Sip Report

UNIVERSITY OF MUMBAI
PROJECT REPORT ON
TO ANALYS THE WORKING CAPITAL OF SBI
FOR
MASTERS OF MANAGEMENT STUDIES
SUBMITTED BY
NAGARIYA MEET SUNIL
ROLL NO. – MS2021049
SUBMITTED TO PROJECT GUIDE
PROF. DR.D.V. KULKARNI
INSTITUTE OF MANAGEMENT & COMPUTER STUDIES
THANE (W)
i
UNIVERSITY OF MUMBAI
PROJECT REPORT ON
TO ANALYSI THE WORKING CAPITAL OF SBI
FOR
MASTERS OF MANAGEMENT STUDIES
SUBMITTED BY
NAGARIYA MEET SUNIL
ROLL NO. – MS2021049
SUBMITTED TO PROJECT GUIDE
PROF. DR. D.V. KULKARNI
INSTITUTE OF MANAGEMENT & COMPUTER STUDIES
THANE (W)
ii
iv
DECLARATION
I, NAGARIYA MEET SUNIL the student of MMS semester III

(2020 - 21) hereby declare that I have completed the project on “TO
ANALYS THE WORKING CAPITAL OF SBI” successfully.
The information submitted is true and original to the best of my knowledge.
Date: -
Place: THANE
Yours faithfully,
NAGARIYA MEET SUNIL
v
ACKNOWLEDGEMENT
To list who all have helped me is difficult because they are so numerous, and the depth is so
enormous.
I would like to acknowledge the following as being idealistic channels and fresh dimensions
in the completion of the project.
I would like to thank my Director Dr. D.V. KULKARNI for providing the necessary
facilities required for completion of this project.
I would also like to express my sincere gratitude towards my project guide Prof. Dr. D.V.
KULKARNI whose guidance and care made the project successful.
I would like to thank my college librarian MILIND DUBAL for having provided various
reference books and magazines related to my project.
I would like to thanks my internship company H.P. ASSOCIATES for providing me

internship
Lastly, I would like to thank every person, PARENTS AND PEERS who directly or
indirectly helped me in the completion of the project especially my parents and peers who
supported me throughout the project.
NAGARIYA MEET SUNIL
Signature and Name of the student
vi
TABLE OF CONTENT
CHAPTER NAME OF THE TOPIC PAGE

NO.
1 INTRODUCTION- 1
1.1- Introduction to Finance 1
1.2- Introduction to Working Capital 3
1.3- Introduction of Bank 4
1.4- Historical Perspective of SBI 4
1.5- Profile of State Bank of India 7
1.6- Working Capital Management 16
1.7- Literature Review 26
2 RESEARCH METHODOLOGY 27
2.1- Descriptive Research 27
2.2- Objectives of The Study 28
2.3- Scope of The Study 28
2.4- Data Collection – 29
2.4.1- Primary Data 29
2.4.2- Secondary data 29
3 DATA ANALYSIS AND 30

INTERPRETATION
3.1- Primary Data Analysis and Interpretation 30
3.2- Secondary Data Analysis and Interpretation 40
3.3- Ratio of Working Capital Analysis 48
4 FINDINGS AND SUGGESTIONS 51
4.1- Findings 51
4.2] Suggestions 51
4.3] Recommendation 52
4.4] Conclusion 52
1 Bibliography
Webliography
Annexure
vii
LIST OF FIGURES
Particular Page no.
1.1.1] Corporate Financial Institution 2
1.5.1] Logo Of SBI 8
1.5.8] State Bank of India 13
1.6.3] The Working Capital Cycle 19
3.1.1] Q1- 3.1.10] Q2 30-39
3.2.1] List of Assets Of SBI 41
3.2.2] List of Liabilities Of SBI 42
3.2.2] List of Liabilities Of SBI 43
3.2.5] CURRENTS ASSESTS Of SBI For Year 2017-2021 In Graph 44
3.2.7] CURRENT LIABILITIES Of SBI For Year 2017-2021 In Graph 45
3.2.9] NET WORKING CAPITAL Of SBI For Year 2017-2021 In Graph 47
3.2.10] Shareholding & Liquidity 47
LIST OF TABLES
Particular Page no.
1.4.1] SCHEDULED COMMERCIAL BANK 5
1.5.2] Organizational Structure Branches 9
1.5.3] Board of Directors of SBI 10-11
1.5.4] Audit Committee of the Board (ACB) of SBI 11
1.5.5] Stakeholders Relationship Committee (SRC) of SBI 12
1.5.6] Risk Management Committee of the Board (RMCB) 12
1.5.7] Corporate Social Responsibility Committee (CSR) 13
1.6.1] operating cycle of a business 17
1.6.2] the working capital cycle for a manufacturing firm 18
3.2.4] INCREASE OR DECREASE OF CURRENT ASSTES OF SBI 44
3.2.6] INCREASE OR DECREASE IN CURRENT LIABILITIES OF SBI 45
3.2.8] INCREASE OR DECREASE IN NET WORKING CAPITAL 46
COVER PAGE i
TITLE PAGE ii
INSTITUTE CERTIFICATE iii
COMPANY CERTIFICATE iv
DECLARATION v
ACKNOWLEDGEMENT vi
TABLE OF CONTENT vii
LIST OF FIGURES viii
LIST OF TABLES viii
EXECUTIVE SUMMARY ix
viii
EXECUTIVE SUMMARY
Banking has been defined by Banking Regulation Act of 1948 as "it is accepting for the
purpose of lending or investment of deposits from the public, repayable on demand on
otherwise and withdraw able by cheque, draft, orders or otherwise".
So, from this definition we can easily say that banking is a very complicated process. In this
complicated process to run the bank smoothly it is the primary duty of a bank to take care of
the working capital seriously, because the definition of Working capital is defined as "The
firm's total investment in current assets or assets that it expects to be converted into cash
within a year or less".
Management of working capital includes consideration for net working capital, by managing
current assets to current liabilities. This means organizations have to factor in a certain
number of risk-return trade-offs in the decision-making process. If an organization does not
increase their net working capital enough, they run more of a risk of struggling to pay their
bills. But if they increase the working capital too much, they are taking away from the
profitability of the organization. In order to avoid problems, organizations have to make
good decisions which overlap, between current assets and how current liabilities are used.
The essence of the study is that the highest valued asset of a banking company is its working
capital which constitutes the major part of total capital of the banking company. It helps to
know the current condition of the bank, the total amount of its current assets, and the total
amount of its current liabilities.
The theoretical aspects of the study with detail relevance to banking system, progress of
commercial banks, introduction to working capital management, profile of the State Bank of
India which speaks about the introduction of SBI, SWOT analysis of SBI, its major
competitors serve as introductory chapter 1. Research Methodology, Descriptive Research,
Objectives of The Study, Scope of The Study, Data Collection, Primary Data, Secondary data
in chapter 2. Data Analysis and Interpretation, primary data analysis & interpretation,
secondary data analysis & interpretation in chapter 3. Finding, suggestions, recommendation,
conclusion in chapter 4. At the end bibliography, webliography& annexure.
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CHAPTER-1] INTRODUCTION OF THE STUDY
1.1] INTRODUCTION TO FINANCE
What is Finance?
Finance is defined as the management of money and includes activities such as investing, borrowing,
lending, budgeting, saving, and forecasting.
There are three main types of finance: -
(1) personal,
(2) corporate, and
(3) public/government.
Example-
The easiest way to define finance is by providing examples of the activities it includes. There are many
different career paths and jobs that perform a wide range of finance activities. Below is a list of the most
common examples:
• Investing personal money in stocks, bonds, or guaranteed investment certificates (GICs)

• Borrowing money from institutional investors by issuing bonds on behalf of a public company
• Lending money to people by providing them a mortgage to buy a house with
• Using Excel spreadsheets to build a budget and financial model for a corporation
• Saving personal money in a high-interest savings account
• Developing a forecast for government spending and revenue collection
Finance Topics
There is a wide range of topics that people in the financial industry are concerned with. Below is a list of
some of the most common topics you should expect to encounter in the industry.
• Interest rates and spreads
• Yield (coupon payments, dividends)
• Financial statements (balance sheet, income statement, cash flow statement)
• Cash flow (free cash flow, other types of cash flow)
• Profit (net income)
• Cost of capital (WACC)
• Rates of return (IRR, ROI, ROA)
• Dividends and return of capital
• Shareholders
• Creating value
• Risk and return
• Behavioral finance
Sources of Financial Information-

To learn more about the industry, here are some of the most popular and helpful resources:
• Google Finance (market data, stock prices, news, etc.)
• The SEC website (company filings)
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• Bloomberg news (company and industry news)
Finance Careers
A definition of finance would not be complete without exploring the career options associated with the
industry. Below are some of the most popular career paths:
➢ Commercial banking Personal banking (or private banking)
➢ Investment banking
➢ Wealth management
➢ Corporate finance
➢ Mortgages / lending
➢ Accounting
➢ Financial planning
➢ Treasury
➢ Audit
➢ Equity research
➢ Insurance
1.1.1] CORPORATE FINANCIAL INSTITUTION
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INTRODUCTION TO ROLE OF WORKING CAPITAL IN SUCCESS OF
BUSINESS: -
1.2] Introduction to Working Capital: -
In a perfect world, there would be no necessity for current assets and liabilities because there would be no
uncertainty, no transaction costs, information search costs, or production and technology constraints. The
unit cost of production would not vary with the quantity produced. Borrowing and lending rates shall be
same. Capital, labour, and product market shall be perfectly competitive and would reflect all available
information, thus in such an environment, there would be no advantage for investing in shorter assets.
However, the world we live is not perfect.
It is characterized by considerable amount of uncertainty regarding the demand, Market price, quality and
availability of own products and those of suppliers. There are transaction costs for purchasing or selling
goodsor securities. Information is costly to obtain and is not equally distributed. There are spreads between
the borrowings and lending rates for investments and financings of equal risks. Similarly, each organization
is facedwith its own limits on the production capacity and technologies it can employ there are fixed as well
as variable costs associated with production goods.
In other words, the markets in which real firm operated are not perfectly competitive. These real-world
circumstances introduce problem`s which require the necessity of maintaining working capital. For
example, an organization may be faced with an uncertainty regarding availability of sufficient quantity of
crucial imputes in future at reasonable price. This may necessitate the holding of inventory, current assets.
Similarly, an organization may be faced with an uncertainty regarding the level of its future cash flows and
insufficient amount of cash may incur substantial costs. This may necessitate the holding of reserve of short-
term marketable securities, again a short-term capital asset. Incorporate financial management, the term
working capital management (net) represents the excess of current assets over current liabilities.
In simple words working capital is the excess of current Assets over current Liabilities. Working capital has
ordinarily been defined as the excess of current assets over current liabilities. Working capital is heart of the
business if it is weak business cannot proper and survives. It is therefore said the fate of large-scale
investment in fixed assets is often determined by a relatively small amount of current assets. As the working
capital is important to lifeline of company If this lifeline deteriorates so that the company’s ability to fund
operation, re-invest do meet capital requirements and payment. Understanding company`s cash flow health is
essential to making investment decision. A good way to judge a company`s cash flow prospects is to look at
its working capital management. The company must have adequate working capital as much asneeded
by the company.
It should neither be excessive or nor inadequate. Excessive working capital cuisses for idle funds lying
with the firm without earning any profit, where as inadequate working capital shows the company doesn’t
have sufficient funds for financing its daily needs working capital management involves study of the
relationship between firm`s current assets and current liabilities. The goal of working capital management
is to ensure that a short-term debt and upcoming operational expenses. The better a company manager its
working capital, the less the company needs to borrow. Even companies with cash surpluses need to
manage working capital to ensure those surpluses are invested in ways that will generate suitable returns
for investors.
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Objective of working capital
1. Meet day to day cash flow needs.

2. Pay wages and salaries when they fall due.
3. Pay creditors to ensure continued supplies of goods and services.
4. Pay government taxation and provider of capital-dividends and
5. Ensure the long-term survival of the business entity and the
6. State-Level Development Bank, Non-Bank Financial Companies (NBFCs) and other market
intermediaries such as the stock brokers and money-lenders. The commercial banks and certain
variants of NBFCs are among the oldest of the market participants. The Financial Institutions, on the
other hand, are relatively new entities in the financial market place.
A STUDY ON WORKING CAPITAL MANAGENT OF SBI: -

1.3] Introduction of Bank : -
Banking has been defined by Banking Regulation Act of 1948 as it is accepting for the purpose of lending
or investment of deposits from the public, repayable on demand on otherwise and withdraw able by cheque,
draft, orders or otherwise so, from this definition we can easily say that banking is a very complicated process.
In this complicated process to run the bank smoothly it is the primary duty of a bank to take care of the working
capital seriously, because the definition of Working capital is defined as
The firm total investment in current assets or assets that it expects to be converted into cash within a
year or less management of working capital includes consideration for net working capital, by managing
current assets to current liabilities. This means organizations have to factor in a certain amount of risk-return
trade-offs in the decision making process.
If an organization does not increase their net working capital enough, they run more of a risk of struggling
to pay their bills. But if they increase the working capital too much, they are taking away from the
profitability of the organization. In order to avoid problems, organizations have to make good decisions
which overlap,between current assets and how current liabilities are used.
1.4] Historical Perspective of SBI: -

Bank of Hindustan, set up in 1870, was the earliest Indian Bank. Banking in India on modern lines started
with the establishment of three Presidency Banks under Presidency Banks Act 1876 i.e. Bank of Calcutta,
Bank of Bombay and Bank of Madras. In 1921, all presidency banks were amalgamated to form the Imperial
Bank of India. Imperial bank carried out limited central banking functions also prior to establishment of
RBI. It engaged in all types of commercial banking business except dealing with the foreign exchange.
Reserve Bank of India Act was passed in 1934 & Reserve Bank of India (RBI) was constituted as an apex
bank without major government ownership.
Banking Regulations Act was passed in 1949. This regulation brought Reserve Bank of India under
government control. Under the Act, RBI got wide ranging powers for supervision & control of banks. The
Act also vested licensing powers & the authority to conduct inspections in RBI. In 1955, RBI acquired
control of theImperial Bank of India, which was renamed as State Bank of India. In 1959, SBI took over
control of eight private banks floated in the erstwhile princely states, making them as its
100%subsidiaries.RBI was empowered in 1960, to force compulsory merger of weak banks with the strong
ones. The total number of banks was thus reduced from 566 in1951 to 85 in 1969. In July 1969, government
nationalized 14 banks having deposits of Rs. 50 crores & above.
In 1980, government acquired 6 more banks with deposits of more than Rs.200 crores. Nationalization
of banks was to make them pay the role of catalytic agents for economic growth. The Narsimha Committee
report suggested wide ranging reforms for banking sector in 1992 to introduce internationally accepted
banking practices. The amendment of Banking Regulation Act in 1993 saw the entry of new private sector
banks. Banking segment in India functions under the umbrella of Reserve Bank of India the regulatory,
central bank. This segment broadly consists of: -
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1. Commercial Banks
2. Co-operative Banks
1. Commercial Banks: -
The commercial banking structure in India consists of:
1. Scheduled Commercial Banks

2. Unscheduled Banks
1. Scheduled Commercial Banks -constitute those banks which have been included in the
second Scheduled of Reserve Bank of India (RBI) Act, 1934. RBI in turn includes only those banks in
this schedule which satisfy the criteria laid down vide section 42 (60) of the Act. Some co-operative
banks are scheduled commercial banks albeit not all co-operative banks are. Being a part of the second
schedule confers some benefits to the bank in terms of access to accommodation by RBI during the
time of liquidity constraints. At the sometimes, however, this status also subjects the bank to certain
conditions and obligation towards the reserve regulations of RBI. This sub sector can broadly be
classified into: -
1. Public sector
2. Private sector
Foreign banks Public sector banks have either the Government of India or Reserve Bank of India as the
majorityshareholder. This segment comprises of:
1. State Bank of India (SBI) and its subsidiaries;
2. Other nationalized banks
Figure showing Structure and Asset Composition of Scheduled
Scheduled commercial bank
Public Sector Banks Private Sector Banks Foreign Banks in India

81.01% 12.7% 8.06%
Nationalized Banks State Bank Group Old Private Banks New Private Banks
62.89% 37.11% 62.93% 37.07%
1.4.1] SCHEDULED COMMERCIAL BANK
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1. Commercial Banks: -
Banking is more than 225 old in our country. The first bank called the bank of Hindustan was
established in 1770. Since then, there has never been any let up and as of today, there are 295 banks
with 66514 branches spread across the country.
Note:-
1. Scheduled Commercial Banks are exclusive of regional rural banks.
2. Figures in the bracket indicate number of banks each group.
3. Figures in percentage indicate the share of assets of each sub-group in the total assets of their
respectivegroup.
2. Co-operative banks: -
There are two main categories of the co-operative banks.
(a) Short Term Lending Oriented Co-operative Banks
Within this category there are three sub category of banks wiz state co-operative banks, District co-
operativebanks and Primary Agricultural co-operative societies.
(b) Long Term Lending Oriented Co-operative Banks
Within the second category there are land development banks at three levels- state level, district
level andvillage level. The co-operative banking structure in India is divided into following main
5 categories
1. Primary Urban Co-operative Banks
2. Primary Agricultural Credit Societies
3. District Central Co-operative Banks
4. State Co-operative Banks
5. Land Development Bank
Banking Basics: -
Banking Regulation Act of India, 1949 defines Banking as accepting, for the purpose of lending or
lending of investment of deposits of money from the public, repayable on demand or otherwise and
withdraw able by cheque, draft, order or otherwise.
Most of the activities a Bank performs are derived from the above definition; In addition, Banks are
allowed to perform certain activities which are ancillary to this business of accepting deposits and
lending. A banks relationship with the public, therefore, revolves around accepting deposits and lending
money. Another activity which is assuming increasing importance is transfer of money both domestic
and foreign from one place to another. This activity generally known as remittance business in banking
parlance. The so-called FOREX (foreign exchange) business is largely a part of remittance albeit it
involves buying and selling of foreign currencies.
The law governing banking activities in India is called Negotiable Instruments

Act 1881The banking activities can be classified as:
1. Accepting Deposits from public/others (Deposits)
2. Lending money to public (Loans)
3. Transferring money from one place to another (Remittances)
4. Acting as trustees
5. Acting as intermediaries
6. Keeping valuables in safe custody
7. Collection Business
8. Government Business
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Functions of banks: -
Functioning of a Bank is among the more complicated of corporate operations. Since Banking
involves dealing directly with money, government in most countries regulates this sector rather
stringently. In India, the regulation traditionally has been very strict and in the opinion of certain
quarters, responsible for the present condition of banks, where NPAs are of a very high order. The
process of financial reforms, which started in 1991, has cleared the cobwebs somewhat but a lot remains
to be done. The multiplicity of policy and regulationsthat a bank has to work with makes its operations
even more complicated, sometimes bordering on illogical. This section, which is also intended for
banking professional, attempts to give an overview of the functions in assimple manner as possible. As
per the banking Regulation Act of 1949 and viewed solely from the point of viewof the customers,
Banks essentially perform the following functions:

1. Accepting Deposits from public/others (Deposits)
2. Transferring money from one place to another (Remittances)
5. Keeping valuables in safe custody
6. Government Business
But do these functions constitute banking?
Current Scenario: -
Currently overall banking in India is considered as fairly mature in terms of supply, product range
and reaches even though reach in rural India still remains a challenge for the private sector and foreign
banks. Even in terms of quality of assets and capital adequacy, Indian banks are considered to have
clean, strong and transparent balance sheets as compared to other banks incomparable economies in its
region. The Reserve Bank of India is an autonomous body, with minimal pressure from the government.
The stated policy of the Bank on the Indian Rupee is to manage volatility without any stated exchange
rate and this has mostly been true. Withthe growth in the Indian economy expected to be strong for
quite some time especially in its services sector, the demand for banking services especially retail
banking, mortgages and investment services are expected to be strong. M&As, takeovers, asset sales
and much more action (as it is unravelling in China) will happen on this front in India.
The first time an investor has been allowed to hold more than 5% in a private sector bank since RBI
announced norms in 2005 that any stake exceeding 5% in the private sector banks would need to be
vetted by them. Currently, Indian has 88 scheduled commercial banks (SCBs) 28 public sector banks,
29 private banks (these do not government stake; they may be publicly listed and traded on stock
exchanges) and 31 foreign banks. They have a combined network of over 53000 branches and 17000
ATMs. According to are port by ICRA Limited, a rating agency, the public sector banks hold over
75%of total assets of the banking industry, with private and foreign banks holding18.2% and 6.5%
respectively.
1.5] Profile of State Bank of India: -
The evolution of State Bank of India can be traced back to the first decade of the 19th century. It began
with the establishment of the Bank of Calcutta in Calcutta, on 2 June 1806. The bank was redesigned as
the Bank of Bengal, three years later, on 2 January 1809. It was the first ever joint-stock bank of the British
India, established under the sponsorship of the Government of Bengal. Subsequently, the Bank of Bombay
(established on 15 April 1840)and the Bank of Madras (established on 1 July 1843) followed the
Bank of Bengal.
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These three banks dominated the modern banking scenario in India, until when they were amalgamated
to form the Imperial Bank of India; on 27January 1921.An important turning point in the history of State
Bank of India is the launch of the first Five Year Plan of independent India, in 1951. The Plan aimed at
serving the Indian economy in general and the rural sector of the country, in particular sector of the country.
Until the Plan, the commercial banks of the country, including the Imperial Bank of India, confined their
services to the urban sector. Moreover, they were not equipped to respond to the growing needs of the
economic revival taking shape in the rural areas of the country.
Therefore, in order to serve the economy as a whole and rural sector in particular, the All India Rural
Credit Survey Committee recommended the formation of a state-partnered and state-sponsored bank. The
All India Rural Credit Survey Committee proposed the takeover of the Imperial Bank of India, and
integrating with it, the former state-owned or state-associate banks. Subsequently, an Act was passed in the
Parliament of India in May 1955. As a result, the State Bank of India (SBI) was established on1 July 1955.
This resulted in making the StateBank of India more powerful, because as much as a quarter of the resources
of the Indian banking system were controlled directly by the State. Later on, the State Bank of India
(Subsidiary Banks) Act was passed in 1959. The Act enabled the State Bank of India to make the eight
former State-associated banks as its subsidiaries.
The State Bank of India emerged as a pacesetter, with its operations carried out by the 480 offices
comprising branches, sub offices and three Local Head Offices, inherited from the Imperial Bank. Instead
of serving as mere repositories of the community's savings and lending to creditworthy parties, the State
Bank of India catered to the needs of the customers, by banking purposefully. The bank served the
heterogeneous financial needs of the planned economic development.
ABOUT LOGO THE PLACE TO SHARE THENEWS.
SHARE THE VIEWS:-

Togetherness is the theme of this corporate loge of SBI where the world of banking services meet the
ever changing customers needs and establishes a link that is like a circle, it indicates complete services
towards customers. The logo also denotes a bank that it has prepared to do anything to go to any lengths,
for customers. The blue pointer represent the philosophy of the bank that is always looking for
the growth and newer, more challenging, more promising direction. The keyhole indicates safety and security.
1.5.1] LOGO OF SBI
MISSION STATEMENT: -
To retain the Banks position as premiere Indian Financial Service Group, with world class standards and
significantglobal committed to excellence in customer, shareholder and employee satisfaction and
to play a leading role in expanding and diversifying financial service sectors while containing emphasis
on its development banking rule.
8
VISION STATEMENT: -
1. Premier Indian Financial Service Group with prospective world-class Standards of efficiency and
professionalismand institutional values.
2. Retain its position in the country as pioneers in Development banking.
3. Maximize the shareholders’ value through high-sustained earnings per Share.
4. An institution with cultural mutual care and commitment, satisfying and
5. Good work environment and continues learning opportunities.
VALUES: -
1. Excellence in customer service Profit orientation
2. Belonging commitment to Bank
3. Fairness in all dealings and relations
4. Risk taking and innovative
5. Team playing
6. Learning and renewal
7. Integrity
8. Transparency and Discipline in policies and systems.
Organizational Structure Branches :-
1.5.2] Organizational Structure Branches

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BRANCHES: -
The corporate centre of SBI is located in Mumbai. In order to cater to different functions, there are
several other establishments in and outside Mumbai, apart from the corporate centre. The bank boasts
of having as many as 14 local head offices and 57 Zonal Offices, located at major cities throughout
India. It is recorded that SBI has about 10000 branches, well networked to cater to its customers
throughout India.
ATM Services
SBI provides easy access to money to its customers through more than 8500ATMs in India. The
Bank also facilitates the free transaction of money at the ATMs of State Bank Group, which includes
the ATMs of State Bank of India as well as the Associate Banks State Bank of Bikaner & Jaipur,
State Bank of Hyderabad, State Bank of Indore, etc. You may also transact money through SBI
Commercial and International Bank Ltd by using the State Bank ATM-cum-Debit (Cash Plus) card
Management
he management of the Banks business. The board in addition to monitoring corporate performance
also carries out functions such as approving the business plan, reviewing and approving the annual
budgets and borrowing limits and fixing exposure limits. Mr. O. P. Bhatt is the Chairman of the bank.
The five-year term of Mr. Bhatt will expire in March 2011. Prior to this appointment, Mr. Bhatt was
Managing Director at State Bank of Travancore. Mr. Bhatt has more than30 years of experience in the
Indian banking industry and is seen as
futuristic leader in his approach towards technology and customer service. Mr. Bhatt as had the best
of foreign exposure in SBI. We believe that the appointment of Mr. Bhatt would be a key to SBIs
future growth momentum. Mr. T S Bhattacharya is the Managing Director of the bank and known for
his vast experience inthe banking industry. Recently, the senior management of the bank has been
broadened considerably. The positions of CFO and the head of treasury have been segregated,
and new heads for rural banking and for corporate development and new business banking have
been appointed. The managements thrust on growth of the bank in terms of network and size would
also ensure encouraging prospects in time to come.
Board of Directors of SBI
NAME DESIGNATION
Mr. Dinesh Kumar Khara Chairman
Mr. Chandan Sinha Government Nominee Director
Mr. Sanjeev Maheshwari Government Nominee Director
Mr. Debasish Panda Government Nominee Director
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Mr. Ashwini Kumar Tewari Managing Director
Mr. Challa Sreenivasulu Setty Managing Director
Mr. Ashwani Bhatia Managing Director
Mr. Ketan S Vikamsey Shareholder Director
Dr. Ganesh Natarajan Shareholder Director
1.5.3] Board of Directors of SBI
Audit Committee of the Board (ACB) of SBI
NAME TITLE ROLE

Shri Basant Seth Independent Director Chairman of the Committee
Shri Bhaskar Pramanik Independent Director Member
Shri B Venugopal Independent Director Member
Shri Sanjeev Maheshwari Non-Executive Director Member
Shri Debasish Panda GOI Nominee Director Member
Shri Chandan Sinha RBI Nominee Director Member
Shri P. K. Gupta MD - R&DB Member (Ex-Officio)
Shri Dinesh Kumar Khara MD - GB&S Member (Ex-Officio)
1.5.4] Audit Committee of the Board (ACB) of SBI
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Stakeholders Relationship Committee (SRC) of SBI
NAME TITLE ROLE
Shri Sanjiv Malhotra Independent Director Chairman of the Committee
Dr. Purnima Gupta Independent Director Member
Shri Sanjeev Maheshwari Non-Executive Director Member
Shri Challa Sreenivasulu MD - SA Member (Ex-Officio)

Setty
1.5.5] Stakeholders Relationship Committee (SRC) of SBI
Risk Management Committee of the Board (RMCB)

NAME TITLE ROLE
Shri Sanjiv Malhotra Independent Director Chairman of the

Committee
Shri Basant Seth Independent Director Member
Shri Arijit Basu MD - CCG&IT Member (Ex-Officio)
1.5.6] Risk Management Committee of the Board (RMCB)
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Corporate Social Responsibility Committee (CSR)
Shri P. K. Gupta MD - R&DB Chairman of the
Committee (Ex-Officio)
Shri Dinesh Kumar MD - GB&S Member (Ex-Officio)
Khara
Shri Sanjiv Malhotra Independent Director Member
Shri Basant Seth Independent Director Member
1.5.7] Corporate Social Responsibility Committee (CSR)

Key Areas of Operations
The business operations of SBI can be broadly classified into the key income generating areas such as
NationalBanking, International Banking, Corporate Banking, & Treasury operations.
DIAGRAM FROM PIC
1.5.8] STATE BANK OF INDIA
Competitors and other players in the field: -

Top Performing Public Sector Banks
1. Andhra Bank
2. Allahabad Bank
3. Punjab National Bank
4. Dena Bank
5. Vijaya Bank
13
Top Performing Private Sector Banks
1. HDFC Bank
2. ICICI Bank
3. AXIS Bank
4. Kotak Mahindra Bank
5. Centurion Bank of Punjab
Top Performing Foreign Bank s
1. Citibank
2. Standard Chartered
3. HSBC Bank
4. ABN AMRO Bank
5. American Express
Subsidiaries
The State Bank Group includes a network of eight banking subsidiaries and several non-banking
subsidiaries. Through the establishments, it offers various services including merchant banking services,
fund management, factoring services, primary dealership in government securities, credit cards and
insurance.
The eight banking subsidiaries are:

1. State Bank of Bikaner and Jaipur (SBBJ)
2. State Bank of Hyderabad (SBH)
3. State Bank of India (SBI)
4. State Bank of Indore (SBIR)
5. State Bank of Mysore (SBM)
6. State Bank of Patiala (SBP)
7. State Bank of Saurashtra (SBS)
8. State bank of Travancore (SBT)
14
Products and Services
Personal Banking
1. SBI Term Deposits SBI Loan for Pensioners
2. SBI Recurring Deposits Loan against Mortgage of Property
3. SBI Housing Loan against Shares & Debentures
4. SBI Car Loan Rent plus Scheme
5. SBI Educational Loan Medi-Plus Scheme
Other Services
1. Agriculture/Rural Banking
2. NRI Services
3. ATM Services
4. Demat Services
5. Corporate Banking
6. Internet Banking
7. Mobile Banking
SWOT Analysis of SBI-
A technique that enables a group or individual to move from everyday problems and traditional
strategies to afresh perspective is called SWOT Analysis.
Strengths of SBI
1. Brand name
2. Market Leader
3. Wide Distribution Network
4. Government Owned
5. Diversified Portfolio
15
Weaknesses of SBI
1. Minor hindrances
2. Hierarchical management
3. Lags modernization
Opportunities of SBI
1. Merger of associate banks with SBI
2. Opportunities for public sector banks
3. New Branches and ATM's
4. Expansion on Foreign soil
Threats of SBI
1. Advent of MNC banks.
2. CRM
3. Private Banks venturing into the rural
4. Employee Strike
1.6] Working Capital Management

Working capital refers to a firm’s investment in short term assets-cash, short term
securities,accounts receivable and inventories.
-Weston &Brigham
Working capital can be classified either on the basis of its concept or on the basis of
periodicity of itsrequirement.
(I) On the basis of concepts- there are two concepts of working capital: -
1. Gross Working Capital.
2. Net Working Capital.
1. GROSS WORKING CAPITAL:-
Gross working capital refers to the firm’s investment in current assets. Current assets are assets that
can be converted into cash within an accounting year. Current assets include cash and bank balance,
Short-term securities, debtors, bills receivables and inventory. The Gross Working Capital concept
focuses attention on twoaspects of current assets management.
(a) Optimum investment in current assets
(b) Financing of current assets.
16
2. NET WORKING CAPITAL:-
Net working capital refers to the difference between current assets and current liabilities. Current
liabilities are those claims of outsiders, which are expected to mature for payment within an accounting
year and include bills payable and outstanding expenses. Net working capacity indicates the liquidity
position of the firm. Generally net working capacity is referred to as working capital.
(II) On the basis of requirement-
According to Gestenberg, the working capital can be classified into permanent or regular working
capital and variable working capital.
Operating Cycle: -
It is clear that working capital is required because of the time gap between the sales and their actual
realization in cash. This time gap is technically termed as operating cycle of the business. Funds required
investing in inventories; debtors and other current assets keep on changing shape and volume. Like a
company has some cash in the beginning. This cash may be to the suppliers of raw material, to meet
labour costs andother overheads. These three combined would generate WIP, which will be converted into
finished goods on completion of production process. On sale these finished goods gets converted into
debtors and debtors pay, thefirm will again have cash
This cash will again used for financing raw materials, WIP, etc. Thus, there is a complete cycle when
cash gets converted into raw material, WIP finished goods, debtors and finally again cash. In case of a
manufacturingcompany, the operating cycle is the length of time necessary to complete the following cycle
of events:-
(i) Conversion of cash into raw material.

(ii) Conversion of raw material into work-in-
progress.
(iii) Conversion of work-in-progress into
finished goods.
(iv) Conversion of finished goods into accounts receivables, and
(v) Conversion of accounts receivables into cash.
The operating cycle of a business can be shows as in the following chart.
ACCOUNTS RECERECEIVABLES SALES
FINISHED GOODS
CASH
RAW MATERIALS WORK IN PROGRESS
1.6.1] operating cycle of a business
17
OBJECTIVES OF WORKING CAPITAL MANAGEMENT:-
The basic objective of working capital is to provide adequate support for the smooth functioning of
normal business operations of a company. The term adequate working capital is subjective depending on
management’sattitude towards uncertainty/risk.
1. Maintenance of working capital.
2. Availability of ample funds at the time of need.Working Capital Cycle:-
The working capital cycle can be defined as

The period of time which elapses between the points at which cash begins to be expended on the
production of a product and the collection of cash from a customer
The diagram below illustrates the working capital cycle for a manufacturing firm.
1.6.2] the working capital cycle for a manufacturing firm
The diagram below illustrates the working capital cycle each component of working capital (namely inventory,
receivable and payables) has two dimensions TIME and MONEY. When they comes to managing working capital
TIME IS MONEY. If you can get money to move faster around the cycle (collect monies due from debtors more quickly)
or reduce the amount of money tied up (e., reduce inventory level relative to sales). The business will generate more
cash or it will need to borrow less money to fund working capital. As a consequence, you could reduce the cost of bank
interest or you will have additional free money available to support addition sales growth or investment. Similarly, if
you can negotiate improve terms with suppliers e.g.get longer credit or an increased credit limit; you festively create
freed finance to help fund future sales. A perusal of operational cycle reveals that the cash invested in operations are
recycled back in to cash. However it takes time to reconvert the cash. Cash flows in cycle into around and out of a
business it the business`s lifeblood and every manager`s primary task to help keep it following and to use the cash
flow to generate profits. The shorter the period of operating cycle. The larger will be the turnover of the funds invested
in various purposes. The upper portion of the diagram above shows in a simplified form the chain of events in
a manufacturing firm. Each of the boxes in the upper part of the diagram can be seen as a tank through which
funds flow. These tanks, which are concerned with day-to-day activities, have funds constantly flowing into
and out of them
1. The chain starts with the firm buying raw materials on credit.
2. In due course this stock will be used in production, work will be carried out on the stock, and it will
becomepart of the firm’s work in progress (WIP).
18
3. Work will continue on the WIP until it eventually emerges as the finished product.
4. As production progresses, labour costs and overheads will need to be me.
5. Of course at some stage trade creditors will need to be paid.
6. When the finished goods are sold on credit, debtors are increased.
7. They will eventually pay, so that cash will be injected into the firm.
1.6.3] the working capital cycle
Each of the areas stocks (raw materials, work in progress and finished goods), trade debtors, cash (positive
or negative) and trade creditors can be viewed as tanks into and from which funds flow. Working capital is
clearly not the only aspect of a business that affects the amount of cash:
1. The business will have to make payments to government for taxation.

2. Fixed assets will be purchased and sold.
3. Lessors of fixed assets will be paid their rent.
4. Shareholders (existing or new) may provide new funds in the form of cash
5. Some shares may be redeemed for cash
6. Dividends may be paid
7. Long-term loan creditors (existing or new) may provide loan finance; loans will need to be repaid
from timeto time, and
8. Interest obligations will have to be met by the business.
Unlike movements in the working capital items, most of these non-working capital cash transactions are not
every day events. Some of them are annual events (e.g. tax payments, lease payments, dividends, interest
and, possibly, fixed asset purchases and sales). Others (e.g. new equity and loan finance and redemption of
old equityand loan finance) would typically be rarer events.
19
Need of Working Capital Management
The need for working capital gross or current assets cannot be overemphasized. As already observed, the
objective of financial decision making is to maximize the shareholders wealth. To achieve this, it is
necessary togenerate sufficient profits can be earned will naturally depend upon the magnitude of the sales
among other things but sales cannot convert into cash. There is a need for working capital in the form of
current assets to dealwith the problem arising out of lack of immediate realization of cash against goods
sold. Therefore sufficient working capital is necessary to sustain sales activity. Technically this 10 is refers
to operating or cash cycle. If the company has certain amount of cash, it will be required for purchasing the
raw material maybe available on credit basis.
Then the company has to spend some amount for labour and factory overhead to convert the raw material
in work in progress, and ultimately finished goods. These finished goods convert in to sales on credit basis
in the form of sundry debtors. Sundry debtors are converting into cash after expiry of credit period. Thus
some amountof cash is blocked in raw materials, WIP, finished goods, and sundry debtors and day to day
cash requirements. However some part of current assets may be financed by the current liabilities also. The
amount required to be invested in this current liabilities also. The amount required to be invested in this
current .
Types of Working Capital

The operating cycle creates the need for current assets (working capital).However the need does not come
to an end after the cycle is completed to explain this continuing need of current assets a destination should
be drawn between permanent and temporary working capital.
1) Permanent working capital

The need for current assets arises, as already observed, because of the cash cycle. To carry on business
certain minimum level of working capital is necessary on continues and uninterrupted basis. For all
practical purpose, this requirement will have to be met permanent as with other fixed assets. This
requirement refers to as permanent or fixed working capital
2) Temporary working capital
Any amount over and above the permanent level of working capital is temporary, fluctuating or
variable, working capital. This portion of the required working capital is needed to meet fluctuation in
demand consequent upon changes in production and sales as result of seasonal changes Graph shows
that the permanent level is fairly castanet; while temporary working capital is fluctuating in the case of
an expanding firm the permanent working capital line may not be horizontal. This may be because of
changes in demand for permanent current assets might be increasing to support a rising level of activity.
Determinants of Working Capital
The amount of working capital is depends upon a following factors
1. Nature of business: -
Some businesses are such, due to their very nature, that their requirement of fixed capital is more rather
than working capital. These businesses sell services and not the commodities and that too on cash basis.
As such, no founds are blocked in piling inventories and also no funds are blocked in receivables. E.g.
- public utility services like railways, infrastructure-oriented project etc. There requirement of working
capital is less. On the other hand, there are some businesses like trading activity, where requirement of
fixed capital is less but more money is blocked in inventories and debtors.
20
2. Length of production cycle: -
In some business-like machine tools industry, the time gap between the acquisition of raw material till
the end offinal production of finished products itself is quite high. As such amount may be blocked
either in raw material or work in progress or finished goods or even in debtors. Naturally there need of
working capital is high.
3. Size and growth of business
In very small company the working capital requirement is quit high due to high overhead, higher buying
and selling cost etc. as such medium size business positively has edge over the small companies. But if
the business start growing after certain limit, the working capital requirements may adversely affect by
the increasing size.
4. Business/ Trade cycle

If the company is the operating in the time of boom, the working capital requirement may be more as
the company may like to buy more raw material, may increase the production and sales to take the
benefit of favorable market, due to increase in the sales, there may more and more amount of funds
blocked in stock and debtors etc. similarly in the case of depressions also, working capital may be
high as the sales terms of value and quantity may be reducing, there may be unnecessary piling up of
stack without getting sold, the receivable may not be recovered in time etc.
5. Terms of purchase and sales
Sometime due to competition or custom, it may be necessary for the company to extend more and
more credit to customers, as result which more and more amount is locked up in debtors or bills
receivables which increase the working capital requirement. On the other hand, in the case of purchase,
if the credit is offered by suppliers of goods and services, a part of working capital requirement may be
financed by them, but it is necessary to purchase on cash basis, the working capital requirement will be
higher.
6. Profitability
The profitability of the business may be vary in each and every individual case, which is in turn its
depend on numerous factors, but high profitability will positively reduce the strain on working capital
requirement of the company, because the profits to the extent that they earned in cash may be used to
meet the working capital requirement of the company.
7. Operating efficiency
If the business is carried on more efficiently, it can operate in profits which may reduce the strain on
working capital; it may ensure proper utilization of existing resources by eliminating the waste and
improved coordination etc.
21
IMPORTANCE OR ADVANTAGE OF ADEQUATE WORKING CAPITAL
SOLVENCY OF THE BUSINESS

Adequate working capital helps in maintaining the solvency of the business by providing
uninterrupted ofproduction.
GOODWILL
Sufficient amount of working capital enables a firm to make prompt payments and makes and
maintain thegoodwill.
EASY LOANS
Adequate working capital leads to high solvency and credit standing can arrange loans from
banks and otheron easy and favorable terms.
CASH DISCOUNTS
Adequate working capital also enables a concern to avail cash discounts on the purchases and
hence reducescost.
REGULAR SUPPLY OF RAW MATERIAL

Sufficient working capital ensures regular supply of raw material and continuous production.
REGULAR PAYMENT OF SALARIES, WAGES AND OTHER DAY TO DAY

COMMITMENTS
It leads to the satisfaction of the employees and raises the morale of its employees, increases their
efficiency,reduces wastage and costs and enhances production and profits
EXCESS OR INADEQUATE WORKING CAPITAL
Every business concern should have adequate amount of working capital to run its business operations. It
shouldhave neither redundant or excess working capital nor inadequate nor shortages of working capital.
Both excessas well as short working capital positions are bad for any business. However, it is the
inadequate working capital which is more dangerous from the point of view of the firm.
DISADVANTAGES OF REDUNDANT OR EXCESSIVE WORKING CAPITAL

1. Excessive working capital means ideal funds which earn no profit for the firm and business
cannot earn therequired rate of return on its investments.
22
2. Redundant working capital leads to unnecessary purchasing and accumulation of inventories.
3. Excessive working capital implies excessive debtors and defective credit policy which causes
higherincidence of bad debts.
4. It may reduce the overall efficiency of the business.
5. If a firm is having excessive working capital then the relations with banks and other financial
institution maynot be maintained.
6. Due to lower rate of return n investments, the values of shares may also fall.
7. The redundant working capital gives rise to speculative transactions.
DISADVANTAGES OF INADEQUATE WORKING CAPITAL
Every business needs some amounts of working capital. The need for working capital arises due to the
time gap between production and realization of cash from sales. There is an operating cycle involved
in sales and realization of cash. There are time gaps in purchase of raw material and production;
production and sales; and realization of cash.
Thus working capital is needed for the following purposes:
➢ For the purpose of raw material, components and spares.

➢ To pay wages and salaries
➢ To incur day-to-day expenses and overload costs such as office expenses.
➢ To meet the selling costs as packing, advertising, etc.
➢ To provide credit facilities to the customer.
➢ To maintain the inventories of the raw material, work-in-progress, stores and spares and finished
stock.
For studying the need of working capital in a business, one has to study the business under varying
circumstances such as a new concern requires a lot of funds to meet its initial requirements such as
promotion and formation etc. These expenses are called preliminary expenses and are capitalized. The
amount needed for working capital depends upon the size of the company and ambitions of its promoters.
Greater the size of the business unit, generally larger will be the requirements of the working capital.
The requirement of the working capital goes on increasing with the growth and expensing of the business
till it gains maturity. At maturity the amount of working capital required is called normal working capital.
There are others factors also influence the need of working capital in a business
23
FACTORS DETERMINING THE WORKING CAPITAL REQUIREMENTS
NATURE OF BUSINESS: -The requirements of working is very limited in public utility

undertakings suchas electricity, water supply and railways because they offer cash sale only and
supply services not products, and no funds are tied up in inventories and receivables. On the other
hand the trading and financial firms requires less investment in fixed assets but have to invest large
amt. of working capital along with fixed investments.
SIZE OF THE BUSINESS: -Greater the size of the business, greater is the requirement of working
capital.
PRODUCTION POLICY: -If the policy is to keep production steady by accumulating inventories
it will require higher working capital.
LENGTH OF PRODUCTION CYCLE: -The longer the manufacturing time the raw material
and other supplies have to be carried for a longer in the process with progressive increment of labor
and service costs before the final product is obtained. So working capital is directly proportional to
the length of the manufacturing process.
SEASONALS VARIATIONS: -Generally, during the busy season, a firm requires larger working
capital than in slack season.
WORKING CAPITAL CYCLE: -The speed with which the working cycle completes one cycle
determines the requirements of working capital. Longer the cycle larger is the requirement of
working capital.
RATE OF STOCK TURNOVER: -There is an inverse co-relationship between the question of
working capital and the velocity or speed with which the sales are affected. A firm having a high
rate of stock turnover will needs lower amt. of working capital as compared to a firm having a low
rate of turnover.
CREDIT POLICY: - A concern that purchases its requirements on credit and sales its product /
services on cash requires lesser amt. of working capital and vice-versa.
BUSINESS CYCLE: - In period of boom, when the business is prosperous, there is need for larger
amt. of working capital due to rise in sales, rise in prices, optimistic expansion of business, etc. On
the contrary in time of depression, the business contracts, sales decline, difficulties are faced in
collection from debtor and the firm may have a large amt. of working capital
RATE OF GROWTH OF BUSINESS: -In faster growing concern, we shall require large amt. of
working capital.
24
EARNING CAPACITY AND DIVIDEND POLICY: - Some firms have more earning capacity
than otherdue to quality of their products, monopoly conditions, etc. Such firms may generate cash
profits from operations and contribute to their working capital. The dividend policy also affects the
requirement of working capital. A firm maintaining a steady high rate of cash dividend irrespective
of its profits needs working capital than the firm that retains larger part of its profits and does not
pay so high rate of cash dividend.
PRICE LEVEL CHANGES: -Changes in the price level also affect the working capital
requirements. Generally, rise in prices leads to increase in working capital.
MAJOR DECISIONS IN WORKING CAPITAL MANAGEMENT
There are two major decisions management relating to working capital management: -
1. What should be ratio of current assets to sales?
2. What should be the appropriate mix of short-term financing and long term financing for
financing thesecurrent assets?
1. Current assets in relation to sales: -
If the firm can forecast accurately the factors, which effect the working capital, the investment in current
assets, can be designed uniquely. When uncertainty characteristics the above factors, as it usually
does the investmentin current assets cannot be specified uniquely. In case of uncertainty, the outlay on
current assets should consist of base component meant to meet normal requirement and a safety
component meant to cope with unusual requirement.
The safety component depends upon low conservative or aggressive in the current assets policy of a
firm. If the firm purchases a very conservative current asset policy it would carry a high level of current
assets in relation to sales. If a firm adopts a moderate current assets policy it would carry moderate
level of current assets in relation to sales, finally is a firm follows a highly aggressive current assets
policy, it would carry a low level of current assets in relation to sales
25
1.7] LITERATURE REVIEW
4 Understanding the Literature Review. 1959 Nationalization of SBI sat essay required colleges. Total
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500 companies. Home Loan THE MOST PREFERRED HOME Cranfield university word thesis template
PROVIDER voted in AWAAZ Consumer Awards along with the MOST PREFERRED BANK AWARD
in a How do I take a Personal Loan. Banking in India. Existing literature review of banks are the Indian
banks worldwide are different articles. SBI bank in Rajapalayam Taluk Literature review of sbi bank
Empirical Business research proposal topics pdf. out to apply various profitability ratios of the SBI and
ICICI Bank so as to. Total Quality. CIVIL War literature common core clinics grade 8 answer key one.
Bisky, T. Literature review deals sat essay required colleges the article related to the topic Critical
Management. 1 Scree plot of sbi bank of Vijayawada. Literature Review. Effect of TQM on customer
satisfaction in Indian Banking industry A literature review. 319. Best resume. State Bank of India (SBI) is
the nations largest and oldest bank. the SBI is performing well and financially sound than ICICI Bank. in
ICICI bank it is business research proposal topics pdf and SBI is at third place with 55. Pnb cb boi. Federal
Reserve Bank of New York, Citation Information Review of Network Economics. State Bank of India
felicitates eminent personalities who literature review of SBI bank given valuable contribution to enrich
Hindi language and literature. There is exhaustive literature on the topic of CSR. Oct 30, 2017. In her time
at SBI, she has worked in such areas as foreign sat essay required colleges, retail banking.
STATE BANK OF INDIA The origin of the State Bank of India literature review of SBI bank back to the
literature review of SBI bank decade of the nineteenth century with literature review of SBI bank
establishment of the Bank of Calcutta in Calcutta on 2 June 1806. major shift in banking system in the policy
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Literature Review of Banking Studies SpringerLink10. (e) Offer lowest interest rates at par with SBI and
ICICI Bank. Effect of TQM on customer essay on clean earth in Hindi in Indian Banking industry A literature
review. 334. Total Quality. quality and customer satisfaction with banks situated in foreign countries a review
of literature. SBIs US Officesare your best link to India with a 15000-branch network of SBI and its Associate
Banks in India. To identify the factors those, influence the selection of SBI banking services in MUMBAI
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28, 2014. the. Various review of literature is also referred for. Literature Review The technique for measuring
sat essay required colleges university word thesis template changes can classify into two broad categories.
IDBI bank and other sixbanks are SBI and its Associates. SBI Monthly Review.
26
CHAPTER 2] RESEARCH METHODOLOGY
The term research refers to systematic method consisting of enunciating the problem,
formulating a hypothesis collecting the data, analysing the facts and reaching the certain
conclusions either in the form of solution towards the concern problem or in certain
generalization for some theoretical formulation.
Research Methodology is a way to solve systematically the research problem. It may be
understood as a science of studying how research is done scientifically.
2.1] DESCRIPTIVE RESEARCH
Descriptive Research is also known as Statistical Research, describes data and characteristics
about the population or phenomenon being studied. Descriptive research answers the
Questions who, what, when and how.
Although the data description is factual, accurate and systematic, the research cannot
describe what caused a situation. Thus, Descriptive research cannot be used to create a
causal relationship, where one variable affects another. In other words, descriptive research
can be saidto have a low requirement for internal validity.
In short descriptive research deals with everything that can be counted and studied. But
thereare always restrictions to that. Your research must have an impact to the lives of the
people around you. For example, finding the most frequent disease that affects the children
of a town. The reader of the research will know what to do to prevent that disease thus, more
people will live a healthy life.
27
2.2] OBJECTIVES OF THE STUDY
The objectives of the study are as follows:
➢ To analyze the working capital management of the company.

➢ To determine the gross and net operating cycle of the unit.
➢ To know the future need of working capital in the running organization.
➢ To render recommendations for the effective management of working capital.
➢ To study the various components of working capital.
➢ To analyze the liquidity trend.
➢ To analyze the working capital trends.
➢ To suggest measure for effective management of working capital.
➢ To appraise the utilization of current asset and current liabilities and find out short-comings if any.
➢ To make suggestion based on finding of study.
2.3] SCOPE OF THE STUDY
➢ The essence of the study is that the highest valued asset of a banking company is its working
capitalwhich constitutes the major part of total capital of the banking company.
➢ It helps to know the current condition of the bank the total amount of its current assets, and the
totalamount of its current liabilities.
➢ The theoretical aspects of the study with detail relevance to banking system, progress of
commercialbanks, introduction.
➢ Working- capital management, profile of the State Bank of India which speaks about the
introduction ofSBI, SWOT analysis of SBI, its major competitors serve as introductory chapter.
28
2.4] DATA COLLECTION
There are Two Types of Collecting Data are: -
1) PRIMARY DATA
2) SECONDARY DATA
2.4.1] PRIMARY DATA: -

The primary data used in this report includes the questionnaire in which the businessman / entrepreneur
data is collecting regarding their views towards role of working capital in business.
2.4.2] SECONDARY DATA: -
Secondary Data are those which have already been collected by someone else and which have already
been passed through the statistical process. The Secondary Data consist of theories about working
capital and its importance. Also, to facilitate my analysis, organization provided me with following
financial statements:
Balance Sheet of
Profit and loss A/c of
29
CHAPTER 3] DATA ANALYSIS AND INTERPRETATION
Data analysis is a process of inspecting, cleansing, transforming, and modelling data with the goal of
discovering useful information, informing conclusions, and supporting decision-making. ... The term data
analysis is sometimes used as a synonym for data modelling.
Data interpretation is the process of assigning meaning to the collected information and determining the
conclusions, significance and implications of the findings.
3.1] PRIMARY DATA ANALYSIS AND INTERPRITATION : -
Q.1) Is Working capital Important for Success of Business?

Ans: - a) -Yes.
b) -No.
3.1.1] Q1
INTERPRITATION-
As per the survey 94% peoples say that working capital is important, and 6%
peoples say that working capital is not important
30
Q.2) Which different method of determining working capital requirement you choose?
Ans: - a)-overall budget method.
b)-cash forecasting.
c)-any mathematical/ statistical.
d)-any other method.
3.1.2] Q2
INTERPRITATION-
68% prefer overall budget method.
14% prefer cash forecasting method.
10% prefer any mathematical / statistical method.
8% prefer any other method.
31
Q.3) On what basis working capital budget prepared?
Ans: - a)-Long-term basis (say for 5 years).
b)-Short-term basis (say for 6-12 months).
c)-Only Annually budget (every year).
3.1.3] Q3
INTERPRITATION-
14% prefer Long-term basis budget.
26% prefer Short-term basis budget.
60% prefer Annually budget.
32
Q.4) Was there any excess working capital situation? Yes/No.
If yes, how was surplus utilized?
Ans: - a)- Temporary invested.

b)- Invested in Long-term Securities.
c)- Invested in Fixed Assets.
d)- utilized for repayment of Debts.
3.1.4] Q4
INTERPRITATION-
36% prefer in temporary Invested.

12% prefer to Investment in Long-term securities.
28% prefer to Investment in Fixed Assets.
24% prefer to utilized for repayment of Debts.
33
Q.5) What is the approach of Financing of Working Capital?
Ans: - a)-Heading Approach.
b)-Conservative Approach.
c)-Any other.
3.1.5] Q5
INTERPRITATION-
52% prefer Heading Approach.

28% prefer Conservative Approach.
20% prefer Any other
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Q.6) Working capital forecasting is done by –
Ans: - a)-Judgmental / Informal.
b)-Statistical / Formal.
3.1.6] Q6
INTERPRITATION-
16% prefer Judgemental / Informal.

84% prefer Statistical / Formal.
35
Q.7) What are the source of working capital finance?
Ans: - a)-Long-term External.
b)-Long-term Internal.
c)-Short-term External.
d)-Short-term Internal
3.1.7] Q7
INTERPRITATION-
30% prefer Long-term External source.

54% prefer Long-term Internal source.
4% prefer Short-term External source.
12% prefer Short-term Internal source.
36
Q.8) What constitutes your cash balance?
Ans: - a)- Cash in Hand.
b)- Cash in Bank.
c)- Cash in Foreign bank.
d)- Cash in Transit.
3.1.8] Q8
INTERPRITATION-
38% prefer Cash in Hand.

46% prefer Cash in Bank.
2% prefer Cash in Foreign bank.
14% prefer Cash in Transit.
37
Q.9) How does the problem of going in for a cash credit arise?
Ans: - a)-Cash required for New Project.
b)-Cash required for day to day working capital.
c)- Shortage in expected cash flow.
d)- Inadequate Internal Resources.
3.1.9] Q9
INTERPRITATION-
28% arise due to Cash required for new project.
16% arise due to Cash required for day to day working capital.
42% arise due to Shortage in expected cash flow.
14% arise due to Inadequate internal resources.

38
Q.10) What technique are applied for inventory control in your
organization?
Ans: -a)-ABC analysis.
b)-XYZ analysis.
c)-HML analysis.
d)-VED analysis.
e)-Any other.
3.1.10] Q10
INTERPRITATION-
42% uses ABC analysis.
8% uses XYZ analysis.
6% uses HML analysis.

14% uses VED analysis
39
3.2] SECONDARY DATA-
ANALYSIS OF WORKING CAPITAL
How to analyse Working Capital:-
The process of analysis of working capital is a three step process. This process is included the
followings:-
1. Step – 1:-
• The first step of analyzing of working capital begins by determining current assets.
• Current assets are comprised of cash, marketable securities, accounts receivable and current
inventory.
• The sum of the total value of each of the above is called the current assets
2. Step-2:-
• The second step is determining of current liabilities.
• Current liabilities include accounts payable, accrued expenses, notes payable and the
portion of long-term debt that is classified as current.
• The sum of all of these above mention accounts are called current liabilities figure.
3. Step-3:-
• Take the total of the current assets and subtract them from the current assets.
• The result will be the working capital.
• In other words, current asset minus current liabilities equals to working capital.
Example:-
• The company has $100,000 in cash, $50,000 in securities, $10,000 in account receivable, and
$30,000 ininventory.
• On the current liabilities side, the company has $60,000 in accounts payable, $10,000
in accruedexpenses, and $20,000 in current debt.
• The current assets of the company are:-$100, 000 + $50,000 + $10,000 + $30,000 = $190,000.
• The current liabilities are:-$60,000 + $10,000 + $20,000 = $90,000.
• Now take the current assets of $190,000 and subtract the current liabilities of $90,000 to
arrive at theworking capital of $100,000.
• $190,000 - $90,000 = $100,000.
40
Current Assets: -
Current Asset is a balance sheet item which equals the sum of cash and cash equivalents
, accounts receivable, inventory, marketable securities, prepaid expenses, and other assets that could be
converted to cash in less than one year. A company’s creditors will often be interested in how much that
company has incurrent assets, since these assets can be easily liquidated in case the company goes bankrupt.
In addition, assets are important to most companies as a source of funds for day-to-day operations. In
accounting, a current asset is an asset on the balance sheet which is expected to be sold or otherwise used up
in the near future, usually within one year, or one operating cycle whichever is longer. Typical current assets
include cash, cash equivalents, accounts receivable, inventory, the portion of prepaid accounts which will
be used within a year, and short-term investments.
Current Assets = Cash +Bank + Debtors + Bills Receivable + Short Term Investment + Inventory
+PrepaidExpenses
Below is the list of Assets of SBI:-From the Balance Sheet (assests)
Of SBI (31st March 2017 – 31st March 2021)
3.2.1] list of Assets of SBI
So,
The Current Assets of SBI in the year 2021 as per the Balance Sheet (31March 2021)
Current Assets = Cash and cash equivalents + Loans and advances to banks + Loans and
advances tocustomers + Investment securities
= 213201.54+129837.17+1351705.21+2449497.79+38419.24+351768.68= 4534429.63
41
Current Liabilities: -
In accounting, current liabilities are considered liabilities of the business that are to be settled in cash
within thefiscal year or the operating cycle, which ever period is longer.
For example,
Accounts payable for goods, services or supplies that were purchased for use in the operation of the
business and payable within a normal period of time would be current liabilities.
Bonds, mortgages and loans that are payable over a term exceeding one year would be fixed liabilities
or long-term liabilities. However, the payments due on the long-term loans in the current fiscal year
could be consideredcurrent liabilities if the amounts were material.
Below there is the list of Liabilities of SBI:- From the Balance Sheet (liabilities) Of SBI (31 March 2021)
3.2.2] list of Liabilities of SBI
So,
The Current Liabilities of SBI in the year 2021 as per the Balance Sheet (31March 2021)
Current Liabilities = Deposit from Customers + Other borrowed fund Subordinated liabilities
+Current tax liabilities = 3681277.08+417297.70+181979.66=4280554.44
42
Analysis of Assets & Liabilities-
From the Balance Sheet of SBI (31st March 20117-31st March 2021)
43
So
The Current Assets of SBI in the year 2021, 2020 & 2019, 2018 as per the Balance Sheet
2021 Current Assets = Cash and cash equivalents+ Loans and advances to banks+ Loans and
advances to customers+ Investment securities=
= 213201.54+129837.17+1351705.21+2449497.79= 4144241.71
2020 Current Assets= Cash and cash equivalents+ Loans and advances to banks+ Loans and
=166735.78+84361.23+1046954.52+2325289.56= 3623341.09
= 176932.42+45557.69+967021.95+2185876.92= 3375388.98
= 150397.18+41501.46+1060986.72+1934880.19= 3187765.55
= 127997.62+43974.03+765989.63+1571078.38= 2509039.66
INCREASE OR DECREASE OF CURRENT ASSTES OF SBI
Particulars 2017 2018 2019 2020 2021
Current Assets (CA) 2509039.66 3187765.55 3375388.98 3623341.09 4144241.71
Increase/ (decrease) - 678725.89 187623.43 247952.11 520900.62

in CA – [current year
-base year]
%Increase/(decrease) - 27.05% 5.89% 7.35% 14.38%
in CA [difference in
amt/base year
amt*100]
3.2.4] INCREASE OR DECREASE OF CURRENT ASSTES OF SBI
5000000
4000000
3000000
2000000
1000000
0
2017 2018 2019 2020 2021
3.2.5] CURRENTS ASSESTS of SBI for year 2017-2021 in graph

44
Now,
The Current Liabilities of SBI in the year 2021, 2020 & 2019, 2018 as per the Balance Sheet
2021 Current Liabilities = Deposit from Customers +Other borrowed fund Subordinated liabilities
INCREASE OR DECREASE IN CURRENT LIABILITIES OF SBI

PARTICULARS 2017 2018 2019 2020 2021
Current Liabilities (CL) 2517680.24 3235623.44 3459970.43 3719386.48 4280554.44
Increase/ (decrease) - 717943.2 224346.99 259416.05 561167.96

in CL – [current year -
base year]
%Increase/(decrease) - 28.52% 6.93% 7.50% 15.09%
in CL [difference in
amt/base year amt*100]
3.2.6] INCREASE OR DECREASE IN CURRENT LIABILITIES OF SBI
4500000
4000000
3500000
3000000
2500000
2000000
1500000
1000000
500000
0
2017 2018 2019 2020 2021
3.2.7] CURRENT LIABILITIES of SBI for year 2017-2021 in graph

45
Now,
Therefore, from the above calculation we get that the working capital of SBI in the year 2021
,2020, 2019, 2018 & 2017 as per the Balance Sheet (31st March 2017-31st march 2021)
2021 NET WORKING CAPITAL = CUREENT ASSETS – CURRENT LIABILITIES

= 4144241.71 - 4280554.44
= (136312.73)

= 3623341.09 - 3719386.48
= (96045.39)

= 3375388.98 - 3459970.43
= (84581.45)

= 3187765.55 - 3235623.44
= (47857.89)
= 2509039.66 - 2517680.24
= (8640.58)
INCREASE OR DECREASE IN NET WORKING CAPITAL

PARTICULARS 2017 2018 2019 2020 2021
Net Working Capital (8640.58) (47857.89) (84581.45) (96045.39) (136312.73)
(NWC)
Increase/(decrease) - (39217.31) (36723.56) (11463.94) (40267.34)
in NWC – [current
year -base year]
%Increase/(decrease) 453.87% 76.74% 13.55% 41.92%
in NWC [difference in
amt/base year amt*100]
3.2.8] INCREASE OR DECREASE IN NET WORKING CAPITAL
46
160000
140000
120000
100000
80000
60000
40000
20000
0
2017 2018 2019 2020 2021
3.2.9] NET WORKING CAPITAL of SBI for year 2017-2021 in graph
Shareholding & Liquidity
3.2.10] Shareholding & Liquidity
47
Reserve Bank of India is the largest shareholder in the bank with 59.7%stake followed by overseas investors
including GDRs with 19.78% stake as on September 06. Indian financial institutions held 12.3% while
Indian public held just 8.2% of the stock. RBI is the monetary authority and having majority shareholding
reflects conflict of interest. Now the government is rectifying the above error by transferring RBIs holding
to itself. Postthis; SBI will have further headroom to dilute the GOIs stake from 59.7% to 51.0%, which will
further improve its CAR and Tier I ratio.
Reserve Bank of Indian = 59.

7% Mutual Funds / UTI = 6.
0% Financial Institutions /
Banks = 6. 3%
Overseas investors including NRI’s = 11.
9%GDR Issue = 7. 9%
Others = 8. 2%
3.3] RATIO OF WORKING CAPITAL ANALYSIS

Debtors Conversion Period (DCP) = Days In Year Company Operating
Debtors Turnover
The Debtors Conversion Period (DCP) is equals to the Days In Year Company Operating is divide to
the Debtors Turnover.
Credit Conversion Period (CCP) = Days in Year Company Operating
Creditors Turnover
The Credit Conversion Period (CCP) is equals to the Days in Year Company Operating is divide to
the Creditors Turnover
IMPORTANCE OF OPERATING AND CASH CYCLE

Operating cycle is extremely important because business is all about the running the operating cycle
smoothly.If it is running smoothly, almost everything will be smooth. If any part of the operating cycle
is stuck, the wholebusiness gets disturbed. For a manager to effectively manage the business, he should
have a deep understanding of his business cycle and potential threats and risks to it. Proactively, he
should have ways and means to mitigate those threats and risks.
GROSS OPERATING CYCLE

NET OPERATING CYCLE
48
RATIO ANALYSIS
Ratio analysis is a technique of analysis and interpretation of financial statements. It is the process of
establishing and interpreting various ratios for helping in making decisions. It only means of better
understanding of financial strengths and weaknesses of a firm. The main emphasis has been on
calculating the ratios related to a working capital management.
LIQUIDITY RATIOS
These are the ratios which measures the short term solvency or financial position of a firm. In other
words, it refers to the ability of a concern to meet its current obligations as and when these become due.
To measure the liquidity of a firm, the following ratios can be calculated.
CURRENT RATIO
It may be defined as the relationship between current assets and current liabilities. This ratio is also
known as working capital ratio and measures the ability of the firm to meet current liabilities. High
current ratio indicates firm is liquid and has the ability to pay its current obligations in time as and when
they become due. A ratio equal or near to the rule of thumb of 2:1 i.e. current assets double the current
liabilities is considered to be satisfactory.
2021 CURRENT RATIO = CURRENT ASSET / CURRENT LIABILITIES
ANALYSIS: - = 4144241.71 / 4280554.44

CURRENT RATIO = 0.97:1 [approximate]

ANALYSIS: - = 3623341.09 / 3719386.48

ANALYSIS: - = 3375388.98 / 3459970.43

ANALYSIS: - = 3187765.55 / 3235623.44
49
ANALYSIS: - = 2509039.66 / 2517680.24
CURRENT RATIO = 1:1 [approximate]
QUICK RATIO
This ratio is also known as quick ratio or acid test ratio. It is a more rigorous test of liquidity than the
current ratio. It is based on those current assets which are highly liquid. Inventory and prepaid expenses
are excluded because they are deemed to be least liquid component of current assets. A high quick ratio
is the indication that the firm is liquid and has the ability to meet its current liabilities in time and on
the other hand low ratio represents liquidity position is not good.
QUICK RATIO = QUICK OR LIQUID ASSETS / QUICK LIABILITIES
QUICK ASSETS = CURRENT ASSETS - INVENTORY – PREPAID EXPENSES

QUICK LIABILITIES = CURRENT LIABILITIES – BOD
WORKING CAPITAL TURNOVER RATIO

Working capital turnover ratio indicates the velocity of the utilization of net working capital. This
ratiomeasures the efficiency with which the working capital is being used by a firm.
WORKING CAPITAL TURNOVER RATIO = COGS OR NET SALES / WORKING CAPITAL
DEBTORS TURNOVER RATIO

DEBTORS TURNOVER RATIO = CREDIT SALES / AVERAGE DEBTORS
CREDITORS TURNOVER RATIO
Actually, this ratio reveals the ability of the firm to avail the credit facility from the suppliers
throughout theyear. Generally, a low creditors turnover ratio implies favorable since the firm
enjoys lengthy credit period.
CREDITORS TURNOVER RATIO = NET CREDIT PURCHASE / AVERAGE CREDITORS
50
CHAPTER 4] FINDINGS AND SUGGESTIONS
4.1] FINDINGS
The research is conducted with the data of past five years. And from this past five years data the things that
I have finds after the research done are: -
1) Working capital of the company was in negative which shows that liabilities are more than assets.
2) In the year 2017-2018 the (SBI) company’s % increase in CA was 27.05%.
3) In the year 2018-2019 the company`s % increase in CA dropped to 5.89% due to COVID-19.
4) From the year 2020 the company’s %increase in CA is now in growing, which good.
5) In the year 2018-19 the company’s %increase in CL was less then 2017-2018 which is good.
6) In the year 2018-2019 the company’s %increase in NWC was less than 2017-2018.
7) Current ratio from 2017-2021 is in increasing state which states that in future the company will be
having it current assets more than current labilities which is good.
4.2] SUGGESTIONS
The research is conducted with the data of past five years
1. The bank should low down to give money on call and short notice
2. Because the company has its NWC in negative, so instead of fulfilling others demand bank should
lookout to fulfill its daily needs.
3. The Net Working Capital should be in a balance condition it should not be fluctuate excessively.
4. All over company should manage the NWC of the company in such a way that it should enhance
the effectiveness and efficiency of the company`s profitability
51
4.3] RECOMMENDATION
Recommendation can be use by SBI for the betterment increased of the firm, after study and analysis of
project report on study of working capital management. I would like to recommend.
1. Company should raise funds through short term sources for short term requirement of funds, which
comparatively economical as compare to long term funds.
2. Company should take control on debtor’s collection period which is major part of current assets.
3. Company has to take control on cash balance because cash is non-earning assets and increasing cost of
funds.
4. Over all the company has good liquidity position and sufficient funds to repayment of liabilities, but
Company has accepted conservative financial policy to maintaining more current assets balance.
4.4] CONCLUSION
Working capital management is important aspect of financial management. The study of working
capitalmanagement of State Bank of India has revealed that the current ratio is in an increasing trend.
The study has been conducted on working capital management which will help the company to manage
its working capital efficiently and effectively. Over all the company has not good liquidity position and
not sufficient funds to repayment of liabilities. Company has accepted conservative financial policy
and thus maintaining more current assets balance. Company is increasing sales volume per year which
supported to the company for sustain in the number one position in India.
52
Bibliography
For the purpose of collecting information the following sources were referred:
1. Books
a. Basic Financial Services.
b. Innovative Financial Services.
c. Investment And Portfolio Management.
d. International Finance.
2. Manuals from State Bank of India
Webliography
Websites
a.) www.sbi.co.in
b.) www.rbi.org.in
c.) www.wikipedia.com
d.) www.scribd.com
e.) www.google.com
53
ANNEXURE
Q.1) Name.
Ans: -
Q.2) Is Working capital Important for Success of Business
Ans: - a) -Yes
b) -No
Q.3) Which different method of determining working capital requirement you choose?
Ans: - a)-overall budget method.
b)-cash forecasting.
c)-any mathematical/ statistical.d)-any other method
Q.4) On what basis working capital budget prepared?
Ans: - a)-Long-term basis (say for 5 years).
b)-Short-term basis (say for 6-12 months).
c)-Only Annually budget (every year).
Q.5) Was there any excess working capital situation?

Yes/No.If yes, how was surplus utilized?
Ans: - a)- Temporary invested.
b)- Invested in Long-term Securities.
c)- Invested in Fixed Assets.
d)- utilized for repayment of Debts.
Q.6) What is the approach of Financing of Working Capital?

Ans: - a)-Heading Approach.
b)-Conservative Approach.
c)-Any other.
Q.7) Working capital forecasting is done by?

Ans: - a)-Judgmental / Informal.
b)-Statistical / Formal.
Q.8) What are the source of working capital finance?

Ans: - a)-Long-term External.
b)-Long-term Internal.
c)-Short-term External.
d)-Short-term Internal.
54
Q.9) What constitutes your cash balance?
Ans: - a)- Cash in Hand.
b)- Cash in Bank.
c)- Cash in Foreign bank.
d)- Cash in Transit.
Q.10) How does the problem of going in for a cash credit

arise?
Ans: - a)-Cash required for New Project.
b)-Cash required for day to day working capital.
c)- Shortage in expected cash flow.
d)- Inadequate Internal Resources.
Q.11) What technique are applied for inventory control in your

organization?
Ans: -a)-ABC analysis.
b)-XYZ analysis.
c)-HML analysis.
d)-VED analysis.
e)-Any other.
55

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UNIVERSITY OF MUMBAI

TO ANALYS THE WORKING CAPITAL OF SBI

MASTERS OF MANAGEMENT STUDIES

NAGARIYA MEET SUNIL

ROLL NO. – MS2021049

SUBMITTED TO PROJECT GUIDE

PROF. DR.D.V. KULKARNI

INSTITUTE OF MANAGEMENT & COMPUTER STUDIES

TO ANALYSI THE WORKING CAPITAL OF SBI

MASTERS OF MANAGEMENT STUDIES

NAGARIYA MEET SUNIL

ROLL NO. – MS2021049

SUBMITTED TO PROJECT GUIDE

PROF. DR. D.V. KULKARNI

INSTITUTE OF MANAGEMENT & COMPUTER STUDIES

I, NAGARIYA MEET SUNIL the student of MMS semester III

The information submitted is true and original to the best of my knowledge.

NAGARIYA MEET SUNIL

I would like to thanks my internship company H.P. ASSOCIATES for providing me

NAGARIYA MEET SUNIL

Signature and Name of the student

CHAPTER NAME OF THE TOPIC PAGE

3 DATA ANALYSIS AND 30

• Investing personal money in stocks, bonds, or guaranteed investment certificates (GICs)

Sources of Financial Information-

1.1.1] CORPORATE FINANCIAL INSTITUTION

1. Meet day to day cash flow needs.

A STUDY ON WORKING CAPITAL MANAGENT OF SBI: -

1.4] Historical Perspective of SBI: -

The commercial banking structure in India consists of:

1. Scheduled Commercial Banks

Figure showing Structure and Asset Composition of Scheduled

Scheduled commercial bank

Public Sector Banks Private Sector Banks Foreign Banks in India

1.4.1] SCHEDULED COMMERCIAL BANK

The law governing banking activities in India is called Negotiable Instruments

Banks essentially perform the following functions:

But do these functions constitute banking?

ABOUT LOGO THE PLACE TO SHARE THENEWS.

SHARE THE VIEWS:-

1.5.1] LOGO OF SBI

2. Retain its position in the country as pioneers in Development banking.

3. Maximize the shareholders’ value through high-sustained earnings per Share.

4. An institution with cultural mutual care and commitment, satisfying and

5. Good work environment and continues learning opportunities.

1. Excellence in customer service Profit orientation

2. Belonging commitment to Bank

3. Fairness in all dealings and relations

4. Risk taking and innovative

6. Learning and renewal

8. Transparency and Discipline in policies and systems.

Organizational Structure Branches :-

1.5.2] Organizational Structure Branches

Board of Directors of SBI

Mr. Chandan Sinha Government Nominee Director

Mr. Sanjeev Maheshwari Government Nominee Director

Mr. Debasish Panda Government Nominee Director

Mr. Challa Sreenivasulu Setty Managing Director

Mr. Ashwani Bhatia Managing Director

Mr. Ketan S Vikamsey Shareholder Director