United arab emirates banks


The Banks in United Arab Emirates Banks are very obvious undergoing a financial crisis and are perhaps headed for a deep recession. And many examines have been claims about the way the financial crisis is affecting the economy as a whole and argue that these claims are myths. The banks organizations did present multi underappreciated facts about how the financial systems in these banks intermediates funds between households and corporate business. Islamic Banks did a conventional analysis of the financial crisis focus on their income rate spreads. And no one could assure that such a kind of analysis will prevent mistakes about income and profit rates and might lead to increase the risk that could affect the bank investments.

Clearly, the Union of Islamic Bank and other world economy organizations are undergoing a major financial crisis. And in this project I will examine and discuss several pieces of evidence on how Islamic bank based on their nature id faced the financial crisis and what they did adapt and apply as mechanism to avoid and eliminate the risk of his crisis.


The main purpose of this project is to go through the financial system that has been running successful within the Islamic banks organizations and how did they come overall the financial crisis that been faced and affect the world economy.


Islamic Banking refers to a system of banking activity and process that consistent with principles of Islamic law. There are many Islamic bank have been created to help and support people financial away that make their life run smoothly such as Dubai Islamic Bank, Abu Dhabi Islamic Bank, Al Hilal Islamic Bank, Emirates Islamic Bank, and Al Noor Islamic Bank. Dubai Islamic Bank considered as the oldest most known Islamic Bank and Al Noor is the newest bank that has been opened since a few years ago. In addition, Sharjah National Bank has converted to an Islamic Bank system recently. And these Islamic banks did invest more than 10 billion in it is stocks and shareholders that make them the largest capital and investment sectors in United Arab Emirates Economy.

Most banks in UAE they did accept that the financial crisis cannot be disputed. It is something that happed and it is time to face it.

The financial crisis consists of the following:

First, several major financial institutions have failed in different sectors.

Second, various stock markets have fallen dramatically such as Emmar.

Third, spreads on a variety of different types of loans over comparable so it affected the financial of different private and public sectors.

1) Dubai Islamic Bank (DIB)

DIB considered as the first bank in the world that fully fledged Islamic Bank and the first Islamic Bank that has combined the best of traditional Islamic values with the technology and innovation that characterize the best of modern banking. It was established in 1975 and considered as a leader in its field by setting the standard for others to follow as the trend towards Islamic banking gathers the best reputation in the Arabic and Islamic world.

As of anyone information that Islamic Banking and finance is now one of the world's fastest growing economic sectors that comprise more than 400 institutions with assets under management in excess of $1000 billion. (1)

DIB play an impressive role play in the management of continuously development and improvement of the world economy based on its deep roots of meet its customers' needs and expectations and requirements by creating the close personal services and the clear understanding of all its relations with the communities that surrounded its products, along with this the commitment to flexibility, innovation and modernity, so that will lead to provide its customers of every nation with comprehensive solutions to all their financial needs.

DIB announced to be the best local investment bank that served its customers and provided best and excellent services for clients needs in the Middle East and Africa Markets. In addition, DIB named as the best Islamic retail bank by global finance and the best call center performance.

2) Abu Dhabi Islamic Bank (ADIB)

ADIB was established in 1997 as a public joint stock company. The bank did started it is operation that based on commercial in 1998. And its capital developed as paid up capital of one billion dirham divided into hundred million shares and each share valued of the amount of 10 Dirhams.

For the shareholders I have found that the founders of Abu Dhabi Islamic Bank hold 39% of its equity while the remaining 61% is held by approximately 100,000 shareholders. (2)

The founding shareholders of ADIB are:

The members of the Ruling Family, the Abu Dhabi Investment Authority, and Prominent UAE Nationals.

1) http://www.alislami.ae/en/index.htm

2) http://www.adib.ae/sharholders

I have found that ADIB built it is strategy based on a vision to be the global Islamic bank that provided the Islamic financial solutions for the community wide world. And to be the top tier Islamic financial services group. Based on this the ADIB did setup many objectives that lead it to achieve it is goal such as develop a strong corporate culture to resolve and meet the customer's needs, provide them with quality, cost effective, and use the share innovation to satisfy them by delivering their requirements with ultimate quality performance.

3) Al Noor Islamic Bank (NIB)

NIB was established in 2007 in Dubai with paid capital of ADE 3 Billion. NIB delivers a full range of banking, investing, financial and risk management products and services for its clients, businesses, corporations and government sectors.

NIB looking for forward to serve unique services for it is stakeholders throughout the new 18 locations around the country and by the overseas relationships and agreements.

"In today's highly competitive banking scenario, steering towards success on the strength of Islamic banking may seem like a challenge. Being a team of professionals who thrive on challenge, Noor Islamic Bank is quickly getting adept at that. Fully aware that the asset that we will never have in sufficient supply is time, we have a clearly defined plan to achieve our goals quickly. (3)

Strategic Management Of Banking In UAE

Now the differentiate between the local and international business demands on the banking environment the great generated development from the quick technical development that dominate on the business with two its forms productive and serving, in all organizations, and the actual of competition that depending on the employ career and modern technology, in the work sector adding development and improvement in the productions and services in all kinds and forms, that achieves the organizations aim to destroy the competitions obstacles, and apply its planes, due to the progressing improvement in the field of development and progress of the organizations strategies.

And to achieve all of these things, it is necessary and duty of the managements find strategic professional management for human resources and it should be the productive and creative basic of the organization with specialist rule can be deal with the environmental changes, and to integrate its strategy with the organization strategy that it deals with to use the chances and face changes and the ability to self built, that helps to achieve strategic aims for managements and organizations.

The process of educated and trained human resource the most important cases that the banks and institutes related to, so on the developing nations take great importance combined with great desire to develop and improve the work performance for the workers and identify their productivity, in this research we will study the strategic management for human resource as group of modern systems that completed to achieve human resource system that aims to support the organization strategies to face changes with environmental cases that achieve its development and progressing.

3) http://www.noorbank.com/ae/english/info/about-us/chairman-message/index.aspx

What Attract Investors To Trust Islamic Banks In UAE

The creation of a facilitative healthy business environment in Islamic Banks in UAE, which encourage foreign, and local investors to put their wealth to productive use, and to attract an international investment, has been an important aspects of any country policy that look forward to attract more customers and companies. And the key elements in any successful country there is an incentive strategy that have the provision of first class industrial facilities and business support services, the reduction of red tape and streamlining of administrative procedures, as well as the updating of commercial laws and regulations to meet international obligations, increase transparency and ensure effective protection for investors. Favorable tax laws and political stability also assist in making any country a prime business location.

In addition, installing telephone, fax hotline, residency department and naturalization will attract more company. Along with this the 24 hour computerized system that operated in different languages that can handle enquiries about document needed for all types of visas, including visit, transit, investor, work and domestic servant visas. Also providing callers can access information about documents needed to open a company file at the department, documents for stamping and cancelling visas, court appointments, changing visas and departure certificates. And more reduction in government fees levied on business within any city in the selected country should also assist business development in any country.

Providing and increasing the number of free zones operating in any country to offer a wide range of options to the potential investors, including 100 percent ownership of investments.

Providing different options of transportation ways and hospitals, schools, universities, with multicultural concept will attract more companies to invest.

Since UAE is a developing country, the technology and management skills should be an advanced and specified. On the other words, the government of UAE tries to accomplish or achieve the attraction of wealthy investors and enhance the management skills. Business in UAE a like UK, America and Japan are growing at bullet speed, so, the requirement of doing business should have professional as well as technical and management skills. As a result, UAE government provides programs and services that supporting community economic development and small business growth. And provide the investors with all information on lean manufacturing and provided tools, advice, and management solutions for investors to improve their performance.

Providing Varity of program such as the Performance Plus that could considered as an interactive on-line financial performance tool to help new and established firms determine how they measure up to the competition. It allows investors to enter their company's financial data confidentially and compare it to industry averages. This tool will assist you in making sound operational decisions.

What Government Does To Support Banks

In UAE there is still big evidence that the government do support the hypothesis that intensifying competition to attract investments in Islamic banks induces governments significantly to enhance local and foreigner supplies of infrastructure and of skilled labour; one cannot reject the hypothesis that incentives tend more to compete with than to augment the use of public resources to increase investors productivity-enhancing human-capital formation and the supply of modern

Infrastructure. The government of UAE did work hard to attract Investors, policies to enhance investors supplies of human capital and modern infrastructure, if successful, can nevertheless be a powerful means to attract resources as well as to promote economic development.

The ability to attract Foreign Direct Investment is a validation of international opinion on the attractiveness of an economy in UAE. If investors cannot successfully attract investments then it is bad because they will miss out on developments in the technological environment and they will suffer in a competitive economic environment. So the governments of UAE resolve this obligation. Since the Federal and provincial politics has an influence on rules and regulations effecting foreign direct investment coming in to UAE. People who want to be involved in attracting Investments need to pay close attention to regulations and legislation at the federal and provincial level. Investors often choose sites where the host government's strategy to attract investors is part of a broader process of mobilization around a project of social and political reform in which the government redefines its role, turning away from rigid structures and exclusive relationships with vested interest groups in favor of greater transparency, democracy and market competition. This process both enhances and is reinforced by growing exposure of local and foreign firms in the domestic market to international competition.

One of the reasons why UAE want to ATTRACT stakeholders is to attract the jobs that are associated with such investments - and when the investment turns out to be too expensive to continue, the foreign company may withdraw, and many people will be left unemployed.

I do think that in UAE Banks systems they do need to work more on their legacy and political system for more attraction and Policy makers must remain vigilant to ensure that competition to attract stakeholders does not lower labour and environmental standards but works, if anything, in the opposite direction. Governments and society would benefit in this regard from enhanced international policy co-ordination on environmental standards, perhaps also on core labour standards.

The Concept Of The Strategic Management Banks In UAE

In the UAE the strategic management considered that it is group of decisions and activities in the present to ensure the performance of institutes in the future, these decisions included forming specific aims that should be achieved upon dissimilar periods of time begins with short period of time passing with middle period of time, finishing with the distant period of time, the strategic management consists of three stages:

1- The strategic environmental analytical stage: and it depends on studying of the two environments the interior and the exterior to the institute in order to identified the strategic management and use it in the next step the organization environment contains four main materials the chances given, the risks, in the exterior environment, and the weak and the strength points in the interior environment.

2- The strategic planning strategy: it contains making four followed activities, and does them to achieve the institute's aims and its strategic plans and its different policies.

3- The execution stage: it contains put plans and policies which have been developed in the last stage in effective application, during to the application programmes and balance sheet and different other procedures.

4- The watching strategic stage: this stage contains evaluate the institute performance to ensure that the strategic aims applied according to the plans and the correcting procedures to correct mistakes and effective watching for the application.

But the human resource strategic is decision making process relates to the human resource system that make the human resource system with the environmental conditions and to support the institute's strategic and achieve it strategic aims to face the exchange that face the institute according the environmental conditions.

There is difference between work force planning and the human resource strategy but the human resource, so the work force planning strategy focus on application employments in human resources management because it is a part from the institute strategy and work with it to achieve the strategic aims, the human strategic human resources materials identify through to:

1- Studying the environmental materials that surrounded the institute from all its side and the human resource system.

2- Putting on the human resources aims with supporting the general aims of the institute and working on doing them.

3- Apply the human resource private strategy that supports its general strategy.

4- Apply the work plans and policies and the private time programmes of human resource that support the strategy.

Islamic Banks Nature Of Innovation

The nature of the crisis that faced the world and did affect the economy of different organizations, so as a result the financial did make three claims about the nature of the crisis such as bank leading to nonfinancial corporations and individuals has declined sharply, interbank lending is essentially nonexistent, and commercial paper issuance by nonfinancial corporations has declined sharply and rates have risen to unprecedented levels.

A number of innovative concepts and techniques were introduced in early Islamic banking, including bills of exchange, the first forms of partnership (mufawada) such as limited partnerships (Mudarabah), and the earliest forms of capital, capital accumulation, (4) cheques, promissory, (5) trusts, startup companies, (6) transactional accounts, loaning, ledgers and assignments. (7) Organizational enterprises similar to corporation's independent from the state also existed in the medieval Islamic world, while the agency institution was also introduced during that time. (8) (9) many of these early capitalist concepts were adopted and further advanced in medieval Europe from the 13th century onwards. (4)

The Islamic Bank In UAE Marketing System

UAE as new creative and development country adapt all new changes that related to business so that it could continues and implement always the demands of world economy and created relations in a way for stronger marketing improvement. And since the banking investment it is one main way to achieve the successful in business environment, as a result the UAE government id support and help to have 8 Islamic banks that been entered to the market in all UAE with capital investment exceed trillions of dollars. So all these banks did already start their operations and did increase the preference in the huge economy of UAE. So, all banks in UAE do have plans to get more profits ASAP based on the visions and missions to become as one of the leading banks in the world.

Islamic banks in UAE considered as a multinational organizations network that spread all over the region. There are legends in innovation founded in UAE economy. They do provide products and a service in different countries, recently employed thousands of people around the region, and sells and services real estate and other retails in many countries.

And if the question is if these banks had faced the financial crisis and got effected by? It could be simple to find out many related different factors that could cause the financial crisis in banks in general.

First, the Bank's financial crisis could be partially due to the increasing of loan and credit of the buying stocks and real estate's? So this could be one of many factors that affect the banks with the financial crisis.

Second, the dramatic rise in products prices this past summer.

Third, financial meltdown The Company can't borrow money to ride out the storm, and the credit squeeze has dramatically hindered stocks sales. The finance industry lives on credit as do its customers, so when access to stock loans or leases is limited, sales fall off a cliff.

Fourth, the legacy cost, the costs of providing healthcare and pensions to scores of retired workers. Bank's per-hour labor rate for accessories assembly is about ADE 100 per hour, compared to AED 40 to AED 50 for other companies.

Fifth, the low quality and lackluster of stocks markets, competitors focused on refining their production techniques and produced much higher quality invests. Customers left bank's brands. The company's market share has fallen from a high of just over 50 percent in 2008 to around 23 percent in 2009.

Finally, banks operate in all countries, and if its U.S. operation has been in decades of decline, other markets have been growing, particularly in Asia. But the financial shock has spread across the globe and sales are down everywhere. In effect, banks are bleeding from several wounds. As the largest of the Big Three, banks have been the focus of the media spotlight. But Islamic banks are facing similar problems but with not much affect. And of course, thanks to many of the same factors, even healthy car companies are feeling the pain.

The main strategy Islamic banks they follow it during financial crises to avoid this crisis are:

1- Islamic banks have a deal to build the Vibe in the same plant.

2- Government help

3- New plans

4- Reduce Cost of rate

5- Islamic banks management not refusing anymore to face the reality that its stocks were not competitive with foreign banks.

6- Islamic banks leaders are paid to build healthy enterprises by facing reality and using crises to strengthen their competitive position.

Organization of Islamic Banks in UAE Adapt Deming's Fourteen Points:

The Strategic Management of Islamic banks in UAE did adapt and implement the 14 point of Dr. Deming's. Regarding his following fourteen points recommends many plans for action; for example. (10) Top management will struggle over every one of the above thirteen points, the deadly diseases, and the obstacles. Top management must feel pain and dissatisfaction with past performance and must have the courage to change, every activity is a process and can be improved, and courage will be necessary to embark on a new course.

10) Dr. Edward Deming, The Fourteen Points of Management, Vol.1. 1999

Deming's fourteen points of framework is directly related to how I handle my practical experiences and expectation in life. I realized that due to advancement in technology and knowledge some of the points are outdated and some are duplicates of others. In fast growing economy, I have realized that it is the need for my company to divert its current and traditional way of operating to a more resourceful and efficient digitized economy. Now this where Deming's fourteen points framework fits in my company. My company mission is committed to adopting new philosophy, as there is great advancement in technology. This allows my company to save the needs of my company customers in amore resourceful management. In order for me to accomplish my mission management, I have committed myself towards institute training and retraining to solve our purpose of constancy forever. It is a common practice for companies to experience fear when going through transitional change.

Deming stated that fear as deadly diseases. In order for my company to overcome these deadly diseases, I must cease dependent on mass inspection and end the practice of awarding the business on price tag. In the following whole fourteen points in my opinion, management will have to organize itself as a team to advance the thirteen other points because these points represent the framework for quality as a dynamic system. This system works towards to achieve more productivity less chance of mistake in the process, create a friendly environment, and eliminate fear in the workplace because fear takes a horrible toll. Fear is all around, robbing people of their pride, hurting them, robbing them of a chance to contribute to the company.

It is unbelievable what happens when you unloose fear. In addition, eliminate numerical quotas so as a result, we can increase our productivity and let our employee to reach their potential, and their morale. On the other hand, ethics of our employee decrease make them dishonest, decrease the quality of work when we try to impose numerical quotas, and eliminate full potential. Eliminate slogans, exhortations, and targets for the workforce can be positive in teamwork and to defined guidelines but on the other hand it can make the employee narrow and their mistake is intolerable. Finally, in my opinion management should have a burning desire to make changes. Management should identify a process and decide what change will improve it. And we must identify who our customers are and plan how to improve services related to our customers, management as I mentioned previously should the whole thirteen points seriously and analyze them critically.

According to the fourteen points which I have read, I have concluded that these points represent one system and if we ignore one of these points then it will cause a weakness in the whole system. Personally, I believe that these fourteen points are related to any organization or framework to improve the productivity and the skills of the workers and the management.

Deming's Fourteen Points:

1. Create constancy of purpose toward improvement of product and service with a plan to become competitive, to stay in business, and to provide jobs because no company without a plan for the future it will stay in business:

Establishing constancy of purpose means (1) Innovation; (2) Research and education; (3)

Continuous improvement of product and service; (4) Maintenance of equipment, furniture

and fixtures, and new aids to production in the office and in the plant.

2. Adopt the new philosophy:

Point two really means that management must undergo a radical transformation to maintain the company's viability in the global marketplace. We are in a new economic age. The weaknesses showed up when competition came in.

3. Cease dependence on mass inspection:

Quality comes not from inspection but from improvement of the process. We must stop relying on mass inspections of result of process. Rather, concentrate on improving the process itself so that you will prevent errors from occurring in the first place. Inspection must be carried out in a professional way, not by lick-and-spit methods.

4. End the practice of awarding business on price tag alone:

Purchasing managers must understand when and how the materials and supplies they order will be used. They must have an essential role to play in the quality improvement process. With no regards to quality and service, can actually drive good vendors and good service out of business.

5. Improve constantly and forever the system of production and service:

Improvement is not a one-time effort. Management is obligated to improve continually. Everyone and every department in the company must subscribe to constant improvement. Management must lead the way and only management can initiate improvement in quality and productivity.

6. Institute a vigorous program of education and retraining:

We need to have training to improve our productivity. Also, we need training to select managers and workers in the fundamentals of statistical quality control. Training should not end as long as performance is not yet in statistical control and there is something to be again.

7. Institute leadership:

Leadership is the job of management. Leadership is a skill that has many faces. A good leader needs to know how to deal with situations and how to deal with people. As a result, leadership tries to help people and machines do a better job.

8. Drive out fear:

People in workplace especially in management positions are afraid to ask questions, or to take a position, to express ideas, they are fear for the future of their company and the security of their jobs, they are afraid to admit they made mistake, so the mistake is never rectified.

9. Break down barriers between staff areas:

Lack of communication between the marketing department and the customer contact functions is a typical problem. Each company (department) or organization should be aware how its output affects other company (department) or organization affects other areas as well as customers. It is the management's job to help staff areas work together and to promote teamwork. Management creates the system which people or staffs work in together.

10. Eliminate slogans, Exhortations, numerical goals, posters, and targets for zero defects and new levels of productivity without providing new methods:

Management's job is to try to stabilize systems. An unstable system is a bad mark against management. Eliminate slogans, exhortations, numerical goals, posters and targets for zero defects is a way to get rid in the workplace from those banners because they actually have a negative impact on productivity and quality.

11. Eliminate numerical quotas:

Quotas or other work standards such as “measured day work” impede quality perhaps more than any other single working condition. The problem with such quotas and standers is that they are based on average, which means that half of people fail to reach standard. As work standards are generally used, the workers guarantee inefficiency and high cost and the productivity rates are ultimately detrimental to morale and to bottom line.

12. Remove barriers to pride of workmanship:

Remove barriers that rob the hourly worker of his/her right to pride of workmanship. Employees know more than their supervisors do as a result their managers give them more credit. The employees complain about supervisors whose only interest is in getting the work out, not the quality of the work. In my opinion, the responsibility of supervisors must be changed from sheer numbers to quality.

13. Institute a vigorous program of education and retraining:

Education and training must fit people into new jobs and responsibilities. It is not enough to have good people in your organization but they must be continually acquiring the new knowledge and the new skills that are required to deal new materials and new methods of production.

14. Take action to accomplish the transformation:

Management will have to organize itself as a team to advance the thirteen other points. Every employee of the company, including the manager, should acquire a precise idea of how to improve quality continually. The initiative must come from management. Management should take from step 1 to step 13 seriously and analyze it critically.

Reflection About The Goal Alignment

Goal alignment or the act of aligning goals in the Islamic Banks involves ensuring that both people from top to bottom in the banks, and, divisions, branches and departments are working to achieve similar goals.

There are two parts. First, we want people, from the top to the bottom, to contribute to the achievement of the same set of goals. These goals that is important to the success of the entire organization. We also want everyone to understand how their own individual contributions (job responsibilities) contribute to the attainment of organizational goals.

The second part is largely ignored when talking about goal alignment. We also want the work units in an organization to aim at the same goals. So, the HR department in each bank should make their operational decisions in light of the overall goals and objectives of the organization as a whole.

Why is aligning goals so important? Clearly, we want people to be pulling in the same direction within an organization. We don't want everyone going in different directions, any more than we want a dog-sled team or a team of horses pulling in different directions.

We also want the work units to do the same. Often sub-units get so pre-occupied with their own day-to-day tasks that they forget why they exist in the first place. HR may do things that actually get in the way of achievement of larger organizational goals, or, for that matter, so can accounting departments, Islamic banks, etc.

Getting both people and work units to align goals with the overall organization results in much less effort, higher productivity, and much less frustration within the organization.

Lack of continues development could cause a lot of problem and as we know that business changes and technology growth rapidly. So I have found that the banks traditional management they didn't encourage staff and motivate their skills for invitation. These banks faced big gap of encouragement in right way and to do this there are many ways one of them is to apply the seven action plan help you target your best clients, build a standout service operation and, in turn, build a more profitable business.

Step One: Review your client base and rank your customers. To find your best clients, determine how long each has been with you, how much they've spent during the year, how much handholding they've required in staff time and money, and what their potential revenues might be for the foreseeable future.

Don't assume that a large bill spells a great customer. A big spender who eats up staff hours may not be worth more than a smaller fry that efficiently places orders and never demands special favors. Customers who are perpetually dissatisfied, always terribly demanding, and abusive toward your staff and who don't generate significant revenue are simply not worth coddling.

Study one or two years of records - incoming orders and payments as well as outgoing bills and invoices. Keep tabs on your customer tenure and defection rates, because no matter how many new customers you attract, the older ones really affect your business. Lowering your customer attrition rate by only 5% can yield significant benefits.

Step Two: Get rid of clients who don't fit your customer profile. You may find the notion of dropping clients hard to swallow, since it sounds counterintuitive. After all, whoever heard of ditching paying customers?

Yet when a client's needs do not fall within your firm's so-called service window - that is, the area on which you concentrate your business - you may need to part ways. Just as people don't go to L.L. Bean for tuxedos, you're unlikely ever to win over a customer who wants something not offered in your product line. You also will never satisfy a client who expects you to re-engineer system, such as using low-quality materials to shave the price when you've staked out an upscale niche.

If you're uncertain about a customer's potential or unwilling to give up on him, try turning the relationship around. Set up a friendly meeting to review the relationship. Don't be afraid to discuss the volume, frequency, and price points that would make keeping his business worthwhile to you. Then wait a few months to see the results. Eventually, if you do jettison the client, make sure it's a slow, steady and courteous dismissal. You don't want any bad word of mouth.

Step Three: Listen to your customers and provide what they want. The first rule of a successful partnership may be old-hat but is nonetheless key: Regularly keep in touch, and always listen carefully. Unhappy clients rarely complain, at least to the source of their troubles. They simply vote with their wallets.

You should be as forthcoming as possible with your clients too. Hold an open house, take clients on a tour of your facilities, and allow them to tap into your computerized records of inventories or let them join your marketing meetings. Forming an advisory council composed of your valued customers may also work. You get a sounding board and they get a bird's-eye view of how you operate. If you want to ante up for a more serious customer-satisfaction survey, make sure you does it right. That means hiring an independent party to conduct a phone poll, using a sample that is a reliable cross section of your type of clients.

Step Four: Put yourself in your customer's shoes. The sure way to forge connections with customers is to understand their business so well that you can offer comprehensive solutions to their problems. The goal is to show you care enough to work overtime to make your client look terrific in front of his own customers.

Step Five: Decide whether to offer tiered services. Excellent overall service for all customers must be your mission. But you can still segment your market and charge a premium for special or more costly requests. Although tiered-level service - with everyone clear on what's available and what they're getting for their money - may be new to your industry, the airlines, of course, have been at it for years. They provide first-class and coach service and charge accordingly, but the plane still takes off and lands at the same time for both customers.

Step Six: Mobilize your entire team to work for the customer. A well-trained, consistent core staff offers the highest level of customer care. Make it clear to everyone at your company that the needs of the customer are always first and foremost. And don't skimp when giving your employees the knowledge and training to do what it takes to make customers happy.

Step Seven: Own your problems; own your customers. There's nothing worse than losing your customer's confidence. Yet, as you well know, some missions really are impossible. And no one's perfect. So what do you do when you make a mistake? First, own up to it. Then, make up for it. Finally, draw lessons from the experience. The most useful and instructive learning grows from the recognition and analysis of failure. Unfortunately, most entrepreneurs prefer not to look back. If you move quickly and effectively to fix a customer problem, you may even turn the mistake into binding opportunities. Then, after the error, your reputation and profile might actually be enhanced in the customer's eyes. (11)

Offer free consultations. Provide lightning-quick deliveries. Ratchet up your service strategy along those lines, and you'll be poised to boost your profits. The trick is to win your customer's loyalty by anticipating their needs and then delivering exactly what they want, perhaps before they ask. That way, when they demand that your product walks, talks and sings, you'll know from experience that it also needs to dance.

11) http://www.hci.com.au/hcisite2/articles/deming.htm


Murabaha: This concept refers to the sale of goods at a price, which includes a profit margin agreed to by both parties. The purchase and selling price, other costs, and the profit margin must be clearly stated at the time of the sale agreement.

Musawamah: Is the negotiation of a selling price between two parties without reference by the seller to either costs or asking price.

Mudarabah: is a special kind of partnership where one partner gives money to another for investing it in a commercial enterprise. The investment comes from the first partner, while the management and work is an exclusive responsibility of the other.

Musharakah: is an arrangement or agreement between the bank, or capital provider, and an entrepreneur, whereby the entrepreneur can mobilize the funds of the former for its business activity.


After I have done searching and looking over sites and books and based on my own knowledge I have found that most organizations economy have been faced the crisis and got affected by. And because my project was about the Islamic banks in UAE I have found that they did get a little affect less than other banks, but on other hand the Islamic banks did follow and implement a smart strategy that caused them just few lost in their revenue comparing to other organizations and banks. And we could refer this to the strategic management system that has been applied and to flexible management way that adapt all effective system that meet customers' needs and expectations and care of customers income and financial situations.

They have done adapt and implement specific goal alignment to work along with their strategy. They kept provide their own customers with different services and loans in different ways. These banks did afford different programs to help and serve their customers such as Musharakah, Mudarabah, Murabaha, and Musawamah. These programs did give the banks effective relationship with customers and strong trust and this could be one of the main reasons that why these banks did not get affected by the financial crisis such as other not Islamic banks.


1) http://www.alislami.ae/en/index.htm

2) http://www.adib.ae/sharholders

3) http://www.noorbank.com/ae/english/info/about-us/chairman-message/index.aspx

4) Jairus Banaji (2007), "Islam, the Mediterranean and the rise of capitalism", Historical Materialism 15 (1), pp. 47-74, Brill Publishers.

5) Robert Sabatino Lopez, Irving Woodworth Raymond, Olivia Remie Constable (2001), Medieval Trade in the Mediterranean World: Illustrative Documents, Columbia University Press, ISBN 0231123574.

6) Timur Kuran (2005), "The Absence of the Corporation in Islamic Law: Origins and Persistence", American Journal of Comparative Law 53, pp. 785-834 [798-9].

7) Subhi Y. Labib (1969), "Capitalism in Medieval Islam", The Journal of Economic History 29 (1), pp. 79-96 [92-3].

8) Said Amir Arjomand (1999), "The Law, Agency, and Policy in Medieval Islamic Society: Development of the Institutions of Learning from the Tenth to the Fifteenth Century", Comparative Studies in Society and History 41, pp. 263-93. Cambridge University Press.

9) Samir Amin (1978), "The Arab Nation: Some Conclusions and Problems", MERIP Reports 68, pp. 3-14 [8, 13].

10) Dr. Edward Deming, The Fourteen Points of Management, Vol.1. 1999

11) http://www.hci.com.au/hcisite2/articles/deming.htm

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