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  • 1. DEFINITION OF BANKBank is, ―An establishment for custody of money received from or on behalf of,its customers. Its essential duty is the payment of the orders given on it by thecustomers, its profit mainly from the investment of money left unused bythem‖.Banking Regulation Act, 1949 (Sec. 5(c)), has defined the banking company as,―Banking Company means any company which transacts business of banking inIndia‖.According to Section 5B, ―banking means the accepting of deposit of moneyfrom the public for the purpose of leading or investment, which are repayableon demand or otherwise and are withdraw able by cheque, draft, and order orotherwise.” 1
  • 2. Chapter-1 INTRODUCTION1.1 INTRODUCTION OF ORGANISATION1.1.1 Origin, Establishment& Aim of the companyThe origin of the State Bank of India goes back to the firstdecade of thenineteenth century with the establishment of the Bankof Calcutta in Calcutta on2nd June 1806. Three years later the bankreceived its charter and it was re-designed as the Bank of Bengal (2ndJanuary 1809). A unique institution, it wasthe first joint-stock bank ofBritish India sponsored by the Government ofBengal. The Bank ofBombay (15th April 1840) and the Bank of Madras (1stJuly 1843)followed the Bank of Bengal. These three banks remained at theapexof modern banking in India till their amalgamation as the ImperialBank ofIndia on 27th January 1921.State Bank of India (SBI)is the largest banking and financialservices company in India. It is a state-owned corporation with its headquartersin Mumbai, Maharashtra. The bank traces its ancestry to British India, throughthe Imperial Bank of India, to the founding in 1806 of the Bank of Calcutta,making it the oldest commercial bank in the Indian Subcontinent. Bank ofMadras merged into the other two presidencies banks—Bank of Calcutta andBank of Bombay—to form the Imperial Bank of India, which in turn becamethe State Bank of India. TheGovernment of India nationalized the ImperialBank of India in 1955, with the Reserve Bank of India taking a 60% stake, andrenamed it the State Bank of India. In 2008, the government took over thestakeheld by the Reserve Bank of India. SBI is ranked #292 globally in FortuneGlobal 500 list in 2011. 2
  • 3. SBI provides a range of banking products through its vast network of branchesin India and overseas, including products aimed at non-resident Indians(NRIs).The State Bank Group, with over 16,000 branches, has the largest bankingbranch network in India. SBI has 14 local head offices situated at Chandigarh,Delhi, Lucknow, Patna, Kolkata, Guwahati (North East Circle),Bhuwaneshwar, Hyderabad, Chennai, Trivandrum, Banglore, Mumbai, Bhopal& Ahmedabad and 57 Zonal Offices that are located at important citiesthroughout the country. It also has around 130 branches overseas.To retain the banks position as the premier Indian financial services. It alsoaims to be a group with world class standards and significant global businesscommitments to excellence in customer, shareholder and employee satisfactionso as to play a leading role in expanding and diversifying financial serviceswhile continuing emphasis on its development banking role.1.1.2 Journey and Vision of SBIThe State Bank of India, the country‘s oldest Bank and a premier in terms ofbalance sheet size, number of branches, market capitalization and profits.Thebank is entering into many new businesses with strategic tie ups – a) Pension Funds, b) General Insurance, c) Custodial Services, d) Private Equity, e) Mobile Banking, f) Point of Sale Merchant Acquisition, g) Advisory Services, h) Structured products etc. 3
  • 4. The Bank is forging ahead with cutting edge technology and innovative newbanking models, to expand its Rural Banking base, looking at the vast untappedpotential in the hinterland and proposes to cover 100,000 villages in the nextyears.It is also focusing at the top end of the market, on whole sale bankingcapabilities to provide India‘s growing mid / large Corporate with a completearray of products and services. Today, the Bank is the largest provider ofinfrastructure debt and the largest arranger of external commercial borrowingsin the country. It is the only Indian bank to feature in the Fortune 500 list.The Bank is changing outdated front and back end processes to moderncustomer friendly processes to help improve the total customer experience.With about 8500 of its own 10000 branches and another 5100 branches of itsAssociate Banks already networked, today it offers the largest banking networkto the Indian customer.The Bank is also in the process of providing complete payment solution to itsclientele with its over 8500 ATMs, and other electronic channels such asInternet banking, debit cards, mobile banking, etc. With four national levelApex Training Colleges and 54 learning Centre‘s spread all over the countrythe Bank is continuously engaged in skill enhancement of its employees. Thebank is also looking at opportunities to grow in size in India as well asinternationally. It presently has 82 foreign offices in 32 countries across theglobe.It has also 7 Subsidiaries in India – a) SBI Capital Markets, b) SBICAP Securities, c) SBI DFHI, d) SBI Factors, e) SBI Life and 4
  • 5. f) SBI Cards Forming a formidable group in the Indian Banking scenario. It is in the process of raising capital for its growth and also consolidating its various holdings.In a recently concluded mass internal communication program termed‗Parivartan‘ the Bank rolled out over 3300 two day workshops across thecountry and covered over 130,000 employees in a period of 100 days usingabout 400 Trainers, to drive home the message of Change and inclusiveness.The CNN IBN, Network 18 recognized this momentous transformation journey,the State Bank of India is undertaking, and has awarded the prestigious Indianof the Year – Business, to its Chairman, Mr. O. P. Bhatt in January 2008.1.2Position of the companySBI is a regional banking behemoth and is one of the largest financialinstitutions in the world. It has a market share among Indian commercial banksof about 20% in deposits and loans. The State Bank of India is the 29th mostreputed company in the world according to Forbes. Also, SBI is the only bankfeatured in the coveted "top 10 brands of India" list in an annual surveyconducted by Brand Finance and The Economic Times in 2010.The State Bank of India is the largest of the Big Four banks of India, along withICICI Bank, Punjab National Bank and HDFC Bank—its main competitors.1.3Services & Products a) Banking services b) NRI services c) International banking d) Corporate banking 5
  • 6. e) Agricultural banking f) International banking g) Advantage (Khata) h) Advantage plus (Khata plus) i) CINB (Saral) j) Privilage (Vyapar) k) Freedom (Vistar) l) Electronic Vendor Finance m) Electronic Dealer Finance n) Direct Debit o) E collection1.3.1 SBI Retail Banking a) Term Deposits b) Recurring Deposits c) Housing Loan d) Educational Loan e) Personal Loan f) For Pensioners g) Against Mortgage of Property h) Against Shares & Debentures i) Plus Scheme j) Medi-Plus Scheme k) Rates of Interest1.3.2 Services 6
  • 7. a) Access to multiple users b) Account view / Statement c) Funds Transfer d) Third party funds transfer (RTGS/NEFT) e) Demand Draft request f) Utility Bill Payment g) Bulk transaction through file upload h) Direct and indirect tax payment i) SMS/Email alerts j) User hierarchy with discretionary access/rights to accounts k) MIS reports l) Host to Host integration m) Demat View facility1.4 Board of Directors of the companyAfter the end of O. P. Bhatts reign as SBI chairman on March 31, 2011, thepost was taken over by Pratip Chaudhuri, who is the former deputy managingdirector of the international division of SBI. As of August 4, 2011, there aretwelve members in the SBI board of directors, including SubirGokarn, who isalso one of the four deputy governors of the Reserve Bank of India. Thecomplete list of the Board members is: 1. PratipChaudhuri (Chairman) 2. Hemant G. Contractor (Managing Director) 3. Diwakar Gupta (Managing Director) 4. A Krishna Kumar (Managing Director) 5. Dileep C Choksi (Director) 6. S. Venkatachalam (Director) 7
  • 8. 7. D. Sundaram (Director) 8. ParthasarathyIyengar (Director) 9. G. D. Nadaf (Officer Employee Director) 10.RashpalMalhotra (Director) 11.D. K. Mittal (Director) 12.Subir V. Gokarn (Director)1.5 Associate Banks of SBISBI has five associate banks; all use the same logo of a blue circle and all theassociates use the "State Bank of" name, followed by the regional headquartersname: a) State Bank of Bikaner & Jaipur b) State Bank of Hyderabad c) State Bank of Mysore d) State Bank of Patiala e) State Bank of Travancore1.6Symbol and slogan  The symbol of the State Bank of India is a circle and a small man at the center of the circle (and not a key hole). A circle depicts perfection and the common man being the center of the banks business.  Slogans : "Pure banking nothing else" 8
  • 9. Alsoincludes : "With you - all the way" and : "a bank of common man"1.7 ObjectiveThe main aim of my project is to study the―ORGANISATIONAL CLIMATESURVEY IN STATE BANK OF INDIA‖.----***---- 9
  • 10. Chapter-2 LITERATURE REVEW2.1 HistoryThe roots of the State Bank of India lie in the first decade of 19th century, whenthe Bank of Calcutta, later renamed the Bank of Bengal, was established onJune 2, 1806. The Bank of Bengal was one of three Presidency banks, the othertwo being the Bank of Bombay (incorporated on April 15, 1840) and the Bankof Madras(incorporated on July 1, 1843). All three Presidency banks wereincorporated as joint stock companies and were the result of the royal charters.These three banks received the exclusive right to issue paper currency in 1861with the Paper Currency Act, a right they retained until the formation ofthe Reserve Bank of India. The Presidency banks amalgamated on January 27,1921, and the re-organized banking entity took as its name Imperial Bank ofIndia. The Imperial Bank of India remained a joint stock company.Pursuant to the provisions of the State Bank of India Act of 1955, the ReserveBank of India, which is Indias central bank, acquired a controlling interest inthe Imperial Bank of India. On April 30, 1955, the Imperial Bank of Indiabecame the State Bank of India. The government of India recently acquired theReserve Bank of Indias stake in SBI so as to remove any conflict of interestbecause the RBI is the countrys banking regulatory authority.In 1959, the government passed the State Bank of India (Subsidiary Banks)Act, enabling the State Bank of India to take over eight former state-associatedbanks as its subsidiaries. On September 13, 2008, the State Bank of Saurashtra,one of its associate banks, merged with the State Bank of India.SBI has acquired local banks in rescues. For instance, in 1985, it acquired theBank of Cochin in Kerala, which had 120 branches. SBI was the acquirer as its 10
  • 11. affiliate, the State Bank of Travancore, already had an extensive network inKerala.The origin of the State Bank of India goes back to the first decade of thenineteenth century with the establishment of the Bank of Calcutta in Calcuttaon 2nd June 1806. Three years later the bank received its charter and it was re-designed as the Bank of Bengal (2nd January 1809). A unique institution, it wasthe first joint-stock bank of British India sponsored by the Government ofBengal. The Bank of Bombay (15th April 1840) and the Bank of Madras (1stJuly 1843) followed the Bank of Bengal. These three banks remained at theapex of modern banking in India till their amalgamation as the Imperial Bank ofIndia on 27th January 1921.State Bank of India (SBI) is the largest banking and financial services companyin India. It is a state-owned corporation with its headquarters in Mumbai,Maharashtra. The bank traces its ancestry to British India, through the ImperialBank of India, to the founding in 1806 of the Bank of Calcutta, making it theoldest commercial bank in the Indian Subcontinent. Bank of Madras mergedinto the other two presidencies banks—Bank of Calcutta and Bank ofBombay—to form the Imperial Bank of India, which in turn became the StateBank of India. TheGovernment of India nationalized the Imperial Bank of Indiain 1955, with the Reserve Bank of India taking a 60% stake, and renamed it theState Bank of India. In 2008, the government took over the stake held by theReserve Bank of India. SBI is ranked #292 globally in Fortune Global 500 listin 2011.SBI provides a range of banking products through its vast network of branchesin India and overseas, including products aimed at non-resident Indians(NRIs).The State Bank Group, with over 16,000 branches, has the largest bankingbranch network in India. SBI has 14 local head offices situated at Chandigarh,Delhi, Lucknow, Patna, Kolkata, Guwahati (North East Circle), 11
  • 12. Bhuwaneshwar, Hyderabad, Chennai, Trivandram, Banglore, Mumbai, Bhopal& Ahmedabad and 57 Zonal Offices that are located at important citiesthroughout the country. It also has around 130 branches overseas.2.2 About the objectiveOrganizational climate is comprised of mixture of norms, values, expectations,policies and procedures that influence work motivation, commitment andultimately, individual and work unit performance. Positive climate encourages,while negative climates inhibits discretionary effort. ‗Organizational climate‘refers to the quality of working environment. If people feel that they are valuedand respected within the organization, they are more likely to contributepositively to the achievements of the business outcomes. Creating a healthyorganizational climate requires attention to the factors which influenceemployee‘s perceptions, including the quality of leadership, the way in whichdecisions are made and whether the efforts of employees are recognized. In fact―Climate may be thought of as the perceptions of the characteristics of anorganization‖.Climate for an organization is somewhat like the personality for a person. Justas every individual has a personality that makes each person unique, eachorganization has an organizational climate that clearly distinguishes itspersonality from other organization. Every organization is different and has aunique feeling and character beyond its structural characteristics. Thus everyorganization deals with its member in a distinct way through its policies onallocations of resources, communication pattern, reward and penalty, leadershipand decision making style, etc. The organizational policy and conviction withregard to all these and a cluster of other related activities influence the feelings,attitudes and behaviour of its members and results in the creation of the uniqueorganizational climate. 12
  • 13. The content of organizational climate has varied widely and they includealmost all the important aspect of organizations such as structure,communication, leadership, Conflicts, reward system, inter personalrelationships organizational effectiveness, reasonability and so forth. It has beenpointed out that the contents of the climate constructed by various researchesoverlap with many other major concepts in organizational behavior Glick,1985). Such overlaps seems to have promoted researchers to raise the questionhow the concept of climate is different from other organizational variables,especially, structure and job satisfaction.1.3 Impact of organizational climate:Organizational climate has a major influence on human performance through itsimpact on individual motivation and job satisfaction. It does this by carryingcertain kinds of expectancies about what consequences will follow fromdifferent actions. Individuals in the organization have certain expectations andfulfillment of these expectations depend upon their perception as to how theorganizational climate suits to the satisfaction of their needs. Thusorganizational climate provides a type of work environment in whichindividuals feels satisfied or dissatisfied. Since satisfaction of individual goes along way in determining his efficiency, organizational climate can be said to bedirectly related with his performance in the organization.1.4 Affects Motivation, Productivity and Job satisfaction: Organizational climate can have a major influence on motivation, productivityand job satisfaction. Climate determines the action and it creates fewexpectations as to consequences. Employees expect certain rewards, penalties,satisfaction or frustrations based on the organizational climate and theirexpectations tend to lead to motivation as said in expectancy theory. 13
  • 14. 1.5 Contingency Relationship:There is a contingency relationship between climate and the organization. Theclimate of an organization is contingent upon the type of employees. The typerelated to employees education like technical workers, knowledge workers. Forexample, research institutes certainly want a climate different from that of aworkshop or an office.1.6 Social System:Organizational climate represents the entire social system of a work-group. It isclearly a system concept. There are two important aspects of climate: a. Workplace itself and b. Personal treatment of Management.If employees feel satisfied while at work and if climate provides a sense ofpersonal worth, it can be assumed that in that organization is favorable.Employees expect the management to feel and care about their needs andproblems. If these two are favorable a good climate prevails in the organization.A high level of organizational climate is necessary for the development oforganization. Good climate attracts good and efficient to the organization, whocontribute to the productivity of the organization.1.7 Dimensions of organizational climate:Organizational climate have used data relating to individual perception oforganizational properties in identifying organizational climate. Denison (1996)argues that developing a universal set of dimensions was often the central issueof the climate researchers so that comparative studies could be made possible indifferent organizational settings. He compared this approach to that of the 14
  • 15. culture research that used a post-modem perspective which examined thequalitative aspects of individual social contexts where each culture that wasseen as unique and was not expected to have generalizable qualities which hadbecome central to the climate research.Jones and Jamesargued that one of the assumptions of the climate literature isthat a relatively limited number of dimensions could characterise a wide cross-section of social settings. Jones and James labelled their factors as follows:Conflict and ambiguity which reflected perceived conflict in organizationalgoals and objectives combined with ambiguity of organizational structure androles, a lack of interdepartmental cooperation, and poor communication frommanagement. Also included were poor planning, inefficient job design, a lackof awareness of employee needs and problems, and a lack of fairness andobjectivity in the rewards process.‘Job challenge importance and variety which reflected a job perceived aschallenging which involve a variety of duties including dealing with otherpeople. The job was seen as providing autonomy and feedback, and demandinghigh standards of quality and performance.‘Leader facilitation and support which ‗reflected perceived leader behaviorssuch as the extent to which the leader was seen as helping to accomplish workgoals by means of scheduling activities, planning, etc., as well as the extent towhich he was perceived as facilitating interpersonal relationships and providingpersonal support.Workgroup cooperationfriendliness, and warmth which generally describedrelationships among group members and their pride in the workgroup. 15
  • 16. Professional and organizational sprit which reflected perceived externalimage and desirable growth potential offered by the job. Also included wereperceptions of an open atmosphere to express one‘s feelings and thoughts,confidence in the leader, and consistently applied organizational policies,combined with no conflicting roles expectations and reduced job pressure.‘Job standards which reflected the degree to which the job was seems ashaving rigid standards of quality and accuracy, combined with inadequate time,manpower, training and resources to complete the task.2.4 The CompanyThe State Bank of India, popularly known as SBI, is one of the leading banks inIndia. The bank traces its origin to the first decade of the 19th century. Later on,it was merged with the Imperial Bank. In the year 1955, the Government ofIndia nationalized the Imperial Bank along with the Reserve Bank of India.Ever since that time, the bank acquired its present name that is SBI.The State Bank of India is Indias largest commercial bank. The bank has beenstriving sincerely to adhere to the efforts of providing utmost customersatisfaction to the best possible extent.2.5 Evolution of SBIThe origin of the State Bank of India goes back to the first decade of thenineteenth century with the establishment of the Bank of Calcutta in Calcuttaon 2 June 1806. Three years later the bank received its charter and was re-designed as the Bank of Bengal 2 January 1809. A unique institution, it was thefirst joint-stock bank of British India sponsored by the Government of Bengal.The Bank of Bombay 15 April 1840 and the Bank of Madras 1 July 1843followed the Bank of Bengal. These three banks remained at the apex ofmodern banking in India till their amalgamation as the Imperial Bank of Indiaon 27 January 1921. 16
  • 17. Primarily Anglo-Indian creations, the three presidency banks came intoexistence either as a result of the compulsions of imperial finance or by the feltneeds of local European commerce and were not imposed from outside in anarbitrary manner to modernize Indias economy. Their evolution was, however,shaped by ideas culled from similar developments in Europe and England, andwas influenced by changes occurring in the structure of both the local tradingenvironment and those in the relations of the Indian economy to the economy ofEurope and the global economic framework.2.5.1 Key Areas of OperationsThe business operations of SBI can be broadly classified into the key incomegenerating areas Such as National Banking, International Banking, CorporateBanking, & Treasury operations.2.6 SBI`s Strategies in the Current Scenario 17
  • 18. SBI have set up capacity in places where they are not very strong. It‘s time forthem to follow overall SBI philosophy of planning new branches, given thehuge untapped potential. Besides, this is also the best time to benefit from theirpast expansion, since there is a lot of trust in SBI.Brand SBI is very strong, while people may be generally cautious about someother brands. They can not only tap the potential better but can also provide asafe and transparent insurance alternative to the public.The bank is entering into many new businesses with strategic tie ups – PensionFunds, General Insurance, Custodial Services, Private Equity, Mobile Banking,Point of Sale Merchant Acquisition, Advisory Services, structured products etc.Each one of these initiatives having a huge potential for growth.2.6.1 The Marketing InitiativesSBI carried out various marketing initiatives to enhance its reach. Theyincluded a) Segregating and targeting existing high value customers, b) Cross sales of other products, c) Setting up call centers and outbound sales force to secure new customers. d) Plans were also made to utilize database marketing to pursue large and medium sized corporate, government and trade finance customers. e) Database marketing was expected to draw increased revenue from cross selling lower costs and increased customer loyalty. f) SBI also introduced various other ways of reaching out to customers like g) Extension of hours of work(SBI increased daily working hours by two hours and Sunday bankingwas introduced) and h) Aggressive marketing through print and television media.2.7 The Restructuring 18
  • 19. To overcome the intense competition from private and foreign banks, SBIplanned a major organizational restructuring exercise.The key aspects involved a) Redesigning of branches, b) Providing alternate channels; c) Focus on a lean structure and d) Technological up gradation. e) A business process reengineering (BPR) team was constituted in June2003 with McKinsey & company as consultants. The BPRs basic goal was tocreate an operating architecture that would facilitate service delivery ofinternational standards.The project objectives were defined as. increasing customer satisfaction and convenience,. freeing up time for branch manager and. branch staff to focus on sales and marketing,. enhancing SBIs competitiveness in the market,. increasing the profitability through higher market share and improved processefficiency"International presence 19
  • 20. The Israeli branch of the State Bank of India located in Ramat Gan.As of December 31, 2009, the bank had 157 overseas offices spread over 32countries. It has branches of the parent in Colombo, Dhaka, Frankfurt, HongKong, Tehran, Johannesburg, London, Los Angeles, Male inthe Maldives, Muscat, Dubai, New York, Osaka, Sydney, and Tokyo. Ithas offshore bankingunits in the Bahamas, Bahrain, and Singapore, andrepresentative offices in Bhutan and Cape Town. It also has an ADB in Boston,USA.SBI operates several foreign subsidiaries or affiliates. In 1990, it established anoffshore bank: State Bank of India (Mauritius).In 1982, the bank established a subsidiary, State Bank of India (California),which now has ten branches – nine branches in the state of California and onein Washington, D.C. The 10th branch was opened in Fremont, California on 28March 2011. The other eight branches in California are located in Los Angeles,Artesia, San Jose, Canoga Park, Fresno, San Diego, Tustin and Bakersfield.The Canadian subsidiary, State Bank of India (Canada) also dates to 1982. Ithas seven branches, four in the Toronto area and three in British Columbia. 20
  • 21. In Nigeria, SBI operates as INMB Bank. This bank began in 1981 as the Indo-Nigerian Merchant Bank and received permission in 2002 to commence retailbanking. It now has five branches in Nigeria.In Nepal, SBI owns 55% of Nepal SBI Bank, which has branches throughoutthe country. In Moscow, SBI owns 60% of Commercial Bank of India,with Canara Bank owning the rest. In Indonesia, it owns 76% of PT Bank IndoMonex.The State Bank of India already has a branch in Shanghai and plans to open onein Tianjin.In Kenya, State Bank of India owns 76% of Giro Commercial Bank, which itacquired for US$8 million in October 2005.The State Bank of India (with 74% of the total capital) along with the largestglobal banking group—BNP Paribas (with 26% of the remaining capital)headquartered in Paris—formed a joint venture which established Indias mostreputed and trusted life insurance company named SBI Life Insurance companyLtd. in March 2001.Branches of SBI  State Bank of India has 172 foreign offices in 37 countries across the globe.  SBI has about 25,000 ATMs (25,000th ATM was inaugurated by the then Chairman of State Bank Shri O.P. Bhatt on 31 March 2011, the day of his retirement); and SBI group(including associate banks) has about 45,000 ATMs.  SBI has 21,500 branches, including branches that belong to its associate banks.  SBI includes 99345 offices in India.  Indias number one ADB is in bellary i e State bank of India bellary ADB 21
  • 22. Recent awards and recognitions  Best Online Banking Award, Best Customer Initiative Award & Best Risk Management Award (Runner Up) by IBA Banking Technology Awards 2010  The Bank of the year 2009, India (won the second year in a row) by The Banker Magazine  Best Bank – Large and Most Socially Responsible Bank by the Business Bank Awards 2009  Best Bank 2009 by Business India  The Most Trusted Brand 2009 by The Economic Times  Most Preferred Bank & Most preferred Home loan provider by CNBC  Visionaries of Financial Inclusion By FINO  Technology Bank of the Year by IBA Banking Technology Awards  SKOCH Award 2010 for Virtual corporation Category for its e-payment solution  The Brand Trust Report: 11th most trusted brand in India.----***---- 22
  • 23. Chapter-3 RESEARCH METHODOLOGY3.1 RESEARCHManagement is in any organization needs information about potential marketand environmental forces. In order to develop successful strategic marketingplans and to respond to change in the market place. Marketing Research enablean organization to obtain the information, it need to make decision about, itsenvironment, its marketing mix and its present and potential market. Philip Kotlerdefines marketing researches as ―Marketing Research isthe systematic design, collection, analysis and reporting of observationsand finding relevant to a specific market situation faced buy the company‖.3.1.1 What is the meaning of Research?Research is the systematic investigation into existing or new knowledge.Research refers to a search of knowledge. One can also define research as ascientific & systematic search for pertinent information on a specific topic.According to M. Stephenson ―The manipulation of things, concepts orsymbols for the purpose of generalizing to extend, correct or verifyknowledge, whether that knowledge aids in construction of theory or inpractice of an art.” The purpose of research is to discover answers toquestions through the application of scientific procedure.3.1.2 Research Methodology:-Research methods or techniques refer to the methods the researchers use inperforming research operations. It may be understood how research is donescientifically. The task of data collection begins after a research problem has 23
  • 24. been defined & research design / plan chalked out. While deciding about themethod of data collection to be used for the study, the researcher should keep inmind two types of data viz. primary & secondary.There are two sources of collecting data:1. Primary Source2. Secondary SourcePrimary are those which are collected afresh & for the first time & thus happento be original in character. Primary data is collected in the form of surveythrough the markets by asking some close and open ended questions which helpin analysing the changing trends and its effect on already existing ones.Secondary data on the other hand are those which have been already beencollected by someone else & which have already been passed through thestatistical process. Secondary data is collected through the Internet and pastdata.Research Methodology includes: Research Objective Research design Sampling Sample size Sample area Sample unit Collection of dataResearch objectiveThe objective of the survey is Organizational Climate survey In SBI.Themethod of data collection is both primary and secondary.Research Design- 24
  • 25. Research Design for the survey is Descriptive research Design.Sampling- Convenience sampling procedure is followed in this study. In thecommonly used method of this sampling, the researcher attempts to ensure thatthe sampling selected is a representative of the population by selectionsampling units on the basis of certain parameters.Sample Size: 50Sample Unit: Employees3.1.7 Data Collection Method:Data for the present study is collected from two sources:3.1.7.1 Primary: - The first hand information is collected with the responsesof questionnaire.3.1.7.2 Secondary: - These are sources containing data which have beencollected and complied for another purpose. Secondary sources consist of notonly published records and reports, but also unpublished records. It is collectedwith the help of following sources: i. INTERNET ii. JOURNALSiii. COMPANY MAGZINES----***----Chapter-4 DATA ANALYSIS 25
  • 26. SAMPLE OF QUESTIONNAIRE ORGANISATIONAL CLIMATE SURVEYWe asked some questions from workers by preparing a questionnaire.In 50 employees at various levels were asked the reactions ofemployees on different questions are as follow.Q.1How long you have been working in this organisation? S. No. Working Since No of Respondents Percentage 1. Below 1 Yr. 10 20 % 2. 1 – 10 25 50 % 3. 10 and above 15 30 % Total 50 100Chart 26
  • 27. Working experience below 1 year 1-10 year 10 and aboveInference :The above reveals the fact that Majority of the respondents, about 30% belongto the category of 10 and above years and 50% belong to the category of 1-10years and 20% belong to the category of below 1 year . 27
  • 28. Q.2The organisation and objectives are clear to you? S. No. Opinion Number of Percentage Respondents 2. Disagree 15 30% 3. Neutral 5 10% 4. Agree 30 60% Total 50 100Chart Objectives Disagree Neutral AgreeInference 28
  • 29. From the above fact it is clear that, about 60% agree and 30% disagree thattheir departments meet its customer requirements.10% of the respondents have no opinion.Q.3 Roles and responsibilities within the group are understood? S. No. Opinion Number of Percentage Respondents 2. Disagree 10 20% 3. Neutral 8 16% 4. Agree 32 64% Total 50 100Chart Roles And Responsibility Disagree Neutral AgreeInference 29
  • 30. From the above fact it is clear that, about 64% agree and 20% disagree thattheir departments understood roles and responsibilities, 16% of the respondentshave no opinion.Q.4 Are you satisfied HR policies and practices of the organisation? S. No. Opinion Number of Percentage Respondents 2. Disagree 15 30% 3. Neutral 5 10% 4. Agree 30 60% Total 50 100Chart HR Policies Disagree Neutral AgreeInference 30
  • 31. From the above fact it is clear that, about 60% agree and 30% disagree thattheir HR policies and practices of organisation, 10% of the respondents have noopinion.Q.5 Do you feel that you have your own personal freedom to make decision andsolve problem without checking with the supervisors each step of way? S. No. Opinion Number of Percentage Respondents 2. Disagree 10 20% 3. Neutral - - 4. Agree 40 80% Total 50 100Chart 31
  • 32. Personal freedom to make decision and solve the problem without checking supervisors Disagree Neutral AgreeInferenceQ.6 How far do you feel that the organisation is setting challenging goal for itself and communication them goals to end? S. No. Opinion Number of Percentage Respondents 2. Disagree 1 2% 3. Neutral 6 12% 4. Agree 43 86% Total 50 100Chart 32
  • 33. Challanging goal and communication Disagree Neutral AgreeQ.7 Are you properly recognised and rewarded for good work rather than beingignored, criticized or punished when something goes wrong? S. No. Opinion Number of Percentage Respondents 2. Disagree 12 24% 3. Neutral 2 4% 4. Agree 36 72% Total 50 100Chart 33
  • 34. Recognition and Rewards Disagree Neutral AgreeQ.8 Your skills and abilities are fully utilized in your current job? S. No. Opinion Number of Percentage Respondents 2. Disagree 15 30% 3. Neutral 3 6% 4. Agree 32 64% Total 50 100Chart 34
  • 35. Utilization of skills and abilities Disagree Neutral AgreeQ.9 You feel your input is valued by your peers? S. No. Opinion Number of Percentage Respondents 2. Disagree 4 8% 3. Neutral 1 2% 4. Agree 45 90% 35
  • 36. Total 50 100Chart Valued by peers Disagree Neutral AgreeQ.10Knowledge and information sharing is a group norm across theorganization. S. No. Opinion Number of Percentage Respondents 2. Disagree 11 22% 3. Neutral - - 36
  • 37. 4. Agree 39 78% Total 50 100Chart Knowledge and information sharing Disagree Neutral AgreeQ.11 Employees consult each other when they need support. S. No. Opinion Number of Percentage Respondents 2. Disagree 4 8% 37
  • 38. 3. Neutral 1 2% 4. Agree 45 90% Total 50 100Chart Consultation Disagree Neutral AgreeQ.12 Employees have a good balance between work and personal life. 38
  • 39. S. No. Opinion Number of Percentage Respondents 2. Disagree 12 24% 3. Neutral 4 8% 4. Agree 34 68% Total 50 100Chart Balance between work and personal life 12 4 34 Disagree Neutral AgreeInference:From the above reveals the fact that 24% disagree and 70% agree that theymaintain a good balance between work and other aspect of life, 8% have noidea. 39
  • 40. Q.13Your department has adequate tools and technologies to perform yourwork? S. No. Opinion Number of Percentage Respondents 2. Disagree 2 4% 3. Neutral 5 10% 4. Agree 43 86% Total 50 100Chart New tools and technologies adopted Disagree Neutral AgreeQ.14 Do you feel that your supervisor motivate you very oftenly? 40
  • 41. S. No. Opinion Number of Percentage Respondents 2. Disagree 10 20% 3. Neutral 3 6% 4. Agree 37 74% Total 50 100Chart Supervisors Motivation Disagree Neutral AgreeResponse regarding the strength of the organisation 41
  • 42. Team work. New ideas, Quality, Trust, Hard work and unity. Achieving target Safe working environment. Trusting employees. Excellent working environment. Treat everybody as equal. Producing quality products that meet customer requirements. Employee‘s valuable contribution. Appropriate and relevant suggestions by superior.Response regarding areas need improvement in the organization Need to improve production department, SWDT and TPM, Milling department- mix store area. Environment working condition. Production capacity to be increased. Need to improve manual operating system. Need to find the cause for production loss. Need to recruit people of high education qualification. 42
  • 43. Chapter-5 FINDINGS AND CONCLUSION5.1 FINDINGSAfter collecting responses from all employees some of the findings are asfollows: Higher level employees gave slightly more favorable ratings than lower levelemployees. The Organization has scored high in the areas of fairness and equity,management effectiveness, competency, commitment, leadership, autonomy,recognition, systems/equipment and training The organization scored moderate ratings with some variances in areas ofcompensation, appraisal process, induction/immersion process, role clarity andcross learning across teams. The organizational policies are at place, but the awareness level ofemployees regarding them is low.5.2 CONCLUSIONState bank of India earlier known as Imperial Bank has proved its existencethrough introducing various innovative schemes and that also are considered ascompetitive in present market.In this span of time, they have also come up with new strategies so as tocompete in this fiercely competitive market where every next day a newscheme is introduced so as to grab the markets share. 43
  • 44. At the same time it can be concluded that they need to focus on the humanresources in order to achieve the maximum market share. Climate is the atmosphere of the organization, a ―relativelyenduring quality of the internal environment of an organization, which isexperienced by its members and influences their behavior.‖Organizationalclimate may affect quality of service and employee‘s commitment andinvolvement towards the organization. Climate dimensions in one way or otheraffect the level of organizational climate. It is need to be taken into accountwhile evaluating the organizational effectiveness. Climate surveys are studiesof employees perceptions and perspectives of an organization. The surveysaddress attitudes and concerns that help the organization work with employeesto instill positive changes. In general, they are aimed at all aspects of theemployees jobs. The study analyzes everything from an employees workloadto their relationships with coworkers and superiors to their salary to companypolicies and anything in between. The study shows that there is no significantdifference between culture dimensions and organizational climate. ----***---- 44
  • 45. Chapter-6 SUGGESTIONSSUGGETIONSFollowing recommendations were made to top management. There should be a constant evaluation and review of various organizationalevents. There is a need of a monitoring system which could ensure timelycompletion of processes. More clarity regarding job description may be helpful. All the employeeswho have multiple reporting should be HR Policy, specifically financial policy can be revised for every two years.This would ensure regular revision of the periderm‘s automatically. Effective manpower planning should be there to ensure optimum utilizationof human resources. This would require adequate number of members in ateam.----***---- 45
  • 46. Chapter-7 LIMITATIONSLIMITATIONSThe study was limited to a brief period of two months only. Most of the timewas spent in preparation of the questionnaire and pilot testing. Also due to thebusy schedule of the employees, responses were delayed and subsequently lesstime was spent in analyzing the results. With limited interaction with the C.E.O.and other senior employees the survey results are presented in this report,however a more comprehensive interpretation of results still rests with theOrganization. The questionnaire included objective answers, so it was difficultto reflect the reasons for certain patterns. Since organizational climate is a studyof perceptions the accuracy of the findings remains doubtful. 46
  • 47. BIBLIOGRAPHYwww.google.comwww.scribd.comwww.sbi.co.inwww.Citehr.comwww.wikepedia.orgfrom the book by C R Kothari 47
  • 48. ANNEXURESAMPLE OF QUESTIONNAIRE ORGANISATIONAL CLIMATESURVEYQ.1How long you have been working in this organisation? S. No. Working Since No of Respondents Percentage 1. Below 1 Yr 2. 1–5 3. 5 – 15 TotalQ.2 The organisations and objectives are clear to you? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree 48
  • 49. TotalQ.3 Roles and responsibilities within the group are understood. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.4 Are you satisfied HR policies and practices of the organisation? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree Total 49
  • 50. Q.5 Do you feel that you have your own personal freedom to make decision andsolve problem without checking with the supervisors each step of way? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.6 How far do you feel that the organisation is setting challenging goal for itself and communication them goals to end? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.7 Are you properly recognised and rewarded for good work rather than beingignored, criticized or punished when something goes wrong? 50
  • 51. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.8Your skills and abilities are fully utilized in your current job? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.9 You feel your input is valued by your peers? S. No. Opinion Number of Percentage Respondents 51
  • 52. 2. Disagree 3. Neutral - 4. Agree TotalQ.10Knowledge and information sharing is a group norm across theorganization. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.11 Employees consult each other when they need support. 52
  • 53. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.12 Employees have a good balance between work and personal life. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.13Your department has adequate tools and technologies to perform yourwork? 53
  • 54. S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral - 4. Agree TotalQ.14 Do you feel that your supervisor motivate you very often? S. No. Opinion Number of Percentage Respondents 2. Disagree 3. Neutral 4. Agree Total 54

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