Organisational changes in State Bank Of India BY: SNEHIL JAISWAL (106) PGDM, 1 st Year

Evolution Origin- first decade of the 19 th century with establishment of the Bank of Calcutta in Calcutta on 2 June Origin- first decade of the 19 th century with establishment of the Bank of Calcutta in Calcutta on 2 June Presidency Banks of Bengal, Bombay and Madras with 70 branches merged in 1921, form Imperial Bank of India. Presidency Banks of Bengal, Bombay and Madras with 70 branches merged in 1921, form Imperial Bank of India. In 1951, First Five Year Plan launched, a state- partnered and state-sponsored bank was created by taking over the Imperial Bank of India. In 1951, First Five Year Plan launched, a state- partnered and state-sponsored bank was created by taking over the Imperial Bank of India.

Ctd… State Bank of India Act was passed in 1955 and it started as a bank with 480 offices, comprising branches, sub offices and three Local Head Offices inherited from the Imperial Bank. State Bank of India Act was passed in 1955 and it started as a bank with 480 offices, comprising branches, sub offices and three Local Head Offices inherited from the Imperial Bank.

Small Scale Industries Playing a vital role in the development of small scale industries since 1965 Playing a vital role in the development of small scale industries since 1965 Bank has financed over 8 lakhs SSI units in the country Bank has financed over 8 lakhs SSI units in the country It has 55 specialised SSI branches, 99 branches in industrial estates It has 55 specialised SSI branches, 99 branches in industrial estates

Reason for set up The State Bank of India was destined to act as the pacesetter in the concept of purposeful banking subserving the growing and diversified financial needs of planned economic development and thus lead the Indian banking system into the exciting field of national development. The State Bank of India was destined to act as the pacesetter in the concept of purposeful banking subserving the growing and diversified financial needs of planned economic development and thus lead the Indian banking system into the exciting field of national development.

Gradual change… From merely serving financial needs and pacing towards economic development, SBI has been actively involved since 1973 in non-profit activity called Community Services Banking. From merely serving financial needs and pacing towards economic development, SBI has been actively involved since 1973 in non-profit activity called Community Services Banking. All SBI branches and administrative offices throughout the country sponsor and participate in large number of welfare activities and social causes. Our business is more than banking because we touch the lives of people anywhere in many ways. Our commitment to nation-building is complete & comprehensive. All SBI branches and administrative offices throughout the country sponsor and participate in large number of welfare activities and social causes. Our business is more than banking because we touch the lives of people anywhere in many ways. Our commitment to nation-building is complete & comprehensive.

Post 1961, there are 972 specialized branches which have been set up in different parts of the country exclusively for the development of agriculture through credit deployment. Post 1961, there are 972 specialized branches which have been set up in different parts of the country exclusively for the development of agriculture through credit deployment. Activities covered range from crop production, horticulture, plantation crops, farm mechanization, etc Activities covered range from crop production, horticulture, plantation crops, farm mechanization, etc There are farmers’ meet in villages to explain to farmers about various schemes offered by the bank. There are farmers’ meet in villages to explain to farmers about various schemes offered by the bank. Agriculture/Rural

ctd… SBI has agri specialists in various disciplines to handle projects/ guide farmers in their agri ventures. SBI has agri specialists in various disciplines to handle projects/ guide farmers in their agri ventures. Advances are given for very small activity covering poorest of the poor to hitech activities Advances are given for very small activity covering poorest of the poor to hitech activities SBI is the leader in agri finance in the country with a portfolio of Rs. 18,000 crs in agri advances to around 50 lac farmers. SBI is the leader in agri finance in the country with a portfolio of Rs. 18,000 crs in agri advances to around 50 lac farmers.

Micro finance SBI has taken up SHG (Self help group) movement as a mission in A noble mission to reach those families who were hitherto having no access to the credit by any formal financial institution and, therefore, were depending on informal sources and moneylenders SBI has taken up SHG (Self help group) movement as a mission in A noble mission to reach those families who were hitherto having no access to the credit by any formal financial institution and, therefore, were depending on informal sources and moneylenders

Ctd… As on March 2006, SBI’s branches spread throughout the length and breadth of the country have opened 6,30,067 Savings Bank account of SHGs As on March 2006, SBI’s branches spread throughout the length and breadth of the country have opened 6,30,067 Savings Bank account of SHGs

Initiatives and incentives Sensitisation of staff Sensitisation of staff Special training programmes in SHGs are being conducted at 54 training centres of the Bank Special training programmes in SHGs are being conducted at 54 training centres of the Bank Close liaison with NGOs Close liaison with NGOs SHG cells SHG cells Lending to NGOs / Federations of SHGs Lending to NGOs / Federations of SHGs

Ctd… Sahayog Niwas Sahayog Niwas SBI Life- Shakti SBI Life- Shakti Rural training institutes Rural training institutes Appreciation by Government Appreciation by Government Samanwita Samanwita

Rural Rural Banks Sponsored 30 RRBs, operate in 102 districts of 16 States viz. Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chattisgarh, Himachal Pradesh Sponsored 30 RRBs, operate in 102 districts of 16 States viz. Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chattisgarh, Himachal Pradesh Network of 2336 branches Network of 2336 branches 2020 of these branches (86 %) are in remote rural centers 2020 of these branches (86 %) are in remote rural centers

NRIs Special features for saving bank account Special features for saving bank account Term deposits Term deposits Car loan scheme, purchase of new passenger cars, Multi Utility Vehicles (MUVs) and SUVs Car loan scheme, purchase of new passenger cars, Multi Utility Vehicles (MUVs) and SUVs No limit for loan No limit for loan

International banking Network of 67 offices/branches in 29 countries Network of 67 offices/branches in 29 countries Corporate lending, loan syndications, merchant banking, short-term financing and remittances. Corporate lending, loan syndications, merchant banking, short-term financing and remittances.

Off shore banking unit (OBU) First OBU Special Economic Zone, Andheri (East), 17th July 2003 First OBU Special Economic Zone, Andheri (East), 17th July 2003 Raise funds in convertible foreign currency Raise funds in convertible foreign currency Foreign currency accounts and with other OBUs in India Foreign currency accounts and with other OBUs in India Customised loan and liability products for client benefit Customised loan and liability products for client benefit

ATMs Over 8000 ATMs Over 8000 ATMs State Bank ATM-cum-Debit(Cash Plus) card. No need to carry cash State Bank ATM-cum-Debit(Cash Plus) card. No need to carry cash Tie up with other banks Tie up with other banks Recahrge mobiles at ATM Recahrge mobiles at ATM Pay MTNL bills Pay MTNL bills Fees of colleges Fees of colleges Donate to temple trusts Donate to temple trusts

International ATM card Convenience to the customers traveling overseas Convenience to the customers traveling overseas Can be used as Domestic ATM-cum-Debit Card Can be used as Domestic ATM-cum-Debit Card Available at a nominal joining fee of Rs. 200/- Available at a nominal joining fee of Rs. 200/-

Internet banking Enables its retail banking customers to operate their accounts from anywhere Enables its retail banking customers to operate their accounts from anywhere Self-account funds transfer across India. Self-account funds transfer across India. Third party transfers in the same branch Third party transfers in the same branch New account opening New account opening Demand Draft requests Demand Draft requests New Cheque-book request New Cheque-book request

Ctd… Railway tickets booking, Railway tickets booking, Utility bill payments Utility bill payments LIC and other insurance premia payments, LIC and other insurance premia payments, SBI Mutual funds Investments SBI Mutual funds Investments Credit card dues payments, Credit card dues payments, Deposit taxes Deposit taxes Donations to Red Cross and such other organisations Donations to Red Cross and such other organisations

Future plans SBI has set for itself an ambitious target of credit linking 1 million SHGs up to March SBI has set for itself an ambitious target of credit linking 1 million SHGs up to March The Bank has started to leverage our vast SHG network for various services beyond credit delivery. The Bank has started to leverage our vast SHG network for various services beyond credit delivery.

Thank You