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CHAPTER I

INTRODUCTION

1.1 BACKGROUND

Bachelor in Business Administration (BBA) is the semester wise academic program

designed for management students to provide comprehensive and practical education.

BBA Program in DAV College is under the affiliation of Faculty of Management

(FOM), Tribhuvan University (TU). It is a full fledged learning program of eight

semesters (One hundred and twenty Credit hours) meeting the international standards

of four years and constituting general business courses and advanced courses for

specific concentrations.

BBA program of Tribhuvan University requires internship of minimum eight weeks.

The reason behind including Internship in the final semester is to give practical

exposure to the students. Internship is the form of applied knowledge that enhances

the individual’s ability and confidence level to compete in the dynamic and global

business world. It is also one of the pertinent ways to grasp the opportunity through

exposure to the internal as well as external environment of the organization. It is just

like a training section in which one gets familiarity with the corporate culture and gain

practicability.

Moreover, Students can use the knowledge acquired in the previous semesters and

perform efficiently in completion of the assigned tasks in the workplace. It assists in

improving the interpersonal and communication skills required to sustain in the

competitive business environment. It enhances fresher's confidence level to compete

in this complex age and level of understanding. It increases the ability of the students

to tackle the business problems to grasp the opportunity and to face threats.

Thus, internship is career enhancing program and is aimed at developing the level of

understanding and competence required to be a professional.

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1.2 OBJECTIVES

As discussed earlier the focal point of the Internship program is to make the students

participate in the real life organizational setting and provide the opportunity to apply

the knowledge and skills they have learnt during entire study. The objectives of my

study are listed below

i. To learn about the functioning of Customer Service Department.

ii. To observe the workflow process of Human Resource Planning and Promotion

Department.

iii. To acquire knowledge about the recruitment and selection procedure of SrBL

iv. To identify how Human Resource Development takes place.

v. To be familiar with various types of orientation and trainings given to the staffs

1.3 METHODOLOGY

This report has been prepared on the basis of a eight weeks internship experience at

Sunrise Bank Limited, Gairidhara. For the preparation of this Internship report, the

secondary sources have been used. The secondary information was mainly collected

from the Quarterly Reports of the bank, booklets, newspapers, published documents

and various websites. Apart from that few books, websites and previous internship

reports have been referred to get a detailed overview of the format as well as materials

and information

1.3.1 Organizational selection

Being a banking and finance specialized student, I was required to do my internship in

any financial institution. Among all the financial institutions, commercial banks were

more preferable as they are large, reputed and had more scope. So I made up my mind

to select commercial bank rather than going for finance companies, co-operatives and

other types of organization. For the organization selection, I assessed various banks

and found Sunrise Bank Limited as a new and emerging bank. I was recommended by

my teachers to join Sunrise Bank Limited.

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By joining Sunrise Bank, I believed I could know a lot about the functioning of the

bank and the various strategies that bank follows for the success of the organization.

So, I finally took a decision to choose Sunrise Bank Limited for my internship.

Accordingly, I dropped the College Recommendation Letter along with Curriculum

Vitae in the Head Office of Sunrise Bank. After regular follow ups, I was finally

appointed as an intern in the Main Branch of Sunrise Bank Limited on 27th April

2009.

1.3.2 Placement

During my internship period in Sunrise Bank Limited, I was mainly placed in two

departments. I got the opportunity to work in the Main Branch and the Head Office

located at Gairidhara. I was placed in the Customer Service Department of Main

Branch, and Human Resource Planning and Promotion Department of Head Office.

However, my report is focused on Human Resource Planning and Development

Department where I was placed for the most part of my internship period.

1.3.3 Duration

The requirement of internship period for BBA students affiliated to Tribhuvan

University is minimum eight weeks. So, with a view to fulfill this requirement, I was

engaged as an intern for the period of eight weeks i.e. from 26th April 2009 to 26th

June 2009 at Sunrise Bank Limited, Gairidhara. During my internship period, I was

placed in different departments to gain adequate knowledge and helped develop my

banking and interpersonal skills in the limited time

Department Week

1st 2nd 3rd 4th 5th 6th 7th 8th

Business Desk ♦♦ ♦

IPO ♦

Human Resource Planning and Promotion Department ♦ ♦ ♦ ♦ ♦ ♦

Table 1.1: Duration of Internship

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1.3.4 Activities

When I joined Sunrise Bank Limited as an Intern, I was appointed mainly in

Customer Service Department (CSD) and Human Resource Planning and Promotion

Department.. Brief overview of the respective department was given to me before

assigning me the tasks. I observed how the staffs carry out their activities and

developed a clear understanding. During my internship period Sunrise Bank Limited

was in the process of issuing shares to the general public (IPO). I got an opportunity

to get involved in IPO related activities as well. I came to know how IPO is

conducted by any commercial bank.

Following are the major activities that I could perform as an intern in Sunrise Bank

Limited.

Department Activities Performed

Customer Service Department Manual entry in the ledger Filing of the documents Filling KYC form Assisting customers in filling their forms Answering queries of the customers Cheque book preparation Providing cheque books to the customers

upon their request Giving statement to the clients verifying

their signature and account number Scanning photos and signatures of the

customers for future verificationIPO (Initial Public Offering) Distributing the share application forms to

the customers Verifying the forms submitted by the

customers Entering the forms in the computer

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Department Activities Performed

Human Resource Planning and Development Department (HRPDD)

Keeping entries of the drop in Curriculum Vitae (CV) giving them respective codes

Filing the documents in their respective cabinets

Maintaining attendance record of all the branches

Entering the TNA (Training Need Assessment Forms)

Creating files of new employees and filing their documents for future use.

Preparing interview charts. Giving the phone calls to the selected

applicants for the interview Preparing separate files for each panel of

the judges to evaluate the candidates To calculate the marks obtained by the

candidates and make a call to the selected ones for next level interview.

1.4 LIMITATIONS

1. This report is mainly based on my individual understanding and knowledge

gained during the internship period and theoretical knowledge that has been

previously studied.

2. The bank’s policy in keeping some matters confidential prevented me from

analyzing the various critical facts and issues i.e. mostly in Human Resource

Planning and Development Department.

3. As I had work only in some particular departments only, I could not witness and

scrutinize the overall operations of the Bank.

However, I have tried my level best to gain adequate knowledge of banking and the

corporate culture and sincerely perform the tasks I was assigned by my supervisors.

The whole experience was an excellent learning opportunity as well as an exciting

challenge.

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CHAPTER II

INTRODUCTION TO BANKING INDUSTRY

2.1 CONCEPT OF BANK

The term ‘bank’ is derived from the Latin Word ‘bancus’, Italian word ‘banca’,

French word ‘banque’, which means ‘a bench’ and German word ‘bank’ which

means Joint Stock Company. Bank is a financial institution engaged in monetary

transaction. It accepts deposits from surplus units and mobilizes those funds to the

deficit unit. In other words, it receives deposits from those having savings and lends it

to the ones who are in need of money for some purpose. Besides this, a bank is also

involved in a number of other agency services like remitting and collecting cash on

behalf of its clients, opening bank draft and LC facilities, underwriting shares of

newly established companies etc.

Bank acts as the financial intermediary i.e. it bridges the gap between the savers of the

fund and users of the fund. Banking system of any country is the important

component of the financial market. Without bank, it would be quite impossible for the

industrialists and entrepreneurs to collect savings directly from general for

investments.

Bank, a financial service institution, especially concentrates on credit, savings and

payment services and performs the widest range of financial functions of any business

firm in the economy. Its major function is to formulate the capital by collecting the

small diversified savings scattered all over the nation. A typical modern bank

performs various functions like accepting deposits, granting loans, exchange of

foreign currency, transfer of funds, credit creation, and functioning as an agent of

customer.

Bank has become an essential part of modern society, which helps in the development

of overall condition of a country. Efficient banking system of any nation fosters its

economy as well.

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In the absence and insufficiency of banking and financial facilities, the growth of the

economic development becomes slow.

Some of the definitions of banks by scholars

Different scholars have defined bank in different ways. Some of the definitions are

given below:

According to Crowther

“Bank is an institution which collects money from those who have it to spare and who

are saving it out of their income and lends this money out to those who require it.”

According to Prof. Kinley

“ Bank is an establishment, which wakes to individuals such as advances of money as

may be required and safety made to and to which individuals entrust money when and

required by them for use.”

Other Definitions of Bank

Some other definitions of bank are given below.

According to Nepal Rastra Bank Act 2002

“Bank is a financial institution which provides financial services that may be in the

form of accepting deposits, advancing loans, providing necessary technical advices,

dealing over foreign currencies, remitting funds, etc.”

According to Commercial Bank Act of 2031 (Nepal)

“Bank is an organization established for the purpose of exchange money deposit

lending money and participation in transactions”

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2.2 HISTORY AND ORIGIN OF BANK:

The history of banking is nearly as old as civilization. It is closely related to the

history of money. Along with the civilization, unceasing demand for the

improvements in service quality and the increasing need and expectations of

customers, it has gone through transformation.

The banking industry that we have at present is the outcome of a series of stepwise

developments that have occurred in the process of its evolution. The early bankers,

the Jews in Lambardy, transacted third business at benches in the marketplace. When

they were unable to meet their liabilities, the depositors used to break their benches

and the term bankrupted was derived.

The early bankers are the Lombard's who were originally from the plains of

Lombardy of Northern Italy. After the Lombards, the goldsmiths practiced banking as

a sideline to their normal activities in the bullion and jewelers fields. They introduced

banking practice in England. The very first banks were probably the religious

temples of the ancient world where gold were stored.

In ancient Greece the famous temples of Delphi and Olympia served as the great

depositories for peoples’ surplus funds and these were the centers of money lending

transaction. Indeed the traces of “rudimental banking” were found in the Chaldean,

Egyptian and Phoenician history. The development of banking in ancient Rome

roughly followed the Greece pattern.

Banking suffered oblivion after the fall of the Roman Empire after the death of

Emperor Justinian in 565 A.D. until the revival of trade and commerce in the middle

Ages. Money lending in the middle ages was, however, largely confined to the Jews

since the Christians were forbidden by Canon law to indulge in the sinful act of

lending money to others on interest.

In England, banking and its origin can be started with goldsmith who adept the

valuable thing of the public for the safe keeping at certain commission (interest) and

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to be returned to those, the depositor wished. According to Crowther, modern

Banking has three ancestors- The Merchant, The Goldsmith and The Money Lender.

As a public enterprise, banking made its first beginning around the twelfth century in

Italy and the “Bank of Venice”, founded in 1175 A.D. was the first the public

banking institution. Following it, “Bank of Barcelona” and “Bank of Genoa” were

established and it continued to operate in 1401 A.D. and 1407 A.D. respectively.

These modern bank gradually replaced goldsmith, merchant and money lender.

“Bank of England” in 1694 A.D and “Bank of Hindustan” in 1770 A.D. were

established in England and India respectively as the first bank of it. But these banks

were not established according to the law.

In 1833 A.D., Banking Act-1833 was introduced in United Kingdom which allowed

opening joint stock company banks. With the expansion of commercial activities in

Northern Europe there sprang up a number of private banking houses in Europe and

slowly it spread throughout the world.

2.3 ORIGIN OF BANK IN NEPAL

Financial system in Nepal is still in the revolutionary phase. The history of banking in

Nepal can be described as a component of gradual and ordinary development in the

financial and economic condition. The establishment of “Kausi Toshi Khana” as a

banking agency during the time of King Prithvi Narayan Shah and “Tejarath Adda”

can be regarded as the initial steps in the direction of start of banking development in

Nepal. In the context of Nepal, the development of banks can be summarized in three

phases:

Phase I

Phase II

Phase III

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Phase I:

The establishment of ‘Tejarath Adda’ during the Tenure of Prime Minister Ranoddip

Singh in 1933 B.S. (1876A.D) was the first step towards the institutional development

of banking in Nepal. It was an unorganized institutions subscribed and established by

government in Nepal with the objective to provide credit facilities to general public.

Credit loans were provided to the general public at 5% interest rate on securities i.e.

gold, silver and other ornaments. It failed to accept deposits from them. Though it

could mobilize funds from wide range of different sources, it was not able to facilitate

the growing trades with Tibet and India. Thus a need for the establishment of a

modern bank had become essential to promote the trade of the nation.

Phase II:

During the time of Chandra Shamsher (1901-1929), credit facilities of ‘Tejarath’ were

extended by opening its branches. Later during the time of Juddha Shamsher in B.S.

1994.07.30, it was replaced by the first commercial bank, Nepal Bank Limited with

an authorized capital of 10 million rupees. After that Nepal Rastra Bank was

established on B.S 2013.01.14 as the central bank under the Nepal Rastra Bank Act

2012. Its function was to supervise commercial banks and to guide the basic monetary

policy of the nation. In 2013 B.S, Industrial Development Center was established and

later it was converted into Nepal Industrial Development Corporation (NIDC) in 2016

B.S. As the monetary transaction got more and more complicated on 2022.10.10,

Rastriya Banijya Bank was established as a fully government owned commercial

bank. Agricultural bank was then established on 2024.10.07 to help the agricultural

side of the country.

There were altogether five banks in Phase II. (Source: Annex 1)

Phase III:

“Commercial Bank Act 2031” was enacted to operate all commercial banks uniformly

under single act. Nepal Commercial Bank Act 2031 defines commercial banks as the

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banks that deal with money exchange, accepting deposits, advancing loans and other

commercial transactions except some special functions done by specified cooperative,

agriculture and industrial banks. In 2041 B.S. Nepal Government established five

rural development banks under the control and supervision of Nepal Rastra Bank. The

establishment of these banks helped in spreading the banking services to both urban

and rural areas but banking service to the customer satisfaction was still far.

After the reestablishment of democracy, the government has taken liberal policy in

banking sector so different private banks are getting permission to establish with the

joint venture of other countries. Nabil is the First Joint Venture Bank as Nepal Arab

Bank. Similarly, three foreign commercial banks Emirates Bank International Limited

(Dubai), Indosuez, and Grind lays Bank entered Nepal in the form of joint venture and

the trend is continuing till today.

2.4 PRESENT SCENARIO OF BANKING SECTOR IN NEPAL

The Nepalese financial sector is composed of banking sector and non-banking sector.

Banking sector comprises Nepal Rastra Bank (NRB) and commercial banks. The non-

banking sector includes development banks, micro development bank, finance

companies, cooperative financial institutions, non-government organization (NGO)

performing limited banking activities. Other financial institution comprise of

insurance companies, employee’s provident fund, citizen investment trust, postal

saving offices and Nepal stock exchange. There is tremendous growth in the number

of financial institution in Nepal in the last two decades. At the beginning of 1980s

when financial sector was not liberalized, there were only two commercial banks and

two development banks performing banking activities in Nepal. There were no micro-

credit development banks, finance companies, cooperatives and NGOs with limited

banking transactions. After the liberalization of the financial sector, financial sector

has made a hallmark progress both in terms of the number of financial institutions and

beneficiaries of financial services.

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Today, there are altogether 26 commercial banks (Source: Annex 1) in Nepal. Out of

them 9 is joint venture with foreign bank. With the increasing number of commercial

banks, competition among themselves has also become more complex. In today’s

dynamic environment, the commercial banks are trying to introduce and establish

themselves differently from other banks by providing special services and attractive

schemes to its customers. Besides commercial banks, development banks are also

improving their performance in Nepalese banking industry and they also play an

important role in the growth of country’s economic position.

The present scenario of the Nepalese financial market can be viewed as:

S.No Financial Institution No. of Institutions

1. Central Bank 1

2. Commercial Bank 26

3. Development Bank 61

4. Finance Companies 78

5. Micro-credit Dev. Banks 13

6. Cooperatives 16

7. NGOs 45

8. Insurance Companies

Table 2.1 Lists of Financial Institution in Nepalese Market

As On Mid April 2009

2.5 COMMERCIAL BANKING SYSTEM IN NEPAL

According to the Commercial Bank Act 2031, "Commercial banks are the banks that

deal with money exchange, accepting deposits, advancing loans and other commercial

transactions except some special functions done by specified cooperative, agriculture

and industrial banks." The commercial bank is the oldest form of bank. In general, it

performs all kinds of banking business and generally finances trade and commerce is

called commercial bank.

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It occupies quite an important place in the framework of every economy. Commercial

bank pools together the scattered savings of the community and arranges for their

productive use and generates profit.

In the context of Nepal, the first commercial bank, "Nepal Bank Limited" was

established in 1937 A.D. and the second "Rastriya Banijya Bank" was established in

1966 A.D. Nepal has opened its door to foreign commercial banks in the kingdom

almost a decade back. As the country followed economic liberalization, there was

massive entrance of foreign banks in Nepal. Consequently, Nepal Arab Bank was

established in 1985 A.D. Similarly the Nepal Indosuez Bank was established as a joint

venture between Nepal and France in 1986 A.D. As the result of economic

liberalization policy there are 26 commercial banks operating banking activities in the

country. (Source: Annex 2)

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CHAPTER III

INTRODUCTION TO SUNRISE BANK LIMITED

3.1 BRIEF PROFILE

With the motto of "Rising to Serve", Sunrise Bank Limited was established in

November 7, 2007 (Kartik 21, 2064) as an "A" class institution licensed by Nepal

Rastra Bank (NRB). It is one of the emerging yet quickly progressing banks. It is

founded by reputed entrepreneurs and started its service in the Banking sector with a

sizeable capital base under the leadership of its C.E.O., Mr. Kishore Maharjan. It

understands the need of growing economy and is well equipped to serve them. Their

team of professionals has dedicated themselves to establishing an institution

determined to cater to the needs of all either big or small. By adopting an aggressive

approach of expanding dynamically, Sunrise Bank Limited intends to become an

integral part of everyone's way of living.

3.2 VISION

To become a dominant player in the Nepalese Banking Industry by the year 2012

A.D.

3.3 MISSION

Continuous Offering of tailor made banking services to all levels of society, with no

constraint on time, location, size of transaction and all aspirations.

3.4 OBJECTIVES

To continuously expand Bank's operation in systematic manner. To become a major innovative Bank and provide top of the line services. To build an HR team that continuously supplements the growth of the

organization. To be vigilant to the evolving economy and align our operations accordingly.

3.5 CAPITAL STRUCTURE

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The ownership structure of Sunrise Bank Limited is given as follows:

Authorized Capital Rs. 5000 m

Paid-up Capital Rs. 875 m

IPO Rs. 375 m

F

Figure 3.1: Capital structure of Sunrise Bank Limited

3.6 ORGANIZATION STRUCTURE

An organizational structure is a mostly hierarchical concept of subordination of

entities that collaborate and contribute to serve one common aim. Like any other

bank, the Board of Directors constitutes the top level management of SrBL. The head

of management is the C.E.O., Mr. Kishore Maharjan, and the remaining staff operates

the bank under his leadership. (Source: Annex 3)

3.6.1 Board of Directors

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A board of directors is a body of elected or appointed members who jointly oversee

the activities of a company or organization. The body sometimes has a different name,

such as board of trustees, board of governors, board of managers, or executive board.

It is often simply referred to as "the board." Board of Directors of SrBL comprises of

following.

Name Designation

Mr. Tolaram Dugar Chairman

Mr. Shrawan Goyal Director

Er. Bachh Raj Tater Director

Mr. Motilal Dugar Director

Dr. Bhogendra Guragain Director

Mr. Shreeniwas Sharada Director

Table 3.1: Board of Directors

3.6.2 Management Team

A management team is directly responsible for managing the day-to-day operations

(and profitability) of a company. Sunrise Bank Limited comprises of team of

professionals as management team.

Name Designation

Mr. Kishore Maharjan Chief Executive Officer

Mr. Suman Neupane General Manager

Ms. Asha Adhikary Assistant General Manager- Business Planning

Mr. Bala Ram Bista Assistant General Manager – Business Support

Ms. Neeta Pradhan Joshi Assistant General Manager – Business Management

Mr. Janardan Dev Pant Chief Manager

Table 3.2: Management Team

3.6.3 Audit Committee

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The audit committee of the Bank has its own Charter duly approved

by the Board. All functions of the Audit committee are governed by

the provisions of the Charter companies Act 2063 and NRB

Directives no. 6. The Audit Committee currently comprises four

Directors and an internal auditor and is chaired by company director

Mr. Moti Lal Dugar. The details of the composition of the committee

are set out in the following table.

Name Designation

Mr. Motilal Dugar Chairman

Dr. Bhogendra Guragain Member

Er. Bachh Raj Tater Member

Mr. Shrawan Goyal Member

CSC & Co, Chartered Accountants, Internal Auditor Member

Mr. Bidya K. Adhikari Secretary

Table 3.3: Audit Committee

3.6.4 Various Departments of Sunrise Bank Limited

As we can see in the organization chart, bank performs its activities with the proper

coordination and integration between many departments. Each department of SrBL

looks after their own area of activities in order to achieve the Bank’s objectives. The

major departments are listed bellows.

1. Customer Service Department (CSD)

It is also known as the Business Desk. It is the place where the customer initially

interacts with the bank. It provides the services like account opening and closing,

providing account statement, Customer counseling, giving out information and

addressing varied request of the customers.

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2. Cash Department

The Cash Department of SrBL facilitates the deposit and withdrawal of cash. Its

main function is to manage the inflow and outflow of money in the bank. The

customer can deposit by filling up the deposit slip and withdrawal can be made

through cheque or withdrawal slip.

3. Bills & Remittance Department (RMT)

This Department looks after the clearing services and facilitates both incoming

and outgoing remittance in the bank. It accepts the cheques for outward clearing

and makes payment for the inward clearing cheques. Likewise, it receives the

incoming remittance on behalf of customer and disburses money through its

agents on the client’s request. Furthermore, this department also looks after the

fixed deposit services.

4. Customer Relations Department (CRD)

CRD has the responsibility of representing the Bank in the market. Its major

function is to market the Bank’s products to its targeted customers. The

Relationship Managers interact with the customers, initiate, process and approve

the facilities, and also are liable to get the necessary document from the customers

as per the approved credit facility.

5. Credit Control Department (CCD)

The main function of this department is to ensure that the credit function can run

smoothly by scrutinizing all the credit proposals. The department analyses various

aspects of the credit proposal and makes sure that the proposal in consideration is

in compliance to the credit policy of the bank as well as NRB Directives.

6. Credit Administration Department (CAD)

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This Department performs the function relating to the documentation,

implementation, and disbursement of the credit facility. Once the loan has been

approved by the lending authority, the responsibility of the department starts. It

has close link with CRD and Legal department and has to prepare and obtain all

the security and legal documents and make sure it is complete and in compliance

with the legal department so that legal actions can be taken in case of

discrepancies or default of the credit facility.

7. Trade Finance Center (TFC)

It collects all the necessary documents from international banking department of

different branches and follows up the process for export & import LC and

different types of bank guarantee. Taking approval from concerned authorities,

preparing SWIFT message, checking document and forwarding it to the concerned

department are TFC’s main tasks.

8. International Banking Department

International Banking Department looks after Letter of Credit (Import and

Export), different types of Bank Guarantee, Import through advance payment,

Cash against Document and Document against Cash.

9. Administration Department

Administration Department looks overall administrative work like coordination

between department, monitoring staff attendance, maintain leave record,

settlement of all expenses, entry of transaction ticket and so on.

10. Legal Department

The main function of Legal Department is to look after the legal matters of the

bank and to make sure that the bank is in the safe side in case of any default. The

department is headed by the person specializing in law, who makes sure all the

activities and the steps that are followed are legal.

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11. Treasury Department

Treasury department maintain foreign exchange rate that is necessary in the

transaction within bank. Any types of fluctuation occur in foreign exchange

should informed in the concerned department immediately so that the bank does

not get loss. Furthermore it concern with foreign bank and maintain nostro

account.

12. Human Resource Department

The main function of this department is recruiting necessary staff, recording

performance evaluation; transfer them in to branches and department, keeping

necessary information related to staff, promoting staff and if necessary lay them

off.

13. General Service Department

General Service Department see whether the office premises is clean or not and to

instruct the cleaners to clean the place properly, arrangement of chairs as per

requirement, see whether there is availability of drinking water or not, see whether

the office equipments work properly or not and so on.

14. Reporting & Reconciliation Department

This department collects all the necessary reports of different branches and

coincide them in order to prepare a single report of the bank. Similarly it checks

daily general ledger, financial trial balance, and daily transaction. Furthermore it

ensures timely reconciliation of Manager’s cheque, Inter branch ticket and other

accounts related transaction with preparation of monthly reconciliation report.

3.7 BRANCH NETWORK

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Branch network of any bank is the outlet for offering its services to the prospect

customers. Like any other banks, Sunrise Bank limited is also operating with its

branch network. The Corporate office or Head office is situated at Gairidhara. It has

opened 12 branches inside the Kathmandu valley and 11 branches outside the valley.

(Source: Annex 4)

3.8 PRODUCTS AND SERVICES OF SUNRISE BANK LIMITED

1. Deposits

Like any other commercial bank, SrBL accepts deposit from individuals, business

organizations and other institutions. It offers the following product and services to

its customers.

a. Current Deposit:

Current deposit is a type of non-interest bearing deposit in which customer can

make any number of deposits and withdrawals on demand. It is also known as

corporate account.

b. Normal Saving:

SrBL offers Normal Saving account facility to cater to the saving habits of

individuals and households. It can be opened with a minimum balance of

NRs.1000 and currently provides an interest of 6.5%.

c. Super Savings:

Sunrise Super Savings provides interest in daily balance and is targeted to the

customers with a high account turnover in the savings account. The minimum

balance is NRs.10000 and the interest rate varies according to the deposit amount.

d. Bal Bachat Kosh:

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Sunrise Bal Bachat Kosh is a special type of saving account especially designed

for the children below 16 years of age in order to encourage their saving habits.

e. Fixed/Term Deposit:

Fixed deposit refers to the deposit of fixed amount, at fixed interest rate, on fixed

term and to fixed payee. At maturity the bank repays principle together with

interest or pays interest on regularly but principle only at maturity.

f. Call Deposit:

It is hybrid deposit as it has the characteristics of both the current and saving

deposits. Current in the sense that deposit is with draw able at ‘call’ and saving in

the sense that the deposit earns ‘interest.’

2. Lending

In order to cater to the loan requirements of individuals and organization, SrBL

provides the following products and services.

a. Sunrise Ghar Karja:

Sunrise Bank provides Ghar Karja to individuals for the purpose of constructing

or purchasing homes. The loan can be both for short and long term as per the

requirement duly supported by the customers' income source.

b. Sunrise Sajilo Karja:

It is a flexible loan disbursed for the borrower’s social, personal or business

purposes in order to fulfill all personal and business financial requirements.

c. Sunrise Educational Institute Loan:

This type of loan is provided with a view to promoting educational institutions in

the country and for their daily requirements, expansion plans, etc.

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d. Term Loan:

It is a long term loan for acquiring fixed assets or an existing project, and is

generally available for acquiring or purchasing machinery, equipment, land and

building. The tenure is based on the project's duration and the estimated/ existing

cash flow.

e. Demand Loan:

Demand loan is provided to help the customer build up the stock and receivables

to a desired level, against which the loan will be disbursed.

f. Sunrise SME Loan:

SME loan is aimed at meeting the financial ambitions of small and medium

businesses. It is disbursed to meet the working capital as well as fixed term

requirement of the applicant.

g. Overdraft Loan:

SrBL offers overdraft loan to finance your daily working capital requirement and

to support your stock build up of the customer.

h. Hire Purchase:

It is the loan provided to finance the purchase of vehicles used for both consumer

and commercial purposes.

i. Import Loan:

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This type of loan is provided to finance domestic and international trade

transactions through letter of credit. The loan is financed in the form of trust

receipt up to a certain percentage of the total L/C amount.

j. Short term pledge loan:

The loan is offered against the stock after verification of the same. The stock,

however, is kept under lock and key of the Bank and the loan disbursed and

settled in pro rata basis with the stock pledged and sold.

k. Export Finance:

The Bank offers to finance various export requirements such as pre-shipment loan

and post-shipment loan, documents negotiation/documentary bill purchase etc.

l. Others:

The Bank also provides various other loans like Deprived Sector Loans, Loan

against Bank Guarantee, Loan against Government Bonds, Margin Lending, Loan

against Fixed Deposits of other Banks and Consortium Loans.

3. Remittance

Remittance refers to transfer of money from one place to another. SrBL provides

both incoming and outgoing remittance services by means of Demand Drafts,

Swift Transfers, Telex Transfers, Fax Transfers, and Mail Transfers.

4. Trade Finance

Sunrise Bank facilitates the trading activities too. It ensures business safety or

liquidity with financial instruments of guarantee. It is a major player in facilitating

import export activities with modern and efficient Trade Finance and International

Trade support services, to large multinationals as well as established business

conglomerates in the private sector. It includes import and export LC, bank

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guarantee, cash against document, document against cash, Telegraph Transfer and

so on.

5. E-Banking

E-banking is the service provided SrBL by which a customer can perform banking

transactions electronically without visiting the bank. The customer can log on to

the website of SrBL and do various banking transactions from the comfort of their

house or office.

6. Others

Besides the above mentioned products and services, SrBL provides other products

and services like Safe Deposit Locker, Balance Certificate, and Good for Payment

to its customers.

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CHAPTER IV

ANALYSIS OF ACTIVITIES DONE AND PROBLEM

SOLVED

This chapter mainly focuses on the major activities that are performed in Human

Resource Department. Doing internship in Human Resource Planning and

Development Department (HRPDD) was a nice experience. Based on that experience

I could analyze the various functions of HRPDD. Almost every bank is involved in

various functions and thus requires a highly effective team and appropriate manpower

to achieve it goal. Corporate goals are translated into viable realities and profits only

with human element that play their due role in achieving the desired results.

4.1 OVERVIEW

Managing human resource is at the heart of almost all the real-life management

‘problems’. This chapter aims to bring out issues involved in the management of

human resources. Based on internship I have come to understand trends and

perspectives of HR policies and practices in Sunrise Bank Limited. On examination of

human resource at work, I have figured out various aspects which are basics to human

motivation at work and in fulfilling career aspirations within organizations. Over the

last two decades the areas of Human resource management has gone through some

fundamental and drastic changes. Rapid changes in technology, increasing workforce

diversity, increasing skill deficiency and focus on Total Quality Management (TQM)

have altered the face of banking and the shape of things to come in the foreseeable

future before identifying the HR related issues. 

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Human resource management has occupied a central position in Sunrise Bank

Limited. In changing business and management environment the strategic importance

of HRM is gradually increasing. Gone are the days when organizations were opened

to provide employment opportunities. Instead organizations of 21st centuries are being

opened to understand and take advantage of environment opportunity and threats.

4.2 HUMAN RESOURCE

Human resources may be defined as the total knowledge, skills, creative abilities,

talents and aptitudes of an organization's workforce, as well as the values, attitudes,

approaches and beliefs of the individuals involved in the affairs of the organization. It

is the sum total or aggregate of inherent abilities, acquired knowledge and skills

represented by the talents and aptitudes of the persons employed in the organization

Human resource is an increasingly broadening term that refers to managing "human

capital," the people of an organization. The human resources are multidimensional in

nature. From the national point of view, human resources may be defined as the

knowledge, skills, creative abilities, talents and aptitudes obtained in the population;

whereas from the viewpoint of the individual enterprise, they represent the total of the

inherent abilities, acquired knowledge and skills as exemplified in the talents and

aptitudes of its employees.

Like many other organized sectors, banking requires multi layer manpower for its

various requirements of professionals and support staff. The range may require

reasonably educated security guards on the one end and a highly educated and trained

professional as head of corporate finance at the other. With liberalization of activities

within the banking sector, for example, more emphasis on consumer and house

finance and personal loans, etc. banking has turned itself into a more market-based

business where banks have expanded their reach more to customers' door steps in a

big way making banking more practical. This has further highlighted the need for

proper deployment of man-power to run banks efficiently.

4.3 HUMAN RESOURCE MANAGEMENT

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4.3.1 Introduction to Human Resource Management

Human Resource Management (HRM) has come to be recognized as an inherent part

of management, which is concerned with the management of human resources of an

organization.

HRM holds the objective of the maintenance of better human relations in the

organization by the development, application and evaluation of policies, procedures

and programs relating to human resources to optimize their contribution towards the

realization of organizational objectives.

In other words, HRM is concerned with getting better results with the collaboration of

people. It is an integral but distinctive part of management, concerned with people at

work and their relationships within the enterprise. HRM helps in attaining maximum

individual development, desirable working relationship between employees and

employers, employees and employees, and effective modeling of human resources as

contrasted with physical resources. It is the recruitment, selection, development,

utilization, compensation and motivation of human resources by the organization.

The Human Resources Management (HRM) function includes a variety of activities,

and key among them is deciding what staffing needs you have and whether to use

independent contractors or hire employees to fill these needs, recruiting and training

the best employees, ensuring they are high performers, dealing with performance

issues, and ensuring your personnel and management practices conform to various

regulations. Activities also include managing your approach to employee benefits and

compensation, employee records and personnel policies.

Hence, Human Resource Management is responsible for the people dimension of the

organization. It is responsible for getting competent people, training them to perform

at high effort level and providing mechanisms to ensure that these employees

maintain their productive affiliation with the organization.

4.3.2 Nature of Human Resource Management

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Human Resource Management is a process of bringing people and organizations

together so that the goals of each are met. The various features of HRM include:

It is pervasive in nature as it is present in all enterprises.

Its focus is on results rather than on rules.

It tries to help employees develop their potential fully.

It encourages employees to give their best to the organization.

It is all about people at work, both as individuals and groups.

It tries to put people on assigned jobs in order to produce good results.

It helps an organization meet its goals in the future by providing for competent

and well-motivated employees.

It tries to build and maintain cordial relations between people working at

various levels in the organization.

It is a multidisciplinary activity, utilizing knowledge and inputs drawn from

psychology, economics, etc.

4.3.3 Objectives of Human Resource Management

We can list out the objectives of Human Resource management as follows:

To ensure effective utilization and maximum development of human

resources.

To ensure respect for human beings.

To ensure reconciliation of individual goals with those of the organization.

To achieve and maintain high morale among employees.

To provide the organization with well-trained and well-motivated employees.

To increase to the fullest the employee's job satisfaction and self-actualization.

To develop and maintain a quality of work life.

To be ethically and socially responsive to the needs of society.

To develop overall personality of each employee in its multidimensional

aspect.

To enhance employee's capabilities to perform the present job.

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To equip the employees with precision and clarity in transaction of business.

To inculcate the sense of team spirit, team work and inter-team collaboration.

4.3.4 Scope of Human Resource Management

The scope of HRM is very wide. It covers following areas.

1. Personnel aspect

This is concerned with manpower planning, recruitment, selection, placement,

transfer, promotion, training and development, layoff and retrenchment,

remuneration, incentives, productivity etc.

2. Welfare aspect

It deals with working conditions and amenities such as canteens, rest and lunch

rooms, housing, transport, medical assistance, education, health and safety,

recreation, facility etc.

3. Industrial relations aspect

This covers union-management relations, joint consultation, collective bargaining,

grievance and disciplinary procedures, settlement of disputes, etc

4.3.5 Belief of Human Resource Management

The Human Resource Management philosophy is based on the following beliefs:

Human resource is the most important asset in the organization and can be

developed and increased to an unlimited extent.

A healthy climate with values of openness, enthusiasm, trust, mutuality and

collaboration is essential for developing human resource.

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HRM can be planned and monitored in ways that are beneficial both to the

individuals and the organization.

Employees feel committed to their work and the organization, if the

organization perpetuates a feeling of belongingness.

Employees feel highly motivated if the organization provides for satisfaction

of their basic and higher level needs and opportunity to discover and use one's

capabilities and potential in one's work.

Employee commitment is increased with the It is every manager's

responsibility to ensure the development and utilization of the capabilities of

subordinates.

4.4 HUMAN RESOURCE PLANNING AND DEVELOPMENT AT

SUNRISE BANK LIMITED

4.4.1 Current position of Human Resource

Prospect of Human resource is very bright in Sunrise with every employee

committing them self in problem solving and taking care of each and every customer

at Sunrise. It has very committed competent, well-trained and appropriately placed

staff. There are altogether 304 staffs working in different departments of various

branches. Human resource at SrBL comprises of team of seasoned banking and

management professionals. It has very dedicated and passionate staffs that are

selected through intensive recruitment, training, suitable placement and appraisal

program. SrBL has recognized human resource as the most important asset in the

organization.

4.4.2 HR Planning and Development Department of Sunrise Bank

Human Resource Planning and Development Department of Sunrise Bank is

responsible for providing support in various human resource functions which include

recruitment, staffing, training and development, performance monitoring , and

employee counseling. It needs to ensure that the bank employs the right balance of

32

staff in terms of skills and experience, and that training and development

opportunities are available to employees to enhance their performance in order to

achieve the organization's objectives It even provides advice and assistance to all the

staff members. This may include information on training needs and opportunities, job

descriptions, performance reviews and personnel policies of the Bank. HRPDD

coordinates the staff recruitment process and also assist supervisors and staff selection

committee to ensure that they have accurate and timely information for making

effective decisions. Under Human resource planning and development department

there are certain organized systems.

1. Human Resource Management Information System( HRMIS)

2. HR inventory

3. HR training Inventory

1. Human Resource Management Information System( HRMIS)

Human Resource Management Information System maintains personal and

professional records of all the staffs and updates same on a daily basis. It contains the

details of the staffs. The Human Resource Information System (HRMIS) is a software

or online solution for the data entry, data tracking, and data information needs of the

Human Resources, payroll, management, and accounting functions within a business.

Normally packaged as a data base, hundreds of companies sell some form of HRMIS

and every HRMIS has different capabilities.

The HRMIS at Sunrise Bank effectively serves companies tracks.

attendance,

pay raises and history,

pay grades and positions held,

performance development plans,

training received,

disciplinary action received,

personal employee information, and occasionally,

33

management and key employee succession plans,

high potential employee identification, and

Applicant tracking, interviewing, and selection.

2. HR inventory

Human Resources Inventory is an inventory of skills of human resources currently

employed in the organization. It tells management what individual employees can

do. The profile of the human resource inventory can provide information for

identifying current or future threats to the organization's ability to perform

3. HR training Inventory

It contains information about the training needs of the employees. It tells

management what type is training is needed to the employees to enhance their

skills, knowledge and capabilities.

4.4.3 Functions of HR Planning and Development Department (HRPDD)

HRPDD of Sunrise Bank Limited focuses on overall management of the employees

work related issues. It also emphasizes on motivating employees to continuously

perform better in their respective duties.

4.4.3.1 Human Resource Planning

Human Resource Planning and Development Department is responsible for

forecasting human resource needs for the organization and planning the steps

necessary to meet those needs. It ensures that organization has right number and kinds

of people at right place, at the right time that are capable of effectively and efficiently

completing those tasks that will help the organization achieve its overall objectives.

Human Resource department head determines future staffing requirements. A memo

is forwarded to the management committee stating the human resource requirement

for the approval. It helps in the formulation of human resource plans.

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4.4.3.2 Recruitment and Selection

Recruitment is the set of activities an organization uses to attract job candidates who

have the abilities and attitudes needed to help the organization achieve it objectives. It

discovers potential candidates for actual or anticipated organizational vacancies.

Like in other banks, employee recruitment forms a major part of an organization's

overall resourcing strategies which seek to identify and secure the people needed for

the organization to survive and succeed in the short to medium-term. Recruitment is

either internal recruitment or external recruitment.

Recruitment and selection process of Sunrise Bank can be outlined as follows:

1. Candidates drop in their application letter along with their bio-data,

photocopies of academic certificates, citizenship and one passport sized

photograph at head office. They can even apply through email. The

applications are dropped in response to the vacancy announcement or without

any announcement.

2. HRPDD keeps record of those applications. While entering the applications,

they are given codes and are filed in the respective cabinets.

3. If any post falls vacant then HRPDD either looks for internal or external

source.

4. Filling vacant post through internal source is usually cost effective. Internal

source is mostly preferred for high level posts.

5. Once HRPDD decides to recruit staffs through external source, it goes through

all the applications dropped by interested candidates.

6. Screening is done. Candidates should meet following criteria in order to be

eligible for the interview

a. They should have minimum second division.

b. Bachelors Degree is required for trainee

c. Masters Degree is required for Officers

d. For the post of Management trainee, master's degree is preferred.

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7. Eligible candidates are short listed for interview. Two levels of interview is

conducted.

a. First level interview is conducted by five Panel of Judges (Top level

Management). Candidates are evaluated on several categories. They

need to score above forty percent to qualify for next level interview.

b. Second level interview is held by CEO with BOD. Those applicants

who pass first level interview are called for second level interview.

CEO judges them and gives his decision. BOD only observes the

candidates.

8. After appearing for interview, scores of candidates are calculated.

9. Those applicants scoring above forty percent are selected. They are given

appointment and deputation letter.

10. Finally they are placed in the respective department filling the vacant post.

4.4.3.3 Training and Development of employees

Training and development of employees is extremely important to improve current or

future employee performance by increasing their skills and knowledge through

learning. It is the learning process in the organization. It is an attempt to increase skill,

ability and motivation of the employees to work.

Human Resources Development can be defined simply as developing the most

important section of any business. Their human resources attain or upgrade their skills

and attitude and ultimately maximize the effectiveness of the enterprise

At Sunrise Bank Limited there is a separate sub-unit to look after training and

development of the employees. Both internal and external trainings are given to the

employees. For the purpose of internal training, resource person from Sunrise Bank

itself is used whereas for external training, external resource persons are used. Annual

training calendar is developed that maintains information about both internal and

external orientation, training, workshop and relevant programs for staff members and

get the same approved by the management for costing whenever required.

36

Training and Development of employees takes place in following ways.

1. Training needs of the employees are identified. When a staff is newly

appointed he/she is given orientation to familiarize with the working

environment. Employees are requested to fill training need assessment (TNA)

forms. In the form employees have to point problems faced by them in course

of performing their job and type of training they need to develop themselves.

Entry of TNA form is made to analyze training needs of employees.

2. After analyzing training needs by HRPDD, a memo is prepared to state the

training needs of employees. It is then forwarded to top level management i.e.

AGM- BP for approval.

3. Once AGM-BP approves the training needs, either internal or external

resource person is hired and employees are informed about the training.

4. Attendance of employees attending training is maintained. Feedback is taken

to know the effectiveness of training.

5. Performance of employees during training session is also evaluated by the

respective resource person.

6. Post training report is prepared and forwarded to top level management for

future HR planning.

4.4.3.4 Performance Appraisal

Employee's performance is an important dimension of HR management. Performance

appraisal is the HR activity that is used to determine the extent to which an employee

us performing the job effectively. It is the process of systematically providing

feedback on which performance adjustment is made.

Sunrise Bank Limited has given equal importance to performance appraisal. It is done

very six months. Performances of the staffs are evaluated and rating on the scale of 1

to 10. Scoring is done on the basis of several categories and average is calculated.

Performance evaluation is done following formal channel.

37

1. Firstly evaluation of the staffs is done by their immediate supervisor. Then it is

forwarded to HRPDD. All the calculations are checked.

2. Secondly it is further preceded to the Branch Manager (or respective

branches). Branch manager gives his comments towards the performance of

employee. He even gives recommendation for the promotion of the

employees.

3. Thirdly the appraisal form is headed to AGM- BS and AGM- BP. They

analyze the ratings done by immediate supervisor and comments given by

Branch Manager. After careful analysis they give their recommendations and

suggestions.

4. Fourthly it is sent to General Manager for his judgment.

5. Lastly the appraisal form is forwarded to CEO. He gives the final verdict.

4.4.3.5 Taking corrective steps.

Once the performance appraisal is done, decisions are taken regarding promotion of

staffs, giving permanent status to the employees, increasing grades of employees,

firing the employees and so on. Top level management takes these decisions.

If the performance of employee is outstanding then he/she is promoted to

higher level post.

When the staffs are newly appointed they are assigned temporarily. After the

performance appraisal they are given permanent status.

Grades of the employees are also increased on the basis of performance

evaluation.

If the employees' performance is not satisfactory then they are given

termination letter.

4.4.3.6 Monitoring Staff Discipline, attendance and leave

HRPDD also monitors staff discipline at workplace, daily attendance and leave. It

gives advice and recommendations on disciplinary actions. At Sunrise Bank Limited,

employee's attendance is done though card system. Their sign in and sing out time is

38

tracked by the system. A device is located at all branches which are used for the

attendance purpose. Attendance of staffs is very important.

HRPDD maintains attendance records of all branches. Software called Timetel is used

to extract attendance from the devices located at various branches.

Late record chart is prepared every month and forwarded to top level management.

Employee who record late attendance of more than three days is called for

explanation. They are even charged penalties if the reasons are not justifiable.

HRPDD also monitors the leave taken by the employees. It investigates and

understands causes for staff absences. Employees are entitled annual leave, casual

leave and sick leave, special leaves on the approval of the management. For the public

holiday purpose SrBL follows Nepal Rastra Bank's calendar.

4.4.3.5 Salary, Compensation and Reward

Reward and compensation is one of the major functions of Human Resource Planning

and Development Department. It is the one of the motivating factor for the

employees. It is very important to provide compensation and reward to the employees

for their better performance, loyalty and commitment.

At SrBL different types of money and other rewards are given to the employees on

the basis of their performance. When employees meet their deposit target they are

rewarded and there are several other performance based rewards.

Employees are paid monthly salary for the services offered at bank. The final

authority of determining and revising salary rests with the Board. Along with the

salary they are also given monthly allowances, insurance facility, provident fund,

Dashain expenses, loans and advances. Salary of every employee is kept confidential.

Individual pay level of an employee may be different due to its performance related

increment system.

4.4.3.6 Other Functions

39

Besides above mentioned functions HRPDD at Sunrise Bank performs other functions

as well. They can be listed as follows:

Provide basic counseling to staffs that have performance related issues and

motivate to perform better and achieve more.

Listening to employees grievances and implementing disciplinary procedures.

Ensure that proper dress code is maintained by staff at all times.

Take a lead role in developing manuals and guidelines related to HRM

Promote workplace safety by encouraging staff members to follow safety

measures

Develop guidelines on issues such as working conditions, performance

management, equal opportunities, disciplinary procedures, absence

management etc.

Promote equality and diversity as part of culture of bank

Prepare annual budget of HRM and perform regular review of the same.

40

CHAPTER V

CONCLUSION AND LESSON LEARNT

5.1 CONCLUSION

During internship in Sunrise Bank Limited and preparation of this report, I got the

opportunity to learn a lot about the banking sector and scrutinize its various aspects.

Prior to this experience my knowledge of banking was very little and limited to books

only. But through internship I got a practical acquaintance of the bank and the

corporate culture. At SrBL, I was cooperatively guided by all the banking personnel

who helped me in acquiring the in-depth banking knowledge.

Doing internship at SrBL not only helped in learning the automated systems, but also

the manual process of doing works in the bank. It helped gain tremendous knowledge

and experience mainly with Customer Service Department and Human Resource

Department as well as working principles of commercial banks. I not only sat and

observed in the different department but also performed variety of tasks by myself.

During my study, I found out customers are the greatest assets of any bank. SrBL is

constantly attempting to provide better or quality service to the customer. The

behavioral issues are also critical as they make customer feel satisfied. The unique

and tailor made products and services are the targeted to fulfill the diverse needs of

the customer. This helped the bank to achieve success by creating loyal customers and

retaining them.

I have learnt that socializing with the people, dealing with the coworker or a senior,

making the working environment cozier and friendlier are equally important in the

organization. Informal interaction and communication among the employees help to

41

ease the monotony of the job and create a pleasant working environment. My

supervisors not only guided me about the banking, but they also shared their personal

experience and facts that helped me get a better picture of the organization.

Lastly, I want to conclude that SrBL is excellent in term of their services despite with

some pros and cons with the issue related to customer satisfaction. SrBL, although a

newly established bank, has opportunity to increase their market share as it is

expanding its branches rapidly in various parts of the country. SrBL is established

with the promise to provide excellent services to their customer and improve their

customer satisfaction by specializing on the strength, overcoming its weakness and

doing their best to retain their valued customers.

5.2LESSON LEARNT

Internship of eight weeks at SrBL has contributed a lot in developing theoretical base

and practical skills through practical exposure to the industry. I got an opportunity to

know its corporate culture. It is the basic lesson for my career development. Beside

this, I have also learnt the working of the general banking transaction process by

being engaged as intern in Customer Service Department and Human Resource

Planning and Promotion Department. During this period I got an opportunity to be a

part of IPO which was a great success.

Working as the intern I could witness the working procedures of the Customer

Service Department, Human Resource Department and IPO. At Customer care I got

an opportunity to interact with customers. I came to know the role of Business Desk

to convert Walk in customers into valuable clients and deliver excellent service to

their satisfaction. I observed both manual and automated functioning of Business

Desk.

The Human Resources function provides significant support and advice to line

management. The attraction, preservation and development of high caliber people are

a source of competitive advantage for our business, and are the responsibility of HR.

42

Moreover, I could closely monitor recruitment and selection, training and

development and performance evaluation of the employees.

During my intern period I even felt the importance of the time management and the

need of the communication skills. Since the customers are the main drivers of any

financial institutions, they should be pleased by offering the quality services which

are basically depends on the quick service and the pleasing personality of the staffs

because most of the services provided by different commercial banks are same in

nature and customers have different choices to make in the market.

I even learnt many aspects of human resource i.e how a human resource department

looks after entire human resource in a financial industry, how selection and

recruitment process is carried out by human resource department, how they formulate

rules and regulation that are to be followed by each and every employee in the bank

and various types of trainings provided to the employees to enhance knowledge and

skills. Similarly I have also experienced how their performance is rated.

The ultimate success of any organization depends on its Human resource. Human

resource of an organization is not only a critical asset today but has become an

important source of competitive advantage. Employees need to have both the

motivation and the skill to be customer focused. It is important to determine both

current and future organizational requirements for both core employees and the

contingent workforce in terms of their skills/technical abilities, competencies,

flexibility etc.

During my internship period IPO was conducted. I even got an opportunity to know

why and how the IPO is conducted. An initial public stock offering (IPO) referred to

simply as an "offering" or "flotation," is when a company issues common stock or

shares to the public for the first time. They are often issued by smaller, younger

companies seeking capital to expand, but can also be done by large privately-owned

companies looking to become publicly traded. Nepal Merchant Banking was the issue

manager for Sunrise Bank Limited

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