Study and analysis of atm card(connection card for student )

ACADEMY OF FINANCE UNIVERSITY OF TOULON WORK PLACEMENT REPORT Subject: Study and analysis of ATM card (Connection card for Student) Student: LE THI LAN PHUONG Degree: Licence in Banking and Insurance Tutor UT: Ms Marie Josée Cambreling Tutor AOF: Ms Mai Thanh Lan Company/Bank representative: Ms Ngo Ha Hong Hue Year 2013-2014 ACKNOWLEDGEMENT First, I would like to deeply thank all of lecturers and tutors from University of South Toulon-Var and Academy of Finance in Vietnam for providing me an opportunity to my work placement on “ Study and analysis the ATM cardConnection card for student Second, I wish to express my sincere gratitude to my supervisors – Mr Le Quan, Mr Ho Nhu Hai, Mrs Marie José Cambreling and Mrs Mai Thanh Lan for their guidance and encouragement in carrying out this project, as well as teaching me theoretical knowledge, skills in programming, problem solving, and so on I sincerely thank to all staff of the Agribank Hanoi branch, especially Ms.Ha for providing the best condition for me to have deployment and implementation of work placement and to get lots of valuable experience thanks to the guidance and helping from the department ATM service Last but not least I wish to avail ourselves of this opportunity, express a sense of gratitude and love to my friends for thier manual support, help and for everything Sincerely thank you! ABSTRACT My work placement report is devided into three main part which are in proportion to three chapters In the first part f project, I not only introduce generally Agribank, Agribank Hanoi branch but give some precice explainations about my project At the end of this part, I explain how I choose the theme of project, purposes, missions and methods of the project In the second part of the report, I focus on describing and explain how I implement each task of my project namely In the last of the report, I complete the finanl product-a type of card to introduce Agribank ATM – Connection card for student, and list what I achieved and What prevents us from completing each mission The report includes chapters: Chapter 1: Overview of Agribank Hanoi branch and project Chapter 2: Implementation of process and results achieved Chapter 3: Conclusion and proposals for improving TABLE OF CONTENTS CHAPTER 1: OVERVIEW OF AGRIBANK HA NOI BRANCH AND PROJECT 1.1 Overview of Agribank 1.1.1 Generation information 1.1.2 History of development 1.2 Introduct to Agribank Hanoi branch .3 1.3 Introduction of project 1.3.1 Reasons and purpose of project 1.3.2 Misson of project and methods .4 CHAPTER II: IMPLEMENTATION OF PROCESS AND RESULTS ACHIEVED 2.1 Search for analysis documents related to Agribank ATM service- ATM cooporate student 2.2 Conduct and analyze the ATM satisfaction survey .7 CHAPTER III: CONCLUSION AND PROPOSALS FOR IMPROVING 12 3.1 Achievement .12 3.2 Avantages anf disadvatage of the ATM card- Connection card for student .12 3.3 SOWT 13 3.4 Isikawa 14 3.5 Recommendation 15 3.6 Difficulties 15 APPENDICE 16 CHAPTER 1: OVERVIEW OF AGRIBANK HA NOI BRANCH AND PROJECT 1.1 Overview of Agribank 1.1.1 Generation information AGRIBANK - THE LEADING COMMERCIAL BANK IN VIETNAM Agribank is the largest bank in Viet Nam in terms of capital, assets, workforce, operating network and customer base As of October 2012, the leading role of Agribank has been confirmed by: Name: Agricultural Development Bank of Vietnam Transaction name: Agribank Head quarter: No 18 Tran Huu Duc street, My Dinh, Tu Liem, Hanoi, Vietnam Total asset: VND 560,000 billion Total fund resource: VND 513,000 billion Equity: VND 29,605 billion Total outstanding loans: VND 469,000 billion Operating network: 2,400 branches and transaction offices nationwide Personnel: 42,000 staffs Agribank has always focused on the innovation and application of banking technology in favour of business administration and the development of an advanced banking services network Agribank is the first bank to accomplish the Project “Intra Payment and Customer Accounting System” (IPCAS) funded by the World Bank The finalised IPCAS has enabled Agribank to provide local and foreign customers with modern banking products and services with extensive safety and accuracy At present, Agribank is serving millions of households and enterprises Agribank is one of the banks in Viet Nam who have the largest number of correspondent banks with 1,033 correspondent banks in 92 countries and territories 1.1.2 History of development In 1988, the Agricultural Development Bank of Vietnamwas established by Decree No 53/HDBT dated 26 March, 1988 of the Council of Ministers (now the Government) with the reform of the financial system and the introduction of commercial banks in Vietnam In 2010, Agribank's in Top 10 of 500 largest enterprises in Vietnam To enforce the credit institutions in 2010 and to implement the Decree No 59/2009/ND-CP of the Government on organization and operation of commercial banks, Agribank's Directive Board has promulgated and implemented new Article on organization and operation replace the Regulation enacted in 2002 Also in 2010, Agribank approved by the Government for adding VND 10,202.11 billion, bringing up the total charter capital to VND 20,810 billion, and continuously to be the largest Financial Institution in Vietnam In the context of the world economy and Vietnam in particular facing many dificulties in the economic crisis, Agribank remains sustainable development and growth Agribank had the total assets of VND 617,859 billion (approximately 20% GDP), rised by 10%compared with 2011 As the biggest commercial bank in Vietnam in terms of fund resources, assets, and the bad debts is controled In 2012, Agribank win the title such as: Top 10 biggest enterprises in Vietnam – VNR500; Top Asean Enterprise, Top brand name of Asean; Top Bank for Payment; Top Banks of Vietnam In 2013, Agribank held the 25 year universal (March 26, 1988 – March 26, 2013) 1.2 Introduct to Agribank Hanoi branch Agribank Hanoi was established under the Decision No 51-QD/NHNN dated 27 June 1988 by the Governor of the State Bank of Vietnam (SBV), up to 31/12/2012, it included 01 head quarter and 15 transaction offices Location: No 77 Lac Trung street, Hai Ba Trung district, Hanoi Date of creation: established in 06/1988 DIRECTOR Deputy DIRECTOR Admin & Human Resource Dept General &Planning Dept Foreign Exchange Trading Dept 1.3 Accounting & Treasury Dept Internal Audit Dept Services & Marketing Dept Credit Dept IT Dept 15 Transaction Depts Introduction of project Title of project: Study and analysis of ATM card ("Connection" card for Student ) 1.3.1 Reasons and purpose of project As for me, one of the important things is that I would be provided lots of practical knowledge of the bank’s working process, which I might not study enough at class Also, because I would be allowed to put into practice the knowledge that I had acquired during my studies at univerity, I would have opportunity to improve my skills as well as the experience of working in a professional and active environment, whereby interns generally find the experience to be rewarding and interesting As for Agribank, by offering me an opportunity to internship they also get a student who can help and bring some certain benefits to them without paying any salary They know that I am a student, I can promote the image of the bank by disseminating information of the activities and the institutional objectives of the bank In addition, my main task is to find the problems that the bank meet and try to help them solve them, so it is good for them if I can accomplish my task At least I could give some ideas for the solution, in case I cannot help tham solve those problems One of reasons I choose the ATM - Connection card for Student as my topic is because ATM is becoming more and more popurlar in VietNam Most of Vietnamese people have at least one ATM card from a certain bank, and many stores and enterprises in Vietnam accept ATM card as a kind of payment Therefore, Agribank is trying to feature more functions, developing more utility services for ATM usage 1.3.2 Misson of project and methods The aim of my work placement is to help individual customers use ATM servicing more effectively Specifically, I would focus on how people use ATM service at Agribank and find some problem need improving  Task 1: Search for and analysis document related to Agribank ATM service I have done this task during weeks ( no weekends, holidays and examinations were counted) First, I searched for and researched about the ATM service of Agribank This helped me get to know more about my theme of project and the service I had chosen, therefore, it was easy for me to orientate ways to reach my target Method: I used some sources of information, data access:  Internet  Bank statement, financial reports  Books, documents and papers of the bank’s business activities have been provided  From staff of bank  My actual experience  Task 2: Conduct and analyze the Agribank ATM Connection card for Student I have done this task during weeks ( no weekends, holidays and examinations were counted) After defined necessary information and knowledge for my project, I created a small survey whose object is student in order to find out how they satisfied with Agribank ATM  I designed a suitable question list to set up the survey chart then distributed them to Agribank customers who had transaction at some transaction offices directly under Hanoi branch  After the survey, I analyzed the results to evaluate how customers satisfied with Agibank ATM and what problems they have using ATM service After collecting the survey, I had to analyze all data collected from the survey  I entered all the data into analysis software  Next, I drew table and chart to show information analyzed  At the end of this process, I gave comments based on the results Method: The questionnaire is usually a list of question on papers; respondents will fill out all of them To analyze data collect from the survey, I use SPSS Statistics- a software package used for statistical analysis This software helped me by creating statistics and give important figures based on the data I entered, therefore, I could see clearly the results from it  Task 3: Completed research ATM-Connection card for student and conclusion I have done this task during weeks ( no weekends, holidays and examinations were counted) Up to the present time, Agribank only connection with National University of Civil Engineering Based on the result from survey, I realize that there is much potential for atm card Agribank should develop this service Some problems often occur when using the atm card: Lost ATM card, lost password, not know to use ATM card, not know the way to change the password in the first time CHAPTER II: IMPLEMENTATION OF PROCESS AND RESULTS ACHIEVED 2.1 Search for analysis documents related to Agribank ATM service- ATM cooporate student I searched for and researched about the short-term savings service in Agribank This help me get to know more about our theme of project and service I had chosen, therefore, it was easy for me to orientate ways to reach our taget ATM- Connection card for student It is a card that combines the functions of domestic debit card and student card under regulations of the schools Under the form of a student card, this card of student helps universities and colleges to supervise the students and to be used for other purposes including borrowing books from the library and tuition fee payment In terms of payment function, this card of student get all features and transaction limit of a domestic debit card Benefits and advantages - Customers can withdraw cash at 1702 ATMs and thousands of EDC/POS at Agribank’s transaction counters - Cards can be used for products and services payment at card merchant of Agribank - Customers with stable income using Agribank’s salary payment through account service may overdraw on the deposit accounts with the overdraft limit up to the maximum of VND30 million - Allow to execute account inquiries and print 10 latest transactions at ATMs and EDC/POS - Customers can change PIN code at ATM and EDC/POS - Customers can transfer and receive money promptly at ATM and EDC/POS - Customers can credit their account at EDC/POS at counters - Customers can execute payment for bills and purchase advance cards at ATMs - Customers can use Mobile Banking services such as account balance notification, A-transfer, advance charge for mobile phone, Vnmart e-wallet, etc… - Card holders can earn non-term interest - Customers’ individual and account information is confidential - Customers can implement transactions at thousands ATM machines and EDC/POS through the Banknet - Smartlink system nation-wide, including: cash withdrawal, money transfer, balance inquiry, pay for products and services at card merchants 2.2 Conduct and analyze the ATM satisfaction survey  Step 1: Design the questionnaire I based on the results of research in task to design the questionnaire Duration: days The survey includes of question  Step 2: Distribute and collect the survey Objective of survey: Agribank customer who are from 20-24 years old Reason of choosing objective: Customers who are from 20-24 years old and they studing in National University of Civil Engineering, are the one who use ATM quite frequently but also have more problems with modern technology The elderly rarely use any bank’s service related to technology because it brings inconvenience to them, and it is hard for them to get to know such modern equipment with complicated manipulation  Step 3: Collect the survey I collected 88 responds out of 100 copies of the survey distributed  Step 4: Analysis the data I analyzed data collected from the survey through SPSS statistic software SPSS Statistics is a software package used for statistical analysis It can handle just about any statistical analysis you throw at it: from the simple descriptive statistics, such as mean, median, deviation, to the complex studies of variances and covariance It also helps customers to make sure that their collected data is entered correctly and all the variables are properly defined There are extensive help files within the program to help you choose the best scale for your variables The program is great for evaluating and analyzing any data available at hand ANLYZE RESULTS OF SURVEY Frequency of Agribank ATM usage 7% 18% At least daily 32% At least weeky At least montly Less than once a month 43% Figure 1: Frequency of Agribank ATM usage I asked the customers how often they use ATM in order to find the exact frequence rate of Agribank ATM usage by student, and then compared this result to my prediction As can be seen in the pie chart, there is a great amount of student use Agribank ATM at least montly, with a percentage of 43% This can be because the most of student are received money from their parents montly Besides, the rate of people use Agribank ATM weekly is quite hight compared to the former rate, which is 32% Another interesting thing should be noted is that, there is small number of regular ATM use Agribank ATM at least daily The proportion of these people accounts for only 7%, which is lowest rate among others Beside, some of them use ATM less than once a month, it means ATM is not essential to them The number of these students account for a small number, which is only 18% Agribank should focus more on developing programs and services as well as ATM function for the student, because they use ATM card frequenty Figure 2: The most common reason that student use ATM My purpose is to find out what ATM functions they concern most Based on this, I can give recommendations to the bank on what needs improving foremost According to the chart, 61% of student in their use ATM mostly to withdraw cash from the ATM machine This proportion is largest among other reasons of total respondents collected The second most chosen reason of Agribank ATM usage is deposit cash, which 22% Other reason are transfer of funds and check account balance, making very small percentaget, which is 14%, 3% respectively 10 Figure 3: Common inconvenience while using ATM The chart shows possible problem that may happen during ATM using process and inconvenient level that they cause to Agribank ATM users Based on the statistic displayed in this chart, I can know more exactly the problem that Agriabank ATM system is facing and how to solve them It is clear to see that most annoying inconvenience that student usually get is lack of ATM machine to withdraw occupoes the high rate, with 49% Also, the percentage of people choosing lack of money to withdraw and broken ATM machine as factcors making them annoyed most is lower than the rate of student choosing lack of ATM machine Most of Agribank ATM user feel annoyed when the ATM machine runs out of money It is a serious problem to ATM user of many banks in general and Agribank in particular, especially when they need an amount of money immediately but find no ways to withdraw from the ATM machine 11 CHAPTER III: CONCLUSION AND PROPOSALS FOR IMPROVING 3.1 Achievement After months of internship at a bank, I found that ATM card students have great potential Agribank start - linked Build's University in 2010 only, in every year school welcome 3000-4000 new students , that is large and stable number with regular number of transactions and growth However, to be able to link with the university is not easy thing: - Need to have relationships inside internal university to start easier contract agreement - What are the requirements that the school has a large student population and stability - The human factor , understand that the school is linked to the bank to open the card , the student will payment through the bank , there will be the number of idle workers This may change or not depends on internal HR department and the school 3.2 Avantages anf disadvatage of the ATM card- Connection card for student 12 3.3 SOWT 13 3.4 Isikawa INFORMATION COST Bad impressive Colleague Workplace Don’t support Not provide information Long distance from home to bank Too busy Travel Lack of vehicle Be stolen Not enough Lack of reference of document source Lack of document source Can’t find THE TOPIC CAN NOT BE COMPLETED Too busy Workplace Computer Be damaged Not exist Bank not provide document Collegue Far location Don’t support Not provide information Bad impressive EQUIPMENT BANK 14 3.5 Recommendation - Agribank should continue to develop and expand the service of the ATM – Connection card for student because Hanoi has a lot of universities have large student numbers In addition, Agribank is a large bank in Vietnam today with a nationwide scale and highly respected This is the advantage of Agribank for the development and expansion of products - Agribank should have the introduction for use by short videos or images for customers in general and for students in particular This will help to reduce some regular mistakes as not knowing how to change the pin code or the cards are swallowed up because of wrong ways to draw money - There are many universities in Hanoi with a great and stable number of students such as National Economics University, Hanoi University of Science and Technology, Banking Academy, Academy of Finance etc The bank should make use of the opportunities to asociate with them , this will bring a lot of benifits 3.6 Difficulties Every coin has two sides, every project has both achievements and difficulties There are some difficulties that have effects on my work placement: - - I had some problems related to misunderstanding and giving ideas I had some problems when manage my schedule and I found it difficult to balance my time The time for releasing cards is from octobor to january It's the time when students begin the new school term However my probation period is not in that time so I don’t have many chances to directly take part in releasing cards Because the bank's officers are so busy and don’t have enough time to direct me in details so I just came to the office to learn and helped them as possible as I could such as guide the customers to fill the information in and use the cards, input customers' data, give cards to customers, etc 15 APPENDICE Agribank ATM evaluation survey Dear Sir/Madam, In order to improve quality of Agribank ATM – Connection card for student, I need our help by answering and fill out the following question Each of your ideas and contributions is our bank’s treasure and needed to help us serve you better Note: We will keep all your personal information private and use them only for this survey Your details Name:………………………………………… ………… ………………………… Date of birth:……………………………………………………………………… Tel: Are you currently using Agribank ATM service? Yes No How often you use Agribank ATM? At least daily At least weekly At least montly Less than once a month What is most common reason that you use ATM card? Withdraw cash Deposit cash Transfer of funds Check acount balance What is the most annoying inconvenience that you get while using ATM card? Lack of ATM machine ATM machine is broken down ATM machine run out of money ATM machine is put in unsecured place Other ideas:………………………………………… ……………………………… THANK YOU FOR COMPLETING MY SURVEY! 16