Acknowledgement

Thanks and again thanks to Allah Almighty,

who pulled us through the times when every stone was
turned against us.
He and only He dawned new horizons for us when the
darkest fog made us blind,
who is really the Best Manager of the entire universe.
Without His consent, nothing is possible.
Thank You Allah Almighty.
Thanks from the recesses of our hearts to our to
the Most Respected Teacher, Professor Naveed Iqbal
Chaudary
for his Untiring efforts, His Valuable Guidance and Precious
Advices
are rare Assets for Us.
We would also like to pay a very special Thanks to Mr. Malik
Javed (Finance Manager) and Mr. Saqib Hassan
(relationship officer) for giving us some moments from their
busy routines and providing us such valuable information.

1
Dedicated to:
Our Honorable Teachers & Loving Parents
Whose,
Love, Affection, Motivation, Patience, Support
&
Spiritual Inspirations
Give us Encouragement,
To all those People who have quenched for Knowledge,
To all those who have dedicated their lives to others,
To all of those who have served and sacrificed for
Sake of Freedom
To all of those people, who may be gone now,
But they will never be
Forgotten....

2
Purpose of the Study:
“Practice makes the man perfect” is a proved saying.
So, the purpose of this project is to get
the know how about the working procedure of
H.R.Department.
It is purely study base project,
which we have accomplished by the grace of ALLAH.
We learned lot of experience and so more.

3
 EXECUTIVE SUMMARY

Allied Bank was the first Muslim bank to have been established in
Pakistan.

Established in December 1942 as the Australasia Bank in Lahore with a

paid-up share capital of Rs. 0.12 million under the Chairmanship of
Khawaja Bashir Bux, the Bank attracted deposits equivalent to Rs.
0.431 million in its first eighteen months of business.

At the time, the Bank’s total assets amounted to Rs. 0.572 million.
Today, Allied Bank's paid up Capital & Reserves amount to Rs. 10.5
billion, deposits exceed Rs. 143 billion and total assets equal Rs. 170
billion.

4
 COMPANY PROFILE

Type Public
Founded as "Australasia Bank", 1942 Lahore,
Pakistan
Headquarters Lahore, Pakistan
Industry Finance and Insurance
Products Financial Services
Revenue PKR (▲) (2004)
Website www.abl.com.pk

5
 INTRODUCTION
Allied Bank Limited was the first bank to be established in Pakistan. It
started out in Lahore by the name Australasia Bank before
independence in 1942; was renamed Allied Bank of Pakistan Limited in
1974 and then Allied Bank Limited in 2005.

In August 2004, because of capital reconstruction, the Bank’s

ownership was transferred to a consortium comprising Ibrahim Leasing
Limited and Ibrahim Group.

Today, with its existence of over 60 years, the Bank has built itself a
foundation with a strong equity, assets and deposit base. It offers
universal banking services, while placing major emphasis on retail
banking. The Bank also has the largest network of over 700 online
branches in Pakistan and offers various technology-based products and
services to its diverse clientele.

6
MISSION
• To provide value-added services to our customers
• To provide high-tech innovative solutions to meet
customer requirements
• To create sustainable value through growth, efficiency
and diversity for all stakeholders
• To provide a challenging work environment, and reward
dedicated team members
• To play a proactive role in contributing towards the
society

VISION
To become a dynamic and efficient bank providing integrated solutions
and the first choice of bank for all customers.

VALUES
• Integrity
• Excellence in Service
• High Performance
• Innovation and Growt

7
 History
The Bank’s journey has been about dedication, commitment,
professionalism and adapting to environmental changes, leading to its
immense growth and stability.

It is these factors that have made it a Bank the rest look up to.

The Pre Independence History (1942 to 1947)

In the early 1940s, the Muslim community was beginning to realize the
need for its active participation in the fields of trade and industry.
Since the late 1880s, Hindus had established a commanding presence
in the areas of industry, trade and commerce and were especially
dominating in the Sub-continent area. Banking, in particular, was the
exclusive forte of Hindus and it was popularly and wrongly believed
that Muslims were temperamentally unsuited for this profession.

Mr. S.R. Jariwalla (sitting in the center) A legendary

figure in the history of the Bank.

It was particularly upsetting for Khawaja Bashir Bux

to hear that “Muslims could not be successful bankers”. He decided to
step-up to that challenge and take the lead in establishing this first
Muslim bank by the name Australasia Bank Limited in Punjab, which
was to become Pakistan in December 1942.

The initial equity of the Bank amounted to Rs 0.12 million, which was
raised to Rs. 0.5 million by the end of the first year of operation, and
by the end of 30th June 1947 capital increased to Rs. 0.673 million and
deposits raised to Rs 7.728 million.

The Pre Independence History (1947 to 1974)

Australasia Bank was the only fully operational Muslim bank in Pakistan
on August 14th, 1947.

A view of the building in Lahore that once housed

the Australasia Bank branch.

8
However, it was severely hit by the riots in East Punjab. The Bank was
identified with the Pakistan Movement. At the time of independence all
the branches in India, (Amritsar, Batala, Jalandhar, Ludhiana, Delhi and
Angra (Agra)) were closed down. New branches were opened in
Karachi, Rawalpindi, Peshawar, Sialkot, Sargodha, Jhang, Gujranwala
and Kasur. Later, the network spread to Multan and Quetta as well. The
Bank financed trade in cloth and food grains thus, played an important
role in maintaining consumer supplies during the early months of 1948
affected by riots. Despite the difficult conditions prevailing and the
substantial set back in the Bank’s business in India, Australasia Bank
made a profit of Rs. 50,000 during 1947-48.

By the end of 1970 it had 101 branches. Unfortunately, it lost 51

branches in the separation of East Pakistan. But the Bank did well
despite losing a lot of its assets and by the end of 1973 had 186
branches in West Pakistan.

In August 2004 as a result of capital reconstruction, the Bank’s

ownership was transferred to a consortium comprising Ibrahim Leasing
Limited and Ibrahim Group.

Today the Bank stands on a solid foundation of over 63 years of its

existence having a strong equity, assets and deposits base offering
universal banking services with higher focus on retail banking. The
bank has the largest network of on-line branches in Pakistan and offers
various technology based products and services to its diversified
clientele through its network of more than 700 branches.

Allied Bank (1974 to 1991)

In 1974, the Board of Directors of Australasia Bank was dissolved and
was renamed Allied Bank. The first year was highly successful; profit
exceeded Rs. 10 million, deposits rose by over 50 percent and
approached Rs. 1460 million. Investments rose by 72 percent and
advances exceeded Rs. 1080 million for the first time
in the banking history. 116 new branches were opened
during 1974 and the Bank started participating in the
Government’s spot procurement agriculture program.
Those seventeen years saw a rapid growth for the
Bank. Branches increased from 353 in 1974 to 748 in 1991. Deposits
rose from Rs. 1.46 billion, and Advances & Investments from Rs. 1.34
billion to Rs. 22 billion during this period. It also opened three branches
in the U.K.

9
A view of Allied Bank's FTC branch, Karachi.

Allied Bank (1991 to 2004)

As a result of privatization in September 1991, Allied Bank entered a
new phase, and became the world’s first bank to be owned and
managed by its employees. In 1993 the “First Allied Bank Modaraba”
(FABM) was floated. After privatization, Allied Bank became one of the
premier financial institutions of Pakistan.

A view of Allied Bank, Head Office, Lahore

Allied Bank’s capital and reserves were Rs. 1.525 billion; its assets
amounted to Rs. 87.536 billion and deposits to Rs. 76.038 billion. Allied
Bank enjoyed an enviable position in Pakistan’s financial sector and
was recognized as one of the best amongst the major banks of the
country.

In August 2004, as a result of capital reconstruction, the Bank’s

ownership was transferred to a consortium comprising Ibrahim Leasing
Limited and Ibrahim Group.

Today, the Bank stands on a solid foundation built over 63 years of

hard work and dedication, giving it a strong equity, an asset and
deposit base and the ability to offer customers universal banking
services with more focus on retail banking. The Bank has the largest
network of online branches in Pakistan and offers various technology-
based products and services to its diverse clientele through its network
of more than 700 branches.

(2005 To date)
In May 2005, Ibrahim Leasing Limited dissolved and the company was
vested into Allied Bank Limited. ALL the shareholders were issued ABL
shares instead of the all shares held by them. An application for the
listing of ABL shares in all the Stock Exchange Companies of Pakistan

10
was made; ABL was formally listed and the Bank’s share trading began
on the following dates:

Islamabad Stock Exchange

8th August 2005

Lahore Stock Exchange

10th August 2005

Karachi Stock Exchange

17th August 2005

Today, all Allied Bank Limited shareholders can trade in the Bank’s
shares at their will.

11
 BOARD OF DIRECTORS

Mohammad Aftab Manzoor (CEO)

Mohammad Naeem Mukhtar (Chairman)
Pervaiz Iqbal Butt (Director)
Farrakh Qayyum (Director)
Abdul Aziz Khan (Director)
Sheikh Jalees Ahmed (Director)
Mohammad Waseem Mukhtar (Director)
Sheikh Mukhtar Ahmed (Director)
Mubashir A. Akhtar (Director)

12
 CONSUMER
In line with the Bank’s aim to provide a host of products and services
to its customers, substantial ground work has been done to establish a
strong consumer banking business. Furthermore, to achieve this
objective, professionals from across the industry have been recruited
into areas of product development, sales, credit policy, research,
consumer analytics, call centers and service quality departments.

The consumer portfolio, comprising the debit card, credit cards, auto
loans, personal loans and mortgages will be established phase by
phase. However, we are confident that our strengths, together with our
largest network of online branches, a superior technology platform, a
big customer base and the Consumer Personal Banking Group (CPBG),
will take the Bank’s profitability to new heights.

ALLIED VISA CREDIT CARD

Welcome to the world of privileges,
benefits and savings with your Allied Visa
Credit Card. In order to cater to your
growing financial needs we are proud to
introduce Allied Visa Credit Card with The
Lowest Service Charge ever! So now you
can save money where it counts and
spend lavishly at your favorite places
with greater flexibility, convenience and most important-Affordability!

With your Allied Visa Credit Card you can enjoy a variety of state-of-
the-art features and unmatched value by spending at over 49,000
merchants across Pakistan and 27 million merchant outlets worldwide!
And what more, you can also use your credit card at over 1 million
ATMs internationally!

Allied Visa Gold Credit Card

With your Allied Visa Gold Credit Card every Pakistani can now enjoy
the benefits of a Gold Card internationally with unmatched savings
greater flexibility, convenience and security.

Features
Buy Now,Pay Later

13
With your Allied Visa Gold Credit Card, your free credit period allows
you to pay for your purchases up to 50 days after the date of purchase.
So now you can buy all the things you want - whenever you want - at
your own convenience.

Flexible Repayment
When paying your credit card bill, your Allied Visa Gold Credit Card
gives you the option to either pay the entire amount according to your
statement or a minimum of 5% of your total outstanding balance.

Cash Advance Facility

As an Allied Visa Gold Credit Card member, you are entitled up to 75%
of your available credit limit in cash. Just go to your nearest ATM with
the VISA or PLUS sign and avail the facility of withdrawing cash 24
hours a day

Allied Easy Installments (AEI)

The Allied Easy Installments (AEI) plan provides you with the facility to
pay your outstanding card balance in equal and affordable monthly
installments spread over 3, 6, 12, 18, 24, 30 or 36 months. So now you
can easily afford anything from everyday household appliances to
exotic vacations abroad.

Supplementary Cards
Want to share the benefits of your Allied Visa Gold Credit Card with
others? Now you can! Treat up to two people with supplementary
credit cards and pass on the many privileges of your Allied Visa Gold
Credit Card to your chosen friends and family members.

Balance Transfer Facility

In case you have outstanding balances on other cards, consolidate
these onto your Allied Visa Gold Credit Card with the lowest BTF rate
and save more on your outstanding payments than ever before.

Credit Protection Plus

With Credit Protection Plus, your Allied Visa Gold Credit Card provides
payment cover against:
• Death, due to accident or sickness
• Permanent and Total Disability, due to sickness or
accident
• Temporary Total Disability, due to sickness or accident
• Terminal Illness

Free CIP Lounge Access As an Allied Visa Gold Credit Cardholder,

you are eligible to avail the free lounge facility at Quaid-e-Azam

14
International Airport, Karachi and enjoy a variety of complimentary
features.
Relax while you watch leading television channels or select something
to read from an updated library of newspapers and periodicals. Also
feel free to plug in your laptop and mobile phone into the charging
facilities provided or browse the internet or send and receive faxes
while you wait. You can also treat yourself to a wide assortment of high
quality snacks, beverages and fresh fruits.

Visa Platinum Credit Card

With your Allied Visa Platinum Credit Card you can enjoy exceptional
benefits and a host of local and international benefits like never
before!

Features
Visa Platinum Golf
Fancy a game of golf? With your Allied Visa Platinum Credit Card, you
can enjoy golf at its best with complimentary tee-offs, discounted
green fees and access to some of the world’s most celebrated golf
clubs.

Platinum Life Platinum

Life is a unique platform that showcases exclusive programs and
events specially designed for Visa Platinum Credit Cardholders. With
your Allied Visa Platinum Credit Card, you are eligible to join this
exclusive platform and avail many exciting services like Platinum Club,
Platinum Dining, Platinum Golf, Experiential Travel and much more.
So get ready to enjoy the luxury of Platinum Life with the Allied Visa
Platinum Credit Card.

Visa Platinum Club

As a member of the Visa Platinum Club, you are part of an
internationally reputed rewards program that provides an unmatched
quality of services and customized luxuries to all Allied Visa Platinum
Credit Cardholders.
The Visa Platinum Club rewards you with exclusive perks such as
complimentary room upgrades at five-star hotels, spa treatments,
attractive retail discounts, special rates on car rentals, professional golf
coaching and much more. Furthermore, unlike other card reward
programs, being part of the Visa Platinum Club means that you can
start enjoying these privileges immediately without having to earn or
accumulate reward points on your credit card.

15
Visa Platinum Dining
Your Allied Visa Platinum Credit Card can turn any meal into a dining
experience to remember. The Visa Platinum Dining Service offers
special dining privileges at over 200 restaurants throughout the Asia-
Pacific region. Through this program, you can avail special features
such as priority reservations, complimentary meals at selected
restaurants, and much more.

Visa Experiential Travel

Your Allied Visa Platinum Credit Card now takes you further than ever
before. With the Visa Experiential Travel Program, choose the package
of your choice as you travel the world and enjoy exotic travel
adventures catered especially to your taste.

Concierge Online
This facility provides an alternative to the conventional telephony
Concierge Service. With a simple click of the mouse, you can easily
request for trip planning assistance, hotel reservations, flight
reservations, car rentals, restaurant reservations and performance
ticket bookings - all from the comfort of your home.
To avail this facility, you are first required to register your self on
www.visaplatinum.com and then submit the request by filling an online
form that will automaticly be sent to the VPCC for fulfillment. A
Customer Service Executive will contact you with the relevant details
via your preferred mode of communication (email, phone or fax).

Free CIP Lounge Access

As an Allied Visa Platinum Credit Cardholder, you are eligible to avail
the free lounge facility at Quaid-e-Azam International Airport, Karachi
and enjoy a variety of complimentary features.
Relax while you watch leading television channels or select something
to read from an updated library of newspapers and periodicals. Also
feel free to plug in your laptop and mobile phone into the charging
facilities provided or browse the internet or send and receive faxes
while you wait. You can also treat yourself to a wide assortment of high
quality snacks, beverages and fresh fruits.

ALLIED VISA DEBIT CARD

Features
Get Cash
You are always on the move, now your
bank account is too. You can use your

16
Allied Cash+Shop Visa Debit Card to withdraw cash directly from your
bank account from over 3,500 ATMs in Pakistan - including Allied
Bank's largest network of ATMs - and over 1 million ATMs worldwide

Shop Anywhere
Use the Visa power of your Allied Cash+Shop Visa Debit Card to shop
at over 49,000 retailers in Pakistan and over 27 million retailers
internationally.

Dine Out
Go to all your favorite restaurants and order whatever you want
without having to worry about how much cash you have in your pocket
- thanks to your Allied Cash+Shop Visa Debit Card.

Enjoy Traveling
Imagine traveling without carrying cash. With your Allied Cash+Shop
Visa Debit Card, you can buy your plane tickets and do all your
shopping abroad without worrying about spending too much or running
out of cash.

Have Fun
Whether you feel like taking the family to see a movie at the cinema or
treating some friends to a night of bowling, you can do it all and more
with your Allied Cash+Shop Visa Debit Card.

Activation Instructions
Please follow the instructions stated below so that you are able to use
your Card at any merchant outlet or Visa ATMs.
1.Kindly sign the signature panel on the back of your Card in
permanent ink as soon as you receive it.
2. To activate your Card, please call Allied Phone Banking.
3. Enter the PIN provided to you in order to use the Card at ATMs.

Protect Your Card

• Do not bend your Card.
• Do not leave your Card near a television or any other
electrical or electronic gadget, which has a continuous
magnetic field.
• Do not expose your Card to direct sunlight. Please notify
the Bank immediately of any irregularities.
• Avoid scratching or damaging the magnetic strip. This
strip is sensitively encoded and requires special care.
• Do not disclose your Card Account Number or Personal
Identification Number (PIN) to anyone.
• Destroy your PIN mailer once you have seen your PIN.

17
 COMMERCIAL
The Commercial & Retail Banking Group (CRBG) offers a variety of
asset and liability-based retail products to its customers. The Group’s
main focus has been on introducing various financing and investment
products for its valuable clientele, and contributing to the steady
growth of the financial industry.

CRBG consists of 4 geographic groups and is further divided across 27

regions in Pakistan. Each region is responsible for providing a quality
service to its own customer-base.

In recent years, the Group has been working to find alternate ways to
bank for customers, and has installed more ATMs to its already strong
and largest ATM network.

During 2007, CRBG also saw a phenomenal growth of 28 percent in

liabilities. The Group launched effective campaigns and showed 13
percent growth in Current Accounts & Saving Accounts (CASA). Besides
an addition of senior level resources to the team, more Management
Trainee Officers were also hired into the Group to bring in more quality
and skill.

CRBG is consistent in lifting the Bank’s brand image by emphasizing on

good customer services and developing commercial assets and a cost
effective deposit base

• Deposits Accounts
• SME
• Agriculture
• Internet Banking
• Online Banking
• Corporate Banking
• ATM Networks
• Unclaimed Deposits

Services
Allied Bank offers the following services to its customers:

• Home Remittances
• Remittances
• Hajj Services
• Utility Bills

18
 • Lockers
• Commodity Operation

However, the quality of services and network remains pathetic. The

Bank has to do a lot in terms of improving its customer management.

Internet Banking
Online Banking facilities are available to customers maintaining
accounts at all online branches across the country. The following
facilities are available:

• Cash Deposit for immediate credit to remote branch.

• Remote Cheque Encashment from any online branch.
• Instant Funds Transfer between any 2 online branches.
• Remote Balance Enquiry and Statement of Account.

CORPORATE
The Corporate Investment Banking Group (CIBG) holds the Bank’s loan
portfolio and enjoys a leading position in corporate lending in the
country. It offers a wide range of financial services to medium and
large sized public and private sector entities. These services include,
providing and arranging tenured financing, corporate advisory,
underwriting, cash management, trade products, corporate finance
products and customer services on all bank related matters.

The Bank has played a key role in the country’s economic growth by
providing a vast amount of funds to large industrial and corporate
sectors of the economy. And because it has played a big part in major
investment and corporate banking transactions, Allied Bank is
considered one of the top investment banks in the country today.

Corporate Banking
• Project Finance
• Long Term Financing
• Short Term Financing
• Trade Finance

Investment Banking
• Project Finance

19
 • Syndication
• Advisory

Financial Institution
• Cash Management
• Home Remittances

BRANCHES & ATMS

Online Banking facilities are available to customers maintaining
accounts at all online branches across the country. The following
facilities are available:

• Cash Deposit for immediate credit to a remote branch.

• Remote Cheque Encashment from any online branch.
• Instant Funds Transfer between any 2 online branches.
• Remote Balance Inquiry and Statement of Account

Additionally, account holders of all online branches can obtain the

Allied Cash+Shop Visa Debit Card for use at ATMs as well as at POS
terminals. To locate a branch simply select the city.

WORKING ENVIRONMENT
Allied Bank boasts of a work culture, which displays respect for all
walks of life and different ways of thinking.
Everyone at Allied Bank has a common corporate vision and values.
However, all employees are encouraged to grow as individuals and
collaborate in teams.
Increments, bonuses and promotions are based solely on individual
skills, qualities, abilities and attitude. It is our aim to provide
innumerable opportunities for all those employees who show aptitude
and the will to keep learning.
Training programmes, both local and foreign, are also considered
important for employee growth.
Our complex and relatively changing environment teaches flexibility,
provides opportunities to learn and offers many career opportunities.
We encourage people who like challenges, can take their
responsibilities seriously and handle a constantly changing and high-
pressure work environment, to come work with us.

20
AREA OF OPERATIONS

Allied Bank has operating branches in four provinces, throughout the

38 districts of the country including Azad Jammu and Kashmir.

21
THE SHAREHOLDERS
Fourteen commercial banks, including three multinational banks
are the bank's shareholders:

PRIVATE SECTOR BANKS

1. Allied Bank Limited
2. Askari Commercial Bank Limited
3. Habib Bank Limited
4. Habib Metropolitan Bank Limited
5. KASB Bank Limited
6. MCB Bank Limited
7. Mybank Limited
8. Soneri Bank Limited
9. SaudiPak Commercial Bank Limited
10. United Bank Limited

PUBLIC SECTOR BANKS:

1. National Bank of Pakistan

MULTINATIONAL BANKS:
1. ABN Amro Bank
2. Citibank N.A.
3. Standard Chartered

22
 Departments
At
Gujranwala Branch
Gujranwala branch of Allied bank limited is covering 8 regions
comprising:
• Hafizabad
• Sheikhupura
• Kamomke
• Wazirabad
• Gujrat
• Sadhoke
• Narowal
• Sialkot

Currently, in Gujranwala branch, there are three main

departments; which are:

• Accounts & Finance Department

• Sales operation department
• Credit department

23
“Accounts & Finance Department”
This department deals with all those matters that are relating to
the finance.
It manages:
• Branch Account handings i.e. imprest account,
disbursement account and Collection account.
• Daily reporting relating to finance matters
• Weekly reporting to concerned head.
Fortnightly reporting including recovery reports and
cash balance.
• Monthly reports relating to Human resource,
Administration and finance & accounts.
• HR reporting comprises attendance, medical claims,
deductions from salary if any and many other
issues relating to HR.

Sales Operation Department

“Sales operation Department manages all activities that are
concerned with Sales”
In this department; several key steps are being followed. The first
step includes area identification. Here the area of the purpose of
sale is being identified by conducting surveys and also by the
union council analysis. After identifying the area, the next step is
group formation. This department plays a vital role in this branch,
as it deals with all those activities that are purely related with the
sales operation.

“Credit Department”
Credit department of Allied bank is dealing with all those
activities which are purely relating to the credit. Here, all those

24
cases are reviewed that have applied for the micro financing in
Allied bank In this department, the major task is to review the
credit cases, to review the documentation. After reviewing the
documentation, the next step is to verify the personal guarantee.
And after moving from this whole process, and checking the
credit validity, loan is being sanctioned to the interested party.

Gujranwala branch of Allied bank is only operating with three

departments. The HR department of Allied bank is located in
Islamabad. All the employees are being selected from the head
office. After selection from the head offices, they appointed at
different localities that suits the employee. Here, Allied bank is
currently facing the problem of understaffing but the HR
department has not yet taken certain measure to tackle the
situation. Lets have an overview of HR department and what
functions it is actually performing in Allied bank.

25
 “HR Department”
At Islamabad
“HR Department is that department that manages Human
resource of the company.”
In managing the human resource, not only H.R. Department
involves but also participate other personnel and management of
the company. The HR department of Allied bank undertook
various initiatives to improve and streamline induction of
manpower, career planning, management practices and general
procedures across the organization that enabled it to fully
support the company’s operations. Following are some activities
of HR Department:
• Job Analysis
• Recruitment
• Testing
• Interviews
• Compensation
• Performance appraisal etc.
In Allied bank, there are two sources of hiring the employees.
These are:
• Outsourcing i.e. hiring of the contractual staff like,
guard, drivers, office boys etc.
• Regular Staff by giving the advertisement in the
newspaper.

Job Analysis

26
Job analysis is the procedure for determining the duties and skill
requirements of a job and the kind of person who should be hired
for the job by collecting the following types of information: work
activities; human behaviors; machines, tools, equipment, and
work aids; performance standards; job context; and human
requirements. Simply we may say; job analysis consists of:

• Job Description
• Job Specification

Job description is a list of a job’s duties, responsibilities,

reporting relationships, working conditions, and supervisory
responsibilities. While, Job specification is a list of a job’s
“human requirements”: the requisite education, skills,
personality, and so on – another product of a job analysis.

Uses of Job Analysis:

Following are some uses of the Job analysis:

• Recruitment and selection

• Compensation
• Performance appraisal
• Training
• Discovering unassigned duties.

27
Job Specification in outsourcing
Here, you can have the glance of the job specification that is
used by Allied bank in outsourcing:

Job Title: “Data entry operator”

Qualification: intermediate with at least second division.
Age: 20 – 25 years
Work experience: not required but preferably 1 year.
Abilities: reasonable, intelligent with good communication skills.
Personality: smart, physically fit and medically fit for the job.

Other requirements:

A hand written job application along with a passport size

photograph, copy of National identity Card, Qualification
certificates, character certificate, driving license in some cases
and references if any.

Job Description in outsourcing

Here, you can have the glance of the job description that is used by
Allied bank in outsourcing:
Performs work of moderate difficulty in the supervision and
participation of data entry and record maintenance utilizing data entry
terminal; performs other work as assign or required.
Example of Duties:
• Enters alphabetic, numeric, or symbolic data
• Maintains manual support files.
• Receives and processes requests.
• Verifies eligibility or specific master file records for
purging.
• Plans, organizes and directs the work of data entry
personnel.
• Operates various types of office equipment.
Job Specification in regular Staffing

28
Here, you can have the glance of the job specification that is
used by Allied bank while recruiting the regular staff:

Minimum Qualification: Masters degree within required discipline

Work experience: not required but preferably 1 year.
Personality: smart, physically fit and medically fit for the job.
Abilities: Good command on English language with Computer
knowledge.
Entry Test: IBA Karachi.
Interview: HR department, Islamabad.

Other requirements:

A job application along with a C.V.

Job Description in outsourcing

Here, you can have the glance of the job description that is used
by Allied bank while recruiting the regular staff: here are some
exemplary responsibilities:
• implementing the delivery of sales strategies and
targets and motivating employees to meet these;
• Establishing and maintaining effective relationships with
new and existing customers.
• communicating, implementing and monitoring
compliance with corporate standards and procedures;
• processing data to produce accurate facts, figures and
reports;
• checking accounts and initiating action if they are
overdrawn without arrangement or are in excess of
agreed arrangements;
• Networking with appropriate professionals.
• Representing the bank within the wider community.

Recruitment and Selection Process

29
Recruitment process:
Recruiting is a more complex activity than most managers think
it is. Recruitment efforts should make sense in terms of the
company’s strategic plans. Some recruiting methods are superior
to others, depending on who you are recruiting for and what your
resources are. The success you have with your recruiting actually
depends on non-recruitment HR issues and policies.
There are several internal and external sources of recruiting the
right candidate for the organization, like:

• Finding internal candidates.

• Rehiring. Internal
Sources.
• Succession planning etc.
• Advertisement
• Employment agenciesExternal
Sources.
• Executive recruiters.
• Referrals etc.

In Allied bank: In Allied bank the major source of recruiting

employees is “advertisement in the newspapers”. Both types of
sources of employment are being practiced in this bank.

Selection process
After building a pool of candidates, the next step is to screen out
the best candidates according to your requirement by using
various testing tools and techniques. Careful selection of
employees is an important issue because of three main reasons;
which are given below:
• Employees with the right skills and attributes will
perform more effectively.

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 • The cost of making a wrong hire can become
exorbitant considering the time and money
invested in the selection and training process.
• The legal implications of incompetent or negligent
hiring.

Here are some testing tools & techniques that are used in the
selection process:

• Test of cognitive abilities

• Test of motor and physical abilities.
• Measuring personality and interests.
• Achievement tests etc.

Testing in Allied bank:

In Allied bank, IBA test is conducted of all those employees who

have appeared in recruitment process to screen out the best
candidates. IBA written test consist of English, Math,
General/Computer Knowledge and Intelligence part based on
multiple choice questions pattern, with negative marking in case
of wrong answer. After testing of the candidates, the next step is
interviewing of those candidates that have passed the IBA written
test.

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Interviewing Candidates:
After testing the candidates, the next step involves conducting
interviews of the best candidates. An interview is the procedure
designed to obtain information from a person through oral to oral
inquiries. Managers use several types of interviews in the work
settings. There are basically three main types of interviews;
selection interview, appraisal interview and exit interview.
Managers use various techniques for conducting the selection
interview; such as:

• Structured or unstructured interviews

• Stress interview
• Panel interview
• Computerized interview
• Mass interview etc.

Interviewing in Allied bank:

In Allied bank, panel interview is conducted to screen out the best
candidates for the job. Here; from the pool of the candidates, who
have appeared and cleared IBA written, interview by the panel of
specialist is conducted. All those candidates; who have cleared
this interview are then posted to the vacancies they have applied
for or that meet the skills and abilities of the selected candidates.
After selecting the candidates by using various
testing and interviewing techniques; the next step is to train
those candidates who are selected in this process.

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 “Training, Retraining
and
Development approach”
Training:
Training is a job-oriented activity. It provides or improves specific
skills for the current job. A manager may be trained in
communication skill to improve reading, writing, listening and
speaking. A technician may be placed in a factory to acquire job-
relevant skills in a computerized machine. It makes a person fit
for the present work through updating or upgrading of skills.
While in Allied bank training period is for 6months.

Retraining:
For the improvement of employees due to advancement of
technology. Retraining is only possible when workforce possesses
a sound general education and has already been trained of broad
line skill. But in Allied bank they conduct seminars for this
purpose.

Development:
Development is a concept-oriented preparation for human
relation, problem solving in structured or unstructured situation.
It provides conceptual skill to employees.

There are two types of training approaches.

• Off-job training approaches
• On-job training approaches

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Off-job training approaches

There are further types of off-job training approaches.

1. Occupational Training schools

There may be an individual who is aware of his insufficient skills,
at hand, as compared with those required by the work place.
Such a person may be provided desirable job-oriented skill
training by a school. The training school may be in public or
private sector. The individual would opt for training programs in
the respective skills.

2. Cooperative Education
A cooperative education programs are a feasible vehicle of
creating and sustaining liaison between the institution and the
entrepreneur. College provides conceptual framework while the
enterprise engages the strident with work experiences.

3. Vestibule training
An employee may not be placed on actual workbench because of
the pressure of work, efficiency of the already trained manpower
and quality controls. A separate simulated workplace is identified
to house the learners. It may be an in-service training school
established by the organization.

“On job training approaches”

1. Apprenticeship
A group of potential employees is inducted to hob-specific
training under the guidance of matured and skilled personnel. If it
is provided first time to a trainee, it is initial training that includes
induction training as well. If trainee has already initial training,
then it is only the induction training provided through
apprenticeship. The apprentice is paid subsistence money to
manage boarding, lodging and daily needs.

2. Coaching
A coaching is an instructor of skills. Coaching teaches skills on
the basis of one-to-one personal contact between the trainee and
the trainer. It is an equally useful training method for managers

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and non-managers in business, industry, education and
government. Allied bank includes training after 6 month
probation for final evaluation of candidate, candidate goes to
Islamabad (national institute of business and finance) for one
week training then he is employed.

3. Mentoring
A mentor means an experienced and trusted adviser. Mentoring
is an advanced form of coaching designed for potential
managers, of various levels, in conceptual skills. In Allied bank for
this purpose seminars are conducted.

4. Job Rotation
An employee is shifted from one position to another, at lateral
level from one job to a similar of differentiated and diversified
work, preferably, in one’s own discipline. The similarity of
elements in the previous and new jobs helps the trainee in
acquiring the new skills. In Allied bank this situation is already
existing.

5. In-Basket Training
The trainee is attached with a senior person. The trainer provides
the trainee a basket containing official documents, i.e. memos,
letters, reports, etc. The trainee studies these documents and
learns about that level of management.

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Compensation Management
To attract and retain the best talent, companies require
compensation and benefits structures that are both enticing and
consistent with market standards.
It is an integral part of the management of the organization.
Compensation Management contributes to the overall success of
the organization in several ways. Employee compensation is also
a way to contribute in success of the organization, it refers to all
forms of pay or rewards going to employees and arising from
their employment. It has two main components:

Direct financial payments;

Wages, salaries, incentives, commissions, and bonuses etc
Indirect payments;
Pay in the form of financial benefits such as insurance.

Components of compensation management:

 Salary
 Probation period
 Promotion criteria
 Rent or residence facility
 Medical care
 Transportation
 Pension
 Vacation criteria
 Transfer
 Career management
 Education of children
 Insurance
 Health and safety program
 Performance appraisal
 Flaws in practice

• Salary:
A salary is a form of periodic payment from an employer to an
employee, which is specified in an employment contract. It is

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 contrasted with piece wages, where each job, hour or other unit
is paid separately, rather than on a periodic basis.

In Allied bank:
Salary structure in KB is competitive as compare to other banks.
BPS starts from 12000 for a new trainee or employee.

• Probation period:
It is a time to check the performance of an employee who is
provisionally employed to fill a vacant newly created post. The
services of a probationer may be terminated at any time by the
competent authority with out notice or pay or he/ she may resign
with out giving any notice or pay in lieu there of.

In Allied bank
In Allied bank there is 6 months probation period used to check
the performance of new employees whether it is upto the mark or
not. If performance is not satisfactory then new employee will be
dismissing from job and performance is above par then employee
can gain permanent job with the bank.

• Promotions:
Promotions traditionally refer to advancements to positions of
increased responsibility. Most working people look forward to
promotions, which usually mean more pay, responsibility and
often job satisfaction. For employers, promotions can provide
opportunities to reward exceptional performance, and to fill open
positions with tested and loyal employees.

Allied bank:
Following is the main criteria for promotion of an employee in KB:
1. Education
2. Job knowledge
3. Experience
4. Performance
If an employee is fulfilling all above requirements then he will be
promoted after 6 months.

• Rent or residence facility:

Traditionally residential facilities are obtained by employees from
their employers or organizations in which they work. If no

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 residential facility is provided then employers paid the rent of
such accommodation in which employees are living.
Usually well reputed or public organizations give this facility to
their employees.

In Allied bank:
No rent or residential facility provided by KB to their valuable
employees.

• Medical care:
Some time medical allowances are given to employees by their
employers while on the other hand if allowances are not given
then charges incurred on hospitalization are paid by
organizations. So, in this way medical care facility is provided to
personals.

In Allied bank:
Employees of KB are enjoying medical care facility. Any employee
of the Allied bank can claim to pay hospitalization charges of his
family members. The claim is approved by R&D department, for
approval purpose certain type of documentation is necessary
which should be fulfill by employees. After this employees can
enjoy this facility.

• Transportation:
Transportation means conveyance facility to workers of any
organization. Some well reputed organizations give allowance to
meet their transportation charges or in other way companies
provide its own transportation to workers in order to enhance
their efficiency and motivational level.

In Allied bank:
There is no transportation facility provided to male employees
only for females transportation is provided on local basis.

• Pension:
It is a plan that provides a fix sum when employees reach a
predetermined retirement age or when they can no longer work
due to disability. In recent time only government sector give
pensions to their workers and not private sector.

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 In Allied bank:
In KB there is no pension plan for employees but gratuity is given
to workers.

• Vacation criteria:
Every organization whether public or private has its own vacation
plan which is abided by employees. There are many types of
leaves given to workers like casual leaves, mandatory leaves,
sick leaves, annual leaves etc.

In Allied bank:
KB has its own vacation criteria including:
1. Entitlement of 30 leaves in 1 year per employee
2. Out of thirty 2 weeks are mandatory leaves
3. Remaining leaves can be enjoyed by employee at their will
Above mentioned is revising policy but before this there were:
1. 12 casual leaves
2. 1 sick leave
3. 3 seasonal leaves etc.

• Transfer:
Reassignments to similar positions in other parts of the firm are
called transfers. Usually a transfer is a move from one job to
another with no change in salary or grade .Every organization has
its own policies or criteria for transfer of employees.
In Allied bank:
In Allied bank transfers depend upon following issues with
reference to employer:
1. Business accidences like overstaffing or understaffing
2. Experience
3. No efficient performance of employee
4. No particular tenure system
Employees seek transfer for:
1. Personal enrichment
2. More interesting job
3. Better working hours

Career management:
Career means the occupational position a person has had over
many years while career management is a process for enabling

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 employees to better understand and develop their career skills
and interests and to use these skills and interests more
effectively.

In Allied bank:
The series of activities that contribute to career of employees of
KB include:
1. Workshops
2. Seminars
3. On the job training
4. Training by National Institute of Business and Finance

• Education of children:
Some big organizations give education facility for the children of
employees. In order to achieve this task they can give allowances
or cash or direct payment of fees. Some time workers welfare
schools are established for the convenience of employees.

In Allied bank:
In Allied bank there is no any facility is given to employees in
terms of education of children.

• Insurance:
Almost all companies are providing insurance facility to their
personals. Companies usually give this facility to their permanent
workers or employees. Probationers are not come under this
head.

In Allied bank:
All employees of Allied bank are insured except from
probationers or temporary employees. They insured by “ALLICO”
insurance company upto 6 million or six lakh.
If an employee will expired during duty hours then his family will
receive full amount as said six million.
If an employee will expire after duty hours then his successors
will receive half or fifty percent of the full amount.

• Health and safety program:

Health and safety programs include medical care and
establishment of safe environment for employees. In order to

40
 regulate these programs firms maintain their own policies to
ensure employees that they are safe and company consider them
as a valuable asset for their organization.

In Allied bank:
The bank is providing proper health awareness by
recommending different tests for employees from time to time
without any cost and in order to regulate safety measures KB has
insured it’s all assets including human resource staff, vehicles,
furniture, equipments, cash etc.

• Performance appraisal:
Virtually all companies have some formal or informal means of
appraising their employees’ performance. Performance appraisal
means evaluating an employee’s current and/or past
performance relative to his or her performance standards set by
organization for that particular job.
Performance appraisals are a regular review of employee
performance within organizations.

Generally, the aims of a scheme are:

• Give feedback on performance to employees.

• Identify employee training needs.
• Document criteria used to allocate organizational
rewards.
• Form a basis for personnel decisions-salary (merit)
increases,promotions, disciplinary actions, etc.
• Provide the opportunity for organizational
diagnosis and development.
• Facilitate communication between employee and
administrator.
• Validate selection techniques and human resource
policies to meet federal Equal Employment
Opportunity requirements.

In Allied bank:
Employee level:
In KB following parameters are used to evaluate performance of
an individual employee as well as performance of management
level:
1. Job knowledge

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 2. Communication
3. Interpersonal relationship
4. Adoptability of new things
5. Motivation
6. Customer focus
7. Initiative to work
8. Team work
9. Productivity
10. Time management
11. Work habbits
12. accomplishment of assigned
task
Management level:
1. Leadership
2. Planning and organizing
3. Problem solving and decision making
4. Development of subordinates
5. Consensus building to take new task
6. Creativity

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Flaws in practice
In every organization there may be possibility of flaws in
regulation of policies or poor policies regarding human
resources.similarly there are also some flaws n KB bank regarding
HR policies.

In Allied bank:
In Allied bank following are draw backs:

Centralization:
The most important draw back of HR policies OF KB is
centralization, which means that all employees are selected by
centralized corporate office Islamabad so there should be
decentralization because branch wise selection can reduce many
problems.

No regular appraisal system:

There should be proper and regular appraisal system in order to
enhance employees’ efficiency and capabilities and productivity.
In KB there is two time appraisal in one year so there is need to
make regular appraisal system.

Hiring of outsource staff:

Hiring of most outsource staff can create problem for such
employees because they feel insecurity, due to deprivation of
incentives their level of motivation goes down which finally leads
to high turnover and job rotation.

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 RECOMMENDATIONS
• H.R.Department personnel should corporate to
externals, as it is also a source for goodwill.
• Need to make enough training durations.
• Selection procedure duration should be short.
• Need to close the gap between employees and
management.
• Need to decentralize the decision making.

CONCLUSIONS
In despite of all things and discussions, Allied bank has a strong
H.R.Department. Allied bank H.R.Department has strong
management and enough resources (e.g. well trained staff and
financial). The environment of Allied bank is very informal and
more friendly. They proved to be not only the bank but more than
a bank. It has been a really good experience.

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 REFERENCES
• Human resource management (g. Dessler)
• Human resource management (Sherman)
• Job advertisements of Allied bank
• Allied bank’s annual reports
• Gujranwala branch of Allied bank
• www.google.com.pk
• official web site of Allied bank
www.abl.com.pk
• others.

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