Indian Institute of Management Ranchi

Course Number
BANK MANAGEMENT
Course Outline
MBA, Term 5, 2020-22 Batch

INSTRUCTOR AND CONTACT INFORMATION

Name: Jagan Kumar Sur
E-mail: jagan.kumar@iimranchi.ac.in
Office Tel:

COURSE DESCRIPTION

Functioning of economy and markets heavily relies on banking and financial institutions (FIs).
Banks and FIs play a crucial and integral role in running the economy with subject to the strict
regulations. Banks are at the heart of any economy’s financial system. They play crucial roles
in channelizing funds to the borrowers and protecting and managing our savings. However, in
today’s world banking industry and some of its retail and corporate activities cannot be
compartmented from other ‘non-banking financial institutions’. The growing linkage between
finance, and IT and IT-enabled services has fostered the development of financial products and
their transaction. The integration of economies across the world in the globalization era raises
the importance to study retail and corporate banking.

Course LEARNING OUTCOMES

Develop competency in the analysis of banks financial statements along with banks major functions
Understand best practices in the process of advances
Develop competency in the Treasury & investment banking
Develop competency in the risk management function of a bank, in terms of measuring credit risk,
operational risk, liquidity and interest rate risks
Understand best practices in banking
Learn how to identify potential malfeasance in corporate lending, appreciate basics of corporate
governance
Familiarizing with the banking operations
As a group develop a point of view on digital banking and the role of technology
Develop in depth perspective on the role of central banks and monetary policy
 2

ALIGNMENTS OF INTENDED PROGRAM & COURSE LEARNING OUTCOMES

ALIGNMENTS OF INTENDED PROGRAM AND COURSE LEARNING OUTCOMES

Program Learning Outcomes Course Learning Outcomes
Develop competence in participants to learn Develop in depth perspective on the role of central
and adapt to the dynamic national and banks and monetary policy (maps to PLO 1,2)
international environments and strive for Develop competency in the analysis of banks
excellence. financial statements (maps to PLO 3,4)

Orient the participants to apply knowledge and Understand best practices in process of advances in
understanding of theories and concepts from banking (maps to PLO 5,6,7,8)
basic disciplines and functional areas for
sources of funds, over view of Develop competency in the Treasury & investment
lending/monitoring, creation, growth, and banking (maps to PLO 10,11)
management of organizations.
Develop competency in the risk management
Develop acumen to implement suitable functions of a bank, in terms of measuring credit
strategies by critically analyzing both internal risk, operational risk, liquidity and interest rate
and external organizational environment. risks (maps to PLO 12,13)

Understand various approaches and techniques

relevant to the organizational processes, Learn how to identify potential malfeasance in
models and practices. corporate lending, appreciate basics of corporate
governance (maps to PLO, 16,17)
Develop cultural sensitivity to appreciate
diverse points of view in a global environment. As a group develop a point of view on digital
banking, recent trends in banking and the role of
Exhibit high degree of integrity and ethics in technology (Maps PLO 17,18)
behavior.

REQUIRED COURSE MATERIALS AND READINGS

TEXT BOOK (TB):

Bank Management and financial services by Peter S. Rose and Sylvia C. Hudgins, McGraw Hill Education,
8th Edition. (PS)

REFERENCES:

Financial Stability Report – June 2020 – PDF version, students should download from RBI website•
Relevant RBI Notifications, Bare acts of SARFAESI, DRT, IBC-2016.
 3

EVALUATION

The participants shall be evaluated on a continuous assessment mode using the following
components
+ Mid Term Examination [After the 10th session]
+ End Term Examination [After the completion of the course]
+ Quizzes [There would be two quizzes. First quiz shall be conducted after the 5th session and the
second quiz shall be conducted after the 15th session]
+ Assignment [Assignments to be submitted by the participants on group basis. The assignment
questions shall be communicated to the participants well in advance to the submission deadline.]

GRADING SCHEME

Component Mode Duration Weightage

Mid Term Exam Closed Book 1.5 hours 35%
(Compulsory)
Closed Book
End Term Exam 2 hours 35%
(Compulsory)
Closed Book
Quizzes Maximum of 30 minutes 20%
Individual and Group
Assignments Assignments 10%

Total 100%

ACADEMIC DISHONESTY
i. It may be noted that any kind of copying/plagiarism by any student and/or malpractice in
examinations will be subject to strict disciplinary action under IIM Ranchi rules. If a student
is found guilty in any such case(s), it will be recorded in his/her personal file.

ii. The reports submitted by the students like Summer Project Reports/Term Papers/ Case
Study Report/ Project Report/CIS dissertation paper or any other report will go through the
anti-plagiarism software.

iii. In all cases where the software has reported more than 30% of plagiarism by a student or
group of students, there will be automatic conversion of the grade given in that component
into “F”.

iv. The faculty may even choose to report the matter to the PGP Committee which will
temporarily convert the course grade into “F” or an “I”, issue a show cause to the student
(s) and based upon the response of the student(s) assign any punishment or its combination
from the options below.
a. Expulsion from the Institute
b.Suspension for a specified period
 4
c. “F” grade in the course concerned
d.Scaling down grades obtained in the specific subject
e. Repeating the course
f. Withdrawal of placement services
g.Suspension, withdrawal or made ineligible for scholarships

Course Schedule

Session Topics to be covered in the course Book Chapter, Case and Readings

1-2 Banking, Regulations, Trends in Retail Chapter 1

and Corporate Banking
Rose C and Waggoner S (2010), Note on the Banking
Industry, HBS Np.9-311-011. Boston, MA: Harvard
Business School Publishing
3-4 Financial Statement Analysis of Banks Chapter 5 & 6
https://m.rbi.org.in/Scripts/BS_ViewMasterDirections.aspx?did=342
https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=11565&Mod
e=0
http://www.fatf-gafi.org/about/
5-6 Asset – Liability Management Chapter 7

7-8 Capital management & Basel Accords Chapter 15

Chandrasekhar C P (2008), Beyond Basel for Banking
Regulation, Economic and Political Weekly, Vol. 43, No.
50, pp. 1-2

9-10 Risk Management Asset backed Chapter 8 & 9

securities, Loan Sales, Credit standbys,
and credit derivatives. Risk management
using financial instruments

MID TERM EXAMINATION

11-12 Managing and pricing deposits and loans Chapter 12, 16,17, 18

13-14 Managing Credit Risk & Loan Exercise at the end of chapters 12,16, 17 and 18 for
Management lending policies and procedures

15-16 Managing Non-Deposit Liabilities & Chapter 10, 11 & 13

Investment Functions and Portfolio in
Banks, and Managing Liquidity in Banks

17-18 Non-Banking Finance Companies Mahindra and Mahindra Finance Services Limited:
Empowering Rural Customers in India Rajeev Kumra –
Ivey Publishing
 5

19-20 Future of Corporate/Retail Banking and

Transformation to a New Bank Entity Datar M, Bhatta NM, Krishnan Rishikesha, Tahilyani
(Corporate and Retail) Rachna, Revitalizing state bank of India, Harvard
Business School

END TERM EXAMINATION