final bank alfalah project
TRANSCRIPT
BRIEF HISTORY OF BANK ALFALAH LIMITED
Bank Alfalah Limited was incorporated in June 21st, 1997 as a public limited
company under the Companies Ordinance 1984. Its banking operations commenced
from November 1st ,1997. The bank is engaged in commercial banking and related
services as defined in the Banking companies ordinance 1962. The Bank is currently
operating through 45 branches in 21 cities, with the registered office at B.A.Building,
I.I. Chundrigar, Karachi.
Since, its inception as the new identity of H.C.E.B after the privatization in
1997, the management of the bank has implemented strategies and policies to carve a
distinct position for the bank in the market place. Strengthened with the banking of
the Abu Dhabi Group and driven by the strategic goals set out by its board of
management, the Bank has invested in revolutionary technology to have an extensive
range of products and services. This facilitates their commitment to a culture of
innovation and seeks out synergies with clients and service providers to ensure
uninterrupted services to its customers.
The bank perceived the requirements of customers
and matches them with quality products and service
solutions. During the past five years, bank has emerged as
one of the foremost financial institution in the region
endeavoring to meet the needs of tomorrow as well as
today. To continually upgrade the quality of service to the
customers, training of team members in all the integral
aspects of banking, customer service and IT was specially
focused.
The portfolio concentrates on all aspects of conventional banking as well as the
financial needs of corporate sector. Dynamic and high value product includes Car
Financing, Home Financing, Rupee Travellers Cheques, Credits Cards, Debit Cards,
On line Banking, ATM and consumer Durables. In addition to this, Islamic Banking
Division is a recent initiative, which operates as separate branch. It offers Shariah
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Compliant products through a network of five branches, which will increase to 50 by
the year 2007. The bank is committed to combine all it s energies and resources to
bring high value, security and satisfaction to its customers, employees and
shareholder. The Bank has invested in revolutionary technology to have an extensive
range of products and services. This facilitates commitment to a culture of innovation
and seeks out synergies with client and service providers to ensure uninterrupted
services to it customers.
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V I S I O N
“To be the premier organizations
operating locally and internationally that
provided the complete range of financial
services to all segments under one roof”
MISSION
“To develop and deliver the most innovative
products, manage customers experience, deliver
quality service that contributes to brand
strength, establishes a competitive advantage
and enhances profitability, thus providing value
to the stakeholders of the bank
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BOARD OF DIRECTORS
H.E. Sheikh Hamdan Bin Mubarak
Al Nahayan
Chairman
Mr. Mohammad Saleem AkhtarChief Executive Officer
Mr. Abdulla Nasser Hawalileel Al-Mansoori
Mr. Abdulla Khalil Al MutawaMr. Ikram Ul-Majeed Sehgal
Mr.Khalid Mana Saeed Al OtaibaMr. Nadeem Iqbal Sheikh
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MANAGEMENT
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Chief Executive Officer
Executive InchargeStrategic Planning & Global
Marketing
Executive InchargeInternational &Treasury Division
Executive InchargeHuman Resources Division
Executive InchargeIT Division
Executive InchargeCredit Division
Executive InchargeSystem & Operation Division.
Executive InchargeEstablishment & Administratration
Executive InchargeCredit Monitoring Division
Executive InchargeBusiness Development DivisionS.A.M./ Car Finance/ Leasing
Executive InchargeLegal Affairs Division.
Executive InchargeAudit & Inspection Division
Executive InchargeFinance Division
Executive InchargeCorporate Banking,
SME Financing & Home Loans
Executive Incharge Islamic Banking Division
Executive Incharge New Products &
Service Quality Division
Executive InchargeCards Division
5
ORGANIZATIONAL STRUCTURE
President (CEO)
Senior Executive Vice President
Executive Vice President
Senior Vice President
Vice President
Assistant Vice President
Officers Grade I, II, III
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Clerical Staff Non-Clerical Staff
Cashier Typist Clerks & Guards Messengers
Assistants
DEPARTMENTS
Bank Alfalah Limited has the following departments:
Account Opening Department
Human Resource Department
Trade Finance
Credits
Accounts Department
Administration / Personnel
Special Asset Management (SAM)
MIS Department
Marketing
Cash & Deposits
Foreign Currency Accounts
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HUMAN RESOURCE MANAGEMENT
“The policies and practices involved in carrying out the “People” or Human Resource aspects of a management position, including recruiting, screening, training, rewarding, and appraising”
The concepts and techniques need to carry out the “people” or personal aspects of management job are:-
Conducting job analyses (determining the nature of each employee’s job) Planning labor needs and recruiting job candidates Selecting job candidates Orienting and training new employees Managing wages and salaries (compensating employees) Providing incentives and benefits Appraising performance Communicating (interviewing, counseling, disciplining) Training and developing managers Building employee commitment
HR’s Definition at Bank Alfalah:
“We Are Struggling For People.”
HRM DEPARTMENT & BANK ALFALAH
Like other organizations HRM department acts as the mind of the organization. Without the HRM department Bank Alfalah cannot imagine being able to function. At Bank Alfalah, HRM has great significance, everybody depends on this department for the entire organization to work and succeed in its mission.
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Human Resource Department-Hierarchy
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RESPONSBILITIES OF HR OFFICER:
Following are the responsibilities of HR Officer in Bank Alfalah:-
Recruitment And Selection
Policy Making
Retention Program
Improve Working Relation Of Employees
HRM Management Responding To Changing Environment:
Bank Alfalah’s HRM Management is responding to changing environment by
Follow Customers Needs
Adopt Continuous Changes
Decentralized Organization
COMPETITIVE ADVANTAGES:
Bank Alfalah has following competitive advantages over its competitors:
Strong Pay Structure
Retention Program
All Banking System Based On It
Select People From Top Universities
Account EI Has 30 Years Work Experience
JOB ANALYSIS
“The procedure for determining the duties and skill requirements of a job and the kind of person who should
be hired for it”
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Job Analysis includes: Job Description Job Specification
Job Description:“A list of job’s duties, responsibilities, reporting relationships, working conditions,
and supervisory responsibilities”Job Specification:
“A list of job’s human requirements,” that is, the requisite education, skills, personality, and so on “
METHODS OF COLLECTING JOB ANALYSIS INFORMATION
There are two methods of collecting Job Analysis Information:- Interviews Observation
INTERVIEWS
“A procedure designed to obtain information from a person through oral responses to oral inquiries”
Who Conducts Interview?
“Interviews are taken by the branch HR head responsible for recruitment and selection”
Types Of Interviews Taken:
• Structured interview only• Structured Sequential Interviews• Panel Interview
Criteria for Selecting Candidates:
Following is the criteria for selecting candidates in Bank Alfalah based on:
Communication Skills Present Personality Educational Background (etc.) Skills And Competency
INTERVIEW QUESTIONS
Why Should I Hire You? Why Do You Want To Work For Us?
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What’s Your Great Strength? What’s Your Great Weakness? How Much Salary Do You Expected From Us?
RECRUITMENT
“The development of a pool of applicants for jobs in the organization”
Sources Of Job Recruitments:
Following are the some sources of Job Recruitment in Bank Alfalah:
By Universities
By Website
By Coaching
By Newspapers
Recruitment Process:
Following are the recruitment processes in Bank Alfalah:
1.) Assess need (strategic planning and tactical planning)2.) Create a pool of candidates:3.) Screen out candidates:4.) Make selection5.) Evaluate recruitment process:
1.) Assess need (strategic planning and tactical planning)
There is no fixed quota of number of employees to be recruited, it depends on need and the strategic (organizational) and tactical (branch level) requirements.
2.) Create a pool of candidates:
The prospect candidates are attracted through advertisement in the newspapers, on the website online and also the walk in.
3.) Screen out candidates:
Through interviews and tests they screen out the less attractive candidates.
4.) Make selection: After further interviews and other processes the final candidate is selected. Questions in an interview are made by doing proper job analysis of the job. That includes identifying the job duties and requirements.
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5.) Evaluate recruitment process:
Evaluate effectiveness of recruitment by comparing the results to expected results.
TYPES OF RECRUITMENT
There are two types of recruitment in Bank Alfalah:1. Internal 2. External
1. Internal:
“Includes recruiting of already existing employees for new jobs within the organization”
2. External:
“Includes bringing “new blood” in an organization. Recruiting people who are new”
INTERNAL RECRUITMENT IN BANK ALFALAHBank Alfalah normally
• Less emphasis on Internal Recruitment
• Existing employees can respond to new job offers as externals
• Performance appraisals
EXTERNAL RECRUITMENT IN BANK ALFALAH
In Bank Alfalah external recruitment is on
• Need basis• No yearly or monthly recruitments• Every branch has it’s own HR department• Head office sanctions recruitment for new employees• Adds in leading newspapers (Dawn, Jang)• College Recruitment (under planning)• Online application forms• Short listing• Interviews • Decisions made through head office • No help from recruiting agencies
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DIRECT INDUCTION OF FRESH CANDIDATESThrough direct induction of fresh candidates, Bank Alfalah is able to employ fresh postgraduate candidates for its organization and the process is as follows:
EXPERIENCED PROFESSIONALSBased on requirements of experienced staff, Bank Alfalah also recruits talent from the
marketplace. Bank Alfalah offers competitive salary / benefits to worthy professionals
at all levels who wish to join hands with Bank Alfalah. The procedure for selecting
such professionals is as follows:
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Executive Recruitments:
In Bank Alfalah, Executive recruitments are done by CEO.
Recruitment of MTO’s (Management Training Officers):
In Bank Alfalah, recruitment of MTO’s is done on Yearly Basis
Recruitment of Internees:
In Bank Alfalah, recruitment of Internees is on
> Walk-ins > Letter of recommendation from college
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Recruitment Orientation
Training
New Employee
Human Resource Assessment
Bank Alfalah Ltd. has worked hard to build its human resource team and ensure that the quality of newly inducted staff is not comprised with growth. For recruitment and selection bank‘s policy is to hire suitable candidates. By suitable candidates bank refers to candidates having proper educational qualification, experience and background.
Bank Alfalah not only is one of the fastest growing bank in Pakistan, that provides its customers with a number of financial services, but is also a great employer of human resources, that provides its employees with a conducive environment that not only is challenging but also helps them in applying and gaining knowledge.
The above figures show that all prospect employees feel confidence in Bank Alfalah as their prospective employer. Bank Alfalah, as a response to this confidence has three ways of employing prospect employees for their organization.
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Selection
No. of Employees 2001-2008
959 1504 21333352
52186543
7371 7584
0
2000
4000
6000
8000
2001 2002 2003 2004 2005 2006 2007 2008
OREINTATION
The orientation program of Bank Alfalah contains:
Introductory Lecture
Printed “ Employee Hand book” in Bank Alfalah
Time Duration
Familiarize new employees with their new jobs, work units and organization in general.
BATCH TRAINEESAll employees selected through this process, have to first complete a probation period
before given a complete status of a Bank Alfalah employee. The major benefit of this
procedure is that Bank Alfalah can employee a
large number of employees at a lower cost. The
procedure for accepting a batch trainee is as follows:
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TRAINING
“The process of teaching new employee the basic skills they need to perform their jobs.”
Basic Steps in Training:
Following are the basic steps in training employees in Bank Alfalah:• Need Analysis • Instructional Design• Validation• Implementation• Evaluation and follow up
- Training Mangers and faculty is hired for training purposes.- Training Mangers are in their respective head offices
The Training Centers Of Bank Alfalah:
Bank Alfalah’s training centers are in Karachi & Lahore. These training centers are responsible for providing multi-level high quality training programs in following areas:
- Consumer banking operations
- Credit administration/documentation
- Trade finance operations
- Marketing & selling skills
- Customer service skills
- Performance appraisal skills
- Time management & personal effectiveness
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TWO SCENARIOS OF TRAINING
Training Calendar:
In Bank Alfalah, Head office devises a calendar according to which they train their employees
Need Basis:
In Bank Alfalah, Branch Manger realizes that specific department lacks in some skill.
TWO TYPES OF TRAINING
Employee
On The Job Training:“Training a person to learn a job while working on it”
Off The Job Training:“Training an employee to learn a job while providing him a class room environment”
ON THE JOB TRAINING
“On The Job Training” in Bank Alfalah is done by
Making teams of new employees with a few old specialized Employees.
Contribution to overall productivity.
Lower cost
Lower Time
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On the Job Off the Job
Management Training Officers (MTO) Training Program:
In Bank Alfalah, MTO’s training program is 3 months On the Job Training & 9 months Off the Job Training.
OFF THE JOB TRAINING
In Bank Alfalah, Off the Job Training is done by
In-house training ,done at least once a year
Employees from all over Pakistan attend seminars and courses.
Employees are tested after the completion of the course
Specialist trainers are hired
Provide a proper learning environment to the employees Professional faculty is hired
Increases employee loyalty
Labor productivity is zero
Cost is high
Time is consumed
Training & Development:
In Bank Alfalah, employee is trained & developed in following different operations:
Consumer Banking Operations
Credit Marketing & Credit Proposals
Credit Administration/Documentation
Trade Finance Operations
Marketing & Selling Skills
Customer Services Skills
Performance Appraisal Skills (Self Appraisal)
Time Management & Personal Effectiveness
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PERFORMANCE APPRAISAL SYSTEM
“Evaluating an employee’s current and / or past performance relative to his or her performance
standards”
The performances of employees are appraised yearly at Alfalah Bank. HR head said that
“Performance appraisal helps us in estimating employee’s current performance, setting work standards and then providing feedback to employees with the aim of
eliminating performance deficiencies”.
APPRAISAL METHOD AT ALFALAH
The Appraisal Methods at Bank Alfalah are1. Self Appraisal Method
Ratting Evaluation
2. Problems During Appraisal Unfair Assessment (Bias)
BEHAVIOR APPRAISAL
In this service oriented industry behavior is as important as performance on job. To manage behaviors and appraise company has devised a managing behavior system to evaluate their core values. Each employee in such a system is rated against the behavior performance achieved, against the required benchmark applicable, depending on the Job Grade.
PERFORMANCE STANDARDS AT ALFALAH
Alfalah Bank Has laid down the following Performance Standards:
1-Demonstrates Commitment2-Aligns Activities3-Promotes Alfalah Long Term Objectives
MANAGING CAREER & FAIR TREATEMENT
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In Bank Alfalah, Managing Career & Fair Treatment is based on:
Promotion Decision
How To Handle Transfer
Communication At Alfalah
Manage Dismissals
PAY PLANS & INCENTIVES AT ALFALAH
Pay Plans:Pay plans Alfalah are establish on the basis of job ratings. All jobs are ranked from top to bottom, on the bases of compensable factor. Employee with higher rank gets highest pay and incentives.
Compensation Plans for Employees:In Bank Alfalah, compensation plan for employees includes:
Basic Salary
Bonuses
Medical Facilities
Allowances
Incentive Plans:
In Bank Alfalah, incentive are provided to
Managers and Executives
Middle and Lower Level Employees
EMPLOYEE BENEFIT & SERVICES The employee benefits & services provided by Bank Alfalah are
Health & Life Insurance Paid Annual Vacations, Leaves, Holidays Health Insurance Of Parents Pension & Provident Fund Discount On Company Products Annual Bonuses Educational Plans Social Events
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Customized Services Creative, Learning & Healthy Environment Highly Qualified, Experienced & Committed Staff Profit & Gain Sharing Plans
Financial Benefits:
The financial benefits provided by Bank Alfalah to its employees are
Severance – PaySeverance Pay is given according to
1. Policy 2. Give Full & Final Settlement3. Half Salary As A Complementary (Optional)
Supplemental Unemployment BenefitsSupplemental Unemployment Benefits are given
1. During Annual Routine Audits2. Other Privileges
Insurance Benefits:
Bank Alfalah gives insurance benefits on
Worker’s Compensation Complete Life Insurance Hospitalization & Medical Insurance
Other Benefits:
Other benefits provided by Bank Alfalah to its employees are
Pregnancy Compensation 2 – Bonuses For Each Employee Faster Promotion Introduction Of MENTORS Bank Alfalah MOHTISIB Staff Suggestion Scheme Family Community Concept Salary Of Own Choice Job Rotation Facility Prizes & Gifts Refreshment Packages Short Courses & Trainings + Training Material Traveling & Stay Allowances Communication Benefits
Retirement Benefits:
Bank Alfalah gives retirement benefits on the basis of
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Age Pension Plans Provident Fund Facility Early Retirement Window No-golden Offerings & Defined Contrib. Plan No-social Security & Deferred Profit Sharing
Services Benefits:
Following services benefits are provide by Bank Alfalah to the employees:
Introduction Of MENTORS (HR – REPRESENTATIVE) Counseling Services - Financial, Career, Job-placement, Grievances Bank Alfalah Mohtisib Lunch & Learn Program Employee Transportation Educational & Training Subsidies Flexible Benefits Programs (Few-limitations) No-subsidized Child & Elder Care
EMPLOYEE SAFETY & HEALTH CONTRIBUTION
Bank Alfalah is
Strict About Occupational Safety Laws Obeying The OSHA – Standards Major Responsibility – Br. Manager Routine Safety Audits Inspection & Citations By Head Branch Managing Proper Responsibilities & Rights Of Both Employer & Employee
Avoiding the Causes Of Accidents:
Bank Alfalah’s management plays an important role in avoiding the three causes of accidents
Unsafe conditions Unsafe acts Accident prone people
HEALTH PROBLEMS & REMIEDIES
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Following are the steps that taken by Bank Alfalah’s HR Department to solve the health problems in the organization and make possible remedial changes
Smoke Free Environment Role Of Mentors ; Regarding Job-stress , Burn-out , Health Conditions Remedies For VDTS & Other Tools Vaccinations & Health Treatments
Other Precautionary Measures:
Other precautionary measures taken by Bank Alfalah for the safety of employees are
1. Personalized Attention To Employees2. Angry Employees Management3. Temporary Stop The Working4. Counseling5. Real Root Problem6. Use Of Personal Skills7. Professional Attitude Adopted8. Future Avoidance
SWOT ANALYSISBAL is one of the fastest growing banks in Pakistan. In the light of these situations
we can make an analysis.
Strengths:
Bank is in its growing stages so there is good financial position.
Professional and Committed workforce
Low cost than other major banks
Increasing the number of branches in the country
Successfully launching new Product Lines
Well experienced and quality staff
Efficient internal communication system
Weaknesses:
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Although the bank is growing fastly but it has some weaknesses which it should
remove to make itself further strong.
Less Advertisement
Slow in introducing new products
The staff is not satisfied with the salary structure
Gives its staff less benefits
Opportunities:
Extension of International network of the branches
Introduction of innovative products
Growing market
ATM facility for all customers
Threats:
Uncertain economic conditions
Action taken by competitors
CONCLUSION
HRM managers at Bank Alfalah are performing a great job as far it is concerned
Motivating them and looking after them. Along with the other managers and
employees
HRM managers are also doing a great job in achieving company goals and objectives.
There is a very calm and friendly atmosphere at Bank Alfalah because of the HRM
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department and their policies for keeping their employees happy, productive and
efficient.
RECOMMENDATIONS
It is observed that the employees were overburdened so they have to stay at branch till late at night. In this way their efficiency is affected and hiring more employees can reduce their work.
The employees should be signed jobs for specific period and than they should shifted to other department so that they gain knowledge of other jobs.
Bank Alfalah Limited should properly advertise and Communicate to public about the services provided by it, so that more customers will be attracted.
The bank’s management should give more incentives and pay scale of officers should be revised & improved.
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System and operations should be more defined and organized.
IT draw backs should be improved.
Administration drawbacks should be improved by the strict control of general issues.
Some employees waive the bank charges (Statement charges, cheque book charges etc) that decrease the income of the bank.
Lockers, ATM, all these facilities should be provided to attract more customers.
Expenditures must be control, which are very high.
BibliographyPersonal Refernces
Mr. Zulfiqar, Accounts Officer.(Bank Alfalah Ltd., Wah Cantt Branch)
Mr. Waqas, Customer Services Officer.(Bank Alfalah Ltd., Wah Cantt Branch)
Web Resources
Bank Alfalah (www.bankalfalah.com)
Wikipedia (www.wikipedia.com)
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State Bank of Pakistan (www.sbp.org.pk)
Google (www.Google.com)
Reports & Papers Annual Report Bank Alfalah 2008
Issues in Pakistan’s Economy by S. Akbar Zaidi
International Finance by Maurice D. Levi
Bank Alfalah Limited. (2009). Alfalah Mahana Amdan Plus [Brochure].
Bank Alfalah Limited. (2009). Alfalah Quick Finance [Brochure].
Bank Alfalah Limited. (2009). Alfalah Milkiat Finance [Brochure].
Bank Alfalah Limited. (2009). Alfalah Karobar Finance [Brochure].
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