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PROJECT REPORT

ON

ICICI ONLINE BANKING

Submitted in partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

UNDER THE GUIDANCE OF:

Ms.

Faculty, GIBS

SUBMITTED BY:

KUMAR RAGHAV MAURYA (09019103911)

DEEPIKA RANA (07719103911)

GITARATTAN INTERNATIONAL BUSINESSSCHOOL

(Affiliated to Guru Gobind Singh Indraprastha University.)

ROHINI, NEW DELHI 110085

(2011-2013)


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EXECUTIVE SUMMARYDespite the rosy predictions and increased corporate activity, the Indian Internet banking

system is facing many hurdles. The problems include operational risks, security risks, system

architecture risks, reputational risks and legal risks (See Exhibit I for Problems in Internet

Banking)...

Apart from the security issues, there are a host of other problems like:

PC user base in India is extremely low compared to global standards.

The Internet user base is limited.

Lack of infrastructure to advanced technology based banking services.

The absence of a regulatory framework for Internet banking transactions in India.

The mindset of the Indian consumer, who prefers personal interactions and is not very

comfortable, doing transactions through the Internet.

Limited awareness about the potential of Internet banking on the part of banks

ICICI bank was incorporated as a commercial banking company, by the Industrial Credit and

Investment Corporation of India (ICICI), in May 1994. The first ICICI branch was started in

June 1994 at Chennai. The bank provides an array of domestic and international banking

services to enable national and international trade and business, investment and foreign

exchange and treasury services. Right from its inception the bank focused more on

incorporating advanced technology. The bank operated the largest chain of ATMs in the

country, which amounted to more than 450 in 2000. All the bank's branches were fully

computerized and networked through V-SAT technology. By 1999, the number of branches

increased to 65 and the bank plans to have over 200 branches by the end of 2002. In April

2000, ICICI became the first Indian bank to be listed on the New York Stock Exchange.

ICICI was always regarded as one of the best private banks to foster advanced technologies

in the banking sector. As part of its technology drive, in 1997, ICICI launched 'Infinity,' the

first Indian Internet banking service. The service was launched to reduce transaction cost and

offer convenient banking to customers. This meant enabling the customers to access their

bank account and make transactions at any time. ICICI realized that to make Infinity a

success, it would have to invest heavily in sound Internet banking e-commerce technology.

During 1995-99, ICICI invested Rs 50 million in online banking technology solutions. In

1997, ICICI bought the 'BankAway' software from Infosys. BankAway was an e-commerce


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OBJECTIVES OF THE STUDY

To know the current banking services provided online by ICICI. To know the benefits provided by online banking facilities of ICICI. To know the security systems adopted by ICICI for its consumers. To know about some security related issues of ICICI. To recommend ICICI on how it can improve its service.


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SCOPE OF THE STUDY

This study will help to gain an insight into the online banking strategy of ICICI. It will also help to know what is ICICI doing to protect its consumers from online

frauds.

With the help of this study we can compare ICICI with other banks providing onlinebanking services.

It will also help to know all the services provided by ICICI online.


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ABOUT ICICI ONLINE BANKING

ICICI was always regarded as one of the best private banks to foster advanced technologies

in the banking sector. As part of its technology drive, in 1997, ICICI launched 'Infinity,' the

first Indian Internet banking service. The service was launched to reduce transaction cost and

offer convenient banking to customers. This meant enabling the customers to access their

bank account and make transactions at any time. ICICI realized that to make Infinity a

success, it would have to invest heavily in sound Internet banking e-commerce technology.

During 1995-99, ICICI invested Rs50 million in online banking technology solutions. In

1997, ICICI bought the 'BankAway' software from Infosys. BankAway was an e-commerce

solution that provided the bank a platform to offer an integrated financial services portal tothe customers. It offered access to account information, bill payment, cash management,

trade, finance and online shopping.

On account of the growing competition in the Internet banking sector, ICICI focused on

enhancing and extending its business-to-business (B2B) and B2C services through tie-ups

and acquisitions.

The bank entered into a 50-50 joint venture with Satyam Infoway in December 1999

to offer retail banking products and services on the Internet. R. Ramraj, Managing Director,

Satyam Infoway, said, "ICICI bank has many corporate clients and the idea is to develop e-

commerce on a B2B platform where payments will be facilitated through ICICI. The alliance

is going to give a big fillip to B2B."

Infinity's services included account information, funds transfer, bill payments, online

Real-Time e-shopping payments; communication with bank manager, various customized

services. The products were targeted at two different customers: individuals and small

businesses, and corporates having an annual turnover of over Rs 500 million.

In the first half of 2000, ICICI introduced new Internet banking products for school

and college students. Kid-e-bank was introduced to help children between 5-12 years to open

an account and check the account balance on the Internet. Bank@campus was a service for

students to enable services like ATMs, Smart Card, educational loans etc. It was launched

across the country in many campuses.

As part of its B2C programs, ICICI tied up with 10 shopping malls all over India. This

allowed customers to shop and pay bills online from their accounts. It also tied up with 24

billing companies across 11 cities, including Bharat Sanchar Nigam Ltd. (BSNL) for bill


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The following operating systems:

Windows 98, NT, 2000, XP

The following browsers:

Microsoft Internet Explorer 5.XX and above

Netscape 7.XX and above


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Documents

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