Training Report by Arvind

7/31/2019 Training Report by Arvind

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INTRODUCTION TO THE TOPIC

MEANING OF MOTIVATION

The term motivation has been derived from the word motive. Motive may be

defined as an inner state of or mind that activates and directs our behavior. It

makes us move to act. It is always internal to us and is externalized via our

behavior. Motivation is ones willingness to exert efforts towards the

accomplishment of an individuals goal.

DEFINITION OF MOTIVATION

Fred Luthans: A process that starts with a physiological or psychological

deficiency or need that activates behavior or a drive that is aimed at a goal or

incentive.

Stephen P. Robbins: Motivation is the willingness to exert high levels ofefforts toward organizational goals, conditioned by the effort ability to satisfy

some individual need.

Gray and Starke: Motivation is the result of process, internal or external to the

individual that arouses enthusiasm and persistence to pursue a certain course

of action.

MOTIVATION CYCLE OR PROCESS

Motivation is a process or cycle aimed at accomplishing some goals. The basic

elements included in the process are motives, goals and behavior.

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Motives: Almost all human behavior is motivated. Motives prompt people to

action. Hence, these are at the very heart of motivational process. Motives

provide an activating thrust towards reaching a goal.

Goals: Motives are generally directed towards goals. Motives generally create

a state of physiological or psychological imbalance. Attaining goals restores

balance.

Behavior: Behavior is a series of activities to be undertaken. Behavior is

directed to achieve a goal.

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GENERAL THEORIES OF MOTIVATION

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THEORIES BASED ON HUMAN NEED

1. Maslows Need Hierarchy Theory

Maslows theory is based on the human needs. In essence he believed that

once a given level of need is satisfied, it no longer serves to motivate man.

Then, the next higher level of need has to be activated in order to motivate the

man.

I. PHYSIOLOGICAL NEED: These needs are basic of human life and

hence include food, clothing, shelter, air, water and necessities of life.

These needs relate to the survival and maintenance of human life. Theyexert tremendous influence on human behavior. These needs are to be

met first at least partly before higher level needs emerge. Once

physiological needs are satisfied, they no longer motivate the man.

II. SAFETY NEED: After satisfying the physiological needs, the next needs

felt are called safety and security need. These needs find expression in

such desires as economic security and protection prompted to work more.

Like physiological needs, these become inactive once they are satisfied.

III. SOCIAL NEEDS: Man is a social being. He is, therefore, interested in

social interaction, companionship, belongingness, tec. It is this socializing

and belongingness why individuals prefer to work in groups and especially

older people go to work.

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IV. SELF ESTEEM NEEDS: These needs refer to self-esteem and self-

respect. They include such needs which indicate self-confidence,

achievement, competence, knowledge and independence. The

organization. However, inability to fulfill these needs results in feeling like

inferiority, weakness and helplessness.

V. SELF ACTUALISATION NEEDS: This level represents the culmination of

all the lower, intermediate and higher needs of human beings. In other

words, the final step under the need hierarchy model is the need for self-

actualization. This refers to fulfillment. The word self-actualization was

coined by Kurt Goldstein and means to become actualized in what one is

potentially good at.

According to Maslow, the human need follow a definite sequence of

domination. The second need does not arise until the first is reasonably

satisfied, and the third need does not emerge until the first two needs have

been reasonably satisfied and it goes on. The other side of the need hierarchy

is that human needs are unlimited. However, Maslows need hierarchy theory is

not without its detractors.

2. Herzbergs Motivation Hygiene Theory

The psychologist Frederic Herzberg extended the work of Maslow and

proposed a new motivation theory popularly known as Herzbergs Motivation

Hygiene [Two Factors] Theory. Herzberg conducted a widely reported

motivational study on 200 accountants and engineers employed by firms in and

around Western Pennsylvania. He asked these people to describe two

important incidents at their jobs: [1] When did you feel particularly good about

your job and [2] when did you feel exceptionally bad about your job? He used

the critical incident method of obtaining data.

The responses when analyzed were found quite interesting and fairly

consistent. The replies respondents gave when they felt good about their jobs

were significantly different from the replies given when they felt bad. Reported

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good feelings were generally associated with Employee MotivationL, whereas

bad feeling with job dissatisfaction. Herzberg labeled the job satisfiers

motivators, and he called job dissatisfies hygiene or maintenance factors.

Taken together, the motivators and hygiene factors have become known as

Herzbergs two-factor theory of motivation.

According to Herzberg, the opposite of satisfaction is not dissatisfaction. The

underlying reason, he says, is that removal of dissatisfying characteristics from

a job does not necessarily make the job satisfying. He believes in the existence

of a dual continuum. The opposite of satisfaction is no satisfaction and the

opposite of dissatisfaction is no dissatisfaction.

According to Herzberg, todays motivators are tomorrows hygiene because the

later stop influencing the behavior of persons when they get them. Accordingly,

ones hygiene may be the motivator of another.

3. McClelland Need Theory

McClelland developed his theory based on Henry Murrays developed long list

of motives and manifest needs used in his early studies of personality.

McClellands need-theory is closely associated with learning theory, because

he believed that needs are learned or acquired by the kinds of events people

experienced in their environment and culture. He found that people who

acquire a particular need behave differently from those who do not have. His

theory focuses on Murrays three needs; achievement, power and affiliation.

a. Need for Achievement: This is the drive to excel, to achieve in relation to a

set of standard, and to strive to succeed. In other words, need for achievement

is a behavior directed towards competition with a standard of excellence.

McClelland found that people with a high need for achievement perform better

than those with a moderate or low need for achievement, and noted regional/

national differences in achievement motivation.

b. Need for Power: The need for power is concerned with making an impact

on others, the desire to influence others, the urge to change people, and the

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desire to make a difference in life. People with a high need for power are

people who like to be in control of people and events

c. Need for Affiliation: The need form affiliation is defined as a desire to

establish and maintain friendly and warm relations with other people.

*Summary chart of three need theories of motivation just discussed. The chart

shows the parallel relationship between the need s in each of the theories.

Maslows refers to higher-lower order needs, whereas Herzberg refers to

motivation and hygiene factor.

A. THEORIES BASED ON HUMAN NATURE

1. McGregors Participation Theory

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Douglas McGregor formulated two distinct views of human being based on

participation of workers. The first basically negative, labeled Theory X, and the

other basically positive, labeled Theory Y.

Theory X is based on the following assumptions:

i. People are by nature indolent. That is, they like to work as little as

possible.

ii. People lack ambition, dislike responsibility, and prefer to be directed

by others.

iii. People are inherently self-centered and indifferent to organizational

needs and goals.

iv. People are generally gullible and not very sharp and bright

Theory Y based on following assumes that:

i. People are not by nature passive or resistant to organizational goals.

ii. Thy want to assume responsibility.

iii. Thy want their organization to succeed.

iv. People are capable of directing their own behavior.

v. They have need for achievement.

McGregor tried to dramatize through his theory X and Y is to outline the

extremes to draw the fencing within which the organizational man is usually

seen to behave. The fact remains that no organizational man would actually

belong either to theory X or theory Y. In reality, he/she shares the traits of both.

What actually happens is that man swings from one set or properties to the

other with changes in his mood and motives in changing environment.

2. Urwicks Theory Z

Much after the propositions of theories X and Y by McGregor, the three

theorists- Urwick, Rangnekar, and Ouchi-propounded the third theory labeled

as Z theory. The two propositions in Urwickss theory are that:

i. Each individual should know the organizational goals precisely and

the amount of contribution through his effort towards these goals.

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ii. Each individual should also know that the relation of organizational

goals is going to satisfy his/her needs positively.

In Urwicks view, the above to make people ready to behave positively to

accomplish both organizational and individual goals

However, Ouchis Theory Z has attracted the lot of attention of management

practitioners as well as researchers. It must be noted that Z does not stand for

anything, is merely the last alphabet in the English Language.

Theory Z based on following four postulates:

i. Strong Bond between Organization and Employees

ii. Employee Participation and Involvement

iii. No Formal Organization Structure

iv. Human Resource Development

Ouchis Theory Z represents the adoption of Japanese management practices

[Group decision making, social cohesion, job security, holistic concern for

employees, etc.] by the American Companies. In India, Maruti-Suzuki, Hero-

Honda, etc apply the postulates of theory Z.

3. Argyris Theory

Argyris has developed his motivation theory based on proposition how

management practices affect the individual behavior and growth. In his view,

the seven changes taking place in an individual personality make him/her a

mature one. In other words, personality of individual develops from immaturity

to maturity as follows:

Immaturity Maturity

Passivity

Dependence

Capable of behaving in a

few ways

Shallow interest

Short-term perspective

Subordinate position

Activity

Independence

Capable of behaving in

many ways

Deep interest

Long-term perspective

Super ordinate position

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Lack of self-awareness Self-awareness and control

Argyris views that immaturity exists n individuals mainly because of

organizational setting and management practices such as task specialization,

chain of command, unity of direction, and span of management. In order to

make individuals grow mature, he proposes gradual shift from the existing

pyramidal organization structure to humanistic system; from existing

management system to the more flexible and participative management. He

states that such situation will satisfy not only their physiological and safety

needs, but also will motivate them to make ready to make more use of their

physiological and safety needs. But also will motivate them to make ready to

make more use of their potential in accomplishing organizational goals.

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C. THEORIES BASED ON EXPECTENCY OF HUMAN BEING

1. Vrooms Expectancy Theory

One of the most widely accepted explanations of motivation is offered by Victor

Vroom in his Expectancy Theory. It is a cognitive process theory of motivation.

The theory is founded on the basic notions that people will be motivated to

exert a high level of effort when they believe there are relationships between

the effort they put forth, the performance they achieve, and the

outcomes/rewards they receive.

Thus, the key constructs in the expectancy theory of motivation are:

i. Valence: Valence, according to Vroom, means the value or strength

one places on a particular outcome or reward.

ii. Expectancy: It relates efforts to performance.

iii. Instrumentality: By instrumentality, Vroom means, the belief that

performance is related to rewards.

The Vrooms motivation can also be expressed in the form of an equation as

follows:

Motivation = Valence Expectancy Instrumentality

Being the model multiplicative in nature, all the three variables must have high

positive values to imply motivated performance choice. If any one of the

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variables approaches to zero level, the possibility of the so motivated

performance also touches zero level.

However, Vrooms expectancy theory has its critics. The important ones are:

i. Critics like Porter and Lawler labeled it as a theory of cognitive hedonism

which proposes that individual cognitively chooses the course of action

that leads to the greatest degree of pleasure or the smallest degree of

pain.

ii. The assumption that people are rational and calculating makes the theory

idealistic.

iii. The expectancy theory does not describe individual and situationaldifferences.

But the valence or value people place on various rewards varies. For example,

one employee prefers salary to benefits, whereas another person prefers to just

the reverse. The valence for the same reward varies from situation to situation.

In spite of all these critics, the greatest point in the expectancy theory is that it

explains why a significant segment of workforce exerts low level of efforts in

carrying out job responsibilities.

2. Porter and Lawlers Expectancy Theory

Porter and Lawlers theory is an improvement over Vrooms expectancy theory.

They posit that motivation does not equal satisfaction or performance. The

model suggested by them encounters some of the simplistic traditional

assumptions made about the positive relationship between satisfaction and

performance. They proposed a multi-variate model to explain the complex

relationship that exists between satisfaction and performance. What is the main

point in Porter and Lawlers model is that effort or motivation does not lead

directly to performance. It is, in fact, mediated by abilities and traits and by role

perceptions. Ultimately, performance leads to satisfaction.

There are three main elements in this model. Briefly explained as follows,

i. Effort: Effort refers to the amount of energy an employee exerts on a

given task. How much effort an employee will put in a task is determined

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by two factors [1] Value of reward and [2] Perception of effort-reward

probability.

ii. Performance: Ones effort leads to his/her performance. Both may be

equal or may not be. However, the amount of performance is determined

by the amount of labor and the ability and role perception of the

employee. Thus, if an employee possesses less ability and / or makes

wrong role perception, his/her performance may be low in spite of his

putting in great efforts.

iii. Satisfaction: Performance leads to satisfaction. The level of satisfaction

depends upon the amount of rewards one achieves. If the amount of

actual rewards meet or exceed perceived equitable rewards, the

employee will feel satisfied. On the country, if actual rewards fall short of

perceived ones, he/she will be dissatisfied.

Rewards may be of two kind- intrinsic and extrinsic rewards. Examples of

intrinsic rewards are such as sense of accomplishment and self-actualization.

As regards extrinsic rewards, these may include working conditions and status.

A fair degree of research support that the intrinsic rewards are much morelikely to produce attitudes about satisfaction that are related to performance

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There is no denying of the fact that the motivation model proposed by Porter

and Lawler is quite complex than other model of motivation. In fact, motivation

itself is not a simple cause-effect relationship rather it is a complex

phenomenon. Porter and Lawler have attempted to measure variables such as

the values of possible rewards, the perception of effort-reward probabilities,

and role perceptions in deriving satisfaction. They recommended that the

managers should carefully reassess their reward system and structure. The

effort-performance-reward-satisfaction should be made integral to the entire

system of managing men in organization

3.3 THEORIES USED IN OIL SECTOR

1. Maslows Need Hierarchy Theory

2. Herzbergs Motivation Hygiene Theory

3. McClelland Need Theory

4. McGregors Participation Theory

5. Porter and Lawlers Expectancy Theory

6. Vrooms Expectancy Theory

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Theories in KOTAK MAHINDRA BANK

4.1 McClelland NEED THEORY USED IN KOTAK MAHINDRA BANKFOR

MOTIVATION

Management believed that needs are learned or acquired by the kinds of

events people experienced in their environment and culture. They found people

who acquire a particular need behave differently from those who do not have.

This theory focuses on Murrays three needs; achievement, power and

affiliation.

a. Need for Achievement: Need for achievement is a behavior directed

towards competition with a standard of excellence. McClelland found that

people with a high need for achievement perform better than those with a

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moderate or low need for achievement, and noted regional/ national differences

in achievement motivation. For example offer for higher incentives, offer for

gifts, etc.

b. Need for Power: The need for power is concerned with making an impact

on others, the desire to influence others, the urge to change people, and the

desire to make a difference in life. People with a high need for power are

people who like to be in control of people and events. This results in ultimate

satisfaction of man. For example offer for Promotion.

c. Need for Affiliation: The need form affiliation is defined as a desire toestablish and maintain friendly and warm relations with other people.

4.2 PERFORMANCE APPRAISALS AS MOTIVATION

Eagle view on performance means appraising the performance; which could be

first stepping stone forward achieving the objective of company. Performance

appraisal is the step where the management finds out how effective it has been

at hiring and placing employees. Performance appraisal can be either formal orinformal. Usage of formal system schedule regular sessions in which an

employees performance is discussed, and informal appraisals are unplanned. But

most organizations use a formal appraisal system.

BENEFITS OF PERFORMANCE APPRAISALS

For the one who is, Appraisal: (by this he can)

Know how they are working

Know what is expected of them

Receive recognition and praise.

Be hard and respected.

Receive help and encouragement

Appraiser: (by this he can)

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Improve their communications and relations with staff.

Full understanding the performance contribution.

Get to know performer better.

Have a consistent approach for giving more effective.

The importance of Performance Appraisal:

1. It unifies the appraisal procedure.

2. It provides information, which is useful in making and forming important

decisions.

3. It provides information form of record about rating.

4. It serves to stimulate and guide employees development.

5. A periodic and accurate appraisal constraint a supervision to be alert

and competent in his work.

Objectives of Performance Appraisal

Success of an organization depends upon 3ps product, process and people.

Here people play key role. And some people believe that human resource have

capability to appreciate with time. Hence if organization wants to ride on the

path of success, it must vigil on performance of its people.

Performance appraisal system is based on psychological behavior of people

which states that people perform for their feelings and responses and also the

performance appraisal plans are designed to meet the needs of the

organization and the individual. The future oriented performance appraisal is

concerned with the identification of employees training on development needs

and setting of new targets.

4.3 EMPLOYEE EMPOWERMENT

Introduction: In simple words, empowerment is giving power .the word

empower means to give the means, ability and authority.

Definition: Empowerment is any process that provides greater autonomy

through the sharing of relevant information and provision of control over factorsaffecting job performance.

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A participative process that uses the entire capacity of employees and is

designed to encourage increased commitment to the organizations

successes.

Approaches to empowerment: The real problem is how to empower

employees. Like other behavioral problems, the researchers have studied the

problem and have suggested five approaches to empowerment. These are,

1. Helping employees achieve job mastery [Giving proper training,

coaching and guide experience that will result in initial successes].

2. Allowing more control. [Giving them discretion over job performance and

then holding them accountable for outcomes].

3. Providing successful role models [Allowing them observe peers who

have already performed successfully on their jobs].

4. Using social reinforcement and persuasion [Giving praise,

encouragement and verbal feedback designed to raise self

confidence].

5. Giving emotional support [Providing reduction of stress and anxiety

through better definition, task assistance and honest caring].

4.4 BARRIERS TO EMPOWERNENT:

Of the several barriers to effective empowerment, the important ones are as

follows,

Some sort of organizational culture is found incongruent with the

concept of employees empowerment. In these organizations the

management philosophy is molded by the whims and fancies of the

CEO. These CEOs are hardly enlightened with education but enriched

by wealth. As such they follow dictatorship and run the administration

with an iron hand.

There are organizations where employees have no inclination towards

the concept of empowerment

Some employees may have fear in their minds that they will be punished

if they will take initiative in the matter of empowerment.

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Employees who are either under prolonged autocratic leadership or

possessing external locus of control, with the security of having some

one to tell them what to do and when to do, they will therefore resist

empowerment. The superior who are power hungry never would like to part their

authority with subordinate.

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4.5 CUSTOMER RELATIONSHIP [CR]

Meaning: It is a strategy used to learn more about customers' needs and

behaviors in order to develop stronger relationships with them. Good customer

relationships are at the heart of business success.CR is an integrated

information system that is used to plan, schedule and control the presales and

postsales activities in an organization. CR embraces all aspects of dealing with

prospects and customers, including the call center, sales force, marketing,

technical support and field service. The primary goal of CR is to improve long-

term growth and profitability through a better understanding of customer

behavior.

CR is both a business strategy and a set of discrete software tools and

technologies, with the goal of reducing costs, increasing revenue, identifying

new opportunities and channels for expansion, and improving customer value,

satisfaction, profitability, and retention.

There are three parts of application architecture of CR.

1. Operational CR: Operational CR means supporting the so-called "front

office" business processes, which include customer contact (sales,

marketing and service).

2. Analytical CR: In analytical CR, data gathered within operational CR

are analyzed to segment customers or to identify cross- and up-selling

potential.

3. Collaborative CR: Collaborative CR facilitates interactions with

customers through all channels (personal, letter, fax, phone, web, e-

mail) and supports co-ordination of employee teams and channels.

Advantages of CR:

Understanding the value of a particular customer during their

entire life cycle

Consistent structured and complete customer information,

customer identification

Greater emphasis on customer retention through loyalty-building

programmes

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Planning product cross-marketing strategies

Measuring marketing campaigns and sales activities impact

Optimizing, automation and control of marketing, sales and

service processes

Rationalization of operations saving time and money

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SCOPE OF STUDY:

This study is mainly confined to the customer of Kotak Mahindra

bank The study helps to employee motivation theory in kotak Mahindra

bank

The study helps employee to evaluate himself

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USEFULNESS AND IMPORTANCE OF STUDY

The importance and usefulness of the study is discussed as under: -

A great opportunity in banking sectors where the competition is

much increased.

There are attractive financial facilities provided by, at a very low

interest rate than others.

Opportunity in rural sector.

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INTRODUCTIO N

Think Investment Think Kotak

Banks like Kotak Mahindra, standard chartered, ICICI, HDFC, and Citibank

now bring your Bank Account and Debit card to your fingertips. With Mobile

commerce, you can perform a wide range of query-based transactions from

your Mobile Phone, without even making a call.

Kotak Mahindra is one of India's leading financial institutions, offering complete

financial solutions that encompass every sphere of life. From commercial

banking, to stock broking, to mutual funds, to life insurance, to investment

banking, the group caters to the financial needs of individuals and corporate.

The group has a net worth of over Rs.1, 800 crore and employs over 4,400

employees in its various businesses. With a presence in 82 cities in India and

offices in New York, London, Dubai and Mauritius, it services a customer base

of over 5, 00,000.

Kotak Mahindra has international partnerships with Goldman Sachs (one of the

world's largest investment banks and brokerage firms) and Old Mutual (a large

insurance, banking and asset management conglomerate).

The Kotak Mahindra Group was born in 1985 as Kotak Capital Management

Finance Limited. This company was promoted by Uday Kotak, Sidney A. Pinto

and Kotak & Company. Industrialists Harish Mahindra and Anand Mahindra

took a stake in 1986, and that's when the company changed its name to Kotak

Mahindra

Finance Limited. Since then it's been a steady and confident journey to growth

and success.

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1986 : Kotak Mahindra Finance Limited starts the activity of Bill

Discounting

1987 : Kotak Mahindra Finance Limited enters the Lease and Hire

Purchase market

1990 : The Auto Finance division is started

1991 : The Investment Banking Division is started. Takes over FICOM,one of Indias largest financial retail marketing networks

1992 : Enters the Funds Syndication sector

1995 : Brokerage and Distribution businesses incorporated into a

separate company - Kotak Securities. Investment Banking division

incorporated into a separate company - Kotak Mahindra Capital

Company

1996 : The Auto Finance Business is hived off into a separate

company - Kotak Mahindra Primus Limited. Kotak Mahindra takes a

significant stake in Ford Credit Kotak Mahindra Limited, for financing

Ford vehicles. The launch of Matrix Information Services Limited marks

the Groups entry into information distribution.

1998 : Enters the mutual fund market with the launch of Kotak

Mahindra Asset Management Company.

2000 : Kotak Mahindra ties up with Old Mutual plc. for the LifeInsurance business.

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Kotak Securities launches kotakstreet.com - its on-line broking site.

Formal

commencement of private equity activity through setting up of Kotak

Mahindra Venture Capital Fund.

2003 : Kotak Mahindra Finance Ltd. Converts to bank

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COMPANYS PROFILE

Established in 1984, The Kotak Mahindra Group has long been one of Indias

most reputed financial organizations. In Feb 2003, Kotak Mahindra FinanceLtd., the groups flagship company was given the license to carry on banking

business by the Reserve Bank of India (RBI).This approval creates banking

history since Kotak Mahindra Finance Ltd is the first company in India to

convert to a bank. The license authorizing the bank to carry on banking

business has been obtained from the RBI in tune with Section 22 of the

Banking Regulation Act 1949.

KMBL was promoted by Mr. Uday.S.Kotak, Kotak and Company Ltd and Mr.Sidney &A.A.Pinto under the name of Kotak Capital Management Finance Ltd

on 21st Nov 1985 and obtained a Certificate of Commencement of Business on

11th Feb 1986.

The bank customers have access to entire VISA network of 4500 ATMS in

India and 800000ATMS worldwide accepted in more than 56000

establishments across India and 10 million worldwide. The customer also has

access to over 800 ATMs with sharing arrangements with UTI BANK, of these

125 are in the NCR.

Key group companies and their businesses

Kotak Mahindra Bank

The Kotak Mahindra Group's flagship company, Kotak Mahindra Finance Ltd

which was established in 1985, was converted into a bank- Kotak Mahindra

Bank Ltd in March 2003 becoming the first Indian company to convert into a

Bank. Its banking operations offer a central platform for customer relationships

across the group's various businesses. The bank has presence in Commercial

Vehicles, Retail Finance, Corporate Banking, Treasury and Housing Finance.

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Kotak Mahindra Capital Company

Kotak Mahindra Capital Company Limited (KMCC) is India's premier

Investment Bank. KMCC's core business areas include Equity Issuances,

Mergers & Acquisitions, Structured Finance and Advisory Services.

Kotak Securities

Kotak Securities Ltd. is one of India's largest brokerage and securities

distribution houses. Over the years, Kotak Securities has been one of the

leading investment broking houses catering to the needs of both institutional

and non-institutional investor categories with presence all over the country

through franchisees and coordinators. Kotak Securities Ltd. offers online and

offline services based on well-researched expertise and financial products to

non-institutional investors.

Kotak Mahindra Prime

Kotak Mahindra Prime Limited (KMP) (formerly known as Kotak Mahindra

Primus Limited) has been formed with the objective of financing the retail and

wholesale trade of passenger and multi utility vehicles in India. KMP offers

customers retail finance for both new as well as used cars and wholesale

finance to dealers in the automobile trade. KMP continues to be among the

leading car finance companies in India.

Kotak Mahindra Asset Management Company

Kotak Mahindra Asset Management Company Kotak Mahindra Asset

Management Company (KMAMC), a subsidiary of Kotak Mahindra Bank, is the

asset manager for Kotak Mahindra Mutual Fund (KMMF). KMMF manages

funds in excess of Rs 20,800 crore and offers schemes catering to investors

with varying risk-return profiles. It was the first fund house in the country to

launch a dedicated gilt scheme investing only in government securities.

Kotak Mahindra Old Mutual Life Insurance Limited

Kotak Mahindra Old Mutual Life Insurance Limited is a joint venture between

Kotak Mahindra Bank Ltd. and Old Mutual plc. Kotak Life Insurance helps

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customers to take important financial decisions at every stage in life by offering

them a wide range of innovative life insurance products, to make them

financially independent.

BOARD OF DIRECTORS

Mr. K.M.Gherda Executive Chairman

Mr. Uday Kotak Executive Vice Chairman and Managing Director

Mr. Anand Mahindra Co Promoter of Kotak Mahindra Bank and

Vice Chairman and Managing Director of Mahindra and Mahindra

Mr. Cyril Shroff Co Promoter

Mr. Pradeep N Kotak Agri Division of Kotak and Company Limited

Dr. Shanker Acharya

Mr. Shivaji Dam Managing Director Kotak Mahindra Old Mutual Life

Insurance Limited

Mr. C.Jayaram Executive Director

Mr. Dipak Gupta Executive Director

Product Detail

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Kotak Mah ind ra Bank i s one o f the p rominen t subs id ia r ies o f

K o tak M a hin dra g rou p . T h e a c ti v i ti e s o f t h e c o mp a ny b e in g

p ar al le l t o i ts ob je ct iv e ar e v er y w id e a nd c ove r a ll t he

c o m po n en t s o f a B a nk . T h e B as i c a re a o f O p era t io n s i s t h e

B a n k in g b u s i n e s s , o t h e r p ro d u c t s a re m e a n t f o r t h e re g u la r

revenue genera t ion . Be ing a Bank ing house, the company is in

regu la r touch w i th Bank ing Accounts , Inves tment Serv ices ,

Convenience Banking and Other Serv ices.

They offer complete solutions that address all your financial requirements,

whether you're an individual or a firm. From everyday banking to long term

investments their offering covers it all. This wide range of products is

delivered to you with a genuine understanding of your specific need and warm,

personalised service.

Kotak Mahindra Bank, it's not about selling you many different products it's

about working out a holistic, pragmatic solution that addresses your financial

needs. Through their varied products,they commit themselves to becoming

banker to the customer rather than being asset financier to our customers.

Banking Accounts

There are three types of banking account:

Savings Account

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Current Account

Term Deposit

SAVINGS ACCOUNT

Choose from our range of Savings Accounts

KOTAK MAHINDRA has got a variety of options of savings accounts to choose

from for its customers according to their convenience and requirements .These

savings accounts offer attractive returns along with personalized banking

services at three convenient average quarterly balances(AQB)levels of Rs.

10000 (KOTAK EDGE SAVINGS ACCOUNT),Rs. 20000 (KOTAK PRO

SAVINGS ACCOUNT) and at Rs75000(KOTAK ACE SAVINGS

ACCOUNT).The average quarterly balance levels as well the corresponding

services and benefits try to ensure the various customer needs and

requirements.

Thus the three account opening options in savings account are as mentioned

above:

EDGE SAVINGS ACCOUNT: Kotak Mahindra Banks Edge

Savings Account is a complete financial package customized to suit

individual banking needs. Its constant endeavour is to enable regular

financial transactions through online platform so that most of payments

can be made directly through your account or card.

Features & Benefits

Wide ATM access through the Kotak Mahindra Bank Debit Card

One can walk into any KOTAK or HDFC Bank ATMs to withdraw cash or

enquire balance at no extra charge!

Multiple Access Channels Access

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An account through phone, mobile phone or internet to get information about

account balance or track transactions. One can even transfer funds through

Phone Banking or Net Banking.

Financial payments facilitated through the savings account

Use the free Payment Gateway to make online payments for utility bills, credit

cards, online trading of shares or even online shopping.

Quick and easy funds transfer

Quick funds transfer to a third party account with another Bank is available

across 15 locations through Net Banking. Also get a multi-city cheque book so

that money from account is received by the beneficiary in the fastest possible

time.

Free investment account

One can open an investment account, and use the Net Banking facility to

purchase/redeem mutual funds online while directly debiting / crediting your

Bank Account. Besides this you get a consolidated view of all your mutual fund

investments across schemes with updated returns status, latest NAV

information and research reports.

Attractive returns

Earn better returns in your savings account, with our 2-Way Sweep facility that

automatically sweeps out idle funds, above a threshold, from your account into

Term Deposits. These Term Deposits sweep back into your account to meet

fund requirements when your withdrawals exceed the balance available in your

account, thereby providing you maximum liquidity.

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PRO SAVINGS ACCOUNT:

Kotak Mahindra Banks Pro Savings Account is an account packed with

powerful features to provide a superior banking experience at a very

comfortable balance requirement. They provide a relationship manager who will

specifically take care of banking and investment needs.

Features & Benefits

Free ATM access all domestic VISA ATM network

Walk into any VISA ATM in India to check balance or withdraw cash absolutely

free. no longer have to worry about locating your Bank or Partner Bank ATM

Use the first VISA ATM that you spot, for cash withdrawal or balance enquiry

transactions.

Multiple access channels

Access your account through phone, mobile phone or internet to get

information on your account balance or track your transactions. You can even

transfer funds through Phone Banking or Net Banking.

Free investment account

One can open an investment account, and use the Net Banking facility to

purchase/redeem mutual funds online while directly debiting / crediting bank

account. Besides this get a consolidated view of all the mutual fund

investments across schemes with updated returns status, latest NAV

information and research reports.

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Use our free Payment Gateway to make online payments for utility bills, credit

cards, online trading of shares or even online shopping.


Quick funds transfer to a third party account with another Bank is available

across 15 locations through Net Banking. Also get a multi-city cheque book so

that money from account is received by the beneficiary in the fastest possible

time

Attractive returns



Term Deposits. These Term Deposits sweep back into your account to meet

fund requirements when your withdrawals exceed the balance available in your

account, thereby providing you maximum liquidity.

Dedicated relationship manager

You get a one point contact for all your banking related queries and

transactions. Your relationship manager will also help you with financial

planning and sound investment decisions.

Free banking transactions

You can issue demand drafts or send cheques for collection on branch

locations without any charge to your account.

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ACE SAVINGS ACOUNT:

Kotak Mahindra Bank's Ace Savings Account has been designed as a gateway

to a world of financial benefits and privileged banking transactions. The account

carries benefits ranging from personal investment advisory services to

concierge services to free banking transactions. Onewill find that this package

of services and privileges is unmatched by any other savings account in the

market.

Features & Benefits

Free access at all domestic and international VISA ATMs

No longer have to worry about locating your Bank or Partner Bank ATM - Use

the first VISA ATM that you spot, for free cash withdrawal or balance enquiry

transactions. So walk into any VISA ATM in India or abroad to withdraw cash or

for balance enquiry.

Multiple access channels

Access the account anytime through land line, mobile phone or internet to get

information on account balance or track transactions. One can even transfer

funds through Phone Banking or Net Banking.


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Use the free Kotak Payment Gateway to make online payments for utility bills,

credit cards, online trading of shares or even online shopping. All this at the

click of a mouse!


Transfer funds easily and with speed, to a beneficiary account at another bank.

One can avail of this facility by walking into any of branches or by simple

logging on to Net Banking. Also get a free multi-city cheque book so that

money from your account is transferred to the beneficiary's account at any of

branch locations, in the fastest possible time.

Free banking transactions

One can issue demand drafts or send cheques for collection at all branches for

no extra charge.

Attractive returns



Term Deposits. These Term Deposits sweep back into account to meet fund

requirements when withdrawals exceed the balance available in the account,

thereby providing maximum liquidity.

CURRENT ACCOUNT

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Kotak Mahindra Bank offers unparalleled advantages with its three Current

Account offerings. Whether small/ mid size business or an enterprise spread

across multiple locations in the country, would find a Current Account that's just

designed for you. These Current accounts offer attractive returns along with

personalized banking services at three convenient average quarterly

balances(AQB)levels of Rs. 25000 (KOTAK EDGE SAVINGS ACCOUNT),Rs.

50000 (KOTAK PRO SAVINGS ACCOUNT) and at Rs250000(KOTAK ACE

SAVINGS ACCOUNT).The average quarterly balance levels as well the

corresponding services and benefits try to ensure the various customer needs

and requirements. With features ranging from Free DDs, Free Cheque

Collection, Free At -Par Cheque facility to Free Trading Account & free Demat

Account, and more!

Thus the three account opening options in savings account are as mentioned

above:

Edge Current Account

In need of a well equipped bank account to keep pace in all the business

endeavors. They offer the Kotak Edge Current Account, armed with Kotak 2-

Way Sweep and the entire gamut of Banking Privileges, providing that extra

edge to get ahead. The feature rich Kotak Edge Current Account is the ideal

way to make money work harder.

Features & Benefits

Multi City Banking

Current account/s with Kotak Mahindra Bank will be recognized in every other

branch. One can just walk into a Kotak Mahindra Bank branch in any of our

branches across country to satisfy all the banking needs.

2 - Way Sweep* : Term Deposit linked Current Account

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Kotak 2-Way Sweep ensures that money never stops working for you. Daily

balances, above a threshold level, in Current Account are automatically swept

out into Term Deposits (TD). This 'swept out amount' is brought back into

account to meet fund requirements when withdrawals exceed the balance

available in the account (or when the account balance goes below the specified

threshold level.) With Kotak 2-Way Sweep you enjoy the twin advantages of

attractive returns & maximum liquidity.

Free Demand Drafts and Pay Orders

Enjoy the benefit of our free Demand Drafts, payable at Kotak Mahindra Bank

Branch location in India.

At-par Cheques

Get free At-par Cheques that are treated as 'local clearing' cheques across all

branch locations. All these at nominal costs.

Cheque Collection

All Outstation cheques, drawn on any of branch locations, are collected 'at

nominal charge' for you. The strong network of correspondent banks enables

us to collect cheques from 1600 locations across India at faster speed and

minimal cost

Mobile Banking and Alerts

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Our Mobile Banking & Alerts service enables to access bank account on Mobile Phone.

One can access all your standing instructions (SI), any large credits or debits, available

balance, balance below AQB, any SI failure and SIs successfully executed will be

intimated to you via SMS

PRO Current AccountYou need a well equipped bank account to keep pace with you in the ever

changing business scenario. We offer you the Kotak Pro Current

Account, armed with Kotak 2-Way Sweep, as well as an entire gamut of

Banking Privileges and 'user-friendly' Convenience Banking facilities.

The feature rich Kotak Pro Current Account is the ideal way to make

your money work harder.

Key Features

Dedicated Relationship Manager

Free Demand Drafts & Pay Orders>

Free At Home Services

Better Forex rates and Efficient Trade Services

ACE Current Account

In the need of a well equipped bank account to keep pace with you in the ever

changing business scenario. They offer you the Kotak Ace Current Account,

armed with Business benefits and exclusive Ace Privileges and an entire gamut

of banking conveniences especially designed for you. The feature rich Kotak

Ace Account is the ideal way to make money work harder

Term Deposits

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Key Features

Ease and convenience of operation

Liquidity through overdraft or sweep-in facility

No penalty on pre-mature encashment

Nomination facility available

Give your portfolio stability of returns and safety and liquidity. Invest in Kotak

Bank Term Deposit. It offer attractive returns on term deposits and investing in

them is really simple and convenient.

Features & Benefits

Ease and convenience of operation

For the first time in India, New to Bank customer can also apply online for term

deposit.

An existing customer,can place a term deposit through Phone Banking or Net

Banking. What's more, one can even renew this deposit by placing an

instruction over phone. Needless to mention, he can do all this and more by

walking across into any of branches.

Liquidity through overdraft or sweep-in facility

Deposit will be available to you should you need them in case of an

emergency. One can avail upto 85% overdraft against term by paying 2%

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above deposit rate. This facility is available for deposits above Rs.50,000 for a

tenure of 181 days or more. One can also choose to link term

deposit to savings / current account, whereby if need be, term deposit will

automatically be encashed to meet withdrawal requirement.

No penalty on pre-mature encashment

In case term deposit is pre-maturely encashed,one will earn interest at the rate

prevailing on the date of deposit for the withdrawn amount.

Nomination facility available

One can avail this facility for each & every account that open with us i.e.

nominate different persons for different term deposit accounts can choose to

change the nominee through a declaration in the appropriate form to revise the

nomination during the term of the deposit.

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INVETSMENT SERVICES

Making your money grow

At Kotak Mahindra Bank,can recognise that financial needs vary, not just

amongst individuals, but across the different stages of your life. They have

years of experience in helping people put together an investment portfolio that

works best for them.

DEMAT

Key Features

Efficient depository services that allow you to hold your shares in

convenient, "demat" formats

Leverage opportunities in the stock-market when you spot them

It offers streamlined, efficient depository services that allow to hold shares in

the convenient "demat" formats and leverage opportunities in the stock-market

when you spot them Being a brokerage house, the company is in regular touch

with the share market and its relative indexes like NSE &BSE, NCDEX. NSDL,

CSDL. Let s und erstan d the re la t i ve ter ms :

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SEBI (S tock Exchange board o f Ind ia )

I t c h e c k o u t o n N S E a n d B S E a n d a l l t y p e o f s h a r e t r a d i n g

(Both p r imary and secondary marke t )

NSE &BSE : - Kotak Mahindra Bank al lo ws to cos tu me r to tr ad e

in s h a re w i t h N S E a n d B S E b o th ( i n p r im a ry a n d s e c o n d a ry

marke t bo th ) . In BSE cos tumer can t rade in 2452 s tocks and

in N S E c o s tu m e r c a n t r a d e i n 9 3 3 c o m p a n ie s . T h e i n d e x o f

NSE is N i f ty and fo r BSE Sensex

NSDL AND CSDLKotak Mahindra Bank al low to cost ume r to inv est in mut ual fun d

a n d b o nd s . N S DL (N at i o na l s e cu r i ty d e po s it o ry l im i te d ) a n d

C S D L (C e n t ra l s e c u r i t y d e p o s i t o r y l im i t e d c h e c k o u t o n t h i s

type o f inves tment

MCX AND NCDEX

Kotak Mahindra Bank als o al lo w to cos tu me r to tr ade in co mm odi ty

by MCX (M ul t i C o mm o d it y e x ch a ng e ) a n d NCDEX (Nat iona l

C o mm o d it y d a il y e x ch a ng e . I n N C DE X 5 5 c o mm o di t y a re t o

t rade

PRODUCTS OFFERED BY KOTAK MAHINRA

BANK

The following are the various products of Kotak Mahindra Bank:

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DEMAT & ON LINE TRADING ACCOUNT:

The 3-in-1 account integrates your banking, broking and demat accounts. This

enables you to trade in shares without going through the hassles of tracking

settlement cycles, writing cheques and Transfer Instructions, chasing your

broker for cheques or Transfer Instructions etc.

INITIAL PUBLIC OFFERS(IPOS)

In the above produc ts we have d iscussed inves tment in equ i ty

th rough secondary marke ts .ano ther way o f inves t ing in equ i ty

m a rk et s i s t hr ou gh t he p r im ar y m ar k et r ou t e . wh en ev er a

c om p an y c om es o ut w i th a n i ni t ia l p ub l ic o ff er i ng y ou m a y

c ho os e t o a pp ly f or t he s ha re . B as ed o n n um be r o f v al id

app l i ca t ion rece ived , the company wou ld then a l l o t the sha re

to app l ican ts .

T h e o f f l i n e w a y o f i n v e s t i n g i n a n IP O i s b y f i l l i n g p h y s i c a l

app l ica t ion fo rms, cheques . And submi t t ing the fo rms th rough

your b roker . Wi th KOTAK MAHINDRA BANK a l l you have to do

is f i l l ing number o f share on the s i te and submi t .

DERIVATIVES

C ustom ers wi th d i ffe r en t t ypes of r isk p r of il e can use

der iva t ives .

H ed gi ng t he c as h m ar k et p os it i on i de al f or l ow r is k

pro f i le .

Tak ing advan tage o f a rb i t rage oppo r tun i t y i n equ i t y and

der iva t ives marke ts idea l fo r low r isk p ro f i le

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T ak in g a v ie w o n s to ck /i nd ex f or a s l on g a s 3 m on th

per iod med ium r isk p ro f i le

Specu la t ive t rad ing-h igh r isk p ro f i le

K O TA K M A HIN DR A B A N K o f f e r s o n l in e i n ve s tm e n t i n f u t ure

and op t ion , w i th bene f i t o f au toma ted se t t l emen ts and on l ine

r isk mon i to r ing sys tem

Mutual Funds

Key Features

Assitance at every step of the investment process

An experienced research team to analyse and research the Mutual

Funds available in the market

Portfolio assistance

Team analyses and researches the Mutual Funds available in the market,

helping you make more informed decisions. The recommendations take into

account all relevant factors including the investment philosophy of the Asset

Management Company, portfolio quality, risk-adjusted returns and market

trends.

The Mutual funds on advisory list range form Debt to Equity funds and are

drawn from top performing schemes of renowned Mutual Fund houses like

Franklin Templeton, Kotak, Reliance, Prudential ICICI etc.RelationshipManager will recommend the funds that suit the investment objectives.

Ins tead o f buy ing sha res o f d i f f e ren t compan ies t rack ing the

p ri ce m ovem en t s p er fo rm an ce of t he co mp an y, gr ow th

p r os pe ct s o f t h e i nd us t ri es e tc . a nd t h en t ak i ng y ou r o wn

b u y/ s el l d ec i si on , y ou m a y c on si d er m ak i ng i nv es tm e nt i n

equ i ty /deb t marke t th rough the mutua l fund rou te . Mutua l fund

i s a S EB I r eg is te re d e nt it y t ha t p oo ls t he m on ey o f m an y

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i n d i v i d u a l s i n v e s to r s t o p u rc h a s e t h e s t o c k s , b o n d o r o t h e r

f inanc ia l ins t ruments .p ro fess iona l

Managemen t and d ive rs i f i ca t ion a re the two p r imary bene f i t s

o f mu tua l fund inves t ing . Fo r beg inne rs , o r fo r cus tomer who

are unab le to spend t ime on resea rch ing s tocks themse lves ,

mutua l fund is an idea l rou te fo r a

i nv est men t i n e qu it y. I nv est in g i n m ut ual f un ds o ff li ne

i n v o l v e s , t r a c k i n g d o w n t h e a g e n t s a p p o in te d b y t h e m u tu a l

funds AMCs , f i l l i ng leng thy fo rms , wr i t i ng cheque , rush ing to

t h e o f f i c e o f t h e a g e n t s b e f o r e t h e c u t o f f t i m i n g t o e n s u r e

tha t the des i red NAV is a l lo t ted

Bancassurance

They offer a range of carefully selected insurance policies across the entire

spectrum of life insurance products Relationship managers will analyze your

insurance needs and develop the solution that works best for you.

KOTAK INSURANCE has a wide array of insurance plans that have been

designed with the philosophy that different individuals are bound to have

differing insurance needs.

The ideal insurance plan is one that addresses the exact insurance needs of

the individual that will depend on the age and life stage of the individual apart

from a host of other factors.

The various plans offered by KOTAK INSURANCE are as follows:

Kotak Smart Advantage Plan

Kotak Eternal Life Plans

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Kotak Headstart Child Plans

Kotak Safe Investment Plan II

Kotak Flexi Plan

Kotak Easy Growth Plan

Kotak Capital Multiplier Plan

Kotak Term Plan

Kotak Preferred Term Plan

CONVENIENCE BANKING

Anywhere, Anytime Banking

In today's day and age time is money. You work hard and have a busy

schedule. Doing banking should be easy and convenient and not add to

worries.

Kotak Mahindra Bank realize this and have specially tailored a wide range of

value added products and services to make money work for you. These,

coupled with the highest standard of customer care will make life simpler and

easier.

Multiple Banking Channels

Today the technology driven banks are finding various means to reduce costs

and reach out to as many customers as possible spread over a diverse area.This has led to using multiple channels of delivery of their products.

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ATM (Automatic Teller Machine) :

An ATM is basically a machine that can deliver cash to the customers on

demand after authentication. However, nowadays we have ATMs that are used

to vend different FMCG products also. An ATM does the basic function of a

banks branch, i.e., delivering money on demand. Hence setting of newer

branches is not required thereby significantly lowering infrastructure costs.

Cost reduction is however possible only when these machines are used. In

India, the average cash withdrawal per ATM per day has fallen from 100 last

years to 70 this year. Though the number of ATMs has increased since last

year, it is not in sync with the number of cards issued. Also, there are many

dormant cardholders who do not use the ATMs and prefer the teller counters.

In spite of these odds, Indian banks are increasing the number of ATMs at a

feverish pace. These machines also hold the keys to future operational

efficiency

Account holders of Kotak Mahindra Bank Saving Account having Visa Electron

Debit Card can access other Banks ATM machines unlimited times per month

for free, after that the Account holder has to pay nothing for the transaction. But

also holders of ATM cards cannot access machines belonging to other Banks.

The number of ATM machines installed by Kotak Mahindra Bank is 20 in Delhi

and the All India tally is 156 machines. When this figure is compared to ICICI

Bank which has thrice the number of machines in Delhi or HDFC Bank which

has nearly twice the number of machines in Delhi, this is worrying for Kotak

Mahindra Bank.

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Growth In ATM Machine With Increased Use

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NAME OF BANK NUMBER OF ATM

MACHINES (ALL

INDIA BASIS)

NUMBER OF ATM

MACHINES (DELHI)

KOTAK MAHINDRA

Bank

122 26

ICICI Bank 560 112

HDFC Bank 625 66

IDBI 350 43

CITIBANK 160 22

HSBC 103 21

AMN Amro 40 13

UTI 507 -GTB 250 20


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The Table below shows the number of ATM machines belonging to various

banks in India:-

From the above table we can clearly see that HDFC Bank is the Bank which

has highest number of ATM machines on All India basis, this is followed by

ICICI Bank, then UTI.

When we look at the concentration of machines in the Delhi Region we see that

out of ICICI Banks 560 Machines 112 are located in Delhi representing 20%.

The corresponding figure for Kotak Mahindra Bank is 14.2%. HDFC Bank is

11.8%, IDBI Bank is 12.3%, and CITIBANK is 13.75%.

Net Banking:

Net banking means carrying out banking transactions via the Internet. Thus the

need for a branch is completely eliminated by technology. Also this helps in

serving the customer better and tailoring products better suited for the

customer.

A customer can view his account details, transaction history, order drafts,

electronically make payments, transfer funds, check his account position and

electronically communicate with the bank through the Internet for which he may

have wanted to visit the bank branch.

Net banking helps a bank spread its reach to the entire world at a fraction of the

cost

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Phone Banking:

This means carrying out of banking transaction through the telephone. A

customer can call up the banks help line or phone banking number to conduct

transactions like transfer of funds, making payments, checking

of account balance, ordering cheques, etc. This also eliminates the customer of

the need to visit the banks branch.

Mobile Banking:

Banks can now help a customer conduct certain transactions through the

Mobile Phone with the help of technologies like WAP, SMS, etc. This helps a

bank to combine the Internet and telephone and leverage it to cut costs and at

the same time provide its customer the convenience. Thus it can be seen that

tech savvy banks are tapping the entire above alternative channels to cut costs

improve customer satisfaction

SMS Banking

Kotak Mahindra Bank's SMS Banking service enables you to access your bank

account, investment account and demat account on your Mobile Phone. Now

get latest update on your account balance, salary credits, large debits, large

credits, holding value and much more, on your mobile anytime.

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INTERNET BANKING

INTRODUCTION

The Internet banking is changing the banking industry and is having the major

effects on banking relationships. Internet banking involves use of Internet for

delivery of banking products & services. It falls into four main categories, from

Level 1 - minimum functionality sites that offer only access to deposit account

data - to Level 4 sites - highly sophisticated offerings enabling integrated sales

of additional products and access to other financial services- such as

investment and insurance.

DRIVERS OF CHANGE

Advantages previously held by large financial institutions have shrunk

considerably. The Internet has leveled the playing field and afforded open

access to customers in the global marketplace. Internet banking is a cost-

effective delivery channel for financial institutions. Consumers are embracing

the many benefits of Internet banking. Access to one's accounts at anytime and

from any location via the World Wide Web is a convenience unknown a short

time ago.

The primary drivers of Internet banking are:

Improve customer access

Facilitate the offering of more services

Increase customer loyalty

Attract new customers

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MAIN CONCERNS IN INTERNET BANKING

In a survey conducted by the Online Banking Association, member institutions

rated security as the most important issue of online banking. There is a dual

requirement to protect customers' privacy and protect against fraud.

1. A multi-layered security architecture comprising firewalls, filtering routers,

encryption and digital certification ensures that account information is protected

from unauthorized access:

Firewalls and filtering routers ensure that only the legitimate Internet users are

allowed to access the system.

2 Encryption techniques used by the bank (including the sophisticated public

key encryption) would ensure that privacy of data flowing between the browser

and the Infinity system is protected.

3 Digital certification procedures provide the assurance that the data you

receive is from the Infinity system.

STRATEGIC ALLIANCES ENTERED BY KOTAK MAHINDRA

BANK

NATIONAL ATM ALLIANCES

The Institute for Development and Research in Banking Technology (IDRBT), a

group established by the Reserve Bank of India (RBI) in 1996, has planned to

set up a national switch to hook up all of the country's 10,000-odd ATMs.

The idea of establishing ATM interconnectivity through a national switch has

been approved by the information chiefs of various Banks.

The expected cost of transactions routed through the switch is to be under 10

rupees (21 cents U.S.) each, due to the high volumes of transactions -- almost100,000 per day.

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CASH NET

It is an Alliance between Citibank, Industrial Development Bank of India, KotakMahindra Bank and UTI Bank. This is the country's first independent shared

ATM network.

IDBI Bank received permission from the Reserve Bank (RBI) to serve as the

network's settlement bank.

Cash net will give access to more than 1,300 ATMs for more than 6 million

debit cardholders of the member banks. The Alliance would constitute about a

third of the total card base and 15 percent of the ATM base in the country.

Kotak Mahindra Bank and REDIFF.com

REDIFF.com India and Kotak Mahindra Bank have entered into an alliance to

provide online and offline banking and related services to the Indian consumer.

The alliance will enable information on the entire range of the banks consumer

banking products to be made available to the 6.4 million online customers of

Rediff.com.

The services offered include detailed information on various deposits, loans

and mortgages, credit cards, mutual funds and insurance products of the bank.

Users will be able to directly interact with the bank and request for products

online

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OTHER SERVICES

BANKING HOURS

Kotak Mahindra Bank Account holders have been able to infer that Branch

Banking is the second most Frequent Point of Interaction with the Bank. The

Average Banking Hours is a very important aspect associated with any Bank. In

todays fast paced life where people who hold Accounts with the Bank are busy

working it is important that they can find a way to visit the Bank without having

to miss out on work.

The Average Banking Hours of Kotak Mahindra Bank is from 9am to 7pm, the

Bank is open to the public for ten hours. These timings are convenient for

especially those Account holders who are working, these people can visit the

Bank after their Office finishes.

Apart from the Average Banking Hours Kotak Mahindra Bank offers to its

Account holders 24 Hour Branch, 365 Days Branch and the facility of Sunday

Banking.

Kotak Mahindra Bank is the only Bank which offers a 24 Hour Branch in India,

this is a big boon for people who cannot take the time out to visit the Bank

during the normal working hours and is also very handy during emergencies.

The 365 Day Branch of Kotak Mahindra Bank is also unique and the only other

Bank offering this service is ABN Amro , this Branch is open regardless of the

fact that it is a Sunday or a public holiday.

Sunday Banking is very useful for people who are busy throughout the week

and the only day when they find the time is Sunday. Other Banks offering this

service apart from Kotak Mahindra Bank are ABN Amro and CITIBANK.

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Best Compliments Card the perfect gift

Introducing Best Compliments Card - the prepaid card from Kotak Mahindra

Bank. It lets your loved ones choose their own gift or shop or enjoy at any

place that accepts Visa cards, be it a shopping mall, a restaurant or a

multiplex. So go ahead and give someone the perfect gift!

No Kotak Mahindra Bank account required

Not restricted to a single brand or outlet - accepted at over 3 lakhs

merchant establishments in India that accept Visa cards

Can be used at your convenience - no need to spend the entire value in

a single purchase

Attractively packaged and ready-to-gift

Available at all Kotak Mahindra Bank branches

Valid for two years from date of issue of card

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OBJECTIVES OF THE STUDY

The objectives of this project are as under:

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1. T o find out What motivates employees most?

2. to find out Do you have proper materials and equipment you need to do

work right ?

3. To find out Do you give your opinion and it seems to be counted?

4. To find out In the last one year have you had any opportunity at work to

grow and learn?

5. To find out find lack of communication between you and your superiors ?

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LITERATURE REVIEW

This Summer Training Project Report has been conducted on the topic titled

EMPLOYEE MOTIVATION IN KOTAK MAHINDRA BANKas the part of the

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RESEARCH DESIGN

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Research in common parlance refers to search of knowledge. In other words,

research means a search for facts-answers to questions and solution to the

problem. It is a purposive investigation. It is an organized inquiry. The

advanced learners dictionary of current English lays down the meaning of

research as a careful investigation or inquiry especially through search for new

facts in any branch of knowledge.

Research Design is the framework or plan for a study that is used as a guide in

collecting and analyzing the data. It is blueprint that is followed in completing a

study. In other words, it is the framework of the project that stipulates what

information is to be collected from which sources by what procedures.

Designing is preliminary step in every activity. It provides a picture for the whole

before starting of the work.

RESEARCH PROCESS FOLLOWED

Review the Literature

Where F = feed back [Helps in controlling the sub-system to which it is

transmitted]

FF = feed forward [Serves the vital function of providing criteria

for

evaluation]

kotak Mahindra bank

67

Defineresearchproblem

Reviewconcepts& theories

Reviewpreviousresearchfindings

Formulatehypothesis

Designresearch(includingsampledesign

CollectData

AnalyzeData

Interpret &ReportWriting

FF

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METHODOLOGY ADOPTED

Research methodology may be understood as all those methods/techniquesthat are used for conduction of research. Thus it refers to the methods the

researchers use in performing research operations. In other words, all those

methods, which are used by the researchers during the course of studying his

research problem, are termed as research methods. Since the object of

research is to arrive at a solution for a given problem, the available data and

the unknown aspects of the problem have to be related to each other to make a

solution possible.

1. RESEARCH DESIGN- The study is all about the employee motivation

of KOTAK MAHINDRA BANK.. The basics of the

study is to inculcate the satisfaction level of the employees regarding

EMPLOYEE MOTIVATION procedure that is adopted by the company to train

its employees. The data collection took place with the help of the primary i.e.

questionnaires as well as the secondary data. Exploratory design is used for

this research.

2. SAMPLE DESIGN

UNIVERSE OF STUDY- Universe cover the whole defined finite on

which the study is the based. The whole study is carried in KOTAK

MAHINDRA BANK LTD. the universe of the study was i.e.

employees .

SAMPLING UNITES- The sampling units of my research study

was within the organization that is KOTAK MAHINDRA BANK LTD.

SOURCE LIST- The research source list is all the employees

working in the KOTAK MAHINDRA BANK LTD..

SAMPLE SIZE- Sample size of my research is 50 samples.

SAMPLE METHODS- The sample has been collected by the

questionnaire, and through observation. Random sampling is used.

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3. TOOLS FOR DATA COLLECTION-In this study; used primary data

through questionnaires and as well as observational methods. Secondary

data through web sites, technical & trade journals, books magazines &

newspapers.

.

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DATA ANALYSIS AND INTERPRETATION

The data, after collection, has to be processed and analyzed in accordance

with the objective laid down for the purpose of the research work. This isessential for ensuring that we have all relevant data for making contemplated

comparisons and analysis. The term analysis refers to the computation of

certain measures like editing, coding, classification and tabulation of collected

data so that they are amenable to analysis along with searching for patterns of

relationship that exist among data-groups. The term interpretation refers to the

task of drawing inferences from the collected data after an analytical and/or

experimental study. In fact, it is a search for broader meaning of research

findings.

There are various methods of analyzing the data. But in this project work, I

used Bar charts & Pie charts for analyzing the collected data, which is prepared

by using Excel Sheet. In this project work, Pie charts & Bar charts are prepared

with the help of collected data, which is being collected through [your

sources]. The graphical presentation of the data is helpful in understanding the

each & every aspect of the collected data very easily.

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DATA ANALYSIS

The following observations are done on the basis of responses got from all

employees. The questionnaire provided to employees is given in Chapter 10

ANNEXTURE.

1. Respondent by age.

Objective: To know different motivational theories to be used on different age

group of employees, because same motivational technique can not motivate all

employees varying in age group.

Sr. No. Age Group Respondent Percentage

1 15-25 9 18 %

2 25-35 29 58 %

3 35-45 10 20 %

4 45 and

above

2 4 %

Total 50 100%

Graphical Representation:

Conclusion: Maximum employee belongs to 25-35 age group as they are

highly job oriented so this age group needs maximum motivation to improve

their performance.

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2. Respondent by Date of Joining.

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Objective: To know the experience and stability of employee in KOTAK

MAHINDRA BANK

Sr. No Date of joining Respondents Percentage

1 2010-2011 40 80 %

2 2009-2010 10 20 %

3 2008 and before 0 0 %

Total 50 100%


Conclusion: With this graph we get to know that maximum employee joined

KOTAK MAHINDRA BANK in the year of 2010 2011.

3. Respondent by Department.

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Objective: To know number of employees working in different department, so

that we could get to know motivational hierarchy used in KOTAK MAHINDRA

BANK.

Sr. No Department Respondents Percentage

1 HRM 1 2 %

2 Operation 2 4 %

3 Sales 47 94 %

Total 50 100%


Conclusion: According to above graph 94% employees are working in sales

department and 4% in operational level and left 2% in HR department.

4. How do employees feel about company?

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Objective: To know what an employee feels as an employee about company

which will decide Employee Motivation in KOTAK MAHINDRA BANK and

affiliation of employees.

Sr.

No

Response Responden

ts

Percentage

1 They feel safe, valued and taken care

off

50 100 %

2 Taken advantage, dispensable and

invisible

0 0 %

Total 50 100%


Conclusion: Employees feel that they are safe, valued and taken care off by

there company.

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5.Are you free to find your own solutions?

Objective: To know whether employees have freedom to solve their problem

by themselves or not, which will decide the empowerment techniques used by

the company because empowering authority and responsibility is also one kind

of motivation technique.

Sr. No Response Respondents Percentage

1 Yes 50 100 %

2 No 0 0 %

Total 50 100%


Conclusion: All employees have freedom to solve their small problem with

their own relevant ideas.

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6. Where you found yourself after one year?

Objective: To know future planning of employee with the company, this will

determine their determination toward their job and life. This will be evaluated by

their present performance.


1 Promoter 50 100 %

2 Constant 0 0 %

Total 50 100%


Conclusion: In this graph we can see that all employees want to be promoted

after a year that shows their positive attitude towards their work.

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7. Do you know your performance appraisal?

Objective: To know the awareness of an employee towards his performance

appraisals, this will determine his attitude towards his achievement.

Sr. No Response Respondent

s

Percentage

1 Yes 50 100 %

2 No 0 0 %

Total 50 100%


Conclusion: This graph shows that all employees know about awards which

are given to them on their performance which makes their performance more

batter.

8. Does employee [you] feel empowered?

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Objective: To know whether employees have any rights to take different

decision at their level or the decisions are only compiled. This will determine

freedom of work towards his job.


1 Yes 50 100 %

2 No 0 0 %

Total 50 100%


Conclusion: Inthis figure we can see that employees know the importance of

power and wanted to be empowered.

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10. What motivates you most?

Objective: This will determine how an employee can be motivated more so as

to make his work done effectively. This will also tells about expectation of

employee from his job.


1 Performance 15 30 %

2 Employee

Motivation in

KOTAK MAHINDRA

BANK

5 10 %

3 Financial Rewards 30 60 %

Total 50 100%


Conclusion: In this graph as we can see employees feel that financial reward

give them max motivation as 30% of them feel that performance motivate them

more but 60% employees feel that financial reward motivate them more and

10% of them think that Employee Motivation in KOTAK MAHINDRA BANK

motivates them more than anything else.

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FINDINGS

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After analyzing & interpreting the data received from the respondents, following

findings have been drawn:

Feelings that determine employees moral are as 50% feel that supportive and

simulative leadership improve their moral but 40% of them think that

expectations to success towards attainment of the goal affect their moral and

10% think that need for a clear goal or objective to be achieved motivates their

moral. 50% employees feel that promotion motivate them a lot but 40% of them

think that money motivates them more and 10 % employees get motivated

more when they get gift vouchers. 60% employees are highly satisfied with

their performance appraisals whereas 40%of them are just satisfied and say

that it should be more transparent

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RECOMMENDATIONS & SUGGESTIONS

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1. Number of Branches should be increased covering a wider area in

various states.

2. A wide publicity to be given about the organization and its products

through

various means of communications.

3. More number of training and educational programmes should be

included in working.

4. Developing a lear

Training Report by Arvind

Documents

Transcript of Training Report by Arvind