A REPORT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE

SUBJECT INTERNSHIP AND BACHELOR OF ARTS DEGREE IN ACCOUNTING AND FINANCE.

ADDIS ABABA UNIVESTY

COLLEGE OF BUSINESS AND ECONOMICS
DEPARTMENT OF ACCOUNTING AND FINANCE

PRACTICAL ATTACHMENT ON COMMERCIAL BANK OF ETHIOPIA AKAKI KELA

BRANCH.
NAME ID NO
TIMATHEWOS DAWITU UGR/6344/13

Advisor: Dr TEKALEGN
Submission Date: November 10

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Table content page

Contents
LIST OF ACRONYMS...................................................................................................................................i

ACKNOWLEDGMENT …………………………………………………………………..............................II

ABSTRACT......................................................................................................................................................III

CHAPTER ONE.................................................................................................................................................1

INTRODUCTION..............................................................................................................................................1

1.1 Historical background of the organization..................................................................................................1

1.2 Main Functions or Core Activities of Host Organization..............................................................................2

1.3 Vision, mission and core values of the organization.....................................................................................2

1.3.1 Vision of organization................................................................................................................................2

1.3.2 Mission of the organization........................................................................................................................2

1.3.3 Core values of organization........................................................................................................................2

1.4 Organizational Structure ............................................................................................................................4

CHAPTER TWO................................................................................................................................................6

HOST ATTACHMENT DEPARTMENT/SECTION IN THE ORGANIZATION.............................................6

2.1 The key function of the department/Activities of department.......................................................................6

2.2 Staff establishment of the department and r/ship of employees....................................................................6

2.2.1 Major duties and responsibilities of the department...................................................................................6

2.3 Detailed description that I handling in the department.................................................................................7

CHAPTER THREE.............................................................................................................................................8

EVALUATION OF THE ATTACHEMENT PERIOD........................................................................................8

3.1 Benefit of practical attachment.....................................................................................................................8

3.2 Strength, weakness, opportunity, and threat (SWOT) analysis of organization............................................8

3.2.1 Strength of the organization.......................................................................................................................8

3.2.2 Weakness of the organization.....................................................................................................................8

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3.3 Threats and opportunities of organization.....................................................................................................9

3.3.1 Opportunity of the organization.................................................................................................................9

3.3.2 Threat of the organization..........................................................................................................................9

CHAPTER FOUR

EVALUATION CONCLUSION AND RECOMMENDATIONS

4.1Possible problem of the organization.............................................................................................................9

4.2 suggested solution.......................................................................................................................................10

4.3 Conclusion..................................................................................................................................................10

4.4 Recommendation.........................................................................................................................................11

4.4.1 For the university.....................................................................................................................................11

4.4.2 For the department...................................................................................................................................11

4.4.3 for the company.......................................................................................................................................12

Reference..........................................................................................................................................................13

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LIST OF ACRONYMS
CBE-Commercial Bank of Ethiopia
HRM-Human Resources Management
FP-Financial Performance
BBO-branch business operation
BOO-branch operation officers.
CSM- Customer services manager
ATM-Automatic Tailor machine

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 Acknowledgement
At the beginning, thanks for God make us to stay in life to this day and enables us to complete
our practical attachment, and next we would like to thanks to manager.
, assistant manager good supporters to us and other employees for their critical comments and
make our practical attachment to have the present shape. Then we would like to thank Addis
Ababa University specifically college of business and economics for giving us this practical
attachment, which supported us to gate experience from the organization, and all member of the
organization who involved in our practical attachment by giving us some information about the
organization and supported by giving some materials which are essential for us to perform our
work.
Finally, we want to express our thanks and appreciation for all individuals who supported and
encouraged us in one way or another to finalize this study.

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ABSTRACT
This practical attachment was conducted to assess professional practice in CBE
Akaki Kela branch. The attachment helps an organization accomplish its
objectives by bringing a systematic discipline to evaluate and improve the
efficiencies of risk management control and governance president attachment
fried to assess the factors, strength, and weakness with regard to professional
practice in CBE Akaki Kela branch. Based on the conclusion and the finding the
professional practice of CBE in Akaki Kela branch relatively better and follow the
theoretical aspects of professional practice.

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CHAPTER ONE

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 INTRODUCTION

Today’s world is growing in an increasingly rapidly changing environment. Business markets have become
much more competitive. To compete in such an overcrowded and interactive marketplace, banks must look
beyond the traditional marketing mix of marketing strategy, which is no longer enough to be implemented for
achieving competitive advantage. According to Zeithaml and Bitner (1996), Service quality is an overall
judgment like attitude towards the service and generally accepted as a predecessor of general customer
satisfaction. The ability of the organization to meet customer expectations is called service quality. Service
business operators often check and measure the service quality offered to their customers to; develop their
service, and to promptly recognize problems for a better assessment of client satisfaction. Service quality
today is an important concept in service research. It is practically impossible for a business organization to
survive without building customer satisfaction and trustworthiness. Research has shown repeatedly that,
service quality influences organizational outcome such as performance superiority, increasing sales profit,
and market share, improves customer relations, enhance corporate image, and promote customer loyalty
(Newman et al., 2001).

In recent times, the search for quality is maybe the most important consumer trend as requires higher quality
in services than ever before. Particularly in service rendering institute, providing high-quality service is
fundamental for their sustained continuation (Harris, 1996). Service quality is very significant, and it is an
essential consideration for an organization to do better than their competitions. Quality is the deviation from
standard; such delineation can yield a high proportion of consumer’s financial success or failure (Kottler,
2012). Customer satisfaction is influenced by customers’ perceptions and expectations of quality (Zeithaml
and Bitner, 2000). It is essential in the sector of banking because service character is known by a severe
contact with customers of various needs and demand for personalized solutions and significant issues towards
success in today’s competitive business environment (Climes, 2008). The Satisfied customer can turn into
good customer relationship that creates customer delight, in turn; the delighted customer remains loyal
(Kotler, 2012).

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Ethiopian Banks are encounter lots of challenges that emanate from high competition among different
existing banks. As a result, various strategies are planned to keep customers to enhance the service quality
stage and measured as the main success factor. At the present time service quality has received much
awareness because satisfied customers are a key to the long-term relationship of business success (Zeithaml et
al.,1996).

At present, most Ethiopia banks are affected by the network failure; high waiting time and system
disturbance which caused belated service delivery time. Even if the CBE adopts rapid improvement by
Implementation of BPR. Still, there are customer complaint of network failure, power interruptions, and low
accessibility of ATM machines in the branches of CBE (Ayenew, 2014).

1.1 Historical background of the organization

The service of banking was started many years ago in Ethiopia. It dates to the establishment of
the bank of Abyssinia in1906.
After the Ethiopia victory over fascist Italy the state bank of Ethiopia established by
proclamation issued in august 1942.In April 1943, the state bank of Ethiopia commenced full
operation and acted as the central bank of Ethiopia and had a power to issue bank notes and coins
as the agent of the minister of finance until it's splitting in 1963 commercial bank of Ethiopia and
National bank of Ethiopia. Commercial bank of Ethiopia was legally reestablished in 1963. It is
the leading bank in Ethiopia to introduce modern banking system. Commercial bank of Ethiopia
is completely owned by a government.
Today CBE has more than 1,900 branches in different parts of the country and has opened some
branches in neighboring countries. Currently CBE has more than 37.9 million account holders
and the number of mobile banking and internet-banking subscribers reached more than 1.1
million.

CBE is a bank that introduce modern banking to the country and the first bank to introduce
Automatic Teller Machine (ATM) services for local users. CBE is also introduced Western
Union Money Transfer services early 1990’s and currently working with other money transfer
agents like Xpress Money, Money Gram, Dahabshiil, etc. Currently CBE has merged with
construction and Business bank and increased its market size and capital.

Akaki Kela Branch is one of the oldest branches of commercial bank of Ethiopia. It was in Addis

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Ababa. Commercial bank of Ethiopia Akaki Kela Branch started working within few employees
but, currently there are 53 permanent employees and 23 additional as February 24, 2022, and it
has around 57675 customers.
In general, by adopting or accepting different modern working technical commercial bank of
Ethiopia in Akaki Kela branch tries to achieve it is vision, mission and to bring desired economic
development in the country.

1.2 Main Functions or Core Activities of Host Organization

There are two types of function of organizations.

a. Primary function
Three types of primary function
 Acceptance of Deposit
 Lending
 Investment

b. Secondary Function
Two types of secondary function
 Agency service like collection and payment of checks, standing instructions , collecting
electricity, gas, and telephone bills.
 Miscellaneous or General Service; safe custody, remittances, advisory roles, opening
LCS and other services like Debit Card, Credit Card and etc.

1.3 Vision, mission, and core values of the organization

1.3.1 Vision of organization

To become a world class commercial bank by the year 2025.

1.3.2 Mission of the organization

We are committed to best realize stakeholders’ needs without compromising the wellbeing of our environment
and society through Enhanced financial intermediation globally, supporting national development priorities,
deploying highly motivated, skilled and disciplined employees as well as state-of-the-art technology. We
strongly believe that winning the public confidence and developing sustainable business model are the basis of
our success.

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1.3.3 Core values of organization
Integrity, Commitment to act in an honest and trustworthy manner. Commitment to firmly adhere
to ethical principles and standards.

Service excellence
Promote efficient and effective services and maximum values for money. Commitment to be the
preferred brand in service quality.

Professionals
They take ownership and personal responsibility for all what they do.
They are responsive to the needs and interests of their customers.
They maintain confidentiality and privacy of all customers.

Empowerment
They promote the delegation of duties and responsibilities.

Learning Organization
They establish a culture that nurtures individual and group learning.
They retain and disseminate tacit knowledge across the bank.

Teamwork
They respect one another and cooperate in their work.
They recognize the importance of teamwork for their success.

Respect for Diversity

They value the diversity of ideas and viewpoints of their employees.
They are faster in an environment of inclusiveness.
They committed to listen to one another and respond properly.
Corporate citizenship
They abide by the laws of Ethiopia and others in which they do business.

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1.4 Organizational Structure
Organizational structure is the most important part for office to achieve its objectives and
mission

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Branch Manager. An employee who oversees the operation of the bank.
He is responsible for managing resources and staff.

Customer Service Manager. Their role is to provide superb customer

service by leading and motivating the customer team and creating
service satisfaction goals.

Customer Service Officer. He has responsibilities such as responding

to customer service inquiries, finding appropriate solution, and updating
customer account or service. He resolves complaint.

Chief Cashier. An employee who oversees the cashier staff and overall
function of retail store.

Accountant. Is responsible for keeping and interpreting financial

records.

Resource manager. Helps project manager plan the use of resources,

allocate team members to tasks, find external contractors to work with
team and monitor team performance.

Foreign Transfer. He / She has a role to transfer money from a foreign

worker to other individual in-home countries.

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 CHAPTER TWO

HOST ATTACHMENT DEPARTMENT/SECTION IN THE

ORGANIZATION

2.1 The key function of the department/Activities of department

 To ensure standardization and uniformity in the customer service process.
 To smoothly implement integrated banking solutions in retail banking operation of
customer Services process.
 To have a single source of reference to perform
 To determine duties and responsibilities of each employee at all levels in the customer
service process.
 To provide efficient and quality service to its customers.

2.2 Staff establishment of the department and r/ship of employees

The staff has 14 members of employees, it has also a good relationship between employ and
their staff was not discriminate between employee without gender, nation, religion etc.
Staff have a given work punctuality and honesty by obeying the rules. But the staff also has
some problems, for example lack employee, less female employee, scarcity of space and some
form of material and technology.

2.2.1 Major duties and responsibilities of the department

Account opening: -there are many types of accounts those are: -
Saving account- is interest-bearing deposit opened by legal and physical persons, organization,
and association.
Demand deposit account- shall mean an interest-bearing account opened only by customers
who are literate.
Special demand account- means a non-interest-bearing account that is opened to fully fill the
request of customer who for one not wants interest for their deposit.
Fixed time deposits- a type of account that its deposit is received at certain period of time,
without movement for a minimum of three month, and attracts many people with a higher

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interest rate than others.

Duties related to cash.

 Cash withdrawal
 Cash deposit
Telegram- used to send outgoing messages and receive incoming message from another branch.
Handling foreign exchange- exchange of other foreign currency into birr.
Checker activities- means checking daily tickets, which are filled and written manually, by
comparing the information and balance existing in the computer system. At all done by internal
auditor.

2.3 Detailed description of what we are handling in the department.

During our apparatus in CBE Akaki Kela branch, we also have responsibilities of performing
the activities of the department. Based on those general activities, we performed the following
specific activities as an apparatus, when we were participating at commercial bank of Ethiopia
Akaki Kela branch.
 In the first day, we performed our task not well, because it is general introduction day and
after a day, we performed our task because we adopted each activity with the working
environment of organization.
 we built a good relation within the member of the staff and other workers.
 We performed most of our activities with personal banker because the staff did not give
us such responsible fully.
 We opened account for more than 17 customers by supporting employees.
 We opened CBE birr for more than 15 customers.
 We participated in different writing and typing activities that help for customer.
 We gave different service for department and customers.
 Protecting the office resources from damage.

➢ we fill different forms by helping customers.

➢ we have seen the work of auditor , cashier , security controller, customers recipient .

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 CHAPTER THREE

EVALUATION OF THE ATTACHEMENT PERIOD

3.1 Benefit of practical attachment

Since the main objective of this practical attachment course is producing qualified, confident,
and competent students, it has the following major significances.
 understanding how transactions are made.

❖ understanding the difference between domestic and foreign transactions.

 Understanding the difference between debit tickets and credit tickets.
 we could have seen how the foreign transaction was done.

❖ Having good communication with others at workplace.

 To ask for necessary data, we could communicate with our manager from time to time etc.

3.2 Strength, weakness, opportunity, and threat (SWOT) analysis of organization

3.2.1 Strength of the organization

 Strong corporations between management and employees.
 Good efficiency and ethical conduct of staff.
 The organization has good relationship with other local banks and 5 foreign banks.
 It gives training for its employees to improve profession.

3.2.2 Weakness of the organization

 Some workers of the bank do not give service to the customer properly.
 Many times, there is a big connection problem that make customer angry.
 Lack of adequate employees.
 There is a lack of available information related to technology.
 There is some inefficient material like chair, computers, printer etc.

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3.3 Threats and opportunities of organization

3.3.1 Opportunity of the organization

o The development of infrastructure and investment in the country play a great role for the
bank.
o Steady and fast growth of population is good opportunity for the increase of bank
customer.
o Availability of qualified workforce in the market.
o Development of information technology.
o Saving habits developed over large society.

3.3.2 Threat of the organization

If the organization follows the current organizational structure for the future, it may face the
following challenges.
 Competitors’ share of the market (entrance of new private banks into the market).
 Poor credit culture and know-how about banking and its service within society.
 Volatility of the currency
 Some new and revised regulation of the National bank of Ethiopia or government.
 Economic condition of the country.
 Lack of experienced or skilled human power in some specific activities.

CHAPTER FOUR

EVALUATION CONCLUSION AND RECOMENDATION

4.1 Possible problem of the organization

There are some problems which affect the organization.
❖ Insufficiency of needed work material and using material like seats, pen, paper and
computer service.
❖ The network is the main current problem of the organization that related to
telecommunication facilities in the country.
❖ Power interruption have a major influence on customers satisfaction.
❖ They have not their building. No improving technological advancement to compare

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 competitors.
❖ Some employees have not enough knowledge about their position.

4.2 Suggested solution

❖ Bringing enough amount of working material like seats, paper, pen and like.
❖ Bringing modern technology and improving traditional activities by replacing
the new technology through introduce the technology for employees.
❖ Putting employees to the position, they can work efficiency or matching their profession
and work given to them.
❖ Building their work office to minimize the cost of office rent.
❖ They must be connected or meet with network center /telecommunication to
have fast network connection to develop their customers satisfaction.
❖ To customer, they must tell them to fill criteria properly.

4.3 Conclusion
This practical attachment contains information including introduction, background of the
organization, organization’s structure and its present performance, the main function or core
activities of the host organization, mission, vision, and values. It also presents the activities of the
department, staff establishment, duties and responsibilities and detailed descriptions are
discussed.
As we discussed, the organization has its own problems that hinder it from its mission vision.
Goals of branch has many problems such as: - lack of skill Labor force, lack of modern
equipment like printer, computer, etc.
On the other hand, there are also favorable conditions in the organization that helps to achieve its
objectives effectively and efficiently. This is an opportunity. It also describes the activity report
that conducted and the department which we participated and major activities and performance
evaluation of our activity we also forwarded problems encountered on the job and solution which
we have taken to solve these problems.
The explanation for attachment evaluation part is given in brief way which includes benefits of
practical attachment, description of SWOT, possible problems, challenges encountered, how
challenges solved and so on. We observed some issues like the professional status of the staff

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members, punctuality of the staff members and gender in the organization.
Generally, we have got some experience, due to this practical attachment such as how to work in
cooperation with others, etc. The main problem we found is that society has low information
about banking system, negative attitude of society toward the term bank and department. Lack of
information and lack of enough time are other problems; however, we have tried to do our best in
order to overcome or give related solutions to those challenges.

4.4 Recommendation
While doing our practical attachment, we observe some issue in lens of our eyes. Therefore, we
would like to suggest on some issues that we observed during accomplish our practical
attachment in Robe district at commercial bank of Ethiopia Akaki Kela branch. Firstly, we would
like to suggest the effort of the office toward promoting development of bank system study area.
The banking system is the process of treating every banking activity and also, it’s a way of
creating relationships with customers. It is a development issues that recognize the involvement
(participation) of both man and women in development process.
However, the office is lagged to promote growth which is the backbone of development. This is
due to a lack of enough information in the organization, which play a great role to meet its
objective. The organization needs to change this situation by looking for bank expert that play a
great role to promote banking system.
Finally, we would like to suggest to Commercial Bank of Ethiopia Akaki Kela branch have to
work properly to achieve their goals and to address other problems by working in cooperation
with other organization, especially non-governmental organization.

4.4.1 For the university

 To know how the students know their education and to match the theoretical learning
with the real working environment.
 To know the reaction of the students with working environment.
 To promote the university as a model university.

4.4.2. For the department

 To know his performance in the real working environment and in an education.

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  To create job opportunities in the near feature in the feature in the organization.
 To promote himself in the organization.
 After graduation, it helps to reduce the difficulties on work.
 To match the theoretical aspects of learning with the real working environment

4.4.3. for the company

 Sharing knowledge, new ideas and information from the student.
 In the future, to employee skilled manpower.
 To help with the work during the practices.
 To identify the problems and give suggested solutions in the organization.

Reference
The annual report of the company by the April 9 of 2019

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The website of the organization; www.combank.et, http//www.CBE service /PROD/Browser
Service/.
The interview; information from the employers of the organization.
The daily and weekly activities.
Customers

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