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To be the premier organizations operating locally & internationally that provides the complete range of financial services to all segments under one roof.
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.
Chapter#1 Introduction of UBL
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.
the reason why this word was given to the banking business was the then prevailing traditions of Lombardi a 5 . In the opinion of the eminent scholars of banking. which means a table or a counter. Formally arranged interviews and discussions also helped me in this regards. The methodology reported for collection of data is primary as well as secondary data.2. In addition.2.2 Secondary data • • • Manuals Annual reports Internet 1. 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.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.3. 1.Secondly.1 Primary data • • Personal observation Interviews of staff 1. The biggest source of information is my personal observation while working with staff and having discussion with them.3.3 Definition of banking The word “Bank” is of a European origin and is derived from the Italian word “BANCO”. 1. 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.3 Research Methodology The report is based on my two months internship program in United Bank of Pakistan.
3. the central bank. These DFIs were either controlled directly by the state or through the SBP. which assumed the role of a banking holding company but with limited supervisory powers. Within a short period of time. often with disregard to the viability or feasibility of such expansion. The bank was sponsored by the saigol Group of Companies. 1. It assumed the supervisory and monetary policy powers of the State Bank of India. The State Bank of Pakistan.money changers.4 History of United Bank Limited United Bank Limited was established in November 1959. 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. However.2 Brief History of Banking in Pakistan Prior to partition in 1947.3. which were the mainstay of the textile industry in Pakistan at that time. was formed after partition in 1948.1 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. In 1974 all domestic commercial banks were nationalized by the Government. The branch network of UBL also proliferated in an effort to provide banking services to all regions/territories of the country. Nationalization of the banking sector led to pet projects. PBC was dissolved in 1997. and were intended to concentrate on specific priority sector lending. leaving the SBP as the sole regulatory authority for banks and financial institutions in Pakistan. the bank emerged as the third largest in the country after 6 . The Pakistan Banking Council was established. 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. 1. banking in Pakistan was dominated by branches of British banks.
Atif R. due to flaws in the transaction.5 billion was recovered in cash. Later on another bank the commerce bank limited was merged into UBL. The UBL Board of Directors of are: Highness Shaikh Nahayan Mabarak Al Nahayan Sir Mohammed Anwar Pervez OBE Mr. and deposited the first tranche for its consideration. The bank was nationalized in 1974. 1959 and incorporated as a Public Limited Company under Companies Act 1913. its deposits were RS. Abdul Pauf Malik Chairman Deputy Chairman President & CEO Director Director Director Director Company Secretary & Chief Legal Director 7 . UBL was the third bank to be offered for privatization. 1. 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.HBL and NBP. In 1996 the management of the bank was changed and by mid 1997 the financial and administrative discipline was restored.6.3 billion were recovered out of which about RS.25 billion in 1995. 4. the SBP cancelled the privatization and took over the bank in 1995. However. Ashfaque Hasan Khan Mr.724 million in 1995. Omar Ziad Jaafar Al Askari Mr. Initially. Aqeel Ahmed Nasir Mr.5 billion were domestic and of this about Rs. 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. Zameer Mohammed Choudrey Mr. 109 billion and investments were RS. Bokhari Mr. a Saudi based financial institution.5 Introduction of UBL United Bank Limited was established on November 7. UBL incurred a loss of RS. The Bank’s total income including interest and non-interest income amounted to RS. Surplus staff was removed which amounted to 5416 employees.4935 million in 1995. Bashrahil Group came up with the highest bid for the bank. About RS. Ahmad Waqar Dr. The entire audit system was revamped.
ublfunds. 1.Mr. and some other services are UBL netbanking. UBL Cashline. Rupee Trans A/C. Ameer Karachi wall Chief Financial Officer The Bank is currently operating 1400 Branches Domestically and 15 Branches Overseas (USA. Different departments do their jobs in accordance with the bank policies . UBL Drive. Qatar.6 Departments at UBL Banking procedures are divided between various departments.com www. UBL Click n Bank. UBL Money. UBL Click n Remit. UBL Businessline. UBL Wallet. Switzerland United National Bank Limited.ubl. Term Deposits Receipts. Bahrain and Republic of Yemen). UBL e-statement. FCY Savings.com www. The loan and card services are UBL Address. UK UBL Fund Managers Limited UBL due to its innovative corporate culture wins their customers trust.ublonline.com. UAE. Basic Banking Account.pk www. UBL is running four websites to provide information and customer services which are: • • • • www. Hamrah.In UBL each branch is divided into various 8 . UBL UniSaver. UBL UniFlex.ublinsurers. After the privatization of banking sector in Pakistan UBL implemented its strategies to achieve the comparative advantage in the Market place. UBL Credit Card.com The depositing services offered by UBL are Business Partner. UBL Profit COD. UBL TezRaftaar. UBL hold 51% of its total shares other 49% shares are owned by Government. and FCY Term Deposits. UBL subsidiaries are: • • • United Bank AG Zurich.
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.1 Clearing House Department Like Every bank UBL also acts in two way i. Advantage of clearing house 9 . It is.e. an important function of crossed cheques.Head of department manages each department & officials of the branch follow the procedures. drawn up to other banks for a customer. Clearing house A clearing house is the place where representatives. • • Paying Bank Collecting Bank Here in theory no legal obligation on a banker to collect cheques.departments according to their size and volume of business . A large part of this work is carried out through the bankers clearing house wherever it is established. 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 1.6. however.
It prevents the cost and waste involved in collection each and every cheque and claim.The advantages are manifold. or sub-members of the local clearing house. Procedure of depositing cheques in clearing department Whenever a customer wants to deposit cheque. Functions of clearing department The following are the main functions of clearing department. Therefore. A banker has no legal obligation to collect cheques drawn upon other banks for the customers. Procedure of clearing at clearing house 10 . otherwise they will face more difficulties. • 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. So. 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. the customer desire that one of the staff member fill in a slip for him. • To accept transfer deliveries and clearing cheques from the customer of the branch and to arrange for their collection. though modern banks have assumed this important function of their own choice. Which a banker holds against another. sent for collection by those UBL branches which are not represented a local clearing house. across the counter with all the danger of loss in the transit incumbent upon it. it is very important that since they have assumed this function. sub-members of the local clearing house. if they provide this facility when the cheques are crossed. • To collect amounts of cheques drawn on members. etc. As far as possible. clearing house works under the control of State Bank of Pakistan. he should be obliged promptly. he fills a pay in slip and hands it over the counter along with the instruments he wants to deposit with bank. thereby minimizing the necessity of holding large cash balances. 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. the banker should be very careful in their performance.
because it is the main source of earnings.6. UBL of Pakistan also takes incitation to attract as much depositor’s as it can.3 Advances Department The bank is profit seeking institution.The mechanism of setting inter bank indebtedness operates as follows. Clerks representing various banks meet at a common place. 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. It provides the following advances 11 . Like all other Banks. the clearinghouse. 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. The United bank offers different deposits schemes which include the following: • • • • Current Deposits PLS Saving Deposits Fixed Deposit Account ( Time Deposits) UBL Premium Aamdani 1.2 Deposits Department The primary function of united bank of Pakistan is to accept and receive surplus money from the people. The deposit department accepts/collects deposit from accountholders. which they willingly deposit with the Bank. and every day. 1.6. 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. Advances department is one of the most sensitive and important department of the bank. Credit extensions are the most important activity of all the financial institutions.
quarterly. 12 . Balancing of all financing heads. Transfer of funds from one account to another account of the party taking the authority letter. Cash finance. Checking of computer outputs of the department on daily basis. and annually statement to the hire authority.• • • • • 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.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 and submission of proposals of Running finance. monthly & quarterly. Timely submission of returns/reports. Finance against imported merchandise etc for sanction of finance limit from the hire authority. • • • • • • • • • Preparation and posting of vouchering of all type of finance. PO. IBCO etc to various branches by debiting the limits. daily. Preparation of advances record. 1. monthly.6. Accruals & recovering of Markup on finances on periodical basis. Demand finance. weekly. Approval of transfer of funds through DD-TT. MT. Preparation of weekly.
These branches are directly link with central computers. Manual branches report regional office about their daily transactions. II. 1. III.UBL has three types of branches in all over the Pakistan.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. Customer fills the form given by bank. On Line Branches The branches which are directly link with central computer AS-400 through wide area networking in through fibers optics. • Branch Mail Transfer form 13 .6. Manual Branches The branches where all transactions are carried out manually and records are maintained on registers usually stored in big wardrobes. 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. 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. These include I.
• • • • 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. the bank persuades the customer to transfer money by drafts and avoid the risk of frauds involves in M. The pension disbursement department is responsible for making pension payments to Government Pensioners. 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. In fact. The bank performs this function through Demand Draft Purchase or simply called DD Purchase. Demand draft can easily be handled whatever amount it has and the money can easily be taken from the bank when it is presented. After filling the application form the concerning officer shall fill the telegraphic transfer form. 1.) Demand draft is just like cheques and issued when the customer wants to take cash with him personally.T Draft is only issued when the Bank shows customer and bank has confidence in him. Demand Draft (D.6. The idea behind it is to avoid the risk and burden of currency notes in huge quantity. Telegraphic Transfer (TT) This type of transfer is simple.T and T. 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. Then the above said procedure will be done.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.
may open their accounts. This department performs the duty of opening accounts for customers. The documents required for United bank of Pakistan’s Account opening are showed as Annexed VII at the end of this report. Completion of all relevant columns of the Account opening form. trusts. and limited liability companies as well as non-profit organizations like clubs. associations and NGO’s etc.6. 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. who has attained the age of majority and is of sound mind can open and maintain his/her account. partnership firms. Ascertaining the genuineness of the stated occupation business of the customer. Proper completion of documentation. Identification of the new customer. Determining the correct residential and permanent address. business organizations such as sole proprietary concerns.7 Account Opening Department The opening of an account is the establishment of banker-customer relationship.• • • • • 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. societies. 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 . occupation and the nature of business of the perspective customer. Any individual. The bank officer tactfully obtains information about character. The following requirements are necessary for opening an account. Similarly. integrity. Two or more individuals may open an account jointly. It also issues checkbooks to customers. responsibility.
• • • • • • • • 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 . 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.Organization Chart The organization design of UBL is Horizontal (which has low hierarchical level).
com) Chapter # 2 Personal Learning & Experience 18 .Source: (http://UnitedBankLimited.
2. UBL analyze its strengths with weakness and opportunities with threats to maintain its comparative advantage.0 Personal Experience Internship tenure was about six weeks . Ensure thorough training of nationwide employees. To evaluate and retain those employees who are assets to the company. However due to my personal interest in HR.In this period I have been able to go through the whole function of UBL.2.2 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. Provide leadership and direction to employees of the company. Maintaining data records of all employees of UBL (Human Resources information System). management of UBL focus on improving my knowledge about the HR system of UBL.1. Here I have tried my best to explain the HR system of UBL. To provide individual employees with orientation on the company at the time of joining. It provides different online and 19 . The competitive advantage of UBL is based on Differentiation.1 HR Objectives The objectives are to look out for the well being of all employees of the UBL. 2.1 HR Functions Following are the major Human Resource Management Functions of United Bank Limited 2. To provide employees with solutions to their problems. Career Development planning for all employees of the company.1.
The performance appraisal of each employee is conducted annually in UBL. Cash award. 20 . bonuses and stock option so keep up and generate external candidate by offering good salary packages. 2.2 Attracting Methodology Generating required Human Resource policy of UBL is that they attract the current employees by offering them Promotion. Career oriented jobs.offline services to win its customer and periodically analyze the competitive marketplace to enhance its services at a high level. increment. Accommodations etc.3 Investment in Development & Performance UBL invest in HR Development and performance by promoting or giving rewards to those employees whose performance is better. 2.
(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.
6.2 HR Measuring Method United Bank Limited uses Scorecard Approach to measure the effectiveness and efficiency of HR department. The employees of UBL will always be helping and friendly with its customers. Environment is very friendly due to group coordination.5. First UBL define its business strategy.2. Second its outline the company’s value chain activates (activities which create value for customers and related supporting activities).5 UBL Culture United Bank Limited culture is the personality of the organization. Job analysis produces information used for writing job descriptions and job Specifications. Employees can easily communicate horizontally and vertically which help to achieve its goals and objectives.5. Employees have to follow formal code of ethics of United Bank Limited 2. Culture is comprised of the assumptions.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. After that UBL devise its HR policies and practices (what new training is required?). 2. Then it evaluates the workforce required to achieve the goals. Then it outlines what organizational outcomes (goals and targets) the bank has to achieve.1 UBL Working Environment The working/organization environment of UBL is very sophisticated. norms and tangible signs (artifacts) of organization members and their behaviors. UBL follow the seven steps to measure its HR department. The norms of UBL are it always follows the Laws of country and maintain its goodwill. values. 2. 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. Then it designs the HR scorecard and periodically evaluates the measurement system.
8. revenue. 2. 2. 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. 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.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.7 Job Evaluation Job Evaluation is a systematic comparison done in order to determine the worth of one job relative to another.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 External Recruitment Sources External source for hiring employees use by UBL is Succession Planning (the ongoing process of systematically identifying. The internal sources used by the United Bank Limited for hiring candidate are Advertisement. assessing and developing organizational leadership to enhance performance) in which UBL do analysis on the important or key jobs in the organization. for example sales volume and number of employees needed) in which trend between two trends is determined like volume of deposits.UBL only use Qualitative Techniques of analyzing jobs. 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. The techniques UBL uses are Interview and Open-ended Questionnaires. Head hunter and Word of Mouth. 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. languages. 23 .8. 2. new branches etc and number of employees needed to perform tasks.
ensure that. prior work history.In advertisement they use different mediums like Television. it is extremely critical for his/her continued participation in the examination process. 2. Newspaper. Unstructured questionnaire and IQ test 24 .1 The Application Form For selection process the first step which candidate to be fulfilled is application form. lack of resources etc.9. this show about the candidate’s education. • • www. person on referral is qualified and competent etc.rozee.9 Selection Selection process of UBL based on Qualification. 2. 2. These tests are designed to determine level of technical and/or analytical abilities associated with the particular position for which candidate had applied. subscribing the jobs on Job sites e. Candidate must meet all the criteria to be considered for the position. lack of time. Previous job experience. experience.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.pk www. Age and health of candidate. Before that candidate has to review thoroughly what the Job advertisement specifies the requirements to qualify for the position. hobbies and health condition? As such.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. previous performance. otherwise candidate will be wasting his effort in completing the application.2 Written Tests Written exams are usually obtained from one of several test construction firms available to them.g.monster. But due to some circumstances there is flexibility in hiring the employees externally and internally for example non availability of required candidates.9.
On-The Job Training and Class Room lectures.4 Selection Interview Once the List of candidate who is capable enough. management which enhance executive’s abilities. Development include employee. adaptability. organizational cultural development and career development of employees. is established it is sent to the Department(s) that is hiring to fill a current vacancy. etc.(intelligence test) Test results are sent by mail.9. 2.3 Performance Exams Test ability to accomplish specific job-related tasks by providing the opportunity to actually perform them. quality of work. Individuals with considerable relevant experience will conduct the evaluations. in accordance with Federal Law. the candidate is required to provide proof of identity and proof they may legally work. These tests are scheduled through the Human Resources Department office. Training methods used by United Bank Limited are Soft Skill Functional Training. The candidate who is selected. organizational and career development which develop employees skills. time. The Department Head is responsible for setting up Selection Interviews. If receive a passing score candidate will be invited to continue in the examination process 2. performance under stress. Safety. are evaluated. with notification in writing of the date. 25 . Specialized Testing 2. usually within 6 working days.9. location and duration of the test. He/she may interview anyone on the list. The Department Head will be looking for the candidate with the best qualifications for their particular position. management. Instructions will be given on the tasks to be completed and then asked to complete them. Additionally.10 Training & Development Training refers to the methods used to give new or present employees the skills they need to perform their jobs. investigate his/her background and a probationary period before attaining permanent employment status.
2. In the performance process UBL first discuss the job and duties assigned to the each subordinate in the Groups. 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. Repair of vehicle. Retirement.In soft skill functional training UBL give training to improve personality traits. any injury while doing job tasks and some other. 2. gratuity. holiday pay and sick pay. Benefits which are provided by UBL are Paid time off. social grace. Then the performance reports of subordinates are discussed with them and make plans if any development is required or not. personal habits and fluency of language. Education and training programs. 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.12 Compensations and Benefits United Bank Limited provide compensations to its employees in shape of Cost of any medical Treatment. 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.13 Stress Handling 26 . provident fund and superannuation fund. Employees can claim their compensation if any above case occurs.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. Cancelled Holidays fees. 2. Retirement benefits are in shape of pension. friendliness. Disability Insurance. After that they compare their actual performance with the standards which are set by the UBL. In Paid time off benefits the employee is paid for the time he don’t worked duo to vacation.
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. values which are the soul of UBL and the environment is very self-relieving.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.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.UBL use qualification inventories. 2. UBL culture and environment is also better as we compare to its competitor because there are some ethical norms. advertisement and head hunters to find new talented employees. This approach easily gives UBL accurate results. For job evaluation UBL use ranking method in one job is compared from another. While measure the efficiency and effectiveness of HR department functions Score Card Approach is best and most frequently used in corporate environment. peaceful and relaxed so employees can work with their full potential. 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. UBL is playing a very significant role in providing employment. But UBL sometimes due to some reason show flexibility to hire new employees in which low 27 . UBL use interview and questionnaire to ask for employees what the job entail and then write the job description and job specification. It has at a vast level providing online service and one of the leading banks in e-banking in Pakistan. relaxing in which employees work their best. This is not the best one as compare to some of its competitors. This also creates a relaxed atmosphere because employees can chit chat in that break. 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. Loan etc which increaser the per capita and living standard of civilians. Lunch break are also provided to employee to reduce stress among them. Air-conditioned. Interview is the most commonly used for job analysis.
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. These methods are the main reason for UBL success and Good services. The compensation and benefits plan of UBL are also very good as to its competitors. 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. UBL conduct performance appraisal at the end of year so the session is of one year. on-the job Training and class room lectures. 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. 28 . The visiting card of HR manager is also attached. This is all the information that we get from UBL HR manager.competent employees are hired and referrals is also the reason of hiring unqualified and not competent people. Education and training programs to their employees. Retirement. Disability Insurance. For Training and development UBL use different method which are Soft Skill Functional Training. They provide Paid-time off.
Chapter # 3 SWOT Analysis 29 .
• Marvelous Image and Reputation of the bank in the eyes of its customers because of their good service and their concern about customers.3. • Extensive Branch network help the customer in easily accessing it. 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. • • 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. UBL Product positioning is very effective UBL target the segment like salaried person.0 SWOT Analysis i. 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.
Majority of employees have many years of experience in banking sector and are an asset for the bank. adopt new culture and above all they are unable to use of new technology like computers. 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. • In some regions. • 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. 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. Most of the employees are overload with the work and promotion is also not timely and this decreases the motivation level of employees.• • • Overseas Branches Attractive Salaries and incentives for employees Personnel of UBL are very well trained. • 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. • • • UBL is a step behind in using new technology as compared to other banks All branches need orientation for customer dealing. ii. • Workforce is not diverse 31 . • Most of employees are experienced and they are not able to deal customers well.
1 General observation 32 . • Proper orientation of employees in all branches can help them to cope up with foreign banks and changing situations. Lack of huge deposit is one of the hurdles are facing by UBL. If security will not be improved customer will not prefer to come to the bank. • 3. • High operating costs of UBL is going to be a great threat for bank. Opportunities • Bank can extend its network in other cities of Pakistan like other remote cities. iii. • 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. 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.• 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. it would increase their sales and increase customer trust.
but during rush hour the customer has to wait for a long time for their turn.I have divided general observation in four parts which are as under. Personal management’s analysis. Marketing visits 33 . When certain record is needed the staff has to struggle to find it out and a lot of time is wasted. Poor record management and filing system During my internship I observed that filing system of branch is not good. 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. 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.1 Problems at the Branch Customer Satisfaction In UBL customer dealing is well. • Problems at the branch Functional analysis Administrative analysis. Unequal distribution of work Work is not equally distributed.1. On one hand some employee have to work all day without relaxing while some others have nothing to do at all. • • • 3.
In this formal organization of UBL the activities are carried out in a more formal way.2 Functional analysis Formal Organization Formal organization includes the activities of two or more person. In UBL.1. Bank duty to maintain secrecy 34 . Bernard referred to an organization as a formal when the activities of two or more persons are coordinated towards a given objective. 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. Such visits are important in informing and perusing the existing and potential customers about the products and creating a sense of belongingness with them. 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. because first he has to talk to his immediate superior and follow a proper channel of communication. we find a formal organization. which are cautiously determined groups and 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. It provides base when people are able to communicate with other.A useful mode of contact is through personal marketing visits. 3.
The other problem is created. Carelessness in opening of account 35 . he has to take the approval from his management authority i-e. 3. In UBL salaries are given according to the seniority and grades. They are unable to give proper attention to the clients and face difficulties in getting their job done. This creates dissatisfaction among employees. One reason for lengthy procedure and excessive paper work in the bank is the lack of computerized technology. the customer have to wait for hours. Most of the employees are simple graduate and do not have proper background about their job. The deposit clerk must be careful while passing any cheque. when the manager is not present in his office.1. compensated or promoted. They speak loudly about the account position and while getting clearance of cheque the person can easily get the whole information from the ledger. In this regard another shortfall is in giving the information about the balance on telephone. trained. Delegation of authority Manager has very limited authority. In case of advance he has to take the approval of general and regional manager. People with simple or complex responsibility are getting the same salary and facilities. This discourages both customer and officers because they have to suffer a lot. Excessive paper work It is notified that due to the lengthy procedure of paper work the bank employee are over burdened.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. especially during the rush hours. This creates problems both for organization and for the employees. It is very important for an organization that nature of the job is described and job specifications are mentioned.They don’t care about maintaining secrecy.
the staff does not bother to check his/her place phone number and permanent address. On the other hand he may be involved in any fraudulent activities against the bank.When customer comes to open an account. Bank should increase their profit rates to attract customers. he is inducted into a specific field without having great deal of knowledge about the field. 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. In this case the bank will be in awkward position. Training is generalized rather than specialized. It reduces career opportunities as well boredom and in the end results in career platueing. which results in customer dissatisfaction. A person placed in one department remains their forever. Lack of appreciation 36 . Poor job rotation There is absence of job rotation . Lack of specialized training UBL does not provide adequate facility of specialized training to their staff. 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. Job rotation is very important for employee especially for those who are newly recruited. As the worker finishes his training. 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.
They should learn new methods for motivating customers. but also in people terms i. 3. clear on objective and communicating better control on financial and administrative matters. Bank is not following its recruitment policy properly due to favoritism. nepotism 37 .1. It becomes essential to train him adequately for the task. training. Recruitment policy Human resources are the lifeblood of the organization. Developing Managerial Leadership Leadership is a practical term of visible. 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. Manager is not only responsible for their own units in business.Another very important thing which is ignored in the bank is appreciation if the employee on their good performance.e. Once the candidate is selected and placed on the respective job. grievance handling and taking immediate initiative in crisis situation to take majosr decision affection the future of the bank and banking community.4 Personal management analysis Need for better training program Need of training is greatly emphasized all around the world. If the personnel are recruited carefully they can become asset to the organization in the case of carelessness a liability on the organization. Training of the personnel is part of human resource management. recruiting. It has been noticed that the training program of UBLis not adequate. If hard work and performance of employees is not recognized and appreciated they become dishearten which results in decline in performance.
travelers cheques. Both the top authority and staff union tries their best recruit their favorites. Marketing at desk Bank employee come in daily contact with many people who happen to deal with the casual remittance. more prestige. As the concept of promotion is attached with better in terms of greater responsibility. so the new young person having high qualification remains behind for quite a lot of time. greater skills and increased rate of salary. Promotions Promotion in UBL is purely on the basis of seniority. It is the policy of the Bank to transfer each employee 3 to 4 years. Thus a better and impartial policy of promotion needs to be followed. The Bank employees are doing very little on their own to explore the possibilities of selling banking services to them as a marketing contributor. pensioners. safe custody. The market opportunities are hidden in every dealing a banker handles. Transfer Transfer means when a person is shifted from one place to another place. The persons selected through these channels are infantile and do not work for the betterment for the bank. the question is that if he has the art and urge to seize such opportunities. It is done either that person is needed more on the other branch or for improving his skill variety. 38 . indulgence of political pressure add salt to the wounds. which gives a sense of deprivation to the deserving employee and their efficiency is affected.and political pressure. depositing license fee and variety of other functions and variety of other people with whom the Bank has no account or regular business relationship. Top management and staff union put pressure for the promotion of their favorites. 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.
it is recommended that the bank should provide brochures etc containing information in details.Lack of business communication There is no proper way to give information to their customer. To avoid this minor dissatisfaction and tension in the mind of customer. 39 . and deficiency of the service. 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.
Chapter # 4 Recommendations & Conclusion 41 .
• • Referral should be ignored in order to get the talented person. • I recommend UBL should use University Recruiting from honored universities.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. 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. Many of its competitors have better HR function as compare to UBL Bank.4. 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.