Final Internship Report

INTERNSHIP REPORT
AUN MUHAMMAD KHAN
ZARAI TARAQIATI BANK

LIMITEDMultan
ZARAI TARAQIATI BANK LTD.
Contents
............................................................................................................................. 2
Contents................................................................................................................ 2
ACKNOWLEDGMENT........................................................................................... 5
EXECUTIVE SUMMARY......................................................................................... 6
INTRODUCTION................................................................................................... 6
MEANING & ORIGIN OF BANK:............................................................................6
EVOLUTION OF BANKING:..................................................................................7
EVALUTION OF BANKING IN PAKISTAN:.............................................................8
CLASSIFICATION OF BANKS IN THE PAKISTAN:................................................10
ROLE OF ZTBL IN THE ECONOMIC DEVELOPMENT OF THE
PAKISTAN:..........11
AGRICULTURE SECTOR AS BASE FOR PAKISTANS ECONOMY...........................14

INTRODUCTION TO ZTBL.................................................................................. 16
INTRODUTION:................................................................................................. 16
HISTORY OF ZTBL:........................................................................................... 17
ZONES AND BRANCHES LOCATION:..................................................................18
CORPORATE VISION:........................................................................................ 19
CORPORATE MISSION:..................................................................................... 19
CORPORATE OBJECTIVES:................................................................................. 20
RESTRCTURING PLAN OF ZTBL:.......................................................................20
BOARD OF DIRECTORS:.................................................................................... 21
Multan Zonal Office Setup:............................................................................... 21
Branch Setup:................................................................................................... 23
COMMIITTEES & ORGANIZATION STRUCTURE OF ZTBL:...................................23
Management Committees:............................................................................... 24
RANKING OF STAFF MEMBERS:.........................................................................26
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PRODUCTS & SERVICES OF ZTBL......................................................................27
INTRODUCTION:............................................................................................... 27
SCHEMES OF ZTBL:.......................................................................................... 27
LOANS OF ZTBL:.............................................................................................. 31
RECOVERY PROCEDURE OF LOAN:...................................................................31
FINANCE & ACCOUNTS DIVISION......................................................................32
INTRODUCTION OF THE FINANCE & ACCOUNTS DIVISION:...............................32
FUNCTIONS OF FINANCE & ACCOUNTS DIVISION:.............................................33
CLASSIFICATION OF FINANCE & ACCOUNTS DIVISION: ...................................34
The four departments & their sub unit of the FAD are given as under:...........34
HIERARCHY OF FINANCE & ACCOUNTS DIVISION:.............................................38
CENTARL ACCOUNTS DEPARTMENT..................................................................39
INTRODUCTION OF CAD:................................................................................... 39
OBJECTIVES OF CAD:....................................................................................... 39
FUNCTIONS OF CAD:........................................................................................ 39
UNITS OF CENTRAL ACCOUNTS DEPARTMENT:................................................40
HEAD OFFICE ACCOUNTS DEPARTMENT...........................................................44
INTRODUCTION OF HOAD:...............................................................................44
UNITS OF HOAD:.............................................................................................. 44
REGULATORY REPORTING DEPARTMENT..........................................................50
INTRODUCTION OF RRD:..................................................................................51
OBJECTIVES OF RRD:........................................................................................ 51
FUNCTIONS OF RRD:......................................................................................... 51
BUDGET & FUND RECONCILIATION DEPARTMENT............................................52
INTRODUCTION OF BFRD:................................................................................. 52
OBJECTIVES OF BFRD:...................................................................................... 53
FUNCTIONS OF BFRD:...................................................................................... 53
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VARIOUS ANALYSES.......................................................................................... 55
INTRODUCTION:............................................................................................... 55
SWOT ANALYSIS:............................................................................................... 55
Strengths:......................................................................................................... 56
Weakness: ...................................................................................................... 57
Opportunities: ................................................................................................. 58
Threats: ........................................................................................................... 59
RATIO ANALYSIS............................................................................................... 60
Human Resource Analysis:.............................................................................. 63
The Marketing Analysis:....................................................................................65
1. Print Media Advertisement:..........................................................................66
2. The 4Ps:....................................................................................................... 66
3. Internet and Electronic Media Advertisement:..............................................67
4. Brochures:.................................................................................................... 67
5. Sports Sponsorship:...................................................................................... 67
FINDINGS AND RECOMMENDATIONS................................................................67
PERSONAL EXPERIENCE:.................................................................................. 70
CONSLUSION:.................................................................................................. 71
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ACKNOWLEDGMENT
All the praise and admiration is for Allah Almighty the most merciful, gracious,
and beneficent who is entire source of all the knowledge and wisdom endowed to
mankind. All thanks to Allah Almighty who helped us in setting goals and
objectives and blessed us to reach the destination. Without His assistance none
is capable of accomplishment.
Our heartiest gratitude and compliments to Mr. Ghulam Farid Malik Zonal Chief
ZTBL Multan for giving us excellent opportunity of doing internship and let us
open new facets of practical life.
Our humble regard is for Mr. Ch. Saeed Branch Manager of ZTBL Multan who has
assigned such projects which have never been explored by any of us. We are
grateful to our project coordinator Mr. Musharaf whose support and guidance
make it possible to be done. Her supervision and help needs immense
appreciation.
A remarkable appreciation is for cooperative staff of ZTBL Multan who have paid
so much attention towards our project work and helped me during this course of
time. I would like to thank our internship fellows who ensured us a friendly
working environment in ZTBL Multan. Working experience of ZTBL Multan let us
passed through a series of challenges and made us realize the value of doing
work together in harmony and coordination by valuing each other opinions and
ideas.
Aun Muhammad Khan
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EXECUTIVE SUMMARY
In current dynamic environment, it is necessary to have some practical exposure
of ground realities and for Business Administration students it is of prime
importance to see the world from workers point of view. Practical knowledge is
utmost desire of any student belonging to different fields but for management
students it becomes essential to gain some practical knowledge through field
work. This project report is one of the practical experiences of our life which we
have gained earlier. And for us, a great potential opportunity is hidden in this
respect by gaining the practical exposure of processes.
The objective of this report is to explain the importance of agriculture in
Pakistans economy and to explain the importance of ZTBL for the agriculture
sector. Departments of ZTBL and there functions are discussed in the report.
SWOT analysis and ratios analysis of ZTBL is also performed.
After compiling this report, we can say that doing internship at ZTBL Multan
brings new and challenging tasks in front of students through which they are
able to look upon the facts which were hidden for them until now. So, the
learning opportunity which I was seeking for at start of internship program
seems to be fulfilled now. But there is no end of learning and I am still striving to
learn new things and experiences by our surroundings, by sharing ideas and by
observing the ground realities of world.
INTRODUCTION
MEANING & ORIGIN OF BANK:
Some authors are of opinion that the word bank is derived from the word
"Banquet" which means a "Bench". This is attributed to the fact that the Jewish
transacted the business of money exchange on bench in market place. A
bank includes a body of person, who carry on the business of banking
or a bank may be as an institution dealing mainly in money and credit.
It accepts deposits from one class of people at a lower rate of interest
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and industry for meeting the requirements. This provides finance for
successfully carrying on various stages of production as well as
distribution.Moreover, a bank can stimulate the habit of savings amount for
the people and provide the security and interest they offer with these savings
which are deposited by people are in a position to utilize the deposited amount
more productively. In short, a bank can increase the transaction capacity of the
customers by advancing loans when they require for additional funds to finance
their expanded program of business transaction.
EVOLUTION OF BANKING:
According to the banking companies ordinance 1962 banking is business
that receive investment or lending of deposits of money from public
and repayable on demand or otherwise and which draw able by cheque,
draw orders or otherwise. As regards the growth of modern commercial
bank, it can be traced to as early as 600BC.The An Outline of Money, written
by G. Crowther, has traced the history of modern English Commercial banking.
According to him, the present day banker has three ancestors such as
merchants, goldsmiths & money lenders; which are briefly explain as under;
1. The Merchants:
The earliest stage in the growth of banking can be traced to the working of
merchants. These merchants were traders in commodities. The trading activities
were carried on by them from one place to another. It was risky for the traders to
carry metallic money with themselves for payment. The traders with high
reputation began to issue receipts which were accepted as titles of money.
These receipts or letters of transfer also called Hundi in Indo Sub Continent
were the first mode of payments. The merchant banking thus forms the earliest
stage in the evolution of modern banking.
2. The Goldsmiths:
The second stage in the growth of banking is normally traced to earlier
goldsmiths. These goldsmiths also called Seths in India used to receive gold
and silver for safe custody. The goldsmiths began to issue receipts for the
metallic money (gold & silver) kept with them. These receipts with the passage
of time became payable to the bearer on demand. In this way the goldsmiths
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note, become a medium of exchange and a mean of payment. The goldsmiths,
thus, can rightly be termed as the fore-runners of the modern bank note.
3. The Money Lenders:
The third stage in the development of banking arose when the goldsmiths
became the money lenders. By experience the goldsmiths (who were called
money lenders) came to know that they could keep a small proportion of the
total deposits for meeting the demands of customers for cash and the rest they
could easily lend. They allowed the depositors to draw over and above the
money actually standing to their credit. In Economic terminology, we can say
that they allowed the overdraft facilities to their depositors. When every money
lender and goldsmith issued receipts and most of them allowed the overdraft
facilities, there was too much confusion in the banking system. The money
lenders and goldsmiths, in order to earn profits, could not keep adequate
reserves for meeting the demands of the customers for cash. The failure on the
part of the money lenders and goldsmiths to return money caused widespread
distress among the people. In order to create confidence among the people,
steps were taken to regulate the banking organization. A conference was held in
Nuremburg in 1548. It was decided that a bank should be set up by the state
which should streamline the banking organization and technique. The first
central bank was formed in Geneva in1578. Bank of England was established in
1694.
EVALUTION OF BANKING IN PAKISTAN:

At the time of independence the areas, which now constitute the Pakistan
were producing only food grains and agricultural raw material. For Indo-Pak subcontinent, there were practically no industries and whatever raw material was
produced was being exported from the Pakistan. However commercial banking
facilities were provided fairly well here. There were 487 offices of scheduled
banks in the territories now constituting the Pakistan. As a new country without
resources it was very difficult for the Pakistan to run its own banking system
immediately. Therefore in accordance with the provision of Indian independence
Act 1974, an expert committee was appointed to study the issue. On the
recommendation of committee Reserve Bank of India continued to function in
the Pakistan, till 30th September 1984, so that problem of time and demand,
liability, coinage, currencies exchange etc be settled between India and Pakistan.
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It was decided that Pakistan will take over the management of public debt and
exchange control from reserve Bank of India on 1st April 1948, and that India
notice would continue to be legal tender to the Pakistan till 30th September
1948.
Following the announcement of independence plan in June 1947, the Hindus
residing in the territories now comprising Pakistan started transferring their
assets to India. Moreover the banks including those having the registered offices
in Pakistan transferred to India in order to bring a collapse of new state. By 30th
June 1948, the number of offices of scheduled banks declined from 487 to only
195 in the Pakistan. There were 19 non-Indian foreign banks with the status of
small branch offices, which were engaged solely in export of crops from the
Pakistani institutions i.e., Habib Bank and Australia Bank. The government
promulgated the Banking Companies Ordinance 1947, to safeguard the interests
of both banks and the customers. The Imperial Bank closed down most of its
offices in Pakistan, which created serious problems. The Indian government
withheld Pakistans share of Rs.75 corer in cash balance held by them at the
time of partition. The urgency of assuming control of banking and currency was
very badly felt now. The government of Pakistan decided to establish a fullfledge central Bank. Father of the Nation, Quaid-i-Azam Muhammad Ali Jinnah,
inaugurated the State Bank of Pakistan on July 1948, after the State Bank of
Pakistan order was promulgated on 12th May 1948. The SBP provided every help
and encouragement to Habib Bank to expend its network of branches and
formulated and developed NBP in 1949 as an agent bank, which took over the
agency functions in1952 from Imperial Bank of India.
In order to develop sound banking and weeding out week institutes, the Banking
Companies Act was promulgated in 1949, empowering the SBP to control the
operations of banking companies in Pakistan. In a very short period of time
number of scheduled banks and other specialized credi tinstitutions rose to thirty
six. By June 1965, the numbers of branches of scheduled banks were 1591.
Pakistani commercial banks were nationalized in 1974, but the process was
reversed as nationalization proved to be defective. The ZTBL, MCB ABL and UBL
have been privatized and HBL is expected to be privatized within near future.
The nationalization of Banks in Pakistan since 1st January 1947 has heralded a
new era of development and progress. It has taken a complete banking system
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with effect form January 1981. The privatization process of state owned banks
and enterprises started in 1991.
CLASSIFICATION OF BANKS IN THE PAKISTAN:

The banks are classified according to their spheres of activities.
The main types of banks are as under:
1. Central Banks:
Every civilized country now has its own central bank. The primary function of the
central bank is to regulate the flow of money and credit in order to promote
efficiency, stability and growth in the country. In Pakistan, the SBP is the
countrys central bank.
2. Commercial Banks:
These banks are engaged in performing the routine duties of banking business.
They collect surplus money from the people. They make loans and advances in
the form of overdrafts, cash credits, discounting bills of exchange. The
commercial banks also manufacture credit money. They also provide agency
services and general utility services. These banks are considered the lifeblood of
the economic society. Some commercial banks are owned and controlled by the
government which is called as public sectors banks. For e.g., NBP, HBL, UBLetc
while other commercial banks that are owned by corporations is called as private
sectors banks. For e.g., MCB, ABL, City Banketc
3. Exchange Banks:
As name signifies, these banks mainly deal with international trade. These banks
take the responsibility of settlement of foreign exchange and arrange the foreign
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10

business. In Pakistan, all the nationalized commercial banks have been allowed
to do the business of exchange banks.
4. Saving Banks:
Saving banks are those banks which collect and keep the small savings of the
public. They are called also thrift promoting institutions. The saving banks invest
the funds in the safest government securities. The Post offices and saving
centers perform the business of saving banks in Pakistan.
5. Agriculture Banks:
The agricultural banks (specialized banks) are set up to provide financial
assistance to the agriculturists. The agriculture banks provide short term credit
to the farmers for the purchase of seeds, fertilizers, pesticides, fuel.etc.
They also make medium term advances for buying tractors and introducing
modern techniques in farming. In Pakistan, the Agricultural Development Bank of
Pakistan was set up in 1981 for meeting the financial requirement of agriculture,
the ADBP is incorporated as public limited company, according to the
Company Ordinance1984 & is name was changed to the ZTBL in 2002. An
agriculture bank is also called as domestic banks because these banks are
registered and incorporated with in the country.
6. Industrial Banks:
The industrial banks mainly provide medium and long term credit to the
industries. Since the industrial banks have long term deposits, they are in a
position to permit long term investment in industries. In Pakistan, the Industrial
Development Bank was set up in 1961. The other institutions engaged in
providing financial assistance to industries are PICIC, NDFC.etc.
ROLE OF ZTBL IN THE ECONOMIC DEVELOPMENT OF THE

PAKISTAN:
Banks play an important and active role in the economic development of a
country. If the banking system in a country is effective, efficient and disciplined,
it brings about a rapid growth in the various sectors of the economy such as
agriculture, industrial, and the SME sectors. If the banking system is unorganized
and inefficient, it creates maladjustments and impediments in the process of
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11

development. In Pakistan, the banking system is very well organized. The SBP
established on July 1st, 1948 stands at the apex and is responsible for the
operation of the banking system in Pakistan. The other banks such as
commercial, specialized or unspecialized banks which form the banking structure
in the Pakistan are playing an active role in the economic development of the
country.
The role of the ZTBL in order to achieve economic growth and
development of the Pakistan is briefly explained as under:
1. Development of Agriculture & Industrial Sector.
The ZTBL particularly in rural areas of Pakistan are now providing credit for the
development of agriculture & industrial sector. The provision of credit to
agriculture
&industrial
sector
has
greatly
helped
in
raising
agricultural
productivity and income of the farmers. This has led to increased demand for
industrial good sand expansion of trade & industry. The use of bank drafts,
cheque, bills of exchange, credit cards.etc, has revolutionized both national
and international trade.
2. Banks Promote Capital Formation.
The ZTBL plays an important role in rising of the financial resources. They
encourage savings by giving various types of incentives to the savers. They
expand branches of the banks in the rural and urban areas and mobilize savings
even at far of places. These savings are then made available to the businesses
which make use of for productive purposes in the country.
3. Investment in new Enterprises.
Businessmen normally hesitate to invest their money in risky enterprises. The
ZTBL generally provide short, medium& long term loans to farmers to invest in
new enterprises and adopt new methods of production. The provision of timely
credit increases the productive capacity of the country. The organized banking
system helps in directing physical resources into productive channels. It also
keeps a balance between the availability and requirements of the capital in the
country.
4. Balanced Development of different regions.
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12

The ZTBL plays an important role in achieving balanced development in different
regions of the country. They help in transferring surplus capital from developed
regions to the less developing regions. The trade industries etc of less developed
regions are able to get adequate capital for meeting their business needs. This in
turn, increases investment, trade and production in the country.
5. Monetization of the Economy.
The commercial banks by opening branches in the rural and backward areas are
reducing the exchange of goods through barter. The use of money has now
greatly increased the volume of production of goods. The non monetized sector
(barter economy) is now being converted into monetized sector with the help of
commercial banks.
6. Implementation of Monetary Policy.
The central bank of the country controls and regulates volume of credit through
the active cooperation of the banking system in the country. It helps in bringing
price stability and promotes economic growth within shortest possible period of
time. The ZTBL under the supervision and guidance of the SBP help in
implementing and achieving the objectives of the monetary policy which vary
from time to time.
7. Financing Development Projects.
The ZTBL provide short, medium & long term loans for financing of development
projects both in private and public sectors. The ZTBL starts projects with the
Ministry of Food,Agriculture & Livestock (MINFAL) launched an integrated
development program entitled Crop Maximization Project in 15 districts.
The MINFAL will provide funds to the tune of Rs.299.833 millions to the ZTBL and
thus help in accelerating the rate of economic development in the country.
8. Booting the Exports:
In order to boosts the exports of the agriculture and industrial goods of the
Pakistan, the banks have established export promotion cell for the information
and guidance of the exporters.
9. Less Reliance on Foreign Capital:
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13

A planed banking system by launching a vigorous campaign of mobilizing idle
saving in the country can meet the capital development requirements from
within the country. The country will thus have to rely less on foreign capital for
financing in the development projects.
AGRICULTURE SECTOR AS BASE FOR PAKISTANS

ECONOMY
Agriculture sector in Pakistan is main pillar for supporting economic condition of
nation. More than 70% of our economy is based on agriculture sector. So, we
have to focus on the fact that how we can strengthen our economy through
agriculture. For agriculture, it is necessary to make irrigation methods effective
and efficient and to make them effective it is necessary to keep the power
supply at continuous level so that continuous growth and development of nation
is ensured.
To observe that how much agriculture contributes towards Pakistans economy,
it can be analyzed through three different ways.
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14

1. Agriculture is the main source for providing food to population and fiber for
domestic usage.
2. It is one of the ways of earning foreign exchange through exporting goods to
other countries.
3. It also provides market for industrial goods.
Agriculture sector is playing a central role in Pakistans economy and it is second
largest sector which contributes towards GDP over 26%. It is also responsible for
employing maximum number of employees i.e. 45% of total countrys workforce
is employed in agriculture sector. Almost 62% of Pakistans population is living in
rural areas and they are directly or indirectly associated with agriculture for their
livelihood. Through statistics the linkage of agriculture sector with economy
cannot be explained fully but it is estimated that more than 70% of economy is
based on agriculture. This sector is mainly responsible for providing raw
materials for industry. Otherwise it also contributes to Pakistans exports and it is
a great potential market for industrial products such as pesticides, fertilizers,
tractors, and other agriculture implements.
Agriculture sector is responsible for increasing GDP rate of Pakistan, for providing
employment opportunities, for improvement of rural sector and increasing living
standard of population.
Major crops, which contribute more towards economy, are wheat, rice,
sugarcane, cotton and maize while oil seeds, gram and pulses and fodder crops
are also grown in different areas of country. The dilemma exist in the fact that
despite rapid increase in the Green Revolution era of modern world, there exist a
large gap between actual and expected yield of crops due to prevalent energy
crisis. The trend of last decade show that average yield of some crops is constant
or it is in decreasing trend without any growth and improvement. While the trend
of input costs i.e. cost incurred for these crops is increasing gradually in the form
of fertilizers and pesticides.
As it is explained before that Agriculture sector is base for Pakistan economy,
now in the following section, it is being explained that which overseas countries
are using solar products for agriculture purposes, scenario in Pakistan for using
solar products specifically for agriculture sector, cost-benefit analysis of
agriculture sector by using solar products such as solar tube wells and finally
how solar power can be used for livestock.
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15
INTRODUCTION TO ZTBL
INTRODUTION:
The Zarai Taraqiati Bank Limited is the leading, premier and specialized financial
institution geared towards the development of agriculture, industrial and SME
sector, by providing financial products, services and loans for their customers.
The restructuring plan is being carried out with the aim to uplift the agriculture
and rural sector by raising the productivity, streamlining the institutional credit
and increasing income generating capacity of the farming community. The ZTBL
was incorporated as the public limited company on 14th December, 2002
through repeal of the ADB Ordinance of 1961.The ZTBL provides financial and
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16

technological services to the agriculturalistat their doorstep for modernization of
agriculture sector in Pakistan. The main purpose of the ZTBL is to provide
sustainable rural finance and services particularly to small farmers and lowincome households to strengthen the rural and agricultural Sector, mitigate
poverty, capital market and investment activities. The core values of the ZTBL is
the professional integrety, team work, customer satisfaction and loyalty. The
ZTBL has a one subsidiary which is known as the Kissan Support Services
Limited. The bank can charge 9% interest. The authorized capital of the ZTBL is
Rs.25,000,000,000. This amount is dividend into Rs.2,500,000,000 ordinary
shares &the price of each shares is ten rupees. The total number of shares of the
ZTBL is Rs.1,186,961,000 and paid up capital is Rs.11,869,612,000 of the ZTBL.
The ZTBL has one chairman, one president and ten directors. The total number
of employees is 5,326, while 982 employees is provided by the KSSL. The ZTBL
make investment in some listed companies such as Nestle Milkpak Limited, Uqab
Breeding Farm Limited, Mubarik Dairies Limited & Dadabohy Agriculture Leasing
Limited in order to generate profit.
HISTORY OF ZTBL:
It was considered after independence of Pakistan that the existing institutional
sources of credit, such as, taccavi and cooperatives, were insufficiently meeting
the credit needs of farmers. Therefore the need for establishment of a third
source of agricultural credit was essentially percolated so as to fulfil the credit
requirements of farmers not only for production but even for the development
purposes. Consequently, the ADFC was brought into existence in 1952 for the
purpose of expanding financial facilities and promoting the development and
modernization of agriculture in the Pakistan. Subsequently in 1957, the ABP was
established that can provide both short term loan for production and long term
loan for development. The ADFC & ABP were merged together as the ADPB in
18th February 1961. The ADPB is the main credit supplier to the agriculture
sector in the country. According to theCompanies Ordinance 1984, the
ZTBL was incorporated as the public limited company on 23th October, 2002.
The ZTBL is governed by Memorandum and Article of Association and registered
with the SECP under Companies Ordinance 1984. Consequently, on 18th
November,
2002,
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all
the
assets,
contracts,
liabilities,
proceedings
and
17

undertakings of the ADBP were transferred and vested in the ZTBL on 14th
December, 2002 by the Federal Government.
ZONES AND BRANCHES LOCATION:

With an integrated network of over 27 zonal offices and 342 branches in
Pakistan.
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18
CORPORATE VISION:
To develop and operate the ZTBL as a commercially viable bank with focus on
rural and agriculture finance and to serve the needs of farming community, by
delivering financial products and services.
CORPORATE MISSION:
To play an active role in promoting economic growth, by enhancing the
availability of credit to the agricultural sector, through reliable access to
sustainable funding, programs, private lending, technical assistance, products,
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19

and services, and enhance career development opportunities to increase the
professionalism, technical competencies and training courses for employees.
CORPORATE OBJECTIVES:
To assist rural community, particularly the small farmers, in raising

their productivity and income levels through timely delivery of credit,
advisory and ancillary services.
To build the image of the ZTBL as a proactive, client friendly, financially &
operationally sustainable with indigenous product deployment.
To establish and provide backward and forward linkages to strengthen the

agriculture and industrial sector.
The ZTBL can engage in public and private, wholesale and retail
partnership to deepen outreach and reduce operating cost.
The ZTBL act as rural commercial bank to mobilize rural capital formation
and to commercialize the agriculture sector by delivering the true value
of credit to the client.
RESTRCTURING PLAN OF ZTBL:

The restructuring means activity involving expansion or contraction of a
organizations operations or changes in its assets and financial structure. The
restructuring plan of the ZTBL covering the following factors:
1. Governance:
The ZTBL establish an environment that facilitates good governance and
accountability.
2. Systems:
The ZTBL modernize operations through use of technology, networking and
communication tools.
3. Business Processes:
The streamline products and delivery systems of the ZTBL are to reduce
transaction costs, simplify operations, and increase out reach.
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20

4. Products and Services:
The ZTBL introduce products and services that are financially and economically
viable.
5. Human Resource Development:
The ZTBL can improve standards and skills of staff & management and
strengthen training capacity.
6. Information Technology:
The ZTBL establish new hardware and software platform to support the MIS,
accounting
system
including
forensic
accounting,
and
risk
management
functions.
BOARD OF DIRECTORS:
The ZTBL has one chairman, one president and ten directors. The seven
meetings of the board are held during each year. The main responsibility of the
BOD is to establish and maintain a system of internal control, prepare and
present the financial statements with approved accounting standard and
requirement
of
the
Banking
Companies
Ordinance
1962
and
the
Companies Ordinance 1984. The new corporate structure redefines the

bank's status as the Public Limited Company registered under Companies
Ordinance 1984, with an independent BOD which aims at ensuring good
governance, autonomy, delivering high quality.
Multan Zonal Office Setup:

Zonal Chief:
Multan Zonal Office consisted on eight branches in its jurisdiction. The Zonal
Chief controls each Zonal Manager and all branches and also visited those
branches which are headed by the Zonal Chief Mr. Ghulam Fareed Malik.
These branches are as under.
Multan
Dunya pur
Kahror pakka
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21
Shuja Abad
Makhdoom Rasheed
Jalalpor Pirwala
Lodhran
Basti malook
Zonal Manager (Operation)

Takes care all operations activities of his zone and answerable to The Zonal
Chief.
He is assist by these:
Office OG-1
Senior Assistant (Lady)
Assistant (Lady)
Assistant (Dairy/Dispatch)
Zonal Manager (administration):

Takes care all administration activities of his zone and answerable to The Zonal
Chief.
Zonal Manager (recovery):
He is responsible for managing all activities related to recovery and answerable
to The Zonal Chief.
Zonal Manager (Credit Administration)
He controls all OICAs working in the branches and answerable to SVP (CAD) at
Head Office.
Zonal Data Processing Manager:
He looks all the IT activities and answerable to The Zonal Chief.
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22
Branch Setup:
BRANCH MANAGER
He is The Head of branch and responsible for the whole operations of the Bank.
Following areas are controlled by the Manager Ch. Muhammad Saeed.
Circle Qanoongoi
Bosan
Circle Qanoongoi
Qadir pur
Circle Qanoongoi
Jalil pur
Circle Circle Circle Tatey pur
Circle Qanoongoi
Sher Shah
Circle Qanoongoi
Muzzafar Abad
Circle Qanoongoi
City
Staff Under Branch Manager:

Deputy Manager
Teller (cashier)
Assistant Manager Operation
Assistant Manager Recovery
Incharge Office CAD
Incharge Deposit Mobilization
Mobile Credit Officers
COMMIITTEES & ORGANIZATION STRUCTURE OF ZTBL:

The overall management, functions, meetings of the ZTBL is control by two
committees known as Board & Management Committees. The subcommittees of these two committees is explain as under:
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Board Committees:
1. Audit Committee:
This committee has one chairman, four members that are the directors of the
ZTBL and one secretary from the Audit Department. The designation of secretary
is the Chief Internal Auditor of Audit Department.
2. Human Resource Management (HRM) Committee:

This committee has one chairman & president of the ZTBL, four members that
are the directors of the ZTBL and one secretary from the HRM Department. The
designation of secretary is the Head of the HRM Department.
3. Risk Management Committee:

This committee has one chairman & three members that are the directors of the
ZTBL. But one member designation is the risk manager. But in risk management
committee, the company secretary act as member and secretary as well.
4. Information Technology (IT) Committee:
This committee has one convener & two members that are the directors of the
ZTBL. One member is from IT Department & his designation is the Chief
information officer. While one secretary (Head) of IT Department.
Management Committees:
1. Assets Liabilities Management Committees:
This committee has one convener (CEO) & three members. The designation of
the first member is the SEVP of Operation Department. The designation of the
second member is the risk manger. But the third member (Chief Financial
Officer) acts as member and secretary as well.
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24

2. Executive Coordination Committee:
This committee has one convener (CEO), one secretary (Compliance Officer) &
three members. The designation of the first member is the SEVP. The
designation of the second member is the EVP. The designation of third member
is the risk manger.
The organizational structure of the ZTBLis shown in
below diagram;
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RANKING OF STAFF MEMBERS:

The ranking of staff members in order of seniority in the ZTBL is given
as under;
They provide security services not only to the ZTBL Head Office but also
to branches and zonal offices.
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26
PRODUCTS & SERVICES OF ZTBL
INTRODUCTION:
The ZTBL has provided many products and services for their customers.
The product and services of the ZTBL can raise the living standard of rural areas
and develop the agriculture sectors of a country as well. The Pakistan is an
agriculture country and the products and services of the ZTBL plays very
important role in increasing the GDP and accelerates economic growth. For this
purpose, the ZTBL provides many facilities for their customers, such as provides
schemes and loans, obviously help the customers to invest money in their
businesses, to get maximum profit from it and to pay low interest rates.
SCHEMES OF ZTBL:
The ZTBL provides various schemes for customers, in order to strengthen the
rural and agricultural sector of economy, mitigate poverty and accelerate
grwoth.
The Schemes of the ZTBL is which is briefly explains as under:
1. Sairab Pakistan Scheme:
The ZTBL can raise the irrigated area for the purpose to accelerate rate
economic growth and to facilitate the farmers. The ZTBL has assigned the
collaboration agreement with the KSB Pumps Company Limited under the Sairab
Pakistani Scheme. The ZTBL will provide loans to the farmers for installation of
tube wells and turbines whereas KSB Pumps Company Limited will provide
quality pumps, turbines, equipments to borrowers for efficient pumping
of waters. The water can plays vital role to improve per acre yield. Out of total
31million hectors area of the Pakistan, 22 million hectors is cultivated while 9
million hectors is not cultivated & waste mainly due to non-availability of water.
More over increase in water supply being a key input is required to raise
cropping intensity and hence the income of the farmer. Since inception the ZTBL
financed over 143000 tube wells amounting to Rs.15 billion. The KSB Pumps
Company will provide quality machinery and equipment for efficient pumping of
water. The company shall also provide after sale service including replacement
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27

of parts and availability of spares through its network of dealers despite
technological advancements and rapid growth of industrial sector, agriculture is
still the back bone of the Pakistan's economy. It contributes 22% towards the
GDP and employs nearly 45% of country's labor force. It provides raw material
for preparation of industrial products. So it has both pulled & pushes effect on
the economy.
2. Supervised Agriculture Credit Scheme:

Under this scheme agriculture loans are given for short, medium and long term
loans up to Rs.1 million per borrower. The loans are sanctioned for fats,
livestock, orchard, tractor, agricultural machinery, tube well and irrigation
facilities. Under the scheme besides provision of credit, information is to the
farmers for planning the farm, production, guidance for implementation of the
scheme, marketing and repayment of loans.
3. White Revolution Scheme:
In order to modernize the dairy farming for increasing milk supply, mitigate
poverty in Pakistan, and improving the living standards of the rural areas in
Pakistan for the purpose to achieve growth and development in agriculture
sector of Pakistan, the ZTBL may start the Strategic Partnership agreement
with the Pakistan Development Diary Company (PDDC) and the Nestle Pakistan
Limited (NPL) under the white revolution scheme. Under this participatory
approach, the diary sector would be modernized with a view to increase milk
supply, mitigate poverty and improve the living standard of the rural population.
The ZTBL has ear marked funds to the tune of Rs.5000 millions for financing of
50,000 animals (buffaloes and imported cows) during the five years period 2007
to 2011. The PDDC will also help the ZTBL in the selection of clients and
processing of loan cases. Initially the schemes will be for modernization of 5000
farmers during 5 years period involving Rs.700 million. Under the scheme 1000
farms would be covered on yearly basis. The modernization of dairy farm will be
carried out through financing milk cooling tank, generator, voltage stabilizer, hot
water geezer, water pump, cooling pad and other dairy equipment. There would
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be maximum limit of loan of Rs.1 million per borrower party. The PDDC would
bear the entire amount of mark-up charged in the loan cases & provided the 50%
of principal part of loan is repaid in time by the borrower. The remaining 50%
amount of principal along with the amount of mark-up would be paid by the
PDDC. The Nestle Pakistan Limited would help to select and identify good clients
for the ZTBL to improve quality breed of foreign and local dairy animals. The NPL
can provide technical guidance to the farmers through nestle veterinary doctors.
The NPL would purchase milk through its network and make weekly payments of
milk sale to the ZTBL for the adjustment of loan.
4. Micro Credit Scheme:
Has begun to apply this program since July 15, 2000for the lifting of the rural
poor. Landless poor like; peasantry, Harris and small landowners have land does
not exceed 2 acres may take advantage of the loans under the micro-credit
program. It is operational in all branches of ZTBL through all mobile credit
officers. Both men and women may obtain loans under the scheme as an
individual or as a member of a group of 5-10 members. The minimum credit limit
is Rs. 5,000, while the maximum credit limit is Rs.25, 000. Have been identified
one hundred and thirty-six income-generating activities or household goods
industries for lending under the scheme. May be advanced against one loan with
a guarantee financial solvency of 50% of the appraised value of the property or
guarantor of the security of tangible property. Being small loans that involve the
high cost of 18% per annum mark-up which is charged, while given a 2%
discount on payment in a timely manner. All loans under these schemes
refundable within 18 months after the loan disbursement.
5. Zarkhaiz Scheme (One Window Operation):
For timely and conveniently provision of credit to purchase inputs, loans is
provided to the borrowers under this scheme being conducted twice a week
during Rabi & Kharif seasons. All the related departments such as revenue,
agriculture, post office.etc. attend the focal points which are established at
convenient places. The farmers get their pass books prepared and loan
applications processed on the same day whereas sanction payments are made
within three days at branch. For Rabi crops, one window operation from October
to January and for Kharif crops from April to September each year which is
extendable as per requirement of particular area.
6. Sada Bahar Scheme:
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For providing timely input loans for crops and working capital for poultry and
fishery etc, the ZTBL has launched a Sada Bahar Scheme. This scheme is also
known
as
Revolving
Finance
Scheme.
The
assessment
for inputs
requirements for the whole year is made at the time of first application. The
amount so assessed is treated as revolving limit provided it is within the security
limit. The managers are authorized to sanction such loan limits up to Rs.5 Lac.
The salient features of the scheme are given as under:
Revolving Credit Limit is fixed to cater production credit and ancillary

requirements of the farmers during one year period.
The borrowers can draw the credit in lump sum or in installments

according to his requirement.
The borrowers can repay in lump sum or in installments during the

year when his cash position allows him.
The Pass Book containing transactions in his account is supplied to

every borrower free of cost.
7. Tea Financing Scheme:

In order to increase the tea cultivation in Mansehra, Swat, Mutta and Dir in
Malakand Division, the tea financing scheme has been introduced which would
not only save the hard earned foreign exchange but would also help to improve
the socio-economic condition and living standard of the inhabitants of the area.
The salient features of the scheme are given as under:
The maximum credit ceiling of Rs.60,000 per acre has been fixed.
All the farmers owing land up to five acres are eligible to avail loans.
The amount of credit will be given in three installments; the first
year installment is Rs.30,000 second year installment is Rs.15,000 and
third installment is year Rs.15,000.
The credit would be repayable within 11 years with 6 years grace period
with prescribed markup of 9% per annum.
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LOANS OF ZTBL:
The ZTBL provides loans for the development and growth of rural areas and
uplift of farm activities. The loans of ZTBL are briefly explained as under:
Production Loans:
These loans are given to farmers for seed, fertilizer, pesticides, labor
chargesetc. to grow crops and vegetables including working capital for
poultry, dairy, orchard and fishery and are recoverable within one and
half year. The amount of disbursement of production loan, at the end of
December 31, is 50,222 million for overall four provinces. The example of
production loans items are given as under:
Seeds, Fertilizers & Fuel
Pesticides, insecticides and herbicides mannual sprays
Poultary feeds, chicks and medicines
Hire charges of farm power
Water charges and electric charges for tubewell
Production loan for the growth of mushroom
Hired labor, water rates & fuel wood for tabocco curing
RECOVERY PROCEDURE OF LOAN:

The recovery procedure of the ZTBL loan is to carried and taken by three steps
such as recovery schedule, issuance of notice and legal action which is briefly
explain as under:
1. Recovery Schedule:
The recovery schedule in each loan case as per terms of sanction of loan is fixed
and communicated to the borrowers after disbursement of loan. In case of
default or failure in repayment of any installment on due date the mark-up shall
continue to be charged and last installment due to this may differ from the
amount of installments fixed at the time of disbursement.
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2. Issuance of Notice:
The legal action can be initiated against the defaulter if loan is not repaid even
after expiry of legal notice period. Where the court in bank's favor has decreed a
case, account is to be settled by recovery of amount from the auction of the
mortgaged property. The bank may purchase the mortgaged property if
considered feasible to dispose it off later on through auction or in any manner
deemed fit for getting the best price. The bank may dispose off the mortgaged
properties of defaulters for satisfaction of its dues with out intervention of courts
under Financial Institutions Ordinance 2001.
FINANCE & ACCOUNTS DIVISION

INTRODUCTION OF THE FINANCE & ACCOUNTS DIVISION:
Department of Finance and Accounts of ZTBL is responsible for handling finances
and keeping records of all transactions, preparation of accounts and financial
statements, budgets and management, distribution and reconcile the funds from
all district offices and branches of ZTBL. In addition, this division as the backbone
of the bank, in order to promote rural and agricultural sector of PAKSITAN,
money management, and poverty alleviation, and the capital market and
investment activities. The main goal and responsibility of this division is to make
policy, planning and resource mobilization and management of the bank, such as
financial products and services. This division provides charts and loans to small
and large farmers. By getting loans and record with the schemes, farmers can
invest money in their business and get the maximum profit from it, and to pay
low interest rates.
This division manages the bank's financial relations with the objectives of
providing loans to borrowers. And ZTBL lends money to individuals or
corporations for consumption or investment interest charged on loans. But
besides this, financing is the science that deals with the management of funds
such as savings and lending money while account is a record of financial
transactions for the asset or individual. In other words, the account is an
arrangement between the buyer and seller that payments must be made in the
future. In short, this division can gain tremendous importance on the other part
in ZTBL, through its functions and truly be called as the backbone of the bank, in
order to manage the funds, and the alleviation of poverty and increase the
standard of living of people from rural areas.
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32
FUNCTIONS OF FINANCE & ACCOUNTS DIVISION:

This division mainly deals with concept of time, money and risk and how they are
interrelated. It also deals with how money is budgeted. However, finance works
most basically through individuals and business organizations depositing money
in a bank .
The main functions of the FAD is given as under:
To providing proactive financial policy, timely strategic financial planning

and risk management.
To managing the banks assets and liability portfolio.
To prepare, prompt and accurate financial reporting and preparing audited

financial statements for the bank's annual report.
To overseeing internal controls in the processing of financial transactions

accounts, budgets, and credit of the bank.
To reconcile funds of all zonal offices and branches of the ZTBL.
To administer, monitor and control the banks loan and portfolios,

including management and disbursement of loans.
To manage the cash inflows and out flows.
To maintain a books of accounts.
To coordinate and facilitate a business planning, budgeting and to

formulate the budgeting estimates of revenue and capital expenditure.
To manage and rectify the accounts of zonal offices and braches.
To consolidate all the financial statements of zonal offices and braches, in

order to make financial decisions.
To prepare quarterly, semiannually and annual financial statements and

its agenda for presentation to the Audit Committee and the BOD & also to
prepare annual capital adequacy ratio for certification by external auditors
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This division ensuring that all financial obligations are met and collections
are made.
CLASSIFICATION OF FINANCE & ACCOUNTS DIVISION:

In order to classify the finance and accounts division of ZTBL, there are
four departments, which plays very important role in financial affairs and
keeping the records of all the transaction, preparation of accounts, financial
statements, budgets and to manage, distribute and to reconcile funds of all zonal
offices and branches of the ZTBL Heads Office.
The four departments & their sub unit of the FAD are
given as under:
1. Central Accounts Department (CAD)
Policy Unit
Accounts Unit
Tax Unit
Fixed Asset Unit (FAU)
Pre-payment Verification Unit (PVU)
2. Head Office Accounts Department (HOAD)
Payroll Unit
Fund Unit
Payment unit
Intra Branch Transaction (Reconciliation) Unit (IBTU)
3. Regulatory Reporting Department (RRD)
Regulatory & Internal Reporting Unit (RIRU)
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Financial management Information Unit (FMISU)
4. Budget & Fund Reconciliation Department (BFRD)
Budget Planning Unit
Budget Analysis Unit
Treasury Unit
Fund Reconciliation Unit (FRU)
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HIERARCHY OF FINANCE & ACCOUNTS DIVISION:
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CENTARL ACCOUNTS DEPARTMENT
INTRODUCTION OF CAD:
The CAD is abbreviated to Central Accounts Department. There are many
accounting policies & procedures used in the CAD, In order to present the true
financial position of he bank in financial statements, the accountants formulate
the accounting policies & procedures.
This department maintains the actual or real accounts of the ZTBL. In this
department, I was attached actually to maintain the real accounts which are
assets and liabilities. They are responsible for both kinds of assets fixed and
liquid assets and to maintain the depreciation accounts for all those assets
acquired by the bank. In this department the balance sheet and profit and loss
accountis also prepared for financial year, to get the image in sense of
profitability or loss and to make financial decisions.
OBJECTIVES OF CAD:
Formulation & maintenance of the accounting policies & procedures with

applicable
accounting
standards
which
ensure
dissemination
&
implementation across the bank.
Preparation of financial statements as per requirement of statue and

toensure the proper accounting of assets, liabilities, owners equity,
income, revenuesand expenses.
FUNCTIONS OF CAD:
To issue the instructions relating to accounting policies & procedures

andallocation of specimen signature numbers to the authorized signatories
of the branches & maintenance of signature booklet.
To notify the schedule of bank charges.
To maintaining & updating of chart of accounts for recording of

financialtransactions.
To prepare the periodic financial statements of the bank & to deal with
allrelated matters.
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39
To Issue the guidelines and instructions regarding periodicals closing

of accounts and deductions of tax at source.
To deal with all corporate tax matter & liaison with tax department,
taxadvisors, consultants.etc
The compilation of fixed assets schedule of the Head Office departments

& branches.
Follow up and collection of fixed assets schedule along with supporting

documents from the ZTBL Head Office departments, zonal offices
& branches.
To coordinate with internal & external auditors and the SBP inspection
team and to arrange credit rating of the bank.
To conduct prepayment verification of sanctions pertaining to the HOAD.
To perform administrative functions for the department such as, sanction

of leaves & approvals for tour programs & travel allowance
UNITS OF CENTRAL ACCOUNTS DEPARTMENT:

1. Policy Unit:
To device accounting procedure regarding accounting in the Head Office

and branches & to circulate revision of mark-up or return rate
for compliance by the branches.
To deal with management latter & executive summary.
To coordinate with external auditors & to arrange payments to external

auditors bills.
To arrange compliance of internal & external audit observation relating to

the
accounting
matters
of
the
ZTBL
Head
Office,
zonal
offices
and branches.
To coordinate with other departments in the Head Office on policy

matters.
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40
To maintains personal files of the employees, deals with their leaves &
other administrative matters, such as policy matters relating to the
operation of accounts.
To update the specimen signatures booklet for use of authorized

signatories in the ZTBL Head Office, zonal offices & branches.
To prepare bank charges schedule & there circulation among branches

and submission to the SBP on half yearly basis.
To allocate new GLH for accounting purpose and issue instructions those
are relevant to the books of accounts.
To provide guidelines to the zonal offices and branches regarding

rectification, settlement of accounting errors, audit observation and
adjustment of suspense account.
To arrange & coordinate with credit rating of the bank & provide
information regarding credit rating of the bank.
2. Accounts Unit:
To
coordinate
with
concerned
departments
of
is
division
for
timely production of statement of affairs.
To arrange compilation and merger of statement of affairs and it is

also provide to auditors for auditing purposes.
To compile balances under relevant group of heads from trial balances

for preparation of financial statements.
To prepare list of abnormal entries & balances for rectification.
To
deal
with
all
matters
relating
to
system
analysis,
software
development& maintenance of statement of affairs.
To Issue guidelines and instructions to the branches regarding closing

of accounts on quarterly, semiannually and annual basis.
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To prepare quarterly, semiannually and annual financial statements and it

agenda for presentation to the Audit Committee and the BOD & also
to prepare annual capital adequacy ratio for certification by external
auditors
To coordinate with internal and external auditors and the SBP inspection
team regarding periodical accounts.
3. Tax Unit:
To Issue guidelines regarding deduction of tax at source under the

Income Tax Ordinance, 2001.
To collect tax payment documentary evidences for tax deducted at source

from the branches for submission, to tax advisor and tax department.
To coordinate with tax consultant, income tax authorities & the SBP on tax
issues.
To pursue the tax refund case with income tax offices, through tax
consultant.
To prepare statement & payment of advance tax under the Income Tax
Ordinance, 2001.
To guide branches for settlement of tax issues and to attend tax related
audit observations and arrange compliance.
4. Fixed Asset Unit:
To timely dispatch of format for fixed assets schedule to the ZTBL Head
Office departments, zonal offices and branches.
The persuasion & collection of fixed assets schedule along with supporting
documents from branches as well as from ZTBL Head Office departments.
To reconcile the data with statement of affairs of the concerned zonal

offices and branches.
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To compile or summarize the fixed assets schedule on country level
To
maintain
the
up-to-date
record
of
fixed
assets
at
the
zonal
offices branches and the ZTBL Head Office.
To compile the addition and deletion of fixed assets on quarterly basis by

the ZTBL Head Office, zonal offices and branches..
To monitor and verify the depreciation charged by departments of the

ZTBL Head Office, zonal offices and branches on quarterly basis.
To make the adjustment of depreciation charged under intimation to

concerned accounts units and to verify the disposal of fixed assets
booked by the branches.
To calculate the amount for the deferred tax assets.
To coordinate with the external auditors on the issues relating to fixed

assets of the bank.
To perform any other assignment as and when assigned by the competent

authority.
5. Pre-payment Verification Unit:
To verify all payments relating to Head Office.
To check availability of sanction of the competent authority.
To check competence financial power of approving authority.
To check budget, its ceiling and procedural compliance.
To check completeness of documentation and
To verify the arithmetic accuracy of payments & budgets.
To perform any other assignment as and when assigned by the competent

authority.
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HEAD OFFICE ACCOUNTS DEPARTMENT
INTRODUCTION OF HOAD:
The HOAD is abbreviated to Head Office Accounts Department. The main
objective of this department is to maintain accounting functions of all over the
bank and to centralize the accounts as well. In the HOAD, the specialized
accounting software and the COBOL administrative system is used for recording
the transactions, financial information and to deduct tax from salaries of the
employees.
UNITS OF HOAD:
1. Payroll Unit:
In this unit, I have learnt how to prepare the payroll, and how to process the
payments of bounces, leave encashment, overtime and other allowances. This
department also works on tax deduction from pay. In this unit, the COBOL
administrative system is used for the purpose to record the salaries, which is
paid to employees. The COBOL is the acronym for Common Business Oriented
Language, defining its primary domain in business, finance, and administrative
systems for companies and government. In short, this unit mainly deals with the
accounts related to salary of employees, how tax is deducted and distributed to
employees which are managed by this wing.
2. Funds Unit:
In this unit, I have learnt how to manage the deductions from the salary of
employees as a fund. The main objective of this unit is to maintain the book of
accounts, employees contributory funds such as contributory provident fund,
employees provident fund and general provident fund and also the investment
of surplus funds in approved schemes. Moreover, there are ten types of
deductions from fund in the ZTBL Head Office, which are given as under:
1. ZTBL Employees benefit fund
2. Benevolent fund (officers)
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3. Benevolent fund (staff)
4. General provident fund (officers)
5. General provident fund (staff)
6. Contributory provident fund
7. Pension fund
8. Gratuity fund
9. Employees provident fund
10. Gratuity 2005 Fund trust
3. Payment Unit:
In this unit, the working is related to the payments, here the payment is not in
cash, they issue notes to the employees of bank and issue cheques to the
outsiders. The basic functions are to make payments to employees or outsiders
from whom we have gotten goods or services, and then record them on papers
and also on computer database. The main function of this unit is to summarize
the record of transactions and to provide different kinds of reports to the needy
department and personals.
4. Inter Branch Transaction Unit (IBTU):
In this unit, and I've learned that in this suite are maintained on all queries
relating to branches and sub-offices in the Office of the President ZTBL. Here
they are mainly related data reconciliation district offices and branches in the
Office of the President ZTBL. This unit becomes important for banks to protect
their assets. In the case of errors or fraud in the transaction due to negligence,
and good bank reconciliation system helps detect this. In light of the above need
urgent that there be a system of reconciliation and effective branch of Inter with
a strong effective internal controls to deal with the high volume of data
accurately and also with built-in flexibility to deal with expectations.
The main task is to ensure reconciliation in a timely manner of transactions
Branch ferry and make a list of articles hanging on the branches of reconciliation
for the purpose to conform to the branches and offices of the settlement of two
forums outstanding in order to coordinate with the Office and ZTBL president to
follow up. Here nature is to reconcile between the Offices of the Chief of to
books. Called on transactions between the head office and branches of transport
costs and the size of assets and liabilities, income and expenses in the "Inter
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45

branch transactions." These two transactions are of types. I. Branch branch
Transactions. II. Head office to a branch and binding Versa. Moreover, the
accounting software is designed or used for reconciliation specialized "Inter
branch transactions. Following checks are applied in software to get accurate
results & to reduce the chances of risk.
Checking of contra branch code and central account code.
Checking of transaction date and advice number.
Checking of the GLH
Checking of debt amount into credit amount.
Checking of credit amount into debit amount. On the other hand, in the
IBTU, a document is used, known as an advice.
It is a printed form of document (ACF-71), is used for inter branch transaction

which contains following information.
Nature of transaction
Date of transaction
Transaction amount
Contra branch information
In other words, advice is document which is used only to communicate the

information of certain transaction to authorized offices of the ZTBL. The debit
advice is prepared to transfer the assets & expenses by one office to another
office of the ZTBL. The banks liabilities & Income are transferred through credit
advice. The vouchers are also prepared parallel to advice to record these
transactions. The performance of the IBTU is dependent on branches behavior.
Hence, there is a need to fix responsibility on branches to clear all outstanding
entries either originated or to be responded. While, outstanding entries are
unmatched records of the Central Accounts File (CAF) or a record exists either
only in O file or R file.
Objectives of IBTU:
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The IBTU can manage the two objectives such as internal control and
prudence of the SBP instructions.
1. Inter control implies proper check on inter branch transactions to minimize the
chances of fraud & to run the operations effectively & efficiently. In this regard
various policies and procedures were formulated to secure the Banks
operations. These are being revised by management on different occasions to
increase the effectiveness & efficiency.
2. The SBP is regulatory body who monitors and regulates the function and
activities of banks in Pakistan. The SBP issues instructions and guidelines in
respect of operations, financial reporting, risk assessment..etc for all banks. In
this connection relevant instruction on the issue is reproduced such as; For all
the outstanding entries in Inter Branch Transaction account and in
suspense account must be reconciled and taken into the proper head
of account with in a maximum period of time thirty days from the date
of recording transaction.
Unit Structure of the IBTU:
This unit is divided into three sub sections on the basis of its operations
and the unit structure is given as under:
1. Responsibilities of Unit In charge of the IBTU:

The unit in charge can supervise the overall management, in order to plan,
manage & supervise daily reconciliation process. However, unit in charge can
also ensure that inter branch accounts are properly reconciled on daily basis,
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47

randomly
review
of
matched
item
sand
coordination
with
concerned
departments and units to ensure that expectations are cleared on a timely basis.
It is also the responsibility of unit in charge that is to prepare the monthly
reconcilement balancing reports.
2. Responsibilities of Computer Section of the IBTU:
The main responsibility of this department is to collect data from the ITSSD on
daily basis and to producing list of outstanding entries and its updating.
However, necessary corrections are made & monthly statement of cash in transit
is prepared. The computer section also prepares special reports for external and
internal auditors & the SBP inspection team.
3. Responsibilities of Coordination Section of the IBTU:
This section assist unit In charge in planning & managing of daily reconciliation
process. However, this section also assists computer section in preparation of
reports for higher management and special reports for external and internal
auditors and the SBP inspection team. This section not only coordinates with
Head Office, zonal offices and branches but also with departments and units
of Head Office for settlement of outstanding entries and coordination with
subsections of IBTU in closing of accounts as well.
4. Responsibilities of Record Maintenance Section of the IBTU:
This section can maintain branch wise records, diary, dispatch file and
coordination with internal and external auditors & the SBP inspection team.
Steps in Information Processing of the IBTU:
There are some steps in information processing of the IBTU, for reconciliation of
transaction, which is briefly explained as under:
The vouchers & advices are prepared in branch and posted to the Zonal
Computer Center (ZCC) on daily and weekly basis.
The ITSSD compiles the Central Accounts File (CAF), 6950 on daily basis &
access is given to the IBTU. The CAF, contains information about the Inter
Branch Transactions.
The file consists of two sub files:-
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48

1. TheO" file of central account file keeps the records of originating entries.
2. TheR file of central account file keeps the records of responding
transactions.
3. The IBTU is using software for reconciliation of the Inter Branch Transactions.
4. The computerized merging & matching process is started after collection
of fresh data on daily basis.
The merging process means copying a fresh data from main CAF & pastes it
in existing data base of the CAF maintained by the IBTU.
The matching process is a process wherein O file reads R file& match
the contents of originating transactions with the responding transactions.
5. A computerized list of outstanding entries is produced after merging and
matching of data. This can be seen on the IBR system throughout the branches.
6. In final step, persuasion will be done by the IBTU, for reconciliation. However,
persuasion means follow-up to settle the entries for advice.
Diagrammatic Representation of Information Processing of the IBTU:
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REGULATORY REPORTING DEPARTMENT
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50
INTRODUCTION OF RRD:
This section sends reports to the average systolic blood pressure. The ZTBL has
and continues to provide returns that are different to the average systolic blood
pressure and really be called as structured at different intervals. For the purpose
of section has been created called regulatory reporting section (RRD). There are
two ways to send the report to the SBP for example, to send the report through
courier service or to send via the Internet. Here in this section, I learned how to
set up the balance sheet, income statement, and how to find percentages. And
RRD is the basis for the collection, processing and analysis, and the allocation
and availability with the formation of the various stakeholders to meet the
special requirements on a timely basis. The main objective of RRD is compliance
with legal reporting requirements and makes periodic financial reports to
management. This section collects information from various sources such as
district offices, branches and ITSSD, CAD ..... Etc. and reports data to the
Pakistani central bank after the merger.
OBJECTIVES OF RRD:
To improve effectiveness in meeting statutory reporting obligations.
To prompt and accurate analysis to aid decision-making
To make periodic financial reporting to the management.
FUNCTIONS OF RRD:
To redesign system of data capturing, its consolidation and subsequent

reporting as per regulatory requirements.
To ensure implementation of changes in reporting requirements as

amended from time to time and to design and implement internal
reporting mechanism.
To coordinate with different departments and zonal offices for collection

of requisite data and to Issuance of guidelines for preparation and
consolidation of data.
To arrange compliance of internal or external audit observation on

regulatory reports.
To carry out periodic review and analysis of financial results and its
reporting to concerned.
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BUDGET & FUND RECONCILIATION DEPARTMENT
INTRODUCTION OF BFRD:
And BFRD stand on the budget and fund management reconciliation. As is well
known this section, budget and fund management department. In this section, I
have learned to how to respond to the application note from a branch or any
department, issued a fund or budget of the Ministry of needy or branch. This
circuit keeps the budget of the fund to other branches and departments in need.
And BFRD receives intimation is the transfer of funds and access to form
branches surplus fund. Send records to branches BFRD. This circuit monitors
their record received from the district offices and branches in order to meet the
requirements. Here ZTBL responsibilities needs through branches, such as
commercial banks, National Bank of Pakistan, Habib Bank Limited, United Bank
Limited, Allied Bank Limited and Muslim Commercial Bank Limited, however, this
section prepares the budget for the next financial year or the previous budget
and monitors money creation. The main objective of this section is to prepare the
financial plan for the bank credit limits, and review and application of funds.
A budget is a road map that facilitate where one is and where one want to go
and how can one go to ones desired goal point. While, budgeting is an effective
tool of planning and control exercised in the ZTBL to help management, in order
to gather desired goals of stakeholders value enhancement. However, budgets
are used for, owner oversight, goal focus and financial control. The main purpose
of budget is to plan, communicate, motivate, control and evaluate. The more
clear, accurate and well thought out budgets in the beginning the more likely
you will be able to:
To adjust plans, activities and spending as needed.
To spend money cost-effectively.
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To reach the specific goals you have set.
To strength the internal control system.
To analyze, compile report and to manage funds. Moreover, the main

sources of budget are primary & secondary data, treasury &treasury data,
annual reports..etc
OBJECTIVES OF BFRD:
To arrange adequate resources for maintenance of adequate liquidity for

efficient credit disbursement.
To reconcile budget and fund in order to enhance the value of

stakeholders.
Timely discharge of liabilities and all operation of the ZTBL.
FUNCTIONS OF BFRD:
To developing policies, procedures and standards for budget planning and

analysis.
To coordination with administrative and governance groups on the issues

relating to the budget.
1.
This
department
is
based
on
the
strategic
planning
of
the
bank
arranging budget estimates from all over the bank.

2. Time horizon is planned for the preparation, approval and circulation
of budget.
3.The call circular of budget is reviewed and finalized, which covers all guidelines
and instructions for preparation of budget proposal is issued along with budget
performance to all divisions, departments, zonal offices and branches of the
ZTBL Head Office.
4. The budget criteria is prepare for budget allocation under revenue and capital
expenditures. Presently the budget allocation under major head is made on the
following criteria:
Stationary and communication
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53
Traveling Expenditure
Repair and maintenance
Salary and allowance
Rent, taxes, insurance and expenditure
Revenue and investment on securities
5. Approval of budget criteria recommended by the Budget Criteria Committee.

6. Examination & scrutiny of budget proposal received from all divisions,
departments, zonal offices and branches of the ZTBL Head Office and allocation
of funds under revenue and capital expenditures in accordance with the
approved budget criteria.
7.
The consolidation,
computerization,
verification
and
rectification
of
finalized proposed budget data of all divisions, departments, zonal offices and
branches of the ZTBL Head Office.
8. Preparation of the Budget Agenda, that contains revised estimates of current
year and proposed budget estimates.
9. Presentation of the Budget Agenda for approval from the Budget Criteria
Committee, President and the BOD.
10. In final step, proposed budget estimates approved by the BOD are circulated
to all zonal offices and branches of the ZTBL Head Office for implementation
through
budget
circulating
letter
containing
detailed
instructions
for
proper utilization of funds and judicious spending.
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VARIOUS ANALYSES
INTRODUCTION:
The analysis is a tool, which is used for checking the over all performance of any
organization. It is not only used on national level but also on international level
for the purpose to check internal and external factors that influence the
organization, positively or negatively and leads the organization towards failure
to success. There are various analyses, such as the SWOT analysis, ratio
analysis, human resource analysis and marketing analysis, which is briefly
explain as under:
SWOT ANALYSIS:
Word "SWOT" is an acronym for strengths, weaknesses, opportunities and
threats while the analysis is a tool, which is used to check up on all the
performance of any organization. SWOT analysis is a strategic planning tool used
to evaluate the overall organization of the strengths, weaknesses, opportunities
and threats, and involves defining the goal of the organization and determine the
internal and external factors that are favorable and unfavorable to achieving this
goal. SWOT analysis is designed to help the organization from failure to success.
Finally, we do the strengths and opportunities because they are useful while we
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avoid weaknesses and threats that are harmful to the organization, which is
shown in the figure below:
Strengths:
The attributes of the organization which are helpful in achieving the objective. In
other words, strengths means, the activities that an organization does well
favorable chances or positive factors in the internal environment due to which
organization achieve the objective. The strengths of the ZTBL is given as under:
1. Strong Supervision and Management:
The supervision and management of the ZTBL is very strong.
such as, step by step, effective and efficient that leads the bank toward failure to
success.
2. Provide many Facilities for Employees:
For maintaining the employees, the ZTBL provides the facility of health, safety
and employee relations &training.
3. Employees Traits:
All staff members are well mannered in attitude, communications & following the
ethics.
4. Credit Rating:
The report of Jun 22, 2011, the credit rating of the ZTBL was reaffirmed the
medium to long-term entity rating of AAA (Triple A) with a stable outlook and
short term rating of A-1+ (A-One Plus) assigned to the ZTBL.
5. Risk Management:
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The risk management of the ZTBL is still in the process of restructuring and
efforts have been put in place to adequately equip the risk management function
with credit review, credit risk rating and value at risk models. Pakistan is an
agriculture country with major portion of its economy dependent on agricultural
sector. ZTBL recognizes this responsibility and thus also caters to agriculture
sector which promises high returns.
6. Expansion of ZTBL:
The ZTBL is expanding day by day because customer accepts it. Its network
expanded to 342 branches and 25 zonal offices in the Pakistan, which will attract
large number of customers.
7. The Elevator and Cameras Systems:
In the age of globalization, the elevator makes it possible to save time. While the
cameras in ZTBL, make the employees to stress on their work which is assigned
or given.
Weakness:
The attributes of the organization which are harmful in achieving the objective.
In other words, weakness means, the activities that an organization lakes or
unfavorable chances or negative factors in the internal environment due to
which organization do not achieve the objective. The weakness of the ZTBL is
given as under:
1. Understaffing:
The total number of employees is 5,326 in the ZTBL Head Office. In age of
technology and globalization, the understaffing may cause unnecessary work
burden on employees decreasing their efficiency.
2. Lack of Refreshment Courses:
Although the ZTBL has its own Training and Development Canter but it needs to
give refreshment courses to its employees more frequently so that they came
explore new dimensions and conquer worlds.
3. Seniority Based Promotion:
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Promotion in the ZTBL is purely on seniority basis rather than on performance.
This really de-motivates the employees because they know that it doesnt matter
whether they perform well or bad.
4. Lack of Job Rotation:
Most of the employees work in a particular department and they specialize only
in one department. In case of absence of one employee, any other employee
cannot perform this work. In this way bank not only loses the business but also
results in dissatisfaction of the customer.
5. Shortage of skillful Labor:
The shortage of skillful labor or manpower that will lead the organization from
success to failure. Because in the ZTBL, there are many contract and temporary
based employees that has lake of managerial& financial skills.
6. Lake of Qualification:
The employees working on the same position may have different degrees like
B.Sc., B.A. etc which devaluate the students of MBA, BBA, and other well
qualified staff. So there is a lack of professional staff in different departments
and lack of theoretical knowledge of the employees as well.
7. The Rate of Absenteeism and Turnover:
The absenteeism &turnover rate is too high thats results the conflicts in the
organization.
Opportunities:
The attributes of the organization which are helpful in achieving the objective. In
other words, opportunities means, the activities that an organization does well or
favorable chances or positive factors in the external environment due to which
organization achieve the objective. The opportunities of the ZTBL is given as
under:
1. Proper Utilization of Recourses:
The Organization is made up three types of recourses, such as human, physical
& financial resources which come from external environment. However, in the
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age of globalization for achieving growth, the competent, skillful and the English
speaking employees are on of the requirement of the organization.
2. Increasing Extensive Advertisements:
The ZTBL can increase the extensive advertisements of new products, services,
vacancies, in order to increase customers & heir competent employees from
external environment.
3. Mobile Credit:
The ZTBL can start mobile credit which is the best way to effectively utilize its
present resources to gain a competitive edge.
4. Increasing the Amount of Loans and Capital:
The ZTBL increases the amount of loan for their customers, which is five lacks, in
order to attract the large number of customers. The ZTBL issue a large amount
of capital to agriculture sector, in order to, utilize its resources more efficiently
and to earn more profit.
5. Creating Public Relations:
The ZTBL also, involves in creating public relations that will increase the image
and profitability of the bank. Often, public relations are conducted through the
media that is, newspapers, television, magazines, internet.etc thats attract a
large number of customers.
Threats:
The attributes of the organization which are harmful in achieving the objective.
In other words, threats means, the activities that an organization lakes or
negative factors in the external environment due to which organization do not
achieve the objective. The threats of the ZTBL is given as under:
1. Avoid Discrimination:
The ZTBL can avoid discrimination because it is harmful for the bank in achieving
its objective. The bank can hire the employees from external environment. The
right person is for right for job will leads the organization towards failure to
success.
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2. Avoid Illegal Activities:
The employees of the ZTBL can avoid the illegal activities in external
environment that will reduce the reputation and image of the ZTBL.
3. Internet Banking:
It is the main problem that was found to be a lack of trust in the new banking
channel by customer. However, effective complaint management can increase
customers loyalty and trust in Internet Banking. However, the Crises
Management Plan has been developed which is under review by the senior
management. The objective of this plan is to have clear guidelines and
communication in the event of any crises occurrence, which may threaten the
safety of its staff, the security of its assets, the continuity of its operation and the
reputation of the ZTBL.
RATIO ANALYSIS
The term Ratio means the relationship between any two variables,
while analysis is a tool, which is used for checking the overall performance of any
organization. In other words, the ratios analysis is used to identify the financial
strengths and weaknesses. For this purpose, we use ratio analysis of financial
statements such as, balance sheet and income statement. However, ratio
analysis is a tool, which involves methods of calculating & interpreting financial
ratios to analyze and monitor the firm performance. There are many ratios such
as liquidity ratios, profitability ratios, debt ratios, activity ratios. For this purpose,
we use data from 2012 annual reports of the ZTBL, to check the liquidity,
leverage and profitability.
1. Liquidity Ratios:
It is measured by its ability to satisfy short-term obligations when they become
due. There are many ratios of liquidity such as, current ratio, quick ratio and
networking capital, which is given as under:
The Current Ratio:
The calculation of current ratio of the ZTBL from 2012 is calculated and
interpreted as under:
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Years
2012
Current Assets
Current Liabilities
122,514,921
98,092,019
Current Ratio
0.24
Quick Ratio:
The calculation of quick ratio of the ZTBL 2012 is calculated and interpreted as
under:
Years
2012
Quick Assets
Current Liabilities
9,944,704
98,092,019
Quick Ratio
0.10
Net Working Capital (NWC):
The calculation of the NWC of the ZTBL from 2012 is calculated and interpreted
as under:
Years
Total Current AssetsTotal Current Liabilities
2012
122,514,921-98,092,019
Net Working Capital
24,422,902
2. Leverage Ratios:
It measures the firm's ability to repay long-term debt that is used in a firms
capital structure. There are many ratios of leverage; i.e. debt ratio, total debt to
net worth ratio & time interest earned ratio which are given as under:
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Debt Ratio:
The calculation of debt ratio of the ZTBL from 2012 is calculated and interpreted
as under:
Years
2012
Total Liabilities
Total Assets
98,092,019
122,514,921
Debt Ratio
0.800
Total Debt to Net Worth Ratio:
The total debt to net worth ratio of the ZTBL, 2012 is calculated and interpreted
as under:
Years
2012
Total Liabilities
Net Working
98,092,019
12,522,441
Debt to Net Worth

Ratio
7.833
Time Interest Earned Ratio:
The time interest earned ratio of the ZTBL from 2012 is calculated and
interpreted as under:
Years
Earning before
interest and taxes
Time interest ratio
Interest Expense
2012
3,321,006
4,783,066
0.69
3. Profitability Ratios:
This ratio examines the relationship between the profits made on trading
activities against the sales. It is the indication of business ability to use capital,
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labor & management to generate profit. There are many ratios of profitability,
such as ROA, ROE and EPS which is given as under:
3. Return on Assets (ROA):

The return on asset of the ZTBL from 2012 is calculated and interpreted as
under:
Years
2012
Net Income
Total Assets
2,642,944
122,514,921
ROA
0.021
4. Return on Equity (ROE):

The ROE of the ZTBL from 2012 is calculated and interpreted as under:
Years
2012
Net Income
Total Assets
2,642,944
12,522,441
ROE
0.211
Earnings Per Shares (EPS):
The EPS of the ZTBL is calculated &interpreted as under:

Interpretation of EPS:
Basic EPs
1.734
Diluted EPs
1.734
Human Resource Analysis:

The organization consists of three types of resources such as human resources,
physical and financial. Recently, the ZTBL can properly utilize resources more
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63

efficiently in order to promote rural and agricultural sector, and poverty
alleviation and investment activities. But the most important is the human
resources that the key element for the success of any organization. Recruitment
and retention of people productivity is critical to the success of every
organization and that is, on a temporary or permanent contract. Human
Resources Division involved mainly in recruitment, training and staff
development, staff motivation.... Etc. "activities necessary for employment in the
organization and maintain high employee performance." Achievements ZTBL and
implementation plans for the future can never be possible without skilled
employees and the motives for this purpose HRD makes a continuous effort to
attract highly educated workforce, skilled and trained in various fields, especially
in the field of information technology, human resources and finance. Training
courses, workshops, seminars, and support for higher education are a few
activities that are being implemented to develop the skills of professionals. And
ZTBL can motivate employees by providing compensation packages, rent home,
allowance the Medical ... Etc. and briefly explained the analysis of human
resources as follows:
1. Hiring of Employees:
The ZTBL can hire the employees by submitting the CV in the Human Resource
Department. If the person is eligible for the post, then the Head of HRD will call
to inform the person for the interview. Recruitment staff including job
description, preparation, preparing advertisement, checking application forms,
short listing, interviewing and selecting candidates through the selection
procedure is done by HRD.
2. Training & Development of Employees:
Once the employees are recruited by the Human Resource Department, it is very
important to develop their skills. There are two ways to develop their skills and
to give trainings in the ZTBL Staff collage such as theoretical and practical
training. However, initial training or pre-service training is given to the
employees at initial stages of fresh candidates. This training covers the theory
related topics such as banking rules, regulations and operations. After
completing the theoretical training, they are placed on different branches for
getting practical training.
3. Employees Motivation:
The ZTBL can motivate their employees by providing different facilities. The
employees, who are motivated, exert a greater effort to perform the assigned
tasks effectively and efficiently than those who are not motivated. Various
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measures are used in the ZTBL for motivating the employees. The techniques
are as follows:
a. Compensation Package:
The compensation is based on the employees knowledge, education, skills and
experience. There is no fixed pay scale in the bank. Many people get different
salaries even though they had been selected for the same batch under the same
circumstances with same qualification but mostly depend on the grade on which
the employees is ranked.
b. Promotions:
The ZTBL can promote the employees to higher grades on the basis of
performance during each year.
c. House Rent:
The house rent is provided to all categories of staff. This allowance is not payable
to those who are provided with accommodation by the ZTBL. The ZTBL can also
provide the accommodation facility for their employees, in order to reduce the
absenteeism.
d. Medical Allowance:
The ZTBL will reimburse the cost of medical advice and medicines, claimed by
the employees for themselves and their dependents on production of medical
certificates from employees indicating disbursement made by him.
The Marketing Analysis:

The marketing is a process of managing the performance of business activities
designed to plan product, price and promote; in order to achieve organizational
objectives. Though it sounds simple, the actual practice poses many challenges.
The marketing analysis of any organization plays a vital role in directing its
future direction. A good marketing analysis can give new heights, whereas
a poorly designed analysis can prove to be disastrous. However, the marketing is
based on the customers satisfaction through its value added products and
services. The ZTBL regularly use different methods of marketing in order to
aware and attract customers regarding their products and services. The
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marketing analysis is done by using various methods used by the ZTBL, which is
briefly explained as under:
1. Print Media Advertisement:

The ZTBL give different advertisement regarding their products and services, in
order to attract large number of customers from time to time in the newspapers.
2. The 4Ps:
The 4Ps means the product, price, and place & promote.
The ZTBL can use 4Ps regularly in order to attract large numbers of customers,
by proving lot of products and services.
I.
Product:
The ZTBL strategy is offer most comprehensive portfolios of personalized

financial solutions that are customer tailored to serve the requirements of
customer.
II .Price:
The ZTBL follows the strategy of low margins, high volumewith its low mark up
and easy repayment schedule it tends to be more attractive even for consumers
with less money.
II.
Promotion:
The ZTBL effectively advertises its services and product using the through
broachers, book let magazines and low margin on loan is also the base of
promotion.
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66

III.
Placement:
With a wide network of ZTBL the bank operates through 25zonal offices with 342
branches under them with over 1250 agriculture graduates known as MCO.
3. Internet and Electronic Media Advertisement:

The ZTBL consistently give information regarding their products and services on
the internet and also give commercials on the television for awareness and
attracting the large number of customers.
4. Brochures:
They have designed different brochures for each department and for each
product; these are given to customers for information and attraction purposes.
5. Sports Sponsorship:
The ZTBL can sponsor different sports promotion activities on television and
radio like Cricket, Hockey.etc.
FINDINGS AND RECOMMENDATIONS

Two months internship program can never provide all the information about an
organization.
One
roughly
gets
to
spend
single
week
in
each
department. So in this section only some of the problems have been

pinpointed and possible solutions have been recommended, the concerned
personnel of the department narrated some of these problems. The finding and
recommendation for ZTBL Multan Branch are given as under:
FINDINGS:
I. Employees in the same position have received various degrees such as Master,
B.Sc. (Hons), BA, BS ... Etc. which devalue students MBA, BBA, and other well-
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67

qualified staff. So there is no shortage of professional / technical staff in various
departments.
II. There is no job rotation for employees.
IV.
The officers of RRD face many problems during preparing different

financial reports which consume lot of time.
V.
The employees are not satisfied with the compensation package; they
are just getting experience and want to shift another organization
that has strong position in the agriculture finance market.
VI.
The availability of staff training makes employees awareness of work

and ZTBL Staff College is providing effectively.
VI. In the ZTBL, In era of technology and globalization, the understaffing

may
cause
unnecessary
work
burden
on
employees decreasing their
efficiency.
RECOMMENDTIONS:
I.
Although sill, there is cooperative environment in the ZTBL, but there is

a need to further boost it up. There must be cooperation among staff
members, management, customer and shareholders.
II.
The
job
rotati on
of
duties
of
employe es
shoul d
be
i mple men ted to improve the performance which will enhance their
skills and confidence.
III.
The motivation level of the employees should be enhanced by

increasing compensation and giving extra fringe benefits.
IV.
The advertisements of the products and the services of the ZTBL

should be done in a proper way with a strategic management.
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68
V. To hi re cre ative, skillf ul an d young e mpl oyees on the basi s of

their eligibility and experience but not on discrimination basis. The
recruitments should be strictly on merit basis and induction should be
after proper and extensive training.
VI. To remove the file keeping barriers, which waist a lot of time on searching of
file s. The re should be a prop er che ck and b al an ce . The docu me ntary
records of the ZTBL should be correct and complete.
VII. More rewards and bonus schemes should be for management as well
as for employees and promotion should be based on performance of
employees and not on favoritism.
VII.
The ZTBL has developed a web site but still only its front home page
has been developed while other banks have good attractive sites.
VIII.
The efforts should be mad e to red uce the e mpl oyee tu rn over
and ab se nteeism rate be cause it create s misunde rstand in g
and con fli cts in the ZTBL.
IX.
In
order
to
increase
cooperation
among
employees,
the
management has to arran ge diffe re nt p arti es or get tog ether

which will cre ate l ove , care and cooperation among employees.
X.
The MIS is still not fully understood by all of the employees. To cope
wi th
thi s
si tuati on ,
the
manage me nt
sh ou ld
arran ge
workshops an d short courses, so that the employees can benefit

fully from the MIS.
XI.
The
employees
attitude
and
behavior
towards
work
and
customers must be positive and polite way at time of conversation.

XII.
In order to increase the motivation, job satisfaction, and organizational

commitment the organization should give special incentives to
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all the old as well as new employees. This may be in the form of
promotion or increase in pay or other facilities provided to them on
performance basis.
XIII.
The promotions should be given to the employees of ZTBL on the basis of

performance rather than seniority, time period or designation.
XIV.
The job rotation techniques should be adopted so as to make the

staff knowledge able of the operation of various departments of the
ZTBL.
PERSONAL EXPERIENCE:
I had training in the bank ZTBL positive experience. This experience gave me the
opportunity to analyze and change myself for the better. Internship program
gives me the opportunity to bridge the learning in the classroom with real-life
business requirements. We also know that when any one to enter the
organization for training or for work, the most important thing is his / her
communications skills. So it was the thing that helped me and boosted my
confidence communication skill. As we examined the "Business Communication
Skills" and display during the master's program in business administration, it
gave me the confidence to speak in front of many people. While working as a
detainee in ZTBL, I noticed that the first rule of the game is to respect your
client. As one employee has to listen to what she has to say customers with full
attention and patience. Moreover, the appropriate tactics to convince customers
on your point of view requires great communication skills. Topics such as
finance, accounting, statistics, mathematics, business ... Etc., who studied
through the master's program in business administration that help me to my
understanding of the processes and functions of the Finance and Accounting
Division of ZTBL.
During my internship I improve my soft skills, expand knowledge of related field
and gain experience by work under the highly experienced person, to see the
norms and value of the organization, which may be called the culture of the
organization. Actually all the organizations have their own culture, norms and
value under which the organizations exist. In short, I am really impressed with
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the friendly and challenging culture of the ZTBL having such a high level of
professionalism, task orientation and event celebrations like 14th August and 6th
September. As internee in the ZTBL, I utilize my communication skills, abilities,
confident; what I have studied till 7th term & now it is time to convert the
theoretical knowledge into the practical knowledge because I will go in the
practical life after some time, so we must aware about the internal working of
organization.
CONSLUSION:
While concluding my report, I would like to say that the internal report usually
covers one academic term, and can be either paid or unpaid. The main purpose
of this training is to develop and strengthen the educational preparation and
professional students. I did my training in ZTBL, and work in the Finance and
Accounts Division. Training objectives included the completion of custom reports
to me, and knowing ZTBL, which is a public limited company, as well as to
develop positive relationships with the staff. Some of the activities as one of the
detainees participate in the ZTBL is to coordinate with the staff, and work on my
tasks and tender, and the concentration of the entire training and performance
reports.
Therefore, training is an opportunity to gain experience of the staff of the reality
of life in your career of interest. Ideally, this experience allows me to try out
many of the aspects of the work and apply the skills acquired in the classroom
environment. Interior is any experience where students learn by doing roles
responsible for working in institutions, surveillance and think about what
happens while they are in the workplace
INTERNSHIP REPORT
71

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INTERNSHIP REPORT

AUN MUHAMMAD KHAN

ZARAI TARAQIATI BANK

ZARAI TARAQIATI BANK LTD.

AGRICULTURE SECTOR AS BASE FOR PAKISTANS ECONOMY...........................14

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

Aun Muhammad Khan

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

EVALUTION OF BANKING IN PAKISTAN:

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

CLASSIFICATION OF BANKS IN THE PAKISTAN:

ZARAI TARAQIATI BANK LTD.

ROLE OF ZTBL IN THE ECONOMIC DEVELOPMENT OF THE

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

AGRICULTURE SECTOR AS BASE FOR PAKISTANS

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

ZONES AND BRANCHES LOCATION:

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

To assist rural community, particularly the small farmers, in raising

To establish and provide backward and forward linkages to strengthen the

RESTRCTURING PLAN OF ZTBL:

ZARAI TARAQIATI BANK LTD.

Companies Ordinance 1984. The new corporate structure redefines the

Multan Zonal Office Setup:

ZARAI TARAQIATI BANK LTD.

Zonal Manager (Operation)

Senior Assistant (Lady)

Zonal Manager (administration):

ZARAI TARAQIATI BANK LTD.

Circle Circle Circle Tatey pur

Staff Under Branch Manager:

COMMIITTEES & ORGANIZATION STRUCTURE OF ZTBL:

ZARAI TARAQIATI BANK LTD.

2. Human Resource Management (HRM) Committee:

3. Risk Management Committee:

ZARAI TARAQIATI BANK LTD.

The organizational structure of the ZTBLis shown in

ZARAI TARAQIATI BANK LTD.

RANKING OF STAFF MEMBERS:

ZARAI TARAQIATI BANK LTD.

PRODUCTS & SERVICES OF ZTBL

ZARAI TARAQIATI BANK LTD.

2. Supervised Agriculture Credit Scheme:

ZARAI TARAQIATI BANK LTD.

ZARAI TARAQIATI BANK LTD.

Revolving Credit Limit is fixed to cater production credit and ancillary

The borrowers can draw the credit in lump sum or in installments

The borrowers can repay in lump sum or in installments during the

The Pass Book containing transactions in his account is supplied to

7. Tea Financing Scheme:

ZARAI TARAQIATI BANK LTD.

Seeds, Fertilizers & Fuel

Pesticides, insecticides and herbicides mannual sprays