Вы находитесь на странице: 1из 19

BANK ASIA LIMITED AT A GLANCE

HISTORY OF BANK ASIA

“For A Better Tomorrow” Is the mission of Bank Asia Limited through a contemplation
of assuring a professional term of Bankers is running the day-to-day operation of the
Bank.

The journey of Bank Asia Limited for excellence in Banking as a schedule commercial
Bank began in 27th November 1999 as a public Limited company incorporated in
Bangladesh under the companies Act 1994. It was the time when a rapid economic
development in the country concurrent with urbanization and life style change created
demands for new banking products and services.

Bank Asia Limited is one of the most successful banks among the third- generation
private banks. The bank has successfully entered its seventh year of operations. With
professional and dedicated team of management having long experience,
commendable knowledge and expertise in conventional and modern banking, the bank
has achieved success among its peer group within a short span of time. Since its
humble beginning in 1999, it set milestone by acquiring the business operations of the
Bank of Nova Scotia of Canada, first in the banking history of Bangladesh. It again
repeated the performance by acquiring the Bangladesh operations of Muslim
Commercial Bank Ltd. (MCB), a Pakistani bank. This has added to the strength and
courage of the bank. With all recourses, the management of the bank family believes
that the bank would be able to encounter problems that may arise both at micro and
macro-economic levels.

Within a short span of time Bank Asia has established itself as one of the fast growing
local private banks. It has at present a network of seventeen branches serving many of
the leading corporate houses and is gradually moving towards retail banking. Its other
significant delivery channel is the shared ATM Network. Bank Asia has 21 ATMs as a
member of ETN (E – cash) along with eleven other banks. In 2003 the Bank again came
to the limelight with oversubscription of the Initial Public Offering of the shares of the
Bank, which was a record (55 times) in our capital market’s history and its shares
commands

respectable premium. Bank Asia has been actively participating in the local money
market as well as foreign currency market without exposing the Bank to vulnerable
positions. The Bank’s investment in Treasury Bills and other securities went up
noticeably opening up opportunities for enhancing income in the context of a regime of
gradual interest rate decline. Bank Asia is maintaining its competitiveness by leveraging
on its Online Banking Software and modern IT infrastructure. It is the pioneer amongst
the local banks in introducing innovative products like SMS banking, and under the ATM
Network the Stellar Online Banking software enables direct linking of a client’s account,
without the requirement for a separate account(1). Currently Bank Asia is bank with a
network of 21 branches including 4 rural branches. This commercial bank has 79
branches, 68 ATM Booths & 10 SME centers throughout the country.

CORPORATE INFORMATION:

Description Date
Letter of Intent received: : 24/02/1999
First meeting of the Promoters held: 15/04/1999
Certificate of Incorporation received: 28/09/1999
Certificate of Commencement of Business: 28/09/1999
First meeting of the Board of Directors held: 01/10/1999
banking license received: 06/10/1999
First Branch license received: 31/10/1999
Inauguration of Bank: 27/11/1999
Date of Publication of Prospectus: 29/06/2003
Date of IPO Subscription: 23/09/2003, 24/09/2003
Date of First Share Trading in Bourse: 08/01/2004
Date of Agreement with CDBL: 20/12/2005
Date of First Scrip less Trading: 30/01/2006
Number of Promoters: 22
Number of Directors: 12
Number of Branches: 44
Number of SME centers : 09
Islamic wings : 04
Brokerage branches : 02

Principal Activities of Bank Asia Limited

The principle activity of the bank is banking. The banking business includes obtain
deposits through account opening, offer credit to corporate organizations, as well as
retail and small & medium enterprise, trade financing, project financing, lease and hire
purchase financing. The modes of banking include conventional banking and Islamic
banking. It also performs merchant banking function under the license by Securities and
Exchange Commission, Dhaka, Bangladesh.

Company Profile:

Name of the company: Bank Asia Ltd.

Bangladesh Head Office: Rangs Tower (2nd to 6th Floor) 68, Purana Paltan Dhaka-
1000.
Year of Establishment: November 27, 1999

Industry: Banking industry.

Shareholder’s Information: 14,402 total shareholders. Of which 25 Sponsors and


Directors, 13,857 General Public, 2 Foreign Investors, 119 Investment Companies, 277
Institution and 122 non-resident Bangladeshis.

Branches: 102 branches.

Subsidiary companies: 2 in abroad which are ‘BA Exchange Company (UK) Limited’
in London, United Kingdom established on May, 2011 and ‘BA Express USA Inc.’ in
Jamaica, New York, USA established on June 01, 2014 and 1 in Bangladesh ‘Bank Asia
Securities Limited’ established on March 16, 2011.

Foreign Correspondents: it has 657 foreign correspondents in 165 countries.

Exchange Houses: 45 exchange House in 9 countries as foreign remittance


channeling partner.

Bank Ranking: World Rank 2,504, Country Rank 17(Rated by Bankers Almanac)

Revenue: Profit after tax 2573.92 (in Millions)

Slogan: For a Better Tomorrow.

Corporate Website: http://www.bankasia-bd.com

Logo:

BANK ASIA’S VISION:

The Bank is pledge-bound to serve the customers and the community with utmost
dedication. Vision Statement
 To have a poverty free Bangladesh in course of generation in the new
millennium, reflecting the national dream.

 To build a society where human dignity and human rights receive the highest
consideration along with reduction of poverty.

BANK ASIA’S MISSION:

Bank Asia has developed a mission statement which reads as follows-

 To assist in bringing high quality service to the customers and to participate in


the growth and expansion of the national economy.
 To set high standards of integrity and bring total satisfaction to the clients,
shareholders and employees.
 To become the most sought after bank in the country, rendering technology
driven innovative services by the dedicated team of professional.

TRADE MARK OF BANK ASIA LIMITED:

The Trade Mark of the Bank Asia is the Identification of the Bank Asia Limited. The
Symbol in the Trade Mark Shows BA, B Stands for the Bank And A Stands for the Asia.

SLOGAN OF THE BANK ASIA LIMITED:

“For A Better Tomorrow’’ is the Slogan of the Bank Asia Limited. As the Vision is to
make Bangladesh a poverty free country and Mission is to serve the best to satisfy the
client, Shareholders and also satisfy the employees the slogan is go through with the
vision and mission.

Product & Services of Bank Asia Limited

Bank Asia Limited offers a wide range of product and services to their customer. They
offer following products and Services:
1. Overdraft 2. Lease finance

3. Secured Overdraft 4. Letter of Guarantee

5. Secured OD (Earnest Money) 6. Letter of Credit

7. Working capital finance 8. Back to back Letter of Credit

9. Loan against Cash Incentives 10. Small and Medium Enterprise


(SME)
11. Bill discounting 12. House building loan

13. Loan syndication and structured 14. Term loan


finance

15. Packing credit 16. Transport loan

17. Demand loan (Work order) 18. Time loan

Business Banking:

Term Loan:

1. Subidha - Unsecured Trading 2. Sondhi - Secured Trading

3. Sristi - Unsecured Manufacturing 4. Shombridhi - Secured


Manufacturing

5. Sheba - Secured Service 6. Shofol - Unsecured Service

7. Utshob - Seasonal Business 8. Somadhan-SecuredSpecial


Products

9. Subarno - Women Entrepreneur

Consumer Finance:
1. Auto Loan 2. SME Credit Card

3. Consumer Durable Loan 4. NBFI Card Cheque

5. Unsecured Personal Loan 6. International Prepaid Hajj Card


Treasury

7. House Finance 8. Overnight Call

9. Loan for Professionals 10. Repo and Reserves Repo

11. Senior Citizen Support Credit 12. Term Placement


Card

13. MasterCard Local Credit Card 14. Sale and Purchase of Treasury Bill &
Bond

15. VISA Dual Currency Credit Card 16. Interbank Buy/Sale Deposit Accounts

17. VISA Local Credit Card 18. Term Borrowing Foreign Exchange
Market

19. VISA Butterfly Credit Card 20. Saving Account

21. VISA Mini Credit Card 22. Current Account

23. VISA International Card against 24. Short Notice Deposit


RFCD,

25. Virtual Card 26. Fixed Term Deposit

27. Foreign Currency Account 28. Deposit Pension Scheme

29. Monthly Benefit Scheme 30. Double Benefit Scheme

31. Triple Benefit Scheme 32. Bank Asia Sanchoy Plus Islamic
Banking
Deposit Products:

1. Al-Wadiah Current Account 2. Mudarba Savings Account (MSA)


(AWCA)

3. Mudarba Deposit Pension Scheme 4. Mudarba hajj Savings Scheme


(MDPS) (MHSS)

5. Mudarba Special Notice Deposit 6. Mudarba Monthly Profit Paying


Account (MSNDA) Deposit Scheme (MMPPDS)

7. Musharaka 8. ATM Services

9. Remittance Service 10. Locker Service

11. Online Banking 12. Internet Banking

13. Phone Banking 14. Mobile Banking

15. Remote Banking (EBEK) 16. SWIFT (Society for World


Interbank Financial
Telecommunication)

17. Centralized Trade Services 18. Student File

19. Bill Discounting 20. Margin Loan

21. Capital Finance 22. Working Capital Finance

23. Brokerage Operation 24. Trade Finance

Departments & General activities of Bank Asia Ltd.

Banking services of Bank Asia Limited are operated through three main divisions.
These are as follows:

 General Banking
 Credit/ advances
 Foreign Exchange.
 General Banking: It includes-
 customer services
 cash
 accounts
 remittance and
 clearing

Credit Department: Lending money to the potential and genuine borrower is another
classic function of Bank Asia limited and it has a number of schemes of lending.

Functions of credit department:

 Loans and Advances


 Locker Service

Foreign Exchange: Foreign exchange division is the most lucrative in the banking
arena. By the term foreign exchange it is meant that the conversion of one currency into
another, whatever the procedure the ultimate goal is that.

Three basic issues are interlinked with foreign exchange; these are -

1. Import
2. Export
3. Remittance.
Product & Service position on BCG Matrix

The BCG is the chart that had been created by Bruce Henderson for the Boston
Consulting group in 1970 to help corporation with analyzing their business unit or
product lines. This helps the company allocate resources and is used as an analytical
tools in brand marketing. Product management, strategic management and portfolio
analysis.

Relative market share: Market share is a percentage of the total market that is being
serviced by a company measured either in the revenue term or unit volume terms.

RMS: Business unit sales in this year/Leading rival sales in this year.

The higher your market share, the higher proportion of the market your control.

Market Growth Rate: It is used as a measure of a market attractiveness.

MGR: Individual sales this year – individual sales last year/Individual sale last year

Market experiencing high growth are ones where the total market share is available is
expanding and there is plenty of opportunity for everyone to make money.

All of my products & services, I take only three for positioning of my products in BCG
matrix. These are-

ATM Card: This is one of the best product & service of Bank Asia. It can also be known
as a success product of Bank Asia. The sales rate of ATM Card services is high enough
for a company to reach the Star position. For this reason, its RMS rate is usually high
and the market growth rate sales is also high. For this reason the ATM Card services is
now standing in the Star position.

House Building Loans service: It is in the star Cash cow because it has high market
share and low market growth. It is also doing well in the sales activities. So Bank Asia
Company has the great opportunity to get profit from this services or product of the
bank. Its sales is very high because its performance is very well. So we are hopeful on
this. Often start of yesterday.

Student Account: it has high, low market share. And high cash demands with low
returns it has three options:

 Invest heavily
 Sell off
 Invest nothing & generate what cash you can

So the product or services of student account has a great potential acceptability in the
banking sector.
(Please turn over)

SWOT Analysis of Bank Asia

Every organization is composed of some internal strengths and weaknesses and also
has some external opportunities and threats in its whole life cycle. The following will
briefly introduce the customer to the Bank Asia’s internal strengths and weaknesses,
and external opportunities and threats as I have explored in the past ten weeks.

 Strength:
Superior Quality: Bank Asia provides its customers excellent quality of service. It gives
the first priority to customer satisfaction.

Dynamism: Bank Asia draws its strength from the adaptability and dynamism it
possesses. It has quickly adapted to world class standard in terms of banking services.
Bank Asia has also adapted state of the art technology to connect with the world for
better communication to integrate facilities.

Financial Strength: Bank Asia is a finally sound company backed by the enormous
resource base of the mother concern Rangs Group. As result customers feel
comfortable in dealing with the company.

Efficient Management: All the levels of the management of Bank Asia are solely
directed to maintain a culture of the betterment of the quality of the service and
development of a corporate brand image in the market through organization wide term
approach and open communication system.

State of the Art Technology: Bank Asia utilizes state-of-the-art technology to ensure
consistent quality and operation. The corporate office is equipped with SWIFT (SWIFT
is a banking software, used by Bank Asia). All other branches are also equipped with
SWIFT system.

Experts: The key contributing factor behind the success of the Bank Asia is its
employee, who are highly trained and most competent in their own field. Bank Asia
provides their employees training both in-house and outside job.

In-House Utility: Bank Asia is free from dependence on ever disruptive power supply of
our public sources. The company generates the required power through generator fed
on diesel. Water generation is done by deep tube wells on site and in abundance.

Excellent Working Environment: Bank Asia provides its workforce an excellent place
to work in. Total complex has been centrally air conditioned. The interior decoration was
done exquisitely with choice of soothing colors and blend of artistic that is comparable
to any overseas bank.

Weaknesses:

Limited Workforce: Bank Asia has limited human resources compared to its financial
activities. There are not many people to perform most of the tasks. As a result many of
the employees are burdened with extra workloads and work late hours without any
overtime facilities. This might cause high employee turnover that will prove to be too
costly to avoid.

Problem in Delivery: Few of the Bank Asia’s products offered to its clients like
“Personal Credit (PC)” is lying idle due to proper marketing initiative from the
management. These products can easily be made available in attractive ways to
increases its client base as well as its deposit status.

Opportunities:

Government Support: Government of Bangladesh has rendered its full support to the
banking sector for a sound financial status of the country, as it has become one of the
vital sources of employment in the country now. Such government concern will facilitate
and support the long-term vision of Bank Asia.

Evaluation of E-Banking: Emergence of e-banking will open more scope for Bank Asia
to reach the clients not only in Bangladesh but also in the global banking arena.
Although the bank has already entered the world of e-banking but yet to provide full
electronic banking facilities to its customer. A proper blend of Banking and information
technology might give the bank leverage to its competitors. Nevertheless there are
ample opportunities for Bank Asia to go for product innovation in line with the modern
day need. The bank has yet to develop credit card facility, lease financing and merchant
banking.

Threats:
Merger and Acquisition: The worldwide trend of merging and acquisition in financial
institution is causing concentration. The industry and competitors are increasing in
power their respective areas.

Poor Telecommunication Infrastructure: As previously mentioned, the world is


advancing e-technology very rapidly. Though Bank Asia has taken effort to join the
stream of information technology, it is not possible to complete the mission due to poor
technology and infrastructure of our country.

Frequent Currency Devaluation: Frequent devaluation of Taka exchange rate


fluctuations and particularly South-East Asian currency crisis adversely affects the
business globally.

Emergence of Competitors: Due to high customer demand, more and more financial
institutions are being introduced in the country. There are already 52 banks of various
types are operating in the country. Many banks are entering the market with new and
lucrative products. The market for banking industry is now a buyer dominated market.
Unless Bank Asia can come up with attractive financial products in the market, it will
have to face steep competition in the days to come.

Product Life Cycle (PLC) of Bank Asia’s products & services

Here, for showing the position on product in the product life cycle I chose only three
product or services which provide by the bank Asia. They are-

1. ATM Card services.


2. House Building Loans service.
3. Student Account.

ATM card services is in the Growth Stage. Because the growth stage is typically
characterized by a strong growth in sales and profits, and because the company can
start to benefit from economies of scale in satisfied customer, the profit margins, as well
as the overall amount of profit, will increase. This makes it possible for businesses to
invest more money in the promotional activity to maximize the potential of this growth
stage. For this reason Bank Asia’s ATM card is in the Growth Stage.

House building loans services or product is in the Maturity Stage. During the maturity
stage, the product is established and the aim for the Bank is now to maintain the market
share they have built up. This is probably the most competitive time for most products
and businesses need to invest wisely in any marketing they undertake. They also need
to consider any product modifications or improvements to the providing product or
service process which might give them a competitive advantage. Here, we have very
low investment in house building loans but we are enjoying profit from here. So house
building loans is in the Maturity stage.

Student Accounts is in introduction stage. The introduction stage is the stage in which
a new product is first distributed and made available for purchase, after having been
developed in the product development stage. Therefore, the introduction stage starts
when the product is launched. But introduction can take a lot time, and sales growth
tends to be rather slow. As student account is recently services from the Bank Asia
that’s why this product is now introduction stage. And the service needs developed
that’s why expenses is much.

The position of these three products in the product life cycle are shown in the curve of
product life cycle.

Recommendation

Some recommendation for Bank Asia has been mentioned below

1. Bank Asia should have more agent distributed in different districts to know which
region, village or union has demand of which types of products and can innovate
service according to their demand.
2. The banks should start finding potential customers outside the city and should bring
products and services to them which those people may find free of complexity so that
more financial inclusion can be done.

3. The bank should give more focus on digitalizing the services and on the mobile
banking services to reach more people.

4. The marketing of the products and services should be viewed with more impotence. It
should be marketed in a way that people only think of Bank Asia whenever they are
faced with any national or international banking service problem.

5. It should do more campaign on the educational institution and can sponsor more
competition programs that will help them for raising more awareness about the bank
within people.

6. It should make the internal software systems that will tie all the branches and agent
points together so that it is easy to know information, and to take necessary steps by
sitting on a chair.

7. It should have compared the progress within branch to branch of different districts so
that new potential customers can be identified and solution of common problems can be
solved.

8. They can make specific departments for solving specific problems especially the
problems which can give the bank to connect with a new customer segment for example
DBBL has a separate department for women entrepreneurs.

9. Surveys should be done on the existing customers of different services to know what
the satisfaction level and how much is the tendency of switching.

10. They can sponsor those programs which can indirectly connect them to large
amount of people for bringing more awareness to people.
Bank Asia Ltd is an example of modern bank at present time. The above steps will help
it for more financial inclusion and sustainable development. It will help them to create
more awareness within people about the product and services along with more
competitive advantages.

CONCLUTION:

Most of the Banks in Bangladesh are offering a wide array of financial services including
new types of loans and advances and some whole new services are being launched
every year. Bank Asia, a bank of difference, also has discovered new avenues to reach
its goals.  For the brand name, it is gone to people’s heart through updating various
services. Bank Asia should diversify its credit portfolio Bank Asia so that in near future
when competition among Banks will serve, it can stand with its own identity. The Credit
Risk Management method that may seem fit today may not work tomorrow. So all the
Financial Institutions must find their own method in order to sustain in the changing
world. Central focus in this regard would be to have a comprehensive Information
Technology system, sufficient expertise and above all very relaxed management to
adopt new idea to update Credit Risk Management method.  Now Bank Asia is
continuing business operation successfully in Bangladesh through developing an image
and goodwill among its clientele by offering its excellent services. The success has
been resulted from the dedication, commitment and dynamic leadership of its
management. During the short span of time of its operation, has s Bank Asia
successfully grabbed a position as a highly progressive and dynamic financial institution
in the country? By proliferation of new advance services, expanding use of automated
equipment and electronic transfer of financial inform Bank Asia action, will be the
country’s first largest institution in the near future.
.

Вам также может понравиться