1. Major Issues of Banking

2. Introduction
The Indian financial system has been broad based as well as expanded and gained a solid foundation during the last two decades.
It is characterized by the predominance of public sector institutions and a high degree of regulation, motivated mainly by socio- economic considerations.
In the process, certain rigidities and weaknesses have developed in the system.
Major issues in the Indian financial system to play its role in ushering in a more efficient and competitive economy.

3. Progress in Some Sphere
The Indian banking system has made a commendable progress in extending its geographical spread and functional reach.
The spread of the banking system has been a major factor in promoting financial intermediation in the economy and in the growth of financial savings.
The credit reach is also has been extensive and the banking system now caters to several million borrowers especially in agriculture and small industry.
The Development Financial Institutions (DFIs)
Established themselves as a major institutional support for investment in the private sector.

4. Despite the commendable progress, serious problems have emerged, reflected in a decline in productivity and efficiency, and erosion of the profitability of the banking sector.
Major factors responsible for these are:-
Directed investments
Directed credit programmes

5. Major Issues The major issues of Indian finan`cial system are-
Bank capital adequacy
Income recognition
Profitability
Capital market
Banking reforms
Supervision and
Consolidation of the Indian Financial sector.

6. Bank Managment Objectives of bank management
To organize the structure to meet the challenges of changing environment.
To improve customer services.
To introduce new schemes.
To improve housekeeping.
To improve technology in banks.
To modernize office equipment.
To train employees on an ongoing basis.
To improve work ethics.
To improve the quality of banking services.
To improve the health of the organization.
To imbibe value system.

7. 11. To improve productivity through participative management.
12. To improve inspection and special audit.
13. To follow instructions and stick to rules and guidelines.
14. To rise above and serve the community.
15. To utilize human resources for improving quality of life.
16. To develop leadership and entrepreneurial spirit among the cadre.
17. To motivate employees to work efficiently, productively and profitably.
18. To evolve a unique monitoring and controlling system.
19. To improve the image and strengthen the confidence of the people in the system.

8. Evolution of Management Environment in Banks.
Pre managing Stbility
Coping with change
Managing change
Managing diversity.
Control Management
Management
By Objectives
Participative Management
Differential Management
Diversification Process began in the banking system. It is an era of specialization and consideration

9. Basics functions of Management
Planning
Organizing
Staffing
Directing
Motivating
Controlling
Co-Ordinating
Communicating

10. Functional Areas of Bank Managment
Deposit Mobilization
Financial Management
Project Evaluation
Credit Management
Credit Planning
Liquidity Management
Investment management
Organization Management
Personnel Management
Marketing Management
Office Management
Maintenance Management
Information management
Legal Management
Portfolio Management
Assets Management