1.ERP 2.Bank 3.ERP in banking

1. ERP in Banking

2. Content

ERP

Banking Sector

ERP in “Bank Audi”

3. Before introduction of ERP

Each department had their own system

Complex way of communication

4. ERP Definition

Enterprise Resource Planning (ERP) is a business process management
software that allows an organization to use a system of integrated
applications to manage the business and automate back office functions

5. Objectives of ERP

Drive the flow of information

Track business resources (cash, raw materials, production capacity)

Track business commitments(orders, purchase orders, and payroll)

6. Benefits of ERP

Improve quality and efficiency of the business.

Higher productivity

Lower cost

Improve customer service

Increase sales

Less time

7. Bank

Banks are financial institutions and financial intermediaries that are
a fundamental component of the financial system, and are also
active players in financial markets

A bank accepts deposits and channels those deposits into lending
activities

Lending activities can be either directly by loaning or indirectly
through capital markets

A bank links together customers that have capital deficits and
customers with capital surpluses

Most banks are profit-making, private enterprises. However, some
are owned by government, or are non-profit organizations

8. Standard activities of a bank
Banks mainly act as payment agents by:

Conducting checking or current accounts for customers

Paying cheques drawn by customers on the bank

Collecting cheques deposited to customers' current accounts
Other methods of payment are :

Automated Clearing House (ACH)

Wire transfers or telegraphic transfer

EFTPOS

Automated teller machine (ATM)

9. Banks borrow money by :

Accepting funds deposited on current accounts

Accepting term deposits

Issuing debt securities such as banknotes and bonds
Banks lend money by:

Making advances to customers on current accounts

Making installment loans

Investing in marketable debt securities and other forms of
money lending

10. Types of Banks:
Banks' activities can be divided into:

Retail banking: dealing directly with individuals and small
businesses

Business banking: providing services to mid-market business

Corporate banking: directed at large business entities

Private banking: providing wealth management services to high
net worth individuals and families

Investment banking: relating to activities on the financial
markets

11. Commercial banks:
A commercial bank is a type of retail bank that provides services to
individuals, by:

Accepting deposits

Making business loans

Offering basic investment products
It can also refer to a bank or a division of a bank that provides these
services to corporations or large businesses, as opposed to
individual members of the public

12. Commercial banks engage in the following activities:

Processing of payments by way of telegraphic transfer,
EFTPOS, internet banking, or other means

Providing documentary and standby letter of credit, guarantees,
performance bonds, securities underwriting commitments and
other forms of off balance sheet exposures

Safekeeping of documents & other items in safe deposit boxes

Sales, distribution or brokerage, with or without advice, of:
insurance, unit trusts and similar financial products as a
“financial supermarket”

Cash management and treasury’ Merchant banking and private
equity financing

13. 
Traditionally, large commercial banks also underwrite
bonds, and make markets in currency, interest rates, and
credit-related securities, but today large commercial
banks usually have an investment bank arm that is
involved in the mentioned activities.

14. Bank

Is a Retail Bank

Retail banking is when a bank executes transactions directly with
consumers, rather than corporations or other banks. Services offered
include savings and transactional accounts, mortgages, personal loans,
debit cards, and credit cards.

15. Main Department of NDB

Accounting department : Includes the Expenditure Budget,

Human Recourses Department : The main function of the

Cash Operation Department
Financial System, Core Banking and Client Management Divisions.
Human Resources Department is to assist employees through their life
cycle at the bank and even after retirement in order to bring out the
best of their potential and thus contribute to the success and stability
of the bank.

16. 
Payment System Department : Responsible for
performing and overseeing all kinds of operations in the
National Payment System such as clearing and settlement of
cheques and cards transactions.

Training and Development Department: Main
Functions of this department is to :
1.
Organize conferences, seminars and training programs on
monetary and banking issues.
2.
Organize training courses to improve staff efficiency.

17. When a customer asks for a loan…

Request taken by the clerk at the office (CRM)

Request will be sent to the finance department

Once approval takes place, info automatically goes to accounting department
to record the borrowing in the balance sheet

Also another info will be sent to the customer service, to inform the customer
of the approval

18. Days goes on…

Paying monthly interest.

Automatic info will be sent to :
Finance department
Accounting department
Payment system department