SWOT Analysis

25 December 2012Bank visited: UBLManager name: Sohrab Basher

Slides By Rana Usman SattarStudent Of BBA(Hons)PMAS Arid Agriculture University RawalpindiGmail: ranaa.usman@gmailFacebook: usman.shan86@yahoo.com

A technique that enables a group or individual to move from everyday problems and traditional strategies to a fresh perspective.

S – Strengths W – Weaknesses

O – Opportunities

T – Threats

Internal Environment

External Environment

Any existing or potential resources or capability within the organization that provides a competitive advantage in the market.Example:

• Strong distribution network• Intense Staff commitment and loyalty• Increasing profit margin

Activity #1: Can you identify some of your organisation’s strengths?

Any existing or potential force which could serve as a barrier to maintaining or achieving a competitive advantage in the market.

Example:

• Lack of a clear company strategy• Lack of training opportunities for using a new software

Activity #2: Can you think of some of your company’s weaknesses?

Any existing or potential force in the external environment that, if properly leveraged, could provide a competitive advantage.

Example:

• Organisation’s geographic location• New technology

Activity #3: Can you think of some opportunities available to your company?

Any existing or potential force in the external environment that could erode a competitive advantage.

Example:

• A new competitor entrant• A recession, rising interest rates, or tight credit lines

Activity #4: Can you think of some threats to your business?

1. Take advantage of strengths and opportunities.

2. Minimize weaknesses and eliminate threats

A Company When revenue, cost and expense targets are

not being achieved; Market share is dropping; Industry conditions are unfavorable; Want to launch a new business venture; etc.

A Department/Business Unit

When the team has not met its targets; Customer service can be better; A new business unit to pursue a new business; A new team leader is appointed; etc

Job Holder

When supervisor has issues with work output; Assigned to a new job; New financial year – fresh targets; Job holder seeks to improve performance on the

job; etc.

A SWOT analysis is useful only when action plans and strategies are developed from the results

Prepare Action Plans

Analyse Internal & External

Environment

Perform SWOT Analysis and Document

Step 1 Step 2 Step 3

Solving problems Implementing change Developing strategies for achieving the

organization's objectives and mission

SWOT analysis will be useful if:

You are thinking outside the box Availability of varied perspectives – group

discussion Liberty to say your mind Willingness to break away from traditional

methods Appetite for change

 UBL Introduction United Bank Limited was established on

November 7, 1959 and incorporated as a Public Limited Company under Companies Act 1913 with authorized capital of Rs.20 million and Paid-up capital of Rs.10 million. In its very first year, it mobilized deposits of Rs.70 million and earned a profit of Rs.O.7 million. It continued to grow rapidly and soon became one of the largest banks in the country. The main reasons for its exemplary growth were the introduction, in many instances for the first time in Pakistan, of professional management, computers, economic and business research, latest managerial practices and customer orientation

The Bank is currently operating 1056 Branches Domestically and 15 Branches Overseas(USA, Qatar, UAE, Bahrain and Republic of Yemen). UBL hold 51% of its total shares other 49% shares are owned by Government. After the privatization of banking sector in Pakistan UBL implemented its strategies to achieve the comparative advantage in the Market place . UBL due to its innovative corporate culture wins their customer trust. UBL is running four websites to provide information and customer services which are:

www.ubl.com.pk www.ublonline.com www.ublfunds.com www.ublinsurers.com

3rd largest Bank of Pakistan in term of deposits. 2nd largest Privatized Bank of Pakistan. UBL offering Customized Products and services.

aggressively better then its competitors. Improved operational efficiency as to its past. Humble Customer service and fast delivery of

online and offline services. Marvelous Image and Reputation of the bank in

the eyes of its customers. Extensive Branch network.  UBL Product positioning is very effective.

UBL target the segment like salaried person, business people and self employed person.

UBL product positioning affect the life style of the people as they help in improving standard of living.

1056 Branches all over Pakistan. Stands in the list of Profitable bank in stock

exchange. Largest number of corporate deals by any bank is

Pakistan. Overseas Branches. Attractive Salaries and incentives for employees. Personnel of UBL are very well trained.  Majority of employees have many years of experienc

e in banking sector and are an asset for the bank.

No standardization in terms of branches some of the branches are very attractive and most of the branches are not very good like other branches.

In some regions, urban areas of Pakistan service of UBL is not good as compared to other  privatized banks.

The application time is also quite lengthy. UBL is a step behind in using new technology as compared

to other banks. All branches need orientation for customer dealing. Most of the employees are overload with the work and

promotion is also not timely. Most of employees are experienced and they are not able to

deal. customers well, adopt new culture and above all they are unable to use of new technology like computers.

No separate training center to train their employees Employees are not well dressed Workforce is not diverse Security system in most of the branches is not up to the

mark.

Bank can extend its network in other cities of Pakistan like other 4 remote cities, it would increase their sales.

Proper orientation of employees in all branches can help them to cope up with foreign banks.

By bringing new technology and modern business processes will bring the change and increase their profitability.

Call center services should be improved to enhance their network.

Online system all Internet banking Have different plains for costumers Mobile banking

Large and increasing competition. High operating costs. Lack of huge deposits.