A

PROJECT REPORT ON

A STUDY REPORT ON CRM IN AXIS BANK

SUBMITTED

IN FULFILMENT OF REQUIREMENT FOR THE AWARD OF

DEGREE OF MASTERS OF COMMERCE IN BANKING AND
FINANCE

SUBMITTED BY

MS. SAILEE TUSHAR BHOLE

ROLL NO. 03

MCOM (BANKING & FINANCE)

PART 2

PROJECT GUIDE

PROF. DR.Mrs.SMITA BHIDE

SUBMITTED TO

UNIVERSITY OF MUMBAI

(2016-17)

VPMS

K. G.JOSHI COLLEGE OF ARTS &N.G. BEDEKAR COLLEGE

OF COMMERCE

DECLARATION
I, Sailee Tushar Bhole a student of K.G. Joshi College of
Arts & N.G. Bedekar College of M.Com in Banking and
FINANCE (PART 2) hereby declare that I have
completed this project on A STUDY
REPORT ON CRM IN AXIS BANK in the academic
year 2016-17.The information submitted in this project
by me is true & original to my best knowledge.

SIGNATURE
PLACE: M/S. Sailee Tushar Bhole
DATE: (M.Com Banking and Finance)

ACKNOWLEDGEMET

2
It is a matter of prestige to be able to submit the
project on A STUDY REPORT ON CRM IN
AXIS BANKIn the academic year 2015-16.The project
is required to be done for the partial fulfillment of the
course of studies. I would take this opportunity to
thank my guide at Joshi-Bedekar College of Arts and
Commerce, Prof. DR.MRS SMITA BHIDE for offering
me with the necessary guidance required for the
project.

I am grateful to the Principal Dr. Mrs. SUCHTIRA NAIK

& the co-ordinator Prof D. M. Murdeshwar for their
support. I would also like to thank the library staff of
the college for providing me with the necessary books
& references for the completion of the project.

TABLE OF CONTENT.

Chapter 1 INTRODUCTION TO BANKING.

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CHAPTER 2 INTRODUCTION TO CRM.

2.1 Introduction to CRM

2.2Characteristics of CRM
2.3CRM Focus on the Relationship
2.4CRM and Communication
2.5Benefit of Effective CRM
2.6Types of CRM

CHAPTER 3 AXIS BANK

3.1Introduction
3.2History
3.3Operation
3.4Service
3.5Initiatives
3.6AWARDS AND RECOGNITIONS
3.7BRAND AMBASSARDOR
3.8LISTING AND SHAREHOLDING
3.9EMPLOYEES
3.10BUSINESS OVERVIEW

CHAPTER 4 CRM IN AXIS BANK.

4.1 INTRODUCTION

4.2 CRM STRATEGIES AT AXIS

4.3 IMPLEMENTING CRM AT AXIS

CHAPTER 5.REASEARCH METHODOLOGY

5.1INTRODUCTION

5,2OBJECTIVE OF THE STUDY

5.3SCOPE OF THE STUDY
5.4LIMITATIONS OF THE STUDY
5.5COLLECTION OF THE DATA
EXECUTIVE SUMMARY

4
CHAPTER: 1

INTRODUCTION TO BANKING

INTRODUCTION:

A bank is a financial intermediary that accepts deposits and

channels those deposits into lending activities, either directly
by loaning or indirectly through capital markets. A bank links
together customers that have capital deficits and customers
with capital surpluses.

Due to their importance in the financial system and influence

on national economies, banks are highly regulated in most
countries. Most nations have institutionalized a system known
as fractional reserve banking, under which banks hold liquid
assets equal to only a portion of their current liabilities. In
addition to other regulations intended to ensure liquidity, banks
are generally subject to minimum capital requirements based
on an international set of capital standards, known as the Basel
Accords.

Banking in its modern sense evolved in the 14th century in the

rich cities of Renaissance Italy but in many ways was a
continuation of ideas and concepts of credit and lending that
had its roots in the ancient world. In the history of banking, a
number of banking dynastiesnotably the Medicis,
the Fuggers, the Welsers, the Berenbergs, and the Rothschilds
have played a central role over many centuries. The oldest
existing retail bank is Monte deiPaschi di Siena, while the oldest
existing merchant bank is Berenberg Bank.

MEANING:

Bank is an institute which deals in money and credit. It accepts

deposits from the public and grants loan and advances to those
who are in need of fund for various purpose. Banks encourage
savings habit among individuals and thereby makes fund
available for their use as and when require. Banks also helps in

5
nation development by providing credit to farmers, small scale
industry and self employee people as well as to large business
houses which lead to balanced economic development of the
country.

Different people understand the meaning of a bank in different

way. For a common man bank means a storehouse where
money is stored; for a businessman it is a financial institution
and for a day to day customer it is an institution where the cash
deposit his savings.

It also helps to standard of living of people in general by

providing loans for purchase of consumer durable goods,
houses, cars, etc. Banking activities are considered to be the
life blood of the national economy. Without banking services,
trading and business activities cannot be carried on smoothly.

Banks are the distributors and protectors of liquid capital which

is vital significance to a developing country. Efficient
administration of the banking system helps in the economic
growth of the nation.

FUNCTIONS OF BANKS.

6
CHAPTER: 2

INTRODUCTION TO CRM

Contents:

7
 Introduction to CRM
Characteristics of CRM
CRM Focus on the Relationship
CRM and Communication
Benefit of Effective CRM
Types of CRM

8
CHAPTER 2.1 INTRODUCTION.

INTRODUCTION:

CRM is the abbreviation

for customer relationship management. Customer relationship
management (CRM) is a system for managing a companys
interactions with current and future customers. It often involves
using technology to organize, automate and
synchronize sales, marketing, customer service, and technical
support.

With rapid globalization of business and product or service

differentiation becoming less relevant and competitive
customer relationship now is key enabler for moving business
ahead. Customer relationship has become a factor of
competitive advantage.

DEFINATION OF CRM:

CRM is business strategies that integrate people, processes and

technology to optimize the relation of an organization with all types
customer.
Customer relationship management (CRM) is a combination of process,
procedure technology and competencies fit to analyze and satisfy
customer knowing their needs and preferences.
In simple words:

CRM is a comprehensive approach for creating

maintaining and expanding customer relationship.

The goal of CRM is to optimize Customer satisfaction and

revenue through relationship built with potential current
customer across the business functions.

Customer Relationship Management concerns the relationship

between the organization and its customers. Customers are the
lifeblood of any organization be it a global corporation with

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thousands of employees and a multi-billion turnover, or a sole
trader with a handful of regular customers. Customer
Relationship Management is the same in principle for these two
examples - it is the scope of CRM which can vary drastically.

CHAPTER 2.2 CHARACTERISTICS OF CRM

Well-designed CRM includes the following characteristics:

1. Relationship management is a customer-oriented feature

with service response based on customer input, one-to-
one solutions to customers requirements, direct online
communications with customer and customer service
centers that help customers solve their questions.

2. Sales force automation. This function can implement sales

promotion analysis, automate tracking of a clients
account history for repeated sales or future sales, and
also co-ordinate sales, marketing, call-centers, and retail
outlets in order to realize the sales force automation.

3. Use of technology. This feature is about following the

technology trend and skills of value delivering using
technology to make up-to-the-second customer data
available. It applies data warehouse technology in order
to aggregate transaction information, to merge the
information with CRM solutions, and to provide KPI (key
performance indicators).

4. Opportunity management. This feature helps the company

to manage unpredictable growth and demand and
implement a good forecasting model to integrate sales
history with sales projections

TODAY'S CRM SOFTWARE:

CRM software is designed to help businesses meet the overall

10
goals of customer relationship management. Today's CRM
software is highly scalable and customizable, allowing
businesses to gain actionable customer insights with back-end
analytical, view business opportunities with predictive
analytics, streamline operations and personalize customer
service based on the customer's known history and prior
interactions with your business.

CRM software is commonly used to manage a business-

customer relationship; however CRM software systems are also
used in the same way to manage business contacts, clients,
contract wins and sales leads.

CRM Focuses on the Relationship:

Successful organizations use three steps to build customer

relationships:

determine mutually satisfying goals between organization

and customers

establish and maintain customer rapport

produce positive feelings in the organization and the

customers

11
 CREATE A DATA BASE

ANALYSIS

CUSTOMER SELECTION

CUSTOMER TARGETING

RELATIONSHIIP MARKETING

PRIVACY ISSUESH

METRICS

Customer Relationship Management Model

CRM and COMMUNICATION:

Communication is central to any successful relationship. In terms of
Customer Relationship Management, communication needs to be
consistent and high quality; as determined by:

on time

focused

12
 relevant

reliable

coherent

Importantly also, for effective communications it's the message and

meaning that is received that counts, irrespective of what the
communicator thinks they've said, or written. Communications must be
judged most vitally by the reaction of the receiver. If the reaction is not
good then the communication is poor.

The information contained in a CRM system allows communication to be

directed at the correct audience, in the correct way. The communication
system must also encourage and facilitate honest and actionable
feedback.

Feedback from customers -especially complaints -is essential for good

organizational performance and ongoing development. Most organizations
avoid, discourage and hide from complaints. Don't. Complaints are free
guidance for improving your quality, and free opportunities to increase
customer loyalty.

Customer Segmentation Strategy:

Effective business development strategies most often begin with customer
segmentation. Typically for developing customer segmentation, profitable
customers and non-customers with similar characteristics are grouped.
These characteristics include demographic as well as economic attributes
which drives their purchasing power.

Building blocks of an effective customer segmentation

strategy:
The strategy grid will help you in making strategic decisions for each of
your customer segments:

Go - when your strength in a customer segment is strong and the

segment is attractive.

Keep - when your strength is strong but the attractiveness of the

segment is low.

13
 Investigate - if the segment is attractive but your strength is low.

Drop - if both segment attractiveness and your strength are low.

However, organizations must figure out the most relevant characteristics

for their growth. Different customer segments respond to different value
propositions and require different strategic approaches. When properly
used, segmentation helps you allocate resources throughout all levels of
your organization to create a value proposition that uniquely serves your
target customer groups.

Key Benefits
Targeting: Identifying those customers most likely to purchase and
become your most profitable accounts.

Messaging: Creating unique messaging, marketing/ sales channels

and contact cadence for each unique customer segment.

Loyalty & Retention: Focusing on your most loyal customers and the
drivers of customer retention and renewal by customer segment.

Next Logical Purchase: Predicting both what and when customers

will purchase next - and establishing timed campaigns to intercept
that purchase.

Up-sell/Cross-Sell: Understanding which offerings are most likely to

drive follow on purchase and expand share of wallet.

Effective segmentation drives revenue growth through increased ability to

meet customers' demands. Its greatest impact is on the top line, growing

14
the number of customers, the amount of sales per customer and lifetime
value of the customer.

CHAPTER 2.3 BENEFIT OF EFFECTIVE CRM.

There are significant business benefits which accrue from an

effective, integrated Customer Relationship Management
approach. These include:

B e n e fit
Benefit
T h e re
There
a
are re
s i g n i fi
signifi
c
canta n t
b nu
busine
I cr
Increase sei anse e
s
ssds
d I m p ro v
Improv
I n c re a se b
benefi
m ean
market r keefi t e
edd
Increase
c u s to m e
custome s ht
sharesas
ts re s s e rv ic e ,
service,
w
whichh ic h lloyalty,
o y a lty ,
r
r a c c ru
accru a
andnd
r evenue
revenue e
e from fro m r e te n tio
retentio
a
an n n
n I m p ro v
Improv
e ff e c t i
effecti e
e
H ig h e r
Higher v
ve, e , p r o d u c ti
producti
c lo s e
close iintegr
n te g r v
vityity &&
r a te
rate a
atedte d p ro fita b
profitab
C
Custou s to iility
lity
m
mer e r D is c o v e
Discove
R educe
Reduce R e la t i
Relati r in g
ring
E xpens
Expens o
Mnaskh
onship i ni p
g n
new ew
Making
M aa n
e
ess Mana c
call l la c u s to m e
custome
g
geme
C een m t ee r r
rss
Center
m n
nto tr e
more
e af fpi cpi e
appro ro nt
efficient
a
ach.c h .
T h e se
These
iinclud
n c lu d
e
e: : of
of
C
CRM R M

reduced costs, because the right things are being done

(i.e., effective and efficient operation)

increased customer satisfaction, because they are getting

exactly what they want (i.e., exceeding expectations)

ensuring that the focus of the organization is external

15
 growth in numbers of customers

Maximization of opportunities (e.g. increased services,

referrals, etc.)

increased access to a source of market and competitor

information

highlighting poor operational processes

long term profitability and sustainability

Forward thinking organizations understand the vital need to

maintain a strategic focus on CRM and to resource and manage
it appropriately.
CRM Software Solutions and ICT (information and communications
technology):

Software and ICT play a significant part in enabling an effective

CRM capability, especially in large organizations.

There are many and various systems available, and it is

important to have a clear idea of your requirements during the
software solution selection process, which for most
organizations will also involve the selection of ICT service
provider too, since any software solution, for all but very small
companies, generally requires support for specifying,
implementation, training and maintenance.

Siebel, Sage (who now provide the well-known Accpac and ACT!
CRM solutions), and Front Range (whose product is Goldmine)
are all significant and proven CRM software products
companies. There are many others, and very many more ICT
service providers through whom distribution and support is
normally arranged.

As with any ICT project, ensure you work with reliable and
knowledgeable advisors, with access to cost-effective proven
solutions, which can help you to build and implement an

16
effective CRM software and ICT capability.

CHAPTER 2.4 TYPES OF CRM

There are various types of CRM applicable as per sector needs :

SALES CAMPAIGN
INTELLIGENC MANAGEMEN
E CRM T

ANALYTICAL COLLABORATI
CRM VE CRM

TYPES
OPERATIONAL
CRM OF GEOGRAPHIC
CRM

CRM

1. Operational CRM:
Operational CRM Provides support to front office business processes. The

17
 operational application of CRM enables effective interaction with customers. For this
purpose various tools are used. The contact history provides staff members with
immediate access to important information on the customer (product owned, prior
support calls etc.), eliminating the need to individually obtain this information directly
from the customer.

2. Analytical CRM:
This is a CRM type that maintains the analysis and operations of an organizational
back-office. Here, the sales are not done directly to the customers. This type is made
in a mode to analyze critically the information, the demographics and anything else
relating to the customers. The sole aim of analytical CRM towards the organization is
developing, supporting and enhancing the decision-making in the organization. It
establishes the powerful patterns and forecasts in the clients information and data
collected from different operational CRM systems.

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 Features of analytical CRM
Deploying and implementing the outcome to improve the effectiveness
of CRM systems and processes, and enhance relationships and customer
interaction.
Analyzing, determining and developing comprehensive rules and
methods to level and optimize the customer relationship.
Getting the entire important customers information from different
channels and sources.

3. Sales Intelligence CRM:

Sales intelligence (SI) refers to technologies, applications and practices
for the collection, integration, analysis, and presentation of information to
help salespeople keep up to date with clients, prospect data and drive
business. Sales intelligence CRM is similar to Analytical CRM, but is
intended as a more direct sales tool. It is oriented to sales staff.

4. Campaign management:
Campaign management combines element of operational and analytical
CRM. Campaign management functions support development of efficient
marketing Campaigns.

5. Collaborative CRM:
Another form of CRM is called Collaborative CRM, a highly effective
method of communication as it covers direct interaction with customers
including feedback and issue reporting. Interaction can take place through
web pages, email and Automated Voice Response.Collaborative CRM is
an approach to customer relationship management (CRM) in which the
various departments of a company, such as sales, technical support, and
marketing, share any information they collect from interactions with
customers.

6. Geographic CRM:
Geographic CRM (GCRM)combines geographic information system and
traditional CRM. Geographic data can be analysed to provide a snapshot
of potential customer in a region or to plan routes for customer visits.

Chapter 2.5 The Seven Steps to CRM Success

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Communicate the vision of CRM

The CRM vision dictates what should be done to generate a unique CRM
experience and be deeply engraved in the culture of delivering it at all
touch points, consistently. Communicating the vision of CRM effectively,
hence, ensures that everyone know the value derived from CRM solution.
Organizations must use multiple channels to ensure this message is
clearly understood. The consistent flow of information also ensures this for
new members in the organization. CRM solutions are efficiency tools
instead of 'monitoring' tool. Management team must consistently drive
the communication instead of individual teams.

Create a 'Core Team'

Members from across functional roles should share inputs from all
customer touch points and customer facing teams. To ensure user
friendliness and real-time data, different roles will be required to
guarantee coordination, integration and data migration for a 'true'
customer view. Enlisting the correct person from each functional role will
ensure accountability and accuracy of relevant information.

Most experienced consultants recommend the Core Team should consist of

six members. Electing a member of the top management as part of the
core team will ensure the correct business goals are incorporated and
encourage others to contribute their opinions. Field level staff who will be
using the CRM need to be represented, this will assist in creating user
friendly interfaces to capture all relevant customer information. Inputs
related to inter-departmental coordination, mandatory information and
reporting requirements from middle and senior level management will
ensure credibility for customer information, dashboards and analytics.

Configure the system correctly

Involve all stakeholders in the requirement study and keep them in the
loop for related decisions and configurations.Identify "CRM captains" in
every department to collate information and do not ignore their feedback.
An information overload should be avoided initially, 'phantom strategies'
will lead to inefficienct use of productive time.

What works for the top management is not always relevant for other users
and should be incorporated after careful thought. Interfaces with
terminology that is not understood by various users will lead to low user
adoption. Also, interfaces that are time consuming to upload or access
information will frustrate users and customers put on hold.

Understand the stakeholders' motivations

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Clearly explain the benefits of the CRM implementation in relation to each
role and specific teams. Motivated users are more prone to using the
system than those who are forced.

CHAPTER: 3

INTRODUCTION TO AXIS BANK

Contents:
Introduction
History
Operation
Service
Initiatives
AWARDS AND RECOGNITIONS
BRAND AMBASSARDOR
LISTING AND SHAREHOLDING
EMPLOYEES
BUSINESS OVERVIEW

21
INTRODUCTION

Axis Bank Limited (formerly UTI Bank) is the third largest

private sector bank in India. It offers financial services to
customer segments covering Large and Mid-Corporate, MSME,
Agriculture and Retail Businesses. Axis Bank has its
headquarters in Mumbai, Maharashtra.

HISTORY:

Axis Bank began its operations in 1994, after the Government

of India allowed new private banks to be established. The Bank
was promoted in 1993 jointly by the Administrator of the Unit
Trust of India (UTI-I), Life Insurance Corporation of India (LIC),
General Insurance Corporation Ltd., National Insurance
Company Ltd., The New India Assurance Company, The Oriental
Insurance Corporation and United India Insurance Company.
The Unit Trust of India holds a special position in the Indian
capital markets and has promoted many leading financial
institutions in the country.

Axis Bank (erstwhile UTI Bank) opened its registered office in

Ahmedabad and corporate office in Mumbai in December 1993.
The first branch was inaugurated on 2 April 1994
in Ahmedabad by Dr. Manmohan Singh, the then Finance
Minister of India.

BSE: 532215
Traded as LSE:AXBC
NSE: AXISBANK
Industry Banking, Financial Services
Founded 1994 (as UTI Bank)
Headquarters Mumbai, Maharashtra, India
Dr. SanjivMisra (chiarman)
Key people
Shikha Sharma (MD & CEO)
Credit cards, consumer banking,
corporate banking, Finance and
Products insurance, investment banking,
mortgage loans, Private banking,
Private equity, Wealth management
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Revenue 340 billion (US $5.6 billion) (2012)
Operating Income 94 billion (US $1.6 billion)(2012)
Net Income 52 billion (US $860 million)(2012)
Total Assets 3.4 trillion (US $56 billion)(2012)
Employees 42,420(On 31stMarch 2014)
OPERATIONS.
Indian Business: As on 31-Mar-2014, the Bank had a network of 2402
branches and extension counters and 12922 ATMs. Axis Bank has
the largest ATM network among private banks in Indiaand it
operates an ATM at one of the worlds highest sites at
Thegu, Sikkim at a height of 4,023 meters (13,200 ft) above
sea level.

International Business: The Bank has seven international

offices with branchesatSingapore, HongKong, Dubai (at
the DIFC), Shanghai and Colombo and representative offices at
Dubai and Abu Dhabi, which focus on corporate lending, trade
finance, syndication, investment banking and liability
businesses. In addition to the above, the Bank has a presence
in UK with its wholly owned subsidiary Axis Bank UK Limited.

SERVICE:

Axis Bank operates in four

segments: Treasury operations, Retail
banking, Corporate/Wholesale banking and other banking
business.

Treasury operations: The Banks treasury operation services include

investments in sovereign and corporate debt, equity and mutual funds,
trading operations, derivative trading and foreign exchange operations on
the account, and for customers and central funding.

Retail banking: In the retail banking category, the bank offers services
such as lending to individuals/small businesses subject to the orientation,
product and granularity criterion, along with liability products, card
services, Internet banking, automated teller machines (ATM) services,
depository, financial advisory services, and Non-resident Indian (NRI)
services.

23
 Corporate/wholesale banking: The Bank offers to corporate and other
organizations services including corporate relationship not included under
retail banking, corporate advisory services, placements and syndication,
management of public issues, project appraisals, capital market related
services and cash management services.

NRI services: Products and services for NRIs that facilitate investments
in India.

Business banking: The Bank accepts income and other direct taxes
through its 214 authorized branches at 137 locations and central excise
and service taxes (including e-Payments) through 56 authorized branches
at 14 locations.

Investment banking: Banks Investment Banking business comprises

activities related to Equity Capital Markets, Mergers and Acquisitions and
Private Equity Advisory. The bank is a SEBI-registered Category
I Merchant Banker and has been active in advising Indian companies in
raising equity through IPOs, QIPs, and Rights issues etc. During the
financial year ended 31 March 2012, Axis Bank undertook 9 transactions
including 5 IPOs and 2 Open Offers.

Lending to small and medium enterprises: Axis Bank SME business is

segmented in three groups: Small Enterprises, Medium Enterprises
and Supply Chain Finance. Under the Small Business Group a subgroup
for financing micro enterprises is also set up.Axis bank is the first Indian
Bank having TCDC cards in 11 currencies.

Agriculture banking: 759 branches of the Bank provide banking

services, including agricultural loans, to farmers. As on 31 March 2013,
the Banks outstanding loans in the agricultural sector was INR 148
billion, constituting 7.5% of its total advances.

INITIATIVES:

The Business Gaurav SME Awards: In 201112, Axis Bank set up 6

SME centers and SME cells each across the country, taking the total
number to 32 SME Centers. The Bank also organized the 'Business

24
 Gaurav SME Awards' in association with Dun & Bradstreet to recognize
and award achievements in the SME space.

Financial inclusion: Till March 2012, the Bank had opened over 4.4
million No Frills accounts in over 7607 villages through a network of 15
Business Correspondents and nearly 6000 customer service points. Axis
Bank has a strong presence in Electronic Benefit Transfer (EBT) and has
covered 6800 villages across 19 districts and 9 states till date with over
3.7 million beneficiaries.

Industry First Initiatives:

Axis Bank launched Mobile Banking App 2.0 for its retail
resident Indian customers the first of its kind in India,
which offers a high level of personalization. The App has
been launched in partnership with Tagit, a leading
Singapore mobile solutions company. The new application
uses Tagit's mobility solution platform that enables
Banking on-the-go.

'Axis Bank - ISIC Forex Card' for students, is the first photo
Travel Currency Card available in USD, Euro, GBP and AUD
currencies. It can be used across 34 million merchant
locations and at over 2 million MasterCard ATMs globally.

Axis Bank has partnered with Visa to launch 'eKYC'

(electronic Know your customer) facility, first organization
in India to introduce Biometrics based KYC, offering
convenience, speed and ease to Aadhaar-registered
individuals to open bank accounts.

AWARDS AND RECOGNITIONS:

Bank of the Year Money Today FPCIL Awards 201213

Best Bank CNBC-TV18 Indias Best Bank and Financial

Institution Awards 2012

Best Bank Runner-up Outlook Money Awards 2012

25
 'Consistent Performer' in 'Indias Best Banks 2012 survey'
by Business Today and KPMG

Fastest Growing Large Bank Dun & Bradstreet Polaris

Financial Technology Banking Awards 2012

Fastest Growing Large Bank Business world Best Banks

Survey 2012

Best Domestic Bond House The Asset Triple A Country

Awards 2012

India Bond House of the year IFR ASIA Country Awards

2012

Deal Maker of the Year in Rupee Bonds Business world

Magna Awards India's Best Deal Makers 2012

The Best Emerging Bullion Dealing Bank 9th India

International Gold Convention-2011-12

Best Acquiring Institution in South Asia Visa LEADER Award

at Visas 2012 APCEMEA Security Summit, Bali

Gold Shield for Excellence in Financial Reporting in the

Private Banks category 201112 from Institute of
Chartered Accountants of India

BRAND AMBASSARDOR:
Deepika Padukone, a well-known Bollywood Actress was appointed as the
brand ambassador for Axis Bank
LISTING AND SHAREHOLDING:
Axis Banks equity shares are listed on the Bombay Stock
Exchange and National Stock Exchange of India. The company's global
depository receipts (GDRs) are listed on the London Stock Exchange. The
Bonds issued by the Bank under the MTN programmed are listed on
the Singapore Stock Exchange.
As on 31 December 2013, the promoters UTI, LIC and GIC held approx.

26
 34% of the shares in Axis Bank. Foreign Institutional investors (FII) held
approx. 43% of the shares. Remaining 23% of the shares are held by others.

EMPLOYEES:

As on 31 March 2013, Axis Bank had 37,901 employees, out of

which 7,117 employees were women (19%). The bank incurred
INR 26.7 billion on employee benefits during the FY 2012-
13.The average age of an Axis Bank employee is 29
years. The attrition rate in Axis Bank is approx. 9% per year.

Corporate social responsibility

Axis Bank Foundation: Axis bank has set up this trust in

2006 and supports supplementary education. Axis Bank
contributes up to 1 percent of its net profit annually to
various social initiatives undertaken by this
foundation. During the year 201112, the foundation has
partnered with 36 NGOs for educating over a lakh
underprivileged and special kids in 13 states.

Green Banking: The recycling initiative under the Green

Banking banner has helped the bank productively use
around 21572 kilograms of dry waste during the year. The
Axis Bank's corporate office in Mumbai is designed and
constructed as a Platinum LEED-Certified Green Building.

CORPORATE PROFIL:
Axis Bank is the third largest private sector bank in India. Axis Bank
offers the entire spectrum of financial services to customer segments
covering Large and Mid-Corporate, MSME, Agriculture and Retail
Businesses.
The Bank has a large footprint of 2402 domestic branches (including
extension counters) and 12,922 ATMs spread across the country as on
31st March 2014. The overseas operations of the Bank are spread over its
seven international offices with branches at Singapore, Hong Kong, DIFC
(Dubai International Financial Centre), Colombo and Shanghai and
representative offices at Dubai and Abu Dhabi. During the year, the Bank
has upgraded its representative office in Shanghai, China to a branch to

27
 become the first Indian private sector bank to set up a branch in China.
During the year, the Banks overseas subsidiary namely Axis Bank UK
Ltd. commenced banking operations.

BUSINESS OVERVIEW:
An overview of various business segments

RETAIL BANKING
The Bank aims to increase its share in the financial services sector by
continuing to build a strong retail franchise. The segment continues to be
one of the key drivers of the Banks growth strategy, encompassing a
wide range of products delivered through multiple channels to customers.
The Bank offers a complete suite of products across deposits, loans,
investment solutions, payments and cards and is committed to developing
long-term relationships with its customers by providing high-quality
services.

BUSINESS BANKING

Business Banking offers transactional banking services,

leveraging upon the Banks network and technology. Its
initiatives focus on procurement of low-cost funds by offering a
range of current account products and cash management
solutions across all business segments covering corporate,
institutions, central and state government ministries and
undertakings as well as small and retail business customers.
Product offerings of this business segment aim at providing
customized transactional banking solutions to fulfill customers
business requirement. Cross-sell of transactional banking
products, product innovation and a customer-centric approach
have succeeded in growing current account balances and
realization of transaction banking fees. As on 31st March 2013,
balances in current accounts increased by 21.55% and stood at
Rs. 48,322 crores compared to Rs. 39,754 crores last year. On a
daily average basis, current accounts balances grew by 4.73%
to Rs. 28,698 crores compared to Rs. 27,403 crores last year.

28
INTERNATIONAL BANKING:

The international operations of the Bank have generally catered

to Indian corporate who have expanded their business
overseas. The overseas network of the Bank currently spans
the major financial hubs in Asia. The Bank now has a foreign
network of four branches at Singapore, Hong Kong, DIFC-Dubai
and Colombo (Sri Lanka), and three representative offices at
Shanghai, Dubai and Abu Dhabi, besides strategic alliances
with banks and exchange houses in the Gulf Co-operation
Council (GCC) countries. While branches at Singapore, Hong
Kong, DIFC-Dubai and Colombo enable the Bank to partner with
Indian corporate doing business globally and primarily offer
corporate banking, trade finance, treasury and risk
management solutions, the Bank also offers retail liability
products from its branches at Hong Kong and Colombo. The
representative offices and strategic alliances with banks and
exchange houses in the GCC countries cater to the large Indian
Diaspora and promote the Banks NRI products. With
management of liquidity being a major challenge in the present
global markets, the Bank consciously restrained its asset
growth at the overseas centers to report an asset size of USD
6.84 billion as at 31st March 2013 vis--vis USD 6.35 billion as
at 31st March 2012. Further, interactions are also in progress
with China Banking Regulatory Commission (CBRC) for upgrade
of the Shanghai Representative Office into a branch.

AGRICULTURE:

The Bank has identified agricultural lending as an area of

potential growth and offers a diverse range of lending solutions
to the farming clientele and other stakeholders in the
agriculture value chain. Activity and geography specific
products and product variants were introduced to effectively
reach out to the various value-chain participants and to meet
their credit requirements. In order to provide a strategic focus
to agricultural lending, the Bank has adopted a cluster-centric
approach for agricultural lending in areas where the Bank

29
believes agriculture is intensive and where a potential market
exists. The business architecture for agriculture business is
decentralized with Agriculture Business Centers (ABCs) at
various locations across the country spearheading the business.
To increase the focus on unbanked and under banked areas, 3
new ABCs were formed during the year at Guwahati (Assam),
Bhubaneswar (Odisha) and Patna (Bihar). The branches and
agriculture clusters follow a hub-and-spoke model with
branches being the sole touch point for farmers. As of 31st
March 2013, the agriculture business is operated through 759
branches attached to 93 agricultural clusters, which are
controlled by 20 ABCs. To achieve the objectives of increasing
the business reach, consistent growth of portfolio and
maintaining quality of assets, business, credit, operations and
collections functions in this business are handled
independently.

FINANCIAL INCLUSION:

The Bank regards financial inclusion not merely as a corporate

social responsibility initiative but as an integral component of
its rural strategy. The financial inclusion initiatives of the Bank
are aimed at enabling customers in rural markets to use formal
banking channels for their banking needs such as savings,
payments, credit and insurance. Apart from savings, payments
are the major requirement of such customers due to migration
of workforce. The Bank offers no-frills accounts, tailor-made
fixed deposits and recurring deposit products to meet the
savings requirements of customers. As on 31st March 2013, the
Bank had opened 61.61 lakh no-frills accounts covering 42,338
villages.

The Bank has been in the forefront of several innovations in this

space. It has tied-up with leading telecom companies to provide
savings and remittance facilities using the mobile phone and
their distribution outlets in key domestic payment corridors.
The Bank is also a leading player in the remittance market,
enabling migrant workers in urban areas remit money to their

30
families in the hinterland. The Bank endeavours to meet the
entire set of financial needs of its customers, including micro-
lending, Chhota-deposits and micro-insurance (under life and
general insurance categories).

The Bank also actively participates in electronic/direct benefit

transfer for disbursal of benefits under various government
schemes using smart cards and biometric authentication
technology. The Bank has made significant investments in
technology, and is integrated with the Aadhar platform through
NPCI to enable transfer of Aadhar based social welfare benefits.
The Bank has launched several programmers to deliver micro-
loans to rural customers through its business correspondents in
Tamil Nadu, Bihar and Madhya Pradesh. It has also tied up with
leading corporate to deliver credit to their end consumers
through their rural supply chain partners.

HUMAN RESOURCES:

The Human Resources (HR) function is instrumental in creating

and developing human capital in alignment with the Banks
vision. Talent Management with particular focus on grooming
future leaders, learning and development and employee
engagement have been the key focus areas in the Banks HR
objectives.

The Bank has built a learning infrastructure to ensure

availability of skilled and empowered workforce. The Learning
Maps aligned to the overall development plan of employees are
designed to facilitate learning process across all levels through
a blended learning approach of classroom programmer,
external programmer, certification programmer as well as e-
learning modules. The Bank also creates alternate talent
pipelines by entering into arrangements with Training and
Education Institutes and continues to maintain a strong
employer brand in the financial services sector especially on
31
the campuses of the premier business schools of the country.
Apart from having a strong presence in the talent market, the
Bank also believes in maintaining a strong image internally by
keeping its workforce engaged at all levels.

Axis Leadership Practices (ALPs) are defined for employees at

different levels of the hierarchy to promote desired behavior
and to facilitate an objective assessment. The ALPs form a
framework for all the people processes in the Bank. These are
an integral part of processes like Talent Acquisition,
Performance Management System, Promotion, Talent
Appreciation, Leadership Development and Feedback. The Bank
has partnered with the best in class leadership trainers of the
country to provide key position holders and unit heads the
fundamentals of managing self and team leadership though a
series of Inspired Leadership workshops. The Bank has also
launched an in-house multi-rater feedback tool ALP Compass
based on the Axis Leadership Practices.

The strength of the workforce was 37,901 at the end of the

year as compared to 31,738 last year. A young workforce with
an average age of 29 years and the Banks policy of being an
equal opportunity employer continues to significantly
contribute towards emergence of the Axis Bank brand. The
Bank inspires everyone to excel and contribute to, irrespective
of gender, race or age, and this echoes in all HR initiatives
undertaken. The Bank is also a socially responsible employer.
Apart from housing its own NGO Axis Bank Foundation, the
Bank has partnered with Teach for India for promoting the noble
objective of providing education to underprivileged children.

The Bank continues to strive towards realization of its vision of

being the preferred financial service provider excelling in
customer delivery through insight, empowered employees and
smart use of technology.
CORPORATE SOCIAL RESPONSIBILITY (CSR):

As an integral part of society, the Bank is aware of its corporate

32
social responsibilities and has been engaged in community and
social investments. For this purpose, the Bank has set up a
Trust the Axis Bank Foundation (ABF) to channel its
philanthropic initiatives. The Foundation has committed itself to
participate in various socially relevant endeavours with a
special focus on providing sustainable livelihoods, poverty
alleviation, education of the underprivileged, healthcare etc.
The Bank has decided to contribute up to one percent of its net
profit annually to the Foundation under its CSR initiatives. The
Foundation is constantly engaged in identifying the right target
group and ensuring that support reaches the ultimate
beneficiary. Presently, the Foundation is running 40 programs
across 163 districts in 19 states, targeting 7, 27,059
beneficiaries.

The Foundation has been providing support to various

initiatives in education, targeting underprivileged children.
Presently, 23 programs are running in the field of education
covering 33 districts in 13 states promoting supplementary
education, education for the mentally/physically challenged,
hearing impaired, visually challenged etc. During the year, the
Foundation has disbursed Rs 6.23 crores for various education
programs. The Foundation also works for providing highway
trauma care and rural medical relief. The Foundation has been
working with Lifeline Foundation since 2007 for supporting the
highway rescue projects in the states of Maharashtra, Kerala,
Gujarat and Rajasthan. It has provided aid to around 7,500
critical accident victims and more than 15,000 minor accident
victims. The Foundation aims to provide one million livelihoods
to the underprivileged in some of the most backward regions of
the country by 2017, 50% of the beneficiaries being women.
The Foundation has so far partnered with 17 NGOs to provide
sustainable livelihoods and has launched projects in partnership
with these NGOs in the states of West Bengal, Odisha, Tamil
Nadu, Maharashtra, Jharkhand, Chhattisgarh, Bihar, Uttar
Pradesh and Madhya Pradesh. These programs aim at
alleviating poverty and help in providing sustainable livelihood

33
options. Presently, 17 programs are running in the field of
livelihood covering 136 districts in 17 states. During the year,
an amount of Rs 31.09 crores was disbursed towards various
livelihood programs.

The Foundation is also actively involved in implementing

several initiatives in Green Banking. In line with the Banks
initiative in Green Banking with the theme of Reduce, Reuse
and Recycle, the Foundation has initiated the process of
collecting all the dry waste, generated in the Corporate Office
and seventeen offices of the Bank in Mumbai and recycles it
into notebooks, notepads and envelopes. This initiative was
launched in August 2011, has helped recycle around 87,206
kilograms since inception. The Foundation also has an Officer
Engagement Program, which encourages officers of the Bank to
get involved in various volunteering activities. The Bank
launched an employee payroll program titled Axis Cares. As on
31st March 2013, 7,524 officers of the Bank have enrolled for
Axis Cares with a monthly collection of Rs. 14.64 lakh. The
funds collected under this initiative are utilized for the
programs of the Foundation and the details of utilization are
shared with the officers every month. Under the aegis of
Basket of Hope, the Foundation organizes collection drives for
clothes, books and toys for distribution to the needy. The
Foundation has also launched a new initiative titled Gift of
Life. During the year, 27 blood donation drives have been
organized across the country, through which 1,934 units of
blood has been collected. Exhibitions of various NGOs are held
at the Corporate Office and other offices of the Bank, to provide
a platform to these NGOs for exhibiting their products and
popularize their work. Conducting the exhibitions has also
promoted volunteering among our officers with NGO partners.
During the financial year, 56 such exhibitions have been
organized which has helped these NGOs to generate sales over
Rs. 14.40 lakh.

34
CHAPTER: 4

CRM IN AXIS

Contents:

INTRODUCTION

CRM STRATEGIES AT AXIS

IMPLEMENTING CRM AT AXIS

35
INTRODUCTION:

CRM is the abbreviation for customer relationship management.

Customer relationship management entails all aspects of interaction that
a company has with a customer, whether it is sales or service-related.
While the phrase customer relationship management is most commonly
used to describe a business-customer relationship, CRM systems are also
used to manage business contacts, clients, contract wins and sales leads.
"CRM" is a term, collectively used to refer to a combination of strategy &
software

CRM at Axis involves increased communication between the bank and its
present and prospective customers. Its philosophy focuses on each and
every customers satisfaction.
CRM facilitated coordination of multiple business functions & multiple
channel of communication with the customers to carry out customer
management more efficiently. It also automated the process flow tracking
in the product sales process and helped generate customized reports and
promote cross-selling.

36
CRM STRATEGIES IN AXIS IN MULUND BRANCH
(FINDINGS THROUGH EMPLOYEES OF THE BANK):

1. Customer care department or centers:

The Axis customer care department is the department which handles all
customer queries, suggestions, feedback and complaints if any.
Customers can also find out all the newly introduced financial products
and services by calling here. The Axis customer care centers are spread
across the country in places like Delhi, Gurgaon, Mumbai, Bangalore,
Ahmadabad, Chennai, Pune, Hyderabad, Kolkata, etc. This department
works in a 24x7 work environment so that the customers can contact the
bank at any time in case of any problem.

2. Axis Customer Care Phone Number:

The customer care numbers of Axis can provide great help to the users as
they can enquire about their problems from the customer care department.
Also Axis ensures that there is availability of well qualified professionals
in order to satisfy customers and give appropriate solutions to their
queries.

3. Axis Customer Care Toll Free Number:

The

1-800-103-5577
This number remains a toll free number if contacted from
anywhere in India from a MTNL or a BSNL landline phone.

NRI phone customer care toll free numbers of the Axis for Lost Credit
Cards are:

1-800-233-5577
1-800-209-5577
4. banking service:
NRI / Other customers can access services of phone banking from outside
India by dialing +91 22 27648000.

5. Blocking of debit cards:

37
 For blocking of Debit cards or prepaid cards, the 24 hour emergency number is
+91 22 67987700

6. Axis customer care SMS Service:

One can also send them an SMS on their number 5676782 or 9717000002. The
customer care executive of the bank would either call you up or reply your query.

7. Axis Customer Care e-mail Service:

Contact customer.services@axisbank.com ,for Credit Card Related

issues Contact debit.card@axisbank.com ,for Debit Card Related
queries Contact mobile.banking@axisbank.com ,for Mobile Banking
queries Contact nricell@axisbank.com for NRI Related queries.

IMPLEMENTING CRM AT AXIS:

The key to implementing CRM was in understanding

organization and customers in a better way. There are five
interrelated areas that were taken care of before implementing
CRM: -

Business Focus
Organizational Structure
Business Metrics
Marketing Focus and Technology

Business Focus:
There are various components of CRM like customer
information, sales, marketing trends and marketing efficacy
that acted in tandem to improve relationship between AXIS and
its consumers. AXIS captured customer data and analyzed
them while dealing with customers at these very touch points.
A CRM solution from Siebel was implemented for the
automation of customer handling in all key retail products of
the Group. The solution allows customer service agents to track
all customer complaints and requests. It also allows target
setting and centralized tracking of turnaround times for request
fulfillment. The solution went live in phases during fiscal 2002.
The Bank has also undertaken a retail data warehouse initiative
to achieve customer integration at the back-office. This central

38
view of the total customer relationship is being used
extensively for identifying opportunities to cross-sell new
products and services to the existing customer base.
Technology Focus:
AXIS Bank continues to leverage ICT2 as a strategic tool for its
business operations to gain competitive advantage. Its
technology strategy emphasizes enhanced level of customer
services through 24x7 availability, multi-channel banking and
straight through processing, and cost efficiency through optimal
use of electronic channels, wider and focused market reach and
opportunities for cross-selling. The Technology Management
Group (TMG) is the focal point for the AXIS Groups technology
strategy and Group-wide technology initiatives. This group
reports directly to the Managing Director & CEO.A key to AXISs
success has been its ability to harness business information to
CRM initiatives that have fueled growth and helped attract
more than 30 million customers. The foundation for AXIS Banks
wide-ranging CRM programs is a Sybase IQ-based data
warehouse. Developers had used a combination of PL/SQL and
BTEQ scripting, a proprietary technology specific to the data
warehouse, for data extraction, transformation, and loading
(ETL). With its growing customer base, IT administrators
recognized that the bank needed a more powerful,
sophisticated data integration system to help ensure the
warehouse lived up to its potential as an analytic CRM engine
that delivered tangible bottom-line results.
To step up to the next level of data integration, AXIS Bank
officials agreed with are commendation from Teradatas
professional services division, which provided systems
integration support for the data warehouse, to implement the
Informatics Power Center enterprise data integration platform.
(The Bank initially used Teradata as its data warehouse
platform and migrated to Sybase IQ a year ago.)
AXIS Bank deployed Power Center in 2003 as it embarked on
the next phase of its warehouse, which would add data from
five new sources, in addition to the initial three sources of retail
banking, credit cards, and securities information.

39
The next step in the CRM implementation process was gap
analysis which essentially is assessing different loopholes in: -
Marketing, sales and service practices
Collection, capture, processing and deployment of customer information
Distribution and operations effectiveness at customer touch
points.4

Chapter 5:

RESEARCH METHODOLOGY

Contents:

INTRODUCTION

OBJECTIVE OF THE STUDY

SCOPE OF THE STUDY
LIMITATIONS OF THE STUDY
COLLECTION OF THE DATA

40
INTRODUCTION:

CRM is a managerial philosophy that seeks to build long term

relationships with customers. CRM can be defined as the
development and maintenance of mutually beneficial long-term
relationships with strategically significant customers. It is the
establishment, development, maintenance and optimization of
long term mutually valuable relationships between consumers
and the organizations. Successful customer relationship
management focuses on understanding the needs and desires
of the customers and is achieved by placing these needs at the
heart of the business by integrating them with the
organizations strategy, people, technology and business
processes. CRM identifies the present and future markets,
selects the markets to serve and identifies the progress of
existing and new services.
The CRM is a new technique in marketing where the Axis bank
tries to develop long term relationship with the customers to
develop them as lifetime customers. Axis bank aims to make
the customer climb up the ladder of loyalty. The bank first tries
to determine who is likely prospects i.e. The people who have a
strong potential interest in the product / service and ability to
pay for it. The bank hopes to convert many of its qualified
prospect into first time customers and then to convert those
first time customers into Repeat customers. Thus in CRM the
key performance figure is not just current market share but
share of life time value by converting customers into partners.
In CRM the company tries to identify that small percentage of
key account holders whose contribution to the company

41
revenues is high. So from this point of view, CRM is also known
as KEY ACCOUNTMANAGEMENT.
OBJECTIVE OF THE STUDY:

To examine the importance of CRM in banking sector.

To understand the use of CRM in Axis Bank.
To understand the customer acquisition and retention strategies followed
by Axis Bank.
To analyze the perception of customer as well as employee on CRM as a
tool of Axis Bank.
To evaluate the service quality offered by Axis Bank
To offer pertinent suggestions based on the findings of the study.
Carry out customer satisfaction survey to find out prospective of the
customer towards the financial services.

COLLECTION OF THE DATA:

Data collection is the process of gathering and measuring information on
variables of interest, in an established systematic fashion that enables
one to answer stated research questions, test hypotheses, and evaluate
outcomes. The data collection component of research is common to all
fields of study including physical and social sciences, humanities,
business, etc. While methods vary by discipline, the emphasis on ensuring
accurate and honest collection remains the same.
There are two types of data.
Primary data:
Primary data is that data which is collected for the first time. These data are basically
observed and collected by the researcher for the first time. Researcher used primary
data for my project work. An advantage of using primary data is that researchers are
collecting information for the specific purposes of their study. In essence, the
questions the researchers ask are tailored to elicit the data that will help them with
their study. Researchers collect the data themselves, using surveys, interviews and
direct observations (such as observing safety practices on a shop floor).

Secondary data:
Secondary data are those data which are primarily collected by the
other person for his own purpose and now we use these for our
purpose secondly. Secondary data tends to be readily available and
inexpensive to obtain. In addition, secondary data can be examined
over a longer period of time.
With a combination of these two data sources, the researchers were
able to determine which factors predicted a shorter work absence
among injured workers. This information was shared with return-to-
42
 work professionals to help improve return to work for other injured
workers.

ANALYSIS AND INTERPRETATION:

a) SATISFACTION WITH AXIS BANK SERVICES:

YES 27

NO 03

B-SATISFACTION FOR PROBLEM SOLVING ATTITUDE OF BANK :

YES 23

NO 04

CAN NOT SAY 03

C -BEST SERVICE PROVIDED BY AXIS BANK :

ATM 30

DEBIT AND CREDIT CARD 21

LOAN PROCESS 12

E-BANKING TECHNOLOGY 30

SERVICES

MOBILE BANKING SERVICES 23

D-TIME TO GET JOB DONE AT AXIS BANK :

Within 5 minute 16
5-10 minute 08

43
 10-20 minute 04
20 and More than 02

E-BEHAVIOUR OF STAFF :

FRIENDLY 18

CORDIAL 04

OK 05

NOT GOOD 03

F-Axis bank have Core Banking Facility:

Yes 25

No 00

Dont know 05

EXECUTIVE SUMMARY

The aim of the banks is to provide state-of-the-art, low cost and

efficient banking services, with a focus on increasing fee-based
income. New innovative products are been offered, even a small
investor is able to invest in such products.

Indias financial services sector is expected enjoy generally strong

growth during coming years, driven by rising personal incomes,
financial sector liberalization and the growth of a more consumer
oriented, credit-oriented culture. This is expected to lead to
increasing demand for financial products, including consumer loans
as well as investment products.

Banks are the Financial Institution which satisfies the individual &

44
group goals with proper systems of rules, regulations, policies,
services, procedures& strategies. To achieve the goals and
objectives the main component of the banks are the customers.

Banks are the diversified financial services company that provides a

range of services to customer including retail banking, venture
capital, private equity, working capital finance etc.

45