Improving Internet Banking services at Vietnam Bank for Agriculture and Rural Development (Agribank) Thang Long Branch Tay Son Transaction Office

Professional bachelor degree
in Finance-Banking-Insurance
(Customer relationships management)

WORK PLACEMENT REPORT
Company: Vietnam Bank for Agriculture and Rural Development

Project title: Improving Internet Banking services at Vietnam
Bank for Agriculture and Rural Development (Agribank) - Thang
Long Branch - Tay Son Transaction Office

Names of student: Nguyen Thi Thanh Ngan
University year: 2019-2022
Tutor at TMU: Ms.Dang Thi Minh Nguyet
Tutor at USTV: Marie-Josée Cambreling
Tutor at (Company): Ms.Nguyen Thi Thom
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Hanoi - 2022

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TABLE OF CONTENTS

3

LIST OF TABLES

4


LIST OF CHARTS

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LIST OF FIGURE

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INTRODUCTION
Agribank has always been considered as one of the largest banks in Vietnam in
terms of total assets, capital, staff system, facilities and operating network of the
business, especially the size of customers. Vietnam bank for Agriculture and Rural
Development is constantly developing and has achieved remarkable achievements in
the growth of Vietnam's economy. With these achievements, Agribank has maintained
its position as the top commercial bank in Vietnam.
Internet Banking services in Vietnam are currently developing strongly,
especially in cities and urban areas. The benefits of Internet Banking services for
users, banks and the economy are great thanks to its convenience, convenience, speed,
accuracy and security. This service has contributed to promoting economic and trade
activities, services, tourism development, facilitating the expansion of economic and
trade relations with the region and the world. Its advantage is that it has the ability to
attract a wide range of customers at any time of the day with all distances in space and
time. This helps banks to approach customers better, save transaction costs,... Aware of

this, Agribank is also trying to gradually improve and develop Internet Banking
services. With the rapid development of science and technology, many people are still
concerned about the security and safety of using this service, especially when there are
many security issues that cause information leakage customer. Therefore, bank need to
take measures to improve and develop services, utilities as well as absolute security,
creating peace of mind for customers when using, helping the bank reduce costs, risks,
save money and time for both the bank and the customer.

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PART 1: OVERVIEW OF VIETNAM BANK FOR AGRICULTURE AND
RURAL DEVELOPMENT, AGRIBANK - THANG LONG BRANCH AND THE
INTERNSHIP
1.1 Information of Agribank
- Name: Vietnam bank for Agriculture and Rural Development
- Location: 2 Lang Ha, Thanh Cong Ward, Ba Dinh District, Ha Noi
- Slogan: Bring prosperity to customers
- Logo:

- The letter S is the shape of the country of Vietnam.
- Website: www.agribank.com.vn
- Geographical development: Agribank is the largest bank in Vietnam in terms of
capital, assets, staff, network of operations and number of customers. By March 2007,
Agribank's leading position was still confirmed in many aspects: Total capital reached
nearly 26,700 billion VND, own capital was nearly 15,000 billion VND; Total
outstanding loans reached nearly 23,900 billion VND, the bad debt ratio according to
new standards, in line with international standards is 1.9%. In 2007, Agribank had
more than 2,200 branches and transaction points nationwide with nearly 30,000
employees. In 2020, Agribank is the leading state-owned commercial bank in Vietnam

in terms of charter capital, total assets, network size, staff and number of customers
with nearly 40,000 employees; 2,300 branches and transaction offices in the whole
system.
- Number of employees: 40.000
- Date of creation: March 26,1988
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- Activity:
+ Range of product: Personal account, Business account, Saving account, Card
service, International payments, E-Banking Services
+ Target: Possessing the largest network in the system with over 2,300 branches,
now with the support of technology, Agribank hopes to expand its financial services to
people in remote areas. With specific programs, Agribank is trying to bring banking
services closer to customers, contributing to the success of the agricultural industry,
changing farmers' lives, changing the face of agriculture, contributing to the success of
the agricultural sector contributing to the impetus for the country's economic growth,
creating favorable conditions and supporting people and businesses to access loans and
use banking services.
1.2 Information of Agribank - Thang Long Branch - Tay Son Transaction
Office
- Location: 111 Thai Ha, Trung Liet Ward, Dong Da District, Ha Noi
- Number of employees: 9
- Date of creation: March 6, 1991
- Phone number: 0984968261
- Activity:
+ Range of products: Personal account, Business account, Saving account, Card
service, International payments, E-Banking Services
+ Target: Try to complete all the targets set by the branch. Help to slap the
desires that customers make. Improve service quality and attract customers

- Transaction office organiazation structure:
+ Director and deputy director
+ The head of the accounting team
+ Treasury accounting department
+ Credit department
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Figue 1: Pictures of Agribank, Thang Long Branch, Tay Son Transaction Office
1.3 Introduction of my internship
1.3.1. The reason to choose the topic
Today, information technology is developing rapidly, which has brought us a lot
of conveniences in all areas, especially in the field of Banking. Concepts of e-banking,
online transactions, online payments Internet, etc. has started to become a development
and competitive trend of commercial banks in Vietnam. Internet Banking service now
occupies an important position in the bank's business activities, it is a solution for fast,
modern payment, competitive in cost and service quality. Banks can increase revenue,
gain customer attention and engagement, and facilitate customer service across the
country. At the same time, this is also a service that brings strategic competitiveness to
banks today, is a particularly important tool that banks need to grasp, improve, and
apply creatively to improve efficiency business work.
The development of Internet Banking service is one of the most effective
solutions to increase the bank's competitiveness, diversify products, increase
convenience and speed. Grasping that trend, Agribank, including Thang Long Branch,
Tay Son Transaction Office, are also making constant efforts to catch up with the
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process of banking modernization, in addition to perfecting traditional banking
operations system, but also focus on developing modern banking applications,

including Internet Banking. However, the development of Internet Banking service of
Agribank, especially Thang Long Branch, Tay Son Transaction Office shows that there
are still difficulties and limitations. Realizing the importance of developing Internet
Banking services today, with the desire to improve and enhance service quality, attract
and create trust from customers, so I chose the topic: "Improving Internet Banking
services at Vietnam Bank for Agriculture and Rural Development - Thang Long
Branch - Tay Son Transaction Office" to research, assess the current situation and offer
solutions to improve high quality Internet Banking service at Agribank, Thang Long
Branch, Tay Son Transaction Office.
1.3.2 Internship plan
Table 1: Internship plan at Thang Long Branch, Tay Son Transaction Office

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Date
From: 1/3

Task / Mission
To: 8/3

Outcome

- Started working at Tay

Thorough understanding

Son transaction office

of Agribank, Tay Son

- Learn about Agribank

transaction office and

and Tay Son transaction

Internet Banking service

office
From: 9/3

To: 25/3

- Learn, communicate

- Understand the work of

with customers and how to an employee bank and
perform operations to

know how to

register for Internet

communicate with

Banking service along

customers

with other jobs of a banker

From: 26/3

To: 6/5

- Survey of customers

- Collect customer reviews

about the quality of

about service quality

Internet Banking services

- Compare banks,

of Agribank, Tay Son

branches or transaction

Transaction Office

offices located near

- Competitor analysis

Agribank, Thang Long

Branch, Tay Son
Transaction Office

From: 7/5

To: 14/5

SWOT analysis

Find out weaknesses,
strengths, opportunities
and threats for Agribank's
Internet Banking service

From: 15/5 To: 27/5

Completion my report

- Find solutions to
improve service quality
and conclude
- Career plan in the near

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future


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PART 2: INTERNSHIP IMPLEMENTATION AT AGRIBANK – THANG
LONG BRANCH – TAY SON TRANSACTION OFFICE
2.1 The internship position, responsibilities and tasks
2.1.1 Department structure and internship position
Figure 2: Organization structure of Thang Long Branch, Tay Son Transaction
Office

DIRECTOR

DEPUTY DIRECTOR

Credit Department

Staff

Staff

Treasury accounting
department

Treasurer

Staff

Staff

(Source: Agribank – Tay Son Transaction Office)
Internship position: My position in the trading room is an intern. I work at the
counter, communicating with individual customers under the supervision of Ms.

Nguyen Thi Thom, who guided me at the transaction office.
2.1.2 Business procedure and work placement responsibilities
2.1.2.1 Business procedure
- Conditions to register for Internet Banking Agribank:
+ Customers who have a payment account in VND opened at Agribank.
+ Customers have registered for the service and accept the Terms and conditions
of using Agribank's e-banking services.

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+ Customers are not allowed to edit or cancel transactions that have been
transferred to Agribank's electronic system.
- The process of registering Internet Banking services with individual
customers at Agribank is as follows:
+ Step 1: You need to bring the original ID Card to the nearest branch or
transaction office of Agribank to directly open a payment account in VND for
transactions and to register for Internet Banking service for this account. The
registration process will be very quick and completely free for users.
+ Step 2: After successful registration, the bank staff will provide you: account
name, password to log in to the system.
+ Step 3: Log in to your Agribank Internet Banking account to use. To ensure
safety and security when using the service, the system will ask you to change your
password the first time you log in. You need to change your password to continue
using the service
- For the convenience of Agribank Internet Banking registration, you need
to note :
+ Visit the branch, transaction office of Agribank during office hours to get the
best service.
+ Customers must have a payment account in VND to be eligible to register for

the service. If you do not have a bank account, you will be able to open an account
when you sign up for the service
+ Customers need to provide a phone number to integrate SMS Banking function
to send transaction tracking information
2.1.2.2 Work placement responsibilities
During my internship, I was given basic banking duties. When interning at a
serious environment, namely Agribank, I need to have a great responsibility when
starting to work here, always focus on working, be meticulous and careful, strive to
complete the set tasks and goals.
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- Always maintain a respectful attitude towards customers and all staff at the
bank
- Answer all questions, questions of customers about the bank's products and
services, especially Internet Banking services.
- Give suggestions and help new customers to use the bank's Internet Banking
service
- Proficient in computer operations to be able to help people when needed. Help
with small jobs in the bank: photo of documents, scan documents,...
- Receive and resolve customer complaints with the help of colleagues
2.1.3 Daily tasks
I work at a bank from Monday to Friday. During the first week, I learned about
the bank's regulations, card products and services, and was given documents by Ms.
Thom to read and better understand Agribank and its transaction offices. I was
introduced by Ms. Thom to people and positions in the transaction office, as well as
helped me get acquainted and greet everyone with the position of intern. I also learned
more operations on the computer in the office.
After that, I sat at the counter watching other colleagues perform operations to
better understand the work at the bank. When a customer comes, I always maintain a

respectful attitude, warmly greet and understand the needs and questions of the
customer, thereby offering the best solutions with the help of other employees in the
bank. Second, I was assigned the task of organizing documents in the transaction
room, along with that, I will give papers and documents for customers to sign, write
and return to staff when necessary.
2.2 Some business cases
2.2.1 Case No1:
Name: Nguyen Linh Phuong
- Sex: Female
- Marital status: Single
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- D.O.B: 16/5/2003
- Address: Thai Ha, Dong Da, Ha Noi
* Negotiate process:
- Step 1: She is currently a freshman so she wants to open a new account to
support her studies away from home
- Step 2: I suggested to her about opening a new account along with registering
for an Internet Banking account so that she could find it convenient and fast in the
process of receiving money, transferring money, shopping,..no need to waste time
going to the bank
- Step 3: She refused to register for an additional Internet Banking account
because she thought it was unnecessary and cost an extra monthly fee to maintain.
* Results: Failed
- Customers do not agree to register for Agribank's Internet banking service
* Reasons for failure:
- Customers do not want to spend extra money to maintain monthly services
- Customers do not trust Agribank's Internet Banking service
- Not giving enough reasons to convince and satisfy customers

2.2.2 Case No2:
Name: Nguyen Minh Nhat
- Sex: Male
- Marital status: Single
- D.O.B: 24/8/1998
- Address: Pham Ngoc Thach, Dong Da, Ha Noi
* Negotiate process:

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- Step 1: Before that, he opened an account of Agribank but did not register for
Internet Banking service because he found it unnecessary. After that, he went to the
bank to open another personal account to serve his needs
- Step 2: I tried to convince him to sign up for Internet Banking by offering its
benefits and convenience.
- Step 3: He hesitated, but then agreed to sign up for the bank's Internet Banking
service
- Step 4: Prepare documents and guide customers on how to register for Internet
Banking service
- Step 5: Sign up successfully
* Results: Success
- Customers have successfully registered for Internet Banking service of the bank
* Reasons for success:
- Attentive and enthusiastic customer service
- Customers already know more about the benefits that the service brings and
trust the service quality of the bank
2.2.3 Case No3:
Name: Ngo Thi Dung
- Sex: Female

- Marital status: Married
- D.O.B: 24/8/1992
- Address: Thai Ha, Dong Da, Ha Noi
* Negotiate process:
- Step 1: Currently, she is a teacher in an elementary school. She opened a
personal account at Agribank to receive her monthly salary. And every month, she
comes to withdraw money to pay for family expenses.
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- Step 2: I convinced her to use Agribank's Internet Banking service to save time,
pay bills or shop faster by pointing out the benefits that the service brings to
customers.
- Step 3: At first, she was quite hesitant because she thought the procedure was
cumbersome, time consuming and had to pay a monthly maintenance fee. After my
persuasion, she finally agreed to register to use the service
- Step 4: Create a profile of customer information and guide customers through
the steps to register to open an account and use the service.
- Step 5: Sign up successfully
* Results: Success
- Customers have successfully registered for Internet Banking service of the bank
* Reasons for success:
- Attentive and enthusiastic customer service
- Customers already know more about the benefits that the service brings and
trust the service quality of the bank
2.2.3 Case No4:
Name: Nguyen Thu Huong
- Sex: Female
- Marital status: Married
- D.O.B: 26/5/1996

- Address: Ton That Tung, Dong Da, Ha Noi
* Negotiate process:
- Step 1: She is a new customer, first came to the transaction office with the
purpose of opening a personal account of Agribank.
- Step 2: I persuaded and suggested her to register for Internet Banking service to
be able to experience the benefits and quality of this service.

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- Step 3: She refused to sign up for the service because she thought it was
unnecessary, time consuming and expensive
* Results: Failed
- Customers do not agree to register for Agribank's Internet banking service
* Reasons for failure:
- Customers do not trust Agribank's Internet Banking service
- Not giving enough reasons to convince and satisfy customers
2.3 Service analysis
2.3.1 Customer research
Survey start time: from March 26, 2022 to May 6, 2022
- Total number of customers surveyed: 120. But only 105 votes were successful,
the remaining 15 votes were unsuccessful due to many reasons
* The total number of surveyed samples is 105, in which male customers account
for a higher proportion. The number of male customers is 55 people, accounting for
52.4%. The number of female customers is 50 people, accounting for 47.6%.
Chart 1: Gender

Chart 2: Age

* Through Chart 2, it can be seen that customers come to the transaction office of

many different ages. Customers are mainly from 18-25 years old with 45 customers
accounting for nearly half of 42.9%. Next is the age group from 25-35 years old with
39 customers, accounting for 37.1%. The age group from 35-45 has 18 people,
accounting for 17.1%. The lowest is over 50 years old, only 2.9%, because they have
little need to use Internet Banking services
Chart 3: Job
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* Comment: According to the survey results, it can be seen that the number of
customers using Internet Banking services the most are students account for 41.9%,
nearly half of the number of customers participating in the survey. The next customer
group is officer with 38 people, accounting for 36.2%. The next customer group is
public servants and housewives with 12.4% and 6.7% respectively. Finally, the group
of retired customers accounted for the lowest proportion of 2.9%.

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Chart 4: Reasons why customers know about Internet Banking services

* Comment: Through the survey, it can be seen that customers mainly know
about Internet Banking service because they are advised by bank staff and at the bank's
transaction counter or introduced by relatives, friends and colleagues.Through the
survey, it can be seen that customers mainly know about Internet Banking service
because they are advised by bank staff at the bank's transaction counter or introduced
by relatives, friends and colleagues. Agribank's marketing is still not really effective,
the bank needs to step up communication and promotion on the mass media to attract
more customers, as well as promote the development of the bank's website more.

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Chart 5: The purpose of using Internet Banking services of customers

* Comment: From the chart above, it can be seen that the main purpose of
customers when using Agribank's Internet Banking service is to transfer funds and
check account balances. Female customers have the habit of using Internet Banking to
pay monthly bills, shopping,... In addition, customers also use it for other purposes
such as borrowing money, updating information on exchange rates, interest rates,... to
help them get more information and save time.
Chart 6: Evaluate the quality of service use by customers

* Comment: Most customers feel that the quality of Agribank's Internet Banking
service is average, nothing outstanding, and they sign up for this service mainly due to
job requirements. There are also many customers who are satisfied with the service
quality because of the convenience it brings as well as the security. On the other hand,
the percentage of customers who feel no really satisfied with the registration process,
the access speed, the stability of the website or the transaction process is still quite
high. A large number of customers feel confident in the security of the service and
satisfying the needs of customers
2.3.2 Competitor analysis
* Most banks in the Vietnamese banking system are free to register for Internet
Banking service for customers. However, in the process of using the service, you will
have to pay a monthly service maintenance fee and a fee for performing out-ofnetwork and intra-network money transfers in the system.
Table 2: Compare fees of Internet Banking service among banks

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Banks

Service registration fee

Service maintenance fee

Agribank

Free

50.000 VND/year

Techcombank

Free

Free

Vietinbank

Free

9.900 VND/month

Vietcombank

Free

11.000 VND/month

=> Internet Banking maintenance fee of Vietinbank and Vietcombank ranges
from 9,900 to 11,000 VND/month. Particularly, Agribank applies the annual fee to
maintain Internet Banking, the fee ranges from 50,000 VND/year.
* Internet Banking service of all 4 banks has the following basic functions:
- Internal and interbank transfers.
- Query, update account information, available balance...
- Pay bills for shopping, services such as buying air tickets, train tickets, paying
electricity and water bills, recharge phones for prepaid subscribers...
- Open an online savings account and close a savings account.
In addition, banks also have a number of separate products and functions as
follows:
Table 3: Compare products and functions of Internet Banking service between
banks
Bank
Agribank

Functions/products
- Agribank has implemented many new products, functions and
utilities in the card industry, including: Expanding the cash by
code function (Cash by Code)
- Quick money transfer 24/7 via Napas

Vietcombank

- Deposit to stock trade account
- Domestic tax payment
- Associated with charity organisation: transfer money to
accounts of charities.
- Insuarance payment for Vietcombank life insuarance-Cardif,
associate with Prudential, AIA, Korea LifeLiberty, Dai-ichi Life,

Manulife, PVI Sun life,..

Vietinbank

- Online loan repayment:
+ Regular loan repayment
+ Paying off credit card debt
- Send and finalize savings online:
+ Actively finalize the opening savings account at iPay in part or
in full when necessary
+ Change the maturity method (re-maturity or settlement on

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maturity) at any time.
Techcombank

- Receive and transfer money from abroad via Western Union.
- Pay customs duties.
- Transfer money to another bank via card number

=> In general, Agribank's Internet Banking service does not have too many
outstanding points compared to other banks. Vietcombank's strength is its association
with many different organizations to provide services to customers. Techcombank and
Vietinbank also offer more products to better suit customers' needs
2.3.3 SWOT analysis
Table 4: SWOT analysis
Strengths

Weaknesses

- Brand is considered a strong point
that Agribank has compared to other
banks in the country. Today, brand is
considered as one of the important tools
in establishing relationships and building
trust with domestic and foreign customers
using services.

- Marketing is not really effective,
many people still do not know and use
Internet Banking service of the bank

- Service quality is not high due to
network quality, transmission
speed,
technical errors. The infrastructure is not
synchronized (due to the wide network of
- Wide network of branches and branches and transaction offices) so it is
diverse distribution channels
difficult for the process of improvement and
investment in high technology.
- Access at any time
- Products and services and fee
schedule are not competitive with other
- Agribank has applied advanced banks in the same area, so they have not
technologies and new solutions to attracted many customers to use the service.
payment activities to increase payment
- The level of technology, experience,

speed, enhance service safety and
security,
and
increase
customer and business management skills is limited,
and the staff is not uniform.
experience and satisfaction.
- Faster transaction with lower costs

Opportunities

Threats

- The covid-19 pandemic is an
- Risk of fraud to steal customers'
opportunity to increase transactions and personal information before high-tech
payments via Internet Banking.
criminals
- The 4.0 technology revolution
- The increase of competitors in the
makes
customers'
habits
change, future with modern technology, strong
including the use of digital banking
financial capacity, professional management
- People's awareness has gradually skills from abroad poured into Vietnam.
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