WaseelaJuly, 2015Volume 3 Issue 1

S t r a t e g y 1 0 1 :

Its al l about

AlignmentF i n d o u t w h a t m a k e s a

g o o d s t r a t e g y . P a g e , 1 1

Legal & Compliance: Intellectual Property RightsPage, 17

Risk Management: A Day in the Life of a Verification OfficerPage, 14

Branchless Banking:Corporate SolutionsPage, 15

and more . . .

Features Details

Product Name

Waseela Microenterprise Loan – Loan for micro entrepreneurs (Individual)

Product Description

Is offered to individual who have ownership of a running business for at least two years in the following economic sectors like trade, production, manufacturing, services, agriculture and livestock.

Loan Eligibility Criteria

Household annual income less than Rs. 500,000/-Age between 25-58 years (1st loan cycle) 25-60 years (2nd and 3rd loan cycle).Business experience of minimum of 2 Years.Holding valid CNIC.Not defaulter of any financial institutions & Public Utilities.Household annual income (net of business expenses) is less than Rs. 500,000/- or limit as revised from time to time under regulations.Having the same business location for 1 year and residing in the launching city for 1-2 years.

*Loan Ticket PKR- 100,000/- to 500,000/-

Lead Time Same Day

*Loan Insurance

Free Loan Insurance in Case of Death / Permanent Disability

*Early settlement

Allowed

NEW Products

Waseela Microenterprise Loan

* Terms and conditions apply.

Contents

Editor: Samiha Ali Zahid Features & Design Editor: Adnan ReshiFor feedback and suggestions:info@waseelabank.com

Together We Grow, pg, 3A mid year statistical review of WMBL.

Building Teams,pg, 6Find out how to make winning teams.

Exclusive Interview,pg, 5with Ghazanfar SiddiqueChief Technology Officer.

Business Banking Updates, pg, 8Learn about our clients and our relationship officers.

Cover Story, pg, 11Find out more about Waseela strategy and business plans.

Corporate Solutions, pg, 15Latest developments on Branchless Banking.

A Day in the Life of a VO,pg, 14Find out the crucial role a verification officer plays in WMBL.

Picture Gallery pg, 18All the latest highlights of the year.

Intellectual Property,pg, 17The types of intellectual properties and the differences between them.

Pg. 3Waseela Insight

Description Dec-14 Jun-15Net Increase /

DecreasePercentage

Change

Deposits Rs. 874.125 (M) Rs. 1080.744 (M) Rs. 206.619 (M) 23.60%

No. of depositors

21,069 30,970 9,901 46.99%

Receivables Rs. 500.574 (M) Rs. 710.291 (M) Rs. 209.717 (M) 41.90%

Avg. loan size Rs. 43,856 Rs. 46,800 Rs. 2,944 6.71%

Active clients 11,414 15,406 3,992 35%

NPL Nil Nil Nil Nil

Write off Nil Nil Nil Nil

PAR Nil Nil Nil Nil

Branch Banking Highlights

874.125

1080.744

0

200

400

600

800

1000

1200

In M

illio

ns

Deposits

Dec 2014

Jun 2015

500.574

710.291

0

100

200

300

400

500

600

700

800

In M

illio

ns

Receivables

Dec 2014

Jun 2015

21,069

30,970

0

5000

10000

15000

20000

25000

30000

35000

No. of Depositors

Dec 2014

Jun 2015

11,414

15,406

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

Active Borrowers

Dec 2014

Jun 2015

Pg. 4Waseela Insight

Branchless Banking Highlights

Transaction Type No. of Transactions Volume (Millions)

Account-to-Account Fund transfers 243,368 378.77

Person-to-Person Fund Transfers (Sent) 6,634,002 30,711.97

Person-to-Person Fund Transfers (Received) 6,680,649 30,864.21

Person-to-Account Fund Transfers 2,363 12.20

Account-to-Person Fund Transfers 60,671 196.77

Cash-in (Deposit) 1,008,171 3,759.45

Cash-out (Withdrawal) 392,242 2,773.36

Utility Bills Payments 5,994,288 9,952.79

Mobile Top-ups 1,879,073 199.50

IBFT Outgoing 63,233 733.87

IBFT Incoming 610 4.18

Total Corporate Disbursements 41,298 340.72

Total Corporate Collections 211,987 352.21

50,075

55,256

47000

48000

49000

50000

51000

52000

53000

54000

55000

56000

Agents

Dec 2014

Jun 2015

196,325

1,154,013

0

200000

400000

600000

800000

1000000

1200000

1400000

Level 0 Customers

Dec 2014

Jun 2015

5,088

40,784

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

Level 1 Customers

Dec 2014

Jun 201516

45

0

5

10

15

20

25

30

35

40

45

50

Corporate Clients

Dec 2014

Jun 2015

* *

*Jan – June, 2015

Q. What is the biggest technological challenge you face as CTO of Waseela?

As a Waseela Bank CTO I am dealing with many challenges as the organizations needs increase, oneparticular technological challenge raises to the top: Dealing with the complexity of data. Themassive explosion in data is creating unprecedented manageability issues for banks around theworld that can be linked to the following factors; rapid growth of mobile users, customerengagement platforms, real-time data processing & rising data security concerns.

Pg. 5Waseela Insight

Q. How do you propose over coming this challenge?

Implementing effective data access and management standards coupled with a nimbleinfrastructure architected around new delivery models such as cloud computing and using emergingtechnologies like Hadoop to leverage the power of unstructured data will be critical components inthe arsenal of bank CTO’s. With such imperatives in place, banks will be able to shift their focusfrom dealing with the complexity of data analysis, governance and distribution, to actuallyharnessing the data and using it to their advantage.

Q. How do you balance short term commercial with long term strategic development of thecompany.

Well projection from our business sides is required to offer any technology enabled services,knowing that we will have a hundred transactions today and thousands tomorrow is key in ourstrategic IT development. I like to use something called agile working. We break up projects intosmaller bits instead of procuring whole solutions. This gives us room to adapt to our changingneeds. I also use some thing called the 10% rule; leaving a buffer in my projections to addressurgent and unforeseen needs so when the time comes I have no problem adapting.

Q. What 2-3 key attributes do you feel some one aspiring to a career in IT should have?

Technology has a one to one relation with the employees, for this it is important to brand your selfas a technologist, be the go-to guy for any IT related solution. Learn to say yes, never say you cantcome up with a solution, think out side the box to get things done. Understand that you need tohave a strong line relation, build trust with your colleagues by saying yes, even when you want tosay no. Finally understand and speak in business terms, don’t be all techie with your audience, givethem the answers they want to hear, this solution will make their life easier.

Interview:Ghazanfar SiddiqueChief Technology Officer

Waseela Bank

Pg. 6Waseela Insight

Building Teams

By Zahir Ahmed Mobin

Team building is a significant tool that enablesan organization’s management and its teammembers to break the barriers, build trustamongst themselves, help improve workingcapacity and facilitates better communication.Here are a few practical tips to help buildgreat teams:

Emphasize practical support.Effective team building increases the trustfactor among employees and increases selfesteem among its team members. Wedemonstrated this in our own department,Central Finance and Accounts, when anassociate single handedly managed to takecare of the payables section (involvingverification of documents, payments andissuing of cheques) for two months while theposition of his direct supervisor remainedvacant.

Create open communication channels.A good team synergy helps build a positiveworking environment that encouragescandidness and is open to feedback. This givesthe employees motivation which results inboosting team morale, improves confidence,increases reliability on team, thus creating aharmonious atmosphere. Excursion trips helpbreak the monotony and strengthen teambonds.

Establish values not rules.Emphasizing on rules can create reluctancein team members. In a dynamic corporateenvironment this can break teams. It isimportant to provide your team withprinciples and values to rely on, which areflexible but maintain the essence of yourvision.

Do’s• Have a goal• Team oriented activities• Reflect and discuss

Don’ts

• Force participation• Focus on individuals• Only fun

*Ben Dattner, Harvard Business Review

*

BBQ @ Harnoi

Daytrip @ Galiat

Features Details

Product NameWaseela Karobar Loan – Loan for Individuals

Product Description

Waseela Karobar Loan is an ‘Individual Loan’ with acceptable personal guarantee. The loan may be utilized to expand micro-enterprises / small businesses (to meet working capital requirements or purchase of assets).

Loan Eligibility Criteria

Household annual income less than Rs. 500,000/-Age between 25-58 years (1st loan cycle) 25-60 years (2nd and 3rd loan cycle).Business experience of minimum of 2 Years.Holding valid CNIC.Not defaulter of any financial institutions & Public Utilities.Household annual income (net of business expenses) is less than Rs. 500,000/- or limit as revised from time to time under regulations.Residing or working in launching cities for at least 2 years.

*Loan Ticket PKR- 20,000/- to 60,000/-

Lead Time 3-5 Days

*Loan Insurance

Free Loan Insurance in Case of Death / Permanent Disability

*Early settlement

Allowed

NEW Products

Waseela Karobar Loan

* Terms and conditions apply.

Pg. 8Waseela Insight

By Usman & Nasir

Business Banking

Updates

Asset Sales Incentive

Relationship officers are the bread and butter of our organization. They are at the front linebringing in revenue for Waseela and play an important role in developing relations with ourclients. With our recently launched incentive scheme, all RO’s with a portfolio of Rs. 8 Million andabove are eligible for up to 1% of loan amount. Our top performing RO’s of the year are:

Imran AliMardan

Shoaib AhmedJhang

Tahir Raza KhanBhakkar

Rs. 59,512

Rs. 30,615

Rs. 19,809

Incentive Amount

Poverty alleviation is a very important part of Waseela’s vision. We don’tjust provide our clients with loans, we aspire them to achieve their dreams.One such client; Muzamil Khan from Mohra Noor, in the suburbs ofIslamabad made around Rs. 23,000/- a month by providing dairy productsto the nearby locals with just one cattle.

Over the course of two years and several Khushhal Kisan Loan (unsecured) cycles, he is now makingRs. 40,000/- a month with more than 3 cattle. With this ease provided to him by Waseela and withthe exceptional service of our RO, Muzamil now encourages others from his village to approachWaseela.

Client Story

Pg. 9Waseela Insight

By Usman & Nasir

Business Banking

Updates

Deposit mobilization is an integral part of any bank. Waseela offers lucrative incentive to allemployees who bring in deposits as per the following:

Liability Sales Incentive

• Waseela Bachat A/C: 0.3% of average monthly balance.

• Waseela Sahulat Current A/C: 3% of average monthly balance.

• Waseela Mahana Munafa Term Deposit: Up to 0.2% of average monthly balance.

• Waseela Mustakbil Munafa Term Deposit: Up to 0.2% of average monthly balance.

All employees have the opportunity to augment their income by mobilizing deposits and thus earnhandsome incentive in return. Following are the top contributors for liability sales incentives sinceJanuary 2015:

Kamran Adeel, CFO & Company Secretary

Rs. 66,631/-

Moshin Raza,Branch Manager, Jhang

Rs. 124,506/-

Lutuf ullah Siyal,Teller, DherkiRs. 111,702/-

Muahmmad Ali,Operations Manager, Faislabad

Rs. 94,722/-

Ghulam NazikRelationship Officer, Lodhran

Rs. 53,702/-

Shahzad Hussain,Relationship Manager, Khanpur

Rs. 21,370/-

Shahzad Iftikhar,Verification Officer, Liaqatpur

Rs. 24,317/-

BancaTakaful

Promo

Win Prizes Through Takaful Sale!26-May, 2015 till 26-July, 2015

1st

3rd2nd

Minimum Sales

Prizes Slots

PKR 350,000Samsung LED TV,

24”1

PKR 250,000Samsung

Galaxy Star1

PKR 105,000Samsung

Galaxy Star 21

Terms & Conditions

1. Promo duration: 26th May till 26th July, 2015.2. Only BankaTakaful (Pak Qatar) contribution will be

considered in this promo.3. Referees will qualify from sales generated by a single

branch.4. Cancelled and surrendered cases will not be included in

the promo targets.5. Prizes will be distributed in Aug/Sep 2015 after

incorporating 14 days free look period.6. Staff who are contributed will be provided an

appreciation certificate.

For additional details regarding our new Banca Takaful products please visit our website:www.waseelabank.com

Pg. 11Waseela Insight

S t r a t e g y 1 0 1 :

Its al l about

Alignmentby Adnan Reshi

Defining Strategy.Since the pivotal work of Michael Porter, weare quite close to defining what strategymeans for organizations. The two broadviews, Resource Based and Position Basedare predominant in literature andpracticality. It all boils down to Do whateveryone else is doing (but spend lessmoney doing it), or do something no oneelse can do.

Both these options have the potential to beequally successful, but you can also take athird route by trying to expand the piethrough targeting a completely different typeof customer.

77%12%

Tele-density 2014

Formal Financial Services

Take the example of Branchless Banking inPakistan. According to the Access to FinanceStudy (A2FS) only 12% of the population hasaccess to formal financial services. Whereasof the remaining 88%, only 32% areinformally served and 56% are completelyexcluded. On the other hand, according tothe report by Pakistan TelecommunicationAuthority, the country's tele-density touchedas high as 80% with mobile penetrationsitting at 76.6% with 139.9 millionsubscribers (as of June 2014). Now it mightnot take much to figure out the hugepotential of financial inclusion by providingfinancial services through mobile banking, ittakes a genius to come up with a strongstrategic position to ensure capturing asmuch of this infant market as possible.

“The existing branch network of the banking system is insufficient

to serve the millions of unbanked masses”

*PTA Annual Report 2014

**Governor of State Bank of

Pakistan, 2014

*

**

Pg. 12Waseela Insight

Business Plan vs. StrategyA strategic plan is the end game, its whereyou want to be when the dust settles. Abusiness plan on the other hand is a staticsnap shot of the future, providing tacticalmaterial on how to move forward. Its like agame of chess, the potential moves thepieces can make are your tactics, where asthe checkmate position is your strategy.

Brief Overview

What is Strategy?

Business Plan vs. Strategy

Our StrategyOur

Business Plan

Be more cost effectivethen your competitionor do something noone else is doing.

Strategy is where youwant to be, a businessplan is how to getthere.

“Our business targets are just small steps in achieving our long term goals & vision for the company”

There are so many aspects to strategy thatgo unnoticed because we might confuse itwith our business plan. Beyond the businesslevel there is a parent company which has toalign the strategy across several individualbusiness units. This is called corporatestrategy and involves answering one keyquestion: “What business should we be in?Telecommunications, banking, construction,manufacturing or all of the above.”VimpelCom has ventured into financialservices in Pakistan and taken on newexposure.

“Financial services will play a pivotal role in VimpelCom’s

corporate strategy

Our Business PlanThere are several types of business plans,you might have predominantly heard about acouple of them; the start-up, growth,feasibility & operational business plan. Astart-up plan details the basic steps forsetting up a business. Growth plans cover in-depth, milestones and targets. They alsohighlight expansion requirements such ashuman resource, capital and infrastructure.An operational plan focus on the day to dayoperations and how to increase efficiency.According to Leeds School of Business, afeasibility plan on the other hand addressesthe target market of the product andservices. It focuses on realigning resources toensure a healthy bottom line by achievingoperational self sufficiency.

Growth Plan:Expansion & Investment

Feasibility Plan:Realignment & Efficiency

• Financial Inclusion

• Poverty alleviation

• Innovative ADC’s

Pg. 13Waseela Insight

So what have been the various business planswe have been following at Waseela? Youmight have been working towards yourindividual, team or departmental goals butthey were all designed to fit in a bigger wellthought out yearly plan.

What is important is understanding thatbusiness plans are short term. They changefrom year to year but overall the directionremains in achieving our strategic objectives.But the question arises what are our strategicobjectives? What are we trying to achieve inthe long term?

Our StrategyWho better to explain what Waseela’sstrategy entails then Ghazanfar Azzam,President & CEO, WMBL. Let’s hear what hehas to say regarding our strategy:

“At Waseela our long term strategy isdesigned to play a leading role in promotingand achieving financial inclusion in Pakistanby bringing in millions of unbanked peopleinto the formal financial services system.

“Strategy without tactics is the slowest route to victory. Tactics

without strategy is the noise before defeat.”

Our mobile or branchless banking channel isalready serving around 15 million customersevery month and making their lives easier inmaking small money transfers andconveniently paying their utility bills.

Going forward our ambition is to bring all ofthese and more customers in the mobilewallet net and thereby increase number ofsavers in the country manifold.

Another area where our long term strategiesare focused are playing a more active andleading role in Government to Person (G2P) &Business to Person (B2P) services. Paymentsof wages, pensions and transfers to poorpeople through Benazir Income Support(BISP) and other similar programs promotepoverty alleviation and improve access tofinance. We are also making an importantcontribution in small enterprise financing andrural agricultural finance.

In a nutshell, Waseela is following a well-designed multi-pronged strategy to promotefinancial inclusion, alleviate poverty and helpin job creation through innovative andtechnology enabled products and services toour target markets.”

Waseela Business Plans

2013

2014

2015

2012 Start-up Plan

Growth Plan

Operational Plan

Feasibility Plan

Pg. 14Waseela Insight

A

Dayin the life of a

Verification Officer

By Amna Rubab

Loan File ReviewTo check the correctness and compliance of data provided in Loan Application Form.

Field VisitsCross verifies the loan applicant’s providedinformation independently, through interview ofapplicant and other sources to check the creditworthiness of the applicant.

ProcessingThe VO initially approves the files and sends it to Head Office for further processing. He then corresponds with the Risk Management Department till the approvals are received.

Did you know?

Over 10-15% of loans per month are turned down by VOs to ensure our

portfolio quality.

Verification Officer’s (VO) play a crucial role in Waseela. All loans brought in by our RelationshipOfficers are carefully reviewed and approved by the VO before any sort of disbursement can takeplace. He is the custodian of our loan portfolio quality and the reason why we are able to maintain0% Portfolio at risk to date. Lets see what his day to day job entails.

Daily TravellingA VO travels approx. 70-100 km daily for verification purpose to check the correctnessand compliance of data provided in the Loan Application Form.

Daily VerificationA VO does 4-6 verifications per day, which includes physical verification of borrower,guarantor, residential and market areas even in the harshness of the beating sun,rough winters and tough rains. He performs his duty efficiently without consideringphysical challenges as a hurdle.

Pg. 15Waseela Insight

SolutionsBy Branchless Banking

Corporate

In this era of mobilization and revolution generally in every field and particularly in the financialsector MobiCash presents solutions for public and private sector organizations to meet theirfinancial requirement. Here are some of the services provided by MobiCash:

Loan Repayments

MobiCash with its largest agent network brings yetanother unique solution where customers ofvarious microfinance banks and institutions cannow pay their monthly loan installments easilythrough 54,000+ MobiCash outlets, bank branchesand Mobilink business centers even through theirmobile accounts. Currently we are servingKhushhali Bank Ltd. and DAMEN Support Programwhile many other companies are in the pipe line.

Khushhali Bank LTD.

DAMEN Support Program

Village Development Organization

Village Welfare Society

Orangi Charitable Trust

Al Mehran Rural Development

Collections

Collections has played a significant role in theprogression of our revenue and a huge number oftransactions have been witnessed since 2014.Keeping in view the actual demands and businessadvancement, MobiCash has introduced internetbill payments, donations collections, feecollection, ticketing and online payments. Thisallows customers to make their payments withconvenience and ease through mobile accounts orvia MobiCash agent network.

Pg. 16Waseela Insight

SolutionsBy Branchless Banking

Corporate

Disbursements

In order to meet various financial requirements of our clients we are offering disbursement solutionson CNIC’s, Mobile Accounts, MobiCash ATM Card and Biometric Verification System.

Customized monetary solutions are provided to Corporate Clients to efficientlymanage secure social disbursements processes. Some of our clients are:

Efficient, convenient and advanced processes of salary disbursements fulfilling theneeds of our growing customer base through Mobile Accounts or Cards. Some ofour clients include:

Our recent projects and their disbursements are:• FDMA: PKR 1.4 Billion to 52,000 people (on-going project)• PBM: PKR 500+ Million to 70,000 people via Biometric Verification System (on-going project)• PDMA: PKR 550 Million to 21,000 families

MobiCash has introduced various government payment mechanisms and havereplaced old methods of by-post delivery or desk payments at government banks.Funds are being disbursed on CNIC’s and MobiCash ATM Cards, which can bewithdrawn from any ATM, POS Devices, MobiCash franchise and from anyWaseela bank branch without the hassle of waiting in lines.

• Chip Training & Consulting• Firdous Fazal Welfare Society• Idara e Talim o Aaghai• ZIMS Security

• Muree Brewery• Model Securities• Bahum Associates• Pri & Co• Saya Weaving

• Community World Service Asia• Habib Qatar International Exchange Pakistan• Acted

Intellectual Property RightsBy Aslam Minhas

Intellectual property refers to creations of the mind: inventions; literary and artistic works; andsymbols, names and images used in commerce.

Intellectual property is divided into two categories:

• First is Industrial Property which includes patents for inventions, trademarks, industrial designsand geographical indications

• Second category is Copyright which covers literary works (such as novels, poems and plays)films, music, artistic works (e.g. drawings, paintings, photographs and sculptures) andarchitectural design.

Intellectual property rights are like any other property right. They allow creators, or owners, ofpatents, trademarks or copyrighted works to benefit from their own work. These rights are outlinedin Article 27 of the Universal Declaration of Human rights. World Intellectual Property Organization(WIPO) is the international body which administers various treaties on the protection of intellectualproperty.

Why to promote and protect intellectual property?

• It encourages us to create and invent new works in the areas of technology and culture.

• The legal protection of new creations encourages the commitment of additional resources forfurther innovation.

• The promotion and protection of intellectual property spurs economic growth, creates new jobsand industries, and enhances the quality and enjoyment of life.

Some examples; the multibillion dollar film, recording, publishing and software industries – whichbring pleasure to millions of people worldwide – would not exist without copyright protection.

Patent

A patent is an exclusive rightgranted for an invention,product or process thatprovides a new way of doingsomething, or that offers anew technical solution to aproblem.

Trademark

A trademark is a distinctivesign that identifies certaingoods or services produced orprovided by an individual or acompany and their specificcharacteristics and quality

Industrial Design

Industrial design refers to the ornamental or aesthetic aspects of an article.A design may consist of three-dimensional features, such as the shape orsurface of an article, or two –dimensional features, such as patterns, linesor color. Industrial designs are applied to wide variety of industrial productslike watches, jewelry and other luxury items

Pg. 17Waseela Insight

One of Swatch’s many patents2013

Swatch Logo2014

*"SWATCH" and other trademarks, logos, characters and other marks are subject to the trademark and other rights of Swatch.

Picture Gallery

Team “Fighters” Win Waseela Cricket Tournament during “Passion” month

Waseela Quiz Competition “Passionate Scholars”

Bank Ops team win Waseela “Futsal Mania”

Counter Strike Gaming Competition during

“Innovation” month

“Drive for Passion” Waseela Employees Visit Customers during “Integrity”

month (Peshawar)

Purple Day at Waseela Head Office

Picture Gallery

Scavenger Hunt on Trail 5

Movie Night“Fast & Furious 7”

Management Team atBusiness Banking Conference 2015

“Waseela Idol”Singing Competition

“Waseela Go’s Green”Plantation Drive

Business Banking Conference 2015 at PC Muzaffarabad