COLLEGE OF BUSSINESS AND ECONOMICS

DEPARTMENT OF ACCOUNTING AND FINANCE

PRACTICAL ATTACHMENT IN
DEBRESINA BRANCH ABYSSINIA BANK
PREPARED BY : AREAYA TILAHUN
ID NO: Su /1202121

MARCH ,2023
SAMARA ,ETHIOPIA
 ACKNOWLEDGEMENT
At first I would like to express my gratitude to GOD who has given me opportunity to go
through the total process of internship and to write a report in this regard. In the preparation of
this report, I would like to acknowledge the encouragement and assistance given to me by a
number of people. I am grateful to my academic supervisor Mr.Abdulaziz Head of department. I
am most grateful for my internship supervisor to Mr.Habtamu manager of BOA Debresina
Branch. I am also thankful to all employees of such as Mr.Alemie, Mr. Markos, Ms.Mesert,
Ms.Beza They were very helpful and accept me friendly. They always provided me the required
educational materials and explained me to learn the banking activities. Their encouraging helpme
to learn practical knowledge about the banking activities. Thanks to Mr.Wondie the assistance
manager of this branch for guiding me at the very first of my internship. During my internship
tenure I came across to meet many supporting coworkers who were always helpful in providing
all sort of information needed and share their views and ideas with me. I would also like to
thanks to my friend until a child up to now he suport to make practical intership, the clients and
family, who have been appreciated the work I was doing.

Abstract
This practical attachment is conduct to analyze the real working environment with that field of
study. That is the attachment is to determine how theoretical learned course is applied in the real
world. It focuses to identify for the accounting system from the highest level up to lowest level
of organization structure. The main objective of this report is to investigate the challenges of
accounting and recording financial reports in the office. as well as identifying the existing
problem of the organization and describe the possible alternative solution that can alleviate the
existing challenges in the finance office.

In general this reports contains the following parts:-it includes Back ground of the organization,
description of the job, strength,problems observed on the job ,summary of the overall
observation,conclusion and recommendation.

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TABLE CONTENT PAGE

Acknowledgment.........................................................................................................................................I
Abstract........................................................................................................................................................I
CHAPTER-ONE.........................................................................................................................................1
INTRODUCTION.......................................................................................................................................1
1.1 BACK GROUND OF THE COMPANY...............................................................................................1
1.2 Ownership, nature and or type of business.............................................................................................1
1.3 objectives of the organization................................................................................................................1
Goal of the organization..............................................................................................................................1
Vision..........................................................................................................................................................2
Mission:.......................................................................................................................................................2
1.4.Organizational Structure........................................................................................................................3
Figer 1.1 organization structor of abyssiniya bank......................................................................................3
1.5 Position of the organization...................................................................................................................4
CHAPTER- TWO........................................................................................................................................5
2.SWOT ANALYSIS..................................................................................................................................5
CHAPTER- THREE....................................................................................................................................7
3.activities undertaken during field attachemrnt..........................................................................................7
3.1 The role of the department or office (BoA Debresina Branch)..............................................................7
3.2 Reporting and Induction by the Organization........................................................................................8
3.3. Duties of Banking operation officer .....................................................................................................8
3.4 The title of head of department..............................................................................................................9
3.5 The Responsibilities that l was assigned during the lnternship work.....................................................9
CHAPTRE FOUR.....................................................................................................................................11
4. Lessons,experience and skills................................................................................................................11
4.1 Knowledge l acquired or I got.............................................................................................................11
4.2 Skills l acquired..................................................................................................................................11
4.3 Lessons................................................................................................................................................12
CHAPTER FIVE.......................................................................................................................................13
5. SPECIFIC ACCOUNTING CONCEPTS IN THE ORGANIZATION.................................................13

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5.1 Recording of business transaction in given business entity..................................................................13
5.2 types and elements of financial statements in the business entity........................................................13
5.3 Roles of accounting for decision making.............................................................................................14
5. 4 Application of audit principles and practice........................................................................................14
5.5 Methods of accounting in a given business entity................................................................................14
CHAPTER SIX..........................................................................................................................................15
6.CONCLUTION AND RECOMMENDETION......................................................................................15
6.1 CONCLUSIONS.................................................................................................................................15
6.2 RECOMMENDATIONS....................................................................................................................15
References.................................................................................................................................................16

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CHAPTER-ONE

INTRODUCTION
1.1 BACK GROUND OF THE COMPANY
Bank of Abyssinia is a share company of private individuals who amass experience succes in
different areas including business entertainment and education.

Bank of Abyssinia, one of the private banks in ethiopia was established on February 15, 1996.
The present-day Bank of Abyssinia was established on February 15, 1996(90 years to the day
after the first but defunct private bank was established in 1906 during Emperor Menelik II) in
accordance with 1960 Ethiopian commercial code and the Licensing and Supervision of Banking
Business Proclamation No. 84/1994. BOA started its operation with an authorized and paid up
capital of Birr 50 million, and Birr 17.8 million respectively, and with only 131 shareholders and
32 staff.

1.2 Ownership, nature and or type of business

Ownership bank of abyssinia is a share company of private individuals who a mass experience
and success in different areas including business ,entertainment and education.

1.3 objectives of the organization

Objective Of The Organization

The bank has three strategic plans which was set for 5 years from 2020-2025 which has three

main objectives, growth, operational Excellence and digitalization. These three strategies are

designed to obtain three results which are sustainable profit, customer satisfaction to the fullest

and to create convenience banking service. Currently the bank is following the cost leadership

strategy which is used to provide standardized and updated services to customers with fair and

affordable prices

Goal of the organization

To become the leading commercial bank in east africa by the year 2030.

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Vision:

To become the leading commercial bank in East Africa by the year 2030

Mission:
Provide excellent financial services through competent, motivated employees and digital

technology in order to maximize value to all stakeholders.

Values

 Permanent focus on Customer Satisfaction;

 Efficiency in Accounting and finance;

 Permanent technological update;

 Communication, respect, trust and high sense of mission of all CBE employees;

 Provide each project with the technical, human and financial resources that allow to obtain
or exceed the results expected by our Client

 Strict compliance with technical requirements and obligations;

 Culture Development to the excellence throughout the organization, based on the principles
of quality Accounting and finance;

 Activity based on standards ethical and compliance with applicable laws;

 Commitment to continuous improvement of safety, hygiene and health conditions at work;

 Active participation in improving environmental performance and the circular economy

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 1.4.Organizational Structure

District Manager

Clerical Business manager

Operation Senior
AM manager administrative
assistant (sec)

SBB OFFICIER
driver SBO Oficer IT officer
HR officer

Figer 1.1 organization structor of abyssiniya bank

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District Manger

–Leads the district and all branches under his supervision -Coordinates all staffs in district office
and branches -Participates with district team in branch opening duties -Work with district team in
recruiting potential customers -Cascade duties and responsibilities to district team and branches -
Act as chairperson of district loan approving committee

Operation Manager

-Mainly focuses on district and branch operational issues -Controls district and branches
expenses - Participates with district team in branch opening duties -Follow up credit processes
and appraisal of district discretion limit - Work with district team in recruiting potential
customers -Act as secretary and member of district loan approving committee

Business Manager-

Develop business activities of the district and branches -Communicate and follow up branches to
achieve their plans -Participates with district team in branch opening duties -Work with district
team in recruiting potential customers

1.5 Position/Location of the organization

location is the place where a particular point or object exists.Location can be expressed in two
types.Absolute and Relative Location.

Absolutes location describes the location of a place based on a fixed point on earth. The most
common way is to identify the location using coordinates such as latitude and longitude or by the
use of a street address when available.

Relative location refers to the position of a place or entity based on its location with respect to
other locations.

Absolute location of Bank of Abyssinia Debresina Branch

The absolute location BoA Debresina Branch is a latitude and longitude of 9°51′N 39°36′E with
an elevation of 2630 to 2830 meters above sea level.

Relative location of BoA Debresina Branch

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The relative location for BoA Debresina Branch is near in front of Commercial Bank of
Ethiopia(CBE) Debresina Branch in Debresina woreda.and located 5 meters along Ethiopian
Highway 2

CHAPTER- TWO

2.SWOT ANALYSIS
.Organizations use SWOT analysis to assess their current position before they decide on any new

strategy. They can use SWOT Analysis to make the most of what they have got, to their

organization's best advantage. And they can reduce the chances of failure, by understanding what

they are lacking, and eliminating hazards that would otherwise catch then unexpectedly.

Strength

Strengths are things that organizations do particularly well, or in a way that distinguishes the

organization from its competitors.

The Bank’s Strengths are:-

Bank of Abyssinia provides a specialized Interest-Free Banking service with a brand name of

“Ameen” with unique product features and benefits. The product and services provided by BoA

fulfill the need of our esteemed customers and fully in compliance with the Shari'a principles.

Virtual banking

Transfer money from BoA account to other banks.

Starting of T-24 technology, started POS and Mobile banking

WEAKNESS

In order to survive in the market and to take a competitive advantage over other competitive

banks implementing technological oriented products and services is inevitable and being late

adopter of electronic payment projects made the bank to learn from the existed experience of

banks who adopted these products earlier. Yet, being late adopter made the bank to lose the

potential market available at the first phase of entry.

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Opportunities
 The first bank currently serving with Virtual banking system in Ethiopia

 Plenty of available potential unbanked customers which made a reasonable opportunity

 for implementing electronic payment technologies.

 Reduction in paperwork and improved service quality by overcoming geographical

 limitations and reduces long lines in the banking hall

 Improves customers’ satisfaction considering the conveniences and ease of access

 So Productivity and profitability increases

Threats
 Growth of technologically advanced banks in future

 Emergence of non-commercial banks, such as industrial banks- perform the function of

 advancing loans to industrial undertakings, investment banks - dedicated to financing the

new and

 upcoming project.

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 CHAPTER- THREE

3.activities undertaken during field attachemrnt

3.1 The role of the department or office (BoA Debresina Branch)

A branch office is a useful way for large companies to satisfy customer needs for face-to-face
interaction.

A branch office might consist of a single individual or it could be staffed, depending on the
needs of the business.

A Branch manager BM is a controller of the Branch and is report directly to the district and is
accountable to the District manager. Branch managers (BM) is an employee who oversees the
operation of the Branch of a Bank or financial institution Branch managers oversee the
performance of other employees who work in their branches.

Roles of the Branch Manager (BM)

 Develop Branch plans (such as operational plan, marketing plans and sales plan) and
objectives and, lead & evaluate in their implementation.
Coordinate and manage the overall banking operation activities in the branch.
Prepare the Branch’s budget and track its implementation,

 Represent the Branch,

 Ensure effective and proper utilization of resources;

Analyze needs, asses the capacities of staff, and propose continuous education (e.g. training
plan, TOT, seminars);

 Manage disciplinary concerns of the Branch’s staff.

Roles of Manager, Branch Business (MBB)

 The role of this position is to ensure the effectiveness of the branch sales and marketing
activities, mobilizes resources, expands branch accessibility through digital banking and
efficient and highquality service providers to customers in a consistent manner in the
branch at all time as per the bank’s policy, procedure, guideline, and other pertinent
regulation. Therefore performing your job in a highly professional manner will contribute
to achieving the organizational vision and strategic objectives (i.e. Business growth,
Operational excellence and Digitalization).
 Plans and manages the sales activities of the branch;
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 Plans and manages the customer services activities of the branch;
 Selling of bank products, services, and digital banking
Roles of Manager Branch Operation(MBO)
 The Manager Branch Operations shall;
a. Supervise the operations management activities (general ledger management, cash
operations, bulk transaction processing, archiving, and logistics) in the Branch;
b. Coordinates and develop annual/quarter/monthly operational plan for branch’s
operation team;
c. Maintain standard operational service delivery time;
d. Ensure proper handling branch books of account;
e. Adhere to Branch cash control and security requirements regarding cash and negotiable
instruments;
f. Identify quality gaps and reports to the Branch Manager;
g. Follow up the transaction of newly opened accounts for a given period of time;
h. Follow up timely settlement of suspense accounts;
i. Keeps dual controls of the Branch’s vault key where there is assignment of Senior
Banking Operation officer; or Handles cash operation where there is no permanent or
temporary assignment Senior Banking Operation officer;

3.2 Reporting and Induction by the Organization

Generally Bank of Abyssinia Debresina Branch is under the supervision of the district Manager
(Bahir Dar District ).hence, lt is accountable to the district.

So performance of the Branch is reported to the District by Branch Manager.

3.3. Duties of Banking operation officer

Banking operation officer has the following General responsibilities or duties.

a. Extracts all daily opened account lists from system;

b. Checks that all the required documents are attached to opening application form;

c. Rechecks the documents for its authenticity by checking consistency of the information filled
and face validity of the issuing organ stamp, name and signature of officials.

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d. Prepares covering letter to be signed by the Manager Branch Operation and sends the
documents stated above and other doubtful documents, if any, for authentication immediately to
relevant organs;

e. Follow-up that all authentication for accounts opened are responded within 15 days;

f. Forwards the document to Manager Branch Operation for posting restriction on account, ifany,
and reporting to nearby police station if the document is found counterfeited by copying deposit
mobilization department;

g. Collects authenticated documents from issuing organs and forward to Senior Banking
operation Officer for checking and filing

3.4 The title of head of department

The title for this position is "Business operation officer"

3.5 The Responsibilities that l was assigned during the lnternship work
I have had some duties and responsibilities in organization during my practical attachment
period. Some of my duties and responsibilities are the following.

 Honesty to the department

 Following and respecting the rule and regulation of the organization
Checking for the correct application of theories in real world
Keeping the secret of the organization
 Attending on the time
I check the name, date and signature of the customer to be filled properly.
opened account for customers by supporting employees.
Protecting the office resource from damage.
Observing and attending working activities in the bank.

Offices that l had worked with and their activity

I had worked with two positions in this work place .manager Branch operation and banking
operation officer I stated the activities of MBO from opening part of this chapter.

Activities of banking operation officer

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። Document authentication of new account

። cash pick up service/cash implant service

። collection of other bank cheque/banker's cheque through special clearance

banking Operation Officer

banking Operation Officer shall perform the following in relation to checking of documents in
book management process:

a. Checks the Balance of suspense accounts in GL against tracer balance on the system and
suspense accounts status report prepared by Banking Operation officer;

b. Identifies and reports differences between the GL position and tracer balance and long
outstanding item to the Manager Branch Business for correction; and

c. Files the source documents under his/her custody.

 Forged (Counterfeit) Notes

a. Identifies counterfeit notes from genuine notes at a time of collecting cash from
customer; and
b. Makes Mark as “COUNTERFIET” in front of the presenter and report to Manager
Branch Operation.
 ATM Cash handling and Operation Process
I. ATM Machine within branch premises
3.6 Relation ship with other offices in performing my task

As I already justified the banking operation officer work is extracting all daily opend accounts
and checks all the require documents are attached to opening application form and then forwards
the document to the Manager branch operation for posting restriction an account,if any.and also
collects authenticated documents from issuing organs and forwards to senior banking operation
officer for cheeking and filing

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CHAPTRE FOUR

4. Lessons,experience and skills

4.1 Knowledge l acquired or I got
One thing I realized is that most of theoretical knowledge; like for instance, accounting, finance,
marketing, communication, organizational behavior, statistics, economics, operational
management, human resource management along with computer applications, all were very
much being applied in the banking sector. Even though not all these concepts were applied in
every department, these concepts however, helped me gain a better understanding of the
responsibilities I was assigned with.

- paying attention at work.

- working in teams

- Apologizing:.

- Being hardworking performance..

- Time keeping:

4.2 Skills l acquired

Communication skills

- Communication is probably one of the most important factors for smooth functioning of every
organization. Banking sector is no different. In fact, communication is the most powerful tool
that can be used to convince the customers to use the products and services. As major part of my
internship period required dealing with customers coming from different background, my
communication and interpersonal skills has definitely improved a great deal. In addition to this, I
also learned to be patient and quiet while

 Technical skills:- During the internship I had to use different technical devices like printers,
scanners, photocopy machines, computers etc. for data entries, cheek book, statement printing
etc. Before the internship, I had no clue how to use big printers and photocopy machines.
However, after the internship I learned some basic technical skills to work with such devices.

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Organization and planning skills:-During the attachment period I learnt or acquired planning
skills as well as organizational skills. I would start by noting down things to do and then will step
by step execute each activity at a time in order to avoid delay, waste time and confusion of
activities that will eventually lead to non-accomplishment of the assigned duties.

Team playing skills:-From the organization I learned on the advantage of team playing skills
since most of the tasks Where completed in groups. I learned this basic but essential skill since it
proved to be of help especially in work that is required with agency by clients. Since as a group
there is more Participation in terms of output and work is divided with team members.

4.3 Lessons
During fifty days of my internship I was performed(contributed) to the bank by:

-Opening bank account

-Filling different forms:
- Cash deposit voucher
- Cash withdrawal form
- Money transfer order form
-Filing documents

-Photo copying, printing and scanning

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CHAPTER FIVE

5. SPECIFIC ACCOUNTING CONCEPTS IN THE ORGANIZATION

5.1 Recording of business transaction in given business entity
Journals. Journals record all of the transactions that are made by a company
Accounting records are all of the documentation and books involved in the preparation of
financial statements or records relevant to audits and financial reviews. Accounting records
include records of assets and liabilities, monetary transactions, ledgers, journals, and any
supporting documents such as checks and invoices.

5.2 types and elements of financial statements in the business entity

The three main types financial statements are the balance sheet, the income statement, and the
cash flow statement. These three statements together show the assets and liabilities of a
business, its revenues and costs, as well as its cash flows from operating, investing, and
financing activities.
The main elements of financial statements are as follows:

Assets. These are items of economic benefit that are expected to yield benefits in future periods.
Examples are accounts receivable, inventory, and fixed assets.

Liabilities. These are legally binding obligations payable to another entity or individual.
Examples are accounts payable, taxes payable, and wages payable.

Equity. This is the amount invested in a business by its owners, plus any remaining retained
earnings.

Revenue. This is an increase in assets or decrease in liabilities caused by the provision of

services or products to customers. It is a quantification of the gross activity generated by a
business. Examples are product sales and service sales.

Expenses. This is the reduction in value of an asset as it is used to generate revenue. Examples
are interest expense, compensation expense, and utilities expense.

5.3 Roles of accounting for decision making

Decision Making and the Role of Accounting
used have developed from the earliest known accounting records. As a profession,

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accounting has evolved in response to society’s need for economic information to
help people make economic decisions. Accounting is often called the ‘language of
business’. To be effective, the recipient must understand the message.
all kinds of entities. Accounting information provides the basis for making
decisions about resource allocation. To be useful, data must be identified,
measured, recorded, classified, summarized and communicated to potential users.
These are the critical elements of accounting
5. 4 Application of audit principles and practice
Profession is a specialized body of knowledge that provides intellectual services to the best
interest of the public and which has gained public confidence and trust. Ethics consists of moral.
provides guidance to practitioners
The need for professional ethics arises out of characteristics of profession such as:
Responsibility to serve the public.
Complex body of knowledge.
Standard of admission to profession.
The need for public confidence.

5.5 Methods of accounting in a given business entity

The two main accounting methods are cash accounting and accrual accounting. Cash accounting
records revenues and expenses when they are received and paid. Accrual accounting records
revenues and expenses when they occur. Generally accepted accounting principles (GAAP)
requires accrual accounting.

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CHAPTER SIX

6.CONCLUTION AND RECOMMENDETION

6.1 CONCLUSIONS
 Internship is the place where student can get practical knowledge. Internship helps one to
understand the overall working environment. This may be the reason for making the internship
program a part of BBA program where the student can learn something new simply by seeing
other working and understanding the environment.

This internship program bridges the gap between the students theoretical knowledge and practical
skills. Various types of orientation programs, tasks, and trainings that l have been under taking
during those past one months in the office boosted my knowledge.

6.2 RECOMMENDATIONS
 From what I observed during my attachment period, I would like to make the following
recommendations.
In the Ethiopian economy there are many banks growing day to day. The Multinational bank is
increasing day to day as the competitions increasing in financial institution market. So, BOA
should develop different marketing strategy to attract the existing customer and new customer.

The Bank main income is from the investment in loan. As the CBE bank, should minimize the
default risk because to maintain the sustainable growth in economy. If the bank fails in
minimizing this risk they might suffer from bankruptcy situation.

The bank should pay different rate of employees because the hard working employee are not
satisfied with the same rate and they might leave the job or transfer to other bank. This might
affect the whole management team and the organization might not able to achieve the goal

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 References

 Https://www.BOA.com
 The BOA bank procedure.
 The written document in the bank like leaflet, poster.
 The employee of the bank, Manager and business manager.
 The BOA bank procedure.

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