SYNOPSIS

Of the Project Report

On

“Terms and Policies of State Bank of India”

To be submitted in partial fulfillment for the requirement

of the degree of B.Com.(Voc.)

Dr. B.R. Ambedkar University, Agra

Session

2011-2014

Under the Guidance of : Submitted by:

Dr. Sanjeev Sharma Divya Jain

Associate Professor Roll. No.

St. John’s College, Agra

“Terms and Policies of State Bank of India”

INTRODUCTION

STATE BANK OF INDIA

“THE NATION BANKS WITH US”

The origins of State Bank of India date back to 1806 when the Bank of Calcutta

(later called the Bank of Bengal) was established. In 1921, the Bank of Bengal and two other

Presidency banks (Bank of Madras and Bank of Bombay) were amalgamated to form the

Imperial Bank of India. In 1955, the controlling interest in the Imperial Bank of India was

acquired by the Reserve Bank of India and the State Bank of India (SBI) came into existence by

an act of Parliament as successor to the Imperial Bank of India. Today, State Bank of India (SBI)

has spread its arms around the world and has a network of branches spanning all time zones.

SBI's International Banking Group delivers the full range of cross-border finance solutions

through its four wings - the Domestic division, the Foreign Offices division, the Foreign

Department and the International Services division.

The SBI was formed in 1955, through nationalization of imperial banks in India. The

imperial bank of India has bee formed by the amalgamation of three existing presidency banks.

With the nationalization of imperial bank in India, all its assets and liabilities were transferred to

the state bank of India.

It was converted into SBI on 1/07/1955 on the recommendations of the committee for

All India Rural Credit Survey, headed by Shri. A.D. Gorwala (the committee recommended the

establishment of one strong, integrated, state sponsored, state partnered commercial banking

institution). At that time SBI had three circles, Bombay, Calcutta and Madras besides a central

office at Bombay, SBI was the first bank to set up as the public sector.

MISSION, VISION AND VALUES OF STATE BANK OF INDIA

VISION:

My SBI: First in customer satisfaction.

MISSION:

We will be prompt and proactive with our customers, we will speak the language of young

India, we will create products and services that help our customers achieve their goals, we will

go beyond the call of duty to make our customers feel valued, we will be in service even in the

remotest part of our country, we will offer excellence in services to those abroad as much as we

do those in India, we will imbide state pf art technology to drive excellence.

VALUES:

We will always be honest, transparent and ethical. We will respect our customers and

fellow associates we will be knowledge driven. We will learn and we will share our learning. We

will never take the easy way out. We will do everything we can to contribute to the community

we work in. we will nurture pride in India.

ORGANIZATION:

The organization of the SBI can be discussed under the following heads:

1) Capital:

The SBI has an authorized capital of Rs.20 crores which has been divided into 20 lakhs

shares of Rs. 100 each. The shares are held by the reserve bank, insurance companies and the

general public.

2) Management:

The management of SBI is under the control of a central board of directors consisting

of 20 members, the break up of a central board is given below:

a) A chairman and vice president are to be appointed by the central government in

consultation with reserve bank.

b) Two managing directors are to be appointed by the central board with the approval of

central government.

c) Six directors are to be elected by the private shareholders.

d) Eight directors are to be appointed by the central government I consultation with the

reserve bank to represent territorial and economic interests. No less than two of them should

have special knowledge in the working of co-operative institutions and of the rural economy.

e) One of the directors to be appointed by the central government.

f) One director is to be appointed by the reserve bank.

3) Subsidiary banks:

The state bank of India has the following six Associate Banks (ABs) with controlling

interest ranging from 75% to 100%.

1.      State Bank of Bikaner and Jaipur (SBBJ)

2.      State Bank of Hyderabad (SBH)

3.      State Bank of Indore (SBIr)

4.      State Bank of Mysore (SBM)

5.      State Bank of Patiala (SBP)

6.      State Bank of Travancore (SBT)

OBJECTIVE OF THE STUDY

The main objectives of state bank of India are given below.

The state bank of India has been established to operate on the normal commercial

principle. With the only difference that, unlike other commercial banks in country, it takes into

consideration and responds progressively to the small scale industries particularly in the rural

areas of the country.

The main objectives of the State Bank of India are:

1) To act in accordance wit the broad economic principle of the government.

2) To encourage and mobilize the savings by operating branches in the rural and semi-

urban and to promote rural credit.

3) To extend financial help for the establishment of licensed warehouse and co-operative

marketing societies.

4) To provide financial help to small scale and cottage industries.

5) To provide remittance facilities to banking institutions.

RESEARCH METHODOLOGY

Research methodology in which the data are collected for the research.

Research Methodology is the attempt to validate the rationale behind the

selected research design and provide justification of why it is

appropriate in solving the selected research problem. It is the process by

which we evaluate tools that produce knowledge.

Research Design

The Research Report is based on exploratory study based on Primary &

Secondary Data. Exploratory research is concerned with identification of

the real nature of research problem & perhaps of formulating relevant

hypothesis for various tests. The major benefit is that it is less expensive

& less time consuming. For assessing the tool used to deliver included

Personal interview of respondent.

Sources of Collecting Data

Data collection methods are generally of two types:

Primary Data

Secondary Data

Primary data are those which are collected for the first time and thus

happen to be original in character. The primary data is collected in the

process of questionnaire and interview of the outlets.

Secondary data are those which have already been collected by

someone else and which have been already been passed through the

statistical process.

Primary data:

1. Questionnaire method

Secondary data:

1. Book

2. News papers

3. Internet

4. Magazines

It is a way to systematically solve the research problem , when we talk of research methodology we not only talk about method but also consider the logic behind the method , we use in context of our research , while keeping all the objective of the project in mind following

method of methodology are adopted. The methodology the project data be summarized as follows:

Methodology Adopted

Methods used

Through Market Survey, Questionnaire. While preparing the

Questionnaire certain dimensions are to be considered. These

dimensions are come under following heads:

Management

Sources of data

For the purpose of this Research report data has been collected from the

following sources:

Primary sources

Survey

Sample Size : 50

Secondary Sources

Organizations Policy Manual

Other relevant documents

Company website

Tools used for Analysis

Bar Graphs

Pie charts

Chapter Plan

Introduction

Review of literature

Research Objectives

Research Methodology

Data Analysis & Interpretation

Findings & Suggestions

Conclusion

Bibliography

Appendices or Annexure