BODs

Mrs. Haniya Shahid Naseem Director

Mrs. Haniya Shahid Naseem is an MBA with more than fifteen years experience of working in the education, social, industrial textile and agriculture sectors of Pakistan. She has served for 5 years on the Board of a textile company, having a turnover of more than one Billion Rupees. Presently she is actively involved in the administration of Pakistan Public School Multan. She is a progressive agriculturist and actively participates in the management of her familys agricultural farms. She is a member of the Multan Chamber of Commerce and Industry, and is also on the guest faculty of IBA, Multan.

Ms. Nazrat Bashir Director Ms. Nazrat Bashir belongs to District Management Group of Civil Service of Pakistan. She is Masters in Economics from New York University, New York, USA and Masters in Psychology from Peshawar University, Peshawar. She has extensively traveled abroad and has attended various international Seminars and Courses including Executive Program from Kennedy School, Harvard, Consolidated Supervision of Banks, Dealing with Banking Crises, Commercialization of Micro Finance, Anti Money Laundering, Instruments of Financial Markets etc. Domestically too she has attended various programs in some of very prestigious institutions of Pakistan.
Syed Muhammad Ali Zamin SVP, Secretary Board of Directors

SWOT ANALYSIS OF NBP

SWOT Analysis is an acronym used for strengths, weaknesses, opportunities and Threats. Strengths and weaknesses are the initial strength and weaknesses of an Organization, whereas opportunities and threats are the external one.

STRENGTHS
NBP is high profitable organization with a big branch network. The only bank providing the advance salary account up to 10 months. NBP uses the fastest ways of money transfer. High liquidity is strength of NBP. People have more confidence in NBP due to strong government support. NBP is a very sound financial institute. Role in national economic development. Bank with more deposits than any other commercial bank. Professional confidence. Recognition of the hard work of staff through incentives. Intellectual commitment to change.

WEAKNESSES
NBP has a good staff combination on the basis of experience, but their training capabilities are not up to the requirements of the fast changing banking environment. The customers relations of the NBP staff are much weaker as compared to other private banks. Long term contacts are not maintained with customers. Most of the staff is from families with strong political background so it is very difficult to remove them or punish their negative behavior. The technical training of the staff is negligible e.g. in case of absence of the computer operator there is no alternate trained person who can record the daily transactions. The organization is very much mechanistic and provides no flexibility to encourage creativity.

 The lower staff is non-cooperative as compared to the lower staff of other branches. The control of manager is not effective. The discretionary powers of manager are very low to offer more incentives and value added services to its customers. There is a lack of commitment and professionalism on part of the employees. The staff is always in a hurry to leave the bank as soon as possible. They were also observed to be starting their operations comparatively late. The organizational culture is not cooperative and friendly. Nepotism was observed on part of the manager as well as the top management towards some staff members. The level of technology management in the branch is very low. The technology available is not maintained well mainly because of the lack of technically trained staff. In spite of the presence of technology many jobs are done manually such as the letters, fax messages and other calculations, which could be easily, done in MS Word and MS Excel. The job distribution is not up to the mark. The immediate result of this is inefficiency and delay in work. The filing system is not up-to-date. Much time is wasted while searching for even a week old document. The staff spends more time in collections than required. The bank collections are usually late because of the non-availability of staff. No efforts are made to recover the outstanding debts. There is no facility for complaints and suggestions. Customers coming to the Bank for TTs, TCs etc. are not received with open hearts and thus deprive the bank of revenues. There is a lack of functional and proper research and development, which could scan the micro and macro environmental data for future planning and strategy. Financial audits are conducted but operational audits have not received proper attention as much as it should get. There is no procedure, which could encourage the middle and lower level management to initiate creativity. The lack of professional bodies is a major weakness.

 Instructions are not conveyed systematically but rather than casual manner.

OPPORTUNITIES
New marketing strategies to invest money in new projects. There is a great opportunity for NBP in field of micro finance. Privatization of NBP. There is a good opportunity to utilize the skill of educated young talent for the enhancement of business. Advance is the main area, which has a tremendous potential in the share of profit. This area can be profitable for the organization. Wide range of products and product line can enhance the business. Leasing business. Hiring the new MBAs, new talent which can control the administrative expenses.

THREATS
this. Cannibalization of profits is yet another threat to the success of NBP. The branches of NBP are located very close to each other. All these branches are taking away each others customers. One of the biggest threats to the NBP is the increasing rate of dissatisfied customers. Most of these customers were observed to be dissatisfied with the delays in their services. The greatest threat to the performance of NBP is the decreasing morale of employees. They feel that they are not provided with bonuses, they are not given proper attention to have a say in the meetings. The biggest threat to the operational success is the better competitors services. The banks in the neighborhood of NBP have become online e.g. Union Bank, Many private sector banks are offering higher rates of return to customers than NBP. Habib Bank, Muslim Commercial Bank and Standard Chartered Bank, while it lacks

 NBP.

High-pressure interest groups are developing which poses a constant threat to Establishment of new private financial institutions and expansion. Merger of some of financial institutions. Political pressure. New products from private Pakistani and Foreign Banks. Quality of human resources.

REF: http://en.wikipedia.org/wiki/SWOT_analysis

FINDINGS AND RECOMMENDATIONS

Some of recommendations suggested for the bank in accordance to the critical analysis.

GIVE RESPECT TO EVERY CUSTOMER

The branch employees should have to interact with every customer in a same way and good behavior. I observe that employee behavior with customer is varying on the basis of wealth, personality, sex and dress. So proper training of employees is required.

STAFF SHOULD BE TRAINED

Right training should be given to the staff of the branch. The management of the branch should have to arrange some workshops and seminars for the employee training and time to time training should be adopted. In this way branch shows a good image and atmosphere.

SECRECY MEASURES MUST BE MAINTAINED

The branch must keep the secrecy of its customers account especially when the bank is asked on telephone to tell about the financial standing and balance of the account Moreover most of the customers switch to other banks when bank didnt make the secrecy of its customer account.

MOTIVITATE THE EMPLOYEES

The staff of the NBP especially the lower staff is found very much demotivated. They are dissatisfied with the performance appraisal system of the bank. They also complain about the favoritism of the upper management. The Branch manager should

establish a systematic and efficient appraisal system to over come the demotivation and dissatisfaction of the employees. Because if staff is well motivated then they performed well and uplift the branch.

DRESS CODE
Dress takes a great role in presenting somebodys personality. Especially for bankers, dress code should come in a very formal dress and thus they can show their customers about their seriousness towards work.

PRODUCTS Premium Aamdani (Monthly Income Scheme) Earn up to 12.25% p.a. + Minimum deposit of Rs. 20,000/- with maximum balance of Rs. 10 million for 5 years Free Demand Draft, Pay Order and Cheque Book* Convenience of NBP online Aasan Banking (for online banking customers) Free NBP Cash Card (ATM+Debit) Running finance facility up to 90% Profit paid every month as follows
Year** 1st 2nd 3rd 4th 5th Profit Rates (%) *** 11.25 11.50 11.75 12.00 12.25

+ Profit rates are expected * Conditions Apply *** Expected rates are for the given year

Premium Saver (PLS Saving Account)

Earn up to 8.50% p.a. +. Minimum saving balance of Rs. 20,001/- & a maximum balance of Rs. 1 million*. Free NBP Cash Card (ATM + Debit). Convenience of NBP Online Aasan Banking (for online banking customers). Two debit withdrawals allowed in a month & no limit on number of deposit transactions.

 Profit calculated on monthly and paid on half yearly basis.

Saibaan Home Financing Home Purchase Home Construction Home Renovation Purchase of Land + Construction Balance Transfer Facility (BTF)
Detail:

Product Items Home Purchase Home Construction Home Renovation Purchase of Land + Construction Balance Transfer Facility (BTF) Home Purchase (House or Apartment) * Financing Amount Upto 35 Million Financing Period 3 to 20 Years Debt to Equity 85:15 (Maximum) Home Construction * Financing Amount Financing Period Debt to Equity Home Construction * - Product Detail Financing Amount Financing Period Debt to Equity Home Renovation * Financing Amount Financing Period Debt to Equity

Upto 35 Million 3 to 20 Years 85:15 (Maximum)

Upto 35 Million 3 to 20 Years 85:15 (Maximum)

Upto 15 Million 3 to 15 Years 80:20 (Maximum)

Purchase of Land and for Construction thereon *

Financing Amount Financing Period Debt to Equity

Upto 35 Million 3 to 20 Years 80:20 (Maximum)

Re-Financing (Balance Transfer Facility (BTF)) * If you have a Home Finance Facility outstanding with another bank you can have it transferred to NBP through a hassle-free process.

(Advance Salary Personal Loan ) Easy installments of 1 to 60 months at your choice. No minimum income, collateral & insurance charges required. Quick processing and fastest disbursement. For permanent employees of Government, Semi Government and Autonomous bodies receiving salaries through NBP.
Details:

Take upto 20 advance salaries (currently for NBP account holders of govt. or related organization employees).

National Bank of Pakistan (NBP) NBP Advance Salary , the leading personal loan product of the country, is maintaining its inimitability ever since it was launched. This was only possible due to its swift growth and remarkable loan disbursement of over 138 billion. You can avail up to 20 net take home salaries with easy repayment installments. Its hassle free acquisition with no prior formalities and easy availability in a short turn around time are attributed as the most distinguishing features of the product. The product is offered countrywide

ATM + Debit Card Use it as an ATM in any of the ATMs in Pakistan Use it as Debit Card in any of the outlets with ORIX POS machine across nationwide. Cash withdrawal up to Rs. 20,000/- per day Account Balance Enquiry Mini Statement (Only at NBP ATM) PIN Change facility (Only at NBP ATM)
Details:

Shop to your heart's desire!

NBP Cash Card is a 24/7 access ATM/Debit card to your bank account, which is accepted to 4000 POS merchants nationwide where ORIX logo is displayed. Withdraw cash from NBP, 1-Link & M-Net ATMs across nationwide. The NBP can enable you to enjoy the convenience of cashless purchasing power without the fear of overdrawing your account.

Advantages
You won't need to carry a lot of cash with you every time you go out. Secure and Safe transaction. Account Information on tips (like: Mini Statement, Balance Inquiry, Utility Bill Payment etc.) Enable To Withdraw Cash From 1-Link ATMs / MNET ATMs. Enable To Make Purchases From Around 4000 POS (Merchants) Countrywide including 2500+ POS in Karachi. No Card Issuance Fee for first 12 Months

Investor Advantage (Financing Facility for Stock Investors) Comfortable environment for trading No security requirement, except for the customers equity Customers equity freely available for investment Equity acceptable in cash or approved shares
Details:
Features Comfortable and secure environment for trading NBP financing at very easy terms requiring minimum documentation Minimum turn around time No security requirement from the customer except for the customer's equity Customer's equity freely available for investment. Equity acceptable in cash or approved share.

Eligibility Pakisani National with vaid computerized national ID

Application Procudures Obtain facilty application form the NBP Marginal

Card

Desk at designated branches

Over 21 years of age An account with NBP designated Branch Equity in the form of cash or NBP approved shares No default with any financial institution

Fill in the application form and submit it to the branch On application approval, deposit equity as cash in the margin financing account at the bank. Alternatively NBP approved shares can also be deposited in the NBP CDC Account (CDC A/c No. 2345) Start trading through comfortable & friendly trading centers establishment for you (In collaboratino with Taurus Security Limited a subsidiary of NBP) Trading limit available for the amount of equity + bank financing.

Application Form
Click here to Download [PDF: 131 KB]

Approved List of Shares

Click here to Download [PDF: 417 KB]

Product Information
Financing Amount: Equity Requirement: Shares: Trading: Pricing
Fixed Price At The Time of Facility Sanction, Currently 6 Month Kibor + 3% (Per Annum)

Rs.50,000/ - To Rs.10,000,000/In the Form of Cash or Shares or Both (Currently Minimum Rs. 215,000/- @ 30%) As per NBP Approved List Available. Shares In Physical Form Not Acceptable. Allowed Only Through Trading Centers Created by NBP and Operated by Taurus Securities Limited (A Subsidiarty of NBP) Requirements Photograph of Applicant NBP Account - Current or PLS Marginal Financing Application Form Copy of CNIC Copy of CNIC of Two (2) References Borrower Basic Fact Sheet Duly Filled In Statement of Assets & Liablities List od Shares, Given as Margin (Optional)

Other Charges On Time Application Processing Fee of 0.5% of the

loan amount or Rs.5,000/- (Whichever is lower)

Brokerage Charges/ Fees/ Taxes/ etc. Charged At Actual On Brokerage Invoices Documenation Fee Would Be Charged On Actual

Cash n Gold (Ready Cash Against Gold)

Facility of Rs. 20, 000/-against each 10 gms of net weight of Gold Ornaments No maximum limit of cash Repayment after one year Roll over facility No penalty for each repayment

Details:

Get extra benefit from your gold

With NBP's Cash n Gold, you can meet your need for ready cash against your idle gold jewelry.

Rate of mark-up 15.50% p.a. Facility of Rs. 20,000 against each 10 gms of net contents of gold No maximum limits of cash Repayment after one year Roll over facility Only gold ornaments acceptable Weight and quality of gold to be determined by NBP's appointed schroffs No penalty for early repayment

Kisan Dost (Agriculture Farming Program) Competitive mark-up rate. Quick & easy processing. Provision of technical guidance to farmers at their doorstep. Wide range of financing schemes for farmers. Finance facility up to Rs. 100,000/- for landless farmers on personal guarantee. Financing available against Pass Book, Residential / Commercial property, Gold ornaments and paper security. Loan facility on revolving basis for three years (renewable on yearly basis without obtention of fresh documentation and approval).

Pakremit is an internet based Home Remittance Service. Remitters in USA can log on to our user friendly website, www.pakremit.com and easily remit funds to Pakistan from the comfort of their homes, in a matter of minutes. The service is fully secure with advance encryption application and is available for use 24 hours a day, 7 days a week. Fees and exchange rate have been set at competitive levels and the remitters have the ability to track delivery of funds as well.

Process: Remitters log on to www.pakremit.com and after completing the registration process, are able to remit funds. The whole process takes a few minutes. Funds in Pak Rupees can be sent to beneficiaries, having an account with any bank in Pakistan, including NBP. While funds are credited directly to beneficiaries maintaining accounts with NBP, a pay order or demand draft is couriered to other banks for their customers. Pay order or demand draft can also be couriered directly to the beneficiarys office or home, if requested by the remitter. Funds in US Dollars can be sent only to a Beneficiary maintaining a US Dollar account with one of NBPs Foreign Exchange Branches. Click here for details of NBP Foreign Exchange Branches.

Protection Shield (Personal Accident Insurance)

No documentation No medical required Premium Auto Debit facility & choice of deactivation Coverage includes death due to: Natural Calamities e.g. Earthquake, Flood, Cyclone etc. Accident Riots* Civil Commotion* Strikes* Acts of Terrorism* NBP Protection Shield NBP Protection Shield (Life is Precious)
* Provided the insured is not actively involved in these activities

Details:

Product Information: Insurance Coverage In case of Accidental Death (Including death due to *Riots, *Strikes, *Civil commotion, *Acts of Terrorism and Natural Calamities like Flood, Earth Quake, Cyclones etc). Coverage of Rs. 200,000/- for Rs. 20/- per month Definitions: *provided the insured is not directly involved in these activities "Accident means unintentional, unfortunate or a harmful event by chance or apparent cause. Accidental Death means death due to accidental injuries, but not illness. Insured Person means a National Bank of Pakistan PLS account holder, aged between 18 years and above, and whose premium is deducted & details are reported to the selected insurance company by NBP. Policy means Group Personal Accident Policy dated 26/09/05 executed between NBP and Insurer. Principal Sum means the amount stated in the Policys Schedule of Benefits as respects each Insured Person. Product Details No Medical Required No Documentation Fixed Auto Premium Deduction Facility (after customers consent) Choice of Deactivation Eligibility NBP PLS account holders 18 years and above

Termination of Coverage The date the policy executed by NBP with ALICO is terminated. The date the Insured Person is no longer eligible within the Classification of Insured Person(s). If the required premium is not paid/deducted for the particular month. The date the benefits are paid to the extent of the Principal Sum in respect of any Insured Person. The date the Insured Person cancels coverage under this policy.

General Terms Insurer Maximum Amount Joint Account Term Available Claim Payment

ALICO (American Life Insurance Company (Pakistan) Limited or such other insurance company as NBP may nominate from time to time. Maximum Sum Assured PKR 1,000,000 (this limit is for multiple accounts of an insured) Coverage amount will be distributed proportionately at the time of claim Monthly deduction Within 10 working days upon completion of all documentation / formalities

Claim Requirements

Claimant & Physician statement, original death certificate, hospital death certificate, original NIC, FIR, newspaper clippings (if any) & statement of account.

Disclaimer The NBP Protection Shield is underwritten by ALICO (American Life Insurance Company (Pakistan) Limited) or such other insurance company as NBP may select from time to time. NBP will not be responsible in any manner if your claim is rejected or not entertained. NBP does not offer insurance advice or underwrite or issue insurance policies. Purchase of insurance/bancassurance product does not represent an investment and does not accumulate a cash value. The information available here is intended for the customer intimation and understanding only, and is subject to the policy documentation between NBP and ALICO, as may be applicable from time to time.

Please note that in making deduction from the customer's account for the purpose of coverage under the policy the bank is solely acting as the authorized nominee/agent of the customer, provided sufficient funds are available in the relevant PLS Account. Exclusions

The insurance policy does not cover the following and no claim payment shall be made in respect to:

1. intentionally self-inflicted Injury, suicide or any attempt threat while sane or insane; 2. war, invasion, act of foreign enemy, hostilities or warlike operations (whether war be
declared or not), mutiny, civil war, rebellion, revolution, insurrections, conspiracy, military or usurped power, martial law, or state of siege; assault and murder;, shelling, sniping, ambushes, and all acts of similar nature; or any period a Insured Person is serving in the Armed Forces of any country or international authority, whether in peace or war. Riots, strikes, civil commotion and terrorism acts if the insured person is actively involved in any of these activities; any loss sustained or contracted in consequence of a Insured Person being intoxicated or under the influence of any alcohol, narcotic or drug unless administered on the advice of a Physician; any loss of which a contributing cause was the Insured Persons attempted commission of, or willful participation in an illegal act any violation or attempted violation of the law or resistance to arrest by the Insured Person; any loss sustained while flying in any aircraft or device for aerial navigation except as a fare paying passenger (not as an operator or crew member) on a commercial airline operated by properly certified pilot, flying between duly established and maintained airports; congenital anomalies and conditions arising out of or resulting there from; Pre-Existing Conditions; driving or riding as a passenger in or on (a) any vehicle engaged in any race, speed test or endurance test or (b) any vehicle being used for acrobatic or stunt driving; any loss occurring while the Insured Person is participating in competitions, races, contests, matches in land air or sea; mountaineering, rock climbing, pot holing; paragliding, bungee jumping, parachuting or scuba diving; any claim caused by opportunistic infection or malignant neoplasm, or any other sickness condition, if, at the time of the claim, the Insured Person had been diagnosed as having AIDS (Acquired Immune Deficiency Syndrome), ARC (AIDS Related Complex) or having an

3. 4. 5. 6. 7. 8. 9. 10.

antibody positive blood test to HIV (Human Immune Virus).