ha%e a 1reater abi(ity
toay to estab(ish5 nurture5 an sustain (on1-term customer
re(ationships than e%er be0ore* #he u(timate 1oa( is to trans0orm these
re(ationships into 1reater pro0itabi(ity by increasin1 repeat purchase
rates an reucin1 customer ac?uisition costs* Inee5 this re%o(ution
in customer re(ationship mana1ement or >'M*1 as it is ca((e5 has
been re0erre to as the ne= AmantraB o0 mar&etin1*2 >ompanies (i&e
Siebe(5 ;*piphany5 Lrac(e5 !roa%ision5 )et Perceptions5 Hana an
others ha%e 0i((e this >'M space =ith proucts that o e%erythin1
0rom trac& customer beha%ior on the Deb to preictin1 their 0uture
mo%es to senin1 irect e-mai( communications* #his has create a
=or(=ie mar&et 0or >'M proucts an ser%ices o0 M78 bi((ion in
4999 an =hich is 0orecaste by I,> to 1ro= to M42+ bi((ion by 2008*3
#he nee to better unerstan customer beha%ior an 0ocus on those
customers =ho can e(i%er (on1-term pro0its has chan1e ho=
mar&eters %ie= the =or(*
#raitiona((y5 mar&eters ha%e been traine to ac?uire
customers5 either ne= ones =ho ha%e not bou1ht the prouct cate1ory
be0ore or those =ho are current(y competitorsJ customers* #his has
re?uire hea%y oses o0 mass a%ertisin1 an price-oriente
promotions to customers an channe( members* #oay5 the tone o0
the con%ersation has chan1e 0rom customer ac?uisition to retention*
#his re?uires a i00erent minset an a 7 i00erent an ne= set o0
too(s* 6 1oo thou1ht e@periment 0or an e@ecuti%e auience is to as&
them ho= much they spen an3or 0ocus on ac?uisition %ersus
retention acti%ities*
Dhi(e it is i00icu(t to per0ect(y istin1uish the t=o acti%ities
0rom each other5 the ans=er is usua((y that ac?uisition ominates
retention*
6ccorin1 to one inustry %ie=5 >'M consists o0"
$e(pin1 an enterprise to enab(e its mar&etin1 epartments to
ienti0y an tar1et their best customers5 mana1e mar&etin1
6
campai1ns =ith c(ear 1oa(s an objecti%es5 an 1enerate ?ua(ity
(eas 0or the sa(es team*
6ssistin1 the or1aniFation to impro%e te(esa(es5 account5 an
sa(es mana1ement by optimiFin1 in0ormation share by
mu(tip(e emp(oyees5 an stream(inin1 e@istin1 processes (0or
e@amp(e5 ta&in1 orers usin1 mobi(e e%ices)
6((o=in1 the 0ormation o0 ini%iua(iFe re(ationships =ith
customers5 =ith the aimo0 impro%in1 customer satis0action an
ma@imiFin1 pro0itsN ienti0yin1 the most pro0itab(e customers
an pro%iin1 them the hi1hest (e%e( o0 ser%ice*
Pro%iin1 emp(oyees =ith the in0ormation an processes
necessary to &no= their customers5 unerstan their nees5 an
e00ecti%e(y bui( re(ationships bet=een the company5 its
customer base5 an istribution partners*
>'M-->ustomer 'e(ationship Mana1ement--has entere the
mainstream* ,espite the uncertainty o0 the economy5 >'M is bein1
thrust into corporate bu1ets an ta(&e about as a critica( initiati%e
by hunres o0 Fortune 45000 an tens o0 thousans o0 other
companies* It has 1one 0rom bein1 an important e1e in the business
=or( to a necessary too( 0or sur%i%a(* #he notion o0 the customer as
&in1 or ?ueen is once a1ain the ru(e* $o= you treat this is a mission-
critica( business issue*
!ut5 =hat is >'M an ho= oes it chan1e the =ay companies o
businessI #he chan1es in the =or( ha%e been so ynamic an so
ramatic that the path is not necessari(y a(( that ob%ious* $o= >'M
impacts that business path is a continuin1 source o0 ebate in the
=or( o0 corporate mana1ement*
Mana1in1 re(ationships =ith customers has become a critica(
or1aniFationa( competency* /et =innin1 strate1ies 0or ac?uirin1 an
retainin1 customers by (e%era1in1 the (atest a%ance techno(o1ies*
#his course =i(( teach you ho= to se(ect the ri1ht too(s 0or your
business-- so it can 1ro= toay--an on into the 0uture* Ea11in1
means (ost customers5 =hich means ama1e to the bottom (ine* !ut
ho= o you not (a1 =hen customers are mo%in1 (i1htnin1 0ast to
eman constant chan1es in the spee to comp(ete their
7
transactionsI $o= o you &eep your customers =hen the mo%e to
another company is nothin1 more than a mouse c(ic& an a minute
a=ayI
>'M is the ans=er* >ustomer 'e(ationship Mana1ement5 a
strate1y that (e%era1es %ery a%ance techno(o1ies is the =ay to cut to
the 24st >entury business chase*
Histor o! CRM
>ustomer 'e(ationship Mana1ement (>'M) is one o0 those
ma1ni0icent concepts that s=ept the business =or( in the 4990Js =ith
the promise o0 0ore%er chan1in1 the =ay businesses sma(( an (ar1e
interacte =ith their customer bases* In the short term5 ho=e%er5 it
pro%e to be an un=ie(y process that =as better in theory than in
practice 0or a %ariety o0 reasons* First amon1 these =as that it =as
simp(y so i00icu(t an e@pensi%e to trac& an &eep the hi1h %o(ume o0
8
recors neee accurate(y an constant(y upate them* In the (ast
se%era( years5 ho=e%er5 ne=er so0t=are systems an a%ance
trac&in1 0eatures ha%e %ast(y impro%e >'M capabi(ities an the rea(
promise o0 >'M is becomin1 a rea(ity* 6s the price o0 ne=er5 more
customiFab(e Internet so(utions ha%e hit the mar&etp(aceN
competition has ri%en the prices o=n so that e%en re(ati%e(y sma((
businesses are reapin1 the bene0its o0 some custom >'M pro1rams*
In the be1innin1O
#he 49-0Js sa= the emer1ence o0 atabase mar&etin15 =hich
=as simp(y a catch phrase to e0ine the practice o0 settin1 up
customer ser%ice 1roups to spea& ini%iua((y to a(( o0 a companyJs
customers* In the case o0 (ar1er5 &ey c(ients it =as a %a(uab(e too( 0or
&eepin1 the (ines o0 communication open an tai(orin1 ser%ice to the
c(ients nees* In the case o0 sma((er c(ients5 ho=e%er5 it tene to
pro%ie repetiti%e5 sur%ey-(i&e in0ormation that c(uttere atabases
an inJt pro%ie much insi1ht* 6s companies be1an trac&in1
atabase in0ormation5 they rea(iFe that the bare bones =ere a(( that
=as neee in most cases" =hat they buy re1u(ar(y5 =hat they spen5
=hat they o*
6%ances in the 4990Js
In the 4990Js companies be1an to impro%e on >ustomer
'e(ationship Mana1ement by ma&in1 it more o0 a t=o-=ay street*
Instea o0 simp(y 1atherin1 ata 0or their o=n use5 they be1an 1i%in1
bac& to their customers not on(y in terms o0 the ob%ious 1oa( o0
impro%e customer ser%ice5 but in incenti%es5 1i0ts an other per&s 0or
customer (oya(ty* #his =as the be1innin1 o0 the no= 0ami(iar 0re?uent
0(yer pro1rams5 bonus points on creit cars an a host o0 other
resources that are base on >'M trac&in1 7777 customer acti%ity an
spenin1 patterns* >'M =as no= bein1 use as a =ay to increase
sa(es passi%e(y as =e(( as throu1h acti%e impro%ement o0 customer
ser%ice*
#rue >'M comes o0 a1e
9
'ea( >ustomer 'e(ationship Mana1ement as itJs thou1ht o0
toay rea((y be1an in earnest in the ear(y years o0 this century* 6s
so0t=are companies be1an re(easin1 ne=er5 more a%ance so(utions
that =ere customiFab(e across inustries5 it became 0easib(e to rea((y
use the in0ormation in a ynamic =ay* Instea o0 0eein1 in0ormation
into a static atabase 0or 0uture re0erence5 >'M became a =ay to
continuous(y upate unerstanin1 o0 customer nees an beha%ior*
!ranchin1 o0 in0ormation5 sub-0o(ers5 an custom tai(ore 0eatures
enab(e companies to brea& o=n in0ormation into sma((er subsets so
that they cou( e%a(uate not on(y concrete statistics5 but in0ormation
on the moti%ation an reactions o0 customers* #he Internet pro%ie
a hu1e boon to the e%e(opment o0 these hu1e atabases by enab(in1
o00site in0ormation stora1e5 =here be0ore companies ha i00icu(ty
supportin1 the enormous amounts o0 in0ormation* #he Internet
pro%ie ne= possibi(ities an >'M too& o00 as pro%iers be1an
mo%in1 to=ar Internet so(utions* Dith the increase 0(uiity o0 these
pro1rams came a (ess ri1i re(ationship bet=een sa(es5 customer
ser%ice an mar&etin1* >'M enab(e the e%e(opment o0 ne=
strate1ies 0or more cooperati%e =or& bet=een these i00erent
i%isions throu1h share in0ormation an unerstanin15 (eain1 to
increase customer satis0action 0rom orer to en prouct*
#oay5 >'M is sti(( uti(iFe most 0re?uent(y by companies that
re(y hea%i(y on t=o istinct 0eatures" customer ser%ice or techno(o1y*
#he three sectors o0 business that re(y most hea%i(y on >'M -- an
use it to 1reat a%anta1e -- are 0inancia( ser%ices5 a %ariety o0 hi1h
tech corporations an the te(ecommunications inustry* #he 0inancia(
ser%ices inustry in particu(ar trac&s the (e%e( o0 c(ient satis0action
an =hat customers are (oo&in1 0or in terms o0 chan1es an
persona(iFe 0eatures* #hey a(so trac& chan1es in in%estment habits
an spenin1 patterns as the economy shi0ts* So0t=are speci0ic to the
inustry can 1i%e 0inancia( ser%ice pro%iers tru(y impressi%e
0eebac& in these areas*
In recent years ho=e%er5 se%era( 0actors ha%e contribute to the
rapi e%e(opment an e%o(ution o0 >'M* #hese inc(ue" -
4* The growing de-intermediation process in many inustries ue to
the a%ent o0 sophisticate computer an te(ecommunication
techno(o1ies that a((o= proucers to irect(y interact =ith en-
10
customers* For e@amp(e5 in many inustries such as air(ines5 ban&s
insurance5 so0t=are or househo( app(iances an e%en consumab(es5
the e-intermeiation process is 0ast chan1in1 the nature o0
mar&etin1 an conse?uent(y ma&in1 re(ationship mar&etin1 more
popu(ar* ,atabases an irect mar&etin1 too(s 1i%e them the means to
ini%iua(iFe their mar&etin1 e00orts*
2* Advances in information technoog!" net=or&in1 an
manu0acturin1 techno(o1y ha%e he(pe companies to ?uic&(y match
competition* 6s a resu(t prouct ?ua(ity an cost are no (on1er
si1ni0icant competiti%e a%anta1es*
7* The growth in service econom!# Since ser%ices are typica((y
prouce an e(i%ere at the same institution5 it minimiFes the ro(e
o0 the mi(emen*
8* 6nother 0orce ri%in1 the aoption o0 >'M has been the tota
$uait! movement# Dhen companies embrace #PM it became
necessary to in%o(%e customers an supp(iers in imp(ementin1 the
pro1ram at a(( (e%e(s o0 the %a(ue chain* #his neee c(ose =or&in1
re(ationships =ith the customers* #hus se%era( companies such as
Motoro(a5 I!M5 /enera( Motors5 Qero@5 For5 #oyota5 etc 0orme
partnerin1 re(ations =ith supp(iers an customers to practice #PM*
Lther pro1rams such as JI# an M'P a(so mae use o0
interepenent re(ationships bet=een supp(iers an customers*
+* %ustomer e&pectations are chan1in1 a(most on a ai(y basis* )e=(y
empo=ere customers5 =ho choose5 ho= to communicate =ith the
companiesJ %arious a%ai(ab(e channe(sI 6(so no=aays consumers
e@pect a hi1h e1ree o0 persona(iFation*
:* 'merging rea time5 interacti%e channe(s inc(uin1 e-mai(5 6#Ms
an ca(( centre that must be synchroniFe =ith customerJs non-
e(ectronic acti%ities* #he spee o0 business chan1e5 re?uirin1
0(e@ibi(ity an rapi aoption to techno(o1ies*
9* In the current era o0 h!per competition5 mar&eters are 0orce to be
more concerne =ith customer retention an customer (oya(ty*
11
-* 6s se%era( researches ha%e 0oun out retaining customers is ess
e&pensive an more sustainab(e competiti%e a%anta1e than
ac?uirin1 ne= ones*
9* Ln the supp(y sie it pays more to e%e(op c(oser re(ationships =ith
a few suppiers than to e%e(op more %enors*
40* #he go(ai)ation o0 =or( mar&etp(ace ma&es it necessary to
ha%e 1(oba( account mana1ement 0or the customers*
"e!inition# $
A>'M is concerne =ith creatin1 impro%e shareho(er %a(ue
throu1h the use o0 customer centric business processes an the
e%e(opment o0 appropriate re(ationships =ith consumers*B
Im%lementing CRM#
>'M re?uires an inte1ration o0 a 0irmRs resourcesN peop(e5
operations an mar&etin1 capabi(ities to e(i%er ae %a(ue to the
customers* >'M shou( pro%ie businesses an or1aniFations =ith a
Ssin1(e %ie=J o0 their customers an across irrespecti%e o0 the
interacti%e channe( or meium throu1h =hich the customer accesses
the ser%ice or prouct* For e@amp(e5 a business (e*1* hote() customerJs
pro0i(e an persona( re0erences shou( be accessib(e to the business
(or hote() irrespecti%e o0 channe( i*e* =hether the customer boo&s
on(ine5 ca((s in or =a(&s into any (ocation shou( not ma&e a
i00erence to the ser%ice pro%ie base on the persona( pro0i(e o0 the
business c(ient*
It is enab(e throu1h"
In0ormation
Processes
#echno(o1y
6pp(ications
12
6 0irm that =ants to imp(ement >'M must a(i1n itRs business
processes cross-0unctiona((y in the best possib(e =ay to a((o=
increase customer 0ocus =ith an aim to e(i%er ae %a(ue to the
customer*
#o imp(ement >'M5 the 0o((o=in1 steps must be 0o((o=e"
,e%e(op a >'M 0rame=or&
6(i1n current business processes
,esi1n ne= cross-0unctiona( business processes (=here
re?uire)
,e%e(op Functiona( Speci0ications (c(ient-sie ser%ices)
,e%e(op #echnica( Speci0ications
Match #echnica( Speci0ications to a%ai(ab(e techno(o1y
(Systems5 so0t=are5 etc)
Prouct >on0i1uration
,ata Mi1ration an Inte1ration
Sta00 #rainin1
%ustomer *egmentation+ For >'M to be e00ecti%e5 the
or1aniFationJs customer base must be strati0ie into se1ments
base on commona(ities amon1st 1roupsJ o0 ini%iua(s an
customers* #his a(so re?uires the or1aniFation to ha%e strate1ies
to tar1et conso(iate customer se1ments*
13
,educed %ost of *ervice+ a customer re(ationship strate1y
shou( reuce the cost o0 ser%ice 0or both the or1aniFation an
itJs customers an increase satis0action (e%e(s*
*ervice as a differentiator+ #he more competiti%e a mar&et
becomes the more a business =i(( nee to re(y on its superior
prouct ?ua(ity an ?ua(ity o0 ser%ice to i00erentiate itse(0 0rom
other businesses an pro%iers*
Tie-in-s over time+ #he 1reater the e00ort a customer spens on
a re(ationship o%er time5 the 1reater the customerJs sta&e in
he(pin1 to ensure that the re(ationship =or&s an the more
con%enient an (oya( the customer becomes*
Pit!&lls to &'oid#
Many >'M pro1rams 0ai( 0or t=o reasons"
1. Eac& o0 supporti%e business processes" !ecause business
processes an or1aniFationa( 1oa(s are not part o0 a strate1ic
>'M p(an tie to or1aniFationa( 1oa(s an objecti%es*
2. Eac& o0 an enterprise perspecti%e" For 'e(ationship Mar&etin1
to be e00ecti%e5 it re?uires that the or1aniFation creates a
seam(ess enterprise %ie=* 6 (ot o0 >'M pro1rams 0ai( because
they are assemb(e =ith isparate components that arenRt
esi1ne to =or& to1ether as part o0 a comp(ete >'M system
esi1ne to meet or1aniFationa( objecti%es*
14
Customer Rel&tions(i% M&n&gement
Model
15
>';6#; 6 ,6#6 !6S;
6)6ETSIS
>.S#LM;' S;E;>#IL)
>.S#LM;' #6'/;#I)/
';E6#IL)S$IP M6'H;#I)/
P'IG6>T ISS.;S
M;#'I>S
Customer Retention Progr&ms
>.S#LM;'
';E6#IL)S$IP
M6)6/;M;)#
S6#ISF6>#IL)
16
CUSTOMER
SERVICE
FREQUENCY/
LOYALTY
PROGRAMS
CUSTOMIZATION
REAR!S
PROGRAMS
COMMUNITY
"UIL!ING
O)*ecti'e o! t(e stud o! CRM
>'M5 in its broaest sense5 means mana1in1 a(( interactions
an business =ith customers* #his inc(ues5 but is not (imite to5
impro%in1 customer ser%ice* 6 1oo >'M pro1ram =i(( a((o= a
business to ac?uire customers5 ser%ice the customer5 increase the
%a(ue o0 the customer to the company5 retain 1oo customers5 an
etermine =hich customers can be retaine or 1i%en a hi1her (e%e( o0
ser%ice* 6 1oo >'M pro1ram can impro%e customer ser%ice by
0aci(itatin1 communication in se%era( =ays"
Pro%ie prouct in0ormation5 prouct use in0ormation5 an
technica( assistance on =eb sites that are accessib(e 28 hours a
ay5 9 ays a =ee&
Ienti0y ho= each ini%iua( customer e0ines ?ua(ity5 an then
esi1n a ser%ice strate1y 0or each customer base on these
ini%iua( re?uirements an e@pectations*
Pro%ie a 0ast mechanism 0or mana1in1 an scheu(in1 0o((o=-
up sa(es ca((s to assess post-purchase co1niti%e issonance5
repurchase probabi(ities5 repurchase times5 an repurchase
0re?uencies*
Pro%ie a mechanism to trac& a(( points o0 contact bet=een a
customer an the company5 an o it in an inte1rate =ay so
that a(( sources an types o0 contact are inc(ue5 an a(( users
o0 the system see the same %ie= o0 the customer (reuces
con0usion)*
$e(p to ienti0y potentia( prob(ems ?uic&(y5 be0ore customer
occur
17
Pro%ie a user-0rien(y mechanism 0or re1isterin1 customer
comp(aints (comp(aints that are not re1istere =ith the
company cannot be reso(%e5 an are a major source o0
customer issatis0action)*
Pro%ie a 0ast mechanism 0or han(in1 prob(ems an
comp(aints (comp(aints that are reso(%e ?uic&(y can increase
customer satis0action)*
Pro%ie a 0ast mechanism 0or correctin1 ser%ice e0iciencies
(correct the prob(em be0ore other customers e@perience the
same issatis0action)*
.se internet coo&ies to trac& customer interests an persona(iFe
prouct o00erin1s accorin1(y
.se the Internet to en1a1e in co((aborati%e customiFation or
rea(-time customiFation
Pro%ie a 0ast mechanism 0or mana1in1 an scheu(in1
maintenance5 repair5 an on1oin1 support (impro%e e00iciency
an e00ecti%eness)
Mechanism to e%a(uate Potentia( HLMs*
#o e%e(op inte1rate ,atabase*
6ssessin1 the nee o0 Potentia( HLMs*
Days to meet those nees*
Ienti0y the so0ter e(ements*
,e%isin1 a =ay to 'etain an 1ro= =ith those HLMs*
Mo%in1 0urther ahea Satis0action ,e(i1htment ELT6EI#T
#o e%e(op Strate1y an action p(an on ?uarter 2 annua( basis*
#o 1ain &no=(e1e about consumer beha%iour
#o &no=5 ho= to maintain re(ationship =ith customerI
#o &no=5 the nees ana(ysis o0 customer
#o unerstan5 =ith the he(p o0 0eebac& 0orm that =hy
customers are not train1 =ith 6n1e(
#o &no=5 the customer perception about companyJs proucts 2
ser%ices
18
#o &no=5 the 1rie%ances amon1 the customers about proucts 2
ser%ices
#he >'M pro1ram can be inte1rate into other cross-0unctiona(
systems an thereby pro%ie accountin1 an prouction in0ormation
to customers =hen they =ant it*
+ee%ing E,isting Customers
/rain1 customers 0rom %ery satis0ie to %ery isappointe shou(
he(p the or1aniFation in impro%in1 its customer satis0action (e%e(s
an scores* 6s the satis0action (e%e( 0or each customer impro%es5 so
sha(( the customer retention =ith the or1aniFation*
M&,imi-ing Li!e time '&lue
;@p(oit up-se((in1 an cross-se((in1 potentia(* !y ienti0yin1 (i0e
sta1e an (i0e e%ent tri11er points by customer5 mar&eters can
ma@imiFe share o0 purchase potentia(# #hus the sin1(e au(ts sha((
re?uire a ne= car stereo an as he 1ro=s into a marrie coup(e his
nees 1ro= into app(iances*
Incre&se Lo&lt
Eoya( customers are more pro0itab(e* 6ny company =i(( (i&e its
minshare status to impro%e 0rom bein1 a suspect to bein1 an
a%ocate* >ompany has to in%est in terms o0 its prouct an ser%ice
o00erin1s to its customers* It has to inno%ate an meet the %ery nees
o0 its customers so that they remain as a%ocates on the (oya(ty cur%e*
'e0erra( sa(es in%ariab(y are (o= cost hi1h mar1in sa(es*
19
Rese&rc( Met(odolog !or CRM
Meetin1 an satis0yin1 each customerJs nee uni?ue(y an
ini%iua((y* In the mass mar&ets ini%iua(iFe in0ormation on
customers is no= possib(e at (o= costs ue to the rapi e%e(opment
in the in0ormation techno(o1y an ue to a%ai(abi(ity o0 sca(ab(e ata
=arehouses an ata minin1 proucts* !y usin1 on(ine in0ormation
an atabases on ini%iua( customer interactions5 mar&eters aim to
0u(0i(( the uni?ue nees o0 each mass-mar&et customer* In0ormation
on ini%iua( customers is uti(iFe to e%e(op 0re?uency mar&etin15
interacti%e mar&etin15 an a0ter mar&etin1 pro1rams in orer to
e%e(op re(ationship =ith hi1h-yie(in1 customers* In the conte@t o0
business-to-business mar&ets5 ini%iua( mar&etin1 has been in p(ace
o0 ?uite sometime* Hno=n as Hey 6ccount Mana1ement Pro1ram5
here mar&eters appoint customer teams to husban the company
resources accorin1 to ini%iua( customer nees*
Continuit M&rketing Progr&ms
#a&e the shape o0 membership an (oya(ty car pro1rams =here
customers are o0ten re=are 0or their member an (oya(ty
re(ationships =ith the mar&eters* #he basic premise o0 continuity
mar&etin1 pro1rams is to retain customers an increase (oya(ty
throu1h (on1-term specia( ser%ices that has a potentia( to increase
mutua( %a(ue throu1h (earnin1 about each other*
P&rtnering Progr&ms
#he thir type o0 >'M pro1rams is partnerin1 re(ationships
bet=een customer an mar&eters to ser%e en user nees* In the mass
20
mar&ets5 t=o types o0 partnerin1 pro1rams are most common" >o-
branin1 an a00inity partnerin1* Missin1 process o0 >'M
#raitiona((y customer re(ationship mana1ement (>'M) re%o(%es
aroun the three 0unctions o0 se((in15 mar&etin1 an support* Garious
process moe(s ha%e been bui(t aroun ho= these 0unctions are
inte1rate an operate in a customer oriente enterprise* #here is
ho=e%er a 0ourth critica( 0unction that is (ac&in1 in most >'M
moe(s*
#he 0ourth 0unction that o0ten is the source o0 a competiti%e
e1e is that o0 inno%ation* >ompanies must continua((y rein%ent
themse(%es to e(i%er an impro%e an o0ten a tota((y ne= %a(ue
o00erin1 to their customer base* >'M must pro%ie the customer
inte((i1ence that 0ees in0ormation bac& into the enterpriseJs
&no=(e1e mana1ement processes =here it can tri11er ne=
inno%ation processes* Dhen >'M is inte1rate into the inno%ation
process5 si1ni0icant %a(ue can be eri%e 0rom 0aster time to mar&et
cyc(e times an =ith ne= processes an ser%ices* Mar&etin1
automation must ensure that the inno%ation processes are actua((y
mar&et ri%en* 6 mar&et ri%en inno%ation process must inc(ue both
strate1ies that are 0ocuse on satis0yin1 customer re?uirements as
=e(( as strate1ies 0ocuse at ree0inin1 customer re?uirements* Sa(es
automation shou( be inte1rate =ith the inno%ation process by
ensurin1 that a(( sa(es channe(s are prepare an reay to ta&e ne=
processes an ser%ices to mar&et be0ore competiti%e 0orces can react*
>ustomer ser%ice automation must be esi1ne to empo=er the
customer =ith the option o0 assistin1 =ith the esi1n o0 the %a(ue
o00erin1* 'ee0inin1 >'M aroun inno%ation5 sa(es5 mar&etin1 an
ser%ice can ienti0y ne= competiti%e opportunities 0or an enterprise*
#he remainin1 ?uestion is =hether companies are prepare to ta&e
the initiati%e an e@pan the e0inition o0 customer re(ationship
mana1ement to inc(ue the process o0 inno%ation* #he pressure to
e(i%er resu(ts =ithin the traitiona( e0inition o0 >'M a(reay
o%er=he(ms companies* #he ia(o1 must start rather ear(ier than (ater
because the competiti%e =ino= o0 traitiona( >'M is ecreasin1 an
customer emans 0or a more inno%ati%e an responsi%e enterprise
=i(( increase
Arc(itecture o! CRM
#here are three parts o0 app(ication architecture o0 >'M"
21
4* Lperationa( - automation to the basic business processes
(mar&etin15 sa(es5 ser%ice)
2* 6na(ytica( - support to ana(yFe customer beha%ior5 imp(ements
business inte((i1ence a(i&etechno(o1y
7* >o((aborati%e - ensures the contact =ith customers (phone5
emai(5 0a@5 =eb5 SMS5 post5 in person)
./ O%er&tion&l CRM
Lperationa( >'M means supportin1 the U0ront o00iceU business
processes5 =hich inc(ue customer contact (sa(es5 mar&etin1 an
ser%ice)* #as&s resu(tin1 0rom these processes are 0or=are to
resources responsib(e 0or them5 as =e(( as the in0ormation necessary
0or carryin1 out the tas&s an inter0aces to bac&-en app(ications are
bein1 pro%ie an acti%ities =ith customers are bein1 ocumente
0or 0urther re0erence* Lperationa( >'M pro%ies the 0o((o=in1
bene0its"
,e(i%ers persona(iFe an e00icient mar&etin15 sa(es5 an ser%ice
throu1h mu(ti-channe( co((aboration
;nab(es a 7:0-e1ree %ie= o0 your customer =hi(e you are
interactin1 =ith them
Sa(es peop(e an ser%ice en1ineers can access comp(ete history
o0 a(( customer interaction =ith your company5 re1ar(ess o0 the
touch point* #he operationa( part o0 >'M typica((y in%o(%es
three 1enera( areas o0 business"
*aes force automation (*.A)
SF6 automates some o0 the companyRs critica( sa(es an sa(es
0orce mana1ement 0unctions5 0or e@amp(e5 (ea3account
mana1ement5 contact mana1ement5 ?uote mana1ement5 0orecastin15
sa(es aministration5 &eepin1 trac& o0 customer pre0erences5 buyin1
habits5 an emo1raphics5 as =e(( as per0ormance mana1ement* SF6
too(s are esi1ne to impro%e 0ie( sa(es proucti%ity* Hey
in0rastructure re?uirements o0 SF6 are mobi(e synchroniFation an
inte1rate prouct con0i1uration*
22
%ustomer service and support (%**)
>SS automates some ser%ice re?uests5 comp(aints5 prouct
returns5 an in0ormation re?uests*
#raitiona( interna( he(p es& an traitiona( inboun ca((-center
support 0or customer in?uiries are no= e%o(%e into the Ucustomer
interaction centerU (>I>)5 usin1 mu(tip(e channe(s (Deb5 phone30a@5
0ace-to-0ace5 &ios&5 etc)* Hey in0rastructure re?uirements o0 >SS
inc(ue computer te(ephony inte1ration (>#I) =hich pro%ies hi1h
%o(ume processin1 capabi(ity5 an re(iabi(ity*
'nterprise mar/eting automation ('0A)
;M6 pro%ies in0ormation about the business en%ironment5
inc(uin1 competitors5 inustry trens5 an macro-en%ironmenta(
%ariab(es* It is the e@ecution sie o0 campai1n an (ea mana1ement*
#he intent o0 ;M6 app(ications is to impro%e mar&etin1 campai1n
e00iciencies* Functions inc(ue emo1raphic ana(ysis5 %ariab(e
se1mentation5 an preicti%e moe(in1 occurs on the ana(ytica(
(!usiness Inte((i1ence) sie*
Inte1rate >'M so0t=are is o0ten a(so &no=n as U0ront o00ice
so(utions*U #his is because they ea( irect(y =ith the customer* Many
ca(( centers use >'M so0t=are to store a(( o0 their customerRs etai(s*
Dhen a customer ca((s5 the system can be use to retrie%e an store
in0ormation re(e%ant to the customer* !y ser%in1 the customer ?uic&(y
an e00icient(y5 an a(so &eepin1 a(( in0ormation o0 a customer in one
p(ace5 a company aims to ma&e cost sa%in1s5 an a(so encoura1e ne=
customers*
>'M so(utions can a(so be use to a((o= customers to per0orm
their o=n ser%ice %ia a %ariety o0 communication channe(s* For
e@amp(e5 you mi1ht be ab(e to chec& your ban& ba(ance %ia your D6P
phone =ithout e%er ha%in1 to ta(& to a person5 sa%in1 money 0or the
company5 an sa%in1 your time*
0/ An&ltic&l CRM
23
In ana(ytica( >'M5 ata 1athere =ithin operationa( >'M
an3or other sources are ana(yFe to se1ment customers or to ienti0y
potentia( to enhance c(ient re(ationship* >ustomer ana(ysis typica((y
can (ea to tar1ete campai1ns to increase share o0 customerRs =a((et*
;@amp(es o0 >ampai1ns irecte to=ars customers are"
6c?uisition" >ross-se((5 up-se((
'etention" 'etainin1 customers =ho (ea%e ue to maturity or
attrition*
In0ormation" Pro%iin1 time(y an re1u(ar in0ormation to
customers*
Moi0ication" 6(terin1 etai(s o0 the transactiona( nature o0 the
customersR re(ationship*
6na(ysis typica((y co%ers but is not (imite to"
,ecision support" ,ashboars5 reportin15 metrics5 per0ormance
etc*
Preicti%e moe(in1 o0 customer attributes
Strate1y an 'esearch 6na(ysis o0 >ustomer ata may re(ate to
one or more o0 the 0o((o=in1 ana(yses"
>ontact channe( optimiFation
>ontact LptimiFation
>ustomer 6c?uisition 3 'eacti%ation 3 'etention
>ustomer Se1mentation
>ustomer Satis0action Measurement 3 Increase
Sa(es >o%era1e LptimiFation
Frau ,etection an ana(ysis
Financia( Forecasts
Pricin1 LptimiFation
Prouct ,e%e(opment
Pro1ram ;%a(uation
'is& 6ssessment an Mana1ement
,ata co((ection an ana(ysis is %ie=e as a continuin1 an
iterati%e process* Iea((y5 business ecisions are re0ine o%er time5
base on 0eebac& 0rom ear(ier ana(ysis an ecisions* #here0ore5
most success0u( ana(ytica( >'M projects ta&e a%anta1e o0 a ata
=arehouse to pro%ie suitab(e ata* !usiness Inte((i1ence is a re(ate
iscip(ine o00erin1 some more 0unctiona(ity as separate app(ication
so0t=are*
24
1/ Coll&)or&ti'e CRM
>o((aborati%e >'M 0aci(itates interactions =ith customers
throu1h a(( channe(s (persona(5 (etter5 0a@5 phone5 =eb5 e-mai() an
supports co-orination o0 emp(oyee teams an channe(s* It is a
so(ution that brin1s peop(e5 processes an ata to1ether so companies
can better ser%e an retain their customers* #he ata3acti%ities can be
structure5 unstructure5 con%ersationa( an3or transactiona( in
nature*
>o((aborati%e >'M pro%ies the 0o((o=in1 bene0its"
;nab(e e00icient proucti%e customer interactions across a((
communications channe(s
;nab(es =eb co((aboration to reuce customer ser%ice costs
Inte1rates ca(( centers enab(in1 mu(ti-channe( persona(
customer interaction
Inte1rates %ie= o0 the customer =hi(e interaction at the
transaction (e%e(
25
Liter&ture Re'iew
Com%&n Pro!ile#
6n1e( !ro&in1 Eimite is one o0 the (eain1 an pro0essiona((y
mana1e stoc& bro&in1 0irm in%o(%e in ?ua(ity ser%ices an research*
6n1e( !ro&in1 Eimite is a corporate member o0 #he Stoc& ;@chan1e5
Mumbai*
#he membership o0 the company =ith #he Stoc& ;@chan1e
Mumbai =as ori1ina((y in the name o0 Mu&esh '* /anhi5 =hich =as
e%entua((y turne into a corporate membership in the name o0 6n1e(
!ro&in1 Eimite*
6n1e( !ro&in1 Eimite is mana1e by Mr* ,inesh #ha&&ar an
he is =e(( supporte by Mr* Mu&esh /anhi5 a 0i0teen years %eteran in
the mar&et*
#he 1roup is =e(( supporte by a pro0essiona( an ?ua(i0ie
research team an e00icient operations an bac& o00ice team5 =hich
comprises o0 hi1h(y eicate an ?ua(i0ie ini%iua(s* 6n1e( has an
in-house5 state o0 art research epartment*
6n1e( be(ie%es in reachin1 out to the customer at the 0arthest
en rather than by reachin1 out to them* #he company in its
;nea%our to 1i%e its c(ient the best has opene up se%era( branches
a(( o%er Mumbai5 =hich are e00icient(y inte1rate =ith the $ea
L00ice*
26
6n1e( !ro&in1 Eimite is primari(y into retai( stoc& bro&in15
=ith a customer base o0 retai( in%estors5 =hich has been increasin1 at
a compoune 1ro=th rate o0 400V e%ery year* #he company has
hu1e net=or& sub-bro&ers in Mumbai an other p(aces outsie
Mumbai5 re1istere =ith S;!I5 =ho act as channe( partners 0or the
company* #he company present(y has the tota( sta00 stren1th o0
aroun 4+0 emp(oyees =ho are sprea accorin1(y across the hea
o00ice an a(( the branches*
6n1e( has empo=ere its physica( presence throu1hout Inia
throu1h %arious strate1ies =hich it has been aoptin1 e00icient(y an
e00ecti%e(y o%er a perio o0 time5 (i&e openin1 up o0 branches at
%arious p(aces5 tie-ups =ith %arious a1encies an sa(es a1ents5 buy-
outs o0 sma((er re1iona( out0its an appointment o0 sub-bro&ers an
0ranchisees* Moreo%er5 6n1e( !ro&in1 Et* has been tappin1 an
inc(uin1 hi1h net-=orth an se(0-emp(oye ini%iua(s to its %ast
array o0 c(ients*
6n1e( has a(=ays stri%e in the irection o0 e(i%erin1 u(timate
c(ient satis0action an e%e(opin1 stron1er bons =ith its customers
an chose partners* 6n1e( has a %ision to introuce ne= an
inno%ati%e proucts an ser%ices re1u(ar(y* Moreo%er 6n1e( has been
one amon1 the pioneers to introuce the (atest techno(o1ica(
inno%ations an inte1rate it e00icient(y =ithin its business*
6n1e( !ro&in1 Et tryst =ith e@ce((ence in customer re(ations
be1an in 49-9* #oay5 6n1e( has emer1e as one o0 the most
respecte Stoc&-!ro&in1 an Dea(th Mana1ement >ompanies in
Inia* Dith its uni?ue retai(-0ocuse stoc& train1 business moe(5
6n1e( is committe to pro%iin1 S'ea( Ga(ue 0or MoneyJ to a(( its
c(ients*
#he 6n1e( /roup is a member o0 the !ombay Stoc& ;@chan1e
(!S;)5 )ationa( Stoc& ;@chan1e ()S;) an the t=o (eain1
>ommoity ;@chan1es in the country" )>,;Q 2 M>Q* 6n1e( is a(so
re1istere as a ,epository Participant =ith >,SE

6n1e(Js !usiness

;?uity #rain1
27

>ommoities

Port0o(io Mana1ement Ser%ices

Mutua( Funs Ei0e Insurance

Persona( Eoans

IPL

,epository Ser%ices

In%estment 6%isory
6n1e(Js Presence

)ation-=ie net=or& o0 24 'e1iona( $ubs

Presence in 428 cities

L%er :-40 Sub-!ro&ers 2 !usiness 6ssociates

More than +*9 (a&h >(ients

6n1e( /roup

6n1e( !ro&in1 Et*

6n1e( >apita( 2 ,ebt Mar&et Et*

6n1e( >ommoities !ro&in1 Et*

6n1e( Securities Et*

28
2o&rd o! "irectors# $
Mr* ,inesh #ha&&ar Founer >hairman 2 Mana1in1 ,irector
#he 6n1e( /roup o0 >ompanies =as brou1ht to (i0e by Mr*
,inesh #ha&&ar* $e %enture into stoc& train1 =ith an intention to
raise capita( 0or his o=n inepenent enterprise* $o=e%er5 he
reco1niFe the opportunity o00ere by the stoc& mar&et to ser%e
ini%iua( in%estors* #hus IniaJs 0irst retai(-0ocuse stoc&-bro&in1
house =as estab(ishe in 49-9* .ner his (eaership5 6n1e( became
the 0irst bro&in1 house to embrace ne= techno(o1y 0or 0aster5 more
e00ecti%e an a00orab(e ser%ices to retai( in%estors*
Mr* #ha&&ar is %a(ue 0or his unerstanin1 o0 the economy
an the stoc&-mar&et* #he print an e(ectronic meia o0ten see& his
%ie=s on the mar&et tren as =e(( as in%estment strate1ies*
Mr* Ea(it #ha&&ar ,irector C 'esearch
29
Mr* Ea(it #ha&&ar is the moti%atin1 0orce behin 6n1e(Js hi1h(y
acc(aime 'esearch team* $eJs been a part o0 the senior mana1ement
team since the 6n1e( /roupJs inception* $is technica( an
0unamenta( out(oo& has pro%ie impetus to 6n1e(Js mar&et
research team* 'esearch-base 2 persona(iFe a%isory ser%ices are
6n1e(Js 0orte5 an Mr* Ea(it #ha&&ar has unoubte(y been the brain
behin it*
Dhen it comes to ana(yFin1 the mar&et5 Mr* Ea(it #ha&&ar is
tru(y a 1enius* $is hans-on e@perience an 0unamenta( &no=(e1e
o0 the mar&et can preict the mar&et tren ear(y* $is %ie=s on the
mar&et tren are o0ten ?uote in the print an e(ectronic meia*
Mr* 6mit Majumar >hie0 Strate1y L00icer
6 chartere 6ccountant by ?ua(i0ication5 Mr* 6mit Majumar is
a &ey member o0 6n1e(Js strate1ic ecision-ma&in1 process* $e has
been =ith the 1roup since 6u1ust 2008* $e has han(e se%era(
0unctions o0 the 1roup (i&e 0inance an operations5 to name a 0e=* $e
has rich e@perience in 0inance5 in%estment ban&in15 treasury5
consu(tancy an a%isory ser%ices*
Mr* Majumar has (e many success0u( initiati%es 0or the 1roup*
!e0ore joinin1 the 6n1e( /roup5 Mr* Majumar has been associate
=ith 'abo Inia Finance5 6mbit >orporate Finance an ;rnst 2
Toun1*
30
Mr* 'aji% Pha&e ;@ecuti%e ,irector C $' 2 >orp*
>ommunications
Mr* 'aji% Pha&e has acti%e(y contribute to the /roupJs
1ro=th o%er the (ast 0our years* $o(in1 a major in Finance5 Mr* 'aji%
Pha&e is a strate1ic thin&er =ith e@pertise in the 0ie( o0 corporate
p(annin15 internationa( mar&etin15 0inancia( ser%ices5 bran-bui(in15
$', an ?ua(ity mana1ement*
Dith o%er 72 years o0 e@perience5 Mr* Pha&e has success0u((y
(e S!.s an 0inancia( companies 0rom concept to commissionin1*
$is career horiFon spans Moti(a( Ls=a( Securities5 #imes /uaranty
Financia(s5 )a1arjuna Securities an #ata ;@ports Et* $e is a(so a
=e((-&no=n spea&er in the $' an business e%e(opment circuit an
his %ie=s are 0eature on %arious e(ectronic meia as =e((*

Mr* Ginay 61ra=a( ;@ecuti%e ,irector C ;?uity !ro&in1
Mr* Ginay 61ra=a( (eas the ;?uity !ro&in1 business at 6n1e(5
=hich comprises !usiness ,e%e(opment5 Lperations5 Prouct
,e%e(opment an ;-bro&in1 initiati%e* $e is acti%e(y in%o(%e in
e@p(orin1 ne= =ays to aopt techno(o1y 0or business enhancement*
6 >hartere 6ccountant by ?ua(i0ication5 Mr* 61ra=a( be1an his
career =ith the 6n1e( /roup as Finance an Lperations >onsu(tant5
an since then heJs ?uic&(y c(imbe up the corporate (aer*
31
Mr* )i&hi( ,a@ini ;@ecuti%e ,irector - Sa(es an Mar&etin1
Dith an M!6 in 0inance5 Mr* )i&hi( ,a@ini has been
instrumenta( in introucin1 the concept o0 pro0essiona( mar&etin1 o0
bro&in1 ser%ices at 6n1e(* $is area o0 0ocus is !usiness ,e%e(opment5
'is& Mana1ement an Lperations*
Mr* ,a@ini has immense e@perience in the mar&etin1 o0
0inancia( proucts an ser%ices* $e has been associate =ith $,F>
!an& Et* in the past*
Mr* $itun1shu ,ebnath ;@ecuti%e ,irector - ,istribution 2
Dea(th Mana1ement
6 mar&etin1 pro0essiona( an a !ritish >he%enin1 scho(ar 0rom
the Eonon Schoo( o0 ;conomics5 Mr* $itun1shu ,ebnath (eas the
32
,istribution an Dea(th Mana1ement business at the 6n1e( /roup* It
inc(ues the istribution o0 Insurance5 mutua( 0uns5 IPLs5 persona(
(oans an other =ea(th mana1ement proucts*
Mr* ,ebnath has o%er 4- years o0 inustry e@perience* $e has
been associate =ith #imes /uaranty Financia( Et*5 Fortress
Financia( Ser%ices Et*5 6((iance >apita( 6sset Mana1ement an
$,F> 6sset Mana1ement Et* in the past*
Mr* Muit Hu(shreshtha ;@ecuti%e ,irector - !usiness
Inte((i1ence 2 6na(ytic
Mr* Muit Hu(shreshtha heas the a%ance ana(ytics an
strate1ic business inte((i1ence i%ision at 6n1e(* Dith a !ache(orJs
e1ree in ;n1ineerin1 an Ph, in ;conomics5 Mr* Muit
Hu(shreshtha has more than 42 years e@perience in the 0ie( o0
strate1y an business consu(tin1*
$e has been associate =ith repute consu(tin1 0irms (i&e
,e(oitte >onsu(tin1 Inia5 ;rnst an Toun15 6rthur 6nersen an
D)S /(oba(* $e has a%ise se%era( bi1 c(ients in the .*S* an .*H*
$e is a(so a &no=n spea&er at pub(ic seminars an con0erences
or1anise by >II5 )6SS>LM5 Inian Schoo( o0 !usiness an II#*
Mr* Santanu Syam ;@ecuti%e ,irector C Lperations

Mr* Syam brin1s =ith him o%er 4- years o0 e@perience in the
0ie( o0 #ransaction !an&in15 Dho(esa(e !an&in15 #reasury !an&in15
33
>onsumer !an&in1 an >!S* $e starte his career =ith 6)W
/rin(ays !an& an he =as a(so associate =ith Stanar >hartere
!an& in Inia as ,irector #ransactiona( !an&in1*
Mr* Syam 0o((o=e up his ;n1ineerin1 e1ree =ith an M!6* $e
has a(so attene !an&in1 2 #echno(o1y seminars or1anise by S>!
Sin1apore5 !S; Inia 2 ;uro Finance*
Mr* Hetan Shah 6ssociate ,irector - In0ormation #echno(o1y
I# is a strate1ic 0unction at 6n1e(* 6n Mr* Hetan Shah is
in%o(%e in the esi1nin1 o0 6n1e(Js I# po(icies an Strate1ies* Mr*
Shah (eas a(( I#-re(ate acti%ities 0rom p(annin1 an bu1etin1 to
imp(ementation an maintenance*
Mr* Shah has o%er 4- years o0 inustry e@perience* $e has been
in%o(%e in %arious aspects o0 !usiness Lperations in his pre%ious
assi1nments*
Ms* Pin&y Hothari 6ssociate ,irector - Sa(es 6n Mar&etin1
Ms* Pin&y Hothari is responsib(e 0or e%e(opment an
e@pansion o0 the 6n1e( /roupJs business in Southern Inia* She
starte her career at 6n1e( as !usiness ,e%e(opment ;@ecuti%e* She
=as then appointe the hea o0 Surat !ranch an the South /ujarat
re1ion5 be0ore assumin1 the ro(e o0 6ssociate ,irector*
34
6 ?ua(i0ie >ompany Secretary an an M!6 in Finance5 Ms*
Hothari has %ast e@perience in business e%e(opment in the 0inancia(
ser%ices inustry*
Mr* )a%een Mathur 6ssociate ,irector C >ommoities !usiness
6 >F6 o0 49995 Mr* Mathur ho(s a Post /rauation e1ree in
Financia( Mana1ement an !usiness Finance* $e brin1s =ith him
o%er 48 years o0 e@perience in the 0inancia( mar&ets*
$e ha been associate =ith 'e(i1are >ommoities5 Har%y
>onsu(tants an =ith !E! Et in the past* $e has been in%o(%e in
se%era( mana1ement acti%ities5 treasury operations5 corporate an
strate1ic p(annin15 research acti%ities in Futures an Lptions mar&ets
in his past assi1nments*
Mr* Mathur is a re1u(ar spea&er on a(( the prominent 0inancia(
ne=s channe(s*
35
Products &nd Ser'ices o! Angel
De ha%e been traine an introuce to 6n1e(Js %arious
prouct an ser%ices5 =hich are as 0o((o=s"
E-Broking: -
6n1e( o00ers se%era( user-0rien(y ser%ices to customers so that
they can mana1e their stoc& port0o(io* Inc(uin15 on(ine capabi(ities
(in&e to an in0ormation atabase to he(p customers in%est5
con0ient(y* Lur e-bro&in1 ser%ices are specia((y esi1ne 0or the net-
sa%%y traers an in%estors =ho pre0er operatin1 0rom their home or
o00ice5 throu1h the internet*
#here are t=o types o0 so0t=are*
1# Browser-Based
6n1e( In%estor
6n1e( #rae
2# Appication-Based
6n1e( ,iet
6n1e( 6ny=here
USP3s o! Angel E$)roking
Mu(tip(e ;@chan1es on a sin1(e screen- !S;5 )S;-F2L5 M>Q5
)>,;Q
$ot &eys simi(ar to bro&erJs termina(
36
Streamin1 ?uotes
Proucts3So0t=are3!ac& o00ice trainin1 0or a(( ;-bro&in1 c(ients
In-epth research 2 technica( chart5 intra-ay ca((s
28@9 !ac&-o00ice
Gie=in1 (e1er5 !i((s5 >ontracts5 Saua summary5 Lpen
Position5 $o(in1s5 ,P #ransactions5 6uction ,etai(s*
6uto pay-in o0 shares 2 Ln(ine Securities Pay-Lut
Instant trans0er o0 0un 2 Ln(ine Funs pay-out re?uest
$i1h(y secure an con0ientia(
Port!olio m&n&gement ser'ice
Success0u( in%estin1 in >apita( Mar&ets emans e%er more
time an e@pertise* In%estment Mana1ement is an art an a science in
itse(0* Pro0essiona( In%estment Mana1ement Ser%ices are no (on1er
the pri%i(e1e o0 on(y (ar1e institutiona( in%estors* Port0o(io
Mana1ement Ser%ices (PMS) is one such ser%ice that is 0ast 1ainin1
eminence as an in%estment a%enue o0 choice 0or $i1h )et=orth
In%estors (i&e you* PMS is a sophisticate in%estment %ehic(e that
o00ers a ran1e o0 specia(iFe in%estment strate1ies to capita(iFe on
opportunities in the mar&et* #he Port0o(io Mana1ement Ser%ice
combine =ith competent 0un mana1ement5 eicate research an
techno(o1y5 ensures a re=arin1 e@perience 0or its c(ients*
PRO"UCT 2OU4UET
&$ Angel Oster
>hie0 In%estment L00icer Mr* 'ajen Shah
!ottom up concentrate port0o(io o0 Mi >ap 2 Sma(( >ap
>ompanies =ith emphasis on Ga(ue In%estin1*
37
1nvestor Profie+
X #he scheme =ou( be suite 0or in%estors =ith meium to hi1h ris&
appetite ha%in1 (on1 term perspecti%e
.ees and %harges
2V 6sset Mana1ement >har1es
0*+0V bro&era1e on transactions
)$ Angel 2lue$c(i%
Fun Mana1er Mr* Phani Se&har
,i%ersi0ie ;?uity port0o(io o0 Ear1e cap 2 Mi >ap >ompanies*
1nvestor Profie+
X #he scheme =ou( be suite 0or in%estors =ith meium to (o= ris&
appetite5 ha%in1 (on1 term perspecti%e*
.ees and %harges
X 2V 6sset Mana1ement Fees
X 0*+0V !ro&era1e on transactions
6n1e( ;?uity ,eri%ati%es Fun
Fun Mana1er Mr* Siarth !hamre
!ottom-.p concentrate port0o(io =ith ;?uities 2 ,eri%ati%es5
an emphasis on $e1in1 by usin1 %o(ati(ity in the Mar&ets*
1nvestor Profie+
X #he scheme =ou( be suite 0or in%estors =ith (o= to meium
ris& appetite5 ha%in1 (on1 term perspecti%e*
X Suitab(e 0or $)I >(ients an >orporate =ho =ant to par&
money 0or consistent 'eturn 0rom the mar&et e%en i0 mar&et
remaine 0(at*
.ees and %harges
X 2V 6sset Mana1ement >har1es
X 0*40V on ,e(i%ery an 's*+0 0(at on options5 0*04V on 0utures
c$ Angel Growt(
38
Fun Mana1er Mr* Phani Se&har
,i%ersi0ie ;?uity port0o(io o0 Ear1e cap 2 Mi >ap >ompanies
=ith emphasis on 1ro=th In%estment*
1nvestor Profie+
X #he scheme =ou( be suite 0or in%estors =ith moerate ris&
appetite*
X 'ecommene in%estment horiFon is 4+ to 4- months*
.ees and %harges+
X 2V 6sset Mana1ement >har1es
X 0*+V bro&era1e on transactions
PMS c(&r&cteristics# $

Persona(iFe Ser%ice
Interaction =ith Fun Mana1er
'e1u(ar 0eebac& an reports
Pro-acti%e mana1ement o0 0uns
$o(in1s not impacte by entry3e@it o0 bi1 in%estors
>an remain (i?ui 0or (on1 perios
,iscip(ine in%estment process
Pua(ity in%estments
Eimitin1 ris&
Eo= port0o(io turno%er
Focus on 1eneratin1 6bso(ute returns rather than 'e(ati%e
'eturns
Angel Gold$
Product$ 5e&tures o! Angel Gold
6 premium ser%ice 0or c(ients =ho nees pro0essiona( 1uiance
on
(on1 term in%estments
39
Minimum 0uns or port0o(io o0 's*4 Ea&h an ma@imum o0 's*8
Ea&hs =i(( be e(i1ib(e 0or 6n1e( /o(**
!ro&era1e o0 0*+0V-0*9+V 0or c(ients* +0V sharin1 o0 bro&era1e
in case o0 Sub-bro&erJs c(ients*
)o 6M>5 )o ;ntry3;@it (oa an )o pro0it sharin1
Shares can be &ept in 6n1e( poo( or can be trans0erre to the
respecti%e ,P accounts
Intimation re1arin1 transaction =i(( be 1i%en to c(ients by
e%enin1 o0 the ay o0 transaction
)o Eoc&-in perio* Pro0its can be reeeme or re-in%estin1
base on c(ientJs =ish
;@istin1 c(ient account can be use 0or 6n1e( /LE,* >(ients can
o there o=n transactions in the same account as =e((*
'esearch ,irector Mr* Ea(it #ha&&ar a(on1 =ith 42 senior
ana(ysts =i(( ta&e in%estment ecisions
In%estment =i(( be one 0or a (on1er time horiFon* (42-4-
Months)
!ro=ser base !L so0t=are 0or c(ients an branches
Month(y )e=s(etter =i(( be re(ease 0rom 6n1e( /LE, es&
Perioic meetin1s =i(( be he( in the branches
POSITIONING
6n1e( /LE, is positione as an e?uity in%estment option 0or a((
those in%estors =ho aim 0or rea(istic return 0rom e?uity as an
asset c(ass on a (on1 term perspecti%e*
It is 0or the in%estors =ho5 =ishes to see& pro0essiona( a%ice 0or
their in%estments*
Uni6ue selling Pre%osition 7USP8
6 stron1 team o0 44 sector speci0ic ana(ysts heae by 'esearch
irector 1uiin1 the in%estments
)o ;ntry3;@it (oa5 )o pro0it sharin15 )o Mana1ement 0ees
6 corpus (imit as (o= as 's*4 Ea&h*
6 port0o(io o0 1ro=th stoc&s an not mar&et capita(iFation bias*
40
F(e@ibi(ity o0 rein%estin15 reeemin1 an (i?uiatin1 the
port0o(io
6 (o= cost so(ution 0or in%estin1*
Product Segment
6n1e( /LE, is 0or the peop(e =ho 0a(( in mi(e c(ass C hi1her
mi(e c(ass section o0 the society
Peop(e =ho are not ris& a%erse an can unerstan the return
bene0its %is-Y-%is ca(cu(ate ris& ta&en
Peop(e =ho are ne= entrant to the e?uity mar&ets5 norma((y
comin1 throu1h the Mutua( Fun route*
T&rget Customers
Toun1 pro0essiona(s earnin1 sa(aries aroun 's*7 Eacs to 's*:
Eacs =ith one or t=o years e@perience
Mi(e a1e pro0essiona(s consierin1 traitiona( =ays o0
in%estin1 i*e* F,s5 PPF5 1o(5 bons5 etc*
Sma(( sca(e businessmen =ho are not ris& a%erse an =i((
unerstan the importance o0 reasonab(e returns
'etire peop(e =ho ha%e ta&en he0ty G'S or has sa%in1s o0
=hich 20-2+V can be in%este in e?uities
M&rgin 5unding &nd %re%&id )roker&ge
M&rgin 5unding
AMar1in Funin1B a((o= you to ta&e hi1her e@posure on the
0uns as =e(( as un(oc& the %a(ue o0 your e@istin1 port0o(io 2 ta&e
a%anta1e o0 in%estment opportunities in the mar&et =ithout the
in%o(%ement o0 0resh 0uns* Lne can use the shares in his current
port0o(io to ma&e 0resh purchases in the mar&et* I0 uti(iFe pruent(y5
this prouct can he(p un(oc& the %a(ue o0 Securities e%en urin1
epresse Stoc& Mar&et conitions an pro%ie customers =ith the
much-neee (i?uiity urin1 pressin1 times*
41
Ad'&nt&ges#
Pro%ie instant (i?uiity =ithout ha%in1 to se(( your Securities*
6((o= you to 1rab in%estment opportunities instant(y =ithout
any nee to pay 0irst*
Ee%era1e your 0uns a%ai(ab(e 0or in%estments*
!ene0its (i&e bonuses an i%iens continue to accrue to the
borro=er*
6ny appreciation in the %a(ue o0 the Securities 1i%en as mar1in
=ou( automatica((y a((o= enhancement in ra=in1 po=er*
Interest ca(cu(ate on the amount uti(iFe 2 the time 0or =hich
it is uti(iFe*
Pre$P&id 2roker&ge
Pre-pai bro&era1e is one o0 the best schemes 0or customers to
ta&e the a%anta1es o0 (ess bro&era1e* ,i00erent pre-pai rechar1e are
a%ai(ab(e =ith i00erent %a(iity* Some characteristics o0 pre-pai
bro&era1e are as 0o((o=s" -
Wero account openin1 char1es
6ttracti%e !ro&era1e 'ate
Free ,P 6M> 0or 4 year
6ssure 1i0ts =orth thousans =ith e%ery account*
;asy 2 Fast 'echar1e
Free Financia( In%estment 6pp(ication =ith e%ery account
4u&lit Assur&nce ) Angel
6n1e( !ro&in1 is the First !ro&era1e $ouse to ha%e a Pua(ity
6ssurance >e(( across Inustry ,eicate P6 teams at >SL 2
branches to reso(%e c(ient ?ueries3 comp(aints throu1h te(ephone5
emai( or %isit* Pua(ity assurance ce(( is one such si1ni0icant mi(estone
achie%e by the company5 =hich stans 0or its per0ormance*
;stab(ishe in 200+5the ce(( =as set up as the compe((in1 nee =as
0e(t to shi0t 0rom Scustomer satis0action to customer e(i1htB 6n1e(Js
e0inition o0 Pua(ity- Prouct an ser%ices that tota((y satis0y an
42
o0ten e@cee customer nees an e@pectations in a(( respect to e(i1ht
him*
Simp(y put5 Pua(ity is achie%in1 a hi1h e1ree o0 e@ce((ence in
a(( 0orms o0 acti%ities 0rom esi1n5 e%e(opment5 ser%in1 an
ocumentation* A'i1ht First #ime an 'i1ht ;%ery #imeB* 6n to
achie%e that5 they 0o((o= the 8 SPJ Pua(ity moe("
Prob(em so(%in1-continuous impro%ement an (earnin1
Peop(e an Partners-'espect5 cha((en1e5 1ro=th
Process-StanariFe tas&s 0or continuous impro%ement
Phi(osophy-Eon1 term thin&in1
Rese&rc( 9 Ad'isor
#he mar&ets ene Monay mar1ina((y in the 1reen5 a0ter
openin1 =ea& ue to concerns about S=ine 0(u* #he Inices =ere
=ea& at the outset o0 the #uesay enin1 the ay in re* Mar&ets
sur1e on Denesay on positi%e 1(oba( cues an short co%erin1 in
6pri( 2009 eri%ati%es contracts* #he mar&ets remaine c(ose both
on #hursay an Friay* #he mar&ets just ene the =ee& positi%e5
=ith the Sense@ 1ainin1 0*9V an the )i0ty c(osin1 mar1ina((y (o=er
by 0*2V
5und&ment&l An&lsis
Funamenta( ana(ysis is one o0 the most use0u( too(s that
in%estors use =hen ma&in1 ecisions about =hich stoc&s theyJre
1oin1 to buy* It is a process o0 e@aminin1 &ey ratios that sho= the
current =orth o0 a stoc& an the recent per0ormance o0 a company*
Funamenta( ana(ysis is use to etermine the amount o0 money a
company can ma&e an the &in o0 earnin1s an in%estor can e@pect*
Future earnin1s may be subject to interpretation but 1oo earnin1
histories create con0ience amon1 in%estors* #he stoc& prices may
increase an the i%iens may pay out*
43
Stoc& mar&et ana(ysts etermine =hether a company is meetin1
its e@pecte 1ro=th by e@aminin1 the earnin1s that are reporte by
the company on a re1u(ar basis* I0 the company oesnJt meet its
e@pecte 1ro=th5 the prices o0 its stoc&s usua((y e@perience a
o=nturn*
#here are a (ot o0 too(s that are use to etermine the earnin1s
an the %a(ue o0 a company on the stoc& mar&et* Most o0 these too(s
re(y on the 0inancia( statements re(ease by the company* ,etai(s
about the %a(ue o0 a company =hich inc(ue competiti%e a%anta1es
an o=nership ratios bet=een the mana1ement an the outsie
in%estors can be re%ea(e throu1h 0urther 0unamenta( ana(yses*
.undamenta ana!sis is for the rationa man
#o ma&e 0inancia( 0orecasts
#o conuct a company stoc& %a(uation 2 preict its
probab(e price e%o(ution
#o ma&e a projection on its business per0ormance
#o e%a(uate its mana1ement an ma&e interna( business
ecisions
#o ca(cu(ate its creit ris&
Tec(nic&l An&lsis
#he art an science o0 e@aminin1 stoc& chart ata an
preictin1 0uture stoc& mar&et mo%ements is ca((e technica(
ana(ysis* #his sty(e o0 ana(ysis is use by in%estors =ho are o0ten
concerne about the nature an the %a(ue o0 the companies
=here they trae their stoc&s in* #he ho(in1s are usua((y short-
term since the in%estors rop the stoc&s once they reach their
projecte pro0it*
44
#he be(ie0 that stoc& prices mo%e in preictab(e patterns is
the basis 0or technica( ana(ysis* #he 0actors that in0(uence the
mo%ement o0 the price are suppose(y re0(ecte in the stoc&
mar&et =ith 1reat e00iciency* #hese 0actors inc(ue company
per0ormance5 economic status5 an natura( isasters* #he
e00iciency5 =hen coup(e =ith historica( trens5 prouces
mo%ements that can be ana(yFe an app(ie to the 0uture
mo%ements o0 the stoc& mar&et* !ecause the 0unamenta(
in0ormation about the potentia( 1ro=th o0 a company is not ta&en
into account5 technica( ana(ysis is not intene 0or (on1-term
in%estments* #raes are entere an e@ite at precise times so
technica( ana(ysts nee to spen a (ot o0 time =atchin1 the
mo%ements o0 the stoc& mar&et* In%estors can ta&e a%anta1e o0
both ups=in1s an o=ns=in1s in price by 1oin1 either (on1 or
short* In the e%ent that the mar&et oesnJt mo%e as e@pecte5 the
(osses can be (imite by stop-(oss orers*
$unres o0 stoc& patterns ha%e been e%e(ope o%er time*
Most o0 these patterns re(y on the basic concepts o0 AsupportB
an Aresistance*B #he (e%e( =here o=n=ar prices are e@pecte
to rise 0rom is ca((e the support =hi(e the (e%e( =here the
up=ar prices are e@pecte to reach be0ore 0a((in1 a1ain is ca((e
the resistance* Lnce they hit the support or the resistance (e%e(s5
the prices ten to bounce*
:&lue Added Ser'ices
)'I Ser%ice ,es& 0or persona(iFe 6ssistance
,eicate L00(ine ;?uity ,ea(in1 ,es&
Ln(ine ;?uity #rain1 P(at0orm
)'I In%estment 6%isory ,es&
P6) car 6ssistance
Support 0or !an&in1 2 PIS 6ccount
Port0o(io Mana1ement5 Mutua( Fun5 ILP Ser%ices
45
Tr&ining
6 trainin1 pro1ram can ser%e a ran1e o0 i%erse purposes5 an
or1aniFations initiate trainin1 pro1rams 0or many i00erent reasons*
Lne o0 the stron1est nee o0 trainin1 is to respon to cha((en1es
presente by ne= techno(o1y* >ustomer 'e(ationship Mana1ement
trainin1 at 6n1e( !ro&in1 he(pe us to meet the cha((en1es in current
mar&et scenario* De came to &no= about maintainin1 (on1 (astin1
customer re(ationship* De =ere co%ere by Moti%ationa( speeches by
!oar o0 irectors5 Prouct an ser%ices5 'o(e p(ays5 !rain stormin15
Scrip esi1nin15 !ac& o00ice5 ,i00erent epartments at 6n1e( an the
=ay they e@ecute their tas&s5 'esearch an 6%isory5 Dea(th
mana1ement ser%ices5 Ga(ue ae ser%ices an hea(thy
iscussions 5Dhich are as 0o((o=s in etai("
Im%ort&nce 9 Needs o! Tr&ining
2ptimum 3tii)ation of Human ,esources C #rainin1 he(ps in
optimiFin1 the uti(iFation o0 human resource that 0urther he(ps the
emp(oyee to achie%e the or1aniFationa( 1oa(s as =e(( as their
ini%iua( 1oa(s*
46
4eveopment of Human ,esources C #rainin1 he(ps to pro%ie an
opportunity an broa structure 0or the e%e(opment o0 human
resourcesJ technica( an beha%iora( s&i((s in an or1aniFation* It a(so
he(ps the emp(oyees in attainin1 persona( 1ro=th*
4eveopment of s/is of empo!ees C #rainin1 he(ps in increasin1 the
job &no=(e1e an s&i((s o0 emp(oyees at each (e%e(* It he(ps to
e@pan the horiFons o0 human inte((ect an an o%era(( persona(ity o0
the emp(oyees*
Productivit! C #rainin1 he(ps in increasin1 the proucti%ity o0 the
emp(oyees that he(ps the or1aniFation 0urther to achie%e its (on1-term
1oa(*
Team spirit C #rainin1 he(ps in incu(catin1 the sense o0 team =or&5
team spirit5 an inter-team co((aborations* It he(ps in incu(catin1 the
Fea( to (earn =ithin the emp(oyees*
2rgani)ation %uture C #rainin1 he(ps to e%e(op an impro%e the
or1aniFationa( hea(th cu(ture an e00ecti%eness* It he(ps in creatin1
the (earnin1 cu(ture =ithin the or1aniFation*
2rgani)ation %imate C #rainin1 he(ps bui(in1 the positi%e
perception an 0ee(in1 about the or1aniFation* #he emp(oyees 1et
these 0ee(in1s 0rom (eaers5 suborinates5 an peers*
5uait! C #rainin1 he(ps in impro%in1 upon the ?ua(ity o0 =or& an
=or&-(i0e*
Heath! wor/-environment C #rainin1 he(ps in creatin1 the hea(thy
=or&in1 en%ironment* It he(ps to bui( 1oo emp(oyee5 re(ationship
so that ini%iua( 1oa(s a(i1ns =ith or1aniFationa( 1oa(*
Heath and *afet! C #rainin1 he(ps in impro%in1 the hea(th an
sa0ety o0 the or1aniFation thus pre%entin1 obso(escence*
0orae C #rainin1 he(ps in impro%in1 the mora(e o0 the =or& 0orce*
1mage C #rainin1 he(ps in creatin1 a better corporate ima1e*
47
Profita(iit! C #rainin1 (eas to impro%e pro0itabi(ity an more
positi%e attitues to=ars pro0it orientation*
#rainin1 ais in or1aniFationa( e%e(opment i*e* Lr1aniFation
1ets more e00ecti%e ecision ma&in1 an prob(em so(%in1* It he(ps in
unerstanin1 an carryin1 out or1aniFationa( po(icies*
#rainin1 he(ps in e%e(opin1 (eaership s&i((s5 moti%ation5
(oya(ty5 better attitues5 an other aspects that success0u( =or&ers
an mana1ers usua((y isp(ay*
METHO"S O5 TRAINING
#he most =ie(y use methos o0 trainin1 use by
or1aniFations are c(assi0ie into t=o cate1ories" Ln-the-Job #rainin1
2 L00-the-Job #rainin1*
L)-#$;-JL! #'6I)I)/ is 1i%en at the =or& p(ace by superior in
re(ati%e(y short perio o0 time* #his type o0 trainin1 is cheaper 2 (ess
time-consumin1* #his trainin1 can be imparte by basica((y 0our
methos" -
>oachin1 is (earnin1 by oin1* In this5 the superior 1uies his sub-
orinates 2 1i%es him3her job instructions* #he superior points out
the mista&es 2 1i%es su11estions 0or impro%ement*
Job 'otation" - In this metho5 the trainees mo%e 0rom one job to
another5 so that he3she shou( be ab(e to per0orm i00erent types o0
tas&s* ;*1* In ban&in1 inustry5 emp(oyees are traine 0or both bac&-
en 2 0ront-en jobs* In case o0 emer1ency5 (absenteeism or
resi1nation)5 any emp(oyee =ou( be ab(e to per0orm any type o0 job*
LFF #$; JL! #'6I)I)/ is 1i%en outsie the actua( =or& p(ace*
Eectures3>on0erences"- #his approach is =e(( aapte to con%ey
speci0ic in0ormation5 ru(es5 proceures or methos* #his metho is
48
use0u(5 =here the in0ormation is to be share amon1 a (ar1e number
o0 trainees* #he cost per trainee is (o= in this metho*
Gieo >(ips can pro%ie in0ormation 2 e@p(icit(y emonstrate s&i((s
that are not easi(y presente by other techni?ues* Motion pictures are
o0ten use in conjunction =ith >on0erence5 iscussions to c(ari0y 2
amp(i0y those points that the 0i(m emphasiFe*
Simu(ation ;@ercise" - 6ny trainin1 acti%ity that e@p(icit(y p(aces the
trainee in an arti0icia( en%ironment that c(ose(y mirrors actua(
=or&in1 conitions can be consiere a Simu(ation* Simu(ation
acti%ities inc(ue case e@periences5 e@perientia( e@ercises5 %estibu(e
trainin15 mana1ement 1ames 2 ro(e-p(ay*
>ases" - present an in epth escription o0 a particu(ar prob(em an
emp(oyee mi1ht encounter on the job* #he emp(oyee attempts to 0in
an ana(yFe the prob(em5 e%a(uate a(ternati%e courses o0 action 2
ecie =hat course o0 action =ou( be most satis0actory*
;@perientia( ;@ercises" - are usua((y short5 structure (earnin1
e@periences =here ini%iua(s (earn by oin1* For instance5 rather
than ta(&in1 about inter-persona( con0(icts 2 ho= to ea( =ith them5
an e@perientia( e@ercise cou( be use to create a con0(ict situation
=here emp(oyees ha%e to e@perience a con0(ict persona((y 2 =or& out
its so(utions*
Gestibu(e #rainin1" - ;mp(oyees (earn their jobs on the e?uipment
they =i(( be usin15 but the trainin1 is conucte a=ay 0rom the actua(
=or& 0(oor* Dhi(e e@pensi%e5 Gestibu(e trainin1 a((o=s emp(oyees to
1et a 0u(( 0ee( 0or oin1 tas& =ithout rea( =or( pressures*
6itiona((y5 it minimiFes the prob(em o0 trans0errin1 (earnin1 to the
job*
'o(e P(ay" - Its just (i&e actin1 out a 1i%en ro(e as in a sta1e p(ay* In
this metho o0 trainin15 the trainees are re?uire to enact e0ine
ro(es on the basis o0 ora( or =ritten escription o0 a particu(ar
situation*
Mana1ement /ames" - #he 1ame is e%ise on a moe( o0 a business
situation* #he trainees are i%ie into 1roups =ho represent the
mana1ement o0 competin1 companies* #hey ma&e ecisions just (i&e
49
these are mae in rea(-(i0e situations* ,ecisions mae by the 1roups
are e%a(uate 2 the (i&e(y imp(ications o0 the ecisions are 0e bac& to
the 1roups* #he 1ame 1oes on in se%era( rouns to ta&e the time
imension into account*
In-!as&et ;@ercise" - 6(so &no=n as In-tray metho o0 trainin1* #he
trainee is presente =ith a pac& o0 papers 2 0i(es in a tray containin15
aministrati%e prob(ems 2 is as&e to ta&e ecisions on these
prob(ems 2 are as&e to ta&e ecisions on these =ithin a stipu(ate
time* #he ecisions ta&en by the trainees are compare =ith one
another* #he trainees are pro%ie 0eebac& on their per0ormance*
RECOMMEN"ATIONS 9 CONCLUSION
)o oubt #rainin1 is a %ery po=er0u( too( 0or the smooth
0unctionin1 o0 the or1aniFation5 but it nees to be use =ith care in
orer to eri%e a(( the bene0its* $ere are se%en recommenations 0or
1ettin1 the best out o0 this too(" -
4* Eearn about the nees an pro0iciency o0 each an e%ery emp(oyee
be0ore an or1aniFation in%ests its e00ort5 time 2 money on trainin1* Its
better to ienti0y the nees 2 shortcomin1s in an emp(oyee be0ore
actua((y impartin1 trainin1 to him3her*
2* ;@perience 2 s&i((e trainer5 =ho possesses 1oo amount o0
&no=(e1e 2 unerstanin1 about the or1aniFationRs objecti%es5
ini%iua( abi(ities 2 the present en%ironment5 shou( 1i%e trainin1*
7* 6cti%e participation 0rom the trainees shou( be encoura1e* #here
shou( be a t=o-=ay communication bet=een the trainer 2 trainee*
8* Feebac& shou( be ta&en 0rom the trainees a0ter the trainin1 is
o%er5 so that the or1aniFation comes to &no= about the e0iciencies in
the trainin1 pro1ram 2 a(so su11estions to impro%e upon the same*
+* Focus o0 trainin1 shou( be on priority e%e(opment nees an to
prouce stron1 moti%ation to brin1 chan1e in emp(oyees*
50
:* #he cost incurre on the trainin1 pro1ram shou( not e@cee its
bene0its*
9* #he metho or type o0 trainin1 shou( be %ery cautious(y se(ecte
by the or1aniFation epenin1 upon the or1aniFationsR resources 2 an
emp(oyeeRs ini%iua( nee 0or trainin1*
#hus5 trainin1 is a %ita( too( to cope up =ith the chan1in1 nees
2 techno(o1ies5 2 e%er-chan1in1 en%ironment* It bene0its both the
or1aniFation as =e(( as the emp(oyees*
#rainin1 aopte by us at 6n1e(-
De aopte a proceura( trainin1 to e@ecute our 1i%en tas&s* 6
proceure is a se?uence o0 steps that must be 0o((o=e to accomp(ish
a tas&* #hese steps may be re?uire a certain (e%e( o0 &no=(e1e or
ha%e menta( or physica( s&i((s associate =ith them* 6 proceure may
be (inear5 that is5 pro1ress 0rom one step to the ne@t unti( the tas& is
comp(ete5 or a proceure may ha%e one or more ecision points
=here the stuent =i(( ha%e to ecie =hich branch o0 the proceure
to 0o((o= ne@t*
For short5 simp(e5 (inear proceures5 the 0o((o=in1 metho o0
e@p(anation an emonstration is recommene"
a* #he instructor emonstrates the entire proceure an e@p(ains
each step as it is one*
b* #he instructor repeats the emonstration but has the trainee
e@p(ain =hat actions are occurrin1*
c* #he trainee emonstrates the proceure an e@p(ains =hat he3she
is oin1 at each step*
* #he trainee emonstrates the proceure a1ain so that the
instructor can chec& 0or 0u(( mastery*
51
#he instructor continues this Upro1ressi%e partsU approach unti(
the entire proceures is e@p(aine* It is sometimes appropriate to
combine se%era( simp(er steps urin1 the trainin1 or aress a more
comp(e@ step ini%iua((y be0ore combinin1 it =ith the entire
trainin1*
For proceures that ha%e ecision points5 an o%er%ie= o0 the
entire proceure is a 1oo startin1 point* 60ter that the proceure
shou( be bro&en up into se1ments 0or 0urther instruction* #he
ecision points =ithin a proceure are 1oo brea& points 0or the
se1ments* 6n instructor can ta(& about the se?uence o0 steps prior a
ecision point5 or the steps bet=een ecision points* ,epenin1 upon
=hether the se1ments are simp(e or comp(e@5 the methos out(ine
abo%e can be use 0or each se1ment* #he in0ormation neee to ma&e
the ecisions a(so nees to be co%ere at the appropriate point in the
(esson* For more comp(e@ ecision points5 it is recommene that a((
se1ments be e@p(aine an emonstrate be0ore iscussin1 the
ecision points* It is easier 0or a person to ma&e a more comp(e@
ecision =hen they unerstan the steps that ma&e up the a(ternati%e
branches o0 the proceure*
#rainin1 .ner ,i00erent ,epartment-
De ha%e been traine uner 0o((o=in1 epartments-
.$Commodities
>ommoity mar&ets are mar&ets =here ra= or
primary proucts are e@chan1e* #hese ra= commoities are trae
on re1u(ate commoities e@chan1es5 in =hich they are bou1ht an
so( in stanariFe contracts*
>ommoities are easy to .nerstan an ha%e positi%e
corre(ation =ith In0(ation*
#he >ommoity mar&et are 1(oba( in nature 5 hence (ess ris& 0or
manipu(ation*
52
;%ery commoity ha%e separate mar&et in Itse(0 an hence
many such mar&et is simu(ate at one sin1(e screen*
#he tren in one commoity not necessari(y ha%e corre(ation
=ith the tren o0 other*
$istorica((y >ommoities ha%e outper0orme the Stoc& Mar&et *
,i%ersi0ication throu1h a i00erent asset c(ass*
Eo= Mar1ins C +V - 40V on(y
Commodities Segment wise 7MC; 9 NC"E;8
0etas 2is 'nerg! *ofts
Agri#%omm#
/o( >rue pa(m Li( !rent crue >otton
Pepper
Si(%er Mustar See S=eet >rue Su1ar
/uar see
Stee( >astor oi( Furnace oi( /uar
Soy !ean
>opper
Jeera
Winc
>hi(i
)ic&e(
#urmeric
Eea 2
6(uminum
etc*
53
Pro)lems !&ced &t t(e time o! tr&ining
#hou1h =e success0u((y e@ecute our tas&s in our trainin15 =e
ha to 0ace 0e= prob(ems a(so an they are-
>(ient ,ata Sheet =as not upate5 most o0 them ha been
sho=n =ith =ron1 in0ormation*
Most o0 the c(ients =ere not 1i%in1 appointments an some o0
them i not e%en ta(& on phone*
Many o0 the time =hen =e =ent to meet the c(ients =ith =hom
appointments =as 0i@e5 a0ter reachin1 the c(ientJs p(ace they
sai =e are not a%ai(ab(e an not e%en intereste*
6 bi1 prob(em =as transportation5 Most o0 the stuents are out
o0 the state an not ha%in1 %ehic(e5 De 0ace (ot many prob(ems
to meet the c(ients at i00erent corners o0 6hmeaba*
6t an1e( =hi(e ca((in1 to the customers5 it happene that =e i
not ha%e su00icient phone a%ai(ab(e*
#rainin1 room =as pre-occupie by 0u(( time joine 0resher
emp(oyee* De 0ace this prob(em on(y 2 to 7 times*
Gariab(e strate1y to e@ecute the tas&s
54
Dasta1e o0 time because o0 a poor time mana1ement by 6n1e(
Suggestions to Im%ro'e
#here shou( be a 0i@e strate1y 0or SIP trainin1*
#eam =or& shou( be there*
,ata shou( be up to ate5 so that =e can sa%e the time*
Participation shou( be there*
De shou( uti(iFe e%ery secon*
#he MIS Proceure o0 company =as not proper*
55
Industr An&lsis
Industr An&lsis &t Indi&n le'el
./ Introduction

#here are t=o types o0 mar&et in Inia*
MONE< MAR+ET
Money mar&et is a mar&et 0or ebt securities that pay o00 in the
short term usua((y (ess than one year5 0or e@amp(e the mar&et 0or 90-
ays treasury bi((s* #his mar&et encompasses the train1 an issuance
o0 short term non e?uity ebt instruments inc(uin1 treasury bi((s5
commercia( papers5 ban&ers acceptance5 certi0icates o0 eposits5 etc*
In other =or =e can a(so say that the Money Mar&et is basica((y
concerne =ith the issue an train1 o0 securities =ith short term
maturities or ?uasi-money instruments* #he Instruments trae in the
money-mar&et are #reasury !i((s5 >erti0icates o0 ,eposits (>,s)5
>ommercia( Paper (>Ps)5 !i((s o0 ;@chan1e an other such instruments
o0 short-term maturities (i*e* not e@ceein1 4 year =ith re1ar to the
ori1ina( maturity)
56
CAPITAL MAR+ET
>apita( mar&et is a mar&et 0or (on1-term ebt an e?uity shares* In
this mar&et5 the capita( 0uns comprisin1 o0 both e?uity an ebt are
issue an trae* #his a(so inc(ues pri%ate p(acement sources o0
ebt an e?uity as =e(( as or1aniFe mar&ets (i&e stoc& e@chan1es*
>apita( mar&et can be i%ie into Primary an Seconary Mar&ets*
Prim&r M&rket
In the primary mar&et5 securities are o00ere to pub(ic 0or subscription
0or the purpose o0 raisin1 capita( or 0un* Seconary mar&et is an
e?uity train1 a%enue in =hich a(reay e@istin13pre- issue securities
are trae amon1st in%estors* Seconary mar&et cou( be either
auction or ea(er mar&et* Dhi(e stoc& e@chan1e is the part o0 an
auction mar&et5 L%er-the->ounter (L#>) is a part o0 the ea(er mar&et*
Seconary Mar&et
Seconary Mar&et re0ers to a mar&et =here securities are trae
a0ter bein1 initia((y o00ere to the pub(ic in the primary mar&et an3or
(iste on the Stoc& ;@chan1e* Majority o0 the train1 is one in the
seconary mar&et* Seconary mar&et comprises o0 e?uity mar&ets an
the ebt mar&ets*
For the 1enera( in%estor5 the seconary mar&et pro%ies an
e00icient p(at0orm 0or train1 o0 his securities* For the mana1ement o0
the company5 Seconary e?uity mar&ets ser%e as a monitorin1 an
contro( conuitZby 0aci(itatin1 %a(ue-enhancin1 contro( acti%ities5
enab(in1 imp(ementation o0 incenti%e-base mana1ement contracts5
an a11re1atin1 in0ormation (%ia price isco%ery) that 1uies
mana1ement ecisions*
"i!!erence )etween t(e %rim&r m&rket &nd t(e second&r
m&rket
In the primary mar&et5 securities are o00ere to pub(ic 0or subscription
0or the purpose o0 raisin1 capita( or 0un* Seconary mar&et is an
57
e?uity train1 a%enue in =hich a(reay e@istin13pre- issue securities
are trae amon1st in%estors* Seconary mar&et cou( be either
auction or ea(er mar&et* Dhi(e stoc& e@chan1e is the part o0 an
auction mar&et5 L%er-the->ounter (L#>) is a part o0 the ea(er mar&et*
Main 0inancia( proucts3instruments ea(t in the seconary
mar&et
;?uity" #he o=nership interest in a company o0 ho(ers o0 its
common an pre0erre stoc&* #he %arious &ins o0 e?uity shares
are as 0o((o=s C
;?uity Shares"
6n e?uity share5 common(y re0erre to as orinary share a(so
represents the 0orm o0 0ractiona( o=nership in =hich a
shareho(er5 as a 0ractiona( o=ner5 unerta&es the ma@imum
entrepreneuria( ris& associate =ith a business %enture* #he
ho(ers o0 such shares are members o0 the company an ha%e
%otin1 ri1hts* 6 company may issue such shares =ith
i00erentia( ri1hts as to %otin15 payment o0 i%ien5 etc*
'i1hts Issue3 'i1hts Shares" #he issue o0 ne= securities to
e@istin1 shareho(ers at a ratio to those a(reay he(*
!onus Shares" Shares issue by the companies to their
shareho(ers 0ree o0 cost by capita(iFation o0 accumu(ate
reser%es 0rom the pro0its earne in the ear(ier years*
Pre0erre Stoc&3 Pre0erence shares" L=ners o0 these &in o0
shares are entit(e to a 0i@e i%ien or i%ien ca(cu(ate at
a 0i@e rate to be pai re1u(ar(y be0ore i%ien can be pai in
respect o0 e?uity share* #hey a(so enjoy priority o%er the e?uity
shareho(ers in payment o0 surp(us* !ut in the e%ent o0
(i?uiation5 their c(aims ran& be(o= the c(aims o0 the companyJs
creitors5 bonho(ers 3 ebenture ho(ers*
>umu(ati%e Pre0erence Shares" 6 type o0 pre0erence shares on
=hich i%ien accumu(ates i0 remains unpai* 6(( arrears o0
pre0erence i%ien ha%e to be pai out be0ore payin1 i%ien
on e?uity shares*
58
>umu(ati%e >on%ertib(e Pre0erence Shares" 6 type o0 pre0erence
shares =here the i%ien payab(e on the same accumu(ates5 i0
not pai* 60ter a speci0ie ate5 these shares =i(( be con%erte
into e?uity capita( o0 the company*
Participatin1 Pre0erence Share" #he ri1ht o0 certain pre0erence
shareho(ers to participate in pro0its a0ter a speci0ie 0i@e
i%ien contracte 0or is pai* Participation ri1ht is (in&e
=ith the ?uantum o0 i%ien pai on the e?uity shares o%er
an abo%e a particu(ar speci0ie (e%e(*
Security 'eceipts" Security receipt means a receipt or other
security5 issue by a securitisation company or reconstruction
company to any ?ua(i0ie institutiona( buyer pursuant to a
scheme5 e%iencin1 the purchase or ac?uisition by the ho(er
thereo05 o0 an uni%ie ri1ht5 tit(e or interest in the 0inancia(
asset in%o(%e in securitisation*
/o%ernment securities (/-Secs)" #hese are so%erei1n (creit
ris&-0ree) coupon bearin1 instruments =hich are issue by the
'eser%e !an& o0 Inia on beha(0 o0 /o%ernment o0 Inia5 in (ieu
o0 the >entra( /o%ernmentRs mar&et borro=in1 pro1ramme*
#hese securities ha%e a 0i@e coupon that is pai on speci0ic
ates on ha(0-year(y basis* #hese securities are a%ai(ab(e in =ie
ran1e o0 maturity ates5 0rom short ate ((ess than one year) to
(on1 ate (upto t=enty years)*
,ebentures" !ons issue by a company bearin1 a 0i@e rate o0
interest usua((y payab(e ha(0 year(y on speci0ic ates an
principa( amount repayab(e on particu(ar ate on reemption o0
the ebentures* ,ebentures are norma((y secure3 char1e
a1ainst the asset o0 the company in 0a%our o0 ebenture ho(er*
!on" 6 ne1otiab(e certi0icate e%iencin1 inebteness* It is
norma((y unsecure* 6 ebt security is 1enera((y issue by a
company5 municipa(ity or 1o%ernment a1ency* 6 bon in%estor
(ens money to the issuer an in e@chan1e5 the issuer promises
to repay the (oan amount on a speci0ie maturity ate* #he
issuer usua((y pays the bon ho(er perioic interest payments
59
o%er the (i0e o0 the (oan* #he %arious types o0 !ons are as
0o((o=s-
Wero >oupon !on" !on issue at a iscount an repai at a
0ace %a(ue* )o perioic interest is pai* #he i00erence bet=een
the issue price an reemption price represents the return to
the ho(er* #he buyer o0 these bons recei%es on(y one payment5
at the maturity o0 the bon*
>on%ertib(e !on" 6 bon 1i%in1 the in%estor the option to
con%ert the bon into e?uity at a 0i@e con%ersion price*
>ommercia( Paper" 6 short term promise to repay a 0i@e
amount that is p(ace on the mar&et either irect(y or throu1h a
specia(iFe intermeiary* It is usua((y issue by companies =ith
a hi1h creit stanin1 in the 0orm o0 a promissory note
reeemab(e at par to the ho(er on maturity an there0ore5
oesnJt re?uire any 1uarantee* >ommercia( paper is a money
mar&et instrument issue norma((y 0or a tenure o0 90 ays*
#reasury !i((s" Short-term (up to 94 ays) bearer iscount security
issue by the /o%ernment as a means o0 0inancin1 its cash
re?uirements*
2* S;!I
Security ;@chan1e !oar o0 Inia
S;!I 2 Its 'o(e In Seconary Mar&et
#he S;!I is the re1u(atory authority estab(ishe uner Section 7 o0
S;!I 6ct 4992 to protect the interests o0 the in%estors in securities an
to promote the e%e(opment o05 an to re1u(ate5 the securities mar&et
an 0or matters connecte there=ith an incienta( thereto*
Securities an ;@chan1e !oar o0 Inia constitute uner the
'eso(ution o0 the /o%ernment o0 Inia in the ,epartment o0 ;conomic
600airs )o*4 (88)S;3-:5 ate the 42th ay o0 6pri(5 49--N
60
#he !oar sha(( consist o0 the 0o((o=in1 members5 name(y"-
4* 6 >hairman
2* #=o members 0rom amon1st the o00icia(s o0 the Ministry o0 the
>entra( /o%ernment ea(in1 =ith Finance (an aministration o0
the >ompanies 6ct5 49+:N) 2 o0 4978
7* Lne member 0rom amon1st the o00icia(s o0 [the 'eser%e !an&
8* Fi%e other members o0 =hom at (east three sha(( be the =ho(e-time
members
2OM2A< STOC+ E;CHANGE
O5 IN"IA LIMITE"
!ombay Stoc& ;@chan1e Eimite is the o(est stoc& e@chan1e in
6sia =ith a rich herita1e* Popu(ar(y &no=n as U!S;U5 it =as estab(ishe
as U#he )ati%e Share 2 Stoc& !ro&ers 6ssociationU in 4-9+* It is the
0irst stoc& e@chan1e in the country to obtain permanent reco1nition in
49+: 0rom the /o%ernment o0 Inia uner the Securities >ontracts
('e1u(ation) 6ct5 49+:*
#he ;@chan1eRs pi%ota( an pre-eminent ro(e in the
e%e(opment o0 the Inian capita( mar&et is =ie(y reco1niFe an its
ine@5 *'6*'75 is trac&e =or(=ie* ;ar(ier an 6ssociation o0
Persons (6LP)5 the ;@chan1e is no= a emutua(ise an corporati%e
entity incorporate uner the pro%isions o0 the >ompanies 6ct5 49+:5
pursuant to the !S; (>orporatiFation an ,emutua(iFation) Scheme5
200+ noti0ie by the Securities an ;@chan1e !oar o0 Inia (S;!I)*
Dith emutua(iFation5 the train1 ri1hts an o=nership ri1hts
ha%e been e-(in&e e00ecti%e(y aressin1 concerns re1arin1
percei%e an rea( con0(icts o0 interest* #he ;@chan1e is pro0essiona((y
mana1e uner the o%era(( irection o0 the !oar o0 ,irectors*
#he !oar comprises eminent pro0essiona(s5 representati%es o0
#rain1 Members an the Mana1in1 ,irector o0 the ;@chan1e* #he
61
!oar is inc(usi%e an is esi1ne to bene0it 0rom the participation o0
mar&et intermeiaries*
In terms o0 or1aniFation structure5 the !oar 0ormu(ates (ar1er
po(icy issues an e@ercises o%er-a(( contro(* #he committees constitute
by the !oar are broa-base* #he ay-to-ay operations o0 the
;@chan1e are mana1e by the Mana1in1 ,irector an a mana1ement
team o0 pro0essiona(s*
#he ;@chan1e has a nation-=ie reach =ith a presence in 849
cities an to=ns o0 Inia* #he systems an processes o0 the ;@chan1e
are esi1ne to sa0e1uar mar&et inte1rity an enhance transparency
in operations* ,urin1 the year 2008-200+5 the train1 %o(umes on the
;@chan1e sho=e robust 1ro=th*
#he ;@chan1e pro%ies an e00icient an transparent mar&et 0or
train1 in e?uity5 ebt instruments an eri%ati%es* #he !S;Rs Ln Eine
#rain1 System (!LE#) is a proprietary system o0 the ;@chan1e an is
!S 9999-2-2002 certi0ie* #he sur%ei((ance an c(earin1 2 sett(ement
0unctions o0 the ;@chan1e are ISL 9004"2000 certi0ie*
!ombay Stoc& ;@chan1e Eimite (!S;) =hich =as 0oune in
4-9+ =ith si@ bro&ers has no= 1ro=n into a 1iant institution =ith o%er
-98 re1istere !ro&er-Members sprea o%er 7-0 cities across the
country* #oay5 !S;Rs Die 6rea )et=or& (D6)) connectin1 o%er
-000 !S; Ln(ine #rain1 (!LE#) System #raer Dor& Stations
(#DS) is one o0 the (ar1est o0 its &in in the country*
Dith a %ie= to pro%ie e00icient an inte1rate ser%ices to the
in%estin1 pub(ic throu1h the members an their associates in the
operations pertainin1 to the ;@chan1e5 !ombay Stoc& ;@chan1e
Eimite (!S;) has set up a uni?ue Member Ser%ices an ,e%e(opment
to atten to the prob(ems o0 the !ro&er-Members*
Member Ser%ices an ,e%e(opment ,epartment is the sin1(e
point inter0ace 0or interactin1 =ith the ;@chan1e 6ministration to
aress to MembersR issues* #he ,epartment ta&es care o0 %arious
prob(ems an constraints 0ace by the Members in %arious proucts
such as >ash5 ,eri%ati%es5 Internet #rain15 an Processes such as
#rain15 #echno(o1y5 >(earin1 an Sett(ement5 Sur%ei((ance an
Inspection5 Membership5 #rainin15 >orporate In0ormation5 etc*
62
COMMO"IT< E;CHANGES

#here are three cate1ories"
)>,;Q
M>Q
)M>;
6 brie0 escription o0 commoity e@chan1es are those =hich
trae in particu(ar commoities5 ne1(ectin1 the trae o0 securities5
stoc& ine@ 0utures an options etc*
In the mi(e o0 49th century in the .nite States5 businessmen
be1an or1aniFin1 mar&et 0orums to ma&e the buyin1 an se((in1 o0
commoities easier* #hese centra( mar&etp(aces pro%ie a p(ace 0or
buyers an se((ers to meet5 set ?ua(ity an ?uantity stanars5 an
estab(ish ru(es o0 business*
61ricu(tura( commoities =ere most(y trae but as (on1 as
there are buyers an se((ers5 any commoity can be trae* In 4-925 a
1roup o0 Manhattan airy merchants 1ot to1ether to brin1 chaotic
conition in )e= Tor& mar&et to a system in terms o0 stora1e5
pricin15 an trans0er o0 a1ricu(tura( proucts*
In 49775 urin1 the /reat ,epression5 the >ommoity
;@chan1e5 Inc*5 =as estab(ishe in )e= Tor& throu1h the mer1er o0
0our sma(( e@chan1es C the )ationa( Meta( ;@chan1e5 the 'ubber
4*
63
;@chan1e o0 )e= Tor&5 the )ationa( 'a= Si(& ;@chan1e5 an the )e=
Tor& $ie ;@chan1e*
#he major commoity mar&ets are in the .nite Hin1om an
in the .S6* In Inia there are 2+ reco1niFe 0uture e@chan1es5 o0
=hich there are three nationa( (e%e( mu(ti-commoity e@chan1es*
60ter a 1ap o0 a(most three ecaes5 /o%ernment o0 Inia has a((o=e
0or=ar transactions in commoities throu1h Ln(ine >ommoity
;@chan1es5 a moi0ication o0 traitiona( business &no=n as 6hat
an Gaya Gyapar to 0aci(itate better ris& co%era1e an e(i%ery o0
commoities*
T(e t(ree e,c(&nges &re#

1. )ationa( >ommoity 2 ,eri%ati%es ;@chan1e Eimite ()>,;Q)
2* Mu(ti >ommoity ;@chan1e o0 Inia Eimite (M>Q)
3. )ationa( Mu(ti->ommoity ;@chan1e o0 Inia Eimite ()M>;IE)
6(( the e@chan1es ha%e been set up uner o%era(( contro( o0
For=ar Mar&et >ommission (FM>) o0 /o%ernment o0 Inia*
./ N&tion&l Commodit 9 "eri'&ti'es E,c(&nge Limited
7NC"E;8
)ationa( >ommoity 2 ,eri%ati%es ;@chan1e Eimite ()>,;Q)
(ocate in Mumbai is a pub(ic (imite company incorporate on 6pri(
275 2007 uner the >ompanies 6ct5 49+: an ha commence its
operations on ,ecember 4+5 2007*#his is the on(y commoity e@chan1e
in the country promote by nationa( (e%e( institutions*
It is promote by I>I>I !an& Eimite5 Ei0e Insurance
>orporation o0 Inia (EI>)5 )ationa( !an& 0or 61ricu(ture an 'ura(
,e%e(opment ()6!6',) an )ationa( Stoc& ;@chan1e o0 Inia
Eimite ()S;)*
It is a pro0essiona((y mana1e on(ine mu(ti commoity
e@chan1e* )>,;Q is re1u(ate by For=ar Mar&et >ommission an is
subjecte to %arious (a=s o0 the (an (i&e the >ompanies 6ct5 Stamp
64
6ct5 >ontracts 6ct5 For=ar >ommission ('e1u(ation) 6ct an %arious
other (e1is(ations*
0/ Multi Commodit E,c(&nge o! Indi& Limited7MC;8
$ea?uartere in Mumbai Mu(ti >ommoity ;@chan1e o0 Inia
Eimite (M>Q)5 is an inepenent an e-mutu(ise e@chan1e =ith a
permanent reco1nition 0rom /o%ernment o0 Inia* Hey shareho(ers
o0 M>Q are Financia( #echno(o1ies (Inia) Et*5 State !an& o0 Inia5
.nion !an& o0 Inia5 >orporation !an&5 !an& o0 Inia an >anara
!an&* M>Q 0aci(itates on(ine train15 c(earin1 an sett(ement
operations 0or commoity 0utures mar&ets across the country*
M>Q starte o00erin1 trae in )o%ember 2007 an has bui(t
strate1ic a((iances =ith !ombay !u((ion 6ssociation5 !ombay Meta(
;@chan1e5 So(%ent ;@tractorsJ 6ssociation o0 Inia5 Pu(ses Importers
6ssociation an Shet&ari San1hatana*
4. N&tion&l Multi$Commodit E,c(&nge o! Indi& Limited
7NMCEIL8
)ationa( Mu(ti >ommoity ;@chan1e o0 Inia Eimite
()M>;IE) is the 0irst e-mutua(Fe5 ;(ectronic Mu(ti->ommoity
;@chan1e in Inia* Ln 2+th Ju(y5 20045 it =as 1rante appro%a( by the
/o%ernment to or1aniFe train1 in the eib(e oi( comp(e@*
It has operationa(ise 0rom )o%ember 2:5 2002* It is bein1
supporte by >entra( Darehousin1 >orporation Et*5 /ujarat State
61ricu(tura( Mar&etin1 !oar an )eptune L%erseas Eimite* It 1ot
its reco1nition in Lctober 2000*
>ommoity e@chan1e in Inia p(ays an important ro(e =here
the prices o0 any commoity are not 0i@e5 in an or1aniFe =ay*
;ar(ier on(y the buyer o0 prouce an its se((er in the mar&et ju1e
upon the prices* Lthers ne%er ha a say*
#oay5 commoity e@chan1es are pure(y specu(ati%e in nature*
!e0ore isco%erin1 the price5 they reach to the proucers5 en-users5
65
an e%en the retai( in%estors5 at a 1rassroots (e%e(* It brin1s a price
transparency an ris& mana1ement in the %ita( mar&et*
6 bi1 i00erence bet=een a typica( auction5 =here a sin1(e
auctioneer announces the bis5 an the ;@chan1e is that peop(e are
not on(y competin1 to buy but a(so to se((*
!y ;@chan1e ru(es an by (a=5 no one can bi uner a hi1her
bi5 an no one can o00er to se(( hi1her than someone e(seJs (o=er
o00er* #hat &eeps the mar&et as e00icient as possib(e5 an &eeps the
traers on their toes to ma&e sure no one 1ets the purchase or sa(e
be0ore they o*
NSE $ A New ideolog
#he broa objecti%e 0or =hich the e@chan1e =as set up has
mae it to p(ay a (eain1 ro(e in en(ar1in1 the scope o0 mar&et
re0orms in securities mar&et in Inia* ,urin1 (ast one ecae it has
been p(ayin1 the ro(e o0 a cata(ytic a1ent in re0ormin1 the mar&ets in
terms o0 mar&et microstructure an in e%o(%in1 the best mar&et
practices &eepin1 in min the in%estors*
#he ;@chan1e is set up on a e-mutua( Fe moe( =herein the
o=nership5 mana1ement an train1 ri1hts are in the hans o0 three
i00erent sets o0 peop(e* #his has comp(ete(y e(iminate any con0(ict o0
interest* #his has he(pe )S; to a11ressi%e(y pursue po(icies an
practices =ithin a pub(ic interest 0rame=or&*
66
)S;Rs nation=ie5 automate train1 system has he(pe in
shi0tin1 the train1 p(at0orm 0rom the train1 ha(( in the premises o0
the e@chan1e to the computer termina(s at the premises o0 the train1
members (ocate at i00erent 1eo1raphica( (ocations in the country
an subse?uent(y to the persona( computers in the homes o0 in%estors
an e%en to han he( portab(e e%ices 0or the mobi(e in%estors* It
has been encoura1in1 corporation o0 membership in securities
mar&et*
It has a(so pro%e to be instrumenta( in usherin1 in scrip (ess
train1 an pro%iin1 sett(ement 1uarantee 0or a(( traes e@ecute on
the ;@chan1e* Sett(ement ris&s ha%e a(so been e(iminate =ith )S;Rs
inno%ati%e enea%ors in the area o0 c(earin1 an sett(ement %iF*5
estab(ishment o0 the c(earin1 corporation ()S>>E)5 settin1 up a
sett(ement 1uarantee 0un (S/F)5 reuction o0 sett(ement cyc(e5
imp(ementin1 on-(ine5 rea(-time ris& mana1ement systems5
emateria(iFation an e(ectronic trans0er o0 securities to name 0e= o0
them*
6s a conse?uence5 the mar&et toay uses state-o0-the-art
in0ormation techno(o1y to pro%ie an e00icient an transparent
train15 c(earin1 an sett(ement mechanism* In orer to ta&e care o0
in%estors interest5 it has a(so create an in%estors protection 0un
(IPF)5 that =ou( he(p in%estors =ho ha%e incurre 0inancia( (oss ue
to e0au(t o0 bro&ers*
Owners(i% &nd M&n&gement t(e NSE
#he ay-to-ay mana1ement o0 the ;@chan1e is e(e1ate to the
Mana1in1 ,irector an >;L =ho is supporte by a team o0
pro0essiona( sta00* #here0ore5 thou1h the ro(e o0 train1 members at
)S; is to the e@tent o0 pro%iin1 on(y train1 ser%ices to the
in%estors5 the ;@chan1e in%o(%es train1 members in the process o0
67
consu(tation an participation in %ita( inputs to=ars ecision
ma&in1*
68
69
M&rket Segments &nd Products
)S; pro%ies an e(ectronic train1 p(at0orm 0or o0 a(( types o0
securities 0or in%estors uner one roo0 - ;?uity5 >orporate ,ebt5
>entra( an State /o%ernment Securities5 #-!i((s5 >ommercia( Paper5
>erti0icate o0 ,eposits (>,s)5 Darrants5 Mutua( Funs units5 ;@chan1e
#rae Funs5 ,eri%ati%es (i&e Ine@ Futures5 Ine@ Lptions5 Stoc&
Futures5 Stoc& Lptions5 Futures on Interest 'ates etc*5 =hich ma&es it
one o0 the 0e= e@chan1es in the =or( pro%iin1 train1 0aci(ity 0or a((
types o0 securities on a sin1(e e@chan1e*
#he ;@chan1e pro%ies train1 in 7 i00erent se1ments %iF*
Dho(esa(e ebt mar&et (D,M)
>apita( mar&et (>M) se1ment an
#he 0utures 2 options (F2L) se1ment*
=/ NSE 5AMIL<
NSCCL
)ationa( Securities >(earin1 >orporation Et* ()S>>E)5 a
=ho((y-o=ne subsiiary o0 )S;5 =as incorporate in 6u1ust 499+
an commence c(earin1 operations in 6pri( 499:* It =as the 0irst
c(earin1 corporation in the country to pro%ie notation3sett(ement
1uarantee that re%o(utioniFe the entire concept o0 sett(ement system
in Inia* It =as set up to brin1 an 9 sustain con0ience in c(earin1
an sett(ement o0 securitiesN to promote an maintain short an
consistent sett(ement cyc(esN to pro%ie counter-party ris& 1uarantee5
an to operate a ti1ht ris& containment system* It carries out the
c(earin1 an sett(ement o0 the traes e@ecute in the e?uities an
eri%ati%es se1ments o0 the )S;*
70
IISL
Inia Ine@ Ser%ices an Proucts Eimite (IISE)5 a joint
%enture o0 )S; an >reit 'atin1 In0ormation Ser%ices o0 Inia
Eimite (>'ISIE)5 =as set up in May 499- to pro%ie inices an ine@
ser%ices* It has a consu(tin1 an (icensin1 a1reement =ith Stanar
an PoorRs (S2P)5 the =or(Rs (eain1 pro%ier o0 in%est ab(e e?uity
inices5 0or co-branin1 e?uity inices* IISE poo(s the ine@
e%e(opment e00orts o0 )S; an >'ISIE into a coorinate =ho(e* It is
IniaRs 0irst specia(iFe company =hich 0ocuses upon the ine@ as a
core prouct* It pro%ies a broa ran1e o0 proucts an pro0essiona(
ine@ ser%ices* It maintains o%er 90 e?uity inices comprisin1 broa-
base benchmar& inices5 sectora( inices an customiFe inices*
Many in%estment an ris& mana1ement proucts base on IISE
inices ha%e been e%e(ope in the recent past* #hese inc(ue ine@
base eri%ati%es on )S;5 a number o0 ine@ 0uns an IniaRs 0irst
e@chan1e trae 0un*
NS"L
Prior to train1 in a emateria(iFe en%ironment5 sett(ement o0
traes re?uire mo%in1 the securities physica((y 0rom the se((er to the
u(timate buyer5 throu1h the se((erRs bro&er an buyerRs bro&er5 =hich
in%o(%e (ot o0 time an the ris& o0 e(ay some=here a(on1 the chain*
NSE/IT
)S;*I# Eimite5 a 400V techno(o1y subsiiary o0 )S;5 =as
incorporate in Lctober 4999 to pro%ie thrust to )S;Js techno(o1y
e1e5 concomitant =ith its o%era(( 1oa( o0 harnessin1 (atest techno(o1y
0or optimum business use*
It pro%ies the securities inustry =ith techno(o1y that ensures
transparency an e00iciency in the train15 c(earin1 an ris&
71
mana1ement systems* 6itiona((y5 )S;*I# pro%ies consu(tancy
ser%ices in the areas o0 ata =arehousin15 internet an business
continuity p(ans*
NC"E;
)S; joine han =ith other 0inancia( institutions in Inia %iF*5
I>I>I !an&5 )6!6',5 EI>5 P)!5 >'ISIE5 >anara !an& an IFF>L to
promote the )>,;Q =hich pro%ie a p(at0orm 0or mar&et participants
to trae in =ie spectrum o0 commoity eri%ati%es* >urrent(y )>,;Q
0aci(itates train1 o0 79 a1ro base commoities5 4 base meta( an 2
precious meta(*
>/ LISTING O5 SECURITIES
#he stoc&s5 bons an other securities issue by issuers re?uire
(istin1 0or pro%iin1 (i?uiity to in%estors* Eistin1 means 0orma(
amission o0 a security to the train1 p(at0orm o0 the ;@chan1e* It
pro%ies (i?uiity to in%estors =ithout compromisin1 the nee o0 the
issuer 0or capita( an ensures e00ecti%e monitorin1 o0 conuct o0 the
issuer an train1 o0 the securities in the interest o0 in%estors* #he
issuer =ishin1 to ha%e train1 pri%i(e1es 0or its securities satis0ies
(istin1 re?uirements prescribe in the re(e%ant statutes an in the
(istin1 re1u(ations o0 the ;@chan1e* It a(so a1rees to pay the (istin1 0ees
an comp(y =ith (istin1 re?uirements on a continuous basis* 6(( the
issuers =ho (ist their securities ha%e to satis0y the corporate
1o%ernance re?uirement 0rame by re1u(ators*
72
73
?/ MEM2ERSHIP A"MINISTRATION
#he train1 in )S; has a three tier structure-the train1
p(at0orm pro%ie by the ;@chan1e5 the bro&in1 an intermeiary
ser%ices an the in%estin1 community* #he train1 members ha%e been
pro%ie e@c(usi%e ri1hts to trae subject to their continuous(y
0u(0i((in1 the ob(i1ation uner the 'u(es5 'e1u(ations5 !ye(a=s5
>ircu(ars5 etc* o0 the ;@chan1e* #he train1 members are subject to its
re1u(atory iscip(ine* 6ny entity can become a train1 member by
comp(yin1 =ith the prescribe e(i1ibi(ity criteria an e@it by
surrenerin1 train1 membership* #here are no entry3e@it barriers to
train1 membership*
@/ IN:ESTOR GRIE:ANCES
In%estors are the bac&bone o0 the securities mar&et* Protection
o0 their interests is paramount 0or )S;* In 0urtherance o0 their
interests5 )S; has put in p(ace systems to ensure a%ai(abi(ity o0
ae?uate5 up-to-ate an correct in0ormation to in%estors to enab(e
them to ta&e in0orme ecisions* It ensures that critica( an price-
sensiti%e in0ormation reachin1 the e@chan1e is mae a%ai(ab(e to a((
c(asses o0 in%estor at the same point o0 time*
Such price-sensiti%e in0ormation as bonus announcements5
mer1ers5 ne= (ine o0 business5 etc* recei%e 0rom the companies is
isseminate to a(( the mar&et participants throu1h the net=or& o0
)S; termina(s a(( o%er Inia* 6ction is initiate by the ;@chan1e
=hene%er any &in o0 price sensiti%e in0ormation is not pro%ie to the
;@chan1e at the prescribe time by companies (iste on the ;@chan1e*
74
-* "EMATERIALISATION 9
REMATERIALISATION
"EMATERIALISATION
Me&ning
,emateria(isation is the process by =hich physica( certi0icates
o0 an in%estor are con%erte to an e?ui%a(ent number o0 securities in
e(ectronic 0orm an creite into the in%estorRs account =ith his3her
,P*
,emateria(isin1 securities (physica( ho(in1 into e(ectronic
ho(in1)
In orer to emateria(ise physica( securities one has to 0i(( in a
,'F (,emat 'e?uest Form) =hich is a%ai(ab(e =ith the ,P an submit
the same a(on1 =ith physica( certi0icates one =ishes to emateria(ise*
Separate ,'F has to be 0i((e 0or each ISI) )umber* #he comp(ete
process o0 emateria(isation is out(ine be(o="
Surrener certi0icates 0or emateria(isation to your epository
participant*
,epository participant intimates ,epository o0 the re?uest
throu1h the system*
,epository participant submits the certi0icates to the re1istrar o0
the Issuer >ompany*

'e1istrar con0irms the emateria(isation re?uest 0rom epository*

60ter emateria(isin1 the certi0icates5 'e1istrar upates accounts
an in0orms epository o0 the comp(etion o0 emateria(isation*
,epository upates its accounts an in0orms the epository
participant*
,epository participant upates the emat account o0 the
in%estor*

75
REMATERIALISATION

#he process o0 re-materia(isation is use to con%ert the e(ectronic
ho(in1 into physica( ho(in1s* I0 one =ishes to 1et bac& his securities
in the physica( 0orm one has to 0i(( in the ''F ('e-mat 'e?uest Form)
an re?uest his ,P 0or re-materia(isation o0 the ba(ances in his
securities account* #he process o0 re-materia(isation is out(ine be(o="

Lne ma&es a re?uest 0or emateria(isation*
,epository participant intimates epository o0 the re?uest
throu1h the system*
,epository con0irms emateria(isation re?uest to the re1istrar*
'e1istrar upates accounts an prints certi0icates*
,epository upates accounts an o=n(oas etai(s to epository
participant*
'e1istrar ispatches certi0icates to in%estor*
A/ 2roker 9 Su)$2roker
2roker
6 bro&er is a member o0 a reco1niFe stoc& e@chan1e5 =ho is
permitte to o traes on the screen-base train1 system o0 i00erent
stoc& e@chan1es* $e is enro((e as a member =ith the concerne
e@chan1e an is re1istere =ith S;!I*
Su) 2roker
6 sub bro&er is a person =ho is re1istere =ith S;!I as such
an is a00i(iate to a member o0 a reco1niFe stoc& e@chan1e*
.B/ PA<$IN "A< AN" PA<$ OUT "A<

Pay in ay is the ay =hen the bro&ers sha(( ma&e payment or
e(i%ery o0 securities to the e@chan1e* Pay out ay is the ay =hen the
e@chan1e ma&es payment or e(i%ery o0 securities to the bro&er*
76
Sett(ement cyc(e is on #K2 ro((in1 sett(ement basis =*e*0* 6pri(
045 2007* #he e@chan1es ha%e to ensure that the pay out o0 0uns an
securities to the c(ients is one by the bro&er =ithin 28 hours o0 the
payout* #he ;@chan1es =i(( ha%e to issue press re(ease immeiate(y
a0ter pay out*
../ Auction
Dhat is an 6uctionI
#he ;@chan1e purchases the re?uisite ?uantity in the 6uction
Mar&et an 1i%es them to the buyin1 train1 member* #he shorta1es
are met throu1h auction process an the i00erence in price inicate
in contract note an price recei%e throu1h auction is pai by
member to the ;@chan1e5 =hich is then (iab(e to be reco%ere 0rom
the c(ient*
77
M&*or Pl&ers o! t(e Industr
S/ S/ +&ntil&l Is(w&rl&l Securities P't/ Ltd/
7s(&rek(&n/com8#
Share&han5 IniaJs (eain1 stoc& bro&er is the retai( arm o0
SSHI5 an o00ers you epository ser%ices an trae e@ecution 0aci(ities
0or e?uities5 eri%ati%es an commoities bac&e =ith in%estment
a%ice tempere by ecaes o0 bro&in1 e@perience* 6 research an
ana(ysis team is constant(y =or&in1 to trac& per0ormance an trens*
#hatJs =hy Share&han has the train1 proucts5 =hich are ha%in1 one
o0 the hi1hest success rates in the inustry* Share&han is ha%in1 280
share shops in 440 citiesN the (ar1est chain o0 retai( share shops in
Inia is o0 Share&han*
In 0uture5 Share&han is p(annin1 to enter in Mutua( 0uns5
Insurance sector an ban&in1 sector to e@pan beyon the mar&et
current(y co%ere by it* 6n it has starte MF (Mutua( Funs) on
priority basis but =ants to 1ro= in it*
ICICI Ce) Tr&de Ltd/ 7ICICIdirect/com8
I>I>Iirect*com =as the 0irst entrant into e-bro&in1*
I>I>irect*com pro%ies the 7-in-4 to the users =hich ties in their
sa%in1 ban& account an their ,emat account to their bro&era1e
account e(ectronica((y* #his inte1ration ensures that money is
trans0erre to30rom their ban& account an the shares are trans0erre
0rom3to their ,emat account automatica((y =ithout =ritin1 any
che?ues or trans0er instructions =hi(e carryin1 out their traes in
shares*
I>I>Iirect*com has the option o0 train1 in shares in cash5
mar1in or spot se1ments* 6n in%estor can a(so in%est in 48 Mutua(
Funs (Pruentia( I>I>I MF5 Fran&(in #emp(eton Inia MF5 6((iance
>apita( MF5 JM MF5 !ir(a Sun Ei0e MF5 Sunaram MF5 IE2FS MF5
78
Principa( MF5 $,F> MF5 Stanar >hartere MF5 'e(iance >apita(
MF5 Hota& Mahinra MF5 #6#6 MF an ,SP M;''IEE ET)>$ MF)
throu1h their train1 account*
>P&is&/com#
+paisa is the trae name o0 Inia In0o(ine Securities Pri%ate
Eimite (+paisa)5 member o0 )ationa( Stoc& ;@chan1e an #he Stoc&
;@chan1e5 Mumbai* +paisa is a =ho((y o=ne subsiiary o0 Inia
In0o(ine Et5 IniaJs (eain1 an most popu(ar 0inance an
in%estment porta(* +paisa has emer1e as one o0 (eain1 p(ayers in e-
bro&in1 space in Inia*
#he companyJs bro&era1e is one o0 the (o=est in the inustry* It
a(so pro%ies the research on commoities* In%estors can bene0it
0rom its ana(ysis an a%ice a%ai(ab(e at the c(ic& o0 the mouse* For
those =ho pre0er to trae the traitiona( =ay5 Inia In0o(ine in%estor
points are a%ai(ab(e across the country*
Inia In0o(ine =as 0oune by a 1roup o0 pro0essiona(s in 499+*
Its institutiona( in%estors inc(ue Inte( >apita(5 one o0 the (eain1
techno(o1y companies in the =or( promote by the .H 1o%ernment5
I>I>I5 #,6 an 'eeshanar* #he company o00ers a s(e= o0 proucts
such as stoc& an eri%ati%es bro&in15 commoities bro&in1 an
mutua( 0uns*
+ot&k Securities Limited 7kot&kstreet/com8
Hota& Securities Et*5 a strate1ic joint %enture bet=een Hota&
Mahinra !an& an /o(man Sachs (ho(in1 2+V - one o0 the =or(Js
(eain1 in%estment ban&s an bro&era1e 0irms) is IniaJs (eain1
stoc& bro&in1 house =ith a mar&et share o0 + - : V* Hota& Securities
Et* has been the (ar1est in IPL istribution - It =as ran&e number
Lne in 2007-08 as !oo& 'unnin1 Eea Mana1ers in pub(ic e?uity
o00erin1s by P'IM; ,atabase* It has a(so =on the !est ;?uity $ouse
6=ar 0rom Finance 6sia - 6pri( 2008*
Hota& Securities Et is a(so a epository participant =ith
79
)ationa( Securities ,epository Eimite ()S,E) an >entra(
,epository Ser%ices Eimite (>,SE) pro%iin1 ua( bene0it ser%ices
=herein the in%estors can use the bro&era1e ser%ices o0 the company
0or e@ecutin1 the transactions an the epository ser%ices 0or sett(in1
them* #he company has 82 branches ser%icin1 aroun 45 005000
customers* Hota&street*com the on(ine i%ision o0 Hota& Securities
Eimite o00ers Internet !ro&in1 ser%ices an a(so on(ine IPL an
Mutua( Fun In%estments*
Hota& Securities Eimite mana1es assets o%er 4900 crores
uner Port0o(io Mana1ement Ser%ices (PMS) =hich is main(y to the
hi1h en o0 the mar&et* Hota& Securities Eimite has ne=(y (aunche
AHota& In0inityB as a istinct iscretionary Port0o(io Mana1ement
Ser%ice =hich (oo&s into the mi(e en o0 the mar&et*
Indi& 2ulls
Iniabu((s is IniaRs (eain1 retai( 0inancia( ser%ices company
=ith 99 (ocations sprea across :8 cities* Its siFe an stron1 ba(ance
sheet a((o=s pro%iin1 %arie proucts an ser%ices at %ery attracti%e
prices5 our o%er 9+0 >(ient 'e(ationship Mana1ers are eicate to
ser%in1 your uni?ue nees*
Iniabu((s is (ea by a hi1h(y re1are mana1ement team that
has in%este crores o0 rupees into a =or( c(ass In0rastructure that
pro%ies rea(-time ser%ice 2 2839 access to a(( in0ormation an
proucts* #he Iniabu((s Pro0essiona( )et=or& o00ers rea(-time prices5
etai(e ata an ne=s5 inte((i1ent ana(ytics5 an e(ectronic train1
capabi(ities5 ri1ht at your 0in1er-tips* #his po=er0u( techno(o1y is
comp(emente by our &no=(e1eab(e an customer 0ocuse
'e(ationship Mana1ers*
Iniabu((s o00ers a 0u(( ran1e o0 0inancia( ser%ices an proucts
ran1in1 0rom ;?uities5 ,eri%ati%es5 ,emat ser%ices an Insurance to
enhance =ea(th an to achie%e the 0inancia( 1oa(s*
80
Motil&l Osw&l Securities Ltd/ 7MOSt8#
Lne o0 the top-7 stoc&-bro&in1 houses in Inia5 =ith a ominant
position in both institutiona( an retai( bro&in15 MLSt is amon1st the best-
capita(iFe 0irms in the bro&in1 inustry in terms o0 net =orth* MLSt =as
0oune in 49-9 as a sma(( sub-bro&in1 unit5 =ith just t=o peop(e runnin1
the sho=* Focus on customer-0irst-attitue5 ethica( an transparent
business practices5 respect 0or pro0essiona(ism5 research-base %a(ue
in%estin1 an imp(ementation o0 cuttin1-e1e techno(o1y ha%e enab(e it
to b(ossom into a thousan-member team*
#he institutiona( business unit has re(ationships =ith se%era( (eain1
0orei1n institutiona( in%estors (FIIs) in the .S5 .H5 $on1 Hon1 an
Sin1apore* In a recent meia report MLSt =as rate as one o0 the top-40
bro&ers in terms o0 business transacte 0or FIIs*
#he retai( business unit pro%ies e?uity in%estment so(utions to
more than +05000 in%estors throu1h 290 out(ets spannin1 4+0 cities an 22
states* MLSt pro%ies 6%ice-!ase !ro&in15 Port0o(io Mana1ement
Ser%ices (PMS)5 ;-!ro&in1 Ser%ices5 ,epository Ser%ices5 >ommoities
#rain15 an IPL an Mutua( Fun In%estment 6%isory Ser%ices* Its
Ga(ue PMS Scheme 1a%e a 4:0V post-ta@ return 0or the year ene March
2008*
In 6sia Money !ro&ers Po(( 2007 MLSt has been rate as the !est
,omestic 'esearch $ouse- Me1a Funs 5=hi(e in 2000 an 2002 it has
been rate as the !est ,omestic ;?uity 'esearch $ouse an Secon best
amon1st Inian !ro&era1e 0irms respecti%e(y*
H"5C Securities Ltd 7H"5Csec8
$,F>sec is a bran brou1ht to you by $,F> Securities Et5
=hich has been promote by the $,F> !an& 2 $,F> =ith the
objecti%e o0 pro%iin1 the i%erse customer base o0 the $,F> /roup
an other in%estors a capabi(ity to transact in the Stoc& ;@chan1es 2
other 0inancia( mar&et transactions* #he ser%ices comprise on(ine
buyin1 an se((in1 o0 e?uity shares on the )ationa( Stoc& ;@chan1e
()S;)* !uyin1 an se((in1 o0 se(ect corporate ebt an 1o%ernment
securities on the )S; =ou( be introuce in a subse?uent phase* In
a 0e= months5 they =i(( a(so start o00erin1 the 0o((o=in1 on(ine train1
ser%ices on the !S; an )S;"
81
4* !uyin1 an se((in1 o0 shares on the !S;
2* 6rbitra1e bet=een )S; 2 !S;
7* #rain1 in ,eri%ati%es on the )S;
8* Mar1in train1 proucts*
#hey are a(so p(annin1 to inc(ue buyin1 an se((in1 o0 Mutua( Funs5
IPL subscriptions5 'i1ht issues5 purchase o0 Insurance po(icies an
asset 0inancin1*
,i00erent types o0 company in%o(%e in on(ine train1"
$,F> S;>.'I#I;S EIMI#;,
I>I>I D;! #'6,; EIMI#;,
HL#6H S#';;# EIMI#;,
FIG; P6IS6 S;>.'I#I;S EIMI#;,
I),I6!.EES S;>.'I#I;S EIMI#;,
ML);TPL'; S;>.'I#I;S EIMI#;,
S$6'; H$6) S;>.'I#I;S EIMI#;,
/;LJI# S;>.'I#I;S
L#$;'S*
>PAISA/COM
#rae in !S;5)S;
#rae in mu(ticommoity e@chan1e
#rae in nationa( commoity e@chan1e
6ccess to research an technica( ana(ysis
G-S6#5 internet connecti%ity
Ln(ine bac& o00ice5 so0t=are 2 support
Eibera( eposit5 mar1in 2 e@posure terms
+OTA+ STREET/COM
82
;asy e?uities
;asy mutua( 0un
,eri%ati%es
'esearch on sms
Mar1in 0inance
>a(( 2 trae
;asy IPL o%er phones
SHARE+HAN/COM
>(assic account
#rain1 on )S;
Spee trae
Spee trae p(us
Sin1(e screen train1 termina(
'ea(-time streamin1 ?uotes
Ei%e tic-by-tic intra-ay chartin1
Instant orer3trae con0irmations in the same =ino=
$ot &eys simi(ar to a bro&erJs termina(
!ac&-up 0aci(ity to p(ace traes on irect phone (ines
IN"IA2ULLS/COM
#rae in e?uity
#rain1 throu1h termina(
#rae in eri%ati%es
83
!ac&-up 0aci(ity to p(ace traes on irect phone (ines
Spee trae p(us
L00(ine support throu1h messen1er
6ccess research an technica( research
L=n transaction en1ine
$i1h transaction spee
H"5C SECURITIES/COM
#rain1 on )S;
Mutua( 0un
Ln(ine bac& o00ice5 so0t=are 2 support
Ei%e ?uotes upate system
Market share of online trading portals
at present
20%
10%
10%
3%
29%
10%
5%
3%
10%
Indiabulls
5paisa.com
Moneypore.com
Hdfcsec.com
ICICIDirect.com
ota!street.com
I"#$%
%&are!&an.com
ot&ers
84
SCOT An&lsis
Introduction
SDL# 6na(ysis is a strate1ic p(annin1 metho use to e%a(uate
the Stren1ths5 Dea&nesses5 Lpportunities5 an #hreats in%o(%e in
a project or in a business %enture* It in%o(%es speci0yin1 the objecti%e
o0 the business %enture or project an ienti0yin1 the interna( an
e@terna( 0actors that are 0a%orab(e an un0a%orab(e to achie%in1 that
objecti%e*
6 SDL# ana(ysis must 0irst start =ith e0inin1 a esire en
state or objecti%e* 6 SDL# ana(ysis may be incorporate into
the strate1ic p(annin1 moe(* 6n e@amp(e o0 a strate1ic p(annin1
techni?ue that incorporates an objecti%e-ri%en SDL# ana(ysis
is Strate1ic >reati%e 6na(ysis (S>6))* Strate1ic P(annin15 inc(uin1
SDL# an S>6) ana(ysis5 has been the subject o0 much research*
85
Stren1ths" attributes o0 the person or company that are
he(p0u( to achie%in1 the objecti%e*
Dea&nesses" attributes o0 the person or company that are
harm0u( to achie%in1 the objecti%e*
Lpportunities" e&terna conitions that are he(p0u( to
achie%in1 the objecti%e*
#hreats" e&terna conitions =hich cou( o ama1e to
the businessRs per0ormance*
Ienti0ication o0 SDL# is essentia( because subse?uent steps in
the process o0 p(annin1 0or achie%ement o0 the se(ecte objecti%e
may be eri%e 0rom the SDL#* First5 the ecision ma&ers ha%e
to etermine =hether the objecti%e is attainab(e5 1i%en the SDL#*
I0 the objecti%e is )L# attainab(e a i00erent objecti%e must be
se(ecte an the process repeate*
#he SDL# ana(ysis is o0ten use in acaemia to hi1h(i1ht an
ienti0y stren1ths5 =ea&nesses5 opportunities an threats* It is
particu(ar(y he(p0u( in ienti0yin1 areas 0or e%e(opment*
Use of SWOT Analysis
#he use0u(ness o0 SDL# ana(ysis is not (imite to pro0it-
see&in1 or1aniFations* SDL# ana(ysis may be use in any
ecision-ma&in1 situation =hen a esire en-state (objecti%e)
has been e0ine* ;@amp(es inc(ue" non-pro0it or1aniFations5
1o%ernmenta( units5 an ini%iua(s* SDL# ana(ysis may a(so
be use in pre-crisis p(annin1 an pre%enti%e crisis
mana1ement* SDL# ana(ysis may a(so be use in creatin1 a
recommenation urin1 a %iabi(ity stuy*
86
SWOT-landscape analysis
#he SDL#-(anscape 1rabs i00erent mana1eria( situations by
%isua(iFin1 an 0oreseein1 the ynamic per0ormance o0 comparab(e
objects accorin1 to 0inin1s by !renan Hitts5 Eei0 ;%insson an
#or !ein1 (2000)*
>han1es in re(ati%e per0ormance are continuous(y ienti0ie*
Projects (or other units o0 measurements) that cou( be potentia( ris&
or opportunity objects are hi1h(i1hte*
SDL#-(anscape a(so inicates =hich uner(yin1
stren1th3=ea&ness 0actors that ha%e ha or (i&e(y =i(( ha%e hi1hest
in0(uence in the conte@t o0 %a(ue in use
SCOT An&lsis o! &ngel )roking ltd/
,urin1 this trainin1 at 6)/;E !'LHI)/ E#,5 =e ha come to
&no= the Stren1ths Dea&nesses C Lpportunities C #hreats 0or the
company an it is %ery use0u( 0or a company to ana(yFe them*
87
#here0ore5 the SDL# ana(ysis is presente here an the su11estions
0or maintainin1 stren1ths an remo%in1 =ea&nesses are e@p(aine*
Strengt(s"
De((-maintaine in0rastructure*
,eicate5 Inte((i1ent an Eoya( sta00*
Ln-(ine #rain1 proucts*
Eo=est bro&era1e an other char1es =*r*t* >ompetitors*
#he best in%estment a%ice correct up to 90-90 V throu1h
eicate
'esearch an reports*
Die prouct ran1e to enab(e the c(ients to choose the
best a(ternati%e*
Lne o0 the best ,Ps in Inia*
6 positi%e ima1e in the e@istin1 c(ients*
Ear1e retai( customer base
!est on(ine so0t=are Lin =hich =ithin + secon
mana1ement in0ormation system is ?uite 1oo as
compare to competitors
Ce&knesses"
Eess a=areness in the mar&et*
#ime consumin1 process 0or account openin15 reso(%in1 the
prob(ems o0 the customers5 etc*
88
Ser%ice ?ua(ity is not maintaine accorin1(y ho= they are
promote*
>oncentrate more on $)I ($i1h )et-=orth Ini%iua()
c(ient
emp(oyee attrition rate is hi1h especia((y !*,*L* 2 ,ea(ers
a(( branches are not =or&in1 in a synchroniFe =ay
O%%ortunities"
Ear1e primary mar&et to sit as a boo& runner 0or the other
companies just (i&e Hota& securities (t* that runs the boo&s
o0 share ho(in1s 0or many companies
S(ope o0 stoc& mar&et to=ars e(i%ery base transactions*
there are on(y 2 V to 7V peop(es are in%estin1 in share
mar&et so hu1e opportunities are there
Ear1e potentia( mar&et 0or e(i%ery an intra-ay
transactions*
Lpen interest o0 the peop(e to enter in stoc& mar&et 0or
in%estin1*
6ttract the customers =ho are issatis0ie =ith other bro&ers
2 ,Ps*
89
6n inirect opportunity 1enerate by the mar&et 0rom its
bu((ishness*
T(re&ts"
,ecreasin1 rates o0 bro&era1e in the mar&et*
Increasin1 competition a1ainst other bro&ers 2 ,Ps*
Poor mar&etin1 acti%ities 0or ma&in1 the company &no=n
amon1 the customers
6 threat o0 (oosin1 c(ients 0or any &in o0 =ea&ness o0 the
company*
Inirect threat 0rom instab(e stoc& mar&et5 i*e*5 (o=3no pro0it
o0 Share&hanJs c(ients =ou( (ea them to 1o 0or other
bro&er3,P*
Past Performance of Angel Broking Ltd
#$%&' 2008 )M*+,- V,.$/& !-01&-2 3,- 2007
A$4$56' 2008 C-,55&7 5000000 T-*70%4 A88,$%65
N,1&/9&-' 2007 )M*+,- V,.$/& !-01&-2 3,- 2007
M*-8:' 2007 C-,55&7 2000000 T-*70%4 A88,$%65
!&8&/9&-' 2006 C-&*6&7 2500 "$50%&55 A55,80*6&5
O86,9&-' 2006 )M*+,- V,.$/& !-01&-2 3,- 2006
S&;6&/9&- 2006 L*$%8:&7 M$6$*. F$%7 *%7 IPO "$50%&55
90
#$.<' 2006 L*$%8:&7 6:& PMS F$%860,%
M*-8:' 2006 C-,55&7 100000 T-*70%4 A88,$%6
O86,9&-' 2005 )M*+,- V,.$/& !-01&-2 3,- 2005
S&;6&/9&-' 2004 L*$%8:&7 O%.0%& T-*70%4 P.*63,-/
A;-0.' 2004 I%060*6&7 C,//,7060&5 "-,=0%4 !01050,%
A;-0.' 2003 F0-56 P$9.05: R&5&*-8: R&;,-6
N,1&/9&-' 2002 A%4&.25 F0-56 I%1&56,- S&/0%*-
M*-8:' 2002 !&1&.,;&7 &9>E%*9.&7 "*8= O3308& S,36?*-&
N,1&/9&-' 1998 A%4&. C*;06*. @ !&96 M*-=&6 L67. I%8,-;,-*6&7
!&8&/9&-' 1997 A%4&. "-,=0%4 L67. I%8,-;,-*6&7
Products 9 Ser'ices
91
Lur intensi%e research process
Inustry =ise specia(iFe team
!ottom-up approach" Ienti0yin1 uner %a(ue stoc& =ith
soun mana1ement
#op -o=n 6pproach" ienti0yin1 promisin1 sector 2 then
companies =ith 1oo %a(uations
>ompany %isits an interaction =ith top 2 secon (ine mana1er
#horou1h ana(ysis o0 companyJs 0inancia( ata 5 promise %s
per0ormance 2 inustry trens
;stimates 0or 0uture yearsJ earnin1s base on inustry trens 2
company business p(ans
Lur 'esearch 2 6%isory Proucts
Mar&et out(oo&
Pro%ies price-sensiti%e in0ormation just be0ore openin1 be((
an ana(ysis its impact on the mar&et in terms o0 "
92
Hey corporate e%e(opment
Po(icy announcement
/eo-po(itica( ne=s 2 %ie=s
#echnica( 6na(ysis
6na(ysis train1 patterns an a %ie= on the mar&et position o0
&ey stoc&s3sectors 0or the ne@t train1 session
Short term (4-+ ays) 2 meium term (40-20 ays) %ie=s
#rac&s ini%iua( scrip5 the sense@ 2 )i0ty 2 other inices
,eri%ati%es ana(ysis report
FII acti%ity in the F2L Se1ment
>han1e in open mar&et
Put ca(( ratio
>ost o0 carryin1 cost
Ine@- base eri%ati%e proucts
E$2roking

E-broking
+ni4ue Online $rading &roducts custo%i5ed to suit different Invest%ent 6 $rading
needs
)ngel Investor
)ngel $rade
)ngel ,iet
)ngel )ny#here
.ni?ue Ln(ine #rain1 Proucts >ustomiFe to suit i00erent
in%estment3#rain1 nees
93
Angel In'estor

.ser-0rien(y bro=ser 0or in%estors

;asy on(ine train1 p(at0orm

Dor&s in pro@y an 0ire=a(( system set up

Inte1rate !ac& o00ice" 6ccess account in0ormation C anytime5

any=here

Streamin1 ?uotes

'e0resh static rates =hen re?uire

Mu(tip(e e@chan1es on sin1(e screen

Ln(ine 0un trans0er 0aci(ity

Angel Tr&de

.ser-0rien(y bro=ser-base on(ine train1 p(at0orm*

Streamin1 ?uotes

>an be use in pro@y as =e(( as 0ire=a(( en%ironments*

6%anta1e to access your account 0rom any=here*

Angel "iet

6pp(ication-base p(at0orm 0or ay traers

$i-spee train1 termina( on your es&top

Streamin1 ?uotes 0or rea( time rate upates

Mu(tip(e e@chan1es on sin1(e screen

Ln(ine 0un trans0er 0aci(ity

Inte1rate !ac& o00ice" 6ccess account in0ormation C anytime5

any=here
Angel Anw(ere

6pp(ication-base p(at0orm 0or ay traers

#rain1 base on historica( charts an technica( too(s

Streamin1 ?uotes 0or rea( time rate upates

Ln(ine 0un trans0er 0aci(ity

94

Inte1rate !ac& o00ice" 6ccess account in0ormation C anytime5

any=here
2&ck$O!!ice
2nine cient detais incudes

Ee1er !a(ance

>ash ,eposits =ith 6n1e(

Securities $o(in1s

>har1es (e%ie3Pai in the c(ientJs account

East auction3c(ose-outs o00ere

,P $o(in1 0or the (ast 7 transactions

Port!olio M&n&gement Ser'ices

Mana1e by our prominent Fun Mana1er =ho are re1u(ar(y

0etche by #G meia 0or their %ie=s on stoc&s

.nerstanin1 c(ientJs ris& 2 return pro0i(e

L00erin1 the ri1ht b(en o0 sector an stoc& e@posures

/i%in1 eicate in%estement 6%isors

/i%in1 a choice o0 i00erent schemes to suit e%ery ini%iua(

in%estor pre0erences

>aterin1 to ini%iua(s5 $.Fs5 >orporate5 )'Is5 #rusts

Angel Currenc 5uture

>omprehensi%e >o%era1e on currencies

'eports co%erin1 in-epth 0unamenta(s o0 the currencies

Eatest economics ata re(eases =ith their (i&e(y impact5 a(on1

=ith A#echnica( Ee%e(sB

>omprehensi%e reports on currencies iea((y suite 0or any

in%estors 3 #raer
95
"e%ositor Ser'ices

)o physica( instruction re?uire 0or the c(ientJs se(( ob(i1ations

Eo=est transaction char1es in the country

6cceptances 2 e@ecution o0 instruction on 0a@

6 combine month(y A!i(( #ransaction* $o(in1 cum Ee1er

statement

;00icient P(e1e Mechanism

Angel gold
Persona(iFe in%estment a%isory
Port0o(io 'estructurin1 an continuous monitorin1
/uiance e@perience research team
Perioic /roup meetin1 =ith in%estors *
Pre$P&id 2roker&ge
Wero 6ccount openin1 char1es
6ttracti%e !ro&era1e rates
Free ,P 6M> 0or 4 year
6ssure 1i0ts =orth thousans =ith e%ery account
;asy an 0ast rechar1e
Free Financia( in%estment 6pp(ication =ith e%ery account
S%eci&li-ed Products
96
M&rgin 5unding
0aci(ity to a((o= c(ients to ta&e hi1her e@poser
instant (i?uiity 0or c(ients
mar1in is eposite in cash as =e(( as co((atera(s
;nab(in1 c(ients 1rab ;arnin1 Lpportunity*
:&lue Added Ser'ices
6,1 *ervices
)'I Ser%ices ,es& 0or persona(iFe 6ssistance*
,eicate o00(ine ;?uity ,ea(in1 ,es&*
Ln(ine ;?uity ea(in1 ,es&
)'I In%estment 6%isory ,es&
P6) >ar 6ssistance
Support 0or ban&in1-PIS 6ccounts
Port0o(io Mana1ement5 Mutua( Fun5 IPL ser%ices*
Insur&nce
Angel O!!ers
Proucts to meet the objecti%es o0 ris& co%era1e *in%estment an
ta@ p(annin1*
97
6ssessment o0 your insurance nees a0ter proper ris& pro0i(in1*
6 =ie array o0 ini%iua( (i0e co%er p(ans to meet your
protection5 sa%in1s5an retirement nees*
Mutu&l !unds
6n inte1rate p(at0orm 0or on(ine 3o00(ine mutua( 0uns
#ie-up =ith a(( major 6M>S
,eicate 'e(ationship Mana1er 0or !usiness Partners
;@c(usi%e MF 'esearch 'eports by
an1e({ai(y5=ee&(y5month(y5mutua( 0un reports}*
Lo&nsD IPO &nd !i,ed "e%osits
Proucts istribute by an1e( inc(ue
.nsecure (oans
persona(3business (oans a1ainst properties
Secure (oans*
home (oans3(oan a1ainst properties
(oan a1ainst securities31o(5 IPL-,istribution 5 6%isory an
he(p es& 5 Fi@e ,eposits 5)$! term ,eposits*
Risk m&n&gement &t &ngel
6n e00icient ris& mana1ement system =hich enab(es the
customer to e00ecti%e(y monitor the positions*
98
#he c(ient report can be accesse 0rom any p(ace an 1i%es
cate1orica( isp(ay o0 the (e1er ba(ance eposits an ho(in1s*
"&t& An&lsis
#he 0irst an simp(est ana(ytica( step in ata ana(ysis is to
escribe the ata Z 0or e@amp(e5 summariFe its statistica( attributes
(such as means an stanar e%iations)5 %isua((y re%ie= it usin1
charts an 1raphs5 an (oo& at the istribution o0 %a(ues o0 the 0ie(s in
your ata* !ut ata escription a(one cannot pro%ie an action p(an*
Tou must bui( a preicti%e moe( base on patterns etermine
0rom &no=n resu(ts5 then test that moe( on resu(ts outsie the
ori1ina( samp(e* 6 1oo moe( shou( ne%er be con0use =ith rea(ity
(you &no= a roa map isnJt a per0ect representation o0 the actua(
roa)5 but it can be a use0u( 1uie to unerstanin1 your business*
,ata ana(ysis can be use 0or both c(assi0ication an re1ression
prob(ems* In c(assi0ication prob(ems youJre preictin1 =hat cate1ory
somethin1 =i(( 0a(( into C 0or e@amp(e5 =hether a person =i(( be a 1oo
creit ris& or not5 or =hich o0 se%era( o00ers someone is most (i&e(y to
accept* In re1ression prob(ems youJre preictin1 a number such as the
probabi(ity that a person =i(( respon to an o00er*
99
Indi&n 2roker&ge Industr
Introduction
Dith the 0a(( in the turno%er in the ;?uity se1ment by o%er 70
per cent since 6pri(5 re%enue o0 bro&in1 houses ha%e ta&en a major
hit* >ompare =ith the pre%ious 0e= ?uarters5 the net pro0its o0 many
(eain1 bro&in1 houses ha%e near(y ha(%e espite the re%enues
ec(inin1 mar1ina((y* #he resu(ts poste by bro&in1 0irms ha%e been
e@treme(y poor in (ine =ith the mar&et conitions5 ha%in1 reporte
either a 0a(( in net pro0it or5 at best5 on(y a mar1ina( rise in their
bottom (ine 0or the perio* #he =orst-hit seems to be the bro&in1
0irms =hich are 0acin1 cha((en1es in their ec(inin1 business apart
0rom strin1ent re(uctance o0 0inancia( institutions to (en them money
0or =or&in1 capita(* !ro&in1 0irms ha an e@ce((ent ra((y in the
pre%ious 0isca( an thus ha e@tra%a1ant p(ans o0 increasin1 their
0ootho( across nation5 an some o0 them e%en 1(oba((y* Dith the
current 0inancia( me(to=n =or(=ie5 most o0 them ha%e not on(y
put their e@pansion p(ans on ho( but a(so are s(o=in1 o=n in
current businesses* #hese 0irms =ere on a 1ro=th spree5 ain1
branches an peop(e across cities* #he au1mentation =as a(so ri%en
by the in0usion o0 0uns by the bi1 pri%ate e?uity an 0orei1n p(ayers
=antin1 to in%est in these bro&in1 out0its* #he sma((er bro&in1 out0its
too& a 1reater hit5 as they stru11(e to meet their mar1in
re?uirements ue to (i?uiity constraints* 'ecent(y5 train1 termina(s
o0 9+ bro&er members =ere eacti%ate in the F2L se1ment an 29
eacti%ations occurre in the cash se1ment* In September5 the
termina(s o0 7: bro&er members =ere eacti%ate =hereas in 6u1ust
it =as on(y 44* #here =ere --+ acti%e train1 members in the F2L
se1ment an 9-8 in the cash se1ment on )S; in Lctober* #he mar&et
scene appears b(ea& 0or the securities 0irms* Puite e@pecte5 these
ne1ati%e sentiments are re0(ectin1 in the stoc& prices o0 bro&in1 0irms*
Most o0 them ha%e 0a((en by more than 9+V 0rom their hi1hs ear(y this
year* 60ter ban&in1 stoc&s5 bro&in1 out0its ha%e 0ace the brunt in the
current 0inancia( turmoi(* Dhen the macro conitions =ere 0ine5
in%ariab(y stoc& mar&ets i per0orm =e((* Simi(ar(y5 the o=ntren
in the economy is a(so re0(ecte in the stoc& mar&et*
100
"eri'&ti'e Re%ort
0*97V5 =hi(e Mini0y 0utureJs open interest ecrease by 7*8-V5
as mar&et c(ose at 708:*9+ (e%e(s*
X )i0ty January 0uture is train1 at premium o0 :*-+ points
a1ainst premium o0 40*2+ points in pre%ious train1 session*
Dhi(e February 0uture is train1 at premium o0 49*70 points*
X P>'-LI is at the same (e%e(s o0 4*44* ,ue to bui( up in ca(( as
=e(( as put options*
X IG o0 at the money option is 80*7+V* $istorica( %o(ati(ity has
reuce 0rom +:*9+V to ++*28V*
X Stoc&s =hich are train1 at ecent positi%e cost o0 carry are
'6J;S$;QPL5 FSE5 !I),6E6/'L5 IF>I an >$6M!EF;'#*
"&t& An&lsis o! Customers
,i00erent customers ha%e the i00erent objecti%es3purpose 0or
openin1 the account in 6n1e( !ro&in1 Et*5 as per the sur%ey one by
us is as 0o((o=" -
101
Lbjecti%e 0or 6\> openin1 )o* o0 >ustomers
>ommoity 4
In%estment 479
IPL 8+
#rain1 28+
In%estment 2 #rain1 +9
In%estment #rain1 2 IPL 2:
IPL 2 #rain1 74
In%estment 2 IPL 9
Lthers 79
5in&nci&l Restructuring
6n1e( !ro&in1 Et* pro%ies the ser%ice o0 Financia(
'estructurin1* 6s per the sur%ey the chart is as 0o((o=s"
102
0
100
200
300
!00
500
600
*00
-00
00
Interested in /inancial
.lanning6 .ortfolio
Restructuring
7es (o $otal
1eries1
Limit&tions
,e0inition o0 per0ection i00ers 0rom ini%iua(s to ini%iua(s* )o
matter ho= meticu(ous one is5 the stuy that is comp(ete(y base on
103
responses 0rom a %ast %ariety o0 peop(e cannot be 0ree 0rom
(imitations* #hou1h the present stuy aime to achie%e the abo%e-
mentione objecti%es in 0u(( earnest an accuracy5 it =as hampere
ue to certain (imitations* Some o0 the (imitations o0 this stuy may
be summariFe as 0o((o=s" -
Se(ection o0 the peop(e =ho are uner consieration as samp(e
0or the stuy may not be the best samp(e se(ecte*
Samp(e siFe =as (imite ue to the (imite perio a((ocate 0or
the sur%ey*
#he se(ection o0 peop(e to co%er the %arious types o0 commoity
train1 ran1in1 0rom a1ro proucts to ener1y an meta(s (i&e
1o( an si(%er =as teious an time consumin1*
/ettin1 accurate responses 0rom the responents ue to their
inherent Prob(ems5 persona(ity traits an moo 0(uctuations
=as a %ery i00icu(t tas&*
Some responents ha to be re-contacte as per their
con%enience o0 time*
Some o0 the area in =hich the sur%ey is carrie out =as %ery un
Chy1ienic an o%er cro=e*
Some ata o0 customer is not proper* Ei&e their contact number
2 aress*
Finin1s
In are5 =hich =e =are 1i%en out o0 -00 c(ients =e ha%e most(y
0oun that they are not intereste in the 0inancia( port0o(io
104
restructurin1* De 0oun 90*9V no intereste an 9*7V are
intereste in the city*
Most o0 the c(ients =hom5 =e met /o%ernment emp(oyees5
businessman5 $ote(s5 ma((s5 restaurants an chai=a(a a(so*
Dhat about their intereste in train1*
Most o0 the c(ients in%este in the IPL5 #rain15 In%estment5
0uture an options an commoity mar&ets* Lut o0 -00 Most o0
the c(ients Intereste in train1*
6=areness about an1e(s ne=
ser%ices
)o* o0 responents
Ln(ine train1 700
Mar1in 0unin1 +0
PMS 400
6)/;E /LE, 70
P';P6I, !'LH;'6/; 20
EIF; I)S.'6)>; (!I'E6 S.)
EIF;)
20
M.#.6E F.), 200
FIQ;, ,;PLSI# +00
!L), 800
105
Suggestion"
From the abo%e chart =e can see that %arious customer
are about on(ine train15 on the other han 0e= peop(e a=are about
an1e( 1o( an its prepai bro&era1e ser%ices*
>ompany shou( 1i%e 0ocus on on(ine customer an try to 1i%e
more in0ormation about an1e( 1o( an prepai to these e@istin1
c(ients an create interest amon1 them to ta&e a%anta1e o0 these ne=
ser%ices*
106
2I2LIOGRAPH<
2OO+
Mar&etin1 Mana1ement Phi((ip Hot(er
'esearch Methoo(o1y Hooper
$uman 'esource 6s=athapa
Prouction an Lperation 6am 2 6bert
M&g&-ine
Ga(ue Eine
;a1(e ;ye
!usiness Dor(
)S,E
107
Ce) Site
===*6n1e(bro&in1*com
===*ss&i*com
===*bseinia*com
===*nseinia*com
===*=i&ipeia*com
===*researchanmar&et*com
===*scrib*com
===*coo(a%enue*com
===*hinubusinesson(ine*com
===*in%estopeia*com
===*moneybhai*com
108