Rushendra Tarte Project in POSTAL

CURRENT SCENARIO OF POSTAL INVESTMENT
PROJECT SUBMITTED TO NIS ACADEMY,
IN PARTIAL FULFILMENT OF THE REQUIREMENTS
FOR THE
ADVANCE DIPLOMA IN MANAGEMENT AND APPLIED SKILLS
Name: Registration No.:
Mr. Rushendra S. Tarte R14308090294
Name of the Guide
Mrs. Rajlaxmi R.Bhosale.
The NIS Academy, Aurangabad.
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CURRENT SCENARIO OF POSTAL INVESTMENT
PROJECT SUBMITTED TO NIS ACADEMY,
IN PARTIAL FULFILMENT OF THE REQUIREMENTS
FOR THE
ADVANCE DIPLOMA IN MANAGEMENT AND APPLIED SKILLS
Mr. Rushendra S. Tarte
Name of the Guide
Mrs. Rajlaxmi R.Bhosale.
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Date: 04/03/2009 Registration No._______________
CERTIFICATE
Certified that the project CURRENT SCENARIO OF POSTAL INVESTMENT is
work done by Mr. Rushendra S. Tarte during the period of his/her study under my
guidance for the partial fulfilment of Advance Diploma in Management and Applied
Skill/ Post Graduate Diploma in Applied Management.
Signature of the Guide Signature of the Director
Name: Ms. Rajlaxmi Bhosale Name: Mr.Ganesh Salunke
Place: Aurangabad.
Date: 04/03/2009. Official Address with Seal:
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ACKNOWLEDGEMENT
Any research is never an individual effort. It is contributory efforts of many

hearts, hands and brains. I sincerely feel that the credit of the project work could not
be narrowed down to only one individual. As the whole work is the outcome of
integrated efforts of all those concerned with this, through whose cooperation and
effective guidance I would achieve its completion.
I take this opportunity to express my deep sense of obligation to management

Post Office , Aurangabad City for their kind permission to undertake this study in
their organization and also extending to me all the guidance and help in completing
the project work successfully. My special thanks to the Senior Post Master for
initiating me in this study and extending their cooperation in providing their related
information.
It extends my heart-felt gratitude to Mrs. Rajlaxmi Bhosale (project head) and

Mr. Ganesh Salunke (director) The NIS Academy, Aurangabad for their timely
assistance. I will always be obliged to them whose love and blessings have been a
source of inspiration and courage to undertake the studies in pursuit of knowledge
and to face the vicissitudes of eventful life.
THANKING YOU
YOURS SINCERELY
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PREFACE
Every student of F.Y.MBA is required to undertake a project and submit the

same for the partial fulfillment of the course. It is also very necessary to acquire
practical knowledge on the specialized field against theoretical base.
The topic I have “TO STUDY THE CURRENT SCENARIO OF POSTAL
INVESTMENT”. The aim of the service provided is to satisfy target customer’s need
and wants. Understanding customer’s buying and knowing customer is never simple.
People can be initiators, influencers, deciders, buyers or users. Postal

Investment must also examine buyer’s level of involvement and the number of
brands that are actually available in market. The report consists of tables and
graphical presentations of the data gathered by the survey. In report I have
discussed all those concerned which customers look before investing in postals.
The report discussed following important aspects by which I achieved my primary

and secondary objectives:-
 What are the criteria for the selection of a postal investment schemes while
investing?
 From where would they like to get the services?
 Are they satisfied with the services provided by the Postals?
 What kind of features and offers should we focus on to attract clients?
 What is the main source of information the customer gets to know the
facilities of the postal investment schemes?
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INDEX
Sr. No Content Page No
1 Executive Summary 8
2 Objective of the Project 16
3 Methodology Used 17
4 Data / Information Collected 19
5 Interpretation of the data 46
6 Information collected 50
7 Suggestions for Improvement 56
8 Conclusion 57
9 Appendix 58
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1,55,000. POST OFFICESS IN INDIA
The Department of Posts has the biggest reach with over 1, 55,000 post offices.
Also, the domain knowledge, especially of the postmen, is unquestionably far
superior to any other organization. In fact many organizations like Registrar General
of India and even municipal corporations and a host of other public and private
organizations rely on domain knowledge of the postmen for surveys, verification etc.
Most customers who value their mail trust only Post Office to deliver. In fact there
are many occasions of large corporates going back to India Post, even at higher
prices, after they found that percentage of articles returned/remaining un-delivered in
the case of Post Offices was less than 1% compared to about 20% in case of other
competitors like private couriers or Angadias.
SPEED POST
The fact that Speed Post traffic grew at nearly 40% last year (2007-2008) compared
to market growth of estimated 20%, clearly shows that Speed Post continues to
grow from strength to strength, and is the market leader in express business.
Speed Post traffic in Maharashtra & Goa Postal Circle grew at nearly 50% last year
(2007-2008) compared to about 40% at All-India level. In fact, Speed Post traffic and
revenue has been growing at a robust rate in recent years.
For over 100 years, law has already provided for a monopoly to India Post for
booking, transmission to imposing penalties. It has sought to hold its place in the
market by providing quality service, and has been reasonably successful in that, as
explosive growth in Speed Post traffic would testify.
NON POSTAL INVESTMENT

Though fundamentals of Indian economy continue to be sound, the country is no
longer an island. There has been some real, and some perceptional, effect on the
financial sector in India in the wake of global financial meltdown. Investors did have
a re-think on their options. Even at the best of times, a sound investor spreads his
risk, and keeps a good share of his investible income in secure instruments. Post
Office has always offered a range of such secure investment/savings options like
Monthly Income Scheme (MIS) Recurring Deposits (RD), Time Deposits, Public
Provident Fund (PPF), NSS and various Savings Certificates.
In the wake of recent uncertain financial climate, a much larger number of investors
have re-discovered the wisdom of investing/saving with the Post Office. Though the
exact figures would become available in the next few days, it is already clear that the
investment in Post Office savings schemes has increased substantially.
Maharashtra Postal Circle has the largest number of live Post Office Savings
accounts in the country and the number has been increasing every year. The
number of Life Savings Accounts in Maharashtra Postal Circle has been increased
from 1.59crores in 2004-05 to 1.92crs in 2007-08. The gap between revenue and
expenditure had been narrowing down significantly till before the pay revision on
account of acceptance of recommendations of the 6th Pay Commission.
The number of new products and services is very wide ranging. A few of these are:
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POSTAL SERVICESS
* A massively augmented Speed Post network that touches every city and town in
the country; and a very competitive rate of Rs.12 for local (including suburbs), and
One India One Rate of Rs.25 for any where in India for articles weighing up to
50gms. In addition, volume discounts, pick up and credit facility is also available.
Tear & water resistant envelopes are also being introduced soon for Speed Post.
* Total mailing solutions, including pre-mailing facilities like printing, addressing,

folding, inserting, enveloping, sealing, franking, mailing and more under the brand
Business Post.
* Bill Mail Service at very competitive price of Rs.3per local article and National Bill
Mail Service (NBMS)@Rs.5 per article other places. The NBMS has a free
Electronic Intimation of Delivery (e-IOD) facility bundled with it.
* Electronic Intimation of Delivery (e-IOD) facility@ only 50 paisa per article for all
classes of article, including greetings, Bill Mail Service etc.
* Customized business solutions and business packages for corporate customers.

For example, setting up of Mail Business Centre, dispatching mail directly from
premises of customers to destinations (sometimes even by hiring dedicated private
transport for the same), installation of franking machines online in the mail
preparation lines of customers and their mailers.
* Address verification and Address database Curing facilities at reasonable prices to

ensure that your mail pieces do not get mis-delivered or delayed.
In the next few days, the India Post is also going to introduce Worldnet Express, a
new world class, time bound international express service from select cities in India,
in collaboration with Deutsche Post. The booking will be done by select post offices,
and transmission from India and delivery in foreign countries would be done by
Deutsche Post. Complete track & trace facility and time bound delivery would be a
part of the standard service.
India Post in Mumbai is going to be the gateway for international parcel traffic,
activation of post offices based international network for international money
remittance etc.
India Post will introduce hand held devices for delivery of Speed Post articles. A pilot
for this is likely to start operations within 2 months. Vehicles would be provided to
deliver staff to affect delivery in a more efficient manner and to cover larger territory.
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DEPARTMENT OF POSTS
Type Agency of Indian government (government semi-monopoly)

Founded 1764
Headquarters New Delhi, India
Key people Ms. Radhika Doraiswamy, Director General
Industry Postal Department
Employees 520,191 (As of 2007 (in Delhi)
Website www.indiapost.gov.in
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AURANGABAD. (M.S.)
SPECIAL THANKS
Mr. W.K Tirankar

(Senior Post Master),
Head Post Office, Juna Bazar,
AURANGABAD. (M.S.)
Mr. Bujade
(Money Transfer Department),
Head Post Office, Juna Bazar,
Aurangabad. (M.S.)
Who helped us Exploring and imparted us Knowledge….
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Lord Dalhousie created the 'All India Postal Service' on
2nd March 1854 and Sir H.P.A.B. Riddlell was the first
officer to join it. It is to record here that Sir Riddell first
joined as Deputy Collector of Sukkur in Scinde Province
on 29th May 1843 and after that as Magistrate and Dy.
Collector of Muzaffarnagar on 11th December 1843 and
later on as Postmaster General of newly created North
Western Province circle on 1st March 1844 with good
record of service. It is important to mention here that the
appointment of the Director General came first on 2nd
March, 1854 as Sir H.P.A.B. Riddell and the Post Office
Act XVII of 1854 was drafted later on.
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THINGS WE SHOULD KNOW
• HORSE POST
• FOOT POST
Ibn Battuta describes the Indian postal system in the 14th century as follows:
In India the postal system is of two kinds.
The horsepost, called uluq, is run by royal horses stationed at a distance of every
four miles.
The foot-post has three stations per mile; it is called dawa, that is one-third of a mile
...
Now, at every third of a mile there is a wellpopulated village, outside which are three
pavilions in which sit men with girded loins ready to start.
Each of them carries a rod, two cubits in length, with copper bells at the top.
When the courier starts from the city he holds the letter in one hand and the rod with
its bells on the other; and he runs as fast as he can.
When the men in the pavilion hear the ringing of the bell they get ready.
As soon as the courier reaches them, one of them takes the letter from his hand and
runs at top speed shaking the rod all the while until he reaches the next dawa.
And the same process continues till the letter reaches its destination.
This foot-post is quicker than the horse-post; and often it is used to transport the
fruits of Khurasan which are much desired in India."
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OLD LOGO
The British East India Company established post offices in Mumbai, Chennai and
Kolkata from 1764-1766, each serving the Bombay, Madras and Calcutta
presidencies. During Warren Hastings' governorship, postal service was made
available to the general public. A letter would cost 2 annas (one-eighth of a Rupee)
for distances up to 100 miles (160 km). Payments would be done through copper
tokens; a letter was hand stamped "post paid" if paid for, otherwise it was stamped
"post unpaid" or "bearing".
In 1839, North West Province Circle was formed and since then, new Postal Circles
were formed as needed. In December 1860 Punjab Circle, in 1861 Burma Circle, in
1866 Central Province Circle and in 1869 Sind Circle were formed. By 1880 circles
had been formed in Oudh (1870), Rajputana (1871), Assam (1873), Bihar (1877),
Eastern Bengal (1878) and Central India (1879).
Afterwards, the creation of new circles was accompanied by the merging of some
circles. By 1914, there were only 7 Postal Circles — Bengal & Assam, Bihar &
Orissa, Bombay (including Sind), Burma, Central, Madras, Punjab & NWF and U.P.[3]
The usage of the stamps began on 1 July 1852 in Scinde/Sindh district, with the use
of an embossed pattern on paper or wax. The shape was circular, with "SCINDE
DISTRICT DAWK" around the rim, leading to the common name "Scinde Dawk".
1854 was the year of the first issue for all of India. The stamps were issued by the
British East India Company, which first printed a 1/2a vermilion in April but never
sold it to the public, then put four values (1/2a, 1a, 2a, 4a) on sale in October. All
were designed and printed in Calcutta, featuring the usual profile of Queen Victoria.
A new set of stamps, with the queen in an oval vignette inside a rectangular frame,
and inscribed "EAST INDIA POSTAGE", was printed by De La Rue in England (who
produced all the subsequent issues of British India) and made available in 1855.
These continued in use until after the British government took over administration of
India in 1858, and from 1865 were printed on paper watermarked with an elephant
head.
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GOVERNANCE AND ORGANIZATION
Thiru A. Raja & Thiru Jyotiraditya Madhavrao Scindia, launching the new logo for
India Post on 23 Sept 2008, at New Delhi.
The postal service comes under the Department of Posts which is a part of the
Ministry of Communications and Information Technology under the Government of
India. The apex body of the department is the Postal Service Board. The board
consists of a chairman and three members. The three members hold the portfolios of
Operations & Marketing, Infrastructure & Financial Services, and Personnel.
The Joint Secretary and Financial Advisor to the Board is also a permanent invitee
to the Board.
India has been divided into 22 postal circles. Each circle is headed by a Chief
Postmaster General. Each Circle is further divided into Regions comprising field
units, called Divisions, headed by a Postmaster General. Other functional units like
Circle Stamp Depots, Postal Stores Depots and Mail Motor Service may exist in
the Circles and Regions.
Besides the 22 circles, there is a special Circle called the Base Circle to cater to the
postal services of the Armed Forces of India. The Base Circle is headed by an
Additional Director General, Army Postal Service holding the rank of a Major
General
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OBJECTIVE OF THE PROJECT
• To study how Post office provides service to its clients.
• The research is performed to know how a postal investment serves the client
with various investment schemes.
• This research is also based on the procedure to know the awareness among
people about postal.
• To study about what problems are been faced by the postal investment
schemes and its clients.
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METHODOLOGY
Primary data
A questionnaire is prepared for field survey, which will be filled on the basis of
interviews and free discussion with Mr. W.K Tirankar (Senior Post Master), Mr.
Bujade (Money Transfer Department) and Sachin Patil (Agent) In order to
conduct field survey, interviews and questionnaire filled in by the Mr. Bujade
(Money Transfer Department) and the customer questionnaire are take as study
area and their view and options are taken in to consideration.
Secondary data
Such type of data deals with the used of important contribution in the subject,
important books, magazines, survey material, periodical reports, newspaper
published in India and abroad. To present useful information on this topic we used
various information publishing mediums like internet, magazines and newspapers.
Around every company has its own website. All the useful information presented in
this project has been captured from their respective websites.
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BIBLIOGRAPHY
• The famous magazine POSTAL INVESTMENT IN INDIA.
• Web sites.
1. www.google.co.in
2. www.indiandata.com/postal
3. www.indiapost.gov.in
• Postal Investment council’s website.
• Personally visited the respected Post Offices
1. Head Post Office, Juna Bazar, Aurangabad (M.S)

2. Post Office, Rajabazar, Aurangabad (M.S)
3. Post Office, Osmanpura, Aurangabad (M.S)
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SOME MAJOR POSTAL SERVICES
SPEED POST
The high speed expresses service for letters and documents. Speed Post links more
than 1200 towns in India, with 290 Speed Post Centers in the national network and
around 1000 Speed Post Centers in the state network. For regular users, Speed
Post provides delivery ‘anywhere in India’ under contractual service. Speed Post
offers a money-back guarantee, under which the Speed Post fee will be refunded if
the consignment is not delivered within the published delivery norms.
e-Payment
The most convenient way to pay your bills under one roof. With its tremendous
reach and expertise India Post specializes in acceptance of payments across the
counter and their consolidation. e-Payment is a ‘Many to One’ service through which
bills (telephone, electricity, etc.) paid by customers in post offices are electronically
consolidated.
Logistics Post
A brand new service from India Post great for sending parcels and large
consignments across the nation and around the world. Logistics Post manages the
entire distribution side of the logistics infrastructure from collection to distribution,
from storage to carriage, from order preparation to order fulfillment. Logistics Post is
an ideal service for sending large consignments including multi-parcels, just-in-time
parcels, bulk-break consignments and goods of any weight. While Parcel Post offers
weight up to 35 kg, Logistics Post has no weight limit. Logistics Post offers not only
physical logistics services but also provides comprehensive supply chain
management services, leading to improvement in the service level efficiency.
e-Post
Documents and greetings sent online but delivered by mail.
Business Post
Total pre-mailing solutions including collection/printing, inserting, and addressing.
Media Post
Reach millions through advertisements on Post cards , Letters walls of post offices
,letter boxes,post cards and statonary.
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Direct Post
Distributing advertising materials directly to prospective customers.
Postal Life Insurance
Postal Life Insurance was started in 1884 as a welfare measure for the employees of
Posts & Telegraphs Department under Government of India dispatch No. 299 dated
18-10-1882 to the Secretary of State. Due to popularity of its schemes, various
departments of Central and State Governments were extended its benefits. Now
Postal Life Insurance is open for employees of all central and state government
departments, nationalized banks, public sector undertakings, financial institutions,
local municipalities and Zila Parisads an Educational Institution aided by the
Government.
Instant Money Order Service (iMO)
The instant domestic money is available in 717 post offices.

International Money Transfer
As a result of the collaboration of the Department of Posts with the Western Union
Financial Services, state of the art international money transfer service is now
available through post offices in India. This enables instantaneous remittance of
money from 185 countries to India. The recipients can in fact collect the money in
minutes after the sender has made the remittance. The service is targeted to
particularly fulfill the needs of NRI dependent families in India, visiting International
tourists and foreign students studying in India.
POSTAL SERVICES.
Indian postal service is the government operated postal system in India. The general
public refers to the Indian postal service as ‘the post office’.
The Indian postal service is the largest postal network in world with 1,55,000 post
offices spread across all over the country. With post offices in almost every corner of
the country, it helps people stay in touch irrespective of the length and breadth of the
country.
Indian postal service provide many facilities like- general or registered mail, parcel
post, speed post, greeting post, express post, media post, e post and special courier
service known as EMS-speed post. It also provides us with various financial services
like international money transfer, instant money order service, money order, mutual
funds. Various post office savings schemes like National Savings Certificate, Kisan
Vikas Patra, Recurring Deposits and Term Deposits are also available.
The letter boxes in India are colour coded like- green coloured boxes are meant for
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local letters, and for metropolitan and other cities as well as international mails can
be dropped in red coloured boxes. Quick Mail Service (QMS) has yellow colour
boxes.
Non-postal services
The post office has also traditionally served as a financial institution for millions of
people in rural India. Currently these are some of the activities being supported:
• Public Provident Fund

• National Savings Certificate
• Kisan Vikas Patra
• Savings Bank Account
• Monthly Income Scheme
• Recurring Deposit Account
• National Savings Scheme 1992 - discontinued from 01.11.2002
• Post Office Time Deposit
• Post boxes for mail receipt
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OBJECTIVES OF POST OFFICE
Department of Posts is committed to providing universal access to basic

postal services in the country at affordable prices.
Its objectives are to:-
 Ensure availability of basic postal services in all parts of the country,

including tribal, hilly and remote areas.
 Provide efficient reliable and economic service.
 Provide value added services according to market requirements.
 Modernize the services to handle the growing volume of work with
efficiency and thereby enhance customer and employee satisfaction.
 Be a forward looking organization, and
 Generate more resources and improve financial performance.
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RESPONSIBILITIES OF POST OFFICE
As per Government of India (Allocation of Business) Rules, 1961, second Schedule,

Rule 3, Distribution of Subjects among
the Departments the Department Of Posts is responsible for
1. Execution of works, including purchase of land debitable to the Capital

Budget
pertaining to the Department of Posts.
2. Posts, including Post Office Savings Banks (Administration), Post Office

Certificate (Administration), Post Office Life Insurance Fund (Administration),
printing of public postage stamps/commemorative stamps including postal
stationery, premium postal products and any agency function.
3. International cooperation in matters connected with postal communications,

including matters relating to all international bodies dealing with postal
communications such as Universal Postal Union, Asia Pacific Postal Union
(APU), Commonwealth Postal Union.
4. Matters relating to introduction, development and maintenance of all services

by the Post Office including those based on cable, radio and satellite
communications channels: Provided that these matters do not amount to
broadcasting, narrow casting, cable and radio networking services and are
also not governed by the Indian Telegraph Act, 1885 and the rules made
there under, and not exclusively allotted to any other Department.
5. Promotion of feasibility survey, research and development in the field of

activities allotted to the Department.
6. Matters relating to administration of the Indian Post Office Act, 1898 and rules
made there under as well as other laws or enactments having a bearing on
postal activities, not specifically allotted to any other Department.
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Largest postal network
World’s largest network.

89% post offices are in rural area.
Post Offices provide a range of basic postal services
Post office serves an area of 21.09 sq. km. & population of 6,585.
India has the largest Postal network in the world with 1,55,669 Post Offices of
which 89% are in rural areas. At the time of independence, there were 23,344 Post
Offices, which were primarily in the urban areas. Thus the network has registered a
seven fold growth over the last five decades, the focus of this expansion being in the
rural areas. On an average, a post office serves an area of 21.09 sq. km. &
population of 6,585. Through these offices it ensures daily delivery of dak at the
doorstep of every customer all over the country, collection of letters through
letterboxes, and also sale of stamps and stationery through village postmen at the
doorstep of customers in rural areas. Post Offices in Urban and Rural areas provide
a range of basic postal services to the customers, including banking and insurance
services. Bill collection felicities are being extended through all post offices in urban
areas, and identifying post offices in rural areas. Certain value added services are
being provided in selected offices in urban areas.
Efforts are also being made to identify means of providing postal services
through more cost effective measures. The Licensed Stamp Vendor Scheme,
Licensed Postal Agents Scheme and the Panchayat Sanchar Sewa Yojana(PSSY)
were initiatives that were taken up in this regard. So far 7,697 Panchayat Sanchar
Sewa Kendras(PSSKs) have been opened, including 2,371 PSSKs under the 10th
Plan. Since an assessment of these schemes indicates the need for restructuring
them, no targets were given in 2004-05 for opening PSSKs.
Efforts are also underway to optimize the retailing capacity of the network. One
major initiative taken up in the current year is the retailing of non-life insurance
products through Post Offices. The Department has entered into an agreement with
the Oriental Insurance Company to function as their Corporate Agent for marketing
identified non-life products. This Scheme was launched on a pilot basis through
select Post Offices in 2 districts each of 7 Circles. It is being gradually expanded,
after providing the requisite training to other Circles.
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MAJOR FINDINGS
NON-Postal Services in India
India possesses the largest postal network in the world with 155,000 post offices
spread all over the country as on March 31, 2001, of which 89 per cent are in the
rural sector. Post offices in India play a vital role in the rural areas. They connect
these rural areas with the rest of the country and also provide banking facilities in the
absence of banks in the rural areas. Post Offices offer various types of accounts.
These are:
 Savings Account
 Recurring Deposit Account
 Monthly Income Account
 Time Deposit Account
Post Offices also offer various saving and tax saving instruments as:
 National Savings Certificate

 Public Provident Fund
 Kisan Vikas Patra

AND
POSTAL LIFE INSURANCE
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Post Office Saving Account
Product : Saving Account.

Place : Post-Office.
Price : Rs.20 to 1lack (individual)
Rs.2 lack (joint)
No limit (group)
Promotion : Agents.
Post office saving account is similar to a savings account in a bank. It is a

safe instrument to park those funds, which you might need to liquidate fully or
partially at very short notice. Post office savings accounts are especially suited for
those living in rural and semi-rural areas where the reach of banks is very limited.
The account can be opened at any post office with a minimum balance of Rs. 20.
Maximum of Rs. one lack for single account holder and Rs. two lacks for joint
account holders can be deposited. There is no lock-in or maturity period. The
amount can be withdrawn anytime subject to keeping a minimum balance of Rs. 50
in simple account and Rs. 500 for cheque facility accounts.
Rate of interest is decided by the Central Government from time to time. Interest is
calculated on monthly balances and credited annually. Income tax relief is available
on the amount of interest under the provisions of section 80L of Income Tax Act.
Interest Rates
3.5% per annum on individual/joint and group accounts. 3% per annum on

public accounts and Security Deposits Account for purchase of motor vehicle or
tractor and for other purposes 2% per annum. For Official capacity account 2% per
annum.
Investment Limits and Denominations
Minimum Rs.20/-. Maximum Rs. 1,00,000/- for an individual account, Rs.

2,00,000/- for joint account. No limit on group/institutional or official capacity
accounts.
Features and Tax Rebate
Cheque facility available cheques are also accepted by scheduled banks.

Interest is completely tax free under section 10 of Income Tax Act financial assets
in form of small savings Schemes have been exempted from wealth tax
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Post Office Recurring Deposit Account
Product: RD (Recurring Deposit)

Place: post office
Price: Rs. Xyz (per month)
Promotion: Agents.
Duration: 5 years.
Recurring deposit account is a systematic way of saving money. The scheme is

meant for those investors who want to deposit a fixed amount regularly on monthly
basis in order to get a tidy sum after 5 years on the maturity of the account.
The Recurring deposit account can be opened at any post office Period of maturity
of account is 5 years. Sixty equal monthly deposits shall be made in an account in
multiples of Rs. five subject to a minimum of ten rupees.
Premature closure of accounts is permissible after expiry of three years. In case of

premature closure of account, the interest at the rate applicable to post office
savings account shall be payable.
5Year Recurring Deposit (RD)

Interest Rates
Maturity value from time to time (for denomination of Rs.10/):

Period during which opened Amount repayable for an
account of Rs. 10/-
From To denomination
01.10.1991 01.09.1993 856.40
02.09.1993 31.12.1998 833.40
01.01.1999 14.01.2000 811.15
15.01.2000 28.02.2001 789.60
01.03.2001 28.02.2002 758.53
01.03.2002 28.02.2003 748.49
01.03.2003 onwards 728.49
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FEATURES OF RD.
Minimum amount of Deposit is Rs.10. No maximum limit. Deposit should be made

every month within the calendar month. Default fee is chargeable for delayed
deposit at 0.20 P. per month of delay, for Rs.10 Dn.
Maximum defaults allowed in an account is four (4). After four defaults the
account is treated as ‘discontinued’. Discontinued account can be revived by
paying defaulted deposits, within two months from the fifth default. If it is not so
revived, the account cannot be continued.
For advance deposits, including deposit for current month, rebate is allowed at the
rate: Denomination Rs.10. 6 advance deposits…….Re.1/-
12 advance deposits: 4/-
Premature closure is permitted on completion of 3 years from the date of opening.

Interest is to be calculated as per the rules and rate applicable to individual
account. at the rate applicable to savings account from time to time is calculated and
paid.
One withdrawal is permitted from the account on completion of one year from the
date of opening, on the conditions that:
i. At least 12 deposits should have been made

ii. Account should not have been discontinued one.
iii. Amount not exceeding 50% of the balance.
iv. Withdrawal may be repaid in one lump or in equal monthly installments.
v. Interest is charged at 15%.
After maturity of the account, it can be continued for a further period of 5 years with
or without further deposits. During this extended period, the account can be closed
at any time. Post maturity interest is paid at the prescribed rate.
Under the protected savings scheme, on the death of depositor before maturity of
the account, the legal heir is entitled to get full maturity value, subject to the
conditions:
i. Age of the depositor at the time of opening should be between 18 and 53
ii. Benefit limited to the maturity value of Rs.50 denomination
iii. Account should not have been discontinued as on the date of death
iv. At least two years should have been completed
v. At least 24 deposits should have been made.
vi. For the first 24 months no default should be outstanding.
vii. No withdrawal should have been taken during the first 24 months.
Interest earned is exempted as per Section 80L of Income Tax Act.
30
Post Office Monthly Income Account
Product: MI Account.
Place: Post-Office.
Price: 1000 (Min deposit)
Promotion: Agents.
Durability: six years.
Post Office Monthly Income Account is meant for those investors who want to invest
a lump sum and earn interest on monthly basis for their livelihood. The scheme is,
therefore, a boon for retired persons.
The account can be opened by a single adult or 2-3 adults jointly. Period of maturity
of an account is six years. Only one deposit can be made in an account. Minimum
deposit limit is Rs 1000. Maximum deposit limit is Rs. 3 lacks in case of single
account and Rs. 6 lacks in case of joint account.
Interest @ 8% per annum is payable monthly. In addition, bonus equal to 10% of the
deposited amount is payable at the time of repayment on maturity. Premature
closure facility is available after one year subject to condition. Income tax relief is
available on the interest earned as per limits fixed vide section 80L of Income Tax,
as amended from time to time.
Monthly Income Scheme
• Safe & sure way to get a regular monthly income.

• Specially suited for retired employees/ Senior Citizens or any one with high
sum for investment .
• Rate of interest 8%.
• 10% Bonus on maturity. (withdrawn w.e.f 13th February 2006)
• Maturity Period - Six Years.
• Post maturity Interest at the rate applicable from time to time (at present
3.5%)
• Auto credit facility to SB Account.
Type of Account Minimum limit Maximum limit

Single Rs. 1000/- Rs. 3 lakhs
Joint Rs. 1000/- Rs. 6 lakhs
Deposit in Monthly Income Scheme and invest interest in Recurring Deposit to get
10.5% (approx) interest.
Above scheme operates automatically, if you open a saving bank accountand give a
request for automatic transfer of Monthly Income Scheme interest to Recurring
Deposit through Saving Bank account.
31
Post Office Time Deposit Account
Product: Time deposit A/C

Place: Post Office
Price: Rs 200- no limit
Promotion: Agents
Durability: 1yr – 5yr
Post office time deposit account is just like the bank fixed deposit account. These
time deposits are meant for those investors who want to deposit a lump sum for a
fixed period. Time deposit account can be opened at any post office with a minimum
deposit of Rs. 200. There is no maximum limit for the account.
The amount can be deposited for 1year, 2year, 3year, and 5years. The deposited
amount is repayable after expiry of the period for which it is made viz: 1 year, 2
years, 3 years or 5 years.
Interest is calculated on quarterly compounding basis, and is payable annually. Rate

of interest varies according to the period of the deposit and is decided by the Central
Government from time to time. Income tax relief is available on the amount of
interest under the provisions of section 80L of Income Tax Act.
Premature withdrawals from all types of post office time deposit accounts are
permissible after expiry of 6 months with certain conditions.
32
National Savings Certificate
Product: NSC
Place: Post-Office.
Price: Rs. Xyz/ month.
Promotion: Agents.
Durability: six years.
National Savings Certificate, popularly known as NSC, is a time-tested tax saving

instrument that combines adequate returns with high safety.
National Savings Certificate can be purchased by the following:
• An adult in his own name or on behalf of a minor,

• A minor,
• A trust
• Two adults jointly,
• Hindu Undivided Family
National Savings Certificates are available in the denominations of Rs. 100, Rs 500,
Rs. 1000, Rs. 5000, & Rs. 10,000. There is no maximum limit on the purchase of the
certificates.
Period of maturity of a certificate is six years. Presently, maturity value of a

certificate of Rs. 100 denomination is Rs. 160.10. Maturity value of a certificate of
any other denomination is at proportionate rate. Premature encashment of the
certificate is not permissible except at a discount in the case of death of the
holder(s), forfeiture by a pledge and when ordered by a court of law.
Interest accrued on the certificates every year is liable to income tax but deemed to
have been reinvested. Income Tax rebate is available on the amount invested and
interest accruing under Section 88 of Income Tax Act, as amended from time to
time. Income tax relief is also available on the interest earned as per limits fixed vide
section 80L of Income Tax, as amended from time to time.
33
National Savings Certificate Interest Rate
Period during which purchased Maturity Value for a

Denomination of
From To Rs.100.00
01.01.1999 14.01.2000 Rs.195.60
15.01.2000 28.02.2001 Rs.190.12
01.03.2001 28.02.2002 Rs.174.52
01.03.2002 28.02.2003 Rs.169.59
01.03.2003 Onwards Rs.160.10
Features
One person can be nominated for certificates of denomination of Rs. 100- and
more than one person can be nominated for higher denominations.
Maturity period is 6 years. No premature encashment is permitted in the normal

course. PREMATURE ENCASHMENT under sub-rule (1) of rule 16 after the expiry
of three years from the date of purchase of certificate. Table below for a certificate
of Rs.100 denomination and at a proportionate rate for a certificate of any other
denomination.
Table
Period from the date of the certificate to Issued from Issued from 01.03.2003
the date of its encashment. 01.03.2001 to 01.03.2002 to onwards
28.02.2002 28.02.2003
Three years or more, but less than three 126.43 124.62 121.15
years and six months
Three years and six months or more, but 131.71 129.51 125.09
less than four years.
Four years or more, but less than four 136.90 134.29 129.16
years and six months.
Four years and six months or more, but 142.48 139.43 133.36
less than five years.
Five years or more, but less than five 147.98 144.46 137.69
years and six months.
Five years and six months or more, but 153.89 149.83 142.16
less than six years
34
Public Provident Fund
Product: PPF.
Place: Post-Office.
Price: Rs.xyz/month.
Promotion: Agents.
Durability: 15 years.
Public Provident Fund, popularly known as PPF, is a savings cum tax saving
instrument. It also serves as a retirement planning tool for many of those who do not
have any structured pension plan covering them.
Public Provident Fund account can be opened at designated post offices throughout
the country and at designated branches of Public Sector Banks throughout the
country. The account can be opened by an individual in his own name, on behalf of
a minor of whom he is a guardian, or by a Hindu Undivided Family.
Minimum deposit required in a PPF account is Rs. 500 in a financial year. Maximum
deposit limit is Rs. 70,000 in a financial year. Maximum number of deposits is twelve
in a financial year.
The account matures for closure after 15 years. Account can be continued with or
without subscriptions after maturity for block periods of five years. Premature
withdrawal is permissible every year after completion of 5 years from the end of the
year of opening the account.
Loans from the amount at credit in PPF amount can be taken after completion of one
year from the end of the financial year of opening the account and before completion
of the 5th year.
Interest at the rate notified by the Central Government from time to time, is
calculated and credited to the accounts at the end of each financial year. Presently,
the rate of interest is 8% per annum.
Income Tax rebate is available "on the deposits made", under Section 88 of Income
Tax Act, as amended from time to time. Interest credited every year is tax-free.
35
Kisan Vikas Patra
Product: KVP.
Place: Post-Office.
Promotion: Agents.
Durability: 8 years & months.
Kisan Vikas Patra (KVP) is a saving instrument that provides interest income similar
to bonds. Amount invested in Kisan Vikas Patra doubles on maturity after 8 years &
7 months.Kisan Vikas Patra can be purchased by the following:
• An adult in his own name, or on behalf of a minor,

• A minor,
• A Trust,
• Two adults jointly.
Kisan Vikas Patra are available in the denominations of Rs 100, Rs 500, Rs 1000,
Rs 5000, Rs. 10,000 & Rs. 50,000. There is no maximum limit on purchase of KVPs.
Premature encashment of the certificate is not permissible except at a discount in
the case of death of the holder(s), forfeiture by a pledgee and when ordered by a
court of law.
No income tax benefit is available under the Kisan Vikas Patra scheme. However,
the deposits are exempt from Tax Deduction at Source (TDS) at the time of
withdrawal.
36
Postal Life Insurance
Postal Life Insurance was started in 1884 as a welfare measure for the employees of
Posts & Telegraphs Department under Government of India dispatch No. 299 dated
`18-10-1882 to the Secretary of State. Due to popularity of its schemes, various
departments of Central and State Governments were extended its benefits. Now
Postal Life Insurance is open for employees of all Central and State Government
Departments, Nationalized Banks, Public Sector Undertakings, Financial Institutions,
Local Bodies like Municipalities and Zila Parisads, Educational Institutions aided by
the Government etc
Rural Postal Life Insurance
On 24th March, 1995, the benefits of Postal Life Insurance were extended to rural
populace of the country under the banner of Rural Postal Life Insurance.
Postal Life Insurance Schemes
Santhosh ( endowment assurance )

Suraksha (whole life assurance )
Suvidha ( convertible whole life assurance )
Sumangal ( anticipated endowment assurance )
Yugal suraksha ( joint life endowment assurance )
Children policy
RURAL POSTAL LIFE INSURANCE SCHEMES
Gram santosh ( endowment assurance )

Gram suraksha (whole life assurance )
Gram suvidha ( convertible whole life assurance )
Gram sumangal ( anticipated endowment assurance )
Gram priya ( 10 years rpli )
Children policy
37
Postal Life Insurance – Santhosh
An Endowment Assurance Scheme
Product: PLI-Santhosh.
place: Post-Office.
promotion: Agents
eligible: loan(36month)
Under this scheme the proponent is given an assurance to the extent of the Sum
Assured and accrued bonus till he/she attains the pre-determined age of maturity.
In case of unexpected death of the insurant, the assignee, nominee or the legal heir
is paid the full Sum Assured together with the accrued bonus.
* Minimum Age at entry is 19 years

* Maximum Age at entry is 55 years
* Premium ceasing at the age of 35, 40, 45, 50, 55, 58 & 60 ( Payment of premia for
at least 5 years )
* Maximum Sum Assured of Rs.10 lac
* Insurance Cover starts from the date of acceptance
* Eligible for loan after payment of premia for 36 months.
* Interest Rate @ 10% on loan
* Surrender allowed after payment of premia for 36 months
* Assignment facility available
* Can be converted into Suraksha (Whole Life Assurance )
* No medical examination required if age is 35 years or less and Sum Assured is not
more than Rs. 1 lac.
* Nomination facility is available.
38
POSTAL LIFE INSURANCE- SURAKSHA
A Whole Life Assurance Scheme

Product: PLI-SURAKSHA.
place: Post-Office.
promotion: Agents
• Minimum Age at entry is 19 years

• Maximum Age at entry is 55 years
• Premia ceasing at the age of 55, 58, 60. ( Minimum payment of premia for 5
years)
• Maturity amount is payable only to the Assignee, nominee or the legal heir
after death of the insurant. Maximum sum assured is Rs. 10 lac
• Insurance cover starts from the date of acceptance of proposal to the extent
of sum assured with accrued bonus
• Bonus shall accrue till the date of death.
• Higher bonus and lower premia than the Endowment Policy
• Eligible for loan after payment of premia for 48 months
• Surrender of policy allowed after payment of premia for 36 months
• Assignment facility available
• The policy can be converted into an Endowment Assurance Policy after
completion of one year and before 57 years of age of the insurant
• Nomination facility available
39
Postal Life Insurance- Sumangal
An Anticipated Endowment Assurance Scheme which is also known as Money

Back Policy.
Product: PLI- Sumangal.
place: Post-Office.
promotion: Agents
Insurance cover starts from the date of acceptance of the Proposal
Survival benefits is paid to the insurant periodically (Such payments will not be taken
into consideration in the event of unexpected death of the insurant and the full sum
assured with accrued bonus is payable to the assignee, nominee or legal heir).
Two type of policies i.e. 15 year term and 20 year term.In case of 15 years term
policy the minimum Age at entry is 19 years and maximum Age at entry is 45
years.In case of 20 years term policy, the minimum Age at entry is 19 years and
maximum Age at entry is 40 years.
Maximum Sum assured is Rs.5 lac
No loan facility
No surrender value is payable
Assignment facility is available
Nomination facility available
Survival benefit is payable as under : 15 years 20 years
• at the end of 6 years 8 years 20% of sum assured

with bonus
40
Postal Life Insurance - Yugal Suraksha
Product: PLI-SURAKSHA.
place: Post-Office.
promotion: Agents
facilities: loan
• It is a joint-life Endowment Assurance in which one of the spouses is eligible

for
PLI policies
• Life insurance coverage is provided to both the spouses to the extent of sum
assured with accrued bonus from the date of acceptance of proposal
• Insurance cover is started from the date of acceptance
• It is a term policy of 5 to 20 years.
• It gives assurance to both, the Insurant and spouse
• Maximum sum assured of Rs. 5 lac
• Surrender value payable after 3 years
• Loan facility is available.
41
Rural Postal Life Insurance - Gram Suraksha
It is a Whole Life Assurance Scheme.

Product: PLI-Gram SURAKSHA.
place: Post-Office.
promotion: Agents
facilities: loan/nomination
Under this scheme, the proponent is given an assurance to the extent of sum
assured and accrued bonus which is paid to the assignee, nominee or legal heir
after the death of the insurant.
• Insurance cover starts from the date of acceptance

• Maximum Age at entry is 55 years and for policies with sum assured beyond
Rs.1 lakh maximum age at entry is 45 years
• Premium ceasing at the age of 55, 58 & 60
• Maximum sum assured is Rs. 2 lac
• Eligible for loan after payment of premia for 48 months.
• Interest rate @ 10% on loan
• Surrender of policy allowed after payment of premia for 36 months
• Can be converted into Gram Santosh (Endowment Assurance)
42
Rural Postal Life Insurance - Gram Suvidha
A Convertible Whole Life Assurance Scheme.
Product: PLI- Gram Suvidha.

place: Post-Office.
promotion: Agents
facilities: loan/nomination.
• Insurance cover starts from the date of acceptance

• Minimum age at entry is 19 years
• Maximum age at entry is 55 years
• Premia ceasing at the age of 55, 58 & 60
• (Payment of premia for at least 5 years )
• Maximum sum assured Rs. 1 lac
• Eligible for loan after payment of premia for 48 months
• Interest on loan @ 10 %
• Surrender of Policy allowed after payment of premia for 36 months
• Can be converted into Gram Santosh
(Endowment Assurance after 5 years with premia ceasing at the age
applicable to that Scheme )
• Nomination facility available.
43
Rural Postal Life Insurance - Gram Sumangal
An Anticipated Endowment Assurance Scheme which is also known as Money

Back Policy
Product: PLI- Gram Sumangal.

place: Post-Office.
promotion: Agents
facilities: loan/nomination.
• Insurance cover starts from the date of acceptance of the proposal.

• Survival benefit is paid to the insurant periodically
(Such payments will not be taken into consideration in the event of unexpected
death of the insurant and full sum assured with accrued bonus is payable to the
nominee).
• Two type of policies i.e. 15 years term and 20 years term.
• Minimum age at entry is 19 years and maximum age at entry is 40 years
• Maximum sum assured is Rs.1 lac.
• No loan facility
• No surrender value is payable
• Nomination facility is available.
• Assignment facility is available.
• Survival benefit is payable as under: 15 years 20 years
• at the end of 6 years 8 years 20% of Sum Assured
With bonus
44
RURAL POSTAL LIFE INSURANCE - GRAM PRIYA
It is Anticipated Endowment Scheme for Ten Years
- Insurance cover start from the date of acceptance
• Proponent is given an assurance to the extent of Sum Assured with accrued bonus payable
till completion of ten years.
• No interest charged upto one year arrear of premia in case of natural calamities like flood,
drought, earthquake, cyclone etc.
• Survival benefit is payable as under:
 At the end of 4 years - 20%
 At the end of 7 years - 20%
 At the end of 10 years - 60% with accrued bonus
• Nomination facility is available

• No surrender value is payable
• Assignment facility is available
• No loan is admissible.
45
CHILDREN POLICY- SALIENT FEATURES

Product: PLI-children.
place: Post-Office.
promotion: Agents
facilities: loan
A Policy holder of WLA or EA in PLI/RPLI shall be eligible for taking such Policy
for his/her child(ren) against his/her policy.
Minimum Age-5 Years.
Maximum Age- 20 Years
(The age of main policy holders should be below 45 years.)
Sum Assured limit Minimum- Rs. 20,000/- Maximum- Rs. 1,00,000/-. However,
the Sum Assured of Children policy should not exceed the Sum Assured of the
main policy.
Insurance Cover starts from Date of acceptance of the proposal or payment of the
Ist premia in full, which ever is later.
A non-medical policy with full benefits.
Assignment/Nomination facility available, as per POIF Rules.
No loan facility against this policy, but can be made paid up in usual conditions to
main policy provided atleast 5 Years premia have been paid.
Sum Assured along with accrued bonus shall be payable on maturity or earlier on
death of the Child(ren).
In even of death of main policy holder before the expiry of the Children Policy- no
further premia shall be payable for the remaining term of the policy.
46
CHILDREN POLICY PREMIA FOR SUM ASSURED OF Rs. 1000/-
Age at Age at maturity

entry 18 19 20 21 22 23 24 25
5 8.13 7.67 7.27 6.93 6.63 6.36 6.13 5.92

6 8.68 8.13 7.67 7.27 6.93 6.63 6.36 6.13
7 9.33 8.68 8.13 7.67 7.27 6.93 6.63 6.36
8 10.11 9.33 8.68 8.13 7.67 7.27 6.93 6.63
9 11.07 10.11 9.33 8.68 8.13 7.67 7.28 6.93
10 12.28 11.07 10.11 9.33 8.68 8.13 7.67 7.28
11 13.85 12.28 11.07 10.11 9.33 8.68 8.13 7.67
12 15.94 13.85 12.28 11.07 10.11 9.33 8.68 8.13
13 18.88 15.94 13.85 12.28 11.07 10.11 9.33 8.68
14 18.88 15.94 13.85 12.28 11.07 10.11 9.33
15 18.88 15.94 13.85 12.28 11.07 10.11
16 18.88 15.94 13.85 12.28 11.07
17 18.88 15.94 13.85 12.28
18 18.88 15.94 13.85
19 18.88 15.94
20 18.88
47
Questionnaires
Name :…………………………………………………………………..
Organization: ……………………………… Designation:………………………….
Age Group: Below 30 ( ) 30-45( ) Above 45( ).
1. Are you aware of the investment policies provided by post office?

A. Yes B. No
2. If yes how did you to know about the investment policies of post office?
a) Relatives b) Agent c) Promotion d) Others.
3. If no why you are unaware about the investment policies of the post office?
……………………………………………………………………………………………………………
………………………………………
……………………………………………………………………………………………………………
………………………………………
4. Do you think postal investment are a secured way of investing your money?
a) Yes b) No c) I don’t know.
5. If you get a choice to invest in, which one would you prefer?
a) Postal investment b) Others financial investment.
6. Why would you invest in the in option chosen by you?

a) Loan b) Interest c) Service d) Security e) Others
7. According to you which of the following class invest in postal?

a) Upper class b) Middle class c) Lower class.
8. In which policies do you like to invest your money?

a) Public Provident Fund b) National Savings Certificate c) Kisan
Vikas Patra,
d) Savings Bank Account e) Monthly Income Scheme f) Recurring
Deposit Account,
g) National Savings Scheme 1992 f) Post Office Time Deposit .
9. Wat made you invest postal?

a. Tax saving benefits b. Saving c. Others services d. Due to
references.
10. Why do you think they are loosing interest in postal investments?
a) No advertising b) Lack of govt. Support c) Less attractive, d) Less
speed.
11. What is your expectation from Post-Office?

..................................................................................................................................
.........
..................................................................................................................................
..........
12. What suggestion would you like to give to post office?

..................................................................................................................................
...........
..................................................................................................................................
...........
13. According to you does recession effect your investment?
48
a) Yes b) No
49
CURRENT SCENARIO
ORGANISATION CHART OF THE DEPARTME NT OF

POSTS
50
Security
Don’t know
17%
No Yes
10%
No
Don’t know
Yes
73%
Parameter Number of People

Yes 22
No 03
Don’t know 05
Total 30
51
Class Awarness
20
18
16
14
12
Medal Level, 20
10 Series1
8
6
4 Low Level, 7
2 High Level, 3
0
High Level Medal Level Low Level
Permute Number of People

High Level 03
Middle Level 20
Low Level 07
Total 30
52
Difference between postal investment and other investment:
Postal investment Other investment
1 This investment is played by post- 1 This investment is played by private

office agencies. e.g. Bajaj Allianz, Tata
AIG etc.
2 Low Promotion strategies 2 More Promotion strategies
3 Less people aware about postal 3 People are more aware than postal
investment. investment.
4 Interest rate is low as compared to 4 Interest rate is high as

other investments. compared to postal investments.
5 Highly secured than others 5 Secured but not more than postal
investments. investments.
6 It is govt. Organisation. 6 It is private organisation.
53
CURRENT AFFAIRS
Promotion strategies of postal investment
• No promotion strategies used.

• Agent
Lack of awareness:
• Due to improper promotional strategies.

• Low advertising.
• Government updation is not done forcefully.
Youth:
• No proper investment to attract youth.

• Easy money investment are not available.
• Low rate of interest.
• Low competitive.
• Improper use of resources.
Highly security:
• Government service.
• Tax benefits.
Low interest rate to investment:
54
Negative point of postal investment
• Improper promotion.
• Not proper planning
• No advertisement.
• Service provide not on time.
• Low rate of interest.
• Lack of awareness among new generation
• no satisfactory service comparatively
• low impact of youth on
• investment more time is required for processing.
Positive point
• Highly secured
• In few money good service.
• Save money save time.
• No effect of recession
• Government control
• High network coverage
Consumer behavior:
• The perception of client are varied diverting according to age difference.

• Above 45-have the blind faith on investment in postal as it is a government
controlled organization &operating since decades.
• 30-45 are aware but are confused into get more profit or to invest in safer
way.
Youth:
• they are the new comers and earn &like to get more profit in easy manner
are not interested in ancient process so prefer private investment.
55
MARKET OPPORTUNITY
MACRO ENVIRONMENT
The macro environment is the external environment of a business over which the
business has no control. This includes all factors that can influence an organization
that are out of its direct control. A company needs to be flexible to adapt to the
changes in the macro environment.
Socio cultural environment.

Legal environment.
Economic environment.
Political environment.
Technological environment.
Socio cultural environment:
Every society has a unique social structure comprising distinct set of behavior
patterns, attitude, beliefs, taste and lifestyle. It is crucial for a company to understand
the social environment of the market. Where it intends to do business. This will help
the postal to present its schemes in the sync with the social set up of the market.
Social environment sets the tone for what is and what is not acceptable in terms of
the schemes, promotion, pricing and features. Socio cultural environment influences
the consumer buying behavior.
Legal environment:
Laws, rules and regulations of a nation influence the way a postal can do business
their. The legal environment creates the framework within which postal need to
operate. Postal must be careful to keep within the law. In addition the postal needs
to predict the legal changes that may take place which will affect the working
operation.
Economic environment:
Economic environment consist of the phase of the economic cycle (recession and
expansion) the economy is in, the income of the population, the inflation rate,
interest rate, wage rates, degree of unemployment, government and consumer
spending ect…
56
Political environment
Political stability is closely linked with the economic and legal environment. Labour
laws, economic policies, taxes, foreign investment policies, import and export
regulation.
Technological environment
This is the century of high end technological developments. Nearly everyday, some
or the other technology development is taking place somewhere in the world. Postal
need to be aware of this developments and utilize them in enhancing their business
processes. Technological developments provide opportunities for postal to adopt
new breakthroughs, innovations, and inventions to cut costs and develop new
schemes.
\
57
MICRO ENVIORNMENT
The micro environment is close to a postal and has a direct and immediate impact
on the postal and its ability to serve its customers. A firm can influence its micro
environment through its various strategies.
Consumers
Competitors
Employees
Marketing intermediaries
Company
Consumers
Satisfying customer needs is the ultimate aim of Postal. So, the analysis of the need
and wants of the customer is crucial for Postal.
Competitors:
According to the marketing concept, Postal investment can gain an edge in the
market by offering greater customer value and satisfaction than its competitors. For
this, Postal needs to analyses the nature of competition prevailing in the market.
Based on this analysis, Postal needs to design its competitive marketing strategy to
position its schemes strongly against those of the competitors in the minds of clients.
Employees:
Employees are the backbone of Postal. Quality of employees plays a crucial role in
ensuring success for Postal. Postal should employee the correct staff and provide
them training to groom them for the particular job.
Marketing intermediaries:
Marketing intermediaries help Postal to promote, sell and distribute its schemes to
clients. These marketing intermediaries form an important component of the Postal.
Overall value delivery system.
58
SUGESSION
• Make Use Of Promotional Actives To Attract Maximum Number Of Clients.
• Measures should be taken to create an awareness among the new

generation.
• Maximum use of advanced diversified technology.
• Upcoming generation should be preferred in working authority.
• Target should be given to the employees
• Service should be given more importance.
• Internet services should be made available for investment related available.
59
CONCLUSSION
Low awareness because of no promotional activities considered.
Comparatively most secured investment
Huge network but lack of appropriate management
Due to comparatively low profit youth have less interest in investing as that of
old generation.
60
61
62

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CURRENT SCENARIO OF POSTAL INVESTMENT

PROJECT SUBMITTED TO NIS ACADEMY,

IN PARTIAL FULFILMENT OF THE REQUIREMENTS

ADVANCE DIPLOMA IN MANAGEMENT AND APPLIED SKILLS

Name: Registration No.:

Mr. Rushendra S. Tarte R14308090294

Name of the Guide

Mrs. Rajlaxmi R.Bhosale.

The NIS Academy, Aurangabad.

PROJECT SUBMITTED TO NIS ACADEMY,

IN PARTIAL FULFILMENT OF THE REQUIREMENTS

ADVANCE DIPLOMA IN MANAGEMENT AND APPLIED SKILLS

Mr. Rushendra S. Tarte

Name of the Guide

Mrs. Rajlaxmi R.Bhosale.

The NIS Academy, Aurangabad.

Certified that the project CURRENT SCENARIO OF POSTAL INVESTMENT is

Skill/ Post Graduate Diploma in Applied Management.

Signature of the Guide Signature of the Director

Name: Ms. Rajlaxmi Bhosale Name: Mr.Ganesh Salunke

Date: 04/03/2009. Official Address with Seal:

The NIS Academy, Aurangabad.

Any research is never an individual effort. It is contributory efforts of many

I take this opportunity to express my deep sense of obligation to management

It extends my heart-felt gratitude to Mrs. Rajlaxmi Bhosale (project head) and

The NIS Academy, Aurangabad.

Every student of F.Y.MBA is required to undertake a project and submit the

People can be initiators, influencers, deciders, buyers or users. Postal

The report discussed following important aspects by which I achieved my primary

The NIS Academy, Aurangabad.

2 Objective of the Project 16

4 Data / Information Collected 19

5 Interpretation of the data 46

7 Suggestions for Improvement 56

The NIS Academy, Aurangabad.

NON POSTAL INVESTMENT

The NIS Academy, Aurangabad.

* Total mailing solutions, including pre-mailing facilities like printing, addressing,

* Customized business solutions and business packages for corporate customers.

* Address verification and Address database Curing facilities at reasonable prices to

The NIS Academy, Aurangabad.

Type Agency of Indian government (government semi-monopoly)

The NIS Academy, Aurangabad.

Mr. W.K Tirankar

Who helped us Exploring and imparted us Knowledge….

The NIS Academy, Aurangabad.

The NIS Academy, Aurangabad.

The NIS Academy, Aurangabad.

The NIS Academy, Aurangabad.

The NIS Academy, Aurangabad.

• To study how Post office provides service to its clients.

The NIS Academy, Aurangabad.

The NIS Academy, Aurangabad.

• The famous magazine POSTAL INVESTMENT IN INDIA.

• Postal Investment council’s website.

• Personally visited the respected Post Offices

1. Head Post Office, Juna Bazar, Aurangabad (M.S)

The NIS Academy, Aurangabad.

Documents and greetings sent online but delivered by mail.

Total pre-mailing solutions including collection/printing, inserting, and addressing.

The NIS Academy, Aurangabad.

Postal Life Insurance

Instant Money Order Service (iMO)