Business Problem:
With the passage of time and keeping in view the present condition of the United Arab Emirates Banking system, Standard Chartered Bank, an international bank, is cutting its roots from the country. However, the authorities are still trying to improve the situation and looking for strategies to establish their branch in the country.
Brief description of the back selected:
Standard Chartered Bank is a British multinational financial bank. The headquarters of the company lies in London, England. More than 1200 outlets and branches of the bank are opened in the entire world. Asia, Africa, and the Middle East are the company’s main sources of profit. London Stock Exchange has standard chartered banks in their primary listing. Starting as a single bank by Queen Victoria, this bank worked hard and retained its position during these times. However, there were times when the company received criticism at a higher level but somehow retained its position. At the present time, the company is closing its branches in the United Arab Emirates, especially in Dubai, because of the country’s unbalanced banking conditions. Some people in the authorities are looking for gestures for being in the country so that they don’t have to close their branches.
Sources for primary and secondary data:
Primary and secondary data are of great importance in researching business problems. Primary data is raw data obtained directly from first-hand sources, whereas secondary data is collected by someone else through books and journals. In order to find the primary data, we have figured out two methods: the observation method and the interview method. The observation method is more like a scientific method, including structure, participants, and controlled conditions like a library. The interview method is about interviewing the workers in the organization. (Trenwith, 2018) The interviews can be structured and unstructured, giving focused interview details. The use of the questionnaire in collecting primary data is the most common and authentic means. However, in order to collect the secondary data, we will be consulting publications by the government and the research journals indicating the organization’s case study.
Advantages associated with the sources:
- As far as the sources or primary data is concerned, the interview method is good. It can give in-depth information and is flexible as well.
- The observation method is good when the people’s natural instincts (Babu Das Augustine, 2018) being interviewed are observed.
- No bias is observed in the questionnaire method.
- There are fewer advantages to collecting secondary data. However, exact statistics can be obtained from the secondary data.
Disadvantages associated with the sources:
- The interview method is an expensive method, which may cause the interviewer to be biased as well.
- The questionnaire is an unbiased method, but there is a low rate of return from it.
- The observation method is limited to the experience of the person.
Plan for the collection of primary and secondary data:
After analyzing the methods, the best possible method for primary data is using questionnaires and interviews on a small scale. Small-scale interviews will cost less and allow interaction with the organization’s people. However, as far as the questionnaire is concerned, these questionnaires will be distributed during the interviews to obtain authentic results.
Collection of required Data:
In the case of Standard Chartered, the primary data collection method, which is the questionnaire, will focus more on the banking issues the organization is facing. Besides, the interview questions will be asking about personal opinions. Secondary data will help in collecting the statistics, most precisely the profit gained by the organization in the past working years, so that a sound basis for the reason for staying in the organization can be determined.
Task 2
This task will be analyzing the situation given in scenario 1. A detailed analysis is presented below:
Survey design for scenario 1:
In establishing the survey design for the task, we will first focus on the survey’s main goal. The survey’s main goal will be to determine the customer satisfaction of the people utilizing the services provided by the organization. As seen from the stats mentioned, from the year 2015 to 2016, there was an increase in the organization’s market share. However, the increase was insufficient as per the revenue invested by the organization at the start. In this case, questionnaires will be distributed among all the customers available in the bank. Besides this, the leading customers will be interviewed personally to learn about the organization’s situation. Focused interviews will be conducted using a detailed questionnaire. At the end, the data will be analysed. This is how the survey is designed for the scenario 1.
Different methods to collect data:
Data included in the survey will be collected through interviews and questionnaires.
Sampling methods:
Simple random sampling
Sampling size:
A group of almost 50 individuals will be given the questionnaires to solve, including both males and females. However, there will be a top 25 individuals from the bank that will be interviewed personally. This procedure might take time since personal and focus interviews will be taken occasionally depending on the availability of the person involved in the sample size. The reason for choosing the sample size of both men and women is due to their differences in opinion. There are situations where women and men disagree. Certain services the bank gives will be suitable for men, while certain will be suitable for women. That is why a mixed sample size is selected.
Analysis of the data of the survey:
Data analysis will be done by creating groups of men and women without bias about gender. They will be asked random questions related to bank services. Their reactions will be collectively analyzed using percentages and recorded to analyze customer satisfaction.
Task 3:
Business Problem:
Scenario 1 as defined in the document.
Target respondents:
Top bank owners of the organization
Questionnaire for scenario 1:
| Questions | Options |
| 1. After looking at your long association with the bank, do you think the bank has been able to gain your trust so far? | a. Agree
b. Disagree c. Slightly agree d. None
|
| 2. Are the bank’s staff able to better implement their skills? | a. Agree
b. Disagree c. Slightly agree d. None
|
| 3. Are you satisfied with the organization’s structure?
|
a. Agree
b. Disagree c. Slightly agree d. None
|
| 4. The branch staff have the required skills and knowledge about the bank’s products and services: | a. Agree
b. Disagree c. Slightly agree d. None
|
| 5. The staff of the branch is courteous and helping: | a. Agree
b. Disagree c. Slightly agree d. None
|
| 6. The staff of the branch is professional
|
a. Agree
b. Disagree c. Slightly agree d. None |
| 7. The staff is willing to solve your problems and listen to them calmly
|
a. Agree
b. Disagree c. Slightly agree d. None |
| 8. ATM services are good | a. Agree
b. Disagree c. Slightly agree d. None |
| 9. Internet banking is up to date | a. Agree
b. Disagree c. Slightly agree d. None |
| 10. market repute is good | a. Agree
b. Disagree c. Slightly agree d. None |
| 11. All queries are answered | a. Agree
b. Disagree c. Slightly agree d. None |
| 12. Excellent mobile banking services | a. Agree
b. Disagree c. Slightly agree d. None |
| 13. Pleasant atmosphere of all the branches | a. Agree
b. Disagree c. Slightly agree d. None |
| 14. Up-to-date technology | a. Agree
b. Disagree c. Slightly agree d. None |
| 15. Technology problems are not encountered | a. Agree
b. Disagree c. Slightly agree d. None |
| 16. Sufficient information is provided | a. Agree
b. Disagree c. Slightly agree d. None |
| 17. Cards are not blocked | a. Agree
b. Disagree c. Slightly agree d. None |
| 18. Less waiting time | a. Agree
b. Disagree c. Slightly agree d. None |
| 19. Maintained security | a. Agree
b. Disagree c. Slightly agree d. None |
| 20. Good prompt service | a. Agree
b. Disagree c. Slightly agree d. None |
Task 4:
Here is the representation of loans provided by different banks in 4 different regions and 3 different modes of finance during a time frame of 6 months.
Analysis:
We will analyze each region:
First, we take a look at Muscat. In the past 6 months, a total of around 465 million (OMR) were loaned out, from which around 125 million belonged to the mode Modaraba, around 190 to Murabaha, and 140 to Mosharak. Murahaba took the lead in this region.
Next is Dhofar, Here Mosharak is taking the lead with a total of around 160 million followed by Murabaha at 90 Million and then at third place we have Dhofar at 50 Million. Total is at 300 million.
The third region we have is Sur, with a total of approximately 340 million, and all three modes of finance offered don’t have significant differences.
Lastly, in Nizwa, Mosharak takes the lead with 240 million alone, followed by Murabaha and Modaraba with 110 and 125 million each. The total is roughly 475 million.
Conclusion:
From the above analysis and graph, it can concluded that the Nizwa region takes the lead with a total of 475 million, followed by Muscat at 465 and then Sur and Dhofar at 340 and 160, respectively. Mosharak finance mode, at 540 million in total, is at the top.
The above graph represents the data of Banks’ expenditures on promotions of various newly introduced Islamic modes of finance and, in return, the total profit generated in the last 12 months.
Analysis:
A general look at the graph makes it clear that the banks have not experienced losses overall. For the first month, the total expenditure on the promotion was 13 million; in return, the profit was 38 million. For the entire year, total amount spent on promotions is 266 million and in return over the year a total of profits 680. The maximum profit earned was in the 8th month at 75 million and the least was in the 4th month at 40 million. The minimum amount spent was in the first month of the year at 13 million, and the maximum was in the 8th month at 32 million.
Conclusion:
From the analysis above, we can conclude that the banks have gained two times the amount they have spent on promotions as their profit from the various Islamic modes of finance.
Task 6:
A business presentation based on scenarios 2 and 3 has been attached.
Task 7: Formal Business report
The objective of the research:
The main objective of this research was to analyze customer satisfaction so far. The bank showed a market share within the past year. However, the bank’s market share was not in accordance with the owners’ expectations. For this, the managers tried new techniques such as promotions. They believed that the promotions would be healthy for their bank. Thus, the research of both scenarios has revealed that customers are satisfied with the current workings of the bank and the staff overall.
The methodology used in the research:
The major methodology used in the research was the distribution of questionnaires among the bank’s users. Every organization needs to know about consumers’ behavior. This mindset was applied in the research of scenarios 2 and 3. Considering the scenarios and the results of the questionnaires, recommendations were given to the organization for improving its market strategy.
Main findings from the research:
After a detailed analysis of scenarios 2 and 3, it was found that the organization’s overall functioning is in accordance with its market strategy, that is, the expectations of the marketing people have been achieved. However, there are still some loopholes in the marketing to gain market share by the organization.
Conclusion:
To conclude, data analysis and findings from scenarios 2 and 3 depict that the bank’s working under loans and promotions will be better if the organization focuses more on the marketing strategy.
References:
Babu Das Augustine, B. (2018). UAE banks likely to face challenges in asset growth and profitability. [online] GulfNews. Available at: http://gulfnews.com/business/sectors/banking/uae-banks-likely-to-face-challenges-in-asset-growth-and-profitability-1.1980757 [Accessed 8 Feb. 2018].
Capp.co. (2018). Case Study // Standard Chartered Bank- Great Manager Programme Design ase Study // Standard Chartered Bank- Great Manager Programme Design. [online] Available at: http://www.capp.co/Portals/3/Files/Capp_Case_Study_Standard_Chartered_Bank_Great_Manager_Programme_Design.pdf [Accessed 8 Feb. 2018].
Trenwith, C. (2018). Why are some of the world’s biggest banks leaving the UAE?. [online] ArabianBusiness.com. Available at: http://www.arabianbusiness.com/why-are-some-of-world-s-biggest-banks-leaving-uae–582005.html [Accessed 8 Feb. 2018].
: Cloudfront.escholarship.org. (2018). Survey Research Methodology in Management Information Systems: An Assessment. [online] Available at: https://cloudfront.escholarship.org/dist/prd/content/qt6cs4s5f0/qt6cs4s5f0.pdf [Accessed 8 Feb. 2018].
