INDUSTRY PROFILE In 1969 the Indian government nationalized all the major banks that it did not already own and these have remained under government ownership. They are run under a structure know as 'profit-making public sector undertaking' (PSU) and are allowed to compete and operate as commercial banks. The Indian banking sector is made up of four types of banks, as well as the PSUs and the state banks, they have been joined since 1990s by new private commercial banks and a number of foreign banks.

2. SBI HOME LOANS
Group Members:
Md. Mudassar
Md. Fahim
Md. Owais
Md. Ruman
Md. Shoaib
Md. Umar
Md. Asrar

3. INDUSTRY PROFILE
 In 1969 the Indian government nationalized all the major banks
that it did not already own and these have remained under
government ownership.
 They are run under a structure know as 'profit-making public
sector undertaking' (PSU) and are allowed to compete and operate
as commercial banks.
 The Indian banking sector is made up of four types of banks, as
well as the PSUs and the state banks, they have been joined since
1990s by new private commercial banks and a number of foreign
banks.

4.  Banking in India was generally fairly mature in terms of
supply, product range and reach-even though reach in rural
India and to the poor still remains a challenge.
 The government has developed initiatives to address this
through the State bank of India expanding its branch
network and through the National Bank for Agriculture and
Rural Development with things like microfinance.

5. CURRENT PERIOD
 In terms of quality of assets and capital adequacy, Indian banks
are considered to have clean, strong and transparent balance
sheets relative to other banks in comparable economies in its
region.
 The Reserve Bank of India is an autonomous body, with minimal
pressure from the government.
 By 2013 , banking in India was generally fairly mature in terms of
supply, product range and reach-even though reach in rural India
still remains a challenge for the private sector and foreign banks.
 With the growth in the Indian economy expected to be strong for
quite some time-especially in its services sector-the demand for
banking services, especially retail banking, mortgages and
investment services are expected to be strong.

6.  Reserve Bank of India allowed Warburg Pincus to increase its
stake in Kotak Mahindra Bank (a private sector bank) to 10%.
This is the first time an investor has been allowed to hold
more than 5% in a private sector bank.
 In recent years critics have charged that the non-government
owned banks are too aggressive in their loan recovery efforts
in connection with housing, vehicle and personal loans.
 There are press reports that the banks' loan recovery efforts
have driven defaulting borrowers to suicide.

7. COMPANY PROFILE
 State Bank of India (SBI) is a multinational
banking and financial services company based in India.
 It is a government-owned corporation with its
headquarters in Mumbai, Maharashtra.
 As of December 2012, it had assets of US$501 billion and
15,003 branches, including 157 foreign offices, making it the
largest banking and financial services company in India by
assets.
 SBI is a regional banking behemoth and has 20% market
share in deposits and loans among Indian commercial
banks.

8.  Bank of Madras merged into the other two presidency
banks—Bank of Calcutta and Bank of Bombay—to form
the Imperial Bank of India, which in turn became SBI.
 SBI is a regional banking behemoth and has 20% market
share in deposits and loans among Indian commercial
banks.
 SBI provides a range of banking products through its
network of branches in India and overseas, including
products aimed at non-resident Indians(NRIs). SBI has
14 SBI has 14 regional hubs and 57 Zonal Offices that are
located at important cities throughout India.

9. Domestic presence
 SBI had 14,816 branches in India of which 9,851 (66%) were
in Rural and Semi-urban areas. In the financial year 2012-13,
its revenue was INR 200,560 Crores (US$ 36.9 billion), out of
which domestic operations contributed to 95.35% of revenue.
Similarly, domestic operations contributed to 88.37% of total
profits for the same financial year.
International presence
 The Israeli branch of the State Bank of India located
in Ramat Gan.
 The bank had 180 overseas offices spread over 34 countries. It
has branches of the parent in Moscow, Colombo, Dhaka.

10.  Frankfurt, Hong Kong, Tehran, Johannesburg, London, Los
Angeles, Male in the Maldives, Muscat, Dubai, New York, Osaka,
Sydney, and Tokyo. It has offshore banking units in the , Bahrain,
and Singapore and representative offices in Bhutan and Cape
Town It also has an ADB in Boston, USA.

11. 7 P’S OF SBI

12. PRODUCT
 Core product:
The basic services in banking form a basic product
Eg: Accepting deposits, granting loans
 Formal product:
It is the set of attributes and conditions expected by
the customers when they purchaser the product
Eg: Insurance facilities, locker facilities, atm’s

13. CONTD,
 Augmented product:
It is the additional feature that banks provide which exceeds
the customer’s expectations
Eg: Discounts, Good waiting rooms
 Potential product:
It includes Innovations and product differentiation. Banks
alters its services according to the requirement of the
individual customers
Eg: Mobile and internet banking, new schemes tailored for
specific customers

14. PRICE
 Interest rates charged
 Transaction charged
 Value pricing
 Going rate pricing
 Mark up pricing
 Charges for cheque books
 Commmission charges

15. PLACE
Important factors affecting the determination of
the location of bank are:
 The trade area
 Population characteristics
 Commercial structure
 Industrial structure
 Visibility
 Access

16. PROMOTION
 Public relations
 Personal selling
 Word of mouth promotion
 Internet
 Tele marketing

17. PHYSICAL EVIDENCE
 It refers to the overall layout of the place i.e.
how the entire bank is designed. Physical
evidence refers to all those factors that
makes process much easier and smoother.
Eg: In banks the physical evidence would be
the placement of customer service
executive’s desk or the location of the place
for deposting cheques.

18. PROCESS
 Process constitutes the overall procedure
involved in using the services offered by the
bank.
 The process should be customer friendly
 If the overall process is too complicated than
the customer may not be inclined to use
such services

19. PEOPLE
 SBI has provided employment to 222,933 people all over the
world. SBI has recruited thousands of young graduates and
post graduates and is yet to recruit many more. Thus, SBI has a
proportionate blend of both the old and the new schools of
thought.
 SBI provides its employees with training facilities as and when
required in order to keep them abreast with the new
technologies and products that get introduced in the banking
sector.
 SBI has turned into the third-largest employer in India among
listed companies after Coal India Limited(383,347) and Tata
Consultancy Services(226,751).

20. COMPETITORS

21. SERVICE BLUE PRINT

22. DATA ANALYSIS
MINI PROJECT ON
STATE BANK OF
INDIA

23. PROCESSING FEES
0
5000
10000
15000
20000
5000
10000
20000 20000
10000 10000 10000 10000 10000
PROCESSING CHARGE(in Rs)

24. INTEREST RATES
9.4
9.6
9.8
10
10.2
10.4
10.6
10.8
11
SBI Axis
bank
HSBC HDFC Canara
bank
Bank of
Baroda
9.95
10.75
11
10.525
10.25
10.5
INTEREST RATE(in %)

25. EQUATED MONTHLY AMOUNT ON
A LOAN OF 20 LAKHS FOR 20 YEARS
18500
19000
19500
20000
20500
21000
SBI Axis bank HSBC HDFC Canara
bank
Bank of
Baroda
19234
20305
20644
20035
19633
19968
EMI(Equated monthly instalments,in Rs)
18500
19000
19500
20000
20500
21000
SBI Axis bank HSBC HDFC Canara
bank
Bank of
Baroda
19234
20305
20644
20035
19633
19968
EMI(Equated monthly instalments,in Rs)
18500
19000
19500
20000
20500
21000
SBI Axis bank HSBC HDFC Canara
bank
Bank of
Baroda
19234
20305
20644
20035
19633
19968
EMI(Equated monthly instalments,in Rs)

26. SERVICE PROMISED RATES
14.71%
55.88%
3.92 %
7.84 %
17.65 %
55.88% - EXCELLENT
17.65% - VERY GOOD
14.71% - GOOD
7.84% - BAD
3.92% - VERY BAD

27. ACCURATE SERVICE RATE
75.5%
12.75 %
6.86 %
4.9 %
75.5% - EXCELLENT
12.75% -VERY GOOD
6.86% - GOOD
4.9% - BAD

28. INDIVIDUAL ATTENTION
45% -EXCELLENT
30% -VERY GOOD
20% - GOOD
5% -BAD

29. FIRST TIME SERVICE
62.5% -VERY GOOD
15% -GOOD
12.5 –BAD
10% -VERY BAD

30. OPERATING HOURS
YES
NO

31. COMPARED TO OTHERS
65% - EXCELLENT
25% -GOOD
10% - BAD

32. GAP ANALYSIS

33. KEY FINDINGS
 Customer friendly
 Easily reached
 The result of factor analysis showed that interest rate, pay
back period ,speed of processing and equated
monthly instalment are the four main criteria by which
customers select their financial institutions.
 SBI charges lowest interest rate,EMI and processing fee and
provides maximum repayment period of 30 years.
 Not on time service, time consuming process.

34. RECOMMENDATIONS
 It should tie up with private agencies to attract more customers.
 It should conduct more events like GRAHAPRAVESHA.
 SBI should advertise through various mediums like
NEWSPAPERS, TELEVISION, INTERNET, RADIO, etc.
 The result of factor analysis showed that interest rate, pay back
period ,speed of processing and equated monthly
instalment are the four main criteria by which customers select
their financial institutions. So, SBI bank must excel on these
criteria to project a good image

35. LIMITATIONS
 The sample size is restricted to 30 respondents due to time
limit. The study is conducted considering the prevailing
condition which is likely to change in future.
 Due to time and costs constraints the study was limited to
ONE SBI BRANCH only.
 Some of the respondents were not willing to responds to
our questionnaire.
 Few respondents were hesitant while answering the
questions.