Internship Report

On
“Analysis of Banking Industry &
Janata Bank Limited”
 “Analysis of Banking Industry &

Janata Bank Limited”:

An Internship Report

Submitted to:

Dr. Md. Mohan Uddin

Professor

Submitted by:

Arup Saha

ID- 111 143 003

October 9, 2018

UNITED INTERNATIONAL UNIVERSITY

 Letter of Transmittal

October 9, 2018

Dr. Md. Mohan Uddin

Professor

School of Business & Economics

United International University

Subject: Submission of Internship report

Dear Sir,

It is indeed, an honor to deliver my internship report on “Analysis of Banking Industry & Janata
Bank Limited”, as a prerequisite for the completion of my BBA program, as per your
instructions. In preparing this report, I have tried my best to include all the related information to
make the report magnificent and workable one and in doing so I have tried my outermost to live
up to your criterion. It will be a happy moment for me if I hear further clarification from you.

May I, Therefore, hope that you would be kind enough to accept my endeavor and oblige
thereby.

Yours Sincerely,

……………............

Arup Saha

ID - 111 143 003

United International University

 Acknowledgement

At first, I would like to express my profound gratefulness to almighty GOD for giving me

strength and mobility to finish the report within time

Then, I congratulated and lay my sincerest thankfulness to my honorable supervisor, Dr. Md.

Mohan Uddin, Professor, United International University, for his help, encouragement, guidance,

and valuable suggestions throughout the entire period of this study, within which it could not

have been feasible to submit this report on time.

It was an eminent scope for me to complete my internship program at Janata Bank Limited,

Hazaribagh Branch. I am also very grateful to my branch manager and other officers for their

great support.

Finally, I am fortunate for the aid and encouragement I have received from all of my teachers

and friends and students of United International University.

 Executive Summary

This report starts with the analysis of the banking industry of Bangladesh. Then the analysis of

the organization which is Janata Bank Limited and finally my internship experience and learning

also include in the report. The analysis of the banking industry starts with specification of the

industry where the types of banks also included. Then the history, size and maturity of the

banking industry of Bangladesh also comprise. Then external economic factors and porter’s five

forces also discussed in this report to understand the competitive intensity and the attractiveness

of the industry. Then the part of analysis of the organization starts with overview and history of

Janata Bank Limited. Then trend and growth of Janta Bank discuss through the figures of

deposit, net profit after tax, and earnings per share scenario. Janata banks product, customer mix

and operation also include in the report. After doing SWOT analysis of Janata bank I find that

their main strength is there large customer base, weakness in lack of technological resources,

opportunity is more experienced and managerial know how, and the threat is newly developed

privatized and foreign banks. Mostly in my internship period I work in general banking area

there I learn the term, policies and procedures of banking site. I gathered knowledge about

communication, interpersonal skills, teamwork and real world experience. From this real job

experience I also find way to improve my self-performances. After that with a relevant

conclusion this report becomes completed.

 Table of Contents
Serial Topics Page
no. no.
Chapter 1- Introduction

1.1 Background 1
1.2 Objective 2
1.3 Significance 3
Chapter 2- Analysis of the industry

2.1 Specification of the industry 4-5

2.2 History, Size, and maturity of the industry 6-15
2.3 Seasonality 15-16
2.4 External economic factors 16-19
2.5 Barriers to entry 19-20
2.6 Supplier power 20
2.7 Buyer power 21
2.8 Threat of Substitutes 21-22
2.9 Industry rivalry 22
2.10 Summary of challenges and opportunities 23-24
Chapter 3- Analysis of the organization:
(Janata Bank Limited)

3.1 Overview and history 25-30

3.2 Trend and growth 31-35
3.3 Customer mix 36
3.4 Product/service mix 37
3.5 Operations 38
3.6 SWOT analysis 39-42
3.7 Step/strategies to meet the challenges and opportunities 42-43
Chapter 4- My internship Experiences

4.1 Position, duties, and responsibilities 44-50

4.2 Training 50
4.3 Contribution to departmental functions 50-51
4.4 Evaluation 51
4.5 Skills applied 52-53
4.6 New skills developed 53-54
4.7 Application of academic knowledge 55
Chapter 5- Recommendations

5.1 Recommendations for improving departmental operations 56-58

5.2 Recommendations for improving self-performance 58-59
Chapter 6- Conclusion
Conclusion 60
References 61
Table List:

2.1 Nationalized Banks list after Independence. 7

2.2 Banking System Structure. 9
2.3 The list of existing and running banks in Bangladesh. 9-11
2.4 List of Non-Bank Financial Institutions in Bangladesh. 12-13
3.1 List of Branches of Janata Bank Limited. 26
3.2 Corporate Information of Janata Bank Limited. 26-27
3.3 Product/service mix of Janata Bank Limited 37
Figure List:

2.1 Industry life-cycles. 14

3.1 Functional Hierarchies of Janata Bank Limited. 27
3.2 Deposit scenario of Janata Bank Limited. 31
3.3 Loan and advances scenario of Janata Bank Limited. 32
3.4 Total asset scenario of Janata Bank Limited. 33
3.5 Net profit after tax scenario of Janata Bank Limited. 34
3.6 Earnings per share scenario of Janata Bank Limited. 35
3.7 Customer Mix of Janata Bank Limited. 36
4.1 General Banking Activities. 45
 CHAPTER 1: INTRODUCTION

1.1 Background of the Report:

Bank is playing a significant role in the age of modern civilization to keep the economic

development moving. The activities of the bank are needed in every economic activity. In fact

there is hardly any aspect of development activity where bank do not have role to play. A

banking system is a group or network of institutions that provide financial services for us.

It gives me immeasurable joy that during internship period, as part of the BBA program, I have

the opportunity of passing a period of three months with a renowned organization where I

noticed, executed and learned the banking practices. I am very grateful that Janata Bnak Ltd.

(JB) gave me that favor to work as an intern. JB is one of the largest banks in Bangladesh and

has a countrywide branch connection through which they provide an extensive banking service

to their customer. Customer’s gratification is the top most priority of the bank. Bank has

mentioned in their object that customer’s expectancy will be visible through creative financial

product and services. As an intern of Janata Bank Limited, I am preparing a report titled

“Analysis of Banking industry and Janata Bank Limited”: An Internship Report, involved

various rules and regulations, policies and procedures related to different banking actions have

also been considered here.

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1.2 Objectives of the Study:

The major objective of the report is to make an in detailed analysis of the banking industry of

Bangladesh and Janata Bank Limited. As an intern the analysis of my own experience also will

be a part in this report.

The specific objective of this report is to analyze the banking industry thoroughly to know the

factors that have impact on the industry and to make a clear picture to others to understand this

industry. In the analysis of Janata Bank Limited the details picture will be try to show that will

make sense to others about how Janata Bank Limited operates. My internship experience and the

learning of mine also gathered here that can give others some knowledge about internship.

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1.3 Significance of The study:

The main significance of the study is to make transparent knowledge about banking industry to

industry holders and others people, make clear thoughts about Janata Bank Limited to Janata

Banks regulator, and makes idea to student and prospective internee about internship scenario.

By this report people can learn about banking industry easily industry holder can see their

condition effortlessly. Janata Bank Limited regulators can see their position easily by this report

and can find strength, weakness, threat and opportunity of them. My internship experience can

see a path to prospective intern and they can learn the process and can eradicate their loopholes.

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 CHAPTER 2 - ANALYSIS OF THE INDUSTRY

2.1 Specification of the Industry:

An industry can be defined as a group of companies offering products or services that are closely

substitutes for each other, that is, products or services that satisfy the same basic human needs. In

the course of competition, these firms influence one another and rival also because they serve the

same basic customer needs. In this report we are discussing about banking industry of

Bangladesh. The banking industry in Bangladesh began with six nationalized commercial banks,

two state owned specialized banks, and three foreign banks after Bangladesh attained

independence in 1971. In the 1980s, the banking industry of Bangladesh achieved significant

development with the establishment of private banks.

2.1.1 Types of Banks in Bangladesh:

Bangladesh banking sector is mainly two types:

 Scheduled Bank.

 Non Scheduled Bank.

Scheduled Banks: The banks which acquire license to operate under bank company act,

1991(Amended up to 2013) are called as scheduled Banks. State owned commercial Banks,

private commercial banks, Islamic commercial banks, foreign commercial Banks and some

specialized banks are scheduled banks.

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Scheduled banks are classifies into following types:

State Owned Commercial Banks (SOCBs): There are 6 SOCBs which are fully or majorly

owned by the Government of Bangladesh.

Specialized Banks (SDBs): 3 specialized banks are now conducting which were established for

distinctive objectives like agricultural or industrial development. These banks are also fully or

majorly owned by Government of Bangladesh.

Private Commercial Banks (PCBs): There are 40 private commercial Banks which are mainly

owned by the private entities. PCBs can be categorized into two groups:

 Conventional PCBs: 32 conventional PCBs are now operating in the industry. They

performed the banking activities in conventional fashion, like interest based operations.

 Islami Shariah based PCBs: There are 8 Islami Shariah based PCBs.in Bangladesh and

they performs banking activities according to Islami Shariah based principles, like Profit-

loss sharing (PLS) mode.

Foreign Commercial Banks (FCBs): 9 FCBs are doing banking activities in Bangladesh as the

branches of the banks which are incorporated in abroad.

Non Scheduled Banks: The banks which are established for special and definite objective and

operate under the acts that are enacted for meeting up those objectives, are termed as Non

Scheduled banks. These banks cannot perform all functions of scheduled banks. There are 5 Non

Scheduled Banks in Bangladesh.

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2.2 History, Size, and Maturity of the Industry:

2.2.1 History of Banking in Bangladesh:

The first modern Bank headquartered in Dhaka was Dacca Bank, established in 1846. It did a

very restricted business and did not issue banknotes. It was purchased by Bank of Bengal in

1862. Bank of Bengal opened branches in Chittagong and Sirajganj in 1873 and in Chandpur in

1900. In 1947, upon the partition of Bengal, it had six branches in East Bengal, in Dhaka,

Chittagong, Chandpur, Mymensingh, Rangpur and Narayanganj.

In the beginning of 1971, there were 1130 branches of 12 banks those conducting banking in

East Pakistan. The foundation of independent Banking system in Bangladesh was laid through

the establishment of the Bangladesh Bank in 1972 by the president order no. 127 of 1972 (which

took effect on on 16th December, 1971). Through the Order, The Eastern branch of the former

State Bank of Pakistan at Dhaka was renamed as the Bangladesh Bank as a full-fledged office of

the central Bank of Bangladesh and the entire undertaking of the State Bank of Pakistan in, and

in relation to Bangladesh has been delivered to the Bank.

After the independence, banking industry in Bangladesh started its journey with 6 Nationalized

Commercialized banks, 2 State owned specialized banks and 3 Foreign Banks. In the 1980’s

banking industry achieved significant expansion with the entrance of private banks.

After the liberation war of Bangladesh the twelve banking companies who were doing business

in Bangladesh, were nationalized by the government of the people’s republic of Bangladesh

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under president’s order No. 26 of 1972 entitled “The Bangladesh Bank (Nationalizations) order,

1972” on March 26, 1972. These are,

Table 2.1: Nationalized Banks list after Independence.

Existing Bank New Bank after Authorized Paid Up

Independence Capital (Lac Capital
Tk.) (Lac Tk.)
The National Bank of Sonali Bank 500 200
Pakistan
The Bank of Behawalpur
Limited
The Premier Bank Limited Agrani Bank 500 100
The Habib Bank Limited
The Commerce Bank Limited
The United Bank Limited Janata Bank 500 100
The Union Bank Limited

The Muslim Commercial Rupali Bank 500 100

Bank Limited
The Standard Bank Limited
The Austrasia Bank Limited Pubali Bank 500 100
The Eastern Mercantile Bank
Limited
The Eastern Banking Uttara Bank 500 100
Corporation Limited

Before 1982, there were no domestic private commercial Banks in Bangladesh, when the Arab

Bangladesh Bank Ltd. started private commercial Banking in the country. In 1983 five other

commercial banks started their business and moderate growth started in banking institution.

Despite slow growth in number of individual banks, there had been a relatively higher growth of

branches of nationalized commercial banks (NCBs) during 1973-83. There number had increased

from 1512 in 1973-74 to 4603 in 1982-83.

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2.2.2 Size of the Industry:

The Bangladesh Banking Sector relative to the size of its economy is comparatively larger than

many economies of similar level of development and per capital income. The total size of the

sector at 26.54% of GDP dominates the financial system.

Bangladesh Bank is the central Bank of Bangladesh and principal regulator of the sector. There

are 57 scheduled Banks in Bangladesh who operate under full control and supervision of

Bangladesh Bank which is empowered to do so through Bangladesh Bank order, 1972 and Bank

Company Act, 1991.

The sector comprises a number of Banks in various groups; consider ownership the sector can be

classified in to the following categories:

 State Owned Commercial Banks (SOCBs).

 State Owned Development Financial Institutions (DFIs).

 Private Commercial Banks (PCBs). And

 Foreign Commercial Banks (FCBs).

The Nobel Prize for Grameen Bank is a specialized micro-finance institution, the concept of

microcredit revolution and a major contribution to poverty alleviation and empowerment of

women in Bangladesh.

As of December 2015 there are 56 banks in Bangladesh and the numbers of Bank branches are

9397. At the end of June 2016, the total number of bank branches increased further to 9453.

Information on the Banking structure by types of Banks is shown in the following table:

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Table 2.2: Banking System Structure.

(Billion Taka)
Bank Types Number Number of Total % of Deposits % of
of Banks Branches Assets industry Deposits
Assets
State owned 06 3700 3219.1 26.1 2447.4 29.0
Commercial Banks

State owned 03 1407 302.2 2.5 247.4 2.9

specialized Banks

Private 40 4271 8254.6 67.0 5382.3 63.8

Commercial Banks

Foreign 09 75 550.6 4.5 358.9 4.3

Commercial Banks

Total 58 9453 12326.4 100.0 8436.0 100.0

Source: Bangladesh Bank, June 2016.

List of Banks in Bangladesh:

In present scenario there are 63 banks operating banking activities in Bangladesh. Among them

58 are scheduled banks and 5 are non-scheduled Banks.

Table 2.3: The list of existing and running banks in Bangladesh

Scheduled Banks

A. Central Bank Commenced on 1972

B. State Owned Commercial Banks
Banks Established
1. Agrani Bank Limited 26 March 1972
2. Janata Bank Limited By Bank Nationalisation Ordinance 1972
3. Rupali Bank Limited By Bank Nationalisation Ordinance 1972
4. Sonali Bank Limited By Bank Nationalisation Ordinance 1972
5. Bangladesh Development Bank Limited On 16 November, 2009 by amalgamation
of Bangladesh Shilpa Bank (BSB) and
Bangladesh Shilpa Rin Sangstha (BSRS)

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6. Basic Bank Limited 21 January, 1989
C. State Owned Specialized Banks
1. Bangladesh Krishi Bank. 1973
2. Rajshahi Krishi Unnayan Bank (RAKUB) 15 March 1987 ( President’s ordinance
No. 58 of 1986)
3. Probashi Kallyan Bank 2010
D. Private Commercial Banks (PCBs)
I. Conventional PCBs
1. AB Bank Limited 12 pril, 1982
2. Bangladesh Commerce Bank Limited 16 September 1999
4. Bank Asia Limited 27 November, 1999
5. Brac Bank Limited 4 July, 2001
6. City Bank Limited 27 March, 1983
7. Dhaka Bank Limited 5 July, 1995
8. Dutch-Bangla Bank Limited 3 June, 1996
9. Eastern Bank Limited 1992
10. IFIC Bank Limited 1976
11. Jamuna Bank Limited 3 June, 2001
12. Meghna Bank Limited 21 April. 2013
13. Mercantile Bank Ltd 2 June 1999
14. Midland Bank 9 April 2013
15. Modhumoti Bank Limited 19 September 2013
16. Mutual Trust Bank Limited 24 October, 1999
17. National Credit and Commerce Bank In 1993 as commercial Bank
Limited
18. NRB Bank Limited 2013
19. NRB commercial Bank Limited 2013
20. NRB Global Bank Limited 2013
21. One Bank Limited May, 1999
22. Premier Bank Limited 10 June, 1999
23. Prime Bank Limited 17 April, 1995
24. Pubali Bank Limited By Bank Nationalisation Ordinance of
1972, denationalized in the year 1983.
25. South Bangla Agriculture and Commerce 25 March, 2013
Bank Limited
26. Southeast Bank Limited March, 1995
27. Standard Bank Limited 3 June, 1999

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 28. The Farmers Bank Limited 11 September, 2012
29. Trust Bank Limited 1999
30. United Commercial Bank Limited 1983
31. Uttara Bank Limited By Bank Nationalisation Ordinance of
1972, Denationalized in 1983
32. Shimanto Bank Limited 21 July, 2016
II. Islami Shariah Based PCBs
1. Al-Arafah Islami Bank Limited 27 eptember, 1995
2. Exim Bank Limited 3 August, 1999
3. First Security Islami Bank Limited August 29, 1999
4. ICB Islami Bank Limited April, 1987
5. Islami Bank Bangladesh Limited 13 march, 1983
6. Shahjalal Islami Bank LImited 10 May, 2001
7. Social Islami Bank Limited 22 November, 1995
8. Union Bank Limited 2013
E. Foreign Commercial Banks
Banks Started Operation in Bangladesh
1. Bank Al-Falah Limited 2005
2. Citibank N.A 1995
3. Commercial Bank Of Ceylon PLC 2003
4. Habib Bank Limited 1976
5. National Bank of Pakistan August, 1994
6. Standard Chartered Bank 1905,
7. State Bank of India
8. Woori Bank September 1996
9. HSBC Bank 1996

Non Scheduled Banks

1. Grameen Bank
2. Jubilee Bank
3. Ansar VDP unnayan Bank
4. Karmashangostha Bank
5. Polli Sonchay Bank

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Non-Bank Financial Institution:

Non-Bank Financial Institutions (FIs) are those types of financial institutions which are regulated

under Financial Institutions Act, 1993 and controlled by Bangladesh Bank. Now 34 Financial

Institutions are operating in Bangladesh while the maiden one was established in 1981. Out of

the total, 2 is fully government owned, 1 is the subsidiary of a SOCB, 15 were initiated by

private domestic initiative and 15 were initiated by joint venture initiated. Major sources of funds

of FIs are term deposit (at least 3 months tenure), Credit facility from Banks and others FIs, Call

money as well as Bond and Securitization.

The major differences between Banks and FIs are as follows:

 FIs cannot issue cheques, pay orders or demand drafts.

 FIs cannot receive demand deposits.

 FIs cannot be involved in foreign exchange financing.

 FIs can conduct their business operations with diversified financing model like

syndicated financing, bridge financing, lease financing, securitization instrument, private

placement of equity etc.

Table 2.4: List of Non-Bank Financial Institutions in Bangladesh:

18. International Leasing and Financial

1. Investment Corporation of Bangladesh. Service Limited.
19. Islamic Finance and Investment
2. Agrani SME Financing Company Limited. Limited.
20. Lanka Bangla Finance Limited.
3. Bangladesh Finance and Investment Company
Limited.

4. Bangladesh Industrial Finance Limited. 21. Meridian Finance and Investment

Limited.
22. MIDAS Financing Limited.
5. Bangladesh Infrastructure Finance Fund

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 Limited.
23. National Finance Limited.
6. Bay Leasing and Investing Limited.
24. National Housing Finance and
7. CAPM Venture Capital and Finance Limited. Investment Limited.
25. People’s Leasing and Financial
8. Delta Brac Housing Finance Corporation Service Limited.
Limited.
26. Phoenix Finance and Investments
9. Far-east Finance and Investment Limited. Limited.
27. Premier Leasing and Finance
10. FAS Finance and Investment Limited. Limited.
28. Prime Finance and Investment
11. First Finance Limited. Limited.
29. Reliance Finance Limited.
12. GSP Finance Company (Bangladesh) Limited.
30. Saudi-Bangladesh Industrial and
13. Hajj Finance Company Limited. Agricultural Investment Company
Limited.
31. Uttara Finance and Investment
14. IDLC Finance Limited Limited.

15. Industrial and Infrastructure Development 32. The UAE-Bangladesh Investment

Finance Company Limited. Company Limited.

16. Industrial Promotion and Development of 33. Union Capital Limited.

Bangladesh Limited.

17. Infrastructure Development Company 34. United Finance Limited

Limited.

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2.2.3 Maturity of the Industry:

Figure: 2.1 Industry life-cycles.

Source:
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jsL9K89QOXnamwCg&q=maturity+of+the+industry&oq=maturity+of+the+industry&gs_l=img
.3...2706957.2714250.0.2714890.30.28.0.0.0.0.353.3935.0j13j6j1.20.0....0...1c.1.64.img..10.14.3
058...0j0i67k1j0i8i30k1j0i24k1.0.eOMw9CcWgMI#imgrc=4JlUV7nNMpY-lM:

In this graph we can see the industry life cycle, the growth of an industry’s sales over time is

used to chart the life cycle. The distinct stages of an industry life cycles are: introduction,

growth, shakeout, maturity, and decline. Sales typically begin slowly at the introduction phase,

and then take off rapidly during the growth phase. In the shakeout period demand access in

saturation levels, and in maturity stage the market is totally saturated. In declining phase,

eventually, many industries drive a stage of decline.

The banking industry of Bangladesh is now in mature stage. Because the market is fully

saturated, demand is narrow to replacement demand, and growth is downcast. Typically the

growth that leftover comes from population spread, bringing new customers into the market or

increasing replacement demand. As the industry goes into maturity, barriers to entry increase and

the threat of entry from potential competitor’s decreases, Competition for market share develops,

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often producing price war, companies focus on minimizing costs and building brand loyalty. By

the time an industry matures, the surviving companies are those that have brand loyalty and

efficient low-cost operations.

2.3 Seasonality of the Banking industry:

The banking industry, along retail and investment banks, is bound to seasonal trends. The

persistence of important seasonal changing in the demand for capital, the commodity banks trade

in, may seem surprising in a diversified, global economy with comprehensive, well-established

capital markets.

The primary seasonal pattern of the banking industry is a stage of yearly lows in late January and

February, followed by a wave in loans that begins in March and uprising sharply through may,

usually apex in early June. From there need for banking services typically leftover relatively flat

to slightly down with the summer months. This period enhances to around the start of October.

Then from the first part of October through the first part of January, the financial services

division as a whole supposed to realization a constant increase in business.

In addition to loan movement and need for investment services, the seasonal specimen in the

banking industry can be intimate by examining the function of banking and financial sector

stocks over the 20 year period from 1995 to 2015. The highest average returns on investment for

bank stocks happened in the months of March and April, and secondarily in the months of

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October through December, while the worst-performing month on average for bank stocks in

February.

One factor leading the seasonal pattern for the banking industry is an analogous seasonality in

interest rates. Rates supposed to be downcast in spring and fall and upper in winter and summer

and corporation probably try to gain major financing when rates are lowest. Another factor that

urge the seasonal pattern for the banking industry is the growing demand for investment service

that occurs in December and first part of January.

2.4 External Economic Factors:

Some external economic facstors affect in a country’s banking industry, those factors are:

2.4.1 Political Factors: Government laws have impact in the state of the banking sector. The

government can interfere in the matters of banking anytime, leaving the industry able to political

influence. This comprises corruption among political parties, or specific regulative laws such as

labor laws, trade restrictions, tariffs and political stability.

2.4.2 Economic Factors: The banking industry and economy are connected. How earning flows,

whether the economy is rising or barely survive during time of recession, affects how much

capital banks can ingress. Spending nature, and the cause behind them, affect when customers

borrow or expend funds at banks. Additionally; when inflation appears, the bank realized the

backlash. Inflation affects currency and its worth and causes instability. Foreign investors figure

out twice before give their funds when an individual country’s currency value is high.

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2.4.3 Sociocultural Factors: Cultural impressions, such as buying behavior and necessities,

influence how people see and use banking option. People go to banks for advice and assistance

for loans connected to business, home and academics, Consumers getting knowledge from bank

tellers concerning saving accounts, and bank related credit cards, investments and more.

2.4.4 Technological Factor: Technology is switching how consumers manage their funds. Many

banks deliver a mobile app to witness accounts, transfer funds, and pay bills on smartphones.

Smartphones can scan cheques, and the bank can process it from their end, at their location.

Because of this changes bank can save papers and the necessity to drive straight away to the

branch to manage this affair. Debit cards process also switching. Chips have been changing also,

commanding user to insert card into debit machines rather than swiping.

2.4.5 Legal Factors: The Banking industry follows proper laws concerning privacy, consumer

laws, and trade formation to confirm structure within the industry. Such structures are required

for customers in the allocated country and for foreign users.

2.4.6 Environmental Factors: With the use of technology, specifically with mobile banking

apps, the usage for paper is being waned. Additionally, the need to lead directly to a branch to

handle affairs is minimized as well. Many issues now become easy through mobile apps and

online banking services. Customer now buy cheques online, can apply for credin card in online

and many of their questioned are answered through online and phone, thus, minimize individual

environmental footsteps.

2.4.7 Regulatory Factors: Bank regulation is a formation of government provision which

subjects banks to other requirements, restrictions and guidelines, designed to create market

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transparency among banking institutions and the individuals and corporations with whom they

conduct business, among other things. Such as,

Licensing and Supervision: Licensing give the license holder the power to own and to

operate a bank. Supervision is an expansion of the license-granting procedure and

consists of supervision of the banks operations by a government regulatory body.

Minimum requirements: A national bank regulator set requirements on banks in order

to promote the objectives of the regulator. Often, these requirements are nearly tied to the

level of risk exposure for a certain section of the bank.

Capital requirement: The capital requirements fix a frame on how banks must manage

their capital in related to their assets. s

Reserve requirement: All scheduled banks in Bangladesh have to maintain cash reserve

ratio (CRR) and Statutory liquidity ratio (SLR) in compliance with the instruction given

in clause (1) of article 36 of Bangladesh Bank Order, 1972 and clause (1) of section 33 of

Bangladesh Company Act 1991 respectively.

Cash Reserve Ratio (CRR): Every schedule bank has to keep up a balance in cash

with Bangladesh Bank the amount of which will not be lower than such scction of

its total demand and time liabilities as prescribed by Bangladesh Bank from time to

time by notification in the official Gazette. At present the required CRR is 6%.

Statutory Liquidity Ratio: Every scheduled bank has to keep up assets in cash or

gold or in the form of un-encumbered chosen securities the market value of which

shall not be less than such scction of its total demand and time liabilities as

prescribed by Bangladesh Bank from time to time. At present the required SLR is

13% daily for conventional Banks, and 5.5% daily for Islamic Shariah based banks.

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 Corporate governance: Corporate governance necessities are intended to motivate the

bank to be well managed, and is an imperceptible way of achieving other objectives.

Financial reporting and disclosure requirements: Among the most important

regulations that are placed on banking institutions is the requirement for disclosure of the

bank finance’s. Particularly for banks that trade on the public market, requires

management to prepare annual financial statements according to a financial reporting

standard, have them audited, and to register and publish them.

Credit rating requirement: Banks may be required to obtain and maintain a current

credit rating from an approved credit rating agency, and to disclose it to investors and

prospective investors.

Large exposure restriction: Banks may be restricted from having imprudently large

exposures to individual counterparts or groups or connected counterparties.

Bangladesh Bank, being the central bank exerts supervisory controls over the banking sectors.

2.5 Barriers to entry:

Bangladesh Bank, the central bank of Bangladesh, has the authority to determine the entry and

exit rules of all the banks operating in Bangladesh. Barriers to entry in Banking Industries

include licensure laws, capital requirements, access to financing, and regulatory compliance and

security concern.

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Other barriers are like trust, people keep more trust to well-known big banks those have major

shares in the market because these industry deals with people’s money and financial fact.

Ultimately, relative to other industry barriers to entry is low in banking industry. While it is not

easy to get people trust and give all service for a new bank but it is easy to start a small bank in a

local area.

2.6 Supplier Power:

Capital is the primary resource for a bank and mainly four suppliers are supply this in banking

industry, those are, customer deposits, mortgages and loans, mortgage-backed securities, loans

from other financial institutions. Bank gets capital from these suppliers and utilizing these

resources to give service to customer to meet their borrowing needs and also reserve enough

capital to ease their withdrawing needs.

The power of suppliers often fluctuates between medium to high because this power largely

depends on market. Big amount depositors have strong power in determining interest rate of their

deposits.

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2.7 Buyer power:

Creditors are considered to be the buyers of the bank. The individual doesn’t pose much of a

threat to the banking industry, but one factor that affects the bank is switching of customer from

one bank to another. But the switching cost is high, so some banks often lower their switching

cost that can attracts people to shift their bank.

The internet has greatly increased the power of the consumer in the banking industry. The

internet eases and reduced the cost for consumers to compare the prices of opening/holding

accounts as well as the rates offered at various banks. Because of internet we can transfer our

money from one place to another in a minimum cost, and also make switching costs very low in

terms of time and capital. Sometimes Big amount creditors have strong power in determining

interest rate of their credit amount.

2.8 Threat of Substitutes:

Banking industry’s largest threats of substitute is no other rival banks but non-banking financial

institutions are possesses larger threats.

The industry does not bear any actual threat of substitutes from deposits or withdrawals; but

some other non-banking competitors also provide services like insurances, mutual funds, and

fixed income securities.

Page | 21
Payment method substitutes also threats. And loans are comparatively high for the industry. For

example, some big companies like, big name electronics, jewelers, car dealers and more tend to

offer preferred financing on “big ticket” items. Sometimes these non-banking companies serve

lower interest rates on payments then the consumer thinks about get loan from those companies.

2.9 Industry Rivalry:

The banking industry is extremely competitive. This industry has a long time history and now all

have the banking services that everyone wants. Because of this all banks wants to enticement

clients all banks appeal different service to attracts target customers. Banks offer lower

financing, higher rates, investment services, and great opportunity from rival banks. The

competitions always exist in the industry that who can offer the best and fastest services. But

doing these banks also thinks about their ROA (Return on Asset) because banks can experience a

lower ROA. Sometimes we can see consolidation of companies in this industry to reduce rivalry.

Sometimes bank tends to do merger or acquisition with other banks to contempt money in

marketing and advertisement.

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2.10 Challenges and Opportunities of Banking sector of Bangladesh:

The banking industry of Bangladesh has emerged a good position over the years, making

attractive profit, sustaining growth, positive competition, and provides pleasant returns to

shareholders. However, some people greed for much without creating platform bring some

challenges and raised questions in peoples mind.

Many times in today’s scenario we hear about top most person like director and chairman of

banks involved in politics and many hidden deal occurs that raises question about banks goodwill

and independence of running banks operation. Then it also raises question about all the annual

reports and regulatory paperwork transparency. Some other malpractices also allow some banks

to take advantage of the situation.

The picture of the banking industry has been stigmatized by several times for several stories

regarding the owners in recent media releases. Despite the considerable advancement made,

other countries are still somehow behaving our banking industry activities as questionable. This

image issue is not only the main problem to developing a respectable and corruption free

industry but there are also the lacking of people, product, compliance and ethics, competition,

change management and technology among other. Stopped the money laundering is now a great

challenge to this industry.

The banking industry badly needs skilled human resources who will not only service old

products but will also create and launch new innovative products. Educating the market remains

the first requirement towards creating new products and developing skilled human resources.

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Beside people and product issues, we need to be ever vigilant about the ever-changing

technology and regulatory requirements.

We have the rules and regulation. But main problem is that we can’t enforce them in an honest

manner. At first the regulator and the legal system should become honest then all the

malpractices and image issue can be avoided. Facing all challenges in a consequential manner

our main goal should be creating a sustainable, profitable and a transparent banking sector. We

have to do a lot and run faster towards a clear visibility to touch the goal. Perhaps, overall

governance and policy holder situation has to be changed a lot.

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 CHAPTER 3: ANALYSIS OF THE ORGANIZATION:
(JANATA BANK LIMITED)

3.1 Overview and history of Janata Bank:

Janata Bank Limited is one of the largest commercial Bank in Bangladesh. This bank was

established under the Bangladesh Bank presidency order 1972. Former two private banks United

Bank Limited and Union Bank Limited that were performing banking all over the country later

Janata Bank taking branches of these two banks. After the independence the new country

Bangladesh born in 1971, then the newly started Janata Bank started mass banking all over the

country and get facilities from the government as a nationalized commercial bank. By passing

time Janata Bank provide a huge facility and spread all over the country widely and with the

increasing responsibility Janata bank becomes the second largest State owned commercial Bank

in Bangladesh. Janata Bank has 908 branches in the country and 4 overseas branches in United

Arab Emirates. This bank has linked over 1239 foreign correspondent that spread all over the

world. Total employee of this bank is more than 12 thousands (12,939). The head office located

at Motijheel C/A Janata Bhaban the heart of the capital city of Dhaka.

3.1.1 Corporization:

Janta Bank got registered with the Joint Stock of Registers and restructured it as a public limited

company with the name Janata Bank Limited in 15 November, 2017.

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3.1.2 List of Branches:

Table 3.1: List of Branches of Janata Bank Limited.

Offices No.

Local Office 1

Corporate-1 Branch 30

Corporate-2 Branch 77

Overseas Branch 4

Grade-1 Branch 267

Grade-2 Branch 224

Grade-3 Branch 227

Grade-4 Branch 82

Total Branches 912

3.1.3 Corporate Information:

Table 3.2: Corporate Information of Janta Bank Limited.

Name of the company: Janata Bank Limited

Registered address: Janta Bhaban, 110, Motijheel commercial Area

Dhaka- 1000, Bangladesh.
Legal status: Public Limited Company
Chairman: Luna Shamsuddoha
CEO & Managing Director: Md. Abdus Salam Azad.
Company Secretary: Hussain yeahyea Chowdhury
Date of Incorporation: 21 May, 2007
Authorized capital: BDT 30,000 Million
Paid up capital: BDT 23,140 Million
Face value per share: BDT 100 per share
Shareholding pattern: 100% share owned by the government of
Bangladesh.

Page | 26
 Banking license obtained from 31 May, 2007
Bangladesh Bank:
Phone : +88 02-9560000, 9566020, 9556245-49, 9565041-
45, 9560027-30
Fax: 88-02-9554460, 9553329, 9552078
SWIFT: JANBBDDH
Website: www.jb.com.bd
E-mail: [email protected]

Source: Janata Bank Limited Website.

3.1.4 Functional Hierarchies:

Head office

G.M. Office

Area Office

Regional Office

Branch

Figure No: 3.1 Functional Hierarchies of Janata Bank Limited.

3.1.5 Board of Directors:

Board of Directors, constituted by 10 members, has authority to organize, operate and manage its

affairs on commercial consideration within the board policy of government. The directors are

representatives from both public and private sectors. Members of the board including M.D are

governments appointed out of that at least three have the experience in the field of finance,
Page | 27
banking, trade, commerce, industry and agriculture. The managing director is the chief executive

of Bank. The Board of Directors is composed of 10 members headed by a chairman. The name

and position of directors are as under:

Chairman of the Board of Directors:

Luna Shamsuddoha

Members of the Board of Directors:

Mr. Manik Chandra Dey

Khondker Sabera Islam

Mr. Md. Mofazzal Hossain

Mr. Masih Malik Chowdhury

Mr. A.K. Fazlul Ahad

Mrs. Selima Ahmad

Mr. Mohammad Abul Kashem

Mr. Md. Abdul Haque

Mr. MD. Abdus Salam Azad, CEO & Managing Director

3.1.6 Vision:
To become the effective largest commercial bank in Bangladesh to support socio-economic

development of the country and to be a leading bank in south Asia.

3.1.7 Mission:

Janata Bank Limited will be an effective commercial bank by maintaining a stable growth

strategy, delivering high quality financial products, providing excellent customer service through

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an experienced management team and ensuring good corporate governance in every step of

banking network.

3.1.8 Slogan:

“Your committed partner in progress”

3.1.9 Objectives:

The objectives for which the bank is established as follows:

 To carry on, transact, undertake and conduct the business of banking in all brunches.

 Full implementation and utilization of the bank’s excellence programs which aims to

provide service to customers.

 To carry on business as financiers, promoters, capitalists, financial and monitory agents,

concessionaires and brokers, dealing in exchange, securities and all kinds of mercantile

banking etc.

3.1.10 Awards & Achievements:

Recently the bank has been recognized internationally and domestically for its good

performance. Few of this recognition are given below:

 Janata Bank is awarded the Institute of Cost and Management Accountants of Bangladesh

(ICMAB) National Award-2017.

 The Asian Banking and Finance award-2014.

 SAARC Anniversary Awards for Corporate Governance Disclosure 2013.

 The Asian Banking and Finance award.

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 Quality Recognition Award 2009.

 Business Asia Most Respected Company Awards- 2012.

 ICMAB best corporate Award.

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3.2 Trend and growth of Janata Bank:

3.2.1 Deposit:

Deposits (BDT in Million)

700,000 641,819 649,441
568,911
600,000 516,011
478,516
500,000
400,000
Deposits (BDT in Million)
300,000
200,000
100,000
0
2013 2014 2015 2016 2017

Figure No: 3.2 Deposit scenario of Janata Bank Limited.

Source: Annual Report of Janata Bank Limited 2017.

Bank deposits consist of money placed into banking institutions for safekeeping. The deposit is

the great source of money to the banks. Banks collect deposit from public and placed an interest

through agreement and bank used this money as their purpose. The deposit itself is a liability

owned by the bank to the depositors.

In the figure 3.2 we see the graphical presentation of deposits scenario of Janata bank, we can

see that collection of deposits gradually increasing from year 2013 to 2017. This is a good sign

that the bank is in good position.

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3.2.2 Loan and Advances:

Loan and Advances (BDT in Million)

500,000 459,580
403,037
400,000 349,861
319,773
285,748
300,000
Loan and Advances (BDT in
200,000 Million)

100,000

0
2013 2014 2015 2016 2017

Figure No: 3.3 Loan and advances scenario of Janata Bank Limited.
Source: Annual Report of Janata Bank Limited 2017.

A loan is an amount lent by the lender to the borrower for a definite purpose for a particular time

period. So a loan is one kind of debt provided by a bank to fulfill the long time requirement of a

borrower.

An advance is a credit facility provided to the big corporations to fulfill their daily needs like

salary and wages, admin expense, material expense etc. this credit facility mostly used to run day

to day operations smoothly.

Loan and advances are the greatest source of profit to a bank. In the figure 3.3 we can see every

year the amount of loan and advances are increasing from 2013 to 2017. It’s also a good

indicator to earn more profit.

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3.2.3 Total Assets:

Total assets (BDT in Million)

900,000 778,604 805,988
800,000 690,668
700,000 628,415
586,083
600,000
500,000 Total assets (BDT in
400,000 Million)
300,000
200,000
100,000
0
2013 2014 2015 2016 2017

Figure No: 3.4 Total asset scenario of Janata Bank Limited.

Source: Annual Report of Janata Bank Limited 2017.

Total asset is one of the main measures of bank’s prosperity, and are defined as all assets owned

by a bank. This includes cash and balances, loans and advances to banks and customers as well

as debt securities.

In the figure 3.4 we can see the amount of assets increasing every year from 2013 to 2017. This

indicates the bank’s overall condition is satisfactory.

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3.2.4 Net profit after tax:

Net profit after tax (BDT in Million)

9,551
10,000

8,000

6,000 4,808
3,813 Net profit after tax (BDT in
4,000 Million)
2,605 2,687

2,000

0
2013 2014 2015 2016 2017

Figure No: 3.5 Net profit after tax scenario of Janata Bank Limited.
Source: Annual Report of Janata Bank Limited 2017.

Net profit after taxes is simply the net income of a business less all taxes. It is the sum of all

revenues minus all expenses, including cost of goods sold, depreciation, interest and taxes. By

this we can learn the profit earning condition of the bank.

In the figure 3.5 we can follow that in 2013 net profit was a huge amount after that it goes

downward and every year fluctuates but the amount is not so bad from 2014 to 2017. A fairly

good profit remains in every year. So we can conclude that Janata bank is in a profitable

situation.

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3.2.5 Earnings per share:

Earnings per share (BDT in Million)

100 86.31

80

60
Earning per share (BDT in
40 Million)
25.12
19.92
13.61 14.04
20

0
2013 2014 2015 2016 2017

Figure No: 3.6 Earnings per share scenario of Janata Bank Limited.
Source: Annual Report of Janata Bank Limited 2017.

Earnings per share is the portion of the bank’s profit allocated to each outstanding share of

common stock. Earnings per share serves as an indicator of an company’s profitability.

In this graphical presentation of figure 3.6 we can see that in 2013 shareholder earn a great, then

from 2014 to 2017 also earn a satisfactory amount, so overall earnings per share is good.

Page | 35
3.3 Customer mix of Janata Bank:

Customer mix is the sales driven by a particular type of customer segment expressed as a

percentage of business total sales. Mostly bank earns from giving loan and bank gives loan to

many sectors.

Segment wise loan amount

percentage
4% 4%
5% Agriculture
28% Manufacturing
Service
41%
Trading
18%
household
others

Figure No: 3.7 Customer Mix of Janata Bank Limited.

This pie chart shows us in which sector Janata bank gives more loan. We can show in trading

sector more loans are given that is 41% then manufacturing sector 28% and then service sector

18%. So from these sectors banks earn more.

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3.4 Product and Service mix of Janata bank:

The number of product/service lines that a company has for its customers is called as

product/service mix. The below list contains Janata bank products and service:

Table 3.3: List of products/services of Janata Bank Limiteds

Deposit Loans & advances E-service Modern Banking

Current deposit Agriculture loans ATM (automated Online banking

teller machine)
Savings deposit Working capital loan Internet banking JB green
communication
Special notice deposit Rural credit Automated branch JB remittance
banking
Fixes deposit Tannery trading Green Banking JB PIN cash
Schemes deposit Real estate loan E-GP payment service

Home and flat loan OMIS (ERP)

Consumers financing PMIS

Specialized loan for BEFTN user manual

women entrepreneur

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3.5. Operations of Janata Bank Limited:

Janata bank limited is a leading commercial bank in Bangladesh. Janta bank limited has many

banking operation that they everyday performs. Such as,

Automated teller machine (ATM) operation: Now a day’s all banks started activities

that are technological friendly. Because by using technology they can give customers

more satisfaction, So Janata Bank Limited also introduced ATM machines to provide

more service to customers.

Foreign exchange operation: Janata Bank Limited also do foreign exchange operation.

They exchange one currency for another or the conversion of one currency into another

currency.

Providing loans: Providing loans is an importance operation of a Bank, because bank

collects a huge amount as interest from loan receiver.

Investment: Banks collect deposit from people and banks have to return the amount with

an interest. So banks investment their money in a profitable source.

JB software operation: JB software is Janata Bank own software. Janta Bank uses this

software for their all activities.

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3.6 SWOT analysis of Janata Bank:

SWOT analysis is a strategic planning method used to evaluate the strengths, weaknesses,

opportunities, and threats involved in a business. It involves specifying the objective of the

business venture and identifying the internal and external factors that are favorable and

unfavorable to achieving that objective. From the analysis of internal environment analysis we

can know about strength and weaknesses and from external environment analysis opportunities

and threats.

SWOT acronym stands for:

S= Strengths

W= Weaknesses

O= Opportunities

T= Threats

Source:
https://www.google.com/search?q=swot+analysis&source=lnms&tbm=isch&sa=X&v
ed=0ahUKEwjftY63wuDdAhUGXSsKHfd_BcMQ_AUIDigB&biw=1366&bih=657
#imgrc=cungKkf9W52PoM

Page | 39
The SWOT analysis constitutes a picture of the organization’s internal weaknesses and strengths

and external threats and opportunities. SWOT analysis gives a clear knowledge about

organization, what will be good for the organization? What things should remove and what to

add? How to handle competition? , And overall strategic analysis of the organization.

3.6.1 Strengths:

As a large bank it has qualified and experienced manpower.

Large customer base

Bank’s asset position is quite satisfactory and now there is no fund crisis.

Bank has requisite wealth to sustain in the various challenge of market economy.

Regulatory performance is strong and positive.

Branch location is attractive, Co-ordination and co-operation exists among the staff.

Old bank so greater reliance to customer.

Being a nationalized banking organization, it always gets government support in all of its

operations.

3.6.2 Weaknesses:

Lack of technological resource and internet banking

Lack of knowledge of customer profile

Insufficient focus on quality customer service

Lack of motivation for the workers

Low salary structure for the employee

In some cases management employee relation is not good.

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 As many employees retire from the bank and new branches open, there is a crisis for

manpower in the bank. Bureaucrat official process hampered the daily internal workflow.

3.6.3 Opportunities:

More experienced and managerial know-how

Expansion of new investment areas

Scope for automation will open a big door of opportunity

Opportunity to expand geographically in Bangladesh

Customers will be increasing if good quality assured.

In case of fund crisis Janata bank gets government support

3.6.4 Threats:

Newly developed privatized and foreign banks

Facing a great competition with other commercial banks and financial institutions

Loan recovery systems are very weak.

Policies are not practiced properly.

Inefficiencies within the operations of the bank

Lack of appeal to younger, student, affluent potential customers

Lack of flexibility to adapt to any change

Increased technological innovation and technology cost in order to compete effectively.

Page | 41
Janata Bank Ltd. is one of the largest banks in Bangladesh and its overall performance is

satisfactory. But to face challenges of globalization Janata bank should restructure its operation

to improve as a first generation bank.

3.7 Steps and strategies to meet the challenges and opportunities:

JBL branches decoration is not up to mark so they should create a good interior decoration and

positive attitude have to show towards employee that will create a smooth working environment.

JBL head office take a lot time to take decisions, they should take decision early. And some

freedom of taking decision also should give to the branches.

JBL loan recovery system should be categorized in a new way, if this happened then their risk

for classified loan will be reduced and investment will increase.

JBL should go through the online banking firmly as early as possible for better service to the

customer.

JBL should invest in many different sectors because when investment will increased cost of

capital will reduced.

JBL human resource department should train their employees with computer knowledge and IT

sector and their human resource department should arrange training program frequently, a JBL

management should take decision more quickly.

Page | 42
JBL should give opportunity to employee to share their experience and group incentive should be

arranged that will encourage employee to work smoothly.

JBL marketing activities are not sufficient but now a day’s promotional and marketing activity is

mostly important to create a good image in target customer’s mind.

JBL should increase promotional campaign and they should participate in social activities for

creating good image in target customer mind.

Page | 43
 CHAPTER 4- MY INTERNSHIP EXPERIENCES

4.1 Position, duties and responsibilities:

Throughout my internship period, I have been placed in the general banking department as an

intern employee. General banking department performs the majority functions of the bank. It is

the heart of all banking activities. In this department majority functions of a bank are performed.

It is the core department. We know bank operates with others money and this process starts with

the general banking department. This is time most engaged and important department of any

branch because here funds are mobilized, cash are transferring, accounting and remittance related

activities also happened here. General banking is also known as retail banking.

I have tried to present, observe and learned from general banking activities of this branch. I had

an opportunity to be acquainted with the practical banking prevailing in the Hazaribagh Branch,

Janata Bank Limited. I tried my level best to get the best from this opportunity.

Due to time and resource constrained I couldn’t do practical work in all sites, but I tried to know

real banking as much as possible from:

Practical desk work

Face to face conversation with the officer.

Direct observation

Face to face conservation with the client.

Observe officers work.

Page | 44
 Observe JBL website work.

General Banking department performs the core functions of bank, operates day to day transaction

of banking operation. Those functions are

General Banking

Accounting
opening Remittance Cash section Clearing Accounts
section

Figure No: 4.1 General Banking Activities.

4.1.1 Accounting opening section:

Accounting opening is the entrance for clients to go into business with bank. It is the base of

banker customer relationship, and this is one of the most crucial sections of a branch, because by

opening accounts bank put together fund for investments. Some rules and regulation maintains

here and some personal documents also collect from customers while opening an account. A

customer can open account as he/she wants; different types of accounts exist, such as:

 Current account

 Savings bank deposit

 Fixed deposit

 Special notice deposit

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Procedures to open an account:

For opening an account, at first the prospective account holder have to apply for opening an

account by filling up an account opening form, in this form all details about account holder must

written. Some documents have to submit to open an account. Like,

 Two copies passport sized photo.

 National ID card’s photocopy. (Main copy has to be shown).

 Nominee’s one copy photo and National ID card’s photocopy. (Main copy has to be

shown).

 TIN certificate’s photocopy.

 MOA & AOA for limited company

 Incorporation certificate.

 Trade license.

 And an introducer also needs who has account in this branch and who knows the

prospective account holder. The introducer introduces the prospective account holder

with the bank.

My experience:

In this scenario my duties was to talk with the customers about the accounts facilities, fill up

accounts form, and take signs from them in the form where needed, collects all document from

them, and shown the documents to respective officer.

After fulfilling all formalities, branch manager approval is needed, then the account is ready to

open, the account holder must to deposit 1000 taka as initial deposit for running the account.

Page | 46
I also fill up the deposit form for customers. If the account is deposit or fixed deposit then the

customers also get deposit slip.

If the account is current account then the account holder get a cheque book of 20 pages. At the

time account opening account holder normally received a manual cheque book, I also fill up the

account number in manual cheque books, after one month if customer gives requisition then they

get automatic cheque book and a fees is charged for cheque book.

By all this I am able to learn the account opening process.

4.1.2 Remittance section:

A remittance is a transfer of money by a foreign worker to an individual in their home country. It

has great impact in a country’s economy.

Janata Bank Limited create their own software named JB remittance payment system and

launched this software to their all branches that will provide online cash deposit easily cheque

payment and instant payment of foreign remittance to customer in more secured way. By this

system remittance transfer becomes faster and easy because Virtual Private Network (VPN) is

used. Using this system all voucher and advices are auto-generated that don’t need any human

intervention. Account holder can withdraw money easily from any branch and foreign

remittances can receive without killing more time.

My Experience:

In this section, when customer comes, first I will talk to them and collect one photocopy of

national ID card. It’s a rule for customer to submit a photocopy of national ID card when they

come for collect remittance’s money. Then also known the account number from customer and

Page | 47
give theses to the officer, then the officer saw the documents and clears the process and manager

approval also taken. Then the money transfers to the customer’s account and I wrote the account

number and name in a list book. Here by observing this works I learned about the remittance

transferring procedures.

4.1.3 Cash section:

Banks, as a financial institution, accept surplus money from the people as deposit and give them

opportunity to withdraw the same by cheque, etc. But among the banking activities, cash

department play an important role. It does the main function of a commercial bank, receiving the

deposit and paying the cash on demand. Here cash mobilizes because deposit receives in this

section from depositors. Cash payment also done here.

My Experience:

In the cash section, I don’t do any direct work related with cash because it is prohibited for an

intern employee. I do indirect work like, fill up cash slip for customer, give them new slip and

talk to them and observe officers work.

4.1.4 Clearing:

Clearing denotes all activities from the time a commitment is made for a transaction until it is

settled. Clearing happens in clearing house.

In clearing house all representative of different banks meet together and receive and deliver

cheque with one another. Bangladesh bank performs this clearing activity. Sonali banks also

perform this activity where is no barmch of Bangladesh Bank.

Page | 48
My Experiences:

I have no real experience in this matter. Normally, clearing activities occur outside branch, so I

don’t get the opportunity to be involved in it because I have to do work in the branch.

4.1.5 Accounts:

Accounting department is also an authentic part of a bank. Everyday lots of transaction happened

and these transactions should be record clearly because banks deal with others money and banks

should return this at a time. Improper record can create many problems by mismatching debit

and credit site. To avoid these hazard bank creates a separate department. Which function is to

check all transaction thoroughly to avoid wrong entities or fraud.

This department name is Accounting department. If any fraudulent activity occurred or

discrepancy found this department give report to the higher department. This department also

prepared some internal reports, important statements that have to submitted in central bank or

head office.

My Experience:

I noticed that in Hazaribagh branch of Janta Bank every important paper like vouchers is

authorized by two officers, and then it becomes completed. If any suspicious event occurs, then

manager checked also the matters. I also observe officers work in JB software. Here I focused

about the accuracy maintaining of banking.

Besides all this, sometimes I also worked with branch manager, like before write any important

letter he thinks and say and I wrote a draft copy sometimes share my thoughts too, that a

wonderful experience.

Page | 49
Sometimes when officers do date entry in software I also told them the data from manual books

and they can entry easily.

4.2 Training:

An internship consists of an exchange of services for experience between the intern and the

organization. In Janata Bank I have not given any formal training but informal training I get all

the time. Before starting any work respected officer showed me how the work to complete and I

follow the instruction and do the work. Verbal training and skills training I got most of the time.

And some things I learned through observing the officers.

4.3 Contribute to departmental functions:

I do work in some departments of Hazaribagh Branch of Janata Bank; here I have some

contribution in departmental works. Such as,

Account opening section: In this area I converse with customers, collect documents and fill up

the form, that makes the officer work easy to complete a account.

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Remittance section: In this area I collect documents, match the documents and wrote the

accounts in a list book. By doing this this reduces the officer work and completes the works

easily.

Cash section: In this section I sometimes fill up slips for customers, and talk to them and if

customers don’t understand something I make clears this to them.

4.4 Evaluation:

When I do any works I also evaluate my work. Can I complete the work in time? How can I

complete the work more nicely? Can I fulfill the officer need? Are my works having any

contribution in the department?

Whenever I do works I make these questions to me. And after evaluate my works I find my

drawbacks. After that I try to remove these drawbacks and make the works more fruitful.

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4.5 Skills applied:

Communication:

Communication means exchanging of information by speaking, writing, or using some other

medium. In the internship period I applied this skill greatly because I have to conversed people a

lot.

Adaptability:

This internship experience is very new for me but I easily adapt with the environment also with

workplace and new challenges.

Initiative:

I go there for learn but I also have something to offer. Sometimes I did some works that makes

officers work easy.

Time management:

This skills I always maintain in my personal life, study life and also keep maintaining in my

internship period too. I always tried to complete my works in time.

Professionalism:

I always present in the bank in time and leave also in appropriate time. I dressed up myself

formal all time and try to be appeared as a professional.

Teamwork:

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Banking is teamwork. Teamwork we learn greatly in our university life during the time of group

assignment and report making. In the internship period I also applied this learning. I with other

internee and officer successfully did the teamwork’s.

Courtesy:

In the internship period I always do respectful behavior with officers, manager and customers.

4.6 Skills developed:

Interpersonal skills:

I have to communicate a lot so in this process my interpersonal skills developed. How to be nice,

friendly to others, I learned more than before. Self-control and patience also build greatly within

me.

Critical thinking:

Critical thinking refers to our ability to analyze and evaluate a situation or issue and form a

judgment. In the internship period my tendency to think critically also develops by observing and

asking question to officers.

Responsible:

Being an intern and spend times in a real business world, I becomes more responsible than

before.

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Problem solving:

The ability to find creative solutions to problems is a crucial skill for anyone in any career. By

doing the internship and spending time with the officers, I also increase my problem solving

capabilities.

Work ethic:

Branch manager and all the officers are loyal to their work. By following them I also take lesson

about loyalty, hard work, and become self-motivated.

Positive attitude:

By spending time in a real business world environment I also feel optimistic and confident about

my career.

Real Knowledge:

The best things is that I get real knowledge about banking sector, I learn a lot activities, observe

many things that was an amazing opportunity for me.

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4.7 Application of academic knowledge:

In the internship period I can apply my academic knowledge in really, and I think that’s the best

experience for an internee.

In my academic times I read and learn about management, which means the process of dealing

with or controlling things or people. In the internship period I greatly apply my management

learning.

In my study time I learned about marketing where read about proper behavior with customer,

products assortment, and promotional activities that I observe here and apply here.

Group work or team work we learn from our academic experiences, which also I apply here.

Team work with my fellow internee and officers was always fruitful.

As a student I learned about banking and some banking terms that also I apply here.

As a finance student I read some banks annual statement in my class so in the intern period that

learning I observe in real scenario.

I learned about making and understanding financial statement in my class that experienced also

helps here. I saw some real financial statement in my internship period.

SWOT analysis was a learning topic and I apply here in real scenario.

My knowledge about computer also I apply here.

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 CHAPTER 5- RECOMMENDATION

5.1 Recommendations for improving departmental operations:

On the basis of my observing the following recommendation I would give for the improvement

of departmental operation:

Account opening form:

The accounts opening from contains is very informative and takes so much time to complete.

The form should be simplifies with precise information rather unnecessary information. And by

this more customer can be served in a short time.

Find an Introducer:

For many new clients find an introducer for open a new account is very problematic. If this

process becomes easy and with proper document customer can open account that will be good.

Computerized system:

Now the time of technological advancement, bank should computerize their all activities. Then

bank will provide fastest service to customer.

Networking system:

By establishing a strong network system banking activity will be smooth and all country’s

branches will be in a process.

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Decoration:

The Hazaribagh branch should be well decorated as early as possible there are very limited seat

for customer and all three air conditioner are not working so the environment remain warm all

time. Customer feels unwell because of this circumstance.

ATM booth:

It is recommended to introduce more ATM booth instead of manual banking system. It will save

costs.

Machines:

Branch should buy few more printers and photocopy machines to improve their service. In the

hazaribagh branch there are only printing machine that creates problem sometimes.

Manpower:

Customers mainly communicate with the employee of a bank. So skilled manpower needed to

properly communicate with customer.

Transparency:

Ensuring transparency for its financial reports

Training:

Employee should give proper training that will help to provide exact service to customers and

any suspicious transaction can be seized.

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Finally the management of JB must identify the weak points to meet the competition in banking

sector.

5.2 Recommendation for improving self-performance:

During my internship period I find some drawbacks of mine and I also think about some

solutions:

Set priority:

I should have the ability to set priorities and to separate the relevant from the irrelevant when

facing the many tasks of the day. I must also possess a sense of urgency, the ability to get the job

done first.

Positive mental attitude:

I can improve my performance at work is to develop a positive mental attitude. Everybody

quickly notices a consistent, persistent attitude of cheerfulness and optimism. When we make an

effort to cultivate an attitude of friendliness toward people, they will make extraordinary efforts

to open doors for us.

Seek knowledge:

Improve performance at work by continually upgrading my work related skills. People are very

impressed with whom who are constantly striving to learn more and seek knowledge in order to

increase their value to their companies.

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Personality:

Probably 85% of our success in the world of work will come from our personality. Develop a

good personality also help a lot in workplace and it determines by how much people like me and

respect me.

Keep focused:

I also avoid distraction towards work, should keep focused. Focus is a fundamental quality to

productive people.

Effective communication:

Listening is vital to effective communication. Interrupting others is not right. First we should

hear others and then should talk about my opinion.

Simplifying:

Simplifying something is also necessary. My efficiency will increase by keeping things simple.

Identify blind spots:

I should find my blind spots; blind spots are areas that we are unaware about ourselves. We

should focused ourselves honestly to find this blind spots and should try to change this.

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 CHAPTER 6- CONCLUSION

Banks play an important role in the economic development of any country. The fame of banks is

increasing day by day in our country also which leads to raise competition as well. All the public

and private banks now providing almost same product line and service but their ways are slightly

different one from another. So people choose their bank according to their need and satisfaction.

To conclude this report I want to express that it was a great opportunity for me that I could spend

my time in Janata Bank Limited Hazaribagh branch as an internee. Having passed two months in

Janata Bank Hazaribagh branch, I have learned many practical activities of a bank; collect

broader knowledge about general banking activities and other activities too. Manager and other

officers were so friendly and helpful towards me and it was an interesting experience that I will

cherish my whole life. I try to paint those experiences in this report as much I can. In this report I

also try to conclude the banking industry scenario of our country. I also add a simple discussion

of Janata Bank Limited overall condition. Janata Bank Limited is one of the largest banks in

Bangladesh that provide a great service and achieved a supreme position in customers mind.

Day by day Janata bank started automation and technology based customer service that will

increase customer satisfaction and number of customers also. Janata bank gives their customer

prompt and quality service and good behavior. Janata Bank Limited is helping in accumulating

household savings, resource mobilization and employment opportunities for many people which

will gear up the economy as a whole and will contributes in GDP. Some deficiency exists if that

eradicate Janata Bank Limited will be the leading commercial Bank in Bangladesh.

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REFERENCES:

 Hill, C. W., Jones, G. R., Schilling, M. A., (2017-2018). Strategic Management (11th.

ed.). Stamford, USA: Cengage Learning.

 Hitt, M. A., Ireland, R. D., Hoskisson, R. E., (2013-2014). Strategic management (7th

ed.). USA: Thomson Higher Education.

 Seasonal pattern. (n.d.). Investopedia. Retrieved from:

https://www.investopedia.com/ask/answers/052915/banking-sector-subject-any-seasonal-

trends.asp

 Pestle analysis. (n.d). Retrieved from:

http://pestleanalysis.com/pestle-analysis-for-banking-industry/

 Porter’s 5 forces. (n.d.). Retrieved from:

https://sites.google.com/site/bankingindustryandtheinternet/home/5-forces

 Rashid, M., (2010, September 19). Banking sector challenges in Bangladesh. The daily

star. Retrieved from:

https://www.thedailystar.net/news-detail-154934

 Bangladesh Bank’s website. Retrieved from:

https://www.bb.org.bd/

 Janata Bank’s website. Retrieved from:

https://www.jb.com.bd/

 Annual report of Janata Bank Limited, (2017). Retrieved from:

https://www.jb.com.bd/includes/pdf/annual_report/annual_report-2017.pdf

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