“A STUDY ON E-BANKING AND IT'S IMPACT ON CUSTOMER VALUE

CREATION AT PRAGATHI KRISHNA GRAMIN BANK IN MANDIKAL

BRANCH”

Project work submitted in partial fulfillment of the requirements for the

award of degree

MASTER OF COMMERCE

OF

BANGALORE UNIVERSITY

Submitted by

ARAVINDA V

REG NO: 17QLCOM007

Under the Guidance of

Mr.SUDHAKAR V SIR
 M,COM,KSET,UGC NET AND MA B,ED

Faculty in department of commerce

PG Centre-Kolar

2018-2019

DECLARATION

I hereby declare that “A STUDY ON E-BANKING AND IT'S IMPACT ON CUSTOMER

VALUE CREATION AT PRAGRATHI KRISHNA GRAMIN BANK IN MANDIKAL
BRANCH”, is the result of the project work carried out by me under the guidance of
SUDHAKAR V SIR in Partial fulfilment for the award of master degree in business
administration by Bangalore university. I also declare that this project is the outcome my own
efforts and that it has not been submitted to any other university or institute for the award for any
other degree or diploma certificate.

PLACE: Name: ARAVINDA V

DATE: Register Number: 17QLCOM007

 GUIDE CERTIFICATE

This is to certify that the project report “A STUDY ON E-BANKING AND IT'S IMPACT
ON CUSTOMER VALUE CREATION AT PRAGATHI KRISHNA GRAMIN BANK IN
MANDIKAL BRANCH ”, submitted by ARAVINDA V , Reg No: 17QLCOM007 to
Bangalore university for the award of degree of MASTER OF COMMERCE is a record of
work carried out by Her under my guidance.

PLACE:

DATE: SIGNATURE
 BANGALORE UNIVERSITY

Certificate of Originality (Plagiarism)

Name of the student : ARAVINDA V

Registration Number : 17QLCOM007
Title of the Project : “A STUDY ON E-BANKING AND IT'S IMPACT ON
CUSTOMER VALUE CREATION AT PRAGATHI
KRISHNA GRAMIN BANK IN MANDIKAL BRANCH”
Name of the Guide : . SUDHAKAR V SIR
Similarity Index (%) identified : 15%

(Acceptable maximum limit of similarity 25%)

Project ID number in Drill Bit : 181225064703

The Project report has been checked using Drill Bit anti-plagiarism Software (Attach first page of
the originality report as ANNEXURE) and found within limits as per plagiarism Policy and
Instructions issued by the UNIVERSITY/CBSMS.

We have verified the contents of the project report, as summarized above and certified that the
statements made above are true to the best of our knowledge and belief.

Signature of the student Signature of the Guide

ACKNOWLEDGEMENT
First and foremost, I would like to thank almighty for standing by me throughout the project and
helping me to complete the same within the stipulated time.

The preparation of this project work would not have been possible without the help of a number
of people. I would like to thank my beloved parents for their support, advice and encouragement
during my project.

I would like to thank our Director, Dr. DOMINIC SIR for giving me an opportunity to prepare
the project. I am very pleased to express my deep sense of gratitude to SUDHAKAR V SIR.
for his constant encouragement.

I am obliged and indebted to “Pragathi Krishna Gramin Bank in Mandikal” their approval and
valuable suggestions to take up the project, I express my deep sense of gratitude to the
organization for their constant help during my project.

I would like to extend my gratitude to the entire faculty of PG Centre Kolar for being with us
and helping us out at all times and for their constant positive support and encouragement that has
helped and inspired us behind this project. Last but not the least we acknowledge the support and
feedback of our parents and friends all times.

Signature
(Student name)
 TABLE OF CONTENTS

CHAPTER CONTENTS PAGE

1 INTRODUCTION
1.1 Introduction
1-17
1.2 Significance of the study

1.3 Need of the study

2 RESEARCH DESIGN AND METHODOLOGY

2.1 Review literature

2.2 Statement of the problem

18-23
2.3 Objectives of the study

2.4 Scope of the study

2.5 Methodology

2.6 Limitations of the study

3 PROFILE OF THE ORGANISATION

3.1 Industry profile

3.2 Rewards and Awards of the Bank

24-32
3.3 Objectives of the Bank

3.4 Mission and vision

3.5 Purpose

3.6 Scheduled Bank Status

3.7 Technology Initiatives

3.8 Technologies in Bank

3.9 Competitors

3.10 Banking structure

3.11 achievements of Bank

CHAPTER CONTENTS PAGE

3.12 Mile Stone of the year

3.13 Future plan of the Bank

3.14 SWOT Analysis

3.15 Product profile

4 DATA ANALYSIS AND INTERPRETATION 33-62

5 FINDINGS, CONCLUSION AND SUGGESTIONS 63-67

5.1Summary of Findings
5.2 Conclusion
5.3Suggestions to the Organization
BIBLIOGRAPHY 68
ANNEXURE
Plagiarism Report

Progress Report 1 and 2

LIST OF TABLES:

SL.NO NAME OF THE TABLE PAGE NO

1 TABLE SHOWING OCCUPATION OF THE 33

RESPONDENTS

2 TABLE SHOWING LIKES TO E-BANKING 35

SL.NO NAME OF THE TABLE PAGE NO

3 TABLE SHOWING WHICH BANK YOU PREPARED 37

4 TABLE SHOWING WHY THIS BANK 39

5 TABLE SHOWING SERVICE OF THE BANK ARE 41

6 TABLE SHOWING ARE YOU SATISFIED WITH THE 43

USING OF E-BANKING

7 TABLE SHOWING WHICH TYPE OF SERVICE MOSTLY 45

YOU USE

8 TABLE SHOWING ARE YOU AWARE OF INTERNET 47

BANKING

9 TABLE SHOWING HOW LONG YOU ARE USING 49

INTERNET BANKING

10 TABLE SHOWING HOW WELL ARE YOU SATISFIED 51

WITH THE INTERNET BANKING CHANNEL

11 TABLE SHOWING WHAT DO YOU THING OF THE 53

FACILITIES OFFERED BY THE BANK FOR INTERNET
BANK
SL.NO NAME OF THE TABLE PAGE NO

12 TABLE SHOWING FOR WHAT PURPOSE YOU ARE 55

USING INTERNET BANKING

13 MENTION YOUR REASON FOR SATISFACTION 57

TOWARDS THE INTERNET BANKING

14 HOW FREAQUENTLY YOU USE INTERNET BANKING 59

FACILITY

15 HOW LONG HAVE BEEN USING WWW. 61

 CHAPTER-1
INTROUDUCTION
 CHAPTER-1

INTRODUCTION
Electronic banking makes banking convenient on your schedule. Many people are now
able to avoid the rush to get to the bank before it closes, as they can bank from a home computer
or via automatic teller machine (ATM). Although the two systems are different, ATMs and
online are the two types of electronic banking systems in use today. Indian banking is the life
line of the nation and its people. Banking has helping the economy and user in a new dawn of
progress on the Indian horizon.

Electronic keeping money in basic terms implies, it doesn’t include any physical trade of
cash, however it’s everything done electronically, starting with one record then onto the next,
utilizing the web. Web managing an account is much the same as should be expected keeping
money, with one major special case. You don’t need to go to the bank for exchanges, rather, you
can get to your record whenever and from any piece of world, and to as such when you have
sufficient energy, and not when the bank is open.

Banks offer web managing an account in two fundamental ways. A current saving money
with physical work places can set up a site and offer web managing an account to its clients
notwithstanding its customary conveyance channels.

A second option is to set up a “virtual”, “branchless”, or “web just” banking. The PC

server that lies at the core of a virtual bank might be housed in an office that fills in as the
legitimate location of such a bank, or at some other area. Virtual banks may offer their clients the
capacity to make stores and pull back reserve by means of computerized teller machines (ATMs)
or other remote conveyance channels claimed by different organizations.

Online frame work enables clients to connect to a large group of managing an account
administration for a PC over phone wires the comfort can be convincing. An arrangement 0f
exchanging cash which included shielding stores and making subsidies accessible for borrowers.
As a rule, terms, the business movement of tolerating and shielding cash claimed by people and
elements, and afterward loaning out this cash with the end goal to gain a benefit.

Cannot, yet ATM machines, phone keeping money or managing an account via mail or
frequently pointless. Furthermore, innovation keeps on making web based managing an account
once endeavoured just by PC lover simpler for the normal customer.

Banks utilize a verity of names for web based keeping money administration, for
example, PC managing an account home saving money, electronic saving money, or web saving
money.
 Would one be able to envision existence based keeping money administration, for
example, PC managing an account home saving money, electronic saving money, or web saving
money.

Would one be able to envision existence without paper money? Cash has dependably
been a piece of human feelings. What’s more, despite the fact that it is hard to envision that each
one of those long stretches of the investment funds at the bank is presently only an entire cluster
of bits and bytes, it is turning into an and the sooner people groups change in accordance with it,
the better it is.

Citibank clients can get to their ledgers through the web, and expansion deeply E-
managing an account administration, for example, account balance request, reserve exchange,
and electronic bill instalment, Citibank additionally gives premium administrations including
money related calculators, online stock statements, financier administrations, and protection.

E-keeping money from banks like Citibank supplements those Bank’s physical nearness.
By and large E-keeping money comfort of e-keeping money through the web, and thusly banks
can work all the more proficiently when clients perform exchanges without anyone else’s in put
as opposed to heading off to a branch and managing a branch delegate.

Notwithstanding customary banks that have both a physical and online nearness, there are
a few digital books that exist just on the web, enabling clients to work with a “virtual” bank. Net
bank can cut working expense and can possibly offer higher store rates to its clients and forgo
numerous charges regularly changed by a save money with a vast system of physical branches.

The difficulties for web just banks are to give quality client administrations without
physical workplaces. One manner by which Net Bank is managing this issue is by means of a
concurrence with the MAC ATM organize (mechanized teller machine arranges), this giving its
client access to about 18,000 ATMs over the United States. Net Bank clients can store and pull
back assets from their NetBank accounts through these ATMs, and likewise, clients can likewise
store and get assets through wire exchange.

A number of authors and experts have defined e-banking services as a contemporary

facility that provides conventional bank products and services through a new medium i.e. IT.
 It is entirely automated facility based on IT delivery mechanism to conventional banking
users’ products and services. It provides online medium of conducting and providing various
banking services, such as, online accessibility of bank account, online fund transfer facility,
online bills paying facility etc. The benefits provide by e-banking medium have resulted into
swift growth of banking sector worldwide.

The internet facility has transformed the business world in terms of managing business.
According to Abu Shanab et al (2010), internet has transformed the entire business pattern for
people as well as for businesses. Although, technological advancements are happening everyday
but not every advancement has been welcomed and adapted by financial sector; but financial
sector that enjoying advantages of this new mode of service delivery, has adapted the e-banking
phenomenon from its introduction only. Originally it was used for online banking promotional
activities of their product and services, but as the e-banking concept developed, banks have
started enjoying its various other advantages, such as, reduced per transaction cost, enhanced
customer service, raised long term returns by providing ‘anytime anywhere’ banking to the
banking customers.

Advancement in technology provides fast innovative changes in people’s routine life. The
most significant recent technical advancement that drastically transformed the entire scenario of
providing services is the use of internet facility in service delivery. Number of people that are
adapted this technological advancement for online transaction such as, online shopping, is
increasing tremendously. Gradually, more business organization realised that it can be utilized to
facilitate growth through its advantages of easy acceptability to information and technology
transfer. The cut throat competitive environment and demanding customers compelled banks to
adapt e-banking concept.

Technological advancement specifically, in IT is always seen as the main source of

changes taking place around the globe. The entire banking industry has entered into an
unparalleled competitive form facilitated by new ICT infrastructure, because of universal and
gradual development of ICT.

Most of the business organizations have swiftly adapting the advance in technological and
internet facility. Adopting new internet applications have resulted in enhancement of efficiency
and quality of service provided as well as attracting prospecting customers. Thus, evaluation of
internet facility had transformed entire business world around the glob and same happened in
banking sector. Banking sector have always been on the top in using ICT in banking business.
Challenges faced by banking sector such as, increase in competition, catering verity of demand
of heterogeneous customers, decreasing revenue margin and advantages provided by technology,
have compelled banks have adapted new technological advancements as earliest possible. Other
driving forces that worked for banks to adapted technological advancements are the challenges
of meeting varied customer expectations, new regulation and entering into new geographical
areas and requirement of new products and services.

The latest buzzword for corporative is e-commerce due to increase in awareness of

utilization of computer and internet facility and increased use of these facility resulted into
development of e-commerce.Today, internet facility has become the main medium of financial,
commercial and banking transactions and advancement in ICT have become the top concern for
banks. The growth of modern financial software applications has changed the business world.
Today, e-banking has been extensively used in developed nations and is swiftly escalating in the
developing nations as well. Now, e-banking has become a global concept.

Today the internet has infit rated every aspect of life as exemplified by online
entertainment, online shopping and Internet banking and these new technologies have affected
and affected people’s lives in a number of ways. The fast growth of e-banking may make life
easier in some ways, however, it must be considered that there is another side to the issue-it also
changes lives and habits in unpredictable ways.

The most recent technological advancement is the evolution of e-banking. Various

alternative modes of providing taking of products are evolved and gained popularity in recent
past, such as, tele-banking, Automated Teller Machine, e-banking credit and debit cards. The
most recent one is e-banking that has major impact on the financial market. Banks got the sense
that internet facility will open up new horizons for banks and will help them to adapt
globalization effectively. According to Thulani et.al, 2009 and henry, 2000, “Internet banking
refers to systems that enable bank customers to get access to their accounts and general
information on bank products and services through the uses of bank’s website, without the
intervention or inconvenience of sending letters, faxes, original signatures and telephone
confirmations”.

In essence e-banking is an electronic consumer interface and an alternative channel of

distribution for banking services and products. E-banking is a process through which banking
consumers manage their banking transaction without even visiting a bank branch.

Advancement IT in banking industry resulted in increasing the processing speed of bank

transactions and the communication system between bank and its customers. Today e-banking is
the most popular delivery system in banking industry. It is the need of hour to extend e-banking
services to banking customers so that bank can maximize the benefits for banks as well as for its
customers also. The importance of e-banking is growing day by day as it maximizes the
advantage for banks and its clients. Even been a costly and risky affair, bank and financial
institutions largely investing in latest information system. Other way round e-banking provides
economics to the operations as it enables banks to reduce their branch network and number of
banking staff. According to Kaleem and Ahmed, 2008, the primary advantage of e-banking is the
reduction in convenience, transaction cost and time taken and performing an operation, whereas,
major concerns are chance of government access and fraud and lack of information security.
Banks stated adopting more and more technological advancements and that resulted in
enhancement of its efficiency. Nowadays internet banking is becoming integral part of banking
services.

MEANING

E-banking is a form of Banking where funds are transferred through an exchange of

electronic signals between financial institution, rather than exchange of cash, cheques or other
instruments.

E-banking means any user with a personal computer and a browser can get connected to
his banks website to perform any of the virtual banking functions. In E-banking system the bank
has a centralized database that is web-enabled. All the services that the bank has permitted on the
internet are displayed in menu. Any service can be selected and further interaction is dictated by
the nature of service. The traditional branch model of bank is now giving place to an alternative
delivery channels with ATM network. Once the branch offices of bank are interconnected
through terrestrial or satellite links, there would be no physical identity for any branch. it would a
borderless entity permitting anytime, anywhere and anyhow banking. The network which
connects the various locations and gives connectivity to the central office within the
organizations is called intranet. These networks are limited to organizations for which they are
set up. SWIFT is a live example of intranet application.

E-banking, also known as internet banking, is an electronic payment system that enables
customers of a bank or other financial institution to conduct a range of financial transactions
through the financial institution’s website. The online banking system will typically connect to or
be part of the core banking system operated by a bank and is in contrast to branch banking which
was the traditional way customers accessed banking services. Some banks operate as a “direct
bank” (or “virtual bank”), where they rely completely on internet banking.

Internet banking software can provide personal and corporate banking services offering
features such as viewing account balances, obtaining statements, checking recent transaction and
making payments. Access is usually through a secure web site using a username and password,
but security is a key consideration internet banking and many banks also offer two factor
authentications using a security token.

E-banking is defined as the automated delivery of new and traditional banking products
and services directly through customers to electronic, interactive communication channels. E-
banking includes the systems that enable financial institution customers, individuals or
businesses, to access accounts, transaction business, or obtain information on financial products
and services through a public or private network, including the internet. Customers access e-
banking services using an intelligent electronic device, such as personal computer (PC), personal
digital assistant (PDA), automated teller machine (ATM), kiosk, or Touch Tone telephone.
While the risk and controls are similar for the various e-banking access channels, this booklet
focuses specifically on internet-based services due the Internet’s widely accessible public
network. Accordingly, this booklet begins with a discussion of the two primary types of Internet
websites: informational and transactional.

Traditional banks offer many services to their customers, including accepting customer
money deposits, providing various banking services to customers, and making loans to
individuals and companies. Compared with traditional channels of offering banking services
through physical branches, e-banking uses the Internet to deliver traditional banking services to
their customers, such as opening accounts, transferring funds, and electronic bill payment.

DEFINITION:

Electronic banking can be defined as the use of electronic delivery channels for banking
products and services, and is a subset of electronic finance. The most important electronic
delivery channels are the Internet, wireless communication networks, automatic teller machine
(ATMs), and telephone banking, Internet banking is a subset of e-banking that isprimarily
carried out by means of the Internet. The term transactional e-banking is also used to distinguish
the use of banking services from the mere provision of information.

Electronic banking services are offered in two main ways. Either traditional brick and
mortar banks combine traditional and electronic delivery channel (brick and click banks) or
banks offer their products and services only or predominantly- through electronic distribution
channels without having a branch network (other than a physical presence as an administrative
head office or non-branch facilities such as kiosks or ATMs). These banks are called “virtually
banks”, “branchless”, or “Internet only” banks. Withdrawal and deposit of funs may be made
through ATMs or other remote delivery channels owned by these virtual banks or other
institutions. Setting up licensed virtual banks can, in principle, be done in three ways.

First, they can be established as a new independent virtual bank obtaining a license from
the banking regulator. Second, existing banks can create virtual banks as separately capitalized
banks within a bank holding company structure. And third, a conventional bank can be recast
into a virtual bank under its existing charter. An alternative approach is establishing a virtual
bank through the creation of trade name virtual banks. These are established as independently
operating divisions of existing banks without a separate charter.

Closely related to e-banking activities or products of electronic money. Definitions of money

used by official bodies vary, mainly due to continuous technical innovations. The BIS (1998)
defines money as “stored value or prepaid payment mechanisms for executing payments via
point of sale terminals, direct transfers between two devices, or over open computer network
such as the internet” (BIS 1997). Issues for banking supervisor result from the different aspects
on how banks can bee involved in e-money activities. Banks can, for example, be the issuer or
distributor of e-money. They can also be involved in maintaining records, processing, clearing,
and settlement of e-money transactions.

FEATURES OF E-BANKING

Online banking facilities typically have many features and capabilities in common,
but also have some that are application specific. The common features fall broadly
into several categories:

A bank customer can perform non-transactional tasks through online banking, including:

Viewing account balances

Viewing recent transactions

Downloading bank statements, for example in PDF format

Viewing images of paid cheques

Ordering cheque books

Downloading applications for M-banking, E-banking etc.

Bank customer can transact banking tasks through online banking, including:

Funds transfers between the customer’s linked accounts

Paying third parties, including bill payments (see, e.g., FAST)

Investment purchase or sale

Loan applications and transactions, such as repayments of enrolments

Credit card applications

Register utility billers and make bill payment

Financial institution administration

Management of multiple users having varying levels of authority

Transaction approval process

Some financial institutions offer special internet banking services, for example:

Personal financial management support, such as importing data into personal accounting
software. Some online banking platforms support account aggregation to allow the customers
to monitor all of their accounts in one place whether they are with their main bank or with
other institutions

Easy Electronic Fund transfer facility

Better efficiency in Customer relationship management

Making the Payments of bills like electricity, telephone bills, and mobile recharge

It introduces virgin and innovative banking products and services

It can view of balance of accounts and statements

E-banking can bring doorstep history search

Transaction history exports

Order mini statements

Mobile banking

Pay anyone payments Multi Payments

SMS banking services

View, Print, or Save your Account Statements

View images of your checks/deposits

Transfer funds between your accounts and create recurring transfers

ADVANTAGES OF E-BANKING

The prime advantage of e-banking system is reduction in operating cost per transactions.
According to Sarel and Mamostrein, 2003 and Nath et.al., 2001, the estimate cost of per e-
banking transaction is $0.01 whereas, estimate cost of per fully service branch transaction is
$1.07, which is very high comparatively to the e-banking transaction cost. Providing e-banking
service is the only way to reduce the operating cost without reducing existing service levels.
These advantages lead to banks to take e-banking as the most preferable mode of service
delivery. Now, banks can deeply analyse all the information gathered from bank customer
interactions with the help of information technology. Therefore, to have effective Customer
Relationship Management (CRM) system is become key issue in internet banking services. The
effective CRM system enables banks to gain better customer intelligence, precision in
customization and better management customer relationships through their virtual presence.

But from a business point of view, integration pf traditional physical branch banking and
modern virtual e-banking system creates win-win situation for the banks. As e-banking enables
banks transfer some of its transaction processing tasks directly to their banking customers. To
enjoy these benefits of e-banking system, banks are encouraging their customers to adapt e-
banking system and manage their own banking through ATMs and online banking.

Technological innovations are having significant importance in human general and

professional life. This era can safely be attributed as technology revolution. The quick expansion
of information technology has imbibed into the lives of millions of people. Rapid technology
advancement has introduced major changes in the worldwide economic and business
atmosphere. Information technology developments in the banking sector have sped up
communication and transaction for clients (Booz et.al, 1997). Online banking is also one of the
technologies which are fastest growing banking practices nowadays. It is vital to extent this new
banking feature to clients for maximizing the advantages for both clients and service providers.

To enhance is operating efficiency and providing better banking products and services,
bank has always been the pioneer in adapting the latest technological advancements. Banks
adopted electronic and telecommunication distribution channels for providing various financial
services long bank. As banks’ focus has shifted from product centric model, they have developed
their own e-banking system. Now, banks view e-banking which helped in reducing operating
cost as an important value-added feature to attract and maintain existing and prospecting banking
clients.

In India the number of internet users is increasing with very fast pace that eventually
increasing the opportunity to increase the number of e-banking users as well. But the success of
e-banking largely depends on the technological adaptation rate of Indian retail and corporate
banking customers. Therefore, the driving forces that influence the adaptation of e-banking
system in India will definitely be a critical issue to banks as well asto regulators of the banking
Industry.

Although the main factor that effect success of e-banking as a delivery medium of
banking services and products is the both kind of banking customers by retail and corporate
customers as well to e-banking services.

Therefore, influencing factors to e-banking adoption in India are the prime concern for e-
banking offering banks as well as for policy makers.

Benefits to Customers:

General customers have been significantly affected in a positive manner by E- banking.

Many of the ordinary tasks have now been fully automated resulting in greater ease and comfort.

Customer’s account is extremelyaccessing able with an online account.

Customers can withdraw can at any time through ATMs that are now widely available
throughout the country.

Besides withdrawing cash customers can also have mini banks statements, balance inquiry at
these ATM.

Through Internet Banking customers can operate his account while sitting in his office or home.
There is no need to go to the bank in person for such matter.

E-banking has also greatly helped in payment of utility bill. Now there is no need to stand in
long queues out side banks for his purpose.
All services that are usually available from the local bank can be found on a single website.

The growth of credit card usage also owes greatly to E-banking. Now a customer can shop
worldwide without any need of carrying paper money with him.

Banks are available 24 hours a day, seven days a week and they are only a mouse click away.

Benefits to Banking Industry:

Banking industry has also received numerous benefits due to growth of E-Banking
infrastructure. There are highlighted below:

The growth of E-banking has greatly helped the banks in controlling their overheads and
operating cost.

Many repetitive and tedious tasks have been fully automated resulting in greater efficiency,
better time usage and enhanced control.

The rise of E-banking has made banks more competitive. It has also led to expansion of the
banking industry, opening of new avenues for banking operations.

Electronic banking has greatly helped the banking industry to reduce paper work, thus helping
them to move the paper less environment.

Electronic banking has also helped bank in proper documentation of their electronic transactions.

The reach and delivery capabilities of computer networks, such as the internet, are far better than
any branch network.

Benefits to General Economy:

Electronic banking as already stated has greatly serviced both the general public and
the banking industry. This has resulted in creation of a better enabling environment that
supports growth, productively and prosperity. Besides many tangible benefits in form of
reduction of cost, reduced delivery time, increased efficiency, reduced wastage, e-banking
electronically controlled and thoroughly monitored environment discourage illegal
illegitimate practices associated with banking industry like money laundering, frauds and
 embezzlements. Further E-banking has helped banks in better monitoring of their customer
base. This it is a useful tool in the hand of the bank to device suitable commercial packages
that are in conformity with customer needs. As e-banking provide opportunity to banking
sector to enlarge their customer base, a consequence to increase the of volume of credit
creation which results in better economic condition, besides all these E-banking has also
helped in documentation of the economic activities of the masses.

Economic benefits:

E-banking served so many benefits not only to the bank itself, but also to the society as a
whole. E-banking made finance economically possible:

Lower operational costs of banks

Automated process

Accelerated credit decisions

Lowered minimum loan size to be profitable

Potential lower margins:

Lower cost of entry

Expanded financing reach

Increased transference

Expand reached through self-service

Lower transaction cost

Make some corporate services economically feasible for society

Make anytime access to accounts and loan information possible.

DISADVANTAGES OF E-BANKING

Although e-banking system provides a numerous advantage to customers but still

prospecting e-banking users should identify its few disadvantages as well. Even after investing
heavily in e-banking awareness campaign and offering so many benefits through e-banking system, still it
lacks in gaining trust factors among its customers.

The disadvantages of e-banking system are as follows:

Impersonal:

Absence of face to face interaction makes it very impersonal. Thus, customers who are more
comfortable in dealing with people in physical bank setting that provide those personalised
services rather than mechanical interaction; e-banking is not a good option for them.

Lack of trust:

Still may customers do not trust online mode of service especially for moneyrelated transactions.
Users who are not seasoned in e-banking feel very uncomfortable as they have doubt regarding
the correctness of the transaction done by them online. As they require some kind of proof of
transaction as receipt, to verify their transactions.

Difficult for first timers:

For the beginners, it appears as a complex mode of service as customer find it

complicated to navigate through bank’s website. While operating an account online, bank’s
website requites a number of information and the seems time taking and inconvenient process to
the first-time users.

Security fraud:

People generally hesitate to have an online account due to the security risk involved in
it. Although, it is not a big issue for banks providing e-banking services, as they prioritize
security. To avoid security risk, banks use the most advanced security system in protecting their
websites
OTHER DISADVANTGAES OF E-BANKING

If the banks sever is down, customer can’t use it.

To use internet banking customers is compelled to have computer with internet access.

There is always the possibility of a cracker gaining access to customer’s account.

Many banks don’t show customer how to use online banking very well and those are usually the
ones with the non-intuitive interface and cluttered design which makes it pretty easy for
customer to screw up something.

Banks bears heavy costs to install high fr ewall.

It leads to missing of personal services.

E-banking promotes lack of socializing or social contacts.

1.2 SIGNIFICANCE OF E-BANKING

Online banking has become quite a common trend in our contemporary world. All
regions of the world where technology is notably progressing have swiftly accepted this
development, that’s why nearly all banks have taken their services to the virtual world. To
swiftly transact online, interactive software’s are a necessity. A well-developed Banking
Software helps you engage with a bank more directly, compared to your physical presence at the
bank. It makes the banking process way much easy and conveniently fast.

The online banking process is very convenient because as compared hoe people
previously used to make long queues waiting for their time to come so that they can be served,
with online banking you can bank by just simply engaging with the bank at the comfort of your
home and without any pressure or exhaustion. What you only need is a smart device that can
access the internet and a dependable internet provider, and you can access these services
anywhere. Which other top-significances prompt the rapidly-rising craze that online banking is
having nowadays?

Transacting across you different banking platforms:

 With all cash processing service providers taking their services online, nowadays it’s
easy withdrawing, depositing and spending money to any preferred applications. What one only
need is to install the various applications that you require syncing. It just involves a minimal fee
to send money and transact across different platforms.

Syncing of Your Personal Money Account Applications:

what is on your physical banking account is what you’ll certainly expect from this online
banking applications. To do this, what you only need is syncing your physical account with your
online one. Although, with the latest updates, these applications can automatically synchronize
your information across different applications when given the access. So, the long hustles of
having your app individually configured by the services are no more.

Mobile Banking:

Apart from just accessingbrowsers. Banks have designed more personalized mobile
applications to make the transaction processes way too much easy. This makes the process much
convenient with more tools to utilize that aren’t available in the web apps. However, always be
keen always not to use public Wi-Fi networks that can pose vulnerabilities to your personal
accounts.

View Processed Transactions:

Mobile apps have a dedicated transactions column that one can use to view their
transactions. This helps a lot in keeping tabs and planning your usage in a way that is convenient
for you. Nowadays you don’t need to worry so much when you lose your hard copy transaction
receipt.

Movement Survey:

Entrepreneurs, bookkeeping staff and other affirmed representatives can get to routine
keeping money movement, for example, stores, cleared checks and wired assets rapidly through
a web-based saving money interface. This simplicity of audit guarantees the smooth preparing of
all keeping money exchanges once a day, instead of sitting tight for month to month
explanations. Blunders or deferral can note and settled speedier, possibly before any business
affect is felt.

Productivity:

E-banking leads to productivity gains. Automating routine bill payments, minimizing the
need to physically visit the bank and the ability to work as needed rather than on banking hours
may decrease the time involved in performing routine banking activities. Additionally, online
search tools, banking actions and other programs can allow staff members to research
transactions and resolve banking problems on their own, without interacting with bank
employees. In some cases, month-end reconciliations for credit card transactions and bank
accounts can be automated by using e-banking files.

Lower Banking Costs:

Banking relationships and costs are often based on resource requirements. Business that
place more demands on banking employees and need more physical assistance with wire
transfers, deposits, research requests and other banking activities often incur higher banking fees.
Opting for e-banking minimizes business overhead and banking expenses.

Reduced Errors:

Utilizing e-banking reduces banking errors. Automations of payments, wires or other

consistent financial activities ensures payments are made on time and may prevent errors caused
by keyboard slips or user error. Additionally, opting for electronic banking eliminates errors due
to poor handwriting or mistaken information. In many cases, electronic files and daily reviews of
banking data can be used to double or triple check vital accounting data, which increases the
accuracy of financial statements.

Reduced Fraud:

Increased security of corporate finances through audits and anti-fraud measures requires a
high level of visibility for all financial transactions. Relying on e-banking provides an electronic
footprint for all accounting personnel, managers and business owners who modify banking
activities, which makes it harder for under-the-table or fraudulent activities to occur.
1.3 NEED OF THE STUDY

I have chosen Pragathi Krishna Gramin Bank to study about electronic transactions being
applied by the bank as a result of scientific and technological progress that is affecting the
banking industry in general.

E banking includes the results of information technology revolution due to

computerisation, mobile, phone, internet facilities. E banking increases customer satisfaction
through faster economical and accurate modes of business transactions.

This being a rural area, people need to be educated and trained in this new area for their
advantages.

Banking has been always a highly information intensive activity that relies heavily on
information technology (IT) to acquire, and deliver the information to all relevant users. IT is not
only critical in the processing information; it provides a way for the banks to differentiate their
products and service in the market. Therefore, banks find that they need to constantly innovate
and update their information technology to retain their demanding and discerning customers.
This is to ensure that they can provide convenient, reliable, and expedient services.

E-banking is a term and that include the entire information technology revolution that has
taken place in banking industry E-banking refers to the use of electronic channel like phone,
mobile, internet etc. for delivery of their service to their valuable customer. It the efficiency in
the area of effective payment by enhancing the delivery of banking the service in quick time. E-
banking has current customer, increase customer satisfaction, acquire further share in the markets
reduce the costs of delivering service to the customer.
 CHAPTER-2
REVIEW OF LITERATURE AND
RESEARCH DESIGN
 CHAPTER-2

2.1 REVIEW OF LITERATURE

 E-banking concept is, delivery of banking services and product through effective,
rapid, convenient and flexible methods other that conventional practices. Since revolution and
advancement in technology most of the banks had tried and trying to pave of the way for its
customer have access for E-banking services and products through internet, designed software’s
and even mobile phone applications.

E-banking enable the individuals and corporations to have access for account
information, transferring funds, account statement and other attached services through private or
public networks.

For the purpose of study there are lots of literature and research articles on electronic
banking services, customer responses and choices considering different locations and time
periods. This chapter will contain some theories for the literature review which will cover the
chosen subject in major. For instance, some of underneath given literatures review which will
lead and help to know what other researchers, scholars or professional individuals have found
and recommended in regard to their chosen subject of matter concerned with E-banking.

Milind, Sathye. (1999) asserted in his research paper that; Since e-banking is the newest
and upgraded delivery channel of different services through which bank customers can request
information’s and carry out most retail banking services via, computer, television or mobile
phone hence it can be defined differently with different researches.

Burr, W. (1996) Described and defined e-banking; as an electronic connection between

bank and customer in order to prepare, manage and control financial transactions. Further he
mentioned that, increase in income and revenue over the sales of e-banking services/products
needs innovation, invention, convenience and improvement which needs to be to be taken into
account by commercial banks. But to my point of view (The researcher); E-banking is the
practices and capability of utilizing and benefiting the existed products and services of a bank
through public or private based networks including Internet or designed software’s and
applications for convenience, efficiency and ease of access.

Croft, Jane. (2003) in one of his publications in financial times Asserted that to stay
competitive in the banking world of tomorrow is to embrace new concepts of reaching and
satisfying customers. In this publication it was also mentioned that in 2003, that 10 million
online money accounts were active in the UK (this was the highest figure European Country).

Ismail, Mohammad. A., and Osman, Mohammad. A. Y. (2012) asserted in one of their
researchers adopted in Sudan that; Usage of e-banking services/products will consist some
charges knowledge and access of attached technology, income of individuals, type accounts and
willingness of individuals. Hence findings in Sudan shown that the usage of e-banking is likely
attached to income, account type and basic literature of computer and internet literate are more
likely to use e-banking services.

Krishnamoorthy, v. and Dr. Srinivasan. (2013) found and explained; that banks are
finding difficulty in retaining their existing customers, for which either they need to come up
with innovating, customized products or they need to develop trust with their customers and
maintain the relation with them.

Safeena, R., Abdulla’s and Date, Hema. (2010) explained that; Information technology is
considered as the key driver for the changes taking place around the world. Internet banking (IB)
is the latest and most innovative service offered by the banks. The transformation from the
traditional banking to e-banking has been a ‘leap’ change. The evolution of e-banking started
from the use of Automatic Teller Machines (ATMs) and telephone banking (tele-banking), direct
bill payment, electronic fund transfers and the revolutionary online banking.

Brannan, Susan. (April 22, 2004), this article discusses the importance of usability within
the e-banking sector and identifies common usability problems and ways to resolve them.
Research shows 50% of perspective customers registering for online banking bail out before
signing up, mostly due problems navigating the site, completing online form, security fears, and
understanding content and feedback.

It is widely recognized that online banking provides more revenue per customer and costs
less per transaction than any other channel, including phone banking. Banks aiming to profit the
most from the increase in online banking volumes should consider the usability and accessibility
of all aspects of their site to welcome them.
 Sharma, Himani. (2011), She has conducted the research with the subject of “Banker’s
Perspectives on E-Banking”, and data for this research was collected through a questionnaire in
Northern region of India by administering to 192 bankers. The enquiry reveals that customers
generally use e-banking services on persuasion of bankers. The bankers and customers and that it
would bring patent improvement in the overall performance of banks.

Mermod. Asli Y ksel. (April 2011) has concluded from his research in turkey that; The
usage rate of the internet banking significantly related with the education levels. Education and
also income level make an important difference in the usage of internet banking facilities. Today,
banks are switching to multi-channel distribution of financial services through internet, and most
used internet banking service is the “transfer from one account to another”.

Singh, N. P. (2007) Hi-tech fraudsters have urbanized a new way of tricking online
banking customers. One such most well-known and fast-growing technique is phishing.
Phishing: is derived from the 3-word fishing. Phishing also called brand spoofing, is a term used
for a short of fraud where phishes send out spoof email to a random database to fool the recipient
in to divulging personal information like credit cards details, usernames and passwords, that can
be used for identify theft. The study opined that there is a sharp rise in phishing statistics as it
evident from the values in various tables. May it be number of hosting of phishing sites, or mails
received about phishing monetary loss either of the customers or of organizations. The main
reason for losses/success of frauds is ignorance on part of customers as well as service providers
(bankers, retailers, etc.). It requires stringent methods of educating customers and regular review
of security related information of individual customers.

Dixit, Neha and Datta. Saroj. K. (2010) explained that; Internet banking is a form of self-
service technology. The numbers of Internet users have increased dramatically, but most of them
are reluctant to provide sensitive personal information to websites because they do not trust e-
commerce security. Also, a reason, of not accepting online banking by adult customers is no
training or guidance from the bank’s side. The result of this study viewed that adult customers
are more reluctant to join new technologies or methods that might contain little risk. It is also
important to note that some adult customers are interested in online banking; however, they do
not possess the necessary computer literacy to conduct it. In addition, banks should design the
website to concern security and privacy issues.
2.2 STATEMENT OF THE PROBLEM

The area is comprising of illiterate and moderately literate persons. Technological

changes involving their identity may be posing difficult and cumbersome process to operate.
Many people who are not comfortable with computers and the internet, find it difficult to use this
service. Therefore, online banking can be time-consuming for the beginners. Moreover, some
people find it difficult to trust a completely mechanized system on carrying out their financial
transactions. In instance, a simple mistake like clicking a wrong button, may create a big
problem. So, many individuals continue to worry and wonder if they have properly executed the
transactions while availing the online banking facility. Though local language in dominant in the
m/c, there are not many words to replace them, resulting in continued usage of English
vernacular.

2.3 OBJECTIVE OF THE STUDY

To examine the impact of internet banking towards rural customers.

E-banking operations to provide more efficiency and more confidence in the consumer.

To identify areas of rural banking useful for farmers.

To suggest different methods of spreading awareness available torural customers on banking

facilities.

2.4 SCOPE OF THE STUDY

The study entitled “A study on E-banking and it's impact on customer value creation at
pragathi Krishna gramin bank in mandikal branch” aims to find out the awareness level and the
effectiveness of Internet banking service provided by mandikal branch bank to the customers.
The analysis will help to know the awareness level of customers regarding the internet banking
services.Along with the satisfaction level of tie customers in the internet banking services and
the customer’s perception regarding the internet banking service at Pragathi Krishna Gramin
Bank. India has around 470 million banking customers. Among this demographic, 60 million of
them, amounting to 13% of the total users, use online banking. With the financial technology
companies, e-commerce names, big data firms, and cloud-based software a d service, the digital
element is truly revolutionizing things, quite quickly and effectively. And it becomes even more
relevant to take a moment to contemplate where the banking sector figures in the midst of all
these changes. According to a report by the Boston Consulting Group in collaboration with
FICCI and the Indian Banks’ Association (IBA), India has around 470 million banking
customers. Among this demographic, 60 million of them, amounting to 13% of the total users,
use online banking. And within this category, 10% prefer the hybrid model of regular online and
online banking. About 1% of users primarily prefer the online channels for all their banking
needs. In comparison, online banking is the primary channel of interaction for around 20% of
customers in economies like the UK and the US.

The papulation would consist of customers of Pragathi Krishna Gramin Bank, mandikal.

2.5 METHODOLOGY

Methodology is the method followed while conducting the study on a particular project.
Through this methodology is a systematic study conducted on the basis of which a report is
produced. It is a written game plan for conducting Research. Research methodology has many
dimensions. It includes not only the research methods but also considers the logic behind the
methods used in the context of the study and explains why only a particular method or technique
has been used. It also helps to understand the assumptions underlying various techniques and by
which they can decide that certain techniques will be applicable to certain problems and other
will not. Therefore, in order to solve are search problem, it is necessary to design a research
methodology for the problem as the some may differ from problem to problem.

Method of data analysis

To accomplish the research, the method of data analysis will be based on the statistical
table format using frequency distribution and consequently converted into percentages for easy
analysis. Each tabular presentation represents the analysis of each question in the questionnaire
which will subsequently describe further discussion. Statistical analysis will be carried out on
each of the research questions based on the data extracted from the computation of data which
was affected using simple parentages. After which, comparisons will be done to determine the
effectiveness in achieving the desired objectives.

Impact effect out come in the operation

What are the strengths and weaknesses of BPI E-banking system?

Problems encountered in the implementation

Customer satisfaction.

2.6 LIMITATIONS OF THE STUDY

Every research is limited to some area, and the limitations of this research are stated as
follows:

Lack of resources.

Lack of secondary data.

Lack of time. And the other limitation of study is that; this research is conducted by taking into
account few banks and targeted users of e-banking service of that specific banks India. As we
know that the private financial institutes are mostly in the initial stages of providing E-services in
such a wide quantity and types, hence usually they do not disclose most of the information’s.
Accessing information on the topic and especially from the government entities (DAB) might be
difficult.

Occasionally, sometimes the weak communication network between supervisors and

students may causes difficulties. Because, mostly the supervisors are leaving university toward
their homelands and it become hard for students to see them frequently and speak to them.
However, it is hope that strong commitment, friendly relationship and working networks that are
in place, would make up for the above-mentioned difficulties and research project would be of
high quality.
As some of the information is kept confidential, entire information may not have been revealed
in this project.

Lot of time is required to collect the right information and one month prescribed is a great
limitation.

The study is conducted in the limits of Pragathi Krishna Gramin Bank mandikal.

The information of the study to a large extent depends on researching the various credit facility.

CHAPTER-3
PROFILE OF THE ORGANIZATION
 CHAPTER-3

3.1 INDUSTRY PROFILE

Banking in India originated in the first decade of 18 th century. The General Bank of India
came 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 Calculate in June 1806. A couple of decades later, foreign banks like
Credit Lyonnais stated their Calcutta was the most active trading port, mainly due to the trade of
the British Empire, and due to which baking activity took roots their 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 1996, 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 India’s independence in 1947, the Reserve Bank was
nationalized and given broader powers. The banking in India was controlled aid combated by the
presidency banks, namely, the Bank of Bombay, the Bank of Bengal, and the Bank of Madras-
which later on merged to form the Imperial Bank of India, and Imperial Bank of India, upon
India’s independence, was rename the State Bank of India. The presidency banks were like the
central banks and discharged most old the font tins of central banks. They were established under
charters from the British Easts India Company. The exchange banks, mostly owned by the
Europeans, concentrated on financing of foreign trade. Indian joint stock banks were generally
under capil lazed aid lacked the experience and maturity to compete with the presidency banks,
and the exchange banks. There was potential for many new banks as the economy was growing
Under these circumstances, many Indians came forward to set up banks, and many banks were
set up at that time, and a number of them set up around that time continued survive and prosper
even now like Bank of India and Corporation Bank, Indian Bank, Bank of Baroda, and Canara
Bank.
 COMPANY PROFILE

Regional Rural Banks (RRBS) are special category of Banks established by Government
of India in 1975 under the Provisions of the Ordinance promulgated by the President of India on
26-09-1975. This Ordinance later was replaced by RRBs Act, 1976 enacted by the Parliament.
RRBs are Scheduled Banks Notified by Reserve Bank of India. The powers to make Rules,
Regulations and Frame the policy matters relating to RRBs are vested with Government of India.

SBI and its associate banks are established by Government of India but they are not
included under Nationalized banks category. Nationalized Banks were earlier Private Limited
Banks and subsequently taken over by government of India through Nationalization process.
Similarly, RRBs are 100% Government owned Banks and enjoy equal status as that of
Nationalized Banks/State Bank group.

Pragathi Krishna Gramina Bank, a body corporate constituted by Government of India

under the provisions of Regional Rural Banks act, 1976 is a premier RRB with its origin of
Inception in the year 1976. The banks head office is at 32, Sangankal Road, Gandhi Nagar,
Bellary (Karnataka State) and having a network of 365 Branches operating in 8 districts of
Karnataka State. The bank is catering to various banking products. Pragathi Krishna Gramin
Bank is one of the 82 Regional Rural Banks (RRB) operating across length and breadth of the
country. The bank is sponsored by CANARA BANK, one of the premier Nationalized Banks.

The RRB with its Head Office at Ballari was formed by amalgamating the two RRBs of
Karnataka namely Pragathi Gramin Bank sponsored by Canara Bank and Krishna Grameen Bank
sponsored by State Bank of India and covers 11 eastern districts of Karnataka State.

The objective of setting up of these Special Category of Banks is to cater to the basic
banking needs of rural people in particular, to contribute for thee development of rural economy
and prosperity of the region and employment generation. RRBs have now become an integral
part of the Indian Banking System. RRBs like Public Sector Banks are established by
Government of India and are the Scheduled Banks, notified by Reserve Bank of India.
 Government of India with a view to improve the operational viability and efficiency of
RRBs, initiated the process of structural consolidation by amalgamating RRBs. The
amalgamated RRBs were expected to provide better customer service with improved
infrastructure, computerization, pooling of experienced workforce, common publicity and
marketing efforts etc. The amalgamation intended to reap benefits of large are of operation,
enhanced credit exposure limits and undertake diverse banking activities.

Pragathi Krishna Gramin Bank with Head office at Bellary came into existence of 23 rd
August 2013 with the amalgamation of 2 RRBs viz, erstwhile Pragathi Gramin Bank (sponsored
by Canara Bank with Head Office at Bellary and erstwhile Krishna Grameena Bank Sponsored
by State Bank of India with Head Office at Gulbarga. The Bank was formed as per gazette
Notification of Government of India No. f1/5/2011-RRB (Karnataka) dated 23-082013.

OWNERSHIP PATTERN OF PRAGATHI KRISHNA GRAMIN BANK

The ownership pattern of Pragathi Krishna Gramin Bank is as under Particulars

Government of India Canara Bank Government of Karnataka Total percent Age of holding 50%
35% 15%although Pragathi Krishna Gramin Bank is mainly focusing their services to rural areas,
they are well equipped to cater to the banking needs of all cross section of the society Viz.

Pragathi Krishna Bank is the largest Regional Rural Bank is southern India in terms of
total business as at 31.03.2015. All its branches will be on core banking solution shortly.

The Banks command area Includes 8 districts, Bellary, Chitradurga, Chikkaballapur,

Davanagere, Kolar, Koppala, Raichur, and shimoga of Karnataka State.

3.2 REWARDS AND AWARDS OF THE BANK

Pragathi Krishna Gramin Bank, having jurisdiction over 11 districts in the State and
headquartered in Ballarisecured as many as 10 awards instituted by NABARD for its overall
outstanding performance during 2013-14 and 2014-15 in promoting Self-Help Groups, providing
bank linkage, among other things. R. Ravikumar, bank chairman, received the awards at a
function held in regional office of the NABARD in Bengaluru, at the hands of M.S.Ganangi,
Chief General Manager NABARD on Wednesday.

NABARD has been recognizing best performing Branch / Bank annually under farmers
club and SHG linkage.

Bank has received the following awards for excellence under promotion of SHGs and
farmer clubs:

“Sri Sharana Muddanna Raitha Koota” Farmers club promoted by our Kumblur branch of
Davanagere District is adjudged as the Best Farmer’s Club in the State.

Bank, secured state level award under SHG Bank Linkage Programme for “Highest Average
Loan per Group Account” under RRB.

3.3 OBJECTIVES OF BANK

The most common objectives of bank are:

Prudential-to reduce the level of risk to which bank creditors are exposed (i.e. to protect
depositors)

Systemic risk reduction-to reduce the risk of disruption resulting from adverse trading conditions
for banks causing multiple or major bank failure.

To avoid misuse of banks-to reduce the risk of banks being used for criminal purposes, e.g.
laundering the proceeds of crime.

To protect banking confidentially.

Credit allocation-to direct credit to favoured sectors.

It may also include rules about treating customers fairly and having corporate social
responsibility.

3.4 MISSION AND VISION

 To be a technology driven company ensuring high quality standards in production of its
WEG’s. being technology driven means adhering to International standards for manufacturing
and quality, there by providing the end users with an outstanding product. MISSION

We strive to deliver our financial products and services in the way our customers expert with
exemplary service, maximum convenience and at competitive rates this is reflected in our
mission statement to set the standard in helping our customer manage their financial future.

3.5 PURPOSE

The purpose of development of Agriculture land

Industry

Trade and commerce and other productive activities in the rural areas

Credit and other facilities, particularly to small and marginal farmers.

Agricultural labourers.

Artisans and small entrepreneurs and for matters connected there with and incidental there to.

3.6 SCHEDULED BANK STATUS OF PRAGATHI KRISHNA GRAMINA

BANK

Regional Rural Bank (RRBs) are special category of Banks established by Government
of India inn 1976 under the provisions of the ordinance promulgated by the president of India on
26.09.1975. This ordinance later was replaced by RRBs Act, 1976 enacted by thee parliament.
RRBs are scheduled Banks notified by reserve Bank of India. The powers to make Rules,
regulations and frame the policy matters relating to RRBs are vested with government of India.
SBI and its associate Banks are established by Government of India but the are not Included
under nationalized Banks category.

Nationalized Banks were earlier private limited banks and subsequently taken over by
Government of India through Nationalization process similarly, RRBs are 100% government
owned banks and enjoy equal status as that of Nationalized Banks / state Bank groups.
3.7 TECHNOLOGY INITIATIVES IN PRAGATHI KRISHNA GRAMIN BANK

Government of India and Reserve Bank of India had directed Regional Rural Banks (RRBs) to
implement Core Banking Solutions (CBS) under the guidance of respective sponsor Banks and complete
the CBs within 30-09-2011

According to, our bank had been given the lead role by our sponsor Bank (Canara Bank) to take necessary
steps to implement this CBs in all the three RRBs sponsored by Canara Bank that is Pragathi Krishna
Gramin Bank and Shreyas Gramin Bank. A high-level core committee of executive from Canara Bank
and Chairman of all the three RRBs was formed and road map for the Implementations of CBs was drawn
to complete with in the deadline of reserve bank of India. REP was floated and appointment of Technical
Consultants was done. With the concerted efforts, our bank was able to successfully complete the Core
Banking Solutions (CBS) on 26-08-2011, well before the deadline of 30-09-2011.

3.8 TECHNOLOGIES IN PRAGATHI KRISHNA GRAMIN BANK

Repay ATM debit cards: The ATM debit cards facility has been launched from 11-02-2012 issue
of repay ATM debit cards in coordination with Canara Bank has recommended branches our
bank customers can enjoy the equal status as compared to any other banks with regards to ATM
cards.

NEFT: National Electronic fund transfer (NEFT) facility for our customers has been launches from 11-
02-2012, one customer can transfer funds as is the case with other Nationalized / Commercial Banks.

Mobile Banking: One more facility for our customers that is Mobile Banking will also be commenced
shortly customers can get balance Inquiry, money transfer and can take view of latest 5 transaction of
their account on their mobile phone itself.

3.9 COMPITITORS

State Bank of India [SBI]

State Bank of Mysore [SBM]

Syndicate Bank
Vijaya Bank

DCC Bank

HDFC Bank

ICICI Bank

Co-operation Bank

Vysya ING Bank

Kottak Mahindra Bank

KSFC Bank

Bank of Baroda

Karur Vysya Bank

3.10 BANKING STRUCTURE

The organizational structure for RRBs varies from branch and depends upon the nature
and size of business done by the branch. The head office of an RRB normally had three to seven
departments:

The following is the decision-making hierarchy official in Regional Rural Bank.

Board of Directors

Chairman and Managing Director.

General Manager

Chief Manager / Regional Manager

Senior Manager

Managers

Officer / Assistance
3.11 ACHEVEMENTS OF PRAGATHI KRISHNA GRAMIN BANK

Coverage of all 374 villages for extending banking facilities through its branch network.

Orientation to all Branch Managers on Financial Inclusion.

Enumeration of new accounts at all the FI locations.

Smart card-based account opening.

Selection and deployment of BCs by the service provider.

Interfacing between CBS and FI solution.

Migration of existing smart card accounts to CBS.

Providing of hand-held Terminals to all BCs.

Enabling smart card transaction on HHTS by the customers.

Financial literacy and education drive in FI village.

The total number of smart card customers is 32781.

NABARD has been recognizing best performing Branch / RRB annually under farmers club and
SHG linkage. Bank has received the following awards for excellence under promotion of SHQS
& farmers clubs.

Bagged 1st place among RRBs at state level for highest average loan per account to SHG.

Bagged 1st place among RRBs at state level for highest quantum loan per JIGs.

Basapatna Branch of Koppal District with highest number of JIGs has adjudged as the top
performer under JIG linkage among Amalgamated RRBs in the State.

3.12 MILE STONE YEAR

Inception-pragathi Software started as a proprietary firm by Mr. Pradyumn Sharma from his
home.
1992- Incorporate as private limited company. Mrs. Preethi Sharma joined as Director,
marketing. 1995 – Pragathi Software shifted to their owned 950 sq. ft. office premises consisting
of office space & one training room at lokcentre, Andheri (East) with a bank loan.

1997 – Company got in to corporate IT training as another line of business & picked up its first
order from an IT company in seepz, Mumbai.

2003 – Company sold its software Development Division & focused entirely in to corporate
training.

2008 – Mr. Pradyumna selected as a speaker of ‘Scrum Gathering’ in Chicago.

2012 – Pragathi Software functions from its own space of around 10,000 sq. ft. in Lok centre
Andheri / east.

3.13 FUTURE PLAN OF PRAGATHI KRISHNA GRAMINA BANK

Reaching a tool business of Rs. 9,594.47 crores by march 2012. No frill accounts –
opening another 1,10,000 new accounts & bringing them under financial Inclusion. Reaching the
mark of Rs. 190 crores under SME Sector [Small Scale Industry] bringing down the gross NAPS
to Rs. 450.01 crores there by bringing the level of gross NPA to 4,668.53 of total advances out-
standing Introducing debit / credit cards, entering foreign exchange business, crores – selling of
Mutual Fund products Bringing “1.2” million families under financial inclusive. Banking at the
door steps of the villages Rich light to poor household, Bank is encouraging solar light assistance
in Rural Areas. During the year 2596 new households financial solar home lights.

3.14 SWOT ASSESMENT

STRENGTH:

The utilization the time according to the situation effectively.

Bank have taken up wide ranging corporate social responsibility.

The total income of bank has increased from day by day.

All the branches of the bank have been brought under computerized environment.
WEAKNESS:

Management because of the disproportionate power even to the employees, the management
could not have proper administration over the work.

No resident India account are dependent on other banking sector.

OPPORTUNITIES:

Increased branch and ATM network will enable the bank to improve the client base.

Sharing the ATM network with other banks will facilitate optimum use of the bank’s
infrastructure and resources.

Integration to globe markets expands the position of oversea banking.

THREATS:

Thinking of interest spread affecting the profitability structure of the bank.

Bank link any other industry are exposed to credit market and operational risks in the day by day
operation.

3.15 PRODUCT PROFILE:

Deposits Scheme.

Saving Bank accounts.

New Nithya Nidhi deposits.

Fixed deposit.

Pragathi tax saver deposit.

Kamadhenu deposit.
 CHAPTER -4
DATA ANALYSIS AND
INTERPRETATION
 CHAPTER - 4

DATA AND INTERPRETATION

 TABLE – 4.1

THE OCCUPATION OF RESPONDENTS

SL.NO. PARTICULARS NO. OF PERCENTAG

RESPONDENT E
S
1 Working Employee 18 36

2 Government

Employee 14 28

3 House Wife 9 18

4 Self-Employee 9 18

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

From the above table it is analysed that 18 respondents are working employees, 14
respondents are Government Employees, 9 respondents are house wives and rest others are self-
employees.
 GRAPH- 4.1

OCCUPATION OF RESPONDENTS

INTERPRETATION:

The graphs represent the occupations of the respondents are working employees as 36%
and government employees as 28% both the house wife and self-employees are 18%. Hence
house wife and self-employees not much interest on the internet banking.

TABLE – 4.2

LIKING TO E-BANKING
 SL. PARTICULARS NO. OF PERCENTAGE

NO. RESPONDENTS

1 YES 20 40

2 NO 10 20

3 NOTHING 18 36

4 NEVER 2 4

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

The above E-banking represent the liking of E-banking by its clients say Yes and 20%
said No 36% opened Nothing and 18% were Not at all interested.
 GRAPH: 4.2

REPRESENTTHE LIKE OF E - BANKING

INTERPRETATION:

The above E-banking represent the liking of E-banking by its clients say Yes and 20%
said No 36% opened Nothing and 18% were Not at all interested.

TABLE-4.3

WHICH BANK YOU PREFERED

 SL. PARTICLURS NO. OF PERCENTAGE

NO. RESPONDENT
S
1 ICICI Bank 5 10
2 Canara Bank 20 40
3 PLD Bank 16 32
4 Axis Bank 9 18
5 TOTAL 50 100

SOURCE: PRIMARY DATA

ANALYSIS:

The above graph showing the which bank you preferred as ICICI Bank is 10% choose
and 40% is CANARA Bank and PLD Bank is 32% choose and AXIS Bank is 18%. Hence more
given preferred the bank is CANARA Bank.
 GRAPH: 4.3

REPRESENT THE WHICH BANK YOU REFERRED

INTERPRETATION:

The above graph showing the which bank you preferred as ICICI Bank is 10% choose
and 40% is CANARA Bank and PLD Bank is 32% choose and AXIS Bank is 18%. Hence more
given preferred the bank is CANARA Bank.

TABLE-4.4

WHY THIS BANK

SL. PARTICULARS NO. OF. PECENTAGE

NO. RESPONDENTS

1 Service is good 30 60
 SL. PARTICULARS NO. OF. PECENTAGE

NO. RESPONDENTS

2 They provide
security
5 10

3 Cheaper service fees 12 24

4 Service is bad 3 6

5 TOTAL 50 100

SOURCES: PIMARY DATA

ANALYSIS:

The above graph shows the why this bank as service is good is 60% and provide security
is 10% cheaper service fees is 24% service is bad is 6%. Hence the lees than the service is bad
the bank.
 GRAPH: 4.4

REPRESENT WHY THIS BANK

INTERPRETATION:

The above graph shows the why this bank as service is good is 60% and provide security
is 10% cheaper service fees is 24% service is bad is 6%. Hence the lees than the service is bad
the bank.

TABLE – 4.5

SERVICE OF THE BANK ARE

SL. NO. OF

NO. PARTICULARS RESPONDENTS PERCENTAGE

1 POOR 2 4
 SL. NO. OF

NO. PARTICULARS RESPONDENTS PERCENTAGE

2 GOOD 28 56
3 VERY GOOD 15 30
4 EXCELLENT 5 10
5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

The above graph represents the service of the bank are as poor is 4% and good is 56%
and very good is 30% excellent is 10%. Hence the service the bank is good is 56% maintain this
in future.

GRAPH: 4.5
 REPRESENT THE SERVICE OF THE BANK ARE

INTERPRETATION:

The above graph represents the service of the bank are as poor is 4% and good is 56%
and very good is 30% excellent is 10%. Hence the service the bank is good is 56% maintain this
in future.

TABLE – 4.6

ARE YOU SATISFIED WITH THE USING OF E-BANKING?

SL. NO. OF

NO. PARTICULARS RESPONDENT PERCENTAGE

S
1 LIKE 9 18
 SL. NO. OF

NO. PARTICULARS RESPONDENT PERCENTAGE

S
2 DUS LIKE 1 2

3 YES 33 66

4 NO 7 14

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

The above graph says the satisfied with the using of e-banking is more say “YES”.

Hence the satisfied with the using e-banking is 66%of the respondents.
 GRAPH: 4.6

SATISFIED WITH THE USING OF E-BANKING

INTERPRETATION:

The above graph says the satisfied with the using of e-banking is more say “YES”.

Hence the satisfied with the using e-banking is 66%of the respondents.

TABLE- 4.7

WHICH TYPE OF SERVICE MOSTLY YOU USE

SL. NO. OF

NO. PARTICULARS RESPONDENT PERCENTAGE

S
1 BALANCE AND 0 0
 SL. NO. OF

NO. PARTICULARS RESPONDENT PERCENTAGE

S
TRANSACTION
HISTORY

2 TRANSFER FUND 16 32
ONLINE

3 OPEN FIXED 0 0
DEPOSIT

4 ATM 34 68

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

The above graph shows the which type of service mostly you use is ATM is most given
service of customer. Hence most like ATM card to use.
 GRAPH: 4.7

REPRESENT THE WHICH TYPE OF SERVICE MOSTLY YOU USE

INTERPRETATION:

The above graph shows the which type of service mostly you use is ATM is most given
service of customer. Hence most like ATM card to use.

TABLE – 4.8

ARE YOU AWARE OF INTERNET BANKING?

 SL NO. OF

NO PARTICULARS RESPONDENTS PERCENTAGE

1 YES 44 88

2 NO 6 12

3 NOTHING 0 0

4 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:

The above graph is finding that aware of e-banking is more members is more members is
to select the 88% as respondents. Hence internet is a long time use of the future life.
 GRAPH: 4.8

ARE YOU AWARE OF INTERNET BANKING

INTERPRETATION:

The above graph is finding that aware of e-banking is more members is more members is
to select the 88% as respondents. Hence internet is along time use of the future life.

TABLE-4.9

HOW LONG YOU ARE USING INTERNET

SL. NO. OF

PARTICULAR RESPONDENT PERCENTAGE

NO.
S
1 Yet 0 0
 SL. NO. OF

PARTICULAR RESPONDENT PERCENTAGE

NO.
S

2 Less than 1 year 10 20

3 2-5 years 28 56

4 Above all 12 24

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS: The graph finds the how long you use internet is 2-5 years. Hence the use in the
new technology of e-banking.
 GRAPH: 4.9

HOW LONG YOU ARE USING INTERNET BANKING

INTERPRETATION:

The graph finds the how long you use internet is 2-5 years. Hence the use in the new
technology of e-banking.

TABLE-4.10

HOW WELL ARE YOU SATISFIED WITH THE INTERNET BANKING

CHANNEL
 SL. NO. OF

NO. PARTICULAR RESPONDENT PERCENTAGE

S
1 Healthy satisfied 8 16

2 Satisfied 24 48

3 Neutral 1 2

4 Dis satisfied 17 34

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above table show how well satisfied with the internet banking is satisfied the people
to use e-banking.
 GRAPH: 4.10

HOW WELL ARE SATISFIED WITH THE INTERNET BANKING

CHANNEL

INTERPRETATION:
The above table show how well satisfied with the internet banking is satisfied the people
to use e-banking.

TABLE- 4.11
WHAT DO YOU THINK OF THE FACILITIES OFFERED BY THE BANK
FOR INTERNET BANK

SL. NO. OF

NO PARTICULAR RESPONDENT PERCENTAGE

S
1 EXCELLENT 35 70

2 VERY GOOD 12 24

3 GOOD 2 4

4 AVERAGE 1 2

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above graphs show the facility offered by the bank is excellent. Hence maintain the
future to improve and growth the bank.
 GRAPH: 4.11

WHAT DO YOU THINK OF THE FACILITIES OFFERED BY THE BANK

FOR INTERNET BANK

INTERPRETATION:
The above graphs show the facility offered by the bank is excellent. Hence maintain the
future to improve and growth the bank.
 TABLE – 4.12
FOR WHAT PURPOSE YOU ARE USING INTERNET BANKING

SL. NO. OF
RESPONDESNT
NO. PARTICULARS PERCENTAGE
S
1 Business activities 18 36

2 Electronic payment 25 50

3 Demate services 4 8

4 Others 3 6

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above graphs find the what purpose you are using banking is more using is electronic
payments.
 GRAPH- 4.12

FOR WHAT PURPOSE YOU ARE USING INTERNET BANKING

INTERPRITATION:
The above graphs find the what purpose you are using banking is more using is electronic
payments.
 TABLE – 4.13

MENTION YOUR REASON FOR SATISFACTION TOWARDS THE

INTERNET BANKING

SL. NO. OF

NO. PARTICULAR RESPONDENT PERCENTAGE

S
1 Cheap and host 11 22

2 Saving time 40
consumption
20

3 Fast translation 16 32

4 No need to visit 3
bank often
6

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above graph showing reason for satisfaction towards the internet banking is more
than responders’ fast transaction is good.
 GRAPH – 4.13

MENTION YOUR REASON FOR SATISFACTION TOWARDS THE

INTERNET BANKING

INTERPRETATION:
The above graph showing reason for satisfaction towards the internet banking is more
than responders’ fast transaction is good.
 TABLE – 4.14

HOW FREAQUENTLY YOU USE INTERNET BANKING FACILITY

SL. NO. OF
PARTICULAR RESPONDENT PERCENTAGE
NO.
S
1 REGULAR 38 76

ONCE IN A WHILE 6 12

2
WHEN I AM OUT 0 0
OF STATION
3
4 INDIFFERENT 6 12

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above graph showing the when I am out of the station is 0%.
 GRAPH – 4.14

HOW FREQUENTLY YOU USE INTERNET BANKING FACILITY

INTERPRETATION:
The above graph showing the when I am out of the station is 0%.
 TABLE – 4.15

HOW LONG HAVE BEEN USING WWW.

SL. NO. OF
PARTICULAR RESPONDENT PERCENTAGE
NO.
S
1 to 6 12 24
Months
1

2 Less than 1 year 6 12

3 1 Month 3 6

4 More than 10 year 29 58

5 TOTAL 50 100

SOURCES: PRIMARY DATA

ANALYSIS:
The above graph showing the major more than 10 years to using the www. web of the
customer.
 GRAPH – 4.15

HOW LONG HAVE BEEN USING THE WWW.

INTERPRITATION:
The above graph showing the major more than 10 years to using the www. web of the
customer.
 CHAPER-5
SUMMARY OF FINDINGS,
SUGGESTIONS AND CONCLUSIONS
 CHAPTER – 5

FINDINGS, CONCLUSION AND SUGGESTIONS

5.1 FINDINGS
 The present findings from the interpretation of results regarding factors considered for
adopting e-banking / internet banking services by bank customers, functional / psychological
barriers, and usefulness and benefits of e-banking services are enumerated here.

The represent the occupation of the respondents are working employees as 36% and government
employees as 28% both the house wife and self-employees are 18%. Hence house wife and self-
employees not much interest on the internet banking.

Majority of the employees are liking e-banking services.

Internet centre in the study area is the place for using internet for around 50 percent of the
respondents.

The above graph showing the which bank you preferred as ICICI Bank is 10% choose and 40%
is CANARA bank as 40% and PLD bank is 32% choose and AXIS bank is 18%. Hence more
given preferred the bank is CANARA bank.

The above graph shows the why this bank as service is good is 60% and provide security is 10%
cheaper service fees is 24% service is bad is 6%. Hence the lees than the service is bad the bank.

The above graph represents the service of the bank are as poor is 4% and good is 56% and very
good is 30% Excellent is 10%. Hence the service the bank is good is 56% maintain this is future

The above graph says the satisfied with the using of e-banking is more say “YES”. Hence the
satisfied with the using e-banking is 66% of the respondents

The above graph shows the which type of service mostly you use is ATM is most given service
of customer. Hence most like ATM card to use

The above graph is finding that aware of e-banking is more members is to select the 50% as
respondents. Hence internet is long time use of the future life.

The graph finds the how long you use internet is 2-5 years. Hence the use in the new technology
of e-banking

The above table show how well satisfied with the internet banking is satisfied the people to use
e-banking.
Though majority of the bank customers perceive the ATM usage as important, the importance of
ATM usage is significantly related to location, education and occupation of the bank customers
based on the present study.

The perceived importance of Tele-banking is independent of the location and income but
depends upon sex, age education and occupation of the bank customers.

The internet banking is important for bank customers and at the same time the importance of
internet banking is significantly related to their age, education and income.

The extent of services like Online Enquiry, Online Payment, Credit Card and Telephone Banking
has been at “Fair” level whereas the extent of services such as ATM Card, Debit Card, Internet
Banking, Depository Service, and Investment Advisory Service, e-Transfer of Funds, Core
Banking and Anywhere Banking has been “good” by the banks.

The is significant difference in the extent of services as provided by both public and private
sector banks.

The preference to manual banking is little more than that of e-banking and preference towards
manual banking and e-banking is largely associated with location, age, education and occupation
of the bank customers.

There is significant relationship between adoption of e-banking and location, age, education and
income of the bank customers.

The adoption of e-banking is significantly associated with the number of banking transactions
per month among bank customers.

The bank customers consider “Like to use new technologies”, “IB has made banking easy” and
“Use IB for better rate offers and charges only” as the primary reasons for adoption of e-banking.

It is found that some bank customers have not adopted e-banking services as they do not trust the
internet as a channel for banking and it is complicated to use as well as they cannot afford the
Internet fee.
The “Variety of services offered by the bank” is very important criteria and other criteria such as
“Size of the bank”, “Reputation of the bank”, “Ownership of the bank-Overseas”, and
“Ownership of the bank-Local” are the important criteria while “Familiarity with the bank”, is
neither unimportant nor important for the bank customers to consider for adopting e-banking /
internet banking.

It is found that “Withdrawals using ATM” is the service performed in the banks very much to the
expectation of the bank customers. Besides this, User friendliness of e-Banking, Debit Card
Facilities and Security of Transactions are the other three services performed very well by the
banks to the bank customer expectation in that order.

The services such as “Deposits using ATM” and Telephone Banking” performed by the banks
are just “good” in turn indicating that these services are somewhat up to the expectation of bank
customers.

There is no notable difference between the performed services such as “Deposits using ATM”
“Credit card facilities”, Telephone banking”, “Reasonableness is cost”, “Security of
transactions”, “Adequacy of knowledge provide by bank” and “Promptness in attending
grievances”.

The services such as “Withdrawals using ATM”, “Debit Card Facilities”, “Internet Banking”,
“E-Transfer of Funds”, “User friendliness of e-Banking” provide in thee private sector banks are
significantly much better than those in public sector banks.

It is elicited that “Debit Card Facilities” followed by “Withdrawals using ATM”, “Internet
Banking” and e-transfer of Funds” are the first four quality services provided by the banks via e-
banking / internet banking to bank customers.

Significant differences are observed in the services provided adequately via e-banking / internet
banking between private and public sector banks.
5.2 CONCLUSION

E-banking has transformed not only the banking relationships but transformed the whole
banking industry. The e-banking, therefore taken as a mandate by the banks rather than just an
additional feature in most of the developed nations, as it is the economical medium to cater the
banking customers. Today banking staff need to be there personally for enabling banking
transactions. But still there is strong requirement of customer – awareness regarding e-banking
facility prevails in India and it can serve through proper scanning and analysis of the market.

Through e-banking customers can process any banking transaction without even visiting
bank branch at any time anywhere and this is known as “anywhere banking”. providing e-
banking is no more considered as an additional feature of a banking institution, but now it is
becoming an essential feature of a bank.

Since this research was conducted based on individua’s preferences and also to identify
the challenges that banks faces on usual bases, concern with e-banking, the result found was
satisfactory and majority in favour of banks. Because majority of respondents were please and
satisfied with e-banking service/products in terms of secureness, technology in use and
accessibility at anywhere and any point of time. But still there were some challenges and hurdles
that individual users were facing with banks regarding the services and products that they were
utilizing and/or willing to utilize. And those hurdles and challenges were mostly with the
documentation processes, service charges, low internet accessibility, illiteracy of users and low
cooperation of banks and regulatory bureau’s in education of users toward utility of e-banking.

It was also found that, majority of customers were utilizing e-banking services and
products for wide variety of needs such as: ATM withdrawals, POS purchasing, online
payments, online banking, SMS banking, mobile banking and many more concern activities.

5.3 SUGGESTIONS

The following suggestions are recommended for enhancing e-banking / internet banking
services of banks to the customers

Banks should take necessary steps to create awareness among rural people about the advantages
of e-banking / internet banking services available in the banks.

The e-banking / internet banking system should be enhanced to make the online enquiry and
online payments much easier to the customers.

Public sector banks should improve their e-banking / internet banking services to complete with
their private sector counterparts.

Most of the customers have not avail of the e-banking / internet banking services because they
do not trust the internet channel presuming it as complicated. So, banks may set up a team of
personnel to train the customers to get acquainted with internet channel.

The bank customers have perceived the risk of getting wrong information from e-banking /
internet banking services. These illusions should be removed from the minds of the customers by
bank people as these factors are the barriers for most of the customers for not adopting these
services.

Though e-banking / internet banking is convenient and easy to use, customers are afraid of
adopting these services because they think that using these “services are difficult and
complicate”. So, on-site training can be provided to the bank customers who intend to use e-
banking / internet banking services.

In the globalized period, creating nation like India needs to acquire changes their saving money
framework by enabling the brokers to embrace imaginative arrangements with the end goal that
they can without much of a stretch rival the multinational financiers.

Because of an initiative nature of worker client relationship, including contribution from

representatives on what constitutes “benefit greatness” will the bank and give customer particular
administrations.

It needs to contribute on worker preparing programs that will furnish representatives with and
comprehension of administration culture and administration brilliance especially at forefront
levels

Worker preparing projects should centre around relational correspondence and client mind
factors so as to have the client’s issue for customized benefit

BIBLOPGRAPHY

AUTHORS TITLE PUBLICATION

MURUGASHE E-BANKING AND E- N. SUBRAMANI
COMMERCE

S S KANAKA HUMAN RESOURCE CHAND PUBLICATIONS

MANAGEMENT

ANBALAGAN E-BANKING HIMALAYA

PUBLICATIONS
WEBSITSE:
www.google.com

www.wikipedia.com

www.shodhaganga.com

www.pragathikrishnabank.com

QUESTIONNAIRES A STUDYBON E-BANKING AND IT'S IMPACT ON

CUSTOMER VALUE CREATION AT PRAGATHI KRISHNA GRAMIN
BANK IN MANDIKAL BRANCH.

DEAR RESPONDES SIR/MADAM

ARAVINDA V STUDENT OF P,G,CENTRE -KOLAR (P G BLOCK) conducting research on
A STUDY ON E-BANKING AND IT'S IMPACT ON CUSTOMER VALUE CREATION AT
PRAGATHI KRISHNA GRAMIN BANK MANDIKAL BRANCH.

I kindly request you to fill these questionnaires

NAME:

AGE

Occupation?

Working ( )

Government employee ( )

House wife ( )

Self-employee ( )

Do you like e-banking?

Yes ( )

No ( )

Like ( )

Dislike

Tick which bank you preferred?

ICICI Bank ( )

Canara bank ( )

Pragathi Krishna GraminBank ( )

Axis bank ( )

Why this bank?

Service is good ( )

They provide security ( )

Cheaper service fees ( )

No service ( )

Service of the bank are?

Poor ( )

Good ( )

Very good ( )

Average ( )

Are satisfied with the using of e-banking?

Yes ( )

No ( )

Which type of service mostly you use?

Balance and transaction history ( )

Transfer fund online ( )

Often fixed deposit ( )

ATM ( )

Are you aware of internet banking?

Yes ( )
No ( )

Have you used this facility?

Not used ( )

Less than 1 year ( )

2 – 5 years ( )

Above all ( )

How well are satisfied with the internet banking channel?

Healthy satisfied ( )

Satisfied ( )

Neutral ( )

Dissatisfied ( )

What do you think of the facilities offered by the bank for internet banking?

Excellent ( )

Very good ( )

Good ( )

Average ( )

For what purpose you are using internet banking?

Business activity ( )

Electronic payment ( )

Demate service ( )
Others ( )

Mention your reason for satisfaction towards the internet banking?

Cheap and best ( )

Saving time consumption ( )

Fast transaction ( )

No need to visit bank often ( )

What is your over all opinion about internet banking?

Good ( )

Average ( )

Excellent ( )

Poor ( )

How frequently you use internet banking facility?

Regular ( )

Indifferent ( )

Once is a whole ( )

When I’m out station ( )

 P,G,CENTRE -KOLAR.

M,COM Project

PROGRESS REPORT

Sl .no Particulars
1 Name of the student ARAVINDA V

2 Registration number 17QLCOM007

3 Name of the college guide Mr.SUDHAKAR V SIR

4 Name and contact number Mr. RAVI. J

of the company Ph.no:9448586767
guide/external guide
(corporate)
5 Title of the project A STUDY ON E-BANKING AND IT'S
IMPACT ON CUSTOMER VALUE
CREATION AT PRAGATHI KRISHNA
GARMIN BANK IN MANDIKAL BRANCH.

6 Name and address of the PRAGATHI KRISHNA GRAMIN BANK

company/organization MANDIKAL
where project undertaken
with date of starting KOLAR

project. 19-11-2018

Date: 30/11/2018
Candidate Name College Guide Name

Aravinda V. Mr. SUDHAKAR V SIR

SRI GOKULA COLLEGE OF ARTS, SCIENCE AND MANAGENMENT STUDIES, P.G

BLOCK, KOLAR.

MBA Project

PROGRESS REPORT

Sly Particulars
.no
1 Name of the student MOUNIKA V. N

2 Registration number 17VGCMD018

3 Name of the college guide Prof. THANGAVELU. R

4 Name and contact number Mr. RAVI. J

of the company Ph.no:9448586767
guide/external guide
(corporate)
5 Title of the project A STUDY ON E-BANKING

6 Name and address of the PRAGATHI KRISHNA GRAMIN BANK

company/organization KEMBODI
where project undertaken
with date of starting KOLAR

project.
Sly Particulars
.no
19-11-2018

7 Progress report II: A brief Met internal guide and discussed about 3rd
note reflecting, Number of chapter and finalized. In progress of 4th chapter,
preparing graphs, charts regarding the study.
meeting with Guides,
Places visited, Libraries Libraries visited:
visited, Books referred,
Gokula college library.
Meeting with persons,
Activities taken up, Books referred:
Preparations done for E-Banking and E-Commerce, Emerging issues
collection and analysis of in India N. Subramani, M. Murugesan,
data etc.
Indian banking. M Ramachandragowda,
Bhargavi

Himalaya publishers. 2018 edition.

Met company guide and gathered basic

information about company profile.

Web refer:

www.pragathikrishnabank.com

Date: 13/12/2018

Candidate Name College Guide Name

Mounika V.N PROF THANGAVELU R