An Empirical Analysis

on
Southeast Bank Online Banking Service
LETTER OF TRANSMITTAL

08th December , 2014

Shiblu
Lecturer
Jagannath University
Dhaka

Subject: Submission of internship report on “An Empirical Analysis on Southeast Bank Online
Banking Service”.

Dear Sir,

I am feeling happy to submit internship report on “An Empirical Analysis on Southeast Bank
Online Banking Service”. This report helped me to get a very good and proper understanding about
the online banking service of Southeast Bank Ltd. To prepare this report, I have given my best
effort despite some limitation.

I shall be highly encouraged if you are kind enough to receive this report. If you have any further
enquiry concerning any additional information I would be very pleased to clarify that. Thank You.

Sincerely yours,

………………………….
Rony Shaha
 Student’s Declaration

I, Rony Shaha, declare that, the internship report named “An Empirical Analysis on Southeast
Bank Online Banking Service” is prepared by me, after completion of three month of internship
at “Southeast Bank Limited” as a part of my BBA program. It is my report and pursued under the
supervision of Kawser Ahmed Shiblu, Assistant Professor, Department of Finance, Jagannath
University.

I further affirm that the work reported in this report is original and no misinformation has been
submitted to anywhere for any purpose.

Sincerely Yours,

–––––––––––––––––

Rony Shaha

ID:

Program: EMBA

Jagannath University
 Letter of Authorization

This is to clarify that this report on the topic “An Empirical Analysis on Southeast Bank Online
Banking Service” has been prepared by Rony Shaha, ID: M1813020339 from Jagannath
University and which has only been prepared for the partial fulfillment for the degree of EMBA
The report has been prepared under my guidance and supervision. This report supports the topic
title and fulfills the entire requirements. I instructed her to prepare. Here by, I accept the report as
the successful completion of the internship program. During the program she was sincere and
attentive to her work and I wish her every success in life.

––––––––––––––––––––––
Kawser Ahmed Shiblu,FMVA
Assistant Professor
Department of Finance
Jagannath University
ACKNOWLEDGEMENT

Though the internship program has to be done individually in a sense of completion of the
credit hour but it is quite impossible to do alone without the sincere and outmost cooperation
of some individuals. It is a very great and unique pleasure to me that I have got a chance to
thank some individuals for their help and encouragement to make the internship successful.
First of all I would like to express my sincere & immense gratitude to my internship
supervisor Kawser Ahmed Shiblu, Assistant Professor of Department of Finance, Jagannath
University. I am deeply indebted to his whole hearted supervision to me during the Internship
Period. His
valuable suggestion & guideline helped me a lot to prepare the report in a well-organized manner.

I would also like to thank the authority of Southeast bank Limited for giving me the opportunity
to do my internship in their well renowned bank. The experience & knowledge gained in
Southeast Bank Limited helped me to understand different elements related to my study. I would
like to give thanks to:

Mr. Habibur Rahman, Head of Branch (Southeast Bank Ltd. Narayanganj Branch)
Mr. Sakil Ahmed, Head of Operation (Southeast Bank Ltd. Narayanganj Branch)
Mr. Roichul Islam, Head of Credit Department (Southeast Bank Ltd. Narayanganj Branch)
Mr. Tariqul Islam, Senior Executive (Southeast Bank Ltd. Narayanganj Branch)
Mr. SM Golam Faiyaz, Jr. Officer & Online Banking Specialist (Southeast Bank Ltd.
Narayanganj Branch)
Ms. Mousumi Sabnam, M.T.O & Temenos Expert (Southeast Bank Ltd. Narayanganj
Branch)
EXECUTIVE SUMMARY

Online Banking is the new method of banking using the new technologies available in the
world today. Instead of travelling to a local branch of your bank, the Internet allows
customers to do a wide variety of useful things with their accounts. Southeast Bank Limited is
one the pioneer bank who introduced online banking service in Bangladesh at the very
beginning.

This report contains study on Southeast Bank’s online banking service. First part of the study
contains information about online banking service of Southeast Bank Limited. Southeast Bank
Limited started providing these electronic services as Internet Banking providing to a significant
numbers of accounts. Moreover they are now capable to provide “faster access” to many
corporate customers. Second part of the study contains the evaluation of Southeast Bank Limited
Online Banking according to survey conducted over online banking customers of Southeast Bank
Limited. This approach is to find out how well Southeast Bank’s online service is performing in
the market.
 Chapter 1
Overview of Southeast Bank
Background:
Southeast Bank Limited (SBL), “A Bank with Vision”, developed in the Commercial Banking
Industry of Bangladesh in 1995. It was joined on March 12, 1995 as a open restricted organization
agreeing to the Companies Act 1994. The commencement of its banking operations happened on
May 25, 1995 by the Principal Branch found at 1, Dilkusha Commercial Region, Dhaka. The
inception of SEBL is the outcome of a successful group of prominent and non-resident
Bangladeshi investors whose vision was to contribute to the country’s economy through
commercial banking. Southeast Bank Limited started its administrations with the inaugural by
Chairman Mr. Mohammad Abul Kashem, Vice Chairman Mr. Ragib Ali and the previous
President and Overseeing Chief Mr. Shah Mohammad Nurul Alam. In 1995, the Bank utilized to
supply administrations to its clients through only five branches situated in distinctive key areas
and has expanded its total number of branches to 19 by 2002. The number of workers in 2003
stood over 600. Bangladesh Established of Bank Administration (BIBM) and other preparing
establishing are giving standard preparing and introduction courses to overhaul the abilities and
information of the officers and staffs of the Bank. Although the Bank is considered as the 2nd
generation bank, it has begun fierce competition with its other contemporary banks. Southeast
Bank Limited was licensed as a scheduled bank. It is engaged in pure commercial banking and
providing services to all types of customers ranging from small entrepreneurs to the large business
organizations. It is working for the economic welfare by transferring funds from the surplus
economic unit to the deficit economic unit. The Southeast Bank received its Banking Permit from
the Bangladesh Bank on March 23, 1995. The Bank’s First department was opened by Late M.
Saifur Rahman, the then Respectable Finance Minister of the Government of the People’s Republic
of Bangladesh as the Chief Visitor at the commercial hub of the nation at 1, Dilkusha Commercial
Region, Dhaka on May 25, 1995. The occupant Chairman of the Bank is Mr. Alamgir Kabir, FCA.
Mr. M. A. Kashem a part of the Board and Mr. Yussuf Abdullah Harun were past Presidents of
the Alliance of Bangladesh Chamber of Commerce and Industries. At present, 18.14% of SEBL's
employees are women that will rise to 45% over the next five years.
Mission:

 High quality financial services with state of the art technology.

 Fast customer service.
 Sustainable growth strategy.
 High Ethical standards in business.
 Steady return on shareholders’ equity.
 Innovative banking at a competitive price.
 Attraction and retention of quality human resource.
 Commitment to Corporate Social Responsibility.

Vision:
‘To be a premier banking institution in Bangladesh and contribute significantly to the national
economy’.

Core Values:
 Integrity  Commitment
 Respect
 Service Excellence
 Fairness
 Insight Spirit
 Harmony  Enthusiasm for work
 Team Spirit  Business Ethics
 Courtesy

Core strengths:

 Transparent and Quick Decision Making  Satisfied Customers

 Efficient Team of Performers  Skilled Risk management
 Internal Control and compliance  Diversification
Core Competencies
 Knowledge
 Experience and Expertise
 Customer Focus
 Transparency
 Determination
 Zeal for improvement
 Reliability
 Pursuit of disciplined growth and strategy

Core Commitments
It is customer focused modem banking institution in Bangladesh. Our business motives center on
the emerging needs of the market our commitments to the clients re the following:

 Provide service with high degree of professionalism and use of modern technology.
 Create life-long relationship based on mutual trust and respect.
 Response to customer needs with quickness and accuracy. 󲐀 Sharing their values and beliefs
 Grow as our customers grow.
 Provide products and services at Competitive pricing
 Ensure Safety and security of customers' valuables in Crust with us.

Corporate Culture

Southeast Bank is one of the most disciplined Banks with a distinctive corporate culture. The
people of bank can see and understand events, activities, objects and situation in a distinctive way.
They mould their manners and etiquette, character individually to suit the purpose of the Bank and
the needs of the customers who are of paramount importance to them The people in the Bank see
themselves as a tight knit team/family that believes in working together for growth. The corporate
culture they belong has not been imposed; it has rather been achieved through their corporate
culture.
 Chapter 2

My overall experiences as an internee in

Southeast Bank
Working in Southeast Bank Limited Narayangang Branch as an intern was the very first
opportunity for me to acquire practical knowledge about banking sector. I worked in under the
supervision of Mr. Sakil Ahmed, Head of Operation of the bank along with Mr. SM Golam Faiyaz,
Jr. Officer. I worked in almost every division by rotation. It was a tremendous journey for me to
go through the actual experience of banking sector. Real world is far away different from the
theoretical knowledge. Especially in service sector there are both encouraging and off-putting
things to experience every day. As an intern of Southeast Bank Limited Narayanganj Branch I had
experienced of so many new things. I came to know actual works of bankers and observed how
the works are being done accordingly to serve the customer properly.

My Experience in Foreign Trade:

At first I was assigned to Foreign Exchange Department. Under direct supervision of Mr. SM
Golam Faiyaz who is a Jr. Officer in Narayanganj Branch. I had worked in L/C wing. My main
job was to update the manual register where the details of L/C are being kept. So the list of works
that I have done in foreign trade is -

 L/C Data input in the data base of Southeast Bank Limited.

 Preparing database
 Balancing of different registers, such as Back-to-Back L/C register.
 Registering data into different registers, e.g. Back-to-Back L/C register, EXP register,
 Acceptance Register etc.
 Organizing files for L/C
 Completing the L/C form by filling them up properly

My Experience in General Banking:

As I was the only intern in Narayanganj Branch of Southeast Bank Limited at that time as a result
I got a chance to work in general banking too for a month. Working in general banking was
different and spontaneous experience. As in general banking sector I had to deal with the customers
directly. The main job in general banking was to collect the cheque and helping the customers to
fill up their account opening form. Some other works were also done by me. The list jobs that I
have done in general banking are given below:
  Collecting cheque from the customers
 Helping customer in filling their forms
 Briefing the customers about different Deposit Scheme of SEBL
 Writing Inward register
 Issuing cheque books
 Making phone calls to clients to acknowledge them about the arrival of their cheque
 books
 Registering the cheque requisition

My Experience in Card Division:

I was also working in card division of Southeast Bank Limited Narayanganj Branch. My
responsibilities while working in card division were as follow:
Inputting data in Card Register
Sorting collected cards from Alternative Delivery Channel (ADC)
Maintaining Card pin and acknowledgement slips
Delivering cards to the customers

Some Significant Observation about Southeast Bank Ltd. (Narayanganj Branch):

Southeast Bank Ltd (Narayanganj Branch) should be evaluated for a better working place due to
its environment and employees. During my three months internship program I really enjoyed a
healthy and warm atmosphere there. But still there are some shortcomings too.
Like there is only one Management trainee for the entire branch who does the cheque
clearing process. Sometimes due to excessive pressure of clients it just becomes burden for
him. And the customers have to wait for a long time. Also there is there are shortage of officers in
customer service desk. As a result the customers are sometimes being made to wait for a while and
some customer become impatient. The crisis of ample space is a creating trouble for the employee
as a result they sometimes lag behind in providing better service. Moreover movement of common
people in foreign trade department is no restricted. As a result sometimes people gather in that
department unnecessarily which hinders the productivity of the employees.
A Few Suggestions to Overcome Those Short Comings:
To become hundred percent perfect is not possible. Due to changing trend and demand there will
be always some shortcomings. Still the organization always strives to provide excellent service
in order to achieve complete satisfaction of customer. Some initiatives that can be taken by
SEBL for better quality service are given below:

Increasing the number of employees in customer service desk

Increasing space for general banking

Restrict entry of common people in foreign trade department

Increase the number of cheque clearing cubicle

Periodically organizing training for the employees to enhance technical knowledge and
perform in a better way.
 Chapter 3
Southeast Bank Online Baking Service
Summary of the Project:

Banks are very old form of financial institution that channel excess funds from surplus unit to
deficit unit in consideration of a price called Interest. Banking business definitely established on a
relationship of Debtor-Creditor between the surplus unit called depositors and the bank and
between the deficit unit called borrowers and the bank. Economic development of a country
requires a well-organized, smooth, easy to reach and efficient saving-investment process. The
banking sector of Bangladesh compared to its economic size is moderately bigger than many other
economies of equal level of development and per capita income. There are forty-seven commercial
banks operating in this small economy. Although over the last thirty years, the country achieved
noticeable success regarding the access to banking services, in 1972 population per branch was
57,700 and in the year of 2013, it was 11,162 per branch. The statistics indicates that getting
banking services is not a significant problem for the country. Being the central bank of the country,
Bangladesh Bank is responsible to regulate, monitor and supervise all the banks operating in the
country. This particular report provides an overview of online banking service and evaluation of
online banking service in context of Southeast Bank Ltd. So here I have worked on overall
activities of Southeast Bank’s online banking service which is generally known as Ultimus.

3.2 Origin of the Project:

As a prerequisite for the Bachelor of Business Administration Degree of BRAC University, I was
required to complete Internship in a suitable researching area and submit a report on findings. I
have chosen Southeast Bank to explore my knowledge. Without practical exposure, theory can
never be fruitful. For this reason, BBS program has been designed in such a way that a student can
get practical knowledge. I‟m instructed to prepare the report under the consul of my respective
project instructor Saif Hossain on 15th May 2014 and the last date of submission is on 25th June
2014.

3.3 Objective of the Project:

A careful statement and purpose help in the preparation of a well decorated report on which others
can take the right type of decisions. The major objective of this study is to gain
practical exposures about the online banking mechanism and evaluate the performance level of
Southeast Bank Limited’s online banking service. The specific objectives of the study may be
spelled out as follows –

 To get an overall view of the Southeast Bank Ltd. and its general banking activities
 To analyze the online banking mechanism and reporting system
 Conduct a research on the online banking customers‟ feedback to make a descriptive
Analysis over the online banking service and its acceptability.
 Interpret the outcomes to expose the performance level of the online banking system
And find out the problems to provide recommendations on how to improve

3.4 Methodology of the Project:

This report is investigative in nature. The study has been performed based on the information
extracted from different sources and organized by using a specific methodology.

3.4.1 Collection of data

Primary sources of data:

 Face-to-Face conversation and shared experience with the respective officers.

 Questionnaire based survey over online banking customers of Southeast Bank Limited.
 Secondary sources of data:
 Annual Report 2013 of Southeast Bank Ltd.
 Bangladesh Bank publications
 Official websites of Southeast Bank Ltd.
 Official websites of Bangladesh Bank and Southeast Bank Ltd.
 Other websites such as Wikipedia, Investopedia etc.
 Related books, journals, and articles

3.4.2 Organization of data

The collected data was compiled in the following steps-

 In the first step, the data from the conversation and experience with the respective
Officers, along with the downloaded information available on the internet and other
Publications, was organized to create a theoretical platform.
  Questionnaire based survey conducted over online banking customers of Southeast Bank
Limited.
 Drafts of the report parts were prepared and mistakes were corrected through
Modification after consulting with the respective supervisor.
 Finally, both the soft copy and the hard copy of the report were submitted.

3.5 Limitation of the Project:

 It was not possible to cover adequate sample size for the survey even after visiting
Several branches of Southeast Bank Ltd.
 Limited accessibility and permission for revealing of some data due to confidentiality.
 Less availability of concrete data regarding the banking procedure.
 Long times to collect the required data from survey as the respondents were busy.
 The sampling method may have omitted many respondents from selection, who could
Have provided better feedback.
 Inadequate time to prepare an expert level research report.

3.6 Scope of the Project:

While preparing this report I had an opportunity to gain deep knowledge about the banking
mechanism, especially in online banking service. I have also come through many different
personalities, who shared their experiences, while conducting the research. The report has also
given the readers the opportunity to learn about the general banking procedures and online banking
mechanism, the related regulations, and the obligations. The research that this report has covered
would give the central bank the necessary feedback information regarding their new online
reporting system, which would help them figure out the problems of the new system for further
upgrading. The commercial banks can also gain from the information by learning about their
officials‟ troubles regarding the online reporting system so that they can come up with a solution
to help their employees be more comfortable and more efficient by making their work easier.
3.7 Southeast Bank Limited Online Banking Service

Online Banking (or Internet banking or E-banking) is defined as “the use of technology to
communicate instructions and receive information from a financial institution where an account is
held. This service includes the system that enables financial institution customers, individuals or
obtain information on financial products and services through a public or private network.

E-banking is now a global phenomenon. It is an invaluable and powerful tool driving development,
supporting growth, promoting innovation and enhancing competitiveness.
The evolution of banking technology has been driven by changes in distribution channels as
evidenced by automated teller machine (ATM), Phone-banking, Tele-banking, PC-banking and
most recently internet banking. From the date of inception SEBL has always been moving with the
latest technology and time to time the bank has adopted different advantages of the technology
which has enriched its IT infrastructure. Technological development of the bank tremendously
increased its customer service as well as trust worthiness of the stakeholders towards the bank.
Now SEBL is the pioneer in providing multi-dimensional banking products and services with latest
international standard technologies. The bank is dedicated towards its customer satisfaction with
help of the technological advantages.
Now, the IT Division is well equipped not only with technology, but also with a dedicated
professional workforce which has been built-up for support as well as development of new satellite
application. Southeast Bank Limited started providing electronic services as Internet Banking in
early January 2011. Till now, the bank is providing this service to over 13,000 numbers of
accounts. Moreover, in January 2011, the bank introduced Corporate Internet banking for
corporate customers. Southeast Bank Limited’s web is largely informational, providing
commercial and noncommercial information about the bank. It can provide insight into the
background of the company, partners, and policies. Another important content is the
product/service description, including price, specifications, photographs, etc. Information
provided in the website of Southeast Bank Limited:

 General company information

 Product/services information
 Price information
 Automatic Teller Machines (ATM) and branch information
 Financial Reports
 Schedule of Charges
 Interest Rates
 Exchange Rates
 Latest News about Southeast Bank Limited etc.

3.10 ATM Booth

As at end December 2018, Southeast Bank Limited had only 175 ATMs. But in 2019, the bank
installed 17 new ATMs country wide. Now the bank has 185 ATMs in operation & these are
located in the busy and preferred locations across the country. As per bank’s approved expansion
plan, Southeast Bank Limited shall install another 50 ATMs in upcoming year..

3.11 SMS Banking

Now a day Mobile Phones are the easiest channels by which customers can reach the bank to
access their account 24 x 7. So, SEBL introduced SMS Service in July 2010. With this service, a
customer can enjoy the following:
  Verify payment, receive status anywhere;
 Get alert automatically on an individual basis when loan installment falls due and
Becomes overdue;
 Save time & cost as this will minimize their visit to their respective branches for
Simple queries.

3.12 Financial Inclusion: Mobile Banking Services – TeleCash

The Bank is providing Mobile Financial Services (MFS) to its customers under the brand name of
TeleCash. TeleCash is providing Utility Bills (i.e. DESCO, DPDC, Dhaka WASA, BGDCL,
KGDCL, Rajshahi WASA, Chapainawabganj Pouro Water Bills and Pabna Cable Vision) and
Tuition Fees Collection Services other than traditional Cash-in, Cash-out and Fund Transfer
services. TeleCash service is available in around 10,000 agent points at 278 Thana out of 595.
TeleCash has recently launched cash collection service in favor of corporate clients by using its
distribution channel network. PRAN Group and Meghna Life Insurance Company Limited are
now availing the service. National Life Insurance Company Limited and International Beverages
Private Limited (Coca Cola) are in the pipeline for availing the service. It has already started a
pilot project for micro-credit disbursement and repayment through Mobile Financial Service
(MFS) in favor of Micro Finance Institutions (MFI) under the supervision of Palli Karma Sahayak
Foundation (PKSF). TeleCash has initiated a project to facilitate the customers to recharge their
prepaid smart utility (especially DESCO and DPDC) meters. It has also taken a development task
for integration with the Core Banking System (CBS) of the Bank to link between mWallet account
and general banking account of the customers. TeleCash is working with the objective to introduce
innovative product/service in the market as well as to achieve customer satisfaction by ensuring
instant and secured transaction.
3.13 Internet Banking (General & Corporate)

Southeast Bank Limited started providing these online services as Internet Banking in early
January 2011 till now, the bank is providing this service to over 100000 numbers of
accounts. Moreover, in January 2015, the bank introduced Corporate Internet Banking for
corporate customers.

Ultimus – General Internet Banking

IT development team successfully replaced the Temenos Internet Banking module with its Self-
developed Internet Banking software “Ultimus‟, which has enabled the bank to serve its customers
with various real-time online banking services without requiring them to come to the bank. Now
the customers can access the internet banking application using any browser from their Desktop
PC, Laptop and any handheld devices like Mobile Phone, PDA, and Tablet etc. Using Ultimus,
customers will get the following services. A fee of take 200 with 15% VAT shall be charged
annually as Account maintenance fee. In addition to that the management has right to modify
charges any time and customers will be informed through Ultimus websites about the changes
immediately.
Facilities that offered through Ultimus are noted down below:

Balance enquiry

Customer can know about their present balance of account through online banking service.
Customers are provided with an Id and specific password is allocated to each account .Then
by logging in through these account customers can know about their balance. So in short it
can be said that customers can link their bank accounts, loans and deposits Schemes to a
singular user Id.

View FDR and deposit scheme information With the help of Southeast Bank limited websites
customers can easily know about the detail information of different deposits schemes and FDR.
View loan information

Bank’s website also contains loan features of SEBL. Through website customer can know about
the lending offerings of Southeast Bank Limited.

Transaction search

Transaction made by customers in different times can be checked out through online service.
Statement download

Rather going to bank now customers can view and download transaction A/C, FDR and
scheme statement through online service. Thus it will save time, money and energy of people.
Real-time fund transfer within SEBL

With the help of online banking service customer can transfer funds to any Southeast bank
account in real time. In addition to that customer can transfer fund to their continuous loan
account through online service and can avoid the crowd and hassle of going bank.
Real-time utility bill payments

Southeast Bank limited utility bill pay services enables the customers to pay postpaid cell phone
bills easily. Customers can get this service at Southeast Bank ATM booths or information kiosks
round the clock. Southeast Bank ATM/Master Debit Card holders are eligible to enjoy these
services.
The lists of services are given bellow:

 Grameen post-paid cell phone bills only

 Robi post-paid cell phone bills only
 Banglalink post-paid cell phone bills only
 Airtel post-paid cell phone bills only

Utility bills pay service provides 24/7 support and has the following features:

 Card holder can make payments any time at any Southeast Bank ATM booth
 Customers will receive auto generated advice slips after the bills are paid
 The customer will need ATM card and pin code to access the facility and the
 procedure is absolutely secured

Charges and Fees:

All these services are provided free of charge.
Credit Card Bill Payments:
Southeast bank has both Credit card and Debit card through which customers can pay bills

Fund Transfer to Any Bank, Any Branch (through BEFTN):

Bangladesh Electronic Fund Transfer Network (BEFTN) is the central clearing facility,
monitored and regulated by Bangladesh Bank that receives entries from Originating Bank,
distributes the entries to appropriate Receiving Bank and facilitates the settlement functions
for the participating banking institutions. Though the operation of BEFTN started from
February 2011, it was not in a full operation because of infrastructure limitations in banking
sector though SEBL was ready to start EFT Transaction from the day of inauguration. SEBL has
been operating full-fledged transactions both Outward and Inward EFT. After
implementation of the BFTN service the customers are eligible to receive or send the
remittance at any branch of any bank of the country. The bank has started to remit foreign
remittances received by us to the Beneficiaries Accounts maintained with other banks
through BEFTN. Within a short span of the bank has got a remarkable positive response from
its retail and corporate customers regarding the BEFTN service. It has also reduced the
remittance transfer cost to “Zero” level.
Security Features of ULTIMUS
Security is one of the greatest concerns for online banking services. Systems should be
developed in such a way so that the confidentiality of customer can be strictly maintained.
Along with that secured online transaction is a must achieve customer satisfaction. Some
features of security issues of Ultimus are given below:

The web address of Ultimus is: https://ibanking.southeastbank.com.bd Ultimus websites is

“http” enabled which means that the communication between client device and
Ultimus server takes place over an encrypted as well as secured channel.

Ultimus website is verified by Verisign with „Verisign Class 3 Extended Validation

SSL Certificate‟. Verisign certificate is the world‟s most renowned Certificate
Authority (CA) for issuing SSL certificates
.
Two –factor authentication (2FA) is an approach to authentication which requires the
presentation of two or more of the three authentication factors. “Something the use
knows”, “Something the user has” and “Something the user is”. Ultimus has the Two
Factor Authentication (2FA) to authorize an internet banking user to perform
transaction. A user will need Internet Banking logging ID and Password (Factor 1:
Something user know) to log in to application .When user wants to do a fund transfer,
a temporary secret code is sent to user mail inbox (Factor 2: Something the user has),
this code must be correctly given by the user to execute the fund transfer.
Once a customer logs in to the Ultimus, if s/he stays idle for more 5 minutes her/his
session will be expire automatically and s/he will have to re-log in to Ultimus to
access own account.
If any customer Information of Ultimus is to be changed, only user himself can place
the request through Ultimus. Branch has the authority to authorize the request only.

Branch itself cannot make or initiate any changes of customers account. Moreover
each activity of the Ultimus user is logged by Ultimus for audit trail.
Chapter 4

ANALYSIS
There are basically two parts of the study. The first part of the study will shed light on Southeast
Bank Limited Online Banking service. Second Part of the study aims at evaluating the performance
level of Southeast Bank Internet Banking Service (Ultimus) and providing necessary suggestions
to the shortcomings & loopholes. A survey was conducted over forty online banking customers of
Southeast Bank Limited to figure out the performance level of internet banking service. Due to
certain limitation respondents are selected randomly only from Narayanganj Branch. So the sample
size is forty. Statistical analysis and graphs are prepared in Microsoft Office Excel.

1. To what extent do you think online banking service is important to boost bank’s
performance?
Interpretation:

The above Table 01 represents about how the customers of Southeast Bank Ltd. are evaluating
importance of online banking services in order to excel bank’s performance. Among forty
respondents thirty two are considering online services as the most significant for the
organization. Only eight respondents are considering it as an important component for the
bank. So according to graph 80% respondents considering online banking “Most significant”
and 20% weight was put on Important.

2. How do you evaluate Southeast bank’s internet banking website access speed?
Interpretation:
The above Table 02 represents the satisfaction level of customers regarding Southeast Bank’s
website access speed. Respondents put 27.5% weight on “Highly satisfactory”, 30% weight on
“Excellent”, 35% weight on “Satisfactory” and 7.5% weight on “Neutral”.

3. How often do you complain about Southeast Bank online banking service?

Interpretation:
The above Table 03 mentioned about the frequency of complaining to the bank about online
banking service. Southeast Bank Limited. As shown in graph among all respondents 20% complain
often, 2.5% complain very often and 77.5% do not usually complain about online banking service
to the Southeast Bank Ltd.
 4. How frequently bank gives response when you complain about online banking
services?

Interpretation:
Here the Table 04 shows us the how promptly Southeast Bank response to their customer while
they make any complain about banks‟ online banking services. Though time requires solving any
problem regarding online banking varies on the type of problem. Still among forty respondents
57.5% respondents got response from their bank within 24 hours, 27.5% got response within 36
hours and 15% got response from their bank within 48 hours while they complained to the
Southeast Bank Limited
 5. How often do you visit bank’s official website?

Interpretation:
This Table 05 describes about the time span of visiting banks‟ official website by the customers
of Southeast Bank Limited. According to graph among the respondents 25% visit
bank’s website every week, 27.5% visit website every month and 47.5% do it as per requirement.
 6. What kind of progress do you think online banking service has brought in banking
service?

Interpretation:
The above Table 06 shows about the progress of the banking service due to online banking system.
Southeast Bank Limited is successfully operating their online banking service through enhanced
IT infrastructure. So they are considering that online banking brought significant changes for
banking services. So according to graph 50% respondents go for “Significant progress” 40% go
for “Noticeable progress” and 10% remain “Neutral” in order to defined progress due to online
banking system.
 7. Are bank executives specially trained up to adjust with the online banking service?

Interpretation:
In order to adjust with the online banking system the bank needs to provide its employees
special training. So the above Table 07 tells us about the skill level of Southeast Bank Limited
employees. Southeast Bank Limited informed that, training session to cope with online banking
service is arranged periodically. So according to graph 67.5% respondents stated employees
from Southeast Bank Limited are skilled in online banking service, 22.5% showed negative
impression regarding this and 10% remained neutral.
 8. Do you think bank needs to increase its promotional activities to attract more
customers for online banking service?

Interpretation:
The above table 08 represents about requirement of promotional activities to attract more
potential online banking customers. Since Southeast Bank Narayanganj Branch is located in
isolated
area from massive customers the authority strongly agreed with the fact that promotional
activities for internet banking should be increased to attract more customer. So as showed in
graph the respondents put 30% weight on “Agree”, 55% on “Strongly Agree” and 15%
weight on “Neutral”.
 9. Did adoption of online banking service require enhanced IT knowledge?

Interpretation:
The above Table 09 tells that whether enhanced IT knowledge is required to get involved in
Southeast Bank online banking service. Southeast Bank Limited made its online banking system
as
easy to understand as possible. The graph shows among all respondents 47.5% agree that
enhanced IT knowledge is required to perform Southeast Bank online banking, 30% disagree
with that and 22.5% remained neutral.
 10. Is Southeast Bank online banking service fully working in your portable devices?

Interpretation:
Southeast Bank online banking service is fully working in any laptop, smart phone, tablet and
internet enabled mobile though some unstable mobile operating system are not working with
Southeast Bank online banking for security reason. Among all respondent 77.5% are able to use
online banking in their portable devices, 20% are unable to use and 2.5% remained neutral
since they never tried performing online banking in portable devices.
 11. Do you think Southeast Bank has user friendly user interface for online banking
service?

Interpretation:
Southeast Bank IT department tried their level best to keep online banking user interface as
simple as possible and user friendly. Survey revealed the fact that, 15% respondents think
Southeast Bank online banking user interface is complicated, 25% remained neutral, 35% agree
that its user interface is user friendly and 25% strongly agree with the same statement.
 12. Do you think Southeast Bank online banking service is provided at reduced cost?

Interpretation:
This Table 12 depicts the cost effectiveness of online banking service to the customers. So
according to graph 32.5% respondents go for “To some extent”, 47.5% put weight on “Cost
effective” 7.5% put weight on “Highly cost effective” and 12.3% remained “Neutral”.
 13. Do you think online banking service provides the better control over banking
activities?

Interpretation:
This Table 13 represents how Southeast Bank’s customers are evaluating online banking system
and whether it can help them to get better control over banking activities. So according to
graph prepared from conducted survey 60% respondents put weight on “Strongly agree,
32.5% put weight on “Agree” and 7.5% remained “Neutral”.
Chapter 5
Findings
Southeast Bank is one of the very first commercial banks who introduced online banking
services. From the beginning they are striving to provide with better quality service. Based on
four factors described below Southeast Bank’s Online Banking services are being evaluated.

Cost/Price factors:
Price is a major factor that influences consumer adoption of any product. Southeast Bank Limited
is charging very minimum amount for online services. Southeast Bank Limited charges only TK
500 annually whereas other banks charge more than TK 500 annually. For utility bills pay
service Southeast Bank Limited are not charging anything from their customer. Whereas other
banks charge from their customer for bills pay service.

Customer interest to change:

Southeast Bank Limited receive customer who shows interest for internet banking service every
day. The bank is providing this service to over 13,000 numbers of accounts. So the customer
base is pretty strong in Southeast Bank Limited

Customer Service Quality:

Southeast Bank Limited always tries to provide the better quality service. Even when the
customers leave any complain about online services they try to respond within 24 hours.

Security Concern:
Security is one of the very important factors in determining the decision of consumers to use
internet banking service. Southeast Bank Limited is fully concerned about the security factor and
they upgrade their system regularly. They have two factor authentication systems and their
Ultimus website is verified by Verisign with „Verisign Class 3 Extended Validation SSL
Certificate‟. Verisign certificate is the world’s most renowned Certificate Authority (CA) for
issuing SSL certificates.
 Chapter 06
Recommendation and conclusion
6.1 Recommendation
Though Southeast Bank’s online Banking Service is satisfactory while comparing with the other
three banks. But to cope up with the competition and keep them ready with the changing
trend they should always keep upgrading their online services. Some proposals for improving
their Online Services:
 Increasing the number of ATM booth
 Heavy marketing and promotional campaign should be conducted to popularize the
 internet banking service
 In order to improve the level of customer service satisfaction is should give more
emphasize on processing the task within promised time and give personal attention to each
customer
 Increase number of online services for corporate clients
 Improve the website access quality
 Increase number of online services for non-resident Bangladeshi

6.2 Conclusion
Due to technological advancement online banking is getting more popularity than traditional
banking. With online banking, customer won‟t ever have to worry about full access to their
account. They will have quick and easy twenty-four hour access from anywhere in the world.
The online bank won‟t ever be closed for a holiday. Being a leading private commercial bank
of Bangladesh, Southeast Bank Limited is also serving promising online banking service to its
customers. Customers‟ interest for online banking service is satisfactory. The charges for
online banking service are also very reasonable.
Southeast Bank Limited is being operated with the world famous core banking software
Temenos. Bank has made an agreement with the Temenos to upgrade the core banking
software from version R06 to R10. In a nutshell, online banking service of Southeast Bank
Limited is playing a crucial role to accelerate its banking activities. It enables to customer to
enjoy top class online services
Reference
Southeast Bank Limited Annual Report 2018
http:// www.southeastbank.com.bd
www.wikipedia.com
www.investopedia.com
Southeast Bank journals
Bangladesh Bank publications