Harvey Milk free essay sample

3 Steps to Acing Your Upcoming Group Interview You’ve been approached in for a board meet. Perhaps you’re threatened. Perhaps frightened. Possibly you’re not even sure you comprehend what that really involves. Whatever your degree of fear, here are three simple strides to traversing your board meet tranquilly and in one piece. Stage 1: BEFOREYou reserve the privilege to ask who will be on your board. Do this. At that point inquire about each board part as well as could be expected. You’ll have the option to make sense of a considerable amount and get ready better for what each may be generally quick to ask you. What does this specific gathering of individuals educate you regarding what the organization is attempting to assess?You can likewise ask to what extent (generally) the meeting should last. This will give you a nice sentiment for what amount to and fro conversation will be conceivable, how much space you’ll be given to pose inquiries, to what extent your answers can be, etc.Step 2: DURING Treat every individual on the board like an individual not simply one more anonymous face. This isn't an indifferent divider asking you inquiries. Every questioner on your board is another chance to make a human association and persuade that a lot more individuals in the organization what an extraordinary fit you would be.Be sure to observe everybody’s name as they are presented. Record every one if that causes you recall. When responding to questions, talk straightforwardly to the person who asked, yet then attempt to widen your answer out to cause the remainder of the board to feel remembered for the discussion.Step 3: AFTERYou’ve took in their names and put forth an attempt to interface with each board part presently thank every single one of them earnestly withâ solid eye to eye connection and a quality handshake. From that point forward, it’s the typical post-meet follow-up methodology. Be that as it may, recall that you have to keep in touch with one card to say thanks for each board part. It appears to be a torment, however it’s these little contacts that will help set you apart.The board talk with: 6 hints for previously, during, and after

Unknown Girl free essay sample

It is evening time in the Indian commercial center where the obscure young lady is hennaing my hand. The topic of this sonnet communicates social personality and a feeling of having a place. The expression ‘an obscure young lady is hennaing my hand’ is a redundancy and an ensemble. The word neon is likewise used to portray the bazaar which states bliss. She has chosen a heating term ‘icing’ to outline how the structure is being planned on her hand. The obscure young lady who is hennaing my hand steadies her hand with mine on her glossy silk peach knee which shows a sexy and private symbolism in the brain of the peruser. It likewise shows care, dedication and consideration which the young lady is providing for me for only a couple of rupees. The example which is being planned on my hand is of a peacock which is the national winged animal of India. This section shows how the artist is attempting to retain the way of life and legacy of India. We will compose a custom exposition test on Obscure Girl or then again any comparative subject explicitly for you Don't WasteYour Time Recruit WRITER Just 13.90/page Allegories have likewise been utilized, for example, ‘colors leave the street’. The artist likewise relates that palanquins tilt and gaze in their Western perms which is an exemplification. It makes a wild picture, a feeling of miracle and a feeling of enjoyment. These words additionally show the impact of Western culture in India. Another model is the expression ‘banners for Miss India 1993’. She has a sense of security and secure in India when she says that drapery and couch fabric shelter me. She looks at the shade of her henna to her veins when she communicates ‘I have new earthy colored veins’. There are likewise sure analogies utilized, for example, ‘to these firm peacock

Why You Should Use a Computer Software to Write Your Diagnostic Essay

Why You Should Use a Computer Software to Write Your Diagnostic EssayIf you want to write a diagnostic essay, then you should take advantage of the multiple essay writing software that is now available on the internet. These computer programs will provide you with many great features which you can use to your advantage in order to write a concise, informative and well-written essay. It is vital that you check out some of the advantages of using a computer program to write an essay before you start trying to write a diagnostic essay.A diagnostic essay will help you get over any fear or worry that you may have concerning the ability to write a medical diagnostic essay. The first thing that you will notice is that you will no longer be dealing with many other students who are smarter than you. Once you begin writing your essay, you will discover that you can write at breakneck speed without feeling any pain. When you are writing an essay, the reason why you are reading it is for you to assess the validity of what you have written, as well as to give your opinion about the subject.Writing an essay with a computer software is like writing your own journal entry. When you are able to deal with your time and in less time, it gives you more confidence in your abilities as an essay writer. This makes it easier for you to keep up with the other students and write a diagnostic essay on their work.The diagnostic essay is normally very short and will be very brief in terms of content. This is something that you will be very happy about as you do not have to spend too much time describing your experience.You will no longer be dealing with one person who is writing the entire essay. Instead, you will have several people who are commenting on your essay. All of the opinions and comments that they make will reflect the views of each individual who is writing a diagnostic essay on your work.With a diagnostic essay, you will be able to prove that you understand the point that you are attempting to make. This way, you can see how others who have tried to write diagnostic essays are having similar problems as you.The list of benefits that you will have by using a computer software is almost endless. All of the hard work that you have put into the writing process will be for nothing if you do not have a simple way to convey what you are trying to say. Using computer software to help you with your diagnostic essay writing is a great way to ensure that you can get it done in less time.

Film Review Royale With Cheese - 1340 Words

Jasvinder Singh Prof. Sarah Markgraf Intro to Cinema 5 December 2016 Royale with Cheese Pulp Fiction by Quinton Tarantino falls into the genre of a Gangster film but has elements of other genres as well like Film Noir and Black Comedy. Pulp Fiction has a balance of drama and comedy along with hard to watch scenes like rape, violence, gore and heavy drug use. Tarantino’s style of movie making help make Pulp Fiction the classic it is today. The mise-en-scene, cinematography and other elements of movie, including sound effects and round characters leave us intrigued as well as content with the story structure as well as its ending. The storyline jumps from one storyline to the next and presented in nonchronological order. Tarantino gives us bits and pieces of one story then jumps to another. This style of narrative is unusual. Ultimately, the whole story comes full circle. The opening scene ends where the scene began. We see the conclusion of the robbery and how it connects to the film. In one of the first scenes with Vincent Vega and Jules Winnfield, we see the pair going to collect money for their boss Marcellus. When Jules and Vincent go to the trunk to get their guns, we see them at a low angle. Props and dialog indicates the authority and danger of the two men. We now know they are gangsters. Singh 2 When Vega and Winnfield are in the apartment, Winnfield is standing in front of Brett making small talk. The scene is tense, although he is notShow MoreRelated Pulp Fiction Essays1384 Words   |  6 Pagesaction, time alters and we find ourselves riding down the street with Vincent and Jules John Travolta and Samuel L. Jackson), two hit men on their way to work. As the men travel to work they discuss such worldly things as gourmet food, like the Royale with cheese, and the sexual innuendoes involved when one gives a foot massage. These two intellects do the dirty work for the infamous Marsellus Wallace (Ving Rhames). Due to Wallaces lifestyle, the movie branches off into three separate stories.

Design Thinking and Innovation at Apple - 1398 Words

Apple Case Assignment Abstract The purpose of this assignment is to access the â€Å"Apple way† and understand the source of their systematic innovation and the way to sustain it. The major source of innovation is design thinking, which is also discussed based on Apple case. Finally, Steve Jobs is compared to other major industry player, Bill Gates, in order to understand their major difference and compare their success stories. Is there a systematic approach to Innovation at Apple? How would you characterize it? List at least 3 examples from the case. 1. From the start Apple has been extremely systematic in its approach to innovation. Fine products do not materialize out of thin air; they are a direct result of creative thinking†¦show more content†¦Roll out the new product and sit back while each buyer of the first product rushes to purchase the new version. Sales are generated not only by the product improvements but also by the company’s smart use of generational psychology (â€Å"gotta have the latest!†) and a relentless public relations campaigns culminating in the slick invitation-only rollout featuring Mr. Jobs himself. This system, while not revolutionary (â€Å"marginal improvement system† was discovered by automobile industry 60 years ago), results in steady products improvements coupling each relatively minor enhancement with high revenues nearly as strong as the original product’s ones. Systematic innovation is also demonstrated in â€Å"design sense† - Apple’s tendency t o design what seems simple and intuitive to the consumer. The introduction of the iPod Mini, which would not have been supported by classic marketing principles, is an excellent example of this. Apple bet that the public would purchase the sleeker, flashier, more compact version of its iPod even though the small size meant sacrificing the amount of music that could be stored. They based this assumption on the fact that consumers crave first and foremost simplicity and functionality. The Mini was a tremendous success and not only because of its reduced size, but also due to its myriad of colors. â€Å"Design sense† allowed Apple to produce a lighter more portable product with enhanced aesthetic qualities, while sacrificing something that turned out not to beShow MoreRelatedDesign Thinking and Innovation at Apple1406 Words   |  6 PagesApple Case Assignment Abstract The purpose of this assignment is to access the â€Å"Apple way† and understand the source of their systematic innovation and the way to sustain it. The major source of innovation is design thinking, which is also discussed based on Apple case. Finally, Steve Jobs is compared to other major industry player, Bill Gates, in order to understand their major difference and compare their success stories. Is there a systematic approach to Innovation at Apple? How would you characterizeRead MoreDesign, Thinking and Innovation at Apple1387 Words   |  6 Pages1. Executive Summary Apple as one of the most famous and successful corporations and brands in the world can attribute its past success to Steve Jobs and their employees. The whole organisation understands the companies (mainly Steve Jobs) vision and philosophy. In Apple, employees think that they can change the world and bring completely new values to the customers by design and innovation. They not only want to deliver these new values in a simple way, but also want to provide the customersRead MoreApple - Design Thinking and Innovation at Apple7835 Words   |  32 Pagesbeginnin ined in the U cial strength a the worst rec n and annua General Elec firms had larg ned to Apple, Jobs, after all as coming bac ore commitme nce being fou uter hardwa hone, and re els. Moreover ublishing bus r and its appl hs after launc one who used miliar object. So pple’s succes g. It came fro ire to develop c within the f dreams of mi its eyes on the s Apple ven etitors, the r any often def _______________ and independent r solely as the basis ineffectiveRead MoreDesign Thinking and Innovation at Apple1000 Words   |  4 PagesBACKGROUND: Apple has been a leader in innovation for years and has been able to achieve so by striving hard to deliver insanely great products with simplicity and sophistication. The constant need for innovation, development of unique product development strategies and their prompt execution, the presence of the visionary, Steve Jobs and their bold attitude at business experimentation formed the basis of principles at Apple. During mid-1970s, computers were mere automation devices and were notRead MoreApple s Design Thinking And Innovation At Apple906 Words   |  4 PagesKierson Wilfley October 29, 2014 BBUS 471 Apple Ideas Case 1. After reading Design Thinking and Innovation at Apple, it is quit obvious why Apple has been so successful. One reason is that they had great products and services to offer such as design thinking and clear development strategy. Their Design Thinking is what connected Apple’s designers and customers because of the emotion that was transferred. This was seen with the original Macintosh. Bill Atkinson said â€Å" . . . There was an emotionalRead MoreDesign Thinking1006 Words   |  5 Pagesreport---Design Thinking and Innovation at Apple Qi YU Q1. Why has Apple been so successful? What do you attribute it to? For several years, Apple has been ranked as the most innovative company in the world, but how it has achieved such success remains mysterious because of the company s obsession with secrecy. Now researchers and business men have found more about its success. According to the case, the main reasons are showed as following. Product: 1. Technology innovation ComputersRead MoreSteve Jobs s Uses Great Business Strategy Lead The Apple Company1247 Words   |  5 PagesIntroduction: Many years ago people will think apple is a fruit. Nowadays, when people talking about Apple, we will think they are talking about Apple products. Apple Inc. is a famous company in creating new products and launching innovative technology. It leads the word to a new technology on many kinds of electronic products, and creates many kinds of products such as cell phone, portable computer, table computer, media player, and monitor. Apple during many times leadership change, they foundRead MoreEmpathy And Design Thinking Steve Jobs1544 Words   |  7 Pagessignificant characteristic of a design thinker and leads to ultimate success in the business environment. Empathy allows an entrepreneur such as Steve Jobs to gain an understanding of the human experience and develop Apple products that adhere to the desirability of customers. This human centred methodology and culture of innovation allows a design thinker to examine and understand perspectives of others both imaginatively and affecti vely. By utilising empathy in design thinking Steve Jobs was able to developRead MoreEssay about Apple Strategy1710 Words   |  7 Pagesï » ¿ Magical Apple Apple’s over-arching company strategy follows an innovative, mysterious and customer-centered strategy. One of the main reasons for Apple’s success has to do with their large commitment to satisfying customers while continuously innovating their products and design without creating a sense of â€Å"too much† or confusing their consumers through new operating systems. These goals, which create a unique and successful company, are achieved through the ways in which they use the fiveRead Moreâ€Å"anti-hierarchy† environment in an organization Essay969 Words   |  4 Pagesconfusion sets in different organizational units without proper management and direction of any creative thinking. Another way to encourage creative deviance is create a contemporary organizational design that inspires it. Team structure, boundaryless structure, matrix-project structure, and learning structure can promote the idea of â€Å"thinking outside the box† and innovate where innovation is not really expected. Such environments are highly flexible and responsive and strive best in less mechanistic

The Logical Technique and Methodology used in the Project Management

Question: Discuss the logical technique and methodology used in the project management. Answer: Introduction The logical technique and methodology used in the project management helps to control the schedule, task and budget of a project. It is a reflection of project managers capabilities of handling projects and its related programs in a systematic way. It is the sole responsibility of the project managers to apply their skills and knowledge in the project activities to meet up the project requirements. However, it is not considered as profession as every project has some certain time of period and after its completion, it has no value to extend. Moreover that project managers of one domain will not be able to handle projects of other fields if proper knowledge is not gained. However, after all its limitations most of the large enterprises as well as small organizations take this technique and deploy it into the business operations like manufacturing, construction and servicing. Implementation of this project management as a profession as have some significant impacts such as time reduction, cost reduction, resources allocation and increased quality of products and services. An argumentative review will be set to see the worthiness of project management as a profession in business organization. The benefits of managers as well as organizers from this project management technique will be evaluated to gain the best result from it. Standing on this point of view, this work has put a light on whether it is worthwhile for project manager if project management is considered as a recognised profession. Discussion As discussed by Cavanagh (2013), a profession is essentially an occupation achieved through years of rigorous educational and vocational training procedure: the very purpose of the training being making the professionals acquainted with the practices essential for providing disinterested service to others. Researchers Hodgson (2005) on the other hand are of the opinion that a profession must have certain characteristics associated with: the characteristics being a significant history of serving the public, a body of knowledge and predefined level of occupational knowledge. Along with the above mentioned characteristics, authors Antoniades and Algeo (2012) consider the existence of a licensing procedure, the right to work independently, a certain control over the actions of the colleague and a well defined code of ethics are some of the most essential characteristics of a profession. In stark contrast to the information revealed in the section above, project managers associated with organizational projects do not undergo any educational training regarding the application of PM approach. Semantic and Historical perspective The profession concept It has seen that the concept of professional is based on project management, which is perspective of Historical and semantic. Subsequently, it can be eluded to the "practice" of solution, suggesting that the securing of learning and abilities is endless. In like manner of significance is Socrates sees on double dealing that 'self double dealing is the most exceedingly awful of all duplicities'. As the paper planned to investigate the professionalization of venture administration, the immediate question is whether, as professionals individual project managers are deluding them in making guarantees that venture administration is a calling. A few of Plato's methods of insight additionally have importance to this examination. 'Learning gotten under impulse gets no hang on the brain' gets to be imperative when an individual consider venture administration being known as the 'unintentional calling'. Plato moreover counsels doctors to 'put the benefit of their patients above profiting', which right up 'til the present time shapes one of the centre "properties" of a calling, in any event in the conventional sense (Kliem 2012). Another citation by Plato incorporates: 'the object of information is what exists and its capacity to think about reality'. This focuses out two imperative contemplations, which should be consolidated into research: The important differentiator between the expert professional and the minister lies in the wellspring of the basic learning. While the minister depends on a confidence in confidence, the genuine expert depends on learning substantiated by certainty and perceptions. Ultimately, the best way to demonstrate a specialist was equipped at the time was based on his outcomes. Is it true that this is not precisely the state we discover venture administration today? (Hodgson, 2005) These societies started as gatherings of labourers capable in playing out specific aptitudes or artworks. As they turned out to be more sorted out and understood that not everybody in the group was fit for playing out these vital administrations, they turned out to be all the more intense, in the end testing the lord (Morris et al. 2006). Once allowed this power, the societies controlled two essential components: Who and what number of disciples were acknowledged and prepared (control over the mystery strategies, formulae and abilities) Who could possess the instruments, workshops and different method for generation? Project Management form the Organizations Point Of View According to Partlett (1985), project management as a function can serve several benefits to all the people involved in it; the project managers, the production topic and the customers who eagerly wait for the output product. Pinto and Kharbanda (1995) mentioned that project managers are the key people in large industries like construction, architecture, engineering and in high tech fields. By applying the plans and principles of project management projects managers become able to manage large projects at times and can deliver the high quality products to the customers. Due to all these factors project managers are the highest valued persons almost in all the sectors. Society (2008) mentioned that in order to implement project management tools and techniques managers has to guide a large team, which helps to strengthen up the internal as well as external business relationships for the betterment of the organizations. Choosing project management as a profession can help to set and ach ieve organizational goals with greater success. Tavani (2007) has highlighted a major point that inn this growing competitive world almost all the organizations facing challenges related to the product and service quality. This is the major factor of customer dissatisfaction and can badly affect the organizational brand image. In this aspect project, management helps the organizations greatly to reduce risks by cutting the costs and by improving the success rates. Zwerman et al (2004) mentioned that implementation of project management across the industries helps to create the strategic value chain that not only helps to deliver the projects within a reasonable budget. Project management as an individual profession helps to keep the project on right track so that organizations are able to align their business goals with the project needs and requirements. According to McDougall (2013), project management provides greater flexibility for the organizations which help to mapping out the organizational strategies so that best outcome can be obtained with greater customer satisfaction. Alignment between organization and project management profession helps to enhance the business outcomes with better project results. Turner and Trone (2012) acknowledged that positive influences of project management profession enhance the organizations creative capacity and innovative thinking. Ackoff (1998) has observed that in industries especially in IT fields it is very necessary to revisit the work filed continuously to see the execution and approaches of the project work. An organization within project management environment helps to ensure the fact that right work is going by the right people in right sequence. It has been observed that due to lack of poor planning, poor management of the schedule and lack of understanding in the requirements are the major reasons of project failures in the organizations. Brydon-Miller (2009) stated that deployment of project management as function inside the business organization contributes to understand these requirements through a communication with the external world; as a result rework amount can be minimized or avoided at larger extent. As the customers requirements are changing daily, the formal integrated plans and processes of project management approach helps the project managers to manage and meet up the changed requirements. Cameron and Allen (2013) opined that project management profession not only needs the leadership skill but also includes the technical and soft skills. In this aspect Chandler and Torbert (2003) mentioned that is the project management profession will not be able to appoint skilled person for executing the project work, project can be failed and can create larger misbalance in the organizational financial structure. Moreover that small companies will not be able to bear the cost overhead of the project, which comprises of appointing project managers, training and many other things. With the engagement of new project management team, a new communication layer is added in the fray; as a result all the crucial information are jumbled up which are very critical for the organization rearrange. Coghian (2001) opined that as there is no direct connection between the project head and the team members time overhead is another greatest concern for the organizations. Due to lack of skills and e xpertise project managers are unable to calculate the accurate time needed for the complete project execution. TherefreEstay-Niculcar and Pastor-Collado (2002) says that, organizations effectively discovered the benefits of applying project management strategies to increase business value and ultimately gain profit from business. Heron and Reason (2008) argued that companies feel the need of strict management metrics in order to keep the project on track and adequately meet the project goals and objectives. The project management metrics and strategies are therefore, essential to plan the outcomes and deliverables of a particular project so as to ensure positive impact that results in ultimate progress. According to O'Leary (2007), a company will never launch a project unless the business units are assured of a suitable and efficient ongoing project management plan (PMP). Furthermore, change in any organization is inevitable; and project management provides the efficient approach to deal and successful manage those changes. Parker (2013) observed that, there is 97% impact of project management on business performance and the final success of the organization. On the same note, 95% of the organizations rely on project management to enable and ensure business growth. Miller (2014) argues that without a proper strategic planning enabled by project management, it is not possible for large scale organizations to focus on performance metrics, standardization of business processes and information flow for delivering better results. The enterprise wide benefits are common to all organizations operating on different industry sectors. Project Management from the Project Managers Point of View Project management as a profession helps in managing any critical large scale or small-scale projects and that is why leading organizations across the globe dealing in different sectors of business and industries consider project management as an essential element for the only way to control a difficult project in an efficient manner and ultimately improve the project results and outcomes. According to Turner and Trone (2012), project management executives find it adequately necessary to adhere to the PMP (project management professional) methods and strategies to be able to successfully deal with the potential risks, handle project costs and enhance rate of success for surviving the economic crisis. Kenny (2013) stated that, choosing project management as a career inevitably helps a project manager in gaining invaluable lessons on the particular business and well as acquire in-depth knowledge about the wide range and variety of aspects that a specific project possesses. On the other hand, Zwerman et al. (2004) agrees that project management essentially provides a unique and huge opportunity to project managers in learning every aspects of the business. Project managers make crucial and important decisions as they move up the career ladder (Cameron and Allen 2013). Large organizations usually deal with more complex internal processes and procedures. As a result, they require efficient and expert project managers who have enough knowledge and proficiency about all the aspects of PMP such as customer service, marketing, policy, information technology (IT), product management, legal matters, operational and functional aspects and so on. Tavani (2007) argued that good project managers are valuable to every organization because they essentially stop as from spending large sum of money on projects that are bound to fail. In addition to that, according to PMI research survey results, project management as a profession is necessarily one of the fastest growing careers all across the globe, which naturally ensures that project managers are highly valued in every sectors of the industry (Shepherd and Atkinson 2011). The President and CEO of Project Management Institute (PMI), Mr. Langley said that military veterans that are transitioning into the civilian workforce will eventually find it as their ideal career, mostly because their skills can be directly transferred to the project management profession (Chandler and Torbert 2003). For instance, strategic leadership skill, technical skills as well as soft skills are all the key competencies of military veterans, which are also essential for proficient project managers to po ssess. Apparently, the PMP citification has become a widely popular program for future project managers to successfully learn and acquire deep understanding over the crucial aspects and areas of a project (Estay-Niculcar and Pastor-Collado 2002). Therefore, project managers find this profession beneficial as with passing days this career is gaining more and more demand in the market or rather, in different kinds of business. Reynolds (2003) says that it is next to impossible to deliver a successful project without a specific program and project management knowledge discipline. He adds that, project managers essentially possess the skills to undertake a clear approach, establish decision points and clear milestones and metrics for measuring the overall success and performance. On the contrary, Kerzner (2001) stated that the typical role of a project manager is to schedule meetings, take notes and track action items. However, Pinto and Kharbanda (1995) contradicts to his statement saying that, a project managers responsibility is beyond just that. A project manager is typically responsible for leading the project to accomplish successful execution of the project. Chris Vandersluis (2012) has seen that there are some difficulties in project management that has everything related with perspective. We hardly concentrate on the point that from which the project managers create their point of view as they live inside it. In the world of project management, the ability to identify a perspective as a perspective is a critical skill (Ackoff 1998). In any task, scope and schedule are sometimes identified by the less amount of description. Five or four words in a schedule plan may be everything written descriptive as project scope that the project has. There are no issues if everyone can understand the same thing by those limited words but it is common (Watt 2008). The project manager has a very crucial role in the organization for the success of a project that is undertaken. The project manager is the link between the people who will contribute in the implementation of the project and the people who will be benefited from the developed project (Brydon -Miller 2009). Therefore, the project manager has to think about the point of views of each stakeholder in the project development. In addition, there are some issues with the project management as a profession. Since the project manager have to deal with the corporate world, which causes the project manager to deal with the unstable goals and changes in the scope of the project (McDougall 2013). The undefined or the unstable goals can cause the failure of the project. The clients and the stakeholders may ask for the changes in a developed project that causes for the reengineer the project by the PM. More over the project manager have to develop a project with the help of a team (Langford 1995). Therefore, the success of the project manager has to deal with the inadequate skills of the team members. This also causes for the lack of the accountability of the project manager in the organization. Therefore the different and unique perspectives causes for a halt in the development of the project. It takes a lot of time to resolve the conflicts between the different parties. As far as the organization and the project manager acknowledge their respective perspectives, the profession of the project manager cannot be recognized or appreciated. Conclusion The document itself describes various aspects of project management with respect to project manager and organizational point of view. From the study, it can be understood that the project management has different advantages and disadvantage from both the mentioned aspects. When an individual project manager consider project management from organization point of view it can be argued that the organization has made their way into project management as a way to handling or control the expenditure and enhance the project results and at the time of recession project management becomes more critical and important for any organization. It has also been understood that a good project management learning stop the organization from spending cash or money on the tasks or projects that will surely fail. So that is an advantage for any organization those who have already obtained project management inside them. However, it can also be understood that there are some disadvantages or flaws in proje ct management but individual needs to consider it as an advantage. There are certain limitations in project management, which it is unable to stick with the project scope. The project manager point of view with respect to project management discuss that how project management as a profession is helping them in managing the project as well as help them personally to move up in their career ladder. The project management provides them the right tools to help them evaluate, monitor and control the project from start to end. Moreover, there are various disadvantages as well when we consider project management for project managers. The point is simple that everything will be inside a proper boundary for the project to get success. The overall report describes the support and against project management as a professional in the organization as well as project managers presenting their point of views about the project management. There are different author perspectives, which have been mentioned in the report while the discussions were presented. References: Ackoff, R.L. 1998, ' A Systemic View of Transformational Leadership', Systemic Practice and Action Research, vol. 11, no. 1, pp. 23-36. Antoniades, H. and Algeo, C. 2012, 'A Comparative Analysis of Continuing Professional Development for Professionals within the Built Environment', 4th International Conference on Education and New Learning Technologies (EDULEARN12) Conference, Barcelona, Spain. Brydon-Miller, M. 2009, 'Covenantal Ethics and Action Research: Exploring a common foundation for social research', in D.M. Mertens and P.E. Ginsberg (eds), The Handbook of Social Research Ethics, SAGE, Newbury Park, CA, pp. 243-58. Cameron, L. and Allen, B. 2013, 'Achieving Educational Sustainability: A PALAR reflection of success', Action Learning Action Research Journal, vol. 19, no. 1, pp. 135-62. Chandler, D. and Torbert, B. 2003, 'Transforming Inquiry and Action: Interweaving 27 Flavors of Action Research ', Action Research, vol. 1, no. 2, pp. 133-52. Coghian, D. 2001, 'Insider Action Research Projects: Implications for Practising Managers', Management Learning, vol. 32, no. 1, pp. 49-60 Dalcher, D. 2013, 'Professionalism, Ethics and the Freedom to ask the Right Questions', PM World Journal, vol. II, no. IV pp. 1-3. Estay-Niculcar, C.A. and Pastor-Collado, J.A. 2002, 'A Maturity Model for Information Systems Action-Research Project Management', paper presented to the European Conference on Information Systems, https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2035358. Heron, J. and Reason, P. 2008, 'Extending Epistemology within a Co-operative Inquiry', in P. Reason and H. Bradbury (eds), Handbook of Action Research, Second edition edn, SAGE, London, UK. Hodgson, D. 2005, 'Putting on a Professional Performance: Performativity, subversion and project management', Organization, vol. 12, no. 1, pp. 51-68 Kerzner, H. 2001, Strategic Planning for Project Management using a Project Management Maturity Model, John Wiley and Sons, New York, NY. Kliem, R.L. 2012, Ethics and Project Management, CRC Press, Boca Raton, FL. Langford, D. 1995 Practical Computer Ethics, McGraw-Hill, New York, New York. Morris, P.W., Crawford, L., Hodgson, D., Shepherd, M.M. and Thomas, J. 2006, 'Exploring the Role of Formal Bodies of Knowledge in Defining a Profession The case of project management', International Journal of Project Management, vol. 24, no. 8, pp. 710-21. O'Leary, Z. 2007, The Social Science Jargon Buster: The key terms you need to know, SAGE, Los Angeles. Parker, M. 2013, 'Practitioner Reflection Growing our Knowledge, Improving our Practice - Reflecting on how doing participatory action research over a period of time shifts the way you understand and do the work', Action Learning Action Research Journal, vol. 19, no. 1, pp. 163-75. Partlett, D.F. 1985, Professional Negligence, The Law Book Company, Sydney, NSW. Pinto, J.K. and Kharbanda, O.P. 1995, 'Lessons for an Accidental Profession', Business Horizons, vol. 38, no. 2, pp. 41-50. Society, T.L. 2008, Royal Charter and Supplemental Charters. Tavani, H.T. 2007, Ethics and Technology: Ethical Issues in an Age of Information and Communication Technology, John Wiley, Hoboken, N.J. Turner, C. and Trone, J. 2012, Australian Commercial Law, 29th edn, Thompson Reuters, Sydney, Australia. Zwerman, W.L., Zwerman, B.L., Thomas, J. and Williams, T.A. 2004, Professionalization of Project Management: Exploring the past to map the future, Project Management Institute.

Non Interest Income free essay sample

Overview Of Banking Project Title: Comparative study of non interest income of the Indian Banking Sector Submitted by: Gaurav Sharma BBA(Finance, Gold Medal),MBA(Finance) [emailprotected] com Electronic copy available at: http://ssrn. com/abstract=1431288 Index Introduction Methodology SBI Associates Nationalized banks(Public sector banks) Private sector banks Foreign banks Findings Conclusion Literature review References 1 3 5 10 15 20 25 26 26 26 Electronic copy available at: http://ssrn. com/abstract=1431288 Introduction There are two broad sources of bank revenues: 1. Interest income 2. Non-interest income. Interest income is generated from what is known as â€Å"the spread. † The spread is the difference between the interest a bank earns on loans extended to customers, corporate etc and the interest paid to depositors for the use of their money. It is also earned from any securities that the banks own, such as treasury bills or bonds. Non-interest income is earned by providing a variety of services, such as trading of securities, assisting companies to issue new equity financing, securities commissions and wealth management, sale of land, building, profit and loss on revaluation of assets etc. We will write a custom essay sample on Non Interest Income or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page As compared to the developed world, the Indian banking sector, apart from the relying on traditional sources of revenue like loan making are also focusing on the activities that generate fee income, service charges, trading revenue, and other types of noninterest income. While noninterest income plays an important role in banking revenues in the developed world, its contribution to the total income of the Indian banking was 25% as on 31st March 2008. Components of non interest income The major components of non interest income in our banking sector are as follows: 1. 2. 3. 4. 5. 6. Commission/ exchange and brokerage Profit or loss on Sale of investments Profit or loss Sale of land buildings Profit/loss on revaluation of investments Profit or loss on Exchange transaction etc. Miscellaneous income source which includes advisory, trading etc. Share of various sources of non interest income The share of various sources of non interest income to the total income of banking sector as on 31st march 2008 is shown in the pie chart below: In the above figure we find that the highest contribution to the non interest income has been of the commission followed by sale of investments, miscellaneous income and exchange transactions. Movements of interest and non interest income of the Indian banking sector (1994-2004) Methodology Under this I have done a comparative study of non interest income of the Indian banking sector by classifying banks into four categories: 1. SBI and associates which includes State bank of India, State bank of Bikaner and Jaipur, State bank of Hyderabad, State bank of Mysore, State bank of Patiala, State bank of Saurashtra and State bank of Travancore. 2. Nationalized banks: (Public sector banks) which includes Allahabad bank, Andhra bank, Bank of Baroda, Bank of India, Bank of Maharashtra, Canara bank, Central Bank of India, Corporation bank, Dena bank, Indian bank, Indian Overseas bank, New bank of India, Oriental bank of Commerce, Punjab Sind bank, Punjab National Bank, Syndicate bank, UCO bank, Union bank of India, United bank of India, Vijaya bank. Total 19) 3. Other scheduled banks: (Private sector banks) which includes Development credit bank, Times bank, Axis bank, Indus land Bank, ICICI bank, Bank of Rajasthan, Catholic Syrian bank, Lakshmi Vilas bank, HDFC bank, Centurion bank, Bank of Punjab, Tamilnad Mercantile Bank, Federal bank, Punjab Cooperative bank, Lord Krishna bank, ING Vyasya bank, IDBI bank, Dhanlaks hmi bank. (total 18 banks) 4. Foreign banks: which includes Barclays bank, ING bank, ABN Amro bank, Bank of America, BNP Paribas, Standard Chartered bank, DBS bank ,Citibank, HSBC, Deutsche bank, Mashreq bank, Bank of Nova Scotia, Bank of Bahrain Kuwait, American Express bank (total 14 banks) The banks used under private sector and foreign sector category are reflective of major portion of their respective market/category. Moreover data was not available for other banks within that category. The period of study taken was 11 years i. e. 994-2004. The period of study was taken as 11 years because, for the above mentioned period the data was available for all the bank and to ensure uniformity. Objectives of the study: 1. To analyze the growth of non interest income as a source of revenue for the Indian banking sector over a period of 11 years (1994-2004). 2. To analyze the contribution of major components of the non interest income over a period of 11 years (1994-2004). 3. To find out statistically that how much of the profits of the banking sector over a period of 11 years is determined by non interest income and interest income. 4. To find out statistically the contribution of various components of Non interest income towards the profits of the bank over a period of 11 years. 5. To find out the contribution of interest and non interest income towards the total income in each of the 11 years (1994-04). 6. To find out the correlation between the non interest income and the total income of the banking sector over a period of 11 years. . To find out the reasons for the increase in the non interest income and what are the challenges involved to generate non interest income. Tool used: Data regarding the interest income, non interest income, profits, various components of non interest income, total income of the banking sector has been collected from the RBI website. To find out the influence of interest and non interest income on the profits of the bankin g sector, I have made use of multiple regression tool in E-views software. The interest and non interest income were independent variable and the profits of the bank was the dependent variable Two Multiple Regression equation was used for the study: Equation 1 Profits=a+b1*interest income+b2*noninterest income Where b1 and b2 were coefficient and a is the intercept term which shows the profits of the bank had been c if interest and non interest income had been 0 Equation 2 Profits: a+b1*commission+b2*profit/loss on sale of land+ profit/loss on sale of investment+ profit/loss on revaluation of investment profit/loss on exchange transactions+ Miscellaneous income Where profits was the dependent variable and various components of non interest income were independent variable and a is the constant term The equation 2 was used to find out the influence of various components of non interest income on the profits of the bank. SBI and Associates (Rs‘000) In the above table we see the following: Column1: Average Column 2: Year Column 3: Other income or the non interest income of the bank Column 4: Commission, exchange and brokerage Column 5: Net profit/loss on sale of investment Column6: Net profit/loss on revaluation of investment Column7: Net profit/loss on sale of land, building and other assets Column 8: Net profit/ loss on exchange transactions Column 9: Miscellaneous income Column 10: Total income of the bank Column 11: Profit/loss of the bank Column 12: Interest income of the bank Column 13: Noninterest income as a percentage of total income Column 14: Interest income as a percentage of total income Influence of interest and non interest income on profits of SBI Associates The above output is of the multiple regression equation where we have tried to find out that how much of the profits of the SBI and its associates are determined by interest and non interest income. 1. We find non -interest income to be a significant variable in explaining the profits of SBI as the prob value is less the . 05 (. 0095)and the value of t stat is more than 2(3. 386)[ Rule: an independent variable is said to be significant is its prob value is less than . 05 or the t-stat is more than 2). 2. We find that in our regression model the percentage of variation in the profits of SBI and its associate that is explained by interest and non interest income is 92. 81% ( Rule: for a regression model to be efficient the r-square shall be at least . 6) 3. From the above output we find that Noninterest income had a significant influence on the profits of SBI and its associates over a period of 11 years. Influence of non interest components on profit of SBI Associate Model Summary Std. Error of the Estimate 4040785. 5 . 981 . 943 5743 a Predictors: (Constant), misc, plland, plexchange, pllinvest, plreav, comm Mode l R 1 . 990(a) Adjusted R Square R Square Coefficients(a) Mode l Standardized Coefficients Unstandardized Coefficients t Sig. B Std. Error Beta 1 (Constant) 20565743. 52 10099548. 868 -2. 036 . 135 6 comm 2. 109 . 603 1. 153 3. 495 . 040 pllinvest . 970 . 255 . 944 3. 805 . 032 plreav 27. 569 76. 257 . 100 . 362 . 742 plland 76. 158 97. 743 . 221 . 779 . 493 plexchang -1. 077 . 815 -. 135 -1. 322 . 278 e misc -4. 728 2. 151 -1. 042 -2. 198 . 115 a Dependent Variable: profit In the above regression output the independent variable used were various components of non interest income i. e. commission/exchange /brokerage, profit/loss on sale of investment, profit and loss on revaluation of investment, profit/loss on sale of land/building, profit/loss on exchange transaction and miscellaneous income. And the dependent variable used was the profits of the SBI associates The objective is to find out that which one of the non interest component had a major influence on the profit of SBI associates over a period of 11 years. We find the following: 1. The percentage of variation in the profits of the SBI associates explained by the 6 independent variables is 98. 1% which is significant(as R square shall be more than . 6) 2. We find that commission/exchange/brokerage and profit/loss on sale of investment had a major influence on the profits of the SBI and its associates over a period of 11 years. As they are having a prob values less than . 05(level of significance) and is having a t-stat more than 2. This means that SBI and its associates shall focus more on commission exchange and brokerage for its non interest income. Contribution of various components of non-interest income of SBI Associate(94-04) The above pie graph has been prepared by taking into account the average values of non interest income components over a period of 11 years (94-04). From the above graph we find that commission/exchange and brokerage had around 59% (highest) contribution to the non interest income followed by sale of investment (20%). Exchange transaction was having a contribution of 12% and miscellaneous income was having an influence of 9%. The sale of land/buildings, revaluation of investment was having a very negligible influence on the non interest income. Movements of interest and non interest income of SBI Associates(94-04) If we look at the movement of interest and non interest income of SBI and associates over a period of 11 years we will find that the non interest income has grown at a CAGR of 18. 46% and the interest income has grown at a CAGR of 13. 15%. The noninterest income over a period of 11 years has grown by 444. 563% whereas interest income has increased by 244. 14% which shows how aggressively the bank is working on its non interest income. Contribution of interest and non interest income of SBI Associate From the above table we find the contribution of interest and non interest income as a percentage of total income in each of the 11 years period. We find the share of non interest income has increased over a period of time from 14% to 21% and share of interest income has decreased from 85% to 78%. On an average over a period of 11 years the contribution of non interest income as been 15% and interest income has been 85% to the total income of the SBI and its associates. Correlation between non interest income and total income 0. 935642 There is a very positive correlation between non interest income and the total income of SBI and its associates which shows that higher the non interest income higher the total income of the SBI associate. Nationalized banks: Public sector banks (Rs‘000) In the above table we see the following: Column1: Average Column 2: Year Column 3: Other income or the non interest income of the bank Column 4: Commission, exchange and brokerage Column 5: Net profit/loss on sale of investment Column6: Net profit/loss on revaluation of investment Column7: Net profit/loss on sale of land, building and other assets Column 8: Net profit/ loss on exchange transactions Column 9: Miscellaneous income Column 10: Total income of the bank Column 11: Profit/loss of the bank Column 12: Interest income of the bank Column 13: Noninterest income as a percentage of total income Column 14: Interest income as a percentage of total income Influence of interest and non interest income on profits of Public sector banks (94-04) The above output is of the multiple regression equation where we have tried to find out that how much of the profits of the public sector banks are determined by interest and non interest income. Non interest and Interest income are independent variables and profit is the dependent variable From the above output we find: 1. We find non -interest income to be a significant variable in explaining the profits of public sector banks as the prob value is less the . 05 (. 0268) and the value of t stat is more than 2(2. 7056) [Rule: an independent variable is said to be significant if its prob value is less than . 05(level of significance) or the t-stat is more than 2]. 2. We find that in our regression model the percentage of variation in the profits of public sector banks that is explained by interest and non interest income is 88. 86%( Rule for a regression model to be efficient the r-square shall be at least . 6) 3. From the above output we find that noninterest income had a significant influence on the profits of public sector banks over a period of 11 years. Influence of non interest components on profit of Public sector banks(94-04) Model Summary Std. Error Mode Adjusted of the l R R Square R Square Estimate 1 14640946. .974(a) . 948 . 870 95589 a Predictors: (Constant), misc, plland, plreav, pllinvest, plexchange, comm. Coefficients(a) Mode l Standardized Coefficients Beta . 024 . 014 -. 348 . 105 . 276 . 470 -1. 453 . 26 . 035 -1. 651 . 763 . 668 . 458 . 220 . 981 . 974 . 174 . 488 . 541 . 671 Unstandardized Coefficients Std. Error 58218744. 505 5. 866 . 478 8. 434 63. 394 8. 910 7. 536 t Sig. B 1 (Constant) -84595095. 339 comm . 151 pllinvest . 017 plreav -13. 928 plland 48. 353 plexchang 5. 954 e misc 3. 451 a Dependent Variable: profit In the above regression output the independent variable used were various components of non interest income i. e. commission/exchange /brokerage, profit/loss on sale of investment, profit and loss on revaluation of investment, profit/loss on sale of land/building, profit/loss on exchange transaction and miscellaneous income. And the dependent variable used was the profits of the public sector banks The objective is to find out which one of the non interest component had a major influence on the profit of public sector banks over a period of 11 years. We find the following: 1. The percentage of variation in the profits of the public sector banks explained by the 6 independent variables is 94. 8% which is significant(as r square shall be more than . 6) 2. We find that none of the non interest component was individually sufficient in explaining the profits of the public sector banks as we find that none of the non interest component is having a significance value of less than . 5 or having a t-stat of more than 2. Contribution of various components of non interest income of Public Sector banks (94-04) The above pie graph has been prepared by taking into account the average values of non interest income components over a period of 11 years (94-04). From the above graph we find that commission/exchange and brokerage had around 36% (highest) contribution to the non interest income followed by sale of investment (35%). Miscellaneous income was having a contribution of 16% followed by exchange transaction i. e. 12%. The sale of land/buildings, revaluation of investment was having a very negligible influence on the non interest income. Movements of interest and non interest income of Public sector banks(94-04) If we look at the movement of interest and non interest income of public sector banks over a period of 11 years we will find that the non interest income has grown at a CAGR of 19. 85% and the interest income has grown at a CAGR of 12. 68%. The noninterest income over a period of 11 years has grown by 511. 87% whereas interest income has increased by 230. 03% which shows how aggressively the bank is working on its non interest income. Contribution of interest and non interest income of the Public Sector banks(94-04) From the above table we find the contribution of interest and non interest income as a percentage of total income in each of the 11 years period. We find the share of non interest income has increased over a period of time from 11% to 20% and share of interest income has decreased from 88% to 79%. On an average over a period of 11 years the contribution of non interest income as been 13% and interest income has been 87% to the total income of the public sector banks. Correlation between non interest income and total income of Public sector banks 0. 940162 There is a very positive correlation between non interest income and the total income of public sector banks which shows that higher the non interest income higher the total income of the public sector banks. Private sector banks (Rs ‘000) In the above table we see the following: Column1: Average Column 2: Year Column 3: Other income or the non interest income of the bank Column 4: Commission, exchange and brokerage Column 5: Net profit/loss on sale of investment Column6: Net profit/loss on revaluation of investment Column7: Net profit/loss on sale of land, building and other assets Column 8: Net profit/ loss on exchange transactions Column 9: Miscellaneous income Column 10: Total income of the bank Column 11: Profit/loss of the bank Column 12: Interest income of the bank Column 13: Noninterest income as a percentage of total income Column 14: Interest income as a percentage of total income Influence of interest and non interest income on profits of Private sector banks(94-04) The above output is of the multiple regression equation where we have tried to find out that how much of the profits of the private sector banks are determined by interest and non interest income. Non interest and Interest income are independent variables and profit is the dependent variable From the above output we find: 1. We find non -interest income to be a significant variable in explaining the profits of private sector banks as the prob value is less the . 05 (. 0128) and the value of t stat is more than 2(3. 88) [Rule: an in dependent variable is said to be significant if its prob value is less than . 05(level of significance) or the t-stat is more than 2]. 2. We find that in our regression model the percentage of variation in the profits of private sector banks that is explained by interest and non interest income is 95. 95 %( Rule for a regression model to be efficient the R-square shall be at least . 6) 3. From the above output we find that noninterest income had a significant influence on the profits of private sector banks over a period of 11 years. Influence of non interest components on profit of Private sector banks (94-04) Model Summary Std. Error of the Estimate 309483. 83 . 912 . 881 835 a Predictors: (Constant), misc, plreav, plexchange, pllinvest, plland, comm Mode l R 1 . 964 Adjusted R Square R Square Coefficients(a) Mode l Unstandardized Coefficients Std. B Error (Constant) 177724. 775200. 9 748 43 comm . 493 . 252 pllinvest . 623 . 147 plreav 4. 129 2. 209 plland 108. 894 14. 560 plexchang -2. 522 . 513 e misc 3. 314 . 310 Standardized Coefficients Beta -4. 362 . 311 . 672 . 062 . 923 -. 268 1. 114 1. 955 4. 240 1. 869 7. 479 -4. 915 10. 680 . 012 . 122 . 013 . 135 . 002 . 008 . 000 t Sig. 1 In the above regression output the independent variable used were various components of non interest income i. . commission/exchange /brokerage, profit/loss on sale of investment, profit and loss on revaluation of investment, profit/loss on sale of land/building, profit/loss on exchange transaction and miscellaneous income. And the dependent variable used was the profits of the private sector banks The objective to find out w hich one of the non interest component had a major influence on the profit of private sector banks over a period of 11 years. We find the following: 1. The percentage of variation in the profits of the private sector banks explained by the 6 independent variables is 91. 2% which is significant(as r square shall be more than . 6) 2. We find that sale of investment , land building and miscellaneous income and exchange transactions have a major influence on the profits of private sector banks over a period of 11 years as these variable are having a significance level of less than . 05 and a t-stat of more than 2. 3. According to the above output miscellaneous income had a major influence o the profits of the as it’s is having the maximum t-stat i. e. 10. 680 so bank shall focus on it for its non interest income. Contribution of various components of non interest income of Private Sector banks (94-04) The above pie graph has been prepared by taking into account the average values of non interest income components over a period of 11 years (94-04). From the above graph we find that sale of investment has around 41%(highest) contribution to the non interest income followed by commission/exchange /brokerage 34% followed by miscellaneous income(17%) and exchange transactions 8%. The sale of land/buildings, revaluation of investment was having a very negligible influence on the non interest income. Movements of interest and non interest income of Private Sector banks(94-04) If we look at the movement of interest and non interest income of private sector banks over a period of 11 years we will find that the non interest income has grown at a CAGR of 43. 50% and the interest income has grown at a CAGR of 33. 95%. The non interest income over a period of 11 years has grown by 3604. 74%% whereas interest income has increased by 1760. 4% which shows how aggressively the private sector banks are working on its non interest income. Contribution of interest and non interest income of Private sector banks (94-04) From the above table we fin d the contribution of interest and non interest income as a percentage of total income in each of the 11 years period. We find the share of non interest income has increased over a period of time from 13% to 23% and share of interest income has decreased from 86% to 76%. On an average over a period of 11 years the contribution of non interest income as been 17% and interest income has been 83% to the total income of the private sector banks. Correlation between non interest income and total income of Private sector banks 0. 87067 There is a very positive correlation between non interest income and the total income of private sector banks which shows that higher the non interest income higher the total income of the private sector banks. Foreign banks (Rs ‘000) In the above table we see the following: Column1: Average Column 2: Year Column 3: Other income or the non interest income of the bank Column 4: Commission, exchange and brokerage Column 5: Net profit/loss on sale of inv estment Column6: Net profit/loss on revaluation of investment Column7: Net profit/loss on sale of land, building and other assets Column 8: Net profit/ loss on exchange transactions Column 9: Miscellaneous income Column 10: Total income of the bank Column 11: Profit/loss of the bank Column 12: Interest income of the bank Column 13: Noninterest income as a percentage of otal income Column 14: Interest income as a percentage of total income Influence of interest and non interest income on profits of Foreign banks (94-04) The above output is of the multiple regression equation where we have tried to find out that how much of the profits of the foreign banks are determined by interest and non interest income. Non interest and Interest income are independent variables and profit is the dependent variable From the above output we find: 1. We find non -interest income to be a significant variable in explaining the profits of foreign banks as the prob value is less the . 05 (. 0006) and the value of t stat is more than 2(5. 59) [Rule: an independent variable is said to be significant if its prob value is less than . 05(level of significance) or the t-stat is more than 2]. 2. We find that in our regression model the percentage of variation in the profits of foreign banks that is explained by interest and non interest income is 94. 64%( Rule for a regression model to be efficient the r-square shall be at least . 6) From the above output we find that noninterest income had a major and significant influence on the profits of foreign banks over a period of 11 years Influence of non interest components on profit of Foreign banks (94-04) Model Summary Std. Error of the Estimate 891916. 79 . 990 . 75 648 a Predictors: (Constant), misc, plland, plreav, pllinvest, comm, plexchange Mode l R 1 . 995(a) Adjusted R Square R Square Coefficients(a) Standardize d Coefficient Unstandardized Coefficients s B 1 (Constant) 2987693. 345 Std. Error 1103189. 29 7 . 245 . 298 9. 845 5. 393 . 384 . 952 Beta t 2. 708 -. 131 . 158 -. 094 -. 123 . 485 . 580 -. 744 1. 248 -1. 534 -1. 776 2. 101 2. 790 Sig. .054 . 498 . 280 . 200 . 150 . 103 . 049 Mode l comm -. 182 pllinvest . 371 plreav -15. 101 plland -9. 579 plexchang . 808 e misc 2. 657 a Dependent Variable: profit In the above regression output the independent variable used were various components of non interest income i. e. ommission/exchange /brokerage, profit/loss on sale of investment, profit and loss on revaluation of investment, profit/loss on sale of land/building, profit/loss on exchange transaction and miscellaneous income. And the dependent variable used as the profits of the foreign banks The objective is to find out which one of the non interest component had a major influence on the profit of foreign banks over a period of 11 years. We find the following: 1. The percentage of variation in the profits of the foreign banks explained by the 6 independent variables is 99. 0% which is significant(as r square sh all be more than . 6) 2. We find that only miscellaneous income have a major influence on the profits of foreign banks over a period of 11 years as it is having a significance level of less than . 05(. 049) and a t-stat of more than 2(2. 790). Contribution of various components of non interest income of Foreign banks (94-04) The above pie graph has been prepared by taking into account the average values of non interest income components over a period of 11 years (94-04). From the above graph we find that commission/exchange /brokerage was having around 48% (highest) contribution to the non interest income followed by exchange transactions 29%. The contribution of sale of investment was 17% followed by miscellaneous income 6% . The sale of land/buildings, revaluation of investment was having a very negligible influence on the non interest income Movements of interest and non interest income of foreign banks (94-04) If we look at the movement of interest and non interest income of foreign banks over a period of 11 years we will find that the non interest income has grown at a CAGR of 19. 57% and the interest income has grown at a CAGR of 13. 49%. The non interest income over a period of 11 years has grown by 497. 394%% whereas interest income has increased by 254. 54% which shows how aggressively the bank is working on its non interest income Contribution of interest and non interest income of foreign banks (94-04) From the above table we find the contribution of interest and non interest income as a percentage of total income in each of the 11 years period. We find the share of non interest income has increased over a period of time from 21% to 31% and share of interest income has decreased from 78% to 68%. On an average over a period of 11 years the contribution of non interest income as been 23% and interest income has been 77% to the total income of the foreign banks. Correlation between non interest income and total income of foreign banks 0. 972437 There is a very positive correlation between non interest income and the total income of private sector banks which shows that higher the non interest income higher the total income of the private sector banks. Findings We have seen that the contribution of non interest income of our banking sector has increased significantly over a period of 11 years. We have also seen that in each type of banks i. e. SBI, public sector banks, private sector banks and foreign banks the contribution of non interest income towards the total income has increased over a period of time and that of the interest income has decreased over a period of time. If we look at the total banking sector we will find that in our banking system the non interest income is having a significant influence on the profits of the banks. On an average the share of the non interest income towards the total income of the banking sector has increased from 12% in 1994 to 20% in 2004. If we look at the components of non interest income of our banking sector we will find that commission/exchange and brokerage earned by the banks had a major contribution i. e. 4% to the total noninterest income of the bank , after the commission the next big contribution to the non interest income had been of the sale of investments which was 28%, followed by exchange transactions having a share of 15%. Miscellaneous income was having the 13% cont ribution to the total noninterest income of the banking sector. The contribution of sale of land, revaluation of investments was having a negative or even a negligible influence on the noninterest income of the banking sector. On an average the non interest income of the banking sector has grown at a CAGR of 25% as compared to interest income which has grown at a CAGR of 18%. The percentage increase in the non interest income of the banking sector has increased by 1264. 64% and interest income has increased by 622%. The private sector banks had seen a significant contribution in the increase of its non interest income over a period of 11 years as compared to other types of banks. Among the various non interest components that had an influence on the profits of the banking sector we find that commission, sale of investment, miscellaneous income had a significant influence on it. We also find that there was a positive correlation between the non interest income and the total income of the banking sector. We also find that in case of public sector banks none of the non interest component was found to be statistically significant enough to influence the profits over a period of 11 years. Reasons for increase in the non interest income Now if we look at the reason for the increase in the non interest income of the banking sector we will find that it has majorly increased due to following reasons: 1. Increased pressure on net interest margins of the banking sector. 2. With economy growing at an unprecedented rate of 9. 4 per cent during 2006-07 and acceleration in the growth rate being attributable to the buoyancy in the industrial and service sector, the demand for fee-based services of banks has gone up and as a result of which the non interest income has also risen up. 3. Noninterest income is an effective way used by banks to respond to its squeezing margins 4. At the bank level, greater reliance on noninterest income, particularly trading revenue, is associated with lower risk-adjusted pro? ts attached to it. Challenges involved 1. Not aggressive direct customer interaction of public sector banks. 2. High cost and less expertise involved in launching of innovative products/services as per the customers’ expectations. 3. Technology requirements. Conclusion After studying the non interest growth pattern of the Indian banking sector over a period of 11 years we can say that it is slowly and gradually becoming one of the important avenues for our Indian banks to generate revenue from. In this respect we see that not only private banks and foreign banks are ahead but also our public sector banks are gradually catching it. We can say that it to be an important source available with our banking sector to respond to the squeezing margins and meeting the shareholders expectations. Literature review 1. Business Efficiency of Public Sector Commercial Banks: A Data Envelopment Approach : Ram Pratap Sinha (2008) The article says that following the nationalization of 20 major commercial banks in 1969 and 1980, the government followed policies of financial repression up to the 1980s. During this period the public sector commercial banks had rapid expansion of branches, especially in the rural and semi urban areas and had reasonable success in the matter of deposit mobilization and disbursement of loans. However, the operating efficiency of public sector commercial banks, declined during the period due to various reasons. In the 1990s, the banking environment was radically transformed by certain bold initiatives taken by RBI including the dismantling of entry barriers, rate deregulation, introduction of prudential accounting norm and the implementation of Basel I capital adequacy norms. The changed competition and accounting environment compelled the commercial banks to provide unprecedented attention to cost cutting and supplementing fund-based income by fee-based income. 2. Product mix and earnings volatility at commercial bank: evidence from a degree of leverage model: Robert De young Karin P Roland(1999) The article says that the commercial banks lending and deposit taking business has declined in recent years. Deregulation and new technology have eroded bank’s comparative advantages and made it easier for non bank competitors to enter these markets. In response, banks have shifted their sales mix towards noninterest income-by selling non bank fee based financial services such as mutual funds, by charging fees for services that used to be bundled together with deposit or loan products . It says that the conventional wisdom in the banking industry is that earnings from fee based products are more stable than loan based earnings and that fee based activities reduce bank risk via diversification. References 1. RBI website 2. Icfai Journal of Banking studies Sept 2008 issue pg 22-26 3. Ideas. repec. org