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With 1.5 million personnel, India’s armed forces are among the largest employers in the country. And for State Bank of India those numbers represent a market with a lot of promise.
Indeed, India’s largest bank has decided to enlist the services of former officers as ‘Defence Banking Advisors’ to market its products and services to the armed forces.
The plan is to hire retired senior officers at handsome salaries, get them to connect with their respective services, and understand the banking needs of defence personnel.
Headhunting time SBI will appoint a Defence Banking Advisor (DBA) from each of the services — a former Lt. General from the Army, an Air Marshal from the Air Force and a Vice-Admiral from the Navy. The first two will be based in Delhi while the retired naval officer will be based in Mumbai.
In addition, the bank will appoint former defence officers as Circle Defence Banking Advisors (CDBAs) in other metros. These advisors — of rank Major General or Brigadier in the Army and their equivalent in the other forces — will be based in Chandigarh, Guwahati, Lucknow, Kolkata, Pune and Hyderabad.
The salary (cost to company) for a Defence Banking Advisor has been fixed at Rs 28 lakh annually. For CDBAs, it will range between Rs 18 lakh and Rs 20 lakh, depending on the posting.
Apart from advice on the banking needs of defence personnel, these officers will also act as a single-point contact for complaint redressal. Speaking to Business Line , a senior bank official said they would explain SBI’s products and services and customised solutions to defence personnel. Explaining the rationale behind the move, E. Balaji, an HR expert, says that senior officials understand the dynamics of companies better and are adept in navigating bureaucracy.
Familiar terrain Armed forces are hierarchical in nature and seniors command respect from serving officers even after retirement.
But in order to succeed, State Bank of India will have to find officers who still have the drive after retiring from the forces.
It will also need to institutionalise suitable safeguards to prevent undue favours and preserve the integrity of various banking processes, said Balaji.
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