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Chapter 1:Introduction
Human Resource Management is the process of developing , applying and evaluating policies ,

procedures, methods and programs relating to the individual in the organization . Human resource

management includes Human Resource Planning , recruiting , selection , training and development,

compensation , performance management and employee development. Effective human resource

practices relate to company performance by contributing to employee and customer satisfaction ,

innovation , productivity , and development of a favorable reputation of the firm in the industry.
1.1 Objective:

The thesis has been undertaken to assess the Strategic Human Resource Management practices of

Standard Chartered Bank with the prime focus at formulation of strategies and tactics and how it

contributes in implementing the strategies.

1.2 Methodology:

The information related to the project has been collected from the Standard Chartered Bank , Islamabad

Branch . The methodology adopted is as follows:

 C o l l e c t i o n o f
d a t a b y c o n d u c t i n g
i n t e r v i e w s o f
o f f i c i a l s o f t h e
Bank
1

 F r e q u e n t v i s i t s

 I n t e r n e t S e a r c h

 S t u d y o f B a n k ’ s

a n n u a l r e p o r t s
A comprehensive study of the literature has been carried out the see the factors
that help in achieving a competitive
advantage in a dynamic banking
environment.
1.3 Scope of Study:

As we know services are a growing industry of Pakistan and many firms are striving to deliver value

added services to the customers. In this regard banks are continuously focusing towards improving their

services. Similar is the case with Standard Chartered Bank. This Bank has evolved tremendously during

the last couple of years and now has become one of the leading banks in Pakistan.

Keeping this in view the study has been undertaken to identify the strategies and plans of the Bank and to

identify the methods adopted by the Bank to train and motivate their people and work force.
2
Chapter 2:Literature Review
Human resources management includes a variety of activities , and among them is deciding what staffing

needs an organization has and whether to use independent contractors or hire employees to fill these

needs , recruiting and training the best employees , ensuring they are high performers , dealing with

performance issues and ensuring the personnel and management practices conforms to various

regulations. Activities also include managing their approach to employee benefits and compensation,

employee record and personnel policies.

HRM practices have shown to be valuable to any company’s success. Thus to be successful in a global

market place, the challenge for all businesses regardless of size is to invest in human resources. They

need to select and retain talented employees, undertake employee training and development programs and

dismantle traditional bureaucratic structures that limit employee’s ability to be innovative and creative.
The commonly practices HR activities include the following:

HR Planning

Recruiting

Selection

Training and Development

Compensation

Performance Management

Employee Relations
3
World-class organization use performance measurement systems to determine whether they are fulfilling

their vision and meeting their customer-focused strategic goals. Leading-edge organizations use

performance measurement to gain insight into, and make judgments about , the effectiveness and

efficiency of their programs , processes , and people. These best-in-class organization decide on what

indicators they will use the measure their progress in meeting strategic goals and objectives, gather and

analyze performance data and then use those data to drive improvements in their organization and

successfully translate strategy into action.

Thus in today’s organizations, the use of Strategic Human Resource Management information is to help

set agree-upon performance goals, allocate and prioritize resources, inform managers to either confirm or

change current policy or program directions to meet those goals , and report on the success in meeting

those goals.
4
Chapter 3:
Introduction To SCB
3.1 History of Standard Chartered Bank

Standard Chartered is the worlds leading emerging markets bank headquartered in London. Its businesses

however , have always been overwhelmingly international. Standard Chartered is name after two banks,

which merged in 1969. They were originally known as the Standard Chartered Bank of British South

Africa and the Chartered Bank of India , Australia and China. Of the two banks the Chartered Bank is the

older having been founded in 1853 following the grant of Royal Charter from Queen Victoria. The

moving force behind the Chartered Bank was a Scot, James Wilson , who made his fortune in London

making hats. James Wilson went on to start The Economist , still one of the world’s pre-eminent

publications. Nine years later, in 1862 the Standard Bank was founded by a group of businessmen led by

another Scot, John Paterson , who had immigrated to the Cape Province in South Africa and had become

a successful merchant. Both banks were keen to capitalize on the huge expansion of trade between

Europe, Asia and Africa and to reap the handsome profits to be made from financing that trade. The

Chartered Bank opened its first branches in 1858 in Chennai and Mumbai. A branch opened in Shanghai

that summer beginning Standard Chartered’s unbroken presence in Chine. The following year the

Chartered Bank opened a branch in Hong Kong and an agency was opened in Singapore. In 1861 the
Singapore agency was upgraded to a branch , which helped provide finance for the rapidly developing

rubber and tin industries in Malaysia. In 1862 the Chartered Bank was authorized to issue bank notes in

Hong Kong. Subsequently it was also authorized to issue bank notes in Singapore,
5

privilege it continued to exercise up until the end of the 19th Century. Over the following decades both the

Standard Bank and the Chartered Bank printed bank notes in a variety of countries including China, South

Africa , Zimbabwe, Malaysia and even during the siege of Marketing in South Africa. Today Standard

Chartered is still one of the three banks , which prints Hong Kong’s bank notes.
3.1.1 Expansion in Africa and Asia:

The Standard Bank opened for business in Port Elizabeth, South Africa , in 1863. It pursued a policy of

expansion and soon amalgamated with several other banks including the Commercial Bank of Port

Elizabeth, the Colesberg Bank, the British Kaffarian Bank and the Fauresmith Bank. The Standard Bank

was prominent in the financing and development of the diamond fields of Kimberly in 1867 and later

extended its network further north to the new town of Johannesburg when gold was discovered there in

1885. Over time , half the output of the second largest goldfield in the world passed through the Standard

Bank on its way to London. In 1892 the Standard Bank opened for business in Zimbabwe, and expanded

in Mozambique in 1894 , Botswana in 1897 , Malawi in 1901, Zambia in 1906, Kenya, Zanzibar and the

Democratic Republic of Congo(D.R.C.), in 1911 and Uganda in 1912. Of these new business, Botswana ,

Zanzibar and the D.R.C. proved the most difficult and the branches soon closed. A branch in Botswana

opened again in 1943 but lasted for only a year and it was not until 1920 that the Bank re-opened for

business in Botswana. In Asia the Chartered Bank expanded opening offices including Myanmar in 1862,

Pakistan and Indonesia in 1863, the Philippines in 1872 , Malaysia in 1875, Japan in 1880 and Thailand in

1894. Some 34 years after the Chartered Bank appointed an agent in Sri Lanka it opened a branch in 1892

to take
6

advantage of business from the tea and rubber industries. During 1904 a branch opened in Vietnam. Both

the Chartered and Standard Bank opened offices in New York and Hamburg in the early 1900’s. The

Chartered Bank gaining the first branch license to the issued to a foreign bank in New York.
3.1.2 The Impact of War:

Even the First World War offered opportunities for expansion when the Standard Bank set up a branch in

Tanzania shortly after British troops occupied the formerly German administered Dar es Salaam in

September 1916. Both banks survived the inter-war years but he world trade slump led to the closure of

operations in the Canary Islands, Liberia, the Netherlands , and Equatorial Guinea.
Disaster struck the Chartered Bank ‘s office in Yokohama, Japan , when an
earthquake in 1923 killing a

number of staff destroyed it. The Second World War particularly affected the Chartered Bank when

numerous Asian countries were occupied by Japan.

3.1.3 The Post War Years:

After the Second World War many countries in Asia and Africa gained their independence. This led to

local incorporation in some countries , particularly in Africa. Other operations such as those in Iraq,

Angola , Myanmar and Libya were nationalized, while in Indonesia the Jakarta office was destroyed in an

attempted coup d’etat.In 1948 the Chartered Bank opened in Bangladesh and during 1957 it acquired the

Eastern Bank.
7

The Eastern Bank gave the Chartered Bank a network of branches including Aden, Bahrain, Beirut,

Cyprus, Lebanon, Qatar and the United Arab Emirates. The Chartered Bank also entered into a joint

venture to form the Irano-British Bank , which opened for business in 1959. The bank grew rapidly and

had 24 branches when it was nationalized in 1981. By the mid 1950’sthe Standard Bank had around 600

offices in Southern, Central and Eastern Africa. Its network grew substantially in 1965 when it merged

with the former Bank of British West Africa , which had some 60 branches in Nigeria, 40 branches in

Ghana and eleven branches in Sierra Leone in addition to operations in Cameroon and Gambia. Despite

these acquisitions and expansion into new counties such Mexico , South Korea and Oman(1968) , both

the Standard and Chartered Bank networks were comparatively small. Both viewed the future with some

trepidation as the need to protect themselves from acquisition became ever more apparent. Standard

Chartered PLC in 1969 the decision was made by the Standard Bank and the Chartered Bank to undergo a

friendly merger thus forming Standard Chartered PLC. It was one year later that descendants of the

“Chartered Bank of India , Australia , and China” were finally permitted to open a representative office in
Sydney , Australia. Standard Chartered subsequently acquired the UK based Hodge Group , in which it

already had a minority shareholding , and the Wallace Brothers Group. The Hodge Group brought to

Standard Chartered and extensive network of UK offices specializing the installment credit and industrial

leasing and after a period of rationalization its name was change to Chartered Trust Limited. Standard

Chartered ‘s operations in Jersey emerged from the integration of other Hodge Group business with those

of Wallace Brothers Bank(Jersey), Limited.

8

Standard Chartered decided, after the merger , to expand the Group outside its traditional

markets. In Europe a number of offices were open including Austria , Belgium, Denmark, Ireland, Spain

and Sweden as well as several major cities in the UK. Standard Bank also opened offices in Argentina,

Canada , Colombia, the Falkland Island, Panama and Nepal. In the USA a number of offices were opened

and three banks were acquired. These included the Union Bank of California, which gave Standard

Chartered a presence in Brazil and Venezuela. The opening of a branch in Istanbul in 1986 was

overshadowed by a far more dramatic event when Lloyda Bank of the UK made a hostile take-over bid

for Standard Chartered . Standard Chartered won its right to remain independent but entered into a period

of considerable change.

By the late 1980’s Standard Chartered already had considerable exposure to third world debt. To this was

added provisions against loans to corporations and entrepreneurs who could not meet their commitments.

Standard Chartered reviewed its operations and decided to focus on its core strengths of Consumer

Banking , Corporate & Institutional Banking and Treasury in its well-established operation in Asia ,

Africa and the Middle East. This led to a series of divestments notably in Europe, the United States and

Africa. During this time staff numbers were reduced; business not considered core were sold or closed;

associate holdings disposed of; unprofitable branches closed and back office functions consolidated. In

addition expensive buildings were sold with the proceeds reinvested in the business , and the senior

management team was radically changed and strengthened.

3.1.4 Standard Chartered in the 1990’s:
Even within this period of apparent retrenchment Standard Chartered
expanded its network, re-opening in Vietnam in 1990’ Cambodia and Iran
9
in 1992, Tanzania in 1993 and Myanmar in 1995. With the opening the branches in Macau and Taiwan in

1983 and 1985 plus a representative office in Laos (1996), Standard Chartered now has an office in every

country in the Asia Pacific Region with the exception of North Korea. In 1998 Standard Chartered

concluded the purchase of a controlling interest in Banco Exterior de Los Andes (Extebandes), an Andean

Region bank involved primarily in trade finance. With this purchase Standard Chartered now offers full

banking services in Colombia, Peru and Venezuela. In 1999, Standard Chartered acquired the global trade

finance business of Union Bank of Switzerland. This acquisition makes Standard Chartered one of the

leading clearers of dollar payments in the USA. Standard Chartered also opened a new subsidiary,

Standard Chartered Nigeria Limited in Lagos, acquire 75 percent of the equity of Nakornthon Bank,

Thailand; and agreed terms to acquire 89 percent of the share capital of Metropolitan Bank of the

Lebanon.
3.1.5 Standard Chartered Today:

Today Standard Chartered is the worlds leading emerging markets bank employing 30,000 people in over

500 offices in more than 50 countries primarily in countries in the Asia Pacific Region, South Asia, the

Middle East, Africa and the Americans.

The new millennium bas brought with it two of the largest acquisitions in the history of the bank

with purchase of Grindlays Bank from the ANZ Group and the acquisition of the Chase Consumer

Banking operations in Hong Kong in 2000.

10

These acquisitions demonstrate Standard Chartered firm is committed to the emerging markets,

where the Bank has a strong and established presence and where they see their future growth.
3.2 Performance Review in Pakistan:

Standard Chartered has been in Pakistan since 1863 and is one of the longest operating foreign banks.

There are 6 Standard Chartered Bank ‘s branches and 15 Grindlays branches have been acquired which

makes a total of 21 branches operating in Pakistan that offer full banking services in corporate,

institutional and consumer banking and custody services. Adopting a pro-active approach , the bank is

able to offer a flexible and comprehensive range of financial services in particular transactional banking

products. The bank has also invested in its branches to ensure that their business is supported by high-tech
operations using state-of-the-art technology. Dedicated customer services with solution-oriented cash

specialists to provide customers with cost-effective solutions. Electronic delivery system has been put in

place to give customers maximum control of their transactions. Pakistan’s currency in the Rupee(Swift

code: PKR)
3.3 Design and Approaches of Services:
3.3.1 Services Design:

Designing services to accommodate their unique characteristics is challenging. One reason productive

improvements in services are so low is because both the design and delivery of service products include

customer interaction. The services provided at SC Bank are primarily based upon a few approaches.
11

The outsourcing of payments continues to be a major area of focus for finance and treasury

professionals. Over the past three years , competition in Asia has become more intense and this has

helped drive the increase in the number of companies that use payments outsourcing as a way to reduce

cost and focus on core activities.

3.3.2Approaches to Regionalizing the Payments Function:
“Choose always the way that seems the best , however rough it may be,
custom will soon render it easy and agreeable.” Pythagoras

Intuitively, there are numerous benefits to regionalizing the payments function of Standard

Chartered Bank . This is particularly true where it has the critical mass to justify an undertaking of

considerable size and complexity. Frequently mentioned benefits include: economies of scale, increase

control managed by a small , high quality team and standardization of processes , amongst others.
3.3.2.1.1The Ad Hoc Approach:

The ad hoc approach is often the default method of regionalization of payments and other cash

management activities. This is often undertaken when decision-makers make a priority determination that

centralizing cash management activities offers significant benefits to the bank and thus should be

implemented. At Standard Chartered this approach is frequently accompanied by minimal investigation

and planning , which invariably leads to difficulties and dissatisfaction. The sum total of planning is often
12
reduced to determining which financial institute can best meet the open
ended requirements of the bank.
 Banks may be guilty of reinforcing the ad hoc approach if they do not take the time to understand

their customers strategies , objectives and type of businesses , and make recommendations that may not

have been originally considered. This can be a function of whether the service provider considers the

implementation of capabilities as simple sale or the start of a long-term implementation.

3.3.2.2
The Strategic Approach:

The Strategic approach is also a priority determination for implementing an SSC/CAP because it

is not a stand-alone process, but rather part of a global or regional strategic planning process that

encompasses the entire organizational structure of the Bank. Often this is accompanied by the

implementation of a high- end Enterprise Resource Planning(ERP) system, such as Oracle or SAP , which

integrates the various units.

3.3.2.3 The Pragmatic Approach:
The pragmatic approach alone is not a priority but rather a post-hoc
determination. The most straightforward and effective questions that the

Bank asks itself when taking the pragmatic approach are:

Where are we now?

Where do we want to be?

What is the best way to get there?13

3.5.1 Limitations of the Ad-Hoc Approach:

The disadvantage of the ad hoc approach is that sometimes the bank over or under estimates the

transaction costs and thereof the benefits obtained from centralization choose their significance.
3.5.2 Limitations of the Strategic Approach:

Disadvantages of the strategic approach are chiefly a function of size and complexity. The strategic

approach may not be the most cost effective as it often ignores the implementation and running costs in

favor of a corporate strategy that is geared toward centralization.

3.5.3 Limitations of Pragmatic Approach:

The disadvantage of the pragmatic approach is the difficulty in maintaining implementation efforts that

are proportionate to the advantage that the Bank can gain from the centralization activity.
3.6 Operations Strategies for Banking Services;
How can we satisfy our customer? This is perhaps the most important question that the Bank can ask

from itself and its people. Customer needs and wants to run the full gamut , from tangible products,

quality of services delivered, and attitude of the entire management to the aesthetics. In this regard ,

Standard Chartered Bank aims at satisfying these needs and wants by developing and fulfilling missions

and strategies, which can be as diverse as the customers they serve.

14
5.4 Performance Appraisal:
Each organization must create and communicate performance measures that
reflect its unique strategy.

Performance management is the process through which managers ensure that employee activities and

outputs are congruent with the organization’s goals. It is central to gaining competitive advantage.
A well-executive performance management plan enables an organization to

achieve critical goals such as:

1. Recognize the efforts and contributions of current staff.

2. Reward staff with compensation directly linked to performance.

3. Motivated staff to improve performance.

4. Orient staff towards goal achievement.

5. Retain key employees through the use of competitive compensation programs.

6. Attract quality employees with an effective performance management system.

The key elements of a Performance Management System include the following:

1. A Formal Compensation Philosophy Statement
2. Salary Administration Program
3. Job Evaluation System
4. Performance Appraisal System
5. Reward Programs
5.5.1 Purpose of Performance Appraisal:

There are a number of reason for carrying out the performance appraisal of employees such as

promotion , transfer etc. Therefore , the Bank makes sure that the employees clearly understand the

objectives of the performance appraisal.

5.5.2 Performance Measurement Criteria:
33
Once the Bank has determined what kind of performance it expects from the employees, it needs to

develop appropriate ways to measure that performance.

5.5.2.1Strategic Congruence:

The basic aim of Standard Chartered Bank is to provide speedy customer services. Therefore its

performance management system should assess how well its employees are serving the customers .

Strategic congruence emphasizes the need for performance management system to provide guidance to

the employees so that they can achieve the Bank’s and enable it to remain competitive. For this purpose

the system should be flexible to adapt to changes.

5.5.2.2Validity:

According to the employees , the appraisal procedure used to measure their performance lacks in one

aspect. This aspect relates to the deficiency element of validity. This means that as one standardized

formant is used to evaluate performance, therefore it ignores many of the job specific aspects.
5.5.2.3Reliability:

At Standard Chartered Bank the performance management criteria resembles test-retest reliability.

According to this the employees are evaluated on annual basis and those employees who have somewhat

similar ratings from year to year have greater chances of getting promotion, bonuses etc. Therefore , the

Bank checks the consistency of performance of employees in this manner and determines that which

employees have the potential to grow and better serve the customers.
34
5.5.2.4Acceptability:

Diverging opinions prevail about the acceptability of the performance appraisal. Some employees accept

them to be fair while others believe them to be biased and predetermined. In addition to this the views

regarding fairness are perceived differently within the three category including:

1. Procedural

2. Interpersonal

3. Outcome
5.5.2.5Specificity:
One of the major lacking in the performance appraisal method of Standard Chartered Bank is in the area

of specificity. Amongst the various levels of employees the performance evaluation is believed not to

provide specific guidance about what is expected of them and how they can meet these expectations.
5.5.3 Source for Performance Information:

In case of Standard Chartered Bank , managers are the only and most vital source of performance

information. They have extensive knowledge of the job requirements and adequate opportunity to observe

the way in which the employees fulfill these requirements , thus , they are the best source to assess and

rate their employees.

5.5.4 Rater Errors:

Like all other organizations , in Standard Chartered Bank the performance evaluation process is affected

by the rater’s error. The rater error prevailing in the bank resembles the distributional errors. In the bank

the managers often go by their own preference while rating the employees. Therefore
35
there are high chances of making leniency, strictness, and central tendency
errors.
5.5.5 Top Management and Employee Perspective:

Although the performance management system at Standard Chartered Bank has a vital role to play in

assessing the potential of the employees. Yet it is perceived to be a routine and cumbersome affair that

has to be undertaken once a year. This perception some what nullifies the true essence in the performance

management should be conducted.

5.5.6 Shortcomings of the Appraisal System:
The performance appraisal system at the Bank lacks in certain areas such
as:
1.Information regarding the employee’s performance is purely dependent

upon their managers. However , the employee are of the view that information should also be collected

from them as they are the ones who perform are responsible for performing the various tasks.
2. Thus , a major shortcoming of the system is that the employee’s are not
involved in the appraisal process.
3. The performance appraisal system is believed not to provide any guidance
for the development of employees.
4. The employees are of the opinion that the performance appraisal should be
done on quarterly basis, instead of being conducted annually.
5.5.7 Necessary Measures:
Adopting the following measures can reduce the shortcomings of the
system:
36

Employees should be involved in the appraisal process, i.e. information should be taken from

them. The process should result in effective outcomes by telling the employees that how can they improve

their performance. This would not only benefit the Bank , but would also help the employees in their

personal development.
5.6 Compensation:

Being a leading Bank Standard Chartered Bank presents itself to its corporate as well as individual

customer as dependent upon the ability of its sales force. These are the individuals who take an active

approach in getting the message out about the Bank’s products and services. How effectively the sales

team markets the Bank, and in turn, how successful it is, is directly related to the sales compensation

program. A sound sales compensation package enable Standard Chartered Bank to focus sales activities

towards desired results, and rewards these outcomes with compensation tied directly to the level of

achievement.
5.7 Rewards & Recognition:

Standard Chartered Bank rewards the talented and high performing employees competitively. They

regularly conduct salary surveys to ensure the reward package remains competitive in the market place.

They encourage continuous discussion; encourage regular review of employees performance and

development. This provides feedback to the staff about how they are doing. The management links this to

both financial and non- financial recognition.

In addition to this, the bank provides various incentives in the form of bonuses to encourage the

employees and motivate them to continue with their high performance. These include
37
1. Spot Award + Rs. 5000 as cash prize

2. Surprise Award

3. Best Performance Award

4. Service Quality Award

38
Chapter 6: Recommendations
Based on the study, several recommendations have been made. These
 include:

1. In order to successfully conduct the performance measurement process, Standard Chartered Grindlays Bank

should formulate effective internal and external communication mechanism.

2. A conceptual framework understood by all levels of the bank should be
developed.
3. Accountability for results must be clearly defined and well understood.
4. Performance measurement system must provide intelligence for decision
makers rather than just compiling data.
5. Compensation , rewards and recognition should be linked to performance
measurements.
6. Performance evaluation should be positive and not punitive.
7.Employees should be specific as to what is expected from them so that they
direct their efforts towards achieving those expectations.
8. Feedback on the evaluation should be provided to the employees so that
they can improve their performance.
9.Lastly, performance measurement systems should not be seen as an end ,
but a beginning.
39

Strategic Human Resource Management

Practices of Standard Chartered Bank
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The early years

Standard Chartered in Gurgaon, India
The name Standard Chartered comes from the two original banks from which it was founded and which merged in 1969 — The
Chartered Bank of India, Australia and China, and The Standard Bank of British South Africa.[2]

The Chartered Bank was founded by Scotsman James Wilson following the grant of a Royal Charter by Queen Victoria in 1853,[2] while
The Standard Bank was founded in the Cape Province of South Africa in 1862 by another Scotsman John Paterson.[2] Both companies
were keen to capitalize on the huge expansion of trade and to earn the handsome profits to be made from financing the movement of
goods from Europe to the East and to Africa.

In those early years, both banks prospered. Chartered opened its first branches in Bombay, Calcutta and Shanghai in 1858, followed by
Hong Kong and Singapore in 1859.[2] With the opening of the Suez Canal in 1869 and the extension of the telegraph to China in 1871,
Chartered was well placed to expand and develop its business.[2]

In South Africa, Standard, having established a considerable number of branches was prominent in financing the development of the
diamond fields of Kimberley from 1867 and later extended its network further north to the new town of Johannesburg when gold was
discovered there in 1885.[2] Half the output of the second largest gold field in the world passed through The Standard Bank on its way to
London.
A Standard Chartered Bank in Singapore.

Both banks – at that time still quite separate companies – survived the First World War and the Depression, but were directly affected by
the wider conflict of the Second World War in terms of loss of business and closure of branches. There were also longer term effects for
both banks as countries in Asia and Africa gained their independence in the ‘50s and ‘60s.

Each had acquired other small banks along the way and spread their networks further. In 1969, the banks decided to merge,[2] and to
counterbalance their existing network by expanding in Europe and the United States, while continuing their expansion in their traditional
markets in Asia and Africa.

In 1986 Lloyds Bank of the United Kingdom made a hostile takeover bid for the Group.[3]. The bid was defeated however it spurred
Standard Chartered into a period of change, including a series of divestments notably in the United States and South Africa.

Chartered bank
The Chartered Bank was founded by Scotsman James Wilson following the grant of a Royal Charter by Queen Victoria in august
1853(james Wilson from June 3 1805-1860 was a Scottish hat maker, politician and economist, as well founder of Economist and the
modern standard chartered bank).
Political condition
•

During the decade of the 1850’s, Britain had been involved in the Crimean War and had also fought a number of bitter battles to suppress
insurgents in South Africa. However, these crises had more or less passed by the late 1850’s,
•
British dominancy was over India and the neighboring countries.
•
Abraham Lincoln was elected as president of USA during this time period.
Economical condition
•
Industrial Revolution was taking place in UK (its roots are from Manchester 1844).
•
London exhibition for different products (mainly industrial) was also held in 1951 in which
6 million visitors participated.Corporate Mission

Since the name of the bank was The Chartered Bank of India, Australia and China, the UK wanted to enhance its business safely. Soon
after its establishment it opened its branch in Sydney. The above statement is supported by news published in The Sydney Morning
Herald- Nov 5 1853 which tells about the Bills of exchange on England purchased and sold for
general business.
Establishing international goals and Objectives;
“To expand the trade and commerce of UK in foreign courtiers.”
Degree of involvement
The bank was involved directly. It was indented to open branches to become the first mover.
Resource Allocation
500,000 pounds for Sydney branch established in 1854.
Level of Risk
Conditions were favorable. The risk was low.

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