hbl management project report

January 26

2011THE REPORT ON HBL MANAGEMENT. REPORT ON ORGANIZATON’S

MANAGEMENT

HABIB BANK LIMITED

HBL MANAGEMENT REPORT BY GROUP # 1

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UNIVERSITY OF GUJRAT

ORGANIZATION’S MANAGEMENT

DISCIPLINE: MBA 1 ST SEMESTER SECTION (A)

PRESENTED TO:

SIR.ALI ABDULALLAH

PRESENTED BY:

GROUP # 01

ARSLAN ALI BUTT 001

IRTAZA ANSAR 007

AAQIBA JAVED 011

MUNEEBA NAZIR 017

MEHWISH NAZ 050

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ACKNOWLEDGEMENT:

This project could not have been written without the

valuable contributions of many individuals.

First of all we thanks to Allah Tallah.

We would like to thank to our head of Department (Business

Department) Mr. Ali AbdulAllah. He provides us the opportunity

to prove ourselves. He also provides us a good, healthy and

educational environment, which is essential for any research work.

TABLE OF CONTENTS:


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MANAGEMENT LITERATURE REVIEW 4

oPlanningoOrganizing oLeading oControlling

EXECUTIVE SUMMARY 6INTRODUCTION 7WHAT IS BANK? 7HISTORY 7NATIONALIZATION 8PRIVATIZATION 8BRANCHES OF HBL 9ORGANIZATIONS PROFILE 10INTERNATIONAL OPERATION 11VISION 11MISSION 11VALUES OF HBL 12PRODUCTS OF HBL 12SERVICES OF HBL 12SWOT ANALYSIS 13MANAGEMENT FUNTIONS IN HBL 14

i. PLANINGii. ORGANIZAING iii. LEADINGiv. CONTROLLING

SPECIALITY OF HBL 16CONCLUTION AND RECOMMENDATION 17REMARKS OF MANAGER ABOUT OUR GROUP 18


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MANAGEMENT LITERATURE REVIEW:Management is creative problem solving. This creative problem

solving is accomplished through four functions of management:

oPlanning

oOrganizing

oLeading

oControlling

The intended result is the use of an organization's resources in a way that

accomplishes its mission and objectives.

MANAGEMENT FUNCTION

Following are functions of Management according to literature view.

PLANNING:

Planning is the ongoing process of developing the business' mission

and objectives and determining how they will be accomplished. Planning

includes both the broadest view of the organization, e.g., its mission, and the

narrowest, e.g., a tactic for accomplishing a specific goal.

ORGANIZING:

Organizing is establishing the internal organizational structure of the

organization. The focus is on division, coordination, and control of tasks and

the flow of information within the organization. It is in this function that

managers distribute authority to job holders.


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LEADING:

Leading is influencing people's behavior through motivation,

communication, group dynamics, leadership and discipline. The purpose of

leading is to channel the behavior of all personnel to accomplish the

organization's mission and objectives while simultaneously helping them

accomplish their own career objectives.

CONTROLLING:

Controlling is a four-step process of establishing performance standards

based on the firm's objectives, measuring and reporting actual performance,

comparing the two, and taking corrective or preventive action as necessary.


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EXECUTIVE SUMMARY:

This report is for academic purpose. It was assigned to us as an

assignment and project of our course “Management” .In the report we have

mentioned the organization structure, policies, strategies, working styles of

the organization, decision–making styles, SWOT analysis etc. We conducted

questionnaires, interviews from HBL (JALAL PUR JATTAH) branch from top

management low-level management and also searched at internet and

collected information about organization.

INTRODUCTION:


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Bank is an important institute of an economy. In modern times a strong

banking system is necessary for economic prosperity of a country. Banks are

necessary for maintaining a sound financial position of Government and for

running trade and industry.

WHAT IS BANK?

Bank is a financial institution which accepts deposits and lends loans.

HISTORY:

The original Habib Bank began modestly in Bombay in 25th

August, 1941 when it commenced operations with a fixed capital of

25,000 rupees. Impressed by its initial performance, Quaid-e-Azam

Muhammed Ali Jinnah asked the Habib Bank to move its operations to

Karachi after the independence of Pakistan.

Habib Bank Pakistan is the Largest Commercial Bank of Pakistan.

HBL was the first commercial bank to be established in Pakistan in

1947.

The first prime minister of Pakistan Quaid-e-Millat Liaqat Ali Khan, on the independence day of Pakistan (August 14, 1947) appreciated the service of the bank in these words.

“I wish every success to HBL and hope that it will Continue to play an important and useful role in the industrial and commercial life of the Muslim nation”

NATIONALIZATION:


http://en.wikipedia.org/wiki/Karachi

http://en.wikipedia.org/wiki/Jinnah

http://en.wikipedia.org/wiki/Jinnah

http://en.wikipedia.org/wiki/Bombay

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Habib Bank Limited established itself in the Karachi in 1943 and

became a symbol of pride and progress for the people of Pakistan. It

was nationalized in 1974.

During October 1991, this company, Bank AL Habib was

incorporated as a public limited company and began banking

operations as a new private bank in 1992; it was granted membership

to be part of the Clearing House.

Over the years, HBL has grown its branch network and become

the largest private sector bank with over 1,450 Branches across the

country and a customer base exceeding five million relationships.

PRIVATIZATION:

The year 2003 was marked by the implementation of the

Government of Pakistan’s program for privatizing the Bank. Amongst

the qualified bidders, the Agha khan Fund for Economic Development

(AKFED) offered the highest bid, which was accepted by the

Government of Pakistan in December.

HBL’s privatization is the largest in Pakistan’s history and

management takes great pride in fact that the bidding took place

within four months of the commencement of the due diligence process

in September 2003. With this change the anticipates further progress

as AKFED brings considerable expertise in international finance and

business and is familiar with conditions in Pakistan, where it already

has extensive operations in various fields.

Now 51% of its shares are owned by Agha Khan Fund for

economic Development (AKFED) while 41% are retained by

Government of Pakistan.


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BRANCHES OF HBL:

Karachi : has around 92 branches in all major / suburbs parts.

This includes one international branch at Export Processing Zone

and one Islamic banking branch at Sharah-e-Faisal.

Lahore : has around 31 branches in all major/suburbs parts

including an Islamic Banking Branch.

Multan : has around 10 branches including an Islamic Banking

Branch.

Faisalabad : has around 4 branches including an Islamic Banking

Branch.

Islamabad : has around 4 branches.

Hyderabad : has around 4 branches.

And 30 other cities of Pakistan


http://en.wikipedia.org/wiki/Hyderabad_(Pakistan)

http://en.wikipedia.org/wiki/Islamabad

http://en.wikipedia.org/wiki/Faisalabad

http://en.wikipedia.org/wiki/Multan

http://en.wikipedia.org/wiki/Lahore

http://en.wikipedia.org/wiki/Islamic_banking

http://en.wikipedia.org/wiki/Export_Processing_Zone

http://en.wikipedia.org/wiki/Karachi

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ORGANIZATION’S PROFILE:

Name of Organization: Habib Bank Limited

Senior Manager of Branch: Ch. Muhammad Mushtaq

Location: Habiab Bank limited, Main Branch,

Jalal Pur Jattan

Phone # (92-53)3592653/3592351

Mobile # 0334-4658606

Email: [email protected]

Website: www.habibbankltd.com

Treasury website: www.hblgtr.com.pk


mailto:[email protected]

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INTERNATIONAL OPERATIONS:

Habib Bank is represented in 25 countries in 5 continents through a network of55 branches, subsidies and joint ventures. The Bank has one of the most extensive international networks amongst the emerging market banks. Our ability to operate successfully in diversified markets and cultures in a function of long history in international banking- HBL opened first international branch in 1951and established customer base. Our international presence spans major financial centers as well as developing countries.

VISION:

“To be the premier organizations operating locally and internationally that provides the complete range of financial services to all segments under one roof.”

MISSION:

HBL is a client-oriented bank and its mission is:

“To be recognized as the leading financial institution of Pakistan

and a dynamic international bank in the emerging markets,

providing our customers with a premium set of innovative products

and services, and granting superior value to our stakeholders–

shareholders, customers and employees”


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VALUES OF HBL:

o Humility

o Integrity

o Meritocracy

o Team work

o Culture of innovation

PRODUCTS OF HBL:

o Auto Finance, Car Loan, Car to Car

o Credit card

o Deposit Accounts

o Personal Loan

o Banc assurance

SERVICES OF HBL:

o COMMERCIAL BANKING

o CORPORATE BANKING

o INVESTMENT BANKING

o ISLAMIC BANKING

o CASH MANAGEMENT

o ZARI BANKING

o GLOBAL TREASURING

o ASSET MANAGEMENT


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STRATIGIC MANAGEMENT AND SWOT ANALYSISOF HBL:

Here we have SWOT analysis of HBL.

STRENGTH:

o An old and well established organization.

o Customers are loyal.

o It is a well-known organization.

o Good reputation.

WEAKNESS:

o Organization is quite behind in the field of IT. Its employees lack

IT knowledge.o Out of 1400 branches only 600 branches provide online banking

facility.o Overstaffing is serious problem for the organization.

THREADS:

o Other banks have high and new IT technology.

o Other banks offer different valuable packages to the customers

OPPORTUNITIES:

o Our Internship Program offers promising students with the

exciting


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o Opportunity to apply their classroom learning experience to real

life

corporate assignments.

o HBL provide good opportunities for the employees in developing

their careers.

o HBL is an organization that provides opportunities for its staff to

have a challenging and rewarding long-term career

MANAGEMENT FUNTIONS IN HBL:

In HBL the management functions are performed as follow

1 . PLANNING:

In HBL:o Decision making is highly centralized because all the decisions

and plans are made at the top level of management.

o For Branch internal working there is case to case planning by manager

with the coordination of employees.

o Strategies are maintained to attract customer.

o Planning is made to meet objective or tasks E.g. The JALAL PUR JATTAH Branch has to meet these targets:

I. Minimum 8 applications for ATM in one month.

II. Deposits should increase 20% from previous year’s deposits as per the

order of Regional Office of HBL. etc.

o Brach also make extra plan for contingency conditions.


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o The Brach manager does not consider the Risk Factor in mind while

planning.

2 . ORGANIZING:

In HBL: o Division of Labor

e.g.

Cashier for cash dealing

Accountant for preparing financial statementso Operational Staff for public dealing.

o HRM (Human Resource Manager) department for management.

o Work is assigned as per abilities.

o Competent Staff is very helpful in management functions.

o Regional office provides substitute if anyone from staff is on

leave.o No autonomy is provided to HBL employees

o HBL strives to become a cohesive and unified force to offer the

customer, a level of service beyond their expectations.o There is also a high degree of interaction among department

managers.

3 . LEADING:

In HBL:

o Have team leadership styles

o Positive attitude of HBL employees towards their job is because

of increasing employee job satisfaction. o Leader provide guide line to staff how to work efficiently

o Staff is motivated by Cash Rewards and Promotions

o Reward depends upon performer

o Staff is updated with new policies through:


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i. Calling meetings

ii. Signing Circular

iii. Telling Orally

4 . CONTROLLING:

o HBL impose external control on its employees.o The criterion used by management to evaluate the employees is

their performance.o Annual reports are sent to the top level management about each

and every employee which evaluates their performance.o Contract Based Jobs.o Task is divided in Quarters o Evaluation of completion of Tasks on monthly baseso Staff is controlled through friendly behavior o Conflicts are settled through coordination and communication

SPECIALLITY OF HBL:

1. Freedom Account is specially offer by HBL2. International Wide Online Banking3. Wide Branch Network all over the world


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CONCLUTION AND RECOMENDATION:

No doubt that HBL is the largest bank in the private sector and since its establishment it has progressed and improved tremendously and has a customer base exceeding 5 million but it can still advance further if it adopt new changing IT technologies as there is still room for some improvements. It should train its employees about the new IT trends. Moreover certain needs of the employees should also be considered like bank timings should be acceptable and employees should be given importance and must be consulted in some decision making processes. Improved friendly relations are required between the top and the middle management. This will make the employees work even better for their organization. During planning managers should consider Risk factor and have strategies to overcome these risk factor.


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REMARKS OF BRANCH MANAGER ABOUT OUR GROUP:

This group has done their job very well. Questions have been

asked very confidently and students were looking very efficient and were

well prepared for this. They have complete knowledge about topic.

I hope they will become Stars in Future.

Remarks By: Ch. Muhammad

Mushtaq


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NOTE:

The mistake in this project pointed out by our teachers was, the page

numbering will start after the table of content page. ..!!!


hbl management project report

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