2. Banking Industry
Banks are the financial institutions, which sustain and stimulate business. Finance
is the fundamental foundation of every business activity and banks of different types
furnishes it. Banks are therefore called as reservoirs of money and credit available
for productive investment in industry and commerce
Banking in India in the modern sense originated in the last decades of the 18th century. The
first banks were Bank of Hindustan (1770-1829) and The General Bank of India, established
1786 and since defunct. The largest bank, and the oldest still in existence, is the SBI
Banking structure
3. Vijaya Bank
Founder: By late Shri A.B.Shetty
Founded: 23rd October 1931
Scheduled bank: 1958
Present Chairman and ED: Shri V. Kannan, Chairman & Managing Director
Shri K.R. Shenoy, Executive Director
Head office: Bangalore
Purpose of establishment: To promote banking habit, thrift and entrepreneurship among the
farming community
At Present: The bank has 1512 branches, 1528 ATMs, 13500 Workforce, with Centralised
Banking Solution (CBS), Business level has crossed Rs. 2 lakhs crore mark,
aggregate deposits crossed Rs. 1 lakh crore mark.
4. Mission: Emerge as prime national bank backed by modern technology, meeting customer
aspiration with professional banking services and sustainable growth, contribution to the
national development
Vision: providing integrated services to customers from all segments, leveraging on
technology and human resources, adopting the best accounting and ethical practices and
fulfilling corporate and social responsibilities towards all stakeholders.
Organisation Structure:
Board of Directors
Chairmen & MD
Executive Directors
General Managers
Departments
(Marketing, HRD, Banking etc.)
24 Regional
1528 Branches
5. Products and services:
value added services, Card services, Forex, NRI Services, Loans & Advances,
Deposit Schemes
Best practices: Corporate Social Responsibility, Jnana Jyothi Literacy & Credit
Counselling Trust (JJFLCCT), Vijaya Rural Development Foundation (VRDF)
Functional departments
Marketing Department : various promotional activities like advertisement and
promotional campaign, carnival
Credit Department: recovery, sanction loans to retail, decisions regarding loans
sanctions
Accounts Department: Book keeping, managing various accounts
Human Resource and personnel Department: recruitment, training, retaining,
payrolls, performance management
IT Department : managing various services like mobile banking, net banking, up
gradation, data security
Risk Department: safeguarding from various risk like credit, market, operational Risk
Vigilance Department: checking frauds, investigating suspicious accounts, identifying
abuse of authority
Treasury Department: management of asset/liability
6.
7. 7S Frame work
Strategy : Bank aim at effective financial inclusion and aim at financial empowerment also reaching
banking services to rural masses, implementing effective Information Technology in bank
Structure: Vijaya bank follows decentralised form of organisation structure, i.e. daily operations and
decision making responsibilities are delegated by top management to middle and bottom level
managers within the organisation allowing top management to focus more on major decisions.
System: . Various departments and branches are interlinked through Core Banking Solution (CBS).
The bank has implemented Human Resources Management System that includes training, payroll
which will help the bank in accessing its human resources.
Shared value: adopting the best accounting and ethical practices and fulfilling corporate and social
responsibilities towards all stakeholders. Through team work and customer focus i.e. serve the
customer to their satisfaction with following ethical codes and policies of the bank.
Staff: The staff strength of the Bank as on 30.06.2014 figured at 13699, which consisted of 6540
Officers, 4348 Clerks & 2811 Sub-staff. The bank has imparted training to its employees through
some reputed external training institutions in certain specialized areas like credit, FOREX,
treasury management, risk management, HR, Marketing, etc. for achieving productivity and quality
in work
Style : task-oriented leadership style , people oriented leadership style
Skills: The bank has skilled employees with technical and non technical staffs, officers, mangers, etc.
The bank has recruited professionals like CA/ICWA/CS/MBA for ensuring good standard banking
process
8. Problem analysis
Problem statement: To analyse difficulties faced by the customer in using mobile banking
services and mobile application of Vijaya Bank and the problem of limited message inbox
storage capacity including mobile banking awareness amongst its customers
9. Findings
Vijaya Bank’s V-Mobile Banking is not available overseas
The V-mobile banking inbox capacity is only restricted to 5 messages
The service is available only in Hindi and English and no other regional
language
Most of the customers don’t rely on transferring the funds through mobile
banking
The customer using 2G services experiences delay in the services when
compared to 3G service users
Misunderstandings between customers and Vijaya bank due to delay in services
because of the service providers (Telecom).
Transaction for fund transfer is limited to 3 per day
There may be occurrences of server busy from telecom operators it may effect
the delay in services.
Lengthy procedure for fund transaction
Rural customers are not aware of mobile banking
Customers are afraid of hackers though the bank is using all kinds of security
measures
Less promotional activities
10. Suggestions
The bank can maximise its promotional activities regarding
Mobile Banking among rural and semi-urban areas through
various TV advertisement
Inbox limit can be increased i.e. due to the limited inbox the
customers can be discouraged for using it
The bank should provide data recovery options if messages get
deleted from inbox
Through its financial literacy campaign it can also literate the
people through practical usages of mobile banking. This can be
done through its financial inclusion plan
It should mentions or give instruction about the charges that
might occur from operator to avoid misunderstanding
Various other regional languages can be added to attract more
user
The bank should try to minimise lengthy procedure for fund
transfer
11. Conclusion
The success of Vijaya Bank in achieving its growth involves soundness of
proposal/project from technical, financial, managerial, commercial and
economical aspects and then taking the credit decision
Vijaya bank has substantial progress in rural areas in providing its various
services compared to other banks.
The power and authority have been decentralized wherever it is needed
so that the manager has the require power to grant loans on a case basis
at the earliest.
Vijaya bank has efficient Information Technology
Customer relationship system is effective and efficient
Financial growth in the bank is achieved
