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Chapter 3

Recruitment and selection

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3.1__ RECRUITMENT

It is the process of finding and attracting capable applicants for employments.

3.2__SELECTION:

It is defined as a differentiating between applicants in order to identify and hire

those with greater likelihood of success in a job.

3.3__THE RECRUITMENT AND SELECTION PROCESS:

The Human Resource Department is usually responsible for recruiting the new staff

and for training them to do their new jobs. Then Human Resource Department has to

follow certain procedures before a job can be advertised

1. Vacancy occurs: there are three reasons why a vacancy arises in a business: Retirement

Promotion

Going to a new job

2- Job description: the HR manager the draws up a job description. The job

description should contain the basic

Information about the vacancy

The job title

The position in the organization chart

The list of duties

3 - Person specification:

The person specification should include the following information, the

specification represents the ideal qualities of the person required to fill the

vacancy.

Qualification

Experience

Personality

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3.4__EMPLOYEES RECRUITMENT AND SELECTION PROCESS IN DIB:

Every organization must be able to attract a sufficientnumber of the job candidates who

have the abilities and aptitudes needed to help the organization to achieve its objectives.

There are two sources are used in DIB for recruitment

Internal Source

External Source

3.5 __Internal source:

3.5.1__ Present employees:

In DIB promotion and Transfer are take place from among the present employees. It

is a good source of recruitment because they know the organization rules, regulation

and policies. The junior employees are transfer to the senior rank.

3.5.2__ Employees Referrals:

In DIB when new vacanciesare come out the existing employees refer their family

members, friend, and relative to the bank as potential candidate for vacancies to be

filled up on organization.

3.5.3__Job posting:DUBAI ISLAMIC BANK also use the policy of job posting as an internal

recruitment source. In the job posting system the organization notifies

its present employees about job openings through the use of company

publications. The purpose of the job posting is to communicate that the job

opening exists.

3.6__ External Source:

3.6.1__ Advertisement:

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When new vacancies are come out for professional and technical pocission they

make advertisement. It includes advertisement in newspaper, professional journal

and technical magazine etc.

3.6.2__Professional Association:

In DIB for such pocission the HR department directly contact with highly skilled

and professional personal.

3.6.3__Employment Agencies:

a. Government employment agencies usually called un-employment office or

employment services.

b. Private placement agencies.

3.7__EMPLOYMENT SELECTION PROCESS:

It is the process of determining which of candidates best suit organizational

needs.

3.8 Steps of Selection Process:

a. Five steps in selection process

(i) Examining weighted application form(ii) Preliminary interview (initial screening interview).

(iii) Employment tests

(iv) Checking and verification of information provided in CV,

application form and from references.

(v) Medical or physical examination.

3.8.1__Examination of Weighted Application Form: Relevant experience,

qualification, skills, personality etc are given weight age to compare

Candidates.

3.8.2__Preliminary Interview:Interviews are particularly useful for getting

the story behind a participants experiences. The interviewer can pursue in

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depth information around a topic. Interviews may be useful as to follow up

certain respondents to questionnaires, e.g. to further investigate their

responses. Usually open ended questions are asked during the interviews.

Before you start to design your interviewer questions and processes, clearly

articulate to yourself what problem or need is to be addressed using the

information to be gathered by the interviews.

This helps you keep cleat focus on the intent of each question.

3.8.3__Employment Tests:

1) Psychological Tests:

(i) Measure Personality test: Temperament, logic and reasoning ability,

(ii) Creativity and judgment ability leadership potential, patterns of thoughts,

feelings and behaviors.

2) Intelligence Tests:Measure mental capability, test memory, speed of thoughts

and ability to see relationship in complex problems.

3) Attitude Tests: Measure attitudes about work and values and measure

attitudes about theft (honesty test / credibility).

4) Performance Simulation Tests: Measure practical ability on actual job

activities and candidates complete some job activities under structured conditions.

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Chapter 4

Training and development

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4.1__TRAINING:Training is formally organized program aimed at

increasing the knowledge and skills of employees and change of behavior to

ensure high level of performance.

4.2__ TRAINING FOCUS AREAS

Training needs to be focused on these following three areas.

1. Development of skills

2. Enhancing the knowledge

3. changing the attitude

4.3__Training and Development

when new employees are hired they are trained in order to learn the database used in

DUBAI ISLAMIC BANK and are given a little bit of hints regarding the work, which he

has to perform there in DUBAI ISLAMIC BANK.

In DUBAI ISLAMIC BANK training and development is playing important role.

The main purpose of the training and development is to Skill requirements will continue

to increase, Workforce will become significantly better educated & more diverse. The

role of training departments will change time to time as required.

We organize various trainings for our technical support teams and management

teams. Employees may be sent to other department, if necessary, for the training purpose.

Apart from them the management of DIB believes that systematic training and

development helps the bank human resource in enquiring professional skills and

expertise, which in turn gives DIB a sustainable edge over peer banks in the todays

competitive business environment. On going learning for all is therefore one of the

priority areas for the bank. Theobjective of training activities are to keep DIB employees abreast of latest professional

knowledge and skills in all areas banking, as well as to reinforce a passion for the highest

quality of customer services at all levels.

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4.4__Training method in DIB: In DIB when new employees are hired then they need to

be trained and developed. In DIB different methods are fallow to train the new

employees.

On the job training

Lecture/Coaching

Conference/Seminar

Job rotation

Job instruction

1) On the job Training: in DIB a trainer teaches the new employees how to

perform your task, they identify the necessary skills to perfume the job. Such kind

of training method is follow when the employees are on the job

2) Lecture/coaching: in this method a trainer teaches or guide the new employees

about the knowledge and skills of a specific job. Some time lecture is given when

the information is shared to be a large no of employees.

3) Conference/Seminar: The DIB top management conducted the seminar for new

employees to better knows the organization rules, regulation, and policies. If there

is any problem for new employees in the organization they discussed with the

senior employees.

4) Job rotation: in this method DIB top management moves their new employees to

the other branch of DIB for training.

5) Job instruction: in this method senior employees directly give suggestion to new

employees that to perfume the task

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6) Objectives:

a. To improve professional competence of various categories of employees in all

disciplines to DUBAI ISLAMIC BANK working with a view to maximizing the

employees utility, both in the short and long term, to the Authority.

b. To provide continued professional education support to the employees,

particularly those working on posts of technical or professional nature.

4.5__TYPICAL TOPICS OF EMOPLOYEE TRAINING

1. Communication:The increasing diversity of todays work force brings a

wide variety of languages and customs.

2.Computer skills:Computer skills are becoming necessity for conducting

administrative and office tasks

3. Customer service:Increased competition in todays global market place

makes it critical that employees understand and meet the needs of

customers.

4. DIVERSITY:Diversity training usually includes explanation about how

people have different perspectives and views, and includes techniques tovalue diversity.

5. Ethics: Todays society has increasing expectations about corporate social

responsibility. Also todays diverse work force brings a wide variety of

values and morals to the workplace.

6.Human relations:The increase stresses to todays workplace can include

misunderstandings and conflict. Training can prepare to cooperate along

in the workplace.

7.Qualitive initiatives:Initiatives such as total quality management, quality

circles benchmarking, etc require basic training about quality concepts,

guidelines and standards for quality, etc.

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8. Safety: safety training is critical where working with heavy equipment and

hazardous chemicals.

9. Sexual harassment: Sexual harassment training usually includes careful

description of the organizations policy about sexual harassment,

especially about what are inappropriate behaviors.

4.6__ GENERAL BENEFITS FROM ERMLOYEE TRAINING

AND DEVELOPMENT:

There are numerous sources from employee training and development.

Several of these sites suggested reasons for supervisors to conducttraining among employees. These reasons include:

1. Increase job satisfaction and moral among employees.

2. Increase employees motivation

3. Increase efficiencies in process resulting in financing

gain.

4. Increase capacity to adopt new technology and methods.

5. Increase innovation in strategies and products

6. reduce employees turnover

7. Enhances company image.

8. Rick management, e.g. training about sexual harassment,

diversity training.

4.7__EMPLOYEE DEVELOPMENT

Employees know exactly what is expected of them and what the firm for advancement in

the job or via promotion requires in DUBAI ISLAMIC BANK.

A trend in employee development has been the use of outdoors training in DUBAI

ISLAMIC BANK. The primary focus of such training is to teach trainees the importance

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of working together, of gelling as teams and new software. The purpose of these trainings

is to see how employees react to the difficulties that nature presents to them. HRM

department helps in Training and development program by performing the following

functions

Provide employee orientation training.

Contribute to management development programs.

Provide training and development.

Evaluate training.

Any training or development implemented in DUBAI ISLAMIC BANK cost effective.

That is the benefits gained by such programs must outweigh the cost associated with

providing the learning experience. Training to be more effective, is supposed to be

followed with careful evaluation. Different techniques and approaches used to evaluate

the training program and if required at any level, revisions and redesigning not be

avoided. It is not enough to merely assume that any training In DUBAI ISLAMIC BANK

effort is effective; it must develop substantive data to determine whether their training

effort is achieving its goals- that is, if its

correcting the deficiencies in skills, knowledge or attitudes that were assessed in needing

attention.

Although training is often used with development, the terms are not synonymous.

Training typically focuses on providing employees with specific skills or helping them to

correct

deficiencies in their performance. In contrast, development is an effort to provide

employees with the abilities that the DUBAI ISLAMIC BANK will need in the future.

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It is a specification suggests that the job requires a particular knowledge, skill, or ability

in DUBAI ISLAMIC BANK.

The development process also interacts with other personnel functions, especially

performance evaluation compensation training and development and employee relations

Development is training people to acquire new horizons, technology, or viewpoints and

DUBAI ISLAMIC BANK especially works these issues, it enables leaders to guide their

organizations onto new expectations by being proactive rather than reactive.

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Chapter 5

PERFORMANCE APPRAISAL

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5.1__DEFINITION

Performance appraisal is the systematic, periodic, and an impartial rating of an

employees excellence in matters pertaining to his present job and hispotential for a better job.

Or

It is a systematic evaluation of the individual with respect to his or her

performance on the hob and his or her potential for the development.

5.2__NECESSITIES OF PERFORMANCE APPRAISAL

Following are some of the necessities for hr performance appraisalsystem.

The establishment of standards: It is necessary to have

standards because these will set criteria for hr assuagement of the

performance. The standards must be realistic and achievable and should avoid

idealism.

The work standards

The traits (qualities)

The work standards may be the knowledge of the job, learning of new

techniques regularity and punctuality, crisis management, written and oral

communication accuracy and speed, organization ability etc.

The traits standards can be honesty, responsibility, dedication, consciousness,

loyalty, judgment, cooperative, health and physical fitness, personality and

appearance etc.

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Communication of

standards: Whatever standard are placed should be communicated to

each and everyone who is concerned with it because if will be a key to

all the performance of the employees.

Measurement of actual

performance: For that purpose you must have a system of progress

reports or inspection team in order to get the information about the work

done.

Comparison of actual

performance with standards.

Discuss the appraisal with the employees: If

the level of performance is low then what are the reason and causes for it

and how it can be rectified. The main purpose of discussing it with the

employees is bringing out the actual causes of low performance.

Initiate the corrective action.

P5.5.3__PURPOSE OF PERFORMANCE APPRAISAL:

To identify employees for salary increases, promotion, transfer and layoff or

termination of services.

To determine training and development needs of the employees

To motivate employees by providing feedback on their performance levels

To establish a basis for research and reference for personal decision in future

Evaluation made by relative contributions made by individuals and

entire departments in achieving higher level of organization goals.

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Criteria for the evaluating the effectiveness of selection and placement decisions,

including the relevance of the information used in the decisions within theorganization

5.4__OBJECTIVESof performance appraisal:

Improving the performances of the bank and its staff members

Promotion to higher salary ranges and functional responsibilities

Review of salary, assignments and career path.

Laying a solid foundation ship between staff and management.

Using the process for career planning and professional development of staff.

Clarifying staff performances target for all

5.5__METHODE OF PERFORMANCE APPRAISAL:

Force choice method Pair comparison

Management by objective

Checklist method

360-degree method

Forced choice method: - This appraisal method has been developed to

prevent evaluators from rating employees to high using this method the

evaluator has to select from a set of descriptive statements, statements that

apply to the employee. The statements have been weighted and summed to at,

effective index.

Forced rating scales:-The term used to describe an appraisal system similar to

grading on a curve. The evaluator had been asked to rate employees in some fixed

distribution of categories.

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Graphic rating scales: -The term used to define the oldest and most widely

used performance appraisal method. The evaluators are given a graph and asked

to rate the employees on each of the characteristics. The number of

characteristics can vary from one to one hundred. The rating can be a matrix of

boxes for the evaluator to check off or a bar graph where the evaluator checked

off a location relative to the evaluators rating.

Narrative easy evaluation: - This appraisal method asked the evaluator the

strengths and weaknesses of employees behaviors DIB still use this method

exclusively, where as in others the method has been combined with the graphic

rating scales.

Management by objective:-The management by objective performance

appraisal method has the superior and the employees get together to set objectives

in quantifiable terms the appraisal method has worked to eliminate

communications problems by the establishment of regular meetings, emphasizing

results and being an

on going process as process where new objectives has been established and old

objectives had been modified as necessary in light of changed conditions.

Paired comparison: -The term used to describe an appraisal method for ranking

employees. First the names of employees to be evaluated have been placed on

separate sheets in a predetermined order, so that each person has been compared

with all other employees to be evaluated. The evaluator then checks the person he

or she felt had been the better of the two on the criterion for each comparison.

Typically the criterion has been the employees overall ability to do the present are

an index of the number of preference compared to the number being evaluated.

Ranking:-The term ranking has been used to describe an alternative method of

performance appraisal where the superior has been asked to order his or heremployees in terms of performance from highest to lowest.

Weighted checklist: - The term used to describe an alternative method of

performance appraisal method where supervisor or personnel specialists familiar

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with the jobs being evaluated prepared a large list of descriptive statements about

effective and ineffective behavior on jobs.

360-degree appraisal: -This is another appraisal method used in DIB. Under 360 appraisal perf

information such as employee skills, abilities, and behavior is collected all around an employees.

5.6__PERFORMANCE APPRAISAL IN DIB:

It is a process in DUBAI ISLAMIC BANK that significantly affects organizational

Success by having managers and employees work together to set expectations,

review results, and reward performance. Performance management is a means

of getting better results by understanding and managing performance within an

agreed framework of planned goals, standards and competence requirements.

And to establish a shared understanding about what is to be achieved, and an

approach to managing and developing people so that it will be achieved. The

Goal of measuring performance is to improve the effectiveness & efficiency of the

DUBAI ISLAMIC BANK by aligning the employees work behaviors & results with

the organizations goals improving the employees work behaviors & results.

5.7 __Setting Performance standard and expectation in DIB.

HRM department plays important role in formulating the performance appraisal

systems, it facilitated different departments in setting performance standards and

acquiring appropriate appraisal performance method according to the

requirements of DUBAI ISLAMIC BANK it also provides monitoring in appraising

the performance of employees and hence are necessary for developing effective

performance appraisal systems

It is a review and evaluation of an individual or teams job performance. An

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effective system assesses accomplishments and evolves plans for development.

it significantly affects organizational success by having managers and employees

work together to set expectations, review results, and reward performance. Its

goal is to provide an accurate picture of past and / or future employee

performance. To achieve this, performance standards are established.

The evaluation results are then communicated to the higher authority by

the HRM deportment and performance evaluation discussion with the supervisor

serves to reestablish job requirements. Thus to set performance the following

requirements are achieving by the HRM deportment.

n Identify the specific performance and organizational goals.

n Establish job expectations in DUBAI ISLAMIC BANK where needed.

n Examine work performed by employees.

n Appraise performance of employees

n Discuss appraisal with employee to advance more and more.

5.8__Writing of performance Reports in DUBAI ISLAMIC BANK

In DUBAI ISLAMIC BANK performance report is a technique in which the

appraiser is given a series of statements about an individual and the rater

indicates which items are most or least descriptive of the employee. it is a

checklist for a technique whereby the rater completes a form similar to the

performance. For this purpose every DUBAI ISLAMIC BANK registration center

maintain monthly performance report for the information of HRM deportment and

thus gains actual result.

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5.9__Major performance appraisal method used in DIB:-

360-degree method

Management by objective

1) 360-degree method :-First method used in DIB is

360-degree method. In this method information such as employees skills,

behavior and abilities is collectected from his supervisors, subordinate, peers and

even customers.

Objectives/ benefits

To know better about employees.

Easy to prepare individual reports.

2) Management by Objectives:-This is another method used in DIB. In this method top management and bank

employees get together to set objective in quantifiable term. In this method old

objectives are replaced with new objectives.

Objectives/Benefits

A major benefit of this method is to eliminate communication problems

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Chapter 6

Compensation and benefits

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6.1__Fringe benefits:

In order to retain efficient and productive employees, organizations, and organizations

need to provide employees with an enriched basket of fringe benefits, redefine jobs so

that workers perform meaningful tasks, pay equal or higher salaries than the competitors,

implement flexible work schedules and sponsor special training or higher education

programs. DIB Bank provide following compensation and benefits to its employees

Medical allowance

House rent allowance

Bonus

Salaries and wages

Inspection

Provident fund

Sanctions

6.2__Medical allowance:

The Bank will reimburse the cost of medical advice and medicines, claimed by

the employees for themselves and their dependents up to a maximum 20% of the basic

pay of the employee per month, on production of medical certificates from employees

indicating disbursement made by him.

6.3__House Rent Allowance:

Its 45% of the basic pay to all categories of staff. This allowance is not payable to

those who are provided with accommodation by the Bank.

6.4__Bonus:

Three to four bonuses are given to the employees every year on the religious

festival.

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6.5__Salaries and Wages:

There in no fixed pay scale in the bank. Many people get different salaries even

though they had been selected for the same batch under the same circumstances with

same qualification.

6.6__Inspections:

Inspection teams are sent from time to time from the Head Office to check the

performance of various employees and pinpoint any irregularities to take action

consequently.

6.7__Provident Fund:

1/12 of every employees salary is deducted as provident fund and the Bank

contributes the same. The amount is invested in interest earning securities for the benefit

of the personnel.

6.8__Sanctions:

Punishment may be awarded in case of misconduct by stopping promotion and

bonus. Its an effective tool for improving the performance of the employees, however in

some cases it can prove otherwise

6.9__Overtime and premium pay:DIB provide 30 Rupees per hour. If a person exceeds more than a hour, means he spends

2 or 3 or even 5 hours a day, he will not be provided more than 50 Rupees per day.

6.10__DIB LEAVE POLICY

Types of Leaves.There are three (03) main types of leaves entitled to a DIB

employee. These are as follows:-

a. Annual Leave

b. Casual Leavec. Medical Leave

6.11__TELEPHONE / MOBILE benefits

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Official Telephone

a. Approving Authority. DG Logistics is the final approving authority for the

issuance of official telephone connection to the eligible employees of DIB on

recommendation of the DG of the concerned Directorate.

b. Eligibility Criteria & Ceiling Limit. The employees of DIB of officers

Cadre/Grade mentioned below are authorized to apply for the issuance of official

telephone connection with the under mentioned ceiling limits:

Residential Telephone

a. Approval Authority

Chairman/DG Logistics is the final approving authority for the issuance of residential

telephone connection to the eligible employees of DIB on recommendation of DG of the

concerned Directorate.

b. Eligibility Criteria & Ceiling Limit.

The employees of DIB of officers Cadre mentioned below are authorized to apply for the

issuance of residential telephone connection with the under mentioned ceiling limit:

6.12__Mobile Phone

Approving Authority

Chairman/DG Logistics is the approving authority for the issuance of mobile connection

to the eligible employees of DIB on recommendation of the DG of the concerned

directorate.

Note: Mobile sets will not be provided by the organization. However the employees who

have already been issued cellular sets by the authority, will be required to pay the

depreciated cost of the handset they are currently using in order to retain the same.

.6.13__Medical facilities for family members

Save as provided otherwise in this policy, the family of an employee shall be entitled free

of charge, to medical attendance and treatment from an authorized hospital on the scale

and under the conditions allowed to the employee himself, and this shall include

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confinement of an employees wife in a hospital but not pre-natal or post-natal treatment

at the employees residence.

The following relations of the employee are entitled to full medical allowance coverage

as allotted to him/her as per scale and DIB Laws:

a. Parents including mother and father

b. Wife or Wives which ever the case may be.

c. Husband.

d. Legitimate children. (Whatever the number be).

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Chapter 7

Mobility and separation

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1) Mobility

7.1__Promotion:

Promoting entry-level employees to more responsible positions is one of the best

ways to fill job vacancies and important reason in DUBAI ISLAMIC BANK, which

do by human resource planning system. DUBAI ISLAMIC BANK that has human

resource planning system uses succession plans and replacement charts to

identify and prepare individuals for upper level positions. Skills inventories are

useful in identifying individuals who have the potential for advancement, and

individuals desire to be promoted can be assessed in the performance appraisal

review. A promotion from within policy can stimulate great motivation among

employee, and this motivation is often accompanied by a general improvement in

the employee morale. Tests are also conducted in order to promote employees.

In DIB promotion are made on the basis of :

Seniority

Merit

performance

7.2__Transfer:Employees are transferred in order to maintain demand and supply and to

balance the surplus and deficiency of employees. In DIB transfer are made where in other

department, there is shortage of the employees

7.3__Demotion:

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In DUBAI ISLAMIC BANK demotions have long been associated with failure, but

limited promotional opportunities in the future and the fast pace of technological

Change may make them more legitimate career options. This type of case has

not come in the notice of the higher authority presently.

2) SEPARATION:

7.4__Layoff:

There are many alternative methods in DUBAI ISLAMIC BANK of reducing labor

Cost. That management should explore before deciding to conduct a layoff.

These alternatives include things such as early retirements, employment policies

(Attrition and hiring freeze), job redesign (job sharing), pay and benefits policies

(Pay freezes and cuts), training, and other voluntary workforce reductions. A

layoff can be a traumatic event that affects the lives of thousands of people, so

managers implement the layoff carefully in DUBAI ISLAMIC BANK. Issues that

need to be considered include how to notify employees, developing layoff criteria,

Communicating to laid-off employees, coordinating media relations, maintaining

security, and reassuring survivors of the layoff.

7.5__Termination:

Involuntary separations occur when management decides to

terminate its relationship with an employee due to big blunder, corruption and

disciplinary action etc. or a poor fit between the employee and the organization.

7.6__Resignation:As per DUBAI ISLAMIC BANK rules any employee right to resign his/ her

services although if he/she has not gone to NSRC abroad within past two years.

He/ She may resign to inform DUBAI ISLAMIC BANK higher authority before one

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month and if he/ she did not so, then the last month salary will be deducted otherwise he /

she

would be terminated.

7.7__Retirement:

As retirement becomes an inevitable reality, in the decline stage, there is

frequently a period of adjustment, where many begin to accept reduced levels of

power and responsibility. This type of policy is only made for Ex-DGR staff and

deputed staff.

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Chapter 8

Swot analysis

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SWOT is an acronym for an organizations strengths, weaknesses, opportunities and

threats. A SWOT analysis consists of sizing up a firms internal strengths and

weaknesses and its external opportunities and threats. Its a tool, to get a quick

overview on a firms strategies situation. The SWOT analysis of DIB, Main Branch

Peshawar is as follows:

8.1__STRIENGTH OF DIB:

NBP, Main Branch Peshawar is a profitable branch.

Most economical pricing of products and services as compared to other

banks.

Easy assess to the customers at their residential localities through a

high number of branches.

Considered to be a trustworthy and highly secure bank.

In the past and presently having a marketing strategy in place and

therefore able to tap into the vast market.

The branch staff is motivated to make it one of the best branches

8.2__ WEAKNESSES OF THE BRANCH:

There are some weaknesses of the branch. Which are discussed

Below?

Tall bureaucratic structure that is inappropriate for a commercial bank and

limits progressive activities. The tall structure has results in a smaller span

of control which has led to less delegation of authority. This has minimized

the growth of DIB.

Not targeting and paying attention to higher class accounts like corporate

accounts.

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No implementation of modern technology in small branches in rural areas.

Employees behavior with the customers is ordinary and below the average in

small branches.

The authority of the manager in decision-making is limited.

Employees are facing fears of downsizing.

8.3__Opportunities:

An opportunity exists in form of opining a separate ladies department

within the branch, in order to give equal opportunity to ladies.

Growing polices of the government on businesss and commerce sector

provides DIB an opportunity to efficiently meet business peoples

requirement of instant cash financing facilities.

Customer feedback on various products and services could be immense

help to DIB.

DIB has opportunity to introduce latest technology in small branches.

With the introduction of more branded products and services DIB couldgrab the market from other nationalized and foreign banks. Customers

already trust DIB and with the introduction of such products it would be an

incentive for them to become customers.

Employees should be sent for training and seminars to get advanced

knowledge about banking.

8.4__Threats:

The increased number of nationalized banks becoming privatized and

foreign banks operating in Pakistan is a major threat for DIB.

The aggressive marketing campaigns of foreign and private banks result in

customers shifting their money to these banks.

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Lack of consistency of government policies often directly affects DIB.

Reduction in business activities in the country

Political economic situation of the country

Chapter 9

Recommendation and improvement

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9.1__ Recommendations for Improvement:

From the quantum of profit and its financial date it can be easily judged that after

privatization, Dubai islamic bank is performing well. Its deposits are rowing day-by-

day and so its profitability. The controlling body is responsible for the productive

performance of the bank following are many observation and suggestion to improve the

efficiency for the development of economy:

1) Pakistanis working abroad through DIB send a big portion of one remittance. As

we know a big portion of this amount is wasted in purchase of luxuries. The

people can be motivated to save money by offering various investment schemes.

The rate of profit should increase 1% or 2% than other banks and it would be

profitable step for bank..

2) Staff turnover particularly of trained staff result in financial and other losses. The

amount spent by bank on employment, induction and training of outgoing officers

constitutes to beat till another officer should ready prove this work. The exodus of

bank officer in the past has worsened the situation.

3) Most of the bank employees are sticking to one seat only with the result that they

become master of one particular job and loose their grip on other banking

operations. In my option all the employees should have regular job experience all

out-look towards banking. The promotion policy should be reviewed.

4) Refresher coursed for the staff is most important in any international organization.

All the employees should have these coursed according to their requirement.

Foreign experts can also be called for this purpose.

5) Every year some of the employees should be sent for training to another countries

and employees form other branches should be brought here. Some more riding

material should be provided. The purpose should be to educate the employees

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with the advance studies in their fields. The employees should be provided the

opportunities to attend and participate in seminars and lectures on banking.

6) Banks should give some more incentive to its employees in order to remove the

conflict between lower and higher officers and should try to improve the working

condition of the bank. As such, system should be designed that every employee who

has some problems with his officers can communication it to higher management and

some steps must be taken to improve that.

7) A proper and conducive centrally managed Internship System should be designed,

so that the forthcoming business students could be able to get firsthand practical

touch.

8) For the last many years, the management of DIB is continuously closing its

unprofitable branches and lying of the personnel of these branches. This is

creating a situation of unemployment in the country. This should be stopped and

an incentive for the bank personnel should be introduced.

9) The management of the bank should take care of its shareholders and a stable

policy regarding cash dividend should be adopted.

10) The bank management should formulate such policies as to target home

appliances market for middle class group because it is a larger market available

with the bank to serve. In this regard proper leasing schemes should be

introduced.

11) The process of establishing On-line Banking system should be conducted at a fast

pace, so that a large number of clients could be served.

12) The automation process should be conducted at a fast pace.

13) The bank should take into series attention to conduct foreign business. Otherwise,

foreign banks will capture the foreign market. In this respect the bank should

capitalize its huge branch network.

14) The ATM machines and other instruments of the banks should be user-friendly.

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9.2__Conclusion:

It is evident from this report and the financial statements of DIB that it is making

progress by leaps and bounds. The profits of DIB have grown considerably during the

last few years and this trend is expected to continue into the future. Therefore, we

conclude that DIB has a very prosperous present and future, which assures the

shareholders of wealth maximization. Side by side of it I think that if bank would be able

to cover and control on the above mentioned recommendations then it would be in such a

situation that will really lead it towards the road of prosperity, development and integrity.

And with the above mentioned sentences I think there is too fault of the customers and in

order to make the proper working of the bank the customers should also cooperate with

the bank which will be really a good, ambitious and diligent condition for the bank. And

then bank will be really in such a situation and position to compete its competitors in the

country as well as on international level.

References:

www.DIB.com.pk

www.sbp.org.net.pk

www.pkeconomist.com

www.punjab.gov.pk

www.coper/hrm.ca

Books & Journals: -

Human Resource Management

(Gary Dessler) Human Resource Management

(David Decenzo)

Public Administration Research Center (1981). Islamabad

Annual Report 2006, 2007 DIB Bank ltd.

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http://www.sbp.org.net.pk/http://www.pkeconomist.com/http://www.punjab.gov.pk/http://www.pkeconomist.com/http://www.punjab.gov.pk/http://www.sbp.org.net.pk/

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Journal of Applied Psychology. Pp 81,557-574.