Activity II

On Banking

Prepared by Aravind (PGDM FC)

On Banking

Objective—Report Covering The Following Aspects

 Customer service
 Technological change
 Innovation in bank marketing

Presently the banking in India is passing through a period of transaction. The manual banking is giving way to
e-banking. The public sector banks are facing real challenges from the new generation banks and foreign
banks. Customers have started demanding better service from the banks—something which they never did
fifteen years before. Like in other sectors, the expectation of the customers has also gone up in banking sector.
On Banking
Introduction
Bank is defined as a person who carries on the business of banking. Banks also perform certain activities
which are ancillary to this business of accepting deposits and lending. Since Banking involves dealing directly
with money, governments in most countries regulate this sector rather stringently.
Top Banks of India In Different Fields
Field Bank Name Rank

Punjab National Bank 1

Nationalized Banks
Bank of Baroda 2
HDFC Bank 1
New Private Sector Banks
Axis Bank 2
Federal Bank 1
Old Private Sector Banks
Tamilnad Mercantile Bank 2
JP Morgan 1
Foreign Banks
Citi Bank 2

Credit Quality Indus Land Bank 1

Source: The Financial Express Mar 2010

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 On Banking

Customer Service

Quality customer service is essential to building cordial customer relationship. Customer service is the most

important duty of the banking operations. Prompt and efficient service with smile will develop good public

relations reduce complaints and increase business. Now lets see how the customers are using the

banking services.

ATM 55.0

Branch 34.1

Internet 5.2

Mobile 3.8

Telephone 1.9

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On Banking
Technology Change
A lot needs to be done on the technological front to keep in pace with the global economies, as is evident from

the survey results. Technology systems of Indian banks have been rated more advanced than Brazil and

Russia but below par with China, Japan, Hong Kong, Singapore, UK and USA.

Technology Change With Respect To Countries

120.00

100.00
12.50
22.22
80.00 33.33 33.33 33.33 33.33
50.00 50.00 25.00
22.22
60.00 11.11 11.11
22.22

40.00 25.00
37.50 66.67 62.50
55.56 55.56 55.56
20.00 44.44
25.00
12.50
0.00
China Japan Brazil Russia Hong Kong Singapore UK USA

Below Par At Par Above Par

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On Banking
Technology Change
A lot needs to be done on the technological front to keep in pace with the global economies, as is evident from

the survey results. Technology systems of Indian banks have been rated more advanced than Brazil and

Russia but below par with China, Japan, Hong Kong, Singapore, UK and USA.
Technology Change With Respect Technology Change In Different
To Countries Banking Sectors
120.00 Old Private
Sector Banks
100.00 12%
12.50
22.22
80.00 33.33 33.33 33.33 33.33
50.00 50.00 25.00
Public Sector
22.22
60.00 11.11 11.11 Bnaks New Private
22.22 Sector Banks
14%
40.00 43%
25.00
37.50 66.67 62.50
55.56 55.56 55.56
20.00 44.44
25.00
12.50
0.00
UK
China

Japan

Russia

Hong Kong
Brazil

USA
Singapore

Foreign Banks
31%

Below Par At Par Above Par

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On Banking

Innovation In Banking Market

All major developments in the banking and financial sector in India in the next five years will revolve around

three main processes. These three processes are in motion and will be well on the way to completion within

the next three years. They are

 Consolidation of existing national clearing and settlement mechanisms along with the universalization

of electronic payments systems

 Quantification and management of risk sensitivity driven by Basel II norms

 Universal Financial Inclusion

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On Banking
Conclusion

India’s banking system is one of the largest in the world. India has 20 banks within the world’s top 1000 out of

which only 6 are within the top 500 banks

The Indian Banks That Made It To The Top List In Global Ranking

Size Assets Profits (Pre-tax)

Name Global Rank in $ mn in $ mn
State Bank of India 64 256,124 3,470

ICICI Bank 81 121,450 779

Punjab National Bank 239 49,774 824

HDFC Bank 242 35,974 648

Bank Of India 263 44,852 490