INTRODUCTION

According to the requirements of the internship program, I chose to prepare a

report on STANDARD CHARTERED BANK. The objective of this report is to
focus on two broad issues. One is to briefly look at Standard Chartered Bank and
understand the whole banking process, keeping close attention on their culture.
The second objective and the main issues of this report is to briefly discuss about
the current customer satisfaction level after increasing some charges and fesses.
Standard chartered bank is the leading foreign bank in Bangladesh. The report is
based on both primary and secondary research. The secondary research
provided the main input for the report. This provided a theoretical basis of the
report. The primary research was done to know about the banks working
procedures and different segments of banks. Standard Chartered offers the client
a comprehensive range of Cash Management services. Whether it is a financial
institution, a multi-national corporation or a domestic company, Electronic
Banking application has the capability to support full range of Cash Management
reporting and transaction initiation needs. It provides the secure, reliable and
effective link between the client and client’s accounts anywhere across the
Standard Chartered network. Standard Chartered is highly recognized as a
leading cash management supplier across the emerging markets. Our Cash
Management Services cover local and cross border payments, collections,
information management, account services and liquidity management for both
corporate and institutional customers. The Standard Chartered Bank offers a
wide variety of products and services to the banks and financial institutions.  It
has global links with leading banking institutions and agency arrangements
through its network of offices in 40 countries. The Bank offers a full range of
clearing, payment collection and import-export handling services. Standard
Chartered bank should do are maintaining the standard during recruiting the
employees. An employee bears the brand name so if employees make
something wrong that will ultimately affect Standard Chartered bank.

Origin of the Report:

Consumer banking is a major source of earning for Standard Chartered Bank. 

The principal issue to be considered while giving the facilities to individual
consumer or to groups is the opportunity associated with such activities. 
Consumer banking opportunity is analyzed through considering a number of
factors involved in it.  All financial institutions have their individual way of
measuring and managing opportunity to keep it at the highest possible level.
Objective:

The objective of this report is to focus on two broad issues. One is to briefly look
at Standard Chartered Bank and understand the whole banking process, keeping
close attention on their culture. The second objective and the main issues of this
report is as follows-

To briefly discuss about the current customer satisfaction level after increasing
some charges and fesses.

Scope:

The report limits its scope to Standard Chartered Bank only.

Limitations:

Customers financial Information and information at the bank is confidential &

critical.

Total customer satisfaction level judged by statistical measurement no such

financial judgment is used here.  

Methodology:

Approach:

Standard chartered bank is the leading foreign bank in Bangladesh. The report is
based on both primary and secondary research. The secondary research
provided the main input for the report. This provided a theoretical basis of the
report. The primary research was done to know about the banks working
procedures and different segments of banks.

Primary source:

Primary data was collected form the Relationship managers and respective unit
heads are interviewed who are using this software to analyze the financial
strength of the customers.

Secondary source:

The secondary data has been collected from the different publication and
brochures of Standard Chartered Bank. To clarify about different product
Internet, different articles published in the journals & magazines are used.
Sample Information:

Sample is collected randomly among daily customers from the North branch of
Standard Chartered Bank.

Data Collection Method:

For the organization part information has been collected through different
published articles, journal, and brochures. Formal questionnaire for data
collection is used for better understand of customers current satisfaction level
after the charges increased by bank. respective Unit heads of SCB.

Data analysis:

In the organization part information is provided in a descriptive manner.In the

project part data analysis has been done into two parts. One is the data
presentation. The second part is analysis. Statistical analysis of the quantitative
data has been done.

PART 1:Organization part

STANDARD CHARTERED BANK: AN OVERVIEW

Standard Chartered Bank (SCB) PLC is an international bank group that is

incorporated in the UK with its Headquarters at 1 Alderman buries Square,
London. The group operations are mainly concentrated in Asia, Africa and the
Middle East and its operation is segmented under six regions: LTK, Europe,
Middle East, South Asia, South East Asia and the USA. Globally, the SCB group
owns an array of key resources that include:

A network of 600 offices in more than 50 countries

A staff of about 28000 people managing assets worth 47.65 billion

Far East Asia:

Capitalize on the good track record created by its more than 150 years of
operations in these regions by building unique position and image among the
target  customer segment and being responsive the needs and serve the needs
better than the competitors.
HISTORY OF STANDARD CHARTERED BANK IN BRIEF:

SCB has a history of more than 150 years. The name “Standard” stems from the
two original banks from which it was founded-“Chartered Bank” of India, Australia
and China and “Standard Bank” of British South Africa.

Chartered bank was established in 1853 by a Royal Charter granted by Queen

Victoria of England. The main person behind the Chartered Bank was a Scot,
James Wilson who had also started “The Economist” still one of the most
eminent publications today. He foresaw the advantages of financing the growing
trade links with the areas in the East, where no other financial institution was
present that time widely.

Expansion in Africa and Asia:

The Standard Bank opened for business in Port Elizabeth, South Africa, in 1863.
It pursued a policy of expansion and soon amalgamated with several other banks
including the Commercial Bank of Port Elizabeth, the Coles berg Bank, the
British Kaffarian Bank and the Fauresmith Bank. The Standard Bank was
prominent in the financing and development of the diamond fields of Kimberly in
1867 and later extended its network further north to the new town of
Johannesburg when gold was discovered there in 1885. Over time, half the
output of the second largest goldfield in the world passed through the Standard
Bank on its way to London.

The Impact of War:

Even the First World War offered opportunities for expansion when the Standard
Bank set up a branch in Tanzania shortly after British troops occupied the
formerly German administered Dares Salaam in September 1916. Both banks
survived the inter-war years but the world trade slump led to the closure of
operations in the Canary Islands, Liberia, the Netherlands, and Equatorial
Guinea. Disaster struck the Chartered Bank’s office in Yokohama, Japan, when it
was destroyed by an earthquake in 1923 killing a number of staff. The Chartered
Bank was particularly affected by the Second World War when numerous Asian
countries were occupied by Japan.

The Post War Years:

After the Second World War many countries in Asia and Africa gained their
independence. This led to local incorporation in some countries, particularly in
Africa. Other operations such as those in Iraq, Angola, Myanmar and Libya were
nationalized, while in Indonesia the Jakarta office was destroyed in an attempted
coup d’etat. In 1948 the Chartered Bank opened in Bangladesh and during 1957
it acquired the Eastern Bank. The Eastern Bank gave the Chartered Bank a
network of branches including Aden, Bahrain, Beirut, Cyprus, Lebanon, Qatar
and the United Arab Emirates. The Chartered Bank also entered into a joint
venture to form the Irano-British Bank which opened for business in 1959. The
bank grew rapidly and had 24 branches when it was nationalized in 1981. s
radically changed and strengthened.

Standard Chartered in the 1990s:

Even within this period of apparent retrenchment Standard Chartered expanded

its network, re-opening in Vietnam in 1990, Cambodia and Iran in 1992, Tanzania
in 1993 and Myanmar in 1995. With the opening of branches in Macau and
Taiwan in 1983 and 1985 plus a representative office in Laos (1996), Standard
Chartered now has an office in every country in the Asia Pacific Region with the
exception of North Korea. In 1998 Standard Chartered concluded the purchase
of a controlling interest in Banco Exterior de Los Andes (Extebandes), an Andean
Region bank involved primarily in trade finance.

Standard Chartered in Middle East & South Asia (MESA):

The MESA region performed well in year 2002. The region accounts for
approximately eleven percent of the group’s revenues.

The integration of Grindlays was successfully completed and the group is now
one of the leading international banks in each of its chosen markets in the region.
The contribution of the Group’s business in the United Arab Emirates reflects the
businesses. Standard Chartered now holds leadership positions in most of its key
product segments in the UAE. The average number of employees in the Middle
East and other South Asia region in 2002 was 2995.

Standard Chartered in Hong Kong:

Hong Kong remains the Group’s largest market, generating one third of the
Group’s revenue. They have a network of 74 branches. Standard Chartered has
been transacting business in Hong Kong since 1858 and they issue bank notes
there. In 2002, Standard Chartered became the first FTSE 100 Company to
launch a new dual primary listing in Hong Kong. This will make the Group more
accessible to Asian investors and will enhance the Group’s regional profile. The
average number of employees in Hong Kong in 2002 was 4,677.
Standard Chartered in Singapore:

Standard Chartered has been doing business in Singapore for 144 years and has
20 branches and offices, the largest branch network among foreign banks. The
business in Singapore accounts for approximately eleven percent of the Group’s
revenues. Standard Chartered has Qualifying Full Bank Status, which has
enabled expansion of the distribution network. In 2002, Asian banker magazine
named Standard Chartered the ‘Best Retail Bank in Singapore’. The average
number of employees in Singapore in 2002 was 2,451.

Standard Chartered in Malaysia:

Standard Chartered is the oldest bank in Malaysia, where there is a network of

29 branches. Malaysia is another of the group’s core markets with broadly based
business as a result of long established franchises. The group continues to
expand its Shared Service Center that was opened in 2001 and carries out
operations and processing activity. The Centre in Kuala Lumpur has contributed
significantly to improvements in the Group’s processing and service efficiency.

Standard Chartered in other Asia Pacific:

The group has more than 80 branches and 14 offices in 14 countries across the
region. In China, Standard Chartered has one of the largest branch networks of
any foreign bank and is well positioned for growth and opportunities. The group is
developing its Consumer Banking business and has opened branches in
Shanghai and Shenzhen. In Thailand, the integration of Nakornthon Bank was
successfully completed in 2002.The average number of employees in other Asia
Pacific in 2002 is 4851.

Standard Chartered in India Region:

Standard Chartered is the largest international bank in India and, following

successful completion of the integration of Grindlays, have a combined customer
base of 2.4 million in Consumer Banking and over 1200 corporate customers in
Wholesale Banking. The group launched its business in Mauritius in 2002 to
provide Wholesale Banking services to corporate client’s .The shared service
centre in Chennai continues to develop rapidly as more services and processes
are migrated from other countries. The average number of employees in the

Standard Chartered Bank in Bangladesh:

The Chartered Bank started operating in Bangladesh in 1948, opening a branch

in Chittagong.  The branch was opened mainly to facilitate the post-war
reestablishment and expansion of South and Southeast Asia.  The Chartered
Bank opened another branch in Dhaka in 1966, where it is still headquartered.
After the merger of the Chartered Bank with the Standard Bank in 1969, the
Standard Chartered Bank took up a program of expansion.  It increasingly
invested in people; technology and premises as its business grew in relation to
the country’s economy.  In 1993, there was an organizational re-structuring,
which led to a substantial expansion of the Bank’s business.  Today the bank has
in total four branches in Dhaka apart from the Chittagong branch, including an
offshore branch at the Savar Export Processing Zone.

The Organization Structure:

The Standard Chartered Bank in Bangladesh has its headquarters and twenty
one branches across the country. While the full range of services is available at
the headquarters, other branches offer specific services appropriate for the
location.  At the headquarters, the bank mainly consists of two divisions:

1.      Business
2.      Support

The business division has the following departments:

 Corporate Banking Group (CBG)

 Global Markets (GM)
 Institutional Banking Group (IBG)
 Consumer Banking (CB)
 Custodial Services (CUS)
 The Support division provides assistance to the above business activities and
consists following departments:
 Operations
 Finance, Administration and Risk Management
 Information Technology Center
 Human Resource Department
 Legal and Compliance
 External Affairs
 Credit

All the staff members of Standard Chartered Bank belong to an internal trade
union known as “Standard Chartered Bank Employees Union” the clauses of
which are reviewed and agreed upon every two years.
 Chain of Command:

Chartered Bank in Bangladesh follows a hierarchical pattern of command. The

Chief Executive Officer (CEO), David M. Fletcher reports to the Regional General
Manager, MESA in Dubai.  All the department heads at the headquarters report
to the CEO. In Chittagong, however, since there are two major business
activities, a manager or senior manager, who reports directly to the head of the
respective division in Dhaka, heads each. The Custodial Service division at the
headquarters reports to the Head of Corporate Banking.

Chief Executive Officer’s Office:

Standard Chartered as well as Standard Chartered Bank in Bangladesh is

headed by the Chief Executive Officer, who reports to the office of the Regional
General Manager, Middle East and South Asia (MESA). While performing staff
functions, the CEO is assisted by different heads whose functions are mentioned
in the following section.

Head of Finance and Administration, who looks after the general ledger, budget,
financial scenario of the bank, risk management administration and audit
operation.

Head of Cards who supervises credit card operation.

Head of Consumer Banking, who supervises retail-banking operation like sales

and services, retail lending, product development and product marketing.

Head of Corporate deals with the relationship management, corporate finance

etc.

Head of Human Resources looks after succession planning, training and

industrial matters.

Head of Lending Management assists the management division of Corporate,

retail and Credit Cards in their lending operations.

Head of Global Markets deals with the foreign exchange, money market and
asset liability operation.

Head of International Services deals with the trade finance, guarantee and
correspondent banking.
Head of Operations looks after the support services in banking lending, CBS
User, Treasury, SWIFT/TELEX operation etc. Head of Technology is directly
accountable to him.

Management:

The goal of Standard Chartered Bank is to be the “Bankers of First Choice.”

Towards that goal, the overall planning in the Organization is done at the
headquarters level in Dhaka by a Management Committee (MANCO), headed by
the CEO and consisting of the business heads of Corporate Banking, Consumer
Banking, Treasury, and from the support divisions the heads of Human
Resource, Operations and Finance Departments.  They meet once a month, or
when a special situation arises, to plan the strategic decisions. The decision
making, although apparently based on a top-down approach, leaves room for
participation down to the level of department heads, which are responsible for
carrying out the planning of their department within the broad guidelines set by
MANCO.

 Activities of Standard Chartered Bank

 Corporate Banking Group

Standard Chartered Bank offers its local customers a wide variety of financial
services. All the accounts of corporate clients, which mainly comprise the top
local and multinational companies operating in Bangladesh, are assigned a
Relationship manager who maintains regular and close contact to cater to their
needs. The wide variety of lending needs are catered to with skilled and
responsive attention.

Project finance and investment consultancy

Syndicated loans

Bonds and Guarantees

Local and International Treasury products

The trade finance of Standard Chartered Bank takes care of the commercial
activity related issues, particularly those related to import and export finance
services.  Some of the services are:
Trade finance facilities including counseling, confirming export L/Cs and issuing
of import L/Cs, backed by its international branch and correspondent loan
network Bond and Guarantees

 Global Markets

Institutional Banking Group:

The IBG of Standard Chartered Bank offers a wide variety of products and
services to the banks and financial institutions.  It has global links with leading
banking institutions and agency arrangements through its network of offices in 40
countries.  The Bank offers a full range of clearing, payment collection and
import-export handling services.  The bank offers foreign missions, voluntary
organizations, consultants, airlines, shipping lines, and their personnel the
following financial services:

 Current accounts in both Taka and other major foreign currencies

 Convertible Taka accounts (these funds are freely convertible to major
international currencies)
 Local and foreign currency remittances etc.

 Consumer Banking

Superior retail banking services comprising a wide range of deposit and loan
products are offered by the Standard Chartered Bank to its individual customers. 

Products and Services of the Bank:

Standard Chartered Bank has highly qualified professional staff members who
have the capability to manage and meet all the requirements of the bank.  Every
account is assigned to an Account Manager who personally takes care of it and
is available for discussion and inquiries, whether one writes, telephones or calls. 
The services of the Bank are personalized and backed by advanced
computerization.

The following paragraphs illustrate the essential products and services of

the Bank:

The Corporate Banking Group

Cash management:
Standard Chartered is highly recognized as a leading cash management supplier
across the emerging markets. Our Cash Management Services cover local and
cross border payments, collections, information management, account services
and liquidity management for both corporate and institutional customers.

Features:

Manage the availability of client’s funds efficiently

Monitor and control the movement of funds

Settle payments to client’s suppliers in a timely and cost-effective manner.

Capture every investment opportunity to increase your income.

Trade finance:

Standard Chartered possesses 140 years of experience in Trade Finance. The

bank has presence in over 40 countries, in addition to our extensive network of
overseas banking partners and correspondents. The bank obtained ISO9002
accreditation for its quality service. Dedicated trade and payment systems are in
place to make sure that your every transaction, even across different currencies,
will be professionally executed.

Custody and clearing services:

Standard Chartered Custody and Clearing Services’ combination of local market

expertise, with the security offered by being an integral part of one of the world’s
leading international banks has garnered an impressive client base which
includes leading North American, European and Asian institutions.

Electronic banking:

Standard Chartered offers the client a comprehensive range of Cash

Management services. Whether it is a financial institution, a multi-national
corporation or a domestic company, Electronic Banking application has the
capability to support full range of Cash Management reporting and transaction
initiation needs. It provides the secure, reliable and effective link between the
client and client’s accounts anywhere across the Standard Chartered network.

Lending:
Working Capital Loan to help the client meet their financial obligations and
operate effectively, the bank offers assistance in the form of working capital
loans, overdrafts, term loans (including real estate loans and other secured debt),
backstops and revolvers.

Global markets:

According to the latest ‘Activities of Bank and Financial Institutions’ published by

the Banking Division of the Ministry of Finance of Bangladesh, Global Markets,
Bangladesh is, in terms of foreign exchange transactions, first amongst the
multinational banks and 4th amongst all the banks in Bangladesh.

The Treasury division of the Standard Chartered Bank has a centralized dealing
room in Dhaka and consists of the following two areas:

Structured finance:

Standard Chartered provides Commodity, Structured Trade and Export Finance

global group (“Structured Finance”) service. Many financial institutions have been
retreating from these markets. Standard Chartered stands out as the only bank
which is committed to financing Commodity and Export Credit Agency supported
trade flows.

Two types of lending facility are provided to client at present:

Loan Structure and Syndication: this facility helps borrowers to meet substantial
financing needs by enabling them to reach the banks most interested in lending
to their particular industry, geographic location and structure through syndicated
debt offerings.

Foreign Exchange:

The Reuters monitors placed in the Treasury Division give continuous updates
on exchange rate movements as well as ready access to market information. The
Foreign Exchange service includes:

Foreign exchange contracts for the same day value, next day value or spot
transactions

Forward Contracts: Foreign exchange contracts to hedge exchange risks.

Cross Currency Contracts: The customers can trade a wide range of currencies.
Information analysis: The Treasury division publishes daily and weekly currency
newsletters, which provide analyses of currency trends and related issues. 
Seminars and workshops are conducted for customers from time to time on
foreign exchange related topics.  Customers can also have access to the bank’s
information database round the clock through Phone banking.

Money Markets and Investment:

Standard Chartered Bank’s Treasury division is the local market leader in debt
instruments including both short and long-term fund mismatches through the
money market and takes front line position in inter-bank and market
developments.  The money market is managed through tools like inter-bank call
money rate, government T-bills of various maturities and inter-bank SWAPS. In
future, new instruments like repo and reverse repo will be introduced which will
add to the depth of the money market. Equipments like telephone, voice
recorder, money 2000, telex, sealing system, time keeper, swipe doors,
computers, fax internet are used to ease and fasten operations of the dealers to
conduct deals.

Institutional Banking Group (IBG):

It assists the local banks by taking care of their cross-border business through
the worldwide Standard Chartered Bank network.  Following are the variety of
financial products offered by this department:

Handling of Trade Finance Business:

IBG offers the full range of services available under Trade Finance to its
customers.  The Standard Chartered Bank network in China, the Far East, the
Middle East, the Indian sub-continent, Africa, UK and USA makes SCB the
natural choice of correspondents for advising, confirming, and negotiating their
letters of credit in these territories.

Retail Banking:

Retail Banking deals with the banking services to individuals. It includes the
following products and services of the bank:

Current account:

Tailored to meet the needs of individual and commercial customers, SCB’s

current account offers benefits like free cheque book, ATM service, Phone
banking, account access from any branch, and instant fund-transfer (free of
charge) amongst our branches in the country. Minimum opening balance
required is Tk. 50,000.

Recent changes:

 A fee of BDT 1150 is deducted after every 12 months as a relationship fee

irrespective of balance.

Savings account:

It is an assortment of best benefits available in the market, offering a wide range

of special treats free of cost to our retail customers. The most attractive treat is
the competitive tiered interest rates, which ensures higher returns for larger
deposits. Anyone looking for an opportunity to build a sound saving base can
avail our Savings account, which includes the following benefits:

Free cheque-book, Debit card and phone-banking service

Account access from all our branches in Bangladesh

Fixed deposit:

Ideal product for nesting surplus deposit for future long-term investment. SCB’s
Fixed deposit, known for its high-yield, helps the customer earn the maximum
possible return in addition to the following features:

Can be opened for a term of 3 months, 6 months or 12 months

Tiered interest rates, offering higher rates for larger amounts

Interest payable on maturity

Automatically renewable (with or without interest)

Can be used as security against personal/ commercial loans

Recent changes:

From March 2004, Fixed Deposits having tenures of two years, three years,
four years, five years are being offered.

Tenor BDT 2 M & Above Above

Below BDT 2 M & BDT 10 M
Up to BDT
10 M

1 Year 7% 7.25% 7.5%

2 Year** 7% 7.25% 7.5%

3 Year** 7.25% 7.5% 7.5%

4 Year** 7.5% 7.75% 7.75%

5 Year** 7.75% 7.75% 8%

Foreign currency current account:

Applicable to Bangladeshis working abroad, it can be opened in USD, GBP

and Yen without restriction on transaction frequency. Can be operated
through nominees in absence of the account holder. Fund remains in
foreign currency and is freely remittable.

Main features:
  Deposit can be made in foreign currency only (cash, TC or Drafts or transfer from
other FCY account).
 Cash withdrawal from the account is in local currency only.
 Fund Remittance (in both LCY and FCY) to any place in and out of the country
(without restriction).
 Fund can be used to make investment in Wage Earners’ Development Bond.

 Non- resident foreign currency deposit:

 A short-term foreign currency deposit account suitable for Bangladeshis living
abroad, offering most competitive interest rates available in both local and
international markets. Other features include:
 Interest paid in Foreign currency
 Can be opened for a term of 1 month, 3 months, 6 months or 12 months
 Interest rates are tiered (based on amount and term)
Cash line:

This product permits ready access to cash without disrupting interest-earnings on

fixed investments. It provides ready access to cash against quasi-cash
investment papers like Terms deposits (Lcy / Fcy) Savings Certificates, Wage
Earners’ Development bonds, ICB units certificates etc.).

Other features:

 Special Interest Rate for corporate Client:

Product Type Interest Rates

Type A ( EOSB ASSIGNED) 12%

Type B ( Salary A/C with SCB) 14%

Phone link:

Phone link in Bangladesh was inaugurated in March 1997.  It helps to bring

banking within the dialing distance of the customers, providing access to account
information and details, 24 hours a day from the privacy and comfort of their
homes, offices and cars. Phone link service is offered to all customers free of
charge.
The Phone link service includes:

Automated Services:

Account-related services

Foreign currency related information

Change of Telephone Identification Number (TIN)

Through the Phone bankers one can avail the following services:

Enquiry on the product services

Change of account address

Notification to the bank of lost or captured Moneylink ATM Cards

Stop Cheque instruction

Pay Order / Demand Draft preparation (to be collected later by the customer)
Status enquiry on remittance

 Moneylink:

Standard Chartered Bank launched Moneylink ATM in 1994, the first bank to
offer this service in Bangladesh. Moneylink ATM service is free of charge,
offering the following features:

 Cash Withdrawal & deposit

 Cheque deposit
 Cheque book request
 Change of PIN
 Printing of mini-statement
 Payment of utility bills.
Safe deposit locker:

Standard Chartered Bank’s safe deposit locker service offered from Dhanmondi
and Sylhet branch gives you a modern facility for safekeeping of precious items,
confidential documents and other valuables. Other features:

Personalized service from a dedicated locker officer

Available to any customers (for an annual fee which depends on locker size)

Accessibility anytime during the banking hours

No additional charge for locker visit during locker hours.

Priority banking:

Standard Chartered Bank Bangladesh offers Priority Banking, a special service

package for our valued customers. Under this segment an exclusive combination
of services are offered to customers who signed up for it. Some of the benefits
offered under the program are:

A Priority Card that recognizes client’s Priority Status at all our local branches
and also at our global Priority Centers

 Higher withdrawal limit per day from all ATMs in Dhaka, Chittagong & Sylhet
 Privileges associated with the Priority card in reputed hotels, restaurants and
stores locally and globally.
 Exclusive Priority Centre in Dhanmondi & Sylhet with reserved parking space.
 Dedicated Customer Relationship Personnel at the Priority Centres.
 And also commission free SCB Visa travelers’ cheques against travel quota,
swifter transactions, pre-arranged banking services and invitation to special
social and cultural events.
 All one need to do is to meet the priority criteria (set in terms of deposit value),
and sign up the relevant forms and the client will immediately be eligible for all
the benefits
 In summary, some of the basic products and services offered by the Personal
Banking division are: Current Accounts, Overdraft on Current Accounts, Foreign
Currency
 Term Deposits, Local Currency Cash Cheques, Cheque Purchase, Drafts,
Savings Accounts, Term Deposits, Telegraphic Transfers, Traveler’s Cheques,
and Personal Loans.

Account Statement Charges:

The charge for holding statements is BDT 1150 per annum per account, and for
Additional/ Duplicate statement (Per cycle) is BDT 575 per statement. Photocopy
of statements is Taka 1150.

ATM Card Charges:     

The annual fees for ATM card are Taka 690 per card, and the charge in case of
damaged or lost card is Taka 600 per card. And phone banking and internet
banking and evening banking is absolutely free.

Charges for Cash and Travelers Cheque Foreign Currency:

For issuance of FCY cash, customers need to pay 1% of the transaction plus
Taka 200/= per passport. And for issuance of Travelers cheque 1% of the
transaction plus Taka 200/=. The charge for encashment is absolutely free in
case of travelers cheque issued by SCB.And encashment for other bank’s issued
T.C is 0.25% of the transaction value or minimum BDT 500. SCB also provides
encashment facility for non-customers, is 0.25% of the transaction value or Taka
1,000.

Charges for maintaining Student file:

For customers, opening student file for SAARC countries, they charge BDT 3500
per student, per annum plus Taka 500 per remittance. This is a centralized
system. No matter where the customers conduct his/her banking, for opening
and maintaining student file, he/she is bound to come to SCB Kakrail Branch,
which is at 109, Kakrail. That branch exclusively deals with Student File. And, the
charge for other countries is Taka 5000 per student file plus Taka 500 per
remittance. This opening of student file is not available for non-customers

Two separate divisions of SCB in Bangladesh:

Product Division: There are different divisions for targeting different type of
customers. Mainly consist of two divisions, that is Consumer Banking Division (C
B) and other is Corporate Banking Division named Corporate and Institutional
Banking (C & I).

Consumer banking division meets the needs of individual customers with various
products like Savings Account, Extra Value Savings Account, Access Account,
Call Deposit, FCY Deposit, NFCD Fixed Deposits, RFCD Account, Personal
Loans, Auto Loans, Flexi loans, Cash Line, Installment loans, etc. This
department also deals with other savings instruments like education savings
scheme, rainy day scheme, marriage day scheme, millionaire scheme (some
printed brochures are enclosed in the Appendix).

The Relationship between Respective Customers to Different Departments of

SCB
This focus allows the business to develop an in-depth understanding of the
banks customer’s evolving requirements. This in turn enables SCB.

to develop the products and services that help them to stand out from the
competition. Treasury provides support to the customers of both these business
and develops customers (both individual and organizational) of its own.

Part 2

(Statistical data presentation and Analysis)

1) Please identify your gender

Analysis: Here from the survey I found that among 120 survey 33% are women
and 67% are men. So we can come to the conclusion that most the SCBS
customers are male. And many case we found that private service holders wife
maintain there account that’s why the percentage move to 33% otherwise it can
be less than 20%. Most of these cases we found those males are opening a joint
account so that there wife can maintain there account.

2) Please identify your age range

Analysis: In my survey questionnaire I gave 7 age segment and found 25%

customer among the 120 fall in between 31-35 years then 22% fall in 41-45 age
years old and 20% fall in between 36-40 years age. So we can say that most of
the SCBs customers’ age range falls between 31-45 years range. But yet there
are many customer whose age range fall above the average because they
maintaining the account before the Independence of Bangladesh. At the same
time we found some new customers who are student after SCB start the
graduate account. So we can say that all aged customer hold account in SCB
Bangladesh.

3) Please mention Your Residence Location

Analysis: I basically did my survey in Uttara, Gulshan, and Banani branch so

most of the people are from these areas but in Uttara I found some people
coming from Tongi as there is no branch in Gazipur and SCB has a corporate
client Sanofiaventis in tongi so employees of sanofiaventis came to uttara and
found some customer from Khilkhet and Nikunja. In banana and Gulshan I found
many flowing customer from different place of Dhaka city like Agargaon,
Dhanmondi and old town. But highest cluster is found on the basic three areas.
4) Please mention your monthly Family income range.

Analysis : Standard Chartered bank is a place where customer or consumer

requires a huge amount of money to start its initial operation with SCB. So it is
not mentionable mostly high income holders have account in SCB. Among 120
50% we found have monthly family income more than 45000 and 37.5% have
income in between 35001-45000. Highest numbers of people are fall in between
this.

5) Please mention Your Educational Background.

Analysis: In my survey I found highest number of consumer educational back

ground is Honors and all of them except some old women and some worker from
Sanofiaventis are graduate means 69.2%. Second is 20.8% are master degree
holder and 6.9% are PhD degree holder. So we can end up that all most 85% of
SCB account holders are educated because most of the case they need to fill up
form in English.

6) Please mention your profession

Analysis: Here we can see that highest percentage is on private service holder
because they are operating there salary account with SCB for better service and
for definite benefit. Next is professional under this category all engineer, doctor,
lawyer, Consultant etc which contains 18.3%. Then next government officer as
we know a huge number of our population is doing govt. service but most of their
money is black money that’s why they don’t want to operate in SCB although we
found 13.3% are govt. service holder but most of them are senior official. Last we
found same percentage on student and retired govt. official which is 3.3%.

7) Please put a tick mark on the service name that you avail most from
Standard Chartered bank.

Analysis: During my internship in Uttara branch and from the survey I found most
of the customers come to branch for avail the sanchayapatra coupon
encashment and purchase services and taking statement & certificate for
different embassy. And numbers of people come to know there balance although
they can get it through ATM booth and call center but still they wants to rely on
branch. Lastly few people as well come to open different savings product.

8) Are you happy with the charges that Standard chartered bank take for
statement from branch?
Analysis: Standard Chartered recently increase their charges for statement and
certificate if customer wants to get them from branch. They increase it almost
double where in the past it was 287.5 for 6 months not it is 575 for the same
tenure and 1150 for 1 year. Which makes many customers annoyed that’s why I
found among 120 people 99.2% are unhappy with this recent charge.

How much do you think Standard Chartered Bank should charge for
statement from branch?

Analysis: Here I want the customers suggestion regarding how much SCB should
charge for the statement & certificate 41.7% say they can increase but the
amount shouldn’t be 350+vat, 35% said same as before. So their suggestion is
SCB can increase the charges but not doubled. Where as 14% said SCB should
reduce the charge to 150+vat and 9% said they can charge at best 450+vat but
not the double.

10) Are you glad to take Debit card as a replacement of ATM card by paying
more?

Analysis: Standard Chartered start distributed its debit card as they want to
replace ATM card with debit card. But problem is charge is more or less double
at the same time SCB start charge customers before they start use the debit card
and SCB send the debit card by post without taking permission from customer.
Here 76% said they are not happy to take Debit card by paying more and 24%
said they are happy.

11) How much do you think Standard chartered bank should charge yearly for
debit card to retain the satisfaction?

Analysis: Here I ask them how much SCB should charge for the debit card 73%
said they should charge same as ATM card and 23% said below the ATM card
charge.

12) Do you think Standard chartered banks required document for any kind of
service to the client creates dissatisfaction level among customer?

Analysis: Now if any customer wants to take any kind of services they need to
present with different papers like passport for photo identification or authorization
application with attested photo. But these docs increase dissatisfaction level
among valued customer. That’s why 44.2% said they agree that it increase the
dissatisfaction level and 29.2% said strongly agree with this statement.

 2) Loan Closing Charge

 3) Account Closing Charge

4) Loan Processing Charge

5) Account Opening amount (2 Lac for Savings, 50 thousand For Current)

6) Statement request

7)Balance Check

8)Different Charges of different Products

Analysis: Standard Chartered bank is the first bank in Bangladesh who start the
call center option in Bangladesh. Now they are start creating their call center
activated. For this reason they try to make the customer call center oriented
instead of branch oriented. SCB make many things free for customer if they
collect through call center. But many problems associated with call center
performance. The main problem which is the basic criteria of the call center is
availability of phone line. The phone line is very much poor, sometimes branch
employee can not connect the phone line when branch people suggest them
about then they directly ask can you please connect the no. and branch guys fail
to connect. But over all whenever customers make complain or want something
from call center they will get that very soon. That’s why customers are annoyed
with availability of phone line not with services.

9) How do you value Standard Chartered Banks performance in terms of the

following features & services? (Please choose among 1 to 5, as 1=Excellent,
2=Good, 3=Ok, 4=Poor and 5=Very poor)

Here I ask some basic question from where I found some important information
about SCBs basic performance. The questions are as follows:

          1) Service delivery time

Analysis: In branch mostly service given by Customer Service officer means

(Cash) and Personal Financial Consultant (PFC) but the service delivery time is
very poor. In cash for giving service to particular one customer one CSO take 5
minutes just to receive and giving the money and abut PFC they basically harass
the customer by asking many question even from the account holder they ask
many question if sign mismatch occur. So that’s why service delivery time comes
poor and 61% of the people said very poor and 21% said poor means 82% said
poor.

2) Behavior of the bank staff

Analysis: Standard Chartered bank is the largest multinational bank in

Bangladesh and all their employees are as well employee of SCB London so
customers expectation is very high but most of time I found SCB put the sales
officer who are just B com pass as CSO and this creates problem because they
don’t know curtsey and bank never arrange and behavior change training for
them. That’s why 42% of the 120 people said behavior is poor and 32.5% said
very poor.

3)Interest rates of the products and services

Analysis: Standard chartered banks product has the lowest interest rates in the
market and they don’t care they don’t even have any plan to increase the rates.
That’s why 45% survey people said interest rates are very poor and 34% said
poor. And this is the only reason why post of the people uses their deposit in
Govt. Sanchayapatra which has highest interest rates.

4) Required documents for different service ( Example: Passport or Photo

Identity for all service)

Analysis: For security purpose and for Bangladesh Banks requirement SCB want
many documents for different services. But people said its not bad because
these days every one is fear about terrorism. That’s why 72% said requires docs
is ok.

5) ATM booth Service

Analysis : SCB first introduce ATM booth service in Bangladesh now they have
35 ATM booth but problem is all of them are becomes old and there are no
particular department for ATM branch people needs to repair them that’s why
service quality degraded day by day. Only for this degraded services 53% said
services are very poor and 18.3% said poor. But within 6 months this scenario
will change as SCB is going to start new ATM booth department who are going to
take care all of them and a special services will become standby so that anytime
they can solve the problem.
6) Image of the brand name

 Analysis: As a multinational bank SCB has highest number of 24 branches and

35 ATM booths and they are only bank in Bangladesh who are connected online
for all these branches and ATM. That’s why there is no question about the brand
name. That’s why most of the people said the brand name is excellent and good.

Correlation:

Cross Tabulation 1:

 Standard chartered banks call center performance for cheque book request
 Standard chartered banks performance in terms of service delivery time

Chi-Square Tests      

  Value df Asymp. Sig. (2-sided)

Pearson Chi-Square 27.77305 16 0.03365

Likelihood Ratio 27.3394 16 0.037861

Linear-by-Linear Association 9.906138 1 0.001647
N of Valid Cases 120    

Here we see that Chi-square calculated = 27.77305

In 95% interval and 16degrees of freedom Chi-square critical = 30.195

So, Chi-square calculated < Chi-square critical

So, Hypothesis is accepted.

Analysis: Means Cheque Book delivery time is highly related with SCBs
performance in terms of service delivery time. As cheque book delivery is one of
the major job responsibilities of branch and it requires time and if customers
make it through call center it will help branch to deliver them as quickly possible.

Cross Tabulation 2

Standard chartered banks call center performance for statement request

Standard chartered banks performance in terms of service delivery time

Consumer banking is number one profitable sector in Bangladesh. While it has

solid revenue potential it involves close cooperation and coordination among
several departments within the bank and liaison with a large number of entities.

The following aspect should be taken under consideration to increase the

customer satisfaction which ultimately help SCB to be profitable:

First things that Standard Chartered bank should do are maintaining the standard
during recruiting the employees. An employee bears the brand name so if
employees make some thing wrong that will ultimately affect Standard Chartered
bank. And consumer banking directly deals with customer and they face the
major problem of loosing customer if employees make something wrong.

Second thing is Standard Chartered bank should create a new division whose
major responsibility will be looking after the ATM booths. These days people are
interested to make their banking transaction through ATM but due to some
technical problem most of the time they face problem in ATM. So new division
can solve this problem by solving the technical problem right on time and make
servicing of machine regularly.

From my survey most of the client or customer these days needs to come to the
bank for Sanchayapatra coupon encashment. Here for better customer service
Standard Chartered bank should introduce new software where customer can
drop their Sanchayapatra and all the coupon will be en cashed automatically
after maturity. This will increase the brands power on the mind of the customer.

Prevailing legal procedures is very lengthy and complicated. It takes longer

period to settle any kind of dispute. On the other hand, encashment of security
after maturity is a long drawn process, i.e. generally takes 5 – 6 days. So, SCB
should be more careful in the case of opening and closing different securities. So
that after maturity customer gets them very quickly and timely.
 Conclusion:

In retrospect of the marvelous growth of consumer banking revenue over the last
20 years and contemplating the intensity of competition yet to come, it is crucial
for SCB to rethink its strategies and marketing plan to sustain the growth
consumer banking revenue. Correspondent banking service providers domiciled
in Bangladesh are expected to be fighting for a bigger pie, as the growth
prospect of the country’s correspondent banking business is limited. One of the
ways to achieve that objective is to maximize consumer banking revenue
generated from local clients and introduces more local products.

At the same time Standard chartered bank must have to consider the consumer
mind setup. As a multinational bank customer want more benefit from them then
other 3rd generation bank. So instead of making profit only they should care about
the customer as well. They can start many new savings product like millionaire
scheme. But here problem is that all these scheme is very costly. So they should
introduce something for the middle class, but still SCB continuously working with
upper class and upper middle class.

When these types of facility is come on front then and only then Standard
Chartered Bank can compete with other banks like HSBC, Prime Bank, Dutch
Bangla Bank. Customer is the heart of the bank and if SCB can make them
satisfied and make them return to the bank with their deposit it will become the
largest profitable bank in Bangladesh within a short period of time.