Report On “Management Practices in State Bank of Pakistan”

Table of Contents
Topics Page
State bank of Pakistan - A Dynamic Organization 4
Functions of State Bank of Pakistan 4
Traditional functions 5
Primary Functions 5
Secondary Functions 5
Non-Traditional or Promotional Functions 5
Developmental Role of State Bank 5
Statistics & Data Warehouse Department
Brief History 6
Mile Stones 6
Stakeholders 6
External Stakeholders 6
Internal Stakeholders 6
BUSINESS PROCESS 7
Management Processes of the Department
A. Planning 8
Annual Business Plan Structure 8
Vision, Mission Statement 8
Development Projects 9
Operational Goals setting 9
Competencies requirements 10
HR Needs 10
IT Needs 10
Training & Development Needs 10
Capacity Building of the Employees 10
Educating the stakeholders 10
Office Equipment/ Furniture & Fixtures Needs 11
Office Space Requirements 11
Event Planning 11
Budgetary Plan 11
B. ORGANIZING 12
Operation manuals and reporting guides 12
Formal structure 12
Responsibilities and Authorities 12
Departmental Management Team (DMT) 12
Head of Department 13
Head of Sectors 13
Heads of Divisions 13
Head of Units 13
Service Unit 13
Informal structure 13
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Topics Page
Formation of Project Teams 14
IT and other Resources 14
Training courses and Consultants 14
Self Accountability 14
C. Leading 15
Empowerment 15
Employees Recognition Policy 15
Training and development 15
Scholarships and cash Awards on additional qualifications 15
Performance Based Career 16
Work life balance 16
Employee Morale 16
D. Controlling 17
Quarterly Review of Performance Objectives 17
Annual Evaluation of Performance Objectives 17
Quarterly Review of Budget 18
Concurrent Controls 18
Redundancy Control 18
External Audit 19
Stakeholders Feedback 19
Post Project Reviews 19
Risk Register 19
Checks for Data Reporting at Source 19
Management Processes –Where we need improvement 20
Lacking in Planning 20
Lacking in Organizing 20
Lacking in Leading 20
Lacking in controlling 20
D-Stafing 21
Hiring of Employees 21
Jobs at SBP 21
Selection Process 21
Job Descriptions 22
Job Specification 22
Employee Training and Management Dev. Program 22
Employee Benefits 22
Performance Evaluation System 22
Career Planning 23
Equal Employment Opportunities 23
Promotion from Within 23
Abbreviation 24
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Quaid-e-Azam last public appearance, on 1 July 1948 at the

opening of the State Bank of Pakistan.

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State Bank of Pakistan - A Dynamic Organization:

• Following the international standards and bench marks in policies formulation

and implementation e.g.
o Independent monetary policy– indirect inflation targeting
o Liberalizing foreign exchange
o Floating exchange rate
o Real-time payment system -RTGS
• Planning towards inflation targeting
• More focus on human resources management.
o Quality work life – market based pay, medical, staff loans, hostel, gym,
daycare centre, scholarships ,training and development, welfare trust
• Flatten structure
• Promotion of Islamic Banking
• Credit information Bureau
• Social Welfare –Scholarships for external students – Infrastructure,
development, subsidized loans schemes- donations
Functions of State Bank of Pakistan (SBP)
Under the SBP Order 1948, the Bank was charged with the duty to "regulate the issue of
Bank notes and keeping of reserves with a view to securing monetary stability in Pakistan
and generally to operate the currency and credit system of the country to its advantage".
The scope of the Bank’s operations was considerably widened in the State Bank of
Pakistan Act 1956, which required the Bank to "regulate the monetary and credit system of
Pakistan and to foster its growth in the best national interest with a view to securing
monetary stability and fuller utilization of the country’s productive resources". Under
financial sector reforms, the State Bank of Pakistan was granted autonomy in February
1994. The changes in the State Bank Act gave full and exclusive authority to the State
Bank to regulate the banking sector, to conduct an independent monetary policy and to set
limit on government borrowings from the State Bank of Pakistan.

SBP performs both the traditional and developmental functions to achieve macro-economic
goals. Main objective is price stability in the country.

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 Report On “Management Practices in State Bank of Pakistan”

Traditional functions

1. Primary Functions:

• Issue of notes
• Regulation and supervision of the financial system
• Bankers’ bank
• Lender of the last resort
• Banker to Government
• Conduct of monetary policy

2. Secondary Functions:

• Management of public debt

• Management of foreign exchange and Balance of payments
• Advising the government on policy matters
• Maintaining close relationships with international financial institutions

Non-Traditional or Promotional Functions

• Development of financial framework

• Institutionalization of savings and investment
• Provision of training facilities to bankers
• Provision of credit to priority sectors - subsidized credit (SMEs, Agr. etc)
• Islamization of the banking system.

Developmental Role of State Bank

• Development of important components of monetary and capital market

• Assist the process of economic growth
• Promote the fuller utilization of a country’s resources
• Developmental role to promote the realization of macro-economic goals
• Development of new financial institutions and debt instruments
• Establishment of Development Financial Institutions (DFIs)

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Statistics & Data Warehouse Department

Brief History
• Core department of the State Bank of Pakistan
• Mr. Zahid Hussain, the founder Governor of the SBP established it in the late 1949.
• Responsible for collection, compilation, dissemination and publication of statistics
on economic, financial and monetary aspects most pertinent to the central banking.
• Central role in providing statistical data to the Government and other policymakers.
• The system of data collection and processing has gone through a major change over
the past few years.
• With the adoption of IT facilities, the performance of the department has improved
significantly in terms of efficiency as well as quality.
Mile Stones
• Follow international standards in data compilation (MFSM,SNA93,BPM5)
• Meeting standards of Data Dissemination Standards (SDDS, GDDS)
• Data user’s portals (in process)
• Training to other Central Banks’ representatives to adapt our methodologies
• Online data collection
Stakeholders

External Stakeholders

• IMF, World Bank, ADB, IDB, BIS and other international organizations
• All Banks and financial companies
• Ministries & Govt. Departments
• Companies
• Academia/Research Organizations
• Media
• General public

Internal Stakeholders

• SBP Management
• SBP Departments
• SBP (BSC)
• All employees of department
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Report On “Management Practices in State Bank of Pakistan”

BUSINESS PROCESS
The output or product of the department is the statistics (Data) on macroeconomic
variable. The data compilation has been divided in three major areas:
1. External sector data
2. Internal sector data
3. Developmental sector data
The external sector compiles and disseminates data on:
• Balance of Payments (BOP)
• Foreign currency accounts
• International Investment position (IIP)
• Trade, Remittances, Income
• Foreign investments
• External debts and liabilities
• Reserves
Internal sector compiles data on:
• Monetary statistics
• Assets and liability of banks
• Interest rates
• KSE index
• Preparation of annual Flow of Funds Account
Developmental sector data
• Publications
• To explore and implement new developmental projects
• Update data on website

The sectors have been divided in 9 functional groups called divisions. The divisions are
further divided in units. The planning for business processes of all divisions are carried out
in June for the coming financial year (July-June). It contains goal setting and competencies
required to achieve the goals along with other requirements.
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Management Processes of the Department

A. Planning
Annual Business Plan Structure:

Section Description Remarks

No.
Table of Contents
Departmental Mission and Vision
Statement
1 Departmental Introduction/ Objectives Departmental Organogram
Brief overview of Division/Units
Departmental Achievements
Summary Development Projects of
Last Year & Current Year
2 Operational Goals
(Division / Unit wise with KRAs / Annextures
KPIs)
3 Development Projects -do-
4 H.R. Needs -do-
5 I.T. Needs -do-
6 Training & Development Needs -do-
(Local/Foreign /Attachments)
7 Needs relating to Office Equipment/ -do-
Office Space / Furniture & Fixtures /
Summary of consultants to be hired
8 TOR for Hiring External Consultant(s) -do-
9 Summary tables for requirements -do-

Vision

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"The Statistics Department aspires to set and maintain the highest

standards of excellence in the compilation and dissemination of efficient
statistics."

Mission Statement
"Our mission is to ensure timely dissemination of high quality statistics
for the monetary and macro-economic polices leading to the prosperity
of Pakistan"

Core Values
Trust, Openness, Team Work, Courage, Commitment to Excellence, Problem-solving
approach

Summary of Development Projects:

In contrary to routine jobs the department is always searching for new fields of data
compilations In order to meet the requirements of the stakeholders. At the start of each
financial year some developmental projects are made for these avenues.
Summary of Development Projects (Last Year & Current Year)
SN Project Description Nature of the Project Timelines
Last Year
(mention actual date of New /Spillover/ Phased
initiation in case of spilled over / Completed

Current Year
(mention actual date ofNew /Spillover/ Phased
initiation in case of spilled over
project)

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Format - Development Projects (Current Year):

Name of the Project:
Brief Description:
Project Deliverables:
Key Responsibility(s):
Associated Responsibility, if any:
Timelines:
Duration: Long-term, short-term
Nature of the Project: New / Spillover / Phased
Division Responsible:
HR Needs:
IT Needs:
Training & Development Needs:

Operational Goals setting:

Individual goals are set for all areas of operations. Goals of the divisional heads are
actually goals of the divisions and goals of the unit heads are goals of the unit. The
individual goals reflect goals in various sections of the units.
Advance release calendar is issue at the start of the year showing the dissemination dates of
various statistics.
Division / Unit: Name of the Division / Unit with brief Introduction

Goals & Objectives:

SN Key Result Areas Key Performance

Indicators
Brief Description of the key result areas that could be
Outcomes at Division / Unit level Timelines / quality
Recurring / Routine results pertaining to day-to-day measures
activities
Competencies requirements to accomplish goals
Specific competencies are required to identify in the performance-planning phase and
giving weights to
Perform the job. The format is:
IDENTIFIED
NAME OF COMPETENCY LEVEL DESCRIPTION
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Report On “Management Practices in State Bank of Pakistan”

Three broad types:

i) Core Competencies mandatory for each appraisee:
o Achievement Orientation
o Team Work
o Communication
ii) Role Specific Competencies
iii) Function Specific Competencies

The Role and Function Specific competencies have been grouped in five clusters:
• Achieving Results Cluster
• Interpersonal Skills Cluster
• Personal Effectiveness Cluster
• Leadership Cluster
• Problem Solving and Thinking Capabilities Cluster
Human Resources department maintains competency dictionary for all levels of
management i.e. Individual Contributor, unit heads, divisional head and head of the
department

HR Needs:
Gap in the required and available Human resources identified and a plan is prepared to fill
the gap from internal and external hiring.
Approved Man FY 2008-09
Power Plan
Grade FY 2007-08 Available Required Gap Justification /
Reasoning

IT Needs:
Computer hardware and equipments
Description Available Required Gap When Justification
required Reasoning

Training & Development Needs:

Capacity Building of the Employees:
Training needs are identifies and a schedule is prepared. The trainings include on job
training in the department, functions specific training local and foreign, workshops,
seminars etc
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Educating the stakeholders

• Trainings of Data suppliers – banks and other companies
• Data compilers and users workshops
• Outreach Workshops – specially for the education institutes

Format Foreign and Local Trainings

Name of the Areas of Duration No of Remarks
Institute / Central Training / (days) Participants
Bank Attachment

Format In House training courses

Brief Description No. of Duration Training Institute /
Participants (days) Consultant /

Office Equipment/ Furniture & Fixtures Needs:

Description Available Required Gap When Justification \1
Required

Office Space Requirements

Office Space Available Required Gap When Justification
Required

Event Planning
Events No. of Start Date/ End
participants Date Remarks

Summary of Consultants to be Hired

Description
(Firm / Individual / Duration Estimated Cost When Remarks
Local / Foreign) required required

Budgetary Plan:
Flexible budget is allocate for training, maintenance, projects, travel etc
Head of Account Quarter wise Total Basis of
Allocation Estimation
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Q1 Q2 Q3 Q4 Amount
Expenses -
Establishment
Expenses Training-
Local
Fees Outsiders,
Profess. Charges
Professional
Charges
Stationery &
Printing
Traveling, daily
Allowances
Conveyance & Fuel
charges
Computer Running
Expenses
Repair &
Maintenance
Communication
Miscellaneous
Expenditure
B. ORGANIZING
Operation manuals and reporting guides
• Operational manuals for routines jobs of all the divisions are maintained in the
department
• In order to compile data as per international practices and benchmarks, the
department follows the manuals and guidelines of IMF, World Bank, FASB,
IASB, and SDMX.
• Reporting guides procedures are designed as per standard format are provided to
banks and companies.

Formal structure
Head of the department - Director
Sector’s Heads - Senior Joint Directors
Divisional Heads – Joint Directors
Unit Heads – Junior Joint Directors / Assistant Directors
Statistical Officers - Individual Contributors
Supporting Staff
Responsibilities and Authorities:

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CMT (Corporate Management Team) is responsible to manage and guide the functions
of the bank including all the departments and subsidiaries of SBP.
The Department consists of 3 major sectors and Nine Divisions and each division has
units. The divisions are responsible to run the business in their respective areas which
has been defined in planning phase. The units are responsible to carry out the
operational goals to meet the requirement at divisional level and then on departmental
level.
Departmental Management Team (DMT):
• The DMT consists of HOD, Sr. Joint Directors and Joint Directors
• Responsible to manage and guide all functions of the department
• Quarterly review of the performance of department as per business plan
• Quarterly review of the progress of developmental projects
• Decides rewards and recognitions for the employees
• Nominate officers for foreign training.
• Monthly meetings with all staff to discuss progress, address their
grievances, problems, and suggestions.
Head of Department:
• Have responsible for overall functions of department.
• As a line manager he ensures implementation of banks policies
• He is supported by DMT in overall managerial processes
• Ensures departmental objectives consistency with strategic objectives of
department and the bank.
Head of Sectors:
• Have responsible for compilation and dissemination of Statistics of his
sector.
• The Divisional heads under his supervision provide support in the processes.
• Have responsible to ensure coordination among divisions and to other
administrative matters.
Heads of Divisions
• Joint Director is responsible for the business and administration of the
division.
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• He sets divisional objectives and leads the division

• Supports subordinates to prepare their goals and defines the action plan to
achieve their objectives.
• Prepares business process manual of division and reporting guidelines.
• Ensure communication and implementation of policies within their divisions
• Ensure interaction among the members of division.
Head of Units
• Junior Joint Directors/Assistant Directors are responsible to set objectives
and action plan of their units with the support of divisional head.
• They are accountable for accomplishment of unit objectives.
Service Unit
• An assistant director heading the unit is responsible for administrative
affairs i.e. transfers, maintenance, budget, facilities and human resource
requirements etc.
• The department has a training coordinator responsible for training activities

Informal structure
• Participation in MPR reader’s forums formed in MPR Cluster
• Interdepartmental projects like macro-modeling, eliminations of redundancies
• Learning in trainings and workshops with other fellows of the department
• Solve work problems in coordination with the stakeholders
• Interactions with banks and companies regarding their functions and reporting
• Presentation to GMT on return from foreign training
Formation of Project Teams:
• Communication of the projects and its deliverables in the department
• Volunteer nominations for the groups
• The DMT decides members and leader for each project
IT and other Resources:
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• A Data warehouse providing file sharing facilities and limited access to

officers has been formed for most of the data collection, processing, and preparing
reports.
• Each officer has Phone, PC with internet, fast networking, printers of systems and
• An electronic board having all the internal communications and information
of the banks is accessible on each PC
• Online software and networking are provided for PMS, HRIS, and
Stationary and other equipments are provided when needed
• Officers are provided remote access of their emails
Training courses and Consultants:
• Training courses are arranges as per the plan and others if needed.
• Consultants are invites from international organizations in important and
specific areas of operations like BOP, IIP and monetary statistics.
Self-Accountability:
• Each individual are accountable for their work
• Individual are contributing positively to produce authentic and reliable
statistics.
• Maintains personal and professional integrity and follow core values
• All employees follow the staff regulations made obligatory by the
management.

C. LEADING
Empowerment:
• Operational goals and action plans are selected with the involvement of
workers.
• Progressive delegation of administrative and operational authority at all
levels
• Critical thinking and candid feedback is highly appreciated in the
department

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• STAR form to recognize performance

Employees Recognition Policy:

• Four levels i.e organization, group, department and individual awards are
given in each quarter for extraordinary performers to encourage their talent and
innovation
• Certificates and cash awards of Rupees 30,000, 15000, and 5000 are given
to level 4, 3, and 2 respectively. Level 1 award is just appreciation and email of
thanks
• The award policy and levels have been defined in award policy on the
following grounds.
o Extra ordinary efforts to complete a task.
o Modification and addition in the existing methods.
o Doing something value addition value in output.
o Participating voluntarily in developmental projects
Training and development:
• TNAs are conducted and performance review forms are consulted in the
bank to identify training needs of the employees.
• NIBAF provides central banking, managerial and other training programs at
all levels from induction to retirement of employees according to needs.
• Employees are sent on foreign trainings/workshops/attachments to various
international organizations/ central banks to get international exposure and practices

Scholarships and cash Awards on additional qualifications:

• Financing higher studies in national and international institutions.
• Study leaves are also granted for Ph.D and for foreign scholarships.
• Cash awards for additional qualification, certification, and diplomas

Performance Based Career:

• Performance based Promotion policy i.e. 2 years full PMS reports and a
performance/competency based interview
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• Competitive hiring and selection from within the organization for higher
levels

Work life balance

Supervisors understand the need of employees and give them the opportunity to maintain
work life balance Rest and Recreation leaves are grants to employees, as they need it.
Leaves, short leaves are grants as per the policy to take care of their personal affairs.

Employee Morale
• The achievements and events are celebrated in the form of lunches, tea or
picnics.
• Open communication senior management
• Employee motivation surveys are conducted periodically to access
motivation at each level and special attention is given to those who show
dissatisfaction

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D. CONTROLLING
The department has efficient controlling system and the process is defined simultaneously
with the planning process. While setting the objectives, goals and methods to accomplish
them the standards are also defined to evaluate the results. Framework is established to
measure the results and corrective actions are taken as needed. Besides the feed forwarded
approach the concurrent and feed back control strategies are also adopted in the
department.
Quarterly Review of Performance Objectives:
• Goals, objectives and competencies are reviewed quarterly to measure the
gap in actual and desired performance quarterly
• Performance is discussed between appraiser and appraisee.
• Identify the hurdles and problems facing by the worker and come up with a
solution or change in existing action plan so the desired results can be achieved.
• Developmental project teams present their progress to DMT and gap are
measured between quarterly achievements and targets
• Plan is reviewed and sometimes it causes to change or abandon the plan.
The example is HPI (Housing Price Index) project which was abandoned due to not
getting the desired objective while reviewed on quarterly basis.
Annual Evaluation of Performance Objectives – Fate of Employees:
• The most important phase of PMS is the annual appraisal of individual goals
and competencies leading to overall evaluation of objectives set in planning phase.
• Proportional weights are assigned to goals and competencies ratings
• Online system provided by Human Resources Department to perform the
task.
• Interviews are held for evaluation between appraiser and appraisee.
• A bell curve is made and PMS ratings are allotted to each employee as
A,B,C and D
• Pay increase, promotion and almost all motivating factors are linked with
PMS
Format of Goals achievements:

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Key Key Wtg Performance Actual Rating Wtd Reviewer

Result Goals % Measure Achievement Rating Comments If
Area Changes In
Rating

Format of Competencies exhibited:

Name Of Identified Rating Behavioral Reviewer
Competency Level Example Comments

Quarterly Review of Budget:

Proposed Actual
Head of Account Budget Expenses Variance
Actual
2007-08 2006-07 %age
Cash Award,
Honorarium
Staff Overtime
Allowance
Training Local
Stationery And
Publication
Traveling
Daily Allowance
Conveyance & Fuel
Charges
Communication
Computer Running
Expenses
Repair & Maintenance
Misc. Expenditure
Total Budget

The monthly budget review at departmental and divisional level is prepared to ensure the
allocation of budget properly as per decided in the planning phase and the deviations are
identified. The decisions are taken to provide the finances to fulfill the immediate needs not
identified in planning phase. It may be arrangements for a functional training from
department to workers or banks’ training on any specific issues etc.

Concurrent Controls
• Support from managers to remove hurdles in accomplishment of objectives

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• Monthly progress report to evaluate the performance

• Random check and ask for the process in ongoing assignments

Redundancy Control:
• Special projects have been conducted to match the out put results with other
organizations. In these projects data suppliers, variables and methodologies of
outputs were reviewed to avoid duplication of outputs. For example discontinuation
of compilation of KSE index from June 2008, elimination of “E” forms.
External Audit:
• Internal Audit & Compliance Department of the bank examines and
evaluates frame work of risk management, control, and governance processes of the
department
• Perform both IT and other job audits periodically
• Advising and recommending senior management for improvements in
internal control and risk management systems
Stakeholders Feedback:
• Review of stake holders feed back about websites, information posted on
website and publications.
• Seminars are conducted periodically with data users to identify the gaps in
information required by them and to set a forum of data compilers and data users.
Post Project Reviews:
• Some objectives have become a continue practice on the basis of importance
of result achieved from them. The examples are Seasonal adjustment of Time Series
data and IIP (International Investment position) which have become an ongoing
activity of department due to its importance and demand in stake holders.
• Improvement in existing methodology on basis of survey results like
Foreign Investment and Liabilities Survey etc.
Risk Register

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• The risk register are made to identify the risks, its’ severity and the ways to
mitigate them. The possible risk may be due to data loss, incomplete collection of
data, and delay in collection compilation.
S. Risk Risk Category Mitigating Control
No. *(H,M,L)

Checks for Data Reporting at Source

• Built-in checks and trigger points at source in the software have been
provided for data collection to ensure proper classification, coverage and proper
format.
• Arrange meetings with banks to get their feedback on new data collection,
discuss their shortcomings in data supply and advise ways for improvements.
• Penalize banks for their blunders
Management Processes –Where we Need Improvement
There are shortcomings in the process which are exhibited by low percentage of the
employees but have high impact on the overall performance of the department.
Lacking in Planning
• Mission and vision statements do not fully represent stakeholders and Location
• Employees reprint previous years goals – easy to achieve
• Preparation of goals by others colleagues or superiors

Lacking in Organizing:
• Nomination is volunteer in the projects but decision is made by the DMT
• Conflict of authority for project members-Two bosses system
• Diamond shape structure rather than pyramid - more middle level managers
Lacking in Leading:
• Some of the employees resist change – inertia and lack of adaptability
• Liking routine jobs – lack of courage and confidence
• Rotation concept in recognition awards

Lacking in controlling:
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• PMS linkages to pay increase and all other compensations and motivation
• Balancing factor PMS – to award more marks just to motivate a weak performer
• Low context culture – rely on written things rather than actual performance
• Bell curve concept – a high performer can get low grade in PMS
• Conflict on performance evaluation in inter-department projects

E - S TAFFING

SBP focuses on its human resources in order to implement the quality management and
also of attract, motivate, train and retain its manpower. The department heads are
responsible to monitor their staffing plans and to identify their requirements for human
resource. The SBP has a full fledged Human Resource Division with working in the
following five departments:
 Compensation and Benefits Division
 Employees Relations Division
 HRIS Division
 Performance Management Division
 Planning and Development Division
 Recruitment Division.

Hiring of Employees

It is the function of Recruitment Division. The departmental requirement with Job

Specification and Job Description are sent to recruitment division who are responsible to
give advertisement, arranging test and interviews and other communications with
candidates. The internal job postings are also done thorough HR hiring department.

Jobs at SBP
The jobs at SBP are challenging, rewarding and demanding. They provide opportunities to
grow and develop. Since its inception it is continuously expanding, the employees very
often get chance to broaden their skills, knowledge and get exposure. The Organization has

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already started its operation internationally; hence the jobs are now more challenging and
rewarding and offer its employees the opportunities to get international exposure as well.

Selection Process
The selection process involves written tests, interviews and performance or skills
assessment tests which focus on assessing job-related criteria, and aim to provide
objectivity and consistency in the hiring process. The representatives of department are
present at time of interview and skill assessment test.

Job Descriptions
Each and every employee of the organization needs to have a written job description duly
approved by the department head. In fact, this is required at the time of giving requisition
for a position. It is the responsibility of the department to update the job description of their
work team members on a continuous basis. These revised Job Descriptions are sent to the
Human Resources Department for their review and input. A consultant from Korea was
hired for the purpose.

XJob Specification
The Job Specification is a part of the Job Description. The job specification consists of
Academic knowledge, experience and competencies along with having Knowledge, skills
and attitudes section into it.

Employee Training and Management Development Program

After recruitment it is essential for each employee to take a Six months comprehensive
training in NIBAF to understand the banking operations and role of central bank.

Employee Benefits
The organization offers a range of employee benefits. These include Provident Fund,
Gratuity, Group Life Insurance, Medical, Leave (Sick, Casual, Hajj, Examination,
Compensatory, Maternity,), Car Loan, house loans, Rest and Recreation leave bonus.To
attract female employees SBP provide the girls hostel facility.

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Performance Evaluation System

The organization has a comprehensive performance evaluation system for its Management
and Non-management staff. For Management staff, the performance Evaluation system is
Objective based. This initiates with identifying the work goals for each employee at the
beginning of the year, mutually agreed by the employee and the supervisor. The employees
are appraised by head of the division after an interview which is conducted with employee.
These results are submitted to Director who finally grades the employee and communicate
the results to Performance Management Department of HR department. All this process is
conducted electronically. Special committee is formed to decide about the appeals made by
employees if he does not agree with his rating. In this case the whole case is invested and
decision is revised in case of any discrepancy. To formulate and implement the system,
initially a consultant from Malaysia was hired.

Career Planning
At SBP the career planning is done by each department, based on the performance of the
employee and with consultation with the Human Resource department. However, the role
of the supervisor and the department head plays a crucial role in determining the career
plan of an employee.

Equal Employment Opportunities

The organization provides equal opportunities for growth and development without any
discrimination of gender, group, caste or religion. The organization is very much concern
for gender equality and provides equal opportunities to women at all the activities with
equal participation. Women are encouraged to Apply and in recent past women batches
have been recruited especially to increase their representativeness.

Promotion from Within

Promotion from within the organization concept is encouraged at SBP. Although, all
positions are announced to maintain transparency of the entire hiring process, however
internal employees are encouraged to compete for higher grade positions. This allows high
motivation within the employees and allows employees to diversify their work knowledge.

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Report On “Management Practices in State Bank of Pakistan”

Abbreviation:
ADB-Asian Development Bank
BIS- Bank of International Settlement
BOP-Balance of Payments
CMT –Corporate Management team
DMT-Department Management Team
GMT – Group Management Team
HOD-Head of Department
HOD-Head of Department
HRIS-Human resource information system
IDB-Islamic Development Bank
IIP-International Investment Position
IMF-International Monetary fund
KRA-Key Result Areas
KSE-Karachi Stock Exchange
MFSM-Monetary and Financial Statistics Manual
MPR – Monetary Policy and Research
NIBAF-National Institute of banking and Finance
PMS-Performance Management System
RTGS-Real Time Grass Settlement
SBP -State Bank of Pakistan
SBP (BSC)-State Bank of Pakistan-Banking Services Corporation
SDMX - Statistical Data and Metadata Exchange
SDWH-Statistics & Data Warehouse Department
SNA-System of National Accounts
TNA-Training need assessment

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Report On “Management Practices in State Bank of Pakistan”

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