Facilities and Problems of Services in Shahjalal Islami Bank

Executive Summary

To meet the requirement of the course outline as well as to comprehend the application of the theoretical knowledge in the practical fields, the internship report on the topic “Operation control system of General Banking division of Shahjalal Islami Bank Limited a study on satmasjid road branch” has been prepared. The main focus point of the project was to understand the ”identify the current facilities and problems of services” in the Bank. The “Shahjalal Islami Bank Limited” a Shariah Based Commercial Bank in Bangladesh was incorporated as a public limited company as on 1^st day of April 2001 under the Companies Act. 1994. The Bank started its commercial operation on May 10, 2001 by opening its 1^st branch, Dhaka Main Branch at 58, Dilkusha, Dhaka obtaining the license from Bangladesh Bank, the Central Bank of Bangladesh. Satmasjid road Branch of Shahjalal Islami Bank Limited is one of the important branches and also most profitable branch.

Shahjalal Islami bank ltd has been competing with other banks where all the banks are adopting different incentive programs to attract the customers. Accordingly, SJIBL is offering Different type of deposit scheme Bering highest rate of return. Mudaraba Deposit scheme, Monthly income scheme and Millionaire in scheme are the most popular offer that are completely new innovation in the banking and widely accepted by the clients.

Observed that the competition becomes intensive in the globalization process. Our country has also participated in the race for its existence. Therefore, it becomes obvious for us to increase the field industrialization. Shahjalal Islami Bank Limited is playing a with crumble down of the world economy caused by nine eleven attack. It is vital role in developing industry of the country and putting the national economy competitive with world economy. Developing country like Bangladesh urges a huge amount of investment both in the private and public sectors. Shahjalal Islami Bank Limited has been providing a lot of assistances regarding this investment process through its Investment and Foreign Exchange Department.

Chapter: 1

Introduction

1.1 Abstract:

This study will explore or identify the current facilities and problems of products and services in Shahajalal Islami Bank Limited. identify the Problem, an exploratory research design will be selected.To obtain the essential information for the study the researcher will use depth interview method. The researcher will collect all primary data through structured questions.

Convenience sampling method will be utilized to collect data from a total 500 clients in Shahajalal Islami Bank Limited.

1.2 Introduction :

Shahjalal Islami Bank commenced its operation as a commercial bank on 10 May, 2001 under the Bank Companies Act, 1991. This bank follows Islamic Shariah strictly. SJIBL started functioning with a vision to develop itself as a unique Islami bank of the country with all modern

services and products available for the clients. And at the same time it would contribute for sustainable growth of the national economy.

All the activities of the bank are continuously monitored by the Shariah Council of the bank for implementation and compliance of Islamic Shariah principles. The council is constituted of prominent ulemas, experienced bankers, reputed lawyers and eminent economists of the country.

Purpose of the Study:

The Main purpose of the study is to fulfill the requirement of 3(three) credits internship course. Before completing the graduation, all of the BBA  students need to do three months internship program. It will help students to have the practical idea about working in corporate environment.

1.4 Objective of the Study :

The main objective of the report is to fulfill the requirement of BBA program. For this I had to attach with an organization and I choose SJIBL. For this I have some practical job related experience with my academic knowledge.

The objective of the study may be viewed as:

• Broad objective
• Specific objective

1.1.1. Broad Objective:

The general objective of this report is to complete the internship program and submit a report. As per requirement of BBA program of Northern CollegeBangladesh, one student needs to work in a business organization for three months to acquire practical knowledge about actual Business operation.

1.1.2. Specific Objective:

• To present an overview of Shahjalal Islami Bank Limited.
• A general description of the banking services of Shahjalal Islami Bank Limited.
• To submit a brief description about the problems of these services.

1.1.3. Other Objectives:    

This report on SJIBL is prepared for some distinguished objective, which is as follows:

• To fulfill academic requirement;
• To gather knowledge about banking companies operations in practical field.
• To gather practical knowledge and real life experience in official environment.
• To apply theoretical knowledge in the practical field.
• To observe the working environment in commercial banks.
• To study existing banker customer relationship.
• To identify a link between practical operational aspects of the Bank to complementary the theoretical lessons
• To get an overview of the private Banking in our country

Chapter: 2 

Overview of Shahjalal Islami Bank Limited (SJIBL)

2.1 Ouick view of Shahjalal Islami Bank Limited :

Shahjalal Islami Bank Limited (SJIBL) commenced its commercial operation in accordance with principle of Islamic Shariah on the 10th May 2001 under the Bank Companies Act, 1991. During last ten years SJIBL has diversified its service coverage by opening new branches at different strategically important locations across the country offering various service products both investment & deposit. Islamic Banking, in essence, is not only INTEREST-FREE banking business, it carries deal wise business product thereby generating real income and thus boosting GDP of the economy. Board of Directors enjoys high credential in the business arena of the country, Management Team is strong and supportive equipped with excellent professional knowledge under leadership of a veteran Banker Mr. Muhammad Ali. And the College Gate Branch of SJIBL was established in mid of 2009.Now,SJIBL has 63 branches, 1 offshore banking unit, 6 SME centres,16 ATM booths and more than 1600 employees.

2.2 Vision and Mission of SJIBL:

Vision:

To be the unique modern Islami Bank in Bangladesh and to make significant contribution to the national economy and enhance customers’ trust & wealth, quality investment, employees’ value and rapid growth in shareholders’ equity.

Mission:

• To provide quality services to customers.
• To set high standards of integrity.
• To make quality investment.
• To ensure sustainable growth in business.
• To ensure maximization of Share holders’ wealth.
• To extend our customers innovative services acquiring state-of-the-art technology blended with Islamic principles.
• To ensure human resource development to meet the challenges of the time.

Organizational Activities of Satmasjid Road Branch:

Organization structure

2.6 Origin of the Report:

In the backdrop of economic liberalization and financial sector reforms, a group of highly successful local entrepreneurs conceived an idea of banking system. For them, it was competence, excellence and consistent delivery of reliable service with superior value products.

Global financial crisis, high commodity prices especially oil, metal and food adversely affected economic growth. The crisis in financial market was the result of three failures: (a) regulatory and supervisory failure in advanced economies; (b) failure in risk management in the private financial institution; (c) failure in market discipline mechanisms. Banking business today has become more uncertain and challenging due to global integration of financial markets, increased competition and maintenance of asset quality, innovation, changed technology, and focus from corporate banking to SME & Retail banking.

Internship is an important part for a B.B.A course. It helps to know about the professional world. An intern works as an employee. So he or she can gather knowledge about the sector in which they worked. I am a BBA student and Internship an important part for completing my BBA. To completing my Internship I select banking sector, because I am interested on this sector. I make a report on it. And this report will help me to understand the culture of work in a bank. I have mentioned all the things in the report whatever I have learned and have known from my internship.

 Background Shahjalal Islami Bank Limited (SJIBL):

I have to prepare a report on the “General Banking Operation of Shahjalal Islami Bank Ltd.” for the partial fulfillment of the internship course of BBA program. In this report I will include what credit schemes are offering by the Shahjalal Islami Bank Ltd., and also function of General Banking, which will easily understandable to the readers.

Bank is the heart of the economics and banking is the blood circulation of country’s economic growth. Banks perform a significant role to serve the needs of the society in different sectors, such as: capital formation, large scale of production, industrialization, growth of trade and commerce etc. and banks are contributing a lot of aspect.

Shahjalal Islami Bank Bangladesh Limited has already emerged as one of the world wide recognized banks due to its retail product management which are part of general banking according to the principles of Islamic Shariah. Islamic banking is a new diminution of interest free banking where ‘Riba’ or interest is strictly prohibited. So I have tried to represent their performance and problems and prospects on the ground of general banking.

The “Shahjalal Islami Bank Limited” a Shariah Based Commercial Bank in Bangladesd was incorporated as a public limited company as on 1^st day of April 2001 under the Companies Act. 1994. The Bank started its commercial operation on May 10, 2001 by opening its 1^st branch, i.e. Dhaka Main Branch at 58, Dilkusha, Dhaka obtaining the license from Bangladesh Bank, the Central Bank of Bangladesh.

Its corporate head office is situated at 10, Dilkusha Commercial Area, Jiban Bima Bhaban, Dhaka-1000, and Bangladesh. The Bank opened 2 (Two) branches in 2001, 6 (six) branches in 2002, 2 (two) branches in 2003, 2 (Two) branches in 2004, 4 (four) branches in 2005, 5 (five) branches in 2006, 5 (five) branches in 2007, 7 (seven) branches in 2008. Total number of branches stood at 63 (Thirty three) in 2010and the Bank opened 6 (Six) SEM Centers in 2010 at important business locations of the country. Besides this, the Bank is taking all initiatives to open more 15 (Fifteen) branches, 5 (Five) SMECenter and 8 (Eight) branches of brokerage house in Dhaka and some other important place of the country in the year 2010.

The Bank has made a significant progress within a very short period of its existence and occupied an enviable position among its competitors after achieving remarkable success in all areas of business operation. The authorized capital of the Bank is Tk. 6,000 million and Paid up capital of the Bank stood at Tk. 7,747 million as on 31 December 2010.

The Bank Board generally deals with policy matters relating to management of Business and sets goal for the growth & development of the Bank as a whole, review of the same from time to time and gives necessary guidance to the management.

The Bank is managed by a Team of professional Executives and Officials having profound banking knowledge & expertise in different areas of management and operation of Banks. The Team is headed by the immediate past Executive President and CEO of Islami Bank Bangladesh Ltd. (IBBL) for about 10 years. During his Incumbency, IBBL attained a remarkable growth & development. Above all, he had the opportunity to hold the position of Chairman of the Board of Directors of Islami General Insurance Company & then he Joined Shahjalal Islami Bank Ltd on February 25, 2004 as the Managing Director and Chief Executive Officer (CEO) to enrich Islamic Banking methodology in the Country.

During the short span of time, Shahjalal Islami Bank so far introduced a good number of attractive deposit products to broaden the resource base and also Investment products to deploy the deposit resources so mobilized. Some more schemes covering the deposits, Investments & Services will be introduced gradually in near future suiting to the taste and requirement of the clients. The Bank has a strong Shariah Council consisting of prominent Ulama, Fuquah & Economists who meet periodically to confer decisions on different Shariah issues relating to Banking Operation & to address them and to give necessary guidance to the management on Shariah Principle. Since inception, Bank has been performing in all the sectors i.e. general Banking, Remittance, Import, Export and Investment. All our branches are fully computerized having on line Banking facility for the clients.

All activities of the Bank including its products and services are mainly for different economic groups of Bangladesh at home & abroad. Bangladeshi expatriates living abroad in different countries form a strong economic group who contribute greatly towards the economic development of the country.

2.8 Shahjalal Islami Bank Limited at a Glance:

With a view to materialize the dream of the people of Bangladesh for doing their banking transactions in line with what is prescribed by Islam, a group of highly successful entrepreneurs conceived an idea of floating a commercial bank styled as “Shahjalal Islami Bank Limited” which is named after the name of the renowned saint Hajrat Shahjalal (R) who dedicated his life for the cause of peace in this world and hereafter and for the service of humanity. The sponsors are reputed personalities in the field of trade & commerce, industry and finance.

“Shahjalal Islami Bank Limited” offers the full range of banking services for personal and corporate customers, covering all segments of society within the framework of Banking Company Act and rules and regulations laid down by our central bank. The Bank is being managed by a group of highly experienced professionals with diversified experience in finance and banking.  The Management of the bank constantly looks after customers’ satisfaction and believes that a satisfied customer is a great Ambassador. The Bank has already achieved tremendous progress within ten years. The bank has already ranked as one of the quality service providers & is known for its reputation. By now, the Bank established correspondent Banking relationship with 18 Banks covering their global network of 385 branches/units of International repute at different important locations. It also established accounting relationship with 10 Banks and maintaining 22 NOSTRO Accounts in 8 (eight) major Currencies at different convenient locations.

The Board of Directors of this Bank consists of reputed Industrialists and Businessmen who are successful in their respective fields headed by Mr. Sajjatuz Jumma, the Chairman of the Board who is an eminent Industrialist & reputed businessman in Bangladesh and current Chairman of Islamic Banks Consultative Forum (IBCF).  The Bank is managed by a Team of professional Executives and Officials having profound banking knowledge & expertise in different areas of management and operation of Banks.

2.11 Slogan of SJIBL:

Slogan, with which the bank has been step forward, is-

“Committed to Cordial Services

2.12 Bank Operational area:

All branches of Shahjalal Islami Bank Limited are divided into three departments:

• General Banking Department.
• Foreign Exchange Department.
• Investment Department.

2.14.1 General Banking Department:

General banking department is one of the most important departments of Shahjalal Islami Bank Limited. Basically bank provides the main services to the customer through this department. In general this section of the Shahjalal Islami Bank Limited is divided into five sections.

• Accounts opening section
• Cash section
• Remittance section
• Bills and clearing section
• Accounts section

2.14.2 Foreign Exchange Department:

Banks play a very important role in effecting foreign exchange transaction of a country. Mainly transactions with overseas countries are in respect of imports; exports and foreign remittance come under the purview of foreign exchange department. Banks are the vital sectors by which such transactions are effected /settled. Central Bank records all sorts of foreign exchange transactions.

The other banks dealing with foreign exchange are to report to Bangladesh Bank regularly (viz. daily, monthly, quarterly, yearly etc.). The foreign exchange department consists of three sections. They are:

• Import section
• Export section
• Foreign remittance section

2.14.3 Investment Department:

Banking business consists of borrowing and lending, Bank act as an intermediary between surplus and deficit economic units. Thus a banker is a dealer in money and credit. Banks accept deposit from large number of customers and then lend a major portion of the accumulated money to those who wish to borrow. In this process banks secure reasonable return to the savers, make funds available to the borrowers at a cost and earn a profit after covering the cost of funds. Banks, besides their role of intermediation between savers and borrowers and providing an effective payment mechanism, have been allowed to diversify into many new areas of better paying business activities.

The operational area or principal activities of the Bank are to provide all kinds of commercial banking products and services to the customers including:

• Deposits taking,
• Cash withdrawal,
• Extending investments to corporate organization,
• Retail and small & medium enterprises,
• Trade financing,
• Project finance,
• Working capital finance,
• Lease and hire purchase financing,
• Issuance of Debit Card.

Its vision is to be the best private commercial bank in Bangladesh in terms of efficiency, capital adequacy, assets quality, sound management and profitability.

With a view to skill the manpower, Shahjalal Islami Bank Limited established TrainingCenter at Uday Sanz,Plot no,Se(A)2/B Gulshan South Avenue Gulshan-1, Dhaka-1212. Form the inception of training center various subject are taught like:

• Islamic Banking,
• General Banking,
• Investment Mechanism,
• Foreign Exchange,
• Modern Technology of IT,
• Asset Management,
• Customer Service etc.

Besides this, newly recruited employees are trained through Foundation Course which is arranged by training center.

The bank always laid emphasis on human resource development. To attract and retain qualified and efficient staff, the Bank has formulated a number of well thought policies for the welfare of its employees, in the form of Gratuity fund, Social Security Fund, Employees House Building Investment Scheme, Employees Car Financing Scheme, Benevolent Fund & Employees House Furniture Allowance etc.

2.13 Achievement:

Despite changing macro-economic condition and volatile money market & foreign exchange market, Shahjalal Islami Bank Limited was successful in achieving much higher than national growth in deposit, Investment (Loan), export, and import & remittance business.

The ratio of non-performing investment is within the acceptable range of 0.44%.the fact that non-performing investment ratio remained below 1% indicated that the strategy of quality growth by adhering to compliance in all spheres of operations is working well.

During the year under review, the bank maintained the progress in all areas of business through its thirty-three branches. The operating profit before provision & tax registered an impressive growth of 37.64 percent during the year. The operating profit before tax stood at taka 2,960 million.

Strong profit performance was attributable to its sustained deposit and investments growth, maintaining the good asset quality, enhancing productivity and investment in shares through brokerage house.

At the very inception, Bank started with an authorized capital of Tk.800 million. While its initial Paid up Capital was Tk.205 million subscribed by the sponsors in the year 2001.

 2.14 Divisions and Activities:

 2.17.1 Finance Administration Division (FAD)

 This division is working to take day to day financial information about the organization. Reconcile all the head of accounts it will provide Financial Statement information to the Board of Directors and share holders annually and semi-annually.

2.17.2 MD Secretariat Division

This division is specially working for keep the communication between Managing Director of Shahjalal Islami Bank Limited and its Board of Directors.

2.17.3 Human Resource Division (HRD)

This division is working for satisfy the organization’s manpower needs. This division is responsible for recruitment of employees, give training to them to adjust with works of the bank and placement of them.

2.17.4 International Division (ID)

This division is responsible for international transactions, competitive currency exchange rate, and many other foreign exchange related activities.

2.17.5 General Banking Division

This division is responsible for keeping different accounts, clearing house activities, inter-branch transactions, cash related activities and so many other activities.

2.17.6 Marketing Division

This division is responsible for all types of promotional activities of products or services of the bank.

 2.17.7 Foreign Trade Division

 This division is special type of divisions which is working for finance the export and import trade of Bangladesh.

2.17.8 Credit Division

 This division is responsible for the activities regarding different types of loan products. This division is one of the traditional divisions of banking sector.

2.17.9 System and Operation Division

 This division is responsible for printing of different types of negotiable instrument books, form, and buying other technical instruments and their repair for official uses.

 2.17.10 Share Division

 This division is especially responsible for share related activities, such as activities for own bank share holders, work as underwriter for other organization’s share and so on.

2.17.11 Credit Administration Division

 This division is responsible for credit related rules and regulations of the bank and formulation of new policy and strategy regarding credit.

2.17.12 Internal Control and Compliance

 This division is responsible for auditing of all activities of the bank to see whether any fraud or misappropriation has done by anyone or group of people.

2.17.13 Trade Finance Division

This division is responsible for financing different kind of business industries and sectors for the prospect of the economy of Bangladesh.

2.19 At a glance Profitability of position of the bank for Last 5 years

Table- 5: Profitability of position of the bank for Last 5 years

e Fee at SJIBL ATMs   Account is not required for Prepaid cards   SMS Notification Service

Requirements

SJIBL VISA Debit Card – Local

SJIBL VISA Prepaid Card (Local / International / Dual)

SJIBL VISA Prepaid – Local / Souvenir Card

Usage Limit

SJIBL VISA Card usage

SJIBL ATM Location

Shahjalal Islami Bank Limited is providing ATM services to its valuable cardholders 24/7 for 365 days. At present the Bank has 15 ATM’s of its own and also providing ATM services to its customer’s through shared ATM with Q-Cash member Banks, DBBL, Brac Bank and other VISA ATMs.

05.SMS Service :

Welcome to the convenience of accessing your banking needs from anywhere anytime. Shahjalal Islami Bank again fulfilled the demand of time in the era of modern banking technology by introducing the Mobile banking i.e. SMS / Push Pull Service. We offer a range of ways for you to access and manage your money.

Mobile Banking is a secured & flexible solution that delivers the banking services to its customers through a range of mobile devices using SMS / Push Pull technology. It provides banking services to the registered clients access to account information and real-time transaction capabilities from the mobile phones at a true “Anywhere, Anytime, Anyhow” convenience.

As a leading private sector bank in Bangladesh the Shahjalal Islami Bank Limited presents the Mobile banking i.e. SMS / Push Pull service.

Services

1. Balance Inquiry
2. Cheque Book Request
3. Cheque Leaf Status
4. FC Rate Information
5. Cheque Stop Payment Instruction
6. Statement Request by Courier/Post
7. Statement request by E-mail
8. Last Three Transaction Statement
9. Help inquiry
10. PIN Change

06. Internet Services:

Shahjalal Islami Bank is computerized and provides the following services some of these services will be introduced soon. Shahjalal Islami Bank Limited introduced a few schemes, which are very popular

• Online services
• Automated Accounting
• Integrated System
• Signature Verification
• Any Branch Banking
• ATM Services
• POS Services
• SMS Push Pull Services 9. Other Delivery Channel Services (to be implemented)

3.2 Research Methodology

 3.1.1 Research Design

With the intension of identify Problems, an exploratory research design has selected as suitable for this study. The purpose of the study is to investigate current problems in products and services of Shahjalal Islami Bank Limited.

3.1.2Research Approach

The main purpose of this research is to find out the Problem in products and services of Shahjalal Islami Bank Limited.In order to get the essential information for the research the researcher is suggesting qualitative research. To identify the problems the researcher will use several questions for primary data, there be taken depth interviews, conduct expert survey, and use secondary data.

3.1.3 Sampling

1.Target population: total 50 clients in Shahajalal Islami Bank Limited.

2.Elements: Which  clients are involved in this bank and other banks for last five years. 3.Extent:Dhaka city.

4.Sampling frame: Sampling frame for the study has collected from Shahajalal Islami Bank Limited (SJIBL) has a detail list of Clients of Dhaka city.

Sample size: Clients = 50.

5.Organization experts: 3.

6.Sampling procedure: Convenience sampling procedure has been selected for this study.

            3.1.4 Research Instruments

Structured interview question has used for depth interview.

            3.1.5 Data Collection Procedure

Interview method has used for data collection.Before taking interview have made some structure interview question. This was face to face interview.

            3.1.6 Questionnaire:

Three structured Questionnaire was utilized for this project.  Most of the Questions  open ended. Questions was based on specific objectives of the project.

3.3 Limitations of the Study 

This study limits in several areas:

1. The study was coverd only the clients of Dhaka city. Therefore it was unable to provide the overall scenario of the country.
2. The data that was collected at a particular period
3. The sample is limited in terms of its size and composition.

Chapter-4:

Data Analysis

01.Account Services:

Questionnaire:

which questionnaire are used to find out the problems of account services in Shahjalal islami Bank Limited.Those are given below

• Do you face any problems in account services of Shahjalal Islami Bank Limited?
• What are the problems in account services of Shahjalal Islami Bank Limited?

Problems:

Problems are given below:

• Yes.there are some problems in account services of Shahjalal Islami Bank Limited.
• Lack of setting arrangement for the waiting customers.
• Sometimes it seemed to me that charges and other fees are very high compared to other private banks. It frequently creates customer dissatisfaction.
• Sometimes the Customer Service Officers were so busy that it creates delay to the customer service. And at the end of the day the closing were also delayed.
• Charges of statement or certificates are very high.
• Shahjalal Islami Bank Limited also hasn’t proper monitoring system.
• Branches are very much enthusiastic to provide more service to the clients. General Banking Division is an efficient department. They are very much prompt to give decision to their valued client. Head Office Credit committee sits regularly on weekly basis. They never keep any things pending.
• Lack of good cooperation is identified among the work procedures and among the employees of the bank, which results in lengthiness and ineffective service. The employees of the bank cannot provide effective and efficient services to the customers because of lack of computer facility.

2.Deposit Schemes:

Questionnaire:

which questionnaire are used to find out the problems of Deposit Schemes in Shahjalal islami Bank Limited.Those are given below:

• • Do you face any problems in Deposit Schemes of Shahjalal Islami Bank Limited?
  • What are the problems in Deposit Schemes of Shahjalal Islami Bank Limited?

Problems:

Problems are given below:

• Yes.there are some problems in Deposit Schemes of Shahjalal Islami Bank Limited.
• Huge procedure.
• Deposit interest rate is low between the other banks.
• After maturity In fixed deposit they deducted some other charges.
• Long procedure to withdraw interest.
• It is not so much well-known Bank.
• The investment of the branch is too low in comparison to the total deposits of the branch.
• Limited Market Share.

03.Loan Services:

Questionnaire:

which questionnaire are used to find out the problems of Loan Services in Shahjalal islami Bank Limited.Those are given below:

• Do you think there has any problems in Loan Services of Shahjalal Islami Bank Limited?
• What are the problems in Loan Services of Shahjalal Islami Bank Limited you think?

Problems:

Problems are given below:

• Yes.there are some problems in Loan Services of Shahjalal Islami Bank Limited.
• High interest rate.
• Long Procedure.
• They want huge papers for loan processing.
• Without mortgage nobody can not get more amount of money.
• There some limitation of companies who are not allow to get loan.
• The Bank has given less emphasis on long-term financing.
• Shahjalal Islami Bank Limited has lack of strong supervision for which loans are defaulted.
• In terms of repayment large loan has performed better than small sized loan.
• Dependent on fixed deposits.
• Limitation in ages of the client.

04.ATM Card Services:

Questionnaire:

which questionnaire are used to find out the problems of ATM Card Services in Shahjalal islami Bank Limited.Those are given below:

• Do you face any problems in ATM Card Services of Shahjalal Islami Bank Limited?
• What are the problems in ATM Card Services of Shahjalal Islami Bank Limited?
• What kind of problems is more affected in this bank you think

Problems:

Problems are given below:

• Yes.there are some problems in ATM Card Services of Shahjalal Islami Bank Limited.
• More charges between some other bank.
• Not more ATM both.
• Most of the time there were problem with the ATM machine. In ATM, It sometimes remained out of order, some time out of cash and sometimes customer face the problem of cash and credit capture.
• Cash withdrawal limit (total time).
• Cash withdrawal limit (amount).

05.SMS Service:

Questionnaire:

which questionnaire are used to find out the problems of SMS Services in Shahjalal islami Bank Limited.Those are given below

• Have  you faced  any problems in SMS Services of Shahjalal Islami Bank Limited?
• What are those problems in SMS Services of Shahjalal Islami Bank Limited that you faced?

Problems:

Problems are given below:

• Yes.there are some problems in SMS Services of Shahjalal Islami Bank Limited.
• Limited branch network.
• Charges of SMS Service are very high

06. Internet Services:

Questionnaire:

which questionnaire are used to find out the problems of Internet Services in Shahjalal islami Bank Limited.Those are given below:

• Do you face any problems in Internet Services of Shahjalal Islami Bank Limited?
• What are the problems in Internet Services of Shahjalal Islami Bank Limited?

Problems:

Problems are given below:

• Yes.there are some problems in Internet Services of Shahjalal Islami Bank Limited.
• This bank started on-line service newly. As a resulted customers are not getting the full service by the on-line service. Sometimes they have to face problem with on-line account.
• The number of human resources in the Computer section is really insufficient to give services to huge number of customers.
• Absence of an upgraded website.

Chapter-5:

Finding

01.Account Services Problems:

• Lack of setting arrangement for the waiting customers.
• Sometimes it seemed to me that charges and other fees are very high compared to other private banks. It frequently creates customer dissatisfaction.
• Sometimes the Customer Service Officers were so busy that it creates delay to the customer service. And at the end of the day the closing were also delayed.
• Charges of statement or certificates are very high.
• Shahjalal Islami Bank Limited also hasn’t proper monitoring system.
• Branches are very much enthusiastic to provide more service to the clients. General Banking Division is an efficient department. They are very much prompt to give decision to their valued client. Head Office Credit committee sits regularly on weekly basis. They never keep any things pending.

Lack of good cooperation is identified among the work procedures and among the employees of the bank, which results in lengthiness and ineffective service. The employees of the bank cannot provide effective and efficient services to the customers because of lack of computer facility

2.Deposit Schemes Problems:

• • Huge procedure.
  • Deposit interest rate is low between the other banks.
  • After maturity In fixed deposit they deducted some other charges.
  • Long procedure to withdraw interest.
  • It is not so much well-known Bank.
  • The investment of the branch is too low in comparison to the total deposits of the branch.
  • Limited Market Share

03.Loan Services Problems:

• High interest rate.
• Long Procedure.
• They want huge papers for loan processing.
• Without mortgage nobody can not get more amount of money.
• There some limitation of companies who are not allow to get loan.
• The Bank has given less emphasis on long-term financing.
• Shahjalal Islami Bank Limited has lack of strong supervision for which loans are defaulted.
• In terms of repayment large loan has performed better than small sized loan.
• Dependent on fixed deposits.
• Limitation in ages of the clients

04.ATM Card Services problems:

• More charges between some other bank.
• Not more ATM both.
• Most of the time there were problem with the ATM machine. In ATM, It sometimes remained out of order, some time out of cash and sometimes customer face the problem of cash and credit capture.
• Cash withdrawal limit (total time).
• Cash withdrawal limit (amount).

05.SMS Service Problems:

• Limited branch network.
• Charges of SMS Service are very high.

06. Internet Services Problems:

• This bank started on-line service newly. As a resulted customers are not getting the full service by the on-line service. Sometimes they have to face problem with on-line account.
• The number of human resources in the Computer section is really insufficient to give services to huge number of customers.
• Absence of an upgraded website.

Chapter-6:

Recommendation

01.Account Services

• Customer service should be faster than that of some other banks.
• As authorized dealers SJIBL,must follow of rules regulation regarding to currency transactions in all aspects. It should time to time provide all necessary information to officers of all department for adequate knowledge about applying rules and regulations in every related transaction.
• Giving better customers service.
• To arrange more employee for reducing the pressure.
• The employees must give enough time to the customers while talking with them. Otherwise, the customer may feel they are not that much cared. If a customer asks anything again and again, the employees should keep patience and answer.

• Yearly charge should be lower.

• Individual attention should be given to customers in order to better understand their needs and better satisfy them.

• Statement or certificates charges should be reduces.

02. Deposit Schemes

• SJIBL has to ensure employee satisfaction.
• The recording procedures and documents keeping process of in this department must be improved through sequential effort system and for all type recoding of this department should be computerized to get this improvement.
• Customer of this department should be offered occasional gifts and discounts, attractive incentives that can make service more attractive and keep consumer delight.

• New investment schemes should be introduced to meet customer demands.

03.Loan Services

• The process opening documentary credit and steps followed by SJIBL to settlement of documentary credit should be liberalized as much as possible.
• Investment department of SJIBL, should provide adequate computerized network facilities that will ultimately provide supports to all officers of this department and as well as improve quality of customer service by increasing swiftness of activity.
• SJIBL have kept huge number of files regarding to export and import. As the huge volume of files is kept so it’s not all time possible for officers to keep proper format of those files so all officers of this department should try to reduce these irregularities.

• Provide more credit facilities for SME.
• Provide more credit facilities without securities.

04.ATM Card Services

• SJIBL provide a lot of ATM booth for there client but problem is that some time technical problems are occurring. So they should look after it carefully.
• ATM Facility should be increased.

• Cash withdrawal limitation (total time) should be increase.

• Cash withdrawal limitation (amount) should be increase.

05.SMS Service

• SJIBL should improve its technological support and communication network system by using different advance technological support system.
• They should increase branch network.

• Employee trainings and workshops should be administered in order to give them knowledge and professionalism in customer interactions.

06. Internet Services

• The website of SJIBL should upgrade regularly.

• Introducing high technology in banking sector and provide training facilities for banker.

• I want to recommend to Bangladesh Bank, that they should Emphasize Online banking for both of Private and public banking. Because this is the way that the banking sector can reach the optimistic level.

As above those all incentives that are necessary to improve the quality of service of the foreign exchange department of SJIBL must be taken. SJIBL as service providing organization provides services through all its departments so quality of services must be increased to attract and extend customers.

Chapter-7: 

Conclusion

Shahjalal Islami Bank Ltd, Satmasjid Road branch is one of the most potential Islami banks in the Islami banking sector. It has a large portfolio with huge assets to meet up its liabilities and the management of this bank is equipped with the expert bankers and managers in all level of management. So it is not an easy job to find out the drawbacks of this branch as a new branch. But the branch needs more employees for its substantial growth. I would rather feel like producing my personal opinion about the ongoing practices in  Satmasjid Road Branch.

Shahjalal Islami Bank limited is a leading Private Islami bank in Bangladesh with superior customer bases that are loyal, faithful, worthy towards the bank. The service provided by the young energetic officials of the Shahjalal Islami Bank Limited is very satisfactory. As an Islami bank SJIBL has to follow the rules of Bangladesh bank despite the fact that these rules sometime restrict the foreign business to some extent. During my internship in this branch I have found its General Banking and Investment department to be very efficient; therefore this department plays a major role in the overall profitability of the branch and to the Bank as a whole.

The Bank’s drive towards market leadership as well as quality in choosing business will continue in the coming years although competition is intensified with the opening of more financial institutions. The Bank is optimistic that the volume of business will increase in future through pragmatic and market friendly policies. The Bank shall continue to explore new Branches for Banking. We shall endeavor to adopt customer-oriented policies and introduce new techniques that will help to earn profit and increase greater confidence of the existing/ prospective customers. If Shahjalal Islami Bank Ltd,  satmasjid Road Branch adopts professionalism within the frame work of Shariah, they will be able to earn handsome “Halal Profit” and higher return to the depositors and share holders. Ultimately, public will get more confidence on this type of Banking.