Table of Content: Chapter Number 1
Table of Content: Chapter Number 1
Executive Summary . 02 Body of report .. 03 Chapter Number 1 Introduction of the Business .05 Company Products and Services ..07 Company Services 07 Company Products 08 Company Profile 11 Objective of the company 12 Chapter Number 2 Organ gram of Business ..15 Branch hierarchy 16 Corporate information of Business ..17 Swot Analysis of Askari commercial Bank..18 Chapter Number 3 Department of the Business .25 Learning Experience ..26 Week First Experience .. . 26 Week Second Experience .. 31 Week Third Experience . .34 Week Fourth Experience . 35 Week Five Experience .37 Week Six Experience ..39 Feed back of Internship . 41 Chapter Number 4 Conclusion .44 Recommendations ..45 References\Bibliography 46
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Executive Summary
This report is based on Askari bank business shows how banks Departments works to facilitate the customers. This report highlights the whole business process of Askari Bank and the functions of different departments. I had completed my internship in the Askari Bank Main Ravi road Lahore Branch. I worked at various department of the bank. Such as In accounts opening department, accounts department, cash department and did some work at clearing and remittances department. The working environment at Bank was good. The staff was very cooperative. I spent most of my time during internship in account opening department, and Cash department where I interact with people and know how to deal with customer. I get to know about the working and procedure of the account opening. I also stamped all the documents of account opening form i dispatch the account opening form in a file. With this internship I enhance my intellectual skills. I deal with customer and help those customers, who are confused or illiterate, help them in such a way by filling credit or debit slips. In cash department I sort out the cash and count the cash. In accounts department I had filling different reports. I also check the daily activity such as online, customer and GL. In clearing department I clear the cheques having supervised, I stamped the cheques. Maintaining good relationship with the customer has polished my interpersonal skills. I used to maintain the record of each cheques book and ATM issued both on the registered. I also used to place the document on their proper file.
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Body of Report
Introduction of Askari bank Ltd. has started there businesss talk about the whole Services they are providing to customers. Explore the banking Sector of Pakistan. I have written down the Services which this bank is dealing. Explore all the Department of the bank and also discuss the Organ gram. This Report also includes my learning experiences which I have got by spending Six weeks in the banks environment.
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Introduction
ASKARI BANK is the leading private sector bank in Pakistan, delivering quality service through innovative technology. Askari bank has The Best Retail Banking Award 2008 by Pakistan Guarantee Export Corporation Ltd. Askari Bank Ltd (formerly Askari Commercial Bank) was incorporated in Pakistan on October 9, 1991, as a Public Limited Company. It started its operations during April 1, 1992. The bank principally deals with mainly banking, as defined in the Banking Companies Ordinance, 1962. The Bank is listed on the Karachi, Lahore & Islamabad Stock Exchanges and its shares are currently the highest quoted from among the new private sector banks in Pakistan. Askari Bank has expanded into a nation wide presence of 209 branches, and an offshore banking Unit in Bahrain. A shared network of over 1,100 online ATMs covering all major cities in Pakistan supports the delivery channels for customer service. As on December 31, 2005, the bank had equity of PKR 8.6 billion and total assets of PKR 145.1 billion, with over 600,000 banking customers, serviced by our 2,754 employees. In the success story of ASKARI BANK, one of the most important factors, apart from its dynamic management and prudent approach, is the QUALITY of its SERVICES, which gives it a great edge over its competitors. ASKARI BANK has always strived to facilitate its customers by introducing various high quality hi-tech services for the first time in Pakistan. We are proud of our pioneering role in providing the most modern and technologically advanced services to our customers. Knowing our customers and their needs is the key to our business success. Our products and services are as diverse as our market segments. Technology has played a pivotal role in meeting customer expectations, particularly with respect to the speed and quality of services.
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We have fully automated transaction-processing systems for back-office support. Our branch network is connected on-line real-time and our customers have access to off-site as well as on-site ATMs, all over Pakistan. This includes not just establishing and maintaining technology infrastructure for providing operational support to all units of the Bank, but also encompasses introducing latest state-of-the-art technology-driven products and service delivery systems, such as ATM networking, Internet Banking, Mobile ATM, Credit Cards, Debit Card, Prepaid Card, utility bills payment through ATMs & Internet which have brought about cost-effectiveness, timesaving and safety. Askari bank has also achieved another milestone with the launch of Askari Bank Zari Credit Card. This is the first ever credit card offered to the farmers in Pakistan with complete product features and service benefits. It aims to meet farmers production and development needs and to supplement cash flows, whenever required. It is also a matter of satisfaction that ASKARI BANK has been the first bank to introduce PTCL and WAPDA utility bills payment electronically through ATM and Internet on an Online-Real-Time Basis. For the first time in Pakistan, we have introduced Mobile ATMs to provide banking facilities at the doorsteps of our customers. Askari banks mobile ATMs first in the banking history of Pakistan, now four in number, continue to serve customer needs. Our Phone Banking and Internet Banking Facility allows our customers, to access their accounts from anywhere in the world, and effect transactions.Bank has established its Data Warehouse and Customer Care Centre, a dedicated customer call center to provide one window service to our valued customers in terms of their telephonic enquires. Askari bank is first Pakistani bank to offer on-line real-time banking on a country-wide basis. It is first Pakistani bank with nation-wide network of ATMs.It is first bank in Pakistan, foreign or local, to introduce Internet banking in the country. First time ever this bank introduces Mobile ATM in Pakistan.
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Askari bank remains focused on using technology for improving customer service standards and expanding the range of products being offered and other technology based solutions.
DEPOSITS
One of the basic functions of commercial banking is to receive deposits. Askari bank accepts deposits in both local & foreign currency
Current Account PLS Saving Account Term Deposit Notice Deposit Askari Special Deposit Account Value Plus Saving Account
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ADVANCES
Advances are major sources of earning of income for commercial banks. Banks attracts surplus balances from the customers at low interest rates & makes advances at higher interest rates to the individuals or business firms. Askari bank offers these facilities in two forms: Funded facilities Non- Funded facilities
FUNDED FACILITIES
In funded facilities the bank, actually advance money against further repayment. These facilities are known as cash credits.
There are the complete range of products which Askari bank provide to there customers
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Askari MasterCard
It has always been our endeavour to introduce products and services tailor made to the requirements of our valued customers. Now you can pay your Utility Bills through: ASKCARD (Askari Debit Card), Askari bank's ATMs National wide Internet Banking Services
you its "Rupee Traveller Cheques" eliminating all financial risks while traveling. So avoid risk of carrying cash through Askari Bank's Rupee Traveler Cheques.
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Company Profile
The Vision
To be the Bank of first Choice in the Region
Mission
To be the leading private sector bank in Pakistan with an international presence, delivering quality service through innovative technology and effective human resource management in a modern and progressive organizational culture of meritocracy, maintaining high ethical and professional standards, while providing enhanced value to all our stake-holders, and contributing to society.
Core Values
The intrinsic values, which are the corner-stones of our corporate behavior, are Commitment Integrity
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Corporate Philosophy
From knowing our customers requirements to understanding employee needs, from utilizing modern technology to making responsible social contributions, from enhancing stake-holders value to practicing corporate ethics. We are continuously and consistently striving to address newer challenges with a single motivation: The power to inspire and be inspired
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To effectively manage and mitigate all kinds of risks inherent in the banking business. To maximize use of technology to ensure cost-effective operations, efficient management information system, enhanced delivery capability and high service standards. To manage the Bank's portfolio of businesses to achieve strong and sustainable shareholder returns and to continuously build shareholder value. and To deliver timely solutions that best meets the customers financial needs.
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Organogram of Business
BOARD OF DIRECTORS Executive Com mittee President and Chief Vice President
C h ie f
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Hierarchy of branch
Branch Manager
Operation Manager
Credit Officer
Clerical Staff
Cashier Typist & Clerks Assistant
Non-Clerical Staff
Guards & Sweepers
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Corporate Information
Board of Directors
Lt. Gen. Waseem Ahmed Ashraf Lt. Gen. (R) Masood Perwaiz Mr. Kalim-ur-Rehman Brig (R) Mohammad Shiraz Baig Brig (R) Muhammad Bashir Baz Brig (R) Asmat Ullah Khan Niazi Brig (R) Mohammad Safdar Ali Mr. Javed Ahmad Noel Mr. Zafar Alam Khan Sumbal Mr. Shahid Hafeez Azmi Mr. Mohammad Afzal Munif, Mr. Tariq Iqbal Khan, FCA Chairman Chairman Executive committee President & Chief Executive Director Director Director Director Director Director/Secretary Director Director Director
Audit Committee
Mr. Muhammad Afzal Munif, FCA Brig (R) Muhammad Shiraz Baig Brig (R) Asmat Ullah Khan Niazi Mr. Zafar Alam Khan Sumbal Chairman Member Member Secretary
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Auditors
A.F.Ferguson & Co. Chartered Accountants
Legal Advisors
Rizvi, Isa, Afridi & Angell
Number of employees
Permanent Temporary / on contractual basis Commission based Bank's own staff strength at the end of the year Outsourced Total staff strength at the end of the year 7,808 5,896 912 4,834 1,273 789
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Atm Network
The bank has the largest ATM Network cross the country. The customers of ACBL withdraw access their funds
Customized solutions
The management of the bank believes in customer focused banking rather than the product oriented banking. The products and services designed by the bank are specifically tailored to the individual needs of its customers.
Electronic Banking
The revolution in the banking in the form of electronic banking operations have opened avenues of excellent, efficient and quick services saving the time and costs of the customers and fortunately ACBL is among those few banks who are already reaping the benefits of electronic transactions.
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Phone Banking
Phone banking service is very attractive for those classes of customers who dont have time to personally come to the bank i.e. banking on the phone line thus saving the precious time of the customers.
Weaknesses
In my opinions these are the points that might be detrimental to the efficiency and profitability of the bank.
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Lack of Specialization
This famous and useful concept given by Adam Smith in 1776 seems to be missing in the bank. The employees are constantly rotated from one job to another job of totally different characteristic in the view of giving them the know-how of the working in all the departments. But I think this is not a very good tactics used by the management. Otherwise the situation might be like this Jack of all and master of none.
Centralization
There is a high degree of centralization in the bank. Almost all the decision-making is in the hands of the upper management. But centralization is effective up to a certain level otherwise it becomes inefficient and at times costly too. I personally observed that delay occurred in the operations of the employees only due to the fact that they had not got any instructions from the head office.
Opportunities
Apart from the ones discussed in External Factors Evaluation Matrix, the bank is facing the following threats and opportunities currently: These are positive external environmental factors effecting the organization.
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It deals in bulk business. A large amount of foreign investment is attracted. Strong potential for growth Steady increase in Customer Deposits Overseas Operations Branches In Remote Areas Islamic Banking Sharp increase in imports and exports
High charges
The schedules of charges indicate that the fees charged by the bank on the various services it provides are extremely high. It may result in decrease in the number of its exiting customers. Further more, this could be very alarming situation for the bank in case some of the competitors grasped the opportunity and lowered its rates.
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Departments of Business
Internship is an integral part of professional Degrees. Main purpose of internship is to have a practical experience. It provides a student to get a practical experience and give inner view of the organization selected. During this internship, a student comes to practical knowledge so, in this Bank I get practical exposure and to get familiarized with the ways to live in the organizational environment which is dramatically different from the educational environment. The whole exposure of internship is written below. I have work in Askari bank Ravi road Lahore Branch from (July 15th 2011 To August 25th
2011)
as an interne the practical experience which I have got from these departments is
written below.
Major Department
Account Opening department Remittance Department Record Department Cash & Clearing Department Foreign Trade Department Credit Department Credit Card Department (ATM) Locker Services department IT Department
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Week # 1 Experience
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Individual/ Joint Account Sole Propreitorship/ Partnership/ Joint Stock BBA(Basic Banking Account)
Current Account is used by the Small businessmen and the students genrally this account has a low interest rate on the Deposit.
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For Partnership
Copy of NIC (see original NIC) Attested copy of Partnership Deed duly signed by all partners of the firm. Attested copy of Registration Certificate with Registrar of Firms. In case the partnership is unregistered, this fact should be clearly mentioned on the Account Opening form. Authority letter, in original, in favor of the person authorized to operate on the account of the firm. Copy of registration certificate( if registered) Company Letter Head Two references
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Minor Account
A person who dont have ID card or a person whos age is below than 18 he can open Minoe Account He have to Submitt Fourm B to oprn a accouint.
can access their account through internet. the right to another person to handle his account. He will sign the third party
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Limitations on Shopping
These cards has also has some limitations on the shopping as well Classics card (100000-/ limit) Gold card (200000-/ limit)
Letter of thanks
Once the account is been opened I the bank issued the letter of thanks to customers just to make a good relations with them.
Week # 2 Experience
Cash Department
In cash department different facilities are given to the customer such as received cheques, receive cash, pay cash, online transaction. Relief funds amount submission.Online service is provided by the bank to transfer money from one account to another. Work in cash department and learned how to accomplish different tasks like deposit, credit card slips in this department. I have counted bundles of cash, sorted the cash and make their packets and bundles again in supervision of management. The spoiled cash is sent to the head office. Head office sent this to State Bank, which after checking it burn the spoiled notes. In cash department we receive the cheques from the customer; we have to verify the signatures of the issuer by using a soft wear Unibank. The date of issue of cheque, signature and amounts are checked. Cheque can be encashed after six months of its issue. If that period is over then the cheque is returned unpaid. There is a limit, different officers verify up to different amounts.
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If there is any problem in the signatures, then bank call the issuer on the phone to confirm whether he draws the cheque or not. On the back of the cheque there should be the sign of the issuer. If any other person presented the cheque then he has to give a photocopy of CNIC of issuer. In cash department I also learnt how to identify original cheque, this could save from frauds.
UV Test
If the cheque has a big amount Ultra violet rays analysis is been done on it. to check is the cheque is authorized or not. If the checque is authorized then the UV stamp is marked on it.
Clearing Department
I Work in clearing department and learned how documents are cheeked in clearing department. If the customer deposited the cheque of another bank to our branch then we use the stamp of clearing and sent it to the clearing house (NIFT). They have the representatives from all banks. They checked the stamping, signatures, date, amount; etc. if it is correct then they clear it. Otherwise these are returned to the branch. State Bank of Pakistan Dr. or Cr. the amount of these Cheques.
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Clearing Procedure
Here the local cheques are received that are drawn on Askari bank. All the cheques are received on one counter along with the paying slips duly filled in properly containing particulars of cheque and account holder. Counter folio of paying slip is handed over to the customer by putting stamp for cheque received for collection for Askari bank on it duly signed by officer. These cheques are analyzed and cheques for local clearing are separated from OBC. These are then entered in clearing register and cheques for collecting are entered in OBC register and handed over the bills department of collection. Clearing officer checks and verifies title of all the cheques deposited by the customer to confirm the good title of the cheques. Cheques are scrutinized properly and paying slips are separated from cheques. Special crossing, endorsement and clearing stamps are affixed on the cheques. Cheques of each bank are sorted and arranged branch wise. All the cheques are then entered into the clearing system of bank. Print out of the clearing is taken and details are attached. With the cheques of each bank. Details of these banks are then entered into the clearing schedule containing number of cheques presented and their total amount against the name of each bank. Then total number of cheques presented to all banks and their total amount is written on the foot of that schedule, which is tallied with the clearing register. After this these cheques are delivered to the respective banks in clearing house of SBP between 9:00 to 9:30 AM. In the same manner, other banks present their clearing drawn on Askari bank. Total number of cheques and their amount delivered to other banks are received from them are written on the clearing house schedule and handed over to the officer clearing house SBP. Cheques / DD received in clearing are given to the officer cash department of the branch for their repayment. After I proper scrutiny of cheques, verification of signatures and confirmation of balance in the account, officer cash department pays these cheque by canceling and posting them in the system. If any cheque is not passed due to insufficient balance or any other reason, officer cash department returns the same cheque by attaching a cheque return memo containing reason for return. This cheque is entered into the cheque returned register and bank charges are deducted according to the schedule of charges.
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Second clearing is called at 2:30 PM to check the fate of the Cheques presented to other banks in the morning. If any cheque is to return, that is delivered to the same bank in second clearing. In the same manner, if any cheque presented by Askari bank in first clearing is returned, they receive it and once again give schedule of clearing figure to the officer-clearing house SBP containing number of cheques and their amount delivered and received unpaid.
Types of clearing
There are three types of clearing Inward Clearing: In inward clearing the bank is paying on the behalf of their customer. In it bank give the payment to other bank. Outward clearing: In outward clearing the bank is receiving the amount on the behalf of their customers. In it bank collect the payment from other banks. OBC: It is out of city where the branch of SBP does not exist.
Week # 3 Experience
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Commercial Bank combines personalized services with technological capabilities to deliver sophisticated banking solutions.
Week # 4 Experience
Remittance department;
Remittance department provides services to the customer of the bank. The main function of this department is transfer of funds. The instruments that are handled in this department are as follows:
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Week # 5 Experience
Record Room Department
My work account department this departmant is also caled activity.all the checques and vouchers are allocated here and then attacthed with the sheets. Genrally three types of activites are performed here o Customer Deposit o General Ledger o Online Ledger
Customer Deposit
In customer ledger all the transitions which are done by the customers are attached which the sheet here. the tractions may contains gerall deposits in accounts,tranffer of funds,ATM transitions the amount which the customers deposit to purchase some sought of property for for donation. To perpare the customer ledger these things are checked o Account number of customer o Instrument number o Slip number Generally it includes checques gerall deposits Slips Vouchers School or university fee. With the sheets they are arranged with codes the different accounts have different codes like ASDA current or saving accounts have different Number on them.
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General Deposit
In genrall ledger the inter branch expenditure of the bank and all those vouchers are attached with the sheets which belongs to other banks or companies this all procedure are done according to Codes. Income\ commission pay orders local bills has different Sheet codes and the Vouchers are attached accordingly .the some codes are written as fallowed 640 0780 1900 2050 4210 4370 5410 5610 6010 6020 6025 6075 7490 7600 7605 4250 Income \ commsion New checque book Issusse Fuel Expense Demnad draft issued during the day Pending Cheques Local Bills Vouchers Main office accounts Cash postion forgien Cash postion Local Cash in ATM Due from treasury Prize bond Expenses from the branch travel Cheques T.T Issue
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reconciliation report, and customer report. Here I have checked G/L account in which there are different types of accounts like refreshment, suspense, depreciation account; etc. In customer account report we have to see the vouchers of their day to day transactions. In online report we have to see on line transactions like transfer of amounts by customers and check and verified them through vouchers.
Online ledger
Online ledger is simple as compared to general or customer ledger because there the vouchers are attached according to there account numbers by matching with the sheets provided.
Week # 06 Experience
Foreign Trade Department
The term foreign exchange is used to denote either a foreign currency or the rate at which one currency is converted into another .Foreign exchange department performs following functions: o Foreign Bills for collection o Foreign telegraphic transfer o Foreign Demand Draft o Inward remittances o Daily Reporting The daily reporting is done by binary language call SWIFT. And all the record of the transaction is kept but banks it self and also sent to the SWIFT. The binary language is based on Codes with is only understand able by bank and swift.
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Accounts Department
Accounts Departments deals with income and expenditure of the branch. Generally it plays a role of Human resource of the branch. The monthly salaries of the staff, the process of recruitment of the equipment used for the banking procedure like pen, gum, registers or phone bills Etc. all the money or the recourses are provided by them. In this they make the budget for their monthly and daily expenses (refreshment, stationary; etc.) Salaries of the staff are prepared in this department.
Locker Services
Askari banks also facilitate there customer by providing them locker services a fixed amount is charged from those customers who have activate there locker in the bank. I have not stayed in this department for a long time because of shortage of time but I have learned how the bank management behaves with the customers how these services have. Now about my learning Experience get to know that the customer how is using this service the bank give him a key to access there locker in the bank The locker can be opened just by two keys if they are available at the same time the other key the bank management have. The customer is allowed to stay in locker room as much time as they can check there treasury what ever that have any time.
Agriculture Banking
The role of agriculture in Pakistan economy is of pivotal nature. Due to diverse geographical and climatic conditions the country has tremendous potential for growth and development in agriculture. However, adequate and timely financial assistance to the farmers will improve production potential of agriculture sector in the country. The modern concept of agricultural credit envisages establishment of an efficient institutional credit system to serve as a package of credit, supplies and knowledge for the overall strength of the farmers who at present suffer from low productivity and financial insecurity. A successful credit evaluation system, therefore, should have the basic ingredients to provide adequate amount at the
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right time and in the right form to help farmers in making a productive use of loan funds.
Products
Askari Kissan Ever Green Finance Askari Kissan Tractor Finance Askari Kissan Aabpashi Finance Askari Kissan Livestock Development Finance Askari Kissan Farm Mechanization Finance Askari Kissan Farm Transport Finance Ask Card
Knowledge gained
Well no doubt that I have learned a lots from the internship special who to deals with the customers how to behave under different situation. Before doing internship I have no idea about hoe to fill the checque what is voucher what kinds if transaction take place in bank. How I can transfer my money from on city to another also know about different kinds of
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checques and there features. So really my knowledge has improved and I have learned a lot.
Skill Development
I have also improved my skills specially the dealing skills while working in account department how to interacts with the customer who to deals with the boss and subordinates. one more thing I want to add here how to dress because the corporate culture of Askari bank is full formal.
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Conclusion
I have come up with a final conclusion in my view that Askari bank is good as compared to other local banks but in some areas still they need to work. Even though the customers has a good image of bank in there bank On the semi annually bases the targets of money to bring in the banks are given to the employees thats creates pressures among the whole workforce of the bank. there are some persons in the bank who are working on the contract base to utilize there efficiencies bank can provide the job security to these candidate. On thing that I have noticed here that the top management of that branch just has good relations among them while the officers grade level are not treated well so the management has to behave formally. The sense of Decentralization no exists and promotion is given to employees after three years with a strong reference. Finally I want to say the soft wear which they are using is not secured it is very easy to use and any person how knows how to use computer can handle it I suggest to bring some sought of Complexities in it.
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Recommendations
They should treat interne as Interne not like Office boys. The bank should use efficient Internet facility, which is available in the market very easily. They should use DSL or Wi tribe Internet in Branch but sometimes the speed of internet is very slow which create great problem especially for online transactions. There must be separate parking for both employees and the customers, in order to facilitate them both. It is better for the bank employees to arrive at bank 5 to10 minutes early then there bank timings, so they could have the proper parking space for them. Internees are given less importance. They do not have proper procedure for training. Internees should be given more formal training. In Ravi road Lahore Branch, there is less staff. So, they should hire more employees to meet there working requirements efficiently. Askari Bank Ravi road Lahore Branch is free space available in Second flour they can bring there Islamic Brach here to utilize there space and avoid extra expenditure of frent. Many customers complaint that the bank numbers are busy all the time. Actually one is not working properly, so they should remove this fault to avoid customer dissatisfaction.
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References
Here I want to mentioned the name of those persons inside the bank who really help me to make this report
Official Annual Report of askari bank 2010-2011 Corporate Reports of Askari Bank http://en.wikipedia.org/wiki/Askari_Bank http://amcy5.com/Reports/internship/amcy25.htm http://www.sbp.org.pk/stats/Balance/Askari.pdf http://www.bankingmohtasib.gov.pk/download/ar_2008_100.pdf http://www.askaribank.com.pk/ http://en.wikipedia.org/wiki/Askari_Bank http://en.wikipedia.org/wiki/Bank http://en.wikipedia.org/wiki/History_of_banking
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