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INTRODUCTION TO BANKING INDUSTRY

DEFINITION OF BANK
Bank is, “An establishment for custody of money received from or on behalf of, its customers. Its
essential duty is the payment of the orders given on it by the customers, its profit mainly from the
investment of money left unused by them”.
Banking Regulation Act, 1949 (Sec. 5(c)), has defined the banking company as, “Banking Company
means any company which transacts business of banking in India”.
According to Section 5B, “banking means the accepting of deposit of money from the public for the
purpose of leading or investment, which are repayable on demand or otherwise and are withdraw
able by cheque, draft, and order or otherwise.”
Indian banking is the lifeline of the nation and its people. Banking has helped in developing the
vital sectors of the economy and usher in a new dawn of progress on the Indian horizon. The sector
has translated the hopes and aspirations of millions of people into reality. But to do so, it has had to
control miles and miles of difficult terrain, suffer the indignities of foreign rule and the pangs of
partition. Today, Indian banks can confidently compete with modern banks of the world. Before the
20th century, usury, or lending money at a high rate of interest, was widely prevalent in rural India.
Entry of Joint stock banks and development of Cooperative movement have taken over a good deal
of business from the hands of the Indian money lender, who although still exist, have lost his
menacing teeth.
In the Indian Banking System, Cooperative banks exist side by side with commercial banks and
play a supplementary role in providing need-based finance, especially for agricultural and
agriculture-based operations including farming, cattle, milk, hatchery, personal finance etc. along
with some small industries and self-employment driven activities. Generally, co-operative banks are
governed by the respective co-operative acts of state governments. But, since banks began to be
regulated by the RBI after 1st March 1966, these banks are also regulated by the RBI after
amendment to the Banking Regulation Act 1949. The Reserve Bank is responsible for licensing of
banks and branches, and it also regulates credit limits to state co-operative banks on behalf of
primary co-operative banks for financing SSI units. Banking in India originated in the first decade
of 18th century with The General Bank of India coming into existence in 1786.

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This was followed by Bank of Hindustan. Both these banks are now defunct. After this, the Indian
government established three presidency banks in India. The first of three was the Bank of Bengal,
which obtains charter in 1809, the other two presidency bank, viz., the Bank of Bombay and the
Bank of Madras, were established in 1840 and 1843, respectively. The three presidency banks were
subsequently amalgamated into the Imperial Bank of India (IBI) under the Imperial Bank of India
Act, 1920 –which is now known as the State Bank of India.
A couple of decades later, foreign banks like Credit Lyonnais started their Calcutta operations in the
1850s. At that point of time, Calcutta was the most active trading port, mainly due to the trade of the
British Empire, and due to which banking activity took roots there and prospered. The first fully
Indian owned bank was the Allahabad Bank, which was established in 1865.
By the 1900s, the market expanded with the establishment of banks such as Punjab National Bank,
in 1895 in Lahore and Bank of India, in 1906, in Mumbai – both of which were founded under
private ownership. The Reserve Bank of India formally took on the responsibility of regulating the
Indian banking sector from 1935. After India’s independence in 1947, the Reserve Bank was
nationalized and given broader powers. As the banking institutions expand and become increasingly
complex under the impact of deregulation, innovation and technological upgradation, it is crucial to
maintain balance between efficiency and stability. During the last 30 years since nationalization
tremendous changes have taken place in the financial markets as well as in the banking industry due
to financial sector reforms.
The banks have shed their traditional functions and have been innovating, improving and coming
out with new types of services to cater emerging needs of their 5 customers. Banks have been given
greater freedom to frame their own policies.
Rapid advancement of technology has contributed to significant reduction in transaction costs,
facilitated greater diversification of portfolio and Improvements in credit delivery of banks.
Prudential norms, in line with International standards, have been put in place for promoting and
enhancing the Efficiency of banks. The process of institution building has been strengthened with
several measures in the areas of debt recovery, asset reconstruction and Securitization,
consolidation, convergence, mass banking etc.

003 branches. it had assets of US$501 billion and 15.भभरतदय सटट ट बब क) is a multinational banking and financial services company based in India. including products aimed at non-resident Indians (NRIs). In 2008. through the Imperial Bank of India. It is a state-owned corporation with its headquarters in Mumbai. the government took over the stake held by the Reserve Bank of India. and renamed it the State Bank of India. SBI provides a range of banking products through its network of branches in India and overseas. The Government of India nationalised the Imperial Bank of India in 1955. . which in turn became the State Bank of India. SBI is a regional banking behemoth and has 20% market share in deposits and loans among Indian commercial banks. Bank of Madras merged into the other two presidencies banks—Bank of Calcutta and Bank of Bombay—to form the Imperial Bank of India. making it the oldest commercial bank in the Indian. including 157 foreign offices making it the largest banking and financial services company in India by assets. The State Bank of India was named the 29th most reputed company in the world according to Forbes 2009 rankings and was the only bank featured in the "top 10 brands of India" list in an annual survey conducted by Brand Finance and The Economic Times in 2010. to the founding in 1806 of the Bank of Calcutta.Page | 3 INTRODUCTION TO STATE BANK OF INDIA (SBI) State Bank of India (SBI) (हहहदद . with the Reserve Bank of India taking a 60% stake. As at December 2012. The bank traces its ancestry to British India. SBI has 14 regional hubs and 57 Zonal Offices that are located at important cities throughout the country. SBI has been ranked 285th in the Fortune Global 500 rankings of the world's biggest corporations for the year 2012.

000 branches. Patna. It also has around 130 branches overseas. it was the first joint-stock bank of British India sponsored by the Government of Bengal. To retain the banks position as the premier Indian financial services. has the largest banking branch network in India. Three years later the bank received its charter and it was re-designed as the Bank of Bengal (2ndJanuary 1809). Mumbai. SBI has 14 local head offices situated at Chandigarh. including products aimed at non-resident Indians(NRIs). Establishment & Aim of the Company The origin of the State Bank of India goes back to the first decade of the nineteenth century with the establishment of the Bank of Calcutta in Calcutta on 2nd June 1806. SBI provides a range of banking products through its vast network of branches in India and overseas. The State Bank Group. shareholder and employee satisfaction so as to play a leading role in expanding and diversifying financial services while continuing emphasis on its development banking role. It is a state-owned corporation with its headquarters in Mumbai. Maharashtra. Bhubaneswar. Hyderabad. Chennai. Guwahati (North East Circle). Bhopal & Ahmadabad and 57 Zonal Offices that are located at important cities throughout the country. A unique institution. . Kolkata. Lucknow.Page | 4 Origin. These three banks remained at the apex of modern banking in India till their amalgamation as the Imperial Bank of India on 27th January 1921. State Bank of India (SBI) is the largest banking and financial services company in India. Delhi. The Bank of Bombay (15th April 1840) and the Bank of Madras (1st July 1843) followed the Bank of Bengal. It also aims to be a group with world class standards and significant global business commitments to excellence in customer. Bangalore. Trivandrum. with over 16.

to spread banking facilities in rural.to help spread banking in rural areas for the purpose of encouraging and mobilising savings among the ruralist and to provide credit to them on easy terms and conditions. FUNCTINS OF SBI .the main objective was to have a strong commercial bank under the control and supervision of government in public sector.another objective is to provide co-operatives and other banks facilities of remittance of funds from one place to another.this is also one of the main objectives of state bank to strengthen co-operatives societies. State bank has achieved this objective by establishing largest number of branches and huge deposits.one of the main objectives of the state bank is to develop small.generally exports of the developing countries are less and imports are more which results in disequilibrium in Balance of Payment (BOP) of a country. 7) Remittance of Funds: . To help government in achieving targets.  To help other banks and strengthen the entire banking system. 8) Other Objectives: To help RBI in implementing its monetary and credit policies. help in the establishment of licensed warehouses and cooperative marketing society. 6) Assistance to Co-operatives:. 5) Assistance to Exporter: . semi urban and metro politan areas by opening 400 branches within 5 years of establishment. 2) Rural Credit: . cottage and village industries by providing them adequate financial assistance.  To subscribe to the debentures of State Land Development Banks and to advance loans   on their security.Page | 5 OBJECTIVES OF SBI Following are the objectives for the establishment of the state bank: 1) To Establish Strong Bank: . To develop banking habit and savings among ruralist. 4) Development Finance: . one of the objectives of the state bank is to provide adequate financial assistance to the exporters and small trades in order to encourage exports. So. 3) Banking Development: . This policy of branch expansion has since been continued.

It lends money to merchants and manufacturers for short periods. The Bank can lend against agricultural bills Upto a maximum period of fifteen months and in case of other bills Upto a maximum period of six months. fixed deposits and savings deposits. In discharging this responsibility. it grants loans and deals in bills of exchange and hundies. . the bank provides loans to commercial bank when required and also rediscount their bill. The State Bank of India acts as an agent of the Reserve Bank of India and performs the following functions: (1) Borrows money:.  It performs other banking functions of a commercial Bank. cotton. cloth.  It undertakes treasury functions on behalf of the government.  It helps in investing in securities.  If functions as a Govt. The subsidiary functions of the State Bank of India are as follows:  It helps in issuing bank drafts at the time of transferring of funds. wheat.The Bank borrows money from the public by accepting deposits such as current account deposits. The functions of the commercial banks may be broadly classified into two categories called:  Primary functions  Subsidiary functions The primary functions of the State Bank of India are as follows:  Like other banks. It also lends to farmers and co-operative institutions. Bank where Reserve Bank of India does not exist. It also acts as the clearing house of the commercial bank.Page | 6 The Imperial Bank of India was nationalized in 1957 and after nationalization it was renamed as the State Bank of India. gold and government securities.  It purchases bills up to 15 months and issues foreign bills of exchange. (2) Lends money: . It lends mostly on the security of easily realizable commodities like rice. (3) Banker's Bank:-The State Bank of India acts as the banker's bank. oil-seeds.

The State Bank of India also acts as the agent of the Reserve Bank of India. bill of exchange. The Bank also manages the debts floated by the State Governments. It purchases and sells securities on behalf of its customer. (5) Remittance: . dividends interest. As an agent. the State Bank of India maintains the treasuries of the State Government. It receives valuables and documents for safe custody and maintains safe deposit vaults. (7) Subsidiary functions: . It also helps in the transfer on the funds of the State and Central Government. It collects checks. drafts. FUNCTION FACILITIES • Central Banking Function • Personal banking • Banker to the government • Agriculture / rural banking • Banker’s bank • Corporate banking • Currency chest • Services • Clearing House BANK PROFILE .The State Bank performs various subsidiary services also.The State Bank of India performs the functions of a Central Bank. salaries and pensions on behalf of its customers. (6) Functions as Central Bank: .Page | 7 (4) Government's Bank: .The State Bank of India facilitates remittance of money from one place to another.

provision has been made to deposit atleast 55% of issued capital with the Reserve Bank under sec. Ever since that time. Later on. 92% of the total paid up capital is with the Reserve Bank and remaining 8% is with other peoples and institutions. Reserve Fund and surplus of the bank was 7450.5. The bank has been striving sincerely to adhere to the efforts of providing utmost customer satisfaction to the best possible extent. MANAGEMENT According to the state bank Act. In the year 1955. popularly known as SBI. it was merged with the Imperial Bank. 1955.3crores.5 (i) of the state bank Act. There will be 13 local boards which will provide cooperation for the management of the bank. the bank acquired its present name that is SBI.1000crores and paid up capital was 526.200crores and issued and issued and paid up capital increased to 50 corers. Upto 31st march.In 1985. The bank traces its origin to the first decade of the 19th century.20crores which was divided into 20 lakh shares of rs. ORGANISATIONAL STRUCTURE CAPITAL At the time of establishment of the state bank. 1955.625crores.100 each. Out of this capital issued and paid up capital was rs.9crores. 2002 the authorised capital of the state bank was rs. . which further increased to 150crores in 1987. The State Bank of India is India's largest commercial bank. the Government of India nationalized the Imperial Bank along with the Reserve Bank of India. authorised capital of the bank increased to rs. the authorised capital was Rs. In order to manage and control the state bank.Page | 8 The Company The State Bank of India. Management of the bank will be in the hands of the “CENTRAL BOARD OF DIRECTORS”. is one of the leading banks in India.

all use the same logo of a blue circle and all the associates use the "State Bank of" name. there are twelve members in the SBI board of directors. 2011. Pratip Chaudhuri (Chairman) 2.Page | 9 Board of Directors of the company After the end of O. The complete list of the Board members is: 1. Hemant G. followed by the regional headquarters' name: a) State Bank of Bikaner & Jaipur . Gokarn (Director) Associate Banks of SBI SBI has five associate banks. K. Nadaf (Officer Employee Director) 10. Diwakar Gupta (Managing Director) 4. As of August 4. D. including Subir Gokarn. 2011. P. ParthasarathyIyengar (Director) 9. Sundaram (Director) 8. Subir V. D. Mittal (Director) 12. Bhatt's reign as SBI chairman on March 31. D. Dileep C Choksi (Director) 6. Venkatachalam (Director) 7. who is also one of the four deputy governors of the Reserve Bank of India. RashpalMalhotra (Director) 11. G. Contractor (Managing Director) 3. A Krishna Kumar (Managing Director) 5. the post was taken over by Pratip Chaudhuri. S. who is the former deputy managing director of the international division of SBI.

all the way" and: "a bank of common man" .  Slogans : "Pure banking nothing else" Also includes: "With you .P a g e | 10 b) State Bank of Hyderabad c) State Bank of Mysore d) State Bank of Patiala e) State Bank of Travancore Symbol and slogan  The symbol of the State Bank of India is a circle and a small man at the center of the circle (and not a key hole). A circle depicts perfection and the common man being the center of the bank's business.

Also.P a g e | 11 Position of the company SBI is a regional banking behemoth and is one of the largest financial institutions in the world. SBI is the only bank featured in the coveted "top 10 brands of India" list in an annual survey conducted by Brand Finance and The Economic Times in 2010. Punjab National Bank and HDFC Bank—its main competitors. The State Bank of India is the largest of the Big Four banks of India. The State Bank of India is the 29th most reputed company in the world according to Forbes. along with ICICI Bank. It has a market share among Indian commercial banks of about 20% in deposits and loans. Services & Products a) b) c) d) e) f) g) Banking services NRI services International banking Corporate banking Agricultural banking International banking Advantage (Khata) h) Advantage plus (Khata plus) i) CINB (Saral) j) Privilege (Vyapar) k) Freedom (Vistar) l) Electronic Vendor Finance m) Electronic Dealer Finance n) Direct Debit o) E collection .

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P a g e | 13 S BI Retail Banking a) Term Deposits b) Recurring Deposits c) Housing Loan d) Educational Loan e) Personal Loan f) For Pensioners g) Against Mortgage of Property h) Against Shares & Debentures i) Plus Scheme j) Medi-Plus Scheme .

P a g e | 14 k) Rates of Interest Services a) b) c) d) e) f) g) h) i) j) k) l) m) Access to multiple users Account view / Statement Funds Transfer Third party funds transfer (RTGS/NEFT) Demand Draft request Utility Bill Payment Bulk transaction through file upload Direct and indirect tax payment SMS/Email alerts User hierarchy with discretionary access/rights to accounts MIS reports Host to Host integration Demat View facility Strengths • Strong domestic Weaknesses market • Reduction in the asset position sustaining reach and quality customer confidence nonperforming assets ration • Strong helping initiatives capital pursue position • Susceptible growth inventories & increasing to political .

& Treasury operations.P a g e | 15 Opportunities • Growing Indian banking sector Threats • various competitors -Foreign banks -govt. SBI`s Strategies in the Current Scenario . International Banking. Corporate Banking. banks‡ • Dissatisfied customers of other Bank • Market trends Key Areas of Operations The business operations of SBI can be broadly classified into the key income generating areas Such as National Banking.

Besides.P a g e | 16 SBI have set up capacity in places where they are not very strong. They can not only tap the potential better but can also provide a safe and transparent insurance alternative to the public. since there is a lot of trust in SBI. Providing alternate channels. given the huge untapped potential. Each one of these initiatives having a huge potential for growth. Cross sales of other products. Custodial Services. structured products etc. They included a) b) c) d) Segregating and targeting existing high value customers. Plans were also made to utilize database marketing to pursue large and medium sized corporate. this is also the best time to benefit from their past expansion. Mobile Banking. Focus on a lean structure and Technological up gradation. government and trade finance customers. Setting up call centers and outbound sales force to secure new customers. A business process reengineering (BPR) team was constituted in June 2003 with McKinsey & company as consultants. f) SBI also introduced various other ways of reaching out to customers like g) Extension of hours of work(SBI increased daily working hours by two hours and Sunday banking was introduced) and h) Aggressive marketing through print and television media. The key aspects involved a) b) c) d) e) Redesigning of branches. It’s time for them to follow overall SBI philosophy of planning new branches. Brand SBI is very strong. The Marketing Initiatives SBI carried out various marketing initiatives to enhance its reach. Point of Sale Merchant Acquisition. SBI planned a major organizational restructuring exercise. Advisory Services. The Restructuring To overcome the intense competition from private and foreign banks. Private Equity. The BPR's basic goal was to create an operating architecture that would facilitate service delivery of international standards. e) Database marketing was expected to draw increased revenue from cross selling lower costs and increased customer loyalty. The bank is entering into many new businesses with strategic tie ups – Pension Funds. General Insurance. while people may be generally cautious about some other brands. The project objectives were defined as .

In 1982. The 10th branch was opened in Fremont. it established an offshore bank: State Bank of India (Mauritius). four in the Toronto area and three in British Columbia. It also has an ADB in Boston. and representative offices in Bhutan and Cape Town. Dhaka. The Canadian subsidiary. Dubai. Los Angeles. which now has ten branches – nine branches in the state of California and one in Washington. Artesia. As of December 31. Increasing the profitability through higher market share and improved process efficiency" International presence The Israeli branch of the State Bank of India located in Ramat Gann. and Tokyo. Branch staff to focus on sales and marketing. State Bank of India (California). . 2009. Increasing customer satisfaction and convenience. San Diego. Canoga Park. USA. Sydney. Male in the Maldives. California on 28 March 2011. . It has branches of the parent in Colombo. State Bank of India (Canada) also dates to 1982.C. Muscat. Enhancing SBI's competitiveness in the market. . the bank established a subsidiary. It has seven branches. In 1990. Osaka. and Singapore.P a g e | 17 . It has banking units in the Bahamas. Hong Kong. . New York. San Jose. Bahrain. The other eight branches in California are located in Los Angeles. Johannesburg. Tustin and Bakersfield. London. SBI operates several foreign subsidiaries or affiliates. the bank had 157 overseas offices spread over 32 countries. Frankfurt. Freeing up time for branch manager and . D. Fresno. Tehran.

Branches of SBI  State Bank of India has 172 foreign offices in 37 countries across the globe.000 ATMs. SBI owns 55% of Nepal SBI Bank. The State Bank of India already has a branch in Shanghai and plans to open one in Tianjin. Best Customer Initiative Award & Best Risk Management Award (Runner Up) by IBA Banking Technology Awards 2010  The Bank of the year 2009. the day of his retirement).000 ATMs (25. In Kenya. India (won the second year in a row) by The Banker Magazine . SBI owns 60% of Commercial Bank of India.P.000th ATM was inaugurated by the then Chairman of State Bank Shri O.  SBI has about 25. Bhatt on 31 March 2011. State Bank of India owns 76% of Giro Commercial Bank. which has branches throughout the country. including branches that belong to its associate banks. The State Bank of India (with 74% of the total capital) along with the largest global banking group —BNP Paribas (with 26% of the remaining capital) headquartered in Paris—formed a joint venture which established India's most reputed and trusted life insurance company named SBI Life Insurance company Ltd. with Canara Bank owning the rest.P a g e | 18 In Nigeria. in March 2001.  India's number one ADB is in Bellary i e State bank of India Bellary ADB Recent awards and recognitions  Best Online Banking Award. In Nepal. In Moscow. it owns 76% of PT Bank Indo Monex. It now has five branches in Nigeria. and SBI group (including associate banks) has about 45. SBI operates as INMB Bank. In Indonesia. This bank began in 1981 as the Indo-Nigerian Merchant Bank and received permission in 2002 to commence retail banking. which it acquired for US$8 million in October 2005.  SBI has 21.  SBI includes 99345 offices in India.500 branches.

WORK ACHIEVEMENTS OF SBI Some of the achievements of State Bank of India are: A.P a g e | 19  Best Bank – Large and Most Socially Responsible Bank by the Business Bank Awards 2009  Best Bank 2009 by Business India  The Most Trusted Brand 2009 by The Economic Times  Most Preferred Bank & Most preferred Home loan provider by CNBC  Visionaries of Financial Inclusion By FINO  Technology Bank of the Year by IBA Banking Technology Awards  SKOCH Award 2010 for Virtual corporation Category for its e-payment solution  The Brand Trust Report: 11th most trusted brand in India. Largest Bank in India b. The 29th most reputed company in the world according to Forbes e. The Indian bank with most number of overseas branches (131 across 32 countries) FAILURES OF SBI Despite the above achievements. Bank that has more than 16000 branches in India (more than 26000 if we include associate banks) c. The oldest commercial bank in operation in the Indian subcontinent f. Bank with the most number of ATMs in India – 21000 (more than 45000 if we include associate banks) d. the state bank suffers from a number of weaknesses which are discussed as under- .

DEFCTIVE DECISION MAKING PROCESS: . frauds.I.there has been much political interference in granting of loans by the banks which has destroyed the sanctity of banking norms. delays and lack of responsibility. delays in opening counters.one of the important drawbacks of state bank of India has been deteriorating customer service. 2. This harms the interest of depositors. Hence there is unnecessary delay in taking decisions. The branch managers are not able to control staff due to unionism.the most important problem of state bank has been their declining profitability.5. Irregularities and corruptions. LOW CAPITAL RESERVE RATIO: .P a g e | 20 1. More emphasis is required in rural banking. 4. 6. But yet there requires qualitative improvement in branches. The evils connected with the bank undertakings have crept in these banks thereby resulting in red –tapism. Cr.no doubt S.in Rs. Etc. 7. SOCIAL BANKING INDEQUATE: . POLITICAL INTERFERENCE: . DECLINING PROFITABILITY: . Even today these banks mainly cater to the needs of corporate sector. has led to declining profitability of these banks. 3. The decision making process is complex and defective. For instance. It should be in between 4 to 6 of total paid up capital and reserves.the state bank is unable to take quick decision on important matters.capital reserve ratio of the state bank of India is 2. etc.social banking in the form of flow of credit to the priority sector is inadequate.B. WORSE IN CUSTOMER SERVICE: . has tremendous development in opening branches and stood first in the world. An important instance is politically organised loan mella. misappropriation. rising operating cost deterioration in customer service. LACK OF QUALITATIVE IMPROVEMENT IN BRANCHES: . 5. DATA REGARDING SALES OF SBI Quarterly Results of State Bank of India ------------------. ------------------- .

161.953.58 1.84 3.663.346.39 -635.606.343.869.79 Net Profit 3.51 -671.922.50 5.19 17.63 32.38 2.195.528.916.54 10.54 3.991.41 18.10 Operating Profit 20.36 -671.P a g e | 21 Dec ‘12 Sales Turnover 30.263.85 Tax 1.62 Other Income 3.959.80 32.720.633.95 29.528.07 18.42 2.680.968.04 -10.456.125.56 4.448.415.00 Sep ‘12 Jun ‘12 Mar ‘12 Dec ‘11 29.00 ---55.04 -10.11 Total Expenses 9.00 ---60.85 5.648.47 8.14 -- 28.852.09 --------23.40 20.122.658.00 Source : Dion Global Solutions Limited DATA REGARDING FINANCE OF SBI .91 3.739.019.38 --6.58 --4.56 -- 28.00 -10.01 Interest 19.49 Total Income 33.048.44 --------24.52 Profit On Sale Of Assets -Profit On Sale Of Investments -Gain/Loss On Foreign Exchange -VRS Adjustment -Other Extraordinary Income/Expenses -Total Extraordinary Income/Expenses -Tax On Extraordinary Items -Net Extra Ordinary Income/Expenses -Gross Profit 24.04 -10.04 33.13 16.498.34 1.00 ---51.61 Book Value -Equity 671.75 6.695.69 3.04 -- -- -- -- -- ---54.05 --5.406.787.14 16.726.122.661.16 PBDT 5.85 Depreciation -Depreciation On Revaluation Of Assets -PBT 5.814.06 Prior Years Income/Expenses -Depreciation for Previous Years Written -Back/ Provided Dividend -Dividend Tax -Dividend (%) -Earnings Per Share 50.264.23 18.797.852.37 8.589.189.751.78 3.792.184.05 Reserves -Face Value 10.27 -- 27.511.050.39 --------23.11 4.897.720.518.91 -671.19 --------21.992.396.49 8.30 20.34 --5.05 1.456.312.02 5.

170.988.17 51.600.757.33 756.00 0.04 Capital Share Application 0.07 11.431. Cr.075.04 933.336.719.20 189.00 Money Preference Share 0.15 285.501.00 64.892.857.88 631.00 0.in Rs.519.98 48.00 0.93 Other Liabilities & 80.931.00 0.00 634.131.65 34.647.41 3.20 Mar ‘11 1.70 110.087.727.63 542.00 0.478.053.70 742.82 48.96 10.914.736.831.62 Banks.39 80.88 634.33 7.139.828.578.87 4.00 64.63 15.22 Assets Cash & Balances with RBI Balance with Depreciation Net Block .280.57 Total Debt 1.362.P a g e | 22 Balance Sheet of State Bank of ------------------.31 Mar ‘08 12 mths 12 mths 12 mths 12 mths 12 mths 54.189.786. Money at 43.19 0.790.432.223.06 416.09 Provisions Total Liabilities 1.81 119.04 65.00 0.13 53.41 589.697.89 312.65 5. ------------------- India Mar ‘12 Mar ‘11 Mar ‘10 Mar ‘09 Mar ‘08 12 mths 12 mths 12 mths 12 mths 12 mths Capital and Liabilities: Total Share Capital 671.248.953.032.351.792.30 1.47 0.87 55.27 8.403.57 83.20 Deposits 1.133.501.23 103.073.546.88 634.503.395.28 631.20 275.61 14.053.08 Mar ‘09 721.005.534.36 Borrowings 127.197.00 0.20 804.04 Equity Share 671.652.50 61.658.77 65.413.127.35 105.00 Capital Reserves 83.45 295.932.81 49.90 6.96 1.116.951.00 0.57 13.94 94.66 537.22 Mar ‘12 635.568.00 Reserves Net Worth 83.314.043.60 907.94 51.47 635.713.95 4.915.72 Call Advances Investments Gross Block Accumulated 867.73 3.32 57.526.949.00 0.986.713.849.23 28.83 57.312.574.35 9.401.88 631.290.68 795.403.947.335.13 5.117.73 Mar ‘10 964.768.011.00 634.00 0.46 8.16 Revaluation 0.

40 166.038.733.087.74 37.27 964. 17:002072.50 429.89 776.294.092.917.023.519.251.73 93.35 (1.04 1.917 .85 1.48 Source : Dion Global Solutions Limited DATA REGARDING MARKETING OF SBI BSEMar 28.652.05 205.526.04%) VOLUME 300.44 234.29 1.449.74 585.06 912.44 1.08 44.37 614.736.113.76 152.413.500.76 1.964.112.32 698.02 1.432.064.P a g e | 23 Capital Work In Progress Other Assets Total Assets Contingent Liabilities Bills for collection Book Value (Rs) 332.603.26 53.053.335.417.223.03 721.47 736.18 263.24 43.23 295.777.75 21.20 35.68 332.59 201.

01 2147.31 -28468.in Rs.67 5097.52 13926.10 -1804.880.09%) VOLUME 1.10 -6926.34 Source : Dion Global Solutions Limited FUTURE PROSPECTUS Journey and Vision of SBI .80 51968.93 -2798.15 103110.45 (1.73 10438.24 122874.23 34282.P a g e | 24 NSEMar 28.59 14954.99 14180.69 67466.16 87780.64 29479. 17:002072.62 104403.98 35094.75 22.12 -25710.15 97163.66 2057.87 -1648.52 -1651.02 96183.18 32925.38 19371.56 -1245.53 -1761.11 -3359.18 15716.84 71478.05 122874.90 -856.112 Cash Flow of State Bank of India Net Profit Before Tax Net Cash From Operating Activities Net Cash (used in)/from Investing Activities Net Cash (used in)/from Financing Activities Net (decrease)/increase In Cash and Cash Equivalents Opening Cash & Cash Equivalents Closing Cash & Cash Equivalents ------------------. ------------------Mar ‘12 Mar ‘11 Mar ‘10 Mar ‘09 Mar ‘08 12 mths 12 mths 12 mths 12 mths 12 mths 18483. Cr.

and other electronic channels such as Internet banking. The bank is also looking at opportunities to grow in size in India as well as internationally. The Bank is changing outdated front and back end processes to modern customer friendly processes to help improve the total customer experience. to expand its Rural Banking base. The bank is entering into many new businesses with strategic tie ups – a) b) c) d) e) f) g) h) Pension Funds. SBI Factors.P a g e | 25 The State Bank of India. Structured products etc. It is also focusing at the top end of the market. General Insurance. today it offers the largest banking network to the Indian customer. It is in the process of raising capital for its growth and also consolidating its various holdings. the Bank is the largest provider of infrastructure debt and the largest arranger of external commercial borrowings in the country. SBICAP Securities. SBI Life and SBI Cards Forming a formidable group in the Indian Banking scenario. Point of Sale Merchant Acquisition. looking at the vast untapped potential in the hinterland and proposes to cover 100. Custodial Services. the country’s oldest Bank and a premier in terms of balance sheet size. mobile banking. number of branches. Advisory Services. With four national level Apex Training Colleges and 54 learning Centre’s spread all over the country the Bank is continuously engaged in skill enhancement of its employees. Mobile Banking. With about 8500 of its own 10000 branches and another 5100 branches of its Associate Banks already networked.000 villages in the next years. . The Bank is forging ahead with cutting edge technology and innovative new banking models. The Bank is also in the process of providing complete payment solution to its clientele with its over 8500 ATMs. It has also 7 Subsidiaries in India – a) b) c) d) e) f) SBI Capital Markets. on whole sale banking capabilities to provide India’s growing mid / large Corporate with a complete array of products and services. etc. SBI DFHI. market capitalization and profits. It is the only Indian bank to feature in the Fortune 500 list. debit cards. Today. Private Equity. It presently has 82 foreign offices in 32 countries across the globe.

the State Bank of India is undertaking. O. Bhatt in January 2008. . P. to its Chairman. Network 18 recognized this momentous transformation journey. Mr. to drive home the message of Change and inclusiveness. CONCLUSION State bank of India earlier known as Imperial Bank has proved its existence through introducing various innovative schemes and that also are considered as competitive in present market.P a g e | 26 In a recently concluded mass internal communication program termed ‘Parivartan’ the Bank rolled out over 3300 two day workshops across the country and covered over 130. The CNN IBN.000 employees in a period of 100 days using about 400 Trainers. and has awarded the prestigious Indian of the Year – Business.

com www.scribd.P a g e | 27 In this span of time. At the same time it can be concluded that they need to focus on the human resources in order to achieve the maximum market share. which is experienced by its members and influences their behaviour. a “relatively enduring quality of the internal environment of an organization. Climate is the atmosphere of the organization.com . The study shows that there is no significant difference between culture dimensions and organizational climate. The surveys address attitudes and concerns that help the organization work with employees to instil positive changes.google. Climate dimensions in one way or other affect the level of organizational climate. Climate surveys are studies of employees’ perceptions and perspectives of an organization. In general. they have also come up with new strategies so as to compete in this fiercely competitive market where every next day a new scheme is introduced so as to grab the markets share. BIBLIOGRAPHY www.”Organizational climate may affect quality of service and employee’s commitment and involvement towards the organization. they are aimed at all aspects of the employees’ jobs. It is need to be taken into account while evaluating the organizational effectiveness. The study analyzes everything from an employee’s workload to their relationships with co-workers and superiors to their salary to company policies and anything in between.

wikepedia.moneycontrol.org From the book by C R Kothari www.com www.money.rediff.in www.com/companies/State-Bank-OfIndia/14030001/ratio .com/financials/statebankindia/balance-sheet/SBI#SBI www.Citehr.com/financials/statebankindia/cash-flow/SBI#SBI www.sbi.moneycontrol.P a g e | 28 www.co.