The World-Class Bank, Where you come The World-Class Bank, Where you come firstfirst

S M Fawad SharifS M Fawad SharifWaseem AkramWaseem Akram

Abid AnwarAbid AnwarShoaib KhanShoaib Khan

Group Group MembersMembers

History of UBLHistory of UBL

• Nov 7,1959Nov 7,1959

• Nationalized in 1976Nationalized in 1976

• Privatized on Oct 2002.Privatized on Oct 2002.

Sponsors include Sponsors include

• Bestway Group with 25.5% Bestway Group with 25.5% sharesshares

• Abu Dahbi Group with 25.5% Abu Dahbi Group with 25.5% sharesshares

• Govt. of Pakistan and General Govt. of Pakistan and General

public hold the balancepublic hold the balance

CONTD….CONTD….

• Successful banking history of over 47 yearsSuccessful banking history of over 47 years

• Represented in 10 countries worldwideRepresented in 10 countries worldwide

• Through 22 officesThrough 22 offices

• All most 1100 branches through PakistanAll most 1100 branches through Pakistan

• UBL has Assets approx Rs.300 billionUBL has Assets approx Rs.300 billion

• UBL has high level contacts with government and regulatory authoritiesUBL has high level contacts with government and regulatory authorities

Vision of UBL:Vision of UBL:

““A World-Class Bank. Where You Come First”A World-Class Bank. Where You Come First”

Organizational Chart:Organizational Chart:

An organizational chart is graphical representation of An organizational chart is graphical representation of organization structure.organization structure.

UBL Organizational Chart:UBL Organizational Chart:UBL organizational chart represent a three layers of managementUBL organizational chart represent a three layers of managementUBL first authority lies with the board of Directors (BOD) UBL first authority lies with the board of Directors (BOD)

DepartmentationDepartmentation

DepartmentationDepartmentation is the process of grouping jobs according is the process of grouping jobs according to some logical arrangement to facilitate the accomplishment to some logical arrangement to facilitate the accomplishment of organizational goals and objectives.of organizational goals and objectives.

In UBL, departmentation is done on pure functional basis. In UBL, departmentation is done on pure functional basis. In the functional form of departmentation, people and resources In the functional form of departmentation, people and resources having a common activity to support are grouped together. having a common activity to support are grouped together.

Departmentation at head office:Departmentation at head office:

Establishment division:Establishment division:

This division compile and produce operational procedures This division compile and produce operational procedures to systemize and standardize the activities and functions for various to systemize and standardize the activities and functions for various departmentsdepartments. .

Credit Risk Management (CRM)Credit Risk Management (CRM) : :UBLs business includes a broad spectrum of products UBLs business includes a broad spectrum of products

involving high levels of risk. To achieve the objective of booking involving high levels of risk. To achieve the objective of booking good quality assets, the CRM has developed risk management good quality assets, the CRM has developed risk management division.division.

Departementation at UBLDepartementation at UBL

International division:International division:The international division manage overseas operations including credits The international division manage overseas operations including credits

handled by overseas branch network.handled by overseas branch network.

Treasury division:Treasury division:

The primary responsibility of this division includes enhancing returns.The primary responsibility of this division includes enhancing returns.It also deals in treasury products for local and It also deals in treasury products for local and

international markets.international markets.

Audit and inspection divisionAudit and inspection division : :For monitoring the operations of the bank, audit and For monitoring the operations of the bank, audit and

inspection division is created to checks whether the procedures are being inspection division is created to checks whether the procedures are being followed. followed.

Departmentation at regional head quarter. (RHQ)Departmentation at regional head quarter. (RHQ)

There are 11 RHQ offices working in the country. It supervise, support the There are 11 RHQ offices working in the country. It supervise, support the functioning of branches and implement Head Office policies.functioning of branches and implement Head Office policies.

Credit Administration Division (CAD)Credit Administration Division (CAD)It is responsible for collection of documents required for It is responsible for collection of documents required for sanctioning loans. Submission of overdue and reports to high level sanctioning loans. Submission of overdue and reports to high level also comes under their authority. also comes under their authority.

Special Assets Management Group (SAMG) Special Assets Management Group (SAMG) This department works for the recovery of defaulted This department works for the recovery of defaulted

loans .loans .

Sales marketing department :Sales marketing department :Sales department introduces new products of the bank among Sales department introduces new products of the bank among

the public and to procure fresh deposits from the market.the public and to procure fresh deposits from the market.

General manager administration DepartmentGeneral manager administration Department : :This department keep on effective administration in the bank on the basis This department keep on effective administration in the bank on the basis

of policies formulated by Head Office.of policies formulated by Head Office.

Departmentation at branch levelDepartmentation at branch level::UBL cantt branch administered by Regional Head UBL cantt branch administered by Regional Head

Quarter Peshawar has also grouped activities on the basis of function, which Quarter Peshawar has also grouped activities on the basis of function, which are as follows.are as follows.

Deposit departmentDeposit department::Deposits department deals in opening of accounts, receipts and payments Deposits department deals in opening of accounts, receipts and payments functions. There are three types of deposit accounts. functions. There are three types of deposit accounts.

             

1.1.Current deposit:Current deposit:

These deposits are payable whenever demanded. This account doesn’t These deposits are payable whenever demanded. This account doesn’t offers any profit or interest to client. offers any profit or interest to client.

                2.2.Time deposit:Time deposit:

Bank pay higher interest on these deposits and remains with a bank Bank pay higher interest on these deposits and remains with a bank for specified period. Withdrawal is not accepted prior to the expiry of that for specified period. Withdrawal is not accepted prior to the expiry of that period. period.

3.3.Saving depositSaving deposit::

For opening, saving deposit account, initial deposit is Rs. For opening, saving deposit account, initial deposit is Rs. 10,000 objective of it is to encourage saving. 10,000 objective of it is to encourage saving.

Remittances departmentRemittances department : :Transferring of funds from one place to another is called Transferring of funds from one place to another is called remittances. In UBL remittances exists in three shapes which are as remittances. In UBL remittances exists in three shapes which are as follows.follows.

1.1.Demand Draft (DD)Demand Draft (DD)::

Client fulfill the request form and then he is able to get the amount Client fulfill the request form and then he is able to get the amount from the specific branch of the bank at another destination.from the specific branch of the bank at another destination.

2.2.Telegraphic transfer (TT): Telegraphic transfer (TT):             

It is message which is transmitted through telegraph, telephone or It is message which is transmitted through telegraph, telephone or fax to concern branch, like DD customer has to fill the application fax to concern branch, like DD customer has to fill the application form.form.

3. 3. Rupee Travelers Cheque (RTC)Rupee Travelers Cheque (RTC) : :Bank charges 2% withholding tax on RTC.Bank charges 2% withholding tax on RTC.

Bills departmentsBills departments : :It deals in the collection and payments of the proceeds of the bills It deals in the collection and payments of the proceeds of the bills that include outward Bills for collection (OBC) and inward bills for that include outward Bills for collection (OBC) and inward bills for collection (IBC).collection (IBC).

UBL has school of banking in Islamabad and three staff colleges, UBL has school of banking in Islamabad and three staff colleges, one each at Karachi, Lahore and Rawalpindi.one each at Karachi, Lahore and Rawalpindi.

Human Resource Management (HRM)Human Resource Management (HRM)

Activities undertaken to attract develop and maintain an effective Activities undertaken to attract develop and maintain an effective workforce within an organization.workforce within an organization.

The primary objective of the department is the employment of the The primary objective of the department is the employment of the people, retention and development.people, retention and development.

UBL Recruitment and Selection Process:UBL Recruitment and Selection Process:

UBL invites fresh qualified people through advertisement in the news paper.UBL invites fresh qualified people through advertisement in the news paper.

The overall process involve :The overall process involve :

– Application from candidatesApplication from candidates

– Written tests Written tests

– Interviews Interviews

–Medical check upMedical check up

TrainingTraining in UBL: in UBL:        

•     Workshop on leadership and effective team building.Workshop on leadership and effective team building.

•                Condensed training courses.Condensed training courses.

•          Computer training course.Computer training course.

•                  Workshop on processing/appraisal of credit proposals.Workshop on processing/appraisal of credit proposals.

•                Workshop on Managing for high performance.Workshop on Managing for high performance.

•              Training program on management of non-performing loans (NPLs).Training program on management of non-performing loans (NPLs).

•              Various in-house training sessions covering key areas of banking.Various in-house training sessions covering key areas of banking.

Pre-service training:Pre-service training:– Given immediately after their appointment.Given immediately after their appointment.

– Duration = 6-9 monthsDuration = 6-9 months

– Operational courses are taught to newly selected officer.Operational courses are taught to newly selected officer.

Motivation Tools in UBL:Motivation Tools in UBL:

UBL has adopted different ways and means for employee standard UBL has adopted different ways and means for employee standard performance which are as follows.performance which are as follows.

1. First resource mobilization campaign was lunched in 1998. 1. First resource mobilization campaign was lunched in 1998.

2. Attendance and punctuality award system 2. Attendance and punctuality award system

3. Performance related pay (PRP) is introduced in 2001 3. Performance related pay (PRP) is introduced in 2001

Promotion:Promotion:

Movement of an employee in vertical direction involving.Movement of an employee in vertical direction involving.

- Greater responsibility - Greater responsibility - Authority - Authority - Increase in salary- Increase in salary- Position and rank - Position and rank

In UBL promotion is on In UBL promotion is on seniorityseniority bases bases..

MasterMaster

GraduateGraduate

F.A.F.A.

MetricMetric

3 years3 years

5 years5 years

8 years8 years

10 years10 years

AfterAfter

Termination:Termination:

The employees of The employees of UBLUBL can be terminated in the following three ways. can be terminated in the following three ways.

1.1. Negative ChargesNegative Charges

2.2. RetirementRetirement

3.3. ResignationResignation

SWOT Analysis:SWOT Analysis:• SWOT Analysis gives a review of an organization SWOT Analysis gives a review of an organization

Strength:Strength:

Experience of operation Experience of operation

Bank’s emphasis on consumer banking Bank’s emphasis on consumer banking

Attractive compensation packages for employeesAttractive compensation packages for employees

Well spread branch network.Well spread branch network.

Professional and skilled management Professional and skilled management

• Higher number of branches affecting maintenance. Higher number of branches affecting maintenance.

Weakness:Weakness:

• Limited consumer banking availability. Limited consumer banking availability.

• Promotion is purely based on seniority.Promotion is purely based on seniority.

• Limited online banking service.Limited online banking service.

OPPERTUNITIES:OPPERTUNITIES:

Growing policies of the Government on business and commerce.Growing policies of the Government on business and commerce.

UBL can improve and expand its foreign operations. UBL can improve and expand its foreign operations.

Need and potential of leasing in Pakistan.Need and potential of leasing in Pakistan.

opportunity to increase its product line.opportunity to increase its product line.

THREATS:THREATS:

Increasing number of foreign banks.Increasing number of foreign banks.

Services offered by foreign banks.Services offered by foreign banks.

Lack of consistency in government’s policies.Lack of consistency in government’s policies.

Country Code Selling (TT&OD) Buying (TT Clean)

Buying (OD&TC)

U.S.A USD 62.9500 62.7500 62.4165

U.K GBP 126.2743 125.8467 125.1758

Japan JPY 0.6355 0.6333 0.6270

Euro EUR 98.4245 98.0857 97.5629

Australia AUD 58.7701 58.5583 58.2417

Canada CAD 63.5859 63.5434 63.0088

China CNY 8.9108 8.8787 8.8315

Denmark DKK 13.2387 13.1883 13.1185

Hong Kong HKD 8.0983 8.0751 8.0286

Kuwait KUD 236.1392 235.2125 233.9626

Malaysia MYR 19.8863 19.8043 19.6991

Norway NOK 12.2918 12.2313 12.1663

New Zealand NZD 51.3168 51.1287 50.8570

Oman OMR 163.5872 162.9828 162.1127

Bahrain BHD 167.0648 166.4150 165.5172

Qatar QAR 17.3173 17.2385 17.1469

Treasury Rate Sheet Wednesday, March 19, 2008

BCG matrix:BCG matrix:

We shall award UBL a STAR. We shall award UBL a STAR.

TTHANK HANK YYOU…OU…