OBJECTIVES OF DIAMOND BANK OF NIGERIA PLC AND ZENITH BANK PLC

OBJECTIVES OF DIAMOND BANK OF NIGERIA PLC AND ZENITH BANK PLC 

 Like most business organizations Diamond Bank Plc and Zenith Bank Mission Statement is to be the financial institutions with most satisfied customers. The main objectives of Diamond Bank of Nigeria Plc and Zenith Bank Plc are alike, to earn satisfactory profit. Ideally, profits must be carried for any business to remain in existence. No shareholder will accept any statement by the chairman describing excellent services that the business is providing but regretting that there are no profits for distribution. As banks, they need a good profit record to able to raise news funds in the market, to build up reserves and to strengthen its business.

Close allied to profitability is the provision of financial services. This is compatible with the banks objectives – profitability. 

There is no point in providing a service if nobody wants to but it and clearly a banks main objective must be to provide and develop these services which yield profits consistent with sage business operation and government financial policy. To this extent, income is generated by the sale of range of services, from where cost such as salaries and wages of staff, rents and rates for accommodation and interest on any money deposited with the bank are paid.

Any surplus profit after deduction of tax is ploughed back as reserves or distributed to shareholders as dividends.

Profitability depends on may factors, apart from the product (services) mix provided, budget costs, interest differentials i.e. the difference between what the bank has to pay for deposits and what it receives as interest for the credit services it provides are important. Another determinant of profits is the effectiveness, which the bank’s transactions are processed as the organigram illustrates in the two bank, the Diamond Bank of Nigeria Plc and Zenith Bank Plc adopts the Line and Staff relationship.

 According to Michael and James (1993) the pattern represents a frameworks for accommodating increased growth in the size of an organization and requirement for managerial assistance through specialization.

Another advantage of organizational chart is that it draws attention to weak points such as overlapping or encroachment of departments both a useful tool for analyzing formal organizational showing the arrangement of functions within the firm, the interested outsiders (e.g. customers), the hierarchical or vertical arrangement of functions and authority position is accompanied by a horizontal delineation tasks this situation facilitates integration within the organization and ensure specialization by function.

 SERVICE FUNCTIONS OF THE BANK

 Diamond Bank Nigeria Plc and Zenith Bank Plc being among of the biggest financial institutions in the country has the enormous responsibility of providing financial assistance to its shareholders and also ensuring the recovery of such debts. This dual role imposes on it the added economy like ours.

As in all commercial banks, the following services are available in both Diamond Bank Nigeria Plc and Zenith Bank Plc to their customers in particular and the public at large. 

These include:

- The Handling of cash and provision of Bank drafts

- The keeping of accounts i.e. savings, current, time and loan accounts

- The collection of the proceeds of cheque lodged by customers and

- Honouring of cheques drawn by them

- The lending of money in the form of loans and advances (i.e. overdraft).

- The transfer of funds to other places periodically

- The management of customers’ investments such as the purchase of stocks and the receipts of periodic dividends.

- The offering of business advisory services e.g. for a fee, the bank arrange for a customers who wish to invest money in stocks and shares.