National Bank of Pakistan Organization structure.

2. SUBJECT:
NBP ORGANIZATION STRUCTURE
PRESENTED TO :
MISS HINA GILL
SEMESTER: 1TH SEMESTER
SUPERIOR UNIVERSITY,
SHAHDARA CAMPUS,

3. ALI HUSNAIN
GULFAM SLAMAT
MALIK SHARIQ
HAFIZ MUHAMMAD ASAD

5.  NBP established in 9 Nov 1949, initially with
the objective for the growth of jute trading.
Its headquarter is located in Karachi. It is a
commercial recognized Bank, provide loan,
credit card, saving and consumer banking
services.

6. INTRODUCTION:
National Bank of Pakistan is the largest commercial
bank operating in Pakistan and overseas. The Bank's
services are available to individuals, corporate entities and
government.
its business portfolio is a major lead player in the
debt equity market,
corporate investment banking,
 retail and consumer banking,
 agricultural financing,
 treasury services

7.  NBP headquarter in Karachi, Pakistan with
over 1,254 branches country wide.
 Participating in "World Bank" and "Asian
Development Bank's" lines of credit.
 It provide agency services to the public on
the behalf of Govt. of Pakistan.
 Govt. of Pakistan and SBP has 75.65% in
the NBP.
 It has 1283 branches within the Pakistan
along with 29 regional offices.

8. VISION:
"To be recognized as a leader and a brand synonymous
with trust, highest standards of service quality,
international best practices and social responsibility."
MISSION:
NBP will aspire to the values that make NBP truly the
Nation’s Bank, by:
Institutionalizing a merit and performance culture.
Creating a distinctive
brand identity by providing the highest standards of
services Adopting
the best international management practices.
OVER VIEW OF THE ORGANIZATION:

9. GOALS: To enhance profitability and
maximization of NBP share through increasing
 leverage of existing customer base and
diversified range of products.
 Excellence in Direction
 Excellence in Growth
 Excellence in Performance
 Excellence in Management
 Excellence in Achievement

10. CORPORATE &
INVESTMENT
BANKING
GROUP
CREDIT
MANAGEMEN
T GROUP
AUDIT &
INSPECTION
GROUP
COMPLIANC
E GROUP
PRESIDENT’
S
SECRETARIA
T
BOARD OF
DIRECTOR
HRM &
ADMINSTRATIO
N GROUP
OPERATION
GROUP
COMMERCIAL &
RETAIL
BANKING
GROUP
TREASURY
MANGEMEN
T GROUP
SPECIAL
ASSET
MANAGEMEN
T GROUP
Overseas
Management
Group
I.T. GROUP
SECRETARY
BOARD OF
DIRECTOR
CHAIRMAN &
PRESIDENT
ORGANIZATIONALSTRUCTURE:
NBP Head
Office
ORGANIZATION
HEIRARCHY

11. ORGANIZATIONALNETWORK:
BRANCH NETWORK:-
10 Groups headed by SEVPs/EVPs. 9 Regions reporting to as many Regional Chiefs
and 15 Single Branch Zones headed by Zonal Chiefs; 12 corporate branches and
1,254 domestic branches headed by Branch Managers control its field operations.
GLOBAL NETWORK:-
18 Oversea Branches
5 Representative Offices
1 overseas Subsidiaries
Joint Venture.
DOMESTIC NETWORK:-
1254 Domestic Branches
6 domestic Subsidiaries
29 domestic regional offices
DOMESTIC SUBSDIARIES:
NBP Capital Ltd.
Taurus Securities Ltd.
NBP Exchange Company Ltd
National Agricultural and Storage company Ltd.
Cast – N- Link Products Ltd

12. DEPARTMENTALIZATION:
COMMERCIAL
& RETAILING
DEPARTMENT
ACCOUNTS
DEPARTMENT
GOVERNMENT
DEPARTMENT
FOREIGN
EXCHANGE
DEPARTMENT
CREDIT AND ADVANCE
DEPARTMENT
GENERAL BANKING
DEPARTMENT
NBP DEPARTMENTS
1. GENERAL BANKING DEPARTMENT:
General banking involves the following sections:
•Deposit Section
•Accounts Opening Section
•Cash dealing Section
•Clearance Section
•Remittance Section
•Lockers Handling Section
BRANCH HIERARCHY

13. DEPOSIT
Checking
DEPOSIT
Accounts
Non-Checking
Accounts
PLS Saving
Account
PLS TDR’s
Current Deposit
Accounts
NIDA
Special Notice
Deposit
Accounts
Foreign Currency
Accounts
There are two broad categories of deposits. These are
1. Time deposit 2. Demand deposit
TYPES OF ACCOUNT/ DEPOSIT:-
Following types of accounts are open in NBP
•Current or demand account
•Saving account
•Fixed account
•Call Deposit Accounts
•Foreign Currency Accounts
2 ACCOUNT OPENING SECTION:-
This section performs the following functions:
•Opening of Accounts
•Issuance of cheque books
•Closing of accounts
3 LOCKER SERVICE SECTION:-
There are four types of locker depending upon the size of lockers
operate in banks.
•Small size locker
•Medium size locker
•Large size locker
•Extra large size locker

14. 4 CASH DEALING SERVICES:-
•Cash receipts for receive deposits.
•Cash payment for encashment of cheques.
5 CLEARING SECTION:-
•Local Clearing,
•Short Credit Service,
•Local Short Credit and
•Inter City
CLEARING PROCESS:
•Inward Clearing.
•Outward Clearing .
6 REMITTANCE SECTION:-
•Pay Order.
•Mail Transfer .
•Demand Draft.
•Telegraphic Transfer.

15. 2. ADVANCE DEPARTMENT:
TYPES OF ADVANCES:
DEMAND FINANCE:
CASH FINANCE:
RUNNING FINANCE:
LOANS:
TYPES OF LOAN:
The credit department of NBP has providing the following types
of loans
•Short term loans
•Long term loans
•Working capital loan
•Syndicate (project) loan
3. ACCOUNTS DEPARTMENT:
The main function of account department of NBP is to maintain general ledger accounts and after
the business hours the function of the account officer is to close books.
1) ROUTING OF EXPENSE VOUCHERS:-
VOUCHER SYSTEM: Voucher is a system, which is generally designed to provide strong internal
control
over the transaction, In bank two vouchers are used DEBIT VOUCHER CREDIT VOUCHER

16. 2. PREPARATION OF DAILY ACTIVITY REPORTS:-
The main function of this department is to check daily transactions whether
cash, transfer of payments, billing, and clearing of all the departments.
It includes the details of the following:
•Loan transactions.
•general ledger transactions
•Foreign currency related transactions.
•Fixed deposits transactions.
3. PREPARATION OF WEEKLY AND MONTHLY STATEMENTS:
Second major function of accounts department is the preparation of various
statements.
These statements are:
A. WEEKLY STATEMENTS
B. MONTHLY STATEMENTS
4. PREPARATION OF TAX PURPOSE STATEMENTS:
The department also prepares two statements for the purpose of paying tax on
monthly and annual basis.

17.  NBP upper management participates the lower
management for the preparation of rules, policies
and procedures.
 The lower management participate with the upper
management as a representative of the operating
staff and put up their issues before them.
 The NBP organization has centralization as well as
decentralization approaches in decision making.
 Some decision are made only by the upper level of
management and implemented through the branch
manager. While in daily routine matters and
environment the branch manager get suggestion from
the operating staff and then takes decisions.

18.  The NBP has low formalized jobs. Employees
are not bound to come in special uniform,
timing and to use a specific language &
gestures during the office working. They
have right to perform their jobs as they feel
convenience to perform them. But they are
liable to perform their assigned jobs' tasks in
accordance with the determined polices and
procedures.

19.  The Manager in NBP has rights to overseas
the performance of the operating staff and
to control them according to rules and
polices. Therefore, he assignee duties to the
subordinate according to their skills level,
provide them skills through jobs rotation,
calls meeting for providing necessary
instructions to them, take corrective
measures where find deviation from the
standard level. The operating staff is
responsible to follow the instruction of the
Manger. Otherwise the can take disciplinary
action against them.

20.  Manager act as a conflict handler, he identify
the problem that arise the conflicts then
listen the issues from both parties and settle
down the problem by creating win-win
situation.
 Some time in implementation of new rules
and procedures some sort of problem arise.
In this situation the manager call a meeting
and provide awareness to the operating staff
about new procedures and polies and their
course of action. Listen their problem in
adopting the new procedures. And provide
them facilities which are required for the
implementation of these new procedures.

21.  Democratic style is the best for the NBP
organization. Because it develop friendly
environment between the manager and
employee and their relation grow up
positively. Employee perform their tasks
without any pressure and disturbance.
Resultantly, their effectiveness and
efficiency boost up highly.

22.  Through creating connectivity among the
employee’s job’s tasks.
 Through rotational job training system.
The NBP promote the team work and under
this system employee coordinate to each for
the accomplishment organizational goal.
Moreover, NBP encourage the employee to be
recognized as team.

23.  NBP organization in goal setting follow up
the points which lies in its goals and prepare
the designee of routs which lead toward
their achievement.
 To enhance profitability and maximization of
NBP share through increasing leverage of
existing customer base and diversified range
of products.

24.  Federal Govt of Pakistan, Provincial Govt. of
Pakistan
 State Bank of Pakistan are the stake holder
of NBP.

25.  In NBP branch system only one manager
control the whole operating with the help of
assistant manager. Therefore, it in NBP
Branch system it has wide range of control.

26.  NBP adopt democratic as well as laissesz fair
style in its leadership.
 NBP has favorable motivation system, the
employee who work effectively, efficiently
manager promote them on higher scale and
he/she is awarded other benefits.
 Some time changes occur in organization
system due to technological advancement
and competitor planning, which demand to
manager to educate the subordinate and to
alter and mold their behavior according to
the need of time.

27.  In such condition the manger face the
following type of problem
 Choose best way for encouragement of staff
 Investment on purchase of new technology
 Exert extra time for development and
training of the staff
 Prepare new plan in order to keep it position
at highest level in the competiton market

28.  NBP Head Office has HRM Department. Which
identify the position according the
information available form the branch
Managers. It invites the suitable applicant for
different positions and select the best
candidates from the list of applicants. Then,
send them for training into the training staff
college. After that they are appointed in
various branches. NBP provide job rotation
system for development, reinforcement
system for motivation and corrective
measures, monitoring system for
maintenance of internal control system.

29.  NBP adopt verbal communication system.
Which includes the correspondence and oral
exchange of information. Most of the
organizations use this source of
communication.

30.  Training of its employees
 The bank should improve the quality of training of its employees
and the integrity,
 controls and efficiency of its systems, processes and financial
reporting.
 Equal Distribution of Workload
 The employees of the branch should be given equal workload..
Nobody should be given undue relaxation. The personal contacts
of some of the employees should not
 spoil the environment of the branch
 IT capability
 The Bank should improve IT capability in the analytical areas and
to develop a medium term strategy for banking and market
operations.
 Modern Banking
 The NBP should adopt modern banking tools and techniques.
Quality leadership, clear vision, investment in IT infrastructure
and human resource development.

31.  Adoption OF Advertising
 Bank should launch advertising campaigns
throughout the year to promote the habits of
savings in the people. Bank should open more
branches in the remote areas of the country to
get deposits and idle resources.
 Rank Influence Should Be Avoided
 Sometimes high rank officers come and want
themselves to be given priority. In these cases
bank should strictly follow the rule of „first
come first serve‟. This will maintain the trust of
other customers that they are not neglected just
because they have no rank.

32.  The primary objective of NBP was to purchase jute from the growers in the
former East Pakistan and also to perform the commercial banking
functions in the country.
 The strength of this bank is that it is acting as Agent of State Bank of
Pakistan, providing Agency Arrangements for different government
organizations include WAPDA and PIA, Profitability and a vide coverage
throughout Pakistan.
 The challenge it is facing is currently the lack of implementation of rules
and regulations that may lead to weak organizational culture, old
organizational culture, no regular promotions practices and not much use
of IT technology in bank as other are using.
 As analysis shows that NBP is a most growing organization with highest
return on capital, largest market share amongst all Pakistani banks and
cost to income ratio is the highest in banking sector. But there is further
need for improvement to overcome weaknesses and to maintain its
position as an “Asian Tiger” in banking field.
CONCLUSION