Beruflich Dokumente
Kultur Dokumente
Internship Report
For
Bank Alfalah
Submitted By:
TAYYAB ZAFFAR
BBA-05
Bc050400762
SWOT analysis must be conducted in broader business environment. You will be fur
ther evaluated on this in presentation.
Submitted To:
MKT620
Internship Coordinator
Submitted On: 05-02-2010
Dedicated to
Holly Prophet Muhammad [PBUH]
The Greatest Social Reformer
To
My Beloved
Parents
Who taught me
The first word to speak
The first alphabet to write
And
First, step to take.
Acknowledgement
My primary thanks go to Almighty ALLAH, who strengthened me to complete this rep
ort successfully. Whatever I have achieved in my life is by His grace. I also th
ank Holy Prophet MUHAMMAD (PBUH), who is the best source of guidance and inspira
tion of all mankind.
I would like to thank my parents for their support in my academic career in Virt
ual University of Pakistan. Their hopes have always encouraged me to do my best.
In university, I will pay my thanks to all respectable teachers, whom I have gai
ned my best knowledge from. Especially I pay thanks to all employees Bank Alfala
h Staff’s; they assisted me to complete this report.
Executive Summary
In this report, I have covered the most leading bank which is “Bank Alfalah Limite
d”.
I thrash out brief introduction of organization’s business sector along with diffe
rent products and services, organizational structure along with department’s struc
ture, training phase, function of marketing department, Critical analysis relat
e to theoretical concepts different marketing products, market segmentation, tar
geting, positioning, brand equity, Operation Review, and SWOT Analysis. The main
focus in this report is on marketing functions along with strategies, critical
analysis such as segmentation, targeting, position, training program, operation
review, and SWOT analysis. The operation review includes Product Development, Op
erations and Trade Finance, Information Technology (IT), Quality Assurance, Risk
Management, Human Resource and in training program described introduction of al
l departments’ duties and detailed description of the department where I worked in
.
Over the last few years the economy of has performed remarkable well with the GD
P growing at an average rate of 2.4% in 2009 and in 2004 it reaches to 4%. The m
ajor sectors which contributed to this growth during the FY09 were Agriculture,
Manufacturing and Services. Substantial privatization reforms initiated in the b
anking and utility sectors have encouraged the local investors and attracted for
eign direct investment to the tune of USD 3.72 Billion. The home remittances hav
e increased to USD 4.53 Billion during the years. The rapid pace of growing duri
ng the recent years has been achieved deposit political uncertainly and deterior
ating law and order situation. Continuation of the uncertainly will have an adve
rse impact on the future growing in every sector and would impact the financial
sector as well.
During the year bank managed to maintain a satisfactory growth in volumes with o
ver 28% increase in import/export business where as deposit and advance decrease
d by over 7.3% and negative growth in pre-tax profit over the year.
The bank is operating with 283 branches and has plans to add a number of new bra
nches in the year of 2010 to 300. 48 of these branches are exclusively offering
Shariah Compliant product to the customers through Islamic Banking Division of B
AL.
The bank has started implementation of its new online core banking software auto
mating the business processes relating to Retailing Banking, Trade Finance, Corp
orate Finance, Customer Relationship Management (CRM), Consumer Finance and Elec
tronic Banking. During the past year the bank launched different Debit/ VISA Car
ds for its customers. The card is accepted globally at over 29 million VISA outl
ets for spending to avoid carrying of cash and Travelers Cheques. At present the
bank owns a network of 236 onsite ATMs.ATMs machines enabling customers and oth
er consumers to bank 24 hours a day. The bank also provides facilities provide f
acilities to the card holders with 24 hours funds transfer through the ATM.
The call centre which has with Toll Free Number and Universal Access Number is n
ow facilitating a large number of customers 24 hours a day. The 24 hours telepho
ne banking facility is functioning for our customers for the real time Balance E
nquiry, Instant Statement of Account and ATM/Debit Card related activities. The
Cheque Free banking also available for the customers to withdraw large amount of
cash through bank’s own point of sale terminals installed at our designated branc
hes. The bank has plans to add more delivery channels and applications to the ex
isting ones. The SWIFT online communication and message services for internation
al banking are available at all the branches dealing in Foreign Exchange busines
s.
The Pakistan Credit Rating Agency Limited (PACRA) has maintained bank’s credit rat
ing at “AA“ for the long term and “A1+” for the short term and “AA-” for the Term Finance C
rtificates reflecting bank’s well maintained risk profile with preserved sound ass
et quality.
Table of Contents
Letter of Undertaking 3
Scan Copy of internship report 4
Dedicated to 5
Acknowledgement 6
Executive Summary 7
Table of Contents 9
Overview of the organization 13
History of banking sector of Pakistan 13
Introduction of bank Alfalah 14
Islamic Banking 15
Corporate and investment banking 16
Key Objective of this division is: 16
Nature of the organization 17
Business Volume 19
Progress on date 19
Vision statement of Bank Alfalah 21
Mission Statement of bank Alfalah 21
Bank Alfalah Slogan 21
Key corporate value 22
Core value 22
Core objectives of Bank Alfalah 23
Brand personality 24
Staff 24
Relationships 24
Service quality 24
Service offer 25
Product lines and Brand portfolio of bank Alfalah 25
Deposit Products 25
Consumer Finance Products 29
Auto Leasing and Financing 29
Corporate & Individual Car Leasing 30
Credit Cards 30
Bank Alfalah Hilal Debit Card 30
Consumer durables 31
Home Finance 31
Alfalah Karobar Finance 32
Alfalah Zarie Sahulat 32
Structured Finance 32
Travelers Cheques 33
Money Gram 33
Online banking 33
Islamic Banking 33
Strategies of branding used by the organization 33
Product line strategies 34
Deposit Accounts at Bank Alfalah 34
Corporate Branding Strategy 34
List of Main Clients 35
Organizational structure 36
Board of directors 36
Board Audit Committee 37
Board Credit, Finance & HR Committee 37
Board Risk Management Committee 38
Central Management Committee 38
Chief Operating Officer 38
Chief Financial Officer 39
Auditors 39
Organizational Hierarchy: 40
Number of employees in the organization till 2008 42
Organization branch Chart 43
Number of employees in the organization (Branch) 44
Introduction of all Departments and there duties and responsibilities 44
Assistant manager/operation manager 46
IT Department 48
Head Cashier (Cash Department) 50
Remittances & Clearing and Account Department 52
Comments on the organization structure 54
Plan of my internship program 54
Overview of the branch 54
Starting and ending dates of internship 55
The departments in which I got training 55
Duration of training 55
Accounts opening 55
Individual Account 58
Sole-proprietor Accounts 58
Business man Accounts 58
Minor Account 59
Illiterate Person Account/ Photo Account 59
The Mask Women Account 59
Companies Accounts 60
Joint Accounts 60
Liquidator Account 60
Partnership Account 61
Trust Account 61
Closing an Accounts 62
Current Account 62
Other working responsibilities of accounts opening department 65
Remittances & Clearance department 66
CLEARING 66
INWARD CLEARING 66
OUTWARD CLEARING 66
ONLINE CLEARING 67
OUTWARD BILLS FOR COLLECTION (OBC) 67
TRANSFERS 67
INTERNAL TRANSFERS 67
ONLINE TRANSFERS 68
Remittances 68
PAY ORDER 68
Procedure for Transferring Money through Pay Order 68
DEMAND DRAFT 69
OUTWARD DD’S 69
INWARD DD’S 69
FOREIGN REMITTANCES 69
CASH TRANSFERS 70
Credits Department 70
Funded Credit Line Facility 70
Current Finance 71
Karobar Finance 71
Procedure for Milkiat Finance 71
Unfunded Credit Line Facility 71
Letter of Credits 72
Letter of Guarantees 72
Process for LC’s & LG’s 72
Types of Securities 73
Accounts 73
MAJOR ACTIVATES 73
MAINTAINING ACCOUNT OF CUSTOMERS 74
MONITORING & POSTING DAILY 74
FUNCTIhONS 74
Detail description/Conclusion of my work in different departments 76
Accounts 76
Remittances and Clearing 76
Credits 76
Accounts 77
Structure of marketing department 78
Number of employees in the marketing Department 78
Marketing operations 78
Function of market department 80
Marketing Strategies 80
Market Segmentation Strategies 80
Product planning and development 81
Positioning 81
Positioning strategies 82
Pricing Strategies 82
Strategy: 83
Distribution Decision: 83
Bank Credit Cards: 84
Promotional strategy 84
Strategy: 84
Promotion Decision: 85
Structure of sale department 85
Number of employees 86
Sales operations 86
Functions of the Sales department 86
Sales methodology 86
Types of selling 87
Sales return procedures 87
Customers Service department 87
Critical Analysis 89
SWOT analysis of the organization 90
Strengths 90
Weaknesses 90
Opportunities 91
Threats 91
Conclusion 91
Recommendation 92
References 92
Annexes 93
Figures and Tables
Figure 1 55
Figure 2 57
Table 1 18
Table 2 19
Table 3 26
Table 4 27
Table 5 27
Table 6 29
The bank is engaged in commercial as well as Islamic banking and related service
s as defined in the Banking companies’ ordinance, 1962.The main head branch of Ban
k Alfalah is located in Karachi. The bank through its subsidiaries provides reta
il, commercial banking and corporate finance products and services in the Asia P
acific, Pakistan and the Middle East. It provides services such as lending loans
and accepting deposits, finance leasing, credit cards and money transfer servic
es. It also offers advances to business, trade, industry and agriculture. The ba
nk offers services through its network of 283 branches that includes 48 Islamic
and 7 foreign branches and 236 state of the art ATMs. It has Conventional Branch
es, Overseas Branches, Sales and Service Centers, ATM machines and Islamic Banki
ng Branches.
Islamic Banking
Bank Alfalah Limited has a strong commitment to Islamic Banking with objective
of operating “Shariah Based Banking” in the country. Bank Alfalah’s Islamic Banking D
ivision (BAL-IBD) started operations in 2003 and at its yearend reflected a mode
st capital base of Rs 100 million and deposits totaling Rs 113.7m. By following
yearend, BAL-IBD’s equity had risen more than 4 times to Rs 569m and the balance s
heet footing had swelled to Rs 7,799 million. Deposit size had grown from less t
han Rs 114m to over Rs 7,229 million.
Subsequently network of branches has increased to 48 in various city of the coun
try. Islamic Banking offers various Assents and liabilities products, which are
based on the principles of Shariah. The Bank strictly adheres to the essential a
nd model agreements for Islamic modes of financing approved by Sate Bank’s Shariah
Board. In addition, the day-to-day operations are monitor by Shariah Advisor. T
he Bank offers Deposit Product on Profit/ Loss sharing basis based on Musharakah
, Mudaraba.
The major products for financing are Murabaha, Salam, Ijarah, etc. In addition t
o these, other products are tailored in according with the requirement of the cu
stomers strictly based on Shariah principles. Therefore personal financial consu
ltancy service for Islamic Banking products are provided free of cost to our cus
tomers.
Public response to Islamic banking has been very encouraging which has further s
trengthened the faith and confidence in this sector and bank has further committ
ed to expand in this area.
Commercial banking includes project finance, corporate finance, real estate, exp
ort finance, trade finance, factoring, leasing, lending, guarantees, bills of ex
change and deposits.
4. Corporate finance
Corporate banking includes services provided in connection with mergers and acqu
isition, underwriting, privatization, securitization, research, debts (governmen
t, high yield), equity, syndication, IPO and secondary private placements.
Also there are subsidiaries of Bank Alfalah and its percentage holding and these
are
1. Alfalah securities (Private) Limited 76%
Bank Alfalah Limited has the following associates and there percentage holding i
n these associates
Table 1
1. Warid Telecom (Private) Limited 8.76
%
2. Alfalah GHP Value Fund
15.06%
3. Wateen Telecom (Private) Limited 20%
4. Alfalah Insurance Limited
30%
5. Alfalah GHP Income Multiplier Fund 54.40%
6. Alfalah GHP Islamic Fund
66.56%
7. Alfalah GHP Investment Management Limited 40.22%
As from the above the Abu Dhabi group invested in financial institution having g
ood holding power on them. The six year financial growth of Bank Alfalah is as f
ollows
Table 2
Table of BAL Growth profile
(Rs,000)
Year 2003 2004 2005 2006 2007 2008
Investments 28904 35503 57416 56502 88492 75973
Advances 49216 88931 118864 149999 171199 192671
Deposits 76698 129715 222345 239509 273174 300733
Profit before taxation 3506 1654 2563 2566 4536 1795
Profit after taxation 2123 1092 1702 1763 33130 1301
Form the above table its have been shown that Bank Alfalah has committed to inve
st in different investment portfolios and earn from them from year 2003-2007 but
decrease in 2008 due to instability of the government. Also the deposits of the
BAL increases from
year to year which shows the commitment of Bank Alfalah to there customers. Also
from the table its Cleary shown that the profit of bank alfalah is tremendous e
specially in the year 2007 which amount to 33130000 Rs.
Business Volume
Recently growth in volumes with over 18.10% increase in export business
and in imports round to be 3.247% where as deposits and advance increased by ove
r 10% and a positive growth in pre-tax profit over the year 208-2007. The major
sectors which contributed to growth are Agriculture, Manufacturing, telecom and
Services side.
Progress on date
. Bank Alfalah Limited was incorporated on June 21st, 1992 as a public limited c
ompany under the Companies Ordinance 1984. Its banking operations commenced from
November 1st, 1997 with a paid up capital of of Rs. 13491.6 M. till year sep31
2009, the Bank has achieved sustained growth with a network of 239 branches acro
ss the country. The Equity stands at PKR 19457.8 M and Total Assets of PKR 22927
.8M were closed of Sep 30 year 2009. The strength and stand of Abu Dhabi Group,
principal owners of BAL, have helped Bank Alfalah Limited launch high quality co
nsumer and corporate banking operations in Pakistan. Bank Alfalah Limited have e
mbarked upon a rapid expansion program to make sure that the services reach more
and more people, BAL is headed towards an optimum sized network reaching major
urban centers in Pakistan.
The Bank is well positioned and geographically poised, to cater for increased bu
siness demands, from its existing and potential clientele.
The bank is not only making its contribution in accelerating Pakistan’s economy.
There are 283 Branches of Bank Alfalah Limited in 75 different cities of Pakista
n, with the registered office at B.A.Building, I.I.Chundrigar Karachi. With the
implementation of the office automation and communication system BAL will be poi
sed to compete with the best in quality and speed of customer services.
Charged with the strength of the Abu Dhabi based consortium, and under the leade
rship of Highness Sheikh Nahayan Mabarak Al-Nahayan, Minister of Education, Gove
rnment of Abu Dhabi, and a prominent member of Royal Family – the bank is energize
d with the vision, envisaging the development of consumer sector in Pakistan.
Bank Alfalah has emerged as one of the leading commercial banks in the financial
sector of Pakistan. Bank has made significant contribution in building and stre
ngthening both the corporate and retail banking in Pakistan.
Prioritizing its product portfolio in line with consumer needs and wants, the ba
nk is committed to develop products that give more value to its customer – be it a
simple bank
To develop & deliver the most innovative products, manage customer experience, d
eliver quality services that contributes to brand strength, establishes a compet
itive advantage and enhances profitability, thus providing value to the stakehol
ders of the bank.
Brand personality
A sober and established, strong, empathic, professional Person; who is an extrem
ely loyal and dependable friend and business partner, and is committed to offeri
ng comprehensive value-based Business financial solutions.
Staff
Committed, motivated and professionally trained employees who are empathic to th
eir customer’s needs
Relationships
Build long term relationship with Customers. The bank recognize and give value t
o there customers’ needs above all, and strive to ensure their fulfillment. All cu
stomers are treated with professionalism and in a friendly manner. It is the ban
k endeavor to ensure that they receive efficient and timely service. The BAL exp
erience is unique one.
Service quality
Bank Alfalah is committed to delivering its products and service within the high
est service quality parameters. The Bank prides itself for the relentless pursui
t of excellence in all spheres of its activities.
The aim is to be recognized for consistently providing superior service quality
to the customers. The mission of bank itself clearly defines the parameters of t
his goal:
“To develop & deliver the most innovative products, manage customer experience, de
liver quality services that contributes to brand strength, establishes a competi
tive advantage and enhances profitability, thus providing value to the stakehold
ers of the bank. ”
Service excellence requires a special way of thinking, feeling and behaving towa
rds customers. It is a state of mind, an attitude and a way of seeing the world
that motivates our team members to give their best. It is in essence a service m
indset, exemplified in every member of Bank Alfalah family.
To achieve and maintain this mindset, the Bank has dedicated Service Quality dep
artment that is responsible to promote and implement our service mission at all
levels. A Service Quality structure has been implemented throughout the Bank wit
h dedicated staff assigned to each branch. Special attention is also being given
to the training of staff and regular’ service huddles’ are organized on a monthly b
asis to discuss service issue. Mystery shopping is being carried out nationwide
to analyze employee performance, transaction turn around time and overall percep
tion of Bank Alfalah experience.
A centralized complaint resolution department (Customer Care Unit) has also been
set-up to deal with all customer complaints and queries.
Service offer
• Full range of Corporate and Retail Banking services with special emphasis t
o provide quality and competitive services to SME.
• Highly professional and efficient treasury operations and a world wide network o
f correspondent. A complete range of products for Trade Finance, one of our core
banking activities.
• Funds transfer service through One-Line Banking and the Bank’s own ATM’s network, C
eque-Free banking and Bank Alfalah VISA Debit Card and wide range of value added
services.
• A wide range of attractive saving scheme to suit all segments of investment, con
sumer Finance Schemes and other Banking products catering to the needs of a vari
ety of customers.
Alfalah EDUCATION
Alfalah education is a one year TDR that can be purchased by people having schoo
l going children’s. A person can purchase a unit for Rs 100.000, with a maximum of
3 years. This TDR pays 7%, paid at maturity and gives an additional advantage o
f giving monthly school fee of the children’s if the breadwinner of the family die
s. The following are the details of this account
And there are different credits cards for different customers. And these includ
e platinum, titanium, Gold& Silver, Supplementary Cards.
Card it is accepted at nearly 29 million locations in more than 150 countries a
round the globe and at over 27,000 establishments in Pakistan
Alfalah Titanium Card
Titanium MasterCard is your partner everywhere and is globally accepted and welc
omed at locations displaying the MasterCard logo.
Alfalah Gold & Silver Card
Alfalah Gold & Silver Card is a perfect card combination for all segments of sal
aried & professional individuals in the country.
Bank Alfalah Hilal Debit Card
Bank Alfalah through its commitment to provide superior and improved services to
its valued customers, has unveiled a nationwide network of ATMs. Bank Alfalah i
ntroduce Alfalah Hilal Card the revolutionary, new-age form of cash that provide
s greater freedom, security and convenience combined with the wide reach of Visa
Network. This card can be use for all financial needs around the world, round t
he clock, wherever; Visa electron cards are accepted locally and internationally
. It gives an unlimited access to the current/Saving account with a simple swipe
, at millions of retail shops or ATMs, worldwide. Bank Alfalah Limited ATM netwo
rk is geared up to exploit the latest technology, and is equipped to meet the hi
ghest standards of security and efficiency.
Consumer durables
Bank Alfalah continually strives to improve and add products to its consumer
banking service. BAL launched Micro-Financing of consumer durables on August 04
, 2003, which is yet another milestone towards its commitment of meeting all the
financial needs of esteemed customers. The scheme is basically a term finance f
acility repayable in monthly installments, giving customers an opportunity to ow
n housed products. In this way, this product is facilitating the customers and h
elping them out to improve their standard of living.
Home Finance
This product which was launched on September 01, 2003, provides
a wider range of Home Finance tailor-made plans, designed specially to meet cus
tomers’ need at a very competitive rate. At present, Bank Alfalah is the only Bank
in the market, which offers a house finance scheme for non-resident Pakistani c
ustomers based in the UAE besides Pakistani residents. Housing finance is availa
ble from Rs.0.500 million to Rs.7.50 million to purchase, renovate or construct
a house/apartment. Important points are as under:
Payment period ranges from 3 to 20 years.
Owner only invest 30% of the value of property.
Loan can be repaid before maturity without any penalty.
Borrower’s age must be between 25 to 65 years.
Salaried persons, businessmen and self-employed people are eligible.
Financing is also available for purchase of residential land.
Complete freedom to move between floating and fixed rates.
Financing available to resident & non-resident Pakistanis.
Minimum amount will be Rs.05.500 million & maximum of Rs.7.50 million.
Mark-up option available for floating & fixed rates.
Online banking
Bank Alfalah now offers the facility of on-line banking to its customers through
its country wide network of branches. Customers can use the ATMs or the banking
counters of any branch for day-to-day banking needs, irrespective of branch whe
re they maintain their accounts.
For Corporate customers centralized Cash Management facility is also offered thr
ough on-line banking.
Islamic Banking
A separate division is a recently initiated, which operates as separate branch
. It offers Shariah Compliant products through a network of f branches nation wi
de Bank Alfalah Limited has a strong commitment to Islamic Banking with objectiv
e of operating “Shariah Based Banking” in the country. Bank Alfalah’s Islamic Banking
Division (BAL-IBD) started operations in 2003 and at its yearend reflected a mod
est capital base of Rs 100 million and deposits totaling Rs 113.7m. By following
yearend, BAL-IBD’s equity had risen more than 4 times to Rs 569m and the balance
sheet footing had swelled to Rs 7,799 million. Deposit size had grown from less
than Rs 114m to over Rs 7,229 million. It gives following products to its custom
ers
1. Alfalah Masharaka Homes
2. Murabaha Finance
3. Aflalah Car Ijarah
• UBL
Organizational structure
The following is the structure of Bank Alfalah management in the organization
Board of directors
H.H. Sheikh Hamdan Bin Mubarak Al Nahayan Chai
rman of BAL
Mr. Abdulla Khalil Al Mutawa
Board of Director
Mr. Abdulla Nasser Hawaileel Al-Mansoori
Board of Director
Mr. Khalid Mana Saeed Al Otaiba
Board of Director
Mr. Ikram Ul-Majeed Sehgal
Board of Director
Mr. Nadeem Iqbal Sheikh
Board of Director
Mr. Sirajuddin Aziz
Chief Executive Officer
Auditors
A.F. Ferguson & Co.
Chartered Accountants
Organizational Hierarchy
Organizational Hierarchy:
It’s a general hierarchy of bank which is showing about the main authorities of Ba
nk Alfalah Limited who are controlling its management in Pakistan. Bank’s managem
ent is divided into different groups, regions and areas. Co-chairman is providi
ng supervision to group heads that are responsible for controlling the affairs o
f different groups. After group heads in the hierarchy, there are regional, hub
and area managers who are managing and guiding the working of different branche
s of bank. Now I show you the whole authorities in Flow chart wise.
Answer
1. Check out programs and planning to secure fresh deposit. Execute marketi
ng plans for promotion of banking services.
2. Call on existing & potential clients for promotion of new business.
3. Increase profitability of the branch by fresh advances and keeping contr
ol on the unnecessary expenses.
4. Ensures implementation of SBP regulations and Bank policy and procedures
.
5. Supervise timely submission of the periodical statements/reports to the
concerning quarters.
6. Supervise opening of new accounts and ensure strict compliance with the
guidelines instructions and measures relating to KYC & anti money laundering etc
.
7. Facilitates the work of and provide necessary information regarding SBP
record & internal Auditors and proper follow up.
8. Regulates discipline at the branch for smooth running of the work.
9. Supervise daily branch opening & closing.
10. Supervise safe cash handling in accordance with the bank’s policies and re
gulatory requirements.
11. Supervise all banking transactions according to manager level.
12. Test Keys handling and safe custody of credit documents.
13. Ensures safe custody of the banking record, security of the branch and a
uthorized of Fixed Assets of the bank.
14. Resolve staff problems and matters relating to their increments, promoti
ons, rotation and regulate leave program.
15. Ensures B.O.P is updated whenever there is any change.
16. Ensures periodical balancing is properly done.
17. Respond to E-mail enquires.
18. Ensures timely renewal of credit limits
19. Performs any other function assigned by the superior
20. Maintain Budget of the bank and take steps to maximize it
3. Critical Challenges:
What are the critical challenges of this position? (e.g. foster positive rel
ationships with external vendors, research & resolve complex requests for inform
ation in the absence of a higher authority, determine all systems specifications
and requirements and ensure that they fall within the approved standards and s
trategy).
Answer
Fully conversant with the bank’s policies, procedures mention in the bank policies
and regulation. SBP rules & regulations and manage to run the branch business a
ccordingly. To keep check on services those are provided to the clients and reso
lve their problems up to their satisfaction.
IT Department
The following are the responsibilities, duties and work done IT Departme
nt
1. Position Summary
What is the main purpose of this position? Why does it exist? (e.g. to admi
nister client database; to create marketing strategies; to provide administrati
ve support to department etc.)
Answer
Provide support to user following instances of system faults. Perform star
t of day routines and carry out end of day routines.
2. Principal Accountabilities
What are the major responsibilities of this position? List the What, How and Why
of each responsibility and provide examples, as necessary. Use specific verbs o
f action, such as “files”, “manage”, “analyses”, etc.
Answer
1. Provide trouble-shooting support to users in case of on line delays, hang
s-up and error messages.
2. Issue ATM cards following approvals by the Branch Manager.
3. Restrict access to IT facilities at the branch for authorized purposes o
nly.
4. Update on line Bank System including transfers to Smartbank, editing, cl
osing of host, and hand over files to COK.
5. Execute weekly and periodical backups of active files and transfer backu
ps to the IT Division
6. Use Net meeting facility to expedite removal of system faults.
7. Scan customers specimen signatures and update system
8. Raise requisitions for stationery.
9. Prepare the branch’s Daily position.
10. Retain log of instructions for file changes and system updates received
from the I.T. Division
11. Apply for CIB reports & submit reports to SBP.
12. Print periodical statements.
13. Perform any other functions assigned by the Branch Manager.
14. Updates and disburses salaries.
15. Arrange replenish the ATM as ATM officer along with cashier.
3. Critical Challenges:
What are the critical challenges of this position? (E.g. foster positive rel
ationships with external vendors, research & resolve complex requests for inform
ation in the absence of a higher authority, determine all systems specifications
and requirements and ensure that they fall within the approved standards and st
rategy).
Answer
To provide I.T. support to the users at the branch level
4. Unique Knowledge & Skills
What critical knowledge and competencies are needed to successfully perform
this position (e.g. word processing skills, sales experience, demonstrated leade
rship, specific educational requirement or technical training, etc.)? How many y
ears of each are needed?
Answer
Need to be knowledgeable about basic hardware and software troubleshooting, s
tandard transaction processing and do-it-yourself trouble shooting routines by t
he functional superior
5. Contacts
Who (internal/external) does this position interact with on a regular basis
to perform this role? How often and for what purpose?
Answer
External
1. System maintenance service providers.
2. Hardware maintenance support providers.
Internal
Branch Manager, Users at Branch, I.T. Div COK/HO
3. Critical Challenges:
What are the critical challenges of this position? (e.g. foster positive relat
ionships with external vendors, research & resolve complex requests for inform
ation in the absence of a higher authority, determine all systems specifications
and requirements and ensure that they fall within the approved standards and
strategy).
Answer
Offer services to customers courteously up to their satisfaction with in the fra
me work of Bank’s policies.
4. Unique Knowledge & Skills
What critical knowledge and competencies are needed to successfully perform thi
s position (e.g. word processing skills, sales experience, demonstrated leadersh
ip, specific educational requirement or technical training, etc.)? How many year
s of each is needed?
Answer
Speedy service, customer management and detection suspicious documents and no
tes
5. Contacts
Who (internal/external) does this position interact with on a regular basis to
perform this role? How often and for what purpose?
Answer
External
Customers, SBP auditors and security service Provider.
Internal
Branch Manager, Customers and auditors.
6. Problem Solving & Decision Making
a. Describe the type of decisions made by this position on a regular basis Pr
oper scrutiny of documents and notes
b. What types of decisions are referred to the next level?
Answer
Could not be resolved by the incumbent
Remittances & Clearing and Account Department
The following are the responsibilities, duties and work done Remittances & Clear
ing and Account Department
1. Position Summary
What is the main purpose of this position? Why does it exist? (e.g. to admi
nister client database; to create marketing strategies; to provide administrati
ve support to department etc.)
Answer
The incumbent handles Bills/Clearing/Remittances
2. Principal Accountabilities
What are the major responsibilities of this position? List the What, How and Wh
y of each responsibility and provide examples, as necessary. Use specific verbs
of action, such as “files”, “manage”, “analyses”, etc.
Answer
• Receives Local cheques instruments for collection and credit proceeds in the res
pective accounts.
• Receives outstation cheques and instruments for collection proceeds and credit i
n the/cs.
• Handles I/W,O/W clearing.
• Issue P.O./D.D./ T.T./CDR./Bankers Cheques and payment.
• Issue cheque books to the account holders, maintain their record and posting in
the system.
• Maintain daily voucher Register.
• Balance books of accounts periodically.
• Arrange Nadra verification of CNIC from Main Branch for opening of A/Cs.
• Makes necessary correspondence relating to own deptts.
• Indents/purchases stationery or branch use.
• Maintain Zakat Register and files.
• Process on line transactions.
• Custodians of stamps on hand.
• Custodian of security stationery.
• Checks batch posting.
• Supervise the transfer cheques and vouchers.
• Deduct monthly installments of consumer’s finances.
• Transfer E/Duty on monthly basis and maintains relevant record.
• Cheques daily extracts of BAL Account and On-Line transactions.
• Maintains specimen signature Books.
• Performs any other function assigned by the branch Manager.
3. Critical Challenges:
What are the critical challenges of this position? (e.g. foster positive rel
ationships with external vendors, research & resolve complex requests for infor
mation in the absence of a higher authority, determine all systems specification
s and requirements and ensure that they fall within the approved standards an
d strategy).
Answer
Resolve Clients problems in complying with Bank’ Policy and Procedures, SBP
Rules and Regulations
4. Unique Knowledge & Skills
What critical knowledge and competencies are needed to successfully perform
this position (e.g. word processing skills, sales experience, demonstrated leade
rship, specific educational requirement or technical training, etc.)? How many y
ears of each is needed?
Answer
1. Thorough understandings of Bank’s Policies, procedure and SBP regulations
relating to the Job
2. Clear understanding of Bank Smart system
5. Contacts
Who (internal/external) does this position interact with on a regular basis
to perform this role? How often and for what purpose?
External
Customers Clients
Internal
Branch Manager, Customers and auditors
6. Problem Solving & Decision Making
a. Describe the type of decisions made by this position on a regular basis of
matters relating to General Banking
b. What types of decisi
ons are referred to the next level?
Answer
Could not be resolved by the incumbent
Duration of training
Department Duration
Accounts opening 2 Weeks
Remittances& Clearing 2 Weeks
Credits 1 Weeks
Accounts 1 Weeks
There are different types of accounts and the officer knows how to open the part
icular type of account. The details of the different accounts and there requirem
ents are as follows
Basically there are two types of accounts and these are mention below
Figure 2
Before I discuss these accounts I first discuss categories of Accounts
Categories of Accounts
In categories of Accounts I only mention different kind of entities who o
pen there accounts according to there needs and wants. And these are as follows
1. Individual Account
2. Sole-proprietor Account
3. Business man Accounts
4. Minor Account
5. Illiterate Person Account
6. The Mask Women Account
7. Companies Account (Public & Private)
8. Joint Accounts
9. Liquidator Account
10. Partnership Account
11. Trust
The above are the entities that opens an accounts in the banks to meet there spe
cific needs. It depends on them that which type of accounts they open in the ban
k. Whether they open different current accounts or saving accounts
Now I discus the documents required for these entities to open an account in the
bank that really known to the officers
Individual Account
This is the individual entity who open an account in the bank
to meet there own specific or personal needs. These students, children etc. this
can open any type of account in the bank like current/ saving accounts accordin
g to there needs.
Documents required
• Reference to open an account
• NIC valid card
• Info of source of income required /for children there source of income is there
father
• Personal information required
Sole-proprietor Accounts
These are the entities to open accounts in the banks to meet there retail b
usiness needs. These include local small retail business man who control there w
hole function of business.
Documents required
• Reference to open an account
• NIC valid card
• Info of source of income required (Address Pad and Stamp of there retail busine
ss )
• Personal information required
Minor Account
These are that entities/person whose age is below 18 and wants to opens an acco
unt in the bank. There Guardian sign there cheques on behalf of there minors
Documents required
• Reference to open an account
• NIC valid card
• Info of source of income required /for children there source of income is there
father
• Personal information required
Other Supported documents require
• Letter of undertaking
• N.I.C verification by VERSAC Software
• KYC
• SSC (System Signature Card)
Joint Accounts
This account is develop for the two or more entities or persons who sha
ring there accounts and have equal power to hold that account.
Documents required
• Reference to open an account
• NIC valid card of the number of persons who share there accounts
• Info of source of income required
• Personal information required
Closing an Accounts
The Bank Close an accounts by doing the following confirmation
The candidates apply for closing an account. Than this application transfer to t
he clearing department and if the clearing department clear the application than
the account is close.
If the balance is zero for more than 6 moths the bank give notice for 14 days. A
nd if there is no response from the account holder the account is closed by the
bank.
Now I discuss the current and saving accounts offer by bank alfalah to there cus
tomers
Current Account
Basic Current Account
Current Accounts are non interest bearing accounts that have a minimum account
opening requirement of Rs 10,000. No zakat is deducted on the accounts balance.
Furthermore all current account holders receive a Hilal debit card and there ar
e no restriction on the number of withdraws or deposits made to and from the acc
ount.
BASIC BANKING ACCOUNT (BBA)
Basic Banking Account was introduced by banks on an order by the State Bank of P
akistan and is current in nature. There is no minimum balance requirement for BB
A, however initial deposit must be Rs 1000. Maximum two withdrawals and deposits
are allowed by cheque, while there is no restriction on ATM withdrawals.
KIFAYAT ACCOUNT
Kifayat account is another saving account product that can be opened with a mini
mum balance requirement of Rs 10,000, with a maximum limit of Rs 1 million. Prof
it is calculated on a monthly basis, while it is credited on quarterly basis. Ba
nk Alfalah pays 7% pa interest on Kifayat Account.
MAHANA AMDAN ACCOUNT
Mahana Amdan account is Term Deposit Receipt (TDR) for three years that can be o
pened with a minimum balance requirement of Rs 100,000, with a maximum limit of
Rs 15 million. Profits are paid at 10% pa, credited on a monthly basis. Other fe
atures of this account include free personal accident insurance and automatic re
newal for another 3 years, after the expiry of original period. The following ar
e the details of this account
Amount in Rupee Proposed Rates (P.A)
Three year term Deposits 10.0%
One year term deposits (deposits raised up to March 07, 2009 ) 13.50%
One year term deposits (deposits raised after March 07, 2009 ) 105.0%
Alfalah EDUCATION
Alfalah education is a one year TDR that can be purchased by people having schoo
l going children’s. A person can purchase a unit for Rs 100.000, with a maximum of
3 years. This TDR pays 7%, paid at maturity and gives an additional advantage o
f giving monthly school fee of the children’s if the breadwinner of the family die
s. The following are the details of this account
Credits Department
The credit departments of Bank Alfalah work with both SME’s and corporate clients.
There are two major categories of credit line facilities that Bank Alfalah prov
ide to its customers
• Funded Credit Line Facility
• Unfunded Credit Line Facility
Funded Credit Line Facility
There are three major products that come under the funded credit line facility:
• Current Finance
• Karobar Finance
• Milkiat Finance
Current Finance
Current Finance is a short term facility mainly provided to companies. It provi
des the customers with the funds over a period of time, mainly one year. The mai
n advantage of the current finance facility is that markup is only charged on th
e utilized part of the finance facility and is mainly used by companies for thei
r working capital management.
The bank to provide this facility keeps a security; mainly a mortgaged property
and can provide 60% of its assessed value as funds.
Karobar Finance
Alfalah Karobar Finance is another short term facility that is only provided to
individuals and sole proprietors. This facility also has one year validity with
markup charged on the amount used.
This facility again provides individuals to maintain their working capital manag
ement and is again given to individuals for a security. The conditions for curre
nt finance and karobar finance are same with one big difference, which is that i
n karobar finance, the individual has to clear all his balance in his account, o
nce in a year.
Milkiat Finance
Alfalah Milkiat Finance is a long term facility that is provided to SME’s and ther
e are four main types of facilities provided:
• Acquisition of rented commercial/industrial property
• Construction on an owned commercial/industrial plot
• Purchase of a commercial/industrial property
• Renovation of owned commercial property
• Some of the features of Milkiat finance are as follows:
• Tenure of 2-12 years except for renovation, which is for 2-4 years
• Mark up of (KIBOR+4%)
• Financing from Rs 0.5 million to Rs 20 million, renovation financing up to 3.5 m
illion
• Eligibility age should be less than 65, with 3 years of existing business
Procedure for Milkiat Finance
All documents are gathered from the customer, and then they are sent to the CIB,
which sends a CCIR to the bank. Other forms of verification also take place in
this process. Later a valuation is done of the property to see how much financin
g can be provided.
After the valuation process is complete, a CLP is made by the bank, which with o
ther documents is sent for approval to the area office.
When the area office approves the application, the customer is called into the b
ank to give the security papers to the bank and also gets all legal documents ar
e signed and the money is transferred to the bank.
Unfunded Credit Line Facility
• There are two types of unfunded credit line facility, which are as follows:
• Letter of Credit (LC)
• Letter of Guarantee (LG)
Letter of Credits
A letter of credit is a written undertaking by a bank (issuing bank) given at th
e request and accordance of a buyer (the applicant) to the seller (the beneficia
ry) to a fact payment up to a stated amount of money within prescribed time limi
t provided that the terms and conditions are complied with. Letter of Credits is
sued in the international trade business.
There are two types of Letter of Credits:
1. Usance
2. Sight
Usance
Usance LC is a form of LC, whereby the bank engages to honor the benefic
iary usance draft on an acceptance that the items are in accordance with the con
ditions. Payment is made against acceptance.
Sight LC
Theses are letter of credit where the bank engages to honor the benefici
ary’s sight draft upon presentation provided that the documents are in accordance
with the conditions of the L/C. This is a more safe form of letter of credit as
payment is made against the documents.
Letter of Guarantees
Letter of guarantees is a guarantee that the bank gives to an organization on be
half of the bank. Letter of Guarantee’s are mainly used when a tender for a specif
ic job is filled by a customer. There are three main types of LG’s:
Bid Bond: Bid Bond are filled at the time of filling out the tender and states t
hat if the company is given the tender, it will start working on it and will not
walk away
Performance Bonds:
Performance Bonds are issued to the beneficiary, to guarantee him that
the applicant of the tender will perform the contract under a specific period o
f time. Performance bonds are issued after the tender is approved of the applica
nt.
Mobilization against LG (MALG): This is a guarantee that the bank gives when the
beneficiary (the firm that issued the tender) that pays an advance of tender to
the applicant (the firm that gets the tender), that he will return that advance
amount.
Process for LC’s & LG’s
The process for LC’s and LG’s is a ten step process:
1. A request letter for the facility is received by the bank
2. All documents pertaining to the facility are received
3. Documents are looked over by the lawyers
4. CCIR is received from the CIB
5. A CLP is made
6. Borrowers Basic Fact Sheet (BBFS) is made
7. Credit Facility Application Form is filled by the customer
8. Documents are sent to the Area Office for approval
9. Documents relating to the security is kept by the bank
10. Letter is issued to the customer
Types of Securities
Some of the types of securities that the bank may keep as a part of security for
both funded and unfunded credit line facilities are:
• Mortgage of Property
• Pledge of Stocks
• Hypothecation of Stocks
• Lien on Stocks & Securities
Accounts
Most important department of the bank is concerned with
1. Revenues
2. Expenses
3. Assets
4. Liabilities
These are the pillars of business.
In this department, all the vouchers are posted during one day are sent to Accou
nts department next day. These vouchers are already posted to computer by the co
ncerned department. The accounts department has to tell that all the vouchers ar
e posted under the right head. Amount, date, stamps, signatures all the requirem
ents for cheques and vouchers are fully checked. If any kind of renovation or co
nstruction or rebuilding is done, all is paid from the Accounts department. Like
petrol for the car, stationary charges, medical allowances, etc are all paid by
this department
MAJOR ACTIVATES
Accounts department is totally a backend department and is not linked to
customers at all. All the day’s transactions inside, outside the branch and for o
ther banks are handled with this department. This is one of the most sensitive d
epartments because the customers account are credited and debited solely by this
department so there is a very strict check and balance system for this departme
nt and each transaction is monitored and rechecked at least twice and supervised
even by Manager Operations if amounts are high. Major activities in accounts de
partment are
• Maintaining accounts of customers
• Monitoring & posting daily activities and transactions
The major activates are to update customer’s account continuously and on daily bas
is. Because more of less each and every account is been credited or debited by s
ome amount so the purpose of this department is to make sure that the right pers
on’s account is credited and debited.
MAINTAINING ACCOUNT OF CUSTOMERS
Once the account is created by the Account Opening Department it is not duty of
accounts department to continuously monitor each and every account on daily basi
s. They monitor which account is performing well and which is not? Which account
and which customer needs special care and special services? There are special a
ccounts associated with credits and loans they are monitored specially.
MONITORING & POSTING DAILY
ACTIVITIES & TRANSACTIONS
Monitoring daily activities include each and every transaction from all customer
s’ accounts including, ATM transaction, International remittance, local remittance
, inward and outward transactions etc. The responsibilities in the accounts depa
rtment are to debit and credit each and every transaction, monitor it, supervise
it and special transactions which require supervision by higher authorities sho
uld be supervised.
FUNCTIhONS
REPORTS
It generates reports like Statement of Account Activity (a report on the activit
y of all accounts at Bank Alfalah Azam Market), Statement of Affairs (a report o
n the assets and liabilities of Bank Alfalah Azam Market), Statement of Foreign
Exchange (a report on the foreign exchange currencies at the bank) and Statemen
t of Profit & Loss (a report on the income and expenditures of Bank Alfalah Azam
Market). These reports can be generated at daily, weekly, monthly, quarterly or
yearly basis as required by the bank.
INCOME AND EXPENSE
The department also needs to calculate the revenues and expenses, c
ontrol expenditure and forecast profits every month.
BUDGET
Formulation of yearly budgets & targets in consultation with the bran
ch manager is also done by the accounts department.
STORAGE OF RECORDS
Accounts Department also has the duty to store vouchers and system generated rep
orts.
PAYMENTS
The accounts department is responsible to pay vendors on behalf of the bank with
authorization from the branch manager. It also has to amortize large payments a
nd calculate depreciation of branch assets.
ACTIVITY CHECKING
In the accounts department, I had to do daily activity checking and there are fo
ur stages in which activity checking takes place:
1. Collecting vouchers, cheques etc from all departments
2. Sorting Vouchers
3. Checking Activity
4. Packing
COLLECTING VOUCHERS
The first stage of activity checking is collecting all vouchers, cheques, DD’s, pa
y order, pay slips etc from all departments of the bank. Mainly vouchers come fr
om the operations department. After collecting these vouchers etc from the depar
tments, we need to check if all stamps are stamped on these vouchers etc.
SORTING VOUCHERS
After all vouchers are collected, they need to be sorted into eight categories:
1. Customer Debit: Includes debit vouchers and cheques
2. Customer Credit: Includes credit vouchers and credit slips
3. Income: Income vouchers
4. Expenditure: Expenses vouchers and payment vouchers
5. Others: Includes vouchers about excise duty, FED, teller, ATM, payables etc
6. Online: Contain online vouchers and online credit slips etc
7. Head Office (H.O): Includes HO vouchers and IBCA, DD advices
8. Bills Payable General (BPG): Includes vouchers and DD, Pay orders, Pay slips
etc
CHECKING ACTIVITY
After sorting takes place, daily activity is checked using the statement of acco
unt activity, which contains all daily activity of the accounts in the bank. Act
ivity checking is done by seeing if the values and account numbers in the sorted
vouchers match that of the activity and whether or not there is any missing act
ivity that is not in the vouchers.
PACKING
After the activity is checked, all sorted vouchers are counted, both debit and c
redit and then packed by totaling the vouchers.
Strategy:
Special counter available to customers for to do their transactions without
having to wait in the regular line. Provide the service through our network of b
ranches throughout the country. Install six additional ATMs at strategic locatio
ns throughout the country. Introduce telephone banking to allow customers to tra
nsfer funds between accounts, perform account inquiry and pay their utility bill
s without visiting the bank. Perform personal banking for busy professionals, in
cluding doctors, lawyers, managers, etc.
Distribution Decision:
Means of delivery of bank services to customers
Levels of service bank’s customers want Impact of technology on distribution.
During the early phase of the privatization, Bank Alfalah Ltd seemed to focus on
two channels of distribution
Bank branches: This is the most important channel of distribution for the bank a
s the bank is conveniently serving potential customers and from which the larges
t portion of business is being generated. Following are some basic steps taken b
y the bank at the initial stage of the implementation.
The bank began with nation-wide computerized branches to provide on - line banki
ng. One of the facilities was the real time banking to draw and deposit amount f
rom any of participating branches. In order to satisfy the unique needs of net -
worth clients, Bank Alfalah Ltd has opened special personal banking branches. T
hese branches were equipped to give the investment advisory services to local an
d international capital market clients. The bank started providing Saturday bank
ing in almost all the major cities of the country and such branches were equippe
d with ATM (Automated Teller Machines) network.
Bank Credit Cards:
This is a means through which the bank offers its credit services t
o the users. Bank Alfalah credit cards, which have been on the scene for the las
t some years, were very popular. Bank credit cards have enabled the bank to over
come the factor of inseparability, by offering credit to customers far outside t
heir immediate trading area. It has also prompted the increasing use of the bank
s services by existing customers, as well as establishing contacts with a wide
variety of traders and persons who may not otherwise use the services provided.
From the foregoing review it is quite obvious that the bank s basic policy has r
emained the improvement of customer services and the modernization of banking, s
o that international standard banking services are available in Pakistan.
Promotional strategy
This tool stands for the various activities the bank undertakes to communi
cate its products merits and to pursue target customers to use their services. B
ank Alfalah Ltd has used term promotion to decide how information about the bank
and its services can be disseminated. The Bank widely used (still using) the fo
ur basic promotional tools for this purpose. These are:
1. Advertising
2. Personal selling
3. Publicity
4. Sales promotion
5. broachers
6. point of sale service banners
Advertising is the bank s paid non - personal presentation and promotion of good
s and services by an identified sponsor; television and media are typical exampl
es. Bank managers have used personal selling in order to create an impression of
trust, reliance, friendliness and familiarity. Most importantly, the bank remai
ned quite successful in attracting customers through sales promotion; these incl
ude the clocks, pictorial cheques books, gifts etc. I must say that the bank s p
romotional tools have enhanced the perception of the bank and its brands through
increasing awareness. This awareness was essential especially when there was in
creasing competition from foreign banks, and other financial institutions.
Strategy:
Email or write to prospective customers informing them of the service. Phone pro
spective customers or visit them at their residents or place of business to sell
the service to them. Advertise the service on our website. Develop an advertisi
ng program targeting the selected group.
Promotion Decision:
• Communication with customers
• Persuading customers to buy
• Role of advertising
• Branch displays
• Direct mail
• Personal selling
• Cold calling
• Telephone selling
• Sales promotions
• Promotional campaigns.
Structure of sale department
Number of employees
The number of employees in this department is according to thee bank structure.
The bank branch itself the sales department of bank Alfalah. And the recruit in
the bank giving services to the customers are the number of employees working as
sales service represented in the branch.
Sales operations
In the sales departments the whole recruit giving different services to the
re customers. They open accounts for there customers receipt application for the
re debit halal card and different types of credit cads. Giving online services t
o them and transfer there funds from one place to another. They made there bank
drafts and transfer there cheques through NIFT. Giving financial service to them
live home financing, car financing and other finance related services to them.
And all record of sales and there transactions can be handled by the bank Softwa
re that is Bank Smart.
Critical Analysis
In critical analysis I am giving comment on my experience in the m
ultinational bank. As we know every firm have a mission and vision to be born in
the market and have a board of directors, chairman, CEO’s, CFOs’ in simple organiza
tion have a hierarchy. And have objectives and have different strategies to achi
eve there objectives. So in my concern I feel that BAL really follows there miss
ion and vision. For example in there vision they wants to be a multinational
bank so BAL is the multinational bang operating in different countries like Paki
stan, Bangladesh and so moving to other countries as well. Secondly they say tha
t BAL is for All kind of peoples like for business man whether they works locall
y or internationally, for families, for the country in which they operate, for t
he students, for the sports, for the needy who wants to have there own small bus
iness. And BAL is proof for it that BAL is for all. That is they have a wide ran
ge of product and services related to all kind of customers like Auto finance it
is for the family Alfalah Karobar account it is for the local business man Isla
mic banking division is setup to obey Islamic rules of business and develop corp
orate finance departments for the importer and exporter of the country in Pakist
an.
Economically it is best organization giving wide range of financial
services tot there customers. They have a market niche in auto finance because
of lower interest they gain from there customers. And for this they have a good
financial position in the banking sector of Pakistan. They have an 8% market sha
re in the banking sector of Pakistan. Having a profit of Rs1561555000 and an ear
ning ratio of 1.26 in September 30 2009 for BAL. PACRA, a premier rating agency
of the country, has rated the Bank AA , Entity Rating for Long Term and A1+ for
the Short Term. These ratings denote a very low expectation of credit risk, str
ong capacity for timely payment of financial commitments in the long term and by
highest capacity for timely repayment in the short term, respectively. Further,
the unsecured subordinated debt (Term Finance Certificates) of the Bank has bee
n awarded a credit rating of AA- (double A minus).
As a management it is a marvelous organization because of giving decentr
alize decision making power to the lower level officers and managers. This is th
e key elements to be success in the modern world. There is a simple hierarchy sy
stem which does not clash the authorities to any other department of the bank. S
o with this there is no chance of other to interfere the departments other than
there own working department.
In the marketing perspective they have to adopt a good strategies to build there
brand equity, brand name in the banking sector of Pakistan. For this purpose th
ey use different promotional mix to promote there brands in the market. And for
after sales purchase they have build an extra CR department who really cares the
customers of BAL and listen the complaints and act upon them according to the p
roblems face by there customers. This really boosts the customers to be part of
BAL. They have a drop box in all branches of BAL join which customers have indep
endency to drop a compliant letter against the management of the branch. In this
way it accelerate the management of the branch to look after there customers wi
th a big smile on there face even there is a clash between the management recrui
t and the customers. In today’s there is a slogan that “Customers are the boss” of the
organization. The reason behind is that business should be done when some one g
et services from the organization. If they don’t get services from the organizatio
n than, what the organization do.
References
http://en.wikipedia.org/wiki/State_Bank_of_Pakistan
http://www.pakistaneconomist.com/issue1999/issue49/f&m.htm
http://en.wikipedia.org/wiki/Zulfiqar_Ali_Bhutto
http://en.wikipedia.org/wiki/Bank_of_Credit_and_Commerce_International#History
http://www.thedailystar.net/2006/08/17/d60817020428.htm
http://bankalfalah.com
Annexes
Survey Questionnaire
Respondent profile: