Nature of Banking Industry

Banks safeguard money and valuables and provide loans, credit and payment services, such as checking accounts, money orders, and cashier's checks. Banks also may offer investment and insurance products, which they were once prohibited from selling. As a variety of models for cooperation and integration among finance industries have emerged, some of the traditional distinctions between banks, insurance companies, and securities firms have diminished. In spite of these changes, banks continue to maintain and perform their primary role – accepting deposits and lending funds from these deposits.

There are several types of banks, which differ in the number of services they provide and the clientele they serve. Although some of the differences between these types of banks have lessened as they begin to expand the range of products and services they offer, there are still key distinguishing traits.

Commercial banks, which dominate this industry, offer a full range of services for individuals, businesses, and governments. These banks come in a wide range of sizes, from large global banks to regional and community banks. Global banks are involved in international lending and foreign currency trading, in addition to the more typical banking services. Regional banks have numerous branches and automated teller machines (ATM) locations throughout a multi-state area that provide banking services to individuals. Banks have become more oriented toward marketing and sales.

As a result, employees need to know about all types of products and services offered by banks. Community banks are based locally and offer more personal attention, which many individuals and small businesses prefer. In recent years,

online banks – which provide all services entirely over the Internet – have entered the market, with some success. However, many traditional banks have also expand to offer online banking and some formerly Internet only banks are opting to open branches.

Saving banks and saving and loan associations, sometimes called thrift institutions are the largest group of depository institutions. They were first established as community based institutions to finance mortgages for people to buy homes and still cater mostly to the savings and lending needs of individuals.

Credit unions are another kind of depository institution Most credit unions are formed by people with a common bond, such as those who work for the same company or belong to the same labor union. Members pool their savings and they need money, they may borrow from the credit union, often at a lower interest rate than demanded by other financial institutions.

1.2 Source of Revenue
Interest on loans is the principal source of revenue for most banks, making their various lending departments critical to their success. The commercial lending department loans money to companies to start or expand a business or to purchase inventory and capital equipment. The consumer lending department handles student loans, credit cards and loans for home improvements, debts consolidation and automobile purchases. Finally, the mortgage lending department loans money to individuals and businesses to purchase real estate .

The money to lend comes primarily from deposits in checking and savings accounts, certificates of deposit, money market accounts, and other deposit accounts that consumers and businesses set up with the bank. These deposits often earn interest for the owner, and accounts that offer checking provide an easy method for making payments safely without using cash. Deposits in many are insured by the Federal Deposit Insurance Corporation which ensures that depositors will get their money back, up to a stated limit, if a bank should fail.

1.3 Outlook
Technology is having a major impact on the banking industry. For example, many routine bank services that once required a teller, such as making a withdrawal or deposit are now available through ATM's that allow people to access their accounts 24 hours a day. Also direct deposit allows companies and governments to electronically transfer payments into various accounts. Further, debit cards, which may also used as ATM cards, instantaneously deduct money from an account when the card is swiped across a machine at a store's cash register. Electronic banking by phone or computer allows customers to pay bills and transfer money from one account to another. Through these channels, bank customers can also access information such as account balances and statement history. Some banks have begun offering online account aggregation, which makes available in one place detailed and up-to date information on a customer's accounts held at various institutions.

Advancements in technology have also led to improvements in the ways in which banks process information. The use of new technology have greatly impacted the lending side of banking. For example, the availability and growing use of credit scoring software allows loans to be approved in minutes, rather than days making lending departments more efficient.

Other fundamental changes are occurring in the industry as banks diversify their services to become more competitive. Many banks now offer their customers financial planning and asset management services as well as investment brokerage and insurance services. Others are beginning to provide investment banking services that help companies and governments raise money through the issuance of stocks and bond. As banks respond to deregulation and as competition in this sector grows, the nature of the baking industry will continue to undergo significant change. The combined effects of technology, deregulation, mergers, and population growth will continue to affect total employment growth and the mix of occupations in the banking industry. The decline in some office and administrative support occupations will be offset by growth in some professional and sales occupations.
Deregulation of the banking industry allows banks to offer a variety of financial and insurance products that they were once prohibited from selling. The need to develop, analyze and sell these new services will spur demand for securities and financial services sales representatives, financial analysts, and personal financial advisors. Demand for "personal bankers" to advise and manage the assets of wealthy clients, as well as the aging baby boom generation, also will grow. However banks will continue to face considerable competition particularly in lending from non bank establishments, such as consumer credit companies and mortgage brokers. Companies and individuals now are able to obtain loans and credit and raise money through a variety of means other than bank loans. Therefore, some loan officers may be replaced by financial services sales representatives who sell loans along with other bank services.

1.4 Retail Banking
Retail banking is typical mass market banking where individual customers use local branches of larger commercial banks. Services offered include : savings and checking accounts, mortgages, personal loans, debit cards, and so forth .

Today, Banks attempt to be their clients partner in solving their financial needs. Even though customers still need to save, loan and make transactions, they do it through multiple channels and with many different combinations of products.

The major determinant for the future of banking are the customers. Their preferences and in particular their acceptance of the new technology and new actors will greatly influence the outcome. The future of retail banking program takes the perspective that banks service not only their individual customers but fundamentally the financial relationships that customers but fundamentally the financial relationships that customers engage in with their banks and with each other.






Types of retail banks

Banks activities can be characterized as retail banking, dealing directly with individuals and small businesses and investment banking relating to activities on the financial markets. Most banks are profit making enterprises.
Central banks are non commercial bodies or government agencies often charged with controlling interest rates and money supply across the whole economy. They act as lender of last resort in event of a crisis.

A commercial bank is a type of financial intermediary and a type of bank. It raises funds by collecting deposits from businesses and consumers via checkable deposits, saving deposits and time deposits. It makes loans to businesses and consumers. It also buys corporate bonds and government bonds. Its primary liabilities are deposits and primary assets are loans and bonds.
This is what people normally call a "bank". The term "commercial" was used to distinguish it from an investment bank. Since the two types of banks no longer have to be separate companies, some have used the term "commercial bank" to refer to banks which focus mainly on companies. In some countries outside North America the term "trading bank" was and is use to denote a commercial bank.

Commercial Development Banks (CDB's) are a special kind of bank designed to serve the residents of and spur economic development in low to moderate income areas. When CDB's provide retail banking services they usually target customers from "financially underserved" demographics.
The strategy for value creation recognizes that banks work as intermediaries between customers in three ways: Firstly, banks process financial transactions they perform standard services for a broad range of customers; Secondly banks are professional advisors that solve complicated customer problems and Thirdly, banks enables of networks.















ORGANIZATION PROFILE










2.1 Overview

ICICI Bank is India's largest bank with total assets of about Rs. 2813.89bn (US$ 59.3bn) at Dec 2006 and profit profit after tax of Rs. 32.40bn (US$ 589mn)for the year Dec 2006 (Rs. 25.05bn (US$ 476mn) for the year ended Dec 2006) ICICI bank has a network of about 652 branches and extension counters and over 2500 ATM's. ICICI bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialized subsidiaries and affiliates in the areas of investment banking, life, nn-life insurance venture capital and asset management. ICICI bank set up its international banking group in fiscal 2002 to cater to the cross border needs of clients and leverage on its domestic banking strengths to offer products internationally. ICICI Bank currently has subsidiaries in the United Kingdom, Russia, and Canada branches in Singapore, Bahrain, Hong Kong, Sri Lanka and Dubai International Finance Centre and representative offices in the United States, United Arab Emirates, China, South Africa and Bangladesh. Our UK subsidiary has established a branch in Belgium. ICICI Bank is the most valuable bank in India in terms of market capitalization.

ICICI Bank's equity shares are listed in India on the Bombay Stock Exchange and the National Stock Exchange of India Limited and its American Depository Receipts (ADR's) are listed on the New York Stock Exchange (NYSE).

At Dec 2006, ICICI bank with free float market capitalization of about Rs. 520 billion (US$ 11.2 billion ) ranked third amongst all the companies listed on the Indian stock exchanges.

ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian Financial Institution and was its wholly owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal 1998, an equity offering in the form of ADR's listed on the NYSE in fiscal 2000. The principal

objectives was to create a development financial institution for providing medium term and long term project financing to Indian businesses. In the 1990's ICICI transformed its business from a development financial institution offering only project finance to a diversified financial services group offering a wide variety of products
and services, both directly and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial institution from non Japan Asia to be listed on the NYSE.

After consideration of various corporate structuring alternatives in the context of the emerging competitive scenario in the Indian banking industry and the move towards universal banking, the managements of ICICI and ICICI bank formed the view that merger of ICICI with ICICI bank would be the optimal strategic alternative for both entities, and would create the optimal legal structure for the ICICI group's universal banking strategy. The merger would enhance value for ICICI shareholders through the merged entity's access to low cost deposits, greater opportunities for earning fee-based income and the ability to participate in the payments system and provide transaction banking services. The merger would enhance value for ICICI bank shareholders through a large capital base and scale of operations, seamless access to ICICI's strong corporate relationships built up over five decades, entry into new business segments, higher market share in various business segments, particularly fee-based services and access to the vast talent pool of ICICI and its subsidiaries. In October 2001, the boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of its wholly owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI bank. The merger was approved by shareholders of ICICI and ICICI Bank in January 2002 by Reserve Bank Of India in April 2002. Consequent to the merger, the ICICI group financing and banking operations both wholesale and retail have been integrated in a single entity.





2.2 Products Offered

ICICI Bank offers wide variety of Deposit Products to suit the requirements of the customers. Coupled with convenience of networked branches/ ATM's and facility of e- channels like Internet and mobile banking, ICICI bank brings banking right at the doorstep. One can select any of the deposit products and provide the details online and the representative will contact for Account Opening.

2.2.1 Accounts

Saving Account :

ICICI Bank offers a power packed Savings Account with a host of convenient features and banking channels to transact through. So now one can bank at convenience, without the stress of waiting in queues.
· Debit cum ATM card
· Money Multiplier Feature
· Internet Banking
· Phone Banking
· Anywhere Banking
· Standing instructions
· Nomination facility
· Doorstep facility

Eligibility
· Resident Indian
Documentation
Applicants must satisfy the following documentation requirements :
· Identity Proof
· Proof of communication address


· Self cheque (if the applicant is not visiting the branch for account opening)

Senior Citizen Account

ICICI Bank understand that as one reach the age to retire, he/she do have certain concerns whether his/her hard earned money is safe and secure, weather investments will give the kind of returns that he/she need. That's why the bank has
an ideal Banking Service for those who are 60 years and above. The Senior Citizen Services from ICICI Bank has several advantages that are tailored to bring more convenience and enjoyment in life.

Young Stars

Its really important to help children learn the value of finances and money management at an early age. Banking is a serious business, but ICICI bank make banking a pleasure and at the same time children learn how to manage their personal finances.

2.2.2 Deposits

Recurring Deposit

When expenses are high people may not have adequate funds to make big investments. But simply going ahead without saving for the future is not on option. Through ICICI Bank Recurring Deposit, the account holder can invest small amounts of money every month ends up with a large saving on maturity so as to enjoy twin advantages- affordability and higher earnings.




Fixed Deposits

Safety, flexibility, liquidity and returns ! A combination of unbeatable features of the Fixed Deposits from ICICI Bank.

Interest rates on Domestic term Deposit
Domestic Interest Rates – Deposits less than Rs. 1 crore.
Interest Rates for Senior Citizens.

Resident Indians : Interest rates for deposits below Rs. 1 crore

Saving Bank Account : 3.50%

Senior Citizens

Eligibility Criteria
A person who has completed the age of 60 years may be treated as a senior citizen for getting the benefit under the special deposit scheme for senior citizens.
Verification of Age :
At the time of opening a new deposit account of a senior citizen, the branch should satisfy about the age through verification of secondary school leaving certificate, LIC policy, Voter's identity card, Pension payment order, Birth Certificate, Passport, PAN card.

2.2.3 Loans

ICICI Bank offers wide variety of loans products to suit different requirements of its customers. Now loans can just come at the doorstep. Through internet and mobile banking one can easily get loans sanctioned without any delay.


Home Loans

The No. 1 loans provider in the country, ICICI bank home loans offers some unbeatable benefits to its customers – Doorstep Service, Simplified Documentation and guidelines throughout the process
ICICI bank Home loans, offer unbeatable benefits to ensure that people get the best deal without any hassles. And the bank make it extremely easy for them by offering :
· Attractive loan interest rates
· Lucrative home loan amounts starting from 2 lakhs
· Term loans up to 20 years
· Free personal accident insurance
· Insurance options for home loan at attractive premium
· Special 100% funding for select properties.


Eligibilty

· The person must be at least 21 years of age when the loan is sanctioned
· The loan must terminate before or when the person turn 65 years of age or before retirement, whichever is earlier.
· He/ she must be employed or self employed with a regular source of income.

Personal Loans

If someone is looking for a personal loan that's easy to get, his/her search ends here. ICICI bank personal loans are easy to get and absolutely hassle free. With minimum documentation one can now secure a loan for a amount up to Rs. 15 lakhs.


Eligibility Terms for Personal Loans

Loan for Home Renovation; Marriage loan. A personal loan almost anything. A person can avail of an ICICI Bank Personal Loan, if he/she meet the following criteria.

Criteria
Salaried
Self –Employed
Age
25 years – 58 years
25 yrs – 65 yrs
Net Salary
Net annual income
Rs. 96000 p.a
Net Profit after tax
Rs. 60000 p.a
Eligibility
Employees of Public Ltd.
co., Private ltd. co., MNC's or Government
Doctors, MBA's, Architect
CA's, Engineers, Traders &
Manufactures
Years in current job/ profession.
1 year
3 years
Year in current residence
1 year
1 year


Car Loans

ICICI Bank Car loans is the No. 1 financier for car loans in the country. The bank has a network of more than 1900 channel partners in over 1000 locations. Though its strong tie-ups with all leading automobile manufactures, the bank ensure best possible deals to our customers. Well equipped infrastructure enables hassle-free quick processing of loans with minimal documentation.

The # 1 financier for car loans in the country
Network of more than 1800 channel partners in over 1000 locations.
Tie-ups with all leading automobile manufactures to ensure the best deals.
Flexible schemes & quick processing
Hassle-free application process on the click of a mouse.



Eligibility Terms for your Car Loan

With ICICI bank Car loans, you can avail of Car loans as well as Car Overdraft Loans as per your needs. Our eligibility criterion is given below for the two different types of loans as per your occupation.

Particulars Salaried Self-Employed Partnership Private /
Individual Individual Firm Public Ltd co.
Age Criteria The Any, Limited
applicant Proprietor companies
should partner should
be at least professional have been
21 years old or director in existence
at the time of above 21 -- for at least
application and years of age 2 years.
below 60 years but below
of age at time 65 at the
of maturity of time of the
the loan loan maturity


2.2.4 Cards

ICICI Bank offers a variety of cards to suit different transactional needs. The card range includes Credit Cards, Debit Cards, and Prepaid Cards. These cards offer convenience for financial transactions like cash withdrawal, shopping and travel. These cards are widely accepted both in India and abroad. Read on for details and features of each.

Credit Cards :

ICICI Bank Credit Cards give you the facility of cash, convenience and a range of benefits, anywhere in the world. These benefits range from life time free


cards, Insurance benefits, Global emergency assistance service, Discounts, Utility payments, Travel discounts and much more.

People can transfer the balances from other bank credit card to ICICI bank credit card and enjoy an interest rate as low as 0% on the transferred amount.

Various attractive schemes like the 0% Balance Transfer offer and the Life Time Balance Transfer, along with the zero documentation and specify draft delivery make ICICI Bank Credit Card balance Transfer program the best in the market.

Global Emergency Assistance Services

The customers traveling abroad have the option of using the global Emergency Assistance Services provided by Visa/Master for our cardholders. These can be availed for :
1. Reporting lost/stolen credit cards.
2. Requesting for an emergency card replacement
3. Emergency cash advance.
4. Miscellaneous enquiries.


Wide Acceptance

ICICI Bank Blue Cards are welcomed at all Merchant Establishments displaying the Visa logo- over 1,10,000 and Master Card logo- over 77,000 establishments across India and Nepal and the Silver and Gold Cards are accepted globally by over 22 million VISA Card and 22 million Master Card accepting establishments.

Statement by e- mail and mobile alerts

Statement Online is a very simple, powerful and convenient way to view the Credit Card statement details instantly without any postal delays.

ICICI Bank Xpress rewards programme
A special bonus plan that allows to earn points every time one use the card, Every Rs. 200 that spent earns 1 point.

Cash Advance Facility

With an ICICI Bank Credit Card one will not be strapped for cash ever again. The card holder can withdraw cash on the card, 25- hours a day from any VISA and Master Card participating member bank ATM.

Other Benefits

· Internet Banking
· Limited Lost Card Liability
· Dial-A-Draft
· Utility Payments
· Purchase Protection
· ICICI Bank 24-hour Customer Care Centre
· Revolving Credit Facility

· Auto Debit Facility
· Temporary Credit Limit Enhancement
· Travel Discounts from BTI – SITA

Debit Cards

The ICICI Bank Debit Cards is a revolutionary form of cash that allows customers to access their bank account around the clock, around the world. The ICICI Bank Debit Card can be used for shopping at more than 100,000 merchants in India and 13 million merchants worldwide.
Combining the acceptability of a credit card and the purchase of an ATM Card, the ICICI Bank Debit card is a most convenient accessory for you.

No more fear of overspending.
No more searching for the nearest ATM.
Only more comfort and convenience.

With the ICICI Bank Debit Card you can shop using VISA Electron's on-line debit program, and debit your ICICI Bank account directly when purchasing goods or services at any shop displaying the ICICI Bank/VISA Electron logo. ICICI Bank offers you the powerful options of :

ICICI Bank HPCL Debit Card
ICICI Bank N cash Debit Card

Travel Cards

Presenting ICICI Bank Travel Card. The hassle Free way to travel the world. Traveling with US Dollar, Euro, Pound Sterling or Swiss Francs; Looking for security and convenience; take ICICI Bank Travel Card. Issued in duplicate. Offers the Pin based security. Has the convenience of usage of Credit or Debit card.


Prepaid Cards

ICICI Bank brings a complete bouquet of prepaid cards providing payment solutions at fingertips. ICICI bank Prepaid cards are a safe and convenient way for associate payments, disbursements, gifting and Small ticket transactions. Prepaid cards are available on a VISA platform thus providing accessibility to over 100000 merchant establishments and cash withdrawal from all ICICI Bank and VISA ATM's in India.



2.2.5 INVESTMENTS :

At ICICI Bank along with Deposit products and loan offerings, it also assists to manage finances by providing various investment options ranging from ICICI Bank Tax Saving Bonds to Equity Investments in Pure Gold. ICICI Bank facilitates following investment products :

· ICICI Bank Tax Saving Bonds
· Government of India Bonds
· Investment in Mutual Funds
· Initial Public Offers by Corporate
· Investment in "Pure Gold".
· Foreign Exchange Services
· Senior Citizens Savings Scheme, 2004.

One can invest in above products through any of the bank's branches For select products ICICI Bank also provides the ease of investing through electronic channels like ATMs and Internet (ICICIdirect.com)

ICICI Bank Bonds

· All ICICI Bank Bonds have been rated "AAA" by CARE and "AAA" by ICRA indicating the highest degree of safety for your money

· Investment in ICICI Bank Bonds are eligible for tax rebate under SEC 88 to the full extent possible
· Bonds are listed on BSE, NSE.





Mutual Funds Investments Through ICICI Bank

About Mutual Funds

Mutual Funds pool money of various investors to purchase a wide variety of securities while pursuing a specific goal. Selection of securities for the purpose is done by specialists from the field. Returns generated are distributed to the Investors.

Mutual Fund Companies offer various schemes. Investors can choose any particular Fund/Schemes depending upon their perception towards risk. Investment is done on the basis of prevailing Net Asset Values of various schemes.

Types of Fund Sold :

We will help you determine which types of funds you need to meet your investment goals. This may include the following types of funds :

DEBT : Liquid schemes, Income schemes, G-sec schemes, Monthly Income Schemes, etc.
EQUITY : Diversified Equity schemes, Sector schemes, Index schemes, etc.
HYBRID FUNDS : Balanced schemes, Special schemes- Pension schemes, Child education schemes, etc.

At ICICI Bank it help you to identify an appropriate mix of Mutual Fund schemes for your portfolio using asset allocation strategies.

Through ICICI Bank you can invest in various schemes of multiple mutual funds with decent performance record. You can take the aid of our various research reports on mutual funds and their schemes before choosing a scheme for investment.



ICICI Bank offers Investment in Mutual Funds through Multiple Channels
With ICICI Bank, you can invest in Mutual Funds through following channels

ICICI Bank Branches
ICICI Bank ATMs
ICICI Direct.com

Advantages of Investing n Mutual Funds :

Professional Money Management & Research

Mutual funds are managed b professional fund managers who regularly monitor market trends and economic trends for taking investment decisions. They also have dedicated research professionals working with them who make an in depth study of the investment option to take an informed decision.

Risk Diversification

Diversification reduces risk contained in a portfolio by spreading it. It is about not putting all your eggs in one basket. As mutual have huge corpuses to invest in, one can be part of a large and well diversified portfolio with very little investment.

Convenience

With features like dematerialized account statements, easy subscription and redemption processes, availability of NAVs and performance details through journals, newspapers and updates and lot more; Mutual Funds are sure a convenient way of investing.





Liquidity

One of the greatest advantages of Mutual Fund investment is liquidity. Open-ended funds provide option to redeem on demand, which is extremely beneficial especially during rising or falling markets.

Reduction in Costs

Mutual funds have a pool of money that they have to invest. So they often involved in buying and selling of large amounts of securities that will cost much lower when invested.

Tax Advantages

Investment in mutual funds also enjoys several tax advantages. Dividends from Mutual Funds are tax-free in the hands of the investor. Also Capital Gain accrued from Mutual Fund investment for a period of over one year is treated as long term capital appreciation and is tax free.

Other Advantages

Indian Mutual fund industry also presents several other benefits to the investor like: Transparency - as funds have to make full disclosure of investments on a periodic basis, flexibility in terms of needs based choices, very well regulated by SEBI with very strict compliance requirements to investor friendly norms.

IPO's Online

One can invest in IPO online through www.icicidirect.com with same convenience of investing in equities – hassle-free and zero paper work. Also, get in-depth analyzes of new IPO's issues (Initial Public Offerings) which are about to hit in market. IPO


calendar, recent IPO listings, prospectus/offer documents and live prices will help to keep on top of the IPO markets.

ICICI Bank Pure Gold

Gold has been traditionally the most favored form of investment for Indians. In fact, India, even today is amongst the highest consumers of Gold in the world. However, the Gold market remains largely unorganized with reliability and convenience remaining the key issues for Gold buyers in the country.

ICICI Bank with its 'Pure Gold' offer attempts to bridge the gap between the need of the customers for buying gold and availability of an organized avenue to satisfy that need, by taking care of the two key components – Reliability and Convenience.

Reliability

24 Carat ICICI Bank Pure Gold is imported from Switzerland. This Gold carries a 99.9% Assay Certification, signing highest level of purity, as per international standards.

Convenience

ICICI Bank Pure Gold is competitively priced based on daily prices in the international bullion market. Currently, gold is available in 2.5 grams, 5 gram, 8 gram, 20 gram, and 50 gram categories subsequently other denominations will also be introduced.

De-mat Services

ICICI Bank Demat Services boasts of an ever-growing customer base of over 11.5 lacs account holders. In our continuous endeavor to offer best of the class services to our customers we offer the following features:

e- Instructions :

One can transfer securities 24 hours a day, 7 days a week through Internet and Interactive Voice Response (IVR) at a lower cost. Now with "Speak to Transfer", you can also transfer or pledge instructions through our customer care officer.

Consolidation Demat Account :

Dematerializing physical shares in various holding patterns and consolidation of all such scattered holdings into primary demat account at reduced cost.

Digitally Signed Statement :

Receiving account statement and bill by e-mail.

Corporate Benefit Tracking :

Tracking of dividend, interest, bonus through the account statement.

Mobile Request :

Accessing demat account by sending SMS to enquire about Holdings, Transactions, Bill & ISIN details.

Mobile Alerts :

Receiving SMS alerts for all debits/credits as well as for any request which cannot be processed.
Dedicated customer care executives specially trained at our call centre, to handle all your queries.
Countrywide network of over 235 branches, you are never far from an ICICI Bank Demat Services outlet.

ICICI Prudential Life Insurance

Having tied-up with AMC, ICICI Bank offers various Life Insurance Schemes through its wide crew of sales executives just at the customers doorsteps. The various life insurance products offered are:

· Life Time Super
· Life Link Super
· Pension Plan
· Smart Kid
· Life Time Plus.

































RESEARCH METHODOLOGY










3.1 Objective Of the Project :

The purpose of the project is identification of specific variables that constitute in all possible ways of customer satisfaction and then judging the quality of services on these identified variables.

The secondary objective was to market products and services offered by the bank. The main purpose was to bring business for ICICI, that is to get perspective customers for service products of ICICI for this purpose customers were contacted and details related to various features of saving account, current account, mutual funds and insurance plans were given to them. According to individual need the customers were offered the plans. To get prospective customers for ICICI Bank both primary and secondary data were used, that is list of existing customers and open market source was used. Not all but only some potential customers were approached .

Objectives :

1. To find out the specific variables that constitutes in all possible ways of customer satisfaction.
2. Judging the quality of services on these identified variables.
3. To market the products and services offered by the Bank .
4. To find and analyze the retail banking at ICICI Bank.


3.2 Methodology

A systematic approach is essential in any project work. Each and every step must be planned so that it leads right towards the next step. It is usually very difficult to go back and correct the mistakes of the previous step. The same has been attempted here.

Research Design is the basic plan, which guides the data collection and analysis phase of the project. It is the framework which specifies the type of information to be collected, the source of data and the data collection procedure.
Since ICICI Bank has a large customer base, to know their views and find their satisfaction level with the bank subject of study were its employees who marketed service products of ICICI Bank. The research is exploratory type and the population is finite but large thus random sampling is used. A sample of 100 customers is taken. Each unit of sample was investigated to obtain required information.

RESEARCH DESIGN :

A research design is the arrangement of the conditions for collection and analysis of data. Actually it is the blue print of research project.
The study is based on both Primary data and Secondary data. It requires survey which involves contact with existing customers through personal interviews and through questionnaire method.


Type of research :

Exploratory research for the search of secondary data.
Descriptive research through questionnaire method .

Sampling Unit or Target population :

The target population will be the existing customer of ICICI Bank of Udaipur City.

Sampling Size:

I will take a sample of 100 respondents



Sampling Technique :

a) Questionnaire method .
b) Survey method .

Type of Sampling :

The sampling type will be systematic random sampling.

3.3 Data Collection :

Data collection is the central part of the research activities. Keeping in mind the objective of the research, the information was gathered from the primary and secondary sources

Primary Data was collected through questionnaire and personal interview. The questionnaire consists of 13 questions which directed to find the following.

To identify satisfaction level of customers
To know about their problems.
To get suggestions from them.

Secondary Data was collected through books, journals, websites, etc.





















DATA ANALYSIS AND INTERPRETATION











4.1 Analysis and Interpretation of Data

The raw material of the research process, that is data was processed by tabulation, analysis and interpretations. On the basis of the questionnaire filled and data collected, each question is evaluated and their interpretation is as follows :

Q1. Which type of account the customer has in ICICI Bank ?





Saving Account 76
Current Account 20
Others 04

The "Others" category includes Fixed Deposit Account. Thus it is observed that :

76 % customer have Saving Account
20 % have Current Account
04 % have other type or fixed deposit account in ICICI Bank




Q2. What are the reasons for Opening the account with ICICI Bank ?






The choice of various reasons out of 100 respondents are as follows :

Convenience 20
Proximity to Office/ Home 05
Attractive Schemes 07
Good Customer Services 30
Security 12
Reputation of Bank 20
Others 06




Q3. How frequently Customers visit the Bank ?








Out of 100 respondents customers visit the Bank as :

Daily 08
Weekly 30
Monthly 40
Yearly 22









Q4. Whether the respondents have Account in other Banks also ?








Out of 100 respondents,

· 44 % Customers said that they don't have account with any other Bank
· 56% Customers said that they have account with other Banks also.











Q5.Mostly availed or most popular service of the bank among the customers ?



Out of 100 respondents,

Deposit /Withdrawal of cash 30
Deposit of clearing/ Outstation cheques 08
Safe Deposits 02
Drop Box Facility 10
Debit/ Credit Card 07
Term Deposit Account 03
DD Remittance 02
ATM 28
Phone Banking 04
e- banking 06





Q6. People generally prefer to Invest in ?







Out of 100 respondents, customers invest mostly in :

Fixed Deposits 28
Mutual Funds 23
Real Estates 08
Insurance 21
Bonds 11
Gold & Silver 09

This means that people generally like to invest in Fixed Deposits as it provide income as well as safety.




Q7 Basic Motive for Investment ?





Out of 100 respondents, customers has motive in :

Safety 24
Liquidity 17
Growth 30
Tax Benefits 29

It is quite surprising that although most of the people like to invest in Fixed Deposits yet at the same time most of them also want Growth and Tax Benefit. Fixed Deposits are generally taken for safety but it is astonishing to observe that in spite of investing mostly in fixed deposits comparatively lesser no of people chose Safety as investment motive.






Q8 Investment decision of people is generally influence by Self or Advisors ?







Out of 100 respondents,

Self 30
Friends 18
Advisors 10
Tax Consultants 19

This means that customers are mainly convenience by Themselves.







Q9. Investment horizon i.e Time period for which people like to invest ?






Out of the 100 respondents, Customers generally like to invest for :


Short Term (<1 yr) 21
Medium Term (1 – 3 yrs) 21
Long Term (> 3 yrs) 58

As 58 % customers like to invest most of their money in long term investments. As this question was related with the investment behavior of the customers.







Q 10. Customers Satisfied with the services rendered ?




YES 77
NO 23

From the above "YES" respondents, Customer fully satisfied and customers partially satisfied.


Fully Satisfied 70
Partially Satisfied 07
















CONCLUSION AND RECOMMENDATION












5.1 Findings and Conclusions :

On the basis of study made among the customers of ICICI Bank Limited, Udaipur following findings are being drawn :

About the type of Accounts :

It is being observed that majority of people have Saving Account because of Convenience and Good Banking Services in operating the account. And very few respondents have current account.

ICICI Group's goodwill is the best asset for the bank. Aggressive marketing and advertising has popularized the service products of ICICI Bank. Customers are quite satisfied with services provided by ICICI. But the bank wish to add many additional facilities to their prospective customers. After sales services to the clients are required so that old clients can be retained and new can be generated.

It is being observed that majority of people visit Monthly in the bank which shows the frequent coming of customers at the Bank .

It is also observed that 44% of the customers don't have any account other than ICICI Bank and 56 % customers have other account too in other Bank.

The most popular service of this bank is Deposit and Withdrawal facility for customers. As it has 8 to 8 working so it is quite convenient for the customers.

It was also found that people preferred to invest in Fixed deposits as it provide income and safety both. But on the contrary most of people have motive to invest because of Growth and Tax Benefit motive.




It was found that customers makes investment decisions by their Self Interest and lesser by the advisors or agents. So. in order to make more customers the agents sent by the banks for account opening should be reliable and should provide full and transparent information.

As per the findings most of the customers do their investment for Long Term so that they get higher growth and returns.

Customers are Satisfied with the services rendered by the bank and they are happy.


Conclusion:

For a smooth running and consistent growth of the Bank it should introduce more additional services and facilities to the prospective customers. The agents sent by the bank for account opening should be reliable and should provide full and transparent information. The bank should provide After Sales Service to their clients so that old clients can be retained and should feel satisfied and the new ones can be introduced. And as Customers are very much satisfied and has appreciated the number and the location of branches as well as ATMs with their wide network

ICICI Bank has strived hard to attain the position of leader in the banking services and the results are very known to us....









5.2 Recommendations :

· The bank should emphasis on its after sales services because many old customers have this problem that there are no extra privileges for old customers.

· Staff and Agents should have complete knowledge about the operations of accounts, various schemes of the bank and other quarries of the customers , as lack of knowledge among employees of the bank is also one of the problem quoted by the respondents

· New schemes should be launched for old and new customers from time to time to retain the old customers and generate new customers.

· The procedure or the time taken for opening of the account or sanctioning loan should be simplified and shortened respectively.

· Interest rates on loans should be competitive and customer friendly as to remove the perception of costly bank from the mind of the customers.

· The various charges levied like outstation clearing charges, DD charges, penalty for not maintaining minimum cash balance, etc should be minimized.

· Participation of AMCs (Asset Management Company's) should be encouraged in sales and marketing of the services. This would hepl to generate higher returns for the banks as the people will invest more through banks in Mutual funds and their investment plans.





· Although ICICI Bank is a market leader and in comfortable position regarding market share, IDBI or HDFC can become a major threat for it in future. Specially company should keep an eye on the working policies of these banks


Limitations To the Study:

Every project has some limitations and results cannot be perfectly true. So in the absence of universally accepted norms, interpretation becomes a matter of judgment and the present study is no exception to it. Despite my best endeavor to maintain uniformity and maximum coverage the present work suffers some limitations.

· The scope of study is limited to the geographical area of Udaipur City.

· The number of customers is quite large. It is not practically feasible to contact each and every customer. A sample of 100 is taken so results may be biased

· It was not easy to obtain real information from the customers segment.

· The respondents are generally employed persons so they were reluctant to answer the questionnaires during working hour

· Some of the people do not entertain these types of surveyors at their home.


















ANNEXURE


















Refrences

Books

· Research Methodology : C.R.Kothari
· Journals
· Annual Report of ICICI Bank

Websites :

· www.icicibank.com
· www.pruicici.com
· www.iciciprulife.com















ACKNOWLEDGEMENT

Being a beginner, learning is an investment made for life so far whatsoever I learnt, I owe my life gratitude to many people. First of all I express my gratefulness to Dr. Karunesh Saxsena (Director, PIM), Prof. G.M.K.Madnani and Mr. M.S.Pahwa for their valuable guidance and support.

It was my privilege and honor to have an opportunity of working with ICICI Bank ltd, Udaipur .

Most humbly I accord my reverence to Mr. Ajay Menon, (Branch Operations Manager, ICICI Bank, Udaipur) for his valuable cooperation throughout the course of his project. I thank him for providing me a platform.

I also thank all the colleagues and employees at Bank who parted with their valuable time and extended full cooperation and support towards me.

I also thank all the respondents who gave me their valuable time to answer my questionnaire and help me in completing my project.

Last but no least, I wish to acknowledge cooperation and help from my parents and all those who were a constant source of help and guidance to me in completing in my research project.




DAKSH BANORIA




Executive Summary

In the age of innovation, the companies have entered the market with a strong back bone of research and development. Due to this research and development, new products & services have been innovated. ICICI Bank is also on the pavement of innovation and thus new series have been offered in the market.

Therefore I have studied this project and the topic of my title is :

" Analysis of Retail Banking and Customer Relations at ICICI Bank ltd."


My project study consists of five chapters :

First chapter, is Introduction which consists of Banking- types & future, retail banking employment opportunities in banking, Commercial Banking, technology advancements in banking and sources of revenue for banks, marketing plan, selling a service, impact of advertising and customer viewpoint

Second Chapter, is about the bank which gives the company profile, types of services offered, types of accounts, investment avenues and their details respectively

Third Chapter, is about the project research, it includes the Research Methodology, Research Design and tools used, techniques of Data collection, Sample Design and also the size of population.

Fourth Chapter, is Analysis and Interpretation in which analysis of the project study is shown. The various graphs and pie charts show the result of the project study.



Fifth Chapter, is about Conclusion, Recommendation & Limitations of the study.

Sixth Chapter, is made up of references and annexure which is prepared keeping in mind the requirement of the project.

































































confusion. The confusion is fuelled by the rationale of economic growth through greater productivity and competitiveness. These forces tend to create imbalance in lives of employees. The balance and imbalance is usually measured on the scale of work v/s life.

Life is a set of concrete pursuits, the list includes:
Family, health, career, wealth, social obligations, intelligence and spirituality. A perfectly balanced life for an employee needs a careful synchronization and juggling of the mentioned quests. The first two pursuits i.e., family and health especially need special attention as these aspects, like glasspanes cannot be mended on development of any crack. But, the remaining aspects are flexible and provide leverage to revisit and fix them. This continuous juggling pulls the employee into the grind and leaves them stressed and stretched.

Managing work life balance is one of the greatest challenges as the workplace schedules take its toll on employee’s health, relationships & well-being. Both work and family life are important to executives in any business organization and if they are not maintained properly, it creates stress and strain in work life and in turn results in various diseases. This further decreases the work efficiency of the executives and may also result in premature retirement

In today’s liberalized, privatized and globalized economy, many corporate bodies have recognized the importance of work life balance and are trying to incorporate innovative means and methods to cope with it. Companies have understood the imperative and want to have remedies for the problem before it becomes an epidemic, letting no space to undo the ill-effects on the overall company performance.
The corporate scenario around the world is undergoing the turmoil of metamorphosis. Both corporate bodies and workforce are slowly realizing the intentional role in contributing to the problem of work/life imbalance. With changing times, more and more employees are facing the need to adopt the sacrosanct rule, i.e., the productivity that matters most, rather than the hours spent by the employees in the office.

Employers and employees are simultaneously putting efforts to be flexible and are also trying hard to equip themselves to face the forthcoming operational challenges. Employees today want to have freedom and live lives their way. Employers too, have started appreciating the changes and the imperative that the employees of today, value balance between work and life more than ever before. The major patterns of change that have triggered the emphasis of work life balance are mainly socio-economical. The reasons are manifold and some of them are:-

a) Changing social philosophy:-

Employees in the 21st century place personal life on a higher pedestal than work life. The cause of this can be linked to rising divorce rates, other family and relationship problems. Employees today expect more life outside work. They also expect their family to be a part of their work.

Smart companies have identified this and in regard are designing innovative ideas to lure their employees. In the companies like Hewlett Associates, employee’s spouses are invited to attend orientation programmes, or fruit baskets are sent home on completion of project as a goodwill gesture towards thanking the employee’s family for their support and co-operation during the times when the employee had to work late.

b) Changing Work Culture:-

Corporate bodies today function on the principle of empowering employees. The bottom line of empowerment is based on flexibility and freedom of employees to take decisions without any hindrance from the policies and directives of the organization structure. Employees today seek for a range of choices from their employer and also want to have their say in availing them. Apart from initiatives like flexi timings, focus on results and overall avoidance of long work hours culture, employers have started giving positive reinforcements to employees by recognizing and distinguishing the ones who are prompt in adapting challenges posed by the never ending increasing workplace standards. These positive reinforcements are usually in the form of increased health focus, well-being and bringing in changes in organization legislations.

c) Raise in the 365/24/7 global operations:-

Global organizations and increasing call center operations across the globe have to work day and night coping with the time zones. With more and more businesses emphasizing on round-the-clock customer service, the concern for work/life balance for employees has become more essential. Ironically, technology has added to the speed of operation rather than easing the work practices. To maintain competitiveness and fight the burgeoning competition, companies are forced to deliver more with fewer inputs; employees are expected to work longer and cope with tougher deadlines. Today’s world literally doesn’t go to sleep.

d) Rise in dual earning families:-

Demographic and cultural changes have also added to the problem of work/life imbalance. Working mothers are the major chunk of population who adversely get affected in balancing their job performance and the family life. The problem aggravates, as employees who try to cope with the situation by putting additional onus in their work, face unfriendly and ruthless glare from their peer groups. Colleagues treat them as pariahs as they are perceived to be doing unnecessarily extra work for the company, trying to impress the management or set examples for others. Women with dependent children or elderly relatives have to hear the music, as usually they get less support from their spouses or other family members. On the positive note, the changing times and rise in dual earning families have given fillip to changing social ideologies.

Today working women get more support from their families compared to that of their predecessors. Unlike in the earlier times, today husband and other family members share the mundane household responsibilities of working women, providing them some breathing space and helping them to excel in their job terrains.

Corporate initiatives to tackle work/life imbalance

Corporate practices at INTERNATIONAL BUSINESS MACHINE:-

IBM understands that, every employee has commitments in personal life, and balancing these commitments with the work life can sometimes be difficult. IBM offers many policies to help employees to overcome the challenges. Some of these policies are:-
1) Option for leave of absence: - Employees can take longer breaks during their career at IBM
2) Personal work/life: - This policy helps IBMers to manage situation that range from attending school function of their children, shifting house, or to provide emergency care for elderly relatives.
3) Religious Observances: - IBM aims to help its employees to accommodate their personal beliefs while simultaneously meeting their business objectives.
4) Study plan: - IBM provides opportunities for its employees to take certification program for personal development.
In addition to annual vacations, IBM also provides flexibility to enhance employee personal work/life balance by having extra-personal leave, maternity leave, paternity leave, compassionate leave, marriage leave etc.

AT 3M

3M recognize the increasing need of their employees to match their employment with their personal lifestyle, aspirations and commitments.Thus,3M offers flexibility in the operations. The flexibility gives employees the opportunity to choose a suitable work pattern and simultaneously gives the company an opportunity to retain a pool of talented and trained employees keen in delivering their best.3M policies include:-
1) Flexi time: Workforce enjoys the benefit of flexible hours. This is formulated by having a core time when the employee presence at work is mandatory but after these hours, employees can manage their time accordingly. The scheme works to build trust among employees while simultaneously meeting the business needs.
2) Other Flexible arrangements: 3M offers employees with opportunities to balance their career and personal commitments by providing freedom of part-time working, home-working, job-sharing, unpaid breaks and parental leave etc.
3) Life: 3M provides its employees with a healthy work/life balance. This is achieved by providing employees with facilities and services aimed to encourage employees to get the best out of their life.
4) Sports and social clubs: 3M operate clubs for aerobics, volleyball etc. In addition,3M employees get competitive discounts for membership from local private sports and health clubs. The company also helps its employees to find the best places to reside, shop and entertainment.

At British Telecom

BT considers healthy work life balance for its employees as one of the greatest business challenges, as only satisfied employees can provide the best customer service.

All the work life balance policies at Bt are brought under a common portfolio called “Achieving the balance”. These policies include flexible working, home working, part-time working, maternity and paternity leave, parental leave, special leave and leave for career development. With the use of innovative communications technology BT employees are able to work from their homes without being formally christened as home workers. BT also has a flexible working initiative called “Freedom to Work”; this initiative enables its employees to develop their own attendance schedules. Employees can achieve more balance by having a mix of home working, long and short days, and by accumulating hours of non-working time to use it in future when necessary.

At Godrej Consumer Products Private Limited

GCPL considers its people to be the most valuable asset and thus intends to be known as the employer of choice. GCPL focuses on the commitment to work life balance, a strong vision, stability of the company’s core values and creating a pool of enthusiastic employees. Building a balance between maintaining the company values and managing performance, compensation and employee satisfaction has made a considerable difference. By imbibing these initiatives GCPL attempts to create an atmosphere of trust and communication between management and employees.

At Glaxo Smithkline (GSK)

Pharmaceutical giant GSK has brought in a series of policies focused at reducing stress and improving work life balance for its employees. The company has started “Well-being” centers in its offices for its employees to go and relax. To bring in more flexibility, employees are allowed to work from home and for the reason the firm has opened “Drop-in” centers for home workers who can visit to avail the office facilities.

The company has invested a lot of money for improving the working condition of its employees, as it recognizes the fact that healthy people result in healthy performance. GSK has more than 1lakh employees globally, thus the company has created employee health management group for developing standards and programmes especially intended to prevent and manage workplace stress.

What is work-life balance?

Work-life balance is about effectively managing the juggling act between paid work and the other activities that are important to people. It's not about saying that work is wrong or bad, but that work shouldn't completely crowd out the other things that matter to people like time with family, participation in community activities, voluntary work, personal development, leisure and recreation.
The 'right' balance is a very personal thing and will change for each person at different times of their lives. For some people the issue is being able to get into work or find more work rather than having too much work. There is no 'one size fits all' solution.

A balanced life is one where we spread our energy and effort - emotional, intellectual, imaginative, spiritual and physical – between key areas of importance. The neglect of one or more areas, or anchor points, may threaten the vitality of the whole.










































Figure 1.1

WORK LIFE BALANCE






Family- Successful parenting, the culture of care and selflessness that are part of family life, requires energy, time, patience and a tolerance for mess and confusion… a tall order when the working day has proved stressful and long. The key question here is ‘who finds time to care for whom?’, for what often happens is that the time-consuming listening part of relationships gets ditched in favour of quick fixes, and then the unattended get to feel unloved and react accordingly. Families need nurturing, and our responses have to be sufficiently deep and elastic to accommodate the unexpected, not just the scheduled bits that fit in neatly with our jobs.
Home- Home making is time-consuming. In the making of a home we create an atmosphere that reflects our sense of place in this world. Like a warm and familiar jumper, the home provides us with an extension of ourselves, a place where we can feel free in our emotions and content to be who we really are. The paradox is that the more we work, the more desperate we are to find such a home with its timeless associations and the less time we have to create it. Homes can so easily become houses, pit stops that provide briefly for sleep, rest and the bare essentials in the intervals between work.
Friendships- It’s often been said that the art of friendship requires common skills to an uncommon degree: a combination of affection, tolerance and patience as well as a sense of constancy in times of struggle and difference. Yet when our work-life balance spirals out of control, often friendships along with exercise are the first things to suffer. In a report entitled ‘Social Trends; British Social Attitudes Survey 30 (HMSO 2000) a significant factor over the past two decades is that we are seeing less of our best friends. Yet, as the extended family gets to be geographically more and more challenged, our friendships become increasingly relevant to our circle of mutual nurture and support.



Community- Like family, home and friendships, our local communities depend on our time and energy in order to function effectively, freely and spontaneously. It is in the reciprocal context of its activities that our communal identity can be experienced and enjoyed. Yet if we lose that vital life-work balance then the many activities through which neighbourhood and locality are expressed are marginalised and we are the poorer for that neglect. Hobbies, interests and sporting pursuits derive much of their meaning through our interaction with others. If we fail to address the issues of work-life balance as a society then one of the first casualties will be the richness and diversity of community life.
By work life balance we mean that all workers should have a right to work that does not damage their freedom to pursue activities & responsibilities outside the work place. That means making work more sensitive, arranging work more effectively & organizing it more intelligently.

Is Your Life in Balance?
Everyone faces the issue of time management at one point or another, but as more and more people deal with working at one or more jobs, fighting long commutes, managing a household, attending school or other training, raising one or more children, responding to increasing work and time pressures of the shrinking workplace, and dealing with aging parents, the days often seem to last long into the night and vacation and leisure time seem to be consumed with issues other than relaxation and personal fulfillment.
In fact, a recent study of more than 50,000 employees from a variety of manufacturing and service organizations found that two out of every five employees are dissatisfied with the balance between their work and their personal lives. The lack of balance “is due to long work hours, changing demographics, more time in the car, the deterioration of boundaries between work and home, and increased work pressure,” says the study’s author, Bruce Katcher, president of the Discovery Group, a management consulting firm.
How much is work invading your personal life, and how much of your personal life is affected by the stress of trying to balance all the many responsibilities in your life? Take our Work/Life Balance Quiz and see for yourself.
“Balancing the demands of being successful in work, raising children, looking after sick relatives and having some space for friends, family and out of work interests is a very real and increasing challenge. The business impact of not achieving a good work-life balance is very real - people who are under an immense burden simply don’t perform to their best.
Work Life Balance include:-

1) Flexi-time
2) Staggered hours
3) Time off in lieu
4) Compressed working hours
5) Shift swapping
6) Self-roistering
7) Job sharing
8) Term-time working
9) Working from home
10) Tele-working
11) Breaks from home


Flexible Work
A significant feature within the changing world of work is the need to develop a diverse, skilled and motivated workforce able to respond quickly and efficiently to client needs. Ensuring a committed, responsive and high performing workforce often depends on creating an environment that enables employees to more easily manage the demands of work and life—particularly their family responsibilities. Flexible work options for employees contribute to a positive, healthy and productive work environment. Flexible work options are defined as mutually agreed long- or short-term changes to working time and leave arrangements within the context of organizational needs. Their successful implementation depends on employee and management knowledge, pre-planning, regular review, and the creation of a supportive workplace culture.

Benefits of flexible work
Workplace practice and culture impact on the work, family and life balance of all employees. International research and experience across both the public and private sector, and feedback within the Banking sector, highlights the tangible benefits of mutually agreed flexible work options and a supportive workplace culture.

Benefits of flexible work options include:

• increased capacity to attract and retain skilled and specialist employees and
professional staff
• maximising returns on training and professional development investment renewed
energy and freshness contributing to resilience as well as increased morale,
commitment and high work performance from staff
• improved learning outcomes through matching work options and available
skills with student needs
• increased performance and productivity, through improved organisational climate,
reduction of absenteeism and stress and a more efficient use of staff
• competitive edge in attracting and maintaining high demand skills to the public
education and training system and positive public recognition in both the education
sector and across other industries.



















LITERATURE REVIEW















CHAPTER 2

LITERATURE REVIEW

Attempting to define what is meant by work-life balance and identifying whether boundaries can be established represents an important point to the current debate. It also emphasizes the importance of the patterns and times of working which have always been subject to change but the pace of change is now more rapid than ever. The driving force for this change comes from both organizations and individuals.
Organizations are under constant pressure to provide services of high quality and price, and when customers want them. This pressure can often mean that new ways of working have to be found to make the best use of staff & employees as resource.

The commitment of employees can make the difference between those companies which compete in the market place and those which cannot. Employers who can best combine the requirements of their business for flexibility with the needs of employees and potential employees.

It must be highly questionable whether the arbitrary and self-imposed division between work and life assumed in the concept of a “balance” between them really makes much theoretical or even practical sense. The word in the context of the workplace looks like a bogus artifact that sounds modern and cool and yet obscures more than it clarifies about the nature of the genuine problem. In reality life and work over-lap and interact. Many people gain meaning to their lives through work whether they are being paid for doing so or not.

The current focus on the relationship between employees and parenting and caring is understandable. Over the past fifteen years we have witnessed a rapid transformation in the Indian employees work force with the dramatic growth in the proportion of women of adult working age that are in employment. Today nearly 12 per cent of mothers in two parent households with at least one dependant child under the age of 18 choose to do job. The greatest rise in the employment rate over the past ten years has been among mothers with children aged four or under.
The fundamental question we must answer is how far we can now go in reconciling
our lives outside employment with paid work without either damaging corporate profitability and productivity performance or failing to address the concerns of employees who are under strain in more competitive environments.
Many organizations have not introduced family-friendly working. Family-friendly concerns are not the only consideration. Finding the time for learning or for taking part in the life of the community, are equally powerful motivators when it comes to balance life at work with life outside.
In a fast paced business culture focusing on balancing life is of critical importance Life is a balancing act. Striking the right balance is the key to a fulfilling life. Managers have multiple responsibilities, diverse needs, and often conflicting priorities. Work life balance is about people having a measure of control over when, where and how they work. It is achieved when an individual’s right to a fulfill life inside and outside is accepted and respected as the norm, to the mutual benefit of the individual, Business and society. The organizations that have addressed work life issue are extremely successfully.
Today employees when ask to forfeit apart of personal life for their work and career are increasingly decide to stand for their personal lives, their family and their marriage. As employee conclusion are quite logic that it’s easier to find a new job than finding a new spouse or a family.
Surprisingly a work-life balance is becoming a famous motivating factor. These include flexi time, staggered hours compressed working hours, shift swapping, time off in lieu, self rostering, job sharing term time working, working from home, tele working, brakes from work etc.
Today HR professionals around the worlds are emphasizing the topic of work life balance. Organizations too, are interested in finding ways to keep employees motivated, rejuvenated and more productive. The organizations have realize that high performance employees just cannot be sustained by bigger pay cheque alone. The issue of work life balance is addressed both by the culture—societal, organizational and the degree to which business leaders are willing to innovate to have an ideal mix.
New initiatives like yoga, group mediation and exercise are all take up to energize employees through their natural energy systems and bring fun in their work. Today banks around the world should sponsor sessions like “Art of living” or “Vipassana” for it’s employees. These new approaches are intended to link the culture contacts of the organizations and position them to capture the imaginative power of the employees so as to make them feel better and perform better.
Thus, we see that work life balance is nothing new in job environment and man is trying to cope with the problem since the inceptions of the work life.
Attempting to define what is meant by work-life balance and identifying whether boundaries can be established represents an important point to the current debate. It also emphasises the importance of the patterns and times of working which have always been subject to change but the pace of change is now more rapid than ever. The driving force for this change comes from both organisations and individuals.
Organisations are under constant pressure to provide services of high quality and price, and when customers want them. This pressure can often mean that new ways of working have to be found to make the best use of staff & employees as resource.

The commitment of employees can make the difference between those companies which compete in the market place and those which cannot. Employers who can best combine the requirements of their business for flexibility with the needs of employees and potential employees.

It must be highly questionable whether the arbitrary and self-imposed division between work and life assumed in the concept of a “balance” between them really makes much theoretical or even practical sense. The word in the context of the workplace looks like a bogus artifact that sounds modern and cool and yet obscures more than it clarifies about the nature of the genuine problem. In reality life and work over-lap and interact. Many people gain meaning to their lives through work whether they are being paid for doing so or not.
The current focus on the relationship between employees and parenting and caring is understandable. Over the past fifteen years we have witnessed a rapid transformation in the Indian employees work force with the dramatic growth in the proportion of women of adult working age that are in employment. Today nearly 12 per cent of mothers in two parent households with at least one dependant child under the age of 18 choose to do job. The greatest rise in the employment rate over the past ten years has been among mothers with children aged four or under.
The fundamental question we must answer is how far we can now go in reconciling
our lives outside employment with paid work without either damaging corporate profitability and productivity performance or failing to address the concerns of employees who are under strain in more competitive environments.
Many organizations have not introduced family-friendly working. Family-friendly concerns are not the only consideration. Finding the time for learning or for taking part in the life of the community, are equally powerful motivators when it comes to balance life at work with life outside.
So to end this discussion on work life balance it’s apt to quote the lyrics of the famous song “we didn’t start the fire “ by Billy Joel- We didn’t start the fire, it was always burning since the world’s been turning. We didn’t start the fire, we didn’t light it but we tried to fight it”.

















RESEARCH METHODOLOGY


















CHAPTER 3

RESEARCH METHODOLOGY

Research in common parlance refers to the search for knowledge. It can also be defined as scientific and systematic search for pertinent information on a specific topic. In fact, research is an art of scientific investigation. Research is a voyage of discovery. It is also said to be the pursuit of truth with the help of study, observation, comparison and experiment.

The role of research in several fields of applied economics weather related to business or to economy as a whole, has greatly influenced in modern times. The increasing complex nature of business and government has focused on the use of research in solving problems.

According to Kerlinger “Research is a systematic, controlled, empirical and critical investigation of hypothetical propositions about the presumed relation among natural phenomenon.


Characteristics of Research:

Research is a systematic and critical investigation into a phenomenon.
Research is not a mere compilation, but a purposive investigation.
It aims at describing, interpreting and explaining a phenomenon.
It adopts scientific method.
It is objective and logical.
It is based upon the observable experience and empirical evidence.
It is directed towards finding answers to pertinent question and solution.


Stages in Research Process:

Formulating the research problem
Choice of research design
Determining sources of data
Designing data collection forms
Determining Sampling design and sampling size
Organizing and conducting the field survey
Processing and analyzing the collected data
Preparing the research report
























RESEARCH OBJECTIVES:

1. To study how the nature of family structure influences work related stress.
2. To know how the marital status of the individuals affect their personal life.
3. To study work/life balance in banking sector. It involves studying level of stress attitude, behaviour, perception and motivational factors of employees.
4. To know the factors which would create harmonious relationship between family life and work life.
5. To know how the work pressures and unhappiness can affect family life.
6. To know the consequences of work/life imbalance on efficiency, health and personal as well as professional life of employees of banking sector.




















RESEARCH DESIGN:

A Research Design specifies the methods and procedures for conducting a particular study .The researcher should specify the approach he intends to use with respect to the proposed study. Broadly speaking Research Designs can be grouped into 3 categories:

Exploratory Research
Descriptive Research
Casual Research

For achieving the research objectives which are already stated clearly,the Exploratory Research method was adopted.

Exploratory Research:

The major emphasis in this type of research is on the discovery of ideas at hand and insights. It is a preliminary investigation which does not have a rigid design. This is because a researcher engaged in an exploratory study may have to change his focus as a result of new ideas and relationship among the variables.

The Exploratory study is generally helpful in breaking broad and vague problem into smaller. In the nutshell, we can say that exploratory research helps in formulating Hypothesis for the further research. Major part of the exploratory research is done through survey.








SAMPLE SIZE:

It describes how many employees of the bank should be surveyed.
100 employees of private as well public banks were surveyed. It includes all the three levels of employees that is lower level, middle level and top level.

SAMPLING TECHNIQUE:

Respondents were selected on the basis of random sampling among the different levels, different authorities and different departments of certain private as well as public banks of Udaipur city.

SAMPLE UNIT:
Employees of the certain private as well as public banks were taken as the units for the study.
















TOOLS OF DATA COLLECTION:

The following tools were used for the data collection:

Structured questionnaire: by asking the structured questions to the employees and by interviewing the executives formally.
On-site observation: by viewing the various systems & subsystems and procedures followed by the bank.
Review of written document: some part of this study was collected from the journals and books.





















QUANTITATIVE TECHNIQUE USED
FOR THE DATA ANALYSIS

Quantative technique, which is used for the analysis of the data, is Chi-Square Test.
Chi-Square Test used as a test of independence. Chi-Square Test is used in examining the relationship between two or more variables. In this research, researcher used this test for finding:

1.) Whether or not the family structure of the employees of banks affect work related stress.
For examining the relationship between these two variables, for this researcher has to set up a contingency table. This table can be of r*c Size, where r indicates number of rows and c indicate number of columns.
In this case Contingency table is of 2* 5 sizes. There are 2 rows and 5 columns.

No. of
Times
Family
Structure
Most of the times
Sometimes
Seldom
Always
Never
Total
Nuclear
28
19
5
9
2
63
Joint
3
2
9
19
4
37
Total
31
21
14
28
6
100

Table 3.1

Null Hypothesis: The Family Structure of the respondants and work related stress are not related or independent on each other.
Alternative Hypothesis: The Family Structure of the respondants and work related stress are related or dependent on each other.
The Calculated Value of chi-square is grater than the critical value of Chi square at (5-1) (2-1) =6 degrees of freedom at 5% level of significance.
So the Null Hypothesis is rejected and alternative hypothesis is accepted which interpret that “The Family Structure of the respondants and work related stress are related or dependent on each other”.
Thus, researcher can say that nuclear families are more likely to work related stress.

2.) Whether or not the marital status of the employees of banks affect personal life.
For examining the relationship between these two variables, for this researcher has to set up a contingency table. This table can be of r*c Size, where r indicates number of rows and c indicate number of columns.
In this case Contingency table is of 2* 5 sizes. There are 2 rows and 5 columns.
No. of
Times
Family
Structure
Most of the times
Sometimes
Seldom
Always
Never
Total
Single
20
17
3
1
1
42
Married
23
12
6
16
1
58
Total
43
29
9
17
2
100

Table 3.2



Null Hypothesis: The marital status of the employees of banks and their personal life are not associated or independent on each other.
Alternative Hypothesis: The marital status of the employees of banks and their personal life are associated or dependent on each other.
The Calculated Value of chi-square is grater than the critical value of Chi square at (5-1) (2-1) =6 degrees of freedom at 5% level of significance.
So the Null Hypothesis is rejected and alternative hypothesis is accepted which interpret that “The marital status of the employees of banks and their personal life are associated or dependent on each other”.
Thus, researcher can say that marital status of the employees of banks and their personal life are associated and married respondant’s personal life suffer due to long working hours.



























ANALYSIS AND INTERPRETATION
















CHAPTER 4

ANALYSIS AND INTERPRETATION

1. Family Structure

Nuclear
63
Joint
37


Graph 4.1


Interpretation:

Majority of the respondants belong to nuclear family and therefore they are unable to devote required attention towards their family members and this results into more stress as compared to those employees who belong to joint family.



2. Marital Status of the Respondants:

Single
42
Married
58


Graph 4.2


Interpretation:

More than half of the respondants are married and therefore those employees who are married are unable to enjoy their life because of long working hour culture in banks. Those employees who are single remain less affected as far as their life is concerned.








Q1.) Normal working hours per day

Less than 8 hours
3
8-10 hours
34
10-12 hours
45
More than 12 hours
18



Graph 4.3

Interpretation:

45% employees are working 10-12 hours daily and 18% employees are working for more than 12 hours every day .It clearly indicates that working hours have increased because of privatization, and employees are bound to spend more time in banks.






Q2.) How frequent you overstay in the office to finish your work


Most of the times
38
Sometimes
21
Seldom
18
Always
19
never
4



Graph 4.4

Interpretation:

38% of the respondents most of the times overstay in the office to finish their work.
19% of the respondents always overstay in the office to finish their work.
21% of the respondents sometimes overstay in the office to finish their work.
18% of the respondents seldom overstay in the office to finish their work.
And only 4 % of the respondents never overstay in the office to finish their work



Q3.) Response of the family members on overstaying in the office

Resentment
22
Irritation
18
Cooperative
32
Ignorant
9
Feel neglected
19


Graph 4.5

Interpretation:

22% employees have to face resentment of the family members.
Family members of 19% employees get irritated on overstaying of employees in the bank.
Family members of 18% employees feel neglected on overstaying of employees in the bank.
Family members of 9% employees simply do not bother, even if employees have to overstay in the bank.
32% employees are lucky enough to have cooperative family members.

Q4).Do you think long working hours undermine your family life

Most of the times
43
Sometimes
29
Seldom
9
Always
17
Never
2


Graph 4.6
Interpretation:
43% employees said that long working hours have effect on their personal life most of the times.
17% employees were of the opinion that long working hours always undermine their family life.
According to 29% employees long working hours sometimes undermine their family life.
9% employees were of the view that long working hours seldom affect their family life.
Only 2% of the respondents were not in favour of this



Q5.) Are you able to attend social gatherings?


Most of the times
20
Sometimes
36
Seldom
19
Always
8
Never
17


Graph 4.7

Interpretation:

36% of the respondents sometimes manage to attend social gatherings.
8% employees are always able to attend social gatherings.
17% employees have such a hectic schedule that they can never attend any social function
20% employees are able to attend social gatherings most of the times
19% employees seldom attend social gathering.
Q6.) Do you spare time for your hobbies and personal interests?

Yes
31
No
69




Graph 4.8

Interpretation:

Majority of the employees of banking sector i.e., 69% are so much preoccupied with their work that they never get time for their hobbies and personal interests.
Only 31% of the employees spare time for their hobbies and personal interests.








Q7.) Do you take your children to their schools?


Most of the times
0
Sometimes
25
Seldom
15
Always
0
Never
60



Graph 4.9

Interpretation:

60% employees never take their children to their schools
25% employees sometimes take their children to their schools
15% employees seldom accompany their children to their schools




Q9.) Do you carry your office work at home?


Most of the times
1
Sometimes
31
Seldom
9
Always
1
Never
58


Graph 4.10

Interpretation:

Majority of the employees i.e.58% never take their office work at home while 31% of the employees sometimes carry their office work at home.
Only 1% employees always carry their office work at home.
9% employees seldom carry their office work at home.



Q10.) How frequently you take your family out on vacation


Graph 4.11

Interpretation:

48% employees of banking sector take their family out on vacation once in a year
13% employees never spent vacations with family
Only 7% employees take their family out on vacation twice in a year
23% employees spent vacations once in three years with family
9% employees are taking their family out on vacation once in 5 years because of their hectic schedule








Q11.) Does long working hours affect your efficiency

Most of the times
36
Sometimes
19
Seldom
11
Always
27
never
7


Graph 4.12
Interpretation:

Accordingly, 36% employees long working hours affect their efficiency most of the times.
27% employees said that long working hours always affect their efficiency
19% employees were of the opinion that long working hours sometimes affect their efficiency
11% employees said that long working hours seldom affect their efficiency
Only 7% employees said that long working hours never affect their efficiency



Q12.) Does peer pressure compels you to stay late in the office

Most of the times
21
Sometimes
14
Seldom
19
Always
34
Never
12

Graph 4.13
Interpretation:

34% executives said that peer pressure always compels them to stay late in the office
21% executives said that most of the times peer pressure compels them to stay late in the office
19% executives said that peer pressure seldom compels them to stay late in the office
14% executives said that peer pressure sometimes compels them to stay late in the office
Only 12% executives said that peer pressure never compels them to stay late in the office

Q. 13 Does long working hours cause stress at work?

Graph 4.14
Most of the times
31
Sometimes
21
Seldom
14
Always
28
never
6

Interpretation:

31% employees of the banks said that long working hours cause stress at work most of the times
28% employees of the banks said that long working hours always cause stress at work
21% employees of the banks said that long working hours sometimes cause stress at work
14% employees of the banks said that long working hours seldom cause stress at work
6% employees of the banks said that long working hours never cause stress at work.

Q14.) Do you agree “YOUR HEALTH IS SUFFERING BECAUSE OF YOUR
WORK “

Strongly Agree
29
Agree
39
Partially Agree
21
Disagree
9
Strongly Disagree
2


Graph 4.15

Interpretation:

39% of the employees agree that their health is affected because of long working hours.
29% of the employees strongly agree that their health is affected because of long working hours.
9% of the employees disagree that their health is not affected because of long working hours.
2% of the employees strongly disagree that their health is not affected because of long working hours.

Q15.) Do you suffer from Hypertension?


Yes
58
No
42



Graph 4.16


Interpretation:

58% of the employees of the banking sectors are suffering from hypertension
because of long working hours culture and increased competition in market as well as at workplace.







Q16.) Do you suffer from Insomnia?

Yes
26
No
74



Graph 4.17

Interpretation:

26% employees in banks are insomniac which shows that because of increased work pressure and tensions, few employees are not able to sleep.






















FINDINGS, CONCLUSIONS & RECOMMENDATIONS



















CHAPTER 5

FINDINGS, CONCLUSIONS & RECOMMENDATIONS

Findings:


1. 63% of the respondents work for 10-12 hours daily and in some cases they are working for more than 12 hours which undermine their family life and their health is also suffered.
2. Some of the executives need not stay back in the banks after office hours yet senior or middle level executives have to stay back to finish their work.
3. The family members feel the absence of the executives in the house when the executives are required to stay in the banks beyond working hours.
4. Most of the executives miss out there hobbies and interests because of there preoccupations with there work.
5. Some of the executives are to have a family that understands their positions in the banks and this has helped in avoiding stress in their life.
6. 50% of the executives take their family out on vacations and get them relaxed.
7. Some of the executives attend functions in the family circle; some of them cannot attend due to their office work.
8. Whenever the executives carry their office work to do at home, it creates irritation among the family members.
9. Majority of the executives agreed that wrong working hours affect their efficiency.
10. 55% of the respondents commented that peer pressure coax them to stay late in the office.
11. 58% of the respondents were of the opinion that long working hours cause stress at work.
12. Most of the managers are suffering from hypertension and other psychosomatic diseases.
13. 26% managers are insomniac.
14. As more than 50% of the respondents are married, long working hours culture directly affect their married life.
15. 63% of the respondents have nuclear family and therefore whenever they have to overstay in the banks to complete their work, their family members feel neglected.





















Conclusion:

The objective of the study was to find out how the family life and work life issues are managed by the employees of certain private as well as public banks as they have to devote most of their time in the banks either by staying beyond office hours or by traveling due to office work. It was to find out how the executives manage to overcome the level of stress.
This is a perfect study of human resource management to understand the family life and work life and counsel the executives in case of needs. The study reveals that officers have to mange and identify the importance of family requirements and decide priorities of their personal involvement so that stress and strain can be avoided.
The study concludes that as part of human resource management, frequent studies have to be conducted to understand the executives and their family, so that stress and strain among the executives arising out of family and work interface is removed.
So to conclude the family and work life are both important to employees in any service sector and if these two are not maintained properly it creates stress and strain and results into various diseases. This study is found important because it tries to know how the work life and family life interface results into stress. This study also throws light on the suggestions to overcome imbalance in work and family life in order to keep the profile of the executives high and also keep their family life happy which in the long run benefits the organization in achieving its long term goals.
This study has very wide aspects because of its multi, complex and unique variables for future researchers.
With this the objective of this study gets fulfilled and it has been proved that work life and family life imbalance do pose the problems of stress and strains to the executives but it can be managed by the proper planning of work life and family life.

RECOMMENDATIONS:

What Banks need to do?

· Raise awareness and promote discussion of work life balance issues.
· Promote and disseminate best practice in achieving work life balance.
· Conduct research into working practices and issues.
· Encourage contributions from academics, business leaders, government.
organizations, professional associations and others.
· Produce practical interventions to encourage better work life balance.
· Recognize the needs of its employees to balance work and family and other personal life commitments that may vary at different stages of an individual’s life cycle.
· Mutual agreement and cooperation between a manager and an
employee should be there.
· Communicate the importance of investing in work/life, diversity and workforce effectiveness initiatives.
· Learn how changes in work processes and work structures in organizations supported by work/life initiatives can leverage improvements in productivity, quality, and customer and employee satisfaction.
· A written check-list of legal entitlements should be provided to workers when they receive their formal contract of employment.
· The Government should make it easier for parents with dependant children who choose to work to do so by making flexible working hours mandatory for them.
· Banks should also try to implement certain ”time away from work policies” such as:
o Holiday banking
o buying and selling of holidays
o short and long term career breaks
o special leave
o compassionate leave
o study leave
o IVF leave
o Adoption leave
· Banks should accept the fact that the employees work best when they can balance their work and other aspects of their lives.
· Family-friendly practices must be introduced to improve employee commitment and motivation as well as recruitment and retention.




















LIMITATIONS:

· The research conducted was limited to Udaipur city only.
· Findings of the study are based on the assumption that respondents have divulged the correct information.
· The study is limited due to time, costs and physical reasons
· The study is confined to selected groups of employees in banks of Udaipur city and it may not be equally applied to all the executives class of the country
· Few respondents were so much occupied with their work that they could not spare time to fill the questionnaire
· The biasness of employees affect the analysis of the study in a significant manner
· Due to unwillingness of providing any information, the respondents filled the questionnaire casually which might have affected the conclusions.

















































Questionnaire


WORK LIFE BALANCE SURVEY
(Information contained in this shall not be disclosed)

Name : …………… Name of the bank : ………….

Age : …………… Designation : ………….

Gender : Male / Female Marital status : Single / Married

No. of Children : …………………… Family Structure : Nuclear / Joint

Occupation of your Spouse : ……………...

Educational Qualification : ……………...

Monthly Income (in Rs.) : a.) 5,000-10,000 b.) 10,000-15,000
c.)15,000-20,000 d.) Above 20,000

Q.1) Normal working hours per day:
a.) Less than 8 hrs. b.) 8-10 hrs.
c.) 10-12 hrs. d.) More than 12 hrs.

Q.2) How frequent you overstay in the office to finish your work:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.3) Response of the family members on overstaying in the office:
a.) Resentment b.) Irritation
c.) Co-operative d.) Ignorant e.) Feel Neglected

Q.4) Do you think long working hours undermine your family life:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.5) Are you able to attend social gatherings:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.6) Do you spare time for your hobbies and personal interest:
a.) Yes b.) No


Q.7) Do you take your children to their schools:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.8) Prioritise the following (1-5 )
a.) Career( ) b.) Health( )
c.) Family( ) d.) Wealth( ) e.) Hobbies( )



Q.9) Do you carry your office work at home:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never


Q.10) How frequently you take your family out on vacation:
a.) Twice in a year b.) Once in a year
c.) Once in three years d.) Once in five years e.) Never

Q.11) Does long working hours affect your efficiency:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.12) Does peer pressure compels you to stay late in the office:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.13) Does long working hours cause stress at work:
a.) Most of the times b.) Some times
c.) Seldom d.) Always e.) Never

Q.14) Do you agree “YOUR HEALTH IS SUFFERING BECAUSE OF YOUR WORK “:
a.) Strongly agree b.) Agree
c.) Partially agree d.) Disagree e.) Strongly disagree

Q.15) Do you suffer from Hypertension:
a.) Yes b.) No

Q.16) Do you suffer from Insomnia:
a.) Yes b.) No



































































Bibliography

Research methodology – C.R Kothari, published by: Wishwa Prakashan
Human resource management – Pattnayak, published by: Tata McGraw-Hill Publishing Company Limited
· The ICFAI Journal of 0rganizational Behaviour, July 2005
· HRM Review of ICFAI Journal, March 2004
· Manuals of the Banks