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Project Report
Project Report
A Project Report on
STRATEGIES FOR BUSINESS DEVELOPMENT OF THE BRANCH
1
GURGAON MAIN BRANCH
MARCH 2016
GURGAON
CERTIFICATE
Gurgaon-122001
2
DECLARATION
Saumya Agnihotri
(Trainee Officer)
Syndicate Bank
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ACKNOWLEDGEMENT
I feel honored and privileged to have the opportunity to work and learn
under the inspiring mentorship of Mr. K. S. Karunakara who has been guiding and
encouraging me in all aspects of Banking. I shall always remember your guidance
and right attitude which invoked a new sense of dedication and loyalty towards
Syndicate Bank.
I would like to mention the major role of Mr. Vijay Singhal and Mrs. Shashi
Kumar who provided continuous support and guidance in my internship program
which helped me understand the intricacies of banking.
They all had to bear heavy responsibility and concern in bringing this project
to a successful end, in a selfless spirit.
I also would like to thank Syndicate Nitte School of Banking to have given
me this platform to have a proper insight of practical banking. I take pride to
embark upon my banking career with such vivid experience.
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Last but most importantly I would like to thank Mr.Hari Kapoor, Mr. M.S.
Rao and my father Late Dr. O.P. Agnihotri for all the inspirations and teachings,
which has nurtured me to have the right attitude to learn things in best possible way.
They will always be my role models professionally and personally.
Table of Contents
Executive Summary 7
1. 1.1 Introduction 8
1.1.4 History 19
2. Analysis 26
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2.3 SWOT analysis 34
3.2.1 Product 39
3.2.2 Price 39
3.2.3 Place 40
3.2.4 Promotion 40
3.2.5 People 41
3.2.6 Process 41
3.1 Screenshots 44
5. Conclusion 50
Bibliography 51
6
Executive Summary
Banks as a financial institution is just not bound to deposits of funds and giving
loans to its customers. It has expanded offering various products to its customers such as
personal loans, home loans, savings account, and credit cards and so on. It is very essential
for a Bank to know, which user to target for what product and when. The goal of data
mining department is to arrive at accurate answers to these 3 questions, (Which User, What
Product, When), and it is a rewarding exercise for the bank, branch and definitely to the
employee as well to the existing and prospective customer of the bank.
The problem is very simple. A customer may have purchased a single product or
multiple products from a bank. Ideally, the bank would like if all its customers bought all
of its products. However in practical dimensions this isn’t possible, therefore without any
targeting model; the bank would be wasting money, time and resources by randomly
targeting customers for its products.
This project is an honest attempt to find out the techniques and methods which are useful
in identifying customer needs and then formulating strategies for business development by
providing complete banking solutions & satisfaction to customers.
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Chapter 1
Introduction
1.1 Introduction:
History proves Banking has always been a part of civilization. As early as Harrapan
civilization or later during the period of kings and emperors banking in India has always
existed. However, modern age banking originated in the last decades of the 18th century.
The first banks were Bank of Hindustan (1770-1829) and The General Bank of India,
established 1786 and since defunct. The banking became more prominent and challenging
after inclusion of private banks and retail banking. And today we are dealing in virtual
systems for our daily financial purposes.
India’s banking sector is currently valued at Rs 81 trillion (US$ 1.31 trillion). It has the
potential to become the fifth largest banking industry in the world by 2020 and the third
largest by 2025, according to an industry report. The face of Indian banking has changed
over the years. Banks are now reaching out to the masses with technology to facilitate
greater ease of communication, and transactions are carried out through the Internet and
mobile devices.
In the recent times, the world economy has faced huge crisis. However amidst all these
turmoil Indian Banking Industry has been amongst the few to maintain resilience. The
tempo of development for the Indian Banking Industry has been remarkable over the past
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decade. It is evident from the higher pace of credit expansion, expanding profitability,
lower incidence of non-performing assets and focus on financial inclusion have contributed
to making Indian Banking Industry vibrant and strong.
Syndicate Bank
सससससससस सससस
Type Public
Founded Udupi, 1925 (as Canara Industrial and Banking Syndicate Limited)
Shri T K Srivastava
(Executive Director)
Shri Ravi Shanker Pandey
(Executive Director)
Products Finance and insurance
Consumer Banking
Corporate Banking
Investment Banking
Investment Management
Private Equity
Mortgages
Credit Cards
Slogan Faithful and Friendly (English) & Viswasaneeya Hitheshi (Sanskrit)
Website www.syndicatebank.in
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Global_Business 461192 crore (US$68 billion) (31 March 2015)
Total
6933966 lakh (US$10 billion) (31 March 2015)
Investments
Reserves &
1239672 lakh (US$1.8 billion) (31 March 2015)
Surplus
Domestic
225402 crore (US$33 billion) (31 March 2015)
Deposits
Domestic
165153 crore (US$24 billion) (31 March 2015)
Advances
Global Gross
6442 crore (US$950 million) (31 March 2015)
NPA
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Global Net NPA 3843 crore (US$570 million) (31 March 2015)
Ret'n
Assets(%)Annua 0.58% (31 March 2015)
lzd
Book
197.24 crore (US$29 million) (31 March 2015)
Value/Share
Employees 27222
Domestic
3682
Branches
Semiurban
936
branches
Overseas
1
branches
International
2
Business Centres
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Syndicate Bank is one of the oldest and major commercial banks of India. It was founded
by T M A Pai, Upendra Pai and Vaman Kudva. At the time of its establishment, the bank
was known as Canara Industrial and Banking Syndicate Limited. The bank, along with 13
major commercial banks of India, was nationalised on 19 July 1969, by the Government
of India.
to know more about Syndicate Bank products & services we may install SYNDGUIDE
app on your mobile
Mergers
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As time progressed, twenty banks merged with the Canara Industrial and Banking
Syndicate Limited including the Maharashtra Apex Bank Limited and Southern India
Apex Bank Limited. The name of the bank was changed to Syndicate Bank Limited in
1964 and the head office of the bank was shifted to Manipal. The bank expanded its
operations not only on the domestic front but also overseas. It has a branch in London
and the bank manages National Exchange Co. in Doha and Musandam Exchange Co. in
Muscat. By 1978, it opened its 1000th branch at Hauz Khas, Delhi. Currently it has over
3500 branches and all branches are offering corebanking-e-banking services under
anywhere-anytime-anyhow banking. Syndicate Bank has one branch in London, United
Kingdom.
● Prathama Bank
● Karnataka Vikas Grameena Bank
● Andhra Pragathi Grameena Bank
In the news
.
● Recently, Syndicate Bank has achieved a rare feat of opening one million customer
accounts in a span of 3 months.
● Public sector lender Syndicate Bank on 31,August,2009 said Vasant Golecha Jain has
been appointed as chairman and managing director till 29 February 2012.
● It has also sponsored a regional rural bank in Karnataka called Karnataka Vikas
Grameena Bank(formed after amalgamation of four other RRB's) which stands fourth
in India.
● It has introduced five new products namely SyndDoctor, SyndGranite, SyndTextiles,
SyndCashew and SyndTransport on its 88TH FOUNDATION DAY, besides opening
88 new branches.
Bank has been conferred "Best Bank Award" amongst all the Banks in
the RSETI movement by Sri Jairam Ramesh, Hon’ble Minister for Rural
Development, Government of India. Bank has been awarded Banking Excellence Award
2013 for the second best public Bank in overall performance by State forum of Bankers
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Club Kerala. Bank has been awarded for Record Breaking Performance during Synd LIC
Saptah (2 to 7 December 2013) by marketing 15119 policies Highest by any of the
Bancassurance Partners during a week by Life Insurance Corporation of India
As part of a Bank’s brand building exercise and to harness its image, Bank has
repositioned its Logo by changing the colour combinations. The combinations of Orange,
Yellow, Black & White colours give uniqueness to the Logo. The repositioning of logo is
aimed at providing a more clear understanding for which the organisation stands for,
build loyalty from customers, establishing a brand identity, and also to provide a more
contemporary look to its logo in a continuously changing & dynamic business
environment.
Bank is recruiting around 3000 young officers to replace retiring officers.
Branch Expansion
Bank has opened many new branches during the year and reached a mile stone of 3702
branches as of 1 March 2016 (including a branch in London): 1150 Rural, 936 Semi
Urban, 783 Urban and 682 Metro Branches. Bank has presence in all the States and
Union Territories of the country.
Financial Inclusion
● Bank has opened 103.844 lakh Basic Savings Bank Deposit Accounts
(BSBDA) as on 31.03.2015. Of which 6.058 lakh accounts were opened during the
quarter ended as on 31.03.2015. The balance outstanding in these accounts is Rs. 3611.81
crore as on 31.03.2015 (103.793 lakh accounts).
● Bank has opened 3496559 number of accounts under PMJDY with a balance
of Rs. 505 crore as at 31.03.2015.
Capital Planning
● Government of India infused Rs.460 crore capital (including premium) in March 2015 by way of
preferential allotment of 3,74,74,541 equity shares at issue price of Rs.122.75 per share.
● Bank has raised Unsecured Non-Convertible Redeemable Basel III compliant Tier II bonds (of 10years) of
Rs.1150 crore during FY 2014-15, in two tranches. Rs.750 crore at coupon rate of 8.95% p.a in December
2014 & Rs.400 crore at coupon rate of 8.75% p.a during March 2015.
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Corporate Tie Up
Bank has entered into strategic tie-up with the following Corporates:-
● Bank had signed a Memorandum of Understanding (MOU) with M/s SBI Life
Insurance Co. Ltd. on 30 March 2015 for providing Group Life Insurance cover to
Education Loan Borrowers of the Bank.
● Bank has a Corporate Agency tie-up with M/s TATA-AIA Life Insurance Co Ltd. on
30 March 2015 for providing Group Life Insurance cover to Housing
Loan borrowers of the Bank on optional basis.
Corporate Strategies
● To attract retail investors in the pursuit of tax savings and to take advantage of the
available opportunity, Bank has recently launched a campaign titled "Save Tax – Get
Relaxed" from 1 January – 31 March 2015. This campaign was designed to increase
business of the Bank under Core Term Deposits, Life Insurance Policies from LIC of
India, ELSS option of Mutual Funds and Mediclaim polices of the Bank.
● In order to provide impetus for growth and to increase growth in potential branches,
Bank has selected 55 STAR branches to tap business in line with corporate vision to
achieve a level of Rs. 10 lakh crore businesses by 31.03.2020. All these branches will
be provided good amenities at branch premises for customers.
● Bank had launched a special SIP campaign titled "SYND Mutual Funds –SIP
Campaign" with all the nine Mutual Fund Companies, covering all the asset classes
i.e. Equity, Debt and Hybrid. The objective of the campaign was to increase the
penetration in Mutual Funds business and build the SIP book along with Asset under
Management (AUM) for the Bank. 3233 SIP Folios were created with a monthly SIP
amount of Rs.34.64 lacs in various schemes.
Going Forward
● Bank is planning to open 355 new branches during FY 2015-16 and also to recruit
5000 personnel in clerical and official cadre. Bank has planned to open 8 "State of the
Art Branches" and 100 "Fast Track branches" in the near future.
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● The Bank has opened 37 mid-corporate branches till now. Another 13-14 branches
will be opened in the next two to three months.
● In order to augment long term resources and further strengthening of the Capital
Base, Bank proposes to raise Equity Capital by way of Rights Issue /QIP
(Domestic/Foreign) / Follow on public issue based on market conditions and
approach the market for Basel III compliant additional Tier I bonds and Tier II bonds.
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Colour Pattern of our Banks Logo
The pictorial dog of the Logo is in sync with our Bank motto -'Faithful and Friendly'. The combination of Orange,
Yellow and White colours give uniqueness to our Logo
Orange
Orange is a Unique colour which denotes power, energy, enthusiasm and creativity, thoughtfulness and sincerity. It is
warm, vibrant and flamboyant colour. It is energy combined with fun, the colour of the risk-taker the extrovert and
the uninhibited. In color psychology it means adventure, optimism, self-confidence and sociability.
More gentle than red, orange represents a more feminine energy and the energy of creation.
In a nutshell, orange indicates Bank's Vibrancy, competency and confidence to reach the next horizon of business.
Yellow
Yellow,The colour that relates to acquired knowledge. It is the colour which resonates with the left or logic side of
the brain stimulating our mental faculties and creating mental agility and perception. Being thelightest hue of the
spectrum, the colour psychology of yellow is uplifting and illuminating, offering hope, happiness, cheerfulness
and fun. Yellow is the best colour to create enthusiasm for life and can awaken greater confidence and optimism.
Yellow helps with decision making as it relates to clarity of thought and ideas. Yellow is non-emotional, coming from
the head rather than the heart.
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Yellow indicates innovation, backing the vibrancy and quick decisions through collective work and thinking.
Our Bank, with its large network of branches and dedicated human capital has an ambitious goal of achieving higher
level of business with the contribution from each and every Syndian with utmost honesty, perfection and commitment.
Our endeavour shall be to make this possible by way our team work supported by the New Brand Identity.
1.1.3 History
Syndicate Bank started in 1925 from a small village in Udupi to its new hi-rise and
hi tech Corporate Office in Bangaluru, is a saga of vision, enterprise, financial prudence
and corporate governance.
In 1925, 3 persons Shri. U A Pai, Shri Vaman Kudwa and Shri TMA Pai with a
vision to serve society, set up the Syndicate Bank.
In 1969 Syndicate Bank was nationalized along with 13 other banks. In 1971 it
established its 1st overseas branch in London (UK).
It has nearly 66% rural branches which is serving our nation in the aspects of financial
inclusion.
The Bank has its own self developed in-house application. Syndicate Bank is the first bank
in India to introduce CBS (Core Banking Solution) and hence centralized computerization.
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Table 1.1Key Business Indicators of Syndicate Bank
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Table 1.2 Equity value of Syndicate Bank
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Equity Holdings of Syndicate Bank
Urban 813
21
Semi-Urban 998
Rural 1215
Foreign (Overseas) 1
Total (Global) 3702
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1.2 Objectives of project:
● Data and information collected from various departments, staff, customers, Annual
report of bank, and website of bank are explored and analyzed.
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● Other Bank’s branches situated in the same area have been taken as samples and
methodology adopted by them analyzed.
Chapter 2
Analysis
Chapter 2
Analysis
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Services / Facilities available Deposit products
Credit products
Remittance
Clearing Services
Safe Deposit Vault
ATM, ATM Cash
Deposit Machine
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Total NPA 1.84
Income 7.68
Business of our Branch till date (01 March 2016), figures in Crores
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Total Deposits 248.72
Income 9.39
Difference in Business of our Branch between (01 March 2016 & 04 January 2016),
figures in lakhs
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Total Deposits 86.52 +0.35%
As we can clearly see that the business of the branch has grown tremendously and
the branch is progressive immediately after the arrival of AGM Mr. Karunakara.
Overall national
rank among 3701
Service Number of users
branches of
Syndicate Bank
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SMS Alerts 1902 79
Online resetting of IB
53 199
p/w
1) CASA DEPTT.
Savings Bank A/c Metro Urban product code 201
180-200 deposits in CASA on daily average basis.
120 withdrawals from CASA on daily average basis.
Nearly 20 new chequebooks are issued daily.
5) Loans/Advances Deptt.
Synd Nivas Home loan : Rs. 4 Crores
WCL:- Rs.35 crores
Retail loans :- 40 lakhs
Rest Term Loans:- Rs. 45 crores
Gurgaon
सससससससस
सससससससस
31
Metropolis
Gurgaon
Location of Gurgaon in Haryana
Country India
State Haryana
Regierung
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• Body Municipal Corporation of
Gurgaon
Area
Population 876,824[1]
Languages
PIN 122001
Website gurgaon.nic.in
It is an analysis which depicts the true position of the firm in terms of Competition and
prepares the firm for future endeavors.
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It starts by Stating the
● Strengths(S) on which the Company can bank upon and moves forward followed by
● Weakness (W), which they need to cover under the belt of Strengths, then
● Opportunities (O) which the companies can grab from the mouth of the competitor
SWOT Analysis is prepared on the basis of results arrived from different Statistical
techniques. Techniques include:
● Interviews,
● Expert Opinions,
● Pilot Surveys and
● Customer Feedback and Secondary sources
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2.3.1Findings under each of the head of the Analysis are:-
1. Strengths
● Advantages Bank/Branch have:
▪ Urban area branch
▪ Prominent city location giving ample opportunities to receive
business like, Real estate business and proprietorship and Partnership
Company.
▪ The main sadar bazaar is nearby, huge potential of deposits and advances is
there.
● Importance of the Customer for Bank/Branch:
▪ High
▪ Customer is everything for a Bank.
▪ Relationship with some customers is too old and warm that we don’t have to
rush through our MIS data because we are already much aware about them
personally.
2. Weakness
3. Opportunities
4. Threats
▪ Big players like State Bank of Patiala, Canara Bank, State Bank of
India, IndusInd Bank, ICICI Bank, HDFC bank, and Indian Overseas
are situated near branch area.
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Chapter 3
Findings and Business development strategy
Chapter 3
On the basis of SWOT analysis done of the branch we first have to set the strategic
objectives in the below form:
Product Features of service offering like various types of deposit and loans as
per customer’s requirements.
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quality of Banks which is considered a prime factor in the Bank
selection criteria by customer also.
Physical This is a highly rational part of Banking services. These are to attract
environment potential customers towards Bank and to retain existing.
3.2.1 Product
Objective of strategy:
The strategy involves offering of services, like various types of deposit and loans as
per customer’s requirements.
For example: A customer has savings account in a bank, based on the information given
to the bank along with account status and history, we could target her as a prospect for a
personal loan product based on a logic / algorithm.
The logic / algorithm could be as simple as if a customer from urban area with account
balance of Rs 1,00,000 or more for over 6 months should be a prospect for home loans Rs
20,00,000 or personal loans over Rs 3,00,000.
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3.2.2 Price
Objective of strategy:
● These factors are decided on macro level, which are not in the hand of branches to
change. Hence no strategy can be formulated to be price competitive.
3.2.3 Place
Objective of strategy:
Branches, ATMs, Mobile and Internet Banking for affordability, quality & convenience,
smooth & error free CBS (Core Banking Solutions).
⮚ Implementation of project:
Major changes & benefits under this project are:
All these steps will provide opportunity for better utilisation of resources in sales and
service, for higher revenue generation and greater customer delight.
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3.2.4 Promotion
Objective of strategy:
To create awareness and improve attractiveness of product & services offered by Bank in
customer’s mind.
⮚ Personal selling-
● By branch staff as an advice to customers.
⮚ Direct marketing-
● By targeting employees of organizations like:
▪ Government organizations
3.2.5 People
Objective of strategy:
Establish a nice & customer friendly approach by Bank branch employees. As their
behavior is a significant factor in the service quality of Banks which is considered a prime
factor in the Bank selection criteria by customer also.
● Awareness of products & services offered by branch through branch meetings, new
product training programs.
● Knowledge of correct rules & practices followed in customer dealing to offer error
free services.
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3.2.6 Process
Objective of strategy:
The process of a transaction contains Time, accuracy and convenience. Customer must feel
delighted after getting a transaction processed.
● Reduce turnaround time for every process by allocating work to staff as per the
skills and situation.
Objective of strategy:
This is a highly rational part of banking services. These are to attract potential customers
towards Bank and to retain existing.
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Chapter 4
Our new Facebook page
To connect with our customers and potential customers on social media, I have
created a new facebook page with name, “Syndicate Bank Gurgaon Main”.
Link: http://www.facebook.com/syndicatebankgurgaon
We got a good response of this page. Till date there are more than 160+ likes in
just 25 days of its inception.
This initiative helped us to promote various products and services such as synd-e-
passbook, mobile banking, internet banking, gold bonds, lockers, synd guide, etc.
Moreover this page helped us to build a brand among customers to have a social
media presence.
Syndicate Bank Gurgaon is the first bank and first branch of Gurgaon to have its
own facebook portal for our customers.
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Screenshots:
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45
46
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Chapter 5
Conclusion
The strategies suggested in this project report are based on the SWOT analysis of
the branch. The strategies show the importance of seven factors including: Product, Price,
Place, Promotion, People, Process and Physical environment of branch. These factors are
49
highly rational part of banking services. These are to attract potential customers towards
Bank and to retain existing. Also they help in efficient utilization of the same resources for
selling more products by using techniques like cross selling, personal selling etc.
These all has been possible due to dedicated workforce of who has mainly
concentrate toward SUSTAINABLE BUSINESS MODEL of Bank.
So the Branch strategy should mainly concentrated over the SUSTAINABLE BUSINESS
MODEL of Bank and business should be on retail segment. Retail growth gives a
sustainable growth in contrast to bulk business which is quite susceptible to high risk.
Hence the branch should mainly concentrate on retail growth as Assets & Liability
products.
The bank is situated in residential cum business area. It provides a very good scope for
retail business. The focus should be to more strategy which is adoptable to the competitive
changing environment of high level of competition
Use of these strategies will ensure better customer satisfaction and higher revenue for the
branch. This will lead the way for bank “To be a top ranking National Bank of International
Standards committed to augmenting stake holders' value through concern, care and
competence”.
Bibliography:
⮚ Reports and other materials available in branch for branch profile analysis.
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⮚ Special thanks to Mr.Vijay Singhal, Assistant Manager who provided me a lot of
information about the bank and the branch.
⮚ Websites:
● www.syndicatebank.in
● www.wikipedia.com
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