Presenting To:

Professor Ahsan Masood Sahib

Submitted By
Irfan Ali
Roll no
Ad514475
Topic

Select a non-manufacturing
company and critically discuss its
basic framework and principles of
budgeting
HISTORY OF BANK Al FALAH
Bank Al Falah Limited was launched on
June 21, 1997 as a public limited
company
 The bank commenced its operations on
November 1, 1997
The bank introduced commercial banking
and related services as defined in the
Banking companies ordinance, 1962
OBJECTIVES OF BANK ALFALAH

Caring for you… Our Customers

To get maximum share of the market
To price the products optimally
To reinforce a corporate culture that
fosters learning, creativity and flexibility.
 Branches

The bank is currently operating through more

than 223 branches in Pakistan
Mission
To develop & deliver the most
innovative products, manage
customer experience, deliver quality
services that contributes to brand
strength, establishes a competitive
advantage and enhances
profitability, thus providing value to
the stakeholders of the bank“
Vision

To be the premier

organization operating locally
& internationality that
provides the complete range
of financial services to all
segments under one roof
COMPANY MANAGEMENT STYLE

Management means the administration and

the governing body that is concerning the
whole organization. All the decision and
strategies are been proposed and evaluated
the management of the organization
The Board of Directors:
 Theupper most part of the management is the Board of
Directors or the Executives. The Board of Directors are
responsible for the first phase of the management process
The middle management, supervisors and the
employees
 Departmental heads constitute this level of management at
Bank Alfalah. They are directly responsible for planning
and controlling the activities of officers. Finally, the
employees whose activities are monitored and controlled
according to the desired objectives.
FIELDS AND ACTIVITIES
A support functions Group, mainly
responsible for development of systems and
procedures, process-re-engineering, automato
and credit management
 CREDIT DIVISION
 SYSTEMS and OPERATIONS DIVISION
 HUMAN RESOURCE DIVISION
 FINANCE DIVISION
 AUDIT DIVISION
Services and Product Polices

Credit Facility
Stop Payment Instructions
Deposits

Drafts, Telephonic Transfers, Pay Orders

 BUDGETING
Accounting department prepares the budget
for the branch for the whole year. Budget is
prepared on the basis of forecast and that
forecast is made on the basis of past
performance of the
branch. Different budgets are prepared
regarding the different requirements.
Fiscal year of the bank starts from January to
December.
IMPACT OF MANAGEMENT STYLE ON
EMPLOYEES

Absenteeism

Irresponsible behavior
Coordination

Reporting time delays

REMITTANCES

In remittances I have learnt the following
1) Telegraphic Transfers (TT)
2) Demand Drafts (DD)
3) Payment Orders (PO)
4) Transfer Entries
5) Online Transactions
6) Pay Slips
7) Outward Bills For Collection
8) Clearing
Strengths

Target Achievement
Policies & Procedures
Rewards & Benefits
Job securities for the employers
Favorable, friendly & Healthy Working
Environment
Accounting & Banking System is Accurate &
Reliable One
 Weaknesses

Work load
Low Training & Coaching
Low incentives like bonuses overtime pay etc
Human Resource Department is not so much
effective
Low salary packages as compared to other
banks
Opportunities

On the job training & coaching sessions can be

conducted
Work sharing activities should be started so that
a person who is working continuously for 9
hours can get relax
Attractive salary packages should be awarded
Threats

The conventional banks those having high growth

rate and high market share are always being a threat
There is an average not low turnover rate, mainly
because of low incentives as compared to the other
banks
PEST Analysis
 PEST ANALYSIS

POLITICAL FACTORS

 ECONOMICAL FACTORS

 SOCIAL FACTORS

TECHNOLOGICAL FACTORS
POLITICAL FACTORS

Analysis of Political environment is very

critical and this environment has a strong
influence upon the activities of any
organization in a society. Political
environment strongly affects the
marketing decisions
ECONOMICAL FACTORS
Pakistani economy is good for foreign
investments and it is also good for Islamic
banking sector of Pakistan. GDP rate of
Pakistan is showing a consistency in upward
direction and per capita income has increased
as compared to past
SOCIAL FACTORS
Pakistan is situated at very important
geographically location and it has a diverse
culture. Islam is the religion of majority of
the population and Islam has deep and ever
lasting influences upon the culture of the
people of the area
TECHNOLOGICAL FACTORS

There is lack of proper infrastructure in

Pakistan, for that reason different sectors
are not becoming able to cope with the
technology. Banking sector has
introduced a lot of innovative services
with the help of technology.