SOHAIL YOUNAS MC090203729 MBA Banking

PRESENTATION ON KASHF BANK

Brief Introduction of the Organization KASHF microfinance bank limited was incorporated on June 26, 2008 as a public limited company KASH Microfinance bank is established microfinance bank with a major equity investment from KASFH holding limited Bank head office is situated at JOHAR TOWN LAHORE Pakistan Bank provides microfinance services KASHF bank expanded its branch network is very short span of time in different cities of Pakistan KASHF Microfinance bank every employee is a risk manger of his/her area.

Organizational Hierarchy Chart Board of Directors President Resource Development Unit Operations Department Information technology HR Manager Internal audit committee Internal audit department manger Chief Executive Officer (CEO) Finance department Chief finance

Training Program

Operational Department Fill account opening form Take signature of customer on SS card Fill the application form of DD Fill cheque requisition slips

Customer Care Department Help customer in filling cheque & cash depsit slip Help customer in filing cheque Provide account opening information to customers

Fill loan application form Field Work Credit Department Fill loan application form Field Work

Critical Analysis

Risk framework Risk framework encompass the following areas Credit risk Liquidity risk Operational risk Human resource risk Market/interest rate risk

Risks faced by the bank Security system Branch Risk Kashf bank is committed to ensuring that the service they offer is fully secure metal detective deceive CCTV camera Electronic security system

Management Information System KASHF uses all the necessary tools to protect transactions and accounts form unauthorized access. Bank provides each employee an ID

Employees Integrity Bank create a culture where there is mutual trust and respect for each other Employee work in their own are of expertise but also empower them to exchange experience and ideas with peers and supervisors Bank hire employee by internal and externally

ii. Systematic Risk Interest rate and recession represent the sources of market risk because these affect the entire market and cannot be diversified This systematic risk arises due to change in the local and global macroeconomic parameters Interest rate risk Market risk

iii. Un-systematic Risk Risk that is inherent in each investment and this risk can be reducing by appropriate diversification Credit risk Liquidity risk

Loaning system Bank provide microfinance and bank analyze and verify the application to determine client’s worthiness Risk department verify and check the ability of customer to pay the loan amount Screening of application by business manger is done In credit committee two loan officers and business manger are involved and they approval the credit If the loan amount in more than 100,000 than regional manger approval is also required

Risk Mitigation Approaches Bank adopted the simple approach of credit risk mitigation KASHF bank uses realizable value of eligible collaterals to the extent of outstanding exposure. The bank has an effective loan disbursement and recovery monitoring system A provision for potential loan losses is maintained

Future Prospects of the Organization Introduce new and innovative products/ services Improve it’s technological so further improve its existing banking services to facilitate its customers In five year KASHF bank plan to open 100 branches across 31 cities Provide ATM services to its customers

Conclusion KASHF Microfinance bank provides microfinance services Every employee is a risk manger of his/her area. Hiring process of bank is not fully on merit Bank have less banking experience but bank is performing well.

Recommendations Bank should provide ATM service in all its branches Reduce its loaning processing time Bank should provides advances on easer condition to attract more customer Increase the benefits of the employee Bank should hire employee fully on merit Reduce employee turnover by offering them best salary package and incentives