Internship Report

Internship Report

Internship report submitted in partial fulfillment Of the requirements for the degree of

BACHELOR OF BUSINESS ADMINISTRATION

Name: ABDULLAH KHAN Reg No:BBA02173220 SAP ID: 70071355

Faculty of Management Sciences Lahore Business School Lahore, Pakistan

Table of Contents Executive Summary.....................................................................................................................................3 1.

Introduction.........................................................................................................................................4

2.

Corporate Values.................................................................................................................................4 2.1

Vision..........................................................................................................................................5

2.2

Mission........................................................................................................................................5

2.3

Core Values.................................................................................................................................5

3.

Competitors.........................................................................................................................................5

4.

Products & Services Provided by the Company..................................................................................6

5.

SWOT analysis....................................................................................................................................7

6.

Working experience (student own experience)....................................................................................8

7.

Learning from Internship...................................................................................................................11

8.

Link between Academic and practical reality....................................................................................11

9.

References.........................................................................................................................................12

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Executive Summary HBL is incorporated in Pakistan and engaged in commercial banking. It is listed on all the stocks exchanges in Pakistan. The bank’s registered office and principal office are situated at. After privatization HBL has change enough. The adoption of new technology and offering new products has made HBL one of the best domestic banks of Pakistan. According to the department internship program I completed my eight week’s internship at HBL In this Bank three types of department exists. 

General banking operation department

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Clearing department

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Accounts department

General banking department is concerned with daily operation of the branch. This department is divided into four sections which are Cash section, Clearing section, Remittance section and fixed deposit section. Cash section performs cash related function like receipt of cash, payment of cash and collection of utility bills. Clearing section performs the clearing of cheques for collection. Remittance section performs transferring of funds from one branch to another or from one account to another. HBL offer five type of remittance which are demand draft (DD), Pay order (PO) and online remittance. Fixed deposit section deals with deposits. HBL offer different scheme for demand.

1. Introduction HBL, Pakistan’s largest bank, was the first commercial bank to be established in Pakistan in 1947. Over the years, HBL has grown its branch network and maintained its position as the largest private sector bank in Pakistan with over 1,650+ branches and 2,100+ ATMs globally, serving 23 million+ customers worldwide. The Government of Pakistan (GoP) privatized HBL in 2004 through which Aga Khan Fund for Economic Development (AKFED) acquired 51% of the Bank’s shareholding and the management control. The remaining 41.5% shareholding by the GoP was divested in April 2015. AKFED continues to retain 51% shareholding in HBL while the remaining shareholding is held by individuals, local and foreign institutions and funds including CDC Group Plc which holds 5% and International Finance Corporation which holds 3%.

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The Bank is a leading full-service commercial bank. The key areas of operation are Branch Banking, Corporate & Investment Banking, Treasury, SME & Rural Banking, Financial Institutions & Global Trade Services, Transaction Banking and Islamic Banking. The Branch Banking business is the mainstay of the Bank, positioning HBL as the largest retail bank in Pakistan catering to all market segments. HBL Corporate & Investment Banking Group is a leading provider of financial services to multinational and local corporate clients across the country. The Bank also has the largest Treasury operations in Pakistan and plays a key role in Pakistan’s domestic markets. HBL enjoys a significant international footprint and is the largest domestic multinational. The Bank’s international footprint is important as it provides opportunities to effectively serve its core customers across its network. China remains the lynchpin of HBL’s international strategy and the Bank is the largest executor of CPEC related financing in Pakistan. In November 2019, HBL created history when the HBL Urumqi Branch formally commenced the RMB business by becoming the first and only bank from Pakistan and one of the three banks from the South Asia and MENA region to offer end-to-end RMB intermediation. In December 2019, HBL became the first Pakistani bank to be awarded the much coveted branch license to offer financial services to clients in Beijing. .

2. Corporate Values E-Banking Services HABIB BANK LTD has its focus set on the banking facilities now being offered by the local banking industry. It plans to become the best technology-oriented bank in very near future. To achieve such a goal an efficient and robust infrastructure need to be put in place first. The new core banking system is the backbone of all technological advancement in the bank. Its implementation has been completed. 

The next phase will see a number of services being offered through the Internet. Utility bill payments through the web will also become a common feature soon. The year 2003 has seen a revolutionary change in the banking consumer behavior, as all banks are in the process of joining the ATM network. This will result in majority of the account holders using ATMs for cash withdrawal. The natural follow-up step will be utility bill- payments, through ATMs first and then through the web.

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All branches of HBL are truly online. Infrastructure required for online baking is in place. HABIB BANK customers will be able to cash their cheques from any of the HBL branch across the country in 15 cities or use their HBL Cash ATM cards to withdraw cash at any time from any ATM in Pakistan.

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All bank customers will have access to Internet, SMS, mobile and phone banking facilities through which they will be able to perform balance inquiry, transfers, and payments. State of the art hardware, networking and system software have been implemented and the process of offering such services to the customers has been initiated. HBL will remain committed to its motto of providing best services at affordable cost to its valued customers.

2.1 Vision HBL's vision is “Enabling people to advance with confidence and success” Simply the vision of Habib Bank is mass banking. At the time of formation it changed its motto from class banking to mass banking. Expedite the economic growth of the country through spreading the banking services to the doorsteps of mass people so that they get institutional financial help and participate in the economic activities of the country.

Mission HBL’S Mission is “ To make our Customer prosper our staff excel and create value for shareholders” 

To be the trendsetter for innovative banking with excellence and perfection.

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To be the best performing bank in the country and the region.

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To exceed customer expectations through innovative financial products & services and establish a strong presence to recognize shareholders' expectations and optimize their rewards through dedicated workforce.

2.2 Core Values Our values are the fundamental principles that define our culture and are brought to life in our attitudes and behavior. It is our values that make us unique. 

We honour our commitments and do what is right

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We are fair, respectful and honest at all times

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We are ethical in our decisions and interactions 5

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We take responsibility for our actions

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We are prudent and responsible with the assets entrusted to HBL

2.3 Competitor The top 10 competitors in HBL's competitive set are Faysal Bank, Soneri Bank, Bank Alfalah, Meezan Bank, The Bank of Punjab, JSBL, Npcil, Nbp Exchange Company, Eterna Plc, Gita Renewable Energy. Together they have raised over 1.4B between their estimated 51.2K employees. HBL's revenue is the ranked 2nd among it's top 10 competitors. The top 10 competitors average 795.8M. HBL has 15,000 employees and is ranked 1st among it's top 10 competitors. The top 10 competitors average 5,094.

3. Products &Services Provided by the HBL TRADE FINANCE 

Opening, advising, confirmation and negotiation of letters of credit.



Discounting of LCs including providing bankers acceptances.



Trade loan syndications.

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Risk participations.



Pre/post export financing.



Issuance of financial guarantees/SBLCs.

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Documentary collections.

CASH MANAGEMENT 

Specialized Deposit Slips – conventional collection model.

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Internet Banking – electronic collection (non-individual/business customers).



Cash In Transit – CIT

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Direct Debit Collection – SIDA (Standing Instructions for Debit Authority).

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Utility Bills Payments – UBP

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HBL At Work (HAW) – payroll solution.

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Vostro account services.



Commercial Payments – SSI

NON-BANKING FINANCIAL INSTITUTIONS One-window solution to NBFIs covering the bank’s entire suite of banking solutions mainly: 

Long-term and Short-term lending facilities



Customized deposit products for placement of liquidity under conventional & Islamic modes



Tailored digital solutions for transaction & employee banking



Consumer Banking products under conventional & Islamic modes

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Structured derivatives for hedging of market risk

GLOBAL REMITTANCE BUSINESS Remittance is a quick and easy way of transferring money to Pakistan by Pakistani’s living abroad. HBL Remittance provides remitters multiple ways to send money to their loved ones through HBL’s secure and diverse channels.

TRADE AND CASH PRODUCTS OFFERED BY HBL GLOBALLY Habib Bank Limited (HBL) is pleased to be given the opportunity to present its trade and cash clearing capabilities in Pakistan and overseas network. With an extensive network in more than 15 countries, it is well positioned in the emerging trade and investment corridors across Asia, Africa and the Middle-East, HBL combines global capabilities with deep local knowledge to develop innovative products and services to meet the diverse and ever-changing needs of our customers. Over the years, HBL has successfully built its business through a strong emphasis on client and market needs, a thorough understanding of the regulatory issues, and an expertise in developing operational and technological solutions. These factors have established HBL’s reputation as a market leader in Pakistan.

4. SWOT analysis Strengths: H.B.L. has very effective Network of branches all over the country. Every 10th Pakistani is A/C holder of H.B.L. has made huge investment in almost all the important economic sectors of 7

Pakistan. H.B.L. not only has made investment in industry but also in small scale industry as well. H.B.L. has efficient  & less bureaucratic set up H.B.L. has introduced monthly income scheme that provides almost highest interest rate  .A.T.M. Was introduced in Pak. By HBL  master card facilities is also available to the clients.

  Weaknesses:

  No consumer banking has offered by the H.B.L. to its clients like phone banking evening banking etc.  

Bed Debt rate is very high no special effort has been made to recover the bed amounts. No marketing set up or structure is there. Most of people do not know how they have to promote their activities.

Opportunities:   H.B.L. is oldest bank in the country people do rely on this bank with some additional efforts bank can attract high deposit from Pakistan and overseas. Instead of emphasizing on big & long term projects bank should concentrate on small scale investments heaving small maturity period. Now-a-days H.B.L. has been investing almost 18% of its total investment on cotton business, along with investment in cotton it should invest in other cash crops, i.e. Rice, Sugar Cane, Tobacco, Wheat etc and there related agro based industry.

Threats:   First threat that bank has to face is the Privatization, down sizing & restructuring these changes could make drastic effects as well.                  New incoming local & specialy foreign banks those are main cause of stiff competition in the market                  DFI’s are going very well in financial set up of Pakistan. So, these are also effecting on the operations of bank. Along with other threats the threat of corruption has vital importance.

5. Working experience (student own experience)

Weekly Breakdown

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Week 1: As I have started my internship in HBL on my first day I was introducted to the employees as it was my first experience to work somewhere I was a little nerves. As I was an intern there I have to assist and learn things and to practice them so on my first day I started with the very basic thing Cash deposit in which customer fill up the cash deposit slip with the amount and account title we verify the amount written on the slip and enter the customer account detail and verify the account take the identity cards copy and stamp the slip and transfer the money to the account. I have experienced many cash deposit cases on the daily bases and also submitted a lot of fee challans and overall the behavior of the staff was quite good and supportive

Week 2: our bank is affiliated with the Ria financial services LTD through which people can receive funds through there relatives from abroad. I personally didn’t know about this service then he guided me how to perform the steps to clear the funds . The money is transfered to the receivers id card. First we need to ask for the order No and the pin No or the picture our challan that the Ria financial services had provided Then we run the order No and the pin No in the system of the bank and confirm the receivers name and then asked there Id card for the finger print scan and Nadra verification We asked the receivers to place there left thumb on the scan machine as the fingerprint approved we ask for the copy of the id card and attached that with the receiving papers and asked to sign the papers of receiving and then hand over the the money to the receiver. My duty is to guide the customers with the signature process and giving them money. I have given 50000 rs in pakistan currency which was equivalent to 231 GBP (pounds) with the exchange rate of 216 rs. I witnessed only 3 cases of money tranfer through Ria in that week. I also photocopied the id cards of the customers that came for cash deposit They also guided me how to run there system but I haven’t tried it myself yet. The stuff of HBL is professional and my experience as an intern is good uptil now

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Week 3: In this week I was assisting the stuff with the monthly wages of the employees dealing with the customers and helping them out. The bank has introduced a new plan for the customers to upgrade there card to platinum service. I was also assisting the employee with the cash deposit by taking the deposit slip and checking the three important things like amount, Account no and Date after that taking the money and marking the cash denominator and the stamp it with bank stamp and staff signature and updating the account status and verify it online on the bank system also experiencing the cash withdrawals a customer need cash of 30 lac the manager ordered to prepare and count the cash to whom i as assisting so i only help him counting and then he cleared the amount to the manager as per order.I also seen the closing process of the bank

Week 4 This week I was given the task to open new accounts.I observed the activities of the department and filled up the account opening form it was new to me to fulfill a form and then I fill up the account opening form of the customer and also learnt about the cheque book issuance procedure. I was first told by my manager to fulfill the requirements for an opening of new bank accounts. The customer is required to bring atleast one form of photo id these forms may include ID card passport or birth certificate the customer is need to provide some personal information’s 

Date of birth



Physical address



Contact number

I also practically performed these tasks myself and also guided many customers for filling the account opening form . once an old citizen came to open an account but he was unable to fill the form then my manager asked me to help him out so I filled his form myself . 10

Week 5: In this week I learnt about the loan procedure of the bank there are many type of loans given by our banks and few cases that is witnessed are as followed In this case a man came with his gold and he wanted the loan against his gold the bank offered him 2.5 million in cash with exchanged against his gold. There are some requirements for this purpose which applicant needs to provide 

Verified CNIC



Verified copy of salary slip

When I experienced this type of activity I felt that it is very helpful for the people who are in urgent need of money and our banking system is helping people alot. After the verification done by the bank it takes few days in clearing the loan.

Week 6: This was the last week of my internship and I was observing the complains made by the customers in some cases I saw that some people complained about their atm cards stucked in their atm machines. One of their employee was assigned to recover all the cards stucked in the machines on a daily basis and I experienced the whole process and once their was another complain made by some customer about there cheque book or new atm cards I learned how to deal with the customers we have to listen his quiry properly and the staff satisfied the customers the staff was good enough to solve customers any type of problem

6. Learning from Internship My summer internship changed my life completely. I did my summer internship at HBL from July to August 2021 11

I got to experience it myself during the internship. I was awestruck by the awesome people around me, the culture, the food, everything about HBL . I learnt a lot about how Banking is different from academics. I learnt about the way the codes are written, reviewed and maintained in such a huge organization My mentor and manager was really helpful during the internship. I used to receive a lot of help from my buddy (A buddy is someone who is assigned to help you during your internship). With their help, I was able to successfully finish the project as expected, even the amount of work was more than what my manager initially thought it would be. This helped me get my conversion to Full time employee. After the intern, I was a completely different man in terms of knowledge, experience not just in the technical realm but at social aspects as well. I can say that my maturity in general increased after all the interactions with awesome people out there.

I was an introvert ( a textrovert to be exact ). Never did I imagine that I will become close with completely new people in such a short time. My co-interns are the best set of people I met so far. Some of them became part of my closest friend circle in such a short span of time. We enjoyed a lot during the intern time.. We also used to help each other out with work related stuff as well.To summarize, my summer internship helped me get my dream job, helped me meet some awesome people and gave me one of most happiest and memorable phases of my life.

7 References 

https://www.hbl.com/

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https://www.hbl.com/

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Contact Information: Address: HBL CIVIL LINE JHELUM MAIN BRANCH

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Superiors: 

Mr. Adil ( he was my main supervisor)

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