Competency Summary Of Emirates Islamic Bank Business Essay

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Emirates Islamic Bank was launched in 2004 to provide high quality Islamic banking services across the UAE. The bank offers a range of Sharia compliant products and services conforming to the highest standards of Islamic finance and all our activities are overseen by a Shari'a board comprising several prestigious scholars of Islamic law. The Emirates Islamic Bank desire is to conform to all aspects of Shari'a means they do things differently from conventional banks. The bank doesnt charge or pay interest, and they seek to avoid uncertainty in their transactions. Instead of conventional credit facilities like loans and overdrafts, they use Islamic financing methods such as Murabaha, Ijarah and Salam. Instead of paying interest on savings accounts or investing the customer's money in interest paying funds, the bank use Islamic profit-sharing structures and Islamic investment funds.


The Vision is the result of an entrepreneurs dream of something that does not exist yet and the ability to paint a compelling picture and values of that dream for everyone to see. Emirates Islamic Bank vision is to be a recognized world class service provider. We shall strive to satisfy our customers' needs and exceed their expectations by providing them with the best quality service and a variety of customized products that answer their banking demands. In order to achieve this, we will not spare any resource or support to implement this policy and reach the Bank's objectives. Every one of us is entrusted and engaged to: Make customers feel welcome, deal with them professionally and show them transparency and honesty, Offer catered, simple and reliable services in all our departments and branches while seeking continuous improvement Become an integrated member of each community where we reside business by actively participating into the welfare of our environment. We believe that, complying with the above will further enhance the value of the Bank, both socially and financially. We recognize that in addition to customer satisfaction, our core values are: Teamwork and respect for one another Reward for superior quality and performance. Welfare of our staff, who constitutes our most valuable asset


A mission is the organizations reason for existence. Its describes the organizations values, aspirations and reason for being.

The mission of Emirates Bank Group is to delight customer through genuine and services which are innovative, "first of its kind" and offer the highest service quality standards.


The objective of the Emirates Islamic Bank is to increase the 11 Branches in 2005 to accomplish 20 Branches at the end of 2006. The Bank is looking to expand their banking activate to Egypt, Lebanon, Jordan, Pakistan India, Srilanka & South Africa due to cost effectiveness. As well as having total number of 389 Employees out of which 4% are UAE nationals.


Human Resource Planning is the forecasting of human resource needs and the projected matching of individuals with expected job vacancies. (Human Resource Management-An Experiential Approach, 2003)

There are several ways the Human Resource Planning process has been described. Some are: It is concerned with ensuring that the enterprise's future needs for labour and skills are met. Human Resource Planning translates the organizations objectives into terms of the workers needed to meet these objectives.

Human Resource Planning of the Emirates Islamic Bank methodically forecasts its future demand for supply of employees. The principal responsibility of Human Resource Management of the Bank is to ensure that the Bank is having the right numbers, types and skill mixes of employees at an appropriate time and cost to meet present and future requirements.

The Business Planning of the Bank is to develop, define and seek approval for business unit strategies, objectives, targets and budgets as a basis for individual performance planning.

Human Resource Plan Cost Analysis

One area where HR can provide significant analytical value is in helping managers understand the true cost of employee attrition. HR departments typically view attrition from a very limited cost perspective, measuring direct recruitment costs like agency fees but rarely looking at the fuller picture. We suggested that turnover analysis should examine:

Total cost of the recruitment process, comprising direct external expenditure (advertising charges, agency fees etc) and internal costs (e.g. HR and management resource allocated to recruitment). Ultimately, it could include opportunity cost from the diversion of resources to the recruitment effort, although this falls outside standard financial measurement practice

Training costs, including cost of formal training services, plus the management and peer-level resource required for "on the job" education

Productivity costs. The loss of an employee and introduction of a replacement invariably leads to a short-term deterioration in productivity

Loss of employee knowledge and experience.

Loss of customer/supplier/partner value capacity. The departure of employees may have a detrimental effect on key business relationships

Loss of team impetus. The loss of a key team member should be seen in the context of their positive impact on group activities

Impact across the business. For example, the departure of a senior manager in product design may slow a development project and delay product release, impacting sales and marketing strategy and delaying revenue generation

Although few organizations take such a comprehensive approach to attrition analysis, Emirates Islamic Bank has investigated the issue in depth and come up with a novel model. Its analysis factors in a wide range of recruitment costs; spanning the point where an employee resigns to the time they're replaced with someone of similar competency levels. This includes the time spent by HR and line managers on finding new staff, and an allowance for reductions in productivity as the employee works out their notice.

Having established the full extent of the costs involved, Emirates Islamic Bank was able to define a break-even point for a typical employee, representing the moment in time when they start to add net value to the organization rather than being a net cost. From a financial perspective, its research demonstrated that this point typically arises after around one year's salary has been spent.


Strategic management planning is the process of setting major organizational objectives and developing comprehensive plans to achieve them. It involves deciding on the major directions of the organization, including its structure, strategies, policies and the contributions of its various resources. An important part of the strategic planning process is the determination of necessary labour requirements and the prediction of likely sources. Human resource managers need to develop HR strategies that are consistent with broad organizational Strategies.

Human resource managers of the Emirates Islamic Bank develop and align their staff with organizational plans. The Bank is analyzing in details the strengths, weaknesses, opportunities and threats facing organizations in the foreseeable future by using the SWOT analysis. In the process, strengths include the market position, credit-debt ratios and the quality of human resources such as number of employees, skill levels. Weaknesses cover the inflexible organizational structures, poor market penetration, outmoded policies, a history of industrial action, or untrained and unmotivated employees. Opportunities comprise the withdrawal of competitors; likely product or site diversification, newly discovered labour markets. Finally, the threats contain the restrictive government legislation and highly competitive labour markets.

This includes:

Labour demand forecasting

Labour supply analysis (Including internal and external sources)

Balancing supply and demand considerations

The formulation of staffing strategies to meet organizational needs


There are several ways the Human Resource Planning process has been described. Some are: It is concerned with ensuring that the enterprise's future needs for labour and skills are met. Human Resource Planning translates the organizations objectives into terms of the workers needed to meet these objectives.

Human Resource Planning of the Emirates Islamic Bank methodically forecasts its future demand for supply of employees. The principal responsibility of Human Resource Management of the Bank is to ensure that the Bank is having the right numbers, types and skill mixes of employees at an appropriate time and cost to meet present and future requirements. (These paragraphs also appeared earlier in the paper. You should delete or modify them).


Role analysis collects information relating to the people work, but essentially, it looks at the part that people play in carrying out their jobs rather than the tasks they carry out. In other words, it is concerned not so much with work content as with the broader aspects of behaviour expected of role holders in achieving the overall purpose of the role, for example, working with others, working flexibly, and the styles of management they use. In practice, the determination of the content of jobs and the role people play is carried out by similar analytical processes although the objectives of the analysis will be somewhat different.

Some people use the term 'role analysis to cover with the job content and behavioural aspects of the jobs. Others seem to use the terms interchangeably. But the distinction between what someone has to do and the part they play in doing it (the behavioural requirements) is worth making. (Should be deleted)


The role at this level manages a medium to small business unit with accountability for business results, customer service/ relationships and policy and procedural compliance. The role holders receive guidance and supervision on developing business plans and are expected to implement them within the relevant regulatory framework. A great deal of customer contact and internal interactions with support and control units are part of the role. The role holders are generally expected to have prior business experience in sale, relationship management or product marketing areas prior to moving into this role. Skills and competencies relating to business development and staff management are seen as essential. (See Appendix 1 Sample)


Performance Measures (Suggested)

Business Planning: Develop, define, and seek approval for business unit strategies, objectives, targets and budgets as a basis for individual performance planning.

Business Unit Performance:

Achieve business plan objectives and targets to deliver planned business results within acceptable levels of risk.

Sales/Relationship Management:

Implement agreed selling/ relationship management approaches in order to project the organizations image in the market and achieve targeted volumes/income.

Customer Service: Implement customer service standards in order to deliver consistent and superior service.

Compliance & Risk Control: Ensure compliance with the policies, procedures and regulations to protect the organizations interest.

Human Resources: Manage, motivate and coach the unit staff to ensure desired levels of productivity and competency.

Business plan approval

Budget approval

Performance plans

Business Unit results - Actual Vs planned

Quality of business booked

Provisions level

Initiatives implemented

Volumes/ Income - Actual Vs planned

Customer satisfaction levels

Mystery shopper results

QA reports

Audit report / rating

Business unit results achieved

Staff satisfaction level

(All of the above material in red color should be deleted).


Recruiting is defined as "activities or practices that define the desired characteristics of applicants for specific jobs (Understanding Management, 316). To address the requirement of the bank system, it has divided the competences into four major categories: they are skills, knowledge, education and experience but we have not stipulated any minimum requirements.

The recruitment process is including the insertion of advertisement in the newspaper. To explain, the bank uses three strategies for any position to be filled. First is internal advertisement, second is advertisement in the local newspaper and third is the agent.

In the process of the recruitment the CVs which received by the bank arrives to the HR and screened by the HR personnel. It comes through different process to reach the selection process (See Appendix 2).

The reason for going overseas for recruitment is also linked to the visa issues in the UAE. UAE is not a free labour market and to get release and transfer of visa from one sponsor to another is a cumbersome process. As the English newspapers have large reporting the Bank uses them for advertisement.


Selection is the process of determining the skills, abilities and other attributes a person needs to perform a particular job. (Human Resource Management-An Experiential Approach, 2003)

The HR team screens all the CVs and short listed CVs are sent to the Operation for second screening. Short-listing is not based on any pre-set guidelines. After final shortlist HR intimates the candidates the date of interview. Interviews are done along with the operations. Trade tests, Basic English test etc tools are used but there is no consistency. The bank does not have standard formats of trade tests or an English language proficiency test. For some candidates these tests are used and for others they are not. As well the bank do not use structured interviewing techniques or any other technique like behavior-based interview, or psychometric testing. One of the biggest areas of concern is that none of our managers including HR are trained for interviewing.

From the current recruitment and selection procedure it is very clear that these are definitely not assisting in achieving the strategic intent of the organization. However, it is the key reason for high turn over of the staff in Emirates Islamic Bank.


EBGs approach to employee development emphasizes in the developmental experiences of the bank, which are most effective when they are:

Focused on bridging specific competency gaps

Designed to offer challenging and stimulate learning

Owned by the concerned individual

Supported within an organizational setting

Followed-up with feedback and action planning

It is also important to view employee development as a process with a timeframe perspective (ranging from few months to few years) rather than as an event (e.g. attending a training course)

34% through hardships at work

27% through challenging assignments

22% through learning from others

17% through other events (including training courses)

Any well designed developmental plan should combine various developmental experiences in appropriate proportion as indicated for optimizing learning impact. EBGs employee development approach incorporates the aforesaid principles to ensure that investment in development pays-off returns to both the individuals and the organization.

Some of the questions that the bank uses to spur the employees to think about their own development are as under:

What can I aspire to accomplish in my career over the next 3-5 years?

What are my strengths that I wish to leverage for accomplishing my career goals?

What development needs have I identified that are critically important for accomplishing my career needs?

What development opportunities are available to me that can optimize my strength and address my development needs?

Who will provide me the development support and in what form?

All above are the guidelines that can assist in getting the best out of EBGs employee development programmes which is utilized at the bank to improve the employees.


Pest analysis is concerned with the environmental influences on a business. The acronym stands for the Political, Economic, Social, Technological, Environment and Legal issues that could affect the strategic development of a business. Identifying PESTEL influences is a useful way of summarizing the external environment in which a business operates.

To identify and understand the external and macro-environmental factors that could affect the start-up of the Emirates Islamic Bank, a PESTLE analysis of the various elements is given in table below:


Ban on visa for Asian expats - As major wok force for contract catering comes from Asian countries like India, Bangladesh. This has lead to high mobilization costs as we now have to get the work force from various Arab countries. This is expensive as compared to Asian work force.


Custom duty - 2- 5% increase in the prices of all the imported items has already put pressure on the costing of the contracts quotes and puts leads to very tight budgeting for salaries .

Increase in oil price - Recent increase in oil price (about 18% increases) has made an impact on the prices in general and there is increase in the prices due to increase in cost of transportation which too affects the labour costs in the tenders.


There is almost no impact to us due to social changes


There is almost no impact to us due to technological changes.


There is almost no impact to us due to environmental factors.


Change in labour laws - The new labour law permits only expats with at least high school graduation. This has led to a problem that we cannot get economical labour force, as the minimum wages expected with high school graduates are more than that of to non high school graduates.

Ban for six month - latest change in UAE labour law, which stipulates that the person who wants to change his job will be banned for, at least six months. This has made local market stand still. Due to this law we cant get labour from the local market.

The above PESTEL analysis demonstrates a favorable operating environment of Emirates Islamic Bank.


SWOT is shorthand for Strengths, Weaknesses, Opportunities and Threats. It is the first step in developing a strategy for the future. It was pointed out what needs to be done to maximize the strengths, minimize the weaknesses, take advantage of the opportunity and minimize or eliminate the threats. Strengths and Weaknesses are typically internal factors, whereas Opportunities and Threats are more typically external factors. All above factors are listed in the example SWOT analysis table below:


Highly qualified employees.

Good reputation.

Best Pricing: free for life and lowest interest rate.

Geographical reach: 11 branch in the UAE.

Innovative technology.

High levels of customer service.


Increase branches from 11 to 20 in 2006.

Growing tourism sector that attracts millions of new comers every year.

Ambitious life style of the population that reflects a significant shopping appetite.

Accessible technologies that facilitate product developments.

High population and economy growth rates of the UAE that directly affect the card market size and its purchasing power.


There is no written policy or procedure on recruitment or selection.

Limited number of approved list of companies against which banks in the UAE determine eligible customers.

High staff turnover.

Lack of understanding of the organizations mission.


Possible mergers and acquisition within banks.

New credit card entrants with competitive credit card pricing.

New countries emerging as popular and inexpensive tourist destinations such as India.

There are endless applications for the SWOT Analysis. It can be used to assess how well customer needs are being met and how to position yourself better. Business opportunities, marketing strategies, investments and career direction are all examples of applications for the SWOT Analysis.

As it is shown by SWOT, it is very clear that we have a major gap in the competencies of the existing HR personnel; they lack knowledge of HR function, coupled with non-availability of standard guidelines on recruitment and selection procedures it is very difficult for us to recruit right person.


Job analysis is a systematic process of gathering and interpreting information about the essential duties, tasks and responsibilities of a job. (Human Resource Management-An Experiential Approach, 2003)

The initial stages of the recruitment and selection process involve analyzing the job, preparing the job descriptions and identifying the personal qualities necessary to carry out the job effectively. These untimely stages are vital if the recruitment and selection has to be carried out effectively. It is often said that if you do not know what you are looking for you will never find it. Similarly there is no point in recruiting staff unless you know what you want them to do. The job and person need to be matched as precisely as possible.


Job description is a concise summary of the specific tasks and responsibilities of a particular job. (Human Resource Management-An Experiential Approach, 2003)

The Job Description of the Emirates Islamic Bank is summarized in the bellow points:

Unique and specific to a job within a Unit.

Focus on Job Content.

No Performance Measures identified.

No emphasis on competencies and skills.

Lengthy (2-4 pages) and not focused.

Unstable and rigid.

Cumbersome to maintain/control.

However the Role Description of the Emirates Islamic Bank is:

Generic and applies to the whole Group.

Focus on Accountabilities.

Spells out Performance Measures.

Emphasis on Competencies and Skills.

Concise (one page) but comprehensive.

Stable and flexible.

Simple to maintain/control.


As part of our commitment to offer career opportunities to EBG employees, we share with you below the possible career paths and role descriptions in each job family. These career paths have been developed after considering the competency-based synergies that exist between various job families. The career paths can help you to think about your career aspirations. EBGs Managements will give due consideration to your own wishes while planning the human resources requirements of the group. The decisions on deployment will however be based on the business needs and role-person competency fit. The table below shows points the element of the Career Paths and the Role Descriptions:

Business Cluster

Business Management

Relationship Management



Customer Service


Portfolio Management

Support Cluster

Professional Support

Business Support

Risk Management

Project Management

Back-up Cluster

Teller Services

Technical Support



Trainee Categories

Trainee Clerk

Trainee Supervisor

Trainee Officer

Management Trainee

Competency Summary of the Emirates Islamic Bank

Job Family: Business Management

Title: Business Unit Manager


Knowledge / Skills

Analytical Thinking (2/4)

Takes apart problems into pieces. Links together pieces with a single link: A leads to B. Filters out what is relevant from the irrelevant. Uses information to come up with solution or recommendation.

Business Orientation (2/5)

Demonstrates an understanding of products and services and matches these with customers needs.

Customer Service Orientation (2/5)

Follows through on customer inquiries, requests, complaints. Keeps customer up-to-date about progress. Distributes helpful information to customers. Makes self available to deal with customers problems or needs.

Impact and Influence (2/6)

Uses direct persuasion in discussion or presentation (e.g. appeals to reason, data, others self-interest; uses concrete examples, visual aids, demonstrations, etc).

Team Leadership (2/4)

Clarifies goals of team. Makes team members own their performance levels. Encourages team to promote new ideas. Wins respect and commitment by example. Builds on individual strengths and recognizes teams performance.

Achievement Orientation (2/5)

Makes specific changes in the system or in own work methods to improve performance (e.g., does something better, faster, at lower cost, more efficiently; improves quality, customers satisfaction, morale, revenues). Responds well to challenges set by others.

Market and Industry (1/2)

Understands the basic aspects of the market/ industry. Able to apply this understanding while performing the day-to-day activities.

Organization Policies (1/3)

Understands those aspects of policies which are relevant to the role and can apply them in day-to-day work.

Operational Procedures (2/3)

Acts as a point o technical reference on procedures and software systems in a particular area of work. Able to review and suggest improvements.

Oral Communication (2/3)

Conveys and explains operational or business information fluently and coherently in one-to-one and group situations. Makes simple and clear presentations (using OHP or Power Point) involving business information aimed at getting across a specific message.

Written communication (2/3)

Can structure and prepare non-routine business letters (e.g. circulars) and simple but non-standard proposals/reports in a clear and concise manner.

(The above topics should be deleted or modified to fit in with the main theme of the project)


I have recommended the following after reviewing the HR planning of the Bank including the recruitment and selection processes, PESTEL and SWOT:

Structured interviews should be used in the Bank with ensure that all the people involved in the interview have been trained for such activities.

The Bank should ask for at-least two references in the CVs and one of them should be from the last job done. This will ensure that we get most recent references rather then old and personal ones.

A clear termination policy to be adopted, including exit interview for the employees who leaves the company by resignation to know the reasons and identify the weaknesses in the company policy and operation.

Approximately 30% of manpower is encouraged to be recruited locally and the rest from outside the UAE. This eases the visa processes, is more cost effective and meets Governmental legislation.

The above recommendations make effective planning, recruitment, and selection process for the Bank.

Reasons to choose Emirates Islamic Bank for this project

The reason to choose Emirates Islamic Bank is due to its local base here, its diversified and

multicultural work force, rapid growth in the market, and its future expansion plans in todays competitive market.


The information which I have been through has given an overview of the Emirates Islamic Bank HR. Generally, the focused element while preparing this project are HR Planning, Recruitment and Selection process, SWOT and PESTEL.



H. John Bernardin, (2003), Human Resource Management-An Experiential Approach, Third Edition.

Lan Beard well and Len Holden, (1994), Human Resource Management-A contemporary Perspective.

Michael Armstrong, (2001), Human Resource Management-Practice, 8th Edition.

Karen Legge, Human Resource Management-Cahetorics and Realities, ISBN/0333-57245-3.

John Storey, Human Resource Management-A Critical Text.

John Bratton and Jeffrey Gold, Human Resource Management-Theory and Practice.

Mick Marchington and Adrian Wilkinson, Human Resource Management, ISBN/1-84398062-2.

Richard L. Daft and Dorothy Marcic, (2004), Understanding Management, Fourth Edition.



Suhail Bin Tarraff, Human Resources Manager of Emirates Islamic Bank.

Jamal Bin Ghalaita, Human Resources Chief Manager of Emirates Islamic Bank.


Role Description (Sample)

Job Family: Processing: Title : Processor

Role Summary: Role holder is primarily responsible for technical verification of instruments and / or supportive documents, data input, interpretation of procedures and processing of transactions as per procedures to ensure accurate execution. There may be a need to interface with internal or external parties in order to resolve queries. The role holder typically is required to process high transaction volumes accurately within stipulated service standards and turnaround time. The role requires specialist procedural knowledge related to processing of standardized transactions.


Performance Measures

Procedures Application: Apply up-to-date knowledge of all relevant procedures in order to process transactions as per laid down guidelines and norms.

Transactions Processing : Verify and/or process day-to day transactions in a timely, efficient and accurate manner in order to deliver service within stipulated turnaround period

Procedural Compliance: Process all transactions as per Banks procedures in order to deliver error-free result.

Customer Queries: Address internal and external customer queries in a timely, courteous and effective manner to ensure customer satisfaction.

Data Update: Update database regularly to ensure availability of latest data or information needed for accurate transaction processing.

Reports / Returns: Prepare appropriate reports and returns for timely submission to Management for verification and further action.

Accuracy levels

QA reports

Accuracy levels

Transaction turnaround time

QA reports

Accuracy levels

Timeliness of responses

Customer feedback

Information accuracy and currency



Competencies : Concern for Quality (2/5), Teamwork and Co-operation (2/4).

Knowledge and Skills : Banking Knowledge (1/3), Operational Procedures (1/3), Keyboard Skills (2/2).

Education and Experience : Secondary education with 4 years of stretching experience


Determine the need for a new hire, develop a job description, and schedule the recruiting planning meeting with the appropriate attendees, minimally, the Human Resources recruiter and the hiring manager. Other attendees can include successful co-workers; an indirect but interested manager; and internal customers of the position.

Using the job description, which may also be revised in this meeting, and your experience of other employees who have worked successfully in a similar position, determine the six to eight most important qualities, experiences, education, and characteristics that your successful candidate will possess? (You can list more, but you risk weakening your most important requirements if you list more than ten.) Your HR recruiter will use these characteristics to write the classified ad, post the job online, and screen the arriving resumes.

Now that you have the important requirements prioritized, determine where to advertise the position to develop the most exhaustive candidate pool, including asking for internal referrals.

Determine who will interview the potential employees. Plan the interview and follow-up process.

Decide upon the candidate screening questions for the HR recruiter and/or the hiring manager whoever will perform the telephone screens.

Assign interview topics and questions to the employees who will conduct the interviews. These questions should be behaviorally-based. You can also write scenarios, or brief role plays, and ask the candidates to tell you how they would solve a particular problem, resolve a common work situation, or improve a work process. Ideally, each interviewer will assess a different area of the potential employees qualifications: cultural fit, technical capabilities, experience, ability to communicate, interpersonal effectiveness, and so forth.

Decide if testing will assist you to select the best candidate for the job. As an example, you may want to give a writing test to a customer service candidate who will communicate with customers chiefly through email. (You need to make sure that every candidate for the position receives the same test at the same point in the selection process; generally test only your finalists.)

Identify the appropriate questions for the candidate post-interview assessment by each interviewer. In addition to several generic questions, these should comprise a checklist that closely mirrors the characteristics you have determined are most important in the person you hire.