Organizational Analysis Report On

Faysal Bank Ltd.

Submitted By:
Name: Muhammad Asadullah
Student ID: MC180400174
Session: 2018-2020
Mail: mc180400174@vu.edu.pk
Date of Preparation: 01-07-2020
University: Virtual University of Pakistan
Letter of Undertaking
Acknowledgement:
Doing the organizational analysis of Faysl Bank Ltd is a dream project for me because as I
always wanted to do an internship in my favorite bank but due to the current pandemic situation
of the country it wasn’t practically possible. So as per the given instruction by the VU I did an
online organizational analysis report on the bank.
I did this project entirely by sitting at home. I also have some contacts in the branch where I was
supposed to do the internship, and during the making of this online analysis report I constantly
got in touch with those people.
First of all, I am thankful to my all teachers at the university and the officials of the departments
who are in some way or the other help and guide me through this journey.
Mrs. Maria, the
I had been an active part at the branch for eight weeks and got to learn a lot. My work in the
different departments, specifically, the SCM department in the supervision of Mr Babar Has
made me think about a wide range of parts of the practical life. I had been to
Production/operations, markets, with the help of the staff at the site; I managed some of their
accounts. The time to time guidance given by the seniors of each department helped me put
together all I learned and implement it in an effective way Various issues with respect to the
work, the market and the client, were looked by and I being an internee was offered chances to
give my best feeling for the specific issue. As an understudy and an internee at the Atiaf factory
for paints, which operates with the brand name of National Paints, allowed me to execute what I
had gained from the books and a long way to go from what I encountered being out there.
 Executive Summary
The purpose of this report is to give a detailed information about Faysal Bank Ltd. To complete
this document, I extensively work online in order to learn and gather important things about the
bank and useful information.
I have chosen this particular bank because it is one of the leading bank operating in Pakistan.
After the formation of Pakistan in 1947, there is no strong banking industry then, but now,
Pakistan’s banking industry is growing stronger and stronger and recognized and critically
acclaimed by international bodies.
In Pakistan, there are number of different banks, local and international, operating under the
policies of Government of Pakistan and State Bank of Pakistan. Which includes local/foreign
incorporated commercial banks, financial institutions, investment banks, micro finance banks
and Islamic banks.
Faysal Bank Ltd. (FBL) has started its operations in 1995, locally operating bank of Pakistan. Al
Faysal Investment Bank Limited, another group entity in Pakistan, merged into Faysal Bank
Limited on 1st January 2002, which resulted in a larger institution. Ihtmaar Bank B.S.C an
investment bank listed in Bahrain, holds majority of share in Faysal Bank Ltd.

The company is committed to its clients' best interests as well as preserving a good relationship
by defining realistic objectives. Faysal Bank is continuously innovating, delivery creative and
high-quality solutions which fit best its clients’ needs.

It maintains a high ethical standard for its organizational environment and unconditional
compliance with regulations and laws. It values its integrity and actively promotes the “know
your customer” policy amongst Faysal employees to ensure that the company is not involved in
any money laundering.

Hiring and retaining the top talent in market while respecting diversity, encouraging self-
improvement, recognizing and rewarding merit are the key values of Faysal Bank.
 Overview of Faysal Bank
History:
 Faysal Bank started operations in Pakistan in 1987 as a branch extension of Faysal
Islamic Bank of Bahrain
 In 1995 incorporated locally as a Pakistani bank under the present name of Faysal
Bank Limited.
 On January 1, 2002, Al Faysal Investment Bank Limited merged into Faysal Bank
Limited
 JCR-VIS Credit Rating Company’s Rating:
Entity Ratings AA/A-1+(Double A/A- One Plus) Stable
 PACRA Pakistan Credit Rating Agency Limited
Long Term Rating AA(Double A) Stable
Short Term Rating A-1 Plus(A-One Plus) Stable

The major shareholder of Faysal Bank Limited is Ithmaar Bank B.S.C an investment
bank listed in Bahrain.
Faysal Bank Limited is a full service bank offering consumer, corporate and investment banking
facilities to its customers. The Bank's widespread and growing network of branches in all over
Pakistan including Azad Kashmir and Gilgit Baltistan, with its corporate offices in major cities,
provides enormous services to its customers in very effective and efficient manner.
Faysal bank subsidiary company is Faysal Asset Management Limited (FAML), an asset
management company launched back in 2003 within Faysal Bank Group.
FAML brings together the collective financial expertise and investment experience of Islamic
Investment Company of Gulf, with its extensive global fund management experience, Faysal
Bank Limited, one of Pakistan’s premier commercial banks. The joint venture partners have
international expertise of managing funds in diversified markets around the globe.
FAML has a strong management team and a research based investment structure geared towards
providing quality service to its clients. A dedicated research team for each fund works under the
supervision of internal investment committee, which is headed by the CEO.

Owner Organization Information:

Ithmaar Bank is a licensed bank in Bahrain by the Central Bank of Bahrain and operate as a
full investment bank. It is listed as ITHMR in Bahrain stock exchange. It has equity of BHD 85
Million. Its revenue is BHD 151 Million, total assets at BHD 3.127 Billion and net income is
BHD 14 Million. It operates in middle east and north Africa.
The bank deals in financial services and real estate. It also deals in Islamic banking, equity
services, private banking services, investments, merger and acquisitions etc.
Ithmaar Bank, formerly an investment bank, completed in April 2010 a comprehensive
reorganisation with its then wholly-owned subsidiary, Shamil Bank, to emerge as a premier
Islamic retail bank.

Vision:
Be the leading Islamic bank in Pakistan

Mission:
Achieve leadership in providing Shariah compliant financial services, with
customer care and employee focus at the heart of our business ethos together with innovation and
technology being the pillars of our growth.

Values:
Our daily code of conduct is exemplified by eight core values:

Threshold Values:
Four threshold values at the heart of our brand
i) Team Work:
 We function as team.
 Within functions we cooperate.
 Between function we collaborate.
 Together, we aim for excellence and leadership in our chosen team.
Our Team: Our Asset
ii) Respect:
 We hold our customers, investors and regulators in high esteem.
 We uphold our customers’ right to demand efficient service.
 We appreciate and respect our profession and, above all, our bank.
Our Respect: Our Duty
iii) Professionalism:
 we are proficient and efficient in all that we do.
 We provide banking services knowledgeably and skillfully.
 We uphold regulatory obligations.
Our Professionalism: Our Competence
iv) Integrity:
  We are recognized by our reliability, credibility and character
 We believe in ethical, honorable, time-proven principles of uprightness.
 We stand for and abide by honesty, truth and transparency.
Our Integrity: Our Identity
Differentiation Values:
i) Passion:
 We bring zeal and enthusiasm for banking to work.
 We are excited to provide customers with the best or the best-suited.
 We go to the extra mile in legitimate, acceptable ways.
Our Passion: Our Worth
ii) Innovation:
 We pioneer novel and more efficient ways to deliver solutions.
 We are dedicated to a culture of improvement and modernization.
 We stand for originality, in thought, in action and in belief.
Our Innovation: Our Strength
iii) Responsiveness:
 We are receptive to the need for change and improvement.
 We are proactive and anticipate our customers’ needs and wants.
 We act quickly to modify, adjust or prepare for new realities.
Our Responsiveness: Our Distinguisher
iv) Compassion:
 Our concern for our colleagues, our customers, our communities, and our country sets
us apart.
 To each other, we are a family
 For each other, we are a meaningful source of shared humanity.
Our Compassion: Our Gift

Board of Directors
Chairman: Farooq Rahmatullah Khan
President & CEO: Yousaf Hussain
Director: Ahmad Abdulrahim Mohamed Abdulla Bucheery
Director: Mian Muhammad Younis
Director: Imtiaz Ahmad Perviz
Director: Ali Munir
Director: Juma Hassan Ali Abdul
Director: Abdulelah Ebrahim Mohamed AlQasimi
Director: Abdulla Abdulaziz Ali Taleb
Director: Ms. Fatima Asad Khan
Director: Mr. Mohsin Tariq

Senior Management:

President & CEO: Yousaf Hussain

Chief Operating Officer: Raheel Ijaz
Head, Treasury & ECM: Salman Ahmed Usmani
Chief Financial Officer: Syed Majid Ali
Head, Internal Audit: Nasir Islam
Head, Retail Banking: Tahir Yaqoob Bhatti
Head, Compliance: Abadullah
Head, Corporate & Investment Banking: Ali Waqar
Chief Risk Officer: Mian Salman Ali
Head, Special Assets Management: Bashir Ahmed Sheikh
Head, Strategy: Syed Muhammad Fraz Zaidi
Head, Human Resources: Monis Mirza
Head, Operations: Aneeq Malik
Chief Information Technology: Syed Hasan Jafri
Head Islamic Banking: Muhammad Faisal Shaikh
Company Secretary & Head, Legal: Muhammad Aurangzeb Amin
Chief Digital Officer: Mohammad Arif

Shariah Board:
Chairman – Shariah Board: Mufti Mohib ul Haq
Member - Shariah Board: Dr. Mufti Khalil Ahmad Aazami
Resident Shariah Board Member: Mufti Muhammad Abdullah
 Products
Accounts
1) Current Accounts:
i) Faysal Tez Tareen Asaan Remittance Account
Faysal Bank understands the value of your hard-earned money and the sacrifice to
live far from your home. This is the reason we make sure that your remittances reach
your loved ones in the quickest and safest way. We are the ones who take care of your
family by ensuring fastest delivery of remittance into your Faysal Tez Tareen Asaan
Remittance Account with the access of our widest network of more than 550 branches
nationwide.
Features:
 Faysal Tez Tareen current account can open in PKR currency
 One pager single account opening form
 No initial deposit at the time of account opening
 No minimum balance requirement
 Accessibility to account through Faysal Bank 550 plus branches, nationwide
ATMs, Internet and DigiBank Mobile app
 Instant and direct deposit of remittance from abroad
 Enjoy daily withdrawal limits of Cash withdrawal – 1) up to PKR 50,000/- 2)
Daily fund transfer/inter-bank fund transfer (IBFT)/ pay order & bill payment
limit up to PKR 50,000/-
 Life Takaful coverage up to Rs. 1 million of account holder
 24 hours Customer Interaction Centre at your service
Benefits Of Faysal Tez Tareen Asaan Remittance Account
 Free Cheque Book
 Free PayPak/ Union Pay/ Golootlo Debit Card
 Free e-Statement
 Free Internet & DigiBank Mobile app Free Life Takaful coverage up to
Rs. 1 million.
In addition, by maintaining monthly average balance of Rs. 50,000/-, you can
also avail Free Pay Order, Free Account Statement copy.
ii) Faysal Asaan Current Account: Offers you the simplest approach to account
opening with simplified one-page Account Opening Form and Terms & Conditions.
Product Features & Benefits
 Initial Deposit of Rs.100/-
 No minimum balance requirement.
 Total Debit Transactions per month & Total Credit Balance Limit not to
exceed Rs. 500,000/-(Rupees Five hundred Thousand only).
  On maintaining monthly average balance of Rs. 50,000/- or more, following
facilities are provided
1) free of charge.
2) Free Unlimited Cheque Book
3) Free Unlimited Pay Orders / Demand Drafts
4) Free Unlimited Duplicate Account Statements
 Access to your account through Cheque Book and ATM /Debit Card can be used globally
at millions of merchants in more than 200 countries/territories and 2.1 million ATMs
worldwide, along with 11,000 ATMs and over 50,000 point of Sale (POS) locations
available nationwide.
 You also have access to your account through online banking at all Faysal Bank branches
nationwide.
 Free E-statements
 Service charges apply as per the Bank’s prevailing Schedule of Charges
Note: All taxes are applicable as per Government regulations, and all Bank Charges are
applicable as per the prevailing Schedule of Charges.
iii) Faysal Basic Banking: Basic Banking Account is a Pak rupee current account with
no minimum balance requirement.
Product Features & Benefits:
 Account can be opened with an initial deposit of Rs. 1,000/
 No minimum balance requirement.
 Maximum of two free deposits and withdrawals through counters/clearing are
allowed in a month.
 Easy access to your account through Cheque Book and Pocketmate Visa Debit Card.
Pocketmate can be used globally at millions of merchants in more than 200
countries/territories and 2.1 million ATMs worldwide, along with 11,000 ATMs and
over 50,000 point of Sale (POS) locations available nationwide.
 Unlimited transaction facility through ATMs.
 Free of charge statement of account for customers once a year. In case more
statements are required than standard charges would be applicable.
 Free ATM transactions on Faysal Bank ATM machines. However, charges would
apply on non Faysal Bank ATM machines as per SOC.
iv) Faysal Business First: Faysal Business First provides a suitable solution to business
individuals, with business across multiple cities, with need to conduct frequent
transactions. With Faysal Business First you can now enjoy a host of free services
and protection benefits. Business First also helps account holder in conducting
intercity transactions as well as using financial instrument for free.
Faysal Business First Current Account – Silver: Customer maintaining a previous average
monthly balance of minimum PKR 50,000 will be classified in the Silver category, offering
the following free service:
  Cheque Book
 Classic Visa / China Union Pay Debit Card
 Online Banking
 Pay orders
 E-statement
 Standing Instruction
 Pay order Cancellation
 Stop Payment on Cheques
 Same day clearing
 Intercity Clearing
 Duplicate Account Statement
 Faysal digibank Internet Banking
 SMS Alerts
Faysal Business First Current Account – Gold: Customer maintaining a previous
average monthly balance of minimum PKR 1,000,000/- will be classified in the Gold
category, offering the following additional free services:
 All Silver Waivers
 Interbank Fund Transfer
 1-Link Waiver
 Certificates (Balance Confirmation/ Account Maintenance)
 Gold Visa / China Union Pay Debit Card
 Business Cover Insurance of up to a limit a PKR 2,000,000/-.
 Cash withdrawal Insurance coverage of up to a limit of PKR 100,000/- (ATM and
Over the Counter) *
Faysal Business First Current Account – Platinum: Customer maintaining a previous average
monthly balance of minimum PKR 3,000,000/- will be classified in the Platinum category,
offering the following additional free services:
 All Silver and Golder waivers and service
 Free Cash Collection facility (4/Month)
 Free Issuance of Letter of Guarantees & Letter of Credit
 Platinum Debit Card.
v) Faysal Sahulat: Faysal Sahulat Current Account addresses your need for instant
access to your account from any branch of Faysal Bank nationwide. There is no limit
on the number of transactions you can make.
Product Features & Benefits:
 Minimum Monthly average balance of PKR 25,000/- should be maintained
 On maintaining monthly average balance of Rs. 50,000/- or more, following
facilities are provided free of charge 1) Free Unlimited Cheque Book 2) Free
 Unlimited Pay Orders / Demand Drafts 3) Free Unlimited Duplicate Account
Statements
 Access to your account through online banking at more than 400 Faysal Bank
branches in over 120 cities nationwide
 Free e-Statements delivered via email to view your banking transactions
 Free Faysal digibank Internet Banking facility where you can access your
account and control your finances while on the go
2) Saving Accounts:
i) Faysal Moavin: Faysal Moavin Savings Account allows individual savers like you to
enjoy regular profits on monthly basis. Your deposited savings increase in value as
monthly profits are added to your savings.
Product Features & Benefits
 Minimum Monthly average balance of PKR 50,000/- should be maintained
 Profit is calculated on your monthly average balance and paid to you on a
monthly basis
 No limit on number of transactions that can be made each month
 You can easily access your account through chequebook and ATM/Debit
Card.
 Free Faysal digibank Internet Banking facility where you can access your
account and control your finances while on the go
 Real–time SMS Alerts to help keep track of transactions conducted in your
account
ii) Faysal Market Link: Faysal Market Link Savings Account is our latest offering to
help you control and manage your savings the way you always wanted to. Now with
our innovative KIBOR-linked savings product, you can benefit from a daily changing
market rate. Product Features & Benefits:
 Attractive profit rates for you that are linked with KIBOR (Karachi Interbank
Offered Rate)
 Minimum Monthly average balance of PKR 500,000/- should be maintained
 Attractive profit rates. You are provided with an incentive to save more
through a tiered profit structure.
 Profit is calculated on your monthly average balance and paid to you on a
monthly basis.
 No limit on number of transactions that can be made each month.
iii) Faysal Savings: Faysal Savings Account addresses your basic banking needs. It
allows individual savers and depositors like you to enjoy profits on your savings.
Product Features & Benefits:
 Account can be opened with an initial deposit of Rs. 100/-
 No monthly average balance requirement.
 Profit is calculated on the monthly average balance.
 Profit is paid semi-annually.
 No limit on number of transactions that can be made each month.
iv) Faysal Anchor Savings: Faysal Anchor Savings Account is a Pak Rupee Account
targeted towards customers like you, who like to enjoy monthly profits on your
savings and want transactional flexibility at the same time. Product Features &
Benefits:
 Minimum Monthly average balance of PKR 50,000/- should be maintained
 Profit is calculated on the monthly average balance
 Profit is paid monthly
 No limit on number of transactions that can be made each month
3) Foreign Currency Accounts:
i) Faysal FCY Savings Plus: Faysal FCY Savings Plus is a foreign currency savings
account that gives you an opportunity to earn and enjoy profit on your foreign
currency. Product Features & Benefits:
 Account can be opened in US Dollar, Pound Sterling or Euro currency
 Minimum monthly average balance requirement is mentioned below:
1) USD 500 2) GBP 300 3) EUR 350
 Profit is calculated on your daily balance
 Profit is paid on a semi- annually basis
ii) Faysal FCY Current Account:
 Account can be opened in US Dollar, Pound Sterling or Euro currency
 Minimum monthly average balance requirement is mentioned below:
1) USD 500 2) GBP 300 3) EUR 350
Loans
1) AutoCash:
Features and Benefits:
 Loan amount from PKR 50,000 – Up to PKR 5,000,000 or up to 85% of your
Car’s worth
 Attractive markup rates
 Easy monthly Installment
 Flexible tenures ranging from 12 to 60 months for repayments
 A 0% pre-payment penalty option in case of early settlement of loan Mark-up will
be 1% higher than applicable rate. Facility can only be availed 6 months after loan
approval
2) Home Finance
Home Purchase: This type of facility allows you for the purchase of constructed
property.
Home Builder/ Plot + Construction: This type of facility is extended to customers who
already own land / want to purchase a piece of land and need funds to meet the cost of
constructing property.
Home Renovation: This facility is offered to customers who already own a house and
require funds for renovations. Home Re-finance (Transfer existing home finance facility):
This type of facility allows you to transfer your existing home finance facility from any
other bank to Faysal Bank Limited Islamic Banking.
 Quick processing with minimum documentation
 Minimum Limit PKR 500,000/- and Maximum 100 Million or up to 75% of the
appraised value of your property
 Tenure from 1 to 20 years (For Home Renovation minimum 2 and maximum is 15
Years)
 Flexibility to make Partial Pre-payments
 Property Takaful coverage
 Accidental death Takaful coverage
 Property rental Income can be considered as primary income or additional to the
basic income
 Income clubbing option with close relative
 Non- resident Pakistanis (NRPs) are also eligible to apply for home finance
facility. Documents required
3) Faysal Flexi Credit: Faysal Flexi Credit lets you enjoy yourself while we take care of all
your rainy days. It is your personal line of credit; quick money when and where you want
it! Flexi Credit is your one stop payment shop that takes care of all your financial needs,
your aspirational needs and unplanned expenses. Features & Benefits
 Get loan amount starting from PKR 50,000 up to PKR 500,000 (can be up to PKR
2 million subject to the Income and Debt Burden Ratio (DBR).
 Mark-up charged on utilized amount only
 Issuance of Cheque books against your Flexi Credit account for making secured
third party payments. Your first cheque book will be complimentary
 Discounts on Faysal Pocketmate Visa Debit Card.
 Consolidate all your outstanding credit card and other loans and transfer onto
Flexi Credit at a lower rate.
Business Solutions