The purpose of this study is to analyze the effectiveness of cash management practices in State Bank of India (SBI) and understand their impact on the bank’s operational efficiency and liquidity management. The study aims to evaluate how SBI manages cash inflows, outflows, and reserves across its branches, identify challenges in cash handling, and assess the role of modern cash management systems and technology in improving efficiency. By providing empirical evidence, the study seeks to offer insights and recommendations to bank management, policymakers, and stakeholders for optimizing cash operations, reducing operational costs, and ensuring better financial stability and customer service in public sector banks. Cash management is a critical function for banks, ensuring liquidity, operational efficiency, and financial stability. This study examines the effectiveness of cash management practices in State Bank of India (SBI), one of the largest public sector banks in India. Using a combination of primary data from SBI branch surveys and secondary data from annual reports, the research evaluates how efficiently the bank manages cash inflows, outflows, and reserves, and its impact on overall operational performance. The study identifies key challenges in cash handling, including discrepancies in cash forecasting, liquidity management, and branch-level cash operations. Findings reveal that while SBI has implemented structured cash management systems and modern technology to streamline operations, there are opportunities to further optimize cash utilization and reduce operational costs. The study provides insights for bank management, policymakers, and researchers on improving cash management efficiency in public sector banks, ensuring better liquidity control and customer satisfaction.