Professional Documents
Culture Documents
Internship Report On
Pakistan international Airlines PIA Finance Department
Funds Management
Submitted by:
NABILA RASHEED
BS(COM) Finance
Sindh University Jamshoro Hyderabad
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Funds Management
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Funds Management
Submitted by:
NABILA RASHEED
BS (COM) Finance
University Sindh Jamshoro Hyderabad
Submitted to:
Director
Institute of commerce
UNIVERSITY OF SINDH JAMSHORO
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Acknowledgement
Nabila Rasheed
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DEDICATION
Dedicated
To
MY LOVING PARENTS
And
TEACHERS
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Table of Contents
COMPANY PROFILE 07
• History of PIA__________________________8
• Expension_____________________________ 14
• Vision, Mission, and Values_____________________15
• Board of Directors ____________________________17
• Management____________________________18
• Managing Director of PIA_________________19
• Corporate Social Responsibilities_________________19
• PIA’s Fleets___________________________________25
• PIA’s Personnel__________________________25
• livery __________________________________26
• PIA’s Network and Destinations _________________27
• PIA's Hub ____________________________________32
• Sports__________________________________32
• Hajj and Umrah Operations_______________ 34
• Flight Kitchen__________________________________36
• Funds Management______________________40
• Finance & Bank_________________________41
• Dept Management_______________________________43
• Cach Management_______________________________45
• Bank Reconsiliation______________________48
• Payments,______________________________50
• Transfer of Surplus Funds________________________51
PROJECT
SUGGESTIONS__________________________________ ____52
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COMPANY
PROFILE
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HISTORY
Birth of a Nation, Birth of an Airline
Air transport has probably never been more important to the development of a new
nation than in the case of Pakistan. In June 1946, when Pakistan was still in the
offing, Mr. Mohammad Ali Jinnah, the Founder of the upcoming nation, instructed
Mr. M.A. Ispahani, a leading industrialist, to set up a national airline, on a priority
basis. With his singular vision and foresight, Mr. Jinnah realized that with the
formation of the two wings of Pakistan, separated by 1100 miles, a swift and efficient
mode of transport was imperative.
On 23rd October 1946, a new airline was born. Initially registered as a pilot project in
Calcutta, Orient Airways Ltd. had at its helm Mr. M.A. Ispahani as Chairman and Air
Vice Marshal O.K. Carter as General Manager. The new carrier's base remained in
Calcutta and an operating license was obtained in May 1947.
Four Douglas DC-3s were purchased from Tempo of Texas in February 1947 and
operations commenced on 4th June 1947. The designated route for Orient Airways
was Calcutta-Akyab-Rangoon, which also happened to be the first post-war
international sector to be flown by an airline registered in India. Within two months of
Orient Airways' operational beginnings, Pakistan was born. The birth of a new nation
generated one of the largest transfers of population in the history of mankind.
Orient Airways, along with the help of BOAC aircraft which had been chartered by
the Government of Pakistan, started relief operations and transportation of people
between Delhi and Karachi, the two capitals. Subsequently, Orient Airways
transferred its base to Pakistan and established a vital link between Karachi and
Dacca, the two capitals of the two wings of Pakistan. With a skeleton fleet of just two
DC-3s, three crew members, and twelve mechanics, Orient Airways launched its
scheduled operations in a fairy-tale manner. The initial routes were Karachi-Lahore-
Peshawar, Karachi-Quetta-Lahore and Karachi-Delhi Calcutta-Dacca. By the end of
1949, Orient Airways had acquired 10 DC-3s and 3 Convair 240s which were
operated on these routes. In 1950, it had become increasingly apparent that additional
capacity would have to be inducted to cater to the growing needs of the sub-continent.
Orient Airways was a privately owned company, with limited capital and resources. It
could not be expected to grow and expand independently. It was then that the
Government of Pakistan decided to form a state-owned airline and invited Orient
Airways to merge with it. The outcome of the merger was the birth of a new airline,
through PIAC Ordinance 1955 on January 10, 1955.
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The year 1955 also marked the inauguration of the fledgling airline's first scheduled
international service - to the glittering, glitzy capital city of London, via Cairo and
Rome. Initially, there was much criticism, as the public could not comprehend or
justify the need to operate an international route when, in their opinion, other projects
vital for a developing country should have been given a higher priority. However,
PIA's focus was, and continues to be, to serve the Pakistani community at large. The
provision of transportation to expatriates has remained one of the foremost priorities
of the national airline. Moreover, PIA earned substantial foreign exchange through
international services, which it invested in the purchase of aircraft and spare parts, as
fleet expansion was a grave necessity for the airline.
In 1956, orders were placed for two Super Constellations and five Viscounts which
were to be delivered in 1959. At this juncture, PIA possessed a small fleet which
comprised of Convairs, Viscounts, Super Constellations and DC-3s.
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While Mr. M.A. Ispahani was the first Chairman of the new dynamic airline; it was
the first Managing Director of PIA, Mr. Zafar-ul-Ahsan, who in his 4 year tenure, got
the ball truly rolling and set the shape of things to come. The PIA Head Office
building at Karachi Airport, which houses all the major departments of the airline,
was the brain-child of Mr. Zafar-ul- Ahsan. In fact, on his departure from the airline,
the employees presented him with a silver replica of the building with the caption,
"The House You Built".
In 1959, the Government of Pakistan appointed Air Commodore Nur Khan as the
Managing Director of PIA. With his visionary leadership, PIA 'took off' and within a
short span of 6 years, gained the stature and status of one of the world's frontline
carriers. In aviation circles, this period has often been referred to as the "golden years
of PIA".
Development, expansion, and growth were keywords that the new management was
committed to. In March 1960, PIA launched its first Boeing 707 jet service on the
London-Karachi-Dacca, route which later proved to be very successful. This trail-
blazing accomplishment resulted in PIA becoming the first Asian Airline to operate a
jet aircraft, setting trends for the future. In 1961, the airline took on the mammoth task
of initiating a cross-Atlantic service from Karachi to New York. By this time, PIA had
placed orders for more new aircraft, which included Fokker F-27s, Boeing 720Bs and
Sikorsky helicopters. Helicopter services in East Pakistan had gained momentum by
1962 and expanded to include Sylhet, Chittagong, Dacca, Comilla and Ishurdi. PIA's
helicopter services carried over 70,000 passengers during the first year of operation.
At the time, it was regarded as a stellar operation, equal to any other in the world.
Unfortunately, due to two mishaps, the service was discontinued in 1966.
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In 1962, finding the upper winds forecast favorable, PIA set out to break the record
for the fastest flight between London and Karachi. With representatives of FAI
(Federation Aeronautique International) on board to monitor the official timings, PIA
completed the flight in 6 hours, 43 minutes, 51 seconds, a record which remains
unbroken to this day.
In 1964, PIA achieved another historic first, regarded as a major milestones in the
chequered history of the airline. On 29th April, 1964, with a Boeing 720B, PIA
earned the distinction of becoming the first airline from a non-communist country to
fly into the People’s Republic of China. PIA's first service to China was from Karachi
to Shanghai via Canton. In 1964-65, PIA expanded its fleet further with the addition
of a fourth Boeing 720B and two Fokker F-27s. Serious development had become a
reality and the PIA team continued to move ahead with ambitious plans and goals for
the national flag carrier.
A collective pride and a joyous buoyancy was pervasive within the PIA family.
Riding high on the crest of success, PIA became a household name in Pakistan in the
mid sixties. The war between India and Pakistan, during 1965, further tested the
national airline. PIA played a major role in providing logistical support to the Armed
Forces by operating special flights using Boeings, Super Constellations, and
Viscounts. The Founder of the Nation, Mr. Jinnah had predicted that the Pakistan
Airforce would need the support of a civil airline in special circumstances, and this
came into evidence during the war.
In 1966, a system of feeder services linking eight new points in West Pakistan was
introduced. By this time, the airline's Viscounts were proving inadequate owing to
traffic growth, and had to be replaced by Tridents. The airline continued up the
growth curve, receiving two Fokker F-27s, two Boeing 707s and one Trident in the
following year.
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Around this time, the airline saw a change in the top slot. Air Vice Marshal, Asghar
Khan took over the reigns of PIA for a tenure of 3 years. A number of highpoints are
attributed to this period. The most colourful, if not the most significant, occurrence for
PIA was the introduction of a new air-hostesses' uniform designed by none other than
the renowned French designer, Pierre Cardin. Taking the aviation world by storm, this
move, more than any other single factor, imprinted PIA's name on the international
market. The uniforms were an instant hit, both at home and abroad.
PIA is the first airline to get certified (initial certification) on Safety Management
System (SMS) by Civil Aviation Authority CAA - Pakistan. CAA Air Navigation
Order (ANO 91.0032 issued in September 2008) binds all airlines operating in
Pakistan to have SMS. Well before the issuance of this ANO, PIA initiated SMS
awareness and implementation in July 2008. PIA awarded initial certification on SMS
in 27th February 2009 by CAA.
Not content with a number of historic firsts under its belt, PIA made history yet again,
by installing Pakistan's first computer, an IBM1401, in 1967. PIA's first Engine
Overhaul Shop, located near the Head Office building, was also completed and
commissioned around this time. The Ground Training School (GTS) now known as
the PIA Training Centre, was first conceived and developed during 1961-62.
Interestingly, training was initially imparted in the T-shaped building which has now
become the PIA Dispensary, close to the Head Office building.
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PIA heralded the nineties by donning a bright new corporate identity. Old-timers may
remember the flutter that the earlier green and gold livery had created when it was
first introduced in 1974. However, in keeping with the changing times, PIA
introduced a smart, sporty 90's look. The familiar PIA green was reinforced with moss
green and pale blue stripes were incorporated into the new corporate identity. The
stripes, a universal symbol of sport, highlighted PIA's active participation and
sponsorship of a diverse range of national games. PIA's players have always been at
the forefront of Pakistani Cricket, Hockey, Squash, Football, Chess, Bridge, Polo and
Table-Tennis teams. The nineties also saw the expansion of PIA's massive Haj and
Umrah operations to Pakistan's smaller cities, in addition to the major cities of
Islamabad, Peshawar, Lahore, Quetta and Karachi.
PIA's growth continues unabated and the airline now operates globally, covering the
entire domestic landscape and international destinations spread over 4 continents.
Impressive statistics for a comparatively young airline? Since its inception in 1955,
PIA has indeed, come a long way.
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EXPANSION
In July 2002, PIA purchased six Boeing 747-300 aircraft from Cathay Pacific, five of
which were already on lease with PIA. The sixth arrived shortly after and PIA
operated it mainly on its North American and European routes. In October 2002, after
a period of ten years without any new order, the airline purchased eight Boeing 777
aircraft from The Boeing Company, including three 777-200ER (Extended Range),
two 777-200LR (Longer Range) and three 777-300ER versions. PIA was the launch
customer that revived the Boeing 777-200LR project that, until then, only had three
orders by EVA Air. The first two Boeing 777-200LR produced were test aircraft used
by Boeing, before they were delivered to PIA. One of these Boeing 777-200LR was
displayed at the Paris Airshow during 2005.
During 2004, PIA took delivery of its first Boeing 777-200ER aircraft in January. On
delivery of the first three Boeing 777-200ERs the airline introduced a new aircraft
livery, which was later applied to the majority of the fleet. PIA also acquired six half
life Airbus A310-300/ET from the Airbus management on a ten year lease agreement.
On 3 November 2005 PIA signed an agreement with the aircraft manufacturer, ATR
to purchase seven ATR42-500. The aircraft were purchased to replace the aging F-27
aircraft. The seven ATR aircraft were delivered between 2006 and 2007. On 6
December 2005, PIA leased an additional new Boeing 777-200ER from the
International Lease Finance Corporation (ILFC). The aircraft had the same
specifications as the previous Boeing 777-200ER that PIA operated. The aircraft was
delivered in January 2007 on ten year lease to the airline.
On 25 February 2006 Boeing delivered its first 777-200LR Worldliner to PIA, where
it flew from Everett to Islamabad via Manchester, England. PIA started non-stop
flights from Toronto to Karachi, Islamabad and Lahore from 3 March 2006 taking
advantage of Boeing 777-200LR's long range capability. PIA planned non-stop flights
to New York City and other US cities with sizable Pakistani population centres, but
was not given permission due to security reasons. On 31 May 2006, PIA took delivery
of its first ATR aircraft from Toulouse, France. On 23 December 2006, PIA took
delivery of its first Boeing 777-300ER. After the arrival of a second ATR 42–500,
PIA has ceased using military Lockheed C-130 Hercules for passenger services in the
north of Pakistan. The military planes were being used after the Fokker F27 fleet was
grounded due to a fatal crash in July 2006.
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A pair of Boeing 747s stored at Sialkot in 2008 during the EU restrictions. However,
once the ban was lifted the aircraft were back in use on all routes
During April 2009, the management decided to launch a long-term ‘Business Plan of
PIA’ including purchase of new aircraft with details of the plan being finalised.[14]
Mission
Values
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Customer Expectations
Convenience, Care, and Affordability
Service
Personalized, Courteous, Passionate
Innovation
New Ideas, Products, Value Added Services.
Cohesiveness
Respect for Individuals, Teamwork, and Effective Communication
Integrity
Business Ethics, Accountability, and Transparency
Social Responsibility
Welfare, Health, Education.
Reliability
Loyalty and Consistency
Safety
BOARD OF DIRECTORS
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Mr Muhammad Shuaib
Secretary-PIA
MANAGEMENT
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Managing Director
Captain Mohammad Aijaz Haroon
Director - Finance
Muhammad Ziyad A Syed
Director - Marketing
Mr. Salah uddin
Director
Mr. S. Kamran Hasan
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Captain Mohammad Aijaz Haroon has over thirty years of airline experience with vast
expertise in major operational areas of the airline. He joined PIA in the year 1977 as a
Cadet Pilot. He has served the national airline as Chief Pilot of F-27 aircraft besides
having over 16,000 hours of flying experience on different aircrafts and has been
flying the latest B-777 aircraft since 2004. He holds ICAO Airline Transport Pilots
license with Simulator / Flight Instructor Rating on all aircrafts in PIA and possess a
Simulator Instructor & DCP “A” Check Captain endorsement license for Boeing 777.
He has also held Senior Management positions in PIA including General Manager
Central Control, General Manager Airport Services and Director Airport Services.
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Social Services
The PIA Boy Scouts Association (PIA-BSA), a provincial segment of the Pakistan
Boy Scouts Association, is based on the value system of the Scout Promise and Law.
The PBSA's mission is to actively train and develop members through Youth Training
Programs.
Scouting contributes to the education of young people and helps build a better world
where individuals can play constructive roles in society. The PIA-BSA's major
contributions include providing Haj services at domestic and Saudi Arabian airports,
engaging in activities with the Heritage Association of Pakistan, assisting special
children at PIA's Al-Shifa Trust, and participating in a number of health, cleanliness,
literacy, tree plantation, drug prevention, and blood donation drives. The PIA-BSA
has also started a cricket academy where thousands of youth have received cricket
coaching from PIA's renowned test and first-class cricketers. Following the
earthquake tragedy of 8th October, 2005, the PIA-BSA immediately deployed
contingents in Islamabad followed by scout deployments in Balakot, Garhi
Habibullah, Muzaffarabad, and Bagh where relief goods were distributed and
emergency services were rendered.
PIA Planetariums
Through a combination of projectors, optics, electronics, and precision engineering,
PIA offers a range of cosmic experiences to the Pakistani people. The PIA
Planetariums enable the viewing of virtual universes, replete with stars, planets, and
nebulae and visitors throng the planetariums to look at astronomical phenomena such
as eclipses, alien landscapes, planets, and the sun. PIA is the only airline in the world
to have invested in an innovative and educational planetarium project that is open to
the general public at affordable rates.
PIA Horticulture
Plants and trees provide habitat, shelter, food, materials and medicines to human
beings and animals. Realizing the significance of a healthy and pollution-free
environment, PIA set up a horticulture division in 1996. In addition to maintaining
indoor and outdoor plants and trees, PIA Horticulture provides seasonal flowers for
display in PIA's offices and for a range of events, winning several awards and
accolades at flower exhibitions across the country. To reduce pollution and contribute
towards a greener Pakistan, PIA Horticulture actively participates in tree plantation
campaigns during each spring and monsoon season.
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Medical Services
PIA's medical facilities cover the parents and spouses of serving employees, children
up to the age of 27, unmarried daughters, and disabled, mentally challenged children
of any age. Retired employees and their spouses are also eligible for medical care at
PIA's Medical Centers. In addition to coverage in Pakistan's major cities, PIA has
extended its medical network to 35 smaller stations, in collaboration with private and
public sector hospitals. PIA also looks after its overseas employees under the Local
National Health Scheme and Insurance Schemes.
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Visionary leadership at PIA provided the impetus for the airline to set up a unique
career development plan for sportsmen. PIA provides attractive and stable jobs to
outstanding sportsmen, empowering them to focus on what they do best. Sportsmen
are provided gear, travel facilities, and benefits that have enabled them to excel and
make Pakistan proud. PIA's sportsmen have been and continue to form Pakistan's
lineup for major sports including cricket, hockey, football, squash, polo, tennis,
bridge, chess, table tennis, cycling, and body building. PIA has dramatized the world
of Pakistani sports by transforming popular games into national sports, national
sportsmen into international heroes, and national tournaments into international sports
bonanzas.
Safety
The PIA Corporate Safety & Quality Assurance Division ensures safe operations by
adopting international standards and recommended industry practices. Strict
adherence to Safety & HSEQ policy and procedures during flight as well as on ground
helps in maintaining a hazard free workplace environment. Corporate Safety & QA
Division is responsible for effective implementation of Safety Management System
(SMS), Health Safety & Environment (HSE) Program, Flight & Ground Safety
Management, Flight Data Monitoring & Analysis Program, Emergency Response
Planning (ERP) and Fire Protection Services as well as Quality Assurance Program
encompassing overall operations of the airline.
PIA is proudly maintaining its IOSA Certification and thus IATA Registration since
2005. The IATA Operational Safety Audit Programme is an internationally
recognized and accepted system for assessing the operational management and control
systems of an airline.
IOSA is based on industry proven quality audit principles and structured to ensure a
standardized audit with consistent results. Airlines that meet all standards become
registered with IATA as an IOSA Operator. IOSA Audit covers Organization and
Management System, Flight Operations, Operational Control & Flight Dispatch,
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Fire Safety Courses are conducted regularly to equip employees with fire fighting
skills and to impart critical knowledge of preventive measures. Fire Prevention
Courses are also conducted at the Staff Township and PIA Model Schools so that
employees and their families can take appropriate fire prevention measures at home.
PIA's Corporate Safety & QA Division also actively engages in advocacy sessions to
create awareness through print publications and sharing of experiences. Working in
collaboration with the Fire Protection Association of Pakistan, PIA is committed to
creating and promoting a culture of safety at a nation-wide level. The division's future
plans include running fortnightly fire and safety awareness sessions at government
and private schools.
Emergency Response Facilities include the computerized data storage of teams and
volunteers with an automated emergency call out system. The software application
also provides a technology supported callback system for contacting families of the
affected.
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PIA's Fleet
The Pakistan International Airlines fleet includes the following aircraft (at 11 April
2010)
Fleet developments
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orders and leases. We'll place nine firm orders with nine purchase rights, and take
nine from leasing companies. Deliveries will start at the end of 2010."
• PIA will also be upgrading their entire Airbus A310-300 fleet to increase their
utilization.
Livery
In December 2003 PIA introduced a new image that was applied to their first 777-
200ER and on two leased A310-300s one of which was in service. The livery was
white at the front and beige at the rear separated by a dark green stripe. The tail was
painted white with PIA written in dark green. PAKISTAN was added to the front
fuselage and the engines where painted beige. The PIA written in calligraphic Urdu
was added just behind the cockpit.
However, due to criticism the design was modified before the first Boeing 777 was
delivered. PIA and Boeing replaced the tail with a flowing Pakistan flag on a beige
background. PAKISTAN titles were removed and the PIA acronym was enlarged and
moved onto the fuselage. The engines and Urdu PIA remained the same. The leased
A310s and most of PIA fleet also adopted this livery at a later date.
In early 2006 the airline launched four new tail designs for its fleet. The tails
represented the four provinces of Pakistan: Sindh, Punjab, Khyber Pakhtoonkhwa and
Balochistan.[28]. The tails promoted the cultures of the four provinces of Pakistan by
applying motifs to the tails and adding a city name to the rear of the fuselage
corresponding to the province. The "Frontier" tail represented the "Phulkari"
(flowering) pattern that reflected a tradition of embroidery generally done on shawls,
shirts and linen. The "Punjab" tail was loosely related to the tile decoration of the
Wazir Khan Mosque in Lahore. The "Balochistan" tail showed the creativity seen in
the kilims, carpets and rugs woven with wool, goat or camel hair and mixed yarn. The
pattern is mostly bold geometric motifs in primary colours dominated by red. The
"Sindh" tail was influenced from the Hala tile work with electric blue and white floral
patterns. In 2008 management stopped the application of provincial tails deeming
them too costly.
PIA launched their new livery in early April 2010. An Airbus A310, Boeing 777-200
and Boeing 747-300 were the first aircraft to wear the new look. The livery was
unveiled at the PIA headquarters on a Boeing 777 model. [29] The livery is loosely
based on the hugely popular 1980s "Sohni Dharti" livery and is expected to be painted
on all of the active fleet when they are put into routine maintenance.[30]
The livery consists of a Green and Gold strip running around the bottom of the
fuselage and continuing right up until the tail cone. The forward/upper portion is
white and at the rear it is an off white/beige colour. The bottom part of the tail blends
into the upper fuselage as it is too white with the rest of the tail painted with a large
wavy Pakistan flag which takes up the whole tail in a dark green colour. At the front
of the fuselage 'PIA' is written in a billboard style in dark green and underneath
'Pakistan International' is written in gold. Just behind the cockpit there is a stylised
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Urdu PIA logo as well as on the engines. Underneath 'Pakistan' is written in bold on
the aircraft belly.
PIA Personnel
Captains/Pilots/Co-Pilots 531
Flight Engineers 44
Airhostess 918
Others 14432
PIA’s Network
International Destinations:
United Kingdom
• Birmingham
• Glassgow
• Leeds (Bradford)
• London
• Manchester
Pearl
• Bangkok
• Hong Kong
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Regional
• Delhi
• Dhaka
• Kathmandu
• Mumbai
• Kabul
Gulf/M.E
• Abu Dhabi
• Al-Ain
• Bahrain
• Doha
• Dubai
• Kuwait
• Muscat
• Sharjah
Europe
• Amsterdam
• Copenhagen
• Istanbul
• Milan
• Moscow
• Oslo
• Paris
Batik
• Kuala Lumpur
Code Shared
• Kiev (Europe)
• Urumqi (China)
Saudi Arabia
• Dammam
• Jeddah
• Riyadh
North America
• New York
• Toronto
China/Japan
• Beijing
• Tokyo
Total Destinations: 37
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International Network
Domestic Destinations:
Sindh
Karachi
Moen-jo-Daro
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Sukkur
Benazeerabad (Nawabshah)
Hyderabad
Balouchistan
Dalbadin
Panjgur
Turbat
Quetta
Gawadar
Federal Capital and Punjab
Islamabad
Bahawalpur
Dera Ghazi Khan
Faisalabad
Lahore
Multan
Rahim Yar Khan
Sialkot
N.W.F.P
Peshawar
Dera Ismail Khan
Northern Areas
Chitral
Gilgit
Skardu
Total Destinations: 23
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Domestic Network
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PIA's Hub
The Civil Aviation Authority of Pakistan (CAA), a beacon of service and
achievement, has witnessed dynamic growth since its inception in 1982. Over the
years, the CAA has remained committed to promoting air transportation and
navigation by providing services to civil airports and aerodromes in Pakistan.
Today, the CAA manages the operations and maintenance of several airports and
associated facilities across the country. The CAA specializes in planning, installation,
maintenance, operations, and calibration services for aircraft that use the nation's
airspace.
With a vision for the future, the Civil Aviation Authority envisaged a contemporary,
modern passenger terminal at Quaid-e-Azam International Airport, Karachi, to
effectively handle growing air transport requirements.
Whether you are arriving, departing, or in transit, you are sure to enjoy your stay at
the Jinnah Terminal at Quaid-e-Azam International Airport in Karachi. Designed to
facilitate the modern traveler, the Jinnah Terminal is a perfect blend of form and
function.
From duty-free shopping to delicious local and international cuisine, you'll find plenty
to do at the Jinnah Terminal. Airport lounges, equipped with the latest entertainment
and Internet facilities, will help you relax if you have time on your hands. If you are
rushing to catch another flight, the high-speed lifts and escalators will get you there
with time to spare. Passenger facilitation services, ranging from courteous porters to
spacious check-in halls, eliminate the stress of travel.
PIA's hub in Karachi is the gateway to Pakistan. Come and experience our unique
hospitality and traditions.
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Sports
Visionary leadership at PIA provided the impetus for the airline to set up a unique
career development plan for sportsmen. PIA provides attractive and stable jobs to
outstanding sportsmen, empowering them to focus on what they do best. Sportsmen
are provided gear, travel facilities, and benefits that have enabled them to excel and
make Pakistan proud. PIA's sportsmen have been and continue to form Pakistan's
lineup for major sports including cricket, hockey, football, squash, polo, tennis,
bridge, chess, table tennis, cycling, and body building.
PIA has dramatized the world of Pakistani sports by transforming popular games into
national sports, national sportsmen into international heroes, and national tournaments
into international sports bonanzas.
PIA were the first Asian airline to receive the Boeing 737–300
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Haj, the holy pilgrimage undertaken by Muslims from around the world in the twelfth
month of the Islamic calendar (Zilhaj), is one of the fundamental pillars of Islam.
Muslims endowed with good health and the economic means to undertake the
pilgrimage, perform this sacred duty at least once in their life time. Haj is the largest
congregation of the faithful in recorded history. Over the last 1400 years, Muslims
from across the world, assemble in the House of Allah in Makkah, Saudi Arabia.
PIA, Pakistan's premier airline, transports thousands of pilgrims each year, from
several Pakistani cities to the Kingdom of Saudi Arabia, at special rates.
Every year, PIA also schedules special flights on the Pakistan- Jeddah-Pakistan sector
to serve pilgrims on their way to Saudi Arabia to perform Umrah.
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Airport)
Tokyo (Narita Delhi (Indira Gandhi
Dhaka (Zia International Airport)
International Airport) International Airport)
Mumbai (Chatrapati
Kathmandu (Tribhuvan Dalbandin (Dalbandin
Shivaji International
International Airport) Airport)
Airport)
Gwadar (Gwadar Quetta (Quetta
Panjgur (Panjgur Airport)
International Airport) International Airport)
Turbat (Turbat Islamabad/Rawalpindi (Benazir
Gilgit (Gilgit Airport)
International Airport) Bhutto International Airport) Hub
Skardu (Skardu Dera Ismail Khan (Dera
Chitral (Chitral Airport)
Airport) Ismail Khan Airport)
Peshawar (Peshawar Dera Ghazi Khan (Dera
Bahawalpur (Bahawalpur Airport)
International Airport) Ghazi Khan Airport)
Faisalabad (Faisalabad Lahore (Allama Iqbal Multan (Multan
International Airport) International Airport) Hub International Airport)
Rahim Yar Khan
Sialkot (Sialkot International Hyderabad (Hyderabad
(Shaikh Zayed
Airport) Airport)
International Airport)
Karachi (Jinnah
Moenjodaro (Moenjodaro Nawabshah (Nawabshah
International Airport)
Airport) Airport)
Hub
Bangkok
Sukkur (Sukkur Kuala Lumpur (Kuala Lumpur
(Suvarnabhumi
Airport) International Airport)
International Airport)
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Funds Management
Flight Kitchens
PIA runs two modern, well-equipped Flight Kitchens in Karachi and Islamabad that
serve culinary delights ranging from delicious Pakistani delicacies to tempting
Western cuisines to more than 15,000 passengers everyday, traveling on domestic and
international flights. In addition to serving sumptuous food, PIA Flight Kitchens also
cater to VVIP flights and Chartered flights for top government officials and foreign
delegates. Special meals which are customized according to the passengers’
requirements like Diabetic Meal, Vegetarian Meal, Low Cholesterol Meal and Baby
Meals are also offered to our passengers upon request.
The kitchens are supported by strong production and operation teams including
expatriate chefs who have a diverse experience in international cuisines. The chefs
have undergone overseas training to further hone their skills. Several of PIA’s top
chefs have also been posted to overseas flight kitchens to share their expertise in
cooking skills .
Infact, since February 2006, the management control of the Karachi Flight Kitchen
has been given to Singapore Air Terminal Services (SATS), a leading premier
company in ground and cargo operations , and inflight catering, to further enhance the
quality of food on board the flights. Accordingly, SATS has initiated an extensive
renovation of the Karachi Flight Kitchen to upgrade its infrastructure and are
establishing extremely stringent quality control standards that shall ensure the highest
quality and hygiene levels. PIA flight kitchen is HACCP Certified which is an
international certificate on food hygiene.
The two Flight Kitchens are also equipped with food testing microbiological
laboratories which conduct stringent daily microbiological tests to ensure that food
produced is safe, nutritious and palatable. All the other related processes like
Inventory Control, Menu Planning, Portion Control, Cost Calculations, and
Management Information Systems are managed through cutting-edge technology and
modern business practices
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Funds Management
FINANCE DEPARTMENT
The Finance Department at Pakistan International Airlines Corporation (PIAC)
is headed by the Director Finance (DF). The Finance Department has been
divided into four divisions with each division headed by a General Manager
(GM). The divisions are:
1. General Accounting
2. Revenue Accounting
3. Funds Management
4. Budgeting & Costing
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Funds Management
FUNDS
MANAGEMENT
SECTION
OF
PIA
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38
Funds Management
ORGANIZATIONAL
CHART
OF
FUNDS
MANAGEMENT
SECTION
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39
Funds Management
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40
Funds Management
Objectives
Establishing and maintaining business relations with the banks.
Management reporting.
BANKERS
3. ANZ 13.Comerica
Bank
4. Askari
Commercial 14.Commercial
Bank Bank of
Kuwait
5. Banco De
Roma 15.Deutsche
Bank
6. Bank of
Austria 16.Danske Bank
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Funds Management
21.Handles 29.National
Banken Westminster
Bank
22.Habib
American 30.Royal Bank of
Bank Canada
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42
Funds Management
IT SYSTEM
DEBT MANAGEMENT
Management reporting.
Citibank NA
HSBC
Barclays
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43
Funds Management
b.Fleet Loans
Citibank NA
RBS
Fleet Loans
These loans are denominated in USD.
They are all Govt. of Pakistan (GoP)
guaranteed loans.
(Rs. in Billion)
(Rs. in Billion)
2005 4.40
10.45
2006 12.76
(0.79)
2007 13.40
(11.90)
2008 35.88
(46.70)
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Funds Management
CASH MANAGEMENT
Objective
Monitoring of daily bank balance and cash
flow forecast.
Placement and management of surplus
funds to achieve maximum return/minimize
interest cost.
Short term funds’ placement to earn
interest/markup.
Establishing and modifying banking
arrangements at local and foreign stations of
PIA network.
Efficient utilization of local and foreign
currency’s running finance facilities.
Timely undertaking of foreign currency
receipts/payments.
Arrangement of cash dollars for TA/DA
payment to PIA staff, being posted abroad.
Issuance of monthly exchange rates to the
whole PIA network.
Short term funds’ placement to earn
interest/profit.
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46
Funds Management
Mechanism
Structure
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47
Funds Management
A. HBL - 1718
This bank account deals with all the
collection and disbursement accounts at
domestic stations, maintained with Habib
Bank Limited. At each day end, all the
closing balances held at respective
domestic collection accounts are
automatically transferred to this
composite account. If there is shortage of
funds for payment, at any domestic
station and the funds held at the
respective collection account are
insufficient to meet the payment
requirement, the short funds can be
recouped from this account. The closing
balance available at day end is
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48
Funds Management
B. HBL – CD 5
All the surplus funds are transferred in
this account at day end from HBL -1718
account. In addition to that, all the funds
credited in the respective collection
accounts of the departments at head
office are automatically transferred to this
account. In the same way, whenever the
any payment is to be made from any
departmental disbursement account, the
funds are recovered from this bank
account. This bank account is used for all
the head office PKR denominated
payments. The transactions of following
head office departments are executed
through this bank account:
Medical
Engineering
Flight operation
Finance
Marketing
Precision engineering
Stores and purchases
Ramp services
Speed Ex.
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49
Funds Management
BANK RECONSILIATION
Bank reconciliation is the process of comparing and
matching figures from the ledger against those
shown on a bank statement and bank reconciliation
statement.
Objectives
Bank reconciliation allows the entity to compare its
accounting records with the bank statement of their
account, in order to identify any possible
discrepancies. The main objectives of the process
are:
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Funds Management
Note:
Here ‘xxx’ stands for the 3 digit’s respective station
code.
1) HBL Karachi
2) UBL Karachi
3) NBP Karachi
4) KASB Bank Karachi
5) Arif Habib Bank Karachi
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Funds Management
Reconciliation Process
At Head Office
• Bank Charges
• Remittances to or from HO composite bank
accounts in case of surplus from international
stations (Posted in Funds in Transit account)
• Transfer of funds from or to territories
• Funds transferred to Imprest account
• Gain/Loss on Exchange Transactions.
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Funds Management
PAYMENTS
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Funds Management
International Surpluses
Domestic Surpluses
PROJECT
Bank Reconciliation
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54
Funds Management
- Documents Checking
ABOUT PIA
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55
Funds Management
SUGESTIONS
ABOUT PIA
1. PIA can take suitable actions to combat the losses or
may be privatized.
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56
Funds Management
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Funds Management
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