Vision

To be the premier organizations operating locally & internationally that provides the complete range of financial services to all segments under one roof.

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Mission Statement of UBL

To develop and deliver the most innovative product, manage customer experience, deliver quality service that contributes to brand strength, establish a comparative advantage and enhance profitability, providing value to the stakeholders of bank.

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Chapter#1 Introduction of UBL

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1.0 Introduction of study
1.1 Background of Studies As part of the academic requirement for completing degree the students are required to undergo six weeks of internship with an organization. The internship is to serve the purpose of acquainting the students with the practice of knowledge of the discipline of banking administration. This report is about United Bank limited Pakistan. UBL was established in 1959 and since then, it has expended its network, becoming the largest commercial Bank of the country. It offers different products of services to its customers. 1.2 Purpose of the Studies The main purpose of the study in hand is together relevant information to compile internship report on United bank limited of Pakistan. To observe, analyze and interpret the relevant data competently and in a useful manner. • • To work practically in an organization. To develop interpersonal communication.

1.2.1 Scope of Studies As an internee in United Bank limited Pakistan the main focus of my study research was on general banking procedures in one of the branches of UBL. These operations mainly include Human Recourse Management system .Similarly different aspects of overall of UBL are also covered in this report. 1.2.2 Limitation of the Study Something is better than nothing. No matter how efficiently a study is conducted, it cannot be perfect in all respects. This study was conducted in accordance with the objectives of learning. The study may not include broad explanations of facts and figures due to the nature of the study.

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2. the problem of short time period also makes analysis restricted as one cannot properly understand and thus analyze all the operations of a bank just a very short time of 6 weeks. Thirdly. the availability of required data was problem as all the documents and files are kept strictly under lock and key due to their confidential nature.2 Secondary data • • • Manuals Annual reports Internet 1. In addition. In the opinion of the eminent scholars of banking.Secondly. 1.2.3 Definition of banking The word “Bank” is of a European origin and is derived from the Italian word “BANCO”.3 Research Methodology The report is based on my two months internship program in United Bank of Pakistan. Formally arranged interviews and discussions also helped me in this regards. 1. which means a table or a counter. the reason why this word was given to the banking business was the then prevailing traditions of Lombardi a 5 .1 Primary data • • Personal observation Interviews of staff 1.2.3. the limitation that affects the study is the restriction on mentioning every fact of the bank due to the problem of secrecy of the bank. The methodology reported for collection of data is primary as well as secondary data. The biggest source of information is my personal observation while working with staff and having discussion with them.3.

1. and were intended to concentrate on specific priority sector lending. Nationalization of the banking sector led to pet projects. In 1974 all domestic commercial banks were nationalized by the Government. 1. Within a short period of time.3.4 History of United Bank Limited United Bank Limited was established in November 1959. 1.3. which were the mainstay of the textile industry in Pakistan at that time. was formed after partition in 1948. The State Bank of Pakistan. banking in Pakistan was dominated by branches of British banks. The bank was sponsored by the saigol Group of Companies. The branch network of UBL also proliferated in an effort to provide banking services to all regions/territories of the country.money changers. PBC was dissolved in 1997. leaving the SBP as the sole regulatory authority for banks and financial institutions in Pakistan. The Pakistan Banking Council was established. often with disregard to the viability or feasibility of such expansion. It assumed the supervisory and monetary policy powers of the State Bank of India. In the period of 60s to 70s the emergence of a number of specialized developments finances institutions (DFIs) such as Industrial Development Bank of Pakistan (IDBP) and the Agricultural Development Bank (ADB).1 Modern Banking The banking which was known in various forms and guises in the ancient civilization in various parts of the world did not coincide with the emergence of the modern Banks. These DFIs were either controlled directly by the state or through the SBP. the central bank.2 Brief History of Banking in Pakistan Prior to partition in 1947. The banking which had its roots in the flourished culture and had lost its required effectiveness regained the strength with the development of the modern banking. the bank emerged as the third largest in the country after 6 . which assumed the role of a banking holding company but with limited supervisory powers. However.

a Saudi based financial institution. Aqeel Ahmed Nasir Mr. UBL was the third bank to be offered for privatization. About RS. The Bank’s total income including interest and non-interest income amounted to RS. Later on another bank the commerce bank limited was merged into UBL.3 billion were recovered out of which about RS. Atif R. The interference of the government was eliminated and the non-performing loans recovery was increased and the liquidity position was brought up to the required level. The UBL Board of Directors of are: Highness Shaikh Nahayan Mabarak Al Nahayan Sir Mohammed Anwar Pervez OBE Mr. A right sizing program was initiated as well as an aggressive branch rationalization strategy by which 203 loss making branches were shut down and profitable ones were opened in other areas. 1959 and incorporated as a Public Limited Company under Companies Act 1913. due to flaws in the transaction. Ashfaque Hasan Khan Mr. Abdul Pauf Malik Chairman Deputy Chairman President & CEO Director Director Director Director Company Secretary & Chief Legal Director 7 . and deposited the first tranche for its consideration. the SBP cancelled the privatization and took over the bank in 1995. Bokhari Mr. In 1996 the management of the bank was changed and by mid 1997 the financial and administrative discipline was restored.5 billion were domestic and of this about Rs.6.724 million in 1995. its deposits were RS. UBL incurred a loss of RS. 109 billion and investments were RS. 1. Ahmad Waqar Dr. Surplus staff was removed which amounted to 5416 employees. Initially. However. Omar Ziad Jaafar Al Askari Mr.HBL and NBP.25 billion in 1995.4935 million in 1995. The bank was nationalized in 1974. Bashrahil Group came up with the highest bid for the bank.5 billion was recovered in cash. The entire audit system was revamped. 4. Zameer Mohammed Choudrey Mr.5 Introduction of UBL United Bank Limited was established on November 7.

Switzerland United National Bank Limited. After the privatization of banking sector in Pakistan UBL implemented its strategies to achieve the comparative advantage in the Market place. UBL Click n Bank.pk www. UK UBL Fund Managers Limited UBL due to its innovative corporate culture wins their customers trust. and some other services are UBL netbanking.com www.ubl.6 Departments at UBL Banking procedures are divided between various departments. UBL UniSaver. UBL Money. Basic Banking Account. Different departments do their jobs in accordance with the bank policies . UBL Credit Card. and FCY Term Deposits.Mr. UBL Drive. Bahrain and Republic of Yemen). Qatar. UBL hold 51% of its total shares other 49% shares are owned by Government. UBL TezRaftaar. UBL Businessline. UBL UniFlex.ublinsurers. 1. UBL e-statement. UBL subsidiaries are: • • • United Bank AG Zurich. Term Deposits Receipts.com www. UBL Profit COD. Rupee Trans A/C. UBL is running four websites to provide information and customer services which are: • • • • www. UAE. UBL Wallet. FCY Savings.ublfunds. Hamrah.ublonline. Ameer Karachi wall Chief Financial Officer The Bank is currently operating 1400 Branches Domestically and 15 Branches Overseas (USA. UBL Cashline. The loan and card services are UBL Address.In UBL each branch is divided into various 8 .com The depositing services offered by UBL are Business Partner.com. UBL Click n Remit.

Clearing house A clearing house is the place where representatives.1 Clearing House Department Like Every bank UBL also acts in two way i. It is.departments according to their size and volume of business .Head of department manages each department & officials of the branch follow the procedures.6.e. The departments of UBL with their functions are as follows: • • • • • • • Clearing House Department Deposit Department Advances Department Computer Department Remittance Department Pension Disbursement Department Account opening Department 1. A large part of this work is carried out through the bankers clearing house wherever it is established. an important function of crossed cheques. • • Paying Bank Collecting Bank Here in theory no legal obligation on a banker to collect cheques. drawn up to other banks for a customer. Advantage of clearing house 9 . however. of all the banks get together for the purpose of offsetting the inter bank indebtedness arising from the transfer of deposits by a customer of a particular bank to another bank.

• To accept transfer deliveries and clearing cheques from the customer of the branch and to arrange for their collection. Great economy is also achieved in the employment of liquid cash by setting the difference by simpler transfer of credit from one account to another. though modern banks have assumed this important function of their own choice. A banker has no legal obligation to collect cheques drawn upon other banks for the customers. etc. It prevents the cost and waste involved in collection each and every cheque and claim. • To collect amounts of cheques drawn on members. So. sent for collection by those UBL branches which are not represented a local clearing house. the banker should be very careful in their performance. Functions of clearing department The following are the main functions of clearing department. The smaller portion of the perforated pay in slip is handed over to the depositor and the portion becomes the regular portion of a credit voucher. if they provide this facility when the cheques are crossed. Procedure of clearing at clearing house 10 . it is very important that since they have assumed this function. he should be obliged promptly. or sub-members of the local clearing house. thereby minimizing the necessity of holding large cash balances. otherwise they will face more difficulties. sub-members of the local clearing house. • To arrange the payment of cheque drawn on the branch and given for collection to any other branch of United bank of Pakistan or any other members. clearing house works under the control of State Bank of Pakistan.The advantages are manifold. across the counter with all the danger of loss in the transit incumbent upon it. Procedure of depositing cheques in clearing department Whenever a customer wants to deposit cheque. Which a banker holds against another. he fills a pay in slip and hands it over the counter along with the instruments he wants to deposit with bank. the customer desire that one of the staff member fill in a slip for him. Therefore. As far as possible.

Clerks representing various banks meet at a common place. because it is the main source of earnings. UBL of Pakistan also takes incitation to attract as much depositor’s as it can. The various amounts of receipts and deliveries are now added up and a balance is struck there in and the final settlement is effected by the supervisor of the clearing house by transferring balance kept and the central bank by these various clearing banks. which they willingly deposit with the Bank.The mechanism of setting inter bank indebtedness operates as follows. It attracts surplus balance from the customer at low rate of interest and makes advances at a higher rate of interest to the individuals and business firms. Credit extensions are the most important activity of all the financial institutions. the clearinghouse.2 Deposits Department The primary function of united bank of Pakistan is to accept and receive surplus money from the people. Like all other Banks.6. Advances department is one of the most sensitive and important department of the bank.6. The deposit department accepts/collects deposit from accountholders. The United bank offers different deposits schemes which include the following: • • • • Current Deposits PLS Saving Deposits Fixed Deposit Account ( Time Deposits) UBL Premium Aamdani 1. and every day. It provides the following advances 11 . 1.3 Advances Department The bank is profit seeking institution. Every clerk then delivers to the others the cheques and the other claims which their respective banks hold against his banks hold against his bank cheques and other documents dishonored will be returned to the representative of the respective bank.

4 Computer Department This department is playing very important role in making the banking procedures faster and help the bank for providing better services to its customers. Preparation of advances record. Demand finance. weekly.6. 1. MT. Accruals & recovering of Markup on finances on periodical basis.• • • • • Running finance (Overdraft) Agriculture advance to farmers Demand finance against gold(DFG) Agriculture finance against gold(AFG) Advance salary The Advances department deals in following transactions. Checking of computer outputs of the department on daily basis. • Preparation and submission of proposals of Running finance. IBCO etc to various branches by debiting the limits. and annually statement to the hire authority. daily. PO. Balancing of all financing heads. Timely submission of returns/reports. monthly & quarterly. Preparation of weekly. quarterly. Transfer of funds from one account to another account of the party taking the authority letter. 12 . Approval of transfer of funds through DD-TT. monthly. • • • • • • • • • Preparation and posting of vouchering of all type of finance. Cash finance. Finance against imported merchandise etc for sanction of finance limit from the hire authority.

• Branch Mail Transfer form 13 .UBL has three types of branches in all over the Pakistan. Customer fills the form given by bank. These include I. 1. These branches are directly link with central computers. On Line Branches The branches which are directly link with central computer AS-400 through wide area networking in through fibers optics. II. If the customer has an account with that amount as mentioned in the application form then concerned officer will undertake the following procedure to make the mail transfer complete. Batch Branches The branches where all the transactions are carried out with the computer base systems but these branches are not connected with to the central computer with wide area net working. Manual branches report regional office about their daily transactions.6. III. Manual Branches The branches where all transactions are carried out manually and records are maintained on registers usually stored in big wardrobes.5 Remittance Department Remittance department performs following functions: • • • Mail Transfer (MT) Telegraphic transfer (TT) Demand Drafts (DD) Mail transfer (MT) When a customer requests the bank to transfer his money from one branch of the bank to another branch of the same bank or from one city to another city to the same bank or any other bank.

Demand Draft (D.T and T. The idea behind it is to avoid the risk and burden of currency notes in huge quantity.• • • • Receiving Branch Register copy Issuing Branch register copy Beneficiary advice Advice to Customer In case where the customer is not account holder of the bank then the customer will have to deposit the amount which he wants to transfer under Mail. After filling the application form the concerning officer shall fill the telegraphic transfer form. The bank performs this function through Demand Draft Purchase or simply called DD Purchase. The pension disbursement department is responsible for making pension payments to Government Pensioners. This department performs following functions: 14 .D. The person who wants to receive his/her pension from UBL can open an account with any branch of UBL of Pakistan. 1.T Draft is only issued when the Bank shows customer and bank has confidence in him. In fact. the bank persuades the customer to transfer money by drafts and avoid the risk of frauds involves in M. Then it is sent to the required bank that after receiving it immediately makes the payment to the customer and after wards the voucher are sent to that bank by ordinary mail.6 Pension Disbursement Department The United Bank of Pakistan was Pakistan’s leading institution which performs the function of pension payments or disbursements to pensioners.) Demand draft is just like cheques and issued when the customer wants to take cash with him personally. Demand draft can easily be handled whatever amount it has and the money can easily be taken from the bank when it is presented.6. Then the above said procedure will be done. Telegraphic Transfer (TT) This type of transfer is simple.

Determining the correct residential and permanent address. The following requirements are necessary for opening an account. business organizations such as sole proprietary concerns. The documents required for United bank of Pakistan’s Account opening are showed as Annexed VII at the end of this report. partnership firms.• • • • • Making Pension Payments Opening of Account of Pensioner Entry of amount paid to pensioner in Government Pensioners Register Verifications of Signatures of Pensioners Making Demand Draft Purchase Register 1. Ascertaining the genuineness of the stated occupation business of the customer. responsibility. and limited liability companies as well as non-profit organizations like clubs. Functions of Account Opening Department • • • Providing account opening form according to the customer's requirements Guide the customer about the requirements of the account opening and form filling Check the forms whether they are correctly completed or not 15 . who has attained the age of majority and is of sound mind can open and maintain his/her account. Any individual. Proper completion of documentation. integrity. may open their accounts. Completion of all relevant columns of the Account opening form.6. trusts. Identification of the new customer. A person who wishes to open an account with the bank has to fill an account opening form obtained from any branch of UBL of Pakistan. Two or more individuals may open an account jointly. occupation and the nature of business of the perspective customer. Similarly. This department performs the duty of opening accounts for customers. associations and NGO’s etc.7 Account Opening Department The opening of an account is the establishment of banker-customer relationship. It also issues checkbooks to customers. The bank officer tactfully obtains information about character. societies.

• • • • • • • • Preparing checklist Stamping on the form Maintaining account opening register Pasting of forms in register after release from general banking in charge Issuance of cheque books Issuance of accounts maintenance certificate Closure of account Verification of signature in case of cheque presented before releasing of account opening from SS card is not yet scanned ORGANIZATIONAL STRUCTURE Branch Manager Assistant Manager Officers Cashiers 16 .

17 .Organization Chart The organization design of UBL is Horizontal (which has low hierarchical level). There are different Groups containing 10 to 12 people which are assigned different tasks to work on each group has its own supervisor who supervise all employees in its group.

Source: (http://UnitedBankLimited.com) Chapter # 2 Personal Learning & Experience 18 .

To evaluate and retain those employees who are assets to the company.In this period I have been able to go through the whole function of UBL. 2. Career Development planning for all employees of the company. Maintaining data records of all employees of UBL (Human Resources information System). However due to my personal interest in HR. UBL analyze its strengths with weakness and opportunities with threats to maintain its comparative advantage.1 HR Objectives The objectives are to look out for the well being of all employees of the UBL.2 UBL HR Planning’s and Policies United Bank Limited follows Business-level/Competitive Strategy (competitive strategy identifies how to build and strength the business’s long-term competitive position in the market place) because of vast number of its competitor in the market place. The competitive advantage of UBL is based on Differentiation. Ensure thorough training of nationwide employees. management of UBL focus on improving my knowledge about the HR system of UBL.1. To provide individual employees with orientation on the company at the time of joining. Provide leadership and direction to employees of the company.0 Personal Experience Internship tenure was about six weeks .2.1 HR Functions Following are the major Human Resource Management Functions of United Bank Limited 2. Here I have tried my best to explain the HR system of UBL. 2.1. It provides different online and 19 . To provide employees with solutions to their problems.

offline services to win its customer and periodically analyze the competitive marketplace to enhance its services at a high level. 2. bonuses and stock option so keep up and generate external candidate by offering good salary packages. The performance appraisal of each employee is conducted annually in UBL. 20 . Accommodations etc.2 Attracting Methodology Generating required Human Resource policy of UBL is that they attract the current employees by offering them Promotion. Career oriented jobs. 2. increment. Cash award.3 Investment in Development & Performance UBL invest in HR Development and performance by promoting or giving rewards to those employees whose performance is better.

(http://UnitedBankLimited.4 Organizational Values • • • • • Trust and Integrity Respect for people Responsible corporate citizens Passion for business excellence Commitment to total customer’s satisfaction 21 .com) 2.

First UBL define its business strategy. The employees of UBL will always be helping and friendly with its customers. Job analysis produces information used for writing job descriptions and job Specifications. Employees have to follow formal code of ethics of United Bank Limited 2. 2. Then it designs the HR scorecard and periodically evaluates the measurement system. After that UBL devise its HR policies and practices (what new training is required?). Employees can easily communicate horizontally and vertically which help to achieve its goals and objectives. Culture is comprised of the assumptions. values. UBL follow the seven steps to measure its HR department. 2. The organizational culture of UBL is that it always provides profit to its stakeholder and never misrepresents its financial reports and will never do any unethical act which harms its client and competitor.1 Techniques for Job Analysis 22 .6 Job Analysis Job Analysis is the procedure through which you determine the duties of the position and the characteristics of the people to hire for them.5.5 UBL Culture United Bank Limited culture is the personality of the organization. Then it outlines what organizational outcomes (goals and targets) the bank has to achieve. Then it evaluates the workforce required to achieve the goals.2. Environment is very friendly due to group coordination. norms and tangible signs (artifacts) of organization members and their behaviors. Second its outline the company’s value chain activates (activities which create value for customers and related supporting activities).6.1 UBL Working Environment The working/organization environment of UBL is very sophisticated. 2. The norms of UBL are it always follows the Laws of country and maintain its goodwill.5.2 HR Measuring Method United Bank Limited uses Scorecard Approach to measure the effectiveness and efficiency of HR department.

UBL only use Qualitative Techniques of analyzing jobs. new branches etc and number of employees needed to perform tasks. revenue. 23 .8 Recruitment In order to determine the future staff needs United Bank Limited uses Ratio Analysis technique (a Forecasting technique for determining future staff needs by using ratios between. Job evaluation technique used by UBL is Ranking Method in which each job relative to all other jobs according to its difficulty level like for example job of supervisor is tougher than the manager working under its supervision.2 External Recruitment Sources External source for hiring employees use by UBL is Succession Planning (the ongoing process of systematically identifying. create a list of competent employees who can fulfill the requirement of that job and then select the best employee who can perform that job efficiently and affectedly. 2. Head hunter and Word of Mouth. The techniques UBL uses are Interview and Open-ended Questionnaires. special skills and so on to be used in selecting inside candidates for promotion) so in order to replace a supervisor of a department a person below educated than the current supervisor will be selected as a new supervisor. The internal sources used by the United Bank Limited for hiring candidate are Advertisement. 2.7 Job Evaluation Job Evaluation is a systematic comparison done in order to determine the worth of one job relative to another.8. They use interviews in which employees are ask what the job entails and questionnaires in which employees are asked different question about what are the activates they perform in job. 2. assessing and developing organizational leadership to enhance performance) in which UBL do analysis on the important or key jobs in the organization.8. languages.1 Internal Recruitment Sources In forecasting the supply of inside candidates UBL use Qualifications inventories (manual or computerized records listing employees education career and development interests. 2. for example sales volume and number of employees needed) in which trend between two trends is determined like volume of deposits.

• • www. subscribing the jobs on Job sites e.monster. lack of resources etc. But due to some circumstances there is flexibility in hiring the employees externally and internally for example non availability of required candidates. it is extremely critical for his/her continued participation in the examination process. person on referral is qualified and competent etc. Before that candidate has to review thoroughly what the Job advertisement specifies the requirements to qualify for the position. Age and health of candidate.2 Written Tests Written exams are usually obtained from one of several test construction firms available to them.9 Selection Selection process of UBL based on Qualification. Newspaper. previous performance.com UBL has hired its own Retained Executive Recruiters/Head hunter (Executive recruiters are special employment agencies retained by employers to seek out top-management talent for their clients) to find competent and qualified people for UBL. 2.9. prior work history.9.pk www.Usually United Bank Limited don’t take Referrals but due to some reason they do sometime take referrals for example referral form a high command person. These tests are designed to determine level of technical and/or analytical abilities associated with the particular position for which candidate had applied. 2. this show about the candidate’s education.rozee. lack of time. Candidate must meet all the criteria to be considered for the position. 2.In advertisement they use different mediums like Television. experience.1 The Application Form For selection process the first step which candidate to be fulfilled is application form. hobbies and health condition? As such. otherwise candidate will be wasting his effort in completing the application. Unstructured questionnaire and IQ test 24 . ensure that. Previous job experience.g.

Individuals with considerable relevant experience will conduct the evaluations. are evaluated. Instructions will be given on the tasks to be completed and then asked to complete them. location and duration of the test.9. If receive a passing score candidate will be invited to continue in the examination process 2.3 Performance Exams Test ability to accomplish specific job-related tasks by providing the opportunity to actually perform them.9. These tests are scheduled through the Human Resources Department office. organizational cultural development and career development of employees. time.10 Training & Development Training refers to the methods used to give new or present employees the skills they need to perform their jobs. adaptability. Development include employee. organizational and career development which develop employees skills. He/she may interview anyone on the list. with notification in writing of the date.(intelligence test) Test results are sent by mail. quality of work. The candidate who is selected. On-The Job Training and Class Room lectures. Specialized Testing 2. management. The Department Head is responsible for setting up Selection Interviews. Safety. investigate his/her background and a probationary period before attaining permanent employment status. 2. the candidate is required to provide proof of identity and proof they may legally work. management which enhance executive’s abilities. Additionally. performance under stress.4 Selection Interview Once the List of candidate who is capable enough. etc. 25 . usually within 6 working days. The Department Head will be looking for the candidate with the best qualifications for their particular position. in accordance with Federal Law. is established it is sent to the Department(s) that is hiring to fill a current vacancy. Training methods used by United Bank Limited are Soft Skill Functional Training.

social grace. any injury while doing job tasks and some other. In disability insurance bank provides financial support when an employee becomes injured or ill and is unable to do his/her job and in education & training programs bank provide different education & training to their employees to furbish their skill. holiday pay and sick pay. Employees can claim their compensation if any above case occurs. In On-the job training UBL uses different method like Coaching or understudy method in which supervisor act as a coach and teach the trainee to the perform the task on the job and Job rotation method is used by UBL for those employee who need multi skills to perform the job. Employee is then rated by identifying the score that best describes his or her level of performance for each trait) in which UBL measure the characteristics and previous performance of employees and then rank them subsequently. In Paid time off benefits the employee is paid for the time he don’t worked duo to vacation. Cancelled Holidays fees. friendliness. Retirement. Education and training programs.13 Stress Handling 26 .12 Compensations and Benefits United Bank Limited provide compensations to its employees in shape of Cost of any medical Treatment. Retirement benefits are in shape of pension. Repair of vehicle. 2. In the performance process UBL first discuss the job and duties assigned to the each subordinate in the Groups. After that they compare their actual performance with the standards which are set by the UBL.In soft skill functional training UBL give training to improve personality traits. Benefits which are provided by UBL are Paid time off. 2. 2. Then the performance reports of subordinates are discussed with them and make plans if any development is required or not. gratuity. personal habits and fluency of language.11 Performance Appraisal In performance appraisal of employees UBL use Graphic Rating Scale Method (a scale that lists a number of traits and a range of performance for each. provident fund and superannuation fund. Disability Insurance.

UBL culture and environment is also better as we compare to its competitor because there are some ethical norms. Loan etc which increaser the per capita and living standard of civilians. Interview is the most commonly used for job analysis. Lunch break are also provided to employee to reduce stress among them. UBL is playing a very significant role in providing employment. While measure the efficiency and effectiveness of HR department functions Score Card Approach is best and most frequently used in corporate environment.UBL use qualification inventories. UBL use interview and questionnaire to ask for employees what the job entail and then write the job description and job specification. relaxing in which employees work their best. 2. It has at a vast level providing online service and one of the leading banks in e-banking in Pakistan. advertisement and head hunters to find new talented employees.The techniques used by United Bank Limited to handle stress among its employees are by providing better atmosphere in the office which is neat & clean. This approach easily gives UBL accurate results. peaceful and relaxed so employees can work with their full potential. The recruitment methodology used by UBL is Ratio Analysis in which ratio between two trend is determined which is one of the best method to forecast future employee need. This is not the best one as compare to some of its competitors. values which are the soul of UBL and the environment is very self-relieving. This also creates a relaxed atmosphere because employees can chit chat in that break. Air-conditioned. For job evaluation UBL use ranking method in one job is compared from another. The Horizontal organization design of UBL is also the reason of its success because as compare to vertical organization design horizontal is better due to fast and easy flow of communication among the employees.14 Critical Evaluation of HR Functions As we review the HR Functions of United Bank Limited we asses that UBL have strengthened its roots in the market place and competing with its competitors successfully. United Bank Limited sometime also arrange excursion tour for their employees to lessen their workload and fresh their mind for the challenging task ahead them and sometime send employees on vacation with their families. But UBL sometimes due to some reason show flexibility to hire new employees in which low 27 .

UBL conduct performance appraisal at the end of year so the session is of one year. Education and training programs to their employees. For Training and development UBL use different method which are Soft Skill Functional Training. The visiting card of HR manager is also attached. Employees stress handling during the work is also best UBL handle stress of its employees like many of its competitor are not be able to handle. on-the job Training and class room lectures. 28 . The compensation and benefits plan of UBL are also very good as to its competitors. This is all the information that we get from UBL HR manager. They provide Paid-time off. UBL only take Intelligence test (IQ) to analyze new employees for selection due to which people who are not intelligent but have other skills are not hired. Disability Insurance. For performance evaluation of employees UBL use Graphic rating scale method which promote and give rewards to employees due to their good traits and performance during the session. Retirement.competent employees are hired and referrals is also the reason of hiring unqualified and not competent people. These methods are the main reason for UBL success and Good services.

Chapter # 3 SWOT Analysis 29 .

• • Stands in the list of Profitable bank in stock exchange Largest number of corporate deals by any bank is Pakistan 30 . • Courteous Customer service and fast delivery of online and offline services has bring it among the top banks. • Marvelous Image and Reputation of the bank in the eyes of its customers because of their good service and their concern about customers. Strengths • • • 3rd largest Bank of Pakistan in term of deposits 2nd largest Privatized Bank of Pakistan UBL offering Customized Products and service competitors better than its • UBL has improved operational efficiency and it is much improved than its past.3. • Extensive Branch network help the customer in easily accessing it. UBL Product positioning is very effective UBL target the segment like salaried person.0 SWOT Analysis i. business people and self employed person • • • UBL product positioning affect the life style of the people as they help in improving standard of living • 1400 Branches all over Pakistan and many outside the country which helps a lot in connecting people.

urban areas of Pakistan service of UBL is not good as compared to other privatized banks • The application time is also quite lengthy and this is not good for the bank as this hurdle will be the cause for customer dissatisfaction. ii. Majority of employees have many years of experience in banking sector and are an asset for the bank. • • • UBL is a step behind in using new technology as compared to other banks All branches need orientation for customer dealing. • In some regions. Most of the employees are overload with the work and promotion is also not timely and this decreases the motivation level of employees. • Most of employees are experienced and they are not able to deal customers well. adopt new culture and above all they are unable to use of new technology like computers. • Employees are not well dressed and this matters a lot because customer is noticing everything and it doesn’t create a good impact of employee. • No separate training center to train their employees as a result of which they are unable to deal with new technology in a better way.• • • Overseas Branches Attractive Salaries and incentives for employees Personnel of UBL are very well trained. Weaknesses • No standardization in terms of branches some of the branches are very attractive and most of the branches are not very good like other branches. • Workforce is not diverse 31 .

• 3. • By bringing new technology and modern business processes will bring the change and increase their profitability • Call centre services should be improved to enhance their network and this help them a lot in understanding what are the weaknesses in their functioning iv. If security will not be improved customer will not prefer to come to the bank.1 General observation 32 . • High operating costs of UBL is going to be a great threat for bank. • Proper orientation of employees in all branches can help them to cope up with foreign banks and changing situations.• Security system in most of the branches is not up to the mark and this is one of the most serious problems now a days. Threats • Large and increasing competition is facing by UBL because more and more banks with more benefits for their customers are emerging now a day. iii. it would increase their sales and increase customer trust. Lack of huge deposit is one of the hurdles are facing by UBL. Opportunities • Bank can extend its network in other cities of Pakistan like other remote cities.

This not only creates confusion among employees but also hurting and disturbing for overall setup of the bank. This analysis is mainly based on my general observation.1. Poor record management and filing system During my internship I observed that filing system of branch is not good. Personal management’s analysis. • • • 3. • Problems at the branch Functional analysis Administrative analysis. It’s quite hard for a new customer or potential customer to get the required information. And above all it results in dissatisfaction among customers as well.I have divided general observation in four parts which are as under. but during rush hour the customer has to wait for a long time for their turn. When certain record is needed the staff has to struggle to find it out and a lot of time is wasted. On one hand some employee have to work all day without relaxing while some others have nothing to do at all. Unequal distribution of work Work is not equally distributed.1 Problems at the Branch Customer Satisfaction In UBL customer dealing is well. Marketing visits 33 .

when they have common purpose and they are willing to work. The formal organization comes into being when people are able to communicate with one another or willing to act and share a purpose. Such visits are important in informing and perusing the existing and potential customers about the products and creating a sense of belongingness with them. which are cautiously determined groups and coordinated towards a given objective.2 Functional analysis Formal Organization Formal organization includes the activities of two or more person. It provides base when people are able to communicate with other. Bank duty to maintain secrecy 34 . 3.A useful mode of contact is through personal marketing visits. because first he has to talk to his immediate superior and follow a proper channel of communication. Bernard referred to an organization as a formal when the activities of two or more persons are coordinated towards a given objective. Difference between theory and practice A vast difference exists between theory and practice and UBL has written procedure but practical work done by employees is a bit different from written procedures.1. In this formal organization of UBL the activities are carried out in a more formal way. we find a formal organization. In UBL. In theoretical terms it provides basis for communication with one another but in practice it is not exercised because an employee at high level cannot get straight away to manager or SVP and ask him about of his problem faced by him.

he has to take the approval from his management authority i-e. compensated or promoted. the customer have to wait for hours. especially during the rush hours.1. This creates dissatisfaction among employees. Excessive paper work It is notified that due to the lengthy procedure of paper work the bank employee are over burdened. People with simple or complex responsibility are getting the same salary and facilities. In UBL salaries are given according to the seniority and grades. In this regard another shortfall is in giving the information about the balance on telephone. They speak loudly about the account position and while getting clearance of cheque the person can easily get the whole information from the ledger. Carelessness in opening of account 35 . This discourages both customer and officers because they have to suffer a lot. Delegation of authority Manager has very limited authority. The deposit clerk must be careful while passing any cheque. 3. The other problem is created. Most of the employees are simple graduate and do not have proper background about their job. when the manager is not present in his office.3 Administrative analysis Job analysis is not effective Only on the basis of job analysis it can be decided how a right person can be hired. This creates problems both for organization and for the employees. One reason for lengthy procedure and excessive paper work in the bank is the lack of computerized technology. In case of advance he has to take the approval of general and regional manager.They don’t care about maintaining secrecy. trained. It is very important for an organization that nature of the job is described and job specifications are mentioned. They are unable to give proper attention to the clients and face difficulties in getting their job done.

Training is generalized rather than specialized. which results in customer dissatisfaction. Job rotation is very important for employee especially for those who are newly recruited. Lack of specialized training UBL does not provide adequate facility of specialized training to their staff. he is inducted into a specific field without having great deal of knowledge about the field. It reduces career opportunities as well boredom and in the end results in career platueing. The newly recruit should be rated in all department of the banking in order to get familiar with working of different departments so that when they get a responsible position they have know how of the whole system. A person placed in one department remains their forever. On the other hand he may be involved in any fraudulent activities against the bank. Lack of appreciation 36 .When customer comes to open an account. It is important because in case of overdraft by mistake or anything which places his account in debit it will be difficult to trace him. Bank should increase their profit rates to attract customers. Poor job rotation There is absence of job rotation . the staff does not bother to check his/her place phone number and permanent address. As the worker finishes his training. In this case the bank will be in awkward position. Low Profit Rates Most of the customers shifted their account to the National Saving Center because of the low rates of saving deposit discourages the customers. Delays in Loan Advancement It has been observed that there are delays in sanctioning of cases form the head office.

Once the candidate is selected and placed on the respective job. training. They should learn new methods for motivating customers. Manager is not only responsible for their own units in business. grievance handling and taking immediate initiative in crisis situation to take majosr decision affection the future of the bank and banking community. Training of the personnel is part of human resource management. If the personnel are recruited carefully they can become asset to the organization in the case of carelessness a liability on the organization. nepotism 37 .1. Developing Managerial Leadership Leadership is a practical term of visible. If hard work and performance of employees is not recognized and appreciated they become dishearten which results in decline in performance. clear on objective and communicating better control on financial and administrative matters. Bank is not following its recruitment policy properly due to favoritism. but also in people terms i. recruiting.e. Recruitment policy Human resources are the lifeblood of the organization. It becomes essential to train him adequately for the task.4 Personal management analysis Need for better training program Need of training is greatly emphasized all around the world. The training programmed of the bank should include scientific techniques to improve the decision making and interpersonal as will individual needs of the employee both specialized to fresh as well as on job to maintain the high standards of service. 3. It has been noticed that the training program of UBLis not adequate.Another very important thing which is ignored in the bank is appreciation if the employee on their good performance.

38 . more prestige. Thus a better and impartial policy of promotion needs to be followed. Both the top authority and staff union tries their best recruit their favorites. which gives a sense of deprivation to the deserving employee and their efficiency is affected. so the new young person having high qualification remains behind for quite a lot of time. The Bank employees are doing very little on their own to explore the possibilities of selling banking services to them as a marketing contributor. Transfer Transfer means when a person is shifted from one place to another place. Promotions Promotion in UBL is purely on the basis of seniority.and political pressure. As the concept of promotion is attached with better in terms of greater responsibility. the question is that if he has the art and urge to seize such opportunities. The market opportunities are hidden in every dealing a banker handles. It is done either that person is needed more on the other branch or for improving his skill variety. pensioners. The entire Bank community should make a conscious effort in addition to their normal work to explore the possibilities of selling banking services to them. Top management and staff union put pressure for the promotion of their favorites. safe custody. Marketing at desk Bank employee come in daily contact with many people who happen to deal with the casual remittance. indulgence of political pressure add salt to the wounds. travelers cheques. It is the policy of the Bank to transfer each employee 3 to 4 years. The persons selected through these channels are infantile and do not work for the betterment for the bank. greater skills and increased rate of salary. depositing license fee and variety of other functions and variety of other people with whom the Bank has no account or regular business relationship.

Lack of business communication There is no proper way to give information to their customer. 39 . Some general information should be placed in information notice board on the entrance where customer can see it easily or it should be self-attractive. it is recommended that the bank should provide brochures etc containing information in details. To avoid this minor dissatisfaction and tension in the mind of customer. and deficiency of the service.

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Chapter # 4 Recommendations & Conclusion 41 .

Many of its competitors have better HR function as compare to UBL Bank. Panel Interview should be conducted then individual interview I suggest that UBL should use Paired Comparison Method for performance appraisal • • 42 . I suggest and recommend that first of all • There should be a development of Assessment Center so that employees should be train at high level. • I recommend UBL should use University Recruiting from honored universities. • • Referral should be ignored in order to get the talented person.0 Suggestions/Recommendations During my internship I analyze the HR function of United Bank Limited are not one of the best HR function of corporate world.4. I suggest that UBL should used Diversification corporate strategy in which new and innovating services should lines • UBL should use Participant Diary/Logs and Position analysis Questionnaire method with their current methods so for writing Job description • UBL should use a combination of Ratio Analysis and Trend Analysis (study of a firm’s past employment needs over a period of years to predict future needs) for recruitment.

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