Customer Relationship Management and Practice of Prime Bank

Major purpose of this report is to discuss and analysis Customer Relationship Management and Practice of Prime Bank Limited. Report also identify the customer service and the credit management of Prime Bank. Here briefly describe customer satisfaction level through Customer Relationship Management. In this management style Prime Bank follow Shariah based banking. Finally draw SWOT analysis and suggest recommendation on problems.

Objective of the Study:

• To develop the practical knowledge by the practical orientation of work.
• To build up the pillar of the career for near future.
• To know about the Mutual Prime Bank Ltd. PBL operational activities.
• To identify the customer service and the credit management.

Company Profile:

Name : Prime Bank Limited

Address : Head Office

119-120, Motijheel C/A Dhaka-1000.

Type of Organization: Private limited Company

Head Office Division & Department:

Division

• Credit Division (Corporate & Consumer)
• Treasury & international Division
• Financial Administration Division
• Business Development Division
• Banking operation Division
• Human Resource Division
• Board & Company Affairs Division
• Card Division
• Internal Control & Compliance Division (ICC)
• General Service Division

Department

• Audit & Inspection Department
• Compliance Department
• Monitoring Department
• Merchant Banking Department
• Reconciliation Department
• Share Department

Operating Profit: 47 million (2011)

Total Capital: 1,114.52 million (2011)

Total Asset: 23,217.99 million (2011)

Deposits: 20,264.05 million (2011)

Loan & Advances: 15,519.52 million (2011)

Total Contingent Liabilities : 5,617.39 million (2011)

Cost of Fund:03% (2011)

Earning per Assets: 18,575.83 million (2011)

Investments: The total investment portfolio of the bank stood at Tk. 2500.80 million in December 31, 20(14 as compared to Tk. 2,000.08 million in December 31, 2005 registering a growth of 20.42%. The investment portfolio includes treasury bills, zero coupon bonds, share of different companies, prize bonds etc. The investment is made primary to meet SLR requirement.

Return on Investment: 03% (2011)

Return on Assets: 51% (2011)

Income from Investment: 40 million (2011)

International Trade: PBL has designed Trade Finance Products to cope with the changing foreign market arena. The bank offer a broad spectrum of trade finance products namely issuance of documentary credit, advising, confirmations, forward covers, pre-shipment and post-shipment finance, negotiation and purchase of export bills, discounting of bills, collections etc.

Import: Import volume of PBL in 2011 reached Tk. 20,255.29 million compared to FYOS’s volume of Tk. 14,600.00 million achieving a growth of 40.07%. The main import items were industrial machineries, raw materials, fabrics and accessories, chemicals, electronic goods and other consumer products, capital machinery, petroleum and petroleum products.

Export: In 200$the export volume of PBL reached Tk. 10,943.06 million compared to previous year’s volume of Tk. 5,810 reflecting a sound growth of 40.72%. The items handle in export trade were ready-made garments, jute, jute goods, pharmaceuticals, leather etc.

Treasury Operations: Efficiency Treasury management offers exciting profit potential in volatile time when other marker are unstable and insecure. PBL has got a very efficient manpower to run a local money market as well as foreign currency market in product way. Treasury operation of the bank includes foreign exchange dealings, money market operations, assets liability management and other fixed income products. Assets Liability Committee (ALCO) guided bank’s cash flow and treasury operations. The dealing room in engaged for efficient functioning in the foreign exchange market to hedge the foreign exchange risk and to manage the dealing room with fairness, transparency and discipline within the tolerance. The growth of Treasury Operation was about 30.39% in 2011 In FY06 total profit from treasury operation was 173.74 million compared to FYOS’s profit 120.06 million.

Foreign Remittance: PBL has established remittance arrangements with a number of exchange house to facilitate wage earners to remit their money to Bangladesh. This bank has already been in operation with UAE Exchange Centre LLC, Wall Street Exchange LLC, Trust Exchange, Route Asia Exchange, Instant Cash, and Bangladesh Money Transfer. They have obtained permission from Bangladesh Bank to start operation with Al Saad Exchange, First solution Exchange, Al Ahalia Exchange Bureau and Federal Exchange. The bank maintains correspondence with order 16 Exchange House which are Al Fadaral Exchange, The extensive branch network of these Exchange Houses has been largely helping Bangladeshi expatriates working in the UAE, UK, Qatar and Oman to transfer their funds speedily and efficiently through online network. PBL’s total foreign remittance volume was Tk. 2,071.03 million in 2011. Prime Bank is exploring future avenues of remittance from other countries such as Saudi Arabia, Malaysia, USA and Italy in the near future.

General Banking

Customer Service

This department mainly gives service to their customer. The officers of this department always solve the problem of their customer. Provide information and aware people about the products of PBL are the main jobs of the officers.

The main function of customer service department

• Information provide to the customer about the product
• Account opening
• Account closing
• Cheque Book issue
• Cheque received
• Pay Order and Pay Clip issue
• Customers attend
• Customers phone call attend
• Give account statement to the customer
• Give account information to the customer

Types of Clearing:

• Outward Clearing. Outward clearing means when a particular branch receives instrument drawn on the other bank with in the clearing zone and sends those instruments for collection through the clearing arrangement is considered as outward clearing for that particular branch.

• Inward Clearing: When a particular branch receives instruments which are on themselves and sent by other member bank for collection are treated as inward clearing of that branch.

• Outward Returned: Clearing return (outward) includes those cheques which were presented to us the preceding clearing by other banks but we have to return them unpaid to the collecting bank owing to various reason. Return of the 1^st clearing are exchange in the special clearing.

• Inward Returned: Clearing Returns (inward) consists of those instruments which were presented by us to other banks for payment in the preceding clearing but we have been returned unpaid by them due to one reason or the other through the Clearing House.

• Accounts: The accounts department performs daily functions of collecting and accounting for taxes, receipt of grants and other income, preparing deposits, account analysis, payroll, and processing purchase orders, check requests, paying vendors, monitoring and reporting on grants and budgets and various other internships to assist tribal members, staff and directors with accounting administration.

The main function of Accounts is

• Budget Preparation
• Procurement & Payment
• Payroll
• Financial Statements
• Account analysis
• Monthly, half yearly and yearly closing
• Interest updated
• vat and tax send to the Head Office
• Daly transfer execute

Credit:

The credit department approves the loan of Corporate Banking division. The approval is mainly based on the risk analysis of the corporate clients done by the Corporate Banking division. The main function is monitoring credit facilities granted by the corporate banking unit. Its function is to make sure that credit has been provided in a right manner. This department ensures that internal controls of the corporate relations are maintained.

The main function of Credit department is,

• To manage PBL credit portfolio.
• Processing of credit applications and approvals
• Aware people about the credit scheme.
• Credit disbursement
• Investigating and resolving unauthorized deductions
• To encourage loan repayment loan.
• Collecting from billed customers.
• Covering added volumes during crunch periods
• Send the statement to the Head Office.

Foreign

The foreign exchange department transfers wherever one currency is traded for another. Foreign exchange held abroad by foreign nationals or foreign business houses, expect to the extent responding earning abroad in respect of business conducted in Bangladesh or service rendered while in Bangladesh.

The main function of Foreign Exchange department is,

• To open import L/C (letter of credit) and make payment their against.

• Verified master L/C and open back to back L/C their against.
• Issue exports L/C.
• Received and payment foreign remittance
• Send all types   of  statement   (foreign   exchange   related)   to
• Bangladesh Bank.

Consumer (Banking)

Their aim to satisfy all clients, regardless of how big or small they may be. Individuals are counseled on the best type of accounts suitable to them such as Current, Savings, Short Term Deposits, Fixed Deposits, Consumer Asset and Liability Products, etc.

Apart from the conventional banking operations  PBL strives to introduce an array of products and services and already launched a number of consumer banking products with the aim of popularizing consumer banking operations and offer higher return to its clients.

 Consumer Banking Products are:

• Saving Deposit
• Current Deposit
• Fixed Deposit
• Short Term Deposit
• Brick by Brick Savings Scheme
• Monthly Benefit Plan
• Children Education Plan
• Consumer Credit Scheme
• Bestlnvest Plan
• PBL Millionaire Plan
• Festival Saving Plan
• PBL Double Sarver Plan
• PBL Triple Sarver Plan
• Unique Saving Plan

Saving Deposit:

Savings accounts are accounts maintained by commercial banks, savings and loan associations, credit unions, that pay interest but can not be used directly as money (by, for Example, writing a cheque). These accounts let customers set aside a portion of their liquid assets that could be used to make purchases while earning a monetary return.

Account is eligible for individual’s savings, transaction, investment, loans repayment and payroll purpose. Requirement for personal account: savings and access (single) and graduate account.

• AOF: The account opening form (AOF) completed properly.
• Introduction: Duly   introduced   by   an   existing   accounting   holder   having satisfactorily relationship with Standard Chartered Bank for at least six months
• Photograph: Two copy of account holder photograph duly signed by introducer.
• Nominee: Signature of nominee on the AOF along with the relevant   portion and also with a photo duly attested by applicant.
• Document: Valid passport/ driving license/, voter ID card,/ reference letter by the first class gazette officer and one copy photo of the account holder signed by officer(affidavit is not acceptable), organizational photo ID.(commissioner certificate, certificate from Gazette officer is not acceptable )

Any kind of over writing must be signed by applicant in AOF. Name, father’s name, mother’s name, date of birth, address, have to match with supplied documents. Transaction profile and important document are the essential parts of all account opening.

Sole proprietor, trust, partnership, NGOs:

Requirement:

Completed AOF with sole proprietorship declaration

• Trade License.
• Tin certificate
• Passport of proprietor/ main signatory
• Two copy of photograph
• Company Seal

In case of Partnership all the above mentioned entry in addition with

• Deed in case of partnership
• Passport of all partners
• KYC (Know your customer from which fill up by the officer) required for all partner

Current Deposit:

Current account is an efficient and convenient way of handling their daily finances. A frequent transaction of the account that provides customer convenience and flexibility.

Put an end to people’s worries about carrying large sums of money when they need it. In the current account, the account holder does not get any interest on deposit money. The account holder can withdraw and deposit his money any branch of PBL. The minimum deposit is Tk. 1000 to open a current account.

Requirement for current account and access (single) and graduate account.

• AOF: The account opening form (AOF) completed properly.
• Introduction: Duly   introduced   by   an   existing   accounting   holder   having satisfactorily relationship with Standard Chartered Bank for at least six months
• Photograph: Two copy of account holder photograph duly signed by introducer.
• Nominee: Signature of nominee on the AOF along with the relevant portion and also with a photo duly attested by applicant.
• Document: Valid passport/ driving license/, voter ID card,/ reference letter by the first class gazette officer and one copy photo of the account holder signed by officer(affidavit is not acceptable), organizational photo ID.(commissioner certificate, certificate from Gazette officer is not acceptable )

Any kind of over writing must be signed by applicant in AOF. Name, father’s name, mother’s name, date of birth, address, have to match with supplied documents. Transaction profile and important document are the essential parts of all account opening.

Sole proprietor, trust, partnership, NGOs:

Requirement:

Completed AOF with sole proprietorship declaration

• Trade License.
• Tin certificate
• Passport of proprietor/ main signatory
• Two copy of photograph
• Company Seal

In case of Partnership all the above mentioned entry in addition with-

• Deed in case of partnership
• Passport of all partners
• KYC (Know your customer from which fill up by the officer) required for all partner

Fixed Deposit:

Fixed deposit is the same as a term or time deposit. Money may be placed with a bank, merchant bank, building society or credit union for a fixed term at a fixed rate of interest which remains unchanged during the period of the deposit. Depositors may have to accept an interest penalty if they break the deposit, ask to take the money out before the agreed period has expired.

If the customers need money before the end of their fixed deposit period, they can withdraw their money. For this purpose, the customer needs to give an application to the branch manager of  PBL. The customer does not get the interest of the fixed deposit; but they get the interest rate of saving deposit. Some charge will cut from the customer as an excise duty and but no service charge will taken. The charges are given below;-

Short Term Deposit:

Short Term Deposit (STD) account convenient customer to way of saving for the future. STD account is any-branch banking solution that gives the customer more service, such as, interest rate on the deposit (6%), affordable minimum balance (Tk. 1000), any branch banking.

Requirement ( Sole proprietor, trust, partnership, NGOs )

Completed AOF with sole proprietorship declaration

• Trade License.
• Tin certificate
• Passport of proprietor/ main signatory
• Two copy of photograph
• Company Seal

In case of Partnership all the above mentioned entry in addition with

• Deed in case of partnership
• Passport of all partners
• KYC (Know your customer from which fill up by the officer) required for all partner

Brick by Brick:

Brick by Brick is a monthly savings plan, which will provide comfort and security in future. A handsome amount can be earned at maturity.

Terms and Condition

• Brick by Brick monthly installments are Tk. 500; 1000; 2000; 5000 and multiples of Tk. 5000 thereof.
• Consumer can select  a period  of 5/8/10  years,  depending  on his  or her convenience.
• Customer is eligible to open more than one account in the same branch.
• Monthly installment of any plan will be debited from customer’s saving or current account as auto transfer arrangement.
• 1% bonus amount will be awarded on total deposit if the plan is continued up to maturity.
• If the customer fail to pay 3 consecutive installments then the plan will cease to function and payment will be made as per as following clause.
• For premature encashment, interest will be paid as per prevailing saving rate but no interest will be paid if encashed with in one year.
• In case of death, deposit will be encashed will applicable interest and paid to nominee(s).

Loan Advantage

The customer can avail loan up to 90% of the deposited amount against lien of this plan will be Tk. 25,000.

Monthly Installment and Saving

Monthly Benefit Plan:

This plan offers you to generate monthly income out of your deposit. It has been designed to help and assist conscious savers from all strata of the society.

Terms and Condition

• Any individual, NGO, Education Institution, Trust, Society etc. may invest their saving in this plan. The customer may open more than one account in the same branch.
• Minimum deposit is Tk. 50,000 or in multiples thereof. There is no upper limit. This is a 3 and 5 year plan.
• Monthly installment income will be credited to the depositor’s saving or current account.
• For premature encashment, interest will be paid as per prevailing saving rate but no interest will be paid if encashed with in one year.
• In case of death, deposit will be encashed will applicable interest and paid to nominee(s).

Loan Advantage

The customer can avail loan up to 90% of the deposited amount but minimum loan amount against this plan will be Tk. 25,000.

Deposit & Monthly Income

Children Education Plan:

Education is the backbone of any nation and one of the primary factors of prosperity. An educated nation stands tall in the committee of nations and deserves respect. A child’s education is of prime importance and every parent should ensure and make every effort to get their child educated. This plan will generate savings for the children education. It has been designed to help and assist the people who are concerned about the cost of their children’s education.

Terms and Condition

• Initial deposit of PBL Education Plan is Tk. 5000 and subsequently monthly installments are Tk.1000 and multiple thereof up to a maximum Tk. 2000.
• Consumer can select a period of 4/7/9 years, depending on his or her convenience.
• Customer is eligible to open more than one account in the same branch.
• Monthly installment of any plan will be debited from customer’s saving or current account as auto transfer arrangement.
• If the customer fail to pay 3 consecutive installments then the plan will cease to function and payment will be made as per as following clause.
• For premature encashment, interest will be paid as per prevailing saving rate but no interest will be paid if encased with in one year.
• In case of death, deposit will be encased will applicable interest and paid to nominee(s).

Deposit & Income

Consumer Credit Scheme:

In order to make a significant contribution in the living standards of the people of medium and low income category, Prime Bank has introduced a scheme called “Consumer Credit Scheme”. With a view to materialize the dreams of those who are unable to make one time investment from their own savings, one can now afford to buy necessary household equipments and thus improve the standard of living.

All sorts of household durables e.g. Television, Refrigerators, Computers, Air Conditioners, Video Cameras, Washing/ Drying Machines and Furniture’s are allowed under this scheme. One can buy Motorcycle too under this programme.

One can repay the loan in equal monthly installment (EMI) with the flexibility of choosing the loan tenure from 12-48 month installments. No collateral security is requiring. Only hypothecation and some other stander documents are needed.  PBL offer the most competitive interest charges will be 14% per month annum. Rates may Vary depending on security available.

Loan Amount

• Minimum Tk. 30,000
• Maximum Tk. 300,000 or 6 time of monthly income whichever is lower
• Up to 90% of the price of purchase item

Best Invest Plan:

Bestlnvest offers efficient high return investment plan. This plan helps one to build up a sizeable income in easy and affordable installments. This plan allows someone to own 5 times the initial invested amount. Bestlnvest offers two separate and convenient term deposit periods for 4 years and 6 years respectively.

Bestlnvest is available in units worth Tk.50,000 each. One will invest Tk. 10,000 as down payment for purchasing 1 (one) unit and the Bank will provide loan for Tk.40,000. The customer also has the option to buy units in multiples of Tk. 50,000 but maximum up to Tk. 1,00,00,000 (one crore). This is a unique high return plan catering to all income groups.

Credit Management (Loans e & Advances):

The credit department approves the loans and advances of Corporate Banking division. The approval is mainly based on the risk analysis of the corporate clients done by the Corporate Banking division. The main function is monitoring credit facilities granted by the corporate banking unit. Its function is to make sure that credit has been provided in a right manner and also ensures that internal controls of the corporate relations are maintained.

Advances by commercial banks are made in different such as loan, cash credit, overdrafts, bills purchased, bills discounted etc. These are generally short-term. Advance may be granted against tangible security or in special deserving cases on an unsecured or clean basis.

In a loan account, the entire amount, the entire amount is paid to the debtor at one time, either in cash or by transfer to the current account. No subsequent debit is ordinarily allowed expect by way of interest, incidental charges, insurance premium, expenses incurred for the protection of the security etc. Sometimes, repayment is providing for by installment without allowing the demand character of the loan to be affected in any way. Interest is charge on the debit balance, usually with quarterly rests unless there is an arrangement to the contrary. No cheque book is issued. The security may be personal or in the form of shares, debentures, Government papers, immovable property, fixed deposit receipts, life insurance policies, goods etc.

Small & Medium Enterprise (SME):

SME finance in keeping strengthens with the prevailing economic policy of the country. The bank is financing in different sectors of SME sector of the country to a great extent. SME division in PBL is conducted by two heads or sectors i.e. Small Enterprise Financing and Consumer Financing program in accordance with the prudential regulations or the guidelines of Bangladesh Bank.

Small Enterprise means an entity, ideally not a public limited company, does not employ more than 60 persons (if it is manufacturing concern) and 20 persons (if it is a trading concern) and 30 persons (if it is a service concern) and also fulfills the following criteria:

• Service concern: Total assets Tk. 50,000 to 30 Lac (excluding land & building cost)
• Trading concern: Total assets Tk. 50,000 to 50 Lac (excluding land & building cost)
• Manufacturing concern: Total assets Tk. 50,000 to 1 Crore (excluding land & building cost)

Consumer financing means any financing allowed to individuals for meeting their personal, family or household needs.

Continuous Loan:

• Cash Credit (Hypothecation)

Cash Credit is a short-term cash loan to a company. A bank provides this type of funding, but only after the required security is given to secure the loan. Once a security for repayment has been given, the business that receives the loan can continuously draw from the bank up to a certain specified amount.

A cash credit is essential a drawing account against credit granted by the bank and is operated in the same way as a current account, in which an overdraft limit has been sanctioned. The principal advantages of a cash credit account to a borrower are that, unlike the party borrowing on a fixed loan basis, he may operate the account within the stipulated limit as and when required and can save interest by reducing the debit balance whenever he is in a position to do so. Cash credit is against personal necessity and by hypothecation of goods and bills receivables.

• Secured Over Draft

Overdrafts are revolving lines of credit. An overdraft is a fluctuating account wherein the balance sometimes may be in credit and at other times in debit. Overdraft facilities are allowed in current account only. The security may be in the form of shares, fixed deposit receipts, Government papers etc. A cheque book is issued in an overdraft account.

Term Loan:

• Lease Financing:

A lease financing or capital lease is a type of lease – the other being an operating lease. Lease financing effectively allows a firm to finance the purchase of an asset, even if, the firm never acquires the asset. Typically, a lease financing will give the lessee control over an asset for a large proportion of the asset’s useful life, providing them the benefits (and risks) of ownership.

• Term Loan:

A loan with a maturity of usually three to five years, during which time interest is paid, but no payments to reduce principal are made. The entire principal is due and payable at the end of the loan term. Customers will repay the loan by Monthly, Quarterly and Half yearly Installments.

Export Finance:

Export Finance interchangeably to mean the financing that an exporting business requires to help them run their business. The term “Export Financing” is used to mean “foreign buyer financing”, or simply Buyer Financing, or even Buyer Credit. Other synonyms often used are vendor financing or supplier financing.

• Back To Back

Back to Back import L/Cs against export L/Cs received by export oriented industrial units which opening a advise of the beneficiary under the bonded warehouse system.

• Payment Against Document (PAD)

In a Payment against document collection, the documents are released to the buyer/importer upon payment. Thus, the buyer/importer has to pay outright from his own financial resources. Alternatively, the importer may arrange for trade financing from his own banker (in the form of trust receipt, overdraft, loan, etc).

(Process of Loan (Disbursement:

The loan will be disbursed by crediting the account of the customer. Company opened an account for that customer with “Zero balance” for the loan purpose.

Following documents should be given at the time of application

For Businessmen & Self Employed professionals:

• Application form filled in
• Bank Statement: last 1 years
• Proprietorship Business A/C: Valid Trade License
• Partnership Business A/C: Certified true copy of Memorandum & Articles of Association with Form
• Details of security to be submitted
• Copy of valid Trade License & TIN certificate must be attest by Branch official
• Sales Manager as “O/S” – Original seen
• Tax Identification Number (TIN) & CIB clearance from Bangladesh Bank are required

 Charge documents and these documents importance:

• A Demand Promissory Note, Letter of Continuation. Letter of Lien and Set-off over Deposit. Letter of Hypothecation these documents are called charge documents.
• Incase the customer defaults on his installment payments, and then these documents will help PBL establish its right in court to liquidate his loan by en­cashing customer’s security.
• Only the owner but representatives of PBL must not sign or stamp a seal on these pages.

 Network & Software in PBL:

The Principal Branch of PBL is so big branch. Amount of tasks are directly related with IT. It is an online bank so that all computers of the branch are connected to each other through a server computer. The computer also connected with the main server of Head Office. All departments of the branch use Flora software and for clearing purpose they use NIKASH software.

 Flora Software: Flora is in-house banking software. Almost every bank in Bangladesh uses this software.  PBL bought this software from Flora Ltd. Its requirement is WINNT platform. This software is use in every department of the branch; like -front desk, cash, credit, accounts, clearing, foreign exchange etc.

 NIKASH software’. NIKASH is software which developed for entering and processing of clearing house data. This program is written under FoxPro database program. All banks are using this software for clearing purpose. This operation manual describes the 1^st house menu, receipt menu, payment menu; return house menu, clearing menu, maintenance menu and exit menu to prepare data diskette for clearing house. All necessary code file are include in this software.

Problem of Online Banking:

the main problem of Digital Data Network is that sometime the link goes down. At that moment the online transaction cannot be executed.

SWOT Analysis

The SWOT analysis comprises of the organization’s internal strength and weaknesses and external opportunities and threats. SWOT analysis gives an organization an insight of what they can do in future and how they can compete with their existing competitors. This tool is very important to identify the current position of the organization relative to others, who are playing in the same field and also is used in the strategic analysis of the organization.

Strength:

• Good management.
• A bulk of qualified and experienced human resource is the strength of  PBL

• Brand name.
• The sponsor firms (Square Group, Apex Group, ACI etc).
• Good customer service capabilities.
• Better product quality offer to the customer.
• Fully computerize and online banking.
• Foreign Remittance

Weakness:

• Less manpower.
• Less number of branches.
• More focus on Dhaka and Chittagong.
• The company gives online banking service but only cash tractions.
• Deposit is more then the advances.
• PBL has not that much good market share then the other
• commercial bank.
• Poor Marketing Strategy.
• Opportunity:
• Branch expansion.
• Business expansion.
• They can launch credit card.
• Expanding the company’s product line to meet a broader rage of customer needs.

• Start 24-hour banking.

Threats:

• Other commercial bank and the multi-national companies.
• Political instability and corruption are threatening Bangladesh’s economy.

• Natural disaster.

Findings

The banking sector in Bangladesh is not quite competitive. The private commercial banks that are currently operating in Bangladesh offering different service but there are few basic differences among them in terms of structure and performance. Thus, the competitions among them are increasing day by day. So, based on my experience & knowledge to progress in future, Prime Bank Ltd. must adopt some policy which will help the bank to capture a large number of clients in the market.

1. Prime Bank Ltd. could give more attention to advertisement and promotion of products, which is helpful to collect more deposits and increase investments scope. Bank could use various media for advertisement like TV, News Paper, Internet and Bill board.
2. Through the bank recently inaugurated the online baking system but still they maintain voucher for each transaction which spend a lot of time. This should be avoided.
3. The credit proposal evaluation process is lengthy. Therefore sometimes valuable clients are list. So, loan proposal processing should be completed in a very short time.
4. Branches of Prime Bank Ltd. are not sufficient as compared with other private banks. So, Bank should setup new branches to meet the demand of clients.
5. The website should be more attractive and have more information in it. Also, it should be updated regularly.
6. Innovation of new financial products is a rare case in Prime Bank Ltd. rather they hardly,up grade their offerings on the basis on some changes in interest rate and maturity.

Recommendation

People Management:

• To ensure that the training needs and development of staff are identified through the appraisal and supervision system and that the service unit’s plan reflects these needs, in order for them to be considered in the Division’s training plan.
• To ensure effective management of all aspects of the recruitment and selection process with due regard to the Equal Opportunities Policy.
• Salary structure should be improved.
• To contribute to, and participate in, departmental and corporate working parties, initiatives and internships as required.
• I o ensure the provision of documents and information as needed to demonstrate the effective implementation of policy and operation of the division in accordance with the relevant performance standards.
• To achieve service outcomes and outputs, and personal appraisal targets, as agreed with the line manager.
• To undertake training and constructively take part in meetings, supervision, seminars and other events designed to improve communications and assist with the effective development of the post and post holder.
• All duties and responsibilities within the framework. ATM service should be started as soon as possible.
• Customer service can develop by quick response.

Recommendation for Customer service:

• PBL should include more differentiate product in their consumer product; like- Foreign Currency Deposit Account, Resident Foreign Currency Account etc.
• They can improve their customer service introduced by call center, phone banking, given 24-hours banking etc.
• Customers are not so much aware about different product. PBL should be concern about it
• Customers are not so much aware about different charges. They claim to the bank after debiting their account. PBL can organize lift lets and paper materials to inform them before the imposition of new charges.
• Complaint management system is not so good. Bank can set up a complaint box and customer can put the complain letter into the box. At the day end open the box screening the letter and try to solve the problem or send to relevant manager or departments.
• More staffs need in front desk to attend the customers.
• The software, which is used for giving customer service, should be improved.
• Marketing strategy should be improved.
• For the advertising the product, they used normal staffs. They should appoint new employees for this segment. When these employees are for development, the normal official work is hampered.
• They can launch credit card as a customer service.
• Cash counter should be more systemic; because it’s a question about of security.

Recommendation for Credit Management:

• PBL should include more differentiate product in their consumer credit scheme; like- teacher loan, student loan, doctor credit scheme, personal loan for women etc.
• A good linkage is essential between front desk office & credit office. If a Loan application declines, front office officials face customer queries and dissatisfaction.
• Verification process needs to improve because customers do not want to disclose confidential information to unknown person.
• To encourage loan repayment loan closing fees and early settlement fees need to restructure.
• The management should emphasis more on the time lag between loan disbursement and loan recovery.
• The credit department should expand; like- recovery, valuation etc
• Head office and Branch communication gap should be minimize.
• Loan facility should be increased.
• Loan procedure should be clear and systematic.

Conclusion:

Banks play a vital role in the economic development of the country. The popularity of banks is increasing day by day which leads to increase competition as well. Currently 128 Banks are operating in Bangladesh. All the Commercial banks are offering almost the same products and services and almost same their operation system. But the ways they provide the services are different from each other. So people choose their Bank according to their satisfaction and need. And they will prefer the bank of which service is easily accessible and understandable. One the other hand, Bank innovate new products and services to attract their desired customers. Prime Bank also has different types of Credit Program. Consumer Credit Scheme is one of innovative program of PBL and this program is very much popular for its easy accessibility and easy procedures. Since the popularity of this scheme is increasing day by day, Prime Bank take it as a challenge to become a leader of CCS through innovative and the use of above mentioned recommendations.

To conclude this report it can be said that it was a great opportunity to study the operational activities of PBL. Having passed three months in PBL Mohakhali Branch, I have learned many activities practiced in the bank. Since the working areas were in Customer Relationship Management and Practice the report may not cover all the practices of the branch. The work experience in PBL Mohakhali Branch was very interesting and this experience will help me in great deal in my future life.

Prime Bank Limited is operating its branches on conventional based banking and Islamic Shariah based banking. Prime Bank Limited also a pioneer in online customers services, foreign exchange and distinctive loan offerings. In these ways PBL is helping in accumulating domestic savings, resource mobilization and creating job opportunities for many people which will gear up the economy as a whole.

Without bank’s cooperation it is not possible to run any business or production activity in this age. The job environment is very good at PBL Mohakhali Branch. At the same time the service which the bank provides to its customers are very prompt and quality ones compare to other foreign and private banks. So Prime Bank Limited will survive in the banking sector with the slogan “A Bank with a difference”.