Hafiz Nouman DanishL1 f14 MBAM 0019

Bilal Abbas NaqviL1 f14 MBAM 0012

Fatima ShahzadL1 S13 MBAM 0159
Mariyum NaqviL1 f10 MBAM 0012
Ammad yousafL1 f14 MBAM 0054

Summary
We are launching an ATM machine inside the University of central Punjab campus for
students, staff and faculty of UCP. We have decided to introduce ATM after conducting a survey
from a sample size of 100 which includes sixty percent students and forty percent faculty and
other staff because they have to face lots of problems to get their own money. They had to go
outside the University for ATM services. Our survey suggests that providing an ATM service
inside the campus will be highly appreciated and liked by eighty percent of our sample. By
introducing ATM it will be easy for students or everyone to get their money anytime whenever
they will need it. This is an equipment based self-services. An automated teller machine, also
known as an automated banking machine, cash machine, cashpoint, cash line, is an electronic
telecommunications device that enables the customers of a financial institution to perform
financial transactions, particularly cash withdrawal, without the need for a human cashier, clerk
or bank teller.
On most modern ATMs, the customer is identified by inserting a plastic ATM card with a
magnetic stripe or a plastic smart card with a chip that contains a unique card number.
Authentication is provided by the customer entering a personal identification number (PIN).
Using an ATM, students can access their bank deposit or credit accounts in order to make
a variety of transactions such as cash withdrawals, check balances, or credit mobile phones. If
the currency being withdrawn from the ATM is different from that in which the bank account is
denominated the money will be converted at an official exchange rate. Thus, ATMs often provide
the best possible exchange rates for foreign travellers, and are widely used for this purpose. Yet it
seems on modern ATMs foreign cash currency is not processed or possibly rejected when
deposited or at least is not originally expected by the machine.

About online banking

Online banking (OLB) is an electronic payment system that enables customers of
a financial institution to conduct financial transactions on a website operated by the institution,
such as a retail bank, virtual bank, credit union or building society. Online banking is also
referred as Internet banking, e-banking, virtual banking and by other terms.
To access a financial institution's online banking facility, a customer with Internet access
would need to register with the institution for the service, and set up some password (under
various names) for customer verification.

First online banking services in the United States

According to "Banking and Finance on the Internet," edited by Mary J. Cronin, online
banking was first introduced in the early 1980s in New York. Four major banks offered home
banking services. It allowed individual and small-business clients to maintain electronic
checkbook registers, see account balances, and transfer funds between checking and savings
accounts.
The automated teller machine or ATM also falls in online banking category.

About ATM
The automated teller machine, or ATM, is such a complicated piece of technology that it
does not have a single inventor. Instead, the ATMs we use today are a mixture of several different
inventions. Some of these proto-ATMs dispensed cash but did not accept deposits, for example,
while others accepted deposits but did not dispense cash. Todays ATMs are sophisticated
computers that can do almost anything a human bank teller can, and have stepped in a new era of
self-service in banking.

The advent of the ATM

The first ATM, or automatic teller machine, was invented and patented in 1939 by Luther
Simjian. This model was an unsuccessful prototype, but it led the way to the first modern ATM.
Because the ability to connect to the bank via computer was not yet available, access to these
machines was only given to a select few bank customers.
By the end of the 1960s, however, times were changing, and a broader segment of the
populationmore comfortable with the idea of self-service and more willing to trust unfamiliar
technologieswas willing to give automated banking a try.
In 1967, a Scottish inventor named John Shepherd-Barron was sitting in the bathtub when
he had a flash of genius: If vending machines could dispense chocolate bars, why couldnt they
dispense cash? Barclays, a London bank, loved the idea, and Shepherd-Barrons first ATM was
installed in a branch on Enfield High Street not long afterward. Unlike modern ATMs, ShepherdBarrons did not use plastic cards. Instead, it used paper vouchers printed with radioactive ink so
that the machine could read them. The customer entered an identification code and took her
casha maximum of 10 at a time.
The first ATM to use a card with a magnetic strip was patented in 1977. Even though the
machines existed this early, it was not until the end of the 1980s that ATMs became common
place in modern banking.
4

The first automated banking machine in the U.S. was devised by a Dallas engineer and
former professional baseball player named Donald Wetzel. Wetzels machine used plastic cards
like the ones we use today.

ATMS Today
Today, there are almost 2 million ATMs around the globe. Although use of the machines
has declined in recent years, likely because more people make purchases using credit and debit
cards instead of cash, the ATM continues to have a place in modern culture. Todays machines
sell everything from airline tickets to movie tickets to medicine.

Our Mission
To meet the financial needs of students, faculty and staff of university of central Punjab by
practicing the highest professional standards and sharing the mutual benefits with the customers,
staff and shareholders who participate in our business success.

Our Vision
We believe that society needs a fair and equitable financial system which rewards effort and
contributes to the development of the community.

Core Values

Our shared beliefs create strong bonds that form the basis of long term relationship

with customers and staff.

We value and respect the communities we serve.
Our customers are rest assured that their financial interests are being managed by us to
the highest ethical standards.

Our Objectives
1. Our First objective of putting an ATM Machine on Campus is to provide cash withdrawal
service round the clock.
2. To be the first to provide the service inside the University premises.
3. Create a good will for Our Bank by targeting the UCP population which was yet to be
targeted by any banking sector.
4. As of the large no of students, faculty and staff of UCP, there is a demand for an ATM
inside the campus so we are looking to capture the UCP target market.
6

Core Benefit of ATM

One can have access to the cash in the bank account whenever and wherever needed it. If,
for instance, you are at a store that does not take checks or credit cards but it has an ATM, you
can withdraw the money for your purchase.
Some other advantages of using an ATM are:
Travel without cash; This also means you can travel anywhere without cash. If the location has
an ATM and you have your ATM card, you can access your money instantly.
Its highly convenient, whenever you run out of money, you can easily withdraw cash at
thousands of locations 24 hours a day.
Its Secure; There's no need to carry large amounts of cash and expose you to thieves. Just
withdraw what you need for the day or even for one purchase.
Time Saving; With an ATM, you can check your balance, make deposits and transfer money
between accounts without entering a bank or going online.

Features

Screen
Displays options and information, usually CRT or LCD monitor
Function key
Allows selection of on-screen options
Printer
7

Produces hard copy of transaction

Enclosure
Houses ATM system peripherals and restricts access to hardware
MOXA multiport serial board
Connects all ATM peripherals to the CPU
Modem
Connects ATM to bank's central network for information exchange
Cash dispenser
Counts and dispenses currency on demand

Sources of Competitive advantage

Our Competitive advantage lies in unique service offering inside the campus

There is no ATM machine previously inside the campus.

There is no other source of online banking inside the campus.
Instead of going to banks before and after university timings, people can easily get
money in university timings.

Core and supplementary services

mobile
top up
bills
paymen
t

cash
withdrw
al

Check
account
balance
s

(core)
mini
stateme
nt

money
transfer
Change
PIN
code

Marketing Mix
Product
In banking sector, the two core products are 'deposits' and 'advances' which are offered by
all the banks. Banks differentiate their products by adding unique features with these core
products and also with value added services which mainly cover information technology based
services including Mobile banking, Internet banking, Phone banking, 24/7 ATM services, Bill
pay machines etc.

The product we are offering is a self service automatically operated ATM which allows people
to withdraw cash, checking bank balance and depositing utility bills along with some other
supplementary services.

Price
Pricing is the second most important element in the marketing mix and acts as a weapon
to counteract competitors as well as ensures survival of the firm. Price in banking sector means
interest rate and service charges. Due to complexity of pricing structure in financial products,
maintaining transparency without hidden charges is an essential prerequisite for differentiating
bank services.
We will use combination of two strategies, market penetration pricing and price discounts
strategy.
In market penetration pricing we will offer discounted rates for new customers who will buy an
ATM card in the first month of our launch. And the discounted rates will be augmented till 3
months of the card issuance date.
In price discounts, we will offer promotional discounts like transaction fee waiver up to 50% on
amount more than 50,000 PKR occasionally and on national and religious festivals to stimulate
sales.

Our pricing structure will be:

I.
II.

Issuance of Debit card Free

Replacement / Duplicate card Classic: Rs. 200/- (In case of loss / damage) Gold: Rs.

III.
IV.

200/Reissuance of PIN Free

Annual Fee (Applicable after Classic: Rs. 250/- one year of issuance date.) Gold: Rs.

V.

400/ATM transaction charges Rs. 15/- per transaction (only on ATMs other than ABPL ATMs)

VI.
VII.

financial transactions)
Balance inquiry: Rs. 5/Utility Bill Payment Free
10

VIII.
IX.
X.

Funds Transfer (within Al Baraka) Free

Inter Bank Funds Transfer through ATMs Rs. 50/- per transaction
Document Retrieval Charges For Classic & Gold: PKR 250/- (for Local Transaction) per

XI.

document (per transactions)

ATM Transaction Fee For Classic & Gold: 2.5% (International ATMs) (of the transaction
amount)

Place
Place in case of services determine where is the service product going to be performed.
Place involves both time and place consideration. In terms of time, place allows the customer to
gain access to the service when it is convenient for them to buy. In terms of place, distribution
(place) makes services available to customers in locations which are accessible and convenient to
them. Convenience of location plays very important role on customer perception regarding
banking services. Customers with higher knowledge about a service are more likely to use selfservice channels like 24/7 ATMs, Bill pay machines, Internet banking, and Mobile banking.
Our place for the service is outside the campus bank branch of bank Al. Baraka inside the
University of Central Punjab. The main reason behind selecting this pace is that, it would be
easy for bank staff to replenish the machine whenever needed. The other reason is customer care,
when the machine is outside the bank, customer can easily ask about queries from the bank.

Promotion
Promotion relates to communicating with customers. It will provide information to assist
them in making a decision to buy a product or service. In banking services, it helps in
communicating with customers regarding offering new products, change in interest rate, festival
season offers, opening new branches etc. Effective media used by banks to communicate about
its services at right time helps in satisfying its customers.
We will advertise through standees and posters inside the campus. Besides this we will promote
via personal selling because personal selling is best tool for promoting banking services.
Initially we will arrange some PR activities like music concert to launch our new service.
11

For existing customers of Bank Al.Baraka we will employ direct selling through emails and
SMS alerts.

People
In people there are the bank employees who meet the customer face to face and help the
customer for opening an account and make them aware of the services. So the people of bank
should have a pleasing personality and good communication skills. We will have two employees,
one teller who will replenish the machine when it is out of cash and will take care ATM related
issues and one security guard sitting outside ATM booth.

Process
Process is the implementation of actions and functions. It increases value for products
with low cost and high advantage to customer. Process is more important for service products.
Therefore, process management ensures the availability and consistence of quality of service.
ATM service is the process of self-service it saves time and cost both at the same time.
What we have to do is to insure the maintenance of the machine and availability of bank
representative every time when customer needs, So that the process will remain smooth.
The process includes 8 steps:

12

1. Insert Card
2. Enter PIN
3. Choose Type of Transaction
4. Choose Type of Account
5. Choose amount of money
6. Take out the money
7. Remove card

Physical evidence
The components of the physical evidence are called as services cape which includes the
facility exterior i.e. exterior design, parking, landscape, surrounding environment and facility
interior i.e. interior design, equipment, physical layout, the appearance of the staff. Physical
evidence is important for banks as this is the environment in which the service is delivered and
where the bank employees and customers interact. Deposit slip counter, teller and cash counters,
deposit counter, branch manager room, customer representative desk, token machine,
information boards, etc. provide physical evidence to banks.
Here the ATM machine placed inside the ATM booth is physical evidence. Booth will be
painted GREEN. Because green is a color of Harmony, refreshment, rest, equilibrium and
peace. Green strikes the eye in such a way as to require no adjustment whatever and is, therefore,
restful. So customer will feel relaxed. Besides this a very moderate temperature will be
maintained whatever the temperature is outside the booth along with a nice fragrance, to make
the whole environment more peaceful.

Our Strategic focus

13

From all of the above Ps of Marketing Mix our major focus will be on process. What we
have to do is to insure the maintenance of the machine and availability of bank representative
every time when customer needs; there will be no shortage of money in rush hours like national
and religious festivals when demand of cash increases and supply in most of the ATMs gets
short. By the efficient use of resources the process will remain smooth.
Secondly our focus will be on promotions. As other Ps are not really very central in
ATM services. Product is simple, we cannot easily make it different, Prices are already very low
in form of transaction costs and all banks are offering almost same price. Place that we have
chosen is already a best place in the campus where major people go for cafe and fee submission.
People contact is very low as this is self service operation; people have very minimum impact on
service delivery. So, we have to focus on promotion. As our service is new in campus, we need to
create strong awareness and increase the number of customers to stimulate sales.

Conclusion
The purpose of this project was to introduce ATM machine, an equipment based self-services in
UCP. The result of our study is that ATM SYSTEM "has been developed as the best flexible and
efficient machine for students in UCP to make their money transactions. This service will fulfill

14

the need of customers in the UCP. Care has been taken to introduce or promote the services in
the university and to make it simpler and beneficial for the students and staff.
In the end, this is the most time saving services for the students too.
Bibliography
http://www.history.com/topics/inventions/automated-teller-machines
http://www.entrepreneurial-insights.com/7ps-additional-aspects-marketing-mix/
http://www.circuitstoday.com/working-of-automatic-teller-machine-atm

Questionnaire
Dear Respondent,
We are looking forward for your kind support in carrying out this research for
ATM service at UCP campus. The questionnaires will not take much of your time but
will be crucial to completion of our research. We will be extremely grateful for your
kind cooperation in filling out the questionnaires.
Your opinion regarding the following statements will be helpful for our study.
Your name: (Optional)

_______________________________
15

Your Designation:

_______________________________

Gender:

Male

Female

Age:
above

20-25

26-30

31-35

36-40

Education:

Bachelors

Masters

MS/M.Phil.

PhD

40

and

1. How often do you use ATM in a month?

a) One time
b) Two times
c) Three times
d) More
2. How much money you withdraw at a time?
a) 1000-3000
b) 3000-5000
c) 5000-8000
d) More than 8000
Please turn the page

3. For what kind of services you use ATM the most

a) Billing
b) Cash withdraw
c) Mobile top up
d) Balance check
4. You find ATM
a) Time saving
b) Difficult to operate
c) Hectic
d) Waste of time
5. For you providing ATM service at UCP campus is
a) Good
b) Very good
c) Excellent
d) Not interested

16

Thank you!

17