0830004

A STUDY OF JOB SATISFACTION OF BANK EMPLOYEES AT UNITED

COMMERCIAL BANK LTD. BANGLADESH

by

Syeeda Nadia Taskin

ID#0830004

An Internship Report Presented in Partial Fulfillment of the Requirement for the

Degree Bachelor of Business Administration

Independent University, Bangladesh

November, 2012

A STUDY OF JOB SATISFACTION OF BANK EMPLOYEES AT UNITED

COMMERCIAL BANK LTD. BANGLADESH

by

Syeeda Nadia Taskin

ID#0830004

has been Approved

September 2012

---------------------------------

Monzoor Morshed

School of Business

Independent University, Bangladesh

LETTER OF TRANSMITTAL

Mr. Monzoor Morshed

Lecturer

School of Business

Independent University Bangladesh

Sub: Submission of the Internship Report

Dear Sir

In this advanced working report on job satisfaction in United Commercial Bank, I have tried to

implement my academic experiences in the practical field with due sincerity and would like to

thank you for your cooperation. Despite many limitations I have tried my level best to address

the major and in depth issues in making this paper accurate and reliable. If you have any further

enquiry concerning any additional information I would be very pleased to clarify that.

I, therefore, hope that you will be kind enough to accept this report as fulfillment of the

requirement for the course BBA-499.

Thanking you

Sincerely yours

Syeeda Nadia Taskin

ID#0830004

At the very beginning, I would like to express my deep gratitude to almighty Allah for giving

me the strength to finish the project within the schedule time. Preparing an internship report is

copious task. I required enormous time and attention in every step of it. However, it gives me a

true feeling of creation and helps me to understand my ability of work. For fear of sounding like

a vote of thanks speech, I would like to take the opportunity, to thank all of those marvelous

people who have contributed to this report. Of course, some very special people cannot go

without mentioning. At first, I express thank my heartiest gratitude to my Supervisor Mr.

Monzoor Morshed, Lecturer of Business School, IUB, for his kind cooperation in preparing this

report. I would like to thank Mr Selim Reza Khan, First vice Manager of United commercial

Bank Limited, for giving me opportunity to work as an intern. I am grateful to Foreign Exchange

department in charge Mr. Asadur Rahman for his supervision and continuous support to do my

internship. Without their support it was impossible for me make such report. I am also indebted

to all of officers and staffs of UCBL and for giving time and advice to know and learn all

activities of the bank and prepare this report. During the preparation of the project work I have

came to the very supportive touch of different individuals (respondents & seniors from UCBL)

and friends, who lend their ideas, time and caring guidance to amplify the report’s contents. To

be honest to myself I must say that without their help it would be very hard for me to prepare

such report. I am thankful to them with all of my feelings.

ACKNOWLEDGEMENT

United Commercial Bank Limited (UCBL) is one of the first generation private sector Banks in

Bangladesh, commenced its commercial operations from mid 1983 and has since been able to

establish one of the largest network of 84 branches in six different districts.

United Commercial Bank Ltd. offers all kinds of Commercial Corporate and Personal Banking

services covering all segments of society within the framework of Banking Company Act and

rules and regulations laid down by our central bank. Diversification of products and services

include Corporate Banking, Retail Banking, and Consumer Banking right from industry to

agriculture, and real state to software.

UCBL Rajshahi branch is one of the branches, which facilitate all kind of facilities that a Bank

offers. It has General Banking, Credit Management, as well as Foreign Exchange Department.

General Banking is the starting point of all the banking operating. It is the department, which

provides day-to-day services to the customers. General Banking consists of the many sections in

the branch. These are including customer service, account opening/closing, remittance, deposit

department, account’s department.

Credit management department provides many facilities like as loan and advance products to the

client for financing different purpose that fulfill the requirements of the bank and have good

return to the investment as well as satisfy the client. The loan and advance products are personal

loan scheme, small & medium enterprise loan, working capital financing, import financing,

export financing, syndicate loan, industrial financing etc.

Foreign Exchange Department deals with import, export, and foreign remittance and post import

financing. This department is playing an important role in enhancing export earnings, which aids

economic growth and, in turn, will be helpful for economic development. United Commercial

Bank Limited is the preferred choice in banking for friendly and personalized services, tailored

solutions for business needs, global reach in trade and commerce and high yield on investments,

assuring Excellence in Banking Services.

EXECUTIVE SUMMARY

SE. NO TOPIC PAGE NO.

Part One:

General Section

Chapter One: Introduction 1-2

1.1 Background

1

1.2 Objectives

1

1.3 Methodology

2

1.4 Scope

2

1.5 Limitations

2

Chapter Two: Overview of United Commercial Bank

3-19

2.1 History

3

2.2 Management

3

2.3 Corporate Information at a Glance

3

2.4 Vision of the UCBL 4

2.5 Mission of the UCBL 4

2.6 Organogram of UCBL

5

2.7 Products and Services

6

2.8 Department of Commercial Bank 7-19

Part Two:

Research Section

Chapter Three: Introduction 21-24

3.1 Introduction 21

3.2 Statement of the Problem

21

3.3 Objectives of the Study

22

3.4 Literature Review 22

3.5 Significance of the Study

23

3.6 Research Question

23

3.7 Hypothesis

24

3.8 Relative Important Factors

24

3.9 Limitation of the Study

24

Chapter Four: Methodology

25-26

4.1 Data Sources and Method

25

4.2 Variables and Measures

25

4.3 Instrument and Procedure

25

4.4 Statistical Tools

26

4.5 Analysis of Data

26

Chapter Five: Result and Discussion

27-30

Recommendation

30

Conclusion

31

C0NTENT

List of Tables Name of Tables Page No.

Table-1 Demographic Characteristic of Respondents 27

Table-2 General Findings Related to Job Satisfaction 29

List of Figures Name of Figures

Fig-1 Organogram of UCBL 5

Fig-2 Dept. of Commercial Bank 7

Fig-3 Cash Insurance Limit 9

Fig-4 Organizational Structure for Credit Operation 11

Fig-5 Credit Administration Flowchart 12

Fig-6 Loan and Advance 13

Fig-7 Continuous Loan 13

Fog-8 Foreign Exchange Department 15

Fig-9 Flow Chart of Important Procedure 16

Fig-10 Foreign Remittance 19

Fig-11 Conceptual framework 23

Fig-12 Relative Important Factors of Job Satisfaction 24

Fig-13 Respondent’s Working Position 28

Fig-14 Respondent’s Income Range (Monthly) 28

LIST OF TABLES & FIGURES

A STUDY OF JOB SATISFACTION OF BANK EMPLOYEES AT UNITED COMMERCIAL BANK LTD. BANGLADESH

1

PART: ONE

CHAPTER ONE: INTRODUCTION

1.1 Background

A commercial bank performs an imperative function in the economy. It helps to mobilize

money by a continuous procedure of borrowing and lending money. It accumulates its

capital through both own sourcing and out sourcing (depositors are the major part of out

sourcing). This amount is then lent to the other party. Being a service industry provides

various services to its customers. So, every commercial bank has to think about their

customer first, because the customers are the sovereign.

This report has been prepared as the partial fulfillment of BBA program in IUB. To

complete the BBA program successfully each participants required to undergo internship

program in an organization for three months to learn practical knowledge of business

activities. To accomplish the aforesaid requirement, I am assigned as an internee in

United Commercial Bank Ltd, Rajshahi Branch for 3 months starting from September 17,

2012.

1.2 Objectives

The objective of the report is to gather practical knowledge particularly regarding any

business organization and its operations. Theoretical classes of Bachelor of Business

Administration program provides us knowledge regarding theories and models whereas

internship program gives us the chance to view those systems and their operations (based

on theories and models) in practice. Apart from this broad objective, we can identify the

objectives of this report as follows:

� Understanding the environment, functions and management of the organization

for my case it is UCBL Bank.

� Narrating experience in working in UCBL

� To apply theoretical knowledge in the practical filed in order to formulate a

problem to work on.

� Defining and analyzing the problem.

� To learn about banking more thoroughly.

� To relate the theoretical knowledge with the practical content.


2

1.3 Methodology

I joined as an intern in UCBL Rajshahi Branch on September 17, 2012. I was assigned to

work under all the departments within 3 months. I worked under each officer and learn

from him or her directly. I frequently ask questions and obey their instructions.

1.4 Scope

As my study title is “Job Satisfaction of Bank Employees at United Commercial Bank

Ltd. Bangladesh” it is clear that the scope of this study has spread over whole customers

of the organization both corporate and retail. The scope of the study has been divided in

two parts. One is operational scope and another is time scope. These are described below

- Operational Scope: The operational scope of this study has been confined

working under all the departments for 3 months.

- Time Scope: This report has accomplished with in the period of three months

started from 17th September 2012.

1.5 Limitations

While doing this paper, I have faced several obstacles. They were –

�� The website of UCBL does not contain updated information.

�� UCBL does not possess any Annual Report or Brochure.

�� I have to submit the report within short period.


3

CHAPTER TWO: OVERVIEW OF UNITED COMMERCIAL BANK

2.1 History

United Commercial Bank Limited (UCBL) is a Bangladesh based financial institution

that provides banking services. The services include personal and business banking,

loans, credit cards, online banking and money transfer services. The bank primarily

operates in Bangladesh, where it is headquartered in Dhaka.

With its firm commitment to the economic development of the country, the Bank has

already made a distinct mark in the realm of Private Sector Banking through personalized

service, innovative practices, dynamic approach and efficient Management. The Bank,

aiming to play a leading role in the economic activities of the country, is firmly engaged

in the development of trade, commerce and industry thorough a creative credit policy.

United Commercial Bank Limited incorporated on 26 June 1983 as a public company

with limited liability under the Companies Act 1993. The bank obtained permission to

commence business with effect from 26 June 1983 and started banking operations on 29

June 1983 with an authorized capital of Tk. 100 million divided into 1 million ordinary

shares of Tk. 100 each.

2.2 Management

The Bank has in its Management a combination of highly skilled and eminent bankers of

the country of varied experience and expertise successfully led by Mr. M. Shahjahan

Bhuiyan, a dynamic banker, as its Managing Director and well-educated young,

energetic, and dedicated officers working with missionary zeal for the growth and

progress of the institution.

2.3 Corporate Information at a Glance

Registered Name United Commercial Bank Limited

Registered Head Office Federation Building, 60 Motijheel, Dhaka.

Chairman Mr. Md. LATE Akhtaruzzaman choudhury

babu

Managing Director Mr. M. Shahjahan Bhuiyan

Number of Branches 84


4

2.4 Vision of the UCBL

To hold the position of best private commercial Bank in Bangladesh with adherence to

meticulous compliances of rules and regulations and strong commitment to corporate

social responsibility.

2.5 Mission of the UCBL

(a) To get recognition as a dynamic, innovative and customer supportive Bank.

(b) To maintain continuous & steady growth with utmost transparency and to diversify

development of resources.

(c) To enhance continuous development of information & technology to meet the demand

and challenges of the time


5

2.6 Organogram of UCBL

Fig-1: Organogram of UCBL

Executive Vice President (EVP)

Senior Vice President (SVP)

First Vice President (FVP)

Vice President (VP)

First Assistance Vice President

Assistance Vice President (AVP)

Senior Executive Officer (SEO)

Executive Officer (EO)

Management Trainee Officer

Senior Officer

Officer

Junior Officer

Deputy Managing Director (DMD)


6

2.7 Products and Services

Products & Services

� UCB Multi Millionaire � Industrial Finance

� UCB Money Maximizer � Foreign Currency Deposit A/C

� UCB Earning Plus � NFCD ( Non Resident Foreign

Currency Deposit Account )

� UCB DPS Plus � RFCD ( Resident Foreign Currency

Deposit Account )

� Western Union Money

Transfer

� Consumer Credit Scheme

� SMS Banking Service � Locker Service

� Online Service � Industrial Finance

� Credit Card, Debit Card � Foreign Currency Deposit A/C

� One Stop Service

� NFCD ( Non Resident Foreign

Currency Deposit Account )

� Time Deposit Scheme � Inward & Outward Remittances

� Monthly Savings Scheme � Travelers Cheques

� Deposit Insurance Scheme � Import Finance

� Working Capital Finance � Export Finance

� Inward & Outward

Remittances

� Trade Finance

� Loan Syndication � Underwriting and Bridge Financing


7

2.8 Department of Commercial Bank: Commercial Bank divided its branch into 3

departments.

Fig-2 Dept. of Commercial Bank

2.8.1 General Banking

General Banking is the starting point of all the banking operating. General Banking

department aids in taking deposits and simultaneously provides some ancillaries services.

It provides those customers who come frequently and those customers who come one

time in banking for enjoying ancillary services. It is the department, which provides day-

to-day services to the customers. Every day it receives deposits from the customers and

meets their demand for cash by honoring cheques. It opens new accounts, demit funds,

issue bank drafts and pay orders etc.

� Cash Section

Cash section demonstrates liquidity strength of a Bank. It is also sensitive as it deals with

liquid money. It is the most important department that is contributing to the earning of the

bank in terms of goodwill and customer satisfaction with their quality and prompt

services.

Cash department of UCB Rajshahi Branch is well equipped and decorated. There is also

electronic counted machine and computers with online system in this department.

Balance of account can be seen with few seconds. So cash payment can be made very

promptly. Transaction involving cash is called cash transactions. The cheques/ instrument

/ vouchers which are paid in cash over the counter are cash transactions. It has two types

of services:

� Cash Receipt

� Cash Payment


8

� Procedure of Cash Receipt

The depositor will use the prescribed deposit slip supplied by the bank to deposit cash

/cheques/ demand draft/ pay order etc. All cash receipt voucher shall be received by the

teller. Cash receipt counter performs its job as follows:

� First checks if the deposit slip is properly filled up containing title of account,

account number, date, amount in word and figures and depositors sign.

� Cash is received by the cash receiving officer, twice counted and matched

with the deposit slip and also write down the denomination of notes behind

the cheque.

� Record it in the Record Book and put scroll no in the cheque

� Deposit slip is credited and posted in the concerned account in the system.

� Procedure of Cash Payment

At this counter cash is paid to the customer on demand by placing a cheque over counter.

Payment counter performs its job as follows:

� Check the cheque leaf whether it is worded properly. This cheque covers

Branch seal, Date (Date must be current date or 180 days earlier), amount in

figure and word, and finally signature of the Drawer. We also check here

whether the word “Bearer” is crossed away or the cheque is in the name of

any company or firm.

� Verify the signature with the specimen signature and give verification seal and

signature of the verifier.

� Check proper endorsement is given behind the check leaf in case of Check

Drawn on Payees in the name of any Firm. For cheques in the name of Firm

Attestation is required along with Firm’s common seal to be paid over the

cash counter.

� Give posting in PcBANK2000 and debit Drawer account and note the

transaction no. on the top of the cheque.


9

� Cash Book Balance

At the end of the working day cashier is responsible to maintain the cash balance book.

The cash book contain the date, opening balance, detail of cash payment and received in

figures, closing balance, denomination of government notes (Currency). It s checked by

manager. The consolidated figure of receipt and payment of cash is entered in the cash

book and the closing balance of cash is drawn from that i.e.

Opening Balance of Cash + Receipts - Payments = Balance

The closing balance of today will be the opening balance of tomorrow. This department

is one of the most important departments of the Bank. All the books maintained in this

department are checked by officer.

� Cash Insurance Limit

Fig-3: Cash Insurance Limit

� Maintenance of Cash Remittance

The In-charge of Cash Department maintains the cash remittance according to the rules

of the Bank. If the cash manager thinks that the amount of money cross the limit, then he

called the Principal Branch to takes the extra amount of money or vice versa. Inter

Branch Credit Advice (IBCA) is used for such transaction.

� On-Line Banking Operations

The UCBL has 84 branches and all transactions among the branches are done through

Online. UCBL uses PcBank2000 customized software for its day to day transaction. The

activities are:

� Deposit cash in any branch in any account

� Withdraw cash from any branch

� Transfer from any account to any branch

Tk. 75 Lac Tk. 10 Lac Tk. 1 Corer

Cash in Vault Cash in Counter Cash in Transit


10

Account Opening Management

Responsibility of the customer service starts with opening of new account in the name of

new customer. This is the starting point of the client bank relationship. By opening an

account, the bank bridge it’s customer to avail the facilities provided by the bank.

� Types of Account

UCBL has several types of deposits for its customers. Like-

� Savings Bank (SB) Account

� Current Deposit (CD) Account

� Short Term Deposit (STD) Account

� Fixed Deposit Receipt (FDR) Account

� Account Bills and Remittance:

Remittance is one of the important items of bank business. Now a day business person

cannot run his business without bank remittance facilities. Sending some money from one

station to another through banking channel is called remittance. Remittance may be both

local and foreign. The main instruments used for local remittance of fund are:

� Pay Order (PO)

� Demand Drafts (DD)

� Telegraphic Transfer (TT)

� Payment in Cash

� Clearing

The function of clearing department can be divided into two parts:

� Outward Clearing

� Inward Clearing

2.8.2 Credit Management:

The word ‘credit’ derives from Latin word ‘cruder’ means ‘to trust’. The fundamental

nature of credit is that, an element of trust exists between buyer and seller whether of

goods or of money. Credit may also be defined narrowly or broadly. Narrowly credit is

simply the opposite of debt. Debt is the obligation to make future payments. Credit is the

claim to receive these payments. Credit is finance made available by one party (lender,

seller or shareholder/ owner) to another (borrower, buyer, corporate or non-corporate

firm), i.e. from surplus unit to deficit unit. Credit is the outcome of financial


11

intermediation the very major service offered by Bank financial institution. The economic

basis of financial intermediation lies in the economics of scale in portfolio management

and in the low of large numbers.

Lander have preference for financial intermediation because of:

� Low risk

� Greater liquidity

� Convenience and

� Organizational Structure for Credit Operation:

Head Office

Fig-4: Organizational Structure for Credit Operation

Board

EC

MD

DMD

Corporate

Division

Credit

Division

Internal Audit

General

credit dept

SME

Dept

Syndication &

Structured

Finance Dept.

Leasing

Dept.

Trade

Financ

Recovery

&

Legal

Dept.

CRM

Dept.

Credit Marketing

Team

Credit Recovery

Team

Credit administration

Team

Credit approval Team


12

At the minimum, one officer shall be placed in the Credit Administration unit

immediately at each branch who shall independently under administrative and working

control of Credit Administration Department.

� Credit Administration Flowchart:

Fig-5: Credit Administration Flowchart

Functions of

Credit Administration

Compliance

Approval from

CRM

Completion of

Security

Documentation

Limit

Creation &

Complying

Disbursement

Disbursement

Obtaining security

Documentation as

per approval

Safely Storing

Loans/Security

Documents

(fire proof)

Ensure Collateral is

insured & properly

Values.

Monitoring

Of Past Due,

Limit,

Expiry &

Documents

Monitoring

Conditions &

Covenant Branch

Monitoring

Custodian Disbursement

Returns to

BB,

CIB

Reporting,

Maintain BB,

Circulars &

ensure

compliance by

all Depts.


13

Loan & Advances

Loan and advances have primarily been divided into three main heads as follows:

Fig-6: Loan and Advance

� Fixed Term Loan

These are the non-revolving loans made by the Bank with fixed repayment schedules.

This loan is given for a specific term and usually repaid in Equal Installment either of

monthly or quarterly. The interest may be paid quarterly or along with the installment.

Fixed term loans are categorized into three categories based upon its tenure which is

defined as follows:

� Short-term loan

� Mid Term loan

� Long Term Loan:

� Continuous Loan

Fig-7: Continuous Loan

Loan & Advance

Continuous Term Loan Demand Loan

Over Draft (OD) Cash Credit

CC Pledge CC Hypo Secured OD Temporary

Continuous


14

� Demand Loan

These are the non-revolving loans which are neither continuous nor fixed but have to be

repaid on demand. This loan is repayable by the borrower on demand. That means for

this loan the borrower is bound to pay back on demand of Bank.

� Personal Loan ( Consumer Credit Scheme)

The objectives of this loan are to provide essential household durable to the fixed income

group (Service Holders) and other eligible borrowers. Car loan, loan for house

renovation, vacation loan, marriage loan and loan for household equipment well as

entertainment products are governed by personal loan program.

� Credit Committee

Bank has a multi-tier Credit approving system to manage the credit risk efficiently. Credit

proposals after preliminary evaluation and making necessary adjustment will be placed

by Corporate Banking Division before the Credit Committee for preliminary appraisal

since recommendation of the Credit Committee is pre-requisite before approving any

loans by the appropriate approval authority. Credit Risk Review Department of CRMD

will conduct their risk assessment on different aspects of the proposal and may place their

observation in the Credit Committee meeting.

2.8.3 Foreign Exchange Department

Foreign Exchange Department is an important one in UCBL Rajshahi Branch that deals

with import, export, and foreign remittance and post import financing. Through this is an

ancillary service provided by the Bank. The Bank is purchasing primary security by

giving loan in form of loan against imported merchandise (LIM), and loan against trust

receipt (LTR). Bank branch should be ‘Authorized Dealer’ with the approval of

Bangladesh Bank to run foreign exchange business. This department is playing an

important role in enhancing export earnings, which aids economic growth and, in turn,

will be helpful for economic development. On the other hand, it also helps to meet those

goods and services, which are more demandable and not adequate in our country.

� Function of Foreign Exchange

� L/C opening & L/C amendment

� Sanctioning PAD, LIM, LTR, Packing credit

� Foreign Bill Purchase


15

� Local Bill Purchase

� Foreign Currency Account Maintaining

� Foreign Currency Remitted

The Foreign Exchange Department of UCBL is divided into three broad sections:

Fig-8: Foreign Exchange Department

� Letter of Credit

Letter of Credit is a payment guarantee to the seller by the buyer’s Bank. It is a Credit

Contract whereby the buyer’s Bank on behalf of the buyer is committed to pay an agreed

amount of money to the seller under some agreed conditions.

� Contents of Letter of Credit

� Name of the Buyer

� Name of the Seller

� Moment of the Credit

� Trade Terms

� Tenor

� Expiration Date

� Documents Required

� Foreign Exchange Report

Import policy refers to government policies account for a particular fiscal period

envisaging the allocation of fund available from various sources for import of certain

quantity of certain goods. The main purpose of the policy is to conserve scare foreign

exchange & to ensure its utilization for the import of goods and services which have

national priority.


16

� Flow Chart of Import Procedure

Fig-9: Flow Chart of Important Procedure

2. Exporter Agrees to Fill Order

6. Goods Shipped to Exporter Importer

Exporter Importer 14. Importer Bank Presents

Matured Draft & Gets Payment

8. Importer Bank Presents Draft to Exporter

9. Importer Bank Returns Accepted

13.

Importer

Pays Bank

12. Banks Tells

Importer Documents

7. Exporter

Presents Draft to

Bank

10&11. Exporter

Sells Draft to

Bank

3. Importer

Arranges for

L/C

5. Importer

Bank

Informs 4. Importer Bank Sends L/C to Exporter

1. Importer Order Goods


17

� Letter of Authorization Form (LCAF)

The Letter Of Credit Authorization Form is the form prescribed for the authorization of

opening letter of credit or payment against import and used in lieu of import license. The

authorized dealers are empowered to issue LCA forms to the importers to allow import in

Bangladesh. If foreign exchange, it is intended to be bought from Bangladesh Bank

against a LCAF, it has to be registered with Bangladesh Bank’s Registration Unit.

� Importer Application for L/C Limit

The importer must have sufficient credit line for opening an L/C. In case the client does

not have approved credit line for opening an L/C the Manager of the branch takes

necessary arrangement to submit a proposal to the Credit Committee/Executive.

.L/C Application

L/C Application is a sort of arrangement between client and Bank. UCBL provides a

printed form for opening a L/C to the importer. Usually the importer expresses his desire

to open a L/C quoting the amount of margin in percentage.

� Scrutiny of L/C Application

On receipt of L/C application, the branch officials scrutinize the same very carefully

giving emphasis to the following:

� The terms and conditions of the L/C must be complete with UCPDC 500 and

Exchange Control & Import Trade Regulation.

� L/C application is stamped, as it is a guarantee of payment.

� Procedure

On receipt of a request letter for amendment of L/C from the customer the Bank takes the

following steps:

� Record the date and time of receipt of the application.

� Read the request letter for amendment briefly to ensure that concerned L/C

number and the instructions mentioned are clear.

� If found in order check the request letter for amendment together with all

supporting papers.


18

� In case the letter of amendment is completed or required papers neither are nor

submitted, the customer should be contacted promptly for rectification of the

defects.

� In case the customers do not have approved credit line for increasing/amending

the L/C, the import section has to submit proposal to the Executive Committee of

the Board and keep pending of amending the L/C till its approval.

� When the request letter for amendment with all papers found to be in order,

record the particular of amendments with date in appropriate column against the

relevant L/C in the L/C register.

� Prepare the letter of amendment either in mail, SWIFT telex format.

� Foreign Exchange Export

According to Foreign Exchange Regulation Act, 1947, nobody can export by post and

otherwise any goods either directly or indirectly to any place outside Bangladesh, unless

a declaration is furnished by the exporter to the collector of customs or to such other

person as the Bangladesh Bank may specify in this behalf that foreign exchange.

� Back to Back Letter of Credit

Back-to-Back L/C is a secondary L/C opened by the seller’s Bank based on the

original/master L/C to purchase the raw materials and accessories for manufacturing of

the export products required by the seller.

� Post-Shipment Credit

Post-shipment Credit refers to the credit facilities extended to the exporters by

commercial Banks after shipment of the goods against export documents.

Banks in our country generally extend post-shipment credit to the exporters through:

� Negotiation of documents under Letter of Credit

� Purchase/Discount of DP and DA Bills

� Advances against Export Bills surrendered for collection

� Negotiation of documents under Letter of Credit

� Purchase/Discount of DP and DA Bills:.

� Advances against Bills for Collection:


19

� Commission for collection:

Up to 1 lack ---------------------------------------------- 0.15%

Above 1 lack---------------------------------------------- 0.10%

Above 5lack ---------------------------------------------- 0.05%

Foreign Remittance

Foreign Remittance means purchase and sale of freely convertible foreign currencies as

admissible under Exchange Control Regulation of the country.

Fig-10: Foreign Remittance

� Foreign Inward Remittance

� Foreign Outward Remittance

Remittance which is made from our country to abroad is called foreign outward

remittance.

Foreign Bills Collection

The collection procedure is as follows:

� Entries in the FBC register and get a FBC number. This number will be on the bill

and be treated as reference no.

� Forward the bill along with a forwarding letter to the corresponding Bank. Send

the draft through courier service and keep a courier receipt in the file.

� Crossing on the bill indicating UCBL as a collecting Bank. Endorsement on the

back of the bill “Payee’s A/C will be credited on realization”.


20

PART TWO: RESEARCH SECTION


21

CHAPTER THREE: INTRODUCTION

3.1 Introduction

Job satisfaction or employee satisfaction is one of the most important factors in any

organization especially in serve competitive banking sector across the world. In the

development of information and communication technology (ICT), the fact of job

satisfaction is becoming more complex day by day. To cope with the changes and

upcoming challenges, organizations must identify the factors, which have profound

impact on organizational performance as well as job satisfaction.

3.2 Statement of the Problem

Job satisfaction has been defined as a general attitude toward one’s job (Huang, 1999).

Locke (1976) has defined job satisfaction as the pleasurable emotional state resulting

from the appraisal of one’s job or job experiences. Smith (1955) defined job satisfaction

as an employee’s judgment of how well his job has satisfied his various needs. But Locke

(1976) gave a more acceptable definition of job satisfaction. He defined job satisfaction

as the pleasurable emotional state resulting from the perception of one’s job as fulfilling

one’s important job values, providing these values are compatible with one’s needs. In

such situation, job satisfaction of bank executives becomes an important issue that has to

be taken care of in order to achieve ultimate goals of the banking sector in Bangladesh. It

is strongly affected the quality of service of the employees (Babakus, Yavas, Karatepe,

Avci, 2003).

Employee satisfaction is thought to be one of the primary requirements of a well run

organization and considered an imperative by all corporate managements. It is undeniable

fact that the future of business enterprise depends upon the satisfaction level of its

workforce. Dissatisfied workforces cause immediate problems only to their particular

businesses. Psychologists and sociologists have long been interested in the functions and

significance of job attitudes (Hoppock, 1935). Job satisfaction is a primary aspect of job

attitude. The most important evidence indicating the condition of the organization getting

worse is the low rate of job satisfaction (Kaya, 1995). Thus the job satisfaction is

essential pre-requisite for healthy organizational environment.


22

3.3 Objectives of the Study

The main objectives of the study are

1. To ascertain the degree of overall job satisfaction prevailing among the bank officers.

2. To focus on the relative importance of job satisfaction.

3.4 Literature Review

A review of the literature on job satisfaction revealed that a number of researcher and HR

professionals have emphasized the importance of the factors affecting job satisfaction.

Job satisfaction involves different facets such as satisfaction with pay, promotion

opportunities, benefits, job security and the importance of the job (Nquye et, al., 2003).

The private banks specially created a cut throat competition by offering new products and

services to gain more market share. The employment patterns in the banking sector

changed the focus become performance and targets rather than experience and loyalty.

Hence, pay and job satisfaction becomes a primary factor for the banking employees

which needed attentions so as to achieve the long term goals of the bank (Islam & Saha).

Determinates such as pay, work itself, relationships with coworkers, supervision and

opportunities for promotions have been found to contribute to job satisfaction (Opkara,

2002). There is a significant difference in the job satisfaction levels of employees based

on their income (Yasir & Fawad 2009). Generally, employees with lowest earnings

reported lower levels of job satisfaction relative to other income groups. The Literature

indicates that the performance of the private and foreign banks have been stronger than

that of public sector banks (IBA, 2008). A study by Slevaraj (2009) states; private banks

were more successful then public sector in terms of implementing Total Quality

Management (TQM) initiatives, in context of HR, customer focus, and top management

commitment. Public sector banks structure compensation in a way such that there are

lower pay differentials between the employees, long-term tenure is rewarded and there is

a high base pay, whereas in the private sector banks, there are larger pay differentials,

fewer rewards for tenure, and pay for perf ormance (D'Souza, 2002). However, private

sector banks do not provide job security and would lay off their employees in cases of

poor performance or adverse market conditions (Jha, Gupta & Yadav, 2008).

A various studies have been conducted on the job satisfaction but a very few studies have

been done on the job satisfaction of private sector in Bangladesh’s socio – economic


23

context especially in the banking sector. This research gap induced the author to

undertake the present study.

3.5 Significance of the Study

The study is significant for the following reasons:

2) This research may encourage further study including some new variables like this:

Performance appraisal, job analysis, good and safe working condition, Employee

relations, and so on;

3) This study will assist to enhance their understanding of the employee’s job

satisfaction;

4) It will also help them to make decisions regarding their HRM practices;

5) This study will help top management to craft their strategy regarding their HRM

practice.

3.6 Research Question

Our research question on the problems situation mentioned: is there a significance job

satisfaction prevailing among the employees of UCB ltd. in Bangladesh?

Based on psycho-social approaches to generate relevant research design and its proper

investigation this research question is very important to the policy makers of the bank and

to design appropriate policy and programs to promote banking services as well as

satisfaction among the employee of the UCB ltd. Bangladesh.

CONCEPTUAL FRAME WORK

Figure 11: Conceptual Framework of The impact of job satisfaction on Employees at United commercial

bank

Job satisfaction � promotions,

� salary,

� job security,

� Recognition


24

3.7 Hypothesis

The following hypothesis are formulated for the study

Hypothesis-1: All factors (Salary, Recognition, Job Security and Benefit) are

significantly correlated with overall job satisfaction.

Hypothesis-2: All factors determine the job satisfaction is significant.

3.8 Relative Important Factors

Physical Environment Relation with co-worker and organizations practice and polices

can lead to overall job satisfaction. Previous studies shows that pay, promotion

opportunities, benefits, job security are the important factors for academic performance

of children in any society across the world. (Nquye et, al., 2003, Opkara, 2002).

Fig- 12: Relative Important Factors of Job Satisfaction

3.9 Limitations of the Study

1. The Survey is subjected to the bias and prejudices of the respondents. Hence

100% accuracy can’t be measured;

2. The researcher was carried out in a short span of time, where in the researcher

could not widen the study;

3. The study could not be generalized due to the fact that researcher adapted

personal interview method.

Pay

Promotion opportunities

Benefits and

Job security

Physical Environment

Relation with co-worker

and organizations practice

and polices

Job

Satisfaction


25

CHAPTER FOUR: METHODOLOGY

4.1 Data Sources and Method

This study was conducted in Rajshahi district. In order to conduct this research United

Commercial Bank Ltd. Rajshahi branch of Bangladesh was purposefully selected for the

study area. In so doing 35 bank officers were purposefully selected for the study.

4.2 Variables and Measures

Overall satisfaction has been taken as a dependant variable and various other factors like

promotions, salary, job security, recognition, work environment etc are considered as the

independent variables. The main purpose of this study was to identify the job satisfaction

of the bank employees of the UCB Ltd. in Rajshahi, and to determine working hours,

team spirit, benefits, working environment and job security influence employee’s

perception regarding job satisfaction. Bank employees in this study refer to senior

executive officers, executive officers, and officers (not employees such as peons, guards,

drivers, cleaners, clerks etc). A questionnaire was developed, using 5-Scale Likert

(1=Highly dissatisfied, 2=Dissatisfied, 3=Somewhat satisfied, 4=satisfied, 5=Highly

satisfied) and was designed to test the impact of all the variables for this study. The

questionnaire was divided into 2 sections: demographics and job satisfaction. This is a

relative and qualitative study for which a tested questionnaire was used to identify

various outcomes of the study.

4.3 Instrument and Procedure

This study used survey design aimed to find out job satisfaction among the employees of

United Commercial Bank Ltd. Rajshahi branch Bangladesh. In so doing we used both

qualitative and quantitative variables. Based on the measurement of the independent and

dependent variables open-ended and close-ended questions was designed, following from

several studies. Interview technique with the questionnaire was applied for data

collection. According to the questionnaire every respondent of the bank was individually

asked for relevant answers.

Internship for this research was conducted from September 17 to November 19, 2012. In

order to collect real and valid data from the selected employees of the bank with the

questionnaire the researcher built up rapport with the respondents to create consciousness

about the research purposes and objectives, to make easy them for conversation and to

encourage them to active participation in the research. It continued until the completion


26

of data collection. First month of the data collection period were used to build up rapport

with the respondents and the next half of the months were worked for data collection. The

necessary data were collected at lunch time when the respondents of the bank were

leisured. After completion the interview especial thanks were given to every employee

for further contact.

4.4 Statistical Tools

The statistical tools used for analyzing the data collected are percentage method, bar

diagrams and pie diagrams.

4.5 Analysis of Data

The data are collected through survey and books, reports, newspapers and internet etc.,

the survey conducted among the employees of UCBL Ltd. The data collected by the

researcher are tabulated and analyzed in such a way to make interpretations. Various

steps, which are required to fulfill the purpose, i.e., editing, coding, and tabulating. The

collected data are analyzed and interrupted using statistical tools and techniques.


27

CHAPTER FIVE: RESULTS AND DISCUSSION

Table-1: Demographic Characteristics

Frequency Percentages (%)

Respondent’s Gender

Male 23 65.72

Female 12 34.28

Total 35 100

Respondent’s Working Experience

< 1 year 9 25.71

1-5 Years 10 28.57

6-10 years 10 28.57

11 to above 6 17.14

Total 35 100

Respondent’s Working Position

Top Executive 6 17.14

Senior Executive Officer 2 5.71

Executive Officer 17 48.57

Officer 5 14.25

Card Division 5 14.25

Total 35 100

Respondent’s Income Range (Monthly)

< 30000 Tk 15 42.85

30000-50000 3 8.58

50000-70000 11 31.42

More than 70000 6 17.14

Total 35 100

Tables I summarize the respondent organizations’ characteristics according to the

working experience in the current organization and working positions of the respondents.

The above table shows that 65.72% employees of the bank were male and only 34.28%

were female employees. Most of the employees’ working experience within 5 years

(54.28%). 6-10 years experience employees were 28.57% and 11 to above years were

only 17.14%.


28

Fig 13: Respondent’s Working Position

The above chart-1 indicates that regarding the position of the of the employees of UCB at

Rajshahi branch, 49% were executive officer, 17% were top executive officer, card

division and officer were 14% and 6% were senior executive officer. So, most of the

employees of the bank were executive officers level.

Fig-14: Respondent’s Income Range (Monthly)

According to the above chart and table most of the employee’s salary range were <30000

Tk (43%), 50000-70000Tk were 31%, 30000-50000 Tk were 9% and more than 70000Tk

were 17%.


29

Table-2: General Findings Related to Job Satisfaction

Frequency Percentages (%)

Salary matches with responsibilities and level of satisfaction

Highly dissatisfied 0 0

Dissatisfied 3 8.57

Somewhat satisfied 2 5.71

Satisfied 24 68.57

Highly satisfied 6 17.14

Total 35 100

Recognition for contribution and level of satisfaction

Highly dissatisfied 0 0

Dissatisfied 6 17.14


Satisfied 19 52.28


Total 35 100

Job security and level of satisfaction

Highly dissatisfied 2 5.71

Dissatisfied 4 11.42


Satisfied 11 31.42


Total 35 100

Benefits and level of satisfaction

Highly dissatisfied 2 5.71

Dissatisfied 2 5.71

Somewhat satisfied `1 2.85

Satisfied 20 57.14


Total 35 100


30

According to the findings of the above table-2, most of the employees of the UCB were

satisfied for salary recognition, job security and benefit respectively 68.57%, 52.28%,

31.42% and 57.14%. Highly satisfied were 17.14%, 14.28%, 34.28% and 28.56%

respectively. On the other hand 8.57%, 17.14%, 11.42% and 5.71% were dissatisfied.

Among the dissatisfied employees, most of their positions in entry level like card

division. On the other hand, most of employees of the bank were satisfied for physical

environment of the bank, relationship with their co-workers and organization practice and

polices but not highly satisfied. According to the fact, we can assume that job satisfaction

among employees of the UCB is satisfactory.

RECOMMENDATIONS

It is quite difficult to give suggestion to improve the banking conditions of UCBL. I

have found during my internship can be made up taking into account the following

suggestions.

� Offers more facilities to the customers such as, more ATM booth etc.;

� General working conditions ought to be improved;

� Should increase the number of computers as well printers with proper UPS

facility;

� To speed up the Foreign Exchange works;

� Physical environment (space, infrastructure, furniture) need to be developed;

� In order to promote healthy environment of the bank, inter professional

relationship among the employees should be increased;

� Job security should be ensured for the employees of card division;

� Intrinsic reward is such a reward which is not visible and motivate employee

through recognition of their work, provide leave, career guidance and so on. And

extrinsic reward is such kind of reward which is visible or monetary reward like

benefits, compensation, pay for performance motivate employees of an

organization. So intrinsic and extrinsic reward should be established in order to

ensure job satisfaction among the employees of UCBL.


31

CONCLUSION

In the conclusion of the analysis and observation during my internship period it can be

concluded that United Commercial Bank Limited is providing and maintaining pleasant

working environment for delivery of better quality services to maintain edge over the

competitors. At the same time it has been also found that United Commercial Bank Ltd.

is participating in the growth of our national economy with high quality, information

technology driven innovative services to its clients by its own dedicated team of

professionals. While concluding, it could be said that overall the job satisfaction among

the bank officers though is not very high but still satisfactory. But there is still

considerable room for improvements.


Appendix-1

1. D'Souza, E. (2002). “Employment and human resource practices in public sector banks

in the nineties”, In Shuji

2. Hoppock, R. (1935). Job Satisfaction, Harper and Row, New York.

3. IBA (2008). Indian banking year book. Mumbai: Indian Banks' Association. Islam, N.U.,

& Saha, G.C. (n.d). “Job satisfaction of Bank Officers in Bangladesh.”

4. Jha, B. K., Gupta, S. L., & Yadav, P. (2008). “Use and effectiveness of new technologies

in Indian banking: A study”, The ICFAI Journal of Services Marketing, 6(1), 6–22.

5. Kaya, Ebru (1995). “Job Satisfaction of the Librarians in the Developing Countries”.

61st IFLA General Conference, Management Education and Practice in a Developing

Economy.

6. Locke, E.A. (1976). “The nature and causes of job satisfaction”, in Dunnette, M.D. (Ed.),

Handbook of Industrial and Organizational Psychology, Rand McNally, Chicago, IL,

pp.1297-1343.

7. Opkara, J. O. (2002). “The impact of salary differential on managerial job satisfaction: A

study of the gender gap and its implications for management education and practice in a

developing economy. The journal of Business in Developing Nations, 65-92.

8. Selvaraj, M. (2009). “Total quality management in Indian commercial banks: A

comparative study”, Journal of Marketing and Communication, 4(3), 59–70.

9. Yasir, K., and Fawad, H., (2009). “Pay and Job Satisfaction: A Comparative Analysis of

Different Pakistani Commercial Banks”. Munich Personal RePEc Archive, paper No.160

59.pp. 1-20.

10. www.ucbl.com

11. www.bangladesh-bank.org

12. www.wikipedia.com

References


QUESTIONNAIRE

Appendix-2

A STUDY OF JOB SATISFACTION OF BANK EMPLOYEES AT UNITED COMMERCIAL

BANK LTD. BANGLADESH

Respondents Name…………………………………………………………...Age…………….

Organization Name………………………………………………….

A. General Information

1. Gender of the Respondents: Male Female

2. Total Number of year in this organization of the Respondents:

Less than1 1-5 6-10 Above 11

3. Respondents Working Position:

Top Executive Senior Executive Officer Executive Officer

Officer Card Division

4. Respondents Income Range (Monthly):

Less than 30000Tk 30000-50000TK 50000-70000Tk

More than 70000Tk

B. For the questions that follow and used the following scale which are stated below:

Highly dissatisfied-1,Dissatisfied-2, Somewhat satisfied-3, Satisfied-4, Highly satisfied-5

1 2 3 4 5

1 Salary matches with responsibilities and level of satisfaction

2 Recognition for contribution and level of satisfaction

3 Job security and level of satisfaction

4 Benefits and level of satisfaction

5 Physical environment of the bank

6 Relationship with the co-workers

7 Organizational practice and polices


0830004

Documents

enhancing export earnings

assistance vice president

united commercial bank

credit administration flowchart

approved credit line

aids economic growth

senior executive officer

private sector banks