2014

Internship Report

Mujtaba Ahmed

FA10-BBA-002

Allied Bank

Contents

1. Internship letter........................................................................4

2. EXECUTIVE SUMMARY.....................................................5

3. Introduction..............................................................................7

3.1. Company history and back ground................................................................7

4. Vision, mission and core values..............................................8

4.1. Vision.............................................................................................................8

4.2. Mission...........................................................................................................8

4.3. Core values.....................................................................................................8

5. Branch Structure......................................................................9

6. Products/Services offered by Allied Bank.............................10

6.1. Branches & ATM Services..........................................................................10

6.2. Branch Services............................................................................................10

6.3. Automated Teller Machine (ATM) Services...............................................10

6.4. Online Banking Services..............................................................................11

6.5. Locker Services............................................................................................11

6.6. Utility Bill Payment Services.......................................................................12

6.7. General Inquiries..........................................................................................12

6.8. Financial services.........................................................................................12

6.9. Non-Financial services.................................................................................13

7. Other Services:.......................................................................13

7.1. ABL Hajj Services.......................................................................................13

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7.2. Demand Draft...............................................................................................13

7.3. Pay Order.....................................................................................................13

8. Learning and Experience.......................................................14

8.1. Rationale for selection..................................................................................14

9. Internship Duration................................................................14

10. Tasks performed....................................................................15

Deposit slip filling:.......................................................................................15

Reactivation of dormant accounts:...............................................................15

Entering cheque books in register:...............................................................15

Filling cheque return vouchers:....................................................................15

New account opening:..................................................................................15

Issue of cheque book and Atm cards:..........................................................16

Opening the locker.......................................................................................16

Photo copying...............................................................................................16

11. Learning.................................................................................17

12. SWOT analysis......................................................................18

13. Recommendations & Suggestions.........................................20

14. Conclusion.............................................................................21

15. References..............................................................................22

16. Appendix................................................................................22

17. Acknowledgment...................................................................23

18. Personal Resume (CV)...........................................................24

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Internship letter

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EXECUTIVE SUMMARY

Allied bank limited is one of the most prestigious and well reputable Bank of Pakistan

with branches in every city of Pakistan and as well diverse workforce. Firstly, I have

given the introduction of the firm where I was doing internship. After that I have tried to

explain the brief history of the firm. The branch where I have done my internship is

located at PWD housing society Rawalpindi having branch code 0463. It is one of the

oldest banks of Pakistan with its root being laid down in 1942. Bank has very long

history as it was renamed from Australasia bank to Allied Bank in 1974. It has also

passed through with some of the harsh times in 1970s. Allied bank has been steady with

its growth over the period of time and is known as the one of the best bank in Pakistan.

I have also mentioned brief detail of the vision, mission, and core values of the ABL. The

products or services that ABL is offering to the people of Pakistan like a wide range of

consumer products, to enhance business and cater to the different segments of society.

Some schemes have been specifically designed for specific segment of the society. These

include personal banking, business banking, Islamic banking etc. It is giving services like

western union for the people of Pakistan who are living abroad. Other services like letter

of credit, ABL helpline, demand drafts, pay orders etc.

After that there is a brief commentary of what I have learnt in these six weeks in the areas

of customer service, deposits and account opening. These jobs have helped me in

identifying what are the problems which can arise when I would step in practical life. In

fact now whenever I join any organization I would not be confused rather I would be

confident. Then comes some learning’s and experiences in the ABL.

And at last comes the brief and to the point analysis of the organization which includes

firstly the internal analysis which includes the internal factors affecting the organization

either in a positive or a negative way and secondly the external analysis including the

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factors outside of a firm which are present in the environment which can affect the

organization basically (SWOT).

Recommendation and suggestion are also important and in the end I have also given

some recommendation and suggestion to ABL and these are totally mine own

constructed. These may be wrong but these are on the basis that what I feel about the

organization and that may be helpful to management of Allied bank.

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Introduction

Company history and back groundThe Allied Bank Limited is the first Islamic bank established in the territory which later became

Pakistan. The Bank began to Lahore by the name Australasia Bank before independence in 1942

with a paid up capital of rupees 0.12 million under the Chairmanship of Khawaja Bashir Bushk

and his business associates, including Abdul Rahman Malik who was among the first Board of

Directors, the Bank attracted deposits, equivalent to Rupees 0.431 million in its first eighteen

months of operation. The amount of total assets was Rupees 0.572 million. In 1974, the Board of

Directors of Australasia Bank was dissolved and the bank was renamed Allied Bank. The first

year was a great success: profit surpassed rupees 10 million, deposits increased by more than 50

percent and approached Rupees 1.46 billion. Investment increased by 72 percent and advances

exceeded Rupees 1.08 billion for the first time in the history of the bank. In 1974 there were 116

new branches opened and the bank began to participate in the program of agriculture stain

government procurement. These seventeen years the Bank has grown rapidly, Increased from

353 in 1974 to 748 branches in 1991. Deposits increased by Rupees 1.46 billion and advances

and investments of Rupees 1.34 billion to Rupees 22 billion during this period. Allied Bank also

opened three new branches in the United Kingdom. Following privatization in September 1991,

Allied Bank has entered a new phase in its history, as the first bank in the world to be owned and

managed by its employees. In 1993, the First Allied Bank Modaraba (FABM) was floated. After

privatization, capital and reserves of Allied Bank were Rupees 1.525 billion and assets amounted

to Rupees 87.536 billion and deposits were Rupees 76.038 billion. In August 2004, due to the

reconstruction of capital, the ownership of the Bank was transferred to a consortium comprising

Ibrahim group and therefore, it was renamed Allied Bank Limited in 2005.

Today, over the 70 years of existence, the Bank has created itself a foundation with a strong

assets, equity and deposit base. ABL offers multiple banking services. It has a wide range of over

700 ATMs and 900 online branches in Pakistan. Allied bank is listed on all stock exchanges of

Pakistan.

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Vision, mission and core values

VisionVision statement describes the future position of the company.

“To become a dynamic and efficient bank providing integrated solutions in order to be the first choice bank for the customers.”

MissionMission defines the fundamental purpose of a company. Allied bank have following missions.

To provide value-added services to our customers.

To provide high-tech innovative solutions to meet customers’ requirements.

To create sustainable value through growth, efficiency and diversity for all stakeholders.

To provide a challenging work environment and reward dedicated team members

according to their abilities and performance.

To play a proactive role in contributing towards the society.

Core values Integrity

Excellence in Service

High Performance

Innovation and Growth

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Branch Structure

BRANCH MANAGER

OPERATION MANAGER CSO/RECEPTIONIST CASHIER

NON-CERICKAL STAFF

(2)

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Products/Services offered by Allied BankFollowing are the services offered by Allied Bank Limited.

Branches and ATM Services

Online Banking Services

Locker Services

Utility Bills Services

Phone Banking Services

Branches & ATM Services

Branch ServicesABL provides the following in-branch services to its customers.

Deposit, withdraw and transfer money

Currency exchange

Bank statement

Bank draft

Credit card payment

Debit/credit card

New account opening

Automated Teller Machine (ATM) ServicesAccount holders of all online branches can obtain Allied Cash+Shop Visa Debit Card for use at

ATMs. By using your Allied Debit Card at ABL ATM, you can perform the following activities:

Cash withdraw

Make credit card payments and bill payments

Money transfer from your one account to another account

Get mini statement

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Online Banking ServicesIn Pakistan only Allied Bank offering online branches network. Wherever you go around the

country, you can do transaction through your ABL bank account from any Allied Bank Branch.

Cash deposit for immediate credit into the account

Cash withdraw through Cheque from Branch

Balance Enquiry and statement of account

Instant fund Transfer from one account to account

Locker ServicesBranches of ABL provide locker facilities to its account holders with single or joint operating

instructions. In additional securities camera recording, whenever customers operate their

accounts, account holders supervised by the staff along with the verification of signatures for

safety. Some of the key feature of lockers services.

Lockers are available in different sizes. I.e. small, medium, large and extra-large.

Flexible lockers fees according to their sizes

Privacy to operate lockers

Wide availability

There are also charges of lockers and after the vacation of locker security deposit is refundable.

Details of that charges are given below.

Serial Number Locker Size Annual Rent Security Deposit Minimum Balance in Account

1 Small 3000/- 35000/- 1M to 2.5M2 Medium 4000/- 60000/- 2.5M to 5M3 Large 5500/- 85000/- Above 5M4 Extra large 7000/- 110000/- -

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Utility Bill Payment ServicesUtilities bills are paid securely and easily by ABL utility bill payment services. The service can

be availed at ABL branches, online banking, ATMs, and phone banking.

Phone banking services

ABL phone banking services provides 24/7 easy and secure services, by simply calling toll free

number at 0800-22522.

ABL Phone banking provides the following services to the customers.

General Inquiries Procedure of account opening

Information related to all Allied Bank products

ATM locations

Branch locations

Financial services Activation of Debit card

Balance inquiry

Debit Card transaction inquiry

Details of last 10 transactions

Funds transfer within Allied Bank

ATM PIN Generation

Blocking Debit/Credit card

Bill Payment

Mobile top ups (Warid, Ufone, Telenor)

Request for Cheque book

Inquiry for Credit Card limit

Inquiry for Credit Card transection

Credit Card activation

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Non-Financial services 24 hours complain registration

Request for changing Credit Card address

Request for E-statement

SMS alert activation

Statement through fax

Email alerts

Other Services:

ABL Hajj ServicesHajj services are available for all the travelers. During Hajj season applications are available on

all branches of ABL after announcement of Government of Pakistan.

Demand DraftFor the purpose of trade from one place to another demand draft is used as a banking instrument.

Allied Bank provides a timely payment of bank draft at all its branches.

Pay OrderABL customers can go any one of its branch and make pay order to execute payment to a

name payee.

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Learning and Experience

During the internship I got the opportunity to learn the basics operation of banking. During

internship I have discussed my learning and experiences of 6 week internship below.

Rationale for selectionThese are the following reasons for which I decided to join ABL for doing internship

As I have taken my majors in finance so banks are the financial institutions where you

can learn the basics and how finance is practiced in banks.

In branches of banks there are less number of people working so the process of learning

is more efficient and it is been sequenced.

I visited some banks and I found the environment of ABL more pleasant and

comfortable.

Internship DurationInternship Duration: - Six weeks from 2nd July 2013 to 23rd august 2013.

Area: Deposits, customer service, accounts opening, operating lockers.

Reporting Officer: Mr. Amir Nizam (Branch manager)

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Tasks performed

Deposit slip filling: As I was doing my internship in a commercial area and we had customers

from business man to labors, therefore I had to fill up their deposit vouchers in which I add

following information like account title, account number, amount of deposit and their signatures

and mobile number. Some Businessman also don’t fill up their slips those slips were also being

filled by me.

Reactivation of dormant accounts: When an account is not operated or used for 6 months it becomes dormant

therefore the customer need to reactivate that by contacting the banks customer services officer.

Then he has to fill up a voucher or dormant application and have to sign it. So after that the

account will be activated in a week.

Entering cheque books in register: Cheque books of the accounts opened in the whole month are entered in the register

date wise along with their account numbers and tittle. They are entered in branch register.

Filling cheque return vouchers: If the cheques to be cleared are not cleared due to some reason you have to attach

the cheque return voucher along with the cheque by writing the date and mentioning the reason

on it.

New account opening: During my internship I was given the task to open the bank account of different

customers. But before assigning me this task I was given training of how to open the bank

account by my supervisor. I was told what kind of different document are required for opening

an account at the bank, the basic term and condition of different nature of account which Allied

bank offers. Once I got familiar with all information I was assigned to greet the new customers

and fill the bank account opening form for them based on the information provided by them.

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Issue of cheque book and Atm cards: During the third and fourth week I was assigned the duty to issue the cheque books

and ATM cards to the customers, the account holder of the bank use to come to my desk along

with the latter issued to him by the branch as evidence of his bank account to collect his ATM

card and cheque book, upon the presentation of evidence of account holding, I use to get the

receiving of collection of ATM card and cheque book and after putting the record of his

receiving I use to issue him ATM card and cheque book.

Opening the locker My job changed from issuing cheque book to opening and operating the locker, which

was little bit more confidential job as compare to the previous jobs, for opening a locker it was

mandatory for the customer that he should have the bank account with in the same branch. The

opening of locker do not require that much documentation as compare to open a new account as

it is augmented service for the existing customer, which other customer can also enjoy after they

have open the account. I use to open locker for customers and keep the record of existing

customer who already has lockers at bank, in keeping the record of existing customer having

locker I use to record the time when they operate the locker, number of times they operated, in a

day, week and month.

Photo copying I also had to photocopy the documents which were given to me by the management.

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Learning

From the above tasks I have come to learn the most valuable things like the experience of

working in the real work settings. Other than that I have learnt the basics of banking. How to

cooperate with your colleagues and peers in office world. And if you are working in an area

where you have to deal with educated and uneducated people, where people are from every class

of society so you have to really come down from your level to their level and vice versa. We

have to deal them have with a lot of patience and deal them with respect.

I have also learnt that practical life is not easy that I have perceived in my mind. It’s very

difficult some time to managed the work within the time frame you are given. You also have to

listen harsh words from your supervisor. In working condition you also have to control your

emotions. I am very lucky that I have learnt all this in 6 weeks internship.

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SWOT analysis

Strength:

Branch is equipped with state of the art machines and system and equipment which make

connections, communication with customers and other branches easier. And makes the

deposits and other assets safer.

Branch is linked with other 755 branches enabling to make the transaction fast and serve

the customer in better way.

The branch has prime location in commercial hub between Bahria Town and PWD

housing society.

Branch has competent and experienced staff.

Outlook of branch is very much satisfying as compared to competitors.

Allied bank is the oldest bank of Pakistan so it has developed goodwill and has become

brand.

Online branches and banking.

Well trained staff as each employee is given training of 3 months before joining.

Weakness:

Branch don’t have enough number of staff to entertain customer while peak hours.

Long term customer relationship is not being developed.

Lack of commitment and professionalism of employees towards the organization.

Branch doesn’t have any industrial account.

Lack of sitting space inside the bank for customers.

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Opportunities:

Large number of well of professional and business class resident in Bahria town and

PWD could be convinced and motivate to open account by providing better quality

services then competitors.

Large number of resident of PWD and Bahria town are serving in overseas could be

targeted for opening account by providing better services on remittance.

Bank can open its branches in oversees as well to capture the market.

Bank can open its branches in industrial areas of Sialkot to capture its share.

Can bring change through HR development and through IT training.

Can increase its profit through investing in different projects.

Threats:

Competitor i.e. Faisal bank, Bank AL falah, Habib Bank, serving in same market and

same location.

Dissatisfaction of customers due to poor service in peak hours of the bank.

High turnover rate of the employees.

Rapidly increasing number of new commercial banks opening in Pakistan.

Unstable political and economic condition of country.

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Recommendations & Suggestions

After doing six weeks internship and by doing the analysis of ABL, I would like to give the

following recommendations which are needs to be done in order to make ABL operations more

effective and make it more profitable bank.

Training of employees needs to be done on regular basis whether HR or IT, this will

make them to perform effectively and efficiently.

Loyal employees are asset for the organization so bank need to increase its incentives and

facilities for the employees in order to retain them this will give them benefit in longer

run.

Ethical training is also important for the employees so that they can deal customer with

harmony and patience.

ABL needs to launch new services and products in order to maintain its advantage over

its competitor.

ABL needs to give more interest rate to customers because customer will switch to other

bank whose interest rate in higher.

ABL needs to improve the culture of the branches and has to introduce new corporate

culture.

ABL needs to change its outlook in order to give fresh look and change its sitting

planning with addition of new furniture’s.

Space inside the bank should be increase so that customers feel comfortable.

ABL should develop a good marketing department, so that they can target each segment

of society.

Provide better salary packages and bonuses to staff to reduce the turnover rate.

Increase the branch staff in order to serve customer better during peak hours.

Online banking is very good tools for the customer because people have become busy in

their lives and prefer online banking so ABL need to go for online banking with

aggressive approach.

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Conclusion

My purpose of doing internship at the Allied Bank was to know how actually the banking sector

of Pakistan does actually work. As I have studied different finance courses in my BBA (Hon’s)

degree I also want to test my little finance knowledge which I have learn so for. Doing internship

at Allied Bank really encourage professionalism in me, and motivated me to choose my majors

in finance in my last two semesters. Working at Allied bank was not an easy job and sometimes

it’s become too hectic at peak hour that you don’t have the time to look around. Allied bank gave

me motivational support and encouragement that will help me in my practical life. I am thankful

to Allied Bank that they were supportive and corporative to me in every matter that I faced

during internship and for providing me such a great opportunity for learning the real life business

practices and for providing me a plat form where I could test my knowledge.

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References

1) http://www.alliedbank.com.pk

2) Allied bank of Pakistan wiki (Google)

Appendix

Deposit slips

Demand drafts

Pay order

Bank draft

Vouchers

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Acknowledgment

I am extremely grateful to ALLAH Almighty, the most Gracious, and the most Merciful for

enabling me to complete this task successfully.

I am very much thankful to my parents, whose continues support, prayers and good wishes

have enabled me reach this stage where I am standing today.

I am thankful to my teachers for their help, advice, and guidance through my whole

degree, I would also like to say thanks here to the staff of the Allied Bank Ltd (specially

branch manager sir Amir Nizam) for their cooperation, help and support.

I am grateful to my seniors and all other people who contributed their precious time and

efforts in this regard.

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Personal Resume (CV)

Name: Mujtaba Ahmed.

DOB: 16-7-1992.

Postal Address: House #21, Street #21, Korang town Islamabad.

Mobile: 0333-5939221.

Email: mujtaba.ahmed1992@gmail.com.

Career objectivesTo work in dynamic and stimulating environment, which would be both challenging and provide

good opportunities, for professional as well personal growth.

Education 2010 – 2014: COMSATS Institute of Information Technology, Islamabad.

Department of Management Sciences

Bachelors in Business Administration, BBA (Hons).

2008 – 2010: Indus college of commerce G-10 Markaz Islamabad.

12th Grade ( I.COM)

2006 – 2008: Baharia foundation college f-11/3 Islamabad.

Matriculation(science)

Extra-curricular activities

Regular participant in quiz competitions and sporting events at school/ college/

university.

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Skills Good communication skills with a high level of fluency in English and

Urdu.

Excellent intrapersonal skills.

Team-oriented with good time management skills and a passion for

taking on challenging tasks/projects/assignments.

IT Skills: Proficient in Microsoft Office (MS Word, PowerPoint,

Excel, Publisher), Web Browsing and Networking. Website developing.

References:References will be available on request.

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