overall banking activities of shahjalal islami bank limited
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Overall Banking Activities of Shahjalal Islami Bank Limited
Chapter # 1Introduction
The Internship is a four-credit compulsory course for the business students graduating from Bangladesh University of Business & Technology (BUBT). The objective of this component is to provide a hands-on experience to a student graduating under different discipline of Bangladesh University of Business & Technology (BUBT). The Internship takes place in a firm/organization or an institution. After completing one hundred and twenty credit hours, a BBA student have to do an internship in any area of business specialization under the concentration like Marketing, Finance, Management, Human resource etc.
(1.1) Background of the study:Knowledge and learning become perfect when it is associated with theory and practice. Theoretical knowledge gets its perfection with practical application. As our educational system predominantly text based, inclusion practical orientation program, as an academic component is as exception to the norm. As the parties; educational institution and the organization substantially benefit from such a program, it seems a win-win situation. It establishes contracts and networking contracts. Contracts may help to get a job. That is, students can train and prepare themselves for the job market. A poor country like Bangladesh has an overwhelming number of unemployed education graduates. As they have no internship experience they have not been able to gain normal professional experience or establish networking system, which is important in getting a job. So, practical orientation is a positive development in professional area. Recognizing the importance of practical experience, School of Management and Business Administration has introduced a three months practical exposure as a part of the curriculum of Master of Business Administration program. In such state of affairs the present aiming at analyzing the experience of practical orientation related to General Banking activities in the Shahjalal Islami Bank Limited, Banani Branch.
(1.2) Origin of the report:Internship is a particular course of BBA program. The primary goal of the internship program is to provide the intern with the job experience by orienting the intern with the organization and opportunity for the intern to relate the theoretical conceptions in the real business environment. This program is for three (3) months duration. The period for this program was form July 06 2008 to October 06 2008. During this period I have worked closely with the employee & stuffs of the Bank. I was assigned a topic Overall Banking activities of Shahjalal Islami Bank Limited by the supervisor for the program.
(1.3) Scope of the report:The scope of the organizational part covers the organizational structure, background, objective, function and department and business performance of SJIBL as a whole. The main part covers the operational scenario of advance, foreign exchange, remittance of Banani branch as well as over all of SJIBL. This refers that how the bank help the customers in exporting and importing the goods, providing advance, and how it remits the money of the foreign clients, etc. all are in the project part of the report.
(1.4) Objects of the report:The primary objective of this report is to achieve practical knowledge about banking to observe; what are the basic services, but the specific objective of this report as follows:To know about the general banking.To know about loans and advances.To know about Foreign Exchange.To analyze the performance of over all Islami banking of SJIBL.To know about the difference between conventional and Islami banking.To identify Marketing mix of SJIBLTo identify an understand different product offering of SJIBL.
(1.5) Methodology: Methods followed to perform a job or conducting activities to complete a task is called methodology. As I was conducted, I concentrate on issues that a directly or indirectly related with marketing practice. Therefore, I have done both qualitative and quantitative data analysis. Generally the study was descriptive in nature.1.5.1) Types of research: The research was descriptive in nature.
1.5.2) Source of data Collection:The data collection method of study consists of both of primary and secondary sources. But majority of the information was collected from secondary courses.
A) Primary sources: The primary sources include interviewed with the bankers and my work experience.B) Secondary sources: The secondary sources are the annual reports of the SJIBL 2006-2007 and other published prospects. Articles, newspaper, Relevant books, journals etc1.5.3) Data collection procedure:A) Primary data:Observation, Focus group, In-depth interview, and survey method are used for primary data collection B) Secondary data:Secondary data collect from annual report, articles and Shahjalal Islami Bank Limited website.
1.5.4) Questionnaire design:Researcher administrated type of well structure questionnaire was used for primary data collection. Both open ended & close-ended questions were included. Average time for conducting individual questionnaire survey was 20 minutes.
1.5.5) Sampling Plan: A)Target Population: All the officials & clients of at Shahjalal Islami Bank Limited (SJIBL), General Banking and Credit were target population of my study.
B) Sample Unit: For buyer questionnaire, survey sample unit was the individual officials & clients of at Shahjalal Islami Bank Limited (SJIBL) Banani branch, Dhaka.
C) Sample size: Minimum 66 sample size I took. 30 for employee & 36 for customer.
D) Sampling Method: Non probability convenience sampling method (Mall intercept) & non probability judgmental sampling method was used for survey officials & clients of at Shahjalal Islami Bank Limited (SJIBL) Banani branch, Dhaka.
E) Sample Frame: Structured sample frames are follows:
Employee Surveyed Client SurveyedTargetPopulationSample UnitSample size
Shahjalal Islami Bank Limited (SJIBL) Banani branch, Dhaka.
General Banking(GB)CreditForeign Exchange (FE)10
30Target PopulationSample UnitSample sizeShahjalal Islami Bank Limited (SJIBL) Banani branch, Dhaka.
General Banking(GB)CreditForeign Exchange (FE)12
1.5.6) Data Analysis: This is descriptive report mainly aiming to depict the Overall Banking Operation and Overview of Shahjalal Islami Bank Ltd. In order to make the study effective and efficient, following tow sources of data and information have been used widely. I have analyzed these reports and document in the light of analytical review. I have used some statistical tools, graphical presentation, and table to find out the different types of analytical result. Those are given the overall picture of the Shahjalal Islami Bank Ltd.(1.6) Limitations:There were several constraints while preparing this report; only 12 weeks were not sufficient to visit all the desks of the branch. So some desks were remained unvisited. Moreover, some officers in some desks were found non-cooperative. Such desks were remained unexposed. The branch also refuses to provide data on its performance, especially in loans and advances. It is also not possible to go to the depth of each activities of branch because of time limitation. Therefore, it was very difficult to carry out the whole analysis.Chapter # 2Profile of the Organization (2.1) Profile of the Organization: Shahjalal Bank Limited was established as a public limited company on April 01, 2001 under company act, 1994. The bank commenced its commercial operation in accordance with Islamic Shahriah on the 10th May 2001 under the ambit of the bank companies Act, 1991. The name of the bank was changed to Shahjalal islami bank limited w.e.f 10th May 2004. During Last five years SJIBL has increased its service coverage by opening new branches at different strategically important locations across the country. In order to cover the shortfall in capital adequacy and fulfill other requirements, the paid up capital has been increased to TK. 466.83 million by injecting TK. 236.20 million by the sponsors in 2004. the sponsors again injected additional TK. 469.00 million by 15th May 2005 to make the sponsors contribution to capital TK. 935.83 million. The bank has the plain to go for initial public offerings (IPO) of share, which will assist the bank to raise its paid up capital to TK. 1871.65 million. The bank was sponsored by the group of local businessmen having exposure in RMG, insurance, electronics and education etc. Alhaj Sajjatuz Jumma is the present and founder chairmen of the bank having business experiences of more than 26 years in the field of electronics, food and education. SJIBL provides a wide range of sharia based commercial banking services. Shariah Council of the Bank:As per Article 30 of the Artic ales of Association of the Bank, Shariah Council for the Bank has been constituted. The Shariah council of the Bank consists of prominent Ulama, Lower and Economist to advice and guide on the implementation of Islamic Shariah in business activities. The council enjoys a special status in the structure of the bank and playing a vital role to make the Bank as shariah compliant. In the year 2007, the total number of meetings of the Shariah Council of the Bank was 3 (three) and subcommittee meeting was 01 (one).
(2.2) Objective:From time immemorial Banks principally did the functions of moneylenders or "Mohajans" but the functions and scope of modern banking are now-a-days very wide and different. They accept deposits and lend money like their ancestors, nevertheless, their role as catalytic agent of economic development encompassing wide range of services is very important. Business commerce and industries in modern times c