Introduction

Whatever the mind of man can conceives and believe, the mind can achieve Man is a complex mix of elements and ever new invention motivates him to achieve something new. There was a time when human race struggled for food lived in caves and then slowly, gradually and eventually with his strong desire, dedication and determination he moved on to invention of wheel, two wheelers, four wheelers, computer, laptop, economy, currency and unending list of elements. As the development continues with accelerated momentum he felt a strong need of something which could add him in enhancing what he had with something what was in possession of someone else and thus Money and Economy were born. But this was sheer beginning. Slowly men felt need of a institution which can safely keep the wages of man, can provide him money over some obligation interest! when he was in dire need and thus it was conception of the institution called "Banks#. At the time of its conception the primary purpose of a bank was provide loan to trading companies$ and the name bank derived from %talian word banco naming "desk & branch# used during renaissance by 'lorentine Bankers who used to make their transaction above desk covered by green table cloth. "(hange is a part of )ife#. %t is apt to say that with the increasing facilities man craves more and it is this craving of his which introduces various changes in the "modus operandi# of various activities. Thus with the passage of time, the function of bank penetrated to individual.

Bank today cover various financial and commercial activities which includes *+ %ssue of promissory notes. ,rocessing of payment by way of telegraphic transfer. %ssuing bank drafts and che-ues Accepting money on term deposit. )ending money by way of overdraft, installments, loan or otherwise. Safe keeping of documents and other items in a safe deposit box. (urrency exchange. Sales, distribution or brokerage with or without advice, of insurance, unit trusts and similar financial products. As service of bank expanded, bank started using various methods which can aid in managing all the functions of bank and thus banks introduced, various physical evidence like che-ues, bank drafts and ATMs, (redit cards etc. An ATM .Automated Teller Machine/ is a technological version of traditional bank teller who used to disperse cash and other facilities over bank counter. 0owever bank teller was available only during bank working hours, the ATM are 12 3 4, at disposal of customers. Thus ATM is computeri5ed telecom device that provide a customer of a financial transaction in a public place without the need of human desk .bank teller/.

0owever ATM are invention of 16th (entury when in 14th 7une 89:4, Barclay Bankers installed first electronic ATM in ;nfield town in <orth )ondon. % %ndia SB% was first Bank to introduce ATM Service in 899:. ,<B, the second largest government owned commercial bank in %ndia with about 2=66 branches across 4:2 cities and serving over >4 million customers to introduce this service soon after SB%. Thus the ATM Service slowly become common to various bank in %ndia too. Today almost all the bank issue a free of cost ATM to all the customers of all their branch that are internet worked through core banking system. 0ence, it is an endeavor to draw a comparative study between the pre issuance and post issuance ATM Service of the ma?or government owned banking Titans.

SBI & PNB

OBJECTIVE OF THE PROJECT

Objecti e! o" t#e Project

To $no% t#e !ati!"action &e e& o" Con!umer to%ard! 'TM !er ice! o" SBI & PNB

T#ere are !ome !ub objecti e! %#ic# are a! "o&&o%!

@hether the customer is satisfied with ATM facilityA @hat are the shortcomings, which need attentionA To draw (omparison between the Satisfaction of (ustomers from ATM services of SB% and ,<B To know consumer awareness level

SCOPE OF THE ST()*

Sco+e o" t#e !tudy

%t is aimed to study the (ustomer ,reference towards ATM Services of ,un?ab <ational Bank and State Bank of %ndia . The pro?ect is analy5ed the demographic, psychographic and preference characteristics of the customers in using ATM. %t includes the detailed study of customers focusing on the various parameters that lead to identifying and understanding the perception of the customer and behaviour regarding services offered by SB% and ,<B. SB% and ,<B, both are public sector bank and en?oy the loyalty of customers due to their work -uality and long era of services. So it becomes important to reveal a correct diagram and impact of the ATM services provided by it maintaining their dignity and position

COMP'N* PROFI,E

COMP'N* PROFI,E 'BO(T SBI

The Bank is actively involved since 894> in non+profit activity called (ommunity Services Banking. All our branches and administrative offices throughout the country sponsor and participate in large number of welfare activities and social causes. Bur business is more than banking because we touch the lives of people anywhere in many ways.

BO'R) OF )IRECTORS As on 8>th 7anuary 1669!

Sr- No- Name o" )irector Shri B.,. Bhatt 8. (hairman Shri S.C. Bhattacharyya 1. MD E ((EFB Shri F. Sridharan >. MD E G; AES! 2. Dr. Ashok 7hun?hunwala =. Shri Dileep (. (hoksi :. Shri S. Henkatachalam 4. Shri. D. Sundaram I. Dr. Deva <and Balodhi

9. 86. 88. 81. 8>.

,rof. Mohd. Salahuddin Ansari Dr. Mrs.! Hasantha Bharucha Dr. Fa?iv Cumar Shri Arun Famanathan Smt. Shyamala Gopinath

TR'NSFORM'TION JO(RNE* IN ST'TE B'N. OF IN)I' The State Bank of %ndia, the countryJs oldest Bank and a premier in terms of balance sheet si5e, number of branches, market capitali5ation and profits is today going through a momentous phase of (hange and Transformation K the two hundred year old ,ublic sector behemoth is today stirring out of its ,ublic Sector legacy and moving with an agility to give the ,rivate and 'oreign Banks a run for their money. The bank is entering into many new businesses with strategic tie ups K ,ension 'unds, General %nsurance, (ustodial Services, ,rivate ;-uity, Mobile Banking, ,oint of Sale Merchant Ac-uisition, Advisory Services, structured products etc K each one of these initiatives having a huge potential for growth. The Bank is forging ahead with cutting edge technology and innovative new banking models, to expand its Fural Banking base, looking at the vast untapped potential in the hinterland and proposes to cover 866,666 villages in the next two years. %t is also focusing at the top end of the market, on whole sale banking capabilities to provide %ndiaJs growing mid & large (orporate with a complete array of products and services. %t is consolidating its global treasury operations and entering into structured products and derivative instruments. Today, the Bank is the largest provider of infrastructure debt and the largest

10

arranger of external commercial borrowings in the country. %t is the only %ndian bank to feature in the 'ortune =66 list. The Bank is changing outdated front and back end processes to modern customer friendly processes to help improve the total customer experience. @ith about I=66 of its own 86666 branches and another =866 branches of its Associate Banks already networked, today it offers the largest banking network to the %ndian customer. The Bank is also in the process of providing complete payment solution to its clientele with its over I=66 ATMs, and other electronic channels such as %nternet banking, debit cards, mobile banking, etc. @ith four national level Apex Training (olleges and =2 learning (entres spread all over the country the Bank is continuously engaged in skill enhancement of its employees. Some of the training programes are attended by bankers from banks in other countries. The bank is also looking at opportunities to grow in si5e in %ndia as well as %nternationally. %t presently has I1 foreign offices in >1 countries across the globe. %t has also 4 Subsidiaries in %ndia K SB% (apital Markets, SB%(A, Securities, SB% D'0%, SB% 'actors, SB% )ife and SB% (ards + forming a formidable group in the %ndian Banking scenario. %t is in the process of raising capital for its growth and also consolidating its various holdings.

Throughout all this change, the Bank is also attempting to change old mindsets, attitudes and take all employees together on this exciting road to Transformation. %n a recently concluded mass internal communication programme termed L,arivartanJ the Bank rolled out over >>66 two day workshops across the country and covered over 8>6,666 employees in a period of 866 days using about 266 Trainers, to drive home the message of (hange and inclusiveness. The
11

workshops fired the imagination of the employees with some other banks in %ndia as well as other ,ublic Sector Brgani5ations seeking to emulate the programme.

12

EVO,(TION OF SBI
The origin of the State Ban$ o" India goes back to the first decade of the nineteenth century with the establishment of the Bank of (alcutta in (alcutta on 1 7une 8I6:. Three years later the bank received its charter and was re+designed as the Bank of Bengal 1 7anuary 8I69!. A uni-ue institution, it was the first ?oint+stock bank of British %ndia sponsored by the Government of Bengal. The Bank of Bombay 8= April 8I26! and the Bank of Madras 8 7uly 8I2>! followed the Bank of Bengal. These three banks remained at the apex of modern banking in %ndia till their amalgamation as the %mperial Bank of %ndia on 14 7anuary 8918. ,rimarily Anglo+%ndian creations, the three presidency banks came into existence either as a result of the compulsions of imperial finance or by the felt needs of local ;uropean commerce and were not imposed from outside in an arbitrary manner to modernise %ndiaMs economy. Their evolution was, however, shaped by ideas culled from similar developments in ;urope and ;ngland, and was influenced by changes occurring in the structure of both the local trading environment and those in the relations of the %ndian economy to the economy of ;urope and the global economic framework.

Ban$ o" Ben/a& H-O-

13

E!tab&i!#ment
The establishment of the Bank of Bengal marked the advent of limited liability, ?oint+stock banking in %ndia. So was the associated innovation in banking, vi5. the decision to allow the Bank of Bengal to issue notes, which would be accepted for payment of public revenues within a restricted geographical area. This right of note issue was very valuable not only for the Bank of Bengal but also its two siblings, the Banks of Bombay and Madras. %t meant an accretion to the capital of the banks, a capital on which the proprietors did not have to pay any interest. The concept of deposit banking was also an innovation because the practice of accepting money for safekeeping and in some cases, even investment on behalf of the clients! by the indigenous bankers had not spread as a general habit in most parts of %ndia. But, for a long time, and especially upto the time that the three presidency banks had a right of note issue, bank notes and government balances made up the bulk of the investible resources of the banks. The three banks were governed by royal charters, which were revised from time to time. ;ach charter provided for a share capital, four+fifth of which were privately subscribed and the rest owned by the provincial government. The members of the board of directors, which managed the affairs of each bank, were mostly proprietary directors representing the large ;uropean managing agency houses in %ndia. The rest were government nominees, invariably civil servants, one of whom was elected as the president of the board.

14

0rou+ P#oto/a+# o" Centra& Board 123425

Bu!ine!!
The business of the banks was initially confined to discounting of bills of exchange or other negotiable private securities, keeping cash accounts and receiving deposits and issuing and circulating cash notes. )oans were restricted to Fs.one lakh and the period of accommodation confined to three months only. The security for such loans was public securities, commonly called (ompanyMs ,aper, bullion, treasure, plate, ?ewels, or goods Mnot of a perishable natureM and no interest could be charged beyond a rate of twelve per cent. )oans against goods like opium, indigo, salt woollens, cotton, cotton piece goods, mule twist and silk goods were also granted but such finance by way of cash credits gained momentum only from the third decade of the nineteenth century. All commodities, including tea, sugar and ?ute, which began to be financed later, were either pledged or hypothecated to the bank. Demand promissory notes were signed by the borrower in favour of the guarantor, which was in turn endorsed to the bank. )ending against shares of the banks or on the mortgage of houses, land or other real property was, however, forbidden.

15

%ndians were the principal borrowers against deposit of (ompanyMs paper, while the business of discounts on private as well as salary bills was almost the exclusive monopoly of individuals ;uropeans and their partnership firms. But the main function of the three banks, as far as the government was concerned, was to help the latter raise loans from time to time and also provide a degree of stability to the prices of government securities.

O&d Ban$ o" Ben/a&

Major c#an/e in t#e condition!

A ma?or change in the conditions of operation of the Banks of Bengal, Bombay and Madras occurred after 8I:6. @ith the passing of the ,aper (urrency Act of 8I:8, the right of note issue of the presidency banks was abolished and the Government of %ndia assumed from 8 March 8I:1 the sole power of issuing paper currency within British %ndia. The task of management and circulation of the new currency notes was conferred on the presidency banks and the Government undertook to transfer the Treasury balances to the banks at places where the banks would open branches. <one of the three banks had till then any branches except the sole attempt and that too a short+lived one by the Bank of Bengal at Mir5apore in 8I>9! although the charters had given them such authority. But as soon as the three presidency bands were assured of the

16

free use of government Treasury balances at places where they would open branches, they embarked on branch expansion at a rapid pace. By 8I4:, the branches, agencies and sub agencies of the three presidency banks covered most of the ma?or parts and many of the inland trade centres in %ndia. @hile the Bank of Bengal had eighteen branches including its head office, seasonal branches and sub agencies, the Banks of Bombay and Madras had fifteen each.

Ban$ o" Madra! Note )ated 2672 "or R!-28

17

SBI9! Retai& Ban$in/

State Ban$ o" India offers a wide range of services in the ,ersonal Banking Segment which are indexed here.

SB% Term Deposits SB% Fecurring Deposits SB% 0ousing )oan SB% (ar )oan SB% ;ducational )oan SB% ,ersonal )oan

SB% )oan 'or ,ensioners )oan Against Mortgage Bf ,roperty )oan Against Shares E Debentures Fent ,lus Scheme Medi+,lus Scheme Fates Bf %nterest

)EPOSIT SCHEMES All branches, are fully computerised, and realise the advantage of our vast network. ,lace funds in Multi Bption Deposit Scheme, a term deposit which is not fixed at all and comes with a uni-ue break+up facility which provides you full li-uidity as well as benefits of higher rates of returns, through your savings bank account. Alternately, keep that deposit intact by availing an overdraft facility, to meet your occasional temporary funds re-uirements.

PERSON', FIN'NCE

18

State Ban$ o" India has a variety of schemes under ,ersonal 'inance to satisfy varying needs of the banking public. The Bank offers the following schemes with attractive rates of interest*

)oan 'or ;SB,S N 0ousing )oan N ;asy Travel )oan N (ar )oan N ;ducational )oan N ,ersonal )oan N ,roperty )oan N )oan to ,ensioners N )oan Against Shares&Debentures N 'estival )oans N Medi+,lus Scheme N Teachers+,lus Scheme N Sainik+,lus Scheme N Tribal+,lus Scheme N ;M% (alculator N (redit Cha5ana

SERVICES

19

State Ban$ o" India offers a wide range of services in the ,ersonal Banking Segment which are indexed here. (lick on each of them to access the details.

eO+tradePsbi SB% H%S0@A QATFA 'BF;%G< TFAH;) (AFD ATM S;FH%(;S G%'T (AFDS G%'T (0;RS;S %<T;F<;T BA<C%<G 'BF;%G< %<@AFD F;M%TTA<(; )B(C;F

20

'TM SERVICES
ST'TE B'N. NET:OR.E) 'TM SERVICES
State Bank offers you the convenience of over 1:,666 ATMs in %ndia, the largest network in the country and continuing to expand fastT This means that you can transact free of cost at the ATMs of State Bank Group This includes the ATMs of State Bank of %ndia as well as the Associate Banks + namely, State Bank of Bikaner E 7aipur, State Bank of 0yderabad, State Bank of Mysore, State Bank of ,atiala, and State Bank of Travancore! and wholly owned subsidiary vi5. SB% (ommercial and %nternational Bank )td., using the State Bank ATM+cum+Debit (ash ,lus! card. .IN)S OF C'R)S 'CCEPTE) 'T ST'TE B'N. 'TM! Besides all cards of State Bank of %ndia, State Bank ATM+(um+Debit (ard and State Bank %nternational ATM+(um+Debit (ards following cards are also accepted at State Bank ATMs* + 8! State Bank (redit (ard 1! (ards issued by other banks displaying Maestro, Master (ard, (irrus, H%SA and H%SA ;lectron logos >! All Debit& (redit (ards issued by any bank outside %ndiadisplaying Maestro, Master (ard, (irrus, H%SA and H%SA ;lectron logos State Ban$ 'TM;cum;)ebit 1State Ban$ Ca!# +&u!5 Card*

21

%ndiaMs largest bank is proud to offer you unparalleled convenience vi5. State Bank ATM+cum+ Debit (ash ,lus! card. @ith this card, there is no need to carry cash in your wallet. Qou can now withdraw cash and make purchases anytime you wish to with your ATM+cum+Debit (ard. Get an ATM+cum+Debit card with which you can transact for 'F;; at any of over 1:,666 ATMs of State Bank Group within our country. C&ic$ #ere for the list of ATMs in %ndia or to find the nearest ATM you are looking forT Feature!<

@ithdraw cash from over 1:,666 ATMs of our group 'F;; and about 26666 ATMs of other banks under multi+lateral sharing vi5. Andhra Bank, Axis Bank, Bank of %ndia, The Bank of Fa?asthan )td. (anara Bank, (orporation Bank, Dena Bank, 0D'( Bank, %(%(% Bank, %ndian Bank, %ndus%nd Bank, ,un?ab <ational Bank, S(B Bank and Snion Bank of %ndia apart from ATMs displaying Master (ard& Maestro&(irrus logo for 'F;; upto first = transactions 'inancial and <on+'inancial! in a calendar month for SB account holders!.

Make payments for purchases by using the debit card at more than 2 lakh shops, restaurants, shopping malls, hotels, petrol pumps and many other outlets which display Maestro logo.

Fecharge pre+paid mobile phones of Hodafone, %D;A, Feliance and B,) without any charges at any State Bank ATM.

22

Fecharge pre+paid mobile phones of A%FT;) of 88 (ircles vi5. Mumbai, Delhi, Gu?arat, M.,., S.,. ;ast!, S.,. @est!, Carnataka, Cerala, Andhra ,radesh, Tamilnadu, and (hennai, through ATM& SMS anywhere in %ndia.

Fecharge mobile phones of A%FT;), Hodafone, Sninor, Hirgin, Feliance %D;A and B,) without any charges at all ATMs as well as by sending SMS after registration at State Bank ATM!.The text of SMS will be as under* + Service ,rovider Airtel B,) Hodafone F( AMBS<T! ,%< F( SB% AMBS<T! ,%< F( SB% AMBS<T! ,%< =>= 826 824 =4= SMS Text Send SMS to

%D;A F( SB% AMBS<T! ,%< ,ay MT<), Mumbai bills through State Bank ATMs ,ayment of ;lectricity Bills Bescom!, Bengaluru ,ayment of SB% (redit (ard bills ,ayment of SB% )ife insurance premium ,ay fees of select colleges Fegistration of SB% Mobile Banking and SMS Alerts

Donate to Temple Trusts* + a! Haishno Devi b! Shirdi Saibaba c! Gurudwara Takht Saheb, <anded d! Tirupati and e! Sri 7agannath Temple, ,uri f! ,alani, Tamil <adu g! Canchi Camakoti ,etam, Tamil <adu h! Famakrishna Mission, Colkatta i! Mantralaya, Andhra ,radesh ?! Cashi Hishwanath, Banaras k! Tul?a Bhavani, Mumbai l! Mahalakshmi, Mumbai

23

Donate to Felief 'unds* a! (M Felief 'und, Brissa b! (M Felief 'und, Bihar c! Fa?iv Gandhi Aarogyasri 'und

Tran!action ,imit!<

Daily limit of Fs 26,666&+ at the ATM Daily limit of Fs =6,666&+ at ,oint of Sale ,BS! terminal for debit transactions (ombined daily limit of Fs 96,666&+ The breakup of Multi Bption Deposit Scheme units is available through the Saving Bank & (urrent Account linked with the ATM+(um+Debit (ard, if attached with the MBDS.The withdrawals can be made in units of Fs 8666&+ from the Deposits.

Fee!< There is no ?oining fee for State Bank ATM+cum+Debit (ash ,lus! card. Annual maintenance fee of Fs. 866&+ p.a. will be recovered from the second year of issue. '++&y "or your card %f you already have a Savings Bank or (urrent Account with us, apply for State Bank ATM+ cum+Debit (ash ,lus! card at your branch. %f you are not banking with us, start doing so UUU State Ban$ Ca!# P&u! Internationa& Card*

24

This is an %nternational ATM+cum+Debit (ard with which you can en?oy shopping at over 2 lakh establishments in %ndiaand over 86.= Million establishments worldwide displaying Maestro logo, wherein the amount you spend on your card is automatically debited to your account. @ithdraw cash from over 1:,666 ATMs of our group 'F;; of other banks from ATMs displaying Master (ard& Maestro & (irrus logo in %ndia and more than I,16,666 ATMs across the globe for a nominal fee. %n %ndia, it would function as the State Bank ATM+cum+Debit (ash ,lus! card. :ITH)R':', ,IMIT< ;

i5 Ca!# :it#dra%a&!1+er day5 <

%ndia Minimum Fs. 866

Abroad Depends on the Bank whose ATM is being used

Maximum Fs. 2=666

SSV8666 or e-uivalent

ii5 Tran!action at POS 1+er day5 < %ndia Maximum Fs. 8,66,666 Abroad SSV8666 or e-uivalent

25

Maximum permitted aggregate utili5ation in a day is Fs. 82=666 in %ndia and e-uivalent to SSV 1666 abroad sub?ect to compliance with the FB% and ;xchange (ontrol& ';MA Fegulations!

TR'NS'CTION COSTS< ; 'F;;T Fee! < The State Bank (ash ,lus %nternational (ard is available forone time joinin/ fee of Fs 166&+. Annual maintenance fee of Fs. 866&+ p.a. will be recovered from the second year of issue. Apply for your card * %f you already have a Savings Bank or (urrent Account with us, apply for State Bank (ash ,lus card at your branch. %f you are not banking with us, start doing so UUU ;xperience Anytime Anywhere Banking with STAT; BA<C. (all us at our toll free 8I66+ 881188, 8I66+21=>I66 from any phone. En#anced Con enience< State Bank accepts Debit& (redit (ards issued by banks in %ndia and abroad affiliated to both H%SA and Master (ard %nternational at its over 1:,666 ATMs. Search for ATM locations in %ndia

26

ST'TE B'N. INTERN'TION', 'TM;C(M;)EBIT C'R)

E&i/ibi&ity<

All Saving Bank and (urrent Account holders having accounts with networked branches and are*

8I years of age E above Account type* Sole or 7oint with W;ither or SurvivorW & WAnyone or SurvivorW <F; account holders are also eligible but <FB account holders are not.

Bene"it!<

(onvenience to the customers traveling overseas (an be used as Domestic ATM+cum+Debit (ard Available at a nominal ?oining fee of Fs. 166&+ Daily limit of SS V 8666 or e-uivalent at the ATM and SS V 8666 or e-uivalent at ,oint of Sale ,BS! terminal for debit transaction

,urchase ,rotectionNup to Fs. =666&+ and ,ersonal Accident coverNup to Fs. 1,66,666&+ (harges for usage abroad* Fs. 8=6X Service Tax per cash withdrawal Fs. 8= X Service Tax per en-uiry.

27

ST'TE B'N. INTERN'TION', 'TM;C(M;)EBIT C'R)

E&i/ibi&ity< All Saving Bank and (urrent Account holders having accounts with networked branches and are* Y8I years of age E above Account type* Sole or 7oint with ";ither or Survivor# & "Anyone or Survivor# <F; account holders are also eligible but <FB account holders are not.

Bene"it!< Y(onvenience to the customers traveling overseas Y(an be used as Domestic ATM+cum+Debit (ard YAvailable at a nominal ?oining fee of Fs. 166&+ YDaily limit of SS V 8666 or e-uivalent at the ATM and SS V 8666 or e-uivalent at ,oint of Sale ,BS! terminal for debit transaction
28

Y,urchase ,rotectionNup to Fs. =666&+ and ,ersonal Accident coverNup to Fs. 1,66,666&+ (harges for usage abroad* Fs. 8=6X Service Tax per cash withdrawal Fs. 8= X Service Tax per en-uiry.

'cce+tabi&ity< Card can be u!ed at< YMore than I,16,666 ATMs and 4 million ,BS, worldwide, displaying (irrus logo YAll State Bank Group and tie+up banksJ ATMs, and ATMs E ,BS in %ndia displaying Master (ard& Maestro & (irrus logo

29

COMP'N* PROFI,E

30

P(NJ'B N'TION', B'N.

31

PROFI,E
@ith over >4 million satisfied customers and over 2=I9 offices, ,<B has continued to retain its leadership position among the nationali5ed banks. The bank en?oys strong fundamentals, large franchise value and good brand image. Besides being ranked as one of %ndiaMs top service brands, ,<B has remained fully committed to its guiding principles of sound and prudent banking. Apart from offering banking products, the bank has also entered the credit card E debit card business$ bullion business$ insurance business$ Gold coins E asset management business, etc. Since its humble beginning in 8I9= with the distinction of being the first %ndian bank to have been started with %ndian capital, ,<B has achieved significant growth in business which at the end of March 166I amounted to Fs 1,I=9=9 crore. Today, with assets of more than Fs 8,99,666 crore, ,<B is ranked as the >rd largest bank in the country after SB% and %(%(% Bank! and has the 1nd largest network of branches 2=I9 including >11 extension counters!.During the 'Q 1664+6I, with 2>Z share of low cost deposits, the bank achieved a net profit of Fs 1,629 crore, maintaining its number B<; position amongst its peers. The bankJs Feturn on Assets at 8.8=Z was also the highest. During the 'Q 1664+6I,itsJ ratio of priority sector credit to net bank credit at 22.88Z E agriculture credit to net bank credit at 8I.92Z was also higher than the respective national goals of 26Z E 8IZ. ,<B has always looked at technology as a key facilitator to provide better customer service and ensured that its L%T strategyJ follows the LBusiness strategyJ so as to arrive at "Best 'it#. The bank has made rapid strides in this direction and achieved 866Z branch computerisation. A pioneering effort of the bank in the use of %T is the implementation of (ore Banking Solution

32

(BS! which facilitates "any time, any where# banking. ,<B has implemented (BS in >=6> service outlets at around centers to facilitate Wanytime, anywhereW banking to its clients. The bank has also been offering %nternet banking services to the customers of (BS branches like booking of tickets, payment of bills of utilities, purchase of airline tickets etc. Towards developing a cost effective alternative channels of delivery, the bank has installed more than 8=8: ATMs and entered into ATM sharing arrangement with other banks E %DFBT, making available a pool of additional 18,=66 ATMs throughout the country to its customers. Backed by strong domestic performance, the bank is planning to reali5e its global aspirations. %n order to increase its international presence, the bank has already set up representative offices at Almaty Ca5akhstan!, Dubai SA;! E Shanghai (hina! $ a branch at Cabul Afghanistan! and a subsidiary at )ondon SC! and a branch at 0ongkong. @ork on assessing potential at other international centers is progressing. The bank also has a ?oint venture with ;verest Bank )td. ;B)!, <epal, with 16 per cent e-uity participation. @ith ,<BJs management, ;B) has become one of the leading banks in <epal. As a tribute to its consistent business growth, improved assets E attractive returns to shareholders in the ?oint venture, ,<B has won LBank of the QearJ Award in <epal 166:! by LThe BankerJ, a publication of the )ondon based 'inancial Times. Amongst Top 8666 Banks in the @orld, LThe BankerJ listed ,<B at 1==th place. 'urther the leading international (redit Fating index provider, Standard E ,oorJs 166:! listed ,<B, amongst the >66 @orld companies E 4 %ndian companies, which are expected to emerge as challengers to the worldJs leading blue chip companies.

33

Financia& Per"ormance<
,un?ab <ational Bank continues to maintain its frontline position in the %ndian banking industry. %n particular, the bank has retained its <SMB;F B<; position among the nationali5ed banks in terms of number of branches, operating and net profit in the year 166:+64. The performance highlights of the bank in terms of business and profit are shown below* 1R! Crore5 Parameter! Gross ,rofit <et ,rofit Deposits Advances Business Marc# 8= 1262 8286 86>8:4 Marc# 87 1984 82>9 889:I= Marc# 8> >1>8 8=26 8>9I:6 1:.2= 1>:2=4 16.1> C'0R 1?5 8=.98 2.=6 8:.2>

:628> 42:14 9:=94 8:>=I6 892>81

34

'%ard!

'%ard! & 'c#ie ement! o" Punjab Nationa& Ban$ in Recent Time!

WBest %T Team of the Qear AwardW SCBT(0 (hallenger Award Best %T Sser in Banking E 'inancial Services %ndustry + 1662 Golden ,eacock Award '%((%Ms Fural Development Award Skotch (hallenger Award for ;xemplary use of Technology Golden ,eacock <ational Training + 1662 E 166=

at the %DFBT Banking Technology awards for the year 166=+6:. for (hange Management for the year 166=+ 6: by <ASS(BM in partnership with ;conomic Times for ;xcellence in (orporate Governance + 166= by %nstitute of Directors for ;xcellence in Fural Development + 166= for becoming a pioneer in ,ublic Banks + 166= by %nstitute of Directors

<ational Award for ;xcellence Fanked 1nd for 2 consecutive years + 1661, in SS% )ending 166>, 1662 E 166= Banking Technology Awards 7ointly Ad?udged by %BA, 'inacle E T'(% 1662 Funner up in MBest %T Team of

35

the Qear Award 166=M Money Butlook Award + 1662 Funner up in MBest Bank public Sector! of the year AwardM +166= <iryat Bandhu Gold Trophy for excellence in export perforamnce for > consecutive years 1668, 1661 E 166> by 'ederation of %ndian ;xporters Brgani5ation '%;B! by the leading 'inancial Daily The ;conomic Times, 7une 166= A.( <ielson Survey, The ;conomic Times Dec 1662

18st Amongst Top =66 (ompanies 9th amongst %ndiaMs Top =6 Most Trusted Service Brands

>rd Fank amongst Banking Sector in %ndia The BankersM Almanac, 7anuary 166: >1>rd Fank in the @orld >:I amongst Top 8666 Global The Banker, )ondon 7uly 166= Banks

36

)ebit Card
PNB INTRO)(CES '));ON )EBIT C'R) <;

Share the convenience of ,<B Debit card with your loved ones .Simply gift them add+on card . ,<B (ustomers of (BS branches can get two add+on cards alongwith his own Debit card for free.The person you are gifting the card to does not necessarily has to be an account holder with ,<B. The add+on card can be issued in the name of spouse, dependent parents,and dependent children not below 8I years.The add+on cardholders like the main cardholder will also be covered for accidental death insurance of Fs. 8 lac sub?ect to certain terms and conditions. The tranasactions done by add+on cardholders will automatically get debited to the account of the primary cardholder who shall be responsible for all the transactions made by Add Bn card holder&s.

I!!uance o" )ebit Card "rom Ca&& centre *+ W(BS branches customers of our Bank may also get ,<B Debit (ard simply by contacting our All %ndia (all (enter over phone at the following noMs *+

2688 268 4444 To&& "ree 824@;4A@8888 'cce!!ib&e "rom mobi&e a&!o.

37

RESE'RCH

METHO)O,O0*

38

Re!earc# Met#odo&o/y
A research process consists of stages or steps that guide the pro?ect from its conception through the final analysis, recommendations and ultimate actions. The research process provides a systematic, planned approach to the research pro?ect and ensures that all aspects of the research pro?ect are consistent with each other. Fesearch studies evolve through a series of steps, each representing the answer to a key -uestion.

Research Project Steps

39

INTRO)(CTION
This chapter aims to understand the research methodology establishing a framework of evaluation and revaluation of primary and secondary research. The techni-ues and concepts used during primary research in order to arrive at findings$ which are also dealt with and lead to a logical deduction towards the analysis and results.

RESE'RCH )ESI0N
% propose to first conduct a intensive secondary research to understand the full impact and implication of the industry, to review and criti-ue the industry norms and reports, on which certain issues shall be selected, which % feel remain unanswered or liable to change, this shall be further taken up in the next stage of exploratory research. This stage shall help me to restrict and select only the important -uestion and issue, which inhabit growth and segmentation in the industry. The various tasks that % have undertaken in the research design process are * Defining the information need Design the exploratory, descriptive and causal research.

RESE'RCH PROCESS
The research process has four distinct yet interrelated steps for research analysis

40

%t has a logical and hierarchical ordering* Determination of information research problem. YDevelopment of appropriate research design. Y;xecution of research design. Y(ommunication of results.

;ach step is viewed as a separate process that includes a combination of task , step and specific procedure. The steps undertake are logical, ob?ective, systematic, reliable, valid, impersonal and ongoing.

EBP,OR'TOR* RESE'RCH
The method % used for exploratory research was ,rimary Data Secondary data

41

PRIM'R* )'T' <ew data gathered to help solve the problem at hand. As compared to secondary data which is previously gathered data. An example is information gathered by a -uestionnaire. Rualitative or -uantitative data that are newly collected in the course of research, (onsists of original information that comes from people and includes information gathered from surveys, focus groups, independent observations and test results. Data gathered by the researcher in the act of conducting research. This is contrasted to secondary data which entails the use of data gathered by someone other than the researcher information that is obtained directly from first+hand sources by means of surveys, observation or experimentation.

Primary data is basically collected by getting questionnaire filled by the respondents. The method adopted was personal interviews and discussions with the help of questionnaire. Through discussions very important data were gathered & discussed information for the research.

SECON)'R* )'T' %nformation that already exists somewhere, having been collected for another purpose. Sources include census reports, trade publications, and subscription services. Data that have already been collected and published for another research pro?ect other than the one at hand!. There are two types of secondary data* internal and external secondary data. %nformation compiled inside or outside the organi5ation for some purpose other than the current investigation. Data that have

42

already been collected for some purpose other than the current study. Fesearching information which has already been published.

econdary source of data used consists of boo!s and websites. "arious boo!s on research topic written by the authors were studied. #ournals are also helpful in gathering the data.

)ESCRIPTIVE RESE'RCH
ST;,S in the descriptive research* Statement of the problem %dentification of information needed to solve the problem

Selection or development of instruments for gathering the information %dentification of target population and determination of sampling ,lan.

Design of procedure for information collection

(ollection of information Analysis of information Generali5ations and&or predictions

43

)'T' CO,,ECTION
Data collection took place with the help of filling of -uestionnaires. The -uestionnaire method has come to the more widely used and economical means of data collection. The common factor in all varieties of the -uestionnaire method is this reliance on verbal responses to -uestions, written or oral. % found it essential to make sure the -uestionnaire was easy to read and understand to all spectrums of people in the sample. %t was also important as researcher to respect the samples time and energy hence the -uestionnaire was designed in such a way, that its administration would not exceed 2+= mins. These -uestionnaires were personally administered.

Sample Si5e* $%%

44

Re!earc# )e!i/n

Fesearch design is a conceptual structure within which research is conducted. A research design is the detailed blueprint used to guide a research study towards its ob?ective. %t is a series of advanced decision taken together comprising a master plan or a model for conducting the research in consonance with the research ob?ectives. Fesearch design is needed because it facilitates the smooth sailing of the various research operations, thereby making research as efficient as possible yielding maximum information with the minimum effort, time and money.

RESEARCH DESIGN

EXPLORATORY RESEARCH DESIGN

CONCLUSIVE RESEARCH DESIGN

DESCRIPTIVE RESEARCH

CAUSAL RESEARCH

45

METHO)O,O0* OF ST()*<
Fesearch can be defined as a systemi5ed effort to gain new knowledge. A research is carried out by different methodologies which have their own pros and cons. Fesearch methodology is a way to solve research in study and solving research problems along with logic behind them are defined through research methodology. Thus while talking about research methodologies we are not only talking of research methods but also consider the logic behind the methods. @e are in context of our research studies and explain why it is being used a particular method or techni-ue and why the others are not used. So that research result is capable of being evaluated either by researcher himself or by others. 'SS(MPTIONS< 8. %t has been assumed that sample of hundred represents the whole population 1. The information given by the customer is unbiased

,ITER'T(RE S(RVE*< The pro?ect is based on pure findings of facts CO,,ECTION OF )'T'< This research is solely based on primary research done by means of -uestionnaires targeted to respondents who primarily belong to the business and service sector. The sample si5e is 866. Survey has been conducted in Sita+ur Re/ion-

46

a. Sampling Methods* A sample is the representative of the populations which will predict the behaviors of the whole universe b. The sampling si5e put under 1 categories* ,robability Sampling and <on ,robability Sampling.

EBEC(TION OF PROJECT
%t is very essential in the research process to know the accuracy of the findingJs which depends on how systematically the study has been carried out so that it can make sense. @e have executed the pro?ect after prior discussion with our guide and structured in the following steps* a. ,reparation of a -uestionnaire b. The focal point of the designing the -uestionnaire was to comprehend the current investment scenario c. This -uestionnaire was primarily aimed to respondents who belong to the service and business class people d. The -uestionnaires were discussed through personal interface with the respondents

47

Re!earc# )e!i/n ;xploratory %nformation pertaining to ATM usage in Sitapur will be collected from various banks. (oncerned persons at various banks will be interviewed. %nformation will also be collected from customers using ATM facility and their attitude towards the same will be studied. Cue!tionnaire A -uestionnaire will be administered to the current ATM users of various banks in Sitapur, personally by the research team. The -uestionnaire will contain not more than 16 -uestions. ,ersonal data of the respondents will be collected through additional -uestions at the end of the -uestionnaire.

S'MP,IN0 P,'N Re&e ant Po+u&ation ,eople using SB% and ,<B Banks ATM cards in Sitapur (ity.

Sam+&e SiDe Sample of 866 will be taken from Sitapur (ity

48

)'T' 'N',*SIS

&
INTERPRET'TIONS

49

)ata 'na&y!i! & inter+retation!

R8. Do you have account in

Tab&e 2 State Ban$ o" India Punjab Nationa& Ban$ Bot# Ot#er! >I Z 11 Z 89 Z 18 Z

21% 38%

State Bank of India Punjab National Bank Both

19% thers 22%

Inter+retation
>IZ of the respondent had account in State Bank of %ndia, 11Z in ,<B, 89Z in Both banks and 18Z in other Banks. R1. Do you have ATM Services with your accountA

Tab&e 4

50

*e! No

:I Z 11 Z

2#%

$es No

!"%

Inter+retation
:IZ of the respondent had ATM service with their account while others do not had this facility with account..

51

R>. Tab&e A

@hich of these is the most important reason for possessing ATM card&sA

Ban$ o""ered Free For emer/ency +ur+o!e ' ai&abi&ity o" many 'TM centre! 4@ #our acce!!ibi&ity

>8 Z >= Z 1>Z 16 Z

11% 31% 23% Bank offered &ree &or e'er(enc) purpose *+ailabilit) of 'an) *,- centres 2# hour accessibilit) 3%%

Inter+retation
>8Z of the respondent said they use ATM as it is free service of Bank, >=Z of the respondent said that they use ATM for emergency purposes, 1>Z of the respondent said that they use ATM due to their availability, and rest said they use due to 12 hour accessibility.

R2

0ow fre-uently do you use ATM card in a weekA

52

Tab&e @ ,e!! t#an A time! A;= time! = to 6 More t#an 6 time! 16Z >=Z >>Z 81Z

12%

2.% /ess than 3 ti'es 30% ti'es % to 8 -ore than 8 ti'es 3%%

33%

Inter+retation
Maximum of the respondent i.e., >=Z use ATM >+= times in week while only 81Z use more than I times a week R=. @hat is the purpose&s for using ATMA Tick one or more! Tab&e =

53

Ca!# :it#dra%a& Ba&ance InEuiry Ba&ance Tran!"er Ot#er!

:6Z >6 Z 1Z IZ

2%

8%

1ash 2ithdra3al 3.% ".% Balance In4uir) Balance ,ransfer thers

Inter+retation
:6Z of the respondent use ATM for cash withdrawal while only 1Z use for balance transfer. R:. Tab&e 7 SB% )ess than = min 16Z ,<B 81Z 0ow much time do you spend waiting in -ueue at ATMA

54

= min to 86 min 86 min or more

21Z >IZ

:Z 2Z

#%% #.% 3%% 3.% 2%% 2.% 1%% 1.% %% .% /ess than % 'in 2.% 12%

#2% 38%

SBI PNB

"%

#%

% 'in to 1. 'in

1. 'in or 'ore

Inter+retation
Above table shows that maximum of the respondent have to wait in ATMs of SB% i.e., 21Z for = min to 86 min.

R4. Tab&e >

0ow long does it take to process your transaction at the ATM centreA

SB% )ess than = min = min to 86 min 86 min or more 1=Z 86Z >Z 55

,<B 8IZ 2Z 6Z

3.% 2%% 2.% 1%% 1.% %% .% /ess than % 'in % 'in to 1. 'in 1.% #% 2%%

18% SBI PNB

3% .% 1. 'in or 'ore

Inter+retation
Most of the respondent said it take less time in transaction in SB% ATMs than ,<B ATMs RI. Did you complaint for the fraud and any action taken by Bank Authority

Tab&e 6 SB% Qes <o =6Z =6Z ,<B 6Z 6Z

56

".% %.% #.% 3.% 2.% 1.% .% .% $es No .% SBI PNB %.% %.%

Inter+retation
=6Z of the fraud case with ATMs of SB% were solved and undertaken by Bank Authorities.

R9. Tab&e 3

0ow much satisfied are you with your ATM serviceA

SB% Satisfied Snsatisfied I6Z 16Z

,<B 44Z >>Z

57

80% 70% 60% 50% 40% 30% 20% 10% 0% SBI PNB Satisfied Unsatisfied

Inter+retation
Ma?ority of the respondents are satisfied with ATMs of both Banks.

58

R86.

0ow much satisfied are you with security of your ATM cardA

Tab&e 28 SB% Satisfied Snsatisfied IIZ 81Z ,<B =:Z 22Z

90% 80% 70% 60% 50% 40% 30% 20% 10% 0% S BI PNB

Satisfied Unsatisfied

Inter+retation
Maximum of the respondent feel ATMs Secured. Security level for SB% is greater than ,<B.

59

R.88

Do they run out of cash fre-uentlyA

Tab&e 22 SB% Always Sometimes <ever 28Z =4Z 9Z ,<B 86Z >=Z ==Z

".% %.% #.% 3.% 2.% 1.% .% *l3a)s 1.% 3#%

%!%

%%%

3%% SBI PNB

9%

So'eti'es

Ne+er

Inter+retation
The table shows that SB% ATMs run out of cash often while ,<B ATMs donot run out off cash so fre-uent.

60

FIN)IN0

61

FIN)IN0S This pro?ect was a great experience for me and % really learnt a lot of things from this pro?ect. This pro?ect gave us the knowledge and information about ATM machines, banks offering ATM services and also about the people and their attitudes and perceptions towards ATMJs. % have found, ,eople want the ATM centers to be very close to their houses or place of work. ,eople want that they should not be made to wait in -ueues in front of ATM centers. They want that the bank should go ahead and bring all its functions and activities on the ATM machine. The bank should provide services like balance transfer, balance in-uiry etc. and that too at a cheap rate. The ATM machines sometimes take a lot of time to process a transaction and therefore the customers have to wait for a long time in front of the machine and which is "irritating# according to some respondents and if possible the banks should improve the software they use and reduce the time re-uired by the customers. ,<B and SB% ATM centers do not provide additional services like cash deposit, che-ues deposit, bill payments etc.at all its centers, which many people want but they donJt get it and leads to their dissatisfaction and where ever it is available it is charged.

62

% have also found in this survey that many of the respondents felt that they were feeling secured using the ,<B and SB% ATM card services and this has led to increased satisfaction level of these respondents which is a good sign.

% also conclude from this survey that the almost 46Z people are satisfied with the number and location of the ,<B and SB% ATM centers. But they still insisted that the number should be increased to give enhanced service and satisfaction to its customers.

,eople were happy to say that the ,<B and SB% ATM center provides the currency in the denomination they want and this was as good as dealing with the cashier of the bank where you can tell him which denomination you want.

Another good finding from this survey was that the ATM centers of ,<B and SB% bank rarely run out of cash even though it is one of the largest used ATM centers. About 29Z of the respondents said that it never runs out of cash.

63

CONC,(SION

64

CONC,(SION
As part of its M(licks and BricksM strategy, both SB% and ,<B Banks have developed multiple access channels comprising lean brick and mortar branches, ATMs, call centers and %nternet banking. The branch network including extension counters presently covers many locations across %ndia. SB% and ,<B BanksJs network of 12 hr ATMs is one of the largest and most widespread ATM <etworks in %ndia. Banks ATMs are conveniently located in (ommercial areas, residential localities, Ma?or ,etrol ,umps and Airports, <ear Failway Stations and other places, which are conveniently accessible to customers. The SB% and ,<B Banks ATMs feature user+friendly graphic screens with easy to follow instructions. %T has also introduced ATMs, which interact with customers in local languages for further convenience. The following are the "eature! a ai&ab&e on SB% and ,<B Banks ATMs, which can be accessed from anywhere at anytime.

Ca!# :it#dra%a&*

A customer can withdraw upto Fs.1=,666&+ on a single day from his account. %n this, the 'ast (ash option shows prefixed amounts, which a customer can choose from, and Sltra 'ast (ash option to withdraw Fs.>666&+ at one time.

Ba&ance EnEuiry<

(ustomer can know the ledger balance and available balance with his account.

Mini Statement<

65

(ustomer gets a receipt printout of his last I transactions and the balance.

)e+o!it Ca!# F C#eEue!<

Available in all full function ATMs, customers can deposit both cash and che-ues in the ATM. (ash deposited in ATMs will be credited to the account on the same day and che-ues sent for clearing on the next working day.

Fund! Tran!"er<

(ustomer can transfer funds from one account to another linked account in the same branch.

PIN C#an/e<

The (ustomer (hange the ,ersonal %dentification <umber ,%<! of the ATM or Debit card.

Payment!<

This is the latest feature on Banks ATMs, itJs functionality can be used for payment of bills, donating to temples & trusts or making airtime recharges for prepaid mobile phones.

66

RECOMMEN)'TIONS

67

RECOMMEN)'TIONS
The findings and the conclusions reveal that there is a lot of changes which can be brought about to improve the perception and satisfaction of the customers towards ,<B and SB% banks ATM centers. % recommend that, ,<B and SB% bank should increase the number of ATM centers and at strategic positions.

Software used by the bank should be updated and fast so that people are not made to wait in the -ueue.

,<B and SB% bank can bring all its services on the ATM machines.

'acilities like cash deposit should also start at the ATM centers.

To increase the customer base and the customer satisfaction the ATM facility should be made as secured and safe as possible. ,<B and SB% ATM is one of the safest but still there is scope for improvement.

68

,IMIT'TIONS

69

,IMIT'TIONS
Fesearch work was carried out in Sitapur city only the finding may not be applicable to the other parts of the country because of social and cultural differences. The sample was collected using connivance+sampling techni-ues. As such result may not give an exact representation of the population. Shortage of time is also reason for incomprehensiveness. The views of the people are biased therefore it doesnJt reflect true picture.

70

BIB,IO0R'PH*

71

BIB,IO0R'PH*

,hilip Cotler

* ,rinciple of marketing practice 0all of %ndia ,vt. )td.

(.F. Cothari

* Fesearch

methodology

Hishwa

,rakashan <ew Delhi. <ews paper %nternet * 0industan Times. * www.statebankofindia.co.in www.pnb.com www.wikipedia.org

72

'NNEB(RE

73

C(ESTIONN'IRE

<ame[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[ Address[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[ Age [[[[[[[[[[[[[[[[[[[[[[[[[[ ,rofession [[[[[[[[[[[[[[[[[[[[[[[[ R8. Do you have account in a! ,<B c! Both specify! R1. b! SB% d! Bthers [[[[[[[[[[[[[[[

Do you have ATM Services with your account a! Qes b! <o

R>.

@hich of these is the most important reason for possessing ATM card&sA Tick one or more! a.! Bank offered 'ree b! 'or emergency purpose

c.! Availability of many ATM centres d.! 12 hour accessibility e! Bthers specify! [[[[[[[[[[[[[[[[ R2 0ow fre-uently do you use ATM card in a weekA a.!)ess than > times c.!= K I times R=. b.!> K = times d.!More than I times

@hat is the purpose&s for using ATMA Tick one or more! a!(ash withdrawal c! Balance Transfer b!Balance en-uiry d! Bther Specify![[[[[[[[[[[[[[

R:.

0ow much time do you spend waiting in -ueue at ATMA )ess than = mins = mins to 86 mins 86 mins or more

R4.

0ow long does it take to process your transaction at the ATM centreA
74

)ess than = mins RI.

= mins to 86 mins

86 mins or more

Did you complaint for the fraud and any action taken by Bank Authority Qes <o

R9.

0ow much satisfied are you with your ATM serviceA Satisfied+ Sn satisfied +

R86. 0ow much satisfied are you with security of your ATM cardA Satisfied+ Sn satisfied +

R88. Do they run out of cash fre-uentlyA a!Always b! sometimes c!never

R81. @hat according to you are the shortcomings of your bank ATM centreA [[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[ R.8>. @hat extra facilities do you expect from an ATM centreA ,lease specify[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[[ Signature of Fespondent

75