national bank internship report for vu -
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An internship presentation about National Bank of Pakistan - www.noumanali.comTRANSCRIPT
GENIUSMC0702
MBAHRM
National Bank of PakistanMain Branch Abbottabad
Internship Report
Brief Introduction of the National Bank of Pakistan
Overview of NBP
1. NBP Maintains its position as Pakistan’s Premier Bank
2. NBP is major business partner of Government of Pakistan
3. It has special emphasis on fostering Pakistan’s economic growth through:
Aggressive Balanced lending policy
Brief Introduction of the National Bank of Pakistan
Overview of NBP
4. NBP also handles treasury transactions for Government of Pakistan as an agent to State Bank of Pakistan.
5. NBP has a network of over 1100 branches locally and 15 overseas branches.
( Source: www.nbp.com.pk)
Brief Introduction of the National Bank of Pakistan
Business Volume
Non Interest based income shows impressive increase of about 3.7 billion PKR.
Administrative expenses increased by 25% due to training facilities development.
Credit rating maintained at AAA by JCR Credit Rating Agency.
NBP has assets of 350 billion PKR.
Brief Introduction of the National Bank of Pakistan
Business Volume
NBP follows the: International Accounting Principles, Islamic Accounting Principles and; Regulations of Institute of Chartered Accountants of Pakistan
(Source: National Bank Quarter Report December 2008)
Brief Introduction of the National Bank of Pakistan
Competitors
There are several other banks which are acting as the competitors to National Bank of Pakistan. These Banks includes:
The Bank of Khyber The Bank of Punjab Bank Alfalah Limited Muslim Commercial Bank Habib Bank Limited My Bank Limited
Brief Introduction of the National Bank of Pakistan
Competitors
Allied Bank Limited Askari Bank ABN Amro Bank Al-Baraka Islamic Bank Standard Chartered Bank CITI Bank Mezaan Bank etc
Organizational Hierarchy Chart
President
Board of Director
Member Executive Board
Regional Chief
Zonal Chief
Manager
Organizational Hierarchy Chart
Regional Office Abbottabad
Regional management Team
Regional Business Chief
Regional Operational Chief
Regional Risk Mgt Chief
Regional Compliance Chief
Regional HR Chief
Training Program
During my internship in NBP, I followed the training program in the following departments:
Deposit Department Billing Department Accounts Department Human Resource Department
Training ProgramTasks in Deposit Department
In Deposits Department, I received training about: How to collect Deposits from Customer How to Pursue Customers Introduction to Customers
I worked on following types of Deposits in NBP: Current Deposit PLS Account Fixed Deposit
Training ProgramTasks in Billing Department
In Billing Department, I received training about: How to perform Billing of Receipts How to pursue Billing Account of Account Holder How to post Balance after Billing Functions of Billing Department
Training ProgramTasks in Billing Department
I worked on following types of Bills in National Bank of Pakistan:
Inward Bills for Collection ( Demand Drafts) Outward Bills for Collection ( Treasury Bills, Documentary
bills, Pay Orders)
Training ProgramTasks in Accounts Department
In Accounts Department, I received training about:
How to maintain journal of Accounts How to maintain vouchers system Functions of Account Department
Training ProgramTasks in Accounts Department
I worked on following types of Accounts in National Bank of Pakistan:
General Ledger Statement of Daily Affairs Cash book OR Cash cum Day book Transfer Book Income and Expenditure Ledger
Structure of HRM Department
Departmental hierarchy
Vice President Human
Resources
Manager Total Compensation
Manager People and OD
Manager Labor Relations
HRM Process in the Organization
Human Resource Management Process in National Bank of Pakistan
National Bank of Pakistan has existing Human Resource
Department, which operates to:
Increase the skills of the existing employees New recruitment and hiring in the organization
HRM Process in the Organization
Human Resource Management Process in National Bank of Pakistan
The HRM process consist of following interrelated activities:
Recruitment and Selection Training Compensation and Supervision
HRM Process in the Organization
Human Resource Planning & Forecasting For HR Planning & Forecasting, we conduct organizational
study to: Determine the organizational Goals Scan the organization environment Set Strategic Goals Formulate the Strategic Plan Course of Action is Designed
HRM Process in the Organization
Human Resource Planning & Forecasting Steps of Planning Process in NBP: Determining the Objectives Defining required Skills to meet objectives Determine additional Human Resource requirements Develop action to meet the anticipated Human Resource
Needs.
HRM Process in the Organization
Human Resource Planning & Forecasting
Forecasting:
Zero-Base Forecasting: This method uses the NBP’s current level of employment as
the starting point for determining the future staff needs for the National Bank of Pakistan.
HRM Process in the Organization
Human Resource Planning & Forecasting
Forecasting:
Bottom-Up Approach: In this method each successive level of NBP start with
lowest, and forecast its employee requirements in order to ultimately provide an aggregate forecast of employment needs.
HRM Process in the Organization
Human Resource Planning & Forecasting
Forecasting:
Use of Mathematical Model: Mathematical models defines the relationship between the
demand and number of employees needed.Simulation:
It is experimenting with real world situation through a mathematical model representing that situation.
HRM Process in the Organization
Employee Recruitment & Selection
CV screening and Short listing Written Entry Test
Final Panel / Group Interviews Initial HR Interviews
Selection and Offer
HRM Process in the Organization
Training and Development NBP has development group called “organizational
development and training group”. Four staff colleges are operating under this group in
Lahore, Karachi, Islamabad and Peshawar. The training is mostly carried through seminars workshops
and mostly on the job training. At the time of induction of the employee he is given the
initial training at Institute of Banking Pakistan (IBP) after that they are posted in the field on their respective jobs.
HRM Process in the Organization
Training and Development NBP follows two forms of Trainings:
First is related to the training and development of new and mid level employees
Second is the training and development for long term plan, regarding the career development of higher level employees
HRM Process in the Organization
Training and Development NBP applies on-job and off-job strategies to train its
employees.
NBP training and development academy advises job rotation to ensure and facilitate the production of all-rounder employees.
HRM Process in the Organization
Training and Development Training Plan start at least 2 months before the
commencement of the new year, in order to make it easy for the socializing and orientation of the new employees.
NBP believes in pre/post tests for the existing employees and post training tests for the new employees.
HRM Process in the Organization
Performance Management In performance Management factor there are certain aspects
about which NBP takes special care, these are:
Professional Knowledge Improving corporate culture Decision Making Ability Ability to visualize and plan Ability to act on emergent situation
HRM Process in the Organization
Performance Management
Ability to implement decisions Ability to guide and create team work Communication skills Customer Relationship Acquaintance with technological improvements
HRM Process in the Organization
Performance Management Performance Evaluation:
An employee do not has any right or access to the Annual Confidential Report ( ACR), but s/he is informed, so that s/he can rectify/improve his/her shortcomings if any.
After ACR paper work, it is entered into database by HR. On the basis of the evaluation, benefits are offered in terms
of promotions, rewards etc
HRM Process in the Organization
Compensation & BenefitsDifferent types of compensations includes:
Medical insurance Sick leave Vacations Provident and pension funds Promotions
HRM Process in the Organization
Compensation & Benefits
Overtime pay Profit sharing Bonuses Travel / Meal / Housing Allowancesetc
HRM Process in the Organization
Career ManagementPromotion:
The criteria for promotion for specified job is usually the merit cum seniority base. Person is eligible for promotion if:
Satisfactory Record of service Meets the criteria for promotion Clear recommendation for his/her promotion in ACR
If there are any departmental proceedings against him or any penalty within last 3 years, then s/he will not be promoted.
HRM Process in the Organization
Career ManagementDemotion/Expulsion:
On joining, employee is provided with the organizational rules.
A person is demoted to lower rank if the performance required, remains same for 3 years without any improvement.
A person may be expelled on course of bad conduct in law, convicted by law or fraudulent activities.
HRM Process in the Organization
Career ManagementResignation: When employee wants to resign, he has to submit his/her
resignation in HR Department in 1 advance. If he fails to inform 1 months prior to resignation, then he has to pay 1 months gross salary amount.
After employee put his resign, HRD query all branches if this person has any transactions left with any branch or not? If not, head of HRD approves his resign and send that to employee’s branch manager.
HRM Process in the Organization
Career ManagementRetirement: HR Department writes to employee, CC to line manager,
advising retirement date. Line manager arrange informal meeting with employee to
discuss plans and confirm right to request continued working. Line manager writes to employee confirming meeting, CC HR. Employee chooses to retire at 60 Years. Normal retirement procedure applies.
HRM Process in the Organization
Labor Management Relations The society for labor welfare is formed within NBP, which
functions with the help of Management, so form a good relationship and provides:
Immediate relief to any accidental causality. Some benefits to on job deceased. Arranges variety shows for the families of employees. Arrange Educational funds or benefits for the employees.
Critical Analysis
Improve General Banking Facilities Change the mind of the old employees to adapt IT Unclear Brand image of the Bank. People’s perception that its Government Bank with lack
of facilities Customers wants fast and innovative service. HR Management is less existent. Motivational Tools are not followed. Promotion of employees is not done regularly.
SWOT Analysis of NBP
STRENGTHS:
Nationalized Bank Largest Branch Net Work Strongest Capital Structure Monopolistic hold Public Confidence Experience of operation Easy access to the customers
SWOT Analysis of NBP
WEAKNESSES: Poor performance of the workers Untrained staff and weak customer handling. Favoritism and Nepotism Lack of coordination Unpleasant working environment Traditional Approach Lack of IT Infrastructure & less No. of ONLINE Branches Burden of running extra number of branches.
SWOT Analysis of NBP
OPPORTUNITIES:
Electronic Banking Leasing Business Network in foreign Countries Gain Economies of Scale
SWOT Analysis of NBP
THREATS:
Globalization Increase in Competition Privatization Political instability in the country Lack of consistency in Government's policies
Conclusion After completing my internship, I draw following conclusions: NBP’s staff is not well trained comparatively HR procedures are well placed in books but not being
practiced fully NBP’s HR Management is not working good. NBP is utilizing large amount on administrative cost NBP’s process of sanctioning advance is lengthy NBP’s customers handling is poor. NBP’s record on papers is great, but it lacks latest banking
techniques and technologies.
Recommendations
My Recommendations regarding NBP are: Employees should be involved in decisions affecting
them. Promotions and reward systems should be fair. Introducing new and efficient products. Total quality approach should be used. Training should be according to assessed needs. Creation of enhanced performance appraisal system. Job rotation and job enrichment for employees.
Recommendations
Improving communication skills Aggressive marketing strategy in banking Institutionalization of the Human Resource Management Research and Development facilities must be improved. General working conditions and environment must be
improved. New talent/professionals should be hired Public relation desk should be established in each and
every branch.
Thank You !