A PROJECT REPORT ON ANALYSISOF SAVINGACCOUNTSINAXISBANKLIMITEDANDITS COMPARISON WITHOTHER BANKS [SBIAND HDFC] A Project undertaken in partial fulfillment for the requirement of Post Graduate Diploma in Management (Session 2009-2011) SUBMITTED BY- Prabhakar Rahul PGDM 2009 ± 2011 Enrollment No- 2009PGDM031 ABES IT Group of Institution, Ghaziabad UNDER GUIDENCE OF: SUBMITTED TO: Mr. Dheeraj Bakshi DIN Management Branch Head ABES IT Group of Institution Axis Bank Ltd. Ghaziabad 1 TABLE OF CONTENT Chapter ±I INTRODUCTION OF THE PROJECT Introduction Theoretical Representation of the Topic Chapter ±II COMPANY PROFILE Organizational profile of company Introduction Background Promoters Company & its product line Balance sheet SWOT analysis Board of directors Achievements/Awards Chapter ± III RESEARCH DESIGN Presentation of data & analysis Source of data Sample size Method of data collection Research instrument & tools used 2 Chapter ± IV ANALYSIS AND DATA INTERPRETATION Chapter ± V FINDING AND CONCLUSION Chapter ± VI RECOMMENDATION AND SUGGESTION Chapter VII Bibliography Chapter VIII Annexure 3 DECLARATION I Prabhakar Rahul student of PGDM 4Thsem from ABES IT Group of Institution affiliated to AICTE, hereby declare that all the information, facts and finding furnished in this report are based on my indigenous work and are original in nature. This information is used for academic only. Any resemblance for existing work is purely coincidental. DATE: PLACE: (Prabhakar Rahul) 4 ACKNOWLEDGEMENT I whole heartedly acknowledge the help and support that I have received from my entire faculty who guided me and motivated me during the course of internship. I would also like to thank my industry guide Mr. DheerajBakshi under whose guidance I successfully completed my internship. I also want to give my special thanks to Mr. Dheeraj Bakshi, branch head of Axis Bank Limited. His valuable suggestions have always been an eye -opener for me in my endeavour.At last but not the least, I would also like to thank all my family members, my dearfriends who constantly kept on motivating me by giving me valuable suggestions. THANK YOU 5 . CHAPTER 1INTRODUCTION OF PROJECT THEORITICAL REPRESENTATION OF THE TOPIC The topic ³A DETAILED ANALYSIS OF SAVING ACCOUNT IN AXIS BANK LTD. AND IT¶S COMPARISION WITH OTHER BANKS [SBI AND HDFC BANK].´ Is basically concerned about the saving product offered by AXIS BANK. Bank provides various kinds of saving account for different segments of people, according to the current requirements and demand of the customers. Every savingproduct is designed so well that it contains all the important features and services according to the current scenario for the people, which obviously very easily attracting customers to deal at least once with the ban. Apart from this, my area of work also includes to compare these saving accounts provided by AXIS BANK with other private banks and government banks i.e. HDFC BANK and STATE BANK OF INDIA. This comparison includes some common basis of differentiation through which evolution is to be done. I have also used QUESTIONNAIRE for comparative analysis, which has been filled by the customers just to know what they think about the bank¶s services and facil ities given to them. My Questionnaire includes 12questions and sample size is 50(x2). 6 CHAPTER2 ORGANIZATIONAL PROFILE OF THE COMPANY INTRODUCTION Banking in India originated in thelast decade of the 18 th century. The oldest bank in existence in India is theState Bank of India , a government ± owned bank that traces its origins back to June 1806 and that is the largest commercial bank in the country. Central banking is the responsibility of the Reserve Bank of India, which in 1935 formally took over these responsibilities from the Imperial Bank of India, relegating it to commercial banking functions. After India¶s independence in 1947 the Reserve Bank of India was nationalized and given broader powers. In 1969 the government nationalized the 14 largest commercial banks, and again 6 next in 1980. EARLY HISTORY Banking in India originated in the last decades of the 18th century. The first banks wereThe General Bank of India which started in 1786, and The Bank of Hindustan,both of which are now defunct. The oldest bank in existence in India is the State Bank of India, which originated in Calcutta in JUNE 1806, which almost immediately became the Bank of Bengal. This was one of the three presidency bank, the other two being the Bank of Bombay and the Bank of Madras, all three of which were established under charters from the British East India Company. For many years the Presidency banks acted as quasi - central banks, as did their successors. The three banksmerged in 1925 to form theImperial Bank of India,which upon India¶s independence, became the State Bank of India. 7 Indian merchants in Calcutta established the Union Bank in 1839, but it failed in 1848 as a consequence of the economic crisis of 1848 -49. The Allahabad Bank, established in 1865 and still functioning today, is the oldest Joint Stock bank in India. It was not the first though. That honour belongs to the Bank of Upper India, which was established in 1863, and which survived until 1913, when it failed, with some of its assets and liabilities being transferred to the Alliance Bank of Shimla. Foreign banks too started to arrive, particularly in Calcutta, in the 1860s. The Comptoire d'Escompte de Paris opened a branch in Calcutta in 1860, and another in Bombay in 1862; branches in Madras and Pondicherry, then a French colony, followed. HSBC established itself in Bengal in 1869. Calcutta was the most active trading port in India, mainly due to the trade of the British Empire, and so became a banking centre. The first entirely Indian joint stock bank was the Oudh Commercial Bank, established in 1881 in Faizabad. It failed in 1958. The next was the Punjab National Bank, established in Lahore in 1895, which has survived to the present and is now one of the largest banks in India. Around the turn of the 20th Century, the Indian economy was passing through a relative period of stability. Around five decades had elapsed since the Indian Mutiny, and the social, industrial and other infrastructure had improved. Indians had established small banks, most of which served particular ethnic and religious communities. NATIONALISATION 8 The next significant milestone in Indian Banking happened in the late 1960s when the Indira Gandhi government nationalized, on 19th July, 1969, 14 major commercial Indian banks, followed by nationalization of 6 more commercial Indian banks in 1980. The stated reason for the nationalization was more control of credit delivery. After this, until the 1990s, the nationalized banks grew at a leisurely pace of around 4%-also called as the Hindu growth of the Indian economy. To understand the Indian banking sector more easily a diagram is shown regarding the name of the bank, its numbers shown in the bracket and also the category of bank under which it falls. 9 10 STRUCTURE OF THE ORGANIZED BANKING SECTOR IN INDIA. BACKGROUND Axis Bank was the first of the new private banks to have begun operations in 1994, after the Government of India allowed new private banks to be established. The Bank was promoted jointly by the Administrator of the specified undertaking of the Unit Trust of India (UTI - I), Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC) and other four PSU insurance companies, i.e. National Insurance Company Ltd., The New India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance Company Ltd. The Bank today is capitalized to the extent of Rs. 359.44 crores with the public holding (other than promoters) at 57.74%. The Bank's Registered Office is at Ahmedabad and its Central Office is located atMumbai. The Bank has a very wide network of more than 838 branches and Extension Counters (as on 31st May 2009). The Bank has a network of over 3674 ATMs (as on 31st May 2009) providing 24 hrs a day banking convenience to its customers. This is one of the largest ATM networks in the country. 11 The Bank has strengths in both retail and corporate banking and is committed to adoptingthe best industry practices internationally in order to achieve excellence. MISSION AND VALUES Mission of Axis Bank Customer Service and Product Innovation tuned to diverse needs of individualand corporate clientele. Continuous technology up gradation while maintaining human values. Progressive globalization and achieving international standards. Efficiency and effectiveness built on ethical practices. Core Values of Axis Bank Customer Satisfaction through Providing quality service effectively and efficiently "Smile, it enhances your face value" is a service quality stressed onPeriodic Customer Service Audits Maximisation of Stakeholder value Success through Teamwork, Integrity and People. 12 THE COMPANY AND ITS PRODUCT LINE Axis Bank Limited (Axis Bank) offers a broad range of retail & corporate bankingproducts and services in India. The bank was earlier known as UTI Bank Limited.The company offers several products including accounts, deposits, cards,credits,advisory services, treasury, mutual funds, cash management, international bankingand transaction services. The bank operates 827 branches and extension counters, as on 31 March 2009. Axis Bank has operations in 29 States and 3 Union Territories in India. The bank has a network of 3595 ATM machines. Axis Bank is the thirdlargest ATM network provider in India. It also has branches in China, Hong Kong,Singapore and UAE. The bank is headquartered at Mumbai in India. The company reported revenues of (Rupee) INR 108,291.13 million during the fiscal year ended March 2009, an increase of 54.59% over 2008. The operating profit of the company was INR 36,801.90 million during the fiscal year 2009, anincrease of 42.35% over 2008.