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ABOUT AXIS BANK

Axis Bank was the first of the new private banks to have begun operations in 1994. Bank was promoted jointly by the Administrator of Unit Trust of India (UTI - I),

The

Life Insurance Corporation of India (LIC)

5/16/12 General Insurance Corporation of

ABOUT AXIS BANK

The Bank has a very wide network of more than 1281 branches (including 169 Service Branches/CPCs as on 31st march 2011). Bank today is capitalized to the extent of Rs. 410.54 crores with the public holding (other than promoters and GDRs) at 53.60%. It has one of the largest ATM networks in the country. on 2011 it has 13,389 employees. 5/16/12

The

As

BOARD OF DIRECTORS
Dr.

Adarsh Kishore Shikha Sharma

Chairman Managing Director Director Director Director Director Director Director Director Director

Smt. Shri Dr.

&CEO

J.R. Varma

R.H. Patil R.B.L. Vaish M.V. Subbiah

Smt. Shri Shri Shri Shri Shri

Rama Bijapurkar

K. N. Prithviraj V. R. Kaundinya
5/16/12 S. B. Mathur

RISK AND EARNING PERSPECTIVE

From a medium-term perspective, it appears that Axis Bank could be charting out a niche for itself in the private bank space. It appears to be following a business strategy quite different from the high-volume and commodity-style approach of ICICI Bank and HDFC Bank

Strategy also has its pluses in terms of the higher margins in some segments of the retail business and the in-built credit risk diversification (and mitigation) achieved through a widely dispersed retail credit portfolio.

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PRODUCTS
Investment

Banking

Corporate

Banking

Retail

Banking Banking

Private

Investment 5/16/12 Management

INVESTMENT BANKING
Aninvestment

bankingis a financial institution that assists corporations and governments in raising capital by underwriting and acting as the agent in the issuance ofsecurity. investment bank also assists companies involved inmergers and acquisitions,derivatives, etc. Further it provides ancillary services such asmarket makingand the trading ofderivatives,fixed income instruments,foreign exchange,commodity, andequity 5/16/12 securities.

An

COMMERCIAL BANKING
Acommercial

bankingis a type offinancial intermediaryand a type ofbank.

Commercial

banking is

also known asbusiness banking.

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RETAIL BANKING
Retail

bankingrefers to banking in whichbanking institutions execute transactions directly with consumers, rather than corporations or other banks. Services offered 5/16/12 include:savings

PRIVATE BANKING
Private

bankingis a

term forbanking,investme ntand otherfinancial servicesprovided by banks to private individuals investing sizable assets.
The
5/16/12 term "private"

INVESTMENT MANAGEMENT
Investment

managementis the professional management of varioussecurities(s hares, bonds and other securities) andassets(e.g.,rea l estate), to meet specified investment 5/16/12 goals for the benefit

CREDIT CARD
Credit

cardis a smallplasticcard issued to users as a system ofpayment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services.
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MISSION & VISION

Mission :
Customer Service and Product Innovation tuned to diverse needs of individual and corporate clientele. Continuous technology up gradation while maintaining human values. Progressive globalization and achieving international standards. Efficiency and effectiveness built on ethical practices.

Vision :
5/16/12 To be the preferred financial solutions provider

Introduction to the Branch Where Internship was Branch undertaken Address

Life Insurance Corporation ( LIC ) Of India, Jeevan Prakash Building, Sector 17-B, Chandigarh 160017 India
Timings

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COMPETITIVE ANALYSIS

Interpretation of competitive analysis Operating expenses: It has been analysed from the above table thatHDFC BANK LTD has reported operating expenses of Rs. 7152 cr in 2011.The bank has been consistently posting growth of 22 % from a year agowhereas YES BANK LTD has reported for Rs. 6798 cr, Kodak Mahindra bankwith Rs. 5934 cr and axis bank ltd with Rs. 5734.55 and idbi bankstood at Rs. 2255 cr which is below the stipulated level .Net profit: HDFC bank ltd has reported a net profit gain of 33% ieRs. 3926 cr . HDFC BANK LTD has been been able to beat the estimateof Axis bank ltd with the net profit of Rs. 3388.49 cr whereas idbibank ltd has positioned to Rs, 1650 cr , kotakmahindra bank ltd andyes bank ltd positioned to Rs . 818.70 cr ,Rs. 717 cr .Earning per share: HDFC bank ltd eps stood at 85.025/16/12 2011whereas axis bank ltd % in FY stood at 82.03% but yes bank ltd , idbi bankand

Competitive Analysis
Capital

adequacy ratio : Kotakmahindra bank ltd capital adequacyratio has stood at 19.5% on 30 thapril 2011 whereas the lendingcapital adequacy ratio stood at 16.5% of yes bank , hdfc bank ltdwith 15.32% well above the 9% stipulated by central bank axis bank ltdwith 12.65% , and with 5/16/12 least 11.31% of idbi bank .Return

NO. OF EMPLOYEES IN BRANCH

NO OF EMPLOYEES IN BRANCH : -

13

MANAGERIAL : -

SUPERVISORY : - 2

SKILLED : -

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Functioning Of All The Departments

SALES DEPARTMENT:
OBJECTVES:

To increase the turnover of the Branch. To meet the targets in a given time period. To provide satisfactory services to the customers.

OPERATIONS DEPARTMENT: OBJECTIVES:

5/16/12 To maintain the balance b/w customer needs and the

SOURCES OF FINANCE:
Short term finance:
Overdraft Suppliers Working

credit

capital

Long term finance:

Mortgages Bank

loans 5/16/12

SOURCES OF FINANCE:
Internal finance:
Day

to day cash sales to customers. loaned from trade suppliers through extended credit. in the amount of stock held by business. of any surplus assets no longer needed (selling a 5/16/12 companys car).

Money

Reduction Sale

SWOT ANALYSIS

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RATIO ANALYSIS
Liquidity Ratios: Current Ratio

This ratio measures the solvency of the company in the short term. This ratio indicates that how much current asset is available for each rupee of current liabilities. So, higher the ratio more will be the margin of safety for short-term creditors.

Current ratio = current assets /current liabilities

Current assets are those which are converted into cash within one year. Current liabilities are liabilities which are to be repaid within a period of 1year. IDEAL RATIO = 2:1 In the AXIS bank, current ratio increased initially but
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RATIO ANALYSIS
QUICK RATIO
Quick

ratio or Liquid ratio or Acid Test ratio = Quick Assets OR Liquid Assets/ Current Liabilities

Quick Assets = Current Assets Inventories- Prepaid expenses

Ratio

of quick assets to quick 5/16/12 liabilities. Quick assets which can

RATIO ANALYSIS

Turnover Ratios (Activity Ratios) Inventory Turnover ratio= Cost of goods Sold Average Inventory It indicates no. of times stock has been turned into sales in a year IDEAL RATIO = 8 Cost of goods sold = Sales gross profit Average Inventory = Opening Stock + Closing Stock/ 2 Stock Conversion Period = Cost of goods Sold * No of days in ayear/Average Inventory

Debt Equity Ratio = Debt

Equity 5/16/12

RATIO ANALYSIS

EARNING PER SHARE: FORMULA: EARNINGS FOR EQUITY SHAREHOLDERS/ NO OF SHARES. Higher the EPS, better it is. But from past 5 years, EPS is declining at a high rate which shows that shareholders are getting less earning on shares.

Dividend per share: Formula :Annual dividend/ no of shares Higher the DPS , better it is. As the DPS is declining so it shows banks profits are also declining.

FIXED ASSETS TURNOVER RATIO:

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Strategies
MARKETING STRATEGY:

The bank continues to surprise employees as well as customers with all the creative ideas and approaches to marketing. Axis Bank organises various contests such as chill and thrill, T-20 etc in order to motivate their employees by giving them targets to be completed in a specified time period. Bank also organises competitions between different departments such as sales and operations dept in which whosoever dept completes the targets on time is considered to be the winner and is thus awarded with certain prizes and other rewards.

FINANCIAL STRATEGY:

The strategy of Axis bank is to set goals, control costs and to increase the profitability of clients and sales channels. The focus is on the needs of customers to screen clients efficiently and identify profitable marketing opportunities. The Bank assesses the main risk factors in banking and how 5/16/12 to mitigate these risk factors and to use an effective portfolio

Strategies
HR STRATEGY: The Bank has continued to lay great emphasis on human resource development, to make its employees attain global standards in productivity, thereby maximising value creation for its stakeholders. The employees form the backbone in all the initiatives undertaken by 5/16/12

CUSTOMER PERSPECTIVE FOR E-BANKING SERVICES IN SELECTED PUBLIC AND PRIVATE SECTOR BANKS IN CHANDIGARH.

OBJECTIVES
To

find the awareness of internet banking among the customers of public sector and private sector banks. find the customer satisfaction relating to e-banking services.

To

NEED
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Research Methodology

EXPLORATORY RESEARCH DESIGN This research design is taken because it will help in understanding the research problem more effectively. The sample size is small and there is qualitative analysis of primary data. SAMPLING TECHNIQUE NON-PROABILITY SAMPLING TECHNIQUES CONVENIENCE SAMPLING I am using non-probability sampling technique because we are not sure that a particular person is our respondent or not. I am using convenience sampling because it will be easy for us to identify and select a person who could be our 5/16/12 respondent for this survey.

Research Methodology

SAMPLE UNIT My sample unit consists of customers of public and private sector banks. SAMPLE SIZE I have taken a sample size of 200 respondents. This number is decided taking time frame into consideration. SCOPE The scope our survey is presently confined to Chandigarh according to the convenience of the surveyors. POPULATION

Population for conducting this survey is quite large as majority of the Indian population is having bank accounts in Chandigarh. The element of our survey is people who are having bank accounts in respective banks i.e.AXIS, ICICI, HDFC, HSBC, SBI, PNB, Bank Of India and Punjab & Sind Bank. 5/16/12 SCOPE

DETAILS OF ACTUAL WORK UNDERTAKEN:

On

the very first day I studied the brief history and various departments of the bank. organisation structure of the Branch. are the various departments in the branch and their functioning? to take up the operations 5/16/12 department as it is

Understood What

Decided

DETAILS OF ACTUAL WORK UNDERTAKEN:

Insurance Studied

policies

the major service of the bank i.e. e banking services, its working/operation, functions. to take up the topic of customer perspective for e banking services in selected public and private sector banks in Chandigarh because in the coming 5 years as the technology 5/16/12

Decided

ANALYSIS
The

Customers following Private Sector Banks of Chandigarh have been considered for the analysis of the customer perspective for E-Banking ServiceBank

Axis ICICI

HDFC

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 Q1) Number of customers using E-Banking Service?(N=100)

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Q2) If No, Why?(N=30)

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Q3) If they heard but never used, why?(N=30)

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Q4) If yes, E banking should be there?(N=70)

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Q5) E-Banking services customers use the most?(N=100)

E-Banking Services
a)ATM card

Always 59 12 11 27 22 23 18 23

Usually Sometimes 18 20 18 14 20 14 18 23 15 18 23 16 14 19 14 20

Seldom 0 12 9 14 11 8 10 10

Never 0 31 31 17 26 27 27 13

b)Inter Branch Banking

c)Net Banking

d)Bill Pay

e)Phone Banking

f)Credit card

g)International Debit Card

h)Online Booking of Railway Tickets

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 Q6) How many times customers use E- Banking services in a month? (N=70)

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Q7) How many people are satisfied with the E-Banking Services?(N=100)

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Q8) Benefits of E banking to customers?(N=100)

Benefits of E Banking. a) Reduced Transaction Cost b) Time Saving c) Convenient d) Opening of Fixed deposit account Strongly Agree 33 35 29 14 Agree 24 30 25 22 Neutral 26 25 27 26 Disagree 7 2 5 12 Strongly Disagree 1 0 6 18

e) Downloading of account statement

30

25

21

10

f) Account information g) Fund Transfer

44 21

19 21

17 21

7 7

5 17

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Q9) Opinion of the customers regarding the weaknesses of E Banking.

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Q10) Do customers have any grievances against the bank providing internet banking services? (N=100)

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ANALYSIS
The

Customers following Public Sector Banks of Chandigarh have been considered for the analysis of the customer perspective for E-Banking ServiceBank Of India National Bank Of India 5/16/12

State Punjab Bank

Q1) Number of customers using E-Banking Service?(N=100)

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Q2) If No, Why?(N=60)

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Q3) If they heard but never used, why?(N=60)

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Q4) If yes, E banking should be there?(N=40)

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Q5) E-Banking services customers use the most? (N=100)

E-Banking Services a)ATM card b)Inter Branch Banking c)Net Banking d)Bill Pay e)Phone Banking f)Credit card g)International Debit Card h)Online Booking of Railway Tickets Always 52 19 15 20 13 13 11 21 Usually 29 12 7 17 15 18 16 21 Sometimes 7 10 17 14 15 10 13 20 Seldom 4 16 12 12 12 13 16 16 Never 5 40 44 34 42 42 36 18

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Q6) How many times customers use e banking services in a month?(N=40)

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Q7) How many people are satisfied with the E-Banking Services? (N=100)

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Q8) Benefits of E banking to customers?(N=100)

Benefits of E Banking. a) Reduced Transaction Cost b) Time Saving c) Convenient d) Opening of Fixed deposit account e) Downloading of account statement f) Account information g) Fund Transfer Strongly Agree 26 39 19 15 Agree 28 21 18 17 Neutral 23 24 29 21 Disagree 10 6 19 21 Strongly Disagree 9 7 12 23

23

15

11

18

17

36 14

19 20

18 19

9 13

13 26

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Q9) Opinion of the customers regarding the weaknesses of E Banking.

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Q10) Do customers have any grievances against the bank providing internet banking services?(N=100)

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FINDINGS & ANALYSIS

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RECOMMENDATIONS

There is still a lot needed for the banking system to make reforms and train there customers for using internet for there banking account. Going through the survey the main problem lies that still customer have a fear of hacking of accounts and thus do not go on for internet banking. Banks are trying there level best by providing the best security 5/16/12 options to the customers but then

RECOMMENDATIONS
Acceptance

of internet banking

accounts.

Give proper training to customers for using i-banking . a trust in mind of customers towards security of thereaccounts . Provide a platform from where the customers can access 5/16/12 different accounts at single time

Create

FURTHER SCOPE OF THE STUDY

The

research work could be extended to Banks also along with customers so that there is better understanding of the comparison between the banks regarding e banking services. scope for carrying out research work will help banks in finding concrete solutions to the 5/16/12

Further

LIMITATIONS OF THE STUDY

In

attempt to make this project authentic and reliable, every possible aspect of the topic was kept in mind .Nevertheless, despite of fact constraints were at play during the formulation of this project. main limitations are as followsto limitation of time only 5/16/12

The

Due

BENEFITS TO THE BANK

Ability Save

to increase Revenue. Productivity and Competitive

Money

Improves

Marketing

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