INTRNSHIP REPORT ON

Muslim Commercial Bank

Internship Report submitted to the Faculty of Management and Administrative Sciences in Partial
Fulfillment of the Requirements for the Degree of Master of Business Administration
MBA 5th Semester
Fall 2013
UNIVERSITY OF GUJRAT
Name of Program Coordinator ________________
Signature of Program Coordinator ______________

Dedication
I dedicate this report to my cooperative teachers, my loving parents and my friends who help me on each
and every step of my internship. I also say thanks to the University of Gujrat which polish my abilities and
taught professional skills in a very good manner.

Acknowledgement

Immeasurable thanks to GOD Almighty for giving me such extraordinary abilities and making me
privileged enough to take part in such activities.

I also want to my gratefulness to my loving parents and my modest teachers and my friends, who make
me able to do this because they gave me courage and support to accomplish this task.
My thanks and appreciations also go to my age group in developing the report and people who have
willingly helped me out with their abilities.
At the end, I also thankful to all the staff of MCB (Jalalpur Jattan) who was fully cooperate with me.

Table of contents
Title page
Description

Page no.

Acknowledgement
1- Executive Summary---------------------------------------------------------------------------06
PART- l
2- Introduction-------------------------------------------------------------------------------------07
2.1 Brief History ----------------------------------------------------------------------07
2.2 Role of bank in Pakistan -------------------------------------------------------07
2.3 Functions of MCB in Pakistan ------------------------------------------------07
2.4 Vision ------------------------------------------------------------ ------------------08
2.5 Mission-------------------------------------------------------- ---------------------08
2.6 Core values--------------------------------------------------------- ---------------08
2.7 Corporate profile---------------------------------------- ------------------------09
2.8 Organizational hierarchy chart----------------------------------- ------------10
2.9 Reward and success stories ------------------------------------ -------------- 11
2.10 Bank branches------------------------- ------------------------ ------------------12
3- Organizational overview------------------------------------------------ -------------------- 12
3.1 Nature of organization------------------------ -------------------------------- 13
3.2 Product line-----------------------------------------------------------------------14
3.3 MCB AGRI financing products-----------------------------------------------18
3.4 MCB virtual banking------------------------------------------------------------20
3.5 upcoming products--------------------------------------------------------------23
3.6 Islamic banking products-------------------------------------------------------24
PART-2
4- Internee Working ------------------------------------------------------------------------------25
4.1 Introduction of MCB BAHGOWAL--------------------------------------------25
4.2 Detail of supervision ---------------------------------------------------------------26
4.3 Hierarchies of staff -----------------------------------------------------------------26

5- Departments of MCB------------------------------------------------------------------------33
5.1 Departments in which I have worked-------------------------------------------33
6- Account opening by me----------------------------------------------------------------------34
7- Summary of learning----------------------------------------------------------------------- 36
8- SWOT Analysis------------------------------------------------------------------------------ 38
8.1 Strength
8.2 Weakness
8.3 Opportunity
8.4 Threat
9- PEST Analysis-------------------------------------------------------------------------------- 40
9.1 Political
9.2 Economic
9.3 Social
9.4 Technical
10- Recommendations & Suggestions--------------------------------------------------------41
11- References-------------------------------------------------------------------------------------43

1- Executive Summary

MCB Bank Limited has a solid base of over 50 years in Pakistan, with a set-up of over 1000 Branches,
over 850 of which are automated Branches, over 350MCB ATMs in 41 cities nationwide and a network
of over 12 banks on the MNET ATM switch.
MCBs operations continued to be streamlined with focus on rationalization of expenses, re-alignment
of back-end processing to increase productivity, enhancement of customer service standards, process
efficiency and controls.
It was a first experience in my life in any professional organization. I explore my skills and abilities
through this experience. I worked in different departments in different situations. There was a little bit
hesitation when I started, but after some time I feel confident. It was a most learning experience of my
life. I started my work from accounts department. I knew how many types of accounts they have.
Starting days were difficult to understand but after few days I feel expert for account opening. I deal
different kind of customers included non educated customers. He also told me the reasons for closing
the accounts. All activities done by myself. Mr. Saadat was very helpful and kind person. He sorts out
my problems and told me how to handle different problems. After one week I started work with the
cashier Mr. Kashif. He told me how to handle the cash and utility bill payment system. He told me how
to record all cash transactions and specifications for check payments. He gave me separate computer
system. Firstly I match the number of customer which will give by him after that the name of the
sender and receiver and also the amount. Then I press the print button and the printed page gives to
him for signature and collecting money from counter.
After that I spent some days in clearing department. Mr Murtza Shah told me some of works done by
clearing house are Transfer cheques, Transfer Delivery cheques and clearing cheques.
These all actives were new for me. You are hardworking, efficient and intelligent boy said by
everyone in the bank. They were happy with my work and gave me lot of wishes and tips for my future.

HISTORY OF MCB:

MCB Bank Limited, with more than 60 years of experience as one of the leading banks in Pakistan, was
incorporated on July 9 in 1947. The bank has journeyed remarkable tenure of more than half a century of
competitively edged and well positioned heights of success by deploying quality banking, heads on
technological developments, professionally leading management and prudent and ethical work
methodologies. MCB was nationalized along with other private banks in 1974 as part of Government of
Pakistan's economic reform movement and was later privatized to Nishat Group lead consortium in 1991.
Since privatization, MCB's growth has been phenomenal. Today, MCB in one of the largest foreign banks
in Sri Lanka, the first bank in Pakistan to launch Global Depository Receipts (GDR) in 2006, has strategic
foreign partnership with Maybank of Malaysia which holds 20% shares in MCB through its wholly owned
subsidiary Mayban International Trust (Labuan) Berhad since 2008, has international indirect regional
presence in Dubai (UAE), Bahrain, Azerbaijan, Hong Kong and Sri Lanka and serving through a domestic
network of over 1,150 branches and over 690 ATMs across Pakistan with a customer base of 4.96 million
(apprx.)
MCB is reputed as one of the soundest financial institution and as one of the leading banks in Pakistan
with a deposit base of PKR. 545 bln (apprx.) and total assets of PKR 766 bln (apprx.). The bank is versed

as one of the oldest and most responsible banks in Pakistan and has played pivotal role in representing the
country on global platforms while being one of the few institutions that are recognized and traded in the
international market.

Vision and Mission:

Vision Statement

To be the leading financial services provider, partnering with our customers for a more prosperous and
secure future.

Mission Statement
We are a team of committed professionals, providing innovative and efficient financial solutions to create
and nurture long-term relationships with our customers. In doing so, we ensure that our shareholders can
invest with confidence in us.

CORE VALUES
INTEGRITY
We are the trustees of public funds and serve our community with integrity. We believe in being the best
at always doing the right thing. We deliver on our responsibilities and commitments to our customers as
well as our colleagues.
INNOVATION
We encourage and reward people who challenge the status quo and think beyond the boundaries of the
conventional. Our teams work together for the smooth and efficient implementation of ideas and
initiatives.

EXCELLENCE
We take personal responsibility for our role as leaders in the pursuit of excellence. We are a performance
driven, result oriented organization where merit is the only criterion for reward.

CUSTOMER CENTRICITY
Our customers are at the heart of everything we do. We thrive on the challenge of understanding their
needs and aspirations, both realized and unrealized. We make every effort to exceed customer
expectations through superior services and solutions.

RESPECT
We respect our customers values, beliefs, culture and history. We value the equality of gender and
diversity of experience and education that our employees bring with them. We create an environment
where each individual is enabled to succeed.

CORPORATE PROFILE
Board of Directors (As at June 30, 2013)
1. Mian Mohammad Mansha

Chairman

2. S. M. Muneer

Vice Chairman

3. Tariq Rafi

Director

4. Shahzad Saleem

Director

5. Sarmad Amin

Director

6. Mian Raza Mansha

Director

7. Aftab Ahmad Khan

Director

8. Mian Umer Mansha

Director

9. Dato' Seri Ismail Shahudin

Director

10. Datuk Abdul Farid Bin Alias

Director

11. Ahmad Alman Aslam

Director

12. Muhammad Ali Zeb

Director

13. Imran Maqbool

President & CEO

Management
1. Imran Maqbool

President & CEO

2. Ali Munir

Group Head - Strategic Planning & Investment

3. Agha Saeed Khan

Group Head Operations

4. Salman Zafar Siddiqi

Chief Financial Officer

5. Ali Mubashir Kazmi

Group Head - Retail Banking

6. Muhtashim Ashai

Group Head - Wholesale Banking

7. Shahid Malik

Group Head - CCM & Special Projects

8. Kamran Rasool

Group Head - CSR & Security

9. Mohammad Ramzan

Group Head - Treasury & Forex

10. Usman Hassan

Group Head - Human Resource

11. Raheel Ijaz

Group Head - Compliance & Control

12. Laqa Sarwar

Group Head - Special Assets Management

13. Syed Rashid Rahman

Group Head - Islamic Banking

14.

Mohammed

Chughtai

Nauman

Group Head - Risk Management

15. Imtiaz Mahmood

Head - Information Technology

16. S. Mudassar Naqvi

Group Head - Legal Affairs

Audit Committee
1. Tariq Rafi

Chairman

2. Aftab Ahmad Khan

Member

3. Dato' Seri Ismail Shahudin

Member

4. Ahmad Alman Aslam

Member

Human Resource & Remuneration Committee

1. Mian Mohammad Mansha

Chairman

2. Mian Raza Mansha

Member

3. Ahmad Alman Aslam

Member

4. President & CEO

Member

Risk Management & Portfolio Review Committee

1. Mian Umer Mansha

Chairman

2. Sarmad Amin

Member

3. Muhammad Ali Zeb

Member

4. Datuk Abdul Farid Bin Alias

Member

5. President & CEO

Member

Committee on Physical Planning & Contingency Arrangements

1. Sarmad Amin

Chairman

2. S. M. Muneer

Member

3. Mian Umer Mansha

Member

4. President & CEO

Member

IT Committee

1. Mian Raza Mansha

Chairman

2. Aftab Ahmad Khan

Member

3. Ahmad Alman Aslam

Member

4. President & CEO

Member

Business Strategy & Development Committee

1. Mian Mohammad Mansha

Chairman

2. S. M. Muneer

Member

3. Mian Raza Mansha

Member

4. Mian Umer Mansha

Member

5. Datuk Abdul Farid Bin Alias

Member

6. Ahmad Alman Aslam

Member

7. President & CEO

Member

SBP Report Compliance Monitoring Committee

1. S.M. Muneer

Chairman

2. Sarmad Amin

Member

3. Ahmad Alman Aslam

Member

4. President & CEO

Member

Write Off & Waiver Committee

1. Mian Mohammad Mansha

Chairman

2. Tariq Rafi

Member

3. Aftab Ahmad Khan

Member

Chief Financial Officer

Salman Zafar Siddiqi

Company Secretary & Group Head Legal Affairs

Syed Mudassar Hussain Naqvi

Group Head Audit & RAR

Kamran Zaffar Muggo

Associated Companies

1. Adamjee Insurance Company Ltd.

Year 2012
2.The
First
Women
Bank
Asset
Triple
A Ltd. Best Domestic Bank Pakistan
money
3.Euro
Euronet
Pakistan (Pvt.) Best
Ltd. Bank in Pakistan
NFEH
CSR Business Excellence Award Best Media Coverage
ICAP and ICMAP
2nd Best Corporate Report Award 2011- Banking Sector
World Finance
Best Commercial Bank - Pakistan
Pakistan
Centre
for
PCP Corporate Philanthropy Award
Subsidiary Companies
Philanthropy
2011
1.Year
MCB
Financial Services Ltd.
CFA
Association
Most Stable Bank of the Year
2. MNET Services
(Pvt.) Ltd.
3.Pakistan
MCB Trade Services Ltd. - Hong Kong
CFA
4. Arif HabibAssociation
Investments Best
Ltd. Bank of the Year
5.Pakistan
"MCB Leasing" Closed Joint Stock Company - Azerbaijan
Euro money
Best Bank in Pakistan
ICAP / ICMAP
1st - BCR Award 2010 - Banking Sector
SAFA
Joint 2nd Runner-up for BCR 2010
AWARDS & ACCOLADES
Year 2010
The Asian Banker
The Asian Banker
MMT
ICAP / ICMAP
SAFA

Strongest Bank in Pakistan

Leadership Achievement Award
Best Bank Led MMT Service
1st - BCR Award 2009 - Banking Sector
Certificate of Merit Award for BCR 2009

Year 2009
BASIC
BANKING ACCOUNT
Asiamoney
Best Domestic Bank in Pakistan
The Asset
Best Domestic Bank in Pakistan
Year 2008
Euromoney
Euromoney
Asiamoney

Best Bank in Asia

Best Bank in Pakistan
Best Domestic Bank in Pakistan

Year 2006
Euromoney

Best Bank in Pakistan

Its as simple as ABC to start banking with MCB.

Look after your money the simple way with MCB
Basic Banking Account.
KEY POINTS
No minimum balance requirement.
2 deposit and 2 withdrawal transactions free per month.
Transactions over & above the limit to be charged @ Rs.35/- per transaction.
Customers can avail ATM, MCB Mobile and free Virtual Banking facilities.
MCB ACCESS:
Branches, on your way
Hundreds of 9-5 full day banking branches (including Saturdays).
Network of over eleven hundred and fifty online branches, at convenient
locations.
ATMs (Access 24/7)
Over 690 MCB ATMs.
Over 6000 ATM Nationwide ATMs.
Call Center, at your fingertips (Access 24/7)
General Inquiry e.g. ATM Locations, Product Information etc.
Financial Services e.g. Account Balance Inquiry, Debit Card, Transaction
detail, bill payments etc
Non-financial Services e.g. Internet Banking activation etc.
Internet Banking, virtually anywhere (Access 24/7)
Bill payments and Funds Transfer.
Bank Account Statement and Cheque Book Request.
SMS Banking, on the go (Access 24/7)
Balance Inquiry details.
Last 4 transaction details.

MCB BANCASSURANCE

As dreams pass into the reality of action, from the actions stems the dream again. This interdependence
constructs the highest form of living. Your dreams may be to give your children the best education, live
a dignified life after retirement, or just keep your loved ones financially secure and protected. What
everyone wants from life is a continuous and genuine happiness. Your action to plan for your future
financially will stem your dreams. MCB Bancassurance has a financial plan that fits all your needs by
fulfilling you and your loved ones dreams and keeping your Har Pal Mehfooz.
Combining the best of banking and financial solutions, MCB Bancassurance provides a one-stop shop
solution for you by guaranteeing convenience and security with a wide range of products available for
all your financial needs.
All our plans are specially designed by reputable insurance providers. These companies have excellent
experience with insurance products and guarantee that your funds would be in good hands as there is a
team of professional investment experts in each company working on making the funds grow higher in a
secure manner.
Each plan is designed to give you a peace of mind because we know that in the end, its not the years in
your life that counts. Its the life in your years.
Products:

Loans:

Flexi life
Life Partner
Edu Care
Dream Wedding
Capital Sure
Retire Easy
Income Max
Future Assure
Protection Plan
Save and Assure
Kafalah

Type:
1.
2.
3.
4.

Care4u
Cash4cash
Student personal loan
Home loan

Flexible:

Option for financing or leasing

Financing tenures from 1 to 7 years
Option for new as well as used cars
Options for local as well as imported cars
Financing up to Rs. 25 Lacs
Option for early payment
Option for replacement loan

AFFORDABLE:

Lower mark up rates

Lower insurance rates
Minimum 20% down payments

SPEED:

Fast and hassle free processing of application

Priority delivery on different vehicles

SPECIAL BENEFITS:

No processing fee if the case is declined

Pay your down payment after your loan is approved

AVAILABILITY:

Currently available in the following cities:

Karachi, Lahore, Faisalabad, Rawalpindi, Islamabad, Sialkot, Gujranwala, Hyderabad.

EXISTING CUSTOMERS:

Get discounted rate if you are already our customer for Personal Loan, Pyara Ghar or

Business Sarmaya.
If you are our branch customer, you can avail this facility anywhere in Pakistan.

MCB GOLD PLUS

THE MOBILE-ENABLED VISA DEBIT CARD

From the makers of MCB Mobile comes a brand new innovation MCB Gold Plus - Pakistan's first
chip-based Visa Debit Card pre-enabled with the power of mobile.
With MCB Gold Plus, access to your account is now just a touch away.
International Acceptance
The Visa Gold Plus Card is accepted at more than 50 million merchant locations and close to 2 million
ATMs across 200 plus countries. Not only this but you can also access your funds, make payments, and
pay bills using your mobile phone from anywhere in the world.

All Telecom/Device Compatible

Enjoy compatibility everywhere. The MCB Gold Plus innovation
works with any telecom service provider in Pakistan and runs on
all internet enabled handsets or smart phones.
Unlimited Transactions
No extra charge. MCB Gold Plus digital payments are
demonetized and made free of charges so that you and your
loved ones can save more time and money as you transact more
and more. So now you can make payments and access your
money, anytime, anywhere without the worry of paying a charge
every time.

Limits

&

Fee

Gold Plus

Structures
Daily Transaction Limits:
ATM Withdrawal
Shopping
MCB Mobile
Promotional Schemes:
Cash Back on 1st Retail Purchase (1)
MCB Mobile
1300 cc Car Lucky Draw (2)
Annual/Issuance fee (3)
Replacement Charges (3)
Total Cost of 1st Year (4)

Gold

50,000
150,000
100,000

25,000
100,000
100,000

10,000
25,000
100,000

PKR 250
Free
Yes
1,000
1,000
750

PKR 250
300
Yes
750
750
500

No
300
No
500
500
500

(1) Worth PKR 100 or more within 30 days of card activation.

(2) For POS transactions carried out till 31st December 2012.
(3)Charges exclusive of FED & other taxes, if any.
(4) After cash back

MCB VISA DEBIT CARD

Silver

MCB now brings you Visa Debit card Pakistans 1st chip based debit card. It allows the customers to
enjoy unmatched convenience, enhanced security and round-the-clock accessibility to their funds.
The MCB Visa Debit card offers innovative promotional schemes designed to reward our customers
every time they use the card to pay for shopping, dining, fuel, travel etc. Features such as increased
withdrawal limits, SMS alerts, door step delivery, instant ATM PIN generation via call center, eStatements and variable Spending Limits add to the convenience it offers. Customers receive
guaranteed PKR 250 Cash Back* when they use the card to make a payment for the 1st time and
automatically enter into a draw to win from several 1300 cc cars.
These offers are only valid on Gold Cards. There are no promotions on Silver Card.

MCB AGRI FINANCING PRODUCTS

PRODUCTS
1.
2.
3.
4.
5.
6.
7.
8.
9.

Shadabi plan
Khushali scheme
Tractor financing scheme
Aabiari scheme
Grower financing
Dairy & meat plan
Murghbani scheme
Baghbani scheme
Mahigiri scheme

HOME REMITTANCE

Send FREE, Receive FREE

MCB Home Remittances offers unmatched services for overseas Pakistanis to send money home FAST and
FREE across Pakistan with our large network of over 1150 branches.

MCB Home Remittance Service is FREE & INSTANT through our international send agents like
"Money Gram", "Xpress Money" and "Samba Speed Cash Now". Pick up your remittances from
any MCB branch displaying these logos.

MCB Fast Transfer enables you, the Non Resident Pakistanis, to send money to your loved ones in
Pakistan through hassle free account credit.

MCB Pak Cash (Cash in a Flash) is available via MCB's entire branch network. Payments can be
made at any MCB branch to walk-in customers simply with the provision of their Xpin code and
CNIC no, account number is required for such transactions.

TRANSACTION BANKING

Transaction Banking provides a wide range of solutions designed to meet the needs of our corporate and
institutional business partners. At MCB, we understand how important it is for you to access your funds and
utilize the MIS to benefit your business needs. It is around these fundamental concepts that we have
customized our product solutions.

Structured Cash Management Solutions

Processing Agent for Utility Companies

Collections

Online Fund Transfer (OFT)

Tejarat Card

Payments

Payroll

Vendor Payments

Dividend Warrants Management

Channel Financing
Correspondent Banking
Home Remittances
Custodian Banking Services

Online Fund Transfer Facility (OFT)

This state of the art web based electronic fund transfer facility has been specifically designed to facilitate
Corporate cash management and the large network of franchises /dealers/distributors to be able to log on to a
secure MCB web site and transfer funds from their account to the company with real time MIS and alerts.

Tejarat card
Tejarat card is a closed loop debit card designed for electronic cash payment solution which could empower
businesses to conduct business-to-business payments through Point of Sale (POS) terminal.

Our payments services include bulk fund transfers to instruments issuance to over the counter cash payments
that allow our customers to process payrolls and other commercial payments through MCBs Network

We also provide customized end to end dividend payment solutions for our customers.

Channel Financing
MCB provides working capital facilities to dealers and vendors for select companies through a structured
product program.

Correspondent Banking
We offer a facility to assist small banks and financial institutions to utilize MCBs extensive branch network
platform to make payments in areas where their own branch network does not reach.
Home Remittances
MCB Home Remittances delivers unmatched services for overseas Pakistanis to send money home FAST and
FREE across Pakistan with MCBs large network of over 1100 branches.

INVESTMENT BANKING DIVISION

Our Investment Banking arm has played a dynamic role in the local market space in Pakistan through
innovative structured solutions for its customers and is regarded as one of the leading investment banking
house in the country. Our IB team has strong origination and distribution capabilities and a successful track
record for efficient execution. In 2007, a USD 53 million listed bond issue led by MCB was awarded The
Banker's Deal of the Year for Pakistan, by Financial Times, UK. During the last three years, we have led or
participated in deals over USD 5bn, of which 65% are in the energy sector, 14% in fertilizer and chemicals,
11% in telecom and 10% in other industries.
Our goal is to provide best financial solutions to our client helping them achieving their objectives and
support economic growth of the Country.
MCB VIRTUAL BANKING

MCB Virtual Internet Banking offers you the convenience to manage and control your bank account and
finances; when you want and where you want. MCBs Virtual Internet Banking facility is:
- Simple
- Secure
- Free of cost
MCB Virtual Internet Banking allows you to access banking services, 24 hours a day, 7 days a week and
throughout the year.

What do we offer
MCB Virtual Internet Banking offers a wide range of online services which makes your banking accessible
anytime and from anywhere.

Detailed Account Summary of all listed accounts.

Mini-statements of each of the listed accounts showing last 6 transactions for those account(s).

Statement-by-Period of each of the listed accounts, based on the period specified.

Immediate or Scheduled Transfer of Funds between your own accounts, as well as to third-party accounts
setup as beneficiaries, maintaining accounts with MCB.
Scheduling of One-Time as well as Recurring Funds Transfers.
Payment of utility bills for registered Utility Companies.
Immediate or Scheduled Bill Payments. Scheduling of One-Time as well as Recurring bill payments.
Option for Full or Partial payment based on the payment conditions.
Bulk Salary Transfer for Corporate Customers, to facilitate them in paying salary to the corporate
employees who maintain accounts with MCB.
Cheque Book Request for any of your listed accounts.
Payment/Transfer Alerts for reminding, in advance, prior to the processing of specified payments and
transfers.
Personal Alerts for reminding of pre-specified events and occasions.
Mobile Recharge facility for all mobile companies!

Islamic banking:

INTRODUCTION

Islamic Banking Division was formed with effect from 1st January 2003, which in a short span of time, has
developed sufficient expertise, necessary infrastructure, information technology, and manpower to run Islamic
Banking Operations and offer Islamic Banking Products.

Mission Statement
To play a dynamic role in promotion of Islamic Banking and win customers trust by providing sharia
compliant financial services.
Vision Statement
To become a leader among Islamic Banks of the country in the coming years capturing major share of the
domestic Islamic financial market.

DEPOSIT SCHEMES

If you are looking for a deposit opportunity where you can purse your funds and reap HALAL returns, we
offer following products:

Hifazat Saving Account

The minimum deposit requirement for Al-Makhraj Saving Account is only Rs. 100 and profits can be earned
semi annually.

Hidayat Current Account

If you are looking for a chequing account that gives you the ease of doing unrestricted number of
transactions, we offer Al-Makhraj Hidayat Current Account. Hidayat Current Account may be opened with a
minimum of only Rs. 1,000. With all the features and facilities that this product offers, it is highly
recommended for management of business funds.

Namat Term Deposit Account

A minimum of only Rs. 25,000 is needed to invest money in Al-Makhraj Term Deposit. Choice of tenors can
be made from a list of options namely 1, 2, 3 & 6 months, 1, 2, 3 & 5 years.

Hifazat (Plus) Saving Account

Our saving account product Hifazat Plus encourages your habit of savings. Consequently, as you save more
you earn more. The various slabs of deposits provide you opportunities to choose the most appropriately
suited amount of deposit you want to place with us to earn halal monthly profits along with additional free-ofcost features on maintaining a pre-determined threshold balance.
FUND BASED FACILITIES

MCB offers 4 broad Islamic fund based facilities:

Ijarah

Maeeshat Murabaha

Diminishing Musharika Equipment

Baraamad Export Financing

Ijarah
MCBs Islamic Ijarah, analogous to the English term 'leasing, is based on the Ijarah wa Iqtina concept

which means the sale of the asset to the lessee (customer) after the Ijarah has matured. Under this scheme,
MCB will be the owner of the asset, and you (lessee) will be given the asset to use for a certain period of time
in return for monthly rental payments. MCB will give a separate unilateral undertaking that it will offer to
sell the asset to you (lessee) at the maturity of the Ijarah agreement at a price that may be equal to the
security deposit amount, hence the term Wa Iqtina.
We currently offers 2 types Ijarah Products:
Salamat Car Ijarah
Sanat Equipment Ijarah

Maeeshat Murabaha
It is a contract between a buyer and a seller under which the later first purchases the goods at the request of
the former i.e., customer and then sells it to same customer after adding profit.
Murabah Sale Price = Cost + Expenses incurred + Agreed Profit

Diminishing Musharika Equipment

It is a contract through which the bank and its client participate in the joint ownership of a property. The
share of the Bank is further divided into a number of units and it is agreed that the client will purchase the
banks share periodically, thus increasing his own share until all the units of the bank are purchased by him
so as to make the client the sole owner of the property.

Baraamad Export Financing

Baraamad is Shariah-complaint substitute for conventional banking Foreign Bill Purchase (FBP)
product, which fulfils your working capital requirements needed to meet your export requirement. The
Shariah-compliant financing you avail under this product assists you to continue your production cycle in
order to manufacture consignments for export.

NON FUND BASED FACILITIES

MCB offers 1 broad Islamic non fund based facility:

Kafalat Bank Guarantee

Kafalat Bank Guarantee

Kafalat based on the concept of Kafalah the bank acts as an intermediary in certain kinds of transactions in
order to ensure an atmosphere of security and confidence for both parties, giving you peace of mind to carry
out your transaction in a Shariah-complaint manner.

UPCOMMING PRODUCTS
Diminishing Musharika Housing
Istisna Pre Shipment Export Finance
Islamic Banking Foreign Currency Deposit

ISLAMIC BANKING PRODUCTS

Mudaraba
Mudaraba is a partnership in profit whereby one party provides capital (rab al-maal) and the other party
provides labor (mudarib)
Sharika al-aqd :
Sharika al-aqd (contractual partnership) means an agreement between two or more parties to combine their
assets, labor or liabilities for the purpose of making profits.
Murabaha
Murabaha is selling a commodity as per the purchasing price with a defined and agreed profit mark-up. This
mark-up may be a percentage of the selling price or a lump sum. This transaction may be concluded either
without a prior promise to buy , in which case it is called an ordinary Murabaha, or with a prior promise to
buy submitted by a person interested in acquiring goods through the institution, in which case it is called a
Banking Murabaha i.e. Murabaha to purchase orderer. This transaction is one of the trust based contracts
that depends on transparency as to the actual purchasing price or cost price in addition to the common
expenses.
Ijarah
This terms ijarah as used in this standard means leasing of property pursuant to a contract under which a
specified permissible benefit in the form of a usufruct is obtained for a specified period in return for a
specified permissible consideration.

Ijarah Muntahia Bittamleek

One of the forms of Ijarah used by Islamic financial institutions is ijarah Muntahia Bittamleek. This is a form
of leasing contract which includes a promise by the lessor to transfer the ownership in the leased property to
the lessee, either at the end of the term of the ijarah period or by stages during the term of the contract, such
transfer of the ownership being executed through one of the means specified in the Standard.

Salam
A salam transaction is the purchase of a commodity for deferred delivery in exchange for immediate
payment. It is a type of sale in which the price, known as the Salam capital, is paid at the time of contracting
while the delivery of the item to be sold, known as al-Muslam fihi (the subject-matter of a Salam contract), is
deferred. The seller and the buyer are known as al-Muslam Ilahi and al-Muslam or rabb al-Salam
respectively. Salam is also known as salaf (lit. borrowing).

Parallel Salam
If the seller enters into another separate Salam contract with a third party to acquire goods, the specification
of which corresponds to that of the commodity specified in the first salam contract, so that he (the seller) can
fulfill his obligation under that contract, then this second contract is called, in contemporary custom, parallel
Salam or Salam Muwazi. The following is an example of such a contract. An institution on one hand buys a
specified quantity of cotton from farmers on a Salam basis and in turn, the buyer in the first Salam contract
enters into a new separate Salam contract with textile mills so as to provide them, by means of that new
Salam contract, with cotton, the specification of which are similar to the specifications of the cotton to be
acquired under the first salam contract, without making the execution of the second salam contract
contingent on the execution of the first salam contract.
Istisnaa Contract
Istisnaa is a contract of sale of specified items to be manufactured or constructed, with an obligation on the
part of the manufacturer or builder (contractor) to deliver them to the customer upon completion.

Parallel Istisnaa
Another form of istisnaa, known in modern customs as Parallel Istisnaa al-Istisnaa al-Muwazi, takes
effect through two separate contracts. In the first contract the Islamic financial Institution acts in the capacity
of a manufacturer, builder or supplier and concludes a contract with the customer. In the second contract, the
institution acts in the capacity of a purchaser and concludes another contract with a manufacturer, builder or
supplier in order to fulfill its contractual obligations towards the customer in the first contract. By this
process, a profit is realized through the difference in price between the two contracts and in most cases, one of

the two contracts is concluded immediately, (i.e.the Istisnaa contract entered into with the manufacturer ,
builder or supplier), while the second contract (i.e. the contract entered into with the customer) is concluded
later.

Part- 2
4- Internee work:
Introduction of MCB Bahgowal branch:
It was not an advanced branch were I did my internship. But they deal heavy accounts in this branch.
This is not an oldest branch but is has good reputation in this area. It is followed the instructions and
under control in regional head quarter Gujrat. I spent six week in this branch as a junior worker. The
duration of my internship was 15 july 2013 to 26 august 2013. I was an only internee in this branch that
time. All the staff members deal me like a family member. They were very cooperative and kind with me.
I had a good experience with them.
Detail of supervision:
All the bank members were very cooperative with me but Mr. Saadat supported me in every field. He is
operational manager is this branch. He also supervised me during my internship. He told me how to work
in different departments and in different situations. Some time I feel uncomfortable but he gave me
confidence and enhances my abilities.
The official staff in this branch was consisting of four members. And there was one sweeper and one
security guard. The hierarchy of these staff is given below
BM
Operational manager
TSO
IT Department Head

Starting date: 15/07/2013

Ending date: 26/08/2013

Mr.Rashid Ali
Mr. Saadat Miran
Mr. Kashif
Mr. Murtaza Shah

This was the first experience of my life in a Banking sector. There was little bit confusion in my mind
that how would I do job. I entered in Bank first day with lots of thoughts and hesitation. I met Mr.
Rashid Ali first and gave responsibility to Mr. Saadat as my supervisor. He was Operational manager
of this branch. He introduced me with other staff members. He welcomed me and keeps with him. After
that daily routine work started that is briefly described below.
1st week
Date
15-07-2013

Days
Monday

Worked performed
On my first day of internship the branch manager
Mr. Rashid Ali welcome me and introduce me with
other staff members.
He assigned me with operational manager Mr.
Saadat Miran to sit with him and check how he is

16-07-2013

Tuesday

working.
Today I again sit with Mr. Saadat he show me the
account opening form and tell me the P/L account
and current account and other facility of account
which MCB is providing with detail. There are too
much types of account in which MCB is dealing this
time some are related to P/Ls and some are attached
with fixed deposit account the interest rate is
different on all types of account which attract the

17-07-2013

Wednesday

customer with MCB promise.

It was very busy day I fill the account opening form
of a customer for a simple current account
Mr.Saadat guide me all of that but all of filling by my
hand. I also fill the check book request form and SS
card and some account related papers. I fill a deposit
slip of Rs.4000 as a first deposit of account and
issued the account number to the customer.

18-07-2013

Thursday

The account which will be opened must be posted to

system by a proper channel. It is like and opening an
E-mail account but with some difficulties. Specimen
signature card (SS card) scanned and attach with
customer profile it helps the employees at the time of
payments because they match the signature with it
sometime pictures of that customers who are
illiterate and place there thumb impression at the

place of signature are posted with their files.

19-07-2013

Friday

I check the previous account opening forms of the

customers Mr.Saadat show me some points related to
audit and give me the duty to make them correct
there were some stamp missing and some other little
faults. All of bank papers are very carefully filled
because they all scanned by the auditors critically;
all branches conduct their audit two times in a year.

20-07-2013

Saturday

The auditor comes from the head office.

Today I see the register of cheque book Mr. Saadat
taught me how to issue the check book how to fill the
check and how to fill the deposit slips. I also fill some
forms for online transaction there are different
points on check available like bearer, self cheque,
cheque by name, cross check they all are the kinds of
cheque. Mr. Saadat also tells me some other kinds of

22-07-2013

Monday

cheque.
Its an easy day of the bank not too much load of the
customers. I also deal some customer today. I help
them filling their checks and deposits slips. It was
very enjoying most of the customers of bahgowal

23-07-2013

Tuesday

branch belong to village areas.

I have filled two bank drafts today firstly I fill the
form for bank draft after that Mr. Saadat tell me
how to put the data on system a lot us a number for
bank draft the person submit the fees and the money
for the value of bank draft to cashier. After that
issued a paper like a big check which is called bank

24-07-2013

Wednesday

draft.
Today a courier come with a bundle of check books
Mr. Saadat give me the bundle and a register of
issuance of check books. And ask me to post these
are check books with their account numbers
,customer names and first check number and last
check number. This register maintains the record of
check books and at the time of audit it will help.

25-07-2013

Thursday

Today Mr.saadat ask me to call their some newly

customers who open their account last week to get
their check book from the bank. Some of them come
to bank and Mr. Saadat asks me to issue them check
books. I get their signature in front of their name
and also place the issuance date and give them their

26-07-2013

Friday

check book.
Today Mr. Rashid Ali meet me with a smiling face
and inquired me about my work how it is going it is
enjoyable my answer was yes after that he asked me
to sit with Mr. Kashif who handle the cash of the
bank. Mr. Kasif was much cooperated person he give
me the tips how to count the cash and he also ask me
to make the bundle of cask each bundle contains

27-07-2013

Saturday

hundred notes. It was very enjoying work.

Today I learn how to collect the utility bills. It was
very careful work Mr Kasif tell me first of all check
the last date of the bill is it due or not after that the
amount of the bill will be checked and we get the
money from the customers. we give two stamps on
the bill with signatures we cut it and one part of the
we give to the customer. At the closing we post all
these bills on the system. Mr. Kasif tell me the second
part of the bill sometime taken by the concerning

29-07-2013

Monday

department like wapda, sngpl or any other.

Today Mr. Kashif give a separate chair in his counter
and ask me to collect utility bills whole day. I almost
collect 50 bills today. At the time of closing Mr.
Kashif give me the chance to post bill on the system
all company has its account automatically opened by
the bank where these are posted with their customer

30-07-2013

Tuesday

numbers.
Today the head office send some fresh cash Mr.
Kashif count them and put into the locker, due to
EID this money will be distribute among their

31-07-2013

Wednesday

account holders and some other persons on demand.

Mr kashif today tell me that the busy days start now
because he will issue the new cash and transactions
will increase due to EID in these days.

01-08-2013

Thursday

Today Mr Kashif give me a register to maintain the

record of outsiders who are not account holders of
the bank with their CNIC copy for issuing of new
cash, this register was under my custody till EID and
I maintain it properly with signatures of the

02-08-2013

Friday

customers.
Check receiving and payments to account holder is
very major and important work of any bank it need
full attention of cashier because any one mistake
make it a big loss. Mr.Kashif told me some important
parts of check which will be observed at the time of
check receiving. First of all the date posted on check.
After that in subject what account holder writes
self or any other thing like any person name.
Amount will be match in words with figure signature

03-08-2013

Saturday

will be check and check also on back side of check.

Signature on the check is carefully checked the
procedure of checking signature is submit the
account number on system and then check the name
of the person and match the signature because the ss
card already scanned on system. The payment of
those checks who has thumb impression at the place
of signature are not given but to related account

05-08-2013

Monday

holder.
Today Mr.saadat give me a new responsibility at the
time of Eid the foreign receiving increase by the
name af the persons through Express money or
through some other channels. Mr.saadat guide me
about the work and give me a separate computer for

06-08-2013

Tuesday

this work.
Firstly I match the number of customer which will
give by him after that the name of the sender and
receiver and also the amount. Then I press the print
button and the printed page gives to him for

07-08-2013

Wednesday

signature and collecting money from counter.

I print more than 70 pages to for money today and
whole day I do just this work with my full attention.

12-08-2013

Monday

After celebrating the Eid now the office time is start.

On that first day the time of the bank is change from
9 to 5 customers dealing. Customers are not too
much Mr. Kashif gives me a check and guide how to
enter it into the system. He told me that every bank
has its own software for this purpose which is
specially designed. First of all give the account
number of the customer and then check is it have the
required amount in the account if yes then enter the
amount and press ok the amount automatically
deduct from the account. And system will allot you a

13-08-2013

Tuesday

number of that transaction

In banking sector every transaction will not pass in
one step there must be two steps first step preformed
cashier and that is entering the transaction into
system. And second will be performed by supervisor
(operational manager) who check the entry and
supervise it. Supervision not only for the checks but

15-08-2013

Thursday

online transfer and all entries will be supervised.

At the time of closing all the data of that day will be
saved on a disk and a closing will be run which will
be printed. It is like a balance sheet of that day all
entries recorded by their entry number on it and all
check, bank drafts, demand drafts, deposit slips and
other papers will be attached with it by their number
these papers will be saved date wise and at the time

16-05-2013

Friday

to check any mistake they will help.

Today I check properly the closing proses I check
the previous sheets and observe how it is manage.
After that in evening with the printing of those sheets
I manage them by number and attach the checks and
other papers with them. This all also help and very

17-08-2013

Saturday

important for audit.

In evening all the cash will be count and match with
the system. System automatically gives the final
balance after running the closing sheet. After
counting the cash by cashier it must be checked by
the operational manager and then the cashier put it
into the locker under the supervision of operational

manager. There is always two custodian of the locker

one is cashier and the second is operational manager.

19-08-2013

Monday

I ask to Mr Saadat to tell me about that why peoples

close their accounts. He told me some of reasons for

20-08-2013

Tuesday

closing their accounts. Reasons are as following

Death of customer
Notice from customer
Finish the amount in the account
Unsatisfactory operation
Any law order
All of the work of bank and connect with other
branches is handled through E-mail. Mr Murtza
Shah handles this all work. He also handles the
NIFT. The cheques of some other banks cleared by
NIFT some courier service providers like TCS. OCS
etc provide this service they get the cheque from the
concerning branch and cleared from it to related

21-08-2013

Wednesday

branch it take 2 days.

It was a new day with Mr Murtza Shah he told me
clearing about the clearing some time a bank may
be a collection bank and some time might be paying.
He told me about clearing house. Clearing house is a
place providing by Stat Bank Of Pakistan in all
cities all banks representatives come here for the
purpose of offsetting the interbank indebtedness
arising from the transfer of deposit by a customer of

22-08-2013

Thursday

particular bank to another.

Mr Murtza Shah told me that for clearing first of all
customer fill up a pay slip and attach the instrument
with it which he want to deposit in his account and
give it on the counter.
Mr Murtza Shah told me some of works done by
clearing house are Transfer cheques, Transfer
Delivery cheques and clearing cheques.

23-08-2013

Friday

Courier service has a big part in banking sector they

handle all the work related to NIFT and other mails
on daily basis. A register is maintained for daily
entries of the mails and also save the slips issue by

24-08-2013

Saturday

courier man.
It was my second last day in the bank. I spend it with
Mr Rashid Ali he give me some of tips for a good
manager. He told me about customer dealing how
increase the number of accounts, deposits, and
customers in the bank. This is the basic key of
success without it no bank can run his business. All
of these burdens come on the shoulder of Manager.
So a successful manager is that who has a best

26-08-2013

Monday

convincing power.
It was a last day of my internship. It was wonderful
experience. I boost up my confidence. I spend short
time with my colleagues. At 11am I left the bank
with lot of prayers wishes from my co workers. The
bank manager Rashid Ali gave me some suggestions
for my success in future and wished me best of luck.
I didnt work at that day but have lots of sweet
memories.

Supervisor signature:_____________

3.1 Departments in which I worked:

I worked in different departments;

Accounts opening departments

Cash department
IT department
Remittance department

1- Account opening department

This is the key department of bank. I worked in accounts opening departments for few days and
opened more than 20 accounts.
The kinds of accounts which NBP offers in this branch are as follows;

Current account
Khushhali bachat account
MCB Rupee Maximizer account
MCB enhanced saving account
Profit loss saving account
Current Account:
The current account gives you the permission to access to withdraw his amount any time
without any restriction. In current account the numbers of transactions are not limited. There
is no deduction of ZAKAT on the current account.
Khushhali Bachat Account:
Khushhali bachat account require low income deposit and get the profit on daily basis. The
investment is made through capital growth and gain monthly profit on monthly khushhali.
MCB Rupee Maximizer:
Basically the rupee maximize account provides the facility to the foreign currency account
holders. In the current situation of the economy, the foreign currency account holders convert
his money in Pak rupee and get the profit at the rate of 12.6%p.a.
MCB Enhanced saving account:
The MCB enhanced saving account is basically is an opportunity for small savers, who have
low saving but they want higher returns. This saving account can be used through cheques,
ATM, mobile banking and smart card.
Profit & Loss sharing Account:
The profit & loss account can be opened with the amount of Rs.5000. there is no restrictions to
make a transaction in a month but it demand to Rs.5000 every time in account as reserve.

Account Opening by Me:

When the customers want to open their account in MCB,, so I collect the information by the
customers. I asked him some basic information related to account opening.
CNIC
Source of Income
Current Address
Company letter head
After asking the related information I opened the account and give him a letter of thanks. All
the forms have been sent to Karachi, I prepare the list of daily forms sending.
2- Cash department:

Most sensitive and important department of any bank is cash department. Due to some
security reasons me work in this department for short period of time. The two types of things
are involved in cash department are as follows.

a) Cash receipt:
After collection of cash screening the currency notes for his originality and then the currency
notes are place in a safe drawer.
The amount in words and figures are matched with the deposit slip or the voucher.
If the amount is too large it require the CNIC copy and other personal information.
The deposit details are recorded in a register which is called Cash Receipt Register.
The signatures of authorized officers in each entry of the cash receiving book.
At the end of the day the cashier balance the cash position with the help of vouchers and the
physical cash held by him.
b) Cash payment:
Receiving the cheque and verifying the post dated, amounts in words and figures and also
check the cutting/overwriting.
The account holders signatures are verified and write a number on the cheque.
In order cheques gets the CNIC of the receiver and verify the signatures of receiver with the
CNIC signatures.
In case the payment is made to the third party, cheques amounts exceed to the Rs.100000 then
telephonic confirmation of the account holder is necessary.
The checque should be posted to the two authorized officers of the online department for
online payment.
3-Remittance department:
This departments main function is transfer of funds. The funds can be transferred in form of
telegraph transfer, demand draft, mail telegraph and pay orders.
Pay order
Mail transfer
Demand draft
Telegraph transfer
Pay order:
For the payment of dealings or payment of fees issued the pay orders.
This provides the proof of payments between the bank and customer for the favor of
beneficiary. The pay order is printed in block letters and issued the serial numbers.
Mail transfer:
Mail transfer is limited with in a city for the transfer of money. It is very safe way to transfer
the money to receiver. Mail transferred is issued the serial number given by the computer
system.
Demand Draft:
It is a type of cheque issued when customer needs cash with him.

The level of risk is too much low and the large quantity of the currency is access. It is very easy
to demand draft present in the bank and receives the money. The bank issued demand draft to
those customers who are reliable and the bank has complete confidence on its customers.
Telegraph transfer:
Telegraph transfer are used to transfer the money from one branch of the bank to the other
branch of the bank. Tele graph transfer issued for test .
Test has two steps:
1. The first is to check the branch code, date and day.
2. The second test is the amount which is transferring whether in Pak rupee or foreign
currency. The computerized numbers are issued.
Learning Summary:
During my internship I see how the bookish knowledge applies in the practical life. I have learned
many things by passing the different experiences. The basic experience for me is how to apply the
knowledge.
Below the information is about the skills and qualifications which I feel I have learned.
The first and basic thing in the banking sector is how to deal the customers. Customer dealing is a great
experience for me because every person has not guts to deal. It is very important to make and convince
the new customers for the long benefit of the bank.
In this sector patience is key tool to adopt to adjust you in the working environment which I have
learned. You must be deal the ignorant customers patience. If the dealing is hard you lose the
customer and cannot retain the customer next time.
Communication plays a very vital role especially in the banking sector. I improve the communication
skill related to this profession. I have learned this professional skill during the six weeks of my
internship. This business communication with seniors, customers and other staff members build up a
confidence.
It is my first experience to work under the supervision as a subordinate. As a subordinator I have learn
how to complete the given tasks under the supervision. I have learned how to fulfill the task according
to the given criteria.
I have learned the taking decisions part during the internship. Decision making is easy but a composite
because your decisions are based on the current and past facts & figures. Without judging the facts &
figures you cannot take the decisions. After taking the decisions during internship I feel I have a
potential of decision making.

During the internship I have gained the experiences related to banking as well as I have learned the
responsibilities. I realize the responsibilities while doing the internship.
The important thing which I have feels the responsibility is punctuality. I have not a good record in
college and university life of punctuality. Punctuality/time keeping is most important feature in our
daily life to achieve the success. During the internship days I realize the importance of punctuality and
my full efforts is to adopt during internship.
The task which is assigned to you to complete this within the given time period. It is big responsibility
on your shoulders because others work is depending and related to your task. I have learned the
completion of task which assigned by the senior staff members.
I have also learned the responsibility of the group work. The tasks are divided into groups. Every group
is responsible for his completion of task.
Hard working is so much important in the practical life because I have learned in the internship
without hard working you cannot get the success and respect. To achieve something we need to work
hard in the life.
Customer dealing is a big responsibility and it is not an easy task. In this field you must deal the every
type of person so it is most complicated and difficult thing.
Internship influences your future:
The internship did not influence my future but it had influence my present life after gaining the
experiences, developing skills and responsibilities.
i.

behavior
The internship influences my behavior. After the internship my attitude is like
professionals. There is too many changes are occurring in my behavior and I feel

ii.

himself as a mature and responsible person.

Business communication
Another influence of the internship is improve the communication level, in which I

iii.

have learned how communicate professionally.

Dressing skill
Professional dressing is also a part of the influence on my life. It is much necessary

iv.

for the class room or in a bank atmosphere.

Understand others psychology
I have learned during internship the tactics to understand the mind level and
psychology of the others. After judging this it is easy to deal.

How much internship is related with my classroom knowledge?

The experience of my internship is a different experience of my life. The classroom knowledge

and the internship experience have some common features. The common features are as
follows:
a). positive behavior:
The first and important similarity in classroom and the professional life is communicated with
others in a good behavior. The good behavior is also tech us in the environment of class room.
During internship I practically apply this thing.
b). how to work in groups:
In classroom the teachers assign the group work and sometime give the different task to every
group. This practice is same like repeated in during my internship period.
c). time management:
Time management is important in the study life and the practical life. In classroom we need to
complete the work within limited time period and same like in internship the seniors assign
the tasks for the limited time, and we a responsibility to manage the time and complete the
work.

SWOT Analysis
STRENGTHS
The strengths of MCB are as:

It is first privatized bank and its performance is better than others because of its quality

management and introducing the new products and services.

MCB introduce innovative scheme to attract deposits
Good Reputation.
Attractive financial offers.
They only focus on customer services
Customized products & services.
Reasonable monetary benefit offered to MCB employee.
Flexibility working environment
Highly qualified management.
Worldwide networking.

Weaknesses

The noted weaknesses of MCB are as:

Mostly peoples are not aware about the schemes of the MCB.
Expensive advertisement in RTC and Master card.
They have good behavior with rich and educated people but poor customer or non educated

customer feels strange in the bank environment. It create a negative impression.

Due to job rotation employees have not specialized in their specific field.
Mismanagement of time.
Process of development is bit slow due to its conservative approach

They follow others and have not their own identity.

National Bank of Pakistan does not effort for its promotion,
Less improvement in technological advancement.
Less effort to the mobilization of the deposits.

Opportunities

Greater potential and opportunities for Credit Division if Liberal Policies being adopted.
They can increase market share for its RTCs.
Quality professionalizes can improve the whole scenario and structure of management
Technology can improve customer services.
Hiring should be merit based.
Introduce (MBS) modern banking system.

Threats

Political instability causes problems for banking policies.

MCB works under the state bank policies.
It is difficult to survive in the market without the excellent management.
Competition is increasing day by day you can compete through quality services and continuous

improvement.
Less of Human resource quality
Terrorism in Pakistan
IT system can affect the services of the MCB.

Pest Analysis
Political

Service practices are projected to change.

Unions can affect the performance both positively and negatively
Political interfering regarding policies are likely to boost as current government is in

competition of power gain.

Political Interference and harassment
Higher tax on banking sector.

Economic

Purchasing power decreased by inflation.

Personal income increase due to inflation.
Less job opportunities due to inflation.
Operating costs are increasing due to inflation.
Interest rate is high so people avoid to taking loan.
The money value decrease due to that people becomes intention.

In inflation the Govt. lose his control on economy.

Social And Cultural

Lack of experts is in our country regarding management hence innovative activities are slow

and conventional methods are adopted.

Insufficient human resources
Defaulters lobby
Satisfactory empowerment
Lack of training, Declining work ethics is also our problem
Inadequate Accountability
Lack of good governance and lack of good infrastructure

Technical

MCB has manual system of data entry, they should use technology for these purposes then

they can get the good impact on customers mind.

They used old technology for their ATM services
Electricity causes problem for banking activities like data entry etc.
IT training is necessary for employees.

Recommendations and Suggestion

MCB is an effectively operating and profit making organization. There are some recommendations for
MCB. I worked in Muslim commercial bank for 6 weeks and observed the environment and some other
things so I have some suggestions for them. These recommendations will be helpful for the
improvement of MCB.

Profitable investment
Mostly peoples use the big amount of money for luxuries those peoples should be motivate to offer the
deposits in different investment schemes. The profit rate should be increase.

Better Salaries package

MCB is earning good profit but giving the less salary packages to their employees for their motivation.
So they are less motivated for the farther working.

Change The working nature

Mostly the banks has strict the employees on one seat only with the result that they become master of
one particular job and lose their grip on other banking operation. In my opinion the employees should
be rotate on the different function this way the job is more interesting for them.
Staff is not fully Trained
MCB did not given his attention for the training of employees like other banks. It needs to provide the
facility of advance study in the specific job. This way the employees perform the functions well.

Performance And Reward

All employees should be monitor on the equal basis and the reward is given to employees on the merit
basis. But in some cases the merit should not be follow. Reward is a motivation for employees to do
hard

work

in

properway.

Advertising
Bank must consent to prospective customers know that all attraction for banking exist..
Presently the banks change the advertising style and start the different campaigns for the promotion of
his bank. In competition environment MCB needs to more focus on promotion of his bank. More
attention has been given to explaining to public clearly the offers and services of his bank.
Flexibility of policies
Flexible policies are introduced by the MCB for their customers. Management strictly follows that
policy which is beneficial for their customer and bank employees.

11- References

http://www.mcb.com.pk
http://en.wikipedia.org/wiki/muslim commercial bank
http://www.sbp.org.pk/reports/annual
http://en.wikipedia.org/wiki/economy of Pakistan
MCB Staff Members
MCB Manuals