Introduction of Banking Industry What is Bank?

By G.W. Gilbert, "A banker is a dealer in capital or more properly a dealer in money. He is an intermediate party between the borrower and the lender. He borrows from one party and lends to another." Under Banking Companies Ordinance 1962, {S: 3(B)} "Banker means person transacting the business of accepting for the purpose of lending or investment, of deposits of money from the public, repayable on demand or otherwise and withdraw able by cheque, draft, order or otherwise and includes any Post Office Savings Bank." Banking is one of the most sensitive businesses all over the world. Banks play very important role in the economy of a country. Banks are guardian to the assets of the general stacks. The banking sector plays a noteworthy role in a modern world of money and economy. Evolution of Commercial Banks in Pakistan The country started without any worthwhile banking network in 1947 but witnessed exceptional growth in the first two decades. At the time of independence, there were only two banks, which were incorporated in undivided India and whose owners were Muslims; they opt to shift their Head Offices in Pakistan and with the founding of SBP, the other banks also came into existence and by 1973 number of banks increased to fourteen in Pakistan. Commercial Banking in Pakistan: Commercial banking in Pakistan can be divided in three phases and Commercial banks operating in Pakistan can be divided into four categories: Nationalized Commercial Banks (NCBs), Privatized Banks,

Private Banks Foreign Banks.

Pre-Nationalization Phase There were only two Muslim banks in Indo Pak before partition one of them was Habib Bank Ltd. (establish in1941 at Bombay) and second was Australia Bank Ltd. (establish in 1944 at Lahore). Firstly at time of independent Reserve Bank of India was acting as central bank for both countries and same currency notes were used in both countries. But Reserve Bank of India was unfair. After that some steps taken which built a strong banking industry in Pakistan these are here under: Establishment of State Bank of Pakistan (SBP) on 1st July, 1948. Establishment of National Bank of Pakistan in November, 1949 SBP Act (1956) Banking Companies Ordinance 1962 Nationalization Phase In 1974 all Pakistani banks were nationalized through Nationalization Act 1974. Under this law all Pakistani banks became a public property. All small banks were merged in bigger banks to create 5 major Pakistani banks Pakistani banks. These banks were to control by Pakistan Banking Council. There are still controversies about this act of government as whether it contributed in success of failure of banks. Post Nationalization Phase In 1990 the government decided to denationalize all the nationalized institutes. For this purpose, amendments were made to Nationalization Act 1974 and two nationalized banks were privatized. Along with this a permission to open banks in private sector was also granted. The rules

regarding establishment of new banks and for incoming foreign banks were also relaxed.
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Introduction of MCB Bank Limited MCB is one of the top banks of Pakistan with a deposit base of Rs. 368 Billion and total assets over Rs.500 Billion. Incorporated in 1947, MCB soon earned the reputation of a solid and unadventurous financial institution managed by emigrant executives. In 1974, MCB was nationalized along with all other private sector banks. The Bank has a customer base of approximately 4 million, a nationwide distribution network of over 1,000 branches and over 450 ATMs in the market. Vision Statement To be the leading financial services provider, partnering with our customers for a more prosperous and secure future. Mission Statement We are a team of committed professionals, providing innovative and efficient financial solutions to create and nurture long-term relationships with our customers. In doing so, we ensure that our shareholders can invest with confidence in us. Values of MCB Bank Integrity We are the trustees of public funds and serve our community with integrity. We believe in being the best at always doing the right thing. We deliver on our responsibilities and commitments to our customers as well as our colleagues.

Respect We respect our customers values, beliefs, culture and history. We value the equality of gender and diversity of experience and education that our employees bring with them. We create an environment where each individual is enabled to succeed. Excellence We take personal responsibility for our role as leaders in the pursuit of excellence. We are a performance driven, result oriented organization where merit is the only criterion for reward. Customer Centricity Our customers are at the heart of everything we do. We thrive on the challenge of understanding their needs and aspirations, both realized and unrealized. We make every effort to exceed customer expectations through superior services and solutions.

Innovation We encourage and reward people who challenge the status quo and think beyond the boundaries of the conventional. Our teams work together for the smooth and efficient implementation of ideas and initiatives. Business Volume Corporate Information MCB Bank Limited is Public Limited Company listed on Karachi, Lahore & Islamabad Stock Exchanges in Pakistan, under license number BCD (1) 17-66 dated 8th December 1966 and its external Auditors KPMG Taseer Hadi & Co. (Chartered Accountants) total number of shareholders - as of December31-12-2009 is 691,104,527. Historical Overview Formation:

MCB (formally Muslim commercial bank limited) Bank Limited completed his 64 years in the field of banking quite successfully. MCB was formed in 1946 in Calcutta. The registered office of the bank transferred to Karachi in 1948. Achievements: MCB Bank Limited won Best Bank in Pakistan Euro money awards seven times in 2000, 2001, 2003, 2004, 2005, 2006 and 2008, Best Domestic Bank in Pakistan five times 2004, 2005, 2006, 2008 and 2009, Asset award Best Domestic Bank in Pakistan 2009 and Euro money awards Best Bank in Asia 2008. Change of Name: The name of bank has been changed from Muslim Commercial Bank Ltd to MCB Bank Ltd. Shifting of Head Office: In 2008 the head office of MCB was shifted to Lahore in a newly constructed building, namely MCB House, located at Jail Road, from Karachi.

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Products and Services During my stay I observer that a large verity of products and services are offer by the MCB Bank and I will explain in detail these services and product as functioning of commercial bank. Main Products and Services Deposit

Bank accepts deposits which are maintain by the bank in different kinds of accounts. MCB bank offers these accounts for depositing the funds. Current Account MCB Bank offers a variety of current accounts to cater to the everyday transactional needs of various customers. Savings Account MCB savings accounts offer attractive profit rates as well as flexibility to transact. Terms Deposit MCB Term Deposits offer attractive short to mid-term investment options with flexibility, convenience and security. Loans and Advances Banks grant loans to the spenders so MCB bank also grant different kids of loan to different customers Consumers Loans: MCB bank offer loans for personal use to the individuals or group of people it will be granted on the incomes of the desired individuals. Commercial and Corporate: MCB also offer commercial loans to the individual and group of people it will granted on the in three ways as under: Hypothecation: In this case ownership and possession in names and hands of client. Pledge: In this case ownership and possession in names and hands of bank.

Mortgage: In this case ownership in names of bank but possession in hand of client. Running Finance: It will be issue on hypo bases and personal guaranty is required for it.

Running Finance Instant: It will be issue on pledge bases and personal guaranty is required for it. Cash Finance: It will also issue on pledge base pledge and personal guaranty is also required for it. Cash for Cash: It will also issue on pledge bases but in this case pledge assets must be liquid and personal guaranty is also required for it. Demand Finance: It will be issue on mortgage bases and personal guaranty is also required for it. Others Products and Services MCB Visa Credit Card MCB offers a complete suite of Classic, Gold and Platinum Visa Credit Cards focusing on providing, superior service, travel privileges & shopping pleasure. MCB Smart Card

MCB Smart Card is the key that enables access to convenient banking services. MCB Rupee Travelers Cheque Rupee Travelers Cheque, being the market leader, is the most widely accepted way to pay cash for travel-related purposes. MCB ATMs MCB has one of the nation's largest ATM networks with over 450 ATMs and still growing. MCB Mobile ATM MCB Mobile ATM not only provides world class banking service but also provide convenience. MCB SMS Banking SMS anytime to get information regarding balance, mini statements and credit card related information once your card is linked. MCB Mobile MCB Mobile is a quick easy and secure way to recharge mobile phones, transfer money, pay bills and do much more.

MCB Call Center Theres no easier way to bank than the new enhanced 24/7 MCB Call Center, which blends innovation and convenience to provide Banking Services that go beyond expectations. MCB Investment Services MCB Investment Services offer distribution of mutual funds managed by the leading fund managers of Pakistan

MCB Advisory Services MCB also provide financial advisory services, commercial structuring support and access to capital resources to help companies successfully finance their business/project. MCB Lockers Lockers of different capacities are available nationwide. MCB Banc assurance MCB Banc assurance has created a one-stop shop for all your financial and insurance needs. MCB Local Rupee Drawing Arrangement Transaction Banking Department at MCB provides Local Rupee Drawing Arrangement, a product for small banks and financial institutions. MCB Home Remittance MCB Home Remittance provides a faultless inflow of foreign remittances credited in the beneficiarys account within minutes. MCB Quasi Equity/Hybrid Instruments MCB places a group of debt that has some uniqueness of equity such as being unsecured, subordinated or with a budding equity upside. MCB Equity Capital Raising MCB offer capital for their clients by offering common or preferred equity to public or private investors, through initial public offers, offers for sale, rights issues and private equity placements MCB Islamic Banking

MCB Islamic Banking provides Reba Free and Sarah Compliance services to a variety of customer segments
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Functions of MCB Bank Limited Finance system of the bank: The financial system of MCB Bank primarily consist of two pillars which are also may be components of other commercial banks financial system. A Simple Chart of finance system is as under: Accepting Deposits: The main primary function is to accepting the deposits from customer it is also main source of funds for bank. There are different types of accounts on which deposits are accepted by bank. These are the component of financial system which termed as severs or lender in finance system of MCB Bank:
Households Partnership firms Public/Private Companies Financial Institutions/ Banks Foreigner Government/ SBP

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Granting Loans: The another function is to granting loans to borrower or spender for use it is also main source of income for the MCB Bank like other commercial bank. There are different types of loans which granted by the bank.

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These are also components of financial system of MCB Bank and termed as borrower or spender:
Households Partnership firms Public/Private Companies Financial Institutions/ Banks Foreigner Government/public project financing

A broader approach of MCB Bank Limited financial system can also include source of funds and allocation of funds. This approach is more prominent then above one. Here under is a chart is given:

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Sources of Funds

Depositors: Like all commercial bank deposits are main source of MCB Bank and recently in 2009 total amount of deposits are 363,258,355, 000 rupees. There are different types of deposits which as under:

Types of Deposits Fixed deposits Saving deposits

In Rupees 62,651,531, 000 173,797,078, 000

Current accounts 123,898,324, 000 Margin accounts 2,910,655, 000 Others 767, 000 Total amount 363,258,355, 000 Shareholders: Equity is also main source of funds for MCB Bank and recently in 2009 equity is rupees 6,911,045, 000. Financial Institutions: MCB Bank another sources of fund is financial institutions and in recently 2009 total amount of financial institutions deposits are rupees 4,346,356, 000. Interbank transactions are also a valuable source under the head of financial institutions. State Bank of Pakistan: SBP remains the source of funds for all commercial bank and MCB Bank can also can utilizes the funds from SBP which is lender of last resorts for all commercial bank. Allocation of Funds

Loans: MCB bank allocate the funds for profit generation it is also proved to be the best items in funds allocation and recently in 2009 total markup earns through it is rupees 36,212,097, 000. Advances: Short-term loans are also a valuable source of incomes so MCB Bank also allocating the funds in it. These may include:
Cash Credit Overdraft Discounting of bills

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Securities: MCB Bank also makes investment in securities and in recently 2009 total earning from investing in securities are rupees 13,894,162, 000. Others: MCB Bank also allocates his funds many other activities for generating revenue these may include:
Repurchase agreement Interbank transactions Project Financing

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Electronic Data for Decision Making MCB Bank has good IT based information system which is used for decision making so it enhance the overall capabilities by providing information timely and accurate. MCB use different MIS and KMS software for communication purpose all over the Pakistan within its branches and with SBP Bank. Examples
During my stay I observe that such activities are made on the base of electronic data which are maintained by the branches or CRCD officer. Granting loans Blocking limits Removal of discrepancies

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Organizational Structure Introduction To the best of my knowledge and from different sources here under structure of Management of MCB Bank is explained below.

Chairman Mian Mohammad Mansha Vice Chairman Mr. S. M. Muneer President / CEO Mr. M.U.A. Usmani Chief Financial Officer: Mr.Salman Zafar Siddiqi Principal Office: MCB 15 Main Gulberg, Lahore Registrars and Share Registration Office: MCB 15 Main Gulberg, Lahore M/s. THK Associates (Pvt.) Limited State Life Building No.3, Dr. Ziauddin Ahmed Road, Karachi

Hierarchy of Management

 Here under hierarchy of MCB Bank Limited is listed in downward integration (from upper to lower chain of command)

Corporate Profile
Names Designations

Board of Directors Mian Mohammad Mansha Mr. S. M. Muneer Mr. M.U.A. Usmani Mr. Tariq Rafi Mr. Shahzad Saleem Mr. Sarmad Amin Member Dr. Muhammad Yaqub Mian Raza Mansha Dato' Mohammed Hussein Mr. Aftab Ahmad Khan Mr. Abdul Farid Bin Alias Mian Umer Mansha Mr. Muhammad Ali Zeb Audit Committee Mr. Tariq Rafi Dr. Muhammad Yaqub Dato' Mohammed Hussein Mr. Aftab Ahmad Khan Mr. Muhammad Ali Zeb Mr. Malik Abdul Waheed Human Resources Committee Mian Mohammad Mansha Dr. Muhammad Yaqub Chairman Member Chairman Member Member Member Member Member Chairman Vice Chairman CEO / President and Member Member Member Member Member Member Member Member Member Member Member

Mian Raza Mansha Mr. Shahzad Saleemn Mr. M.U.A. Usmani Risk Management & Portfolio Review Committee Mr. Shahzad Saleem Mr. Tariq Rafi Mr. Sarmad Amin Mian Raza Mansha Mian Umer Mansha Committee on Physical Planning, IT System & Contingency Arrangements Mr. Sarmad Amin Mr. S. M. Muneer Mr. Tariq Rafi Mian Raza Mansha Mr. Abdul Farid Bin Alias Mr. M.U.A. Usmani Business Strategy & Development Committee Mian Mohammad Mansha Mr. S. M. Muneer Mr. Shahzad Saleem Mian Raza Mansha Dr. Muhammad Yaqub Dato' Mohammad Hussein Mian Umer Mansha Mr. M.U.A. Usmani

Member Member Member

Chairman Member Member Member Member

Chairman Member Member Member Member Member

Chairman Member Member Member Member Member Member Member

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Critical Analysis

Risk framework: MCB Bank has good risk framework a Risk Management & Portfolio Review Committee is in place which has five members including chairman of the committee. This committee is responsible for developing risk frame work according to the guidelines of SBP. Currently a centralized framework is apply by the MCB which is comply with the guidelines of SBP I will discuss in detail where it applied for risk mitigation of all types of risk faced by the bank in this dynamic environment. Here under all types of risk which faced by the bank. Risks faced by the bank Systematic Risk: In finance terms systematic risk are market risk, aggregate risk, or undiversifiable risk, is the risk associated with aggregate market returns. This risk should not be confused with systemic risk because risk of loss from some shattering event that collapses the entire financial system. Unsystematic Risk: In Finance terms unsystematic risk are specific risk, idiosyncratic risk, residual risk, and diversifiable risk these are the company specific risk in a portfolio which is uncorrelated with aggregate market returns. Here under some of these risk are as under: Credit Risk: MCB face credit risk it arises from dealings with individuals, corporate, financial institutions, sovereigns etc. Market Risk:

MCB face market risk which arises from changes in market rates such as Interest Rates, Foreign Exchange Rates and Equity Prices etc.

Liquidity Risk: MCB face also liquidity risk it terms as the ability to fund assets and meet obligations as they become due. Operational Risk: MCB also face operational Risk such as loss resulting from an inadequacy or a failure ascribable to people, processes, technology or external events.

Compliance Risk: MCB also face the compliance risk that is similarity between the company policies, rules, and charges etc with SBP guidelines. Reputational Risk: In my opinion MCB may not facing reputational risk that is past bad conducts by the bank and has good reorganization among the all commercial banks which are operating in Pakistan. Security risk: MCB and its employees also face security risk it is a risk being occur illegal activities of individuals or group from and outside the organization. Security system

 Above mentioned security risk is mitigate by establishing a security system. In head office where I work has two components of the security system which are as under: Security Guard: In place of MCB where I spend my six weeks in training has a security department, security guards are hired for mitigating the security risk. MCB Computerized Card: Every one in head office has a computerized card on which his detail are printed but also it serve as security code that without it every door is closed for you because a chip is in place in this card. Management Information System MCB has good information system in place which provides information needed to manage organizations effectively. These are regarded to be a subset of the overall internal controls procedures in a business, which cover the application of people, documents, technologies, and procedures used by management accountants to solve business problems such as costing a product and service. MCB use MIS system all over the Pakistan between his branches maiming SYMBOLS and naming FOCUS within CRCD. These are ORACLE based software.

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Employees Integrity

 Integrity of employees is significant and the most important element because without it the business owner cannot count on receiving the results expected and promised. MCB has proper code of Ethics and conduct signed by all the employees acts as a guide for them in discharging their duties and sets out the standards of good banking practice. In MCB Bank high degree of good governance, transparency, culture of excellence and accountability as well as ensuring the highest level of professionalism. Controls and Compliance is an integral internal function and care is taken to ensure that all activities are carried out in accordance with prevailing regulations so that the interests of all our stakeholders are protected. Loaning system Here under the procedures used by the MCB Banks for advancing loans to the customers here under:

Customer: A customer is a person which want to obtain loan from bank he contact with the loaning and advances officer in branch where his account is open. A customer can be a consumer, commercial or corporate.

Branches: MCB has large number of branches all over the Pakistan these initially response to customer and also has direct contact with the customer. They fill the all necessary file work with the customer normally these documents are obtained: LAF (Loan Application Form) BBFS (Borrower Basic Fact Sheet) CBI (Credit Information Bureau)

CNIC (Computerized National Identity Card) In Case of Consumer, Incomes Statement of the Consumer and collateral documents are also obtained. In Case of Commercial and Corporate Partnership Deed, Memorandums of the Company, Financial Statement from approved auditor and collateral documents are also obtained Approving Authority: After completing the necessary requirements branches forward these documents to the approving authority. These documents are checked by the authority and forward to the legal department. Legal Department: In this department legal aspect of loan is covered and activities like checking or reviewing the legal owner of the collaterals are performed. Credit Risk Control Division After the legal department all the activities are performed by the CRCD and loan issuing order is made after reviewing, maintaining documents and control after the loan. All the original documents are again reviewed by the DU.(Document Unit) IB Forms (Islamic Banking Forms) are prepared by the DU.(Document Unit) On the bases of AOF(Approval of Finance) which is issued by the approving authority a FAL(Facility Advising Letter) is prepared by the MU (Monitoring Unit) Then three set of FAL and IB Forms are sent by CRCD with the help of CSU (Customer Services Unit) to branches and original documents are sent to the CU (Custodial Unit). These three sets are one for customer, second for branch and third for the CRCD which is also placed in CU.

After the signature of customer set of these document are retained by the each party. Loan Granted: Finally loan granted by the bank after completing these process DAC (Disbursement Authoring Certificate) is issued by the approving authority and sent by the CSU to branches then branches release approved amount.

Risk Mitigation Approaches MCB Bank has good credit risk management framework and also mitigate his risk by his RMG Risk Management Group. Risk mitigation is start when a customer contacts any branch but MCB develop centralized risk mitigation approach. Here under the introductions of RMG. Risk Management Group (RMG) The main purpose of RMG is to actually manage the companys risk. Risk management is a structured approach to managing uncertainty through, risk assessment, developing strategies to manage it, and mitigation of risk using managerial resources.

The RMG GROUP consists of four divisions that work under it. These are as follows: Credit Review Division Credit Risk Management Division Credit Management Division Credit Risk Control Division

 I would be briefly discussing each of them one by one. However my part of internship will be all about the Credit Risk Control Division which I would be discussing in details. Credit Review Division (CRD) The purpose of this department is to review the credit proposals accompanied with audited financials of both corporate and commercial clients evaluated by the business units. The major tasks of the CRD include:
Financial statement analysis including profit and loss analysis, financial statement analysis and Balance sheet analysis Credit risk rating of the client Drafting of various convinance ( conditions of loans) within approval of finance considering the macroeconomic situations and risk level of client Finally issuing the approval finance

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Credit Risk Management Division (CRMD) The basic purpose of CRMD is to ensure policy making regarding credit risk within the risk management, issuance of circulars on time to time as well on need basis. They are responsible to draft policies, manuals, salvage lists and various risks frameworks required for the implementation of Basel II parameters Credit Management Division (CMD) It is basically responsible to report data to SBP. They are responsible to run various data modules for checking and implementing functions of unique obligor. They are responsible for the integration of various MIS management function systems working simultaneously within the various divisions and groups of the bank. They had also developed credit risk management information system in order to enhance the

regulatory requirements of central banks as well as developing the reports required for the analysis by the senior management and BODs. Credit Risk Control Division (CRCD) A Sub-division of Credit Risk Management Group with a function of mitigating risks associated with credit facilities granted to customers
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Plan of internship program I have completed my 6 week Internship program in 4th floor of MCB House CRCD (MCB 15 Main Gulberg, Lahore). A Sub-division of Credit Risk Management Group with a function of mitigating risks associated with credit facilities granted to customers Vision of Credit Risk Control Division High Quality Support Exercise independent control of Post Approval activities Maximize automation & minimize human errors Centralized approach Hierarchy of CRCD The CRC has 5 major internal units which are the following:
Take over unit (TU) Customer service unit (CSU) Documentation unit (DU) Monitoring unit (MU) Custodial unit (CU)

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About Internship Program

My Internship started from 01-11-2010 to 13-12-2010 and I perform my work assignments in the following units of CRCD explained These are main activities are performed by me discussed below with main concentration on CRCD as my department of internship: Customer service unit (CSU) In this unit of CRCD I spends one week from 01-11-10 to 07-11-10 working are performed by me is as under:

Collection of documents from external agencies Record Keeping of each document in the system Scanning of documents Forward documents to related CRC units Keep track of all documents within CRC Final delivery of documents to CU Delivery of soft copies to respective branches Monitoring unit (MU) In this unit I spend my three weeks from 08-11-10 to 28-11-10 and working are performed by me are as under:
Prepare FAL after getting approval FAL includes limit amount, pricing, securities being offered and other covenants Review of Stock Reports & insurances & Issuance of DAC in collaboration with DU Database Management of different branches Monitoring of insurance and stock reports Pledge being monitored by Business Units Correspondence with business units via Unit Exception Report (UER) & Tickler Report (TR) for removal of discrepancies and renewals of stock reports and insurances. Block limits after 60 days if the discrepancies are not removed or renewals are not obtained Block limit immediately if insurance policy is expired or missing and/or limit is expired

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Custodial unit (CU)

In this unit I spend only one week from 29-11-10 to 05-12-10 and working done by me in this unit is as under: Placement of documents in folders Record maintenance in Safe Custody Register (SCR) Stamping of blank IB forms Payment & record keeping of IB forms Maintain & Keep files of insurance policies and stock reports Record and place securities marked with lien Record and place valuation search & credit reports Release of securities after fulfilling all formalities Handling vault keys Maintenance of records regarding stocks of computers, printers & scanners Folder purchase / Issuance record Documentation unit (DU) In this unit I spend my last one week of internship from 06-12-10 to 13-12-10 and these activities are performed by me are as under:

Review of property as well as security documents of all branches at their initial take-over Initial check of Customers Application, BBFS & CIB before approval Correspondence with Legal Affairs Division for their opinion and comments on all security documents Review of A/c & issuance of DAC in collaboration with MU

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SWOT Analysis For a better strategic management, organizations need to go for scanning the internal as well as the external sources on which the overall business lies. The first and the foremost concern of the organization are to see its internal capabilities and the things which can be the problem in achieving their targets, goals and aims. I conduct the SWOT analysis of the MCB Bank and my findings are here under explained. Strengths Safe and secure investments venture Innovative and new technology adapter Employee Satisfaction Well Equipped and fully secure environment Modernized banking (online + Internet) Complete supervision at every level Business continuity management and implementation of advance model under Basel II Weaknesses Weak organizational culture (need a paradigm shift to improve organizational structure) HR Policies (appraisal, compensation, career planning) Networking problems regarding ATM Weak MIS interconnectivity among the Division No mobile ATM services in rural areas Opportunities Information Technology (MIS) Establishing more Foreign Branches Local Setup should be expanded.

Internet Banking Some more innovative products and services should be introduced. Centralization Threats Downsizing is potential threat for MCB employees and they are losing their confidence towards bank performance Fierce competition Changing environment of banking Instable Govt., economical and political conditions are a great threat. Entrance of international banks Latest MIS is available in market whereas MCB is capitalizing in symbols
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Conclusion The work within each unit is not divided properly when an employee is absent another employee (who is already over burdened by own job) is given absentees whole work instead of dividing it among employees. Accommodate management is required.

Internees are not considered part of the organization so are not allotted as such assignments. Theres no proper arrangement for guidance of internees.

 Working hours are quite long; mostly employees have to sit even after the office hours to complete their work. (E.g. branches suddenly overburden them for there clearances and they have to manage it) Inefficiency of IT department (At times system software is not in working order which causes delay in work, and IT is not efficient to help) Rotation on duties without proper training No refresher courses

No merit of selection of employees as well as no specific job description and job specification

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Recommendations Following are my suggestion to improve the efficiency for the development of the economy Work load should be equally divided among the employees Accommodation should be properly managed.

Internees should also be considered part of the organization, and should be given some practical work as well in order to give them a more detailed knowledge regarding work.

 To maintain the confidence of employees, management should take necessary measures to increase the pay scale of employees, such as providing more facilities and bonuses. IT department should be made efficient. Computer software should be well maintained and monitored in order to prevent delays in work. Software problems should be managed. Refresher courses must be conducted in order to train the employees. Recruitments should be strictly on merit basis and induction should be after proper and extensive training. Proper attention should be paid to upgrade customer services especially in rural areas. Bank should adopt the global organizational banking structure to meet the international standards of banking sector.

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