SBI Assignment 1
SBI Assignment 1
PGDM-FS
Roll No 34
State Bank of India
About SBI:
Founded in 1806, Bank of Calcutta was the first bank established in India and over
a period of time evolved into State Bank of India (SBI). SBI represents a sterling
legacy of over 200 years. It is the oldest commercial bank in the Indian
subcontinent, strengthening the nation’s trillion-dollar economy and serving the
aspirations of its vast population. The Bank is India’s largest commercial Bank in
terms of assets, deposits, branches, number of customers and employees,
enjoying the continuing faith of millions of customers across the social spectrum.
Headquartered at Mumbai, SBI provides a wide range of products and services to
personal, commercial enterprises, large corporates, public bodies and
institutional customers through its various branches and outlets joint ventures,
subsidiaries and associate companies.
Vision:
1. MY SBI.
2. MY CUSTOMER FIRST
3. MY SBI: FIRST IN CUSTOMER SATISFACTION
Mission:
1. We will be prompt, polite and proactive with our customers.
2. We will speak the language of young India.
3. We will create products and services that help our customers achieve their
goals.
4. We will go beyond the call of duty to make our customers feel valued.
5. We will be of service even in the remotest part of our country.
6. We will offer excellence in services to those abroad as much as we do to
those in India.
7. We will imbibe state-of-the-art technology to drive excellence.
Values:
1. We will always be honest, transparent and ethical.
2. We will respect our customers and fellow associates.
3. We will be knowledge driven.
4. We will learn and we will share our learning.
5. We will never take the easy way out.
6. We will do everything we can to contribute to the community we work in.
7. We will nurture pride in India.
Policies at SBI:
Compensation Policy:
IT-CBS Development department has developed the necessary functionality
related to automation of payment of compensation for the following deficiencies
in CBS and rolled out the same since November, 2013. Detailed operational
guidelines in regard to payment of compensation to the customers on account of
deficiencies in the services have been circulated by way of e-Circular No. :
NBG/BOD-GB/70/2014 – 15 dated 05th November, 2014.
3. Right to Suitability
The products offered should be appropriate to the needs of the customer
and based on an assessment of the customer’s financial circumstances and
understanding.
4. Right to Privacy
Customers’ personal information should be kept confidential unless they
have offered specific consent to the financial services provider or such
information is required to be provided under the law or it is provided for a
mandated business purpose (for example, to credit information
companies). The customer should be informed upfront about likely
mandated business purposes. Customers have the right to protection from
all kinds of communications, electronic or otherwise, which infringe upon
their privacy.
5. Right to Grievance Redressal and Compensation
The customer has a right to hold the financial services provider accountable
for the products offered and to have a clear and easy way to have any valid
Customer Rights Policy – 2018 grievance redressed. The provider should
also facilitate redressal of grievances stemming from its sale of third party
products. The financial services provider must communicate its policy for
compensating mistakes, lapses in conduct, as well as non-performance or
delays in performance, whether caused by the provider or otherwise. The
policy must lay out the rights and duties of the customer when such events
occur.
1. To have a strong commercial bank under the control and supervision of the
Government.
2. To spread banking facilities in rural, semi-urban and metropolitan areas by
opening 400 branches within five years of its establishment. This policy of
branch expansion has since been continued.
3. To help spread banking in rural areas for the purpose of encouraging and
mobilising savings among the ruralists and to provide credit to them.
4. To subscribe to the debentures of State Land Development Banks and to
advance loans on their security.
5. To strengthen co-operative societies, help in the establishment of licensed
warehouses arid co-operative marketing societies.
6. To provide financial assistance to small, cottage and village industries.
7. To help other banks and strengthen the banking system.
8. To help the RBI in implementing its monetary and credit policies
Historical Events
A major change in the conditions of operation of the Banks of Bengal, Bombay
and Madras occurred after 1860. With the passing of the Paper Currency Act of
1861, the right of note issue of the presidency banks was abolished and the
Government of India assumed from 1 March 1862 the sole power of issuing paper
currency within British India. The task of management and circulation of the new
currency notes was conferred on the presidency banks and the Government
undertook to transfer the Treasury balances to the banks at places where the
banks would open branches. None of the three banks had till then any branches
(except the sole attempt and that too a short-lived one by the Bank of Bengal at
Mirzapore in 1839) although the charters had given them such authority. But as
soon as the three presidency bands were assured of the free use of government
Treasury balances at places where they would open branches, they embarked on
branch expansion at a rapid pace. By 1876, the branches, agencies and sub
agencies of the three presidency banks covered most of the major parts and many
of the inland trade centres in India. While the Bank of Bengal had eighteen
branches including its head office, seasonal branches and sub agencies, the Banks
of Bombay and Madras had fifteen each.
The presidency Banks of Bengal, Bombay and Madras with their 70 branches were
merged in 1921 to form the Imperial Bank of India. The triad had been
transformed into a monolith and a giant among Indian commercial banks had
emerged. The new bank took on the triple role of a commercial bank, a banker's
bank and a banker to the government.
But this creation was preceded by years of deliberations on the need for a 'State
Bank of India'. What eventually emerged was a 'half-way house' combining the
functions of a commercial bank and a quasi-central bank.
The establishment of the Reserve Bank of India as the central bank of the country
in 1935 ended the quasi-central banking role of the Imperial Bank. The latter
ceased to be bankers to the Government of India and instead became agent of
the Reserve Bank for the transaction of government business at centres at which
the central bank was not established. But it continued to maintain currency chests
and small coin depots and operate the remittance facilities scheme for other
banks and the public on terms stipulated by the Reserve Bank. It also acted as a
bankers' bank by holding their surplus cash and granting them advances against
authorised securities. The management of the bank clearing houses also
continued with it at many places where the Reserve Bank did not have offices.
The bank was also the biggest tenderer at the Treasury bill auctions conducted by
the Reserve Bank on behalf of the Government.
The State Bank of India was thus born with a new sense of social purpose aided by
the 480 offices comprising branches, sub offices and three Local Head Offices
inherited from the Imperial Bank. The concept of banking as mere repositories of
the community's savings and lenders to creditworthy parties was soon to give way
to the concept of purposeful banking subserving the growing and diversified
financial needs of planned economic development. The State Bank of India was
destined to act as the pacesetter in this respect and lead the Indian banking
system into the exciting field of national development.
Financial Statement
Specialized Products
References:
http://www.nibmindia.org/admin/fckImages/A1-
Vinimaya%20XXXVII%20No%203.pdf
https://www.sbi.co.in/AR1516/download_pdf.html
https://www.onlinesbi.com/