BANK OFABYSSINIA YIRGALEM BRANCH

By Andualem Matebie Id 0086/13

A report submitted in partial fulfillment for the subject of Practical Attachment AcFn 4113
Bachelor of Arts Degree in Acounting and finance

HAWASSA UNIVERSITY
COLLEGE OF BUSINESS AND ECONOMICS

HAWASSA, ETHIOPIA

May 2016
Acknowledgment

First of all my deepest thanks goes to the Almighty God for his endless help and make me to stay
in life to this day and enables me to complete my internship program. Secondly I would like to
express our deepest gratitude for Mr. Tsegaye ( branch manager) for his enthusiastic support for
my internship and for his great advice from the preparation until the final discussion of this
internship with frequent follow up my activities and guide me. Finally I would like to
acknowledge all individual that have helped me materially and morally during the preparation of
this paper.

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EXCUTIVE SUMMARY.
The purpose of this internship is to assess mainly the organizations management hierarchies and
technological adoption aspect of bank of Abyssinia. But it does not mean not to assess others
organizational aspects of Abyssinia bank. We have also point out some objectives of internship
or practical attachment. I also try to describe scope of exploration, on specific coverage of my
internship program conceptually on the title the management and technological aspect,
geographically, my scope is limited to bank of Abyssinia Yirgalem branch, Methodologically,
also I use primary sources like interview and observation and secondary sources document
analysis. In part three I have discussed about the core issues like basically management
hierarchies of the organization. In my internship case area, there is only single management
control, and horizontal departmental structure. The bank is standing to satisfy its customers by
providing services like credit service money transfer service and virtual banking service and also
it sells products like saving account, fixed time account and mobile banking. Finally, we have
tried to describe the organizations strength, weakness, opportunities and threats. By analyzing
those aspects, I would like to express my conclusion like it enable me to acquire practical
knowledge and I try to suggest the organization to adopt and implement banking technologies in
their service delivery to be effective competent among banking industries.

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 Table of Contents
EXCUTIVE SUMMARY..............................................................................................................................ii
CHAPTER ONE: INTRODUCTION............................................................................................................1
1.1. BACKGROUND OF THE ORGANIZATION (BANK OF ABYSSINIA)......................................1
1.2 Mission, vision and values bank of Abyssinia.....................................................................................3
1.2.1 Vision............................................................................................................................................3
1.2.2 Mission..........................................................................................................................................3
1.2.3 Value.............................................................................................................................................3
1.4 The Operation Philosophy of Abyssinia Bank....................................................................................4
1.5 The organizational structure of the Abyssinia bank;...........................................................................4
1.5.1 The function and responsibilities of branch manager...................................................................4
1.5.2 The function and responsibility of operation manager.................................................................5
1.5.3 The function and responsibility of chief casher............................................................................5
1.5.4 The function and responsibility of business manager...................................................................5
1.5.5 The major responsibilities of customer service officer.................................................................5
1.6 Product and service in bank of Abyssinia............................................................................................6
1.6.1 Deposit related products and services...........................................................................................6
1.6.2 Digital related and special products and services.........................................................................9
1.6.3 Loan and FCY related products and services...............................................................................9
CHAPTER TWO: MANAGEMENT AND TRAINING INFORMATION...............................................11
2.1 Basic Training Information................................................................................................................11
2.2 Activities performed..........................................................................................................................11
2.3 THE OBJECTIVE OF INTERSHEP PROGRAM............................................................................12
2.3.1. The General Objective of Internship Program...........................................................................12
2.3.2. The Specific Objective of Internship Pogrom...........................................................................12
2.4 Scope of Internship............................................................................................................................12

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 2.5 METHODS OF THE INTERNSHIP PROGRAM............................................................................13
2.5.1 Observation Method of data Collection......................................................................................13
2.5.2 Interview.....................................................................................................................................13
2.5.3, Document analysis.....................................................................................................................14
CHAPTER THREE: JOB BACKGROUND AND INFORMATION........................................................16
3.1 Information about BOA.....................................................................................................................16
3.1.1 Asset............................................................................................................................................16
3.1.2 Customers...................................................................................................................................16
3.1.3 ICT..............................................................................................................................................16
3.1.4 Shareholders................................................................................................................................16
3.2 The Technology Adoption of Abyssinia bank Yirgalem branch.......................................................16
CHAPTER FOUR: SWOT (Strength, Weakness, Opportunity and Threat) analysis of ABYSSINIA bank
......................................................................................................................................................................19
Yirgalem branch...........................................................................................................................................19
4.1 Strength of the Abyssinia bank Yirgalem branch..............................................................................19
4.2 Weakness of the Abyssinia bank.......................................................................................................19
Opportunities of the Abyssinia bank.......................................................................................................19
4.4 Threats of the Abyssinia bank...........................................................................................................20
CHAPTER FIVE: Evaluation, Conclusion and Recommendation..............................................................21
5.1 problems Encountered during practical attachment..........................................................................21
5.2 Rationales of practical attachment.....................................................................................................21
5.3 CONCLUSION..................................................................................................................................22
5.4 RECOMMENDATION.....................................................................................................................22
5.4.1 To the host organization..............................................................................................................22
5.4.2 To the University and my Department........................................................................................23
REFERENCE...............................................................................................................................................24

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 CHAPTER ONE: INTRODUCTION

1.1. BACKGROUND OF THE ORGANIZATION (BANK OF

ABYSSINIA)
Bank of Abyssinia, one of the private banks in our country was established on February 15, 1996
according to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with
an authorized and paid-up capital of Birr 50 million, and Birr 17.8 million
respectively with only 131 shareholders and 32 staffs. In about 20 years, since its
establishment, the bank has registered a significant growth in paid-up capital and total assets. It
also attracted many professional staff, valuable shareholders and larger number of customers.
Bank of Abyssinia, one of the private banks in our country was established on February 15, 1996
according to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with
an authorized and paid-up capital of Birr 50 million, and Birr 17.8 million
respectively with only 131 shareholders and 32 staffs. In about 20 years, since its
establishment, the bank has registered a significant growth in paid-up capital and total assets. It
also attracted many professional staff, valuable shareholders and larger number of customers.
Bank of Abyssinia, one of the private banks in our country was established on February 15, 1996
according to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with
an authorized and paid-up capital of Birr 50 million, and Birr 17.8 million
respectively with only 131 shareholders and 32 staffs. In about 20 years, since its
establishment, the bank has registered a significant growth in paid-up capital and total assets. It
also attracted many professional staff, valuable shareholders and larger number of customers.
Bank of Abyssinia, one of the private banks in our country was established on February 15, 1996
according to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with

1
an authorized and paid-up capital of Birr 50 million, and Birr 17.8 million
respectively with only 131 shareholders and 32 staffs. In about 20 years, since its
establishment, the bank has registered a significant growth in paid-up capital and total assets. It
also attracted many professional staff, valuable shareholders and larger number of customers.
Bank of Abyssinia, one of the private banks in our country was established on February 15, 1996
according to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with
an authorized and paid-up capital of Birr 50 million, and Birr 17.8 million
respectively with only 131 shareholders and 32 staffs. In about 20 years, since its
establishment, the bank has registered a significant growth in paid-up capital and total assets. It
also attracted many professional staff, valuable shareholders and larger number of customers.
The most critical challenge facing most organizations today is coping up with today’s game of
business, dynamism. For a past few decades, organizations have been facing severe competition
in their external environment in which they operate (Alkhafaji, 2003 & Ayub, Razzaq, Aslam &
Iftekhar, 20
The bank of Abyssinia was the first bank of Ethiopia. In an era where commercial banking
services were in an inchoate stage and striding towards transforming different sectors of the
economy, Bank of Abyssinia’s founders believed in the need for a bank that gives
comprehensive commercial banking services. Thus, the Bank of Abyssinia (BoA) was open for
business in 1996. The name Abyssinia resembles bravery and characters which are the core
attributes of BoA. Its identity is demarcated with a sense of hope, optimism, and belief as it is
perfectly displayed in its logo, the Adey Abeba. Adey Abeba brings the promise of a new
beginning. BoA brings that very sense to all the customers it engages with. Working with and
through BoA brings sustained success with the help of a bank that is a symbol of determination
and hard work.
The bank was named the Bank of Abyssinia, but it was renamed The Commercial bank of
Ethiopia and turned into a state bank in 1943 when Ethiopia wanted more control over its
financial system in 1996, 90 years after the first Bank of Abyssinia was established, the current
Bank of Abyssinia was created with only 131 shareholders, 42 staff, and a start-up capital of
$972,726 thousand. Today, BoA has 2400+ shareholders, 11575 employees, and assets worth
more than ETB 188.55 Billion. Mr. Makonnen Manyazewal is the current BoA Board Chairman.

2
Ownership

Bank of Abyssinia is a share business company of private individuals who amass experience and
success in different area Including business entertainment and education .such diverse ownership
not only reflects the company’s determination and willingness to succeed in the sector it operates
in, but also signify its ability to work together towards building a successful business venture and
commercial bank service.

Currently, Abyssinia bank have 875 branches, among these branches Yirgalem branch is one of
Abyssinia bank, branch found in Sidama region under HAWASSA districts. Abyssinia Bank
Yirgalem branch was established on 2022. As the time of its establishment it has twelve (12)
total staff. Abyssinia Bank Yirgalem branch is located in Sidama region in Yirgalem town. It is
found 315km far from Adiss Ababa . The organization has 20 employees and also having
different staff professional and work experience. Out of them 3 is females and the others 17 are
male. Among those employees 6 has bachelor degree and the rest are security guards and
messengers.
ccording to the Ethiopian commercial code of 1960 and the licensing and
supervision of banking business proclamation no. 84/1994. The bank started its operation with
an authorized and paid-up capital of ccording to the Ethiopian commercial code of
1960 and the licensing and supervision of banking business proclamation no. 84/1994.
The bank started its operation with an authorized and paid-up capital of

1.2 Mission, vision and values bank of Abyssinia

1.2.1 Vision
The vision of the bank is to become the leading commercial bank in East Africa by 2030.

1.2.2 Mission
The mission BOA is Provide excellent financial services through competent, motivated
employees and digital technology in order to maximize values to all stockholders.

1.2.3 Value
Customer Satisfaction

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 Integrity

Team works and

Collaboration

Caring for our

community

1.4 The Operation

Philosophy of Abyssinia Bank

Abyssinia Bank satisfy its customers by providing both products and service. Yirgalem branch of
Abyssinia bank deliver for customers by giving products and service in different way. From
these delivery of service for customers includes; Credit services, Virtual banking service, Money
transfer service, Interest free banking service and international banking service.

1.5 The organizational structure of the Abyssinia bank;

Figure 1,2: organizational structure of the Abyssinia bank

The branch manager says, that there are four major departments in BOA. These are Business
manager, operation manager, chief casher and customer service office The organizational
structure of BOA seems like below

1.5.1 The function and responsibilities of branch manager

The sole responsibility of a Branch Manager to operate his/her Branch in accordance with the
bank’s objectives including carrying out of all of the functions of a branch office and location,

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such as overseeing the approval of loans and lines of credit, marketing, building a rapport with
the community to attract business and assisting with customer relations.

1.5.2 The function and responsibility of operation manager

Branch Operations Manager Responsibilities and Duties are:-

 Train all service managers for everyday maintenance operations for various assign
branches
 Monitor all development activities and ensure optimal candidates for various branch
operations
 Develop and maintain professional relationships with all customers
Monitor all returned equipment’s from site and coordinate with asset allocation
team to gather all equipment.
 Collaborate with sales team to prepare schedule of all operations and track progress
and assist all operations leader to resolve all issues and achieve all business
objectives.
 Prepare and maintain all reports for branch such as appraisals.

1.5.3 The function and responsibility of chief casher

Bank Cashier, or Bank Teller provides face-to-face services in banks and handles customers'
concerns and complaints. Their duties include greeting customers, opening and closing accounts
and handling deposits and withdrawals.

1.5.4 The function and responsibility of business manager

Business banking managers manage all business bankers, making sure that they are developing
good relationships with their business customers, and coaching those who need it. They may help
resolve some customer disputes. Business banking managers also ensure that the department is
staffed appropriately.

1.5.5 The major responsibilities of customer service officer

Customer Service Officer responsibilities include responding to customer service inquiries,
finding appropriate solutions, and updating customer accounts or services. Customer Service
Officers resolve complaints, maintain high customer satisfaction, and report to the Customer
Service Manager.

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 1.6 Product and service in bank of Abyssinia

1.6.1 Deposit related products and services

1.6.1 Saving accounts

A. Adey (women’s) saving account

 Adey saving account holders can get a discount on safe deposit box rent
 ATM debit card shall be issued freely which would be linked to their Adey Saving
Account
 Discounted purchases at different goods and services providers that BoA has made an
agreement .

B. Afla (youth) saving account

Explore Product Benefits and Features :

 The relatively higher and attractive deposit interest rate on top of the minimum
saving deposit rate.
 The total cost of the debit card shall be covered by the Bank for students with
student ID

 Half the cost of a debit card shall be covered by the Bank for those without a student
ID cards.

 Minimal loan interest rate.

 Purchase discounts at agreed retail shops for purchases with debit cards.

 Access to priority banking service for depositors with the amount above ETB
500,000

C. Accounts for minors

It is an account that can be opened for individuals whose age is below 18 by their parent(s) or
legal guardian.

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  It is a saving account opened for individuals below the age of 18;
 The account shall be opened and operated by parents or legally appointed tutor; and

 At a time of reaching major, it shall be converted to Afla ordinary savings account.

D.Education saving account

This account can be opened by individuals classified as teen-youth, whose age is between 14 and
18.
 It is designed for saving money for higher education up to undergraduate
programs
 It provides a higher interest rate than an ordinary saving account
 It grants scholarship funds for annual draw-winning account holders who saved
for at least one year and whose account balance reached birr 5,000.

E. Ordinary saving

 It is an interest-bearing account which is compounded monthly.

 It can be opened individually, jointly, and by corporate entities.

 It can be opened with zero balance, however, the account should show at least
amount Birr 25 within a month.

 It can be operated by cash withdrawal slip, debit card, mobile and internet banking,
and

 A minimum amount of Birr 25 has to be maintained to qualify for interest

calculation.

F. Special saving account

This is an interest-bearing account operated by cheques, drawn up to a frequency of five
withdrawals per month for eligibility of interest payment.

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Special Savings Accounts shall be governed by the opening and operating procedures outlined
for Current Accounts with the exception of the following eligibility and requirements.

 To open this account, customers are required to complete an application form; and
 The initial minimum deposit for opening of Special Savings Accounts shall be ETB
500.00 (Five Hundred) while the minimum balance for interest accrual is ETB
100.00 (One Hundred Birr) .

1.6.1.2 Current account / ordinary demand deposit

Saving with BoA allows you to be at the forefront of your needs every step of the way. It can be
opened by all-natural and legal persons recognized by Ethiopian laws; Minors through parents or
tutors; and interdicted persons through legal guardians.
Features
 It is a non-interest bearing bank account usually operated by cheque
 It can also be operated by using card, mobile and internet banking
 It can be opened with a minimum balance of Birr 1,000 and Birr 2,000 for individual
and business customers respectively
 Penalty is charged if the minimum account balance is below Birr 500 and has no
movement for more than six months
 No restrictions on the number and amount of deposits and withdrawals as long as the
account have sufficient balance.

ECX Related Accounts

Trade through BoA
Alter your trading accounts to BoA and see how it simplifies your trading activities and
businesses.
This account is for business owners who conduct trading activities in the Ethiopian Commodity
Exchange (ECX). It is intended to facilitate trading and it is opened by conventional payment
operation.

Fixed Time Accounts

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Fixed-time deposit accounts are accounts that can be created by customers for a limited time. In
this case, the fixed amount must at least be 6 months. For yielding a higher interest rate in a short
period of time, a fixed time deposit is the perfect account as it delivers a higher rate of interest
than a regular savings account. Should the need for withdrawal arise before the maturity date, the
withdrawn amount shall be entitled to the prevailing saving interest rate and any remaining
amount shall be entitled to the fixed deposit interest rate.
Requirements :A minimum initial deposit for this account is ETB 100,000.00.

1.6.2 Digital related and special products and services

Digital products
A. Agent banking G. User (e-wallet)
B. Abyssinia online services H. Mobile banking
C. Card banking I, Gize pay
D. Virtual banking J. MTO
E. Merchant services K. SWIFFT
F.E-commerce L. Mamas pay etc.

1.6.3 Loan and FCY related products and services

Term loans
A. Corporate and commercial credit products
By making a credit agreement with BoA, account holders can withdraw more money than what
they have in their account for their operational needs of viable and on-going business.

B. Consumer and mortgage products

 Mortgage loans for Ethiopian residents

 Vehicle loans for Ethiopian residents

 Mortgage, Vehicle and Personal loan for NGO’s (with whom the Bank has an
agreement)

 Mortgage loans for Diasporas

 Vehicle loans for Diasporas

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 C. Export and import financing
For individuals and companies involved in the import-export sector. BoA will send funds to
use as a deferred payment. While you worry about your export materials, BoA will ensure
your products don’t lag behind because of finances. Similarly, through import financing,
BoA will make payments for exporters so that importers don’t struggle with payments. This
will give you time to take your time with your finances and it later time settle with BoA.

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CHAPTER TWO: MANAGEMENT AND TRAINING INFORMATION

2.1 Basic Training Information

There was a trainee orientation and self-introduction program when I started the practicum at the
first time. The bank branch manager name was Tsegaye Rike. Since the organization I was
engaged my trainee was a banking branch it has no specific demarked departments to be joined
by me. So I was in contact with the whole staff members at the required time and place. All the
staff members were in a good attachment with me. From the time I was accepted, until the time I
started I received proper and timely information and treatment by my advisor Mr. Tsegaye Rike
(branch banking manager).

I got qualified practicum training during my attachment from all expected bodies in the
organization. I was monitored by much of managerial position personnel and acquire the
required information from officers . The trainee was much of liberty oriented and freedom based.
It was neither boring nor unnecessary at all. My trainers were so interested, intellect,
knowledgeable, motivational, and respectable.

The training had its own steps in order to give more understandings and make things clear. First,
I was looking how deposits, withdrawals, opening accounts, ATM, mobile banking forms are
filled and how all are prepared initially. The time I was in training in the organization was given
from 3.00 up to 6:00 for 3 hours ,and also from 8:00 up to 11:00 for 3 hours on other day. But it
was highly based on my interest and, was flexible. The major areas in BoA, Yirgalem branch are
account opening, managing employees, operating activities, business managing and so on. As I
have written above, the organization has not specific classified departments unlike districts or
head office of banks. So I talk over this report the branch office as a separate department among
its district.

2.2 Activities performed

The branch trainers are highly technical, and have a good ability on the required skills of banking
sector. They use a customer base market philosophy by which they always aims to seeking
customer satisfaction and fulfilling it as a measure of their target achievement. Most of staff

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members were graduated from universities. So this helped to me greatly to get a good relation
with them simply.
The tasks I had trained in the area were;
 creating new account I mean opening account campaign.
 cash deposit and withdrawal form filling
 ATM registering

2.3 THE OBJECTIVE OF INTERSHEP PROGRAM

2.3.1. The General Objective of Internship Program

The general objective of this internship program is to assess mainly the management and
technological adoption of the organizations.

2.3.2. The Specific Objective of Internship Pogrom

The specific objectives include providing a structured attachment programme with emphasis on
applications, management and hands-on experience for the students to:
To apply my business knowledge learned in classroom to practice

To acquire practical and professional managerial skills

To improve my technological awareness

To increase my interpersonal skills and communications

To enable me to, get hands -on or real-life experience I have expected to work in when I
graduate.

To provide an opportunity for me to apply the principles and techniques theoretically learnt into
real-life problem-solving situation.

To develop and improve business skills in communication, technology.

2.4 Scope of Internship

My internship program mainly focuses on assessing the organizations management hierarchies
and technological adoption but. It does not mean not assessing other organizations performance
of Abyssinia bank. The geographical scope of my internship is in Abyssinia bank, which found
in Yirgalem town Yirgalem branch. In this organization I have stayed for 15 days to accomplish

13
my internship. Methodologically I limited to use observation, interview and document analysis to
conduct my internship program. In my internship program I have done phone call for announcing
customer about their low available balance in their accounts and about ATM or VISA card
delivery in the organizations. The specific coverage of my internship program in the
organizations is assessing and analyzing the organizations management hierarchies and
technological adoption status.

2.5 METHODS OF THE INTERNSHIP PROGRAM

2.5.1 Observation Method of data Collection

Observation is the primary source of information specially in studies related to behavioral
science. I all observe things around me, but this type of observation is not scientific observation.
I try to use participative observations method to conduct my internship program.

Participant observation: I stay in the community as a member of it and participates in their

work. I have got some experience from the member of the group who work in the organization.
In this case specifically I use participatory observation method.

2.5.2 Interview
In interview, the investigators discuss his social economic or some other problem with people's.
During the courses of discussion, he gathers facts. An interview is different from Schedules
(interview questionnaires). A schedule includes some predetermined questions asked by the
researcher in a definite order without change. But the interview has no such definite form or
order of question. The investigator may ask any question on the basis of his insight into the
problem. Interview can be either personal interview or interview through telephone.

In this case I use personal interview to conduct my internship program.

Personal Interview
Such method requires interviewer-asking question in face-to-face contact to respondent. The
interviewer has to be on the spot and has to meet people from whom the data are collected.

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2.5.3, Document analysis
It is cheap and less time consuming than primary sources. A comprehensive search of secondary
sources can almost always be made in a fraction of the time and cost required for collection of
primary data. I also use documents analysis to conduct my practical attachment.

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CHAPTER THREE: JOB BACKGROUND AND INFORMATION

3.1 Information about BOA

3.1.1 Asset
Authorized and paid up capital of BoA as at December 31,2020 is Birr 4 billion and Birr 3.41
billion, respectively, a total deposit balance of Birr 67.17 Billion and a total loans and advances
of Birr 55.84 billion, which in effect enhance the risk absorbing and the lending capacity of the
Bank.

3.1.2 Customers
BOA has more than 7,360 staffs and 3,838,325 account holders at December 31, 2020 and works
with known money transfer agents such as Western Union, Xpress Money, Ria International,
Trans fast, Dahabshiil, MoneyGram and Kaah.

3.1.3 ICT
Following a strong demand for better service and products from all directions on the one hand,
and a ground-breaking development in ICT, on the other, BOA has replaced its in –house IT
system with the state-of- the art technology called T24 and started ATM and POS services with
Habesha card and mobile banking services. BoA also provides Internet banking services while
Agent banking service will be readily available within the near future.

3.1.4 Shareholders
BOA has 2,424 shareholders who are successful businessmen, intellectuals, celebrities, etc.

3.2 The Technology Adoption of Abyssinia bank Yirgalem branch

The questions I asked to the manager related with the adoption of technology and the answers he
gave me are :-

* What seems like technological adoption of your organization?

Branch manager says our organization is fast to adopt new technology to take a new business
opportunity and more competitive advantage. Among many technologies bank of Abyssinia is
well adopted online banking technology . Bank of Abyssinia has well-structured financial
service system which connected through the T-24 core banking system. This coupled with the

17
1271 ATM machines, 16 virtual banking centers, and more than 1256 POS placed in different
locations to afford customers to access their accounts from anywhere at any time.

Here are some of e-banking technology products which adopted by bank of Abyssinia
ATM (automated teller machine) is self-service banking outlet and used to withdrawal money,
check your balance, and transfer funds.
Internet banking permits consumers to carry out usual banking transactions on a computer
which is equipped with Internet connection. Internet banking services as major information
services of a bank to serve its customers via the Internet.
Mobile banking; holder of any mobile device can use the service with internet connection.
Pos’s terminal; That used for cash withdrawal using ATM card, balance inquiry, transfer
account to account, payment without holding hard paper of money
Agent banking; A delivery of channel for providing financial services beyond the traditional
branch network of the bank.
Generally: Abyssinia bank Yirgalem branch uses this above listed and other technologies.

* What are your opportunities to adopt technology?

Opportunities of e banking such as the existence of high demand, new government initiative
about physical cash limit movement and security measures. In addition, the new upcoming banks
also will facilitate the banking competition in near future. The number of mobile phone users is
also increasing and it enables customers use several e banking products like mobile banking,
internet banking and others.

* What are the main advantages of implementing E-banking technology for your
organization?

 To reduced costs in accessing and using the banking services.

 To increases comfort and time saving — transactions can be made 7x24, without
requiring the physical interaction with the bank.
 To provide Quick and continuous access to information
 To improve cash management

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  To reduced costs: This is in terms of the cost of availing and using the banking
products and services.
 To facilitate Convenience, all the banking transactions can be performed from the
comfort of the home or office or from the place a customer wants.
 To increase speed of response very fast; therefore, customers can actually wait till
the last minute before concluding a fund transfer.
* What are major challenges do you face to adopt e-banking technology in your
organizations?
The bank of Abyssinia major obstacle to implement e banking services effectively. Challenge
includes customers resistance to change, lack adequate and of well-trained workforce and
managerial efficiency, lack of sufficient government support and legal frame work, lack of
public awareness, lack of ICT infrastructure and system failure, political instability, low
economic development and low literacy rates. In general, the bank faces the major obstacles like
-Implementation of global technology, in specific organization - Security Issue, lack of the
public support, Trust Issue: Trust plays a key role for E-banking, but the lack of trust is the main
issue in the growth and development of electronic banking alerts, security alerts and reminders,
and Balance and Transaction notification are needed.

* What measurement to be taken to overcome this challenge?

Creating customers awareness by providing different program.

Increasing managers efficiency to influence technology users.
Expanding technological facilities through different areas.
Increasing the efficiency of technological service.
Develop ICT infrastructure and systems accuracy.
Implementing technology adoption strategies of the company.
Taking security measures for the company wellbeing

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CHAPTER FOUR: SWOT (Strength, Weakness, Opportunity and Threat) analysis of
ABYSSINIA bank

Yirgalem branch
The Abyssinia bank Yirgalem branch is private bank organization have its own strength and
weakness side there are also have good opportunity and threat that speed up and fast the bank
over all work process.

4.1 Strength of the Abyssinia bank Yirgalem branch

 Many branches of organization

 Good efficiency and ethical conduct of staffs

 It gives training for its employees to improve their profession

 Fast technological adoption

 They respect their customer and give priorities

 Having sufficient ATM machines for customers

 Handling large number of clients

4.2 Weakness of the Abyssinia bank.

There are some inefficient materials like chair table and computers for training staffs.
The employees have a load of tasks.
Limited administrative staff within the organization
Poor preparation for heterogeneous client requirement
There is gender disparity among employees.

Opportunities of the Abyssinia bank.

 Well-structured financial service system

 Development of information technology

 Large and diverse population is good opportunity for increasing the bank custome

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 Existence of potential customer

 Having large market share in the country

 Location of the bank (where the bank exists)

 The increment of the number of technology user

4.4 Threats of the Abyssinia bank.

 Instability of political situation compared to past year

 Economic condition of the country

 Environmental and social issues

 Existence of many competitors

 Changing business model

 Cyber security issues

 Cultural shift of customers

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CHAPTER FIVE: Evaluation, Conclusion and Recommendation

5.1 problems Encountered during practical attachment

 It was difficult for me to communicate with staff members in office for the first three
days especially. So acquiring a required knowledge at that time was in a full of troubles.

 The major problem was the activities performed and the information possessed in the
organization is not equivalent with my expectation. This highly affects my original plan
to make an excellent analysis on banking trends. Simply I want to mean here that the
basis of reasons for most activities in the bank are determined and understood well in a
district or head office levels.

 Additionally the nature of most activities has not enough connection with economic
concepts as needed as to do a deep level economic analysis.

 And also the major problem I faced during the practice was the lack of money because
the campus had not budgeted any budget for this purpose.

 Because of the bank ordered me to open a book account, it delayed my work due to lack
of people to open it .finally most of the time there was a lack of transportation from
campus to Yirgalem.

5.2 Rationales of practical attachment

The fundamental aim of this practical attachment is to understand the lecture class easily by
observing the real life applications. So this practical attachment has the following major
rationales.

To familiarize us with performing practical attachment based on lecture class.

To understand lecture class clearly in the context of real world situations practically

To became the business problem solver in which we had been encountered.

To develop our multidimensional confidence

To examine theoretical concepts critically and systematically

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5.3 CONCLUSION
The objective of this practical attachment is to assess the performance of Abyssinia bank
Yirgalem branch in relation to the organizations management hierarchy and technological status.
Abyssinia Bank Yirgalem branch is realizing its vision and mission and performance of the
organization in relation to its objectives. The intention of this practical attachment was to
increase student’s knowledge and enable student to compare what have learnt so far in class and
what have experienced in this practical and also to produce well qualified, self-reliant, active,
change agent and real problem solver student. In addition, to this, the other objective of
internship is to suggests some important advices toward reducing the problems of the
organization based on discussions.

Generally, I gained some experience from this internship such as how to work in cooperation
with other, and I know how to perform different activities in the bank.

5.4 RECOMMENDATION
In regard to the attachment I want to address my recommendation to the following two distinct
organs or institutions that are my host organization, and my university.

5.4.1 To the host organization

As the organization business organization specially banking industries have so many
competitors.
So that I would like to strongly advice the organization to seeks it's competitors weakness in
order to attract more customers, to be more profitable and to get more competitive advantage
over others bank by providing systematic implementation of banking technologies. However,
adoption of technology by it self does not make profit rather than implementing it properly. In
this case I would like to suggest the organization to create much awareness among it's customer.
This is because as the organization is service provider it's major stakeholder are customers and
employees of the organization. As I know there is high level of competition among banking
industries so that, they should seek to know it's competitors weakness and it's sole opportunities
to win major competitors. Business is a game you can win by differentiating yourself from
others. The company should also evaluate its technology platform with current technological
advancement.

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When, I doing my internship, I observed some management problem in Abyssinia bank of
Yirgalem branch. Therefore, I would like to suggest on such issues that I observed during my
internship program, I observe majority of the organization employees are male. In this case we
would like suggest the organizations to ensure equal employment opportunities in the
organization.

5.4.2 To the University and my Department

Over my practicum (from its beginning up to the completion of this report) I observed some
points that might be important to the university for the coming future dates.

The department shall give the necessary information and report forms at the time.

The university or department shall have some specified follow up methods and platforms during
the period of students’ practical time (while students are applying and performing the practicum).

The university shall cover all the required expenditures by preparing itself well in accordance to
the fund release activities.

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 REFERENCE
The website of the organization; https://www.bankofabyssinia.com.

The revised procedure of BOA.

The interview; information from the employees of the organization.

The daily and weekly activities.

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