Management and Corporate Governance

The Bank has adopted and adhered to best corporate governance practices which have facilitated effective management with a high level of business ethics and enhanced value for all stakeholders.

The shares of the Bank are held by the GoI and 22 other institutions/PSBs/insurance companies owned or controlled by the Central Government. The major shareholders as on May 31, 2021 are:

The Bank has put in place a comprehensive Risk Management System that is sensitive and responsive to various risks emanating from its business and other operations.

The Bank has implemented a Comprehensive Operational Risk Evaluator (CORE) for Lost Data Capture, Key Risk Indicator (KRI), and Risk and Control Self-Assessment (RCSA).

    Operational measures
  • One Recovery Cell upgraded to SARB, total 8 SARBs as on March 31, 2021.

  • Loan Recovery Policy simplified and made more pragmatic.

  • Introduced automated modules capturing sale of asset, calculation of reserve prices and to capture various scenarios for OTS memorandum.

    Monitoring and Review of operations
  • Board-level Recovery Review Committee to review all NPA cases with principal outstanding of ₹3 crore and above.

  • Periodic interaction between Head office and Field offices.

  • Stressed Asset Monitoring Committee to undertake fortnightly review of the position of SMAs.

  • Operational Audit of BOs, ROs & select HO Verticals

  • Management Audit of HO Verticals

  • Information Systems (IS) Audit

  • Special Audit of fraud cases

  • Overseeing concurrent audit function

  • Review monthly concurrent audit reports of TRMV and Administration Vertical, including the CVPC, DCV, IFV, VCF, AIC and SA&NMV carried out by external audit firms

  • Credit Audit through ROs for exposure above ₹7.5 crore, and in 10% of other cases on a sample basis under Direct Credit Schemes

  • As on March 31, 2021, 36 BOs were covered by the concurrent audit mechanism, accounts for more than 82% of the Direct Credit operations

  • Operational Audit for 77 BOs/ROs/HO Verticals

  • IS Audit of 57 BOs

The Bank considers its Human Resources as its valuable asset. Its People, Processes and Technology play a key role in delivering customer service. The knowledge, skills and diversity of the workforce are key to achieve comparative advantage. The Bank has been aligning its Human Resources with Business Strategy to effectively deliver its function of transforming the MSME sector.

In an unprecedented event, the COVID-19 pandemic brought the business to standstill in March 2020. The last financial year started with uncertainty and fear, in terms of future, health and security. The Bank implemented immediate action to not only protect its people but also its customers.

COVID has taught us not only to survive but also emerge as a better institution on the whole.

Few of the initiatives taken by the Bank during the year are:

COVID-19 Management - In respective Offices, all prescribed COVID appropriate protocol/ behaviour was adopted. Quick Response Teams were put in place to monitor the entire work with regard to COVID management. Flexible work hours, including Work from Home, ensured branches functioned so that customers were not affected. Additionally, personal guidance and counselling was proactively provided to all staff. Bank also arranged for a tie-up for quarantine facilities in major metro cities in collaboration with Apollo Hospitals. With the introduction of COVID vaccination in India, the Bank made necessary arrangements, organised drives and encouraged all its eligible staff to opt for vaccination. Bank has been able to contain the widespread occurrence within its offices with the help of the same and has ensured Business Continuity timely implementation of all Government Schemes and COVID special schemes rolled out. The Bank also facilitated welfare activities of GoI etc. for COVID-19 funds, in which the employees participated wholeheartedly.

Employee Friendly initiatives - Due to risks posed during the prevailing pandemic, annual transfers were minimized. Concept of offsite reporting to new office was introduced keeping in mind business continuity as well as ensuring safety of officers. Extended reporting times were allowed to avoid inconvenience to staff and families.

Leadership Development - Online programs were organised for Grade ‘D’, “E” and “F” Officers for development of their leadership attributes.

Human Resource Strength

As on March 31, 2021, the Bank had on its rolls 1,013 active full-time staff comprising 891 officers, 93 Class III staff and 29 subordinate staff.

Of the total staff, 177 (17.47% of total staff strength) belong to Scheduled Castes (SCs), 74 (7.31%) to Scheduled Tribes (STs) and 204 (20.14%) to Other Backward Classes (OBCs). The staff strength included, 29 Persons with Disabilities (PwD) and 2 ex-servicemen. The Rosters in SIDBI are maintained as per guidelines issued by GoI in the matter and are vetted by Chief Liaison Officers annually and are also reviewed by GoI from time to time. The Rosters position upto December 31, 2020 has since been updated.

The Bank is an equal opportunity employer with regard to its women workforce. It has aimed to provide equal and fair opportunities to women, who have been working shoulder to shoulder with men and are increasingly assuming greater responsibilities. The strength of women employees in SIDBI is 229 (23%) of its total staff of 1,013. The Bank has been introducing policies from time to time which help women staff in managing a better work life balance.

Prevention of Sexual Harassment- Internal Complaints Committee

The Bank promotes a positive and respectful workplace for the women workforce. Further, all support is extended to the women employees to maintain a better work life balance be it in terms of postings, placements or leave. Bank encourages women employees to continue their contribution in the national interest development of MSME Sector and nation.

As per the provisions of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, the Bank has in place Internal Complaints Committees at Chennai, Kolkata, Lucknow, Mumbai and New Delhi for redressal of complaints of sexual harassment and for matters connected therewith or incidental thereto. During the year, no complaint of sexual harassment was received by the Committees.

Learning & Development

Training and Development has been an integral part of the HR strategy of the Bank. Over the years, SIDBI’s role as a catalyst for growth of MSMEs has increased with greater focus on policy advocacy, promotion and development, co-ordination with various institutions engaged with MSMEs, driving entrepreneurship etc. Besides, with the renewed thrust on direct finance operations, aligning the staff skills with the new vision and objectives of SIDBI has become imperative.

During FY 2021, efforts were made to achieve greater alignment in the training needs with organizational goals, future business imperatives and individual employee needs in line with the recommendations of HR consultants. At the beginning of the year, a Training need assessment (TNA) was done with inputs received from various Verticals. During the year, the Bank made a total of 1,257 nominations for various training programmes which included 1,179 nominations for in-house programmes and 78 nominations to renowned training / academic institutions as mentioned above. Out of the 1,257 nominations made, 241 nominees were women and 623 nominees belonged to SC/ ST/ OBC categories. A total of 772 employees were trained during the year as against 743 employees in previous FY. The total no. of training man-days during the year improved to 2,808 as against 1,785 in previous FY.

SIDBI also provides pre-promotion/pre-recruitment and in-service training to SC/ST/OBC candidates/employees to enable them prepare for the process of selection and to allow them to compete better with their counterpart coming from general communities. In Pre-promotional Trainings, total 157 employees were given training, out of which 58 belonged to SC Category (37%), 27 were from ST Category (17%) and 72(46%) employees were from OBC category.

The Training Division made a successful foray into conducting the in-house programmes on virtual mode. All the programmes during the year were conducted in virtual mode on ‘Microsoft Team’ platform.

Besides officers were also nominated to various specialised inland training programmes / workshops conducted / organized by reputed institutions like CRISIL, NAHRD, NIBM, FIMMDA, IDRBT, CAFRAL, etc.

  • 89 Official Language Implementation Committees in various offices of the Bank.

  • Hindi correspondence stood at 98%, 90% and 72% in regions ‘A’, ‘B’ and ‘C’ respectively

  • Hindi magazine ‘Sankalp’ completed 95 issues.

  • Hindi noting stood at 85%, 82% and 75% in regions ‘A’, ‘B’ and ‘C’ respectively

  • 44 Hindi workshops were organised during FY 2021

  • Organised All-India E-Conference for Hindi officers of the Bank and Online Intensive Translation Training Programme with the Central Translation Bureau, Department of Official Languages, New Delhi

  • Official Language inspections carried out in 49 offices and 10 Verticals

  • Hindi libraries set up in all offices, and the amount spent on purchase of Hindi books was earmarked

  • Organised 16th All-India SIDBI Hindi essay competition