Introduction to study

Introduction
Core (Centralized Online Real-time Exchange) banking is a banking service provided
by a group of networked bank branches where customers may access their account and
perform basic transactions from any of the member branch offices.
Core banking is often associated with retail banking and many banks treat the retail
customers as their core banking customers. Businesses are usually managed via
the corporate banking division of the institution. Core banking covers basic depositing
and lending of money.
Core banking functions will include transaction
accounts, loans, mortgages and payments. Banks make these services available across
multiple channels like automated teller machines, Internet banking, mobile
banking and branches.
Banking software and network technology allow a bank to centralize its record
keeping and allow access from any location.

History
Core banking became possible with the advent of computer and telecommunication
technology that allowed information to be shared between bank branches quickly and
efficiently.
Before the 1970s it used to take at least a day for a transaction to reflect in the real
account because each branch had their local servers, and the data from the server in
each branch was sent in a batch to the servers in the data center only at the end of the
day (EOD).
Over the following 30 years most banks moved to core banking applications to support
their operations creating a Centralized Online Real-time Exchange (or Environment)
(CORE). This meant that all the bank's branches could access applications from
centralized data centers. Deposits made were reflected immediately on the bank's
servers, and the customer could withdraw the deposited money from any of the bank's
branches.
Features of Core Banking

1. Customer relationship management features including a 360 degree customer view.

2. The ability to originate new products and customers.
3. Banking analytics including risk analysis, profitability analysis and provisions for
capital reserve allocation and collateral management.
4. Banking finance including general ledger and reporting.
5. Banking channels such as teller systems, side counter applications, mobile banking
and online banking solutions.
6. Best practice workflow process.

Advantages of Core Banking

1. Limited Professional Manpower to be utilized more effectively.
2. Customer can have anywhere, more convenient and easier banking.
3. ATM, Interest Banking, Mobile Banking, Payment Gateways etc. are available.
4. More strong and economical way of management information system.
5. Reduction in branch manpower.

Disadvantages of core banking

1. Excessive reliance on technology v any failure in computer systems can cause
entire network to go down.
2. If data is not protected properly and if proper care is not taken , hackers can
gain access to the sensitive data

Objectives of the study

1. To get detail knowledge about core banking in Kotak Mahindra bank.

2. To know how online transactions takes place.
3. To know how helpful core banking is to the banks.
4. To study all the online process of the banking sector.
 Introduction to company
Kotak Mahindra bank
Introduction
Kotak Mahindra Bank is an Indian private sector bank headquartered
in Mumbai, Maharashtra, India. In February 2003, Reserve Bank of India (RBI) issued
the licence to Kotak Mahindra Finance Ltd., the group's flagship company, to carry on
banking business.
It offers a wide range of banking products and financial services for corporate and
retail customers through a variety of delivery channels and specialized subsidiaries in
the areas of personal finance, investment banking, general insurance, life insurance,
and wealth management.
Kotak Mahindra Bank has a network of 1,369 branches across 689 locations and 2,163
ATMs in the country (as of 31 March 2017). In 2018, it is the second largest private
bank in India by market capitalization after HDFC Bank.

Type Public

Traded as BSE: 500247

NSE: KOTAKBANK
CNX Nifty Constituent

Industry Banking, financial service

Founded February 2003

Founders Uday Kotak

Headquarters Mumbai, Maharashtra, India

Key people  Prakash Apte

(Chairman)
  Uday Kotak
(MD & CEO)
Products Credit cards, consumer
banking, corporate
banking, finance and
insurance, mortgage
loans, private
banking, wealth
management, investment
banking
Revenue ₹21,176.09
crore(US$2.9 billion) (2017)
Operating ₹5,984.81
income crore(US$830 million)
(2017)
Net income ₹3,411.50
crore(US$470 million)
(2017)
Total assets ₹214,589.95
crore(US$30 billion) (2017)
Number of 33,013 (2017)
employees
Subsidiaries Kotak Mahindra General
Insurance
Capital ratio 16.77%
Website www.kotak.com

History
In 1985 Uday Kotak established what an Indian financial services conglomerate
became. In February 2003, Kotak Mahindra Finance Ltd. (KMFL), the Group's
flagship company, received a banking license from the Reserve Bank of India (RBI).
With this, KMFL became the first non-banking finance company in India to be
converted into a bank – Kotak Mahindra Bank Limited (Kmb) ltd.
In a study by Brand Finance Banking 500, published in February 2014
by Banker magazine (from The Financial Times stable), KMBL was ranked 245th
among the world's top 500 banks with brand valuation of around half a billion dollars
($481 million) and brand rating of AA+.
 Name Roll Number

Monika Rathi 51

Yash Mirajkar 32

Subject :- Business Research Decisions

Class :- FYMBA
Division :- A
Topic :- Core Banking