Internship Report

on
Service Marketing of Al-Arafah lslami Bank Limited

Submitted To:
Mohammad Sabirul Karim
Assistant Professor
Department of Business Administration
School of Business
Uttara University

Submitted By:
Md. Sojib Ahamed
ID: 2193011061
Batch: 50th
Program: BBA
Major: Marketing
Department of Business Administration
Uttara University

Date of submission: 30-04-2024

 Letter of Transmittal
April 30, 2024
Mohammad Sabirul Karim
Assistant Professor
Department of Business Administration
Uttara University

Subject: Submission of Internship Report on “Service Marketing of Al-Arafah lslami Bank

Limited”

Dear Sir,

With due respect, I beg to inform you that, I am Md. Sojib Ahamed a student of BBA, 50 th batch
Department of Business Administration at Uttara University. I am very glad to submit you my
internship report prepared on “Service Marketing of Al-Arafah lslami Bank Limited.” I have
given my best effort to prepare the report with relevant information that I have collected from
various sources during my internship program from 1st January to 30th April 2024.
I pray and hope that the mistake of the report may have, will be kindly excused. So I cordially
request to you evaluating this report & enough kind to receive this report.

Sincerely Yours

……………………….
Md. Sojib Ahamed
ID: 2193011061
Batch: 50th
Program: BBA
Major: Marketing
Department of Business Administration
Uttara University
 Student’s Declaration

I, declare that the Internship Report on “Service Marketing of Al-Arafah lslami Bank
Limited” includes the results of my own research works, pursued under the supervision of
Mohammad Sabirul Karim, Assistant Professor, School of Business, Uttara University.

I also declare that the internship report is prepared for academic purpose only. This report is not
submitted by others.

………………………..

Md. Sojib Ahamed

ID: 2193011061
Batch: 50th
Program: BBA
Major: Marketing
Department of Business Administration
Uttara University
 Supervisor’s Declaration

This is to certify that Md. Sojib Ahamed a student of BBA, ID: 2193011061, has successfully
completed his internship report on “Service Marketing of Al-Arafah lslami Bank Limited”
under my supervision for the partial fulfillment of the award of BBA degree.

He has done her job according to my supervision and guidance. He has tried his best to do this
successfully. I think his program will help him in the future to build up his finer career.

…………………..

Mohammad Sabirul Karim

Assistant Professor
Department of Business Administration
Uttara University
 Acknowledgement

With Allah, all things are possible; for he has made it possible by giving me the ability and
strength to carry out this study. I say thank you Almighty Allah.

Works like this kind cannot be carried out without the help and guidance of an experienced
person. I therefore wish to express my profound gratitude to Mohammad Sabirul Karim my
supervisor for his suggestions, support, patience and constructive criticism throughout the
internship period.
Not forgetting the Lecturers and staff in the Department of BBA, School of Business, Uttara
University.

Finally, I would like to thanks my sales department team members and my superior Md Rofiqul
Islam (Principal Officer) of Al- Arafah Islami Bank Limited, Azam Branch for supporting me and
my friend Abu Nur Mohammad Shohidullah deserve thanks from me to prepared my report in all
possible way..
 Table of Content
Chapter Topic Page No.
Title Page 1
Letter of Transmittal 2
Student’s Declaration 3
Supervisor’s Declaration 4
Acknowledgement 5
Table of Content 6
Executive Summary 7
Chapter- 1
Chapter- 2
Chapter- 3
Chapter- 4
Chapter- 5
Reference
Executive Summary
 Chapter-01
Introduction
1.1 Background of the Study

The internship is a dynamic approach for practical knowledge gathered at this study. My effort
was for practical job experience through internship for business communication skill as well as
banking sectors. As a student of Department of Business Administration for the requirement of
the internship program, I was assigned to the Al-Arafah Islami Bank Limited (AIBL) for my
practical orientation.

This report is done as partial requirement of the 14 th week internship program. The internship
work done on a bank, namely Al-Arafah Islami Bank Limited (AIBL). After the practical part of
internship, I am assigned to prepare this report on the basis of my experiences. I prepared this
report on a specific topic of “Service Marketing of Al-Arafah lslami Bank Limited.”

Marketing to banking is as important as it is for any business. But what form of marketing works
and doesn't work depends highly on the target audience- where they are, and how they interact
with the business. Given the intangibility of services, marketing them becomes a particularly
challenging and yet extremely important task.
 Importance of relationships:
 Multiple Touch points
 Customer Retention
 Feedback Improves Service
 Technology Impacts
1.2 Objectives of the Study

1.2.1 Broad Objectives

To know about the service marketing of Al-Arafah Islami Bank Limited

1.2.2 Specific Objectives

 To find out customer satisfaction about banking activities of Al-Arafah Islami Bank
Limited, Azampur Branch
 To describe the customer service process of Al-Arafah Islami Bank Limited, Azampur
Branch
 To identify the customer’s expectation & perception from Al-Arafah Islami Bank
Limited, Azampur Branch
 How the Al-Arafah Islami Bank Limited develop new service.

1.3Major Difficulties Faced for Accomplishing Internship

As I am doing internship at Al-Arafah Islami Bank Limited. There I am identifying many

problems of the bank also as an intern. Those are problems are described below:

1.3.1 Lack of communication

As I am doing internship there and I am working here not for long time. For this I couldn’t
introduced with the employees and staffs well which create communication gaps among us.
1.3.2 Working for different desks

As my topic is service marketing which is included with different categories clients. For this, I
have to deal with them in different types of banking services. Most of the time Iworked in
marketing department where I have to deal with fresh customers who are come for account open
and know the banking services. But I am not familiar with all types of service which does not
allow me to become largest used by the bank expert in certain services.

1.3.3 Lack of Time

As there was only three months to complete the report, it was almost impossible to cover the
performance of the bank fully, where a regular employee gets awarded after 1 or 2 years of his
probationary period.
 Chapter-02
Organizational Profile
2.1 History

Islami Banking is a new type of banking that operates on principles adhering to the Quranic
norms forbidding usury and transactions, including granting of loans or credits for interest. The
economic rationale for eliminating riba (interest) and establishing the Islamic banking system is
based on values of justice, efficiency, stability and growth. It is assumed that under the system of
Islamic banking, the industrial and/or commercial risk is shared more equitably between the
entrepreneur and the capital owner, and the returns on investment are shared among the investors
on the basis of their proportionate capital. The conventional banks tend to serve the most
creditworthy borrowers, while the Islamic banking system looks for the most productive and
profitable projects. The Islamic banking approach theoretically opposes the idea of
discrimination in offering banking services to people of different social standings and provides
for social cohesion between different classes.

Islamic banking refers to a system of banking that is consistent with the principles of Islamic law
(Sharia) and its practical application through the development of Islamic economics. Sharia
prohibits the payment or acceptance of interest fees for the lending and accepting of money
respectively. In other words, as a Shariah-based firm, Islamic banks need to fulfill social
obligations that go beyond the conventional capitalist worldview aiming at only maximizing
profits.

2.2 Overview of Al-Arafah Islami Bank Limited:

With the objective of achieving success here and hereafter by pursuing the way directed by Allah
and the path shown by His Rasul (SM), Al-ArafahIslami Bank Ltd. was established (registered)
as a private limited company on 18th June, 1995. The inaugural ceremony took place on 27th
September, 1995. The authorized capital of the Bank is Tk. 2000.00 crore as on 27.12.2018 and
the paid up capital is Tk. 9469.58 million as on 31.12.2015. Renowned Islamic Scholars and
pious businessmen of the country are the sponsors of the Bank 100% of paid up capital is being
owned by indigenous shareholders.
The equity of the bank stood at Tk. 1923.61 crore as on 31 December 2015, the man power was
3683 as on 27th December 2018 and the number of shareholders was 25792 as on 27 th December
2018. It has achieved a continuous profit and declared a good dividend over the years. High
quality customer service through the integration of modern technology and new products is the
tool of the bank to achieve success. The bank has diverse array of carefully tailored products and
services to satisfied customer needs.

The bank is committed to contribute significantly to the national economy. It has made a positive
contribution towards the socio economic development of the country wit 168 Branches of which
25 is AD thought the country.

AIBL PROFILE
Date of Registration 18thJune, 1995
First Branch Motijheel Branch, Dhaka
Opening Ceremony 27th September, 1995
Authorized Capital 2000.00 crore
Paid up capital 9469.37
Local Partnership of Capital 100%
Equity 1923.61 crore
Number of Branches 168 (Up todecember 2018)

Table: 1.1 AIBL Profile

2.2 Organizational Structure
2.2.1 Management Hierarchy of Al-Arafah Islami Bank Limited

Managing Director (MD)

Deputy Managing Director (DMD)

Senior Executive Vice

Executive Vice President (EVP)

Senior Vice President (SVP)

Vice President (VP)

Asst. Vice President (AVP)

Senior Principal Officer (SPO)

Principal Officer (PO)

Senior Officer (SO)

Officer

Asst. Officer (AO)

Figure 1: Organizational Flow chart of AIBL

2.3 Objective of AIBL:

“To be a provider of high quality products and services to its potential market, the bank also
caters to the needs of its corporate clients and provides a comprehensive range of financial
services to national & multinational companies.

2.3.1 Vision Of AIBL

To be a pioneer in Islami Banking in Bangladesh and contribute significantly to the growth of the
national economy.

2.3.2 Mission Of AIBL

 Achieving the satisfaction of Almighty Allah both here & hereafter.

 Proliferation of Shariah Based Banking Practices.
 Quality financial services adopting the latest technology.
 Fast and efficient customer service.
 Maintaining high standard of business ethics.
 Balanced growth.
 Steady & competitive return on shareholders’ equity.
 Innovative banking at a competitive price.
 Attract and retain quality human resources.
 Extending competitive compensation packages to the employees.
 Firm commitment to the growth of national economy.
 Involving more in Micro and SME financing.

2.3.3 Commitments of AIBL

Ours is a customer focused modern Islamic Banking sound and steady growth in both mobilizing
deposit and making quality Investment to keep our position as a leading Islami bank in
Bangladesh.
To deliver financial services with the touch of our heart to retail, small and medium scale
enterprises, as well as corporate clients through our branches across the country. Our business
initiatives are designed to match the changing trade & industrial needs of the clients.
2.4 Product & Service of AIBL:

The bank serves all types of modern, progressive and dynamic business as Ill as banking services
to the customers of all strata of society. During the short span of time, the Bank has been highly
recognized and praised by the business community, and has emerged as the fastest growing
financial institution among the third generation banks in respect of business and profitability. It
has already 168 branches in different commercially important places throughout the country..

Al-ArafahIslami Bank Ltd. successfully marked its products designed to fulfill the needs of
various socio-economic strata. Attractive feature of the products have given a distinctive image
among the private banks. They are continuously endeavoring to offer new products and services.
The Product & Services of the bank are as follows:

2.4.1 Products and Services

 Al Wadiah Current Deposit (CD)

 Mudaraba Short Notice Deposit (SND)
 Mudaraba Term Deposit (MTDR)
 Monthly Profit Based Term Deposit (PTD)
 Monthly Installment Based Term Deposit (ITD)
 Al-ArafahMonthlyHajj Deposit (MHD)
 Al-Arafah Termed Hajj Deposit (THD)
 Monthly Installment Based Marriage Savings Investment Scheme (IHD)
 Al-ArafahSaving Bond (ASB)
 Foreign Currency Deposit (FCD)
 Pension Deposit Scheme (PDS)
 Cash Waqf Deposit Scheme (CWD)
 MudarabaLakhpoti Deposit Scheme (LDS)
 Mudaraba Millionaire Deposit Scheme (MDS)
 Mudaraba (Special) Pension Deposit Scheme (MSPDS)
 MudarabaKotipoti Deposit Scheme (MKDS)
 Mudaraba Double Benefit Deposit Scheme (MDBDS)
2.4.2 Locker Service

AIBL has been providing “SAFE DEPOSIT LOCKER” service for a long period of time. At
present 23 of our 154 branches have these facilities.

2.4.2 Online Banking

AIBL Online Banking includes balance inquiry, limit inquiry, profit details, term deposit details,
investment repayment schedule, cheque book details, clearing, cheque status, transaction details,
customer information, statement request, cancelling cheque request, address change request,
cheque book requisition, password change, EMI calculator

2.4.3 SMS Banking

AIBL comes to access banking needs from anywhere anytime. It is indeed a fast, secure,
convenient and quickest way of banking. The service is available round the clock 24×7 a week.
People can get real-time banking information and in touch any time with FSIBL from their
mobile. They can check balance, account information, or even get mini account statements
through FSIBL SMS banking service

2.4.4 ATM Banking

AIBL has successfully implemented Automated Teller Machine (ATM) card transaction from
June 25, 2008. Through Automated Teller Machine (ATM)/Debit card, customer can avail the
facilities like withdrawal money, balance inquiry and purchase goods from Point of sale (POS).

2.4.5 Utility Bills

Under AIBL customers can payment the utility bills- Electric Bill, Gas Bill, Water Bill.
4.5 Market national and international

Al-Arafah Islami Bank Ltd. offers a complete range of advisory, financing and operational
services to its corporate client groups combining trade, treasury, investment and transactional
banking activities in one package. The corporate Banking specialists will render high class
service for speedy approvals and efficient processing to satisfy customer needs.

Corporate Banking business envelops a broad range of businesses and industries. You can
leverage on the know-how in the following sectors mainly:

 Agro processing industry

 Industry (Import Substitute / Export oriented)
 Textile, Spinning, Dyeing/Printing
 Export Oriented Garments, Sweater.
 Engineering, Steel Mills
 Chemical and chemical products etc.
 Telecommunications.
 Wholesale trade
 Transport , Hotels, Restaurants
 Non Bank Financial Institutions
 Loan Syndication
 Export Finance
 Chapter: 03
Data collection and Processing
3.1 Data Collection and processing

3.1 Data Description:

Data collection is the process, technique, or method of observation, survey and analysis.

There are two types of data-

1. Primary data
Primary data is data that is collected by a researcher from first-hand sources, using methods.
The primary information collected through face to face interview, observation, and by
participation in the recruitment and selection process.

2. Secondary data
Secondary data refers to data which is collected by someone who is someone other than the
user. The secondary information collected from website, Magazine, Newspaper, Wikipedia,
Journals, books and some other relevant source.

3.1.2 Data Collection method:

Primary Data collection method:

 Personal interview from customers and employees.

 Face to face conversation with officers.
 Observation in the organization.
 Questionnaire survey method.

Secondary Data collection method:

 By studying relevant paper and publication

 By reading Annual reports of AIBL
 By browsing Website of AIBL
3.2 Data Processing:

The topic was selected, and exploratory study was conducted. I collected data and analyzed it
and based on the findings I made the report. The questionnaire was distributed to the customers
who are already taking the services from AIBL. The survey was conducted with a sample of 20.

The bank officials of different departments of AIBL and their general clients, borrowers and
account holders are considered as the sample unit for this report paper and after their approval I
added any data in my report. Here, I have used descriptive statistics methods. Both Microsoft
word and Excel have been used to analyze the data. I have input the data into Microsoft excel,
where I got the output of those data and then I did my analysis with that output.