University of the Punjab Gujranwala campus

Internship Report On Dubai Islamic Bank
Submitted by: Zohaib Aslam
Roll no: Bc14107
Session: 2014-2018
Date : 15-05-2018
Submitted to: Sir Bilal Ghaffar

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Table of content
Serial number Particulars Page number
1 Executive summary 2 Acknowledgement 3 Dedication 4 Intro to Report 5 Organizational profile 6 Vision & Mission statement 7 Management Hierarchy 8 Departments 9 Area of internship 10 Work done during internship 11 Financial analysis 12 Recommendation 13 Conclusion 14 Bibliography 15 Glossary 16 Annexure EXECUTIVE SUMMARY
As per the requirements for the degree of b.com (hons) at pugc , I got an opportunity to get eight weeks internship exposure. Dubai Islamic Bank, model town branch, Gujranwala provides me the chance to have this experience with a prestigious institution. During my internship I was rotated in the various departments in order to get in depth idea of how the bank functions. This report thoroughly outlines and explains my observations, findings and analysis and my knowledge of the banking sector in general and Dubai Islamic Bank in particular.

In this report, there is an introduction of Dubai Islamic Bank. In introduction, there is history of Dubai Islamic Bank, strong commitment and loyal service, highly trained professionals, and credit rating. The report also includes the details of the products offered by DIBPL which includes Takaful plan and other Islamic Compliance products. This report also focuses the general banking of DIBPL which includes Cash department, Remittances section, Account opening, Debt cards etc.

Subsequent to it this report contains my experience and learning that what I have learned from this internship and what was my experience regarding this internship. The report also contains my analysis that I scrutinize in the organization by using Financial analysis. With the help of these methods I have some suggestions and recommendations to improve the performance of the Bank, which also mentioned in this report. By following these suggestions bank can improve their product market and can easily gain the attraction and satisfaction of customers. Not only the customers, bank also can improve the satisfaction and performance level of its employees by these suggestions.

ACKNOWLEDGEMENT
By the grace of God and the efforts of my collogues and
Dubai Islamic Bank, I am able to complete and accomplish my
objective and report well in time. At this moment I must pay special
thanks to our guiders for their Cooperation and guidance that
made me to complete my report. I once again grateful to the staff
of the bank, who showed a keen interest and cooperated whole heartedly through out the entire course of activities.

Introduction to report
After the completion of degree MBA (Banking & Finance) I want to enter and check the practical work according to my specialization. For that purpose I selected the banking sector because I have done specialization in banking and finance.

Second and next main objective of studying organization; I want to enter in practical field and want to learn that which discipline is required for leading a successful future life. I think I am very lucky person that I selected Dubai Islamic Bank as my learning organization.

Objectives that I want to achieve by studying the organization are as follows:
First of all I want to check the practical work according to my degree specialization. During my internship in Dubai Islamic Bank I have learnt that how to use the knowledge in practical field.

Secondly I want to learn that how to mange an organization and how to mange the finance for a financial organization, as my degree is related to Financial Management and Banking and Finance.

Customers dealing is another major objective that I want to achieve. During my internship I learnt that how to deal with customer.

Financial institution is a place where every type of businessmen visits, so during my internship in DIBPL I met with many businessmen and learnt that how different businesses run.

And another main objective that I want to achieve that how an organization consist with different departments and how different functions are done in different departments of an organization.

Through this internship I learned many things. It was a great experience for me to comprehend the working environment. During this period I face different types of working conditions, which will help me to know that, how to handle these conditions in future. Through this internship I am able to do work in all departments of Bank because I know all rules, policies, and responsibilities, which mentioned in DIBPL departments and products of these departments so I achieved 80% of my objective

 OVERVIEW OF THE ORGANIZATION
Dubai Islamic Bank is the leading Islamic bank operating in Pakistan. Its balance sheet size is improving with the passage of time. It has redefined its role and has moved from a public sector organization into a modern Islamic bank. The Bank’s services are available to individuals, corporate entities. While it continues to act as investor of public funds and it has diversified its business portfolio and is today a lead player in the debt equity market, corporate investment banking, retail and consumer banking, treasury services and is showing growing interest in promoting and developing the country’s small and medium enterprises and at the same time fulfilling its social responsibilities, as a corporate citizen.

In today’s competitive business environment, DIBPL need to redefine its role and shed the public sector bank image, for a modern Islamic bank. It is listed in Securities and Exchange Commission of Pakistan in 2006.

Dubai Islamic Bank is today a progressive, efficient, and customer focused institution. It has developed a wide range of consumer products, to enhance business and cater to the different segments of society. Some schemes have been specifically designed for the low to middle income segments of the population.

It has taken various measures to facilitate overseas Pakistanis to send their remittances in a convenient and efficient manner. More recently it has started Electronic Home Remittances Project. This project introduces technology based system to handle inward remittances efficiently, by ensuring that the Bank’s branches keep a track of the remittance received from abroad till its final receipt. A number of initiatives have been taken, in terms of institutional restructuring, changes in the field structure, in policies and procedures, in internal control systems with special emphasis on corporate governance, adoption of Capital Adequacy Standards under Basel II framework, in the up gradation of the IT infrastructure and developing the human resource. Dubai Islamic Bank has built an extensive branch network with 36 branches in Pakistan.  The Bank’s financial performance has been remarkable. In 2006, total assets are estimated at Rs 8434280000, while deposits have grown to nearly Rs 4322621000. The increase in profit was achieved through strong growth in core banking income. The Bank maintains a sound loan portfolio diversified in nature to counter the risk of credit concentration.

History of Dubai Islamic bank
Thirty years ago Dubai Islamic Bank created history by becoming Worlds first Islamic Bank. Today Islamic Banking has become one of the fastest growing economic sectors with over 300 financial institutions; with assets estimated over at 300 billion US Dollar providing Islamic Financial Services. Despite huge growth to the sector DIB is continued to be the pioneer and leader to date. Since its inception DIB has evolved retail bank to a fully fledged bank catering to almost all the requirements of the customers in providing to Sharia Compliant solutions locally and internationally. It has constantly upgraded its services to individuals and companies who always remain a valuable asset.

By combining the best Islamic traditional values with high standards technology and innovation, DIB is committed to comply with not only fully transactions of financial dealings. DIB is also committed to provide customer-satisfaction oriented job.

For its outstanding performance and contribution for Islamic financing, DIB received the best Islamic Bank award in the Middle East Award 2006; by both Euro moneys Islamic Finance Weekly and Gulf Wealth Forum. DIB has also awarded the bank of the year 2006 Banker Awards.

DIBPL has started its operations since 2005. At that time the scale of business and number of branches were very short. But just within the time period of five years, now DIB has an extensive network of branches, a wide range of Islamic Compliant Products, well-managed communication system and good return from operations.

Gateway to Pakistan:
Aside from providing regular banking services,
Dubai Islamic Bank Pakistan plays the role of both an investor and a facilitator to serve
as a catalyst for the future of the country. During the Bank’s launch phase alone,
Pakistan received flow of millions of money in the country. It was only recent that Dubai
Islamic Bank role in developing the market of Islamic commercial paper in Pakistan
participated as a co-manager of the Sovereign Islamic Sukuk issue.

6. Dubai Islamic Bank Pakistan has also been very active in attracting foreign
investments. In fact, Dubai Islamic Bank is already working closely with a number of
business corporations such as Dubai Ports.

March Banker Middle East Product Awards 2016 Best Deal of the Year
uary Sharjah Human Resource Department Bank recognized for its prominent role in supporting
-171450430530000Government’s Nationalization effortscentertop
Regular Savings Account
DIBPL is offering another type of account which is named by regular savings account. DIBPL is paying profit on this type of account according to volume of deposit. And another attracting option is that profit is offered on monthly, quarterly, semi-annually and annually basis. 
Saving Plus Account
Another type of account which DIBPL is offering is saving plus account. On this type of account DIBPL is giving profit on comparatively higher rates than regular. 
Saving Special Account
This is another type of account is offering by DIBPL to facilitate its valued customers. This type of account has some special characteristics as compared to regular and plus. The profit margin is higher than other types of accounts.
Fixed Deposit/ Term Deposit
DIBPL is offering fixed deposit account according to the Sharia principles. Here in fixed deposit account deposited amount is invested and finally share of profit or loss is distributed between bank and customer.

SERVICES OF DIBPL
Services are output of the firm, which are in intangible form and the back bone of any organization to earn profit. However, there are some basic services which DIBPL, F-10 branch at present offers to his customers include:
Receipts of customer’s deposits
Collection of his cheques drawn on other banks
Making payments through cheques drawn on it
Making remittances
Foreign trade service
International Banking
Dubai Islamic Bank Pakistan Ltd. is at the forefront of international banking in Pakistan, which is proven by the fact that DIBPL has its branches in all of the major financial capitals of the world. Additionally, we have recently set up the Financial Institution Wing, which is placed under the Risk Management Group. The role of the Financial Institution Wing is: –
To effectively manage DIBPL exposure to foreign and domestic correspondence manage the monetary aspect of DIBPL’s relationship with the correspondents to support trade, treasury and other key business areas, thereby contributing to the bank’s profitability.

 Deman Drafts:
It is a safe, speedy and reliable way to transfer money; customers can now purchase DIBPL’s Demand Drafts at very reasonable rates. Any person whether an account holder of the bank or not, can purchase a Demand Draft from a bank branch.

Mail Transfer:
Money is safely and quickly moved by using DIBPL Mail Transfer service. And DIBPL also offered the most competitive rates in the market.

Pay Order:
DIBPL provides another reason to transfer money using its facilities. Pay orders are a secure and easy way to move money from one place to another. And as usual, charges for this service are extremely competitive.

Travelers Cheque:
Negotiability: Pak Rupees Traveler’s Cheques are a negotiable instrument.

Validity: There is no restriction on the period of validity.

Availability: At 36 branches of DIBPL all over the country.

Encashment: At all branches of DIBPL.

Limitation: No limit on purchase.

Safety: DIBPL Traveler’s Cheques are the safest way to carry money.

-285750482917500-171450315277500-228600-4953000
One’s beneficiaries. So rest assured, with Al-Islami Saving and Takaful Plan,
One’s future plans are in safe hands.

 As an individual you have many dreams…
A college education for your child from a prestigious university
A dream wedding for your beloved daughter 
Your spiritual journey to perform Hajj
A comfortable retired life with enough savings to take care of you and your loved ones
Any other financial objectives you may want to achieveThere’s nothing better than the Al-Islami Saving & Takaful Plan to fulfill your dreams the Islamic Way!Based on your saving capacity, Al-Islami Saving & Takaful Plan offers you a range of investment optionsto suit your risk profile, with most flexible payment options.

TRADE FINANCES & OTHER BUSINESS LOANS
Working Capital and Short Term Loans:
DIBPL specializes in providing Project Finance – Export Refinance to exporters Pre-shipment and Post-shipment financing to exporters – Running finance – Cash Finance – Small Finance – Discounting & Bills Purchased – Export Bills Purchased / Pre-shipment.

Medium term loans and Capital Expenditure Financing:
DIBPL provides financing for its clients’ capital expenditure and other long-term investment needs. By sharing the risk associated with such long-term investments, DIBPL expedites clients’ attempt to upgrade and expand their operation thereby making possible the fulfillment of our clients’ vision. This type of long term financing proves the bank’s belief in its client’s capabilities, and its commitment to the country.

Loan Structuring and Syndication:
Dubai Islamic Bank Pakistan Ltd. leadership in loan syndicating stems from ability to forge strong relationships not only with borrowers but also with bank investors. Because syndicate partners understand the asset criteria, DIBPL help borrowers meet substantial financing needs by enabling them to reach the banks most interested in lending to their particular industry, geographic location and structure through syndicated debt offerings. Syndication capabilities are complemented by capital strength and by industry teams, who bring specialized knowledge to the structure of a transaction.

Cash Management Services:
With DIBPL Cash Management Services (in process of being set up), the customer’s sales collection will be channeled through networking of DIBPL branched spread across the country. This will enable the customer to manage their company’s total financial position right from desktop computer. They will also be able to take advantage of outstanding range of payment, ejection, liquidity and investment services. In fact, DIBPL is committed to provide everything, which takes to manage cash flow more accurately.

Short Term Investment:
DIBPL now offers excellent rates of profit on all its short term investment accounts. Whether the funds are invested for 3 months or 1 year, DIBPL’s rates of profit are extremely attractive, along with the security and service only DIBPL can provide.

Equity Investment:
DIBPL has accelerated its activities in the stock market to improve its economic base and restore investor confidence. The bank is now regarded as the most active and dominant player in the development of the stock market. DIBPL is involved in the following:
Investment into the capital market
Introduction of capital market accounts (under process)
DIBPL’s involvement in capital markets is expected to increase its earnings, which would result in better returns offered to account holders.

-409575889000
-2370670

-297815283083000-429895-28702000
Departments
DIBPL have a different department so I am going to explain the performance of every department.

1: CASH DEPARTMENT
Cash department performs the following functions                                                                         
Receipt
The money, which either comes or goes out from the bank, its record should be kept. Cash department performs this function. The deposits of all customers of the bank are controlled by means of ledger accounts. Every customer has its own ledger account and has separate ledger cards.

Payments
It is a banker’s primary contract to repay money received for this customer’s account usually by honoring his cheques.

Types of Cheques
Some specific types of cheques are being entertained in the clearing department of               DIBPL.

LOCAL CHEQUE
By local cheques we mean collection of cheques from the banks which are the members of the clearinghouse and which are located within the city.

 OUT STATION CHEQUE
By out station cheques we mean collection of cheques from the banks which are situated outside the city. It means that presenting bank and the bank on which the cheques is drawn are not situated in the same city.

4: CLEARANCE DEPARTMENT
A clearing house is an association of commercial banks set up in given locality for the purpose of interchange and settlement of credit claims. The function of clearinghouse is performed by the central bank of a country by tradition or by law. In Pakistan, the clearing system is operated by the SBP. If SBP has no office at a place, then NBP, as a representative of SBP act as a clearinghouse.

-661035-42989500-628520451675500    
-617220252254100-353060000
-793750280865100-561975-34163000
-440690463804000-628015-71589700
-542290-51054000-638175100965000

-617220390207500-627380-77660500
-616718-59577700-510525287051100
Work done
I got the internship opportunities in DIB Abbottabad branch. The duration of my internship is of six weeks stated from 1st April 20011 to 15 May 2011. During the internship period I was rotated detailed on different desks and almost all the departments but the important departments in which I stay more are as under:- a. Operation department (General Banking) from 1 st Apr to 16 Apr 2011. b. Customer of Services department from
Duties Performed
General Banking.

The different departments in General banking are:-
(1) Account Opening (including cheque book issuance)
(2) Cash department.

(3) Clearing.

(4) On line banking
In General banking I was rotated in Account opening and Clearing department..
Clearing.

The clearing department consists of OBC, LBC and IBC. My job was to prepare Inter Branch Credit Advices (IBCAs) and inter cities and for areas outside them, I do/prepared Outward Bills for Collection (OBC), Inward Bills for Collection (IBC), LBC entries in their respective registers, and stamp the cheques.

(1) Inward Bills for Collection (IBC) means when an account holder of DIB Branch makes a cheque payment to a person who has an account in other bank, that bank presents the cheque to DIBL for payment. The cheque then becomes IBC for DIBL as other bank presents it for payment. It is called IBC because the bill (cheque) comes in the bank premises for clearing/payment.

(2) OBC means ‘outward bills for collection’. When an account holder of DIBL presents a cheque of other bank along with the deposit slip, DIBL presents it in that bank for payment. This cheque is OBC for DIBL because it presents the cheque to other bank. If the cheque is OK, that bank credits DIBL Head Office account, on realization DIBL branch debits Head Office Branch and credits account holder’s account.

(3) The cheques presented in OBC/IBC for collection can be of other bank and can be of any other branch of DIBL. LBC stands for ‘local bills for collection’. It is same as OBC. The only difference is that OBC is for presentation of cheques outside Abbottabad area. LBC is for cheque clearing within Abbottabad. It is free of charge. OBC is for presentation and payment of cheques outside 31 Abbottabad. The bank debits courier charges from customer’s account. Before the entries of IBC, OBC and LBC are made in their respective journals, the cheques representing them are stamped. IBC cheques are stamped with DIBL crossing and clearing stamp at the front. At the back, it is stamped with a stamp showing that ‘payees account will be payees account will be credited on realization’. The crossing stamp shows that the cheque is property of DIBL Branch. Clearing stamp shows that the cheque has been presented for clearing. OBC and LBC cheques are stamped with a crossing and a stamp having a blank space for OBC/LBC number (which is seen from register) at the front and at the back there is a stamp showing that ‘payees account will be payees account will be credited on realization’.

(4) After stamping the cheques their entries are made in their respective journals. OBC and LBC numbers, name of bank, the amount of collection, cheque number (if it is a pay order then ‘Pay order” is written, date on which the cheque was received and the date when payees account is credited, name of payee account number of payer and payee are entered in OBC and LBC journals respectively. In IBC register, name of payer and payee, cheque number, account number of payer, name of bank that ACBL in this case, IBCA number and date of payment are entered.

Account Opening
In account opening, I was supposed to help the customers in filling account-opening forms. Besides the table of person dealing in account opening, first I was supposed to make sets of account opening forms. Sets are made by attaching the account opening form, cheque books requisition and specimen signature card then arrange these forms on side table along with application forms for Debit card, give the form to customers when they ask and help them fill the form. Specimen signature card is a yellow colored card that verifies signatures when a cheque is cashed or when a cheque books requisition is given.

I also took customer calls. Different people come and call us and ask for their account statements. I used to give printing command on computer and then bring the printed statements and handed over it to the customer. For an important client it was supposed to be in an envelope. The reason for my bringing the statement and handing over to the customer was to observe the difference between customer handling of ordinary and important clients. In a day there used to be at least fifty statements. I was also supposed to get the heavy amount cheques verified by Manager Operations.

Cheque Book Issuance
Cheque-book issuance was done during fifth week only. Customers give their chequebook requisition to operational manager. He verifies the signature from computer signs it and gives the requisition to Sir Aqeel. Minimum number of leaves in a chequebook is 10 and maximum is 100. On the requisition account number, title of account and numbers of leaves required in a chequebook are specified. Chequebooks normally have 10, 25 .50 and 100 leaves. Each type of cheque has its own register. Chequebooks also have their own series that have starting and ending numbers. Those series numbers along with account number, title of account and number of leaves are entered in their respective registers. Account number and title of account are written on cover of chequebook. Numbers of account number stamp are adjusted according to mentioned account number and bottom of each cheque is stamped. In General banking, this is the most sensitive job. A single mistake can cause a person to lose its job.

Photocopy.

This is the only job that I did regardless of the department worked. The photocopied items included national identity cards, student identity cards, cheques, letters, defense saving certificates and profit coupons.

Financial Analysis
RATIO ANALYSIS:
Ratios provide the means of showing the relationship, which exists between, figures of the Balance Sheets and Income Statements. The analysis is undertaken to assess important characteristics of business like liquidity, solvency and profitability. A study of these aspects enables drawing conclusions as to financial requirements and capabilities of business units. Ratios may be classified in a number of ways to suit any particular purpose. Different kinds of ratios are selected for different types of situations. Some of the ratios calculated for DIBPL are given below.

LIQUIDITY RATIO
Comparison gives an indication of the short-term debt paying ability of an entity. Since a bank is also a business firm so to maintain adequate liquidity is also crucial to carry out business activity.

Current Ratio
It is used to measure the ability of an enterprise to meet its current liabilities out of current assets.

Current Ratio = Current Assets / Current Liabilities
172293756/158124841
Current Ratio = 1.1
                                                      
INTERPRETATION
The current ratio of DIBPL, for the year 2017, is 1.1 times of current liabilities. It is good to meet the short-term obligations, when compared with the current ratio 2016, which is 1.08 times of current liabilities. The company should maintain minimum limit of current ratio for Bank i.e.1.

Net Working Capital
Working capital compares current assets to current liabilities, and serves as the liquid reserve available to satisfy contingencies and uncertainties. A high working capital balance is mandated if the entity is unable to borrow on short notice. The ratio indicates the short-term liquidity of a business and in determining if a firm can pay its current liabilities when due.

Net Working Capital = Current Assets – Current Liabilities
= 172293756 — 158124841
Net Working Capital= 14168915
INTERPRETATION
Net working capital of 2017 increases from year 2015. This is safety cushion to creditors. The volume of net working capital is showing positive trends.

Solvency is a company’s ability to meet its long-term obligations as they become due. An analysis of solvency concentrates on the long-term financial and operating structure of the business.

Debt to Asset / Debt Ratio
 Provides information about the company’s ability to absorb asset reductions arising from losses without endangering the interest of creditors.

Debt Ratio = Total Liabilities / Total Assets
=158124841/172293756
Debt Ratio = 0.9177
INTERPRETATION
Creditors prefer low debt ratio, debt ratio shows that how much asset the company has to honor their obligations. This ratio is increased from 0.9177 to 0.8292. This is a good for the company because the company has 1 asset to pay 0.8292 debts.

Debt to Equity Ratio
Indicates how well creditors are protected in case of the company’s insolvency. The debt to equity is a significant measure of solvency since a high degree of debt in a capital structure may make it difficult for the company to meet interest chargers and principal payments at maturity.

Debt to Equity Ratio = Total Debt / Total Stockholder’s Equity                       
= 29328629/6776030
=4.328
INTERPRETATION
Debt to equity ratio is the relationship borrowed funds and owner’s capital and equity multiplier is the relationship between total assets and total equity. But it is good that the ratio is decreasing in 2017 than 2016. The overall leverage position is showing better trend as compare to previous years.

PROFITABILITY RATIOS
 This ratio shows that what percentage of net profit to the total income is.

Net Profit Margin
This ratio measures the firm’s profitability of sales/ interest earned after taking account of all expenses and income taxes. This ratio can be calculated as:
Net Profit Margin = Net Profit / Revenue *100
=1545859/609479*100
=25.37%

INTERPRETATION
From the calculation it is very much clear that the performance of DIBPL is very good still to 2016. And the trend is upward. It tells us a firm’s net income per rupee of revenue. As the trend is upward it shows the high profits in revenue per rupee in case of DIBPL. It is because of high advances the DIBPL has given to the people but in 2017 the ratio trend is downward which not good for DIBPL.

Return on Equity
Measures the income earned on the shareholder’s investment in the business.

Return on Equity = Net Income / Average Total Equity
=1545859/8136700
=18.99%
INTERPRETATION
It is decreasing every year with different rate. This condition is not good for DIBPL because every investor want to earn high income on his investment.

Return on Total Assets
Measures the company’s ability to utilize its assets to create profits.

            Return of Total Assets = Net Income / Average Total Assets *100
=1545859/8177832*100
=1.89%
INTERPRETATION
The results show that the Return on Asset are decreased which show that the DIBPL Assets are not properly utilize in 2017 or may be there are no proper environment for Banking sector because in 2016 Pakistan face the economic crisi
Investment to Asset Ratio
Investment to Total Assets = Investment / Total Asset
=2822723/35368894
=0.08
INTERPRETATION
This ratio indicates that out of total asset how much bank utilize its asset for further investing. This ratio in decrease in 2017, which is not useful for the bank to enhance its revenues.

Advances to Deposit Ratio
Advances to Deposit Ratio = Total Advances / Total Deposit
=20589613/27980906
=73.58%
INTERPRETATION
Loans or advances are the major assets of a bank while deposits are major liabilities of a bank. Higher ratio shows the better solvency of bank.

Cash to Deposit Ratio
Cash to Deposit Ratio = Cash / Deposit
=2932264/25980910
=11.29%
INTERPRETATION
This ratio shows that how much cash you have to pay the liabilities (deposits). As this ratio show that company has fewer amounts of cash than deposits. It also indicates that bank is investing so the bank is enhancing its business. But at the same time it could be risk for bank for liquidation.

Equity to Assets
Equity to Assets = Equity / Total Assets
=8136700/35368894
= 19.16%
INTERPRETATION
This ratio shows the position of equity in total assets of business. This ratio is in increasing trend. But the bank should increase its equity by increasing the wealth of shareholders.

Equity to Deposits
Equity to Deposit = Equity / Deposits
=8136700/25980906
=23.34
INTERPRETATION
This ratio shows that how much equity part is there in total structure. The capital advocacy requirement is 28%. The bank was not fulfilling the requirement in 2016 ; 2017 but now bank has 31.32%, which is good.

Earning Per Share
Earning Per Share = Net Income / No of Ordinary Shares
=1545859/89697510
=17.23
INTERPRETATION
As their earnings per common share is good year by year it mean that results of the ratio indicate that firm has paid a handsome return on investment showing the profit generations. Because the company’s net income is increasing gradually. As shown above the bank basic earning per share is increasing due to increase in net income. This shows how mush profit each share has earned in any particular year. It is most important ratio for peoples who decide about investing their money. Although it decreased in 2017 but the overall performance is good.

Return on Total Investment
Measures the income earned on the shareholder’s investment in the business.

Return on Investment = Net Income / Total Investment
=1545859/8136700
=18.99%
INTERPRETATION
It is decreasing every year with different rate. This condition is not good for DIBPL because every investor want to earn high income on his investment.

Return on Fixed Assets
Measures the company’s ability to utilize its fixed assets to create profits.

Return on Fixed Assets = Net Income / Average Fixed Assets *100
=1545859/81775832
=1.89%
INTERPRETATION
The results show that the Return on Asset are decreased which show that the DIBPL Assets are not properly utilize in 2017 or may be there are no proper environment for Banking sector because in 2016 Pakistan face the economic crisis its assets to create profits.

Internal Environment
Internal Strengths and Weaknesses . Strengths are positive internal
characteristics that the organization can exploit to achieve its strategic
performance goals. Weaknesses are internal characteristics that might
inhibit or restrict the organizations performance.

.

Strengths . Strength is present within an organization and when utilized,
become a means of distinction from competitors. The strong points of the
DIB are as under:-
(1) The policies and procedures that are developed by the
Bank are acceptable in the market and also approved by the Board
of Directors and committee members.

(2) The Committee Members also accomplish the vision and
provide Islamic banking facilities like other banks have operating in
the country.

(3) The DIB has a qualified and target oriented individuals to
perform their respective jobs more effective and efficient to achieve
organizational objectives.

(4) The bank also give an advancement opportunities and
also for career growth through training programs .i.e. on the job
training.

(5) Being an international bank it is considered more secure.

(6) One of the major strength of the Bank is Micro Finance
Unit (MFU) whose ultimate goal is to finance the project in rural
areas and approve small loans MFU’s.

(7) Working Environment of all of the departments is very
friendly.

(8) There is sharing of responsibility regarding work.

(9) Employees of all of the departments are highly qualified
and fulfill all the job requirements.

(10) Dubai Islamic Bank’s brand name is itself strength.

(11) Dubai Islamic Bank provides online as well as physical
training for its employees all over world.

Weaknesses . Weaknesses are the shortcoming in the structure or
functioning of the organization and need to be taken care immediately. It is
usually because of these weaknesses that the competitors leave us
behind in the race. Some of the weaknesses of the Dubai Islamic bank of
Pakistan are as under:-
(1) Spacing Problem is very crucial here in DIB. There is lake
of space in Accounts department according to the Employees.

(2) Designation of the employees is not properly mentioned
which creates a lot of confusion for customers as well as for the
other employees of the bank.

(3) There is lack of equipment according to the requirements
of the department like there are only four PC’s in Foreign Trade, but
the number of the employees in this department is seven. So they
have to wait for a long time for postings.

(4) Beside the System of UNI BANK, they have to maintain
proper files and records which involve a lot of time consumption
(5) Name of the department is not mentioned any where which
create problems for the new customers and ultimately frustrate the
customer.

(6) A lot of documentation creates overburden on employees
which sometimes irritate them.

(7) There is not any proper procedure for the Job Rotation for
the MTO’s (Management Training Officers).

(8) There is not any specific Job Description of employees
which ultimately confused the employees regarding their Job
responsibilities.

(9) Too much noise that makes the employees irritates and
they lost their concentration in the work.

(10) There should be separate washrooms for Ladies and
Gents.

(11) Some employees think of internees as servants
External Environment
Opportunities and Threats.
Threats are characteristics that may
prevent the organization from achieving its strategic goals. Opportunities are
characteristics of the external environment that have the potential to help the
organization achieve or exceed its strategic goals. (Richard L. Draft).

Opportunities . Opportunities are always present in the external
market whoever grabs it first, is the market leader. Some of the
opportunities are as under:-
(1) The Bank has the opportunity to open new branches in
new cities to cover a large market share and to enhance the branch
network.

(2) The bank also has the opportunity of e.banking.

(3) Strong promotional strategies can attract huge deposits for
the bank.

Threats . Threats are also part of our external environment and pose a
constant danger to an organization’s operations.

(1) Changing trends in the banking sector, like trend of leasing
suddenly changed to equity generation.

(2) Introduction of new schemes by other banks, which the
DIB lacks.

(3) Introduction of multinational/new banks into the local
market offering good salaries and good working environment in
such environment retention of employees for difficult for DIB.

(4) Due to rapidly changing environment and consistent
technological growth in banking sector and changing methods of
Recruitments and Selection, that is serious threat to the bank.
RECOMMENDATIONS AND SUGGESTIONS
Here I am giving some suggestions, which in my view can add some input for efficiency and better performance of DIBPL as an organization in general and F-10 Markaz Branch in Particular
The recommendations are as follows:
In my opinion the process of a transaction should be short in order in save time for both customers and the bank.

Staff strength should be enhanced and professional qualified persons should be recruited.

 It is recommended that proper training be provided to the staff members that will ultimately increase the performance of Bank over all.

It is suggested that promotion be given to the staff in due time and on the basis of performance to provide job satisfaction.

The bank should spend more on renovation of the branches to improve environment and atmosphere to attract the customers.

Sitting arrangement, air conditioning and new furniture should be facilitated
The Bank should introduce the computers software to cope the heavy load of work and better control.

Extra counters should be established in order to facilitate during the rush days the difficulties faced by the bank staff as well as the customers.

All Branches of the Bank must be online.

All the departments should be established separately.

 Bank can increase its profit ratio by reducing extra expenditures and to enhance the volume of advanced especially retail loans.

I done internship, I recommend that security level in the bank should be enhanced especially where I got internship and operation of Mobile phones must not be allowed inside the Bank.

Bank should take step to establish separate counters for the old age employees and pensioners.

The Bank should locate new market for its operational activities in the country as well as abroad.

The Bank should increase profit rate on deposits and saving schemes especially forpensioners and old age citizens.

For improvement of internal control and system the compliance wing and surprise inspection system should work more effectively.

To avoid complaints and leaving the bank job number of staff should be enhanced and their salaries should be leveled to the private/multinational banks.

Double shift system should be introduced to improve attitude and behavior of the employees.

Payment of salaries should be made separately to accommodate the valued customers and depositors
 For collection of utility bills i.e. Electricity bills, Telephone bills, Water and Gas bills separate cash receipt counter must be established.

Procedure of receiving loans should be easy and short time to facilitate the borrowers and enhance the profitability of the Bank
CONCLUSION
DIBPL is an effectively operating and profit making organization and carrying out its activities under a specified system of procedure. The main regulatory body is State Bank of Pakistan, which provides policy guidelines and ensures that the money market operates on sound professional basis. While the head office specifies the whole procedure of function and operations. This procedure has been modernized with the passage of time with a view to streamline the approach and underlying procedure for effective overhauling of its own capabilities so as to bring them at par with international practices.

There are people who are motivated towards their work but on the whole, it seems like employees do not work on time and enjoys wasting their time, which is a big hurdle in its way to progress. Also working at the bank, I also found out that all the departments are not linked together. Employees usually hide their work from other employees as its match going on and whoever does the best would be awarded. That should not be the case. All the departments should work as team not as individuals, so that the whole branch would get benefit out of it. So there is a lack of teamwork, also due to this weakness of the branch, its customers are not satisfied. I talked to many clients of the bank but most of them were not satisfied with the services provided specially in the departments namely Account department, Cash department and Bill collection section. So I would suggest to the employees to work whole- heartedly and show keen interest in their work.

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