MANGALORE INSTITUTE OF TECHNOLOGY AND

ENGINEERING, MOODBIDRI
Organization Study on
STATE BANK OF INDIA

By
Farzeen Shafi
4MT19MBA23
Submitted to

MANGALORE INSTITUTE OF TECHNOLOGY AND ENGINEERING,

MOODBIDRI

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of

Prof. Pradeep
Faculty of MBA department
MITE Moodbidri

DECLARATION
I, Farzeen shafi , here by declare that the project report entitled “organization
study” with reference to “STATE BANK OF INDIA” prepared under the guidance
of prof. Pradeep, faculty of MBA department Mangalore institute Technology
and Engineering. I also declare that this project work is towards the partial
fulfilment of university regulations for the award of the Master of Business
Administration by Visvesvaraya Technological University, Belgaum. I have
undergone an online study for a period of four weeks. I further declare that this
project is based on original study undertaken by me and has not been submitted
for the award of any degree/diploma from any other University/Institution.

Place: Udupi
Date:10\9\2020 Signature of the student
 ACKNOWLEDGEMENT

I express my profound gratitude and sincere thanks to Dr G L Easwara prasad principal of

Mangalore Institute of Technology and Engineering Moodbidri
First and foremost, I would like to thank Prof Pradeep ,department of MBA Mangalore
Institute of Technology and Engineering Moodbidri who supervised this organization
study. And I m thankful to for his wonderful support. I am very thankful to my teachers
and friends who have helped me a lot in collecting necessary information. Their
loving and caring words of praise have really encouraged me.

Thanking You
Farzeen Shafi

INDEX

SL.NO CHAPTERS PAGE NO

Executive summary

C HAPTER 1: Introduction about the Organisation study,

Industry profile.
 C HAPTER 2: Organizational Profile

2.1: Background
2.2:Organisation
Structure
2.3:Nature of Business
2.4:Vision Mision and value
2.5:Workflow model
2.6:Service profile
2.7:Achivements/awards
2.8:Future growth and prospectus
2.9:Ownership Pattern
C HAPTER 3: 7’s model and Porter model
with reference to organization under study

C HAPTER 4: SWOT Analysis

C HAPTER 5: Analysis of Financial statement

C HAPTER 6: Learning Experience

Bibliography
 EXECUTIVE SUMMARY

This project title Organization study of STATE BANK OF INDIA carried out for a period of 4
weeks commencing from 1ST AUGUST 2020 to 10 September 2020 under the guidance of Prof.
Pradeep , Department of Master of Business Administration is submitted in partial fulfillment of
the requirement for the award of Master of Business Administration.
This report is presented in terms of various chapters such as industry profile, company profile,
McKinsey 7s model, SWOT analysis, analysis of financial statement. In this four week of
duration, there was a good exposure for learning towards the operation of the organization and
also how the organization deals with the employees.

There is detailed discussion on about the introduction of the Organization Study, Banking
industry profile. The industry profile includes background, nature of business, vision, mission,
quality policy of the company. It also includes ownership pattern.

The report also includes McKinsey 7s model with special reference to STATE BANK OF
INDIA and SWOT analysis to understand all sorts of situations in organization.

The report includes the analysis of the financial statement and ratios .
 STATE BANK OF INDIA
INTRODUCTION:
The State Bank of India (SBI) is an Indian multinational, public sector banking and financial
services statutory body. It is a government corporation statutory body headquartered in Mumbai,
Maharashtra. In the year 1806 India’s very first major Bank was established named Bank of
Calcutta. It was mainly formed for British Business. And later it was followed by Bank of
Bombay (1860) and Bank of Madras. In the year 1921 these three Banks were merged and it
became Imperial Bank of India. And in the year 1955 State Bank of India was established. Since
SBI is an important Bank our then Prime Minister Jawaharlal Nehru appointed Ex- Finance
minister as Chairman of SBI. On 1st October 1959 SBI got its first subsidiary i.e. SBI Hyderabad.
In 1960s India witnessed Industrial Revolution in which SBI had financially supported like Iron
and steel. Besides this in 1970s India had witnessed Green Revolution.
The Bank aims to have strong commercial Bank under the control and supervision of
Government.
Rural Development Banking Development
Mobilize the savings among rural and provide credit to them
Strengthen Co-operative societies
Assist RBI in implementation of policy
RBI plays various roles such as:
Central Banking Functions
1)Acts as RBI agent where there is no access to RBI.Whenever RBI is absent SBI will act as
RBI’s agent.
2)Bankers Bank
3)Buys and sells securities on behalf of Government
4)Bankers to Government
5) It acts as a clearing house where RBI has no branch
6)Accepts Deposits
7)Provides loans and advances
8)Deals with Bills of Exchange
9)Finance Foreign Trade
10)Foreign Currencies

Banking industry profile: Banks are the financial institutions, which sustain and stimulate
business. Finance is the fundamental foundation of every business activity and banks of different
types furnishes it. Banks are therefore called as reservoirs of money and credit available for
productive investment in industry and commerce. The modern business world would not have
reached such an extensive and impressive pitch but for the existence of a wide network of
banking concerns specializing in creation and disbursement of credit.

The word bank has been derived from the Latin word ‘BANCUS’ OR ‘BANQUE’ which means
a bench. The early bankers transacted their business on benches in market place. The Indian
banking industry, which is governed by the Banking Regulation Act of 1947, can be broadly
classified into two major categories, non- schedule banks and scheduled banks. Scheduled banks
comprise commercial banks and cooperative banks. In terms of ownership, commercial banks
can be further classified into nationalized banks.
The banking industry plays a dynamic role in the economic development of a country. The
growth of the economy depends on the robustness of its banking industry. Banks acts as
storehouse of the country’s wealth. They accept deposits from individual and corporates and lend
to corporate as well as retail customers. They use the deposits collected for productive purposes
which help in the capital formulation in the country.
Banking in India
In India as early as the Vedic era, banking existed in its crude form. References to deposits,
policy of loans and rates of interest can be found in the works of Manu. Earlier the banking
operations were conducted by indigenous bankers and they dominated finance to the extent that
they used to provide credit to even the government of those days.
Modern banking in India emerged between the 18th and the beginning of the 19th centuries
when European agency houses erected a structure of European controlled banks with limited
liability. The first bank was set up in Madras by the officers of East India Company in the year
1683. The first joint stock bank was Bank of Bombay established in the year 1720 in Bombay,
followed by Bank of Hindustan in Calcutta, which was established in the year 1770.
Three presidency banks – the Bank of Bombay, the Bank of Madras and the Bank of Bengal –
which were set up between 1809 and 1843, were amalgamated into the Imperial Bank of India in
1921. The role of the Imperial bank was that of a commercial bank, banker’s bank and a banker
to the government. The Imperial Bank of India eventually became the State Bank of India.
The first Indian owned bank was the Allahabad Bank set up in Allahabad in 1865 followed by
Punjab National Bank which was set up in 1895 in Lahore. Swadeshi
Movement which began in the year 1906 encouraged the establishment of more Indian owned
banks. Between the periods 1906 to 1913, many Indian owned banks such as Bank of India,
Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank and Bank of Mysore were set
up.
Between 1947 and 1969, banks were under private ownership of the maharajas, or kings of the
princely states of India. Due to which they used to often limit their services only to the rich
families and industrial houses. To overcome this limitation, the government joined hands with
the RBI to enact the Banking Companies Act in 1949, which was later renamed as the Banking
Regulation Act. This move by the government provided extensive regulatory powers to the
Reserve Bank of India.
In order to extend the banking services and encourage economic growth and better regional
balanced development, 14 erstwhile private sector banks were nationalized on July 19, 1969 and
another six, viz, Andhra Bank, Corporation Bank, New Bank of India, Oriental Bank of
Commerce, Punjab and Sind Bank, and Vijaya Bank were nationalized in 1980.
The process of reforms and structural adjustments that followed, ultimately led to the reforms,
deregulation and globalization in the beginning of the twenty-first century. Consequent upon the
formation of the Narsimhan Committee in 1991, there were major changes including reduction in
CRR/SLR, level playing field for all players in market, rationalization in branch licensing,
enhanced role to private and foreign banks, introduction of prudential norms as per BIS,
including norms for capital adequacy, income recognition, classification of assets and
provisioning, interest rate deregulation, changes in directed cheap credit, asset recovery funds,
special tribunals for recovery, phasing out of concessional directed finance, liberalized capital
markets, entry to foreign banks and foreign h The evolution of State Bank of India can be traced
back to the first decade of the 19th century. It began with the establishment of the Bank of
Calcutta in Calcutta, on 2 June 1806. The bank was redesigned as the Bank of Bengal, three
years later, on 2 January 1809. It was the first ever joint-stock bank of the British India,
established under the sponsorship of the Government of Bengal. Subsequently, the Bank of
Bombay (established on 15 April 1840) and the Bank of Madras (established on 1 July 1843)
followed the Bank of Bengal. These three banks dominated the modern banking scenario in
India, until when they were amalgamated to form the Imperial Bank of India, on 27 January
1921.olding in native banks, etc.
CHAPTER-2
BACKGROUND
The evolution of State Bank of India can be traced back to the first decade of the 19th century. It
began with the establishment of the Bank of Calcutta in Calcutta, on 2 June 1806. The bank was
redesigned as the Bank of Bengal, three years later, on 2 January 1809. It was the first ever joint-
stock bank of the British India, established under the sponsorship of the Government of Bengal.
Subsequently, the Bank of Bombay (established on 15 April 1840) and the Bank of Madras
(established on 1 July 1843) followed the Bank of Bengal. These three banks dominated the
modern banking scenario in India, until when they were amalgamated to form the Imperial Bank
of India, on 27 January 1921.
An important turning point in the history of State Bank of India is the launch of the first Five
Year Plan of independent India, in 1951. The Plan aimed at serving the Indian economy in
general and the rural sector of the country, in particular. Until the Plan, the commercial banks of
the country, including the Imperial Bank of India, confined their services to the urban sector.
Moreover, they were not equipped to respond to the growing needs of the economic revival
taking shape in the rural areas of the country. Therefore, in order to serve the economy as a
whole and rural sector in particular, the All India Rural Credit Survey Committee recommended
the formation of a state-partnered and state-sponsore The All India Rural Credit Survey
Committee proposed the take over of the Imperial Bank of India, and integrating with it, the
former state-owned or state-associate banks. Subsequently, an Act was passed in the Parliament
of India in May 1955. As a result, the State Bank of India (SBI) was established on 1 July 1955.
This resulted in making the State Bank of India more powerful, because as much as a quarter of
the resources of the Indian banking system were controlled directly by the State. Later on, the
State Bank of India (Subsidiary Banks) Act was passed in 1959. The Act enabled the State Bank
of India to make the eight former State-associated banks as its subsidiaries.

The State Bank of India emerged as a pacesetter, with its operations carried out by the 480
offices comprising branches, sub offices and three Local Head Offices, inherited from the
Imperial Bank. Instead of serving as mere repositories of the community's savings and lending to
creditworthy parties, the State Bank of India catered to the needs of the customers, by banking
purposefully. The bank served the heterogeneous financial needs of the planned economic
development bank.
ORGANISATION STRUCTURE:
The organization structure of state Bank of India
Chairman
Managing Director
Deputy Managing Directors
General Mangers
Deputy General Managers
Assistant General Managers
Chief Managers
Managers
Deputy Managers
Clerical Staff
Sub Staff
Chairman and Managing Directors is only applicable for SBI. The organization structure of its
associate banks will Deputy Managing Directors.
NATURE OF SBI.
Service Satisfaction of the customers is an invaluable asset of the SBI providing unmatched
competitive edge. It helps in building long term relationship as well as brand equity. Besides
giving a loans and taking the deposits , sbi can be differentiate from other financial institutions
because they are only institution only which can provide transaction accounts .Accounts can be
opened for the retail clients, SME clients (small and medium) and for the corporate clients or
enterprise clients. Deponents deposit their funds will be used for the dispersion and creation of
other loan and financial instruments. Banks are institutions which provide and hold liquidity
sustainable flow for all the financial and non-financial institutions. Best and easiest way to
understand banking system and how is it working.
SBI has 206 overseas offices spread over 27 countries. They have 22414 branches of the parent
in Colombo Dhaka, Frankfurt
Mission of SBI:
Committed to provide simple, responsiveness and innovative financial solutions
Vision Of SBI:
Be the Bank of choice for transforming India.
Value of SBI:
Service\Transparency\Ethics\politeness\ sustainability.

Work flow model

State Bank of India

(SBI) will switch to a
cash flow-based lending model beginning April 2020 from a mechanism where loans are given
against assets, Stated by chairman Rajnish Kumar
The new framework for loan sanctions will apply to large companies as well as small
enterprises.
As Banks in India have traditionally lent to companies against their assets.
Cash flow-based lending is widely considered to be a more efficient and safe way of mitigating
risk as it reduces discretion on the part of the lender

SOME OF THE SERVICES OFFERED BY SBI

SAVING BANK ACCOUNT
Basic Saving Bank Account
This account can be opened by any individual provided he/she has valid KYC documents.
Primarily meant for poorer sections of society to encourage them to start saving without any
burden of charges or fees.
Features
Available at all branches
Minimum balance amount Nil
Maximum balance /amount No upper limit
No Cheque Book facility available.
Withdrawals only using withdrawal form at Branches or through ATMs.
Basic Rupay ATM-cum-debit card will be issued.
Eligibility
All individuals having valid KYC documents are eligible to open BSBD Account.
Singly, jointly, or with Either or Survivor, Former or Survivor, anyone or Survivor etc. facility.

BASIC SAVING SAVING DEPOSITE:

This account can be opened by any individual provided he/she has valid KYC documents.
Primarily meant for poorer sections of society to encourage them to start saving without any
burden of charges or fees.
Features
Available at all branches
Minimum balance amount Nil
Maximum balance /amount No upper limit
No Cheque Book facility available.
Withdrawals only using withdrawal form at Branches or through ATMs.
Basic Rupay ATM-cum-debit card will be issued.

Eligibility
All individuals having valid KYC documents are eligible to open BSBD Account. Most
Important Terms & Conditions
Singly, jointly, or with Either or Survivor, Former or Survivor, anyone or Survivor etc. facility.
TERMS AND CONDITIONS
The Customer cannot have any other Savings Bank Account, if he/she has a Basic Savings Bank
Deposit Account. If the customer already has a Savings Bank Account, the same will have to be
closed within 30 days of opening a Basic Savings Bank Deposit Account.
Maximum 4 cash withdrawals free of cost in a month, including ATM withdrawals at own and
other Bank's ATMs, Cash withdrawal at Branch Channel, AEPS cash transactions. Thereafter,
cash transaction is permitted with a levy of service charges Rs.15/- + GST for every additional
cash transaction.
SAVING BANK ACCOUNT:
Features
Mobile banking
SMS Alerts
Inter-Net banking
YONO
State Bank Anywhere
SBI Quick Missed call facility.
First 10 cheque leaves free in a financial year
Thereafter:
10 Leaf Cheque Book at Rs 40/-+GST
25 Leaf Cheque Book at Rs 75/-+GST
Restricted free withdrawals based on Monthly Average Balance maintained.
The facility of transfer of accounts through Internet Banking channel.
Nomination facility is Available
Monthly Average Balance: NIL
No limit on Maximum balance
A Passbook is issued to record the transactions. Duplicate passbook can be issued if original is
lost, on payment of charges. Statement of accounts can also be sent through e-mail.
Eligibility
All individuals/Central/State Govt Departments (if eligible to open SB accounts) such as:
Govt depts. /bodies/agencies in respect of grants, subsidies released for implementation of
various programmes /schemes sponsored by Central Government/State Governments subject to
production of an authorization from the respective Govt depts to open Savings Bank account.
Development of Women and Children in Rural areas
Self-help Groups, etc.
Mode of Operation: Single/Jointly/Either or survivor/ Former or survivor, Later or survivor, etc.
SAVING ACCOUNT FOR MINOR:

Monthly Average Balance (MAB) requirement not applicable

Maximum Balance Rs. 10 lakhs
Cheque book
PehlaKadam: Cheque-books are available
Where Mobile No. Of the account holder is recorded.
Specially designed Personalised chequebook (with 10 cheque leaves) will be issued to the
Guardian in the name of minor under guardian.
PehliUdaan : Cheque-books are available
Where Mobile No. Of the account holder is recorded. Specially designed Personalised
chequebook (with 10 cheque leaves) will be issued if the minor can sign uniformly.
Photo ATM-cum-Debit Card
PehlaKadam: Child's photo embossed ATM-cum-Debit Card with withdrawal/POS limit of Rs.
5,000/-.
Card will be issued in the name of the minor and Guardian.
PehliUdaan: Photo embossed ATM-cum-Debit with withdrawal/POS limit of Rs. 5,000/- will be
issued in the name of the minor.
Mobile Banking
PehlaKadam: With viewing rights and limited transaction right like: Bill payment, Top ups. Per
day transaction limit of Rs. 2,000/-
PehliUdaan: With viewing rights and limited transaction right like - Bill payment, Top ups,
IMPS. Per day transaction limit of Rs. 2,000/-
Auto sweep facility with a minimum threshold of Rs. 20,000/-. Sweep in multiple of Rs 1,000/-
with a minimum of Rs. 10,000/-
Overdraft for Parents/Guardians
PehlaKadam: Overdraft against Fixed deposits for parent/guardian subject to fulfilling other
terms and conditions.
PehliUdaan: No overdraft facility under this product
An option of setting up of one Standing Instruction for Recurring Deposit, free of charge.
Personal Accident Insurance Cover (offered by SBI General) for the Parent (in case of Pehla
Kadam account only).
Smart Scholar (Market Linked) - Child Plan offered by SBI Life with inbuilt premium waiver
benefit and loyalty additions to fulfil the child's dreams.
Internet Banking
PehlaKadam : With Enquiry rights and limited transactions like - Bill payment, Opening e-Term
Deposit (e-TDR)/ e-Special Term Deposit (e-STDR)/ e-Recurring Deposit (e-RD), Inter-Bank
funds transfer (NEFT only), and Issue Demand Draft.
Per day transaction limit of Rs. 5,000/-
PehliUdaan : With Enquiry rights and limited transactions like - Bill payment, Opening e-Term
Deposit (e-TDR)/ e-Special Term Deposit (e-STDR)/ e-Recurring Deposit (e-RD), Inter-Bank
funds transfer (NEFT only), and Issue Demand Draft.
SAVING BANK PLUS
Features
Period of deposit is 1-5 Years
ATM card
State Bank Anywhere
Mobile banking
Internet banking
SMS alerts
Loan against MOD deposits available
Minimum threshold limit for transfer to MOD - Rs. 35000
Minimum amount of transfer to MOD Rs. 10,000/- in multiples of Rs 1,000/- at one instance.
25 free cheque leaves per annum. Further cheques will be issued with charges based on Quarterly
Average balance maintained by the customer.
Restricted free withdrawals based on Monthly Average Balance maintained.
Transfer of accounts through Internet Banking
Maximum Balance No Limit
A Passbook is issued to record the transactions. Duplicate pass book can be issued if original is
lost, on payment of charges. Statement of accounts can also be sent through e-mail.
Monthly Average Balance: NIL
As per RBI guidelines for identifying census centre
Eligibility
All individuals having valid KYC documents are eligible to open Savings bank account.
Singly, jointly, or with Either or Survivor, Former or Survivor, Anyone or Survivor, etc. facility.
MACT CLAIMS SB ACCOUNT:
Features
Cheque book
Debit Card
ATM Card
Welcome Kit
Internet Baking
Mobile Banking facility will be available with the permission of the Court only.(System
Development to block these facilities is in progress. Till such development is made, branches
should not provide these facilities without the permission of the Court.)
Only single operation.
In case of Minor accounts, the operation will be through guardian.
Withdrawal by withdrawal slips only.
Withdrawal by Bio-Metric Authentication (under development. Process will be advised shortly)
Only New accounts will be allowed to be opened under this product. conversion from existing
SB account to this product and vice versa not allowed.
The Product is available at all branches of the Bank. However, as per the directions of the Court,
the account should be opened only at the branch near to the residence of the claimants.
Account Transfer is not allowed without the permission of the Court. (System development is in
progress. Till such development is made, branches should not accede the request for transfer
without the permission of the Court.)
Nomination is available
Minimum/Maximum Balance Requirement is not applicable
Passbook is available
Statement by e-mail is available
Eligibility
All Individuals including Minors (through guardian) having valid KYC documents are eligible to
open account in single name.
RESIDENT FOREIGN CURRENCY (DOMESTIC) ACCOUNT
Now a Resident Indian can open and maintain a foreign currency account to retain the foreign
exchange acquired through various means as given below. Account can be maintained in USD,
GBP and EURO currency.
Features
It is a Non-Interest-bearing Current Account.
No cheque book or ATM card.
The Minimum Balance required to be maintained is USD 500, GBP 250 and EURO 500.
The balance in the account is freely repatriable.
Eligibility
A person singly or jointly along with a person resident in India can open RFC (D) account

Special Condition
Conversion of account balance:- As per RBI guidelines, the sum total of all the credits received
in RFC (Domestic) account during a calendar month, less amount utilized, should be converted
into Indian Rupees (crystallize) on or before the last working day of the succeeding calendar
month after making adjustments for forward commitments.
INVESTMENTS AND DEPOSITS:
Payment of interest at Monthly/Quarterly/Calendar quarter basis as per your requirement.
Payment of Monthly interest will be at discounted rate. Interest will be paid at the contracted rate
irrespective of change in the rates thereafter.
Senior Citizens get 0.25% extra interest rate for amount above Rs 10,000/-
Tenure : 7 days to 10 years.
Minimum Deposit is Rs.1000/-
Maximum Deposit : No Limit
Loans / OD upto 90% of the Principal deposit. For details click here: Loan Against Time Deposit
Nomination facility available
Premature Withdrawal w.e.f. 01.04.2017 is Available.
For Retail Term Deposit up to Rs 5.00 lacs, the penalty for premature withdrawal will be 0.50%
(all tenors).
For Retail Term Deposits above Rs 5.00 lacs but below Rs 1 crore, applicable penalty will be 1%
(all tenors).
The interest shall be 0.50% or 1% below the rate applicable at the time of Deposits for the period
Deposit remained with the Bank or 0.50% or 1% below the contracted rate, whichever is lower.
However, no interest will be paid on Deposits which remain for a period of less than 7 days.
TDS at prevalent rate is deducted at source if Form 15G/15H not submitted.
Flexibility to convert Term Deposit (regular interest payout) to STDR (cumulative interest
payout) and vice versa.
Automatic renewals will take place only where there is no maturity instructions recorded at the
time of opening the Term Deposit account or any time before maturity of deposit.
Most important Terms and Conditions:
Interest can be paid on monthly intervals on discounted rate.
Interest can also be paid at Calendar quarter basis.
TDS at prevalent Income tax rate is deducted if Form 15G/15H not submitted.
Auto renewal is exercised if maturity instructions are not given.
RECURRING DEPOSITS:
Recurring Deposit is a product to provide a person with an opportunity to build up saving
through regular monthly deposits of fixed sum over a period of time

Features
Period of deposit Minimum - 12 months, Maximum - 120 months
Available at all branches
Minimum deposit amount is Rs. 100/- per month (thereafter in multiples of Rs. 10/-)
Maximum Deposit Amount : No Limit
Penalty charges for non-Deposit of monthly Instalments:
For a/c with maturity period 5 years and less Rs. 1.50 per Rs. 100/- per month
For a/c with maturity period above 5 years- Rs. 2.00 per Rs. 100/- per month.
A service charge of Rs. 10/- will be levied on Recurring Deposit accounts paid out on or after the
date of maturity, wherein there is default in payment of three or more consecutive instalments
and the account has not been regularized.
In case six consecutive instalments are not received, the account shall prematurely be closed and
balance paid to the account holder.
Instructions for disposal of maturity proceeds are accepted at the time of opening of accounts.
Nomination : Available
Universal Passbook will be issued.
Loans/OD up to 90% of deposited amount available
Transferability among our Branches : Allowed
Rate of Interest as applicable to Term Deposits
The interest rate payable to SBI Staff and SBI pensioners will be 1.00% above the applicable
rate.
The rate applicable to all Senior Citizens of age 60 years and above will be 0.50% above the
applicable rate.

Terms and Condition

Premature Closure available.
For Term Deposit upto Rs 5.00 lacs, the penalty for premature withdrawal will be 0.50% (all
tenors).
For Term Deposits above Rs 5.00 lacs, applicable penalty will be 1% (all tenors).
The interest shall be 0.50% or 1% below the rate applicable at the time of Deposits for the period
Deposit remained with the Bank or 0.50% or 1% below the contracted rate, whichever is lower.
However, no interest will be paid on Deposits which remain for a period of less than 7 days.
TDS is applicable as per Income Tax Rules.
Form 15G/H can be submitted by the Depositor to get exemption from tax deduction as per
Income Tax Rules.
SBI FLEXI DEPOSITE:
Features
Singly or jointly
To enable our customers to place long term deposits to earn attractive rate of interest along with
a flexibility in choosing the deposit amount.
Personal Segment
Recurring Deposit (Variable deposit) account.
Minimum - 5 years / Maximum - 7 years
Available at all branches (except specialized credit intensive branches) all over India.
Rs. 5,000/- per Financial Year (in multiples of Rs. 500/-) minimum of Rs. 500/- at any one
instance. Deposits can be made anytime during a month and any number of times.
Maximum deposit amount Rs. 50,000/- in a Financial Year.
Penalty for default in payment of minimum deposit will be Rs.50/- per Financial Year
Nomination Available
Universal Passbook will be issued.
Loans / OD up to 90% of the Principal deposit.
Transferability among our branches allowed
Rate of interest As applicable to Term Deposits
The interest rate payable to SBI Staff and SBI pensioners will be 1.00% above the applicable
rate.
The rate applicable to all Senior Citizens of age 60 years and above will be 0.50% above the
applicable rate.

Eligibility
Resident individuals, including minors.

Terms and Conditions

Premature closure Available.
For Deposit up to Rs 5.00 lacs, the penalty for premature withdrawal will be 0.50% (all tenors).
For Deposit above Rs 5.00 lacs, applicable penalty will be 1% (all tenors).
The interest shall be 0.50% or 1% below the rate applicable at the time of Deposits for the period
Deposit remained with the Bank or 0.50% or 1% below the contracted rate, whichever is lower.
However, no interest will be paid on Deposits which remain for a period of less than 7 days.
Tax deduction at source applicable as per Income Tax Rules.
Form 15G/H can be submitted by the Depositor to get exemption from tax deduction as per
Income Tax Rules.
ANNUITY DEPOSITE SCHEME:
To enable the depositor to pay one-time lump sum amount and to receive the same in Equated
Monthly Instalments (EMIs), comprising a part of the principal amount as well as interest on the
reducing principal amount, compounded at quarterly rests and discounted to the monthly value.

Features
To enable the customer to deposit one time lump sum amount and receive re-payment of the
same in monthly annuity instalment comprising part of the principal amount plus interest.
Period of deposit from 36/60/84 or 120 months
Available at all branches (except specialized credit intensive branches) all over India.
Amount Based on minimum monthly annuity Rs 1000/- for the relevant period.
In no case Minimum Amount of deposit should be below Rs. 25,000/-
Maximum deposit amount No Limit
Rate of interest as applicable to Term Deposits.
The interest rate payable to SBI Staff and SBI pensioners will be 1.00% above the applicable
rate.
The rate applicable to all Senior Citizens of age 60 years and above will be 0.50% above the
applicable rate.
Payment of annuity On the anniversary date of the month following the month of deposit.
If that date is non-existent (29th, 30th & 31st), it will be paid on the 1st day of the next month.
Annuity payment, net of TDS, will be credited to linked SB/CA account.
Nomination is Available
Overdraft/loan up to 75% of the balance amount of annuity may be granted on special cases.
After disbursal of OD/loan, further annuity payment will be deposited in loan account only.
Universal Passbook is issued.
Transferability among our branches Allowed
Terms and Conditions
Premature closure is Permitted in case of death of depositor. Premature payment is also allowed
for deposits up to Rs. 15.00 lacs.
Pre- mature penalty is chargeable as applicable to Term Deposit.
SBI TAX SAVING SCHEME:
Features
Type of Account : Term Deposit (TD) account / Special Term Deposit (STD) account.
Minimum period of deposit – 5 Years
Maximum period of deposit - 10 Years
Available at all branches (except specialized credit intensive branches) all over India.
Minimum deposit amount Rs. 1,000/- and in multiples of Rs. 100/- thereafter.
Features
Type of Account : Term Deposit (TD) account / Special Term Deposit (STD) account.
Minimum period of deposit – 5 Years
Maximum period of deposit - 10 Years
Available at all branches (except specialized credit intensive branches) all over India.
Minimum deposit amount Rs. 1,000/- and in multiples of Rs. 100/- thereafter.
Maximum deposit amount not exceeding Rs. 1,50,000/- in a year
Rate of interest as applicable to Term Deposits
The interest rate payable to SBI Staff and SBI pensioners will be 1.00% above the applicable
rate.
The rate applicable to all Senior Citizens of age 60 years and above will be 0.50% above the
applicable rate.
Payment of interest as applicable to Term Deposit/ Special Term Deposit
TDS is applicable at prevalent rate. Form 15G/H can be submitted by the depositor to get
exemption from Tax deduction as Income Tax Rules.
Nomination available
Loan facility not available during the lock in period of five years. After five years as per the
extant instruction of Term Deposit (TD)/ Special Term Deposit (STD)
Transferability among our branches Allowed.
Eligibility
Resident Indians for himself/ herself as an individual or in the capacity of the Karta of the Hindu
undivided family, having Income Tax Permanent Account Number (PAN).
The joint account shall be issued jointly to two adults or to an adult and a minor.
Eligibility
Resident Indians for himself/ herself as an individual or in the capacity of the Karta of the Hindu
undivided family, having Income Tax Permanent Account Number (PAN).
The joint account shall be issued jointly to two adults or to an adult and a minor.
MACAD:
Features
To credit the compensation amount awarded by a Tribunal/Court to victims/claimants of motor
accident and re-payment of the same in monthly annuity instalment comprising part of the
principal amount plus interest.
Deposit Amount Maximum: No Limit
Minimum Deposit Amount – Based on minimum monthly annuity payment of Rs. 1,000/- for the
relevant period.
Tenure 36 to 216 months as per directions of Tribunal/Court.
In case the period is less than 36 months, normal Term Deposit will be opened.
Prevailing rate of interest as per Tenure. The rate of interest applicable for a tenure of 120
months will be made applicable for deposits having maturity period exceeding 120 months or as
decided by the Bank from time to time
No Receipts will be issued to depositors.
Passbook will be issued for MACAD.
In case of normal Term Deposit (for a period less than 36 months), a Term Deposit advice will
be issued.
No loan or advance shall be allowed against the Annuity deposit.
Nomination facility Available
MACAD shall be duly nominated as directed by Tribunal/Court.
Payment of annuity will start on the anniversary date of the month following the month of
deposit. If that date is non-existent (29th, 30th & 31st), it will b\e paid on the 1st day of the next
month.
Annuity payment/ Premature closure payment/ Part lump sum payment will be made only
through linked MACT claims SB account.
Account Transfer not allowed without the permission of Tribunal/Court
Mode of Holding Single
Eligibility
Individuals including Minors (through guardian) in single name.

DIGITAL BANKING:
INTERNET BANKING
Features
Using Internet banking services, you can do the following normal banking transactions online:

Funds transfer between own accounts.

Third party transfers to accounts maintained at any branch of SBI
Inter Bank Transfers to accounts with other Banks
Online standing instructions for periodical transfer for the above
Credit PPF accounts across branches
Request for Issue of Demand Draft
Request for opening of new accounts
Request for closure of Loan Accounts
Request for Issue of Cheque Book
Earn reward points for transactions through Internet Banking

Value Added Features

Apart from these, the other salient value-added features available are:
Utility bill payments
Online Ticket Booking for travel by Road, Rail and Air
SBILIFE, LIC and other insurance premia payments
SBI and other Mutual funds Investments
SBI and other Credit Card dues payments
Tax Payment Income, Service, State Govt
Customs Duty Payment
Online Share Trading (eZ-trade@SBI)
Online Application for IPO
Fee Payment to select educational institutions including IITs and NITs

Terms & Conditions

General Information
The www.onlinesbi.com registration form(s) should be addressed and sent directly to the
Branches where the applicant(s) maintain his/her/their account(s).
Separate registration is required in case the accounts are maintained at different branches.
Separate registration is allowed for single and joint accounts at the option of the user.
Normally the account holders can access his accounts through the www.onlinesbi.com only after
he/she acknowledges to the respective Branch (es) the receipt of the User-Id and Password sent
to him/her.
Each account holder in a joint account with Either or Survivor type mode of operation may
register himself/ herself as a USER of the www.onlinesbi.com facility.
All other accounts not listed in the registration form will be available on the www.onlinesbi.com
for the purpose of enquiry only. The customers may approach Branch for enabling transaction
rights on such accounts any time.
The www.onlinesbi.com service cannot be claimed as a right. The Bank may also convert the
Service into a discretionary service anytime, if so warranted, after it has been made available to
the USER.
Internet Banking Security Tips
8 Golden Rules to make your Internet Banking experience safe and secureChange your Password
at regular intervals
Help SBI in preventing frauds (phishing) by reporting such incidents to
[email protected]
Access portal by typing www.onlinesbi.com
Do not click on any shortcuts/links
Avoid accessing your account from public places like cyber cafes
Use virtual keyboard to enter user ID and Password
Avoid entering sensitive info in pop-ups
Track your transactions and usage history regularly
Use latest and genuine software on your system with secure settings
PHONE BANKING :
Phone Banking registration/password generation through Contact Centre: Customer needs to call
at Contact Centre toll free (1800-11-22-11 or 1800-425-3800)/toll number (080-26599990) and
to select the correct path in IVR & also need to enter ATM Card number, PIN, Account number
and mobile number (in case not calling from registered mobile number), as per instruction of
recorded voice system (IVR). After successful registration, 6 Digits Phone Banking password
will be sent on registered mobile number.
Phone Banking registration/password generation through ATM :Swipe the ATM card in ATM
slot, select registration option in ATM screen, Enter ATM PIN and the next screen will appear
where you need to select “Phone Banking Registration”. Then enter registered mobile number in
the screen and select correct. After successful registration, 6 Digits Phone Banking password will
be sent on registered Mobile number.
Phone Banking registration through Branch : Customer may visit his/her home Branch and
submit phone banking application. The Branch will provide a pre-printed kit containing 6 Digits
Phone Banking password to customer.

Services available under phone Banking system:

Account related information
Balance and transaction related details.
Issue of statement of account for maximum 6 months through post or e-mail.
Cheque Book issue request
Stop payment of Cheque
Single Cheque
Multi Cheques
Transfer of funds within SBI accounts between 8.00 AM to 8 PM
Funds transfer to own accounts within certain limits.
Funds transfer to third party accounts within certain limits
Opening of Fixed deposit
Term deposit
Special Term deposit
Interest Certificate by Post or e-mail:
Home Loan
Education Loan
Deposit Interest Certificate
Mobile Number Updation.
Tax deducted at source (TDS) information.
AWARDS:
SBI is been awarded as ‘Best transaction Bank in India’ and ‘Best payment Bank in India’ for
three consecutive years that is 2017 ,2018 and 2019.
Best technology award
Most preferred Bank
Socially Responsible Bank
Future Growth of SBI:
SBI will continue to grow ahead of the industry .As banking habit spreads, banks will have to go
closer to the people. I think SBI is uniquely positioned to harness and benefit from the savings of
the people and their faith in the system. The growth of SBI should be very good and I think it
should be ahead of the average growth of the banking industry.

OWNERSHIP PATTERN:

Shareholding Pattern - State Bank of India

Holder's Name No of Shares % Share Holding

No Of S hares 8924611534 100%

Promoters 5079775288 56.92%

Foreign Institutions 696977893 7.81%

NBanksMutualFunds 1161164555 13.01%

CentralGovt 17514571 0.2%

Others 197735596 2.22%

General Public 644165351 7.22%

Financial Institutions 1015565000 11.38%

GDR 111713280 1.25%

MCKENSY’S 7S FRAMEWORK
The 7s model is better known as mckinsey 7-s model .This is because who developed this model
,Tom peters and Robert Waterman have been consultants at Mckinsey and co. at that time
They published their 7-s model in their article “structure is not organization (1980)and in their
books The art of Japanese management and In search of excellence
Objective:
Improve the performance of a company
Examine the likely effects of future changes within a company Align departments and processes
during a merger or acquisition Determine how best to implement a proposed strategy
The Seven Interdependent Elements
The basic premise of the model is that there are seven internal aspects of an organization that
need to be aligned if it is to be successful Hard Elements.
A stable environment is created.
Managers at a lower-level are not enabled in the decision-making process as managers at the
upper-level.
Decisions are relatively minor and often managers at a lower-level do not want to have a say in
the decision-making process.
Strategy:
Purpose of the business and the way the organization seeks to enhance its competitive advantage.
The concept of the strategy includes purposes, missions, objectives, goals and major action
plans, and policies. It is plans developed by a company to achieve sustained competitive
advantage, successfully compete in the market and reach identified goals. It involves the
environment, competition, and customers.
Staff:
Organization's human resources, demographic, educational and attitudinal characteristics, The
Company’s people resources and how they are developed, trained, and motivated. It is also
important for the organization to create confidence among the employees about their future in the
organization and future career growth as an incentive for hard work
The organization’s human resources,
Demographic, educational and attitudinal characteristics. Project team
Systems:
Formal and informal procedures that govern everyday activity, covering everything from
management information systems, these systems are the point of contact with the customer.
There is no that much of qualification required for employees skilled and unskilled employee
may select. The some of the general rules and regulations are:
The workers should effective use of their time given to them.
The workers are fully responsible for their borrowed tool
The workers should wear safety glasses which are provided by the company.
The workers not wasting their time during the working time.

The reward is given to every employee on the basis of their work performed b
: Shared value:
All members of the organization share some common fundamental ideas or guiding concepts
around which the business is built. This may be to make money or to achieve excellence in a
particular field. In PSV Company they considered employees suggestion and they treat them as
part of the management. The workers of PSV Company also fully committed to their wor

PORTER’S FIVE FORCE MODEL

Porter's Five Forces is a model that identifies and analyzes five competitive forces that shape
every industry and helps determine an industry's weaknesses and strengths. Five
Forces analysis is frequently used to identify an industry's structure to determine corporate
strategy.
RIVALRY- HIGH
The banking industry is one of the most competitive industries today. This industry has been in
our society for centuries now and almost everyone in one way or another makes use of their
services . The competitors of SBI include Andhra Bank ,HDFC Bank , ICIC Bank citi Bank and
many others . The Banking industry is no longer limited to just opening accounts or giving loans;
it has become very versatile now. The competition is now about being innovative and attracting
customers with different customers with different unique products to suit their needs. Every bank
attempts to lure customers away from competitors banks. Customers want best services at the
lowest rates at the fastest pace. Thus, the competitive rivalry is very high for SBI.

THREAT OF NEW ENTRANTS -LOW:

The entry barriers of the banking industry are very high . It is not easy establishing a private
bank on India at the national level .It takes a lot of time and huge investment . There are strict
regulations by the regulating bodies. People do not trust new banks with their money .Marketing
costs will also need to incurred .A new bank launching itself only in niche segment in a
particular area has a chance of being successful . India’s banking sector regulatory reforms also
limit the presence of foreign banks in India , further lowering this threat of new entrants is low
for SBI.

BARGAINING POWER OF SUPPLIERS – LOW

The suppliers of SBI can be divided into two categories. The first are those who supply
materials like stationary and other required goods and the second category are the service
providers that is the human resource. The suppliers of the first category pose no threat .SBI is a
bulk purchaser making it ideal for a supplier . The suppliers are in large number making the
switching cost of sbi vey low. They cannot attempt to influence SBI . The second category can
be attracted by other banks with better of employment .Banks are always on the lookout for
talented employees .Overall the bargaining power of the suppliers against SBI is low.

BARGAING POWER OF THE SUPPLIER -HIGH :

There are a lot of banking and financial service provider options for the cutomers . There
switching cist is very low. All the service that SBI provides are also provided by a majority of
other Banks . The competition is now on effectiveness and the speed of the services being
provided . This is especially for high margin corporate clients. Reduced service charges, higher
currency exchange rates and other facilities are being used to attract customers . SBI is not in a
position to attempt to influence the customers or raise its service charges. Therefore the
bargaining power of the buyers against SBI is high .

THREAT OF SUBSTITUTES -MEDIUM

Besides banks there are other financial institutes that provide many of the services such as
loans ,insurances, mortgages etc to customers .They are substitutes of banks and are also
competing with them . In addition to these many companies such as Microsoft ,sony, and general
motors offer financing solutions to customers who buy bulk or buy big ticket item . However due
to the large size of SBI these substitutes present only a mild threat against SBI.

SWOT ANALYSIS:
SWOT Analysis Is a study undertaken by an organization to identify its internal strengths and
weaknesses, as well as its external opportunities and threats.

STRENGTHS
Below are the Strengths in the SWOT Analysis of State Bank Of India (SBI):
1. SBI is the biggest bank in India with more than 14000 branches
2. State Bank Of India (SBI) has a separate act for itself. Thus, a special privilege for the bank
3. Biggest branch network in the country means good reach
4. First public sector to move to CBS
5. SBI has close to 300,000 people employed with it6. Backing of the Govt of India gives a huge
boost to the bank
7. State Bank Of India offers services like consumer banking, enterprise banking, insurance etc
8. It has a good brand visibility and awareness due to extensive marketing
9. SBI has its presence in more than 35 countries with close to 200 offices

State Bank Of India (SBI) Weaknesses

Here are the weaknesses in the State Bank Of India (SBI) SWOT Analysis:
1. Immense competition means limited market share growth for SBI
2. International presence is less as compared to global banks

Following are the Opportunities in State Bank Of India (SBI) SWOT Analysis:
1. Pool in talent to replace the going top management to serve the next generation
2. State Bank Of India (SBI) can make better use of CRM, technology and online space
3. Expansion into rural areas too boost its business
4. With focus on India going cashless, the bank can dominate the market with its extensive reach

State Bank Of India (SBI) Threats

The threats in the SWOT Analysis of State Bank Of India (SBI) are as mentioned:
1. Consolidation among private banks can reduce market share for SBI
2. New bank licenses by RBI can affect operations
3. Foreign banks that have sophisticated products

COMPETITORS
ICIC Bank
Bank of India
HDFC Bank
Bank of Baroda
Axis Bank
IOB Bank

FINANCIAL STATEMENTS :
Financial statement of the bank helps to know the current financial position of the
activities of the bank. It also helps to know the performance of the bank over a period of
years.

Profit & Loss - State Bank of IndiaRs (in Crores)

  Mar'20 Mar'19 Mar'18 Mar'17 Mar'16

  12Months 12Months 12Months 12Months 12Months

INCOME:

Sales Turnover 257323.59 242868.65 220499.32 175518.24 163998.30

Excise Duty .00 .00 .00 .00 .00

NET SALES 257323.59 242868.65 220499.32 175518.24 163998.30

Other Income 45221.4780 36774.8878 44600.6871 35460.9275 27845.3687

TOTAL INCOME 302545.07 279643.54 265100.00 210979.17 191843.67

EXPENDITURE:

Manufacturing Expenses .00 .00 .00 .00 .00

Material Consumed .00 .00 .00 .00 .00

Personal Expenses 45714.97 41054.71 33178.68 26489.28 25113.82

Selling Expenses 246.17 354.06 358.33 281.14 307.64

Administrative Expenses 69239.12 25202.79 23362.03 18357.05 14853.10

Expenses Capitalised .00 .00 .00 .00 .00

Provisions Made 43330.37 53828.55 75039.20 35992.72 29483.75

TOTAL EXPENDITURE 158530.62 120440.10 131938.23 81120.18 69758.32

Operating Profit -17115.42 21737.32 17954.69 16732.27 16920.24

 EBITDA 230675.19 213168.11 208076.02 166799.71 151761.60

Depreciation 3303.81 3212.31 2919.47 2293.31 1700.30

Other Write-offs .00 .00 .00 .00 .00

EBIT 227371.38 209955.80 205156.56 164506.40 150061.30

Interest 159238.77 154519.78 145645.60 113658.50 106803.49

EBT 24802.24 1607.48 -15528.24 14855.17 13774.05

Taxes 10314.13 745.25 -8980.79 4371.07 3823.40

Profit and Loss for the Year 14488.11 862.23 -6547.45 10484.10 9950.65

Non Recurring Items .00 .00 .00 .00 .00

Other Non Cash Adjustments .00 .00 .00 .00 .00

Other Adjustments .00 .00 .00 .00 .00

REPORTED PAT 14488.11 862.23 -6547.45 10484.10 9950.65

KEY ITEMS

Preference Dividend .00 .00 .00 .00 .00

Equity Dividend .00 .00 .00 1802.19 1683.81

Equity Dividend (%) .00 .00 .00 226.02 216.91

Shares in Issue (Lakhs) 89246.12 89246.12 89245.88 79735.04 77627.77

EPS - Annualised (Rs) 16.23 .97 -7.34 13.15 12.82

Rs (in Crores)

BalanceSheet - State Bank of India

Rs (in Crores)

Particulars Mar'20 Mar'19 Mar'18 Mar'17 Mar'16

Liabilities 12 Months 12 Months 12 Months 12 Months 12 Months

Share Capital 892.46 892.46 892.46 797.35 776.28

Reserves & Surplus 207352.30 195367.42 193388.11 155903.06 143498.16

Net Worth 232007.43 220913.82 219128.56 188286.06 144274.44

Secured Loan 314655.65 403017.12 362142.07 317693.66 323344.59

Unsecured Loan 3241620.73 2911386.01 2706343.29 2044751.39 1730722.44

 TOTAL LIABILITIES 3788283.81 3535316.95 3287613.92 2550731.12 2198341.46

Assets

Gross Block 38023.39 38508.94 39200.71 42344.99 9819.16

(-) Acc. Depreciation .00 .00 .00 .00 .00

Net Block 38023.39 38508.94 39200.71 42344.99 9819.16

Capital Work in Progress 415.89 688.63 791.54 573.93 570.12

Investments 1046954.52 967021.95 1060986.72 765989.63 575651.78

Inventories .00 .00 .00 .00 .00

Sundry Debtors .00 .00 .00 .00 .00

Cash and Bank 251097.01 222490.11 191898.64 171971.65 167467.66

Loans and Advances 2614903.11 2452204.62 2161874.39 1725086.11 1604108.82

Total Current Assets 2866000.12 2674694.73 2353773.03 1897057.76 1771576.48

Current Liabilities 163110.10 145597.30 167138.08 155235.19 159276.08

Provisions .00 .00 .00 .00 .00

Total Current Liabilities 163110.10 145597.30 167138.08 155235.19 159276.08

NET CURRENT ASSETS 2702890.01 2529097.44 2186634.95 1741822.57 1612300.40

Misc. Expenses .00 .00 .00 .00 .00

TOTAL ASSETS(A+B+C+D+E) 3812046.48 3559970.89 3312461.91 2582316.77 2198341.46

Rs (in Crores)

INTERPRETATION :
We can see in the year 2016 total asset is 2198341.46 later it has increased to 2582316.77 and
then went on increasing over the years.

Ratio Analysis:
Ratio analysis is a quantitative method of gaining insight into a company's liquidity, operational
efficiency, and profitability by studying its financial statements such as the balance sheet and
income statement.
. Current ratio:
It is a liquidity ratio which measures a firm has enough resources to meet the short-term
obligation. To gauge this ability the current ratio considers the current total assets of the
company relative to that company’s current total liability.

Current Ratio: Current Asset\Current Liabilities

2866000.12\1631100.10=17.5
QUICK RATIO:
Quick Ratio= Quick Asset – Inventories / Quick liabilities
2866000.12-0\1631100.10=17.5
DEBT EQUTY:
Debt Equity= Debt\Equity
2016: 15.43
2017: 14.83
2018: 13.39
2019: 13.05
2020: 11.99

CHAPTER 6
Learning Experience:
It gave an idea as to how an organization works.
It was over all an incredibly good learning experience.
It was highly informative.
I have understood various services provided by the Bank apart from the basic functions of
accepting deposits and lending loans and learnt about the technology used in the Bank to provide
quality, secure and faster services. I also learned the workflow for accepting deposits and
providing loans and various strategies, policies and systems adopted by the Bank. The system,
processes and most importantly the values the organization is built on is a true learning during
this organization study.
BIBLIOGRAPHY:
Introduction about the organization and industry [Wikipedia]
Organization profile [Wikipedia ]
Vision, mission quality, policy [official website] https://sbi.co.in/
Product / Service profile[ Official Website] https://sbi.co.in/
Financial Statement [ Economic Times] https://economictimes.indiatimes.com/topic/website