1

Internship Report
On
Askari Bank Ltd.




Submitted By:
Umar Ahmed
MPA IV
01171211002
Submitted To:
Mr. Abdul Razzaq

Quaid-i-Azam School of Management Sciences (QASMS)
Quaid-e-Azam University
Islamabad, Pakistan
October 21, 2013

2

























3








Internship certificate
















4

AKNOWLEDGEMENT
I am extremely grateful to Almighty ALLAH for giving us the courage and enthusiasm to go
through this complete study and finish it without any difficulty and hindrance.
I feel great pleasure to annunciate my appreciation for assistance and guidance of Mr. Abdul
Razzaq who is my supervisor and help me in every aspect I needed.
I am also thankful to Bank Manager of Askari Bank Barakhu Branch Mr. Azhar Majeed
who guides me all the way through entire six (06) weeks internship. I must not forget to
thanks Operation Manager Mr. Malik Tahir who was step aside by me all along the
internship phase.
In last I pay regards to supporting working staff that cooperates with me and guides to
practical experience and built my confidence for future career development
Thank you all.











5

EXECUTIVE SUMMARY

The banking system in Pakistan has witnesses some evolutionary changes during the recent
years and has made long-strides towards its goal of becoming a financially viable as well as
firm arm of the economy which in turn would promote not only growth but also prosperity
not only of the banking sector but of the economy as a whole. As vibrant and dynamic
banking sector is vital for the strong and prosperous economy. Therefore, on realizing the
inherent weakness of the financial structure that emerged after nationalization, government
of Pakistan initiated a broad based program of reforms in the financial sector. In this way
Governments commitment to banking reforms has made Pakistans financial sector stronger
in the last four to five. The banking sector has shown remarkable performance in a number
of areas which has helped in further strengthening of the whole process.
Banking industry is presently facing a hyper turbulent situation where banks have to operate
in increasingly competitive and complex local and global markets. The ability to compete in
the fast paced global environment is of paramount importance survival of the fittest being
the name of the game. The competition has even become ever tough and challenging with
the entry of many foreign world-class banks and other financial institutions.
In this report i have explained the evolution of banking sector, the industry background
which leads to different reforms. Then i have explained the background of Askari bank its
different products and services. After doing all this I have explained the products and
services. Based on the data taken, i have done Swot analysis. I have also given my personal
working experience at askari bank Barakahu Branch Islamabad. And at the end I have given
suggestions to improve the performance of Askari bank.


6

TABLE OF CONTENTS

Chapter 1 ------------------------------------------------------------------------------------------------------------------ 7
1.1 Introduction ------------------------------------------------------------------------------------------- 8
1.2 Internal Features of Askari Bank ------------------------------------------------------------------- 9
1.2.1 Management & Head Office Management --------------------------------------------- 9
1.2.2 Organization & Head Office Management --------------------------------------------- 9
1.3 Departments ------------------------------------------------------------------------------------------ 11
1.3.1 Remittance Department ------------------------------------------------------------------ 11
1.3.2 Clearing Department --------------------------------------------------------------------- 15
1.3.3 Deposit Department ---------------------------------------------------------------------- 17
1.3.4 Account Opening Department ---------------------------------------------------------- 19
1.4 Field Management & Organization --------------------------------------------------------------- 23
1.5 Organizational Structure --------------------------------------------------------------------------- 26
Chapter 2 ------------------------------------------------------------------------------------------------------------------ 27
Personal Working Experience -------------------------------------------------------------------------------- 28
2.1 Week # 1 ---------------------------------------------------------------------------------------------- 28
2.2 Week # 2 ---------------------------------------------------------------------------------------------- 28
2.3 Week # 3 ---------------------------------------------------------------------------------------------- 29
2.4 Week # 4 ---------------------------------------------------------------------------------------------- 29
2.5 Week # 5 ---------------------------------------------------------------------------------------------- 29
2.6 Week # 6 ---------------------------------------------------------------------------------------------- 30
Chapter 3 ------------------------------------------------------------------------------------------------------------------ 31
SWOT Analysis ------------------------------------------------------------------------------------------------ 31
Introduction ----------------------------------------------------------------------------------------------------- 32
3.1 Strengths ---------------------------------------------------------------------------------------------- 33
3.2 Weaknesses ------------------------------------------------------------------------------------------- 34
3.3 Opportunities ----------------------------------------------------------------------------------------- 35
3.4 Threats ------------------------------------------------------------------------------------------------ 36
7


Chapter 4 ----------------------------------------------------------------------------------------------------------------- 37
4.1 Recommendations ---------------------------------------------------------------------------------- 38
4.2 Conclusions ------------------------------------------------------------------------------------------ 41
References ---------------------------------------------------------------------------------------------42




















8











CHAPTER 1
Introduction to Askari Bank Ltd. Pakistan












9

1.1 Introduction
The banking sector has witnessed a dramatic change during the last ten years with the
development of Askari Bank, which is not only the redefining priorities and focus of the
banks, but also threatening the domination of traditional players.
Askari Bank was incorporated on October 09, 1991 as a Public Limited Company and is
listed on the Karachi , Lahore and Islamabad Stock Exchange. It started its
operations from April 01, 1992. The bank was declared as Best Bank in Pakistan in2001
in Global Finance.
The banks registered office/Head Office is situated in AWT Plaza, The Mall,
P.O. Box No. 1084, Rawalpindi, (Pakistan). Askari Bank Limited has expanded into a
nationwide presence of over a 100 branches, comprising commercial and Islamic
banking branches, connected online and supported by a network of Automated
Teller Machines (ATMs).
It also enjoys an offshore banking unit in Bahrain. Over the years, Askari Bank Limited
has proven its strength as a leading banking sector entit y with ever increasing
commitment to its clients, through a strategic investment in electronic technology. It has
A1+, the highest possible credit rating, for short-term obligation, and AA+ for long-term
rating. Beside day-by-day banking solutions, Askari Bank Limited has a wide
range of Corporate, Consumer, and Islamic Banking products.
Askari Commercial Bank Limited was the first bank in Pakistan to offer
Internet banking Services and B2B e-commerce (Business to Business
electronic Commerce) solutions for merchants looking to purchase on credit. They
believe that balanced growth is the key to survive in the todays global banking environment.

10

1.2 Internal Features of Askari Bank
1.2.1 Management and Head Office Management.
Among seven member of group Chief Executive is called the President. The
Bank also has directors for superintendence and direction of its business. The members of
board consist of President. Who is Chief Executive and six other directors as members
appointed by the government.
The member of Board responsible for granting loans in the field likes agriculture industry,
housing and import export trade and to make the policy of the Bank.
Source: The information about this chapter given by Soulat Hussain (Admin. Manager)
1.2.2 Organization and Head Office Management.
In the Askari Banks head office, there are sixteen 10 separate division to deal
with all the necessary problems separately, on the top of all these divisions.
The details about these divisions are as under:
Credit Division.
This department is headed by EVP. Credit division is responsible for review
of credit proposal submitted by branches, giving approval, provisioning of bad debts and
monitoring the portfolio.
Finance Division.
SVP heads finance division. This division is responsible for keeping the
records of all the transaction of different branches. Finance division is further divided into
subdivision, which are Budget and finance & DRC.



11

I nternational Division.
International division is headed by the EVP. It deals with all aspects of
organization, which involve international correspondence. The most important function of
this division is correspondence banking. This division also helps in holding seminars and
conferences abroad.
Operation Division.
Operating division is headed by SVP, deals with opening of new branches. It
analyzes the feasibility reports about the proposed branches. It also deals with aspects such
as choosing the buildings and fixing the rent for it. This division also helps in making a
layout of the whole branch.
Human Resource Division.
HRD basically deals with the human aspects of the organization. This division
is headed by the SVP. The major functions of this division is to recruit persons, decide about
promotions, transfer etc., and holding training programs and provide administration related
services.
Management Services Division.
VP heads MSD, and basically deals with technology related services. This
division deals with installation of ATMs; make innovation in software of the bank,
communication networking on-line banking and other computer related services in order to
keep an edge on competitors.
Business Development Division.
This division being headed by SVP is responsible for adopting different
business strategies. Recently it has introduced many consumer services in response to tough
12

competition with competitors such as credit card, visa card, Askari master card, Askari link
etc.
Audit Division.
This division is headed by VP, and is responsible for internal audit of the
organization. The record of all branches is consolidating and then they are audited.
Corporate Division.
This is headed by Senior Executive Vice President and deal corporate matters
of the bank. The major aim of this division is to provide lending facilities to corporate under
syndicate arrangements.
Retail Banking Division.
This division is headed by Vice President Deals with retail based products.
The primary aim of this division is to diversity the portfolio of the bank and maintains
reasonable Askari Bank relation between corporate and retail sectors. This division has
launched different schemes like Askari personal.
1.3 Departments
1.3.1 Remittances Department.
The need of remittance is commonly felt is commercial life
particularly in everyday Life generally. The main function of the remittance department is to
transmit money from one place to another. By providing this service to the customer, bank
earns a lot of income. Also Customer is Askari Bank to meet its day to day financial
requirements.
Pay Order.
It is an instrument issued for payment in same city. Pay order issued from one
Branch can only it is paying Askari Bank from the same branch. It is normally referred to as
13

banker's cheque. It is also called confirmed cheque, because bank issues this on its own
guarantee.

Issuance Procedure.
Bank charges or commission as per the schedule of charges and the
withholding tax of 0.3% are applied.
The cash amount of the pay order is received.
A cash memo is signed, stamped and handed over to the applicant as a
receipt.
Then the pay order receipt is filled accordingly.
Counter foil is also filled.
An entry is made in the pay order issue register
Then the authorized officer signs it after checking the pay order.
Then the order is then handed over to the applicant after obtaining the
signature on the PO form.
A voucher is also made and posted at the computer.
Payment Procedure.
On presentation of the pay order receipt two authorized officers of the
branch sign the receipt.
PO entry is made in the PO issue register.
The amount is credit to the account of the customer or pain in cash.
PO is posted at the computer


14

Demand Draft.
It is an instrument pay Askari Bank on demand for which value has been
received, issued by the branch of the bank drawn i.e. pay Askari Bank at some other place
(branch) of the same bank. The two banks are involved then the DD is sent to other bank but
in other case it is handed over to the applicant.
Issuance Procedure.
A demand draft application is given to the customer: he fills in relevant
information and signs it.
The officer cheeks the information form
The bank charges such as commission, excise duty is charged as per
effective schedule of charges. If he fills the tax exemption form, tax is not
charged.
In case of cash deposit, the cashier counts the amount and signs the DD
application and enters it in the register.
Then the officer of remittance department signs it and operation manager
counter signs it.
The entry is made in the DD issuing register, DD is given to the customer.
Vouchers are prepared and posted.
DD advises are printed and mailed to the respective branch. Cash Payment
procedures
The bank receives DD.
An entry is made on the DD pay Askari Bank register and the vouchers
are made.
15

An entry is made on the DD pay Askari Bank register and the vouchers
are made.
When DD is received the test numbers are checked and the payment is
made
Vouchers are given for posting and the entry that was made in the
register is closed i.e. DD pay Askari Bank is Nil.
Pay Slip.
It is an instrument issued by the bank for payment by the bank for the
settlement of its own pay men. It is used for payment by the bank to anyone (may be
employee in this case only one bank is involved. He is the issuer as well as the payer.
Payment Procedure.
Pay Slip is just like a cheque and bank is Askari Bank to pay against pay
slip.
After than when the pay slip is received by the bank for payment, it is
again transferred in the register
16

1.3.2 Clearing Department.
Meaning of clearing.
The word clearing has been derived from the word "Clear" and is defined as a
system by which banks exchange cheques and other negotiable Askari Bank Instruments
draw on each other within a specified area and thereby secure payment for their client
through the clearing house at specified time" in an efficient way.
Advantages of Clearing.
Since clearing does not involve any cash etc. and the entire transaction take
place through book entries, the number of transactions can be unlimited.
No cash is needed; as such (he risks of robbery, embezzlements are totally
eliminated.
As major payments are made through clearing, the banks can manage cash
payment at the counters with a minimum amount of cash in vaults.
A lot of time, cost and labor are saved. Since it provides an extra service to
the customers of banks without any service charger or costs, more and
more people are inclined and attracted towards banking.
Clearing House.
It is a place where representatives of all scheduled banks sit together and
interchange their claims against each oilier with the help of controlling staff of State Bank of
Pakistan and where there is no branch of State bank of Pakistan and where designated branch
of Askari Bank as controlling member instead of Stale Bank of Pakistan.
Working of clearing house.
All the bank which are the member of clearing house maintain accounts with
State Bank of Pakistan by debit and credit to which the clearing settlements are made. If on a
17

particular day, a bank delivers cheques and other negotiable Askari Bank instruments worth
more than the total amount of Cheque received by it that banks accounts with State Bank of
Pakistan would be credited with the differential amount. If on the other hand the total amount
of cheques and other negotiable Askari Bank instruments draw on a certain bank by other
bank is more than the total amount receivable Askari Bank by it from other banks, then this
bank's account will be debited on that date.
18

1.3.3 Deposit Department.
The basic purpose of deposit-based products is to lure money into the bank.
Different types of deposit based that Askari Commercial Bank provides to its customers are:
Current accounts
PLS Saving account
Term deposit accounts
ASKAR Special deposit accounts (ASDA)
Value Plus account
Investment Certificates
Current Account.
Current deposit accounts are opened with the minimum of Rs. 5000/- deposit.
PLS Saving Accounts.
PLS saving account is opened only with a minimum balance of Rs.2500/- for
individuals charity Askari Bank institutions, provident and other 'benevolent funds. The
amount in the account and the return is there on the profit and loss sharing.
19

Term Deposit Accounts.
Whatever the amount is put in this account, for whatever period, the customer
cannot withdraw that amount before the end of that period. There is a specified markup,
which is paid to the customer on the completion of the term of the account.
Askari Special Deposit Accounts.
It is a special scheme known as ASDA. The minimum balance requirement in
this account is Rs.50,000/- If the customer has less money he is not entertained. Profit is paid
every month on declaration on actual rate of profit on such deposits by head office of Askari
Commercial Bank.
Value Plus Account.
Askari Bank's Value Plus is a rupee deposit account The customer can invest
as little as Rs.10.000/- in a value plus savings deposit and he is entitled to earn monthly
returns, while still enjoying the flexibility of a normal checking account.
Advantages.
Partial liquidity offer on all time.
24hours world-wide protection plan.
ASKCARD (Debit Card) & their unmatched services quality.
Askari Banks Investment Certificate.
Askari Bank's Investment Certificates are being offered as a part of Retail
Banking. They are short-term investment and cash substitute for all types of business
transactions. These certificates are negotiable Askari Bank and can be transferred to third
party. These can be issued to individuals, who can minors or in Joint names Askari Banks
Investment Certificates are issued for a period of 3 months and profit is pay Askari Bank on
monthly basis of issuance mentioned on the face of the instrument.
20


Important characteristics of investment certificates are:
They are avail Askari Bank in denominations of Rs50, 000, Rs.100, 000, Rs.500, 000.
Free issuance and free encashment.
Account relationship with Askari Bank is not mandatory.
No penalty on pre-mature encashment.
Negotiable Askari Bank and pay Askari Bank in Pakistan in Pak Rupees only.
No purchasing limit.
1.3.4 Account Opening Department.
Features of different types of accounts maintained at branch.
The bank accepts and maintains many accounts or Deposits some are as follows.
Current Deposits
PLS. Saving Deposits
Fixed Deposits Account (lime Deposits).
21

Current Deposit.
The current account is opened in the name of individuals, proprietary firms,
partnership firms, and private limited companies, clubs, associations. Associates and other
institutions. The account can be operated by single or two or more persons jointly as the
instruction max be given at the time of opening of the account. No profit is given on current
deposits.
For the opening of an account the initial amount of deposits must not be less than Rs.1000/=
but the there is no restriction imposed to the accounts of Charity Askari Bank institutions. If
the person who wants to open the account is not in a position to sign or his signature is not
confirmed.




22

PLS Saving Accounts.
The silent features of profit and loss sharing saving accounts to be opened
in Askari Bank are as under. These accounts can be opened by the individual in their own
single or joint mums can open these accounts. The PLS saving accounts can also be
opened for provident funds of companies, firms, organizations of welfare and educational
institutions. The PLS saving accounts can also be opened with a minimum amount of
Rs.2500/- only. Money can be withdrawn from PLS saving account with prior notice if
heavy amount is involved. In other way to share the profit a minimum balance of
Rs.500/- must be maintained in account. The minimum balance on sixth and last of
monthly will qualify for the profits. The profit is calculated on the basis of monthly
minimum balance for the period of six months i.e. from January to June and July to
December. The head offices of tint Askari Bank determine the profit and loss on PLS
saving account.
In case of withdrawals from PLS saving accounts are allowed but there are some
conditions that the amount cannot be withdraw more than 8 times in a month of the
calendar and should not exceeds Rs. 15000/-. In case of large amount a seven days
notice in writing i.e. required to be given. The notice shall not however effect but the
monthly withdrawals are ordinary allowed. There shall not be any restriction on
maintaining maximum balance in PLS saving account. On the first of" Ramadan every
year zakat 2.5% will be recovered from depositors on the balance of the day. But if
depositors give declaration of" Zakat in case of non-Muslim no Zakat will be deducted
from account. In the same day the zakat is not deducted from the account where the


23

balance is below prescribed limit as declared by the administrator of Zakat of Pakistan.
This system of accepting deposits has been stated in Askari Bank since 01.01.1995.
PLS Term Deposit A/C.
In case of fixed deposit account deposit is made for a fixed period and the
money deposited can be withdrawn before the expiration of the period fixed or before
giving an advance notice to the bank, fixed deposits caries a higher rate of interest than
the other type of bank account.
The Silent features of PLS Term Deposit is as follows:
Companies, firms and other organizations.
The PLS term deposit receipts are issued for maximum or minimum limit of
amount.
PLS term depositors, may be allowed! Some facilities against security of
these' receipt credits, after making "Lien" on relevant receipts and .subject TO
RECOVERY OF charge.
Under term deposit scheme the depositors not cease to earn the profit ii
immediately after the respective maturity date, that their FUNDS have been
afford .depositors said to have withdrawn their term deposit on maturity, their
funds will remain temporary in used and out of profit earned a responsible
share would occur to such overdue PLS. Term deposits at the rates declared
on PLS sharing account.
The head offices at the bank determine! the profit and loss on PLS term
deposit at by one interval i.e. the end of June and December each year and
payment of profit to or deduction of loss if any from the PLS term deposit is


24

to be made the deposits for longer period will earn little more profit than those
of shorter period.
If PLS term deposit expired and the depositors request within one monthly
after the expiry date for investment. PLS term deposits will be reinvested for
desired period from the date immediately following the expiry date!
Zakat or the face value PLS term deposit will be recovered as many times as
valuation dates (i.e. 1
M
Ramadan) falls between the date of issue and the date
of expiry of the deposit.
Rate of profit on the term deposit is announced after six months Bi-annually June end and
December end. The profit is credited to the customers account within 20 days oil
announcement In case of withdrawal of deposits before its tine to maturity there are some
conditions. The first condition is that the customer will return all profits taken by bank
and he would be offered the minimum rate on his deposits, which is 1.20 % in the term
deposit account there is no limit for deposits. This system is fully computerized and the
rates of profit that arc offered are verifying Askari Bank so that can be changed regarding
the policy by the head office in Rawalpindi.
1.4 Field Management and Organization
There are four executive to supervise the bank maters of every province,
as they are called provincials chiefs. These Provincials Chiefs are responsible for the
entire banking in their provinces such as incomes, Expenses, advances and deposits.
The Regional Chief Askari Bank Balochistan
Regional Chief Askari Bank Punjab
Regional Chief Askari Bank Sindh


25

Regional Chief Askari Bank KPK & Azad Kashmir.
These provinces are again divided into regions, the regions are controlled and
management by regional heads, which are responsible for the supervision in their circles
and deal with the problem zones in their jurisdiction of Branches and Staff.
The country has been divided into 19 (nineteen regions) by Askari Bank to facilitate its
functions.
Sindh Province.
1. Karachi Region-A
2. Karachi Region-B
3. Main Branch Karachi Region
4. Hyderabad Region
5. Sukkur Region.
KPK Province.
6. Peshawar Region
7. Abbottabad Region
Azad Kashmir.
8. Muzaffarabad A.K. Region
Balochistan Province.
9. Quetta Region.
Punjab Province.
10. Lahore Region-A
11. Lahore Region-B
12. Main Branch Lahore Region-C


26

13. Bahawalpur Region
14. Gujranwala Region
15. Sialkot Region
16. Faisalabad Region
17. Multan Region
18. Rawalpindi Region
19. Islamabad Region

These regions are also sub-divided into zones. The incharge of zone is
called Zonal Chief.















27

1.5 Organizational Structure








DIRECTORS/ SEVPS
Provincial Chiefs/SEVPs
Regional Chief / EVP
Zonal Chief / SVP
Vice President
Assistant Vice President
Officer Grade-I, II, III
Clerical and non-clerical staff


28









CHAPTER 2
Personal working and learning experience















29

PERSONAL WORKING AND LEARNING EXPERIENCE
2.1 Week # 1
First week was introduction to banks personnel and different working position in
bank from Manager to operators. Visit to bank building in this session and frequently
intermingling with the staff to know how about daily work plan.
The Manager Mr. Azhar Majeed told me about timing of the bank on very first day.
Which were from 9a.m to 5 p.m. He holds my 1
st
week position at new account opening
section.
I use to come on time and took active participation in understanding the mechanism of
opening new account and at the end of week my senior gave me chance to open a new
account and I did the job.
2.2 Week # 2
The Manager directed me to cash section (Cashier). I observed it was one of the
busiest place and person of the bank. This place encounters the cash flow and cheques.
The daily practice was to receive cheques and assign a token number to customer and let
them wait for their turn. After receiving cheque, cashier handed over to computer
operator who checks the balance and issues cheques
The basic requirements for cheque clearance includes properly signed, cheques should
not be out dated, and most importantly sufficient balance should be available.
After receiving cheques from operator, cashier made the required payment and calls the
token and customer comes forward and receives his amount.




30

2.3 Week # 3
The Manager transferred me to computer section for third week. I observed the
data entry, utilities bills, university fees challan, and university forms. One of the main
features was Debit/ Credit.
At the end of day, a debit/credit sheet is prepared which total sum of all payments are
added and upon which bank tax is taken then the remaining amount is sent to concerned
department by the end of the day.
2.4 Week # 4
The Manager holds me at Remittance section for week #4. In this section cheque
books are prepared and issued to customer. The main focus was on the cheques received
of different banks and sends the cheques to concerned banks for clearance and issuance
of subjected amount.
Same practice was observed during all the week.
2.5 Week # 5
The Manager sent me to operations section for loan policies and issuance of loan.
There are different loan types according to need and demand
a) Agriculture loan
b) House building loan
c) Education loan
d) Vehicle purchase loan
e) Business loan




31

2.6 Week # 6
In this week the manager directed me to Pension and current pay section.
This was busiest place at the start of the month as the salaries of employees and retired
officers come in their respected accounts.
In last few days I remained with Manager for handling and managing the whole
operations of bank and undersigning the daily progress report.
I conclude my session with a lot of experience and pray from working staff as they
become like family. This is exposure which I could never forget in my life.

















32











CHAPTER 3
SWOT Analysis













33

SWOT ANALYSIS
Introduction
SWOT analysis is an acronym that stands for strengths, weakness, opportunities,
and threats SWOT analysis is careful evaluation of an organization's internal strengths
and weakness as well as its environment opportunities and threats.
"SWOT analysis is a situational which includes strengths, weaknesses, opportunities and
threats that affect organizational performance."
"The overall evaluation of a company strengths, weaknesses, opportunities and threats is
called SWOT analysis."
In SWOT analysis the best strategies accomplish an organization's mission by:
1. Exploiting an organizations opportunities and strength
2. Neutralizing it threats
3. Avoiding or correcting its weakness.
SWOT analysis is one of the most important steps in formulating strategy using he
organization mission as a context; managers assess internal strengths distinctive
competences and weakness and external opportunities and threats. The goal is to then
develop good strategies and exploit opportunities and strengths neutralize threats slid
avoid weaknesses.







34

3.1 Strengths
The officers of Askari Banks are considered: as one of the most Askari Bank
professionals in the banking sector. However, they have fiddled some local
flavor in accordance with their targeted segmented. Especially. Satellite Town
Branch, observed that interact with their clients as if they are their personal
friends and discuss about their problems as their regarding.
As a result of the compassionate and personalized services of the officers, the
clients' perception for Askari Bank, is very high, they have trust and feel
themselves to be secure while dealing with Askari Bank
Askari Bank has opened al! Its branches at commercial areas so that the
customers or clients face no problems in reaching to the bank|. For example.
Satellite Town branch for being situated in business and commercial hub of
Rawalpindi has big volume in trade.
Askari Bank has got a good number of Bank and easy to list internal computer system.
Information regarding the transactions in customers deposit has been computerized.
'UNIBANK is being practiced for this purpose.
o Data is properly maintained.
o (Good security system.
o Lot of facilities is given to employee.
One distinctive feature of the bank is that it is the only bank working for the welfare of
army officers, which was Askari Bank by Army Welfare Trust.




35

3.2 Weaknesses
Askari Bank has formulized a lot of products and services for its customers,
even more than other commercial banks, but any advertisement on electronic
media has not been seen.
I observed during my internship that some of the employees were bonded with
over work. So 1 thinks that the work should be distributed according to their
post and capabilities.
Biased selection of employees.
Higher turnover of ratio of skilled staff.
















36

3.3 Opportunities
Satisfy dynamic consumer needs. Askari Bank has made significant inroads in
its entire service spectrum. A lot of products {have been introduced especially
ii Retail Banking and people are increasingly becoming loyal to the bank and
because of feasible transactions. Optimum pricing and branding strategies of
the bank are helping to make customer feel secure and convent.
All the opportunities of the 21
st
century are to be availed in the information
technology. Information technology is the future of this dynamic world.
Therefore Askari Bank should emphasize much on TT, especially on E-
Banking. Bank can design a universal account like other foreign banks, to
enhance online facilities.
ABI has introduced number if financial schemes including special 'Deposit
Accounts". These accounts have their unique features. During the first three
years.
Askari Bank deposits have been increasing @ 40%, which is a very healthy
sign. Therefore, with the commencement of new schemes there can even he a
greater increase in its deposits.








37

3.4 Threats
Despite the difficult circumstances that confronted the banking see or in
particular and the country in general. Askari Bank has been still highly profit
Askari Bank. But, the facts can't be denied and there might be an adverse
impact of such situation.
Askari Bank is facing a strong competition by its major competitors, Union
Bank' and 'Muslim Commercial Bank'. Business of these banks is also
growing with very high pace.
Pakistan India relations often create a war danger. This chance of war may
cause army officer and their families to increase the frequency of withdraw;
Is, which would decrease deposits.
The ongoing shift in power in political arena in the country effects tin
performance of the bank has to forward loans to politically powerful persons
who create a sense of insecurity and demoralization in the customer as well as
employees.
Bank is currently acting upon the policy of downsizing which
threaten the environment of the bank Employees feel insecurity in doing
their jobs and work, hence affecting the overall performance of employees
negatively.




38










CHAPTER 4
Recommendations & Conclusions













39

4.1 Recommendations
The top and middle management should focus on efficient and effective way of
distributing the employees among the branches. The branches where work burden
is more should be provided with more employees.
Askari Bank management should work out an efficient performance appraisal
system that should ensure equity and justice while evaluating and responding to
the performance appraisal. Those who are performing better and honestly should
be given promotion and benefits rather than unjust promotions and benefits.
Askari Bank should focus on the physical outlook and presentation of the branch
environment. An impressive image should be depicted through the outlook of any
branch of the Bank. It will show the image of Askari Bank being changed.
Employees will also be motivated by the new environment as a feeling of change
will prevail in the system.
The increasing trend of people moving abroad from one country to another has
resulted in need to transfer money through reliable sources. Askari Bank having
an existing international network can facilitate the opening up of foreign currency
account at it various branches so that they can send their money easily from
anywhere within the country. Currently this facility is only available at the main
branch in Islamabad. But it is recommended that this service should be extended
to other branches as well depending upon the location where the trend of moving
people abroad is high.


40

Employees within the branch should be rotated from one seat to another so that
they should learn the operations at various positions. Because when the
employees are transferred after a long period from one branch to another they face
difficulty in learning the procedures from the start. Thus besides learning and
adjusting in the new branch they also have to learn the operations from the very
start and it takes a lot of time.
Askari Bank has made efforts to incorporate technological advancement but it is
not fully operative as in most of the cases when any problem arises in the system,
its fixation takes a lot of time. Due to this, customers as well as management of
the branch both have to suffer. Askari Banks top management should work on
these issues and should make arrangements for fixing this sort of problem quickly
in order to bringing bad image to the name. Most of the customer use to complaint
about ATM machines that it is not operative most of the time and they have to use
other banks ATM to get the cash.
Opportunities should be provided to the employees of the bank to contribute their
ideas in decision making and also to give new ideas for improving the operations
of the bank. The youth lot in the market has strong analyzing power and can bring
about new ideas that can improve the market share of Askari Bank. This
decentralization can improve the existing condition of the bank.
Upward and downward communication should be promoted and encouraged at
the branch level. It will enhance the banks performance at the lower level, as the


41

employees will be motivated when they will be able to share their problems to the
top management directly.
Research and Development facilities should be enhanced (Domestic market
research, economic analysis, strategic insight of major economic and financial
accords, international markets knowledge, rigorous planning and development,
loss & prevention mechanism)
















42

4.2 Conclusions
At the completion of the business internship the internee draws the following:
1. It appears a lengthy process of sanctioning advance.
2. It looks the staff member are not properly trained
3. It seems the promotions are not given in the due time.
4. It appears that large amounts paid on administration cost.
5. It shows that there is a lack of recovery system
6. It seems that there is no networking.
7. It seems that there shall be a great the rush days for the customers as well as for
the staff members if the No of counter are limited or very few --- please explain
8. It might not be possible for every borrower to repay the money in due time.














43

REFERENCES
1. Greener Michael the Penguin Business Dictionary Edition
1995 Page No.10
2. Muhammad Rauf Beg Money and Banking 2
nd
Edition 1993
Page No.55.
3. Mukhtiar Ahmed Introduction to Money and Banking IST
Edition 1995 Page No.60
4. Israr-ul-Haq Banking Law and Practice
5. Dr. Syed Anwar Ali Banking 1
st
Edition Page No.02
6. Annual Report of Askari Bank 2011
7. Quarterly Report of Askari Bank 2012
8. www.askaribank.com.pk