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THE

ISLAMIA UNIVERSITY
OF BAHAWALPUR

Submitted To Submitted B"

; ;

Miss. Sund s S! !een

Mu! mm d Ib# # M.com (Finance) 41

I dedicate this work of mine to my Teachers, My Parents and to all My Friends, who truly help and guide me in completing this project.

Master of commerce (M.COM) is a program in which we studied about business and finance. In Pakistan the banking sector is at the maturit stage and banking sectors are the best institutes in which we are easi! understand the practica! e"perience. Master of commerce gi#es us and opportunit to touch the practica! e"perience about business and finance as the internship. $he Internship program in an important part to gi#e students an opportunit to ha#e e"perience of practica! fie!d. %n!ess and unti! the students e"perience the no#e!t of practica! work& their know!edge of what the stud in theoretica! courses remains incomp!ete. $he most important point in an Internship program is that the student shou!d spend their time in a true manner and with the spirit to !earn practica! orientation of theoretica! stud framework. $his Internship 'eport is on m (i" weeks practica! training at $UBL% UNITE& BAN' LIMITE& (HUNA WALA HASIL PUR. In this Internship 'eport I ha#e tried to gi#e detai!s about the %nited )ank *imited& working and the functions of different departments of the bank.

MUHAMMA& IBRAR

First of a!!& I thank m

respected teachers for pro#iding me

comprehensi#e know!edge about Commerce Courses and a!so for pro#iding me the opportunit to comp!ete m Internship Program in %)* to enhance m practica! know!edge about banking sector of Pakistan. I am a!so indebted to the fo!!owings because without their he!p& I wou!d not be ab!e to achie#e this practica! know!edge.

TABLE OF (ONTENTS
(! )te# No.* Purposes of (tud ++++++++++++++++++++++++++++++++++++++++++++++++++ (cope of (tud ++++++++++++++++++++++++++++++++++++++++++++++++++++++ *imitations of (tud ++++++++++++++++++++++++++++++++++++++++++++++++ Methodo!og of 'eport+++++++++++++++++++++++++++++++++++++++++++++ (cheme of 'eport++++++++++++++++++++++++++++++++++++++++++++++++++++ (! )te# No. + .e#e!opment Finance++++++++++++++++++++++++++++++++++++++++++++++++ (easona! Finance++++++++++++++++++++++++++++++++++++++++++++++++ Commercia! Finance+++++++++++++++++++++++++++++++++++++++++ (! )te# No., 1ccount .epartment+++++++++++++++++++++++++++++++++++++++++++++ (! )te# No.)irth of %)*++++++++++++++++++++++++++++++++++++++++++++++++++++ (ubsidiaries++++++++++++++++++++++++++++++++++++++++++++++ Functions of %)*++++++++++++++++++++++++++++++++++++++++ Management of %)*+++++++++++++++++++++++++++++++++ Function of 5ierarch +++++++++++++++++++++++++++++++++ (HAPTER NO.. .eposit .epartment++++++++++++++++++++++++++++++++++++++++ ,/ 13 13 ,4 ,,4 12 14 1/ 10 1, 1, 1, 11-

'emittances .epartment+++++++++++++++++++++++++++++++++++++++++++++++++,2 Muhammad Ibrar M.Com (Finance)

Credit .epartment of %)*+++++++++++++++++++++++++++++++++++++ C!earing .epartment+++++++++++++++++++++++++++++++++++++++++++++++++++

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(HAPTER NO./ Introduction++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Financia! 1na! sis+++++++++++++++++++++++++++++++++++++++++++++++++++++ Common si7e ana! sis of )a!ance (heet+++++++++++++++++++++++++++ -4 -6 44

Common si7e ana! sis of Income (tatement++++++++++++++++++++++++++++41 (HAPTER NO.0 8ua!itati#e 1na! sis of %)*+++++++++++++++++++++++++++++++++++++++++++++++42 (HAPTER NO.1 (9O$ 1na! sis+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++/4 P:($ 1na! sis++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++/(HAPTER NO.2 Marketing .epartments %)*++++++++++++++++++++++++++++++++++++++++++++/0 (HAPTER NO.*3 'ecommendations ; (uggestions+++++++++++++++++++++++++++++++++++++/6 (HAPTER NO.** Persona! *earning++++++++++++++++++++++++++++++++++++++++++++++++++ +++++/3

BIBLO4RAPHY Anne5u#e

Muhammad Ibrar M.Com (Finance)

E6E(UTIVE SUMMARY
$his is an internship report regarding the different products of UBL. It starts with an introduction about )anking fo!!owed b the introduction of UBL. It gi#es a briefing about a!! the financia! products of UBL. $his report a!so inc!udes the different features of these products. 1!! the (er#ices pro#ided b UBL has a!so been discussed and e"p!ained a!ong with the strength and weaknesses of the organi7ation. $his report shows and interna! architecture of the working of the UBL<s )usiness. It gi#es a detai! about the supporting department that has he!ped the business in their dai! working. 1!so it discusses the ob=ecti#es& po!icies of the organi7ation. $here are a!so some suggestions>recommendations for UBL.

(HAPTER NO.*
Muhammad Ibrar M.Com (Finance)

INTRO&U(TION7
(tudents of M.Com stud ing courses !eading to Master degree in Commerce are re?uired to undergo an internship programme of (i" 9eaks duration. $his is an essentia! academic re?uirement. $he internship is fo!!owed b comprehensi#e report writing& re?uired to submit to the Is!amia %ni#ersit )ahawa!pur )ahawa!nagar campus In .epartment of Commerce. $his report is proper! e#a!uated on the basis of its description and ana! tica! capabi!ities b interna! and e"terna! e"aminers. I did m internship in %nited )ank *imited Chuna 9a!a )ranch.

PURPOSE OF STU&Y7
$he purpose of the stud is to work in rea! !ife situation and !earn banking practice b doing. In this conte"t its ob=ecti#es are@ i. ii. iii. $o ana! 7e banking operations i.e. operationa! ana! sis& financia! ana! sis. $o de#e!op concrete and feasib!e recommendations. $o impro#e report writing ski!!s.

S(OPE OF STU&Y7
$he stud is confined to banking operations. 1n attempt& a!ong with a!! its !imitations& to co!!ect financia! data and genera! statistics of the bank has been made. Aeeping in #iew the purpose of the stud & which is to make an ac?uaintance with practica! doings in the bank& this seems a comprehensi#e effort.

LIMITATION OF STU&Y7
Muhammad Ibrar M.Com (Finance)

It is to admit that the stud attempts on! those aspects& which are c!ose! re!e#ant to the purpose of the stud . Facts and figures& which otherwise might be e?ua!! important& but not ha#ing a direct bearing on the conc!usions arri#ed at this stud & ha#e been ignored.

METHO&OLO4Y OF STU&Y7
)oth primar i. and secondar data were used in compi!ation of the report.

Methodo!ogica! too!s used were@ P#im #" & t 7 ii. Persona! Obser#ations. .iscussion with )ank Personne!.

Se8ond #" & t 7 )rochures> Manua!s of the bank. 1nnua! 'eport (tate )ank Foreign :"change Manua! )ank internship reports on %)* a#ai!ab!e in !ibrar . Bourna!s& newspapers and books. Internet.

(HAPTER NO.+
Muhammad Ibrar M.Com (Finance)

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&e9e:o)ment ;in n8e

*oan pro#ide for tractors agricu!ture instrument tubewe!! turbine& !and !e#e!ing etc $ractor !oans are reco#er within fi#e ear& on ha!f ear! basis other agricu!ture instrument !oans repaid within three ear ,/C borrower contribution the borrower can app! for !oan& the borrower worth can be decide on its propert If a person ha#e14 acher !and $hen the patwari make its unit with some specific process these unit mu!tip! 444 and ha#e some #a!ue or amount then 64C of this #a!ue can obtain b borrower for this process fo!!owing thing are re?uired Procedure for *oan 1pp!

1. Ahasra+e+girdawari@this the actua! record of cu!ti#ated !and ,. 'egister ha?daran+e+7ameen @ownership of !and -. 1gri credit officer (1CO) 4. $he work of 1CO is to #isit the site and in#estigate about the borrower a!so #isit in tehsi! for !ega!! documents for !and and actua! !and record /. Proposa! 1fter in#estigating the 1CO submit a report to head office in this report the fo!!owing thing or re?uirements are mentioned $erm and condition (ecurit support Recommendation 9orth of !and !oan amount

B # on <#i : nd7
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1fter appro#a! the proposa! the branch entries in DP1(()OOAE and #erif this passbook b patwari and re?uest the patwari p!eases transfer this !and temporar toward bank

A<#eement IB
)ank and customer agreement term and condition specif . *oan amount specif ) back price 1greement date of issue and date of end (ignature of customer witness signature Facility letter Pass book Feerbad certificate Mutated fard

1ttach these document with form a case make and this case forward to head office If the head office appro#a! this case then bank charge interest 14 to 1, C $his mark up or interest is on dai! basis

Se son : ;in n8in<7


*oan pro#ide on seasona! crops !ike cotton ice factories& oi! mi!!s& agri re!ated industr . *oan pro#ide on different crops (ugar cane@ 9heat@ 'ice@ Potatoes@ Muhammad Ibrar M.Com (Finance) 6444 per acher 4444 to /444 per acher 4/44 to /444 1444 to 1,44

1,

(omme#8i : ;in n8in<7


*oons pro#ide for shops medicine sere& business etc the fo!!owing re?uirement are necessar . Procedure@ Propert documents GOC@ no ob=ection certificate G:C@ non encumbrance certificate (ma!! amount estimate b bank 1bo#e 1 mi!!ion C1 estimator :M>C'M@ propert for securit

In 8 se o; #ene= :
1pp!ication re?uest for renewa! !oan )a!ance sheet Profit !oss ca!cu!ation.

Muhammad Ibrar M.Com (Finance)

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(HAPTER NO., A88ount &e) #tment


In simp!e word account department performs the fo!!owing functions. $he dai! working of a!! the departments is comp!eted and compi!e in this department for the preparation of cash cum da book for the u!timate preparation of dai! statement of affairs of the branch. In 1>C department a!! the subsidiar !edgers are inc!ude maintenance of income and e"penditure subsidiar !edgers are prepared. Henera!<s t pes of statements ca!!ed b '58 and head office are prepared. Income statement and e"penditure statement at the end of each month is prepared. If there is an mistake in an record it is checked and remo#ed in 1>C department.

Henera!! there are two t pes of maintaining of account@ Bourna! ( stem Ioucher ( stem

In commercia! industria! institution =ourna! s stem is used. In =ourna! s stem entries are reported on =ourna! books and then posted to main !edger. In banking #oucher s stem is used and for e#er transaction #oucher has to be prepared. Vou8!e# )#e) # tion7 Iouchers are prepared in Cash $ransfer C!earing

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Re8o#d boo>s
$he books used for record keeping in accounts department are@ P "ment boo> S8#o:: boo> ( s!ie#?s boo>s T# ns;e# boo> @ou#n : :ed<e# boo>s

P "ment boo>7
1t the end of business a!! the instruments are entered in pa ing book. Cashier writes grand tota! of these instruments in words and figures signs in fu!! on it and send it to the officer. Officer check and put initia! in front of each and e#er entr and signed in fu!! on grand tota!. S8#o:: boo>s It is designed for credit #ouchers i.e. for the amount deposited against the issuance of $$s or ..s etc.

Re8ei9in< 8 s!ie# boo>


Part goes to cashier and deposit the cash. Cashier takes the cash enters the #oucher in recei#ing cashier<s book signs in fu!! on it and send it to the officer. Officer puts his initia! in front of each and e#er entr and affi" cash recei#ed stamp on it. 1t the c!ose of the business officer after checking recei#ing cashier<s book wi!! sign in fu!! on it.

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T# ns;e# boo>
$ransfer book is used to keep record of that transaction in which there is no cash in#o!#ement. the amount of one che?ues is transfer from one account to other account in the same bank& the account in the same bank& the account from which the che?ues wi!! be drawn is written on right page which is .r. page and the account in which the che?ues is deposited is written on !eft page of transfer book which is Cr. Page.

@ou#n : :ed<e#7
$he dai! transactions are entered in this !edger. $he !edger has two portions@ .ormant section Current section .ormant section contained the accounts in which there is no transaction for a !ong period. 9hi!e current section is for running account.

Su)):ement #" )#e) # tion7


1>C c!erk accumu!ate the different #oucher transaction wise on a sheet and conso!idates into one figure ca!!ed supp!ementar . $here are two t pes of supp!ementar . i. ii. .ebit supp!ementar Credit supp!ementar .ebit supp!ementar is used for debit #oucher e"penses and credit supp!ementar is used for credit #oucher e"penses. $hese are of red and green co!or respecti#e! . From this supp!ementar cash cum da book is he!pfu! for the preparation of statement of affairs of the da . Muhammad Ibrar M.Com (Finance)

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OPENIN4 OF AN A((OUNT
'e?uirements for 1ccount Opening $i% A88ount O)enin< Fo#m It is a form that contains the account number& date& tit!e of the account introducer<s name and address& specia! instruction (if an ) information about Fakat deduction and mode of de!i#er of checkbook etc. $hen this fi!!ed form is submitted in bank& the bank admits the signatures of the app!icant and #erifies the introducer<s signatures (specimen is enc!osed in 1ppendi") (ii) S)e8imen Si<n tu#e ( #d $his card contains account number& tit!e of the account and the specimen signatures of the account ho!der. 9hen this form is submitted in bank the bank officer admits the signatures of the app!icant and keeps this specimen card in record $iii% (!eAue ReAuisition S:i) $his is a re?uest made b the c!ient to the bank to issue him a checkbook containing number of !ea#es mentioned. 9hen this s!ip is submitted in bank& the bank as per instruction the account of the person is debited or the c!ient pa s the amount in cash. If the account is to be debited then part debit #oucher is prepared which is actua!! intimation to the part that her account has been debited. )ut if the amount paid is in cash& then cash is debited which is actua!! cashier<s stamp. 'egard!ess whether the account is debited or cash is debited the account heads of Centra! :"cise dut and (a!es $a" are credited.

OPENIN4 OF AN IN&IVI&UAL A((OUNT


Fo!!owing are the re?uirements for opening of an indi#idua! account. 1. 1 photocop of Gationa! Identit card. ,. Fi!!ed 1ccount Opening Form -. $hree photographs if the person is not ab!e to sign.

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OPENIN4 OF @OINT A((OUNT


For this account in addition to abo#e said documents nationa! I. card of a!! the account opening parties is re?uired. 1!so in the bo" of specia! instruction it shou!d be c!ear! mentioned that one person<s signatures wi!! be enough to get it honored the check or there shou!d be signatures of a!! the parties.

OPENIN4 OF A PARTNERSHIP A((OUNT


1!ong with the other document& Dpartnership deedE is a!so re?uired. 1 partnership deed is a document that shows the nature of the business that wi!! be carried out b the partners& number of the partners& their share. 9ho wi!! run the business& what wi!! be the profit and !oss sharing ratio& what wi!! be the initia! in#estment of each partner& who wi!! be the !imited partner and who wi!! maintain the account with the bank. 1ccording to bank point of #iew the most important thing is the person<s name who wi!! maintain the account with bank. Gationa! identit card of the person who wi!! maintain the account is re?uired.

OPENIN4 OF AN A((OUNT OF A SOLE PROPRIETORSHIP A((OUNT


1!ong with the other documents& so!e proprietorship dec!aration is a!so must. concern. In this dec!aration the proprietor of the concern wi!! dec!are that he is the so!e proprietor of the

OPENIN4 OF AN A((OUNT OF A PRIVATE LT&. (OMPANY


If someone is interested in opening an account of a pri#ate !imited compan then in addition to abo#e documents fo!!owing documents are re?uired.

BIRTH OF UBL7
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On Go#ember 3& 13/3& %)* was notified and inc!uded as a pri#ate schedu!e bank with authori7ed capita! of 's. ,4 mi!!ionJ issued and paid up capita! of 's. 14 mi!!ion di#ided into 1 mi!!ion shares of 's. 14> each. Current! )O. and president> C:O Mr. 1mar Fafar Ahan being a member of this new! formed set up manage %)*. Chairman 5is 5ighness (haikh Gaha an Mabarak 1! Gaha an and .eput Chairman (ir Mohammed 1nwar Per#e7 are the two supreme contro!!ers of the bank<s affairs.

NUMBER OF BRAN(HS7
%)* has a !arge network of branches& which e"tends to the remotest areas of the countr . In .ecember 136-& there were 10,- branches whereas in 1324 it had on! 1,-6 branches and in October ,443 these figures show tota! number of 111, branches-. %)* has been #er acti#e in increasing its o#erseas branches network. $he first foreign branches were estab!ished in *ondon in 130-. Gow %)* has branches in )ahrain& 8atar& (audi 1rabia& %nited 1rab :mirates& Kemen 1rab 'epub!ic& %A (wit7er!and& :g pt& Oman and $he %nited (tates. $hese branches are p!a ing a significant ro!e in channe!ing home remittances and foreign trade of Pakistan.

SUBSI&IARIES7
%)* has four subsidiaries& name! @ %nited Gationa! )ank *imited (%G))& %A %nited )ank 1H (Furich)& (wit7er!and %nited :"ecuters and trustees Compan *imited %nited )ank Financia! (er#ices (Pri#ate) *imited

FUN(TIONS OF UBL7
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Muhammad Ibrar& (,414) Internship 'eport On %)* Chuna 9a!a )ranch 5asi! Pur

Muhammad Ibrar M.Com (Finance)

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%)* is a commercia! bank& which transacts the business of banking in accordance with the pro#isions of )CO& 130,. (ection 2 of the 1ct authori7es banks to engage in the prescribed form of business. In the !ight of this section %)*<s functions can be categori7ed as under@ 1genc ser#ices Henera! %ti!it (er#ices %nderwriting of !oans raised b the Ho#ernment or pub!ic bodies and trading b corporations etc. Pro#iding specia!i7ed ser#ices to customers& and 5a==+re!ated ser#ices.

ROLE OF UBL BAN'IN4 SE(TOR7


$he impressi#e growth and de#e!opment& which %)* achie#e& present it undoubted! the most d namic and progressi#e. In a #er shorter period of time it became one of the !eading banks o#ertaking se#era! other o!der and its competitor banks 4. $he ma=or contributions/ the bank ahs made are en!isted be!ow@ 'ecord setting performance and commitment to ser#e the customers Persona!i7ed ser#ice and d namic approach Cata! st of changes Professiona! management Modern banking po!ic 5uman resource de#e!opment (ma!! !oans (or) micro credits
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Muhammad Ibrar& (,414) Internship 'eport On %)* Chuna 9a!a )ranch 5asi! Pur

Muhammad Ibrar M.Com (Finance)

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Pacesetter in economic research estab!ished in 1302& department for economic research. %ti!it bi!!s co!!ection Credit cards (unicard+1324) $ra#e!ers Che?ues (5umarah+1321)

(OMPUTERIBATION OF UBL7
%)* has taken !eading start in the introduction of computers in (1300+1306) in important cities. Its three computers centers 'awa!pindi& *ahore and Aarachi are e?uipped with the modern mainframe computers of #arious capacities. :#er branch has been decorated with microcomputers. $he use of computers has enab!ed the bank to sa#e time and efforts raise efficienc and de!i#er the goods speedi! to its customers. $his has a!so a!!owed the bank to maintain its !eadership within the industr . UBL C On :ine S"stem77 $hemes of this ser#ice is D1ccess an time& an where& an de#iceE which s mbo!i7es comfort& con#ince and connecti#it . %)+On!ine a web based ser#ice that can be accessed through mu!tip!e media !ink !ike& (i) PC #ia internet (44) Mobi!e phone with 91P or free (M() (iii) Persona! .igita! (i#) assistants and (#) P!ain te!ephone o 1ccounts statement ; e!ectronic data interchange o Hraphica! ana! sis o 1!erts ser#ice >faci!it & search faci!it and acti#it !ong Mone" 4# m ; 8i:it"7

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Muhammad Ibrar& (,414) Internship 'eport On %)* Chuna 9a!a )ranch 5asi! Pur

Muhammad Ibrar M.Com (Finance)

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$he bank has recent! emp!o ed mone gram ser#ice s stem& which can affect mone transfers within minutes. (imi!ar! the s stem used for !oca! transfer of mone transactions is ca!!ed uni+remote. H DD se#9i8e7 Aeeping to its tradition is august 136, pro#ided e!ectronic faci!it at its 5a== booth and has insta!!ed now modern computers at designated branches (5a=is) and increasing efficienc . $his faci!it has reduced the ser#ice time to !ess than si" minutes per 5a=i compare to about ha!f+an+hour to 4/ minutes per 5a=i ear!ier.

Muhammad Ibrar M.Com (Finance)

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MANA4EMENT OF UBL7 (! #t +.* Senio# M n <ement o; UBL

(heikh Gah an Mabarak Gaha an chairman (ir Mohammad 1nwar Per#e7 .eput Chairman 1mar Fafar Ahan President M.1 Manna .eput C:O Gauman 5ussain .irector Operations ; %ti!ities Mansoor M. Ahan 5ead Corporate )anking Hroup (hahar ar 1hmed 5ead In#estment )anking group (hahid 9a?ar Mehmood 5ead Commercia! bank 1man 17i7 (iddi?ue 1!i sameer Chief (1M (domestic) 5ead Internationa! Operations (.ubai) 'isha Mohe uddin H!oba! $reasurer Aha!id Munawar+ud+din 5ead Credit Po!ic (uper#ision Muhammad :=a7uddin 1udit Chief Mehboob 1.Ahan

'ukhasana 1sghar H!oba! 5ead 5uman 'esources 1meer Aarachiwa!a Chief financia! Office>5C1

Muhammad Ibrar M.Com (Finance)

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FUN(TION HIERAR(HY7 O#< niE tion : Hie# #8!" o; UBL


Chairman

.eput Chairman )oard of .irectors :"ecuti#e Committee Managing .irector (:IP :IP IP

Officer Hrade+I
Gon C!erica! (taff C!erica! (taff Officer Hrade+II Officer Hrade+III

(HAPTER NO..

Muhammad Ibrar M.Com (Finance)

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&EPOSITE &EPARTEMNT
1s per the definition of D)ankingE under see /(b) of )CO 133, one of the main functions of a bank is to accept deposit. .eposits are the backbone of an bankJ other functions of the bank primari! depend upon the t pe and si7e of deposits.

Fun8tion )e#;umed b" 8 s! nd de)osit de) #tment in UBL(!un W : B# n8! Chuna 9a!a )ranch accepts deposits under the fo!!owing three accounts. i. ii. iii. Current account P*( (a#ing account $erms .eposits

O)enin< o; A88ount7 $o open an account in %)* the customer wi!! ha#e to fi!! an account opening form in front of bank officer. 5e has to sign in a!! re?uired p!aces in front of the officer. &o8uments ReAui#ed in A88ount O)enin<7 i. ii. iii. i#. #. #i. G.I.C Cop . 1ccount opening form (pro#ided b bank) $wo photograph (in case of i!!iterate person) (pecimen (ignature card (Pro#ided ) )ank) Che?ue 'e?uisition Form Introduction of 1ccount.

T")es o; A88ount7
. Indi9idu : A88ount In this account a sing!e customer operates the account. $he banker wi!! run the account according to the ru!es& but if the customer gi#es specia! instructions the )ank wi!! ha#e to fo!!ow it. Muhammad Ibrar M.Com (Finance)

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b.

@oint 88ount7 In this t pe of account two or more than two persons wi!! open the account. $he

account wi!! be operated b one account ho!der in case of (either of the sur#i#a!). If the instructions are not gi#en& a!! the account ho!ders wi!! ha#e to sign the check.

NATURE OF A((OUNTS IN UBL NOWSHEREA


A% (u##ent A88ount7 $hese are non+profitab!e demand accounts. $he account can be opened with minimum amount of rupees 1444>+. $hese account are usua!! maintained for business purpose. .ue to enormous competition %)* has introduced dai! profit current account for corporate c!ients ca!!ed (%GI(:I:') minimum ba!ance re?uired is 's. 144&444>+. If minimum ba!ance re?uirement is not met& bank is authori7ed to reco#er predetermined charges. B% PLS S 9in< A88ount $hese accounts were intended with the aim of encouraging thrift among peop!e. $hese accounts can be opened either in Pakistani rupees or in few ma=or currencies of the wor!d. )ank offers (4C+ 0C) return on these accounts. $he basic feature is the profit and !oss sharing as according to non+interest based banking s stem. $hese accounts can be opened in the name ofJ indi#idua!s& =oint names& trust accounts& charitab!e organi7ations. %n!ike current accounts& Fakat is app!icab!e on !oca! currenc sa#ing accounts. Minor<s accounts can be opened on the condition that their guardians sha!! operate these accounts.

(% Te#m &e)osits7 $erm deposits are a!so ca!!ed fi"ed deposits. $hese can be with drawn after a specified period of time. Interest is paid to the depositor on a!! fi"ed or term deposits. $he rate of return #aries with the duration for which the amount is kept with bank $here are two t pes of term deposits.

Muhammad Ibrar M.Com (Finance)

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ST&R?S F S)e8i : Te#m &e)osit Re8ei)t $:o8 : 8u##en8"%7 (pecia! $erm .eposit 'eceipts are issued for different periods of maturit ranging from one month to / ears& ha#ing attracti#e returns. $here is no !imit on denominations.

ii.

,.+.,.+ NT&R?s F Noti8e Te#m &e)osit Re8ei)t $:o8 : 8u##en8"%7 $hese are term deposit with specia! features that these can be withdrawn an time but after gi#ing a predetermined and pre agreed ear! notice.

REMITAN(ES &EPARTEMNT7
Current business trends demand fast mo#ement from one geo+graphic end to another. *atest techno!og and te!ecom data transmission has made it possib!e to make such transactions with in minutes. %)* Chuna 9a!a 'emittances .epartment performs fo!!owing functions. &em nd d# ;t $&.&% ... is a negotiab!e instrument issued b branch of the bank drawn on other branch of the same bank.
A% P#o8edu#e Fo# &.&.7

Purchaser is asked to fi!! in an app!ication form du! singed b app!icant. $hree things shou!d be maintained in the form. Game of Pa ee P!ace of pa ment 1mount of ... Commission is charged on ... as bank income. $he app!icant is asked to deposit the cash specified on the app!ication form to the te!!er. 1fter depositing cash the remittances incharge prepare a .... $hat is singed b two officers must ha#ing power of attorne . )ank a!so pro#ides this faci!it to genera! pub!ic who don<t ha#e account in %)*. $he wi!! ha#e to submit a G.I.C cop a!ong with ... app!ication form.

Muhammad Ibrar M.Com (Finance)

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Te:e<# )!i8 t# ns;e# $T.T%7 $ransfer of funds to another branch of the same bank with the he!p of test numbers. If the test number agrees the bank make pa ment to the part . A% P#o8edu#e ;o# T.T7 $he procedure for $.$ is same as .... )ut in ... it is gi#en on a printed+paper and singed b two officers but& in $.$& on! test number is gi#en to the customer. M i: T# ns;e# $MT% 9hen the mone is not re?uired immediate! & the remittances can a!so be made b M$. 5ere the se!!ing officer of the bank sends instructions in writing b mai! to the pa ing bank for the pa ment of a specified amount of mone . $he pa ment under transfer is made b debiting the bu er<s account at the sending office and crediting it the recipient<s account at the pa ing bank. %)* takes mai! charges from the app!icant where no e"cise dut is charged. P " O#de#s7 Pa order is banker che?ue issued fa#oring a named beneficiar . $he issuance bank is discharged b pa ment in due course. 1pp!ication for the PO stamped and the customer<s account ba!ance is checked or cash recei#ed for the amount PO and other charges. Pa Order !eaf is t ped and crossed if re?uired and signed b two authori7ed persons. $hereafter it is de!i#ered to the customer. PO can be cance!!ed at origina! purchaser<s re?uest in writing and surrender the instrument& which then marked cance!ed a!ong with other documents and prior entries. Su))e# T# 9e:e# (!eAues7 %)* has !aunched '.$.C )rand named D5amrahE in Go#ember 1330. $hese are issued to app!icants with #aried denominations without e"cise dut and commission. 9hen issued 5O account is credited and on encashment the same account is debited. '$C<s !ost cases are communicated to 5O and c!ient is either repaid or new '$C<s are issued to him>her.

Muhammad Ibrar M.Com (Finance)

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(RE&IT &EPARTMENT OF UBL UBL (#edit Po:i8"7


Credits operations are undertaken in accordance to bank<s credit po!ic . $he po!ic strict! prohibits #io!ation of ()P>*oca! centra! bank<s ru!es and suggest financing of se!f !i?uidating& cash f!ow supported and we!! co!!atera!i7ed transactions& which e?uate the princip!e of !ending (safet & !i?uidit & dispersa!& remunerations and suitabi!it ).

(RE&IT &EPARTMENT OF UBL (!un W :


Faci!ities offered b %)* Chuna 9a!a 'unning Finance (for one ear) .emand Finance (-to / ears) P#o8edu#e ;o# Fin n8in< ;#om UBL 9hen a part comes for financing& banker wi!! ask the fo!!owing ?uestions. Pu#)ose7 In this the part mentions the purposeJ the want to app! for the finances. Go !ending is done with out purpose. Business $he part must ha#e some specific running business i.e. genera! merchandise& construction business etc. $he second ?uestion arises of the cash f!ow that how much f!ow is generated b the part from the current business. Se8u#it"7 $he bank wi!! secure itse!f against the !ending. $here can be two t pe of securit . Commercia! 'esidentia!

Muhammad Ibrar M.Com (Finance)

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$he bank prefers commercia! securit . 'e!ationship Manager ('M) is main! responsib!e for the re!ationship between the bank and part . 5e acts !ike a bridge between the two. In the first instance the part wou!d prepare the fo!!owing propert documents. 1A( (ha=arah Ga?sha $as#eeri 1ppro#ed )ui!ding P!an $resh fard Inta?a! Ga?a! $he part is asked to contact an #a!uator on the pane! of %)*. ICM;* and $a=ak )ui!der are on the pane! of %)* Chuna 9a!a. $he #a!uator wi!! #isit the site and set market #a!ue and F(I of the said propert . 5e prepare report of at !east three pages. $hese document sent for one page !ega! opinion to an !a er on the pane! of %)*. 5a#ing c!ear !ega! opinion 'M start preparing credit 1ppro#a! (C1). $he documents are singed b the 'M ; 1M and then forwarded to %)* '58 in Peshawar. 5ere ('M e"amines the C1 if he found some e"ception he wi!! send it back to the respecti#e 'm. 'M rectifies the acceptation and send it back to ('M. ('M studied and pass it to credit officer. 5e has three hours of time to stud the C1 and if found correct then he pass it to another credit officer. 1fter his e"amination the C1 is passed on to the credit risk manager. 5e checks the C1 and after signing it sent to C1.. 5e forwards the C1 to (CO. 9hose office is at %)* '%CO at *ahore& after his signature the C.1 is sent back to 'C1.. 'C1. make a check !ess !ist and asked the 'M to contact the part to comp!ete the said documents the are. *etter of continuit Persona! Huarantee *etter of h pothecation of stock ..P Gote Mortgage .eed GIC of e"ecutants and witness Muhammad Ibrar M.Com (Finance)

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(tock report Insurance po!ic Part profi!e 1fter comp!etion of charge document 'M send it to 'C1. when the found it correct& the issues .1C. 1 cop of .1C is sent to 'M and GICF account is opened and debit transaction starts.

(LEARIN4 OF BILLS7
4ene# :7 )ank can make pa ments of on! open Che?ues on the counter pa ment. Pa ment of cross Che?ues cannot be made on counter its pa ment is possib!e through co!!ecting bankers. $he functions of c!earing department are di#ided into two main c!asses. Inter )ranch $ransaction Inter )ank $ransaction P#o8edu#e o; (:e # n8e o; (#oss $(!eAues%7 9hene#er bank recei#es a Che?ue of other bank from the c!ient he cannot make pa ment on the counter. $he first =ob banker has to perform is to put a specia! crossing across the face of che?ue. ) specia! crossing che?ue is secured. If it is sto!en the pa ing banker wou!d not suffer because of non+endorsement. On the back of the che?ue the stamp is made of pa ee account wi!! b credited on rea!i7ation. It is signed b authori7ed person. 1!ong with the cross che?ue the customer has to fi!! the deposit s!ip. $he ha!f part of s!ip is gi#en back to the customer. after the specia! crossing and is necessar endorsement the banker write the amount a!ong with che?ue number on paper and attach with each s!ip. $hen again on he smi!e paper the amount of a!! the Che?ues a!ong with the bank names are added and attached to che?ue presented for c!earing& and ad#ice is a!so attached with the che?ue presented for c!earing. $he fo!!owing entr is passed on sending the che?ue for c!earing. )i!! !odged for c!earing LL. .r Muhammad Ibrar M.Com (Finance)

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)i!! for co!!ection LLL. Cr $he Che?ues are sent on the same da for c!earing. $he bank recei#es it on other da . $he pa ing bank recei#es the receipt and the amount is credited in the respecti#e account. $he pa ing banker passed the fo!!owing. )i!! for rea!i7ation. LL. .r )i!! !odged. LLL. Cr $he other entr passed its .r. 58 account and Cr Part account. I B (7 It means DInter )ranch $ransactionE when %)* recei#ed a Che?ue a drawn on the customers of his branchJ first the wi!! Che?ue the amount in the account on which Che?ue is drawn. Of the re?uired amount is a#ai!ab!e in the account the wi!! match the signature on the Che?ue a!ong with their (( card. If a!! the re?uirement are comp!eted the bank wi!! send an I)C1 to the bank from which Che?ue is sent

L B (7 *)C means !oca! branch Che?ues recei#ed for co!!ection. %)* Chuna 9a!a& recei#ed Che?ues from their spoke braches as we!! as from other %)* branches of the countr & drawn of an other bank in Chuna 9a!a. $he send the Che?ue to responding bank and after c!earing the Che?ue through c!earing houses (which is G)P) in Chuna 9a!a. $he send *)C ad#ised to the bank from which the Che?ue was recei#ed. $he fo!!owing entr is passed after sending *)C1. G)P a>c LLL. .r 5o a>cLLL. Cr

Muhammad Ibrar M.Com (Finance)

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OB( 9hen the bank recei#es the Che?ue from its customer or from an other spoke branch drawn on an other bank of an other cit . $he sent the Che?ue to the %)* main branch of that cit & after recei#ing O)C1 the bank wi!! passed the fo!!owing entr . In case of his own customers. 5o a>cLLL. .r Customer a>cLLL. Cr In case of spoke branch 5o a>cLLL. .r (poke )ranch a>cLLL. Cr

(HAPTER NO./ INTRO&U(TION


$hese section efforts ha#e been made to co#er a!! re!e#ant aspects of the financia! performance of %)*. O#ertime comparison and Common (i7e ana! sis are carried out with

Muhammad Ibrar M.Com (Finance)

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the #iew to e"tract concrete conc!usion to describe financia! standing and performance of the bank.

SI4NIFI(ANT A((OUNTIN4 POLI(IES


Re9enue Re8o<nition

'eturns on ad#ances and in#estments are recorded on accrua! basis. .ebts securities purchased at premium or discount are amorti7ed o#er their maturit periods. .i#idend income is recogni7ed on accrua! basis of dec!aration of di#idend up to the ear+end. 'eturns on c!assified assets are recorded on receipt basis. ccrua! basis.

Ad9 n8es
$hese items are stated net of pro#isions against non+performing !oans as per ()P P' M IIII.

In9estments7
%)* c!assif its in#estments as stated be!owJ a) 5e!d for trading b) 5e!d to maturit c) 1#ai!ab!e for sa!e+other than the abo#e two t pes In the !ight ()P regu!ations ?uoted securities are shown at market #a!ues and an changes arising are taken to profit and !oss account on! upon actua! rea!i7ation. %n?uoted securities are #a!ued at the !ower of cost and break up #a!ue and difference is charged to income. Pro#isions for diminution in the #a!ues are made after permanent impairment& if an .

Fi5ed Assets nd &e)#e8i tion


. O=ned (uch assets are showed at their cost or re#a!ued amount !ess accumu!ated depreciation and impairment !oss& if an . Go depreciation is charged on freeho!d !and.

.uring the ear& amendment re!ated to section ,-/ of the Companies Ordinance 1364& Muhammad Ibrar -4 M.Com (Finance)

surp!us on re#a!uation can now be re#ersed to the e"tent of incrementa! depreciation charged. 1s a resu!t such differentia!s are now transferred to retained earnings>accumu!ated !osses as per the (ecurities and :"change Commission of Pakistan<s ((:CP) c!arifications. Hains and !osses on sa!e of fi"ed assets are inc!uded in income current! & e"cept that the re!ated surp!us on re#a!uation of fi"ed assets is transferred direct! to retained earnings>accumu!ated !osses. b. Le sed 1ssets under financia! !eases are stated at cost. $he outstanding ob!igations are shown as a !iabi!it . $he finance charges are a!!ocated to accounting periods in a manner so as to pro#ide a constant periodic rate of charge on the outstanding !iabi!it .

T 5 tion
% (u##ent Pro#ision is based on the ta"ab!e income for the ear or minimum ta" computed on the basis of turno#er& whiche#er is higher.

b% &e;e##ed
$he bank accounts for deferred ta"ation on ma=or timing differences& using the !iabi!it method in respect of those timing differences& which ma re#erse in the foreseeab!e future. .eferred ta" debits are& howe#er& recogni7ed on! if there is reasonab!e e"pectation of rea!i7ation of the amount. 8. Fo#ei<n (u##en8ies7 )a!ances are trans!ated into rupees at the app!icab!e rate of e"change pre#ai!ing at the ba!ance sheet date or where app!icab!e at contractua! rates. .uring ear transactions are con#erted into Pak rupees app! ing the e"change rate at the date of respecti#e transactions. Hains and !osses are inc!uded in income current! . d. &e;e##ed (ost nd Le se P "ments $hese are amorti7ed o#er a period of fi#e ears. 'enta! ob!igations under operating !eases are charged to profit and !oss account as incurred. Muhammad Ibrar M.Com (Finance)

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RIS' MANA4EMENT
$he bank is primari! sub=ect to interest rate& credit and currenc risks. $he bank has

designated and imp!emented a frame work of contro!s to identif & monitor and manage these risks are as fo!!owJ

(u##en8" Ris> M n <ement


For the purpose of efficient management of this risk& the group enters into read & spot& forward and swap transactions in the inter bank market and with the (tate )ank of Pakistan in order to kedge its assets and !iabi!ities and co#er its foreign e"change position.

(#edit Ris> M n <ement


Out of the tota! assets of 's.16-& 1-3.623M assets sub=ect to credit risk amounted to 's.126J 3/6.-,-M. $he bank<s ma=or credit risk is concentrated in te"ti!e sector. $o manage it the bank app!ies credit !imits to its customers and obtains co!!atera!s. Credit risk in the portfo!io is monitored b the C'M who formu!ate appropriated po!icies and procedures to ensure bui!ding and maintaining ?ua!it credits and efficient credit process. $he bank<s financia! institution risk management unit assesses& recommends financia! institutions and a!so contro!s cross border>countr risk.

Inte#est # te Ris> M n <ement


$he group is main! e"posed to mark up interest rate risk on its deposit !iabi!ities and its !oans and ad#ances and in#estment portfo!ios. $he asset !iabi!it committee of the bank re#iews the portfo!io of the bank to ensure that risk is managed within acceptab!e !imits. Most of the !oans and ad#ances portfo!io comprises of working capita!& which are reprised on Muhammad Ibrar M.Com (Finance)

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a periodica! basis. $he group<s interest is !imited since the ma=orit of customer<s deposits are retrospecti#e! princip!es. reprised on a si" month! basis due to the profit and !oss sharing

INVESTMENT PORTFOLIO
%)* emp!o s di#ersified in#estment portfo!io. $he bank in#ests its funds both in risk free assets as we!! as in risk assets. $his enab!es it to minimi7e its uns stematic risk to a great e"tent. %)* #a!ues its securit ho!ding on market #a!ue& in accordance with the guide!ines gi#en in ()P circu!ar. 1n unrea!i7ed surp!us>deficit arising on such re#a!uation is taken direct! to D(urp!us>.eficit on re#a!uation of securitiesE in the ba!ance sheet. 9here an acti#e market is not a#ai!ab!e& securities continue to be stated at cost. Pro#ision for diminution in the #a!ue of these securities is made after considering permanent impairment& if an & in their #a!ue. 9here securities are so!d sub=ect to commitment to repurchase them at a predetermined price& the remain on the ba!ance sheet and a !iabi!it is recorded in respect of the consideration recei#ed in D)orrowing from )ankE or D.epositsE as appropriate. Con#erse! & securities purchased under ana!ogous commitments to rese!! are not recogni7ed on the ba!ance sheet and consideration paid is record in D!ending to financia! institutionsE or D!oans and ad#ancesE as appropriate.

PROFITABILITY
$he operating profit before pro#isions and write offs increased b 64C& where as the profit before ta" and e"traordinar items increased b 0,C as compared to !ast ear. $he increase is main! attributed to 14C increase in the net re#enue from funds (G'FF)& 14C increase in fee and brokerage income and 2/C reduction inn write offs>pro#isions for non+performing assets as compared to ear ,446.

Muhammad Ibrar M.Com (Finance)

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Performing ad#ances increased b 's. , bi!!ion as compared to ,446 whi!e GP1s decreased b /-C. Present! GP1 constitutes 2.4C as compared to 14.0C in ,446 of the tota! !oan portfo!io. $he branches reduced to 1422 from 111,. $he bank hand!ed o#er 's. 30 bi!!ion of import and e"port business during the ear& an increase of ,4.2C as compared to !ast ear.

FINAN(IAL ANALYSIS
Financia! statements are the principa! means of reporting the financia! condition and resu!ts of operations of a business entit . $hese statements are meant to assist #arious parties in decision making who are interested in the acti#ities of the business. $hese statements are means to an end of he!ping stakeho!ders in decision+making. $o impro#e the ?ua!it of decision making proper ana! sis of these statements he!ps a !ot. Financia! statements ana! sis he!ps in determining the financia! conditions at an particu!ar points in time and

effecti#eness of operations of a firm during a specific period. $he #arious stakeho!ders of business are interested in the ana! sis of financia!s statements. )ut the focus of interest of a!! is not the same. For e"amp!e& creditors and credit reporting agencies are interested in finding out the credit worthiness of the firm to which the ha#e e"tended credit or intend to e"tend credit. (hort term creditors are interested in short term !i?uidit of the business and !ong term creditors are interested in the !ong term cash f!ow which the firm can generate o#er the !ong period of time. In#estors are interested in the firm<s abi!it to sustain profitabi!it o#er a period of time. Ho#ernment agencies ana! 7e financia! data for ta" purposes. $he interna! users of financia! statements !ike management a!so ana! 7e financia! data for p!anning and contro!.

(OMMON SIBE ANALYSIS OF BALAN(E SHEET


Common si7e ana! sis is an ana! sis of financia! statements where the tota! assets di#ide a!! ba!ance sheet items of asset side and a!! credit side ba!ances di#ided b a!! !iabi!it items& and a!! income statement items are di#ided b net sa!es>re#enues. Common si7e ana! ses are Muhammad Ibrar M.Com (Finance)

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e"treme! he!pfu! to high!ight changes o#er the time in financia! performance and financia! conditions of the compan . $he tab!e shows common si7e ana! sis of the ba!ance sheets for the ears ,442& ,446 ; ,443. $he common si7e ana! sis gi#en in the tab!e shows that there ha#e been impro#ements in the current assets in ,443 as compared to ,446& about 12C. )ut there has been decrease in fi"ed assets of about 10C. $he main reason for this change is increase in short term in#estment showing a constant increase as a percentage to tota! assets. $his imp!ies that the bank is concentrating now more on non+interest income and the interest rates are constant! fa!!ing. (hort+term ad#ances ha#e shown a significant change of 1/C whereas tota! ad#ances show a tota! change of on! 0.-C. $his is #er significant to note that ma=or decrease has occurred in !ong+term performing and non+performing ad#ances. $here is decrease in !ong term assets of about 12C which main! cause the decrease in !ong term ad#ances which are about 1-C and 0C decrease in !ong term in#estment. On the !iabi!it side the tota! current !iabi!it has shown change of about 4C. $he main reason for which is increase in current deposits& which are about 0C. $he !ong+term !iabi!it of the organi7ation is a!so decreased b 4C.

(ommon siEe n :"sis o; 8onso:id ted B : n8e S!eet


assets Cash/Bal. With Banks lending to F.Is Invest ent !"#$ %dvan&es'(e)*o) ing !"#$ +the) %ssets #otal C,))ent %ssets Invest ent !-#$ %dvan&es'(e)*o) ing !-#$ %dvan&es'.on /e)*o) ing !-#$ +/e)ating *i0ed %ssets 1e*e))ed #a0 %ssets #otal -.# %ssets Total Assets Liabilities B/(a2a3les 2007 3609108 4370006 9190430 39489369 8641263 97782157 19388131 28477494 11813855 2864018 8297500 70840998 168623155 1540592 Rs in '000 2008 70463707 3627557 33883311 43632117 2641471 118177074 33623058 26423058 5739798 2831534 5026459 73643958 191821032 1847025 2009 35591280 19050791 29580252 89292490 3509351 177024164 25007413 10312297 3671991 3884990 5486357 48363048 225387212 2991269 Common size (%) 2007 2008 21.5 17.93 2.6 1.89 5.5 17.66 23.4 22.75 5.1 1.38 58 61.61 11.5 17.53 16.89 13.77 7.01 2.99 1.7 1.48 4.92 2.62 42 38.39 100 100 0.91 0.96 2009 15.79 8.45 13.12 39.61 1.55 78.54 11.09 4.57 1.62 1.72 2.43 21.45 100 1.32

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Bo))o4ings "# 1e/osits ' C,))ent -ease and +the)s #otal C,))ent -ia3ilities Fi0ed 1e/osits +the) -ong te) -ia3ilities #otal -# -ia3ilities Total Liability Shareholder's !"ity "ha)e Ca/ital 5ese)ves %&&, ,lated -osses/()o*its 6ino)it2 Inte)est ",)/l,s on )eval,ation Total

4004130 102568752 8838842 116952316 38747422 21264831 49219400 166171716

174533 118167469 9986608 130175635 43998916 5212755 49211671 179387306

174533 152580240 5933743 161679785 37252204 10883720 48135924 209815709

2.37 60.83 5.24 69.36 22.98 6.21 29.19 98.55 13.33 2.35 '16.18 0.69 1.26 1.45

0.09 61.6 5.2 67.86 22.94 2.72 25.65 93.52 2.7 2.22 '0.38 0.66 1.27 6.48

0.07 67.69 2.63 71.73 16.52 4.82 21.35 93.09 2.3 2.09 0.2 0.62 1.69 6.9

22481680 5180000 5180000 3960453 4258947 4712569 '27282709 '722387 454403 1168264 1271700 1412932 2123751 2445466 3811599 24541439 12433726 15571503

(OMMON SIBE ANALYSIS OF IN(OME STATEMENT


$he common si7e ana! sis of income statement is gi#en in the tab!e. 9hich shows that the %)* has been ab!e to contro! its interest or mark up e"penseN 1s a resu!t of decrease in mark up e"pense as a percentage of tota! re#enues the gross profit margin has shown a trend of continuous increase. $he increasing H>P Margin shows efficienc of the bank in contro!!ing cost of sa!es (Markup e"pense) and better strateg of pricing& products and ser#ices. $he pro#ision for non+performing !oans has a decreasing trend making no pro#ision for non+ performing !oans and diminution in #a!ue of in#estment& which increases the profit of current ear. $he reduction in pro#ision is a good sign& which shows that the bank is reco#ering its disbursed ad#ances. It shows the good credit management of the bank.

Muhammad Ibrar M.Com (Finance)

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$here is a great increase in non+markup income& which is about ,-C. 1mong its indi#idua! components in#estment income has shown a !arge increase as a percentage of sa!es. Gon markup e"penses a!so show a rising trend in abso!ute amount though the common si7e in percentages has shown a mi"ed trend due to the changes in re#enue figures. $he non+ performing e"panses a!so increased to about ,/C& which is a #er high percentage& but the other aspect of this is that it increased the efficienc and credit management of the staff. *ike gross profit the net profit margin before ta" has a!so increased with ,4C rate. $he e"traordinar item e"panse has not occurred in ,443 that caused a s!ight increase in the net income. $he ta" e"panse is increased about 2C because of the increase in profit. *oss brought forward from pre#ious ear is reduced b 14C. $he common si7e ana! sis of the %)* is c!ear! showing that the bank has shown a !ot of impro#ement in its performance. $he organi7ation shows profit for the first time in the !ast / ears which is a positi#e sign and it wi!! bui!d up the mora! of the emp!o ees b which the can work more effecti#e! and efficient! increasing the performance of the bank.

(ommon siEe n :"sis o; 8onso:id ted In8ome St tement


Rs in #illions $T #S 6a)k ,/ )even,e a)k ,/ e0/ense g)oss /)o*it /)ovisions and B/1e3ts .et 6a)k ,/ In&o e .on 6a)k ,/ 5et,)n Co ission 7 B)oke)age 1097 1818 2915 6773 4669 632 2008 1514 3522 8686 5879 51 2142 2803 4945 11718 6639 556 9.57 15.85 25.42 59 40.71 5.15 17.63 13.3 30.94 76.2 51.64 0.44 23.1 30.24 53.34 126.42 71.62 6 1ividends/80&hange and +the)s #otal .on 6a)k ,/ In&o e #otal In&o e .on 6a)k 9/ 80/ense %d inist)ative +the) ()ovision and Cha)ges 2007 11468 6347 5121 1263 3858 2008 11385 5476 5909 746 5163 2009 9269 1931 7338 564 6773 Common size (%) 2007 100 55.35 44.65 11.02 33.64 2008 100 48.09 51.9 6.55 45.34 2009 100 20.83 79.89 6.08 73.07

Muhammad Ibrar M.Com (Finance)

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#otal non

a)k ,/ 80/enses

5301 1472 '7200 '5728 1739 '7467 6 19821 0 0 2 27283

5930 2756 25 2781 1319 1462 10 27283 25202 238 332 722

7197 4521 0 4521 1704 2818 21 722

46.22 12.84 62.78 49.95 15.16 65.11 0.06 172.2 0 0

52.08 24.2 0.21 24.44 11.59 12.84 0.09 210.64 221.36 2.1 2.91 16.34

77.64 48.77 48.77 18.38 30.39 0.22 7.78 0 0 5.68 4.9

()o*it Be*o)e 80t)ao)dina)2 Ite s 80t)ao)dina)2 Ite s ()o*its 3e*o)e ta0 #a0ation ()o*it/-oss a*te) ta0 "ha)e o* 6ino)it2 Inte)est %&&, ,lated -oss B)o,ght F)d. %d:,st ent against sh. Ca/ital %//)o/)iation and #)ans*e)s ",)/l,s on )eval,ation o* %ssets #)ans*e) to "tat,to)2 5ese)ve %&&, ,lated -oss B)o,ght F)d.

527 454

0.02 237.9

FINAN(IAL RATIO ANALYSIS


$he user of financia! statements finds it he!pfu! to ca!cu!ate ratios when the interpret compan <s financia! statements. 1 financia! ratio is simp! one ?uantit di#ided b another. 'atios focus on specia! re!ationship between two items of ba!ance sheet& income statement or one from each. 'atios make it easier to understand a specific re!ationship between #arious items of financia! statements then !ooking simp! at the raw numbers themse!#es. $he

number of financia! ratios that might be created is #irtua!! !imit!ess& but there are certain basic ratios that are fre?uent! used& these ratios can be p!aced into si" different c!asses. *i?uidit 'atio 1sset $urno#er 'atio *e#erage 'atios Co#erage 'atios Profitabi!it 'atios Market Ia!ue 'atios $he ca!cu!ation and interpretation of these ratios of financia! statements of %)* are as fo!!ows. Muhammad Ibrar M.Com (Finance)

4,

Fin n8i : R tio n :"sis


% ARS 2007 C,))ent 5atio 0.84 %sset #,)nove) 0.07 1e3t to %sset 0.99 1e3t to 8;,it2 14.54 Cove)age 5atio 0.1 <)oss ()o*it 6a)gin 44.65= .et ()o*it 6a)gin '65.12= 5et,)n +n Invest ent '4.43= 5et,)n +n 8;,it2 '887.99= %dvan&es to 1e/osit 56.46= Invest ent to 1e/osit 20.22= Cash 5atio 9.59= 2008 0.91 0.06 0.94 14.4 1.15 52.50= 12.69= 0.76= 16.78= 46.74= 41.63= 9.23= 2009&'R#(LA 1.15C,))ent %ssets / C,))ent -ia3ilities 0.046a)k,/ 5even,e / #otal %ssets 0.93#otal 1e3t / #otal %ssets 13.47#otal 8;,it2 / #otal %ssets 3.348BI# / Inte)est 80/ense 79=<)oss ()o*it / 5even,e > 100 30=.et ()o*it / 5even,e > 100 1.24=.et ()o*it / #otal %ssets > 100 18=.et ()o*it / #otal 8;,it2 > 100 45=%dvan&es / 1e/osits > 100 28=Invest ent / 1e/osits > 100 28=Cash / C,))ent -ia3ilities > 100

(URRENT RATIO7
%)*<s current ratio is increasing o#er the time. 5igher the current ratio higher the abi!it to meet the short+term ob!igations as the come due. $he %)*<s current ratio is increased b 4.16C as compared to ,446. this in turn decreases the risk of inso!#enc . $he change is occurring due to increase in short term in#estment and decrease in short term borrowings.

ASSETS TURNOVER@
$his shows re#enue generated per rupee in#estment in tota! assets. %)*<s assets turno#er ratio has shown a !itt!e decrease. $his is because of increase in tota! assets with proportionate increase in re#enue. )anks ha#e re!ati#e! ad#ancing !oans and generating sma!!er sa!es. !ow 1$' capita!& as the are se!ecti#e in

&EBT TO ASSET RATIO7


$he ana! sis of tota! debt to assets ratio& there has been decrease of one percent as compared to ,446 and 0C to ,442. In ,442 e#er rupee one of assets was being financed b rupees 4.436 or debt and in ,446 it is 4.34 whi!e in ,443 it is reduced to 4.3- worth of debt per Muhammad Ibrar M.Com (Finance)

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rupee of asset. 1!though the decrease is not !arge enough but it is a good sign for bank<s creditors. $he decrease ma be attributed to the substantia! decrease in borrowings from financia! institutions but the affect was weakened b an increase in bi!!s pa ab!e and other !iabi!ities.

&EBT TO EGUITY7
$his ratio measures how the compan is !e#eraging its debt against the capita! emp!o ed b its shareho!ders. 1na! sis of debt to e?uit ratio indicates that the current position for the debt to e?uit is that for e#er one rupee in e?uit pro#ided b the shareho!ders the bank has 's. 1-./ as a debt. $his shows that the bank is hea#i! re! ing on debt financing. $he reason for huge difference stated in the tab!e is because of !osses occurred in ,442 and ,446.

(OVERA4E RATIO7
$his ratio shows the number of times a compan can co#er or meet its financia! charges or ob!igations. One of the most common! used ratios is the interest co#erage ratio that

measures the number of times the income is a#ai!ab!e to pa interest charges. $he %)* interest co#erage ratio has shown significant impro#ement in these three ears. $he ratio is increased from 4.14 to -.-4.

4ROSS PROFIT MAR4IN7


Hross profit margin is the difference between the re#enue and cost of goods so!d. Hross profit is critica! because it represents the amount of mone remaining to pa operating e"panses financing cost and ta"es. %)*<s gross profit margin per rupee has shown rising

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trend in !ast three ears. $here is an increase of ,2C in ,443 as compared to ,446. this shows efficienc of the bank to contro! the cost of sa!es.

NET PROFIT MAR4IN7


$his ratio shows the profit that is a#ai!ab!e from each rupee of the sa!e. 1fter a!! e"panses ha#e been paid. Get profit margin is a!so showing an increasing trend. %)* has impro#ed net profit margin in the current ears. $he net profit margin has reached to -4C as compared to ,446 in which it was on! 1,.03C. 9hi!e in ,442 it was in negati#e figure. It shows a good impact on the %)*<s )a!ance (heet.

RETURN ON INVESTMENT7
$his ratio measures the profitabi!it per rupee of in#estment in assets. %)*<s return on in#estment has shown an impro#ement more than 144C. In ,443 the ratio is 1.,4C whi!e in ,446 it was 4.20C and in ,442 it was in Mi#e figures. 1!though the assets ha#e increased but the operationa! reco#er of the bank is main cause of increasing this ratio.

RETURN ON EGUITY7
$his ratio shows the profit as a proportion of the book #a!ue of the common shareho!ders. $he return on e?uit is a!so shown a great dea! of positi#e change. In ,443 the ratio is 4/C whi!e in ,446 it was on! 10C and in ,442it was in negati#e figures.

A&VAN(ES TO &EPOSIT RATIO7


$his ratio shows the companies ad#ances emp!o ed per unit of deposit. $his ratio of %)* o#er the recent three ears shows a decreasing trend. In ,442 it was /0C whi!e in ,446 it was 40C and in ,443 it is 4/C.

INVESTS TO &EPOSIT7

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$his ratio shows the compan <s in#estment emp!o ed per unit of deposit. $his ratio increased in ,446 as compared to ,442 but in ,443 it again decreased. It is because of industria! de#e!opment factors in the countr b which !ending has been increased and in#estment is s!ight! decreased.

(HAPTER NO.0 GUALITATIVE ANALYSIS OF UBL


.uring m two months of internship period I ha#e tried to fu!! commit m se!f in the !earning process. I kept critica!! obser#ing the things that I cou!d ana! 7e and the resu!t of the e"ercise is presented as be!ow. A% O#< niE tion :@ :"isting organi7ationa! hierarch hinders #ertica! communication and b!ocks f!ow of information among the !e#e!s of management. $he work!oad is not e?ua!! distributed. Coordination !e#e! among di#isions>departments and emp!o ees are poor& particu!ar! speaking of between the top and !ower !e#e!s of management. $here is centra!i7ation of authorit and branch managers are bound and restricted to take initiati#e. Muhammad Ibrar M.Com (Finance)

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.ue to o#er!apping nature of duties and =obs there e"ists chaos and confusion in branches. B% &e) #tment :@ internship period in %)*& in #arious departments& I noticed fo!!owing

.uring m i.

departmenta! prob!ems. ( s! &e) #tment7 Got #er fre?uent! but there are instances of fake currenc notes& being identified. 1t times notes recei#ed from other branches were found to ha#e certain fake currenc notes. ii. Counting mistakes occur due to o#ercrowding particu!ar! during the co!!ection of uti!it bi!!s. Manua! counting s stem a!so affects efficienc of the bank. iii. i#. Code of conduct of cashiers is found unsatisfactor . $here is genera!! the !acking in obser#ing and practicing bank<s re!e#ant

procedures and (OP<s. i. Remitt n8es &e) #tment@ 1pp!ication of tests for authentication of $$s is not known to a! concerned indi#idua!s that reduces the efficienc and further the wrong app!ication of tests pre#ent pa ments and the de!a cou!d dissatisf customers. ii. $e!egraphic messages re?uire specific ski!!s and training. $he emp!o ees are partia!! e?uipped of such know!edge. iii. Preparation& e"ecution and management of $$s and M$s and particu!ar! ..s ask for mastering app!icab!e ru!es and regu!ations and most of the staff was found ignorant of those. i. &e)osit &e) #tment7 Gew! designed 1OF has an inbui!t deficienc of restricted space and cannot accommodate more than two names.

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ii.

Identification of customer<s signature is #er important particu!ar! when cash is to be withdrawn b him. Manua! practices pose prob!ems in those branches where automation has not been done et.

iii.

In cases where the presence of customer himse!f is must& is sometime compromised due to inf!uences ofOr fear of !oss of customer. (:e #in< &e) #tment7 9rong endorsement and stamping causes !oss to the customers and e"tra efforts for the bank to repeat the procedures. 'easons for the return of the che?ues at times are not mentioned on the return memos. 1t times due to !ack of training wrong stamps are app!ied on instruments.

i. ii. iii.

i. ii.

(#edit &e) #tment7 $ime!ines in cash disbursement is #er important which is compromised due to

!ength processing and documentation re?uirements. 'e!ationship Managers need to be fu!! e?uipped with the re?uisite know!edge and ski!!s as present! p!ain )1>).(c ?ua!ified indi#idua!s are performing =obs of M)1s. iii. *ack of infrastructure for carr ing out computeri7ed financia! ana! sis of borrower<s business. i#. *arge poo! of potentia! borrowers cannot app! for !oans due to !ack of co!!atera!s. 5ea# co!!atera! re?uirements restrict credit business of the bank. #. $he credit proposa! and other documents at times are not proper! and sufficient! prepared before taking appro#a!. #i. i. Fi!ing and record maintenance of credit re!ated documents are not done efficient! . Bi::s &e) #tment7 )i!!s are sent to other citiesJ therefore& e"tra care shou!d be e"ercised in making entries and stamp affi"ing. Muhammad Ibrar M.Com (Finance)

46

ii.

Proper scrutin at times is not carried out and it causes !oss to the bank or increase procedura! timings.

iii. i.

:mp!o ees at times mismanage their time and fai! to forward bi!!s prompt! . Fo#ei<n E58! n<e &e) #tment7 Prob!ems of bi!!s and remittances departments e?ua!! app! to foreign e"change department. $here is o#er!apping of functions and comp!ete separation of function has not been achie#ed thus !eading to a state of confusion and conf!ict among emp!o ees.

ii. iii.

:mp!o ees of this department are !acking computer+operating ski!!s. Anow!edge and educationa! background of emp!o ees working in this department do not match with the =ob the are doing.

i#.

Most of the emp!o ees of this department !ack the abi!it to hand!e the *etters of Credit.

(HAPTER NO.1 SWOT ANALYSIS7


(9O$ is usefu! too! for pro#iding a framework for ana! sis of an organi7ation. (9O$ stands for (trengths& 9eaknesses& Opportunities and $hreats. It is a common approach to make assessments in terms of interna! and e"terna! en#ironment of the organi7ation& and to formu!ate strategies ana! 7ing its interna! strengths and weaknesses& e"terna! opportunities and threats& coming up is the (9O$ ana! sis for the %)*.

STREN4THS7
It is one of the !argest pri#ate banks with a deposit base of 's. 3466->+ mi!!ions showing constant growth o#er the period from 1333 ti!! the da . Muhammad Ibrar M.Com (Finance)

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It has a we!!+knitted and ade?uate!

e?uipped branch networking s stem that

efficient! co#ers both the domestic and internationa! markets. It is in#o!#ed in both corporate and retai! banking. $he bank is acti#e! emerging and is engaged in internationa! trade and foreign e"change transactions. Foreign trade #o!ume showed an increase of 12C o#er the pre#ious ear. 1d#ances in#estment of the bank shows a constant growth pattern. $he current ear<s growth rate is -,C. $he bank is owned b parties of financia! repute and credit worthiness !ike& ()P with 46.03C interest& )est 9a group and 1bu .ubai group with ,/./4C of interest each. Others are HOP& G)P $rustee .epartment& (tate *ife Insurance Corporation etc.

WEA'NESSES7
.ue to risks such as po!itica!& economic and !ega! etc the bank has suffered !osses the main reason was that of pi!ing up of !arge amount of unreco#erab!e !oans and debts which has ad#erse! affected the image of the %)*. 1ccumu!ated !osses pushed the bank to cut down its promotiona! acti#ities in order to reduce e"penses for !ast few ears. .uring the nationa!i7ation !ife span of the bank po!itica! !ords used inf!uence in bank business and se!ection of emp!o ee at each !e#e! and thus ad#erse! affected the bank<s efficienc and effecti#eness. 1dministrati#e e"penses are /1C of the mark up re#enue.

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Promotions are carried out on annua! basis ignoring the importance of capabi!ities and performance outputs.

OPPERTUNITIES7
Hrowing po!icies of the HOP on business and economic sectors pro#ide %)* an opportunit to efficient! meet with the business peop!e re?uirements of instant cash faci!ities e.g. the go#ernment intentions of de#e!oping housing and agricu!ture sectors. Ho#ernment is taking #er bo!d steps to promote I$ in Pakistan %)* has an

opportunit to impro#e in I$ stock e"change is #er #o!ati!e and takes immediate effect so in times of crises conser#ati#e in#estors turns to sa#ing deposits. %)* is surrounded b man competitors it has an opportunit to aggressi#e

marketing to increase its business. Increase the product range to meet the broader range of customers< needs.

THREATS7
$hreats are a!so e"terna! factors in the en#ironment& which are not in the fa#or of compan & which can serious! hamper the compan <s abi!it to ser#e its customers. :"pansion of new commercia! banks !ike 1(A1'I bank& %GIOG bank and etc.. 1nd their better performance ma cause !oss of market shares of %)*. 1ccording to 9or!d )ank report the Pakistan has become Do#er bankedE econom with cut throat competition for deposits in the industr the batt!e is on for the market shares. $he customers ha#e emerged as the main )eneficiaries of the competition. Gow the are getting more persona!i7ed ser#ices and inno#ati#e product. 1!! banks are facing a stiff competition to attract new customers. 9ith pri#ati7ation program began in Pakistan in 1331& three of fi#e GC)s and three .FIs were pri#ati7ed& and e!e#en new pri#ate banks were set up. Muhammad Ibrar M.Com (Finance)

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1!ong with the growth in si7e& the banks are now incorporating inno#ati#e approaches to their traditiona! commercia! banking operations& keeping in the #iew the changing demand of the time. %)* face prob!em.

$he po!itica! inf!uences affect the performance of bank #er bad! . Most of the !oans become bad dad debits due to po!itica! pressure Go stab!e go#ernment in Pakistan& Ho#ernment po!icies change with the change of go#ernment. $he concept of e#ening and (aturda banking& te!ephonic and on!ine banking& 1$M<s and credit cards are direct resu!t of the intensi#e competition. )ut %)* is behind the abo#e+mentioned ser#ices.

Free7ing of foreign currenc account b the go#ernment of Pakistan is a!so a fear for the bank.

951$ I( P:($ 1G1*K(I(N


It is #er important that an organi7ation considers its en#ironment before beginning the marketing process. In fact& en#ironmenta! ana! sis shou!d be continuous and feed a!! aspects of p!anning. $he organi7ationPs marketing en#ironment is made up of@ 1. $he interna! en#ironment e.g. staff (or interna! customers)& office techno!og & wages and finance& etc. ,. $he micro+en#ironment e.g. our e"terna! customers& agents and distributors& supp!iers& our competitors& etc. -. $he macro+en#ironment e.g. Po!itica! (and !ega!) forces& :conomic forces& (ociocu!tura! forces& and $echno!ogica! forces. $hese are known as PEST factors.

Muhammad Ibrar M.Com (Finance)

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POLITI(AL FA(TORS.
$he po!itica! arena has a huge inf!uence upon the regu!ation of businesses& and the spending power of consumers and other businesses. Kou must consider issues such as@ 1. 5ow stab!e is the po!itica! en#ironmentN ,. 9i!! go#ernment po!ic inf!uence !aws that regu!ate or ta" our businessN -. 9hat is the go#ernmentPs position on marketing ethicsN 4. 9hat is the go#ernmentPs po!ic on the econom N /. .oes the go#ernment ha#e a #iew on cu!ture and re!igionN 0. Is the go#ernment in#o!#ed in trading agreements such as :%& G1F$1& 1(:1G& or othersN

E8onomi8 F 8to#s.
Marketers need to consider the state of a trading econom in the short and !ong+terms. $his is especia!! true when p!anning for internationa! marketing. Kou need to !ook at@ 1. Interest rates. ,. $he !e#e! of inf!ation :mp!o ment !e#e! per capita. Muhammad Ibrar M.Com (Finance)

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-. *ong+term prospects for the econom Hross .omestic Product (H.P) per capita& and so on.

SO(IO(ULTURAL FA(TORS.
$he socia! and cu!tura! inf!uences on business #ar from countr to countr . It is #er important that such factors are considered. Factors inc!ude@ 1. 9hat is the dominant re!igionN ,. 9hat are attitudes to foreign products and ser#icesN -. .oes !anguage impact upon the diffusion of products onto marketsN 4. 5ow much time do consumers ha#e for !eisureN /. 9hat are the ro!es of men and women within societ N 0. 5ow !ong are the popu!ation !i#ingN 1re the o!der generations wea!th N 2. .o the popu!ation ha#e a strong>weak opinion on green issuesN

TE(HNOLO4I(AL FA(TORS.
$echno!og is #ita! for competiti#e ad#antage& and is a ma=or dri#er of g!oba!i7ation. Consider the fo!!owing points@ 1. .oes techno!og a!!ow for products and ser#ices to be made more cheap! and to a better standard of ?ua!it N ,. .o the techno!ogies offer consumers and businesses more inno#ati#e products and ser#ices such as Internet banking& new generation mobi!e te!ephones& etcN -. 5ow is distribution changed b new techno!ogies e.g. books #ia the Internet& f!ight tickets& auctions& etcN 4. .oes techno!og offer companies a new wa to communicate with consumers e.g. banners& Customer 'e!ationship Management (C'M)& etc

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(HAPTER NO.2 A(TION PLAN FOR MAR'ETIN4 &EPARTMENT7


$his wi!! he!p the bank to take !ong+term perspecti#e for its marketing acti#ities& with consideration on strategic approach of the bank. $here are #arious steps in#o!#ed in the gi#en imp!ementation p!an& which wi!! come in order& according to their importance and sub=ection on one another. Moreo#er& to bring order and efficienc to the difficu!t task of imp!ementation p!an. It has been broken down into the steps& which be!ie#ed to be needed& when de#e!oping a discip!ined action>imp!ementation p!an for !aunching financia! products.

Ste) *7 Business Re9ie=


1s we ear! discussed that this imp!ementation p!an wi!! focus on marketing acti#ities of %)* and as a part of the marketing background component& the business re#iew is must. It inc!udes the marketing database not on! of %)* but a!so of other banks. $o de#e!op marketing database& we first need to understand the scope of banking fo!!owed b a comprehensi#e situationa! ana! sis of the financia! product& and market p!ace& which is Muhammad Ibrar M.Com (Finance)

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re!e#ant to the target market and competition situation. $his wi!! be accomp!ished through secondar research in Pakistan. %)*<s own record of financia! products and #er often+ primar research sur#e s of potentia! customers and focus group information. $he business re#iew pro#ides a ?ua!itati#e and ?uantitati#e decision acti#ities and a rationa! for a!! the strategic marketing decisions with in the p!an.

Ste) +7 P#ob:ems nd O))o#tunities


$he prob!ems and opportunities step of %)* is a summar of the cha!!enges that wi!! emerge from the marketing database. In this step the data co!!ected from the business re#iew is shaped into meaningfu! summar points that form the basis of the imp!ementation p!an.

Ste) ,7 T #<et M #>ets nd M #>etin<


$he target market and marketing ob=ecti#e both are inducted in one step due to their critica! !ink to one another. T #<et M #>et7 Once the deposits co!!ection being de#e!oped as ?uantifiab!e ob=ecti#e& the staff of marketing department at the 5ub branches and 5ead Office of bank must determine to whom the wi!! be se!!ing their new financia! packages. In response to which bank wi!! raise deposits& making this determination is rea!! defining a target market. 9hich is a group of peop!e with common characteristics. $his part of imp!ementation p!an is concerning on marketing efforts towards the portion of popu!ation wit simi!ar banking needs and sa#ing habits.

Ste) -7 P: n St#u8tu#e
$o compete with other banks& %)* needs to set strategies for its new product b inc!uding the postings strateg & it wi!! he!p in image bui!ding of the financia! package to be !aunched. Postin<7 Once the bank has defined its potentia! market and has estab!ished marketing ob=ecti#es& it must need to de#e!op posting of its financia! product. Position is the desired perception of the product within the market target of the bank for e"amp!e& if the product is !aunched. Its position shou!d be done in such a wa & that customer is fu!! aware of its ma=or characteristics the bank has stained to bui!d the image of its products as high! profitab!e package. $his positioning strateg is supported b the strategic consideration on #arious marketing mi" too!s e.g. ad#ertisement& pub!icit etc& Muhammad Ibrar M.Com (Finance)

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Ste) .7 In;o#m tion : 4o :s7


1!! steps of this imp!ementation p!an are high! dependent& but step /& 0 ; 2 are much more. Informationa! goa!s means to set the target the market awareness and attitudes package and fu!fi!! the marketing ob=ecti#e of the bank. 1nother purpose is to pro#ide direction for what is to be accomp!ished b each strategic too! in term of informationa! conte"t.

Ste) /7 St# te<i8 M #>etin< Mi57


$his step is high! concerned with getting attention of the customers towards the ser#ice of the %)* offering. 5ere we are concerned with a new package !aunched b the bank. Focus wi!! be on that financia! product. $his step of discip!ined imp!ementation p!an pro#ides some strategic p!ans for marketing of the product. $hese strategic and tactica! p!ans incorporate marketing e"ecuted. 9hen imp!emented& wi!! a!!ow the bank to meet it<s marketing ob=ecti#es and fu!fi!! the o#era!! marketing strategies and information and communication

(HAPTER NO.*3 RE(OMMEN&ATIONS H SU44ESTIONS


'ecommendations and suggestions are considered to be the most important part of an internship report& without which no report is considered comp!ete and meaningfu!. $his part of the report is based on the pre#ious sections i.e. re#iew and ana! sis. Moreo#er& for bringing suggestions& discussions ha#e been conducted with the staff of %)* officers& who not on! pro#ided the basis for recommendations and suggestions but a!so pointed out some areas& where the change for the de#e!opment is utmost important. 'ea!i7ing the importance of this section& efforts ha#e been made to gi#e feasib!e recommendations& which are categori7ed under the fo!!owing headings. .uring m internship at the UBL I find out week areas that re?uire impro#ements for !ong+term benefit of the organi7ation. $hese suggestions and recommendation are as fo!!ows. $he beha#ior with the customers shou!d be impro#ed. Muhammad Ibrar M.Com (Finance)

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$here is a great need of proper training of emp!o ees. )ecause when e#er the were asked about the !atest banking the answer was sorr we don<t know. *ike the other reputed commercia! banks %)* shou!d recruited some officers especia!! from the fresh M)1<s and M.Com students. .oing so& the more ta!ented persons wou!d enter in the management and the wi!! tr to make the Gationa! )ank compatib!e with the other banks. 1!! the branches must be fu!! e?uipped. $he beha#ior with the customer shou!d be impro#ed. $r to estab!ish effecti#e communication between top+!e#e! management and e"ecuti#e. 1!so do marketing through internet :ffecti#e training and ?ua!ified& dutifu! and #igi!ant inspection teams are inducted per force in a!! the banks. . $his branch is not doing man functions to open the *>C and to dea! in e"port and import faci!ities. (o bank shou!d hire e"port staff for such t pe of acti#ities and start them in the branch.

(HAPTER NO.** PERSONAL LEARNIN4


Persona! !earning is a mora! and ethica! ob!igation set b a person to mo#e in a me!!ow wa to e"ce! in present and future. .uring the internship I rea!i7ed fo!!owing duties. (o!esi9eness E9e# Re d" Fo# (! ::en<es Bo #d Vision Le #nin< F#om (# d:e To 4# 9e A:= "s (#e te O))o#tunities O)en (ommuni8 tion Wit! T!e Boss ))e # n8e

(o!esi9eness
Muhammad Ibrar M.Com (Finance)

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1 team p!a er can achie#e more than an indi#idua!. Hood coordination and cooperation with peers and other staff members can impu!se a person to perform better in difficu!t situations. .uring m internship I noticed that the degree of cohesi#eness among the %)* emp!o ees is high that is wh %)* is achie#ing its target ?uite efficient! .

EVER REA&Y FOR (HALLEN4ES


If a person can hand!e prob!ems and cha!!enge ade?uate! & he can grow especia!! in Finance fie!d where e#er thing is we!! estimated.

BROA& VISION
ITHIN' 4I4J $hink positi#e! to a#oid an kind of discrepanc and hurd!e in our task. Positi#e! thinking and broad #ision he!ps ou to achie#e some thing different and new.

LEARNIN4 FORM (RA&LE TO 4RAVE


*atest researches and =ourna!s can be #er he!pfu! in order to generate new ideas. %)* offers man new courses to the emp!o ees to upgrade their know!edge.

ALWAYS (REATE OPPORTUNITIES


I&on?t = it ;o# o))o#tunities := "s 8#e te o))o#tunitiesJ ITime H Tide W ite ;o# NoneJ If ou are ab!e to create opportunities& success is ours. Gow the ?uestion is howN $he answer is #er simp!e& b generating new and usefu! ideas for the organi7ation.

OPEN (OMMUNI(ATION WITH YOUR BOOSS


$o a#oid an kind of misunderstanding with our boss& communicate free! with him. .uring m internship I ana! 7ed thatJ IPeo):e don?t :e 9e t!e o#< niE tions t!e" :e 9e t!ei# bossesJ (o be friend! with our staff and boss and communicate free! to a#oid organi7ationa! switching. Muhammad Ibrar M.Com (Finance)

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APPEARAN(E
IT#e t "ou# se:; s )#odu8tJ 1ttracti#e appearance can be #er usefu! to impress others. 1 professiona! shou!d be dressed up proper! to inf!uence others.

BIBLIO4RAPHY

Web sites
www.ub!.com.pk www.goog!e.com www.sbp.com.pk News papers )1GAIGH BO%'G1* Muhammad Ibrar M.Com (Finance)

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www.dawn.com www.nation.com.pk Boo>s Principa!s of )anking Marketing

Muhammad Ibrar M.Com (Finance)

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