K.V.N.

NAIK ARTS AND COMMERCE COLLEGE,

DINDORI
A PROJECT OF
“WORKING CAPITAL MANAGEMENT OF HDFC
BANK LTD. NASHIK-KALWAN ROAD DINDORI
BARNCH, DINDORI”

SUBMITTED TO
SAVITRIBAI PHULE PUNE UNIVERSITY
IN PARTIAL FULFILLMENT OF THE DEGREE OF
MASTER OF COMMERCE

SUBMITTED BY
RAHUL BALIRAM RATHOD
MCOM-II, ROLL NO: 31

UNDER THE GUIDENCE OF

PROF. YOGITA DHAKNE

FOR THE ACADAMIC YEAR

2022–2023
Certificate
Guide Certificate
 Acknowledgement

This project report bears the imprint of those who had

rendered their wholehearted support and encouragement without

whose help this effort of mine would be in vain. I express my

deep sense of gratitude and sincere thanks to my project guide

Prof. Mrs. “Yogita Dhakne” at K.V.N. Naik Arts and Commerce

College, Dindori for his time-to-time guidance, encouragement,

directions, suggestion and information provided which were of

utmost importance for the successful completion of the project.

I thankful to my friend Miss. Pooja Dillikar who worked in

HDFC Bank, Dindori Branch for assisting me in the timely

completion of project. And I would also like to thank Mr. Manoj

Srivastava, Senior Manager who permitted me to work on my

project in his branch and for his timely support and advice that

helped me in preparation of this report.

No words and language can ever be sufficient to express

my gratitude to the above-mentioned persons who provided me

with the support to prepare this project.

 Declaration

I Rahul Rathod, hereby declare that project entitled

“WORKING CAPITAL MANAGEMNET OF HDFC BANK”

submitted to K.V.N. Naik Arts & Commerce College, DINDORI

in partial fulfilment of the requirement for Master Degree of

th
business administration (SEM 4 ) is my original work. It is by my

own and not copied one from other.

Signature of the candidate

Rahul Rathod
 Executive Summery

The project report is on the study of working capital

management and the credit appraisal process of HDFC Bank Ltd.

The working capital management here refers to the working

capital loan provided by the bank to the customers and its

appraisal.

Working capital is one of the most difficult financial

concepts to understand. In fact, the term means a lot of different

things to a lot of different people. By definition, working capital is

the amount by which current assets exceed current liabilities. It

involves the relationship between a firm’s short-term assets and

its short-term liabilities.

Working capital management is an integral part of overall

corporate management. Many finance managers, who are quite at

home and competent in dealing with long term decisions, such as

capital investments experience difficulties when they have to scout

for funds to meet the day to day working needs. With bank

finance getting increasingly scare, regulated and expensive the

 emphasis has shifted to closer attention to internal generation of

funds and the development of the enterprises ability to raise

funds in the market.

Working capital is one of the most important requirements

of any business concern. Working capital can be compared with

the blood of human beings. As human can’t survive without blood

in the same way any business concern can’t survive without

working capital.

SL. NO. PARTICULARS PAGE NO.

Chapter - 1. Introduction To Study 3

Chapter - 2. Company Profile 7

Chapter - 3. Objectives of Study 10

Chapter - 4. Review of Literature 12

Chapter - 5. Research Methodology 14

Data Analysis and

Chapter - 6. Interpretations 16
Observation

Tentative Chapter Scheme

 Chapter-1
Introduction to
study
 Introduction to the study

The Housing Development Finance Corporation Limited

(HDFC BANK Ltd.)

The project was carried out for understanding how the

bank providing working capital finances to businessmen and its

market potential. HDFC Bank was established in the year of

1994, they are old player in banking sector. The bank has two

principle client segments- customer and asset management. The

bank follows values such as- Integrity, teamwork, respect,

professionalism, & Mission. The segment of bank we are

considering here is- Corporate banking. This research helps us in

finding out the customers view regarding the term limit, & cash

credit limit offered by the HDFC Bank and also identifying the

potential of the product offered by the HDFC bank.

 Working capital in simple terms means the amount of

fnds that a company requires for financing its day-to-day

operations. Finance manager should develop sound techniques of

managing current assets.

Working capital is one of the most difficult financial

concepts to understand. In fact, the term means a lot of different

things to a lot of different people. By definition, working capital is

the amount by which current assets exceed current liabilities. It

involves the relationship between a firm’s short-term assets and

its short-term liabilities.

Funds needed for short term needs for the purpose

like payment of wages, payment to suppliers and other day to

day expenses are known as working capital. The goal of working

capital management is to ensure that the firm is able to continue

its operation and that it has sufficient cash flow to satisfy both

maturing short-term debt and upcoming operational expenses.

Such funds which are needed by business are provided by

banks. HDFC bank provide working capital loan to its prospective

customers.
 Working capital loan is also called as CC Limit or OD

Limit, which is provided by banks to the firms for their day-to-day

payments to the suppliers. Every firm needs funds to carry on its

day-to-day operations such funds are provided by HDFC bank at

lower interest rate. Firms to whom the CC limit is provided are

like: Proprietorship, Partnership, Private Ltd., Public Ltd., and

HUF.

Firms should be at least 2 years old to get the CC

limit from bank; this is called as “Vintage Period”. The firm whose

turnover is less than 7.5 crore comes under EEG and a firm

whose turnover is more than 7.5 crore comes under BBG

(Business banking Group). The bank usually provides 30% of the

turnover as working capital loan to the firms. The bank keeps the

Stock and Debtors as Primary Security and Property as a

Secondary Security. Bank does not keep Plot as a security for

working capital loan.

There is also a CC Limit process called “Take over Process”. If a

firm is already taking CC limit from some other bank, then HDFC

bank also provide them CC Limit by take over there already

running CC limit from their current bank at much lower rate than

they are getting now and they also enhance the limit value.

CC Limit is called as Cash Credit Limit and OD Limit

is called as Overdraft Limit. In CC Limit bank hypothecate the

stock but in OD limit bank does not hypothecate the stock, this is

the difference between CC Limit and OD Limit. But CC Limit is

mostly taken by the firms.

After taking the documents from the owner of the firm

regarding working capital loan (CC Limit) the documents are send

to the concerned department for further process. Now the

appraisal of the loan has to be done by the credit manager.

Credit manager analyse the documents and see whether the

person is eligible for the CC Limit or not.

 Business Objective:

The primary objective of HDFC is to enhance

residential housing stock in the country through the provision of

housing finance in a systemic and professional manner, and to

promote home ownership. Another objective is to increase the

flow of resources to the housing sector by integrating the

housing finance sector with the overall domestic financial

markets.

 ORGANISATIONAL GOALS:

HDFC Bank’s main goas are to,

(a) Develop close relationships with individual households,

(b) Maintain its position as the premier housing finance

institution in the country,

(c) Transform ideas into viable and creative solutions,

(d) Provide consistently high returns to shareholders, and

(e) To grow through diversification by leveraging off the

existing client base

SLOGAN: “We Understand Your

World”
  STRONG NATIONAL NETWORK:
HDFC BANK

HDFC bank ltd provides various financial products and

services. It operates in three segments: Retail Banking, Wholesale

Banking, and Treasury. The Retail banking segment provides

various deposit products, including savings Accounts, current

accounts, fixed deposits, and demat accounts. It also offers Auto,

personal, commercial vehicle, home, gold, and educational loans;

loans Against securities and property and health care finance

Working capital finance, construction equipment finance, and

warehouse Receipt loans, as well as credit cards, debit cards,

depository, investment Advisory, bill payments, and transactional

services. In addition, this segment Sells third party financial

products, such as mutual funds and insurance, as Well as

distributes life and general insurance products through its tie-ups

with insurance companies and mutual fund houses.

The wholesale banking Segment provides loans, non-

fund facilities, and transaction services to large Corporate,

emerging corporate, small and medium enterprise, supply chain,

Public sector undertaking, central and state government

departments, and Institutional customers. It offers deposit and

transaction banking products, Supply chain financing, working

capital and term finance, agricultural loans, and funded non-

funded treasury, and foreign exchange products. This segment’s

services include trade services, cash management, and money

Market, custodial, tax collection, and electronic banking. In

addition, it provides correspondent bank services to co-operative

banks, private banks, foreign banks, and regional rural banks.

The Treasury Services segment operates primarily in areas, such

as foreign exchange, money market, interest rate trading, and

Equities.
 Working Capital:

HDFC Bank offers you a unique range of working capital facilities

at your door-step. We offer affordable, convenient financial

solutions which are of paramount importance in running an

efficient enterprise.

You can choose from the range of customized working capital

loans for smooth business operations.

 Types of Working Capital:

 Cash Credit / Overdraft

 Term Loan (TL)

 Letter of Credit (LC)

 Bank Guarantee (BG)

 Packing Credit (PC)

 Post Shipment Finance

 Bill Discounting
 Customer Segment: SMEs including Traders, Manufacturers,

Service Enterprises, Retailers, Stockist, Distributors, Merchant

Establishments, Departmental Stores, Supermarkets,

Restaurants, Multi Brand Outlets etc.

Products Offered:

 Value draw - Working Capital Facilities from Rs. 10 Lacs

to Rs. 25 lacs against wide range of collaterals adding more

value to Business.

 Elite draw - Take your business to Elite heights with our

Working Capital Solutions for from Rs. 25 lacs onwards

against wide range of collaterals.

Value draw:

Providing financial assistance to first-time borrowers/ existing

borrowers an efficient working capital solution from the Emerging

Enterprises Group, the Value draw over draft facility!

 Why chooses this product?

 Credit facility up to Rs 25 Lacs/Take-Over of existing

facilities at attractive interest rates.

 Wide range of collateral options

 Residential/Commercial/Industrial Property/Shares

 Stock/Book-Debts/Gold

 Relationship Management

 Pre-Qualified “Business Credit Cards” to meet your business

expenses
  What documents needs to be submitted?

 CA Certified/Audited Financial statements

 Previous Six-month bank statements

 Term loan re-payment track record if any

 Collateral Documents  Any other documents as per bank’s

discretion based on individual case merit.

Elite draw:

Providing financial assistance to first-time borrowers/ existing

borrowers an efficient working capital solution from the Emerging

Enterprises Group, the Value draw over draft facility!

 Why chooses this product?

 Credit facility up to Rs 25 Lacs/Take-Over of existing

facilities at attractive interest rates.

 Wide range of collateral options

 Residential/Commercial/Industrial-Property/Shares

 Stock/Book-Debts/Gold

 Dedicated Relationship Management

 Pre-Qualified “Business Credit Cards” to meet your business

expenses

 What documents needs to be submitted?

 CA Certified/Audited Financial statements

 Previous Six-month bank statements

 Term loan re-payment track record if any

 Collateral Documents

 Any other documents as per bank’s discretion based on

individual case merit.

  INTEREST RATE, CHARGES & FEES:

Processing Fees Upton 1% (plus taxes) of the facility amount

or Rs 7500/- whichever is higher Rs 5000/-
(plus taxes) will be collected upfront as non-
refundable administrative cost towards the
legal and valuation expenses incurred prior
loan sanction.
Renewal Fees Upton 0.75% (plus taxes) of facility amount.
Taxes as applicable
Additional Interest Charged @ 18.00% p.a. for Overdue / delay /
default of any monies payable
Commitment Charges Average Utilization> 60% - Nil charges
Average utilization < 60%- 0.50% p.a. (plus
taxes) on the difference between the actual
utilization and average quarterly utilization of
60%. - Charges will be levied on a quarterly
basis Applicable only for CC/OD facility
Pre-Payment Charges Charged up to 2% (plus taxes) of the total
limits sanctioned, in case the facilities are
taken over by another Bank during the tenor
of the loan. For Term Loans it would be
charged on Principal Outstanding as on date.
Loans pre-paid from own sources will not
attract pre-payment charges.
Stamp Duty & other statutory As per applicable laws of the state
charges
Legal / Valuation NIL
No Due Certificate / No Objection NIL
Certificate (NOC)
Intra-Day Peak utilization charges NIL
Duplicate no due Certificate / NOC Rs. 250/- (plus taxes)
Non-Submission of property/stock 2% Additional Rate of interest on the amount
out-standing.
insurance
Penal Interest @2% additional on existing ROI for non-
submission of Insurance / Stock Statement
Stock-audit charges Credit facilities from Rs 1 Cr to 5 Cr- Rs
8000 (Plus GST) Credit facilities > Rs 5 car -
Rs 12000 (Plus GST)
ROC filling charges (On customer Rs 3000/- (plus taxes) per filing on availing
bank empaneled vendor services. Customers
request) may also avail services of other vendors as
 per their convenience.
Issuance of Solvency certificate 1% of the solvency certification value subject
to minimum of Rs 1000 (plus taxes) and
maximum of Rs 25,000 (plus taxes)
Cheque bounce charges for term Rs 450 (plus taxes) Per cheque bounce
loans
Late payment penalty 24% per annum (plus taxes) on the amount
out-standing from date of default.
Temporary over-draft 18% per annum on the amount utilized above
the sanctioned credit limit.
Commission on LC/BG issuance Up to 1.5% on LC/BG Amount (plus taxes)
Penal Interest for maintaining @2% additional levy over existing Rate of
Interest.
Current Account with Other Bank
while facility is granted under Sole
Banking (Applicable where
specific permission is not taken by
the customer).
Penal interest on customer @2% additional levy over existing Rate of
Interest from the date of renewal overdue,
exposures, overdue for renewal of subject to a minimum of Rs.2500 per month.
credit facilities.
Penal interest for customers not @2% additional levy over existing Rate of
Interest from the date of LAD overdue,
submitting the Letter subject to a minimum of Rs.2500 per month.
Acknowledging their
Debt (LAD)
Higher levy in case account Upton 2% additional levy over existing Rate
of Interest.
conduct deteriorates
Incremental Interest on Ad hoc @2% additional levy over existing Rate of
Interest.
limits.
Incremental Interest on Temporary 18% p.a. on TOD amount availed for the
days, TOD is used.
overdrafts (TOD)
Penal Interest for not complying @2% additional levy over existing Rate of
Interest.
with documentation for the credit
facility.
Service Charges - for processing Rs. 500 for every physical stock statement
collected or submitted.
Physical Stock Statement.
 WORKING CAPITAL MANAGEMENT AND
POLICY:

Working capital can be defined as the amount at

funds, which a Company must have to finance its day-to-day

operations. It can also be regarded as that proportion of the

companies‟ total capital, which is employed in “current

liabilities” which are short term assets that are normally

expected to get converted into cash within a year. Current

liabilities are short term liabilities maturing for the payment

within a short period say one year, and they partly support

the investment in current assets. In other words they serve

as a source of working capital.

 Net working capital is defined as the difference

between current assets and current liabilities, and

represents the extent to which current assets are

financed by long-term funds.

 Working capital management is the process of

administration of current assets and Current liabilities

within the policy guidelines of the company.

  Working capital policy is concerned with basic policy

decisions regarding.

 The target levels each category of current assets.

 The methods of financing the current assets.

Current assets in many cases constitute more than half of the

total Assets employed in business and therefore, it is essential to

evolve an appropriate working capital policy to suit the specific

needs of the firm an manage its working capital accordingly.

Current liabilities that are specifically financing current assets

come under the preview of working capital policy. These are

distinct from current liabilities which are consequences of past

long term financing decisions, such as current maturates of long-

term debt or those in nature of temporary financing of capital

projects which will be subsequently funded by long term sources

off finance. The aim in working capital management and policy is

to maintain a proper balance between the magnitude of working

capital and the general scale of operations of the company and

to determine, with reference therefore, the appropriate levels of

components of current assets to be maintained and the pattern of

financing them.

 IMPROTANCE OF WORKING CAPITAL MANAGEMENT

The importance of working capital management can be traced to

the following main considerations.

 Current assets constitute the dominant segment of the

total assets employed in most business and, therefore,

require more intense and careful managerial attention.

 The investment in current assets and level of current

liabilities are very sensitive to changes in sale and the

funds requirements shifts rapidly, demanding quick

short-term decisions to sustain smooth operations.

 Through profitability and proper selection of investments

are essential for the long fun prosperity of the

business, its short-term survival depends on its liquidity

or ability to meet short-term obligations fully and

promptly.
 The precondition for liquidity is efficient management of

the elements of working capital and the ability to raise

sufficient short and long-term finance.


 DETERMINANTS OF WORKING CAPITAL

In determining the working capital requirements of a

concern, the following are to be considered.

1. Nature and size of Business

2. Manufacturing cycle

3. Sales Growth

4. Production Policy

5. Price Level Changes

6. Firms Credit Policy

7. Availability of Credit
 Chapter-2
Company profile
 Company Profile
The Housing Development Finance Corporation

Limited (HDFC) was amongst the first to receive an 'in principle'

approval from the Reserve Bank of India (RBI) to set up a bank

in the private sector, as part of the RBI's liberalization of the

Indian Banking Industry in 1994. The bank was incorporated in

August 1994 in the name of 'HDFC Bank Limited', with its

registered office in Mumbai, India. HDFC Bank commenced

operations as a Scheduled Commercial Bank in January 1995.

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

impeccable track record in India as well as in international

markets. Since its inception in 1977, the Corporation has

maintained a consistent and healthy growth in its operations to

remain the market leader in mortgages. Its outstanding loan

portfolio covers well over a million dwelling units. HDFC has

developed significant expertise in retail mortgage loans to different

market segments and also has a large corporate client base for

its housing related credit facilities. With its experience in the

financial markets, a strong market reputation, large shareholder

base and unique consumer franchise, HDFC was ideally

positioned to promote a bank in the Indian environment. HDFC

Bank began operations in 1995 with a simple mission: to be a

“World Class Indian Bank.” We realized that only a single-minded

focus on product quality and service excellence would help us get

there. Today, we are proud to say that we are well on our way

towards that goal.

HDFC Bank Limited (the Bank) is an India-based

banking company engaged in providing a range of banking and

financial services, including commercial banking and treasury

operations.

HISTORY OF HDFC BANK

HDFC BANK LTD was incorporated in August 1994 in the

name of 'HDFC Bank Limited’, with its registered office in

Mumbai, India. HDFC Bank commenced operations as a

Scheduled Commercial Bank in January 1995.

If ever there was a man with a mission it was Hasmukh

Bhai Parekh, Founder and Chairman-Emeritus, of HDFC Group.

HDFC BANK LTD was amongst the first to set up a bank in the

private sector. The bank was incorporated on 30th August 1994

in the name of ‘HDFC Bank Limited’, with its registered office in

Mumbai. It commenced operations as a Scheduled Commercial

Bank on 16th January 1995. The bank has grown consistently

and is now amongst the leading players in the industry.

HDFC is India's premier housing finance company and

enjoys an impeccable track record in India as well as in

international markets. Since its inception in 1977, the Corporation

has maintained a consistent and healthy growth in its operations

to remain the market leader in mortgages. Its outstanding loan

portfolio covers well over a million dwelling units.

HDFC has developed significant expertise in retail

mortgage loans to different market segments and also has a

large corporate client base for its housing related credit facilities.

With its experience in the financial markets, a strong market

reputation, large shareholder base and unique consumer

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

Indian environment in a milestone transaction in the Indian

banking industry, Times Bank was merged with HDFC Bank Ltd.,

effective February 26, 2000.

 MANAGEMENT OF HDFC BANK:

Mrs. Shyamala Gopinath, holds a Master’s Degree in

Commerce and is a CAIIB. Mrs. Gopinath has 39 years of

experience in financial sector policy formulation in different

capacities at RBI. As Deputy Governor of RBI for seven years

and member of the board. Mrs. Gopinath had been guiding and

influencing the national policies in the diverse areas of financial

sector regulation and supervision, development and regulation of

financial markets, capital account management, management of

government borrowings, forex reserves management and payment

and settlement systems.

The Managing Director, Mr. Aditya Puri, has been a

professional banker for over 25 years and before joining HDFC

Bank in 1994 was heading Citibank's operations in Malaysia.

The Bank's Board of Directors is composed of eminent

individuals with a wealth of experience in public policy,

administration, industry and commercial banking. Senior

executives representing HDFC are also on the Board.

Senior banking professionals with substantial experience

in India and abroad head various businesses and functions and

report to the Managing Director. Given the professional expertise

of the management team and the overall focus on recruiting and

retaining the best talent in the industry, the bank believes that its

people are a significant competitive strength.

BOARD OF DRECTORS:
Mrs. Shyamala Gopinath Director
Mr. Partho Datta Director
Mr. Bobby Parikh Director
Mr. A. N. Roy Director
Mr. Malay Patel Director
Mr. Keki Mistry Director
Mrs. Renu Ksrnad Director
Mr. Aditya Puri Managing Director
Mr. Parse Sukthankar Director
Mr. Kiazad Bharucha Director
 Mr. Umesh Chandra Sarangi Director
Mr. Srikanth Nandhamuni Director

 Organization Structure:

MD Chief Financial Officer Treasurer

Adiyta Puri Shashidhar Jagdishan Ashish
Parthasarathy

Head, Wholesale
Director Branch Banking Head Credit & Market
Partho Datta Navin Puri Risk Kaizad
Bharucha

Director Chief Information Officer

Shyamala Gopinath Anil Jaggia Chief Risk Officer
Jimmy Tata

Executive Vice President

Director
Legal & Secretary
Renu Karnad Head, Business,
Sanjay Dongre
Commodities &
Rural Banking
Director Head, Credit and Market Anil Nath
Keki Mistry Risk and HR
Paresh Sukhthankar
Head, Government
Director & Microfinance
Head, Equities, Private
Pandit Palande Rajendra Sehgal
Banking
Abhay Aima
Director
Bobby Parikh
Head, Retail Liabilities,
Marketing & Direct
Director
Banking Channels
Anami Roy
Rahul Bhagat

Head, Wholesale Banking,

Executive Director
Harish Engineer

Operations & Cash

Management
Bhavesh Zaveri
 Departmental Structure:

Regional Head

Circle Head Direct Report (DR) -

Cluster Head

Cluster Head Direct Report (DR)

- Branch

Branch Head

Personal Banker
Authorizer (PBA)

Teller Authorizer

RM/ Imperia Relationship

Manager

Personal Banker

Assistant Branch Manager

(ABM)

Teller

Personal Banker Welcome

Desk (PB WD)

Branch Sales Officer

(BSO)
  TECHNOLOGY USED IN HDFC BANK

HDFC Bank operates in a highly automated environment

in terms of information technology and communication systems.

All the bank’s branches have online connectivity, which enables

the bank to offer speedy funds transfer facilities to its customers.

Multi-branch access is also provided to retail customers through

the branch network and Automated Teller Machines (ATMs).

The Bank has made substantial efforts and investments

in acquiring the best technology available internationally, to build

the infrastructure for a world class bank. In terms of core banking

software, the Corporate Banking business is supported by Flex

cube, while the Retail Banking business by Fin ware, both from i-

flex Solutions Ltd. The systems are open, scalable and web-

enabled.

The Bank has prioritised its engagement in technology

and the internet as one of its key goals and has already made

significant progress in web-enabling its core businesses. In each

of its businesses, the Bank has succeeded in leveraging its

market position, expertise and technology to create a competitive

advantage and build market share.

This type of technology gives the freedom to Customers:

Centralized Processing Units  Derived Economies of Scale

Electronic Straight Through

 Reduced Transaction Cost
Processing

Improve cost efficiency, cross

Data Warehouse, CRM 
sell

Innovative Technology Provide new or superior


Application products

Business Profile
HDFC Bank offers a wide range of commercial and

transactional banking services and treasury products to wholesale

and retail customers. The bank has three key business segments:

Wholesale Banking Services – The Bank's target market ranges

from large, blue–chip manufacturing companies in the Indian

corporate to small & mid–sized corporate and Agri based

businesses.

 Wholesale Banking Services:

The Bank's target market ranges from large,

blue-chip manufacturing companies in the Indian corporate to

small & mid-sized corporate and Agri-based businesses. For

these customers, the Bank provides a wide range of commercial

and transactional banking services, including working capital

finance, trade services, transactional services, cash management,

etc. The bank is also a leading provider of structured solutions,

which combine cash management services with vendor and

distributor finance for facilitating superior supply chain

management for its corporate customers. Based on its superior

product delivery / service levels and strong customer orientation,

the Bank has made significant inroads into the banking consortia

of a number of leading Indian corporate including multinationals,

companies from the domestic business houses and prime public

sector companies. It is recognized as a leading provider of cash

management and transactional banking solutions to corporate

customers, mutual funds, stock exchange members and banks.

 Retail Banking Services:

The objective of the Retail Bank is to provide its target

market customers a full range of financial products and banking

services, giving the customer a one–stop window for all his/her

banking requirements. The products are backed by world-class

service and delivered to the customers through the growing

branch network, as well as through alternative delivery channels

like ATMs, Phone Banking, Net Banking and Mobile Banking.

 Treasury:

Within this business, the bank has three main product

areas - Foreign Exchange and Derivatives, Local Currency Money

Market & Debt Securities, and Equities. With the liberalization of

the financial markets in India, corporate need more sophisticated

risk management information, advice and product structures.

These and fine pricing on various treasury products are provided

through the bank's Treasury team. To comply with statutory

reserve requirements, the bank is required to hold 25% of its

deposits in government securities. The Treasury business is

responsible for managing the returns and market risk on this

investment portfolio.

 Awards and Achievements:

HDFC Bank began operations in 1995 with a simple

mission: to be a "World-class Indian Bank". We realized that only

a single-minded focus on product quality and service excellence

would help us get there. Today, we are proud to say that we are

well on our way towards that goal.

Over the years, the Bank has received recognition and awards

from several leading organizations and publications,

2022
Best Corporate Bank
Asia money Best Bank Awards
Best Bank for SMEs
2022
Best Bank for Diversity & Inclusion

Euromoney Awards for Excellence

Best Bank in India
2022

Fortune India – Grant Thornton

Bharat’s study of India’s Best Best Large Bank – HDFC Bank
Banks 2022

Finance Asia’s Best Companies in Most Committed to High Governance

Asia Poll 2022 Best Standards – HDFC Bank

National Rural Livelihood Mission

HDFC Bank adjudged Best Performing
(NRLM), Ministry of Rural
Bank in SHG Linkage
Development, Govt of India

Euromoney Private Banking and HDFC Bank ranks No. 1 in Super

Wealth Management Survey 2022 Affluent category (USD 100k – 5 Mn)

2021
PWM Global Private Banking
Best Private Bank in India
Awards 2021

Finance Asia Country Awards for

Best Bank in India
Achievement 2021

Asia money Asia Private Banking Best for wealth transfer -

Awards 2021 succession planning in India 2021
Euromoney Awards for Excellence
Best Bank in India
2021

Business Today 19th 'India's HDFC Bank Ranked Among

Coolest Workplace' Survey 'India's Coolest Workplaces'

Asia money Best Bank Awards India’s Best Bank for SMEs 2021:
2021 HDFC Bank

25th Business Today – KPMG Best

Best Large Bank - HDFC Bank
Bank Study

Finnoviti Awards 2021 for

Warehouse Commodity Finance on Finnoviti Awards 2021
Mobile

Euromoney Private Banking and HDFC Bank ranks No. 1 in Mass

Wealth Management Survey 2021 Affluent category

ICAI Award for Excellence in  HDFC Bank wins Gold Shield

Financial Reporting Award for 2019-2020

 SWOT Analysis:
 Strength Weakness
1. One of the leading new age private sector 1. Rural penetration is low.
banks. 2. Lesser no. of branches when compared
2. HDFC Bank has over 4014 branches and with its competitors.
over 11,766 ATM’s, in 2464 cities in India.
3. Existing CBS across its branches.
4. Huge Employee base i.e., more than
51000 employees.
5. Large collaborations with corporate for
employee salary accounts.

Opportunities Threats
1. Mobile banking, internet banking 1.Competitors
2. Venturing into rural areas. 2.New banking licenses
3. Providing more complex products to the 3.Foreign banks that offer complex
ever-increasing demands of the industry. products.

 MISSION STATEMENT OF HDFC BANK

I. World Class Indian Bank

II. Benchmarking against international standards.
III. To build sound customer franchises across distinct
businesses
IV. Best practices in terms of product offerings, technology,
service levels, risk management and audit & compliance

 VISION STATEMENT OF HDFC BANK

 The HDFC Bank is committed to maintain the highest
level of ethical standards, professional integrity and regulatory
compliance. HDFC Bank’s business philosophy is based on four
core values such as:

1. Operational excellence.

2. Customer Focus.

3. Product leadership.

4. People.

The objective of the HDFC Bank is to provide its target

market customers a full range of financial products and banking
services, giving the customer a one-step window for all his/her
requirements. The HDFC Bank plus and the investment advisory
services programs have been designed keeping in mind needs of
customers who seeks distinct financial solutions, information and
advice on various investment avenues.

 BUSINESS STRATEGY

I. Increasing market share in India’s expanding banking

II. Delivering high quality customer service

III. Maintaining current high standards for asset quality through

disciplined credit risk management

INTEGRATED FINANCIAL SERVICES

DISTRIBUTION
 Chapter- 3
Objectives of study
 Objectives

 The objective of the study is to know the short term

financial position of the HDFC Bank with Working Capital

Management.

 To, identify the limitations in management of the HDFC

Bank and suggestions to overcome those limitations.

 To provide a conceptual frame work and theoretical

perception about the performance of HDFC Bank.

 To provide credit facilities to the customers

 To pay wages and salaries to the employees working in

the organization.

 To know the day-to-day expenses.

 The main purpose of our study is to render a better

understanding of the concept “Working Capital

Management of HDFC Bank”.

 To understand the planning and management of working

capital of HDFC Bank.

 To suggest ways for better management and control of

working capital at the concern.

 To measure the financial soundness of the company by

analysing various ratios.

 To understand the internal steps taken by the bank for

scrutinizing the customer’s details and credentials.

 To understand the commercial, financial & technical

viability of the proposal proposed and it’s finding pattern.

 Chapter- 4
Review of literature