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Internship Report on MCB Bank Ltd

Introduction of MCB Bank Limited

MCB is one of the top banks of Pakistan with a deposit base of Rs.

491 Billion and total assets over Rs.653 Billion. Inorporated in 194!"

MCB soon earned the rep#tation of a solid and #nadvent#ro#s

finanial instit#tion $ana%ed b& e$i%rant e'e#tives. In 19!4" MCB

was nationali(ed alon% with all other private setor banks. )he Bank

has a #sto$er base of appro'i$atel& 4 $illion" a nationwide

distrib#tion network of over 115* branhes and over 6!6 +)Ms in the

$arket. Before ta' profit 31.4,3 billion whih is lar%est a$on% all

banks in Pakistan.

Vision Statement

o )o be the leadin% finanial servies provider" partnerin% with

o#r #sto$ers for a $ore prospero#s and se#re f#t#re.

Mission Statement

o -e are a tea$ of o$$itted professionals" providin% innovative

and effiient finanial sol#tions to reate and n#rt#re lon%ter$

relationships with o#r #sto$ers. In doin% so" we ens#re that

o#r shareholders an invest with onfidene in #s.

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Historical Overview

Formation:

o MCB /for$all& M#sli$ o$$erial bank li$ited0 Bank

i$ited o$pleted his 65 &ears in the field of bankin% 2#ite

s#essf#ll&. MCB was for$ed in 1946 in Cal#tta. )he

re%istered offie of the bank transferred to arahi in

194,.ow its prinipal offie is shifted at ahore and re%istered

offie at Isla$ +bad.

Change of ame:

o )he na$e of bank has been han%ed fro$ M#sli$ Co$$erial

Bank td to MCB Bank td.

Shifting of Head Office:

o In **, the head offie of MCB was shifted to ahore in a

newl& onstr#ted b#ildin%" na$el& MCB o#se" loated at 7ail

Road" fro$ arahi.

Main !roducts and Services

"e#osito Bank aepts deposits whih are $aintain b& the bank in different

kinds of ao#nts. MCB bank offers these ao#nts for depositin%

the f#nds.

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Current $ccount

o MCB Bank offers a variet& of #rrent ao#nts to ater to the

ever&da& transational needs of vario#s #sto$ers.

Savings $ccount

o MCB savin%s ao#nts offer attrative profit rates as well as

fle'ibilit& to transat.

%erms "e#osit

o MCB )er$ 8eposits offer attrative short to $idter$

invest$ent options with fle'ibilit&" onveniene and se#rit&.

Loans and $dvances

o Banks %rant loans to the spenders so MCB bank also %rant

different kids of loan to different #sto$ers

Consumers Loans:

o MCB bank offer loans for personal #se to the individ#als or %ro#p

of people it will be %ranted on the ino$es of the desired

individ#als.

Commercial and Cor#orate:

o

MCB also offer o$$erial loans to the individ#al and %ro#p of people it will %ranted on the in three wa&s as #nder

o Hothecation: In this ase ownership and possession in na$es

and hands of lient.

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o !ledge: In this ase ownership and possession in na$es and hands

of bank.

o Mortgage: In this ase ownership in na$es of bank b#t possession

in hand of lient.

'unning Finance:

o It will be iss#e on h&po bases and personal %#arant& is re2#ired for

it.

'unning Finance Instant:

o It will be iss#e on pled%e bases and personal %#arant& is re2#ired

for it.

Cash Finance:

o It will also iss#e on pled%e base pled%e and personal %#arant& is

also re2#ired for it.

Cash for Cash:

o It will also iss#e on pled%e bases b#t in this ase pled%e assets

$#st be li2#id and personal %#arant& is also re2#ired for it.

"emand Finance:

o It will be iss#e on $ort%a%e bases and personal %#arant& is also

re2#ired for it.

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Others !roducts and Services

MCB Visa Credit Card

o MCB offers a o$plete s#ite of Classi" :old and Platin#$

;isa Credit Cards fo#sin% on providin%" s#perior servie"

travel privile%es < shoppin% pleas#re.

MCB Smart Card

o MCB =$art Card is the ke& that enables aess to onvenient

bankin% servies.

MCB 'u#ee %ravelers Che(ue

o R#pee )ravelers Che2#e" bein% the $arket leader" is the $ost

widel& aepted wa& to pa& ash for travelrelated p#rposes.

MCB $%Ms

o MCB has one of the nation>s lar%est +)M networks with over

45* +)Ms and still %rowin%.

MCB Mo)ile $%M

o MCB Mobile +)M not onl& provides world lass bankin%

servie b#t also provide onveniene.

MCB SMS Banking

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o =M= an&ti$e to %et infor$ation re%ardin% balane" $ini

state$ents and redit ard related infor$ation one &o#r ard is

linked.

MCB Mo)ile

o MCB Mobile is a 2#ik eas& and se#re wa& to rehar%e $obile

phones" transfer $one&" pa& bills and do $#h $ore.

MCB Call Center

o )here?s no easier wa& to bank than the new enhaned 4@!

MCB Call Center" whih blends innovation and onveniene to

provide Bankin% =ervies that %o be&ond e'petations.

MCB Investment Services

o MCB Invest$ent =ervies offer distrib#tion of $#t#al f#nds

$ana%ed b& the leadin% f#nd $ana%ers of Pakistan

MCB $dvisor& Services

o MCB also provide finanial advisor& servies" o$$erial

str#t#rin% s#pport and aess to apital reso#res to help

o$panies s#essf#ll& finane their b#siness@proAet.

MCB Lockers

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o okers of different apaities are available nationwide.

MCB Banc assurance

o MCB Ban ass#rane has reated a onestop shop for all &o#r

finanial and ins#rane needs.

MCB Local 'u#ee "rawing $rrangement

o )ransation Bankin% 8epart$ent at MCB provides oal

R#pee 8rawin% +rran%e$ent" a prod#t for s$all banks and

finanial instit#tions.

MCB Home 'emittance

o MCB o$e Re$ittane provides a fa#ltless inflow of forei%n

re$ittanes redited in the benefiiar&?s ao#nt within

$in#tes.

MCB *(uit& Ca#ital 'aising

o MCB offer apital for their lients b& offerin% o$$on or

preferred e2#it& to p#bli or private investors" thro#%h initial

p#bli offers" offers for sale" ri%hts iss#es and private e2#it&

plae$ents

MCB Islamic Banking

o MCB Isla$i Bankin% provides Reba ree and =arah

Co$pliane servies to a variet& of #sto$er se%$ents

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Organi+ational Structure

Introduction

o )o the best of $& knowled%e and fro$ different so#res here #nder

str#t#re of Mana%e$ent of MCB Bank is e'plained below.

Chairman

o Mian Moha$$ad Mansha

Vice Chairman

o Mr. =. M. M#neer

!resident , C*O

o Mr. M..+. s$ani

Chief Financial Officer:

o Mr.=al$an Dafar =iddi2i

!rinci#al Office:

o MCB 15 Main :#lber%" ahore

'egistrars and Share 'egistration Office:

o MCB 15 Main :#lber%" ahore

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M@s. ) +ssoiates /Pvt.0 i$ited

=tate ife B#ildin% o.3"

8r. Dia#ddin +h$ed Road" arahi

Hierarch& of Management

ere #nder hierarh& of MCB Bank i$ited is listed in

downward inte%ration /fro$ #pper to lower hain of o$$and0

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Cor#orate !rofile

ames "esignations

Board of "irectors

Mian Moha$$ad Mansha Chair$an

Mr. =. M. M#neer ;ie Chair$an

Mr. M..+. s$ani CEF @ President and Me$ber

Mr. )ari2 Rafi Me$ber

Mr. =hah(ad =alee$ Me$ber

Mr. =ar$ad +$in Me$ber Me$ber

8ato seri Is$ail =hah#din Me$ber

Mian Ra(a Mansha Me$ber

8ato> Moha$$ed #ssein Me$ber

Mr. +ftab +h$ad han Me$ber

Mr.Man(ar M#shta2 Me$ber

Mian $er Mansha Me$ber

Mr.+h$ad +l$an +sla$ Me$ber

$udit Committee

Mr. )ari2 Rafi Chair$an

8ato =eri Is$ail =hah#din Me$ber

8ato> Moha$$ed #ssein Me$ber

Mr. +ftab +h$ad han Me$ber


Mr. Malik +bd#l -aheed Me$ber

Human 'esources Committee

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Mr. =hah(ad =alee$n Me$ber

Mr. M..+. s$ani Me$ber

'isk Management - !ortfolio

'eview Committee

Mian $ar Mansha Chair$an

Mr. Man(ar M#shta2 Me$ber

Mr. =ar$ad +$in Me$ber

M+ s$ani Me$ber


Committee on !h&sical !lanning.

I% S&stem - Contingenc&

$rrangements

Mr. =ar$ad +$in Chair$an

Mr. =. M. M#neer Me$ber

Mr.$ar Me$ber


Mr. +bd#l arid Bin +lias Me$ber


Business Strateg& - "evelo#ment

Committee


Mr. =. M. M#neer Me$ber

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8ato? M#ha$$ad #ssain Me$ber


8ato =eri Is$ail =hah#din Me$ber




'isks faced )& the )ank

S&stematic 'isk:

o In finane ter$s s&ste$ati risk are $arket risk" a%%re%ate risk" or

#ndiversifiable risk" is the risk assoiated with a%%re%ate $arket

ret#rns. )his risk sho#ld not be onf#sed with s&ste$i risk

bea#se risk of loss fro$ so$e shatterin% event that ollapses theentire finanial s&ste$.

/ns&stematic 'isk:

o In inane ter$s #ns&ste$ati risk are speifi risk" idios&nrati

risk" resid#al risk" and diversifiable risk these are the o$pan&

speifi risk in a portfolio whih is #norrelated with a%%re%ate

$arket ret#rns. ere #nder so$e of these risk are as #nder

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Credit 'isk:

o MCB fae redit risk it arises fro$ dealin%s with individ#als"

orporate" finanial instit#tions" soverei%ns et.

o Market 'isk:

o MCB fae $arket risk whih arises fro$ han%es in $arket

rates s#h as Interest Rates" orei%n E'han%e Rates and E2#it&

Pries et.

Li(uidit& 'isk:

o MCB fae also li2#idit& risk it ter$s as the abilit& to f#nd

assets and $eet obli%ations as the& beo$e d#e.

O#erational 'isk:

o MCB also fae operational Risk s#h as loss res#ltin% fro$ an

inade2#a& or a fail#re asribable to people" proesses"

tehnolo%& or e'ternal events.

Com#liance 'isk:

o MCB also fae the o$pliane risk that is si$ilarit& between

the o$pan& poliies" r#les" and har%es et with =BP

%#idelines.

'e#utational 'isk:

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o In $& opinion MCB $a& not fain% rep#tational risk that is past

bad ond#ts b& the bank and has %ood reor%ani(ation a$on%

the all o$$erial banks whih are operatin% in Pakistan.

Securit& risk:

o MCB and its e$plo&ees also fae se#rit& risk it is a risk bein%

o#r ille%al ativities of individ#als or %ro#p fro$ and o#tside

the or%ani(ation.

Securit& s&stem

+bove $entioned se#rit& risk is $iti%ate b& establishin% a se#rit&

s&ste$. In Branh offie where I work has se#rit& s&ste$ whih are

as #nder

Securit& 0uard:

o In plae of MCB where I spend $& si' weeks in trainin% has a

se#rit& depart$ent" se#rit& %#ards are hired for $iti%atin% the

se#rit& risk.

MCB Com#uteri+ed Card:

o Ever& one in head offie has a o$p#teri(ed ard on whih his

detail are printed b#t also it serve as se#rit& ode that witho#t

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it ever& door is losed for &o# bea#se a hip is in plae in this

ard.

Management Information S&stem

MCB has %ood infor$ation s&ste$ in plae whih provides

infor$ation needed to $ana%e or%ani(ations effetivel&. )hese are

re%arded to be a s#bset of the overall internal ontrols proed#res in a

b#siness" whih over the appliation of people" do#$ents"

tehnolo%ies" and proed#res #sed b& $ana%e$ent ao#ntants tosolve b#siness proble$s s#h as ostin% a prod#t and servie.

MCB #se MI= s&ste$ all over the Pakistan between Its branhes

na$in% =GMBF= and na$in% FC= within CRC8. )hese are

FR+CE based software.

*m#lo&ees Integrit&

Inte%rit& of e$plo&ees is si%nifiant and the $ost i$portant ele$ent

bea#se witho#t it the b#siness owner annot o#nt on reeivin% the

res#lts e'peted and pro$ised. MCB has proper ode of Ethis and

ond#t si%ned b& all the e$plo&ees? ats as a %#ide for the$ in

dishar%in% their d#ties and sets o#t the standards of %ood bankin%

pratie.

In MCB Bank hi%h de%ree of %ood %overnane" transparen&" #lt#re

of e'ellene and ao#ntabilit& as well as ens#rin% the hi%hest level

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of professionalis$. Controls and Co$pliane is an inte%ral internal

f#ntion and are is taken to ens#re that all ativities are arried o#t in

aordane with prevailin% re%#lations so that the interests of all o#r

stakeholders are proteted.

Loaning s&stem

ere #nder the proed#res #sed b& the MCB Banks for advanin%

loans to the #sto$ers here #nder

Customer:

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o + #sto$er is a person whih want to obtain loan fro$ bank he

ontat with the loanin% and advanes offier in branh where his

ao#nt is open. + #sto$er an be a ons#$er" o$$erial or

orporate.

Branches:

o MCB has lar%e n#$ber of branhes all over the Pakistan these

initiall& response to #sto$er and also has diret ontat with the

#sto$er. )he& fill the all neessar& file work with the #sto$er

nor$all& these do#$ents are obtained

o + /oan +ppliation or$0

o BB= /Borrower Basi at =heet0

o CIB /Credit Infor$ation B#rea#0

o CIC /Co$p#teri(ed ational Identit& Card0

o In Case of Cons#$er" Ino$es =tate$ent of the Cons#$er and

ollateral do#$ents are also obtained.

o In Case of Co$$erial and Corporate Partnership 8eed"

Me$orand#$s of the Co$pan&" inanial =tate$ent fro$

approved a#ditor and ollateral do#$ents are also obtained

$##roving $uthorit&:o +fter o$pletin% the neessar& re2#ire$ents branhes forward

these do#$ents to the approvin% a#thorit&. )hese do#$ents are

heked b& the a#thorit& and forward to the le%al depart$ent.

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Legal "e#artment:

o In this depart$ent le%al aspet of loan is overed and ativities like

hekin% or reviewin% the le%al owner of the ollaterals are

perfor$ed.

Credit 'isk Control "ivision

o +fter the le%al depart$ent all the ativities are perfor$ed b& the

CRC8 and loan iss#in% order is $ade after reviewin%" $aintainin%

do#$ents and ontrol after the loan.

o +ll the ori%inal do#$ents are a%ain reviewed b& the 8./8o#$ent

nit0

o IB or$s /Isla$i Bankin% or$s0 are prepared b& the 8.

/8o#$ent nit0

o Fn the bases of +F/+pproval of inane0 whih is iss#ed b& the

approvin% a#thorit& a +/ailit& +dvisin% etter0 is prepared b& the

M /Monitorin% nit0o )hen three set of + and IB or$s are sent b& CRC8 with the help

of C= /C#sto$er =ervies nit0 to branhes and ori%inal do#$ents

are sent to the C /C#stodial nit0.

o )hese three sets are one for #sto$er" seond for branh and third for

the CRC8 whih is also plaed in C.

o +fter the si%nat#re of #sto$er set of these do#$ent are retained b&

the eah part&.

Loan 0ranted:

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inall& loan %ranted b& the bank after o$pletin% these proess 8+C

/8isb#rse$ent +#thorin% Certifiate0 is iss#ed b& the approvin% a#thorit&

and sent b& the C= to branhes then branhes release approved a$o#nt.

'oles - 'es#onsi)ilities

1. Branch Manager

+ Branh Mana%er is a sole in har%e of branh bankin%. In MCB a

branh $ana%er is responsible for %rowth in deposits" advanes sales

et. e also pla&s vital role in s$ooth workin% of branh" ontrol over

e'penses %enerate ino$e. e $akes it possible that servies are

bein% provided to the satisfation of #sto$ers.. Branch O#eration Manager

)he role of operation $ana%er is ver& i$portant. +n operation

$ana%er is ontroller of branh internal workin%. e has to ens#re

that total workin%@ativities are bein% done aordin% to presribed

proed#res set down b& the bank. e also has to settle all a#dit iss#es

and staff $atters. e also keeps reord of se#rit& stationar&. Iss#es

he2#e books" R)Cs and other se#rit& do#$ents. e is also

#stodian of +)M ards.

3. Credit Officer

+ redit offier is the in har%e of branh advanes he $aintains

reords of loans. e proesses redit proposals $aintains redit files

he2#es the banks h&potheated@pled%ed stoks. e also looks after

le%al ases@iss#es.

4. Clearing Officer

+ learin% offier proesses learin%. e also keeps reord of o#t

station he2#es" inward learin%. e also works as dispather@reeiver

of dark.

5. 0eneral Banking Officer

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:eneral bankin% offier perfor$ postin% of vo#hers in o$p#ter

s&ste$s@led%ers. e also assists the #sto$ers in fillin% of deposit

slips and other appliations.

61 Customer Services Officer

C#sto$er servies offier is basiall& reeptionist. e welo$es the

#sto$ers" attends their alls@balane in2#ires. e opens the new ao#nts of

the #sto$ers. e $aintains the +)M ard reord of #sto$er.

!. Cash Officer

+ ash offier or teller reeive ash fro$ #sto$ers post their vo#hers in

the s&ste$. Make pa&$ent of he2#es ollet #tilit& bills. e keeps reords

of ash. e is also #stodian of the ash.

"e#artment of MCB:

MCB provided different servies to their #sto$er. )o f#ll& satisf& their

#sto$er" and for effiient workin%" the& assi%n different servies to

different depart$ents. ew of these %iven below

• Cash 8epart$ent

• Clearin% and Colletion 8epart$ent

• Re$ittane 8epart$ent"e#artment where internshi# was carried out:

)he depart$ent where I worked is e'plained as follows

$ccount O#ening Form

Fpenin% of ao#nt is a basi proess of branh bankin% the deposits are

bakbone of a bank and openin% of ao#nt is $aAor so#re of bank

deposits. )he ao#nt openin% for$ is a ontrat between the banker and

#sto$er. +s s#h bank has to be ver& aref#l at ti$e of ao#nt openin%

and ao#nt openin% offier ollets ertain do#$ents i.e. CIC"

o#pation proof" b#siness proof" re%istration ertifiate in ase of ao#nts

of re%istered for$s@o$panies et.

-henever a #sto$er desire to open an ao#nt with the bank" he fills in

ao#nt openin% for$ and hands it over to #sto$er servies offier /C=F0.

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)he C=F heks the +F %ets neessar& infor$ation fro$ the #sto$er

and prepare Hnow Go#r C#sto$er /GC0 profile and refer the operation

$ana%er or $ana%er. Mana%er or operation $ana%er hek the +F and

GC" reonfir$ the ontents and after entire satisfation %ives his approval

for the openin% of ao#nt. )hen C=F entire the for$ in the s&ste$ branh

operation $ana%er approves it and speifi n#$ber is allotted to the

#sto$er whih is alled ao#nt n#$ber. In MCB a sin%le ao#nt openin%

for$ is #sed for an& t&pe and nat#re. )here are so$e t&pes of ao#nt %iven

below

1. Individual $ccount

=in%le 7oint

. Business $ccount

=ole proprietorship

7oint stok o$pan& /P#bli@Private0

Partnership /Re%istered@#nre%istered0

=oieties

+ssoiation@Cl#b@)r#st

+#tono$o#s Bodies

:ovt. Instit#tion /ederal@Provinial0

at#re of ao#nt has alread& dis#ssed in $ain prod#ts and servies

hapter.

Cash "e#artment

)he $ain f#ntion of this depart$ent is Pa&$ent and reeipt. It ollets and

pa&s $one& to the #sto$ers" on behalf their ao#nt" thro#%h he2#es or

an& other instr#$ents.

)here are three $ain f#ntions of the ash depart$ent

• Pa&$ent

• Clearin%

• Reeipts /Colletion of $one& fro$ the #sto$er in their ao#nts"

Colletion of tilities bills0

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Clearing and Collection "e#artment:

Clearin% i$plies a s&ste$ b& whih banks e'han%e he2#es and other

ne%otiable instr#$ents drawn on eah other within a speified area and

thereb& se#re pa&$ent for their lients thro#%h the learin%ho#se at

speified ti$e in an effiient wa&.

)he $aAor operation of learin% depart$ents is related to the hek

verifiation. )his is divided as follows

• )ransfer of he2#es

• Clearin% of he2#es

)he proed#res for he2#es transfer and learane are as follows

%ransfer of Che(ues

It deals within the interbank transfer of he2#es. =#ppose a person J

%ives a he2#e of MCB to another person G who also has an ao#nt

in MCB" the learin% depart$ent will handle it. )he learin%

depart$ent si$pl& debits one ao#nt and redits the other one.

Clearing Of Che(ues

It also deals with the he2#es of other banks. =#ppose an BP

ao#ntholder %ives a ross he2#e for MCB. =i$ilarl&" MCB

ao#ntholders %ive he2#e to people havin% ao#nts in other

banksK these all banks need to lear their overall balanes with eah

other.

Credit de#artmentCredit depart$ent is ver& i$portant depart$ent responsibilities of this

depart$ent are

1. to proesses loan proposals@appliations.

. )o $aintain reord of loan do#$ents and files.

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3. )o verif& reords of ollateral se#rities do#$ents et.

4. )o $onitor h&potheated@pled%ed stoks of borrowers offered to

bank as pri$e se#rities.

5. )o $onitor borrowers ao#nt ativities and proper #tili(ation of

f#nds.

6. )o $ake follow #ps and reoveries a%ainst over d#e loans.

!. )o take appropriate le%al ation a%ainst the defa#lters.

FI$CI$L $$L2SIS:

Hinanial state$ent is an& written report that p#rports to show the

finanial ondition of an or%ani(ation. It $a& inl#de balane sheet"ino$e state$ent" ash flow state$ent" and a report of han%es in net

worth.or stakeholders of a b#siness" anal&sis of the finanial

state$ents is the pri$ar& wa& to ritiall& e'a$ine its finanial

position" in order to seek answers to var&in% 2#eries.

P#bliation of finanial state$ents is a stat#tor& re2#ire$ent for

orporations hiefl& addressed to stakeholders o#tside the b#siness"

albeit the& serve the $ana%e$ent for internal ontrol in $an& wa&s.

)he fat that the a#dit arried o#t to #nover an& $aterial irre%#larit&"

is based on si$ple of ite$s" leaves so$e roo$ for inred#lit&. )he

inanial =tate$ent of a bank parti#larl& need %rate are in anal&sis"

as the nat#re and sope of assets and liabilities differs fro$ that of

$an#fat#rin% onerns. or e'a$ple verifiation and val#ation of

plant and $ahiner&" stok and tools et. is %ro#nded on so$e basi

so#res as ontrar& to verifiation and val#ation of deposits" advanes"

and invest$ents.

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!ur#ose of Financial Statement $nal&sis:

+nal&sis is %enerall& direted towards delvin% into three broad aspets

of a b#siness" whih are the drivin% fores behind the stakeholders?

deisions.

)hese are

1. =olven& of the b#siness.

. =tabilit& of the b#siness.

3. Profitabilit& of b#siness.

)he solven& of a b#siness $eans its abilit& to $eet its liabilities as it

nat#re.)he solven& of the b#siness is anal&(ed b& the $eans of finanial

state$ents presentl& and also in an& f#t#re adverse b#siness ondition.

=tabilit& of b#siness is $eas#red b& its abilit& to $eet interest and

priniple pa&$ent re2#ire$ents on o#tstandin% debt and also its

abilit& to pa& dividends to its stokholders re%#larl&.

Profitabilit& is $eas#red b& the s#ess of a b#siness in $aintainin%

and inreasin% the owner?s e2#it&. )he nat#re and a$o#nt of earnin%

as well as their re%#larit& and trend are all si%nifiant in this appraisal.

LIMI%$%IO OF FI$CI$L S%$%*M*%:

inanial state$ents are based on historial ost onvention. )he& do

not portra& the real or $arket val#e of ite$s on the fae finanial

state$ents. )he reditabilit& of finanial state$ents is onfined to the

a#dit arried o#t" and $ost a#dit evidene is pers#asive rather than

onl#sive. inanial state$ent does not dislose an& si%nifiant

f#t#re events or ontin%enies. inanial state$ent does not o$pare

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the at#al fi%#res with an& standard set. L#alitative infor$ation abo#t

the b#siness is not fo#nd in finanial state$ents.

Balance Sheet for MCB Bank

Ltd (MCB) All Values in Millions PKR (expect

Per Share) ! "#$$ ! "#$$ ! "#$#Period End Date 12/31/2011 12/31/2010Asset Cash % &ear Cash Ite's *+,$" -*#.,//Inter 0anking Assets $1*.1,## $.*"/,$

Inter 0anking Assets #.*1",/+ $++*.+,"#&et Loans ""-*+/,/ "-/*-.-,/Long23er' In4est'ent 1*+-/,+ $"*#",#1&et ixed Assets "$*$.,1+ "#*-","other Assets .*-+#,./ $*1"","

Total Assets 656,324.81 570,481.86Liailities ! Shareholders"

E#$it% Custo'er 5eposits /+*#.$,/1 /"#*--1,$$

S3 Borro6ing % Repos "$*--",$ "$*##",+other Short23er' Lia0ilities $1*/-+,$. $.*#+#,Long23er' In4est'ent +*$##,. "-*.1/,-+other Long23er' Lia0ilities .*/+,$# -*$/.,

Total Liabilities 564,670.50 488,482.74 3otal Pre7erred 89uit: # #Minorit: Interest /+",- ",Share Capital % APIC $1*"1.,1# $*#/,.1Retained 8arning % other 89uit: "*1-,#$ ./*.+$,-

Total Equity 91,654.31 81,999.13Total Liabilities & Other

Equity 656,324.81 570,481.86

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&nco'e State'ent for MCB

Bank Ltd (MCB) All Values in Millions PKR (expect

Per Share) ! "#$$ ! "#$#Period 8nd 5ate $";$;"#$$ $";$;"#$#&et Interest Inco'e /-*.1,1/ *"-",/+

3rading Account Pro


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ilute/ E +e%ore O (te*s 20.$8 18.35ilute/ E 20.$8 18.355iluted @eighted A4gas Shares +$+,1. +$+,1.

S3O% $nal&sis

or a better strate%i $ana%e$ent" or%ani(ations need to %o for

sannin% the internal as well as the e'ternal so#res on whih the

overall b#siness lies. )he first and the fore$ost onern of the

or%ani(ation are to see its internal apabilities and the thin%s whih

an be the proble$ in ahievin% their tar%ets" %oals and ai$s. I

ond#t the =-F) anal&sis of the MCB Bank and $& findin%s are

here #nder e'plained.

Strengths

o =afe and se#re invest$ents vent#re

o Innovative and new tehnolo%& adapter

o E$plo&ee =atisfation

o -ell E2#ipped and f#ll& se#re environ$ent

o Moderni(ed bankin% /online Internet0

o Co$plete s#pervision at ever& level

o B#siness ontin#it& $ana%e$ent and i$ple$entation of advane

$odel #nder Basel II

3eaknesses

o -eak or%ani(ational #lt#re /need a paradi%$ shift to i$prove

or%ani(ational str#t#re0

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o R Poliies /appraisal" o$pensation" areer plannin%0

o etworkin% proble$s re%ardin% +)M

o -eak MI= interonnetivit& a$on% the 8ivision

o o $obile +)M servies in r#ral areas

O##ortunities

o Infor$ation )ehnolo%& /MI=0

o Establishin% $ore orei%n Branhes

o

oal =et#p sho#ld be e'panded.o Internet Bankin%

o =o$e $ore innovative prod#ts and servies sho#ld be introd#ed.

o Centrali(ation

%hreats

o

8ownsi(in% is potential threat for MCB e$plo&ees and the& arelosin% their onfidene towards bank perfor$ane

o iere o$petition

o Chan%in% environ$ent of bankin%

o Instable :ovt." eono$ial and politial onditions are a %reat

threat.o Entrane of international banks

o atest MI= is available in $arket whereas MCB is apitali(in% in

s&$bols

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Conclusion

)he work within eah #nit is not divided properl& when an e$plo&ee

is absent another e$plo&ee /who is alread& over b#rdened b& own

Aob0 is %iven absentee?s whole work instead of dividin% it a$on%

e$plo&ees.

+o$$odate $ana%e$ent is re2#ired.

Internees are not onsidered part of the or%ani(ation so are not allotted

as s#h assi%n$ents.

)here?s no proper arran%e$ent for %#idane of internees.

-orkin% ho#rs are 2#ite lon%K $ostl& e$plo&ees have to sit even after

the offie ho#rs to o$plete their work. /E.%. branhes s#ddenl&overb#rden the$ for there learanes and the& have to $ana%e it0

Ineffiien& of I) depart$ent /+t ti$es s&ste$ software is not in

workin% order whih a#ses dela& in work" and I) is not effiient to

help0

Rotation on d#ties witho#t proper trainin%

o refresher o#rses

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'ecommendations

-ork load sho#ld be e2#all& divided a$on% the e$plo&ees

+o$$odation sho#ld be properl& $ana%ed.

Internees sho#ld also be onsidered part of the or%ani(ation" and

sho#ld be %iven so$e pratial work as well in order to %ive the$ a

$ore detailed knowled%e re%ardin% work.

)o $aintain the onfidene of e$plo&ees" $ana%e$ent sho#ld take

neessar& $eas#res to inrease the pa& sale of e$plo&ees" s#h as

providin% $ore failities and bon#ses.

I) depart$ent sho#ld be $ade effiient. Co$p#ter software sho#ld be

well $aintained and $onitored in order to prevent dela&s in work.=oftware proble$s sho#ld be $ana%ed.

Refresher o#rses $#st be ond#ted in order to train the e$plo&ees.

Rer#it$ents sho#ld be stritl& on $erit basis and ind#tion sho#ld be

after proper and e'tensive trainin%.

Proper attention sho#ld be paid to #p%rade #sto$er servies

espeiall& in r#ral areas.

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Bank sho#ld adopt the %lobal or%ani(ational bankin% str#t#re to $eet

the international standards of bankin% setor...

sonia intership report

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