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INTRODUCTION:Emerging challenges caused by operational turbulence in the banking industry are creating anurgent need to improve current knowledge about the functional contributions made by service

operations management (SOM) to banking performance. an increasing vulnerability of banks to performance shocks due to operational inadequacies. These shocks expose weaknesses in theway banks deal with such matters as product innovations, new market opportunities, risk concentrations, regulatory compliance demands, and trading volatility. Their impacts on

performance are refocusing current industry attention beyond service delivery to include thefunctional areas of banking operations that contribute to managing financial assets, liabilities,offerings, risks, liquidity and regulatory compliance. Events during the so-called global creditcrunch following the sub-prime lending debacle in 2007 demonstrate these changing dynamicswell. They show that however excellent a banks service delivery may be, if it fails to proactivelyaccomplish other important day-to-day operational tasks (as distinct from tasks such as strategyformulation), the bank could suffer performance shocks that may even lead to its total collapsein extreme circumstances. Observations in the banking media seem to suggest that banks withexemplary performance are distinguished operationally by what is done, and who does it. Thehow of managing banking operations appears less important. Perhaps that is because SOM in

banking is relatively immature by comparison, for example, to the manufacturing industry. Thereis no consensus yet regarding what SOM is in banking, below the level of strategic roles, hencethe observed variations in approach amongst banks. Whereas, how things get done in bankingSOM is well known, often standard across an organization, highly automated, and similar throughout the banking industry. It seems that variations occur mostly in the omissions and

inclusions of what is done to manage banking operations, along with who is assignedresponsibility for it. If that is true, then perhaps these variations affect performance in some predictable way. Consequently, SOM issues and variations in approach are analysed from the perspective of: the functional integration of operations management in banks. That perspectivefocuses on both the what and who of operating a banking enterprise, with consideration alsogiven to evidence of functional execution, to distinguish reality from strategic intention.

IntroductionAndhra Bank was founded by the eminent freedom fighter and a multifaceted genius, Dr.

Bhogaraju Pattabhi Sitaramayya. The Bank was registered on 20th November 1923 andcommenced business on 28th November 1923 with a paid up capital of Rs 1.00 lakh and anauthorised capital of Rs 10.00 lakhs. The Bank crossed many milestones and the Bank's TotalBusiness as on 30.06.2008 stood at Rs.83,256 Crores with a Clientele base over 1.74 Crores. TheBank is rendering services through 2139 Business Delivery Channels consisting of 1371

branches, 66 Extension Counters, 38 Satellite Offices and 664 ATMs spread over 21 States and 2Union Territories as at the end of June, 2008. All Branches are 100% computerized, 1186 units

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viz., 1101 Branches, 68 Extension Counters, 15 Service Centres networked under Cluster Banking solution and providing "Any Branch Banking(ABB)". Real Time Gross Settlement(RTGS) Facility and National Electronic Fund Transfer (NEFT) facility has been introduced in723 Branches. To provide value-added services to Customers, the Bank has set up its own 664ATMs as on 30.06.2008. Of which 03 Mobile ATMs and two with Biometric access.

Online Services

Internet Banking

Mobile Banking

SMS Banking

Online - Trading

Tele - Banking

e-rail Ticketing

AB Lock BoxFacility

Religious Offering

Internet Banking

The Andhra Bank Net banking sphere encompasses both transactional and non-transactional procedures. The transactional procedure involves a comprehensive range thatincludes paying an utility bill, SWIFT cash transfer and others. Electronic bill presentation and

payment is also possible in AB INFI-net banking. Other financial transactions like a loanapplication and its consequent repayment may also be conducted over the Internet. Investments

like shares and commodity positions may also be taken online.

Non-transactional procedures may also be conducted through Andhra Bank online banking. Bank statements are sent electronically by the bank. All banking processes are subjectto approvals by multiple levels of authority. Both transactional and non-transactional bank

procedures enjoy the support of a number of users who monitor the transaction. Personalfinancial management support is also given.

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Andhra Bank online banking is protected from unauthorized users by the usage of aPersonal Identification Number (PIN) system. The PIN is dispatched to its user or owner by

physical post. This number is sent in a separate post that is not conjoined with any other bankinginterface. This is done to maintain privacy. Internet transactions that involves Andhra Bank isconducted through a web browser employing SSL secured transactions. Digital certificates areissued to guarantee against cyber misuse.

Mobile BankingMobile Banking refers to provision and availment of banking- and financial services with

the help of mobile telecommunication devices.The scope of offered services includes facilities toconduct bank and stock market transactions, to administer accounts and to access customisedinformation." Mobile banking is a term used for performing balance checks, accounttransactions, payments etc. via a mobile device such as a mobile phone or Personal DigitalAssistant (PDA). Mobile banking is often performed via Mobile Internet but can also use special

programs, called clients, downloaded to the mobile device.

At present the above facilities are available for Mobile Banking Customers. On arrivingagreements with service providers the following facilities will be enabled.

Funds Transfer Trust Donations Other Services

o Cheque Statuso Stop Cheque

Utility Bill Payment Movie Ticketing Air Ticketing Corporate Funds Transfer Credit Card Bill Payment Fee Payment

SMS BankingSMS banking services are operated using both push and pull messages. Push messages

are those that the bank chooses to send out to a customer's mobile phone, without the customer initiating a request for the information. Typically push messages could be either Mobilemarketing messages or messages alerting an event which happens in the customer's bank account, such as a large withdrawal of funds from the ATM or a large payment using thecustomer's credit card, etc.

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y For Transactions above a certain limity ATM Withdrawal above a certain limity Cheque Returnsy Cheque Book Issuey Term Deposit Duey Balance for any transaction at day end

Tele Banking

ANDHRA BANK launched "Tele Banking Facility" with call centre for its customersthrough its office in Hyderabad. This facility will be operated with Ineractive Voice ResponseSystem (IVRS) available round-the-clock on all week days except for national holidays between8 a.m. and 8 p.m.

Through the IVRS facility, the Bank offers facilities like balance inquiry, last fivetransactions, account statement request, term deposit account details like data of opening,

principal amount, interest rate, date of maturity and maturity amount and loan account detailslike original loan amount, installment amount and due date, loan interest rate, last installmentamount and payment date. The customer can also learn about the various products and schemesof the bank through the call centre agents. Tele-banking provide such facility to access the detailsof their account 24 X 7 basis.

E-rail Ticketing & On-Line TradingBoth these services are outsourced in this they provide a link for the service. As for e-railticketing it provides a link for IRCTC site and similarly for online trading it provides a on-linetrading company site but it has no responsibility for any misuse of the service.

Lock Box Facility

NRIs in USA can now send the remittances by way of cheques without any delay. NRIsneed not send the cheques all the way to India for collection. They can get the cheques realizedin USA itself .It saves the time for sending the cheques to India and again sending the cheque

back to USA for collection.

It is a revolutionary new way of sending money to India at a marginal cost. It costs lessthan the wire transfer. Again, it is faster than the present system of cheque collection. NRIs cannow deposit their personal cheques in a local Post Box of Bank of America in USA and get

proceeds credited in Indian Rupees in Andhra Bank Account in India very fast.

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UNIQUE SERVICES OF ANDHRA BANK

The services provided by Andhra Bank might sound similar to other banks. But the main

advantage of the services of this bank is the security which they are giving to their customers.

The internet banking is called as AB INFI-net banking in which they provide the operation of both transactional and non-transactional procedures. The mobile banking is some what similar to

the internet banking where as in mobile banking they have to download the software in their

mobile, through this they can perform various transactions like fund transfer, trust donation,

book tickets, etc. The bank has developed a new concept called as SMS banking threw which

they will be getting updates on their mobile via SMS, when there is a transactions above a

certain limit, withdrawal above certain limit, etc. The tele banking services help the customers to

call the customer care no and now the updates of their bank statement, etc. Similarly the next

best service offered by the Andhra Bank is Lock Box service threw which a customer in USA

USA can now send the remittances by way of cheques without any delay. NRIs need not send the

cheques all the way to India for collection. They can get the cheques realized in USA itself . The

e-rail ticket and online booking, the bank provide a link threw which they can perform the

required transactions.

PUNJAB NATIONAL BANK :

VISION

To be a Leading Global Bank with Pan India footprints and become a household brand in theIndo-Gangetic Plains providing entire range of financial products and services under one roof

MISSION

"Banking for the unbanked"

SERVICES OFFERED :

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PNB's Online Utility Bill Payment Services

PNB brings the convenience of paying all bills from desktop. Customers can now pay electricity,telephone, mobile, insurance bills online electronically and also subscribe to magazines and makecontributions to various charities all of them online, using the PNBOnline Utility Bill PaymentService.

y Account will be debited online. Payments made before 5pm on working days will be processed by the next working day.

y To use the PNB Online Utility Bill Payment Services, customer need to be a PNB InternetBanking Customer.

y To view the complete list of billers/organizations to whom people can make the payment,there is a link provided, they can check.

PNB e-TAX PAYMENT :

This is one of the special bank services that are provided by the bank. Through this service,customers can pay various taxes online by saving time and money. These following type of services can be paid through online.

y Excise and Service Tax Online e-Payment

y CustomsOnlinee-Payment

y MCA21 Online e-Payment

y Central Board of Direct Taxes

Money Transfer Service Schemes :

XPRESS MONEY :

For facilitating remittances from across the World, particularly from the Gulf,PNB has set up a

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money transfer service " Xpress Money " in association with M/s UAE Exchange FinancialServices Ltd.

y The service is fast, convenient and secured to remit money to PNB.y Beneficiaries can collect cash for remittances up to Rs 50,000 from any branch of PNB in

India.y -Only personal remittances such as remittances towards family maintenance and favouring

foreign tourists visisting India are permissible.y -Trade related remittances, remittance towards purchase of property, investments,or credit

to NRE / FCNR accounts, donations / contribution to charitable organizations are not permitted.

y Not more than 12 remittances by a single recipient / beneficiary in a year .

MoneyGram :

For facilitating remittances from across the Globe ,PNB has set up a money transfer service"MoneyGram " in association with M/s UAE Exchange Financial Services Ltd and M/s ThomasCook India Ltd.Circle-wise branches are designated for both the companies .

The service is fast, convenient and secured to remit money to PNB.

Beneficiaries can collect cash for remittances up to Rs 50,000 from any branch of PNB in India.

-Only personal remittances such as remittances towards family maintenance and favouringforeign tourists visisting India are permissible.

-Trade related remittances, remittance towards purchase of property investments , or credit to NRE / FCNR accounts , donations / contribution to charitable organizations are not permitted.

-Any single remittance under this arrangement shall not exceed US $2500 or its equivalent.

- Not more than 12 remittances by a single recipient / beneficiary in a year.

- Payments exceeding Rs 50,000 shall be paid only by Cheque/ DD/ PO or by direct credit to theaccount of the recipient.

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XOOM.COM :

For facilitating remittances from USA, PNB has set up a money transfer service in associationwith M/s Buyindiaonline.com Inc USA, a wholly owned subsidiary of Xoom Coroporation.

The service is fast, convenient and secured to remit money to India through website'Cash2India.com'. and www.xoom.com

NRIs can remit from other countries also,by using funding source as Credit Cards/ Debit Cards.

Beneficiaries can collect cash for remittances up to Rs 50,000 from any branch of PNB in India.This service is also available for Accounts Credit (Other than NRE/(FCNR) with PNB as well asother banks through NEFT,in addition to the facility of obtaining Drafts / Pay Orders etc by the

beneficiary.

-Only personal remittances such as remittances towards family maintenance and favouring

foreign tourists visisting India are permissible.

-Trade related remittances, remittance towards purchase of property ,investments ,or credit to NRE / FCNR accounts ,donations / contribution to charitable organizations are not permitted.

-Any single remittance under this arrangement shall not exceed US $2500 or its equivalent.

- Not more than 12 remittances by a single recipient / beneficiary in a year.

- Payments exceeding Rs 50,000 shall be paid only by Cheque/ DD/ PO or by direct credit to theaccount of the recipient.

INTERNET BANKING SERVICES :

What types of accounts are provided with Internet Banking facility?

The facility of Internet Banking is extended to NRI Customers in the capacity of Individuals/JointAccounts only.

The facilities available through Internet Banking

1. Accounts menu -> Account details /quick view/last 10 transactions/statement of A/c

2. Funds Transfer -> Own A/c s and other accounts, with following combinations

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i. NRE to domestic accounts

ii. NRO to domestic accounts

iii. NRE to NRO accounts

iv. NRE to NRE accounts

The NRI Customers would also have the facility of making online payments towards utility bills/taxes/donations by direct debit to account .

3. Customise

4. Mails

5. Bills

6. Requests

- Account opening Request

- Cheque Book Request

- DD Request

- Breaking an FD

- FD Account Opening

- FD Renewal

- Statement of Account

- Request for Transaction Password/resetting of Transaction password

UNIQUE SERVICE OFFERED BY PNB :

The unique services that Punjab national bank offering isPNB e-TAX PAYMENT. Through this service PNB is providing the customer to pay various

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taxes online. Excise andServiceTaxOnlinee-Payment,CustomsOnlinee-Payment,MCA21 Onlinee-Payment,Central Board of Direct Taxes are the four type of taxes that customer can pay online

by saving time and money.

CANARA BANK

Canara Bank was founded by Shri Ammembal Subba Rao Pai, a great visionary and philanthropist, in July 1906, at Mangalore, then a small port in Karnataka. The Bank has gonethrough the various phases of its growth trajectory over hundred years of its existence. Growth of Canara Bank was phenomenal, especially after nationalization in the year 1969, attaining thestatus of a national level player in terms of geographical reach and clientele segments. Eightieswas characterized by business diversification for the Bank. In June 2006, the Bank completed acentury of operation in the Indian banking industry. The eventful journey of the Bank has beencharacterized by several memorable milestones. Today, Canara Bank occupies a premier positionin the comity of Indian banks. With an unbroken record of profits since its inception, CanaraBank has several firsts to its credit. These include:

y Launching of Inter-City ATM Network

y Obtaining ISO Certification for a Branch

y Articulation of Good Banking Banks Citizen Charter

y Commissioning of Exclusive Mahila Banking Branch

y Launching of Exclusive Subsidiary for IT Consultancy

y Issuing credit card for farmers

y Providing Agricultural Consultancy Services

Over the years, the Bank has been scaling up its market position to emerge as a major 'FinancialConglomerate' with as many as nine subsidiaries/sponsored institutions/joint ventures in Indiaand abroad. As at June 2010, the Bank has further expanded its domestic presence, with 3057

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branches spread across all geographical segments. Keeping customer convenience at theforefront, the Bank provides a wide array of alternative delivery channels that include over 2000ATMs- one of the highest among nationalized banks- covering 732 centres, 2681 branches

providing Internet and Mobile Banking (IMB) services and 2091 branches offering 'AnywhereBanking' services. Under advanced payment and settlement system, all branches of the Bank have been enabled to offer Real Time Gross Settlement (RTGS) and National Electronic FundsTransfer (NEFT) facilities.

What does the new look of Canara Bank imply?

The new image of Canara Bank is reflected in its new logo a blue and a yellow triangle

interlocked. It is said to represent the strong bond between the bank and its customers bothwithin and outside the organization. The reinvented Canara Bank is focused on strengthening itscustomer base and improving relations with all its stakeholders customers, employees,investors, institutions and society in general. The logo is accompanied by the new taglineTogether we can.

Founding Principles

* To remove superstition and ignorance.

* To spread education among all to sub-serve the first principle.

* To inculcate the habit of thrift and savings.

* To transform the financial institution not only as the financial heart of the community but thesocial heart as well.

* To assist the needy.

* To work with sense of service and dedication.

* To develop a concern for fellow human being and sensitivity to the surroundings with a view tomake changes/remove hardships and sufferings.

The three main divisions of services of canara bank are

1) Personal banking

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2) Corporate banking3) NRI banking

Personal Banking:

1) Savings and deposits:a) SAVINGS BANK ACCOUNT

b) SB GOLD SCHEMEc) CANARA CHAMP DEPOSIT SCHEMEd) CANARA SARAL SAVINGS ACCOUNTe) CANARA PREMIUM CURRENT ACCOUNT

2) Loan Products

Doctors Choice

Purpose:

y Purchase of equipmenty Setting up of Clinic, X-ray lab, Nursing Home, etc.y Expansion / renovation / modernisation of exiting premisesy

Purchase of vehicles, ambulance, computers and other essential equipmentsy Meet working capital needs

3) Home Improvement Loan

Purpose:

For furnishing house / flat with household furniture items, air conditioners,wardrobes, kitchen cabinets, refrigerator, washing machine, etc.,

y Can be availed along with a Housing Loan from Canara Bank OR

y Separately in cases where Housing Loan is obtained from other Banks /Financial Institutions OR Without any Housing Loans

4) Canara Jeevan

In the present scenario, for most senior citizens and those nearing retirement the biggest

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fear is the need for money to live comfortably after retirement. Reverse mortgage loanscheme helps them to convert their dwelling house property into liquid cash flows to meettheir living expenses.With this objective of meeting the financial needs of the Senior Citizens, a new loan scheme is introduced, namely CANARA JEEVAN - ReverseMortgage Loan Scheme For Senior Citizens.

Objective:

To meet the financial needs of Senior Citizens owning self occupiedresidential property.

Purpose of the loan:

y For supplementing pension/other incomey Maintenance of family, Medical, emergency expenditurey Repayment of an existing loan taken for the residential property to be

mortgagedy Up gradation, renovation and extension of residential propertyy For uses associated with home improvement, maintenance/insurance of

residential propertyy Meeting any other genuine need

5) Ancillary Services

SAFEDEPOSITLOCKERS

Keep your valuables in our lockers and have peace of mind.

Lockers available at select branches where Safe Deposit Vaults areinstalled. Bank lets on hire safe deposit lockers to individuals (Singly or

jointly), Firms, Companies, Association or Clubs, Trustees on nominalrent.

SAFE CUSTODY SERVICES

This subsidiary service is rendered by the Bank to most valued customers.Bank undertakes the responsibility of safe custody of articles entrusted bythe customer under a contract and return the same according to termsagreed upon.

NOMINATIONS

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This facility has been devised with an aim of minimising the hardshipscaused to the family members on the death of the depositor/s. Nominationscan be made in respect of all types of deposit accounts by the individualaccount holders in their own capacity singly or jointly.

7 DAY BANKING

Now we are open on all days - Seven days a week.

Facility available at select branches.

EXTENDED BANKING HOURS

Now you can do your Banking operations for more time. We have extendedour business hours by one hour more for your convenience. (at select

computerised branches).

DD SHOPPE

Get your demand drafts through our exclusive DD outlets. Our DD shoppeissues demand drafts upto one hour before close of office hours. Facilityavailable at select branches.

Corporate Banking

1) Cash Maagement services

The speedier you are, its easier for you to address the challenges of globalisation. Corporate Cash Management Services (CCMS), aninnovative service offered by Canara Bank for speedy collection of chequesand other instruments, places corporates on a faster-track. In more waysthan one-such as definite funds flow, better cash management anddeployment of funds, better monitoring of funds flow, optimum allocationof funds and effective planning of investment functions.

What is CCMS?

y An innovative service specifically tailored to meet the requirements of Corporates/Business houses/Partnership firms

y Speedy collection of outstation cheques and other instrumentsy Pooling of funds at designated centresy More importantly, providing funds to the Corporates as per their need

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y Customised MIS reports

WhatWeOffer?

Under CCMS we offer the state of the art technology products

y SUPERFAST SERVICE - Local cheque collection servicesy FASTRACK SERVICE - Upcountry cheque collection servicesy BULK COLLECTION SERVICE - Bulk cheques collection services

Under 'SUPERFAST SERVICE', agents or offices of Corporates candeposit the cheques to be cleared in the local clearing and funds will be

pooled at any pooling branch designated by the Corporates.

Under 'FASTRACK SERVICE', agents or offices of Corporates can depositthe cheques drawn on outstation centres and proceeds will be pooled at any

pooling branch designated by Corporates.

Under 'BULK COLLECTION SERVICE', agents or offices of Corporatescan deposit their bulk (large number) instruments of small value to becleared in the local clearing and funds will be pooled at any pooling branchdesignated by the Corporate.

Benefits to the Corporates

y Funds available as per need on day zero, day one, day two, day three etc.y Corporates can plan their cash flowsy Bank interest saved as instruments are collected faster y Affordable and competitive ratesy MIS reports customised to meet individual Corporate's requirementy Single point enquiry for all queriesy Pooling of funds at desired locationsy Operational in 148 Cities/Centres

NRI Banking

1) SAFECUSTODYSERVICES

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This subsidiary service is rendered by the Bank to most valued customers.Bank undertakes the responsibility of safe custody of articles entrusted bythe customer under a contract and return the same according to termsagreed upon.

2) NOMINATIONSThis facility has been devised with an aim of minimising the hardshipscaused to the family members on the death of the depositor/s.

Nominations can be made in respect of all types of deposit accounts by the individual account holders in their own capacity singly or jointly.

3) FACILITIES FOR RETURNING INDIANS

When a Non Resident Indian customer becomes a person resident in India,they can retain their foreign currency accounts with banks abroad and/or hold, transfer or dispose off their foreign currency assets such as shares,securities, or investment in business and immovable properties. Theseassets held abroad can be repatriated to India and returning Indians canhold them separately in India with Banks under the RFC account.

4) SAFEDEPOSITLOCKERS

Keep your valuables in our lockers and have peace of mind.

Lockers available at select branches where Safe Deposit Vaults areinstalled. Bank lets on hire safe deposit lockers to individuals (Singly or

jointly), Firms, Companies, Association or Clubs, Trustees on nominalrent.

CANARA BANK

Disadvantages: It does not have

1) Mobile banking 2) SMS banking 3) e-rail ticketing 4) e-tax payment

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Advantages: It has

1) CANARA JEEVAN: for senior citizens2) 7-day banking3) Corporate banking: CCMS

4) Facilities for returning Indians

CONCLUSION

Banking performance is widely acknowledged by industry experts in the business media as beingvulnerable to the effects of economic and operational turbulence. Many of these effects aremanaged by SOM, and have an indirect but important relationship to service delivery. They areknown to expose vulnerabilities at functional execution levels of management, due to differencesin the approaches of banks to the functional integration of SOM enterprise-wide.

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