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Islam encourages the human beings to carry trade activities and utilize the natural resources for well being of entire humanity. Islam has its teaching on financial matters. As sales is one of the most important components of trade so Islam being a Complete Code of Life has devised comprehensive rules for conduct of trade activity. Islam has emphasized and formulated Islamic rules for sales activity as it’s the most important component of trade.

Scope of the General Laws on sales of Goods

The Islamic law on sales of goods covers almost all types of Sales of commodity. As in Islam the purpose of trade activities is not maximization of wealth rather its purpose is the well being of humanity so Islamic Laws on Sales ensure this prime purpose of trading.

This Law covers almost all aspects of sales including;

1. Formulation of Contact of Sales (Offer and Acceptance, and other component of Contact)
2. Liability of Seller and Buyer in different situation.
3. The Quality of goods
4. Price Related Issues
5. Changes in Contract of Sales by mutual consent of the contacting parties
6. Destruction of Goods
7. Liability of Seller and Buyer regarding Expenses with Sales and Delivery of Goods.
8. Sales Deed, its preparation and its cost.

Exceptions to General Law on sales of Goods

Islamic Law on Sales doesn’t allow the sales of a debt or abstract thing. Furthermore This Law has certain exceptions in following transactions.

A- Buy-back (Bay Wafa)

In this transaction of the buyer will return the goods intact at the end of a certain period at an agreed enhanced price. However this transaction is contrary to the General Law on Sales because of the imposition of condition of repayment of different price and condition of return imposed by seller.

B- Deferred Delivery (Bay Salam)

In this Transaction the buyer make the Advance Payment and Goods are delivered after a certain period this condition contravenes the Sales Law that commodity must exist at time of sales.

C- Made to Order (Istisna)

In this type of sales the workman agrees to make certain goods of specific nature for the buyer but date is not fixed. Advance Payment may or may not be made. Like deferred deliver this transaction contravenes the Sales Law that commodity must exist at times of sales.

http://www.dawn.com/weekly/education/archive/080427/education2.htm

The sky is the limit

By Syed Zaffar Hassan Naqvi

Continuous Professional Development (CPD) is the improvement of professional and educational skills throughout a professional career. It is the process whereby individuals can maintain the current standard of best practices within their profession through any activity that increases the skill, knowledge or understanding of the professionals and their effectiveness at the workplace.

The liberalisation of national economies has instigated furious competition among the business organisations. High awareness imparted by media amongst the customers enables them to compare the real value being offered by competitor companies and consequently incessant innovations have become indispensable on the part of companies for their survival in this era of commercial war. To cope with these challenges, companies require innovative and creative people equipped with contemporary skills and knowledge.

There was a time when a person stuck to one organisation throughout his career but the situation now seems to have changed 180 degrees. There has been a drastic change in the job culture.

Today, the mobility and swapping between organisations is considered as a pre-requisite quality for the growth of a professional. Even organisations compete for high calibre professionals, for continuous enrichment of their human inventory.

The concept of job security has ended. Jobs now demand continuous performance and only those who are equipped with modern skills, and upgrade their knowledge on a continuous basis can perform in the modern workplace.

Organisations have drastically cut down their training and development budgets, thus the responsibility of professional development lies on the individuals themselves.

Another contemporary phenomenon of workplace culture is an enhanced workload. Employees have to sit for late hours for completion of their routine work in offices. They have their social and personal engagements as well, so how to pursue CPD?

It’s a difficult task but it is the need of the hour, necessary for survival in today’s competitive scenario. Thus one has no other option but to pursue improvement.

Academic achievements are not the sole qualification of a professional is a well-accepted concept nowadays. A continuous learning process within the profession you may be pursuing, through experience and innovation, is the real factor in the growth of high-profile professionals.

There are many ways to pursue CPD according to the personal choice, field of operation and working environment. Here, I would describe some informal as well as formal ways of pursuing CDP.

Informal learning

Individuals can enhance their professional capability through informal modes. This may include reading of books, magazines, professional journals as well as browsing the Internet in order to explore new developments in a respective field of work.

It is the most effective and cost efficient method adopted by most eager and ambitious professionals. However, in a larger perspective, it has certain inherent limitations too such as the lack of self-motivation, lack of objectivity as there really is no immediate pressure to show performance and the unavailability of practical guidance.

Regular courses

Some institutes offer regular short courses on practical training of subjects relevant to the professions. In our country, the Pakistan Institute of Management Sciences (PIMS) offers courses in different fields of management. There are some smaller institutes too that offer short courses in fields such as fashion designing, public health, hotel management, business communication, fine arts, computer skills and calligraphy.

Some Pakistani universities also serve to enhance professional skills for adding human capital to the industrial growth such as the University of Punjab, University of Karachi and the Institute of Business Administration, Karachi, that offer short-term courses on subjects like HRM, IT, Marketing, and Finance and Supply Chain Management.

The short-term courses and diplomas are considered effective because these are designed in accordance with the emerging development of the specific fields.

Industry people and high profile professionals are often hired to design and deliver these courses so it covers the most important practical areas under focus.

A drawback with these short-term courses though is that generally they are not individualistic thus sometimes they bear no fruit for the person enrolled in them. These courses are developed by keeping in view the general trends and developments rather than considering individual lapses.

Distance learning

Distance learning courses best suit individuals working in remote areas and those who do not have access to renowned institutes for their professional growth. Comparatively these are less effective due to the lack of interaction between the learner and the trainer. However, one can draw optimum benefits from such courses with extra commitment and dedication.

The Allam Iqbal Open University (AIOU) in Pakistan offers short-term distance learning courses in various fields. Designed and developed by the academicians, these courses usually carry a theoretical approach rather than a practical one. They are suitable to those individuals who may have practical expertise but do not possess its academic proof.

Membership of professional organizations

Professional organisations are established for the promotion and regulation of their respective fields. Members of these organisations are required to adhere to the code of conduct and professional ethics prescribed by the organisation. These organisations also help their members keep pace with the modern developments and improvement of professional capabilities.

The Institute of Chartered Accountants, Institute of Cost and Management Accountants, Institute of Corporate Secretaries, Institute of Bankers Pakistan, Chartered Institute of Marketing, Chartered Institute of Management, Chartered Institute of Taxation, Provincial Bar Councils, Pakistan Bar Council, Pakistan Medical and Dental Council and Pakistan engineering Council, etc., are some of the professional bodies working for the promotion and regulation of their respective professions in Pakistan.

Online training

There are many institutes offering online training in almost every field of work. Online learning is a cost effective method but the verification and authenticity of an online institution can be a problem as there is no physical contact between the trainer and the learner.

The incorporation of a regulatory framework for online education can be the best solution in overcoming this issue. Online training subjected to a regulatory regime could prove as an effective channel of learning.

The writer is a banker by profession

http://www.dawn.com/weekly/education/archive/080302/education3.htm

Banking on your education

By Syed Zaffar Hassan Naqvi

The denationalisation of the banking industry in Pakistan has led it towards a high growth trajectory. The boosting profitability of the industry has attracted huge foreign investment, raising foreign shareholding to 54 per cent of the entire banking sector assets, while just seven years back 90 per cent was under state ownership. And more foreign investment is expected in the coming days as the British giant, the Barclay Group of Banking, also intends opening its branches in Pakistan.

During the public ownership period, banking in Pakistan was based on conventional lines with small use of modern technology. Foreign participation brought technological advancement accompanied by cut-throat competition, regulatory pressures and appetite for quality products and processes that brought the existing human inventory under intense pressure. In order to cope with the new challenges of the modern era, the banking industry is in need of fresh human capital.

The Institute of Bankers Pakistan (IBP), working under the aegis of the State Bank of Pakistan (SBP), is committed to train and develop a high quality human base for the financial sector. IBP has taken various initiatives to meet the ever rising demand of fresh blood for the banking industry.

Collaboration with national universities

In order to produce a skillful lot of young bankers, the IBP has facilitated 10 national universities to start a unique and industry-focused business administration banking and finance programme. The syllabus for this has been designed in consultation with prominent bankers. The IBP identifies 10 critical areas of banking in which training is imparted through IBP scholars on the university campus.

The participant universities are Karachi University, University of Jamshoro, Institute of Management Sciences, Peshawar, Muhammad Ali Jinnah University Islamabad (MAJU), University of the Central Punjab (UCP), Gomal University, Balochistan University, Government College University Faisalabad, University of Faisalabad, IBA Sukkur and Hailey College of Banking and Finance.

The IBP also offers a three-month supervised internship for students in banks and financial institutions. During the internship, IBP depute a consultant to supervise the entire process especially the performance of the internee and keeps a close liaison with the internee and the bank management. Upon successful completion of the internship programme, the students are offered job opportunities in the banking sector. Since the start of this programme, a good number of candidates have been offered jobs in the banking sector.

Talent hunt

The IBP recently introduced the national talent hunt programme or the NTHP for fresh graduates. This is a standard test aimed to gauge a variety of skills of the participants acquired during their academic career such as verbal reasoning, quantitative reasoning, critical thinking, and analytical writing thus developing a national talent pool.

In order to facilitate banks, financial institutions and other reputed employers in their recruitment process, IBP will maintain a strong data base of the talent pool which will be made available on demand to the prospective employers.

The IBP has so far conducted one examination under this scheme. Schedule for the next examination would be announced in due course.

Superior qualification

A specialised banking qualification is offered to bankers as well as non-bankers. Graduation in any discipline is a pre-requisite for registration in this prestigious examination. Designed by eminent bankers, the syllabus touches almost all areas of banking. The IBP also publishes books and conducts coaching classes on all subjects of the exam.

Examinations are held twice a year at 25 local and five international centres after which the successful examinees are awarded handsome cash prizes, medals and certificates. Besides this the IBP also awards scholarships to the high achievers for acquiring higher studies abroad.

The banking sector offers a promising career with unlimited growth opportunities to those who possess the requisite skills, are energetic and are not afraid of accepting new challenges and the IBP provides a vigorous route to professional excellence to young graduates for attaining the aforesaid competencies.

The writer is a banker and an IBP mentor for District Toba Tek Singh

Visionary Quotes

By Shakespeare from “Hamlet”

Give every man thy ear, but few thy voice.

Rich gifts wax poor when givers prove unkind.

O, woe is me,
To have seen what I have seen, see what I see!

To be, or not to be: that is the question:
Whether ’tis nobler in the mind to suffer
The slings and arrows of outrageous fortune,
Or to take arms against a sea of troubles,

I must be cruel, only to be kind:
Thus bad begins, and worse remains behind.

Neither a borrower nor a lender be;
For loan oft loses both itself and friend,

There is nothing either good or bad,
but thinking makes it so.