nib bank internship report
DESCRIPTION
NIB BANK INTERNSHIP REPORTTRANSCRIPT
Final Project
“Internship” Report on (NIB Bank Limited)
COMSAT INSTITUTE OF INFORMATION TECHNOLOGYWAH CANTT
ADNAN KHAN ALIZAIFA04-BS (BA)-003
Submitted in partial fulfillment of the degree of the Bachelor of Business
Administration
At
NIB Bank LtdWah Cantt Branch
Acknowledgment
Firstly I am thankful to Almighty Allah who
is most gracious and most merciful and Holy
Prophet Muhammad PBUH, who blessed me with
intellect and determination to accomplish
this report. Then I am also thankful to all
bank staff who guides me during my
internship duration. I am also thankful to
all respected teachers who develop me
during my BBA to do such tasks.
Table of Contents
MISSION............................................................................................................................2
VISION...............................................................................................................................3
EXECUTIVE SUMMARY...............................................................................................4
HISTORY OF THE NIB BANK......................................................................................6
INTRODUCTION OF TEMASEK.................................................................................8NIB STRUCTURE............................................................................................................10
FINANCIAL ANALYSIS:..............................................................................................11
MARKETING STRATEGY ANALYSIS......................................................................16
WHAT IS SALAM BANKING?..........................................................................................16VALUE PROPOSITION......................................................................................................16TYPES OF LOAN..............................................................................................................17
HRM STRATEGY OF NIB............................................................................................18
ACCORDING TO THE HRM DEPARTMENT:......................................................................18CMM (COMMERCIAL MASS MARKET)..........................................................................19
MARKETING STRATEGY:.........................................................................................20
PRODUCT STRATEGY:.....................................................................................................20PRICING:.........................................................................................................................20PROMOTIONAL STRATEGY:...................................................................................21
Print media:...............................................................................................................21Referral marketing:...................................................................................................21Occasional marketing:...............................................................................................21
WORK PROCEDURE....................................................................................................22
FIRST STEP......................................................................................................................22SECOND STEP.................................................................................................................23THIRD STEP.....................................................................................................................23
MY BANK WEEKS........................................................................................................24
1ST WEEK.........................................................................................................................242ND WEEK........................................................................................................................243RD WEEK.........................................................................................................................254TH WEEK.........................................................................................................................265TH WEEK.......................................................................................................................286TH WEEK.........................................................................................................................29
Learning:...................................................................................................................30Pros............................................................................................................................30Cons...........................................................................................................................31
SWOT ANALYSIS..........................................................................................................32
STRENGTHS....................................................................................................................32
WEAKNESSES.................................................................................................................33
OPPORTUNITIES...........................................................................................................34
THREATS.........................................................................................................................34
PEST ANALYSIS............................................................................................................35
RECOMMENDATIONS..................................................................................................37
Conclusion........................................................................................................................38
Mission
Our Mission is to provide a banking
experience so unique, that it compels
each of our customers to want a long
term, multi-product relationship with
NIB Bank.
1
Vision
To be the bank of choice for the
most discerning segments of the
consumer and corporate markets in
Pakistan.
To revolutionize banking for the
SME segment by creating new
products and distribution channels.
To become a leading provider of
investment banking and wealth
management services.
To be a top-5 choice of employer, a
premier developer of human talent,
and an organization that
understands and honors its social
responsibilities
2
EXECUTIVE SUMMARY
As a major requirement of BBA program is internship, so I
decided to do my internship in an organization in which I
can learn more about the courses which I have studied during
my BBA degree specialization, for this purpose I joined NIB
bank Limited and appointed as internee. After entering in
organization I was assigned to work in all prospects of bank
for short time period. This experience helps me a lot to be
more informed about the environment of this type of banking
field. I learn a lot in short time period which helps me to
understand professional life.
In NIB bank employees have very good relationship among
themselves and also with there customers. They treated me
very well during my internship duration and help me to
understand the way of doing work. They trained me very well
that I can easily understand the way they are doing there
work. The environment of NIB bank was so pleasant and
friendly.
During my stay at NIB bank limited I have learned a lot of
things about professional field like culture of the
organization and the behavior of employee like how to deal
with customer to become a loyal customer of the
organization.
From the start of it’s from 2003, the performance of NIB
bank limited is so good. Now a day’s NIB bank plays a
central role in Pakistan’s financial and economic
3
development. NIB bank stands in the list of leading banks in
Pakistan.
To be recognized as a leading financial institution of
Pakistan in emerging markets, it provide its customers a set
of innovative products and services, and give superior value
to its stakeholders, shareholders and employees. NIB bank is
an organization that provides opportunities to its staff to
have a challenging and rewarding long term carrier.
NIB bank has largest online network in Pakistan and have
more than 240 domestic branches in Pakistan. Its customer
relationship is the back bone of its success. In NIB bank
employees aim is to ensure customer satisfaction by
providing high quality banking services. This is only
possible by professionalism of employees.
The online branch network is the core strength of NIB bank
customer can use the online services free of charges.
4
HISTORY OF THE NIB BANK
NIB Bank Limited started as NDLC-IFIC Bank Ltd. which was
incorporated in March 2003 as a public limited company. It
started operations in October 2003 when all assets,
liabilities, rights and obligations of the former National
Development Leasing Corporation (NDLC) and Pakistan
operations of IFIC were amalgamated with and into the bank
with a paid up capital of Rs.1.2bn. In April 2004 the
Pakistan operations of Credit Agricole Indosuez were also
amalgamated with and into NIB. In March 2005 Temasek
Holdings of Singapore acquired 25% shareholding in NIB Bank,
through Bugis Investments.
This shareholding was further enhanced to over 70% in June
'05 following an increase in NIB's paid up capital to
Rs.3.4bn. NIB Bank has since grown rapidly from a base of 2
branches in 2003 to 45 in the 4th quarter of 2007. Total
assets have grown from Rs.9bn in December 2003 to Rs.87bn
(excluding acquisition of PICIC through rights) as of
September 30 2007, a CAGR of 85%. Loan growth has been
equally rapid, increasing from Rs.7bn to Rs.43bn in the same
period (a CAGR of 64%), resulting from successes in both the
commercial and consumer business.
Deposits for the same period have grown at a CAGR of 95%,
reaching Rs.45.3bn. The overall client base of NIB has also
witnessed a tremendous growth in the same period as of
September 2007; from a few thousand to over one hundred
thousand.NIB Bank's vision is to rank amongst the top 5
banks in the country.
5
Therefore towards end of June 2007 it acquired majority
shares of PICIC with the aim of merging PICIC and its
commercial banking subsidiary PICIC Commercial Bank Limited
into NIB. The acquisition was financed through the country's
largest private sector rights issue, with resultant increase
in NIB's paid up capital to Rs.21.4bn. The PICIC acquisition
has bought with it another subsidiary "PICIC AMC" and an
affiliate "PICIC Insurance". NIB already has a shareholding
in NAFA, an Asset Management Company
(AMC); thus its asset management business will now also be
increased, with diversification in the insurance business.
The legal merger of PICIC, NIB & PCBL took place on December
31, 2007, once all regulatory approvals were in place. NIB
Bank is led by Khawaja Iqbal Hassan, supported by four
business heads and ten business enabling function heads. The
merger has resulted in a vastly expanded network of 240
branches and total assets of over Rs.185bn. Consequently NIB
has the second highest paid up capital of around Rs.27.5bn
and ranks number 7 amongst commercial banks in terms of
distribution network. Merger synergies will accrue through
lower cost deposits, enhanced customer service delivery
channels and overall improved efficiencies. These would
provide a competitive edge in the face of increasing
competition. Temasek Holdings remains the largest single
investor in NIB Bank.
This merger is one step forward in consolidating the banking
sector as envisioned by State Bank of Pakistan and enhancing
FDI as per the Government of Pakistan's objectives. The
powerful franchise of the three merged entities has now been
6
brought together to form a large and powerful bank. Going
forward management is confident that the combined bank will
be a top performer delivering a wide range of financial
services through an extensive branch network. The asset
management arms and insurance affiliate are also expected to
perform well and provide an attractive dividend stream
INTRODUCTION OF TEMASEK Temasek is the business group from Singapore. Temasek have
diversified portfolio around the world.
ICIC BANK
SINGAPORE AIRLINE
SHARES IN STANDARED CHATERED
INVESTMENT IN GAWADAR PORT
7
Departments of NIB
Branch Manager
Operation Sales Credit IT
BDMBOM
MCO
CRO
BSO
CSO RM
RM
BCIM
SA
CO
IT Coordinator
8
NIB STRUCTURE
Board of Directors
President & CEO
CFO, Company
Secretary & Head of
Admin
Head of Consumer
Business
Head of Human
ResourceHead of Corporate Bank
Head of Compliance Head of Risk
Management
Head of Internal Audit Head of Treasury
Board Audit
Committee
Head of Commercial
Banking Group
Head of Operations &
Technology
9
FINANCIAL ANALYSIS:
Common Size analysis
NIB Limited
Description 2005
Rupees
2006
Rupees
2007
Rupees %age %age %age
ASSETS
Cash and Balances with
treasury bank
2,085,14
1
2,928,40
4
10,318,72
2 6.5 6.3 6.0
Balances with other
banks
1,966,11
8
1,362,49
7 1,401,796 6.1 2.9 0.8
Lending to financial
institutions
2,270,00
0
2,600,00
0 4,735,113 7.1 5.6 2.7
Investments
5,129,28
5
6,594,03
6
40,498,84
0 16.0 14.2 23.4
Advances
19,622,9
29
31,052,1
69
82,160,07
4 61.3 67.1 47.4
Operating Fixed Assets 368,551 622,216
30,800,13
5 1.2 1.3 17.8
Other Assets 576,691 1,142,36 3,353,958 1.8 2.5 1.9
10
3
Total Assets
32,018,7
15
46,301,6
85
173,268,6
38 100% 100% 100%
Liabilities
Bills Payables 274,325 215,769 2,110,211 0.8 0.4 1.3
Borrowings
4,547,09
6
9,164,12
1
16,669,41
2 12.5 18.0 10.3
Deposits and other
accounts
21,123,5
56
30,566,5
40
116,671,2
19 58.2 60.2 71.7
Sub-ordinate Loans - - - 0.0 0.0 0.0
Deferred Tax
Liabilities 2,465 - - 0.0 0.0 0.0
Other Liabilities
1,858,39
8
2,150,53
8 4,603,352 5.1 4.2 2.8
27,805,8
40
42,096,9
68
140,054,1
94
Capital
Share Capital
3,361,52
2
3,361,52
2
22,017,96
8 9.3 6.6 13.5
Reserves 694,623 719,810 719,810 1.9 1.4 0.4
Inappropriate Profit 197,626 298,376
(143,392
) 0.5 0.6 -0.1
4,253,77
1
4,379,70
8
22,594,38
6
Surplus on Revaluation
of Assets
4,212,87
5
4,331,87
5 (28,529) 11.6 8.5 0.0
Total Liabilities &
Shareholder's Equity
36,272,4
86
50,808,5
51
162,620,0
51
100.
0%
100.
0%
100.
0%
11
NIB Limited
Description2005
Rupees
2006
Rupees
2007
Rupees%age %age
%ag
e
Markup/return/ Interest
Earned
1,716,91
7
3,473,3
64
6,999,8
88 100% 100%
100
%
Markup/return/ Interest
Expensed
(1,118,95
7)
(2,452,
192)
(4,995,
955)
-
65.1
7
-
70.6
-
71.
4
Net Markup / Interest
Income
597,
960
1,021,1
72
2,003,9
33
34.8
3
29.4
0
28.
6
Provisions against
non performing loans
and advances
120,931
269,583
1,494,8
01 7.04 7.76
21.
35
Provision for
diminution in value of
Investments
29,643
-
- 1.73 0.00
0.0
0
Net Markup / Interest
Income after provision
506,672
751,589
509,132
29.5
1
21.6
4
7.2
7
Non-Markup / Interest
Income
Fee, Commission &
Brokerage Income
91,707
179,994
249,020 5.34 5.18
3.5
6
Dividend Income 1,668 14,528 13,723 0.10 0.42
0.2
0
Income from dealing in
foreign currencies 109,145 208,927 225,235 6.36 6.02
3.2
2
Gain on sale of
securities 4,040 222 24,021 0.24 0.01
0.3
4
Other Income 14,599 90,635 86,772 0.85 2.61 1.2
12
4
Total Non Markup
Interest Income 221,159 494,306 598,771
12.8
8
14.2
3
8.5
5
Non-Markup / Interest
Expense
Administrative Expenses 711,545
1,221,4
23
2,002,1
59 41.4
35.1
7
28.
6
Other Provisions /
Write Offs 327 (328) 2,669 0.02
-
0.01
0.0
4
Other Charges 1,182 2,587 2,133 0.07 0.07
0.0
3
Total Non-Markup /
Interest Expense
713,
054
1,223,6
82
2,004,2
92 41.5
35.2
3
28.
63
Profit/(loss) Before
Tax 14,777 22,213
(896,3
89) 0.86 0.64
-
12.
8
Less Tax (20,178)
(33,422
)
(37,925
) -1.2
-
0.96
-
0.5
4
Net Profit/(Loss) After
Tax (5,401)
(11,209
)
(934,31
4) -0.3 -0.3
-
13.
3
Note: Common Size Statement is made as all the items of P&L Accounts
in comparison with "Sales".
As negative sign in common size is for the cash outflow so it
should be ignored
13
In the Common size analysis we see that the company is
having the following trend
The cash and balance with treasury bank is comparatively
increasing but the overall ratio of the cash and balance
with treasury bank show a slight decrease is noticed in this
comparison. Means that the company is increasing its cash
reserves, but the overall assets are also increasing during
last few years. A huge jump can be noticed in the
investments and advances of the NIB. The bank is investing a
lot of its earning which shows a positive sign to the
shareholders. It can help in increasing the image of the
Bank and the wealth of the shareholders. A huge investment
in the operating Fix assets can be seen in the last year.
This contributes a lot in the increment of the overall
assets of the bank.
On the Other hand of the balance sheet the company is
showing a great increase in the Deposit and other accounts
if the Bank, it is also a positive sign, means that the
banks have more customers and more accounts, and the
performance of the bank is very good in the last year. The
decline in the borrowing and other liabilities show that the
banks is having enough money in hand to invest projects and
it did not need to barrow money from other banks or
financial institutions.
14
MARKETING STRATEGY ANALYSIS
NIB bank’s marketing strategy is quit different from other
banks. NIB’s segmentation strategy is to capture the market
according the market worth. In the Wah Cantt branch where I
done my internship is the NIB Salam Banking Branch. Salam
banking the is the new segment of NIB in which NIB focusing
on the small business man who is running his business on
sole proprietorship. Different account and different kind of
loan offer to the customer.
NIB bank hired 10 relationship officers for one branch. Area
for every RM is decided according to the all area of the
branch. Normally one branch operates in the zone of three
kilometers. All RM’s belongs to the same area and the same
city. By this strategy Bank try to create a relationship
with its customer. NIB bank called this strategy as a
RELATIONSHIP BASE BANKING STRATEGY.
WHAT IS SALAM BANKING?
Salam is a tribute to the people other banks for granted, a
symbol of respect for those who want respect more than any
thing. Salam is an every day salutation a special tribute, a
mark of admiration of an expression of respect. Communicate
through gesture, a node, a salute, a bow, an addab and
through hand shake.
VALUE PROPOSITION We will offer long term banking relationship to our customer
through wide distribution channel embedded in their
communities we will help them prosper and grow.
15
NIB in Salam Banking offer personal loan to the customer.
Two important things while giving loan to any customer are
Capacity
Character
Types of account in NIB Salam banking
Salam Business Account/ Salam Current Account
Salam Bachat Account
Salam Fix Account
Salam Committee Account
TYPES OF LOAN
Personal loan
Nib gives personal loan to the small business man. Some
important requirements are mention as under
Minimum age of 21 years
Maximum age of 65 the time of maturity
Minimum tenure of business 3 years
Sole proprietorship
Proper business setup
Secure/unsecured
If business is secure than maximum limit of
the loan is 750000
In unsecured maximum 150000
CAP (Cash against property)
NIB mortgage any of property against cash
16
HRM Strategy of NIB
HRM department operate all the matter regarding to the
hiring, training, development, pay and all other important
issues form the centralized office from Karachi.
NIB as focusing on the Relationship base strategy with its
customer as they are doing with their employees too. All
sale staff and other staff which is hired are on the
permanent base job. It gives value to the employees as many
banks in Pakistan are working on the third part contract
employees.
ACCORDING TO THE HRM DEPARTMENT:
Our Management philosophy is based on the conviction that
the well-being of the Institution is dependent on the well-
being of its people; hence our approach is primarily people
centric. We are dedicated to the belief that people are our
most valued assets.
When any new employee is hired by the NIB bank his
confirmation base on two important things
Successfully complete probation period
Successfully pass Salaam Business Course
This course is 6 days long in which all product knowledge
and the information about the NIB given to the new employee.
At the last day a exam is conducted in which employee have
to give the answers of the product. If any employee is
failed in this exam he has to appear again or bank not
confirms him in the bank.
Competitive Marketing Strategy
17
NIB is working in Pakistan since 2003. In the market of
Pakistan there are many banks are working like
Islamic Bank
National bank
Muslim Commercial Bank
Habib Bank
Allied Bank
United Bank Limited
In the presence of these big and establish banks NIB was new
and unknown bank. To doing business they need trust among
people to do business with them. For this purpose first of
all NIB look to merge some very well establish bank in
Pakistan. They merge PICIC commercial and PICIC investment
in 2007. NIB now decides to do different kind of banking
and for this purpose they decide to open different kind of
branches in different kind of markets. Their competitive
strategy is that they are doing and opening branch to look
the worth of the market.
CMM (COMMERCIAL MASS MARKET)
In this type of branches NIB is targeting the small
business man in Pakistan. The number of Branches in
CMM is 110... Criteria from taking loans.
1. Business Loan
a. Type of business for which loan is required, it
should be current business
b. Business Address & Ph Number with references
c. Bank Statement
d. Age Required is from 21 to 65
e. Minimum Income =4000/-
18
Marketing strategy:
PRODUCT STRATEGY:
Consumer banking
Online banking
ATM machine
Foreign trade etc
The Main Products are
Current Account
Saving Account
Salam Business Account
Sole Proprietor Account
BBA Account
Business/Company Account
Partnership Account
PRICING:NIB is trying to survey according to the desire of the
people. People want to choose where the mark up rate is low,
where the procedure is easy and where the easy installment
are possible, so according to these requirement of the
people of NIB decreases the mark up rate to 9 %,which is
lowest markup rte in the Pakistan, basically in the banking
sector start to serve the market with two different
strategies, first is to introduced the products or service
on low price, and then increase the service charges, and
2nd one is to introduced the service on high price and then
decrease the charges.
19
The NIB bank is using 2nd strategy. And in the future of Nib
is trying to maintain this strategy for gaining the market
share.
PROMOTIONAL STRATEGY:
PRINT MEDIA:
Newspaper
Pamphlets
Broachers
REFERRAL MARKETING:
Customer to customer marketing
OCCASIONAL MARKETING:
They send Eid cards to their customers upon the special
events.
Distributional strategy:
They actually take all the Distribution channels through
courier services which is one of the best in Pakistan that
is TCS.also they install Atm machines in different sectors
Work procedure
I joined the NIB bank as an internee. BM of the branch gives
me the brief introduction of the NIB bank and promises me to
20
support me in the process of learning and in acquiring the
professional knowledge. BM nominates one supervisor for my
internship that was responsible to teach me and to take work
from me. The branch, which we choose for the internship, is
the branch of Salam Banking. In Salam Banking the most
important department is the Credit department.
My supervisor Mr. Saqib is related to the cash department.
And
Bank Manager Mr.Qaiser, AND customer relationship manager
madam Hira helps me a lot.
Credit department is responsible for the lending of the loan
to the customer brought by the Relationship Managers. They
check the facts & figures mention by the customer are
correct and follow the certain policy.
First of all my supervisor told me the process of loan
lending to the customer.
FIRST STEP Sale department (RM) bring login first from the market.
They prepare the case according to the policy.
RM handover the file to BDM
BDM enter the data on his MIS and then handover the
file to the credit department.
SECOND STEP Credit department first of all screen the file
ECIB and DC requested
Telephonic verification
Residence verification
NADRA verifies
Reference check
21
THIRD STEP
This step is most important step for loan lending, which is
“Credit Meeting”. BCIM conduct it on the business spot with
the customer to Asses the business worth and the reputation
of the customer in the market. Few important things while
conducting the credit meeting are
Condition of the stock
Business setup
Cash flow analysis
Sale
On the bases of credit meeting BCIM take the final decision
about the lending that how much customer worth for the loan.
Final Step
Then the credit department does final step, which is the
calculation of the loan in the Fine one Production (online
software)
MY BANK WEEKS
1ST WEEKThey tell me about the General banking, and they tell me
that it is basically divided into the following sub
departments, and I just worked for some of the departments,
these are all department in general banking as follows:
Account opening
Clearing
Term deposit
Customer relationship
Issuance of Checkbook after opening Account
22
In this week I also met with the my colleagues and senior
officers, than my senior Manager Qaiser had send me towards
my colleague Manager Saqib, I was taking all the
instructions from Mr. Saqib. he was very corporative with me
2ND WEEKMy 2ND work in the bank was to screen the files according to
the policy of the bank.
Supervisor Mr.Saqib tells me the process of screening. In
screening the file given by the sale department is check in
credit department. Few important steps were
Match the information with CNIC
Name of customer and spell check
Signature match
Any other discrepancy, if found return the file to the
sale department.
To insure all other forms attached
Credit department receive daily 8-15 files from the sale
department. I did this job with full responsibility and
conduct very good screening of the files.
After screening the files for few days second important
thing I did is telephonic verification of customer in third
week.
3RD WEEKTelephonic verification
In telephonic verification all the facts & figures mention
in the file by the sale department on behalf of the customer
are checked to insure the right information of the customer.
23
Normally one telephone took the time of 10-15 minutes. Two-
reference mention in the file is also contacted on the phone
for insuring the relationship with the customer. It is very
time consuming process often given number is not contacted.
DC Request (Data Check)
I also make request for the DC in NIB. DC prepare on the
Excel sheet in which information about customer in mention.
Few important things are
Name of the branch
Name of the RM
Father name of customer
DOB
Residence address
Residence Telephone
Business Name
Business address
Business telephone
Cell phone
Require loan amount
City
4TH WEEKAccount opening:
Although the procedure of opening an account in a bank is a
quite complicated job but I am going to tell you only the
24
basic necessities for opening the account, which are as
follows:
Introduction
National I.D. card
Personal data
Details of dealing with other banks.
These are some of the basic requirements for opening the
account.
Issuance of cheaque book
Once the account is opened, nib bank issues the chequebooks
to the customer so that they could withdraw their money
whenever they like. The producer of issuance of the
chequebook is as follows:
For the customer who already has an account with the bank,
the lastly consumed chequebook requisition slip with the
help of which a new chequebook is issued. And the person who
is going to open a new account for the first time gets the
chequebook free without any requisition slip.
For the new depositors the cheaque book is not issued at the
time of opening of account, rather it is issued after three
days but, as the most of the customers are from the armed
forces so the usually get the cheaque earlier. NIB BANK
issues the chequebooks for both the local and foreign
currency accounts.
25
I remained there in the account-opening department for one
week and daily I learnt a new thing. I come to know about
the details of the account opened by the banks, which I have
explained in previous portion of "Departments".
In the start I have stated the account opening procedure and
issuance of cheaque book in a very comprehensive way, now
let me tell u the further related detail of account opening
First of all a customer come and gets the information
regarding the opening of account. After getting the
proper information he gets an introducer and goes for
opening an account of any kind whatever he wants
He fills the from regarding the opening of account
which is in fact a request.
S.S card is filled which contains the signature that
will be used in future in order to identify that you
are the same particular person who perfectly eligible
for receiving the benefits.
The S.S card and the application form is verified and
the verification stamp is imposed on it.
After verification the application forms are pasted in
the file with the serial, no which is actually the
account no. Allocated to the respective customers.
The chequebook is issued to the customer after three
days.
A letter of thanks is posted to the customer as well as
the introducer. The introducer is thanked for the two
perspectives. The procedure for opening the account
comes to an end after sending the letter of thanks.
26
Active and inactive Account
The account becomes Inactive if there is no debit
transaction. Account becomes active if there is credit
transaction.
5TH WEEK
I told My supervisor Mr.Qaiser that I want to learn more
about the banking than he told me that the Zakat process and
Checking and amendment in the signature in the 5th week.
They tell me about the Zakat. Zakat is deducted on the first
of Ramadan. However, the Bank can't deduct the Zakat if you
have given Affidavit (declaration regarding not to deduct
Zakat on Stamp paper).
For non-residents the tax and Zakat is exempt (visa is
required as the proof that the particular person is really a
non-resident).similarly Christians has not to pay the tax,
they have to pay the tax only.
6TH WEEKIt was my last week of my first Internship; I was getting a
lot of information which I don’t know previously. That I
request my Supervisor I am a student of Marketing so I want
to work n the marketing. He was very pleased. He takes
permission from our senior Manager that Internees are
allowed to move for survey. He gave me permission that In
the last week I was working in the field as sales &
marketing. I have visited many shops and convinced the shop
keeper to take the loan. I have able to take 2 customers,
one has a mobile shop and 2nd customer was a hair dresser.
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LEARNING:
I have worked as an Internee in NIB Bank for 6 week
months as per required by University. During my
Internship, there is a tremendous atmosphere in NIB Bank.
I learned so many things from their management like how
to work in a standard place. They are using their own
made software which is used by Bank for online
transactions.
PROS
The most important benefit of this internship is
that I got practical exposure of work place.
I got practical experience of working practices
related with my field.
I learned that how to manage things and how to
create balance among work life and personal life.
These learned management practices are going to be
very helpful for me while on job.
Management experience from every aspect was really
very much friendly
Management did help me a lot during my work they
always guide me especially Manager of NIB Bank.
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During my internship I learned how to talk and
behave with employees and senior management.
During my internship I have seen that no extra
burden given to any employee. But if there is a need
of extra work the manager always do himself (on
importance basis) and went back to home when not a
single work remaining.
CONS
No Reward system for internees.
Some employees don’t give as much importance to
internees
Selections of employees are very rare from
internees
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SWOT ANALYSIS
SWOT is an abbreviation of strengths, weaknesses,
opportunities and threats. SWOT is related to what the
present position of an organization. SWOT analysis is based
on the assumption that if managers carefully review such
strengths, weaknesses, opportunities, and threats a useful
strategy for ensuring organizational success will become
evident.
Strengths
Strength can be defined as an area where a company is best
at doing something or a feature that puts a company at an
advantage in comparison to its competitors. NIB Bank enjoys
the following strengths.
The standard of service is very good and customers are
satisfied with that service
They have a computerized system, and online banking
NIB is the 7th largest bank in Pakistan with over 240
branches
NIB Bank’s ATM’s are linked with a number of leading
local and foreign banks.
Automated Systems made NIB Bank to rise with the
pressure of rising competition.
The employers at NIB are offered reasonable monetary
benefit. Normally two bonuses are given Eid-Ul-Fitar &
Eid-Ul-Azha.
NIB bank has well established website and is up to date
about the bank.
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Weaknesses
A weakness is defined as an area in an organization where
the organization is not as good at doing something as its
competitors or a thing which an organization lacks or
disadvantage in comparison to its competitors. Based on the
above definition NIB Bank has the following weaknesses.
Branch area is very small with respect to hired
employees.
When NIB merges PICIC commercial and PICIC investment
in it then the old employees become part of the NIB.
Those employees need great deal of training and
development. As they are doing conventional banking and
NIB’s slogan is Relationship base banking.
Online recruitment (unable to collect a pool of
candidate because net is not available everywhere in
the country).
Branch manger can not fire any employee on his bad
performance as they are hired as permanent employees.
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Opportunities
An opportunity can be defined as a change in external
environment, which if properly exploited with the
organizational strengths will result in enhanced sales,
market share, or income. Using its strengths, NIB Bank can
avail the following opportunities.
Increase credit facilities to lower income level and
also to SME’s
Many areas for new branch opening.
In the economy of Pakistan where other banks are very
carefully lending the different loan NIB giving
personal loan in huge quantity. This will result in
great market share in future.
Threats
Threat can be defined as a change in external environment
which if not met with proper strategies will result in loss
of revenues, market share, or income. In the context of NIB
Banks external environment, the following potential threats
exist:
Foreign banks operating in Pakistan are playing a
significant role by incorporating new technologies and
providing better quality services thus creating a
threat to the local banks especially to NIB Bank which
tries to develop its image in the eyes of customers.
Already many huge banks are doing business in the
banking sector.
Devaluation of Pakistani currency.
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The bank is facing threats with the emergence of new
competitors especially in terms of foreign banks.
PEST ANALYSIS
Political
We all know we are not in a strong political condition but
we know our banks really depend upon the Political
condition. It political Environment is good we can maximum
profit. Political Environment Is directly related towards
our Benefits
Economical
As we come to know due to Economic crises all over the world
every country suffers. Now if we talk about the banks of
Pakistan & India. They the best Conceptual Bank all over the
world. These bank cannot be Affected by the economic crises.
Social
There is some influence in our society that some people
still use Qameeta System. As an Old trend now if we talk
about our Society they now know the concept of Bank and its
good in our society. One thing that Damage the bank are
Interest system we as a Muslim country reject it.
Technology
Banks are using the latest technologies all over the
country. We can see we have Develop an Extranet System. In
which we can use Online Banking. We can use our accounts any
where in the world very easily and you can get any
Information from any of the liked bank.
PORTER FIVE FORCES
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THREATS OF NEW ENTRANTS: In Pakistan the competition in the banking business is very big.
BARGANING POWER OF SUPPLIER:
As banking in Pakistan is not new in the market of banking
so our bargaining power of supplier would be very high.soo
suppliers have opportunity to move anywhere in Pakistani
banking sector easily.
BARGAINING POWER OF CUSTOMER:
Bargaining power of customer would be very high because so
many banks in Pakistan and customer have knowledge of all
banking.
Threats of substitute product and services :
Obviously NIB bank have a threat of substitutes, because lots of bank gives lots of product and services IN WAHCANTT area.
Rivalry:
Nib bank have also rivalry threat because it’s a new bank, merger of PICIC commercial bank so PICIC rivals are their rivals
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RECOMMENDATIONS
First of all there is no Job security in the NIB Bank.
The employees in the organization should be insured job
security so that there is no pressure on the employees
while performing their tasks.
NIB should introduce “Dress-Down” day i.e. employees
should be given permission to wear dresses other than
formal dresses on certain days so as to make them
relaxed while work.
NIB needs to advertise its self as it is not so
familiar among the people like other banks
NIB should give training to its staff about the
knowledge of the products of different banks as they
then able to compare the advantages of their product
with respect to others.
They should provide the facility of online submission
of utility bills.
They should launch home and car loans services
I found many complaints regarding the ATM issues in
NIB. Most of the time ATM remain offline. NIB needs to
make sure the alternative links for the customer
They have a very small building and , there is no space
for sitting for customer they try to expand them.
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Conclusion
During my stay at NIB bank limited I have learned a lot of
things about professional field like culture of the
organization and the behavior of employee like how to deal
with customer to become a loyal customer of the
organization. NIB is a Singapore base business group. Group
has diversified type of business all across the globe. In
NIB bank employees have very good relationship among
themselves and also with there customers. Employees treated
me very well during my internship duration and help me to
understand the way of doing work. NIB Bank has since grown
rapidly from a base of 2 branches in 2003 to 45 in the 4th
quarter of 2007. The internship helps me to boost up my
confidence level and I learn the way to deal the
organization level colleagues. It also increases my
interaction with different people from different background
and helps me to learn and understand their values and how to
deal them in affective manner. In NIB Bank Selections of
employees are very rare from internees I learnt a lot from
my internship which will help me a lot in my professional
career.
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