Report of Hdfcbank New

8/3/2019 Report of Hdfcbank New

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WHAT IS BANKING

Bank is a business that provides financial services,

usually for profit. Traditional banking Services include receiving deposits of money, lending

money and processing transactions. A commercial bank accepts deposits from customers and

in turn makes loans based on those deposits. Some banks (called Banks of issue) issue

banknotes as legal tender. Many banks offer ancillary financial services to make additional

profit; for example: selling insurance products, investment products or stock broking.

Banking, the business of providing financial services to consumers and businesses.

The basic services a bank provides are checking accounts, which can be used like money to

make payments and purchase goods and services; savings accounts and time deposits that can

be used to save money for future use; loans that consumers and businesses can use to

purchase goods and services; and basic cash management services such as check cashing and

foreign currency exchange.

Four types of banks specialize in offering these basic banking services: commercial

banks, savings and loan associations, savings banks, and credit unions. A broader definition

of a bank is any financial institution that receives, collects, transfers, pays, exchanges, lends,

invests, or safeguards money for its customers. This broader definition includes many other

financial institutions that are not usually thought of as banks but which nevertheless provide

one or more of these broadly defined banking services. These institutions include finance

companies, investment companies, investment banks, insurance companies, pension funds,

security brokers and dealers, mortgage companies, and real estate investment trusts.

Banking services are extremely important in a free market economy such as thatfound in Canada and the United States. Banking services serve two primary purposes. First,

by supplying customers with the basic mediums-of-exchange (cash, checking accounts, and

credit cards), banks play a key role in the way goods and services are purchased. Without

these familiar methods of payment, goods could only be exchanged by barter This is

extremely time-consuming and inefficient.

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Second, by accepting money deposits from savers and then lending the money to

borrowers, banks encourage the flow of money to productive use and investments. This in

turn allows the economy to grow. Without this flow, savings would sit idle in someones safe

or pocket, money would not be available to borrow, people would not be able to purchase cars

or houses, and businesses would not be able to build the new factories the economy needs to

produce more goods and grow. Enabling the flow of money from savers to investors is called

financial intermediation, and it is extremely important to a free market economy.

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BANKING IN INDIA

Banking in India originated in the first decade of 18th century with the general bank ofIndia coming into existence in 1786. This was followed by bank of Hindustan. Both these

banks are now defunct. The oldest bank in existence in India is the state bank of India being

established as the bank of Bengal in Calcutta in June 1806. a couple of decades later,

foreign banks like credit Lyonnais started their Calcutta operations in the 1850s. at that point

of time, Calcutta was the most active trading port, mainly due to the trade of the British

empire and the due to which banking activity took roots there and prospered. The first fully

Indian owned bank was the Allahabad bank, which was established in 1865.

By the 1900s, the market expanded with the establishment of banks such as

Punjab national bank, in 1895 in Lahore and bank of India, in 1906, in Mumbai both of which

were founded under private ownership. The reserve bank of India formally took on the

responsibility of regulating the Indian banking sector from 1935. After Indias independence

in 1947, the reserve bank was nationalized and given broader powers.

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ECONOMIC FUNCTIONS OF BANKS

The economic functions of banks include:

1. Issue of money, in the form of banknotes and current accounts subject to cheque or

payment at the customer's order. These claims on banks can act as money because

they are negotiable and/or repayable on demand, and hence valued at par and

effectively transferable by mere delivery in the case of banknotes, or by drawing a

cheque, delivering it to the payee to bank or cash.

2. Netting and settlement of payments -- banks act both as collection agent and paying

agents for customers, and participate in inter-bank clearing and settlement systems

to collect, present, be presented with, and pay payment instruments. This enables

banks to economies on reserves held for settlement of payments, since inward and

outward payments offset each other. It also enables payment flows between

geographical areas to offset, reducing the cost of settling payments between

geographical areas.

3. Credit intermediation banks borrow and lend back-to-back on their own account as

middle men

4. Credit quality improvement banks lend money to ordinary commercial and

personal borrowers (ordinary credit quality), but are high quality borrowers. The

improvement comes from diversification of the bank's assets and the bank's own

capital which provides a buffer to absorb losses without defaulting on its own

obligations. However, since banknotes and deposits are generally unsecured, if the

bank gets into difficulty and pledges assets as security to try to get the funding it

needs to continue to operate, this puts the note holders and depositors in an

economically subordinated position.

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5. Maturity transformation -- banks borrow more on demand debt and short term debt,

but provide more long term loans. Bank can do this because they can aggregate

issues (e.g. accepting deposits and issuing banknotes) and redemptions (e.g.

withdrawals and redemptions of banknotes), maintain reserves of cash, invest in

marketable securities that can be readily converted to cash if needed, and raise

replacement funding as needed from various sources because they have a high and

more well known credit quality than most other borrowers

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NATIONALISATION

The next significant milestone in Indian banking occurred on July 19, 1969

when the Indira Gandhi government nationalized the 14 largest commercial banks. A second

nationalization of 6 more commercial banks followed in 1980. The stated reason for the

nationalization was to give the government more control of the credit delivery. After this,

until the 1990s, the nationalized banks grew at a leisurely pace of around 4% closer to the

average growth rate of the Indian economy.

LIBERALISATION

In the early 1990s the Narasimha rao government embarked on a policy of

liberalization and gave licenses to a small no of private banks, which came to be known as

new generation tech-savvy banks, which included banks such as UTI (the first of such new

generation banks to be setup), ICICI bank and HDFC bank. This move along with the rapid

growth in the economy of India, kick started the banking sector in India which has seen rapid

growth with strong contribution from all the three sectors of banks, namely government

banks, private banks and foreign banks.

The next stage for the Indian banking has been setup with the proposed relaxation in

the norms for foreign direct investment, where all foreign investors in banks may be given

voting rights which could exceeds the present cap of 10%.

The new policy shook the banking sector in India completely. Bankers, till this time

were used to the 4-6-4 method (borrow at 4% lend at 6% go home at 4) of functioning. The

new wave ushered in a modern outlook and tech savvy methods of working for traditional

banks. All this led to retail boom in India.

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CURRENT SCENARIO

PUBLIC SECTOR BANKS

SBI Group: state bank of India with its seven associates banks command the largest

banking resource in India. SBI and its associates banks are:

1 State Bank of India

2 State Bank of Bikaner & Jaipur

3 State Bank of Hyderabad

4 State Bank of Indore

5 State Bank of Mysore

6 State Bank of Patiala

7 State Bank of Saurashtra

8 State Bank of Travancore

After the amalgamation of new bank of India with Punjab national bank, currently thereare 18 nationalized banks in India:

> Allahabad bank > Syndicate Bank

> Andhra bank > Union Bank of India

> Bank of Baroda > United Bank of India

> Bank of Maharashtra > UCO Bank

> Canara bank > Vijaya Bank

> Central bank of India > Indian Overseas Bank

> Corporation bank > Oriental Bank of Commerce

> Dena bank > Punjab and Sind Bank

> Indian bank > Punjab National bank

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PRIVATE SECTOR BANKS

Bank of Rajasthan ING Vysya Bank

Bharat Overseas Bank Jammu & Kashmir Bank

Catholic Syrian Bank Karnataka Bank

Centurion Bank of Punjab Karur Vysya Bank

Dhanalaxmi Bank HDFC Mahindra Bank

Federal Bank South Indian Bank

HDFC Bank Tamilnad Indian Bank

ICICI Bank UTI Bank

IDBI Bank Indusind Bank

FOREIGN BANKS

ABN AMRO Bank Deutshce Bank

Abu Dhabi Commercial Bank Ltd HSBC

Bank of Ceylon PMorgan Chase Bank

BNP Paribas Bank Standard Chartered Bank

Citi Bank Scotia Bank

China Trust Commercial Bank Taib Bank

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LAW RELATED BANKS

Banking law is based on a contractual analysis of the relationship between the bank and the

customer. The definition of bank is given above, and the definition of customer is any

person for whom the bank agrees to conduct an account.

The law implies rights and obligations into this relationship as follows:

The bank account balance is the financial position between the bank and the customer,

when the account is in credit, the bank owes the balance to the customer, when the

account is overdrawn, the customer owes the balance to the bank.

The bank engages to pay the customer's cheques up to the amount standing to the

credit of the customer's account, plus any agreed overdraft limit.

The bank may not pay from the customer's account without a mandate from the

customer, e.g. a cheque drawn by the customer.

The bank engages to promptly collect the cheques deposited to the customer's accountas the customer's agent, and to credit the proceeds to the customer's account.

The bank has a right to combine the customer's accounts, since each account is just an

aspect of the same credit relationship.

The bank has a lien on cheques deposited to the customer's account, to the extent that

the customer is indebted to the bank.

The bank must not disclose the details of the transactions going through the customer's

account unless the customer consents, there is a public duty to disclose, the bank's

interests require it, or under compulsion of law.

The bank must not close a customer's account without reasonable notice to the

customer, because cheques are outstanding in the ordinary course of business for

several days.

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Banking channel

Banks offer many different channels to access their banking and other services:

A branch, banking centre or financial centre is a retail location where a bank or

financial institution offers a wide array of face-to-face service to its customers

ATM is a computerized telecommunications device that provides a financialinstitution's customers a method of financial transactions in a public space without the

need for a human clerk or bank teller. Most banks now have more ATMs than

branches, and ATMs are providing a wider range of services to a wider range of users.

For example in Hong Kong, most ATMs enable anyone to deposit cash to any

customer of the bank's account by feeding in the notes and entering the account

number to be credited. Also, most ATMs enable card holders from other banks to get

their account balance and withdraw cash, even if the card is issued by a foreign bank.

Mail is part of the postal system which itself is a system wherein written documents

typically enclosed in envelopes, and also small packages containing other matter, are

delivered to destinations around the world. This can be used to deposit cheques and to

send orders to the bank to pay money to third parties. Banks also normally use mail to

deliver periodic account statements to customers.

Telephone banking is a service provided by a financial institution which allows its

customers to perform transactions over the telephone. This normally includes bill

payments for bills from major billers (e.g. for electricity).

Online banking is a term used for performing transactions, payments etc. over the Internet

through a bank, credit union or building society's secure website

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ABOUT HDFC BANK

Registered Office: Corporate Office:

Address Address

HDFC Bank House Ramon House, 169, Back Bay

Senapati Bapat Marg Lower Parel Reclamation

Mumbai H T Parekh Marg

Maharashtra Church Gate

400013. Mumbai 400 020.

Phone: 91-022-56521000

Fax: 91-022-24960737

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MAN WITH A MISSION

If ever there was a man with a mission it was Hasmukhbhai Parekh, Founder and

Chairman-Emeritus, of HDFC Group who left this earthly abode on November 18, 1994.

Born in a traditional banking family in Surat, Gujarat, Mr. Parekh started his financial career

at Harkisandass Lukhmidass a leading stock broking firm. The firm closed down in the late

seventies, but, long before that, he went on to become a towering figure on the Indian

financial scene.

In 1956 he began his lifelong financial affair with the economic world, as

General

Manager of the newly formed Industrial Credit and Investment Corporation of

India (ICICI). He rose to become Chairman

and continued so till his retirement in 1972.

At the ripe age of 60, Hasmukhbhai

started his second dynamic life, even more

illustrious than his first. His vision for

mortgage finance for housing gave birth to the

Housing Development Finance Corporation

it was a trendsetter for housing finance in the

whole Asian continent.

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Mr. H.T. PAREKH is conferred

the Padma Bhushan by the

Government of India in the year

1992.


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Background and Objective of

HDFC group

Background

HDFC was incorporated in 1977 with the primary objective of meeting a social need that of

promoting home ownership by providing long-term finance to households for their housing

needs. HDFC was promoted with an initial share capital of Rs. 100 million.

Business Objectives

The primary objective of HDFC is to enhance residential housing stock in the country through

the provision of housing finance in a systematic and professional manner, and to promote

home ownership. Another objective is to increase the flow of resources to the housing sector

by integrating the housing finance sector with the overall domestic financial markets...

Organizational Goals

HDFCs main goals are to

a) Develop close relationships with individual households,

b) Maintain its position as the premier housing finance institution in the country,

c) Transform ideas into viable and creative solutions,

d) Provide consistently high returns to shareholders, and

e) To grow through diversification by leveraging off the existing client base.

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LIST OF ENTERPRISES

Enterprises under common control of the promoter:

HDFC Bank Ltd.

HDFC Asset Management Company Ltd.

HDFC Standard Life Insurance Company Ltd.

HDFC Developers Ltd.

HDFC Holdings Ltd.

HDFC Investments Ltd.

HDFC trustee Company Ltd.

HDFC Finance Ltd.

HDFC Chubb General Insurance Company Ltd.

HDFC Venture Capital Ltd.

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Mr. Jagdish Capoor holds a Masters degree in Commerce and is a Fellow member of Indian

Institute of Banking and Finance. Prior to joining the Bank, Mr. Capoor was the Deputy

Governor of the Reserve Bank of India. He retired as Deputy Governor of Reserve Bank of

India after serving for 39 years. While with Reserve Bank of India, Mr. Capoor was the

Chairman of the Deposit Insurance and Credit Guarantee Corporation of India and Bharatiya

Reserve Bank Note Mudran Limited. He also served on the boards of Export Import Bank of

India, National Housing Bank, National Bank for Agriculture and Rural Development

(NABARD) and State Bank of India.

Mr. Capoor is on the Boards of the Indian Hotels Company Limited, Bombay Stock

Exchange Limited, GHCL Limited, LIC Pension Fund Limited, Assets Care Enterprise

Limited and Quantum Trustee Co. Pvt. Ltd. He is a member of the Board of Governors of

the Indian Institute of Management, Indore. Mr. Capoor is a Trustee of The Stock Exchange

Investors' Protection Fund and Sumati Capoor Charitable Trust.

Mr. Capoor is a member of the Audit Committees of Indian Hotels Company Limited,

GHCL Limited and Quantum Trustee Co. Pvt. Ltd. He is chairman of Share Allotment and

Shareholders Grievance Committee of Bombay Stock Exchange Limited.

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CHAIRMAN OF HDFCBANK


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Mr. Capoor holds 300 equity shares in the Bank as on March 31, 2008.

Mr. Aditya Puri holds a Bachelors degree in Commerce from Punjab University and is an

associate member of the Institute of Chartered Accountants of India. Mr. Aditya Puri has

been the Managing Director of the Bank since September 1994. He has about 35 years of

banking experience in India and abroad.

Prior to joining the Bank, Mr. Puri was the Chief Executive Officer of Citibank, Malaysia

from 1992 to 1994.

Mr. Puri holds 3, 37,953 equity shares in the Bank as on March 31, 2008.

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MANAGING DIRECTOR


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BOARD OF DIRECTORS

1) Mr. Aditya Puri M.D

2) Mr. Keki Mistri DIRECTOR

3) Mr. Vinit Jain DIRECTOR

4) Mrs. Venu kamad DIRECTOR

5) Mr. Arvind Pande DIRECTOR

6) Mr. Ashim Samanta DIRECTOR

7) Mr. C.M.Vasudev DIRECTOR

8) Mr. Gautam Divan DIRECTOR

9) Dr. Pandit Pande DIRECTOR

10) Mr. Harish Engineer Executive Director

11) Mr. Paresh Sukthankar Executive Director

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The Housing Development Finance Corporation Limited (HDFC Ltd) was amongst

the first to set up a bank in the private sector. The bank was incorporated on 30th August

1994 in the name of HDFC BANK Limited with its registered office in Mumbai. We

commenced operations as a Scheduled Commercial Bank on 16th January 1995. The bank has

grown consistently and is now amongst the leading players in the industry.

In a milestone transaction in the Indian banking industry, times bank was merged with

HDFC Bank Ltd, effective February 26, 2000. The amalgamation added significant value to

HDFC Bank in terms of increased branch network, expanded geographic reach, enhanced

customer base and skilled manpower.

On 20th July 2001, our banks American depository shares began trading on the New

York stock exchange under the symbol HDB. Subsequent to that the bank came out with

add on ADS offering on 21ST January 2005. 19.46% of the equity shares of the bank are held

in ADS.

Pr9file

HDFC Bank was incorporated in August 1994, and, currently has an nationwide

network of 761 Branches and 1977 ATM's in 327 Indian towns and cities.

The Housing Development Finance Corporation Limited (HDFC) was amongst the

first to receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a

bank in the private sector, as part of the RBI's liberalization of the Indian Banking Industry in

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Profile

History OF HDFC

BANK


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1994. The bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with

its registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled

Commercial Bank in January 1995.

HDFC is India's premier housing finance company and enjoys an impeccable track record

in India as well as in international markets. Since its inception in 1977, the Corporation has

maintained a consistent and healthy growth in its operations to remain the market leader in

mortgages. Its outstanding loan portfolio covers well over a million dwelling units. HDFC has

developed significant expertise in retail mortgage loans to different market segments and also

has a large corporate client base for its housing related credit facilities. With its experience in

the financial markets, a strong market reputation, large shareholder base and unique consumer

franchise, HDFC was ideally positioned to promote a bank in the Indian environment.

SENIOR MANAGEMENT TEAM

Mr. A ParthasarthyMr. A. RajanMr. Abhay AimaMr. Bharat ShahMr. C. N. Ram

Mr. G. SubramanianMr. Kaizad BharuchaMrs. Mandeep MaitraMr. Pralay MondalMr. Sudhir M. JoshiMr. Vinod YennemadiMr. Sashi Jagdishan

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Promoters

Business

focus


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HDFC Bank's mission is to be a World-Class Indian Bank. The objective is to build

sound customer franchises across distinct businesses so as to be the preferred provider of

banking services for target retail and wholesale customer segments, and to achieve healthy

growth in profitability, consistent with the bank's risk appetite. The bank is committed to

maintain the highest level of ethical standards, professional integrity, corporate governance

and regulatory compliance. HDFC Bank's business philosophy is based on four core values -

Operational Excellence, Customer Focus, Product Leadership and People.

ORGANISATIONAL CULTURE & VALUES

HDFC Bank has an open ands informal culture. HDFC Bank has value integrity,commitment and teamwork and excellence in customer service. HDFC adopts a policy oflearning by doing which encourages decision making as well as learning from doing.

As HDFC Bank continue to grow rapidly in spite of the competitive market scenario,

young professionals opting to make a career with HDFC Bank today will find more

challenging and exciting opportunities to contribute and grow with them.

If you are young, talented individual who enjoys challenges, has a passion to excel

and can fit into our organizational culture & value system, you could be a part of learning and

growing team of professionals at HDFC Bank.

HDFC Bank has always been market-oriented and dynamic with respect to resource

mobilization as well as its lending programmed. This renders it more that capable to meet the

new challenges that have emerged. Over the years, HDFC Bank has developed a vast client

base of borrowers, depositors, share holders and agents, and it hopes to capitalize on this loyal

and satisfied client base for future growth. Internal systems have been developed to be robust

and agile, to take into account changes in the volatile external environment.

HDFC Bank has developed a network of industries through partnerships with some of

the best institutions in the world, for providing specialized financial services. Each institution

fine tuned for a specific market, while offering the entire HDFC customer base the highest

standards of quality in product design, facilities and services.

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MISSION AND BUSINESS STRATEGY

Banks mission is to be "a World Class Indian Bank", benchmarking themselves against

international standards and best practices in terms of product offerings, technology, service

levels, risk management and audit & compliance. The objective is to build sound customer

franchises across distinct businesses so as to be a preferred provider of banking services for

target retail and wholesale customer segments, and to achieve a healthy growth in

profitability, consistent with the Bank's risk appetite. They are committed to do this while

ensuring the highest levels of ethical standards, professional integrity, corporate governance

and regulatory compliance.

Their business strategy emphasizes the following :

Increase our market share in Indias expanding banking and financial services industry by

following a disciplined growth strategy focusing on quality and not on quantity and

delivering high quality customer service.

Leverage technology platform and open scaleable systems to deliver more products to

more customers and to control operating costs.

Maintain current high standards for asset quality through disciplined credit riskmanagement.

Develop innovative products and services that attract its targeted customers and address

inefficiencies in the Indian financial sector.

Continue to develop products and services that reduce cost of funds.

Focus on high earnings growth with low volatility

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The authorised capital of HDFC Bank is Rs.450 crore (Rs.4.5 billion). The paid-up

capital is Rs.311.9 crore (Rs.3.1 billion). The HDFC Group holds 22.1% of the bank's equity

and about 19.4% of the equity is held by the ADS Depository (in respect of the bank'sAmerican Depository Shares (ADS) Issue). Roughly 31.3% of the equity is held by Foreign

Institutional Investors (FIIs) and the bank has about 190,000 shareholders. The shares are

listed on the The Stock Exchange, Mumbai and the National Stock Exchange. The bank's

American Depository Shares are listed on the New York Stock Exchange (NYSE) under the

symbol "HDB".

HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable

network of over 761 branches spread over 327 cities across India. All branches are linked on

an online real-time basis. Customers in over 120 locations are also serviced through

Telephone Banking. The Bank's expansion plans take into account the need to have a

presence in all major industrial and commercial centres where its corporate customers are

located as well as the need to build a strong retail customer base for both deposits and loan

products. Being a clearing/settlement bank to various leading stock exchanges, the Bank has

branches in the centres where the NSE/BSE have a strong and active member base.

The Bank also has a network of about over 1977 networked ATMs across these

cities. Moreover, HDFC Bank's ATM network can be accessed by all domestic and

international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American Express

Credit/Charge cardholders.

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Capital Structure

Distribution

channel


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Mr. Jagdish Capoor took over as the bank's Chairman in July 2001. Prior to this, Mr. Capoor

was a Deputy Governor of the Reserve Bank of India.

The Managing Director, Mr. Aditya Puri, has been a professional banker for over 25 years,and before joining HDFC Bank in 1994 was head of Citibank's operations in Malaysia.

The Bank's Board of Directors is composed of eminent individuals with a wealth of

experience in public policy, administration, industry and commercial banking. Senior

executives representing HDFC are also on the Board.

Senior banking professionals with substantial experience in India and abroad head various

businesses and functions and report to the Managing Director. Given the professional

expertise of the management team and the overall focus on recruiting and retaining the best

talent in the industry, the bank believes that its people are a significant competitive strength.

HDFC Bank operates in a highly automated environment in terms of information technology

and communication systems. All the bank's branches have online connectivity, which enables

the bank to offer speedy funds transfer facilities to its customers. Multi-branch access is also

provided to retail customers through the branch network and Automated Teller Machines

(ATMs).

The Bank has made substantial efforts and investments in acquiring the best technology

available internationally, to build the infrastructure for a world class bank. The Bank's

business is supported by scalable and robust systems which ensure that our clients always get

the finest services we offer.

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Management

Technolog

y


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The Bank has prioritised its engagement in technology and the internet as one of its key goals

and has already made significant progress in web-enabling its core businesses. In each of its

businesses, the Bank has succeeded in leveraging its market position, expertise and

technology to create a competitive advantage and build market share.

HDFC Bank offers a wide range of commercial and transactional banking services and

treasury products to wholesale and retail customers. The bank has three key business

segments:

HDFC Bank recognizes the importance of good corporate governance, which

is generally accepted as a key factor in attaining fairness for all stakeholders and achieving

organizational efficiency. This Corporate Governance Policy, therefore, is established to

provide a direction and framework for managing and monitoring the bank in accordance with

the principles of good corporate governance.

HDFC Bank began operations in 1995 with a simple mission: to be a "World-class IndianBank". We realised that only a single-minded focus on product quality and service

excellence would help us get there. Today, we are proud to say that we are well on our waytowards that goal.

It is extremely gratifying that our efforts towards providing customer convenience have beenappreciated both nationally and internationally.

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Busines

s

Awards and

achievements

Corporate governance


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2007

Business Today-Monitor Groupsurvey

One of India's "Most Innovative Companies"

Financial Express-Ernst & YoungAward

Best Bank Award in the Private Sector category

Global HR Excellence Awards- Asia Pacific HRMCongress:

'Employer Brand of the Year 2007 -2008' Award - First

Runner up, & many more

Business Today 'Best Bank' Award

Dun & Bradstreet American ExpressCorporate BestBank Award 2007

'Corporate Best Bank' Award

The Bombay StockExchange and

NasscomFoundation'sBusiness for SocialResponsibility

Awards 2007

'Best Corporate Social Responsibility Practice' Award

Outlook Money &NDTV Profit

Best Bank Award in the Private sector category.

The Asian BankerExcellence in RetailFinancial ServicesAwards

Best Retail Bank in India

Asian Banker Our Managing Director Aditya Puri wins the LeadershipAchievement Award for India

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FUTURE PLANS

HDFC has always been market-oriented and dynamic with respect to resourcemobilization as well as its lending programme. This renders it more than capable to meet the

new challenges that have emerged. Over the years, HDFC has developed a vast client base of

borrowers, depositors, share holders and agents, and it hopes to capitalize on this loyal and

satisfied client base for future growth.

HDFC has developed a network of institutions through partnerships with some of the

best institutions in the world, for providing specialized financial services. Each institution is

being fine- tuned for a specific market, while offering the entire HDFC customer base the

highest standards of quality in product design, facilities and services.

TIMES BANK MERGER AND STRATEGIC ALLIANCES WILL ENHANCE THE

BANKS POSITION IN THE SECTOR.

Times bank merger will give HDFC Bank a greater reach in terms of an expanded

network, which will touch 107 branches and an increased customer base. The bank has also

invested 26% each in the equity of computer age management services and ACSYS system

software India as strategic investment. While computer age is a well established player in the

distribution of a range of mutual fund products, ACSYS is into developing software that

caters to distributors of financial products and mutual funds

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SOCIAL RESPONSIBILITES

MINI MARATHON AT CHANDIGADH

HDFC bank in collaboration with Times of India organized a Mini Marathon

Run for India on February 3. Some 2200 enthusiasts of all age and gender ran the

Marathon. The Senior Superintendent of police, Gaurav yadav, flagged off the race from the

serene sukhana lake. It culminated at the football stadium, Sector-12. Some of the participants

came from as far as jalandhar and karnal. run for India- kiosks were erected on the both sides

of the route. Our regional head, Ms Nina Singh gave away the cheques to the winners and

special certificates to all participants who completed the race. We had reported that 60 of our

employees had participated in the Mumbai marathon in support of a charity. We are happy to

report that in addition to the amount pledged by our bank, the participants raised Rs. 67,654

though their friends, colleagues and well-wishers.

GIRL CHILD PROJECT

Under this project, underprivileged girls who are at risk of dropping out of

government schools for financial or other causes are identified and special sponsorships

designed for them that take care of a host of their educational requirements.

This covers academic support in the form of reading, writing and holiday camps etc.

and providing direct support in the form of notebooks, stationeries, and exam fees etc. our

bank today is sponsoring 554 such girls studying in municipal schools sponsored by it.

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In addition to adopting the schools, our bank though Nanhi Kali also supports the

education of girl children thereby ensuring that they are not deprived of their basic human

rights. In such programme on march23, school bags, uniforms, shoes, socks, notebooks and

other stationeries were distributed among the sponsored girls at a function attended by school

principals and the community development officer among others.

MOBILE CRECHES

According to unofficial estimates, there are 3 to 4 million children on

construction sites across India, which are often unsafe, have no schools, playgrounds and

hospitals. Since they are on the construction site, brick walls and a tin roof is all that is needed

to house a crche, balwadi and a classroom.

Our bank has partnered with mobile crches, a Mumbai based non-government

organization to support the day care center for children of construction laborers at raheja

vihar, chandivali, Mumbai, Mobile crches has an integrated approach towards child

development and ensures that a child gets all the elements necessary for its holistic

development and growth. Its day care centre initiatives typically are a mix of soundeducational and health practices designed around the child, family and community.

THE EDUCATIONAL PROGRAMME

Educational initiatives of mobile crches target three categories of kids (from

new born kids of up to 12 years age) with tailor made programmes for each to enable the child

to develop fully.

BLOOD DONATION CAMP AT PATIALA

A Blood Donation camp was organized at patiala on April, 1. The entire

patiala cluster team (from patiala, Nabha, Rajpura) participated in the camp and donated

blood. A total of 51 units of blood were donated at the event that was very well organized

with the help of Blood Bank staff headed by Dr.Shelly jaitley from local Rajindra Hospital.

Mr. jatinder gupta, cluster head.

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PROFILE OF BHAVNAGAR BRANCH

NAME HDFC BANK

ADDERESS GOPI ARCADE,

STERLING POINT ,WAGHAWADI ROAD,BHAVNAGAR

TELEPHONE NO. 0278-2572173/74

YEAR OFSTABLISHMENT

1994

MEMBERS CHETAN TRIVEDI (BRANCHMANAGER)KEYUR JANI (RELATIONSHIPMANAGER)PRANAV JANI (RELATIONSHIPMANAGER)4 PERSONNEL BANKERS

There are so many awards and achievements in HDFC BANK Bhavnagar branch as

described below

1). In December 2004 Bhavnagar branch was awarded for maximum selling of Credit card.

As a title of THE FASTEST MILLION YOU MADE THE DIFFERENCE

2). In financial year 2005-06 the branch was awarded for second highest selling of

life insurance business in Saurashtra and Kutchh cluster.

3). During January 2007 through march 2007 , branch was awarded for generating the

Highest number of leads for current accounts.

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Awards in Bhavnagar

branch


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4). In December 2006 the Branch Manager Mr. Chetan Trivedi was certified with excellence

For being the top branch manager for two wheeler vehicle loan in a month in west region

ORGANISATIONAL STRUCTURE

When two or more work together toward a common goal , Authority and responsibility are

allocated among them so that their effort may become effective. This is the task of organizing.

It is known as designing of an organization structure.

Different enterprises adopt different types of organization which can be adopt in particular

enterprise, they are;

Line organization

Staff organization

Line & Staff organization

Functional organization

Matrix organization

HDFC has adopted the line organization as it is one of the simplest and oldest form of

organization. It is known as military type of organization. In the bank there are different

departments which are handled by general manager under the board of directors, they work

together in this organization responsibility goes upward to downward

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FUNCTIONS OF VARIOUS DEPARTMENTS OF THE BANK

Functions of various departments of the bank is divided in to three categories:

(A) RETAIL BANKING

1) PERSONNEL BANKER

P.B is a Personnel banker who takes care of customers. Basically P.B manages the portfolio

of the customers. He is the first point contact for the customers. In the branch there are one

P.B authorizer who takes report from P.B

The main functions of Personnel Banker are as given below;

To handle all types of queries of new customers or existed customers

Account opening

2) TELLER

Teller counter consists the teller authorizer and tellers. The main functions of teller are:

Income tax, Sales tax challan

Transfer cheques and funds.

Forex card loading

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CHAIR

MAN

ZONAL

WISE HEAD

DEPARTME

NT HEADSREGIONAL

dd

HEAD ZONAL

HEAD

CLUSTER

HEADBRANCHMA

NAGER


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3rd party cash deposit

Real time gross settlement

Managers cheques

Demand draft

Forex traveler cheques etc..

3) RELATIONSHIP MANAGER

Relationship manager maintains the portfolio of preferred customers.

4) INVESTMENT RELATIONSHIP MANAGER

I.R.M generates the revenue for branch from 3rd party concept selling.

I.R.M manages the portfolio of those customers who comes in the categories of the classic

and preferred customers. He sales :

Mutual Funds (there are 32 companies M.F)

Insurance (HDFC Standard life)

General insurance policies

R.B.I bonds

Wealth advisory services (to only HDFC s customers )

(B) WHOLESELL BANKING (OPERATIONS)

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I t is also called Operations. As we know , Operation is the backbone of any organization. The

main functions of whole sell banking is;

Clearing

Cash management service

Demate & Remate of shares

Trade finance

Other operations

(C) NRI BANKING

HUMAN RESOURCE MANAGEMENT

Mandeep Maitra is the Country Head HR at HDFC Bank. She has done her B.A. Psychologyfrom Lady Shriram College, Delhi and MBA HR from Tata Institute of Social Studies.ManojAgrawal and Margaret Tanty met Mandeep to understand the various activities and keyissues.Excerpts from the discussion

THE HR department at HDFC Bank has 54 people, including the trainers. The HR departmentis present in Mumbai, Chennai,Delhi, Ahmedabad, Kolkata, Bangalore,Hyderabad,Chandigarh, Pune and Lucknow. All people here in HR are MBAs,except forthose handling HR operations.

HUMAN RESOURCE PLANNING

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Human resource planning is the process of forecasting a firms future demand

for and supply of the right type of people in the right number.

The planning process:

HRP essentially involves forecasting personnel needs, assessing personnel supply and

matching demand supply actors through personnel related programmes. The planning process

is influenced by overall organizational objectives and the environment of business.

HR Planning Process

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Environment

Organizational

objectives and

H R Need Forecast H R Supply

H R Programming

HRP

Control and Evaluation

of Programme

Surplus restricted

Hiring Reduced

Shortage

Recruitment and


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HRP help to any organization for the estimation of how many qualified people are necessary

to carry out the assigned activities, how many people will be available and what must be done

to ensure that personnel supply equals personnel supply equals personnel demand at the

appropriate point in the future, which helpful to achieve efficiency of bank in their various

services.

Reason behind success of any organization is efficient system of Human Resource Planning

activities carries out by their human resource department. ICICI Bank also follow the golden

system and try to implement those system in their organization well.

Human Resource Planning is the process by which an organization ensures that it has the right

number and kind of people, at the right place, at the right time, capable of effectively and

efficiently completing those tasks that will helps the organization achieve its overall

objectives.

How HRP stands helpful to HDFC Bank:

Future personnel needs:

Parts of strategic planning:

Creating highly talented work force:

International Banking Strategies:

Foundations of Personnel functions:

Increasing investment in human to survive long-term:

RECRUITMENT:

Recruitment involves attracting and obtaining as many applications as possible from

eligible job seekers.

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Purpose behind implement of Recruitment system:

Determine the present and future requirement of the organization in conjunction with

its other activities.

Helpful to attract the pool of job candidates at minimum cost. Help increase the success rate of the selection process by reducing number of

unqualified employees in the prior evaluation.

Help to reduce the probability that job applicants once recruited and selected will

leave the organization only after a short period of time.

Meet the organizations legal and social obligations regarding the composition of its

workforce.

Begin identifying and preparing potential job applicants who are appropriate candidatefor ICICI Bank.

Sources of Recruitment:

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Present Employees

Employee Referrals

Former Employees

Previous Applicants

Trade Associations

Advertisements

Employment

Campus Recruitment

Walk-ins interviews

E- Recruiting


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E-Recruiting

Perhaps no method has ever had as revolutionary an effect on recruitment practices as

the internet. There are respective company websites devoted in some manner to job posing

activities. Currently, employers can electronically screen candidates soft attributes, direct

potential hires to a special website for online skill assessment. Conduct background checks

over the internet, interview candidates via videoconferencing. And manage the entire process

with web-based software. Companies benefit immensely through cost savings. Speed

enhancement and extended worldwide candidate reach which the internet offers. From the job

seekers perspective the internet allows for searches over a broader array of geographic and

company posting than was possible before.

Problems notwithstanding, both job givers as well as job seekers find internet as the

most effective source of recruiting and its usage in the days to come will be all pervasive.

Evaluation of External Recruitment:

External sources of recruitment have both merits and demerits. On the plus side, the

following may be cited:

Merits.

The organization will have the benefit of new skills, new talents and new experiences,

if people are hired from external sources.

The management will be able to fulfil reservation requirements in favour of the

disadvantaged sections of the society.

Scope for resentment, heartburn end jealousy can be avoided by recruiting from

outside.

Demerits.

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Better motivation and increased morale associated with promoting own employees are

lost ot the organization.

External recruitment is costly. If recruitment and selection processes are not properly carried out. Chances of right

candidates being rejected and wrong applicans being selected occur.

SELECTION:

Selection is the processes of differentiating between applicants in order in identifies

and hire those with a greater likelihood of success in a job.

Selection Process:

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Telephonic - Interview

Selection Test

Final Interview

Reference &

Background Analysis

Selection Decision

Offer Letter

Medical Clarification


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RECRUITMENT & SELECTION

HDFC banks campus strategy is to look at tier one campuses like Bajaj, SP Jain, IMI,

SCMHRD, etc and not only IIMs. They go to 70 business schools, covering far away places

like Bhuvaneshwar, Ludhiana, Baroda, etc. Students from these institutes understand the

psychology of the up country customers and are ambitious about working for private sector

banks. We hire B.Com, M.Com, engineers and other graduates, as well as MBAs. Today the

requirement is not just globalization, but localization. To achieve this we hire people from

various towns and cities. We are even hiring managers from rural background. We have a

need to locate people in 500+ branches across 300 cities. I am often asked why we dont

recruit from IIMs. My reply is that the bank is able to attract IIM graduates after they have

worked for 3 to 5 years of work experience and they have experienced the real world and are

likely to be less disillusioned. They take screening very seriously, though they dont use

detectives. They do speak to current employers and ask questions about performance and

integrity. After the completation of recruitment process, HDFC bank starts it selection process

according to its schedule to the selection of deserved candidates.

TRAINING & DEVELOPMENT

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Employment

Agreement


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Skills requirement is cyclical and depends on stage in which the business is into. Four years

ago, asset skills were relatively rare. Then, as foreign banks got out of many asset businesses,

there were lots of people available, changing the market demand and supply. But even now,

treasury skills are difficult to find as lots of people are going overseas. There is a dearth of

individuals who have relevant skills to manage private and corporate banking. Down the road,

there will be a shortage of generalists, as organization starts looking for individuals as

solution specialist rather than product specialists. We are swinging between generalists and

specialists. We realize we need both and the pricing for both is different. Our induction

program - Swagat - covers products and business of the bank. It is focused on developing

skills and values. Four years ago we started an internal employee referral program called

Karo Sifarish. It has become one of our most preferred channel and contributes significantly

to talent acquisition. Earlier the focus was 100% on hard skills. Now, soft skills training has

risen from being non-existent to 30% of the training efforts. We organize various programs

including outbound experiential learning, Open Spaces Technology, Personal Effectiveness,

Leadership Excellence, art of living, Vedanta, etc. Most training programs are delivered in

house, except for highly technical ones such as derivatives. The in house training staff

comprises of 17 people. People in the smaller cities were missing out as training program

were being held in larger metros. We started sending our trainers to the remote locations

about 15 months back. The Back Pack Trainers take classes after office hours and this has

been much appreciated. The cost impact is minimal and the benefits manifold. We invite

guest lecturers such as Bruce Carlson, CEO, Managerial Grid and Stephen Haines, Chairman

of Center for Strategic Management, to spend half a day with our senior management . We

have a strategic tie-up with IIM Ahmadabad for a 9 day program covering economics,

quantitative, behavioral leadership, marketing, corporate communications, etc. We send 30 of

our vice presidents every year as a part of leadership development plan.BENEFITS TO THE INDIVIDUAL WHICH ULYMATELY BENEFIT TO THE

HDFC BANK

Helps the individual in making better decisions and effective problem solving

Through training and development, motivational variables of recognition,

achievement, growth, responsibility and advancement are internalized.

Aids in encouraging and achieving self-development and self-confidence

Helps a person handle stress, tension, frustration and conflict

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Provides information for improving leadership, knowledge, communication skills and

attitudes

Increase job satisfaction and recognition

Moves a person towards personal goals while improving interactive skills

Satisfies personal needs of the trainer

Provides the trainee an avenue for growth and a say in his own future

Develops a sense of growth in learning

Helps a person develop speaking and listening skills

Helps eliminate fear in attempting new tasks

BEST PRACTICES

The most important thing in HR is to hold the confidence of people. Talent retention is a

challenge today. Another challenge is managing expectations of youngsters, who are looking

for fast tracking their career and want exposure quickly, they may not be lured by money

alone, but the profile that they work for. We give ample opportunity to those who seek job

rotation. If we have a new opening, we advertise it internally. Our philosophy is that it is

better to lose a person to another department than to another bank. Our performance

management system is our signature system. I am proud to say that I personally know most

of the people across various levels in the organization. I have helped people move internally

and helped them make a better career with the bank. We have one of the lowest rates of

attrition. Middle management onwards our salaries here are good. We are young - only 12

years old. The average age in the bank is 27. Women have been rising up the ranks in the

bank. At the junior level, over 33% of the workforce in consumer and retail banking

comprises of women. In the senior levels, it is about 12% and in the top management, it is

about 6 to 9%. This organization was very cost conscious. Today we have foreign tours,

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parties at national and regional levels, award nights and outings. As an organization we have

started celebrating success.

MARKETING DEPARTMENT

Speaking to Business Line, Ajay Kelkar, Head, Marketing, HDFC Bank, said that these

initiatives are especially targeted at those consumers who are not aware about the bank's

various value added services such as direct banking facilities.

"We are going to demonstrate the advantages of net banking and mobile banking, as these

concepts are relatively new to people living in smaller towns and cities," said Kelkar.

The bank has also launched another initiative called Business Ki Baten, which is targeted at

areas where the bulk of the population comprises small businessmen. |

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Kelkar said that the bank would get experts to talk on a number of issues such as value-add

tax and sales tax.

HDFC, said Kelkar, has been successful in reducing its customer attrition by almost 15-20 per

cent ever since its data-led customer analysis system, Unica, was set up last year. "It enables

us to measure the efficacy of the campaigns, test every campaign at each and every step,

experiment with creative and media. There are learnings that can immediately be incorporated

into the next campaigns.

These campaigns provide us with information about customer preferences that can be used for

mass media communication, making it more effective." "We can measure the result of a

campaign through the sales that they generate and the customers that are added. There is aclear return on investment, which from a functional point of view gives the team a stronger

voice. We have also been able to reduce our ad spends by about 10-15 per cent and have also

reduced the cost of acquisition," he added.

Kelkar said that the bank's focus in future would be to enhance its database marketing

initiatives. "We plan to invest close to Rs 12 crore to create the environment that is required

to support customer intelligence that leads to data based marketing."

HDFC has chartered an extensive Customer Lifecycle based marketing campaign calendar for

this and the forthcoming fiscal. Fractal, which specialises in predicting the behavior of the

customers in the areas of risk and marketing, would be partnering HDFC Bank's marketing

team in various initiatives of growing the retail business quickly and cost effectively.

HDFC has been using analytics for taking informed marketing decisions. Fractal will help the

bank use information to reach new customers and to build, nurture and maximise lasting

customer relationships. Fractal will also help the bank solve the problem of ever-increasing

customer acquisition costs and reducing customer loyalty.

The marketing programmes would involve acquisition of customers profitably by reducing

campaign costs, cross selling various asset and liability products to the existing customers,

thereby, leveraging the existing relationships and proactively retaining existing customers.

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Fractal's analytics-based marketing solutions span which the entire lifecycle of customer

relationship right from customer acquisition to customer retention to customer value

management, is expected to give HDFC an upper hand in understanding the needs and

circumstances of their customers.

Fractal claims to use numerous advanced statistical modeling methodologies backed by strong

banking expertise for building predictive models and scorecards that help its clients take

business decisions more effectively and efficiently.

The company has worked with HDFC in the past on similar assignments where the bank had

benefited with the help of business analytics services

GROWTH IN LAST FEW YEARS

Over the last few years, HDFC Bank as a whole has been growing steadily at a rate of 30 per

cent or so, and that the bank has managed to maintain that growth rate on a consistent basis,

which is a very creditable performance. However, in the product mix, there have been a

number of segments, especially loans, which have recorded growth of over 100 per cent over

the last year.

MARKETING INITIATIVES TAKING BY THE BANK

HDFC Bank is possibly the only bank in India, and one of the very few in Asia, to have

embarked on a data-led marketing analytics campaigns initiative, using marketing automationtechnology provided by Unica. Unica has been recognised by Gartner as the leading player in

this field.

Through this tool, we have been able to intelligently use the 4-5 terabytes of customer data

available in its warehouse. We have set up a team to conduct marketing campaigns in a

scientific manner using customer data, usage patterns, preferences, lifecycle, etc, the bank

also conducts event-based marketing.

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These initiatives also complement our media-based marketing as well as on-the-ground

marketing activities, which remain important in the bigger scheme of things. However, the

marketing analytics initiative enables us to measure the efficacy of the campaigns, testing

every campaign every step of the way, experimenting with creatives, messages, media, etc.

There are learnings that can immediately be absorbed and incorporated in the next campaigns,

and these campaigns in a way provide us with information about customer choices and

preferences that can be used for mass media communication, making those more effective.

MEDIA VEHICLES USED FOR SEND OUR MESSAGE TO REACH OUR TARGET

AUDIENCE

HDFC Bank has been predominantly using direct mailers, e-mails, and SMS for

communicating our message to our target audience as they are the most cost-effective routesof addressing our core target audiences with maximum degree of customization possible

INFORMATION TECHNOLOGY

CNRam

Head,IT

HDFC Bank

HDFC Bank has selected Interwovens Web Content Management (WCM) solution and

Content Distribution software to enhance customer experience, reduce operational costs, and

streamline compliance processes related to its Web site. With Interwoven, the bank will allow

business users across the organisation to manage content on the Web without the assistance of

its IT department.

HDFC Bank aims at being consistent, comprehensive and accurate in providing online

information to both domestic and international customers while adhering to regulations such

as Sarbanes-Oxley.

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Previously, the bank relied on its IT team to manually upload a rapidly-growing amount of

content on the Web. This process was time-consuming, error-prone, and not robust enough to

scale to the large volumes that needed to be uploaded. It also did not allow the bank to keep

auditable copies of all Web content changes.

Due to the time-consuming process, the marketing department was often forced to wait for

long periods before new marketing content could be added to the site by the IT personnel. As

a result, branding across the banks various sites was inconsistent, and did not reflect the

changing market trends and consumer demands.

Marketing promotions could not be updated in a timely manner across our Web site,

hindering time-to-market for the new products, which in turn often translated into revenue

losses, commented Ajay Kelkar, Head of Marketing at the bank. Inconsistency in branding

across the site meant that customers were not receiving the best possible experience on our

site, and that needed to change if we had to continue strengthening our position in the

market.

To address these challenges and reduce the risk of providing customers with outdated or

inaccurate information, the bank sought a solution to enable them to automate Web content

publishing and enhance search functionality with robust and integrated metadata technology.

After evaluating different systems, it selected Interwoven because of its proven solutions

designed to help enterprises improve customer experience.

Leveraging industry-leading technology to promote our brand and ensuring that we provide

our customers with the highest level of satisfaction is imperative for us, said C N Ram, Head

of IT at the bank. We needed a solution which would enable us to deploy and integrate our

content across our Web site accurately, securely and easily. It became clear that Interwoven

was the only solution that could enable us to meet our objectives.

By empowering business users with direct content control, the bank will let its IT department

focus on other business-critical issues, thus improving its operational efficiency.

Having a competitive advantage and being able to react to a rapidly-changing business

climate is important within the financial services market, commented Sunil Chavan, India

Country Manager, Interwoven.

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AN OCEAN OF PRODUCTS & SERVICES

Product

In marketing, a product is anything that can be offered to a market that might satisfy a

want or need. In retailing, products are called merchandise. In manufacturing, products are

purchased as raw materials and sold as finished goods. Commodities are usually raw materials

such as metals and agricultural products, but a commodity can also be anything widely

available in the open market.

The verb produce is from the Latin , lead or bring forth. The noun product is "a

thing produced by labor or effort". Since 1575, the word "product" has referred to anything

produced. Since 1695, the word has referred to "thing or things produced". The economic orcommercial meaning of product was first used by political economist Adam Smith

Product line

A product line is "a group of products that are closely related, either because they

function in a similar manner, are sold to the same customer groups, are marketed through the

same types of outlets, or fall within given price ranges.

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Many businesses offer a range of product lines which may be unique to a single

organization or may be common across the business's industry. In 2002 the US Census

compiled revenue figures for the finance and insurance industry by various product lines such

as "accident, health and medical insurance premiums" and "income from secured consumer

loans" Within the insurance industry, product lines are indicated by the type of risk coverage,

such as auto insurance, commercial insurance and life insurance

Product Line of HDFC Bank

Banking should be effortless. With HDFC Bank, the efforts are rewarding. No matter

what a customer's need and occupational status, They have a range of solutions that are

second to none.

Whether you're employed in a company and need a simple Savings account or runyour own business and require a robust banking partner, HDFC Bank not only has the perfect

solution for you, but also can recommend products that can augment your planning for the

future.

SAVING ACCOUNTS

These accounts are primarily meant to inculcate a sense of saving for the future, accumulating

funds over a period of time. Whatever your occupation, we are confident that you will find the

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perfect banking solution. Open an account in your name or register for one jointly with a

family member today.

The main saving accounts offered by the bank are:

1. Rugular account 7. Kids advantage account

2. Saving plus account 8. Pension saving account

3. Saving max account 9. Family saving account

4. No frills accounts 10. Kisan club savnig account

5. Senior citizens 11. Salary account

6.Retail trust account 12. Many more

CURRENT ACCOUNTS

The bank provides current accounts as per given types :

Plus current account

Trade current account

Premium current account

Regular current account

FRC domestic account

Flexi current account

Appex current account

Max current account

FIXED DEPOSITS ACCOUNTS

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Regular fixed deposite

5 year tax saving fixed deposite

Super saver facility

Sweep in fixed deposite

OTHER ACCOUNTS

DEMATE ACCOUNT

SAFE DEPOSITE LOCKER

LOANS

Personal loan Loan against security

Home loan Loan against property

Two wheeler loan Loan against rental receivable

New car loan Helth care finance

Old car loan Tractor loan

Express loan plus Commercial vehicle

Gold loan Working capital finance

Education loan warehouse receipt loan

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CARDS

CREDIT CARD DEBIT CARDS PREPAID CARD

Silver credit card Easy shop international card Forex plus

Value plus credit card Easy shop gold card Gift plus

Health plus credit card Easy shop international card Food plus

Gold credit card Easy shop womens card Money plus

Titanum credit card Easy shop NRO card

Womengold credit card Kisan card

Corporate credit card

Business credit card

INVESTMENTS & INSURANCE

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Mutual funds

Insurance

General & Health insurance

Bonds

Knowledge centre

Equities & Derivatives

Mudra gold bar

NRI BANKING

With a view to attract the savings and other remittance into India through banking channels

from the person of Indian Nationality / Origin who are residing abroad and bolster the balance

of payment position, the Government of India introduced in 1970 Non-Resident(External)

Account Rules which are governed by the Exchange Control Regulations.

The funds held in Non-Resident (External) Accounts (NRE Accounts) qualify for certain

benefits like exemptions from taxes in India, free reatriation facitities, etc.

DEPOSITTYPES

NRI-Banking facilitates the NRI customer to open the following account types .

NRE (Non Resident External Accounts)

In can be in the form of Savings,Current or fixed deposits in Indian rupees.The funds in this

account are fully repatriable.

NRO (Non Resident Ordinary Accounts)

It can be in the form of Savings, Current or Fixed Deposits in Indian Rupees. The funds inthis account are not repatriable (only interest accrued is repatriable).

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FCNR( Foreign Currency Non Resident Accounts)

It can be in the form of fixed Deposits only, in the five major currencies ,namely US Dollars,

GBP, DM,Euro, Japanese Yen. The funds in this account are fully Reportable.

FOREX AND TRADE SERVICE

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Are you a frequent flyer for business or often holiday abroad? Are you an

importer/exporter of foreign and Indian goods?

If you need to deal in foreign currency and keep tabs on exchange rates every now and

then, transfer monies to India, make payments etc., HDFC Bank has a range ofproducts

and services that you can choose from to transact smoothly, efficiently and in a timely

manner.

HDFC offer the following Foreign Exchange Products and Services.

The following are the different methods for transferring in foreign exchange and

remittinng money.

1. Travelers cheques

Travellers Cheques are a safe and easy way to protect your money when you

travel. You can encash them only when you need to, and only against your

signature, unlike cash which can be stolen and misused by anybody, immediately.

Loss of Travellers Cheque can be reported anywhere in the world by making a

single phone and the pre-fixed amount on the cheques are made refundable.

Travellers Cheques are offered in major currencies like USD, GBP, Euro, CAD,

AUD and JPY. These are available in various denominations to suit your needs. At

present HDFC Bank offers American Express Travellers Cheques which are

widely accepted at Merchant Establishments and Financial Institutions across more

than 200 countries.

2. Foreign currency cash

Foreign Currency Cash is a convenient way of meeting personal expenses along

your journey, paying for taxis / internal travel, food expenses etc.

You could avail of Foreign Currency Cash in USD, GBP, EURO, AUD and CAD

from our branches offering Foreign Exchange facilities.

3. Foreign currency demand draft

You can now avail of our FCY DD facility to make payments for

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various purposes like:

1. Payment of University fees abroad

2. Making a gift remittance to a friend or relative

3. Payment of application fees for various exams like TOEFL , GMAT etc.

4. Payment for medical treatment abroad

5. And all other permitted purposes as per the RBI guidelines.

FCY Demand Drafts are issued in seven currencies like United States Dollars

(USD), Great Britain Pounds (GBP), EURO, Japanese Yen (JPY), Australian

Dollars (AUD), Canadian dollars (CAD) and New Zealand Dollars (NZD).

4. Cheque deposites

You can directly deposit your foreign currency cheques in to your saving or current

account. HDFC Bank will then have the cheques sent for collection and the funds

will be credited to your account in Indian Rupees. We accept cheques of various

currencies like USD, GBP, Euro, JPY, Australian Dollars, Canadian Dollars, UAE

Dirhams, Hong Kong Dollars and Swiss Francs.

Clearing Timings for cheques payable in US Dollars : 8 International working

days for cheque payable in NewYork and 19 international working days for

Non-NewYork from the date of lodgement at clearing house.

Clearing Timings for cheques payable in Euro : 6 International working days for

cheque payable in Germany and 18 international working days for Non-Germany

from the date of lodgement at clearing house.

Clearing Timings for cheques payable in GBP : 18 international working days

from the date of lodgement at clearing house.

Please note that Cheques drawn in one currency payable in another country where

currency is different will take a longer period to realise and would attract charges

of various correspondent banks as per their own tariff schedule over which we do

not have any control. For e.g. A cheque drawn in USD payable on a bank in

Singapore or Cheque drawn in GBP payable on a bank in South Africa or Cheque

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drawn in USD payable in Canada.

5. Remittances

HDFC Bank offers you the remittance facilities by which you can to send and

receive money to your loved ones. They are categorized depending on your location

and the urgency with which you want the money transferred.

BUSINESS ANALYSIS

Business analysis helps an organization to improve how it conducts its functions and activities

in order to reduce overall costs, provide more efficient use of resources, and better support

customers. It introduces the notion of process orientation, of concentrating on and rethinking

end-to-end activities that create value for customers, while removing unnecessary, non-value

added work. The person who carries out this task is called a business analyst

The term Business Analyst is used to describe a person who practices the discipline of

business analysis. A business analyst or "BA" is responsible for analyzing the business needs

of their clients to help identify business problems and propose solutions. Within the systems

development life cycle domain, the business analyst typically performs a liaison function

between the business side of an enterprise and the providers of services to the enterprise.

Common alternative titles are business systems analyst, systems analyst, and functional

analyst, although some organizations may differentiate between these titles and corresponding

responsibilities.

The International Institute of Business Analysis has the following definition of the role: "A

business analyst works as a liaison among stakeholders in order to elicit, analyze,

communicate and validate requirements for changes to business processes, policies and

information systems. The business analyst understands business problems and opportunities

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in the context of the requirements and recommends solutions that enable the organization to

achieve its goals."

Now we move toward the business analysis of HDFCbank

TEN YEARS OF EXCELLANCE

On the 18th of February, 1995, the then finance minister, Dr. Manmohan

Singh, inaugurated the first branch of a new bank called HDFC Bank.

Promoted by India's premier housing finance institution, it was the first

private sector bank to have received a license from the Reserve Bank of

India, after the banking sector was thrown open to new players. Driven by

the vision and leadership of a highly respected senior management team,

and thanks to the dedicated efforts of thousands of employees over the

last 10 years, your bank has today emerged as one of the leading banks in

the country.

From the beginning, HDFC Bank began operations with the mission of

becoming a World-class Indian Bank, and the endeavour of fulfilling all

the financial requirements of our customers under one roof. Over the years,

by delivering superior financial products and services, your bank has built

a stable and long-lasting relationship with nearly seven million customers,

without compromising our standards for maintaining high quality

associations. Our culture for learning; our quick absorption of latest and

best technologies; and our unwavering adherence to best practices in

governance have been the core strengths that have brought us to our

present position. Constantly learning through our growth, we have

continued to use the dividends of our leadership position to fuel furtherexpansion and presence. Today, ten years later, we are the market leader,

or one of the top three, in most of the segments that we operate in.

Today, our bank is recognised by many to be the best in many respects.

However, for us, our journey to be pre-eminent in every possible sphere

continues, and our drive to become even better at serving our customers

becomes stronger. For us, it starts with the same passion we started with

ten years ago. Every day.

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BALANCE SHEET OF HDFC BANK

As at March 31,2008

CAPITAL AND LIABILITIES AMOUNT

Capital 354,43

Reserves and Surplus 11,142,80

Deposits 100,768,60

Borrowings 4,478,86

Other Liabilities & Provisions 16,431,91

TOTAL 133,176,6O

ASSETS AMOUNT

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Cash and balances with RBI 12,553,18

Balances with Banks and Money at call Call and Short notice 2,225,16

Investments 49,393,54

Advances 63,426,90

Fixed assets 1,175,13

Other assets 4,402,69

TOTAL 133,176,6O

INVESTMENTS IN INDIA

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SALES

RS IN CROR

0

4475.34

6889.02

10115

0

2000

4000

6000

8000

10000

12000

Colum

Above column graph shows the sales of 3 years of HDFC bank .Now we analyses this data.

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Sales in financial year 2005-06 is 4475.34 crores .

Sales in financial year 2006-07 is 6889.02 crores.

Sales in financial year 2007-08 is 10115 crores.

Increase in sales in 2006-07 is near about 153.94% of year 2005-06.

Increase in sales in 2007-08 is near about 146.83% of year 2006-07.

NET INTEREST INCOME

Above column graph shows the net interest income of 3 years of HDFC bank .Now we

analyses this data.

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NII in financial year 2005-06 is 230068 lacs.



Growth rate in NII in 2006-07 is near about 150.7589 % of year 2005-06.

Growth rate in NII in 2007-08 is near about 150.7253 % of year 2006-07.

NET REVENUE

Above column graph shows the net revenue of 3 years of HDFC bank .Now we analyses this

data.

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Net revenues in financial year 2005-06 are 342466 lacs.



Increase in Net revenues in 2006-07 is near about 145.5534 % of year 2005-06.

Increase in Net revenues in 2007-08 is near about 150.6873 % of year 2006-07.

PROFIT AFTER TAX

Above column graph shows the profit after tax of 3 years of HDFC bank .Now we analyses

this data.

Profit after tax in financial year 2005-06 is 87078 lacs.

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Growth rate in Profit after tax in 2006-07 is near about 131.083 % of year 2005-06.

Growth rate in Profit after tax in 2007-08 is near about 139.312 % of year 2006-07.

DEPOSITS

5579682

6829794

10076860

00

2000000

4000000

6000000

8000000

10000000

12000000

2005-06 2006-07 2007-08

RS IN LACS

Column1

Above column graph shows the deposits of 3 years of HDFC bank .Now we analyses this

data.

Deposits in financial year 2005-06 are 5579682 lacs.


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Increase in Deposits in 2006-07 is near about 122.404 % of year 2005-06.

Increase in Deposits in 2007-08 is near about 147.542 % of year 2006-07.

EARNING PER SHARE

27.92

36.29

46.22

00

5

10

15

20

25

30

35

40

45

50

2005-06 2006-07 2007-08

IN RUPEES

Column1

Above column graph shows the earning per shares of 3 years of HDFC bank .Now we

analyses this data.

EPS in financial year 2005-06 is 27.92 Rs.


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Growth rate in EPS in 2006-07 is near about 129.978 % of year 2005-06.

Growth rate in EPS in 2007-08 is near about 127.362 % of year 2006-07.

DIVIDEND PER SHARES

5.5

7

8.5

00

1

2

3

4

5

6

7

89

2005-06 2006-07 2007-08

RS IN LACS

Column1

Above column graph shows the dividend per shares of 3 years of HDFC bank .Now we

analyses this data.

Dividend per shares in financial year 2005-06 is 5.5 Rs.

Dividend per shares in financial year 2006-07 is 7 Rs.

Dividend per shares in financial year 2007-08 is 8.5 Rs.

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Growth rate in Dividend per

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