Mercantile Bank Limited uses various formal and informal communication channels internally and externally. Internally, they use emails, memos, reports, and meetings to communicate formally, while informal communication occurs face-to-face. Externally, they communicate through letters, websites, marketing, and media advertisements. While email is a strength, a limitation is a lack of customer awareness. Recommendations include improving business writing skills, providing communication training, and establishing clear communication goals and strategies.

1. Business Communication in MBL
Presented by
Sabres

2. Topic to Be Discussed
Overview Of MBL
Internal Communication
External Communication
Formal Communication
Informal Communication
Tools & Media of Communication
Strengths, Limitation &
recommendation of MBL

3. MBL At A Glance
 Mercantile Bank Limited incorporated as a
Private commercial Bank on May 20, 1999.
 It commenced business on June 02, 1999
with a vision for being finest corporate
citizen
 MBL enlisted in Dhaka Stock Exchange
(DSE) and Chittagong Stock Exchange
(CSE) on February 16, 2004 and February
26, 2004 respectively
 It has 109 (Hundred and nine) branches
including 5 (Five) SME/ Krishi branches
yeasmin

4. • MBL has 127 ATM booths and 20 CDMs (Cash
Deposits Machine) as on December 2014 covering
important locations across the country
 Mercantile Bank Securities Limited (MBSL),
a subsidiary company of MBL dealing with
stock and broking has 7 (seven) branches
across the country
 Mercantile Exchange House (UK) Limited,
another fully owned subsidiary company of
MBL is facilitating inflow of remittance with
1 (one) branch in London.
 It has 2,017 employees with 639 number of
correspondent relationship
yeasmin

5. Mission:
Vision would make finest corporate citizen
Vision:
will become most caring, focused for equitable
growth based on diversified deployment
of resources and nevertheless would remain
healthy and gainfully profitable bank
yeasmin

6. Strategic Objectives
 to increase shareholders’ value.
 to achieve economic value addition
 to be market leader in product
innovation.
 to be one of the top three financial
institutions in Bangladesh in terms of
efficiency.
 to be one of the top five financial
institutions in Bangladesh in terms of
market share in all significant market
segments we serve yeasmin

7. Business communication of
MBL
In this Field Study Report, we have discussed what is
communication, channels of communication, types of
communication in an organization, interdepartmental
communication in an organization, policies regarding
communication & decision making approach etc. For
this
purpose we have visited and studied the functions
relating
to our topic of “ Mercantile Bank Limited”
MBL give more importance to communication
because
they emphasize On Attention, Brief & clarity of
communication & MBL retain customers through
proper yeasmi

8. Internal Communication:
Mercantile bank internally
communicate with their
employees. Internally they
choose formal and informal
form of communication.
Manager uses downward
communication to give
directions, explain policies and
procedures. Employees use
both upward and horizontal
communication. Normally they
communicate with others
informally. But in case of work
they communicate formally.
Internally employees use face-
to-face, written, Email,
telephone media to
communicate.
saif

9. Necessity of Internal
Communication in MBL
Internal communication of Mercantile Bank Limited is
mainly downward, but upward and crosswise
communication is also encouraged.
 Establish and disseminate goals of the
organization.
 To develop plans for achievement of these goals.
 To organize human and other resources effectively
and efficiently.
 To select, develop, and apprise members of the
organization.
 To control all activities.
saif

10. External Communication in
MBL
Mercantile bank externally communication by
oral or verbal communication as well as
through written media. They also use Telex,
television, telephone, tele‐printer,
transmitters,
STD, ISD, and other modern sophisticated
communication technologies for external
communication. They also used written media
like
letters, circulars, notices, legal notices
Newspapers magazines, manuals, periodical
reports, pamphlets etc., towards external
communication. saif

11. External Communication in
MBL
External correspondence is mostly in written
form except in extraordinary circumstances
resorting to telecommunication services. It is
utmost necessary to build attitudes, develop
rapport, create confidence, win goodwill,
morale support and influence, mutual
understanding by keeping them well
informed. There are many broad areas
outside the organization about which
information should be communicated. And
Mercantile Bank do the best use of it.
saif

12. Necessity of external
Communication in MBL
 The needs of
customers.
 The claims of
stockholders.
 The regulations
of government
 The concerns
of the
communitiessaif

13. Formal Communication in
MBL
Mercantile Bank Ltd. Communicates in both ways
formally and informally. They have friendly
environment in their company so that each and
every
employee feel free to share their ideas, opinions
etc.
Formally they share their problem with their who
pass
the message to the departmental manager from
where
it goes to the managing director. They formally
communicate vertically and horizontally. MBL gives
order, individual instruction, policy statements, job
Sheets , circulars etc in a formal way. In this
process they use both oral and written asif

14. Formal Communication in MBL
As it is a bank , they usually complete work in
written way. Important directives initiate
actions are communicate through letters,
policies and procedures are announced
through circulars,
manuals etc. After the command process
complete, manager check the employee
about fulfilling
the command and send the feedback to the
higher authority. Then it become a good
opportunity
for a employee to share their problem with
them. Sometimes employee gives asif

15. Formal Communication

16. Informal Communication in
MBL
Employees communicate with their colleague
in
horizontally. As it is a bank, it also has
branches
where they communicate formally. They use
the
upward communication to solve problems
what
they face in the bank. When they get any kind
of
order or they were asked for information then
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17. Informal Communication in
MBL
Whenever they like they can walk into his room,
without any hesitation whatsoever, and talk to
him about their problems. In a bank, there are
different sector for every employee, they
communicate with each other horizontally
which is a informal communication. By this they
share their problems with each other and it
solves easily. Horizontal communication is
most effectively carried on through oral means.
Face-to-face exchange of views or a brief
conversation over the telephone is
very convenient for horizontal communication
these situations carry with them an air of
informality
asif

18. Informal Communication

19. Tools of internal communication
Mercantile Bank Ltd. uses different tools for internal
communication. There are tools of internal
communication:-
Office Memorandum.:
Mercantile Bank Ltd. Issue the office memorandum to an
employee granting permission to join a part-time diploma
in personnel Management. Or to an employee informing
him of cut in his salary, or warning an employee against
his habit of reading newspaper and magazine during
office hour or to show cause notice to an employee for his
gross misbehavior. On this kinds of topic Mercantile
Bank Ltd. issue office memorandums.
asif

20. Office Order:
Orders are usually related to posting, promotion,
suspension, termination of services, Granting/withholding
increments, imposing certain restrictions etc. MBL. usually
use it to order regarding the promotion of an employee or
suspending an employee or to banning smoking in the
office premises.
Mercantile Bank Ltd. use it for the following purposes-
To emphasis certain aspects of office conduct or to
intimate changes in the working hour of the office, to
invite application from employees for promotion test
etc.
Office Circular:
asif

21. Office notes are used for Horizontal communication.
Mercantile Bank Ltd. they exchanged between
departments or officers of almost equal rank asking for
suggestion or seeking or giving information about some
matter concerning their respective departments. They
use it to the head of another department seeking some
vital information or to seeking suggestions from an
official of equal rank on some important issue or from
the stores department to all other departments
informing them of the stock taking.
Office Notes.:
asif

22. These days communication is possible through a
vast variety Of media. Communication channels are
the means through which people in an organization
communicate. Thought must be given to what
channels are used to complete various tasks, because
using an inappropriate channel for a task or
interaction can lead to negative consequences.
Complex messages require richer channels of
communication that facilitate interaction to ensure
clarity. There are different media of communication.
These are written, oral, face-to-face, visual, audio -
visual and computer based. MBL uses all of them to
communicate internally or externally.
Media of communication in MBL:
sonet

23. Written messages also take many forms. At one extreme are
the scribbled notes and at the other are formal reports.
Regardless of the form, written messages have one big
advantage they let us
to plan and control the message. The other advantages of
written communication are that it can provide records,
references, and legal defenses when needed. Written messages
can be transmitted to a large audience through the mail or
through mass media like newspapers etc. Written
communication is also useful in maintaining uniformity in
policies and procedures. However,
disadvantages of written communication are that the feedback
is not immediate, effective messages are difficult to produce if
the sender is not sufficiently skilled, and the written
communication may create heaps of paper which may become
difficult to manage.
Written Communication:
sonet

24.  E-mails
 Faxes
 Letters
 Reports
 Memo
 Telephones
 Conferencing
 Meetings
Internal channels of MBL:
sonet

25. Following are the channels that MBL use to
communication within the organization.
The most important channel they focus to
communicate is “E-MAILS”. All work is done
through E-Mails. MBL have in-house E-Mails system
that is directly connected with their Branches. This E-
mail system is design by their I.T department who is
responsible for controlling it & gives access to each
& every person within the organization. They
communicate on daily basis internally & externally
both to Communication more clearly & correctly.
And the other work is done by using different
channels that are letters, reports etc.
sonet

26. Different types of reports are prepared on suggestions or
recommendations on personnel, activity execution time and
plans for overcoming the difficulties. Reports are made on
daily basis & weekly basis. Each & every department of
MBL is responsible for submitting their report so that
information is update on daily basis. And communication
will be more effective & efficient. Minutes are prepared of
every meeting for the purpose to implementation of the
decision and record. MBL communicate with their
employees through HRM department that is responsible for
hiring, recruitment, appraising, performance management &
give employee training. Through communication employee
will motivated both towards organization & towards their
work.
sonet

27. External channels of MBL
Video conferencing
Audio conferencing
Web-site(static)
Newspaper
Marketing mobilization
Letters
Telephone
E-mail
sonet

28. Strengths:
 Business communication channel mainly
based on E-MAILS
Friendly environment
Strong communication channels
Less chances of error in communication
Quicker problem solving and stronger
decision making
Stronger business relation ships
Channels are suitable for complex
information and statistical data
Grapevine communication use as
supplement to other channels
keya

29. Limitation:
 Lack of customer awareness through
advertising
 Technical personnel have less
command on effective business writing
 Quick clarification not possible
sometimes
 Great possibility of distortion and
filtering
 Greater chances of misunderstanding
 It may transmit incomplete informationkeya

30. Recommendation Strategies for
Improvements
After having analyzed the deficiencies of
Mercantile Bank Limited we would now
recommend strategies to overcome these
weaknesses in the following lines:
 Repetition:
Repetition of a message , such as an
advertisement ,creates greater impact on
the recipients , this technique should be
employed . It is important to note , however
, that repetition should be only where it is
necessary.
keya

31.  Effective Business writing:
While writing letters or other any type of
written communication to others
especially to executives of organization ,
be sure about the accuracy of figures ,
facts and words of the Correspondence
 Training : Imparting of such training
would greatly improve the
communication skills of the engineers
and technical matters.
keya

32. Requirements for Effective
Internal Communication:
Internal communication must be recognized as
an essential tool of management . It is a way to
achieve corporate objectives ,build teamwork
,and motive: It can make managers become
better leaders. This requirement recognizes
that ,employee attitudes and resulting
performance are improved by effective
communication
Great emphasis must be placed on
communication and measurement
Communication cannot be left to chance. There
must be a plan who communicates that how tokeya

33. Top management must establish a
communication climate other divisions
and departments will reflect this climate
A long‐term investment in professional
talent and communication
programming must be made
Programming and qualified people
cost money, but it is well spent.
keya

34. 8.Conclusion:
 Developing a communication strategy
and its implementation in an efficient
and effective manner is quite
beneficial for an organization.
 Need to be transparent about your
goals and values.
 Consistency has to be maintained.
 Need to adopt comprehensive &
persuasive methods for that.
 All this needs a long term focus.
keya

35. Thank You
Everyone!
